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Minnesota Legislature

Office of the Revisor of Statutes

HF 2622

as introduced - 90th Legislature (2017 - 2018) Posted on 04/27/2017 10:02am

KEY: stricken = removed, old language.
underscored = added, new language.

Bill Text Versions

Engrossments
Introduction Posted on 04/27/2017

Current Version - as introduced

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A bill for an act
relating to the Metropolitan Council; modifying provisions relating to the sewer
availability charge; requiring a report; amending Minnesota Statutes 2016, section
473.517, subdivision 3.

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

Section 1.

Minnesota Statutes 2016, section 473.517, subdivision 3, is amended to read:


Subd. 3.

Allocation of treatment, interceptor costs; reserved capacity.

(a) In preparing
each budget the council shall estimate the current costs of acquisition, betterment, and debt
service, only, of the treatment works in the metropolitan disposal system which will not be
used to total capacity during the budget year, and the percentage of such capacity which
will not be used, and shall deduct the same percentage of such treatment works costs from
the current costs allocated under subdivision 1. The council shall also estimate the current
costs of acquisition, betterment, and debt service, only, of the interceptors in the metropolitan
disposal system that will not be used to total capacity during the budget year, shall estimate
the percentage of the total capacity that will not be used, and shall deduct the same percentage
of interceptor costs from the current costs allocated under subdivision 1. The total amount
so deducted with respect to all treatment works and interceptors in the system shall be
allocated among and paid by the respective local government units in the metropolitan area
through a metropolitan sewer availability charge new text begin(SAC) new text endfor each new connection or increase
in capacity demand to the metropolitan disposal system within each local government unit.
new text begin The SAC must be based on a formula that reflects actual reserved capacity use by each type
of new connection or expansion.
new text endAmounts collected through the deleted text beginmetropolitan sewer
availability charge (SAC)
deleted text endnew text begin SACnew text end must be deposited in the council's wastewater reserve capacity
fund. Each fiscal year an amount from the wastewater reserve capacity fund shall be
transferred to the wastewater operating fund for the reserved capacity costs described in
this paragraph. For the purposes of this subdivision, the amount transferred from the
wastewater reserve capacity fund to the wastewater operating fund shall be referred to as
the "SAC transfer amount."

(b) If, after appropriate study and a public hearing, the council determines for the next
fiscal year that a reduction of the SAC transfer amount is necessary or desirable to ensure
adequate funds remain in the wastewater reserve capacity fund, based on a goal of
maintaining at least the next year's estimated SAC transfer amount in the wastewater reserve
capacity fund, the council may reduce the SAC transfer amount for that fiscal year. If the
council reduces the SAC transfer amount for the next fiscal year, the council must then
increase the metropolitan sewer availability charge not less than the greater of six percent
or the annual percentage change in the Consumer Price Index for the metropolitan region
for the previous year plus three percentage points. For the purposes of this subdivision, any
reduction in the SAC transfer amount shall be referred to as the "SAC transfer deficit." deleted text beginThe
provisions of this paragraph expire at the end of calendar year 2015.
deleted text end

(c) The council will record on a cumulative basis the total SAC transfer deficit. In any
year that the wastewater reserve capacity fund has a year-end balance of at least two years'
estimated SAC transfer amount, the council shall increase the subsequent annual SAC
transfer amount in excess of the amount required by paragraph (a) with the goal of eliminating
the cumulative total SAC transfer deficit. The annual amount by which the council increases
the SAC transfer amount shall be determined by the council after appropriate study and a
public hearing.

new text begin (d) A local unit of government must provide to an applicant for a building permit the
estimated SAC within 15 days of the applicant submitting a complete application.
new text end

new text begin APPLICATION; EFFECTIVE DATE. new text end

new text begin This section applies in the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington. This section is effective the
day following final enactment except that the SAC formula developed as required in
paragraph (a) is effective for sewer availability charges imposed on local governments on
or after July 1, 2018.
new text end

Sec. 2. new text beginREPORT.
new text end

new text begin The Metropolitan Council must report to the legislative committees with jurisdiction
over the council, and as provided in Minnesota Statutes, section 3.195, on the formula
developed as required in Minnesota Statutes, section 473.517, subdivision 1. In developing
the formula, the council must compare individual SACs imposed between 2011 and 2016
with the actual increase, if any, of wastewater flow and use of reserve capacity, or water
use if that is the proxy for the wastewater flow, by those same individual new connections
or expansions and report the comparisons by type of facility, industry, and any other category
used to impose SACs. The report must be submitted by February 15, 2018.
new text end

new text begin APPLICATION; EFFECTIVE DATE. new text end

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