1.1 	A bill for an act
1.2 	relating to capital improvements; authorizing spending
1.3 	to acquire and better public land and buildings and
1.4 	other public improvements of a capital nature with
1.5 	certain conditions; making adjustments to previous
1.6 	bond authorizations; authorizing sale of state bonds;
1.7 	appropriating money; amending Minnesota Statutes 2004,
1.8 	sections 16A.671, subdivision 3; 116J.571; 116J.572,
1.9 	subdivisions 2, 4; 116J.573, subdivisions 1, 2, 4, 5;
1.10 	116J.574, subdivision 2; 116J.575, subdivision 1;
1.11 	proposing coding for new law in Minnesota Statutes,
1.12 	chapter 16A.
1.13 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.14 	ARTICLE 1
1.15 	APPROPRIATIONS AND RELATED LANGUAGE

1.16 	Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.
 1.17 	The sums in the column under "APPROPRIATIONS" are
1.18 	appropriated from the bond proceeds fund, or another named fund,
1.19 	to the state agencies or officials indicated, to be spent for
1.20 	public purposes.  Appropriations of bond proceeds must be spent
1.21 	as authorized by the Minnesota Constitution, article XI, section
1.22 	5, paragraph (a), to acquire and better public land and
1.23 	buildings and other public improvements of a capital nature, or
1.24 	as authorized by the Minnesota Constitution, article XI, section
1.25 	5, paragraphs (b) to (j), or article XIV.  Unless otherwise
1.26 	specified, the appropriations in this act are available until
1.27 	the project is completed or abandoned subject to Minnesota
1.28 	Statutes, section 16A.642.
1.29 	SUMMARY
2.1 	UNIVERSITY OF MINNESOTA                          $  100,350,000
2.2 	MINNESOTA STATE COLLEGES AND UNIVERSITIES           100,321,000
2.3 	PERPICH CENTER FOR ARTS EDUCATION                     1,893,000
2.4 	EDUCATION                                            26,280,000
2.5 	MINNESOTA STATE ACADEMIES                             4,255,000
2.6 	NATURAL RESOURCES                                    70,150,000
2.7 	POLLUTION CONTROL AGENCY                             14,000,000
2.8 	OFFICE OF ENVIRONMENTAL ASSISTANCE                    4,000,000
2.9 	BOARD OF WATER AND SOIL RESOURCES                    27,362,000
2.10 	AGRICULTURE                                          18,619,000
2.11 	ZOOLOGICAL GARDEN                                    26,640,000
2.12 	ADMINISTRATION                                       27,873,000
2.13 	CAPITOL AREA ARCHITECTURAL AND PLANNING BOARD         2,357,000
2.14 	MILITARY AFFAIRS                                      5,000,000
2.15 	TRANSPORTATION                                       96,248,000
2.16 	METROPOLITAN COUNCIL                                 17,000,000
2.17 	HUMAN SERVICES                                       27,023,000
2.18 	VETERANS HOMES BOARD                                  6,306,000
2.19 	VETERANS AFFAIRS                                        670,000
2.20 	CORRECTIONS                                         117,072,000
2.21 	EMPLOYMENT AND ECONOMIC DEVELOPMENT                  71,306,000
2.22 	HOUSING FINANCE AGENCY                               20,000,000
2.23 	MINNESOTA HISTORICAL SOCIETY                          9,146,000
2.24 	GRANTS TO POLITICAL SUBDIVISIONS                     21,447,000
2.25 	BOND SALE EXPENSES                                      734,000
2.26 	TOTAL                                            $  816,052,000
2.27 	Bond Proceeds Fund
2.28 	(General Fund Debt Service)                         644,451,000
2.29 	Bond Proceeds Fund
2.30 	(User Financed Debt Service)                         36,869,000
2.31 	Maximum Effort School Loan Fund
2.32 	Bond Proceeds Account                                24,040,000
2.33 	State Transportation Fund
2.34 	Bond Proceeds Account                                75,500,000
2.35 	General Fund                                          5,082,000
2.36 	Trunk Highway Bond
2.37 	Proceeds Account                                     30,110,000
2.38 	APPROPRIATIONS
2.39 	                                                 $

3.1 	Sec. 2. UNIVERSITY OF MINNESOTA
 3.2 		Subdivision 1.To the Board of Regents
3.3 	of the University of Minnesota for the
3.4 	purposes specified in this section                  100,350,000
3.5 		Subd. 2.Higher Education Asset
3.6 	Preservation and Replacement (HEAPR)                 45,100,000
3.7 	To be spent in accordance with
3.8 	Minnesota Statutes, section 135A.046.
3.9 		Subd. 3.Duluth Life Science
3.10 	Building                                             10,103,000
3.11 	To design, renovate, furnish, and equip
3.12 	the Life Science Building for the
3.13 	pharmacy program and other academic
3.14 	programs on the Duluth campus.  The
3.15 	renovation may include, but is not
3.16 	limited to, improvements to correct air
3.17 	quality problems, life safety and
3.18 	accessibility code deficiencies,
3.19 	asbestos, and fireproofing of the
3.20 	facility.
3.21 		Subd. 4.Twin Cities Campus -
3.22 	Minneapolis
3.23 	(a) Kolthoff Hall                                    17,381,000
3.24 	To design, renovate, furnish, and equip
3.25 	Kolthoff Hall to correct air quality
3.26 	problems in the facility that may
3.27 	include, but is not limited to, repair
3.28 	or replacement of the mechanical,
3.29 	electrical, and HVAC systems.
3.30 	(b) Education Sciences                               14,448,000
3.31 	To design, renovate, furnish, and equip
3.32 	the Education Sciences Building.
3.33 	(c) Academic Health Education Facilities             10,428,000
3.34 	To design, renovate, furnish, and equip
3.35 	academic health education facilities.
3.36 		Subd. 5.Morris District Facilities                  2,890,000
3.37 	To design, construct, furnish, and
3.38 	equip an addition to the heating plant
3.39 	to provide the capacity to generate
3.40 	steam by burning biomass.
3.41 		Subd. 6.University Bonds
3.42 	The Board of Regents shall issue bonds
3.43 	for remaining costs associated with
3.44 	projects authorized by subdivisions 3,
3.45 	4, and 5.

3.46 	Sec. 3. MINNESOTA STATE COLLEGES AND
3.47 	UNIVERSITIES
 3.48 		Subdivision 1.To the Board of Trustees
3.49 	of the Minnesota State Colleges and
3.50 	Universities for the purposes specified in
3.51 	this section                                        100,321,000
4.1 		Subd. 2.Higher Education Asset
4.2 	Preservation and Replacement                         49,000,000
4.3 	This appropriation is for the purposes
4.4 	specified in Minnesota Statutes,
4.5 	section 135A.046, including safety and
4.6 	statutory compliance, envelope
4.7 	integrity, mechanical systems, and
4.8 	space restoration.
4.9 		Subd. 3.Winona State University                    11,118,000
4.10 	To design, renovate, furnish, and equip
4.11 	Pasteur Hall for classrooms, science
4.12 	laboratories, and related offices.
4.13 		Subd. 4.Minnesota State University -
4.14 	Moorhead                                             10,477,000
4.15 	To renovate, furnish, and equip Hagen
4.16 	Hall for classrooms, science
4.17 	laboratories, and related offices.
4.18 		Subd. 5.Century Community and
4.19 	Technical College                                     4,888,000
4.20 	To remodel, furnish, and equip space
4.21 	purchased from intermediate school
4.22 	district 916 into a computer center,
4.23 	offices, and smart classrooms.
4.24 		Subd. 6.St. Cloud State University                  3,150,000
4.25 	To remodel, furnish, and equip
4.26 	Centennial Hall to convert it from a
4.27 	library to classroom and office space.
4.28 		Subd. 7.St. Cloud Technical College                 1,065,000
4.29 	To renovate classroom space into
4.30 	science space, including two science
4.31 	laboratories and a faculty office.
4.32 		Subd. 8.South Central Technical
4.33 	College                                               5,157,000
4.34 	To remodel, furnish, and equip teaching
4.35 	laboratories at the North Mankato
4.36 	campus and for asset preservation at
4.37 	the Faribault campus.
4.38 		Subd. 9.Systemwide Science Lab
4.39 	Renovations                                           9,668,000
4.40 	To design, renovate, furnish, and equip
4.41 	science laboratories at campuses
4.42 	statewide.
4.43 		Subd. 10.Systemwide Workforce
4.44 	Training Classrooms                                   2,173,000
4.45 	To design, renovate, furnish, and equip
4.46 	classroom space at campuses statewide
4.47 	into space designed to address emerging
4.48 	workforce training needs.
4.49 		Subd. 11.Systemwide
4.50 	Technology-Updated Classrooms                         2,000,000
4.51 	To renovate and equip classrooms with
4.52 	improved heating, cooling, electrical,
5.1 	and technology systems.
5.2 		Subd. 12.Systemwide Demolition
5.3 	Initiative                                            1,625,000
5.4 	To demolish obsolete buildings on ten
5.5 	campuses.
5.6 		Subd. 13.Debt Service
5.7 	(a) The board shall pay the debt
5.8 	service on one-third of the principal
5.9 	amount of state bonds sold to finance
5.10 	projects authorized by this section,
5.11 	except for higher education asset
5.12 	preservation and replacement in
5.13 	subdivision 2.  After each sale of
5.14 	general obligation bonds, the
5.15 	commissioner of finance shall notify
5.16 	the board of the amounts assessed for
5.17 	each year for the life of the bonds.
5.18 	(b) The commissioner shall reduce the
5.19 	board's assessment each year by
5.20 	one-third of the net income from
5.21 	investment of general obligation bond
5.22 	proceeds in proportion to the amount of
5.23 	principal and interest otherwise
5.24 	required to be paid by the board.  The
5.25 	board shall pay its resulting net
5.26 	assessment to the commissioner of
5.27 	finance by December 1 each year.  If
5.28 	the board fails to make a payment when
5.29 	due, the commissioner of finance shall
5.30 	reduce allotments for appropriations
5.31 	from the general fund otherwise
5.32 	available to the board and apply the
5.33 	amount of the reduction to cover the
5.34 	missed debt service payment.  The
5.35 	commissioner of finance shall credit
5.36 	the payments received from the board to
5.37 	the bond debt service account in the
5.38 	state bond fund each December 1 before
5.39 	money is transferred from the general
5.40 	fund under Minnesota Statutes, section
5.41 	16A.641, subdivision 10.

5.42 	Sec. 4. PERPICH CENTER FOR ARTS EDUCATION
 5.43 		Subdivision 1.To the commissioner
5.44 	of administration for the purposes
5.45 	specified in this section                             1,893,000
5.46 		Subd. 2.Campus Asset Preservation                     558,000
5.47 	For asset preservation capital
5.48 	improvements on the campus including,
5.49 	but not limited to, bathroom
5.50 	renovation, construction or repair of
5.51 	perimeter fencing, sidewalks, roads,
5.52 	sewers, the addition of an air
5.53 	conditioning chiller, and mold
5.54 	abatement.
5.55 		Subd. 3.Beta Building Demolition                      525,000
5.56 	To demolish the Beta Building on the
5.57 	Perpich Center Campus, dispose of any
5.58 	hazardous materials, and fill the site.
5.59 		Subd. 4.Alpha Building Renovation                     810,000
6.1 	To renovate and remodel the Alpha
6.2 	Building on the Perpich Center Campus
6.3 	for use as a storage facility.

6.4 	Sec. 5. EDUCATION
 6.5 		Subdivision 1.To the commissioner of
6.6 	education for the purposes specified in
6.7 	this section                                         26,280,000
6.8 		Subd. 2.Duluth Grant School
6.9 	Youth and Community Center                            1,157,000
6.10 	For a grant to Independent School
6.11 	District No. 709, Duluth, to design,
6.12 	construct, furnish, and equip an
6.13 	addition to the Grant Magnet School for
6.14 	expansion of successful youth and
6.15 	community programming.  The addition
6.16 	will include a gymnasium, performance
6.17 	stage, multipurpose classrooms, and
6.18 	will expand cafeteria seating.
6.19 	If the Department of Education and
6.20 	Independent School District No. 709,
6.21 	Duluth, do not enter into a grant
6.22 	agreement by June 30, 2006, this
6.23 	appropriation lapses and is no longer
6.24 	available.
6.25 		Subd. 3.Independent School
6.26 	District No. 38 - Red Lake                           24,040,000
6.27 	This appropriation is from the maximum
6.28 	effort school loan fund for a capital
6.29 	loan to Independent School District No.
6.30 	38, Red Lake, as provided in Minnesota
6.31 	Statutes, sections 126C.60 to 126C.72,
6.32 	to design, construct, renovate,
6.33 	furnish, and equip a middle school
6.34 	facility.  This capital loan is
6.35 	approved as required in Minnesota
6.36 	Statutes, section 126C.69, subdivision
6.37 	10.
6.38 	The commissioner shall review the
6.39 	proposed plan and budget of the project
6.40 	and may reduce the amount of the loan
6.41 	to ensure that the project will be
6.42 	economical.  The commissioner may
6.43 	recover the cost incurred by the
6.44 	commissioner for any professional
6.45 	services associated with the final
6.46 	review and construction by reducing the
6.47 	proceeds of the loan paid by the
6.48 	district.  The commissioner shall
6.49 	report to the legislature any
6.50 	reductions to the appropriations in
6.51 	this subdivision by January 10, 2006.
6.52 		Subd. 4.East Metro Magnet
6.53 	School - Crosswinds Middle School                     1,083,000
6.54 	For a grant to Joint Powers District
6.55 	No. 6067, East Metro Integration
6.56 	District, to repay a loan from
6.57 	Independent School District No. 625,
6.58 	St. Paul, that was used to complete
6.59 	acquiring land for the site of
6.60 	Crosswinds Arts and Science Middle
6.61 	School.  This appropriation is added to
7.1 	the appropriations in Laws 1998,
7.2 	chapter 404, section 5, subdivision 5;
7.3 	Laws 1999, chapter 240, article 1,
7.4 	section 3; Laws 2000, chapter 492,
7.5 	article 1, section 5, subdivision 2;
7.6 	and Laws 2001, First Special Session
7.7 	chapter 12, section 2, subdivision 2,
7.8 	for the same project.

7.9 	Sec. 6. MINNESOTA STATE ACADEMIES                    4,255,000
 7.10 	To the commissioner of administration
7.11 	for asset preservation capital
7.12 	improvements on both campuses of the
7.13 	Minnesota State Academies for the Deaf
7.14 	and the Blind.

7.15 	Sec. 7. NATURAL RESOURCES
 7.16 		Subdivision 1.To the
7.17 	commissioner of natural resources
7.18 	for the purposes specified
7.19 	in this section                                      70,150,000
7.20 		Subd. 2.Flood Hazard Mitigation
7.21 	Grants                                               20,000,000
7.22 	For the state share of flood hazard
7.23 	mitigation grants for publicly owned
7.24 	capital improvements to prevent or
7.25 	alleviate flood damage under Minnesota
7.26 	Statutes, section 103F.161.
7.27 	To the extent that the cost of the
7.28 	projects in Montevideo, Breckenridge,
7.29 	East Grand Forks, Ada, Roseau, Oakport
7.30 	Township, Granite Falls, and Dawson
7.31 	exceed two percent of the median
7.32 	household income in the municipality
7.33 	multiplied by the number of households
7.34 	in the municipality, this appropriation
7.35 	is also for the local share of the
7.36 	project.
7.37 		Subd. 3.Dam Renovation and
7.38 	Removal                                               1,150,000
7.39 	To renovate or remove publicly owned
7.40 	dams.  The commissioner shall determine
7.41 	project priorities as appropriate under
7.42 	Minnesota Statutes, sections 103G.511
7.43 	and 103G.515.
7.44 		Subd. 4.RIM - Critical Habitat
7.45 	Match                                                 4,000,000
7.46 	To provide the state match for the
7.47 	critical habitat private sector
7.48 	matching account under Minnesota
7.49 	Statutes, section 84.943, for the
7.50 	acquisition or improvements of a
7.51 	capital nature for critical fish,
7.52 	wildlife, and native plant habitats.
7.53 		Subd. 5.RIM - Wildlife Area Land
7.54 	Acquisition                                          12,000,000
7.55 	To acquire land for wildlife management
7.56 	area purposes under Minnesota Statutes,
7.57 	section 86A.05, subdivision 8.
8.1 		Subd. 6.Fisheries Acquisition and
8.2 	Improvement                                           1,050,000
8.3 	To acquire land and interests in land
8.4 	for aquatic management areas and to
8.5 	make public improvements and
8.6 	betterments of a capital nature to
8.7 	aquatic management areas established
8.8 	under Minnesota Statutes, section
8.9 	86A.05, subdivision 14.
8.10 		Subd. 7.Water Access Acquisition,
8.11 	Betterment, and Fishing Piers                         3,500,000
8.12 	For public water access acquisition,
8.13 	construction, and renovation to capital
8.14 	projects on lakes and rivers, including
8.15 	water access through the provision of
8.16 	fishing piers and shoreline access
8.17 	under Minnesota Statutes, section
8.18 	86A.05, subdivision 9.
8.19 		Subd. 8.Stream Protection and
8.20 	Restoration                                             500,000
8.21 	For the design and construction of
8.22 	trout stream restoration projects.
8.23 		Subd. 9.Reforestation                               3,000,000
8.24 	To increase reforestation activities to
8.25 	meet the reforestation requirements of
8.26 	Minnesota Statutes, section 89.002,
8.27 	subdivision 2, including planting,
8.28 	seeding, site preparation, and
8.29 	purchasing tree seeds and seedlings.
8.30 		Subd. 10.Metro Greenways and
8.31 	Natural Areas                                         1,000,000
8.32 	To provide grants to local units of
8.33 	government for acquisition or
8.34 	betterment of greenways and natural
8.35 	areas in the metro region and to
8.36 	acquire greenways and natural areas in
8.37 	the metro region through the purchase
8.38 	of conservation easements or fee
8.39 	titles.  The commissioner shall
8.40 	determine the project priorities and
8.41 	shall consult with representatives of
8.42 	local units of government, nonprofit
8.43 	organizations, and other interested
8.44 	parties.
8.45 		Subd. 11.Native Prairie Bank
8.46 	Easements and Development                             1,000,000
8.47 	For acquisition of native prairie bank
8.48 	easements under Minnesota Statutes,
8.49 	section 84.96, and for betterment of
8.50 	prairie bank lands.
8.51 		Subd. 12.Scientific and Natural
8.52 	Area Acquisition and Development                        300,000
8.53 	To acquire land for scientific and
8.54 	natural areas and for development,
8.55 	protection, or improvements of a
8.56 	capital nature to scientific and
8.57 	natural areas under Minnesota Statutes,
8.58 	sections 84.033 and 86A.05, subdivision
9.1 	5.
9.2 		Subd. 13.State Trail Development                    2,000,000
9.3 	To renovate state trails as specified
9.4 	in Minnesota Statutes, section 85.015.
9.5 		Subd. 14.County Forest Land
9.6 	Reforestation                                         1,000,000
9.7 	To provide matching grants to counties
9.8 	for reforestation of
9.9 	county-administered lands.  The
9.10 	commissioner shall determine project
9.11 	priorities based on need and level of
9.12 	county matching funds.  The state
9.13 	matching grants are available to
9.14 	counties for site preparation, tree
9.15 	planting, tree seeding, and are to
9.16 	supplement, not supplant, county
9.17 	funding for timber development
9.18 	described under Minnesota Statutes,
9.19 	section 282.08, clause (5)(i).
9.20 	These grants are not available until
9.21 	the commissioner has determined that at
9.22 	least an equal amount has been
9.23 	committed from the recipient county.
9.24 		Subd. 15.Fish Hatchery Improvements                 1,750,000
9.25 	For improvements of a capital nature to
9.26 	renovate fish culture facilities.
9.27 		Subd. 16.RIM - Wildlife Management
9.28 	Area Development                                        600,000
9.29 	For improvements of a capital nature to
9.30 	develop, protect, or improve habitat
9.31 	and facilities on wildlife management
9.32 	areas under Minnesota Statutes, section
9.33 	86A.05, subdivision 8.
9.34 		Subd. 17.State Forest Land Acquisition              1,000,000
9.35 	To acquire private lands from willing
9.36 	sellers within established boundaries
9.37 	of state forests established under
9.38 	Minnesota Statutes, section 89.021.
9.39 		Subd. 18.Forest Road and Bridge Projects            1,000,000
9.40 	For reconstruction, resurfacing,
9.41 	replacement, and construction of state
9.42 	forest roads and bridges throughout the
9.43 	state under Minnesota Statutes, section
9.44 	89.002.
9.45 		Subd. 19.State Park and Recreation Area
9.46 	Acquisition                                           2,000,000
9.47 	For acquisition of land under Minnesota
9.48 	Statutes, section 86A.05, subdivisions
9.49 	2 and 3, from willing sellers of
9.50 	private lands within state park and
9.51 	recreation area boundaries established
9.52 	by law.
9.53 		Subd. 20.State Park and Recreation Area
9.54 	Building Development and Rehabilitation and
9.55 	Infrastructure Improvements                           3,000,000
10.1 	For construction, rehabilitation, and
10.2 	infrastructure improvements within
10.3 	Minnesota state parks and state
10.4 	recreation areas according to the
10.5 	management plan required in Minnesota
10.6 	Statutes, chapter 86A.
10.7 		Subd. 21.Lake Superior Safe Harbor                  2,000,000
10.8 	For design, construction, and capital
10.9 	improvements to public accesses and
10.10 	small craft harbors on Lake Superior in
10.11 	cooperation with the United States Army
10.12 	Corps of Engineers, and to purchase
10.13 	buildings, piers, and capital equipment
10.14 	from Lake County.
10.15 		Subd. 22.Statewide Asset Preservation               4,500,000
10.16 	For asset preservation improvements and
10.17 	betterments at Department of Natural
10.18 	Resources buildings statewide,
10.19 	including removal of life safety
10.20 	hazards and structural defects;
10.21 	elimination or containment of hazardous
10.22 	materials; code compliance
10.23 	improvements; accessibility
10.24 	improvements; replacement or renovation
10.25 	of roofs, windows, tuckpointing, and
10.26 	structural members; and improvements
10.27 	necessary to preserve the interior and
10.28 	exterior of buildings and other
10.29 	infrastructure.
10.30 		Subd. 23.Field Office Renovation and
10.31 	Improvement                                             800,000
10.32 	To design, acquire, renovate,
10.33 	construct, furnish, and equip field
10.34 	offices.
10.35 		Subd. 24.Regional Parks;
10.36 	Greater Minnesota                                     3,000,000
10.37 	For grants to counties and public
10.38 	regional parks organizations located
10.39 	outside the metropolitan area as
10.40 	defined in Minnesota Statutes, section
10.41 	473.121, subdivision 2, to acquire
10.42 	land, design, and construct and
10.43 	redevelop regional parks and trails,
10.44 	open space, and recreational
10.45 	facilities.  The improvements must be
10.46 	of a capital nature.  Each $3 of state
10.47 	grants must be matched by $2 of
10.48 	nonstate funds.

10.49 	Sec. 8. POLLUTION CONTROL AGENCY                    14,000,000
 10.50 	To the Pollution Control Agency to
10.51 	design and construct remedial systems
10.52 	and acquire land at landfills
10.53 	throughout the state in accordance with
10.54 	the closed landfill program under
10.55 	Minnesota Statutes, section 115B.39.

10.56 	Sec. 9. OFFICE OF ENVIRONMENTAL ASSISTANCE           4,000,000
 10.57 	To the Office of Environmental
10.58 	Assistance for the solid waste capital
11.1 	assistance grants program under
11.2 	Minnesota Statutes, section 115A.54.
11.3 	Grants from this appropriation must be
11.4 	awarded to applicants whose
11.5 	applications were on file with the
11.6 	office before September 13, 2003.

11.7 	Sec. 10. BOARD OF WATER AND SOIL RESOURCES
 11.8 		Subdivision 1.To the Board
11.9 	of Water and Soil Resources for the
11.10 	purposes specified in this section                   27,362,000
11.11 		Subd. 2.RIM and CREP Conservation
11.12 	Easements                                            23,000,000
11.13 	This appropriation is to acquire
11.14 	conservation easements from landowners
11.15 	on marginal lands to protect soil and
11.16 	water quality and to support fish and
11.17 	wildlife habitat as provided in
11.18 	Minnesota Statutes, section 103F.515.
11.19 	$3,000,000 of this amount is to
11.20 	implement the program.
11.21 		Subd. 3.Wetland Replacement
11.22 	Due to Public Road Projects                           4,362,000
11.23 	To acquire land for wetlands or restore
11.24 	wetlands to be used to replace wetlands
11.25 	drained or filled as a result of the
11.26 	repair, maintenance, or rehabilitation
11.27 	of existing public roads as required by
11.28 	Minnesota Statutes, section 103G.222,
11.29 	subdivision 1, paragraphs (k) and (l).
11.30 	The purchase price paid for acquisition
11.31 	of land, fee, or perpetual easement
11.32 	must be the fair market value as
11.33 	determined by the board.  The board may
11.34 	enter into agreements with the federal
11.35 	government, other state agencies,
11.36 	political subdivisions, and nonprofit
11.37 	organizations or fee owners to acquire
11.38 	land and restore and create wetlands
11.39 	and to acquire existing wetland banking
11.40 	credits with money provided by this
11.41 	appropriation.  Acquisition of or the
11.42 	conveyance of land may be in the name
11.43 	of the political subdivision.

11.44 	Sec. 11. AGRICULTURE
 11.45 		Subdivision 1.To the commissioner of
11.46 	agriculture or other named agencies for
11.47 	the purposes specified in this section               18,619,000
11.48 		Subd. 2.Rural Finance Authority
11.49 	Loan Participation                                   18,000,000
11.50 	For purposes as set forth in the
11.51 	Minnesota Constitution, article XI,
11.52 	section 5, clause (h).  To the rural
11.53 	finance authority to purchase
11.54 	participation interests in or to make
11.55 	direct agricultural loans to farmers
11.56 	under Minnesota Statutes, chapter 41B.
11.57 	This appropriation is for the beginning
11.58 	farmer program under Minnesota
11.59 	Statutes, section 41B.039, the loan
12.1 	restructuring program under Minnesota
12.2 	Statutes, section 41B.04, the
12.3 	seller-sponsored program under
12.4 	Minnesota Statutes, section 41B.042,
12.5 	the agricultural improvement loan
12.6 	program under Minnesota Statutes,
12.7 	section 41B.043, and the livestock
12.8 	expansion loan program under Minnesota
12.9 	Statutes, section 41B.045.  All debt
12.10 	service on bond proceeds used to
12.11 	finance this appropriation must be
12.12 	repaid by the rural finance authority
12.13 	under Minnesota Statutes, section
12.14 	16A.643.  Loan participations must be
12.15 	priced to provide full interest and
12.16 	principal coverage and a reserve for
12.17 	potential losses.
12.18 		Subd. 3.Agriculture Water Management
12.19 	Research Partnership                                    619,000
12.20 	To the Board of Regents of the
12.21 	University of Minnesota to establish or
12.22 	expand agricultural water management
12.23 	projects at the Crookston, Morris,
12.24 	Lamberton, and Waseca Research and
12.25 	Outreach Centers in partnership with
12.26 	the Department of Agriculture.

12.27 	Sec. 12. MINNESOTA ZOOLOGICAL
12.28 	GARDEN
 12.29 		Subdivision 1.To the Minnesota
12.30 	Zoological Garden for the purposes
12.31 	specified in this section                            26,640,000
12.32 		Subd. 2.Phase 1 of Master Plan                     20,640,000
12.33 	To design, construct, furnish, and
12.34 	equip zoo facilities consistent with
12.35 	the current Master Plan for the Gateway
12.36 	to the North exhibit.
12.37 		Subd. 3.Asset Preservation                          6,000,000
12.38 	For capital asset preservation
12.39 	improvements and betterments to roofs,
12.40 	mechanical and utility systems, roads
12.41 	and pathways, building envelopes, storm
12.42 	water systems, exhibits, and safety and
12.43 	code compliance upgrades.

12.44 	Sec. 13. ADMINISTRATION
 12.45 		Subdivision 1.To the commissioner
12.46 	of administration for the purposes
12.47 	specified in this section                            27,873,000
12.48 		Subd. 2.Exterior Repair of
12.49 	Transportation Building                               9,342,000
12.50 	To repair and renovate the exterior of
12.51 	the Department of Transportation
12.52 	Building at 395 John Ireland Boulevard
12.53 	in St. Paul.
12.54 	This appropriation is from the trunk
12.55 	highway bond proceeds account.
12.56 		Subd. 3.Capital Asset Preservation
12.57 	and Replacement Account (CAPRA)                       4,000,000
13.1 	To be spent in accordance with
13.2 	Minnesota Statutes, section 16A.632.
13.3 		Subd. 4.Agency Relocation                           4,882,000
13.4 	For relocation of state agencies as
13.5 	determined by the commissioner of
13.6 	administration, including, but not
13.7 	limited to, the Department of Human
13.8 	Services and tenants of the Veterans
13.9 	Services, Stassen, and Administration
13.10 	Buildings.
13.11 	This appropriation is from the general
13.12 	fund in fiscal year 2006.
13.13 		Subd. 5.Asset Preservation                          6,600,000
13.14 	For asset preservation projects in
13.15 	properties managed by the Department of
13.16 	Administration.
13.17 		Subd. 6.Ford Building Demolition                    1,176,000
13.18 	For demolition and hazardous material
13.19 	abatement of the Ford Building located
13.20 	at 117 University Avenue in St. Paul
13.21 	and subsequent parking lot
13.22 	improvements, including tunnel access,
13.23 	on the vacated area.
13.24 		Subd. 7.Parking                                     1,873,000
13.25 	(a) Of this amount, $1,779,000 is for
13.26 	renovation of the Central Park parking
13.27 	ramp, located east and adjacent to the
13.28 	Centennial Office Building in St. Paul,
13.29 	to accommodate additional parking
13.30 	stalls and for capital costs to expand
13.31 	Capitol Parking Lot Q, located at Cedar
13.32 	Street and Sherburne Avenue in St.
13.33 	Paul, to accommodate additional parking
13.34 	stalls.
13.35 	(b) Of this amount, $94,000 is to
13.36 	remove deficient retaining walls and
13.37 	stairs and to regrade portions of Cass
13.38 	Gilbert Park, located east and adjacent
13.39 	to Lot Q.
13.40 	(c) The bond debt in paragraph (a) will
13.41 	be user financed from parking fees
13.42 	collected and deposited into the state
13.43 	parking account.

13.44 	Sec. 14. CAPITOL AREA ARCHITECTURAL
13.45 	AND PLANNING BOARD                                    2,357,000
 13.46 	To the commissioner of administration,
13.47 	for repair and restoration of the
13.48 	public corridors, walls, and ceilings
13.49 	of the third floor and the dome of the
13.50 	Capitol Building in St. Paul.

13.51 	Sec. 15. MILITARY AFFAIRS
 13.52 		Subdivision 1.To the adjutant
13.53 	general for the purposes specified
13.54 	in this section                                       5,000,000
14.1 		Subd. 2.Asset Preservation                          4,000,000
14.2 	For asset preservation improvements,
14.3 	Americans With Disabilities Act
14.4 	upgrades, and betterments of a capital
14.5 	nature at military affairs facilities
14.6 	statewide.
14.7 		Subd. 3.Facility Life Safety
14.8 	Improvements                                          1,000,000
14.9 	For life/safety improvements, Americans
14.10 	With Disabilities Act upgrades, and
14.11 	betterments of a capital nature at
14.12 	military affairs facilities statewide.

14.13 	Sec. 16. TRANSPORTATION
 14.14 		Subdivision 1.To the
14.15 	commissioner of transportation for
14.16 	the purposes specified in this section               96,248,000
14.17 		Subd. 2.Local Bridge Replacement
14.18 	and Rehabilitation                                   28,000,000
14.19 	This appropriation is from the bond
14.20 	proceeds account in the state
14.21 	transportation fund as provided in
14.22 	Minnesota Statutes, section 174.50, to
14.23 	match federal money and to replace or
14.24 	rehabilitate local deficient bridges.
14.25 	Political subdivisions may use grants
14.26 	made under this section to construct or
14.27 	reconstruct bridges, including:
14.28 	(1) matching federal-aid grants to
14.29 	construct or reconstruct key bridges;
14.30 	(2) paying the costs of preliminary
14.31 	engineering and environmental studies
14.32 	authorized under Minnesota Statutes,
14.33 	section 174.50, subdivision 6a;
14.34 	(3) paying the costs to abandon an
14.35 	existing bridge that is deficient and
14.36 	in need of replacement, but where no
14.37 	replacement will be made; and
14.38 	(4) paying the costs to construct a
14.39 	road or street to facilitate the
14.40 	abandonment of an existing bridge
14.41 	determined by the commissioner to be
14.42 	deficient, if the commissioner
14.43 	determines that construction of the
14.44 	road or street is more cost efficient
14.45 	than the replacement of the existing
14.46 	bridge.
14.47 		Subd. 3.Mankato Headquarters Building              16,620,000
14.48 	To design, construct, furnish, and
14.49 	equip a new headquarters facility in
14.50 	Mankato.  The commissioner shall sell
14.51 	the existing site at fair market
14.52 	value.  Any proceeds from the sale are
14.53 	appropriated to the commissioner to pay
14.54 	for costs associated with the sale and
14.55 	to supplement the appropriation for the
14.56 	new facility.
15.1 	This appropriation is from the trunk
15.2 	highway bond proceeds account.
15.3 		Subd. 4.Local Road Improvement Program             10,000,000
15.4 	For construction, reconstruction, or
15.5 	reconditioning of local roads with
15.6 	statewide or regional significance
15.7 	under Minnesota Statutes, section
15.8 	174.52, subdivision 4, that are
15.9 	directly associated with development of
15.10 	major state road projects.
15.11 		Subd. 5.Small Capital Projects                      4,128,000
15.12 	To design, construct, furnish, and
15.13 	equip statewide building projects,
15.14 	consisting of truck stations, salt
15.15 	storage facilities, cold storage
15.16 	facilities, and Mankato headquarters
15.17 	site work.
15.18 	This appropriation is from the trunk
15.19 	highway bond proceeds account.
15.20 		Subd. 6.Northstar Commuter Rail                    37,500,000
15.21 	For final design and project management
15.22 	of a commuter rail line serving Big
15.23 	Lake to downtown Minneapolis; to
15.24 	acquire land for stations, maintenance
15.25 	facilities, and park and ride lots; and
15.26 	for final design and project management
15.27 	of an extension of the Hiawatha Light
15.28 	Rail Transit line from its terminus in
15.29 	downtown Minneapolis to a new terminus
15.30 	near Fifth Avenue North adjacent to the
15.31 	proposed downtown Minneapolis commuter
15.32 	rail station.
15.33 	This appropriation is not available
15.34 	until $37,500,000 has been committed by
15.35 	local governments and approval to
15.36 	proceed to final design has been
15.37 	authorized by the Federal Transit
15.38 	Administration.
15.39 	Up to $10,000,000 of this appropriation
15.40 	may be used for final design and
15.41 	project management.
15.42 	After a full-funding grant agreement
15.43 	has been executed with the Federal
15.44 	Transit Administration for the
15.45 	Northstar Commuter Rail project, the
15.46 	remaining balance of this appropriation
15.47 	not committed for final design and
15.48 	project management or committed to
15.49 	acquire land shall be available to
15.50 	construct, furnish, and equip the
15.51 	Northstar Commuter Rail line and to
15.52 	construct, furnish, and equip the
15.53 	extension of the Light Rail Transit
15.54 	line.

15.55 	Sec. 17. METROPOLITAN COUNCIL
 15.56 		Subdivision 1.To the Metropolitan
15.57 	Council for the purposes specified
15.58 	in this section                                      17,000,000
16.1 		Subd. 2.Cedar Avenue Bus
16.2 	Rapid Transit (BRT)                                  10,000,000
16.3 	To conduct environmental and
16.4 	preliminary engineering studies for the
16.5 	Cedar Avenue Bus Rapid Transit, to
16.6 	improve highway shoulders for bus use
16.7 	within the corridor, to add or improve
16.8 	park and ride facilities along the
16.9 	corridor, and to match $1,000,000 in
16.10 	federal funds.
16.11 		Subd. 3.Metropolitan Regional
16.12 	Parks Capital Improvements                            7,000,000
16.13 	This appropriation must be used to pay
16.14 	the cost of improvements and
16.15 	betterments of a capital nature and
16.16 	acquisition by the council and local
16.17 	government units of regional
16.18 	recreational open-space lands in
16.19 	accordance with the council's policy
16.20 	plan as provided in Minnesota Statutes,
16.21 	section 473.147.  Priority should be
16.22 	given to park rehabilitation and land
16.23 	acquisition projects.

16.24 	Sec. 18. HUMAN SERVICES
 16.25 		Subdivision 1.To the
16.26 	commissioner of administration
16.27 	for the purposes specified
16.28 	in this section                                      27,023,000
16.29 		Subd. 2.St. Peter Regional
16.30 	Treatment Center Sex Offender Facility                3,259,000
16.31 	To design new facilities for up to 150
16.32 	beds for the treatment of sex offenders
16.33 	in the Minnesota Sexual Offender
16.34 	Program at the St. Peter Regional
16.35 	Treatment Center.
16.36 		Subd. 3.Forensic Nursing Facility                  12,600,000
16.37 	To design, construct, furnish, and
16.38 	equip a new secure skilled nursing
16.39 	facility of approximately 50 beds.
16.40 		Subd. 4.Systemwide - Campus
16.41 	Redevelopment/Reuse/Demolition                        6,150,000
16.42 	To demolish or improve surplus,
16.43 	nonfunctional, or deteriorated
16.44 	facilities and infrastructure at
16.45 	Department of Human Services campuses
16.46 	statewide.
16.47 		Subd. 5.Systemwide Roof
16.48 	Renovation and Replacement                            1,014,000
16.49 	For renovation and replacement of roofs
16.50 	at Department of Human Services
16.51 	facilities statewide.
16.52 		Subd. 6.Systemwide Asset
16.53 	Preservation                                          4,000,000
16.54 	For asset preservation improvements and
16.55 	betterments of a capital nature at
16.56 	state regional treatment centers.

17.1 	Sec. 19. VETERANS HOMES BOARD
 17.2 		Subdivision 1.To the commissioner
17.3 	of administration for the purposes
17.4 	specified in this section                             6,306,000
17.5 		Subd. 2.Asset Preservation                          6,000,000
17.6 	For asset preservation improvements and
17.7 	betterments of a capital nature at
17.8 	veterans homes statewide.
17.9 		Subd. 3.Luverne Dementia Wander Area                  306,000
17.10 	To design, construct, furnish, and
17.11 	equip a building addition to the
17.12 	Luverne Veterans Home for an
17.13 	Alzheimer's/dementia program.

17.14 	Sec. 20. VETERANS AFFAIRS                              670,000
 17.15 	To the commissioner of administration
17.16 	to complete construction of the World
17.17 	War II veterans' memorial on the
17.18 	Capitol mall.  This is the final state
17.19 	appropriation for the project and is
17.20 	contingent on sufficient nonstate funds
17.21 	being received to complete
17.22 	construction, and being received and
17.23 	deposited into a segregated account for
17.24 	perpetual maintenance of the memorial.

17.25 	Sec. 21. CORRECTIONS
 17.26 		Subdivision 1.To the commissioner of
17.27 	administration for the purposes specified
17.28 	in this section                                     117,072,000
17.29 		Subd. 2.Minnesota Correctional
17.30 	Facility - Faribault                                 84,844,000
17.31 	To design, construct, furnish, and
17.32 	equip a bed expansion at the Minnesota
17.33 	Correctional Facility - Faribault, to
17.34 	include, but not be limited to, three
17.35 	new 416-bed, double-bunked wet cell
17.36 	lockable living units, a new kitchen
17.37 	and dining area, an expanded health
17.38 	services area, additional programming
17.39 	space, an upgrade to the existing
17.40 	heating plant, and demolition of
17.41 	several buildings and a utility tunnel.
17.42 		Subd. 3.Asset Preservation                         11,000,000
17.43 	For improvements and betterments of a
17.44 	capital nature at Minnesota
17.45 	correctional facilities statewide,
17.46 	including, but not limited to,
17.47 	emergency lighting projects, roof and
17.48 	window replacement, tuckpointing, and
17.49 	asbestos abatement.
17.50 		Subd. 4.Minnesota Correctional
17.51 	Facility - Stillwater                                20,848,000
17.52 	To design, construct, furnish, and
17.53 	equip a new 150-bed high security
17.54 	segregation unit to improve staff
17.55 	safety and accommodate increased inmate
17.56 	population, including the remodeling of
18.1 	the discipline and
18.2 	psychology/psychiatry unit, the
18.3 	demolition of the former health
18.4 	services building, and the removal of
18.5 	walls dividing Cell Hall A/West and
18.6 	Cell Hall A/Segregation.
18.7 		Subd. 5.Minnesota Correctional
18.8 	Facility - Willow River                                 380,000
18.9 	To purchase, furnish, equip, and
18.10 	prepare foundation and utilities for a
18.11 	new 24-bed prefabricated building.

18.12 	Sec. 22. EMPLOYMENT AND ECONOMIC DEVELOPMENT
 18.13 		Subdivision 1.To the commissioner of
18.14 	employment and economic development or other
18.15 	named agency for the purposes
18.16 	specified in this section                            71,306,000
18.17 		Subd. 2.State Match for
18.18 	Federal Grants                                       14,380,000
18.19 	(a) To the public facilities authority:
18.20 	(1) to match federal grants to the
18.21 	water pollution control revolving fund
18.22 	under Minnesota Statutes, section
18.23 	446A.07; and
18.24 	(2) to match federal grants to the
18.25 	drinking water revolving fund under
18.26 	Minnesota Statutes, section 446A.081.
18.27 	(b) The expenditure and allocation of
18.28 	state matching money between funds
18.29 	described in paragraph (a), clauses (1)
18.30 	and (2), must be based on the amount of
18.31 	federal money appropriated to the funds.
18.32 	(c) This appropriation must be used for
18.33 	qualified capital projects.
18.34 		Subd. 3.Minnesota Development
18.35 	Account                                              25,000,000
18.36 	For transfer to the Minnesota
18.37 	development account created in
18.38 	Minnesota Statutes, section 116J.571.
18.39 	Of this appropriation, $15,000,000 must
18.40 	be directed toward eligible projects
18.41 	within the biotechnology and health
18.42 	science zone designated pursuant to
18.43 	Minnesota Statutes, section 469.334.
18.44 	The remaining $10,000,000 must be
18.45 	divided equally between redevelopment
18.46 	of previously developed land and new
18.47 	development.
18.48 		Subd. 4.Wastewater Infrastructure
18.49 	Funding Program                                      10,200,000
18.50 	To the Public Facilities Authority for
18.51 	the purposes specified in this
18.52 	subdivision.  $10,000,000 of this
18.53 	appropriation is for grants to eligible
18.54 	municipalities under the wastewater
18.55 	infrastructure program established in
18.56 	Minnesota Statutes, section 446A.072.
19.1 	To the greatest practical extent, the
19.2 	authority must use the funds for
19.3 	projects on the 2004 project priority
19.4 	list in priority order to qualified
19.5 	applicants that submit plans and
19.6 	specifications to the Pollution Control
19.7 	Agency or receive a funding commitment
19.8 	from USDA rural development before
19.9 	December 1, 2005.
19.10 	$200,000 of this appropriation is from
19.11 	the general fund in fiscal year 2006
19.12 	for administration of the wastewater
19.13 	infrastructure program.
19.14 		Subd. 5.University of Minnesota -
19.15 	Mayo Clinic Biotechnology Research Facility          21,726,000
19.16 	To the Board of Regents of the
19.17 	University of Minnesota to purchase
19.18 	three floors in the Stabile Building on
19.19 	the Mayo Clinic campus in Rochester.
19.20 	The floors are to be used for
19.21 	scientific research beneficial to
19.22 	collaborative research efforts between
19.23 	the University of Minnesota and the
19.24 	Mayo Clinic.  The three floors will be
19.25 	owned by the University of Minnesota
19.26 	and operated by the Mayo Clinic through
19.27 	a use agreement approved by the
19.28 	commissioner of finance subject to
19.29 	Minnesota Statutes, section 16A.695.

19.30 	Sec. 23. HOUSING FINANCE AGENCY                     20,000,000
 19.31 	To the commissioner of the Housing
19.32 	Finance Agency for loans and grants for
19.33 	publicly owned permanent rental housing
19.34 	under Minnesota Statutes, section
19.35 	462A.202, subdivision 3a, for persons
19.36 	who have been without a permanent
19.37 	residence for at least 12 months or on
19.38 	at least four occasions in the last
19.39 	three years or are at significant risk
19.40 	of lacking a permanent residence for at
19.41 	least 12 months or on at least four
19.42 	occasions in the last three years.  The
19.43 	housing must provide or coordinate with
19.44 	linkages to services necessary for
19.45 	residents to maintain housing stability
19.46 	and maximize opportunities for
19.47 	education and employment.
19.48 	Notwithstanding Minnesota Statutes,
19.49 	section 462A.202, subdivision 3a, the
19.50 	commissioner shall give equal
19.51 	consideration to proposals for projects
19.52 	serving individuals and those serving
19.53 	families with children.  Preference
19.54 	among comparable proposals shall be
19.55 	given to proposals for the acquisition
19.56 	and rehabilitation of property.

19.57 	Sec. 24. MINNESOTA HISTORICAL SOCIETY
 19.58 		Subdivision 1.To the Minnesota
19.59 	Historical Society for the purposes
19.60 	specified in this section                             9,146,000
19.61 		Subd. 2.Historic Sites Asset
19.62 	Preservation                                          7,167,000
20.1 	For capital improvements and
20.2 	betterments at state historic sites,
20.3 	buildings, landscaping at historic
20.4 	buildings, exhibits, markers, and
20.5 	monuments.  The society shall determine
20.6 	project priorities as appropriate based
20.7 	on need.
20.8 		Subd. 3.Fort Snelling Historic Site                 1,979,000
20.9 	To design, construct, furnish, and
20.10 	equip the most urgent preservation
20.11 	projects needed for historic Fort
20.12 	Snelling.

20.13 	Sec. 25. GRANTS TO POLITICAL SUBDIVISIONS
 20.14 		Subdivision 1.To the commissioner of
20.15 	employment and economic development or other
20.16 	named agency for the purposes specified
20.17 	in this section                                      21,447,000
20.18 		Subd. 2.Buffalo Lake Maintenance
20.19 	Garage and Street Repair                                690,000
20.20 	For a grant to the city of Buffalo Lake
20.21 	to design, construct, furnish, and
20.22 	equip a municipal maintenance garage
20.23 	and reconstruct city streets damaged by
20.24 	a tornado.
20.25 		Subd. 3.Colin Powell Youth
20.26 	Leadership Center                                     4,595,000
20.27 	For a grant to Hennepin County to
20.28 	acquire land for and to design,
20.29 	construct, furnish, and equip the Colin
20.30 	Powell Youth Leadership Center in
20.31 	Minneapolis, subject to Minnesota
20.32 	Statutes, section 16A.695.  The center
20.33 	may include a National Guard drill
20.34 	area, an education wing, including a
20.35 	computer lab, a multipurpose arts
20.36 	facility, a community education space,
20.37 	a nutrition education and cooking
20.38 	skills work-preparation area, and new
20.39 	basketball courts.
20.40 	This appropriation is not available
20.41 	until the commissioner has determined
20.42 	that all funds necessary to complete
20.43 	the project are committed from nonstate
20.44 	sources.
20.45 		Subd. 4.Lewis and Clark
20.46 	Rural Water System                                    2,000,000
20.47 	To the public facilities authority for
20.48 	grants to the city of Luverne,
20.49 	Worthington Public Utilities,
20.50 	Lincoln-Pipestone Rural Water System
20.51 	and Rock County Rural Water System to
20.52 	acquire land, predesign, design,
20.53 	construct, furnish, and equip one or
20.54 	more water transmission and storage
20.55 	facilities to accommodate the
20.56 	connection with the Lewis and Clark
20.57 	Rural Water System that will serve
20.58 	southwestern Minnesota.
20.59 	The grants must be awarded to projects
21.1 	approved by the Lewis and Clark Joint
21.2 	Powers Board.  This appropriation is
21.3 	available only to the extent matched by
21.4 	at least $1 of local money to the Lewis
21.5 	and Clark Rural Water System for each
21.6 	$1 of state money to the grant projects.
21.7 	This appropriation is the first phase
21.8 	of the state share for the Lewis and
21.9 	Clark Rural Water System.
21.10 		Subd. 5.Roseau Infrastructure
21.11 	Repair and Improvements                              10,662,000
21.12 	For a grant to the city of Roseau for
21.13 	the following capital expenditures:
21.14 	(1) to predesign, design, construct,
21.15 	and replace municipal infrastructure
21.16 	damaged by the 2002 flood in the city,
21.17 	including, but not limited to, water
21.18 	mains, sewer mains, streets, sidewalks,
21.19 	curbs, and gutters;
21.20 	(2) to predesign, design, construct,
21.21 	furnish, and equip new municipal
21.22 	buildings that may include a city hall,
21.23 	auditorium, police department, library,
21.24 	and museum; and
21.25 	(3) to predesign, design, and construct
21.26 	water, sewer, and street improvements
21.27 	to the Roseau Industrial Park.
21.28 	This appropriation is not available
21.29 	until all funds necessary to complete
21.30 	the project are committed from nonstate
21.31 	sources.
21.32 		Subd. 6.St. Paul Phalen Corridor                    1,500,000
21.33 	For a grant to the city of St. Paul to
21.34 	acquire land and construct public
21.35 	improvements along the Phalen corridor
21.36 	in St. Paul, contingent upon nonstate
21.37 	matching funds.
21.38 		Subd. 7.St. Paul Holman Field                       2,000,000
21.39 	For a grant to the city of St. Paul for
21.40 	dike construction and related capital
21.41 	improvements at the Holman Field
21.42 	airport in St. Paul, contingent upon
21.43 	federal and local matching funds.

21.44 	Sec. 26. BOND SALE EXPENSES                            734,000
 21.45 	To the commissioner of finance for bond
21.46 	sale expenses under Minnesota Statutes,
21.47 	section 16A.641, subdivision 8.  Of
21.48 	this amount, $714,000 is appropriated
21.49 	from the bond proceeds fund and $20,000
21.50 	is appropriated from the bond proceeds
21.51 	account in the trunk highway fund.

21.52 	Sec. 27. BOND SALE SCHEDULE
 21.53 	The commissioner of finance shall
21.54 	schedule the sale of state general
21.55 	obligation bonds so that, during the
21.56 	biennium ending June 30, 2007, no more
21.57 	than $776,369,000 will need to be
22.1 	transferred from the general fund to
22.2 	the state bond fund to pay principal
22.3 	and interest due and to become due on
22.4 	outstanding state general obligation
22.5 	bonds.  During the biennium, before
22.6 	each sale of state general obligation
22.7 	bonds, the commissioner of finance
22.8 	shall calculate the amount of debt
22.9 	service payments needed on bonds
22.10 	previously issued and shall estimate
22.11 	the amount of debt service payments
22.12 	that will be needed on the bonds
22.13 	scheduled to be sold.  The commissioner
22.14 	shall adjust the amount of bonds
22.15 	scheduled to be sold so as to remain
22.16 	within the limit set by this section.
22.17 	The amount needed to make the debt
22.18 	service payments is appropriated from
22.19 	the general fund as provided in
22.20 	Minnesota Statutes, section 16A.641.

22.21 	Sec. 28. BOND SALE AUTHORIZATION.
 22.22 		Subdivision 1.Bond proceeds fund. To provide the money
22.23 	appropriated in this act from the bond proceeds fund, the
22.24 	commissioner of finance shall sell and issue bonds of the state
22.25 	in an amount up to $681,320,000 in the manner, upon the terms,
22.26 	and with the effect prescribed by Minnesota Statutes, sections
22.27 	16A.631 to 16A.675, and by the Minnesota Constitution, article
22.28 	XI, sections 4 to 7.
22.29 		Subd. 2.Maximum effort school loan fund. To provide the
22.30 	money appropriated in this act from the maximum effort school
22.31 	loan fund, the commissioner of finance shall sell and issue
22.32 	bonds of the state in an amount up to $24,040,000 in the manner,
22.33 	upon the terms, and with the effect prescribed by Minnesota
22.34 	Statutes, sections 16A.631 to 16A.675, and by the Minnesota
22.35 	Constitution, article XI, sections 4 to 7.  The proceeds of the
22.36 	bonds, except accrued interest and any premium received on the
22.37 	sale of the bonds, must be credited to a bond proceeds account
22.38 	in the maximum effort school loan fund.
22.39 		Subd. 3.Transportation fund bond proceeds account. To
22.40 	provide the money appropriated in this act from the state
22.41 	transportation fund, the commissioner of finance shall sell and
22.42 	issue bonds of the state in an amount up to $75,500,000 in the
22.43 	manner, upon the terms, and with the effect prescribed by
22.44 	Minnesota Statutes, sections 16A.631 to 16A.675, and by the
22.45 	Minnesota Constitution, article XI, sections 4 to 7.  The
23.1 	proceeds of the bonds, except accrued interest and any premium
23.2 	received on the sale of the bonds, must be credited to a bond
23.3 	proceeds account in the state transportation fund.
23.4 		Subd. 4.Trunk highway fund bond proceeds account. To
23.5 	provide the money appropriated in this act from the trunk
23.6 	highway bond proceeds account in the trunk highway fund, the
23.7 	commissioner of finance shall sell and issue bonds of the state
23.8 	in an amount up to $30,110,000 in the manner, upon the terms,
23.9 	and with the effect prescribed by Minnesota Statutes, sections
23.10 	167.50 to 167.52, and by the Minnesota Constitution, article
23.11 	XIV, section 11, at the times and in the amount requested by the
23.12 	commissioner of transportation.  The proceeds of the bonds,
23.13 	except accrued interest and any premium received on the sale of
23.14 	the bonds, must be credited to the trunk highway bond proceeds
23.15 	account in the trunk highway fund.

23.16 	Sec. 29. [16A.502] NONSTATE COMMITMENTS TO CAPITAL
23.17 	PROJECTS.
23.18 	(a) A state appropriation or grant for a capital project
23.19 	may require a commitment from nonstate sources.
23.20 	(1) The commitment must be in the amount that when added to
23.21 	the appropriation or grant is sufficient to complete the project
23.22 	or project phase identified in the appropriation language;
23.23 	(2) the appropriation or grant is not available until the
23.24 	commitment is determined to be sufficient; and 
23.25 	(3) the commissioner must determine the sufficiency of the
23.26 	commitment.
23.27 	(b) In making the determination, the commissioner must
23.28 	apply generally accepted governmental accounting standards and
23.29 	principles, including those that are particularly applicable to
23.30 	capital projects.

23.31 	Sec. 30. Minnesota Statutes 2004, section 16A.671,
23.32 	subdivision 3, is amended to read:
23.33 		Subd. 3.Definitions.  As used in this section, the terms
23.34 	defined in this subdivision have the meanings given them:
23.35 	(a) "General fund" means all cash and investments from time
23.36 	to time received and held in the treasury, except proceeds of
24.1 	state bonds and amounts received and held in special or
24.2 	dedicated funds created by the Constitution, or by or pursuant
24.3 	to federal laws or regulations, or by bond or trust instruments,
24.4 	pension contracts, or other agreements of the state or its
24.5 	agencies with private persons, entered into under state law.
24.6 	(b) "Maximum current cash flow requirement" means the
24.7 	commissioner's written estimate of the largest of the amounts by
24.8 	which, on a particular designated date in each month of the term
24.9 	for which certificates are to be issued, the sum of (1) the
24.10 	warrants then outstanding against the general fund plus (2)
24.11 	those that must be drawn on the fund before the same date in the
24.12 	following month, in payment of claims due for expenditure under
24.13 	all appropriations and allotments, will exceed the amount of
24.14 	cash or cash equivalent assets held in the general fund on the
24.15 	first of these dates an amount equal to five percent of the
24.16 	actual working capital expenditures from the general fund in the
24.17 	fiscal year immediately preceding the date of the largest of
24.18 	such amounts, will exceed the amount of cash or cash equivalent
24.19 	assets held in the general fund, excluding the proceeds of the
24.20 	certificates to be issued.

24.21 	Sec. 31. Minnesota Statutes 2004, section 116J.571, is
24.22 	amended to read:
24.23 	116J.571 CREATION OF ACCOUNTS.
24.24 	Two greater Minnesota redevelopment development accounts
24.25 	are created, one in the general fund and one in the bond
24.26 	proceeds fund.  Money in the accounts may be used to make grants
24.27 	as provided in section 116J.575.  Money in the bond proceeds
24.28 	fund may only be used for eligible costs for publicly owned
24.29 	property.  Money in the general fund may be used to pay for the
24.30 	commissioner's costs in reviewing the applications.

24.31 	Sec. 32. Minnesota Statutes 2004, section 116J.572,
24.32 	subdivision 2, is amended to read:
24.33 		Subd. 2.Development authority.  "Development authority"
24.34 	includes a statutory or home rule charter city, county, housing
24.35 	and redevelopment authority, economic development authority, or
24.36 	port authority located outside the seven-county metropolitan
25.1 	area, as defined in section 473.121, subdivision 2.

25.2 	Sec. 33. Minnesota Statutes 2004, section 116J.572,
25.3 	subdivision 4, is amended to read:
25.4 		Subd. 4.redevelopment development.  " Redevelopment 
25.5 	Development " means recycling obsolete, abandoned, or
25.6 	underutilized properties for new industrial, commercial, or
25.7 	residential uses.

25.8 	Sec. 34. Minnesota Statutes 2004, section 116J.573,
25.9 	subdivision 1, is amended to read:
25.10 		Subdivision 1.Accounts.  Criteria for use of the
25.11 	accounts created in section 116J.571 must be consistent with and
25.12 	promote the purposes of sections 116J.571 to 116J.575.  They
25.13 	include, but are not limited to:
25.14 	(1) creating and preserving living wage jobs in greater
25.15 	Minnesota;
25.16 	(2) creating incentives for communities to include a full
25.17 	range of housing opportunities;
25.18 	(3) creating incentives for all communities to implement
25.19 	compact, efficient, and mixed-use development; and
25.20 	(4) creating incentives to assist communities in
25.21 	maintaining a unique sense of place by preserving local,
25.22 	cultural assets.

25.23 	Sec. 35. Minnesota Statutes 2004, section 116J.573,
25.24 	subdivision 2, is amended to read:
25.25 		Subd. 2.Projects.  To be eligible for funding by the
25.26 	greater Minnesota redevelopment development account, a project
25.27 	must:
25.28 	(1) interrelate redevelopment development with other public
25.29 	investments in transportation, housing, schools, energy,
25.30 	utilities information infrastructure, and other public services;
25.31 	(2) interrelate affordable housing and employment growth
25.32 	areas;
25.33 	(3) intensify land use that leads to more compact
25.34 	redevelopment development;
25.35 	(4) involve redevelopment development that mixes incomes of
25.36 	residents in housing, including introducing or reintroducing
26.1 	higher value housing in lower income areas to achieve a mix of
26.2 	housing opportunities;
26.3 	(5) involve participation from citizens and the business
26.4 	community in the planning and development of the proposed
26.5 	redevelopment development plan;
26.6 	(6) encourage public infrastructure investments which
26.7 	attract private sector redevelopment development investment in
26.8 	commercial, industrial, and residential properties adjacent to
26.9 	public improvements, and provide project area residents with
26.10 	expanded opportunities for private sector employment; or
26.11 	(7) be sustainable at the local level and reduce the
26.12 	probability of future requests for state development,
26.13 	maintenance, or replacement assistance.

26.14 	Sec. 36. Minnesota Statutes 2004, section 116J.573,
26.15 	subdivision 4, is amended to read:
26.16 		Subd. 4.Partnerships.  The commissioner shall give
26.17 	priority to proposals using innovative financial partnerships
26.18 	between government, private for-profit, and nonprofit sectors as
26.19 	well as to proposals that meet current tax increment financing
26.20 	requirements for a redevelopment development district and
26.21 	contribute tax increment financing towards the project.

26.22 	Sec. 37. Minnesota Statutes 2004, section 116J.573,
26.23 	subdivision 5, is amended to read:
26.24 		Subd. 5.Annual report.  The commissioner shall prepare
26.25 	and submit to the legislature an annual report on the greater 
26.26 	Minnesota redevelopment development account.  The report must
26.27 	include information on the amount of money in the account, the
26.28 	amount distributed, to whom the grants were distributed and for
26.29 	what purposes, and an evaluation of the effectiveness of the
26.30 	projects funded in meeting the policies and goals of the program.

26.31 	Sec. 38. Minnesota Statutes 2004, section 116J.574,
26.32 	subdivision 2, is amended to read:
26.33 		Subd. 2.Required content.  The commissioner shall
26.34 	prescribe and provide the application form.  The application
26.35 	must include at least the following information:
26.36 	(1) identification of the site;
27.1 	(2) a detailed budget, including necessary supporting
27.2 	evidence, of the total costs for the site including the total
27.3 	eligible redevelopment development costs;
27.4 	(3) a complete redevelopment development plan, including
27.5 	any specific commitments from third parties to construct
27.6 	improvements on the site;
27.7 	(4) a complete financing plan, including the manner in
27.8 	which the development authority uses innovative financial
27.9 	partnerships between government, private for-profit, and
27.10 	nonprofit sectors; and
27.11 	(5) any additional information or material that the
27.12 	commissioner prescribes.

27.13 	Sec. 39. Minnesota Statutes 2004, section 116J.575,
27.14 	subdivision 1, is amended to read:
27.15 		Subdivision 1.Commissioner discretion.  The commissioner
27.16 	may make a grant for up to 50 percent of the eligible costs of a
27.17 	project.  The determination of whether to make a grant for a
27.18 	site is within the discretion of the commissioner, subject to
27.19 	this section and sections 116J.571 to 116J.574 and available
27.20 	unencumbered money in the greater Minnesota redevelopment 
27.21 	development account.  The commissioner's decisions and
27.22 	application of the priorities under this section are not subject
27.23 	to judicial review, except for abuse of discretion.

27.24 	Sec. 40. MINNESOTA ZOO MARINE CENTER DEBT SERVICE.
 27.25 	Beginning in fiscal year 2006, the Minnesota Zoological
27.26 	Garden is not required to pay any of the debt service costs on
27.27 	bonds sold for the Marine Education Center authorized in Laws
27.28 	1994, chapter 643, section 27, subdivision 2, as amended by Laws
27.29 	1996, chapter 463, section 54.

27.30 	Sec. 41. TRANSFER OF MHFA BONDING AUTHORITY TO HESO.
 27.31 	Notwithstanding Minnesota Statutes, section 474A.03,
27.32 	subdivision 2a, paragraph (b), the Minnesota Housing Finance
27.33 	Agency may enter into an agreement with the Higher Education
27.34 	Services Office under which the Higher Education Services Office
27.35 	issues qualified student loan bonds, up to $50,000,000 of which
27.36 	are issued pursuant to bonding authority allocated to the
28.1 	Minnesota Housing Finance Agency in 2005 under Minnesota
28.2 	Statutes, section 474A.03, subdivision 2a, paragraph (a).  This
28.3 	amount is in addition to the bonding authority otherwise
28.4 	allocated to the Higher Education Services Office under
28.5 	Minnesota Statutes, chapter 474A.  Notwithstanding Minnesota
28.6 	Statutes, section 474A.04, subdivision 1a, 474A.061, or
28.7 	474A.091, subdivision 2, bonding authority carried forward by
28.8 	the Minnesota Housing Financing Agency from its allocation for
28.9 	2004 under Minnesota Statutes, section 474A.03, subdivision 2a,
28.10 	paragraph (b), are exempt from the requirement that the bonding
28.11 	authority be permanently issued by December 31 of the next
28.12 	succeeding calendar year.

28.13 	Sec. 42. EFFECTIVE DATE.
 28.14 	This article is effective the day following final enactment.

28.15 	ARTICLE 2
28.16 	ADJUSTMENT OF GENERAL
28.17 	OBLIGATION BOND AUTHORIZATIONS

28.18 	Section 1. TABLE OF ORIGINAL AND ADJUSTED
28.19 	AUTHORIZATIONS.
 28.20 	Column A lists the citation to each law authorizing general
28.21 	obligation bonds since Laws 1983, chapter 323, section 6, to
28.22 	which a further adjustment is being made in this section.
28.23 	The original authorization amount in each law is shown in
28.24 	column B opposite the citation of the law it appears in.
28.25 	The original authorization amount in column B is hereby
28.26 	adjusted to the amount shown in column C.  The adjustments
28.27 	resulting in the column C amount reflect specific changes to an
28.28 	authorization in law, executive vetoes sustained or not
28.29 	challenged, administrative action reflecting cancellation and
28.30 	abandonment of all or the unused balance from specific projects
28.31 	for which the proceeds of authorized bonds were intended to be
28.32 	used, and other action pursuant to law resulting in the adjusted
28.33 	authorizations shown in column C.  The amounts shown in column C
28.34 	are validated as the lawful adjusted authorization for the cited
28.35 	law as of August 1, 2003, for all purposes for which the
28.36 	authorization is required or used.
29.1 	Column A Column B Column C
29.2 	     L 1983, c 323, s 6 $ 30,000,000 $ 29,935,000
29.3 	     L 1987, c 400, s 25,
29.4 	     subd 1 370,972,200 369,560,500
29.5 	     L 1987, c 400, s 25,
29.6 	     subd 5 66,747,000 66,740,000
29.7 	     L 1989, c 300, art 1,
29.8 	     s 23, subd 1 142,585,000 112,235,000
29.9 	     L 1991, c 354, art 11,
29.10 	     s 2, subd 1 12,000,000 11,360,000
29.11 	     L 1992, c 558, s 28,
29.12 	     subd 1 231,695,000 219,085,000
29.13 	     L 1992, c 558, s 28,
29.14 	     subd 3 17,500,000 17,368,000
29.15 	     L 1993, c 373, s 19,
29.16 	     subd 1 54,640,000 53,355,000
29.17 	     L 1993, c 373, s 19,
29.18 	     subd 2 9,900,000 9,480,000
29.19 	     L 1994, c 643, s 31,
29.20 	     subd 1 573,385,000 564,650,523
29.21 	     L 1994, c 643, s 31,
29.22 	     subd 2 45,000,000 34,820,000
29.23 	     L 1995, 1SS c 2, s 14,
29.24 	     subd 1 5,630,000 5,590,000
29.25 	     L 1996, c 463, s 27,
29.26 	     subd 1 597,110,000 549,244,560
29.27 	     L 1997, c 246, s 10,
29.28 	     subd 1 86,625,000 86,192,000
29.29 	     L 1997, 2SS c 2, s 12 55,305,000 38,308,054
29.30 	     L 1998, c 404, s 27,
29.31 	     subd 1 463,795,000 104,478,674
29.32 	     L 1999, c 240, art 1,
29.33 	     s 13, subd 1 139,510,000 111,905,000
29.34 	     L 1999, c 240, art 1,
29.35 	     s 13, subd 2 10,440,000 -0-
29.36 	     L 1999, c 240, art 1,
30.1 	     s 16, subd 1 372,400,000 367,418,000
30.2 	     L 2000, c 492, art 1,
30.3 	     s 26, subd 1 426,870,000 487,730,000
30.4 	     L 2001, 1SS c 12, s 11,
30.5 	     subd 1 99,205,000 98,205,000
30.6 	     L 2002, c 393, s 30,
30.7 	     subd 1 920,235,000 567,312,000 

30.8 	Sec. 2. EFFECTIVE DATE.
 30.9 	This article is effective the day following final enactment.