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Office of the Revisor of Statutes

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

                            CHAPTER 236-S.F.No. 281 
                  An act relating to metropolitan government; removing a 
                  provision for a compensation recommendation; 
                  clarifying language and changing obsolete references; 
                  amending Minnesota Statutes 1994, sections 15A.082, 
                  subdivision 3; 275.066; 473.121, subdivision 11; 
                  473.13, subdivisions 1 and 2; 473.164, subdivision 3; 
                  473.375, subdivisions 9 and 13; 473.385, subdivision 
                  2; 473.386, subdivisions 1, 2, and 5; 473.388, 
                  subdivision 4; 473.39, subdivision 1b; 473.446, 
                  subdivision 8; 473.448; 473.505; 473.595, subdivision 
                  3; and Laws 1994, chapter 628, article 2, section 5; 
                  repealing Minnesota Statutes 1994, section 473.394. 
        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
           Section 1.  Minnesota Statutes 1994, section 15A.082, 
        subdivision 3, is amended to read: 
           Subd. 3.  [SUBMISSION OF RECOMMENDATIONS.] (a) By May 1 in 
        each odd-numbered year, the compensation council shall submit to 
        the speaker of the house of representatives and the president of 
        the senate salary recommendations for constitutional officers, 
        legislators, justices of the supreme court, and judges of the 
        court of appeals, district court, county court, and county 
        municipal court.  The recommended salary for each office must 
        take effect on the first Monday in January of the next 
        odd-numbered year, with no more than one adjustment, to take 
        effect on January 1 of the year after that.  The salary 
        recommendations for legislators, judges, and constitutional 
        officers take effect if an appropriation of money to pay the 
        recommended salaries is enacted after the recommendations are 
        submitted and before their effective date.  Recommendations may 
        be expressly modified or rejected.  The salary recommendations 
        for legislators are subject to additional terms that may be 
        adopted according to section 3.099, subdivisions 1 and 3. 
           (b) The council shall also submit to the speaker of the 
        house of representatives and the president of the senate 
        recommendations for the salary ranges of the heads of state and 
        metropolitan agencies, to be effective retroactively from 
        January 1 of that year if enacted into law.  The recommendations 
        shall include the appropriate group in section 15A.081 to which 
        each agency head should be assigned and the appropriate 
        limitation on the maximum range of the salaries of the agency 
        heads in each group, expressed as a percentage of the salary of 
        the governor. 
           (c) The council shall also submit to the speaker of the 
        house of representatives and the president of the senate 
        recommendations for the salaries of members of the metropolitan 
        council.  
           Sec. 2.  Minnesota Statutes 1994, section 275.066, is 
        amended to read: 
           275.066 [SPECIAL TAXING DISTRICTS; DEFINITION.] 
           For the purposes of property taxation and property tax 
        state aids, the term "special taxing districts" includes the 
        following entities: 
           (1) watershed districts under chapter 103D; 
           (2) sanitary districts under sections 115.18 to 115.37; 
           (3) regional sanitary sewer districts under sections 115.61 
        to 115.67; 
           (4) regional public library districts under section 
        134.201; 
           (5) park districts under chapter 398; 
           (6) regional railroad authorities under chapter 398A; 
           (7) hospital districts under sections 447.31 to 447.38; 
           (8) St. Cloud metropolitan transit commission under 
        sections 458A.01 to 458A.15; 
           (9) Duluth transit authority under sections 458A.21 to 
        458A.37; 
           (10) regional development commissions under sections 
        462.381 to 462.398; 
           (11) housing and redevelopment authorities under sections 
        469.001 to 469.047; 
           (12) port authorities under sections 469.048 to 469.068; 
           (13) economic development authorities under sections 
        469.090 to 469.1081; 
           (14) metropolitan council under sections 473.122 to 473.249 
        473.549; 
           (15) regional transit board under sections 473.371 to 
        473.449; 
           (16) metropolitan airports commission under sections 
        473.601 to 473.680; 
           (17) (16) metropolitan mosquito control commission under 
        sections 473.701 to 473.716; 
           (18) (17) Morrison county rural development financing 
        authority under Laws 1982, chapter 437, section 1; 
           (19) (18) Croft Historical Park District under Laws 1984, 
        chapter 502, article 13, section 6; 
           (20) (19) East Lake county medical clinic district under 
        Laws 1989, chapter 211, sections 1 to 6; 
           (21) (20) Floodwood area ambulance district under Laws 
        1993, chapter 375, article 5, section 39; and 
           (22) (21) any other political subdivision of the state of 
        Minnesota, excluding counties, school districts, cities, and 
        towns, that has the power to adopt and certify a property tax 
        levy to the county auditor, as determined by the commissioner of 
        revenue. 
           Sec. 3.  Minnesota Statutes 1994, section 473.121, 
        subdivision 11, is amended to read: 
           Subd. 11.  [INDEPENDENT COMMISSION, BOARD OR AGENCY.] 
        "Independent commission, board or agency" means governmental 
        entities with jurisdictions lying in whole or in part within the 
        metropolitan area but not including agencies that are subject to 
        the requirements of section 473.161. 
           Sec. 4.  Minnesota Statutes 1994, section 473.13, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [BUDGET.] (a) On or before December 20 of 
        each year the council, after the public hearing required in 
        section 275.065, shall adopt a final budget covering its 
        anticipated receipts and disbursements for the ensuing year and 
        shall decide upon the total amount necessary to be raised from 
        ad valorem tax levies to meet its budget.  The budget shall 
        state in detail the expenditures for each program to be 
        undertaken, including the expenses for salaries, consultant 
        services, overhead, travel, printing, and other items.  The 
        budget shall state in detail the capital expenditures of the 
        council for the budget year, based on a five-year capital 
        program adopted by the council and transmitted to the 
        legislature.  After adoption of the budget and no later than 
        five working days after December 20, the council shall certify 
        to the auditor of each metropolitan county the share of the tax 
        to be levied within that county, which must be an amount bearing 
        the same proportion to the total levy agreed on by the council 
        as the net tax capacity of the county bears to the net tax 
        capacity of the metropolitan area.  The maximum amount of any 
        levy made for the purpose of this chapter may not exceed the 
        limits set by sections 473.167 and 473.249 the statute 
        authorizing the levy. 
           (b) Each even-numbered year the council shall prepare for 
        its transit programs a financial plan for the succeeding three 
        calendar years, in half-year segments.  The financial plan must 
        contain the elements specified in section 473.1623, subdivision 
        3.  The financial plan must contain schedules of user charges 
        and any changes in user charges planned or anticipated by the 
        council during the period of the plan.  The financial plan must 
        contain a proposed request for state financial assistance for 
        the succeeding biennium. 
           (c) In addition, the budget must show for each year: 
           (1) the estimated operating revenues from all sources 
        including funds on hand at the beginning of the year, and 
        estimated expenditures for costs of operation, administration, 
        maintenance, and debt service; 
           (2) capital improvement funds estimated to be on hand at 
        the beginning of the year and estimated to be received during 
        the year from all sources and estimated cost of capital 
        improvements to be paid out or expended during the year, all in 
        such detail and form as the council may prescribe; and 
           (3) the estimated source and use of pass-through funds. 
           Sec. 5.  Minnesota Statutes 1994, section 473.13, 
        subdivision 2, is amended to read: 
           Subd. 2.  [LEVIES.] The auditor of each metropolitan county 
        shall add the amount of any levy made by the council within the 
        limits imposed by subdivision 1 this chapter to other tax levies 
        imposed within the county for collection by the county treasurer 
        with other taxes.  When collected the county treasurer shall 
        make settlement of the taxes with the council in the same manner 
        as other taxes are distributed to political subdivisions.  The 
        levy authorized by this section is in addition to any other 
        taxes levied within the county authorized by law. 
           Sec. 6.  Minnesota Statutes 1994, section 473.164, 
        subdivision 3, is amended to read: 
           Subd. 3.  At the conclusion of each budget year, the 
        council, in cooperation with each commission, shall adopt a 
        final statement of costs incurred by the council for each 
        commission or board.  Where costs incurred in the budget year 
        have exceeded the amount budgeted, each commission shall 
        transfer to the council the additional moneys needed to pay the 
        amount of the costs in excess of the amount budgeted, and shall 
        include a sum in its next budget.  Any excess of budgeted costs 
        over actual costs may be retained by the council and applied to 
        the payment of budgeted costs in the next year.  
           Sec. 7.  Minnesota Statutes 1994, section 473.375, 
        subdivision 9, is amended to read: 
           Subd. 9.  [ADVISORY COMMITTEES.] The board council may 
        establish one or more advisory committees composed of and 
        representing transit providers, transit users, and local units 
        of government to advise it in carrying out its purposes.  The 
        members of advisory committees serve without compensation.  
           Sec. 8.  Minnesota Statutes 1994, section 473.375, 
        subdivision 13, is amended to read: 
           Subd. 13.  [FINANCIAL ASSISTANCE.] The council may provide 
        financial assistance to other public transit providers as 
        provided in sections 473.371 to 473.449.  The council may not 
        use the proceeds of bonds issued under section 473.39 to provide 
        capital assistance to private, for-profit operators of public 
        transit, unless the operators provide service under a contract 
        with the council, the former regional transit board, or 
        recipients of financial assistance under sections 473.371 to 
        473.449. 
           No political subdivision within the metropolitan area may 
        apply for federal transit assistance unless its application has 
        been submitted to and approved by the council. 
           Sec. 9.  Minnesota Statutes 1994, section 473.385, 
        subdivision 2, is amended to read: 
           Subd. 2.  [SERVICE AREAS.] The council may provide 
        financial assistance (whether directly or through another 
        entity) to private, for-profit operators of public transit only 
        for the following services: 
           (1) services that are not regular route services; 
           (2) regular route services provided on June 2, 1989, by a 
        private, for-profit operator under contract with the council 
        former regional transit board or under a certificate of 
        convenience and necessity issued by the transportation 
        regulation board; 
           (3) regular route services outside of the fully developed 
        service area that are not operated on June 2, 1989, by the 
        council former metropolitan transit commission; 
           (4) regular route services provided under section 473.388; 
           (5) regular route services to recipients who, as part of a 
        negotiated cost-sharing arrangement with the council, pay at 
        least 50 percent of the cost of the service that directly 
        benefits the recipient as an institution or organization; or 
           (6) regular route services that will not be operated for a 
        reasonable subsidy by the council. 
           Sec. 10.  Minnesota Statutes 1994, section 473.386, 
        subdivision 1, is amended to read: 
           Subdivision 1.  [SERVICE OBJECTIVES.] The council shall 
        implement a special transportation service, as defined in 
        section 174.29, in the metropolitan area.  The service has the 
        following objectives:  
           (a) to provide greater access to transportation for the 
        elderly, handicapped people with disabilities, and others with 
        special transportation needs in the metropolitan area; 
           (b) to develop an integrated system of special 
        transportation service providing transportation tailored to meet 
        special individual needs in the most cost-efficient manner; and 
           (c) to use existing public, private, and private nonprofit 
        providers of service wherever possible, to supplement rather 
        than replace existing service, and to increase the productivity 
        of all special transportation vehicles available in the area.  
           Sec. 11.  Minnesota Statutes 1994, section 473.386, 
        subdivision 2, is amended to read: 
           Subd. 2.  [SERVICE CONTRACTS; MANAGEMENT; TRANSPORTATION 
        ACCESSIBILITY ADVISORY COMMITTEE.] (a) The council may contract 
        for services necessary for the provision of special 
        transportation.  Transportation service provided under a 
        contract must specify the service to be provided, the standards 
        that must be met, and the rates for operating and providing 
        special transportation services.  
           (b) The council shall establish management policies for the 
        service and may contract with a service administrator for 
        day-to-day administration and management of the service.  Any 
        contract must delegate to the service administrator clear 
        authority to administer and manage the delivery of the service 
        pursuant to council management policies and must establish 
        performance and compliance standards for the service 
        administrator.  The council may provide directly day to day 
        administration and management of the service and may own or 
        lease vehicles used to provide the service.  
           (c) The metropolitan council shall review and approve the 
        council's proposed action under paragraph (a) or (b).  
           (d) The council shall ensure that the service administrator 
        establishes a system for registering and expeditiously 
        responding to complaints by users, informing users of how to 
        register complaints, and requiring providers to report on 
        incidents that impair the safety and well-being of users or the 
        quality of the service.  The council shall annually report to 
        the commissioner of transportation and the legislature on 
        complaints and provider reports, the response of the service 
        administrator, and steps taken by the council and the service 
        administrator to identify causes and provide remedies to 
        recurring problems. 
           (e) (d) Each year before renewing contracts with providers 
        and the service administrator, the council shall provide an 
        opportunity for the transportation accessibility advisory 
        committee, users, and other interested persons to testify before 
        the council concerning providers, contract terms, and other 
        matters relating to board council policies and procedures for 
        implementing the service. 
           (f) (e) The council shall establish a transportation 
        accessibility advisory committee.  The transportation 
        accessibility advisory committee must include elderly and 
        handicapped disabled persons, other users of special 
        transportation service, representatives of persons contracting 
        to provide special transportation services, and representatives 
        of appropriate agencies for elderly and handicapped disabled 
        persons to advise the council on management policies for the 
        service.  At least half the transportation accessibility 
        advisory committee members must be disabled or elderly persons 
        or the representatives of disabled or elderly persons.  Two of 
        the appointments to the transportation accessibility advisory 
        committee shall be made by the council on disability in 
        consultation with the chair of the regional transit 
        board metropolitan council. 
           Sec. 12.  Minnesota Statutes 1994, section 473.386, 
        subdivision 5, is amended to read: 
           Subd. 5.  [EQUITABLE ALLOCATION AND ANNUAL REALLOCATION.] 
        The council shall distribute all available funding under this 
        section in a manner designed to achieve an equitable allocation 
        of special transportation services based on the proportion of 
        the number of elderly, handicapped, disabled, or economically 
        disadvantaged individuals with special transportation needs who 
        actually use the special transportation service.  
           Sec. 13.  Minnesota Statutes 1994, section 473.388, 
        subdivision 4, is amended to read: 
           Subd. 4.  [FINANCIAL ASSISTANCE.] The council may grant the 
        requested financial assistance if it determines that the 
        proposed service is intended to replace the service to the 
        applying city or town or combination thereof by the council and 
        that the proposed service will meet the needs of the applicant 
        at least as efficiently and effectively as the existing service. 
           The amount of assistance which the council may provide 
        under this section may not exceed the sum of:  
           (a) the portion of the available local transit funds which 
        the applicant proposes to use to subsidize the proposed service; 
        and 
           (b) an amount of financial assistance bearing an identical 
        proportional relationship to the amount under clause (a) as the 
        total amount of financial assistance to funds used by the 
        council to fund its transit operations bears to the total amount 
        of taxes collected by the council under section 473.446.  The 
        council shall pay the amount to be provided to the recipient 
        from the assistance funds the council would otherwise pay to the 
        council use to fund its transit operations.  
           For purposes of this section "available local transit funds"
        means 90 percent of the tax revenues which would accrue to the 
        council from the tax it levies under section 473.446 in the 
        applicant city or town or combination thereof.  
           For purposes of this section, "tax revenues" in the city or 
        town means the sum of the following: 
           (1) the nondebt spread levy, which is the total of the 
        taxes extended by application of the local tax rate for nondebt 
        purposes on the taxable net tax capacity; 
           (2) the portion of the fiscal disparity distribution levy 
        under section 473F.08, subdivision 3, attributable to nondebt 
        purposes; and 
           (3) the portion of the homestead credit and agricultural 
        credit aid and disparity reduction aid amounts under section 
        273.1398, subdivisions 2 and 3, attributable to nondebt purposes.
           Tax revenues do not include the state feathering 
        reimbursement under section 473.446. 
           Sec. 14.  Minnesota Statutes 1994, section 473.39, 
        subdivision 1b, is amended to read: 
           Subd. 1b.  [OBLIGATIONS; 1993-1996.] The council may also 
        issue certificates of indebtedness, bonds, or other obligations 
        under this section in an amount not exceeding $62,000,000, of 
        which $44,000,000 may be used for council transit for fleet 
        replacement, transit facilities, and transit capital equipment, 
        and $18,000,000 may be used for transit hubs, park-and-ride 
        lots, community-based transit vehicles and replacement service 
        program vehicles, intelligent vehicle highway systems projects, 
        and other capital expenditures as prescribed in 
        the implementation and council's transit capital plans of the 
        board improvement program, and related costs including the cost 
        of issuance and sale of the obligations.  The council may issue 
        $32,000,000 of the total amount authorized under this 
        subdivision during fiscal biennium ending 1993, $30,000,000 
        during fiscal biennium ending 1995.  For the purposes of this 
        subdivision, uniforms are not capital expenditures. 
           Sec. 15.  Minnesota Statutes 1994, section 473.446, 
        subdivision 8, is amended to read: 
           Subd. 8.  [STATE REVIEW.] The commissioner of revenue shall 
        certify the council's levy limitation under this section to the 
        council by August 1 of the levy year.  The council must certify 
        its proposed property tax levy under this section to the 
        commissioner of revenue by August September 1 of the levy year.  
        The commissioner of revenue shall annually determine whether the 
        property tax for general transit purposes certified by the 
        council for levy following the adoption of its proposed budget 
        is within the levy limitation imposed by subdivision 1.  The 
        commissioner shall also annually determine whether the transit 
        tax imposed on all taxable property within the metropolitan 
        transit area but outside of the metropolitan transit taxing 
        district is within the levy limitation imposed by subdivision 
        1a.  The determination must be completed prior to September 10 
        of each year.  If current information regarding market valuation 
        in any county is not transmitted to the commissioner in a timely 
        manner, the commissioner may estimate the current market 
        valuation within that county for purposes of making the 
        calculations. 
           Sec. 16.  Minnesota Statutes 1994, section 473.448, is 
        amended to read: 
           473.448 [COUNCIL; EXEMPTION FROM TAXATION.] 
           Notwithstanding any other provision of law to the contrary, 
        the properties, moneys, and other assets of the council, used 
        for transit operations or for special transportation services 
        and all revenues or other income of from the council council's 
        transit operations or special transportation services shall be 
        exempt from all taxation, licenses, fees, or charges of any kind 
        imposed by the state or by any county, municipality, political 
        subdivision, taxing district, or other public agency or body of 
        the state.  
           Sec. 17.  Minnesota Statutes 1994, section 473.505, is 
        amended to read: 
           473.505 [TOTAL WATERSHED MANAGEMENT.] 
           The commission with the approval of the metropolitan 
        council may enter into agreements with other governmental bodies 
        and agencies and spend funds to implement total watershed 
        management.  "Total watershed management" means identifying and 
        quantifying at a watershed level the (1) sources of pollution, 
        both point and nonpoint, (2) causes of conditions that may or 
        may not be a result of pollution, and (3) means of reducing 
        pollution or alleviating adverse conditions.  The purpose of 
        total watershed management is to achieve the best water quality 
        for waters of the state receiving the effluent of the 
        metropolitan disposal system for the lowest total costs, without 
        regard to who will incur those costs. 
           Sec. 18.  Minnesota Statutes 1994, section 473.595, 
        subdivision 3, is amended to read: 
           Subd. 3.  [BUDGET PREPARATION; REVIEW AND APPROVAL.] The 
        commission shall prepare a proposed budget by August 1 of each 
        year.  The budget shall include operating revenues and 
        expenditures for operation, administration, and maintenance.  In 
        addition, the budget must show for each year: 
           (a) The estimated operating revenues from all sources 
        including funds on hand at the beginning of the year, and 
        estimated expenditures for costs of operation, administration, 
        maintenance, and debt service; 
           (b) Capital improvement funds estimated to be on hand at 
        the beginning of the year and estimated to be received during 
        the year from all sources and estimated cost of capital 
        improvements to be paid out or expended during the year; all in 
        such detail and form as the council may prescribe; and 
           (c) The estimated source and use of pass-through funds. 
           As early as practicable before August 15 of each year, the 
        commission shall hold a public hearing on a draft of the 
        proposed budget.  Along with the draft, the commission shall 
        publish a report on user charges.  The report must include an 
        estimate and analysis of the changes in user charges, rates, and 
        fees that will be required by the commission's budget.  Not less 
        than 14 days before the hearing, the commission shall publish 
        notice of the hearing in a newspaper having general circulation 
        in the metropolitan area, stating the date, time, and place of 
        hearing, and the place where the proposed budget and report on 
        user charges may be examined by any interested person.  
        Following the hearing, the commission shall publish a report of 
        the hearing that summarizes the comments received and the 
        agency's commission's response.  The council shall approve or 
        disapprove the entire budget by October 1 of each year.  Before 
        December 15 of each year, the commission shall by resolution 
        adopt a final budget.  The commission shall file its final 
        budget with the council on or before December 20 of each year.  
        The council shall file the budgets with the secretary of the 
        senate and the clerk of the house of representatives not later 
        than January 1 of each year. 
           Except in an emergency, for which procedures must be 
        established by the agency commission, the commission and its 
        officers, agents, and employees may not spend money for any 
        purpose, other than debt service, without an appropriation by 
        the commission, and no obligation to make such an expenditure 
        shall be enforceable except as the obligation of the person or 
        persons incurring it.  The creation of any debt obligation or 
        the receipt of any federal or state grant is a sufficient 
        appropriation of the proceeds for the purpose for which it is 
        authorized, and of the tax or other revenues pledged to pay the 
        obligation and interest on it whether or not specifically 
        included in any annual budget.  After obtaining approval of the 
        council, if required under subdivision 2, the agency commission 
        may amend the budget at any time by transferring any 
        appropriation from one purpose to another, except appropriations 
        of the proceeds of bonds issued for a specific purpose. 
           Sec. 19.  Laws 1994, chapter 628, article 2, section 5, is 
        amended to read: 
           Sec. 5.  [APPLICATION.] 
           This article Laws 1994, chapter 628, article 2, applies in 
        the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, 
        and Washington. 
           Sec. 20.  [INSTRUCTIONS TO REVISOR.] 
           The revisor of statutes shall change headnote references to 
        "regional transit board," or "transit board" or "board" as they 
        refer to the regional transit board; "metropolitan waste control 
        commission," or "waste control commission" or "commission" as 
        they refer to the metropolitan waste control commission; and 
        "metropolitan transit commission," or "transit commission" or 
        "commission" as they refer to the metropolitan transit 
        commission; to "metropolitan council" or "council," where 
        appropriate, in Minnesota Statutes 1996, and subsequent editions 
        of the statutes. 
           Sec. 21.  [REPEALER.] 
           Minnesota Statutes 1994, section 473.394, is repealed. 
           Sec. 22.  [APPLICATION.] 
           This act applies in the counties of Anoka, Carver, Dakota, 
        Hennepin, Ramsey, Scott, and Washington. 
           Sec. 23.  [EFFECTIVE DATES.] 
           Sections 1 to 18, and 20 to 22 are effective the day after 
        final enactment.  Section 19 is effective retroactively to July 
        1, 1994. 
           Presented to the governor May 30, 1995 
           Signed by the governor June 1, 1995, 11:22 a.m.