Minnesota Legislature
Office of the Revisor of Statutes
Minnesota Session Laws - 1994, Regular Session
Key: (1) language to be deleted (2) new language
CHAPTER 648-H.F.No. 3041
An act relating to government; providing for the
ownership, financing, and use of certain sports
facilities; permitting the issuance of bonds and other
obligations; appropriating money; amending Minnesota
Statutes 1992, sections 473.551; 473.552; 473.553,
subdivision 3, and by adding a subdivision; 473.556;
473.561; 473.564, subdivision 2; 473.572; 473.581;
473.592; 473.595; and 473.596; Minnesota Statutes 1993
Supplement, section 240A.02, subdivision 1; proposing
coding for new law in Minnesota Statutes, chapters
240A; and 473; repealing Minnesota Statutes 1992,
sections 473.564, subdivision 1; and 473.571.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
ARTICLE 1
Section 1. Minnesota Statutes 1993 Supplement, section
240A.02, subdivision 1, is amended to read:
Subdivision 1. [MEMBERSHIP; COMPENSATION; CHAIR.] (a) The
Minnesota amateur sports commission consists of 12 voting
members, four of whom must be experienced in promoting amateur
sports. Nine of the voting members shall be appointed by the
governor to three-year terms. Of the total commission
membership, including voting and nonvoting members, one member
must reside in each of the state's congressional districts. Two
Four legislators, one two from each house appointed according to
its rules, shall be nonvoting members. One member from each
house shall be from the minority caucus. Compensation and
removal of members and the filling of membership vacancies are
as provided in section 15.0575. A member may be reappointed.
The governor shall appoint the chair of the commission after
consideration of the commission's recommendation.
(b) The governor, speaker of the house of representatives,
and senate majority leader shall each appoint one additional
voting member to the commission to a two-year term. The purpose
of adding three members to the commission is to ensure gender
balance in commission membership. Compensation, removal, and
filling of vacancies of members appointed under this paragraph
are as provided in section 15.0575. A member appointed under
this paragraph may be reappointed.
Sec. 2. Minnesota Statutes 1992, section 473.551, is
amended to read:
473.551 [DEFINITIONS.]
Subdivision 1. [TERMS.] For the purposes of sections
473.551 to 473.595 473.599, the following terms shall have the
meanings given in this section.
Subd. 2. [CITIES.] "Cities" means the cities of
Minneapolis, Bloomington, and Richfield.
Subd. 3. [COMMISSION.] "Commission" means the metropolitan
sports facilities commission.
Subd. 4. [METRODOME DEBT SERVICE.] "Metrodome debt service"
means the principal and interest due each year on all bonds or
revenue anticipation certificates issued by the council under
section 473.581 or assumed by the council or for which the
council is obligated under section 473.564.
Subd. 5. [METROPOLITAN SPORTS AREA.] "Metropolitan sports
area" means the real estate in the city of Bloomington described
in the ownership and operations agreement, and all buildings,
structures, improvements and equipment thereon, now including
the met center, owned by the cities on May 17, 1977, the date of
enactment of sections 473.551 to 473.595, and since transferred
to the commission pursuant to sections 473.551 to 473.595.
Subd. 6. [METROPOLITAN SPORTS AREA COMMISSION.]
"Metropolitan sports area commission" means that commission
established by an ownership and operations agreement made and
entered into as of August 13, 1954, validated by Laws 1955,
Chapter 445, to which the cities are now parties were parties on
May 17, 1977.
Subd. 7. [MULTIPURPOSE SPORTS FACILITY.] "Multipurpose
sports facility" means a single unit sports facility suitable
for university or major league professional baseball, football,
and soccer.
Subd. 8. [SPORTS FACILITY OR SPORTS FACILITIES.] "Sports
facility" or "sports facilities" means real or personal property
comprising a stadium or, stadiums, or arenas suitable for
university or major league professional baseball or, for
university or major league professional football and soccer, or
for both, or for university or major league hockey or
basketball, or for both, together with adjacent parking
facilities., including on the effective date of this act, the
metrodome, the met center, and, upon acquisition by the
commission, the basketball and hockey arena.
Subd. 9. [METRODOME.] "Metrodome" means the Hubert H.
Humphrey Metrodome located in the city of Minneapolis
constructed and owned by the commission and financed by the
bonds of the council issued pursuant to sections 473.551 to
473.595, including all real estate, buildings, improvements, and
equipment in and on them.
Subd. 10. [BASKETBALL AND HOCKEY ARENA.] "Basketball and
hockey arena" means the indoor arena building currently occupied
and utilized for the playing of university or major league
basketball, hockey, and other purposes located in the city of
Minneapolis, including all improvements and equipment in the
arena and the leasehold or other interest in the arena land
appurtenant to the arena, but excluding the health club.
Subd. 11. [HEALTH CLUB.] "Health club" means that separate
portion of the basketball and hockey arena building occupied and
utilized by a private sports and health club on the effective
date of this act, the improvements and equipment in and on it,
and the leasehold or other interest in the arena land
appurtenant to it.
Subd. 12. [MET CENTER.] "Met center" means the real estate
in the city of Bloomington presently owned by the commission,
formerly utilized for major league hockey, and all buildings,
improvements, and equipment in and on it.
Subd. 13. [DEVELOPMENT AGREEMENT.] "Development agreement"
means the second amended and restated development agreement
among the Minneapolis community development agency, Northwest
Racquet, Swim & Health Clubs, Inc., and the city of Minneapolis
dated August 5, 1988, and as amended before the effective date
of this act.
Subd. 14. [GROUND LEASE.] "Ground lease" means the ground
lease of the arena land between the Minneapolis community
development agency and Northwest Racquet, Swim & Health Clubs,
Inc., dated August 5, 1988, and as amended before the effective
date of this act.
Subd. 15. [GUARANTORS.] "Guarantors" means the individuals
who have guaranteed to the Minneapolis community development
agency and the city of Minneapolis the performance of the
development agreement, ground lease, and certain other
obligations pursuant to written guaranty dated February 17, 1988.
Subd. 16. [ARENA LAND.] "Arena land" means the real estate
upon which the basketball and hockey arena and health club have
been constructed and any adjacent parcel or parcels which are
owned by the city of Minneapolis and subject to the development
agreement or the ground lease and all rights, privileges, and
easements appertaining to it.
Subd. 17. [BASKETBALL AND HOCKEY ARENA DEBT
SERVICE.] "Basketball and hockey arena debt service" means the
principal and interest due each year on all bonds or revenue
anticipation certificates issued by the council under section
473.599.
Sec. 3. Minnesota Statutes 1992, section 473.552, is
amended to read:
473.552 [LEGISLATIVE POLICY; PURPOSE.]
The legislature finds that
(a) the population in the metropolitan area has a need for
sports facilities and that this need cannot be met adequately by
the activities of individual municipalities, by agreements among
municipalities, or by the private efforts of the people in the
metropolitan area,
(b) the commission's ownership and operation of the
metrodome and met center has met in part the foregoing need and
has promoted the economic and social interests of the
metropolitan area, of the state, and of the public, and
(c) the commission's acquisition of the basketball and
hockey arena on the terms and conditions provided in sections
473.598 and 473.599 shall similarly and more fully meet the
foregoing needs and promote these interests.
It is therefore necessary for the public health, safety and
general welfare to establish a procedure for the acquisition and
betterment of sports facilities and to create a metropolitan
sports facilities commission.
Sec. 4. Minnesota Statutes 1992, section 473.553,
subdivision 3, is amended to read:
Subd. 3. [CHAIR.] The chair shall be appointed by the
governor as the seventh ninth voting member and shall meet all
of the qualifications of a member, except the chair need only
reside outside the metropolitan area city of Minneapolis. The
chair shall preside at all meetings of the commission, if
present, and shall perform all other duties and functions
assigned by the commission or by law. The commission may appoint
from among its members a vice-chair to act for the chair during
temporary absence or disability.
Sec. 5. Minnesota Statutes 1992, section 473.553, is
amended by adding a subdivision to read:
Subd. 14. [MEMBERSHIP CHANGE.] If the basketball and hockey
arena is acquired pursuant to section 473.598, and an
appropriation is made pursuant to section 240A.08, then the
number of members of the commission shall change, as follows.
On January 1 next following the initial appropriation pursuant
to section 240A.08, the commission shall consist of eight
members plus a chair appointed as provided in subdivision 3.
Six members shall be the members appointed by the Minneapolis
city council under subdivision 2 and subject to subdivision 5.
Two additional members, other than the chair, shall be appointed
by the governor; neither of those members shall reside in the
city of Minneapolis, and one of those members must reside
outside the metropolitan area. The term of one of the members
appointed under this subdivision by the governor shall end the
first Monday in January 1996 and the term of the other member
appointed by the governor shall end the first Monday in January
1998. Thereafter, their terms are as determined under
subdivision 5.
Sec. 6. Minnesota Statutes 1992, section 473.556, is
amended to read:
473.556 [POWERS OF COMMISSION.]
Subdivision 1. [GENERAL.] The commission shall have all
powers necessary or convenient to discharge the duties imposed
by law, including but not limited to those specified in this
section.
Subd. 2. [ACTIONS.] The commission may sue and be sued,
and shall be a public body within the meaning of chapter 562.
Subd. 3. [ACQUISITION OF PROPERTY.] The commission may
acquire by lease, purchase, gift, or devise all necessary right,
title, and interest in and to real or personal property deemed
necessary to the purposes contemplated by sections 473.551
to 473.595 473.599 within the limits of the metropolitan area.
Subd. 4. [EXEMPTION OF PROPERTY.] Any real or personal
property acquired, owned, leased, controlled, used, or occupied
by the commission for any of the purposes of sections 473.551 to
473.595 473.599 is declared to be acquired, owned, leased,
controlled, used and occupied for public, governmental, and
municipal purposes, and shall be exempt from ad valorem taxation
by the state or any political subdivision of the state, provided
that such properties shall be subject to special assessments
levied by a political subdivision for a local improvement in
amounts proportionate to and not exceeding the special benefit
received by the properties from the improvement. No possible
use of any such properties in any manner different from their
use under sections 473.551 to 473.595 473.599 at the time shall
be considered in determining the special benefit received by the
properties. All assessments shall be subject to final
confirmation by the council, whose determination of the benefits
shall be conclusive upon the political subdivision levying the
assessment. Notwithstanding the provisions of section 272.01,
subdivision 2, or 273.19, real or personal property leased by
the commission to another person for uses related to the
purposes of sections 473.551 to 473.595 473.599, including the
operation of the metropolitan sports area, but not including
property sold or leased for development pursuant to subdivision
6, metrodome, met center, and, if acquired by the commission,
the basketball and hockey arena shall be exempt from taxation
regardless of the length of the lease. The provisions of this
subdivision, insofar as they require exemption or special
treatment, shall not apply to any real property at the
metropolitan sports area comprising the met center which is
leased by the commission for development pursuant to subdivision
6 residential, business, or commercial development or other
purposes different from those contemplated in sections 473.551
to 473.599.
Subd. 5. [FACILITY OPERATION.] The commission may equip,
improve, operate, manage, maintain, and control the metropolitan
sports area metrodome, met center, basketball and hockey arena
and sports facilities constructed or, remodeled, or acquired
under the provisions of sections 473.551 to 473.595 473.599.
Subd. 6. [DISPOSITION OF PROPERTY.] (a) The commission may
sell, lease, or otherwise dispose of any real or personal
property acquired by it which is no longer required for
accomplishment of its purposes. The property shall be sold
in the manner accordance with the procedures provided by section
469.065, insofar as practical and consistent with sections
473.551 to 473.595 473.599.
(b) Real property at the metropolitan sports area (not
including the indoor public assembly facility and adjacent
parking facilities) which is no longer needed for sports
facilities may be sold or leased for residential, commercial, or
industrial development in accordance with the procedures in
section 469.065 within two years to a private, for-profit
entity, and thereafter the property shall be subject to all
applicable taxes and assessments and all government laws, rules
and ordinances bearing on use and development as if the property
were privately owned.
(c) Any real property right, title, or interest within the
provisions of paragraph (b) owned by the commission may be sold
or leased in whole or in part to the port authority of the city
of Bloomington to further the general plan of port improvement
or industrial development or for any other purpose which the
authority considers to be in the best interests of the district
and its people. The property shall be sold or leased to the
authority in accordance with section 469.065, subdivisions 1 to
4. Section 469.065, subdivisions 5 to 7, shall not apply to a
sale under this paragraph.
(d) Real property disposed of under clause (c) shall be
subject to leases, agreements, or other written interests in
force on June 1, 1983.
(e) The proceeds from the sale of any real property at the
metropolitan sports area shall be paid to the council and used
for debt service or retirement.
Subd. 7. [CONTRACTS.] The commission may contract for
materials, supplies, and equipment in accordance with section
471.345, except that the commission may employ persons, firms,
or corporations to perform one or more or all of the functions
of architect, engineer, construction manager, or contractor for
both design and construction, with respect to all or any part of
a project to build or remodel sports facilities. Contractors
shall be selected through the process of public bidding,
provided that it shall be permissible for the commission to
narrow the listing of eligible bidders to those which the
commission determines to possess sufficient expertise to perform
the intended functions. Any construction manager or contractor
shall certify, before the contracts are finally signed, a
construction price and completion date to the commission and
shall post a bond in an amount at least equal to 100 percent of
the certified price, to cover any costs which may be incurred
over and above the certified price, including but not limited to
costs incurred by the commission or loss of revenues resulting
from incomplete construction on the completion date. The
commission shall secure surety bonds as required in section
574.26, securing payment of just claims in connection with all
public work undertaken by it. Persons entitled to the
protection of the bonds may enforce them as provided in sections
574.28 to 574.32, and shall not be entitled to a lien on any
property of the commission under the provisions of sections
514.01 to 514.16.
Subd. 8. [EMPLOYEES; CONTRACTS FOR SERVICES.] The
commission may employ persons and contract for services
necessary to carry out its functions. The commission may employ
on such terms as it deems advisable persons or firms for the
purpose of providing traffic officers to direct traffic on
property under the control of the commission and on the city
streets in the general area of the property controlled by the
commission. The traffic officers shall not be peace officers
and shall not have authority to make arrests for violations of
traffic rules.
Subd. 9. [GIFTS AND GRANTS.] The commission may accept
gifts of money, property, or services, may apply for and accept
grants or loans of money or other property from the United
States, the state, any subdivision of the state, or any person
for any of its purposes, may enter into any agreement required
in connection therewith, and may hold, use, and dispose of such
money, property, or services in accordance with the terms of the
gift, grant, loan or agreement relating thereto. Except for the
acquisition, clearance, relocation, and legal costs referred to
in section 473.581, subdivision 3, clauses (d) and (e), the
commission shall not accept gifts, grants, or loans valued in
excess of $2,000,000 without the prior approval of the council.
In evaluating proposed gifts, grants, loans, and agreements
required in connection therewith, the council shall examine the
possible short-range and long-range impact on commission
revenues and commission operating expenditures.
Subd. 10. [RESEARCH.] The commission may conduct research
studies and programs, collect and analyze data, prepare reports,
maps, charts, and tables, and conduct all necessary hearings and
investigations in connection with its functions.
Subd. 11. [AGREEMENTS WITH UNIVERSITY.] The commission and
the board of regents of the University of Minnesota may enter
into agreements and do all other acts necessary to further the
functions prescribed in sections 473.551 to 473.595 473.599.
Subd. 12. [USE AGREEMENTS.] The commission may lease,
license, or enter into agreements and may fix, alter, charge,
and collect rentals, fees, and charges to all persons for the
use, occupation, and availability of part or all of any
premises, property, or facilities under its ownership,
operation, or control for purposes that will provide athletic,
educational, cultural, commercial or other entertainment,
instruction, or activity for the citizens of the metropolitan
area. Any such use agreement may provide that the other
contracting party shall have exclusive use of the premises at
the times agreed upon.
Subd. 13. [INSURANCE.] The commission may require any
employee to obtain and file with it an individual bond or
fidelity insurance policy. It may procure insurance in the
amounts it deems necessary against liability of the commission
or its officers and employees for personal injury or death and
property damage or destruction, with the force and effect stated
in chapter 466, and against risks of damage to or destruction of
any of its facilities, equipment, or other property.
Subd. 14. [SMALL BUSINESS CONTRACTS.] In exercising its
powers to contract for the purchase of services, materials,
supplies, and equipment, pursuant to subdivisions 5, 7, 8 and
10, the commission shall designate and set aside each fiscal
year for awarding to small businesses approximately ten percent
of the value of anticipated contracts and subcontracts of that
kind for that year, in the manner required of the commissioner
of administration for state procurement contracts pursuant to
sections 16B.19 to 16B.22. The commission shall follow the
rules promulgated by the commissioner of administration pursuant
to section 16B.22, and shall submit reports of the kinds
required of the commissioners of administration and economic
development by section 16B.21.
Subd. 16. [AGREEMENTS WITH AMATEUR SPORTS COMMISSION.] (a)
The commission and the Minnesota amateur sports commission
created pursuant to chapter 240A may enter into long-term
leases, use or other agreements for the conduct of amateur
sports activities at the basketball and hockey arena, and the
net revenues from the activities may be pledged for basketball
and hockey arena debt service. The commission, with the advice
of the Minnesota amateur sports commission, shall establish
standards to provide reasonable assurances to other public
bodies owning or operating an entertainment or sports complex or
indoor sports arena in the metropolitan area that the agreements
between the commission and the Minnesota amateur sports
commission with respect to the basketball and hockey arena shall
not remove the conduct of amateur sports activities currently
and traditionally held at such facilities.
(b) Any long-term lease, use or other agreement entered
into by the Minnesota amateur sports commission with the
commission under paragraph (a) must also:
(1) provide for a release of the Minnesota amateur sports
commission from its commitment under the agreement if the
legislature repeals or amends a standing appropriation or
otherwise does not appropriate sufficient money to fund the
lease or agreement to the Minnesota amateur sports commission;
and
(2) provide for a release of the Minnesota amateur sports
commission from its commitment under the agreement and permit it
to agree to a per event use fee when the bonds issued for the
metrodome under section 473.581 have been retired.
(c) No long-term lease, use or other agreement entered into
by the Minnesota amateur sports commission under paragraph (a)
may commit the amateur sports commission to paying more than
$750,000 per year.
(d) Any long-term lease, use or other agreement entered
into under paragraph (a) shall provide that the Minnesota
amateur sports commission shall be entitled to use of the
basketball and hockey arena for 50 event days per year. In
addition, any long-term lease, use, or other agreement entered
into under paragraph (a) shall permit the Minnesota amateur
sports commission to allow another person or organization to use
one or more of its days.
Subd. 17. [CREATING A CONDOMINIUM.] The commission may, by
itself or together with the Minneapolis community development
agency and any other person, as to real or personal property
comprising or appurtenant or ancillary to the basketball and
hockey arena and the health club, act as a declarant and
establish a condominium or leasehold condominium under chapter
515A or a common interest community or leasehold common interest
community under chapter 515B, and may grant, establish, create,
or join in other or related easements, agreements and similar
benefits and burdens that the commission may deem necessary or
appropriate, and exercise any and all rights and privileges and
assume obligations under them as a declarant, unit owner or
otherwise, insofar as practical and consistent with sections
473.551 to 473.599. The commission may be a member of an
association and the chair, any commissioners and any officers
and employees of the commission may serve on the board of an
association under chapter 515A or 515B.
Sec. 7. Minnesota Statutes 1992, section 473.561, is
amended to read:
473.561 [EXEMPTION FROM COUNCIL REVIEW.]
The acquisition and betterment of sports facilities by the
commission shall be conducted pursuant to sections 473.551 to
473.595 473.599 and shall not be affected by the provisions of
sections 473.161, 473.165, and 473.173.
Sec. 8. Minnesota Statutes 1992, section 473.564,
subdivision 2, is amended to read:
Subd. 2. [ASSUMPTION OF OBLIGATIONS.] Upon transfer of
ownership of the metropolitan sports area to the commission, the
council shall be and become obligated and shall provide for the
payment of the principal and interest thereafter due and payable
with respect to the general obligation bonds and revenue bonds
issued by the city of Minneapolis under the provisions of the
ownership and operations agreement among the cities and
amendments thereto. The council shall provide to Minneapolis
funds sufficient to meet the payments and to maintain the
sinking fund pursuant to the agreement. When the balance in the
sinking fund is sufficient to pay all remaining bonds and
interest to their maturity dates, or to an earlier date on which
they have been called for redemption, the obligation of the
council shall be discharged. When the principal and interest on
the bonds have been paid in full, any balance remaining in the
sinking fund, including interest earnings, shall be remitted to
the council and used by the council for debt service. Upon
transfer of ownership of the metropolitan sports area to the
commission, the commission shall assume all of the cities'
obligations and those of the metropolitan sports area commission
under the provision of all use agreements now in effect, entered
into by the metropolitan sports area commission on behalf of the
cities, providing for the use of the metropolitan sports area or
any part thereof by any person. The cities and the metropolitan
sports area commission shall cause to be executed all
assignments and other documents as the commission, upon advice
of counsel, shall deem necessary or desirable and appropriate to
vest all their rights and privileges under the agreements in the
commission. Nothing herein shall be construed as imposing upon
the council or commission an obligation to compensate the cities
or the metropolitan sports area commission for all or any part
of the metropolitan sports area or to continue to operate and
maintain the metropolitan sports area facilities taken over by
the commission.
Sec. 9. Minnesota Statutes 1992, section 473.572, is
amended to read:
473.572 [REVISED FINAL DETERMINATION.]
Subdivision 1. Notwithstanding any final determination
reached by the commission on or before December 1, 1978,
pursuant to section 473.571, subdivision 6, the commission shall
make a revised determination on a sports facility or sports
facilities which facility or facilities (1) may be covered, (2)
may include use of the existing or a remodeled metropolitan
stadium for baseball, and (3) shall be located in Hennepin
county. The decision shall be made within 30 days after May 26,
1979. In making its decision the commission may rely on data
previously submitted and reviewed pursuant to section 473.571
and need not require new data even if modifications are made in
an alternative previously considered. The commission shall give
full consideration to the needs of the University of Minnesota
when making its revised determination.
Subd. 2. Except as provided in this section, The council
shall make all determinations required by section sections
473.581, subdivision 3, and 473.599 before it authorizes the
issuance of bonds.
Subd. 3. 2. It is the intent of the legislature that the
commission shall, to the maximum extent possible consistent with
the provisions of section 473.581, subdivision 3, impose rates,
rentals and other charges in the operation of the sports
facility metrodome which will make the sports facility metrodome
self supporting so that the taxes imposed under section
473.592 for the metrodome will be at the lowest possible rate
consistent with the obligations of the political subdivision
levying those taxes city of Minneapolis as provided in sections
473.551 to 473.595.
Sec. 10. Minnesota Statutes 1992, section 473.581, is
amended to read:
473.581 [DEBT OBLIGATIONS.]
Subdivision 1. [BONDS.] The council may by resolution
authorize the sale and issuance of its bonds for any or all of
the following purposes:
(a) To provide funds for the acquisition or betterment of
sports facilities the metrodome by the commission pursuant to
sections 473.551 to 473.595;
(b) To refund bonds issued hereunder and bonds upon which
the council is obligated under section 473.564; and
(c) To fund judgments entered by any court against the
commission or against the council in matters relating to the
commission's functions related to the metrodome and the met
center.
Subd. 2. [PROCEDURE.] The bonds shall be sold, issued, and
secured in the manner provided in chapter 475 for bonds payable
solely from revenues, except as otherwise provided in sections
473.551 to 473.595, and the council shall have the same powers
and duties as a municipality and its governing body in issuing
bonds under that chapter. The bonds may be sold at any price
and at public or private sale as determined by the council.
They shall be payable solely from tax and other revenues
referred to in sections 473.551 to 473.595, excepting only the
admissions tax and surcharge related to the basketball and
hockey arena provided in section 473.595, subdivision 1a, the
taxes for the basketball and hockey arena provided in section
473.592, and other revenues attributable to the basketball and
hockey arena. The bonds shall not be a general obligation or
debt of the council or of the commission, and shall not be
included in the net debt of any city, county, or other
subdivision of the state for the purpose of any net debt
limitation, provided that nothing herein shall affect the
obligation of any political subdivision the city of Minneapolis
to levy a tax pursuant to an agreement agreements made under the
provisions of section 473.592. No election shall be required.
The principal amount shall not be limited except as provided in
subdivision 3.
Subd. 3. [LIMITATIONS.] The principal amount of the bonds
issued pursuant to subdivision 1, clause (a), shall not exceed
the amounts hereinafter authorized. If the commission's
proposal and the construction contracts referred to in clause
(g) of this subdivision provide for the construction of a
covered multipurpose sports facility, the total cost of
constructing the facility under the construction contracts, not
including costs paid from funds provided by others, and the
principal amount of bonds issued pursuant to subdivision 1,
clause (a), shall be limited to $55,000,000. If the
commission's proposal and the construction contracts do not
provide for the construction of a cover on a proposed
multipurpose sports facility and the commission does not
otherwise contract for the construction or acquisition of a
cover for the sports facility, the principal amount shall be
limited to $42,000,000. If the commission's proposal and the
construction contracts provide for the construction of a new
sports facility for football and soccer and for remodeling the
existing metropolitan stadium for baseball, the principal amount
shall be limited to $37,500,000. If the commission's proposal
and the construction contracts provide for the reconstruction
and remodeling of the existing metropolitan stadium as an
uncovered multipurpose sports facility, the principal amount
shall be limited to $25,000,000. The bonds issued pursuant to
subdivision 1, clause (a), shall bear an average annual rate of
interest, including discount, not in excess of 7-1/2 percent.
The proceeds of the bonds issued pursuant to subdivision 1,
clause (a), shall be used only for the acquisition and
betterment of sports facilities suitable for baseball, football
and soccer, with a seating capacity for football and soccer of
approximately 65,000 persons. The council shall issue its bonds
and construction of sports facilities may commence when the
council has made the following determinations:
(a) The commission has executed agreements with major
league professional baseball and football organizations to use
its sports facilities the metrodome for all scheduled regular
season home games and play-off home games and, in the case of
the football organization, for at least one-half of its
exhibition games played each season. The agreements shall be
for a period of not more than 30 years nor less than the term of
the longest term bonds that in the council's judgment it may
find it necessary to issue to finance the acquisition and
betterment of the commission's sports facilities metrodome. The
agreements may contain provisions negotiated between the
organizations and the commission which provide for termination
upon conditions related and limited to the bankruptcy,
insolvency, or financial capability of the organization. The
agreements shall provide that, in the event of breach of the
agreements, the defaulting organization shall pay damages
annually to the commission. The annual payment shall be in an
amount equal to the annual average of all revenue derived by the
commission from attendance at events and activities of the
defaulting organization during the years prior to default,
provided that the damages shall not exceed in any year an amount
sufficient, with other revenues of the commission but excluding
proceeds of the taxes under section 473.592, to pay all expenses
of operation, maintenance, administration, and debt service for
the facilities used use of the metrodome by the defaulting
organization during the same year. The damages shall be payable
during the period from the occurrence of the default to the date
on which another major league professional baseball or football
organization, replacing the defaulting organization, enters into
a use agreement with the commission for not less than the then
remaining term of the original agreement. The agreements with
the teams shall provide that no closed circuit or pay television
broadcasting of events in the sports facility metrodome may be
allowed without the approval of the commission. The agreements
shall include provisions protecting the commission and the
council in the event of change in ownership of the professional
teams.
(b) The commission has executed agreements with
professional baseball and football major leagues which guarantee
the continuance of franchises in the metropolitan area for the
period of the agreements referred to in clause (a).
(c) The proceeds of bonds provided for in this subdivision
will be sufficient, together with other capital funds that may
be available to the commission for expenditures on the
metrodome, to construct or remodel and to furnish the sports
facilities metrodome proposed by the commission, including the
appropriate professional fees and charges but excluding, except
as otherwise provided in this subdivision, the acquisition,
clearance, relocation, and legal costs referred to in clauses
(d) and (e).
(d) The commission has acquired, without cost to the
commission or the council except as provided in this
subdivision, title to all real property including all easements
and other appurtenances needed for the construction and
operation of any proposed sports facilities the metrodome or has
received a grant of funds or has entered into an agreement or
agreements sufficient in the judgment of the council to assure
the receipt of funds, at the time and in the amount required, to
make any payment upon which the commission's acquisition of
title and possession of the real property is conditioned.
(e) The commission has received a grant of funds or entered
into an agreement or agreements sufficient in the judgment of
the council to assure the receipt of funds, at the time and in
the amount required, to pay all costs, except as provided in
this subdivision, of clearing the real property needed for the
construction and operation of any proposed sports facilities the
metrodome of all buildings, railroad tracks and other
structures, including without limitation all relocation costs,
all utility relocation costs, and all legal costs.
(f) The commission has executed agreements with appropriate
labor organizations and construction contractors which provide
that no labor strike or management lockout will halt, delay or
impede construction.
(g) The commission has executed agreements which will
provide for the construction of its sports facilities the
metrodome for a certified construction price and completion date
and which include performance bonds in an amount at least equal
to 100 percent of the certified price to cover any costs which
may be incurred over and above the certified price, including
but not limited to costs incurred by the commission or loss of
revenues resulting from incomplete construction on the
completion date.
(h) The environmental impact statement for the sports
facility or facilities metrodome has been accepted by the
environmental quality board, and the pollution control agency
and any other department, agency, or unit of government have
taken the actions necessary to permit the construction of
the sports facility or facilities metrodome.
(i) At least 50 percent of the private boxes provided for
in the commission's proposal for the sports facility or
facilities metrodome are sold or leased for at least five years.
(j) The anticipated revenue from the operation of the
sports facility or facilities metrodome plus any additional
available revenue of the commission and the revenue from the
taxes under section 473.592 will be an amount sufficient to pay
when due all debt service plus all administration, operating and
maintenance expense.
(k) The commission has studied and considered the needs of
the University of Minnesota for athletic facilities for a
prospective 20 year period.
(l) The municipality where the facility is to be
constructed city of Minneapolis has entered into an agreement as
contemplated in section 473.592 as security for the metrodome
debt service.
(m) The commission has entered into an agreement or
agreements with a purchaser or purchasers of tickets of
admission for a period of not less than 20 years which will
assure that whenever more than 90 and less than 100 percent of
the tickets of admission for seats at any professional football
game, which were available for purchase by the general public
120 hours or more before the scheduled beginning time of the
game either at the sports facility metrodome where the game is
to be played or at the box office closest to the sports facility
metrodome, have been purchased 72 hours or more before the
beginning time of the game, then all of such tickets which
remain unsold will be purchased in sufficient time to permit the
telecast to areas within the state which otherwise would not
receive the telecast because of the terms of an agreement in
which the professional football league has sold or otherwise
transferred all or part of the rights of the league's member
organizations in the sponsored telecasting of games of the
organizations. The party or parties agreeing to the purchase of
such unsold tickets shall be obligated for a period of at least
20 years in an amount determined by the council to be sufficient
to assure the purchase of all such unsold tickets.
(n) The council has entered into an agreement with the
brokerage firm or brokerage firms to be used in connection with
the issuance and sale of the bonds guaranteeing that fees and
charges payable to the brokerage firm or firms in connection
therewith, including any underwriting discounts, shall not
exceed fees and charges customarily payable in connection with
the issuance and sale of bonds secured by the pledge of the full
faith and credit of the municipality in which any new sports
facility is to be located city of Minneapolis.
The validity of any bonds issued under subdivision 1,
clause (a), and the obligations of the council and commission
related thereto, shall not be conditioned upon or impaired by
the council's determinations made pursuant to this subdivision.
For purposes of issuing the bonds the determinations made by the
council shall be deemed conclusive, and the council shall be and
remain obligated for the security and payment of the bonds
irrespective of determinations which may be erroneous,
inaccurate, or otherwise mistaken.
Subd. 4. [SECURITY.] To the extent and in the manner
provided in sections 473.592 and 473.595, the taxes described in
section 473.592 for the metrodome, the tax and other revenues of
the commission described in section 473.595, subdivision 1, and
any other revenues of the commission attributable to the
metrodome shall be and remain pledged and appropriated for the
payment of all necessary and reasonable expenses of the
operation, administration, maintenance, and debt service of the
commission's sports facilities metrodome until all bonds
referred to in section 473.564, subdivision 2, and all bonds and
certificates issued pursuant to this section are fully paid or
discharged in accordance with law. The revenue bonds and
interest thereon referred to in section 473.564, subdivision 2,
may be refunded, whether at a lower or a higher rate of
interest, by the issuance of new bonds pursuant to subdivision
1, clause (b), for the purpose of pledging revenues of the
metropolitan sports area for the payment and security of bonds
issued hereunder, and the council may provide that a portion of
the new bonds shall be payable solely from the interest earnings
derived from the investment of the bond proceeds. Until these
revenue bonds are fully paid or the council's obligation thereon
is discharged in accordance with law they shall be deemed a
first and prior charge on those revenues and shall be secured by
all provisions of the revenue bond resolution and the ownership
and operations agreement. Bonds issued pursuant to this section
and bonds referred to in section 473.564, subdivision 2, may be
secured by a bond resolution, or by a trust indenture entered
into by the council with a corporate trustee within or outside
the state, which shall define the tax and other metrodome and
met center revenues pledged for the payment and security of the
bonds. The pledge shall be a valid charge on the tax and other
revenues referred to in sections 473.551 to 473.595 (excepting
only the admissions tax and surcharge related to the basketball
and hockey arena provided in section 473.595, subdivision 1a,
taxes described in section 473.592 for the basketball and hockey
arena, and other revenues attributable to the basketball and
hockey arena) from the date when bonds are first issued or
secured under the resolution or indenture and shall secure the
payment of principal and interest and redemption premiums when
due and the maintenance at all times of a reserve securing such
payments. No mortgage of or security interest in any tangible
real or personal property shall be granted to the bondholders or
the trustee, but they shall have a valid security interest in
all tax and other revenues received and accounts receivable by
the commission or council hereunder, as against the claims of
all other persons in tort, contract, or otherwise, irrespective
of whether such parties have notice thereof, and without
possession or filing as provided in the uniform commercial code
or any other law. In the bond resolution or trust indenture the
council may make such covenants, which shall be binding upon the
commission, as are determined to be usual and reasonably
necessary for the protection of the bondholders. No pledge,
mortgage, covenant, or agreement securing bonds may be impaired,
revoked, or amended by law or by action of the council,
commission, or city, except in accordance with the terms of the
resolution or indenture under which the bonds are issued, until
the obligations of the council thereunder are fully discharged.
Subd. 5. [REVENUE ANTICIPATION CERTIFICATES.] At any time
or times after approval by the council and final adoption by the
commission of an annual budget of the commission for operation,
administration, and maintenance of its sports facilities the
metrodome, and in anticipation of the proceeds from the taxes
under section 473.592 for the metrodome and the revenues of the
commission provided for in the budget, but subject to any
limitation or prohibition in a bond resolution or indenture, the
council may authorize the issuance, negotiation, and sale, in
such form and manner and upon such terms as it may determine, of
revenue anticipation certificates. The principal amount of the
certificates outstanding shall at no time exceed 25 percent of
the total amount of the tax and other revenues anticipated. The
certificates shall mature not later than three months after the
close of the budget year. Prior to the approval and final
adoption of the first annual budget of the commission, the
council may authorize up to $300,000 in revenue anticipation
certificates under this subdivision. So much of the anticipated
tax and other revenues as may be needed for the payment of the
certificates and interest thereon shall be paid into a special
debt service fund established for the certificates in the
council's financial records. If for any reason the anticipated
tax and other revenues are insufficient, the certificates and
interest shall be paid from the first tax and other revenues
received, subject to any limitation or prohibition in a bond
resolution or indenture. The proceeds of the certificates may
be used for any purpose for which the anticipated revenues or
taxes may be used or for any purpose for which bond proceeds
under subdivision 1 may be used, provided that the proceeds of
certificates issued after May 26, 1979, shall not be used to pay
capital costs of sports facilities the metrodome constructed or
remodeled pursuant to sections 473.551 to 473.595.
Sec. 11. Minnesota Statutes 1992, section 473.592, is
amended to read:
473.592 [TAX REVENUES.]
Subdivision 1. [LOCAL SALES TAX.] Upon designation of a
location for a sports facility pursuant to section 473.572, the
municipality in which the facility is to be located The city of
Minneapolis may enter into an agreement agreements with the
metropolitan council and the commission which requires the
municipality to impose a sales tax, supplemental to the general
sales tax imposed in chapter 297A, for the purposes and in
accordance with the requirements specified in sections 473.551
to 473.595 473.599. The tax may be imposed:
(a) on the gross receipts from all retail on-sales of
intoxicating liquor and fermented malt beverages when sold at
licensed on-sale liquor establishments and municipal liquor
stores located within the municipality, or
(b) notwithstanding any limitations of Laws 1986, chapter
396, section 5, clause (2), on the gross receipts from the
furnishing for consideration of lodging for a period of less
than 30 days at a hotel, motel, rooming house, tourist court, or
trailer camp located within the municipality, or
(c) on both. The agreement between the municipality the
gross receipts on all sales of food primarily for consumption on
or off the premises by restaurants and places of refreshment as
defined by resolution of the city, or
(d) on any one or combination of the foregoing.
A tax under this subdivision shall be imposed only within a
downtown taxing area to be determined by the council.
The agreement or agreements between the city, the metropolitan
council, and the commission shall require the municipality to
impose the tax or taxes at whatever rate or rates may be
necessary to produce revenues which are determined by the
council from year to year to be required, together with the
revenues available to the commission, to pay when due all debt
service on bonds and revenue anticipation certificates issued
under section 473.581, all debt service on bonds referred to in
section 473.564, subdivision 2 and revenue anticipation
certificates issued under section 473.599, and all expenses of
operation, administration, and maintenance of the sports
facilities metrodome and the basketball and hockey arena. When
it is determined that a tax must be imposed under this
subdivision after the effective date of this act, there shall be
added to the rate of the tax imposed for the purposes described
in the previous sentence a tax at a rate of 0.25 percent for use
by the city to fund recreational facilities and programs in the
city's neighborhoods for children and youth through the
Minneapolis park and recreation board. The agreement agreements
shall provide for the suspension, reimposition, reduction, or
increase in tax collections upon determination by the
metropolitan council that such actions are appropriate or
necessary for the purposes for which the tax is imposed,
provided that the balance in each of the metrodome debt service
and the basketball and hockey arena debt service fund or funds,
including any reserve for debt service, shall be maintained at
least at an amount sufficient to pay the principal and interest
on bonds which will become due within the next succeeding one
year period and, except as otherwise provided by agreement,
shall not be maintained at an amount greater than that required
to pay principal and interest on bonds which will become due
within the next succeeding two year period. Once the tax is
imposed by the city, the tax imposed for the benefit of the
Minneapolis park and recreation board shall remain in effect at
the rate of 0.25 percent until the bonds issued under section
473.599 have been retired. The agreement agreements shall be
executed by the city, after approval by resolution of the city
council and before the issuance of the bonds under section
473.581 and commencement of construction, of the metrodome or
the issuance of bonds under section 473.599 and acquisition of
the basketball and hockey arena and shall constitute a contract
or contracts with and for the security of all holders of the
bonds and revenue anticipation certificates secured by the tax.
A sports facility The metrodome shall not be constructed or
remodeled in a municipality which has not entered into an
agreement for the metrodome in accordance with this section. A
basketball and hockey arena shall not be acquired in the city of
Minneapolis unless the city has entered into an agreement in
accordance with this section as security for bonds issued
pursuant to section 473.599 and expenses of operation,
administration, and maintenance of the basketball and hockey
arena. The tax shall be reported and paid to the commissioner
of revenue with and as part of the state sales and use taxes,
and shall be subject to the same penalties, interest, and
enforcement provisions. The collections of the tax, less
refunds and a proportionate share of the costs of collection,
shall be remitted at least quarterly to the metropolitan council
and the city of Minneapolis for use by the Minneapolis park and
recreation board. The commissioner of revenue shall deduct from
the proceeds remitted to the council and the city an amount that
equals the indirect statewide costs as well as the direct and
indirect department costs necessary to administer, audit, and
collect this tax. The amount deducted shall be deposited in the
general fund of the state. The proceeds remitted with respect
to the metrodome shall be placed, together with the net revenues
of the commission attributable to the metrodome under section
473.595, into the debt service fund or reserve or special funds,
established under section 473.581, and any funds established to
secure payment of operating deficits of the commission arising
from its ownership and operation of the metrodome. The proceeds
may be used for payment of debt service on bonds and revenue
anticipation certificates issued under section 473.581, debt
service on bonds referred to in section 473.564, subdivision 2,
and expenses of operation, administration, and maintenance of
the sports facilities metrodome. The proceeds shall not be used
for any capital costs of sports facilities constructed under
sections 473.551 to 473.595 the metrodome, except that the
proceeds may be used to pay interest on bonds during the
construction period.
The proceeds remitted with respect to the basketball and
hockey arena shall be placed, together with the net revenues of
the commission attributable to the basketball and hockey arena
under section 473.595, subdivision 1a, into the debt service
fund or reserve or special funds, established under section
473.599, and any funds established to secure payment of
operating deficits of the commission arising from its
acquisition, ownership, operation, or maintenance of the
basketball and hockey arena. The proceeds may be used for
payment of debt service on bonds and revenue anticipation
certificates issued under section 473.599, and expenses of
operation, administration, and maintenance of the basketball and
hockey arena.
Subd. 2. [METROPOLITAN LIQUOR TAX.] All proceeds of the
liquor tax collected by the council pursuant to the provisions
of Minnesota Statutes 1978, section 473.591, prior to August 1,
1979, not otherwise expended or applied as provided in this
chapter, together with any earnings derived from the investment
of such revenues, may be used for any purpose for which the tax
revenues under subdivision 1 may be used.
Sec. 12. Minnesota Statutes 1992, section 473.595, is
amended to read:
473.595 [COMMISSION FINANCES.]
Subdivision 1. [METRODOME ADMISSION TAX.] Effective
January 1, 1978, The commission shall by resolution impose a
three and maintain a ten percent admission tax upon the
granting, issuance, sale, or distribution, by any private or
public person, association, or corporation, of the privilege of
admission to activities; except for those activities sponsored
at the indoor public assembly facility at the metropolitan
sports area known as the metropolitan sports center. Commencing
with the operation of sports facilities constructed or remodeled
by the commission pursuant to sections 473.551 to 473.595, the
commission shall impose an additional seven percent admission
tax upon activities conducted at such sports facilities.
Effective January 1, 1978, at the metrodome. No other tax,
surcharge, or governmental imposition, except the taxes imposed
by chapter 297A, may be levied by any other unit of government
upon any such sale or distribution. The admission tax shall be
stated and charged separately from the sales price so far as
practicable and shall be collected by the grantor, seller, or
distributor from the person admitted and shall be a debt from
that person to the grantor, issuer, seller, or distributor, and
the tax required to be collected shall constitute a debt owed by
the grantor, issuer, seller, or distributor to the commission,
which shall be recoverable at law in the same manner as other
debts. Every person granting, issuing, selling, or distributing
tickets for such admissions may be required, as provided in
resolutions of the commission, to secure a permit, to file
returns, to deposit security for the payment of the tax, and to
pay such penalties for nonpayment and interest on late payments,
as shall be deemed necessary or expedient to assure the prompt
and uniform collection of the tax.
Notwithstanding any other provisions of this subdivision,
the imposition of an admission tax upon a national superbowl
football game conducted at the commission's facilities metrodome
is discretionary with the commission.
Subd. 1a. [ARENA ADMISSION TAX.] The commission shall
impose a ten percent admission tax on all tickets sold, issued,
granted, or distributed for the privilege of admission to the
basketball and hockey arena. In addition, the commission shall
impose a surcharge in an amount to be determined by the
commission, but not less than $1 per ticket, on all tickets
sold, issued, granted, or distributed for the privilege of
admission to activities at the basketball and hockey arena. The
sales price shall include the price of the ticket and any
service or other charge imposed by the grantor, issuer, seller,
or distributor upon the reservation, processing, distribution,
delivery, or sale of the ticket. No other tax, surcharge, or
governmental imposition, except the taxes imposed by chapter
297A, may be levied by any other unit of government upon such a
sale or distribution. The admission tax and surcharge for the
privilege of admission to activities at the basketball and
hockey arena shall be charged and added to the sales price of
the ticket, and imposed and collected in the same manner
provided for the metrodome pursuant to subdivision 1. The tax
and surcharge provided for in this subdivision shall be
effective from and after the date of the commission's
acquisition of the basketball and hockey arena.
Subd. 2. [RENTALS; FEES; CHARGES.] Rentals, fees, and
charges provided for in use agreements at the metrodome and
basketball and hockey arena entered into by the commission shall
be those estimated by the commission to be necessary and
feasible to produce so far as possible, with commission revenues
from other sources, the amounts needed for current operation,
maintenance, and debt service. The commission shall with
respect to all facilities in the metropolitan sports area and
any sports facility constructed pursuant to Laws 1977, chapter
89 the met center, the metrodome, and the basketball and hockey
arena meet and confer with any public body, authority, or agency
owning or operating an entertainment or sports complex, or
indoor sports arena, in the metropolitan area in which Laws
1977, chapter 89 is effective, for the purpose of undertaking
measures or agreements maximizing revenues and eliminating
unnecessary operational expenditures.
Subd. 3. [BUDGET PREPARATION; REVIEW AND APPROVAL.] The
commission shall comply with the provisions of section 473.163,
provided that the entire budget, including operating revenues
and expenditures for operation, administration, and maintenance,
shall be subject to approval by the council, in accordance with
the procedures described in section 473.163.
Subd. 4. [PAYMENT OF COUNCIL COSTS.] The commission shall
comply with the provisions of section 473.164.
Subd. 5. [AUDIT.] The legislative auditor shall make an
independent audit of the commission's books and accounts once
each year or as often as the legislative auditor's funds and
personnel permit. The costs of the audits shall be paid by the
commission pursuant to section 3.9741. The council may examine
the commission's books and accounts at any time.
Subd. 6. [GENERAL.] The commission shall receive and
account for all tax and other revenue of the commission and from
the revenue shall provide, contract, and pay for proper
operation, administration, and maintenance of all of its
property and facilities and shall maintain, as authorized by
resolutions of the council, reserves for major repairs,
replacements, and improvements and for working capital. The
commission shall remit to the council for deposit in
its metrodome debt service fund funds, at the times required by
resolution of the council, the net revenue attributable to the
metrodome in excess of these requirements and for deposit in its
basketball and hockey arena debt service fund or funds, at the
times required by resolution of the council, the net revenue
attributable to the basketball and hockey arena in excess of
these requirements.
Subd. 7. [SALE OF SEATS.] The commission may sell seats in
any multipurpose sports facility constructed after June 30, 1979
at prices and subject to conditions consistent with this
section. Ownership of a seat shall give the owner first
preference for purchase of a season ticket of admission for
professional sports exhibitions with a right to be seated in the
owned seat. An owner may sell or otherwise transfer the rights
on whatever terms the owner chooses. Rights to a seat may not
be divided. No fee may be charged for a transfer of ownership
of a seat. The commission may charge a maintenance fee not
exceeding $10 per year for each seat.
Sec. 13. Minnesota Statutes 1992, section 473.596, is
amended to read:
473.596 [ACCESS STREETS AND HIGHWAYS, HIGHWAY USER TAX
DISTRIBUTION FUND.]
No money derived from the highway user tax distribution
fund shall be used to construct, relocate, or improve any
streets, highways, or other public thoroughfares, except ones
included in the municipal state aid street system established
pursuant to article XIV, section 4, of the Minnesota
Constitution if such work is done in order to provide or improve
access to a new sports facility the metrodome constructed
pursuant to sections 473.551 to 473.595. The commissioner of
transportation shall determine whether expenditures are in
violation of this section.
Sec. 14. [473.598] [ARENA ACQUISITION.]
Subdivision 1. [COMMISSION DETERMINATION.] The commission
shall first determine whether to pursue negotiations to acquire
the basketball and hockey arena.
Subd. 2. [EXAMINATION AND DISCLOSURE OF LOAN
TERMS.] Before making a final decision to acquire the basketball
and hockey arena, the commission must obtain and examine all the
terms, conditions, covenants, and other provisions of any loan
agreements between the owners of the arena and third parties
that provided financing secured by mortgages on or other
security interests in the basketball and hockey arena. These
terms specifically include any agreements that require a
professional team affiliated with the owner to lease or use the
arena or that restrict or limit the authority of the team owners
or affiliates to relocate the team. The commission shall make
the terms of the agreements available for public inspection.
Subd. 3. [COMMISSION PROPOSAL.] (a) If the commission
makes a final determination to acquire the basketball and hockey
arena, the commission may then submit to the metropolitan
council a proposal to bond for and acquire the basketball and
hockey arena. The commission's proposal shall contain all
information deemed appropriate or necessary by the council to
its determinations pursuant to section 473.599, subdivision 4.
The commission, in preparing the proposal for the council, shall
require of the sellers and of the professional teams that are
potential lessees or other potential lessees and all of their
affiliated entities any and all data relevant to the
acquisition, financing, ownership, and operation of the
basketball and hockey arena, including, but not limited to,
contracts, agreements, profit and loss statements, annual audit
statements and balance sheets. The commission shall contract
with an independent, nationally recognized firm of certified
public accountants to perform due diligence and provide an
economic feasibility study or report with regard to the data
received by the commission from the sellers, the potential
lessees, and affiliated entities. In evaluating whether to
acquire the basketball and hockey arena, the commission shall
consider among other factors, (a) total capital and operating
costs of the basketball and hockey arena to the commission and
total commission revenues from the basketball and hockey arena
over the expected life of the facility, including any
contributions by the state, local units of government or other
organizations, (b) the total governmental costs associated with
the acquisition and operation of the basketball and hockey
arena, including the cost to all units and agencies of
government as well as the costs to the commission, (c) the net
gain or loss of taxes to the state and all local government
units, and (d) economic and other benefits accruing to the
public.
(b) Before submitting its proposal to the metropolitan
council under paragraph (a), the commission shall submit the
proposal to the legislative auditor and the department of
finance for review, evaluation, and comment. The legislative
auditor shall present the evaluation and comments to the
legislative audit commission. Both the legislative auditor and
the commissioner of finance shall present their evaluation and
comments to the chairs of the house taxes, and ways and means
committees, to the chair of the state government finance
division of the house governmental operations committee, and to
the chairs of the senate taxes and finance committees. Any data
which is not public data under subdivision 4 shall remain not
public data when given to the legislative auditor or the
department of finance.
Subd. 4. [TREATMENT OF DATA.] (a) Except as specifically
provided in this subdivision, all data received by the
commission or council in the course of its negotiations and
acquisition of the basketball and hockey arena is public data.
(b) The commission may keep confidential data received or
prepared by its accountants or counsel for purposes of
negotiations with existing or potential lessees of the
basketball and hockey arena. That data shall be confidential
data on individuals under section 13.02, subdivision 3, or
protected nonpublic data under section 13.02, subdivision 13, as
the case may be, unless the commission determines that public
release of the data would advance the negotiations, or until the
potential lessees have executed agreements with the commission
or the negotiations are unfavorably concluded.
(c) The following data shall be private data on individuals
under section 13.02, subdivision 12, or nonpublic data under
section 13.02, subdivision 9, as the case may be:
(1) data received by the commission or council from the
present lessees or potential lessees of the basketball and
hockey arena which if made public would, due to the disclosure,
permit a competitive economic advantage to other persons;
(2) data relating to affiliated entities of the parties
referred to in subdivision 2 which is not relevant to the due
diligence and economic feasibility study referred to under
subdivision 2; and
(3) data on individuals which is not relevant to the
finances of the basketball and hockey arena or useful to
demonstrate the financial ability of the potential lessees of
the arena to perform their agreements with the commission.
(d) For purposes of this subdivision, the terms
"commission" and "council" include their members and employees,
accountants, counsel, and consultants and the firm of
independent certified public accountants to be engaged under
subdivision 2.
(e) Notwithstanding the exceptions in this subdivision,
summary data which demonstrates the financial ability of the
lessees and potential lessees of the basketball and hockey arena
to perform their obligations under agreements with the
commission and data which relates in any way to the value of the
basketball and hockey arena and the amount by which the owners'
investment in the arena, including debt obligations, exceeds the
commission's payments to and assumption of the owners' debt
obligations, shall be public data.
Subd. 5. [HOCKEY AGREEMENT.] The commission shall exercise
its best efforts, consistent with its other obligations under
sections 473.551 to 473.599 to attempt to secure an agreement
with a major league professional hockey organization to play its
home games at the basketball and hockey arena.
Sec. 15. [473.599] [DEBT OBLIGATIONS.]
Subdivision 1. [REVENUES.] It is the intent of the
legislature that the commission shall, to the maximum extent
possible consistent with the provisions of this section, impose
rates, rentals, and other charges in the operation of the
basketball and hockey arena which together with the admissions
tax and surcharge provided in section 473.595, subdivision 1a,
will make the basketball and hockey arena self-supporting so
that the taxes imposed under section 473.592 for the basketball
and hockey arena will be at the lowest possible rate consistent
with the obligations of the city of Minneapolis as provided in
sections 473.551 to 473.599.
Subd. 2. [BONDS.] The council shall by resolution
authorize the sale and issuance of its bonds for any of the
following purposes upon its determination that the conditions of
subdivision 4 have been met:
(a) To provide funds for the acquisition or betterment of
the basketball and hockey arena by the commission pursuant to
sections 473.598 and 473.599;
(b) To refund bonds issued under this section; and
(c) To fund judgments entered by any court against the
commission or against the council in matters relating to the
basketball and hockey arena.
Subd. 3. [PROCEDURE.] The bonds shall be sold, issued, and
secured in the manner provided in chapter 475 for bonds payable
solely from revenues, except as otherwise provided in sections
473.551 to 473.599, and the council shall have the same powers
and duties as a municipality and its governing body in issuing
bonds under chapter 475. The council may pledge for the payment
of the bonds the net revenues of the commission arising from the
commission's operation of the basketball and hockey arena, the
tax provided by section 473.592 for the basketball and hockey
arena, and the admission tax and surcharge authorized in section
473.595, subdivision 1a. The bonds may be sold at any price and
at public or private sale as determined by the council. They
shall be payable solely from tax and other revenues referred to
in sections 473.551 to 473.599, and shall not be a general
obligation or debt of the council or of the commission, and
shall not be included in the net debt of any city, county, or
other subdivision of the state for the purpose of any net debt
limitation, but nothing in this section shall affect the
obligation of the city of Minneapolis to levy a tax pursuant to
an agreement made under the provisions of section 473.592. No
election shall be required. The principal amount shall not be
limited except as provided in subdivision 4.
Subd. 4. [LIMITATIONS.] The principal amount of the bonds
issued pursuant to subdivision 2, clause (a), exclusive of any
original issue discount, shall not exceed the total amount of
$42,000,000 plus such amount as the council determines necessary
to pay the costs of issuance, fund reserves for operation and
debt service, and pay for any bond insurance or other credit
enhancement. The bonds may be issued as tax-exempt revenue
bonds or as taxable revenue bonds in the proportions that the
commission may determine. The proceeds of the bonds issued
pursuant to subdivision 2, clause (a), shall be used only for
acquisition and betterment of sports facilities suitable for a
basketball and hockey arena and the arena land and the related
purposes referred to in this subdivision, and for reimbursement
of any expenses of the commission related to its determination
of whether to acquire the basketball and hockey arena, whenever
incurred. The council shall issue its bonds pursuant to
subdivision 2, clause (a), and the commission may acquire the
basketball and hockey arena and the arena land when the council
has made the following determinations:
(a) The commission, the city of Minneapolis or the
Minneapolis community development agency, or any or all of them,
as the commission may deem appropriate, has executed agreements
with a major league professional basketball organization to use
the arena for all scheduled regular season home games and
play-off home games, and for at least one of its exhibition
games played each season. The agreements shall be for a period
of 30 years. The agreements may contain provisions negotiated
with the organization which provide for earlier termination of
the use of the basketball and hockey arena by the commission
upon conditions related to and limited to the bankruptcy or
insolvency of the organization. The agreements shall afford to
the commission, the city of Minneapolis, or the Minneapolis
community development agency, or each or all of them, as the
commission deems appropriate, the remedies that are deemed
necessary and appropriate to provide reasonable assurances that
the major league professional basketball organization or another
major league professional basketball organization shall comply
with the agreements. The remedies shall include the payment of
liquidated damages equivalent to direct and consequential
damages incurred by reason of the breach of the agreements and
any additional remedies or security arrangements the commission
reasonably determines to be effective in accomplishing the
purposes of this paragraph. The damages payment may be payable
in a lump sum or in installments as the commission may deem
appropriate. The commission may require that the agreements
include other terms and conditions to provide reasonable
assurances that the major league professional basketball team or
a successor major league professional basketball team will play
the required games at the basketball and hockey arena during the
30-year term of the agreements, or, in the event of a breach, to
assure the payment of the required damages. The agreements
shall address contingencies that may arise in the event of
change of ownership of the professional teams. The agreements
with the professional basketball organization for the use of the
basketball and hockey arena shall provide for arrangements which
the commission may deem necessary or appropriate to accommodate
a future agreement between the commission and a professional
hockey organization to occupy the basketball and hockey arena,
consistent with this section.
(b) The commission has exercised its reasonable efforts to
obtain assurances and/or agreements from the professional
basketball major league to the extent permitted under applicable
federal and state law, that it will not approve the relocation
of the major league professional basketball organization if the
relocation is in violation of the terms of the agreements
referred to in paragraph (a).
(c) The professional basketball team has provided
information sufficient to satisfy the council and the commission
of the team's ability to comply with the terms of the 30-year
lease.
(d) The proceeds of bonds provided for in this subdivision
will be sufficient for the purposes for which they are issued.
(e) The commission has acquired, or has contracted to
acquire, (i) leasehold title to the arena land together with the
estate of the tenant and other rights demised under the ground
lease, subject to amendment as provided in clause (o), (ii)
ownership of all real and personal property comprising the
basketball and hockey arena, and (iii) all easements,
appurtenances and other rights, title, or interest deemed by the
commission necessary or desirable in connection with the
acquisition, financing, ownership, and operation of the
basketball and hockey arena.
(f) The percentage of the private boxes provided for in the
commission's proposal for the basketball and hockey arena are
sold or leased for the period that the commission finds
advisable.
(g) The anticipated admission taxes and surcharges and
other revenue from the operation of the basketball and hockey
arena will be sufficient to pay when due all basketball and
hockey arena debt service plus all administration, operating and
maintenance expense of the arena.
(h) The city of Minneapolis has entered into an agreement
as contemplated in clause (n) and an agreement or agreements as
contemplated in section 473.592 with respect to the basketball
and hockey arena.
(i) The council has entered into an agreement with the
brokerage firm or brokerage firms to be used in connection with
the issuance and sale of the bonds guaranteeing that fees and
charges payable to the brokerage firm or firms in connection
therewith, including any underwriting discounts, shall not
exceed fees and charges customarily payable in connection with
the issuance and sale of bonds secured by the pledge of the full
faith and credit of the city of Minneapolis.
The validity of any bonds issued under subdivision 2,
clause (a), and the obligations of the council and commission
related to them, shall not be conditioned upon or impaired by
the council's determination made pursuant to this subdivision.
For purposes of issuing the bonds the determinations made by the
commission and council shall be deemed conclusive, and the
council shall be and remain obligated for the security and
payment of the bonds irrespective of determinations which may be
erroneous, inaccurate, or otherwise mistaken.
(j) The commission has entered into arrangements with any
other persons to create a condominium or leasehold condominium,
or common interest community or leasehold common interest
community, with respect to the building containing the
basketball and hockey arena, including the arena playing and
spectator areas, and all other portions of the building, and
together with the arena land and all other related improvements,
easements and other appurtenant and ancillary property and
property rights. The Minneapolis community development agency
in its capacity as ground lease landlord may be a party to the
condominium or common interest community declaration. The
condominium or common interest community declaration shall
establish the portion of the building containing the health club
as a separate unit of the condominium or common interest
community, and the commission shall have entered into an
agreement or agreements with a private sports and health club
organization which shall require that the organization shall
purchase or retain ownership of the unit with its own funds and
at no cost or expense to the commission, and that the
organization shall pay for all utility and other operating costs
and expenses including allocated common expenses and pay ad
valorem property taxes for the unit. The condominium or common
interest community declaration may also establish other units in
the condominium or common interest community which shall include
the arena playing and spectator areas and may also include
office space, restaurant space, locker rooms, private spectator
suites or boxes, signage, and other areas, and may also
establish common elements, limited common elements and other
easements and interests as the commission deems necessary or
appropriate. The agreement or agreements between the commission
and the private sports and health club organization may also
address additional matters which may be the subject of the
bylaws or other agreements or arrangements among unit owners of
condominiums or common interest communities, either as part of,
or separately from, the provisions of chapter 515A or 515B, or
any other items as may be ordinarily and customarily negotiated
between the commission and the organization.
(k) The private sports and health club organization has
executed an assessment agreement pursuant to section 469.177,
subdivision 8, obligating payment of ad valorem taxes based on a
minimum market value of the health club of at least $10,000,000
with the city of Minneapolis or the Minneapolis community
development agency.
(l) The commission has executed an agreement requiring the
commission to remit annually to the Minneapolis community
development agency or appropriate agency an amount which
together with any ad valorem taxes or other amounts received by
the city of Minneapolis or the Minneapolis community development
agency from the health club as tax increments equals the debt
service required by the tax increment district attributable to
the basketball and hockey arena until the current outstanding
indebtedness or any refunding thereof has been paid or retired.
(m) The development agreement shall be amended:
(i) so that no payments are due to the city of Minneapolis
or the Minneapolis community development agency from the
commission or any other person with respect to the sale,
ownership or operation of the basketball and hockey arena,
except as provided in clauses (k), (l), and (n); and
(ii) to confirm the satisfactory performance of the
obligations of the parties to the development agreement on the
effective date of the commission's acquisition; provided, that
the city of Minneapolis and the Minneapolis community
development agency shall not be required to release any claim
they may have under the development agreement with respect to
the operations or sale of the health club (except as such claim
may arise from the commission's acquisition of the basketball
and hockey arena and the contemporaneous sale or transfer of the
health club to those persons who own the basketball and hockey
arena and the health club on the date of the commission's
acquisition) or from the operations or sale of the professional
basketball organization occupying the basketball and hockey
arena or the security they may have under the development
agreement or the ground lease to assure its performance,
pursuant to the guaranty of the guarantors in the event of any
default of the commission under the ground lease, or of the
owners of the health club with respect to the payment of ad
valorem taxes or any payment due from them under the development
agreement as amended in accordance with the provisions of this
subdivision.
(n) The commission has executed an agreement with the city
of Minneapolis providing that for so long as the commission owns
the basketball and hockey arena the city shall not impose any
entertainment tax or surcharge on tickets purchased for any and
all events at the basketball and hockey arena. The agreement
may also provide that the commission shall compensate the city
for the forbearance of the entertainment tax in effect on the
effective date of this act, plus accrued interest, after payment
of basketball and hockey arena debt service, the necessary and
appropriate funding of debt reserve of the basketball and hockey
arena and all expenses of operation, administration, and
maintenance, and the funding of a capital reserve for the
repair, remodeling and renovation of the basketball and hockey
arena. The required funding of the capital reserve shall be in
an amount mutually agreed to by the commission and the city.
(o) The ground lease shall be amended by the Minneapolis
community development agency to the reasonable satisfaction of
the commission to provide:
(i) that the commission's sole financial obligation to the
landlord shall be to make the payment provided for in clause (1)
from the net revenues of the commission attributable to the
operation of the basketball and hockey arena;
(ii) that the term of the lease shall be 99 years;
(iii) that the commission shall have the option to purchase
the arena land upon the payment of $10 at any time during the
term of the ground lease, but, unless otherwise agreed to by the
Minneapolis community development agency, only after the payment
or retirement of the general obligation tax increment bonds
previously issued by the city of Minneapolis to assist in
financing the acquisition of the arena land; and
(iv) other amendments as the commission deems necessary and
reasonable to accomplish its purposes as provided in sections
473.598 and 473.599.
(p) The commission has received a report or reports by
qualified consultants on the basketball and hockey arena, the
health club and the arena land, based on thorough inspection in
accordance with generally accepted professional standards and
any correction, repair, or remediation disclosed by the reports
has been made to the satisfaction of commission.
Subd. 5. [SECURITY.] To the extent and in the manner
provided in sections 473.592 and 473.595, the taxes described in
section 473.592 for the basketball and hockey arena, the tax,
surcharge and other revenues of the commission described in
section 473.595, subdivision 1a, attributable to the basketball
and hockey arena and any other revenues of the commission
attributable to the basketball and hockey arena shall be and
remain pledged and appropriated for the purposes specified in
this article and for the payment of all necessary and reasonable
expenses of the operation, administration, maintenance, and debt
service of the basketball and hockey arena until all bonds
referred to in section 473.599, subdivision 2, are fully paid or
discharged in accordance with law. Bonds issued pursuant to
this section may be secured by a bond resolution, or by a trust
indenture entered into by the council with a corporate trustee
within or outside the state, which shall define the tax and
other revenues pledged for the payment and security of the
bonds. The pledge shall be a valid charge on the tax, surcharge
and other revenues attributable to the basketball and hockey
arena referred to in sections 473.592, 473.595, subdivision 1a,
473.598, and 473.599 from the date when bonds are first issued
or secured under the resolution or indenture and shall secure
the payment of principal and interest and redemption premiums
when due and the maintenance at all times of a reserve securing
the payments. No mortgage of or security interest in any
tangible real or personal property shall be granted to the
bondholders or the trustee, but they shall have a valid security
interest in all tax and other revenues received and accounts
receivable by the commission or council under sections 473.592
to the extent of the tax imposed as security for the debt
service of the basketball and hockey arena, 473.595, subdivision
1a, 473.598, and 473.599, as against the claims of all other
persons in tort, contract, or otherwise, irrespective of whether
the parties have notice of them, and without possession or
filing as provided in the uniform commercial code or any other
law. In the bond resolution or trust indenture the council may
make the covenants, which shall be binding upon the commission,
as are determined to be usual and reasonably necessary for the
protection of the bondholders. No pledge, mortgage, covenant,
or agreement securing bonds may be impaired, revoked, or amended
by law or by action of the council, commission, or city, except
in accordance with the terms of the resolution or indenture
under which the bonds are issued, until the obligations of the
council under the resolution or indenture are fully discharged.
Subd. 6. [REVENUE ANTICIPATION CERTIFICATES.] After
approval by the council and final adoption by the commission of
an annual budget of the commission for operation,
administration, and maintenance of the basketball and hockey
arena, and in anticipation of the proceeds from the taxes under
section 473.592 and the revenues of the commission provided for
in the budget, but subject to any limitation or prohibition in a
bond resolution or indenture, the council may authorize the
issuance, negotiation, and sale, in the form and manner and upon
the terms that it may determine, of revenue anticipation
certificates. The principal amount of the certificates
outstanding shall at no time exceed 25 percent of the total
amount of the tax and other revenues anticipated. The
certificates shall mature not later than three months after the
close of the budget year. Prior to the approval and final
adoption of the annual budget of the commission, the council may
authorize revenue anticipation certificates under this
subdivision. So much of the anticipated tax and other revenues
as may be needed for the payment of the certificates and
interest on them shall be paid into a special debt service fund
established for the certificates in the council's financial
records. If for any reason the anticipated tax and other
revenues are insufficient, the certificates and interest shall
be paid from the first tax, surcharge and other revenues
received attributable to the basketball and hockey arena,
subject to any limitation or prohibition in a bond resolution or
indenture. The proceeds of the certificates may be used for any
purpose for which the anticipated revenues or taxes may be used
or for any purpose for which bond proceeds under subdivision 2
may be used.
Subd. 7. [ARENA FREE OF MORTGAGES, LIENS, AND
OBLIGATIONS.] With the exception of the obligations imposed by
sections 473.598 and 473.599, the commission shall not assume
any notes, pledges, mortgages, liens, encumbrances, contracts,
including advertising contracts or marquee agreements, or other
obligations upon acquisition of the basketball and hockey arena
or the arena land, including but not by way of limitation,
management or concession agreements. Upon acquisition by the
commission, the basketball and hockey arena and the arena land
shall be free of all liens and encumbrances, including the
foregoing but excluding the easements and rights-of-way that the
commission shall determine do not materially impair or affect
its ownership and operation of the basketball and hockey arena.
Upon acquisition, the commission shall, through a process
involving statewide public participation, select a name for the
basketball and hockey arena. In the process of selecting the
name, the commission shall consider its obligation under section
473.599, subdivision 1, but that obligation must not be the
principal consideration in making the selection.
Subd. 8. [REIMBURSEMENT TO STATE.] The commission shall
compensate the state for its contribution from the general fund
under section 17, plus accrued interest, after payment of
basketball and hockey arena debt service, the necessary and
appropriate funding of debt reserve of the basketball and hockey
arena and all expenses of operation, administration, and
maintenance and the funding of a capital reserve for the repair,
remodeling and renovation of the basketball and hockey arena.
Compensation paid to the state shall occur at the same time that
compensation is paid to the city of Minneapolis, as provided in
paragraph (n) of subdivision 4, on a basis proportionate to the
amount of forbearance of the entertainment tax or surcharge as
provided in paragraph (n) to that date, and the amount of
general fund appropriations paid by the state under section 17
to that date. No reimbursement will be paid under this
subdivision after (1) the aggregate amount of the appropriations
granted under section 20, to that time, plus accrued interest,
has been reimbursed under this subdivision, or (2) December 31,
2024, whichever is earlier.
Sec. 16. [ALL TENANT TERMS AND CONDITIONS OF AGREEMENTS
MUST BE MADE PUBLIC.]
An agreement to occupy the basketball and hockey arena as
defined in Minnesota Statutes, section 473.551, subdivision 10,
is not enforceable by any party to it unless all its terms and
conditions are made public before it is intended to take effect.
Sec. 17. [240A.08] [APPROPRIATION.]
$750,000 is appropriated annually from the general fund to
the Minnesota amateur sports commission for the purpose of
entering into long-term leases, use, or other agreements with
the metropolitan sports facilities commission for the conduct of
amateur sports activities at the basketball and hockey arena,
consistent with the purposes set forth in chapter 240A,
including (1) stimulating and promoting amateur sports, (2)
promoting physical fitness by promoting participation in sports,
(3) promoting the development of recreational amateur sport
opportunities and activities, and (4) promoting local, regional,
national, and international amateur sport competitions and
events. The metropolitan sports facilities commission may
allocate 50 dates a year for the conduct of amateur sports
activities at the basketball and hockey arena by the amateur
sports commission. At least 12 of the dates must be on a
Friday, Saturday, or Sunday. If any amateur sports activities
conducted by the amateur sports commission at the basketball and
hockey arena are restricted to participants of one gender, an
equal number of activities on comparable days of the week must
be conducted for participants of the other gender, but not
necessarily in the same year. The legislature reserves the
right to repeal or amend this appropriation, and does not intend
this appropriation to create public debt.
Sec. 18. [ADVISORY TASK FORCE.]
Subdivision 1. [MEMBERSHIP.] The metropolitan sports
facilities commission shall create an advisory task force for
the purpose of studying the overall impact of professional
sports in the state. The task force shall consist of 18 members
as follows:
(a) the governor or the governor's designee;
(b) the commissioner of trade and economic development;
(c) the chair of the Minnesota amateur sports commission;
(d) the chair of the metropolitan sports facilities
commission;
(e) the chairs of the metropolitan and local government
committee of the senate, and the local government and
metropolitan affairs committee of the house of representatives,
or their successor committees;
(f) the chairs of the jobs, energy and community
development committee of the senate, and the commerce and
economic development committee of the house of representatives,
or their successor committees;
(g) eight public members, appointed by the governor, one
from each congressional district;
(h) one minority member of the senate, appointed by the
subcommittee on committees of the rules and administration
committee; and
(i) one minority member of the house of representatives,
appointed by the speaker of the house.
Subd. 2. [STUDY.] The advisory task force must at a
minimum analyze the following factors:
(a) the economic disruption and worker dislocation that
would occur in the event that a professional sports team would
relocate;
(b) the dynamics and consequences of cities competing
against each other for professional sports franchises; and
(c) the relative public costs of obtaining and keeping
professional sports franchises.
The advisory task force shall make findings and report to
the legislature by February 1, 1995, on the overall impact of
professional sports franchises on the state and recommendations
on a policy the state should adopt with regard to obtaining and
retaining professional sports franchises. This section expires
June 1, 1995.
Sec. 19. [REPEALER.]
Minnesota Statutes 1992, sections 473.564, subdivision 1;
and 473.571, are repealed.
Sec. 20. [EFFECTIVE DATE; APPLICATION.]
Section 1 is effective for appointments for vacancies
occurring on the amateur sports commission after December 31,
1994. The remainder of this article takes effect the day
following final enactment and applies in the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
ARTICLE 2
Section 1. [240A.09] [PLAN DEVELOPMENT; CRITERIA.]
The Minnesota amateur sports commission shall develop a
plan to promote the development of proposals for new statewide
public ice facilities including proposals for ice centers and
matching grants based on the criteria in this section.
(a) For ice center proposals, the commission will give
priority to proposals that come from more than one local
government unit and that involve construction of more than three
ice sheets in a single facility.
(b) The Minnesota amateur sports commission shall
administer a site selection process for the ice centers. The
commission shall invite proposals from cities or counties or
consortia of cities. A proposal for an ice center must include
matching contributions including in-kind contributions of land,
access roadways and access roadway improvements, and necessary
utility services, landscaping, and parking.
(c) Proposals for ice centers and matching grants must
provide for meeting the demand for ice time for female groups by
offering up to 50 percent of prime ice time, as needed, to
female groups. For purposes of this section, prime ice time
means the hours of 4:00 p.m. to 10:00 p.m. Monday to Friday and
9:00 a.m. to 8:00 p.m. on Saturdays and Sundays.
(d) The location for all proposed facilities must be in
areas of maximum demonstrated interest and must maximize
accessibility to an arterial highway.
(e) To the extent possible, all proposed facilities must be
dispersed equitably and must be located to maximize potential
for full utilization and profitable operation.
(f) The Minnesota amateur sports commission may also use
the funds to upgrade current facilities, purchase girl's ice
time, or conduct amateur women's hockey and other ice sport
tournaments.
Sec. 2. [240A.10] [AGREEMENTS.]
The Minnesota amateur sports commission may enter into
agreements with local units of government and provide financial
assistance in the form of grants for the construction of ice
arena facilities that in the determination of the commission,
conform to its criteria.
Sec. 3. [240A.11] [GENERAL OBLIGATION SPECIAL TAX BONDS
FOR ICE CENTERS.]
State general obligation bonds issued to finance the
construction of the ice centers provided for in sections 1 and 2
may be general obligation special tax bonds under section
16A.661 and debt service on the bonds may be paid from sports
and health club sales tax revenue as provided in section
16A.661, subdivision 3, paragraph (b).
Sec. 4. [EFFECTIVE DATE.]
Sections 1 to 3 are effective July 1, 1994.
Presented to the governor May 9, 1994
Signed by the governor May 10, 1994, 6:40 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes