1.1 	A bill for an act
1.2 	relating to capital investment; appropriating money for flood hazard mitigation 
1.3 	grants to the Buffalo-Red River Watershed District; authorizing the sale and 
1.4 	issuance of state bonds.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. BUFFALO-RED RIVER WATERSHED DISTRICT; FLOOD 
1.7 	HAZARD MITIGATION.
 1.8 		Subdivision 1.Appropriation. (a) $12,647,082 is appropriated from the bond 
1.9 	proceeds fund to the commissioner of natural resources for the state share of flood hazard 
1.10 	mitigation grants for publicly owned capital improvements to prevent or alleviate flood 
1.11 	damage under Minnesota Statutes, section 103F.161, and enhance natural resources 
1.12 	consistent with the flood damage reduction mediation agreement. This appropriation 
1.13 	includes money for the following Buffalo-Red River Watershed District projects:
1.14 	(1) $3,289,346 is for Georgetown levee improvements; 
1.15 	(2) $8,700,000 is for Oakport flood mitigation and no nonstate match is required;
1.16 	(3) $657,736 is for the Manston Slough restoration project, and is the additional state 
1.17 	funding needed to provide the 75 percent state share of the project costs, as specified in 
1.18 	the mediation agreement.
1.19 	(b) For any project listed in this subdivision that the commissioner determines is not 
1.20 	ready to proceed or does not expend all the money allocated to it, the commissioner may 
1.21 	allocate that project's money to a project on the commissioner's priority list.
1.22 	(c) To the extent that the cost of a project to achieve two feet above the 100-year 
1.23 	flood protection in Georgetown exceeds two percent of the median household income 
2.1 	in the municipality multiplied by the number of households in the municipality, this 
2.2 	appropriation is also for the local share of the project.
2.3 		Subd. 2.Bond sale. To provide the money appropriated in this section from the 
2.4 	bond proceeds fund, the commissioner of management and budget shall sell and issue 
2.5 	bonds of the state in an amount up to $12,647,082 in the manner, upon the terms, and with 
2.6 	the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the 
2.7 	Minnesota Constitution, article XI, sections 4 to 7.

2.8 	EFFECTIVE DATE. This section is effective the day following final enactment.