HF 2214

1st Engrossment - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to a baseball park; financing a major league 
  1.3             baseball park; creating a Minnesota sports facilities 
  1.4             commission; directing a transfer from the metropolitan 
  1.5             sports commission; establishing a sports facilities 
  1.6             account; requiring a statewide advisory referendum on 
  1.7             state assistance on financing a major league baseball 
  1.8             park; requiring a determination of whether to provide 
  1.9             state financing; providing a process for site 
  1.10            selection; requiring agreements and preconditions for 
  1.11            agreements; providing a property tax exemption for the 
  1.12            baseball park; extending the sales tax to certain 
  1.13            sales of newspapers and magazines if the state 
  1.14            determines to assist in financing the baseball park; 
  1.15            exempting construction materials for the baseball park 
  1.16            from the sales tax; authorizing local revenue bonds; 
  1.17            requiring a guaranteed maximum price on the baseball 
  1.18            park; requiring one-half of baseball park costs to be 
  1.19            privately funded; authorizing city taxes on food, 
  1.20            beverages, lodging, and admission subject to a local 
  1.21            referendum; authorizing a parking tax or surcharge; 
  1.22            authorizing reservation of media outlet fees; 
  1.23            requiring a guaranty from major league baseball; 
  1.24            requiring obligations of the major league baseball 
  1.25            team; authorizing an additional intoxicating liquor 
  1.26            license; authorizing the establishment of a 
  1.27            condominium; requiring evaluation of an olympic bid; 
  1.28            appropriating money; amending Minnesota Statutes 2000, 
  1.29            sections 272.02, by adding a subdivision; 297A.68, 
  1.30            subdivision 10; 297A.71, by adding a subdivision; 
  1.31            Minnesota Statutes 2001 Supplement, section 297A.94; 
  1.32            proposing coding for new law as Minnesota Statutes, 
  1.33            chapter 240B. 
  1.34  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.35     Section 1.  [240B.01] [DEFINITIONS.] 
  1.36     (a) For purposes of this chapter, the following terms have 
  1.37  the meanings given them. 
  1.38     (b) "Account" means the sports facilities account 
  1.39  established under section 240B.03. 
  2.1      (c) "Commission" means the Minnesota sports facilities 
  2.2   commission established under section 240B.02. 
  2.3      (d) "City" means a statutory or home rule charter city that 
  2.4   contains or is designated by the commission to be the site for a 
  2.5   sports facility. 
  2.6      (e) "Sports facility" or "sports facilities" means a 
  2.7   baseball park for a major league baseball franchise, a football 
  2.8   stadium for a national football league franchise, an arena for a 
  2.9   national basketball association franchise, and an arena for a 
  2.10  national hockey league franchise. 
  2.11     Sec. 2.  [240B.02] [MINNESOTA SPORTS FACILITIES 
  2.12  COMMISSION.] 
  2.13     Subdivision 1.  [CREATION.] A Minnesota sports facilities 
  2.14  commission is created to study the need for and to assist in the 
  2.15  financing of professional and other sports facilities in the 
  2.16  state.  The commission consists of nine members, three appointed 
  2.17  by the governor, three by the speaker of the house of 
  2.18  representatives, and three by the subcommittee on committees of 
  2.19  the senate committee on rules and administration. 
  2.20     Subd. 2.  [ORGANIZATION.] The commission shall elect its 
  2.21  chair and may hire an executive director and other staff as it 
  2.22  determines necessary and appropriate to carry out the duties 
  2.23  under this chapter.  The commission may enter into contracts 
  2.24  with vendors to provide services to carry out its duties.  The 
  2.25  commission is not subject to the restrictions on hiring new 
  2.26  employees or entering contracts under Laws 2002, chapter 220, 
  2.27  article 10, sections 37 and 38. 
  2.28     Subd. 3.  [DUTIES.] The commission has the following powers 
  2.29  and duties: 
  2.30     (1) to study the feasibility and appropriateness of 
  2.31  providing financing for professional sports facilities in the 
  2.32  state of Minnesota, including a baseball park for a major league 
  2.33  baseball franchise and a football stadium for a national 
  2.34  football league franchise, as well as maintenance of and 
  2.35  improvements to the facilities for franchises of the national 
  2.36  hockey league and national basketball association; 
  3.1      (2) to provide financial assistance for the acquisition, 
  3.2   construction, or improvement of sports facilities in Minnesota 
  3.3   by making payments from the sports facilities account 
  3.4   established under section 240B.03 to cities that own and operate 
  3.5   sports facilities; 
  3.6      (3) to conduct an advisory referendum on the question of 
  3.7   whether the state should assist in the construction of a major 
  3.8   league baseball park, as provided under section 240B.04; and 
  3.9      (4) to select a site for a baseball park, if it determines 
  3.10  it is appropriate for the state to assist in financing a major 
  3.11  league baseball park. 
  3.12     Subd. 4.  [TRANSFER FROM METROPOLITAN SPORTS FACILITIES 
  3.13  COMMISSION.] The metropolitan sports facilities commission shall 
  3.14  transfer to the commission $1,000,000 from its accumulated 
  3.15  reserves for deposit in the sports facilities account.  The 
  3.16  commissioner shall repay the metropolitan sports facilities 
  3.17  commission as other money becomes available in the sports 
  3.18  facilities account under section 240B.03. 
  3.19     Sec. 3.  [240B.03] [SPORTS FACILITIES ACCOUNT.] 
  3.20     (a) A sports facilities account is established in the 
  3.21  general fund.  Receipts from the tax imposed by section 7 are 
  3.22  deposited in the account.  Amounts in the account are 
  3.23  appropriated to the commission to pay the costs of its 
  3.24  operations during fiscal year 2003.  Any costs of the commission 
  3.25  for its operations after fiscal year 2003 are subject to 
  3.26  appropriation by law.  This requirement does not apply to 
  3.27  payments made under paragraph (b). 
  3.28     (b) The commission may enter an agreement with the city 
  3.29  selected under section 240B.04 as the location for a baseball 
  3.30  park to make payments out of money in the sports facilities 
  3.31  accounts.  These payments must be used to pay bonds issued by 
  3.32  the city to finance the baseball park to the extent that 
  3.33  facility and local tax revenues for that purpose are 
  3.34  insufficient.  An amount sufficient to make these payments is 
  3.35  appropriated from the account to the commission.  The amount of 
  3.36  this appropriation is limited to the money in the account. 
  4.1      (c) Money in the account may also be used to pay for 
  4.2   financial assistance to construct a football stadium and to make 
  4.3   improvements to other sports facilities. 
  4.4      Sec. 4.  [240B.04] [BASEBALL PARK.] 
  4.5      Subdivision 1.  [ADVISORY REFERENDUM.] (a) The commission 
  4.6   shall conduct an advisory referendum on the question of whether 
  4.7   the state should assist in financing a major league baseball 
  4.8   park and other sports facilities by imposing the sales tax 
  4.9   collected under chapter 297A on sales of newspapers and 
  4.10  magazines.  This referendum must be held at the 2002 primary 
  4.11  election. 
  4.12     (b) The form of the question is: 
  4.13     "Shall the state impose the sales tax on purchases of 
  4.14  newspapers and subscriptions to magazines to help finance the 
  4.15  construction of a baseball park for major league baseball and 
  4.16  other facilities for sports in Minnesota? 
  4.17                                     Yes .......
  4.18                                     No ........"
  4.19     Subd. 2.  [DETERMINATION OF WHETHER TO PROVIDE STATE 
  4.20  FINANCING.] (a) On or before November 1, 2002, the commission 
  4.21  shall determine whether to proceed with selecting a site and 
  4.22  providing state financial assistance for a new major league 
  4.23  baseball park.  In making this determination, the commission 
  4.24  must consider: 
  4.25     (1) the economic costs to the state and local governments 
  4.26  of providing the financial assistance; and 
  4.27     (2) the public benefits of retaining major league baseball 
  4.28  in Minnesota, including the value assigned by the public to the 
  4.29  intangible community benefits of having a major league baseball 
  4.30  franchise based in Minnesota. 
  4.31     (b) In evaluating the existence and magnitude of the 
  4.32  intangible benefits under paragraph (a), clause (2), the 
  4.33  commission may consider any available evidence, including the 
  4.34  results of the advisory referendum conducted under subdivision 
  4.35  1.  The commission may also conduct a scientific survey of 
  4.36  Minnesota residents to evaluate the existence and amount of 
  5.1   these intangible benefits. 
  5.2      (c) If the commission determines not to proceed with 
  5.3   providing financial assistance for construction of a baseball 
  5.4   park, it shall inform the commissioner of revenue that the 
  5.5   provisions of section 7 are not effective. 
  5.6      Subd. 3.  [SITE SELECTION.] (a) If the commission 
  5.7   determines that it is appropriate to finance a baseball park 
  5.8   under subdivision 2, it shall select a city to provide a site 
  5.9   for the new baseball park. 
  5.10     (b) The required elements of the selection process are: 
  5.11     (1) the commission shall accept bids from any interested 
  5.12  city within the metropolitan area, as defined in section 
  5.13  473.121, subdivision 2; 
  5.14     (2) acceptable bids must provide, at a maximum, for the 
  5.15  provision of land for a site that is of adequate size for the 
  5.16  baseball park and adjacent parking facilities to be made 
  5.17  available to the team; 
  5.18     (3) the site must be in a condition appropriate for 
  5.19  development; 
  5.20     (4) the bid must specify the intent of the city to own and 
  5.21  operate the baseball park and demonstrate a reasonable capacity 
  5.22  to do so; 
  5.23     (5) in selecting a site, the commission shall consider, at 
  5.24  least the following: 
  5.25     (i) the adequacy of the size of the site relative to the 
  5.26  preferred design for the baseball park; 
  5.27     (ii) the adequacy of existing public infrastructure serving 
  5.28  the site, including parking and highway, road, and transit 
  5.29  access to meet the demands created by events at the baseball 
  5.30  park in combination with other uses or events in the area that 
  5.31  create traffic, transit, and parking demands; 
  5.32     (iii) the cost of any likely infrastructure improvements 
  5.33  for the facility; 
  5.34     (iv) potential development advantages including development 
  5.35  of compatible mixed use, commercial, and housing developments in 
  5.36  the area surrounding the baseball park; 
  6.1      (v) compatibility of surrounding uses with the baseball 
  6.2   park; and 
  6.3      (vi) appropriate aesthetic considerations. 
  6.4      Subd. 4.  [PRECONDITIONS FOR AGREEMENT.] Before the 
  6.5   commission may enter an agreement with the city selected as the 
  6.6   location for the baseball park to make payments under section 
  6.7   240B.03, paragraph (b), the commission must determine that: 
  6.8      (1) all of the requirements of sections 10 to 12 have been 
  6.9   met by the city, the team, and major league baseball; 
  6.10     (2) the pledged facility and local tax revenues will be 
  6.11  sufficient to pay the debt service on the bonds when the 
  6.12  baseball park is in operation; and 
  6.13     (3) the city has established a baseball park improvement 
  6.14  district to foster the development and continuing growth of 
  6.15  compact, pedestrian-oriented, compatible mixed uses within 
  6.16  buildings and blocks around the baseball park. 
  6.17     Sec. 5.  [240B.05] [SALE OF BASEBALL FRANCHISE.] 
  6.18     Subdivision 1.  [APPLICATION.] As a condition of the state 
  6.19  assistance under section 240B.04, the owner of the major league 
  6.20  professional baseball team must agree that before the owner 
  6.21  sells a majority ownership interest in the team, the owner will 
  6.22  attempt for a reasonable time to comply with subdivision 2 or 3. 
  6.23     Subd. 2.  [COMMUNITY OWNERSHIP.] The owner of the team must 
  6.24  work with the governor, the chair of the commission, and a 
  6.25  community foundation or corporation on a plan to: 
  6.26     (1) transfer by gift to the foundation or corporation all 
  6.27  ownership interests in the team; 
  6.28     (2) provide for sale of shares in the team by the 
  6.29  foundation or corporation to the community, in a manner such 
  6.30  that up to 49 percent of the voting stock may be dispersed so 
  6.31  that no person owns more than five percent; and 
  6.32     (3) ensure that the franchise may not move from Minnesota 
  6.33  without approval of three-fourths percent of the shares of 
  6.34  voting stock.  
  6.35     Subd. 3.  [LOCAL PRIVATE OWNERSHIP.] The owner of the team 
  6.36  must attempt to reach an agreement on the sale of a majority 
  7.1   interest in the team to one or more Minnesota buyers before 
  7.2   attempting to sell the majority interest to others. 
  7.3      Subd. 4.  [REPORT.] If the owner of the team attempts to 
  7.4   sell a majority interest in the team, the chair of the 
  7.5   commission must report to the legislature at the beginning of 
  7.6   the next legislative session on efforts to work with the owner 
  7.7   of the team to implement this section. 
  7.8      Sec. 6.  Minnesota Statutes 2000, section 272.02, is 
  7.9   amended by adding a subdivision to read: 
  7.10     Subd. 50.  [BASEBALL PARK.] Real or personal property 
  7.11  acquired, owned, leased, controlled, used, or occupied as a 
  7.12  baseball park by a major league professional baseball team is 
  7.13  exempt from taxation but the property is subject to special 
  7.14  assessments levied by a political subdivision under chapter 429. 
  7.15  The baseball park includes parking facilities and land necessary 
  7.16  to and part of the use of the baseball park.  A use of the 
  7.17  property in any manner different from its use as a baseball park 
  7.18  must not be considered in determining the special benefit under 
  7.19  chapter 429 received by the properties.  Notwithstanding section 
  7.20  272.01, subdivision 2, or 273.19, real or personal property on 
  7.21  the premises of the baseball park leased by the city that 
  7.22  operates the baseball park to another person or entity for uses 
  7.23  directly related to the operation of the baseball park is exempt 
  7.24  from taxation regardless of the length of the lease.  This 
  7.25  subdivision expires one month after repayment of the bonds 
  7.26  issued to finance the baseball park. 
  7.27     Sec. 7.  Minnesota Statutes 2000, section 297A.68, 
  7.28  subdivision 10, is amended to read: 
  7.29     Subd. 10.  [PUBLICATIONS; PUBLICATION MATERIALS.] Tangible 
  7.30  personal property that is used or consumed in producing any 
  7.31  publication regularly issued at average intervals not exceeding 
  7.32  three months is exempt, and any such publication is exempt, 
  7.33  provided that the publication is not sold at retail.  
  7.34  "Publication" includes, but is not limited to, a qualified 
  7.35  newspaper as defined by section 331A.02, together with any 
  7.36  supplements or enclosures.  "Publication" does not include 
  8.1   magazines and, periodicals sold over the counter, and shoppers 
  8.2   guides.  Tangible personal property that is used or consumed in 
  8.3   producing a publication does not include machinery, equipment, 
  8.4   implements, tools, accessories, appliances, contrivances, 
  8.5   furniture, and fixtures used in the publication, or fuel, 
  8.6   electricity, gas, or steam used for space heating or lighting.  
  8.7      Advertising contained in a publication is a nontaxable 
  8.8   service and is exempt.  Persons who publish or sell newspapers 
  8.9   are engaging in a nontaxable service with respect to gross 
  8.10  receipts realized from such news-gathering or news-publishing 
  8.11  activities, including the sale of advertising.  Supplements and 
  8.12  enclosures to a newspaper are exempt provided that they are not 
  8.13  also sold separately at retail. 
  8.14     [EFFECTIVE DATE.] This section is effective for sales made 
  8.15  after June 30, 2003, but takes effect only if the Minnesota 
  8.16  sports facilities commission determines to assist in the 
  8.17  financing of a baseball park.  If the commission determines not 
  8.18  to assist in the financing by March 1, 2003, under the process 
  8.19  and criteria in section 240B.04, this section does not take 
  8.20  effect. 
  8.21     Sec. 8.  Minnesota Statutes 2000, section 297A.71, is 
  8.22  amended by adding a subdivision to read: 
  8.23     Subd. 28.  [CONSTRUCTION MATERIALS; BASEBALL 
  8.24  PARK.] Materials, supplies used or consumed in, and equipment 
  8.25  incorporated into the construction or improvement of the 
  8.26  baseball park constructed under sections 9 to 12, are exempt.  
  8.27  This subdivision expires one year after the first major league 
  8.28  baseball game is played in the baseball park. 
  8.29     Sec. 9.  Minnesota Statutes 2001 Supplement, section 
  8.30  297A.94, is amended to read: 
  8.31     297A.94 [DEPOSIT OF REVENUES.] 
  8.32     (a) Except as provided in this section, the commissioner 
  8.33  shall deposit the revenues, including interest and penalties, 
  8.34  derived from the taxes imposed by this chapter in the state 
  8.35  treasury and credit them to the general fund.  
  8.36     (b) The commissioner shall deposit taxes in the Minnesota 
  9.1   agricultural and economic account in the special revenue fund if:
  9.2      (1) the taxes are derived from sales and use of property 
  9.3   and services purchased for the construction and operation of an 
  9.4   agricultural resource project; and 
  9.5      (2) the purchase was made on or after the date on which a 
  9.6   conditional commitment was made for a loan guaranty for the 
  9.7   project under section 41A.04, subdivision 3. 
  9.8   The commissioner of finance shall certify to the commissioner 
  9.9   the date on which the project received the conditional 
  9.10  commitment.  The amount deposited in the loan guaranty account 
  9.11  must be reduced by any refunds and by the costs incurred by the 
  9.12  department of revenue to administer and enforce the assessment 
  9.13  and collection of the taxes.  
  9.14     (c) The commissioner shall deposit the revenues, including 
  9.15  interest and penalties, derived from the taxes imposed on sales 
  9.16  and purchases included in section 297A.61, subdivision 3, 
  9.17  paragraph (g), clauses (1) and (4), in the state treasury, and 
  9.18  credit them as follows: 
  9.19     (1) first to the general obligation special tax bond debt 
  9.20  service account in each fiscal year the amount required by 
  9.21  section 16A.661, subdivision 3, paragraph (b); and 
  9.22     (2) after the requirements of clause (1) have been met, the 
  9.23  balance to the general fund. 
  9.24     (d) The commissioner shall deposit the revenues, including 
  9.25  interest and penalties, collected under section 297A.64, 
  9.26  subdivision 5, in the state treasury and credit them to the 
  9.27  general fund.  By July 15 of each year the commissioner shall 
  9.28  transfer to the highway user tax distribution fund an amount 
  9.29  equal to the excess fees collected under section 297A.64, 
  9.30  subdivision 5, for the previous calendar year. 
  9.31     (e) For fiscal year 2001, 97 percent; for fiscal years 2002 
  9.32  and 2003, 87 percent; and for fiscal year 2004 and thereafter, 
  9.33  88.5 percent of the revenues, including interest and penalties, 
  9.34  transmitted to the commissioner under section 297A.65, must be 
  9.35  deposited by the commissioner in the state treasury as follows: 
  9.36     (1) 50 percent of the receipts must be deposited in the 
 10.1   heritage enhancement account in the game and fish fund, and may 
 10.2   be spent only on activities that improve, enhance, or protect 
 10.3   fish and wildlife resources, including conservation, 
 10.4   restoration, and enhancement of land, water, and other natural 
 10.5   resources of the state; 
 10.6      (2) 22.5 percent of the receipts must be deposited in the 
 10.7   natural resources fund, and may be spent only for state parks 
 10.8   and trails; 
 10.9      (3) 22.5 percent of the receipts must be deposited in the 
 10.10  natural resources fund, and may be spent only on metropolitan 
 10.11  park and trail grants; 
 10.12     (4) three percent of the receipts must be deposited in the 
 10.13  natural resources fund, and may be spent only on local trail 
 10.14  grants; and 
 10.15     (5) two percent of the receipts must be deposited in the 
 10.16  natural resources fund, and may be spent only for the Minnesota 
 10.17  zoological garden, the Como park zoo and conservatory, and the 
 10.18  Duluth zoo. 
 10.19     (f) The revenue dedicated under paragraph (e) may not be 
 10.20  used as a substitute for traditional sources of funding for the 
 10.21  purposes specified, but the dedicated revenue shall supplement 
 10.22  traditional sources of funding for those purposes.  Land 
 10.23  acquired with money deposited in the game and fish fund under 
 10.24  paragraph (e) must be open to public hunting and fishing during 
 10.25  the open season, except that in aquatic management areas or on 
 10.26  lands where angling easements have been acquired, fishing may be 
 10.27  prohibited during certain times of the year and hunting may be 
 10.28  prohibited.  At least 87 percent of the money deposited in the 
 10.29  game and fish fund for improvement, enhancement, or protection 
 10.30  of fish and wildlife resources under paragraph (e) must be 
 10.31  allocated for field operations. 
 10.32     (g) The commissioner shall deposit the revenues, including 
 10.33  interest and penalties, collected from imposing the state tax 
 10.34  under this chapter on sales of newspapers and subscriptions to 
 10.35  magazines and periodicals in the sports facilities account 
 10.36  established under section 240B.03. 
 11.1      [EFFECTIVE DATE.] This section is effective for sales made 
 11.2   after June 30, 2003. 
 11.3      Sec. 10.  [REVENUE BONDS; BASEBALL PARK.] 
 11.4      Subdivision 1.  [AUTHORIZATION.] After the conditions set 
 11.5   forth in subdivisions 3 to 7 and in section 12 have been met, 
 11.6   the city selected by the sports facilities commission as the 
 11.7   site of the baseball park shall issue revenue bonds in an amount 
 11.8   not to exceed $170,000,000 to finance its share of the costs to 
 11.9   design, acquire, construct, furnish, and equip a baseball park 
 11.10  to be owned by the city and leased to a major league 
 11.11  professional baseball team, as provided in sections 10 to 12, 
 11.12  and to pay the costs of issuance of the bonds.  The bonds shall 
 11.13  be sold and issued upon such terms and in such manner as the 
 11.14  city determines to be in the best interests of the public.  The 
 11.15  final maturity of the bonds may be not later than June 30, 2035. 
 11.16     Subd. 2.  [SECURITY; BONDS NOT PUBLIC DEBT.] The bonds and 
 11.17  the interest thereon are payable solely from repayments by the 
 11.18  team and the city in which the baseball park is located, 
 11.19  revenues associated with the baseball park as provided in this 
 11.20  act, payments by the state under Minnesota Statutes, section 
 11.21  240B.03, and any bond reserve established for the bonds.  The 
 11.22  bonds are not public debt, and the full faith, credit, and 
 11.23  taxing powers of the state are not pledged for their payment. 
 11.24     Subd. 3.  [LOCAL GOVERNING BODY APPROVAL.] The governing 
 11.25  body of the city in which the baseball park is to be located 
 11.26  must approve by two-thirds vote a resolution confirming that the 
 11.27  city will own the baseball park and will be responsible for 
 11.28  payment of one-half of the construction cost of the baseball 
 11.29  park. 
 11.30     Subd. 4.  [CONSTRUCTION OF BASEBALL PARK; MAXIMUM 
 11.31  PRICE.] The city must have executed agreements that provide for 
 11.32  the construction of a roof-ready baseball park to be owned by 
 11.33  the city for a guaranteed maximum price not to exceed 
 11.34  $325,000,000, and that requires performance bonds in an amount 
 11.35  at least equal to 100 percent of the guaranteed maximum price to 
 11.36  cover any costs incurred over and above the guaranteed maximum 
 12.1   price, including, but not limited to, costs incurred by the city 
 12.2   and loss of revenues resulting from incomplete construction on 
 12.3   the substantial completion date.  The agreement must include 
 12.4   that at least one-half of the cost of the baseball park must be 
 12.5   financed by the owner of the major league baseball team or by 
 12.6   other private sector financing and that the major league 
 12.7   baseball team is responsible for and must pay all cost overruns. 
 12.8      Subd. 5.  [MANAGER.] The city must have entered into a 
 12.9   contract with a manager to operate the baseball park for the use 
 12.10  of the major league baseball team. 
 12.11     Subd. 6.  [AGREEMENT; TEAM.] The city must have entered 
 12.12  into a use agreement with the major league baseball team that 
 12.13  provides: 
 12.14     (1) the major league baseball team must provide an amount 
 12.15  not less than one-half of the construction costs in private cash 
 12.16  support for the cost of the construction of the baseball park; 
 12.17     (2) the major league baseball team is responsible for and 
 12.18  must pay for all cost overruns incurred in construction of the 
 12.19  baseball park and has obtained a performance bond guaranteeing 
 12.20  the construction price of and the time for completion of the 
 12.21  baseball park; 
 12.22     (3) the major league baseball team will use the baseball 
 12.23  park for all scheduled home preseason, regular season, and 
 12.24  postseason games that the major league baseball team is entitled 
 12.25  to play at home for not less than 30 years without an escape 
 12.26  clause for the major league baseball team; 
 12.27     (4) the agreement shall specifically state that transfer of 
 12.28  any portion of ownership or equity in the major league baseball 
 12.29  team does not change any obligations, responsibilities, or 
 12.30  privileges under the agreement, this section, or section 12; 
 12.31     (5) the major league baseball team will ensure that a 
 12.32  portion of the tickets for its games are accessible and 
 12.33  affordable; 
 12.34     (6) the major league baseball team will receive all revenue 
 12.35  generated at the stadium except as otherwise specifically 
 12.36  provided in this act; 
 13.1      (7) a listing of all revenue streams generated from use of 
 13.2   the baseball park with a specification of what revenues are 
 13.3   available to cover the major league baseball team operations, 
 13.4   which accrue to the city and which are available for repayment 
 13.5   of bonds; 
 13.6      (8) the major league baseball team must operate and 
 13.7   maintain the stadium in excellent condition during the duration 
 13.8   of the agreement.  The city where the stadium is located shall 
 13.9   verify that the team complies with this requirement; 
 13.10     (9) delineation of the responsibility for repair, 
 13.11  maintenance, and replacement of equipment or property in the 
 13.12  baseball park, including inspections by the city and a 
 13.13  representative of the state; 
 13.14     (10) the major league baseball team shall provide a letter 
 13.15  of credit in an amount that protects the public interest in the 
 13.16  event of a default by the major league baseball team or a 
 13.17  disruption in the season due to a player strike or lockout; 
 13.18     (11) the agreement must afford to the city the rights and 
 13.19  remedies at law and equity that are deemed necessary and 
 13.20  appropriate to provide reasonable assurance that the baseball 
 13.21  team and the owner will comply with the agreements through the 
 13.22  30-year term.  The remedies must include, but not be limited to, 
 13.23  specific performance and injunctive relief, and may include any 
 13.24  other equitable remedies, and any additional remedies or 
 13.25  ownership, voting, or other security arrangements the city 
 13.26  reasonably determines to be effective in ensuring the baseball 
 13.27  team will play the required games in the baseball park 
 13.28  throughout the 30-year term.  The legislature intends that a 
 13.29  material breach of an agreement between the city and 
 13.30  professional athletic teams that commit to the long-term playing 
 13.31  of major league games at public facilities is deemed to cause 
 13.32  irreparable harm for which no adequate remedy at law is 
 13.33  available and that the grant of equitable relief to remedy the 
 13.34  breach is in the public interest and shall be liberally so 
 13.35  construed; 
 13.36     (12) that the major league baseball team has the following 
 14.1   obligations during the period of construction of a baseball 
 14.2   stadium: 
 14.3      (i) the payment of the prevailing wage rate as defined in 
 14.4   Minnesota Statutes, section 177.42, to all construction workers; 
 14.5      (ii) the provision to the city of a signed agreement 
 14.6   between the major league baseball team and the construction 
 14.7   unions that will work on the new stadium that mandates a 
 14.8   no-strike and no-lockout period during construction of a 
 14.9   baseball park; 
 14.10     (iii) all construction materials for the baseball park 
 14.11  produced from or containing steel, so far as practicable, must 
 14.12  use steel produced in the United States from taconite produced 
 14.13  in Minnesota; and 
 14.14     (13) if there is a sale or transfer of ownership of the 
 14.15  major league baseball team, the owner of the team shall pay to 
 14.16  the state an amount equal to the state's share of the 
 14.17  appreciated value of the team.  The state's share shall be based 
 14.18  on the value of the state investment in the baseball park and 
 14.19  must be determined according to a formula included in the use 
 14.20  agreement. 
 14.21     Subd. 7.  [AMATEUR SPORTS.] The city must provide that the 
 14.22  baseball park will be available for use by the state high school 
 14.23  and amateur sports leagues when practicable. 
 14.24     Sec. 11.  [FINANCING; CONSTRUCTION.] 
 14.25     Subdivision 1.  [PRIVATE FUNDING; OWNERSHIP.] At least 
 14.26  one-half of the cost of the baseball park must be funded by the 
 14.27  owner of the major league professional baseball team or through 
 14.28  other private sector funding.  The city shall own the baseball 
 14.29  park.  
 14.30     Subd. 2.  [BASEBALL PARK ADMISSIONS TAX.] Notwithstanding 
 14.31  any other law, the city may impose an admissions tax of up to 
 14.32  ten percent of the sale price upon the granting, issuance, 
 14.33  sales, or distribution, by any private or public person, 
 14.34  association, or corporation, of the privilege of admission to 
 14.35  activities at the baseball park.  No other tax, surcharge, or 
 14.36  governmental imposition, except the taxes collected under 
 15.1   Minnesota Statutes, chapter 297A, may be levied by any other 
 15.2   unit of government upon any such sale or distribution. 
 15.3      The admission tax must be stated and charged separately 
 15.4   from the sales price so far as practicable and must be collected 
 15.5   by the grantor, seller, or distributor from the person 
 15.6   admitted.  The admission tax collected must be used for 
 15.7   repayment of the bonds issued under section 10.  The tax is a 
 15.8   debt from that person to the grantor, issuer, seller, or 
 15.9   distributor, and the tax required to be collected is a debt owed 
 15.10  by the grantor, issuer, seller, or distributor to the city, 
 15.11  recoverable at law in the same manner as other debts.  Every 
 15.12  person granting, issuing, selling, or distributing tickets for 
 15.13  such admissions may be required to secure a permit, to file 
 15.14  returns, to deposit security for the payment of the tax, and to 
 15.15  pay such penalties for nonpayment and interest on late payments, 
 15.16  as deemed necessary or expedient to assure the prompt and 
 15.17  uniform collection of the tax. 
 15.18     Subd. 3.  [FOOD AND BEVERAGE TAXES.] Notwithstanding 
 15.19  Minnesota Statutes, section 477A.016, or any other limitation of 
 15.20  law or charter, and in addition to other taxes previously 
 15.21  authorized by law, the city may by ordinance impose liquor and 
 15.22  food taxes not to exceed five percent at a retail level on any 
 15.23  business within the confines of the local government unit.  The 
 15.24  ordinance must provide for dedication of the taxes or fees, 
 15.25  after payment of collection and administrative expenses and 
 15.26  refunds, to payment of principal and interest on bonds issued 
 15.27  under section 10. 
 15.28     Subd. 4.  [LODGING TAX.] Notwithstanding Minnesota 
 15.29  Statutes, section 477A.016, or any other limitation of law or 
 15.30  charter to the contrary, the city may impose, by ordinance, a 
 15.31  lodging tax at a rate of no more than five percent on the gross 
 15.32  receipts from the furnishing for consideration of lodging as 
 15.33  described in Minnesota Statutes, section 469.190, subdivision 
 15.34  1.  The city may impose this tax on all or part of the city, as 
 15.35  provided in the ordinance and may provide for exempting hotels 
 15.36  or motels based on the number of rooms they have available.  The 
 16.1   ordinance must provide for dedication of the taxes and other 
 16.2   income from the tax, after payment of collection and 
 16.3   administrative expenses and refunds, to payment of the principal 
 16.4   and interest on bonds issued for the baseball park. 
 16.5      Subd. 5.  [PARKING TAX, SURCHARGE, OR BOTH.] The city may, 
 16.6   by ordinance, impose a parking tax or surcharge or both of not 
 16.7   less than $2 per vehicle per event at the baseball park.  The 
 16.8   parking tax and surcharge apply to public and privately owned 
 16.9   parking facilities in the area that the city determines in its 
 16.10  ordinance provide event parking for the baseball park.  The 
 16.11  ordinance must provide for dedication of the taxes and other 
 16.12  income from the tax, after payment of collection and 
 16.13  administrative expenses and refunds, to payment of the principal 
 16.14  and interest on bonds issued for the baseball park. 
 16.15     Subd. 6.  [MEDIA OUTLET FEES.] The city may reserve for 
 16.16  payment of bonds issued under section 10, fees charged to 
 16.17  broadcast and other media for access to the facility to 
 16.18  broadcast games or other events. 
 16.19     Subd. 7.  [MAJOR LEAGUE BASEBALL GUARANTY.] Before bonds 
 16.20  are issued under section 10, with the advice of the attorney 
 16.21  general, the city must execute an agreement with the major 
 16.22  league of which the baseball team is a member and with major 
 16.23  league baseball that guarantees the continuance of a major 
 16.24  league franchise in the metropolitan area for the greater of (i) 
 16.25  30 years or (ii) the term of the bonds issued to finance the 
 16.26  baseball park. 
 16.27     Subd. 8.  [REFERENDUM.] (a) Before any city imposes a tax 
 16.28  under this section, the imposition of the tax must be approved 
 16.29  by the voters of the city at a special election held on the 
 16.30  first Tuesday in June 2002. 
 16.31     (b) Notwithstanding any statute, charter provision, or 
 16.32  other law to the contrary, if the tax is approved in a 
 16.33  referendum under this subdivision, an ordinance enacting the tax 
 16.34  is not subject to another vote of the electorate by referendum, 
 16.35  initiative, charter amendment, or in any other manner. 
 16.36     Subd. 9.  [EXPIRATION; LOCAL OPTION TAXES.] When the bonds 
 17.1   issued under section 10 have been defeased or retired, 
 17.2   subdivisions 3 to 5 and the taxes authorized by them expire. 
 17.3      Sec. 12.  [OBLIGATIONS; MAJOR LEAGUE PROFESSIONAL BASEBALL 
 17.4   TEAM.] 
 17.5      Subdivision 1.  [OBLIGATIONS PRIOR TO BOND ISSUANCE.] (a) 
 17.6   The major league professional baseball team must fully and 
 17.7   completely do its part to accomplish the requirements of 
 17.8   paragraphs (b) and (c) before the Minnesota sports facilities 
 17.9   commission may agree to make payment under Minnesota Statutes, 
 17.10  section 240B.04 and before the city may issue bonds to finance 
 17.11  the baseball park. 
 17.12     (b) The requirements are that: 
 17.13     (1) a signed lease for not less than 30 years between the 
 17.14  city and the major league professional baseball team must be 
 17.15  completed with no escape clauses; 
 17.16     (2) the major league professional baseball team has signed 
 17.17  an agreement with the city agreeing to allow the baseball park 
 17.18  to be available on nongame days for potential use by the 
 17.19  University of Minnesota, Minnesota state colleges and 
 17.20  universities, private colleges and universities, the state high 
 17.21  school league, the city for community events, and the Minnesota 
 17.22  amateur sports commission; 
 17.23     (3) the major league of which the baseball team is a member 
 17.24  and major league baseball have both executed an agreement with 
 17.25  the city that guarantees the continuance of a major league 
 17.26  franchise in the metropolitan area for the greater of (i) 30 
 17.27  years from the date of the agreement or (ii) the term of the 
 17.28  bonds under section 10; 
 17.29     (4) the major league professional baseball team and major 
 17.30  league baseball have signed an agreement with the city to 
 17.31  cooperate in maintaining the facility as a smoke-free facility; 
 17.32  and 
 17.33     (5) the major league professional baseball team has agreed 
 17.34  to make all reasonable efforts to ensure that businesses owned 
 17.35  by socially disadvantaged persons are awarded contracts for 
 17.36  construction and operation of the baseball park in proportion to 
 18.1   the number of qualified businesses owned by socially 
 18.2   disadvantaged persons in the metropolitan area.  In addition, 
 18.3   the team has agreed to make all reasonable efforts to ensure 
 18.4   that employment of socially disadvantaged persons for the 
 18.5   construction or operation of the baseball park will be 
 18.6   proportionate to the number of qualified workers who are 
 18.7   socially disadvantaged persons in the metropolitan area.  For 
 18.8   the purposes of this clause, "socially disadvantaged persons" is 
 18.9   as defined in Minnesota Rules, part 1230.0150, subpart 24.  The 
 18.10  local unit of government must report to the legislature annually 
 18.11  on the implementation of this clause. 
 18.12     (c) The major league baseball team must sign, as a 
 18.13  condition of receiving any public assistance, a contract with 
 18.14  the city under which the city would obtain from the team the 
 18.15  rights to the control and use of the team name and logo in the 
 18.16  event that the team relocates to another state.  Under such a 
 18.17  contract, the team must notify the city within 24 hours of 
 18.18  signing an agreement to relocate, and at midnight immediately 
 18.19  following notification, all income from existing contracts for 
 18.20  the use of the team name and logo and all team property with the 
 18.21  team name and logo, other than personal property of team members 
 18.22  and principals, will become the property of the local government 
 18.23  unit. 
 18.24     Subd. 2.  [DESIGN AND CONSTRUCTION.] (a) The major league 
 18.25  professional baseball team shall design and construct the 
 18.26  baseball park and is responsible for all cost overruns that may 
 18.27  occur.  Before the design process is complete and construction 
 18.28  begins, the city and the team must hold at least one public 
 18.29  hearing on the proposed design.  All funds appropriated to the 
 18.30  city under this act shall be managed by the city and made 
 18.31  available to the team as the team deems necessary for 
 18.32  construction purposes. 
 18.33     (b) All construction materials for the baseball park 
 18.34  produced from or containing steel, so far as practicable, must 
 18.35  use steel produced in the United States from taconite produced 
 18.36  in Minnesota.  The city shall establish and impose on the major 
 19.1   league professional baseball team appropriate compliance 
 19.2   procedures. 
 19.3      Subd. 3.  [OBLIGATIONS DURING CONSTRUCTION.] The major 
 19.4   league professional baseball team during the period of 
 19.5   construction of a baseball park must: 
 19.6      (1) pay the prevailing wage rate as defined in Minnesota 
 19.7   Statutes, section 177.42, to all construction workers; 
 19.8      (2) provide to the city a signed agreement between the 
 19.9   major league professional baseball team and the construction 
 19.10  unions that will work on the new baseball park that mandates a 
 19.11  no-strike and no-lockout period during construction of the 
 19.12  baseball park; and 
 19.13     (3) pay any cost overruns that occur during the 
 19.14  construction period. 
 19.15     Sec. 13.  [BASEBALL PARK; LIQUOR LICENSE.] 
 19.16     The city in which the baseball park is located may issue an 
 19.17  intoxicating liquor license for the premises of the baseball 
 19.18  park.  This license is in addition to the number authorized by 
 19.19  law.  All provisions of Minnesota Statutes, chapter 340A, not 
 19.20  inconsistent with this section apply to the license authorized 
 19.21  under this section. 
 19.22     Sec. 14.  [CONDOMINIUM.] 
 19.23     The city selected to be the location of the baseball park 
 19.24  may, by itself or together with another owner, and any other 
 19.25  public or private person or entity, as to real or personal 
 19.26  property comprising or appurtenant or ancillary to the baseball 
 19.27  park, act as a declarant and establish a condominium or 
 19.28  leasehold condominium under Minnesota Statutes, chapter 515A, or 
 19.29  as a common interest community or leasehold common interest 
 19.30  community under Minnesota Statutes, chapter 515B, and may grant, 
 19.31  establish, create, or join in other or related easements, 
 19.32  agreements, and similar benefits and burdens that the county may 
 19.33  deem necessary or appropriate, and may exercise any and all 
 19.34  rights and privileges, and assume obligations under them as a 
 19.35  declarant, unit owner, or otherwise, insofar as practical and 
 19.36  consistent with this act.  The city may be a member of an 
 20.1   association and the chair, any members of its governing body, 
 20.2   and any officers and employees of the local unit of government 
 20.3   may serve on the board of an association under Minnesota 
 20.4   Statutes, chapter 515A or 515B. 
 20.5      Sec. 15.  [OLYMPIC BID; FACILITY CONSTRUCTION.] 
 20.6      The governor must evaluate:  (1) the feasibility of 
 20.7   Minnesota preparing a bid to host the 2012 or future summer 
 20.8   Olympics; and (2) the possibility that hosting the 2012 or 
 20.9   future summer Olympics may result in sources other than the 
 20.10  state or a local governmental unit constructing facilities that 
 20.11  could be used by Minnesota professional sports teams after 
 20.12  completion of the Olympics. 
 20.13     If the governor determines that preparation of a bid to 
 20.14  host the 2012 or future Olympics could be cost beneficial to the 
 20.15  state, the governor, in consultation with appropriate persons in 
 20.16  the public and private sector, must take steps necessary to 
 20.17  begin bid preparation.