HF 1866

2nd Engrossment - 90th Legislature (2017 - 2018) Posted on 03/23/2017 04:37pm

A bill for an act
relating to metropolitan government; modifying governance of the Metropolitan
Council; establishing a farebox recovery objective for certain Twin Cities
metropolitan area transit; prohibiting the Metropolitan Council from undertaking
a light rail project without explicit legislative authority; allowing consideration of
reasonableness of system plans in the Metropolitan Land Planning Act; establishing
requirements governing light rail transit project development; requiring the
Metropolitan Council to revise the transportation policy plan; amending Minnesota
Statutes 2016, sections 473.123; 473.13, subdivision 1; 473.146, subdivisions 3,
4; 473.249, subdivision 2; 473.3994, by adding subdivisions; 473.857, subdivision
2; proposing coding for new law in Minnesota Statutes, chapters 398A; 471; 473.

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

Section 1.

[398A.095] LEGISLATIVE APPROVAL OF LIGHT RAIL PROJECTS.

Notwithstanding any law to the contrary, a regional railroad authority is prohibited from
spending any money to study, plan, design, or construct a light rail line, or expand an existing
light rail line, unless the legislature has explicitly authorized the particular project.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 2.

[471.987] LEGISLATIVE APPROVAL OF LIGHT RAIL PROJECTS.

Notwithstanding any law to the contrary, a metropolitan county as defined in section
473.121, subdivision 4, or a home rule charter or statutory city located within the metropolitan
area as defined in section 473.121, subdivision 2, is prohibited from spending any money
to study, plan, design, or construct a light rail line, or expand an existing light rail line,
unless the legislature has explicitly authorized the particular project.

EFFECTIVE DATE.

This section is effective the day following final enactment.

Sec. 3.

Minnesota Statutes 2016, section 473.123, is amended to read:

473.123 METROPOLITAN COUNCIL.

Subdivision 1.

Creation; membership.

(a) A Metropolitan Council with jurisdiction
in the metropolitan area is established as a public corporation and political subdivision of
the state. It shall be under the supervision and control of 17 27 members, all of whom shall
be residents of the metropolitan area. and appointed as follows:

(1) a county commissioner from each metropolitan county, appointed by the respective
county boards;

(2) a local elected official appointed from each Metropolitan Council district by the
municipal committee for the council district established in this section;

(3) the commissioner of transportation or the commissioner's designee; and

(4) one person to represent nonmotorized transportation, one person to represent freight
transportation, and one person to represent public transit, each appointed by the commissioner
of transportation.

(b) The local elected offices identified in paragraph (a) are compatible with the office
of a Metropolitan Council member.

Subd. 2a.

Terms.

(a) Following each apportionment of council districts, as provided
under subdivision 3a, council members must be appointed from newly drawn districts as
provided in subdivision 3a. Each council member, other than the chair, must reside in the
council district represented. Each council district must be represented by one member of
the council. The terms of members end with the term of the governor, except that all terms
expire on the effective date of the next apportionment. A member serves at the pleasure of
the governor. each municipal committee for the council district shall appoint a local elected
official who resides in the district to serve on the Metropolitan Council for a two-year term.
A member's position on the Metropolitan Council becomes vacant if the member ceases to
be a local elected official or as provided in chapter 351, and any vacancy must be filled as
soon as practicable for the unexpired term in the same manner as the appointment for a
regular term. A member shall continue to serve the member's district until a successor is
appointed and qualified; except that, following each apportionment, the member shall
continue to serve at large until the governor appoints 16 council members, one municipal
committee for the council district appoints a member from each of the newly drawn council
districts district as provided under subdivision 3a, to serve terms as provided under this
section. The appointment to the council must be made by the first Monday in March of the
year in which the term ends.

(b) A county commissioner appointed to the Metropolitan Council shall serve a two-year
term. In addition to the provisions in chapter 351, if a member appointed under this paragraph
ceases to be a county commissioner, the council position becomes vacant. A vacancy must
be filled as soon as practicable for the unexpired term in the same manner as the appointment
for a regular term.

(c) Persons appointed by the commissioner of transportation under subdivision 1 serve
at the pleasure of the appointing authority.

Subd. 2b.

Municipal committee in each council district.

The governing body of each
home rule charter or statutory city and town in each Metropolitan Council district shall
appoint a member to serve on a municipal committee for the council district. If a city or
town is in more than one council district, the governing body must appoint a member to
serve on each council district's municipal committee. The member appointed to a municipal
committee must reside in the council district. In addition to appointing a municipal committee
member to serve as a member of the Metropolitan Council as provided in subdivision 2a,
the municipal committee must meet at least quarterly to discuss issues relating to the
Metropolitan Council.

Subd. 3.

Membership; appointment; qualifications Members', chair's compensation.

(a) Sixteen members must be appointed by the governor from districts defined by this
section. Each council member must reside in the council district represented. Each council
district must be represented by one member of the council. In addition to any compensation
as a local elected official, the council shall pay each member of the council other than the
chair or the commissioner of transportation, or the commissioner's designee, $20,000 per
year plus reimbursement of actual and necessary expenses as approved by the council. The
commissioner of transportation is not eligible for compensation under this subdivision but
may be reimbursed for actual and necessary expenses.

(b) In addition to the notice required by section 15.0597, subdivision 4, notice of
vacancies and expiration of terms must be published in newspapers of general circulation
in the metropolitan area and the appropriate districts. The governing bodies of the statutory
and home rule charter cities, counties, and towns having territory in the district for which
a member is to be appointed must be notified in writing. The notices must describe the
appointments process and invite participation and recommendations on the appointment.
In addition to any compensation as a local elected official, the council shall pay the chair
$40,000 per year plus reimbursement of actual and necessary expenses as approved by the
council.

(c) The governor shall create a nominating committee, composed of seven metropolitan
citizens appointed by the governor, to nominate persons for appointment to the council from
districts. Three of the committee members must be local elected officials. Following the
submission of applications as provided under section 15.0597, subdivision 5, the nominating
committee shall conduct public meetings, after appropriate notice, to accept statements from
or on behalf of persons who have applied or been nominated for appointment and to allow
consultation with and secure the advice of the public and local elected officials. The
committee shall hold the meeting on each appointment in the district or in a reasonably
convenient and accessible location in the part of the metropolitan area in which the district
is located. The committee may consolidate meetings. Following the meetings, the committee
shall submit to the governor a list of nominees for each appointment. The governor is not
required to appoint from the list.

(d) Before making an appointment, the governor shall consult with all members of the
legislature from the council district for which the member is to be appointed.

(e) Appointments to the council are subject to the advice and consent of the senate as
provided in section 15.066.

(f) Members of the council must be appointed to reflect fairly the various demographic,
political, and other interests in the metropolitan area and the districts.

(g) Members of the council must be persons knowledgeable about urban and metropolitan
affairs.

(h) Any vacancy in the office of a council member shall immediately be filled for the
unexpired term. In filling a vacancy, the governor may forgo the requirements of paragraph
(c) if the governor has made appointments in full compliance with the requirements of this
subdivision within the preceding 12 months.

Subd. 3a.

Redistricting.

The legislature shall redraw the boundaries of the council
districts after each decennial federal census so that each district has substantially equal
population. Redistricting is effective in the year ending in the numeral "3." Within 60 days
after a redistricting plan takes effect, the governor municipal committees shall appoint
members from the newly drawn districts to serve terms as provided under subdivision 2a.

Subd. 3e.

District boundaries.

Metropolitan Council plan MC2013-1A, on file with
the Geographical Information Systems Office of the Legislative Coordinating Commission
and published on its Web site on April 9, 2013, is adopted and constitutes the redistricting
plan required by subdivision 3a. The boundaries of each Metropolitan Council district are
as described in that plan.

Subd. 4.

Chair; appointment, officers, selection; duties and compensation.

(a) The
chair of the Metropolitan Council shall be appointed by the governor as the 17th voting
member thereof by and with the advice and consent of the senate to serve at the pleasure
of the governor to represent the metropolitan area at large. Senate confirmation shall be as
provided by section 15.066 and from among the members of the Metropolitan Council to
serve a term determined by the council.

The chair of the Metropolitan Council shall, if present, preside at meetings of the council,
have the primary responsibility for meeting with local elected officials, serve as the principal
legislative liaison, present to the governor and the legislature, after council approval, the
council's plans for regional governance and operations, serve as the principal spokesperson
of the council, and perform other duties assigned by the council or by law.

(b) The Metropolitan Council shall elect other officers as it deems necessary for the
conduct of its affairs for a one-year term. A secretary and treasurer need not be members
of the Metropolitan Council. Meeting times and places shall be fixed by the Metropolitan
Council and special meetings may be called by a majority of the members of the Metropolitan
Council or by the chair. The chair and each Metropolitan Council member shall be reimbursed
for actual and necessary expenses.

(c) Each member of the council shall attend and participate in council meetings and meet
regularly with local elected officials and legislative members from the council member's
district. Each council member shall serve on at least one division committee for
transportation, environment, or community development.

(d) In the performance of its duties the Metropolitan Council may adopt policies and
procedures governing its operation, establish committees, and, when specifically authorized
by law, make appointments to other governmental agencies and districts.

Subd. 8.

General counsel.

The council may appoint a general counsel to serve at the
pleasure of the council.

Subd. 9.

Authority to vote; quorum; votes required for action.

(a) The members
appointed by the counties and municipal committees may vote on all matters before the
council. The commissioner of transportation or the commissioner's designee and the three
members appointed by the commissioner may vote only on matters in which the council is
acting as the metropolitan planning organization for the region as provided in section
473.146.

(b) A quorum is a majority of the members permitted to vote on a matter.

(c) If a quorum is present, the council may adopt its levy only if at least 60 percent of
the members present vote in favor of the levy.

(d) If a quorum is present, the council may adopt a metropolitan system plan or plan
amendment only if at least 60 percent of the members present vote in favor of its adoption.

(e) Except as provided in paragraphs (c) and (d), if a quorum is present, the council may
act on a majority vote of the members present.

EFFECTIVE DATE; TRANSITION; APPLICATION.

(a) Except as provided in
paragraph (b), this section is effective January 1, 2019, and applies in the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington. Metropolitan Council members
serving on the effective date of this section shall continue to serve until members are
appointed from districts by the municipal committees as provided in this section.

(b) Subdivision 2b is effective the day following final enactment.

Sec. 4.

Minnesota Statutes 2016, section 473.13, subdivision 1, is amended to read:

Subdivision 1.

Budget.

(a) On or before December 20 February 15 of each year, the
council shall adopt a final budget covering its present a proposed budget for the next calendar
year to the legislative committees with jurisdiction over the Metropolitan Council and
specifically the committees with jurisdiction over transportation, environment, and housing,
as well as the Committee on Ways and Means in the house of representatives and the
Committee on Finance in the senate. The proposed budget must cover the council's
anticipated receipts and disbursements for the ensuing next calendar year and shall decide
upon the total the proposed amount necessary to be raised from ad valorem tax levies to
meet its budget. The proposed budget shall state in detail the expenditures for each program
to be undertaken, including the expenses for salaries, consultant services, overhead, travel,
printing, and other items. The proposed budget shall state in detail the capital expenditures
of the council for the budget year, based on a five-year capital program adopted by the
council and transmitted to the legislature. After adoption of the budget and The council
must not adopt a final budget that exceeds a budget authorized in law prior to August 1 of
the year preceding the budget year. In any year in which a law is not enacted to authorize
the council's budget by August 1, the council may adopt a budget that allows the council
to continue to operate at no more than the same level as its previously enacted budget,
including levies which must not exceed the amount certified for the previous year.

(b) On or before December 20 of each year, the council must certify its levy for taxes
payable in the following year. No later than five working days after December 20, the
council shall certify to the auditor of each metropolitan county the share of the tax to be
levied within that county, which must be an amount bearing the same proportion to the total
levy agreed on certified by the council as the net tax capacity of the county bears to the net
tax capacity of the metropolitan area. The maximum amount of any levy made for the
purpose of this chapter may not exceed the limits set by the statute authorizing the levy.

(b) (c) In each even-numbered year the council shall prepare for its transit programs a
financial plan for the succeeding three calendar years, in half-year segments. The financial
plan must contain schedules of user charges and any changes in user charges planned or
anticipated by the council during the period of the plan. The financial plan must contain a
proposed request for state financial assistance for the succeeding biennium.

(c) (d) In addition, the proposed budget must show for each year:

(1) the estimated operating revenues from all sources including funds on hand at the
beginning of the year, and estimated expenditures for costs of operation, administration,
maintenance, and debt service;

(2) capital improvement funds estimated to be on hand at the beginning of the year and
estimated to be received during the year from all sources and estimated cost of capital
improvements to be paid out or expended during the year, all in such detail and form as the
council may prescribe; and

(3) the estimated source and use of pass-through funds.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment for taxes payable in 2019 and thereafter, and applies in the counties of
Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

Sec. 5.

Minnesota Statutes 2016, section 473.146, subdivision 3, is amended to read:

Subd. 3.

Development guide: transportation.

(a) The transportation chapter must
include policies relating to all transportation forms and be designed to promote the legislative
determinations, policies, and goals set forth in section 473.371.

(b) In addition to the policy plan content requirements under subdivision 1, the policy
plan must also establish as a primary objective an increase of the average farebox recovery
ratio, calculated for all regular routes and lines operated by the council, to at least 40 percent
by 2022. The plan must identify strategies to achieve the farebox recovery objective under
this paragraph.

(c) In addition to the requirements of subdivision 1 regarding the contents of the policy
plan, the nontransit element of the transportation chapter must include the following:

(1) a statement of the needs and problems of the metropolitan area with respect to the
functions covered, including the present and prospective demand for and constraints on
access to regional business concentrations and other major activity centers and the constraints
on and acceptable levels of development and vehicular trip generation at such centers;

(2) the objectives of and the policies to be forwarded by the policy plan;

(3) a general description of the physical facilities and services to be developed;

(4) a statement as to the general location of physical facilities and service areas;

(5) a general statement of timing and priorities in the development of those physical
facilities and service areas;

(6) a detailed statement, updated every two years, of timing and priorities for
improvements and expenditures needed on the metropolitan highway system;

(7) a general statement on the level of public expenditure appropriate to the facilities;
and

(8) a long-range assessment of air transportation trends and factors that may affect airport
development in the metropolitan area and policies and strategies that will ensure a
comprehensive, coordinated, and timely investigation and evaluation of alternatives for
airport development.

(d) The council shall develop the nontransit element in consultation with the transportation
advisory board and the Metropolitan Airports Commission and cities having an airport
located within or adjacent to its corporate boundaries. The council shall also take into
consideration the airport development and operations plans and activities of the commission.
The council shall transmit the results to the state Department of Transportation.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment and applies to all future updates to the plan. This section applies in the
counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

Sec. 6.

Minnesota Statutes 2016, section 473.146, subdivision 4, is amended to read:

Subd. 4.

Transportation planning.

(a) The Metropolitan Council is the designated
planning agency for any long-range comprehensive transportation planning required by
section 134 of the Federal Highway Act of 1962, Section 4 of Urban Mass Transportation
Act of 1964 and Section 112 of Federal Aid Highway Act of 1973 and other federal
transportation laws. The council shall assure administration and coordination of transportation
planning with appropriate state, regional and other agencies, counties, and municipalities.
As allowed by Code of Federal Regulations, title 23, subparts 450.312 and 450.340, the
boundaries of the metropolitan planning organization must not be expanded beyond the
area included as of the effective date of this section until two years after the United States
Census Bureau releases its notice of Qualifying Urban Areas following the 2020 federal
decennial census.

(b) The council shall establish an advisory body consisting of citizens and representatives
of municipalities, counties, and state agencies in fulfillment of the planning responsibilities
of the council. The membership of the advisory body must consist of:

(1) the commissioner of transportation or the commissioner's designee;

(2) the commissioner of the Pollution Control Agency or the commissioner's designee;

(3) one member of the Metropolitan Airports Commission appointed by the commission;

(4) one person appointed by the council to represent nonmotorized transportation;

(5) one person appointed by the commissioner of transportation to represent the freight
transportation industry;

(6) two persons appointed by the council to represent public transit;

(7) ten elected officials of cities within the metropolitan area, including one representative
from each first-class city, appointed by the Association of Metropolitan Municipalities;

(8) one member of the county board of each county in the seven-county metropolitan
area, appointed by the respective county boards;

(9) eight citizens appointed by the council, one from each council precinct;

(10) one elected official from a city participating in the replacement service program
under section 473.388, appointed by the Suburban Transit Association; and

(11) one member of the council, appointed by the council.

(c) The council shall appoint a chair from among the members of the advisory body.

EFFECTIVE DATE; APPLICATION.

This section is effective January 1, 2019, and
applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

Sec. 7.

Minnesota Statutes 2016, section 473.249, subdivision 2, is amended to read:

Subd. 2.

Deadlines; estimates.

The commissioner of revenue shall certify the council's
levy limitation under this section to the council by August 1 of the levy year. The council
must certify its proposed property tax levy to the commissioner of revenue by September
1 of the levy year. The levy must not exceed any limitation on the levy enacted into law
under section 473.13, subdivision 1, provided that in any year in which a law is not enacted
to authorize the council's levy by August 1, the council may adopt a levy that does not
exceed the levy certified for the previous year. In addition, the commissioner of revenue
shall annually determine whether the ad valorem property tax certified by the Metropolitan
Council for levy following the adoption of its proposed budget is within the levy limitation
imposed by this section. The determination shall be completed prior to September 10 of
each year. If current information regarding gross tax capacity in any county is not transmitted
to the commissioner in a timely manner, the commissioner may estimate the current gross
tax capacity within that county for purposes of making the calculation.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment for taxes payable in 2019 and thereafter, and applies in the counties of
Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

Sec. 8.

[473.3985] LEGISLATIVE APPROVAL OF LIGHT RAIL PROJECTS.

Notwithstanding any law to the contrary, a responsible authority, as defined in section
473.3993, subdivision 4, is prohibited from spending any money to study, plan, design, or
construct a light rail line, or expand an existing light rail line, unless the legislature has
explicitly authorized the particular project.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.

Sec. 9.

Minnesota Statutes 2016, section 473.3994, is amended by adding a subdivision
to read:

Subd. 15.

Project development requirements; colocation.

The council must establish
standards and criteria for colocation of freight rail and light rail transit on shared track or
on adjacent track in a shared rail corridor that apply to light rail transit project development.
The standards and criteria must include:

(1) identification of colocation safety criteria based on the results of an independent
audit and review, which must be analyzed in an environmental impact statement for each
applicable light rail transit project;

(2) incorporation of substantially similar safety standards for a light rail transit project
as established by the Federal Railroad Administration for freight rail, including but not
limited to those pertaining to engineering, track-work planning, track safety, inspections,
training and operations, routing, emergency preparedness, and signage and warning systems;

(3) a prohibition on operation of a train carrying oil or other hazardous substances through
a light rail transit project construction work zone;

(4) specification of project design elements to address safety considerations resulting
from colocation;

(5) accounting for project costs resulting from colocation safety considerations; and

(6) for adjacent track in a shared corridor, sufficient track spacing separation such that
there is minimized likelihood of impacts on operations on a track due to derailment of a
train on the adjacent track.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.

Sec. 10.

Minnesota Statutes 2016, section 473.3994, is amended by adding a subdivision
to read:

Subd. 16.

Project development requirements; alternatives and benefits analysis.

(a)
As part of light rail transit project development and prior to initiating an environmental
analysis or preliminary engineering, the responsible authority must perform an alternatives
and benefits analysis.

(b) In addition to any other information or requirements, the alternatives and benefits
analysis must:

(1) include (i) a no-build option, and (ii) options for each major transit mode, including
but not limited to regular route bus service, arterial bus rapid transit, highway bus rapid
transit, express bus service, and dedicated busway;

(2) evaluate capacity adequacy and congestion impacts under each option;

(3) include a comprehensive benefit-cost analysis; and

(4) review conformity with the transportation policy plan under section 473.146.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.

Sec. 11.

Minnesota Statutes 2016, section 473.857, subdivision 2, is amended to read:

Subd. 2.

Within 60 days; report.

A hearing shall be conducted within 60 days after the
request, provided that the advisory committee or the administrative law judge shall
consolidate hearings on related requests. The 60-day period within which the hearing shall
be conducted may be extended or suspended by mutual agreement of the council and the
local governmental unit. The hearing shall not may consider the need for or reasonableness
of the metropolitan system plans or parts thereof. The hearing shall afford all interested
persons an opportunity to testify and present evidence. The advisory committee or
administrative law judge may employ the appropriate technical and professional services
of the office of dispute resolution for the purpose of evaluating disputes of fact. The
proceedings shall not be deemed a contested case. Within 30 days after the hearing, the
advisory committee or the administrative law judge shall report to the council respecting
the proposed amendments to the system statements. The report shall contain findings of
fact, conclusions, and recommendations and shall apportion the costs of the proceedings
among the parties.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment for system statements prepared by the Metropolitan Council on or after that
date. This section applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.

Sec. 12. TRANSPORTATION POLICY PLAN UPDATE.

By December 31, 2017, the Metropolitan Council must revise the transportation policy
plan under Minnesota Statutes, section 473.146, subdivision 3.

EFFECTIVE DATE.

This section is effective the day following final enactment and
applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

Sec. 13. REQUIREMENTS FOR CERTAIN LIGHT RAIL TRANSIT PROJECTS.

Subject to approval as provided under Minnesota Statutes, section 473.3985, the
requirements established under Minnesota Statutes, section 473.3994, subdivisions 15 and
16, added in this act apply to any light rail transit construction or expansion project that is
in project development, including but not limited to design or engineering, as of the effective
date of this section.

EFFECTIVE DATE; APPLICATION.

This section is effective the day following
final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.