SF 2297

1st Engrossment - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to state and local government operations; providing a process for
developing a new baseball stadium; establishing a metropolitan ballpark
authority; providing for the membership, powers, and duties of the authority;
authorizing Hennepin County to contract with the ballpark authority, issue
bonds, and impose an additional sales tax; specifying certain duties of the
city of Minneapolis; amending Minnesota Statutes 2004, section 297A.71, by
adding a subdivision; Minnesota Statutes 2005 Supplement, section 10A.01,
subdivision 35; repealing Minnesota Statutes 2004, sections 473I.01; 473I.02;
473I.03; 473I.04; 473I.05; 473I.06; 473I.07; 473I.08; 473I.09; 473I.10; 473I.11;
473I.12; 473I.13.

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

Section 1.

Minnesota Statutes 2005 Supplement, section 10A.01, subdivision 35,
is amended to read:

Subd. 35.

Public official.

"Public official" means any:

(1) member of the legislature;

(2) individual employed by the legislature as secretary of the senate, legislative
auditor, chief clerk of the house, revisor of statutes, or researcher, legislative analyst, or
attorney in the Office of Senate Counsel and Research or House Research;

(3) constitutional officer in the executive branch and the officer's chief administrative
deputy;

(4) solicitor general or deputy, assistant, or special assistant attorney general;

(5) commissioner, deputy commissioner, or assistant commissioner of any state
department or agency as listed in section 15.01 or 15.06, or the state chief information
officer;

(6) member, chief administrative officer, or deputy chief administrative officer of a
state board or commission that has either the power to adopt, amend, or repeal rules under
chapter 14, or the power to adjudicate contested cases or appeals under chapter 14;

(7) individual employed in the executive branch who is authorized to adopt, amend,
or repeal rules under chapter 14 or adjudicate contested cases under chapter 14;

(8) executive director of the State Board of Investment;

(9) deputy of any official listed in clauses (7) and (8);

(10) judge of the Workers' Compensation Court of Appeals;

(11) administrative law judge or compensation judge in the State Office of
Administrative Hearings or referee in the Department of Employment and Economic
Development;

(12) member, regional administrator, division director, general counsel, or operations
manager of the Metropolitan Council;

(13) member or chief administrator of a metropolitan agency;

(14) director of the Division of Alcohol and Gambling Enforcement in the
Department of Public Safety;

(15) member or executive director of the Higher Education Facilities Authority;

(16) member of the board of directors or president of Minnesota Technology, Inc.; deleted text begin or
deleted text end

(17) member of the board of directors or executive director of the Minnesota State
High School League new text begin ; or
new text end

new text begin (18) member of the Minnesota Ballpark Authority established in section 4 new text end .

Sec. 2.

Minnesota Statutes 2004, section 297A.71, is amended by adding a subdivision
to read:

new text begin Subd. 37. new text end

new text begin Building materials exemption. new text end

new text begin Materials, supplies, and equipment used
or consumed in, and incorporated into the construction or improvement of the ballpark,
and public infrastructure constructed pursuant to sections 3 to 12, are exempt.
new text end

Sec. 3. new text begin CONSTRUCTION AND FINANCING OF MAJOR LEAGUE
BALLPARK.
new text end

new text begin Subdivision 1. new text end

new text begin Purpose; findings. new text end

new text begin The purpose of this act is to provide for the
construction, financing, and long-term use of a ballpark primarily as a venue for major
league baseball. It is hereby found and declared that the expenditure of public funds for
this purpose is necessary and serves a public purpose. It is further found and declared that
any provision in a lease or use agreement with a major league team, that requires the team
to play its home games in a publicly funded ballpark for the duration of the lease or use
agreement, serves a unique public purpose for which the remedies of specific performance
and injunctive relief are essential to its enforcement. It is further found and declared
that government assistance to facilitate the presence of major league baseball provides
to Hennepin County, the state of Minnesota, and its citizens highly valued intangible
benefits that are virtually impossible to quantify and, therefore, not recoverable even if
the government receives monetary damages in the event of a team's breach of contract.
Minnesota courts are, therefore, charged with protecting those benefits through the use
of specific performance and injunctive relief as provided herein and in the lease and
use agreements.
new text end

new text begin Subd. 2. new text end

new text begin Location. new text end

new text begin The ballpark must be located in the city of Minneapolis at a
site within the development area.
new text end

new text begin Subd. 3. new text end

new text begin Definitions. new text end

new text begin As used in this act, the following terms have the meanings
given in this subdivision:
new text end

new text begin (a) "Authority" means the Minnesota Ballpark Authority established under section 4.
new text end

new text begin (b) "Ballpark" means the stadium suitable for major league baseball to be constructed
and financed under this act.
new text end

new text begin (c) "Ballpark costs" means, unless the context otherwise indicates, the cost of
designing, constructing, and equipping a ballpark suitable for major league baseball.
"Ballpark cost" excludes the cost of land acquisition, site improvements, utilities, site
demolition, environmental remediation, railroad crash wall, site furnishings, landscaping,
railroad right-of-way development, district energy, site graphics and artwork and other
site improvements identified by the authority, public infrastructure, capital improvement
reserves, bond reserves, capitalized interest, and financing costs.
new text end

new text begin (d) "County" means Hennepin County.
new text end

new text begin (e) "Development area" means the area in the city of Minneapolis bounded
by marked Interstate Highway 394, vacated Holden Street, the Burlington Northern
right-of-way, Seventh Street North, Sixth Avenue North, and Fifth Street North.
new text end

new text begin (f) "Public infrastructure" means all property, facilities, and improvements
determined by the authority or the county to facilitate the development and use of
the ballpark, including but not limited to property and improvements for drainage,
environmental remediation, parking, roadways, walkways, skyways, pedestrian bridges,
bicycle paths, and transit improvements to facilitate public access to the ballpark, lighting,
landscaping, utilities, streets, and land acquired and prepared for private redevelopment in
a manner related to the use of the ballpark.
new text end

new text begin (g) "Team" means the owner and operator of the baseball team currently known
as the Minnesota Twins.
new text end

Sec. 4. new text begin MINNESOTA BALLPARK AUTHORITY.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment. new text end

new text begin To achieve the purposes of this act, the Minnesota
Ballpark Authority is established as a public body, corporate and politic, and political
subdivision of the state. The authority is not a joint powers entity or an agency or
instrumentality of the county. The authority may acquire title to all land, air rights, and
other interests in real property needed for construction and operation of the ballpark
and related facilities. The authority may enter into contracts for and take all actions
necessary or desirable to design, construct, furnish, equip, and provide for the operation,
maintenance, and improvement of the ballpark and related facilities, and has all powers
necessary or incidental to those actions.
new text end

new text begin Subd. 2. new text end

new text begin Composition. new text end

new text begin (a) The Minnesota Ballpark Authority shall be governed
by a commission consisting of:
new text end

new text begin (1) two members appointed by the governor;
new text end

new text begin (2) two members, including the chair, appointed by the county board; and
new text end

new text begin (3) one member appointed by the governing body of the city of Minneapolis.
new text end

new text begin (b) All members appointed under paragraph (a), clause (1), serve at the pleasure of
the governor. All members appointed under paragraph (a), clause (2), serve at the pleasure
of the county board. The member appointed under paragraph (a), clause (3), serves at the
pleasure of the governing body of the city of Minneapolis.
new text end

new text begin (c) Compensation of members appointed under paragraph (a) is governed by
Minnesota Statutes, section 15.0575.
new text end

new text begin (d) One member appointed under paragraph (a), clause (1), must be a resident of
a county other than Hennepin. All other members appointed under paragraph (a) must
be residents of Hennepin County.
new text end

new text begin Subd. 3. new text end

new text begin Chair. new text end

new text begin The chair shall preside at all meetings of the commission, if
present, and shall perform all other assigned duties and functions. The commission may
appoint from among its members a vice-chair to act for the chair during the temporary
absence or disability of the chair.
new text end

new text begin Subd. 4. new text end

new text begin Bylaws. new text end

new text begin The authority shall adopt bylaws to establish rules of procedure,
the powers and duties of its officers, and other matters relating to the governance of the
authority and the exercise of its powers. The bylaws adopted under this subdivision shall
be similar in form and substance to bylaws adopted by the Metropolitan Sports Facilities
Commission pursuant to Minnesota Statutes, section 473.553.
new text end

new text begin Subd. 5. new text end

new text begin Web site. new text end

new text begin The authority shall establish a Web site for purposes of providing
information to the public concerning all actions taken by the authority. At a minimum, the
Web site must contain a current version of the authority's bylaws, notices of upcoming
meetings, minutes of the authority's meetings, and contact telephone and fax numbers for
public comments.
new text end

Sec. 5. new text begin POWERS OF AUTHORITY.
new text end

new text begin Subdivision 1. new text end

new text begin Actions. new text end

new text begin The authority may sue and be sued. The authority is a
public body and the ballpark and public infrastructure are public improvements within the
meaning of Minnesota Statutes, chapter 562. The authority is a municipality within the
meaning of Minnesota Statutes, chapter 466.
new text end

new text begin Subd. 2. new text end

new text begin Acquisition of property. new text end

new text begin The authority may acquire from any public or
private entity by lease, purchase, gift, or devise all necessary right, title, and interest in and
to real or personal property deemed necessary to the purposes contemplated by this act.
new text end

new text begin Subd. 3. new text end

new text begin Property tax exemption; special assessments. new text end

new text begin Any real or personal
property acquired, owned, leased, controlled, used, or occupied by the authority or county
for any of the purposes of this act is declared to be acquired, owned, leased, controlled,
used, and occupied for public, governmental, and municipal purposes, and is exempt from
ad valorem taxation by the state or any political subdivision of the state; provided that the
properties are subject to special assessments levied by a political subdivision for a local
improvement in amounts proportionate to and not exceeding the special benefit received
by the properties from the improvement. No possible use of any of the properties in any
manner different from their use under this act at the time may be considered in determining
the special benefit received by the properties. Notwithstanding Minnesota Statutes, section
272.01, subdivision 2, or section 273.19, real or personal property leased by the authority
or county to another person for uses related to the purposes of this act, including the
operation of the ballpark and related parking facilities, is exempt from taxation regardless
of the length of the lease. This subdivision, insofar as it provides an exemption or special
treatment, does not apply to any real property that is leased for residential, business, or
commercial development or other purposes different from those contemplated in this act.
new text end

new text begin Subd. 4. new text end

new text begin Data practices; open meetings. new text end

new text begin Except as otherwise provided in this act,
the authority is subject to Minnesota Statutes, chapters 13 and 13D.
new text end

new text begin Subd. 5. new text end

new text begin Facility operation. new text end

new text begin The authority may equip, improve, operate, manage,
maintain, and control the ballpark and related facilities constructed, remodeled, or
acquired under this act, subject to the rights and obligations transferred to and assumed by
the team or other user under the terms of a lease or use agreement.
new text end

new text begin Subd. 6. new text end

new text begin Disposition of property. new text end

new text begin The authority may sell, lease, or otherwise
dispose of any real or personal property acquired by it that is no longer required for
accomplishment of its purposes. The property may be sold in accordance with the
procedures provided by Minnesota Statutes, section 469.065, except subdivisions 6 and 7,
to the extent the authority deems to be practical and consistent with this act. Title to the
ballpark shall not otherwise be transferred or sold without approval by the legislature.
new text end

new text begin Subd. 7. new text end

new text begin Employees; contracts for services. new text end

new text begin The authority may employ persons
and contract for services necessary to carry out its functions, including the utilization of
employees and consultants retained by other governmental entities. The authority may
employ on the terms it deems advisable persons or firms to provide peace officers to direct
traffic on property under the control of the authority and on the city streets in the general
area of the property controlled by the authority.
new text end

new text begin Subd. 8. new text end

new text begin Gifts and grants. new text end

new text begin The authority may accept monetary contributions,
property, services, and grants or loans of money or other property from the United States,
the state, any subdivision of the state, any agency of those entities, or any person for any
of its purposes, and may enter into any agreement required in connection with them. The
authority shall hold, use, and dispose of the money, property, or services according to the
terms of the monetary contributions, grant, loan, or agreement.
new text end

new text begin Subd. 9. new text end

new text begin Research. new text end

new text begin The authority may conduct research studies and programs;
collect and analyze data; prepare reports, maps, charts, and tables; and conduct all
necessary hearings and investigations in connection with its functions.
new text end

new text begin Subd. 10. new text end

new text begin Use agreements. new text end

new text begin The authority may lease, license, or enter into use
agreements and may fix, alter, charge, and collect rentals, fees, and charges for the use,
occupation, and availability of part or all of any premises, property, or facilities under
its ownership, operation, or control for purposes that will provide athletic, educational,
cultural, commercial, or other entertainment, instruction, or activity for the citizens of
Minnesota and visitors. Any such use agreement may provide that the other contracting
party has exclusive use of the premises at the times agreed upon, as well as the right to
retain all revenues from ticket sales, suite licenses, concessions, advertising, naming
rights, and other revenues derived from the ballpark. The lease or use agreement with a
team shall provide for the payment by the team of operating and maintenance costs and
expenses and provide other terms the authority and team agree to.
new text end

new text begin Subd. 11. new text end

new text begin Insurance. new text end

new text begin The authority may require any employee to obtain and
file with it an individual bond or fidelity insurance policy. It may procure insurance in
the amounts it considers necessary against liability of the authority or its officers and
employees for personal injury or death and property damage or destruction, consistent
with Minnesota Statutes, chapter 466, and against risks of damage to or destruction of any
of its facilities, equipment, or other property.
new text end

new text begin Subd. 12. new text end

new text begin Exemption from council review; business subsidy act. new text end

new text begin The acquisition
and betterment of a ballpark by the authority must be conducted pursuant to this act and
are not subject to Minnesota Statutes, sections 473.165 and 473.173. Minnesota Statutes,
section 116J.994, does not apply to any transactions of the county, the authority, or other
governmental entity related to the ballpark or public infrastructure, or to any tenant or
other users of them.
new text end

new text begin Subd. 13. new text end

new text begin Local government action; environmental review. new text end

new text begin Local governmental
units shall take action promptly and within project design and construction timetables on
applications for building permits and certificates of occupancy. The county shall be the
responsible governmental unit for any environmental impact statement prepared under
Minnesota Statutes, section 116D.04. Governmental units granted authority under this act
may make decisions and take actions to acquire land, obtain financing, and impose the tax
under section 7, prior to completion of environmental review.
new text end

new text begin Subd. 14. new text end

new text begin Contracts. new text end

new text begin The authority may enter into a development agreement with
the team, the county, or any other entity relating to the construction, financing, and
use of the ballpark and related facilities and public infrastructure. The authority may
contract for materials, supplies, and equipment in accordance with Minnesota Statutes,
section 471.345, except that the authority, with the consent of the county, may employ
or contract with persons, firms, or corporations to perform one or more or all of the
functions of architect, engineer, or construction manager with respect to all or any part of
the ballpark and public infrastructure. Alternatively, at the request of the team and with
the consent of the county, the authority shall authorize the team to provide for the design
and construction of the ballpark, subject to terms of this act. The construction manager
may enter into contracts with contractors for labor, materials, supplies, and equipment
for the construction of the ballpark through the process of public bidding, except that the
construction manager may, with the consent of the authority or the team:
new text end

new text begin (1) narrow the listing of eligible bidders to those which the construction manager
determines to possess sufficient expertise to perform the intended functions;
new text end

new text begin (2) award contracts to the contractors that the construction manager determines
provide the best value, which are not required to be the lowest responsible bidder; and
new text end

new text begin (3) for work the construction manager determines to be critical to the completion
schedule, award contracts on the basis of competitive proposals or perform work with
its own forces without soliciting competitive bids if the construction manager provides
evidence of competitive pricing.
new text end

new text begin The authority may require that the construction manager shall certify, before the contract
is finally signed, a certified, fixed, and stipulated construction price and completion date
to the authority and shall post a bond in an amount at least equal to 100 percent of the
certified price, to cover any costs, which may be incurred in excess of the certified price,
including but not limited to costs incurred by the authority or loss of revenues resulting
from incomplete construction on the completion date. The authority may secure surety
bonds as provided in Minnesota Statutes, section 574.26, securing payment of just claims
in connection with all public work undertaken by it. Persons entitled to the protection
of the bonds may enforce them as provided in Minnesota Statutes, sections 574.28 to
574.32, and shall not be entitled to a lien on any property of the authority under the
provisions of Minnesota Statutes, sections 514.01 to 514.16. Contracts for construction
and operation of the ballpark must include programs to provide for participation by small,
local, women, and minority businesses, and the inclusion of women and people of color
in the workforces of contractors and ballpark operators.
new text end

new text begin Subd. 15. new text end

new text begin Zoning and planning. new text end

new text begin It is hereby found and declared that the
construction of a ballpark within the development area is consistent with the adopted
area plan, is the preferred ballpark location, and is a permitted land use. Local units of
government may not impose restrictions or conditions on ballpark and public infrastructure
land use approvals except those which are based on reasonable land use grounds and
criteria which are within their jurisdiction to apply. This subdivision applies to establish a
procedure for all land use reviews and approvals by local governments for the ballpark
and related public infrastructure and supersedes all land use rules and restrictions and
procedures imposed by other law, charter, or ordinance. Minnesota Statutes, section 15.99,
subdivision 3, paragraphs (f) and (g), shall not apply. Within 60 days of enactment, the city
of Minneapolis and the county shall establish a ballpark implementation committee with
equal representation from the city of Minneapolis and county to make recommendations
on street vacation, parking, roadways, walkways, skyways, pedestrian bridges, bicycle
paths, transit improvements to facilitate public street access to the ballpark, and integration
into the transportation plan for downtown and the region, lighting, landscaping, utilities,
streets, drainage, environmental remediation, and land acquired and prepared for private
redevelopment in a manner related to the use of the ballpark. The recommendations of
the committee shall be forwarded to the city of Minneapolis Planning Commission for an
advisory recommendation and then to the city council for action in a single resolution.
new text end

Sec. 6. new text begin CRITERIA AND CONDITIONS.
new text end

new text begin Subdivision 1. new text end

new text begin Binding and enforceable. new text end

new text begin In developing the ballpark and entering
into related contracts, the authority must follow and enforce the criteria and conditions in
subdivisions 2 to 14, provided that a determination by the authority that those criteria or
conditions have been met under any agreement or otherwise shall be conclusive.
new text end

new text begin Subd. 2. new text end

new text begin Team contributions. new text end

new text begin The team must agree to contribute $125,000,000
toward ballpark costs, less a proportionate share of any amount by which actual ballpark
costs may be less than a budgeted amount of $360,000,000. The team contributions
must be funded in cash during the construction period. In addition to any other team
contribution, the team must agree to assume and pay when due all cost overruns for the
ballpark costs that exceed the budget, excluding land, site improvements, and public
infrastructure.
new text end

new text begin Subd. 3. new text end

new text begin Reserve for capital improvements. new text end

new text begin The authority shall require that
a reserve fund for capital improvements to the stadium be established and funded with
annual team payments of $600,000 and annual payments from other sources of $1,400,000,
which annual payments shall increase according to an inflation index determined by the
authority. The authority may accept contributions from the county or other source for the
portion of the funding not required to be provided by the team.
new text end

new text begin Subd. 4. new text end

new text begin Lease or use agreements. new text end

new text begin The authority and team must agree to a
long-term lease or use agreement with the team for its use of the ballpark. The team
must agree to play all regularly scheduled and postseason home games at the ballpark.
Preseason games may also be scheduled and played at the ballpark. The lease or use
agreement must be for a term of at least 30 years from the date of ballpark completion.
The lease or use agreement must include terms for default, termination, and breach of the
agreement. Recognizing that the presence of major league baseball provides to Hennepin
County, the state of Minnesota, and its citizens highly valued, intangible benefits that
are virtually impossible to quantify and, therefore, not recoverable in the event of a
team owner's breach of contract, the lease and use agreements must provide for specific
performance and injunctive relief to enforce provisions relating to use of the ballpark for
major league baseball and must not include escape clauses or buyout provisions.
new text end

new text begin Subd. 5. new text end

new text begin Notice requirement for certain events. new text end

new text begin Until 30 years from the date
of ballpark completion, the team must provide written notice to the authority not less
than 90 days prior to any action, including any action imposed upon the team by Major
League Baseball, which would result in a breach or default of provisions of the lease
or use agreements required to be included under subdivision 4. If this notice provision
is violated and the team has already breached or been in default under the required
provisions, the authority, the county, or the state of Minnesota is authorized to specifically
enforce the lease or use agreement, and Minnesota courts are authorized and directed to
fashion equitable remedies so that the team may fulfill the conditions of the lease and use
agreements, including, but not limited to, remedies against Major League Baseball.
new text end

new text begin Subd. 6. new text end

new text begin Enforceable financial commitments. new text end

new text begin The authority must determine before
ballpark construction begins that all public and private funding sources for construction
and operation of the ballpark are included in written agreements. The committed funds
must be adequate to design, construct, furnish, and equip the ballpark.
new text end

new text begin Subd. 7. new text end

new text begin Community ownership option. new text end

new text begin (a) The lease or use agreement for the
baseball facility must provide that if the owner of the baseball franchise seeks to sell the
franchise during the term of the agreement, the franchise must first be offered for sale to
the entity formed in compliance with paragraph (b) on the same terms offered to any other
entity. The offer to sell the franchise to this entity must remain open for at least one
year. The amounts that would otherwise be returned to the public under subdivision 9
may be used by an entity created under paragraph (b) to offset the cost of acquiring the
baseball franchise.
new text end

new text begin (b) The governor and the authority must attempt to facilitate the formation of
a corporation to acquire the baseball franchise and to identify an individual private
managing owner of the corporation. The corporation formed to acquire the franchise shall
have a capital structure in compliance with all of the following provisions:
new text end

new text begin (1) there may be two classes of capital stock: common stock and preferred stock.
Both classes of stock must give holders voting rights with respect to any relocation
or contraction of the franchise;
new text end

new text begin (2) the private managing owner must own no less than 25 percent and no more than
35 percent of the common stock. For purposes of this restriction, shares of common stock
owned by the private managing owner include shares of commons stock owned by any
related taxpayer as defined in section 1313(c) of the Internal Revenue Code of 1986, as
amended. Other than the rights of all other holders of common stock and preferred stock
with respect to relocation of the franchise or voluntary contraction, the private managing
owner must control all aspects of the operation of the corporation;
new text end

new text begin (3) other than the private managing owner, no individual or entity may own more
than five percent of the common stock of the corporation;
new text end

new text begin (4) at least 50 percent of the ownership of the common stock must be sold to
members of the general public in a general solicitation and no person or entity must own
more than one percent of common stock of the corporation; and
new text end

new text begin (5) the articles of incorporation, bylaws, and other governing documents must
provide that the franchise may not move outside of the state or agree to voluntary
contraction without approval of at least 75 percent of the shares of common stock and at
least 75 percent of the shares of preferred stock. Notwithstanding any law to the contrary,
these 75 percent approval requirements shall not be amended by the shareholders or
by any other means.
new text end

new text begin (c) Except as specifically provided by this act, no state agency may spend money
from any state fund for the purpose of generating revenue under this subdivision or for the
purpose of providing operating support or defraying operating losses of a professional
baseball franchise.
new text end

new text begin Subd. 8. new text end

new text begin Environmental requirements. new text end

new text begin The authority must comply with all
environmental requirements imposed by regulatory agencies for the ballpark, site, and
structure. The authority must ensure that the ballpark receives Leadership in Energy and
Environmental Design (LEED) certification for environmental design, and to the extent
practicable, that the ballpark design is architecturally significant.
new text end

new text begin Subd. 9. new text end

new text begin Public share upon sale of team. new text end

new text begin The lease or use agreement must provide
that, if the team is sold after the effective date of this act, a portion of the sale price must
be paid to the authority and deposited in a reserve fund for improvements to the ballpark
or expended as the authority may otherwise direct. The portion required to be so paid to
the authority is 75 percent of the increased value of the team.
new text end

new text begin Subd. 10. new text end

new text begin Access to books and records. new text end

new text begin The authority must seek a provision in
the lease or use agreement that provides the authority access to annual audited financial
statements of the team and other financial books and records that the authority deems
necessary to determine compliance by the team with this act and to enforce the terms
of any lease or use agreements entered into under this act. Any financial information
obtained by the authority under this subdivision is nonpublic data under Minnesota
Statutes, section 13.02, subdivision 9.
new text end

new text begin Subd. 11. new text end

new text begin Affordable access. new text end

new text begin To the extent determined by the authority or required
by a grant agreement, any lease or use agreement must provide for affordable access to the
professional sporting events held in the ballpark.
new text end

new text begin Subd. 12. new text end

new text begin No strikes; lockouts. new text end

new text begin The authority must use its best efforts to negotiate a
public sector project labor agreement or other agreement to prevent strikes and lockouts
that would halt, delay, or impede construction of the ballpark and related facilities.
new text end

new text begin Subd. 13. new text end

new text begin Youth and amateur sports. new text end

new text begin The lease or use agreement must require that
the team provide or cause to be provided $250,000 annually for the term of the agreement
for youth activities and amateur sports without reducing the amounts otherwise normally
provided for and on behalf of the team for those purposes. The amount shall increase
according to an inflation factor not to exceed 2.5 percent annually and may be subject to a
condition that the county fund grants for similar purposes as authorized by this act.
new text end

new text begin Subd. 14. new text end

new text begin Name retention. new text end

new text begin The lease or use agreement must provide that the
team and league will transfer to the state of Minnesota the Minnesota Twins' heritage
and records, including the name, logo, colors, history, playing records, trophies and
memorabilia in the event of any dissolution or relocation of the Twins franchise.
new text end

new text begin Subd. 15. new text end

new text begin Sustainable building guidelines. new text end

new text begin The construction process used for a
ballpark constructed under this act must, to the extent feasible, follow sustainable building
guidelines established under section 16B.325.
new text end

new text begin Subd. 16. new text end

new text begin American steel. new text end

new text begin The authority must ensure that a ballpark constructed
under this act be, to the greatest extent practicable, constructed of American-made steel.
new text end

Sec. 7. new text begin COUNTY ACTIVITIES; BONDS; TAXES.
new text end

new text begin Subdivision 1. new text end

new text begin Activities; contracts. new text end

new text begin (a) The county may authorize, by resolution,
and make one or more grants to the authority for ballpark development and construction,
public infrastructure, reserves for capital improvements, operating expenses, and other
purposes related to the ballpark on the terms and conditions agreed to by the county and
the authority.
new text end

new text begin (b) To the extent funds are available from collections of the tax authorized by
subdivision 3 after payment each year of debt service on the bonds authorized and issued
under subdivision 2 and payments for the purposes described in paragraph (a), the county
may also:
new text end

new text begin (1) authorize by resolution and expend or make grants to the authority and to
other governmental units and nonprofit organizations in an aggregate amount of up to
$2,000,000 annually for youth activities and amateur sports; and
new text end

new text begin (2) authorize by resolution expenditure of up to $2,000,000 annually to pay the cost
of extending the hours of operation of county libraries and Minneapolis public libraries.
new text end

new text begin The maximum amounts of the expenditures under clause (1) may be increased by up
to 2.5 percent per year after the first year of the expenditure for that purpose.
new text end

new text begin (c) The amount that the county may grant or expend for ballpark costs shall not
exceed $235,000,000. The amount of any grant for capital improvement reserves shall not
exceed $1,400,000 annually, subject to annual increases according to an inflation index
acceptable to the county. This act does not limit the amount of grants or expenditures
for land, site improvements, and public infrastructure. Such agreements are valid and
enforceable notwithstanding that they involve payments in future years and they do not
constitute a debt of the county within the meaning of any constitutional or statutory
limitation or for which a referendum is required. The county may acquire land, air rights,
and other property interests within the development area for the ballpark site and public
infrastructure and convey it to the authority with or without consideration, prepare a site
for development as a ballpark, and acquire and construct any related public infrastructure.
The county may review and approve ballpark designs, plans, and specifications to the
extent provided in a grant agreement and in order to ensure that the public purposes of the
grant are carried out. Public infrastructure designs must optimize area transit and bicycle
opportunities, including connections to planned or existing trails and transportation
corridors, including Central, Hiawatha, I-394, Northstar, Northwest, Red Rock, Rush
Line, and Southwest. The county may enforce the provisions of any grant agreement by
specific performance. Except to require compliance with the conditions of the grant, the
county has no interest in or claim to any assets or revenues of the authority. The county
may initiate an environmental impact statement as the responsible governmental unit
under Minnesota Statutes, section 116D.04, and conduct other studies and tests necessary
to evaluate the suitability of the ballpark site. The county has all powers necessary or
convenient for those purposes and may enter into any contract for those purposes. The
county may reimburse a local governmental entity within its jurisdiction or make a
grant to such a governmental unit for site acquisition, preparation of the site for ballpark
development, and public infrastructure. Amounts expended by a local governmental unit
with the proceeds of a grant or in expectation of reimbursement by the county shall not be
deemed an expenditure or other use of local governmental resources by the governmental
unit within the meaning of any law or charter limitation. Exercise by the county of its
powers under this section shall not affect the amounts that the county is otherwise eligible
to spend, tax, or receive under any law.
new text end

new text begin (d) It is the intent of the legislature that, except as expressly limited herein, the
county has the authority to acquire and develop a site for the ballpark, to enter into
contracts with the authority and other governmental entities, to appropriate funds, and
to make employees, consultants, and other revenues available for those purposes.
The county may exercise for those purposes all the powers of a city, a housing and
redevelopment authority, a port authority, a community development agency, and an
economic development authority notwithstanding any limitations on the powers of those
entities with respect to the development of sports facilities buildings designed or used
primarily for professional sports.
new text end

new text begin Subd. 2. new text end

new text begin County revenue bonds. new text end

new text begin The county may, by resolution, authorize, sell,
and issue revenue bonds to provide funds to make a grant to the authority and to finance
all or a portion of the costs of site acquisition, site improvements and other activities
necessary to prepare a site for development of a stadium, and to acquire and construct
any related parking facilities and other public infrastructure. The county may also, by
resolution, issue bonds to refund the bonds issued pursuant to this section. The bonds must
be limited obligations, payable solely from or secured by taxes levied under subdivision 3,
and any other revenues to become available under this act. The bonds may be issued in
one or more series and sold without an election. The bonds shall be sold in the manner
provided by Minnesota Statutes, section 475.60. The bonds shall be secured, bear
the interest rate or rates or a variable rate, have the rank or priority, be executed in the
manner, be payable in the manner, mature, and be subject to the defaults, redemptions,
repurchases, tender options, or other terms, as the county may determine. The county may
enter into and perform all contracts deemed necessary or desirable by it to issue and
secure the bonds, including an indenture of trust with a trustee within or without the state.
The debt represented by the bonds shall not be included in computing any debt limitation
applicable to the county. Subject to this subdivision, the bonds must be issued and sold in
the manner provided in Minnesota Statutes, chapter 475. The bonds shall recite that they
are issued under this act and the recital shall be conclusive as to the validity of the bonds
and the imposition and pledge of the taxes levied for their payment. In anticipation of the
issuance of the bonds authorized under this subdivision and the collection of taxes levied
under subdivision 3, the county may provide funds for the purposes authorized by this act
through interfund loans from other available funds of the county.
new text end

new text begin Subd. 3. new text end

new text begin Sales and use tax. new text end

new text begin (a) Notwithstanding Minnesota Statutes, section
477A.016, or any other law, the governing body of the county may, by ordinance, impose
an additional sales tax at a rate not to exceed 0.15 percent on sales taxable under Minnesota
Statutes, chapter 297A, that occur within the county, and may also, by ordinance, impose a
compensating use tax at a rate not to exceed 0.15 percent on uses of property within the
county, the sale of which would be subject to the additional sales tax but for the fact that
the property was sold outside the county.
new text end

new text begin (b) Voter approval is not required for imposition of the taxes authorized by paragraph
(a). The tax authorized under this act and the manner by which it is imposed are exempt
from Minnesota Statutes, section 297A.99, subdivisions 2 and 3.
new text end

new text begin (c) The tax must be dedicated to the purposes described in this act and terminates
upon payment or provision for payment of all bonds issued under subdivision 2 and
the payment or provision for payment of all obligations of the county under any grant
agreements or funding commitments entered into pursuant to this act.
new text end

new text begin (d) To the extent not inconsistent with this act, the provisions of Minnesota Statutes,
sections 297A.95; 297A.96; 297A.98; and 297A.99, subdivisions 4, 5, 6, 7, 8, 9, 10, 11,
and 12, apply to the tax.
new text end

new text begin (e) The tax shall not be included in determining the amount of sales tax that may be
imposed on lodging in the city of Minneapolis for purposes of the limitation contained
in Laws 1986, chapter 396, section 5, or in determining the amount of tax that may be
imposed under any other limitation.
new text end

new text begin (f) In the event of any amendment to Minnesota Statutes, chapter 297A, enacted
subsequent to the effective date of this act that exempts sales or uses that were taxable
under Minnesota Statutes, chapter 297A, on the effective date of this act, the county may,
by ordinance, adjust the tax rate authorized in this section, provided that the governing
body shall have determined that such adjustment is necessary to provide revenues for
the uses to which taxes may be applied under this section and further provided that,
in the estimation of the governing body, the aggregate annual collections following
such adjustment will not exceed the aggregate annual collections that would have been
generated if Minnesota Statutes, chapter 297A, as in effect on the effective date of this act,
were then in effect. Any bonds issued in accordance with this act may, with the consent
of the governing body, contain a covenant that the tax will be so adjusted to the extent
necessary to pay principal and interest on the bonds when due.
new text end

new text begin Subd. 4. new text end

new text begin Uses of taxes. new text end

new text begin Revenues received from the tax imposed under subdivision
3 may be used:
new text end

new text begin (1) to pay costs of collection;
new text end

new text begin (2) to pay or secure the payment of any principal of, premium, or interest on bonds
issued in accordance with this act;
new text end

new text begin (3) to pay costs and make grants described in subdivision 1, including financing
costs related to them; and
new text end

new text begin (4) to maintain reserves for the foregoing purposes deemed reasonable and
appropriate by the county.
new text end

new text begin After completion of the ballpark and public infrastructure, the tax revenues not
required for current payments of the expenditures described above shall be used to (i)
redeem or defease the bonds and (ii) prepay or establish a fund for payment of future
obligations under grants or other commitments for future expenditures which are permitted
by subdivision 1. Upon the redemption or defeasance of the bonds and the establishment
of reserves adequate to meet such future obligations, the tax shall terminate and shall
not be reimposed.
new text end

Sec. 8. new text begin METROPOLITAN SPORTS FACILITIES COMMISSION.
new text end

new text begin The Metropolitan Sports Facilities Commission may authorize, by resolution,
technical, professional, or financial assistance for the development of the ballpark
upon such terms and conditions as the county and the Metropolitan Sports Facilities
Commission may agree, including reimbursement of financial assistance from the
proceeds of the bonds authorized in this chapter.
new text end

Sec. 9. new text begin RAILROAD AUTHORITY CONVEYANCE.
new text end

new text begin At the request of the authority, the Hennepin County Regional Railroad Authority
shall convey land it owns within the development area that is not currently used for rail
purposes to the authority without charge for use in connection with the ballpark and
public infrastructure.
new text end

Sec. 10. new text begin CITY REQUIREMENTS.
new text end

new text begin Subdivision 1. new text end

new text begin Third Avenue. new text end

new text begin At the request of the authority, the city of
Minneapolis shall vacate the portion of Third Avenue North from Seventh Street North to
the intersection of Third Avenue North and the on-ramp to marked Interstate Highway 394
without impeding on-ramp access.
new text end

new text begin Subd. 2. new text end

new text begin Land conveyance. new text end

new text begin At the request of the authority, the city of Minneapolis
shall convey to the authority at fair market value all real property it owns that is located in
the development area and is not currently used for road, sidewalk, or utility purposes and
that the authority determines to be necessary for ballpark or public infrastructure purposes.
new text end

new text begin Subd. 3. new text end

new text begin Liquor licenses. new text end

new text begin The city of Minneapolis shall issue intoxicating liquor
licenses that are reasonably requested for the premises of the ballpark. These licenses
are in addition to the number authorized by law. All provisions of Minnesota Statutes,
chapter 340A, not inconsistent with this section apply to the licenses authorized under
this subdivision.
new text end

new text begin Subd. 4. new text end

new text begin Charter limitations. new text end

new text begin Actions taken by the city of Minneapolis under this
section shall not be deemed to be an expenditure or other use of city resources within the
meaning of any charter limitation.
new text end

Sec. 11. new text begin LOCAL TAXES.
new text end

new text begin No local unit of government shall impose a new or additional tax on sales or uses
of any item that is not in effect for the ballpark site on the date of enactment of this act,
except taxes generally applicable throughout the jurisdiction.
new text end

Sec. 12. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2004, sections 473I.01; 473I.02; 473I.03; 473I.04; 473I.05;
473I.06; 473I.07; 473I.08; 473I.09; 473I.10; 473I.11; 473I.12; and 473I.13, new text end new text begin are repealed.
new text end

Sec. 13. new text begin EFFECTIVE DATES.
new text end

new text begin Sections 1 to 6 and 8 to 12 are effective the day following final enactment. Section 7
is effective the day after the governing body of Hennepin County and its chief clerical
officer timely complete their compliance with Minnesota Statutes, section 645.021,
subdivisions 2 and 3.
new text end