Minnesota Legislature
HF 2205
3rd Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am
KEY: stricken = removed, old language.
underscored = added, new language.
1.1 A bill for an act 1.2 relating to public administration; authorizing 1.3 spending for public purposes; authorizing spending to 1.4 acquire and to better public land and buildings and 1.5 other public improvements of a capital nature; 1.6 authorizing certain improvements and transfers between 1.7 accounts; providing a procedure for political 1.8 subdivisions' request for capital assistance; making 1.9 technical corrections; amending earlier 1.10 authorizations; reauthorizing a project; authorizing 1.11 bonds; providing for certain public pension 1.12 associations' facilities; providing for storage and 1.13 retention of certain documents; authorizing certain 1.14 easements; providing for certain port authority leases 1.15 or management contracts; requesting an investigation 1.16 and report; authorizing a certain college project; 1.17 appropriating money with certain conditions and 1.18 directions; amending Minnesota Statutes 1998, sections 1.19 16A.69, subdivision 2; 16B.30; 136F.36, by adding a 1.20 subdivision; 136F.60, by adding a subdivision; 353.03, 1.21 subdivision 4; 354.06, subdivision 7; and 457A.04, by 1.22 adding a subdivision; Laws 1998, chapter 404, sections 1.23 3, subdivision 17; 5, subdivision 4; 7, subdivisions 1.24 23 and 26; 13, subdivision 12; and 27, subdivisions 1 1.25 and 2; proposing coding for new law in Minnesota 1.26 Statutes, chapters 16A; and 356. 1.27 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.28 Section 1. [CAPITAL IMPROVEMENT APPROPRIATIONS.] 1.29 The sums in the column under "APPROPRIATIONS" are 1.30 appropriated with certain conditions and directions from the 1.31 bond proceeds fund, or other named fund, to the state agencies 1.32 or officials indicated, to be spent for public purposes 1.33 including to acquire and to better public land and buildings and 1.34 other public improvements of a capital nature, as specified in 1.35 this act. 1.36 SUMMARY 2.1 Minnesota State Colleges and 2.2 Universities $6,350,000 2.3 Natural Resources 18,477,000 2.4 Office of Environmental Assistance 3,000,000 2.5 Trade and Economic Development 4,595,000 2.6 Public Facilities Authority 7,200,000 2.7 Administration 6,050,000 2.8 Transportation 440,000 2.9 Corrections 1,785,000 2.10 Bond Sale Expenses 48,000 2.11 Cancellations (30,400,000) 2.12 TOTAL $ 47,945,000 2.13 Bond Proceeds Fund 47,505,000 2.14 Transportation Fund 440,000 2.15 APPROPRIATIONS 2.16 $ 2.17 Sec. 2. MINNESOTA STATE COLLEGES 2.18 AND UNIVERSITIES 2.19 Subdivision 1. To the board of 2.20 trustees of the Minnesota state colleges 2.21 and universities for the purposes 2.22 specified in this section 6,350,000 2.23 Subd. 2. Metropolitan State 2.24 University 250,000 2.25 For strategic land acquisition in the 2.26 area adjacent to the St. Paul campus. 2.27 Subd. 3. Winona State University 6,100,000 2.28 To replace or renovate the boiler 2.29 system at Winona State University. 2.30 Subd. 4. Higher Education Asset 2.31 Preservation and Replacement (HEAPR) 2.32 (a) The board of trustees must spend 2.33 the amounts listed for the purposes 2.34 stated in this subdivision as provided in 2.35 Minnesota Statutes, section 135A.046, 2.36 subdivision 3, from money appropriated 2.37 for the purpose in Laws 1998, chapter 404, 2.38 section 3, subdivision 2. 2.39 (b) $400,000 is for the upgrade and 2.40 replacement of underground and 2.41 aboveground storage tanks. 2.42 (c) $1,090,000 is to demolish 2.43 structures, eliminate blight, and 2.44 provide security lighting on certain 2.45 recently acquired land at Moorhead 2.46 state university. 3.1 (d) $1,250,000 is for improvements of a 3.2 capital nature to the heating, 3.3 ventilation, and air conditioning 3.4 system at Ridgewater Community and 3.5 Technical College, Hutchinson. 3.6 Sec. 3. NATURAL RESOURCES 3.7 Subdivision 1. To the commissioner of 3.8 natural resources for the purposes specified 3.9 in this section 18,477,000 3.10 Subd. 2. East Grand Forks 15,877,000 3.11 For dike construction for the East 3.12 Grand Forks flood damage reduction 3.13 program. This grant does not require a 3.14 local match. 3.15 Subd. 3. Warren 800,000 3.16 For dike construction for the flood 3.17 damage reduction program for the city 3.18 of Warren. This grant does not require 3.19 a local match. 3.20 Subd. 4. Crookston 1,800,000 3.21 For dike construction for the flood 3.22 mitigation damage reduction program for 3.23 the city of Crookston. This grant does 3.24 not require a local match. 3.25 Sec. 4. OFFICE OF ENVIRONMENTAL ASSISTANCE 3,000,000 3.26 To the director of the office of 3.27 environmental assistance for a grant 3.28 under Minnesota Statutes, chapter 115A, 3.29 not to exceed $3,000,000, for the 3.30 retrofit and reconstruction of a solid 3.31 waste resource recovery facility 3.32 located in the city of Perham that 3.33 serves a seven-county area. The 3.34 appropriation is available until June 3.35 30, 2001. 3.36 Sec. 5. TRADE AND ECONOMIC DEVELOPMENT 3.37 Subdivision 1. To the commissioner of 3.38 trade and economic development for the 3.39 purposes specified in this section 4,595,000 3.40 Subd. 2. St. Paul Hoyt Avenue Area 595,000 3.41 For a grant to the city of St. Paul to 3.42 design and construct a day basin 3.43 holding pond for flood mitigation in 3.44 the Hoyt Avenue area of St. Paul. 3.45 Subd. 3. Phalen Corridor 4,000,000 3.46 For a grant to the city of St. Paul 3.47 Port Authority to acquire a roadway 3.48 right-of-way in the Phalen corridor. 3.49 The city must consider the potential 3.50 for connection with an adjoining 3.51 transit hub and any connector roads. 3.52 Sec. 6. PUBLIC FACILITIES AUTHORITY 7,200,000 3.53 To the public facilities authority for 4.1 state matching money for federal grants 4.2 to capitalize the drinking water 4.3 revolving fund and water pollution 4.4 control revolving fund under Minnesota 4.5 Statutes, sections 446A.07 and 446A.081. 4.6 Sec. 7. ADMINISTRATION 4.7 Subdivision 1. To the commissioner of 4.8 administration for the purposes specified 4.9 in this section 6,050,000 4.10 Subd. 2. Capital Asset Preservation 4.11 and Replacement (CAPRA) 3,000,000 4.12 To be spent in accordance with 4.13 Minnesota Statutes, section 16A.632. 4.14 None of this appropriation may be used 4.15 for renovation of the Minnesota 4.16 Veterans Home - Luverne campus. 4.17 Of this amount, $190,000 is for capital 4.18 repair and betterment of roofs on 4.19 buildings 1, 2, and 4, at the Hastings 4.20 Veterans Home. This amount is 4.21 available when the commissioner of 4.22 finance determines that the Veterans 4.23 Home Board is in compliance with 4.24 Minnesota Statutes, sections 16A.695 4.25 and 198.31, with respect to the 4.26 Hastings Veterans Home. 4.27 Subd. 3. Predesign and Design Grant 2,800,000 4.28 For a grant to the county of Itasca for 4.29 predesign and design of public 4.30 infrastructure improvements including 4.31 railroad access and natural gas 4.32 right-of-way and pipeline, public 4.33 highway improvements, and freshwater 4.34 wells and wastewater treatment 4.35 facilities and pipelines, all in 4.36 connection with the construction of a 4.37 new steel mill. 4.38 Subd. 4. World War II 4.39 Veterans Memorial 250,000 4.40 For design, architectural drawings, and 4.41 the start of construction for a World 4.42 War II veterans memorial. The design 4.43 is subject to approval by the capitol 4.44 area architectural and planning board. 4.45 The commissioner of veterans affairs 4.46 shall convene an advisory group, 4.47 including members of veterans 4.48 organizations to review and make 4.49 recommendations about the design of the 4.50 memorial. The appropriation must be 4.51 matched by an equal amount from 4.52 nonstate sources. 4.53 Sec. 8. TRANSPORTATION 440,000 4.54 Up to $440,000, not exceeding 80 4.55 percent of project cost, is 4.56 appropriated to the commissioner of 4.57 transportation from the transportation 4.58 fund for an interest-free loan to the 4.59 city of Brooklyn Park for the purpose 5.1 of constructing a pedestrian bridge 5.2 across trunk highway No. 252. This 5.3 appropriation is only available if the 5.4 project qualifies for federal TEA-21 5.5 funding. The loan shall be repaid to 5.6 the commissioner of finance for return 5.7 to the debt service fund at the time of 5.8 Federal Highway Administration 5.9 reimbursement to the city. 5.10 Sec. 9. CORRECTIONS 1,785,000 5.11 To the commissioner of administration 5.12 for design for renovations of a capital 5.13 nature to the storm and sanitary sewer 5.14 lines at the correctional facility at 5.15 Faribault and for making emergency 5.16 capital repairs to the system. 5.17 Sec. 10. BOND SALE EXPENSES 48,000 5.18 To the commissioner of finance for bond 5.19 sale expenses under Minnesota Statutes, 5.20 section 16A.641, subdivision 8. This 5.21 appropriation is from the bond proceeds 5.22 fund. 5.23 Sec. 11. BOND SALE SCHEDULE 5.24 The commissioner of finance shall 5.25 schedule the sale of state general 5.26 obligation bonds so that, during the 5.27 biennium ending June 30, 2001, no more 5.28 than $528,361,000 will need to be 5.29 transferred from the general fund to 5.30 the state bond fund to pay principal 5.31 and interest due and to become due on 5.32 outstanding state general obligation 5.33 bonds. During the biennium, before 5.34 each sale of state general obligation 5.35 bonds, the commissioner of finance 5.36 shall calculate the amount of debt 5.37 service payments needed on bonds 5.38 previously issued and shall estimate 5.39 the amount of debt service payments 5.40 that will be needed on the bonds 5.41 scheduled to be sold. The commissioner 5.42 shall adjust the amount of bonds 5.43 scheduled to be sold so as to remain 5.44 within the limit set by this section. 5.45 The amount needed to make the debt 5.46 service payments is appropriated from 5.47 the general fund as provided in 5.48 Minnesota Statutes, section 16A.641. 5.49 Sec. 12. [BOND SALE AUTHORIZATIONS.] 5.50 Subdivision 1. [BOND PROCEEDS FUND.] To provide the money 5.51 appropriated in this act from the bond proceeds fund, the 5.52 commissioner of finance, on request of the governor, shall sell 5.53 and issue bonds of the state in an amount up to $47,505,000 in 5.54 the manner, upon the terms, and with the effect prescribed by 5.55 Minnesota Statutes, sections 16A.631 to 16A.675, and by the 5.56 Minnesota Constitution, article XI, sections 4 to 7. 6.1 Subd. 2. [TRANSPORTATION FUND.] To provide the money 6.2 appropriated in this act from the transportation fund, the 6.3 commissioner of finance, on request of the governor, shall sell 6.4 and issue bonds of the state in an amount up to $440,000 in the 6.5 manner, upon the terms, and with the effect prescribed by 6.6 Minnesota Statutes, sections 16A.631 to 16A.675, and by the 6.7 Minnesota Constitution, article XI, sections 4 to 7. The 6.8 proceeds of the bonds, except accrued interest and any premium 6.9 received on the sale of the bonds, must be credited to a bond 6.10 proceeds account in the state transportation fund. 6.11 Sec. 13. Minnesota Statutes 1998, section 16A.69, 6.12 subdivision 2, is amended to read: 6.13 Subd. 2. [TRANSFER BETWEEN ACCOUNTS.] Upon the awarding of 6.14 final contracts for the completion of a project for construction 6.15 or other permanent improvement, or upon the abandonment of the 6.16 project, the agency to whom the appropriation was made may 6.17 transfer the unencumbered balance in the project account to 6.18 another project enumerated in the same section of that 6.19 appropriation act, or may transfer unencumbered balances from 6.20 agency operating funds. The transfer must be made only to cover 6.21 bids for the other project that were higher than was estimated 6.22 when the appropriation for the other project was made and not to 6.23 cover an expansion of the other project. The money transferred 6.24 under this section is appropriated for the purposes for which 6.25 transferred. For transfers for technical colleges by the board 6.26 of trustees of the Minnesota state colleges and universities, 6.27 the total cost of both projects and the required local share for 6.28 both projects are adjusted accordingly. The agency proposing a 6.29 transfer shallreport toobtain approval from the commissioner 6.30 of finance and the chair of the senate finance committee and the 6.31 chair of the house of representatives ways and means committee 6.32 before the transfer is made under this subdivision. 6.33 Sec. 14. [16A.86] [CAPITAL PROJECT GRANTS TO POLITICAL 6.34 SUBDIVISIONS.] 6.35 Subdivision 1. [PROJECTS COVERED.] The only capital 6.36 improvement projects covered by this section are those not 7.1 covered by another state program of assistance to political 7.2 subdivisions. 7.3 Subd. 2. [BUDGET REQUEST.] A political subdivision that 7.4 requests an appropriation of state general funds or state 7.5 general obligation bond proceeds for a local capital improvement 7.6 project is encouraged to submit the request to the commissioner 7.7 of finance by June 1 of an odd-numbered year to ensure its full 7.8 consideration. The request must be submitted in the form and 7.9 with the supporting documentation required by the commissioner 7.10 of finance. All requests timely received by the commissioner 7.11 must be forwarded to the legislature, along with agency 7.12 requests, by the deadline established in section 16A.11, 7.13 subdivision 1. 7.14 Subd. 3. [EVALUATION.] (a) The commissioner shall evaluate 7.15 all requests from political subdivisions for state assistance 7.16 based on the following criteria: 7.17 (1) the political subdivision has provided for local, 7.18 private, and user financing for the project to the maximum 7.19 extent possible; 7.20 (2) the project helps fulfill an important state mission; 7.21 (3) the project is of regional or statewide significance; 7.22 (4) the project will not require new or any additional 7.23 state operating subsidies; 7.24 (5) the project will not expand the state's role in a new 7.25 policy area; 7.26 (6) state funding for the project will not create 7.27 significant inequities among local jurisdictions; 7.28 (7) the political subdivision has presented a credible plan 7.29 for how ongoing maintenance of the project will be funded over 7.30 its estimated life; 7.31 (8) the project will not compete with other facilities so 7.32 that the other facilities lose a significant number of users to 7.33 the new project; and 7.34 (9) the governing bodies of those political subdivisions 7.35 primarily benefiting from the project have passed resolutions in 7.36 support of the project. 8.1 (b) The commissioner's evaluation of each request, 8.2 including whether it meets each of the criteria in paragraph 8.3 (a), must be submitted to the legislature along with the 8.4 governor's recommendations under section 16A.11, subdivision 1, 8.5 whether or not the governor recommends that the request be 8.6 funded. 8.7 Subd. 4. [FUNDING.] (a) If a project covered by this 8.8 section is funded, the amount of funding must be no more than 8.9 half the total cost of the project, including predesign, design, 8.10 construction, furnishings, and equipment. 8.11 (b) Notwithstanding paragraph (a), greater than 50 percent 8.12 funding of projects that are deemed needed as a result of a 8.13 disaster or to prevent a disaster, or that meet the criteria in 8.14 subdivision 3, paragraph (a), but are located in political 8.15 subdivisions with very low average net tax capacities is 8.16 permitted. 8.17 (c) This section does not prevent the governor from 8.18 recommending, or the legislature from funding, projects that do 8.19 not meet the criteria in subdivision 3 or 4 when the governor or 8.20 the legislature determines that there is a compelling reason for 8.21 the recommendation or funding. 8.22 Sec. 15. Minnesota Statutes 1998, section 16B.30, is 8.23 amended to read: 8.24 16B.30 [GENERAL AUTHORITY.] 8.25 (a) Subject to other provisions in this chapter, the 8.26 commissioner shall supervise and control the making of all 8.27 contracts for the construction of buildings and for other 8.28 capital improvements to state buildings and structures, other 8.29 than buildings and structures under the control of the board of 8.30 trustees of the Minnesota state colleges and universities. 8.31 Except as provided inparagraphparagraphs (b) and (c), a state 8.32 agency may not undertake improvements of a capital nature 8.33 without specific legislative authority. 8.34 (b) Specific legislative authority is not required for 8.35 repairs or minor capital projects financed with operating 8.36 appropriations or agency receipts that: 9.1 (1) are undertaken for asset preservation or code 9.2 compliance purposes; or 9.3 (2) do not materially increase the net square footage of a 9.4 facility; and in either case 9.5 (3) do not materially increase the cost of agency programs. 9.6 (c) Unless the commissioner determines that an urgency 9.7 exists, the commissioner of an agency undertaking a project with 9.8 a cost in excess of $50,000 pursuant tothisparagraph (b) shall 9.9 notify the chairs of the senate finance committee, the house 9.10 capital investment committee, the house ways and means 9.11 committee, the appropriate house and senate finance divisions, 9.12 and the director of the legislative coordinating commission 9.13 prior to incurring any contractual obligation with regard to the 9.14 project. Any agency undertaking any project pursuant to this 9.15 paragraph during fiscal year 1999 must report all such projects 9.16 to the legislature by January 1, 2000. 9.17 Sec. 16. Minnesota Statutes 1998, section 136F.36, is 9.18 amended by adding a subdivision to read: 9.19 Subd. 4. [STORAGE AND RETENTION OF DOCUMENTS.] 9.20 Notwithstanding section 16A.58, the board may store and retain 9.21 at the respective technical college original documents from 9.22 carpentry program transactions, including but not limited to 9.23 deeds, abstracts of title, and certificates of title. 9.24 Sec. 17. Minnesota Statutes 1998, section 136F.60, is 9.25 amended by adding a subdivision to read: 9.26 Subd. 3. [EASEMENTS.] The board may grant permanent or 9.27 temporary easements over, under, or across any land under its 9.28 jurisdiction for reasonable purposes determined by the board. 9.29 Sec. 18. Minnesota Statutes 1998, section 353.03, 9.30 subdivision 4, is amended to read: 9.31 Subd. 4. [OFFICES.] The commissioner of 9.32 administrationshallmay make provision for suitable office 9.33 space in the state capitol or other state office buildings, or 9.34 at such other location in St. Paul as is determined by the 9.35 commissioner for the use of the board of trustees and its 9.36 executive director. The commissioner shall give the board at 10.1 least four months notice for any proposed removal from their 10.2 present location. Any and all rental charges shall be paid by 10.3 the trustees from the public employees retirement fund. 10.4 Sec. 19. Minnesota Statutes 1998, section 354.06, 10.5 subdivision 7, is amended to read: 10.6 Subd. 7. [OFFICES.] A suitable officeshallmay be 10.7 provided by the state through the proper officer for the use of 10.8 the board and its executive director. 10.9 Sec. 20. [356.89] [PUBLIC PENSION FACILITIES.] 10.10 Subdivision 1. [BUILDING; RELATED FACILITIES.] The board 10.11 of directors of the Minnesota state retirement system, the board 10.12 of trustees of the public employees retirement association, and 10.13 the board of trustees of the teachers retirement association, 10.14 are authorized to expend or otherwise pledge pension funds or 10.15 the proceeds of revenue bonds as provided in subdivision 3 for 10.16 the common ownership, operation, and improvement of a building 10.17 and related facilities for the administration of their public 10.18 pension systems. This authority includes the authority to 10.19 purchase or lease land and facilities and the authority to 10.20 design, construct, furnish, improve, and equip a building and 10.21 related parking facilities to accommodate employees and 10.22 visitors. The boards' planning, selection, design, and building 10.23 of facilities are not subject to the capital improvements 10.24 provisions of sections 16B.30 to 16B.33. The competitive 10.25 acquisition process set forth in chapter 16C does not apply 10.26 provided the process set forth in subdivision 2 is followed. 10.27 Notwithstanding that no appropriation is made, the requirements 10.28 of section 16B.335 apply to this project. The boards must 10.29 obtain approval of the chair of the house ways and means 10.30 committee and the chair of the senate state government finance 10.31 committee to construct, lease, or acquire new space for the 10.32 administration of their pension systems. 10.33 Subd. 2. [CONTRACTING PROCEDURES.] (a) The boards may 10.34 enter into a contract for facilities with a contractor to 10.35 furnish the architectural, engineering, and related services as 10.36 well as the labor, materials, supplies, equipment, and related 11.1 construction services on the basis of a request for 11.2 qualifications and competitive responses received through a 11.3 request for proposals process which must include the items 11.4 listed in paragraphs (b) to (i). 11.5 (b) Prior to issuing a request for qualifications and a 11.6 request for proposals, the boards, with the assistance of the 11.7 department of administration, shall prepare performance criteria 11.8 and specifications which shall include: 11.9 (1) a general floor plan or layout indicating the general 11.10 dimensions of the public building and space requirements; 11.11 (2) design criteria for the exterior and site area; 11.12 (3) performance specifications for all building systems and 11.13 components to assure quality and cost efficiencies; 11.14 (4) conceptual floor plans for systems space; 11.15 (5) preferred types of interior finishes, styles of 11.16 windows, lighting and outlets, doors, and features such as 11.17 built-in counters and telephone wiring; 11.18 (6) mechanical and electrical requirements; 11.19 (7) special interior features required; and 11.20 (8) completion schedule. 11.21 (c) The boards shall first solicit statements of 11.22 qualifications from eligible contractors and select more than 11.23 one qualified contractor based upon experience, technical 11.24 competence, past performance, capability to perform, and other 11.25 appropriate facts. Contractors selected under this process 11.26 shall be, employ, or have as a partner, member, coventurer, or 11.27 subcontractor, persons licensed and registered under chapter 326 11.28 to provide the services required to design and complete the 11.29 project. The boards do not have to select any of the 11.30 respondents if none reasonably fulfill the criteria set forth 11.31 within. 11.32 (d) The contractors selected shall be asked to respond to a 11.33 request for proposals. Responses must include site plans, 11.34 design concept, elevation, statement of material to be used, 11.35 floor layouts, a detailed development budget, and a total cost 11.36 to complete the project. The proposal must indicate that the 12.1 contractor obtained at least two proposals from subcontractors 12.2 for each item of work and must set forth how the subcontractors 12.3 were selected. The boards shall evaluate the proposals based 12.4 upon design, cost, quality, aesthetics, and the best overall 12.5 value to the state pension funds. The board need not select any 12.6 of the proposals submitted and reserves the right to reject any 12.7 and all proposals, and may terminate the process or revise the 12.8 request for proposals and solicit new proposals if the boards 12.9 determine that the best interests of the pension funds would be 12.10 better served by doing so. Proposals submitted shall constitute 12.11 nonpublic data until the contract is awarded. 12.12 (e) The contract selected must comply with section 574.26 12.13 to 574.261. Prior to the execution of a final contract, the 12.14 contractor selected shall certify a firm construction price and 12.15 completion date. 12.16 (f) The boards may consider building sites in the city of 12.17 St. Paul and surrounding suburbs. 12.18 (g) Any land, building, or facility leased, constructed, or 12.19 acquired and any leasehold interest acquired under this section 12.20 shall be held in common ownership in the name of the three 12.21 retirement systems as tenants in common. Each retirement system 12.22 fund shall consider its interest as a fixed asset of its pension 12.23 fund in accordance with governmental accounting standards. 12.24 (h) The boards may lease to another governmental 12.25 subdivision any portion of the funds' building and lands which 12.26 is not required for their direct use upon such terms and 12.27 conditions as they deem to be in the best interest of the 12.28 pension funds. Any income accruing from such rentals shall be 12.29 separately accounted for and utilized to offset ongoing 12.30 administrative expenses and any excess shall be carried forward 12.31 for future administrative expenses. The boards are also 12.32 authorized to enter into lease agreements for the establishment 12.33 of satellite offices should the boards find such offices to be 12.34 necessary in order to assure their members reasonable access to 12.35 their services. The boards also have the authority to request 12.36 the commissioner of administration to lease any portion of their 13.1 building not required for their direct use pursuant to the 13.2 commissioner's authorities under section 16B.24. 13.3 (i) The boards shall formulate and adopt a written working 13.4 agreement which shall set forth the nature of each retirement 13.5 system's ownership interest, the duties and obligations of each 13.6 system towards the construction, operation, and maintenance 13.7 costs of their facilities, and the identification of one 13.8 retirement fund to serve as manager for operating and 13.9 maintenance purposes. The boards may contract with independent 13.10 third parties for maintenance-related activities, services, and 13.11 supplies, and may utilize the services of the department of 13.12 administration where economically feasible to do so. In the 13.13 event the boards cannot agree or resolve a dispute which relates 13.14 to operations or maintenance of the facilities, they may request 13.15 the commissioner of administration to appoint a representative 13.16 from the department's real estate management division to serve 13.17 as arbitrator of the dispute with authority to issue a written 13.18 resolution of the dispute. 13.19 Subd. 3. [REVENUE BONDS AUTHORIZED.] The boards, or any of 13.20 them, may issue revenue bonds in the principal amount necessary, 13.21 in the opinion of the boards, to achieve the purposes described 13.22 in subdivisions 1 and 2; to pay issuance costs and interest 13.23 costs; and to establish necessary reserves to secure the bonds. 13.24 The boards may issue bonds for the purpose of refunding bonds 13.25 issued under this subdivision. 13.26 Subd. 4. [PROCEDURE.] The bonds authorized in subdivision 13.27 3 must be sold, issued, and secured in the manner provided in 13.28 chapter 475 for bonds payable solely from revenues, and the 13.29 boards have the same powers and duties as a municipality and its 13.30 governing body in issuing bonds under that chapter. The bonds 13.31 may be sold at any price and at public or private sale as 13.32 determined by the boards. The bonds may be sold in one or more 13.33 series. Different series may be backed by different revenue 13.34 sources. No election is required. 13.35 Subd. 5. [NONLIABILITY OF STATE.] The state of Minnesota 13.36 is not liable on bonds of the boards and the bonds are not a 14.1 general or moral obligation of the state. 14.2 Subd. 6. [NONLIABILITY OF INDIVIDUALS.] Neither the 14.3 members of the boards nor any person executing the bonds on 14.4 behalf of the boards shall be personally liable on the bonds or 14.5 subject to any personal liability or accountability by reason of 14.6 executing them. 14.7 Sec. 21. Minnesota Statutes 1998, section 457A.04, is 14.8 amended by adding a subdivision to read: 14.9 Subd. 6. [USE AGREEMENTS.] Notwithstanding section 14.10 16A.695, for leases or management contracts entered into with 14.11 respect to property acquired or bettered with the proceeds of 14.12 state general obligations bonds, (1) a port authority may meet 14.13 its obligations and expenses of operating and reinvesting 14.14 capital improvements by retaining revenues received under leases 14.15 or management contracts and is not required to pay lease or 14.16 management contract revenues to the commissioner of finance; and 14.17 (2) the lease or management contract entered into by a port 14.18 authority must not be canceled or terminated as a result of 14.19 changes or termination by the state in the governmental program 14.20 of the port authority unless compensation is paid as provided by 14.21 law. 14.22 Sec. 22. Laws 1998, chapter 404, section 3, subdivision 14.23 17, is amended to read: 14.24 Subd. 17. Pine Technical College 1,700,000 14.25 To predesign, design,andrenovate, and 14.26 construct an addition for a 14.27 telecommunications/media/technology 14.28 center, student services, 14.29 administrative services, classrooms, 14.30 and a regional economic development 14.31 center. This project may be a part of 14.32 a larger advanced technology center 14.33 project at the college if federal funds 14.34 are available for the larger project. 14.35 The board must not proceed with the 14.36 larger advanced technology center 14.37 project without the approval of the 14.38 chairs of the house committee on ways 14.39 and means and the senate committee on 14.40 education finance. 14.41 Sec. 23. Laws 1998, chapter 404, section 5, subdivision 4, 14.42 is amended to read: 14.43 Subd. 4. Recreation and Community 14.44 Center Grants10,800,00015.1 10,500,000 15.2 (a) Unless otherwise specifically 15.3 provided, the commissioner may not make 15.4 a grant from this appropriation until 15.5 the commissioner has determined that at 15.6 least an equal amount has been 15.7 committed to the project from nonstate 15.8 sources. 15.9 (b) The commissioner may not make a 15.10 grant under this subdivision until the 15.11 commissioner has determined that, if 15.12 the center will charge a fee for use of 15.13 the center's facilities, the plan for 15.14 operating the center includes free or 15.15 reduced-rate use of the facilities by 15.16 individuals and families that have a 15.17 household income at or below 150 15.18 percent of the federal poverty income 15.19 guidelines. 15.20 (c) The commissioner may not make a 15.21 grant under this subdivision until the 15.22 commissioner has determined that the 15.23 recipient has the ability and a plan to 15.24 fund the program intended for the 15.25 facility. 15.26 (d) Dawson-Boyd Educational 15.27 and Community Center 1,000,000 15.28 For a grant to independent school 15.29 district No. 378, Dawson-Boyd, to 15.30 design, construct, furnish, and equip 15.31 an educational and community center. 15.32 (e) Detroit Lakes Community 15.33 Center 1,500,000 15.34 For a grant to the city of Detroit 15.35 Lakes to design, construct, furnish, 15.36 and equip the Detroit Lakes Community 15.37 Center. 15.38 (f) Granite Falls Area 15.39 Multipurpose Community Recreation and 15.40 Education Center 1,000,000 15.41 For a grant to the city of Granite 15.42 Falls to design, construct, furnish, 15.43 and equip a multipurpose community 15.44 recreation and education building. 15.45 (g) Hallett Community 15.46 Center, City of Crosby 300,000 15.47 For a grant to the city of Crosby to 15.48 design, construct, furnish, and equip 15.49 the Hallett Community Center. 15.50 (h) Hastings Municipal Water 15.51 Park 500,000 15.52 For a grant to the city of Hastings to 15.53 design, construct, furnish, and equip a 15.54 municipal water park. 15.55 (i) Hermantown Community Indoor 15.56 Sports and Physical Education Complex 1,000,000 16.1 For a grant to independent school 16.2 district No. 700, Hermantown, to 16.3 design, construct, furnish, and equip a 16.4 community indoor sports and physical 16.5 education complex with an indoor track. 16.6 (j) Isle Community Center1,000,00016.7 700,000 16.8 For a grant to independent school 16.9 district No. 473, Isle, to convert a 16.10 school building into a community 16.11 center. Programs located at the 16.12 converted facility must include the 16.13 alternative education program, early 16.14 childhood family education programs, 16.15centralized school district kitchen16.16facilities,and other community 16.17 programs. This appropriation is 16.18 available on a dollar for dollar basis 16.19 as matching funds are committed from 16.20 nonstate sources. 16.21 (k) Lake Crystal Area 16.22 Recreation Center 1,500,000 16.23 For a grant to the city of Lake Crystal 16.24 to design, construct, furnish, and 16.25 equip the Lake Crystal Area Recreation 16.26 Center. 16.27 (l) Proctor Community 16.28 Activity Center 1,000,000 16.29 For a grant to the city of Proctor to 16.30 design, construct, furnish, and equip a 16.31 city community activity center designed 16.32 to provide facilities for city 16.33 government, library, arts, museum, and 16.34 other public functions. 16.35 (m) Redwood Valley Multipurpose 16.36 Education and Community Center 1,000,000 16.37 For a grant to independent school 16.38 district No. 2758, Redwood Falls, to 16.39 design, construct, furnish, and equip a 16.40 multipurpose education and community 16.41 center to be constructed and operated 16.42 under a joint powers agreement with the 16.43 city of Redwood Falls. 16.44 The center must provide: (1) expanded 16.45 physical education curriculum for 16.46 Redwood Valley students; (2) a latchkey 16.47 program and an after-school program for 16.48 at-risk youth; (3) expanded healthy 16.49 lifestyle community education and 16.50 recreation programs for all age groups 16.51 in the community; and (4) community 16.52 conference and meeting facilities. 16.53 (n) Windom Area Multipurpose 16.54 Center 1,000,000 16.55 For a grant to the city of Windom to 16.56 design, construct, furnish, and equip a 16.57 multipurpose center. 16.58 Sec. 24. Laws 1998, chapter 404, section 7, subdivision 17.1 23, is amended to read: 17.2 Subd. 23. Metro Regional Trails 5,000,000 17.3 For grants to the metropolitan council 17.4 for acquisition and development of a 17.5 capital nature of trail connections in 17.6 the metropolitan area as specified in 17.7 this subdivision. The purpose of the 17.8 grants is to improve trails in the 17.9 metropolitan park and open space system 17.10 and connect them with existing state 17.11 and regional trails. Priority shall be 17.12 given to matching funds for an ISTEA 17.13 grant. 17.14 The funds shall be allocated by the 17.15 council as follows: 17.16 (1) $1,050,000 is allocated to Ramsey 17.17 county as follows: 17.18 (i) $400,000 to complete six miles of 17.19 trails between the Burlington Northern 17.20 Regional Trail and Bald Eagle-Otter 17.21 Lake Regional Park; 17.22 (ii) $150,000 to complete a one-mile 17.23 connection between Birch Lake and the 17.24 Lake Tamarack segment of Bald 17.25 Eagle-Otter Lake Regional Park; 17.26 (iii) $500,000 to acquire real property 17.27 and design and construct or renovate 17.28 recreation facilities along the 17.29 Mississippi River in cooperation with 17.30 the city of St. Paul; 17.31 (2) $1,050,000 is allocated to the city 17.32 of St. Paul as follows: 17.33 (i) $250,000 to construct a bridge over 17.34 Lexington Parkway in Como Regional 17.35 Park; and 17.36 (ii) $800,000 to enhance amenities for 17.37 the trailhead at the Lilydale-Harriet 17.38 Island Regional Park pavilion; 17.39 (3) $1,400,000 is allocated to Anoka 17.40 countyas followsto construct: 17.41 (i)$1,100,000 to constructa 17.42 pedestrian tunnel under Highway 65 on 17.43 the Rice Creek West Regional Trail in 17.44 the city of Fridley; and 17.45 (ii)$300,000 to constructa pedestrian 17.46 bridge on the Mississippi River 17.47 Regional Trail crossing over 17.48 Mississippi Street in the city of 17.49 Fridley; and 17.50 (4) $1,500,000 is allocated to the 17.51 suburban Hennepin regional park 17.52 district as follows: 17.53 (i) $1,000,000 to connect North 17.54 Hennepin Regional Trail to Luce Line 17.55 State Trail and Medicine Lake; and 18.1 (ii) $500,000 is for the cost of 18.2 development and acquisition of the 18.3 Southwest regional trail in the city of 18.4 St. Louis Park. The trail must connect 18.5 the Minneapolis regional trail system 18.6 at Cedar Lake park to the Hennepin 18.7 parks regional trail system at the 18.8 Hopkins trail head. 18.9 Sec. 25. Laws 1998, chapter 404, section 7, subdivision 18.10 26, is amended to read: 18.11 Subd. 26. Local Initiative Grants 8,000,000 18.12 For matching grants to be provided to 18.13 local units of government for 18.14 acquisition, development, or renovation 18.15 of a capital nature of local parks, 18.16 trails, and natural and scenic areas. 18.17 Recipients must provide a match of at 18.18 least one-half of total eligible 18.19 project costs. The commissioner shall 18.20 make payment to local units of 18.21 government upon receiving documentation 18.22 of reimbursable expenditures. The 18.23 commissioner shall determine project 18.24 priorities as appropriate based upon 18.25 need. 18.26 $3,500,000 of this appropriation is for 18.27 grants to units of government to 18.28 acquire and develop outdoor recreation 18.29 areas, and for grants to units of 18.30 government to acquire and better 18.31 natural and scenic areas under 18.32 Minnesota Statutes, section 85.019, 18.33 subdivision 4a. 18.34 $1,000,000 of this appropriation is for 18.35 cooperative trail grants of up to 18.36 $50,000 per project to acquire or 18.37 construct trail linkages between 18.38 communities, trails, and parks. 18.39 $3,500,000 of this appropriation is for 18.40 trail grants for the following locally 18.41 funded publicly owned trails serving 18.42 multiple communities: $1,400,000 for 18.43 Beaver Island Trail in Stearns County, 18.44 $1,400,000 for Skunk Hollow Trail in 18.45 Yellow Medicine and Chippewa Counties, 18.46 and $700,000 for Unity Trail in 18.47 Faribault County. The grant for Beaver 18.48 Island Trail in Stearns County is 18.49 available in the manner and the order 18.50 that follows: $500,000 is available 18.51 upon commitment of an equal amount from 18.52 nonstate sources, $152,000 is available 18.53 upon contribution of an equal amount 18.54 from local governments, $374,000 is 18.55 available upon commitment of an equal 18.56 amount from nonstate sources, and the 18.57 balance of $374,000 is available upon 18.58 commitment of an equal amount from 18.59 nonstate sources. 18.60 Sec. 26. Laws 1998, chapter 404, section 13, subdivision 18.61 12, is amended to read: 19.1 Subd. 12. Dahl House Relocation100,00019.2 60,000 19.3 This appropriation is from the general 19.4 fund to relocate the Dahl Housenear19.5its original site,and stabilize,and 19.6 restore the structure.Up to $150,00019.7from the plaza percent for art budget19.8may be used for the restoration and19.9related art objects.19.10 Sec. 27. Laws 1998, chapter 404, section 27, subdivision 19.11 1, is amended to read: 19.12 Subdivision 1. [BOND PROCEEDS FUND.] To provide the money 19.13 appropriated in this act from the bond proceeds fund, the 19.14 commissioner of finance, on request of the governor, shall sell 19.15 and issue bonds of the state in an amount up to 19.16$463,795,000$105,145,000 in the manner, upon the terms, and 19.17 with the effect prescribed by Minnesota Statutes, sections 19.18 16A.631 to 16A.675, and by the Minnesota Constitution, article 19.19 XI, sections 4 to 7. 19.20 Sec. 28. Laws 1998, chapter 404, section 27, subdivision 19.21 2, is amended to read: 19.22 Subd. 2. [TRANSPORTATION FUND.] To provide the money 19.23 appropriated in this act from the transportation fund, the 19.24 commissioner of finance, on request of the governor, shall sell 19.25 and issue bonds of the state in an amount up to 19.26$34,000,000$4,000,000 in the manner, upon the terms, and with 19.27 the effect prescribed by Minnesota Statutes, sections 16A.631 to 19.28 16A.675, and by the Minnesota Constitution, article XI, sections 19.29 4 to 7. The proceeds of the bonds, except accrued interest and 19.30 any premium received on the sale of the bonds, must be credited 19.31 to a bond proceeds account in the state transportation fund. 19.32 Sec. 29. [CANCELLATION AND REDUCED AUTHORIZATION.] 19.33 $400,000 of the appropriation in Laws 1998, chapter 404, 19.34 section 26, for bond sale expense is canceled. The bond sale 19.35 authorization in Laws 1998, chapter 404, section 27, subdivision 19.36 1, is reduced by $400,000. 19.37 Sec. 30. [VETERANS HOMES IMPROVEMENTS.] 19.38 Notwithstanding Minnesota Statutes, section 16B.30, the 19.39 veterans homes board of directors may make and maintain the 20.1 improvements to the veterans homes listed in clauses (1) to (5) 20.2 using money donated for those purposes: 20.3 (1) a picnic pavilion at the Minneapolis veterans home; 20.4 (2) walking trails at the Hastings veterans home; 20.5 (3) walking trails and landscape at the Silver Bay veterans 20.6 home; 20.7 (4) an entrance canopy at the Fergus Falls veterans home; 20.8 and 20.9 (5) a suspended wooden deck for dining at the Luverne 20.10 veterans home. 20.11 Sec. 31. [ITASCA COMMUNITY COLLEGE; AUTHORIZATION.] 20.12 The board of trustees of the Minnesota state colleges and 20.13 universities may construct the following facilities at Itasca 20.14 community college: 20.15 (1) a two classroom addition to be located between the 20.16 college center building and Davies hall, funding for the project 20.17 to come from lease revenue supplied from nonstate sources; and 20.18 (2) an addition to the existing child care center, funding 20.19 for the construction to come from a 1997 special appropriation 20.20 to establish pilot infant child care programs with matching 20.21 funds supplied from nonstate sources. 20.22 Sec. 32. [REQUEST TO LEGISLATIVE AUDIT COMMISSION.] 20.23 The legislative audit commission is requested to direct the 20.24 legislative auditor to investigate the mold problem at the 20.25 Luverne veterans home, the state response to the problem, and 20.26 the original cause of the problem, including whether inadequate 20.27 state building standards, or noncompliance with state building 20.28 standards, contributed to this problem and whether other state 20.29 buildings are at risk due to inadequate standards or 20.30 noncompliance with state building standards, and report back to 20.31 the commission for its review and thereafter to the 20.32 legislature. This section does not restrict the department of 20.33 administration or the veterans home board from undertaking 20.34 capital improvements to correct the mold problem. 20.35 Sec. 33. [BOND REAUTHORIZATIONS.] 20.36 An amount remaining of $4,078,196.35 for appropriations 21.1 from the state transportation fund for railroad assistance, 21.2 authorized in Laws 1984, chapter 597, section 22 is reauthorized 21.3 and does not cancel under the terms of Minnesota Statutes, 21.4 section 16A.642, subdivision 1. For purposes of the next report 21.5 required under Minnesota Statutes, section 16A.642, subdivision 21.6 1, the bonds reauthorized in this section shall be treated as 21.7 authorized on the original date of authorization. 21.8 Sec. 34. [EFFECTIVE DATE.] 21.9 This act is effective the day after its final enactment.