1.1                          A bill for an act 
  1.2             relating to public administration; authorizing 
  1.3             spending to acquire and to better public land and 
  1.4             buildings and other public improvements of a capital 
  1.5             nature with certain conditions; authorizing issuance 
  1.6             of bonds; requiring payment for debt service; 
  1.7             directing a land transfer; appropriating money, with 
  1.8             certain conditions; amending Minnesota Statutes 1994, 
  1.9             section 135A.046, subdivision 3; Laws 1994, chapter 
  1.10            643, section 11, subdivision 11, as amended. 
  1.11  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.12  Section 1.  [CAPITAL IMPROVEMENTS APPROPRIATIONS.] 
  1.13     The sums in the column under "APPROPRIATIONS" are 
  1.14  appropriated from the bond proceeds fund, or another named fund, 
  1.15  to the state agencies or officials indicated, to be spent to 
  1.16  acquire and to better public land and buildings and other public 
  1.17  improvements of a capital nature, as specified in this act. 
  1.18                              SUMMARY  
  1.19  MINNESOTA STATE COLLEGES AND UNIVERSITIES            53,355,000
  1.20  UNIVERSITY OF MINNESOTA                              96,200,000
  1.21  TOTAL                                            $  149,555,000
  1.22  Sec. 2.  MINNESOTA STATE COLLEGES
  1.23  AND UNIVERSITIES 
  1.24  Subdivision 1.  To the board of 
  1.25  trustees of the Minnesota state colleges 
  1.26  and universities for the purposes specified 
  1.27  in this section                                      53,355,000
  1.28  Subd. 2.  The board of trustees is 
  1.29  requested to conduct a thorough 
  1.30  evaluation of all buildings under its 
  1.31  jurisdiction to determine the condition 
  1.32  and the repair and betterment 
  2.1   requirements.  The evaluation shall 
  2.2   include a review of the energy 
  2.3   efficiency of all major building 
  2.4   systems.  The information should be 
  2.5   compiled for each campus and summarized 
  2.6   for the entire system.  
  2.7   Subd. 3.  Higher Education Asset 
  2.8   Preservation and Renewal                             24,300,000 
  2.9   This appropriation must be spent in 
  2.10  accordance with Minnesota Statutes, 
  2.11  section 135A.046.  
  2.12  Subd. 4.  Mankato State University  
  2.13  (a) Construct a hazardous 
  2.14  waste facility                                          270,000
  2.15  (b) Construct a chiller 
  2.16  plant addition                                        1,050,000
  2.17  Subd. 5.  Winona State University 
  2.18  Construct a chiller 
  2.19  plant addition                                        2,200,000
  2.20  Subd. 6.  Anoka Ramsey Community College 
  2.21  Design and construct 
  2.22  a replacement energy plant 
  2.23  and service elevator                                  4,510,000
  2.24  Subd. 7.  St. Cloud State University 
  2.25  Design and construct an electrical 
  2.26  distribution system replacement 
  2.27  and tunnels for the electrical system                 3,500,000
  2.28  Subd. 8.  Hutchinson Technical College 
  2.29  Design and construct 
  2.30  a heating, ventilation, and 
  2.31  air conditioning system                               2,000,000
  2.32  Subd. 9.  Vermillion Community College 
  2.33  Design and construct for code 
  2.34  compliance, telecommunications upgrade, 
  2.35  mechanical upgrades, heating, ventilation, 
  2.36  and air conditioning improvements, 
  2.37  and electrical modifications                          1,890,000
  2.38  Subd. 10.  Land acquisitions at
  2.39  St. Paul, St. Cloud, and Moorhead                     3,900,000
  2.40  Subd. 11.  Minneapolis Community College 
  2.41  Design and construct modifications 
  2.42  to the air handling system and fire alarm 
  2.43  system, replace temperature control 
  2.44  system, air handling units, and chillers              4,330,000
  2.45  Subd. 12.  Willmar Technical College 
  2.46  Construct major modifications to the 
  2.47  heating, ventilation, and air conditioning 
  2.48  systems, install a sprinkler system and 
  2.49  telecommunications cable trays                        2,150,000
  2.50  Subd. 13.  Mesabi Community College 
  3.1   Design and construct code compliance; 
  3.2   life safety improvements; telecommunications 
  3.3   upgrades; mechanical, heating, venting, and 
  3.4   air conditioning improvements; and electrical 
  3.5   upgrading                                             1,230,000
  3.6   Subd. 14.  Staples Technical College 
  3.7   Design a replacement west campus                        225,000
  3.8   Subd. 15.  Moorhead State University 
  3.9   Construct a storm water drainage 
  3.10  system for the campus                                 1,800,000
  3.11  Subd. 16.  Minneapolis Metro State
  3.12  University Planning
  3.13  In selecting a site for the Minneapolis 
  3.14  Metro State University campus, it is 
  3.15  the intent of the legislature that the 
  3.16  board of trustees determine how best to 
  3.17  improve the delivery of comprehensive, 
  3.18  quality educational programs.  The 
  3.19  board shall seek input from the 
  3.20  communities, business interests, 
  3.21  elected officials, and other interested 
  3.22  parties, including the University of 
  3.23  Minnesota. 
  3.24  In reviewing site options, the board 
  3.25  shall strongly consider consolidating 
  3.26  the programs of Minneapolis Community 
  3.27  College and Minneapolis Technical 
  3.28  College with Metropolitan State 
  3.29  University and utilizing the current 
  3.30  location of the Minneapolis community 
  3.31  and technical colleges for a fully 
  3.32  integrated and consolidated campus 
  3.33  under a single administration. 
  3.34  Subd. 17.  Anoka Hennepin Technical College 
  3.35  The board of trustees of the Minnesota 
  3.36  state colleges and universities may 
  3.37  acquire the aviation management 
  3.38  facility and corresponding real 
  3.39  property leased for use by the Anoka 
  3.40  Hennepin technical college at the Anoka 
  3.41  county airport, according to the terms 
  3.42  of the existing lease agreement. 
  3.43  Subd. 18.  Debt Service
  3.44  (a) The board shall pay one-third of 
  3.45  the debt service on state bonds sold to 
  3.46  finance projects authorized by 
  3.47  subdivisions 6, 7, and 10.  After each 
  3.48  sale of general obligation bonds, the 
  3.49  commissioner of finance shall notify 
  3.50  the board of the amounts assessed for 
  3.51  each year for the life of the bonds. 
  3.52  (b) The commissioner shall reduce the 
  3.53  board's assessment each year by 
  3.54  one-third of the net income from 
  3.55  investment of general obligation bond 
  3.56  proceeds in proportion to the amount of 
  3.57  principal and interest otherwise 
  3.58  required to be paid the board.  The 
  4.1   board shall pay its resulting net 
  4.2   assessment to the commissioner of 
  4.3   finance by December 1 each year.  If 
  4.4   the board fails to make a payment when 
  4.5   due, the commissioner of finance shall 
  4.6   reduce allotments for appropriations 
  4.7   from the general fund otherwise 
  4.8   available to the board and apply the 
  4.9   amount of the reduction to cover the 
  4.10  missed debt service payment.  The 
  4.11  commissioner of finance shall credit 
  4.12  the payments received from the board to 
  4.13  the bond debt service account in the 
  4.14  state bond fund each December 1 before 
  4.15  money is transferred from the general 
  4.16  fund under Minnesota Statutes, section 
  4.17  16A.641, subdivision 10. 
  4.18  Sec. 3.  UNIVERSITY OF MINNESOTA 
  4.19  Subdivision 1.  To the board of regents 
  4.20  of the University of Minnesota for the 
  4.21  purposes specified in this section                   96,200,000
  4.22  Subd. 2.  Higher Education Asset 
  4.23  Preservation and Renewal                             27,000,000
  4.24  (a) Systemwide        18,000,000
  4.25  This appropriation must be spent in 
  4.26  accordance with Minnesota Statutes, 
  4.27  section 135A.046. 
  4.28  (b) Facility Renewal   9,000,000
  4.29  This appropriation is to renew existing 
  4.30  instructional spaces.  
  4.31  (c) The commissioner of finance shall 
  4.32  not release the appropriations in this 
  4.33  subdivision until after the University 
  4.34  of Minnesota has provided to the 
  4.35  commissioner of finance a list of 
  4.36  buildings that will be decommissioned 
  4.37  as a result of the expenditure of the 
  4.38  appropriations. 
  4.39  Subd. 3.  Twin Cities 
  4.40  Construct, furnish, and equip the 
  4.41  Minnesota library access center to 
  4.42  house the university's archives and 
  4.43  special collections, immigration 
  4.44  history research center documents and 
  4.45  collections, to store less used library 
  4.46  materials for state university, private 
  4.47  college, city, county, and regional 
  4.48  libraries in the state, and to house 
  4.49  Minitex services.                                    43,150,000
  4.50  Subd. 4.  Crookston 
  4.51  Design and construct a replacement 
  4.52  controlled environmental science 
  4.53  facility and construct a connecting road              3,050,000
  4.54  Subd. 5.  Duluth 
  4.55  Design and construct a 
  4.56  replacement library                                  20,000,000
  5.1   Subd. 6.  Morris 
  5.2   Design a science laboratory
  5.3   addition, student support 
  5.4   facilities, power plant addition, 
  5.5   and physical education addition                       3,000,000
  5.6   Subd. 7.  Architecture Renovation and 
  5.7   Addition, Power Plant Relocation,
  5.8   Magnetic Resonance Research Facility,
  5.9   and the Molecular and Cellular Therapeutic
  5.10  Facility                  
  5.11  The board of regents of the University 
  5.12  of Minnesota may:  (i) construct a 
  5.13  replacement steam plant outside the 
  5.14  Mississippi river critical area 
  5.15  designated in Minnesota Statutes, 
  5.16  section 116G.15; (ii) renovate and 
  5.17  build an addition to the existing 
  5.18  architecture building; (iii) construct 
  5.19  a new magnetic resonance research 
  5.20  facility; and (iv) remodel the 
  5.21  molecular and cellular therapeutic 
  5.22  facility.  The board is encouraged to 
  5.23  use proceeds from the proposed transfer 
  5.24  of the hospital and parking ramp to the 
  5.25  Fairview health system to reduce its 
  5.26  outstanding bonded debt to free up debt 
  5.27  capacity to construct these projects. 
  5.28  Subd. 8.  Debt service 
  5.29  (a) The board of regents shall pay 
  5.30  one-third of the debt service on state 
  5.31  bonds sold to finance projects 
  5.32  authorized by this section.  
  5.33  Appropriations for higher education 
  5.34  asset preservation and renewal are not 
  5.35  subject to the one-third debt service 
  5.36  requirement.  After each sale of 
  5.37  general obligation bonds, the 
  5.38  commissioner of finance shall notify 
  5.39  the board of regents of the amounts 
  5.40  assessed for each year for the life of 
  5.41  the bonds. 
  5.42  (b) The commissioner shall reduce the 
  5.43  board's assessment each year by 
  5.44  one-third of the net income from 
  5.45  investment of general obligation bond 
  5.46  proceeds in proportion to the amount of 
  5.47  principal and interest otherwise 
  5.48  required to be paid by the board.  The 
  5.49  board shall pay its resulting net 
  5.50  assessment to the commissioner of 
  5.51  finance by December 1 each year.  If 
  5.52  the board fails to make a payment when 
  5.53  due, the commissioner of finance shall 
  5.54  reduce allotments for appropriations 
  5.55  from the general fund otherwise 
  5.56  available to the board and apply the 
  5.57  amount of the reduction to cover the 
  5.58  missed debt service payment.  The 
  5.59  commissioner of finance shall credit 
  5.60  the payments received from the board to 
  5.61  the bond debt service account in the 
  5.62  state bond fund each December 1 before 
  5.63  money is transferred from the general 
  5.64  fund under Minnesota Statutes, section 
  5.65  16A.641, subdivision 10. 
  6.1   Sec. 4.  CAPITAL BUDGET PRIORITIES
  6.2   It is the intent of the legislature to 
  6.3   give priority for future capital 
  6.4   projects to campuses that:  (i) combine 
  6.5   two or more administrations into a 
  6.6   single administration; and (ii) 
  6.7   eliminate duplicate course offerings 
  6.8   that had been in existence prior to the 
  6.9   installation of a single administration.
  6.10  For any new construction that may be 
  6.11  authorized, it is the intent of the 
  6.12  legislature to give priority of funding 
  6.13  to projects that had prior legislative 
  6.14  authorization for preconstruction 
  6.15  activities. 
  6.16     Sec. 5.  Laws 1994, chapter 643, section 11, subdivision 
  6.17  11, as amended by Laws 1995, chapter 208, section 4, is amended 
  6.18  to read: 
  6.19  Subd. 11.  Northland Community College 
  6.20  (a) Integrate community college 
  6.21  and technical college                                   100,000
  6.22  This appropriation is to prepare design 
  6.23  documents for remodeling and new 
  6.24  construction necessary for the 
  6.25  integration of Northland community 
  6.26  college and Thief River Falls technical 
  6.27  college.  The project will begin with 
  6.28  the integration of the student services 
  6.29  area and the learning resources center. 
  6.30  (b) Construct ~~regional multievent~~  
  6.31  ~~cultural center~~ athletic facilities                   3,000,000
  6.32  This appropriation is to construct 
  6.33  athletic facilities that are expected 
  6.34  to be part of a regional multievent 
  6.35  cultural center.  All cities, counties, 
  6.36  and school districts in region 8A, and 
  6.37  public post-secondary education systems 
  6.38  ~~shall~~ are encouraged to cooperate in 
  6.39  the construction and joint use of 
  6.40  the ~~facility~~ facilities.  Up to 
  6.41  $2,000,000 is available immediately for 
  6.42  this project, but the remainder of the 
  6.43  money is not available unless matched 
  6.44  by an equal amount of money or in-kind 
  6.45  contributions from nonstate sources.  
  6.46  Nonstate money or in-kind contributions 
  6.47  that are raised in excess of the 
  6.48  required match may be used to expand 
  6.49  the center with additional phases. 
  6.50  Predesign plans for the expanded center 
  6.51  may be based on the assumption that 
  6.52  contributions in excess of the required 
  6.53  match will be available to construct 
  6.54  it, but design and construction for 
  6.55  each phase may not be undertaken until 
  6.56  the money necessary to complete the 
  6.57  phase has been committed.  
  6.58  The nonstate match added to this 
  6.59  project is in lieu of the debt service 
  7.1   payment assessed to higher education 
  7.2   projects. 
  7.3      Sec. 6.  [BOND SALE AUTHORIZATION.] 
  7.4      To provide the money appropriated in this act from the bond 
  7.5   proceeds fund, the commissioner of finance, on request of the 
  7.6   governor, shall sell and issue bonds of the state in an amount 
  7.7   up to $149,555,000 in the manner, upon the terms, and with the 
  7.8   effect prescribed by Minnesota Statutes, sections 16A.631 to 
  7.9   16A.675, and by the Minnesota Constitution, article XI, sections 
  7.10  4 to 7.  
  7.11     Sec. 7.  Minnesota Statutes 1994, section 135A.046, 
  7.12  subdivision 3, is amended to read: 
  7.13     Subd. 3.  [REPORTING PRIORITIES.] Each post-secondary 
  7.14  governing board shall establish priorities within its HEAPR 
  7.15  projects~~.  By December 31 of each year, it~~ and shall submit a 
  7.16  list of those priorities for which capital bonding 
  7.17  appropriations will be sought in the next legislative session, 
  7.18  as well as a list of the projects that have received bond 
  7.19  proceeds during that calendar year to the commissioner of 
  7.20  finance, the chairs of the higher education finance divisions, 
  7.21  the senate finance committee, and the house of representatives 
  7.22  capital investment committee by December 31 of each year. 
  7.23     Sec. 8.  [LAND TRANSFER.] 
  7.24     Notwithstanding other law, the board of trustees of the 
  7.25  Minnesota state colleges and universities shall without 
  7.26  compensation transfer to the school board of independent school 
  7.27  district No. 347 up to seven acres in the southwest corner of 
  7.28  approximately 40 acres of undeveloped technical college property 
  7.29  previously transferred by the school board and legally described 
  7.30  as "The Southeast Quarter of the Southwest Quarter (SE 1/4 of 
  7.31  the SW 1/4) of Section 4, Township 119, Range 35."  The number 
  7.32  of acres transferred shall be as agreed by the school board and 
  7.33  the board of trustees of the Minnesota state colleges and 
  7.34  universities.  Unless and until the school board elects to 
  7.35  develop this property for its own educational purposes, the 
  7.36  board of trustees of the Minnesota state colleges and 
  8.1   universities shall have access to the property at no cost for 
  8.2   the purpose of agricultural instruction.  If the school board 
  8.3   elects to develop the property, it shall do so only for an 
  8.4   educational purpose.  If the school board develops the property 
  8.5   for other than an educational purpose, uses the property without 
  8.6   developing it, or no longer desires to hold the property, the 
  8.7   property shall revert to the state on behalf of the board of 
  8.8   trustees of the Minnesota state colleges and universities. 
  8.9      Sec. 9.  [EFFECTIVE DATE.] 
  8.10     This act is effective the day after its final enactment.