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HF 778

3rd Unofficial Engrossment - 90th Legislature (2017 - 2018) Posted on 06/21/2017 11:31am

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1.1A bill for an act
1.2relating to the Minnesota Sports Facilities Authority; classifying data; providing
1.3for appointments; modifying duties; restricting the use of stadium space; requiring
1.4reports;amending Minnesota Statutes 2016, sections 13.55, subdivisions 1, 2;
1.543A.38, by adding a subdivision; 340A.404, subdivision 1; 352.01, subdivision
1.62a; 473.121, subdivision 5a; 473.164; 473.565, subdivision 1; 473.755, subdivision
1.74; 473.763, subdivision 2; 473J.03, by adding a subdivision; 473J.07, subdivisions
1.82, 3, 4, 7, 8, 9, by adding a subdivision; 473J.09, subdivision 13, by adding
1.9subdivisions; 473J.13, subdivision 3; 473J.25, subdivision 3; repealing Minnesota
1.10Statutes 2016, sections 137.50, subdivision 5; 473.551; 473.552; 473.553,
1.11subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13; 473.556, subdivisions 1, 2, 3,
1.124, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 16, 17; 473.561; 473.564, subdivisions 2, 3;
1.13473.572; 473.581; 473.592, subdivision 1; 473.595; 473.598; 473.599; 473.76;
1.14473J.09, subdivision 14.
1.15BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.16ARTICLE 1
1.17MINNESOTA SPORTS FACILITIES AUTHORITY REFORMS

1.18    Section 1. Minnesota Statutes 2016, section 13.55, subdivision 2, is amended to read:
1.19    Subd. 2. Public data. (a) The data made not public by the provisions of subdivision 1
1.20shall become public upon the occurrence of any of the following:
1.21    (a) (1) five years elapse from the date on which the lease or contract is entered into
1.22between the facility and the inquiring party or parties or the event which was the subject of
1.23inquiry occurs at the facility, whichever occurs earlier;
1.24    (b) (2) the event which was the subject of inquiry does not occur; or
1.25    (c) (3) the event which was the subject of inquiry occurs elsewhere.
2.1    (b) Data regarding persons receiving free or discounted admission, tickets, or other gifts
2.2from publicly owned and operated convention facilities, civic center authorities, or the
2.3Minnesota Sports Facilities Authority are public data unless the data are subject to the
2.4provisions of subdivision 1 or 4, paragraph (b).

2.5    Sec. 2. Minnesota Statutes 2016, section 43A.38, is amended by adding a subdivision to
2.6read:
2.7    Subd. 10. Publicly owned facilities. This section applies to the members and employees
2.8of the public governing bodies responsible for management of publicly owned facilities,
2.9including sporting facilities, arenas, and performance venues. Personal use of the facility
2.10or a portion of the facility at no or reduced cost constitutes a "gift" under this section.

2.11    Sec. 3. Minnesota Statutes 2016, section 473J.03, is amended by adding a subdivision to
2.12read:
2.13    Subd. 13. Stadium space. "Stadium space" means a seat, personal seat license, suite,
2.14club room, parking, or any other part of the stadium or license to access any part of the
2.15stadium that a member of the general public would have to pay to use or access.

2.16    Sec. 4. Minnesota Statutes 2016, section 473J.07, subdivision 2, is amended to read:
2.17    Subd. 2. Membership. (a) The authority shall consist of five members.
2.18    (b) The chair and two Three members shall be appointed by the governor and confirmed
2.19by the senate. One member appointed by the governor shall serve until December 31 of the
2.20third year following appointment and one member shall serve until December 31 of the
2.21fourth year following appointment. Thereafter, members appointed by the governor shall
2.22serve four-year terms, beginning January 1. Each member serves until a successor is
2.23appointed and takes office unless removed by the appointing authority for cause. Cause for
2.24removal includes violation of the employee code of ethics in section 43A.38. The chair
2.25serves at the pleasure of the governor.
2.26    (c) The mayor of the city shall appoint and the senate shall confirm two members to the
2.27authority. One member appointed by the mayor of the city shall serve until December 31
2.28of the third year following appointment and one member shall serve until December 31 of
2.29the fourth year following appointment. Thereafter, members appointed under this paragraph
2.30shall serve four-year terms beginning January 1. Each member serves until a successor is
2.31appointed and takes office unless removed by the appointing authority for cause. Cause for
2.32removal includes violation of the employee code of ethics in section 43A.38. Members
3.1appointed under this paragraph may reside within the city and may be appointed officials
3.2of a political subdivision.
3.3    (d) The initial members of the authority must be appointed not later than June 13, 2012.
3.4EFFECTIVE DATE.This section is effective the day following final enactment and
3.5applies to members appointed after April 1, 2017. If the senate adjourns the 2017 legislative
3.6session without confirming an appointee appointed after April 1, 2017, that appointee may
3.7serve until the senate denies confirmation of that appointee.

3.8    Sec. 5. Minnesota Statutes 2016, section 473J.07, subdivision 3, is amended to read:
3.9    Subd. 3. Compensation. The authority may compensate its members, other than the
3.10chair, as provided in section 15.0575. The chair shall receive, unless otherwise provided by
3.11other law, a salary in an amount fixed by the authority, no more than half of the salary of
3.12the executive director of the authority and shall be reimbursed for reasonable expenses to
3.13the same extent as a member.

3.14    Sec. 6. Minnesota Statutes 2016, section 473J.07, subdivision 4, is amended to read:
3.15    Subd. 4. Chair. The chair presides at all meetings of the authority, if present, and
3.16performs all other assigned duties and functions. The members of the authority shall
3.17biennially elect a chair from among its members. The authority may appoint from among
3.18its members a vice-chair to act for the chair during the temporary absence or disability of
3.19the chair, and any other officers the authority determines are necessary or convenient.

3.20    Sec. 7. Minnesota Statutes 2016, section 473J.07, subdivision 7, is amended to read:
3.21    Subd. 7. Audit. The legislative auditor shall audit the books and accounts of the authority
3.22once each year or as often as the legislative auditor's funds and personnel permit. The
3.23authority shall pay the total cost of the audit pursuant to section 3.9741. The legislative
3.24auditor may conduct examinations of the authority's finances, budgets, expenditures,
3.25revenues, and its operation. The legislative auditor may periodically examine the authority's
3.26use of stadium space by the authority's members, staff, family, friends, charitable
3.27organizations, and vendors.

3.28    Sec. 8. Minnesota Statutes 2016, section 473J.07, subdivision 8, is amended to read:
3.29    Subd. 8. Executive director; employees. The authority may appoint an executive director
3.30to serve as the chief executive officer of the authority. The executive director serves at the
3.31pleasure of the authority and receives compensation as determined by the authority but not
4.1to exceed 115 percent of the governor's salary. The executive director may be responsible
4.2for the operation, management, and promotion of activities of the authority, as prescribed
4.3by the authority. The executive director has the powers necessarily incident to the
4.4performance of duties required and powers granted by the authority, but does not have
4.5authority to incur liability or make expenditures on behalf of the authority without general
4.6or specific directions by the authority, as shown by the bylaws or minutes of a meeting of
4.7the authority. The executive director is responsible for hiring, supervision, and dismissal
4.8of all other employees of the authority. The authority must conduct an annual employee
4.9evaluation of the executive director, which must be reviewed and approved by the entire
4.10board.

4.11    Sec. 9. Minnesota Statutes 2016, section 473J.07, is amended by adding a subdivision to
4.12read:
4.13    Subd. 8a. Budget; report. After adoption, the authority shall submit its annual budget
4.14to the commissioner of management and budget and to the chairs and ranking minority
4.15members of the senate finance and house of representatives ways and means committees.

4.16    Sec. 10. Minnesota Statutes 2016, section 473J.07, subdivision 9, is amended to read:
4.17    Subd. 9. Web site. The authority shall establish a Web site for purposes of providing
4.18information to the public concerning all actions taken by the authority. At a minimum, the
4.19Web site must contain a current version of the authority's bylaws, notices of upcoming
4.20meetings, minutes of the authority's meetings, each annual budget, each use agreement,
4.21each management agreement, each sponsorship agreement, meeting minutes for all meetings,
4.22policies, and procedures, and contact telephone, electronic mail, and facsimile numbers for
4.23public comments. This subdivision does not apply to information that is classified as not
4.24public data, as defined in section 13.02, subdivision 8a, under other law.

4.25    Sec. 11. Minnesota Statutes 2016, section 473J.09, subdivision 13, is amended to read:
4.26    Subd. 13. Legislative report. The authority must report to the Legislative Commission
4.27on Minnesota Sports Facilities and the chairs and ranking minority members of the legislative
4.28committees with jurisdiction over state government finance and to the senate Finance
4.29Committee and the house of representatives Ways and Means Committee by January 15 of
4.30each year on the following:
4.31(1) any recommended increases in the rate or dollar amount of tax;
4.32(2) any recommended increases in the debt of the authority;
5.1(3) the overall work and role of the authority;
5.2(4) the authority's proposed operating and capital budgets; and
5.3(5) the authority's implementation of the operating and capital budgets., including
5.4information on actual revenues and expenditures, events conducted, and all expected or
5.5unexpected maintenance and capital repair needs arising since the time of the last report;
5.6and
5.7(6) a listing of all stadium amenities under the control of the authority since the time of
5.8the last report, and how the amenities were used.

5.9    Sec. 12. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
5.10to read:
5.11    Subd. 16. Use of stadium space by authority members. Authority members may not
5.12use stadium space unless the use is for a legitimate business purpose. Legitimate business
5.13purposes are:
5.14    (1) participating in a marketing effort arranged by the authority's marketing vendor;
5.15    (2) conducting oversight of the operation of the stadium; or
5.16    (3) making stadium space available to nonprofit charitable organizations to provide
5.17access to events at the stadium for people served by the charitable organization.

5.18    Sec. 13. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
5.19to read:
5.20    Subd. 17. Use of stadium space by staff members. The executive director may not use
5.21stadium space unless the use is for a legitimate business purpose and is approved by a vote
5.22of the authority at a public meeting, and the legitimate business purpose is made a part of
5.23the public record. Stadium space may not be used by the authority's staff members, other
5.24than the executive director, unless the use is with the express written assignment of duties
5.25by the executive director. Staff may not receive free food or beverages and may not receive
5.26free parking unless necessary to complete the assigned duties.

5.27    Sec. 14. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
5.28to read:
5.29    Subd. 18. Use of stadium space by family and friends of authority members. The
5.30authority or its members may not grant access to stadium space to family members or friends
5.31of the authority's members or staff unless the use is for a legitimate business purpose and
6.1is approved by a vote of the authority at a public meeting, and the legitimate business purpose
6.2is made a part of the public record. A legitimate business purpose under this subdivision
6.3means being a prospective user of the stadium.

6.4    Sec. 15. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
6.5to read:
6.6    Subd. 19. Use of stadium space by marketing vendor. If the authority contracts with
6.7a vendor for services to market the stadium, the authority may extend to the marketing
6.8vendor complimentary access to stadium space for the purpose of marketing the stadium to
6.9prospective users of the stadium, provided the contract requires the vendor to report to the
6.10authority the following information within 30 days after each event at which the vendor has
6.11used stadium space:
6.12    (1) the costs of use;
6.13    (2) the identity of each adult attendee and their legitimate business purpose for attendance;
6.14    (3) the date, time, and a general description of the stadium event at which the suite was
6.15used; and
6.16    (4) the value and description of any food, parking, or other benefits provided to attendees.
6.17    Data that the authority receives under this subdivision is public data unless otherwise
6.18classified by section 13.55.

6.19    Sec. 16. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
6.20to read:
6.21    Subd. 21. Report on stadium space use by authority members, staff, and vendors.
6.22    The authority shall report the following information annually to the governor, the mayor of
6.23the city of Minneapolis, the chair of the Legislative Commission on Minnesota Sports
6.24Facilities, and the chairs and ranking minority members of the senate Finance Committee
6.25and the house of representatives Ways and Means Committee regarding use of stadium
6.26space by authority members, staff, family, friends, charitable organizations, and vendors or
6.27their guests:
6.28    (1) the costs of use;
6.29    (2) the identity of each adult attendee and their legitimate business purpose for attendance;
6.30    (3) the date, time, and a general description of the stadium event at which the suite was
6.31used; and
7.1    (4) the value and description of any food, parking, or other benefits provided to attendees.

7.2    Sec. 17. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
7.3to read:
7.4    Subd. 22. Open market purchase. This section does not prohibit an authority member,
7.5staff member, friend, or family member of the authority or staff from attending events,
7.6renting rooms, or using suites at the stadium for which the person purchased a ticket, rented
7.7a room, or purchased a suite, on the open market through the same channels for the same
7.8prices as are available to the public.

7.9    Sec. 18. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
7.10to read:
7.11    Subd. 23. Code of conduct. The authority shall adopt and comply with the latest version
7.12of the state code of conduct promulgated by Minnesota Management and Budget. For
7.13purposes of section 43A.38 as applied to the authority, an authority member or an authority
7.14staff member is an "employee of the executive branch"; use of or preferential access to
7.15stadium space by an authority member or by authority staff, unless permitted under this
7.16section, constitutes a "gift" under section 43A.38, subdivision 2; and constitutes "use of
7.17state property for the employee's private interest" under section 43A.48, subdivision 4.

7.18    Sec. 19. LEGISLATIVE AUDITOR REVIEW OF MINNESOTA SPORTS
7.19FACILITIES AUTHORITY MANAGEMENT STRUCTURE.
7.20The legislative auditor is requested to conduct a review of the management structure of
7.21the Minnesota Sports Facilities Authority established in Minnesota Statutes, chapter 473J.
7.22The review is requested to prioritize consideration of the authority's leadership positions,
7.23including the necessity for the authority to be simultaneously led by a full-time executive
7.24director and a full-time chair. As appropriate, the review may include recommendations for
7.25legislation to improve the authority's management structure. The review must be submitted
7.26to the Legislative Commission on Minnesota Sports Facilities, and the chairs and ranking
7.27minority members of the legislative committees with jurisdiction over state government
7.28finance and to the chairs and ranking minority members of the senate Finance Committee
7.29and the house of representatives Ways and Means Committee, no later than January 15,
7.302018.

8.1    Sec. 20. RECOVERY.
8.2The Minnesota Sports Facilities Authority must make every effort to recover the fair
8.3market value of any food, parking, tickets, and access to stadium suites provided to a person
8.4prior to January 1, 2017, if the provision of those benefits to the person was not in the public
8.5interest. The authority shall report on recovery efforts to the commissioner of management
8.6and budget and to the chairs and ranking minority members of the senate finance and house
8.7of representatives ways and means committees by May 31, 2017. Money recovered under
8.8this section is transferred by July 1, 2017, to the commissioner of management and budget
8.9for deposit in the general reserve account established under Minnesota Statutes, section
8.10297E.021, subdivision 4.

8.11    Sec. 21. TEMPORARY TRANSFER OF SUITE FOR USE BY NONPROFIT.
8.12    The Minnesota Sports Facilities Authority must assign its rights to one stadium suite
8.13under the Stadium Use Agreement with the NFL team, as defined in Minnesota Statutes,
8.14section 473J.03, to a nonprofit charitable organization affiliated with and designated by the
8.15NFL team. This assignment must begin on the effective date of this act and must terminate
8.16on the day that a plan developed under section 22 for use of the suite is effective.

8.17    Sec. 22. TRANSFER OF SUITE.
8.18The Legislative Commission on Minnesota Sports Facilities shall report to the chairs
8.19and ranking minority members of the committees in the house of representatives and the
8.20senate with jurisdiction over finance by February 1, 2018, with recommendations for the
8.21future use, sale, or transfer of one or both suites in the NFL stadium owned by the Minnesota
8.22Sports Facilities Authority. The report shall review the potential for an amendment to the
8.23use agreement with the primary tenant and shall discuss the potential revenue available
8.24from the sale or lease of one or both suites, and the potential of other means of benefiting
8.25the public, such as making the suites available for use by charitable organizations. In
8.26developing its recommendations, the commission shall consult with the legislative auditor,
8.27the Minnesota Sports Facilities Authority, the primary tenant of the stadium, the stadium
8.28marketing and management firm engaged by the authority, and the commissioner of
8.29management and budget. The report shall include any draft legislation necessary to implement
8.30the recommendations.

8.31    Sec. 23. REPEALER.
8.32Minnesota Statutes 2016, section 473J.09, subdivision 14, is repealed.

9.1    Sec. 24. EFFECTIVE DATE.
9.2    This act is effective the day following final enactment. The terms of all current members
9.3of the Minnesota Sports Facilities Authority terminate May 31, 2017. Appointing authorities
9.4must appoint new members of the authority by May 10, 2017, to serve terms beginning
9.5June 1, 2017.

9.6ARTICLE 2
9.7METROPOLITAN SPORTS FACILITIES COMMISSION TECHNICAL CHANGES

9.8    Section 1. Minnesota Statutes 2016, section 13.55, subdivision 1, is amended to read:
9.9    Subdivision 1. Not public classification. The following data received, created, or
9.10maintained by or for publicly owned and operated convention facilities, civic center
9.11authorities, or the Metropolitan Minnesota Sports Facilities Commission Authority are
9.12classified as nonpublic data pursuant to section 13.02, subdivision 9; or private data on
9.13individuals pursuant to section 13.02, subdivision 12:
9.14(a) a letter or other documentation from any person who makes inquiry to or who is
9.15contacted by the facility regarding the availability of the facility for staging events;
9.16(b) identity of firms and corporations which contact the facility;
9.17(c) type of event which they wish to stage in the facility;
9.18(d) suggested terms of rentals; and
9.19(e) responses of authority staff to these inquiries.

9.20    Sec. 2. Minnesota Statutes 2016, section 340A.404, subdivision 1, is amended to read:
9.21    Subdivision 1. Cities. (a) A city may issue an on-sale intoxicating liquor license to the
9.22following establishments located within its jurisdiction:
9.23(1) hotels;
9.24(2) restaurants;
9.25(3) bowling centers;
9.26(4) clubs or congressionally chartered veterans organizations with the approval of the
9.27commissioner, provided that the organization has been in existence for at least three years
9.28and liquor sales will only be to members and bona fide guests, except that a club may permit
9.29the general public to participate in a wine tasting conducted at the club under section
9.30340A.419 ;
10.1(5) sports facilities, restaurants, clubs, or bars located on land owned or leased by the
10.2Minnesota Sports Facilities Authority; and
10.3(6) sports facilities located on land owned by the Metropolitan Sports Commission; and
10.4(7) (6) exclusive liquor stores.
10.5(b) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or
10.6an on-sale malt liquor license to a theater within the city, notwithstanding any law, local
10.7ordinance, or charter provision. A license issued under this paragraph authorizes sales on
10.8all days of the week to persons attending events at the theater.
10.9(c) A city may issue an on-sale intoxicating liquor license, an on-sale wine license, or
10.10an on-sale malt liquor license to a convention center within the city, notwithstanding any
10.11law, local ordinance, or charter provision. A license issued under this paragraph authorizes
10.12sales on all days of the week to persons attending events at the convention center. This
10.13paragraph does not apply to convention centers located in the seven-county metropolitan
10.14area.
10.15(d) A city may issue an on-sale wine license and an on-sale malt liquor license to a
10.16person who is the owner of a summer collegiate league baseball team, or to a person holding
10.17a concessions or management contract with the owner, for beverage sales at a ballpark or
10.18stadium located within the city for the purposes of summer collegiate league baseball games
10.19at the ballpark or stadium, notwithstanding any law, local ordinance, or charter provision.
10.20A license issued under this paragraph authorizes sales on all days of the week to persons
10.21attending baseball games at the ballpark or stadium.

10.22    Sec. 3. Minnesota Statutes 2016, section 352.01, subdivision 2a, is amended to read:
10.23    Subd. 2a. Included employees. (a) "State employee" includes:
10.24    (1) employees of the Minnesota Historical Society;
10.25    (2) employees of the State Horticultural Society;
10.26    (3) employees of the Minnesota Crop Improvement Association;
10.27    (4) employees of the adjutant general whose salaries are paid from federal funds and
10.28who are not covered by any federal civilian employees retirement system;
10.29    (5) employees of the Minnesota State Colleges and Universities who are employed under
10.30the university or college activities program;
11.1    (6) currently contributing employees covered by the system who are temporarily
11.2employed by the legislature during a legislative session or any currently contributing
11.3employee employed for any special service as defined in subdivision 2b, clause (6);
11.4    (7) employees of the legislature who are appointed without a limit on the duration of
11.5their employment;
11.6    (8) trainees who are employed on a full-time established training program performing
11.7the duties of the classified position for which they will be eligible to receive immediate
11.8appointment at the completion of the training period;
11.9    (9) employees of the Minnesota Safety Council;
11.10    (10) any employees who are on authorized leave of absence from the Transit Operating
11.11Division of the former Metropolitan Transit Commission and who are employed by the
11.12labor organization which is the exclusive bargaining agent representing employees of the
11.13Transit Operating Division;
11.14    (11) employees of the Metropolitan Council, Metropolitan Parks and Open Space
11.15Commission, Metropolitan Sports Facilities Commission, or Metropolitan Mosquito Control
11.16Commission unless excluded under subdivision 2b or are covered by another public pension
11.17fund or plan under section 473.415, subdivision 3;
11.18    (12) judges of the Tax Court;
11.19    (13) personnel who were employed on June 30, 1992, by the University of Minnesota
11.20in the management, operation, or maintenance of its heating plant facilities, whose
11.21employment transfers to an employer assuming operation of the heating plant facilities, so
11.22long as the person is employed at the University of Minnesota heating plant by that employer
11.23or by its successor organization;
11.24    (14) personnel who are employed as seasonal employees in the classified or unclassified
11.25service;
11.26    (15) persons who are employed by the Department of Commerce as a peace officer in
11.27the Commerce Fraud Bureau under section 45.0135 who have attained the mandatory
11.28retirement age specified in section 43A.34, subdivision 4;
11.29    (16) employees of the University of Minnesota unless excluded under subdivision 2b,
11.30clause (3);
11.31    (17) employees of the Middle Management Association whose employment began after
11.32July 1, 2007, and to whom section 352.029 does not apply;
12.1    (18) employees of the Minnesota Government Engineers Council to whom section
12.2352.029 does not apply;
12.3(19) employees of the Minnesota Sports Facilities Authority;
12.4(20) employees of the Minnesota Association of Professional Employees;
12.5(21) employees of the Minnesota State Retirement System;
12.6(22) employees of the State Agricultural Society;
12.7(23) employees of the Gillette Children's Hospital Board who were employed in the
12.8state unclassified service at the former Gillette Children's Hospital on March 28, 1974; and
12.9(24) if approved for coverage by the Board of Directors of Conservation Corps Minnesota,
12.10employees of Conservation Corps Minnesota so employed on June 30, 2003.
12.11    (b) Employees specified in paragraph (a), clause (13), are included employees under
12.12paragraph (a) if employer and employee contributions are made in a timely manner in the
12.13amounts required by section 352.04. Employee contributions must be deducted from salary.
12.14Employer contributions are the sole obligation of the employer assuming operation of the
12.15University of Minnesota heating plant facilities or any successor organizations to that
12.16employer.

12.17    Sec. 4. Minnesota Statutes 2016, section 473.121, subdivision 5a, is amended to read:
12.18    Subd. 5a. Metropolitan agency. "Metropolitan agency" means the Metropolitan Parks
12.19and Open Space Commission, and the Metropolitan Airports Commission, and Metropolitan
12.20Sports Facilities Commission.

12.21    Sec. 5. Minnesota Statutes 2016, section 473.164, is amended to read:
12.22473.164 SPORTS, AIRPORT COMMISSIONS COMMISSION TO PAY COUNCIL
12.23COSTS.
12.24    Subdivision 1. Annually reimburse. The Metropolitan Sports Facilities Commission
12.25and the Metropolitan Airports Commission shall annually reimburse the council for costs
12.26incurred by the council in the discharge of its responsibilities relating to the commission.
12.27The costs may be charged against any revenue sources of the commission as determined
12.28by the commission.
12.29    Subd. 2. Estimates, budget, transfer. On or before May 1 of each year, the council
12.30shall transmit to each the commission an estimate of the costs which the council will incur
12.31in the discharge of its responsibilities related to the commission in the next budget year
13.1including, without limitation, costs in connection with the preparation, review,
13.2implementation and defense of plans, programs and budgets of the commission. Each The
13.3commission shall include the estimates in its budget for the next budget year and may
13.4transmit its comments concerning the estimated amount to the council during the budget
13.5review process. Prior to December 15 of each year, the amount budgeted by each the
13.6commission for the next budget year may be changed following approval by the council.
13.7During each budget year, the commission shall transfer budgeted funds to the council in
13.8advance when requested by the council.
13.9    Subd. 3. Final statement. At the conclusion of each budget year, the council, in
13.10cooperation with each the commission, shall adopt a final statement of costs incurred by
13.11the council for each the commission. Where costs incurred in the budget year have exceeded
13.12the amount budgeted, each the commission shall transfer to the council the additional moneys
13.13needed to pay the amount of the costs in excess of the amount budgeted, and shall include
13.14a sum in its next budget. Any excess of budgeted costs over actual costs may be retained
13.15by the council and applied to the payment of budgeted costs in the next year.

13.16    Sec. 6. Minnesota Statutes 2016, section 473.565, subdivision 1, is amended to read:
13.17    Subdivision 1. In MSRS; exceptions. All employees of the former commission shall
13.18be members of the Minnesota State Retirement System with respect to service rendered on
13.19or after May 17, 1977, except as provided in this section.

13.20    Sec. 7. Minnesota Statutes 2016, section 473.755, subdivision 4, is amended to read:
13.21    Subd. 4. Bylaws. The authority shall adopt bylaws to establish rules of procedure, the
13.22powers and duties of its officers, and other matters relating to the governance of the authority
13.23and the exercise of its powers. Except as provided in this section, the bylaws adopted under
13.24this subdivision shall be similar in form and substance to bylaws adopted by the Metropolitan
13.25Sports Facilities Commission pursuant to Minnesota Statutes 2012, section 473.553.

13.26    Sec. 8. Minnesota Statutes 2016, section 473.763, subdivision 2, is amended to read:
13.27    Subd. 2. Acquisition. Subject to the rules of Major League Baseball, the governor and
13.28the Metropolitan Sports Facilities Commission must attempt to facilitate the formation of
13.29a corporation to acquire the baseball franchise and to identify an individual private managing
13.30owner of the corporation. The corporation formed to acquire the franchise shall have a
13.31capital structure in compliance with all of the following provisions:
14.1(1) there may be two classes of capital stock: common stock and preferred stock. Both
14.2classes of stock must give holders voting rights with respect to any relocation or voluntary
14.3contraction of the franchise;
14.4(2) the private managing owner must own no less than 25 percent and no more than 35
14.5percent of the common stock. For purposes of this restriction, shares of common stock
14.6owned by the private managing owner include shares of common stock owned by any related
14.7taxpayer as defined in section 1313(c) of the Internal Revenue Code of 1986, as amended.
14.8Other than the rights of all other holders of common stock and preferred stock with respect
14.9to relocation or voluntary contraction of the franchise, the private managing owner must
14.10control all aspects of the operation of the corporation;
14.11(3) other than the private managing owner, no individual or entity may own more than
14.12five percent of the common stock of the corporation;
14.13(4) at least 50 percent of the ownership of the common stock must be sold to members
14.14of the general public in a general solicitation and a person or entity must not own more than
14.15one percent of common stock of the corporation; and
14.16(5) the articles of incorporation, bylaws, and other governing documents must provide
14.17that the franchise may not move outside of the state or agree to voluntary contraction without
14.18approval of at least 75 percent of the shares of common stock and at least 75 percent of the
14.19shares of preferred stock. Notwithstanding any law to the contrary, these 75 percent approval
14.20requirements shall not be amended by the shareholders or by any other means.
14.21Except as specifically provided by Laws 2006, chapter 257, no state agency may spend
14.22money from any state fund for the purpose of generating revenue under this subdivision or
14.23for the purpose of providing operating support or defraying operating losses of a professional
14.24baseball franchise.

14.25    Sec. 9. Minnesota Statutes 2016, section 473J.13, subdivision 3, is amended to read:
14.26    Subd. 3. Public access. The authority will work to maximize access for public and
14.27amateur sports, community, and civic events, and other public events in type and on terms
14.28consistent with those currently held at the existing football stadium, as defined in Minnesota
14.29Statutes 2012, section 473.551, subdivision 9. The authority may provide that these events
14.30have exclusive use of the premises at agreed-upon times subject to the scheduling rights of
14.31the NFL team under the lease or use agreement.

15.1    Sec. 10. Minnesota Statutes 2016, section 473J.25, subdivision 3, is amended to read:
15.2    Subd. 3. Metropolitan Sports Facilities Commission abolished; interim powers
15.3conferred on authority. Upon transfer to the authority of all remaining assets, liabilities,
15.4and obligations of the Metropolitan Sports Facilities Commission, in subdivision 2, the
15.5Metropolitan Sports Facilities Commission is abolished. When the remaining assets,
15.6liabilities, and obligations of the Metropolitan Sports Facilities Commission have been
15.7transferred to the authority and the commission has been abolished, the powers and duties
15.8of the commission under Minnesota Statutes 2012, sections 473.551 to 473.599, and any
15.9other law shall devolve upon the authority, in addition to the powers and duties of the
15.10authority under chapter 473J, until the first NFL home game is played at the stadium.

15.11    Sec. 11. REPEALER.
15.12Minnesota Statutes 2016, sections 137.50, subdivision 5; 473.551; 473.552; 473.553,
15.13subdivisions 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, and 13; 473.556, subdivisions 1, 2, 3, 4, 5,
15.146, 7, 8, 9, 10, 11, 12, 13, 14, 16, and 17; 473.561; 473.564, subdivisions 2 and 3; 473.572;
15.15473.581; 473.592, subdivision 1; 473.595; 473.598; 473.599; and 473.76, are repealed.

15.16    Sec. 12. EFFECTIVE DATE.
15.17Sections 1 to 11 are effective June 30, 2017.

700 State Office Building, 100 Rev. Dr. Martin Luther King Jr. Blvd., St. Paul, MN 55155 ♦ Phone: (651) 296-2868 ♦ TTY: 1-800-627-3529 ♦ Fax: (651) 296-0569