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HF 2800

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

KEY: stricken = removed, old language.
underscored = added, new language.
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A bill for an act
relating to transportation finance; appropriating money for transportation
activities; providing funding for highway maintenance, debt service, and local
roads; appropriating funds for emergency relief related to the I-35W bridge
collapse; establishing a trunk highway bridge improvement program; requiring
a study of value capture to reduce the public costs of large transportation
infrastructure investment; authorizing sale and issuance of trunk highway
bonds for highways; modifying motor vehicle registration and motor fuel
taxes; establishing annual adjustment of motor fuel taxes; creating a motor
fuels tax credit; allocating motor vehicle lease tax revenues; providing for
local transportation sales taxes; modifying county state aid highway fund
revenue allocation; prohibiting tolling or privatization of existing transportation
facilities; modifying provisions related to various transportation-related funds
and accounts; amending Minnesota Statutes 2006, sections 160.84, subdivision
1; 161.081, subdivision 3; 162.06; 162.07, subdivision 1, by adding subdivisions;
168.013, subdivision 1a; 171.29, subdivision 2; 290.06, by adding a subdivision;
296A.07, subdivision 3; 296A.08, subdivision 2; 297A.64, subdivision 2;
297A.815, by adding a subdivision; 473.129, by adding a subdivision; proposing
coding for new law in Minnesota Statutes, chapters 160; 165; 296A; 297A; 398A.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

TRANSPORTATION APPROPRIATIONS

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

new text begin The amounts shown in this section summarize direct appropriations, by fund, made
in this article.
new text end

new text begin 2008
new text end
new text begin 2009
new text end
new text begin Total
new text end
new text begin General Fund
new text end
new text begin $
new text end
new text begin 0
new text end
new text begin $
new text end
new text begin 11,975,000
new text end
new text begin $
new text end
new text begin 11,975,000
new text end
new text begin Trunk Highway
new text end
new text begin 55,000,000
new text end
new text begin 172,426,000
new text end
new text begin 227,426,000
new text end
new text begin C.S.A.H.
new text end
new text begin 0
new text end
new text begin 54,836,000
new text end
new text begin 54,836,000
new text end
new text begin M.S.A.S.
new text end
new text begin 0
new text end
new text begin 14,404,000
new text end
new text begin 14,404,000
new text end
new text begin Total
new text end
new text begin $
new text end
new text begin 55,000,000
new text end
new text begin $
new text end
new text begin 253,641,000
new text end
new text begin $
new text end
new text begin 308,641,000
new text end

Sec. 2. new text begin TRANSPORTATION APPROPRIATIONS.
new text end

new text begin The sums shown in the columns marked "Appropriations" are appropriated to
the agencies and for the purposes specified in this article. The appropriations are from
the trunk highway fund, or another named fund, and are available for the fiscal years
indicated for each purpose. The figures "2008" and "2009" used in this article mean that
the appropriations listed under them are available for the fiscal year ending June 30, 2008,
or June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is
fiscal year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for fiscal
year 2008 are effective the day following final enactment.
new text end

new text begin The appropriations are in addition to appropriations under Laws 2007, chapter 143,
article 1, section 3, and Laws 2007, First Special Session chapter 2, article 2, section 2.
new text end

new text begin APPROPRIATIONS
new text end
new text begin Available for the Year
new text end
new text begin Ending June 30
new text end
new text begin 2008
new text end
new text begin 2009
new text end

Sec. 3. new text begin TRANSPORTATION
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 0
new text end
new text begin $
new text end
new text begin 163,463,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2008
new text end
new text begin 2009
new text end
new text begin General Fund
new text end
new text begin 0
new text end
new text begin 2,450,000
new text end
new text begin Trunk Highway
new text end
new text begin 0
new text end
new text begin 91,773,000
new text end
new text begin C.S.A.H.
new text end
new text begin 0
new text end
new text begin 54,836,000
new text end
new text begin M.S.A.S.
new text end
new text begin 0
new text end
new text begin 14,404,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin Multimodal Systems
new text end

new text begin (a) new text end new text begin Transit
new text end
new text begin 0
new text end
new text begin 1,700,000
new text end

new text begin This appropriation is from the general fund.
new text end

new text begin (b) Rail
new text end
new text begin 0
new text end
new text begin 250,000
new text end

new text begin This appropriation is from the general
fund for a grant to the Northstar Corridor
Development Authority to fund advanced
preliminary engineering, updated
environmental documentation, property
appraisals, and negotiations with the railroad
to extend commuter rail service on the
Burlington Northern Santa Fe rail line
between Big Lake and Rice. This is a
onetime appropriation and is available until
spent.
new text end

new text begin (c) Port Development Assistance
new text end
new text begin 0
new text end
new text begin 500,000
new text end

new text begin This appropriation is from the general fund
for grants under Minnesota Statutes, chapter
457A. Any improvements made with the
proceeds of these grants must be publicly
owned.
new text end

new text begin Subd. 3. new text end

new text begin State Roads
new text end

new text begin (a) Infrastructure Operations and Maintenance
new text end
new text begin 0
new text end
new text begin 46,399,000
new text end
new text begin (b) Infrastructure Investment Support
new text end
new text begin 0
new text end
new text begin 38,163,000
new text end

new text begin $200,000 is for a grant to the Hubert H.
Humphrey Institute of Public Affairs for its
participation in the United States Department
of Transportation Urban Partnership
program.
new text end

new text begin (c) new text begin Highway Debt Service
new text end
new text end
new text begin 0
new text end
new text begin 7,211,000
new text end

new text begin This appropriation is for transfer to the state
bond fund. If this appropriation is insufficient
to make all transfers required in the year for
which it is made, the commissioner of finance
shall notify the Committee on Finance of
the senate and the Committee on Ways and
Means of the house of representatives of
the amount of the deficiency and shall then
transfer that amount under the statutory open
appropriation. Any excess appropriation
cancels to the trunk highway fund.
new text end

new text begin Subd. 4. new text end

new text begin Local Roads
new text end

new text begin (a) County State Aids
new text end
new text begin 0
new text end
new text begin 54,836,000
new text end

new text begin This appropriation is from the county
state-aid highway fund and is available until
spent.
new text end

new text begin (b) Municipal State Aids
new text end
new text begin 0
new text end
new text begin 14,404,000
new text end

new text begin This appropriation is from the municipal
state-aid street fund and is available until
spent.
new text end

new text begin (c) new text begin State-Aid Appropriation Adjustments
new text end
new text end

new text begin If an appropriation under this subdivision
does not exhaust the balance in the fund
from which it is made in the year for
which it is made, the commissioner of
finance, upon request of the commissioner
of transportation, shall notify the chairs and
ranking minority members of the house of
representatives and senate committees with
jurisdiction over transportation finance of the
amount of the remainder and shall then add
that amount to the appropriation. The amount
added is appropriated for the purposes of
county state aids or municipal state aids, as
appropriate.
new text end

new text begin If the appropriations under this subdivision
exhaust the balance in the fund from
which it is made in the year for which
it is made, the commissioner of finance
shall notify the chairs and ranking minority
members of the house of representatives
and senate committees with jurisdiction
over transportation finance of the amount by
which the appropriation exceeds the balance
and shall then reduce that amount from the
appropriation.
new text end

new text begin Subd. 5. new text end

new text begin Transfers
new text end

new text begin With the approval of the commissioner of
finance, the commissioner of transportation
may transfer unencumbered balances among
the appropriations from the trunk highway
fund and the state airports fund made in this
section. No transfer may be made from the
appropriations for state road construction
or debt service to any other appropriation.
Transfers under this paragraph may not be
made between funds. Transfers between
programs must be reported immediately to
the chairs and ranking minority members
of the house of representatives and
senate committees with jurisdiction over
transportation finance.
new text end

new text begin On or after July 1, 2008, the commissioner
of finance shall transfer $1,221,000 from
the general fund to the trunk highway fund,
to reimburse the fund for transfer of trunk
highway land to the city of Mounds View.
new text end

Sec. 4. new text begin METROPOLITAN COUNCIL
new text end

new text begin $
new text end
new text begin 0
new text end
new text begin $
new text end
new text begin 7,700,000
new text end

new text begin This appropriation is from the general fund
for operations of the Hiawatha light rail
transit line.
new text end

new text begin The base appropriations are $5,300,000 for
fiscal year 2010 and $5,300,000 for fiscal
year 2011.
new text end

new text begin Notwithstanding Minnesota Statutes, section
398A.10, the Hennepin County Regional
Rail Authority may not pay any portion of
the operating costs for fiscal year 2009 for
the Hiawatha light rail transit line.
new text end

Sec. 5. new text begin PUBLIC SAFETY
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 0
new text end
new text begin $
new text end
new text begin 5,153,000
new text end
new text begin Appropriations by Fund
new text end
new text begin 2008
new text end
new text begin 2009
new text end
new text begin General
new text end
new text begin 0
new text end
new text begin 1,500,000
new text end
new text begin Trunk Highway
new text end
new text begin 0
new text end
new text begin 3,653,000
new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end

new text begin State Patrol
new text end

new text begin (a) Patrolling Highways
new text end
new text begin 0
new text end
new text begin 3,653,000
new text end

new text begin This appropriation is for the cost of adding
40 state patrol troopers, and reflects a portion
of the goal to raise the state patrol trooper
complement to 600.
new text end

new text begin (b) Capitol Security
new text end
new text begin 0
new text end
new text begin 1,500,000
new text end

new text begin This appropriation is from the general fund.
new text end

new text begin The commissioner may not spend any
money from the trunk highway fund for
capitol security and may not permanently
transfer any state trooper from the patrolling
highways activity to capitol security.
new text end

new text begin The commissioner may not transfer any
money (1) appropriated for Department of
Public Safety administration, the patrolling of
highways, commercial vehicle enforcement,
or driver and vehicle services to capitol
security or (2) from capitol security.
new text end

Sec. 6. new text begin APPROPRIATION; TRANSPORTATION EMERGENCY RELIEF.
new text end

new text begin $55,000,000 in fiscal year 2008 and $77,000,000 in fiscal year 2009 are appropriated
to the commissioner of transportation from the trunk highway fund for the purposes
specified in the federal grants and aids related to the I-35W bridge collapse on marked
Interstate Highway I-35W in Minneapolis. This appropriation is in addition to
appropriations under Laws 2007, chapter 143, article 1, section 3, and Laws 2007, First
Special Session chapter 2, article 2, section 2.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin Appropriations for fiscal year 2008 are effective the day
following final enactment.
new text end

Sec. 7. new text begin VALUE CAPTURE STUDY; APPROPRIATION.
new text end

new text begin Subdivision 1. new text end

new text begin Findings. new text end

new text begin The legislature finds that large public investments in state
transportation infrastructure, such as constructing freeway interchanges, new highways,
and rail transit stations, can result in surrounding private land and other property increasing
in value, sometimes by substantial amounts. The special assessment law, Minnesota
Statutes, chapter 429, provides a method for local governments to use similar private or
special benefits to help finance local streets, roads, and other transportation improvements.
However, the law does not provide the state with a similar financing mechanism and
the nature of a large state transportation project may suggest that alternative financing
mechanisms are more appropriate.
new text end

new text begin Subd. 2. new text end

new text begin Appropriation; study. new text end

new text begin $325,000 is appropriated from the general fund to
the Board of Regents of the University of Minnesota for the Center for Transportation
Studies to complete a study to assess the public policy implications of financing new and
improved transportation infrastructure in Minnesota through capturing the value of the
benefits created, to prepare a report on its findings, and to conduct a series of workshops.
This is a onetime appropriation and is available in fiscal years 2008 and 2009.
new text end

new text begin Subd. 3. new text end

new text begin Report; workshops. new text end

new text begin The Center for Transportation Studies must report
its preliminary findings to the legislature by March 1, 2009, and must issue its full report
by July 1, 2009. The Center for Transportation must also offer a series of educational
workshops for elected officials during the summer and fall of 2009.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

ARTICLE 2

TRUNK HIGHWAY AND LOCAL ROAD AND BRIDGE BONDING

Section 1.

new text begin [296A.083] ANNUAL DEBT SERVICE SURCHARGE.
new text end

new text begin (a) On June 30, 2008, and each March 1 thereafter, the commissioner of finance
shall report to the commissioner of revenue the amount of the trunk highway debt service
transfer forecast in the next two fiscal years attributable to the trunk highway bonds
authorized in this article.
new text end

new text begin (b) By July 16, 2008, and each April 1 thereafter, the commissioner of revenue shall
compute and publish a surcharge for each fuel tax provided for in sections 296A.07,
subdivision 3, and 296A.08, subdivision 2, in proportion to the rate of tax for each type
of fuel. The surcharge must be calculated to raise an amount of money which, when
added to the balance in the trunk highway debt service account, covers the debt service
transfer forecast in the next two fiscal years, except that the surcharge may not exceed 2.5
cents per gallon for gasoline taxed under section 296A.07, subdivision 3, clause (3), or a
proportional rate for each other type of fuel. The surcharge must be rounded to the nearest
0.1 cent. The surcharge is effective on August 1, 2008, to June 30, 2009, and each new
surcharge thereafter is effective the following July 1 to June 30.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2. new text begin TRUNK HIGHWAY BOND APPROPRIATIONS.
new text end

new text begin The sums shown in the column under "APPROPRIATIONS" are appropriated from
the bond proceeds account in the trunk highway fund, or another named fund, to the state
agencies or officials indicated, to be spent for public purposes. Appropriations of bond
proceeds must be spent as authorized by the Minnesota Constitution, article XIV.
new text end

new text begin SUMMARY
new text end
new text begin Department of Transportation
new text end
new text begin $
new text end
new text begin 2,241,403,000
new text end
new text begin Metropolitan Council
new text end
new text begin 400,000
new text end
new text begin Department of Administration
new text end
new text begin 18,197,000
new text end
new text begin Department of Finance
new text end
new text begin 2,260,000
new text end
new text begin TOTAL
new text end
new text begin $
new text end
new text begin 2,262,260,000
new text end
new text begin APPROPRIATIONS
new text end

Sec. 3. new text begin DEPARTMENT OF
TRANSPORTATION
new text end

new text begin Subdivision 1. new text end

new text begin Total Appropriation
new text end

new text begin $
new text end
new text begin 2,241,403,000
new text end

new text begin This appropriation is to the commissioner of
transportation for the purposes specified in
this section.
new text end

new text begin Subd. 2. new text end

new text begin State Road Construction
new text end

new text begin 2,117,694,000
new text end

new text begin (a) For the actual construction,
reconstruction, and improvement of
trunk highways, including design-build
contracts and consultant usage to support
these activities. This includes the cost
of actual payments to landowners for
lands acquired for highway rights-of-way,
payments to lessees, interest subsidies, and
relocation expenses. This appropriation is in
the following amounts:
new text end

new text begin (1) $417,694,000 in fiscal year 2009;
new text end

new text begin (2) $500,000,000 in fiscal year 2010; and
new text end

new text begin (3) $150,000,000 in each fiscal year for fiscal
years 2011 through 2018.
new text end

new text begin (b) Of the amount in fiscal year 2009,
$40,000,000 is for construction of
interchanges involving a trunk highway,
where the interchange will promote economic
development, increase employment, relieve
growing traffic congestion, and promote
traffic safety. The amount under this
paragraph must be allocated 50 percent to
the department's metropolitan district, and 50
percent to districts in greater Minnesota.
new text end

new text begin (c) Of the amount in fiscal years 2009
and 2010, the commissioner shall
use $300,000,000 each year for predesign,
design, preliminary engineering, right-of-way
acquisition, construction, reconstruction,
and maintenance of bridges in the trunk
highway bridge improvement program under
Minnesota Statutes, section 165.14.
new text end

new text begin (d) Of the total appropriation under this
subdivision:
new text end

new text begin (1) the commissioner shall use at least
$50,000,000 for accelerating transit facility
improvements on or adjacent to trunk
highways; and
new text end

new text begin (2) the commissioner may use up to
$423,538,800 for program delivery.
new text end

new text begin Subd. 3. new text end

new text begin Great River Road
new text end

new text begin 4,299,000
new text end

new text begin For predesign, design, construction, and
restoration of historic roadside properties on
the Great River Road. The commissioner
shall consult with the Minnesota Mississippi
River Parkway Commission to determine
project priorities.
new text end

new text begin Subd. 4. new text end

new text begin Urban Partnership Agreement
new text end

new text begin 24,778,000
new text end

new text begin For design, conversion, and construction
of (1) a high-occupancy toll lane along a
portion of marked Interstate Highway I-35W
in the counties of Dakota and Hennepin,
(2) a priced dynamic shoulder lane along a
portion of marked Interstate Highway I-35W
in Minneapolis, (3) bus-only transit along a
portion of marked Trunk Highway 77 in the
counties of Dakota and Hennepin, and (4)
related arterial traffic management projects.
This appropriation is part of the local match
of federal funding provided under the urban
partnership agreement.
new text end

new text begin Subd. 5. new text end

new text begin Mankato District Headquarters
Building
new text end

new text begin 23,983,000
new text end

new text begin For design, construction, furnishing,
and equipping a new Department of
Transportation district headquarters facility
in Mankato.
new text end

new text begin Subd. 6. new text end

new text begin Chaska Truck Station - Carver
County Partnership
new text end

new text begin 8,649,000
new text end

new text begin For design and construction of a new truck
station facility in Chaska, in partnership with
Carver County.
new text end

new text begin Subd. 7. new text end

new text begin Rochester and Maple Grove Truck
Stations Design
new text end

new text begin 2,000,000
new text end

new text begin For design and investigative services of
new truck station facilities in Rochester and
Maple Grove.
new text end

new text begin Subd. 8. new text end

new text begin Local Bridge Replacement and
Rehabilitation
new text end

new text begin 50,000,000
new text end

new text begin This appropriation is from the bond proceeds
account in the state transportation fund as
provided in Minnesota Statutes, section
174.50, to match federal money and to
replace or rehabilitate local deficient bridges.
new text end

new text begin Political subdivisions may use grants made
under this section to construct or reconstruct
bridges, including:
new text end

new text begin (1) matching federal aid grants to construct
or reconstruct key bridges;
new text end

new text begin (2) paying the costs of preliminary
engineering and environmental studies
authorized under Minnesota Statutes, section
174.50, subdivision 6a;
new text end

new text begin (3) paying the costs to abandon an existing
bridge that is deficient and in need of
replacement, but where no replacement will
be made; and
new text end

new text begin (4) paying the costs to construct a road
or street to facilitate the abandonment
of an existing bridge determined by
the commissioner to be deficient, if the
commissioner determines that construction
of the road or street is more cost efficient
than the replacement of the existing bridge.
new text end

new text begin Subd. 9. new text end

new text begin Local Road Improvement Program
new text end

new text begin 10,000,000
new text end

new text begin This appropriation is from the bond proceeds
account in the state transportation fund as
provided in Minnesota Statutes, section
174.50, for grants to counties to assist in
paying the costs of rural road safety capital
improvement projects on county state-aid
highways under Minnesota Statutes, section
174.52, subdivision 4a, but not to the
county of Anoka, Carver, Chisago, Dakota,
Hennepin, Ramsey, Scott, or Washington.
new text end

Sec. 4. new text begin METROPOLITAN COUNCIL
new text end

new text begin $
new text end
new text begin 400,000
new text end

new text begin Urban Partnership Agreement
new text end

new text begin This appropriation is to the Metropolitan
Council for land acquisition, design, and
construction of park-and-ride facilities along
marked Interstate Highway I-35W in the
counties of Dakota and Hennepin. This
appropriation is part of the local match of
federal funding provided under the urban
partnership agreement.
new text end

Sec. 5. new text begin DEPARTMENT OF
ADMINISTRATION
new text end

new text begin $
new text end
new text begin 18,197,000
new text end

new text begin Transportation Building Exterior Repair
new text end

new text begin This appropriation is to the commissioner
of administration for repair and renovation
of the exterior of the Department of
Transportation Building at 395 John Ireland
Boulevard in St. Paul.
new text end

Sec. 6. new text begin DEPARTMENT OF FINANCE
new text end

new text begin $
new text end
new text begin 2,260,000
new text end

new text begin Bond Sale Expenses
new text end

new text begin This appropriation is to the commissioner
of finance for bond sale expenses under
Minnesota Statutes, sections 16A.641,
subdivision 8, and 167.50, subdivision 4.
new text end

new text begin Of this amount, $60,000 is from the bond
proceeds account in the state transportation
fund.
new text end

Sec. 7. new text begin BOND SALE AUTHORIZATION.
new text end

new text begin Subdivision 1. new text end

new text begin Trunk highway fund bonds. new text end

new text begin To provide the money appropriated in
this article from the bond proceeds account in the trunk highway fund, the commissioner
of finance shall sell and issue bonds of the state in an amount up to $2,202,200,000 in the
manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections
167.50 to 167.52, and by the Minnesota Constitution, article XIV, section 11, at the times
and in the amounts requested by the commissioner of transportation. The proceeds of the
bonds, except accrued interest and any premium received from the sale of the bonds, must
be deposited in the bond proceeds account in the trunk highway fund.
new text end

new text begin Subd. 2. new text end

new text begin State transportation fund bonds. new text end

new text begin To provide the money appropriated in
this article from the state transportation fund, the commissioner of finance shall sell and
issue bonds of the state in an amount up to $60,060,000 in the manner, upon the terms, and
with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by
the Minnesota Constitution, article XI, sections 4 to 7. The proceeds of the bonds, except
accrued interest and any premium received on the sale of the bonds, must be credited to
a bond proceeds account in the state transportation fund.
new text end

ARTICLE 3

HIGHWAY USER TAXES

Section 1.

Minnesota Statutes 2006, section 168.013, subdivision 1a, is amended to
read:


Subd. 1a.

Passenger automobile; hearse.

(a) On passenger automobiles as defined
in section 168.011, subdivision 7, and hearses, except as otherwise provided, the tax shall
be $10 plus an additional tax equal to 1.25 percent of the base value.

(b) Subject to the classification provisions herein, "base value" means the
manufacturer's suggested retail price of the vehicle including destination charge using list
price information published by the manufacturer or determined by the registrar if no
suggested retail price exists, and shall not include the cost of each accessory or item of
optional equipment separately added to the vehicle and the suggested retail price.

(c) If the manufacturer's list price information contains a single vehicle identification
number followed by various descriptions and suggested retail prices, the registrar shall
select from those listings only the lowest price for determining base value.

(d) If unable to determine the base value because the vehicle is specially constructed,
or for any other reason, the registrar may establish such value upon the cost price to the
purchaser or owner as evidenced by a certificate of cost but not including Minnesota sales
or use tax or any local sales or other local tax.

(e) The registrar shall classify every vehicle in its proper base value class as follows:

FROM
TO
$ . 0
$ . 199.99
200
399.99

and thereafter a series of classes successively set in brackets having a spread of $200
consisting of such number of classes as will permit classification of all vehicles.

(f) The base value for purposes of this section shall be the middle point between
the extremes of its class.

(g) The registrar shall establish the base value, when new, of every passenger
automobile and hearse registered prior to the effective date of Extra Session Laws 1971,
chapter 31, using list price information published by the manufacturer or any nationally
recognized firm or association compiling such data for the automotive industry. If unable
to ascertain the base value of any registered vehicle in the foregoing manner, the registrar
may use any other available source or method. The registrar shall calculate tax using base
value information available to dealers and deputy registrars at the time the application for
registration is submitted. The tax on all previously registered vehicles shall be computed
upon the base value thus determined taking into account the depreciation provisions of
paragraph (h).

(h) The annual additional tax new text begin must be new text end computed upon new text begin a percentage of new text end the base
value as deleted text begin provided herein,deleted text end new text begin follows: new text end during the first deleted text begin and second yearsdeleted text end new text begin year new text end of vehicle life
deleted text begin shall be computeddeleted text end new text begin ,new text end upon 100 percent of the base value; new text begin for the second year, 90 percent of
such value;
new text end for the third deleted text begin and fourth yearsdeleted text end new text begin yearnew text end , deleted text begin 90deleted text end new text begin 80new text end percent of such value; new text begin for the fourth
year, 70 percent of such value;
new text end for the fifth deleted text begin and sixth yearsdeleted text end new text begin yearnew text end , deleted text begin 75deleted text end new text begin 60new text end percent of such
value; new text begin for the sixth year, 50 percent of such value; new text end for the seventh year, deleted text begin 60deleted text end new text begin 40new text end percent of
such value; for the eighth year, deleted text begin 40deleted text end new text begin 30 new text end percent of such value; for the ninth year, deleted text begin 30deleted text end new text begin 20new text end
percent of such value; for the tenth year, ten percent of such value; for the 11th and each
succeeding year, the sum of $25.

new text begin (i) new text end In no event shall the annual additional tax be less than $25. deleted text begin The total tax under
this subdivision shall not exceed $189 for the first renewal period and shall not exceed
$99 for subsequent renewal periods. The total tax under this subdivision on any vehicle
filing its initial registration in Minnesota in the second year of vehicle life shall not
exceed $189 and shall not exceed $99 for subsequent renewal periods. The total tax
under this subdivision on any vehicle filing its initial registration in Minnesota in the
third or subsequent year of vehicle life shall not exceed $99 and shall not exceed $99 in
any subsequent renewal period.
deleted text end

deleted text begin (i) As used in this subdivision and section 168.017, the following terms have the
meanings given: "initial registration" means the 12 consecutive months calendar period
from the day of first registration of a vehicle in Minnesota; and "renewal periods" means
the 12 consecutive calendar months periods following the initial registration period.
deleted text end new text begin For
any vehicle previously registered in Minnesota, the annual additional tax due under this
subdivision must not exceed the smallest amount of annual additional tax previously
paid or due on the vehicle.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment,
and applies to (1) any initial registration for which the tax is first due on or after July 1,
2008, and (2) any renewal of registration on a vehicle assigned a registration period of
July 1, 2008, through June 30, 2009, or later.
new text end

Sec. 2.

Minnesota Statutes 2006, section 290.06, is amended by adding a subdivision
to read:


new text begin Subd. 34. new text end

new text begin Lower income motor fuels tax credit. new text end

new text begin (a) An individual who has
attained the age of 18 by the end of the taxable year and cannot be claimed as a dependent
on another taxpayer's return may take a $25 credit against the tax imposed under this
chapter. To qualify, the individual's taxable net income for the taxable year must not
exceed the maximum amount for the individual's filing status, adjusted as provided in
subdivision 2d, that is taxable at the lowest rate under subdivision 2c. For individuals with
taxable net income that exceeds the amount of income taxable for the individual's filing
status at the lowest rate under subdivision 2c, adjusted as provided in subdivision 2d, the
credit amount is zero. For a nonresident or part-year resident, the credit must be allocated
based on the percentage calculated under subdivision 2c, paragraph (e).
new text end

new text begin (b) If the amount of the credit which the individual is eligible to receive under this
subdivision exceeds the individual's liability for tax under this chapter, the commissioner
of revenue shall refund the excess.
new text end

new text begin (c) The amount necessary to pay claims for the refund provided in this section is
appropriated from the general fund to the commissioner.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxable years beginning after
December 31, 2008.
new text end

Sec. 3.

Minnesota Statutes 2006, section 296A.07, subdivision 3, is amended to read:


Subd. 3.

Rate of tax.

The gasoline excise tax is imposed at the following rates:

(1) E85 is taxed at the rate of deleted text begin 14.2deleted text end new text begin 17.75 new text end cents per gallon;

(2) M85 is taxed at the rate of deleted text begin 11.4deleted text end new text begin 14.25 new text end cents per gallon; and

(3) all other gasoline is taxed at the rate of deleted text begin 20deleted text end new text begin 25 new text end cents per gallon.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective September 15, 2008, and applies to
all gasoline, undyed diesel fuel, and special fuel in distributor storage on that date.
new text end

Sec. 4. new text begin GASOLINE EXCISE TAX; TRANSITION PROVISION.
new text end

new text begin Notwithstanding Minnesota Statutes, section 296A.07, subdivision 3, before
September 1, 2008, the gasoline excise tax is imposed at the following rates:
new text end

new text begin (1) E85 is taxed at the rate of 15.62 cents per gallon;
new text end

new text begin (2) M85 is taxed at the rate of 12.54 cents per gallon; and
new text end

new text begin (3) all other gasoline is taxed at the rate of 22 cents per gallon.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective on the first day of the month following
21 days after the date of enactment and applies to all gasoline, undyed diesel fuel, and
special fuel in distributor storage on that date. This section expires September 15, 2008.
new text end

Sec. 5.

Minnesota Statutes 2006, section 296A.08, subdivision 2, is amended to read:


Subd. 2.

Rate of tax.

The special fuel excise tax is imposed at the following rates:

(a) Liquefied petroleum gas or propane is taxed at the rate of deleted text begin 15deleted text end new text begin 18.75 new text end cents per
gallon.

(b) Liquefied natural gas is taxed at the rate of deleted text begin 12deleted text end new text begin 15 new text end cents per gallon.

(c) Compressed natural gas is taxed at the rate of deleted text begin $1.739deleted text end new text begin $2.174 new text end per thousand cubic
feet; or deleted text begin 20deleted text end new text begin 25 new text end cents per gasoline equivalentdeleted text begin ,deleted text end new text begin . For purposes of this paragraph, "gasoline
equivalent,"
new text end as defined by the National Conference on Weights and Measures, deleted text begin whichdeleted text end is
5.66 pounds of natural gas.

(d) All other special fuel is taxed at the same rate as the gasoline excise tax as
specified in section 296A.07, subdivision 2. The tax is payable in the form and manner
prescribed by the commissioner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective September 15, 2008, and applies to
all gasoline, undyed diesel fuel, and special fuel in distributor storage on that date.
new text end

Sec. 6. new text begin SPECIAL FUEL EXCISE TAX; TRANSITION PROVISION.
new text end

new text begin Notwithstanding Minnesota Statutes, section 296A.08, subdivision 2, before
September 1, 2008, the special fuel excise tax is imposed at the following rates:
new text end

new text begin (a) Liquefied petroleum gas or propane is taxed at the rate of 16.5 cents per gallon.
new text end

new text begin (b) Liquefied natural gas is taxed at the rate of 13.2 cents per gallon.
new text end

new text begin (c) Compressed natural gas is taxed at the rate of $1.1913 per thousand cubic feet; or
22 cents per gasoline equivalent. For purposes of this paragraph, "gasoline equivalent," as
defined by the National Conference on Weights and Measures, is 5.66 pounds of gas.
new text end

new text begin (d) All other special fuel is taxed at the same rate as the gasoline excise tax as
specified in section 4. The tax is payable in the form and manner prescribed by the
commissioner.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective on the first day of the month following
21 days after the date of enactment, and applies to all gasoline, undyed diesel fuel, and
special fuel in distributor storage on that date. This section expires September 15, 2008.
new text end

Sec. 7.

new text begin [296A.085] ANNUAL ADJUSTMENT OF MOTOR FUEL TAXES.
new text end

new text begin Subdivision 1. new text end

new text begin Annual adjustment. new text end

new text begin (a) On July 1 annually, the commissioner of
revenue shall recompute and publish a new rate for each motor fuel tax provided for in
sections 296A.07, subdivision 3, and 296A.08, subdivision 2. The new rate for each motor
fuel tax must be calculated by multiplying the rate in effect at the time of the calculation
by an adjustment amount obtained under paragraph (b). The new rate must be rounded to
the nearest 0.1 cent and is effective on September 15 of each year.
new text end

new text begin (b) To determine the adjustment amount, divide the annual average United States
Consumer Price Index for all urban consumers, United States city average, as determined
by the United States Department of Labor for the previous calendar year by that annual
average for the year before the previous calendar year.
new text end

new text begin Subd. 2. new text end

new text begin Report. new text end

new text begin On January 15, 2014, and every six years thereafter, the
commissioner of transportation shall submit a report on motor fuels tax indexing to
the chairs and ranking minority members of the house of representatives and senate
committees with jurisdiction over transportation finance. The report must include an
analysis of revenues from the annual adjustment of the rate for each motor fuel tax under
this section, and a recommendation for retaining, modifying, or eliminating the annual
adjustment.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2010.
new text end

Sec. 8.

Minnesota Statutes 2006, section 297A.64, subdivision 2, is amended to read:


Subd. 2.

Fee imposed.

A fee equal to deleted text begin threedeleted text end new text begin fivenew text end percent of the sales price is imposed
on leases or rentals of vehicles subject to the tax under subdivision 1. The lessor on the
invoice to the customer may designate the fee as "a fee imposed by the State of Minnesota
for the registration of rental cars."

Sec. 9.

Minnesota Statutes 2006, section 297A.815, is amended by adding a
subdivision to read:


new text begin Subd. 3. new text end

new text begin Motor vehicle lease sales tax revenue. new text end

new text begin (a) For purposes of this
subdivision, "net revenue" means an amount equal to:
new text end

new text begin (1) the revenues, including interest and penalties, collected under section 297A.815,
during the fiscal year; less
new text end

new text begin (2) the estimated reduction in individual income tax receipts and the estimated
amount of refunds paid out under section 290.06, subdivision 34, for the fiscal year.
new text end

new text begin (b) The commissioner of revenue, at the request of the commissioner of finance,
shall estimate the amount of the revenues and subtraction under paragraph (a) for a
fiscal year. The commissioner may use these estimates in making the transfers required
under this section.
new text end

new text begin (c) Each fiscal year, the commissioner of finance shall transfer the net revenue
from the general fund, as follows:
new text end

new text begin (1) 50 percent to the greater Minnesota transit account;
new text end

new text begin (2) 25 percent to the metropolitan area transit account;
new text end

new text begin (3) 17.25 percent to the county state-aid highway fund; and
new text end

new text begin (4) 7.75 percent to the municipal state-aid street fund.
new text end

new text begin (d) For fiscal years 2010 and 2011, the amount under paragraph (a), clause (1), must
be calculated using the following percentages of the total revenues:
new text end

new text begin (1) for fiscal year 2010, 83.75 percent; and
new text end

new text begin (2) for fiscal year 2011, 93.75 percent.
new text end

ARTICLE 4

LOCAL OPTION TAXES

Section 1.

new text begin [297A.992] METROPOLITAN TRANSPORTATION AREA SALES
TAX.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin For purposes of this section, the following terms have
the meanings given them:
new text end

new text begin (1) "metropolitan transportation area" means those eligible counties participating in
the joint powers agreement under subdivision 3;
new text end

new text begin (2) "metropolitan county" has the meaning given in section 473.121, subdivision 4;
new text end

new text begin (3) "eligible county" means a county that is (i) a metropolitan county, (ii) adjacent
to a metropolitan county, or (iii) adjacent to any county that is part of the metropolitan
transportation area;
new text end

new text begin (4) "minimum guarantee county" means any metropolitan county that is participating
in the joint powers agreement under subdivision 3, whose proportion of the annual sales
tax revenue under this section collected within that county is less than or equal to three
percent; and
new text end

new text begin (5) "population" means the population, as defined in section 477A.011, subdivision
3, estimated or established by July 15 of the year prior to the calendar year in which
the representatives will serve on the Grant Evaluation and Ranking System Committee
established under subdivision 5.
new text end

new text begin Subd. 2. new text end

new text begin Imposition; rates. new text end

new text begin (a) Notwithstanding section 477A.016, or any other
provision of law, the Metropolitan Council shall impose by ordinance (1) a sales and
use tax of one-half of one percent in all metropolitan counties and all counties in the
metropolitan transportation area, and (2) an excise tax of $20 per motor vehicle purchased
or acquired from any person engaged in the business of selling motor vehicles at retail
within a metropolitan county or a county in the metropolitan transportation area.
new text end

new text begin (b) After June 30, 2028, the amount of the sales and use tax under paragraph (a) is
one-quarter of one percent.
new text end

new text begin Subd. 3. new text end

new text begin Joint powers agreement. new text end

new text begin Upon resolution of the boards of at least four
metropolitan counties, any eligible county that chooses to participate must enter into a
joint powers agreement. The joint powers agreement:
new text end

new text begin (1) must form a joint powers board, as specified in subdivision 4;
new text end

new text begin (2) must provide a process that allows any eligible county, by resolution of its county
board, to agree to the sales tax imposed under this section and join the joint powers board;
new text end

new text begin (3) may provide for withdrawal of a participating county before final termination of
the agreement; and
new text end

new text begin (4) may provide for a weighted voting system for joint powers board decisions.
new text end

new text begin Subd. 4. new text end

new text begin Joint powers board. new text end

new text begin (a) The joint powers board must consist of one
or more representatives of each county that is in the metropolitan transportation area,
appointed by its county board. The joint powers board has the powers and duties provided
in this section and section 471.59.
new text end

new text begin (b) The joint powers board may not utilize more than three-fourths of one percent of
the proceeds of the taxes imposed under this section to reimburse counties for ordinary
administrative expenses incurred in carrying out the provisions of this section. Any
additional administrative expenses must be paid by the participating counties.
new text end

new text begin (c) The joint powers board may establish a technical advisory group of city, county,
or public agency representatives that is separate from the Grant Evaluation and Ranking
System Committee. The technical advisory group must be used solely for technical
consultation purposes.
new text end

new text begin Subd. 5. new text end

new text begin Grant application and awards; Grant Evaluation and Ranking System
(GEARS) Committee.
new text end

new text begin (a) The joint powers board shall establish a grant application
process and identify the amount of available funding for grant awards. Grant applications
must be submitted in a form prescribed by the joint powers board. An applicant must
provide, in addition to all other information required by the joint powers board, the
estimated cost of the project, the amount of the grant sought, possible sources of funding
in addition to the grant sought, and identification of any federal funds that will be utilized
if the grant is awarded.
new text end

new text begin (b) The joint powers board shall establish a timeline and procedures for the award of
grants, and may only award grants to the state and political subdivisions. The board shall
define objective criteria for the award of grants, which must include, but not be limited to,
consistency with the most recent version of the transportation policy plan adopted by the
Metropolitan Council under section 473.146. The joint powers board shall maximize the
availability and use of federal funds in projects funded under this section.
new text end

new text begin (c) The joint powers board shall establish a GEARS Committee, which must consist
of:
new text end

new text begin (1) one county commissioner from each county that is in the metropolitan
transportation area, appointed by its county board;
new text end

new text begin (2) one elected city representative from each county that is in the metropolitan
transportation area;
new text end

new text begin (3) one additional elected city representative from each county for every additional
400,000 in population, or fraction of 400,000, in the county that is above 400,000 in
population; and
new text end

new text begin (4) the chair of the Metropolitan Council Transportation Committee.
new text end

new text begin (d) Each city representative must be elected at a meeting of cities in the metropolitan
transportation area, which must be convened for that purpose by the Association of
Metropolitan Municipalities.
new text end

new text begin (e) The committee shall evaluate grant applications following objective criteria
established by the joint powers board, and must provide to the joint powers board a
selection list of transportation projects that includes a priority ranking.
new text end

new text begin (f) Grants must be funded by the proceeds of the taxes imposed under this section,
bonds, notes, or other obligations issued by the joint powers board under subdivision 7.
new text end

new text begin (g) Notwithstanding the provisions of this subdivision, in fiscal year 2009, of the
initial revenue collected under this section, the joint powers board shall allocate at least
$23,083,000 to the Metropolitan Council for operating assistance for transit.
new text end

new text begin Subd. 6. new text end

new text begin Allocation of grant awards. new text end

new text begin (a) The board must allocate grant awards
as follows:
new text end

new text begin (1) no less than 50 percent for transit, for the following purposes:
new text end

new text begin (i) capital improvements to transit ways, including commuter rail, rolling stock,
light rail vehicles, and transit way buses;
new text end

new text begin (ii) capital costs for park-and-ride facilities, as defined in section 174.256,
subdivision 2;
new text end

new text begin (iii) feasibility studies, planning, alternatives analyses, environmental studies,
engineering, property acquisition for transit way purposes, and construction of transit
ways; and
new text end

new text begin (iv) operating assistance for transit ways;
new text end

new text begin (2) no less than 25 percent for construction or reconstruction of trunk highways or
local roads of regional significance; and
new text end

new text begin (3) 25 percent for (i) any of the purposes specified in clauses (1) and (2), and
(ii) planning, studies, design, construction, maintenance, and operation of pedestrian
programs and bicycle programs and pathways.
new text end

new text begin (b) The joint powers board must annually award grants to each minimum guarantee
county in an amount no less than the amount of sales tax revenue collected within that
county.
new text end

new text begin (c) No more than five percent of the awards may be annually allocated for the
purposes specified in paragraph (a), clause (3), item (ii).
new text end

new text begin Subd. 7. new text end

new text begin Bonds. new text end

new text begin (a) The joint powers board or any county, acting under a joint
powers agreement as specified in this section, may, by resolution, authorize, issue, and sell
its bonds, notes, or other obligations for the purpose of funding grants under subdivision
6. The joint powers board or county may also, by resolution, issue bonds to refund the
bonds issued under this subdivision.
new text end

new text begin (b) The bonds of the joint powers board must be limited obligations, payable solely
from or secured by taxes levied under this section.
new text end

new text begin (c) The bonds of any county may be limited obligations, payable solely from or
secured by taxes levied under this section. A county may also pledge its full faith, credit,
and taxing power as additional security for the bonds.
new text end

new text begin (d) Bonds may be issued in one or more series and sold without an election. The
bonds shall be secured, bear the interest rate or rates or a variable rate, have the rank or
priority, be executed in the manner, be payable in the manner, mature, and be subject to
the defaults, redemptions repurchases, tender options, or other terms, and shall be sold in
such manner as the joint powers board, the rail authority, or the county may determine.
new text end

new text begin (e) The joint powers board or any county may enter into and perform all contracts
deemed necessary or desirable by it to issue and secure the bonds, including an indenture
of trust with a trustee within or without the state.
new text end

new text begin (f) Except as otherwise provided in this subdivision, the bonds must be issued and
sold in the manner provided under chapter 475.
new text end

new text begin (g) The joint powers board or any regional railroad authority wholly within the
metropolitan transportation area also may authorize, issue, and sell its bonds, notes, or
other obligations for the purposes, and in accordance with the procedures, set forth in
section 398A.07 to fund grants as provided in subdivision 6. The bonds of any regional
railroad authority may be limited obligations, payable solely from or secured by taxes
levied under this section. A regional railroad authority may also pledge its taxing powers
as additional security for the bonds.
new text end

new text begin Subd. 8. new text end

new text begin Allocation of revenues. new text end

new text begin After the deductions allowed in section 297A.99,
subdivision 11, the commissioner of revenue shall remit the proceeds of the taxes imposed
under this section on a quarterly basis, as directed by the joint powers board under this
section.
new text end

new text begin Subd. 9. new text end

new text begin Administration, collection, enforcement. new text end

new text begin Except as otherwise provided
in this section, the provisions of section 297A.99, subdivisions 4 and 6 to 12a, govern the
administration, collection, and enforcement of the tax authorized under this section.
new text end

new text begin Subd. 10. new text end

new text begin Report. new text end

new text begin The joint powers board shall report annually by February 1 to the
house of representatives and senate committees having jurisdiction over transportation
policy and finance concerning the revenues received and grants awarded.
new text end

new text begin Subd. 11. new text end

new text begin Grant awards to Metropolitan Council. new text end

new text begin Any grant award under this
section made to the Metropolitan Council must supplement, and must not supplant,
operating and capital assistance provided by the state.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment,
except that subdivisions 2, 8, and 9 are effective the first day of a calendar quarter
beginning at least 90 days after the formation of the joint powers board under subdivision
4. This section expires October 2, 2008, if the sales and use tax under subdivision 2 has
not been imposed.
new text end

Sec. 2.

new text begin [297A.993] GREATER MINNESOTA TRANSPORTATION SALES AND
USE TAX.
new text end

new text begin Subdivision 1. new text end

new text begin Authorization; rates. new text end

new text begin Notwithstanding section 297A.99,
subdivisions 1, 2, 3, 5, and 13, or 477A.016, or any other law, the board of a county outside
the metropolitan transportation area, as defined under section 297A.992, subdivision 1, or
more than one county outside the metropolitan transportation area acting under a joint
powers agreement, may impose (1) a transportation sales tax at a rate of one-half of one
percent on retail sales and uses taxable under this chapter, and (2) an excise tax of $20 per
motor vehicle purchased or acquired from any person engaged in the business of selling
motor vehicles at retail, occurring within the jurisdiction of the taxing authority. The taxes
imposed under this section are subject to approval by a majority of the voters of the county
or counties at a general election who vote on the question to impose the taxes.
new text end

new text begin Subd. 2. new text end

new text begin Allocation; termination. new text end

new text begin The proceeds of the taxes must be dedicated
exclusively to payment of the cost of a specific transportation project or improvement.
The transportation project or improvement must be designated by the board of the county,
or more than one county acting under a joint powers agreement. The taxes must terminate
after the project or improvement has been completed.
new text end

new text begin Subd. 3. new text end

new text begin Administration, collection, enforcement. new text end

new text begin The administration, collection,
and enforcement provisions in section 297A.99, subdivisions 4 and 6 to 12, apply to all
taxes imposed under this section.
new text end

Sec. 3.

Minnesota Statutes 2006, section 473.129, is amended by adding a subdivision
to read:


new text begin Subd. 12. new text end

new text begin Metropolitan transportation area sales tax. new text end

new text begin The Metropolitan Council
shall impose the sales and use tax authorized under section 297A.992, subject to the
requirements of that section.
new text end

Sec. 4. new text begin CITY OF MINNEAPOLIS; TOTAL TAX ON LODGING.
new text end

new text begin The tax imposed under Minnesota Statutes, section 297A.992, is not included in
determining if the total tax on lodging in the city of Minneapolis exceeds the maximum
allowed tax under Laws 1986, chapter 396, section 5, as amended by Laws 2001, First
Special Session chapter 5, article 12, section 87, or in determining a tax that may be
imposed under any other limitations.
new text end

ARTICLE 5

COUNTY STATE-AID HIGHWAY FUND DISTRIBUTION

Section 1.

Minnesota Statutes 2006, section 162.06, is amended to read:


162.06 ACCRUALS TO COUNTY STATE-AID HIGHWAY FUND;
ACCOUNTS.

Subdivision 1.

Estimate.

new text begin (a) new text end By December 15 of each year the commissioner shall
estimate the amount of money that will be available to the county state-aid highway fund
during that fiscal year. The amount available must be based on actual receipts from July
1 through November 30, the unallocated fund balance, and the projected receipts for
the remainder of the fiscal year. The deleted text begin totaldeleted text end new text begin amountnew text end available, except for deductions as
provided deleted text begin hereindeleted text end new text begin in this sectionnew text end , shall be apportioned by the commissioner to the counties
as deleted text begin hereinafterdeleted text end providednew text begin in section 162.07new text end .

new text begin (b) For purposes of this section, "amount available" means the amount estimated in
paragraph (a).
new text end

Subd. 2.

Administrative costs of department.

Two percent must be deducted from
the deleted text begin totaldeleted text end amount available deleted text begin in the county state-aid highway funddeleted text end , set aside in a separate
account, and used for administrative costs incurred by the state Transportation Department
in carrying out the provisions relating to the county state-aid highway system.

Subd. 3.

Disaster account.

(a) After deducting administrative costs as provided in
subdivision 2, the commissioner shall set aside each year deleted text begin a sum of money equal todeleted text end one
percent of the deleted text begin remaining money in the county state-aid highway funddeleted text end new text begin amount availablenew text end
to provide for a disaster account; provided that the total amount of money in the disaster
account must never exceed two percent of the total sums to be apportioned to the counties.
deleted text begin This sumdeleted text end new text begin The moneynew text end must be used to provide aid to any county encountering disasters
or unforeseen events affecting its county state-aid highway system, and resulting in an
undue and burdensome financial hardship.

(b) Any county desiring aid by reason of disaster or unforeseen event shall request
the aid in the form required by the commissioner. Upon receipt of the request, the
commissioner shall appoint a board consisting of two representatives of the counties, who
must be either a county engineer or member of a county board, from counties other than the
requesting county, and a representative of the commissioner. The board shall investigate
the matter and report its findings and recommendations in writing to the commissioner.

(c) Final determination of the amount of aid, if any, to be paid to the county from the
disaster account must be made by the commissioner. Upon determining to aid a requesting
county, the commissioner shall certify to the commissioner of finance the amount of the
aid, and the commissioner of finance shall then issue a warrant in that amount payable
to the county treasurer of the county. Money so paid must be expended on the county
state-aid highway system in accordance with the rules of the commissioner.

Subd. 4.

Research account.

(a) Each year the screening board, provided for in
section 162.07, subdivision 5, may recommend to the commissioner a sum of money that
the commissioner shall set aside from the deleted text begin county state-aid highway funddeleted text end new text begin amount availablenew text end
and credit to a research account. The amount so recommended and set aside shall not
exceed one-half of one percent of the preceding year's deleted text begin apportionment sumdeleted text end new text begin distribution
amount, as defined in section 162.07, subdivision 1a
new text end .

(b) Any money so set aside shall be used by the commissioner for the purpose of:

(1) conducting research for improving the design, construction, maintenance and
environmental compatibility of state-aid highways and appurtenances;

(2) constructing research elements and reconstructing or replacing research elements
that fail; and

(3) conducting programs for implementing and monitoring research results.

(c) Any balance remaining in the research account at the end of each year from
the sum set aside for the year immediately previous, shall be transferred to the county
state-aid highway fund.

Subd. 5.

State park road account.

After deducting for administrative costs and
for the disaster account and research account deleted text begin as heretofore provided from the remainder
of the total sum provided for in subdivision 1, there shall be deducted
deleted text end new text begin from the amount
available as provided in this section, the commissioner shall deduct
new text end a sum equal to the
three-quarters of one percent of the remainder. The sum so deducted shall be set aside
in a separate account and shall be used for (1) the establishment, location, relocation,
construction, reconstruction, and improvement of those roads included in the county
state-aid highway system under Minnesota Statutes 1961, section 162.02, subdivision 6,
which border and provide substantial access to an outdoor recreation unit as defined in
section 86A.04 or which provide access to the headquarters of or the principal parking
lot located within such a unit, and (2) the reconstruction, improvement, repair, and
maintenance of county roads, city streets, and town roads that provide access to public
lakes, rivers, state parks, and state campgrounds. Roads described in clause (2) are not
required to meet county state-aid highway standards. At the request of the commissioner
of natural resources the counties wherein such roads are located shall do such work as
requested in the same manner as on any county state-aid highway and shall be reimbursed
for such construction, reconstruction, or improvements from the amount set aside by
this subdivision. Before requesting a county to do work on a county state-aid highway
as provided in this subdivision, the commissioner of natural resources must obtain
approval for the project from the County State-Aid Screening Board. The screening
board, before giving its approval, must obtain a written comment on the project from the
county engineer of the county requested to undertake the project. Before requesting a
county to do work on a county road, city street, or a town road that provides access to
a public lake, a river, a state park, or a state campground, the commissioner of natural
resources shall obtain a written comment on the project from the county engineer of
the county requested to undertake the project. Any sums paid to counties or cities in
accordance with this subdivision shall reduce the money needs of said counties or cities in
the amounts necessary to equalize their status with those counties or cities not receiving
such payments. Any balance of the amount so set aside, at the end of each year shall be
transferred to the county state-aid highway fund.

Subd. 6.

County state-aid highway revolving loan account.

A county state-aid
highway revolving loan account is created in the transportation revolving loan fund. The
commissioner may transfer to the account the amount allocated under section 162.065.
Money in the account may be used to make loans. Funds in the county state-aid highway
revolving loan account may be used only for aid in the construction, improvement, and
maintenance of county state-aid highways. Funds in the account may not be used for any
toll facilities project or congestion-pricing project. Repayments and interest from loans
from the county state-aid highway revolving loan account must be credited to that account.
Money in the account is annually appropriated to the commissioner and does not lapse.
Interest earned from investment of money in this account must be deposited in the county
state-aid highway revolving loan account.

Sec. 2.

Minnesota Statutes 2006, section 162.07, subdivision 1, is amended to read:


Subdivision 1.

deleted text begin Formuladeleted text end new text begin Apportionment sumnew text end .

deleted text begin After deducting for administrative
costs and for the disaster account and research account and state park roads as heretofore
provided, the remainder of the total sum provided for in section 162.06, subdivision 1,
shall be identified as the apportionment sum and shall be apportioned by the commissioner
to the several counties on the basis of the needs of the counties as determined in
accordance with the following formula:
deleted text end

new text begin (a) The commissioner shall apportion the apportionment sum, as calculated in
subdivision 1a, to the several counties as provided in paragraphs (b) to (e).
new text end

deleted text begin (a)deleted text end new text begin (b)new text end An amount equal to ten percent of the apportionment sum shall be apportioned
equally among the 87 counties.

deleted text begin (b)deleted text end new text begin (c)new text end An amount equal to ten percent of the apportionment sum shall be
apportioned among the several counties so that each county shall receive of such amount
the percentage that its motor vehicle registration for the calendar year preceding the
one last past, determined by residence of registrants, bears to the total statewide motor
vehicle registration.

deleted text begin (c)deleted text end new text begin (d)new text end An amount equal to 30 percent of the apportionment sum shall be apportioned
among the several counties so that each county shall receive of such amount the percentage
that its total lane-miles of approved county state-aid highways bears to the total lane-miles
of approved statewide county state-aid highways. In 1997 and subsequent years no county
may receive, as a result of an apportionment under this clause based on lane-miles rather
than miles of approved county state-aid highways, an apportionment that is less than its
apportionment in 1996.

deleted text begin (d)deleted text end new text begin (e)new text end An amount equal to 50 percent of the apportionment sum shall be apportioned
among the several counties so that each county shall receive of such amount the percentage
that its money needs bears to the sum of the money needs of all of the individual counties;
provided, that the percentage of such amount that each county is to receive shall be
adjusted so that each county shall receive in 1958 a total apportionment at least ten
percent greater than its total 1956 apportionments from the state road and bridge fund;
and provided further that those counties whose money needs are thus adjusted shall
never receive a percentage of the apportionment sum less than the percentage that such
county received in 1958.

Sec. 3.

Minnesota Statutes 2006, section 162.07, is amended by adding a subdivision
to read:


new text begin Subd. 1a. new text end

new text begin Apportionment sum and excess sum. new text end

new text begin (a) For purposes of this
subdivision, "distribution amount" means the amount identified in section 162.06,
subdivision 1, after the deductions provided for in section 162.06 for administrative costs,
disaster account, research account, and state park road account.
new text end

new text begin (b) The apportionment sum is calculated by subtracting the excess sum, as calculated
in paragraph (c), from the distribution amount.
new text end

new text begin (c) The excess sum is calculated as the sum of revenue within the distribution
amount:
new text end

new text begin (1) attributed to that portion of the gasoline excise tax rate under section 296A.07,
subdivision 3, in excess of 20 cents per gallon, and to that portion of the excise tax rates
in excess of the energy equivalent of a gasoline excise tax rate of 20 cents per gallon
for E85 and M85 under section 296A.07, subdivision 3, and special fuel under section
296A.08, subdivision 2;
new text end

new text begin (2) attributed to a change in the passenger vehicle registration tax under section
168.013, imposed on or after July 1, 2008, that exceeds (i) the amount collected in fiscal
year 2008, multiplied by (ii) the annual average United States Consumer Price Index for
the calendar year previous to the current calendar year, divided by the annual average
United States Consumer Price Index for calendar year 2007; and
new text end

new text begin (3) attributed to that portion of the motor vehicle sales tax revenue in excess of the
percentage allocated to the county state-aid highway fund in fiscal year 2007.
new text end

new text begin (d) For purposes of this subdivision, the United States Consumer Price Index
identified in paragraph (c) is for all urban consumers, United States city average, as
determined by the United States Department of Labor.
new text end

Sec. 4.

Minnesota Statutes 2006, section 162.07, is amended by adding a subdivision
to read:


new text begin Subd. 1c. new text end

new text begin Excess sum. new text end

new text begin (a) The commissioner shall apportion the excess sum, as
calculated in subdivision 1a, to the several counties as provided in paragraphs (b) and (c).
new text end

new text begin (b) An amount equal to 40 percent must be apportioned among the several counties
so that each county receives of that amount the percentage that its motor vehicle
registration for the calendar year preceding the one last past, determined by residence of
registrants, bears to the total statewide motor vehicle registration.
new text end

new text begin (c) An amount equal to 60 percent must be apportioned among the several counties
so that each county receives of that amount the percentage that its money needs bears to
the sum of the money needs of all of the individual counties.
new text end

Sec. 5. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall renumber Minnesota Statutes 2006, section 162.07,
subdivision 1, as subdivision 1b.
new text end

ARTICLE 6

OTHER TRANSPORTATION FINANCE

Section 1.

Minnesota Statutes 2006, section 160.84, subdivision 1, is amended to read:


Subdivision 1.

Scope.

The terms used in sections 160.84 to have the
meanings given them in this section and section 160.02.

Sec. 2.

new text begin [160.845] RESTRICTIONS ON TOLL FACILITY.
new text end

new text begin A road authority, including the governing body of a city, or a private operator may
not convert, transfer, or utilize any portion of a highway to impose tolls or for use as a toll
facility. A road authority, including the governing body of a city, or a private operator
may not limit operation of a commercial motor vehicle, as defined in section 169.01,
subdivision 75, to a toll facility or otherwise require that a commercial motor vehicle use
the tolled portion of a highway.
new text end

new text begin (b) This section does not apply to (1) any toll facility or high-occupancy vehicle lane
constructed, converted, or established before September 1, 2007, and (2) any additional
lane, including a priced dynamic shoulder lane, added to a highway after September 1,
2007, that expands road or bridge capacity.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

new text begin [160.98] PROHIBITION ON ROAD AND BRIDGE PRIVATIZATION.
new text end

new text begin A road authority may not sell, lease, execute a development agreement for a BOT
facility or BTO facility that transfers an existing highway lane, or otherwise relinquish
management of a highway, if the highway is retained or utilized by the buyer, lessor, or
operator for highway purposes. Nothing in this section prevents sale, reconveyance, or
easements under sections 160.274, 161.23, 161.41, 161.411, 161.431, 161.44, 161.442, or
any other similar provision.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 4.

Minnesota Statutes 2006, section 161.081, subdivision 3, is amended to read:


Subd. 3.

Flexible highway account; turnback accounts.

(a) The flexible highway
account is created in the state treasury. Money in the account may be used deleted text begin eitherdeleted text end for deleted text begin thedeleted text end new text begin :
new text end

new text begin (1)new text end restoration of former trunk highways that have reverted to counties or to
statutory or home rule charter cities deleted text begin or for regular trunk highway purposesdeleted text end new text begin , or for trunk
highways that will be restored and subsequently turned back by agreement between the
commissioner and the local road authority;
new text end

new text begin (2) safety improvements on county highways, municipal highways, streets, or town
roads; and
new text end

new text begin (3) routes of regional significancenew text end .

(b) For purposes of this subdivision, "restoration" means the level of effort required
to improve the route that will be turned back to an acceptable condition as determined
by agreement made between the commissioner and the county or city before the route
is turned back.

(c) The commissioner shall review the need for funds to restore highways that
have been or will be turned back deleted text begin and the need for funds for the trunk highway systemdeleted text end .
The commissioner shall determine, on a biennial basis, the percentage of deleted text begin thisdeleted text end new text begin funds in
the
new text end flexible new text begin highway new text end account to be new text begin distributed to each district, and within each district the
percentage to be
new text end used for deleted text begin county turnbacks, for municipal turnbacks, and for regular
trunk highway projects
deleted text end new text begin each of the purposes specified in paragraph (a). Money in the
account may be used for safety improvements and routes of regional significance only
after money is set aside to restore the identified turnbacks
new text end . The commissioner shall make
deleted text begin this determinationdeleted text end new text begin these determinations new text end only after meeting and holding discussions with
committees selected by the statewide associations of both county commissioners and
municipal officials.new text begin The commissioner shall, to the extent feasible, annually allocate 50
percent of the funds in the flexible highway account to the department's metropolitan
district, and 50 percent to districts in greater Minnesota.
new text end

(d) Money that will be used for the restoration of trunk highways that have reverted
or that will revert to cities must be deposited in the municipal turnback account, which is
created in the state treasury.

(e) Money that will be used for the restoration of trunk highways that have reverted
or that will revert to counties must be deposited in the county turnback account, which is
created in the state treasury.

(f) new text begin Money that will be used for safety improvements must be deposited in the
highway safety improvement account, which is created in the state treasury to be used
as grants to statutory or home rule charter cities, towns, and counties to assist in paying
the costs of constructing or reconstructing city streets, county highways, or town roads
to reduce crashes, deaths, injuries, and property damage.
new text end

new text begin (g) Money that will be used for routes of regional significance must be deposited in
the routes of regional significance account, which is created in the state treasury, and used
as grants to statutory or home rule charter cities, towns, and counties to assist in paying
the costs of constructing or reconstructing city streets, county highways, or town roads
with statewide or regional significance that have not been fully funded through other state,
federal, or local funding sources.
new text end

new text begin (h) new text end As part of each biennial budget submission to the legislature, the commissioner
shall describe how the money in the flexible highway account will be apportioned among
the county turnback account, the municipal turnback account, deleted text begin anddeleted text end the trunk highway
fundnew text begin for routes turned back to local governments by agreement, the highway safety
improvement account, and the routes of regional significance account
new text end .

deleted text begin (g) Money apportioned from the flexible highway account to the trunk highway fund
must be used for state road construction and engineering costs.
deleted text end

new text begin EFFECTIVE DATE. new text end

new text begin Paragraph (h) is effective January 1, 2009, and the remainder
of this section is effective July 1, 2009.
new text end

Sec. 5.

new text begin [165.14] TRUNK HIGHWAY BRIDGE IMPROVEMENT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Definition. new text end

new text begin For purposes of this section, "program" means the trunk
highway bridge improvement program established under this section.
new text end

new text begin Subd. 2. new text end

new text begin Program created. new text end

new text begin The commissioner shall develop a trunk highway bridge
improvement program for accelerating repair and replacement of trunk highway bridges
throughout the state. The program receives funding for bridge projects as specified by law.
new text end

new text begin Subd. 3. new text end

new text begin Program requirements. new text end

new text begin (a) The commissioner shall develop an inventory
of bridges included in the program. The inventory must include all bridges on the trunk
highway system in Minnesota that are classified as fracture-critical or structurally deficient,
or constitute a priority project, as identified by the commissioner. In determining whether
a bridge is a priority project, the commissioner may consider national bridge inventory
(NBI) condition codes, bridge classification as functionally obsolete, the year in which
the bridge was built, the history of bridge maintenance and inspection report findings, the
average daily traffic count, engineering judgments with respect to the safety or condition
of the bridge, and any other factors specifically identified by the commissioner.
new text end

new text begin (b) For each bridge included in the inventory, the commissioner must provide the
following information: a summary of the bridge, including but not limited to, county
and department district, route number, feature crossed, the year in which the bridge was
built, average daily traffic count, load rating, bridge length and deck area, and main span
type; the condition ratings for the deck, superstructure, and substructure; identification of
whether the bridge is structurally deficient, functionally obsolete, or fracture-critical; the
sufficiency rating; a brief description of the work planned for the bridge, including work
type needed; an estimate of total costs related to the bridge, which may include general
and planning cost estimates; and, the year or range of years in which the work is planned.
new text end

new text begin Subd. 4. new text end

new text begin Prioritization of bridge projects. new text end

new text begin (a) The commissioner shall classify all
bridges in the program into tier 1, 2, or 3 bridges, where tier 1 is the highest tier. Unless
the commissioner identifies a reason for proceeding otherwise, before commencing bridge
projects in a lower tier, all bridge projects within a higher tier must to the extent feasible
be selected and funded in the approved state transportation improvement program, at
any stage in the project development process, solicited for bids, in contract negotiation,
under construction, or completed.
new text end

new text begin (b) The classification of each tier is as follows:
new text end

new text begin (1) tier 1 consists of any bridge in the program that (i) has an average daily traffic
count that is above 1,000 and has a sufficiency rating that is at or below 50, or (ii) is
identified by the commissioner as a priority project;
new text end

new text begin (2) tier 2 consists of any bridge that is not a tier 1 bridge, and (i) is classified as
fracture-critical, or (ii) has a sufficiency rating that is at or below 80; and
new text end

new text begin (3) tier 3 consists of any other bridge in the program that is not a tier 1 or tier 2 bridge.
new text end

new text begin (c) By June 30, 2018, all tier 1 and tier 2 bridges originally included in the program
must be under contract for repair or replacement with a new bridge that contains a
load-path-redundant design.
new text end

new text begin (d) The commissioner shall establish criteria for determining the priority of bridge
projects within each tier, and must include safety considerations as a criterion.
new text end

new text begin Subd. 5. new text end

new text begin Statewide transportation planning report. new text end

new text begin In conjunction with each
update to the Minnesota statewide transportation plan, or at least every six years, the
commissioner shall submit a report to the chairs and ranking minority members of the
house of representatives and senate committees with jurisdiction over transportation
finance. The report must include:
new text end

new text begin (1) an explanation of the criteria and decision-making processes used to prioritize
bridge projects;
new text end

new text begin (2) a historical and projected analysis of the extent to which all trunk highway
bridges meet bridge performance targets;
new text end

new text begin (3) a summary of bridge projects (i) completed in the previous six years or since the
last update to the Minnesota statewide transportation plan, and (ii) currently in progress
under the program;
new text end

new text begin (4) a summary of bridge projects scheduled in the next four fiscal years and included
in the state transportation improvement program;
new text end

new text begin (5) a projection of annual needs over the next 20 years;
new text end

new text begin (6) a calculation funding necessary to meet the completion date under subdivision 4,
paragraph (c), compared to the total amount of bridge-related funding available; and
new text end

new text begin (8) for any tier 1 fracture-critical bridge that is repaired but not replaced, an
explanation of the reasons for repair instead of replacement.
new text end

new text begin Subd. 6. new text end

new text begin Annual report. new text end

new text begin Annually by January 15, the commissioner shall submit
a report on the program to the chairs and ranking minority members of the house of
representatives and senate committees with jurisdiction over transportation finance. The
report must include the inventory information required under subdivision 3, and an
analysis, including any recommendations for changes, of the adequacy and efficacy of
(1) the program requirements under subdivision 3, and (2) the prioritization requirements
under subdivision 4.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 6.

Minnesota Statutes 2006, section 171.29, subdivision 2, is amended to read:


Subd. 2.

Reinstatement fees and surcharges allocated and appropriated.

(a)
An individual whose driver's license has been revoked as provided in subdivision 1,
except under section 169A.52, 169A.54, or 609.21, must pay a $30 fee before the driver's
license is reinstated.

(b) A person whose driver's license has been revoked as provided in subdivision
1 under section 169A.52, 169A.54, or 609.21, must pay a $250 fee plus a deleted text begin $40deleted text end new text begin $430new text end
surcharge before the driver's license is reinstatednew text begin , except as provided in paragraph (f)new text end .
deleted text begin Beginning July 1, 2002, the surcharge is $145. Beginning July 1, 2003, the surcharge is
$430.
deleted text end The $250 fee is to be credited as follows:

(1) Twenty percent must be credited to the driver services operating account in the
special revenue fund as specified in section 299A.705.

(2) Sixty-seven percent must be credited to the general fund.

(3) Eight percent must be credited to a separate account to be known as the Bureau
of Criminal Apprehension account. Money in this account may be appropriated to the
commissioner of public safety and the appropriated amount must be apportioned 80 percent
for laboratory costs and 20 percent for carrying out the provisions of section 299C.065.

(4) Five percent must be credited to a separate account to be known as the vehicle
forfeiture account, which is created in the special revenue fund. The money in the account
is annually appropriated to the commissioner for costs of handling vehicle forfeitures.

(c) The revenue from $50 of deleted text begin eachdeleted text end new text begin thenew text end surcharge must be credited to a separate
account to be known as the traumatic brain injury and spinal cord injury account.new text begin The
revenue from $50 of the surcharge on a reinstatement under paragraph (f) is credited from
the first installment payment to the traumatic brain injury and spinal cord injury account.
new text end
The money in the account is annually appropriated to the commissioner of health to be
used as follows: 83 percent for contracts with a qualified community-based organization
to provide information, resources, and support to assist persons with traumatic brain
injury and their families to access services, and 17 percent to maintain the traumatic
brain injury and spinal cord injury registry created in section 144.662. For the purposes
of this paragraph, a "qualified community-based organization" is a private, not-for-profit
organization of consumers of traumatic brain injury services and their family members.
The organization must be registered with the United States Internal Revenue Service under
section 501(c)(3) as a tax-exempt organization and must have as its purposes:

(1) the promotion of public, family, survivor, and professional awareness of the
incidence and consequences of traumatic brain injury;

(2) the provision of a network of support for persons with traumatic brain injury,
their families, and friends;

(3) the development and support of programs and services to prevent traumatic
brain injury;

(4) the establishment of education programs for persons with traumatic brain injury;
and

(5) the empowerment of persons with traumatic brain injury through participation
in its governance.

A patient's name, identifying information, or identifiable medical data must not be
disclosed to the organization without the informed voluntary written consent of the patient
or patient's guardian or, if the patient is a minor, of the parent or guardian of the patient.

(d) The remainder of the surcharge must be credited to a separate account to be
known as the remote electronic alcohol-monitoring program account. The commissioner
shall transfer the balance of this account to the commissioner of finance on a monthly
basis for deposit in the general fund.

(e) When these fees are collected by a licensing agent, appointed under section
171.061, a handling charge is imposed in the amount specified under section 171.061,
subdivision 4
. The reinstatement fees and surcharge must be deposited in an approved
depository as directed under section 171.061, subdivision 4.

new text begin (f) A person whose driver's license has been revoked as provided in subdivision
1 under section 169A.52 or 169A.54 and who the court certifies as being financially
eligible for a public defender under section 611.17, may choose to pay 50 percent and
an additional $25 of the total amount of the surcharge and 50 percent of the fee required
under paragraph (b) to reinstate the person's driver's license, provided the person meets all
other requirements of reinstatement. If a person chooses to pay 50 percent of the total and
an additional $25, the driver's license must expire after two years. The person must pay an
additional 50 percent less $25 of the total to extend the license for an additional two years,
provided the person is otherwise still eligible for the license. After this final payment of
the surcharge and fee, the license may be renewed on a standard schedule, as provided
under section 171.27. A handling charge may be imposed for each installment payment.
Revenue from the handling charge is credited to the driver services operating account in
the special revenue fund and is appropriated to the commissioner.
new text end

new text begin (g) Any person making installment payments under paragraph (f), whose driver's
license subsequently expires, or is canceled, revoked, or suspended before payment of
100 percent of the surcharge and fee, must pay the outstanding balance due for the initial
reinstatement before the driver's license is subsequently reinstated. Upon payment of
the outstanding balance due for the initial reinstatement, the person may pay any new
surcharge and fee imposed under paragraph (b) in installment payments as provided
under paragraph (f).
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2009.
new text end

Sec. 7.

new text begin [398A.10] TRANSIT FUNDING.
new text end

new text begin Subdivision 1. new text end

new text begin Capital costs. new text end

new text begin A county regional railroad authority may not
contribute more than ten percent of the capital costs on a transit project. For purposes of
this section, "transit project" includes, but is not limited to, light rail transit, bus rapid
transit, and commuter rail.
new text end

new text begin Subd. 2. new text end

new text begin Operating and maintenance costs. new text end

new text begin A county regional railroad authority
may not contribute any funds to pay the operating and maintenance costs for a transit
project, as defined in subdivision 1. If a county regional railroad authority is contributing
funds for operating and maintenance costs on a transit project on the date of the enactment
of this act, the authority may continue to contribute funds for these purposes until January
1, 2009.
new text end

Sec. 8. new text begin FUNDING FOR RAIL TRANSIT WAYS.
new text end

new text begin In order to accelerate the development of metropolitan area rail transit projects,
reduce construction costs, provide transportation options, increase mobility, support
economic growth, and meet environmental challenges, the Metropolitan Council shall
initiate negotiations with the federal Transit Administration to secure federal funds for a
single comprehensive program of rail transit way development, to include Rush Line, Red
Rock, Southwest Corridor, and an extension of NorthStar commuter rail to St. Cloud.
new text end