1.1 	A bill for an act
1.2 	relating to transportation; mandating federal-aid
1.3 	highway money be distributed 62 percent to the
1.4 	Minnesota Department of Transportation and 38 percent
1.5 	combined to counties, cities, and metropolitan
1.6 	planning organizations; proposing coding for new law
1.7 	in Minnesota Statutes, chapter 174.
1.8 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.9 	Section 1. [174.024] FEDERAL-AID HIGHWAY FUNDS.
1.10 	(a) The commissioner of transportation shall distribute all
1.11 	federal-aid formula highway funding available to Minnesota from
1.12 	the federal highway trust fund 62 percent to the Minnesota
1.13 	Department of Transportation and 38 percent combined to
1.14 	counties, municipal state-aid cities, and metropolitan planning
1.15 	organizations (MPO's).
1.16 	(b) The 62/38 percentage split must be applied to the total
1.17 	annual federal formula funds available to the state before any
1.18 	deductions for Minnesota Department of Transportation programs,
1.19 	statewide set-asides, or federal sanctions.
1.20 	(c) All deductions for department programs, statewide
1.21 	set-asides, and federal sanctions must be deducted from the
1.22 	department's 62 percent federal formula share.
1.23 	(d) The 62/38 percentage split must be allocated to area
1.24 	transportation partnerships based upon separate formulas
1.25 	developed by the department for its 62 percent share, and by
1.26 	counties, municipal state-aid cities, and MPO's for their 38
2.1 	percent share.
2.2 	(e) The federal-aid formula funds may be used for any
2.3 	transportation purpose that may be allowed under terms and
2.4 	conditions set forth by the federal government.  If
2.5 	implementation of this section would result in Minnesota losing
2.6 	any federal-aid formula funding for transportation, the
2.7 	commissioner shall implement and administer this section in a
2.8 	manner so as to maximize the distribution of federal-aid formula
2.9 	funds to satisfy the intent of this provision as nearly as
2.10 	possible.