1.1 	A bill for an act
1.2 	relating to capital investment; appropriating money for flood hazard mitigation in 
1.3 	the Buffalo-Red River Watershed District; authorizing the sale and issuance of 
1.4 	state bonds.
1.5 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.6 	Section 1. BUFFALO-RED RIVER WATERSHED DISTRICT; FLOOD HAZARD 
1.7 	MITIGATION.
 1.8 		Subdivision 1.Appropriation. (a) $4,800,000 is appropriated from the bond proceeds 
1.9 	fund to the commissioner of natural resources for the state share of flood hazard mitigation 
1.10 	grants for publicly owned capital improvements to prevent or alleviate flood damage under 
1.11 	Minnesota Statutes, section 103F.161.
1.12 	(b) To the extent practical, levee projects shall meet the state standard of three feet above 
1.13 	the 100-year flood elevation.
1.14 	(c) This appropriation is for a grant to the Buffalo-Red River Watershed District for the 
1.15 	Stony Creek Water Resource Management Project, a 7,000 acre-feet gated off-channel 
1.16 	impoundment that provides an 80 percent reduction of peak flows on Stony Creek.
1.17 	(d) To the extent that the cost of a municipal project exceeds two percent of the median 
1.18 	household income in the municipality multiplied by the number of households in the 
1.19 	municipality, this appropriation is also for the local share of the project.
1.20 		Subd. 2.Bond sale. To provide the money appropriated in this section from the bond 
1.21 	proceeds fund, the commissioner of management and budget shall sell and issue bonds of 
1.22 	the state in an amount up to $4,800,000 in the manner, upon the terms, and with the effect 
2.1 	prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota 
2.2 	Constitution, article XI, sections 4 to 7.

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