SF 543

as introduced - 90th Legislature (2017 - 2018) Posted on 04/18/2017 08:34am

A bill for an act
relating to capital investment; modifying the purposes for which the existing state
appropriation bond authorization for the Lewis and Clark Regional Water System
may be used; authorizing additional state appropriation bonding for the final phase
of the Lewis and Clark Regional Water System project; amending Minnesota Statutes 2016, section 16A.967, subdivisions 7, 8, by adding subdivisions.

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

Section 1.

Minnesota Statutes 2016, section 16A.967, is amended by adding a subdivision
to read:

new text begin Subd. 2a. new text end

new text begin Unspent appropriation for Phase 3. new text end

new text begin (a) Upon completion of Phase 2 of the
Lewis and Clark Regional Water System project, which is the work described in subdivision
2, the remaining amount of the appropriation bond sale authorization in subdivision 2 may
be used to finance one or more of the following: land acquisition, design, engineering, and
construction of facilities and infrastructure necessary for Phase 3 of the Lewis and Clark
Regional Water System project. Phase 3 includes extension of the project from the
Lincoln-Pipestone Rural Water System connection near Adrian to Worthington, construction
of a reservoir in Nobles County and a meter building in Worthington, and acquisition and
installation of a supervisory control and data acquisition system. The provisions of
subdivision 2, paragraphs (d) to (g), apply to this subdivision.
new text end

new text begin (c) Proceeds of the appropriation bonds sold under the authorization in subdivision 2
may be used for the purposes of this subdivision only after the commissioner determines
that the construction and administration for work done on the project will comply with (1)
all federal requirements and regulations associated with the Lewis and Clark Rural Water
System Act of 2000, and (2) the cooperative agreement between the United States Department
of the Interior and the Lewis and Clark Regional Water System, Inc.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2016, section 16A.967, is amended by adding a subdivision to
read:

new text begin Subd. 2b. new text end

new text begin Phase 3. new text end

new text begin (a) The commissioner may sell and issue appropriation bonds in an
amount to provide $5,000,000 to complete Phase 3 of the Lewis and Clark Regional Water
System project. Phase 3 includes land acquisition, design, engineering, and construction of
facilities and infrastructure necessary to extend the project from the Lincoln-Pipestone Rural
Water System connection near Adrian to Worthington, construct a reservoir in Nobles
County and a meter building in Worthington, and acquire and install a supervisory control
and data acquisition system. The provisions of subdivision 2, paragraphs (d) to (g), apply
to this subdivision.
new text end

new text begin (b) Proceeds of the appropriation bonds sold under this subdivision may be used for the
purposes of this subdivision only after the commissioner determines that the construction
and administration for work done on the project will comply with (1) all federal requirements
and regulations associated with the Lewis and Clark Rural Water System Act of 2000; and
(2) the cooperative agreement between the United States Department of the Interior and the
Lewis and Clark Regional Water System, Inc.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

Minnesota Statutes 2016, section 16A.967, subdivision 7, is amended to read:

Subd. 7.

Appropriation of proceeds.

The proceeds of appropriation bonds and interest
credited to the special appropriation Lewis and Clark bond proceeds fund are appropriated
to the commissioner deleted text begin for payment of capital expenses deleted text end for the purposes provided by subdivision
2, paragraph (a), new text begin and to the Public Facilities Authority for the purposes of subdivisions 2a
and 2b, for payment of capital expenses, new text end debt service on the bonds including capitalized
interest, nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds
and payments under any agreements entered into under subdivision 2, paragraph (e), each
as permitted by state and federal law, and such proceeds may be granted, loaned, or otherwise
provided for the public purposes provided by subdivision 2, paragraph (a) new text begin , and subdivisions
2a and 2b new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 4.

Minnesota Statutes 2016, section 16A.967, subdivision 8, is amended to read:

Subd. 8.

Appropriation for debt service and other purposes.

new text begin (a) new text end An amount, up to
$1,351,000 needed to pay principal and interest on appropriation bonds issued under this
section new text begin for subdivisions 2 and 2a new text end is appropriated each fiscal year from the general fund to
the commissioner, subject to repeal, unallotment under section 16A.152, or cancellation,
otherwise pursuant to subdivision 6, for deposit into the bond payments account established
for such purpose in the special Lewis and Clark appropriation bond proceeds fund. The
appropriation is available beginning in fiscal year 2017 and through fiscal year 2038.

new text begin (b) An amount, up to $....... needed to pay principal and interest on appropriation bonds
issued under subdivision 2b is appropriated each fiscal year from the general fund to the
commissioner, subject to repeal, unallotment under section 16A.152, or cancellation,
otherwise pursuant to subdivision 6, for deposit into the bond payments account established
for such purpose in the special Lewis and Clark appropriation bond proceeds fund. The
appropriation is available beginning in fiscal year 2019 and through fiscal year 2040.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end