as introduced - 79th Legislature (1995 - 1996) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to transportation; providing for 1.3 transportation funding; right-of-way acquisition; 1.4 metropolitan transit; prevailing wages; highway speed 1.5 limits; motor carrier regulations; appropriating 1.6 money; amending Minnesota Statutes 1994, sections 1.7 84.794, subdivision 1; 84.803, subdivision 1; 161.041, 1.8 subdivision 2; 169.14, subdivision 2, and by adding a 1.9 subdivision; 174.24, by adding a subdivision; 174A.01, 1.10 by adding subdivisions; 177.42, subdivisions 4 and 6; 1.11 177.43, subdivisions 1 and 3; 221.121, subdivision 6a; 1.12 296.16, subdivision 1; 296.421, subdivision 4; 1.13 297B.09, subdivision 1; 471.345, subdivision 7; and 1.14 473.388, as amended; Minnesota Statutes 1995 1.15 Supplement, sections 15A.081, subdivision 1; 84.83, 1.16 subdivision 2; and 84.927, subdivision 1; proposing 1.17 coding for new law in Minnesota Statutes, chapters 1.18 161; 174; 177; and 221; repealing Minnesota Statutes 1.19 1994, sections 169.141; and 296.421, subdivision 8; 1.20 Laws 1994, chapter 248, article 7, section 3. 1.21 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.22 ARTICLE 1 1.23 TRANSPORTATION FUNDING 1.24 Section 1. Minnesota Statutes 1994, section 84.794, 1.25 subdivision 1, is amended to read: 1.26 Subdivision 1. [REGISTRATION REVENUE.] Fees from the 1.27 registration of off-highway motorcyclesand the unrefunded1.28gasoline tax attributable to off-highway motorcycle use under1.29section 296.16must be deposited in the state treasury and 1.30 credited to the off-highway motorcycle account in the natural 1.31 resources fund. 1.32 Sec. 2. Minnesota Statutes 1994, section 84.803, 1.33 subdivision 1, is amended to read: 2.1 Subdivision 1. [REGISTRATION REVENUE.] Fees from the 2.2 registration of off-road vehiclesand unrefunded gasoline tax2.3attributable to off-road vehicle use under section 296.16must 2.4 be deposited in the state treasury and credited to the off-road 2.5 vehicle account in the natural resources fund. 2.6 Sec. 3. Minnesota Statutes 1995 Supplement, section 84.83, 2.7 subdivision 2, is amended to read: 2.8 Subd. 2. [MONEY DEPOSITED IN THE ACCOUNT.] Fees from the 2.9 registration of snowmobilesand the unrefunded gasoline tax2.10attributable to snowmobile use pursuant to section 296.16, as 2.11 well as the net proceeds from the sale of snowmobiles forfeited 2.12 pursuant to section 84.912, shall be deposited in the state 2.13 treasury and credited to the snowmobile trails and enforcement 2.14 account. 2.15 Sec. 4. Minnesota Statutes 1995 Supplement, section 2.16 84.927, subdivision 1, is amended to read: 2.17 Subdivision 1. [REGISTRATION REVENUE.] Fees from the 2.18 registration of all-terrain vehiclesand the unrefunded gasoline2.19tax attributable to all-terrain vehicle use under section2.20296.16, as well as the net proceeds from the sale of all-terrain 2.21 vehicles forfeited pursuant to section 84.912, shall be 2.22 deposited in the state treasury and credited to the all-terrain 2.23 vehicle account in the natural resources fund. 2.24 Sec. 5. Minnesota Statutes 1994, section 161.041, 2.25 subdivision 2, is amended to read: 2.26 Subd. 2. [USES OF FUND.] Money in the transportation 2.27 services fund may only be expended by appropriation or 2.28 transferred for: 2.29 (1) activities of the commissioner of public safety 2.30 relating to (i) driver licensing, (ii) motor vehicle 2.31 registration and licensing, (iii) the accident reporting system, 2.32 and (iv) the state patrol; 2.33 (2) activities of the commissioner of transportation 2.34 relating to oversize and overweight permits, including the cost 2.35 of necessary highway maintenance and preservation related to 2.36 granting those permits; 3.1 (3) activities of the commissioner of transportation 3.2 related to junkyard screening and control of outdoor advertising 3.3 devices; 3.4 (4) activities of the transportation regulation board 3.5 related to motor carrier regulation; 3.6 (5) repayment of money borrowed for new buildings, and 3.7 improvements to existing buildings, of the department of 3.8 transportation; 3.9 (6) railroad grade crossing protection studies, grade 3.10 crossing inventories, and grade crossing public education;and3.11 (7)activities of the transportation study boardpayment of 3.12 principal and interest on bonds issued under section 174.51; 3.13 (8) transfer to the water recreation account, state forest 3.14 road account, off-highway motorcycle account, off-road vehicle 3.15 account, snowmobile trails and enforcement account, and 3.16 all-terrain vehicle account as provided by law; and 3.17 (9) payment of principal and interest on state 3.18 transportation improvement bonds issued under section 8. 3.19 Sec. 6. Minnesota Statutes 1994, section 174.24, is 3.20 amended by adding a subdivision to read: 3.21 Subd. 7. [FUND ESTABLISHED.] A greater Minnesota transit 3.22 assistance fund is established in the state treasury. The fund 3.23 consists of money deposited under section 297B.09, subdivision 3.24 1, paragraph (a), clause (1), and other money credited to the 3.25 fund by law. Money in the fund is appropriated to the 3.26 commissioner for the purpose of paying financial assistance to 3.27 eligible recipients under this section, and for paying the 3.28 commissioner's costs arising from the administration of this 3.29 section. 3.30 Sec. 7. [174.52] [MINNESOTA STATE TRANSPORTATION 3.31 IMPROVEMENT FUND.] 3.32 Subdivision 1. [STATEMENT OF PURPOSE.] State funds are 3.33 needed to supplement the highway user tax distribution fund in 3.34 financing major capital improvements to the state transportation 3.35 system to preserve and develop that system so that it may serve 3.36 the transportation needs of the state more efficiently. Such a 4.1 system is a proper function and concern of state government and 4.2 necessary to protect the safety and personal and economic 4.3 welfare of all citizens. It requires capital expenditures for 4.4 public facilities, improvements, and equipment that are 4.5 complementary, additional, and alternate to highways, and are a 4.6 proper object for contracting public debt and engaging in works 4.7 of internal improvements under the Minnesota Constitution, 4.8 article XI, section 5, clause (a). 4.9 Subd. 2. [FUND CREATED.] A Minnesota state transportation 4.10 improvement fund is created as a separate bookkeeping account in 4.11 the general books of account of the state, to record receipts 4.12 and disbursements of money appropriated from the fund to 4.13 agencies and subdivisions of the state for the acquisition and 4.14 betterment of public land, buildings, and capital improvements 4.15 needed for the development of the state transportation system. 4.16 Subd. 3. [FUND REVENUES; APPROPRIATION.] The state 4.17 treasurer shall deposit in the fund as received, all proceeds of 4.18 Minnesota state transportation improvement bonds, except accrued 4.19 interest and premiums; all other money appropriated by law for 4.20 the purposes of the fund; and all money granted to the state for 4.21 these purposes by the federal government or any agency thereof. 4.22 All such receipts are annually appropriated for the permanent 4.23 construction and improvement purposes of the fund and shall be 4.24 and remain available for expenditure in accordance with this 4.25 section and applicable federal laws until the purposes for which 4.26 the appropriations were made have been accomplished or 4.27 abandoned. Upon certification to the commissioner of finance by 4.28 the agency or subdivision to which any appropriation of bond 4.29 proceeds has been made that the purpose thereof has been 4.30 accomplished or abandoned, any unexpended balance of the 4.31 appropriation, unless reappropriated by law, shall be 4.32 transferred to the state bond fund and is appropriated to reduce 4.33 the amount of tax otherwise required by the constitution to be 4.34 levied for that fund. No money shall be transferred to the 4.35 state transportation improvement fund from the highway user tax 4.36 distribution fund or any other fund created by the Minnesota 5.1 Constitution, article XIV. 5.2 Subd. 4. [MAJOR TRANSPORTATION PROJECTS.] Appropriations 5.3 from the fund from the proceeds from the sale of Minnesota state 5.4 transportation improvement bonds may be made to the commissioner 5.5 of transportation or to another agency only for capital 5.6 improvement projects on the state transportation system that: 5.7 (1) have a total cost of $100,000,000 or, in the case of 5.8 highway projects, exceed 100 percent of the annual improvement 5.9 budget in any year in the department of transportation district 5.10 in which they are located; 5.11 (2) require several years to plan and construct; 5.12 (3) represent critical areas of a region's transportation 5.13 system; and 5.14 (4) are vital to the economic health of that region or the 5.15 state. 5.16 Sec. 8. [174.53] [MINNESOTA STATE TRANSPORTATION 5.17 IMPROVEMENT BONDS.] 5.18 Subdivision 1. [PURPOSES.] For the purpose of providing 5.19 money appropriated to agencies or subdivisions of the state from 5.20 the Minnesota state transportation improvement fund for the 5.21 acquisition and betterment of public land, buildings, and 5.22 capital improvements needed for the development of the state 5.23 transportation system, when such appropriations or loans are 5.24 authorized by law and funds therefor are requested by the 5.25 governor, the commissioner of finance shall sell and issue bonds 5.26 of the state of Minnesota for the prompt and full payment of 5.27 which, with interest thereon, the full faith and credit and 5.28 taxing powers of the state are irrevocably pledged. Bonds shall 5.29 be issued pursuant to this section only as authorized by a law 5.30 specifying the purpose thereof and the maximum amount of the 5.31 proceeds authorized to be expended for that purpose. Any such 5.32 law, together with this section, constitutes complete authority 5.33 for the issue, and such bonds shall not be subject to 5.34 restrictions or limitations contained in any other law. 5.35 Subd. 2. [SALE; GENERAL OBLIGATIONS.] The bonds shall be 5.36 sold upon sealed bids and upon notice, at a price, in form and 6.1 denominations, bearing interest at a rate or rates, maturing in 6.2 amounts and on dates, without option of prior redemption or 6.3 subject to prepayment upon notice and at times and prices, 6.4 payable at a bank or banks within or outside the state, with or 6.5 without provisions for registration, conversion, exchange, and 6.6 issuance of temporary bonds or notes in anticipation of the sale 6.7 or delivery of definitive bonds, and in accordance with further 6.8 provisions, as the commissioner of finance shall determine 6.9 subject to the approval of the attorney general, but not subject 6.10 to the provisions of sections 14.02, 14.04 to 14.28, 14.38, 6.11 14.44 to 14.45, and 14.57 to 14.62. Each bond shall mature 6.12 within 20 years from its date of issue and shall be executed by 6.13 the commissioner of finance and attested by the state treasurer 6.14 under their official seals. The signatures on the bonds and on 6.15 any interest coupons and the seals may be printed or otherwise 6.16 reproduced, except that each bond shall be authenticated by the 6.17 manual signature on its face of one of the officers or of a 6.18 person authorized to sign on behalf of a bank designated by the 6.19 commissioner of finance as registrar or other authenticating 6.20 agent. The commissioner of finance shall ascertain and certify 6.21 to the purchasers of the bonds the performance and existence of 6.22 all acts, conditions, and things necessary to make them valid 6.23 and binding general obligations of the state of Minnesota, 6.24 subject to the approval of the attorney general. 6.25 Subd. 3. [EXPENSES.] All expenses incidental to the sale, 6.26 printing, execution, and delivery of bonds pursuant to this 6.27 section, including, but not limited to, actual and necessary 6.28 travel and subsistence expenses of state officers and employees 6.29 for such purposes, shall be paid from the Minnesota state 6.30 transportation improvement fund and the amounts necessary 6.31 therefor are appropriated from that fund. 6.32 Subd. 4. [ACCOUNT; APPROPRIATION.] The commissioner of 6.33 finance shall maintain in the state bond fund a separate 6.34 bookkeeping account designated as the Minnesota state 6.35 transportation improvement bond account, to record receipts and 6.36 disbursements of money transferred to the fund to pay Minnesota 7.1 state transportation improvement bonds and interest thereon, and 7.2 of income from the investment of such money, which income shall 7.3 be credited to the account in each fiscal year in an amount 7.4 equal to the approximate average rate of return that year on all 7.5 funds invested by the state treasurer, as determined by the 7.6 treasurer, times the average balance in the account that year. 7.7 Subd. 5. [MONEY CREDITED; APPROPRIATED.] The premium and 7.8 accrued interest received on each issue of Minnesota state 7.9 transportation improvement bonds, and all money transferred 7.10 under section 297B.09, subdivision 1, paragraph (a), clause (2), 7.11 shall be credited to the bond account. There shall also be 7.12 credited to the bond account from the general fund in the state 7.13 treasury, on November 1 in each year, a sum of money equal to 7.14 the amount of the tax which the Minnesota Constitution, article 7.15 XI, would otherwise require to be levied for collection in the 7.16 following year, to increase the balance in the account to an 7.17 amount sufficient to pay principal and interest due and to 7.18 become due with respect to Minnesota state transportation 7.19 improvement bonds. All money so credited and all income from 7.20 the investment thereof is annually appropriated to the bond 7.21 account for the payment of such bonds and interest thereon, and 7.22 shall be available in the bond account prior to the levy of a 7.23 tax for the state bond fund in any year as required by the 7.24 Minnesota Constitution, article XI. No money shall be 7.25 transferred to the Minnesota state transportation improvement 7.26 bond account from the highway user tax distribution fund or any 7.27 other fund created by the Minnesota Constitution, article XIV. 7.28 The commissioner of finance and the state treasurer are directed 7.29 to make the appropriate entries in the accounts of the 7.30 respective funds. 7.31 Subd. 6. [LEVY; TRANSFER OF FUNDS; APPROPRIATIONS.] On or 7.32 before December 1 in each year, if the full amount appropriated 7.33 and transferred to the bond account in subdivision 5 has not 7.34 been credited to it, the tax required by the Minnesota 7.35 Constitution, article XI, shall be levied upon all taxable 7.36 property within the state. The tax is subject to no limit of 8.1 rate or amount until all Minnesota state transportation 8.2 improvement bonds and interest thereon are fully paid. The 8.3 proceeds of this tax are appropriated and shall be credited to 8.4 the state bond fund, and the principal of and interest on the 8.5 bonds are payable from such proceeds, and the whole thereof, or 8.6 so much as may be necessary, is appropriated for the payments. 8.7 If at any time there is not sufficient money from the proceeds 8.8 of the taxes to pay the principal and interest when due on 8.9 Minnesota state transportation improvement bonds, the principal 8.10 and interest shall be paid out of the general fund in the state 8.11 treasury, and the amount necessary therefor is hereby 8.12 appropriated. 8.13 Sec. 9. Minnesota Statutes 1994, section 296.16, 8.14 subdivision 1, is amended to read: 8.15 Subdivision 1. [INTENT; GASOLINE USE.] (a) All gasoline 8.16 received in this state and all gasoline produced in or brought 8.17 into this state except aviation gasoline and marine gasoline 8.18 shall be determined to be intended for use in motor vehicles in 8.19 this state. 8.20 (b) Approximately 1-1/2 percent of all gasoline received in 8.21 this state and 1-1/2 percent of all gasoline produced or brought 8.22 into this state, except gasoline used for aviation purposes, is 8.23 being used as fuel for the operation of motorboats on the waters 8.24 of this state and of the total revenue derived from the 8.25 imposition of the gasoline fuel tax for uses other than for 8.26 aviation purposes, 1-1/2 percent of such revenues is the amount 8.27 of tax on fuel used in motorboats operated on the waters of this 8.28 state. 8.29 (c) Approximately three-fourths of one percent of all 8.30 gasoline received in and produced or brought into this state, 8.31 except gasoline used for aviation purposes, is being used as 8.32 fuel for the operation of snowmobiles in this state, and of the 8.33 total revenue derived from the imposition of the gasoline fuel 8.34 tax for uses other than for aviation purposes, three-fourths of 8.35 one percent of such revenues is the amount of tax on fuel used 8.36 in snowmobiles operated in this state. 9.1 (d) Approximately 0.15 of one percent of all gasoline 9.2 received in or produced or brought into this state, except 9.3 gasoline used for aviation purposes, is being used for the 9.4 operation of all-terrain vehicles in this state, and of the 9.5 total revenue derived from the imposition of the gasoline fuel 9.6 tax, 0.15 of one percent is the amount of tax on fuel used in 9.7 all-terrain vehicles operated in this state. 9.8 (e) Approximately 0.046 of one percent of all gasoline 9.9 received or produced in or brought into this state, except 9.10 gasoline used for aviation purposes, is being used for the 9.11 operation of off-highway motorcycles in this state, and of the 9.12 total revenue derived from the imposition of the gasoline fuel 9.13 tax for uses other than for aviation purposes, 0.046 of one 9.14 percent is the amount of tax on fuel used in off-highway 9.15 motorcycles operated in this state. 9.16 (f) Approximately.1640.164 of one percent of all gasoline 9.17 received or produced in or brought into this state, except 9.18 gasoline used for aviation purposes, is being used for the 9.19 off-road operation of off-road vehicles, as defined in section 9.20 84.797, in this state, and of the total revenue derived from the 9.21 imposition of the gasoline fuel tax for uses other than aviation 9.22 purposes,.1640.164 of one percent is the amount of tax on fuel 9.23 used for off-road operation of off-road vehicles in this state. 9.24 Sec. 10. Minnesota Statutes 1994, section 296.421, 9.25 subdivision 4, is amended to read: 9.26 Subd. 4. [WATER RECREATION ACCOUNT.]The amount of9.27unrefunded tax paid on gasoline used for motor boat purposes as9.28computed in subdivision 5 shall be paid into the state treasury9.29and credited toA water recreation account is established in the 9.30 special revenue fund for acquisition, development, maintenance, 9.31 and rehabilitation of sites for public access and boating 9.32 facilities on public waters; lake and river improvement; state 9.33 park development; and boat and water safety. 9.34 Sec. 11. Minnesota Statutes 1994, section 297B.09, 9.35 subdivision 1, is amended to read: 9.36 Subdivision 1. [GENERAL FUND SHARE.] (a) Money collected 10.1 and received under this chapter must be depositedin the state10.2treasury and credited to the general fund. The amounts10.3collected and received shall be credited as provided in this10.4subdivision, and transferred from the general fund on July 1510.5and February 15 of each fiscal year. The commissioner of10.6finance must make each transfer based upon the actual receipts10.7of the preceding six calendar months and include the interest10.8earned during that six-month period. The commissioner of10.9finance may establish a quarterly or other schedule providing10.10for more frequent payments to the transit assistance fund if the10.11commissioner determines it is necessary or desirable to provide10.12for the cash flow needs of the recipients of money from the10.13transit assistance fund.10.14(b) Twenty-five percent of the money collected and received10.15under this chapter after June 30, 1990, and before July 1, 1991,10.16must be transferred to the highway user tax distribution fund10.17and the transit assistance fund for apportionment as follows:10.1875 percent must be transferred to the highway user tax10.19distribution fund for apportionment in the same manner and for10.20the same purposes as other money in that fund, and the remaining10.2125 percent of the money must be transferred to the transit10.22assistance fund to be appropriated to the commissioner of10.23transportation for transit assistance within the state and to10.24the metropolitan council.10.25(c) The distributions under this subdivision to the highway10.26user tax distribution fund until June 30, 1991, and to the trunk10.27highway fund thereafter, must be reduced by the amount necessary10.28to fund the appropriation under section 41A.09, subdivision 1.10.29For the fiscal years ending June 30, 1988, and June 30, 1989,10.30the commissioner of finance, before making the transfers10.31required on July 15 and January 15 of each year, shall estimate10.32the amount required to fund the appropriation under section10.3341A.09, subdivision 1, for the six-month period for which the10.34transfer is being made. The commissioner shall then reduce the10.35amount transferred to the highway user tax distribution fund by10.36the amount of that estimate. The commissioner shall reduce the11.1estimate for any six-month period by the amount by which the11.2estimate for the previous six-month period exceeded the amount11.3needed to fund the appropriation under section 41A.09,11.4subdivision 1, for that previous six-month period. If at any11.5time during a six-month period in those fiscal years the amount11.6of reduction in the transfer to the highway user tax11.7distribution fund is insufficient to fund the appropriation11.8under section 41A.09, subdivision 1, for that period, the11.9commissioner shall transfer to the general fund from the highway11.10user tax distribution fund an additional amount sufficient to11.11fund the appropriation for that period, but the additional11.12amount so transferred to the general fund in a six-month period11.13may not exceed the amount transferred to the highway user tax11.14distribution fund for that six-month period.as follows: 11.15 (1) five percent must be deposited in the greater Minnesota 11.16 transit assistance fund established under section 174.24, 11.17 subdivision 6; and 11.18 (2) the remainder must be deposited in the general fund. 11.19 (b) From the amounts deposited in the general fund, the 11.20 commissioner of finance shall make the following transfers: 11.21 (1) to the metropolitan council on February 1 of each year, 11.22 an amount certified to the commissioner by the council as being 11.23 the amount of available local transit funds which the council 11.24 granted in the previous calendar year to recipients under the 11.25 replacement service program established under section 473.388 11.26 who became eligible for those funds after July 1, 1984; 11.27 (2) to the Minnesota state transportation improvement 11.28 account in the state bond fund by June 30 of each year, an 11.29 amount the commissioner of finance determines is required to pay 11.30 the principal and interest due in the next fiscal year from 11.31 Minnesota state transportation improvement bonds issued under 11.32 section 174.52; 11.33 (3) to the water recreation account established under 11.34 section 296.421, subdivision 4, by July 15 of each year, an 11.35 amount equal to the revenues determined under section 296.16, 11.36 subdivision 1, paragraph (b), for the preceding fiscal year; 12.1 (4) to the snowmobile trails and enforcement account 12.2 established under section 84.83, subdivision 1, by July 15 of 12.3 each year, an amount equal to the revenues determined under 12.4 section 296.16, subdivision 1, paragraph (c), for the preceding 12.5 fiscal year; 12.6 (5) to the all-terrain vehicle account established under 12.7 section 84.927 by July 15 of each year, an amount equal to the 12.8 revenues determined under section 296.16, subdivision 1, 12.9 paragraph (d), for the preceding fiscal year; 12.10 (6) to the off-highway motorcycle account established under 12.11 section 84.794, an amount equal to the revenues determined under 12.12 section 296.16, subdivision 1, paragraph (e), for the preceding 12.13 fiscal year; 12.14 (7) to the off-road vehicle account established under 12.15 section 84.803, an amount equal to the revenues determined under 12.16 section 296.16, subdivision 1, paragraph (f), for the preceding 12.17 fiscal year; and 12.18 (8) to the state forest road account established under 12.19 section 89.70, an amount equal to the revenues determined under 12.20 section 296.16, subdivision 1a, for the preceding fiscal year. 12.21 Of the amount so transferred 48 percent must be annually 12.22 transferred to counties for management and maintenance of county 12.23 forest roads. 12.24 Sec. 12. [REPEALER.] 12.25 Minnesota Statutes 1994, section 296.421, subdivision 8, is 12.26 repealed. 12.27 Sec. 13. [EFFECTIVE DATE.] 12.28 Sections 1 to 12 are effective July 1, 1996. 12.29 ARTICLE 2 12.30 RIGHT-OF-WAY ACQUISITION 12.31 Section 1. [161.204] [ADVANCE ACQUISITION OF TRUNK HIGHWAY 12.32 RIGHT-OF-WAY.] 12.33 Subdivision 1. [ACQUISITION.] A road authority may by 12.34 purchase, gift, or eminent domain proceedings acquire at fair 12.35 market value real property within the right-of-way of a trunk 12.36 highway shown on an official map adopted under section 394.361 13.1 or 462.359, or acquire property within the proposed right-of-way 13.2 of a trunk highway, when the acquisition meets the requirements 13.3 of subdivision 2 or 3. 13.4 Subd. 2. [PROTECTION OF RIGHT-OF-WAY.] A road authority 13.5 may make an acquisition under subdivision 1: 13.6 (1) to accelerate the acquisition of primarily undeveloped 13.7 property when there is a reasonable probability that the 13.8 property will increase in value before trunk highway 13.9 construction; and 13.10 (2) to avert the imminent conversion or the granting of 13.11 approvals which would allow the conversion of property to uses 13.12 which would jeopardize its availability for trunk highway 13.13 construction. 13.14 Subd. 3. [HARDSHIP ACQUISITIONS.] A road authority may 13.15 make an acquisition under subdivision 1 when: 13.16 (1) the owner of affected homestead property requests 13.17 acquisition and relocation assistance from an acquiring 13.18 authority; 13.19 (2) federal or other state financial participation is not 13.20 available; 13.21 (3) the owner is unable to sell the homestead property at 13.22 its appraised market value because the property is located in a 13.23 proposed trunk highway right-of-way or project as indicated on 13.24 an official map or plat adopted under section 160.085, 394.361, 13.25 or 462.359; 13.26 (4) the commissioner has approved the appraisal of the fair 13.27 market value of the homestead property; and 13.28 (5) the owner of the homestead property is burdened by 13.29 circumstances that constitute a hardship, such as catastrophic 13.30 medical expenses, a transfer of the homestead owner by the 13.31 owner's employer to a distant site of employment, or inability 13.32 of the owner to maintain the property due to physical or mental 13.33 disability or the permanent departure of children from the 13.34 homestead. 13.35 Subd. 4. [CONVEYANCE OF PROPERTY.] (a) Before construction 13.36 of the highway begins, the road authority acquiring real 14.1 property under this section shall convey the property to the 14.2 commissioner at the same price it paid for the property, plus 14.3 relocation costs and less its salvage value. Acquisition and 14.4 assistance under this subdivision must comply with sections 14.5 117.50 to 117.56. 14.6 (b) For purposes of this section, "salvage value" means the 14.7 probable sale price of the dwelling and other property that is 14.8 severable from the land if offered for sale on the condition 14.9 that it be removed from the land at the buyer's expense, 14.10 allowing a reasonable time to find a buyer with knowledge of the 14.11 possible uses of the property, including separate use of 14.12 serviceable components and scrap when there is no other 14.13 reasonable prospect of sale. 14.14 Subd. 5. [AUTHORITY UNDER OTHER LAW.] This section does 14.15 not restrict authority granted under section 473.167, 14.16 subdivision 2 or 2a, to political subdivisions in the 14.17 metropolitan area as defined in section 473.121, subdivision 2. 14.18 Sec. 2. [174.18] [RIGHT-OF-WAY ADVANCE ACQUISITION; LOAN 14.19 FUND.] 14.20 Subdivision 1. [LOANS FOR ACQUISITION.] The commissioner 14.21 may make loans to counties, towns, and statutory and home rule 14.22 charter cities outside the metropolitan area as defined in 14.23 section 473.121, subdivision 2, for the purchase of property 14.24 within the right-of-way of a trunk highway shown on an official 14.25 map adopted under section 394.361 or 462.359 or for the purchase 14.26 of property within the proposed right-of-way of a trunk 14.27 highway. The loans shall be made by the commissioner from 14.28 appropriations from the trunk highway fund made for that 14.29 purpose. The loans shall bear no interest. 14.30 Subd. 2. [LOANS FOR RIGHT-OF-WAY PROTECTION.] The 14.31 commissioner may make loans under this section for acquisitions 14.32 authorized under section 161.204, subdivision 2. 14.33 Subd. 3. [HARDSHIP ACQUISITION LOANS.] The commissioner 14.34 may make loans under this section for acquisitions authorized 14.35 under section 161.204, subdivision 3, only for the acquisition 14.36 of single-family dwellings occupied by the owner, and the 15.1 surrounding land, not exceeding a total of ten acres. 15.2 Subd. 4. [PURCHASE PRICE.] The commissioner shall not make 15.3 loans for the purchase of property at a price which exceeds the 15.4 fair market value of the property or which includes the costs of 15.5 relocating or moving persons or property. A private property 15.6 owner may elect to receive the purchase price either in a lump 15.7 sum or in not more than four annual installments without 15.8 interest on the deferred installments. If the purchase 15.9 agreement provides for installment payments, the commissioner 15.10 shall make the loan in installments corresponding to those in 15.11 the purchase agreement. The recipient of an acquisition loan 15.12 shall convey the property for the construction of the trunk 15.13 highway at the same price which the recipient paid for the 15.14 property. 15.15 Subd. 5. [SALE OF PROPERTY.] On notification by the 15.16 commissioner that the plan to construct the trunk highway has 15.17 been abandoned or the anticipated location of the trunk highway 15.18 changed, the recipient of a loan under this section shall sell 15.19 the property at market value according to the procedures 15.20 required for the disposition of the property. All rents and 15.21 other money received because of the recipient's ownership of the 15.22 property and all proceeds from the conveyance or sale of the 15.23 property shall be paid to the commissioner for deposit in the 15.24 trunk highway fund. 15.25 Subd. 6. [ACCOUNT.] The commissioner may maintain, as a 15.26 separate account in the trunk highway fund, all appropriations 15.27 for the purpose of making loans under this section, all money 15.28 paid to the commissioner by recipients of loans, and all 15.29 interest on the proceeds and payments. 15.30 ARTICLE 3 15.31 METROPOLITAN TRANSIT 15.32 Section 1. Minnesota Statutes 1994, section 473.388, as 15.33 amended by Laws 1995, chapter 236, section 13, is amended to 15.34 read: 15.35 473.388 [REPLACEMENT SERVICE PROGRAM.] 15.36 Subdivision 1. [PROGRAM ESTABLISHED.] A replacement 16.1 service program is establishedto continue the metropolitan16.2transit service demonstration program established in Minnesota16.3Statutes 1982, section 174.265,as provided in this section. 16.4 Subd. 2. [REPLACEMENT SERVICE; ELIGIBILITY.] (a) The 16.5 councilmayshall provideassistanceavailable local transit 16.6 funds under the program to a statutory or home rule charter city 16.7 or town or combination thereof, that: 16.8(a)(1) is located in the metropolitan transit taxing 16.9 district; 16.10(b)(2) is not served by the council bus service or is 16.11 served only with council bus routes which begin or end within 16.12 the applying city or town or combination thereof; and 16.13(c)(3) has fewer than four scheduled runs of council bus 16.14 service during off-peak hours defined in section 473.408, 16.15 subdivision 1. 16.16 (b) Eligible cities or towns or combinations thereof may 16.17 apply on behalf of a transit operator with whom they propose to 16.18 contract for service. 16.19 (c) The council may not provideassistanceavailable local 16.20 transit funds under this section to a statutory or home rule 16.21 charter city or town unless the city or town,: 16.22(i)(1) was receivingassistance under Minnesota Statutes16.231982, section 174.265 by July 1, 1984,16.24(ii) had submittedfunds on July 1, 1996; or 16.25 (2) after July 1, 1996, submits an initial applicationfor16.26assistance under that section by July 1, 1984, or16.27(iii) had submitted a letter of intent to apply for16.28assistance under that section by July 1, 1984, and submits an16.29application for assistance under this section by July 1, 1988.16.30A statutory or home rule charter city or town has an additional16.3112-month extension if it notified the former regional transit16.32board before July 1, 1988, that the city or town is in the16.33process of completingto use available local transit funds and a 16.34 transportation evaluation study that includes an assessment of 16.35 the local transit needs of the city or town. 16.36 Subd. 3. [APPLICATION FORASSISTANCEUSE OF LOCAL TRANSIT 17.1 FUNDS.] An application forassistancethe use of local transit 17.2 funds under this section must be submitted annually and must: 17.3(a)(1) in an initial application, describetheany 17.4 existing transit service provided to the applicant by the 17.5 council, including the estimated number of passengers carried 17.6 and the routes, schedules, and fares, if any; 17.7(b)(2) describe the transit service proposed for funding 17.8 underthe demonstrationthis program, including the anticipated 17.9 number of passengers and the routes, schedules, and fares; and 17.10(c)(3) indicate the total amount of available local 17.11 transit funds, the portion of the available local transit funds 17.12 proposed to be used tosubsidizeprovide replacement transit 17.13 services, any amount requested from the applicant's reserve 17.14 account, and the amount of other assistance requested from the 17.15 council for the replacement services. 17.16 Subd. 4. [FINANCIAL ASSISTANCEPROVISION OF FUNDS.] (a) 17.17 The councilmay grantshall provide the requestedfinancial17.18assistanceavailable local transit funds for capital and 17.19 operating costs if it determines that the proposed service is 17.20 intended to replace the service, if any, to the applying city or 17.21 town or combination thereof by the council and that the proposed 17.22 service will (i) meetthe needs of the applicant at least as17.23efficiently and effectively as the existing serviceminimum 17.24 performance standards that are regional and equitable and 17.25 established in agreement by and between the local transit 17.26 providers and the council pursuant to section 473.375, 17.27 subdivision 14, and (ii) is consistent with the council's 17.28 transportation policy plan and the ability of the regional 17.29 transit system to serve the region. 17.30 The amount of assistance which the council may provide 17.31 under this section may not exceed the sum of: 17.32(a)(1) the portion of the available local transit funds 17.33 which the applicant proposes to use to subsidize the proposed 17.34 service; and 17.35(b)(2) an amount of financial assistance bearing an 17.36 identical proportional relationship to the amount under 18.1 clause(a)(1) as the total amount of funds used by the council 18.2 to fund its transit operations bears to the total amount of 18.3 taxes collected by the council under section 473.446. The 18.4 council shall pay the amount to be provided to the recipient 18.5 from the funds the council would otherwise use to fund its 18.6 transit operations. 18.7 (b) For purposes of this section, "available local transit 18.8 funds" means 90 percent of the tax revenues which would accrue 18.9 to the council from the tax it levies under section 473.446 in 18.10 the applicant city or town or combination thereof. 18.11 (c) For purposes of this section, "tax revenues" in the 18.12 city or town means the sum of the following: 18.13 (1) the nondebt spread levy, which is the total of the 18.14 taxes extended by application of the local tax rate for nondebt 18.15 purposes on the taxable net tax capacity; 18.16 (2) the portion of the fiscal disparity distribution levy 18.17 under section 473F.08, subdivision 3, attributable to nondebt 18.18 purposes; and 18.19 (3) the portion of the homestead credit and agricultural 18.20 credit aid and disparity reduction aid amounts under section 18.21 273.1398, subdivisions 2 and 3, attributable to nondebt purposes. 18.22 Tax revenues do not include the state feathering 18.23 reimbursement under section 473.446. 18.24 Subd. 5. [OTHER ASSISTANCE.] A city or town receiving 18.25 assistance under this section may also receive assistance from 18.26 the council under section 473.384. In applying for assistance 18.27 under that section an applicant must describe the portion of the 18.28 available local transit funds which are not obligated to 18.29 subsidize replacement service and which the applicant proposes 18.30 to use to subsidize additional service. An applicant which has 18.31 exhausted its available local transit funds may use any other 18.32 local subsidy funds to complete the required local share. 18.33 Sec. 2. [EFFECTIVE DATE.] 18.34 Section 1 is effective July 1, 1996. 18.35 ARTICLE 4 18.36 PREVAILING WAGE 19.1 Section 1. Minnesota Statutes 1994, section 177.42, 19.2 subdivision 4, is amended to read: 19.3 Subd. 4. [PREVAILING HOURS OF LABOR.] "Prevailing hours of 19.4 labor" means the median number of hours of laborper day andper 19.5 week workedwithin the areabya larger number ofworkers of the 19.6 same classthan areemployed within the areafor any other19.7number of hours per day and per week. The prevailing hours of 19.8 labor may not be more thaneight hours per day or more than40 19.9 hours per week. 19.10 Sec. 2. Minnesota Statutes 1994, section 177.42, 19.11 subdivision 6, is amended to read: 19.12 Subd. 6. [PREVAILING WAGE RATE.] "Prevailing wage rate" 19.13 means thehourly basic rate of pay plus the contribution for19.14health and welfare benefits, vacation benefits, pension19.15benefits, and any other economic benefit paid to the largest19.16number ofmedian hourly compensation paid to workers engaged in 19.17 the same class of labor within the areaand includes, for the19.18purposes of section 177.44, rental rates for truck hire paid to19.19those who own and operate the truck. The median hourly 19.20 compensation includes the hourly basic rate plus the 19.21 contribution for health and welfare benefits, vacation benefits, 19.22 pension benefits, and any other economic benefit. The 19.23 prevailing wage rate may not be less than a reasonable and 19.24 living wage. All economic benefits paid to or dedicated for the 19.25 benefit of workers engaged in the same class of labor, whether 19.26 pursuant to a qualified or other formal benefit plan, or paid or 19.27 dedicated by the employer for the benefit of the worker in any 19.28 other manner, must be included in the median hourly compensation 19.29 for the purposes of sections 177.41 to 177.44. 19.30 Sec. 3. Minnesota Statutes 1994, section 177.43, 19.31 subdivision 1, is amended to read: 19.32 Subdivision 1. [HOURS OF LABOR.] Any contract which 19.33 provides for a project must state that: 19.34 (1) no laborer or mechanic employed directly on the project 19.35 work site by the contractor or any subcontractor, agent, or 19.36 other person doing or contracting to do all or a part of the 20.1 work of the project, is permitted or required to work more hours 20.2 than the prevailing hours of labor unless paid for all hours in 20.3 excess of the prevailing hours at a rate of at least 1-1/2 times 20.4 the hourly basic rate of pay, provided that the rate is only 20.5 paid on hours actually worked in excess of 40 per week; and 20.6 (2) a laborer or mechanic may not be paid a lesser rate of 20.7 wages than the prevailing wage rate in the same or most similar 20.8 trade or occupation in the area. 20.9 Sec. 4. Minnesota Statutes 1994, section 177.43, 20.10 subdivision 3, is amended to read: 20.11 Subd. 3. [SPECIFICATION, REQUEST FOR PROPOSAL, AND 20.12 CONTRACT REQUIREMENTS.] The specification or request for 20.13 proposal and the contract must specifically state the prevailing 20.14 wage rates, prevailing hours of labor, and hourly basic rates of 20.15 pay. The prevailing wage rate is not required to be paid if the 20.16 prevailing wage rate has not been expressly included in the 20.17 specification or request for proposal and in the contract 20.18 pertaining to the project on which the prevailing wage rate is 20.19 sought to be paid. A prevailing wage rate provided in a 20.20 specification or request for proposal and in the contract must 20.21 be applicable for the duration of the contract or the project 20.22 covered by the contract, whichever is greater, irrespective of 20.23 any change in the rate for the same class of labor affecting 20.24 other contracts or projects. 20.25 Sec. 5. [177.431] [SURVEY REQUIREMENTS.] 20.26 The prevailing wage rate may be determined for an area only 20.27 if wage rates are reported for nonpublic work in the class of 20.28 labor during the survey period. The prevailing wage rate must 20.29 not be determined by use of data from adjoining areas or by use 20.30 of data from any source other than that of an employer of 20.31 workers actually performing work in the class in the area during 20.32 the survey period. 20.33 Sec. 6. [177.432] [NONAPPLICATION TO INDEPENDENT 20.34 CONTRACTOR.] 20.35 Prevailing wage rates are not required to be paid to any 20.36 provider of services who is a signatory to an independent 21.1 contractor agreement unless the person has been finally 21.2 determined, after an evidentiary hearing, to be an employee 21.3 rather than an independent contractor under the rules for 21.4 determination of employee and independent contractor status of 21.5 the United States Internal Revenue Service. 21.6 Sec. 7. [177.433] [METHOD OF COLLECTION OF SURVEY DATA.] 21.7 The commissioner of the department of economic security 21.8 shall require that all employers of construction workers provide 21.9 quarterly wage reports under section 268.121 in a form which 21.10 details the wages paid to each class of construction labor by 21.11 individual project, county in which the work is performed, class 21.12 of labor by individual employee, hours of labor, and the total 21.13 cost or value of all economic benefits paid ancillary to wage 21.14 payments. The economic benefits may not be deemed to be subject 21.15 to the payment of unemployment compensation contributions. The 21.16 information required in this section shall be reported to the 21.17 commissioner of labor and industry for the purpose of 21.18 determining the prevailing wage rate under sections 177.43, 21.19 subdivision 4, and 177.44, subdivision 4. 21.20 Sec. 8. Minnesota Statutes 1994, section 471.345, 21.21 subdivision 7, is amended to read: 21.22 Subd. 7. [MINIMUM LABOR STANDARDS.] Nothing in this 21.23 section shall be construed to prohibit any municipality from 21.24 adoptingrules, regulations, or ordinances which establishthe 21.25 prevailing wage rate as defined in section 177.42, as a minimum 21.26 standard for wages and which establish the hours and working 21.27 conditions prevailing for thelargest number ofworkers engaged 21.28 in the same class of labor within the area as a minimum standard 21.29 for a contractor's employees which must be agreed to by any 21.30 contractor before the contractor may be awarded any contract for 21.31 the furnishing of any labor, material, supplies, or service. 21.32 ARTICLE 5 21.33 HIGHWAY SPEED LIMITS 21.34 Section 1. Minnesota Statutes 1994, section 169.14, 21.35 subdivision 2, is amended to read: 21.36 Subd. 2. [SPEED LIMITS.] (a) Except wherenoa special 22.1 hazard exists that requires a lower speed in compliance with 22.2 subdivision 1, the following speeds shall be lawful, but any 22.3 speeds in excess of such limits shall be prima facie evidence 22.4 that the speed is not reasonable or prudent and that it is 22.5 unlawful; except that the speed limit in clauses (2) and (3) and 22.6 a speed limit within any municipality shall be a maximum limit 22.7 and any speed in excess thereof shall be unlawful: 22.8 (1) 30 miles per hour in an urban district; 22.9 (2) 70 miles per hour on any interstate highway outside the 22.10 limits of any urbanized area with a population of greater than 22.11 50,000 as defined by order of the commissioner of 22.12 transportation; 22.13 (3) 65 miles per hour on other interstate highways, and on 22.14 any expressway other than an interstate highway, in other 22.15 locations during the daytime; 22.16(3)(4) 60 miles per hour in other locations during the 22.17 daytime; 22.18 (5) 55 miles per hour in such other locations during the 22.19 nighttime; 22.20(4)(6) ten miles per hour in alleys; and 22.21(5)(7) 25 miles per hour in residential roadways if 22.22 adopted by the road authority having jurisdiction over the 22.23 residential roadway. 22.24 (b) A speed limit adopted under paragraph (a), 22.25 clause(5)(7), is not effective unless the road authority has 22.26 erected signs designating the speed limit and indicating the 22.27 beginning and end of the residential roadway on which the speed 22.28 limit applies. 22.29 (c) For purposes of this subdivision: 22.30 (1) "Daytime" means from a half hour before sunrise to a 22.31 half hour after sunset, except at any time when due to weather 22.32 or other conditions there is not sufficient light to render 22.33 clearly discernible persons and vehicles at a distance of 500 22.34 feet. 22.35 (2) "Nighttime" means at any other hour or at any time when 22.36 due to weather or other conditions there is not sufficient light 23.1 to render clearly discernible persons and vehicles at a distance 23.2 of 500 feet. 23.3 (3) "Expressway" means a highway with physically separated 23.4 roadways, each of which contains at least two lanes for 23.5 motorized vehicles. 23.6 Sec. 2. Minnesota Statutes 1994, section 169.14, is 23.7 amended by adding a subdivision to read: 23.8 Subd. 10a. [PHOTO-RADAR EVIDENCE.] (a) In a prosecution in 23.9 which evidence of the speed as indicated on radar or other 23.10 speed-measuring device is admitted, evidence of the identity of 23.11 the vehicle as indicated by a photograph of the vehicle taken by 23.12 a camera electronically linked to the speed-measuring device may 23.13 be admitted under the following conditions: 23.14 (1) the photograph shows the vehicle with sufficient 23.15 clarity to identify the vehicle's license plate number; 23.16 (2) the photograph has recorded the date, time, and 23.17 location of the violation; 23.18 (3) the photograph is accompanied by testimony, given by a 23.19 peace officer who was present at the time of the violation and 23.20 was operating the speed-measuring device and camera, to the 23.21 effect that the photograph is a fair and accurate depiction of 23.22 the vehicle; and 23.23 (4) the operation of the radar or speed-measuring device 23.24 used in connection with the operation of the camera complied 23.25 with subdivision 10. 23.26 (b) Notwithstanding any other law, a citation for a 23.27 violation of this section, which is recorded by a camera 23.28 electronically linked to the speed-measuring device, may be 23.29 issued by mailing the citation to the registered owner of the 23.30 vehicle by registered mail. 23.31 (c) In any prosecution in which photographic evidence is 23.32 admitted under paragraph (a), there is a rebuttable presumption 23.33 that the registered owner of the vehicle shown in the photograph 23.34 was the operator of the vehicle at the time of the violation. 23.35 Such a presumption may be rebutted by evidence that identifies 23.36 another person as the operator of the vehicle at the time of the 24.1 violation. 24.2 (d) Photographic evidence described in paragraph (a) may 24.3 only be admitted when the evidence was gathered as part of the 24.4 photo-radar demonstration project authorized under section 3. 24.5 Sec. 3. [PHOTO-RADAR DEMONSTRATION PROJECT.] 24.6 Subdivision 1. [PROJECT AUTHORIZED.] The commissioner of 24.7 public safety shall conduct a project to demonstrate automated 24.8 speed limit enforcement through the use of photo-radar on 24.9 interstate highways within the metropolitan area. The 24.10 commissioner shall conduct the demonstration project in such a 24.11 way that it tests the efficiency, reliability, and 24.12 cost-effectiveness of photo-radar in a representative sampling 24.13 of highway, traffic, and weather conditions. The commissioner 24.14 shall conduct the pilot project only with photo-radar equipment 24.15 that is operated directly by a member of the state patrol. 24.16 Subd. 2. [TIME LIMIT; REPORT.] The commissioner shall 24.17 complete the demonstration project by June 30, 1998. The 24.18 commissioner shall report to the legislature and governor on the 24.19 results of the demonstration project by January 1, 1999. 24.20 Sec. 4. [REPEALER.] 24.21 Minnesota Statutes 1994, section 169.141, is repealed. Any 24.22 order of the commissioner of transportation issued under that 24.23 section is void. 24.24 ARTICLE 6 24.25 MOTOR CARRIER REGULATION 24.26 Section 1. Minnesota Statutes 1995 Supplement, section 24.27 15A.081, subdivision 1, is amended to read: 24.28 Subdivision 1. [SALARY RANGES.] The governor shall set the 24.29 salary rate within the ranges listed below for positions 24.30 specified in this subdivision, upon approval of the legislative 24.31 coordinating commission and the legislature as provided by 24.32 section 3.855: 24.33 Salary Range 24.34 $57,500-$78,500 24.35 Commissioner of finance; 24.36 Commissioner of children, families, and learning; 25.1 Commissioner of transportation; 25.2 Commissioner of human services; 25.3 Commissioner of revenue; 25.4 Commissioner of public safety; 25.5 Executive director, state board of investment; 25.6 $50,000-$67,500 25.7 Commissioner of administration; 25.8 Commissioner of agriculture; 25.9 Commissioner of commerce; 25.10 Commissioner of corrections; 25.11 Commissioner of economic security; 25.12 Commissioner of employee relations; 25.13 Commissioner of health; 25.14 Commissioner of labor and industry; 25.15 Commissioner of natural resources; 25.16 Commissioner of trade and economic development; 25.17 Chief administrative law judge; office of administrative 25.18 hearings; 25.19 Commissioner, pollution control agency; 25.20 Director, office of environmental assistance; 25.21 Commissioner, housing finance agency; 25.22 Executive director, public employees retirement 25.23 association; 25.24 Executive director, teacher's retirement association; 25.25 Executive director, state retirement system; 25.26 $42,500-$60,000 25.27 Commissioner of human rights; 25.28 Commissioner, department of public service; 25.29 Commissioner of veterans affairs; 25.30 Commissioner, bureau of mediation services; 25.31 Commissioner, public utilities commission; 25.32Member, transportation regulation board;25.33 Ombudsman for corrections; 25.34 Ombudsman for mental health and retardation. 25.35 Sec. 2. Minnesota Statutes 1994, section 174A.01, is 25.36 amended by adding a subdivision to read: 26.1 Subd. 2a. [TERM OF OFFICE; EXPIRATION; 26.2 APPOINTMENT.] Notwithstanding subdivision 2, the terms of all 26.3 members of the board serving on June 30, 1996, expire on that 26.4 date. By June 30, 1996, the governor shall appoint three new 26.5 members to the board, of whom one shall serve a term of two 26.6 years, one shall serve a term of four years, and one shall serve 26.7 a term of six years. Thereafter all members shall be appointed 26.8 for a six-year term. 26.9 Sec. 3. Minnesota Statutes 1994, section 174A.01, is 26.10 amended by adding a subdivision to read: 26.11 Subd. 6. [SALARY.] Board members shall be paid a salary 26.12 equal to one-half the salary paid to members of the public 26.13 utilities commission under section 15A.01, subdivision 1. 26.14 Sec. 4. Minnesota Statutes 1994, section 221.121, 26.15 subdivision 6a, is amended to read: 26.16 Subd. 6a. [HOUSEHOLD GOODS CARRIER.] A person who desires 26.17 to hold out or to operate as a carrier of household goods shall 26.18 follow the procedure established in subdivision 1, and shall 26.19 specifically request a household goods mover permit. The board 26.20 shall issue the permit if it finds that the petitioner is fit 26.21 and able to conduct the proposed operations and that the 26.22 petitioner's vehicles meet the safety standards established by 26.23 the department. The permitgranted by the board to a person who26.24meets the criteria established in this subdivision and26.25subdivision 1 shall authorizeauthorizes the person to hold out 26.26 and to operate as a household goods mover. A person who 26.27 provides or offers to provide household goods packing services 26.28 and who makes any arrangement directly or indirectly by lease, 26.29 rental, referral, or by other means to provide or to obtain 26.30 drivers, vehicles, or transportation service for moving 26.31 household goods, must have a household goods mover permit. 26.32 Sec. 5. [221.173] [HOUSEHOLD GOODS MOVERS; ESTIMATES.] 26.33 Subdivision 1. [BINDING ESTIMATES ALLOWED; WHEN REQUIRED.] 26.34 A household goods mover may provide, in its tariff, for giving a 26.35 binding estimate to a shipper of the costs a shipper will be 26.36 required to pay for services described in the estimate. If a 27.1 shipper requests a binding estimate under subdivision 2, a 27.2 household goods mover may not provide the service without giving 27.3 the shipper a binding estimate before the transportation begins. 27.4 Subd. 2. [REQUEST BY SHIPPER; RESPONSE.] A shipper may 27.5 request a binding estimate from a household goods mover. A 27.6 request must be in writing. If a household goods mover agrees 27.7 to give a binding estimate in response to a shipper's request, 27.8 it shall inform the shipper of its charges, as shown in its 27.9 tariff, for giving a binding estimate, including its charge for 27.10 making an inventory of the household goods to be transported. A 27.11 binding estimate must be based on a written inventory after an 27.12 on-site inspection of the goods to be moved. 27.13 Subd. 3. [DOCUMENTATION.] A binding estimate may be given 27.14 verbally to a shipper by reading it over the telephone, but the 27.15 writing must be given to the shipper before the transportation 27.16 is scheduled to begin. The writing must clearly show that the 27.17 estimate is binding on the household goods mover and must 27.18 accurately describe the shipment and the services to be provided. 27.19 The writing also must show all transportation and incidental 27.20 charges. A household goods mover shall keep a binding estimate 27.21 as part of the shipping record required in section 221.172. 27.22 Subd. 4. [MAXIMUM CHARGE; DELIVERY OF SHIPMENT.] If a 27.23 household goods mover gives a binding estimate to a shipper, it 27.24 shall not charge or collect more than 110 percent of the total 27.25 estimate. Unless a shipment is delivered to a warehouse for 27.26 storage at the request of a shipper, at the time of delivery of 27.27 a collect-on-delivery shipment, a household goods mover shall 27.28 relinquish possession of a shipment to the shipper when the 27.29 shipper tenders payment of an amount not more than 110 percent 27.30 of the amount specified in the binding estimate. Payment may be 27.31 tendered by cash, money order, or certified check. 27.32 Subd. 5. [WHEN ESTIMATES NOT BINDING.] An estimate given 27.33 to a shipper by a household goods mover under this section is 27.34 not binding with respect to the value of any item of 27.35 extraordinary value, as defined by rule of the board, if the 27.36 shipper failed to declare and identify the value of the item to 28.1 the household goods mover before the household goods mover gave 28.2 the estimate to the shipper. 28.3 Sec. 6. [REPEALER.] 28.4 Laws 1994, chapter 248, article 7, section 3, is repealed. 28.5 Sec. 7. [EFFECTIVE DATE.] 28.6 Sections 1 to 6 are effective July 1, 1996.