HF 778

1st Unofficial Engrossment - 90th Legislature (2017 - 2018) Posted on 03/13/2017 09:10am

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, subdivision 2; 473J.03,
1.5by adding a subdivision; 473J.07, subdivisions 2, 3, 4, 7, 8, 9, by adding a
1.6subdivision; 473J.09, by adding subdivisions; repealing Minnesota Statutes 2016,
1.7section 473J.09, subdivision 14.
1.8BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9    Section 1. Minnesota Statutes 2016, section 13.55, subdivision 2, is amended to read:
1.10    Subd. 2. Public data. (a) The data made not public by the provisions of subdivision 1
1.11shall become public upon the occurrence of any of the following:
1.12    (a) (1) five years elapse from the date on which the lease or contract is entered into
1.13between the facility and the inquiring party or parties or the event which was the subject of
1.14inquiry occurs at the facility, whichever occurs earlier;
1.15    (b) (2) the event which was the subject of inquiry does not occur; or
1.16    (c) (3) the event which was the subject of inquiry occurs elsewhere.
1.17    (b) Data regarding persons receiving free or discounted admission, tickets, or other gifts
1.18from publicly owned and operated convention facilities, civic center authorities, or the
1.19Minnesota Sports Facilities Authority are public data unless the data are subject to the
1.20provisions of subdivision 1 or 4, paragraph (b).

2.1    Sec. 2. Minnesota Statutes 2016, section 473J.03, is amended by adding a subdivision to
2.2read:
2.3    Subd. 13. Stadium space. "Stadium space" means a seat, personal seat license, suite,
2.4club room, parking, or any other part of the stadium or license to access any part of the
2.5stadium that a member of the general public would have to pay to use or access.

2.6    Sec. 3. Minnesota Statutes 2016, section 473J.07, subdivision 2, is amended to read:
2.7    Subd. 2. Membership. (a) The authority shall consist of five members.
2.8    (b) The chair and two Three members shall be appointed by the governor and confirmed
2.9by the senate. One member appointed by the governor shall serve until December 31 of the
2.10third year following appointment and one member shall serve until December 31 of the
2.11fourth year following appointment. Thereafter, members appointed by the governor shall
2.12serve four-year terms, beginning January 1. Each member serves until a successor is
2.13appointed and takes office unless removed by the appointing authority for cause. Cause for
2.14removal includes violation of the employee code of ethics in section 43A.38. The chair
2.15serves at the pleasure of the governor.
2.16    (c) The mayor of the city shall appoint two members to the authority. One member
2.17appointed by the mayor of the city and confirmed by the senate shall serve until December
2.1831 of the third year following appointment and one member shall serve until December 31
2.19of the fourth year following appointment. Thereafter, members appointed under this
2.20paragraph shall serve four-year terms beginning January 1. Each member serves until a
2.21successor is appointed and takes office unless removed by the appointing authority for
2.22cause. Cause for removal includes violation of the employee code of ethics in section 43A.38.
2.23Members appointed under this paragraph may reside within the city and may be appointed
2.24officials of a political subdivision.
2.25    (d) The initial members of the authority must be appointed not later than June 13, 2012.

2.26    Sec. 4. Minnesota Statutes 2016, section 473J.07, subdivision 3, is amended to read:
2.27    Subd. 3. Compensation. The authority may compensate its members, other than the
2.28chair, as provided in section 15.0575. The chair shall receive, unless otherwise provided by
2.29other law, a salary in an amount fixed by the authority, no more than half of the salary of
2.30the executive director of the authority and shall be reimbursed for reasonable expenses to
2.31the same extent as a member.

3.1    Sec. 5. Minnesota Statutes 2016, section 473J.07, subdivision 4, is amended to read:
3.2    Subd. 4. Chair. The chair presides at all meetings of the authority, if present, and
3.3performs all other assigned duties and functions. The members of the authority shall
3.4biennially elect a chair from among its members. The authority may appoint from among
3.5its members a vice-chair to act for the chair during the temporary absence or disability of
3.6the chair, and any other officers the authority determines are necessary or convenient.

3.7    Sec. 6. Minnesota Statutes 2016, section 473J.07, subdivision 7, is amended to read:
3.8    Subd. 7. Audit. The legislative auditor shall audit the books and accounts of the authority
3.9once each year or as often as the legislative auditor's funds and personnel permit. The
3.10authority shall pay the total cost of the audit pursuant to section 3.9741. The legislative
3.11auditor may conduct examinations of the authority's finances, budgets, expenditures,
3.12revenues, and its operation. The legislative auditor may periodically examine the authority's
3.13use of stadium space by the authority's members, staff, family, friends, and vendors.

3.14    Sec. 7. Minnesota Statutes 2016, section 473J.07, subdivision 8, is amended to read:
3.15    Subd. 8. Executive director; employees. The authority may appoint an executive director
3.16to serve as the chief executive officer of the authority. The executive director serves at the
3.17pleasure of the authority and receives compensation as determined by the authority but not
3.18to exceed 115 percent of the governor's salary. The executive director may be responsible
3.19for the operation, management, and promotion of activities of the authority, as prescribed
3.20by the authority. The executive director has the powers necessarily incident to the
3.21performance of duties required and powers granted by the authority, but does not have
3.22authority to incur liability or make expenditures on behalf of the authority without general
3.23or specific directions by the authority, as shown by the bylaws or minutes of a meeting of
3.24the authority. The executive director is responsible for hiring, supervision, and dismissal
3.25of all other employees of the authority. The authority must conduct an annual employee
3.26evaluation of the executive director, which must be reviewed and approved by the entire
3.27board.

3.28    Sec. 8. Minnesota Statutes 2016, section 473J.07, is amended by adding a subdivision to
3.29read:
3.30    Subd. 8a. Budget; report. After adoption, the authority shall submit its annual budget
3.31to the commissioner of management and budget and to the chairs and ranking minority
3.32members of the senate finance and house of representatives ways and means committees.

4.1    Sec. 9. Minnesota Statutes 2016, section 473J.07, subdivision 9, is amended to read:
4.2    Subd. 9. Web site. The authority shall establish a Web site for purposes of providing
4.3information to the public concerning all actions taken by the authority. At a minimum, the
4.4Web site must contain a current version of the authority's bylaws, notices of upcoming
4.5meetings, minutes of the authority's meetings, each annual budget, each use agreement,
4.6each management agreement, each sponsorship agreement, meeting minutes for all meetings,
4.7policies, and procedures, and contact telephone, electronic mail, and facsimile numbers for
4.8public comments. This subdivision does not apply to information that is classified as not
4.9public data, as defined in section 13.02, subdivision 8a, under other law.

4.10    Sec. 10. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
4.11to read:
4.12    Subd. 15. Annual performance reports to the legislature. The authority must submit
4.13annual performance reports to the chair and ranking minority member of the Legislative
4.14Commission on Minnesota Sports Facilities and to the chairs and ranking minority members
4.15of the senate Finance Committee and the house of representatives Ways and Means
4.16Committee.

4.17    Sec. 11. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
4.18to read:
4.19    Subd. 16. Use of stadium space by authority members. Authority members may not
4.20use stadium space unless the use is for a legitimate business purpose. Legitimate business
4.21purposes are:
4.22    (1) participating in a marketing effort arranged by the authority's marketing vendor;
4.23    (2) conducting oversight of the operation of the stadium; or
4.24    (3) making stadium space available to nonprofit charitable organizations to provide
4.25access to events at the stadium for people served by the charitable organization.

4.26    Sec. 12. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
4.27to read:
4.28    Subd. 17. Use of stadium space by staff members. The executive director may not use
4.29stadium space unless the use is for a legitimate business purpose and is approved by a vote
4.30of the authority at a public meeting, and the legitimate business purpose is made a part of
4.31the public record. Stadium space may not be used by the authority's staff members, other
5.1than the executive director, unless the use is with the express written assignment of duties
5.2by the executive director. Staff may not receive free food or beverages and may not receive
5.3free parking unless necessary to complete the assigned duties.

5.4    Sec. 13. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
5.5to read:
5.6    Subd. 18. Use of stadium space by family and friends of authority members. The
5.7authority or its members may not grant access to stadium space to family members or friends
5.8of the authority's members or staff unless the use is for a legitimate business purpose and
5.9is approved by a vote of the authority at a public meeting, and the legitimate business purpose
5.10is made a part of the public record. A legitimate business purpose under this subdivision
5.11means being a prospective user of the stadium.

5.12    Sec. 14. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
5.13to read:
5.14    Subd. 19. Use of stadium space by marketing vendor. If the authority contracts with
5.15a vendor for services to market the stadium, the authority may extend to the marketing
5.16vendor complimentary access to stadium space for the purpose of marketing the stadium to
5.17prospective users of the stadium, provided the contract requires the vendor to report to the
5.18authority the following information within 30 days after each event at which the vendor has
5.19used stadium space:
5.20    (1) the costs of use;
5.21    (2) the identity of each adult attendee and their legitimate business purpose for attendance;
5.22    (3) the date, time, and a general description of the stadium event at which the suite was
5.23used; and
5.24    (4) the value and description of any food, parking, or other benefits provided to attendees.
5.25    Data that the authority receives under this subdivision is public data unless otherwise
5.26classified by section 13.55.

5.27    Sec. 15. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
5.28to read:
5.29    Subd. 20. Use of suite for charitable purposes. The Minnesota Sports Facilities
5.30Authority must make all suites to which the authority has access during NFL team stadium
5.31events under its use agreement with an NFL team, except for one suite, available to charitable
6.1organizations organized under section 501(c)(3) of the Internal Revenue Code for use during
6.2team stadium events. The authority must maintain a list of charitable organizations given
6.3access to a suite under this subdivision and the identity of adult attendees. Data on attendees
6.4under this subdivision are private data on individuals, as defined in section 13.02.

6.5    Sec. 16. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
6.6to read:
6.7    Subd. 21. Report on stadium space use by authority members, staff, and vendors.
6.8    The authority shall report the following information annually to the governor, the mayor of
6.9the city of Minneapolis, the chair of the Legislative Commission on Minnesota Sports
6.10Facilities, and the chairs and ranking minority members of the senate Finance Committee
6.11and the house of representatives Ways and Means Committee regarding use of stadium
6.12space by authority members, staff, and vendors or their guests:
6.13    (1) the costs of use;
6.14    (2) the identity of each adult attendee and their legitimate business purpose for attendance;
6.15    (3) the date, time, and a general description of the stadium event at which the suite was
6.16used; and
6.17    (4) the value and description of any food, parking, or other benefits provided to attendees.

6.18    Sec. 17. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
6.19to read:
6.20    Subd. 22. Open market purchase. This section does not prohibit an authority member,
6.21staff member, friend, or family member of the authority or staff from attending events,
6.22renting rooms, or using suites at the stadium for which the person purchased a ticket, rented
6.23a room, or purchased a suite, on the open market for fair market value.

6.24    Sec. 18. Minnesota Statutes 2016, section 473J.09, is amended by adding a subdivision
6.25to read:
6.26    Subd. 23. Code of conduct. The authority shall adopt and comply with the latest version
6.27of the state code of conduct promulgated by Minnesota Management and Budget. For
6.28purposes of section 43A.38 as applied to the authority, an authority member or an authority
6.29staff member is an "employee of the executive branch;" use of stadium space by an authority
6.30member or by authority staff, unless permitted under section 473J.09, constitutes a "gift"
7.1under section 43A.38, subdivision 2; and constitutes "use of state property for the employee's
7.2private interest" under section 43A.48, subdivision 4.

7.3    Sec. 19. RECOVERY.
7.4The Minnesota Sports Facilities Authority must recover the fair market value of any
7.5food, parking, tickets, and access to stadium suites provided to a person prior to January 1,
7.62017, if the provision of those benefits to the person was not in the public interest. The
7.7authority shall report on recovery efforts to the commissioner of management and budget
7.8and to the chairs and ranking minority members of the senate finance and house of
7.9representatives ways and means committees on the second Monday of each month until a
7.10full recovery is completed.
7.11EFFECTIVE DATE.This section is effective the day following final enactment.

7.12    Sec. 20. REPEALER.
7.13Minnesota Statutes 2016, section 473J.09, subdivision 14, is repealed.

7.14    Sec. 21. EFFECTIVE DATE.
7.15Except where otherwise provided, this act is effective July 1, 2017, and, notwithstanding
7.16any law to the contrary, the appointment of the current executive director of the authority
7.17and the terms of all current members of the authority terminate on that date. New
7.18appointments must be made by the appointing authorities by May 1, 2017, and, if confirmed
7.19by the senate, will be effective July 2, 2017.