1.1                          A bill for an act 
  1.2             relating to capital improvements; cleaning up lands 
  1.3             contaminated by petroleum leaks; providing for 
  1.4             replacement of leaking underground petroleum tanks; 
  1.5             cleaning up contaminated building sites; transferring 
  1.6             authority to administer individual on-site sewage 
  1.7             treatment programs to the pollution control agency; 
  1.8             modifying sewer loan repayment provisions; authorizing 
  1.9             the sale of state bonds; encouraging recycling of 
  1.10            antifreeze; requiring collection and recycling of used 
  1.11            motor oil and filters; clarifying limits on grants for 
  1.12            early childhood learning and protection facilities; 
  1.13            appropriating money for flood damage reduction and for 
  1.14            local bridges; modifying previous appropriations for 
  1.15            certain capital improvements; changing the source of 
  1.16            funds for certain projects; defining design and 
  1.17            predesign; transferring authority to administer grants 
  1.18            for certain projects; appropriating money; amending 
  1.19            Minnesota Statutes 1996, sections 16B.335, subdivision 
  1.20            3; 115A.916; 115C.08, subdivision 4; 115C.09, by 
  1.21            adding a subdivision; 115C.13; 116.18, subdivision 3c; 
  1.22            116J.551; 116J.553, subdivision 2; 116J.554, 
  1.23            subdivision 1; 268.917; 325E.10, subdivision 2, and by 
  1.24            adding subdivisions; 325E.11; 325E.112, subdivision 2; 
  1.25            and 446A.072, by adding a subdivision; Laws 1994, 
  1.26            chapter 643, sections 3, subdivision 2; 15, 
  1.27            subdivisions 2 and 4; and 23, subdivision 28, as 
  1.28            amended, and by adding a subdivision; and Laws 1996, 
  1.29            chapters 351, section 2; 407, section 8, subdivision 
  1.30            3; and 463, sections 3, subdivision 7; 7, subdivision 
  1.31            9; 13, subdivisions 2, 4, and 8; 22, subdivision 8; 
  1.32            and 24, subdivision 8; proposing coding for new law in 
  1.33            Minnesota Statutes, chapter 116J; repealing Laws 1994, 
  1.34            chapter 643, section 19, subdivision 11; and Laws 
  1.35            1996, chapter 463, section 7, subdivision 26. 
  1.36  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.37                             ARTICLE 1
  1.38                  PETROLEUM CONTAMINATION CLEANUP
  1.39     Section 1.  Minnesota Statutes 1996, section 115C.08, 
  1.40  subdivision 4, is amended to read: 
  2.1      Subd. 4.  [EXPENDITURES.] (a) Money in the fund may only be 
  2.2   spent: 
  2.3      (1) to administer the petroleum tank release cleanup 
  2.4   program established in this chapter; 
  2.5      (2) for agency administrative costs under sections 116.46 
  2.6   to 116.50, sections 115C.03 to 115C.06, and costs of corrective 
  2.7   action taken by the agency under section 115C.03, including 
  2.8   investigations; 
  2.9      (3) for costs of recovering expenses of corrective actions 
  2.10  under section 115C.04; 
  2.11     (4) for training, certification, and rulemaking under 
  2.12  sections 116.46 to 116.50; 
  2.13     (5) for agency administrative costs of enforcing rules 
  2.14  governing the construction, installation, operation, and closure 
  2.15  of aboveground and underground petroleum storage tanks; 
  2.16     (6) for reimbursement of the harmful substance compensation 
  2.17  account under subdivision 5 and section 115B.26, subdivision 4; 
  2.18     (7) for administrative and staff costs as set by the board 
  2.19  to administer the petroleum tank release program established in 
  2.20  this chapter; ~~and~~ 
  2.21     (8) for corrective action performance audits under section 
  2.22  115C.093; and 
  2.23     (9) for contamination cleanup grants, as provided in 
  2.24  paragraph (c). 
  2.25     (b) Except as provided in paragraph (c), money in the fund 
  2.26  is appropriated to the board to make reimbursements or payments 
  2.27  under this section. 
  2.28     (c) Until December 31, 1999, $6,200,000 is annually 
  2.29  appropriated from the fund to the commissioner of trade and 
  2.30  economic development for contamination cleanup grants under 
  2.31  section 116J.554, provided that money appropriated in this 
  2.32  paragraph may be used only for cleanup costs attributable to 
  2.33  petroleum contamination, as determined by the commissioner of 
  2.34  the pollution control agency. 
  2.35     Sec. 2.  Minnesota Statutes 1996, section 115C.09, is 
  2.36  amended by adding a subdivision to read: 
  3.1      Subd. 3e.  [REIMBURSEMENTS; SMALL GASOLINE RETAILERS.] (a) 
  3.2   As used in this subdivision, "small gasoline retailer" means a 
  3.3   responsible person who owns no more than one location where 
  3.4   motor fuel was dispensed into motor vehicles or aircraft in the 
  3.5   previous year. 
  3.6      (b) For eligible applicants who are small gasoline 
  3.7   retailers that have dispensed less than 500,000 gallons of motor 
  3.8   fuel during the most recent calendar year that petroleum 
  3.9   products were dispensed at the location owned by the retailer, 
  3.10  the board shall reimburse the applicant for 90 percent of the 
  3.11  applicant's total reimbursable cost for tank removal projects 
  3.12  started after January 1, 1997, including, but not limited to, 
  3.13  closure in place, backfill, resurfacing, and utility service 
  3.14  restoration costs, provided that the tank involved is a 
  3.15  regulated underground storage tank. 
  3.16     (c) For eligible applicants who are small gasoline 
  3.17  retailers that have dispensed less than 250,000 gallons of motor 
  3.18  fuel during the most recent calendar year that petroleum 
  3.19  products were dispensed at the location owned by the retailer, 
  3.20  provided that the tank involved is a regulated underground 
  3.21  storage tank, the board shall reimburse the applicant for 95 
  3.22  percent of the following costs: 
  3.23     (1) tank removal costs described in paragraph (b); 
  3.24     (2) installation and excavation costs incurred in 
  3.25  conjunction with new tank installation; and 
  3.26     (3) petroleum contamination cleanup as provided under 
  3.27  subdivision 1. 
  3.28     Sec. 3.  Minnesota Statutes 1996, section 115C.13, is 
  3.29  amended to read: 
  3.30     115C.13 [REPEALER.] 
  3.31     Sections 115C.01, 115C.02, 115C.021, 115C.03, 115C.04, 
  3.32  115C.045, 115C.05, 115C.06, 115C.065, 115C.07, 115C.08, 115C.09, 
  3.33  115C.092, 115C.10, 115C.11, and 115C.12, are repealed effective 
  3.34  June 30, ~~2000~~ 2005.  Section 115C.09, subdivision 3e, is 
  3.35  repealed effective December 31, 1999. 
  3.36     Sec. 4.  [116J.56] [UNDERGROUND PETROLEUM TANK REPLACEMENT 
  4.1   LOAN PROGRAM.] 
  4.2      Subdivision 1.  [LOAN PROGRAM.] (a) The commissioner shall 
  4.3   establish and implement an underground petroleum tank 
  4.4   replacement loan program to facilitate the continued operation 
  4.5   of small gasoline retailers, as defined in section 115C.09, 
  4.6   subdivision 3e, paragraph (a), in this state. 
  4.7      (b) The commissioner may make a direct loan for the cost of 
  4.8   a replacement tank to a small gasoline retailer who has 
  4.9   dispensed less than 500,000 gallons of motor fuel during the 
  4.10  previous year who demonstrates an ability to repay the loan.  
  4.11  The interest rate on the loan shall not exceed three percent per 
  4.12  year, and the term of the loan may not exceed seven years.  
  4.13  Loans made under this subdivision may not exceed $10,000 or the 
  4.14  total out-of-pocket expenses of the small gasoline retailer for 
  4.15  tank replacement, whichever is less.  Payments on the principal 
  4.16  shall be credited to the petroleum tank fund under section 
  4.17  115C.08.  The interest payments must be deposited in the state 
  4.18  treasury and credited to an account in the special revenue 
  4.19  fund.  Money in this account is appropriated to the commissioner 
  4.20  for administrative expenses of the underground petroleum tank 
  4.21  replacement loan program. 
  4.22     Subd. 2.  [APPROPRIATION.] An amount necessary is 
  4.23  appropriated from the petroleum tank release cleanup fund to the 
  4.24  commissioner of trade and economic development for the 
  4.25  underground petroleum tank replacement loan program established 
  4.26  under this section. 
  4.27     Subd. 3.  [REPEALER.] This section is repealed effective 
  4.28  December 31, 1999. 
  4.29     Sec. 5.  [EFFECTIVE DATE.] 
  4.30     Sections 2 and 4 are effective the day following enactment. 
  4.31                             ARTICLE 2
  4.32                  CONTAMINATED SITE CLEANUP GRANTS
  4.33     Section 1.  Minnesota Statutes 1996, section 116J.551, is 
  4.34  amended to read: 
  4.35     116J.551 [CREATION OF ACCOUNT; GRANTS AND REPAYMENT.] 
  4.36     A contaminated site cleanup and ~~development~~ predevelopment 
  5.1   account is created in the general fund.  Money in the account 
  5.2   may be used, as appropriated by law, to make grants as provided 
  5.3   in ~~section~~ sections 116J.554 and 116J.564 and to pay for the 
  5.4   commissioner's costs in reviewing applications and making grants.
  5.5   Grants from the contaminated site cleanup and predevelopment 
  5.6   account must be repaid without interest to the commissioner 
  5.7   according to the formula in this section and deposited into the 
  5.8   account.  The grantee must repay an amount equal to the fair 
  5.9   market value of the property multiplied by the percentage that 
  5.10  the grant received for the property bears to the property's 
  5.11  total cleanup and predevelopment costs; provided that in no 
  5.12  event may the repayment exceed the amount of the grant.  The 
  5.13  fair market value shall be determined by the commissioner at the 
  5.14  time the cleanup and predevelopment phases are completed and the 
  5.15  property is ready to develop.  The commissioner shall negotiate 
  5.16  a payback schedule providing for payback over a period of up to 
  5.17  three years beginning at the time the property is ready to 
  5.18  develop. 
  5.19     Sec. 2.  Minnesota Statutes 1996, section 116J.553, 
  5.20  subdivision 2, is amended to read: 
  5.21     Subd. 2.  [REQUIRED CONTENT.] (a) The commissioner shall 
  5.22  prescribe and provide the application form.  Except as provided 
  5.23  in paragraph (b), the application must include at least the 
  5.24  following information: 
  5.25     (1) identification of the site; 
  5.26     (2) an approved response action plan for the site, 
  5.27  including the results of engineering and other tests showing the 
  5.28  nature and extent of the release or threatened release of 
  5.29  contaminants at the site; 
  5.30     (3) a detailed estimate, along with necessary supporting 
  5.31  evidence, of the total cleanup costs for the site; 
  5.32     (4) an appraisal of the current market value of the 
  5.33  property, separately taking into account the effect of the 
  5.34  contaminants on the market value, prepared by a qualified 
  5.35  independent appraiser using accepted appraisal methodology; 
  5.36     (5) an assessment of the development potential or likely 
  6.1   use of the site after completion of the response action plan, 
  6.2   including any specific commitments from third parties to 
  6.3   construct improvements on the site; 
  6.4      (6) the manner in which the municipality will meet the 
  6.5   local match requirement; and 
  6.6      (7) any additional information or material that the 
  6.7   commissioner prescribes. 
  6.8      (b) An application for a grant under section 116J.554, 
  6.9   subdivision 1, paragraph (b), must include a detailed estimate 
  6.10  of the cost of the actions for which the grant is sought, but 
  6.11  need not include the information specified in paragraph (a), 
  6.12  clauses (2) to (4), and (6). 
  6.13     Sec. 3.  Minnesota Statutes 1996, section 116J.554, 
  6.14  subdivision 1, is amended to read: 
  6.15     Subdivision 1.  [AUTHORITY.] (a) The commissioner may make 
  6.16  a grant to an applicant development authority to pay for up to 
  6.17  75 percent of the cleanup costs for a qualifying site~~, except~~ 
  6.18  ~~the grant may not exceed~~ or 50 percent of the project costs, 
  6.19  whichever is greater.  
  6.20     (b) The commissioner may also make a grant to an applicant 
  6.21  development authority to pay up to 75 percent or $50,000, 
  6.22  whichever is less, toward the cost of performing contaminant 
  6.23  investigations and the development of a response action plan for 
  6.24  a qualifying site. 
  6.25     (c) The determination of whether to make a grant for a 
  6.26  qualifying site is within the sole discretion of the 
  6.27  commissioner, subject to the process provided by this section, 
  6.28  and available unencumbered money in the appropriation.  The 
  6.29  commissioner's decisions and application of the priorities under 
  6.30  section 116J.555 are not subject to judicial review, except for 
  6.31  abuse of discretion. 
  6.32     (d) The total amount of money provided in grants under 
  6.33  paragraph (b) may not exceed $250,000 per fiscal year. 
  6.34     (e) In making grants under paragraph (b), the commissioner 
  6.35  shall give priority to applicants that have not received a grant 
  6.36  under paragraph (a) or section 473.252 during the year ending on 
  7.1   the date of application. 
  7.2      Sec. 4.  [116J.562] [DEFINITIONS.] 
  7.3      Subdivision 1.  [APPLICATION.] For the purposes of sections 
  7.4   116J.562 to 116J.564, the following terms have the meanings 
  7.5   given. 
  7.6      Subd. 2.  [DEVELOPMENT AUTHORITY.] "Development authority" 
  7.7   has the meaning given in section 116J.552, subdivision 4. 
  7.8      Subd. 3.  [METROPOLITAN AREA.] "Metropolitan area" has the 
  7.9   meaning given in section 116J.552, subdivision 5. 
  7.10     Subd. 4.  [MUNICIPALITY.] "Municipality" has the meaning 
  7.11  given in section 116J.552, subdivision 6. 
  7.12     Subd. 5.  [QUALIFYING SITE.] "Qualifying site" means: 
  7.13     (1) a qualifying site under section 116J.564, subdivision 
  7.14  2; or 
  7.15     (2) a site that would represent more than 50 percent of the 
  7.16  remaining land in a city suitable for industrial development if 
  7.17  it was properly filled. 
  7.18     Subd. 6.  [PREDEVELOPMENT COSTS.] "Predevelopment costs" 
  7.19  means costs of the following:  property acquisition; demolition 
  7.20  of existing improvements; relocation of persons or businesses; 
  7.21  site preparation and grading. 
  7.22     Sec. 5.  [116J.563] [GRANT APPLICATIONS.] 
  7.23     Subdivision 1.  [APPLICATION REQUIRED.] To obtain a 
  7.24  predevelopment and job creation grant, a development authority 
  7.25  shall apply to the commissioner. 
  7.26     Subd. 2.  [REQUIRED CONTENT.] The commissioner shall 
  7.27  prescribe and provide the application form.  An application must 
  7.28  include at least the following information: 
  7.29     (1) identification of the site; 
  7.30     (2) a detailed estimate, along with necessary supporting 
  7.31  evidence, of the total predevelopment costs for the site; 
  7.32     (3) an assessment of the development potential or likely 
  7.33  use of the site, including any specific commitments from third 
  7.34  parties to construct improvements on the site; and 
  7.35     (4) any additional information or material that the 
  7.36  commissioner prescribes. 
  8.1      Sec. 6.  [116J.564] [GRANTS.] 
  8.2      Subdivision 1.  [AUTHORITY.] The commissioner may make 
  8.3   grants to development authorities for up to 75 percent of the 
  8.4   predevelopment costs at qualifying sites.  The determination of 
  8.5   whether to make a grant for a qualifying site is within the sole 
  8.6   discretion of the commissioner, subject to the process and 
  8.7   criteria provided by this section and available appropriations.  
  8.8   The commissioner's decisions and application of the priorities 
  8.9   under subdivision 3 are not subject to judicial review, except 
  8.10  for abuse of discretion. 
  8.11     Subd. 2.  [QUALIFYING SITES.] A site qualifies for a grant 
  8.12  under this section if: 
  8.13     (1) the appraised value of the site, after adjusting for 
  8.14  the effect on the value of the presence or possible presence of 
  8.15  contaminants, using accepted appraisal methodology (i) is less 
  8.16  than 50 percent of the estimated cleanup costs for the site or 
  8.17  (ii) is less than or equal to the estimated cleanup costs for 
  8.18  the site and the cleanup costs equal or exceed $3 per square 
  8.19  foot for the site; or 
  8.20     (2) the site is a qualifying site under section 116J.562, 
  8.21  subdivision 5, clause (2); and 
  8.22     (3) after completion of the grant-funded project, it is 
  8.23  expected that the site will be further improved in a manner that 
  8.24  complies with the conditions in subdivision 4. 
  8.25     Subd. 3.  [PRIORITIES] (a) The legislature expects that 
  8.26  applications for grants will exceed the available appropriations 
  8.27  and the commissioner will be able to provide grants to only some 
  8.28  of the applicant development authorities. 
  8.29     (b) The commissioner shall make grants for sites that, in 
  8.30  the commissioner's judgment, provide the highest return in 
  8.31  public benefits for the public costs incurred and that meet all 
  8.32  of the requirements provided by law.  In making this judgment, 
  8.33  the commissioner shall consider the following factors: 
  8.34     (1) the number of jobs expected to be created and retained 
  8.35  after development of a qualified site and the average 
  8.36  anticipated wage levels of the jobs; 
  9.1      (2) the total amount of the requested assistance in 
  9.2   relation to the total full-time jobs which will result from the 
  9.3   redevelopment on the qualified site; 
  9.4      (3) the proportion of the requested assistance to the 
  9.5   estimated total predevelopment costs for a qualified site; 
  9.6      (4) the probability that a qualified site will be 
  9.7   redeveloped without use of public money in the reasonably 
  9.8   foreseeable future; 
  9.9      (5) the proportion of the estimated total costs of 
  9.10  contamination cleanup at a qualified site to the estimated total 
  9.11  of redevelopment costs; 
  9.12     (6) the availability of funds for contamination cleanup; 
  9.13     (7) the current unemployment rate in the municipality in 
  9.14  which the qualified site is located; 
  9.15     (8) the level of reliance on public assistance in the 
  9.16  municipality in which the qualified site is located, as measured 
  9.17  by the applicable county welfare rolls; and 
  9.18     (9) the extent of poverty in the municipality in which the 
  9.19  qualified site is located, as measured by percentage of 
  9.20  population living below the poverty line, percentage of children 
  9.21  under 18 years of age living below the poverty line, and 
  9.22  percentage of ethnic minorities living below the poverty line. 
  9.23     (c) The factors in paragraph (b) are not listed in order of 
  9.24  priority and the commissioner may weigh each factor, depending 
  9.25  upon the facts and circumstances, as the commissioner considers 
  9.26  appropriate.  The absence of a specific commitment from a third 
  9.27  party to construct improvements on a site does not make the site 
  9.28  ineligible for a grant.  The commissioner shall provide a 
  9.29  written statement of the supporting reasons for each grant. 
  9.30     Subd. 4.  [GRANT CONDITIONS.] A grant awarded under this 
  9.31  section is subject to the following conditions applicable to the 
  9.32  use of the site when fully developed: 
  9.33     (1) the site must be used for industrial purposes; 
  9.34     (2) at least 30 percent of the site must be covered by 
  9.35  buildings; 
  9.36     (3) the buildings constructed on the site must have an 
 10.1   average construction value of at least $30 per square foot if 
 10.2   the qualified site is located in the metropolitan area and $20 
 10.3   per square foot if the qualified site is located outside of the 
 10.4   metropolitan area; 
 10.5      (4) the site must provide at least one job for each 1,000 
 10.6   square feet of building space; and 
 10.7      (5) preference for employees hired to work at a business 
 10.8   located at the site must be given to qualified residents of the 
 10.9   municipality in which the site is located.  If at least 60 
 10.10  percent of the employees hired to work at a business are not 
 10.11  residents, then the business must certify to the municipality 
 10.12  that a sufficient number of qualified residents are not 
 10.13  available and agree to fill vacant positions with qualified 
 10.14  residents referred to the business by the municipality, until 
 10.15  the 60 percent level is attained. 
 10.16     Subd. 5.  [APPLICATION CYCLES; REPORTS.] (a) In making 
 10.17  grants, the commissioner shall establish semiannual application 
 10.18  deadlines in which grants will be authorized from all or part of 
 10.19  the available appropriations of money in the account. 
 10.20     (b) The commissioner shall annually report to the 
 10.21  legislature on the status of the predevelopment and job creation 
 10.22  projects undertaken under grants made under this program.  The 
 10.23  commissioner shall include in the annual report information on 
 10.24  the predevelopment and job creation activities undertaken for 
 10.25  the grants made in that and previous fiscal years.  The 
 10.26  commissioner shall make this report no later than 120 days after 
 10.27  the end of the fiscal year. 
 10.28     Sec. 7.  [APPROPRIATION.] 
 10.29     $13,500,000 in fiscal year 1998 and $8,500,000 in fiscal 
 10.30  year 1999 is appropriated from the general fund to the 
 10.31  commissioner of trade and economic development for transfer to 
 10.32  the contaminated site cleanup and predevelopment account and is 
 10.33  appropriated to the commissioner of the department of trade and 
 10.34  economic development for the purposes specified in Minnesota 
 10.35  Statutes, section 116J.551.  Of this amount, $7,000,000 for the 
 10.36  biennium is included in the department's base. 
 11.1                              ARTICLE 3
 11.2         INDIVIDUAL SEWAGE AND WASTEWATER TREATMENT PROGRAMS
 11.3      Section 1.  Minnesota Statutes 1996, section 116.18, 
 11.4   subdivision 3c, is amended to read: 
 11.5      Subd. 3c.  [INDIVIDUAL ON-SITE TREATMENT SYSTEMS PROGRAM.] 
 11.6   (a) Beginning in fiscal year 1989, up to ten percent of the 
 11.7   money to be awarded as grants under subdivision 3a in any single 
 11.8   fiscal year, up to a maximum of $1,000,000, may be set aside for 
 11.9   the award of grants by the ~~authority~~ agency to municipalities to 
 11.10  reimburse owners of individual on-site wastewater treatment 
 11.11  systems for a part of the costs of upgrading or replacing the 
 11.12  systems. 
 11.13     (b) An individual on-site treatment system is a wastewater 
 11.14  treatment system, or part thereof, that uses soil treatment and 
 11.15  disposal technology to treat 5,000 gallons or less of wastewater 
 11.16  per day from dwellings or other establishments. 
 11.17     (c) Municipalities may apply yearly for grants of up to 50 
 11.18  percent of the cost of replacing or upgrading individual on-site 
 11.19  treatment systems within their jurisdiction, up to a limit of 
 11.20  $5,000 per system or per connection to a cluster system.  Before 
 11.21  agency approval of the grant application, a municipality must 
 11.22  certify that:  
 11.23     (1) it has adopted and is enforcing the requirements of 
 11.24  Minnesota Rules governing individual sewage treatment systems; 
 11.25     (2) the existing systems for which application is made do 
 11.26  not conform to those rules, ~~were constructed prior to January 1,~~ 
 11.27  ~~1977~~ are at least 20 years old, do not serve seasonal 
 11.28  residences, and were not constructed with state or federal 
 11.29  funds; and 
 11.30     (3) the costs requested do not include administrative 
 11.31  costs, costs for improvements or replacements made before the 
 11.32  application is submitted to the ~~authority~~ agency unless it 
 11.33  pertains to the plan finally adopted, and planning and 
 11.34  engineering costs other than those for the individual site 
 11.35  evaluations and system design.  
 11.36     (d) The federal and state regulations regarding the award 
 12.1   of state and federal wastewater treatment grants do not apply to 
 12.2   municipalities or systems funded under this subdivision, except 
 12.3   as provided in this subdivision.  
 12.4      (e) ~~The authority shall award individual on-site wastewater~~ 
 12.5   ~~treatment grants to municipalities selected by the state~~ 
 12.6   ~~pollution control commissioner upon certification by the state~~ 
 12.7   ~~pollution control commissioner that the municipalities'~~ 
 12.8   ~~applications have been reviewed and approved in accordance with~~ 
 12.9   ~~this subdivision and agency rules adopted under paragraph (f).~~ 
 12.10     ~~(f)~~ The agency shall adopt permanent rules regarding 
 12.11  priorities, distribution of funds, payments, 
 12.12  inspections, procedures for administration of the agency's 
 12.13  duties, and other matters that the agency finds necessary for 
 12.14  proper administration of grants awarded under this subdivision.  
 12.15     ~~(g) The commissioner of trade and economic development may~~ 
 12.16  ~~adopt rules containing procedures for administration of the~~ 
 12.17  ~~authority's duties as set forth in paragraph (e).~~ 
 12.18     Sec. 2.  Minnesota Statutes 1996, section 446A.072, is 
 12.19  amended by adding a subdivision to read: 
 12.20     Subd. 4a.  [LOAN REPAYMENT; NEW DEVELOPMENT.] (a) For the 
 12.21  purposes of this subdivision, "loan" includes a loan that has 
 12.22  been forgiven under this section. 
 12.23     (b) A municipality that receives a supplemental assistance 
 12.24  loan under this section that later extends sewer service to 
 12.25  serve a residential, industrial, or commercial development that 
 12.26  is completed on unplatted land after March 1, 1996, or that is 
 12.27  on a lot whose plat was recorded after that date, must repay a 
 12.28  portion of the loan to the authority prior to providing the 
 12.29  sewer connection.  The commissioner shall calculate the amount 
 12.30  to be repaid by first determining the number of households 
 12.31  included in the extension financed by the original loan.  The 
 12.32  commissioner must then determine the present value of the 
 12.33  original loan amount.  The interest rate used to calculate the 
 12.34  present value must be equivalent to the interest rate on the 
 12.35  loan made to the municipality under section 446A.07 at the time 
 12.36  of the original supplemental assistance loan under this 
 13.1   section.  The commissioner must then divide the present value of 
 13.2   the loan by the number of households included in the original 
 13.3   loan.  For an extension to a residential development, the 
 13.4   repayment to the authority must be equal to the per household 
 13.5   amount calculated for the original loan multiplied by the number 
 13.6   of households in the proposed extension.  For an extension to a 
 13.7   commercial or industrial development, the commissioner shall 
 13.8   determine the repayment to the authority by using the per 
 13.9   household amount calculated for the original loan to calculate a 
 13.10  proportionally equivalent amount based on the projected 
 13.11  wastewater discharge from the proposed development.  The total 
 13.12  repayments to the authority under this paragraph may not exceed 
 13.13  the original amount of the supplemental assistance loan.  The 
 13.14  repayment must be processed as provided in subdivision 7. 
 13.15     Sec. 3.  [APPROPRIATION FOR COUNTYWIDE INDIVIDUAL SEWAGE 
 13.16  TREATMENT SYSTEM LOAN PROGRAMS.] 
 13.17     $10,000,000 in fiscal year 1998 and $5,000,000 in fiscal 
 13.18  year 1999 from the general fund is appropriated to the 
 13.19  commissioner of agriculture to provide loans to counties for 
 13.20  loans to property owners under Minnesota Statutes, section 
 13.21  115.57 or 17.117.  Individual counties may elect to apply for 
 13.22  and administer the loans pursuant to the agricultural best 
 13.23  management loan practices program established in Minnesota 
 13.24  Statutes, section 17.117, or under section 115.57.  Regardless 
 13.25  of the section a county applies under, the commissioner shall 
 13.26  review and rank allocation requests from counties pursuant to 
 13.27  the procedure and relevant criteria listed in Minnesota 
 13.28  Statutes, section 17.117, subdivision 9.  Loans made under 
 13.29  Minnesota Statutes, section 17.117 with funds appropriated under 
 13.30  this section must be used for site evaluation, design, 
 13.31  installation, repair, and replacement of individual sewage 
 13.32  treatment systems only.  Notwithstanding the eligibility 
 13.33  criteria in Minnesota Statutes, section 17.117, subdivision 1 
 13.34  and subdivision 4, paragraph (e), all private landowners in a 
 13.35  county may apply for loans made under this section.  Loans made 
 13.36  under Minnesota Statutes, section 115.57 may be used for any of 
 14.1   the purposes specified in that section.  Counties receiving 
 14.2   funds under this section must use the funds to administer loan 
 14.3   programs on a countywide basis.  This biennial appropriation is 
 14.4   a one-time appropriation and must not be included in the 
 14.5   agency's base. 
 14.6      Sec. 4.  [APPROPRIATION TO WASTEWATER INFRASTRUCTURE 
 14.7   FUNDING PROGRAMS.] 
 14.8      $12,500,000 is appropriated from the bond proceeds fund to 
 14.9   the public facilities authority for loans to eligible 
 14.10  municipalities under the wastewater infrastructure funding 
 14.11  program established in Minnesota Statutes, section 446A.072. 
 14.12     Sec. 5.  [BOND SALE.] 
 14.13     To provide the money appropriated in this act from the 
 14.14  state bond proceeds fund, the commissioner of finance, on 
 14.15  request of the governor, shall sell and issue bonds of the state 
 14.16  in an amount up to $12,500,000 in the manner, upon the terms, 
 14.17  and with the effect presented by Minnesota Statutes, sections 
 14.18  16A.631 to 16A.675, the Minnesota Constitution, article XI, 
 14.19  sections 4 to 7. 
 14.20     Sec. 6.  [APPROPRIATION; INDIVIDUAL SEWAGE TREATMENT SYSTEM 
 14.21  GRANTS.] 
 14.22     $1,500,000 in fiscal year 1998 and $1,500,000 in fiscal 
 14.23  year 1999 from the general fund is appropriated to the 
 14.24  commissioner of the pollution control agency for grants to 
 14.25  municipalities for the purposes specified in Minnesota Statutes, 
 14.26  section 116.18, subdivision 3c.  For purposes of grants awarded 
 14.27  under this section, the definition of "individual on-site 
 14.28  treatment system" in Minnesota Statutes, section 116.18, 
 14.29  subdivision 3c, paragraph (b), also includes an alternative 
 14.30  discharging sewage system serving one or more dwellings and 
 14.31  other establishments that discharges less than 10,000 gallons of 
 14.32  water per day and uses any treatment and disposal methods other 
 14.33  than subsurface soil treatment and disposal, as permitted under 
 14.34  Minnesota Statutes, section 115.58.  Up to ten percent of this 
 14.35  appropriation may be used for administration of the grants.  
 14.36  This biennial appropriation is a one-time appropriation and must 
 15.1   not be included in the agency's base. 
 15.2                              ARTICLE 4
 15.3         USED MOTOR OIL AND USED MOTOR OIL FILTER COLLECTION
 15.4      Section 1.  Minnesota Statutes 1996, section 115A.916, is 
 15.5   amended to read: 
 15.6      115A.916 [MOTOR VEHICLE FLUIDS AND FILTERS; PROHIBITIONS.] 
 15.7      (a) A person may not knowingly place motor oil, brake 
 15.8   fluid, power steering fluid, transmission fluid, motor oil 
 15.9   filters, or motor vehicle antifreeze: 
 15.10     (1) in solid waste or in a solid waste management facility 
 15.11  other than a recycling facility or a household hazardous waste 
 15.12  collection facility; 
 15.13     (2) in or on the land, unless approved by the agency; or 
 15.14     (3) in or on the waters of the state or in a stormwater or 
 15.15  wastewater collection or treatment system.  
 15.16     (b) For the purposes of this section, "antifreeze" does not 
 15.17  include small amounts of antifreeze contained in water used to 
 15.18  flush the cooling system of a vehicle after the antifreeze has 
 15.19  been drained and does not include deicer that has been used on 
 15.20  the exterior of a vehicle. 
 15.21     (c) For businesses that purchase or use an annual average 
 15.22  of over ~~150~~ 50 gallons of motor vehicle antifreeze per month for 
 15.23  on-site installation in motor vehicles, this section does not 
 15.24  apply to antifreeze placed in a wastewater collection system 
 15.25  that includes a publicly owned treatment works that is permitted 
 15.26  by the agency until December 31, ~~1996~~ 1997.  For businesses that 
 15.27  purchase or use an annual average of ~~150~~ 50 gallons or less of 
 15.28  motor vehicle antifreeze per month for on-site installation in 
 15.29  motor vehicles, this section does not apply to antifreeze placed 
 15.30  in a wastewater collection system that includes a publicly owned 
 15.31  treatment works that is permitted by the agency until ~~December~~ 
 15.32  ~~31, 1997~~ July 1, 1998. 
 15.33     (d) Notwithstanding paragraph (a), motor oil filters and 
 15.34  portions of motor oil filters may be processed at a permitted 
 15.35  mixed municipal solid waste resource recovery facility that 
 15.36  directly burns the waste if: 
 16.1      (1) the facility is subject to an industrial waste 
 16.2   management plan that addresses management of motor oil filters 
 16.3   and the owner or operator of the facility can demonstrate to the 
 16.4   satisfaction of the commissioner that the facility is in 
 16.5   compliance with that plan; 
 16.6      (2) the facility recovers ferrous metal after incineration 
 16.7   for recycling as part of its operation; and 
 16.8      (3) the motor oil filters are collected separately from 
 16.9   mixed municipal solid waste and are not combined with it except 
 16.10  for the purpose of incinerating the waste. 
 16.11     (e) The commissioner of the pollution control agency, 
 16.12  industry organizations representing automotive repair businesses 
 16.13  and antifreeze recycling businesses, and environmental 
 16.14  organizations shall work together to develop and promote 
 16.15  opportunities to recycle waste motor vehicle antifreeze and to 
 16.16  review the impact of alternative antifreeze disposal or 
 16.17  recycling methods on businesses and the environment. 
 16.18     Sec. 2.  Minnesota Statutes 1996, section 325E.10, 
 16.19  subdivision 2, is amended to read: 
 16.20     Subd. 2.  "Motor oil" means ~~petroleum based~~ oil used as a 
 16.21  lubricant or hydraulics in a transmission or internal combustion 
 16.22  engine motor vehicle as defined in section 168.011, subdivision 
 16.23  4. 
 16.24     Sec. 3.  Minnesota Statutes 1996, section 325E.10, is 
 16.25  amended by adding a subdivision to read: 
 16.26     Subd. 2a.  "Motor oil filter" means any filter used in 
 16.27  combination with motor oil. 
 16.28     Sec. 4.  Minnesota Statutes 1996, section 325E.10, is 
 16.29  amended by adding a subdivision to read: 
 16.30     Subd. 5.  "Used motor oil filter" means a motor oil filter 
 16.31  which through use, storage, or handling has become unsuitable 
 16.32  for its original purpose due to the presence of impurities or 
 16.33  loss of original properties. 
 16.34     Sec. 5.  Minnesota Statutes 1996, section 325E.11, is 
 16.35  amended to read: 
 16.36     325E.11 [COLLECTION FACILITIES; NOTICE.] 
 17.1      (a) Any person selling at retail or offering motor oil or 
 17.2   motor oil filters for retail sale in this state shall: 
 17.3      (1) post a notice indicating the nearest location where 
 17.4   used motor oil and used motor oil filters may be returned at no 
 17.5   cost for recycling or reuse, post a toll-free telephone number 
 17.6   that may be called by the public to determine a convenient 
 17.7   location, or post a listing of locations where used motor oil 
 17.8   and used motor oil filters may be returned at no cost for 
 17.9   recycling or reuse; or 
 17.10     (2) if the person is subject to section 325E.112, post a 
 17.11  notice informing customers purchasing motor oil or motor oil 
 17.12  filters of the location of the used motor oil and used motor oil 
 17.13  filter collection site established by the retailer in accordance 
 17.14  with section 325E.112 where used motor oil and used motor oil 
 17.15  filters may be returned at no cost. 
 17.16     (b) A notice under paragraph (a) shall be posted on or 
 17.17  adjacent to the motor oil and motor oil filter displays, be at 
 17.18  least 8-1/2 inches by 11 inches in size, contain the universal 
 17.19  recycling symbol with the following language: 
 17.20     (1) "It is illegal to put used oil and used motor oil 
 17.21  filters in the garbage."; 
 17.22     (2) "Recycle your used oil and used motor oil filters."; 
 17.23  and 
 17.24     (3)(i) "There is a free collection site here for your used 
 17.25  oil and used motor oil filters."; ~~or~~ 
 17.26     (ii) "There is a free collection site for used oil and used 
 17.27  motor oil filters located at (name of business and street 
 17.28  address)."; 
 17.29     (iii) "For the location of a free collection site for used 
 17.30  oil and used motor oil filters call (toll-free phone number)."; 
 17.31  or 
 17.32     (iv) "Here is a list of free collection sites for used oil 
 17.33  and used motor oil filters." 
 17.34     (c) The division of weights and measures under the 
 17.35  department of public service shall enforce compliance with this 
 17.36  section as provided in section 239.54.  The pollution control 
 18.1   agency shall enforce compliance with this section under sections 
 18.2   115.071 and 116.072 in coordination with the division of weights 
 18.3   and measures. 
 18.4      Sec. 6.  Minnesota Statutes 1996, section 325E.112, 
 18.5   subdivision 2, is amended to read: 
 18.6      Subd. 2.  [REIMBURSEMENT PROGRAM.] A contaminated used 
 18.7   motor oil reimbursement program is established to provide 
 18.8   ~~partial~~ reimbursement of the costs of disposing of contaminated 
 18.9   used motor oil.  In order to receive reimbursement, persons who 
 18.10  accept used motor oil from the public or parties that they have 
 18.11  contracted with to accept used motor oil must provide to the 
 18.12  commissioner of the pollution control agency proof of 
 18.13  contamination, information on methods the person used to prevent 
 18.14  the contamination of used motor oil at the site, a copy of the 
 18.15  billing for disposal costs incurred because of the contamination 
 18.16  and proof of payment, and a copy of the hazardous waste manifest 
 18.17  or shipping paper used to transport the waste.  The commissioner 
 18.18  shall reimburse a recipient of contaminated used motor oil ~~90~~ 
 18.19  100 percent of the costs of properly disposing of the 
 18.20  contaminated used motor oil.  The commissioner may not reimburse 
 18.21  persons who intentionally place contaminants or do not take 
 18.22  precautions to prevent contaminants from being placed in used 
 18.23  motor oil, or operate a private collection site that: 
 18.24     (1) is not publicly promotable or listed with the agency; 
 18.25     (2) does not accept up to five gallons of used motor oil 
 18.26  and five used motor oil filters per person per day without 
 18.27  charging a fee; or 
 18.28     (3) does not control access to the site during times when 
 18.29  the site is closed. 
 18.30     A person operating a collection site may refuse to accept 
 18.31  any used motor oil or used motor oil filter: 
 18.32     (1) that is from a business; 
 18.33     (2) that appears to be contaminated with antifreeze, 
 18.34  hazardous waste, or other materials that may increase the cost 
 18.35  of used motor oil management and disposal; or 
 18.36     (3) when the storage equipment for that particular waste is 
 19.1   temporarily filled. 
 19.2   Persons operating government collection sites are eligible for 
 19.3   reimbursement of the costs of disposing of contaminated used 
 19.4   motor oil.  Reimbursements made under this subdivision are 
 19.5   limited to the money available in the contaminated used motor 
 19.6   oil reimbursement account. 
 19.7      Sec. 7.  Laws 1996, chapter 351, section 2, is amended to 
 19.8   read: 
 19.9      Sec. 2.  [~~PLAN~~ RECYCLING GOALS AND ACTIONS.] 
 19.10     ~~(a) By September 1, 1996, an industry group representing~~ 
 19.11  ~~retailers and manufacturers in Minnesota that sell motor oil and~~ 
 19.12  ~~motor oil filters shall submit a list to the commissioner of the~~ 
 19.13  ~~pollution control agency of all existing current sites that~~ 
 19.14  ~~collect used motor oil, used motor oil filters, or both, from~~ 
 19.15  ~~the public, delineating which sites collect for free, that can~~ 
 19.16  ~~be publicly promoted.~~ 
 19.17     ~~(b) By September 1, 1996, an industry group representing~~ 
 19.18  ~~retailers and manufacturers that sell motor oil and motor oil~~ 
 19.19  ~~filters shall submit to the commissioner of the pollution~~ 
 19.20  ~~control agency a plan for a collection and recycling system for~~ 
 19.21  ~~used motor oil and used motor oil filters generated by the~~ 
 19.22  ~~public under which:~~ 
 19.23     ~~(1) at least 90 percent of state residents outside the~~ 
 19.24  ~~seven-county metropolitan area would have access to a free~~ 
 19.25  ~~collection site for used motor oil and used motor oil filters~~ 
 19.26  ~~within 25 miles of their residences;~~ 
 19.27     (~~2) at least 90 percent of state residents within the~~ 
 19.28  ~~seven-county metropolitan area and state residents of cities~~ 
 19.29  ~~with populations of greater than 2,000 residents would have~~ 
 19.30  ~~access to a free collection site for used motor oil and used~~ 
 19.31  ~~motor oil filters within five miles of their residences; and~~ 
 19.32     ~~(3) at least one free collection site for used motor oil~~ 
 19.33  ~~and used motor oil filters generated by the public would be~~ 
 19.34  ~~located in each county.~~ 
 19.35     ~~(c) The plan required in paragraph (b) must include:~~ 
 19.36     ~~(1) an explanation of the proposed system for collecting~~ 
 20.1   ~~and recycling used motor oil and used motor oil filters;~~ 
 20.2      ~~(2) a clear assignment of responsibility and accountability~~ 
 20.3   ~~for implementation;~~ 
 20.4      ~~(3) a strategy for educating the parties responsible for~~ 
 20.5   ~~implementing the plan;~~ 
 20.6      ~~(4) a strategy for educating the public on how to recycle~~ 
 20.7   ~~used motor oil and used motor oil filters;~~ 
 20.8      ~~(5) a description of government's role, if any; and~~ 
 20.9      ~~(6) recommendations for legislation, if necessary.~~ 
 20.10     ~~(d) The plan must be implemented by June 1, 1997, and the~~ 
 20.11  ~~requirements in paragraph (b), clauses (1) to (3), must be met~~ 
 20.12  ~~by December 31, 1997.  The industry group must also submit a~~ 
 20.13  ~~list of sites that collect used motor oil and used motor oil~~ 
 20.14  ~~filters from the public, specifying those sites that collect~~ 
 20.15  ~~used motor oil and used motor filters for free, to the pollution~~ 
 20.16  ~~control agency by December 31, 1997.  The agency must be~~ 
 20.17  ~~informed by the industry group when sites begin and cease to~~ 
 20.18  ~~collect, or charge for the collection of, used motor oil and~~ 
 20.19  ~~used motor oil filters from the public, in order to allow the~~ 
 20.20  ~~agency to provide the public with accurate information regarding~~ 
 20.21  ~~collection sites.~~ 
 20.22     ~~(e) The industry group and the agency shall monitor the~~ 
 20.23  ~~effects of the collection system set forth in the plan required~~ 
 20.24  ~~in paragraph (b) to determine whether the requirements in~~ 
 20.25  ~~clauses (1) to (3) of that paragraph have been met.  By November~~ 
 20.26  ~~1, 1998, the industry group shall submit information to the~~ 
 20.27  ~~agency on the amount of used oil and the number of used oil~~ 
 20.28  ~~filters collected.~~  
 20.29     Subdivision 1.  (a) The following recycling or reuse goals 
 20.30  shall be considered met if the actions in this subdivision are 
 20.31  initiated by the identified parties on or before September 1, 
 20.32  1997, and are fully completed by December 31, 1998.  
 20.33  Additionally, the goals in paragraph (b) must be met in at least 
 20.34  50 percent of counties by December 31, 1997; 75 percent by June 
 20.35  1, 1998; and 100 percent by December 31, 1998. 
 20.36     (b) Motor oil and motor oil filter manufacturers and 
 21.1   retailers shall ensure that: 
 21.2      (1) at least 90 percent of residents within the 
 21.3   seven-county metropolitan area and residents of a city or town 
 21.4   with a population greater than 1,500 have access to a free 
 21.5   nongovernment collection site for used motor oil and used motor 
 21.6   oil filters within five miles of their residences; and 
 21.7      (2) at least one free nongovernment collection site for 
 21.8   used motor oil and used motor oil filters generated by the 
 21.9   public would be located in each county. 
 21.10     (c) Motor oil and motor oil filter manufacturers and 
 21.11  retailers shall inform the public about environmental problems 
 21.12  associated with improper disposal of used motor oil and used 
 21.13  motor oil filters and proper disposal practices for used motor 
 21.14  oil and used motor oil filters.  At a minimum, this shall 
 21.15  include public service announcements designed to reach residents 
 21.16  of the state that generate used motor oil and used motor oil 
 21.17  filters. 
 21.18     (d) The commissioner of the pollution control agency shall, 
 21.19  by December 31, 1997, and at least annually thereafter or more 
 21.20  frequently if deemed necessary, request motor oil and motor oil 
 21.21  filter manufacturers and retailers, persons who haul used motor 
 21.22  oil and used motor oil filters, and nongovernment persons who 
 21.23  accept used motor oil and used motor oil filters from the public 
 21.24  to provide an updated list of all existing sites that collect 
 21.25  used motor oil, used motor oil filters, or both, from the 
 21.26  public, delineating for public promotion which sites collect for 
 21.27  free.  The commissioner shall use this information to determine 
 21.28  whether the parties identified in paragraph (b) have met the 
 21.29  goals listed in that paragraph.  A collection site operated by 
 21.30  the state or a political subdivision, as defined in Minnesota 
 21.31  Statutes, section 115A.03, subdivision 24, may be counted 
 21.32  towards meeting recycling goals, provided that the parties 
 21.33  responsible for meeting the goals of this subdivision 
 21.34  voluntarily reimburse the state or political subdivision for all 
 21.35  of the costs at that collection site that are associated with 
 21.36  used motor oil and used motor oil filter recycling.  Persons who 
 22.1   accept used motor oil and used motor oil filters from the public 
 22.2   shall cooperate with manufacturers and retailers of motor oil 
 22.3   and motor oil filters to inform the agency within ten days of 
 22.4   initiating or ceasing to collect used motor oil or used motor 
 22.5   oil filters from the public.  The information shall be provided 
 22.6   in a form and manner prescribed by the commissioner. 
 22.7      (e) Motor oil filter manufacturers shall disclose to 
 22.8   retailers whether lead has been intentionally introduced in 
 22.9   manufacturing, and retailers shall not knowingly sell motor oil 
 22.10  filters containing lead intentionally introduced in 
 22.11  manufacturing. 
 22.12     Subd. 2.  The commissioner of the pollution control agency 
 22.13  may appoint an advisory group of diverse interests to assist the 
 22.14  agency with experimentation with various approaches to public 
 22.15  education, financial incentives, waste management, and other 
 22.16  issues that might affect the effectiveness of recycling 
 22.17  efforts.  The commissioner may request parties responsible for 
 22.18  meeting the recycling goals in subdivision 1 to voluntarily pay 
 22.19  for some of the experimentation costs.  The existence of this 
 22.20  advisory group in no way relieves the parties identified in 
 22.21  subdivision 1 of responsibility for meeting the goals listed in 
 22.22  that subdivision.  The commissioner of the pollution control 
 22.23  agency shall appoint an advisory group chair. 
 22.24     ~~(f)~~ Subd. 3.  By January 15, 1999, the commissioner of the 
 22.25  pollution control agency shall report to the environment and 
 22.26  natural resources committees of the senate and the house of 
 22.27  representatives on the amount of used motor oil and used motor 
 22.28  oil filters being recycled and whether the ~~requirements~~ goals in 
 22.29  ~~paragraph (b), clauses (1) to (3),~~ subdivision 1 have been met 
 22.30  and recommend whether the mandate for retailers of motor oil and 
 22.31  filters described in Minnesota Statutes, section 325E.112, 
 22.32  subdivision 1, is needed to achieve the recycling goals. 
 22.33     Sec. 8.  [EFFECTIVE DATE.] 
 22.34     This article is effective the day following final enactment.
 22.35                             ARTICLE 5
 22.36                    CAPITAL BUDGET MODIFICATIONS
 23.1      Section 1.  Minnesota Statutes 1996, section 16B.335, 
 23.2   subdivision 3, is amended to read: 
 23.3      Subd. 3.  [PREDESIGN REQUIREMENT.] The definitions in 
 23.4   paragraphs (a) and (b) apply to this section. 
 23.5      (a) "Predesign" means the stage in the development of a 
 23.6   project during which the purpose, scope, cost, and schedule of 
 23.7   the complete project are defined and instructions to design 
 23.8   professionals are produced.  
 23.9      (b) "Design" means the stage in the development of a 
 23.10  project during which schematic, design development, and contract 
 23.11  documents are produced. 
 23.12     (c) A recipient to whom an appropriation is made for a 
 23.13  project subject to review under subdivision 1 or notice under 
 23.14  subdivision 2 shall prepare a predesign package and submit it to 
 23.15  the commissioner for review and recommendation before proceeding 
 23.16  with design activities.  The commissioner must complete the 
 23.17  review and recommendation within ten working days after 
 23.18  receiving it.  Failure to review and recommend within the ten 
 23.19  days is considered a positive recommendation.  The predesign 
 23.20  package must be sufficient to define the purpose, scope, cost, 
 23.21  and schedule of the project and must demonstrate that the 
 23.22  project has been analyzed according to appropriate space needs 
 23.23  standards. 
 23.24     Sec. 2.  Minnesota Statutes 1996, section 268.917, is 
 23.25  amended to read: 
 23.26     268.917 [EARLY CHILDHOOD LEARNING AND CHILD PROTECTION 
 23.27  FACILITIES.] 
 23.28     The commissioner may make grants to state agencies and 
 23.29  political subdivisions to construct or rehabilitate facilities 
 23.30  for Head Start, early childhood and family education 
 23.31  ~~facilities~~ programs, other early childhood intervention 
 23.32  programs, or demonstration family service centers housing 
 23.33  multiagency collaboratives, with priority to centers in counties 
 23.34  or municipalities with the highest number of children living in 
 23.35  poverty.  The commissioner may also make grants to state 
 23.36  agencies and political subdivisions to construct or rehabilitate 
 24.1   facilities for crisis nurseries or child visitation centers.  
 24.2   The facilities must be owned by the state or a political 
 24.3   subdivision, but may be leased under section 16A.695 to 
 24.4   organizations that operate the programs.  The commissioner shall 
 24.5   prescribe the terms and conditions of the leases.  A grant for 
 24.6   an individual facility must not exceed $200,000 for each program 
 24.7   that is housed in the facility, up to a maximum of $500,000 for 
 24.8   a facility that houses three programs or more.  The commissioner 
 24.9   shall give priority to grants that involve collaboration among 
 24.10  sponsors of programs under this section.  At least 25 percent of 
 24.11  the amounts appropriated for these grants must be used in 
 24.12  conjunction with the youth employment and training programs 
 24.13  operated by the commissioner.  Eligible programs must consult 
 24.14  with appropriate labor organizations to deliver education and 
 24.15  training. 
 24.16     Sec. 3.  Laws 1994, chapter 643, section 3, subdivision 2, 
 24.17  is amended to read:  
 24.18  Subd. 2.  Restore and Renovate
 24.19  Capitol Building Exterior                             5,000,000
 24.20  To the commissioner of administration 
 24.21  to renovate and improve the capitol 
 24.22  including reroofing, repair of the roof 
 24.23  balustrade, ~~and~~ Quadriga restoration, 
 24.24  and for an exterior stone testing 
 24.25  program.  No more than $35,000 of this 
 24.26  appropriation is to the capitol area 
 24.27  architectural and planning board for 
 24.28  design review fees. 
 24.29     Sec. 4.  Laws 1994, chapter 643, section 15, subdivision 2, 
 24.30  is amended to read: 
 24.31  Subd. 2.  Bloomington Ferry Bridge          ~~7,631,000~~ 5,131,000
 24.32  This appropriation is from the state 
 24.33  transportation fund as provided in 
 24.34  Minnesota Statutes, section 174.50, to 
 24.35  match federal funds to complete 
 24.36  construction of the Bloomington ferry 
 24.37  bridge and approaches.  
 24.38  This appropriation is added to the 
 24.39  appropriation in Laws 1993, chapter 
 24.40  373, section 14, subdivision 2. 
 24.41     Sec. 5.  Laws 1994, chapter 643, section 15, subdivision 4, 
 24.42  is amended to read: 
 24.43  Subd. 4.  Local Bridge 
 24.44  Replacement and Rehabilitation            ~~12,445,000~~ 14,945,000
 25.1   This appropriation is from the state 
 25.2   transportation fund as provided in 
 25.3   Minnesota Statutes, section 174.50, to 
 25.4   match federal funds and to replace or 
 25.5   rehabilitate local deficient bridges. 
 25.6   Political subdivisions may use grants 
 25.7   made under this section to construct or 
 25.8   reconstruct bridges, including: 
 25.9   (1) matching federal-aid grants to 
 25.10  construct or reconstruct key bridges; 
 25.11  (2) paying the costs to abandon an 
 25.12  existing bridge that is deficient and 
 25.13  in need of replacement, but where no 
 25.14  replacement will be made; 
 25.15  (3) paying the costs to construct a 
 25.16  road or street to facilitate the 
 25.17  abandonment of an existing bridge 
 25.18  determined by the commissioner to be 
 25.19  deficient, if the commissioner 
 25.20  determines that construction of the 
 25.21  road or street is more cost-efficient 
 25.22  than the replacement of the existing 
 25.23  bridge; and 
 25.24  (4) paying the costs of preliminary 
 25.25  engineering and environmental studies 
 25.26  authorized under Minnesota Statutes, 
 25.27  section 174.50, subdivision 6a. 
 25.28     Sec. 6.  Laws 1994, chapter 643, section 23, subdivision 
 25.29  28, as amended by Laws 1995, First Special Session chapter 2, 
 25.30  article 1, section 48, is amended to read: 
 25.31  Subd. 28.  Environmental     
 25.32  Learning Centers                                     11,500,000 
 25.33  This appropriation is to the 
 25.34  commissioner of natural resources to 
 25.35  plan, design, and construct facilities 
 25.36  owned by political subdivisions at 
 25.37  residential environmental learning 
 25.38  centers as provided in this subdivision 
 25.39  and new Minnesota Statutes, section 
 25.40  84.0875. 
 25.41  The appropriations in items (a) ~~through~~ 
 25.42  ~~(e)~~ and (b) are available as follows:  
 25.43  (1) of the $7,500,000 total, $5,000,000 
 25.44  is available only when the commissioner 
 25.45  has determined that ~~matching~~ money in 
 25.46  the sum of $12,500,000, up to 25 
 25.47  percent of which may consist of loans, 
 25.48  has been committed by nonstate 
 25.49  sources for predesign, design, and 
 25.50  construction of the facilities named in 
 25.51  items (a) and (b), and the following 
 25.52  privately owned residential 
 25.53  environmental learning centers:  Wolf 
 25.54  Ridge Environmental Learning Center, 
 25.55  Northwoods Audubon Center, and 
 25.56  Southeastern Minnesota Forest Resource 
 25.57  Center; and (2) the remaining 
 25.58  $2,500,000 is available to the extent 
 25.59  that ~~matching~~ money, which may include 
 25.60  loans, in the amount of ~~$2~~ $1 for each 
 26.1   $1 of state money is committed by 
 26.2   nonstate sources, as determined by the 
 26.3   commissioner, provided that money may 
 26.4   not be spent under this sentence until 
 26.5   the amount available, including 
 26.6   ~~matching~~ any money from nonstate 
 26.7   sources that is allocated to a facility 
 26.8   in item (a) or (b), is sufficient to 
 26.9   complete a functional improvement at 
 26.10  the facility.  Up to 25 percent of the 
 26.11  total amount of money committed by 
 26.12  nonstate sources under this subdivision 
 26.13  may consist of loans. 
 26.14  After the first $12,500,000 has been 
 26.15  committed by nonstate sources for the 
 26.16  Long Lake Conservation Center, the Deep 
 26.17  Portage Conservation Reserve, the Wolf 
 26.18  Ridge Environmental Learning Center, 
 26.19  the Northwoods Audubon Center, and the 
 26.20  Southeastern Minnesota Forest Resource 
 26.21  Center, the appropriations in items (a) 
 26.22  and (b) must be distributed and 
 26.23  administered separately for each 
 26.24  facility.  Money from nonstate sources 
 26.25  required for the balances of the 
 26.26  appropriations in items (a) and (b) 
 26.27  must be committed as required in this 
 26.28  section for each facility separately to 
 26.29  allow functional improvements, but work 
 26.30  at the facilities need not proceed 
 26.31  simultaneously.  Funds raised or 
 26.32  borrowed after January 1, 1992, and 
 26.33  spent or committed to be spent for 
 26.34  predesign, design, or construction of 
 26.35  these facilities are eligible to count 
 26.36  toward the required commitment from 
 26.37  nonstate sources, and, upon proper 
 26.38  application, nonstate money spent after 
 26.39  that date for qualified capital 
 26.40  expenditures at the Long Lake 
 26.41  Conservation Center and the Deep 
 26.42  Portage Conservation Reserve shall be 
 26.43  reimbursed by the commissioner from 
 26.44  money appropriated for these 
 26.45  facilities, to allow the nonstate money 
 26.46  to be used for qualified capital 
 26.47  expenditures at the Wolf Ridge 
 26.48  Environmental Learning Center, the 
 26.49  Northwoods Audubon Center, and the 
 26.50  Southeastern Minnesota Forest Resource 
 26.51  Center. 
 26.52  The predesign and design requirements 
 26.53  of Minnesota Statutes, section 16B.335, 
 26.54  do not apply to the specific 
 26.55  appropriations for these facilities in 
 26.56  this section. 
 26.57  (a) Long Lake Conservation Center           ~~1,200,000~~ 3,370,000
 26.58  This appropriation is for a grant to 
 26.59  Aitkin county. 
 26.60  (b) Deep Portage Conservation Reserve       ~~1,470,000~~ 4,130,000
 26.61  This appropriation is for a grant to 
 26.62  Cass county. 
 26.63  ~~(c) Wolf Ridge Environmental~~  
 26.64  ~~Learning Center~~                                       ~~2,100,000~~
 27.1   ~~This appropriation is for a grant to~~ 
 27.2   ~~independent school district No. 381,~~ 
 27.3   ~~Lake Superior.~~ 
 27.4   ~~(d) Northwoods Audubon Center~~                         ~~1,080,000~~
 27.5   ~~This appropriation is for a grant to~~ 
 27.6   ~~independent school district No. 2580,~~ 
 27.7   ~~East Central.~~ 
 27.8   ~~(e)~~ (c) Southeastern Minnesota  
 27.9   Forest Resource Center                                ~~1,650,000~~
 27.10  ~~This appropriation is for a grant to~~ 
 27.11  ~~independent school district No. 229,~~ 
 27.12  ~~Lanesboro.~~ 
 27.13  If land and improvements in Fillmore 
 27.14  county that were conveyed by the state 
 27.15  to ~~Southern~~ Southeastern Minnesota 
 27.16  Forest Resource Center, Inc., under 
 27.17  Laws 1990, chapter 452, section 7, are 
 27.18  pledged as security for a loan 
 27.19  to ~~assist with the completion of this~~ 
 27.20  ~~project~~ provide financing for the 
 27.21  predesign, design, or construction of 
 27.22  environmental education facilities at 
 27.23  Southeastern Minnesota Forest Resource 
 27.24  Center, the right of reverter retained 
 27.25  by the state is waived in favor of the 
 27.26  lender. 
 27.27  For the purposes of this subdivision, 
 27.28  "nonstate source" means a source of 
 27.29  money other than a direct state 
 27.30  appropriation for an environmental 
 27.31  learning center. 
 27.32  ~~(f)~~ (d) Agassiz Environmental   
 27.33  Learning Center                                         300,000
 27.34  This appropriation is for a grant to 
 27.35  the city of Fertile. 
 27.36  ~~(g)~~ (e) Laurentian Environmental
 27.37  Learning Center                                         450,000
 27.38  This appropriation is for a grant to 
 27.39  independent school district No. 621, 
 27.40  Mounds View. 
 27.41  ~~(h)~~ (f) Prairie Woods           
 27.42  Environmental Learning Center                           250,000
 27.43  This appropriation is for a grant to 
 27.44  Kandiyohi county. 
 27.45  ~~(i)~~ (g) Prairie Wetlands        
 27.46  Environmental Learning Center                         3,000,000
 27.47  This appropriation is for a grant to 
 27.48  the city of Fergus Falls. 
 27.49  Appropriations in this subdivision must 
 27.50  be used for qualified capital 
 27.51  expenditures. 
 27.52     Sec. 7.  Laws 1994, chapter 643, section 23, is amended by 
 27.53  adding a subdivision to read: 
 28.1   Subd. 31.  St. Croix Valley  
 28.2   Heritage Center                                         150,000 
 28.3   To the commissioner of natural 
 28.4   resources for a grant to the city of 
 28.5   Taylors Falls to prepare a preliminary 
 28.6   design for a heritage center, subject 
 28.7   to Minnesota Statutes, section 16A.695. 
 28.8      Sec. 8.  Laws 1996, chapter 407, section 8, subdivision 3, 
 28.9   is amended to read: 
 28.10  Subd. 3.  Parks and Trails
 28.11  (a) Metropolitan Regional Park System         ~~1,000,000~~ 850,000 
 28.12  This appropriation is from the future 
 28.13  resources fund for payment by the 
 28.14  commissioner of natural resources to 
 28.15  the metropolitan council for subgrants 
 28.16  to rehabilitate, develop, acquire, and 
 28.17  retrofit the metropolitan regional park 
 28.18  system consistent with the metropolitan 
 28.19  council regional recreation open space 
 28.20  capital improvement program. 
 28.21  This appropriation may be used for the 
 28.22  purchase of homes only if the purchases 
 28.23  are expressly included in the work 
 28.24  program approved by the legislative 
 28.25  commission on Minnesota resources. 
 28.26  (b) State Park and Recreation 
 28.27  Area Acquisition                                      1,000,000
 28.28  This appropriation is from the trust 
 28.29  fund to the commissioner of natural 
 28.30  resources for acquisition of land 
 28.31  within the statutory boundaries of 
 28.32  state parks and recreation areas. 
 28.33  (c) Local Grants                                        895,000
 28.34  This appropriation is from the future 
 28.35  resources fund to the commissioner of 
 28.36  natural resources to provide matching 
 28.37  grants to local units of government for 
 28.38  local park and recreation areas; trail 
 28.39  linkages between communities, trails, 
 28.40  and parks; and at least $100,000 for 
 28.41  the conservation partners program as 
 28.42  provided in Laws 1995, chapter 220, 
 28.43  section 19, subdivision 4, paragraph 
 28.44  (e).  In addition to the required work 
 28.45  program, grants may not be approved 
 28.46  until grant proposals to be funded have 
 28.47  been submitted to the legislative 
 28.48  commission on Minnesota resources, and 
 28.49  the commission has either made a 
 28.50  recommendation or allowed 60 days to 
 28.51  pass without making a recommendation.  
 28.52  The above appropriations are available 
 28.53  half for the seven-county metropolitan 
 28.54  area and half for outside the 
 28.55  metropolitan area.  For the purposes of 
 28.56  this paragraph, match includes nonstate 
 28.57  contributions in either cash or in-kind.
 28.58  (d) Chippewa County Regional Trail                      410,000
 29.1   This appropriation is to the 
 29.2   commissioner of natural resources from 
 29.3   the future resources fund for a grant 
 29.4   to the city of Montevideo for 
 29.5   acquisition and development of the 
 29.6   Chippewa county regional trail. 
 29.7      Sec. 9.  Laws 1996, chapter 463, section 3, subdivision 7, 
 29.8   is amended to read: 
 29.9   Subd. 7.  Twin Cities      
 29.10  (a) Architecture Renovation                           9,000,000
 29.11  Design, ~~renovate~~ construct, furnish, 
 29.12  and equip an addition to the 
 29.13  architecture building and partially 
 29.14  renovate the existing building. 
 29.15  (b) Haecker Hall Renovation                          12,000,000
 29.16  Design, renovate, furnish, and equip 
 29.17  Haecker Hall and related space. 
 29.18  (c) Magnetic Resonance Research
 29.19  Building                                              3,500,000
 29.20  Design, construct, furnish, and equip a 
 29.21  new magnetic resonance research 
 29.22  building. 
 29.23  (d) Minnesota Library Access
 29.24  Center                                               38,500,000
 29.25  Construct, furnish, and equip the 
 29.26  Minnesota library access center to 
 29.27  house the university's archives and 
 29.28  special collections, immigration 
 29.29  history research center documents and 
 29.30  collections, to store less frequently 
 29.31  used library materials for state 
 29.32  university, private college, city, 
 29.33  county, and regional libraries in the 
 29.34  state, and to house Minitex services. 
 29.35  (e) Molecular and Cellular
 29.36  Therapeutics Facility Remodeling                      3,000,000
 29.37  Remodel and equip the molecular and 
 29.38  cellular therapeutics facility, 
 29.39  including the modification of 
 29.40  utilities, air filtration, and 
 29.41  distribution systems, to accommodate 
 29.42  new research programs.  
 29.43     Sec. 10.  Laws 1996, chapter 463, section 7, subdivision 9, 
 29.44  is amended to read: 
 29.45  Subd. 9.  Metro Regional Park 
 29.46  Rehabilitation, Acquisition, and
 29.47  Development                                 ~~9,400,000~~ 9,550,000
 29.48  This appropriation is for payment by 
 29.49  the commissioner of natural resources 
 29.50  to the metropolitan council.  The 
 29.51  commissioner shall pay the amount on a 
 29.52  reimbursement basis to the metropolitan 
 29.53  council upon receipt of a certified 
 29.54  copy of a council resolution requesting 
 30.1   payment.  The appropriation must be 
 30.2   used to pay the cost of rehabilitation, 
 30.3   acquisition, and development by the 
 30.4   council and local government units of 
 30.5   regional recreational open-space lands 
 30.6   in accordance with the council's policy 
 30.7   plan as provided in Minnesota Statutes, 
 30.8   section 473.315.  The metropolitan 
 30.9   council, in cooperation with the city 
 30.10  of St. Paul, must develop a plan and 
 30.11  fund the restoration of oak savannah 
 30.12  remnants in two regional parks in 
 30.13  Ramsey county.  This appropriation must 
 30.14  not be used for research, planning, 
 30.15  administration, or tax equivalency 
 30.16  payments.  This appropriation may be 
 30.17  used for the purchase of homes only if 
 30.18  the purchases are included in the work 
 30.19  program required by law and they are 
 30.20  expressly approved by the legislative 
 30.21  commission on Minnesota resources. 
 30.22     Sec. 11.  Laws 1996, chapter 463, section 13, subdivision 
 30.23  2, is amended to read:  
 30.24  Subd. 2.  Capital Asset
 30.25  Preservation and Replacement (CAPRA)                 12,000,000
 30.26  To be spent in accordance with 
 30.27  Minnesota Statutes, section 16A.632. 
 30.28  Up to $900,000 of the money 
 30.29  appropriated in this subdivision may be 
 30.30  used as necessary to renovate the 
 30.31  Governor's Residence in St. Paul for 
 30.32  life safety, code, security, and 
 30.33  ancillary storage facility improvements.
 30.34  Up to $600,000 of the money 
 30.35  appropriated in this subdivision may be 
 30.36  used to continue the electrical utility 
 30.37  infrastructure conversion of the 
 30.38  primary feeder loop system to a primary 
 30.39  selective system by rerouting the 
 30.40  system around the capitol. 
 30.41  In accordance with Minnesota Statutes, 
 30.42  section 16B.31, subdivision 6, the 
 30.43  commissioner of administration shall 
 30.44  identify the condition and suitability 
 30.45  of all major state buildings and office 
 30.46  space and report the commissioner's 
 30.47  findings by June 30, 1997, to the 
 30.48  chairs of the senate committee on 
 30.49  finance and the house of 
 30.50  representatives committees on ways and 
 30.51  means and on capital investment.  The 
 30.52  report must identify the useful life, 
 30.53  the current condition, the estimated 
 30.54  cost of currently needed repairs, and 
 30.55  the suitability for the current state 
 30.56  purposes of all major state-owned 
 30.57  buildings and office space owned or 
 30.58  leased by the state.  The legislature 
 30.59  intends to use the report in 
 30.60  considering future appropriations to 
 30.61  the commissioner of administration and 
 30.62  to state agencies for asset 
 30.63  preservation.  
 31.1      Sec. 12.  Laws 1996, chapter 463, section 13, subdivision 
 31.2   4, is amended to read:  
 31.3   Subd. 4.  Renovate Capitol
 31.4   Building                                              7,400,000
 31.5   ~~$4,800,000~~ $3,765,000 is to predesign, 
 31.6   design, and reconstruct the 
 31.7   northeast terrace and predesign and 
 31.8   design the northwest ~~terraces~~ terrace 
 31.9   of the capitol building.  
 31.10  $1,400,000 is to renovate the lantern 
 31.11  and related structures on the capitol 
 31.12  dome. 
 31.13  ~~$1,200,000~~ $2,235,000 is to predesign, 
 31.14  design, construct, furnish, and equip 
 31.15  the renovation of the capitol cafeteria 
 31.16  and related spaces.  
 31.17  The balance of the appropriation in 
 31.18  this subdivision that is not needed for 
 31.19  the projects specified may be used for 
 31.20  other structural stabilization projects 
 31.21  at the capitol or to improve the 
 31.22  capitol mall. 
 31.23     Sec. 13.  Laws 1996, chapter 463, section 13, subdivision 
 31.24  8, is amended to read: 
 31.25  Subd. 8.  Revenue Facilities
 31.26  Design                                                ~~1,950,000~~
 31.27                                                       49,500,000
 31.28  To design, acquire, construct, furnish, 
 31.29  and equip new revenue department 
 31.30  facilities. $1,450,000 of this 
 31.31  appropriation is not available until 
 31.32  the report required by subdivision 10 
 31.33  has been completed.  No more than 
 31.34  $23,000,000 of this appropriation may 
 31.35  be used to purchase the building 
 31.36  presently occupied by the department of 
 31.37  revenue at 10 River Park Place.  
 31.38  Notwithstanding Minnesota Statutes, 
 31.39  section 15.50, subdivision 2, paragraph 
 31.40  (e), plans for the building need not be 
 31.41  selected through a design competition. 
 31.42  ~~The plans for the facilities for the~~ 
 31.43  ~~department of revenue may provide for~~ 
 31.44  ~~two or more buildings in separate~~ 
 31.45  ~~locations.  The principal~~ 
 31.46  ~~administrative offices of the~~ 
 31.47  ~~department must be located in or near~~ 
 31.48  t~~he capitol area.  Other operations may~~ 
 31.49  ~~be located outside of the capitol area~~ 
 31.50  ~~as appropriate and conveniently~~ 
 31.51  ~~situated for efficient operations of~~ 
 31.52  ~~the department.~~ 
 31.53  ~~The design development phase of the~~ 
 31.54  ~~revenue department building project~~ 
 31.55  ~~must include an analysis of the cost,~~ 
 31.56  ~~benefit, and operational feasibility of~~ 
 31.57  ~~relocating revenue department jobs to~~ 
 31.58  ~~areas in greater Minnesota.~~ 
 32.1   The commissioner of administration may 
 32.2   use a design-build method of project 
 32.3   development and construction for this 
 32.4   project.  The commissioner may award a 
 32.5   design-build contract on the basis of 
 32.6   requests for proposals or requests for 
 32.7   qualifications without bids. 
 32.8      Sec. 14.  Laws 1996, chapter 463, section 22, subdivision 
 32.9   8, is amended to read: 
 32.10  Subd. 8.  Pickwick Mill                                  150,000 
 32.11  For a grant ~~to Winona county~~ for 
 32.12  renovation of the historic Pickwick 
 32.13  Mill. 
 32.14  This appropriation is from the 
 32.15  Minnesota future resources fund and is 
 32.16  available until June 30, 1999. 
 32.17     Sec. 15.  Laws 1996, chapter 463, section 24, subdivision 
 32.18  8, is amended to read: 
 32.19  Subd. 8.  Lyn/Lake~~/Jungle~~ 
 32.20  ~~Theatre~~ Performing Arts Center                          335,000
 32.21  For a grant to Hennepin county to 
 32.22  design, construct, furnish, and equip 
 32.23  the Lyn/Lake~~/Jungle Theatre~~ community 
 32.24  performing arts center to provide a 
 32.25  community theater and rehearsal space, 
 32.26  offices, classrooms and meeting rooms 
 32.27  for performing arts organizations, arts 
 32.28  education, and arts development and 
 32.29  outreach in a formerly tax-forfeited 
 32.30  structure in Hennepin county.  Hennepin 
 32.31  county may contract with a nonprofit 
 32.32  organization for operation of the 
 32.33  center, subject to Minnesota Statutes, 
 32.34  section 16A.695.  This appropriation is 
 32.35  not available until the commissioner 
 32.36  has determined that at least $1,630,000 
 32.37  has been committed by nonstate sources 
 32.38  to complete the ~~Lyn/Lake/~~Jungle Theatre 
 32.39  main stage in a nearby building owned 
 32.40  and operated by the Jungle Theater and 
 32.41  that $100,000 has been committed by 
 32.42  nonstate sources to complete the 
 32.43  community performing arts center.  This 
 32.44  is the final state appropriation for 
 32.45  this project.  
 32.46     Sec. 16.  [APPROPRIATION FOR LOCAL BRIDGES.] 
 32.47     $5,800,000 is appropriated to the commissioner of 
 32.48  transportation from the state transportation fund, as provided 
 32.49  in Minnesota Statutes, section 174.50, to match federal funds 
 32.50  and to replace or rehabilitate local bridges. 
 32.51     Sec. 17.  [TRANSPORTATION FUND.] 
 32.52     To provide the additional money appropriated in this act 
 32.53  from the state transportation fund, the commissioner of finance, 
 33.1   on request of the governor, shall sell and issue general 
 33.2   obligation bonds of the state in an amount up to $5,800,000 in 
 33.3   the manner, upon the terms, and with the effect prescribed by 
 33.4   Minnesota Statutes, sections 16A.631 to 16A.675, and by the 
 33.5   Minnesota Constitution, article XI, sections 4 to 7.  The 
 33.6   proceeds of the bonds, except accrued interest and any premium 
 33.7   received on the sale of the bonds, must be credited to a bond 
 33.8   proceeds account in the state transportation fund.  
 33.9      Sec. 18.  [APPROPRIATION.] 
 33.10     $6,400,000 is transferred from the general fund to the 
 33.11  environmental response, compensation, and compliance account in 
 33.12  the environmental fund and is appropriated for the purposes 
 33.13  provided in Minnesota Statutes, chapter 115B. 
 33.14     Sec. 19.  [BOND SALE.] 
 33.15     To provide the money appropriated in section 13 from the 
 33.16  bond proceeds fund, the commissioner of finance, on request of 
 33.17  the governor, shall sell and issue bonds of the state in an 
 33.18  amount up to $47,600,000 in the manner, upon the terms, and with 
 33.19  the effect presented by Minnesota Statutes, sections 16A.631 to 
 33.20  16A.675, the Minnesota Constitution, article XI, sections 4 to 7.
 33.21     Sec. 20.  [FLOOD DAMAGE REDUCTION; APPROPRIATION.] 
 33.22     $12,000,000 is appropriated from the bond proceeds fund to 
 33.23  the commissioner of natural resources to fund flood damage 
 33.24  reduction projects under Minnesota Statutes, section 103F.161, 
 33.25  including the non-federal portion of federal hazard mitigation 
 33.26  grant program projects.  $2,000,000 of this appropriation is to 
 33.27  implement flood water storage projects proposed by watershed 
 33.28  districts in the Red River Valley.  Up to $200,000 of this 
 33.29  appropriation is available for staffing and related expenses to 
 33.30  assist local governments in applying for federal grants and to 
 33.31  administer contracts for the grants.  The appropriation is 
 33.32  available until expended. 
 33.33     Sec. 21.  [BOND SALE AUTHORIZATION.] 
 33.34     To provide the money appropriated in section 20 from the 
 33.35  bond proceeds fund the commissioner of finance, on request of 
 33.36  the governor, shall sell and issue bonds of the state in an 
 34.1   amount up to $12,000,000 in the manner, upon the terms, and with 
 34.2   the effect prescribed by Minnesota Statutes, sections 16A.631 to 
 34.3   16A.675, and by the Minnesota Constitution, article XI, sections 
 34.4   4 to 7.  
 34.5      Sec. 22.  [REPEALER.] 
 34.6      Laws 1994, chapter 643, section 19, subdivision 11, and 
 34.7   Laws 1996, chapter 463, section 7, subdivision 26, are repealed. 
 34.8      Sec. 23.  [EFFECTIVE DATE.] 
 34.9      This article is effective the day following final enactment.