Minnesota Session Laws - 1992, Regular Session

  

                         Laws of Minnesota 1992 

                        CHAPTER 579-S.F.No. 2144 
           An act relating to metropolitan government; 
          authorizing the acquisition and betterment of transit 
          facilities and equipment and providing financing for 
          their cost; stating the intent of the legislature; 
          requiring a report; amending Minnesota Statutes 1990, 
          section 473.39. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1990, section 473.39, is 
amended to read: 
    473.39 [BORROWING MONEY.] 
    Subdivision 1.  [GENERAL AUTHORITY.] The council, if 
requested by vote of at least two-thirds of all of the members 
of the transit board, may issue general obligation bonds subject 
to the volume limitation limitations in subdivision 1a this 
section to provide funds to the board for expenditure to 
implement the board's approved implementation plan and may issue 
general obligation bonds not subject to the volume limitation 
set forth in subdivision 1a limitations for the refunding of 
outstanding bonds or certificates of indebtedness of the 
council, the board or the commission, and judgments against the 
board or the commission.  The council may not unreasonably 
withhold the issuance of obligations for an implementation plan 
that has been approved by the council.  The council may not 
issue obligations pursuant to this subdivision, other than 
refunding bonds, in excess of the amount specifically authorized 
by law.  Except as otherwise provided in sections 473.371 to 
473.449, the council shall provide for the issuance, sale, and 
security of the bonds in the manner provided in chapter 475, and 
has the same powers and duties as a municipality issuing bonds 
under that law, except that no election is required and the net 
debt limitations in chapter 475 do not apply to the bonds.  The 
obligations are not a debt of the state or any municipality or 
political subdivision within the meaning of any debt limitation 
or requirement pertaining to those entities.  Neither the state, 
nor any municipality or political subdivision except the council 
and board, nor any member or officer or employee of the board or 
council, is liable on the obligations.  The obligations may be 
secured by taxes levied without limitation of rate or amount 
upon all taxable property in the transit taxing district and 
transit area as provided in section 473.446, subdivision 1, 
clause (c).  The council shall certify to the transit board 
before October 1 of each year the amounts necessary to provide 
full and timely payment of the obligations.  As part of its levy 
made under section 473.446, subdivision 1, clause (c), the board 
shall levy the amounts certified by the council and transfer the 
proceeds to the council for payment of the obligations.  The 
taxes must be levied, certified, and collected in accordance 
with the terms and conditions of the indebtedness. 
    Subd. 1a.  [OBLIGATIONS.] (a) After August 1, 1989, the 
council may issue certificates of indebtedness, bonds, or other 
obligations under this section in an amount not exceeding 
$26,000,000 for financial assistance to the commission, as 
prescribed in the implementation and capital plans of the board 
and the capital program of the commission.  
     (b) After August 1, 1989, the council may issue 
certificates of indebtedness, bonds, or other obligations under 
this section in an amount not exceeding $4,700,000 for other 
capital expenditures as prescribed in the implementation and 
capital plans of the board.  
    (c) The board shall require, as a condition of financial 
assistance to the commission, that the commission make 
facilities it constructs, acquires, or improves for I-394 with 
funds provided under this section available to all transit 
providers on a nondiscriminatory basis, as the board defines 
these terms.  
    (d) The limitation contained in this subdivision does not 
apply to refunding bonds issued by the council.  
    Subd. 1b.  [OBLIGATIONS; 1993-1996.] The council may also 
issue certificates of indebtedness, bonds, or other obligations 
under this section in an amount not exceeding $62,000,000, of 
which $44,000,000 may be used by the commission for fleet 
replacement, facilities, and capital equipment, and $18,000,000 
may be used by the board for transit hubs, park-and-ride lots, 
community-based transit vehicles and replacement service program 
vehicles, and intelligent vehicle highway systems projects, and 
related costs including the cost of issuance and sale of the 
obligations.  The council may issue $32,000,000 of the total 
amount authorized under this subdivision during fiscal biennium 
ending 1993, $30,000,000 during fiscal biennium ending 1995. 
    Subd. 2.  [LEGAL INVESTMENTS.] Certificates of 
indebtedness, bonds, or other obligations issued by the council 
to which tax levies have been pledged pursuant to section 
473.446, are proper for investment of any funds by a bank, 
savings bank, savings and loan association, credit union, trust 
company, insurance company, or public or municipal corporation, 
and may be pledged by any bank, savings bank, savings and loan 
association, credit union, or trust company as security for the 
deposit of public money.  
     Sec. 2.  [FIVE-YEAR CAPITAL EXPENDITURE PROGRAM; REPORT.] 
    The legislature intends to support the five-year capital 
expenditure program developed by the metropolitan council, the 
regional transit board, and the metropolitan transit 
commission.  This program is projected to require $116,500,000 
in certificates of indebtedness, bonds, or other obligations 
issued by the council. 
    By February 1, 1994, the metropolitan transit commission 
shall submit a report to the legislature analyzing whether 
ridership in areas served by the commission has increased as a 
result of implementing customer-oriented policies. 
    Sec. 3.  [APPLICATION.] 
    This act applies in the counties of Anoka, Carver, Dakota, 
Hennepin, Ramsey, Scott, and Washington. 
    Presented to the governor April 17, 1992 
    Signed by the governor April 29, 1992, 8:23 a.m.