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Key: (1) language to be deleted (2) new language

  

                         Laws of Minnesota 1984 

                        CHAPTER 633-S.F.No. 1880 
           An act relating to government services; clarifying 
          references to federal relocation law; changing 
          provisions relating to housing and redevelopment 
          authorities; changing allocation of certain qualified 
          mortgage bonds; providing conditions for certain 
          municipal improvements; changing certain powers of 
          municipalities or redevelopment agencies; providing 
          for financing of county and county regional jails; 
          granting certain powers to the town of Blue Hill; 
          making changes in the authority for certain municipal 
          housing programs; amending Minnesota Statutes 1982, 
          sections 117.52; 429.021, subdivision 1; 429.031, 
          subdivision 3; 429.091, subdivision 2; 429.101, 
          subdivision 1; 462.441; 462.461, subdivisions 1, 2, 
          and 3; 462C.09, by adding a subdivision; 641.24; 
          641.264, subdivision 1; Minnesota Statutes 1983 
          Supplement, section 474.03, subdivision 3.  
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1982, section 117.52, is 
amended to read: 
    117.52 [UNIFORM RELOCATION ASSISTANCE.] 
    Subdivision 1.  [LACK OF FEDERAL FUNDING.] In all 
acquisitions undertaken by any acquiring authority and in all 
voluntary rehabilitation carried out by a person pursuant to 
acquisition or as a consequence thereof, in which, due to the 
lack of federal financial participation, relocation assistance, 
services, payments and benefits under the Uniform Relocation 
Assistance and Real Property Acquisition Policies Act of 1970, 
84 Stat. 1894 (1971), 42 United States Code, Section 4601, et 
seq., are not available, the acquiring authority, as a cost of 
acquisition, shall provide all relocation assistance, services, 
payments and benefits required by the Uniform Relocation 
Assistance and Real Property Acquisition Policies Act of 1970 
and any those regulations adopted pursuant thereto by the United 
States department of housing and urban development, except that 
in effect as of January 1, 1984.  
    Subd. 2.  [ACQUISITIONS FOR HIGHWAY PURPOSES.] Despite 
subdivision 1, with respect to acquisitions for highway purposes 
or acquisitions for which the state department of transportation 
performs relocation assistance services for the department of 
administration, the regulations of the United States department 
of transportation may be applied, as of the date of enactment of 
sections 117.50 to 117.56, to all displaced persons who would 
otherwise be eligible for such relocation assistance, services, 
payments and benefits thereunder but for the lack of federal 
financial participation. 
    Subd. 3.  [EXCEPTION.] This section shall not apply in the 
case where federal financial participation for provision of 
relocation assistance, services, payments and benefits in 
connection with an acquisition has been procured or committed 
pursuant to section 117.51 and has then been withdrawn by the 
United States, unless the acquiring authority subsequently 
determines to proceed with the acquisition in question using 
non-federal funds. 
    Sec. 2.  Minnesota Statutes 1982, section 429.021, 
subdivision 1, is amended to read: 
    Subdivision 1.  [IMPROVEMENTS AUTHORIZED.] The council of a 
municipality shall have power to make the following improvements:
    (1) To acquire, open, and widen any street, and to improve 
the same by constructing, reconstructing, and maintaining 
sidewalks, pavement, gutters, curbs, and vehicle parking strips 
of any material, or by grading, graveling, oiling, or otherwise 
improving the same, including the beautification thereof and 
including storm sewers or other street drainage and connections 
from sewer, water or similar mains to curb lines. 
    (2) To acquire, develop, construct, reconstruct, extend and 
maintain storm and sanitary sewers and systems, including 
outlets, holding areas and ponds, treatment plants, pumps, lift 
stations, service connections, and other appurtenances of a 
sewer system, within and without the corporate limits. 
    (3) To construct, reconstruct, extend and maintain steam 
heating mains. 
    (4) To install, replace, extend and maintain street lights 
and street lighting systems and special lighting systems. 
    (5) To acquire, improve, construct, reconstruct, extend and 
maintain water works systems, including mains, valves, hydrants, 
service connections, wells, pumps, reservoirs, tanks, treatment 
plants, and other appurtenances of a water works system, within 
and without the corporate limits. 
     (6) To acquire, improve and equip parks, open space areas, 
playgrounds and recreational facilities within or without the 
corporate limits. 
    (7) To plant trees on streets and provide for their 
trimming, care and removal. 
    (8) To abate nuisances and to drain swamps, marshes and 
ponds on public or private property and to fill the same. 
    (9) To construct, reconstruct, extend, and maintain dikes 
and other flood control works. 
    (10) To construct, reconstruct, extend and maintain 
retaining walls and area walls. 
    (11) To acquire, construct, reconstruct, improve, alter, 
extend, operate, maintain and promote a pedestrian skyway system.
Such improvement may be made upon a petition pursuant to section 
429.031, subdivision 3.  
    (12) To acquire, construct, reconstruct, extend, operate, 
maintain and promote underground pedestrian concourses. 
    (13) To acquire, construct, improve, alter, extend, 
operate, maintain and promote public malls, plazas or courtyards.
    (14) To construct, reconstruct, extend, and maintain 
district heating systems.  
    (15) To construct, reconstruct, alter, extend, operate, 
maintain and promote fire protection systems in existing 
buildings, but only upon a petition pursuant to section 429.031, 
subdivision 3.  
    Sec. 3.  Minnesota Statutes 1982, section 429.031, 
subdivision 3, is amended to read: 
    Subd. 3.  [PETITION BY ALL OWNERS.] Whenever all owners of 
real property abutting upon any street named as the location of 
any improvement shall petition the council to construct the 
improvement and to assess the entire cost against their 
property, the council may, without a public hearing, adopt a 
resolution determining such fact and ordering the improvement.  
The validity of the resolution shall not be questioned by any 
taxpayer or property owner or the municipality unless an action 
for that purpose is commenced within 30 days after adoption of 
the resolution as provided in section 429.036. Nothing herein 
prevents any property owner from questioning the amount or 
validity of the special assessment against his property pursuant 
to section 429.081.  In the case of a petition for the 
installation of a fire protection or a pedestrian skyway system, 
the petition must contain or be accompanied by an undertaking 
satisfactory to the city by the petitioner that the petitioner 
will grant the municipality the necessary property interest in 
the building to permit the city to enter upon the property and 
the building to construct, maintain, and operate the fire 
protection or pedestrian skyway system.  In the case of a 
petition for the installation of a fire protection or pedestrian 
skyway system which will be privately owned, the petition shall 
also contain the plans and specifications for the improvement, 
the estimated cost of the improvement and a statement indicating 
whether the city or the owner will contract for the construction 
of the improvement.  If the owner is contracting for the 
construction of the improvement, the city shall not approve the 
petition until it has reviewed and approved the plans, 
specifications, and cost estimates contained in the petition. 
The construction cost financed under section 429.091 shall not 
exceed the amount of the cost estimate contained in the petition.
In the case of a petition for the installation of a fire 
protection or a pedestrian skyway system, the petitioner may 
request abandonment of the improvement at any time after it has 
been ordered pursuant to subdivision 1 and before contracts have 
been awarded for the construction of the improvement under 
section 429.041, subdivision 2.  If such a request is received, 
the city council shall abandon the proceedings but in such case 
the petitioner shall reimburse the city for any and all expenses 
incurred by the city in connection with the improvement.  
    Sec. 4.  Minnesota Statutes 1982, section 429.091, 
subdivision 2, is amended to read: 
    Subd. 2.  [TYPES OF OBLIGATIONS PERMITTED.] Except for 
bonds issued for a pedestrian skyway system, the council may by 
resolution adopted prior to the sale of obligations pledge the 
full faith, credit, and taxing power of the municipality for the 
payment of the principal and interest.  Such obligations shall 
be called improvement bonds and the council shall pay the 
principal and interest out of any fund of the municipality when 
the amount credited to the specified fund is insufficient for 
the purpose and shall each year levy a sufficient amount to take 
care of accumulated or anticipated deficiencies, which levy 
shall not be subject to any statutory or charter tax 
limitation.  Obligations for the payment of which the full faith 
and credit of the municipality is not pledged shall be called 
improvement warrants or, in the case of bonds for fire 
protection or pedestrian skyway systems, revenue bonds and shall 
contain a promise to pay solely out of the proper special fund 
or funds pledged to their payment.  It shall be the duty of the 
municipal treasurer to pay maturing principal and interest on 
warrants or revenue bonds out of funds on hand in the proper 
special fund funds and not otherwise.  
    Sec. 5.  Minnesota Statutes 1982, section 429.101, 
subdivision 1, is amended to read: 
    Subdivision 1.  [ORDINANCES.] In addition to any other 
method authorized by law or charter, the governing body of any 
municipality may provide for the collection of unpaid special 
charges for all or any part of the cost of 
    (a) snow, ice, or rubbish removal from sidewalks, 
    (b) weed elimination from streets or private property, 
    (c) removal or elimination of public health or safety 
hazards from private property, excluding any structure included 
under the provisions of sections 463.15 to 463.26, 
    (d) installation or repair of water service lines, street 
sprinkling or other dust treatment of streets, 
    (e) the trimming and care of trees and the removal of 
unsound trees from any street, 
    (f) the treatment and removal of insect infested or 
diseased trees on private property, the repair of sidewalks and 
alleys, or 
    (g) the operation of a street lighting system, or 
    (h) the operation and maintenance of a fire protection or a 
pedestrian skyway system, 
as a special assessment against the property benefited.  The 
council may by ordinance adopt regulations consistent with this 
section to make this authority effective, including, at the 
option of the council, provisions for placing primary 
responsibility upon the property owner or occupant to do the 
work himself (except in the case of street sprinkling or other 
dust treatment, alley repair, tree trimming, care, and removal 
or the operation of a street lighting system) upon notice before 
the work is undertaken, and for collection from the property 
owner or other person served of the charges when due before 
unpaid charges are made a special assessment.  
     Sec. 6.  Minnesota Statutes 1982, section 462.441, is 
amended to read: 
    462.441 [POWERS; QUORUM; OFFICERS; MEETING; COMPENSATION; 
EXPENSES.] 
    The powers of each authority shall be vested in the 
commissioners thereof in office at any time; a majority of whom 
shall constitute a quorum for all purposes.  Each authority 
shall select a chairman and a secretary from among its 
commissioners and shall adopt such bylaws and other rules for 
the conduct of its affairs as it deems appropriate.  The regular 
meetings of an authority shall be held in a fixed place and 
shall be open to the public.  Each commissioner shall be 
entitled to receive necessary expenses, including traveling 
expenses, incurred in the performance of his duties.  Each 
commissioner may be paid for attending meetings of the 
authority, regular and special $25 $35 per meeting, the 
aggregate of all payments to each such commissioner for any one 
year not to exceed, however, $1,500 $2,500.  
    Sec. 7.  Minnesota Statutes 1982, section 462.461, 
subdivision 1, is amended to read: 
    Subdivision 1.  All construction work, and work of 
demolition or clearing, and every purchase of equipment, 
supplies, or materials, necessary in carrying out the purposes 
of sections 462.415 to 462.705, that shall involve the 
expenditure of $5,000 $15,000 or more shall be awarded by 
contract as hereinafter provided.  Before receiving bids under 
the provisions of these sections the authority shall publish, 
once a week for two consecutive weeks in an official newspaper 
of general circulation in the community a notice that bids will 
be received for that construction work, or that purchase of 
equipment, supplies, or materials, stating the nature of the 
work and the terms and conditions upon which the contract is to 
be let, naming therein a time and place where bids will be 
received, opened and read publicly, which time shall be not less 
than seven days after the date of the last publication.  After 
the bids have been duly received, opened and read publicly and 
recorded, the authority shall award the contract to the lowest 
responsible bidder, the authority reserving the right, however, 
to reject any or all bids, each such contract to be duly 
executed in writing, and the person to whom the contract is 
awarded shall give sufficient bond to the authority for its 
faithful performance.  If no satisfactory bid is received, the 
authority may readvertise.  The authority shall have the right 
to set up reasonable qualifications to determine the fitness and 
responsibility of bidders and to require bidders to meet such 
qualifications before bids are accepted. 
    Sec. 8.  Minnesota Statutes 1982, section 462.461, 
subdivision 2, is amended to read: 
    Subd. 2.  If the authority by an affirmative vote of 
four-fifths of its members shall declare that an emergency 
exists requiring the immediate purchase of any equipment or 
material or supplies at a cost in excess of $5,000 $15,000, but 
not exceeding $10,000 $30,000 in amount, or making of emergency 
repairs, it shall not be necessary to advertise for bids, but 
the material, equipment, or supplies may be purchased in the 
open market at the lowest price obtainable, or the emergency 
repairs may be contracted for or performed without securing 
formal competitive bids.  An emergency, as considered in 
sections 462.415 to 462.705, shall be understood to be 
unforeseen circumstances or conditions which result in the 
placing in jeopardy of human life or property. 
    Sec. 9.  Minnesota Statutes 1982, section 462.461, 
subdivision 3, is amended to read: 
    Subd. 3.  Bonds shall be required from contractors for any 
works of construction as provided in and subject to all the 
provisions of Minnesota Statutes 1945, sections 574.26 to 574.31.
Sections 574.21 to 574.31 and this subdivision do not apply to 
contracts entered into by an authority for an expenditure of 
less than $15,000.  
    Sec. 10.  Minnesota Statutes 1982, section 462C.09, is 
amended by adding a subdivision to read: 
    Subd. 2a.  [1985 CITY ALLOCATION.] Notwithstanding the 
allocation provisions of subdivision 2, this subdivision applies 
to the January 1985 allocations.  Unless otherwise authorized by 
law, a city that intends to issue during the calendar year 1985 
mortgage revenue bonds that are subject to the volume limitation 
imposed by section 103A(g) of the Internal Revenue Code of 1954, 
as amended through March 1, 1983, shall by January 2, 1985 
submit to the Minnesota housing finance agency a program that 
will use a portion of the state mortgage revenue bond ceiling. 
The total amount of bonds included in all programs submitted 
pursuant to this subdivision by a city may not exceed 
$10,000,000.  Each program shall be accompanied by a certificate 
from the city that states that the revenue bond issue is 
feasible.  By February 1, the Minnesota housing finance agency 
shall review each program pursuant to section 462C.04, 
subdivision 2.  The Minnesota housing finance agency shall 
approve all programs that the agency determines are consistent 
with this chapter, and that meet the following conditions:  
    (a) all of the loans must be reserved for a period of not 
less than six months for persons and families whose adjusted 
family income is below 80 percent of the limits on adjusted 
gross income provided in section 462C.03, subdivision 2; and 
     (b) loans must be made only to finance homes that are 
serviced by municipal water and sewer utilities; provided that 
if the approval of all programs would result in an allocation to 
cities in excess of 27-1/2 percent of the state ceiling for the 
calendar year 1985, reduced by the amount of bonds that are 
allocated by law to specified cities, the Minnesota housing 
finance agency shall approve programs that are submitted by a 
city which meets any of the following three criteria:  (1) a 
city of the first class, or (2) a city that did not receive an 
allocation under this subdivision during the preceding two 
calendar years, or (3) a group of cities that plan to jointly 
issue bonds for the program provided further that if approval of 
all of the programs submitted by cities that meet one or more of 
the criteria in (1), (2), or (3) would result in a total 
allocation to cities in excess of the portion of the state 
ceiling available for allocation, then from among those programs 
the agency shall select by lot the programs to be approved.  If 
a portion of the state ceiling remains unallocated after the 
agency has approved all programs submitted by cities that meet 
one or more of the criteria in (1), (2), or (3), the Minnesota 
housing finance agency shall select by lot from among the 
remaining programs the programs to be approved.  The Minnesota 
housing finance agency shall determine if a program meets the 
conditions in clauses (a) and (b) based solely upon the program 
with accompanying information submitted to the agency.  Approval 
of a program shall constitute an allocation of a portion of the 
state ceiling for mortgage revenue bonds equal to the proposed 
bond issue or issues contained in the program, provided that the 
allocation for the last selected program that receives an 
allocation may be equal to or less than the amount of the bond 
issue or issues proposed in the program.  
     If a city which received an allocation pursuant to this 
subdivision, or which has been allocated a portion of the state 
ceiling by law and has received approval of one or more 
programs, has not issued bonds by September 1 in an amount equal 
to the allocation, and the city intends to issue mortgage 
revenue bonds prior to the end of the calendar year, the city 
shall by September 1 submit to the Minnesota housing finance 
agency for each program a letter that states the city's intent 
to issue the mortgage revenue bonds prior to the end of the 
calendar year.  If the Minnesota housing finance agency does not 
receive the letter from the city, then the allocation of the 
state ceiling for that program shall expire on September 1, and 
the applicable limit for the Minnesota housing finance agency 
shall be increased by an amount equal to the unused portion of 
the allocation to the city.  A city referred to in subdivision 
1, clause (i), shall not be required to apply under this 
subdivision with respect to bonds allocated by law to any such 
city.  Nothing in this subdivision shall prevent any such city 
from applying for an additional allocation of bonds under this 
subdivision.  
    Sec. 11.  Minnesota Statutes 1983 Supplement, section 
474.03, subdivision 3, is amended to read: 
    Subd. 3.  [REVENUE BONDS.] It may issue revenue bonds, in 
anticipation of the collection of revenues of the a project to 
be situated within the state, whether wholly or partially within 
or without the municipality or redevelopment agency, to finance, 
in whole or in part, the cost of the acquisition, construction, 
reconstruction, improvement, betterment, or extension thereof.  
    Sec. 12.  Minnesota Statutes 1982, section 641.24, is 
amended to read: 
    641.24 [LEASING.] 
    The county may, by resolution of the county board, enter 
into a lease agreement with any statutory or home rule charter 
city situated within the county, or a county housing and 
redevelopment authority established pursuant to chapter 462 or 
any special law whereby the city or county housing and 
redevelopment authority will construct a county jail in 
accordance with plans prepared by or at the request of the 
county board and approved by the commissioner of corrections and 
will finance it by the issuance of revenue bonds, and the county 
will may lease the jail site and improvements for a term and 
upon rentals sufficient to produce revenue for the prompt 
payment of the bonds and all interest accruing thereon and, upon 
completion of payment, will acquire title thereto.  The real and 
personal property acquired for the jail shall constitute a 
project and the lease agreement shall constitute a revenue 
agreement as contemplated in chapter 474, and all proceedings 
shall be taken by the city or county housing and redevelopment 
authority and the county in the manner and with the force and 
effect provided in chapter 474; provided that: 
    (1) No tax shall be imposed upon or in lieu of a tax upon 
the property; 
    (2) The approval of the project by the commissioner of 
securities and real estate shall not be required; 
    (3) The department of corrections shall be furnished and 
shall record such information concerning each project as it may 
prescribe, in lieu of reports required on other projects to the 
commissioner of energy, planning and development; 
    (4) The rentals required to be paid under the lease 
agreement shall not exceed in any year four-tenths of one 
percent of the assessed value of property within the county, as 
last finally equalized before the execution of the agreement; 
    (5) The county board shall provide for the payment of all 
rentals due during the term of the lease, in the manner required 
in section 641.264, subdivision 2; and 
    (6) No mortgage on the jail property shall be granted for 
the security of the bonds, but compliance with clause (5) hereof 
may be enforced as a nondiscretionary duty of the county board; 
and 
    (7) The county board may sublease any part of the jail 
property for purposes consistent with the maintenance and 
operation of a county jail.  
    Sec. 13.  Minnesota Statutes 1982, section 641.264, 
subdivision 1, is amended to read:  
    Subdivision 1.  [CAPITAL IMPROVEMENTS; BOND ISSUES AND 
LEASES.] The construction or acquisition, the equipping, and 
subsequent improvement of a county regional jail may be financed 
in whole or in part by the issuance of general obligation bonds 
of the cooperating counties in the manner provided in section 
641.23 or by the issuance of revenue bonds of a city situated in 
one of the counties or with the approval of the board of county 
commissioners of each cooperating county a county housing and 
redevelopment authority established pursuant to chapter 462 or 
special law, secured by a lease agreement in the manner provided 
in chapter 474 and in sections 641.24 and 641.263, subdivision 
2.  Proceedings for the issuance of general obligation bonds 
shall be instituted by the board of county commissioners of each 
cooperating county.  The regional jail board, with the approval 
of the county board of each cooperating county, shall fix the 
total amount necessary to be raised for the construction or 
acquisition, the equipping, and subsequent improvement of a 
regional jail, and shall apportion to each county in the manner 
provided in subdivision 2 the share of this amount, or of annual 
debt service or lease rentals required to pay this amount with 
interest, which is to be raised by the county.  
    Sec. 14.  [BLUE HILL; POWERS.] 
    Subdivision 1.  [EXERCISE OF POWERS.] The town of Blue Hill 
in Sherburne County may exercise the powers set out in Minnesota 
Statutes, section 368.01.  
    Subd. 2.  [EFFECTIVE DATE.] This section is effective the 
day after the town board of Blue Hill complies with Minnesota 
Statutes, section 645.021, subdivision 3.  
    Sec. 15.  [EFFECTIVE DATE.] 
    Sections 1 to 13 are effective the day following final 
enactment. 
    Approved May 2, 1984