1.1                          A bill for an act 
  1.2             relating to economic development; modifying the 
  1.3             neighborhood revitalization program; amending 
  1.4             Minnesota Statutes 1994, section 469.1831, 
  1.5             subdivisions 3 and 6. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 1994, section 469.1831, 
  1.8   subdivision 3, is amended to read: 
  1.9      Subd. 3.  [PURPOSES; QUALIFYING COSTS.] A neighborhood 
  1.10  revitalization program may provide for expenditure of program 
  1.11  money for the following purposes: 
  1.12     (1) to eliminate blighting influences by acquiring and 
  1.13  clearing or rehabilitating properties that the city finds have 
  1.14  caused or will cause a decline in the value of properties in the 
  1.15  area or will increase the probability that properties in the 
  1.16  area will be allowed to physically deteriorate; 
  1.17     (2) to assist in the development of industrial properties 
  1.18  that provide employment opportunities paying a livable income to 
  1.19  the residents of the neighborhood and that will not adversely 
  1.20  affect the overall character of the neighborhood; 
  1.21     (3) to acquire, develop, construct, physically maintain, 
  1.22  rehabilitate, renovate, or replace neighborhood commercial and 
  1.23  retail facilities necessary to maintain neighborhood vitality; 
  1.24     (4) to eliminate health hazards through the removal of 
  1.25  hazardous waste and pollution and return of land to productive 
  2.1   use, if the responsible party is unavailable or unable to pay 
  2.2   for the cost; 
  2.3      (5) to rehabilitate existing housing and encourage 
  2.4   homeownership; 
  2.5      (6) to construct new housing, where appropriate; 
  2.6      (7) to rehabilitate and construct new low-income, 
  2.7   affordable rental housing; 
  2.8      (8) to remove vacant and boarded up houses; and 
  2.9      (9) to rehabilitate or construct community-based nonprofit 
  2.10  and public facilities necessary to carry out the purpose of the 
  2.11  program.  
  2.12     Sec. 2.  Minnesota Statutes 1994, section 469.1831, 
  2.13  subdivision 6, is amended to read: 
  2.14     Subd. 6.  [CITIZEN PARTICIPATION REQUIRED.] (a) The 
  2.15  neighborhood revitalization program must be developed with the 
  2.16  process outlined in this subdivision. 
  2.17     (b) The ~~development of the~~ program must include the 
  2.18  preparation and implementation of neighborhood action plans.  
  2.19  The city must organize ~~neighborhood planning workshops~~ 
  2.20  neighborhoods to prepare and implement the neighborhood action 
  2.21  plans.  The ~~neighborhood workshops~~ neighborhoods must include 
  2.22  the participation of, whenever possible, all populations and 
  2.23  interests in each neighborhood including renters, homeowners, 
  2.24  people of color, business owners, representatives of 
  2.25  neighborhood institutions, youth, and the elderly.  The 
  2.26  neighborhood action plan must be submitted to the policy board 
  2.27  established under paragraph (c).  The city must provide 
  2.28  available resources, information, and technical assistance to 
  2.29  prepare the neighborhood action plans. 
  2.30     (c) Each city that develops a program must establish a 
  2.31  policy board whose membership includes members of the city 
  2.32  council, county board, school board, and citywide library and 
  2.33  park board where they exist appointed by the respective 
  2.34  governing bodies; the mayor or designee of the mayor; and a 
  2.35  representative from the city's house of representatives 
  2.36  delegation and a representative from the city's state senate 
  3.1   delegation appointed by the respective delegation.  The policy 
  3.2   board may also include representatives of citywide community 
  3.3   organizations, neighborhood organizations, business owners, 
  3.4   labor, and neighborhood residents.  The elected officials and 
  3.5   appointed members of the library board who are members of the 
  3.6   policy board may appoint the other members of the board. 
  3.7      (d) The policy board shall review, modify where 
  3.8   appropriate, and approve, in whole or in part, the neighborhood 
  3.9   action plans and forward its recommendations for final action to 
  3.10  the governing bodies represented on the policy board.  The 
  3.11  governing bodies shall review, modify where appropriate, and 
  3.12  give final approval, in whole or in part, to those actions over 
  3.13  which they have programmatic jurisdiction.  
  3.14     (e) Except for the legislative appointees, each of the 
  3.15  governmental units and groups named in paragraph (c) may, by 
  3.16  resolution or agreement of its governing body, become a member 
  3.17  of the policy board.  The nongovernmental organizations and 
  3.18  persons named in paragraph (c) shall provide members of the 
  3.19  policy board upon invitation by the governmental members of the 
  3.20  policy board.  The member to represent a nongovernmental 
  3.21  organization shall be a member of the policy board only upon 
  3.22  resolution or agreement of the governing body of the member's 
  3.23  organization.  Upon the resolution or agreement of two or more 
  3.24  governmental bodies or governmental boards, the policy board 
  3.25  shall be a joint powers board under section 471.59, except that 
  3.26  no power may be exercised under section 471.59, subdivision 11.  
  3.27  The policy board may: 
  3.28     (1) sue and be sued.  All defenses and limitations 
  3.29  available to municipalities under chapter 466 and other laws, 
  3.30  shall apply to the policy board, its members, director, and 
  3.31  other staff members; 
  3.32     (2) hire, retain, discipline, and terminate a director to 
  3.33  direct its activities and accomplish its program.  The director 
  3.34  may hire necessary staff subject to authorization by the board; 
  3.35     (3) enter into contracts, leases, purchases, or other 
  3.36  documents evidencing its undertakings.  No contract, lease, or 
  4.1   purchase or other document may be entered into unless funds have 
  4.2   been appropriated or otherwise made available to the policy 
  4.3   board; 
  4.4      (4) adopt bylaws for its own governance; 
  4.5      (5) enter into agreements with governmental units and 
  4.6   governing boards, and nongovernmental organizations represented 
  4.7   on the policy board for services required to fulfill the policy 
  4.8   boards' purposes; 
  4.9      (6) accept gifts, donations, and appropriations from 
  4.10  governmental or nongovernmental sources and apply for grants 
  4.11  from them; 
  4.12     (7) review activities to determine whether the expenditure 
  4.13  of program money and other money is in compliance with the 
  4.14  neighborhood plans adopted by the policy board and approved by 
  4.15  the governing bodies having jurisdiction over the program, and 
  4.16  report its findings prior to October 1 of each year to all of 
  4.17  the governmental units, agencies, and nongovernmental 
  4.18  organizations represented on the policy board; and 
  4.19     (8) prepare annually an administrative budget for the 
  4.20  ensuing year, estimating its expenditures and estimated 
  4.21  revenues, and forward its proposed budget to the governmental 
  4.22  units and agencies and nongovernmental organizations for 
  4.23  appropriate action.