Key: (1) language to be deleted (2) new language
CHAPTER 320-S.F.No. 3322
An act relating to the metropolitan council; providing
for the external use of existing service capacity;
modifying the depreciation rate when assuming
ownership of existing facilities; repealing obsolete
rules; amending Minnesota Statutes 2000, sections
473.129, by adding a subdivision; 473.511, subdivision
4; repealing Minnesota Rules, parts 5900.0100;
5900.0200; 5900.0300; 5900.0400; 5900.0500; 5900.0600;
5900.0700; 5900.0800; 5900.0900; 5900.1000; 5900.1100;
5900.1200; 5900.1300; 5900.1400; 5900.1500; 5900.1600;
5900.1700; 5900.1800; 5900.1900; 5900.2000; 5900.2100;
5900.2200; 5900.2300; 5900.2400; 5900.2500; 5900.2600;
5900.2700; 5900.2800; 5900.2900; 5900.3000; 5900.3100;
5900.3200; 5900.3300; 5900.3400; 5900.3500; 5900.3600;
5900.3700; 5900.3800; 5900.3900; 5900.4000; 5900.4100;
5900.4200; 5900.4300; 5900.4400; 5900.4500; 5900.4600;
5900.4700; 5900.4800; 5900.4900; 5900.5000; 5900.5100;
5900.5200; 5900.5300; 5900.5400; 5900.5500; 5900.5600;
5900.5700; 5900.5800; 5900.5900; 5900.6000; 5900.6100;
5900.6200; 5900.6300; 5900.6400; 5900.6500; 5900.6800;
5900.6900; 5900.7000; 5900.7100; 5900.7200; 5900.7300;
5900.7400; 5900.7500.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1. Minnesota Statutes 2000, section 473.129, is
amended by adding a subdivision to read:
Subd. 11. [EXTERNAL USE OF EXISTING SERVICE CAPACITY.] For
purposes of this subdivision, "service capacity" means an
existing service or operation carried out by the council as
authorized by law, or existing council real or personal
property, for which the council on a temporary basis has
capacity available for use outside the council. Notwithstanding
other law, the council may enter into arrangements to provide
service capacity to other governmental entities or the private
sector on the terms and conditions it considers appropriate. In
providing service capacity, the council: (1) may not commit to
providing the service capacity for a period in excess of five
years; and (2) must receive compensation for providing the
service capacity in at least an amount sufficient to recover the
actual costs of providing the service capacity including, but
not limited to, the costs of materials and supplies, employee
salaries and benefits, and administrative overhead.
Sec. 2. Minnesota Statutes 2000, section 473.511,
subdivision 4, is amended to read:
Subd. 4. [CURRENT VALUE OF EXISTING FACILITIES.] When the
council assumes the ownership of any existing interceptors or
treatment works as provided in subdivision 2 or 3, the local
government unit or units which paid part or all of the cost of
such facility, directly or pursuant to contracts for
reimbursement of costs, shall be entitled to receive a credit
against amounts to be allocated to them under section 473.517,
which may be spread over such period not exceeding 30 years as
the council shall determine, and an additional credit equal to
interest on the unused credit balance from time to time at the
rate of four percent per annum. The amount of such credit shall
equal the current value of the facility computed by the council
in the manner provided in this subdivision at the time the
council acquires it. The original cost of a facility shall be
computed as the total actual costs of constructing it, including
engineering, legal, and administrative costs, less any part of
it paid from federal or state funds and less the principal
amount of any then outstanding bonds which were issued to
finance its construction. The original cost shall be multiplied
by a factor equal to a current cost index divided by the same
cost index at the time of construction, to determine replacement
cost. The cost indices used shall be the Engineering News
Record Construction Cost Indices for facilities or parts thereof
completed before 1930, and the United States Public Health
Service Federal Water Pollution Control Values for Sewer and
Treatment Plant Construction, as applied to facilities or parts
thereof completed in or after 1930. The current value of the
facility shall be the replacement cost depreciated by 2.50 4.00
percent per annum from the date of construction of treatment
works, 2.50 percent per annum from the date of construction of
interceptors which operate under pressure, and 1.25 percent per
annum from the date of construction of interceptors which do not
operate under pressure; and decreased further by a reasonable
allowance for obsolescence if the council determines that the
facility or any part thereof will not be useful for council
purposes for at least the remaining period required to
depreciate it fully, assuming no salvage value. The current
value of each such facility shall be credited to each local
government unit in proportion to the amount of the construction
cost paid by that unit, as determined by the council, taking
into account reimbursements previously made under contracts
between any of the local government units. The council shall
prepare an itemized statement of the amount of credit each local
government unit is entitled to receive under this subdivision,
and the years and amounts of installments of principal and
interest thereon, and shall cause it to be mailed or delivered
to the governing body of each local government unit concerned.
All credits allowed under this subdivision shall be used to
finance current costs allocated to the local government unit by
the council or for other sewer costs, and the credits shall not
be considered as proceeds from the sale of municipal property so
as to permit their use for other purposes. At its option, the
council may make a periodic payment to each local government
unit in the amount of the credits provided pursuant to this
subdivision, in lieu of a credit against amounts to be allocated
to such local government units under section 473.517.
Sec. 3. [REPEALER.]
Minnesota Rules, parts 5900.0100; 5900.0200; 5900.0300;
5900.0400; 5900.0500; 5900.0600; 5900.0700; 5900.0800;
5900.0900; 5900.1000; 5900.1100; 5900.1200; 5900.1300;
5900.1400; 5900.1500; 5900.1600; 5900.1700; 5900.1800;
5900.1900; 5900.2000; 5900.2100; 5900.2200; 5900.2300;
5900.2400; 5900.2500; 5900.2600; 5900.2700; 5900.2800;
5900.2900; 5900.3000; 5900.3100; 5900.3200; 5900.3300;
5900.3400; 5900.3500; 5900.3600; 5900.3700; 5900.3800;
5900.3900; 5900.4000; 5900.4100; 5900.4200; 5900.4300;
5900.4400; 5900.4500; 5900.4600; 5900.4700; 5900.4800;
5900.4900; 5900.5000; 5900.5100; 5900.5200; 5900.5300;
5900.5400; 5900.5500; 5900.5600; 5900.5700; 5900.5800;
5900.5900; 5900.6000; 5900.6100; 5900.6200; 5900.6300;
5900.6400; 5900.6500; 5900.6800; 5900.6900; 5900.7000;
5900.7100; 5900.7200; 5900.7300; 5900.7400; and 5900.7500, are
repealed.
Sec. 4. [APPLICATION.]
Sections 1 and 2 apply in the counties of Anoka, Carver,
Dakota, Hennepin, Ramsey, Scott, and Washington.
Sec. 5. [EFFECTIVE DATE.]
Section 1 is effective July 1, 2002. Section 2 is
effective on the day following final enactment and applies to
facilities of which the council assumes ownership on or after
the effective date. Section 3 is effective on the day following
final enactment.
Presented to the governor April 4, 2002
Signed by the governor April 8, 2002, 2:31 p.m.
Official Publication of the State of Minnesota
Revisor of Statutes