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HF 3701

as introduced - 80th Legislature (1997 - 1998) Posted on 12/15/2009 12:00am

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

Bill Text Versions

Engrossments
Introduction Posted on 02/12/1998

Current Version - as introduced

  1.1                          A bill for an act 
  1.2             relating to state government; modifying provisions for 
  1.3             debt capacity forecasting, budget preparation, 
  1.4             reporting bond proceeds expenditures, bond sales, and 
  1.5             certain capital improvements; amending Minnesota 
  1.6             Statutes 1996, sections 16A.105; 16A.11, subdivision 
  1.7             3a; 16A.501; and 16B.30; Minnesota Statutes 1997 
  1.8             Supplement, section 16A.641, subdivision 4. 
  1.9   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.10     Section 1.  Minnesota Statutes 1996, section 16A.105, is 
  1.11  amended to read: 
  1.12     16A.105 [DEBT CAPACITY FORECAST.] 
  1.13     By December 1 of each even-numbered In February and 
  1.14  November of each year the governor commissioner shall submit to 
  1.15  the legislature prepare a debt capacity forecast to be delivered 
  1.16  to the governor and legislature according to section 16A.103, 
  1.17  subdivision 1.  The debt capacity forecast must include 
  1.18  statements of the indebtedness of the state for bonds, notes, 
  1.19  and other forms of long-term general obligation 
  1.20  indebtedness that are not accounted for in proprietary or 
  1.21  fiduciary funds, including general obligation bonds, moral 
  1.22  obligation bonds, revenue bonds, loans, grants payable, and 
  1.23  capital leases.  The forecast must show the actual amount of the 
  1.24  debt service for at least the past two completed fiscal years, 
  1.25  and the estimated amount for the current fiscal year and the 
  1.26  next six fiscal years, the debt authorized and unissued, the 
  1.27  condition of the sinking funds, and the borrowing capacity for 
  2.1   the next six fiscal years. 
  2.2      Sec. 2.  Minnesota Statutes 1996, section 16A.11, 
  2.3   subdivision 3a, is amended to read: 
  2.4      Subd. 3a.  [PART THREE:  DETAILED CAPITAL BUDGET.] The 
  2.5   detailed capital budget must include recommendations for capital 
  2.6   projects to be funded during the next six fiscal years.  It must 
  2.7   be submitted with projects rank ordered in two ways:  in order 
  2.8   of importance among all budget projects as 
  2.9   determined recommended by the governor, and in order of 
  2.10  importance among that agency's requests as determined by the 
  2.11  agency originating the request. 
  2.12     Sec. 3.  Minnesota Statutes 1996, section 16A.501, is 
  2.13  amended to read: 
  2.14     16A.501 [REPORT ON MATCHING MONEY EXPENDITURE OF BOND 
  2.15  PROCEEDS.] 
  2.16     The commissioner of finance must report annually to the 
  2.17  legislature on the degree to which entities receiving 
  2.18  appropriations of bond proceeds contingent upon obtaining 
  2.19  matching money have been successful in raising have encumbered 
  2.20  or expended that money.  The report must be submitted to the 
  2.21  chairs of the house of representatives ways and means committee 
  2.22  and the senate finance committee by February 1 of each year. 
  2.23     Sec. 4.  Minnesota Statutes 1997 Supplement, section 
  2.24  16A.641, subdivision 4, is amended to read: 
  2.25     Subd. 4.  [SALE AND ISSUANCE.] State bonds must be sold and 
  2.26  issued upon sealed competitive bids in the manner and on the 
  2.27  terms and conditions determined by the commissioner in 
  2.28  accordance with the laws authorizing them and subject to the 
  2.29  approval of the attorney general, but not subject to chapter 14, 
  2.30  including section 14.386.  For each series, in addition to 
  2.31  provisions required by subdivision 3, the commissioner may 
  2.32  determine:  
  2.33     (1) the time, place, and notice of sale and method of 
  2.34  comparing bids; 
  2.35     (2) the price, not less than par for highway bonds; 
  2.36     (3) the principal amount and date of issue; 
  3.1      (4) the interest rates and payment dates; 
  3.2      (5) the maturity amounts and dates, not more than 20 years 
  3.3   from the date of issue, subject to subdivision 5; 
  3.4      (6) the terms, if any, on which the bonds may or must be 
  3.5   redeemed before maturity, including notice, times, and 
  3.6   redemption prices; and 
  3.7      (7) the form of the bonds and the method of execution, 
  3.8   delivery, payment, registration, conversion, and exchange, in 
  3.9   accordance with section 16A.672.  
  3.10     Sec. 5.  Minnesota Statutes 1996, section 16B.30, is 
  3.11  amended to read: 
  3.12     16B.30 [GENERAL AUTHORITY.] 
  3.13     (a) Subject to other provisions in this chapter, the 
  3.14  commissioner shall supervise and control the making of all 
  3.15  contracts for the construction of buildings and for other 
  3.16  capital improvements to state buildings and structures, other 
  3.17  than buildings and structures under the control of the board of 
  3.18  trustees of the Minnesota state colleges and 
  3.19  universities.  Except as provided in paragraph (b), a state 
  3.20  agency may not undertake improvements of a capital nature 
  3.21  without specific legislative authority. 
  3.22     (b) Notwithstanding paragraph (a), specific legislative 
  3.23  authority is not required for projects financed with operating 
  3.24  appropriations or agency receipts that: 
  3.25     (1) are undertaken for asset preservation or code 
  3.26  compliance purposes; 
  3.27     (2) do not materially increase the net square footage of a 
  3.28  facility; and 
  3.29     (3) do not increase the cost of facility programs. 
  3.30     Sec. 6.  [EFFECTIVE DATE.] 
  3.31     Sections 1 to 5 are effective the day following final 
  3.32  enactment.