1.1 	A bill for an act
1.2 	relating to capital investment; authorizing spending to acquire and better public 
1.3 	land and buildings and other improvements of a capital nature with certain 
1.4 	conditions; modifying previous appropriations; establishing new programs and 
1.5 	modifying existing programs; authorizing the sale and issuance of state bonds; 
1.6 	appropriating money;amending Minnesota Statutes 2014, sections 13.6905, by 
1.7 	adding a subdivision; 13.7411, by adding a subdivision; 85.34, subdivision 1; 
1.8 	115E.042; 116J.431, subdivisions 1, 6; 160.18, by adding a subdivision; 174.52, 
1.9 	subdivision 2; 219.015; 299A.55; 446A.072; 446A.073, as amended; 446A.081, 
1.10 	subdivision 9; 446A.12, subdivision 1; 462A.37, by adding a subdivision; 
1.11 	Minnesota Statutes 2015 Supplement, sections 16A.967; 162.145, subdivision 
1.12 	3; 462A.37, subdivision 5; Laws 2002, chapter 393, section 22, subdivision 
1.13 	6, as amended; Laws 2012, chapter 293, section 7, subdivision 3; Laws 2014, 
1.14 	chapter 294, article 1, sections 7, subdivision 15; 17, subdivisions 6, 12; Laws 
1.15 	2015, First Special Session chapter 5, article 1, sections 10, subdivision 3; 19; 
1.16 	proposing coding for new law in Minnesota Statutes, chapter 219; repealing 
1.17 	Minnesota Statutes 2014, section 123A.446.
1.18 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.19 	ARTICLE 1
1.20 	APPROPRIATIONS

1.21	Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.
 	
1.22 	The sums shown in the column under "Appropriations" are appropriated from the 
1.23 	bond proceeds fund, or another named fund, to the state agencies or officials indicated, 
1.24 	to be spent for public purposes. Appropriations of bond proceeds must be spent as 
1.25 	authorized by the Minnesota Constitution, article XI, section 5, paragraph (a), to acquire 
1.26 	and better public land and buildings and other public improvements of a capital nature, or 
1.27 	as authorized by the Minnesota Constitution, article XI, section 5, paragraphs (b) to (j), 
1.28 	or article XIV. Unless otherwise specified, money appropriated in this act for a capital 
1.29 	program or project may be used to pay state agency staff costs that are attributed directly 
2.1 	to the capital program or project in accordance with accounting policies adopted by the 
2.2 	commissioner of management and budget. Unless otherwise specified, the appropriations 
2.3 	in this act are available until the project is completed or abandoned subject to Minnesota 
2.4 	Statutes, section 16A.642. Unless otherwise specified in this act, money appropriated in 
2.5 	this act for activities under Minnesota Statutes, sections 16B.307, 84.946, and 135A.046, 
2.6 	should not be used for projects that can be financed within a reasonable time frame under 
2.7 	Minnesota Statutes, section 16B.322 or 16C.144. Unless otherwise specified, general fund 
2.8 	appropriations in this act are onetime and are in fiscal year 2017.

2.9						APPROPRIATIONS

2.10	Sec. 2. UNIVERSITY OF MINNESOTA

2.11	Subdivision 1.Total Appropriation
 			$
	81,567,000
	
2.12 	To the Board of Regents of the University 
2.13 	of Minnesota for the purposes specified in 
2.14 	this section.

2.15
2.16	Subd. 2.Higher Education Asset Preservation 
and Replacement (HEAPR)
 				50,000,000
	
2.17 	To be spent in accordance with Minnesota 
2.18 	Statutes, section 135A.046.

2.19
2.20	Subd. 3.Chemical Sciences and Advanced 
Materials Science Building
 				27,167,000
	
2.21 	To design, construct, furnish, and equip 
2.22 	a new laboratory building on the Duluth 
2.23 	campus, including classrooms and research 
2.24 	and undergraduate instructional laboratories.

2.25
2.26	Subd. 4.Twin Cities - Plant Growth Research 
Facility
 				4,400,000
	
2.27 	To demolish the existing biological sciences 
2.28 	greenhouse and to predesign, design, 
2.29 	construct, furnish, and equip a greenhouse 
2.30 	to support learning and research on the St. 
2.31 	Paul campus.

2.32	Subd. 5.University Share
 					
2.33 	Except for the appropriation for HEAPR, the 
2.34 	appropriations in this section are intended to 
3.1 	cover approximately two-thirds of the cost of 
3.2 	each project. The remaining costs must be 
3.3 	paid from university sources.

3.4	Subd. 6.Unspent Appropriations
 					
3.5 	Upon substantial completion of a project 
3.6 	authorized in this section and after written 
3.7 	notice to the commissioner of management 
3.8 	and budget, the Board of Regents must use 
3.9 	any money remaining in the appropriation 
3.10 	for that project for HEAPR under Minnesota 
3.11 	Statutes, section 135A.046. The Board 
3.12 	of Regents must report by February 1 of 
3.13 	each even-numbered year to the chairs of 
3.14 	the house of representatives and senate 
3.15 	committees with jurisdiction over capital 
3.16 	investment and higher education finance, and 
3.17 	to the chairs of the house of representatives 
3.18 	Ways and Means Committee and the senate 
3.19 	Finance Committee, on how the remaining 
3.20 	money has been allocated or spent.

3.21
3.22	Sec. 3. MINNESOTA STATE COLLEGES 
AND UNIVERSITIES

3.23	Subdivision 1.Total Appropriation
 			$
	107,487,000
	
3.24 	To the Board of Trustees of the Minnesota 
3.25 	State Colleges and Universities for the 
3.26 	purposes specified in this section.

3.273.28	Subd. 2.Higher Education Asset Preservation 
and Replacement (HEAPR) 				
35,000,000
	
3.29 	To be spent in accordance with Minnesota 
3.30 	Statutes, section 135A.046.

3.31	Subd. 3.Hibbing Community College
 				9,958,000
	
3.32 	To demolish Building G and connecting 
3.33 	links or portions thereof, and to construct, 
4.1 	renovate, furnish, and equip buildings, links, 
4.2 	and entry spaces on the campus.

4.3
4.4	Subd. 4.Minnesota State Community and 
Technical College

4.5	(a) Fergus Falls campus
				978,000
	
4.6 	To design, renovate, furnish, and equip 
4.7 	a new Center for Student and Workforce 
4.8 	Success (CSWS) that integrates the Regional 
4.9 	Workforce Center. The board must enter into 
4.10 	a lease agreement with the commissioner of 
4.11 	employment and economic development, 
4.12 	or partners of the commissioner, for use of 
4.13 	the workforce center subject to Minnesota 
4.14 	Statutes, section 16A.695. The board must 
4.15 	use nonstate money for the remainder of the 
4.16 	cost of the renovation.

4.17	(b) Wadena campus
				820,000
	
4.18 	To design, renovate, furnish, and equip 
4.19 	the relocation of the current library to 
4.20 	underutilized space and converting the 
4.21 	vacated space into a centralized student 
4.22 	services center.

4.23
4.24	Subd. 5.Northland Community and Technical 
College, East Grand Forks
 				826,000
	
4.25 	To design, renovate, furnish, and equip 
4.26 	science and radiological lab space on the 
4.27 	East Grand Forks campus.

4.28
4.29	Subd. 6.Riverland Community College, Albert 
Lea
 				7,427,000
	
4.30 	To design, construct, furnish, and equip the 
4.31 	renovation and expansion of the Trade and 
4.32 	Industrial Education Center on the Albert Lea 
4.33 	campus of Riverland Community College.

4.34
4.35	Subd. 7.South Central College, North 
Mankato
 				8,600,000
	
5.1 	To design, renovate, renew, furnish, and 
5.2 	equip laboratory, classroom and office spaces 
5.3 	on the North Mankato campus.

5.4	Subd. 8.St. Cloud State University
 				18,572,000
	
5.5 	To construct, renovate, furnish, and 
5.6 	equip Eastman Hall for the relocation of 
5.7 	consolidated student health services and 
5.8 	academic programs.

5.95.10
	Subd. 9.Winona State University, Education 
Village, Phase 2
 				25,306,000
	
5.11 	To complete design, construct, renovate, 
5.12 	furnish, and equip Phase 2 of the Education 
5.13 	Village project, including the renovation 
5.14 	of Cathedral and Wabasha Halls and 
5.15 	Wabasha Rec, and remove obsolete portions 
5.16 	of Wabasha Rec and the Annex building 
5.17 	between Cathedral School and Wabasha Rec.

5.18	Subd. 10.Debt Service
 					
5.19 	(a) Except as provided in paragraph (b), the 
5.20 	Board of Trustees shall pay the debt service 
5.21 	on one-third of the principal amount of state 
5.22 	bonds sold to finance projects authorized 
5.23 	by this section. After each sale of general 
5.24 	obligation bonds, the commissioner of 
5.25 	management and budget shall notify the 
5.26 	board of the amounts assessed for each year 
5.27 	for the life of the bonds.
5.28 	(b) The board need not pay debt service 
5.29 	on bonds sold to finance HEAPR. Where a 
5.30 	nonstate match is required, the debt service is 
5.31 	due on a principal amount equal to one-third 
5.32 	of the total project cost, less the match 
5.33 	committed before the bonds are sold.
6.1 	(c) The commissioner of management and 
6.2 	budget shall reduce the board's assessment 
6.3 	each year by one-third of the net income 
6.4 	from investment of general obligation bond 
6.5 	proceeds in proportion to the amount of 
6.6 	principal and interest otherwise required to 
6.7 	be paid by the board. The board shall pay its 
6.8 	resulting net assessment to the commissioner 
6.9 	of management and budget by December 
6.10 	1 each year. If the board fails to make 
6.11 	a payment when due, the commissioner 
6.12 	of management and budget shall reduce 
6.13 	allotments for appropriations from the 
6.14 	general fund otherwise available to the board 
6.15 	and apply the amount of the reduction to 
6.16 	cover the missed debt service payment. The 
6.17 	commissioner of management and budget 
6.18 	shall credit the payments received from the 
6.19 	board to the bond debt service account in 
6.20 	the state bond fund each December 1 before 
6.21 	money is transferred from the general fund 
6.22 	under Minnesota Statutes, section 16A.641, 
6.23 	subdivision 10.

6.24	Subd. 11.Unspent Appropriations
 					
6.25 	(a) Upon substantial completion of a project 
6.26 	authorized in this section and after written 
6.27 	notice to the commissioner of management 
6.28 	and budget, the board must use any money 
6.29 	remaining in the appropriation for that 
6.30 	project for HEAPR under Minnesota 
6.31 	Statutes, section 135A.046. The Board 
6.32 	of Trustees must report by February 1 of 
6.33 	each even-numbered year to the chairs of 
6.34 	the house of representatives and senate 
6.35 	committees with jurisdiction over capital 
6.36 	investment and higher education finance, and 
7.1 	to the chairs of the house of representatives 
7.2 	Ways and Means Committee and the senate 
7.3 	Finance Committee, on how the remaining 
7.4 	money has been allocated or spent.
7.5 	(b) The unspent portion of an appropriation 
7.6 	for a project in this section that is complete is 
7.7 	available for HEAPR under this subdivision, 
7.8 	at the same campus as the project for which 
7.9 	the original appropriation was made and the 
7.10 	debt service requirement under subdivision 
7.11 	10 is reduced accordingly. Minnesota 
7.12 	Statutes, section 16A.642, applies from the 
7.13 	date of the original appropriation to the 
7.14 	unspent amount transferred.

7.15	Sec. 4. EDUCATION

7.16	Subdivision 1.Total Appropriation
 			$
	18,070,000
	
7.17 	To the commissioner of education for the 
7.18 	purposes specified in this section.

7.19	Subd. 2.Library Construction Grants
 				2,000,000
	
7.20 	For library construction grants under 
7.21 	Minnesota Statutes, section 134.45.

7.22	Subd. 3.Grand Rapids - Myles Reif Center
 				500,000
	
7.23 	From the general fund for a grant to 
7.24 	Independent School District No. 318, Grand 
7.25 	Rapids, to cover cost overruns for the Myles 
7.26 	Reif Center for the Performing Arts project 
7.27 	in Grand Rapids. This appropriation is added 
7.28 	to and is for the same purposes as the project 
7.29 	in Laws 2014, chapter 294, article 1, section 
7.30 	21, subdivision 8. This appropriation does 
7.31 	not require a nonstate contribution.

7.32
7.33	Subd. 4.Olmsted County - Dyslexia Institute 
of Minnesota
 				1,500,000
	
8.1 	For a grant to Olmsted County to acquire 
8.2 	land for, and to predesign, design, construct, 
8.3 	furnish, and equip a facility in Olmsted 
8.4 	County to support the local, regional, and 
8.5 	national literacy work of the Dyslexia 
8.6 	Institute of Minnesota, subject to Minnesota 
8.7 	Statutes, section 16A.695. This appropriation 
8.8 	is not available until the commissioner of 
8.9 	management and budget determines that an 
8.10 	equal amount is committed from nonstate 
8.11 	sources.

8.12
8.13	Subd. 5.Red Lake - Independent School 
District No. 38 Facility Projects
 				14,070,000
	
8.14 	(a) This appropriation is from the maximum 
8.15 	effort school loan fund for a capital loan 
8.16 	to Independent School District No. 38, 
8.17 	Red Lake, as provided in Minnesota 
8.18 	Statutes, sections 126C.60 to 126C.72. 
8.19 	This appropriation is to complete design 
8.20 	and construction of a connection structure 
8.21 	between the Red Lake Early Learning 
8.22 	Childhood Center and Red Lake Elementary 
8.23 	School; renovations to various classrooms, 
8.24 	labs, and support rooms; updating of 
8.25 	mechanical systems; and expansion of the 
8.26 	cafeteria. Before any capital loan contract is 
8.27 	approved under this subdivision, the district 
8.28 	must provide documentation acceptable to 
8.29 	the commissioner of education on how the 
8.30 	capital loan will be used.
8.31 	(b) The commissioner of administration 
8.32 	may provide project management services 
8.33 	to assist the Department of Education with 
8.34 	oversight of the project. No money for 
8.35 	construction may be distributed by the 
8.36 	commissioner of education to the recipient 
9.1 	school district until bids have been received 
9.2 	on 100 percent of the construction documents 
9.3 	and satisfactory documentation has been 
9.4 	submitted to the commissioner of education 
9.5 	indicating the project can be fully completed 
9.6 	with money available for the project.
9.7 	(c) Notwithstanding the timelines in 
9.8 	Minnesota Statutes, section 126C.69, 
9.9 	subdivision 11, Independent School District 
9.10 	No. 38, Red Lake, must submit the question 
9.11 	authorizing the borrowing of money for the 
9.12 	facilities to voters of the district after the first 
9.13 	general election after the effective date of 
9.14 	this section.

9.15	Sec. 5. MINNESOTA STATE ACADEMIES

9.16	Subdivision 1.Total Appropriation
 			$
	2,050,000
	
9.17 	To the commissioner of administration for 
9.18 	the purposes specified in this section.

9.19	Subd. 2.Asset Preservation
 				2,000,000
	
9.20 	For capital asset preservation improvements 
9.21 	and betterments on both campuses of the 
9.22 	Minnesota State Academies, to be spent in 
9.23 	accordance with Minnesota Statutes, section 
9.24 	16B.307.

9.25
9.26	Subd. 3.Minnesota State Academies Security 
Corridor
 				50,000
	
9.27 	For predesign for a safety corridor on the 
9.28 	Minnesota State Academy for the Deaf 
9.29 	campus.

9.30	Sec. 6. NATURAL RESOURCES

9.31	Subdivision 1.Total Appropriation
 			$
	68,211,000
	
9.32 	(a) To the commissioner of natural resources 
9.33 	for the purposes specified in this section.
10.1 	(b) The appropriations in this section are 
10.2 	subject to the requirements of the natural 
10.3 	resources capital improvement program 
10.4 	under Minnesota Statutes, section 86A.12, 
10.5 	unless this section or the statutes referred 
10.6 	to in this section provide more specific 
10.7 	standards, criteria, or priorities for projects 
10.8 	than Minnesota Statutes, section 86A.12.

10.9	Subd. 2.Natural Resources Asset Preservation 				
25,866,000
	
10.10 	For the renovation of state-owned facilities 
10.11 	and recreational assets operated by the 
10.12 	commissioner of natural resources to 
10.13 	be spent in accordance with Minnesota 
10.14 	Statutes, section 84.946. Notwithstanding 
10.15 	Minnesota Statutes, section 84.946: (1) the 
10.16 	commissioner may use this appropriation 
10.17 	to replace buildings if, considering the 
10.18 	embedded energy in the building, that is the 
10.19 	most energy-efficient and carbon-reducing 
10.20 	method of renovation; and (2) this 
10.21 	appropriation may be used for projects to 
10.22 	remove life safety hazards such as building 
10.23 	code violations or structural defects.

10.24	Subd. 3.Flood Hazard Mitigation
 				11,555,000
	
10.25 	(a) For the state share of flood hazard 
10.26 	mitigation grants for publicly owned capital 
10.27 	improvements to prevent or alleviate flood 
10.28 	damage under Minnesota Statutes, section 
10.29 	103F.161. 
10.30 	(b) Levee projects, to the extent practical, 
10.31 	shall meet the state standard of three feet 
10.32 	above the 100-year flood elevation.
10.33 	(c) Project priorities shall be determined by 
10.34 	the commissioner as appropriate and based 
10.35 	on need.
11.1 	(d) This appropriation includes funding for 
11.2 	the Cedar River Watershed District, and 
11.3 	$750,000 for the city of Browns Valley 
11.4 	project and $1,800,000 for the city of 
11.5 	Ortonville project.
11.6 	(e) For any project listed in this subdivision 
11.7 	that the commissioner determines is not 
11.8 	ready to proceed or does not expend all the 
11.9 	money allocated to it, the commissioner may 
11.10 	allocate that project's money to a project on 
11.11 	the commissioner's priority list.
11.12 	(f) To the extent that the cost of a project 
11.13 	exceeds two percent of the median household 
11.14 	income in a municipality or township 
11.15 	multiplied by the number of households in the 
11.16 	municipality or township, this appropriation 
11.17 	is also for the local share of the project.

11.18	Subd. 4.Dam Renovation, Repair, Removal
 				9,000,000
	
11.19 	To renovate or remove publicly owned dams. 
11.20 	The commissioner shall determine project 
11.21 	priorities as appropriate under Minnesota 
11.22 	Statutes, sections 103G.511 and 103G.515. 
11.23 	Of this appropriation:
11.24 	$500,000 is for emergencies on state-owned 
11.25 	dams;
11.26 	$3,600,000 is for a grant to the city of 
11.27 	Lanesboro for repair of the Lanesboro dam 
11.28 	and notwithstanding the match requirements 
11.29 	in Minnesota Statutes, section 103G.511, 
11.30 	does not require a nonstate contribution. 
11.31 	This includes funding for repairs of the 
11.32 	hydropower system;
11.33 	$2,500,000 is for repairs of the Lake Bronson 
11.34 	dam;
12.1 	$500,000 is for a grant to the city of Pelican 
12.2 	Rapids for engineering work for the Pelican 
12.3 	Rapids dam;
12.4 	$200,000 is for a grant to the city of Norway 
12.5 	Lake for engineering work on the Norway 
12.6 	Lake dam;
12.7 	$200,000 is for a grant to Yellow Medicine 
12.8 	County for the Canby R-6 impoundment dam;
12.9 	$100,000 is for a grant to St. Louis County 
12.10 	for the Little Stone Lake dam; and
12.11 	$1,400,000 is for state dams at Brawner, 
12.12 	West Leaf Lake, Collinwood, Grindstone 
12.13 	River, and Sullivan.
12.14 	If the commissioner determines that a project 
12.15 	is not ready to proceed, this appropriation 
12.16 	may be used for other projects on the 
12.17 	commissioner's priority list.

12.18	Subd. 5.Reforestation and Stand Improvement
 				1,000,000
	
12.19 	To provide for reforestation and stand 
12.20 	improvement on state forest lands to meet 
12.21 	the reforestation requirements of Minnesota 
12.22 	Statutes, section 89.002, subdivision 2, 
12.23 	including purchasing native seeds and native 
12.24 	seedlings, planting, seeding, site preparation, 
12.25 	and protection on state lands administered 
12.26 	by the commissioner.

12.27	Subd. 6.Trail Development
 				11,490,000
	
12.28 	$2,590,000 is for the Glacial Lakes Trail, 
12.29 	to complete an approximately six and 
12.30 	one-quarter mile trail connection between 
12.31 	New London and Sibley State Park, and 
12.32 	repair of the bicycle trail in Sibley State Park.
12.33 	$3,600,000 is for acquisition and 
12.34 	development in the Cuyuna Country State 
13.1 	Recreation Area, including the Cuyuna 
13.2 	Mountain Bike System.
13.3 	$3,300,000 is to design, develop, and 
13.4 	complete the Heartland State Trail from 
13.5 	Detroit Lakes to Frazee.
13.6 	$2,000,000 is for acquisition and 
13.7 	development of the Gitchi-Gami State Trail, 
13.8 	Grand Marais to Cascade State Park, and 
13.9 	through the town of Tofte.

13.10	Subd. 7.Champlin Mill Pond
 				3,300,000
	
13.11 	For a grant to the city of Champlin to dredge 
13.12 	and remove sediment and for other capital 
13.13 	improvements of the Champlin Mill Pond 
13.14 	necessary to improve water quality, restore 
13.15 	fish habitat, and provide other public benefits.

13.16
13.17	Subd. 8.Lake County - Prospectors ATV Trail 
System
 				1,000,000
	
13.18 	For a grant to Lake County for construction, 
13.19 	including bridges, of the Prospectors ATV 
13.20 	Trail System linking the communities of 
13.21 	Ely, Babbitt, Embarrass, and Tower; Bear 
13.22 	Head Lake and Lake Vermilion-Soudan 
13.23 	Underground Mine State Parks; the Taconite 
13.24 	State Trail; and the Lake County Regional 
13.25 	ATV Trail System. This appropriation is 
13.26 	not available until the commissioner of 
13.27 	management and budget determines that 
13.28 	an equal amount is committed from other 
13.29 	sources.

13.30	Subd. 9.Unspent Appropriations
 					
13.31 	The unspent portion of an appropriation for 
13.32 	a project in this section that is complete, 
13.33 	upon written notice to the commissioner 
13.34 	of management and budget, is available 
14.1 	for asset preservation under Minnesota 
14.2 	Statutes, section 84.946. Minnesota Statutes, 
14.3 	section 16A.642, applies from the date of the 
14.4 	original appropriation to the unspent amount 
14.5 	transferred.

14.6	Sec. 7. POLLUTION CONTROL AGENCY

14.7	Subdivision 1.Total Appropriation
 			$
	21,155,000
	
14.8 	To the commissioner of the Pollution Control 
14.9 	Agency for the purposes specified in this 
14.10 	section.

14.11	Subd. 2.St. Louis River Cleanup
 				12,705,000
	
14.12 	To design and implement contaminated 
14.13 	sediment management actions identified in 
14.14 	the St. Louis River remedial action plan to 
14.15 	restore water quality in the St. Louis River 
14.16 	Area of Concern. The agency shall enter 
14.17 	into partnership agreements with federal 
14.18 	agencies, where possible, to complete this 
14.19 	project work by December 31, 2020.

14.20
14.21
14.22	Subd. 3.Redwood-Cottonwood Rivers Joint 
Powers - Lake Redwood Reclamation and 
Enhancement Project
 				7,800,000
	
14.23 	For a grant to the Redwood-Cottonwood 
14.24 	Rivers control area, a joint powers entity, 
14.25 	to predesign, design, construct, and equip 
14.26 	the reservoir reclamation and enhancement 
14.27 	of the 66-acre Lake Redwood Reservoir, to 
14.28 	remove approximately 650,000 cubic yards 
14.29 	of sediment and increase its depth from 
14.30 	approximately 2.8 feet to approximately 20 
14.31 	feet in order to secure renewable energy 
14.32 	capacity of the hydroelectric dam which is 
14.33 	impeded by lack of water capacity, reduce 
14.34 	the flow of pollutants  to the Minnesota 
15.1 	River, and increase fish habitat and enhance 
15.2 	recreational opportunities. 

15.3	Subd. 4.Closed Landfill Cleanup
 				650,000
	
15.4 	To design and construct remedial systems and 
15.5 	acquire land at closed landfills throughout the 
15.6 	state in accordance with the closed landfill 
15.7 	program under Minnesota Statutes, sections 
15.8 	115B.39 to 115B.42. The agency must 
15.9 	follow the agency priorities, which includes 
15.10 	a construction project at the waste disposal 
15.11 	engineering (WDE) site in Anoka County.

15.12	Subd. 5.Capital Assistance Program
 				9,250,000
	
15.13 	(a) This appropriation is for the solid waste 
15.14 	capital assistance grant program under 
15.15 	Minnesota Statutes, section 115A.54.
15.16 	(b) Of this appropriation, $9,250,000 is for a 
15.17 	grant to Polk County to complete a regional 
15.18 	integrated solid waste management system. 
15.19 	An additional renewable energy component 
15.20 	shall not be mandated as a requirement of 
15.21 	this project to qualify for funding under this 
15.22 	section.

15.23
15.24	Sec. 8. BOARD OF WATER AND SOIL 
RESOURCES

15.25	Subdivision 1.Total Appropriation
 			$
	20,000,000
	
15.26 	To the Board of Water and Soil Resources 
15.27 	for the purposes specified in this section.

15.2815.29	Subd. 2.Reinvest in Minnesota (RIM) Reserve 
Program 				
10,000,000
	
15.30 	(a) To acquire conservation easements from 
15.31 	landowners to preserve, restore, create, and 
15.32 	enhance wetlands and associated uplands 
15.33 	of prairie and grasslands, and restore and 
15.34 	enhance rivers and streams, riparian lands, 
16.1 	and associated uplands of prairie and 
16.2 	grasslands in order to protect soil and water 
16.3 	quality, support fish and wildlife habitat, 
16.4 	reduce flood damage, and provide other 
16.5 	public benefits. The provisions of Minnesota 
16.6 	Statutes, section 103F.515, apply to this 
16.7 	program.
16.8 	(b) The board shall give priority to leveraging 
16.9 	federal money by enrolling targeted new 
16.10 	lands or enrolling environmentally sensitive 
16.11 	lands that have expiring federal conservation 
16.12 	agreements.
16.13 	(c) The board is authorized to enter into 
16.14 	new agreements and amend past agreements 
16.15 	with landowners as required by Minnesota 
16.16 	Statutes, section 103F.515, subdivision 5, to 
16.17 	allow for restoration. Of this appropriation, 
16.18 	up to five percent may be used for restoration 
16.19 	and enhancement.

16.20
16.21	Subd. 3.Local Government Roads Wetland 
Replacement Program
 				5,000,000
	
16.22 	To acquire land or permanent easements 
16.23 	and to restore, create, enhance, and preserve 
16.24 	wetlands to replace those wetlands drained or 
16.25 	filled as a result of the repair, reconstruction, 
16.26 	replacement, or rehabilitation of existing 
16.27 	public roads as required by Minnesota 
16.28 	Statutes, section 103G.222, subdivision 1, 
16.29 	paragraphs (l) and (m). The board may vary 
16.30 	the priority order of Minnesota Statutes, 
16.31 	section 103G.222, subdivision 3, paragraph 
16.32 	(a), to implement an in-lieu fee agreement 
16.33 	approved by the U.S. Army Corps of 
16.34 	Engineers under section 404 of the Clean 
16.35 	Water Act. The purchase price paid for 
16.36 	acquisition of land or perpetual easement 
17.1 	must be a fair market value as determined 
17.2 	by the board. The board may enter into 
17.3 	agreements with the federal government, 
17.4 	other state agencies, political subdivisions, 
17.5 	nonprofit organizations, fee title owners, or 
17.6 	other qualified private entities to acquire 
17.7 	wetland replacement credits in accordance 
17.8 	with Minnesota Rules, chapter 8420.

17.9	Sec. 9. AGRICULTURE

17.10	Subdivision 1.Total Appropriations
 			$
	2,824,000
	
17.11 	To the commissioner of agriculture for the 
17.12 	purposes specified in this section. 

17.13	Subd. 2.Agriculture Lab
 				2,218,000
	
17.14 	From the general fund for equipment and 
17.15 	instruments for the agriculture laboratory. 
17.16 	This appropriation is available until June 30, 
17.17 	2022.

17.18	Subd. 3.AURI
 				606,000
	
17.19 	From the general fund for a grant to 
17.20 	Agricultural Utilization Research Institute 
17.21 	(AURI) for construction of a development 
17.22 	kitchen, sensory lab, and safety and security 
17.23 	upgrades at AURI's Crookston facility 
17.24 	and for communications and information 
17.25 	technology upgrades at the Crookston, 
17.26 	Marshall, and Waseca facilities.

17.27	Sec. 10. RURAL FINANCE AUTHORITY
 			$
	35,000,000
	
17.28 	For the purposes set forth in the Minnesota 
17.29 	Constitution, article XI, section 5, paragraph 
17.30 	(h), to the Rural Finance Authority to 
17.31 	purchase participation interests in or to 
17.32 	make direct agricultural loans to farmers 
17.33 	under Minnesota Statutes, chapter 41B. This 
18.1 	appropriation is from the bond proceeds 
18.2 	account in the rural finance administration 
18.3 	fund and is for the beginning farmer program 
18.4 	under Minnesota Statutes, section 41B.039; 
18.5 	the loan restructuring program under 
18.6 	Minnesota Statutes, section 41B.04; the 
18.7 	seller-sponsored program under Minnesota 
18.8 	Statutes, section 41B.042; the agricultural 
18.9 	improvement loan program under Minnesota 
18.10 	Statutes, section 41B.043; and the livestock 
18.11 	expansion loan program under Minnesota 
18.12 	Statutes, section 41B.045. All debt service 
18.13 	on bond proceeds used to finance this 
18.14 	appropriation must be repaid by the Rural 
18.15 	Finance Authority under Minnesota Statutes, 
18.16 	section 16A.643. Loan participations 
18.17 	must be priced to provide full interest 
18.18 	and principal coverage and a reserve for 
18.19 	potential losses. Priority for loans must be 
18.20 	given first to basic beginning farmer loans, 
18.21 	second to seller-sponsored loans, and third to 
18.22 	agricultural improvement loans.

18.23
18.24	Sec. 11. MINNESOTA ZOOLOGICAL 
GARDEN

18.25	Subdivision 1.Total Appropriation
 			$
	4,000,000
	
18.26 	To the Minnesota Zoological Garden Board 
18.27 	for the purposes specified in this section.

18.28	Subd. 2.Asset Preservation
 				4,000,000
	
18.29 	For capital asset preservation improvements 
18.30 	and betterments to infrastructure and 
18.31 	exhibits at the Minnesota Zoo, to be spent in 
18.32 	accordance with Minnesota Statutes, section 
18.33 	16B.307. Notwithstanding the specified 
18.34 	uses of money under Minnesota Statutes, 
18.35 	section 16B.307, the board may use this 
19.1 	appropriation to replace buildings that are 
19.2 	poor in condition, outdated, and no longer 
19.3 	support the work of the Minnesota Zoo and 
19.4 	to construct and renovate trails and roads on 
19.5 	the Minnesota Zoo site.

19.6	Sec. 12. ADMINISTRATION

19.7	Subdivision 1.Total Appropriation
 			$
	26,178,000
	
19.8 	To the commissioner of administration for 
19.9 	the purposes specified in this section.

19.10
19.11	Subd. 2.Capitol Complex - Physical Security 
Upgrades
 				10,500,000
	
19.12 	For the design, construction, and equipping 
19.13 	required to upgrade the physical security 
19.14 	elements and systems for the buildings 
19.15 	listed below, their attached tunnel systems, 
19.16 	and their surrounding grounds, and parking 
19.17 	facilities as identified in the 2014 Minnesota 
19.18 	State Capitol Complex Physical Security 
19.19 	Study conducted by Miller Dunwiddie 
19.20 	Architecture. Work includes but is not 
19.21 	limited to the installation of bollards, blast 
19.22 	protection, infrastructure security screen 
19.23 	walls, door access controls, emergency call 
19.24 	stations, security kiosks, locking devices, 
19.25 	and traffic control. This appropriation 
19.26 	includes money for work associated with 
19.27 	the following buildings: Administration, 
19.28 	Centennial, Judicial, Ag/Health Lab, 
19.29 	Minnesota History Center, Minnesota 
19.30 	History Center Loading Dock, Capitol 
19.31 	Complex Power Plant and Shops, Stassen, 
19.32 	State Office, and Veterans Service.

19.33	Subd. 3.Centennial Parking Ramp
 				10,878,000
	
20.1 	To complete design and for structural repairs 
20.2 	to the Centennial parking ramp, including 
20.3 	removal of the top deck green space to 
20.4 	provide additional parking capacity, repairing 
20.5 	damaged post-tension cables, and installation 
20.6 	of a deck surface protection coating.

20.7
20.8	Subd. 4.Capital Asset Preservation and 
Replacement Account
 				2,500,000
	
20.9 	To be spent in accordance with Minnesota 
20.10 	Statutes, section 16A.632.

20.11
20.12	Subd. 5.Capitol Complex Monuments and 
Memorials
 				350,000
	
20.13 	To design and complete critical repairs to the 
20.14 	Peace Officers and Roy Wilkins memorials 
20.15 	located on the Capitol complex.

20.16
20.17	Subd. 6.Granite Falls - Pioneer Public 
Television
 				1,950,000
	
20.18 	From the general fund to provide an 
20.19 	equipment grant to Pioneer Public Television 
20.20 	as part of the station's construction of a 
20.21 	new facility in Granite Falls, Minnesota. 
20.22 	The money may be used to purchase and 
20.23 	install equipment necessary to the station's 
20.24 	operation. This appropriation does not 
20.25 	require a nonstate contribution.

20.26	Sec. 13. MN.IT
 			$
	$1,432,000
	
20.27 	To the commissioner of administration 
20.28 	to predesign, design, construct, renovate, 
20.29 	furnish, and equip existing state data 
20.30 	center facilities at the Bureau of Criminal 
20.31 	Apprehension's Maryland Avenue office 
20.32 	building and at the Department of Revenue's 
20.33 	Stassen Office Building for the purpose 
20.34 	of decommissioning and repurposing into 
20.35 	usable space.

21.1	Sec. 14. MILITARY AFFAIRS 
 			$
	2,500,000
	
21.2 	To the adjutant general for asset preservation 
21.3 	improvements and betterments of a capital 
21.4 	nature at military affairs facilities statewide, 
21.5 	to be spent in accordance with Minnesota 
21.6 	Statutes, section 16B.307.

21.7	Sec. 15. PUBLIC SAFETY
 			$
	3,521,000
	
21.8 	To the commissioner of administration to 
21.9 	design and construct a joint emergency 
21.10 	railroad and pipeline emergency response 
21.11 	training facility at Camp Ripley, including 
21.12 	the construction of stations and capital 
21.13 	infrastructure needed for mock disaster 
21.14 	training.

21.15	Sec. 16. TRANSPORTATION

21.16	Subdivision 1.Total Appropriation
 			$	
281,045,000
	
21.17 	To the commissioner of transportation for the 
21.18 	purposes specified in this section.

21.19
21.20	Subd. 2.Local Bridge Replacement and 
Rehabilitation
 				149,446,000
	
21.21 	From the bond proceeds account in the state 
21.22 	transportation fund to match federal money 
21.23 	and to replace or rehabilitate local deficient 
21.24 	bridges as provided in Minnesota Statutes, 
21.25 	section 174.50.

21.26
21.27	Subd. 3.Local Road Improvement Fund 
Grants
 				137,200,000
	
21.28 	(a) From the bond proceeds account in 
21.29 	the state transportation fund as provided 
21.30 	in Minnesota Statutes, section 174.50, for 
21.31 	grants under Minnesota Statutes, section 
21.32 	174.52, subdivision 2, for construction and 
21.33 	reconstruction of local roads with statewide 
22.1 	or regional significance under Minnesota 
22.2 	Statutes, section 174.52, subdivision 4, or for 
22.3 	grants to counties to assist in paying the costs 
22.4 	of rural road safety capital improvement 
22.5 	projects on county state-aid highways 
22.6 	under Minnesota Statutes, section 174.52, 
22.7 	subdivision 4a.
22.8 	(b) This appropriation includes money for a 
22.9 	grant to the city of Baxter for 50 percent of 
22.10 	total project cost for the acquisition of land 
22.11 	or interests in land, environmental analysis 
22.12 	and environmental cleanup, predesign, 
22.13 	design, engineering, and construction of 
22.14 	improvements to Cypress Drive, including 
22.15 	expansion to a four-lane divided urban 
22.16 	roadway, between Excelsior Road and 
22.17 	College Road.
22.18 	(c) Of this amount, $1,000,000 is for a grant 
22.19 	to the town of Appleton in Swift County 
22.20 	for upgrades to an existing township road 
22.21 	to provide for a paved, ten-ton capacity 
22.22 	township road extending between marked 
22.23 	Trunk Highways 7 and 119.
22.24 	(d) Of this amount, $25,000,000 is for a grant 
22.25 	to Hennepin County for design, right-of-way 
22.26 	acquisition, engineering, and construction 
22.27 	of public improvements related to the 
22.28 	Interstate Highway 35W and Lake Street 
22.29 	access project and related improvements 
22.30 	within the Interstate Highway 35W corridor. 
22.31 	This appropriation is not available until the 
22.32 	commissioner of management and budget 
22.33 	determines that an amount sufficient to 
22.34 	complete the project has been committed to 
22.35 	the project.
23.1 	(e) Of this amount, $20,500,000 is for a grant 
23.2 	to Ramsey County for preliminary and final 
23.3 	design, environmental documentation, and 
23.4 	construction of the interchange of marked 
23.5 	Interstate Highway 694 and Rice Street in 
23.6 	Ramsey County.
23.7 	(f) Of this amount, $700,000 is for a grant to 
23.8 	Redwood County for paving Nobles Avenue 
23.9 	as the main access road to a new State 
23.10 	Veterans Cemetery to be located in Paxton 
23.11 	Township.
23.12 	(g) Of this amount, $9,000,000 is for a grant 
23.13 	to Anoka County to complete the design, land 
23.14 	acquisition, engineering, and construction 
23.15 	of County State-Aid Highway 23, known 
23.16 	as Lake Drive, County State-Aid Highway 
23.17 	54, known as West Freeway Drive, and to 
23.18 	Hornsby Street in the city of Columbus to 
23.19 	support the interchange project as noted in 
23.20 	paragraph (a).
23.21 	(h) Of this amount, $3,246,000 is for a 
23.22 	grant to the city of Blaine to predesign, 
23.23 	design, and reconstruct 105th Avenue in 
23.24 	the vicinity of the National Sports Center 
23.25 	in Blaine. The reconstruction will include 
23.26 	changing the street from five lanes to four 
23.27 	lanes with median, turn lanes, sidewalk, 
23.28 	trail, landscaping, lighting, and consolidation 
23.29 	of access driveways. This appropriation 
23.30 	is not available until the commissioner of 
23.31 	management and budget determines that at 
23.32 	least $3,000,000 is committed to the project 
23.33 	from sources available to the city, including 
23.34 	municipal state aid and county turnback 
23.35 	funds.

24.1	Subd. 4.Rail Grade Separations
 				26,749,000
	
24.2 	(a) $14,762,000 is for a grant to the city 
24.3 	of Red Wing for environmental analysis, 
24.4 	design, engineering, removal of an existing 
24.5 	structure, and construction of a rail grade 
24.6 	crossing separation at Sturgeon Lake Road.
24.7 	(b) $11,987,000 is for a grant to Anoka 
24.8 	County for environmental analysis, design, 
24.9 	engineering, removal of an existing structure, 
24.10 	and construction of a rail grade crossing 
24.11 	separation at Anoka County State-Aid 
24.12 	Highway 78, known as Hanson Boulevard, 
24.13 	in Coon Rapids.

24.14	Subd. 5.Railroad Warning Devices 				
1,000,000
	
24.15 	To design, construct, and equip new rail 
24.16 	grade crossing warning safety devices at 
24.17 	active highway-rail grade crossings, or to 
24.18 	replace active highway-rail grade warning 
24.19 	safety devices that have reached the end of 
24.20 	their useful life.

24.21
24.22	Subd. 6.Minnesota Valley Regional Rail 
Authority
 				4,000,000
	
24.23 	For a grant to the Minnesota Valley Regional 
24.24 	Rail Authority for the rehabilitation of 
24.25 	a portion of the railroad track between 
24.26 	Winthrop and Hanley Falls. The grant 
24.27 	under this subdivision may also be used for 
24.28 	any required environmental documentation 
24.29 	and remediation, predesign, design, and 
24.30 	rehabilitation or replacement of bridges with 
24.31 	new bridges or culverts between Winthrop 
24.32 	and Hanley Falls. A grant under this section 
24.33 	is in addition to any grant, loan, or loan 
24.34 	guarantee for this project made by the 
24.35 	commissioner under Minnesota Statutes, 
25.1 	sections 222.46 to 222.62. This appropriation 
25.2 	is in addition to the appropriations in Laws 
25.3 	2006, chapter 258, section 16, subdivision 
25.4 	6; Laws 2008, chapter 179, section 16, 
25.5 	subdivision 5; Laws 2009, chapter 93, article 
25.6 	1, section 11, subdivision 4; Laws 2010, 
25.7 	chapter 189, section 15, subdivision 5; and 
25.8 	Laws 2015, First Special Session chapter 5, 
25.9 	article 1, section 10, subdivision 4.

25.10	Subd. 7.Hugo - Short Line Railway
 				1,100,000
	
25.11 	For a grant to Minnesota Commercial 
25.12 	Railway for construction of repairs and 
25.13 	other capital improvements to approximately 
25.14 	6.5 miles of railroad track described as 
25.15 	that portion of the Minnesota Commercial 
25.16 	Railway main running lead, between M & 
25.17 	D Junction in White Bear Lake and the end 
25.18 	of the track in Hugo. This appropriation 
25.19 	must be used for the purposes set forth in the 
25.20 	Minnesota Constitution, article XI, section 
25.21 	5, clause (i), to improve and rehabilitate 
25.22 	railroad rights-of-way and other rail facilities, 
25.23 	whether public or private. This appropriation 
25.24 	does not require a nonstate match.

25.25
25.26	Subd. 8.International Falls-Koochiching 
County Airport Commission
 				3,000,000
	
25.27 	(a) From the state airports fund for a grant to 
25.28 	the International Falls-Koochiching County 
25.29 	Airport Commission for the following 
25.30 	improvements to the Falls International 
25.31 	Airport:
25.32 	(1) demolition of the existing terminal 
25.33 	building; 
25.34 	(2) rehabilitation;
26.1 	(3) site preparation, including utilities and 
26.2 	civil work;
26.3 	(4) design, construction, furnishing, and 
26.4 	equipping Phase II of the new terminal 
26.5 	building, including a Transportation Safety 
26.6 	Administration office, weather office, 
26.7 	conference room, circulation corridor, airport 
26.8 	administration offices, U.S. Customs and 
26.9 	Border Protection storage rooms, offices, 
26.10 	restrooms, passenger-processing area, 
26.11 	wet-hold room, interview room, search room, 
26.12 	precustoms and postcustoms passenger 
26.13 	waiting areas, and vestibule; and 
26.14 	(5) associated appurtenances of a capital 
26.15 	nature.
26.16 	(b) After completion of the improvements 
26.17 	under paragraph (a), any unspent money 
26.18 	from this appropriation may be used by the 
26.19 	International Falls-Koochiching County 
26.20 	Airport Commission for a commercial 
26.21 	airline apron expansion project at the Falls 
26.22 	International Airport.
26.23 	(c) This appropriation does not require a 
26.24 	nonstate contribution or match.

26.25	Subd. 9.Grand Rapids Pedestrian Bridge
 				750,000
	
26.26 	For a grant to the city of Grand Rapids to 
26.27 	design the construction of a bridge over the 
26.28 	Mississippi River for pedestrian and bicycle 
26.29 	use to provide a safe alternative route to 
26.30 	the existing marked Trunk Highway 169 
26.31 	vehicle bridge, and to serve as a connection 
26.32 	to existing trail systems on each side of the 
26.33 	river. This appropriation is not available until 
26.34 	the commissioner determines that an equal 
27.1 	amount has been committed to the project 
27.2 	from nonstate sources.

27.3	Subd. 10.Port Development Assistance
 				5,000,000
	
27.4 	For grants under Minnesota Statutes, chapter 
27.5 	457A. Any improvements made with the 
27.6 	proceeds of these grants must be publicly 
27.7 	owned.

27.8	Sec. 17. METROPOLITAN COUNCIL

27.9	Subdivision 1.Total Appropriation
 			$	
35,350,000
	
27.10 	To the Metropolitan Council for the purposes 
27.11 	specified in this section.

27.12	Subd. 2.Metro Orange Line BRT
 				12,100,000
	
27.13 	Up to $12,100,000, but an amount that 
27.14 	is no more than ten percent of the total 
27.15 	project cost, is for the Metropolitan Council, 
27.16 	or for the Metropolitan Council to make 
27.17 	grants to political subdivisions, for design, 
27.18 	acquisition of right-of-way, engineering, and 
27.19 	construction of capital improvements along 
27.20 	the I-35W corridor for completion of the 
27.21 	Metro Orange Bus Rapid Transit (BRT) Line. 

27.22	Subd. 3.Mall of America Station
 				8,750,000 
	
27.23 	For design and construction of improvements 
27.24 	to the Mall of America Station on the 
27.25 	Hiawatha Corridor light rail transit line, 
27.26 	subject to Minnesota Statutes, section 
27.27 	16A.695. The Metropolitan Council must 
27.28 	consult with the city of Bloomington 
27.29 	throughout the design and construction 
27.30 	process.

27.31
27.32	Subd. 4.Metropolitan Cities Inflow and 
Infiltration Grants
 				2,500,000
	
28.1 	For grants to cities within the metropolitan 
28.2 	area, as defined in Minnesota Statutes, 
28.3 	section 473.121, subdivision 2, for capital 
28.4 	improvements in municipal wastewater 
28.5 	collection systems to reduce the amount of 
28.6 	inflow and infiltration to the Metropolitan 
28.7 	Council's metropolitan sanitary sewer 
28.8 	disposal system. Grants from this 
28.9 	appropriation are for up to 50 percent of the 
28.10 	cost to mitigate inflow and infiltration in 
28.11 	the publicly owned municipal wastewater 
28.12 	collection systems. To be eligible for a grant, 
28.13 	a city must be identified by the council 
28.14 	as a contributor of excessive inflow and 
28.15 	infiltration in the metropolitan disposal 
28.16 	system or have a measured flow rate within 20 
28.17 	percent of its allowable council-determined 
28.18 	inflow and infiltration limits. The council 
28.19 	must award grants based on applications 
28.20 	from cities that identify eligible capital 
28.21 	costs and include a timeline for inflow and 
28.22 	infiltration mitigation construction, pursuant 
28.23 	to guidelines established by the council.

28.24	Subd. 5.St. Paul - Como Zoo
 				12,000,000
	
28.25 	For a grant to the city of St. Paul for 
28.26 	predesign, design, and engineering of Phase I 
28.27 	of the renovation of seal and sea lion habitat 
28.28 	at the Como Zoo. The renovated habitat 
28.29 	will support the zoo education programs. 
28.30 	This appropriation is not available until 
28.31 	the commissioner of management and 
28.32 	budget determines that at least $1,100,000 
28.33 	is committed to the project from nonstate 
28.34 	sources.

28.35	Sec. 18. HEALTH
 			$
	2,335,000
	
29.1 	From the general fund in fiscal year 2017 to 
29.2 	the commissioner of health for equipment 
29.3 	and instruments for the public health 
29.4 	laboratory. Notwithstanding Minnesota 
29.5 	Statutes, section 16A.642, this appropriation 
29.6 	is available until June 30, 2022.

29.7	Sec. 19. HUMAN SERVICES

29.8	Subdivision 1.Total Appropriation
 			$
	72,271,000
	
29.9 	To the commissioner of administration, or 
29.10 	another named agency, for the purposes 
29.11 	specified in this section.

29.12
29.13	Subd. 2.Minnesota Security Hospital - St. 
Peter
 				57,611,000
	
29.14 	To complete design, remodel, construct, 
29.15 	furnish, and equip the second phase of the 
29.16 	two-phase project to remodel existing and to 
29.17 	develop new residential, program, activity, 
29.18 	and ancillary facilities for the Minnesota 
29.19 	Security Hospital on the upper campus of the 
29.20 	St. Peter Regional Treatment Center. This 
29.21 	does not include construction of a new 48-bed 
29.22 	transitional housing unit. This appropriation 
29.23 	includes money to: demolish, renovate, and 
29.24 	remodel existing space; construct new space; 
29.25 	address fire and life safety, and other building 
29.26 	code deficiencies; replace or renovate 
29.27 	interior finishes; purchase furnishings, 
29.28 	fixtures, and equipment; replace or renovate 
29.29 	the Minnesota Security Hospital building's 
29.30 	HVAC, plumbing, electrical, security, and life 
29.31 	safety systems; tuck-point; replace windows 
29.32 	and doors; design and abate asbestos and 
29.33 	hazardous materials; and complete site work 
29.34 	necessary to support the programmed use 
30.1 	of the facilities on the St. Peter Regional 
30.2 	Treatment Center upper campus. 

30.3
30.4	Subd. 3.Child and Adolescent Behavioral 
Health Services
 				7,530,000
	
30.5 	To purchase land in or near the city of 
30.6 	Willmar for, and to predesign, design, 
30.7 	construct, furnish, and equip, a 16-bed 
30.8 	psychiatric hospital facility of approximately 
30.9 	17,500 to 18,000 square feet that will house 
30.10 	the Child and Adolescent Behavioral Health 
30.11 	Services (CABHS) program. The facility 
30.12 	shall include space for single bedrooms, 
30.13 	bathing and toilets, dining, living, group and 
30.14 	treatment rooms, education space, visitation, 
30.15 	clinic/professional staff, operations staff, 
30.16 	patient storage, operations storage, food 
30.17 	preparation, HVAC/telecommunications/data 
30.18 	equipment, a small area for indoor recreation, 
30.19 	and a secure outdoor activity space. The 
30.20 	property for the facility will provide for staff 
30.21 	and visitor parking, outdoor activities, and 
30.22 	appropriate side, front, and rear setbacks.

30.23
30.24	Subd. 4.Anoka Metro Regional Treatment 
Center Safety and Security Renovations
 				2,250,000
	
30.25 	To provide security upgrades of a capital 
30.26 	nature at the Anoka Metro Regional 
30.27 	Treatment Center campus, including but 
30.28 	not limited to control centers, electronic 
30.29 	monitoring and perimeter security 
30.30 	equipment, new or updated security fencing, 
30.31 	and other building security renovations. This 
30.32 	appropriation includes money for: predesign, 
30.33 	design, furnishing, fixtures, and equipment; 
30.34 	construction of safety and security 
30.35 	improvements to courtyards on residential 
30.36 	treatment units; securely enclosing the 
31.1 	nursing station on Unit G; and installing a 
31.2 	campus-wide closed-circuit television video 
31.3 	security system, a facility-wide personal 
31.4 	duress alarm system, a key control system, 
31.5 	and an electronic access control system.

31.6	Subd. 5.Regional Medical Examiner's Facility
 				2,680,000
	
31.7 	For a grant to Hennepin County to design an 
31.8 	approximately 67,000 square foot regional, 
31.9 	state-of-the-art medical examiner's facility. 
31.10 	The facility shall: (1) provide forensic 
31.11 	death investigation and autopsy services 
31.12 	for Dakota, Hennepin, and Scott Counties 
31.13 	with the flexibility to accommodate future 
31.14 	partner counties and agencies; (2) serve as a 
31.15 	teaching facility for the state, on the science 
31.16 	of forensic pathology; and (3) be located in 
31.17 	the city of Bloomington as a site that best 
31.18 	supports access needs for the three founding 
31.19 	counties and reasonable scene response times 
31.20 	for the geographic service area.

31.21
31.22	Subd. 6.Hennepin County - Perspectives 
Family Center
 				600,000
	
31.23 	From the general fund to the commissioner 
31.24 	of human services in fiscal year 2017 for a 
31.25 	grant to Hennepin County to predesign and 
31.26 	design the expansion and renovation of the 
31.27 	existing Perspectives Family Center facility 
31.28 	in St. Louis Park, subject to Minnesota 
31.29 	Statutes, section 16A.695. The expanded 
31.30 	and renovated facility must be used to 
31.31 	promote the public welfare by providing 
31.32 	any or all of the following programs and 
31.33 	services: (1) supportive housing programs 
31.34 	for homeless women and their children; 
31.35 	(2) mental and chemical health programs; 
32.1 	(3) employment services; (4) academic, 
32.2 	social skills, and nutritional programs for 
32.3 	homeless and at-risk children; (5) an all-day 
32.4 	therapeutic early childhood development 
32.5 	program for homeless and at-risk children; 
32.6 	and (6) a culturally sensitive safe and 
32.7 	nurturing environment for at-risk children 
32.8 	to meet with their nonresidential parents. 
32.9 	This appropriation is not available until the 
32.10 	commissioner of management and budget 
32.11 	has determined that at least an equal amount 
32.12 	has been expended or committed to the 
32.13 	project from nonstate sources. Nonstate 
32.14 	money spent on the project since May 1, 
32.15 	2015, shall be included in the determination 
32.16 	of nonstate commitments to the project.

32.17	Subd. 7.Minneapolis - The Family Partnership
 				1,000,000
	
32.18 	From the general fund for a grant to the 
32.19 	Family Partnership in Minneapolis to 
32.20 	predesign and design a facility to provide 
32.21 	mental health, early childhood education, 
32.22 	and other services to support children and 
32.23 	families. This appropriation is not available 
32.24 	until at least an equal amount of money is 
32.25 	committed from nonstate resources. This 
32.26 	appropriation is available until the project 
32.27 	is completed or abandoned, subject to 
32.28 	Minnesota Statutes, section 16A.642.

32.29
32.30	Subd. 8.St. Paul - Dorothy Day Opportunity 
Center
 				12,000,000
	
32.31 	For a grant to the city of St. Paul to predesign, 
32.32 	design, construct, furnish, and equip an 
32.33 	opportunity center to serve as an integrated 
32.34 	one-stop delivery system connecting persons 
32.35 	at risk of becoming homeless, and persons 
33.1 	working to move up and out of homelessness, 
33.2 	and to provide services that improve 
33.3 	their health, income, housing stability, or 
33.4 	well-being, subject to Minnesota Statutes, 
33.5 	section 16A.695. This appropriation may be 
33.6 	used to acquire property for these purposes. 
33.7 	This appropriation is not available until the 
33.8 	commissioner of management and budget has 
33.9 	determined that at least an equal amount has 
33.10 	been committed to the project from nonstate 
33.11 	sources. This appropriation is in addition to 
33.12 	the appropriation in Laws 2014, chapter 294, 
33.13 	article 1, section 18, subdivision 9.

33.14	Sec. 20. VETERANS AFFAIRS
 			$
	5,000,000
	
33.15 	To the commissioner of administration 
33.16 	for asset preservation improvements and 
33.17 	betterments of a capital nature at the veterans 
33.18 	homes in Minneapolis, Hastings, Fergus 
33.19 	Falls, Silver Bay, and Luverne, to be spent in 
33.20 	accordance with Minnesota Statutes, section 
33.21 	16B.307.

33.22	Sec. 21. CORRECTIONS

33.23	Subdivision 1.Total Appropriation
 			$
	40,900,000
	
33.24 	To the commissioner of administration for 
33.25 	the purposes specified in this section.

33.26	Subd. 2.Asset Preservation
 				20,000,000
	
33.27 	For asset preservation improvements and 
33.28 	betterments of a capital nature at Minnesota 
33.29 	correctional facilities statewide, to be spent 
33.30 	in accordance with Minnesota Statutes, 
33.31 	section 16B.307.

33.32
33.33	Subd. 3.Minnesota Correctional Facility - St. 
Cloud
 				19,000,000
	
34.1 	To construct and equip a new intake unit and 
34.2 	a loading dock with a secure connection to 
34.3 	a new central warehouse at the Minnesota 
34.4 	Correctional Facility â€“ St. Cloud.

34.5
34.6	Subd. 4.Minnesota Correctional Facility - 
Moose Lake
 				1,900,000
	
34.7 	To expand and renovate the outdated master 
34.8 	control center to improve security and 
34.9 	efficiency at the Minnesota Correctional 
34.10 	Facility - Moose Lake. The renovation 
34.11 	includes updating fire alarm panels and 
34.12 	mechanical and electrical systems and 
34.13 	improving visibility of the visiting area.

34.14	Subd. 5.Unspent Appropriations
 					
34.15 	The unspent portion of an appropriation for 
34.16 	a Department of Corrections project in this 
34.17 	section that is complete, upon written notice 
34.18 	to the commissioner of management and 
34.19 	budget, is available for asset preservation 
34.20 	under Minnesota Statutes, section 16B.307. 
34.21 	Minnesota Statutes, section 16A.642, applies 
34.22 	from the date of the original appropriation to 
34.23 	the unspent amount transferred.

34.24
34.25	Sec. 22. EMPLOYMENT AND ECONOMIC 
DEVELOPMENT

34.26	Subdivision 1.Total Appropriation
 			$
	67,050,000
	
34.27 	To the commissioner of employment and 
34.28 	economic development for the purposes 
34.29 	specified in this section.

34.30
34.31	Subd. 2.Transportation Economic 
Development 
 				7,000,000
	
34.32 	For grants under Minnesota Statutes, section 
34.33 	116J.436.

34.34
34.35	Subd. 3.Greater Minnesota Business 
Development Public Infrastructure Grants
 				12,000,000
	
35.1 	For grants under Minnesota Statutes, section 
35.2 	116J.431.

35.335.4	Subd. 4.Innovative Business Development 
Public Infrastructure Grants  				
2,500,000
	
35.5 	For grants under Minnesota Statutes, section 
35.6 	116J.435.

35.7	Subd. 5.Bemidji - Regional Dental Facility
 				4,500,000
	
35.8 	For a grant to the city of Bemidji to acquire 
35.9 	land for and to predesign, design, construct, 
35.10 	renovate, furnish, and equip a regional dental 
35.11 	facility in Bemidji, subject to Minnesota 
35.12 	Statutes, section 16A.695. This appropriation 
35.13 	is not available until the commissioner of 
35.14 	management and budget has determined that 
35.15 	at least $4,500,000 has been committed to 
35.16 	the project from nonstate sources. The value 
35.17 	of the land purchased or acquired by the city 
35.18 	after January 1, 2016, for this facility shall 
35.19 	count toward the nonstate match.

35.20
35.21	Subd. 6.Hennepin County - Hennepin Center 
for the Arts
 				5,000,000
	
35.22 	For a grant to Hennepin County for 
35.23 	improvements and betterments of a capital 
35.24 	nature to renovate the historic Hennepin 
35.25 	Center for the Arts, subject to Minnesota 
35.26 	Statutes, section 16A.695. This appropriation 
35.27 	is available after the commissioner of 
35.28 	management and budget determines that 
35.29 	$3,000,000 has been committed to complete 
35.30 	the project from nonstate sources.

35.31
35.32	Subd. 7.Litchfield - Phase 2 Power Generation 
Improvements
 				3,000,000
	
35.33 	For a grant to the city of Litchfield to 
35.34 	design and construct electrical generation 
35.35 	improvements in the city of Litchfield 
36.1 	to expand the current standby capacity, 
36.2 	including replacement of two old generators. 
36.3 	This appropriation is not available until the 
36.4 	commissioner of management and budget 
36.5 	determines that at least an equal amount 
36.6 	is committed to the project from nonstate 
36.7 	sources.

36.8	Subd. 8.Madelia
 				98,000
	
36.9 	For a grant to the city of Madelia for repair 
36.10 	and replacement of a capital nature of public 
36.11 	infrastructure damaged by a fire in Madelia 
36.12 	in February 2016. This appropriation does 
36.13 	not require a nonstate contribution.

36.14	Subd. 9.Minneapolis - Norway House
 				5,000,000
	
36.15 	From the general fund for a grant to 
36.16 	the Norway House to acquire land and 
36.17 	predesign, design, construct, furnish, and 
36.18 	equip a conference and event center at 913 
36.19 	East Franklin Avenue and adjacent property 
36.20 	in Minneapolis to celebrate the culture of 
36.21 	Norway and American Norwegians. This 
36.22 	appropriation is not available until at least 
36.23 	an equal amount is committed from nonstate 
36.24 	sources. Land purchased for this expansion 
36.25 	project shall count toward the nonstate match.

36.26
36.27	Subd. 10.Minneapolis - Pioneers and Soldiers 
Cemetery Restoration
 				1,029,000
	
36.28 	For a grant to the city of Minneapolis to 
36.29 	restore the historic steel and limestone pillar 
36.30 	fence along Cedar Avenue and Lake Street, 
36.31 	install a new steel fence and pillars along 21st 
36.32 	Avenue South, and install a waterproofing 
36.33 	system for preservation of the fence and 
36.34 	pillars, at the Pioneer and Soldiers Cemetery. 
36.35 	This appropriation is available after the 
37.1 	commissioner of management and budget 
37.2 	determines that $394,000 is committed from 
37.3 	nonstate sources.

37.4	Subd. 11.Red Wing - River Town Renaissance
 				4,480,000
	
37.5 	For a grant to the city of Red Wing to 
37.6 	complete removal and replacement of 
37.7 	approximately 250 lineal feet of the harbor 
37.8 	retaining wall; to design, construct, furnish, 
37.9 	and equip the renovation of the historic 
37.10 	T.B. Sheldon Performing Arts Theater; and 
37.11 	to design and construct transient riverboat 
37.12 	docking facilities, levee wall extension, and 
37.13 	levee promenade improvements at Levee 
37.14 	Park. This appropriation is not available 
37.15 	until the commissioner of management and 
37.16 	budget determines that an amount sufficient 
37.17 	to complete the project has been committed 
37.18 	from nonstate sources.

37.19	Subd. 12.St. James - Public Infrastructure
 				3,443,000
	
37.20 	For a grant to the city of St. James. Of 
37.21 	this amount, $2,193,000 is for engineering, 
37.22 	right-of-way acquisition, and reconstruction 
37.23 	of streets, sidewalks, storm water and 
37.24 	sanitary sewer, water mains, lighting, 
37.25 	utilities, and other capital improvements of 
37.26 	publicly owned infrastructure required for 
37.27 	the reconstruction of marked Trunk Highway 
37.28 	4 in the city of St. James, and $1,250,000 
37.29 	is to replace the storm sewer drain which 
37.30 	serves St. James Lake and the entire southern 
37.31 	section of the City of St. James.

37.32
37.33	Subd. 13.St. Paul - Science Museum of 
Minnesota Building Preservation
 				13,000,000
	
37.34 	For a grant to the city of St. Paul for 
37.35 	predesign, design, and construction work 
38.1 	to replace water-damaged elements of the 
38.2 	Science Museum of Minnesota's exterior 
38.3 	envelope and some resultant interior damage 
38.4 	caused by latent design and construction 
38.5 	defects, subject to Minnesota Statutes, section 
38.6 	16A.695. This appropriation is not available 
38.7 	until the commissioner of management and 
38.8 	budget determines that an equal amount has 
38.9 	been committed to the project from nonstate 
38.10 	sources. Capital costs paid by the Science 
38.11 	Museum of Minnesota since January 1, 2014, 
38.12 	relating to the water intrusion damage, shall 
38.13 	count towards the match requirement.

38.14
38.15	Subd. 14.St. Paul Port Authority - Minnesota 
Museum of American Art
 				6,000,000	

38.16 	For a grant to the St. Paul Port Authority 
38.17 	to design, construct, furnish, and equip 
38.18 	improvements for the Minnesota Museum 
38.19 	of American Art for the historic Pioneer 
38.20 	Endicott Building renovation. The project 
38.21 	shall include galleries and education 
38.22 	facilities, art storage, access to the St. Paul 
38.23 	skyway, museum loading, and other capital 
38.24 	improvements required for a museum and 
38.25 	related education facility. The appropriation 
38.26 	shall be available upon a determination by 
38.27 	the commissioner that at least $8,500,000 
38.28 	of nonstate funds have been raised for the 
38.29 	project and there are sufficient funds to 
38.30 	complete the overall project.

38.31	Sec. 23. PUBLIC FACILITIES AUTHORITY

38.32	Subdivision 1.Total Appropriation
 			$
	154,226,000
	
38.33 	To the Public Facilities Authority for the 
38.34 	purposes specified in this section.

38.35	Subd. 2.State Match for Federal Grants
 				17,000,000
	
39.1 	To match federal grants for the clean water 
39.2 	revolving fund under Minnesota Statutes, 
39.3 	section 446A.07, and the drinking water 
39.4 	revolving fund under Minnesota Statutes, 
39.5 	section 446A.081. This appropriation must 
39.6 	be used for qualified capital projects.

39.7
39.8	Subd. 3.Water Infrastructure Funding 
Program
 				70,000,000
	
39.9 	(a) For grants to eligible municipalities under 
39.10 	the water infrastructure funding program 
39.11 	under Minnesota Statutes, section 446A.072.
39.12 	(b) $51,500,000 is for wastewater projects 
39.13 	listed on the Pollution Control Agency's 
39.14 	project priority list in the fundable range 
39.15 	under the clean water revolving fund 
39.16 	program.
39.17 	(c) $18,500,000 is for drinking water projects 
39.18 	listed on the commissioner of health's project 
39.19 	priority list in the fundable range under the 
39.20 	drinking water revolving fund program.
39.21 	(d) After all eligible projects under 
39.22 	paragraph (b) or (c) have been funded, the 
39.23 	Public Facilities Authority may transfer 
39.24 	any remaining, uncommitted money to 
39.25 	eligible projects under a program defined in 
39.26 	paragraph (b) or (c) based on that program's 
39.27 	project priority list.

39.28
39.29	Subd. 4.Point Source Implementation Grants 
Program
 				46,500,000
	
39.30 	For grants to eligible municipalities under the 
39.31 	point source implementation grants program 
39.32 	under Minnesota Statutes, section 446A.073. 
39.33 	This appropriation must be used for qualified 
39.34 	capital projects.

40.1
40.2	Subd. 5.Big Lake Area Sanitary District - 
Sewer System and Force Main
 				1,200,000
	
40.3 	For a grant to the Big Lake Area Sanitary 
40.4 	District to construct a pressure sewer system 
40.5 	and force main to convey sewage to the 
40.6 	Western Lake Superior Sanitary District 
40.7 	connection in the city of Cloquet. This 
40.8 	appropriation is not available until the 
40.9 	commissioner of management and budget 
40.10 	determines that an equal amount is committed 
40.11 	from nonstate sources. This appropriation 
40.12 	is in addition to the appropriation in Laws 
40.13 	2014, chapter 294, article 1, section 22, 
40.14 	subdivision 4.

40.15
40.16	Subd. 6.Dennison - Sewage Treatment System 
Improvements
 				726,000
	
40.17 	For a grant to the city of Dennison 
40.18 	to predesign, design, and construct a 
40.19 	new lift station and make sewage pond 
40.20 	improvements. This appropriation does not 
40.21 	require a nonstate contribution.

40.22	Subd. 7.East Grand Forks
 				5,300,000
	
40.23 	For a grant to the city of East Grand 
40.24 	Forks to design and construct wastewater 
40.25 	infrastructure improvements interconnecting 
40.26 	the wastewater system of East Grand Forks 
40.27 	to the wastewater treatment system in Grand 
40.28 	Forks, North Dakota. This appropriation 
40.29 	may not be used for improvements outside 
40.30 	the state. This appropriation is in addition 
40.31 	to grants under Minnesota Statutes, section 
40.32 	446A.072. A nonstate match is not required.

40.33
40.34	Subd. 8.Koochiching County - Voyageurs 
National Park Clean Water Project
 				2,000,000
	
41.1 	(a) For a grant to Koochiching County to 
41.2 	acquire land or interests in land, and to design, 
41.3 	engineer, construct, and equip sanitary 
41.4 	sewage systems and facilities to implement a 
41.5 	portion or portions of the Voyageurs National 
41.6 	Park clean water project comprehensive 
41.7 	plan. This appropriation is available after the 
41.8 	commissioner of management and budget 
41.9 	determines that $4,500,000 is committed 
41.10 	from nonstate sources.
41.11 	(b) This appropriation is in addition to 
41.12 	the appropriation in Laws 2014, chapter 
41.13 	294, article 1, section 22, subdivision 7. 
41.14 	Notwithstanding the match requirement in 
41.15 	Laws 2014, chapter 294, article 1, section 
41.16 	22, subdivision 7, the nonstate match 
41.17 	required for this appropriation and the 2014 
41.18 	appropriation for a grant to Koochiching 
41.19 	County is 25 percent of the state grant 
41.20 	amounts. Any money remaining from this 
41.21 	appropriation after completion of the projects 
41.22 	in paragraph (a) is available for grants to 
41.23 	Koochiching County or St. Louis County to 
41.24 	be used for other projects described in the 
41.25 	comprehensive plan.

41.26
41.27	Subd. 9.Lilydale - Highway 13 Storm Water 
Conveyance
 				140,000
	
41.28 	From the general fund for a grant to the city 
41.29 	of Lilydale to design, acquire, construct, and 
41.30 	install a storm water sewer and drop structure 
41.31 	along Trunk Highway 13 in Lilydale that 
41.32 	will be large enough to effectively collect 
41.33 	water from springs and storm water runoff 
41.34 	from above the road and safely convey the 
41.35 	water to below the bluff. The city must 
41.36 	coordinate this project with the Department 
42.1 	of Transportation's Trunk Highway 13 
42.2 	project. The appropriation and project also 
42.3 	include capital repairs and improvements 
42.4 	to existing drainage structures along the 
42.5 	Big Rivers Regional Trail at the base of the 
42.6 	bluff. This appropriation does not require a 
42.7 	nonstate contribution.

42.8
42.9	Subd. 10.Oronoco - Wastewater Collection 
and Treatment Facilities
 				500,000
	
42.10 	From the general fund for a grant to the 
42.11 	city of Oronoco to commission a study to 
42.12 	evaluate options for solving the wastewater 
42.13 	infrastructure needs for the region including 
42.14 	the city of Oronoco, the city of Pine Island, 
42.15 	or the city of Rochester. This appropriation 
42.16 	does not require a nonstate match.

42.17
42.18	Sec. 24. MINNESOTA HOUSING FINANCE 
AGENCY
 			$
	10,000,000
	
42.19 	For transfer to the housing development 
42.20 	fund to finance the costs of rehabilitation to 
42.21 	preserve public housing under Minnesota 
42.22 	Statutes, section 462A.202, subdivision 
42.23 	3a. For purposes of this section, "public 
42.24 	housing" means housing for low-income 
42.25 	persons and households financed by the 
42.26 	federal government and owned and operated 
42.27 	by the public housing authorities and 
42.28 	agencies formed by cities and counties. 
42.29 	Public housing authorities receiving a public 
42.30 	housing assessment composite score of 80 
42.31 	or above or an equivalent designation are 
42.32 	eligible to receive funding. Priority must be 
42.33 	given to proposals that maximize federal or 
42.34 	local resources to finance the capital costs. 
42.35 	The priority in Minnesota Statutes, section 
43.1 	462A.202, subdivision 3a, for projects to 
43.2 	increase the supply of affordable housing and 
43.3 	the restrictions of Minnesota Statutes, section 
43.4 	462A.202, subdivision 7, do not apply to this 
43.5 	appropriation.

43.6
43.7	Sec. 25. MINNESOTA HISTORICAL 
SOCIETY

43.8	Subdivision 1.Total Appropriation
 			$
	2,500,000
	
43.9 	To the Minnesota Historical Society for the 
43.10 	purposes specified in this section.

43.11	Subd. 2.Historic Sites Asset Preservation
 				2,500,000
	
43.12 	For capital improvements and betterments 
43.13 	at state historic sites, buildings, landscaping 
43.14 	at historic buildings, exhibits, markers, and 
43.15 	monuments, to be spent in accordance with 
43.16 	Minnesota Statutes, section 16B.307. The 
43.17 	society shall determine project priorities as 
43.18 	appropriate based on need.

43.19	Sec. 26. BOND SALE EXPENSES

43.20	Subdivision 1.Total Appropriation
 			$
	1,070,000
	
43.21 	To the commissioner of management and 
43.22 	budget for the purposes specified in this 
43.23 	section.

43.24	Subd. 2.Bond Proceeds Fund
 				1,070,000
	
43.25 	From the bond proceeds fund for bond sale 
43.26 	expenses under Minnesota Statutes, section 
43.27 	16A.641, subdivision 8.

43.28 	Sec. 27. BOND SALE AUTHORIZATION.
 43.29 		Subdivision 1.Bond proceeds fund. To provide the money appropriated in this 
43.30 	act from the bond proceeds fund, the commissioner of management and budget shall sell 
43.31 	and issue bonds of the state in an amount up to $1,242,558 in the manner, upon the terms, 
44.1 	and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and 
44.2 	by the Minnesota Constitution, article XI, sections 4 to 7.
44.3 		Subd. 2.Transportation fund. To provide the money appropriated in this act from 
44.4 	the state transportation fund, the commissioner of management and budget shall sell and 
44.5 	issue bonds of the state in an amount up to $231,446,000 in the manner, upon the terms, 
44.6 	and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and 
44.7 	by the Minnesota Constitution, article XI, sections 4 to 7.
44.8 		Subd. 3.Maximum effort school loan fund. To provide the money appropriated 
44.9 	in this act from the maximum effort school loan fund, the commissioner of management 
44.10 	and budget shall sell and issue bonds of the state in an amount up to $14,070,000 in the 
44.11 	manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 
44.12 	16A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.

44.13 	Sec. 28. CANCELLATIONS; BOND SALE AUTHORIZATION REDUCTIONS.
 44.14 	(a) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
44.15 	1990, chapter 610, are canceled and the bond sale authorization in Laws 1990, chapter 
44.16 	610, article 1, section 30, subdivision 1, as amended, is reduced by $3,129.
44.17 	(b) The remaining uncommitted appropriations from the bond proceeds fund in 
44.18 	Laws 1994, chapter 643, are canceled and the bond sale authorization in Laws 1994, 
44.19 	chapter 643, section 31, subdivision 1, as amended, is reduced by $24,480.
44.20 	(c) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
44.21 	1997, Second Special Session chapter 2, are canceled and the bond sale authorization in 
44.22 	Laws 1997, Second Special Session chapter 2, section 12, as amended, is reduced by 
44.23 	$96,992.
44.24 	(d) The remaining uncommitted appropriations from the bond proceeds fund in 
44.25 	Laws 1999, chapter 240, are canceled and the bond sale authorization in Laws 1999, 
44.26 	chapter 240, article 1, section 13, subdivision 1, as amended, is reduced by $212,472.
44.27 	(e) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
44.28 	2000, chapter 492, are canceled and the bond sale authorization in Laws 2000, chapter 
44.29 	492, article 1, section 26, subdivision 1, as amended, is reduced by $7,933,538.
44.30 	(f) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
44.31 	2002, chapter 393, are canceled and the bond sale authorization in Laws 2002, chapter 
44.32 	393, section 30, subdivision 1, as amended, is reduced by $188,471.
44.33 	(g) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
44.34 	2002, First Special Session chapter 1, are canceled and the bond sale authorization in Laws 
44.35 	2002, First Special Session chapter 1, section 9, subdivision 1, is reduced by $217,959.
45.1 	(h) The remaining uncommitted appropriations from the trunk highway bond 
45.2 	proceeds fund in Laws 2003, First Special Session chapter 19, article 3, are canceled and 
45.3 	the bond sale authorization in Laws 2003, First Special Session chapter 19, article 3, 
45.4 	section 2, is reduced by $201,530.
45.5 	(i) The remaining uncommitted appropriations from the trunk highway bond 
45.6 	proceeds fund in Laws 2003, First Special Session chapter 19, article 4, are canceled and 
45.7 	the bond sale authorization in Laws 2003, First Special Session chapter 19, article 4, 
45.8 	section 4, is reduced by $326,534.
45.9 	(j) The remaining uncommitted appropriations from the bond proceeds fund in Laws 
45.10 	2005, chapter 20, are canceled and the bond sale authorization in Laws 2005, chapter 20, 
45.11 	article 1, section 28, subdivision 1, as amended, is reduced by $3,366,628.
45.12 	(k) The $700,000 appropriation from the bond proceeds fund in Laws 2011, First 
45.13 	Special Session chapter 12, section 13, subdivision 8, for St. Louis Park noise barriers, is 
45.14 	canceled and the bond sale authorization in Laws 2011, First Special Session chapter 12, 
45.15 	section 23, subdivision 1, is reduced by the same amount.
45.16 	(l) The $2,285,000 appropriation from the bond proceeds fund in Laws 2012, 
45.17 	First Special Session chapter 1, article 1, section 3, subdivision 2, to the commissioner 
45.18 	of public safety for disaster relief, is canceled and the bond sale authorization in Laws 
45.19 	2012, First Special Session chapter 1, article 1, section 16, subdivision 1, is reduced 
45.20 	by the same amount.
45.21 	(m) $1,380,000 of the appropriation from the bond proceeds fund in Laws 2012, 
45.22 	First Special Session chapter 1, article 1, section 6, to the Public Facilities Authority for 
45.23 	disaster relief, is canceled and the bond sale authorization in Laws 2012, First Special 
45.24 	Session chapter 1, article 1, section 16, subdivision 1, is reduced by the same amount.
45.25 	(n) $2,335,000 of the appropriation from the bond proceeds fund in Laws 2012, First 
45.26 	Special Session chapter 1, article 1, section 9, subdivision 2, to the commissioner of 
45.27 	natural resources for disaster relief, is canceled, and the bond sale authorization in Laws 
45.28 	2012, First Special Session chapter 1, article 1, section 16, subdivision 1, is reduced 
45.29 	by the same amount.
45.30 	(o) The $300,000 appropriation from the general fund in Laws 2015, First Special 
45.31 	Session chapter 5, article 1, section 14, subdivision 4, for Eagle's Healing Nest is canceled.

45.32 	Sec. 29. Laws 2015, First Special Session chapter 5, article 1, section 19, is amended 
45.33 	to read:
45.34 	Sec. 19. BOND SALE SCHEDULE.
 46.1 	The commissioner of management and budget shall schedule the sale of state 
46.2 	general obligation bonds so that, during the biennium ending June 30, 2017, no more 
46.3 	than $1,267,459,000$1,242,558,000 will need to be transferred from the general fund to 
46.4 	the state bond fund to pay principal and interest due and to become due on outstanding 
46.5 	state general obligation bonds. During the biennium, before each sale of state general 
46.6 	obligation bonds, the commissioner of management and budget shall calculate the amount 
46.7 	of debt service payments needed on bonds previously issued and shall estimate the amount 
46.8 	of debt service payments that will be needed on the bonds scheduled to be sold. The 
46.9 	commissioner shall adjust the amount of bonds scheduled to be sold so as to remain within 
46.10 	the limit set by this section. The amount needed to make the debt service payments is 
46.11 	appropriated from the general fund as provided in Minnesota Statutes, section 16A.641.

46.12 	Sec. 30. EFFECTIVE DATE.
 46.13 	Except as otherwise provided, this article is effective the day following final 
46.14 	enactment.

46.15 	ARTICLE 2
46.16 	TRANSPORTATION FINANCE AND POLICY

46.17	Section 1. TRANSPORTATION CAPITAL IMPROVEMENT APPROPRIATIONS.
 	
46.18 	(a) The sums shown in the columns marked "Appropriations" are added to the 
46.19 	appropriations in Laws 2015, chapter 75, article 1, to the commissioner of transportation 
46.20 	for the purposes specified in this article. The appropriations are from the general fund, or 
46.21 	another named fund, and are available for the fiscal years indicated for each purpose. The 
46.22 	figures "2016" and "2017" used in this article mean that the appropriations listed under 
46.23 	them are available for the fiscal year ending June 30, 2016, or June 30, 2017, respectively. 
46.24 	"The first year" is fiscal year 2016. "The second year" is fiscal year 2017. "The biennium" 
46.25 	is fiscal years 2016 and 2017.
46.26 	(b) Appropriations of bond proceeds must be spent as authorized by the Minnesota 
46.27 	Constitution, article XI, section 5, paragraph (a), to acquire and better public land and 
46.28 	buildings and other public improvements of a capital nature, or as authorized by the 
46.29 	Minnesota Constitution, article XI, section 5, paragraphs (b) to (j), or article XIV. Unless 
46.30 	otherwise specified, money appropriated in this act for a capital program or project may 
46.31 	be used to pay state agency staff costs that are attributed directly to the capital program 
46.32 	or project in accordance with accounting policies adopted by the commissioner of 
46.33 	management and budget. Unless otherwise specified, the appropriations of bond proceeds 
47.1 	in this act are available until the project is completed or abandoned subject to Minnesota 
47.2 	Statutes, section 16A.642. Unless otherwise specified in this act, money appropriated in 
47.3 	this act for activities under Minnesota Statutes, sections 16B.307, 84.946, and 135A.046, 
47.4 	should not be used for projects that can be financed within a reasonable time frame under 
47.5 	Minnesota Statutes, section 16B.322 or 16C.144.

47.6				APPROPRIATIONS
	
47.7				Available for the Year
	
47.8				Ending June 30
	
47.9					2016
		2017

47.10
47.11	Sec. 2. DEPARTMENT OF 
TRANSPORTATION

47.12	Subdivision 1.Total Appropriation
 	$
	20,000,000
	$
	410,968,000
	
47.13 	To the commissioner of transportation for the 
47.14 	purposes specified in this section.

47.15	Subd. 2.Corridors of Commerce
 		-0-
		199,500,000
	
47.16 	This is a onetime appropriation for the 
47.17 	corridors of commerce program under 
47.18 	Minnesota Statutes, section 161.088, 
47.19 	notwithstanding any requirements of that 
47.20 	section, for all the following projects, in 
47.21 	amounts as determined by the commissioner:
47.22 	(1) construction of marked Trunk Highway 
47.23 	23 as a four-lane divided highway (i) from 
47.24 	the point where marked Trunk Highway 
47.25 	23 ceases as a four-lane divided highway 
47.26 	near the intersection with Kandiyohi County 
47.27 	State-Aid Highway 31, located east of New 
47.28 	London, to the point where marked Trunk 
47.29 	Highway 23 commences as a four-lane 
47.30 	divided highway, located southwest of 
47.31 	Paynesville, and (ii) from the point where 
47.32 	marked Trunk Highway 23 ceases as a 
47.33 	four-lane divided highway, located northeast 
47.34 	of Paynesville, to the point where marked 
47.35 	Trunk Highway 23 commences as a four-lane 
48.1 	divided highway, located southwest of 
48.2 	Richmond, provided that notwithstanding 
48.3 	Minnesota Statutes, section 16A.28, this 
48.4 	amount is available for seven years;
48.5 	(2) construction and reconstruction of 
48.6 	marked Trunk Highway 14 as a four-lane 
48.7 	divided highway, from the interchange with 
48.8 	marked Interstate Highway 35 near the 
48.9 	city of Owatonna to the point near the city 
48.10 	of Dodge Center at which marked Trunk 
48.11 	Highway 14 constitutes a four-lane divided 
48.12 	highway, located southeast of the intersection 
48.13 	with marked Trunk Highway 56;
48.14 	(3) right-of-way acquisition and construction 
48.15 	of an interchange at marked Trunk Highway 
48.16 	212 and Carver County Road 140 in the city 
48.17 	of Chaska, to support the development of 
48.18 	approximately 400 acres of property in the 
48.19 	city of Chaska's comprehensive plan;
48.20 	(4) to add a third travel lane in each direction 
48.21 	of marked U.S. Highway 10 from the 
48.22 	interchange with Hanson Boulevard to the 
48.23 	interchange with Round Lake Boulevard in 
48.24 	the city of Coon Rapids;
48.25 	(5) to acquire land, predesign, design, and 
48.26 	construct an interchange with related utilities 
48.27 	at the intersection of marked U.S. Highway 
48.28 	10, County Road 79, and County State-Aid 
48.29 	Highway 4, and to construct frontage roads 
48.30 	on both sides of marked U.S. Highway 10, 
48.31 	extending from the intersection of marked 
48.32 	U.S. Highway 10, County Road 79, and 
48.33 	County State-Aid Highway 4 to 85th Street;
48.34 	(6) land acquisition in conjunction with 
48.35 	project development for expansion of marked 
49.1 	U.S. Highway 14 to a four-lane divided 
49.2 	highway between Nicollet and New Ulm; and
49.3 	(7) a grant to Anoka County to complete 
49.4 	preliminary engineering, environmental 
49.5 	analysis, and final design for the improvement 
49.6 	of marked U.S. Highway 10 and associated 
49.7 	improvements.

49.8	Subd. 3.State and Local Roads
 		-0-
		100,500,000
	
49.9 	This is a onetime appropriation for all 
49.10 	of the following purposes, in amounts as 
49.11 	determined by the commissioner:
49.12 	(1) the transportation economic development 
49.13 	program under Minnesota Statutes, section 
49.14 	174.12;
49.15 	(2) the small cities assistance program under 
49.16 	Minnesota Statutes, section 162.145;
49.17 	(3) the safe routes to school program under 
49.18 	Minnesota Statutes, section 174.40;
49.19 	(4) the safety improvement study for the 
49.20 	interchange of signed Interstate Highways 
49.21 	94, 694, and 494, as provided in this article;
49.22 	(5) design, engineering, environmental 
49.23 	analysis, and construction of improvements 
49.24 	to Cliff Road in the vicinity of marked 
49.25 	Interstate Highway 35W;
49.26 	(6) grants to the city of Virginia and the city 
49.27 	of Virginia Public Utilities Commission to 
49.28 	acquire land for and to predesign, design, 
49.29 	construct, furnish, and equip relocated 
49.30 	public utilities, including sanitary and storm 
49.31 	water sewers and water, electrical, and gas 
49.32 	utilities, and to demolish and remove old 
49.33 	utility infrastructure, all associated with the 
49.34 	relocation of marked trunk highway 53, 
50.1 	provided that a nonstate contribution is not 
50.2 	required;
50.3 	(7) a grant to the city of Moorhead to 
50.4 	construct and complete phase 1 of the 
50.5 	grade separated rail crossings project in the 
50.6 	vicinity of 21st Street South in the city of 
50.7 	Moorhead, and for preliminary engineering 
50.8 	and environmental assessment of phase 2, the 
50.9 	grade separated rail crossing in the vicinity 
50.10 	of 11th Street South in the city of Moorhead, 
50.11 	provided that a nonstate contribution is not 
50.12 	required;
50.13 	(8) town roads under Minnesota Statutes, 
50.14 	section 162.081;
50.15 	(9) county state-aid highways under 
50.16 	Minnesota Statutes, chapter 162; and
50.17 	(10) municipal state-aid streets under 
50.18 	Minnesota Statutes, chapter 162.

50.19	Subd. 4.State Road Construction
 		20,000,000
		98,833,000
	
50.20 	This is a onetime appropriation from the trunk 
50.21 	highway fund for (1) state road construction; 
50.22 	(2) for State Project No. 2514-122, consisting 
50.23 	of engineering and reconstruction of the 
50.24 	segment of marked U.S. Highway 61 in Red 
50.25 	Wing from westerly of Old West Main Street 
50.26 	to easterly of Potter Street, which is for trunk 
50.27 	highway costs in excess of the engineer's 
50.28 	estimate and associated program delivery; 
50.29 	and (3) a grant to the city of Cambridge 
50.30 	for final design, environmental analysis, 
50.31 	right-of-way acquisition, land acquisition, 
50.32 	corridor mapping, construction engineering, 
50.33 	and construction for the improvement of 
50.34 	marked Trunk Highway 95 and associated 
50.35 	improvements.

51.1	Subd. 5.Trunk Highway Projects
 				62,000,000
	
51.2 	For all of the projects specified in 
51.3 	subdivisions 6 to 8, in amounts as determined 
51.4 	by the commissioner.

51.5	Subd. 6.Hennepin County - U.S. Highway 12
 					
51.6 	From the bond proceeds account in the 
51.7 	trunk highway fund for projects, including 
51.8 	preliminary and final design, engineering, 
51.9 	environmental analysis, right-of-way 
51.10 	acquisition, construction, and reconstruction 
51.11 	on marked U.S. Highway 12 as follows:
51.12 	(1) realignment at the intersections with 
51.13 	Hennepin County State-Aid Highway 92;
51.14 	(2) realignment and safety improvements 
51.15 	at the intersection with Hennepin County 
51.16 	State-Aid Highway 90; and
51.17 	(3) safety median improvements from the 
51.18 	interchange with Wayzata Boulevard in 
51.19 	Wayzata to approximately one-half mile east 
51.20 	of the interchange with Hennepin County 
51.21 	State-Aid Highway 6.

51.22
51.23	Subd. 7.Anoka County - I-35 Interchange in 
Columbus
 					
51.24 	From the bond proceeds account in the 
51.25 	trunk highway fund for a grant to Anoka 
51.26 	County to: (1) complete the design, land 
51.27 	acquisition, engineering, and construction of 
51.28 	an interchange at the intersection of marked 
51.29 	Interstate Highway 35, marked Trunk 
51.30 	Highway 97, and County State-Aid Highway 
51.31 	23, and (2) realign and make associated 
51.32 	improvements to County State-Aid Highway 
51.33 	54, known as West Freeway Drive, in the 
51.34 	city of Columbus.

52.1	Subd. 8.I-94/Brockton Lane Interchange
 					
52.2 	From the bond proceeds account in the 
52.3 	trunk highway fund for the I-94/Brockton 
52.4 	Lane Interchange Project to construct an 
52.5 	interchange and auxiliary lanes on marked 
52.6 	Interstate Highway 94 east of the Hennepin 
52.7 	County State-Aid Highway 101 (Brockton 
52.8 	Lane) overpass in the city of Dayton.

52.952.10
	Subd. 9.Trunk Highway Bonds - Debt Service 
2017
 				546,000
	
52.11 	From the trunk highway fund for transfer to 
52.12 	the state bond fund. If this appropriation is 
52.13 	insufficient to make all transfers required 
52.14 	in the year for which it is made, the 
52.15 	commissioner of management and budget 
52.16 	shall transfer the deficiency amount under 
52.17 	the statutory open appropriation, and notify 
52.18 	the chairs and ranking minority members of 
52.19 	the legislative committees with jurisdiction 
52.20 	over transportation finance and the chairs of 
52.21 	the senate Committee on Finance and the 
52.22 	house of representatives Committee on Ways 
52.23 	and Means of the amount of the deficiency. 
52.24 	Any excess appropriation cancels to the 
52.25 	trunk highway fund.

52.26	Subd. 10.Airports
 		-0-
		11,135,000
	
52.27 	This is a onetime appropriation from the state 
52.28 	airports fund for the following purposes:
52.29 	(1) $4,985,000 for a grant to the city 
52.30 	of Rochester to design, rehabilitate, 
52.31 	demolish, and expand portions of the 
52.32 	existing passenger terminal building 
52.33 	at the Rochester International Airport, 
52.34 	provided that this amount also includes 
52.35 	money to remodel, construct, furnish, 
53.1 	and equip the existing passenger terminal 
53.2 	building and associated appurtenances 
53.3 	to meet the United States Customs and 
53.4 	Border Protection and Transportation 
53.5 	Security Administration standards for 
53.6 	safety, security, and processing time to 
53.7 	accommodate domestic and international 
53.8 	flights. The capital improvements paid for 
53.9 	with this appropriation may be used as the 
53.10 	local contribution required by Minnesota 
53.11 	Statutes, section 360.305, subdivision 4. 
53.12 	This appropriation is not available until the 
53.13 	commissioner of management and budget has 
53.14 	determined that at least an equal amount has 
53.15 	been committed to the project from nonstate 
53.16 	sources. Work that may be completed with 
53.17 	this appropriation includes but is not limited 
53.18 	to (i) site preparation including utilities, 
53.19 	site civil work, testing, and construction 
53.20 	administration services, (ii) the relocation, 
53.21 	modification, and addition of airline ticket 
53.22 	counters, baggage claim devices, public 
53.23 	spaces, offices, restrooms, support space, 
53.24 	break rooms, lockers, equipment storage, 
53.25 	communications, hallways, building 
53.26 	signage, medical visitor rooms, special needs 
53.27 	accommodations, hold rooms, secure storage, 
53.28 	equipment maintenance area, and building 
53.29 	engineering and technology systems, (iii) 
53.30 	improvements needed outside the terminal 
53.31 	to remove, restore, and tie into adjacent 
53.32 	utilities, sidewalks, driveways, parking lots, 
53.33 	and aircraft aprons, and (iv) the construction 
53.34 	of covered exterior equipment storage;
53.35 	(2) $5,900,000 to provide the federal match 
53.36 	to design and construct runway infrastructure 
54.1 	at the Duluth International and Sky Harbor 
54.2 	Airports in accordance with Minnesota 
54.3 	Statutes, section 360.017. For the purposes 
54.4 	of this clause, the commissioner may waive 
54.5 	the requirements of Minnesota Statutes, 
54.6 	section 360.305, subdivision 4, paragraph 
54.7 	(b). This appropriation is for costs incurred 
54.8 	after March 1, 2016, and is available until 
54.9 	and must be encumbered by June 30, 2017. 
54.10 	This appropriation is not available until 
54.11 	the commissioner of management and 
54.12 	budget determines that an equal amount is 
54.13 	committed from nonstate sources; and
54.14 	(3) $250,000 to conduct an air transport 
54.15 	optimization planning study for the St. 
54.16 	Cloud Regional Airport, which must be 
54.17 	comprehensive and market-based, using 
54.18 	economic development and air service 
54.19 	expertise to research, analyze, and develop 
54.20 	models and strategies that maximize the 
54.21 	return on investments made to enhance the 
54.22 	use and impact of the St. Cloud Regional 
54.23 	Airport.

54.24	Subd. 11.Minnesota Rail Service Improvement
 		-0-
		1,000,000
	
54.25 	This is a onetime appropriation from the 
54.26 	rail service improvement account in the 
54.27 	special revenue fund to the commissioner of 
54.28 	transportation for a grant to the city of Grand 
54.29 	Rapids to fund rail planning studies, design, 
54.30 	and preliminary engineering relating to the 
54.31 	construction of a freight rail line located in 
54.32 	the counties of Itasca, St. Louis, and Lake to 
54.33 	serve local producers and shippers. The city 
54.34 	of Grand Rapids shall collaborate with the 
54.35 	Itasca Economic Development Corporation 
55.1 	and the Itasca County Regional Railroad 
55.2 	Authority in the activities funded with the 
55.3 	proceeds of this grant. This appropriation is 
55.4 	available until June 30, 2019.

55.5 	Sec. 3. BOND SALE AUTHORIZATION.
 55.6 		Subdivision 1.Trunk highway bonds. To provide the money appropriated in 
55.7 	this act from the bond proceeds account in the trunk highway fund, the commissioner 
55.8 	of management and budget shall sell and issue bonds of the state in an amount up to 
55.9 	$62,062,000 in the manner, upon the terms, and with the effect prescribed by Minnesota 
55.10 	Statutes, sections 167.50 to 167.52, and by the Minnesota Constitution, article XIV, section 
55.11 	11, at the times and in the amounts requested by the commissioner of transportation. The 
55.12 	proceeds of the bonds, except accrued interest and any premium received from the sale of 
55.13 	the bonds, must be deposited in the bond proceeds account in the trunk highway fund.

55.14 	Sec. 4. Minnesota Statutes 2014, section 160.18, is amended by adding a subdivision 
55.15 	to read:
55.16 		Subd. 4.Appeal process. (a) Notwithstanding chapter 14 and section 14.386, 
55.17 	the commissioner shall establish a concise, expedited process through which an owner 
55.18 	or occupant of property abutting a trunk highway may appeal a denial or revocation of 
55.19 	an access permit. The owner or occupant must initiate an appeal no later than 30 days 
55.20 	after the date the commissioner issues written notice of the denial or revocation of an 
55.21 	access permit. The process must provide the owner or occupant and the Department of 
55.22 	Transportation the opportunity to present information in support of their positions.
55.23 	(b) The hearing must be conducted by an administrative law judge assigned by the 
55.24 	chief administrative law judge. The administrative law judge shall maintain a transcript of 
55.25 	the hearing and shall keep a record of all documents and data submitted at the hearing. 
55.26 	Within 30 days of the conclusion of the hearing, the administrative law judge shall 
55.27 	transmit to the commissioner the record of the proceedings along with a report and 
55.28 	recommendation based on the record made in the informal hearing. The commissioner 
55.29 	shall make a written decision regarding the access permit.
55.30 	(c) Section 15.99 does not apply to matters using the appeal process in this 
55.31 	subdivision.

55.32 	Sec. 5. Minnesota Statutes 2015 Supplement, section 162.145, subdivision 3, is 
55.33 	amended to read:
56.1 		Subd. 3.Administration. (a) Subject to funds made available by law, the 
56.2 	commissioner shall allocate all funds as provided in subdivision 4 and. By June 1 of a 
56.3 	year in which aid is provided, the commissioner of transportation shall notify certify to the 
56.4 	commissioner of revenue the amount to be paid to each eligible city.
56.5 	(b) Following notification from the commissioner of transportation, the 
56.6 	commissioner of revenue shall distribute the specified funds to cities in the same manner 
56.7 	as local government aid under chapter 477A. An appropriation to the commissioner of 
56.8 	transportation under this section is available to the commissioner of revenue for the 
56.9 	purposes specified in this paragraph.
56.10 	(c) Notwithstanding other law to the contrary, in order to receive distributions under 
56.11 	this section, a city must conform to the standards in section 477A.017, subdivision 2. A 
56.12 	city that receives funds under this section must make and preserve records necessary to 
56.13 	show that the funds are spent in compliance with subdivision 4 5.

56.14 	EFFECTIVE DATE. This section is effective for aids payable in 2016.

56.15 	Sec. 6. Minnesota Statutes 2014, section 219.015, is amended to read:
56.16 	219.015 STATE RAIL SAFETY INSPECTOR INSPECTION PROGRAM.
56.17 		Subdivision 1.Positions established; duties. (a) The commissioner of transportation 
56.18 	shall establish three state rail safety inspector positions in the Office of Freight and 
56.19 	Commercial Vehicle Operations of the Minnesota Department of Transportation. On or 
56.20 	after July 1, 2015, and the commissioner may establish a fourth up to six state rail safety 
56.21 	inspector position inspection program positions following consultation with railroad 
56.22 	companies. The commissioner shall apply to and enter into agreements with the Federal 
56.23 	Railroad Administration (FRA) of the United States Department of Transportation 
56.24 	to participate in the federal State Rail Safety Participation Program for training and 
56.25 	certification of an inspector under authority of United States Code, title 49, sections 20103, 
56.26 	20105, 20106, and 20113, and Code of Federal Regulations, title 49, part 212.
56.27 	(b) A state rail safety inspector shall may inspect mainline track, secondary 
56.28 	track, and yard and industry track; inspect railroad right-of-way, including adjacent or 
56.29 	intersecting drainage, culverts, bridges, overhead structures, and traffic and other public 
56.30 	crossings; inspect yards and physical plants; inspect train equipment; review and enforce 
56.31 	safety requirements; review maintenance and repair records; and review railroad security 
56.32 	measures.
56.33 	(c) A state rail safety inspector may perform, but is not limited to, the duties 
56.34 	described in the federal State Rail Safety Participation Program. An inspector may train, 
57.1 	be certified, and participate in any of the federal State Rail Safety Participation Program 
57.2 	disciplines, including: track, signal and train control, motive power and equipment, 
57.3 	operating practices compliance, hazardous materials, and highway-rail grade crossings.
57.4 	(d) To the extent delegated by the Federal Railroad Administration and authorized 
57.5 	by the commissioner, an inspector may issue citations for violations of this chapter, or to 
57.6 	ensure railroad employee and public safety and welfare.
57.7 		Subd. 2.Railroad company assessment; account; appropriation. (a) As provided 
57.8 	in this subdivision, the commissioner shall annually assess railroad companies that are 
57.9 	(1) defined as common carriers under section 218.011; (2) classified by federal law 
57.10 	or regulation as Class I Railroads, Class I Rail Carriers, Class II Railroads, or Class II 
57.11 	Carriers; and (3) operating in this state.
57.12 	(b) The assessment must be by a division of calculated to allocate state rail 
57.13 	safety inspector inspection program costs in equal proportion between proportionally 
57.14 	among carriers based on route miles operated in Minnesota, assessed in equal amounts 
57.15 	for 365 days of the calendar year at the time of assessment. The commissioner shall 
57.16 	assess include in the assessment calculation all program or additional position start-up 
57.17 	or re-establishment costs,; all related costs of initiating the state rail safety inspector
57.18 	inspection program, including but not limited to inspection, administration, supervision, 
57.19 	travel, equipment, and training; and costs of ongoing state rail inspector duties.
57.20 	(c) The assessments collected under this subdivision must be deposited in a special 
57.21 	account in the special revenue fund, to be known as the state rail safety inspection account, 
57.22 	which is established in the special revenue fund. The account consists of funds as provided 
57.23 	by this subdivision, and any other money donated, allotted, transferred, or otherwise 
57.24 	provided to the account. Money in the account is appropriated to the commissioner for 
57.25 	the establishment and ongoing responsibilities of the state rail safety inspector inspection
57.26 	program.
57.27 		Subd. 3.Work site safety coaching program. The commissioner may exempt a 
57.28 	common carrier not federally classified as Class I from violations for a period of up to 
57.29 	two years if the common carrier applies for participation in a work site safety coaching 
57.30 	program, such as the "MNSharp" program administered by the Minnesota Department of 
57.31 	Labor and Industry, and the commissioner determines such participation to be preferred 
57.32 	enforcement for safety or security violations.
57.33 		Subd. 4.Appeal. Any person aggrieved by an assessment levied under this section 
57.34 	may appeal within 90 days any assessment, violation, or administrative penalty to the 
57.35 	Office of Administrative Hearings, with further appeal and review by the district court.

57.36 	EFFECTIVE DATE. This section is effective the day following final enactment.

58.1 	Sec. 7. INTERSTATE 94 WIRE ROPE SAFETY BARRIERS.
 58.2 	The commissioner of transportation must install wire rope safety barriers or another 
58.3 	equivalent safety device along the center median of the segment of marked Interstate 
58.4 	Highway 94 between Huron Boulevard and Cretin Avenue that does not currently have a 
58.5 	concrete median, wire rope safety barrier, or other equivalent safety device installed.

58.6 	EFFECTIVE DATE. This section is effective the day following final enactment.

58.7 	Sec. 8. TRANSPARENT NOISE BARRIER.
 58.8 	The commissioner of transportation must include transparent panels as part of noise 
58.9 	barrier construction in the area of the interchange at marked Interstate Highway 694 and 
58.10 	marked Interstate Highway 35E.

58.11 	EFFECTIVE DATE. This section is effective the day following final enactment.

58.12 	Sec. 9. CORRIDORS OF COMMERCE PROJECT SELECTION.
 58.13 	Notwithstanding the requirements of Minnesota Statutes, section 161.088, 
58.14 	subdivisions 3 to 5, the commissioner of transportation must include that segment of 
58.15 	marked U.S. Highway 212 from Chaska to Montevideo as an eligible highway in the 
58.16 	next project solicitation and selection process undertaken for the corridors of commerce 
58.17 	program under that section.

58.18 	EFFECTIVE DATE. This section is effective the day following final enactment.

58.19 	Sec. 10. INTERSTATE 94/694/494 INTERCHANGE SAFETY IMPROVEMENT 
58.20 	STUDY.
 58.21 	The commissioner of transportation must conduct a safety improvement study for 
58.22 	the interchange of signed Interstate Highways 94, 694, and 494 in the cities of Woodbury 
58.23 	and Oakdale. At a minimum, the study must provide specific recommendations to 
58.24 	improve the safety of the interchange and include cost estimates for each recommended 
58.25 	improvement. The commissioner must report the findings and recommendations of the 
58.26 	study to the legislative committees having jurisdiction over transportation policy and 
58.27 	finance within 180 days after the effective date of this section.

58.28 	EFFECTIVE DATE. This section is effective the day following final enactment.

59.1 	ARTICLE 3
59.2 	MISCELLANEOUS

59.3 	Section 1. Minnesota Statutes 2015 Supplement, section 16A.967, is amended to read:
59.4 	16A.967 LEWIS AND CLARK APPROPRIATION BONDS.
59.5 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this 
59.6 	section.
59.7 	(b) "Appropriation bond" or "bond" means a bond, note, or other similar instrument 
59.8 	of the state payable during a biennium from one or more of the following sources:
59.9 	(1) money appropriated by law from the general fund in any biennium for debt 
59.10 	service due with respect to obligations described in subdivision 2, paragraph (c) 
59.11 	subdivisions 2a and 2b;
59.12 	(2) proceeds of the sale of obligations described in subdivision 2, paragraph (c) 
59.13 	subdivisions 2a and 2b;
59.14 	(3) payments received for that purpose under agreements and ancillary arrangements 
59.15 	described in subdivision 2, paragraph (e) (d); and
59.16 	(4) investment earnings on amounts in clauses (1) to (3).
59.17 	(c) "Debt service" means the amount payable in any biennium of principal, premium, 
59.18 	if any, and interest on appropriation bonds.
59.19 		Subd. 2.Authorization to issue appropriation bonds. (a) Subject to the limitations 
59.20 	of this subdivision, the commissioner may sell and issue appropriation bonds of the state 
59.21 	under this section for public purposes as provided by law, including, in particular, the 
59.22 	financing of the land acquisition, design, engineering, and construction of facilities and 
59.23 	infrastructure necessary to complete the next phase of the Lewis and Clark Regional Water 
59.24 	System project, including completion of the pipeline to Magnolia, extension of the project 
59.25 	to the Lincoln-Pipestone Rural Water System connection near Adrian, and engineering, 
59.26 	design, and easement acquisition for the final phase of the project to Worthington. No 
59.27 	bonds shall be sold until the commissioner determines that a nonstate match of at least 
59.28 	$9,000,000 is committed to this project phase. Grant agreements entered into under this 
59.29 	section must provide for reimbursement to the state from any federal money provided for 
59.30 	the project, consistent with the Lewis and Clark Regional Water System, Inc., agreement.
59.31 	(b) The appropriation bonds may be issued and sold only after the commissioner 
59.32 	determines that the construction and administration for work done on the project will 
59.33 	comply with (1) all federal requirements and regulations associated with the Lewis and 
59.34 	Clark Rural Water System Act of 2000, and (2) the cooperative agreement between the 
59.35 	United States Department of the Interior and the Lewis and Clark Regional Water System, 
60.1 	Inc. Proceeds of the appropriation bonds must be credited to a special appropriation Lewis 
60.2 	and Clark bond proceeds fund in the state treasury. All income from investment of the 
60.3 	bond proceeds, as estimated by the commissioner, is appropriated to the commissioner for 
60.4 	the payment of principal and interest on the appropriation bonds.
60.5 	(c) Appropriation bonds may be sold and issued in amounts that, in the opinion of 
60.6 	the commissioner, are necessary to provide sufficient money, not to exceed $19,000,000 
60.7 	net of costs of issuance, for the purposes as provided under paragraph (a), and pay debt 
60.8 	service including capitalized interest, costs of issuance, costs of credit enhancement, or 
60.9 	make payments under other agreements entered into under paragraph (e).
60.10 	(d) (c) Appropriation bonds may be issued in one or more issues or series on the 
60.11 	terms and conditions the commissioner determines to be in the best interests of the 
60.12 	state, but the term on any series of appropriation bonds may not exceed 25 years. The 
60.13 	appropriation bonds of each issue and series thereof shall be dated and bear interest, 
60.14 	and may be includable in or excludable from the gross income of the owners for federal 
60.15 	income tax purposes.
60.16 	(e) (d) At the time of, or in anticipation of, issuing the appropriation bonds, and at 
60.17 	any time thereafter, so long as the appropriation bonds are outstanding, the commissioner 
60.18 	may enter into agreements and ancillary arrangements relating to the appropriation bonds, 
60.19 	including but not limited to trust indentures, grant agreements, lease or use agreements, 
60.20 	operating agreements, management agreements, liquidity facilities, remarketing or 
60.21 	dealer agreements, letter of credit agreements, insurance policies, guaranty agreements, 
60.22 	reimbursement agreements, indexing agreements, or interest exchange agreements. Any 
60.23 	payments made or received according to the agreement or ancillary arrangement shall be 
60.24 	made from or deposited as provided in the agreement or ancillary arrangement. The 
60.25 	determination of the commissioner included in an interest exchange agreement that the 
60.26 	agreement relates to an appropriation bond shall be conclusive.
60.27 	(f) (e) The commissioner may enter into written agreements or contracts relating 
60.28 	to the continuing disclosure of information necessary to comply with or facilitate the 
60.29 	issuance of appropriation bonds in accordance with federal securities laws, rules, and 
60.30 	regulations, including Securities and Exchange Commission rules and regulations in Code 
60.31 	of Federal Regulations, title 17, section 240.15c 2-12. An agreement may be in the form 
60.32 	of covenants with purchasers and holders of appropriation bonds set forth in the order or 
60.33 	resolution authorizing the issuance of the appropriation bonds, or a separate document 
60.34 	authorized by the order or resolution.
60.35 	(g) (f) The appropriation bonds are not subject to chapter 16C.
61.1 		Subd. 2a.Project authorization. Appropriation bonds may be sold and issued in 
61.2 	amounts that, in the opinion of the commissioner, are necessary to provide sufficient 
61.3 	money to the Public Facilities Authority under subdivision 7, paragraph (a), not to exceed 
61.4 	$19,000,000 net of costs of issuance, for the purposes as provided under this subdivision, 
61.5 	and pay debt service including capitalized interest, costs of issuance, costs of credit 
61.6 	enhancement, or make payments under other agreements entered into under subdivision 2, 
61.7 	paragraph (d). The bonds authorized by this subdivision are for the purposes of financing 
61.8 	the land acquisition, design, engineering, and construction of facilities and infrastructure 
61.9 	necessary to complete Phase 2 of the Lewis and Clark Regional Water System project, 
61.10 	including completion of the pipeline to Magnolia; extension of the project to the 
61.11 	Lincoln-Pipestone Rural Water System connection near Adrian; and engineering, design, 
61.12 	and easement acquisition for the final phase of the project to Worthington. No bonds shall 
61.13 	be sold under this subdivision until the commissioner determines that a nonstate match of 
61.14 	at least $9,000,000 is committed to this project phase. Upon completion of Phase 2, the 
61.15 	unspent unencumbered portion of the appropriation in this subdivision is available for 
61.16 	the purposes of subdivision 2b.
61.17 		Subd. 2b.Additional project authorization. Appropriation bonds may be sold 
61.18 	and issued in amounts that, in the opinion of the commissioner, are necessary to provide 
61.19 	sufficient money to the Public Facilities Authority under subdivision 7, paragraph (b), 
61.20 	not to exceed $11,500,000 net of costs of issuance, for the purposes as provided under 
61.21 	this subdivision, and pay debt service including capitalized interest, costs of issuance, 
61.22 	costs of credit enhancement, or make payments under other agreements entered into 
61.23 	under subdivision 2, paragraph (d). The bonds authorized by this subdivision are for 
61.24 	the purposes of financing the land acquisition, design, engineering, and construction of 
61.25 	facilities and infrastructure necessary to complete Phase 3 of the Lewis and Clark Regional 
61.26 	Water System project, including extension of the project from the Lincoln-Pipestone 
61.27 	Rural Water System connection near Adrian to Worthington, construction of a reservoir 
61.28 	in Nobles County and a meter building in Worthington, and acquisition and installation 
61.29 	of a supervisory control and data acquisition (SCADA) system. No bonds shall be sold 
61.30 	under this subdivision until the commissioner determines that a nonstate match of at least 
61.31 	$9,000,000 is committed to the final phase of the project.
61.32 		Subd. 3.Form; procedure. (a) Appropriation bonds may be issued in the form 
61.33 	of bonds, notes, or other similar instruments, and in the manner provided in section 
61.34 	16A.672. In the event that any provision of section 16A.672 conflicts with this section, 
61.35 	this section shall control.
62.1 	(b) Every appropriation bond shall include a conspicuous statement of the limitation 
62.2 	established in subdivision 6.
62.3 	(c) Appropriation bonds may be sold at either public or private sale upon such terms 
62.4 	as the commissioner shall determine are not inconsistent with this section and may be sold 
62.5 	at any price or percentage of par value. Any bid received may be rejected.
62.6 	(d) Appropriation bonds must bear interest at a fixed or variable rate.
62.7 	(e) Notwithstanding any other law, appropriation bonds issued under this section 
62.8 	shall be fully negotiable.
62.9 		Subd. 4.Refunding bonds. The commissioner may issue appropriation bonds 
62.10 	for the purpose of refunding any appropriation bonds then outstanding, including the 
62.11 	payment of any redemption premiums on the bonds, any interest accrued or to accrue to 
62.12 	the redemption date, and costs related to the issuance and sale of the refunding bonds. The 
62.13 	proceeds of any refunding bonds may, in the discretion of the commissioner, be applied 
62.14 	to the purchase or payment at maturity of the appropriation bonds to be refunded, to the 
62.15 	redemption of the outstanding appropriation bonds on any redemption date, or to pay 
62.16 	interest on the refunding bonds and may, pending application, be placed in escrow to be 
62.17 	applied to the purchase, payment, retirement, or redemption. Any escrowed proceeds, 
62.18 	pending such use, may be invested and reinvested in obligations that are authorized 
62.19 	investments under section 11A.24. The income earned or realized on the investment may 
62.20 	also be applied to the payment of the appropriation bonds to be refunded or interest or 
62.21 	premiums on the refunded appropriation bonds, or to pay interest on the refunding bonds. 
62.22 	After the terms of the escrow have been fully satisfied, any balance of the proceeds and 
62.23 	any investment income may be returned to the general fund or, if applicable, the special 
62.24 	appropriation Lewis and Clark bond proceeds fund for use in any lawful manner. All 
62.25 	refunding bonds issued under this subdivision must be prepared, executed, delivered, and 
62.26 	secured by appropriations in the same manner as the appropriation bonds to be refunded.
62.27 		Subd. 5.Appropriation bonds as legal investments. Any of the following entities 
62.28 	may legally invest any sinking funds, money, or other funds belonging to them or under 
62.29 	their control in any appropriation bonds issued under this section:
62.30 	(1) the state, the investment board, public officers, municipal corporations, political 
62.31 	subdivisions, and public bodies;
62.32 	(2) banks and bankers, savings and loan associations, credit unions, trust companies, 
62.33 	savings banks and institutions, investment companies, insurance companies, insurance 
62.34 	associations, and other persons carrying on a banking or insurance business; and
62.35 	(3) personal representatives, guardians, trustees, and other fiduciaries.
63.1 		Subd. 6.No full faith and credit; state not required to make appropriations. The 
63.2 	appropriation bonds are not public debt of the state, and the full faith, credit, and taxing 
63.3 	powers of the state are not pledged to the payment of the appropriation bonds or to any 
63.4 	payment that the state agrees to make under this section. Appropriation bonds shall not be 
63.5 	obligations paid directly, in whole or in part, from a tax of statewide application on any 
63.6 	class of property, income, transaction, or privilege. Appropriation bonds shall be payable 
63.7 	in each fiscal year only from amounts that the legislature may appropriate for debt service 
63.8 	for any fiscal year, provided that nothing in this section shall be construed to require the 
63.9 	state to appropriate money sufficient to make debt service payments with respect to the 
63.10 	appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall 
63.11 	no longer be outstanding on the earlier of (1) the first day of a fiscal year for which the 
63.12 	legislature shall not have appropriated amounts sufficient for debt service, or (2) the date 
63.13 	of final payment of the principal of and interest on the appropriation bonds.
63.14 		Subd. 7.Appropriation of proceeds. (a) The proceeds of appropriation bonds 
63.15 	issued under subdivision 2a and interest credited to the special appropriation Lewis and 
63.16 	Clark bond proceeds fund are appropriated as follows:
63.17 	(1) to the commissioner Public Facilities Authority for a grant to the Lewis and 
63.18 	Clark Joint Powers Board for payment of capital expenses for the purposes provided by as 
63.19 	specified in subdivision 2, paragraph (a), 2a; and
63.20 	(2) to the commissioner for debt service on the bonds including capitalized interest, 
63.21 	nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds and 
63.22 	payments under any agreements entered into under subdivision 2, paragraph (e) (d), each 
63.23 	as permitted by state and federal law, and such proceeds may be granted, loaned, or 
63.24 	otherwise provided for the public purposes provided by subdivision 2, paragraph (a).
63.25 	(b) The proceeds of appropriation bonds issued under subdivision 2b and interest 
63.26 	credited to the special appropriation Lewis and Clark bond proceeds fund are appropriated 
63.27 	as follows:
63.28 	(1) to the Public Facilities Authority for a grant to the Lewis and Clark Joint Powers 
63.29 	Board for payment of capital expenses as specified in subdivision 2b; and
63.30 	(2) to the commissioner for debt service on the bonds including capitalized interest, 
63.31 	nonsalary costs of issuance of the bonds, costs of credit enhancement of the bonds, and 
63.32 	payments under any agreements entered into under subdivision 2, paragraph (d), each as 
63.33 	permitted by state and federal law.
63.34 		Subd. 8.Appropriation for debt service and other purposes. (a) An amount, up 
63.35 	to $1,351,000 needed to pay principal and interest on appropriation bonds issued under 
63.36 	this section subdivision 2a is appropriated each fiscal year from the general fund to the 
64.1 	commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, 
64.2 	otherwise pursuant to subdivision 6, for deposit into the bond payments account established 
64.3 	for such purpose in the special Lewis and Clark appropriation bond proceeds fund. The 
64.4 	appropriation is available beginning in fiscal year 2017 and through fiscal year 2038.
64.5 	(b) An amount up to $855,000 needed to pay principal and interest on appropriation 
64.6 	bonds issued under subdivision 2b is appropriated each fiscal year from the general fund to 
64.7 	the commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, 
64.8 	otherwise pursuant to subdivision 6, for deposit into the bond payments account established 
64.9 	for such purpose in the special Lewis and Clark appropriation bond proceeds fund. The 
64.10 	appropriation is available beginning in fiscal year 2018 and through fiscal year 2039.
64.11 		Subd. 9.Waiver of immunity. The waiver of immunity by the state provided for 
64.12 	by section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any 
64.13 	ancillary contracts to which the commissioner is a party.

64.14 	Sec. 2. Minnesota Statutes 2014, section 85.34, subdivision 1, is amended to read:
64.15 		Subdivision 1.Upper bluff; lease terms. The commissioner of natural resources 
64.16 	with the approval of the Executive Council may lease for purposes of restoration, 
64.17 	preservation, historical, recreational, educational, and commercial use and development, 
64.18 	that portion of Fort Snelling State Park known as the upper bluff consisting of officer's 
64.19 	row, area J, the polo grounds, the adjacent golf course, and all buildings and improvements 
64.20 	located thereon, all lying within an area bounded by Minneapolis-St. Paul International 
64.21 	Airport, Trunk Highways numbered 5 and 55, and Bloomington Road. The lease or leases 
64.22 	shall be in a form approved by the attorney general and for a term of not to exceed 99 
64.23 	years. The lease or leases may provide for the provision of capital improvements or other 
64.24 	performance by the tenant or tenants in lieu of all or some of the payments of rent that 
64.25 	would otherwise be required. Notwithstanding the continuing ownership of the upper bluff 
64.26 	by the state, any lease of one or more buildings improved with state general obligation 
64.27 	bond proceeds that exceeds 50 years shall be treated as a sale of the buildings for purposes 
64.28 	of section 16A.695, subdivision 3. Any disposition proceeds payable to the commissioner 
64.29 	upon execution of any lease relating to state bond financed buildings at the upper bluff 
64.30 	shall be applied in accordance with the requirements of section 16A.695, subdivision 3, 
64.31 	and used to pay, redeem, or defease state general obligation bonds issued for purposes of 
64.32 	improving those buildings. Any lease revenues paid to the commissioner subsequent to 
64.33 	the payment, redemption, or defeasance of state general obligation bonds shall be used 
64.34 	by the commissioner as further described in this section.

65.1 	Sec. 3. Minnesota Statutes 2014, section 116J.431, subdivision 1, is amended to read:
65.2 		Subdivision 1.Grant program established; purpose. (a) The commissioner shall 
65.3 	make grants to counties or cities to provide up to 50 percent of the capital costs of public 
65.4 	infrastructure necessary for an eligible economic development project. The county or city 
65.5 	receiving a grant must provide for the remainder of the costs of the project, either in cash 
65.6 	or in kind. In-kind contributions may include the value of site preparation other than the 
65.7 	public infrastructure needed for the project.
65.8 	(b) The purpose of the grants made under this section is to keep or enhance jobs in 
65.9 	the area, increase the tax base, or to expand or create new economic development.
65.10 	(c) In awarding grants under this section, the commissioner must adhere to the 
65.11 	criteria under subdivision 4.
65.12 	(d) If the commissioner awards a grant for less than 50 percent of the project, the 
65.13 	commissioner shall provide the applicant and the chairs and ranking minority members 
65.14 	of the senate and house of representatives committees with jurisdiction over economic 
65.15 	development finance a written explanation of the reason less than 50 percent of the capital 
65.16 	costs were awarded in the grant.

65.17 	Sec. 4. Minnesota Statutes 2014, section 116J.431, subdivision 6, is amended to read:
65.18 		Subd. 6.Maximum grant amount. A county or city may receive no more than 
65.19 	$1,000,000 $2,000,000 in two years for one or more projects.

65.20 	Sec. 5. Minnesota Statutes 2014, section 174.52, subdivision 2, is amended to read:
65.21 		Subd. 2.Trunk highway corridor projects Local cost-share assistance  account.
 65.22 	A trunk highway corridor projectslocal cost-share assistance account is established in 
65.23 	the local road improvement fund. Money in the account is annually appropriated to the 
65.24 	commissioner of transportation for expenditure as specified in this section. Money in the 
65.25 	account must be used as grants or loans to statutory or home rule charter cities, towns, and 
65.26 	counties to assist in paying the local share of trunk highway projects that have local costs 
65.27 	that are directly or partially related to the trunk highway improvement and that are not 
65.28 	funded or are only partially funded with other state and federal funds. The commissioner 
65.29 	shall determine the amount of the local share of costs eligible for assistance from the 
65.30 	account.

65.31 	Sec. 6. [219.016] HAZARDOUS MATERIALS RAIL SAFETY ACCOUNT AND 
65.32 	GRANT PROGRAM.
66.1 		Subdivision 1.Purpose. A hazardous materials rail safety program is established for 
66.2 	the purpose of reducing the risks associated with transporting hazardous material by rail.
66.3 		Subd. 2.Creation of account. A hazardous materials rail safety program account is 
66.4 	established in the bond proceeds fund. Money in the account may only be used for capital 
66.5 	costs associated with planning, engineering, administration, and construction of public 
66.6 	highway-rail grade crossing improvements on rail corridors transporting crude oil and 
66.7 	other hazardous materials. Improvements may include upgrades to existing protection 
66.8 	systems, the closing of crossings and necessary roadwork, and reconstruction of at-grade 
66.9 	crossings to full grade separations.
66.10 		Subd. 3.Grants. The commissioner may approve grants for financial assistance to 
66.11 	eligible applicants for capital costs associated with hazardous materials rail safety projects 
66.12 	on public highway-rail grade crossings. Qualifying capital costs include, but are not 
66.13 	limited to, upgrades to existing protection systems, the closing of crossings and necessary 
66.14 	roadwork, and reconstruction of at-grade crossings to full grade separations.
66.15 		Subd. 4.Eligible applicants. Counties, statutory or home rule charter cities, or 
66.16 	towns that are responsible for establishing and maintaining public highway-rail grade 
66.17 	crossings on rail corridors transporting crude oil and other hazardous materials may apply 
66.18 	to the commissioner for financial assistance for the purposes in this section.
66.19 		Subd. 5.Criteria for grant award. The commissioner shall consider the following 
66.20 	criteria to evaluate applications for a grant award for a hazardous materials rail safety 
66.21 	project:
66.22 	(1) whether the crossing was identified as a potential candidate for grade separation 
66.23 	in MnDOT's crude by rail grade crossing study (Improvements to Highway Grade 
66.24 	Crossings and Rail Safety, December 2014);
66.25 	(2) roadway traffic volumes and speeds;
66.26 	(3) train volumes and speeds;
66.27 	(4) adjacent land use;
66.28 	(5) crash history;
66.29 	(6) use of the crossing by emergency vehicles;
66.30 	(7) use of the crossing by vehicles carrying hazardous materials;
66.31 	(8) local financial contributions to the project; and
66.32 	(9) private financial contributions to the project.

66.33 	Sec. 7. Minnesota Statutes 2014, section 446A.072, is amended to read:
66.34 	446A.072 WASTEWATER WATER INFRASTRUCTURE FUNDING 
66.35 	PROGRAM.
67.1 		Subdivision 1.Establishment of program. The authority will establish a 
67.2 	wastewater water infrastructure funding program to provide supplemental assistance to 
67.3 	governmental units receiving funding through the clean water revolving fund program, the 
67.4 	drinking water revolving fund program, or the United States Department of Agriculture 
67.5 	Rural Economic and Community Development's (USDA/RECD) Water and Waste 
67.6 	Disposal Loans and Grants program for the predesign, design, and construction of 
67.7 	municipal wastewater treatment and drinking water systems, including purchase of land 
67.8 	and easements. The purpose of the program is to assist governmental units demonstrating 
67.9 	financial need to build cost-effective projects to address existing environmental or public 
67.10 	health problems. To implement the program, the authority shall establish a wastewater 
67.11 	water infrastructure fund to provide grants and loans for the purposes authorized under 
67.12 	title VI of the Federal Water Pollution Control Act and the federal Safe Drinking Water 
67.13 	Act. The fund shall be credited with all investment income from the fund and all 
67.14 	repayments of loans, grants, and penalties.
67.15 		Subd. 3.Program administration. (a) The authority shall provide supplemental 
67.16 	assistance, as provided in subdivision 5a to governmental units:
67.17 	(1) whose projects are listed on the Pollution Control Agency's project priority list or 
67.18 	the commissioner of health's project priority list;
67.19 	(2) that demonstrate their projects are a cost-effective solution to an existing 
67.20 	environmental or public health problem; and
67.21 	(3) whose projects are approved by the USDA/RECD or certified by the 
67.22 	commissioner of the Pollution Control Agency or the commissioner of health.
67.23 	(b) For a governmental unit receiving grant funding from the USDA/RECD, 
67.24 	applications must be made to the USDA/RECD with additional information submitted to 
67.25 	the authority as required by the authority. Eligible project costs and affordability criteria 
67.26 	shall be determined by the USDA/RECD.
67.27 	(c) For a governmental unit not receiving grant funding from the USDA/RECD, 
67.28 	application must be made to the authority on forms prescribed by the authority for the 
67.29 	clean water revolving fund program or the drinking water revolving fund program with 
67.30 	additional information as required by the authority. In accordance with section 116.182, 
67.31 	the Pollution Control Agency or the commissioner of health shall:
67.32 	(1) calculate the essential project component percentage based on the portion of 
67.33 	project costs necessary to convey or treat the existing wastewater flows and loadings or, 
67.34 	for drinking water projects, to provide safe drinking water to meet existing needs, which 
67.35 	must be multiplied by the total project cost to determine the eligible project cost for the 
67.36 	program under this section; and
68.1 	(2) review and certify approved projects to the authority.
68.2 	(d) Each fiscal year the authority shall make funds available for projects based on 
68.3 	their ranking on the Pollution Control Agency's project priority list or the commissioner 
68.4 	of health's project priority list. The authority shall reserve funds for a project when 
68.5 	the applicant receives a funding commitment from the United States Department of 
68.6 	Agriculture Rural Development (USDA/RECD) or submits plans and specifications to
68.7 	the project is certified by the Pollution Control Agency or the commissioner of health. 
68.8 	Funds must be reserved in an amount based on the project cost estimate submitted to the 
68.9 	authority prior to the appropriation of the funds and awarded based on the lesser of that 
68.10 	amount or the as-bid cost when the project is certified or the as-bid cost, whichever is less.
68.11 		Subd. 5a.Type and amount of assistance. (a) For a governmental unit receiving 
68.12 	grant funding from the USDA/RECD, the authority may provide assistance in the form 
68.13 	of a grant of up to 65 percent of the eligible grant need determined by USDA/RECD. A 
68.14 	governmental unit may not receive a grant under this paragraph for more than $4,000,000 
68.15 	$5,000,000 per project or $15,000 $20,000 per existing connection, whichever is less, 
68.16 	unless specifically approved by law.
68.17 	(b) For a governmental unit receiving a loan from the clean water revolving fund 
68.18 	under section 446A.07, the authority may provide assistance under this section in the form 
68.19 	of a grant if the average annual residential wastewater system cost after completion of the 
68.20 	project would otherwise exceed 1.4 percent of the median household income of the project 
68.21 	service area. In determining whether the average annual residential wastewater system 
68.22 	cost would exceed 1.4 percent, the authority must consider the total costs associated with 
68.23 	building, operating, and maintaining the wastewater system, including existing wastewater 
68.24 	debt service, debt service on the eligible project cost, and operation and maintenance 
68.25 	costs. Debt service costs for the proposed project are calculated based on the maximum 
68.26 	loan term permitted for the clean water revolving fund loan under section 446A.07, 
68.27 	subdivision 7. The amount of the grant is equal to 80 percent of the amount needed to 
68.28 	reduce the average annual residential wastewater system cost to 1.4 percent of median 
68.29 	household income in the project service area, to a maximum of $4,000,000 $5,000,000 per 
68.30 	project or $15,000 $20,000 per existing connection, whichever is less, unless specifically 
68.31 	approved by law. The eligible project cost is determined by multiplying the total project 
68.32 	costs minus any other grants by the essential project component percentage calculated 
68.33 	under subdivision 3, paragraph (c), clause (1). In no case may the amount of the grant 
68.34 	exceed 80 percent of the eligible project cost.
68.35 	(c) For a governmental unit receiving a loan from the drinking water revolving 
68.36 	fund under section 446A.081, the authority may provide assistance under this section in 
69.1 	the form of a grant if the average annual residential drinking water system cost after 
69.2 	completion of the project would otherwise exceed 1.2 percent of the median household 
69.3 	income of the project service area. In determining whether the average annual residential 
69.4 	drinking water system cost would exceed 1.2 percent, the authority must consider the total 
69.5 	costs associated with building, operating, and maintaining the drinking water system, 
69.6 	including existing drinking water debt service, debt service on the eligible project cost, 
69.7 	and operation and maintenance costs. Debt service costs for the proposed project are 
69.8 	calculated based on the maximum loan term permitted for the drinking water revolving 
69.9 	fund loan under section 446A.081, subdivision 8, paragraph (c). The amount of the grant 
69.10 	is equal to 80 percent of the amount needed to reduce the average annual residential 
69.11 	drinking water system cost to 1.2 percent of median household income in the project 
69.12 	service area, to a maximum of $5,000,000 per project or $20,000 per existing connection, 
69.13 	whichever is less, unless specifically approved by law. The eligible project cost is 
69.14 	determined by multiplying the total project costs minus any other grants by the essential 
69.15 	project component percentage calculated under subdivision 3, paragraph (c), clause (1). In 
69.16 	no case may the amount of the grant exceed 80 percent of the eligible project cost.
69.17 	(c) (d) Notwithstanding the limits in paragraphs (a) and, (b), and (c), for a 
69.18 	governmental unit receiving supplemental assistance under this section after January 1, 
69.19 	2002, if the authority determines that the governmental unit's construction and installation 
69.20 	costs are significantly increased due to geological conditions of crystalline bedrock or karst 
69.21 	areas and discharge limits that are more stringent than secondary treatment, the maximum 
69.22 	award under this section shall not be more than $25,000 per existing connection.
69.23 		Subd. 5b.Special assessment deferral. A governmental unit receiving a loan 
69.24 	under subdivision 5a that levies special assessments to repay the loan under subdivision 
69.25 	5a or section 446A.07 may defer payment of such assessments under the provisions of 
69.26 	sections 435.193 to 435.195.
69.27 		Subd. 6.Disbursements. Disbursements of grants or loans awarded under this 
69.28 	section by the authority to recipients must be made for eligible project costs as incurred by 
69.29 	the recipients, and must be made by the authority in accordance with the project financing 
69.30 	agreement and applicable state and federal laws and rules governing the payments.
69.31 		Subd. 7.Loan repayments. Notwithstanding the limitations set forth in section 
69.32 	475.54, subdivision 1, this subdivision shall govern the maturities and mandatory sinking 
69.33 	fund redemptions of the loans under this section. A governmental unit receiving a loan 
69.34 	under this section shall repay the loan in semiannual payment amounts determined by 
69.35 	the authority. The payment amount must be based on the average payments on the 
69.36 	governmental unit's clean water revolving fund loan or, if greater, the minimum amount 
70.1 	required to fully repay the loan by the maturity date. Payments must begin within one year 
70.2 	of the date of the governmental unit's final payment on the clean water revolving fund 
70.3 	loan. The final maturity date of the loan under this section must be no later than 20 years 
70.4 	from the date of the first payment on the loan under this section and no later than 40 years 
70.5 	from the date of the first payment on the clean water revolving fund loan.
70.6 		Subd. 8.Eligibility. A governmental unit is eligible for assistance under this section 
70.7 	only after applying for grant funding from other sources and funding has been obtained, 
70.8 	rejected, or the authority has determined that the potential funding is unlikely.
70.9 		Subd. 9.Funding limitation. Supplemental assistance may not be used to reduce 
70.10 	the sewer service charges of a significant wastewater contributor industrial user that has a 
70.11 	separate service charge agreement with the recipient, or a single user that has caused the 
70.12 	need for the project or whose current or projected flow and load exceed usage exceeds 
70.13 	one-half of the current wastewater treatment plant's or drinking water system capacity.
70.14 		Subd. 11.Report on needs. By February 1 of each even-numbered year, the 
70.15 	authority, in conjunction with the Pollution Control Agency and the commissioner of 
70.16 	health, shall prepare a report to the Finance Division of the senate Environment and 
70.17 	Natural Resources Committee and the house of representatives Environment and Natural 
70.18 	Resources Finance Committee on wastewater and drinking water funding assistance needs 
70.19 	of governmental units under this section.
70.20 		Subd. 12.System replacement fund. Each governmental unit receiving a loan or 
70.21 	grant under this section shall establish a system replacement fund and shall annually 
70.22 	deposit a minimum of $.50 per 1,000 gallons of flow for major rehabilitation or, expansion, 
70.23 	or replacement of the treatment wastewater or drinking water system, or replacement of 
70.24 	the treatment system at the end of its useful life. Money must remain in the account for the 
70.25 	life of the corresponding project loan from the authority or USDA/RECD, unless use of 
70.26 	the fund is approved in writing by the authority for major rehabilitation, expansion, or 
70.27 	replacement of the treatment wastewater or drinking water system. By March 1 each year 
70.28 	during the life of the loan, each recipient shall submit a report to the authority regarding 
70.29 	the amount deposited and the fund balance for the prior calendar year. A recipient is not 
70.30 	required to maintain a fund balance greater than the amount of the grant received. Failure 
70.31 	to comply with the requirements of this subdivision shall result in the authority assessing a 
70.32 	penalty fee to the recipient equal to one percent of the supplemental assistance amount for 
70.33 	each year of noncompliance. Failure to make the required deposit or pay the penalty fee as 
70.34 	required constitutes a default on the loan.
71.1 		Subd. 14.Consistency with land use plans. A governmental unit applying for a 
71.2 	project in an unsewered area shall include in its application to the authority a certification 
71.3 	from the county in which the project is located that:
71.4 	(1) the project is consistent with the county comprehensive land use plan, if the 
71.5 	county has adopted one;
71.6 	(2) the project is consistent with the county water plan, if the county has adopted 
71.7 	one; and
71.8 	(3) the county has adopted specific land use ordinances or controls so as to meet or 
71.9 	exceed the requirements of Minnesota Rules, part 7080.0305.

71.10 	Sec. 8. Minnesota Statutes 2014, section 446A.073, as amended by Laws 2015, First 
71.11 	Special Session chapter 4, article 4, sections 127, 128, and 129, is amended to read:
71.12 	446A.073 POINT SOURCE IMPLEMENTATION GRANTS.
71.13 		Subdivision 1.Program established. When money is appropriated for grants 
71.14 	under this program, the authority shall award grants up to a maximum of $3,000,000 
71.15 	$7,000,000 to governmental units to cover up to one-half 80 percent of the cost of water 
71.16 	infrastructure projects made necessary by:
71.17 	(1) a wasteload reduction prescribed under a total maximum daily load plan required 
71.18 	by section 303(d) of the federal Clean Water Act, United States Code, title 33, section 
71.19 	1313(d);
71.20 	(2) a phosphorus concentration or mass limit which requires discharging one 
71.21 	milligram per liter or less at permitted design flow which is incorporated into a permit 
71.22 	issued by the Pollution Control Agency;
71.23 	(3) any other water quality-based effluent limit established under section 115.03, 
71.24 	subdivision 1, paragraph (e), clause (8), and incorporated into a permit issued by the 
71.25 	Pollution Control Agency that exceeds secondary treatment limits; or
71.26 	(4) a total nitrogen concentration or mass limit of that requires discharging ten 
71.27 	milligrams per liter or less for a land-based treatment system at permitted design flow.
71.28 		Subd. 2.Grant application. Application for a grant must be made to the authority 
71.29 	on forms prescribed by the authority for the total maximum daily load grant program, with 
71.30 	additional information as required by the authority, including a project schedule and cost 
71.31 	estimate for the work necessary to comply with the point source wasteload allocation 
71.32 	requirements listed in subdivision 1. The Pollution Control Agency shall:
71.33 	(1) in accordance with section 116.182, calculate the essential project component 
71.34 	percentage, which must be multiplied by the total project cost to determine the eligible 
71.35 	project cost; and
72.1 	(2) review and certify to the authority those projects that have plans and 
72.2 	specifications approved under section 115.03, subdivision 1, paragraph (f).
72.3 		Subd. 3.Project priorities. When money is appropriated for grants under this 
72.4 	program, The authority shall accept applications under this program during the month of 
72.5 	July and reserve money for projects expected to proceed with construction by the end of 
72.6 	the fiscal year in the order listed on the Pollution Control Agency's project priority list and 
72.7 	in an amount based on the cost estimate submitted to the authority in the grant application 
72.8 	or the as-bid costs, whichever is less. Notwithstanding Minnesota Rules, chapter 7077, 
72.9 	the Pollution Control Agency may rank a drinking water infrastructure project on the 
72.10 	agency's project priority list if the project is necessary to meet an applicable requirement 
72.11 	in subdivision 1.
72.12 		Subd. 4.Grant approval. The authority must make a grant for an eligible project 
72.13 	only after:
72.14 	(1) the applicant has submitted the as-bid cost for the water infrastructure project;
72.15 	(2) the Pollution Control Agency has approved the as-bid costs and certified the 
72.16 	grant eligible portion of the project; and
72.17 	(3) the authority has determined that the additional financing necessary to complete 
72.18 	the project has been committed from other sources.
72.19 		Subd. 5.Grant disbursement. Disbursement of a grant must be made for eligible 
72.20 	project costs as incurred by the governmental unit and in accordance with a project 
72.21 	financing agreement and applicable state and federal laws and rules governing the 
72.22 	payments.

72.23 	Sec. 9. Minnesota Statutes 2014, section 446A.081, subdivision 9, is amended to read:
72.24 		Subd. 9.Other uses of fund. (a) The drinking water revolving loan fund may be 
72.25 	used as provided in the act, including the following uses:
72.26 	(1) to buy or refinance the debt obligations, at or below market rates, of public water 
72.27 	systems for drinking water systems, where the debt was incurred after the date of enactment 
72.28 	of the act, for the purposes of construction of the necessary improvements to comply with 
72.29 	the national primary drinking water regulations under the federal Safe Drinking Water Act;
72.30 	(2) to purchase or guarantee insurance for local obligations to improve credit market 
72.31 	access or reduce interest rates;
72.32 	(3) to provide a source of revenue or security for the payment of principal and 
72.33 	interest on revenue or general obligation bonds issued by the authority if the bond 
72.34 	proceeds are deposited in the fund;
73.1 	(4) to provide loans or loan guarantees for similar revolving funds established by a 
73.2 	governmental unit or state agency;
73.3 	(5) to earn interest on fund accounts;
73.4 	(6) to pay the reasonable costs incurred by the authority, the Department of 
73.5 	Employment and Economic Development, and the Department of Health for conducting 
73.6 	activities as authorized and required under the act up to the limits authorized under the act;
73.7 	(7) to develop and administer programs for water system supervision, source water 
73.8 	protection, and related programs required under the act;
73.9 	(8) notwithstanding Minnesota Rules, part 7380.0280, to provide principal 
73.10 	forgiveness or grants to the extent permitted under the federal Safe Drinking Water Act 
73.11 	and other federal law, based on the criteria and requirements established for drinking 
73.12 	water projects under the water infrastructure funding program under section 446A.072;
73.13 	(9) to provide loans, principal forgiveness or grants to the extent permitted under the 
73.14 	federal Safe Drinking Water Act and other federal law to address green infrastructure, water 
73.15 	or energy efficiency improvements, or other environmentally innovative activities; and
73.16 	(10) to provide principal forgiveness, or grants for 50 percent of the project cost up 
73.17 	to a maximum of $10,000 for projects needed to comply with national primary drinking 
73.18 	water standards for an existing community or noncommunity public water system.
73.19 	(b) Principal forgiveness or grants under paragraph (a), clause (8), must only be 
73.20 	provided if the average annual residential drinking water system cost after completion of 
73.21 	the project would otherwise exceed 1.2 percent of the median household income in the 
73.22 	project service area. In determining whether the average annual residential drinking 
73.23 	water system cost would exceed 1.2 percent, the authority must consider the total costs 
73.24 	associated with building, operating, and maintaining the drinking water system, including 
73.25 	debt service and operation and maintenance costs. Debt service costs for the proposed 
73.26 	project must be calculated based on the maximum loan term permitted for the drinking 
73.27 	water revolving fund loan under this section. The amount of the principal forgiveness or 
73.28 	grant must be equal to 80 percent of the amount needed to reduce the average annual 
73.29 	residential drinking water system cost to 1.2 percent of median household income in the 
73.30 	project service area, to a maximum of $4,000,000 or $15,000 per connection, whichever is 
73.31 	less, and not to exceed 80 percent of the total project cost.
73.32 	(c) (b) Principal forgiveness or grants provided under paragraph (a), clause (9), may 
73.33 	not exceed 25 percent of the eligible project costs as determined by the Department of 
73.34 	Health for project components directly related to green infrastructure, water or energy 
73.35 	efficiency improvements, or other environmentally innovative activities, up to a maximum 
73.36 	of $1,000,000.
74.1 	(d) The authority may reduce the percentage of median household income at which a 
74.2 	loan term could extend to 30 years under subdivision 8, paragraph (c), and at which 
74.3 	principal forgiveness or grants could be provided under paragraph (b) if it determines that 
74.4 	the federal money allotted to the state cannot be fully utilized without the reduction. If it 
74.5 	determines that the reduction is necessary to fully utilize the federal money, the authority 
74.6 	must effect the change through its approval of the annual intended use plan.

74.7 	Sec. 10. Minnesota Statutes 2014, section 446A.12, subdivision 1, is amended to read:
74.8 		Subdivision 1.Bonding authority. The authority may issue negotiable bonds in a 
74.9 	principal amount that the authority determines necessary to provide sufficient funds for 
74.10 	achieving its purposes, including the making of loans and purchase of securities, the 
74.11 	payment of interest on bonds of the authority, the establishment of reserves to secure its 
74.12 	bonds, the payment of fees to a third party providing credit enhancement, and the payment 
74.13 	of all other expenditures of the authority incident to and necessary or convenient to carry 
74.14 	out its corporate purposes and powers, but not including the making of grants. Bonds of 
74.15 	the authority may be issued as bonds or notes or in any other form authorized by law. 
74.16 	The principal amount of bonds issued and outstanding under this section at any time 
74.17 	may not exceed $1,500,000,000 $2,000,000,000, excluding bonds for which refunding 
74.18 	bonds or crossover refunding bonds have been issued, and excluding any bonds issued 
74.19 	for the credit enhanced bond program or refunding or crossover refunding bonds issued 
74.20 	under the program. The principal amount of bonds issued and outstanding under section 
74.21 	446A.087, may not exceed $500,000,000, excluding bonds for which refunding bonds or 
74.22 	crossover refunding bonds have been issued.

74.23 	Sec. 11. Minnesota Statutes 2014, section 462A.37, is amended by adding a 
74.24 	subdivision to read:
74.25 		Subd. 2c.Additional authorization. In addition to the amount authorized in 
74.26 	subdivisions 2, 2a, and 2b, the agency may issue up to $35,000,000 in housing infrastructure 
74.27 	bonds in one or more series to which the payments under this section may be pledged.

74.28 	Sec. 12. Minnesota Statutes 2015 Supplement, section 462A.37, subdivision 5, is 
74.29 	amended to read:
74.30 		Subd. 5.Additional appropriation. (a) The agency must certify annually to the 
74.31 	commissioner of management and budget the actual amount of annual debt service on 
74.32 	each series of bonds issued under subdivisions 2a and, 2b, and 2c.
75.1 	(b) Each July 15, beginning in 2015 and through 2037, if any housing infrastructure 
75.2 	bonds issued under subdivision 2a remain outstanding, the commissioner of management 
75.3 	and budget must transfer to the housing infrastructure bond account established under 
75.4 	section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed 
75.5 	$6,400,000 annually. The amounts necessary to make the transfers are appropriated from 
75.6 	the general fund to the commissioner of management and budget.
75.7 	(c) Each July 15, beginning in 2017 and through 2038, if any housing infrastructure 
75.8 	bonds issued under subdivision 2b remain outstanding, the commissioner of management 
75.9 	and budget must transfer to the housing infrastructure bond account established under 
75.10 	section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed 
75.11 	$800,000 annually. The amounts necessary to make the transfers are appropriated from 
75.12 	the general fund to the commissioner of management and budget.
75.13 	(d) Each July 15, beginning in 2018 and through 2039, if any housing infrastructure 
75.14 	bonds issued under subdivision 2c remain outstanding, the commissioner of management 
75.15 	and budget must transfer to the housing infrastructure bond account established under 
75.16 	section 462A.21, subdivision 33, the amount certified under paragraph (a), not to exceed 
75.17 	$2,400,000 annually. The amounts necessary to make the transfers are appropriated from 
75.18 	the general fund to the commissioner of management and budget.
75.19 	(d) (e) The agency may pledge to the payment of the housing infrastructure bonds 
75.20 	the payments to be made by the state under this section.

75.21 	Sec. 13. Laws 2002, chapter 393, section 22, subdivision 6, as amended by Laws 2005, 
75.22 	chapter 20, article 1, section 43, and Laws 2013, chapter 136, section 10, is amended to 
75.23 	read:

75.24
75.25	Subd. 6.Fergus Falls Regional Treatment 
Center
 				3,000,000
	
75.26 	To design, renovate, construct, furnish, 
75.27 	and equip ancillary support and program 
75.28 	facilities, including improvements to basic 
75.29 	infrastructure, such as sanitary and storm 
75.30 	sewer and water lines, public streets, 
75.31 	curb, gutter, street lights, or sidewalks, to 
75.32 	make improvements for building envelope 
75.33 	and structural integrity for the purposes 
75.34 	of stabilizing the buildings for sale, for 
75.35 	hazardous materials abatement, and for 
76.1 	demolition of all or portions of surplus, 
76.2 	nonfunctional, or deteriorated facilities 
76.3 	and infrastructure or to renovate surplus, 
76.4 	nonfunctional, or deteriorated facilities and 
76.5 	infrastructure to facilitate the redevelopment 
76.6 	of the Fergus Falls Regional Treatment 
76.7 	Center campus. If the property is sold or 
76.8 	transferred to a local unit of government, the 
76.9 	unspent portion of this appropriation may be 
76.10 	granted to the local unit of government that 
76.11 	acquires the campus for the purposes stated 
76.12 	in this subdivision.
76.13 	Notwithstanding Minnesota Statutes, section 
76.14 	16A.642, the bond sale authorization and 
76.15 	appropriation of bond proceeds in this 
76.16 	subdivision are available until December 31, 
76.17 	2016 2018.

76.18 	Sec. 14. Laws 2012, chapter 293, section 7, subdivision 3, is amended to read:

76.19
76.20	Subd. 3.Dam Repair, Reconstruction, and 
Removal
 				3,000,000
	
76.21 	To renovate or remove publicly owned dams. 
76.22 	The commissioner shall determine project 
76.23 	priorities as appropriate under Minnesota 
76.24 	Statutes, sections 103G.511 and 103G.515.
76.25 	Notwithstanding the match requirements 
76.26 	in Minnesota Statutes, section 103G.511, 
76.27 	a grant to the city of Lanesboro does not 
76.28 	require any nonstate match.

76.29 	Sec. 15. Laws 2014, chapter 294, article 1, section 7, subdivision 15, is amended to read:

76.30	Subd. 15.Grant County Trail Grant
 				100,000
	
76.31 	For a grant to Grant County for predesign, 
76.32 	acquisition, and or improvements for a trail 
76.33 	from the city of Elbow Lake to Pomme de 
77.1 	Terre Lake. The commissioner of natural 
77.2 	resources may allocate any amount not 
77.3 	needed to complete this project to state 
77.4 	trail acquisition and improvements under 
77.5 	Minnesota Statutes, section 85.015.

77.6 	Sec. 16. Laws 2014, chapter 294, article 1, section 17, subdivision 6, is amended to read:

77.7
77.8	Subd. 6.Inver Grove Heights - Heritage 
Village Park
 				2,000,000
	
77.9 	$1,500,000 of this appropriation is for a 
77.10 	grant to the city of Inver Grove Heights 
77.11 	and $500,000 of this appropriation is for a 
77.12 	grant to Dakota County. This appropriation 
77.13 	is for public infrastructure improvements 
77.14 	and land acquisition in and adjacent to the 
77.15 	Heritage Village Park, the Mississippi River 
77.16 	Trail, and the Rock Island Swing Bridge. 
77.17 	These improvements will include but are 
77.18 	not limited to motor vehicle access, utility 
77.19 	service, stormwater treatment, and trail and 
77.20 	sidewalk connections. This appropriation 
77.21 	is not available until the commissioner of 
77.22 	management and budget has determined that 
77.23 	at least an equal amount has been committed 
77.24 	to the project from nonstate sources.

77.25 	Sec. 17. Laws 2014, chapter 294, article 1, section 17, subdivision 12, is amended to 
77.26 	read:

77.27
77.28	Subd. 12.West St. Paul - North UrbanRiver 
to River Regional Trail Bridge Greenway
 				2,000,000
	
77.29 	For a grant to the city of West St. Paul to 
77.30 	predesign, design, and construct a pedestrian 
77.31 	bridge for the North Urban Regional Trail 
77.32 	as an overpassgrade separated crossing of 
77.33 	Robert Street in the area near Wentworth 
77.34 	Avenue in West St. Paul for the River to River 
78.1 	Regional Greenway. This appropriation may 
78.2 	also be used to acquire property or purchase 
78.3 	rights-of-way needed for bridge construction. 
78.4 	A nonstate match is not required.

78.5 	Sec. 18. Laws 2015, First Special Session chapter 5, article 1, section 10, subdivision 
78.6 	3, is amended to read:

78.7
78.8	Subd. 3.Local Road Improvement Fund 
Grants
 				8,910,000
	
78.9 	(a) From the bond proceeds account in 
78.10 	the state transportation fund as provided 
78.11 	in Minnesota Statutes, section 174.50, for 
78.12 	construction and reconstruction of local 
78.13 	roads with statewide or regional significance 
78.14 	under Minnesota Statutes, section 174.52, 
78.15 	subdivision 4, or for grants to counties to 
78.16 	assist in paying the costs of rural road safety 
78.17 	capital improvement projects on county 
78.18 	state-aid highways under Minnesota Statutes, 
78.19 	section 174.52, subdivision 4a.
78.20 	(b) This appropriation includes $850,000 for 
78.21 	a grant to the city of Sandstone for predesign, 
78.22 	design, engineering, and construction of a 
78.23 	road extending south off of marked Trunk 
78.24 	Highway 23 across from Lundorff Drive 
78.25 	to the airport area, and including a bridge 
78.26 	over Skunk Creek in Sandstone, in order to 
78.27 	facilitate repurposing of an area of the airport 
78.28 	into a business park. This appropriation 
78.29 	is not available until the commissioner of 
78.30 	management and budget determines that 
78.31 	sufficient resources to complete the project 
78.32 	are committed to it from other sources, 
78.33 	including any funds made available from the 
78.34 	commissioner of transportation.
79.1 	(c) This appropriation includes $3,770,000 
79.2 	for a grant to Kandiyohi County for 
79.3 	construction and reconstruction of local 
79.4 	roads to facilitate the construction of 
79.5 	highway-rail grade separations at U.S. 
79.6 	Highway 12 and Minnesota Highway 40 
79.7 	as part ofone or more of the following 
79.8 	highway-rail intersections associated with 
79.9 	the Willmar Wye project: U.S. Highway 12, 
79.10 	marked Trunk Highway 40, and Kandiyohi 
79.11 	County State-Aid Highway 55.

79.12 	Sec. 19. NATIONAL SPORTS CENTER; LEASE.
 79.13 	Notwithstanding Minnesota Statutes, sections 16A.695, 16B.24, and 240A.03, 
79.14 	subdivision 6, the Minnesota Amateur Sports Commission may lease for educational 
79.15 	purposes that portion of property described as a portion of the property acquired by the 
79.16 	commission pursuant to Laws 1987, chapter 400, section 8, subdivision 3, not currently 
79.17 	needed for amateur sports purposes to Independent School District No. 16, Spring Lake 
79.18 	Park. The lease shall be in a form approved by the attorney general and for a term not 
79.19 	to exceed 99 years. The lease may provide for the provision of capital improvements or 
79.20 	other performance by the tenant in lieu of all or some of the payments of rent that would 
79.21 	otherwise be required. Any lease revenues paid to the commission are appropriated to 
79.22 	the commission.

79.23 	Sec. 20. REPORT ON FUTURE OF GLENSHEEN.
 79.24 	The Board of Regents of the University of Minnesota must develop a plan for the 
79.25 	future of Glensheen, the historic Congdon estate in Duluth, in cooperation and consultation 
79.26 	with the city of Duluth, the Minnesota Historical Society, and other interested parties. The 
79.27 	plan must address facility ownership, a multiphased asset renewal plan, programmatic 
79.28 	operations, and cultural interpretation. The plan must be submitted by January 16, 2017, 
79.29 	to the chairs and ranking minority members of the legislative committees with jurisdiction 
79.30 	over higher education policy and finance, and capital investment, and as provided in 
79.31 	Minnesota Statutes, section 3.195.

79.32 	Sec. 21. COMMISSIONER OF ADMINISTRATION REPORT - FUNDING 
79.33 	FOR ASSET PRESERVATION.
 80.1 		Subdivision 1.Report. By November 15, 2016, the commissioner of administration 
80.2 	shall report to the chairs and ranking minority members of the committees in the senate 
80.3 	with jurisdiction over finance and capital investment and in the house of representatives 
80.4 	with jurisdiction over ways and means and capital investment, with recommendations for 
80.5 	sustainable, reliable, predictable funding for preservation of capital assets owned by 
80.6 	agencies.
80.7 		Subd. 2.Funding options and approaches. The report shall assess the feasibility of 
80.8 	implementing the following options and may include evaluation of other feasible options:
80.9 	(1) establishing a standing appropriation from the general fund to pay a portion of 
80.10 	certified asset preservation needs;
80.11 	(2) establishing a standing appropriation from the bond proceeds fund, and 
80.12 	authorizing the sale of general obligation bonds, to pay a portion of certified asset 
80.13 	preservation needs;
80.14 	(3) dedicating a specified portion of fees collected by agencies to use for asset 
80.15 	preservation; and
80.16 	(4) shifting asset preservation from the capital budget to the operating budget so that 
80.17 	asset preservation is built into the base budget.
80.18 	Evaluations should include a comparison to current law and practice.
80.19 		Subd. 3.Demolition. The report shall evaluate whether the metrics and process 
80.20 	used by each agency to recommend demolition of capital assets are comprehensive enough 
80.21 	to reflect what is in the best interest of the state.
80.22 		Subd. 4.Definition. "Agencies" as used in this section means all executive branch 
80.23 	agencies, the Board of Regents of the University of Minnesota, and the Board of Trustees 
80.24 	of Minnesota State Colleges and Universities.

80.25 	Sec. 22.  REPEALER.
 80.26 	Minnesota Statutes 2014, section 123A.446, is repealed.

80.27 	Sec. 23. EFFECTIVE DATE.
 80.28 	Except as otherwise provided, this article is effective the day following final 
80.29 	enactment.

80.30 	ARTICLE 4
80.31 	RAIL TRANSPORTATION

80.32 	Section 1. Minnesota Statutes 2014, section 13.6905, is amended by adding a 
80.33 	subdivision to read:
81.1 		Subd. 34.Oil and other hazardous substances transportation data. Certain 
81.2 	data on oil and other hazardous substances transportation by railroads are governed by 
81.3 	section 219.925, subdivision 7.

81.4 	Sec. 2. Minnesota Statutes 2014, section 13.7411, is amended by adding a subdivision 
81.5 	to read:
81.6 		Subd. 10.Prevention and response plans. Certain data on prevention and response 
81.7 	plans are governed by section 115E.042, subdivision 7.

81.8 	Sec. 3. Minnesota Statutes 2014, section 115E.042, is amended to read:
81.9 	115E.042 PREPAREDNESS AND RESPONSE FOR CERTAIN RAILROADS.
81.10 		Subdivision 1.Application. In addition to the requirements of section 115E.04, 
81.11 	a person who owns or operates railroad car rolling stock transporting a unit train must 
81.12 	comply with this section.
81.13 		Subd. 2.Training. (a) Each railroad must offer training to each fire department, 
81.14 	and each local organization for emergency management under section 12.25, having 
81.15 	jurisdiction along the route of unit trains routes over which oil and other hazardous 
81.16 	substances are transported. Initial training under this subdivision must be offered to each 
81.17 	fire department by June 30, 2016, and Refresher training must be offered to each fire 
81.18 	department and local organization for emergency management at least once every three 
81.19 	years thereafter after initial training under this subdivision.
81.20 	(b) The training must address the general hazards of oil and hazardous substances, 
81.21 	techniques to assess hazards to the environment and to the safety of responders and the 
81.22 	public, factors an incident commander must consider in determining whether to attempt to 
81.23 	suppress a fire or to evacuate the public and emergency responders from an area, and other 
81.24 	strategies for initial response by local emergency responders. The training must include 
81.25 	suggested protocol or practices for local responders to safely accomplish these tasks
81.26 	identification of rail cars and their hazardous substance contents, responder safety issues, 
81.27 	rail response tactics, public evacuation considerations, environmental contamination 
81.28 	response, coordination of railroad response personnel and resources at an incident, and 
81.29 	other protocols and practices for safe initial local response.
81.30 		Subd. 3.Emergency response planning; coordination. Beginning June 30, 2015,
81.31 	(a) Each railroad must communicate at least annually with each county or city emergency 
81.32 	manager, security qualified safety representatives of railroad employees governed by the 
81.33 	Railway Labor Act, and a senior fire department officer of each fire department having 
82.1 	jurisdiction along the route of a unit train routes over which oil and other hazardous 
82.2 	substances are transported, to:
82.3 	(1) ensure coordination of emergency response activities between the railroad and 
82.4 	local responders;
82.5 	(2) upon request, assist emergency managers to identify and assess local rail-specific 
82.6 	threats, hazards, and risks; and
82.7 	(3) obtain information from emergency managers regarding specific local natural 
82.8 	and technical hazards and threats in the local area that may impact rail operations or 
82.9 	public safety.
82.10 	(b) The coordination under paragraph (a), clauses (2) and (3), must include 
82.11 	identification of increased risks and potential special responses due to high population 
82.12 	concentration, critical local infrastructure, key facilities, significant venues, or sensitive 
82.13 	natural environments.
82.14 	(c) The commissioner of public safety shall compile and make available to railroads 
82.15 	a listing of emergency managers and fire chiefs, which must include contact information.
82.16 		Subd. 4.Response capabilities; time limits. (a) Following confirmation of a 
82.17 	discharge, a railroad must deliver and deploy sufficient equipment and trained personnel 
82.18 	to (1) contain and recover discharged oil or hazardous substances, and (2) to protect the 
82.19 	environment and assist local public safety officials.
82.20 	(b) Within 15 minutes of the arrival of local emergency responders on the scene of a 
82.21 	rail incident involving oil or other hazardous substances, a railroad must assist the incident 
82.22 	commander in determining the nature of hazardous substances known to have been released 
82.23 	and hazardous substances transported on the train, by providing information that includes 
82.24 	the chemical content of the hazardous substances, contact information for the shipper, and 
82.25 	instructions for dealing with release of the material. A railroad may provide information 
82.26 	through the train orders on board the train, facsimile, or electronic transmission.
82.27 	(c) Within one hour of confirmation of a discharge, a railroad must provide a 
82.28 	qualified company employee representative to advise the incident commander, help 
82.29 	assess the situation, initiate railroad response actions as needed, and provide advice and 
82.30 	recommendations to the incident commander regarding the response. The employee may 
82.31 	be made available by telephone, and must be authorized to deploy all necessary response 
82.32 	resources of the railroad.
82.33 	(c) (d) Within three hours of confirmation of a discharge, a railroad must be capable of 
82.34 	delivering monitoring equipment and a trained operator to assist in protection of responder 
82.35 	and public safety. A plan to ensure delivery of monitoring equipment and an operator to a 
82.36 	discharge site must be provided each year to the commissioner of public safety.
83.1 	(d) (e) Within three hours of confirmation of a discharge, a railroad must provide (1) 
83.2 	qualified personnel at a discharge site to assess the discharge and to advise the incident 
83.3 	commander, and (2) resources to assist the incident commander with ongoing public 
83.4 	safety and scene stabilization.
83.5 	(e) (f) A railroad must be capable of deploying containment boom from land across 
83.6 	sewer outfalls, creeks, ditches, and other places where oil or hazardous substances 
83.7 	may drain, in order to contain leaked material before it reaches those resources. The 
83.8 	arrangement to provide containment boom and staff may be made by:
83.9 	(1) training and caching equipment with local jurisdictions;
83.10 	(2) training and caching equipment with a fire mutual-aid group;
83.11 	(3) means of an industry cooperative or mutual-aid group;
83.12 	(4) deployment of a contractor;
83.13 	(5) deployment of a response organization under state contract; or
83.14 	(6) other dependable means acceptable to the Pollution Control Agency.
83.15 	(f) (g) Each arrangement under paragraph (e) (f) must be confirmed each year. Each 
83.16 	arrangement must be tested by drill at least once every five years.
83.17 	(g) (h) Within eight hours of confirmation of a discharge, a railroad must be capable 
83.18 	of delivering and deploying containment boom, boats, oil recovery equipment, trained 
83.19 	staff, and all other materials needed to provide:
83.20 	(1) on-site containment and recovery of a volume of oil equal to ten percent of the 
83.21 	calculated worst case discharge at any location along the route; and
83.22 	(2) protection of listed sensitive areas and potable water intakes within one mile of 
83.23 	a discharge site and within eight hours of water travel time downstream in any river 
83.24 	or stream that the right-of-way intersects.
83.25 	(h) (i) Within 60 hours of confirmation of a discharge, a railroad must be capable of 
83.26 	delivering and deploying additional containment boom, boats, oil recovery equipment, 
83.27 	trained staff, and all other materials needed to provide containment and recovery of a 
83.28 	worst case discharge and to protect listed sensitive areas and potable water intakes at any 
83.29 	location along the route.
83.30 		Subd. 5.Railroad drills Environmental response exercises. (a) Each railroad 
83.31 	must conduct at least one oil containment, recovery, and sensitive area protection drill
83.32 	exercises as follows: (1) at least one tabletop exercise every year; and (2) at least one 
83.33 	full-scale exercise every three years,. Each exercise must be at a location, date,  and 
83.34 	time and in the manner chosen by the Pollution Control Agency, and attended by safety 
83.35 	representatives of railroad employees governed by the Railway Labor Act.
84.1 	(b) To the extent feasible, the commissioner of the Pollution Control Agency shall 
84.2 	coordinate each exercise with exercises required by federal agencies.
84.3 		Subd. 6.Prevention and response plans; requirements, submission. (a) By 
84.4 	June 30, 2015, A railroad shall submit the prevention and response plan required under 
84.5 	section 115E.04, as necessary to comply with the requirements of this section, to the 
84.6 	commissioner of the Pollution Control Agency on a form designated by the commissioner. 
84.7 	(b) By June 30 of In every third year following a plan submission under this 
84.8 	subdivision, or sooner as provided under section 115E.04, subdivision 2, a railroad must 
84.9 	update and resubmit the prevention and response plan to the commissioner.
84.10 		Subd. 7.Environmental response plan data. A prevention and response plan 
84.11 	provided under this section is nonpublic data, as defined under section 13.02, subdivision 9.

84.12 	Sec. 4. Minnesota Statutes 2014, section 219.015, is amended to read:
84.13 	219.015 STATE RAIL SAFETY INSPECTOR INSPECTION PROGRAM.
84.14 		Subdivision 1.Positions established; duties. (a) The commissioner of transportation 
84.15 	shall establish three state rail safety inspector positions in the Office of Freight and 
84.16 	Commercial Vehicle Operations of the Minnesota Department of Transportation. On or 
84.17 	after July 1, 2015, and the commissioner may establish a fourth up to six state rail safety 
84.18 	inspector position inspection program positions following consultation with railroad 
84.19 	companies. The commissioner shall apply to and enter into agreements with the Federal 
84.20 	Railroad Administration (FRA) of the United States Department of Transportation 
84.21 	to participate in the federal State Rail Safety Participation Program for training and 
84.22 	certification of an inspector under authority of United States Code, title 49, sections 20103, 
84.23 	20105, 20106, and 20113, and Code of Federal Regulations, title 49, part 212.
84.24 	(b) A state rail safety inspector shall may inspect mainline track, secondary 
84.25 	track, and yard and industry track; inspect railroad right-of-way, including adjacent or 
84.26 	intersecting drainage, culverts, bridges, overhead structures, and traffic and other public 
84.27 	crossings; inspect yards and physical plants; inspect train equipment; review and enforce 
84.28 	safety requirements; review maintenance and repair records; and review railroad security 
84.29 	measures.
84.30 	(c) A state rail safety inspector may perform, but is not limited to, the duties 
84.31 	described in the federal State Rail Safety Participation Program. An inspector may train, 
84.32 	be certified, and participate in any of the federal State Rail Safety Participation Program 
84.33 	disciplines, including: track, signal and train control, motive power and equipment, 
84.34 	operating practices compliance, hazardous materials, and highway-rail grade crossings.
85.1 	(d) To the extent delegated by the Federal Railroad Administration and authorized 
85.2 	by the commissioner, an inspector may issue citations for violations of this chapter, or to 
85.3 	ensure railroad employee and public safety and welfare.
85.4 		Subd. 2.Railroad company assessment; account; appropriation. (a) As provided 
85.5 	in this subdivision, the commissioner shall annually assess railroad companies that are 
85.6 	(1) defined as common carriers under section 218.011; (2) classified by federal law 
85.7 	or regulation as Class I Railroads, Class I Rail Carriers, Class II Railroads, or Class II 
85.8 	Carriers; and (3) operating in this state.
85.9 	(b) The assessment must be by a division of calculated to allocate state rail 
85.10 	safety inspector inspection program costs in equal proportion between proportionally 
85.11 	among carriers based on route miles operated in Minnesota, assessed in equal amounts 
85.12 	for 365 days of the calendar year at the time of assessment. The commissioner shall 
85.13 	assess include in the assessment calculation all program or additional position start-up 
85.14 	or re-establishment costs,; all related costs of initiating the state rail safety inspector
85.15 	inspection program, including but not limited to inspection, administration, supervision, 
85.16 	travel, equipment, and training; and costs of ongoing state rail inspector duties.
85.17 	(c) The assessments collected under this subdivision must be deposited in a special 
85.18 	account in the special revenue fund, to be known as the state rail safety inspection account, 
85.19 	which is established in the special revenue fund. The account consists of funds as provided 
85.20 	by this subdivision, and any other money donated, allotted, transferred, or otherwise 
85.21 	provided to the account. Money in the account is appropriated to the commissioner for 
85.22 	the establishment and ongoing responsibilities of the state rail safety inspector inspection
85.23 	program.
85.24 		Subd. 3.Work site safety coaching program. The commissioner may exempt a 
85.25 	common carrier not federally classified as Class I from violations for a period of up to 
85.26 	two years if the common carrier applies for participation in a work site safety coaching 
85.27 	program, such as the "MNSharp" program administered by the Minnesota Department of 
85.28 	Labor and Industry, and the commissioner determines such participation to be preferred 
85.29 	enforcement for safety or security violations.
85.30 		Subd. 4.Appeal. Any person aggrieved by an assessment levied under this section 
85.31 	may appeal within 90 days any assessment, violation, or administrative penalty to the 
85.32 	Office of Administrative Hearings, with further appeal and review by the district court.

85.33 	EFFECTIVE DATE. This section is effective the day following final enactment.

85.34 	Sec. 5. [219.925] INCIDENT EMERGENCY RESPONSE; PREPAREDNESS 
85.35 	AND INFORMATION.
86.1 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms 
86.2 	have the meanings given them.
86.3 	(b) "Emergency manager" means the director of a local organization for emergency 
86.4 	management under section 12.25.
86.5 	(c) "Hazardous substance" has the meaning given in Code of Federal Regulations, 
86.6 	title 49, section 171.8.
86.7 	(d) "Incident commander" means the official who has responsibility, following 
86.8 	National Incident Management System guidelines, for all aspects of emergency response 
86.9 	operations at an incident scene, including directing and controlling resources.
86.10 	(e) "Oil" has the meaning given in section 115E.01, subdivision 8.
86.11 	(f) "Rail carrier" means a railroad company that is:
86.12 	(1) defined as a common carrier under section 218.011;
86.13 	(2) classified by federal law or regulation as Class I Railroad, Class I Rail Carrier, 
86.14 	Class II Railroad, Class II Carrier, Class III Railroad, or Class III Carrier; and
86.15 	(3) operating in this state.
86.16 		Subd. 2.Traffic review. Within ten business days of receiving a written request, a 
86.17 	rail carrier shall provide a traffic review to a requesting emergency manager or fire chief 
86.18 	having jurisdiction along the routes over which oil and other hazardous substances are 
86.19 	transported. The traffic review under this subdivision must include information on the 
86.20 	types and volumes of oil and other hazardous substance transported through the requester's 
86.21 	jurisdiction during the prior calendar year.
86.22 		Subd. 3.Emergency response planning; information sharing. Upon written 
86.23 	request, a rail carrier shall provide to an emergency manager or fire chief having 
86.24 	jurisdiction along the routes over which oil and other hazardous substances are transported:
86.25 	(1) a complete copy of prevention and response plans submitted under section 
86.26 	115E.042, subdivision 6; and
86.27 	(2) a copy of the data and information, including risk assessment information, used 
86.28 	to develop the rail carrier's route analysis as required under Code of Federal Regulations, 
86.29 	title 49, section 172.820, or successor requirements.
86.30 		Subd. 4.Emergency response planning; coordination meetings. (a) Within 
86.31 	30 days of receiving a written request, a rail carrier must be available to meet with a 
86.32 	requesting emergency manager or fire chief having jurisdiction along the routes over 
86.33 	which oil and other hazardous substances are transported, concerning emergency response 
86.34 	planning and coordination.
86.35 	(b) At a meeting held under this subdivision, a rail carrier must provide:
87.1 	(1) a review of the rail carrier's emergency response planning and capability, 
87.2 	including railroad response timelines and resources to provide (i) technical advice and 
87.3 	recommendations, (ii) trained response personnel, (iii) specialized equipment, and (iv) any 
87.4 	other available resources to support an incident commander who conducts a public safety 
87.5 	emergency response under the National Incident Management System; and
87.6 	(2) inventory information on emergency response involving oil or other hazardous 
87.7 	substance, consisting of:
87.8 	(i) equipment owned by the rail carrier, including equipment type and location;
87.9 	(ii) response personnel of the rail carrier, including contact information and location; 
87.10 	and
87.11 	(iii) resources available to the rail carrier through contractual agreements.
87.12 		Subd. 5.Real-time emergency response information. (a) The commissioner 
87.13 	of public safety shall, through the Minnesota Fusion Center, receive and disseminate 
87.14 	emergency response information as provided under section 7302 of the FAST Act of 2015, 
87.15 	Public Law 114-94, and federal regulations adopted under that section.
87.16 	(b) On and after July 1, 2017, all rail carriers subject to this section shall collectively 
87.17 	provide to emergency responders, through an Internet-based format, the information on 
87.18 	transportation of oil and other hazardous substances provided by rail carriers through a 
87.19 	wireless communications device application on the effective date of this section.
87.20 		Subd. 6.Public safety response exercises. (a) Each rail carrier must conduct one 
87.21 	tabletop public safety emergency response exercise in each emergency management region 
87.22 	in which the rail carrier transports oil and other hazardous substances. The exercises must 
87.23 	be conducted by July 1, 2017, and July 1 every two years thereafter.
87.24 	(b) Each rail carrier must conduct one full-scale exercise every four years.
87.25 	(c) In a emergency management region in which more than one rail carrier operates, 
87.26 	the rail carriers may conduct the exercises jointly or may alternate among rail carriers 
87.27 	to conduct the exercise.
87.28 	(d) To the extent feasible, the rail carriers shall coordinate the exercises among each 
87.29 	other and with exercises under section 115E.042, subdivision 5.
87.30 		Subd. 7.Transportation and response planning data. Any data provided under 
87.31 	subdivisions 3 to 6 to an emergency manager, incident commander, emergency first 
87.32 	responder, fire chief, or the commissioner of public safety are nonpublic data, as defined 
87.33 	under section 13.02, subdivision 9.

88.1 	Sec. 6. Minnesota Statutes 2014, section 299A.55, is amended to read:
88.2 	299A.55 RAILROAD AND PIPELINE SAFETY INCIDENT 
88.3 	PREPAREDNESS; OIL AND OTHER HAZARDOUS MATERIALS SUBSTANCES.
88.4 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms 
88.5 	have the meanings given them.
88.6 	(b) "Applicable rail carrier" means a railroad company that is subject to an 
88.7 	assessment under section 219.015, subdivision 2.
88.8 	(c) "Hazardous substance" has the meaning given in section 115B.02, subdivision 8
88.9 	Code of Federal Regulations, title 49, section 171.8.
88.10 	(d) "Oil" has the meaning given in section 115E.01, subdivision 8.
88.11 	(e) "Pipeline company" means any individual, partnership, association, or public 
88.12 	or private corporation who owns and operates pipeline facilities and is required to show 
88.13 	specific preparedness under section 115E.03, subdivision 2.
88.14 		Subd. 2.Railroad and pipeline safety incident account. (a) A railroad and 
88.15 	pipeline safety incident account is created in the special revenue fund. The account 
88.16 	consists of funds collected under subdivision 4 and funds donated, allotted, transferred, or 
88.17 	otherwise provided to the account.
88.18 	(b) $104,000 An amount necessary for environmental protection activities related to 
88.19 	railroad discharge preparedness under section 115E.042 is annually appropriated from the 
88.20 	railroad and pipeline safety incident account to the commissioner of the Pollution Control 
88.21 	Agency for environmental protection activities related to railroad discharge preparedness 
88.22 	under chapter 115E those purposes.
88.23 	(c) Following the appropriation in paragraph (b), the remaining money in the 
88.24 	account is annually appropriated to the commissioner of public safety for the purposes 
88.25 	specified in subdivision 3.
88.26 		Subd. 3.Allocation of funds. (a) Subject to funding appropriated for this 
88.27 	subdivision, the commissioner shall provide funds for training and response preparedness 
88.28 	related to (1) derailments, discharge incidents, or spills involving trains carrying oil or 
88.29 	other hazardous substances, and (2) pipeline discharge incidents or spills involving oil 
88.30 	or other hazardous substances.
88.31 	(b) The commissioner shall allocate available funds as follows:
88.32 	(1) $100,000 annually for emergency response teams; and
88.33 	(2) the remaining amount to the Board of Firefighter Training and Education under 
88.34 	section 299N.02 and the Division of Homeland Security and Emergency Management.
88.35 	(c) Prior to making allocations under paragraph (b), the commissioner shall consult 
88.36 	with the Fire Service Advisory Committee under section 299F.012, subdivision 2.
89.1 	(d) The commissioner and the entities identified in paragraph (b), clause (2), shall 
89.2 	prioritize uses of funds based on:
89.3 	(1) firefighter training needs;
89.4 	(2) community risk from discharge incidents or spills;
89.5 	(3) geographic balance; and
89.6 	(4) risks to the general public; and
89.7 	(5) recommendations of the Fire Service Advisory Committee.
89.8 	(e) The following are permissible uses of funds provided under this subdivision:
89.9 	(1) training costs, which may include, but are not limited to, training curriculum, 
89.10 	trainers, trainee overtime salary, other personnel overtime salary, and tuition;
89.11 	(2) costs of gear and equipment related to hazardous materials readiness, response, 
89.12 	and management, which may include, but are not limited to, original purchase, 
89.13 	maintenance, and replacement;
89.14 	(3) supplies related to the uses under clauses (1) and (2); and
89.15 	(4) emergency preparedness planning and coordination.;
89.16 	(5) public safety emergency response exercises under section 219.925, subdivision 
89.17 	6; and
89.18 	(6) public education and outreach, including but not limited to:
89.19 	(i) informing and engaging the public regarding hazards of derailments and 
89.20 	discharge incidents;
89.21 	(ii) assisting in development of evacuation readiness;
89.22 	(iii) undertaking public information campaigns; and
89.23 	(iv) providing accurate information to the media on likelihood and consequences of 
89.24 	derailments and discharge incidents.
89.25 	(f) Notwithstanding paragraph (b), clause (2), from funds in the railroad and pipeline 
89.26 	safety incident account provided for the purposes under this subdivision, the commissioner 
89.27 	may retain a balance in the account for budgeting in subsequent fiscal years.
89.28 		Subd. 4.Assessments. (a) The commissioner of public safety shall annually assess 
89.29 	$2,500,000 to railroad and pipeline companies based on the formula specified in paragraph 
89.30 	(b). The commissioner shall deposit funds collected under this subdivision in the railroad 
89.31 	and pipeline safety incident account under subdivision 2.
89.32 	(b) The assessment for each railroad is 50 percent of the total annual assessment 
89.33 	amount, divided in equal proportion between applicable rail carriers based on route miles 
89.34 	operated in Minnesota. The assessment for each pipeline company is 50 percent of the 
89.35 	total annual assessment amount, divided in equal proportion between companies based 
90.1 	on the yearly aggregate gallons of oil and hazardous substance transported by pipeline 
90.2 	in Minnesota.
90.3 	(c) The assessments under this subdivision expire July 1, 2017.

90.4 	Sec. 7. REVISOR'S INSTRUCTION.
 90.5 	The revisor of statutes shall recodify Minnesota Statutes, section 115E.042, 
90.6 	subdivision 2, as Minnesota Statutes, section 219.925, subdivision 8, and Minnesota 
90.7 	Statutes, section 115E.042, subdivision 3, as Minnesota Statutes, section 219.925, 
90.8 	subdivision 4. The revisor shall correct any cross-references made necessary by this 
90.9 	recodification.

APPENDIX 

Repealed Minnesota Statutes: H0622-3 

123A.446 STATE BOND AUTHORIZATION.
To provide money for the cooperative secondary facilities grant program, the commissioner of management and budget, upon the request of the commissioner of education, shall issue and sell bonds of the state up to the amount of $14,000,000 in the manner, upon the terms and with the effect prescribed by sections 16A.631 to 16A.675 and the Minnesota Constitution, article XI, sections 4 to 7.