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                            CHAPTER 355-H.F.No. 3070 
                  An act relating to economic development; modifying the 
                  neighborhood revitalization program; amending 
                  Minnesota Statutes 1994, section 469.1831, 
                  subdivisions 3 and 6. 
           Section 1.  Minnesota Statutes 1994, section 469.1831, 
        subdivision 3, is amended to read: 
           Subd. 3.  [PURPOSES; QUALIFYING COSTS.] A neighborhood 
        revitalization program may provide for expenditure of program 
        money for the following purposes: 
           (1) to eliminate blighting influences by acquiring and 
        clearing or rehabilitating properties that the city finds have 
        caused or will cause a decline in the value of properties in the 
        area or will increase the probability that properties in the 
        area will be allowed to physically deteriorate; 
           (2) to assist in the development of industrial properties 
        that provide employment opportunities paying a livable income to 
        the residents of the neighborhood and that will not adversely 
        affect the overall character of the neighborhood; 
           (3) to acquire, develop, construct, physically maintain, 
        rehabilitate, renovate, or replace neighborhood commercial and 
        retail facilities necessary to maintain neighborhood vitality; 
           (4) to eliminate health hazards through the removal of 
        hazardous waste and pollution and return of land to productive 
        use, if the responsible party is unavailable or unable to pay 
        for the cost; 
           (5) to rehabilitate existing housing and encourage 
           (6) to construct new housing, where appropriate; 
           (7) to rehabilitate and construct new low-income, 
        affordable rental housing; 
           (8) to remove vacant and boarded up houses; and 
           (9) to rehabilitate or construct community-based nonprofit 
        and public facilities necessary to carry out the purpose of the 
           Sec. 2.  Minnesota Statutes 1994, section 469.1831, 
        subdivision 6, is amended to read: 
           Subd. 6.  [CITIZEN PARTICIPATION REQUIRED.] (a) The 
        neighborhood revitalization program must be developed with the 
        process outlined in this subdivision. 
           (b) The development of the program must include the 
        preparation and implementation of neighborhood action plans.  
        The city must organize neighborhood planning workshops 
        neighborhoods to prepare and implement the neighborhood action 
        plans.  The neighborhood workshops neighborhoods must include 
        the participation of, whenever possible, all populations and 
        interests in each neighborhood including renters, homeowners, 
        people of color, business owners, representatives of 
        neighborhood institutions, youth, and the elderly.  The 
        neighborhood action plan must be submitted to the policy board 
        established under paragraph (c).  The city must provide 
        available resources, information, and technical assistance to 
        prepare the neighborhood action plans. 
           (c) Each city that develops a program must establish a 
        policy board whose membership includes members of the city 
        council, county board, school board, and citywide library and 
        park board where they exist appointed by the respective 
        governing bodies; the mayor or designee of the mayor; and a 
        representative from the city's house of representatives 
        delegation and a representative from the city's state senate 
        delegation appointed by the respective delegation.  The policy 
        board may also include representatives of citywide community 
        organizations, neighborhood organizations, business owners, 
        labor, and neighborhood residents.  The elected officials and 
        appointed members of the library board who are members of the 
        policy board may appoint the other members of the board. 
           (d) The policy board shall review, modify where 
        appropriate, and approve, in whole or in part, the neighborhood 
        action plans and forward its recommendations for final action to 
        the governing bodies represented on the policy board.  The 
        governing bodies shall review, modify where appropriate, and 
        give final approval, in whole or in part, to those actions over 
        which they have programmatic jurisdiction.  
           (e) Except for the legislative appointees, each of the 
        governmental units and groups named in paragraph (c) may, by 
        resolution or agreement of its governing body, become a member 
        of the policy board.  The nongovernmental organizations and 
        persons named in paragraph (c) shall provide members of the 
        policy board upon invitation by the governmental members of the 
        policy board.  The member to represent a nongovernmental 
        organization shall be a member of the policy board only upon 
        resolution or agreement of the governing body of the member's 
        organization.  Upon the resolution or agreement of two or more 
        governmental bodies or governmental boards, the policy board 
        shall be a joint powers board under section 471.59, except that 
        no power may be exercised under section 471.59, subdivision 11.  
        The policy board may: 
           (1) sue and be sued.  All defenses and limitations 
        available to municipalities under chapter 466 and other laws, 
        shall apply to the policy board, its members, director, and 
        other staff members; 
           (2) hire, retain, discipline, and terminate a director to 
        direct its activities and accomplish its program.  The director 
        may hire necessary staff subject to authorization by the board; 
           (3) enter into contracts, leases, purchases, or other 
        documents evidencing its undertakings.  No contract, lease, or 
        purchase or other document may be entered into unless funds have 
        been appropriated or otherwise made available to the policy 
           (4) adopt bylaws for its own governance; 
           (5) enter into agreements with governmental units and 
        governing boards, and nongovernmental organizations represented 
        on the policy board for services required to fulfill the policy 
        boards' purposes; 
           (6) accept gifts, donations, and appropriations from 
        governmental or nongovernmental sources and apply for grants 
        from them; 
           (7) review activities to determine whether the expenditure 
        of program money and other money is in compliance with the 
        neighborhood plans adopted by the policy board and approved by 
        the governing bodies having jurisdiction over the program, and 
        report its findings prior to October 1 of each year to all of 
        the governmental units, agencies, and nongovernmental 
        organizations represented on the policy board; and 
           (8) prepare annually an administrative budget for the 
        ensuing year, estimating its expenditures and estimated 
        revenues, and forward its proposed budget to the governmental 
        units and agencies and nongovernmental organizations for 
        appropriate action. 
           Presented to the governor March 19, 1996 
           Signed by the governor March 21, 1996, 1:58 p.m.

Official Publication of the State of Minnesota
Revisor of Statutes