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Capital IconMinnesota Legislature

HF 337

1st Engrossment - 92nd Legislature (2021 - 2022) Posted on 04/19/2021 12:18pm

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

Bill Text Versions

Engrossments
Introduction Posted on 01/25/2021
1st Engrossment Posted on 04/19/2021

Current Version - 1st Engrossment

Line numbers 1.1 1.2 1.3 1.4 1.5 1.6 1.7 1.8 1.9 1.10 1.11 1.12 1.13 1.14 1.15 1.16 1.17 1.18 1.19 1.20 1.21
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2.29 2.30 2.31 2.32 3.1 3.2 3.3
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7.1 7.2 7.3 7.4 7.5 7.6 7.7 7.8 7.9 7.10 7.11 7.12 7.13 7.14 7.15 7.16 7.17 7.18 7.19 7.20 7.21 7.22 7.23 7.24 7.25
7.26 7.27 7.28 7.29 7.30 7.31 7.32 7.33 7.34 8.1 8.2 8.3 8.4 8.5 8.6 8.7 8.8 8.9 8.10 8.11 8.12 8.13 8.14 8.15
8.16 8.17 8.18 8.19 8.20 8.21 8.22 8.23 8.24 8.25 8.26 8.27 8.28 8.29 8.30 8.31 8.32 8.33 8.34 9.1 9.2 9.3 9.4 9.5 9.6 9.7 9.8 9.9 9.10 9.11 9.12 9.13 9.14 9.15 9.16 9.17 9.18 9.19 9.20 9.21 9.22 9.23 9.24 9.25
9.26 9.27 9.28 9.29 9.30 9.31 9.32 9.33 9.34 9.35 10.1 10.2 10.3 10.4 10.5 10.6 10.7 10.8 10.9 10.10 10.11 10.12 10.13
10.14 10.15 10.16 10.17 10.18 10.19 10.20 10.21 10.22 10.23 10.24 10.25 10.26 10.27 10.28 10.29 10.30 10.31 10.32 10.33 11.1 11.2 11.3 11.4 11.5 11.6 11.7 11.8 11.9 11.10 11.11 11.12 11.13 11.14 11.15 11.16 11.17 11.18 11.19 11.20 11.21 11.22 11.23 11.24 11.25 11.26 11.27 11.28 11.29 11.30 11.31 11.32 11.33 12.1 12.2 12.3 12.4 12.5 12.6
12.7 12.8 12.9 12.10 12.11 12.12 12.13 12.14 12.15 12.16 12.17 12.18 12.19 12.20 12.21 12.22 12.23 12.24 12.25 12.26 12.27 12.28 12.29 12.30 12.31 12.32 12.33 12.34 12.35 13.1 13.2 13.3 13.4 13.5 13.6 13.7 13.8 13.9 13.10 13.11 13.12 13.13 13.14 13.15 13.16 13.17 13.18 13.19 13.20 13.21 13.22 13.23 13.24 13.25 13.26 13.27 13.28 13.29 13.30 13.31 13.32 13.33 13.34 14.1 14.2 14.3 14.4 14.5 14.6 14.7 14.8 14.9 14.10 14.11 14.12 14.13 14.14 14.15 14.16 14.17 14.18 14.19 14.20 14.21 14.22 14.23 14.24 14.25 14.26 14.27
14.28 14.29 14.30 14.31 14.32 15.1 15.2 15.3 15.4 15.5 15.6 15.7 15.8 15.9 15.10 15.11 15.12 15.13 15.14 15.15 15.16 15.17 15.18 15.19 15.20 15.21 15.22 15.23 15.24 15.25 15.26 15.27 15.28 15.29 15.30 15.31 15.32 15.33 15.34 15.35 16.1 16.2 16.3 16.4
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16.19 16.20 16.21 16.22 16.23 16.24 16.25 16.26 16.27 16.28 16.29 16.30 16.31 16.32 17.1 17.2 17.3
17.4 17.5 17.6 17.7 17.8 17.9 17.10 17.11 17.12 17.13 17.14 17.15 17.16 17.17
17.18 17.19 17.20 17.21 17.22 17.23 17.24 17.25 17.26 17.27 17.28 17.29 17.30 17.31 18.1 18.2 18.3 18.4 18.5 18.6 18.7 18.8 18.9
18.10 18.11 18.12 18.13 18.14 18.15 18.16 18.17 18.18 18.19 18.20 18.21 18.22 18.23 18.24 18.25 18.26 18.27 18.28 18.29 18.30 18.31
18.32 18.33 18.34 18.35 19.1 19.2 19.3 19.4 19.5 19.6
19.7 19.8 19.9 19.10 19.11
19.12 19.13 19.14 19.15 19.16 19.17 19.18 19.19 19.20 19.21 19.22
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29.22 29.23 29.24 29.25 29.26 29.27 29.28 29.29 29.30 29.31 30.1 30.2 30.3 30.4 30.5 30.6 30.7 30.8 30.9 30.10 30.11 30.12 30.13 30.14 30.15 30.16 30.17 30.18 30.19 30.20 30.21 30.22 30.23 30.24 30.25 30.26 30.27 30.28 30.29 30.30 30.31 30.32 30.33 30.34 31.1 31.2 31.3 31.4 31.5 31.6 31.7 31.8 31.9 31.10
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67.1
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67.30
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68.13
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70.28 70.29

A bill for an act
relating to capital investment; authorizing spending to acquire and better public
land and buildings and other improvements of a capital nature with certain
conditions; authorizing the issuance of state bonds; establishing and modifying
state programs; modifying prior appropriations; requiring a study and report;
appropriating money; amending Minnesota Statutes 2020, sections 16A.86,
subdivision 2; 16B.325, subdivision 2; 462A.37, subdivisions 1, 2, 5, by adding
a subdivision; 469.53; Laws 2009, chapter 93, article 1, section 14, subdivision 3,
as amended; Laws 2014, chapter 294, article 1, sections 21, subdivisions 21, 23,
as amended; 22, subdivision 5, as amended; Laws 2017, First Special Session
chapter 8, article 1, sections 7, subdivision 2; 15, subdivision 3, as amended; 20,
subdivision 14; Laws 2018, chapter 214, article 1, sections 16, subdivision 2, as
amended; 17, subdivision 6; 18, subdivisions 3, 4; 21, subdivision 16; 22,
subdivision 6; Laws 2019, chapter 2, article 1, section 2, subdivision 5; Laws 2020,
Fifth Special Session chapter 3, article 1, sections 7, subdivisions 3, 18; 13,
subdivision 5; 16, subdivisions 5, 7, 15, 16, 36; 20, subdivision 5; 21, subdivisions
14, 20, 23, 37, 44, 47; 22, subdivisions 6, 8, 18, 19, 21, 23, 28, 30, 33; article 2,
section 2, subdivisions 2, 4; proposing coding for new law in Minnesota Statutes,
chapters 16A; 16B; repealing Minnesota Statutes 2020, sections 16A.93; 16A.94;
16A.96.

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

ARTICLE 1

APPROPRIATIONS

Section 1. new text beginCAPITAL IMPROVEMENT APPROPRIATIONS.
new text end

new text begin The sums shown in the column under "Appropriations" are appropriated from the bond
proceeds fund, or another named fund, to the state agencies or officials indicated, to be
spent for public purposes. Appropriations of bond proceeds must be spent as authorized by
the Minnesota Constitution, article XI, section 5, clause (a), to acquire and better public
land and buildings and other public improvements of a capital nature, or as authorized by
the Minnesota Constitution, article XI, section 5, clauses (b) to (j), or article XIV. Unless
otherwise specified, money appropriated in this act:
new text end

new text begin (1) may be used to pay state agency staff costs that are attributed directly to the capital
program or project in accordance with accounting policies adopted by the commissioner of
management and budget;
new text end

new text begin (2) is available until the project is completed or abandoned subject to Minnesota Statutes,
section 16A.642;
new text end

new text begin (3) for activities under Minnesota Statutes, sections 16B.307, 84.946, and 135A.046,
should not be used for projects that can be financed within a reasonable time frame under
Minnesota Statutes, section 16B.322 or 16C.144; and
new text end

new text begin (4) is available for a grant to a political subdivision after the commissioner of management
and budget determines that an amount sufficient to complete the project as described in this
act has been committed to the project, as required by Minnesota Statutes, section 16A.502.
new text end

new text begin APPROPRIATIONS
new text end

Sec. 2. new text beginUNIVERSITY OF MINNESOTA
new text end

new text begin $
new text end
new text begin 32,000,000
new text end

new text begin To the Board of Regents of the University of
Minnesota, to be spent in accordance with
Minnesota Statutes, section 135A.046.
new text end

Sec. 3. new text beginMINNESOTA STATE COLLEGES AND
UNIVERSITIES
new text end

new text begin $
new text end
new text begin 32,000,000
new text end

new text begin To the Board of Trustees of the Minnesota
State Colleges and Universities, to be spent in
accordance with Minnesota Statutes, section
135A.046.
new text end

Sec. 4. new text beginEDUCATION
new text end

new text begin $
new text end
new text begin 3,150,000
new text end

new text begin To the commissioner of education for library
construction grants under Minnesota Statutes,
section 134.45.
new text end

Sec. 5. new text beginMINNESOTA STATE ACADEMIES
new text end

new text begin $
new text end
new text begin 1,224,000
new text end

new text begin To the commissioner of administration for
capital asset preservation improvements and
betterments on both campuses of the
Minnesota State Academies, to be spent in
accordance with Minnesota Statutes, section
16B.307.
new text end

Sec. 6. new text beginPERPICH CENTER FOR ARTS
EDUCATION
new text end

new text begin $
new text end
new text begin 1,500,000
new text end

new text begin To the commissioner of administration for
capital asset preservation improvements and
betterments at the Perpich Center for Arts
Education, to be spent in accordance with
Minnesota Statutes, section 16B.307.
new text end

Sec. 7. new text beginNATURAL RESOURCES
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 53,650,000
new text end

new text begin (a) To the commissioner of natural resources
for the purposes specified in this section.
new text end

new text begin (b) The appropriations in this section are
subject to the requirements of the natural
resources capital improvement program under
Minnesota Statutes, section 86A.12, unless
this section or the statutes referred to in this
section provide more specific standards,
criteria, or priorities for projects than
Minnesota Statutes, section 86A.12.
new text end

new text begin (c) The unspent portion of an appropriation
for a project in this section, upon written
notice to the commissioner of management
and budget, is available for asset preservation
under Minnesota Statutes, section 84.946.
Minnesota Statutes, section 16A.642, applies
from the date of the original appropriation to
the unspent amount transferred.
new text end

new text begin Subd. 2. new text end

new text begin Natural Resources Asset Preservation
new text end

new text begin 27,000,000
new text end

new text begin For the renovation of state-owned facilities
and recreational assets operated by the
commissioner of natural resources to be spent
in accordance with Minnesota Statutes, section
84.946. Notwithstanding Minnesota Statutes,
section 84.946, the commissioner may use this
appropriation to replace buildings if,
considering the embedded energy in the
building, that is the most energy-efficient and
carbon-reducing method of renovation.
new text end

new text begin Subd. 3. new text end

new text begin Flood Hazard Mitigation
new text end

new text begin 2,000,000
new text end

new text begin (a) For the state share of flood hazard
mitigation grants for publicly owned capital
improvements to prevent or alleviate flood
damage under Minnesota Statutes, section
103F.161.
new text end

new text begin (b) To the extent practicable, levee projects
shall meet the state standard of three feet
above the 100-year flood elevation.
new text end

new text begin (c) The commissioner shall give priority to
the city of Moorhead to continue flood
mitigation and acquisition of flood-prone
properties to address the North Moorhead
Project (Oakport area) and gaps in city-wide
protection consistent with and compatible to
the Fargo-Moorhead Diversion.
new text end

new text begin (d) This appropriation may be used to alleviate
high water on landlocked basins.
new text end

new text begin (e) To the extent practicable and consistent
with the project, recipients of appropriations
for flood control projects in this subdivision
shall create wetlands that are eligible for
wetland replacement credit to replace wetlands
drained or filled as the result of repair,
reconstruction, replacement, or rehabilitation
of an existing public road under Minnesota
Statutes, section 103G.222, subdivision 1,
paragraphs (l) and (m).
new text end

new text begin (f) To the extent that the cost of a project
exceeds two percent of the median household
income in a municipality or township
multiplied by the number of households in the
municipality or township, this appropriation
is also for the local share of the project.
new text end

new text begin Subd. 4. new text end

new text begin State Forest Nursery Facilities
new text end

new text begin 3,600,000
new text end

new text begin To predesign, design, renovate, and construct
improvements to the state forest nursery
facilities at Badoura. The project includes
renovation and improvements to the seed
extractor and cooler storage, construction of
a new cooler storage facility, and energy
efficient upgrades to all heating, ventilating,
and cooling systems.
new text end

new text begin Subd. 5. new text end

new text begin Reforestation
new text end

new text begin 5,000,000
new text end

new text begin For reforestation and stand improvement on
state forest lands to meet the reforestation
requirements of Minnesota Statutes, section
89.002, subdivision 2, including purchasing
native seeds and native seedlings, planting,
seeding, site preparation, and protection on
state lands administered by the commissioner.
new text end

new text begin Subd. 6. new text end

new text begin Scientific and Natural Areas
new text end

new text begin 4,000,000
new text end

new text begin To acquire land for scientific and natural areas
and to make improvements of a capital nature
to scientific and natural areas under Minnesota
Statutes, sections 84.033 and 86A.05,
subdivision 5.
new text end

new text begin Subd. 7. new text end

new text begin State Trails
new text end

new text begin 4,800,000
new text end

new text begin To renovate paved and unpaved state trails
established under Minnesota Statutes, section
85.015, according to the commissioner's
priorities and as provided in Minnesota
Statutes, section 84.946.
new text end

new text begin Subd. 8. new text end

new text begin Acquisition and Betterment of
Buildings
new text end

new text begin 7,000,000
new text end

new text begin For acquisition, design, and construction to
improve existing facilities or to replace
existing facilities that no longer meet the
business needs of the department.
new text end

new text begin Subd. 9. new text end

new text begin Upper Sioux Agency State Park Bond
Defeasance
new text end

new text begin 250,000
new text end

new text begin From the general fund in fiscal year 2022 to
the commissioner of management and budget
to prepay and defease any outstanding state
general obligation bonds used for
improvements and betterments at Upper Sioux
Agency State Park, including Minnesota
Historical Society property located within the
park's boundaries, and other associated
financing costs. This amount may be
deposited, invested, and applied to accomplish
the purposes of this section as provided in
Minnesota Statutes, section 475.67,
subdivisions 5 to 10 and 13. Upon the
prepayment and defeasance of all associated
debt on the real property and improvements,
all conditions set forth in Minnesota Statutes,
section 16A.695, subdivision 3, shall be
deemed to have been satisfied and the real
property and improvements shall no longer
constitute state bond financed property under
Minnesota Statutes, section 16A.695.
new text end

Sec. 8. new text beginBOARD OF WATER AND SOIL
RESOURCES
new text end

new text begin $
new text end
new text begin 14,307,000
new text end

new text begin To the Board of Water and Soil Resources to
acquire conservation easements from
landowners to preserve, restore, create, and
enhance wetlands and associated uplands of
prairie and grasslands, and to restore and
enhance rivers and streams, riparian lands, and
associated uplands of prairie and grasslands,
in order to protect soil and water quality,
support fish and wildlife habitat, reduce flood
damage, and provide other public benefits.
The provisions of Minnesota Statutes, section
103F.515, apply to this program. The board
shall give priority to leveraging federal money
by enrolling targeted new lands or enrolling
environmentally sensitive lands that have
expiring federal conservation agreements. The
board is authorized to enter into new
agreements and amend past agreements with
landowners as required by Minnesota Statutes,
section 103F.515, subdivision 5, to allow for
restoration. Up to five percent of this
appropriation may be used for restoration and
enhancement.
new text end

Sec. 9. new text beginMINNESOTA ZOOLOGICAL
GARDEN
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 12,500,000
new text end

new text begin To the Minnesota Zoological Board for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Animal Hospital Renovation
new text end

new text begin 5,000,000
new text end

new text begin To design, renovate, construct, furnish, and
equip the animal hospital at the Minnesota
Zoological Garden.
new text end

new text begin Subd. 3. new text end

new text begin Reopen the Nocturnal Trail
new text end

new text begin 4,000,000
new text end

new text begin To design, renovate, construct, furnish, and
equip the closed portion of the Nocturnal Trail.
new text end

new text begin Subd. 4. new text end

new text begin Asset Preservation
new text end

new text begin 3,500,000
new text end

new text begin For capital asset preservation improvements
and betterments to infrastructure and exhibits
at the Minnesota Zoological Garden, to be
spent in accordance with Minnesota Statutes,
section 16B.307. Notwithstanding the
specified uses of money under Minnesota
Statutes, section 16B.307, the board may use
this appropriation to replace buildings that are
in poor condition, outdated, and no longer
support the work of the Minnesota Zoological
Garden site.
new text end

Sec. 10. new text beginADMINISTRATION
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 51,133,000
new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Capital Asset Preservation and
Replacement Account
new text end

new text begin 3,133,000
new text end

new text begin To be spent in accordance with Minnesota
Statutes, section 16A.632.
new text end

new text begin Subd. 3. new text end

new text begin Capitol Complex - Physical Security
Upgrades Phase II
new text end

new text begin 43,000,000
new text end

new text begin For the continuation of the design,
construction, and equipping required to
upgrade the physical security elements and
systems for the Capitol Mall and the buildings
listed in this subdivision, their attached tunnel
systems, their surrounding grounds, and
parking facilities as identified in the 2017
Minnesota State Capitol Complex Physical
Security Predesign completed by Miller
Dunwiddie and an updated assessment to be
completed in 2021. Work includes but is not
limited to the installation of bollards, blast
protection, infrastructure security screen walls,
door access controls, emergency call stations,
surveillance systems, security kiosks, locking
devices, and traffic and crowd control devices.
This appropriation includes money for work
associated with the following buildings:
Administration, Ag/Health Lab, Bureau of
Criminal Apprehension, Capitol, Centennial,
Governor's Residence, Judicial Center,
Minnesota History Center, Capitol Complex
Power Plant and Shops, Stassen, State Office,
and Veterans Service. $12,000,000 of this
appropriation is from the general fund in fiscal
year 2022 to be used at the Andersen,
Freeman, Minnesota Senate, Retirement
Systems, and Transportation buildings for the
purposes described in this subdivision.
new text end

new text begin Subd. 4. new text end

new text begin State Buildings; Solar Energy
Generation
new text end

new text begin 5,000,000
new text end

new text begin To provide funds to state agencies for solar
energy generation improvements under article
4, section 2.
new text end

Sec. 11. new text beginAMATEUR SPORTS COMMISSION
new text end

new text begin $
new text end
new text begin 3,500,000
new text end

new text begin To the Minnesota Amateur Sports
Commission for grants to local governments
under Minnesota Statutes, section 240A.09,
paragraph (b), to improve indoor air quality
or eliminate R-22. This appropriation shall not
be used to acquire ice resurfacing or edging
equipment. The commission may prioritize
grants to projects in environmental justice
areas of concern. For the purposes of this
section, "environmental justice area of
concern" means one or more census blocks in
Minnesota in which, based on the most recent
data published by the United States Census
Bureau:
new text end

new text begin (1) 40 percent or more of the population is
nonwhite;
new text end

new text begin (2) 35 percent or more of the households have
an income at or below 200 percent of the
federal poverty level; or
new text end

new text begin (3) 40 percent or more of the population over
the age of five have limited English
proficiency.
new text end

Sec. 12. new text beginTRANSPORTATION
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 77,500,000
new text end

new text begin To the commissioner of transportation for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Local Road Improvement Fund Grants
new text end

new text begin 10,000,000
new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for eligible trunk
highway corridor improvement projects under
Minnesota Statutes, section 174.52,
subdivision 2, for construction and
reconstruction of local roads with statewide
or regional significance under Minnesota
Statutes, section 174.52, subdivision 4, or for
grants to counties to assist in paying the costs
of rural road safety capital improvement
projects on county state-aid highways under
Minnesota Statutes, section 174.52,
subdivision 4a. Of this appropriation, at least
$1,000,000 is for projects on town roads.
new text end

new text begin Subd. 3. new text end

new text begin Local Bridge Replacement and
Rehabilitation
new text end

new text begin 30,000,000
new text end

new text begin (a) From the bond proceeds account in the
state transportation fund to match federal
money and to replace or rehabilitate local
deficient bridges as provided in Minnesota
Statutes, section 174.50.
new text end

new text begin (b) $3,500,000 of this appropriation is for a
grant to Washington County to predesign,
design, engineer, construct, and equip the
reconstruction of the 4th Street Bridge over
marked Interstate Highway 694 in the city of
Oakdale.
new text end

new text begin Subd. 4. new text end

new text begin Safe Routes to School
new text end

new text begin 8,000,000
new text end

new text begin For grants under Minnesota Statutes, section
174.40.
new text end

new text begin Subd. 5. new text end

new text begin Port Development Assistance
new text end

new text begin 4,000,000
new text end

new text begin For grants under Minnesota Statutes, chapter
457A. Any improvements made with the
proceeds of these grants must be publicly
owned. This appropriation shall be evenly
distributed to ports in the following cities:
new text end

new text begin (1) Duluth;
new text end

new text begin (2) Red Wing;
new text end

new text begin (3) St. Paul; and
new text end

new text begin (4) Winona.
new text end

new text begin Subd. 6. new text end

new text begin Passenger Rail
new text end

new text begin 25,500,000
new text end

new text begin (a) For intercity passenger rail projects on
phase I corridors as identified in the 2015
update to the state rail plan under Minnesota
Statutes, section 174.03, subdivision 1b. This
appropriation may only be used for projects
that have received environmental approval.
new text end

new text begin (b) This appropriation is for expenditure by
the commissioner and is available for: program
delivery, design, preliminary, and final
engineering; environmental analysis and
mitigation; acquisition of land and
right-of-way; and construction.
new text end

Sec. 13. new text beginMETROPOLITAN COUNCIL
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 68,700,000
new text end

new text begin To the Metropolitan Council for the purposes
specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Metropolitan Cities Inflow and
Infiltration Grants
new text end

new text begin 15,000,000
new text end

new text begin (a) For grants to cities within the metropolitan
area, as defined in Minnesota Statutes, section
473.121, subdivision 2, for capital
improvements in municipal wastewater
collection systems to reduce the amount of
inflow and infiltration to the Metropolitan
Council's metropolitan sanitary sewer disposal
system. Grants from this appropriation are for
up to 50 percent of the cost to mitigate inflow
and infiltration in the publicly owned
municipal wastewater collection systems. To
be eligible for a grant, a city must be identified
by the council as a contributor of excessive
inflow and infiltration in the metropolitan
disposal system or have a measured flow rate
within 20 percent of its allowable
council-determined inflow and infiltration
limits. The council must award grants based
on applications from cities that identify
eligible capital costs and include a timeline
for inflow and infiltration mitigation
construction, pursuant to guidelines
established by the council.
new text end

new text begin (b) The council may prioritize grants to
projects in environmental justice areas of
concern. For the purposes of this subdivision,
"environmental justice area of concern" means
one or more census blocks in Minnesota in
which, based on the most recent data published
by the United States Census Bureau:
new text end

new text begin (1) 40 percent or more of the population is
nonwhite;
new text end

new text begin (2) 35 percent or more of the households have
an income at or below 200 percent of the
federal poverty level; or
new text end

new text begin (3) 40 percent or more of the population over
the age of five have limited English
proficiency.
new text end

new text begin Subd. 3. new text end

new text begin Metropolitan Regional Parks and Trails
new text end

new text begin 11,500,000
new text end

new text begin (a) For the cost of improvements and
betterments of a capital nature and acquisition
by the council and local government units of
regional recreational open-space lands in
accordance with the council's policy plan as
provided in Minnesota Statutes, section
473.147. This appropriation must not be used
to purchase easements.
new text end

new text begin (b) $4,000,000 of this appropriation is for
right-of-way acquisition and for predesign,
design, engineering, and construction of
pedestrian safety related improvements
including grade-separated crossings of
railroads and multilane highways, for the
purpose of completing a segment of a regional
greenway that:
new text end

new text begin (1) is within the Mississippi National River
and Recreation Area;
new text end

new text begin (2) is located in an industrial area;
new text end

new text begin (3) is crossed by a skewed rail line at greater
than a 30 degree angle; and
new text end

new text begin (4) is 2-1/2 miles in length.
new text end

new text begin Subd. 4. new text end

new text begin Bus Rapid Transit Lines
new text end

new text begin 40,000,000
new text end

new text begin For environmental analysis, design,
engineering, right-of-way acquisition, and
construction of the E line bus rapid transit
project from Minneapolis to Southdale Transit
Center.
new text end

new text begin Subd. 5. new text end

new text begin Electric Transit Vehicle Charging
Infrastructure
new text end

new text begin 1,000,000
new text end

new text begin From the general fund for the purpose of
financing the cost of acquiring and installing
electric transit vehicle charging infrastructure
on council-owned property. For the purposes
of this subdivision, "electric transit vehicle
charging infrastructure" means on-route
charging stations and charging stations in
garage facilities for buses, coaches, and
paratransit vehicles owned by the Metropolitan
Council.
new text end

new text begin Subd. 6. new text end

new text begin St. Paul; Como Zoo
new text end

new text begin 1,200,000
new text end

new text begin For a grant to the city of St. Paul for asset
preservation improvements and betterments
of a capital nature to infrastructure and
exhibits at Como Zoo.
new text end

Sec. 14. new text beginHUMAN SERVICES
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 21,063,000
new text end

new text begin To the commissioner of administration or
other named entity for the purposes of this
section.
new text end

new text begin Subd. 2. new text end

new text begin Asset Preservation
new text end

new text begin 2,213,000
new text end

new text begin For asset preservation improvements and
betterments of a capital nature at Department
of Human Services facilities statewide, to be
spent in accordance with Minnesota Statutes,
section 16B.307.
new text end

new text begin Subd. 3. new text end

new text begin St. Peter Regional Treatment Center
Campus - Phase 2
new text end

new text begin 8,850,000
new text end

new text begin To design, renovate, construct, furnish, and
equip the second phase of a multiphase project
to develop additional residential, program,
activity, and ancillary facilities for the
Minnesota sex offender program on the lower
campus of the St. Peter Regional Treatment
Center. This appropriation includes money to
design, renovate, construct, furnish, and equip
the west, south, and north wings of the Sunrise
Building. This appropriation also includes
money to: replace or renovate HVAC,
plumbing, electrical, security, and life safety
systems; address fire and life safety, and other
building code deficiencies; replace windows
and doors; tuck-point exterior building
envelopes; reconfigure and remodel space;
design and abate asbestos and other hazardous
materials; remove or demolish nonfunctioning
building components; and complete site work
necessary to support the programmed use of
the building.
new text end

new text begin Subd. 4. new text end

new text begin Early Childhood Learning Facilities
new text end

new text begin 10,000,000
new text end

new text begin To the commissioner of human services for
grants under Minnesota Statutes, section
256E.37, to construct and rehabilitate early
childhood learning facilities. Notwithstanding
the limitations and requirements for
geographic distribution in Minnesota Statutes,
section 256E.37, the commissioner of human
services may distribute grants to facilities
located in any county.
new text end

Sec. 15. new text beginVETERANS AFFAIRS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 8,500,000
new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Asset Preservation
new text end

new text begin 4,000,000
new text end

new text begin For asset preservation improvements and
betterments of a capital nature at the veterans
homes in Minneapolis, Hastings, Fergus Falls,
Silver Bay, and Luverne, and the Little Falls
Cemetery, to be spent in accordance with
Minnesota Statutes, section 16B.307.
new text end

new text begin Subd. 3. new text end

new text begin New State Veterans Cemetery
new text end

new text begin 4,500,000
new text end

new text begin To design, construct, furnish, and equip a new
State Veterans Cemetery in Redwood County.
new text end

Sec. 16. new text beginCORRECTIONS
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 9,120,000
new text end

new text begin For the purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Asset Preservation
new text end

new text begin 8,445,000
new text end

new text begin To the commissioner of administration for
asset preservation improvements and
betterments of a capital nature at Minnesota
correctional facilities statewide, to be spent in
accordance with Minnesota Statutes, section
16B.307.
new text end

new text begin Subd. 3. new text end

new text begin Regional and County Jails Study and
Report
new text end

new text begin 675,000
new text end

new text begin From the general fund to the commissioner of
corrections for the costs of completing the
study and report required in article 4. This
appropriation is onetime and is available until
December 31, 2022.
new text end

Sec. 17. new text beginEMPLOYMENT AND ECONOMIC
DEVELOPMENT
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 6,200,000
new text end

new text begin To the commissioner of employment and
economic development for the purposes of
this section.
new text end

new text begin Subd. 2. new text end

new text begin Greater Minnesota Child Care Facility
Program
new text end

new text begin 5,000,000
new text end

new text begin For the greater Minnesota child care facility
capital grant program under Minnesota
Statutes, section 116J.417.
new text end

new text begin Subd. 3. new text end

new text begin Lake Superior Zoo
new text end

new text begin 1,200,000
new text end

new text begin For a grant to the city of Duluth for asset
preservation at the Lake Superior Zoo.
new text end

Sec. 18. new text beginPUBLIC FACILITIES AUTHORITY
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 15,000,000
new text end

new text begin To the Public Facilities Authority for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end

new text begin Water Infrastructure Funding Program
new text end

new text begin 15,000,000
new text end

new text begin (a) For grants to eligible municipalities under
the water infrastructure funding program under
Minnesota Statutes, section 446A.072.
new text end

new text begin (b) $7,500,000 is for wastewater projects listed
on the Pollution Control Agency's project
priority list in the fundable range under the
clean water revolving fund program.
new text end

new text begin (c) $7,500,000 is for drinking water projects
listed on the commissioner of health's project
priority list in the fundable range under the
drinking water revolving fund program.
new text end

new text begin (d) After all eligible projects under paragraph
(b) or (c) have been funded in a fiscal year,
the Public Facilities Authority may transfer
any remaining, uncommitted money to eligible
projects under a program defined in paragraph
(b) or (c) based on that program's project
priority list.
new text end

Sec. 19. new text beginMINNESOTA HOUSING FINANCE
AGENCY
new text end

new text begin $
new text end
new text begin 100,000,000
new text end

new text begin To the commissioner of the Minnesota
Housing Finance Agency for transfer to the
housing development fund to finance the costs
of rehabilitation to preserve public housing
under Minnesota Statutes, section 462A.202,
subdivision 3a. For purposes of this section,
"public housing" means housing for
low-income persons and households financed
by the federal government and owned and
operated by the public housing authorities and
agencies formed by cities and counties.
Priority must be given to proposals that
maximize federal or local resources to finance
the capital costs. The priority in Minnesota
Statutes, section 462A.202, subdivision 3a,
for projects to increase the supply of
affordable housing and the restrictions of
Minnesota Statutes, section 462A.202,
subdivision 7, do not apply to this
appropriation.
new text end

Sec. 20. new text beginMINNESOTA HISTORICAL
SOCIETY
new text end

new text begin $
new text end
new text begin 2,375,000
new text end

new text begin To the Minnesota Historical Society for capital
improvements and betterments at state historic
sites, buildings, landscaping at historic
buildings, exhibits, markers, and monuments,
to be spent in accordance with Minnesota
Statutes, section 16B.307. The society shall
determine project priorities as appropriate
based on need.
new text end

Sec. 21. new text beginBOND SALE EXPENSES
new text end

new text begin $
new text end
new text begin 503,000
new text end

new text begin To the commissioner of management and
budget from the bond proceeds fund for bond
sale expenses under Minnesota Statutes,
section 16A.641, subdivision 8.
new text end

Sec. 22. new text beginBOND SALE AUTHORIZATION.
new text end

new text begin Subdivision 1. new text end

new text begin Bond proceeds fund. new text end

new text begin To provide the money appropriated in this act from
the bond proceeds fund, the commissioner of management and budget shall sell and issue
bonds of the state in an amount up to $460,000,000 in the manner, upon the terms, and with
the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the
Minnesota Constitution, article XI, sections 4 to 7.
new text end

new text begin Subd. 2. new text end

new text begin Transportation fund. new text end

new text begin To provide the money appropriated in this act from the
bond proceeds account in the state transportation fund, the commissioner of management
and budget shall sell and issue bonds of the state in an amount up to $40,000,000 in the
manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections
16A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.
new text end

Sec. 23. new text beginBOND SALE SCHEDULE.
new text end

new text begin The commissioner of management and budget shall schedule the sale of state general
obligation bonds so that, during the biennium ending June 30, 2023, no more than
$1,286,432,000 will need to be transferred from the general fund to the state bond fund to
pay principal and interest due and to become due on outstanding state general obligation
bonds. During the biennium, before each sale of state general obligation bonds, the
commissioner of management and budget shall calculate the amount of debt service payments
needed on bonds previously issued and shall estimate the amount of debt service payments
that will be needed on the bonds scheduled to be sold. The commissioner shall adjust the
amount of bonds scheduled to be sold so as to remain within the limit set by this section.
The amount needed to make the debt service payments is appropriated from the general
fund as provided in Minnesota Statutes, section 16A.641.
new text end

Sec. 24. new text beginEFFECTIVE DATE.
new text end

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

ARTICLE 2

APPROPRIATION AND HOUSING INFRASTRUCTURE BONDS

Section 1. new text beginPURPOSE.
new text end

new text begin The financing provided by Minnesota Statutes, section 16A.962, is for the public purpose
of redeveloping the areas in Minneapolis and St. Paul damaged in May and June of 2020,
by civil unrest which led to severe damage or destruction to small businesses, private
property, and public property in Minneapolis and St. Paul. The public purpose of the
redevelopment is to create or retain jobs, preserve the tax base and support enterprise
development and wealth creation for persons adversely affected by long-standing structural
racial discrimination and poverty and prevent displacement of small businesses owned by
people of color and indigenous people.
new text end

Sec. 2.

new text begin [16A.962] REDEVELOPMENT APPROPRIATION BONDS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The definitions in this subdivision apply to this section.
new text end

new text begin (b) "Appropriation bond" or "bond" means a bond, note, or other similar instrument of
the state payable during a biennium from one or more of the following sources:
new text end

new text begin (1) money appropriated by law from the general fund in any biennium for debt service
due with respect to obligations described in subdivision 2, paragraph (a);
new text end

new text begin (2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);
new text end

new text begin (3) payments received for that purpose under agreements and ancillary arrangements
described in subdivision 2, paragraph (d); and
new text end

new text begin (4) investment earnings on amounts in clauses (1) to (3).
new text end

new text begin (c) "City" means Minneapolis or St. Paul, or an agency of Minneapolis or St. Paul.
new text end

new text begin (d) "Debt service" means the amount payable in any biennium of principal, premium,
if any, and interest on appropriation bonds, and the fees, charges, and expenses related to
the bonds.
new text end

new text begin (e) "Eligible area" means an area in Minneapolis or St. Paul adversely affected by civil
unrest during the events leading up to and surrounding the peacetime emergency declared
in Emergency Executive Order 20-64.
new text end

new text begin (f) "Redevelopment" may include the acquisition of real property; site preparation;
predesign, design, engineering, repair, or renovation of facilities damaged during the civil
unrest and construction of buildings, infrastructure, and related site amenities, including
energy conservation improvements as defined in section 216B.241, subdivision 1, paragraph
(e); landscaping; street-scaping; land-banking for future development or redevelopment; or
financing any of these activities taken on by a private party pursuant to an agreement with
the city. Redevelopment does not include project costs eligible for compensation or assistance
available through insurance policies or from other organizations or government agencies.
new text end

new text begin Subd. 2. new text end

new text begin Authorization to issue appropriation bonds. new text end

new text begin (a) Subject to the limitations of
this subdivision, the commissioner may sell and issue appropriation bonds of the state under
this section for public purposes as provided by law, including for the purposes of capitalizing
an account in the city of Minneapolis' commercial property development fund and an account
in the St. Paul housing and redevelopment authority's funds to pay for redevelopment in
the eligible areas. Appropriation bonds may be sold and issued in amounts that, in the
opinion of the commissioner, are necessary to provide sufficient money to the commissioner
of employment and economic development under subdivision 7, not to exceed $300,000,000
net of costs of issuance, for the purposes as provided under this subdivision; to pay debt
service including capitalized interest, costs of issuance, and costs of credit enhancement;
or to make payments under other agreements entered into under paragraph (d).
new text end

new text begin (b) Proceeds of the appropriation bonds must be credited to a special appropriation
redevelopment bond proceeds fund in the state treasury. All income from investment of the
bond proceeds is appropriated to the commissioner for the payment of principal and interest
on the appropriation bonds.
new text end

new text begin (c) Appropriation bonds may be issued in one or more issues or series on the terms and
conditions the commissioner determines to be in the best interests of the state, but the term
on any series of appropriation bonds may not exceed 21 years. The appropriation bonds of
each issue and series thereof shall be dated and bear interest from the date of issuance, and
may be includable in or excludable from the gross income of the owners for federal income
tax purposes.
new text end

new text begin (d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any time
thereafter so long as the appropriation bonds are outstanding, the commissioner may enter
into agreements and ancillary arrangements relating to the appropriation bonds, including
but not limited to trust indentures, grant agreements, lease or use agreements, operating
agreements, management agreements, liquidity facilities, remarketing or dealer agreements,
letter of credit agreements, insurance policies, guaranty agreements, reimbursement
agreements, indexing agreements, or interest exchange agreements. Any payments made
or received according to the agreement or ancillary arrangement shall be made from or
deposited as provided in the agreement or ancillary arrangement. The determination of the
commissioner, included in an interest exchange agreement, that the agreement relates to an
appropriation bond, shall be conclusive.
new text end

new text begin (e) The commissioner may enter into written agreements or contracts relating to the
continuing disclosure of information necessary to comply with or facilitate the issuance of
appropriation bonds in accordance with federal securities laws, rules, and regulations,
including Securities and Exchange Commission rules and regulations in Code of Federal
Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants
with purchasers and holders of appropriation bonds set forth in the order or resolution
authorizing the issuance of the appropriation bonds, or a separate document authorized by
the order or resolution.
new text end

new text begin (f) The appropriation bonds are not subject to chapter 16C.
new text end

new text begin Subd. 3. new text end

new text begin Form; procedure. new text end

new text begin (a) Appropriation bonds may be issued in the form of bonds,
notes, or other similar instruments in the manner provided in section 16A.672. In the event
that any provision of section 16A.672 conflicts with this section, this section shall control.
new text end

new text begin (b) Every appropriation bond shall include a conspicuous statement of the limitation
established in subdivision 6.
new text end

new text begin (c) Appropriation bonds may be sold at either public or private sale upon such terms as
the commissioner shall determine are not inconsistent with this section and may be sold at
any price or percentage of par value. Any bid received may be rejected.
new text end

new text begin (d) Appropriation bonds must bear interest at a fixed or variable rate.
new text end

new text begin (e) Notwithstanding any other law, appropriation bonds issued under this section shall
be fully negotiable.
new text end

new text begin Subd. 4. new text end

new text begin Refunding bonds. new text end

new text begin The commissioner may issue appropriation bonds for the
purpose of refunding any appropriation bonds issued under subdivision 2 then outstanding,
including the payment of any redemption premiums on the bonds, any interest accrued or
to accrue to the redemption date, and costs related to the issuance and sale of the refunding
bonds. The proceeds of any refunding bonds may, at the discretion of the commissioner,
be applied to the purchase or payment at maturity of the appropriation bonds to be refunded,
to the redemption of the outstanding appropriation bonds on any redemption date, or to pay
interest on the refunding bonds and may, pending application, be placed in escrow to be
applied to the purchase, payment, retirement, or redemption. Any escrowed proceeds,
pending such use, may be invested and reinvested in obligations that are authorized
investments under section 11A.24. The income earned or realized on the investment may
also be applied to the payment of the appropriation bonds to be refunded or interest or
premiums on the refunded appropriation bonds, or to pay interest on the refunding bonds.
After the terms of the escrow have been fully satisfied, any balance of the proceeds and any
investment income may be returned to the general fund or, if applicable, the special
appropriation redevelopment bond proceeds fund for use in any lawful manner. All refunding
bonds issued under this subdivision must be prepared, executed, delivered, and secured by
appropriations in the same manner as the appropriation bonds to be refunded.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation bonds as legal investments. new text end

new text begin Any of the following entities may
legally invest any sinking funds, money, or other funds belonging to them or under their
control in any appropriation bonds issued under this section:
new text end

new text begin (1) the state, the investment board, public officers, municipal corporations, political
subdivisions, and public bodies;
new text end

new text begin (2) banks and bankers, savings and loan associations, credit unions, trust companies,
savings banks and institutions, investment companies, insurance companies, insurance
associations, and other persons carrying on a banking or insurance business; and
new text end

new text begin (3) personal representatives, guardians, trustees, and other fiduciaries.
new text end

new text begin Subd. 6. new text end

new text begin No full faith and credit; state not required to make appropriations. new text end

new text begin The
appropriation bonds are not public debt of the state, and the full faith, credit, and taxing
powers of the state are not pledged to the payment of the appropriation bonds or to any
payment that the state agrees to make under this section. Appropriation bonds shall not be
obligations paid directly, in whole or in part, from a tax of statewide application on any
class of property, income, transaction, or privilege. Appropriation bonds shall be payable
in each fiscal year only from amounts that the legislature may appropriate for debt service
for any fiscal year, provided that nothing in this section shall be construed to require the
state to appropriate money sufficient to make debt service payments with respect to the
appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall no
longer be outstanding on the earlier of (1) the first day of a fiscal year for which the
legislature shall not have appropriated amounts sufficient for debt service, or (2) the date
of final payment of the principal of and interest on the appropriation bonds.
new text end

new text begin Subd. 7. new text end

new text begin Appropriation of proceeds. new text end

new text begin The proceeds of appropriation bonds issued under
subdivision 2, paragraph (a), and interest credited to the special appropriation redevelopment
bond proceeds fund are appropriated as follows:
new text end

new text begin (1) to the commissioner of employment and economic development for a grant of
$200,000,000 to the city of Minneapolis and a grant of $100,000,000 to the Saint Paul
Housing and Redevelopment Authority, and as further specified in subdivision 2, paragraph
(a); and
new text end

new text begin (2) to the commissioner of management and budget for 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 (d), as permitted by state and federal law.
new text end

new text begin Subd. 8. new text end

new text begin Appropriation for debt service and other purposes. new text end

new text begin An amount needed to
pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a),
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
appropriation redevelopment bond proceeds fund. The appropriation is available beginning
in fiscal year 2022 and remains available through fiscal year 2043.
new text end

new text begin Subd. 9. new text end

new text begin Waiver of immunity. new text end

new text begin The waiver of immunity by the state provided for by
section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary
contracts to which the commissioner is a party.
new text end

new text begin Subd. 10. new text end

new text begin Grant requirements. new text end

new text begin In addition to any other terms in a grant agreement with
the commissioner of employment and economic development, a grant of special appropriation
redevelopment bonds proceeds must:
new text end

new text begin (1) require the city to segregate the grant money in a separate account;
new text end

new text begin (2) require the payment to the state, for deposit into the bond payments account
established for such purpose in the special appropriation redevelopment bond proceeds
fund, the proceeds of the sale of any property financed with a grant under this section in an
amount up to the amount of the grant, if the sale of the property occurs during the term of
the grant agreement, except that a sale of a property to a qualified person as determined by
the grant recipient's program or project funding criteria is exempt from the requirements of
this clause;
new text end

new text begin (3) require each grant recipient in subdivision 7, to enhance economic opportunities for
long-term residents, to prioritize businesses owned or operated by a minority person as
defined in section 116M.14, and to prioritize the retention and rebuilding of impacted
businesses and infrastructure in the eligible area;
new text end

new text begin (4) require that all new and substantially reconstructed buildings receiving grant funds,
which includes projects encompassing at least 10,000 square feet or no less than the
replacement of the mechanical, ventilation, or cooling system of a building or a building
section, meet the building performance standards described in section 216B.241, subdivision
9; and
new text end

new text begin (5) beginning on December 1, 2022, and each year thereafter until all grant funds have
been expended, require an annual report to the commissioner of employment and economic
development from each grant recipient on the expenditures made from the accounts funded
with a grant made under this section in the form that the commissioner prescribes and include
any documentation of and supporting information regarding the expenditures that the
commissioner requires. This report must include any measures of success toward achieving
the goals and standards outlined in clauses (3) and (4).
new text end

new text begin Subd. 11. new text end

new text begin Audit. new text end

new text begin The commissioner of employment and economic development must
review the report of expenditures made by the cities.
new text end

new text begin Subd. 12. new text end

new text begin Prevailing wage requirement. new text end

new text begin During the construction, installation,
remodeling, and repair of any project funded by bonds sold under this section, laborers and
mechanics at the site must be paid the prevailing wage rate as defined in section 177.42,
subdivision 6, and the project is subject to the requirements of sections 177.30 and 177.41
to 177.44.
new text end

new text begin Subd. 13. new text end

new text begin Zoning exemption. new text end

new text begin (a) A property financed with a grant under this section is
exempt from minimum height and minimum floor area ratio standards through June 30,
2025, provided that a proposed redevelopment on a property that conformed to such standards
on May 1, 2020, is subject to all other applicable zoning standards.
new text end

new text begin (b) Notwithstanding section 462.357, subdivision 1e, or municipal ordinance, a property
financed with a grant under this section may apply through June 30, 2025, for a building
permit to reconstruct a nonconforming use or nonconforming structure that is comparable
to a use or structure that existed on the property on May 1, 2020.
new text end

new text begin (c) A property subject to the zoning and building permit exemptions in this subdivision
is exempt from public hearing processes to obtain approval unless the request expands a
nonconforming use. The city may impose reasonable conditions upon a zoning or building
permit to mitigate any newly created impact on adjacent property.
new text end

new text begin Subd. 14. new text end

new text begin Report to the legislature. new text end

new text begin By December 31, 2023, and every December 31
thereafter, the commissioner of employment and economic development must submit a
report as required under section 3.195 that details the use of money under this section,
including any measures of success toward achieving the goals under subdivision 10, clause
(3). A copy of this report must also be sent to the chairs and ranking minority members of
the committees of the house of representatives and the senate having jurisdiction over
economic development and capital investment.
new text end

Sec. 3.

Minnesota Statutes 2020, section 462A.37, subdivision 1, is amended to read:


Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have
the meanings given.

(b) "Abandoned property" has the meaning given in section 117.025, subdivision 5.

(c) "Community land trust" means an entity that meets the requirements of section
462A.31, subdivisions 1 and 2.

(d) "Debt service" means the amount payable in any fiscal year of principal, premium,
if any, and interest on housing infrastructure bonds and the fees, charges, and expenses
related to the bonds.

(e) "Foreclosed property" means residential property where foreclosure proceedings
have been initiated or have been completed and title transferred or where title is transferred
in lieu of foreclosure.

(f) "Housing infrastructure bonds" means bonds issued by the agency under this chapter
that:

(1) are qualified 501(c)(3) bonds, within the meaning of section 145(a) of the Internal
Revenue Code;

(2) finance qualified residential rental projects within the meaning of section 142(d) of
the Internal Revenue Code;

(3) finance the construction or rehabilitation of single-family houses that qualify for
mortgage financing within the meaning of section 143 of the Internal Revenue Code; or

(4) are tax-exempt bonds that are not private activity bonds, within the meaning of
section 141(a) of the Internal Revenue Code, for the purpose of financing or refinancing
affordable housing authorized under this chapter.

(g) "Internal Revenue Code" means the Internal Revenue Code of 1986, as amended.

(h) new text begin"Naturally occurring affordable housing" or "NOAH" means multiunit rental housing
where the majority of the units are affordable to individuals and families with incomes at
or below 60 percent of the area median income, that otherwise does not receive place-based
state or federal governmental subsidies.
new text end

new text begin (i) new text end"Senior" means a person 55 years of age or older with an annual income not greater
than 50 percent of:

(1) the metropolitan area median income for persons in the metropolitan area; or

(2) the statewide median income for persons outside the metropolitan area.

deleted text begin (i)deleted text endnew text begin (j)new text end "Senior housing" means housing intended and operated for occupancy by at least
one senior per unit with at least 80 percent of the units occupied by at least one senior per
unit, and for which there is publication of, and adherence to, policies and procedures that
demonstrate an intent by the owner or manager to provide housing for seniors. Senior
housing may be developed in conjunction with and as a distinct portion of mixed-income
senior housing developments that use a variety of public or private financing sources.

deleted text begin (j)deleted text endnew text begin (k)new text end "Supportive housing" means housing that is not time-limited and provides or
coordinates with linkages to services necessary for residents to maintain housing stability
and maximize opportunities for education and employment.

Sec. 4.

Minnesota Statutes 2020, section 462A.37, subdivision 2, is amended to read:


Subd. 2.

Authorization.

(a) The agency may issue up to $30,000,000 in aggregate
principal amount of housing infrastructure bonds in one or more series to which the payment
made under this section may be pledged. The housing infrastructure bonds authorized in
this subdivision may be issued to fund loans, or grants for the purposes of clause (4), on
terms and conditions the agency deems appropriate, made for one or more of the following
purposes:

(1) to finance the costs of the construction, acquisition, and rehabilitation of supportive
housing for individuals and families who are without a permanent residence;

(2) to finance the costs of the acquisition and rehabilitation of foreclosed or abandoned
housing to be used for affordable rental housing and the costs of new construction of rental
housing on abandoned or foreclosed property where the existing structures will be demolished
or removed;

(3) to finance that portion of the costs of acquisition of property that is attributable to
the land to be leased by community land trusts to low- and moderate-income home buyers;

(4) to finance the acquisition, improvement, and infrastructure of manufactured home
parks under section 462A.2035, subdivision 1b;

(5) to finance the costs of acquisition, rehabilitation, adaptive reuse, or new construction
of senior housing;

(6) to finance the costs of acquisition and rehabilitation of federally assisted rental
housing and for the refinancing of costs of the construction, acquisition, and rehabilitation
of federally assisted rental housing, including providing funds to refund, in whole or in part,
outstanding bonds previously issued by the agency or another government unit to finance
or refinance such costs; deleted text beginand
deleted text end

(7) to finance the costs of acquisition, rehabilitation, adaptive reuse, or new construction
of single-family housingdeleted text begin.deleted text endnew text begin;
new text end

new text begin (8) to finance the costs of acquisition, rehabilitation, adaptive reuse, or new construction
of multifamily rental housing for households with incomes at or below 50 percent of the
area median income. Among comparable proposals, the agency shall give priority to requests
for projects that serve households at the lowest incomes; and
new text end

new text begin (9) to finance the costs of acquisition and rehabilitation of naturally occurring affordable
housing in order to preserve a long-term source of affordable housing.
new text end

(b) Among comparable proposals for permanent supportive housing, preference shall
be given to permanent supportive housing for veterans and other individuals or families
who:

(1) either have been without a permanent residence for at least 12 months or at least four
times in the last three years; or

(2) are at significant risk of lacking a permanent residence for 12 months or at least four
times in the last three years.

(c) Among comparable proposals for senior housing, the agency must give priority to
requests for projects that:

(1) demonstrate a commitment to maintaining the housing financed as affordable to
seniors;

(2) leverage other sources of funding to finance the project, including the use of
low-income housing tax credits;

(3) provide access to services to residents and demonstrate the ability to increase physical
supports and support services as residents age and experience increasing levels of disability;

(4) provide a service plan containing the elements of clause (3) reviewed by the housing
authority, economic development authority, public housing authority, or community
development agency that has an area of operation for the jurisdiction in which the project
is located; and

(5) include households with incomes that do not exceed 30 percent of the median
household income for the metropolitan area.

new text begin (d) new text endTo the extent practicable, the agency shall balance the loans made between projects
in the metropolitan area and projects outside the metropolitan area. Of the loans made to
projects outside the metropolitan area, the agency shall, to the extent practicable, balance
the loans made between projects in counties or cities with a population of 20,000 or less,
as established by the most recent decennial census, and projects in counties or cities with
populations in excess of 20,000.

Sec. 5.

Minnesota Statutes 2020, section 462A.37, is amended by adding a subdivision to
read:


new text begin Subd. 2h. new text end

new text begin Additional authorization. new text end

new text begin In addition to the amount authorized in subdivisions
2 to 2g, the agency may issue up to $150,000,000 in housing infrastructure bonds in one or
more series to which the payments under this section may be pledged.
new text end

Sec. 6.

Minnesota Statutes 2020, section 462A.37, subdivision 5, is amended to read:


Subd. 5.

Additional appropriation.

(a) The agency must certify annually to the
commissioner of management and budget the actual amount of annual debt service on each
series of bonds issued under this section.

(b) Each July 15, beginning in 2015 and through 2037, if any housing infrastructure
bonds issued under subdivision 2a remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $6,400,000
annually. The amounts necessary to make the transfers are appropriated from the general
fund to the commissioner of management and budget.

(c) Each July 15, beginning in 2017 and through 2038, if any housing infrastructure
bonds issued under subdivision 2b remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $800,000
annually. The amounts necessary to make the transfers are appropriated from the general
fund to the commissioner of management and budget.

(d) Each July 15, beginning in 2019 and through 2040, if any housing infrastructure
bonds issued under subdivision 2c remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $2,800,000
annually. The amounts necessary to make the transfers are appropriated from the general
fund to the commissioner of management and budget.

(e) Each July 15, beginning in 2020 and through 2041, if any housing infrastructure
bonds issued under subdivision 2d remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

(f) Each July 15, beginning in 2020 and through 2041, if any housing infrastructure
bonds issued under subdivision 2e remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

(g) Each July 15, beginning in 2022 and through 2043, if any housing infrastructure
bonds issued under subdivision 2f remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

(h) Each July 15, beginning in 2022 and through 2043, if any housing infrastructure
bonds issued under subdivision 2g remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

new text begin (i) Each July 15, beginning in 2023 and through 2044, if any housing infrastructure
bonds issued under subdivision 2h remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.
new text end

deleted text begin (i)deleted text endnew text begin (j)new text end The agency may pledge to the payment of the housing infrastructure bonds the
payments to be made by the state under this section.

Sec. 7. new text beginHOUSING INFRASTRUCTURE BONDS; SHELTER FACILITIES.
new text end

new text begin Subdivision 1. new text end

new text begin Definition. new text end

new text begin For the purposes of this section, "shelter facility" means a
facility having a primary purpose to provide a temporary shelter for the homeless in general,
or for a specific homeless population, and does not require occupants to sign leases or
occupancy agreements.
new text end

new text begin Subd. 2. new text end

new text begin Authorized use. new text end

new text begin In fiscal year 2022 only, housing infrastructure bonds under
Minnesota Statutes, section 462A.37, may be issued to finance the costs of acquisition,
rehabilitation, adaptive reuse, and new construction of shelter facilities in accordance with
this section.
new text end

new text begin Subd. 3. new text end

new text begin Additional authorization. new text end

new text begin In addition to the amount authorized in Minnesota
Statutes, section 462A.37, subdivisions 2 to 2h, the Minnesota Housing Finance Agency
may issue up to $50,000,000 in housing infrastructure bonds in one or more series to which
the payments under this section must be pledged for shelter facilities. $10,000,000 of this
authorization must fund one or more grants to Simpson Housing Services, a not-for-profit
corporation under section 501(c)(3) of the Internal Revenue Code, to construct and renovate
shelter facilities in the city of Minneapolis.
new text end

new text begin Subd. 4. new text end

new text begin Debt service. new text end

new text begin Each July 15, beginning in 2023 and through 2044, if any housing
infrastructure bonds issued under this section remain outstanding, the commissioner of
management and budget must transfer to the housing infrastructure bond account established
under Minnesota Statutes, section 462A.21, subdivision 33, the amount certified under
Minnesota Statutes, section 462A.37, subdivision 5, paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.
new text end

Sec. 8. new text beginEFFECTIVE DATE.
new text end

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

ARTICLE 3

EQUITY APPROPRIATIONS

Section 1. new text beginCAPITAL IMPROVEMENT APPROPRIATIONS.
new text end

new text begin The sums shown in the column under "Appropriations" are appropriated from the general
fund in fiscal year 2022 to the state agencies or entities indicated, to be spent for public
purposes. The appropriations in this article are onetime and are available until the project
is completed or abandoned subject to Minnesota Statutes, section 16A.642.
new text end

new text begin APPROPRIATIONS
new text end

Sec. 2. new text beginMETROPOLITAN COUNCIL
new text end

new text begin $
new text end
new text begin 1,200,000
new text end

new text begin To the Metropolitan Council for a grant to the
city of St. Paul for the Wakan Tipi Center
project. This appropriation is in addition to
the appropriation for the Nature Sanctuary
Visitor Center in Laws 2018, chapter 214,
article 1, section 17, subdivision 6, and the
appropriation for the Wakan Tipi Center
project in Laws 2020, Fifth Special Session
chapter 3, article 1, section 17, subdivision 11,
and is for the same purposes.
new text end

Sec. 3. new text beginEMPLOYMENT AND ECONOMIC
DEVELOPMENT
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 13,789,000
new text end

new text begin To the commissioner of employment and
economic development for the purposes of
this section.
new text end

new text begin Subd. 2. new text end

new text begin African Economic Development
Solutions
new text end

new text begin 1,000,000
new text end

new text begin For a grant to African Economic Development
Solutions to rehabilitate property that supports
business incubation and workforce
development and technical assistance to
support new and existing African immigrant
entrepreneurs aimed at addressing pervasive
economic inequities.
new text end

new text begin Subd. 3. new text end

new text begin 30,000 Feet; Black Arts Center
new text end

new text begin 1,500,000
new text end

new text begin For a grant to 30,000 Feet, a nonprofit
organization, to acquire property, design,
construct, renovate, furnish, and equip a Black
Arts Center to increase the number of African
American youth and families served through
culturally responsive arts and technology
education, social-emotional learning, and
African American history and culture.
new text end

new text begin Subd. 4. new text end

new text begin Latino Economic Development Center
new text end

new text begin 950,000
new text end

new text begin For a grant to the Latino Economic
Development Center for replacement of
mechanical systems, construction or
renovation of interior spaces, and other
improvements of a capital nature to the
building that will operate as a small business
incubator on Payne Avenue and serve other
community uses.
new text end

new text begin Subd. 5. new text end

new text begin East Side Freedom Library
new text end

new text begin 300,000
new text end

new text begin For a grant to the city of St. Paul for asset
preservation at the Carnegie Library, formerly
known as the Arlington Hills Public Library.
new text end

new text begin Subd. 6. new text end

new text begin Food Relief Organizations
new text end

new text begin 1,200,000
new text end

new text begin For grants to Minnesota food relief
organizations for infrastructure needs and
improvements of a capital nature. Of this
amount:
new text end

new text begin (1) $300,000 is for Keystone Community
Services capital improvements at a new
community food site in Ramsey County;
new text end

new text begin (2) $300,000 is for Southern Anoka
Community Assistance for capital
improvements at a new food shelf;
new text end

new text begin (3) $300,000 is for 360 Communities for
capital improvements at a new resource center
and food shelf in Dakota County; and
new text end

new text begin (4) $300,000 is for Community Pathways of
Steele County for capital improvements at the
current food shelf location.
new text end

new text begin Subd. 7. new text end

new text begin Funny Asian Women Kollective Arts
Center
new text end

new text begin 1,000,000
new text end

new text begin For a grant to Funny Asian Women Kollective
for the acquisition of property, predesign,
design, site preparation, preconstruction
services, and renovation of an arts center in
the city of St. Paul.
new text end

new text begin Subd. 8. new text end

new text begin Leech Lake Band of Ojibwe Veterans
Building
new text end

new text begin 2,000,000
new text end

new text begin For a grant to the Tribal council of the Leech
Lake Band of Ojibwe for demolition of an
existing structure and predesign, design, site
preparation, and preconstruction services for
a new veterans building.
new text end

new text begin Subd. 9. new text end

new text begin Mercado Central
new text end

new text begin 850,000
new text end

new text begin For a grant to Mercado Central, LLC, to
design and construct a parking lot, roof
replacement, and interior repairs of a capital
nature to the marketplace facility in the city
of Minneapolis.
new text end

new text begin Subd. 10. new text end

new text begin Native American Community Clinic
new text end

new text begin 1,000,000
new text end

new text begin For a grant to the Native American
Community Clinic in the city of Minneapolis
for predesign, design, renovation, and
construction of the building in which the clinic
is located.
new text end

new text begin Subd. 11. new text end

new text begin Minneapolis Regional Apprenticeship
Training Center
new text end

new text begin 789,000
new text end

new text begin For a grant to Northgate Development, LLC,
to renovate, equip, and furnish a former state
workforce center building for a regional
apprenticeship training center in the city of
Minneapolis to provide skills training to
students and young adults in emerging
energy-related and utility careers. This
appropriation includes money for financing
of energy efficient upgrades and renewable
energy investments in the property.
new text end

new text begin Subd. 12. new text end

new text begin Meat Processing Businesses in a
Redevelopment Area
new text end

new text begin 1,000,000
new text end

new text begin For a grant to the South St. Paul Economic
Development Authority to design one or more
USDA-grade food processing facilities in a
new or expanded industrial park to replace
existing food processing facilities currently
located within the Hardman Triangle
Redevelopment Area aimed at creating new,
value-added economic opportunities for
Minnesotans of Southeast Asian descent. This
appropriation includes, but is not limited to,
architectural and structural design of new food
processing facilities; civil engineering of storm
water, wastewater, and other utility
infrastructure systems to service new food
processing facilities; engineering, design, and
development of specifications for machinery
and equipment customarily used in the food
processing industry; and site design for the
new food processing facilities.
new text end

new text begin Subd. 13. new text end

new text begin Youth Mental Health and Wellness
Community Center
new text end

new text begin 1,200,000
new text end

new text begin (a) The following appropriations are for one
or more grants to 846s.org, a 501(c)(3)
nonprofit organization, for a youth mental
health and wellness community center to
address community youth mental health
concerns and offer academic, career, and
entrepreneurial programming for local youth
and their families. If any of these
appropriations for a specified phase is not
needed to complete that phase, the unexpended
and unencumbered amount may be applied to
another phase of the project for which an
appropriation is made in this subdivision. Each
appropriation for a phase is available when
the commissioner of management and budget
determines that an amount sufficient to
complete that phase is committed to the
project.
new text end

new text begin (b) $500,000 is appropriated for Phase 1, for
property acquisition for the youth mental
health and wellness community center.
new text end

new text begin (c) $700,000 is appropriated for Phase 2, for
site preparation for the youth mental health
and wellness community center.
new text end

new text begin (d) Minority business enterprises, as defined
under Minnesota Statutes, section 116M.14,
subdivision 5, may be prioritized for awards
of contracts for the purpose of this project.
new text end

new text begin Subd. 14. new text end

new text begin New American Center for Health
Workforce Development
new text end

new text begin 1,000,000
new text end

new text begin For a grant to the New American Center for
Health Workforce Development to renovate
the existing building located at 2220 Riverside
Avenue in Minneapolis to provide
programming and increase immigrant access
to information, services, and resources, and
establish, expand, and sustain a public health
workforce.
new text end

Sec. 4. new text beginEFFECTIVE DATE.
new text end

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

ARTICLE 4

MISCELLANEOUS

Section 1.

Minnesota Statutes 2020, section 16A.86, subdivision 2, is amended to read:


Subd. 2.

Budget request.

new text begin(a) Except as provided in paragraph (b), new text enda political subdivision
that requests an appropriation of state money for a local capital improvement project is
encouraged to submit the request to the commissioner deleted text beginof management and budgetdeleted text end by July
15 of an odd-numbered year to ensure its full consideration. The requests must be submitted
in the form and with the supporting documentation required by the commissioner deleted text beginof
management and budget
deleted text end. All requests timely received by the commissioner must be submitted
to the legislature, along with the governor's recommendations, whether or not the governor
recommends that a request be funded, by the deadline established in section 16A.11,
subdivision 1
.

new text begin (b) The commissioner, in consultation with the commissioner of corrections, must
evaluate the need of any capital improvement project that requests an appropriation of state
money to construct a jail facility or for capital improvements to expand the number of
incarcerated offenders at an existing jail facility. The commissioner shall use the regional
and county jails report submitted to the legislature on or before December 1, 2022, by the
commissioner of corrections to inform the evaluation. The commissioner must submit all
evaluations under this paragraph as part of the submission to the legislature under paragraph
(a).
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2023.
new text end

Sec. 2.

new text begin [16B.324] STATE BUILDINGS; SOLAR ENERGY GENERATION FUND.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given them.
new text end

new text begin (b) "Solar energy generation improvement" means the predesign, design, acquisition,
construction, or installation of a solar energy system for a state building that:
new text end

new text begin (1) is incorporated into the building or is a permanent fixture;
new text end

new text begin (2) has a useful life of more than ten years; and
new text end

new text begin (3) is designed to result in a demand-side net reduction in energy use by the state
building's electrical, heating, ventilating, air-conditioning, or hot water systems, which
extends the life or enhances the value of the state building.
new text end

new text begin (c) "State agency" means an agency in the executive branch of state government, but
does not include constitutional officers.
new text end

new text begin (d) "State building" means a building owned by the state of Minnesota.
new text end

new text begin Subd. 2. new text end

new text begin Establishment. new text end

new text begin A state building solar energy generation fund is established to
provide funds to state agencies for the purpose of implementing solar energy generation
improvements at state buildings.
new text end

new text begin Subd. 3. new text end

new text begin Fund management. new text end

new text begin The commissioner shall manage and administer the state
building solar energy generation fund through an office established to manage environmental
sustainability measures for state property.
new text end

new text begin Subd. 4. new text end

new text begin Applications. new text end

new text begin A state agency applying for solar energy generation improvement
funds must submit an application to the commissioner on a form, in the manner, and at the
time prescribed by the commissioner. An applicant must supply the following information:
new text end

new text begin (1) the total estimated cost of the solar energy generation improvements and the amount
sought;
new text end

new text begin (2) a description of the solar energy generation improvements;
new text end

new text begin (3) a detailed budget for the project, including all sources and uses of money;
new text end

new text begin (4) calculations sufficient to demonstrate the expected energy and monetary savings that
will result from construction and installation of the solar energy generation improvements;
new text end

new text begin (5) information demonstrating that extended life or increased value of the state building
will result from construction and installation of the solar energy generation improvements;
and
new text end

new text begin (6) any additional information requested by the commissioner.
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 2020, section 16B.325, subdivision 2, is amended to read:


Subd. 2.

Lowest possible cost; energy conservation.

The guidelines mustnew text begin:
new text end

new text begin (1)new text end focus on achieving the lowest possible lifetime costnew text begin, considering both construction
and operating costs,
new text end for new buildings and major renovationsdeleted text begin, anddeleted text endnew text begin;
new text end

new text begin (2)new text end allow for deleted text beginchanges in the guidelinesdeleted text endnew text begin revisionsnew text end that encourage continual energy
conservation improvements in new buildings and major renovationsdeleted text begin. The guidelines shalldeleted text endnew text begin;
new text end

new text begin (3)new text end define "major renovations" for purposes of this sectiondeleted text begin. The definition may not allow
"major renovations"
deleted text end to encompass new text beginnot new text endless than 10,000 square feet or deleted text beginto encompassdeleted text endnew text begin notnew text end less
than the replacement of the mechanical, ventilation, or cooling system of deleted text beginthedeleted text endnew text begin anew text end building or
a new text beginbuilding new text endsection deleted text beginof the building. The design guidelines mustdeleted text endnew text begin;
new text end

new text begin (4)new text end establish sustainability guidelines that include air quality and lighting standards and
that create and maintain a healthy environment and facilitate productivity improvements;

new text begin (5) establish resiliency guidelines to encourage design that allows buildings to adapt to
and accommodate projected climate-related changes reflected in both acute events and
chronic trends, including but not limited to changes in temperature and precipitation levels;
new text end

new text begin (6)new text end specify ways to reduce material costs; and deleted text beginmust
deleted text end

new text begin (7)new text end consider the long-term operating costs of the building, including the use of renewable
energy sources and distributed electric energy generation that uses a renewable source or
natural gas or a fuel that is as clean or cleaner than natural gas.

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 2020, section 469.53, is amended to read:


469.53 REGIONAL EXCHANGE DISTRICT PUBLIC INFRASTRUCTURE
PROJECTS.

(a) The following projects shall be eligible for state appropriation support payments
upon approval by the Duluth City Council. Costs may be reimbursed for eligible projects
that begin construction prior to September 30, 2020, but in no case may the total state
payment per project exceed the amount established in this section. Eligible projects include:

(1) deleted text begintwo levels of expansiondeleted text endnew text begin replace a skywalk connectednew text end to an existing medical district
parking ramp deleted text beginand skywalk replacementdeleted text end in an amount not to exceed deleted text begin$13,010,000deleted text endnew text begin $2,100,000new text end,
including any land acquisition;

(2) a ramp with up to 1,400 new parking stalls and a skywalk to serve medical entity
west in an amount not to exceed deleted text begin$36,400,000deleted text endnew text begin $37,900,000new text end, including any land acquisition;

(3) extension of 6th Avenue East from 2nd Street to 1st Street in an amount not to exceed
deleted text begin $5,900,000deleted text endnew text begin $6,650,000new text end, including any land acquisition;

(4) demolition of existing hospital structure for site reuse, to accomplish the purposes
in section 469.51, subdivision 2, in an amount not to exceed deleted text begin$10,000,000deleted text endnew text begin $11,829,000new text end;

(5) roadway, utility, and site improvements and capacity upgrades to support medical
entity west hospital construction in an amount not to exceed deleted text begin$11,410,000deleted text endnew text begin $18,250,000new text end;

(6) district energy connections, capacity enhancement, deleted text beginanddeleted text end a pressure pump stationnew text begin, and
district energy utility improvements outside of the district reasonably necessary and
advantageous to serve developments within the district
new text end in an amount not to exceed
$7,000,000; and

(7) a ramp with up to 400 new parking stalls to serve medical entity east in an amount
not to exceed $14,000,000.

new text begin (b) Upon notice to the commissioner of employment and economic development, any
unexpended amount for the projects described in paragraph (a), clauses (1) to (4), may fund
the project in paragraph (a), clause (5). The unexpended amounts applied to the project in
paragraph (a), clause (5), count toward the state payment limit for the project. The Duluth
City Council must submit a written plan to the commissioner of employment and economic
development to use unexpended funds in the manner under this paragraph.
new text end

deleted text begin (b)deleted text endnew text begin (c)new text end For any public infrastructure project that will not be let by the city for which state
support is sought, the project must proceed and comply with any state and local contracting
requirements otherwise applicable to the city had the city let the project. The city shall have
the right to inspect, upon reasonable notice, the construction contracts and related
documentation for any public infrastructure project for which state support is sought.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day after the governing body of the
city of Duluth and its chief clerical officer timely comply with Minnesota Statutes, section
645.021, subdivisions 2 and 3.
new text end

Sec. 5.

Laws 2009, chapter 93, article 1, section 14, subdivision 3, as amended by Laws
2011, First Special Session chapter 12, section 37, and Laws 2018, chapter 214, article 2,
section 23, is amended to read:


Subd. 3.

Veterans Cemeteries

1,500,000

Of this amount, up to $500,000 is to acquire
land located in southeastern, southwestern,
and northeastern Minnesota for publicly
owned veterans cemeteries, to be operated by
the commissioner of veterans affairs. The
commissioner also must seek donations of
land for the cemeteries. The balance of the
appropriation is to predesign deleted text beginanddeleted text endnew text begin,new text end designnew text begin,
construct, and equip
new text end the cemeteries. Federal
reimbursement of designnew text begin, construction, and
equipping
new text end costs for each cemetery must be
deposited in the state treasury and is
appropriated to the commissioner of veterans
affairs to designnew text begin, construct, and equipnew text end the
remaining cemeteries. Following completion
deleted text begin of designdeleted text end of the legislatively authorized
Minnesota state veterans cemeteries in
Redwood, St. Louis, and Fillmore Counties,
final federal reimbursement of predesign deleted text beginanddeleted text endnew text begin,new text end
designnew text begin, construction, and equippingnew text end costs is
appropriated to the commissioner for asset
preservation of veterans homes statewide, to
be spent in accordance with Minnesota
Statutes, section 16B.307. Federal
reimbursement may be sought for each
cemetery and must be spent to acquire land
for, to predesign deleted text beginanddeleted text endnew text begin,new text end designnew text begin, construct, and
equip
new text end additional cemeteries, or for asset
preservation as provided in this subdivision.
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for this project
are available until December 31, deleted text begin2022deleted text endnew text begin 2024new 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. 6.

Laws 2014, chapter 294, article 1, section 21, subdivision 21, is amended to read:


Subd. 21.

Thief River Falls Airport - Public
Infrastructure

650,000

For a grant to the Thief River Falls Airport
Authority to predesign, design, engineer, and
construct infrastructure to transfer wastewater
from the Thief River Falls Regional Airport
to the city wastewater collection and treatment
system, and to eliminate the airport wastewater
treatment pond located on airport property.
deleted text begin This appropriation is not available until the
commissioner of management and budget has
determined that at least $153,360 has been
committed to the
deleted text endnew text begin At least 20 percent of the
total cost of the
new text end project new text beginmust be committed
new text end from nonstate sources.

new text begin EFFECTIVE DATE. new text end

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

Sec. 7.

Laws 2014, chapter 294, article 1, section 21, subdivision 23, as amended by Laws
2015, First Special Session chapter 5, article 3, section 23, is amended to read:


Subd. 23.

Virginia - Highway 53 Utilities
Relocation

19,500,000

(a) $500,000 of this appropriation is for a grant
to the city of Virginia Public Utilities
Commission to acquire land, predesign,
design, construct, furnish, and equip an
electrical substation along or within six miles
of the relocated U.S. Highway 53 in Virginia
as part of relocating the electrical utilities. This
appropriation fully funds the project described
in this paragraph and meets the requirements
in Minnesota Statutes, section 16A.502, that
the project be fully funded. This appropriation
does not require a nonstate match.

(b) $19,000,000 of this appropriation is for:

(1) a grant to the city of Virginia Public
Utilities Commission to acquire land,
predesign, design, construct, furnish, and
equip relocated water, electrical, and gas
utilities along or within six miles of the
relocated U.S. Highway 53 in Virginia,
Eveleth, Gilbert, and Fayal Township;

(2) a grant to the city of Virginia to acquire
land, predesign, construct, furnish, and equip
relocated storm water and sanitary sewer along
or within six miles of the relocated U.S.
Highway 53 in Virginia, Eveleth, Gilbert, and
Fayal Township; deleted text beginand
deleted text end

(3) a grant to the St. Louis and Lake Counties
Regional Railroad Authority to acquire land,
predesign, design, construct, furnish, and
equip trails to handle bicycles, pedestrians,
snowmobiles, and ATVs along or within six
miles of the relocated U.S. Highway 53 in
Virginia, Eveleth, Gilbert, and Fayal
Township. This appropriation does not require
a nonstate matchnew text begin; and
new text end

new text begin (4) any amount of this appropriation that is
unspent after substantial completion of the
work described in clauses (1), (2), and (3),
may be used for a grant to the St. Louis and
Lake Counties Regional Railroad for
construction of a segment of the Mesabi Trail
extending from the eastern end of the Mesabi
Trail in Biwabik at the intersection of State
Highway 135 and St. Louis County Road 20
to the intersection of County Road 20 and First
Street South in the city of McKinley.
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond sale proceeds for this
project are available until December 31, 2022
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. 8.

Laws 2014, chapter 294, article 1, section 22, subdivision 5, as amended by Laws
2018, chapter 214, article 2, section 27, is amended to read:


Subd. 5.

City of Rice Lake - Water Main
Replacementnew text begin and Extension
new text end

1,168,000

For a grant to the city of Rice Lake to design
and construct a replacement water main and
related public infrastructure on East Calvary
Road and Kolstad, Austin, Milwaukee,
Mather, and Chicago Avenues in the city of
Rice Lake. deleted text beginThis appropriation is not available
until the commissioner of management and
budget determines that at least an equal
amount is committed to the project from
nonstate sources.
deleted text end new text beginAny amount remaining after
completion of the project may be used to
predesign, design, construct, furnish, and
equip a municipal utility extension from
Howard Gnesen Road to Martin Road in the
city of Rice Lake.
new text endThis appropriation is
available until December 31, deleted text begin2020deleted text endnew text begin 2022new text end.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment, except
that the extension of time for availability of the appropriation is effective retroactively from
December 30, 2020.
new text end

Sec. 9.

Laws 2017, First Special Session chapter 8, article 1, section 7, subdivision 2, is
amended to read:


Subd. 2.

St. Louis River Cleanup

25,410,000

To design and implement contaminated
sediment management actions identified in
the St. Louis River remedial action plan to
restore water quality in the St. Louis River
Area of Concern.new text begin Notwithstanding Minnesota
Statutes, section 16A.642, the bond
authorization and appropriation of bond
proceeds for this project are available until
December 31, 2023.
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. 10.

Laws 2017, First Special Session chapter 8, article 1, section 15, subdivision 3,
as amended by Laws 2018, chapter 214, article 2, section 33, and Laws 2020, Fifth Special
Session chapter 3, article 5, section 24, is amended to read:


Subd. 3.

Local Road Improvement Fund Grants

115,932,000

(a) From the bond proceeds account in the
state transportation fund as provided in
Minnesota Statutes, section 174.50, for trunk
highway corridor projects under Minnesota
Statutes, section 174.52, subdivision 2, for
construction and reconstruction of local roads
with statewide or regional significance under
Minnesota Statutes, section 174.52,
subdivision 4
, or for grants to counties to assist
in paying the costs of rural road safety capital
improvement projects on county state-aid
highways under Minnesota Statutes, section
174.52, subdivision 4a.

(b) Of this amount, $9,000,000 is for a grant
to Anoka County to design, acquire land for,
engineer, and construct improvements to,
including the realignment of County State-Aid
Highway 23 (Lake Drive), County State-Aid
Highway 54 (West Freeway Drive), West
Freeway Drive, and to Hornsby Street in the
city of Columbus to support the overall
interchange project. Notwithstanding
Minnesota Statutes, section 16A.642, the bond
sale authorization and appropriation of bond
proceeds for the project in this paragraph are
available until December 31, 2024.

(c) Of this amount, $3,246,000 is for a grant
to the city of Blaine to predesign, design, and
reconstruct 105th Avenue in the vicinity of
the National Sports Center in Blaine. The
reconstruction will include changing the street
from five lanes to four lanes with median, turn
lanes, sidewalk, trail, landscaping, lighting,
and consolidation of access driveways. This
appropriation is not available until the
commissioner of management and budget
determines that at least $3,000,000 is
committed to the project from sources
available to the city, including municipal state
aid and county turnback funds.

(d) Of this amount, $25,000,000 is for a grant
to Hennepin County, the city of Minneapolis,
or both, for design, right-of-way acquisition,
engineering, and construction of public
improvements related to the Interstate
Highway 35W and Lake Street access project
and related improvements within the Interstate
Highway 35W corridor, notwithstanding any
provision of Minnesota Statutes, section
174.52, or rule to the contrary. This
appropriation is not available until the
commissioner of management and budget
determines that an amount sufficient to
complete this portion of the Interstate
Highway 35W and Lake Street access project
has been committed to this portion of the
project.

(e) Of this amount, $10,500,000 is for a grant
to Carver County for environmental analysis
and to acquire right-of-way access, predesign,
design, engineer, and construct an interchange
at marked Trunk Highway 212 and Carver
County Road 44 in the city of Chaska,
including a new bridge and ramps, to support
the development of approximately 400 acres
of property in the city of Chaska's
comprehensive plan.

(f) Of this amount, $700,000 is for a grant to
Redwood County for improvements to Nobles
Avenue, including paving, as the main access
road to a new State Veterans Cemetery to be
located in Paxton Township.

(g) Of this amount, $1,000,000 is for a grant
to deleted text beginthe town of Appleton indeleted text end Swift County for
deleted text begin upgrades to an existing township road to
provide for a paved, ten-ton capacity township
road extending between marked Trunk
Highways 7 and 119
deleted text endnew text begin preliminary and final
design, engineering, and reconstruction of a
segment of County State-Aid Highway 6
between marked Trunk Highway 7 and County
State-Aid Highway 17 to provide for a ten-ton
paved roadway
new text end.new text begin Notwithstanding Minnesota
Statutes, section 16A.642, the bond sale
authorization and appropriation of bond
proceeds for this project are available until
December 31, 2025.
new text end

(h) Of this amount, $20,500,000 is for a grant
to Ramsey County for preliminary and final
design, right-of-way acquisition, engineering,
contract administration, and construction of
public improvements related to the
construction of the interchange of marked
Interstate Highway 694 and Rice Street,
Ramsey County State-Aid Highway 49, in
Ramsey County.

(i) Of this amount, $11,300,000 is for a grant
to Hennepin County for preliminary and final
design, engineering, environmental analysis,
right-of-way acquisition, construction, and
reconstruction of local roads related to the (1)
realignment at the intersections of marked U.S.
Highway 12 with Hennepin County State-Aid
Highway 92; (2) realignment and safety
improvements at the intersection of marked
U.S. Highway 12 with Hennepin County
State-Aid Highway 90; and (3) safety median
improvements from the interchange with
Wayzata Boulevard in Wayzata to
approximately one-half mile east of the
interchange of marked U.S. Highway 12 with
Hennepin County State-Aid Highway 6.

(j) Of this amount, $1,000,000 is for a grant
to the city of Inver Grove Heights for
preliminary design, design, engineering, and
reconstruction of Broderick Boulevard
between 80th Street and Concord Boulevard
abutting Trunk Highway 52 and Inver Hills
Community College in Inver Grove Heights.
The project includes replacement or renovation
of public infrastructure, including water lines,
sanitary sewers, storm water sewers, and other
public utilities. This appropriation does not
require a nonstate contribution.

(k) Of this amount, $2,350,000 is for a grant
to McLeod County to acquire land or interests
in land and to design and construct a new
urban street extension of County State-Aid
Highway (CSAH) 15, including railroad
crossing, storm water, and drainage
improvements.

(l) Of this amount, $6,000,000 is for a grant
to the city of Baxter for 50 percent of total
project cost for the acquisition of land or
interests in land, environmental analysis and
environmental cleanup, predesign, design,
engineering, and construction of improvements
to Cypress Drive, including expansion to a
four-lane divided urban roadway, between
Excelsior Road and College Road.

new text begin EFFECTIVE DATE. new text end

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

Sec. 11.

Laws 2017, First Special Session chapter 8, article 1, section 20, subdivision 14,
is amended to read:


Subd. 14.

Minneapolis - Pioneers and Soldiers
Cemetery Restoration

1,029,000

For a grant to the city of Minneapolis to
restore the historic steel and limestone pillar
fence along Cedar Avenue and Lake Street,
deleted text begin install a new steel fence and pillars along 21st
Avenue South,
deleted text end and install a waterproofing
system for preservation of the fence and
pillars, at the Pioneer and Soldiers Cemetery.
This appropriation does not require a nonstate
contribution.

new text begin EFFECTIVE DATE. new text end

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

Sec. 12.

Laws 2018, chapter 214, article 1, section 16, subdivision 2, as amended by Laws
2019, chapter 2, article 2, section 2, is amended to read:


Subd. 2.

Local Road Improvement Fund Grants

78,600,000

(a) From the bond proceeds account in the
state transportation fund as provided in
Minnesota Statutes, section 174.50, for trunk
highway corridor projects under Minnesota
Statutes, section 174.52, subdivision 2, for
construction and reconstruction of local roads
with statewide or regional significance under
Minnesota Statutes, section 174.52,
subdivision 4
, or for grants to counties to assist
in paying the costs of rural road safety capital
improvement projects on county state-aid
highways under Minnesota Statutes, section
174.52, subdivision 4a.

(b) Of this amount, $13,500,000 is for a grant
to the city of Dayton for design, engineering,
environmental analysis, property and easement
acquisition, construction, and reconstruction
of local roads in conjunction with an
interchange on marked Interstate Highway 94
near Hennepin County State-Aid Highway
101, known as Brockton Lane, in Dayton.

(c) Of this amount, $6,100,000 is for deleted text begina grantdeleted text endnew text begin
one or more grants
new text end to new text beginDakota County, new text endthe city
of Inver Grove Heightsnew text begin, or bothnew text end to predesign,
design, engineer, acquire right-of-way
property and temporary and permanent
easements, inspect, and construct or
reconstruct: (1) realignment of Dakota County
State-Aid Highway 63, known as Argenta
Trail, in Inver Grove Heights, from northerly
of its intersection with Amana Trail to the
anticipated future alignment of 65th Street,
then west to the existing Argenta Trail
alignment, and in anticipation of the
development of an interchange of Argenta
Trail and marked Interstate Highway 494; and
(2) expansion from two lanes to four lanes of
Dakota County State-Aid Highway 26, known
as 70th Street West, in Inver Grove Heights,
from the border with Eagan through the
intersection with Argenta Trail as realigned,
to the intersection of Highway 26 with Trunk
Highway 3, known as Robert Street.

(d) Of this amount, $9,000,000 is for a grant
to Carver County following a jurisdictional
transfer to Carver County of the affected
segment of marked Trunk Highway 101. The
appropriation may be used for design,
right-of-way acquisition, engineering, and
reconstruction of the segment transferred to
the county that is between Pioneer Trail and
Flying Cloud Drive, including grade
separation of a multipurpose pedestrian and
bicycle trail from the segment for the
Minnesota River Bluffs Regional Trail and a
regional trail along marked Trunk Highway
101.

new text begin EFFECTIVE DATE. new text end

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

Sec. 13.

Laws 2018, chapter 214, article 1, section 17, subdivision 6, is amended to read:


Subd. 6.

St. Paul - Nature Sanctuary Visitor
Center

3,000,000

For a grant to the city of St. Paul to predesign,
design, construct, furnish, and equip a visitor
and interpretive center in the Bruce Vento
Nature Sanctuary in St. Paul for programs that
the city determines meet regional and city park
purpose requirements. The city may enter into
a lease or management agreement under
Minnesota Statutes, section 16A.695, to
operate the programs in the center.new text begin
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for the project
in this subdivision are available until
December 31, 2024.
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. 14.

Laws 2018, chapter 214, article 1, section 18, subdivision 3, is amended to read:


Subd. 3.

St. Peter Regional Treatment Center
Campus - Dietary Building HVAC and Electrical
Replacement

2,200,000

To predesign, design, engineer, and renovate
the mechanical and electrical systems in the
Dietary Building on the St. Peter Regional
Treatment Center campus, including: the
upgrade, replacement, and improvement of
existing heating and ventilation equipment;
installation of air-conditioning equipment;
replacement of the building's outdated and
undersized electrical system; design and
abatement of asbestos and hazardous
materials; and structural, site, and utility work
necessary to support the project.

new text begin Upon substantial completion of this project,
any unspent portion of this appropriation
remaining, after written notice to the
commissioner of management and budget, is
available for asset preservation under
Minnesota Statutes, section 16B.307.
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. 15.

Laws 2018, chapter 214, article 1, section 18, subdivision 4, is amended to read:


Subd. 4.

Anoka Metro Regional Treatment
Center - Roof and HVAC Replacement

6,550,000

To predesign, design, engineer, construct, and
equip improvements on the Anoka Metro
Regional Treatment Center campus, including
but not limited to design and abatement of
asbestos and hazardous materials, replacement
of roofs on residential units, installation of
metal wall cladding on the mechanical
penthouses, installation of new heating,
ventilation, and air conditioning systems, fire
sprinkler systems, electrical lighting systems
in the Miller Building, and installation of a
new heating system in the warehouse building.

new text begin Upon substantial completion of this project,
any unspent portion of this appropriation
remaining, after written notice to the
commissioner of management and budget, is
available for asset preservation under
Minnesota Statutes, section 16B.307.
Notwithstanding Minnesota Statutes, section
16.642, the bond sale authorization and
appropriation of bond proceeds in this
subdivision are available until December 31,
2023.
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. 16.

Laws 2018, chapter 214, article 1, section 21, subdivision 16, is amended to read:


Subd. 16.

Minneapolis - Upper Harbor Terminal
Redevelopment

15,000,000

For a grant to the city of Minneapolis, the
Minneapolis Park and Recreation Board, or
both, for predesign, design, and construction
work for site preparation and for park and
public infrastructure improvements to support
an initial phase of redevelopment of the Upper
Harbor Terminal on the Mississippi River; a
site that was rendered inoperable for barging
by the federal closure of the Upper St.
Anthony Falls Lock.new text begin Notwithstanding
Minnesota Statutes, section 16A.642, the bond
sale authorization and appropriation of bond
proceeds in this subdivision are available until
December 31, 2024.
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. 17.

Laws 2018, chapter 214, article 1, section 22, subdivision 6, is amended to read:


Subd. 6.

Aurora; Hoyt Lakes; Biwabik; and
White Township - Drinking Water System

2,500,000

For a grant to the city of Aurora to acquire
landnew text begin, acquire a long-term lease,new text end or a permanent
interest in land, design, engineer, construct,
furnish, and equip a comprehensive
municipally owned cooperative joint drinking
water system deleted text beginindeleted text endnew text begin fornew text end the deleted text begincitiesdeleted text endnew text begin citynew text end of Auroradeleted text begin,
Hoyt Lakes, and Biwabik, and White
Township, including a water intake and
treatment plant located in White Township
deleted text endnew text begin
and the Town of White and designed for the
future use of other cities, including Biwabik
and Hoyt Lakes
new text end.new text begin Notwithstanding Minnesota
Statutes, section 16A.642, the bond sale
authorization and appropriation of bond
proceeds for this project are available until
December 31, 2024.
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. 18.

Laws 2019, chapter 2, article 1, section 2, subdivision 5, is amended to read:


Subd. 5.

South St. Paul - Seidl's Lake

781,000

For a grant to the city of South St. Paul for
capital improvements to improve the water
quality of Seidl's Lake. The capital
improvements include design, engineering,
construction, and equipping of a storm water
lift station to discharge excess storm water
into the city of South St. Paul's storm sewer
system to minimize the fluctuating water
levels of the lake. This project may be
implemented jointly by the cities of South St.
Paul, Inver Grove Heights, and West St. Paul.new text begin
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for the project
in this subdivision are available until
December 31, 2024.
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. 19.

Laws 2020, Fifth Special Session chapter 3, article 1, section 7, subdivision 3, is
amended to read:


Subd. 3.

Flood Hazard Mitigation

17,000,000

(a) For the state share of flood hazard
mitigation grants for publicly owned capital
improvements to prevent or alleviate flood
damage under Minnesota Statutes, section
103F.161.

(b) To the extent practical, levee projects shall
meet the state standard of three feet above the
100-year flood elevation.

(c) Project priorities shall be determined by
the commissioner as appropriate, based on
need and consideration of available leveraging
of federal, state, and local funds.

(d) This appropriation may be used for projects
in the following municipalities: Afton, Austin,
Breckenridge, Browns Valley, Carver, Delano,
Faribault, Golden Valley, Halstad, Hawley,
Hendrum, Inver Grove Heights, Jordan,
Montevideo, Moorhead, Newfolden,
Nielsville, Owatonna, Round Lake Township
in Jackson County, Sioux Valley Township
in Jackson County, and Waseca.

(e) This appropriation also may be used for
projects in the following watershed districts:
Bois de Sioux Watershed District, Buffalo-Red
River Watershed District, Cedar River
Watershed District;Lower Minnesota River
Watershed District, Middle Snake Tamarac
Rivers Watershed District, Prior Lake-Spring
Lake Watershed District, Red Lake Watershed
District, Roseau River Watershed District,
Shell Rock River Watershed District, Two
Rivers Watershed District, Upper Minnesota
River Watershed District, and Wild Rice River
Watershed District.

(f) This appropriation may also be used for a
project in the Southern Minnesota Rivers
Basin Area II.

(g) For any project listed in this subdivision
that the commissioner determines is not ready
to proceed, does not have the nonstate match
committed, or does not expend all the money
granted to it, the commissioner may allocate
that project's unexpended money to a priority
project on the commissioner's list.

(h) Notwithstanding paragraph (c), $2,000,000
of this appropriation is for flood hazard
mitigation for the Toelle Coulee in deleted text beginthe city of
Browns Valley
deleted text endnew text begin Traverse Countynew text end.

(i) To the extent practicable and consistent
with the project, recipients of appropriations
for flood control projects in this subdivision
shall create wetlands that are eligible for
wetland replacement credit to replace wetlands
drained or filled as the result of repair,
reconstruction, replacement, or rehabilitation
of an existing public road under Minnesota
Statutes, section 103G.222, subdivision 1,
paragraphs (l) and (m).

(j) To the extent that the cost of a project
exceeds two percent of the median household
income in a municipality or township
multiplied by the number of households in the
municipality or township, this appropriation
is also for the local share of the project.

new text begin EFFECTIVE DATE. new text end

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

Sec. 20.

Laws 2020, Fifth Special Session chapter 3, article 1, section 7, subdivision 18,
is amended to read:


Subd. 18.

Lake City; Ohuta Beach Breakwater

1,058,000

For a grant to the city of Lake City to designnew text begin,
engineer,
new text end and construct a breakwater at Ohuta
Beach in Lake City at Ohuta Park.

new text begin EFFECTIVE DATE. new text end

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

Sec. 21.

Laws 2020, Fifth Special Session chapter 3, article 1, section 13, subdivision 5,
is amended to read:


Subd. 5.

Construction and Renovation of Public
Skate Parks

250,000

For grants under Minnesota Statutes, section
240A.20, subdivision 2, clause (2), deleted text beginfor design
of
deleted text endnew text begin to predesign, design, construct, furnish, and
equip
new text end skate parks deleted text beginfromdeleted text endnew text begin. Design work must be
by
new text end designers with expertise in the field of skate
park design.new text begin Construction must be of a skate
park designed by designers with expertise in
the field of skate park design.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from October 21, 2020.
new text end

Sec. 22.

Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 5,
is amended to read:


Subd. 5.

Anoka County; Marked Trunk
Highway 65 Interchange

1,500,000

From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Anoka
County to complete new text beginenvironmental analysis
of local road intersections and associated
improvements along marked Trunk Highway
65 from north of 93rd Avenue to north of
117th Avenue,
new text endpreliminary engineering,
environmental analysis, and final design of a
grade separation and associated improvements
to Anoka County State-Aid Highway 12,
known as 109th Avenue, at marked Trunk
Highway 65 in the city of Blaine.

new text begin EFFECTIVE DATE. new text end

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

Sec. 23.

Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 7,
is amended to read:


Subd. 7.

Golden Valley; Douglas Drive and
Highway 55

6,500,000

From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Golden Valley to deleted text beginconstructdeleted text endnew text begin perform
preliminary and final design engineering,
environmental analysis, acquisition of
permanent easements and right-of-way,
reconstruction, and construction engineering
of local roads related to construction of
new text end public
safety improvements atnew text begin, and within a 600 foot
radius of,
new text end the intersection of Douglas Drive
and Highway 55, including a box culvert
underpass across Highway 55, a roundabout
and extended frontage road south of Highway
55, retaining wall construction, underground
utility relocation, sidewalk and trail
connections to existing facilities, Americans
with Disabilities Act-compliant facilities, and
landscaping.

new text begin EFFECTIVE DATE. new text end

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

Sec. 24.

Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 15,
is amended to read:


Subd. 15.

deleted text beginScott County;deleted text end Highway 13 new text beginInterchange
at Marked Intersections of Dakota
new text endand Yosemite
deleted text begin Interchangedeleted text endnew text begin Avenues
new text end

$5,269,000

From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, deleted text beginfor a grant to Scott
County for
deleted text endnew text begin tonew text end design, new text beginprovide new text endconstruction
engineering, and deleted text beginconstruction ofdeleted text endnew text begin constructnew text end
local road improvements, including
accommodations for bicycles and pedestriansnew text begin
and public utility relocations
new text end, to support a
programmed interchange at the intersection
of marked Trunk Highway 13 deleted text beginanddeleted text endnew text begin atnew text end Dakota
deleted text begin Avenuedeleted text endnew text begin and Yosemite Avenuesnew text end in Savage.

new text begin EFFECTIVE DATE. new text end

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

Sec. 25.

Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 16,
is amended to read:


Subd. 16.

Sherburne County; Zimmerman
Interchange Project

2,000,000

From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to
Sherburne County for environmental analysis,
preliminary engineering, and final design of
deleted text begin the local road portions ofdeleted text end the proposed
interchange project new text beginand local road portions new text endat
marked U.S. Highway 169 and Sherburne
County State-Aid Highway 4 in Zimmerman.
Any money remaining upon completion of the
design process may be used to acquire
right-of-way needed for the local road portions
of the interchange project.

new text begin EFFECTIVE DATE. new text end

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

Sec. 26.

Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 36,
is amended to read:


Subd. 36.

Olmsted County; Trunk Highway 14
and County Road 104 Interchange Construction

6,000,000

For new text begina grant to Olmsted County for the county's
share of
new text endgeneral obligation bond eligible
portions of a project to new text beginconduct environmental
analysis,
new text endpredesign, design, new text beginand new text endengineerdeleted text begin,
construct, furnish, and equip
deleted text end an interchange
at marked Trunk Highway 14 and County
Road 104, including a flyover at 7th Street
NW, in deleted text beginOlmsteaddeleted text endnew text begin Olmstednew text end County, and
associated infrastructure and road work to
accommodate the interchange.new text begin Any amount
remaining after substantial completion of
environmental analysis, predesign, design, and
engineering work may be applied to the
county's share to acquire right-of-way for, and
to construct, furnish, and equip, this
interchange and associated infrastructure and
road work to accommodate the interchange.
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. 27.

Laws 2020, Fifth Special Session chapter 3, article 1, section 20, subdivision 5,
is amended to read:


Subd. 5.

Minnesota Correctional Facility - St.
Cloud

800,000

To design, renovate, construct, equip, and
install a new fire suppression system in Living
Units deleted text beginA, B, and Cdeleted text end new text beginD and E new text endat the Minnesota
Correctional Facility - St. Cloud. This
installation includes but is not limited to cells,
common areas, and control areas and must
comply with all applicable codes.

new text begin EFFECTIVE DATE. new text end

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

Sec. 28.

Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 14,
is amended to read:


Subd. 14.

Crookston; Colborn Property
Development

895,000

For a grant to the city of Crookston for
development of the southern end of the city
limits commonly known as the Colborn
Property. This appropriation includes money
for construction of roads and storm water
infrastructure, for new text begindesign and new text endsite preparation,
and for other improvements of publicly owned
infrastructure.

new text begin EFFECTIVE DATE. new text end

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

Sec. 29.

Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 20,
is amended to read:


Subd. 20.

Fergus Falls; Riverfront Corridor

1,750,000

For a grant to the city of Fergus Falls for
construction of a downtown riverfront corridor
improvement project including deleted text beginan
amphitheater,
deleted text endnew text begin anew text end river market, public arts space,
interactive water components, and related
publicly owned infrastructure and amenities.

new text begin EFFECTIVE DATE. new text end

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

Sec. 30.

Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 23,
is amended to read:


Subd. 23.

Hennepin County; Avivo

1,700,000

For a grant to Hennepin County for Phase 1
of the Avivo regional career and employment
center project in Minneapolis, subject to
Minnesota Statutes, section 16A.695. Phase
1 includes geotechnical and environmental
investigationdeleted text begin, demolition, and site workdeleted text end;
predesign and design of the renovation and
expansion of a building; and predesign and
design for the replacement of or improvements
to building systems on the Avivo campus,
including HVAC, mechanical, electrical, and
accessibility improvements. new text beginUpon substantial
completion of Phase I, any unspent portion of
this appropriation remaining, after written
notice to the commissioner of management
and budget, is available for renovation or
construction.
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. 31.

Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 37,
is amended to read:


Subd. 37.

St. Joseph; Jacob Wetterling
Recreation Center

4,000,000

For a grant to the city of St. Joseph to
new text begin predesign, new text enddesign, construct, furnish, and
equip a recreation center deleted text beginas an addition to the
former school building purchased by the city
to be repurposed as a
deleted text endnew text begin adjacent to and
connected to the city's new
new text end community center.new text begin
The city may enter into a lease or management
agreement for operation of recreation
programs, subject to Minnesota Statutes,
section 16A.695.
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. 32.

Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 44,
is amended to read:


Subd. 44.

Wadena; Access Road

1,300,000

For deleted text begina grantdeleted text endnew text begin one or more grantsnew text end to deleted text beginthe city ofdeleted text end
Wadena new text beginCounty, Otter Tail County, or both,
new text end to acquire a permanent easement for and to
predesign, design, engineer, and construct an
access road just northeast of 11th Street
Northwest in Wadena, going from marked
Trunk Highway 10 to the new hospital
complex.

new text begin EFFECTIVE DATE. new text end

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

Sec. 33.

Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 47,
is amended to read:


Subd. 47.

Willernie; deleted text beginPublic Infrastructuredeleted text endnew text begin
Maintenance Building
new text end

160,000

For a grant to the city of Willernie to deleted text beginreplace
the roof of the city hall, and, if any money is
remaining, for capital improvements in
conjunction with the Washington County road
12 project, including replacing and extending
the sidewalk, replacement of a water main,
and moving or removing a retaining wall
deleted text endnew text begin
demolish a maintenance building and to
design, engineer, construct, and equip a new
maintenance building
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. 34.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 6,
is amended to read:


Subd. 6.

Arden Hills; Water Main

500,000

For a grant to the city of Arden Hills to new text beginacquire
permanent easements for and to engineer and
new text end install a water main extending along Lexington
Avenue, from County Road E to marked
Interstate Highway 694.

new text begin EFFECTIVE DATE. new text end

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

Sec. 35.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 8,
is amended to read:


Subd. 8.

Austin; Wastewater Treatment Plant

7,450,000

For a grant to the city of Austin deleted text begintodeleted text endnew text begin for
predesign,
new text end designnew text begin,new text end and deleted text beginengineerdeleted text endnew text begin engineeringnew text end
improvements for upgrades to the city's
wastewater treatment facility.new text begin Any balance of
funds may be utilized for the construction of
the wastewater treatment facility in subsequent
phases.
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. 36.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 18,
is amended to read:


Subd. 18.

Mahnomen; Water Infrastructure

650,000

For a grant deleted text beginunder Minnesota Statutes, section
446A.07,
deleted text end to the city of Mahnomen deleted text beginfordeleted text end new text beginto
construct
new text endimprovements to the city's deleted text beginwaterdeleted text end
new text begin wastewater new text endinfrastructure. deleted text beginThis grant is not
subject to the project priority list set forth in
Minnesota Statutes, section 446A.07,
subdivision 4
.
deleted 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. 37.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 19,
is amended to read:


Subd. 19.

Mahnomen; Drinking Water
Infrastructure

1,250,000

For a grant deleted text beginunder Minnesota Statutes, section
446A.081,
deleted text end to the city of Mahnomen deleted text beginfordeleted text end new text beginto
construct improvements to
new text endthe city's drinking
water infrastructure. deleted text beginThis grant is not subject
to the project priority list set forth in
Minnesota Statutes, section 446A.081,
subdivision 5
.
deleted 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. 38.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 21,
is amended to read:


Subd. 21.

Mendota; Water Infrastructure

650,000

For a grant to the city of Mendota to
predesign, design, engineer, and construct deleted text beginthe
extension of
deleted text end new text beginimprovements to new text endthe water deleted text beginmain
throughout the city of Mendota to allow
residents to connect with the Saint Paul
Regional Water Services
deleted text end new text begindistribution new text endsystem.

new text begin EFFECTIVE DATE. new text end

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

Sec. 39.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 23,
is amended to read:


Subd. 23.

Oronoco; Regional Wastewater System
Infrastructure Grant

24,027,000

(a) Of this amount, $1,350,000 is for a grant
to the city of Oronoco to acquire land and
easements, design, and engineer a wastewater
collection, conveyance, and treatment system
and associated water distribution
improvements to serve the city of Oronoco
and the region including the Oronoco Estates
Manufactured Home Community. Any amount
remaining after completion of design,
engineering, and acquisition may be applied
to the purposes described in deleted text beginsubdivision 2deleted text endnew text begin
paragraph (b)
new text end.

(b) Of this amount, $22,677,000 is for a grant
to the city of Oronoco to construct and provide
construction-related engineering for a
wastewater collection, conveyance, and
treatment system and associated water
distribution improvements to serve the city of
Oronoco and the region including the Oronoco
Estates Manufactured Home Community.

new text begin EFFECTIVE DATE. new text end

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

Sec. 40.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 28,
is amended to read:


Subd. 28.

South Haven; Wells

1,700,000

For a grant to the city of South Haven to
acquire land, predesign, design, construct,
furnish, and equip two new wellsnew text begin, including
a well house, water main, and other related
drinking water improvements,
new text end in Wright
County.

new text begin EFFECTIVE DATE. new text end

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

Sec. 41.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 30,
is amended to read:


Subd. 30.

Spring Park; City Utilities

1,500,000

For a grant to the city of Spring Park for
improvements to the city's water and sewer
system new text beginand the adjacent roadway West Arm
Drive West
new text endin the northwest area of the city
deleted text begin on West Arm Drivedeleted 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. 42.

Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 33,
is amended to read:


Subd. 33.

Vernon Center; Water Infrastructure
Improvements

7,984,000

For a grant to the city of Vernon Center to
predesign, design, construct, furnish, and
equip water deleted text begininfrastructure improvements,
including refurbishing a water tower,
deleted text end and
deleted text begin replacement ofdeleted text end wastewater deleted text begincollectiondeleted text endnew text begin
treatment facilities
new text end, water distribution deleted text beginsystemsdeleted text end,
deleted text begin stormdeleted text endnew text begin sanitarynew text end sewer deleted text beginsystem improvementsdeleted text endnew text begin
and storm water collection systems
new text end, and
related local road improvements.

new text begin EFFECTIVE DATE. new text end

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

Sec. 43.

Laws 2020, Fifth Special Session chapter 3, article 2, section 2, subdivision 2, is
amended to read:


Subd. 2.

Railroad Grade Separations

110,000,000

From the bond proceeds account in the trunk
highway fund deleted text beginto constructdeleted text endnew text begin for environmental
analysis, predesign, design and engineering,
and construction of
new text end rail safety projects atnew text begin trunknew text end
highway-railroad grade crossings deleted text beginin
accordance with Minnesota Statutes, section
219.016
deleted text endnew text begin as identified in the Department of
Transportation's crude by rail grade crossing
study (Improvements to Highway Grade
Crossings and Rail Safety, December 2014
and revised in 2019)
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. 44.

Laws 2020, Fifth Special Session chapter 3, article 2, section 2, subdivision 4, is
amended to read:


Subd. 4.

Flood Mitigation

23,000,000

From the bond proceeds account in the trunk
highway fund fornew text begin environmental analysis,
predesign, design, engineering, and
new text end
reconstruction of trunk highways that
experience frequent flooding in Sibley County
and Le Sueur County, to modify the elevation
of the roadways and reduce closures due to
river flooding, for portions of the projects that
are eligible for trunk highway bond proceeds.

new text begin EFFECTIVE DATE. new text end

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

Sec. 45. new text beginREGIONAL AND COUNTY JAILS; STUDY AND REPORT.
new text end

new text begin Subdivision 1. new text end

new text begin Study. new text end

new text begin The commissioner of corrections must study and make
recommendations on the consolidation or merger of county jails and alternatives to
incarceration for persons experiencing mental health disorders. The commissioner must
engage and solicit feedback from citizens who live in communities served by facilities that
may be impacted by the commissioner's recommendations for the consolidation or merger
of jails. The commissioner must consult with the following individuals on the study and
recommendations:
new text end

new text begin (1) county sheriffs;
new text end

new text begin (2) county and city attorneys that prosecute offenders;
new text end

new text begin (3) chief law enforcement officers;
new text end

new text begin (4) county boards, administrators of county jail facilities, and county human service
directors in counties implementing co-response models for certain law enforcement or other
first responders; and
new text end

new text begin (5) district court administrators.
new text end

new text begin Each party receiving a request for information from the commissioner under this section
shall provide the requested information in a timely manner. If a party fails to provide the
requested information within 30 days of the date the information is due, the party must
submit a written explanation to the commissioner as to why the information was not timely
submitted and the date by which the information will be provided.
new text end

new text begin Subd. 2. new text end

new text begin Report. new text end

new text begin The commissioner of corrections must file a report with the chairs and
ranking minority members of the senate and house of representatives committees and
divisions with jurisdiction over public safety and capital investment on the study and
recommendations under subdivision 1 on or before December 1, 2022. This is a onetime
report. The report must, at a minimum, provide the following information:
new text end

new text begin (1) the daily average number of offenders incarcerated in each county jail facility:
new text end

new text begin (i) that are in pretrial detention;
new text end

new text begin (ii) that cannot afford to pay bail;
new text end

new text begin (iii) for failure to pay fines and fees;
new text end

new text begin (iv) for offenses that stem from controlled substance addiction or mental health disorders;
new text end

new text begin (v) for nonfelony offenses;
new text end

new text begin (vi) that are detained pursuant to contracts with other authorities; and
new text end

new text begin (vii) for supervised release and probation violations;
new text end

new text begin (2) the actual cost of building a new jail facility, purchasing another facility, or repairing
a current facility;
new text end

new text begin (3) the age of current jail facilities;
new text end

new text begin (4) county population totals and trends;
new text end

new text begin (5) county crime rates and trends;
new text end

new text begin (6) the proximity of current jails to courthouses, probation services, social services,
treatment providers, and work-release employment opportunities;
new text end

new text begin (7) specific recommendations for alternatives to jails for mental health disorders;
new text end

new text begin (8) specific recommendations on the consolidation or merger of county jail facilities
and operations, including:
new text end

new text begin (i) where consolidated facilities should be located;
new text end

new text begin (ii) which counties are best suited for consolidation;
new text end

new text begin (iii) the projected costs of construction, renovation, or purchase of the facility; and
new text end

new text begin (iv) the projected cost of operating the facility; and
new text end

new text begin (9) a list of the parties that did not timely submit information pursuant to the request for
information in subdivision 1.
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. 46. new text beginHOUSING POOL BONDING AUTHORITY APPLICATION DEPOSIT
REFUND.
new text end

new text begin Notwithstanding Minnesota Statutes, sections 474A.061, subdivisions 1a, paragraph (a),
and 7; and 474A.21, due to the unique circumstances of the COVID-19 pandemic, issuers
that returned all of their allocation of bonding authority from the 2020 housing pool, shall
receive a refund of the amount of the application deposit submitted with the issuer's 2020
housing pool application, less any amount previously refunded. Any application deposit
money that has not yet been transferred under Minnesota Statutes, section 474A.21, as of
the date of final enactment that is connected to full returns of bonding authority from the
2020 housing pool is not required to be deposited in the fund under Minnesota Statutes,
section 462A.201; and the department may instead retain that money in the separate account
in the general fund under Minnesota Statutes, section 474A.21. The amount necessary to
refund the application deposits under this section is appropriated to the department from
the separate account in the general fund under Minnesota Statutes, section 474A.21. For
purposes of this section, "department" means the Department of Management and Budget.
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. 47. new text beginSTATE PARKING ACCOUNT.
new text end

new text begin Notwithstanding Laws 2013, chapter 136, section 3, subdivision 5, and Minnesota
Statutes, section 16A.643, for fiscal year 2022, the state parking account is not required to
make the transfer to the state bond fund mandated by Laws 2013, chapter 136, section 3,
subdivision 5. The application of this section shall not otherwise affect the schedule of
amounts assessed under Minnesota Statutes, section 16A.643, for the related capital project
for the remaining life of the bonds.
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. 48. new text beginREPEALER.
new text end

new text begin Minnesota Statutes 2020, sections 16A.93; 16A.94; and 16A.96, new text end new text begin are repealed.
new text end

APPENDIX

Repealed Minnesota Statutes: H0337-1

16A.93 MINNESOTA PAY-FOR-PERFORMANCE ACT.

Sections 16A.93 to 16A.96 may be cited as the "Minnesota Pay-for-Performance Act of 2011."

16A.94 PAY-FOR-PERFORMANCE PROGRAM.

Subdivision 1.

Pilot program established.

The commissioner shall implement a pilot program to demonstrate the feasibility and desirability of using state appropriation bonds to pay for certain services based on performance and outcomes for the people served.

Subd. 2.

Oversight committee.

(a) The commissioner shall appoint an oversight committee to:

(1) identify criteria to select one or more services to be included in the pilot program;

(2) identify the conditions of performance and desired outcomes for the people served by each service selected;

(3) identify criteria to evaluate whether a service has met the performance conditions; and

(4) provide any other advice or assistance requested by the commissioner.

(b) The oversight committee must include the commissioners of the Departments of Human Services, Employment and Economic Development, and Administration, or their designees; a representative of a nonprofit organization with experience in performance contracting; and any other person or organization that the commissioner determines would be of assistance in developing and implementing the pilot program.

Subd. 3.

Contracts.

The commissioner and the commissioner of the agency with a service to be provided through the pilot program may enter into a pay-for-performance contract with a provider that meets the criteria identified by the oversight committee. The contract must specify the service to be provided, the time frame in which it is to be provided, the outcome required for payment, and any other terms deemed necessary or convenient for implementation of the pilot program. The commissioner shall pay a provider that has met the terms and conditions of a contract with money appropriated to the commissioner from the special appropriation bond proceeds account established in section 16A.96. At a minimum, before the commissioner pays a provider, the commissioner must determine that the provider has met the return on investment criteria in subdivision 4.

Subd. 4.

Return on investment calculation.

The commissioner, in consultation with the oversight committee, must establish the method and data required for calculating the state's return on investment. The data at a minimum must include:

(1) state income taxes and any other revenues collected in the year after the service was provided that would not have been collected without the service; and

(2) costs avoided by the state by providing the service.

Prior to entering into a contract under subdivision 3, the commissioner in consultation with the oversight committee must determine that the services provided under the contract will yield a positive return on investment for the state that will cover the estimated state costs in financing and administering the pilot program through documented increased state tax revenue or cost avoidance.

Subd. 5.

Report to governor and legislature.

The commissioner must report to the governor and legislative committees with jurisdiction over capital investment, finance, and ways and means, and the services included in the pilot program, by January 15 of each year following a year in which the pilot program is operating. The report must describe and discuss the criteria for selection and evaluation of services to be provided through the program, the net benefits to the state of the program, the state's return on investment, the cost of the services provided by other means in the most recent past, the time frame for payment for the services, and the timing and costs for sale and issuance of the bonds authorized in section 16A.96.

16A.96 MINNESOTA PAY-FOR-PERFORMANCE PROGRAM; APPROPRIATION BONDS.

Subdivision 1.

Definitions.

(a) The definitions in this subdivision apply to this section.

(b) "Appropriation bond" means a bond, note, or other similar instrument of the state payable during a biennium from one or more of the following sources:

(1) money appropriated by law in any biennium for debt service due with respect to obligations described in subdivision 2, paragraph (b);

(2) proceeds of the sale of obligations described in subdivision 2, paragraph (b);

(3) payments received for that purpose under agreements and ancillary arrangements described in subdivision 2, paragraph (d); and

(4) investment earnings on amounts in clauses (1) to (3).

(c) "Debt service" means the amount payable in any biennium of principal, premium, if any, and interest on appropriation bonds.

Subd. 2.

Authority.

(a) Subject to the limitations of this subdivision, the commissioner of management and budget may sell and issue appropriation bonds of the state under this section for the purposes of the Minnesota pay-for-performance program established in sections 16A.93 to 16A.96. Proceeds of the bonds must be credited to a special appropriation bond proceeds account in the state treasury. Net income from investment of the proceeds, as estimated by the commissioner, must be credited to the special appropriation bond proceeds account.

(b) Appropriation bonds may be sold and issued in amounts that, in the opinion of the commissioner, are necessary to provide sufficient funds for achieving the purposes authorized as provided under paragraph (a), and pay debt service, pay costs of issuance, make deposits to reserve funds, pay the costs of credit enhancement, or make payments under other agreements entered into under paragraph (d); provided, however, that bonds issued and unpaid shall not exceed $10,000,000 in principal amount, excluding refunding bonds sold and issued under subdivision 4. The commissioner may sell and issue bonds only in an amount that the commissioner determines will result in principal and interest payments less than the amount of savings to be generated through pay-for-performance contracts under section 16A.94. For programs achieving savings under a pay-for-performance contract, the commissioner must reduce general fund appropriations by at least the amount of principal and interest payments on bonds issued under this section.

(c) Appropriation bonds may be issued in one or more series on the terms and conditions the commissioner determines to be in the best interests of the state, but the term on any series of bonds may not exceed 20 years.

(d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any time thereafter, so long as the appropriation bonds are outstanding, the commissioner may enter into agreements and ancillary arrangements relating to the appropriation bonds, including but not limited to trust indentures, liquidity facilities, remarketing or dealer agreements, letter of credit agreements, insurance policies, guaranty agreements, reimbursement agreements, indexing agreements, or interest exchange agreements. Any payments made or received according to the agreement or ancillary arrangement shall be made from or deposited as provided in the agreement or ancillary arrangement. The determination of the commissioner included in an interest exchange agreement that the agreement relates to an appropriation bond shall be conclusive.

Subd. 3.

Form; procedure.

(a) Appropriation bonds may be issued in the form of bonds, notes, or other similar instruments, and in the manner provided in section 16A.672. In the event that any provision of section 16A.672 conflicts with this section, this section shall control.

(b) Every appropriation bond shall include a conspicuous statement of the limitation established in subdivision 6.

(c) Appropriation bonds may be sold at either public or private sale upon such terms as the commissioner shall determine are not inconsistent with this section and may be sold at any price or percentage of par value. Any bid received may be rejected.

(d) Appropriation bonds may bear interest at a fixed or variable rate.

Subd. 4.

Refunding bonds.

The commissioner from time to time may issue appropriation bonds for the purpose of refunding any appropriation bonds then outstanding, including the payment of any redemption premiums on the bonds, any interest accrued or to accrue to the redemption date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any refunding bonds may, in the discretion of the commissioner, be applied to the purchase or payment at maturity of the appropriation bonds to be refunded, to the redemption of the outstanding bonds on any redemption date, or to pay interest on the refunding bonds and may, pending application, be placed in escrow to be applied to the purchase, payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be invested and reinvested in obligations that are authorized investments under section 11A.24. The income earned or realized on the investment may also be applied to the payment of the bonds to be refunded or interest or premiums on the refunded bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been fully satisfied, any balance of the proceeds and any investment income may be returned to the general fund or, if applicable, the appropriation bond proceeds account for use in any lawful manner. All refunding bonds issued under this subdivision must be prepared, executed, delivered, and secured by appropriations in the same manner as the bonds to be refunded.

Subd. 5.

Appropriation bonds as legal investments.

Any of the following entities may legally invest any sinking funds, money, or other funds belonging to them or under their control in any appropriation bonds issued under this section:

(1) the state, the investment board, public officers, municipal corporations, political subdivisions, and public bodies;

(2) banks and bankers, savings and loan associations, credit unions, trust companies, savings banks and institutions, investment companies, insurance companies, insurance associations, and other persons carrying on a banking or insurance business; and

(3) personal representatives, guardians, trustees, and other fiduciaries.

Subd. 6.

No full faith and credit; state not required to make appropriations.

The appropriation bonds are not public debt of the state, and the full faith, credit, and taxing powers of the state are not pledged to the payment of the appropriation bonds or to any payment that the state agrees to make under this section. Appropriation bonds shall not be obligations paid directly, in whole or in part, from a tax of statewide application on any class of property, income, transaction, or privilege. Appropriation bonds shall be payable in each fiscal year only from amounts that the legislature may appropriate for debt service for any fiscal year, provided that nothing in this section shall be construed to require the state to appropriate funds sufficient to make debt service payments with respect to the bonds in any fiscal year.

Subd. 7.

Appropriation of proceeds.

The proceeds of appropriation bonds and interest credited to the special appropriation bond proceeds account are appropriated to the commissioner for payment of contract obligations under the pay-for-performance program, as permitted by state and federal law, reasonable administrative costs of the program that are directly attributable to the program, issuance costs, and nonsalary expenses incurred in conjunction with the sale of the appropriation bonds.

Subd. 8.

Appropriation for debt service.

The amount needed to pay principal and interest on appropriation bonds issued under this section is appropriated each year to the commissioner from the general fund subject to the repeal, unallotment under section 16A.152, or cancellation otherwise pursuant to subdivision 6.

Subd. 9.

Administrative costs.

The commissioner may accept donations from private sources to defray administrative costs under this section. Amounts received are appropriated to the commissioner.

Subd. 10.

Validation.

(a) Appropriation bonds issued under this section may be validated in the manner provided by this subdivision. If comparable appropriation bonds are judicially determined to be valid, nothing in this subdivision shall be construed to prevent sale or delivery of any appropriation bonds or notes after entry of a judgment of validation by the Minnesota Supreme Court as provided in this subdivision with respect to the appropriation bonds authorized under this section.

(b) Any appropriation bonds issued under this section that are validated shall be validated in the manner provided by this subdivision.

(c) The Minnesota Supreme Court shall have original jurisdiction to determine the validation of appropriation bonds and all matters connected with the issuance of the bonds.

(d) The commissioner may determine the commissioner's authority to issue appropriation bonds and the legality of all proceedings in connection with issuing bonds. For this purpose, a complaint shall be filed by the commissioner in the Minnesota Supreme Court against the state and the taxpayers and citizens.

(e) As a condition precedent to filing of a complaint for the validation of appropriation bonds, the commissioner shall take action providing for the issuance of appropriation bonds in accordance with law.

(f) The complaint shall set out the state's authority to issue appropriation bonds, the action or proceeding authorizing the issue and its adoption, all other essential proceedings had or taken in connection with issuing bonds, the amount of the appropriation bonds to be issued and the maximum interest they are to bear, and all other pertinent matters.

(g) The Minnesota Supreme Court shall issue an order directed against the state and taxpayers, citizens, and others having or claiming any right, title, or interest affected by the issuance of appropriation bonds, or to be affected by the bonds, allowing all persons, in general terms and without naming them, and the state through its attorney general to appear before the Minnesota Supreme Court at a designated time and place and show why the complaint should not be granted and the proceedings and appropriation bonds validated. A copy of the complaint and order shall be served on the attorney general at least 20 days before the time fixed for hearing. The attorney general shall examine the complaint, and, if it appears or there is reason to believe that it is defective, insufficient, or untrue, or if in the opinion of the attorney general the issuance of the appropriation bonds in question has not been duly authorized, defense shall be made by the attorney general as the attorney general deems appropriate.

(h) Before the date set for hearing, as directed by the Minnesota Supreme Court, either the clerk of the Minnesota Appellate Courts or the commissioner shall publish a copy of the order in a legal newspaper of general circulation in Ramsey County and the state, at least once each week for two consecutive weeks, commencing with the first publication, which shall not be less than 20 days before the date set for hearing. By this publication, all taxpayers, citizens, and others having or claiming any right, title, or interest in the state, are made parties defendant to the action and the Minnesota Supreme Court has jurisdiction of them to the same extent as if named as defendants in the complaint and personally served with process.

(i) Any taxpayer, citizen, or person interested may become a party to the action by moving against or pleading to the complaint at or before the time set for hearing. The Minnesota Supreme Court shall determine all questions of law and fact and make orders that will enable it to properly try and determine the action and render a final judgment within 30 days of the hearing with the least possible delay.

(j) If the judgment validates appropriation bonds, the judgment is forever conclusive as to all matters adjudicated and as against all parties affected and all others having or claiming any right, title, or interest affected by the issuance of appropriation bonds, or to be affected in any way by issuing the bonds, and the validity of appropriation bonds or of any revenues pledged for the payment of the bonds, or of the proceedings authorizing the issuance of the bonds, including any remedies provided for their collection, shall never be called in question in any court by any person or party.

(k)(1) Appropriation bonds, when validated under this section, shall have stamped or written on the bonds, by the proper officers of the state issuing them, a statement in substantially the following form: "This bond is one of a series of appropriation bonds, which were validated by judgment of the Supreme Court of the State of Minnesota, rendered on ....., (year) ......"

(2) A certified copy of the judgment or decree shall be received as evidence in any court in this state.