HF 263

4th Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to a University of Minnesota football stadium; providing a process for
state support of a football stadium at the University of Minnesota; transferring
land in Dakota County from the University to the Department of Natural
Resources; appropriating money; proposing coding for new law in Minnesota
Statutes, chapter 473.

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

Section 1. new text begin DEFINITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Applicability. new text end

new text begin The definitions in this section apply to sections 2 to 7.
new text end

new text begin Subd. 2. new text end

new text begin Commissioner. new text end

new text begin "Commissioner" means the commissioner of finance.
new text end

new text begin Subd. 3. new text end

new text begin Stadium. new text end

new text begin "Stadium" means an athletic stadium suitable for intercollegiate
National Collegiate Athletic Association (NCAA) Division I football games and related
infrastructure improvements constructed on the University of Minnesota's east bank
campus in the city of Minneapolis.
new text end

new text begin Subd. 4. new text end

new text begin Board. new text end

new text begin "Board" means the Regents of the University of Minnesota.
new text end

new text begin Subd. 5. new text end

new text begin Commission. new text end

new text begin "Commission" means the Metropolitan Sports Facilities
Commission.
new text end

new text begin Subd. 6. new text end

new text begin University land. new text end

new text begin "University land" means approximately 2,840 acres
owned by the University of Minnesota and lying within the area legally described as
approximately the Southerly 3/4 of the Southwest 1/4 of Section 1 (comprising 120 acres),
approximately the Southeast 1/4 of Section 2 (comprising 160 acres), the East 1/2 of
Section 10, Section 11, the West 1/2 of Section 12, Section 13 and Section 14, all in Twp.
114 North, Range 19 West, Dakota County, Minnesota.
new text end

new text begin Subd. 7. new text end

new text begin Permitted University uses. new text end

new text begin "Permitted University uses" means University
educational, research, outreach, scientific and agricultural uses including, undiminished,
all of the present uses of the University land, all of the present uses of University real
property that adjoins the University land, all similar uses made of comparable property by
other land grant universities, any uses related to the foregoing uses, and the making of
improvements incidental to any such uses.
new text end

new text begin Subd. 8. new text end

new text begin Other permitted uses. new text end

new text begin "Other permitted uses" means agricultural, outdoor
recreation uses including those named in Minnesota Statutes 2004, section 86A.03,
subdivision 3, open space management uses, and the making of improvements incidental
to any such uses, provided such improvements have been agreed to in writing by the
University and the commissioner of natural resources.
new text end

new text begin Subd. 9. new text end

new text begin Prohibited uses. new text end

new text begin "Prohibited uses" means use of the University land
for residential, commercial, or industrial uses, unless those uses are permitted by this
act, or are presently being conducted under existing University leases, easements or use
agreements or are utility uses within defined corridors.
new text end

Sec. 2. new text begin ACTIVITIES; CONTRACTS.
new text end

new text begin The legislature recognizes that the board has all powers necessary or convenient for
designing, constructing, equipping, improving, controlling, operating, and maintaining the
stadium and may enter into contracts that are in its judgment in the best interests of the
public for those purposes. Notwithstanding contrary law, the board may adopt the fair
and competitive design and construction procurement procedures in connection with the
stadium that it considers to be in the public interest.
new text end

Sec. 3. new text begin PUBLIC USE OF STADIUM.
new text end

new text begin The Board of Regents is requested, in furtherance of its outreach mission and subject
to its policies regarding the use of University facilities, to provide ample opportunities for
use of the stadium for events sponsored by public bodies including public schools.
new text end

Sec. 4. new text begin CONDITIONS FOR PAYMENT TO UNIVERSITY.
new text end

new text begin (a) Before the commissioner may make the first payment to the board authorized
in this section the commissioner must certify that the board has received at least
$124,000,000 in pledges, gifts, sponsorships, and other nonstate general fund revenue
support for the construction of the stadium. On July 1 of each year after certification
by the commissioner, but no earlier than July 1, 2007, and for so long thereafter as
any bonds issued by the board for the construction of the stadium are outstanding, the
state must transfer to the board up to $9,400,000 to reimburse the board for its stadium
costs, provided that bonds issued to pay the state's share of such costs shall not exceed
$124,000,000. Up to $9,400,000 is appropriated annually from the general fund for the
purpose of this section. The appropriation of up to $9,400,000 per year may be made
for no more than 25 years. The board must certify to the commissioner the amount of
the annual payments of principal and interest required to service each series of bonds
issued by the University for the construction of the stadium, and the actual amount of the
state's annual payment to the University shall equal the amount required to service the
bonds representing the state's share of such costs. Except to the extent of the annual
appropriation described in this section, the state is not required to pay any part of the cost
of designing or constructing the stadium.
new text end

new text begin (b) The board must certify to the commissioner that the per semester student fee
contribution to the stadium will be at a fixed level coterminous with bonds issued by the
board to meet the student share of the design construction of the stadium and that the
student fee will not be increased to meet construction cost overruns.
new text end

Sec. 5. new text begin NO FULL FAITH AND CREDIT.
new text end

new text begin Any bonds or other obligations issued by the board under this act are not public debt
of the state, and the full faith and credit and taxing powers of the state are not pledged for
their payment, or of any payments that the state agrees to make under this act.
new text end

Sec. 6. new text begin LAND PROTECTION AND TRANSFER.
new text end

new text begin Subdivision 1. new text end

new text begin Land protection. new text end

new text begin The obligation of the state of Minnesota to
make the payments required under section 4 herein is expressly conditioned upon the
University's covenant in perpetuity, subject to subdivision 3, limiting the use of the
University land to the permitted University uses and the other permitted uses and
proscribing the use of the University land for any of the prohibited uses. A declaration
imposing such restrictions and granting to the Minnesota Department of Natural Resources
the right to enforce the same which has been executed by the University and filed in the
Office of the Dakota County Recorder shall satisfy this condition. In furtherance of the
purposes of this subdivision, the University and Department of Natural Resources shall
promptly endeavor to enter into a joint powers agreement pursuant to Minnesota Statutes,
section 471.59, or a conservation easement held by a qualified conservation organization
or by a conservation easement holder as described in applicable Minnesota law embodying
such restrictions, which agreement or easement shall provide for cooperative oversight
of the use of the University land. Nothing herein or in any declaration, agreement, or
easement made or entered into pursuant hereto shall impair the rights of third parties
under presently existing leases, easements, or use agreements. Except as limited in
any declaration, agreement, or conservation easement made, entered into, or granted as
provided above, the rights of University with respect to the University land are not to be
affected by this section.
new text end

new text begin Subd. 2. new text end

new text begin Land transfer. new text end

new text begin Not later than the date on which the state of Minnesota
makes the last of the payments required under section 4, the Regents of the University
of Minnesota shall offer to convey the University land to the Minnesota Department of
Natural Resources in its "as is" condition by quit claim deed, without warranties, for the
sum of $1. Upon agreement of the University and the state, all or part of the University
land may be transferred to another governmental unit of the state. Any conveyance shall be
subject to the perpetual right of the University to use the University land for the permitted
University uses. Such conveyance shall also be subject to the rights of third parties under
presently existing leases, easements, and use agreements. The instruments of transfer shall
otherwise limit the use of the University land to the other permitted uses and subject such
uses to such restrictions as may be provided in any agreement between the University and
state or any conservation easement granted pursuant to subdivision 1, as applicable and
proscribe its use for the prohibited purposes. The University of Minnesota shall have the
right to enforce such limitations and restrictions. The state shall make no claim or demand
or institute any suit or proceeding against the University with respect to environmental
contamination of pollution on the University land resulting from hazardous substances,
pollutants, or contaminants that were released, or that otherwise came to be located on the
University land prior to the time the University took title thereto, unless the University
took action that significantly contributed to the release after the University knew or
reasonably should have known that a hazardous substance or pollutant or contaminant was
located in or on the land. The University shall promptly endeavor and use due diligence
to resolve its claims against the federal government with respect to environmental
contamination that occurred prior to the time the University took title to the university
land. The University shall seal any abandoned wells on the land pursuant to state law.
new text end

new text begin Subd. 3. new text end

new text begin Termination of use restrictions. new text end

new text begin In the event the state of Minnesota fails
to make any payment required by section 4, the foregoing restrictions on University's use
of the University land, any declaration, agreement, or conservation easement containing
such restrictions and the University's obligation to offer the University land to the state of
Minnesota shall be null and void.
new text end

Sec. 7.

new text begin [473.5955] TERMINATION OF LEASE.
new text end

new text begin The lease between the Regents of the University of Minnesota and the commission
dated May 19, 1982, that requires the University of Minnesota football team to play its
home football games at the Hubert H. Humphrey Metrodome until July 1, 2012, may
be terminated by the board effective on or after the date designated by the board as the
date of completion of the stadium on the University of Minnesota's east bank campus in
the city of Minneapolis.
new text end

Sec. 8. new text begin RECREATIONAL PROGRAM ASSESSMENT.
new text end

new text begin The commissioner of natural resources, in cooperation with the Board of Regents of
the University, shall submit to the governor and the legislature by January 15, 2007, an
assessment of the short-term and long-term programmatic plans for the development of the
land identified in section 1, subdivision 8. The assessment shall include, but is not limited
to, a timeline for providing the recreational opportunities, and the needed restoration
including native species of local ecotype, measurable outcomes, and anticipated costs.
The commissioner of natural resources shall consult with interested stakeholders to assist
in the development of the plan.
new text end

Sec. 9. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall codify sections 1 to 6 in chapter 137 in the next edition
of Minnesota Statutes.
new text end

Sec. 10. new text begin EFFECTIVE DATE.
new text end

new text begin Sections 1 to 9 are effective the day following final enactment. new text end