HF 2347

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:03am

A bill for an act
relating to disaster relief; responding to flood and storms of March 2009;
providing money to match federal disaster assistance made available through
FEMA Public Assistance Program and Individual Assistance Program; providing
aid for costs that are not eligible for assistance through those programs or from
other federal government agencies or insurance; providing for flood disaster
enrollment impact aid to school districts; providing for temporary waivers of
certain program requirements; providing aid for Hugo tornado; authorizing
sale of state bonds; appropriating money; amending Minnesota Statutes 2008,
sections 12.221, subdivision 4; 12A.10.

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

ARTICLE 1

MINNESOTA DISASTER RELIEF

Section 1. new text begin DISASTER RELIEF APPROPRIATION SUMMARY.
new text end

new text begin The amounts shown in this section summarize direct appropriations made in this
article.
new text end

new text begin SUMMARY new text end
new text begin Public Safety new text end	new text begin $ new text end	new text begin 9,180,000 new text end
new text begin Board of Water and Soil Resources new text end		new text begin 2,000,000 new text end
new text begin Education new text end		new text begin 173,000 new text end
new text begin Employment and Economic Development new text end		new text begin 200,000 new text end
new text begin Housing Finance new text end		new text begin 2,700,000 new text end
new text begin Revenue new text end		new text begin 250,000 new text end
new text begin Transportation new text end		new text begin 2,900,000 new text end
new text begin Bond Sale Expenses new text end		new text begin 7,000 new text end
new text begin TOTAL new text end	new text begin $ new text end	new text begin 17,410,000 new text end
new text begin General Fund new text end		new text begin 10,303,000 new text end
new text begin Bond Proceeds Fund new text end		new text begin 4,404,000 new text end
new text begin Trunk Highway Fund Bond Proceeds Account new text end		new text begin 2,703,000 new text end

Sec. 2. new text begin DISASTER RELIEF APPROPRIATIONS. new text end

new text begin Subdivision 1. new text end

new text begin Appropriations new text end

new text begin The sums shown in the column under
"Appropriations" are appropriated from the bond proceeds fund to be spent to acquire and
to better publicly owned land and buildings and other public improvements of a capital
nature and from other named funds, for relief as specified in this article from the flooding
and storms that occurred on or after March 16, 2009, in the areas in Minnesota designated
under presidential Declaration of an Emergency FEMA-3304-EM and Presidential
Declaration of a Major Disaster FEMA-1380-1830-DR, whether included in the original
declarations or added later by federal government action, referred to in this article as "the
area included in DR-1830." The appropriations included in this act are available through
June 30, 2011, except that appropriations of bond proceeds or for capital improvements
are available until the project is completed or abandoned, subject to Minnesota Statutes,
section 16A.642. The appropriations in this article are onetime.
new text end

new text begin Subd. 2. new text end

new text begin Transfers. new text end

new text begin If there is a shortage of money for a program funded in this
article, or in the money available for state and local match under Minnesota Statutes,
section 12.221, unused general fund money appropriated for any other program or project
in this article may be transferred for assistance in the disaster area, to another program or
project funded in this chapter. Appropriation transfers must be used to cover unmet needs
in a program or project under this chapter. The commissioner of finance must approve
all transfers under this section and must report each transfer to the chairs of the senate
Finance Committee and house of representatives Ways and Means Committee.
new text end

new text begin APPROPRIATIONS new text end

Sec. 3. new text begin PUBLIC SAFETY new text end

new text begin Subdivision 1. new text end new text begin Total Appropriations new text end

new text begin $ new text end

new text begin 9,180,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin State Match for Individual Assistance new text end

new text begin 25,500 new text end

new text begin For the state match for federal disaster
assistance to individuals under Minnesota
Statutes, section 12.221. This appropriation
is from the general fund.
new text end

new text begin Subd. 3. new text end new text begin State and Local Match new text end

new text begin 9,154,500 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end		new text begin 5,254,000 new text end
new text begin Bond Proceeds new text end		new text begin 3,900,000 new text end

new text begin For the state and local match for federal
disaster assistance to state agencies and other
eligible applicants under Minnesota Statutes,
section 12.221.
new text end

new text begin The appropriation from the bond proceeds
fund is available to fund 100 percent of the
state and local match obligations for publicly
owned capital improvement projects incurred
through the receipt of federal disaster
assistance.
new text end

new text begin Subd. 4. new text end new text begin Waiver of Contract Approval Procedures new text end

new text begin State and federal disaster assistance
distributed by the commissioner of public
safety is not subject to the contract approval
procedures of Minnesota Statutes, chapter
16A, 16B, or 16C. The commissioner of
public safety may adopt internal procedures
for administration and monitoring of aids
and grants.
new text end

Sec. 4. new text begin BOARD OF WATER AND SOIL RESOURCES new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 2,000,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions. The board may shift funds
within this section and may adjust the
technical and administrative assistance
portion of the funds to leverage federal
or other nonstate funds or to address high
priority needs identified in local water
management, emergency preparedness, or
hazard mitigation plans. The appropriations
in this section are available until expended.
new text end

new text begin Subd. 2. new text end new text begin Reinvest in Minnesota (RIM) Conservation Easements new text end

new text begin 500,000 new text end

new text begin The board may use this appropriation
from the bond proceeds fund to acquire
conservation easements from landowners on
marginal lands in the disaster area to restore
and protect soil and water quality and to
support fish and wildlife habitat as provided
in Minnesota Statutes, section 103F.515.
new text end

new text begin Subd. 3. new text end new text begin Erosion, Sediment, and Water Quality Control Cost-Share Program new text end

new text begin 1,000,000 new text end

new text begin The board may use this appropriation to
install, repair, or rehabilitate erosion and
sediment control projects in the disaster area
to restore and protect soil and water quality
and to support fish and wildlife habitat.
new text end

new text begin Subd. 4. new text end new text begin Red River Basin Commission Grant new text end

new text begin 500,000 new text end

new text begin The board shall disburse this appropriation as
a grant to the Red River Basin Commission
to develop a comprehensive plan of action
to address flooding and related water quality
and land conservation issues in the Red River
watershed. The plan must take into account
previous federal, state, provincial, regional,
and local assessments and make specific
recommendations for floodplain management
goals and outcomes for the Red River
Basin including structural and nonstructural
measures, water storage allocations by
major watershed, and delineation of roles
and responsibilities and time frames for
implementation. The commission shall
report progress to the legislature by January
15, 2010, and each year thereafter.
new text end

new text begin Subd. 5. new text end new text begin Waivers Authorized new text end

new text begin (a) The board may waive the provisions
of Minnesota Statutes, section 103C.501,
and Minnesota Rules, chapter 8400, in the
disaster area on land damaged by the disaster.
The waiver applies to all existing and future
contracts to address critical conservation
problems resulting from the disaster that are
funded in whole or in part with state money,
to the extent that combined federal and state
funding does not exceed 100 percent. All
existing state cost-share grant agreements in
the disaster area are extended, as provided
in law.
new text end

new text begin (b) The payment maximums for
improvements to the land under Minnesota
Statutes, section 103F.515, subdivision 6,
paragraph (a), clause (1), are waived for
easements acquired in the disaster area on
land damaged by the disaster.
new text end

Sec. 5. new text begin EDUCATION new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 173,000 new text end

new text begin The appropriations in this section are from
the general fund for additional costs and loss
of pupil units relating to the floods of March
2009. The amounts that may be spent for
each purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Disaster Enrollment Impact Aid new text end

new text begin 127,000 new text end

new text begin For disaster enrollment impact aid under
Minnesota Statutes, section 12A.06,
subdivision 1, calculated at a rate of $5,946
per pupil in average daily membership lost
during fiscal year 2009.
new text end

new text begin Subd. 3. new text end new text begin Disaster Relief Facilities Grants new text end

new text begin 15,000 new text end

new text begin For disaster relief facilities grants under
Minnesota Statutes, section 12A.06,
subdivision 2.
new text end

new text begin Subd. 4. new text end new text begin Disaster Relief Operating Grants new text end

new text begin 13,000 new text end

new text begin For disaster relief operating grants under
Minnesota Statutes, section 12A.06,
subdivision 3.
new text end

new text begin Subd. 5. new text end new text begin Pupil Transportation Grants new text end

new text begin 18,000 new text end

new text begin For pupil transportation grants under
Minnesota Statutes, section 12A.06,
subdivision 4.
new text end

Sec. 6. new text begin EMPLOYMENT AND ECONOMIC DEVELOPMENT new text end

new text begin $ new text end

new text begin 200,000 new text end

new text begin For transfer to the Minnesota investment
fund for grants to local units of government
for locally administered grant or loan
programs for businesses and nonprofit
organizations directly and adversely affected
by the flood, including those that provide
residential, health care, child care, social, or
other services on behalf of the Department
of Human Services to residents of the area
included in DR-1830. Assistance under
this section is not limited to businesses.
Payments may be made for property damage
and cleanup, and to reimburse parties under
contract, provider agreement, or other
arrangement with the commissioner of
human services as of March 16, 2009, for
residential, health care, child care, social,
or other services provided on behalf of
the Department of Human Services to a
resident of the area included in DR-1830,
notwithstanding that:
new text end

new text begin (1) the resident has been compelled by the
floods of March 2009 to relocate outside the
party's service area; or
new text end

new text begin (2) the party is unable to provide services
to the resident due to flood damage to the
party's place of business.
new text end

new text begin Criteria and requirements must be locally
established with the approval of the
commissioner. For the purposes of this
appropriation, Minnesota Statutes, sections
116J.8731, subdivisions 3, 4, 5, and 7;
116J.993; 116J.994; and 116J.995, are
waived. Businesses that receive grants or
loans from this appropriation must set goals
for jobs retained and wages paid within the
area included in DR-1830.
new text end

new text begin Before any grants under this section are
awarded to a local unit of government, the
commissioner of employment and economic
development shall report to the chairs of
the senate Finance Committee and house of
representatives Ways and Means Committee
the criteria and requirements to be used by
local units of government in the grant or
loan programs they will administer. This
appropriation is from the general fund.
new text end

Sec. 7. new text begin HOUSING FINANCE new text end

new text begin $ new text end

new text begin 2,700,000 new text end

new text begin The appropriations in this section are from the
general fund to the Housing Finance Agency
for transfer to the housing development
fund for the economic development and
housing challenge program under Minnesota
Statutes, section 462A.33, for assistance in
the area included in DR-1830, Individual
Assistance Declaration. The maximum loan
amount per housing structure is $30,000.
Within the limits of available appropriations,
the agency may increase the maximum
amount if the cost of repair or replacement
of the residential property exceeds the total
of the maximum loan amount and any
assistance available from FEMA, other
federal government agencies including the
Small Business Administration, and private
insurance and flood insurance benefits.
new text end

new text begin For assistance under this section, the
requirements of Minnesota Statutes,
section 462A.33, subdivisions 3 and 5,
and Minnesota Rules, part 4900.3632, are
waived.
new text end

Sec. 8. new text begin REVENUE new text end

new text begin $ new text end

new text begin 250,000 new text end

new text begin To reimburse counties for property tax
abatements on damaged property under
section 13.
new text end

Sec. 9. new text begin TRANSPORTATION new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 2,900,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Infrastructure Operation and Maintenance new text end

new text begin 200,000 new text end

new text begin From the trunk highway fund.
new text end

new text begin Subd. 3. new text end new text begin State Trunk Highways and Bridges new text end

new text begin 2,700,000 new text end

new text begin From the bond proceeds account in the trunk
highway fund for the reconstruction and
repair of trunk highways and trunk highway
bridges that are located in the area included
in DR-1830 and that suffered flood-related
damage in 2009.
new text end

Sec. 10. new text begin BOND SALE EXPENSES new text end

new text begin $ new text end

new text begin 7,000 new text end

new text begin To the commissioner of finance for bond sale
expenses under Minnesota Statutes, section
16A.641, subdivision 8.
new text end

new text begin Appropriations by Fund new text end
new text begin Bond proceeds new text end		new text begin 4,000 new text end
new text begin Trunk highway new text end		new text begin 3,000 new text end

Sec. 11.

Minnesota Statutes 2008, section 12.221, subdivision 4, is amended to read:

Subd. 4.

Subgrant agreements.

new text begin (a) new text end The state director, serving as the governor's
authorized representative, may enter into subgrant agreements with eligible applicants
to provide federal and state financial assistance made available as a result of a disaster
declaration.

new text begin (b) Neither this subdivision nor any other state law applies to the disbursal of FEMA
disaster assistance funds and state matching funds pursuant to sections 12A.01, 12A.02,
12A.03, and 12A.15.
new text end

Sec. 12.

Minnesota Statutes 2008, section 12A.10, is amended to read:

12A.10 HUMAN SERVICES.

new text begin Subdivision 1. new text end

new text begin Costs eligible for payment. new text end

new text begin Notwithstanding the limitations of
sections 12A.01 and 12A.03, new text end the commissioner may pay parties under contract, provider
agreement, or other arrangement with the commissioner as of the date of deleted text begin the deleted text end new text begin a natural
disaster, or the date when action was taken in anticipation of a possible natural new text end disaster
new text begin or other event that threatens the health and safety of individuals served by a program that
receives funding from medical assistance new text end for the costs of evacuation, transportation, deleted text begin or deleted text end
medical deleted text begin or deleted text end new text begin , new text end remedial new text begin , or personal care new text end services provided to vulnerable residents. Costs
eligible for payment under this section are those necessary to ensure the health and safety
of medical assistance recipients during and up to 60 days following the disaster. new text begin Only
costs that are not already paid for by another source are eligible. The commissioner may
make payments for documented incremental costs incurred by a party, may determine an
estimate of such costs at the sole discretion of the commissioner, or may use a combination
of these two methods. If after receiving payment from the commissioner for a documented
cost, the provider is able to acquire payment from another source for that cost, the provider
shall reimburse the commissioner in the amount paid. new text end To the extent allowed under the
state's Medicaid state plan, the commissioner shall pay these costs deleted text begin from the deleted text end new text begin using new text end medical
assistance deleted text begin account deleted text end new text begin funding new text end .

new text begin Subd. 2. new text end

new text begin Payment in residential program. new text end

new text begin In a residential program, payment
under this section must be based on an allocation of costs between medical assistance
recipients and all other residents. This allocation must not be done in nursing facilities and
must not be done in other residential facilities in which at least 25 percent of residents
are medical assistance recipients.
new text end

Sec. 13. new text begin 2009 FLOOD LOSS; CITY REPLACEMENT AID.
new text end

new text begin Subdivision 1. new text end

new text begin Flood net tax capacity loss. new text end

new text begin The county assessor of each qualified
county shall compute a hypothetical city taxable net tax capacity for each city in the
county based upon market values for assessment year 2010 and the class rates that were in
effect for assessment year 2009. The amount, if any, by which the assessment year 2009
total taxable net tax capacity of the city exceeds the hypothetical taxable net tax capacity
of the city is the city's "flood net tax capacity loss." A county assessor of a qualified county
that contains a city that has a flood net tax capacity loss that exceeds five percent of its
assessment year 2009 total taxable net tax capacity shall certify the city's flood net tax
capacity loss to the commissioner of revenue by August 1, 2009.
new text end

new text begin As used in this section, a "qualified county" is a county located within the area
included in DR-1830.
new text end

new text begin Subd. 2. new text end

new text begin Flood loss aid. new text end

new text begin In 2010, each city with a flood net tax capacity loss equal
to or greater than five percent of its assessment year 2009 total taxable net tax capacity is
entitled to flood loss aid equal to the flood net tax capacity loss times the city's average
local tax rate for taxes payable in 2009.
new text end

new text begin Subd. 3. new text end

new text begin Duties of commissioner. new text end

new text begin The commissioner of revenue shall determine
each city's aid amount under this section. The commissioner shall notify each eligible city
of its flood loss aid amount by August 15, 2009. The commissioner shall make payments
to each city after July 1, and before July 20, 2010.
new text end

new text begin Subd. 4. new text end

new text begin Optional city expenditure. new text end

new text begin A city that receives aid under this section
may choose to expend a portion of the aid received for repair of county roads located
within the city.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation. new text end

new text begin The amount necessary to pay the aid amounts under this
section in fiscal year 2011, for calendar year 2010, is appropriated to the commissioner of
revenue from the general fund.
new text end

Sec. 14. new text begin BOND SALE AUTHORIZATIONS.
new text end

new text begin (a) To provide the money appropriated in section 3, subdivision 3, from the bond
proceeds fund, the commissioner of finance, at the request of the commissioner of public
safety, shall sell and issue bonds of the state in an amount up to $3,904,000 in the manner,
upon the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to
16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.
new text end

new text begin (b) To provide the money appropriated in section 4, subdivision 2, from the bond
proceeds fund, the commissioner of finance shall sell and issue bonds of the state in an
amount up to $500,000 in the manner, upon the terms, and with the effect prescribed by
Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution,
article XI, sections 4 to 7.
new text end

new text begin (c) To provide the money appropriated in section 9 from the bond proceeds account
in the trunk highway fund, the commissioner of finance shall sell and issue bonds of
the state in an amount up to $2,703,000 in the manner, upon the terms, and with the
effect prescribed by Minnesota Statutes, sections 167.50 to 167.52, and by the Minnesota
Constitution, article XIV, section 11, at the times and in the amount requested by the
commissioner of transportation. The proceeds of the bonds, except accrued interest and
any premium received on the sale of the bonds, must be credited to a bond proceeds
account in the trunk highway fund.
new text end

Sec. 15. new text begin EFFECTIVE DATE.
new text end

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

ARTICLE 2

HUGO TORNADO RELIEF

Section 1. new text begin GRANT.
new text end

new text begin The sum of $350,000 is appropriated from the general fund to the Department of
Employment and Economic Development for a grant to the city of Hugo for the cost of
debris clearance and other disaster costs resulting from damage caused by the May 25,
2008, tornado. This is a onetime appropriation and is available until expended.
new text end

new text begin EFFECTIVE DATE. new text end

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