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HF 1048

1st Unofficial Engrossment - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
1.1A bill for an act
1.2relating to capital improvements; authorizing spending to acquire and better
1.3public land and buildings and other improvements of a capital nature with
1.4certain conditions; establishing new programs and modifying existing programs;
1.5authorizing the sale of state bonds; canceling and modifying previous
1.6appropriations; appropriating money;amending Minnesota Statutes 2006,
1.7section 16A.695, subdivisions 2, 3, by adding subdivisions; Laws 2005, chapter
1.820, article 1, sections 7, subdivision 21; 17; 20, subdivision 3; 21, subdivision
1.92; 23, subdivisions 8, 16; Laws 2005, chapter 156, article 2, section 46; Laws
1.102006, chapter 258, sections 4, subdivision 4; 7, subdivisions 3, 7, 11, 22; 16,
1.11subdivision 4; 21, subdivisions 6, 15; 23, subdivision 3.

1.14    The sums shown in the column under "appropriations" are appropriated from the
1.15bond proceeds fund, or another named fund, to the state agencies or officials indicated, to
1.16be spent for public purposes. Appropriations of bond proceeds must be spent as authorized
1.17by the Minnesota Constitution, article XI, section 5, paragraph (a), to acquire and better
1.18public land and buildings and other public improvements of the capital nature, or as
1.19authorized by article XI, section 5, paragraphs (b) to (j), or article XIV. Unless otherwise
1.20specified, the appropriations in this article are available until the project is completed or
1.21abandoned subject to Minnesota Statutes, section 16A.642.
University of Minnesota
Minnesota State Colleges and Universities
Natural Resources
Pollution Control Agency
Board of Water and Soil Resources
Zoological Garden
Public Safety
Metropolitan Council
Human Services
Employment and Economic Development
Bond Sale Expenses
Lewis and Clark
Bond Proceeds Fund (General Fund Debt Service)
Bond Proceeds Fund (User Financed Debt Service)
State Transportation Fund
Trunk Highway Fund Bond Proceeds Account
General Fund
Bond Proceeds Cancellations

Subdivision 1.Total Appropriation
2.22To the Board of Regents of the University
2.23of Minnesota for the purposes specified in
2.24this section.
Subd. 2.Higher Education Asset Preservation
and Replacement (HEAPR)
2.27To be spent in accordance with Minnesota
2.28Statutes, section 135A.046.
Subd. 3.717 Delaware
2.30To renovate the building at 717 Delaware
2.31for use as a biomedical science research
2.32facility. This appropriation is intended to
2.33cover approximately 80 percent of the cost
2.34of the project. The remaining costs must be
2.35paid from university sources.

Subdivision 1.Total Appropriation
3.4To the Board of Trustees of the Minnesota
3.5State Colleges and Universities for the
3.6purposes specified in this section.
Subd. 2.Higher Education Asset Preservation
And Replacement
3.9This appropriation is for the purposes
3.10specified in Minnesota Statutes, section
3.11135A.046. Of this, $720,000 is for HVAC
3.12replacement and asbestos removal at
3.13the Brooklyn Park campus of Hennepin
3.14Technical College.
Subd. 3.Bemidji State University
3.16To acquire property adjacent to Bemidji State
Subd. 4.Fond du Lac Tribal and Community
3.20To acquire property adjacent to the Fond du
3.21Lac Tribal and Community College.
Subd. 5.Debt Service
3.23(a) The board shall pay the debt service on
3.24one-third of the principal amount of state
3.25bonds sold to finance projects authorized by
3.26this section, except for higher education asset
3.27preservation and replacement, except that,
3.28where a nonstate match is required, the debt
3.29service is due on a principal amount equal
3.30to one-third of the total project cost, less the
3.31match committed before the bonds are sold.
3.32After each sale of general obligation bonds,
3.33the commissioner of finance shall notify the
4.1board of the amounts assessed for each year
4.2for the life of the bonds.
4.3(b) The commissioner shall reduce the
4.4board's assessment each year by one-third of
4.5the net income from investment of general
4.6obligation bond proceeds in proportion to the
4.7amount of principal and interest otherwise
4.8required to be paid by the board. The board
4.9shall pay its resulting net assessment to the
4.10commissioner of finance by December 1 each
4.11year. If the board fails to make a payment
4.12when due, the commissioner of finance
4.13shall reduce allotments for appropriations
4.14from the general fund otherwise available
4.15to the board and apply the amount of the
4.16reduction to cover the missed debt service
4.17payment. The commissioner of finance
4.18shall credit the payments received from the
4.19board to the bond debt service account in
4.20the state bond fund each December 1 before
4.21money is transferred from the general fund
4.22under Minnesota Statutes, section 16A.641,
4.23subdivision 10.
Subd. 6.Unspent Appropriations
4.25(a) Upon substantial completion of a project
4.26authorized in this section and after written
4.27notice to the commissioner of finance, the
4.28Board of Trustees must use any money
4.29remaining in the appropriation for that
4.30project for HEAPR under Minnesota
4.31Statutes, section 135A.046. The Board
4.32of Trustees must report by February 1 of
4.33each even-numbered year to the chairs
4.34of the house and senate committees with
4.35jurisdiction over capital investments and
5.1higher education finance, and to the chairs of
5.2the house Ways and Means Committee and
5.3the senate Finance Committee, on how the
5.4remaining money has been allocated or spent.
5.5(b) The unspent portion of an appropriation
5.6for a project in this section that is complete,
5.7is available for higher education asset
5.8preservation and replacement under this
5.9subdivision, at the same campus as the
5.10project for which the original appropriation
5.11was made and the debt service requirement
5.12under subdivision 5 is reduced accordingly.
5.13Minnesota Statutes, section 16A.642, applies
5.14from the date of the original appropriation to
5.15the unspent amount transferred.

Subdivision 1.Total Appropriation
5.19To the commissioner of education for the
5.20purposes specified in this section. The
5.21appropriations in this section are from the
5.22general fund.
Subd. 2.Independent School District No. 11,
5.25For a grant to Independent School District
5.26No. 11, Anoka-Hennepin, to acquire land
5.27adjacent to Riverview Elementary School
5.28and for improvements of a capital nature
5.29to develop and restore wetland and native
5.30prairie habitat on the land.
Subd. 3.Independent School District No. 38,
Red Lake
5.33For a grant to Independent School District
5.34No. 38, Red Lake, to design, construct,
5.35furnish, and equip renovation of existing
6.1facilities and construction of new facilities.
6.2The project includes renovation of,
6.3and an addition to, the high school and
6.4middle school to provide classrooms and
6.5related facilities for technology education,
6.6vocational education, physical education,
6.7and community education, and to provide
6.8for food services and administrative offices.
6.9The heating plant and piping for the high
6.10school and middle school will be upgraded
6.11and the motor vehicle fuel and propane tanks
6.12may be relocated. The project may include
6.13renovation of the Red Lake Elementary
6.14School to add classrooms and to link it
6.15to the Early Childhood Learning Center.
6.16The project may include renovation of the
6.17Ponemah Elementary School to add a media
6.18center and Head Start center, add parking,
6.19improve the bus drop-off, and expand
6.20playground facilities. The commissioner
6.21and Independent School District No. 38,
6.22Red Lake, shall report to the legislature by
6.23January 10, 2008, on the progress of the
6.24project funded by the grant. The unexpended
6.25balance of the appropriation in Laws 2005,
6.26chapter 20, article 1, section 5, subdivision
6.272, as amended by Laws 2006, chapter 258,
6.28section 42, to design, construct, renovate,
6.29furnish, equip, and make health and safety
6.30capital improvements to school facilities may
6.31be added to this appropriation.

Subdivision 1.Total Appropriation
6.34To the commissioner of natural resources for
6.35the purposes specified in this section.
7.1The appropriations in this section are from
7.2the general fund.
7.3The appropriations in this section are subject
7.4to the requirements of the natural resources
7.5capital improvement program set forth in
7.6Minnesota Statutes, section 86A.12, unless
7.7this section or the statutes referred to in this
7.8section provide more specific standards,
7.9criteria, or priorities for projects than
7.10Minnesota Statutes, section 86A.12.
Subd. 2.Stillwater Flood Control Phase III
7.12For a grant under Minnesota Statutes,
7.13section 103F.161, to the city of Stillwater to
7.14predesign, design, and begin construction
7.15of Phase III of the Stillwater flood control
7.16project, including flood control structures
7.17and pumping stations. This appropriation
7.18is not available until the commissioner has
7.19determined that at least $2,000,000 has been
7.20committed from nonstate sources.
Subd. 3.Canisteo Mine
7.22For a grant to the Western Mesabi Mine
7.23Planning Board to construct siphons, a
7.24conveyance system, and other improvements
7.25to accommodate water level and outflow
7.26control of the water level in the Canisteo
7.27mine pit in Itasca County. This appropriation
7.28does not require a local match. The
7.29commissioner of natural resources shall be
7.30responsible to maintain the improvements
7.31after completion of the project.
Subd. 4.Lake Zumbro Restoration
7.33For an agreement with Olmsted and
7.34Wabasha Counties to design and engineer
8.1the restoration of Lake Zumbro. This is a
8.2onetime appropriation and is available until
8.3June 30, 2009.
Subd. 5.Red River Digital Elevation Model
8.5To develop and implement a high-resolution
8.6digital elevation model for the Red River
Subd. 6.Greenleaf Lake State Recreation Area
8.9To acquire from willing sellers land
8.10within the boundaries of Greenleaf Lake
8.11State Recreation Area, established under
8.12Minnesota Statutes, section 85.013,
8.13subdivision 11b.
Subd. 7.Fort Snelling Upper Bluff
8.15For a grant to Hennepin County to conduct
8.16emergency building stabilization at Fort
8.17Snelling Upper Bluff. This appropriation
8.18is not available until the commissioner of
8.19finance has determined that Hennepin County
8.20has entered into appropriate agreements to
8.21use sentence-to-serve labor for the project
8.22that will train sentence-to-serve laborers in
8.23the skills needed for the work.
Subd. 8.State Trail Acquisition and
8.26To acquire land for and to construct and
8.27renovate state trails under Minnesota
8.28Statutes, section 85.015.
8.29$125,000 is for the Cuyuna Lakes Trail, to
8.30develop a natural surface multiuse trail in the
8.31Cuyuna Country State Recreation Area.
8.32$650,000 is for the Gateway Trail, to replace
8.33an at-grade crossing of the Gateway Trail at
8.34Highway 120 with a tunnel.
9.1$209,000 is for the Luce Line Trail, to
9.2acquire land for, develop, and rehabilitate the
9.4$250,000 is for acquisition of the Browns
9.5Creek segment of the Willard Munger Trail
9.6System, currently the right-of-way for the
9.7Minnesota Zephyr.

Closed landfill program
9.10This appropriation is from the general fund
9.11for a grant to the city of Albert Lea to
9.12construct remedial systems at the Albert
9.13Lea landfill. This includes relocating and
9.14incorporating waste from the former Albert
9.15Lea dump owned by the city of Albert
9.16Lea under Minnesota Statutes, section
9.17115B.403, which action may be taken by the
9.18Pollution Control Agency notwithstanding
9.19the provisions of Minnesota Statutes, section
9.20115B.403, paragraphs (a) and (b).
9.21The appropriation in this section is added to
9.22the amounts for the city of Albert Lea landfill
9.23funding in Laws 2006, chapter 258, section
9.248, subdivision 2.

Subdivision 1.Total Appropriation
9.28To the Board of Water and Soil Resources
9.29for the purposes specified in this section. The
9.30appropriations in this section are from the
9.31general fund.
Subd. 2.RIM Conservation Reserve
10.1To acquire conservation easements from
10.2landowners on marginal lands and to
10.3construct conservation measures on acquired
10.4land in order to protect soil and water quality
10.5and to support fish and wildlife habitat as
10.6provided in Minnesota Statutes, sections
10.7103F.501 to 103F.535. Of this, $1,200,000
10.8is to implement the program. The board
10.9must submit to the legislative committees
10.10with jurisdiction over environment finance
10.11and capital investment an interim report on
10.12this program by October 1, 2007, and a final
10.13report by February 1, 2008.
Subd. 3.Lake Titlow Watershed Improvements
10.15$150,000 is for a grant to the city of Gaylord
10.16to predesign and design holding ponds
10.17upstream from Lake Titlow. The design
10.18must include the best location for the ponds,
10.19an estimate of the cost of land acquisition
10.20or easements, construction costs of the
10.21holding ponds, and the estimated expense
10.22of maintaining the structures and who will
10.23be responsible for the expense. The city
10.24must also coordinate with state and county
10.25conservation officials to ensure correct
10.26conservation practices and improvements in
10.27the watershed district.
10.28$15,000 is for a grant to the city of Gaylord to
10.29purchase open intake tile covers or cones that
10.30limit soil erosion and chemicals from entering
10.31the water ditch systems and waterways of
10.32the Lake Titlow watershed. These water
10.33control devices must be provided at low
10.34cost to landowners to promote conservation
10.35improvement and clean up groundwater.
11.1Volunteers from the city of Gaylord and local
11.2clubs and high school students must be used
11.3to install the water control devices at no cost
11.4to the landowner.
11.5The criteria, limitations, and assessment
11.6requirements in Minnesota Statutes, sections
11.7103D.701, 103D.705, and 103D.901 do not
11.8apply to this subdivision.

Inflow and infiltration emergency abatement
11.12This appropriation is from the general fund to
11.13the Minnesota Zoological Garden to design
11.14and construct improvements to its water
11.15management system. The project must be
11.16designed to address inflow and infiltration
11.17problems associated with the Minnesota
11.18Zoo's water discharge flow to the city of

Subdivision 1.Total Appropriation
11.22To the commissioner of administration for
11.23the purposes specified in this section.
Subd. 2.Capitol Renovation
11.25(a) This appropriation is from the general
11.26fund for architectural and engineering
11.27services related to the exploration and
11.28development of an acceptable plan and the
11.29schematic design of that plan to restore and
11.30renovate the Capitol building. Services
11.31leading up to and including schematic design
11.32will include the planning, review, and further
11.33development of an approved concept plan
12.1for the restoration and renovation of the
12.2Capitol. Drawings, cost estimates, and
12.3other documents produced during this phase
12.4will address planning options and campus
12.5concerns, as well as considerations for
12.6swing space, phasing strategies, and cost
12.7implications. Based on the approval concept
12.8plan, a site survey and geotechnical testing
12.9will be performed. From this data, a capital
12.10budget request will be prepared for the 2008
12.11session of the legislature.
12.12(b) The appropriation in this subdivision
12.13may not be spent on any project that affects
12.14space under the control of the senate without
12.15the approval of the chair of the Committee
12.16on Rules and Administration of the senate
12.17nor on any project that affects space under
12.18the control of the house of representatives
12.19without the approval of the speaker of the
Subd. 3.Exterior Repair of Transportation
12.23This appropriation is from the bond proceeds
12.24account in the trunk highway fund to repair
12.25and renovate the exterior of the Department
12.26of Transportation Building at 395 John
12.27Ireland Boulevard in St. Paul.
12.28EFFECTIVE DATE. The appropriation in
12.29subdivision 3 is void if H.F. 946 is enacted in
12.30the 2007 legislative session.
Subd. 4.Property Acquisition
12.32This appropriation is from the general fund
12.33to acquire property at 639 Jackson Street in
12.34St. Paul adjacent to the Harold E. Stassen
12.35Building, to demolish existing structures
13.1on the property, and to develop temporary
13.2parking on the site and adjacent areas.
Subd. 5.Veterans Memorial, Eden Prairie
13.4This appropriation is from the general fund
13.5for a grant to the city of Eden Prairie to
13.6design and construct improvements of a
13.7capital nature for a veterans memorial in
13.8Purgatory Creek Recreation Area in the city
13.9of Eden Prairie.

Subdivision 1.Total Appropriation
13.12To the commissioner of public safety for the
13.13purposes specified in this section.
13.14The appropriations in this section are from
13.15the general fund.
Subd. 2.Anoka County Forensic Crime
13.18Notwithstanding any law to the contrary,
13.19this appropriation is for a grant to Anoka
13.20County to design, construct, furnish, and
13.21equip a regional forensic crime laboratory,
13.22for the use of Anoka, Sherburne, and Wright
13.23Counties, to be located in Anoka County.
13.24This appropriation is not available until the
13.25commissioner has determined that at least
13.26$7,500,000 has been committed or will be
13.27committed from nonstate sources to the
13.28forensic crime laboratory and/or a public
13.29safety facility that will contain the forensic
13.30crime laboratory.
Subd. 3.Gonvick Public Safety Training
13.33Notwithstanding any law to the contrary, for
13.34a grant to the city of Gonvick to predesign a
14.1regional emergency training administration
14.2center in Gonvick.
14.3This appropriation is not available until the
14.4commissioner has determined that at least
14.5an equal amount has been committed from
14.6nonstate sources.
Subd. 4.Scott County Public Safety Training
14.9Notwithstanding any law to the contrary, for
14.10a grant to Scott County to design, construct,
14.11furnish, and equip a regional public safety
14.12training center in Scott County.
14.13This appropriation is not available until the
14.14commissioner has determined that at least
14.15an equal amount has been committed from
14.16nonstate sources.
Subd. 5.Southeastern Minnesota Regional
Public Safety Training Center
14.19Notwithstanding any law to the contrary,
14.20to design, construct, furnish, and equip the
14.21Southeastern Minnesota Regional Public
14.22Safety Training Center in Rochester. The
14.23facility must include a live burn training
14.24simulator, a driving range, and a weapons
14.25training facility.
14.26This appropriation is not available until the
14.27commissioner has determined that at least
14.28an equal amount has been committed from
14.29nonstate sources.

Subdivision 1.Total Appropriation
14.32To the commissioner of transportation for the
14.33purposes specified in this section.
Subd. 2.Local Bridge Replacement and
15.3This appropriation is from the bond proceeds
15.4account in the state transportation fund as
15.5provided in Minnesota Statutes, section
15.6174.50, to match federal money and to
15.7replace or rehabilitate local deficient bridges.
15.8Political subdivisions may use grants made
15.9under this section to construct or reconstruct
15.10bridges, including:
15.11(1) matching federal aid grants to construct
15.12or reconstruct key bridges;
15.13(2) paying the costs of preliminary
15.14engineering and environmental studies
15.15authorized under Minnesota Statutes, section
15.16174.50, subdivision 6a;
15.17(3) paying the costs to abandon an existing
15.18bridge that is deficient and in need of
15.19replacement, but where no replacement will
15.20be made; and
15.21(4) paying the costs to construct a road
15.22or street to facilitate the abandonment
15.23of an existing bridge determined by
15.24the commissioner to be deficient, if the
15.25commissioner determines that construction
15.26of the road or street is more cost efficient
15.27than the replacement of the existing bridge.
Subd. 3.Port Development Assistance
15.29This appropriation is from the general fund
15.30for grants under Minnesota Statutes, chapter
15.31457A. Any improvements made with the
15.32proceeds of these grants must be publicly
Subd. 4.Mankato District Headquarters
16.1This appropriation is from the bond proceeds
16.2account in the trunk highway fund to
16.3design, construct, furnish, and equip a
16.4new Department of Transportation district
16.5headquarters facility in Mankato.
16.6EFFECTIVE DATE. The appropriation in
16.7subdivision 4 is void if H.F. 946 is enacted in
16.8the 2007 legislative session.
Subd. 5.High-Speed Rail Line
16.10This appropriation is from the general
16.11fund for the state's share of a high-speed
16.12rail line connecting Chicago, LaCrescent,
16.13Winona, Red Wing, and the Union Depot
16.14Concourse Multimodal Transit Hub, located
16.15in downtown St. Paul in the area south
16.16of Kellogg Boulevard and east of Jackson
16.17Street. No part of this appropriation
16.18may be spent to acquire or better capital
16.19improvements that are located outside the
16.20state of Minnesota, that may be used from
16.21time to time outside the state of Minnesota,
16.22or that are part of a rail corridor that is
16.23not designated by the Midwest Interstate
16.24Passenger Rail Compact.
Subd. 6.Commuter Rail Extension
16.26This appropriation is from the general
16.27fund for a grant to the Northstar Corridor
16.28Development Authority to fund advanced
16.29preliminary engineering, updated
16.30environmental documentation, property
16.31appraisals, and negotiations with the railroad
16.32to extend commuter rail service on the
16.33Burlington Northern Santa Fe rail line
16.34between Big Lake and Rice.
Subd. 7.North Shore Express Intercity Rail
17.3This appropriation is from the general
17.4fund for a grant to St. Louis and Lake
17.5County Regional Rail Authority for
17.6railroad acquisition and track restoration,
17.7environmental impact studies, advanced
17.8corridor planning, preliminary design and
17.9preliminary engineering, station design,
17.10analysis of railroad capacity, and easement
17.11costs for intercity and passenger rail service
17.12between the city of Duluth and the cities of
17.13Minneapolis and St. Paul.

Subdivision 1.Total Appropriation
17.16To the Metropolitan Council for the purposes
17.17specified in this section. The appropriations
17.18in this section are from the general fund,
17.19unless another fund is named.
Subd. 2.Central Corridor Transit Way
17.21This appropriation is from the bond proceeds
17.22fund for preliminary engineering, preliminary
17.23design, final design, and construction of
17.24the central corridor transit way between
17.25downtown Minneapolis and downtown St.
17.26Paul, terminating in downtown St. Paul at
17.27the Union Depot.
17.28This appropriation may not be spent for
17.29capital improvements within a trunk highway
17.31District heating and district cooling nonprofit
17.32corporations organized under Minnesota
17.33Statutes, chapter 317A, that are exempt
17.34organizations under section 501(c)(3) of
18.1the United States Internal Revenue Code
18.2that are public right-of-way users under
18.3Minnesota Rules, chapter 7819, are eligible
18.4to receive grants and federal money for
18.5costs of relocating facilities from public
18.6rights-of-way to prevent interference with
18.7public light rail projects unless receipt of the
18.8money would impact the project's Federal
18.9Transit Authority required cost effectiveness
Subd. 3.South St. Paul - Span Arch Bridge
18.12For a grant to the city of South St. Paul
18.13to design and construct a span arch bridge
18.14under 19th Avenue in South St. Paul for
18.15connection with the Dakota County North
18.16Urban Regional Trail.
Subd. 4.Union Depot
18.18$1,000,000 of this appropriation is from the
18.19general fund.
18.20$1,500,000 of this appropriation is from the
18.21bond proceeds fund.
18.22For a grant to the Ramsey County Regional
18.23Railroad Authority to acquire land and
18.24structures, to renovate structures, and for
18.25design, engineering, and environmental
18.26work to revitalize Union Depot for use as a
18.27multimodal transit center in St. Paul.
Subd. 5.Rush Line Corridor Transit Way
18.29For a grant to the Ramsey County Regional
18.30Railroad Authority to acquire land for,
18.31design, and construct park-and-ride or
18.32park-and-pool lots located along the Rush
18.33Line Corridor along I-35E/I-35W and
19.1Highway 61 from the Union Depot in
19.2downtown St. Paul to Hinckley.
Subd. 6.Red Rock Corridor Transit Way
19.4To design, construct, and furnish
19.5park-and-ride lots for the Red Rock
19.6Corridor transit way between Hastings and
19.7Minneapolis via St. Paul, and any extension
19.8between Hastings and Red Wing.
Subd. 7.Southwest Corridor Transit Way
19.10For a grant to the Hennepin County
19.11Regional Rail Authority to prepare a draft
19.12environmental impact statement (DEIS)
19.13and for preliminary engineering for the
19.14Southwest Corridor Transit Way, from the
19.15Hiawatha light rail in downtown Minneapolis
19.16to the vicinity of the Southwest Station
19.17transit hub in Eden Prairie.
Subd. 8.Transit Master Plan
19.19(a) The Metropolitan Council, in consultation
19.20with the regional railroad authorities in the
19.21metropolitan area, must complete a revision
19.22of the regional master plan for transit. The
19.23plan must identify recommended transit
19.24investments in the metropolitan area through
19.252030. The revised plan must be completed
19.26for presentation to the legislature by February
19.2720, 2008. The plan must include an analysis
19.28and comparison of transit way corridors
19.29and the potential for bus and busway, light
19.30rail transit, and commuter rail development
19.31within the corridors based on current and
19.33(1) population and population density;
20.1(2) employment concentrations and job
20.3(3) transit dependent segments of the
20.5(4) ridership;
20.6(5) capital and operating costs:
20.7(6) land use;
20.8(7) right-of-way availability; and
20.9(8) adequacy of existing transportation
20.10options within the corridor.
20.11The council and regional rail authorities must
20.12jointly select the corridors to be included in
20.13the analysis.
20.14(b) The plan must include, but is not limited
20.15to, an analysis of the following corridors:
20.16(1) the I-94 corridor, beginning at the
20.17Union Depot Concourse Multimodal
20.18Transit Hub, located in downtown St. Paul
20.19in the area south of Kellogg Boulevard
20.20and east of Jackson Street, extending
20.21eastward through Washington County
20.22to the Minnesota-Wisconsin border, and
20.23terminating in St. Croix County, Wisconsin;
20.24(2) the I-494 corridor, on or near
20.25marked Interstate Highway 494, from
20.26Minneapolis-St. Paul International Airport to
20.27a transit station on the proposed Southwest
20.28Corridor transit way; and
20.29(3) the I-35W/I-35 corridor, on or near
20.30marked Interstate Highway 35W/35 from
20.31downtown Minneapolis to County Road 50
20.32in Lakeville.
Subd. 9.Metropolitan Regional Parks Capital
Saint Paul - National Great River Park
21.2$3,800,000 is for a grant to the city of St.
21.3Paul to design, construct, furnish, and equip
21.4river park development and redevelopment
21.5infrastructure in National Great River Park
21.6along the Mississippi River in St. Paul.
Fridley - Springbrook Nature Center
21.8$2,000,000 is from the general fund
21.9for a grant to the city of Fridley to
21.10predesign, design, construct, and equip
21.11the redevelopment and expansion of
21.12the Springbrook Nature Center. This
21.13appropriation is not available until the
21.14commissioner has determined that at least
21.15an equal amount has been committed from
21.16nonstate sources.

West central secured treatment facility
21.19This appropriation is from the general fund
21.20to the commissioner of human services
21.21for a grant to Pope County to predesign
21.22a multicounty regional secured treatment
21.23facility in west central Minnesota. The
21.24commissioner shall prepare a report to the
21.25legislature assessing the need for and the
21.26viability of the facility and the benefits
21.27derived from a coordinated multicounty,
21.28regional approach to local chemical
21.29dependency needs in west central Minnesota.
21.30The report is due to the legislature by
21.31February 1, 2008.

Subdivision 1.Total Appropriation
22.1To the commissioner of administration for
22.2the purposes specified in this section. The
22.3appropriations in this section are from the
22.4general fund.
Subd. 2.Minnesota Correctional Facility - Oak
Park Heights
(a) Perimeter system renovation
22.8To renovate the perimeter system at the
22.9Oak Park Heights Correctional Facility
22.10by replacing the security fence system for
22.11the inside wall of the main prison yard
22.12and exterior fence, replacing the perimeter
22.13lighting system and the security razor
22.14ribbon, and installing cameras and lighting to
22.15correspond to the perimeter system's added
22.16security zones.
(b) Ventilation system renovation
22.18To renovate the ventilation system at the
22.19Oak Park Heights Correctional Facility by
22.20demolishing sections of existing ductwork,
22.21installing new ductwork, installing an
22.22ultraviolet lighting system, installing system
22.23air controls and electronics, and cleaning
22.24or otherwise renovating sections of existing

Subdivision 1.Total Appropriation
22.29To the commissioner of employment and
22.30economic development or other named
22.31agency for the purposes specified in this
Subd. 2.Bayport Storm Sewer
23.1This appropriation is from the general fund to
23.2the Public Facilities Authority for a grant to
23.3the city of Bayport for the Middle St. Croix
23.4River Watershed Management Organization
23.5to complete construction documents and
23.6bidding for the sewer system extending from
23.7Minnesota Department of Natural Resources
23.8pond 82-310P (the prison pond) in Bayport
23.9through the Stillwater prison grounds to the
23.10St. Croix River.
23.11This appropriation is in addition to the
23.12appropriations in Laws 2000, chapter 492,
23.13article 1, section 21, subdivision 8, to
23.14the commissioner of corrections and in
23.15Laws 2005, chapter 20, article 1, section
23.1623, subdivision 3, to the Public Facilities
23.17Authority, for the same project.
Subd. 3.DECC Arena
23.19This appropriation is from the general fund
23.20for a grant to the Duluth Entertainment
23.21and Convention Center Authority to
23.22design, construct, furnish, and equip capital
23.23improvements and renovations to the Duluth
23.24Entertainment and Convention Center. The
23.25capital improvements and renovations must
23.26include an approximately 217,446 square
23.27foot arena with an ice sheet of at least 200
23.28feet by 85 feet; trade show and concert space;
23.29seating capacity of at least 6,630 with suites,
23.30club seats, and concessions; state-of-the-art
23.31locker and training facilities; and accessible
23.32and expanded media space. Notwithstanding
23.33any law to the contrary, the authority may
23.34adopt a design and construction procurement
23.35process as determined by the authority, in
24.1its discretion, to be in the public interest in
24.2connection with the Duluth Entertainment
24.3and Convention Center improvements.
Subd. 4.Itasca County - Steel Plant
24.6This appropriation is from the general
24.7fund and is in addition to the appropriation
24.8in Laws 2006, chapter 258, section 21,
24.9subdivision 14.
24.10For a grant to Itasca County for public
24.11infrastructure needed to support a steel plant
24.12in Itasca County. Grant money may be used
24.13by Itasca County to acquire right-of-way and
24.14mitigate loss of wetlands and runoff of storm
24.15water, to predesign, design, construct, and
24.16equip roads and rail lines, and, in cooperation
24.17with municipal public utilities, to predesign,
24.18design, construct, and equip natural gas
24.19pipelines, electric infrastructure, water
24.20supply systems, and wastewater collection
24.21and treatment systems.
Subd. 5.Rochester - Mayo Civic Center
24.24This appropriation is from the general fund
24.25for a grant to the city of Rochester to design
24.26the renovation and expansion of the Mayo
24.27Civic Center Complex.
Subd. 6.Wildlife Rehabilitation Center
24.29This appropriation is from the general fund
24.30for a grant to the Wildlife Rehabilitation
24.31Center of Minnesota to retire loans incurred
24.32by the center for construction of its facility in
24.33the city of Roseville, and for completion of
24.34educational technology infrastructure at the
Subd. 7.Rice Street Bridge
25.2This appropriation is from the general
25.3fund for a grant to Ramsey County for
25.4the preliminary planning, design, and
25.5engineering of the Rice Street bridge where
25.6it crosses marked Trunk Highway 36 in
25.7Ramsey County.
Subd. 8.St. Cloud State University - National
Hockey Center
25.10This appropriation is from the general fund
25.11to the Board of Trustees of the Minnesota
25.12State Colleges and Universities to predesign,
25.13design, construct, furnish, and equip the
25.14renovation of the National Hockey Center.

Subdivision 1.Bond Proceeds Fund
25.17To the commissioner of finance for bond sale
25.18expenses under Minnesota Statutes, section
25.1916A.641, subdivision 8.
Subd. 2.Trunk Highway Fund
25.21Of this amount, $32,000 is from the bond
25.22proceeds account in the trunk highway fund.
25.23EFFECTIVE DATE. The appropriation in
25.24subdivision 2 is void if H.F. 946 is enacted in
25.25the 2007 legislative session.

25.27The commissioner of finance shall schedule
25.28the sale of state general obligation bonds so
25.29that, during the biennium ending June 30,
25.302009, no more than $918,620,000 will need
25.31to be transferred from the general fund to the
25.32state bond fund to pay principal and interest
26.1due and to become due on outstanding
26.2state general obligation bonds. During
26.3the biennium, before each sale of state
26.4general obligation bonds, the commissioner
26.5of finance shall calculate the amount of
26.6debt service payments needed on bonds
26.7previously issued and shall estimate the
26.8amount of debt service payments that will
26.9be needed on the bonds scheduled to be
26.10sold. The commissioner shall adjust the
26.11amount of bonds scheduled to be sold so as
26.12to remain within the limit set by this section.
26.13The amount needed to make the debt service
26.14payments is appropriated from the general
26.15fund as provided in Minnesota Statutes,
26.16section 16A.641.

26.18    Subdivision 1. Bond proceeds fund. To provide the money appropriated in this act
26.19from the bond proceeds fund, the commissioner of finance shall sell and issue bonds of the
26.20state in an amount up to $111,555,000 in the manner, upon the terms, and with the effect
26.21prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota
26.22Constitution, article XI, sections 4 to 7.
26.23    Subd. 2. Transportation fund bond proceeds account. To provide the money
26.24appropriated in this article from the state transportation fund, the commissioner of finance
26.25shall sell and issue bonds of the state in an amount up to $30,000,000 in the manner, upon
26.26the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to
26.2716A.675, and by the Minnesota Constitution, article XI, sections 4 to 7. The proceeds of
26.28the bonds, except accrued interest and any premium received on the sale of the bonds,
26.29must be credited to a bond proceeds account in the state transportation fund.
26.30    Subd. 3. Trunk highway bonds. To provide the money appropriated in this article
26.31from the bond proceeds account in the trunk highway fund, the commissioner of finance
26.32shall sell and issue trunk highway bonds in an amount up to $33,420,000 in the manner, on
26.33the terms, and with the effect prescribed by Minnesota Statutes, sections 167.50 to 167.52,
26.34and by the Minnesota Constitution, article XIV, section 11, at the times and in the amounts
26.35requested by the commissioner of transportation. The proceeds of the bonds, except
27.1accrued interest and any premium received on the sale of the bonds, must be credited to
27.2the bond proceeds account in the trunk highway fund.
27.3EFFECTIVE DATE.Subdivision 3 is effective unless H.F. 946 is enacted in the
27.42007 legislative session.

27.6    The bond sale authorization in Laws 2005, chapter 20, article 1, section 28,
27.7subdivision 1, is reduced by $2,000,000.
27.8    The bond sale authorization in Laws 2006, chapter 258, section 25, subdivision 1, is
27.9reduced by $3,282,000.

27.10    Sec. 20. Minnesota Statutes 2006, section 16A.695, subdivision 2, is amended to read:
27.11    Subd. 2. Leases and management contracts. (a) A public officer or agency that
27.12is authorized by law to lease or enter into a management contract with respect to state
27.13bond financed property shall comply with this subdivision. A reference to a lease or
27.14management contract in this subdivision includes any amendments, modifications, or
27.15alterations to the referenced lease or management contract and refers to the lease wherein
27.16the public officer or agency is the lessor of the state bond financed property and the other
27.17contracting party is the lessee.
27.18    (b) The lease or management contract may be entered into for the express purpose of
27.19carrying out a governmental program established or authorized by law and established by
27.20official action of the contracting public officer or agency, in accordance with orders of the
27.21commissioner intended to ensure the legality and tax-exempt status of bonds issued to
27.22finance the property, and with the approval of the commissioner. A lease or management
27.23contract, including any renewals that are solely at the option of the lessee, must be for a
27.24term substantially less than the useful life of the property, but may allow renewal beyond
27.25that term upon a determination by the lessor that the lessee has demonstrated that the use
27.26continues to carry out the governmental program. If the lessor and lessee do not renew the
27.27lease or management contract and if the lessee has contributed to the land and the capital
27.28improvements on the state bond financed property, the lessor may agree to reimburse the
27.29lessee for its investment in the land and capital improvements. The reimbursement may be
27.30paid, at the option of the lessor and lessee, at the time of nonrenewal without a requirement
27.31for a prior escrow of funds or at a later date and on additional terms agreed to by the lessor
27.32and the lessee. A lease or management contract must be terminable by the contracting
27.33public officer or agency if the other contracting party defaults under the contract or if the
27.34governmental program is terminated or changed, and must provide for program oversight
28.1by the contracting public officer or agency. The expiration or termination of a lease or
28.2management agreement does not require that the state bond proceeds be repaid or that
28.3the property be sold, so long as the property continues to be operated by, or on behalf of,
28.4the public officer or agency for the intended governmental program. Money received by
28.5the public officer or agency under the lease or management contract that is not needed
28.6to pay and not authorized to be used to pay operating costs of the property, or to pay the
28.7principal, interest, redemption premiums, and other expenses when due on debt related to
28.8the property other than state bonds, must be:
28.9    (1) paid to the commissioner in the same proportion as the state bond financing is
28.10to the total public debt financing for the property, excluding debt issued by a unit of
28.11government for which it has no financial liability;
28.12    (2) deposited in the state bond fund; and
28.13    (3) used to pay or redeem or defease bonds issued to finance the property in
28.14accordance with the commissioner's order authorizing their issuance.
28.15    The money paid to the commissioner is appropriated for this purpose.
28.16    (c) With the approval of the commissioner, a lease or management contract between
28.17a city and a nonprofit corporation under section 471.191, subdivision 1, need not require
28.18the lessee to pay rentals sufficient to pay the principal, interest, redemption premiums,
28.19and other expenses when due with respect to state bonds issued to acquire and better
28.20the facilities.
28.21EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
28.22and applies to leases, grant agreements, or management agreements entered into on or
28.23after that date.

28.24    Sec. 21. Minnesota Statutes 2006, section 16A.695, subdivision 3, is amended to read:
28.25    Subd. 3. Sale of property. A public officer or agency shall not sell any state bond
28.26financed property unless the public officer or agency determines by official action that
28.27the property is no longer usable or needed by the public officer or agency to carry out
28.28the governmental program for which it was acquired or constructed, the sale is made as
28.29authorized by law, the sale is made for fair market value, and the sale is approved by the
28.30commissioner. If any state bonds issued to purchase or better the state bond financed
28.31property that is sold remain outstanding on the date of sale, the net proceeds of sale must
28.32be applied as follows:
28.33    (1) if the state bond financed property was acquired and bettered solely with state
28.34bond proceeds, the net proceeds of sale must be paid to the commissioner, and deposited
28.35in the state bond fund, and used to pay or redeem or defease the outstanding state bonds in
29.1accordance with the commissioner's order authorizing their issuance, and the proceeds are
29.2appropriated for this purpose treasury; or
29.3    (2) if the state bond financed property was acquired or bettered partly with state
29.4bond proceeds and partly with other money, the net proceeds of sale must be used: first, to
29.5pay to the state the amount of state bond proceeds used to acquire or better the property;
29.6second, to pay in full any outstanding public or private debt incurred to acquire or better
29.7the property; and third, to pay interested public and private entities, other than any
29.8public officer or agency or any private lender already paid in full, the amount of money
29.9contributed to the acquisition or betterment of the property; and fourth, any excess over the
29.10amount needed for those purposes must be divided in proportion to the shares contributed
29.11to the acquisition or betterment of the property and paid to the interested public and
29.12private entities, other than any private lender already paid in full, and the proceeds are
29.13appropriated for this purpose. In calculating the share contributed by each entity, the
29.14amount to be attributed to the owner of the property shall be the fair market value of the
29.15property that was bettered by state bond proceeds at the time the betterment began.
29.16    When all of the net proceeds of sale have been applied as provided in this
29.17subdivision, this section no longer applies to the property.
29.18EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
29.19and applies to leases, grant agreements, or management agreements entered into on or
29.20after that date.

29.21    Sec. 22. Minnesota Statutes 2006, section 16A.695, is amended by adding a
29.22subdivision to read:
29.23    Subd. 6. Match requirements. Recipients of grants from money appropriated
29.24from the bond proceeds fund may be required to demonstrate a commitment of money
29.25from nonstate sources. This matching money may be pledged payments that have been
29.26deposited into a segregated account or multiyear pledges that are converted into cash or
29.27cash equivalent through a loan or irrevocable letter of credit from a financial institution.
29.28The loan or irrevocable letter of credit may be secured by a lien on the state bond financed
29.30EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
29.31and applies to leases, grant agreements, or management agreements entered into on or
29.32after that date.

30.1    Sec. 23. Minnesota Statutes 2006, section 16A.695, is amended by adding a
30.2subdivision to read:
30.3    Subd. 7. Ground lease for state bond financed property. A public officer or
30.4agency, as lessee, may lease real property and improvements that are to be acquired or
30.5improved with state bond proceeds. The lease must be for a term equal to or longer than
30.6125 percent of the useful life of the property. The expiration of the lease upon the end of
30.7its term does not require that the state be repaid or that the property be sold and upon the
30.8expiration the real property and improvements are no longer state bond financed property.
30.9EFFECTIVE DATE.This section is effective retroactively from January 1, 2006,
30.10and applies to leases, grant agreements, or management agreements entered into on or
30.11after that date.

30.12    Sec. 24. Minnesota Statutes 2006, section 16A.695, is amended by adding a
30.13subdivision to read:
30.14    Subd. 8. General applicability. (a) This section establishes requirements for
30.15the receipt and use of general obligation grants and the ownership and operation of
30.16state bond-financed property. General obligation grants may only be issued and used to
30.17finance the acquisition and betterment of public lands and buildings and other public
30.18improvements of a capital nature that are used to operate a governmental program, and
30.19for predesign and design activities for specifically identified projects that involve the
30.20operation of a governmental program or activity. A general obligation grant may not be
30.21used for general operating expenses, staffing, or general master planning. A public officer
30.22or agency that is the recipient of a general obligation grant must comply with this section
30.23in its use of the general obligation grant and operation, management, lease, and sale
30.24of state bond-financed property. A public officer or agency that uses the proceeds of a
30.25general obligation grant for any unauthorized purpose or in violation of this section must
30.26immediately repay the outstanding balance of the grant to the commissioner, and a failure
30.27to comply authorizes the commissioner to recover the outstanding balance as a setoff
30.28against any state aid provided to the public officer or agency.
30.29    (b) This section does not create any new authority regarding the ownership,
30.30construction, rehabilitation, use, operation, lease management, or sale of state
30.31bond-financed property, or the operation of the governmental program that will be
30.32operated on the property. Any authority that is needed to enter into a management contract
30.33or lease of property, to sell property, or to operate a governmental program or carry out
30.34any activity contained in the law that appropriates money for a general obligation grant
30.35must be provided by as contained in some other law.
31.1EFFECTIVE DATE.This section is effective on and after July 1, 2007.

31.2    Sec. 25. Minnesota Statutes 2006, section 16A.695, is amended by adding a
31.3subdivision to read:
31.4    Subd. 9. Grant agreement. All general obligation grants must be evidenced by
31.5a grant agreement that specifies:
31.6    (1) how the general obligation grant will be used;
31.7    (2) the governmental program that will be operated on the state bond-financed
31.8property; and
31.9    (3) that the state bond-financed property must be operated in compliance with this
31.10section, all state and federal laws, and in a manner that will not cause the interest on the
31.11state general obligation bonds to be or become subject to federal income taxation for any
31.12reason. A grant agreement must comply with this section, the Minnesota Constitution,
31.13and all commissioner's orders, and also contain other provisions the commissioner of the
31.14agency making the grant deems appropriate. The commissioner shall draft and make
31.15available forms for grant agreements that satisfy the requirements of this subdivision.
31.16EFFECTIVE DATE.This section is effective on and after July 1, 2007.

31.17    Sec. 26. Laws 2005, chapter 20, article 1, section 7, subdivision 21, is amended to read:
Subd. 21.State Park and Recreation Area
31.20For acquisition of land under Minnesota
31.21Statutes, section 86A.05, subdivisions 2 and
31.223, from willing sellers of private lands within
31.23state park and recreation area boundaries
31.24established by law.
31.25$500,000 is to purchase land within the
31.26boundaries of Greenleaf Lake state park
31.27recreation area in Meeker county.

31.28    Sec. 27. Laws 2005, chapter 20, article 1, section 17, is amended to read:

31.30To the commissioner of public safety for
31.31a grant to the Economic Development
31.32Authority in and for the city of Blue Earth
32.1to acquire land for and to predesign, design,
32.2construct, furnish, and equip a fire and
32.3police station. This appropriation is not
32.4available until the commissioner of finance
32.5has determined that at least an equal amount
32.6has been committed to the project from
32.7nonstate sources.
32.8EFFECTIVE DATE.This section is effective the day following final enactment.

32.9    Sec. 28. Laws 2005, chapter 20, article 1, section 20, subdivision 3, is amended to read:
Subd. 3.Systemwide Redevelopment, Reuse,
or Demolition
32.12To demolish or improve surplus,
32.13nonfunctional, or deteriorated facilities and
32.14infrastructure at Department of Human
32.15Services campuses statewide.
32.16(a) Up to $8,600,000 may be used to
32.17predesign, design, construct, furnish,
32.18and equip renovation of existing space
32.19or construction of new space for skilled
32.20nursing home capacity for forensic treatment
32.21programs operated by state-operated services
32.22on the campus of St. Peter Regional
32.23Treatment Center.
32.24(b) $4,000,000 may be used to prepare
32.25and develop a site, including demolition of
32.26buildings and infrastructure, to implement
32.27the redevelopment and reuse of the
32.28Ah-Gwah-Ching Regional Treatment Center
32.29campus. If the property is sold or transferred
32.30to a local unit of government, the unspent
32.31portion of this appropriation may be granted
32.32to the local unit of government that acquires
32.33the campus for the purposes stated in this
32.34subdivision. Notwithstanding Minnesota
33.1Statutes, section 16A.642, this appropriation
33.2and its corresponding bond authorization do
33.3not cancel until June 30, 2010.
33.4(c) $1,000,000 may be used to renovate one
33.5or more buildings for chemical dependency
33.6treatment specializing in methamphetamine
33.7addiction, and demolish buildings, on the
33.8Willmar Regional Treatment Center campus.
33.9If the property is sold or transferred to a local
33.10unit of government, the unspent portion of
33.11this appropriation may be granted to the local
33.12unit of government that acquires the campus
33.13for the purposes stated in this subdivision.
33.14(d) Up to $2,210,000 may be spent by the
33.15commissioner of finance to retire municipal
33.16bonds issued by the city of Fergus Falls and
33.17to retire interfund loans incurred by the city
33.18of Fergus Falls in connection with the waste
33.19incinerator and steam heating facility at the
33.20Fergus Falls Regional Treatment Center.
33.21(e) Up to $400,000 may be used for a grant to
33.22the city of Fergus Falls to demolish the city's
33.23waste-to-energy incineration plant located
33.24on the grounds of the Fergus Falls Regional
33.25Treatment Center.
33.26(f) The provisions, terms, and conditions
33.27of any grant made by the director of the
33.28Office of Environmental Assistance under
33.29Minnesota Statutes, chapter 115A, to the
33.30city of Fergus Falls for the waste incinerator
33.31steam heating facility that supports the
33.32Fergus Falls Regional Treatment Center and
33.33that may come into effect as a result of the
33.34incinerator and facility being closed, are
33.35hereby waived.

34.1    Sec. 29. Laws 2005, chapter 20, article 1, section 21, subdivision 2, is amended to read:
Subd. 2.Asset Preservation
34.3For asset preservation improvements and
34.4betterments of a capital nature at veterans
34.5homes statewide to be spent in accordance
34.6with Minnesota Statutes, section 16A.632.
34.7Up to $2,200,000 of federal money received
34.8by the Minnesota Veterans Homes Board
34.9of Directors as reimbursement for state
34.10capital expenditures at the veterans homes
34.11must be credited to the general fund and
34.12is appropriated to the commissioner of
34.13administration for asset preservation repairs
34.14and betterments at the homes in accordance
34.15with Minnesota Statutes, section 16A.632.

34.16    Sec. 30. Laws 2005, chapter 20, article 1, section 23, subdivision 8, is amended to read:
Subd. 8.Lewis and Clark Rural Water System,
34.19This appropriation is from the general fund
34.20to the Public Facilities Authority for grants
34.21to the city of Luverne, city of Worthington
34.22Public Utilities, Lincoln-Pipestone rural
34.23water system, and Rock County rural water
34.24system Lewis and Clark Joint Powers
34.25Board to acquire land, predesign, design,
34.26construct, furnish, and equip one or more
34.27water transmission and storage facilities to
34.28accommodate the connection with of the
34.29Lewis and Clark Rural Water System, Inc.
34.30that will serve southwestern Minnesota.
34.31The grants Payment to the Lewis and Clark
34.32Rural Water System, Inc., must be awarded
34.33to projects approved by the Lewis and Clark
34.34Joint Powers Board.
35.1This appropriation is available only to the
35.2extent that each $1 of state money is matched
35.3by at least $1 of local money paid to the
35.4Lewis and Clark Rural Water System, Inc.
35.5for each $1 of state money to be used to
35.6reimburse costs incurred on eligible projects.
35.7This appropriation is the first phase of the
35.8state share for the Lewis and Clark Rural
35.9Water System, Inc. project as defined in the
35.10federal Lewis and Clark Rural Water System
35.11Act of 2000.

35.12    Sec. 31. Laws 2005, chapter 20, article 1, section 23, subdivision 16, is amended to
Subd. 16.Minneapolis
(a) Minnesota Planetarium
35.16For a grant to the city of Minneapolis
35.17Hennepin County to complete design and
35.18to construct, furnish, and equip a new
35.19Minnesota planetarium and space discovery
35.20center in conjunction with the Minneapolis
35.21downtown library.
(b) Heritage Park
35.23Any unspent balance remaining on December
35.2431, 2004, in the appropriation made by
35.25Laws 2000, chapter 492, article 1, section
35.2622, subdivision 10, for a grant to the city of
35.27Minneapolis, may be used by the city for
35.28improvements to the Heritage Park project.
(c) Minnesota Shubert Center
35.30For a grant to the city of Minneapolis to
35.31predesign and design and provide for related
35.32capital costs for an associated atrium to
35.33create the Minnesota Shubert Center.
36.1EFFECTIVE DATE.This section is effective on the same date as H.F. 1973/S.F.
36.21812, if enacted in the 2007 legislative session.

36.3    Sec. 32. Laws 2005, chapter 156, article 2, section 46, is amended to read:
36.4    Sec. 46. FORD BUILDING.
36.5    The Ford Building at 117 University Avenue in St. Paul may not be demolished
36.6during the biennium ending before June 30, 2007 2008. By January 15, 2006, the
36.7commissioner of administration, in consultation with interested legislators, private sector
36.8real estate professionals, historic preservation specialists, and representatives of the city of
36.9St. Paul, neighboring property, and St. Paul neighborhood associations, must report to the
36.10legislature with recommendations regarding potential means of preserving and using the
36.11Ford Building. The report must include:
36.12    (1) availability of potential lessees for the building;
36.13    (2) constraints on leasing the building, including the requirement to pay off any state
36.14general obligation bonds previously used in maintaining or rehabilitating the building; and
36.15    (3) the cost of restoring and rehabilitating the building, and the feasibility of various
36.16means of paying these costs, including potential use of revenue bonds.

36.17    Sec. 33. Laws 2006, chapter 258, section 4, subdivision 4, is amended to read:
Subd. 4.MacPhail Music Center
36.19(a) For a grant to the city of Minneapolis to
36.20predesign, design, construct, furnish, and
36.21equip a new facility for the MacPhail Center
36.22for Music. The city of Minneapolis may
36.23enter into a lease or management agreement
36.24to operate the center, subject to Minnesota
36.25Statutes, section 16A.695. This appropriation
36.26is not available until the commissioner has
36.27determined that not less than $15,000,000
36.28has been committed to the MacPhail Center
36.29for Music from nonstate sources, and that
36.30the available money is sufficient to complete
36.31a functional facility. Money secured before
36.32the effective date of this section may count
36.33toward the required commitment of nonstate
36.34sources, provided it is used for qualified
37.1capital expenditures. Any land acquisition
37.2costs paid by MacPhail Center for Music
37.3qualify as capital expenditures.
37.4(b) The city of Minneapolis may provide
37.5money to predesign, design, construct,
37.6furnish, and equip a center for music
37.7education, including classrooms and a
37.8recital hall in the city of Minneapolis,
37.9to provide a facility for education of
37.10students, music therapy programs for
37.11persons with disabilities, music teacher
37.12training opportunities, curriculum and
37.13program development, and to provide the
37.14programming in public and private schools
37.15and in partnership with other organizations
37.16throughout the state.
37.17(c) The required demonstration of a
37.18commitment of funds from nonstate sources
37.19has been met by cash, prepaid qualified
37.20expenses, and private multiyear pledges that
37.21have been converted into cash through bond
37.22financing and a letter of credit secured by
37.23a mortgage lien on the state bond financed
37.24property. The $5,000,000 construction grant
37.25shall be disbursed without requirement that
37.26the mortgage lien be released.
37.27(d) The commissioners of education and
37.28finance shall agree to a provision in the
37.29ground lease that permits the city of
37.30Minneapolis to purchase for fair market
37.31value, as that term is defined in Minnesota
37.32Statutes, section 16A.695, subdivision 1,
37.33paragraph (d), the interest of the operating
37.34lease lessee in the state bond financed
37.35property (based on investment in land
38.1and capital improvements) in the event of
38.2nonrenewal of the operating lease at the time
38.3of nonrenewal without requirement of a prior
38.4escrow for funds by the city of Minneapolis.
38.5EFFECTIVE DATE.This section is effective retroactively from June 2, 2006.

38.6    Sec. 34. Laws 2006, chapter 258, section 7, subdivision 3, is amended to read:
Subd. 3.Flood Hazard Mitigation Grants
38.8For the state share of flood hazard
38.9mitigation grants for publicly owned capital
38.10improvements to prevent or alleviate flood
38.11damage under Minnesota Statutes, section
38.13The commissioner shall determine project
38.14priorities as appropriate, based on need.
38.15This appropriation includes money for the
38.16following projects:
38.17(a) Austin
38.18(b) Albert Lea
38.19(c) Crookston
38.20(d) Canisteo Mine
38.21(e) Delano
38.22(f) East Grand Forks
38.23(g) Golden Valley
38.24(h) Grand Marais Creek
38.25(i) Granite Falls
38.26(j) Inver Grove Heights
38.27(k) Manston Slough
38.28(l) Oakport Township
38.29(m) Riverton Township
38.30(n) Roseau
39.1(o) Shell Rock Watershed District
39.2(o) (p) St. Vincent
39.3(p) (q) Wild Rice River Watershed District
39.4For any project listed in this subdivision
39.5that the commissioner determines is not
39.6ready to proceed or does not expend all the
39.7money allocated to it, the commissioner may
39.8allocate that project's money to a project on
39.9the commissioner's priority list.
39.10To the extent that the cost of a project in Ada,
39.11Breckenridge, Crookston, Dawson, East
39.12Grand Forks, Granite Falls, Montevideo,
39.13Oakport Township, Roseau, St. Vincent, or
39.14Warren exceeds two percent of the median
39.15household income in the municipality
39.16multiplied by the number of households in
39.17the municipality, this appropriation is also
39.18for the local share of the project. The local
39.19share for the St. Vincent dike may not exceed

39.21    Sec. 35. Laws 2006, chapter 258, section 7, subdivision 7, is amended to read:
Subd. 7.Lake Superior safe harbors
39.23To design and construct capital improvements
39.24to public accesses and small craft harbors on
39.25Lake Superior in accordance with Minnesota
39.26Statutes, sections 86A.20 to 86A.24, and in
39.27cooperation with the United States Army
39.28Corps of Engineers.
39.29This appropriation may be used to develop
39.30the harbor of refuge and marina at Two
39.31Harbors and is added to the appropriations
39.32in Laws 1998, chapter 404, section 7,
39.33subdivision 24; and Laws 2000, chapter
40.1492, article 1, section 7, subdivision 21, as
40.2amended by Laws 2005, chapter 20, article
40.31, section 42. Notwithstanding those laws,
40.4the commissioner may proceed with the Two
40.5Harbors project by providing up to $625,000
40.6to complete the design specifications and
40.7environmental work currently underway and
40.8proceed with the remaining money for the
40.9project upon securing an agreement with the
40.10U.S. Army Corps of Engineers that commits
40.11federal expenditures of at least $4,000,000
40.12to the project.

40.13    Sec. 36. Laws 2006, chapter 258, section 7, subdivision 11, is amended to read:
Subd. 11.Water control structures
40.15To rehabilitate or replace water control
40.16structures used to manage shallow lakes and
40.17wetlands for waterfowl habitat on wildlife
40.18management areas under Minnesota Statutes,
40.19section 86A.05, subdivision 8, or for the
40.20purposes of public water reserves under
40.21Minnesota Statutes, section 97A.101.

40.22    Sec. 37. Laws 2006, chapter 258, section 7, subdivision 22, is amended to read:
Subd. 22.Regional trails
40.24For matching grants under Minnesota
40.25Statutes, section 85.019, subdivision 4b.
40.26$648,000 is for the Agassiz Recreational
40.27ATV Trail. Snowmobile trail grant money
40.28received under Minnesota Statutes, section
40.2984.83, subdivision 3, and all-terrain vehicle
40.30trail grant money received under Minnesota
40.31Statutes, section 84.927, subdivision 2, may
40.32be counted as part of the county's required 50
40.33percent nonstate match.
41.1$485,000 is for a grant to the Central
41.2Minnesota Regional Parks and Trails
41.3Coordination Board to design, engineer,
41.4and construct 6.3 miles of trail and two
41.5parking areas along the Mississippi River
41.6in Sherburne County, to be known as Xcel
41.7Energy Great River Woodland Trail.

41.8    Sec. 38. Laws 2006, chapter 258, section 16, subdivision 4, is amended to read:
Subd. 4.Northstar Commuter Rail
41.10(a) To acquire land, or an interest in land,
41.11and to design, construct, furnish, and equip
41.12the Northstar commuter rail line serving
41.13Big Lake to downtown Minneapolis and
41.14to acquire land, or an interest in land, and
41.15to design, construct, furnish, and equip
41.16the extension of the Hiawatha light rail
41.17transit line from its terminus in downtown
41.18Minneapolis to a new terminus near Fifth
41.19Avenue North adjacent to the proposed
41.20downtown Minneapolis commuter rail
41.22(b) This appropriation is added to the
41.23appropriation in Laws 2005, chapter 20,
41.24article 1, section 18, subdivision 5.
41.25(c) This appropriation is not available until
41.26a full-funding grant agreement has been
41.27executed with, or a letter of no prejudice
41.28for a specific component of the project or
41.29pre-award authority has been issued by, the
41.30Federal Transit Administration.
41.31(d) If the Northstar commuter rail line is
41.32extended from Big Lake to the St. Cloud
41.33area, regional rail authority members of the
41.34Northstar Corridor Development Authority
42.1who did not fund a portion of the share
42.2of capital costs from Minneapolis to Big
42.3Lake shall contribute an amount for the
42.4extension equal to the amount they would
42.5have contributed for their proportional share
42.6of the entire line from Minneapolis to the
42.7St. Cloud area.
42.8(e) The commissioner of transportation may
42.9encumber money in an account in the special
42.10revenue fund, up to the amount of federal
42.11funding obligated in a multiyear full-funding
42.12grant agreement with the Federal Transit
42.13Administration, for the Northstar Commuter
42.14Rail project.

42.15    Sec. 39. Laws 2006, chapter 258, section 21, subdivision 6, is amended to read:
Subd. 6.Redevelopment Account
42.17For purposes of the redevelopment account
42.18under Minnesota Statutes, section 116J.571.
42.19$800,000 is for a grant to the city of
42.20Worthington to remediate contaminated
42.21soil and redevelop the site of the former
42.22Campbell Soup factory. This grant is exempt
42.23from the requirements of Minnesota Statutes,
42.24sections 116J.572 to 116J.575.
42.25$250,000 is for a grant to the city of
42.26Winona to predesign facilities for the
42.27Shakespeare Festival as part of the riverfront
42.28redevelopment plan. This grant is exempt
42.29from the requirements of Minnesota Statutes,
42.30sections 116J.572 to 116J.575.

42.31    Sec. 40. Laws 2006, chapter 258, section 21, subdivision 15, is amended to read:
Subd. 15.Lewis and Clark Rural Water
System, Inc.
43.1This appropriation is from the general fund
43.2to the Public Facilities Authority for grants
43.3to the city of Luverne, city of Worthington
43.4Public Utilities, Lincoln-Pipestone rural
43.5water system, and Rock County rural water
43.6system Lewis and Clark Joint Powers
43.7Board to acquire land, predesign, design,
43.8construct, furnish, and equip one or more
43.9water transmission and storage facilities to
43.10accommodate the connection with of the
43.11Lewis and Clark Rural Water System, Inc.
43.12that will serve southwestern Minnesota.
43.13The grants Payment to the Lewis and Clark
43.14Rural Water System, Inc. must be awarded
43.15to projects approved by the Lewis and Clark
43.16Joint Powers Board.
43.17This appropriation is available to the extent
43.18that each $1 of state money is matched by at
43.19least $1 of local money paid to the Lewis and
43.20Clark Rural Water System, Inc. to reimburse
43.21the system for costs incurred on eligible

43.23    Sec. 41. Laws 2006, chapter 258, section 23, subdivision 3, is amended to read:
Subd. 3.Historic Fort Snelling Museum and
Visitor Center
43.26To design the restoration and renovation of
43.27the 1904 Cavalry Barracks Building for the
43.28historic Fort Snelling Museum and Visitor
43.29Center and other site improvements to
43.30revitalize historic Fort Snelling.

43.33    The Metropolitan Council shall report by January 1, 2008, to the legislative
43.34committees with jurisdiction over capital investment on the terms of the grant agreement
44.1and progress on design and construction of the East Phillips Cultural and Community
44.2Center by the Minneapolis Park and Recreation Board with the appropriation in Laws
44.32006, chapter 258, section 17, subdivision 8.

44.5    To the greatest practical extent, projects on the Public Facilities Authority's 2007
44.6intended use plan, the listings for which were based on the Pollution Control Agency's
44.72006 project priority list, shall be carried over to the 2008 intended use plan. Projects that
44.8qualified for funding from the Public Facilities Authority under Laws 2006, chapter 258,
44.9section 21, that could not be certified by the Pollution Control Agency by the applicable
44.10deadline shall have until May 1, 2008, to obtain the required certification from the
44.11Pollution Control Agency.

44.12    Sec. 44. EFFECTIVE DATE.
44.13    Except as otherwise provided, this act is effective the day following final enactment.