HF 3

2nd Engrossment - 91st Legislature, 2020 2nd Special Session (2020 - 2020) Posted on 07/22/2020 09:05am

A bill for an act
relating to public finance; providing for stimulus measures to counter the economic
impact of the COVID-19 pandemic; authorizing spending to acquire and better
public land and buildings and for other improvements of a capital nature with
certain conditions; modifying prior appropriations; establishing new programs and
modifying existing programs; authorizing the sale and issuance of state bonds;
modifying provisions for property taxes, local government aids, individual and
corporate franchise taxes, sales and use taxes, lawful gambling taxes, and other
miscellaneous taxes and tax provisions; modifying the referendum equalization
levy; providing for certain property tax classification; providing local government
aid penalty forgiveness; modifying and providing for certain additions and
subtractions for the individual income and corporate franchise taxes; making the
student loan credit refundable; modifying sales and use tax exemptions; providing
provisions related to partnership audits; modifying lawful gambling taxes;
modifying the workforce and affordable homeownership development program;
making other minor policy, technical, and conforming changes; making transfers;
appropriating money; amending Minnesota Statutes 2018, sections 16A.641, by
adding a subdivision; 16B.86; 16B.87; 41B.025, by adding a subdivision;
115A.0716; 123B.53, subdivisions 1, 4; 126C.63, subdivision 8; 126C.66,
subdivision 3; 126C.69, as amended; 126C.71; 134.45, subdivision 5; 137.61;
137.62, subdivision 2, by adding a subdivision; 137.63; 137.64; 270C.445,
subdivision 6; 272.02, by adding a subdivision; 273.13, subdivision 25; 289A.31,
subdivision 1; 289A.37, subdivision 2; 289A.38, subdivisions 8, 9, 10; 289A.42;
289A.60, subdivision 24; 290.0131, subdivision 10; 290.0132, by adding a
subdivision; 290.0133, subdivision 12; 290.0682, subdivision 2; 297A.70,
subdivision 13; 297E.02, subdivision 6, as amended; 297E.021, subdivision 2;
297F.17, subdivision 6; 297G.16, subdivision 7; 349.15, subdivision 1; 349.151,
subdivision 4; 363A.36, by adding a subdivision; 363A.44, subdivision 1; 462A.37,
subdivision 1, by adding a subdivision; 462A.38, as amended; 469.319, subdivision
4; 473.4052, subdivision 4; Minnesota Statutes 2019 Supplement, sections 16A.968,
subdivision 3; 126C.17, subdivision 6; 273.13, subdivision 34; 289A.38, subdivision
7; 290.31, subdivision 1; 290.993; 297A.71, subdivision 52; 462A.37, subdivisions
2, 5; Laws 2008, chapter 179, section 18, subdivision 3, as amended; Laws 2014,
chapter 294, article 1, section 7, subdivision 11, as amended; Laws 2015, First
Special Session chapter 5, article 1, sections 10, subdivision 7, as amended; 13;
Laws 2017, First Special Session chapter 8, article 1, sections 15, subdivisions 3,
as amended, 4; 18, subdivision 3; 20, subdivision 21, as amended; Laws 2018,
chapter 214, article 1, sections 2, subdivision 6; 7, subdivision 1; 16, subdivision
19; 21, subdivisions 1, 18, 26, 28, as amended, 29; Laws 2019, First Special Session
chapter 11, article 6, section 7, subdivision 2, as amended; proposing coding for
new law in Minnesota Statutes, chapters 16A; 116J; 174; 240A; 289A; repealing
Minnesota Statutes 2018, sections 16A.633, subdivision 4; 126C.65, subdivision
2; 126C.68, subdivisions 1, 2, 4; Minnesota Statutes 2019 Supplement, section
126C.68, subdivision 3.

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

ARTICLE 1

GENERAL OBLIGATION BONDS

Section 1. new text begin CAPITAL IMPROVEMENT APPROPRIATIONS. new text end

new text begin The sums shown in the column under "Appropriations" are appropriated from the bond
proceeds 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 XI, section 5, clause (a), to acquire and better public
land and buildings and other public improvements of a capital nature, or as authorized by
the Minnesota Constitution, article XI, section 5, clauses (b) to (j), or article XIV. Unless
otherwise specified, money appropriated in this act:
new text end

new text begin (1) may be used to pay state agency staff costs that are attributed directly to the capital
program or project in accordance with accounting policies adopted by the commissioner of
management and budget;
new text end

new text begin (2) is available until the project is completed or abandoned subject to Minnesota Statutes,
section 16A.642;
new text end

new text begin (3) for activities under Minnesota Statutes, sections 16B.307, 84.946, and 135A.046,
should not be used for projects that can be financed within a reasonable time frame under
Minnesota Statutes, section 16B.322 or 16C.144; and
new text end

new text begin (4) is available for a grant to a political subdivision after the commissioner of management
and budget determines that an amount sufficient to complete the project as described in this
act has been committed to the project, as required by Minnesota Statutes, section 16A.502.
new text end

new text begin APPROPRIATIONS new text end

Sec. 2. new text begin UNIVERSITY OF MINNESOTA 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 85,381,000 new text end

new text begin To the Board of Regents of the University of
Minnesota for the purposes specified in this
section.
new text end

new text begin Subd. 2. new text end new text begin Higher Education Asset Preservation and Replacement (HEAPR) new text end

new text begin 48,495,000 new text end

new text begin To be spent in accordance with Minnesota
Statutes, section 135A.046.
new text end

new text begin Subd. 3. new text end new text begin Twin Cities - Institute of Child Development Building new text end

new text begin 29,200,000 new text end

new text begin To predesign, design, renovate, expand,
furnish, and equip research, learning, and
outreach spaces in the Institute of Child
Development building on the Twin Cities
campus. This project includes the demolition
and replacement of the 1968 building addition.
new text end

new text begin Subd. 4. new text end new text begin Duluth - A.B. Anderson Hall Renovation new text end

new text begin 4,400,000 new text end

new text begin To predesign, design, renovate, furnish, and
equip campus teaching and learning spaces,
including mechanical systems, in A.B.
Anderson Hall on the Duluth campus.
new text end

new text begin Subd. 5. new text end new text begin Twin Cities - Fraser Hall Chemistry Undergraduate Teaching Laboratory new text end

new text begin 3,286,000 new text end

new text begin To predesign and design (1) the renovation of
Fraser Hall, and (2) an addition to Fraser Hall,
for an undergraduate chemistry teaching
laboratory facility on the Twin Cities campus.
This project includes design of the demolition
of obsolete portions of Fraser Hall.
new text end

new text begin Subd. 6. new text end new text begin University Share new text end

new text begin Except for the appropriations for HEAPR, the
appropriations in this section are intended to
cover approximately two-thirds of the cost of
each project. The remaining costs must be paid
from university sources.
new text end

new text begin Subd. 7. new text end new text begin Unspent Appropriations new text end

new text begin Upon substantial completion of a project
authorized in this section and after written
notice to the commissioner of management
and budget, the Board of Regents must use
any money remaining in the appropriation for
that project for HEAPR under Minnesota
Statutes, section 135A.046. The Board of
Regents must report by February 1 of each
even-numbered year to the chairs of the house
of representatives and senate committees with
jurisdiction over capital investment and higher
education finance, and to the chairs of the
house of representatives Ways and Means
Committee and the senate Finance Committee,
on how the remaining money has been
allocated or spent.
new text end

Sec. 3. new text begin MINNESOTA STATE COLLEGES AND UNIVERSITIES 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 92,010,000 new text end

new text begin To the Board of Trustees of the Minnesota
State Colleges and Universities for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Higher Education Asset Preservation and Replacement (HEAPR) new text end

new text begin 74,103,000 new text end

new text begin To be spent in accordance with Minnesota
Statutes, section 135A.046.
new text end

new text begin Subd. 3. new text end new text begin Anoka-Ramsey Community College new text end

new text begin 16,282,000 new text end

new text begin To design, renovate, and equip the business
and nursing building at Anoka-Ramsey
Community College, Coon Rapids campus.
new text end

new text begin Subd. 4. new text end new text begin Minneapolis Community and Technical College new text end

new text begin 990,000 new text end

new text begin To design phases 1 and 2 of the Management
Education Center shared with Metropolitan
State University on the Minneapolis
Community and Technical College campus to
support baccalaureate programming
expansion.
new text end

new text begin Subd. 5. new text end new text begin Pine Technical and Community College new text end

new text begin 635,000 new text end

new text begin To design the renovation of the main building
allied health space and an addition of the
technical trade and applied learning labs at
Pine Technical and Community College.
new text end

new text begin Subd. 6. new text end new text begin Debt Service new text end

new text begin (a) Except as provided in paragraph (b), the
Board of Trustees shall pay the debt service
on one-third of the principal amount of state
bonds sold to finance projects authorized by
this section. After each sale of general
obligation bonds, the commissioner of
management and budget shall notify the board
of the amounts assessed for each year for the
life of the bonds.
new text end

new text begin (b) The board need not pay debt service on
bonds sold to finance HEAPR. Where a
nonstate match is required, the debt service is
due on a principal amount equal to one-third
of the total project cost, less the match
committed before the bonds are sold.
new text end

new text begin (c) The commissioner of management and
budget shall reduce the board's assessment
each year by one-third of the net income from
investment of general obligation bond
proceeds in proportion to the amount of
principal and interest otherwise required to be
paid by the board. The board shall pay its
resulting net assessment to the commissioner
of management and budget by December 1
each year. If the board fails to make a payment
when due, the commissioner of management
and budget shall reduce allotments for
appropriations from the general fund otherwise
available to the board and apply the amount
of the reduction to cover the missed debt
service payment. The commissioner of
management and budget shall credit the
payments received from the board to the bond
debt service account in the state bond fund
each December 1 before money is transferred
from the general fund under Minnesota
Statutes, section 16A.641, subdivision 10.
new text end

new text begin Subd. 7. new text end new text begin Unspent Appropriations new text end

new text begin (a) Upon substantial completion of a project
authorized in this section and after written
notice to the commissioner of management
and budget, the board must use any money
remaining in the appropriation for that project
for HEAPR under Minnesota Statutes, section
135A.046. The Board of Trustees must report
by February 1 of each even-numbered year to
the chairs of the house of representatives and
senate committees with jurisdiction over
capital investment and higher education
finance and to the chairs of the house of
representatives Ways and Means Committee
and the senate Finance Committee, on how
the remaining money has been allocated or
spent.
new text end

new text begin (b) The unspent portion of an appropriation
for a project in this section that is complete is
available for HEAPR under this subdivision,
at the same campus as the project for which
the original appropriation was made and the
debt service requirement under this section is
reduced accordingly. Minnesota Statutes,
section 16A.642, applies from the date of the
original appropriation to the unspent amount
transferred.
new text end

Sec. 4. new text begin EDUCATION 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 2,951,000 new text end

new text begin To the commissioner of education for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Library Construction Grants new text end

new text begin 2,951,000 new text end

new text begin For library construction grants under
Minnesota Statutes, section 134.45.
new text end

Sec. 5. new text begin MINNESOTA STATE ACADEMIES 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 6,830,000 new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 1,000,000 new text end

new text begin For capital asset preservation improvements
and betterments on both campuses of the
Minnesota State Academies, to be spent in
accordance with Minnesota Statutes, section
16B.307.
new text end

new text begin Subd. 3. new text end new text begin Safety Corridor new text end

new text begin 5,830,000 new text end

new text begin To design, construct, furnish, and equip a
safety corridor on the Minnesota State
Academy for the Deaf campus, including but
not limited to abatement of asbestos and
hazardous materials, construction, and
renovations necessary to establish a central
point of access, a reception and visitor area,
and security monitoring with connections to
Smith, Quinn, and Noyes Halls. This
appropriation also includes money to
predesign, design, renovate, furnish, and equip
Smith and Quinn Halls, including but not
limited to abatement of asbestos and hazardous
materials, interior space, restrooms, offices,
classrooms, science labs, and technology labs.
new text end

Sec. 6. new text begin PERPICH CENTER FOR ARTS EDUCATION 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 750,000 new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 750,000 new text end

new text begin For capital asset preservation improvements
and betterments at the Perpich Center for Arts
Education, to be spent in accordance with
Minnesota Statutes, section 16B.307.
new text end

Sec. 7. new text begin NATURAL RESOURCES 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 96,395,000 new text end

new text begin (a) To the commissioner of natural resources
for the purposes specified in this section.
new text end

new text begin (b) The appropriations in this section are
subject to the requirements of the natural
resources capital improvement program under
Minnesota Statutes, section 86A.12, unless
this section or the statutes referred to in this
section provide more specific standards,
criteria, or priorities for projects than
Minnesota Statutes, section 86A.12.
new text end

new text begin Subd. 2. new text end new text begin Natural Resources Asset Preservation new text end

new text begin 25,000,000 new text end

new text begin (a) For the renovation of state-owned facilities
and recreational assets operated by the
commissioner of natural resources to be spent
in accordance with Minnesota Statutes, section
84.946. Notwithstanding Minnesota Statutes,
section 84.946, the commissioner may use this
appropriation to replace buildings if,
considering the embedded energy in the
building, that is the most energy-efficient and
carbon-reducing method of renovation.
new text end

new text begin (b) $5,000,000 of this appropriation is for the
Soudan mine shaft rehabilitation. The Soudan
mine shaft rehabilitation project is exempt
from using the Designer Selection Board
process as defined in Minnesota Statutes,
section 16B.33, and is exempt from any
requirement for a minimum number of
proposals as set forth in Minnesota Statutes,
section 16C.33, subdivision 5, paragraph (c).
new text end

new text begin Subd. 3. new text end new text begin Flood Hazard Mitigation new text end

new text begin 15,000,000 new text end

new text begin (a) For the state share of flood hazard
mitigation grants for publicly owned capital
improvements to prevent or alleviate flood
damage under Minnesota Statutes, section
103F.161.
new text end

new text begin (b) To the extent practical, levee projects shall
meet the state standard of three feet above the
100-year flood elevation.
new text end

new text begin (c) Project priorities shall be determined by
the commissioner as appropriate, based on
need and consideration of available leveraging
of federal, state, and local funds.
new text end

new text begin (d) This appropriation may be used for projects
in the following municipalities: Afton, Austin,
Breckenridge, Browns Valley, Carver, Delano,
Faribault, Golden Valley, Halstad, Hawley,
Hendrum, Inver Grove Heights, Jordan,
Montevideo, Moorhead, Newfolden,
Nielsville, Owatonna, Round Lake Township
in Jackson County, Sioux Valley Township
in Jackson County, and Waseca.
new text end

new text begin (e) This appropriation also may be used for
projects in the following watershed districts:
Bois de Sioux Watershed District, Buffalo-Red
River Watershed District, Cedar River
Watershed District; Southern Minnesota
Rivers Basin Area II, Lower Minnesota River
Watershed District, Middle Snake Tamarac
Rivers Watershed District, Prior Lake-Spring
Lake Watershed District, Red Lake Watershed
District, Roseau River Watershed District,
Shell Rock River Watershed District, Two
Rivers Watershed District, Upper Minnesota
River Watershed District, and Wild Rice River
Watershed District.
new text end

new text begin (f) For any project listed in this subdivision
that the commissioner determines is not ready
to proceed, does not have the nonstate match
committed, or does not expend all the money
granted to it, the commissioner may allocate
that project's unexpended money to a priority
project on the commissioner's list.
new text end

new text begin (g) To the extent practicable and consistent
with the project, recipients of appropriations
for flood control projects in this subdivision
shall create wetlands that are eligible for
wetland replacement credit to replace wetlands
drained or filled as the result of repair,
reconstruction, replacement, or rehabilitation
of an existing public road under Minnesota
Statutes, section 103G.222, subdivision 1,
paragraphs (l) and (m).
new text end

new text begin (h) To the extent that the cost of a project
exceeds two percent of the median household
income in a municipality or township
multiplied by the number of households in the
municipality or township, this appropriation
is also for the local share of the project.
new text end

new text begin Subd. 4. new text end new text begin Canisteo and Hill Annex Open-Pit Mine Groups new text end

new text begin 2,000,000 new text end

new text begin (a) For predesign, design, and engineering of
projects to mitigate the threat to property,
public safety, and water quality from rising
water levels at the Canisteo and Hill Annex
mine complexes. The commissioner must give
priority to work that addresses the most
immediate risks to public safety. If the
predesign, design, and engineering for the
Canisteo and Hill Annex mine complexes is
complete, the commissioner may use any
remaining money from this appropriation to
construct mitigation measures at the Canisteo
or Hill Annex mine complex.
new text end

new text begin (b) The commissioner, in cooperation with the
Department of Iron Range Resources and
Rehabilitation, Western Mesabi Mine Planning
Board, and Itasca County, shall provide a
status report on this project to the chairs and
ranking minority members of the legislative
committees with jurisdiction over capital
investment and environment and natural
resources finance by October 1, 2020,
February 15, 2021, April 15, 2021, July 1,
2021, and September 1, 2021. This report must
include but is not limited to recommendations
on lease ownership and costs, the findings of
the pit wall stability study, final engineering,
and design work, including cost estimates to
complete the outlet and recommendations on
ownership, operations, and maintenance of
the constructed outlet.
new text end

new text begin Subd. 5. new text end new text begin Dam Renovation, Repair, Removal new text end

new text begin 20,000,000 new text end

new text begin (a) For design, engineering, and construction
to repair, reconstruct, or remove publicly
owned dams and respond to dam safety
emergencies on publicly owned dams. Of this
appropriation, $18,000,000 is for the
reconstruction of the Lake Bronson Dam in
Lake Bronson State Park.
new text end

new text begin (b) The commissioner shall determine project
priorities as appropriate under Minnesota
Statutes, sections 103G.511 and 103G.515. If
the commissioner determines that a project is
not ready to proceed, this appropriation may
be used for other projects on the
commissioner's priority list.
new text end

new text begin Subd. 6. new text end new text begin State Park and Recreation Area Accessibility new text end

new text begin 3,000,000 new text end

new text begin For the predesign, design, and construction of
accessibility improvements at William O'Brien
State Park.
new text end

new text begin Subd. 7. new text end new text begin Lake Vermilion-Soudan Underground Mine State Park new text end

new text begin 5,800,000 new text end

new text begin For the predesign, design, and construction of
a campground and related infrastructure at
Lake Vermilion-Soudan Underground Mine
State Park.
new text end

new text begin Subd. 8. new text end new text begin Shade Tree Program new text end

new text begin 1,000,000 new text end

new text begin For grants to cities, counties, townships, and
park and recreation boards in cities of the first
class, for the removal and the planting of shade
trees on public land to provide environmental
benefits; replace trees lost to forest pests,
disease, or storm; or to establish a more
diverse community forest better able to
withstand disease and forest pests. The
commissioner must give priority to grant
requests to remove and replace trees with
active infestations of emerald ash borer. For
purposes of this appropriation, "shade tree"
means a woody perennial grown primarily for
aesthetic or environmental purposes with
minimal to residual timber value. Any tree
planted with money under this subdivision
must be a climate-adapted species to
Minnesota.
new text end

new text begin Subd. 9. new text end new text begin Forests for the Future new text end

new text begin 1,000,000 new text end

new text begin For the acquisition of lands for the forests for
the future program under Minnesota Statutes,
section 84.66.
new text end

new text begin Subd. 10. new text end new text begin Blazing Star State Trail new text end

new text begin 1,000,000 new text end

new text begin For engineering of all phases, and wetland and
public waters mitigation for the Blazing Star
Trail, under Minnesota Statutes, section
85.015, subdivision 19, between the
communities of Albert Lea and Hayward,
connecting both communities to Myre-Big
Island State Park.
new text end

new text begin Subd. 11. new text end new text begin Camp Ripley; Veterans State Trail new text end

new text begin 1,000,000 new text end

new text begin For construction of the Camp Ripley/Veterans
State Trail under Minnesota Statutes, section
85.015, subdivision 28.
new text end

new text begin Subd. 12. new text end new text begin Heartland State Trail; Detroit Lakes to Frazee Segment new text end

new text begin 2,000,000 new text end

new text begin For land acquisition, final engineering, and
design of the proposed Heartland State Trail
between its current terminus at Becker County
CSAH 10 and Trunk Highway 87 in Frazee,
and for the construction of a trail bridge over
Becker County CSAH 10.
new text end

new text begin Subd. 13. new text end new text begin Heartland State Trail; Itasca State Park Connector new text end

new text begin 2,000,000 new text end

new text begin For final engineering and design of the trail
segment of the Heartland State Trail located
within Itasca State Park and for the
construction of a trail tunnel under Trunk
Highway 71.
new text end

new text begin Subd. 14. new text end new text begin Lake City; Hok-Si-La Park Water and Sewer Extension new text end

new text begin 587,000 new text end

new text begin For a grant to the city of Lake City to design,
engineer, and construct a water and sewer
connection from the city's sewer distribution
and collection point to Hok-Si-La Park.
new text end

new text begin Subd. 15. new text end new text begin Lake City; Ohuta Beach Breakwater new text end

new text begin 1,058,000 new text end

new text begin For a grant to the city of Lake City to design
and construct a breakwater at Ohuta Beach in
Lake City at Ohuta Park.
new text end

new text begin Subd. 16. new text end new text begin Mankato; Riverbank Restoration new text end

new text begin 7,200,000 new text end

new text begin For a grant to the city of Mankato to:
new text end

new text begin (1) stabilize the Minnesota River riverbank in
the Land of Memories Park to reduce erosion
and protect well 15;
new text end

new text begin (2) stabilize the Minnesota River riverbank to
protect Mankato's riverfront, including the
Minnesota River Trail trailhead, and regional
Water Resource Recovery Facility; and
new text end

new text begin (3) install in-channel stream stabilization
infrastructure in Indian Creek to reduce
erosion and improve water quality in the
Minnesota River-Mankato watershed.
new text end

new text begin Subd. 17. new text end new text begin Otter Tail County; Perham to Pelican Rapids Regional Trail new text end

new text begin 1,600,000 new text end

new text begin For a grant to Otter Tail County to construct
the McDonald Lake segment of the Perham
to Pelican Rapids Regional Trail, which goes
from the intersection of County State-Aid
Highway 41 and 440th Street to the
intersection of County State-Aid Highway 34
and County State-Aid Highway 35.
new text end

new text begin Subd. 18. new text end new text begin Rochester; Cascade Park new text end

new text begin 2,500,000 new text end

new text begin For a grant to the city of Rochester to
predesign, design, construct, furnish, and
equip improvements of a capital nature,
including a pavilion, an amphitheater,
performance facilities, picnic shelters,
restroom facilities, play areas, park access,
and landscaping.
new text end

new text begin Subd. 19. new text end new text begin Scott County; McMahon Lake Flood Mitigation new text end

new text begin 600,000 new text end

new text begin For the state share of a flood hazard mitigation
grant to Scott County for publicly owned
capital improvements to prevent or alleviate
flood damage on McMahon Lake under
Minnesota Statutes, section 103F.161.
new text end

new text begin Subd. 20. new text end new text begin Silver Bay; Trailhead Center new text end

new text begin 1,100,000 new text end

new text begin For a grant to the city of Silver Bay to
predesign, design, construct, furnish, and
equip a multimodal trailhead center for the
various hiking, bicycling, snowmobile, and
all-terrain vehicle trails that converge in the
area. The center includes separated trail access
for motorized and nonmotorized users and
open space for trail users, parking, a wayside
rest area, and a new trailhead center building
that includes lavatories and showers.
new text end

new text begin Subd. 21. new text end new text begin St. Louis County; Voyageur Country ATV Trail new text end

new text begin 950,000 new text end

new text begin For a grant to St. Louis County for design,
right-of-way acquisition, and construction of
Phase I of the Voyageur Country ATV Trail
connections in the areas of Orr, Ash River,
Kabetogama Township, and International Falls
to the Voyageur Country ATV Trail system.
new text end

new text begin Subd. 22. new text end new text begin Winona; Mississippi Riverfront Trail new text end

new text begin 2,000,000 new text end

new text begin For a grant under Minnesota Statutes, section
85.019, to the city of Winona to construct a
paved trail from Levee Park to Lions Park
along the Mississippi River in the city of
Winona.
new text end

new text begin Subd. 23. new text end new text begin Unspent Appropriations new text end

new text begin The unspent portion of an appropriation for a
project in this section that is complete, upon
written notice to the commissioner of
management and budget, is available for asset
preservation under Minnesota Statutes, section
84.946. Minnesota Statutes, section 16A.642,
applies from the date of the original
appropriation to the unspent amount
transferred.
new text end

Sec. 8. new text begin POLLUTION CONTROL AGENCY 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 27,146,000 new text end

new text begin To the Pollution Control Agency for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Clay County new text end

new text begin 7,500,000 new text end

new text begin For a grant to Clay County under the solid
waste capital assistance grant program under
Minnesota Statutes, section 115A.54, in order
to acquire land, design, construct, renovate,
and equip a new resource recovery campus
consisting of a new solid waste transfer station
and problem materials management facility.
new text end

new text begin Subd. 3. new text end new text begin Dakota and Scott Counties new text end

new text begin 2,000,000 new text end

new text begin For a capital assistance grant under Minnesota
Statutes, sections 115A.54 to 115A.541, to
Dakota County or Scott County to acquire
land, design, and engineer a new regional
household hazardous waste collection and
recycling facility to be located at a site in
Dakota County or Scott County that best
supports access needs for the residents of
Dakota and Scott Counties. This is phase 1 of
the project.
new text end

new text begin Subd. 4. new text end new text begin Pope-Douglas; Solid Waste Facility new text end

new text begin 5,000,000 new text end

new text begin For a grant to the Pope-Douglas Solid Waste
Management Joint Powers Board under the
solid waste capital assistance grant program
under Minnesota Statutes, section 115A.54.
This appropriation may be used to design,
construct, and equip a new organics
composting facility in Douglas County; and
to design, construct, and equip a new
environmental learning center in Alexandria
for problem materials recycling and disposal
of household hazardous waste. This
appropriation may also be used to acquire land
and for demolition costs associated with the
projects described in this section and is
intended to replace outdated public facilities
and infrastructure to serve the recycling and
composting needs of Douglas, Pope, Otter
Tail, Grant, Stevens, Stearns, Benton, and
Sherburne Counties. This is phase 1 of the
project.
new text end

new text begin Subd. 5. new text end new text begin Ramsey-Washington new text end

new text begin 7,000,000 new text end

new text begin For a grant to Ramsey County under the solid
waste capital assistance grant program under
Minnesota Statutes, section 115A.54, in order
to design, construct, furnish, and equip the
expansion of and upgrades to the
Ramsey/Washington Recycling and Energy
facility, jointly owned by Ramsey and
Washington Counties, located on Red Rock
Road in Newport. The project includes
engineering and the acquisition and installation
of major equipment to process organics and
increase recycling of plastics, cardboard, and
metals.
new text end

new text begin Subd. 6. new text end new text begin Brookston; Closed Landfill Cleanup new text end

new text begin 1,330,000 new text end

new text begin To design and construct remedial systems and
acquire land at closed landfills throughout the
state in accordance with the closed landfill
program under Minnesota Statutes, sections
115B.39 to 115B.42. The agency must follow
the agency priorities, which includes a
construction project at the Brookston Area
Landfill.
new text end

new text begin Subd. 7. new text end new text begin Coon Rapids new text end

new text begin 316,000 new text end

new text begin For a grant to the city of Coon Rapids under
the solid waste capital assistance grants
program in Minnesota Statutes, section
115A.54, for expanding and improving the
Coon Rapids Recycling Center, including
constructing, furnishing, and equipping a
building for polystyrene foam processing, a
cold storage building, a covered storage area,
and constructing driving lanes and parking
areas.
new text end

new text begin Subd. 8. new text end new text begin Todd County; Solid Waste Facility new text end

new text begin 4,000,000 new text end

new text begin For a grant to Todd County under the solid
waste capital assistance grants program under
Minnesota Statutes, section 115A.54, to
design, construct, and equip a new solid waste
transfer station and household hazardous waste
facility.
new text end

Sec. 9. new text begin BOARD OF WATER AND SOIL RESOURCES 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 24,000,000 new text end

new text begin To the Board of Water and Soil Resources for
the purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Local Government Roads Wetland Replacement Program new text end

new text begin 15,000,000 new text end

new text begin To acquire land or permanent easements and
to restore, create, enhance, and preserve
wetlands to replace those wetlands drained or
filled as a result of the repair, reconstruction,
replacement, or rehabilitation of existing
public roads as required by Minnesota
Statutes, section 103G.222, subdivision 1,
paragraphs (l) and (m). The board may vary
the priority order of Minnesota Statutes,
section 103G.222, subdivision 3, paragraph
(a), to implement an in-lieu fee agreement
approved by the U.S. Army Corps of
Engineers under section 404 of the Clean
Water Act. The purchase price paid for
acquisition of land or perpetual easement must
be a fair market value as determined by the
board. The board may enter into agreements
with the federal government, other state
agencies, political subdivisions, nonprofit
organizations, fee title owners, or other
qualified private entities to acquire wetland
replacement credits in accordance with
Minnesota Rules, chapter 8420.
new text end

new text begin Subd. 3. new text end new text begin Local Government Roads Wetland Replacement Program new text end

new text begin 8,000,000 new text end

new text begin From the general fund to the board to
administer its statutory responsibilities and
acquire wetland banking credits to replace
those wetlands drained or filled as a result of
repairing, reconstructing, replacing, or
rehabilitating existing public roads as required
by Minnesota Statutes, section 103G.222,
subdivision 1. Notwithstanding Minnesota
Statutes, section 103G.222, subdivision 3, the
board may implement the wetland replacement
program when consistent with the watershed
approach of section 404 of the federal Clean
Water Act. The purchase price paid for
acquiring wetland credits must be determined
by the board. The board may enter into
agreements with the federal government, other
state agencies, political subdivisions, nonprofit
organizations, fee title owners, or other
qualified private entities to acquire wetland
replacement credits in accordance with
Minnesota Rules, chapter 8420. Of this
appropriation, up to $560,000 is available for
the development of the required elements of
an in-lieu fee wetland mitigation program in
accordance with Minnesota Statutes, section
103G.2242, subdivision 3, and up to $440,000
is available for mitigation stewardship in
accordance with Minnesota Statutes, section
103B.103, subdivision 3. This appropriation
is onetime.
new text end

new text begin Subd. 4. new text end new text begin Reinvest in Minnesota (RIM) Reserve Program new text end

new text begin 1,000,000 new text end

new text begin To acquire conservation easements from
landowners to preserve, restore, create, and
enhance wetlands and associated uplands of
prairie and grasslands, and to restore and
enhance rivers and streams, riparian lands, and
associated uplands of prairie and grasslands,
in order to protect soil and water quality,
support fish and wildlife habitat, reduce flood
damage, and provide other public benefits.
The provisions of Minnesota Statutes, section
103F.515, apply to this program. The board
shall give priority to leveraging federal money
by enrolling targeted new lands or enrolling
environmentally sensitive lands that have
expiring federal conservation agreements. The
board is authorized to enter into new
agreements and amend past agreements with
landowners as required by Minnesota Statutes,
section 103F.515, subdivision 5, to allow for
restoration. Up to five percent of this
appropriation may be used for restoration and
enhancement.
new text end

Sec. 10. new text begin AGRICULTURE new text end

new text begin $ new text end

new text begin 20,779,000 new text end

new text begin To the commissioner of administration to
construct, renovate, and equip the Department
of Agriculture/Department of Health
Laboratory Building in St. Paul, including but
not limited to creating a dedicated biosafety
level 3 laboratory space, to meet safety,
energy, and operational efficiency needs.
$779,000 of this appropriation is from the
general fund for relocation expenses associated
with this project.
new text end

Sec. 11. new text begin MINNESOTA ZOOLOGICAL GARDEN 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 13,000,000 new text end

new text begin To the Minnesota Zoological Garden Board
for the purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 13,000,000 new text end

new text begin For capital asset preservation improvements
and betterments to infrastructure and exhibits
at the Minnesota Zoo, to be spent in
accordance with Minnesota Statutes, section
16B.307. Notwithstanding the specified uses
of money under Minnesota Statutes, section
16B.307, the board may use this appropriation
to replace buildings that are in poor condition,
outdated, and no longer support the work of
the Minnesota Zoo and to construct and
renovate trails, and roads on the Minnesota
Zoo site. Notwithstanding the specified uses
of money under Minnesota Statutes, section
16B.307, this appropriation may be used to
design, construct, furnish, and equip the
renovation of the monorail structure as an
elevated pedestrian trail.
new text end

Sec. 12. new text begin ADMINISTRATION 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 5,750,000 new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Capital Asset Preservation and Replacement Account new text end

new text begin 4,500,000 new text end

new text begin To be spent in accordance with Minnesota
Statutes, section 16A.632.
new text end

new text begin Subd. 3. new text end new text begin Ford Building new text end

new text begin 170,000 new text end

new text begin To design the abatement of hazardous
materials and demolition of the Ford Building
and associated infrastructure located on the
Capitol complex as the first phase of overall
site redevelopment. This appropriation may
also be used to design modifications necessary
to maintain access to the Capitol complex
tunnel system as well as to provide security,
irrigation, and landscaping for the site.
new text end

new text begin Before beginning demolition, the
commissioner must develop an executable
design feature to be implemented in the
interior or exterior of the building constructed
on the site or incorporated into the site design.
The design feature must reflect portions of the
original exterior facade design, which might
include design elements of the main entry way,
or must incorporate a significant reuse of terra
cotta ornamentation if determined to be in
sufficient good condition for reuse.
new text end

new text begin Subd. 4. new text end new text begin Capitol Complex - Physical Security Upgrades Phase II new text end

new text begin 980,000 new text end

new text begin To design, construct, and equip upgrades to
the physical security elements and systems for
one or more of the buildings listed in this
subdivision, their attached tunnel systems,
their surrounding grounds, and parking
facilities as identified in the 2017 Minnesota
State Capitol Complex Physical Security
Predesign completed by Miller Dunwiddie.
This appropriation includes money for work
associated with one or more of the following
buildings: Administration, Centennial,
Judicial, Ag/Health Lab, Minnesota History
Center, Capitol Complex Power Plant and
Shops, Stassen, State Office, and Veterans
Service.
new text end

new text begin Subd. 5. new text end new text begin Capitol Complex Tunnel; ADA Compliance new text end

new text begin 100,000 new text end

new text begin To predesign capital improvements to the
tunnel connecting the State Office Building
with the State Capitol, necessary to bring the
tunnel into compliance with the Americans
with Disabilities Act (ADA).
new text end

Sec. 13. new text begin AMATEUR SPORTS COMMISSION 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 5,937,000 new text end

new text begin To the Minnesota Amateur Sports
Commission for the purposes specified in this
section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 837,000 new text end

new text begin For asset preservation improvements and
betterments of a capital nature at the National
Sports Center in Blaine, to be spent in
accordance with Minnesota Statutes, section
16B.307.
new text end

new text begin Subd. 3. new text end new text begin National Sports Center; Field Development and Maintenance Facility new text end

new text begin 3,000,000 new text end

new text begin For demolition of a maintenance facility and
to construct and equip a new maintenance
facility for the National Sports Center in
Blaine.
new text end

new text begin Subd. 4. new text end new text begin Mighty Ducks new text end

new text begin 2,000,000 new text end

new text begin For grants to local government units under
Minnesota Statutes, section 240A.09,
paragraph (b), to improve indoor air quality
or eliminate R-22. This appropriation shall not
be used to acquire ice resurfacing or edging
equipment.
new text end

new text begin Subd. 5. new text end new text begin Construction and Renovation of Public Skate Parks new text end

new text begin 100,000 new text end

new text begin For grants under Minnesota Statutes, section
240A.20, subdivision 2, clause (2), for design
of skate parks from designers with expertise
in the field of skate park design.
new text end

Sec. 14. new text begin MILITARY AFFAIRS 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 24,545,000 new text end

new text begin To the adjutant general for the purposes
specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Rosemount Readiness Center new text end

new text begin 1,000,000 new text end

new text begin To design the renovation of existing space at
the Rosemount Readiness Center, including
mechanical, electrical, building envelope,
energy efficiency, and life safety
improvements.
new text end

new text begin Subd. 3. new text end new text begin Fergus Falls Readiness Center new text end

new text begin 2,100,000 new text end

new text begin To design and renovate existing space at the
Fergus Falls Readiness Center, including
mechanical, electrical, building envelope,
energy efficiency, and life safety
improvements, and to construct an addition
on the existing property.
new text end

new text begin Subd. 4. new text end new text begin Moorhead Readiness Center new text end

new text begin 5,345,000 new text end

new text begin To design and renovate existing space at the
Moorhead Readiness Center, including
mechanical, electrical, building envelope,
energy efficiency, and life safety
improvements, and to construct an addition
on the existing property.
new text end

new text begin Subd. 5. new text end new text begin Marshall Readiness Center new text end

new text begin 3,100,000 new text end

new text begin To design and renovate existing space at the
Marshall Readiness Center, including
mechanical, electrical, building envelope,
energy efficiency, and life safety
improvements, and to construct an addition
on the existing property.
new text end

new text begin Subd. 6. new text end new text begin Camp Ripley; Military Museum new text end

new text begin 13,000,000 new text end

new text begin To acquire land or interest in land, and to
predesign, design, construct, furnish, and
equip a facility outside the boundaries of
Camp Ripley in Morrison County for the
Minnesota Military Museum. This
appropriation includes money for a visitor's
center and gift shop; administrative offices;
work, storage, and exhibit space; landscaping;
parking; and other amenities and infrastructure
for the museum. The adjutant general may
enter into a lease or management agreement
for the museum, subject to Minnesota Statutes,
section 16A.695.
new text end

Sec. 15. 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 50,355,000 new text end

new text begin To the commissioner of public safety or other
named entity for the purposes specified in this
section.
new text end

new text begin Subd. 2. new text end new text begin State Emergency Operations Center new text end

new text begin 29,545,000 new text end

new text begin To the commissioner of administration to
acquire a site, update the predesign, and to
design, construct, furnish, and equip a new
State Emergency Operations Center and
Homeland Security and Emergency
Management Office. This appropriation may
also be used to design and complete hazardous
materials abatement and demolition as needed
on the acquired site.
new text end

new text begin Subd. 3. new text end new text begin Southern Minnesota BCA Regional Office and Laboratory new text end

new text begin 100,000 new text end

new text begin To the commissioner of administration for
predesign of a new Bureau of Criminal
Apprehension regional office and laboratory
facility in the Mankato area.
new text end

new text begin Subd. 4. new text end new text begin Chisholm; Public Safety Facility new text end

new text begin 1,910,000 new text end

new text begin For a grant to the city of Chisholm to construct
a new public safety facility for fire protection
and law enforcement.
new text end

new text begin Subd. 5. new text end new text begin Crystal; Police Department Expansion new text end

new text begin 4,000,000 new text end

new text begin For a grant to the city of Crystal to design,
construct, furnish, and equip an expansion of
the city's police department facility.
new text end

new text begin Subd. 6. new text end new text begin Edina; South Metro Public Safety Training Facility new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of Edina to predesign,
design, construct, expand, renovate, furnish,
and equip a tactical training building at the
South Metro Public Safety Training Facility
to provide year-round flexible space for
different training scenarios.
new text end

new text begin Subd. 7. new text end new text begin Maple Grove; North Metro Range new text end

new text begin 3,500,000 new text end

new text begin For a grant to the city of Maple Grove to
design, construct, furnish, and equip an
expansion of the Maple Grove North Metro
Range regional public safety training facility.
The project includes facilities to provide law
enforcement officers training in de-escalation
and crisis intervention techniques.
new text end

new text begin Subd. 8. new text end new text begin Minneapolis; Emergency Operations Center and Fire Training Facility new text end

new text begin 800,000 new text end

new text begin For a grant to the city of Minneapolis for
predesign, design, engineering, and
construction of the expansion of the
Emergency Operations Center and Fire
Training Facility.
new text end

new text begin Subd. 9. new text end new text begin Virginia; Regional Public Safety Center and Training Facility new text end

new text begin 9,500,000 new text end

new text begin For a grant to the city of Virginia to acquire a
site, demolish existing structures and prepare
the site, and to predesign, design, construct,
furnish, and equip a regional public safety
center and training facility for the police and
fire departments, emergency medical services,
regional emergency services training,
emergency operations, and other regional
community needs.
new text end

Sec. 16. 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 323,209,000 new text end

new text begin 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 Local Road Improvement Fund Grants new text end

new text begin 75,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for eligible trunk
highway corridor improvement projects under
Minnesota Statutes, section 174.52,
subdivision 2, for construction and
reconstruction of local roads with statewide
or regional significance under Minnesota
Statutes, section 174.52, subdivision 4, or 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. Of this appropriation, at least
$5,000,000 is for projects on town roads.
new text end

new text begin Subd. 3. new text end new text begin Anoka County; East River Road new text end

new text begin 1,500,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Anoka
County to complete the preliminary
engineering, environmental analysis, and final
design of interchange construction and
associated improvements to Anoka County
State-Aid Highway 1, known as East River
Road, at marked Trunk Highway 610 in the
city of Coon Rapids.
new text end

new text begin Subd. 4. new text end new text begin Anoka County; Marked U.S. Highway 10/169 new text end

new text begin 8,400,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Anoka
County for environmental analysis,
preliminary engineering, and final design for
the interchanges on marked U.S. Highway
10/169 at County State-Aid Highway 56
(Ramsey Boulevard) and County State-Aid
Highway 57 (Sunfish Lake Boulevard) and
the associated railroad grade separations,
frontage roads, backage roads, and connecting
local streets to support the U.S. Highway
10/169 improvements in the city of Ramsey.
new text end

new text begin Subd. 5. new text end new text begin Anoka County; Marked Trunk Highway 65 Interchange new text end

new text begin 1,500,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Anoka
County to complete preliminary engineering,
environmental analysis, and final design of a
grade separation and associated improvements
to Anoka County State-Aid Highway 12,
known as 109th Avenue, at marked Trunk
Highway 65 in the city of Blaine.
new text end

new text begin Subd. 6. new text end new text begin Dakota County; Diffley Road new text end

new text begin 4,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for one or more
grants to Dakota County, the city of Eagan,
and Independent School District No. 196,
Rosemount-Apple Valley-Eagan, to
reconstruct Diffley Road between Lexington
Avenue and Braddock Trail, and Daniel Drive
at Diffley Road.
new text end

new text begin Subd. 7. new text end new text begin Golden Valley; Douglas Drive and Highway 55 new text end

new text begin 6,500,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Golden Valley to construct public safety
improvements at the intersection of Douglas
Drive and Highway 55, including a box culvert
underpass across Highway 55, a roundabout
and extended frontage road south of Highway
55, retaining wall construction, underground
utility relocation, sidewalk and trail
connections to existing facilities, Americans
with Disabilities Act-compliant facilities, and
landscaping.
new text end

new text begin Subd. 8. new text end new text begin Maple Grove; Trunk Highway 610 Local Road Improvements new text end

new text begin 13,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Maple Grove or Hennepin County, or both,
in amounts determined by the commissioner
to acquire right-of-way, predesign, design,
engineer, and construct roadway connections
between marked Trunk Highway 610 and I-94,
and the extension to County Road 30 in
Hennepin County. The project includes
completion of the update of the environmental
impact statement with an environmental
assessment for the project.
new text end

new text begin Subd. 9. new text end new text begin Oak Park Heights; Realignment of 60th Street new text end

new text begin 790,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Oak Park Heights to design, engineer,
construct, furnish, and equip a realignment of
60th Street, lying south of State Highway 36,
from Krueger Lane to a current service road
east of Norell Avenue and west of Nova Scotia
Avenue, including the installation of a
roundabout at the intersection with Norell
Avenue. This project includes off-street trails
and sidewalks, and public safety
improvements, utility relocations and
connections, trail connections, accessibility
features, and landscaping and storm water
management, all in conjunction with the
realignment of 60th Street.
new text end

new text begin Subd. 10. new text end new text begin Ramsey County; I-35E and County Road J Interchange new text end

new text begin 1,500,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Ramsey
County to complete the preliminary
engineering and environmental analysis for a
full access interchange on County Road J at
Interstate Highway 35E and associated
improvements on County Road J supporting
the interchange from Centerville Road to Otter
Lake Road in the cities of North Oaks and
Lino Lakes and White Bear Township.
new text end

new text begin Subd. 11. new text end new text begin Richfield; 77th Street Underpass new text end

new text begin 6,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Richfield for the extension of 77th Street
under marked Trunk Highway 77/Cedar
Avenue project in the city of Richfield. This
appropriation is added to the appropriation in
Laws 2015, First Special Session chapter 5,
article 1, section 10, subdivision 7, as amended
by Laws 2017, First Special Session chapter
8, article 2, section 32.
new text end

new text begin Subd. 12. new text end new text begin Sartell; Local Roads new text end

new text begin 5,500,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Sartell for improvements to Scout Drive to
connect Scout Drive to Dehler Drive, and 19th
Street South to Scout Drive. Improvements
include predesign, design, engineering,
acquisition of right-of-way, replacement or
repair of utilities, street reconstruction, and
other improvements or upgrades related to
street work.
new text end

new text begin Subd. 13. new text end new text begin Sibley County; Scenic Byway 6 Reconstruction new text end

new text begin 14,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Sibley
County to predesign, design, engineer, acquire
right-of-way for, and construct improvements
to Sibley County State-Aid Highway 6, known
as Scenic Byway 6, to raise the road to meet
the 50-year flood level, provide for a walking
and bicycling lane, and reconstruct the
intersection of Scenic Byway 6 and Sibley
County State-Aid Highway 5.
new text end

new text begin Subd. 14. new text end new text begin Scott County; Highway 13 and Yosemite Interchange new text end

new text begin $5,269,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to Scott
County to acquire land, predesign, and design
local road improvements, including
accommodations for bicycles and pedestrians,
to support a programmed interchange at the
intersection of marked Trunk Highway 13 and
Dakota Avenue in Savage.
new text end

new text begin Subd. 15. new text end new text begin Sherburne County; Zimmerman Interchange Project new text end

new text begin 2,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to
Sherburne County for environmental analysis,
preliminary engineering, and final design of
the local road portions of the proposed
interchange project at marked U.S. Highway
169 and Sherburne County State-Aid Highway
4 in Zimmerman. Any money remaining upon
completion of the design process may be used
to acquire right-of-way needed for the local
road portions of the interchange project.
new text end

new text begin Subd. 16. new text end new text begin Zumbrota; Jefferson Drive new text end

new text begin 3,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Zumbrota to predesign, design, and
reconstruct a segment of Jefferson Drive and
the adjacent trail in the city of Zumbrota,
including a culvert extension, and replacement
of or improvements to side street connections,
pedestrian crossing facilities, storm sewer,
drainage, sanitary sewer, and water lines.
new text end

new text begin Subd. 17. new text end new text begin Local Bridge Replacement and Rehabilitation new text end

new text begin 30,000,000 new text end

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

new text begin Subd. 18. new text end new text begin St. Paul; Third Street/Kellogg Boulevard Bridge new text end

new text begin 52,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of St. Paul to demolish and remove the
existing Third Street/Kellogg Boulevard
bridge over the BNSF railroad, Commercial
Street, and marked Interstate Highway 94, and
for acquisition of right-of-way, design,
construction engineering, and construction of
a replacement bridge that includes multimodal
elements for bicycles, pedestrians, vehicles,
and mass transit. This appropriation also may
be used for any roadway approach
reconstruction work identified within the
project limits, including right-of-way
acquisition, design, and construction
engineering.
new text end

new text begin Subd. 19. new text end new text begin Safe Routes to School; Pedestrian and Bicycle Facilities new text end

new text begin 3,000,000 new text end

new text begin For grants under Minnesota Statutes, section
174.40.
new text end

new text begin Subd. 20. new text end new text begin Rail Service Improvement new text end

new text begin 4,000,000 new text end

new text begin For rail service improvement grants under
Minnesota Statutes, section 222.50.
new text end

new text begin Subd. 21. new text end new text begin Port Development Assistance new text end

new text begin 14,000,000 new text end

new text begin 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. 22. new text end new text begin Passenger Rail new text end

new text begin 3,000,000 new text end

new text begin (a) For intercity passenger rail implementation
on Phase 1 corridors identified in the 2015
update to the state rail plan under Minnesota
Statutes, section 174.03, subdivision 1b. This
appropriation is only for projects that are
determined to be eligible for United States
Department of Transportation funding.
$1,500,000 of this appropriation is for a
project issued a Finding of No Significant
Impact (FONSI) by the Federal Railroad
Administration on a Tier 2 project level
environmental assessment.
new text end

new text begin (b) Notwithstanding any law to the contrary,
a portion or phase of an intercity passenger
rail project may be accomplished with one or
more state appropriations, and an intercity
passenger rail project need not be completed
with any one appropriation. This appropriation
is available for program delivery and capital
improvements and betterments, including
preliminary engineering, design, final
engineering, environmental analysis and
mitigation, acquisition of land and
right-of-way, rail crossings and bridge
improvements, station improvements, and
railroad appurtenances.
new text end

new text begin (c) Projects may include the Northern Lights
Express service between Minneapolis and St.
Paul and Duluth, a second daily Amtrak train
between Minneapolis and St. Paul and
Chicago, and extension of the Northstar
Commuter Rail service to St. Cloud.
new text end

new text begin Subd. 23. new text end new text begin Greater Minnesota Transit Capital Program new text end

new text begin 2,000,000 new text end

new text begin For capital assistance for publicly owned
greater Minnesota transit systems to acquire
property, predesign, design, construct, furnish,
and equip transit capital facilities under
Minnesota Statutes, section 174.24,
subdivision 3c.
new text end

new text begin Subd. 24. new text end new text begin International Falls-Koochiching County Airport Improvements new text end

new text begin 1,800,000 new text end

new text begin For a grant to the International
Falls-Koochiching County Airport
Commission to provide for the nonfederal
share of a project at International Falls Airport
for land acquisition, predesign, design, and
reconstruction of the runway, taxiway, and
apron.
new text end

new text begin Subd. 25. new text end new text begin Rochester International Airport Runway and Associated Improvements new text end

new text begin 11,400,000 new text end

new text begin (a) The following appropriations are for one
or more grants to the city of Rochester for
improvements to the Rochester International
Airport in phases. If any of these
appropriations for a specified phase is not
needed to complete that phase, the unexpended
and unencumbered amount may be applied to
another phase of the Rochester Airport project
for which an appropriation is made in this
subdivision. Each appropriation for a phase is
available when the commissioner of
management and budget determines that an
amount sufficient to complete that phase is
committed to the project.
new text end

new text begin (b) $1,025,000 is appropriated for Phase 1, to
reconstruct the middle portion of runway 2/20
and to construct associated grading and
drainage improvements at the Rochester
International Airport.
new text end

new text begin (c) $3,400,000 is appropriated for Phase 2, for
property acquisition; site mitigation; relocation
of 31st Ave. SW and County Road 30; utility
and navigational aid repositioning; grading
and drainage improvements; removal of
taxiways; reconstruction of the southern
portion of runway 2 and runway shoulders;
and installation of lighting and signage at the
Rochester International Airport.
new text end

new text begin (d) $4,100,000 is appropriated for Phase 3, to
modify airport fencing; construct an extension
of runway 2, taxiways, and shoulders; site
preparation and grading; reconstruction of a
portion of runway 2, taxiways, and shoulders;
installation of lighting and signage at the
Rochester International Airport; and acquire
and install instrument approach improvements.
new text end

new text begin (e) $625,000 is appropriated for Phase 4, to
construct improvements to taxiway B and
shoulders, to make grading and drainage
improvements, and to install lighting and
signage at the Rochester International Airport.
new text end

new text begin (f) $1,025,000 is appropriated for Phase 5, to
demolish and reconstruct a portion of taxiway
B and shoulders; to reposition navigational
aids; for grading and drainage improvements;
and to install lighting and signage at the
Rochester International Airport.
new text end

new text begin (g) $1,225,000 is appropriated for Phase 6, to
reconstruct taxiway and runway intersections;
to remove taxiways A6, E, F, G, and a portion
of runway 20; and to reconstruct taxiway D
at the Rochester International Airport.
new text end

new text begin Subd. 26. new text end new text begin Thief River Falls; Airport new text end

new text begin 5,500,000 new text end

new text begin For a grant to the Thief River Falls Regional
Airport Authority to predesign, design,
construct, furnish, and equip a new cargo
hangar building to include office space, a
parking area, and connection to roadway and
utilities.
new text end

new text begin Subd. 27. new text end new text begin Rogers; Pedestrian and Bike Bridge new text end

new text begin 2,200,000 new text end

new text begin For a grant to the city of Rogers to acquire
property for and to design and construct a
pedestrian and bicycle bridge over marked
Interstate Highway 94 approximately one mile
northwest of the interchange at marked Trunk
Highway 101. This appropriation includes
money for construction of a bituminous trail
to connect to the existing trail system.
new text end

new text begin Subd. 28. new text end new text begin Shakopee; Highway 169 Pedestrian and Bicycle Overpass new text end

new text begin 2,000,000 new text end

new text begin For a grant to the city of Shakopee to acquire
land or interests in land, predesign, design,
engineer, and construct a pedestrian and
bicycle overpass over marked Trunk Highway
169, and establish new trail segments, to
connect the Southbridge neighborhood and
Quarry Lake Park.
new text end

new text begin Subd. 29. new text end new text begin Minnesota Valley Regional Rail Authority; Winthrop to Hanley Falls Improvements new text end

new text begin 10,000,000 new text end

new text begin For a grant to the Minnesota Valley Regional
Rail Authority to rehabilitate a portion of the
railroad track between Winthrop and Hanley
Falls. The grant under this subdivision may
also be used for any required environmental
analysis and remediation, predesign, design,
and rehabilitation or replacement of bridges
with new bridges or culverts between
Winthrop and Hanley Falls. A grant under this
subdivision is in addition to any grant, loan,
or loan guarantee for this project made by the
commissioner under Minnesota Statutes,
sections 222.46 to 222.62. This appropriation
is in addition to the appropriations under Laws
2006, chapter 258, section 16, subdivision 6;
Laws 2008, chapter 179, section 16,
subdivision 5; Laws 2009, chapter 93, article
1, section 11, subdivision 4; Laws 2010,
chapter 189, section 15, subdivision 5; Laws
2015, First Special Session chapter 5, article
1, section 10, subdivision 4; Laws 2017, First
Special Session chapter 8, article 1, section
15, subdivision 7; and Laws 2018, chapter
214, article 1, section 16, subdivision 4.
new text end

new text begin Subd. 30. new text end new text begin Northfield; Regional Transit Hub new text end

new text begin 1,750,000 new text end

new text begin For a grant to the city of Northfield to acquire
real property; prepare the site, including any
environmental remediation; and predesign,
design, construct, furnish, and equip a regional
transit hub, including a pavilion, railroad quiet
zone safety improvements, and trail
connections.
new text end

new text begin Subd. 31. new text end new text begin Albert Lea; Highway 65 Flood Mitigation new text end

new text begin 800,000 new text end

new text begin For a grant to the city of Albert Lea for
preliminary design, final design, right-of-way
acquisition if needed, environmental
remediation, site preparation, including
demolition of existing buildings and structures
deemed undesirable for storm water drainage
ponds, soil excavation and disposal, lining of
pond, retaining walls, and storm sewer
drainage systems, and construction of storm
water drainage ponds and storm water
drainage systems for city storm water drainage
in connection with the marked U.S. Highway
65 flood mitigation project in Albert Lea. The
flood mitigation project is to raise the roadway
above flood levels.
new text end

new text begin Subd. 32. new text end new text begin Chisago County; U.S. Highway 8 Reconstruction new text end

new text begin 8,000,000 new text end

new text begin (a) For a grant to Chisago County to
predesign, design, engineer, and construct a
reconstruction of marked U.S. Highway 8
from Karmel Avenue in Chisago City to
Interstate 35 and pedestrian and bike trails
along and crossings of this portion of U.S.
Highway 8. This reconstruction may include
expanding segments of U.S. Highway 8 to
four lanes, constructing or reconstructing
frontage roads and backage roads, and
realigning local roads to consolidate, remove,
and relocate access onto and off of U.S.
Highway 8. This appropriation is for the
portion of the project that is eligible for use
of proceeds of general obligation bonds. This
appropriation is available until the project is
completed or abandoned.
new text end

new text begin (b) Amounts planned by the Department of
Transportation for the resurfacing of U.S.
Highway 8, as reflected in MnDOT's Metro
District Ten-Year Capital Highway Investment
Study 2020-2029, shall instead be applied to
the reconstruction of U.S. Highway 8 to
supplement appropriations for that purpose
from any fund in this section.
new text end

new text begin Subd. 33. new text end new text begin Henderson; Trunk Highway 93 to U.S. Highway 169 Reconstruction new text end

new text begin 1,800,000 new text end

new text begin For projects eligible for general obligation
bond proceeds that are associated with the
reconstruction of marked Trunk Highway 93
from Henderson to marked U.S. Highway 169,
to raise the roadway elevation and prevent
closures due to river flooding.
new text end

new text begin Subd. 34. new text end new text begin Olmsted County; Trunk Highway 14 and County Road 104 Interchange Construction new text end

new text begin 6,000,000 new text end

new text begin For general obligation bond eligible portions
of a project to predesign, design, engineer,
construct, furnish, and equip an interchange
at marked Trunk Highway 14 and County
Road 104, including a flyover at 7th Street
NW, in Olmstead County, and associated
infrastructure and road work to accommodate
the interchange.
new text end

new text begin Subd. 35. new text end new text begin Washington County; Interchange at Highway 36 and County Road 15 new text end

new text begin 3,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to
Washington County for engineering and
property and easement acquisition, in
conjunction with an interchange at marked
Trunk Highway 36 and County State-Aid
Highway 15, known as Manning Avenue, in
Washington County.
new text end

new text begin Subd. 36. new text end new text begin Koochiching County; CSAH 24 Rail Grade Separation new text end

new text begin 3,000,000 new text end

new text begin For a grant to Koochiching County to acquire
land for and to predesign, design, engineer,
and construct a rail grade crossing separation
where County State-Aid Highway 24 crosses
Canadian National railroad tracks near the
cities of Ranier and International Falls.
new text end

new text begin Subd. 37. new text end new text begin Red Wing; Rail Grade Separation new text end

new text begin 10,000,000 new text end

new text begin From the bond proceeds account in the state
transportation fund as provided in Minnesota
Statutes, section 174.50, for a grant to the city
of Red Wing for right-of-way acquisition,
environmental analysis, design, engineering,
removal of an existing structure, and
construction of a rail grade crossing separation
at Sturgeon Lake Road. This appropriation is
in addition to the appropriation for the same
purpose in Laws 2017, First Special Session
chapter 8, article 1, section 15, subdivision 4.
new text end

Sec. 17. new text begin METROPOLITAN COUNCIL 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 87,900,000 new text end

new text begin To the Metropolitan Council for the purposes
specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Metropolitan Cities Inflow and Infiltration Grants new text end

new text begin 5,000,000 new text end

new text begin For grants to cities within the metropolitan
area, as defined in Minnesota Statutes, section
473.121, subdivision 2, for capital
improvements in municipal wastewater
collection systems to reduce the amount of
inflow and infiltration to the Metropolitan
Council's metropolitan sanitary sewer disposal
system. Grants from this appropriation are for
up to 50 percent of the cost to mitigate inflow
and infiltration in the publicly owned
municipal wastewater collection systems. To
be eligible for a grant, a city must be identified
by the council as a contributor of excessive
inflow and infiltration in the metropolitan
disposal system or have a measured flow rate
within 20 percent of its allowable
council-determined inflow and infiltration
limits. The council must award grants based
on applications from cities that identify
eligible capital costs and include a timeline
for inflow and infiltration mitigation
construction, pursuant to guidelines
established by the council.
new text end

new text begin Subd. 3. new text end new text begin Metropolitan Regional Parks and Trails new text end

new text begin 5,000,000 new text end

new text begin For the cost of improvements and betterments
of a capital nature and acquisition by the
council and local government units of regional
recreational open-space lands in accordance
with the council's policy plan as provided in
Minnesota Statutes, section 473.147. This
appropriation must not be used to purchase
easements.
new text end

new text begin Subd. 4. new text end new text begin Bus Rapid Transit Lines new text end

new text begin 55,000,000 new text end

new text begin For design, engineering, right-of-way
acquisition, and construction of the B line bus
rapid transit line between Minneapolis and St.
Paul, and the D line bus rapid transit line
between Brooklyn Center and Bloomington.
To the extent money remains after the B line
and D line projects are completed, this
appropriation is also for preliminary design,
design, and engineering of the E line bus rapid
transit from Minneapolis to Southdale Transit
Center.
new text end

new text begin Subd. 5. new text end new text begin Carver County; Lake Waconia new text end

new text begin 2,500,000 new text end

new text begin For a grant to Carver County to design,
construct, and equip a waterfront pavilion with
restrooms and a concession building, and to
design, construct, and equip utility connections
at Lake Waconia Regional Park.
new text end

new text begin Subd. 6. new text end new text begin Dakota County; Veterans Memorial Greenway new text end

new text begin 5,000,000 new text end

new text begin For a grant to Dakota County to construct
improvements for the Veterans Memorial
Greenway, including memorials, a community
gathering space, and a new trail connection
between Lebanon Hills Regional Park and the
Mississippi River.
new text end

new text begin Subd. 7. new text end new text begin Minneapolis Park and Recreation Board; Mississippi River Trail Connection at 26th Avenue North new text end

new text begin 3,000,000 new text end

new text begin (a) For a grant to the Minneapolis Park and
Recreation Board to design and construct a
trail connection paralleling the Mississippi
River between 26th Avenue North and the
Minneapolis Grand Rounds at Ole Olson Park,
all within Above the Falls Regional Park. This
appropriation is intended to augment work
being completed by the city of Minneapolis
to reconstruct and create a multimodal corridor
beginning at Theodore Wirth Regional Park
and extending east to the Mississippi River
along 26th Avenue North.
new text end

new text begin (b) All project lighting must follow the
International Dark Sky Community Program
guidelines, published June 2018, and follow
best practices for bird-safe lighting. The height
of any beacon light must comply with the
Minneapolis shoreland overlay district
ordinance governing height of structures. A
beacon light must be off from March 15 to
May 31 and August 15 to October 31 each
year, and off between the hours of 11 p.m. and
6 a.m. at all other times of the year. All
lighting must be shielded and use bird-safe
light colors.
new text end

new text begin Subd. 8. new text end new text begin Ramsey County; Battle Creek Winter Recreation Area new text end

new text begin 1,800,000 new text end

new text begin For a grant to Ramsey County to design,
construct, furnish, and equip a maintenance
building for the Nordic ski competition and
winter recreation area, including related
earthwork and landscaping, and for a marker
commemorating the Olympic
accomplishments of Minnesotan Jessie
Diggins, in Battle Creek Regional Park.
new text end

new text begin Subd. 9. new text end new text begin St. Paul; Como Zoo new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of St. Paul to improve
and replace outdated mechanical systems and
other building structural components to
achieve greater energy efficiency at Como
Zoo.
new text end

new text begin Subd. 10. new text end new text begin St. Paul; Wakan Tipi new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of St. Paul for the
Wakan Tipi Center project. The city may enter
into a lease or management agreement under
Minnesota Statutes, section 16A.695. This
appropriation is added to the appropriation for
the Nature Sanctuary Visitor Center in Laws
2018, chapter 214, article 1, section 17,
subdivision 6, and is for the same purposes.
new text end

new text begin Subd. 11. new text end new text begin Three Rivers Park District; Mississippi Gateway new text end

new text begin 5,000,000 new text end

new text begin For a grant to Three Rivers Park District to
predesign, design, and engineer improvements
to the Mississippi Gateway Regional Park,
and to construct a canopy walkway and
playground development, pedestrian trail
connections, landscape restoration and
enhancements, and habitat restoration.
new text end

new text begin Subd. 12. new text end new text begin White Bear Lake Communities; Lake Links Trail new text end

new text begin 3,600,000 new text end

new text begin For grants to complete design and construction
of a multiuse paved trail and route for
pedestrians, bicycles, and wheelchairs around
White Bear Lake in Ramsey and Washington
Counties, as follows:
new text end

new text begin (1) $2,600,000 of this appropriation is for a
grant to the city of Dellwood in Washington
County to design, engineer, construct, and
equip trail improvements consistent with the
completed preliminary engineering along or
parallel with the shore of White Bear Lake
between the Mahtomedi city limits and the
western line of Washington County;
new text end

new text begin (2) $500,000 of this appropriation is for a
grant to White Bear Township in Ramsey
County to design, engineer, construct, and
equip trail improvements along and parallel
with the shore of White Bear Lake between
the Washington County line and the city limits
of the city of White Bear Lake, Ramsey
County; and
new text end

new text begin (3) $500,000 of this appropriation is for a
grant to the city of White Bear Lake in
Ramsey County to design, engineer, construct,
and equip trail improvements along or parallel
with the shore of White Bear Lake between
the eastern city limits of White Bear Lake and
Pacific Avenue.
new text end

Sec. 18. new text begin HUMAN SERVICES 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 27,409,000 new text end

new text begin To the commissioner of administration, or
other named entity, for the purposes specified
in this section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 8,000,000 new text end

new text begin For asset preservation improvements and
betterments of a capital nature at Department
of Human Services facilities statewide, to be
spent in accordance with Minnesota Statutes,
section 16B.307.
new text end

new text begin Subd. 3. new text end new text begin St. Peter Regional Treatment Center Campus - Phase 2 new text end

new text begin 1,794,000 new text end

new text begin To design the second phase of a multiphase
project to develop additional residential,
program, activity, and ancillary facilities for
the Minnesota sex offender program on the
lower campus of the St. Peter Regional
Treatment Center.
new text end

new text begin Subd. 4. new text end new text begin Child and Adolescent Behavioral Health Services Facility new text end

new text begin 1,750,000 new text end

new text begin For design, construction, and furnishing of a
large motor activity and ancillary space for
the Child and Adolescent Behavioral Health
Hospital. The appropriation also includes
money for design and construction of a small
maintenance shed, courtyard interiors, a
parking lot, playground equipment, and
landscaping activities.
new text end

new text begin Subd. 5. new text end new text begin Regional Behavioral Health Crisis Facilities Grant Program new text end

new text begin 10,000,000 new text end

new text begin To the commissioner of human services for
regional behavioral health crisis facilities
grants under Minnesota Statutes, section
245G.011.
new text end

new text begin Subd. 6. new text end new text begin St. Louis Park; Perspectives Family Center new text end

new text begin 4,500,000 new text end

new text begin To the commissioner of human services for a
grant to the city of St. Louis Park to construct,
furnish, and equip the expansion and
renovation of the existing Perspectives Family
Center facility in St. Louis Park subject to
Minnesota Statutes, section 16A.695. The
expanded and renovated facility must be used
to promote the public welfare by providing
any or all of the following programs and
services: (1) supportive housing programs for
homeless women and their children; (2) mental
and chemical health programs; (3)
employment services; (4) academic, social
skills, and nutritional programs for homeless
and at-risk children; (5) an all-day therapeutic
early childhood development program for
homeless and at-risk children; and (6) a
culturally sensitive safe and nurturing
environment for at-risk children to meet with
their nonresidential parents.
new text end

new text begin Subd. 7. new text end new text begin St. Louis County; Regional Behavioral Health Crisis Facility new text end

new text begin 1,365,000 new text end

new text begin To the commissioner of human services for a
grant to St. Louis County for a regional
behavioral health crisis facility. This
appropriation is in addition to and for the same
purposes as the grant awarded to the county
under Minnesota Statutes, section 245G.011.
new text end

Sec. 19. new text begin VETERANS AFFAIRS 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 8,450,000 new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 8,000,000 new text end

new text begin For asset preservation improvements and
betterments of a capital nature at the veterans
homes in Minneapolis, Hastings, Fergus Falls,
Silver Bay, and Luverne, and the Little Falls
Cemetery, to be spent in accordance with
Minnesota Statutes, section 16B.307.
new text end

new text begin Subd. 3. new text end new text begin Fergus Falls Veterans Home Greenhouse new text end

new text begin 100,000 new text end

new text begin To design, construct, and equip a new
greenhouse at the Minnesota Veterans Home
in Fergus Falls.
new text end

new text begin Subd. 4. new text end new text begin Martin County; Veterans Memorial new text end

new text begin 350,000 new text end

new text begin For a grant to Martin County to design and
construct a memorial to those who have served
in the military of the United States of America
and those who have died in the line of duty.
new text end

Sec. 20. new text begin CORRECTIONS 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 44,498,000 new text end

new text begin To the commissioner of administration for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Asset Preservation new text end

new text begin 25,000,000 new text end

new text begin For asset preservation improvements and
betterments of a capital nature at Minnesota
correctional facilities statewide, to be spent in
accordance with Minnesota Statutes, section
16B.307.
new text end

new text begin Subd. 3. new text end new text begin Minnesota Correctional Facility - Willow River new text end

new text begin 1,877,000 new text end

new text begin To design, construct, and equip a
communications system to accommodate a
new radio tower, a microwave system,
electrical and data connectivity, and an
environmentally controlled, secure structure
to house the communications equipment at the
Minnesota Correctional Facility - Willow
River.
new text end

new text begin Subd. 4. new text end new text begin Minnesota Correctional Facility - Faribault new text end

new text begin 954,000 new text end

new text begin To predesign and design the construction and
renovation of new and existing buildings at
the Minnesota Correctional Facility -
Faribault, in order to upgrade the minimum
security housing unit (Dakota Building) and
expand offender programming space.
new text end

new text begin Subd. 5. new text end new text begin Minnesota Correctional Facility - St. Cloud new text end

new text begin 800,000 new text end

new text begin To design, renovate, construct, equip, and
install a new fire suppression system in Living
Units A, B, and C at the Minnesota
Correctional Facility - St. Cloud. This
installation includes but is not limited to cells,
common areas, and control areas and must
comply with all applicable codes.
new text end

new text begin Subd. 6. new text end new text begin Minnesota Correctional Facility - Stillwater new text end

new text begin 2,600,000 new text end

new text begin To design, renovate, construct, equip, and
install a fire suppression system in four living
units at the Minnesota Correctional Facility -
Stillwater. This installation includes but is not
limited to the cells, common areas, and control
areas in Buildings 3, 5, 9, and 12 and must
comply with all applicable codes.
new text end

new text begin Subd. 7. new text end new text begin Minnesota Correctional Facility - Togo new text end

new text begin 2,600,000 new text end

new text begin To design, construct, and equip a new sewer
treatment system at the Minnesota
Correctional Facility - Togo. The system
includes but is not limited to settling ponds,
pumping stations, and other underground
infrastructure improvements associated with
the sewer system complying with all Pollution
Control Agency and code requirements. As
part of the project, the existing septic
system/drain field shall be decommissioned.
new text end

new text begin Subd. 8. new text end new text begin Arrowhead Regional Corrections Joint Powers Board new text end

new text begin 3,250,000 new text end

new text begin For a grant to the Arrowhead Regional
Corrections Joint Powers Board to renovate,
remodel, and complete other capital
improvements to buildings that support
vocational, educational, and farm work
programming and experiences at the Northeast
Regional Corrections Center.
new text end

new text begin Subd. 9. new text end new text begin Carlton County; Regional Corrections Facility new text end

new text begin 2,000,000 new text end

new text begin For a grant to Carlton County for predesign
and design of a corrections facility providing
emphasis on serving as a regional facility for
female offenders. This statewide
demonstration project shall address current
state requirements of parity in serving male
and female offenders under Minnesota
Statutes, section 241.70, subdivision 1, and
will use the Sequential Intercept Model to
improve service and system-level responses
for adults with mental and substance abuse
disorders in the criminal justice system.
new text end

new text begin Subd. 10. new text end new text begin Martin County Justice Center new text end

new text begin 2,167,000 new text end

new text begin For a grant to Martin County for site
preparation, predesign, and design of a new
county justice center to provide space for
functions related to the county justice system,
which may include the county jail, courtrooms,
court offices and related purposes, offices for
the sheriff and other law enforcement
personnel, county and state corrections, the
county attorney, dispatch, and emergency
management.
new text end

new text begin Subd. 11. new text end new text begin Prairie Lake Youth JPB; School and Recreation Center new text end

new text begin 2,500,000 new text end

new text begin For a grant to the Prairie Lake Youth Joint
Powers Board to predesign, design, construct,
furnish, and equip an indoor recreation and
educational building adjoining the current
building for the Prairie Lakes Youth Program.
new text end

new text begin Subd. 12. new text end new text begin Winona County Jail new text end

new text begin 750,000 new text end

new text begin For a grant to Winona County to acquire land
for a new county jail.
new text end

new text begin Subd. 13. new text end new text begin Unspent Appropriations new text end

new text begin The unspent portion of an appropriation for a
Department of Corrections project in this
section that is complete, upon written notice
to the commissioner of management and
budget, is available for asset preservation
under Minnesota Statutes, section 16B.307.
Minnesota Statutes, section 16A.642, applies
from the date of the original appropriation to
the unspent amount transferred.
new text end

Sec. 21. new text begin EMPLOYMENT AND ECONOMIC DEVELOPMENT 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 150,241,000 new text end

new text begin To the commissioner of employment and
economic development, or other named entity,
for the purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Greater Minnesota Business Development Public Infrastructure new text end

new text begin 10,000,000 new text end

new text begin For grants under Minnesota Statutes, section
116J.431.
new text end

new text begin Subd. 3. new text end new text begin Innovative Business Development Public Infrastructure new text end

new text begin 2,000,000 new text end

new text begin For grants under Minnesota Statutes, section
116J.435.
new text end

new text begin Subd. 4. new text end new text begin Transportation Economic Development Infrastructure new text end

new text begin 3,000,000 new text end

new text begin For grants under Minnesota Statutes, section
116J.436.
new text end

new text begin Subd. 5. new text end new text begin Workforce Center; Asset Preservation new text end

new text begin 642,000 new text end

new text begin To the commissioner of administration for
asset preservation improvements and
betterments of a capital nature at the South
Minneapolis CareerForce location to be spent
in accordance with Minnesota Statutes, section
16B.307.
new text end

new text begin Subd. 6. new text end new text begin Alexandria; Runestone Community Center Expansion new text end

new text begin 5,600,000 new text end

new text begin For a grant to the city of Alexandria to design,
construct, furnish, and equip an expansion and
renovation of the Runestone Community
Center in Alexandria.
new text end

new text begin Subd. 7. new text end new text begin Annandale; Infrastructure Improvements new text end

new text begin 4,090,000 new text end

new text begin For a grant to the city of Annandale for
predesign, design, construction, and
replacement or renovation of street, storm
sewer, sanitary sewer, water main, and other
capital improvements that are made necessary
by, or are most economically completed if
performed at the same time as, road work on
marked Trunk Highways 24 and 55 in the city
of Annandale.
new text end

new text begin Subd. 8. new text end new text begin Becker; Business Park Public Infrastructure new text end

new text begin 20,500,000 new text end

new text begin For a grant to the city of Becker to acquire
land, predesign, design, construct, furnish, and
equip public infrastructure, including water,
sanitary sewer, storm sewer and drainage
systems, roads, and lighting for a business
park in the city of Becker. A portion of the
water infrastructure for the business park will
be installed in Becker Township.
new text end

new text begin Subd. 9. new text end new text begin Becker County; Museum new text end

new text begin 1,850,000 new text end

new text begin For a grant to Becker County to predesign,
design, construct, furnish, and equip a new
county museum facility.
new text end

new text begin Subd. 10. new text end new text begin Champlin: Mississippi Point Park Improvements new text end

new text begin 3,450,000 new text end

new text begin For a grant to the city of Champlin to
predesign, design, acquire, install, construct,
furnish, and equip capital improvements in
Mississippi Point Park, including an
Americans with Disabilities Act (ADA)
accessible boat docking system and picnic
pavilion.
new text end

new text begin Subd. 11. new text end new text begin Chatfield; Center for the Arts new text end

new text begin 8,700,000 new text end

new text begin For a grant to the city of Chatfield economic
development authority to predesign, design,
renovate, construct, furnish, and equip the
Chatfield Center for the Arts in the city of
Chatfield, which is generally described as the
renovation of the 1916 high school and the
installation of a linking structure and related
improvements to serve both the 1936
auditorium building and the 1916 school
building. The renovation includes interior,
exterior, and amenity improvements within
the high school building; improvements to the
electrical, plumbing, and HVAC systems
throughout the property; and general
improvements to the buildings and land that
are known as the Chatfield Center for the Arts,
currently owned by the economic development
authority.
new text end

new text begin Subd. 12. new text end new text begin Crookston; Colborn Property Development new text end

new text begin 895,000 new text end

new text begin For a grant to the city of Crookston for
development of the southern end of the city
limits commonly known as the Colborn
Property. This appropriation includes money
for construction of roads and storm water
infrastructure, for site preparation, and for
other improvements of publicly owned
infrastructure.
new text end

new text begin Subd. 13. new text end new text begin Deephaven; Northome Avenue Bridge new text end

new text begin 750,000 new text end

new text begin For a grant to the city of Deephaven to
predesign, design, construct, furnish, and
equip a bridge to carry Northome Avenue over
a pedestrian and bike trail in the city of
Deephaven.
new text end

new text begin Subd. 14. new text end new text begin Duluth; Seawall and Surface Improvements new text end

new text begin 13,500,000 new text end

new text begin For a grant to the city of Duluth to predesign,
design, construct, furnish, and equip seawall
and lakewalk infrastructure with related
surface improvements, including a boardwalk
and bike trails, public gathering spaces, and
loading areas, along the shore of Lake
Superior in the city of Duluth. This
appropriation may also be used for demolition
and removal of existing seawall and lakewalk
structures.
new text end

new text begin Subd. 15. new text end new text begin Duluth; Lake Superior Zoo new text end

new text begin 204,000 new text end

new text begin For a grant to the city of Duluth to predesign
and design the renovation or replacement of
the Main Building at the Lake Superior Zoo.
new text end

new text begin Subd. 16. new text end new text begin Ellsworth; City Hall and Public Works Shop new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of Ellsworth to prepare
the site, predesign, design, construct, furnish,
and equip a city hall with a multipurpose room
and a public works shop, to replace the city
hall and public works buildings destroyed by
fire in January 2019.
new text end

new text begin Subd. 17. new text end new text begin Eveleth; Buildings Renovation new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of Eveleth to predesign,
design, construct, renovate, and equip capital
improvements and betterments to the city
hall/police station, the Carnegie library, the
fire/ambulance hall, the Hippodrome ice arena,
and the city auditorium. The improvements
include renovation or replacement of HVAC
systems, roof replacement, installation of
carbon monoxide and nitrogen dioxide
detection systems, exterior masonry
restoration, and renovation of public
restrooms.
new text end

new text begin Subd. 18. new text end new text begin Fergus Falls; Riverfront Corridor new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of Fergus Falls for
construction of a downtown riverfront corridor
improvement project including an
amphitheater, river market, public arts space,
interactive water components, and related
publicly owned infrastructure and amenities.
new text end

new text begin Subd. 19. new text end new text begin Grand Rapids; IRA Civic Center new text end

new text begin 5,000,000 new text end

new text begin For a grant to the city of Grand Rapids for the
design, construction, and equipping of capital
improvements to the IRA Civic Center. This
appropriation includes money for replacement
of the truss/roof structure, replacement of the
facility's existing ice-making system, and other
improvements and betterments of a capital
nature for health, safety, and Americans with
Disabilities Act (ADA) compliance.
new text end

new text begin Subd. 20. new text end new text begin Hastings; City Hall new text end

new text begin 2,000,000 new text end

new text begin For a grant to the city of Hastings for repairs,
construction, and other capital improvements
necessary for renovation of the historic City
Hall in Hastings. This appropriation includes
money for repairs of the dome and roofing,
HVAC improvements, repairs to the interior
walls and exterior masonry of the building,
site regrading, and project management.
new text end

new text begin Subd. 21. new text end new text begin Hennepin County; Avivo new text end

new text begin 1,700,000 new text end

new text begin For a grant to Hennepin County for Phase 1
of the Avivo regional career and employment
center project in Minneapolis, subject to
Minnesota Statutes, section 16A.695. Phase
1 includes geotechnical and environmental
investigation, demolition, and site work;
predesign and design of the renovation and
expansion of a building; and predesign and
design for the replacement of or improvements
to building systems on the Avivo campus,
including HVAC, mechanical, electrical, and
accessibility improvements.
new text end

new text begin Subd. 22. new text end new text begin Hibbing; Mine View "Window to the World" new text end

new text begin 1,300,000 new text end

new text begin For a grant to the city of Hibbing to construct
the mine view "Windows to the World"
facility on the Susquehanna mine dump.
new text end

new text begin Subd. 23. new text end new text begin Litchfield; Wellness Center new text end

new text begin 5,000,000 new text end

new text begin (a) For a grant to the city of Litchfield to
acquire land for and to predesign, design,
construct, furnish, and equip a community
wellness/recreation center that will include a
gymnasium and general fitness spaces, a
dedicated walking section, a community room,
and any locker rooms and mechanical
equipment needed for future additions to the
facility.
new text end

new text begin (b) This appropriation is not available until
the commissioner of employment and
economic development has determined that
the school district and the city have entered
into an agreement that addresses the city's and
school district's relative contributions to the
project and the operations and use of the
facilities. The city may enter into a lease or
management agreement with the school
district.
new text end

new text begin Subd. 24. new text end new text begin Minneapolis; Central City Storm Tunnel new text end

new text begin 8,500,000 new text end

new text begin For a grant to the city of Minneapolis for
design and construction necessary to expand
the Central City Storm Tunnel in Minneapolis.
new text end

new text begin Subd. 25. new text end new text begin Minneapolis; Outdoor Performance Venue new text end

new text begin 12,500,000 new text end

new text begin (a) For a grant to the city of Minneapolis to
predesign, design, construct, furnish, and
equip a new outdoor music performance venue
on the Upper Harbor site along the Mississippi
River in North Minneapolis. The venue will
accommodate approximately 7,000 to 10,000
people in a combination of temporary seating
or standing room. A portion of the venue will
be designed to allow it to be enclosed for
smaller events on a year-round basis.
new text end

new text begin (b) The city may operate the outdoor music
venue directly or enter into a lease or
management agreement with a for-profit or a
nonprofit operator, subject to Minnesota
Statutes, section 16A.695. The lease or
management agreement must provide for a
program of free use of the venue that will
benefit the adjacent North Minneapolis
community and that will be curated and
controlled by a North Minneapolis
community-based partner.
new text end

new text begin (c) The city of Minneapolis contract with the
developer of the project or the lease or
management agreement, or both, must identify
community benefits from the development,
construction, management, operation, and
maintenance of the venue intended to benefit
the adjacent communities, including benefits
related to procurement, employment,
sustainability, and other commitments from
the operator of the venue.
new text end

new text begin Subd. 26. new text end new text begin New Ulm; German Park Amphitheater new text end

new text begin 300,000 new text end

new text begin For a grant to the city of New Ulm to design,
acquire, install, furnish, and equip a capital
improvement permanent shade structure
system for the German Park amphitheater,
compliant with the Americans with Disabilities
Act.
new text end

new text begin Subd. 27. new text end new text begin Orono; Big Island Park new text end

new text begin 300,000 new text end

new text begin For a grant to the city of Orono to predesign,
design, construct, furnish, and equip
improvements at Big Island Park, including a
picnic area, trails and trail gates, restrooms,
permanent seating, and interpretive panels.
new text end

new text begin Subd. 28. new text end new text begin Pipestone County; Dental Facility new text end

new text begin 250,000 new text end

new text begin For a grant to Pipestone County to predesign,
design, construct, furnish, and equip a dental
care facility in Pipestone County. This
appropriation is in addition to the
appropriation for the same purpose in Laws
2018, chapter 214, article 1, section 21,
subdivision 18. This project is not subject to
the requirements of Minnesota Statutes,
section 16B.325.
new text end

new text begin Subd. 29. new text end new text begin Plymouth; Plymouth Creek Center new text end

new text begin 5,000,000 new text end

new text begin For a grant to the city of Plymouth to
predesign, design, construct, furnish, and
equip the renovation and expansion of the
Plymouth Creek Center.
new text end

new text begin Subd. 30. new text end new text begin Proctor; Salt Shed new text end

new text begin 500,000 new text end

new text begin For a grant to the city of Proctor to predesign,
design, and construct a salt shed to replace the
condemned salt shed on the river front.
new text end

new text begin Subd. 31. new text end new text begin Roseville; Guidant John Rose OVAL new text end

new text begin 3,900,000 new text end

new text begin For a grant to the city of Roseville to
predesign, design, construct, furnish, and
equip the renovation of the Guidant John Rose
Minnesota OVAL. The project includes the
building, building systems, and facilities.
new text end

new text begin Subd. 32. new text end new text begin Steele County; Fairgrounds Electrical Improvements new text end

new text begin 750,000 new text end

new text begin For a grant to Steele County to construct
underground electrical infrastructure at the
Steele County Fairgrounds.
new text end

new text begin Subd. 33. new text end new text begin St. Cloud; Municipal Athletic Complex new text end

new text begin 10,000,000 new text end

new text begin For a grant to the city of St. Cloud to design,
construct, furnish, and equip improvements
to the municipal athletic complex to serve as
a regional sport facility. This appropriation
includes money to renovate and expand the
Municipal Athletic Facility, to demolish the
grandstand at Dick Putz field, and to design,
construct, furnish and equip a new grandstand
at Dick Putz Field. This appropriation may
not be used to acquire and install artificial turf
or to construct the west lobby.
new text end

new text begin Subd. 34. new text end new text begin St. Joseph; Jacob Wetterling Recreation Center new text end

new text begin 1,050,000 new text end

new text begin For a grant to the city of St. Joseph for Phase
1 of the St. Joseph Community Center project.
Phase 1 is to predesign and design a recreation
center as an addition to the former school
building purchased by the city to be
repurposed as a community center.
new text end

new text begin Subd. 35. new text end new text begin St. Louis County; Heritage and Arts Center new text end

new text begin 1,500,000 new text end

new text begin For a grant to St. Louis County for asset
preservation of the St. Louis County Heritage
and Arts Center, also known as the Depot, in
Duluth. The project includes improvements
to the life-safety elements of the building and
to restore exterior building envelope integrity.
new text end

new text begin Subd. 36. new text end new text begin St. Paul; Humanities Center new text end

new text begin 750,000 new text end

new text begin For a grant to the city of St. Paul for asset
preservation of the Minnesota Humanities
Center's main facility, including capital
improvements for building envelope,
foundation, and structural integrity; and for
mechanical systems upgrades, including
heating, ventilation, and cooling, subject to
Minnesota Statutes, section 16A.695. This
appropriation is added to the appropriation in
Laws 2018, chapter 214, article 1, section 21,
subdivision 25.
new text end

new text begin Subd. 37. new text end new text begin St. Paul; Playwrights' Center new text end

new text begin 850,000 new text end

new text begin For a grant to the city of St. Paul to predesign
and design the playwrights center facility in
St. Paul for use as a comprehensive play
development program and workshop facility.
new text end

new text begin Subd. 38. new text end new text begin St. Paul; Victoria Theater new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of St. Paul to acquire
property located at 825 University Avenue
West, and to predesign, design, construct,
furnish, and equip the renovation of the
historic Victoria Theater, to serve as a regional
multicultural community and event center.
This appropriation includes money for:
demolition work; improvements to or
replacement of the mechanical, electrical,
plumbing, heating, ventilating, and air
conditioning systems; repairs to the existing
roof and exterior enclosure; site
improvements; construction or renovation of
interior spaces; and other improvements of a
capital nature. The city of St. Paul may enter
into a lease or management agreement with a
nonprofit organization for this facility under
Minnesota Statutes, section 16A.695.
new text end

new text begin Subd. 39. new text end new text begin St. Paul; Hmong Cultural Plaza, Phalen Regional Park new text end

new text begin 300,000 new text end

new text begin (a) For a grant to city of St. Paul for
construction of Phase II of the Saint Paul -
Changsha China Friendship Garden, at the
Hmong Cultural Plaza, in Phalen Regional
Park.
new text end

new text begin (b) In implementing the project, the city, or
any entity with which the city contracts for
implementation of the project, must hire and
retain for the life of the project residents of
the adjacent communities in living wage jobs,
improve environmental conditions of the
project site, use clean and efficient energy
sources, and work with Hmong cultural leaders
and artists to ensure that traditional Hmong
landscaping and building practices are used
to help tell the story of the Minnesota Hmong
experience.
new text end

new text begin Subd. 40. new text end new text begin Wadena; Access Road new text end

new text begin 1,300,000 new text end

new text begin For a grant to the city of Wadena to acquire a
permanent easement for and to predesign,
design, engineer, and construct an access road
just northeast of 11th Street Northwest in
Wadena, going from marked Trunk Highway
10 to the new hospital complex.
new text end

new text begin Subd. 41. new text end new text begin Western Lake Superior Sanitary District; Engine Generators new text end

new text begin 6,750,000 new text end

new text begin For a grant to the Sanitary Board of the
Western Lake Superior Sanitary District to
design and construct engine generators as part
of the combined heat and power system to
capture and process heat and generate
electricity for use at the Western Lake
Superior Sanitary District wastewater
treatment facilities.
new text end

new text begin Subd. 42. new text end new text begin Willernie; Public Infrastructure new text end

new text begin 160,000 new text end

new text begin For a grant to the city of Willernie to replace
the roof of the city hall, and, if any money is
remaining, for capital improvements in
conjunction with the Washington County road
12 project, including replacing and extending
the sidewalk, replacement of a water main,
and moving or removing a retaining wall.
new text end

new text begin Subd. 43. new text end new text begin Wright County; Dental Care Facility new text end

new text begin 1,400,000 new text end

new text begin For a grant to Wright County to predesign,
design, construct, furnish, and equip a dental
care facility. The dental care facility will be
constructed in a building constructed for this
purpose by the county on the Wright County
Government Center campus in the city of
Buffalo. The county may enter into an
agreement under Minnesota Statutes, section
16A.695, for operation of the dental clinic.
new text end

Sec. 22. new text begin PUBLIC FACILITIES AUTHORITY 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 254,410,000 new text end

new text begin To the Public Facilities Authority for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin State Match for Federal Grants to State Revolving Loan Programs new text end

new text begin 25,000,000 new text end

new text begin To match federal capitalization grants for the
clean water revolving fund under Minnesota
Statutes, section 446A.07, and the drinking
water revolving fund under Minnesota
Statutes, section 446A.081. This appropriation
must be used for qualified capital projects.
new text end

new text begin Subd. 3. new text end new text begin Water Infrastructure Funding Program new text end

new text begin 55,494,000 new text end

new text begin (a) For grants to eligible municipalities under
the water infrastructure funding program under
Minnesota Statutes, section 446A.072.
new text end

new text begin (b) $33,296,000 is for wastewater projects
listed on the Pollution Control Agency's
project priority list in the fundable range under
the clean water revolving fund program.
new text end

new text begin (c) $22,198,000 is for drinking water projects
listed on the commissioner of health's project
priority list in the fundable range under the
drinking water revolving fund program.
new text end

new text begin (d) After all eligible projects under paragraph
(b) or (c) have been funded in a fiscal year,
the Public Facilities Authority may transfer
any remaining, uncommitted money to eligible
projects under a program defined in paragraph
(b) or (c) based on that program's project
priority list.
new text end

new text begin Subd. 4. new text end new text begin Point Source Implementation Grants Program new text end

new text begin 44,553,000 new text end

new text begin For grants to eligible municipalities under the
point source implementation grants program
under Minnesota Statutes, section 446A.073.
This appropriation must be used for qualified
capital projects.
new text end

new text begin Subd. 5. new text end new text begin Albertville; Wastewater Treatment System Improvements new text end

new text begin 2,500,000 new text end

new text begin For a grant to the city of Albertville to design
and construct wastewater infrastructure
improvements related to nonnative species
control.
new text end

new text begin Subd. 6. new text end new text begin Arden Hills; Water Main new text end

new text begin 500,000 new text end

new text begin For a grant to the city of Arden Hills to install
a water main extending along Lexington
Avenue, from County Road E to marked
Interstate Highway 694.
new text end

new text begin Subd. 7. new text end new text begin Aurora; East Range Joint Powers Board; Water System new text end

new text begin 5,000,000 new text end

new text begin For a grant to the city of Aurora, Hoyt Lakes,
or Biwabik, or the Town of White for the East
Mesabi Joint Water System, to acquire land
or a permanent interest in land, design,
engineer, construct, furnish, and equip a
comprehensive municipally owned cooperative
joint drinking water system in the political
subdivisions that are part of the East Range
Joint Powers Board.
new text end

new text begin Subd. 8. new text end new text begin Austin; Wastewater Treatment Plant new text end

new text begin 7,450,000 new text end

new text begin For a grant to the city of Austin to design and
engineer improvements for upgrades to the
city's wastewater treatment facility.
new text end

new text begin Subd. 9. new text end new text begin Bemidji; Water Treatment Plant new text end

new text begin 10,194,000 new text end

new text begin For a grant to the city of Bemidji to predesign,
design, construct, furnish, and equip upgrades
to the city's water treatment plant including
the addition of a filtration system to remove
perfluoroalkyl substances from the city's
drinking water.
new text end

new text begin Subd. 10. new text end new text begin Buhl; Water Infrastructure new text end

new text begin 1,500,000 new text end

new text begin For a grant to the city of Buhl to predesign,
design, and construct wastewater, clean water,
and storm sewer infrastructure in the city of
Buhl.
new text end

new text begin Subd. 11. new text end new text begin Deer River; Water and Wastewater Systems new text end

new text begin 4,000,000 new text end

new text begin For a grant to the city of Deer River to design,
engineer, and construct improvements and
additions to the city's wastewater collection
and treatment system, including construction
of a stabilization pond, and replacement and
expansion of storm sewer lines, sanitary sewer
lines, and water lines in the city of Deer River.
new text end

new text begin Subd. 12. new text end new text begin East Itasca Joint Sewer Board; Regional Wastewater System new text end

new text begin 750,000 new text end

new text begin For a grant to the city of Nashwauk for
preliminary and final engineering of a regional
wastewater treatment system located in the
city of Nashwauk to serve the communities
represented by the East Itasca Joint Sewer
Board and other communities.
new text end

new text begin Subd. 13. new text end new text begin Floodwood; Stabilization Ponds new text end

new text begin 2,000,000 new text end

new text begin For a grant to the city of Floodwood for
predesign, design, engineering, and
construction and expansion of stabilization
ponds.
new text end

new text begin Subd. 14. new text end new text begin Foley; Wastewater Infrastructure new text end

new text begin 3,000,000 new text end

new text begin For a grant to the city of Foley to predesign,
design, construct, and equip wastewater
infrastructure improvements, which may also
include acquisition of real property needed for
the wastewater infrastructure improvements.
new text end

new text begin Subd. 15. new text end new text begin Lincoln-Pipestone Rural Water System new text end

new text begin 5,500,000 new text end

new text begin For a grant to the Lincoln-Pipestone Rural
Water System to predesign and design water
source development in its service area,
including new wells, a water softening
treatment plant (lime softening plant), and new
water distribution pipes.
new text end

new text begin Subd. 16. new text end new text begin Mahnomen; Water Infrastructure new text end

new text begin 650,000 new text end

new text begin For a grant under Minnesota Statutes, section
446A.07, to the city of Mahnomen for
improvements to the city's water infrastructure.
This grant is not subject to the project priority
list set forth in Minnesota Statutes, section
446A.07, subdivision 4.
new text end

new text begin Subd. 17. new text end new text begin Mahnomen; Drinking Water Infrastructure new text end

new text begin 1,250,000 new text end

new text begin For a grant under Minnesota Statutes, section
446A.081, to the city of Mahnomen for the
city's drinking water infrastructure. This grant
is not subject to the project priority list set
forth in Minnesota Statutes, section 446A.081,
subdivision 5.
new text end

new text begin Subd. 18. new text end new text begin Melrose; Wastewater Treatment Facility new text end

new text begin 3,500,000 new text end

new text begin For a grant to the city of Melrose to design,
construct, and equip improvements to the
municipal wastewater treatment facility to
expand the capacity of the facility and replace
facility infrastructure and components that
have reached the end of their useful life. This
appropriation includes money for a new
preliminary treatment system with new
screening and pumping and for a new clarifier.
new text end

new text begin Subd. 19. new text end new text begin Mendota; Water Infrastructure new text end

new text begin 650,000 new text end

new text begin For a grant to the city of Mendota to
predesign, design, engineer, and construct the
extension of the water main throughout the
city of Mendota to allow residents to connect
with the Saint Paul Regional Water Services
system.
new text end

new text begin Subd. 20. new text end new text begin Newport; Inflow and Infiltration new text end

new text begin 2,000,000 new text end

new text begin For a grant to the city of Newport to design
and construct capital improvements to the
publicly owned portions of the city's
wastewater infrastructure to reduce or
eliminate inflow and infiltration.
new text end

new text begin Subd. 21. new text end new text begin Oronoco; Regional Wastewater System Infrastructure Grant new text end

new text begin 24,027,000 new text end

new text begin (a) Of this amount, $1,350,000 is for a grant
to the city of Oronoco to acquire land and
easements, design, and engineer a wastewater
collection, conveyance, and treatment system
and associated water distribution
improvements to serve the city of Oronoco
and the region including the Oronoco Estates
Manufactured Home Community. Any amount
remaining after completion of design,
engineering, and acquisition may be applied
to the purposes described in subdivision 2.
new text end

new text begin (b) Of this amount, $22,677,000 is for a grant
to the city of Oronoco to construct and provide
construction-related engineering for a
wastewater collection, conveyance, and
treatment system and associated water
distribution improvements to serve the city of
Oronoco and the region including the Oronoco
Estates Manufactured Home Community.
new text end

new text begin Subd. 22. new text end new text begin Randolph; Wastewater Infrastructure new text end

new text begin 13,000,000 new text end

new text begin For a grant to the city of Randolph to acquire
land, predesign, environmental review, design,
construct, install, furnish, and equip a
wastewater collection system and treatment
system, including wastewater stabilization
ponds and spray irrigation fields, in and within
one and one-half miles of the city of Randolph.
new text end

new text begin Subd. 23. new text end new text begin Red Rock Rural Water System new text end

new text begin 5,500,000 new text end

new text begin For a grant to the Red Rock Rural Water
System to design, construct, furnish, and equip
a new water treatment plant, a new water
tower, and installation of approximately 110
miles of ten-inch through two-inch water main,
and other improvements to infrastructure
required for an expansion of the Red Rock
Rural Water System, to be built and located
in Murray and Cottonwood Counties.
new text end

new text begin Subd. 24. new text end new text begin Rice Lake; Sewer, Water, and Utilities Extension new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of Rice Lake to acquire
land, predesign, design, construct, furnish, and
equip an extension of clean water, sanitary
sewer, storm sewer, and utilities to a
commercial and industrial park on North Rice
Lake Road in Rice Lake.
new text end

new text begin Subd. 25. new text end new text begin Royalton; Clean Water and Storm Sewer Infrastructure new text end

new text begin 900,000 new text end

new text begin For a grant to the city of Royalton to design,
engineer, and construct publicly owned
infrastructure in conjunction with
reconstruction of marked U.S. Highway 10 in
Royalton. This appropriation includes money
for replacement of and upgrades to the water
main and other municipal clean drinking water
infrastructure and the storm sewer drainage
system.
new text end

new text begin Subd. 26. new text end new text begin South Haven; Wells new text end

new text begin 1,700,000 new text end

new text begin For a grant to the city of South Haven to
acquire land, predesign, design, construct,
furnish, and equip two new wells in Wright
County.
new text end

new text begin Subd. 27. new text end new text begin South St. Paul; Concord Street Public Utilities new text end

new text begin 2,000,000 new text end

new text begin For a grant to the city of South St. Paul to
predesign, design, construct, and install
sanitary sewer, water main, and storm sewer
improvements, including removal of replaced
infrastructure as necessary, in the Concord
Street corridor in conjunction with the
reconstruction and renovation of the street.
new text end

new text begin Subd. 28. new text end new text begin Spring Park; City Utilities new text end

new text begin 1,500,000 new text end

new text begin For a grant to the city of Spring Park for
improvements to the city's water and sewer
system in the northwest area of the city on
West Arm Drive.
new text end

new text begin Subd. 29. new text end new text begin Two Harbors; Wastewater Treatment Plant new text end

new text begin 10,750,000 new text end

new text begin For a grant to the city of Two Harbors to
predesign, design, construct, furnish, and
equip improvements to the wastewater
treatment facility in the city of Two Harbors,
including a new activated sludge biological
treatment system and mercury removal
improvements, new aeration basins, final
clarifiers, biosolids treatment units, mercury
filter backwash supply tank, operations and
controls building, and associated electrical and
controls equipment.
new text end

new text begin Subd. 30. new text end new text begin Twin Lakes Township; Water Infrastructure new text end

new text begin 7,500,000 new text end

new text begin For a grant to Twin Lakes Township for the
design and construction of a water distribution
system, support facilities, and related water
improvements, including a water main
extension from the city of Carlton, along
marked Trunk Highway 210 in Carlton
County.
new text end

new text begin Subd. 31. new text end new text begin Vernon Center; Water Infrastructure Improvements new text end

new text begin 7,984,000 new text end

new text begin For a grant to the city of Vernon Center to
predesign, design, construct, furnish, and
equip water infrastructure improvements,
including refurbishing a water tower, and
replacement of wastewater collection, water
distribution systems, storm sewer system
improvements, and related local road
improvements.
new text end

new text begin Subd. 32. new text end new text begin Waldorf; Water Infrastructure Improvements new text end

new text begin 858,000 new text end

new text begin For a grant to the city of Waldorf to complete
the construction of water, wastewater, street,
and storm sewer improvements.
new text end

new text begin Subd. 33. new text end new text begin West St. Paul; Lift Stations new text end

new text begin 2,200,000 new text end

new text begin For a grant to the city of West St. Paul for
upgrades to lift stations 1 and 2.
new text end

Sec. 23. new text begin MINNESOTA HOUSING FINANCE AGENCY new text end

new text begin $ new text end

new text begin 16,000,000 new text end

new text begin To the Minnesota Housing Finance Agency
for transfer to the housing development fund
to finance the costs of rehabilitation to
preserve public housing under Minnesota
Statutes, section 462A.202, subdivision 3a.
For purposes of this section, "public housing"
means housing for low-income persons and
households financed by the federal
government and publicly owned. Priority may
be given to proposals that maximize nonstate
resources to finance the capital costs and
requests that prioritize health, safety, and
energy improvements. The priority in
Minnesota Statutes, section 462A.202,
subdivision 3a, for projects to increase the
supply of affordable housing and the
restrictions of Minnesota Statutes, section
462A.202, subdivision 7, do not apply to this
appropriation.
new text end

Sec. 24. new text begin MINNESOTA HISTORICAL SOCIETY 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 3,100,000 new text end

new text begin To the Minnesota Historical Society for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Historic Sites Asset Preservation new text end

new text begin 2,350,000 new text end

new text begin For capital improvements and betterments at
state historic sites, buildings, landscaping at
historic buildings, exhibits, markers, and
monuments, to be spent in accordance with
Minnesota Statutes, section 16B.307. The
society shall determine project priorities as
appropriate based on need.
new text end

new text begin Subd. 3. new text end new text begin County and Local Preservation Grants new text end

new text begin 750,000 new text end

new text begin For grants to county and local jurisdictions as
matching money for historic preservation
projects of a capital nature, as provided in
Minnesota Statutes, section 138.0525.
new text end

Sec. 25. new text begin BOND SALE EXPENSES 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 1,363,000 new text end

new text begin To the commissioner of management and
budget for the purposes specified in this
section.
new text end

new text begin Subd. 2. new text end new text begin Bond Proceeds Fund new text end

new text begin 1,363,000 new text end

new text begin From the bond proceeds fund for bond sale
expenses under Minnesota Statutes, section
16A.641, subdivision 8.
new text end

Sec. 26. new text begin BOND SALE AUTHORIZATION.
new text end

new text begin Subdivision 1. new text end

new text begin Bond proceeds fund. new text end

new text begin To provide the money appropriated in this act from
the bond proceeds fund, the commissioner of management and budget shall sell and issue
bonds of the state in an amount up to $1,120,671,000 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.
new text end

new text begin Subd. 2. new text end

new text begin Transportation fund. new text end

new text begin To provide the money appropriated in this act from the
bond proceeds account in the state transportation fund, the commissioner of management
and budget shall sell and issue bonds of the state in an amount up to $242,959,000 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.
new text end

Sec. 27. new text begin CANCELLATIONS; BOND SALE AUTHORIZATION REDUCTIONS.
new text end

new text begin (a) The amounts of the general obligation bond proceeds appropriations and trunk
highway bond proceeds appropriations listed in the cancellation report submitted to the
legislature in January 2020, pursuant to Minnesota Statutes, section 16A.642, are canceled
on the effective date of this section. The corresponding bond sale authorizations are reduced
by the same amounts. If an appropriation in this section is canceled more than once, the
cancellation must be given effect only once.
new text end

new text begin (b) The unobligated amount remaining from the appropriation in Laws 2018, chapter
214, article 1, section 21, subdivision 27, is canceled. The bond sale authorization in Laws
2018, chapter 214, article 1, section 26, subdivision 1, is reduced by the same amount.
new text end

Sec. 28. new text begin BOND SALE SCHEDULE.
new text end

new text begin The commissioner of management and budget shall schedule the sale of state general
obligation bonds so that, during the biennium ending June 30, 2021, no more than
$1,139,311,000 will need to be transferred from the general fund to the state bond fund to
pay principal and interest due and to become due on outstanding state general obligation
bonds. During the biennium, before each sale of state general obligation bonds, the
commissioner of management and budget shall calculate the amount of debt service payments
needed on bonds previously issued and shall estimate the amount of debt service payments
that will be needed on the bonds scheduled to be sold. The commissioner shall adjust the
amount of bonds scheduled to be sold so as to remain within the limit set by this section.
The amount needed to make the debt service payments is appropriated from the general
fund as provided in Minnesota Statutes, section 16A.641.
new text end

Sec. 29. new text begin EFFECTIVE DATE.
new text end

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

ARTICLE 2

TRUNK HIGHWAY BONDS

Section 1. new text begin 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 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, articles XI and XIV. Unless otherwise specified, money
appropriated in this article for a capital program or project may be used to pay state agency
staff costs that are attributed directly to the capital program or project in accordance with
accounting policies adopted by the commissioner of management and budget.
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 300,000,000 new text end
new text begin Department of Management and Budget new text end		new text begin 300,000 new text end
new text begin TOTAL new text end	new text begin $ new text end	new text begin 300,300,000 new text end

new text begin APPROPRIATIONS new text end

Sec. 2. new text begin DEPARTMENT OF TRANSPORTATION new text end

new text begin Subdivision 1. new text end new text begin State Road Construction new text end

new text begin $ new text end

new text begin 84,000,000 new text end

new text begin (a) From the bond proceeds account in the
trunk highway fund for the environmental
analysis, predesign, design, engineering,
construction, reconstruction, and improvement
of trunk highways, including design-build
contracts, internal department costs associated
with delivering the construction program,
consultant usage to support these activities,
and the cost of payments to landowners for
lands acquired for highway rights-of-way. The
amount under this subdivision must be
allocated to maintain regional balance
throughout the state. The commissioner may
use up to 17 percent of this amount for
program delivery.
new text end

new text begin (b) This appropriation is primarily for keeping
projects in the State Transportation
Improvement Program on schedule due to
reduced revenues from the COVID-19
pandemic. If the appropriation is not needed
for keeping projects on schedule, it is available
for other trunk highway construction,
reconstruction and improvement projects
identified through the Capital Highway
Investment Plan.
new text end

new text begin (c) Projects to construct, reconstruct, or
improve trunk highways from this
appropriation will follow eligible investment
priorities identified in the State Highway
Investment Plan, and may include pavements,
bridges, culverts, flood mitigation, traveler
safety, greater Minnesota mobility and Twin
Cities mobility, freight, bicycle and pedestrian
infrastructure, regional and community
investment priorities, interchange construction
or reconstruction, and lane additions, in
addition to the associated installation of safety
barriers, lighting, signage, noise mitigation
measures, and retaining walls.
new text end

new text begin Subd. 2. new text end new text begin Railroad Grade Separations new text end

new text begin 110,000,000 new text end

new text begin From the bond proceeds account in the trunk
highway fund to construct rail safety projects
at highway-railroad grade crossings in
accordance with Minnesota Statutes, section
219.016.
new text end

new text begin Subd. 3. new text end new text begin Project Development new text end

new text begin 25,000,000 new text end

new text begin From the bond proceeds account in the trunk
highway fund for environmental analysis,
predesign, design and engineering and
right-of-way acquisition for regional and
community investment priority projects on the
trunk highway system identified in the State
Highway Investment Plan to prepare the
projects for construction and application for
federal grants or other funding opportunities.
In consultation with the commissioner of
Minnesota Management and Budget, the
commissioner of transportation is authorized
to use funds from this appropriation on
existing bond-eligible trunk highway projects
within the State Transportation Improvement
Program.
new text end

new text begin Subd. 4. new text end new text begin Flood Mitigation new text end

new text begin 23,000,000 new text end

new text begin From the bond proceeds account in the trunk
highway fund for reconstruction of trunk
highways that experience frequent flooding
in Sibley County and Le Sueur County, to
modify the elevation of the roadways and
reduce closures due to river flooding, for
portions of the projects that are eligible for
trunk highway bond proceeds.
new text end

new text begin Subd. 5. new text end new text begin Facilities Capital Program new text end

new text begin 58,000,000 new text end

new text begin From the bond proceeds account in the trunk
highway fund for the transportation facilities
capital improvement program under Minnesota
Statutes, section 174.13.
new text end

Sec. 3. new text begin BOND SALE EXPENSES new text end

new text begin $ new text end

new text begin 300,000 new text end

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

Sec. 4. new text begin BOND SALE AUTHORIZATION. 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 management and budget shall sell and issue bonds
of the state in an amount up to $300,300,000 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

Sec. 5.

new text begin [174.13] TRANSPORTATION FACILITIES CAPITAL PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment; accounts. new text end

new text begin (a) A transportation facilities capital program
is established to prioritize among eligible projects that:
new text end

new text begin (1) support the programmatic mission of the department;
new text end

new text begin (2) extend the useful life of existing buildings; or
new text end

new text begin (3) renovate or construct facilities to meet the department's current and future operational
needs.
new text end

new text begin (b) Projects under the transportation facilities capital program are funded by proceeds
from the sale of trunk highway bonds or from other funds appropriated for the purposes of
this section.
new text end

new text begin (c) A transportation facilities capital account is established in the trunk highway fund.
The account consists of all money appropriated from the trunk highway fund for the purposes
of this section and any other money donated, allotted, transferred, or otherwise provided to
the account by law. Money in the account is appropriated to the commissioner for the
purposes specified and consistent with the standards and criteria set forth in this section.
new text end

new text begin (d) A transportation facilities capital account is established in the bond proceeds account
of the trunk highway fund. The account consists of trunk highway bond proceeds appropriated
to the commissioner. Money in the account may only be expended on trunk highway
purposes, which includes the purposes in this section.
new text end

new text begin Subd. 2. new text end

new text begin Standards. new text end

new text begin Article XIV of the Minnesota Constitution states that the trunk
highway fund may be used for the purposes of constructing, improving, and maintaining
the trunk highway system in the state. When allocating funding under this section, the
commissioner must review the projects deemed eligible under subdivision 3 and prioritize
allocations using the criteria in subdivision 4. Money allocated to a specific project in an
act of appropriation or other law must be allocated as provided by the law.
new text end

new text begin Subd. 3. new text end

new text begin Eligible expenditures. new text end

new text begin A project is eligible under this section only if it involves
the construction, improvement, or maintenance of a capital building asset that is part of the
state trunk highway system. These capital building assets include but are not limited to
district headquarter buildings, truck stations, salt storage or other unheated storage buildings,
deicing and anti-icing facilities, fuel dispensing facilities, highway rest areas, and vehicle
weigh and inspection stations.
new text end

new text begin Subd. 4. new text end

new text begin Criteria for priorities. new text end

new text begin When prioritizing funding allocation among projects
eligible under subdivision 3, the commissioner must consider:
new text end

new text begin (1) whether a project ensures the effective and efficient condition and operation of the
facility;
new text end

new text begin (2) the urgency in ensuring the safe use of existing buildings;
new text end

new text begin (3) the project's total life-cycle cost;
new text end

new text begin (4) additional criteria for priorities otherwise specified in state law, statute, or rule that
applies to a category listed in the act making an appropriation for the program; and
new text end

new text begin (5) any other criteria the commissioner deems necessary.
new text end

Sec. 6. new text begin EFFECTIVE DATE.
new text end

new text begin This article is effective the day after enactment.
new text end

ARTICLE 3

EQUITY APPROPRIATIONS

Section 1. new text begin CAPITAL IMPROVEMENT APPROPRIATIONS. new text end

new text begin The sums shown in the column under "Appropriations" are appropriated from the general
fund in fiscal year 2021 to the state agencies or officials indicated, to be spent for public
purposes. These are one-time appropriations. Money appropriated in this article is available
until the project is completed or abandoned subject to Minnesota Statutes, section 16A.642.
new text end

new text begin APPROPRIATIONS new text end

Sec. 2. new text begin AGRICULTURE 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 2,250,000 new text end

new text begin To the commissioner of agriculture for the
purposes specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Hmong American Farmers Association new text end

new text begin 2,000,000 new text end

new text begin For a grant to the Hmong American Farmers
Association to purchase approximately 155
acres in Dakota County that the association
has leased since 2014, including buildings and
improvements on the property.
new text end

new text begin Subd. 3. new text end new text begin Regenerative Alliance new text end

new text begin 250,000 new text end

new text begin (a) For a grant to the Regenerative Agriculture
Alliance to predesign a poultry processing
plant and an associated industrial park aimed
at creating new, value-added economic
opportunities for local farmers in southeastern
Minnesota.
new text end

new text begin (b) By March 1, 2022, the Regenerative
Agriculture Alliance in collaboration with the
commissioner of agriculture, must submit a
report to the chairs and ranking minority
members of the legislative committees with
jurisdiction over agriculture finance on the
progress, development, and implementation
of the poultry processing plant and industrial
park design and their potential to open new
market opportunities for local and emerging
farmers.
new text end

Sec. 3. new text begin METROPOLITAN COUNCIL new text end

new text begin 5,125,000 new text end

new text begin To the Metropolitan Council for a grant to the
Minneapolis Park and Recreation Board to
predesign, design, construct, renovate, furnish,
and equip the first phase of the North
Commons Improvement Project, focused on
the creation of the field house component of
a new recreation center building and the first
phase of other community-oriented activity
and meeting spaces conceptualized for the
building.
new text end

Sec. 4. new text begin HUMAN SERVICES new text end

new text begin 5,575,000 new text end

new text begin To the commissioner of human services for a
grant to the Red Lake Band of Chippewa
Indians to predesign, design, construct,
furnish, and equip a family and child services
building.
new text end

Sec. 5. new text begin EMPLOYMENT AND ECONOMIC DEVELOPMENT 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 17,050,000 new text end

new text begin To the commissioner of employment and
economic development for the purposes
specified in this section.
new text end

new text begin Subd. 2. new text end new text begin Minneapolis American Indian Center new text end

new text begin 2,600,000 new text end

new text begin For a grant to the Minneapolis American
Indian Center for the same purposes and
subject to the same requirements as Laws
2018, chapter 214, article 1, section 21,
subdivision 17.
new text end

new text begin Subd. 3. new text end new text begin Indigenous Peoples Task Force, Minneapolis new text end

new text begin 2,000,000 new text end

new text begin For a grant to the Indigenous Peoples Task
Force to design, construct, furnish, and equip
the Mikwanedun Audisookon Center in
Minneapolis.
new text end

new text begin Subd. 4. new text end new text begin International Institute of Minnesota new text end

new text begin 3,000,000 new text end

new text begin For a grant to the International Institute of
Minnesota to remediate contaminated soil, and
to construct, furnish, and equip an expansion
of its facilities.
new text end

new text begin Subd. 5. new text end new text begin Juxtaposition Arts, Minneapolis new text end

new text begin 1,000,000 new text end

new text begin For a grant to Juxtaposition Arts in
Minneapolis to acquire property adjacent to
its current location to accommodate the growth
in its youth art and enterprise programs and
complete architectural due diligence for
expansion.
new text end

new text begin Subd. 6. new text end new text begin Cultural Wellness Center, Minneapolis new text end

new text begin 250,000 new text end

new text begin For a grant to the Cultural Wellness Center to
predesign and design the renovation of
Dreamland on 38th in Minneapolis to create
a workspace for African-American
entrepreneurs to start and expand small
businesses and to host community gatherings
and events.
new text end

new text begin Subd. 7. new text end new text begin Baldwin Square, Minneapolis new text end

new text begin 1,000,000 new text end

new text begin For a grant to the city of Minneapolis to
construct, furnish, and equip the renovation
of blighted property located at 4146 Fremont
Avenue North, for redevelopment as retail,
restaurant, and other commercial space to be
known as Baldwin Square. This appropriation
includes money for roof replacement,
abatement of asbestos and other hazardous
materials, replacement of mechanical systems
including the electrical, plumbing, and heating,
ventilation and air-conditioning (HVAC), and
other improvements and betterments of a
capital nature.
new text end

new text begin Subd. 8. new text end new text begin Native American Community Clinic, Minneapolis new text end

new text begin 3,800,000 new text end

new text begin For a grant to the Native American
Community Clinic in Minneapolis to purchase
the building in which the clinic is located.
new text end

new text begin Subd. 9. new text end new text begin Northwest American Indian Center, Bemidji new text end

new text begin 2,000,000 new text end

new text begin For a grant to the Northwest Indian
Community Development Center to purchase
the building in which they currently operate
in the city of Bemidji.
new text end

new text begin Subd. 10. new text end new text begin Victoria Theater, St. Paul new text end

new text begin 1,400,000 new text end

new text begin For a grant to the city of St. Paul to acquire
property located at 825 University Avenue
West, and to predesign, design, construct,
furnish, and equip the renovation of the
historic Victoria Theater, to serve as a regional
multicultural community and event center.
This appropriation includes money for:
demolition work; improvements to or
replacement of the mechanical, electrical,
plumbing, heating, ventilating, and air
conditioning systems; repairs to the existing
roof and exterior enclosure; site
improvements; construction or renovation of
interior spaces; and other improvements of a
capital nature.
new text end

Sec. 6. new text begin EFFECTIVE DATE.
new text end

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

ARTICLE 4

APPROPRIATION BONDS

Section 1.

new text begin [16A.963] ELECTRIC VEHICLE INFRASTRUCTURE APPROPRIATION
BONDS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The definitions in this subdivision apply to this section.
new text end

new text begin (b) "Appropriation bond" or "bond" means a bond, note, or other similar instrument of
the state payable during a biennium from one or more of the following sources:
new text end

new text begin (1) money appropriated by law from the general fund in any biennium for debt service
due with respect to obligations described in subdivision 2, paragraph (a);
new text end

new text begin (2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);
new text end

new text begin (3) payments received for that purpose under agreements and ancillary arrangements
described in subdivision 2, paragraph (d); and
new text end

new text begin (4) investment earnings on amounts in clauses (1) to (3).
new text end

new text begin (c) "Debt service" means the amount payable in any biennium of principal, premium, if
any, and interest on appropriation bonds, and the fees, charges, and expenses related to the
bonds.
new text end

new text begin Subd. 2. new text end

new text begin Authorization to issue appropriation bonds. new text end

new text begin (a) Subject to the limitations of
this subdivision, the commissioner may sell and issue appropriation bonds of the state under
this section for public purposes as provided by law, including for the purposes of financing
the cost of acquiring and installing electric vehicle charging infrastructure on publicly owned
property. Appropriation bonds may be sold and issued in amounts that, in the opinion of
the commissioner, are necessary to provide sufficient money to the commissioner of
administration under subdivision 7, not to exceed $2,000,000 net of costs of issuance, for
the purposes as provided under this subdivision, and to pay debt service including capitalized
interest, costs of issuance, costs of credit enhancement, or make payments under other
agreements entered into under paragraph (d).
new text end

new text begin (b) Proceeds of the appropriation bonds must be credited to a special appropriation
electric vehicle infrastructure bond proceeds fund in the state treasury. All income from
investment of the bond proceeds, as estimated by the commissioner, is appropriated to the
commissioner for the payment of principal and interest on the appropriation bonds.
new text end

new text begin (c) Appropriation bonds may be issued in one or more issues or series on the terms and
conditions the commissioner determines to be in the best interests of the state, but the term
on any series of appropriation bonds may not exceed 21 years. The appropriation bonds of
each issue and series thereof shall be dated and bear interest, and may be includable in or
excludable from the gross income of the owners for federal income tax purposes.
new text end

new text begin (d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any time
thereafter, so long as the appropriation bonds are outstanding, the commissioner may enter
into agreements and ancillary arrangements relating to the appropriation bonds, including
but not limited to trust indentures, grant agreements, lease or use agreements, operating
agreements, management agreements, liquidity facilities, remarketing or dealer agreements,
letter of credit agreements, insurance policies, guaranty agreements, reimbursement
agreements, indexing agreements, or interest exchange agreements. Any payments made
or received according to the agreement or ancillary arrangement shall be made from or
deposited as provided in the agreement or ancillary arrangement. The determination of the
commissioner, included in an interest exchange agreement, that the agreement relates to an
appropriation bond, shall be conclusive.
new text end

new text begin (e) The commissioner may enter into written agreements or contracts relating to the
continuing disclosure of information necessary to comply with or facilitate the issuance of
appropriation bonds in accordance with federal securities laws, rules, and regulations,
including Securities and Exchange Commission rules and regulations in Code of Federal
Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants
with purchasers and holders of appropriation bonds set forth in the order or resolution
authorizing the issuance of the appropriation bonds, or a separate document authorized by
the order or resolution.
new text end

new text begin (f) The appropriation bonds are not subject to chapter 16C.
new text end

new text begin Subd. 3. new text end

new text begin Form; procedure. new text end

new text begin (a) Appropriation bonds may be issued in the form of bonds,
notes, or other similar instruments, and in the manner provided in section 16A.672. In the
event that any provision of section 16A.672 conflicts with this section, this section shall
control.
new text end

new text begin (b) Every appropriation bond shall include a conspicuous statement of the limitation
established in subdivision 6.
new text end

new text begin (c) Appropriation bonds may be sold at either public or private sale upon such terms as
the commissioner shall determine are not inconsistent with this section and may be sold at
any price or percentage of par value. Any bid received may be rejected.
new text end

new text begin (d) Appropriation bonds must bear interest at a fixed or variable rate.
new text end

new text begin (e) Notwithstanding any other law, appropriation bonds issued under this section shall
be fully negotiable.
new text end

new text begin Subd. 4. new text end

new text begin Refunding bonds. new text end

new text begin The commissioner may issue appropriation bonds for the
purpose of refunding any appropriation bonds then outstanding, including the payment of
any redemption premiums on the bonds, any interest accrued or to accrue to the redemption
date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any
refunding bonds may, at the discretion of the commissioner, be applied to the purchase or
payment at maturity of the appropriation bonds to be refunded, to the redemption of the
outstanding appropriation bonds on any redemption date, or to pay interest on the refunding
bonds and may, pending application, be placed in escrow to be applied to the purchase,
payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be
invested and reinvested in obligations that are authorized investments under section 11A.24.
The income earned or realized on the investment may also be applied to the payment of the
appropriation bonds to be refunded or interest or premiums on the refunded appropriation
bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been
fully satisfied, any balance of the proceeds and any investment income may be returned to
the general fund or, if applicable, the special appropriation electric vehicle infrastructure
bond proceeds fund for use in any lawful manner. All refunding bonds issued under this
subdivision must be prepared, executed, delivered, and secured by appropriations in the
same manner as the appropriation bonds to be refunded.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation bonds as legal investments. new text end

new text begin Any of the following entities may
legally invest any sinking funds, money, or other funds belonging to them or under their
control in any appropriation bonds issued under this section:
new text end

new text begin (1) the state, the investment board, public officers, municipal corporations, political
subdivisions, and public bodies;
new text end

new text begin (2) banks and bankers, savings and loan associations, credit unions, trust companies,
savings banks and institutions, investment companies, insurance companies, insurance
associations, and other persons carrying on a banking or insurance business; and
new text end

new text begin (3) personal representatives, guardians, trustees, and other fiduciaries.
new text end

new text begin Subd. 6. new text end

new text begin No full faith and credit; state not required to make appropriations. new text end

new text begin The
appropriation bonds are not public debt of the state, and the full faith, credit, and taxing
powers of the state are not pledged to the payment of the appropriation bonds or to any
payment that the state agrees to make under this section. Appropriation bonds shall not be
obligations paid directly, in whole or in part, from a tax of statewide application on any
class of property, income, transaction, or privilege. Appropriation bonds shall be payable
in each fiscal year only from amounts that the legislature may appropriate for debt service
for any fiscal year, provided that nothing in this section shall be construed to require the
state to appropriate money sufficient to make debt service payments with respect to the
appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall no
longer be outstanding on the earlier of (1) the first day of a fiscal year for which the
legislature shall not have appropriated amounts sufficient for debt service, or (2) the date
of final payment of the principal of and interest on the appropriation bonds.
new text end

new text begin Subd. 7. new text end

new text begin Appropriation of proceeds. new text end

new text begin The proceeds of appropriation bonds issued under
subdivision 2, paragraph (a), and interest credited to the special appropriation electric vehicle
infrastructure bond proceeds fund are appropriated as follows:
new text end

new text begin (1) to the commissioner of administration to design, install, and equip electrical
infrastructure and electric vehicle charging stations on state-owned property as specified in
subdivision 2, paragraph (a); and
new text end

new text begin (2) to the commissioner for debt service on the bonds including capitalized interest,
nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds, and
payments under any agreements entered into under subdivision 2, paragraph (d), as permitted
by state and federal law.
new text end

new text begin Subd. 8. new text end

new text begin Appropriation for debt service and other purposes. new text end

new text begin An amount needed to
pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a),
is appropriated each fiscal year from the general fund to the commissioner, subject to repeal,
unallotment under section 16A.152, or cancellation, otherwise pursuant to subdivision 6,
for deposit into the bond payments account established for such purpose in the special
appropriation electric vehicle infrastructure bond proceeds fund. The appropriation is
available beginning in fiscal year 2021 and remains available through fiscal year 2042.
new text end

new text begin Subd. 9. new text end

new text begin Waiver of immunity. new text end

new text begin The waiver of immunity by the state provided for by
section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary
contracts to which the commissioner is a party.
new text end

Sec. 2.

new text begin [16A.964] PUBLIC TELEVISION EQUIPMENT APPROPRIATION BONDS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The definitions in this subdivision apply to this section.
new text end

new text begin (b) "Appropriation bond" or "bond" means a bond, note, or other similar instrument of
the state payable during a biennium from one or more of the following sources:
new text end

new text begin (1) money appropriated by law from the general fund in any biennium for debt service
due with respect to obligations described in subdivision 2, paragraph (a);
new text end

new text begin (2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);
new text end

new text begin (3) payments received for that purpose under agreements and ancillary arrangements
described in subdivision 2, paragraph (d); and
new text end

new text begin (4) investment earnings on amounts in clauses (1) to (3).
new text end

new text begin (c) "Debt service" means the amount payable in any biennium of principal, premium, if
any, and interest on appropriation bonds, and the fees, charges, and expenses related to the
bonds.
new text end

new text begin (d) "Equipment" means the physical infrastructure and hardware used for the production,
dissemination, interconnection, and transmission of digital media content, the useful life of
which may range from seven to 40 years.
new text end

new text begin (e) "Public station" has the meaning given in section 129D.12, subdivision 2.
new text end

new text begin Subd. 2. new text end

new text begin Authorization to issue appropriation bonds. new text end

new text begin (a) Subject to the limitations of
this subdivision, the commissioner may sell and issue appropriation bonds of the state under
this section for public purposes as provided by law, including for the purposes of financing
the cost of various items of capital equipment necessary to the ongoing operations of public
stations. Appropriation bonds may be sold and issued in amounts that, in the opinion of the
commissioner, are necessary to provide sufficient money to the commissioner of
administration under subdivision 7, not to exceed $15,000,000 net of costs of issuance, for
the purposes as provided under this subdivision, and to pay debt service including capitalized
interest, costs of issuance, costs of credit enhancement, or make payments under other
agreements entered into under paragraph (d). Notwithstanding section 129D.155, any money
repaid to the commissioner of administration upon a sale or other disposition of equipment
acquired under this section shall be transferred to the commissioner and applied toward
principal and interest on outstanding bonds.
new text end

new text begin (b) Proceeds of the appropriation bonds must be credited to a special appropriation public
television equipment bond proceeds fund in the state treasury. All income from investment
of the bond proceeds, as estimated by the commissioner, is appropriated to the commissioner
for the payment of principal and interest on the appropriation bonds.
new text end

new text begin (c) Appropriation bonds may be issued in one or more issues or series on the terms and
conditions the commissioner determines to be in the best interests of the state, but the term
on any series of appropriation bonds may not exceed 21 years. The appropriation bonds of
each issue and series thereof shall be dated and bear interest, and may be includable in or
excludable from the gross income of the owners for federal income tax purposes.
new text end

new text begin (d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any time
thereafter, so long as the appropriation bonds are outstanding, the commissioner may enter
into agreements and ancillary arrangements relating to the appropriation bonds, including
but not limited to trust indentures, grant agreements, lease or use agreements, operating
agreements, management agreements, liquidity facilities, remarketing or dealer agreements,
letter of credit agreements, insurance policies, guaranty agreements, reimbursement
agreements, indexing agreements, or interest exchange agreements. Any payments made
or received according to the agreement or ancillary arrangement shall be made from or
deposited as provided in the agreement or ancillary arrangement. The determination of the
commissioner, included in an interest exchange agreement, that the agreement relates to an
appropriation bond, shall be conclusive.
new text end

new text begin (e) The commissioner may enter into written agreements or contracts relating to the
continuing disclosure of information necessary to comply with or facilitate the issuance of
appropriation bonds in accordance with federal securities laws, rules, and regulations,
including Securities and Exchange Commission rules and regulations in Code of Federal
Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants
with purchasers and holders of appropriation bonds set forth in the order or resolution
authorizing the issuance of the appropriation bonds, or a separate document authorized by
the order or resolution.
new text end

new text begin (f) The appropriation bonds are not subject to chapter 16C.
new text end

new text begin Subd. 3. new text end

new text begin Form; procedure. new text end

new text begin (a) Appropriation bonds may be issued in the form of bonds,
notes, or other similar instruments, and in the manner provided in section 16A.672. In the
event that any provision of section 16A.672 conflicts with this section, this section shall
control.
new text end

new text begin (b) Every appropriation bond shall include a conspicuous statement of the limitation
established in subdivision 6.
new text end

new text begin (c) Appropriation bonds may be sold at either public or private sale upon such terms as
the commissioner shall determine are not inconsistent with this section and may be sold at
any price or percentage of par value. Any bid received may be rejected.
new text end

new text begin (d) Appropriation bonds must bear interest at a fixed or variable rate.
new text end

new text begin (e) Notwithstanding any other law, appropriation bonds issued under this section shall
be fully negotiable.
new text end

new text begin Subd. 4. new text end

new text begin Refunding bonds. new text end

new text begin The commissioner may issue appropriation bonds for the
purpose of refunding any appropriation bonds then outstanding, including the payment of
any redemption premiums on the bonds, any interest accrued or to accrue to the redemption
date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any
refunding bonds may, at the discretion of the commissioner, be applied to the purchase or
payment at maturity of the appropriation bonds to be refunded, to the redemption of the
outstanding appropriation bonds on any redemption date, or to pay interest on the refunding
bonds and may, pending application, be placed in escrow to be applied to the purchase,
payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be
invested and reinvested in obligations that are authorized investments under section 11A.24.
The income earned or realized on the investment may also be applied to the payment of the
appropriation bonds to be refunded or interest or premiums on the refunded appropriation
bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been
fully satisfied, any balance of the proceeds and any investment income may be returned to
the general fund or, if applicable, the special appropriation public television equipment
bond proceeds fund for use in any lawful manner. All refunding bonds issued under this
subdivision must be prepared, executed, delivered, and secured by appropriations in the
same manner as the appropriation bonds to be refunded.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation bonds as legal investments. new text end

new text begin Any of the following entities may
legally invest any sinking funds, money, or other funds belonging to them or under their
control in any appropriation bonds issued under this section:
new text end

new text begin (1) the state, the investment board, public officers, municipal corporations, political
subdivisions, and public bodies;
new text end

new text begin (2) banks and bankers, savings and loan associations, credit unions, trust companies,
savings banks and institutions, investment companies, insurance companies, insurance
associations, and other persons carrying on a banking or insurance business; and
new text end

new text begin (3) personal representatives, guardians, trustees, and other fiduciaries.
new text end

new text begin Subd. 6. new text end

new text begin No full faith and credit; state not required to make appropriations. new text end

new text begin The
appropriation bonds are not public debt of the state, and the full faith, credit, and taxing
powers of the state are not pledged to the payment of the appropriation bonds or to any
payment that the state agrees to make under this section. Appropriation bonds shall not be
obligations paid directly, in whole or in part, from a tax of statewide application on any
class of property, income, transaction, or privilege. Appropriation bonds shall be payable
in each fiscal year only from amounts that the legislature may appropriate for debt service
for any fiscal year, provided that nothing in this section shall be construed to require the
state to appropriate money sufficient to make debt service payments with respect to the
appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall no
longer be outstanding on the earlier of (1) the first day of a fiscal year for which the
legislature shall not have appropriated amounts sufficient for debt service, or (2) the date
of final payment of the principal of and interest on the appropriation bonds.
new text end

new text begin Subd. 7. new text end

new text begin Appropriation of proceeds. new text end

new text begin The proceeds of appropriation bonds issued under
subdivision 2, paragraph (a), and interest credited to the special appropriation public
television equipment bond proceeds fund are appropriated as follows:
new text end

new text begin (1) to the commissioner of administration for equipment grants to public stations under
section 129D.15 and as further specified in subdivision 2, paragraph (a), which grants must
be allocated two-sevenths to Twin Cities PBS, one-seventh to KSMQ public television in
Austin, one-seventh to Pioneer public television in Granite Falls, one-seventh to Lakeland
PBS in Bemidji, one-seventh to Prairie Public in Fargo/Moorhead, and one-seventh to
WDSE public television in Duluth; and
new text end

new text begin (2) to the commissioner for debt service on the bonds including capitalized interest,
nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds, and
payments under any agreements entered into under subdivision 2, paragraph (d), as permitted
by state and federal law.
new text end

new text begin Subd. 8. new text end

new text begin Appropriation for debt service and other purposes. new text end

new text begin An amount needed to
pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a),
is appropriated each fiscal year from the general fund to the commissioner, subject to repeal,
unallotment under section 16A.152, or cancellation, otherwise pursuant to subdivision 6,
for deposit into the bond payments account established for such purpose in the special
appropriation public television equipment bond proceeds fund. The appropriation is available
beginning in fiscal year 2021 and remains available through fiscal year 2042.
new text end

new text begin Subd. 9. new text end

new text begin Waiver of immunity. new text end

new text begin The waiver of immunity by the state provided for by
section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary
contracts to which the commissioner is a party.
new text end

Sec. 3.

new text begin [16A.966] RESPONSE TO RELEASES APPROPRIATION BONDS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) The definitions in this subdivision apply to this section.
new text end

new text begin (b) "Appropriation bond" or "bond" means a bond, note, or other similar instrument of
the state payable during a biennium from one or more of the following sources:
new text end

new text begin (1) money appropriated by law from the general fund in any biennium for debt service
due with respect to obligations described in subdivision 2, paragraph (a);
new text end

new text begin (2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);
new text end

new text begin (3) payments received for that purpose under agreements and ancillary arrangements
described in subdivision 2, paragraph (d); and
new text end

new text begin (4) investment earnings on amounts in clauses (1) to (3).
new text end

new text begin (c) "Debt service" means the amount payable in any biennium of principal, premium, if
any, and interest on appropriation bonds, and the fees, charges, and expenses related to the
bonds.
new text end

new text begin Subd. 2. new text end

new text begin Authorization to issue appropriation bonds. new text end

new text begin (a) Subject to the limitations of
this subdivision, the commissioner may sell and issue appropriation bonds of the state under
this section for public purposes as provided by law, including for the purposes of financing
the cost of implementing removal or remedial actions permitted under section 115B.17 and
further subject to the conditions in chapter 115B to address risks to human health and the
environment at contaminated sites. Appropriation bonds may be sold and issued in amounts
that, in the opinion of the commissioner, are necessary to provide sufficient money to the
commissioner of the Pollution Control Agency under subdivision 7, not to exceed
$30,400,000 net of costs of issuance, for the purposes as provided under this subdivision,
and to pay debt service including capitalized interest, costs of issuance, costs of credit
enhancement, or make payments under other agreements entered into under paragraph (d).
Notwithstanding section 115B.17, subdivision 6 or 16, any money recovered in a civil action
or any money received from the disposition of property acquired for a response action and
financed with bonds under this section shall be transferred to the commissioner and applied
toward principal and interest on outstanding bonds.
new text end

new text begin (b) Proceeds of the appropriation bonds must be credited to a special appropriation state
response to releases bond proceeds fund in the state treasury. All income from investment
of the bond proceeds, as estimated by the commissioner, is appropriated to the commissioner
for the payment of principal and interest on the appropriation bonds.
new text end

new text begin (c) Appropriation bonds may be issued in one or more issues or series on the terms and
conditions the commissioner determines to be in the best interests of the state, but the term
on any series of appropriation bonds may not exceed 21 years. The appropriation bonds of
each issue and series thereof shall be dated and bear interest, and may be includable in or
excludable from the gross income of the owners for federal income tax purposes.
new text end

new text begin (d) At the time of, or in anticipation of, issuing the appropriation bonds, and at any time
thereafter, so long as the appropriation bonds are outstanding, the commissioner may enter
into agreements and ancillary arrangements relating to the appropriation bonds, including
but not limited to trust indentures, grant agreements, lease or use agreements, operating
agreements, management agreements, liquidity facilities, remarketing or dealer agreements,
letter of credit agreements, insurance policies, guaranty agreements, reimbursement
agreements, indexing agreements, or interest exchange agreements. Any payments made
or received according to the agreement or ancillary arrangement shall be made from or
deposited as provided in the agreement or ancillary arrangement. The determination of the
commissioner included in an interest exchange agreement that the agreement relates to an
appropriation bond shall be conclusive.
new text end

new text begin (e) The commissioner may enter into written agreements or contracts relating to the
continuing disclosure of information necessary to comply with or facilitate the issuance of
appropriation bonds in accordance with federal securities laws, rules, and regulations,
including Securities and Exchange Commission rules and regulations in Code of Federal
Regulations, title 17, section 240.15c 2-12. An agreement may be in the form of covenants
with purchasers and holders of appropriation bonds set forth in the order or resolution
authorizing the issuance of the appropriation bonds, or a separate document authorized by
the order or resolution.
new text end

new text begin (f) The appropriation bonds are not subject to chapter 16C.
new text end

new text begin Subd. 3. new text end

new text begin Form; procedure. new text end

new text begin (a) Appropriation bonds may be issued in the form of bonds,
notes, or other similar instruments, and in the manner provided in section 16A.672. In the
event that any provision of section 16A.672 conflicts with this section, this section shall
control.
new text end

new text begin (b) Every appropriation bond shall include a conspicuous statement of the limitation
established in subdivision 6.
new text end

new text begin (c) Appropriation bonds may be sold at either public or private sale upon such terms as
the commissioner shall determine are not inconsistent with this section and may be sold at
any price or percentage of par value. Any bid received may be rejected.
new text end

new text begin (d) Appropriation bonds must bear interest at a fixed or variable rate.
new text end

new text begin (e) Notwithstanding any other law, appropriation bonds issued under this section shall
be fully negotiable.
new text end

new text begin Subd. 4. new text end

new text begin Refunding bonds. new text end

new text begin The commissioner may issue appropriation bonds for the
purpose of refunding any appropriation bonds then outstanding, including the payment of
any redemption premiums on the bonds, any interest accrued or to accrue to the redemption
date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any
refunding bonds may, at the discretion of the commissioner, be applied to the purchase or
payment at maturity of the appropriation bonds to be refunded, to the redemption of the
outstanding appropriation bonds on any redemption date, or to pay interest on the refunding
bonds and may, pending application, be placed in escrow to be applied to the purchase,
payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be
invested and reinvested in obligations that are authorized investments under section 11A.24.
The income earned or realized on the investment may also be applied to the payment of the
appropriation bonds to be refunded or interest or premiums on the refunded appropriation
bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been
fully satisfied, any balance of the proceeds and any investment income may be returned to
the general fund or, if applicable, the special appropriation state response to releases bond
proceeds fund for use in any lawful manner. All refunding bonds issued under this subdivision
must be prepared, executed, delivered, and secured by appropriations in the same manner
as the appropriation bonds to be refunded.
new text end

new text begin Subd. 5. new text end

new text begin Appropriation bonds as legal investments. new text end

new text begin Any of the following entities may
legally invest any sinking funds, money, or other funds belonging to them or under their
control in any appropriation bonds issued under this section:
new text end

new text begin (1) the state, the investment board, public officers, municipal corporations, political
subdivisions, and public bodies;
new text end

new text begin (2) banks and bankers, savings and loan associations, credit unions, trust companies,
savings banks and institutions, investment companies, insurance companies, insurance
associations, and other persons carrying on a banking or insurance business; and
new text end

new text begin (3) personal representatives, guardians, trustees, and other fiduciaries.
new text end

new text begin Subd. 6. new text end

new text begin No full faith and credit; state not required to make appropriations. new text end

new text begin The
appropriation bonds are not public debt of the state, and the full faith, credit, and taxing
powers of the state are not pledged to the payment of the appropriation bonds or to any
payment that the state agrees to make under this section. Appropriation bonds shall not be
obligations paid directly, in whole or in part, from a tax of statewide application on any
class of property, income, transaction, or privilege. Appropriation bonds shall be payable
in each fiscal year only from amounts that the legislature may appropriate for debt service
for any fiscal year, provided that nothing in this section shall be construed to require the
state to appropriate money sufficient to make debt service payments with respect to the
appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall no
longer be outstanding on the earlier of (1) the first day of a fiscal year for which the
legislature shall not have appropriated amounts sufficient for debt service, or (2) the date
of final payment of the principal of and interest on the appropriation bonds.
new text end

new text begin Subd. 7. new text end

new text begin Appropriation of proceeds. new text end

new text begin The proceeds of appropriation bonds issued under
subdivision 2, paragraph (a), and interest credited to the special appropriation state response
to releases bond proceeds fund are appropriated as follows:
new text end

new text begin (1) to the commissioner of the Pollution Control Agency for removal and remedial
actions as specified in subdivision 2, paragraph (a), at the following sites: the Esko
Groundwater Contamination Superfund site; the city of Duluth Dump #1 Superfund site;
the Perham Arsenic site; and the Precision Plating State Superfund site; and
new text end

new text begin (2) to the commissioner for debt service on the bonds including capitalized interest,
nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds, and
payments under any agreements entered into under subdivision 2, paragraph (d), as permitted
by state and federal law.
new text end

new text begin Subd. 8. new text end

new text begin Appropriation for debt service and other purposes. new text end

new text begin An amount needed to
pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a),
is appropriated each fiscal year from the general fund to the commissioner, subject to repeal,
unallotment under section 16A.152, or cancellation, otherwise pursuant to subdivision 6,
for deposit into the bond payments account established for such purpose in the special
appropriation state response to releases bond proceeds fund. The appropriation is available
beginning in fiscal year 2021 and remains available through fiscal year 2042.
new text end

new text begin Subd. 9. new text end

new text begin Waiver of immunity. new text end

new text begin The waiver of immunity by the state provided for under
section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary
contracts to which the commissioner is a party.
new text end

Sec. 4.

Minnesota Statutes 2018, section 462A.37, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have
the meanings given.

(b) "Abandoned property" has the meaning given in section 117.025, subdivision 5.

(c) "Community land trust" means an entity that meets the requirements of section
462A.31, subdivisions 1 and 2.

(d) "Debt service" means the amount payable in any fiscal year of principal, premium,
if any, and interest on housing infrastructure bonds and the fees, charges, and expenses
related to the bonds.

(e) "Foreclosed property" means residential property where foreclosure proceedings
have been initiated or have been completed and title transferred or where title is transferred
in lieu of foreclosure.

(f) "Housing infrastructure bonds" means bonds issued by the agency under this chapter
that new text begin :
new text end

new text begin (1) new text end are qualified 501(c)(3) bonds, within the meaning of Section 145(a) of the Internal
Revenue Code deleted text begin , deleted text end new text begin ;
new text end

new text begin (2) new text end finance qualified residential rental projects within the meaning of Section 142(d) of
the Internal Revenue Code deleted text begin , deleted text end new text begin ;
new text end

new text begin (3) finance the construction or rehabilitation of single family houses that qualify for
mortgage financing within the meaning of Section 143 of the Internal Revenue Code; new text end or

new text begin (4) new text end are tax-exempt bonds that are not private activity bonds, within the meaning of
Section 141(a) of the Internal Revenue Code, for the purpose of financing or refinancing
affordable housing authorized under this chapter.

(g) "Internal Revenue Code" means the Internal Revenue Code of 1986, as amended.

(h) "Senior" means a person 55 years of age or older with an annual income not greater
than 50 percent of:

(1) the metropolitan area median income for persons in the metropolitan area; or

(2) the statewide median income for persons outside the metropolitan area.

(i) "Senior housing" means housing intended and operated for occupancy by at least one
senior per unit with at least 80 percent of the units occupied by at least one senior per unit,
and for which there is publication of, and adherence to, policies and procedures that
demonstrate an intent by the owner or manager to provide housing for seniors. Senior
housing may be developed in conjunction with and as a distinct portion of mixed-income
senior housing developments that use a variety of public or private financing sources.

(j) "Supportive housing" means housing that is not time-limited and provides or
coordinates with linkages to services necessary for residents to maintain housing stability
and maximize opportunities for education and employment.

Sec. 5.

Minnesota Statutes 2019 Supplement, section 462A.37, subdivision 2, is amended
to read:

Subd. 2.

Authorization.

(a) The agency may issue up to $30,000,000 in aggregate
principal amount of housing infrastructure bonds in one or more series to which the payment
made under this section may be pledged. The housing infrastructure bonds authorized in
this subdivision may be issued to fund loans, or grants for the purposes of clause (4), on
terms and conditions the agency deems appropriate, made for one or more of the following
purposes:

(1) to finance the costs of the construction, acquisition, and rehabilitation of supportive
housing for individuals and families who are without a permanent residence;

(2) to finance the costs of the acquisition and rehabilitation of foreclosed or abandoned
housing to be used for affordable rental housing and the costs of new construction of rental
housing on abandoned or foreclosed property where the existing structures will be demolished
or removed;

(3) to finance that portion of the costs of acquisition of property that is attributable to
the land to be leased by community land trusts to low- and moderate-income homebuyers;

(4) to finance the acquisition, improvement, and infrastructure of manufactured home
parks under section 462A.2035, subdivision 1b;

(5) to finance the costs of acquisition, rehabilitation, adaptive reuse, or new construction
of senior housing; deleted text begin and
deleted text end

(6) to finance the costs of acquisition and rehabilitation of federally assisted rental
housing and for the refinancing of costs of the construction, acquisition, and rehabilitation
of federally assisted rental housing, including providing funds to refund, in whole or in part,
outstanding bonds previously issued by the agency or another government unit to finance
or refinance such costs deleted text begin . deleted text end new text begin ;
new text end

new text begin (7) to finance costs of acquisition and construction of multifamily rental housing for
households with incomes at or below 50 percent of area median income. Among comparable
proposals, the agency must give priority to requests for projects that serve households at
the lowest incomes; and
new text end

new text begin (8) to finance the costs of acquisition, rehabilitation, adaptive reuse, or new construction
of single family housing.
new text end

(b) Among comparable proposals for permanent supportive housing, preference shall
be given to permanent supportive housing for veterans and other individuals or families
who:

(1) either have been without a permanent residence for at least 12 months or at least four
times in the last three years; or

(2) are at significant risk of lacking a permanent residence for 12 months or at least four
times in the last three years.

(c) Among comparable proposals for senior housing, the agency must give priority to
requests for projects that:

(1) demonstrate a commitment to maintaining the housing financed as affordable to
seniors;

(2) leverage other sources of funding to finance the project, including the use of
low-income housing tax credits;

(3) provide access to services to residents and demonstrate the ability to increase physical
supports and support services as residents age and experience increasing levels of disability;

(4) provide a service plan containing the elements of clause (3) reviewed by the housing
authority, economic development authority, public housing authority, or community
development agency that has an area of operation for the jurisdiction in which the project
is located; and

(5) include households with incomes that do not exceed 30 percent of the median
household income for the metropolitan area.

To the extent practicable, the agency shall balance the loans made between projects in the
metropolitan area and projects outside the metropolitan area. Of the loans made to projects
outside the metropolitan area, the agency shall, to the extent practicable, balance the loans
made between projects in counties or cities with a population of 20,000 or less, as established
by the most recent decennial census, and projects in counties or cities with populations in
excess of 20,000.

Sec. 6.

Minnesota Statutes 2018, section 462A.37, is amended by adding a subdivision to
read:

new text begin Subd. 2g. new text end

new text begin Additional authorization. new text end

new text begin In addition to the amount authorized in subdivisions
2 to 2f, the agency may issue up to $100,000,000 in housing infrastructure bonds in one or
more series to which the payments under this section may be pledged.
new text end

Sec. 7.

Minnesota Statutes 2019 Supplement, section 462A.37, subdivision 5, is amended
to read:

Subd. 5.

Additional appropriation.

(a) The agency must certify annually to the
commissioner of management and budget the actual amount of annual debt service on each
series of bonds issued under deleted text begin subdivisions 2a to 2f deleted text end new text begin this section new text end .

(b) Each July 15, beginning in 2015 and through 2037, if any housing infrastructure
bonds issued under subdivision 2a remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $6,400,000
annually. The amounts necessary to make the transfers are appropriated from the general
fund to the commissioner of management and budget.

(c) Each July 15, beginning in 2017 and through 2038, if any housing infrastructure
bonds issued under subdivision 2b remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $800,000
annually. The amounts necessary to make the transfers are appropriated from the general
fund to the commissioner of management and budget.

(d) Each July 15, beginning in 2019 and through 2040, if any housing infrastructure
bonds issued under subdivision 2c remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed $2,800,000
annually. The amounts necessary to make the transfers are appropriated from the general
fund to the commissioner of management and budget.

(e) Each July 15, beginning in 2020 and through 2041, if any housing infrastructure
bonds issued under subdivision 2d remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

(f) Each July 15, beginning in 2020 and through 2041, if any housing infrastructure
bonds issued under subdivision 2e remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

(g) Each July 15, beginning in 2022 and through 2043, if any housing infrastructure
bonds issued under subdivision 2f remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.

(h) new text begin Each July 15, beginning in 2022 and through 2043, if any housing infrastructure
bonds issued under subdivision 2g remain outstanding, the commissioner of management
and budget must transfer to the housing infrastructure bond account established under section
462A.21, subdivision 33, the amount certified under paragraph (a). The amounts necessary
to make the transfers are appropriated from the general fund to the commissioner of
management and budget.
new text end

new text begin (i) new text end The agency may pledge to the payment of the housing infrastructure bonds the
payments to be made by the state under this section.

Sec. 8. new text begin EFFECTIVE DATE.
new text end

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

ARTICLE 5

MISCELLANEOUS

Section 1.

Minnesota Statutes 2018, section 16A.641, is amended by adding a subdivision
to read:

new text begin Subd. 4c. new text end

new text begin Negotiated sales authority. new text end

new text begin Notwithstanding the public sale requirements of
subdivision 4 and section 16A.66, subdivision 2, the commissioner may sell bonds, including
refunding bonds, at negotiated sale.
new text end

Sec. 2.

Minnesota Statutes 2019 Supplement, section 16A.968, subdivision 3, is amended
to read:

Subd. 3.

Appropriation bonds authorization.

(a) Appropriation bonds may be sold
and issued in amounts that, in the opinion of the commissioner, are necessary to provide
sufficient funds to the commissioner of employment and economic development under
subdivision 8, not to exceed $97,720,000 net of costs of issuance, for the purposes as
provided under this subdivision, and pay debt service including capitalized interest, costs
of issuance, costs of credit enhancement, or make payments under other agreements entered
into under subdivision 2, paragraph (d). new text begin Notwithstanding section 16A.642, this authorization
is available until December 31, 2027.
new text end

(b) The bonds authorized by this subdivision are for the purposes of financing public
infrastructure projects authorized and approved by the city of Duluth under sections 469.50
to 469.54. No bonds shall be sold under this subdivision until: (1) there has been a request
pursuant to subdivision 2, paragraph (a); and (2) for any parking structure the requirements
in section 469.54, subdivisions 2 and 3, paragraph (a), have been met. Upon certification
of the required qualified expenditures under section 469.54, subdivision 3, paragraph (a),
by a medical business entity, bonds may be sold for a parking structure or structures
benefiting that medical business entity, notwithstanding the status of certified qualified
expenditures for another medical business entity.

Sec. 3.

Minnesota Statutes 2018, section 16B.86, is amended to read:

16B.86 deleted text begin PRODUCTIVITY deleted text end new text begin BUILDING EFFICIENCY REVOLVING new text end LOAN
ACCOUNT.

The deleted text begin productivity deleted text end new text begin building efficiency revolving new text end loan account is deleted text begin a special deleted text end new text begin an new text end account in
the deleted text begin state treasury deleted text end new text begin special revenue fund new text end . Money in the account is appropriated to the
commissioner of administration to make loans to finance agency projects that will result in
either deleted text begin reduced deleted text end new text begin energy savings or other new text end operating deleted text begin costs or increased revenues, or both, deleted text end new text begin cost
reductions new text end for a state agency.

Sec. 4.

Minnesota Statutes 2018, section 16B.87, is amended to read:

16B.87 AWARD AND REPAYMENT OF deleted text begin PRODUCTIVITY deleted text end new text begin BUILDING
EFFICIENCY new text end LOANS.

Subdivision 1.

Committee.

The deleted text begin Productivity deleted text end new text begin Building Efficiency Revolving new text end Loan
Committee consists of the commissioners of administration, management and budget, and
deleted text begin revenue deleted text end new text begin Pollution Control Agency new text end . The commissioner of administration serves as chair of
the committee. The members serve without compensation or reimbursement for expenses.

Subd. 2.

Award and terms of loans.

An agency shall apply for a loan on a form provided
by the commissioner of administration. The committee shall review applications for loans
and shall award a loan based upon criteria adopted by the committee. The committee shall
determine the amount, interest, and other terms of the loan. The time for repayment of a
loan may not exceed deleted text begin five deleted text end new text begin seven new text end years.

Subd. 3.

Repayment.

An agency receiving a loan under this section shall repay the loan
according to the terms of the loan agreement. The principal and interest must be paid to the
commissioner of administration who shall deposit it in the deleted text begin productivity deleted text end new text begin building efficiency
revolving new text end loan deleted text begin fund deleted text end new text begin account new text end .

Sec. 5.

Minnesota Statutes 2018, section 41B.025, is amended by adding a subdivision to
read:

new text begin Subd. 9. new text end

new text begin Report. new text end

new text begin The authority shall submit quarterly reports to the governor and the
legislative committees and divisions with jurisdiction over agriculture and capital investment
that provide an estimate of when funding for the authority's state bond-financed loan
programs is projected to be exhausted.
new text end

Sec. 6.

Minnesota Statutes 2018, section 115A.0716, is amended to read:

115A.0716 ENVIRONMENTAL deleted text begin ASSISTANCE deleted text end GRANT AND LOAN deleted text begin PROGRAM deleted text end new text begin
PROGRAMS new text end .

Subdivision 1.

new text begin Environmental assistance new text end grants.

(a) The commissioner may make
grants to any person for the purpose of researching, developing, and implementing projects
or practices related to collection, processing, recycling, reuse, resource recovery, source
reduction, and prevention of waste, hazardous substances, toxic pollutants, and problem
materials; the development or implementation of pollution prevention projects or practices;
the collection, recovery, processing, purchasing, or market development of recyclable
materials or compost; resource conservation; and for environmental education.

(b) In making grants new text begin under paragraph (a) new text end , the deleted text begin agency deleted text end new text begin commissioner new text end may give priority
to projects or practices that have broad application in the state and are consistent with the
policies established under sections 115A.02 and 115D.02.

(c) The commissioner shall adopt rules to administer the grant program.

(d) For the purposes of this section:

(1) "pollution prevention" has the meaning given it in section 115D.03;

(2) "toxic pollutant" has the meaning given it in section 115D.03; and

(3) "hazardous substance" has the meaning given it in section 115D.03.

Subd. 2.

Loans.

(a) The commissioner may make loans, or participate in loans, for capital
costs or improvements related to any of the activities listed in subdivision 1.

(b) The commissioner may work with financial institutions or other financial assistance
providers in participating in loans under this section. The commissioner may contract with
financial institutions or other financial assistance providers for loan processing and/or
administration.

(c) The commissioner may also make grants, as authorized in subdivision 1, to enable
persons to receive loans from financial institutions or to reduce interest payments for those
loans.

(d) In making loans, the agency may give priority to projects or practices that have broad
application in the state and are consistent with the policies established under sections 115A.02
and 115D.02.

(e) The commissioner shall adopt rules to administer the loan program.

Subd. 3.

Revolving account.

All repayments of loans awarded under this section,
including principal and interest, must be credited to the environmental fund. Money deposited
in the fund under this section is annually appropriated to the commissioner for loans for
purposes identified in subdivisions 1 and 2.

new text begin Subd. 4. new text end

new text begin Sustainable communities and climate resiliency grants. new text end

new text begin (a) The commissioner
may make grants to local governments for the purpose of building sustainable and resilient
storm water infrastructure projects to mitigate flood risks and impacts of extreme weather
events. Grants awarded under this subdivision are intended to cover up to 75 percent of the
eligible costs of a storm water infrastructure project and may not exceed $4,000,000 per
project.
new text end

new text begin (b) In awarding a grant under this subdivision, preference shall be given to projects that:
new text end

new text begin (1) address inadequate storm water infrastructure;
new text end

new text begin (2) reduce incidences of community flooding during extreme weather events;
new text end

new text begin (3) address aging and undersized storm water sewers;
new text end

new text begin (4) reduce the impact on water treatment systems;
new text end

new text begin (5) incorporate green infrastructure and low-impact development storm water practices;
and
new text end

new text begin (6) demonstrate nonstate financial participation in the project.
new text end

new text begin (c) For the purposes of this subdivision, "storm water infrastructure" means a publicly
owned conveyance or system of conveyances including roads with drainage systems,
municipal streets, catch basins, curbs, gutters, ditches, man-made channels, or storm drains
designed or used for collecting or conveying storm water.
new text end

Sec. 7.

new text begin [116J.417] GREATER MINNESOTA CHILD CARE FACILITY CAPITAL
GRANT PROGRAM.
new text end

new text begin Subdivision 1. new text end

new text begin Purpose. new text end

new text begin The purpose of the greater Minnesota child care facility capital
grant program established in this section is to keep or enhance jobs, increase the tax base,
or expand or create new economic development in the area in which the grants are made,
by providing facilities for the child care necessary to support workers and their families.
new text end

new text begin Subd. 2. new text end

new text begin Creation of accounts. new text end

new text begin Two greater Minnesota child care facility capital grant
accounts are created. One account is created in the special revenue fund and one in the bond
proceeds fund. Money in the accounts is appropriated to the commissioner to make grants
under this section. Money in the greater Minnesota child care facility capital grant accounts
is available until encumbered or spent subject to section 16A.642.
new text end

new text begin Subd. 3. new text end

new text begin Eligible applicant. new text end

new text begin (a) A city, county, or school district, or a joint powers board
established by two or more cities, counties, or school districts is eligible to apply for and
receive a grant from either greater Minnesota child care facility capital grant account
established in this section.
new text end

new text begin (b) A private child care provider licensed as a child care center or to provide in-home
family child care is eligible to apply for and receive a grant from the greater Minnesota
child care facility capital grant account in the general fund.
new text end

new text begin (c) An applicant must be located outside of the metropolitan area as defined in section
473.121, subdivision 2.
new text end

new text begin Subd. 4. new text end

new text begin Local government authority. new text end

new text begin A city, county, or school district may own a
child care facility and operate a child care facility program that meets the requirements for
state licensing under Minnesota Rules, chapter 9503. A city, county, or school district may
enter into a lease or management agreement with one or more licensed child care providers
to operate a child care program in a facility owned by the city, county, or school district. A
lease or management agreement for state bond-financed property is subject to section
16A.695.
new text end

new text begin Subd. 5. new text end

new text begin Eligible project. new text end

new text begin (a) A grant may be used to acquire land or an interest in land,
predesign, design, renovate, construct, furnish, and equip facilities in which to provide child
care or for other child care facility improvements that support the purposes for which this
grant program is established. Money from the account in the general fund may also be used
to upgrade or expand existing nonprofit child care facilities for purposes of meeting state
requirements.
new text end

new text begin (b) All projects must increase child care capacity in the community that is served by the
provider and meet all state requirements for child care facilities or programs.
new text end

new text begin Subd. 6. new text end

new text begin Grants. new text end

new text begin (a) The commissioner shall make grants to eligible applicants to provide
up to 50 percent of the capital costs of eligible child care facility capital projects. An eligible
applicant receiving a grant must provide for the remainder of the costs of the project, either
in cash or in kind. In-kind contributions may include the cost of project elements made
before or after the grant award is made.
new text end

new text begin (b) The commissioner may also distribute money from the general fund account through
a regional organization within the meaning of section 15.75 to provide grants to eligible
applicants based on the manner of application and criteria established by the commissioner.
new text end

new text begin (c) If the commissioner awards a grant for less than 50 percent of the project cost, the
commissioner must provide the applicant and the chairs and ranking minority members of
the senate and house of representatives committees with jurisdiction over economic
development finance a written explanation for awarding less than 50 percent.
new text end

new text begin Subd. 7. new text end

new text begin Application; criteria. new text end

new text begin The commissioner must develop forms and procedures
for soliciting and reviewing applications for grants under this section. An applicant shall
apply for a grant in the manner and at the times the commissioner shall determine. At a
minimum, an application must include:
new text end

new text begin (1) evidence of the need for improved, expanded, or new child care facilities in the area;
new text end

new text begin (2) a description of the new or expanded facility or other improvements to be made;
new text end

new text begin (3) a description of the specific state requirements making improvements necessary, if
applicable;
new text end

new text begin (4) estimated costs of the capital project and the sources of funding to complete it;
new text end

new text begin (5) estimated costs of the expanded services and the sources of funding to provide them;
new text end

new text begin (6) the applicant's analysis of the expected economic benefits to the area in which the
project would be located;
new text end

new text begin (7) the feasibility study that shows the financial and operational sustainability of the
project funded;
new text end

new text begin (8) the average number of children provided care by the applicant during the year prior
to the application, if any, and the expected number of children that could be provided child
care after the proposed project is completed; and
new text end

new text begin (9) other information that the commissioner determines is necessary or useful in
evaluating the impact of the proposed project on the local economy.
new text end

new text begin Subd. 8. new text end

new text begin Maximum grant amount. new text end

new text begin Grants must not be awarded for more than $500,000
per project or more than $2,000,000 in two years to an applicant for one or more projects
in the same city or county.
new text end

new text begin Subd. 9. new text end

new text begin Cancellation of grant; return of money. new text end

new text begin If the commissioner determines that
a grantee is unable to proceed with an approved project or has not expended or obligated
the grant money within five years of entering into the grant agreement with the commissioner,
the commissioner shall cancel the grant and the money is available for the commissioner
to make other grants under this section. Money made available to the commissioner from
a canceled grant is subject to cancellation under section 16A.642 as if it had been appropriated
to the program in the year in which the grant is canceled.
new text end

Sec. 8.

Minnesota Statutes 2018, section 123B.53, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For purposes of this section, the eligible debt service
revenue of a district is defined as follows:

(1) the amount needed to produce between five and six percent in excess of the amount
needed to meet when due the principal and interest payments on the obligations of the district
for eligible projects according to subdivision 2, deleted text begin including the amounts necessary for
repayment of debt service loans, capital loans, and lease purchase payments under section
126C.40, subdivision 2, excluding long-term facilities maintenance levies under section
123B.595 deleted text end new text begin excluding the amounts listed in paragraph (b) new text end , minus

(2) the amount of debt service excess levy reduction for that school year calculated
according to the procedure established by the commissioner.

(b) The obligations in this paragraph are excluded from eligible debt service revenue:

(1) obligations under section 123B.61;

(2) the part of debt service principal and interest paid from the taconite environmental
protection fund or Douglas J. Johnson economic protection trust, excluding the portion of
taconite payments from the Iron Range school consolidation and cooperatively operated
school account under section 298.28, subdivision 7a;

(3) deleted text begin obligations issued under Laws 1991, chapter 265, article 5, section 18, as amended
by Laws 1992, chapter 499, article 5, section 24 deleted text end new text begin obligations for long-term facilities
maintenance under section 123B.595 new text end ;

(4) obligations under section 123B.62; and

(5) obligations equalized under section 123B.535.

(c) For purposes of this section, if a preexisting school district reorganized under sections
123A.35 to 123A.43, 123A.46, and 123A.48 is solely responsible for retirement of the
preexisting district's bonded indebtedness deleted text begin , deleted text end new text begin or new text end capital loans deleted text begin or debt service loans deleted text end , debt service
equalization aid must be computed separately for each of the preexisting districts.

(d) For purposes of this section, the adjusted net tax capacity determined according to
sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of property
generally exempted from ad valorem taxes under section 272.02, subdivision 64.

Sec. 9.

Minnesota Statutes 2018, section 123B.53, subdivision 4, is amended to read:

Subd. 4.

Debt service equalization revenue.

(a) The debt service equalization revenue
of a district equals the sum of the first tier debt service equalization revenue and the second
tier debt service equalization revenue.

(b) The first tier debt service equalization revenue of a district equals the greater of zero
or the eligible debt service revenue minus the amount raised by a levy of 15.74 percent
times the adjusted net tax capacity of the district minus the second tier debt service
equalization revenue of the district.

(c) The second tier debt service equalization revenue of a district equals the greater of
zero or the eligible debt service revenue, minus the amount raised by a levy of 26.24 percent
times the adjusted net tax capacity of the district.

new text begin (d) Notwithstanding paragraphs (b) and (c), for a district with a capital loan under sections
126C.60 to 126C.72, the first tier debt equalization revenue equals zero, and the second tier
debt equalization revenue equals the portion of the district's eligible debt service levy under
subdivision 2 in excess of the district's maximum effort debt service levy under section
126C.63, subdivision 8.
new text end

Sec. 10.

Minnesota Statutes 2018, section 126C.63, subdivision 8, is amended to read:

Subd. 8.

Maximum effort debt service levy.

deleted text begin (a) deleted text end "Maximum effort debt service levy"
means the lesser of:

(1) a levy in whichever of the following amounts is applicable deleted text begin :
deleted text end

deleted text begin (i) deleted text end in any district deleted text begin receiving a debt service loan for a debt service levy payable in 2002
and thereafter, or deleted text end granted a capital loan after January 1, 2002, a levy in total dollar amount
computed at a rate of 33.59 percent of adjusted net tax capacity for taxes payable in 2002
and thereafter; new text begin or
new text end

deleted text begin (ii) in any district receiving a debt service loan for a debt service levy payable in 2001
or earlier, or granted a capital loan before January 2, 2002, a levy in a total dollar amount
computed at a rate of 29.39 percent of adjusted net tax capacity for taxes payable in 2002
and thereafter; or
deleted text end

deleted text begin (2) a levy in any district for which a capital loan was approved prior to August 1, 1981,
a levy in a total dollar amount equal to the sum of the amount of the required debt service
levy and an amount which when levied annually will in the opinion of the commissioner
be sufficient to retire the remaining interest and principal on any outstanding loans from
the state within 30 years of the original date when the capital loan was granted.
deleted text end

deleted text begin (b) The board in any district affected by the provisions of paragraph (a), clause (2), may
elect instead to determine the amount of its levy according to the provisions of paragraph
(a), clause (1). If a district's capital loan is not paid within 30 years because it elects to
determine the amount of its levy according to the provisions of paragraph (a), clause (2),
the liability of the district for the amount of the difference between the amount it levied
under paragraph (a), clause (2), and the amount it would have levied under paragraph (a),
clause (1), and for interest on the amount of that difference, must not be satisfied and
discharged pursuant to Minnesota Statutes 1988, or an earlier edition of Minnesota Statutes
if applicable, section 124.43, subdivision 4.
deleted text end

new text begin (2) the unpaid balance on the district's capital loan after deducting the amount to be paid
on the district's capital loan in December of the year in which the levy is certified.
new text end

Sec. 11.

Minnesota Statutes 2018, section 126C.66, subdivision 3, is amended to read:

Subd. 3.

deleted text begin Principal interest deleted text end Payments.

All payments deleted text begin of principal and interest on debt
service notes or deleted text end new text begin on new text end capital loan contracts, as received by the commissioner, are appropriated
to the loan repayment account.

Sec. 12.

Minnesota Statutes 2018, section 126C.69, as amended by Laws 2019, First
Special Session chapter 10, article 3, section 40, is amended to read:

126C.69 CAPITAL new text begin GRANTS AND new text end LOANS.

Subdivision 1.

Capital new text begin grant and new text end loan requests and uses.

Capital new text begin grants and new text end loans are
available only to qualifying districts. Capital new text begin grants and new text end loans must not be used for the
construction of swimming pools, ice arenas, athletic facilities, auditoriums, bus garages, or
heating system improvements. Proceeds of the new text begin grants and new text end loans may be used only for sites
for education facilities and for acquiring, bettering, furnishing, or equipping education
facilities. Contracts must be entered into within 18 months after the date on which each
new text begin grant and new text end loan is deleted text begin granted deleted text end new text begin approved new text end . For purposes of this section, "education facilities"
includes space for Head Start programs and social service programs.

Subd. 2.

Capital deleted text begin loans deleted text end new text begin grant and loan new text end eligibility.

Beginning July 1, deleted text begin 1999 deleted text end new text begin 2020 new text end , a
district is not eligible for a capital new text begin grant and new text end loan unless the district's estimated net debt tax
rate as computed by the commissioner after debt service equalization aid would be more
than 41.98 percent of adjusted net tax capacity. The estimate must assume a 20-year maturity
schedule for new debt.

Subd. 3.

District request for review and comment.

A district or a joint powers district
that intends to apply for a capital new text begin grant and new text end loan must submit a proposal to the commissioner
for review and comment according to section 123B.71 by July 1 of an odd-numbered year.
The commissioner shall prepare a review and comment on the proposed facility, regardless
of the amount of the capital expenditure required to construct the facility. In addition to the
information provided under section 123B.71, subdivision 9, the commissioner shall require
that predesign packages comparable to those required under section 16B.335 be prepared
by the applicant school district. The predesign packages must be sufficient to define the
scope, cost, and schedule of the project and must demonstrate that the project has been
analyzed according to appropriate space needs standards and also consider the following
criteria in determining whether to make a positive review and comment.

(a) To grant a positive review and comment the commissioner shall determine that all
of the following conditions are met:

(1) the facilities are needed for pupils for whom no adequate facilities exist or will exist;

(2) there is evidence to indicate that the facilities will have a useful public purpose for
at least the term of the bonds;

(3) no form of cooperation with another district would provide the necessary facilities;

(4) the facilities are comparable in size and quality to facilities recently constructed in
other districts that have similar enrollments;

(5) the facilities are comparable in size and quality to facilities recently constructed in
other districts that are financed without a capital loan;

(6) the district is projected to have adequate funds in its general operating budget to
support a quality education for its students for at least the next five years;

(7) the current facility poses a threat to the life, health, and safety of pupils, and cannot
reasonably be brought into compliance with fire, health, or life safety codes;

(8) the district has made a good faith effort, as evidenced by its maintenance expenditures,
to adequately maintain the existing facility during the previous ten years and to comply
with fire, health, and life safety codes and state and federal requirements for accessibility
for people with disabilities;

(9) the district has made a good faith effort to encourage integration of social service
programs within the new facility;

(10) evaluations by boards of adjacent districts have been received; and

(11) the proposal includes a comprehensive technology plan that assures information
access for the students, parents, and community.

(b) The commissioner may grant a negative review and comment if:

(1) the state demographer has examined the population of the communities to be served
by the facility and determined that the communities have not grown during the previous
five years;

(2) the state demographer determines that the economic and population bases of the
communities to be served by the facility are not likely to grow or to remain at a level
sufficient, during the next ten years, to ensure use of the entire facility;

(3) the need for facilities could be met within the district or adjacent districts at a
comparable cost by leasing, repairing, remodeling, or sharing existing facilities or by using
temporary facilities;

(4) the district plans do not include cooperation and collaboration with health and human
services agencies and other political subdivisions; or

(5) if the application is for new construction, an existing facility that would meet the
district's needs could be purchased at a comparable cost from any other source within the
area.

Subd. 4.

Multiple district proposals; review and comment.

In addition to the
requirements of subdivision 3, the commissioner may use additional requirements to
determine a positive review and comment on projects that are designed to serve more than
one district. These requirements may include:

(1) reducing or increasing the number of districts that plan to use the facility;

(2) location of the facility; and

(3) formation of a joint powers agreement among the participating districts.

Subd. 5.

Adjacent district comments.

The district must present the proposed project
to the board of each adjacent district at a public meeting of that district. The board of an
adjacent district must make a written evaluation of how the project will affect the future
education and building needs of the adjacent district. The board must submit the evaluation
to the applying district within 30 days of the meeting.

Subd. 6.

District application for capital new text begin grant and new text end loan.

The school board of a district
desiring a capital new text begin grant and new text end loan shall adopt a resolution stating the amount proposed to be
deleted text begin borrowed deleted text end new text begin funded new text end , the purpose for which the deleted text begin debt is to be incurred deleted text end new text begin funding is requested new text end , and
an estimate of the dates when the facilities for which the deleted text begin loan deleted text end new text begin funding new text end is requested will be
contracted for and completed. Applications for new text begin grants and new text end loans must be accompanied by
a copy of the adopted board resolution and copies of the adjacent district evaluations. The
commissioner shall retain the evaluation as part of a permanent record of the district
submitting the evaluation.

Applications must be in the form and accompanied by the additional data required by
the commissioner. Applications must be received by the commissioner by September 1 of
an odd-numbered year. A district must resubmit an application each odd-numbered year.
Capital new text begin grant and new text end loan applications that do not receive voter approval or are not approved
in law cancel July 1 of the year following application. When an application is received, the
commissioner shall obtain from the commissioner of revenue the information in the Revenue
Department's official records that is required to be used in computing the debt limit of the
district under section 475.53, subdivision 4.

Subd. 7.

Commissioner review; district proposals.

By November 1 of each
odd-numbered year, the commissioner must review all applications for capital new text begin grants and
new text end loans that have received a positive review and comment. When reviewing applications, the
commissioner must consider whether the criteria in subdivision 3 have been met. The
commissioner may not approve an application if all of the required deadlines have not been
met. The commissioner may either approve or reject an application for a capital new text begin grant and
new text end loan.

Subd. 8.

Commissioner recommendations.

The commissioner shall examine and
consider applications for capital new text begin grants and new text end loans that have been approved and promptly
notify any district rejected of the decision.

The commissioner shall report each capital new text begin grant and new text end loan that has been approved by
the commissioner and that has received voter approval to the education committees of the
legislature by January 1 of each even-numbered year. The commissioner must not report a
capital new text begin grant and new text end loan that has not received voter approval. The commissioner shall also
report on the money remaining in the capital loan account and, if necessary, request that
another bond issue be authorized.

Subd. 9.

new text begin Grant and new text end loan amount limits.

(a) A new text begin grant and new text end loan must not be recommended
for approval for a district exceeding an amount computed as follows:

(1) the amount requested by the district under subdivision 6;

(2) plus the aggregate principal amount of general obligation bonds of the district
outstanding on June 30 of the year following the year the application was received, not
exceeding the limitation on net debt of the district in section 475.53, subdivision 4, or 637
percent of its adjusted net tax capacity as most recently determined, whichever is less;

(3) less the maximum net debt permissible for the district on December 1 of the year
the application is received, under the limitation in section 475.53, subdivision 4, or 637
percent of its adjusted net tax capacity as most recently determined, whichever is less;

(4) less any amount by which the amount voted exceeds the total cost of the facilities
for which the new text begin grant and new text end loan is deleted text begin granted deleted text end new text begin approved new text end .

(b) The new text begin grant and new text end loan may be approved in an amount computed as provided in paragraph
(a), clauses (1) to (3), subject to later reduction according to paragraph (a), clause (4).

new text begin (c) The loan amount equals the lesser of the total grant and loan approved or:
new text end

new text begin (1) the product of the maximum effort tax rate times 50 times the district's most recent
adjusted net tax capacity at the time the capital grant and loan is approved under subdivision
10, minus
new text end

new text begin (2) the district's capital loan balance outstanding at the time the capital grant and loan
is approved under subdivision 10, minus
new text end

new text begin (3) the district's principal and interest balance outstanding for eligible bonds issued for
prior capital projects at the time the capital loan and grant is approved.
new text end

new text begin (d) The grant amount equals the difference between the total grant and loan approved
and the loan amount under paragraph (c).
new text end

Subd. 10.

Legislative action.

Each capital new text begin grant and new text end loan must be approved in a law.

If the aggregate amount of the capital new text begin grants and new text end loans exceeds the amount that is or can
be made available, the commissioner shall allot the available amount among any number
of qualified applicant districts, according to the commissioner's judgment and discretion,
based upon the districts' respective needs.

Subd. 11.

District referendum.

After receipt of the review and comment on the project
and before January 1 of the even-numbered year, the question authorizing the borrowing
of money for the facilities must be submitted by the school board to the voters of the district
at a regular or special election. The question submitted must state the total amount to be
borrowed from all sources. Approval of a majority of those voting on the question is sufficient
to authorize the issuance of the obligations on public sale in accordance with chapter 475.
The face of the ballot must include the following statement: "APPROVAL OF THIS
QUESTION DOES NOT GUARANTEE THAT THE SCHOOL DISTRICT WILL
RECEIVE A CAPITAL new text begin GRANT AND new text end LOAN FROM THE STATE. THE new text begin GRANT AND
new text end LOAN MUST BE APPROVED BY THE STATE LEGISLATURE AND IS DEPENDENT
ON AVAILABLE FUNDING." The district must mail to the commissioner a certificate by
the clerk showing the vote at the election.

Subd. 12.

Contract.

(a) Each capital new text begin grant and new text end loan must be evidenced by a contract
between the district and the state acting through the commissioner. The contract must
obligate the state to reimburse the district, from the maximum effort school loan fund, for
eligible capital expenses for construction of the facility for which the new text begin grant and new text end loan is
deleted text begin granted deleted text end new text begin approved new text end , an amount computed as provided in subdivision 9. The commissioner
must receive from the district a certified resolution of the board estimating the costs of
construction and reciting that contracts for construction of the facilities for which the new text begin grant
and new text end loan is deleted text begin granted deleted text end new text begin approved new text end have been awarded, that bonds of the district have been issued
and sold new text begin or that other district funds have been set aside new text end in the amount necessary to pay all
estimated costs of construction in excess of the amount of the new text begin grant and new text end loan, and that all
work, when completed, meets or exceeds standards established in the State Building Code.
The contract must obligate the district to repay the loan out of the excesses of its maximum
effort debt service levy over its required debt service levy deleted text begin , including interest at a rate equal
to the weighted average annual rate payable on Minnesota state school loan bonds issued
or reissued for the project deleted text end . new text begin Beginning July 1, 2020, no interest assessments shall be made
on capital loan balances.
new text end

(b) The district must each year, as long as it is indebted to the state, levy for debt service
(i) the amount of its maximum effort debt service levy or (ii) the amount of its required debt
service levy, whichever is greater deleted text begin , except as the required debt service levy may be reduced
by a loan under section 126C.68 deleted text end . The district shall remit payments to the commissioner
according to section 126C.71. new text begin The actual debt service levy shall be adjusted under section
477A.09.
new text end

(c) The commissioner shall supervise the collection of outstanding accounts due the
fund and may, by notice to the proper county auditor, require the maximum levy to be made
as required in this subdivision. deleted text begin Interest on capital loans must be paid on December 15 of
the year after the year the loan is granted and annually in later years. deleted text end By September 30, the
commissioner shall notify the county auditor of each county containing taxable property
situated within the district of the amount of the maximum effort debt service levy of the
district for that year. The county auditor or auditors shall extend upon the tax rolls an ad
valorem tax upon all taxable property within the district in the aggregate amount so certified.

Subd. 13.

Loan forgiveness.

If any capital loan is not paid within 50 years after it is
granted from maximum effort debt service levies in excess of required debt service levies,
the liability of the district on the loan is satisfied and discharged and interest on the loan
ceases.

Subd. 14.

Participation by county auditor; record of contract; payment of loan.

The
district must file a copy of the capital loan contract with the county auditor of each county
in which any part of the district is situated. The county auditor shall enter the capital loan,
evidenced by the contract, in the auditor's bond register. The commissioner shall keep a
record of each capital new text begin grant and new text end loan deleted text begin and deleted text end contract showing the name and address of the
district, the date of the contract, and the amount of the new text begin grant and new text end loan initially approved.
On receipt of the resolution required in subdivision 12 new text begin and documentation of expenditures
under the contract new text end , the commissioner shall issue payments deleted text begin , which may be dispersed in
accordance with the schedule in the contract, deleted text end on the capital new text begin grant and new text end loan account for the
amount that may be disbursed under subdivision 1. deleted text begin Interest on each disbursement of the
capital loan amount accrues from the date on which the commissioner of management and
budget issues the payment.
deleted text end

Subd. 15.

Bond sale limitations.

(a) A district having an outstanding state loan must
not issue and sell any bonds on the public market, except to refund state loans, unless it
agrees to make the maximum effort debt service levy in each later year at the higher rate
provided in section 126C.63, subdivision 8, and unless it schedules the maturities of the
bonds according to section 475.54, subdivision 2. A district that refunds bonds at a lower
interest rate may continue to make the maximum effort debt service levy in each later year
at the current rate provided in section 126C.63, subdivision 8, if the district can demonstrate
to the commissioner's satisfaction that the district's repayments of the state loan will not be
reduced below the previous year's level. The district must report each sale to the
commissioner.

(b) For a capital loan issued prior to July 1, 2001, after the district's capital loan has been
outstanding for 30 years, the district must not issue bonds on the public market except to
refund the loan.

(c) For a capital loan issued on or after July 1, 2001, after the district's capital loan has
been outstanding for 20 years, the district must not issue bonds on the public market except
to refund the loan.

Sec. 13.

Minnesota Statutes 2018, section 126C.71, is amended to read:

126C.71 PAYMENT AND APPLICATIONS OF PAYMENT.

Subdivision 1.

Payment.

(a) On November 20 of each year, each district having an
outstanding capital loan or debt service loan shall compute the excess amount in the debt
redemption fund. The commissioner shall prescribe the form and calculation to be used in
computing the excess amount. A completed copy of this form shall be sent to the
commissioner before December 1 of each year. The commissioner may recompute the
excess amount and shall promptly notify the district of the recomputed amount.

deleted text begin (b) deleted text end On December 15 of each year, the district shall remit to the commissioner new text begin , at a
minimum, new text end an amount equal to the greater of:

(i) the excess amount in the debt redemption fund; or

(ii) the amount by which the maximum effort debt service levy exceeds the required
debt service levy for that calendar year.

deleted text begin Any late payments shall be assessed an interest charge using the interest rates specified for
the debt service notes and capital loan contracts.
deleted text end

deleted text begin (c) deleted text end new text begin (b) new text end If a payment required under deleted text begin the Maximum Effort School Aid Law deleted text end new text begin paragraph (a) new text end
is not made within 30 days, the commissioner may reduce any subsequent payments due
the district under this chapter and chapters 120B, 122A, 123A, 123B, 124D, 125A, and
127A by the amount due, after providing written notice to the district.

Subd. 2.

Application of payments.

The commissioner shall apply payments received
under deleted text begin the Maximum Effort School Aid Law and aids withheld according to deleted text end subdivision 1 deleted text begin ,
paragraph (b), as follows: First, to payment of interest accrued on its notes, if any; second,
to interest on its contracts, if any; third, toward principal of its notes, if any; and last, deleted text end toward
new text begin the new text end principal of its contracts deleted text begin , if any deleted text end . While more than deleted text begin one note or more than deleted text end one contract is
held, priority of payment deleted text begin of interest deleted text end must be given to the one of earliest date deleted text begin , and after
interest accrued on all notes is paid, similar priority shall be given in the application of any
remaining amount to the payment of principal. In any year when the receipts from a district
are not sufficient to pay the interest accrued on any of its notes or contracts, the deficiency
must be added to the principal, and the commissioner shall notify the district and each county
auditor concerned of the new amount of principal of the note or contract deleted text end .

Sec. 14.

Minnesota Statutes 2018, section 134.45, subdivision 5, is amended to read:

Subd. 5.

Qualification; accessibility grants.

A public library jurisdiction may apply
for a grant in an amount up to deleted text begin $200,000 deleted text end new text begin $450,000 new text end or 50 percent of the approved costs of
removing architectural barriers from a building or site, whichever is less. Grants may be
made only for projects in existing buildings used as a library, or to prepare another existing
building for use as a library. Renovation of an existing building may include an addition to
the building if the additional space is necessary to provide accessibility or if relocating
public spaces to the ground level provides improved overall accessibility. Grants must not
be used to pay part of the cost of meeting accessibility requirements in a new building.

Sec. 15.

Minnesota Statutes 2018, section 137.61, is amended to read:

137.61 PURPOSE.

Sections 137.61 to 137.65 provide for a biomedical science research funding program
to further the investment in biomedical science research facilities in Minnesota to benefit
the state's economy, advance the biomedical technology industry, benefit human health,
and facilitate research collaboration between the University of Minnesota and other private
and public institutions in this state. new text begin Sections 137.61 to 137.65 also provide funding for
design, land acquisition, site preparation, and preconstruction services for the new clinical
research facility on the University of Minnesota's Twin Cities campus.
new text end

Sec. 16.

Minnesota Statutes 2018, section 137.62, subdivision 2, is amended to read:

Subd. 2.

Biomedical science research facility.

"Biomedical science research facility"
means a facility located on the campus of the University of Minnesota to be used as a
research facility and laboratory for biomedical science and biomedical technology. A hospital
licensed under sections 144.50 to 144.56 is not a biomedical science research facility. new text begin
Biomedical science research facility includes the clinical research facility defined in this
section.
new text end

Sec. 17.

Minnesota Statutes 2018, section 137.62, is amended by adding a subdivision to
read:

new text begin Subd. 2a. new text end

new text begin Clinical research facility. new text end

new text begin "Clinical research facility" means a facility located
on the Twin Cities campus of the University of Minnesota to connect a broad array of clinical
research units and activities from across the university, providing a consolidated home for
the Clinical Translational Science Institute and related programs that support education,
research, clinical training, and patient care.
new text end

Sec. 18.

Minnesota Statutes 2018, section 137.63, is amended to read:

137.63 BIOMEDICAL SCIENCE RESEARCH FACILITIES FUNDING
PROGRAM.

Subdivision 1.

Program established.

A biomedical science research facilities funding
program is established to provide appropriations to the Board of Regents of the University
of Minnesota for up to 75 percent of the project costs for each of four projects approved by
the Board of Regents under section 137.64 new text begin , other than the clinical research facility new text end . new text begin
Appropriations to the Board of Regents for the clinical research facility are for 100 percent
of the project costs for design, land acquisition, site preparation, and preconstruction services.
new text end

Subd. 2.

Project requirements.

The Board of Regents of the University of Minnesota,
either acting on its own or in collaboration with another private or public entity, must pay
at least 25 percent of the project costs for each of four projects new text begin , other than the clinical
research facility new text end . The board must not use tuition revenue to pay for the university's share
of the costs for the projects approved under section 137.64.

Sec. 19.

Minnesota Statutes 2018, section 137.64, is amended to read:

137.64 CONDITIONS FOR PAYMENTS TO UNIVERSITY.

Subdivision 1.

Certifications.

Before the commissioner may make any payments
authorized in this section to the Board of Regents for a biomedical science research facility
project, the commissioner must certify that the board has, by board resolution, approved
the maximum project cost for the project and complied with the requirements of section
137.63 deleted text begin , subdivision 2 deleted text end . For each project approved by the board, the board must certify to the
commissioner the amount of the annual payments of principal and interest required to service
each series of bonds issued by the University of Minnesota for the project, and the actual
amount of the state's annual payment to the University of Minnesota under subdivision 2.
The annual payment must not exceed the amount required to pay debt service on the bonds
issued to finance 75 percent of the project costs new text begin of biomedical science research facilities
authorized before 2019. The annual payment may additionally be for the amount required
to pay debt service on the bonds issued to finance 100 percent of the costs of the clinical
research facility new text end .

Subd. 2.

Payments.

On July 15 of each year after the certification under subdivision 1,
but no earlier than July 15, 2009, and for so long thereafter as any bonds issued by the board
for deleted text begin the construction of deleted text end a project new text begin , or any refunding bonds issued under subdivision 7, new text end are
outstanding, the state must transfer to the board annual payments as certified under
subdivision 1, up to the maximum amounts in the appropriation schedule under subdivision
3. Payments under this section are to reimburse the Board of Regents for the state's share
of the project costs for the biomedical science research facility projects, provided that the
principal amount of bonds issued by the University of Minnesota to pay the state's share of
the costs must not exceed $219,000,000.

Subd. 3.

Appropriations.

Annual appropriations are made from the general fund to the
commissioner of management and budget for transfer to the Board of Regents, as follows:

(1) up to $850,000 is appropriated in fiscal year 2010;

(2) up to $3,650,000 is appropriated in fiscal year 2011;

(3) up to $7,825,000 is appropriated in fiscal year 2012;

(4) up to $12,100,000 is appropriated in fiscal year 2013;

(5) up to $14,825,000 is appropriated in fiscal year 2014; deleted text begin and
deleted text end

(6) up to $15,550,000 is appropriated in fiscal year 2015 and each year thereafter deleted text begin , up to
25 years following the certification of the last project by the commissioner. deleted text end new text begin through fiscal
year 2020; and
new text end

new text begin (7) up to $13,930,000 is appropriated in fiscal year 2021 and each year thereafter through
fiscal year 2039.
new text end

Subd. 4.

Report to legislature.

The Board of Regents must report to the committees of
the legislature with responsibility for capital investment by January 15 of each even-numbered
year on the biomedical science research facility projects authorized under this section. The
report must at a minimum include for each project, the total cost, the number of researchers,
research grants, and the amount of debt issued by the board.

Subd. 5.

Reinvestment.

The Board of Regents must, to the extent permitted under federal
law and University of Minnesota policies, place a priority on reducing the state's share of
project costs by dedicating a share of the proceeds from any commercialization or licensing
revenues attributable to research conducted in the biomedical science facilities to reducing
the appropriations needed under subdivision 3.

Subd. 6.

Services to individuals and firms.

Consistent with its mission and governing
policies and the requirements for tax-exempt bonds, the university shall make available
laboratory and other services on a fee-for-service basis to individuals and firms in the
bioscience industry in Minnesota. The university will not assert patent rights when providing
services that do not involve its innovative intellectual contributions.

new text begin Subd. 7. new text end

new text begin Refunding of bonds; allocation of savings realized. new text end

new text begin (a) The board may issue
bonds in one or more series to refund bonds that were issued for a project before January
1, 2019, if refunding is determined by the board to be in the best interest of the university.
The principal amount of bonds issued in each refunding must not exceed the amount
necessary to defease the associated bonds outstanding immediately prior to refunding. The
amount of the state's annual payment to the university required for the debt service on the
refunded bonds, or original bonds if not yet refunded, or a combination of the two, shall be
up to the maximum annual appropriation under subdivision 3 for all series.
new text end

new text begin (b) The amount of the annual appropriation under subdivision 3 that is not needed to
pay the annual debt service under paragraph (a) is appropriated to the Board of Regents of
the University of Minnesota to pay the annual debt service amount on bonds issued by the
university to pay the costs of design, land acquisition, site preparation, and preconstruction
services of the clinical research facility.
new text end

new text begin (c) In any year that the state general fund appropriation authorized in this section exceeds
the amount needed to pay debt service on bonds issued by the university for purposes
specified in sections 137.61 to 137.65, the excess amount is canceled to the state general
fund.
new text end

Sec. 20.

new text begin [240A.20] PROMOTING CONSTRUCTION AND RENOVATION OF
PUBLIC SKATE PARKS THROUGHOUT THE STATE.
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, "skate" means wheeled,
nonmotorized recreation, including skateboarding, roller blading, and roller skating, and
not including cycling or biking.
new text end

new text begin Subd. 2. new text end

new text begin Promotion of public skate parks. new text end

new text begin The Minnesota Amateur Sports Commission
shall:
new text end

new text begin (1) develop new statewide public skate parks; and
new text end

new text begin (2) provide matching grants to local units of government for public skate parks based
on the criteria in this section.
new text end

new text begin Subd. 3. new text end

new text begin Criteria for grants to local units of government for public skate parks. new text end

new text begin (a)
The commission shall administer a site selection process for the skate parks. The commission
shall invite proposals from cities or counties or consortia of cities. A proposal for a skate
park must include matching contributions including in-kind contributions of land, access
roadways and access roadway improvements, and necessary utility services, landscaping,
and parking.
new text end

new text begin (b) The location for all proposed facilities must be in areas of maximum demonstrated
interest and must maximize accessibility to an arterial highway, transit, or pedestrian or
bike path.
new text end

new text begin (c) To the extent possible, all proposed facilities must be dispersed equitably, must be
located to maximize potential for full utilization, must accommodate noncompetitive family
and community skating for all ages, and must encourage use of skate parks by a diverse
population.
new text end

new text begin (d) The commission will give priority to proposals that come from more than one local
government unit.
new text end

new text begin (e) The commission may also use the money to upgrade, rehabilitate, or renovate current
facilities.
new text end

new text begin (f) To the extent possible, 50 percent of all grants must be awarded to communities in
greater Minnesota.
new text end

new text begin (g) A grant awarded under subdivision 2, clause (2), may not exceed $250,000 unless
the grantee demonstrates that the facility will have a regional or statewide draw. A grant
awarded under subdivision 2, clause (2), may be for up to $750,000 for a skate park with
regional impact. A grant awarded under subdivision 2, clause (2), may be for up to
$2,000,000 for a skate park with statewide draw.
new text end

new text begin (h) In selecting projects to be awarded grants under this section, the commission must
give priority to those projects that are designed by experts in the field of skate park design
and are to be constructed by professionals with experience in the construction of skate parks.
new text end

new text begin (i) To be eligible for a grant under this section, a local government must have engaged
or must commit to engage youth in the planning, design, and programming for the skate
park.
new text end

new text begin Subd. 4. new text end

new text begin Technical assistance. new text end

new text begin To the extent possible, the commission shall provide
technical assistance on skate park planning, design, and operation to communities.
new text end

new text begin Subd. 5. new text end

new text begin Agreements with local governments and cooperative purchasing
agreements. new text end

new text begin (a) The Minnesota Amateur Sports Commission may enter into agreements
with local units of government and provide financial assistance in the form of grants for the
construction of skate parks that, in the determination of the commission, conform to its
criteria.
new text end

new text begin (b) The commission may enter into cooperative purchasing agreements under section
471.59 with local governments to purchase skate park equipment and services through state
contracts. The cooperative skate park equipment purchasing revolving fund is a separate
account in the state treasury. The commission may charge a fee to cover the commission's
administrative expenses to government units that have joint or cooperative purchasing
agreements with the state under section 471.59. The fees collected must be deposited in the
revolving fund established by this subdivision. Money in the fund is appropriated to the
commission to administer the programs and services covered by this subdivision.
new text end

Sec. 21.

Minnesota Statutes 2018, section 363A.36, is amended by adding a subdivision
to read:

new text begin Subd. 1a. new text end

new text begin Scope of application; state capital funding. new text end

new text begin (a) An agency or political
subdivision that uses state money to pay for part or all of a capital project is subject to and
must comply with the restrictions in subdivision 1, for contracts exceeding $100,000.
new text end

new text begin (b) For the purposes of this subdivision, the following terms have the meanings given
them:
new text end

new text begin (1) "agency" means a state board, commission, authority, department, or other agency
of the executive branch of state government; the Minnesota Historical Society; the Minnesota
State Colleges and Universities; or the University of Minnesota;
new text end

new text begin (2) "capital project" means the acquisition and betterment of land and buildings and
other public improvements in the state, including acquisition of real property or an interest
in real property, predesign, design, engineering, site preparation and related environmental
work, renovation, construction, furnishing, and equipping;
new text end

new text begin (3) "political subdivision" means a county, home rule charter or statutory city, town,
school district, metropolitan or regional agency, public corporation established in law, or
other special or limited purpose district created or authorized by law; and
new text end

new text begin (4) "state money" means the proceeds of state general obligation bonds issued under
article XI, section 5, clause (a), of the Minnesota Constitution.
new text end

new text begin (c) This subdivision applies to a capital project or discrete phase of a capital project for
which state money has been appropriated on or after January 1, 2022.
new text end

Sec. 22.

Minnesota Statutes 2018, section 363A.44, subdivision 1, is amended to read:

Subdivision 1.

Scope.

(a) No department, agency of the state, the Metropolitan Council,
or an agency subject to section 473.143, subdivision 1, shall execute a contract for goods
or services or an agreement for goods or services in excess of $500,000 with a business that
has 40 or more full-time employees in this state or a state where the business has its primary
place of business on a single day during the prior 12 months, unless the business has an
equal pay certificate or it has certified in writing that it is exempt. A certificate is valid for
four years.

new text begin (b) An agency or political subdivision that uses state money to pay for part or all of a
capital project is subject to and must comply with the restrictions in this section for contracts
exceeding $500,000. For purposes of this subdivision, "agency," "political subdivision,"
"capital project," and "state money" have the meanings given in section 363A.36, subdivision
1a. This paragraph applies to a capital project or discrete phase of a capital project for which
state money has been appropriated on or after January 1, 2022.
new text end

deleted text begin (b) deleted text end new text begin (c) new text end This section does not apply to a business with respect to a specific contract if the
commissioner of administration determines that application of this section would cause
undue hardship to the contracting entity. This section does not apply to a contract to provide
goods and services to individuals under chapters 43A, 62A, 62C, 62D, 62E, 256B, 256I,
256L, and 268A, with a business that has a license, certification, registration, provider
agreement, or provider enrollment contract that is prerequisite to providing those goods and
services. This section does not apply to contracts entered into by the State Board of
Investment for investment options under section 352.965, subdivision 4.

Sec. 23.

Minnesota Statutes 2018, section 473.4052, subdivision 4, is amended to read:

Subd. 4.

Application.

The liability limits under subdivision 2 and the insurance
requirements under subdivision 3 apply only for that segment of a light rail transit line or
line extension in which the project formally entered the engineering phase of the Federal
Transit Administration's "New Starts" capital investment grant program between August 1,
2016, and deleted text begin December 31, 2016 deleted text end new text begin February 1, 2017 new text end .

new text begin EFFECTIVE DATE; APPLICATION. new text end

new text begin This section is effective the day following
final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
Scott, and Washington.
new text end

Sec. 24.

Laws 2008, chapter 179, section 18, subdivision 3, as amended by Laws 2011,
First Special Session chapter 12, section 32, and Laws 2012, chapter 293, section 41, is
amended to read:

Subd. 3. Systemwide Campus Redevelopment, Reuse, or Demolition

3,400,000

new text begin (a) new text end To demolish surplus, nonfunctional, or
deteriorated facilities and infrastructure or to
renovate surplus, nonfunctional, or
deteriorated facilities and infrastructure at
Department of Human Services campuses.
These projects must facilitate the
redevelopment or reuse of these campuses
consistent with redevelopment plan concepts
developed and approved under Laws 2003,
First Special Session chapter 14, article 6,
section 64, subdivision 2. If a surplus campus
is sold or transferred to a local unit of
government, unspent portions of this
appropriation may be granted to that local unit
of government for the purposes stated in this
subdivision. Unspent portions of this
appropriation may be used to design,
construct, furnish, and equip a maintenance
and storage facility to support the maintenance
and operation of the Brainerd campus if the
commissioner determines that it is less
expensive than renovating existing space.
Notwithstanding Minnesota Statutes, section
16A.642, the bond authorization and
appropriation of bond proceeds for this project
are available until December 30, 2014.

new text begin (b) new text end Up to $125,000 is for preparation and site
development, including demolition of
buildings and infrastructure, to implement the
redevelopment and reuse of the Ah Gwah
Ching Regional Treatment Center. This
amount may be granted to Cass County for
the purposes stated in this subdivision. If the
campus is sold or transferred by Cass County
to the city of Walker, unspent portions of this
appropriation may be granted to the city of
Walker for the purposes stated in this
subdivision. new text begin Notwithstanding any requirement
in paragraph (a) or Minnesota Statutes, section
16A.695, Cass County may convey for no
consideration approximately 9.4 acres of the
campus of the former Ah Gwah Ching
Regional Treatment Center to Independent
School District No. 113, Walker Hackensack
Akeley, for school purposes.
new text end

Sec. 25.

Laws 2014, chapter 294, article 1, section 7, subdivision 11, as amended by Laws
2017, First Special Session chapter 8, article 2, section 26, is amended to read:

Subd. 11. Central Minnesota Regional Parks

500,000

For a grant to the city of Sartell to deleted text begin acquire land
and develop recreation facilities at Sauk River
Regional Park deleted text end new text begin design, engineer, and construct
a trail, including overlooks, fishing platforms,
and pedestrian crossings, along the Mississippi
River as part of improvements to Linear Park
and Sartell Veterans Park new text end in the city of Sartell
deleted text begin and to acquire up to 68 acres of land located
along the Sauk River near the confluence of
the Mississippi to serve as part of the Central
Minnesota Regional Parks and Trails deleted text end .
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for this project
are available until deleted text begin June 30, 2020 deleted text end new text begin December
31, 2024 new text end .

Sec. 26.

Laws 2015, First Special Session chapter 5, article 1, section 10, subdivision 7,
as amended by Laws 2017, First Special Session chapter 8, article 2, section 32, is amended
to read:

Subd. 7. Richfield - 77th Street Underpass

10,000,000

For a grant to the city of Richfield for
right-of-way acquisition for an extension of
77th Street under marked Trunk Highway
77/Cedar Avenue in the city of Richfield to
provide local and regional access between
Richfield, the Minneapolis/St. Paul
International Airport, the city of Bloomington,
and the Mall of America. After right-of-way
acquisition is completed, the city may use any
remaining money appropriated in this
subdivision for construction of the extension.
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for the project
in this subdivision are available until
December 31, deleted text begin 2021 deleted text end new text begin 2024 new text end .

Sec. 27.

Laws 2015, First Special Session chapter 5, article 1, section 13, is amended to
read:

Sec. 13. CORRECTIONS

$

1,200,000

To the commissioner of administration for a
grant to the Arrowhead Regional Corrections
Joint Powers Board to demolish an existing
facility and to design, construct, furnish, and
equip a replacement food processing facility
on the campus of the Northeast Regional
Corrections Center, to meet health, safety, and
security standards required for compliance
with Minnesota Rules, chapter 2911. Nonstate
contributions to improvements at the center
made before or after the enactment of this
subdivision are considered to be a sufficient
match, and no further nonstate match is
required. new text begin Notwithstanding Minnesota Statutes,
section 16A.642, the bond sale authorization
and appropriation of bond proceeds for the
project in this subdivision are available until
December 31, 2024.
new text end

Sec. 28.

Laws 2017, First Special Session chapter 8, article 1, section 15, subdivision 3,
as amended by Laws 2018, chapter 214, article 2, section 33, is amended to read:

Subd. 3. Local Road Improvement Fund Grants

115,932,000

(a) From the bond proceeds account in the
state transportation fund as provided in
Minnesota Statutes, section 174.50, for trunk
highway corridor projects under Minnesota
Statutes, section 174.52, subdivision 2, for
construction and reconstruction of local roads
with statewide or regional significance under
Minnesota Statutes, section 174.52,
subdivision 4, or 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.

(b) Of this amount, $9,000,000 is for a grant
to Anoka County to design, acquire land for,
engineer, and construct improvements to,
including the realignment of County State-Aid
Highway 23 (Lake Drive), County State-Aid
Highway 54 (West Freeway Drive), new text begin West
Freeway Drive, new text end and to Hornsby Street in the
city of Columbus to support the overall
interchange project. new text begin Notwithstanding
Minnesota Statutes, section 16A.642, the bond
sale authorization and appropriation of bond
proceeds for the project in this paragraph are
available until December 31, 2024.
new text end

(c) Of this amount, $3,246,000 is for a grant
to the city of Blaine to predesign, design, and
reconstruct 105th Avenue in the vicinity of
the National Sports Center in Blaine. The
reconstruction will include changing the street
from five lanes to four lanes with median, turn
lanes, sidewalk, trail, landscaping, lighting,
and consolidation of access driveways. This
appropriation is not available until the
commissioner of management and budget
determines that at least $3,000,000 is
committed to the project from sources
available to the city, including municipal state
aid and county turnback funds.

(d) Of this amount, $25,000,000 is for a grant
to Hennepin County, the city of Minneapolis,
or both, for design, right-of-way acquisition,
engineering, and construction of public
improvements related to the Interstate
Highway 35W and Lake Street access project
and related improvements within the Interstate
Highway 35W corridor, notwithstanding any
provision of Minnesota Statutes, section
174.52, or rule to the contrary. This
appropriation is not available until the
commissioner of management and budget
determines that an amount sufficient to
complete this portion of the Interstate
Highway 35W and Lake Street access project
has been committed to this portion of the
project.

(e) Of this amount, $10,500,000 is for a grant
to Carver County for environmental analysis
and to acquire right-of-way access, predesign,
design, engineer, and construct an interchange
at marked Trunk Highway 212 and Carver
County Road 44 in the city of Chaska,
including a new bridge and ramps, to support
the development of approximately 400 acres
of property in the city of Chaska's
comprehensive plan.

(f) Of this amount, $700,000 is for a grant to
Redwood County for improvements to Nobles
Avenue, including paving, as the main access
road to a new State Veterans Cemetery to be
located in Paxton Township.

(g) Of this amount, $1,000,000 is for a grant
to the town of Appleton in Swift County for
upgrades to an existing township road to
provide for a paved, ten-ton capacity township
road extending between marked Trunk
Highways 7 and 119.

(h) Of this amount, $20,500,000 is for a grant
to Ramsey County for preliminary and final
design, right-of-way acquisition, engineering,
contract administration, and construction of
public improvements related to the
construction of the interchange of marked
Interstate Highway 694 and Rice Street,
Ramsey County State-Aid Highway 49, in
Ramsey County.

(i) Of this amount, $11,300,000 is for a grant
to Hennepin County for preliminary and final
design, engineering, environmental analysis,
right-of-way acquisition, construction, and
reconstruction of local roads related to the (1)
realignment at the intersections of marked U.S.
Highway 12 with Hennepin County State-Aid
Highway 92; (2) realignment and safety
improvements at the intersection of marked
U.S. Highway 12 with Hennepin County
State-Aid Highway 90; and (3) safety median
improvements from the interchange with
Wayzata Boulevard in Wayzata to
approximately one-half mile east of the
interchange of marked U.S. Highway 12 with
Hennepin County State-Aid Highway 6.

(j) Of this amount, $1,000,000 is for a grant
to the city of Inver Grove Heights for
preliminary design, design, engineering, and
reconstruction of Broderick Boulevard
between 80th Street and Concord Boulevard
abutting Trunk Highway 52 and Inver Hills
Community College in Inver Grove Heights.
The project includes replacement or renovation
of public infrastructure, including water lines,
sanitary sewers, storm water sewers, and other
public utilities. This appropriation does not
require a nonstate contribution.

(k) Of this amount, $2,350,000 is for a grant
to McLeod County to acquire land or interests
in land and to design and construct a new
urban street extension of County State-Aid
Highway (CSAH) 15, including railroad
crossing, storm water, and drainage
improvements.

(l) Of this amount, $6,000,000 is for a grant
to the city of Baxter for 50 percent of total
project cost for the acquisition of land or
interests in land, environmental analysis and
environmental cleanup, predesign, design,
engineering, and construction of improvements
to Cypress Drive, including expansion to a
four-lane divided urban roadway, between
Excelsior Road and College Road.

Sec. 29.

Laws 2017, First Special Session chapter 8, article 1, section 15, subdivision 4,
is amended to read:

Subd. 4. Rail Grade Separation on Crude Oil Rail Corridors

71,124,000

(a) Of this amount, $42,262,000 is for a grant
to the city of Moorhead for environmental
analysis, design, engineering, removal of an
existing structure, and construction of a rail
grade crossing separation in the vicinity of
21st Street South.

(b) $14,100,000 is for a grant to Anoka County
for environmental analysis, design,
engineering, removal of an existing structure,
and construction of a rail grade crossing
separation at Anoka County State-Aid
Highway 78, known as Hanson Boulevard, in
Coon Rapids. Any unspent portion of the
appropriation under this paragraph may be
used by Anoka County for design costs of
other rail crossings in Anoka County that are
on the commissioner's rail safety priority list.

(c) Of this amount, $14,762,000 is for a grant
to the city of Red Wing for new text begin acquisition of
right-of-way, new text end environmental analysis, design,
engineering, removal of an existing structure,
and construction of a rail grade crossing
separation at Sturgeon Lake Road. new text begin
Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for the project
in this paragraph are available until December
31, 2024.
new text end

(d) Any unspent portion of this appropriation
after completion of a project in this
subdivision may be used for grants in
accordance with Minnesota Statutes, section
219.016.

Sec. 30.

Laws 2017, First Special Session chapter 8, article 1, section 18, subdivision 3,
is amended to read:

Subd. 3. Minneapolis Veterans Home Truss Bridge Project

7,851,000

To design, construct, renovate, and equip the
historic truss bridge on the Minneapolis
Veterans Home campus, including asbestos
and hazardous materials abatement and
associated site work. new text begin One-half of the unspent
portion of this appropriation after the project
has been substantially completed, upon written
notice to the commissioner of management
and budget, is for asset preservation of
veterans homes statewide under Minnesota
Statutes, section 16B.307, and one-half is for
comprehensive campus security and safety
upgrades at the veterans homes statewide,
including predesign and design, acquisition
and installation, construction, furnishing, and
equipping. Notwithstanding Minnesota
Statutes, section 16A.642, the bond sale
authorization and appropriation of bond
proceeds in this subdivision are available until
December 31, 2024.
new text end

Sec. 31.

Laws 2017, First Special Session chapter 8, article 1, section 20, subdivision 21,
as amended by Laws 2018, chapter 214, article 2, section 40, is amended to read:

Subd. 21. St. Paul - Minnesota Museum of American Art

6,000,000

For a grant to the St. Paul Port Authority to
acquire, design, construct, furnish, and equip
new museum galleries and an art study facility
for the Minnesota Museum of American Art.
This facility provides space to celebrate the
legacy of Minnesota art and artists and is part
of the restoration of the historic Pioneer
Endicott Building, and a part of a multiphase
project, of which only the museum galleries
and art study facility constructed with this
appropriation shall be state bond financed
property subject to Minnesota Statutes, section
16A.695. This appropriation is not available
until the commissioner of management and
budget has determined that:

(1) at least an amount equal to this
appropriation has been committed or
previously expended for design, construction,
and furnishing of the adjacent Minnesota
Museum of American Art Center for
Creativity facilities, which are not subject to
Minnesota Statutes, section 16A.695, with
funds from nonstate sources; and

(2) sufficient other state and nonstate funds
are available, if funds beyond this
appropriation are required, to complete the
museum galleries and art study facility.

deleted text begin Funds invested in the Minnesota Museum of
American Art Center for Creativity facilities
by an investor receiving an assignment of state
historic tax credits as provided in Minnesota
Statutes, section 290.0681, are nonstate funds
for purposes of this requirement. deleted text end Only
expenditures made after January 1, 2012, shall
qualify for the required match. Due to the
integrated nature of the overall development,
public bidding shall not be required.

new text begin Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for this project
are available until December 31, 2024.
new text end

Sec. 32.

Laws 2018, chapter 214, article 1, section 2, subdivision 6, is amended to read:

Subd. 6. Glensheen Renewal

4,000,000

To new text begin replace the boiler and to new text end predesign, design,
and renovate new text begin site structures at new text end the Historic
Glensheen Estate deleted text begin including but not limited to
the main house; the site structures, terraces,
and garden walls; and the carriage house. This
appropriation is not available until the
commissioner of management and budget
determines that an equal amount is committed
from other sources deleted text end . new text begin This appropriation does
not require a nonstate contribution.
new text end

Sec. 33.

Laws 2018, chapter 214, article 1, section 7, subdivision 1, is amended to read:

Subdivision 1. Total Appropriation

$

deleted text begin 78,669,000 deleted text end new text begin 74,309,000 new text end

(a) To the commissioner of natural resources
for the purposes specified in this section.

(b) The appropriations in this section are
subject to the requirements of the natural
resources capital improvement program under
Minnesota Statutes, section 86A.12, unless
this section or the statutes referred to in this
section provide more specific standards,
criteria, or priorities for projects than
Minnesota Statutes, section 86A.12.

Sec. 34.

Laws 2018, chapter 214, article 1, section 16, subdivision 19, is amended to read:

Subd. 19. Hennepin County - Railroad Crossing Safety

1,200,000

For one or more grants to Hennepin County
or the affected city in the county to construct
railroad crossing safety improvements in
Hennepin County. Of this amount, $350,000
is for crossings at deleted text begin Townline Road and deleted text end marked
County Road 19 in the city of Loretto; new text begin at least new text end
$450,000 is for crossings at deleted text begin marked Road
116/County Road 115 and deleted text end Arrowhead Drive
in the city of Medina; and new text begin at least new text end $400,000 is
for crossings at East Lake Street and Barry
Avenue in the city of Wayzata. new text begin Any unspent
portion of this appropriation remaining after
completion of a project listed in this
subdivision, after written notice to the
commissioner of management and budget, is
available for the purposes of this subdivision.
new text end

Sec. 35.

Laws 2018, chapter 214, article 1, section 21, subdivision 1, is amended to read:

Subdivision 1. Total Appropriation

$

deleted text begin 109,344,000 deleted text end new text begin 109,085,000 new text end

To the commissioner of employment and
economic development for the purposes
specified in this section.

Sec. 36.

Laws 2018, chapter 214, article 1, section 21, subdivision 18, is amended to read:

Subd. 18. Pipestone County - Dental Facility

500,000

For a grant to Pipestone County to predesign,
design, construct, furnish, and equip a dental
care facility in Pipestone County. The county
may enter into an agreement under Minnesota
Statutes, section 16A.695, for operation of the
dental clinic. new text begin This project is not subject to the
requirements of Minnesota Statutes, section
16B.325.
new text end

Sec. 37.

Laws 2018, chapter 214, article 1, section 21, subdivision 26, is amended to read:

Subd. 26. St. Paul - Minnesota Museum of American Art

2,500,000

For a grant to the St. Paul Port Authority to
acquire, design, construct, furnish, and equip
the Minnesota Museum of American Art in
the historic Pioneer Endicott Building. This
appropriation is in addition to the amount
appropriated by Laws 2017, First Special
Session chapter 8, article 1, section 20,
subdivision 21, and is available in accordance
with the requirements of that subdivision. This
appropriation may be used as needed for the
costs of the project, including but not limited
to secure loading dock, and art restoration and
exhibit preparation areas.

new text begin Notwithstanding Minnesota Statutes, section
16A.642, the bond sale authorization and
appropriation of bond proceeds for this project
are available until December 31, 2024.
new text end

Sec. 38.

Laws 2018, chapter 214, article 1, section 21, subdivision 28, as amended by
Laws 2019, chapter 2, article 2, section 6, is amended to read:

Subd. 28. St. Paul - Southeast Asian Language Job Training Facilities

5,500,000

For a grant to the city of St. Paul to predesign,
design, renovate, construct, furnish, and equip
a bus driver and mechanics training facility
on Sycamore Street in St. Paul for training
drivers and mechanics through programming
primarily in the Southeast Asian languages,
and to predesign, design, renovate, construct,
furnish, and equip a training facility on Plato
Avenue in St. Paul for use as a training facility
for health care, manufacturing, and
information technology jobs through
programming primarily in the Southeast Asian
languages. new text begin Notwithstanding the primary focus
as a workforce training facility described
above, a portion of the Plato site may be used
for colocated high school and child care
facilities open to the public. A portion of both
the Plato and Sycamore sites may include
on-site wrap-around supportive services to
assist the participants in training programs in
securing housing, mental health, adult basic
education, and health care enrollment and
access. new text end This appropriation may be used to
acquire property for these purposes. The city
of St. Paul may enter into a lease or
management agreement with a nonprofit
corporation for either or both of these facilities
under Minnesota Statutes, section 16A.695.

Sec. 39.

Laws 2018, chapter 214, article 1, section 21, subdivision 29, is amended to read:

Subd. 29. Wabasha - National Eagle Center and Wabasha deleted text begin Rivertown Resurgence deleted text end new text begin Riverfront Revitalization new text end

8,000,000

new text begin (a) $1,500,000 of this appropriation is new text end for a
grant to the city of Wabasha to deleted text begin acquire land, deleted text end
predesign deleted text begin , design, renovate, construct, furnish,
and equip deleted text end new text begin the renovation and expansion of new text end the
National Eagle Center in order to expand
program and exhibit space, new text begin and new text end increase aviary
space for eagles, and deleted text begin for deleted text end new text begin to design and
construct new text end improvements to the riverfront in
Wabasha for infrastructure, large vessel
landing areas and docks, and public access
and program areas.

new text begin (b) $2,500,000 of this appropriation is for a
grant to the city of Wabasha to acquire land,
design, renovate, construct, furnish, and equip
the National Eagle Center in order to expand
the program space, gift shop, and exhibit
space, and increase aviary space for eagles. If
the acquisition of land, design, renovation,
construction, furnishing, and equipping of the
National Eagle Center expansion of its
program space, gift shop, exhibit space, and
aviary space is complete, the City of Wabasha
may use any remaining money from this
appropriation toward the renovation of the
historical buildings on Main Street.
new text end

new text begin (c) $4,000,000 of this appropriation is for a
grant to the city of Wabasha to predesign,
design, construct, renovate, furnish, and equip
the new auditorium, expansion of the Preston
Cook Exhibit, and final renovation of the
historical buildings on Main Street.
new text end

Sec. 40.

Laws 2019, First Special Session chapter 11, article 6, section 7, subdivision 2,
as amended by Laws 2020, chapter 116, article 6, section 17, is amended to read:

Subd. 2.

Debt service equalization aid.

For debt service equalization aid under
Minnesota Statutes, section 123B.53, subdivision 6:

	$	20,684,000	.....	2020
	$	deleted text begin 25,398,000 deleted text end new text begin 25,380,000 new text end	.....	2021

The 2020 appropriation includes $2,292,000 for 2019 and $18,392,000 for 2020.

The 2021 appropriation includes $2,043,000 for 2020 and deleted text begin $23,355,000 deleted text end new text begin $23,337,000 new text end for
2021.

Sec. 41. new text begin RED LAKE AND NETT LAKE CAPITAL LOANS.
new text end

new text begin (a) Notwithstanding the capital loan contracts issued to Independent School District No.
38, Red Lake, and Independent School District No. 707, Nett Lake, under Minnesota Statutes,
section 126C.69, the capital loan balance outstanding for Independent School District No.
38, Red Lake, as of July 1, 2020, on the capital loan granted on April 27, 2015, is reduced
to $228,743. The capital loan balance outstanding for Independent School District No. 707,
Nett Lake, as of July 1, 2020, on the capital loan granted on October 24, 2006, is reduced
to $1,261,384. The capital loan balances on these loans in excess of these amounts are
forgiven.
new text end

new text begin (b) All capital loan contracts issued prior to 2015 to Independent School District No.
38, Red Lake, under Minnesota Statutes, section 126C.69, cancel as of July 1, 2020, and
the capital loan balances on these loans are forgiven. The capital loan contract issued prior
to 1995 to Independent School District No. 707, Nett Lake, under Minnesota Statutes,
section 126C.69, cancels as of July 1, 2020, and the capital loan balance on this loan is
forgiven.
new text end

new text begin (c) Maximum effort loan aid for Independent School District No. 38, Red Lake, and
Independent School District No. 707, Nett Lake, is the amount the districts would have
received under Minnesota Statutes, section 477A.09, based on the capital loan contracts
issued under Minnesota Statutes, section 126C.69, without the loan forgiveness granted
under paragraphs (a) and (b).
new text end

new text begin (d) Notwithstanding any law to the contrary, the maximum effort capital loan authorized
in 2018 for Independent School District No. 38, Red Lake, must be repaid as a capital grant
and loan according to the provisions of section 12.
new text end

Sec. 42. new text begin LAKE VERMILION-SOUDAN UNDERGROUND MINE STATE PARK;
SECONDARY UNIT DESIGNATION.
new text end

new text begin The commissioner of natural resources must manage the area within the statutory
boundary of Lake Vermilion-Soudan Underground Mine State Park that is located south of
State Highway 169 as a secondary unit within the state park, as authorized in Minnesota
Statutes, section 86A.08. The secondary unit is designated a state recreation area and must
be managed in a manner consistent with Minnesota Statutes, section 86A.05, subdivision
3. Within the secondary unit, in addition to other activities authorized in Lake
Vermilion-Soudan Underground Mine State Park, the commissioner must permit ingress
and egress on designated routes by off-highway vehicles, as defined in Minnesota Statutes,
section 84.771, into campgrounds and overnight facilities developed south of State Highway
169.
new text end

Sec. 43. new text begin REPEALER.
new text end

new text begin (a) new text end new text begin Minnesota Statutes 2018, sections 126C.65, subdivision 2; and 126C.68, subdivisions
1, 2, and 4, new text end new text begin are repealed.
new text end

new text begin (b) new text end new text begin Minnesota Statutes 2019 Supplement, section 126C.68, subdivision 3, new text end new text begin is repealed.
new text end

new text begin (c) new text end new text begin Minnesota Statutes 2018, section 16A.633, subdivision 4, new text end new text begin is repealed.
new text end

Sec. 44. new text begin EFFECTIVE DATE.
new text end

new text begin Except as otherwise provided, this article is effective the day following final enactment.
new text end

ARTICLE 6

PROPERTY TAXES AND AIDS

Section 1.

Minnesota Statutes 2019 Supplement, section 126C.17, subdivision 6, is amended
to read:

Subd. 6.

Referendum equalization levy.

(a) A district's referendum equalization levy
equals the sum of the first tier referendum equalization levy and the second tier referendum
equalization levy.

(b) A district's first tier referendum equalization levy equals the district's first tier
referendum equalization revenue times the lesser of new text begin (1) new text end one deleted text begin or deleted text end new text begin , (2) new text end the ratio of the district's
referendum market value per resident pupil unit to deleted text begin $567,000 deleted text end new text begin $650,000, or (3) the ratio of
the district's referendum market value per adjusted pupil unit to $650,000 new text end .

(c) A district's second tier referendum equalization levy equals the district's second tier
referendum equalization revenue times the lesser of new text begin (1) new text end one deleted text begin or deleted text end new text begin , (2) new text end the ratio of the district's
referendum market value per resident pupil unit to deleted text begin $290,000 deleted text end new text begin $320,000, or (3) the ratio of
the district's referendum market value per adjusted pupil unit to $320,000 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for revenue in fiscal year 2022 and later.
new text end

Sec. 2.

Minnesota Statutes 2018, section 272.02, is amended by adding a subdivision to
read:

new text begin Subd. 104. new text end

new text begin Certain property owned by an Indian tribe. new text end

new text begin (a) Property is exempt that:
new text end

new text begin (1) is located in a county with a population greater than 28,000 but less than 29,000 as
of the 2010 federal census;
new text end

new text begin (2) was on January 2, 2016, and is for the current assessment owned by a federally
recognized Indian tribe or its instrumentality, that is located in Minnesota;
new text end

new text begin (3) was on January 2, 2016, erroneously treated as exempt under subdivision 7; and
new text end

new text begin (4) is used for the same purpose as the property was used on January 2, 2016.
new text end

new text begin (b) For assessment years 2019 and 2020, an exemption application under this subdivision
must be filed with the county assessor by August 1, 2020. Property taxes paid on property
exempt under this section for taxes payable in 2020 only shall be refunded by the county
by September 1, 2020.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from assessment year 2019.
new text end

Sec. 3.

Minnesota Statutes 2018, section 272.38, subdivision 1, is amended to read:

Subdivision 1.

Taxes to be first paid.

new text begin (a) new text end No structures, standing timber, minerals, sand,
gravel, peat, subsoil, or topsoil shall be removed from any tract of land until all the taxes
assessed against such tract and due and payable shall have been fully paid and discharged.
When the commissioner of management and budget or the county auditor has reason to
believe that any such structure, timber, minerals, sand, gravel, peat, subsoil, or topsoil will
be removed from such tract before such taxes shall have been paid, either may direct the
county attorney to bring suit in the name of the state to enjoin any and all persons from
removing such structure, timber, minerals, sand, gravel, peat, subsoil, or topsoil therefrom
until such taxes are paid. No bond shall be required of plaintiff in such suit.

new text begin (b) If the county auditor determines that the removal of a structure is in the public interest,
including the health, safety, and well-being of the surrounding area, and that removal will
not impair the collection of property taxes, the county auditor may waive the requirements
of this subdivision.
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 2018, section 273.13, subdivision 25, is amended to read:

Subd. 25.

Class 4.

(a) Class 4a is residential real estate containing four or more units
and used or held for use by the owner or by the tenants or lessees of the owner as a residence
for rental periods of 30 days or more, excluding property qualifying for class 4d. Class 4a
also includes hospitals licensed under sections 144.50 to 144.56, other than hospitals exempt
under section 272.02, and contiguous property used for hospital purposes, without regard
to whether the property has been platted or subdivided. The market value of class 4a property
has a classification rate of 1.25 percent.

(b) Class 4b includes:

(1) residential real estate containing less than four units new text begin , including property rented as a
short-term rental property for more than 14 days in the preceding year, new text end that does not qualify
as class 4bb, other than seasonal residential recreational property;

(2) manufactured homes not classified under any other provision;

(3) a dwelling, garage, and surrounding one acre of property on a nonhomestead farm
classified under subdivision 23, paragraph (b) containing two or three units; and

(4) unimproved property that is classified residential as determined under subdivision
33.

new text begin For the purposes of this paragraph, "short-term rental property" means nonhomestead
residential real estate rented for periods of less than 30 consecutive days.
new text end

The market value of class 4b property has a classification rate of 1.25 percent.

(c) Class 4bb includes:

(1) nonhomestead residential real estate containing one unit, other than seasonal
residential recreational property;

(2) a single family dwelling, garage, and surrounding one acre of property on a
nonhomestead farm classified under subdivision 23, paragraph (b); and

(3) a condominium-type storage unit having an individual property identification number
that is not used for a commercial purpose.

Class 4bb property has the same classification rates as class 1a property under subdivision
22.

Property that has been classified as seasonal residential recreational property at any time
during which it has been owned by the current owner or spouse of the current owner does
not qualify for class 4bb.

(d) Class 4c property includes:

(1) except as provided in subdivision 22, paragraph (c), real and personal property
devoted to commercial temporary and seasonal residential occupancy for recreation purposes,
for not more than 250 days in the year preceding the year of assessment. For purposes of
this clause, property is devoted to a commercial purpose on a specific day if any portion of
the property is used for residential occupancy, and a fee is charged for residential occupancy.
Class 4c property under this clause must contain three or more rental units. A "rental unit"
is defined as a cabin, condominium, townhouse, sleeping room, or individual camping site
equipped with water and electrical hookups for recreational vehicles. A camping pad offered
for rent by a property that otherwise qualifies for class 4c under this clause is also class 4c
under this clause regardless of the term of the rental agreement, as long as the use of the
camping pad does not exceed 250 days. In order for a property to be classified under this
clause, either (i) the business located on the property must provide recreational activities,
at least 40 percent of the annual gross lodging receipts related to the property must be from
business conducted during 90 consecutive days, and either (A) at least 60 percent of all paid
bookings by lodging guests during the year must be for periods of at least two consecutive
nights; or (B) at least 20 percent of the annual gross receipts must be from charges for
providing recreational activities, or (ii) the business must contain 20 or fewer rental units,
and must be located in a township or a city with a population of 2,500 or less located outside
the metropolitan area, as defined under section 473.121, subdivision 2, that contains a portion
of a state trail administered by the Department of Natural Resources. For purposes of item
(i)(A), a paid booking of five or more nights shall be counted as two bookings. Class 4c
property also includes commercial use real property used exclusively for recreational
purposes in conjunction with other class 4c property classified under this clause and devoted
to temporary and seasonal residential occupancy for recreational purposes, up to a total of
two acres, provided the property is not devoted to commercial recreational use for more
than 250 days in the year preceding the year of assessment and is located within two miles
of the class 4c property with which it is used. In order for a property to qualify for
classification under this clause, the owner must submit a declaration to the assessor
designating the cabins or units occupied for 250 days or less in the year preceding the year
of assessment by January 15 of the assessment year. Those cabins or units and a proportionate
share of the land on which they are located must be designated class 4c under this clause
as otherwise provided. The remainder of the cabins or units and a proportionate share of
the land on which they are located will be designated as class 3a. The owner of property
desiring designation as class 4c property under this clause must provide guest registers or
other records demonstrating that the units for which class 4c designation is sought were not
occupied for more than 250 days in the year preceding the assessment if so requested. The
portion of a property operated as a (1) restaurant, (2) bar, (3) gift shop, (4) conference center
or meeting room, and (5) other nonresidential facility operated on a commercial basis not
directly related to temporary and seasonal residential occupancy for recreation purposes
does not qualify for class 4c. For the purposes of this paragraph, "recreational activities"
means renting ice fishing houses, boats and motors, snowmobiles, downhill or cross-country
ski equipment; providing marina services, launch services, or guide services; or selling bait
and fishing tackle;

(2) qualified property used as a golf course if:

(i) it is open to the public on a daily fee basis. It may charge membership fees or dues,
but a membership fee may not be required in order to use the property for golfing, and its
green fees for golfing must be comparable to green fees typically charged by municipal
courses; and

(ii) it meets the requirements of section 273.112, subdivision 3, paragraph (d).

A structure used as a clubhouse, restaurant, or place of refreshment in conjunction with
the golf course is classified as class 3a property;

(3) real property up to a maximum of three acres of land owned and used by a nonprofit
community service oriented organization and not used for residential purposes on either a
temporary or permanent basis, provided that:

(i) the property is not used for a revenue-producing activity for more than six days in
the calendar year preceding the year of assessment; or

(ii) the organization makes annual charitable contributions and donations at least equal
to the property's previous year's property taxes and the property is allowed to be used for
public and community meetings or events for no charge, as appropriate to the size of the
facility.

For purposes of this clause:

(A) "charitable contributions and donations" has the same meaning as lawful gambling
purposes under section 349.12, subdivision 25, excluding those purposes relating to the
payment of taxes, assessments, fees, auditing costs, and utility payments;

(B) "property taxes" excludes the state general tax;

(C) a "nonprofit community service oriented organization" means any corporation,
society, association, foundation, or institution organized and operated exclusively for
charitable, religious, fraternal, civic, or educational purposes, and which is exempt from
federal income taxation pursuant to section 501(c)(3), (8), (10), or (19) of the Internal
Revenue Code; and

(D) "revenue-producing activities" shall include but not be limited to property or that
portion of the property that is used as an on-sale intoxicating liquor or 3.2 percent malt
liquor establishment licensed under chapter 340A, a restaurant open to the public, bowling
alley, a retail store, gambling conducted by organizations licensed under chapter 349, an
insurance business, or office or other space leased or rented to a lessee who conducts a
for-profit enterprise on the premises.

Any portion of the property not qualifying under either item (i) or (ii) is class 3a. The
use of the property for social events open exclusively to members and their guests for periods
of less than 24 hours, when an admission is not charged nor any revenues are received by
the organization shall not be considered a revenue-producing activity.

The organization shall maintain records of its charitable contributions and donations
and of public meetings and events held on the property and make them available upon
request any time to the assessor to ensure eligibility. An organization meeting the requirement
under item (ii) must file an application by May 1 with the assessor for eligibility for the
current year's assessment. The commissioner shall prescribe a uniform application form
and instructions;

(4) postsecondary student housing of not more than one acre of land that is owned by a
nonprofit corporation organized under chapter 317A and is used exclusively by a student
cooperative, sorority, or fraternity for on-campus housing or housing located within two
miles of the border of a college campus;

(5)(i) manufactured home parks as defined in section 327.14, subdivision 3, excluding
manufactured home parks described in items (ii) and (iii), (ii) manufactured home parks as
defined in section 327.14, subdivision 3, that are described in section 273.124, subdivision
3a, and (iii) class I manufactured home parks as defined in section 327C.01, subdivision
13;

(6) real property that is actively and exclusively devoted to indoor fitness, health, social,
recreational, and related uses, is owned and operated by a not-for-profit corporation, and is
located within the metropolitan area as defined in section 473.121, subdivision 2;

(7) a leased or privately owned noncommercial aircraft storage hangar not exempt under
section 272.01, subdivision 2, and the land on which it is located, provided that:

(i) the land is on an airport owned or operated by a city, town, county, Metropolitan
Airports Commission, or group thereof; and

(ii) the land lease, or any ordinance or signed agreement restricting the use of the leased
premise, prohibits commercial activity performed at the hangar.

If a hangar classified under this clause is sold after June 30, 2000, a bill of sale must be
filed by the new owner with the assessor of the county where the property is located within
60 days of the sale;

(8) a privately owned noncommercial aircraft storage hangar not exempt under section
272.01, subdivision 2, and the land on which it is located, provided that:

(i) the land abuts a public airport; and

(ii) the owner of the aircraft storage hangar provides the assessor with a signed agreement
restricting the use of the premises, prohibiting commercial use or activity performed at the
hangar; and

(9) residential real estate, a portion of which is used by the owner for homestead purposes,
and that is also a place of lodging, if all of the following criteria are met:

(i) rooms are provided for rent to transient guests that generally stay for periods of 14
or fewer days;

(ii) meals are provided to persons who rent rooms, the cost of which is incorporated in
the basic room rate;

(iii) meals are not provided to the general public except for special events on fewer than
seven days in the calendar year preceding the year of the assessment; and

(iv) the owner is the operator of the property.

The market value subject to the 4c classification under this clause is limited to five rental
units. Any rental units on the property in excess of five, must be valued and assessed as
class 3a. The portion of the property used for purposes of a homestead by the owner must
be classified as class 1a property under subdivision 22;

(10) real property up to a maximum of three acres and operated as a restaurant as defined
under section 157.15, subdivision 12, provided it: (i) is located on a lake as defined under
section 103G.005, subdivision 15, paragraph (a), clause (3); and (ii) is either devoted to
commercial purposes for not more than 250 consecutive days, or receives at least 60 percent
of its annual gross receipts from business conducted during four consecutive months. Gross
receipts from the sale of alcoholic beverages must be included in determining the property's
qualification under item (ii). The property's primary business must be as a restaurant and
not as a bar. Gross receipts from gift shop sales located on the premises must be excluded.
Owners of real property desiring 4c classification under this clause must submit an annual
declaration to the assessor by February 1 of the current assessment year, based on the
property's relevant information for the preceding assessment year;

(11) lakeshore and riparian property and adjacent land, not to exceed six acres, used as
a marina, as defined in section 86A.20, subdivision 5, which is made accessible to the public
and devoted to recreational use for marina services. The marina owner must annually provide
evidence to the assessor that it provides services, including lake or river access to the public
by means of an access ramp or other facility that is either located on the property of the
marina or at a publicly owned site that abuts the property of the marina. No more than 800
feet of lakeshore may be included in this classification. Buildings used in conjunction with
a marina for marina services, including but not limited to buildings used to provide food
and beverage services, fuel, boat repairs, or the sale of bait or fishing tackle, are classified
as class 3a property; and

(12) real and personal property devoted to noncommercial temporary and seasonal
residential occupancy for recreation purposes.

Class 4c property has a classification rate of 1.5 percent of market value, except that (i)
each parcel of noncommercial seasonal residential recreational property under clause (12)
has the same classification rates as class 4bb property, (ii) manufactured home parks assessed
under clause (5), item (i), have the same classification rate as class 4b property, the market
value of manufactured home parks assessed under clause (5), item (ii), have a classification
rate of 0.75 percent if more than 50 percent of the lots in the park are occupied by
shareholders in the cooperative corporation or association and a classification rate of one
percent if 50 percent or less of the lots are so occupied, and class I manufactured home
parks as defined in section 327C.01, subdivision 13, have a classification rate of 1.0 percent,
(iii) commercial-use seasonal residential recreational property and marina recreational land
as described in clause (11), has a classification rate of one percent for the first $500,000 of
market value, and 1.25 percent for the remaining market value, (iv) the market value of
property described in clause (4) has a classification rate of one percent, (v) the market value
of property described in clauses (2), (6), and (10) has a classification rate of 1.25 percent,
(vi) that portion of the market value of property in clause (9) qualifying for class 4c property
has a classification rate of 1.25 percent, and (vii) property qualifying for classification under
clause (3) that is owned or operated by a congressionally chartered veterans organization
has a classification rate of one percent. The commissioner of veterans affairs must provide
a list of congressionally chartered veterans organizations to the commissioner of revenue
by June 30, 2017, and by January 1, 2018, and each year thereafter.

(e) Class 4d property is qualifying low-income rental housing certified to the assessor
by the Housing Finance Agency under section 273.128, subdivision 3. If only a portion of
the units in the building qualify as low-income rental housing units as certified under section
273.128, subdivision 3, only the proportion of qualifying units to the total number of units
in the building qualify for class 4d. The remaining portion of the building shall be classified
by the assessor based upon its use. Class 4d also includes the same proportion of land as
the qualifying low-income rental housing units are to the total units in the building. For all
properties qualifying as class 4d, the market value determined by the assessor must be based
on the normal approach to value using normal unrestricted rents.

(f) The first tier of market value of class 4d property has a classification rate of 0.75
percent. The remaining value of class 4d property has a classification rate of 0.25 percent.
For the purposes of this paragraph, the "first tier of market value of class 4d property" means
the market value of each housing unit up to the first tier limit. For the purposes of this
paragraph, all class 4d property value must be assigned to individual housing units. The
first tier limit is $100,000 for assessment year 2014. For subsequent years, the limit is
adjusted each year by the average statewide change in estimated market value of property
classified as class 4a and 4d under this section for the previous assessment year, excluding
valuation change due to new construction, rounded to the nearest $1,000, provided, however,
that the limit may never be less than $100,000. Beginning with assessment year 2015, the
commissioner of revenue must certify the limit for each assessment year by November 1
of the previous year.

new text begin EFFECTIVE DATE. new text end

new text begin Notwithstanding Minnesota Statutes, section 273.01, this section
is effective beginning with assessments in 2020 and thereafter.
new text end

Sec. 5.

Minnesota Statutes 2019 Supplement, section 273.13, subdivision 34, is amended
to read:

Subd. 34.

Homestead of veteran with a disability or family caregiver.

(a) All or a
portion of the market value of property owned by a veteran and serving as the veteran's
homestead under this section is excluded in determining the property's taxable market value
if the veteran has a service-connected disability of 70 percent or more as certified by the
United States Department of Veterans Affairs. To qualify for exclusion under this subdivision,
the veteran must have been honorably discharged from the United States armed forces, as
indicated by United States Government Form DD214 or other official military discharge
papers.

(b)(1) For a disability rating of 70 percent or more, $150,000 of market value is excluded,
except as provided in clause (2); and

(2) for a total (100 percent) and permanent disability, $300,000 of market value is
excluded.

(c) If a veteran with a disability qualifying for a valuation exclusion under paragraph
(b), clause (2), predeceases the veteran's spouse, and if upon the death of the veteran the
spouse holds the legal or beneficial title to the homestead and permanently resides there,
the exclusion shall carry over to the benefit of the veteran's spouse until such time as the
spouse remarries, or sells, transfers, or otherwise disposes of the property new text begin , except as otherwise
provided in paragraph (n) new text end . Qualification under this paragraph requires an application under
paragraph (h), and a spouse must notify the assessor if there is a change in the spouse's
marital status, ownership of the property, or use of the property as a permanent residence.

(d) If the spouse of a member of any branch or unit of the United States armed forces
who dies due to a service-connected cause while serving honorably in active service, as
indicated on United States Government Form DD1300 or DD2064, holds the legal or
beneficial title to a homestead and permanently resides there, the spouse is entitled to the
benefit described in paragraph (b), clause (2), until such time as the spouse remarries or
sells, transfers, or otherwise disposes of the property new text begin , except as otherwise provided in
paragraph (n) new text end .

(e) If a veteran meets the disability criteria of paragraph (a) but does not own property
classified as homestead in the state of Minnesota, then the homestead of the veteran's primary
family caregiver, if any, is eligible for the exclusion that the veteran would otherwise qualify
for under paragraph (b).

(f) In the case of an agricultural homestead, only the portion of the property consisting
of the house and garage and immediately surrounding one acre of land qualifies for the
valuation exclusion under this subdivision.

(g) A property qualifying for a valuation exclusion under this subdivision is not eligible
for the market value exclusion under subdivision 35, or classification under subdivision 22,
paragraph (b).

(h) To qualify for a valuation exclusion under this subdivision a property owner must
apply to the assessor by December 15 of the first assessment year for which the exclusion
is sought. For an application received after December 15, the exclusion shall become effective
for the following assessment year. Except as provided in paragraph (c), the owner of a
property that has been accepted for a valuation exclusion must notify the assessor if there
is a change in ownership of the property or in the use of the property as a homestead.

(i) A first-time application by a qualifying spouse for the market value exclusion under
paragraph (d) must be made any time within two years of the death of the service member.

(j) For purposes of this subdivision:

(1) "active service" has the meaning given in section 190.05;

(2) "own" means that the person's name is present as an owner on the property deed;

(3) "primary family caregiver" means a person who is approved by the secretary of the
United States Department of Veterans Affairs for assistance as the primary provider of
personal care services for an eligible veteran under the Program of Comprehensive Assistance
for Family Caregivers, codified as United States Code, title 38, section 1720G; and

(4) "veteran" has the meaning given the term in section 197.447.

(k) If a veteran dying after December 31, 2011, did not apply for or receive the exclusion
under paragraph (b), clause (2), before dying, the veteran's spouse is entitled to the benefit
under paragraph (b), clause (2), until the spouse remarries or sells, transfers, or otherwise
disposes of the property new text begin , except as otherwise provided in paragraph (n), new text end if:

(1) the spouse files a first-time application within two years of the death of the service
member or by June 1, 2019, whichever is later;

(2) upon the death of the veteran, the spouse holds the legal or beneficial title to the
homestead and permanently resides there;

(3) the veteran met the honorable discharge requirements of paragraph (a); and

(4) the United States Department of Veterans Affairs certifies that:

(i) the veteran met the total (100 percent) and permanent disability requirement under
paragraph (b), clause (2); or

(ii) the spouse has been awarded dependency and indemnity compensation.

(l) The purpose of this provision of law providing a level of homestead property tax
relief for veterans with a disability, their primary family caregivers, and their surviving
spouses is to help ease the burdens of war for those among our state's citizens who bear
those burdens most heavily.

(m) By July 1, the county veterans service officer must certify the disability rating and
permanent address of each veteran receiving the benefit under paragraph (b) to the assessor.

new text begin (n) A spouse who received the benefit in paragraph (c), (d), or (k) but no longer holds
the legal or beneficial title to the property may continue to receive the exclusion for a
property other than the property for which the exclusion was initially granted until the spouse
remarries or sells, transfers, or otherwise disposes of the property, provided that:
new text end

new text begin (1) the spouse applies under paragraph (h) for the continuation of the exclusion allowed
under this paragraph;
new text end

new text begin (2) the spouse holds the legal or beneficial title to the property for which the continuation
of the exclusion is sought under this paragraph, and permanently resides there;
new text end

new text begin (3) the estimated market value of the property for which the exclusion is sought under
this paragraph is less than or equal to the estimated market value of the property that first
received the exclusion, based on the value of each property on the date of the sale of the
property that first received the exclusion; and
new text end

new text begin (4) the spouse has not previously received the benefit under this paragraph for a property
other than the property for which the exclusion is sought.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective beginning with taxes payable in 2021.
new text end

Sec. 6. new text begin 2019 AID PENALTY FORGIVENESS; ADDITIONAL FILING REQUIRED
IN 2020.
new text end

new text begin (a) Notwithstanding Minnesota Statutes, section 477A.017, subdivision 3, the
commissioner of revenue shall make a payment of $9,280 to the city of Sargeant by August
31, 2020, to compensate the city for its 2019 aid payment under Minnesota Statutes, section
477A.013, that was withheld under Minnesota Statutes, section 477A.017, subdivision 3.
new text end

new text begin (b) The second half of the calendar year 2020 aid payment to the city under Minnesota
Statutes, section 477A.013, will be withheld until the state auditor certifies to the
commissioner of revenue that the city has complied with all reporting requirements under
Minnesota Statutes, section 477A.017, subdivision 3, for calendar years 2018 and 2019.
The commissioner of revenue must make the second payment for calendar year 2020 within
one month of receiving this certification from the state auditor. If the city has not complied
with all reporting requirements under Minnesota Statutes, section 477A.017, subdivision
3, for calendar years 2018 and 2019 by December 1, 2020, the city will receive no second
half aid payment under Minnesota Statutes, section 477A.013, for calendar year 2020.
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. 7. new text begin 2019 AID PENALTY FORGIVENESS.
new text end

new text begin Notwithstanding Minnesota Statutes, section 477A.017, subdivision 3, the city of
Roosevelt shall receive its aid payment for calendar year 2019 under Minnesota Statutes,
section 477A.013, that was withheld under Minnesota Statutes, section 477A.017, subdivision
3, provided that the state auditor certifies to the commissioner of revenue that the state
auditor received the annual financial reporting form for 2018 from the city as well as all
forms, including the financial statement and annual financial reporting form for calendar
year 2019 by August 1, 2020. The commissioner of revenue shall make a payment of $25,410
by August 30, 2020.
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. 8. new text begin SCHOOL BUILDING EFFICIENCIES; DULUTH SCHOOL DISTRICT.
new text end

new text begin Subdivision 1. new text end

new text begin Plan. new text end

new text begin (a) Independent School District No. 709, Duluth, must develop a
plan to sell Historic Old Central High School to another party. The plan must document the
current operating costs of the facility, the expected maintenance costs for the facility over
the next 20 years, and describe the alternatives for the programs and staff currently located
at Historic Old Central High School.
new text end

new text begin (b) The plan must also document potential building projects, which may include:
new text end

new text begin (1) constructing or acquiring new administrative space;
new text end

new text begin (2) adding transportation maintenance and bus storage facilities;
new text end

new text begin (3) improving roads and infrastructure; and
new text end

new text begin (4) preparing sites for building or demolishing the Duluth Central High School facility
constructed in 1971.
new text end

new text begin (c) The plan must be submitted by the school board to the commissioner of education
after the hearing required in subdivision 2.
new text end

new text begin (d) The commissioner must examine the plan, and if the commissioner concludes that
the plan will yield financial, student, and staff efficiencies for the district, approve the plan.
new text end

new text begin Subd. 2. new text end

new text begin Public hearing. new text end

new text begin At least 30 days prior to submitting the projects listed in the
plan developed under subdivision 1 for review and comment, the school board must hold
a public hearing on the plan and the building projects. The school board must allow public
testimony on the proposal.
new text end

new text begin Subd. 3. new text end

new text begin Review and comment. new text end

new text begin The district must submit the projects included in the
plan to the commissioner of education for review and comment under Minnesota Statutes,
section 123B.71.
new text end

new text begin Subd. 4. new text end

new text begin Bond authorization. new text end

new text begin (a) Independent School District No. 709, Duluth, may
issue general obligation bonds in an amount not to exceed $31,500,000 under this section
to finance the school facility plan approved by the district and the commissioner of education
under subdivision 1. The district must comply with Minnesota Statutes, chapter 475, except
Minnesota Statutes, sections 475.58 and 475.59. The authority to issue bonds under this
section is in addition to any other bonding authority granted to the district.
new text end

new text begin (b) At least 20 days before the issuance of bonds or the final certification of levies under
this section, the district must publish notice of the intended projects, the amount of the bonds
to be issued, and the total amount of the district's debt.
new text end

new text begin (c) The debt service required by the bonds issued is debt service revenue under Minnesota
Statutes, section 123B.53.
new text end

new text begin Subd. 5. new text end

new text begin Long-term facilities maintenance revenue. new text end

new text begin The commissioner of education
must ensure that the district's long-term facilities maintenance plan under Minnesota Statutes,
section 123B.595, reflects the savings outlined in the plan developed in subdivision 1.
new text end

new text begin Subd. 6. new text end

new text begin Report. new text end

new text begin On February 15 of each even-numbered year, Independent School
District No. 709, Duluth, must submit a report on the outcomes and efficiencies achieved
under this section to the commissioner of education and to the chairs and ranking minority
members of the legislative committees having jurisdiction over education finance.
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 7

INDIVIDUAL INCOME AND CORPORATE FRANCHISE TAXES

Section 1.

Minnesota Statutes 2018, section 290.0131, subdivision 10, is amended to read:

Subd. 10.

Section 179 expensing.

new text begin (a) For property placed in service in taxable years
beginning before January 1, 2020, except for qualifying depreciable property, new text end 80 percent
of the amount by which the deduction allowed under the dollar limits of section 179 of the
Internal Revenue Code exceeds the deduction allowable by section 179 of the Internal
Revenue Code, as amended through December 31, 2003, is an addition.

new text begin (b) For purposes of this subdivision, "qualifying depreciable property" means:
new text end

new text begin (1) property for which a depreciation deduction is allowed under section 167 of the
Internal Revenue Code; and
new text end

new text begin (2) property received as part of an exchange that qualifies for gain or loss recognition
deferral under section 1031 of the Internal Revenue Code of 1986, as amended through
December 16, 2016, but that does not qualify for gain or loss recognition deferral under
section 1031 of the Internal Revenue Code of 1986, as amended through December 31,
2018.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for property placed in service in taxable
years beginning after December 31, 2019, except that for taxpayers with qualifying
depreciable property, this section is effective retroactively and applies to the same tax periods
to which section 13303 of Public Law 115-97 relates.
new text end

Sec. 2.

Minnesota Statutes 2018, section 290.0132, is amended by adding a subdivision
to read:

new text begin Subd. 30. new text end

new text begin Volunteer driver reimbursement. new text end

new text begin (a) The amount of mileage reimbursement
paid by a charitable organization for work as a volunteer driver is a subtraction. The
subtraction is limited to amounts paid per mile by the organization that:
new text end

new text begin (1) exceed the mileage rate for use of an automobile in rendering gratuitous services to
a charitable organization under section 170(i) of the Internal Revenue Code; and
new text end

new text begin (2) do not exceed the standard mileage rate for businesses established under Code of
Federal Regulations, title 26, section 1.274-5(j)(2).
new text end

new text begin (b) For the purposes of this section, "charitable organization" means an organization
eligible for a charitable contribution under section 170(c) of the Internal Revenue Code.
new text end

new text begin (c) This section expires for taxable years beginning after December 31, 2029.
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, 2019, and before January 1, 2030.
new text end

Sec. 3.

Minnesota Statutes 2018, section 290.0133, subdivision 12, is amended to read:

Subd. 12.

Section 179 expensing.

new text begin (a) For property placed in service in taxable years
beginning before January 1, 2020, except for qualifying depreciable property, new text end 80 percent
of the amount by which the deduction allowed under the dollar limits of section 179 of the
Internal Revenue Code exceeds the deduction allowable by section 179 of the Internal
Revenue Code, as amended through December 31, 2003, is an addition.

new text begin (b) For purposes of this subdivision, "qualifying depreciable property" means:
new text end

new text begin (1) property for which a depreciation deduction is allowed under section 167 of the
Internal Revenue Code; and
new text end

new text begin (2) property received as part of an exchange that qualifies for gain or loss recognition
deferral under section 1031 of the Internal Revenue Code of 1986, as amended through
December 16, 2016, but that does not qualify for gain or loss recognition deferral under
section 1031 of the Internal Revenue Code of 1986, as amended through December 31,
2018.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for property placed in service in taxable
years beginning after December 31, 2019, except that for taxpayers with qualifying
depreciable property, this section is effective retroactively and applies to the same tax periods
to which section 13303 of Public Law 115-97 relates.
new text end

Sec. 4.

Minnesota Statutes 2018, section 290.0682, subdivision 2, is amended to read:

Subd. 2.

Credit allowed new text begin ; refundable; appropriation new text end .

(a) An eligible individual is
allowed a credit against the tax due under this chapter.

(b) The credit for an eligible individual equals the least of:

(1) eligible loan payments minus ten percent of an amount equal to adjusted gross income
in excess of $10,000, but in no case less than zero;

(2) the earned income for the taxable year of the eligible individual, if any;

(3) the sum of:

(i) the interest portion of eligible loan payments made during the taxable year; and

(ii) ten percent of the original loan amount of all qualified education loans of the eligible
individual; or

(4) $500.

(c) For a part-year resident, the credit must be allocated based on the percentage calculated
under section 290.06, subdivision 2c, paragraph (e).

(d) In the case of a married couple, each spouse is eligible for the credit in this section.

new text begin (e) If the amount of credit which a claimant is eligible to receive under this section
exceeds the claimant's tax liability under this chapter, the commissioner shall refund the
excess to the claimant.
new text end

new text begin (f) An amount sufficient to pay the refunds required by this section is appropriated to
the commissioner from the general fund.
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, 2020.
new text end

Sec. 5.

Minnesota Statutes 2019 Supplement, section 290.993, is amended to read:

290.993 SPECIAL LIMITED ADJUSTMENT.

(a) For an individual income taxpayer subject to tax under section 290.06, subdivision
2c, or a partnership that elects to file a composite return under section 289A.08, subdivision
7, for taxable years beginning after December 31, 2017, and before January 1, 2019, the
following special rules apply:

(1) an individual income taxpayer may: (i) take the standard deduction; or (ii) make an
election under section 63(e) of the Internal Revenue Code to itemize, for Minnesota individual
income tax purposes, regardless of the choice made on their federal return; and

(2) there is an adjustment to tax equal to the difference between the tax calculated under
this chapter using the Internal Revenue Code as amended through December 16, 2016, and
the tax calculated under this chapter using the Internal Revenue Code amended through
December 31, 2018, before the application of credits. The end result must be zero additional
tax due or refund.

(b) The adjustment in paragraph (a), clause (2), does not apply to any changes due to
sections 11012, new text begin 11031, new text end 13101, 13201, 13202, 13203, 13204, 13205, 13207, 13301, 13302,
13303, 13313, 13502, 13503, 13801, 14101, 14102, 14211 through 14215, and 14501 of
Public Law 115-97; and section 40411 of Public Law 115-123.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, and before January 1, 2019.
new text end

Sec. 6. new text begin SECTION 179 EXPENSING; SUBTRACTIONS.
new text end

new text begin No taxpayer with qualifying depreciable property is allowed a subtraction in computing
the taxpayer's net income for that qualifying depreciable property placed in service in taxable
years beginning after December 31, 2017, due to the retroactive exception for qualifying
depreciable property from the additions required under Minnesota Statutes, sections 290.0131,
subdivision 10, and 290.0133, subdivision 12. A taxpayer who claimed a subtraction under
Minnesota Statutes, section 290.0132, subdivision 14, or 290.0134, subdivision 14, for that
qualifying depreciable property must recompute the taxpayer's tax in the year in which the
qualifying depreciable property was placed in service and in each year a subtraction was
claimed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively and applies to the same tax
periods to which section 13303 of Public Law 115-97 relates.
new text end

ARTICLE 8

SALES AND USE TAXES

Section 1.

Minnesota Statutes 2018, section 297A.70, subdivision 13, is amended to read:

Subd. 13.

Fund-raising sales by or for nonprofit groups.

(a) The following sales by
the specified organizations for fund-raising purposes are exempt, subject to the limitations
listed in paragraph (b):

(1) all sales made by a nonprofit organization that exists solely for the purpose of
providing educational or social activities for young people primarily age 18 and under;

(2) all sales made by an organization that is a senior citizen group or association of
groups if (i) in general it limits membership to persons age 55 or older; (ii) it is organized
and operated exclusively for pleasure, recreation, and other nonprofit purposes; and (iii) no
part of its net earnings inures to the benefit of any private shareholders;

(3) the sale or use of tickets or admissions to a golf tournament held in Minnesota if the
beneficiary of the tournament's net proceeds qualifies as a tax-exempt organization under
section 501(c)(3) of the Internal Revenue Code; and

(4) sales of candy sold for fund-raising purposes by a nonprofit organization that provides
educational and social activities primarily for young people age 18 and under.

(b) The exemptions listed in paragraph (a) are limited in the following manner:

(1) the exemption under paragraph (a), clauses (1) and (2), applies only to the first
$20,000 of the gross annual receipts of the organization from fund-raising; deleted text begin and
deleted text end

(2) the exemption under paragraph (a), clause (1), does not apply if the sales are derived
from admission charges or from activities for which the money must be deposited with the
school district treasurer under section 123B.49, subdivision 2 deleted text begin , or deleted text end new text begin ; and
new text end

new text begin (3) the exemption under paragraph (a), clause (1), does not apply if the sales are derived
from admission charges or from activities for which the money must new text end be recorded in the
same manner as other revenues or expenditures of the school district under section 123B.49,
subdivision 4 deleted text begin . deleted text end new text begin , unless the following conditions are both met:
new text end

new text begin (i) the sales are made for fund-raising purposes of a club, association, or other
organization of elementary or secondary school students organized for the purpose of
carrying on sports activities, educational activities, or other extracurricular activities; and
new text end

new text begin (ii) the school district reserves revenue raised for extracurricular activities, as provided
in section 123B.49, subdivision 4, paragraph (e), and spends the revenue raised by a particular
extracurricular activity only for that extracurricular activity.
new text end

(c) Sales of tangible personal property and services are exempt if the entire proceeds,
less the necessary expenses for obtaining the property or services, will be contributed to a
registered combined charitable organization described in section 43A.50, to be used
exclusively for charitable, religious, or educational purposes, and the registered combined
charitable organization has given its written permission for the sale. Sales that occur over
a period of more than 24 days per year are not exempt under this paragraph.

(d) For purposes of this subdivision, a club, association, or other organization of
elementary or secondary school students organized for the purpose of carrying on sports,
educational, or other extracurricular activities is a separate organization from the school
district or school for purposes of applying the $20,000 limit.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for sales and purchases made after the
date of final enactment.
new text end

Sec. 2.

Minnesota Statutes 2019 Supplement, section 297A.71, subdivision 52, is amended
to read:

Subd. 52.

Construction; certain local government facilities.

(a) Materials and supplies
used in and equipment incorporated into the construction, reconstruction, upgrade, expansion,
or remodeling of the following local government owned facilities are exempt:

(1) a new fire station, which includes firefighting, emergency management, public safety
training, and other public safety facilities in the city of Monticello if materials, supplies,
and equipment are purchased after January 31, 2019, and before January 1, 2022;

(2) a new fire station, which includes firefighting and public safety training facilities
and public safety facilities, in the city of Inver Grove Heights if materials, supplies, and
equipment are purchased after June 30, 2018, and before January 1, 2021;

(3) a fire station and police station, including access roads, lighting, sidewalks, and
utility components, on or adjacent to the property on which the fire station or police station
are located that are necessary for safe access to and use of those buildings, in the city of
Minnetonka if materials, supplies, and equipment are purchased after May 23, 2019, and
before January 1, deleted text begin 2021 deleted text end new text begin 2022 new text end ;

(4) the school building in Independent School District No. 414, Minneota, if materials,
supplies, and equipment are purchased after January 1, 2018, and before January 1, 2021;

(5) a fire station in the city of Mendota Heights, if materials, supplies, and equipment
are purchased after December 31, 2018, and before January 1, 2021; deleted text begin and
deleted text end

(6) a Dakota County law enforcement collaboration center, also known as the Safety
and Mental Health Alternative Response Training (SMART) Center, if materials, supplies,
and equipment are purchased after June 30, 2019, and before July 1, 2021 deleted text begin . deleted text end new text begin ;
new text end

new text begin (7) a new fire station and emergency management operations center, including on-site
infrastructure improvements of parking lot, road access, lighting, sidewalks, and utility
components in the city of Maplewood if materials, supplies, and equipment are purchased
after September 30, 2020, and before April 1, 2023;
new text end

new text begin (8) a new police station, which includes police administration, meeting, training, and
short-term detention facilities in the city of Crystal, if materials, supplies, and equipment
are purchased after December 31, 2020, and before January 1, 2024;
new text end

new text begin (9) a new fire station, which includes firefighting, emergency management, public safety
training, and other public safety facilities in the city of Buffalo, if materials, supplies, and
equipment are purchased after April 30, 2020, and before November 1, 2021;
new text end

new text begin (10) a new fire station in the city of Grand Rapids, if materials, supplies, and equipment
are purchased after July 31, 2020, and before August 1, 2022;
new text end

new text begin (11) a new fire station constructed on the site of a previous fire station in the city of
Bloomington, if materials, supplies, and equipment are purchased after December 31, 2020,
and before January 1, 2023;
new text end

new text begin (12) a fire station in the city of St. Peter if materials, supplies, and equipment are
purchased after June 30, 2020, and before March 1, 2022;
new text end

new text begin (13) demolition and replacement of the existing Fire Station No. 2 on its existing site
and renovation and expansion of Fire Station No. 3, both in the city of Plymouth, if materials,
supplies, and equipment are purchased after January 1, 2021, and before March 31, 2023;
and
new text end

new text begin (14) a regional public safety center and training facility in the city of Virginia for fire
and police departments, emergency medical services, regional emergency services training,
and other regional community needs, if materials, supplies, and equipment are purchased
after May 1, 2021, and before May 1, 2023.
new text end

(b) The tax must be imposed and collected as if the rate under section 297A.62,
subdivision 1, applied and then refunded in the manner provided in section 297A.75.

(c) The total refund for the project listed in paragraph (a), clause (3), must not exceed
$850,000.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from May 1, 2020.
new text end

Sec. 3. new text begin STATE HIGH SCHOOL LEAGUE; FUNDING FLEXIBILITY.
new text end

new text begin Notwithstanding Minnesota Statutes, section 128C.24, the Minnesota State High School
League may reduce the transfer of sales tax savings to a nonprofit charitable foundation
created for the purpose of promoting high school extracurricular activities by up to $500,000
in total over the 2019-2020 and 2020-2021 school years. Any sales tax savings amounts
not transferred must be used for operations of the Minnesota State High School League.
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 retroactively to sales tax savings in the 2019-2020 and 2020-2021 school years.
new text end

ARTICLE 9

PARTNERSHIP AUDITS

Section 1.

Minnesota Statutes 2018, section 270C.445, subdivision 6, is amended to read:

Subd. 6.

Enforcement; administrative order; penalties; cease and desist.

(a) The
commissioner may impose an administrative penalty of not more than $1,000 per violation
of subdivision 3 or 5, or section 270C.4451, provided that a penalty may not be imposed
for any conduct for which a tax preparer penalty is imposed under section 289A.60,
subdivision 13. The commissioner may terminate a tax preparer's authority to transmit
returns electronically to the state, if the commissioner determines the tax preparer engaged
in a pattern and practice of violating this section. Imposition of a penalty under this paragraph
is subject to the contested case procedure under chapter 14. The commissioner shall collect
the penalty in the same manner as the income tax. There is no right to make a claim for
refund under section 289A.50 of the penalty imposed under this paragraph. Penalties imposed
under this paragraph are public data.

(b) In addition to the penalty under paragraph (a), if the commissioner determines that
a tax preparer has violated subdivision 3 or 5, or section 270C.4451, the commissioner may
issue an administrative order to the tax preparer requiring the tax preparer to cease and
desist from committing the violation. The administrative order may include an administrative
penalty provided in paragraph (a).

(c) If the commissioner issues an administrative order under paragraph (b), the
commissioner must send the order to the tax preparer addressed to the last known address
of the tax preparer.

(d) A cease and desist order under paragraph (b) must:

(1) describe the act, conduct, or practice committed and include a reference to the law
that the act, conduct, or practice violates; and

(2) provide notice that the tax preparer may request a hearing as provided in this
subdivision.

(e) Within 30 days after the commissioner issues an administrative order under paragraph
(b), the tax preparer may request a hearing to review the commissioner's action. The request
for hearing must be made in writing and must be served on the commissioner at the address
specified in the order. The hearing request must specifically state the reasons for seeking
review of the order. The date on which a request for hearing is served by mail is the postmark
date on the envelope in which the request for hearing is mailed.

(f) If a tax preparer does not timely request a hearing regarding an administrative order
issued under paragraph (b), the order becomes a final order of the commissioner and is not
subject to review by any court or agency.

(g) If a tax preparer timely requests a hearing regarding an administrative order issued
under paragraph (b), the hearing must be commenced within ten days after the commissioner
receives the request for a hearing.

(h) A hearing timely requested under paragraph (e) is subject to the contested case
procedure under chapter 14, as modified by this subdivision. The administrative law judge
must issue a report containing findings of fact, conclusions of law, and a recommended
order within ten days after the completion of the hearing, the receipt of late-filed exhibits,
or the submission of written arguments, whichever is later.

(i) Within five days of the date of the administrative law judge's report issued under
paragraph (h), any party aggrieved by the administrative law judge's report may submit
written exceptions and arguments to the commissioner. Within 15 days after receiving the
administrative law judge's report, the commissioner must issue an order vacating, modifying,
or making final the administrative order.

(j) The commissioner and the tax preparer requesting a hearing may by agreement
lengthen any time periods prescribed in paragraphs (g) to (i).

(k) An administrative order issued under paragraph (b) is in effect until it is modified
or vacated by the commissioner or an appellate court. The administrative hearing provided
by paragraphs (e) to (i) and any appellate judicial review as provided in chapter 14 constitute
the exclusive remedy for a tax preparer aggrieved by the order.

(l) The commissioner may impose an administrative penalty, in addition to the penalty
under paragraph (a), up to $5,000 per violation of a cease and desist order issued under
paragraph (b). Imposition of a penalty under this paragraph is subject to the contested case
procedure under chapter 14. Within 30 days after the commissioner imposes a penalty under
this paragraph, the tax preparer assessed the penalty may request a hearing to review the
penalty order. The request for hearing must be made in writing and must be served on the
commissioner at the address specified in the order. The hearing request must specifically
state the reasons for seeking review of the order. The cease and desist order issued under
paragraph (b) is not subject to review in a proceeding to challenge the penalty order under
this paragraph. The date on which a request for hearing is served by mail is the postmark
date on the envelope in which the request for hearing is mailed. If the tax preparer does not
timely request a hearing, the penalty order becomes a final order of the commissioner and
is not subject to review by any court or agency. A penalty imposed by the commissioner
under this paragraph may be collected and enforced by the commissioner as an income tax
liability. There is no right to make a claim for refund under section 289A.50 of the penalty
imposed under this paragraph. A penalty imposed under this paragraph is public data.

(m) If a tax preparer violates a cease and desist order issued under paragraph (b), the
commissioner may terminate the tax preparer's authority to transmit returns electronically
to the state. Termination under this paragraph is public data.

(n) A cease and desist order issued under paragraph (b) is public data when it is a final
order.

(o) Notwithstanding any other law, the commissioner may impose a penalty or take other
action under this subdivision against a tax preparer, with respect to a return, within the
period to assess tax on that return as provided by deleted text begin section deleted text end new text begin sections new text end 289A.38 new text begin to 289A.382 new text end .

(p) Notwithstanding any other law, the imposition of a penalty or any other action against
a tax preparer under this subdivision, other than with respect to a return, must be taken by
the commissioner within five years of the violation of statute.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 2.

Minnesota Statutes 2018, section 289A.31, subdivision 1, is amended to read:

Subdivision 1.

Individual income, fiduciary income, mining company, corporate
franchise, and entertainment taxes.

(a) Individual income, fiduciary income, mining
company, and corporate franchise taxes, and interest and penalties, must be paid by the
taxpayer upon whom the tax is imposed, except in the following cases:

(1) the tax due from a decedent for that part of the taxable year in which the decedent
died during which the decedent was alive and the taxes, interest, and penalty due for the
prior years must be paid by the decedent's personal representative, if any. If there is no
personal representative, the taxes, interest, and penalty must be paid by the transferees, as
defined in section 270C.58, subdivision 3, to the extent they receive property from the
decedent;

(2) the tax due from an infant or other incompetent person must be paid by the person's
guardian or other person authorized or permitted by law to act for the person;

(3) the tax due from the estate of a decedent must be paid by the estate's personal
representative;

(4) the tax due from a trust, including those within the definition of a corporation, as
defined in section 290.01, subdivision 4, must be paid by a trustee; and

(5) the tax due from a taxpayer whose business or property is in charge of a receiver,
trustee in bankruptcy, assignee, or other conservator, must be paid by the person in charge
of the business or property so far as the tax is due to the income from the business or property.

(b) Entertainment taxes are the joint and several liability of the entertainer and the
entertainment entity. The payor is liable to the state for the payment of the tax required to
be deducted and withheld under section 290.9201, subdivision 7, and is not liable to the
entertainer for the amount of the payment.

(c) The taxes imposed under sections 289A.35 new text begin , paragraph (b), 289A.382, subdivision
3, new text end and 290.0922 on partnerships are the joint and several liability of the partnership and the
general partners.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 3.

Minnesota Statutes 2018, section 289A.37, subdivision 2, is amended to read:

Subd. 2.

Erroneous refunds.

(a) Except as provided in paragraph (b), an erroneous
refund occurs when the commissioner issues a payment to a person that exceeds the amount
the person is entitled to receive under law. An erroneous refund is considered an
underpayment of tax on the date issued.

(b) To the extent that the amount paid does not exceed the amount claimed by the
taxpayer, an erroneous refund does not include the following:

(1) any amount of a refund or credit paid pursuant to a claim for refund filed by a
taxpayer, including but not limited to refunds of claims made under section 290.06,
subdivision 23; 290.067; 290.0671; 290.0672; 290.0674; 290.0675; 290.0677; 290.068;
290.0681; or 290.0692; or chapter 290A; or

(2) any amount paid pursuant to a claim for refund of an overpayment of tax filed by a
taxpayer.

(c) The commissioner may make an assessment to recover an erroneous refund at any
time within two years from the issuance of the erroneous refund. If all or part of the erroneous
refund was induced by fraud or misrepresentation of a material fact, the assessment may
be made at any time.

(d) Assessments of amounts that are not erroneous refunds under paragraph (b) must be
conducted under deleted text begin section deleted text end new text begin sections new text end 289A.38 new text begin to 289A.382 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 4.

Minnesota Statutes 2019 Supplement, section 289A.38, subdivision 7, is amended
to read:

Subd. 7.

Federal tax changes.

(a) If the amount of income, items of tax preference,
deductions, or credits for any year of a taxpayer, or the wages paid by a taxpayer for any
period, as reported to the Internal Revenue Service is changed or corrected by the
commissioner of Internal Revenue or other officer of the United States or other competent
authority, or where a renegotiation of a contract or subcontract with the United States results
in a change in income, items of tax preference, deductions, credits, or withholding tax, or,
in the case of estate tax, where there are adjustments to the taxable estate, the taxpayer shall
report the deleted text begin change or correction or renegotiation results deleted text end new text begin federal adjustments new text end in writing to the
commissioner. The new text begin federal adjustments new text end report must be submitted within 180 days after the
final determination new text begin date new text end and must be in the form of either an amended Minnesota estate,
withholding tax, corporate franchise tax, or income tax return conceding the accuracy of
the federal deleted text begin determination deleted text end new text begin adjustment new text end or a letter detailing how the federal deleted text begin determination deleted text end new text begin
adjustment new text end is incorrect or does not change the Minnesota tax. An amended Minnesota
income tax return must be accompanied by an amended property tax refund return, if
necessary. A taxpayer filing an amended federal tax return must also file a copy of the
amended return with the commissioner of revenue within 180 days after filing the amended
return.

(b) deleted text begin For the purposes of paragraph (a), a change or correction includes any case where a
taxpayer reaches a closing agreement or compromise with the Internal Revenue Service
under section 7121 or 7122 of the Internal Revenue Code. deleted text end new text begin In the case of a final federal
adjustment arising from a partnership-level audit or an administrative adjustment request
filed by a partnership under section 6227 of the Internal Revenue Code, a taxpayer must
report adjustments as provided for under section 289A.382 and not this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 5.

Minnesota Statutes 2018, section 289A.38, subdivision 8, is amended to read:

Subd. 8.

Failure to report change or correction of federal return.

If a taxpayer fails
to make a new text begin federal adjustments new text end report as required by subdivision 7 new text begin or section 289A.382 new text end , the
commissioner may recompute the tax, including a refund, based on information available
to the commissioner. The tax may be recomputed within six years after the new text begin federal
adjustments new text end report should have been filed, notwithstanding any period of limitations to the
contrary.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 6.

Minnesota Statutes 2018, section 289A.38, subdivision 9, is amended to read:

Subd. 9.

Report made of change or correction of federal return.

If a taxpayer is
required to make a new text begin federal adjustments new text end report under subdivision 7 new text begin or section 289A.382 new text end , and
does report the change or files a copy of the amended return, the commissioner may
recompute and reassess the tax due, including a refund (1) within one year after the new text begin federal
adjustments new text end report or amended return is filed with the commissioner, notwithstanding any
period of limitations to the contrary, or (2) within any other applicable period stated in this
section, whichever period is longer. The period provided for the carryback of any amount
of loss or credit is also extended as provided in this subdivision, notwithstanding any law
to the contrary. If the commissioner has completed a field audit of the taxpayer, and, but
for this subdivision, the commissioner's time period to adjust the tax has expired, the
additional tax due or refund is limited to only those changes that are required to be made
to the return which relate to the changes made on the federal return. This subdivision does
not apply to sales and use tax.

For purposes of this subdivision and section 289A.42, subdivision 2, a "field audit" is
the physical presence of examiners in the taxpayer's or taxpayer's representative's office
conducting an examination of the taxpayer with the intention of issuing an assessment or
notice of change in tax or which results in the issuing of an assessment or notice of change
in tax. The examination may include inspecting a taxpayer's place of business, tangible
personal property, equipment, computer systems and facilities, pertinent books, records,
papers, vouchers, computer printouts, accounts, and documents.

new text begin A taxpayer may make estimated payments to the commissioner of the tax expected to
result from a pending audit by the Internal Revenue Service. The taxpayer may make
estimated payments prior to the due date of the federal adjustments report without the
taxpayer having to file the report with the commissioner. The commissioner must credit the
estimated tax payments against any tax liability of the taxpayer ultimately found to be due
to the commissioner. The estimated payments limit the accrual of further statutory interest
on that amount. If the estimated tax payments exceed the final tax liability and statutory
interest ultimately determined to be due, the taxpayer is entitled to a refund or credit for the
excess, provided the taxpayer files a federal adjustments report or claim for refund or credit
of tax, no later than one year following the final determination date.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 7.

Minnesota Statutes 2018, section 289A.38, subdivision 10, is amended to read:

Subd. 10.

Incorrect determination of federal adjusted gross income.

Notwithstanding
any other provision of this chapter, if a taxpayer whose net income is determined under
section 290.01, subdivision 19, omits from income an amount that will under the Internal
Revenue Code extend the statute of limitations for the assessment of federal income taxes,
or otherwise incorrectly determines the taxpayer's federal adjusted gross income resulting
in adjustments by the Internal Revenue Service, then the period of assessment and
determination of tax will be that under the Internal Revenue Code. When a change is made
to federal income during the extended time provided under this subdivision, the provisions
under subdivisions 7 to 9 new text begin and section 289A.382 new text end regarding additional extensions apply.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 8.

new text begin [289A.381] DEFINITIONS; PARTNERSHIPS; FEDERAL ADJUSTMENTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions relating to federal adjustments. new text end

new text begin Unless otherwise specified,
the definitions in this section apply for the purposes of sections 289A.38, subdivisions 7 to
9, 289A.381, and 289A.382.
new text end

new text begin Subd. 2. new text end

new text begin Administrative adjustment request. new text end

new text begin "Administrative adjustment request"
means an administrative adjustment request filed by a partnership under section 6227 of
the Internal Revenue Code.
new text end

new text begin Subd. 3. new text end

new text begin Audited partnership. new text end

new text begin "Audited partnership" means a partnership subject to a
federal adjustment resulting from a partnership-level audit.
new text end

new text begin Subd. 4. new text end

new text begin Corporate partner. new text end

new text begin "Corporate partner" means a partner that is subject to tax
under section 290.02.
new text end

new text begin Subd. 5. new text end

new text begin Direct partner. new text end

new text begin "Direct partner" means a partner that holds an immediate legal
ownership interest in a partnership or pass-through entity.
new text end

new text begin Subd. 6. new text end

new text begin Exempt partner. new text end

new text begin "Exempt partner" means a partner that is exempt from taxes
on its net income under section 290.05, subdivision 1.
new text end

new text begin Subd. 7. new text end

new text begin Federal adjustment. new text end

new text begin "Federal adjustment" means any change in an amount
calculated under the Internal Revenue Code, whether to income, gross estate, a credit, an
item of preference, or any other item that is used by a taxpayer to compute a tax administered
under this chapter for the reviewed year whether that change results from action by the
Internal Revenue Service or other competent authority, including a partnership-level audit,
or from the filing of an amended federal return, federal refund claim, or an administrative
adjustment request by the taxpayer.
new text end

new text begin Subd. 8. new text end

new text begin Federal adjustments report. new text end

new text begin "Federal adjustments report" includes a method
or form prescribed by the commissioner for use by a taxpayer to report federal adjustments,
including an amended Minnesota tax return or a uniform multistate report.
new text end

new text begin Subd. 9. new text end

new text begin Federal partnership representative. new text end

new text begin "Federal partnership representative"
means the person the partnership designates for the taxable year as the partnership's
representative, or the person the Internal Revenue Service has appointed to act as the
partnership representative, pursuant to section 6223(a) of the Internal Revenue Code.
new text end

new text begin Subd. 10. new text end

new text begin Final determination date. new text end

new text begin "Final determination date" means:
new text end

new text begin (1) for a federal adjustment arising from an audit by the Internal Revenue Service or
other competent authority, the first day on which no federal adjustment arising from that
audit remains to be finally determined, whether by agreement, or, if appealed or contested,
by a final decision with respect to which all rights of appeal have been waived or exhausted;
new text end

new text begin (2) for a federal adjustment arising from an audit or other action by the Internal Revenue
Service or other competent authority, if the taxpayer filed as a member of a combined report
under section 290.17, subdivision 4, the first day on which no related federal adjustments
arising from that audit remain to be finally determined as described in clause (1) for the
entire combined group;
new text end

new text begin (3) for a federal adjustment arising from the filing of an amended federal return, a federal
refund claim, or the filing by a partnership of an administrative adjustment request, the date
on which the amended return, refund claim, or administrative adjustment request was filed;
or
new text end

new text begin (4) for agreements required to be signed by the Internal Revenue Service and the taxpayer,
the date on which the last party signed the agreement.
new text end

new text begin Subd. 11. new text end

new text begin Final federal adjustment. new text end

new text begin "Final federal adjustment" means a federal
adjustment after the final determination date for that federal adjustment has passed.
new text end

new text begin Subd. 12. new text end

new text begin Indirect partner. new text end

new text begin "Indirect partner" means either:
new text end

new text begin (1) a partner in a partnership or pass-through entity that itself holds an immediate legal
ownership interest in another partnership or pass-through entity; or
new text end

new text begin (2) a partner in a partnership or pass-through entity that holds an indirect interest in
another partnership or pass-through entity through another indirect partner.
new text end

new text begin Subd. 13. new text end

new text begin Partner. new text end

new text begin "Partner" means a person that holds an interest directly or indirectly
in a partnership or other pass-through entity.
new text end

new text begin Subd. 14. new text end

new text begin Partnership. new text end

new text begin "Partnership" has the meaning provided under section 7701(a)(2)
of the Internal Revenue Code.
new text end

new text begin Subd. 15. new text end

new text begin Partnership-level audit. new text end

new text begin "Partnership-level audit" means an examination by
the Internal Revenue Service at the partnership level pursuant to subtitle F, chapter 63,
subchapter C, of the Internal Revenue Code, which results in federal adjustments and
adjustments to partnership-related items.
new text end

new text begin Subd. 16. new text end

new text begin Pass-through entity. new text end

new text begin "Pass-through entity" means an entity, other than a
partnership, that is not subject to the tax imposed under section 290.02. The term pass-through
entity includes but is not limited to S corporations, estates, and trusts other than grantor
trusts.
new text end

new text begin Subd. 17. new text end

new text begin Resident partner. new text end

new text begin "Resident partner" means an individual, trust, or estate
partner who is a resident of Minnesota under section 290.01, subdivision 7, 7a, or 7b, for
the relevant tax period.
new text end

new text begin Subd. 18. new text end

new text begin Reviewed year. new text end

new text begin "Reviewed year" means the taxable year of a partnership that
is subject to a partnership-level audit from which federal adjustments arise.
new text end

new text begin Subd. 19. new text end

new text begin Tiered partner. new text end

new text begin "Tiered partner" means any partner that is a partnership or
pass-through entity.
new text end

new text begin Subd. 20. new text end

new text begin Unrelated business taxable income. new text end

new text begin "Unrelated business taxable income"
has the meaning provided under section 512 of the Internal Revenue Code.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 9.

new text begin [289A.382] REPORTING AND PAYMENT REQUIREMENTS.
new text end

new text begin Subdivision 1. new text end

new text begin State partnership representative. new text end

new text begin (a) With respect to an action required
or permitted to be taken by a partnership under this section, or in a proceeding under section
270C.35 or 271.06, the state partnership representative for the reviewed year shall have the
sole authority to act on behalf of the partnership, and its direct partners and indirect partners
shall be bound by those actions.
new text end

new text begin (b) The state partnership representative for the reviewed year is the partnership's federal
partnership representative unless the partnership, in a form and manner prescribed by the
commissioner, designates another person as its state partnership representative.
new text end

new text begin Subd. 2. new text end

new text begin Reporting and payment requirements for partnerships and tiered
partners. new text end

new text begin (a) Unless an audited partnership makes the election in subdivision 3, or for
adjustments required to be reported for federal purposes pursuant to section 6225(a)(2) of
the Internal Revenue Code, then, for all final federal adjustments the audited partnership
must comply with paragraph (b) and each direct partner of the audited partnership, other
than a tiered partner, must comply with paragraph (c).
new text end

new text begin (b) No later than 90 days after the final determination date, the audited partnership must:
new text end

new text begin (1) file a completed federal adjustments report, including all partner-level information
required under section 289A.12, subdivision 3, with the commissioner;
new text end

new text begin (2) notify each of its direct partners of their distributive share of the final federal
adjustments;
new text end

new text begin (3) file an amended composite report for all direct partners who were included in a
composite return under section 289A.08, subdivision 7, in the reviewed year, and pay the
additional amount that would have been due had the federal adjustments been reported
properly as required; and
new text end

new text begin (4) file amended withholding reports for all direct partners who were or should have
been subject to nonresident withholding under section 290.92, subdivision 4b, in the reviewed
year, and pay the additional amount that would have been due had the federal adjustments
been reported properly as required.
new text end

new text begin (c) No later than 180 days after the final determination date, each direct partner, other
than a tiered partner, that is subject to a tax administered under this chapter, other than the
sales tax, must:
new text end

new text begin (1) file a federal adjustments report reporting their distributive share of the adjustments
reported to them under paragraph (b), clause (2); and
new text end

new text begin (2) pay any additional amount of tax due as if the final federal adjustment had been
properly reported, plus any penalty and interest due under this chapter, and less any credit
for related amounts paid or withheld and remitted on behalf of the direct partner under
paragraph (b), clauses (3) and (4).
new text end

new text begin Subd. 3. new text end

new text begin Election; partnership or tiered partners pay. new text end

new text begin (a) An audited partnership may
make an election under this subdivision to pay its assessment at the entity level. If an audited
partnership makes an election to pay its assessment at the entity level it must:
new text end

new text begin (1) no later than 90 days after the final determination date, file a completed federal
adjustments report, including the residency information for all individual, trust, and estate
direct partners, and information pertaining to all other direct partners as prescribed by the
commissioner, and notify the commissioner that it is making the election under this
subdivision; and
new text end

new text begin (2) no later than 180 days after the final determination date, pay an amount, determined
as follows, in lieu of taxes on partners:
new text end

new text begin (i) exclude from final federal adjustments the distributive share of these adjustments
made to a direct exempt partner that is not unrelated business taxable income;
new text end

new text begin (ii) exclude from final federal adjustments the distributive share of these adjustments
made to a direct partner that has filed a federal adjustments report and paid the applicable
tax, as required under subdivision 2, for the distributive share of adjustments reported on a
federal return under section 6225(c) of the Internal Revenue Code;
new text end

new text begin (iii) assign and apportion at the partnership level using sections 290.17 to 290.20 the
total distributive share of the remaining final federal adjustments for the reviewed year
attributed to direct corporate partners and direct exempt partners, multiply the total by the
highest tax rate in section 290.06, subdivision 1, for the reviewed year, and calculate interest
and penalties as applicable under this chapter;
new text end

new text begin (iv) allocate at the partnership level using section 290.17, subdivision 1, the total
distributive share of all final federal adjustments attributable to individual resident direct
partners for the reviewed year; multiply the total by the highest tax rate in section 290.06,
subdivision 2c, for the reviewed year; and calculate interest and penalties as applicable
under this chapter;
new text end

new text begin (v) assign and apportion at the partnership level using sections 290.17 to 290.20 the total
distributive share of the remaining final federal adjustments attributable to nonresident
individual direct partners and direct partners who are an estate or a trust for the reviewed
year; multiply the total by the highest tax rate in section 290.06, subdivision 2c, for the
reviewed year; and calculate interest and penalties as applicable under this chapter;
new text end

new text begin (vi) for the total distributive share of the remaining final federal adjustments reported
to tiered partners:
new text end

new text begin (A) determine the amount of the adjustments that would be assigned using section 290.17,
subdivision 2, paragraphs (a) to (d), excluding income or gains from intangible personal
property not employed in the business of the recipient of the income or gains if the recipient
of the income or gains is a resident of this state or is a resident trust or estate under section
290.17, subdivision 2, paragraph (c), or apportioned using sections 290.17, subdivision 3,
290.191, and 290.20, and then determine the portion of this amount that would be allocated
to this state;
new text end

new text begin (B) determine the amount of the adjustments which are of a type which are fully sourced
to the taxpayer's state of residency under section 290.17, subdivision 2, paragraph (e), and
income or gains from intangible personal property not employed in the business of the
recipient of the income or gains if the recipient of the income or gains is a resident of this
state or is a resident trust or estate under section 290.17, subdivision 2, paragraph (c);
new text end

new text begin (C) determine the portion of the amount determined in subitem (B) that can be established
to be properly allocable to nonresident indirect partners or other partners not subject to tax
on the adjustments; and
new text end

new text begin (D) multiply the total of the amounts determined in subitems (A) and (B) reduced by
the amount determined in subitem (C) by the highest tax rate in section 290.06, subdivision
2c, for the reviewed year, and calculate interest and penalties as applicable under this chapter;
and
new text end

new text begin (vii) add the amounts determined in items (iii) to (vi), and pay all applicable taxes,
penalties, and interest to the commissioner.
new text end

new text begin (b) An audited partnership may not make an election under this subdivision to report:
new text end

new text begin (1) a federal adjustment that results in unitary business income to a corporate partner
required to file as a member of a combined report under section 290.17, subdivision 4; or
new text end

new text begin (2) any final federal adjustments resulting from an administrative adjustment request.
new text end

new text begin (c) An audited partnership not otherwise subject to any reporting or payment obligation
to this state may not make an election under this subdivision.
new text end

new text begin Subd. 4. new text end

new text begin Tiered partners and indirect partners. new text end

new text begin The direct and indirect partners of an
audited partnership that are tiered partners, and all of the partners of those tiered partners
that are subject to tax under chapter 290 are subject to the reporting and payment
requirements contained in subdivision 2 and the tiered partners are entitled to make the
elections provided in subdivision 3. The tiered partners or their partners shall make required
reports and payments no later than 90 days after the time for filing and furnishing of
statements to tiered partners and their partners as established under section 6226 of the
Internal Revenue Code.
new text end

new text begin Subd. 5. new text end

new text begin Effects of election by partnership or tiered partner and payment of amount
due. new text end

new text begin (a) Unless the commissioner determines otherwise, an election under subdivision 3 is
irrevocable.
new text end

new text begin (b) If an audited partnership or tiered partner properly reports and pays an amount
determined in subdivision 3, the amount will be treated as paid in lieu of taxes owed by the
partnership's direct partners and indirect partners, to the extent applicable, on the same final
federal adjustments. The direct partners or indirect partners of the partnership who are not
resident partners may not take any deduction or credit for this amount or claim a refund of
the amount in this state.
new text end

new text begin (c) Nothing in this subdivision precludes resident direct partners from claiming a credit
against taxes paid under section 290.06 on any amounts paid by the audited partnership or
tiered partners on the resident partner's behalf to another state or local tax jurisdiction.
new text end

new text begin Subd. 6. new text end

new text begin Failure of partnership or tiered partner to report or pay. new text end

new text begin Nothing in this
section prevents the commissioner from assessing direct partners or indirect partners for
taxes they owe, using the best information available, in the event that, for any reason, a
partnership or tiered partner fails to timely make any report or payment required by this
section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 10.

Minnesota Statutes 2018, section 289A.42, is amended to read:

289A.42 CONSENT TO EXTEND STATUTE.

Subdivision 1.

Extension agreement.

If before the expiration of time prescribed in
sections 289A.38 new text begin to 289A.382 new text end and 289A.40 for the assessment of tax or the filing of a claim
for refund, both the commissioner and the taxpayer have consented in writing to the
assessment or filing of a claim for refund after that time, the tax may be assessed or the
claim for refund filed at any time before the expiration of the agreed-upon period. The
period may be extended by later agreements in writing before the expiration of the period
previously agreed upon. The taxpayer and the commissioner may also agree to extend the
period for collection of the tax.

Subd. 2.

Federal extensions.

When a taxpayer consents to an extension of time for the
assessment of federal withholding or income taxes, the period in which the commissioner
may recompute the tax is also extended, notwithstanding any period of limitations to the
contrary, as follows:

(1) for the periods provided in deleted text begin section deleted text end new text begin sections new text end 289A.38, subdivisions 8 and 9 new text begin , and
289A.382, subdivisions 2 and 3 new text end ;

(2) for six months following the expiration of the extended federal period of limitations
when no change is made by the federal authority. If no change is made by the federal
authority, and, but for this subdivision, the commissioner's time period to adjust the tax has
expired, and if the commissioner has completed a field audit of the taxpayer, no additional
changes resulting in additional tax due or a refund may be made. For purposes of this
subdivision, "field audit" has the meaning given deleted text begin it deleted text end in section 289A.38, subdivision 9.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 11.

Minnesota Statutes 2018, section 289A.60, subdivision 24, is amended to read:

Subd. 24.

Penalty for failure to notify of federal change.

If a person fails to report to
the commissioner a change or correction of the person's federal return in the manner and
time prescribed in deleted text begin section deleted text end new text begin sections new text end 289A.38, subdivision 7 new text begin , and 289A.382 new text end , there must be
added to the tax an amount equal to ten percent of the amount of any underpayment of
Minnesota tax attributable to the federal change.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 12.

Minnesota Statutes 2018, section 290.31, subdivision 1, is amended to read:

Subdivision 1.

Partners, not partnership, subject to tax.

Except as provided under
deleted text begin section deleted text end new text begin sections new text end 289A.35, paragraph (b), new text begin and 289A.382, subdivision 3, new text end a partnership as such
shall not be subject to the income tax imposed by this chapter, but is subject to the tax
imposed under section 290.0922. Persons carrying on business as partners shall be liable
for income tax only in their separate or individual capacities.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 13.

Minnesota Statutes 2018, section 297F.17, subdivision 6, is amended to read:

Subd. 6.

Time limit for bad debt refund.

Claims for refund must be filed with the
commissioner during the one-year period beginning with the timely filing of the taxpayer's
federal income tax return containing the bad debt deduction that is being claimed. Claimants
under this subdivision are subject to the notice requirements of deleted text begin section deleted text end new text begin sections new text end 289A.38,
subdivision 7 new text begin , and 289A.382 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 14.

Minnesota Statutes 2018, section 297G.16, subdivision 7, is amended to read:

Subd. 7.

Time limit for a bad debt deduction.

Claims for refund must be filed with
the commissioner within one year of the filing of the taxpayer's income tax return containing
the bad debt deduction that is being claimed. Claimants under this subdivision are subject
to the notice requirements of deleted text begin section 289A.38, subdivision 7 deleted text end new text begin sections 289A.38 to 289A.382 new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

Sec. 15.

Minnesota Statutes 2018, section 469.319, subdivision 4, is amended to read:

Subd. 4.

Repayment procedures.

(a) For the repayment of taxes imposed under chapter
290 or 297A or local taxes collected pursuant to section 297A.99, a business must file an
amended return with the commissioner of revenue and pay any taxes required to be repaid
within 30 days after becoming subject to repayment under this section. The amount required
to be repaid is determined by calculating the tax for the period or periods for which repayment
is required without regard to the exemptions and credits allowed under section 469.315.

(b) For the repayment of taxes imposed under chapter 297B, a business must pay any
taxes required to be repaid to the motor vehicle registrar, as agent for the commissioner of
revenue, within 30 days after becoming subject to repayment under this section.

(c) For the repayment of property taxes, the county auditor shall prepare a tax statement
for the business, applying the applicable tax extension rates for each payable year and
provide a copy to the business and to the taxpayer of record. The business must pay the
taxes to the county treasurer within 30 days after receipt of the tax statement. The business
or the taxpayer of record may appeal the valuation and determination of the property tax to
the Tax Court within 30 days after receipt of the tax statement.

(d) The provisions of chapters 270C and 289A relating to the commissioner's authority
to audit, assess, and collect the tax and to hear appeals are applicable to the repayment
required under paragraphs (a) and (b). The commissioner may impose civil penalties as
provided in chapter 289A, and the additional tax and penalties are subject to interest at the
rate provided in section 270C.40. The additional tax shall bear interest from 30 days after
becoming subject to repayment under this section until the date the tax is paid. Any penalty
imposed pursuant to this section shall bear interest from the date provided in section 270C.40,
subdivision 3, to the date of payment of the penalty.

(e) If a property tax is not repaid under paragraph (c), the county treasurer shall add the
amount required to be repaid to the property taxes assessed against the property for payment
in the year following the year in which the auditor provided the statement under paragraph
(c).

(f) For determining the tax required to be repaid, a reduction of a state or local sales or
use tax is deemed to have been received on the date that the good or service was purchased
or first put to a taxable use. In the case of an income tax or franchise tax, including the credit
payable under section 469.318, a reduction of tax is deemed to have been received for the
two most recent tax years that have ended prior to the date that the business became subject
to repayment under this section. In the case of a property tax, a reduction of tax is deemed
to have been received for the taxes payable in the year that the business became subject to
repayment under this section and for the taxes payable in the prior year.

(g) The commissioner may assess the repayment of taxes under paragraph (d) any time
within two years after the business becomes subject to repayment under subdivision 1, or
within any period of limitations for the assessment of tax under deleted text begin section deleted text end new text begin sections new text end 289A.38 new text begin
to 289A.382 new text end , whichever period is later. The county auditor may send the statement under
paragraph (c) any time within three years after the business becomes subject to repayment
under subdivision 1.

(h) A business is not entitled to any income tax or franchise tax benefits, including
refundable credits, for any part of the year in which the business becomes subject to
repayment under this section nor for any year thereafter. Property is not exempt from tax
under section 272.02, subdivision 64, for any taxes payable in the year following the year
in which the property became subject to repayment under this section nor for any year
thereafter. A business is not eligible for any sales tax benefits beginning with goods or
services purchased or first put to a taxable use on the day that the business becomes subject
to repayment under this section.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for taxable years beginning
after December 31, 2017, except that for partnerships that make an election under Code of
Federal Regulations, title 26, section 301.9100-22T, this section is effective retroactively
and applies to the same tax periods to which the election relates.
new text end

ARTICLE 10

MISCELLANEOUS TAX CHANGES

Section 1.

Minnesota Statutes 2018, section 297E.02, subdivision 6, as amended by Laws
2020, chapter 83, article 1, section 76, is amended to read:

Subd. 6.

Combined net receipts tax.

(a) In addition to the taxes imposed under
subdivision 1, a tax is imposed on the combined net receipts of the organization. As used
in this section, "combined net receipts" is the sum of the organization's gross receipts from
lawful gambling less gross receipts directly derived from the conduct of paper bingo, raffles,
and paddlewheels, as defined in section 297E.01, subdivision 8, and less the net prizes
actually paid, other than prizes actually paid for paper bingo, raffles, and paddlewheels, for
the fiscal year. The combined net receipts of an organization are subject to a tax computed
according to the following schedule:

	If the combined net receipts for the fiscal year are:		The tax is:
	Not over $87,500		deleted text begin nine deleted text end new text begin eight new text end percent
	Over $87,500, but not over $122,500		deleted text begin $7,875 deleted text end new text begin $7,000 new text end plus deleted text begin 18 deleted text end new text begin 16 new text end percent of the amount over $87,500, but not over $122,500
	Over $122,500, but not over $157,500		deleted text begin $14,175 deleted text end new text begin $12,600 new text end plus deleted text begin 27 deleted text end new text begin 24 new text end percent of the amount over $122,500, but not over $157,500
	Over $157,500		deleted text begin $23,625 deleted text end new text begin $21,000 new text end plus deleted text begin 36 deleted text end new text begin 32 new text end percent of the amount over $157,500

(b) Gross receipts derived from sports-themed tipboards are exempt from taxation under
this section. For purposes of this paragraph, a sports-themed tipboard means a sports-themed
tipboard as defined in section 349.12, subdivision 34, under which the winning numbers
are determined by the numerical outcome of a professional sporting event.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively for games reported as played
after June 30, 2020.
new text end

Sec. 2.

Minnesota Statutes 2018, section 297E.021, subdivision 2, is amended to read:

Subd. 2.

Determination of revenue increase.

By March 15 of each fiscal year, the
commissioner of management and budget, in consultation with the commissioner, shall
determine the estimated increase in revenues received from taxes imposed under this chapter
over deleted text begin the estimated revenues under the February 2012 state budget forecast for that fiscal
year. For fiscal years after fiscal year 2015, the commissioner of management and budget
shall use the February 2012 state budget forecast for fiscal year 2015 as the deleted text end new text begin a new text end baseline new text begin of:
$30,500,000 in fiscal years 2021 and thereafter new text end . All calculations under this subdivision must
be made net of estimated refunds of the taxes required to be paid.

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.

Minnesota Statutes 2018, section 349.15, subdivision 1, is amended to read:

Subdivision 1.

Expenditure restrictions, requirements, and civil penalties.

(a) Gross
profits from lawful gambling may be expended only for lawful purposes or allowable
expenses as authorized by the membership of the conducting organization at a monthly
meeting of the organization's membership.

(b) For each 12-month period beginning July 1, a licensed organization will be evaluated
by the board to determine a rating based on the percentage of annual lawful purpose
expenditures new text begin , excluding those defined in section 349.12, subdivision 25, paragraph (a),
clauses (8) and (18), new text end when compared to deleted text begin available gross profits deleted text end new text begin total allowable expenses new text end for
the same period. The rating will be used to determine the organization's profitability percent
and is not a rating of the organization's lawful gambling operation. An organization will be
evaluated according to the following criteria:

(1) an organization deleted text begin that expends 50 deleted text end new text begin with a ratio of annual lawful purpose expenditures,
excluding those defined in section 349.12, subdivision 25, paragraph (a), clauses (8) and
(18), to allowable expenses of 100 new text end percent or more deleted text begin of gross profits on lawful purposes deleted text end will
receive a five-star rating;

(2) an organization deleted text begin that expends 40 deleted text end new text begin with a ratio of annual lawful purpose expenditures,
excluding those defined in section 349.12, subdivision 25, paragraph (a), clauses (8) and
(18), to allowable expenses of 80 new text end percent or more but less than deleted text begin 50 deleted text end new text begin 100 new text end percent deleted text begin of gross
profits on lawful purposes deleted text end will receive a four-star rating;

(3) an organization deleted text begin that expends 30 deleted text end new text begin with a ratio of annual lawful purpose expenditures,
excluding those defined in section 349.12, subdivision 25, paragraph (a), clauses (8) and
(18), to allowable expenses of 60 new text end percent or more but less than deleted text begin 40 deleted text end new text begin 80 new text end percent deleted text begin of gross profits
on lawful purposes deleted text end will receive a three-star rating;

(4) an organization deleted text begin that expends 20 deleted text end new text begin with a ratio of annual lawful purpose expenditures,
excluding those defined in section 349.12, subdivision 25, paragraph (a), clauses (8) and
(18), to allowable expenses of 40 new text end percent or more but less than deleted text begin 30 deleted text end new text begin 60 new text end percent deleted text begin of gross profits
on lawful purposes deleted text end will receive a two-star rating; deleted text begin and
deleted text end

(5) an organization deleted text begin that expends less than deleted text end new text begin with a ratio of annual lawful purpose
expenditures, excluding those defined in section 349.12, subdivision 25, paragraph (a),
clauses (8) and (18), to allowable expenses of new text end 20 percent deleted text begin of gross profits on lawful purposes deleted text end
new text begin or more but less than 40 percent new text end will receive a one-star rating new text begin ; and
new text end

new text begin (6) an organization with a ratio of annual lawful purpose expenditures, excluding those
defined in section 349.12, subdivision 25, paragraph (a), clauses (8) and (18), to allowable
expenses of less than 20 percent will receive a zero-star rating new text end .

(c) An organization that fails to expend a minimum of deleted text begin 30 deleted text end new text begin 20 new text end percent deleted text begin annually of gross
profits deleted text end new text begin of its annual total allowable expenses new text end on lawful purposes, deleted text begin or 20 percent annually for
organizations that conduct lawful gambling in a location where the primary business is
bingo deleted text end new text begin excluding those defined in section 349.12, subdivision 25, paragraph (a), clauses (8)
and (18) new text end , is automatically on probation effective July 1 for a period of one year. The
organization must increase its rating to the required minimum or be subject to sanctions by
the board. If an organization fails to meet the minimum after a one-year probation, the board
may suspend the organization's license or impose a civil penalty as follows:

(1) in determining any suspension or penalty for a violation of this paragraph, the board
must consider any unique factors or extraordinary circumstances that caused the organization
to not meet the minimum rate of profitability. Unique factors or extraordinary circumstances
include, but are not limited to, the purchase of capital assets necessary to conduct lawful
gambling; road or other construction causing impaired access to the lawful gambling
premises; and flood, tornado, or other catastrophe that had a direct impact on the continuing
lawful gambling operation; and

(2) notwithstanding section 349.151, subdivision 4, paragraph (a), clause (10), the board
may impose a civil penalty under this subdivision up to $10,000.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from July 1, 2020.
new text end

Sec. 4.

Minnesota Statutes 2018, section 349.151, subdivision 4, is amended to read:

Subd. 4.

Powers and duties.

(a) The board has the following powers and duties:

(1) to regulate lawful gambling to ensure it is conducted in the public interest;

(2) to issue licenses to organizations and gambling managers, and to issue licenses and
renewals to distributors, distributor salespersons, manufacturers, and linked bingo game
providers;

(3) to collect and deposit fees due under this chapter;

(4) to receive reports required by this chapter and inspect all premises, records, books,
and other documents of organizations, distributors, manufacturers, and linked bingo game
providers to insure compliance with all applicable laws and rules;

(5) to make rules authorized by this chapter;

(6) to register gambling equipment and issue registration stamps;

(7) to provide by rule for the mandatory posting by organizations conducting lawful
gambling of rules of play and the odds and/or house percentage on each form of lawful
gambling;

(8) to report annually to the governor and legislature on its activities and on recommended
changes in the laws governing gambling new text begin , including an annual report that provides: a tabulation
of the number of compliance reviews completed; the percentage of organizations reviewed;
an average of the number of months between reviews; the number, location, and organization
of site inspections; and the number of allegations awaiting investigation by the board new text end ;

(9) to report annually to the governor and legislature a financial summary for each
licensed organization identifying the gross receipts, prizes paid, allowable expenses, lawful
purpose expenditures including charitable contributions and all taxes and fees as per section
349.12, subdivision 25, paragraph (a), clauses (8) and (18), and the percentage of annual
gross profit used for lawful purposes;

(10) to impose civil penalties of not more than $1,000 per violation on organizations,
distributors, distributor salespersons, manufacturers, linked bingo game providers, and
gambling managers for violating or failing to comply with any provision of this chapter,
chapter 297E, or any rule or order of the board;

(11) to issue premises permits to organizations licensed to conduct lawful gambling;

(12) to delegate to the director the authority to issue or deny license and premises permit
applications and renewals under criteria established by the board;

(13) to delegate to the director the authority to approve or deny fund loss requests,
contribution of gambling funds to another licensed organization, and property expenditure
requests under criteria established by the board;

(14) to suspend or revoke licenses and premises permits of organizations, distributors,
distributor salespersons, manufacturers, linked bingo game providers, or gambling managers
as provided in this chapter;

(15) to approve or deny requests from licensees for:

(i) waivers from fee requirements as provided in section 349.16, subdivision 6; and

(ii) variances from Gambling Control Board rules under section 14.055; and

(16) to register employees of organizations licensed to conduct lawful gambling;

(17) to require fingerprints from persons determined by board rule to be subject to
fingerprinting;

(18) to delegate to a compliance review group of the board the authority to investigate
alleged violations, issue consent orders, and initiate contested cases on behalf of the board;

(19) to order organizations, distributors, distributor salespersons, manufacturers, linked
bingo game providers, and gambling managers to take corrective actions; and

(20) to take all necessary steps to ensure the integrity of and public confidence in lawful
gambling.

(b) The board, or director if authorized to act on behalf of the board, may by citation
assess any organization, distributor, distributor salesperson, manufacturer, linked bingo
game provider, or gambling manager a civil penalty of not more than $1,000 per violation
for a failure to comply with any provision of this chapter, chapter 297E, or any rule adopted
or order issued by the board. Any organization, distributor, distributor salesperson, gambling
manager, linked bingo game provider, or manufacturer assessed a civil penalty under this
paragraph may request a hearing before the board. Appeals of citations imposing a civil
penalty are not subject to the provisions of the Administrative Procedure Act.

(c) All penalties received by the board must be deposited in the general fund.

(d) All fees imposed by the board under sections 349.16 to 349.167 must be deposited
in the state treasury and credited to a lawful gambling regulation account in the special
revenue fund. Receipts in this account are available for the operations of the board up to
the amount authorized in biennial appropriations from the legislature.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from July 1, 2020.
new text end

Sec. 5.

Minnesota Statutes 2018, section 462A.38, as amended by Laws 2019, First Special
Session chapter 1, article 6, section 28, is amended to read:

462A.38 WORKFORCE AND AFFORDABLE HOMEOWNERSHIP
DEVELOPMENT PROGRAM.

Subdivision 1.

Establishment.

A workforce and affordable homeownership development
program is established to award homeownership development grants new text begin and loans new text end to cities,
tribal governments, nonprofit organizations, cooperatives created under chapter 308A or
308B, and community land trusts created for the purposes outlined in section 462A.31,
subdivision 1, for development of workforce and affordable homeownership projects. The
purpose of the program is to increase the supply of workforce and affordable, owner-occupied
multifamily or single-family housing throughout Minnesota.

Subd. 2.

Use of funds.

(a) Grant funds new text begin and loans new text end awarded under this program may be
used for:

(1) development costs;

(2) rehabilitation;

(3) land development; and

(4) residential housing, including storm shelters and related community facilities.

(b) A project funded through deleted text begin the grant deleted text end new text begin this new text end program shall serve households that meet
the income limits as provided in section 462A.33, subdivision 5, unless a project is intended
for the purpose outlined in section 462A.02, subdivision 6.

Subd. 3.

Application.

The commissioner shall develop forms and procedures for soliciting
and reviewing applications for grants new text begin and loans new text end under this section. The commissioner shall
consult with interested stakeholders when developing the guidelines and procedures for the
program. In making grants new text begin and loans new text end , the commissioner shall establish semiannual application
deadlines in which grants new text begin and loans new text end will be authorized from all or part of the available
appropriations.

Subd. 4.

Awarding grants new text begin and loans new text end .

Among comparable proposals, preference must
be given to proposals that include contributions from nonstate resources for the greatest
portion of the total development cost.

Subd. 5.

Statewide program.

The agency shall attempt to make grants new text begin and loans new text end in
approximately equal amounts to applicants outside and within the metropolitan area new text begin , as
defined under section 473.121, subdivision 2 new text end .

Subd. 6.

Report.

Beginning January 15, deleted text begin 2018 deleted text end new text begin 2021 new text end , the commissioner must annually
submit a report to the chairs and ranking minority members of the senate and house of
representatives committees having jurisdiction over housing and workforce development
specifying the projects that received grants new text begin and loans new text end under this section and the specific
purposes for which the grant new text begin or loan new text end funds were used.

new text begin Subd. 7. new text end

new text begin Workforce and affordable homeownership development account. new text end

new text begin A
workforce and affordable homeownership development account is established in the housing
development fund. Money in the account, including interest, is appropriated to the
commissioner of the Housing Finance Agency for the purposes of this section. The amount
appropriated under this section must supplement traditional sources of funding for this
purpose and must not be used as a substitute or to pay debt service on bonds.
new text end

new text begin Subd. 8. new text end

new text begin Deposits; funding amount. new text end

new text begin (a) In fiscal years 2022 through 2031, an amount
equal to $4,000,000 of the state's portion of the proceeds derived from the mortgage registry
tax imposed under section 287.035 and the deed tax under section 287.21, is appropriated
from the general fund to the commissioner of the Housing Finance Agency to transfer to
the workforce and affordable homeownership development account in the housing
development fund. The appropriation must be made annually by September 15.
new text end

new text begin (b) All loan repayments received under this section are to be deposited into the workforce
and affordable homeownership development account in the housing development fund.
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. new text begin ADMINISTRATIVE APPROPRIATION.
new text end

new text begin $642,000 in fiscal year 2021 is appropriated to the commissioner of revenue to administer
this article. The base for this appropriation is $571,000 in fiscal year 2022 and $0 in fiscal
year 2023.
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 11

ACCOUNT TRANSFER

Section 1. new text begin PREMIUM SECURITY ACCOUNT TRANSFER.
new text end

new text begin The commissioner of management and budget must transfer $100,000,000 in fiscal year
2021 from the premium security account established in Minnesota Statutes, section 62E.25,
subdivision 1, to the general fund. This is a onetime transfer.
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

APPENDIX

Repealed Minnesota Statutes: 202-H0003-2

16A.633 CAPITAL FUNDING; MAINTAINING DATA AND REPORTING.

Subd. 4.

Report on jobs created or retained.

By September 1 of each odd-numbered year, the commissioner must report to legislative committees with jurisdiction over capital investment on the jobs created or retained as a result of capital project funding by the state, whether with state general obligation bond proceeds or other state funding sources, during the previous biennium. Each state agency must provide the commissioner the information necessary, and must require its capital project grantees to provide the information necessary, for the commissioner to make the report. The report must include, but is not limited to, the following information: the number and types of jobs for each project, whether the jobs are new or retained, where the jobs are located, and pay ranges of the jobs. The Board of Regents of the University of Minnesota, the Board of Trustees of the Minnesota State Colleges and Universities, and each state agency receiving an appropriation for a capital project shall collect and provide the information at the time and in the manner required by the commissioner. This subdivision does not apply to Department of Transportation state-aid projects valued less than $5,000,000.

126C.65 FUND ESTABLISHED; DIVISION INTO ACCOUNTS.

Subd. 2.

Debt service loan account.

A debt service loan account must be maintained out of which loans under section 126C.68 must be made. All money appropriated to the fund by section 126C.66 shall be paid into this account initially.

126C.68 DEBT SERVICE LOANS.

Subdivision 1.

Qualification; application; award; interest.

Any district in which the required levy for debt service in any year will exceed its maximum effort debt service levy by ten percent or by $5,000, whichever is less, is qualified for a debt service loan hereunder in an amount not exceeding the amount applied for, and not exceeding one percent of the net debt of the district, and not exceeding the difference between the required and the maximum effort debt service levy in that year. Applications must be filed with the commissioner in each calendar year up to and including July 1. The commissioner shall determine whether the applicant is entitled to a loan and the amount thereof, and on or before October 1 shall certify to each applicant district the amount granted and its due date. The commissioner shall notify the county auditor of each county in which the district is located that the amount certified is available and appropriated for payment of principal and interest on its outstanding bonds. The auditors shall reduce by that amount the taxes otherwise leviable as the district's debt service levy on the tax rolls for that year. Each debt service loan shall bear interest from its date at a rate equal to the average annual rate payable on Minnesota state school loan bonds most recently issued prior to the disbursement of the loan to the district, but in no event less than 3-1/2 percent per annum on the principal amount from time to time remaining unpaid. Interest is payable on December 15 of the year following that in which the loan is received and annually thereafter.

Subd. 2.

Note.

Each debt service loan must be evidenced by a note executed on behalf of the district by the signatures of its chair or vice-chair and the school district clerk. The note must be dated November 1 of the year in which executed, and must state its principal amount, interest rate, and that it is payable at the commissioner's office. The note must have printed thereon, or the commissioner shall attach thereto, a grill for entry of the date and amount of each payment and allocations of each payment to accrued interest or principal. The note must also include a certificate to be executed by the county auditor of each county in which any portion of the district is situated, prior to the delivery of the note, stating that the county auditor has entered the debt service loan evidenced thereby in the auditor's bond register. The notes must be delivered to the commissioner not later than November 15 of the year in which executed. The commissioner shall cause a record to be made and preserved showing the obligor district and the date and principal amount of each note.

Subd. 3.

Payment.

The commissioner shall issue to each district whose note has been so received a payment on the debt service loan account of the maximum effort school loan fund, payable on presentation to the commissioner of management and budget out of any money in such account. The payment shall be issued by the commissioner in sufficient time to coincide with the next date on which the district is obligated to make principal or interest payments on its bonded debt in the ensuing year. Interest must accrue from the date such payment is issued. The proceeds thereof must be used by the district to pay principal or interest on its bonded debt falling due in the ensuing year.

Subd. 4.

Levy.

Each district receiving a debt service loan shall levy for debt service in that year and each year thereafter, until all its debts to the fund are paid, (a) the amount of its maximum effort debt service levy, or (b) the amount of its required debt service levy less the amount of any debt service loan in that year, whichever is greater. The district shall remit payments to the commissioner according to section 126C.71. By September 30, the commissioner shall notify the county auditor of each county containing taxable property situated within the school district of the amount of the maximum effort debt service levy of the district for that year, and said county auditor or auditors shall extend upon the tax rolls an ad valorem tax upon all taxable property within the district in the aggregate amount so certified.