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    Subdivision 1. Acquisition of property. Any city of the second, third, or fourth class,
however organized, and any statutory city may acquire by gift, lease, purchase or condemnation
proceedings any real property within or without the corporate limits, or any interest therein,
deemed by its governing body to be needed for improving the municipality's regulation and
control of traffic on its streets, alleys and public grounds by providing, regulating and operating
on-street or off-street parking lanes or areas, and may acquire by purchase or lease parking
meters or other parking or traffic control devices and may devote any property already owned
by the municipality and devoted to other purposes to be used as a parking lane or area and may
construct, or otherwise provide, equip, maintain and operate automobile parking facilities and
may expend municipal funds for these purposes. Where all the bonds issued for a given project
are wholly payable from the net revenue of all such operations, the proceeds of such bonds
may be used for the acquisition, construction or improvement of automobile parking facilities
by a resolution adopted by the governing body without an election notwithstanding any charter
or statutory provision to the contrary. The term "automobile parking facilities" as used in this
section includes lots, lanes, garages, ramps or other structures and accessories, including such
meters and devices; such facilities may be surface facilities above or under the ground. Provided
that no product or service other than the parking of vehicles and the delivery thereof shall be
dispensed or furnished at or in connection with any such parking facility. Provided, further, that
the municipality shall not convert to a parking facility any land conveyed to it on a condition
restricting its use to some other purpose.
    Subd. 1a. Minneapolis, application. The provisions of this section shall apply in all respects
to the city of Minneapolis, except that the authority granted thereby may be exercised by such a
city only within its corporate limits.
    Subd. 1b. St. Paul, application. The provisions of this section shall apply in all respects
to the city of Saint Paul, except that the authority granted thereby may be exercised by such
city only within its corporate limits.
    Subd. 2. Financing. The municipality may pay for any portion of the cost of providing
automobile parking facilities by:
(1) appropriating money as authorized in subdivision 1;
(2) levying a tax on the taxable property within the municipality;
(3) levying special assessments against benefited property;
(4) appropriating any or all net revenues derived from the operation of its parking facilities;
(5) classifying the users of the facilities as a subject for taxation, and imposing taxes thereon
computed according to the extent of use of the facilities;
(6) imposing reasonable rates, rents, fees, and charges for the use of any on-street or off-street
parking privilege or facility, which may be in excess of actual cost of operation, maintenance,
regulation, and supervision of parking at the particular location where the privilege is exercised;
(7) leasing any off-street facilities at specified or determinable rents to be paid to the
municipality under a lease made as provided in subdivision 4;
(8) borrowing money and issuing bonds as authorized and limited by subdivision 3; or
(9) any combination of the foregoing.
    Subd. 3. Bonds. Any municipality to which this section applies may issue bonds for the
acquisition, construction, or improvement of automobile parking facilities. Any such bonds
shall be authorized and issued and sold in the manner prescribed by the laws of this state or
the charter of the municipality for the issuance and authorization of bonds thereof for public
purposes generally, except as in this section otherwise provided. The amount of all bonds issued
by any such municipality under this section shall not be included in the net indebtedness of the
municipality or in any computation of the outstanding indebtedness of the municipality for the
purpose of determining the limit of its net indebtedness. Bonds so authorized and issued may be
made payable wholly from general ad valorem taxes levied in sufficient amounts upon all taxable
properties in the municipality, or wholly from special assessments levied upon properties within
one or more parking, benefit districts, or wholly from the net revenues of operations of on-street
and off-street facilities, not exceeding the portion of such net revenue available therefor under
the charter of the municipality, or such bonds may be made payable from any combination of
such sources of income, as specified and defined in the resolution or ordinance authorizing their
issuance; provided that bonds may be issued pledging the faith and credit of the municipality for
the payment without the prior approval of a majority of the voters of the municipality voting
thereon at an election ordered by the governing body if special assessments have been or will be
levied in an amount not less than 50 percent of the amount of such bonds; and provided further
that where such bonds are payable wholly from the net revenues of all such operations, the bonds
may be authorized, issued, and sold by a resolution adopted by the governing body without an
election notwithstanding any charter or statutory provision to the contrary.
    Subd. 4. Lease, rental charges. The governing body of any municipality providing
automobile parking facilities under this section may make such other provisions for their operation
and management as it may deem necessary, and it may lease and rent all or any off-street facilities
to persons, firms or corporations to be used for purposes of automobile parking and fix the rentals
to be charged therefor, and when so leased to regulate the rates and charges to be exacted for the
services so provided, and which lease shall prohibit the sale or offer for sale by the lessee of
any merchandise or supplies, including gasoline or oil, or the cleaning, repair or furnishing of
services other than parking and delivery of automobiles. Such lease may require the lessee to
make improvements to become the property of the municipality upon expiration or termination of
the lease. The governing body may, in the alternative, employ any person, firm or corporation as
operating manager and agent for the municipality to operate and maintain any such facility or
facilities in behalf of the municipality under a contract defining the terms of such employment.
    Subd. 5. Licenses. In event of establishment of parking facilities at or near the municipality's
boundaries, the governing body may provide and regulate by licensing or by its own operations,
transportation between the same and business centers.
    Subd. 6. Powers, how exercised. Except as otherwise specified in this section, any and all
powers granted or confirmed by this section may be exercised by the governing body by ordinance
or resolution. Any municipal action regulating or prohibiting parking or traffic on streets, alleys or
other public highways, or which establishes rates, fees, charges or taxes for on-street parking,
or penalties for violation of such regulations or prohibitions, shall be by ordinance. Any such
ordinance may provide that the presence of a vehicle in or upon any public street, alley or highway
in the municipality, stopped, standing or parked in violation of such ordinance, shall be prima
facie evidence that the person in whose name such vehicle is registered as owner committed or
authorized the commission of such violation.
    Subd. 7. Special assessments, hearing. An automobile parking facility is a local
improvement within the meaning of sections 429.011 to 429.091 and, except as otherwise
provided in this section, may be financed in whole or in part by special assessments levied in
accordance with those sections. In apportioning such special assessments, the governing body
shall take into consideration the improvements on the land and the present and potential use of
the respective lots, pieces or parcels during the anticipated period of usefulness of the facility
providing the benefits. If the governing body in levying such assessments determines that all or
part of the benefited property is benefited to a lesser extent than other property, it may establish
separate benefit districts for an improvement each comprising property benefited to a like extent,
whether or not contiguous, and may provide either a different rate of assessment or, in lieu
thereof, a different number of installments payable at such times as the governing body shall
determine, subject only to the condition that the assessments for such benefit districts be made
payable at such times as will permit the use thereof for payment of principal of and interest on
any bonds issued for the improvement with respect to which they are levied. Interest on the
unpaid balance of assessments levied under this subdivision shall be payable semiannually with
other taxes levied on such property.
    Subd. 8. Property exempt from taxation. Any real or personal property owned, leased,
maintained, or operated as a municipal parking facility under this section is owned, leased,
maintained, or operated for essential public and governmental purposes, and is exempt from all ad
valorem taxes levied by the state or a political subdivision of the state.
History: (1933-3) 1919 c 281 s 1; 1947 c 621 s 1; 1953 c 675 s 1; 1955 c 259 s 1; 1955 c
873 s 1,2; 1965 c 877 s 6; 1967 c 288 s 1,2; 1967 c 669 s 1; 1973 c 123 art 5 s 7; 1973 c 292 s 1;
1973 c 773 s 1; 1980 c 509 s 167; 1989 c 277 art 2, s 59; art 4 s 59; 1994 c 505 art 3 s 12

Official Publication of the State of Minnesota
Revisor of Statutes