Journal of the House - 92nd Day - Tuesday, May 12, 2020

The motion did not prevail.

There being no objection, the order of business reverted to Reports of Standing Committees and Divisions.

REPORTS OF STANDING COMMITTEES AND DIVISIONS

Carlson, L., from the Committee on Ways and Means to which was referred:

H. F. No. 2529, A bill for an act relating to capital investment; appropriating money for the safe routes to school grant program; authorizing the sale and issuance of state bonds.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"ARTICLE 1

APPROPRIATIONS

Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.

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The sums shown in the column under "Appropriations" are appropriated from the bond proceeds fund, or another named fund, to the state agencies or officials indicated, to be spent for public purposes. Appropriations of bond proceeds must be spent as authorized by the Minnesota Constitution, article XI, section 5, clause (a), to acquire and better public land and buildings and other public improvements of a capital nature, or as authorized by the Minnesota Constitution, article XI, section 5, clauses (b) to (j), or article XIV. Unless otherwise specified, money appropriated in this act:

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

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

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

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

APPROPRIATIONS

Sec. 2. UNIVERSITY OF MINNESOTA

Subdivision 1. Total Appropriation

$161,886,000

To the Board of Regents of the University of Minnesota for the purposes specified in this section.

Subd. 2. Higher Education Asset Preservation and Replacement (HEAPR)

125,000,000

To be spent in accordance with Minnesota Statutes, section 135A.046.

Subd. 3. Twin Cities - Institute of Child Development Building

29,200,000

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

Subd. 4. Duluth - A. B. Anderson Hall Renovation

4,400,000

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

Subd. 5. Twin Cities - Fraser Hall Chemistry Undergraduate Teaching Laboratory

3,286,000

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

Subd. 6. University Share

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

Subd. 7. Unspent Appropriations

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

Sec. 3. MINNESOTA STATE COLLEGES AND UNIVERSITIES

Subdivision 1. Total Appropriation

$263,671,000

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

Subd. 2. Higher Education Asset Preservation and Replacement (HEAPR)

142,500,000

To be spent in accordance with Minnesota Statutes, section 135A.046.

Subd. 3. Anoka-Ramsey Community College

16,282,000

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

Subd. 4. Normandale Community College

26,634,000

To design, renovate, and equip Phase 2 of the College Services Building at Normandale Community College.

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Subd. 5. Minnesota State University - Moorhead

17,290,000

To design, renovate, and equip Weld Hall, including the construction of additions to improve building accessibility at Minnesota State University, Moorhead.

Subd. 6. Inver Hills Community College

14,653,000

To design, renovate, and equip the Technology and Business Center building, including the construction of a link to Heritage Hall at Inver Hills Community College.

Subd. 7. Saint Paul College

937,000

To design the renovation of classroom, lab, and student services space and design the demolition of the College Learning Center Building at the Saint Paul College campus.

Subd. 8. Minneapolis Community and Technical College

10,254,000

To design Phases 1 and 2 and renovate and equip Phase 1 of the Management Education Center shared with Metropolitan State University on the Minneapolis Community and Technical College campus to support baccalaureate programming expansion.

Subd. 9. Northeast Higher Education District - Vermilion Community College

2,576,000

To design, renovate, and equip the classroom building and common space at Northeast Higher Education District - Vermilion Community College.

Subd. 10. Central Lakes College, Brainerd

8,275,000

To design, renovate, and equip the student services, academic support areas, and athletics space of the Central Lakes College, Brainerd campus.

Subd. 11. Northland Community and Technical College, East Grand Forks

2,220,000

To design, renovate, and equip teaching and learning lab space at Northland Community and Technical College, East Grand Forks campus.

Subd. 12. Minnesota State University - Mankato

6,691,000

To design, renovate, and repurpose space in the lower level of the Clinical Sciences Building; to design the demolition and replacement of Armstrong Hall; and to design the partial renovation of Wiecking Center, Performing Arts Center, the library, and Morris Hall at Minnesota State University - Mankato.

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Subd. 13. Winona State University

3,218,000

To design the demolition and replacement of Gildemeister and Watkins Halls at Winona State University.

Subd. 14. Lake Superior College

985,000

To design the renovation and construction of integrated manufacturing workforce labs and related support space and design the demolition of the maintenance shed at Lake Superior College.

Subd. 15. North Hennepin Community College, Brooklyn Park

6,598,000

To design the demolition and replacement of the current Fine Arts Center building with the Center for Innovation and the Arts at North Hennepin Community College, Brooklyn Park campus.

Subd. 16. Metropolitan State University

3,923,000

To design, renovate, and equip space in New Main Hall for the cybersecurity program at Metropolitan State University.

Subd. 17. Pine Technical and Community College

635,000

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

Subd. 18. Debt Service

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

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

(c) The commissioner of management and budget shall reduce the board's assessment each year by one-third of the net income from investment of general obligation bond proceeds in proportion to the amount of principal and interest otherwise required to be paid by the board. The board shall pay its resulting net assessment to the commissioner of management and budget by December 1 each year. If the board fails to make a payment when due, the commissioner of management and budget shall reduce allotments

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for appropriations from the general fund otherwise available to the board and apply the amount of the reduction to cover the missed debt service payment. The commissioner of management and budget shall credit the payments received from the board to the bond debt service account in the state bond fund each December 1 before money is transferred from the general fund under Minnesota Statutes, section 16A.641, subdivision 10.

Subd. 19. Unspent Appropriations

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

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

Sec. 4. EDUCATION

Subdivision 1. Total Appropriation

$3,016,000

To the commissioner of education for the purposes specified in this section.

Subd. 2. Library Construction Grants

3,016,000

For library construction grants under Minnesota Statutes, section 134.45.

Sec. 5. MINNESOTA STATE ACADEMIES

Subdivision 1. Total Appropriation

$17,710,000

To the commissioner of administration for the purposes specified in this section.

Subd. 2. Asset Preservation

5,730,000

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

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Subd. 3. Safety Corridor

5,830,000

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

Subd. 4. Residence Hall Renovations

6,000,000

To predesign, design, renovate, furnish, and equip Pollard Hall on the Minnesota State Academy for the Deaf campus, and Kramer, Brandeen, and Rode dormitories on the Minnesota State Academy for the Blind campus, including but not limited to abatement of asbestos and hazardous materials; correcting fire, life safety, and other building code deficiencies; and to replace or renovate the dormitories' HVAC, plumbing, electrical, security, and life safety systems.

Subd. 5. Student Services and Activities Center

150,000

To predesign a new student services and activities center, which may include the renovation of existing spaces, on the Minnesota State Academy for the Deaf Campus.

Sec. 6. PERPICH CENTER FOR ARTS EDUCATION

Subdivision 1. Total Appropriation

$3,100,000

To the commissioner of administration for the purposes specified in this section.

Subd. 2. Asset Preservation

3,000,000

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

Subd. 3. School Building Improvements Predesign

100,000

To predesign an expansion of the auditorium to accommodate the full student body and faculty; an expansion and renovation of the lobby to address security, restroom, and accessibility issues; the remodeling of the food service and cafeteria area; and updates to the HVAC system.

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Sec. 7. NATURAL RESOURCES

Subdivision 1. Total Appropriation

$201,643,000

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

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

Subd. 2. Natural Resources Asset Preservation

65,000,000

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

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

Subd. 3. Flood Hazard Mitigation

20,000,000

(a) For the state share of flood hazard mitigation grants for publicly owned capital improvements to prevent or alleviate flood damage under Minnesota Statutes, section 103F.161. To the extent practical, levee projects shall meet the state standard of three feet above the 100-year flood elevation.

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

(c) This appropriation includes money for projects in the following counties and municipalities: Afton, Austin, Bloomington, Browns Valley, Delano, Golden Valley, Halstad, Hawley, Hendrum, Inver Grove Heights, Montevideo, Moorhead, Newfolden, Nielsville, Owatonna, Perley, Rushford, and St. Vincent.

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(d) This appropriation also includes money for projects in the following watershed districts: Bois de Sioux Watershed District for the Redpath impoundment project, Buffalo-Red River Watershed District, Cedar River Watershed District; Southern Minnesota Rivers Basin Area II, Lower Minnesota River Watershed District, Middle Snake Tamarac Rivers Watershed District, Prior Lake-Spring Lake Watershed District, Red Lake Watershed District, Roseau River Watershed District, Shell Rock River Watershed District, Two Rivers Watershed District, Upper Minnesota River Watershed District, and Wild Rice River Watershed District.

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

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

(g) To the extent that the cost of a municipal project exceeds two percent of the median household income in the municipality multiplied by the number of households in the municipality, this appropriation is also for the local share of the project.

Subd. 4. Canisteo and Hill Annex Open-Pit Mine Groups

2,443,000

(a) $443,000 of this appropriation is from the general fund to conduct and complete necessary monitoring, modeling, testing, studies of pit wall stability, surveys, planning, and design work for projects to mitigate the threat to property, public safety, and water quality from rising water levels at the Canisteo and Hill Annex mine complexes. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed to the project by the Department of Iron Range Resources and Rehabilitation. The commissioner must give priority to work that addresses the most immediate risks to public safety. Any money in this appropriation not needed for the studies of the Canisteo and Hill Annex mine complexes may only be used by the commissioner to make similar studies for mitigation of rising water levels in other mine complexes in the taconite assistance area.

(b) $2,000,000 of the appropriation is for predesign, design, engineering, and construction of projects to mitigate the threat to property, public safety, and water quality from rising water levels

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at the Canisteo and Hill Annex mine complexes. The commissioner must give priority to work that addresses the most immediate risks to public safety. If the predesign, design, and engineering for the Canisteo and Hill Annex mine complexes is complete, the commissioner may use any remaining money from this appropriation only for similar work to address issues related to rising water levels in other mine complexes in the taconite assistance area. If the appropriation for this project is not sufficient to complete it, the commissioner must use money appropriated for asset preservation under subdivision 2.

Subd. 5. Dam Renovation, Repair, Removal

20,000,000

For design, engineering, and construction to repair, reconstruct, or remove dams and respond to dam safety emergencies under Minnesota Statutes, sections 103G.511 and 103G.515.

Subd. 6. Betterment of Buildings

25,000,000

For acquisition, predesign, design, and construction to replace existing facilities that no longer meet the business needs of the department. This appropriation includes funding to design and construct a drill core facility in Hibbing; predesign, design, renovate, and construct improvements to the state forest nursery facilities at Badoura, including renovation and improvements to the seed extractor and cooler storage, construction of a new cooler storage facility, and energy efficient upgrades to all heating, ventilating, and cooling systems; design and construction of office spaces to address needs in Bemidji; and for the design and construction of storage facilities.

Subd. 7. State Park and Recreation Area Accessibility

10,000,000

For the predesign, design, and construction of accessibility improvements at William O'Brien State Park and, to the extent there is sufficient money remaining, at Fort Snelling State Park.

Subd. 8. Parks and Trails Local and Regional Recreation Grants

4,000,000

For matching grants under Minnesota Statutes, section 85.019.

Subd. 9. Wildlife Management Areas

2,500,000

To acquire and better wildlife management areas under Minnesota Statutes, section 86A.05, subdivision 8.

Subd. 10. Aquatic Management Areas

2,500,000

To acquire interests in land in fee or permanent conservation easements for aquatic management areas under Minnesota Statutes, sections 86A.05, subdivision 14, and 97C.02, and to restore and enhance aquatic habitat.

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Subd. 11. Scientific and Natural Areas

5,000,000

To acquire land for scientific and natural areas and for protection and improvements of a capital nature to scientific and natural areas under Minnesota Statutes, sections 84.033 and 86A.05, subdivision 5.

Subd. 12. Wildfire Aviation Infrastructure

9,500,000

For design, engineering, and construction of aviation infrastructure that supports wildfire response and conservation compliance and enforcement, which may include grants to an airport authority. This appropriation includes funding for the Hibbing airtanker base, Grand Rapids hangar, and Brainerd airtanker base.

Subd. 13. Shade Tree Program

3,000,000

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

Subd. 14. Blazing Star State Trail

600,000

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

Subd. 15. Gateway State Trail

1,250,000

For design and construction for the Gateway Trail from a terminus within William O'Brien State Park around the interpretive center and campground complex, to the Scandia Village Center, and for property acquisition and predesign for the Gateway Trail extension south of the William O'Brien State Park and north of Scandia.

Subd. 16. Heartland State Trail

3,000,000

For capital improvements to the Heartland State Trail including completion of the Heartland State Trail construction from Becker County Highway 10 to Frazee.

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Subd. 17. Mississippi Blufflands State Trail - Red Wing Riverfront Trail - He Mni Can-Barn Bluff Regional Park to Colvill Park

900,000

For design and construction of a trail connection from He Mni Can-Barn Bluff, a regional special purpose park, to Colvill Park.

Subd. 18. Oberstar Trail

650,000

For design, engineering, and construction of a 1.9-mile segment of the Oberstar Trail between the Hinckley-Duluth segment of the Willard Munger State Trail and the Sunrise Prairie Regional Trail.

Subd. 19. Babbitt; Recreation Area

750,000

For a grant under Minnesota Statutes, section 85.019, subdivision 2, to the city of Babbitt to construct a campground at the Babbitt Recreation Area.

Subd. 20. Ely; Trailhead Development

1,000,000

For a grant to the city of Ely for the trailhead portion of the project funded in Laws 2018, chapter 214, article 3, section 11, as amended by Laws 2019, chapter 2, article 2, section 11. This appropriation does not require a nonstate contribution.

Subd. 21. Lake City; Hok-Si-La Park Water and Sewer Extension

587,000

For a grant to the city of Lake City to design, engineer, and construct a water and sewer connection from the city's sewer distribution and collection point to Hok-Si-La Park. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 22. Lake City; Ohuta Beach Breakwater

1,000,000

For a grant to the city of Lake City to design and construct a breakwater at Ohuta Beach in Lake City at Ohuta Park. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 23. Mankato; Riverbank Restoration

11,485,000

For a grant to the city of Mankato to:

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

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

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

This appropriation is not available until the commissioner of management and budget determines that at least $2,871,000 is committed from nonstate sources to complete the project.

Subd. 24. Mankato; Water Quality Mitigation

4,150,000

For a grant to the city of Mankato to acquire land and to design and construct improvements to reduce erosion and improve water quality in the Minnesota River-Mankato watershed. This appropriation includes money for bioreactor construction, restoration of wetlands, and completion of in-channel improvements from the wetland to existing pond and storm water infrastructure. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 25. Northfield; Local Trail Connection

2,500,000

For a grant to the city of Northfield for predesign, design, acquisition of land or interests in land, construction, and development of local trail connections to the Mill Towns State Trail in the city of Northfield. This appropriation does not require a nonstate contribution.

Subd. 26. Otter Tail County; Perham to Pelican Rapids Regional Trail

1,603,000

For a grant to Otter Tail County to construct the McDonald Lake segment of the Perham to Pelican Rapids Regional Trail, which goes from the intersection of County State-Aid Highway 41 and 440th Street to the intersection of County State-Aid Highway 34 and County State-Aid Highway 35. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 27. Red Wing; Upper Harbor - Bay Point Renewal

325,000

For a grant to the city of Red Wing for predesign and design of Red Wing's Upper Harbor and Bay Point Park Renewal on the Mississippi riverfront project to reconfigure the gravel-covered former landfill and partially paved areas into a public park, the

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rehabilitation or restoration of wetlands, and redesigned or increased parking to serve the Bay Point Park boat launch. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project.

Subd. 28. Silver Bay; Trailhead Center

1,900,000

For a grant to the city of Silver Bay to predesign, design, construct, furnish, and equip a multimodal trailhead center for the various hiking, bicycling, snowmobile, and all-terrain vehicle trails that converge in the area. The center includes separated trail access for motorized and nonmotorized users and open space for trail users, parking, a wayside rest area, and a new trailhead center building that includes lavatories and showers. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from other sources to complete the project. The nonstate contribution may be made in-kind. In-kind contributions may include removal of the existing building and site preparation, whether begun before or after the effective date of this section.

Subd. 29. St. Louis County; Voyageur Country ATV Trail

1,000,000

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

Subd. 30. Unspent Appropriations

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

Sec. 8. POLLUTION CONTROL AGENCY

Subdivision 1. Total Appropriation

$53,592,000

To the Pollution Control Agency for the purposes specified in this section.

Subd. 2. Organics Infrastructure Capital Assistance Program

5,000,000

For grants to expand organics infrastructure by constructing, equipping, expanding, and adding capacity at new or existing organics transfer facilities, organics compost facilities, anaerobic

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digestion facilities, or other facilities that recover organic materials in accordance with the solid waste capital assistance grant program under Minnesota Statutes, section 115A.54.

Subd. 3. Sustainable Communities and Climate Resiliency

10,000,000

For grants under Minnesota Statutes, section 115A.0716, subdivision 4.

Subd. 4. Clay County

8,500,000

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

Subd. 5. Pope-Douglas

9,000,000

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

Subd. 6. Ramsey-Washington

8,000,000

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

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Subd. 7. Closed Landfill Cleanup

1,330,000

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

Subd. 8. Chisago County

391,000

For a grant to Chisago County under the solid waste capital assistance grants program under Minnesota Statutes, section 115A.54, to acquire land, design, construct, renovate, expand, and equip an existing household hazardous waste facility and a new self-service recycling facility.

Subd. 9. Coon Rapids

700,000

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

Subd. 10. Hennepin County

2,000,000

For a grant to Hennepin County under the solid waste capital assistance grants program under Minnesota Statutes, section 115A.54, to design, construct, renovate, and equip an expansion to an existing transfer station in Brooklyn Park to manage larger quantities of organic materials.

Subd. 11. Todd County

6,000,000

For a grant to Todd County under the solid waste capital assistance grants program under Minnesota Statutes, section 115A.54, to design, construct, and equip a new solid waste transfer station, to renovate the existing transfer station into a regional single-stream materials recovery facility, and to build and expand the regional source-separated organic material composting facility.

Subd. 12. Minneapolis

571,000

For a grant to the city of Minneapolis under the solid waste capital assistance grants program under Minnesota Statutes, section 115A.54, to renovate and equip an existing solid waste transfer station.

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Subd. 13. Winona

2,100,000

To predesign, design, and construct the remediation to clean up the source area contamination located at the Winona groundwater contamination site.

Sec. 9. BOARD OF WATER AND SOIL RESOURCES

Subdivision 1. Total Appropriation

$44,850,000

To the Board of Water and Soil Resources for the purposes specified in this section.

Subd. 2. Local Government Roads Wetland Replacement Program

15,000,000

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

Subd. 3. Local Government Roads Wetland Replacement Program

8,000,000

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

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for the development of the required elements of an in-lieu fee wetland mitigation program in accordance with Minnesota Statutes, section 103G.2242, subdivision 3, and up to $440,000 is available for mitigation stewardship in accordance with Minnesota Statutes, section 103B.103, subdivision 3.

Subd. 4. Reinvest in Minnesota (RIM) Reserve Program

12,500,000

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

Subd. 5. Cedar River Watershed District

1,850,000

For a grant to the Cedar River Watershed District to implement Phase 2 of the Cedar River Capital Improvement Project plan for implementation of flood mitigation and watershed treatment projects in the Cedar River Watershed. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from other sources to complete the project.

Subd. 6. Shell Rock River Watershed District

7,500,000

For a grant to the Shell Rock River Watershed District to acquire land, construct an earthen berm for sediment, and implement continued restoration activities for Fountain Lake in the city of Albert Lea by the Shell Rock River Watershed District. This appropriation does not require a nonstate contribution.

Sec. 10. AGRICULTURE

Subdivision 1. Total Appropriation

$23,528,000

To the commissioner of administration or other named entity for the purposes specified in this section.

Subd. 2. Agriculture and Health Laboratory Building

21,278,000

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

Subd. 3. Hmong American Farmers Association

2,000,000

From the general fund to the commissioner of agriculture for a grant to the Hmong American Farmers Association to purchase approximately 155 acres in Dakota County that the association has leased since 2014. The purchase includes all buildings and improvements on the property. This appropriation is not available until the commissioner of management and budget determines that an amount sufficient to complete the project, estimated to be $500,000, has been committed from other sources.

Subd. 4. Poultry Processing

250,000

(a) To the commissioner of agriculture for a grant to the Albert Lea Economic Development Agency for predesign of a poultry processing plant and an associated industrial park aimed at creating new, value-added economic opportunities for local farmers in southeastern Minnesota, subject to Minnesota Statutes, section 16A.695. The Albert Lea Economic Development Agency may work with the Regenerative Agriculture Alliance and the commissioner of agriculture in developing the predesign for the industrial park.

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

Sec. 11. RURAL FINANCE AUTHORITY

$40,000,000

For the purposes set forth in the Minnesota Constitution, article XI, section 5, paragraph (h), to the Rural Finance Authority to purchase participation interests in or to make direct agricultural loans to farmers under Minnesota Statutes, chapter 41B. This appropriation is for the beginning farmer program under Minnesota Statutes, section 41B.039; the loan restructuring program under Minnesota Statutes, section 41B.04; the seller-sponsored program under Minnesota Statutes, section 41B.042; the agricultural improvement loan program under Minnesota Statutes, section 41B.043; and the livestock expansion loan program under

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Minnesota Statutes, section 41B.045. All debt service on bond proceeds used to finance this appropriation must be repaid by the Rural Finance Authority under Minnesota Statutes, section 16A.643. Loan participations must be priced to provide full interest and principal coverage and a reserve for potential losses. Priority for loans must be given first to beginning farmer loans, second to seller-sponsored loans, and third to agricultural improvement loans.

Sec. 12. MINNESOTA ZOOLOGICAL GARDEN

Subdivision 1. Total Appropriation

$25,000,000

To the Minnesota Zoological Garden Board for the purposes specified in this section.

Subd. 2. Asset Preservation

21,000,000

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

Subd. 3. Revitalize the Zoo

4,000,000

To design, renovate, construct, furnish, and equip the nocturnal trail. The Minnesota Zoo may use any money remaining after completion of that project for the tropics trail and other paths, roadways, and guest amenities.

Sec. 13. ADMINISTRATION

Subdivision 1. Total Appropriation

$25,109,000

To the commissioner of administration for the purposes specified in this section.

Subd. 2. Capital Asset Preservation and Replacement Account

9,000,000

To be spent in accordance with Minnesota Statutes, section 16A.632.

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Subd. 3. Ford Building

170,000

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

Before beginning demolition, the commissioner must develop an executable design feature to be implemented in the interior or exterior of the building constructed on the site or incorporated into the site design. The design feature must use portions of the original exterior facade, which might include elements of the main entry way, or must incorporate a significant reuse of the original terra cotta ornamentation.

Subd. 4. Real Estate Strategic Plan

1,500,000

From the general fund to develop a long-range strategic plan, in accordance with Minnesota Statutes, section 16B.24, subdivision 1.

Subd. 5. Capitol Complex - Physical Security Upgrades Phase II

5,000,000

From the general fund to design, construct, and equip upgrades to the physical security elements and systems for one or more of the buildings listed in this subdivision, their attached tunnel systems, their surrounding grounds, and parking facilities as identified in the 2017 Minnesota State Capitol Complex Physical Security Predesign completed by Miller Dunwiddie. Improvements may include but are not limited to design and abatement of asbestos and hazardous materials, the installation of bollards, blast protection, infrastructure security screen walls, door access controls, emergency call stations, security kiosks, locking devices, security cameras, traffic control, or any other physical security measures needed to meet the latest security threats. This appropriation includes money for work associated with one or more of the following buildings: Andersen, Freeman, Retirement Systems, Transportation, Administration, Centennial, Judicial, Ag/Health Lab, Minnesota History Center, Capitol Complex Power Plant and Shops, Stassen, State Office, and Veterans Service.

Subd. 6. State Building Efficiency

4,339,000

From the general fund for deposit in the building efficiency revolving loan account to make loans to improve energy and water efficiency in state facilities as permitted under Minnesota Statutes, sections 16B.86 and 16B.87.

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Subd. 7. Property Acquisition

2,600,000

To acquire land adjacent to state-owned property to provide a future development site to meet space needs on the Capitol complex, as well as to design, construct, and equip temporary parking on the site for the Capitol complex. This appropriation may also be used to design and complete any hazardous materials abatement on the site.

Subd. 8. ADA Building Accommodation

2,000,000

From the general fund to make Americans with Disabilities Act accommodation improvements in state-owned and state-leased buildings. The commissioner may establish processes for submission and review of proposals from state agencies, boards, and commissions, the legislative and judicial branches of government, and constitutional offices in order to allocate money to improve physical access to state services and employment opportunities.

Subd. 9. Capitol Complex Tunnel; ADA Compliance

500,000

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

Sec. 14. AMATEUR SPORTS COMMISSION

Subdivision 1. Total Appropriation

$8,350,000

To the Minnesota Amateur Sports Commission for the purposes specified in this section.

Subd. 2. Asset Preservation

837,000

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

Subd. 3. National Sports Center

2,500,000

To complete field construction of the 80 acre north campus.

Subd. 4. Mighty Ducks

4,813,000

For the purposes of Minnesota Statutes, section 240A.09, paragraph (b).

Subd. 5. South St. Paul; Doug Woog Arena

200,000

For a grant to the city of South St. Paul to predesign, design, construct, install, and renovate the heating, ventilating, and air conditioning system in Rink 1 of Doug Woog Arena. This

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appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Sec. 15. MILITARY AFFAIRS

Subdivision 1. Total Appropriation

$21,895,000

To the adjutant general for the purposes specified in this section.

Subd. 2. Rosemount Readiness Center

1,100,000

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

Subd. 3. Fergus Falls Readiness Center

2,200,000

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

Subd. 4. Moorhead Readiness Center

5,345,000

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

Subd. 5. Marshall Readiness Center

3,250,000

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

Subd. 6. Military Museum

10,000,000

For one or more of the following: to acquire land or interest in land, and to predesign, design, construct, furnish, and equip a facility outside the boundaries of Camp Ripley in Morrison County, for the Minnesota Military Museum. The project, when completed, will include a visitor's center and gift shop; administrative offices; work, storage, and exhibit space; landscaping; parking; and other amenities and infrastructure for the museum. The adjutant general may enter into a lease or management agreement for the museum, subject to Minnesota Statutes, section 16A.695. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project.

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Subd. 7. Unspent Appropriations

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

Sec. 16. PUBLIC SAFETY

Subdivision 1. Total Appropriation

$54,811,000

To the commissioner of administration or other named entity for the purposes specified in this section.

Subd. 2. State Emergency Operations Center

29,545,000

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

Subd. 3. Southern Minnesota BCA Regional Office and Laboratory

100,000

For predesign of a new Bureau of Criminal Apprehension regional office and laboratory facility in the Mankato area.

Subd. 4. BCA Maryland Building

2,276,000

To design, construct, renovate, equip, and furnish unfinished space in the Department of Public Safety, Bureau of Criminal Apprehension building in St. Paul to provide new offices.

Subd. 5. Regional Training Facility Study

500,000

From the general fund to the commissioner of public safety for a comprehensive needs assessment of training for fire, police, and emergency response personnel across the state that will consider facility locations, training delivery methods, and costs. The department may consult with the Minnesota Management and Budget Division of Management Analysis and Development in preparing the assessment results and recommendations in two phases. Phase 1, which will report on the inventory of current facilities and provide an updated list of criteria for evaluating and scoring locations for proposed facilities, is due by August 31, 2021. Phase 2 is due by December 31, 2022, and must analyze

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how best to meet future training needs for public safety personnel, estimate related operating and capital costs, and analyze how to ensure that local governments have adopted long-range capital plans that among other things address how local governments plan to finance their fire halls, police stations, and training centers.

Subd. 6. Crystal; Police Department Expansion

4,000,000

To the commissioner of public safety for a grant to the city of Crystal to design, construct, furnish, and equip an expansion of the city's police department facility. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 7. Edina; South Metro Public Safety Training Facility

2,000,000

To the commissioner of public safety for a grant to the city of Edina to predesign, design, construct, expand, renovate, furnish, and equip improvements to the South Metro Public Safety Training Facility. This appropriation does not require a nonstate contribution.

Of this appropriation:

(1) $500,000 is to replace or upgrade the HVAC system with a HEPA filtration system;

(2) $500,000 is to expand the defensive tactics mat room; and

(3) $1,000,000 is for a tactical training building to provide year‑round flexible space for different training scenarios.

Subd. 8. Maple Grove; North Metro Range

5,000,000

To the commissioner of public safety for a grant to the city of Maple Grove to design, construct, furnish, and equip an expansion of the Maple Grove North Metro Range regional public safety training facility. The project includes facilities to provide law enforcement officers training in de-escalation and crisis intervention techniques. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 9. Minneapolis; Emergency Operations Center and Fire Training Facility

1,000,000

To the commissioner of public safety for a grant to the city of Minneapolis for predesign, design, engineering, and construction of the expansion of the Emergency Operations Center and Fire

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Training Facility. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 10. Virginia; Regional Public Safety Center and Training Facility

10,390,000

To the commissioner of public safety for a grant to the city of Virginia to acquire a site, demolish existing structures and prepare the site, and to predesign, design, construct, furnish, and equip a regional public safety center and training facility for the police and fire departments, emergency medical services, regional emergency services training, emergency operations, and other regional community needs. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Sec. 17. TRANSPORTATION

Subdivision 1. Total Appropriation

$452,952,000

To the commissioner of transportation for the purposes specified in this section.

Subd. 2. Local Road Improvement Fund Grants

53,228,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for trunk highway corridor projects under Minnesota Statutes, section 174.52, subdivision 2, for construction and reconstruction of local roads with statewide or regional significance under Minnesota Statutes, section 174.52, subdivision 4, or for grants to counties to assist in paying the costs of rural road safety capital improvement projects on county state-aid highways under Minnesota Statutes, section 174.52, subdivision 4a.

Subd. 3. Anoka County; East River Road

1,500,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to Anoka County to complete the preliminary engineering, environmental documentation, and final design of interchange construction and associated improvements to Anoka County State‑Aid Highway 1, known as East River Road, at marked Trunk Highway 610 in the city of Coon Rapids. This appropriation does not require a nonstate contribution.

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Subd. 4. Dakota County; Diffley Road

5,500,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for one or more grants to Dakota County, the city of Eagan, and Independent School District No. 196, Rosemount-Apple Valley-Eagan, to reconstruct Diffley Road between Lexington Avenue and Braddock Trail, and Daniel Drive at Diffley Road. The county, city, and school district must acquire any right-of-way needed and complete all predesign, design, and engineering required for the project as the nonstate contribution and this appropriation does not require any additional nonstate contribution.

Subd. 5. Golden Valley; Douglas Drive and Highway 55

7,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of Golden Valley to construct public safety improvements at the intersection of Douglas Drive and Highway 55, including a box culvert underpass across Highway 55, a roundabout and extended frontage road south of Highway 55, retaining wall construction, underground utility relocation, sidewalk and trail connections to existing facilities, Americans with Disabilities Act-compliant facilities, and landscaping. Amounts spent by the city of Golden Valley in 2016 and 2017 to reconstruct approximately 1-3/4 miles of Douglas Drive north of Highway 55, including on-street bicycle lanes and off-street trails and sidewalks, constitute the city's nonstate contribution to this project.

Subd. 6. Maple Grove; Local Connections

14,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of Maple Grove or Hennepin County, or both, in amounts determined by the commissioner to acquire right-of-way, predesign, design, engineer, and construct roadway connections between marked Trunk Highway 610 and I-94, and the extension to County Road 30 in Hennepin County. The project includes completion of the update of the environmental impact statement with an environmental assessment for the project. This appropriation is not available until the commissioner of management and budget determines that amounts necessary to complete the project have been committed from nonstate sources. The total estimated cost is $33,000,000.

Subd. 7. Oak Park Heights; Realignment of 60th Street

794,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of Oak Park Heights to design, engineer, construct, furnish, and equip a realignment of 60th Street, lying south of State

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Highway 36, from Krueger Lane to a current service road east of Norell Avenue and west of Nova Scotia Avenue, including the installation of a roundabout at the intersection with Norell Avenue. This project includes off-street trails and sidewalks, and public safety improvements, utility relocations and connections, trail connections, accessibility features, landscaping, and storm water management, all in conjunction with the realignment of 60th Street. The total project cost is estimated to be $2,230,000 and this appropriation is available when the commissioner of management and budget determines that sufficient resources have been committed to complete the project.

Subd. 8. Ramsey County; I-35E and County Road J Interchange

1,500,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to Ramsey County to complete the preliminary engineering and environmental documentation for a full access interchange on County Road J at Interstate Highway 35E and associated improvements on County Road J supporting the interchange from Centerville Road to Otter Lake Road in the cities of North Oaks and Lino Lakes and White Bear Township. This appropriation does not require a nonstate contribution.

Subd. 9. Richfield; 77th Street Underpass

7,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of Richfield for the extension of 77th Street under marked Trunk Highway 77/Cedar Avenue project in the city of Richfield, and is added to the appropriation in Laws 2015, First Special Session chapter 5, article 1, section 10, subdivision 7, as amended by Laws 2017, First Special Session chapter 8, article 2, section 32. This appropriation is not available until the commissioner of management and budget determines that at least $13,800,000 has been committed from other sources to complete the project. Contributions from other sources include other money spent on the project before the effective date of this subdivision.

Subd. 10. Scott County; Highway 13 and Yosemite Interchange

3,666,000

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

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Subd. 11. Sherburne County; Zimmerman Interchange Project

2,000,000

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

Subd. 12. Washington County; Interchange at Highway 36 and County Road 15

3,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to Washington County for engineering and property and easement acquisition, in conjunction with an interchange at marked Trunk Highway 36 and County State-Aid Highway 15, known as Manning Avenue, in Washington County. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 13. Zumbrota; Jefferson Drive

3,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of Zumbrota to predesign, design, and reconstruct a segment of Jefferson Drive and the adjacent trail in the city of Zumbrota, including a culvert extension, and replacement of or improvements to side street connections, pedestrian crossing facilities, storm sewer, drainage, sanitary sewer, and water lines. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 14. Local Bridge Replacement and Rehabilitation

53,228,000

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

Subd. 15. St. Paul; Third Street/Kellogg Boulevard Bridge

55,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of St. Paul to demolish and remove the existing Third Street/Kellogg Boulevard bridge over the BNSF railroad,

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Commercial Street, and marked Interstate Highway 94, and to acquire right-of-way for, design, and construct a replacement bridge that includes multimodal elements for bicycles, pedestrians, vehicles, and mass transit. This appropriation also may be used for any roadway approach reconstruction work identified within the project limits, including right-of-way acquisition and design. This appropriation does not require a local match.

Subd. 16. Washington County; Bridge Over I-694

3,500,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to Washington County to predesign, design, engineer, construct, and equip the reconstruction of the 4th Street Bridge over Interstate 694 in the city of Oakdale. This appropriation is not available until the commissioner of management and budget determines that a sufficient amount has been committed from nonstate sources to complete the project. The total estimated project cost is $10,300,000.

Subd. 17. Safe Routes to School

10,000,000

$8,000,000 of this appropriation is for grants under Minnesota Statutes, section 174.40.

$2,000,000 of this appropriation is from the general fund to predesign, design, construct, and equip bicycle and pedestrian facilities along trunk highways on or through reservations and tribal lands or for grants with Indian tribal governments to predesign, design, construct, and equip bicycle and pedestrian facilities on reservations or tribal lands.

Subd. 18. Rail Service Improvement

6,000,000

For rail service improvement grants under Minnesota Statutes, section 222.50.

Subd. 19. Port Development Assistance

14,000,000

For grants under Minnesota Statutes, chapter 457A. Any improvements made with the proceeds of these grants must be publicly owned.

Subd. 20. Railroad Warning Devices

5,000,000

To design, construct, and equip replacement of active highway-rail grade warning devices that have reached the end of their useful life.

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Subd. 21. Passenger Rail

15,000,000

(a) For intercity passenger rail implementation on Phase 1 corridors identified in the 2015 update to the state rail plan under Minnesota Statutes, section 174.03, subdivision 1b.

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

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

Subd. 22. Northstar Commuter Rail Extension to St. Cloud

1,000,000

From the general fund for assessment, analysis, and review of the project to extend Northstar Commuter Rail service to the city of St. Cloud.

Subd. 23. Northern Lights Express; Third Mainline Railroad Track in Anoka County

24,000,000

To design, engineer, and construct Phase 1 of a third mainline railroad track and related track, bridge, signal, and drainage improvements adjacent to the two existing mainline tracks between BNSF's Northtown Yard and Coon Creek Junction at mile post 21.10. Phase 1 is between the north end of BNSF's Northtown Yard in the vicinity of mile post 14.9 and the Fridley Northstar Commuter Rail station.

Subd. 24. Northern Lights Express; Grassy Point Bridge

8,750,000

To design and rehabilitate the operating, control, and mechanical systems that support the opening and closing of the swing bridge position of the Grassy Point railroad bridge that crosses St. Louis Bay.

Subd. 25. Transportation Facilities Capital Program

40,000,000

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

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Subd. 26. Railroad Grade Separation in Moorhead

52,000,000

From the bond proceeds account in the trunk highway fund for environmental analysis, design, engineering, right-of-way acquisition, utility relocation, removal of existing structures, and construction of rail grade crossing separations in the vicinity of marked Trunk Highway 10 and marked Trunk Highway 75 in the city of Moorhead at 11th Street.

Subd. 27. Railroad Grade Separation in Anoka County

10,000,000

From the bond proceeds account in the trunk highway fund to complete the preliminary engineering, environmental documentation, final design, and right-of-way acquisition of a highway-rail grade separation on marked Trunk Highway 47, also known as Ferry Street, at the Burlington Northern Santa Fe railroad crossing and associated improvements in the city of Anoka.

Subd. 28. Greater Minnesota Transit Program

10,000,000

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

Subd. 29. International Falls-Koochiching County Airport Improvements

2,000,000

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

Subd. 30. Brainerd Lakes Regional Airport Improvements

5,800,000

For a grant to the Brainerd Lakes Regional Airport Commission for site mitigation and demolition, predesign, and design, and to construct, furnish, and equip a joint-use facility to be used by the Brainerd Lakes Regional Airport and the Department of Natural Resources, a paved apron, and airport perimeter fencing.

Subd. 31. Rochester International Airport Improvements

11,400,000

(a) This appropriation is for one or more grants to the city of Rochester for improvements to the Rochester International Airport as specified in this subdivision. If any amount specified for a Phase is not needed to complete that phase, the unexpended and unencumbered amount may be applied to another phase of the Rochester International Airport project for which an appropriation is made in this section.

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

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

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

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

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

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

Subd. 32. Albert Lea; Highway 65 Flood Mitigation

2,136,000

For a grant to the city of Albert Lea for preliminary design, final design, right-of-way acquisition if needed, and construction of the local road portions of the marked U.S. Highway 65 flood mitigation project in Albert Lea. The flood mitigation project is to raise the roadway above flood levels. This appropriation is not available until the commissioner of management and budget determines that at least $1,000,000 has been committed from nonstate sources to complete the project.

Subd. 33. Hastings; Trail on Highway 316

1,000,000

For a grant to the city of Hastings to pay the local share of design, engineering, and construction costs of improvements of a trail to be constructed in association with the improvements to marked Trunk Highway 316 within the Hastings city limits. No nonstate contribution is required.

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Subd. 34. Koochiching County; CSAH 24 Rail Grade Separation

3,000,000

For a grant to Koochiching County to acquire land for and to predesign, design, engineer, and construct a rail grade crossing separation where County State-Aid Highway 24 crosses Canadian National railroad tracks near the cities of Ranier and International Falls. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from other sources to complete the project.

Subd. 35. Northfield; Regional Transit Hub

2,500,000

For a grant to the city of Northfield to acquire real property; prepare the site, including any environmental remediation; and predesign, design, construct, furnish, and equip a regional transit hub. This appropriation does not require a nonstate contribution.

Subd. 36. Ramsey County; East Metro Rail Corridor

500,000

This appropriation is from the general fund for a grant to the Ramsey County Regional Railroad Authority for environmental analysis and design of capital improvements associated with grade separation of Union Pacific and BNSF track between Westminster Junction and Division Street/Hoffman Interlocking.

Subd. 37. Red Wing; Railroad Grade Separation

10,588,000

For a grant to the city of Red Wing for environmental analysis, design, engineering, removal of an existing structure, acquisition of right-of-way, and construction of a rail grade crossing separation at Sturgeon Lake Road. This appropriation is in addition to the appropriation for the same purpose in Laws 2017, First Special Session chapter 8, article 1, section 15, subdivision 4.

Subd. 38. Rogers; Pedestrian and Bicycle Bridge

2,200,000

For a grant to the city of Rogers to acquire property for and to design and construct a pedestrian and bicycle bridge over marked Interstate Highway 94 approximately one mile northwest of the interchange at marked Trunk Highway 101. This appropriation includes money for construction of a bituminous trail to connect to the existing trail system. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 39. Shakopee; Highway 169 Pedestrian and Bicycle Overpass

2,162,000

For a grant to the city of Shakopee to acquire land or interests in land, predesign, design, engineer, and construct a pedestrian and bicycle overpass over marked Trunk Highway 169, and establish

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new trail segments, to connect the Southbridge neighborhood and Quarry Lake Park. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Sec. 18. METROPOLITAN COUNCIL

Subdivision 1. Total Appropriation

$128,420,000

To the Metropolitan Council for the purposes specified in this section.

Subd. 2. Metropolitan Cities Inflow and Infiltration Grants

9,500,000

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

Subd. 3. Regional Parks

10,000,000

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

Subd. 4. Bus Rapid Transit Lines

55,000,000

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

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Subd. 5. Apple Valley; Transit Station

2,625,000

To complete design and to construct and renovate the Apple Valley Red Line 147th Street Station. This project includes the addition of a skyway to connect the northbound and southbound stations on either side of Cedar Avenue, constructing and renovating additional waiting areas, and renovating and upgrading other station facilities such as the staircases, elevators, and lighting. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from other sources to complete the project.

Subd. 6. Coon Rapids; Trail and Pedestrian Bridge

2,250,000

For a grant to the city of Coon Rapids to design and construct a trail and pedestrian bridge, along with associated lighting and streetscaping improvements, for the Coon Creek Regional Trail over Anoka County State-Aid Highway 1 (Coon Rapids Boulevard) northwest of the intersection of Avocet Street and Coon Rapids Boulevard in Coon Rapids. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 7. Dakota County; Pedestrian and Bicycle Trails

8,940,000

For a grant to Dakota County for right-of-way acquisition and for predesign, design, engineering, and construction of regional pedestrian and bicycle trails and trail-related improvements in Dakota County. This appropriation includes money for the Minnesota River Greenway and the Veterans Memorial Greenway. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed to complete the project.

Subd. 8. Minneapolis Park and Recreation Board; Mississippi River Trail Connection

3,000,000

(a) For a grant to the Minneapolis Park and Recreation Board to design and construct a trail connection paralleling the Mississippi River between 26th Avenue North and the Minneapolis Grand Rounds at Ole Olson Park, all within Above the Falls Regional Park. This appropriation is intended to augment work being completed by the city of Minneapolis to reconstruct and create a multimodal corridor beginning at Theodore Wirth Regional Park and extending east to the Mississippi River along 26th Avenue North. This appropriation is available when the commissioner of management and budget determines that at least $1,500,000 has been committed from nonstate sources to complete the river overlook at 26th Avenue North portion of the project.

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

Subd. 9. Minneapolis Park and Recreation Board; North Commons Park

11,250,000

For a grant to the Minneapolis Park and Recreation Board to design and construct a new community building with indoor sports, gathering, and arts spaces; a new water park; associated parking; and associated demolition of site elements and buildings for the North Commons Park. This appropriation is not available until the commissioner of management and budget determines that at least $6,000,000 has been committed from nonstate sources to complete the project.

Subd. 10. Ramsey County; Battle Creek Winter Recreation Area

2,000,000

For a grant to Ramsey County for design and construction of a Nordic ski competition and winter recreation area to include a 2.5 kilometer cross-country ski trail loop, upgrades to utilities and other park infrastructure, and a marker commemorating the Olympic accomplishments of Minnesotan Jessie Diggins in Battle Creek Regional Park. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from other sources to complete the trail portion of the project.

Subd. 11. Ramsey County; Riverview Corridor

2,000,000

For a grant to the Ramsey County Regional Railroad Authority for predesign and design activities, including environmental work, of the Riverview Corridor Transitway from the Union Depot in the city of St. Paul to the Minneapolis-St. Paul International Airport and the Mall of America in the city of Bloomington. This appropriation does not require a nonstate contribution.

Subd. 12. Ramsey County; Rush Line Corridor Transitway

2,000,000

For a grant to the Ramsey County Regional Railroad Authority for predesign and design, including environmental work, of the Rush Line Corridor Transitway from the Union Depot in the city of St. Paul to the city of White Bear Lake. This appropriation does not require a nonstate contribution.

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Subd. 13. St. Paul; Como Zoo

1,000,000

For a grant to the city of St. Paul for energy efficiency updates and asset preservation improvements and betterments of a capital nature to infrastructure at Como Zoo. This appropriation does not require a nonstate contribution.

Subd. 14. St. Paul; Great River Passage Center

3,000,000

For a grant to the city of St. Paul for predesign and design of a River Learning Center project and adjacent site development in Crosby Farms Regional Park. The project will integrate environmental education, river access, and river and nature-based recreation, along with increasing safe access to and awareness by the public of the Mississippi River. The River Learning Center is an opportunity to build on the history and interconnectedness to the river, create an authentic, signature destination that positions the state nationally and internationally, improve the quality of life for residents and visitors, and cultivate a constituency that values the river and will care for it into the future. This appropriation does not require a nonstate contribution.

Subd. 15. St. Paul; Wakan Tipi

1,000,000

For a grant to the city of St. Paul for the Wakan Tipi Center project. The city may enter into a lease or management agreement under Minnesota Statutes, section 16A.695. This appropriation is added to the appropriation for the Nature Sanctuary Visitor Center in Laws 2018, chapter 214, article 1, section 17, subdivision 6, and is for the same purposes. This appropriation is not available until the commissioner of management and budget determines that an amount has been committed from nonstate sources to complete the project. The total project cost is estimated to be $6,700,000.

Subd. 16. Shakopee; Minnesota River Riverbank Stabilization

4,975,000

For a grant to the city of Shakopee to predesign, design, and construct the restoration of the Minnesota River riverbank from the western edge of downtown Shakopee to The Landing in the Three Rivers Park District. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 17. Three Rivers Park District; Mississippi Gateway

8,500,000

For a grant to Three Rivers Park District to design, engineer, construct, furnish, and equip the Mississippi Gateway Regional Park development, including playground development, pedestrian trail connections, landscape restoration and enhancements, habitat

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restoration, visitor center, classroom space, and site amenities. This appropriation is not available until the commissioner of management and budget determines that $21,500,000 is committed to complete the project from nonstate sources.

Subd. 18. Washington County; Cottage Grove Ravine Regional Park Facility

1,000,000

For a grant to Washington County to develop the lower landing facility area in Cottage Grove Ravine Regional Park. This appropriation includes money to design, construct, furnish, and equip a multiuse facility with restrooms, storage space, multipurpose lobby space, office space, and an equipment staging area. Adjacent site area improvements may include play area improvements, a fishing pier, and canoe and kayak launch access improvements on Ravine Lake. This appropriation is not available until the commissioner of management and budget determines that an equal amount has been committed from nonstate sources to complete the project.

Subd. 19. White Bear Township; Trails

380,000

For a grant to White Bear Township in Ramsey County to design, engineer, construct, and equip trail improvements along and parallel with the shore of White Bear Lake between the Washington County line and the city limits of the city of White Bear Lake, Ramsey County. Nonstate contributions to the project made before or after the enactment of this subdivision are considered to be a sufficient match and no further nonstate contribution is required.

Sec. 19. HUMAN SERVICES

Subdivision 1. Total Appropriation

$75,778,000

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

Subd. 2. Asset Preservation

15,000,000

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

Subd. 3. St. Peter Regional Treatment Center Campus - Phase 2

18,288,000

To design, renovate, furnish, and equip the second phase of a multiphase project to develop additional residential, program, activity, and ancillary facilities for the Minnesota sex offender program on the lower campus of the St. Peter Regional Treatment

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Center. This appropriation includes money to design, renovate, construct, furnish, and equip the north wing of Green Acres; the west, south, and north wings of Sunrise; and the Tomlinson Building. This appropriation also includes money to: replace or renovate HVAC, plumbing, electrical, security, and life safety systems; address fire and life safety, and other building code deficiencies; replace windows and doors; tuck-point exterior building envelopes; reconfigure and remodel space; design and abate asbestos and other hazardous materials; remove or demolish nonfunctioning building components; and complete site work necessary to support the programmed use of these three buildings.

Subd. 4. Child and Adolescent Behavioral Health Services Facility

1,750,000

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

Subd. 5. Anoka Metro Regional Treatment Center - Miller Building

6,600,000

For the predesign, design, renovation, furnishing, and equipping of the north wing of the Miller Building at the Anoka Metro Regional Treatment Center.

Subd. 6. Anoka Metro Regional Treatment Center - Energy Upgrades

3,500,000

This appropriation is from the general fund to design and install renewable energy systems and upgrades for buildings on the Anoka Metro Regional Treatment Center campus.

Subd. 7. Direct Care and Treatment Facilities Safety and Security

5,000,000

For comprehensive safety and security improvements, including construction of physical modifications, and acquisition and installation of new and upgraded essential security systems, and electronic monitoring tools at Department of Human Services facilities statewide.

Subd. 8. Early Childhood Facilities

10,000,000

To the commissioner of human services for grants under Minnesota Statutes, section 256E.37. $5,000,000 of this appropriation is from the general fund.

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Subd. 9. St. Louis Park; Perspectives Family Center

4,500,000

To the commissioner of human services for a grant to the city of St. Louis Park to construct, furnish, and equip the expansion and renovation of the existing Perspectives Family Center facility in St. Louis Park subject to Minnesota Statutes, section 16A.695. The expanded and renovated facility must be used to promote the public welfare by providing any or all of the following programs and services: (1) supportive housing programs for homeless women and their children; (2) mental and chemical health programs; (3) employment services; (4) academic, social skills, and nutritional programs for homeless and at-risk children; (5) an all-day therapeutic early childhood development program for homeless and at-risk children; and (6) a culturally sensitive safe and nurturing environment for at-risk children to meet with their nonresidential parents. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 10. St. Louis County; Regional Behavioral Health Crisis Facility

1,365,000

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

Subd. 11. Red Lake Band of Chippewa Indians; Family and Child Services

8,717,000

This appropriation is from the general fund to the commissioner of human services for a grant to the Red Lake Band of Chippewa Indians to predesign, design, construct, furnish, and equip a family and child services building. This appropriation does not require a nonstate contribution.

Subd. 12. Prairie Lake Youth JPB; School and Recreation Center

1,058,000

To the commissioner of human services for a grant to Kandiyohi County to predesign, design, construct, furnish, and equip an indoor recreation and educational building adjoining the current building for the Prairie Lakes Youth Program. This appropriation is not available until the commissioner of management and budget determines that at least $500,000 has been committed from nonstate sources to complete the project.

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Sec. 20. VETERANS AFFAIRS

Subdivision 1. Total Appropriation

$14,600,000

To the commissioner of administration for the purposes specified in this section.

Subd. 2. Asset Preservation

10,000,000

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

Subd. 3. Campus Security

4,200,000

For comprehensive campus security and safety upgrades at the veterans homes in Fergus Falls, Hastings, Luverne, and Silver Bay, including predesign and design, acquisition and installation, construction, furnishing, and equipping.

Subd. 4. Fergus Falls Greenhouse

100,000

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

Subd. 5. Martin County; Veterans Memorial

300,000

For a grant to Martin County to design and construct a memorial to those who have served in the military of the United States of America and those who have died in the line of duty. This appropriation is not available until the commissioner of management and budget has determined that at least an equal amount from nonstate sources has been committed to complete the project.

Sec. 21. CORRECTIONS

Subdivision 1. Total Appropriation

$66,259,000

To the commissioner of administration or another named entity for the purposes specified in this section.

Subd. 2. Asset Preservation

32,099,000

For asset preservation improvements and betterments of a capital nature at Minnesota correctional facilities statewide, to be spent in accordance with Minnesota Statutes, section 16B.307. Notwithstanding any limitations in Minnesota Statutes, section 16B.307, this appropriation may also be used if necessary to complete the interior perimeter fence at the Minnesota Correctional Facility - St. Cloud.

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Subd. 3. Minnesota Correctional Facility - Willow River

1,877,000

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

Subd. 4. Minnesota Correctional Facility - Oak Park Heights

7,004,000

To design, construct, furnish, and equip a new building and to complete associated site work at the Minnesota Correctional Facility - Oak Park Heights, to consolidate the Department of Corrections' transportation unit operations from three sites to one to realize greater efficiencies in operations and reduce operating costs.

Subd. 5. Minnesota Correctional Facility - Faribault

7,312,000

To design, construct, renovate, furnish, and equip new and existing buildings and complete associated site work to upgrade the minimum security housing unit (Dakota Building) and expand offender programming space at the Minnesota Correctional Facility - Faribault. The renovation of the existing building includes but is not limited to: the removal of hazardous waste materials; upgrades to comply with current building codes; and construction of a new programming addition. This project includes the demolition of an attached and abandoned two story brick building to provide space for the new programming addition.

Subd. 6. Minnesota Correctional Facility - St. Cloud

3,500,000

(a) $2,700,000 of this appropriation is to design and construct a perimeter security system at the Minnesota Correctional Facility - St. Cloud. The security system includes but is not limited to the installation of the second of two 12-foot-high fences circling the interior of the existing granite perimeter wall. The appropriate lighting, cameras, and fence detection systems shall also be installed as part of the project.

(b) $800,000 of this appropriation is to design, renovate, construct, equip, and install a new fire suppression system in Living Units A, B, and C at the Minnesota Correctional Facility - St. Cloud. This installation includes but is not limited to cells, common areas, and control areas and must comply with all applicable codes.

Subd. 7. Minnesota Correctional Facility - Stillwater

2,600,000

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

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Subd. 8. Minnesota Correctional Facility - Togo

2,600,000

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

Subd. 9. Arrowhead Regional Corrections Joint Powers Board

3,350,000

To the commissioner of corrections for a grant to the Arrowhead Regional Corrections Joint Powers Board to renovate, remodel, and complete other capital improvements to buildings that support vocational, educational, and farm work programming and experiences at the Northeast Regional Corrections Center. Nonstate contributions to improvements at the center made before or after the enactment of this section are considered to be a sufficient match and no further nonstate contribution is required.

Subd. 10. Carlton County; Regional Corrections Facility

3,000,000

To the commissioner of corrections for a grant to Carlton County for predesign and design of a corrections facility providing emphasis on serving as a regional facility for female offenders. This statewide demonstration project shall address current state requirements of parity in serving male and female offenders under Minnesota Statutes, section 241.70, subdivision 1, and will use the Sequential Intercept Model to improve service and system-level responses for adults with mental and substance abuse disorders in the criminal justice system. This appropriation does not require a nonstate contribution.

Subd. 11. Martin County Justice Center

2,167,000

To the commissioner of corrections for a grant to Martin County for site preparation, predesign, and design of a new county justice center to provide space for functions related to the county justice system, which may include the county jail, courtrooms, court offices and related purposes, offices for the sheriff and other law enforcement personnel, county and state corrections, the county attorney, dispatch, and emergency management. This appropriation is available when the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 12. Winona County Jail

750,000

To the commissioner of corrections for a grant to Winona County to acquire land for a new county jail. This appropriation does not require a nonstate contribution.

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Subd. 13. Unspent Appropriations

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

Sec. 22. EMPLOYMENT AND ECONOMIC DEVELOPMENT

Subdivision 1. Total Appropriation

$203,462,000

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

Subd. 2. Greater Minnesota Business Development Public Infrastructure

6,000,000

For grants under Minnesota Statutes, section 116J.431.

Subd. 3. Innovative Business Development Public Infrastructure

4,000,000

For grants under Minnesota Statutes, section 116J.435.

Subd. 4. Transportation Economic Development Infrastructure

3,000,000

For grants under Minnesota Statutes, section 116J.436.

Subd. 5. Workforce Center; Asset Preservation

642,000

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

Subd. 6. Greater Minnesota Child Care Facility Capital Grant Program

5,000,000

For the greater Minnesota child care facility capital grants program in Minnesota Statutes, section 116J.417.

Subd. 7. Annandale; Infrastructure Replacement

4,180,000

For a grant to the city of Annandale for predesign, design, construction, and replacement or renovation of street, storm sewer, sanitary sewer, water main, and other capital improvements that are made necessary by, or are most economically completed if

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performed at the same time as, road work on marked Trunk Highways 24 and 55 in the city of Annandale. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project. Amounts spent by the city of Annandale before enactment of this section for this project count toward the nonstate match.

Subd. 8. Becker County; Museum

3,000,000

For a grant to Becker County to predesign, design, construct, furnish, and equip a new county museum facility. This appropriation is not available until the commissioner of management and budget determines that an amount sufficient to complete the project, estimated to be $3,500,000, has been committed from nonstate sources to complete the project.

Subd. 9. Champlin; Mississippi Point Park

5,000,000

For a grant to the city of Champlin for one or more of the following: to predesign, design, acquire, install, construct, furnish, and equip capital improvements in Mississippi Point Park. The improvements may include an Americans with Disabilities Act (ADA) accessible boat docking system, site grading for ADA accessibility, picnic pavilion, shoreline stabilization, parking, and additions to the West Mississippi River Trail system. Nonstate contributions to the project made before enactment of this subdivision are considered to be a sufficient match and no further nonstate contribution is required.

Subd. 10. Chatfield; Center for the Arts

9,700,000

For a grant to the city of Chatfield economic development authority to predesign, design, renovate, construct, furnish, and equip Phase II of the Chatfield Center for the Arts in the city of Chatfield, which is generally described as the renovation of the 1916 high school, and the installation of a linking structure and related improvements to serve both the 1936 auditorium building and the 1916 school building. The renovation shall include interior, exterior, and amenity improvements within the high school building, improvements to the electrical, plumbing, and HVAC systems throughout the property, and general improvements to the buildings and land that are known as the Chatfield Center for the Arts, currently owned by the economic development authority. Money, land and buildings, and in-kind contributions provided to the center before the enactment of this section are considered to be sufficient local match, and no further local match is required.

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Subd. 11. Duluth; Seawall and Surface Improvements

13,250,000

For a grant to the city of Duluth to predesign, design, construct, furnish, and equip seawall and lakewalk infrastructure with related surface improvements, including a boardwalk and bike trails, public gathering spaces, and loading areas, along the shore of Lake Superior in the city of Duluth. This appropriation may also be used for demolition and removal of existing seawall and lakewalk structures. This appropriation does not require a nonstate contribution.

Subd. 12. Duluth; Lake Superior Zoo

250,000

For a grant to the city of Duluth to predesign and design the renovation or replacement of the Main Building at the Lake Superior Zoo. This appropriation does not require a nonstate contribution.

Subd. 13. Ellsworth; City Hall and Public Works Shop

1,345,000

For a grant to the city of Ellsworth to prepare the site, predesign, design, construct, furnish, and equip a city hall with a multipurpose room and a public works shop, to replace the city hall and public works buildings destroyed by fire in January 2019. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 14. Fergus Falls; Riverfront Corridor

1,646,000

For a grant to the city of Fergus Falls for construction of a downtown riverfront corridor improvement project. The appropriation may be used for one or more of the following: an amphitheater, river market, public arts space, interactive water components, and related publicly owned infrastructure and amenities. This appropriation is not available until the commissioner of management and budget determines that at least $2,800,000 has been committed from nonstate sources to complete the project. Amounts committed to this project from nonstate sources for construction of an amphitheater count toward the nonstate match so long as the amphitheater is owned by the city.

Subd. 15. Grand Rapids; IRA Civic Center

5,488,000

For a grant to the city of Grand Rapids for the design, construction, and equipping of capital improvements to the IRA Civic Center. This appropriation includes money for replacement of the truss/roof structure, replacement of the facility's existing ice‑making system, and other improvements and betterments of a capital nature for health, safety, and Americans with Disabilities Act (ADA) compliance. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

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Subd. 16. Hastings; City Hall

2,000,000

For a grant to the city of Hastings for repairs, construction, and other capital improvements necessary for renovation of the historic City Hall in Hastings. This appropriation includes money for repairs of the dome and roofing, HVAC improvements, repairs to the interior walls and exterior masonry of the building, site regrading, and project management. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 17. Hennepin County; Avivo

1,799,000

For a grant to Hennepin County for Phase 1 of the Avivo regional career and employment center project in Minneapolis, subject to Minnesota Statutes, section 16A.695. Phase 1 includes geotechnical and environmental investigation, permitting, demolition, and site work; predesign and design of the renovation and expansion of a building; and predesign and design for the replacement of or improvements to building systems on the Avivo campus, including HVAC, mechanical, electrical, and accessibility improvements. No match is required.

Subd. 18. Hibbing; Mine View

1,500,000

For a grant to the city of Hibbing to construct the mine view "Windows to the World" facility on the Susquehanna mine dump. Nonstate contributions to the project made before enactment of this subdivision are considered to be a sufficient match and no further nonstate contribution is required.

Subd. 19. Hoyt Lakes; Ice Arena Refrigeration System

1,119,000

For a grant to the city of Hoyt Lakes for capital improvements to the ice arena, including replacement of the ice plant, ice floor systems, pipes, and related infrastructure to comply with federally mandated requirements for replacement of systems using R-22 as a refrigerant and for a new dasher board system. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate resources to complete the project.

Subd. 20. Isanti; Tibetan American Foundation Center

1,500,000

For a grant to the city of Isanti to acquire real property, predesign, design, construct, renovate, and equip an educational and community center for use by the Tibetan American Foundation of Minnesota, subject to Minnesota Statutes, section 16A.695. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate resources to complete the project.

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Subd. 21. Lakeville; Clean Water Infrastructure

180,000

For a grant to the city of Lakeville for the rehabilitation of six wells and pumps in the city's clean water delivery system. This appropriation is not available until the commissioner of management and budget determines that $180,000 has been committed from nonstate sources to complete the project.

Subd. 22. Lakeville; Sanitary Sewer Lift Station

250,000

For a grant to the city of Lakeville to rehabilitate capital equipment in the Lakeville Sanitary Sewer lift station number 10. This appropriation is not available until the commissioner of management and budget determines that $250,000 has been committed from nonstate sources to complete the project.

Subd. 23. Litchfield; Wellness Center

5,000,000

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

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

(c) This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 24. Minneapolis; Central City Storm Tunnel

11,000,000

For a grant to the city of Minneapolis for design and construction necessary to expand the Central City Storm Tunnel in Minneapolis. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 25. Minneapolis; Outdoor Performance Venue

20,000,000

(a) For a grant to the city of Minneapolis to predesign, design, construct, furnish, and equip a new outdoor music performance venue on the Upper Harbor site along the Mississippi River in

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North Minneapolis. The venue will accommodate approximately 7,000 to 10,000 people in a combination of temporary seating or standing room. A portion of the venue will be designed to allow it to be enclosed for smaller events on a year-round basis.

(b) This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

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

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

Subd. 26. Minneapolis; Indian Health Center

1,000,000

For a grant to the city of Minneapolis to construct, furnish, and equip improvements for a behavioral health clinic located at 2101 Minnehaha Avenue. The city of Minneapolis may enter into a lease or management agreement with a nonprofit organization for operation of this facility, subject to Minnesota Statutes, section 16A.695.

Subd. 27. Minneapolis; Little Earth of United Tribes Neighborhood Early Learning Center

1,500,000

For a grant to the city of Minneapolis to design, construct, furnish, and equip improvements to an early learning facility located at 2438 18th Avenue South. The city of Minneapolis may enter into a lease or management agreement with a nonprofit organization for operation of the facility subject to Minnesota Statutes, section 16A.695.

Subd. 28. New Ulm; German Park Amphitheater

300,000

For a grant to the city of New Ulm for site work, including terracing and landscaping, and to design and construct capital improvements, including accessibility improvements to comply with the Americans with Disabilities Act (ADA), necessary for

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replacement of the amphitheater in German Park. This appropriation is not available until the commissioner of management and budget determines that $325,000 has been committed from nonstate sources to complete the project.

Subd. 29. Nobles County; WELL Center

16,200,000

(a) For a grant to Nobles County to design, engineer, and construct a resource center in the city of Worthington. The new facility, the WELL Center - Welcome, Education, Library, Livability Center, will provide space for Nobles County, the city of Worthington, and Independent School District No. 518, Worthington, to provide library and human services support functions, as well as community education, integration, and a welcome center for new residents to the region. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project; that the county has completed the racial equity impact assessment required under paragraph (b); and that the county has entered into a community benefits agreement developed as provided in paragraph (c).

(b) Nobles County must enter into an agreement with Voices for Racial Justice to conduct a racial equity impact assessment. The assessment must identify persons and communities in the area that may be positively and negatively impacted by the WELL Center project and the programs to be conducted in the facility in order to develop specific strategies, policies, and project elements that will mitigate the adverse racial inequities in the short term and long term.

(c) Nobles County must enter into an agreement with Voices for Racial Justice to develop a community benefits agreement that guarantees the WELL Center will provide specific amenities and programmatic strategies supporting racial equity in the community, as identified in the racial equity impact assessment.

(d) Of this appropriation, $200,000 is from the general fund for a grant to Voices for Racial Justice to:

(1) work with Nobles County, the school district, and the city of Worthington on the plan for the WELL Center to conduct a racial equity impact assessment. The assessment must identify persons and communities in the area that will be impacted by the WELL project and the programs to be conducted in the facility in order to develop specific strategies, policies, and project elements that will make the WELL Center accessible to its diverse constituents and to mitigate any racial inequities in the short term and long term;

(2) develop a community benefits agreement that guarantees the WELL Center will provide specific amenities and programmatic strategies supporting racial equity in the community, as identified in the racial equity impact assessment; and

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(3) lead a community-based research process related to the need for a Worthington Heritage and Cultural Center run and led by immigrants and refugees independent of the WELL Center.

Subd. 30. Olmsted County; Graham Park Event Center

12,500,000

For a grant to Olmsted County to predesign, design, construct, furnish, and equip capital improvements to and renovation of Graham Park, a regional multiuse park and event center in Olmsted County. This appropriation may be used for a new multipurpose expo facility and renovations to existing facilities and spaces in the park. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 31. Plymouth; Plymouth Creek Center

7,500,000

For a grant to the city of Plymouth for renovation and expansion of the Plymouth Creek Center. This appropriation is for one or more of the following project elements: predesign, design, site work including fiber optic and utility relocation, the renovation of the existing building and parking area, construction of the expansion, and landscaping. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 32. Proctor; Multiuse Government Center

3,000,000

For a grant to the city of Proctor to predesign and design a new multipurpose government center, and to predesign, design, and construct a salt shed to replace the condemned salt shed on the river front. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 33. Roseville; Guidant John Rose OVAL

5,000,000

For a grant to the city of Roseville to predesign, design, construct, furnish, and equip the renovation of the Guidant John Rose Minnesota OVAL. The project includes the building, building systems, and facilities. This appropriation does not require a nonstate contribution.

Subd. 34. St. Cloud; Municipal Athletic Complex

8,950,000

For a grant to the city of St. Cloud to design, construct, furnish, and equip improvements to the municipal athletic complex to serve as a regional field sport and ice sport facility. This appropriation includes money for a locker room and training addition to the ice

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arena, mechanical upgrades, reconstruction of Dick Putz Field, and for renovation of Joe Faber Field to correct drainage. This appropriation may not be used to acquire and install artificial turf or to construct the west lobby. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 35. St. Joseph; Jacob Wetterling Recreation Center

4,000,000

For a grant to the city of St. Joseph for Phase 1 of the St. Joseph Community Center project. Phase 1 is to predesign, design, construct, furnish, and equip a recreation center as an addition to the former school building purchased by the city to be repurposed as a community center. The addition includes a gym, indoor track, climbing wall, and kid zone. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 36. St. Louis County; Heritage and Arts Center

8,000,000

For a grant to St. Louis County for asset preservation and expansion of the St. Louis County Heritage and Arts Center, also known as the Depot, in Duluth. The project includes predesign, design, construction, and renovation work for the replacement of or improvements to mechanical, electrical, heating, ventilating, and air conditioning systems; life-safety elements of the building; and exterior building envelope integrity. The project also includes exhibit build-out and expansion of the train shed. This appropriation is not available until the commissioner of management and budget determines that an amount sufficient to complete the project, estimated to be $4,250,000, has been committed from nonstate sources to complete the project.

Subd. 37. St. Louis County; Fairgrounds Buildings

400,000

For a grant to St. Louis County to design and construct two buildings at the St. Louis County Fairgrounds in Chisholm to house animal exhibits. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 38. St. Paul; East Side Freedom Library

500,000

For a grant to the city of St. Paul to complete the design and to renovate, restore, construct, furnish, and equip capital improvements to the Carnegie Library formerly known as the Arlington Hills Public Library. Nonstate contributions to improvements of the library made before or after the enactment of this subdivision are considered to be a sufficient match, and no further nonstate match is required.

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Subd. 39. St. Paul; Downtown YMCA

1,600,000

For a grant to the city of St. Paul to predesign and design a new YMCA community hub in downtown St. Paul, subject to Minnesota Statutes, section 16A.695. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 40. St. Paul; Humanities Center

750,000

For a grant to the city of St. Paul for asset preservation of the Minnesota Humanities Center's main facility, including capital improvements for building envelope, foundation, and structural integrity; and for mechanical systems upgrades, including heating, ventilation, and cooling, subject to Minnesota Statutes, section 16A.695. This appropriation is added to the appropriation in Laws 2018, chapter 214, article 1, section 21, subdivision 25. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 41. St. Paul; International Institute of Minnesota

5,500,000

For a grant to the city of St. Paul to renovate and expand the International Institute of Minnesota. This project includes remediation of contaminated soil, renovation of the existing building, construction of an addition to the building, and furnishing and equipping the renovated and expanded facility. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed to complete the project from nonstate sources. Amounts spent before the effective date of this subdivision for acquisition of real property, environmental testing and remediation, predesign, and design count toward the nonstate contribution.

Subd. 42. St. Paul; Playwrights' Center

1,100,000

For a grant to the city of St. Paul to acquire property located at 710 Raymond Avenue and to predesign the playwrights center facility in St. Paul for use as a comprehensive play development program and workshop facility. The city of St. Paul may enter into a lease or management agreement with a nonprofit corporation for this facility under Minnesota Statutes, section 16A.695. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project. If money from this appropriation remains after completion of property acquisition and predesign, it may be used for design of the center, subject to the commissioner of management and budget determining that sufficient nonstate resources have been committed to complete the design.

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Subd. 43. St. Paul; Victoria Theater

2,400,000

For a grant to the city of St. Paul to acquire property located at 825 University Avenue West, and to predesign, design, construct, furnish, and equip the renovation of the historic Victoria Theater, to serve as a regional multicultural community and event center. This appropriation includes money for: demolition work; improvements to or replacement of the mechanical, electrical, plumbing, heating, ventilating, and air conditioning systems; repairs to the existing roof and exterior enclosure; site improvements; construction or renovation of interior spaces; and other improvements of a capital nature. The city of St. Paul may enter into a lease or management agreement with a nonprofit organization for this facility under Minnesota Statutes, section 16A.695. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 44. St. Paul; Friendship Garden

500,000

(a) For a grant to the city of St. Paul for construction of a friendship garden project in Phalen Park. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

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

Subd. 45. Shakopee; Scott County Innovation Center

60,000

For a grant to the city of Shakopee to predesign a state-of-the-art facility for postsecondary education in cooperation with Minnesota State University - Mankato, job training, and research and development, mainly for students and interns working on future automation and manufacturing. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 46. Wright County; Dental Clinic

1,000,000

For a grant to Wright County to predesign, design, construct, furnish, and equip a dental care facility. The dental care facility will be constructed in a building constructed for this purpose by

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the county on the Wright County Government Center campus in the city of Buffalo. The county's contribution of the site and building exterior for the project constitute the county's nonstate contribution and no further nonstate contribution is required. The county may enter into an agreement under Minnesota Statutes, section 16A.695, for operation of the dental clinic.

Subd. 47. Willernie; Public Infrastructure

178,000

For a grant to the city of Willernie to replace the roof of the city hall, and for capital improvements in conjunction with the Washington County road 12 project, including replacing and extending the sidewalk, replacement of a water main, and moving or removing a retaining wall. This appropriation does not require a nonstate contribution.

Subd. 48. Planning Grants

4,000,000

(a) This appropriation is from the general fund and is for grants to urban American Indian nonprofit organizations listed in paragraph (b) to assess the organization's capital needs and planning of capital projects. A grant under this subdivision is for $500,000.

(b) This appropriation includes money for grants to the following organizations: the American Indian Family Center in St. Paul; the American Indian OIC in Minneapolis; the Bii Gii Wiin Community Development Loan Fund in St. Paul; the Indian Health Board in Minneapolis; the Little Earth of United Tribes Housing Corporation in Minneapolis; the Minnesota Indian Women's Resource Center in Minneapolis; the Nawayee Center School in Minneapolis; and the New Native Theater in St. Paul.

Subd. 49. Capital Grants

10,675,000

(a) This appropriation is from the general fund and is for grants to urban American Indian nonprofit organizations that have completed assessment of the organization's capital needs and planning of capital projects. Grants under this section may be used for the acquisition of real property and for the design, construction, renovation, furnishing, and equipping of improvements to land and buildings.

(b) This appropriation contains money for the following projects: $1,000,000 of this appropriation is for a grant to the Ain Dah Yung Center in St. Paul; $635,000 of this appropriation is for a grant to the Division of Indian Work in Minneapolis; $2,000,000 of this appropriation is for a grant to the Indigenous Peoples Task Force in Minneapolis; $640,000 of this appropriation is for a grant to MIGIZI in Minneapolis; $2,600,000 is for a grant to the Minneapolis American Indian Center; and $3,800,000 of this appropriation is for a grant to the Native American Community Clinic in Minneapolis.

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Sec. 23. PUBLIC FACILITIES AUTHORITY

Subdivision 1. Total Appropriation

$327,168,000

To the Public Facilities Authority for the purposes specified in this section.

Subd. 2. State Match for Federal Grants to State Revolving Loan Programs

25,000,000

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

Subd. 3. Water Infrastructure Funding Program

100,000,000

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

(b) $60,000,000 is for wastewater projects listed on the Pollution Control Agency's project priority list in the fundable range under the clean water revolving fund program.

(c) $40,000,000 is for drinking water projects listed on the commissioner of health's project priority list in the fundable range under the drinking water revolving fund program.

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

Subd. 4. Point Source Implementation Grants Program

75,000,000

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

Subd. 5. Arden Hills; Water Main

530,000

For a grant to the city of Arden Hills to install a water main extending along Lexington Avenue, from County Road E to marked Interstate Highway 694. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed to complete the project from nonstate sources.

Subd. 6. Aurora; East Range Joint Powers Board; Water System

6,100,000

For a grant to the city of Aurora, Hoyt Lakes, or Biwabik, or the Town of White for the East Mesabi Joint Water System, to acquire land or a permanent interest in land, design, engineer, construct,

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furnish, and equip a comprehensive municipally owned cooperative joint drinking water system in the political subdivisions that are part of the East Range Joint Powers Board. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed to complete the project from nonstate sources.

Subd. 7. Austin; Wastewater Treatment Plant

19,000,000

For a grant to the city of Austin to design, engineer, construct, and equip improvements for upgrades to the city's wastewater treatment facility. This appropriation includes money for renovation, repairs, and replacement of infrastructure, equipment, and other components of the facility's wastewater treatment systems including site improvements to buildings and other structures as well as the costs of demolition associated with the project. This appropriation is not available until the commissioner of management and budget determines that an amount necessary to complete the project, estimated to be $59,000,000, has been committed from other sources.

Subd. 8. Babbitt; Wastewater Treatment Plant

5,500,000

For a grant to the city of Babbitt to predesign, design, construct, furnish, and equip a new wastewater treatment facility in the city of Babbitt. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project.

Subd. 9. Bemidji; Water Treatment Plant

12,300,000

(a) For a grant to the city of Bemidji to predesign, design, construct, furnish, and equip upgrades to the city's water treatment plant including the addition of a filtration system to remove perfluoroalkyl substances from the city's drinking water. This appropriation is not available until the commissioner of management and budget determines that at least $4,100,000 has been committed from nonstate sources to complete the project. Amounts spent on the predesign, design, and engineering since March 1, 2018, count toward the nonstate contribution required under this subdivision.

(b) Any grant agreement entered into under this subdivision must provide that up to $4,000,000 will be paid to the state from any nonstate money received or awarded as a result of litigation arising out of the perfluoroalkyl substance contamination of the city's water supply.

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Subd. 10. Bovey; Water Treatment Plant

600,000

For a grant to the city of Bovey to design and construct public infrastructure improvements to the water and wastewater collection system. This appropriation is not available until the commissioner of management and budget determines that at least $500,000 is committed from other sources to complete the project.

Subd. 11. Deer River; Water and Wastewater Systems

5,000,000

For a grant to the city of Deer River to design, engineer, and construct improvements and additions to the city's wastewater collection and treatment system, including construction of a stabilization pond, and replacement and expansion of storm sewer lines, sanitary sewer lines, and water lines in the city of Deer River. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from other sources to complete the project.

Subd. 12. Duluth North Shore Sanitary District; Debt Relief

1,000,000

From the general fund for a grant to the Duluth North Shore Sanitary District to reduce debt of the district in order to bring the district's monthly wastewater rates in line with those of similarly situated facilities across the state.

Subd. 13. East Itasca Joint Sewer Board; Regional Wastewater System

750,000

For a grant to the city of Nashwauk for preliminary and final engineering of a regional wastewater treatment system located in the city of Nashwauk to serve the communities represented by the East Itasca Joint Sewer Board and other communities. This appropriation is not available until the commissioner of management and budget determines that at least $3,500,000 is committed from other sources to complete the project.

Subd. 14. Floodwood; Stabilization Ponds

2,000,000

For a grant to the city of Floodwood for predesign, design, engineering, and construction and expansion of stabilization ponds. This appropriation does not require a nonstate match.

Subd. 15. Forest Lake; Lift Stations

1,000,000

For a grant to the city of Forest Lake to predesign, design, engineer, construct or reconstruct, and equip ten sanitary sewer system lift stations in the city. This appropriation is not available until the commissioner of management and budget determines that at least $3,000,000 has been committed from nonstate sources to complete the project.

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Subd. 16. Lincoln-Pipestone Rural Water System

1,740,000

For a grant to the Lincoln-Pipestone Rural Water System to predesign and design water source development in its service area, including new wells, a water softening treatment plant (lime softening plant), and new water distribution pipes. This appropriation does not require a nonstate contribution.

Subd. 17. Mendota; Water Infrastructure

740,000

(a) Of this appropriation, $50,000 is from the general fund for a grant to the city of Mendota to reimburse the city for the cost of a water pressure valve installed on a city water main. This appropriation does not require a nonstate contribution.

(b) Of this appropriation, $690,000 is for a grant to the city of Mendota to predesign, design, engineer, and construct the extension of the water main throughout the city of Mendota to allow residents to connect with the Saint Paul Regional Water Services system. This appropriation is not available until the commissioner of management and budget determines that resources sufficient to complete the project, estimated to be an additional $230,000, have been committed from nonstate sources.

Subd. 18. Newport; Inflow and Infiltration

4,800,000

For a grant to the city of Newport to design and construct the installation of liner from the sewer main within the service line toward the residence to a cleanout installed in the boulevard for approximately 860 residential services and to install liner in the sanitary sewer main line and service connections in areas of the city sewer system susceptible to infiltration and inflow. This appropriation also includes money for chemical grouting and sealing of the 300 sanitary manholes within the project area and for boulevard restoration. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 19. Oronoco; Wastewater Infrastructure

600,000

For a grant to the city of Oronoco for one or more of the following: to acquire land or permanent easements, predesign, design, and construct a wastewater collection and treatment sewer system in conjunction with water main distribution improvements to serve the city of Oronoco and Oronoco Estates Mobile Home Community. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed to complete the project from nonstate sources.

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Subd. 20. Randolph; Wastewater Infrastructure

4,900,000

For a grant to the city of Randolph to acquire land, predesign, design, construct, install, furnish, and equip a wastewater collection and treatment system, including water stabilization ponds and spray irrigation fields, in and within one-half mile of the city of Randolph. This appropriation is not available until the commissioner of management and budget determines that $2,420,000 has been committed to complete the project from nonstate sources.

Subd. 21. Red Rock Rural Water System

5,750,000

For a grant to the Red Rock Rural Water System to design, construct, furnish, and equip a new water treatment plant, a new water tower, and installation of approximately 110 miles of ten‑inch through two-inch water main, and other improvements to infrastructure required for an expansion of the Red Rock Rural Water System, to be built and located in Murray and Cottonwood Counties. This appropriation is not available until the commissioner of management and budget determines that an equal amount has been committed to complete the project from nonstate sources.

Subd. 22. Rice Lake; Sewer, Water, and Utilities Extension

1,000,000

For a grant to the city of Rice Lake to acquire land, predesign, design, construct, furnish, and equip an extension of clean water, sanitary sewer, storm sewer, and utilities to a commercial and industrial park on North Rice Lake Road in Rice Lake. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project.

Subd. 23. Silver Creek Township; Wastewater Infrastructure

12,000,000

For a grant to the town of Silver Creek to predesign, design, and construct a publicly owned wastewater collection and treatment system to replace private septic systems along the shore of Lake Superior, from the Silver Creek Tunnel to the Two Harbors city limits. This appropriation does not require a nonstate contribution.

Subd. 24. South Haven; Water Infrastructure

773,000

For a grant to the city of South Haven to acquire land, predesign, design, construct, furnish, and equip two new wells in Wright County. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed to complete the project from nonstate sources.

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Subd. 25. South St. Paul; Concord Street Public Utilities

4,400,000

For a grant to the city of South St. Paul for one or more of the following project elements: predesign, design, construction, and installation of sanitary sewer, water main, and storm sewer improvements, including removal of replaced infrastructure as necessary, in the Concord Street corridor in conjunction with the reconstruction and renovation of the street. This appropriation does not require a nonstate contribution.

Subd. 26. Spring Park; City Utilities

1,500,000

For a grant to the city of Spring Park for improvements to the city's water and sewer system. This appropriation does not require a nonstate contribution.

Subd. 27. Two Harbors; Wastewater Treatment Plant

11,500,000

For a grant to the city of Two Harbors to predesign, design, construct, furnish, and equip improvements to the wastewater treatment facility in the city of Two Harbors, including a new activated sludge biological treatment system and mercury removal improvements, new aeration basins, final clarifiers, biosolids treatment units, mercury filter backwash supply tank, operations and controls building, and associated electrical and controls equipment. This appropriation is not available until the commissioner of management and budget determines that $10,079,000 is committed from nonstate sources. Money from loans made through the clean water revolving fund loan program count toward the nonstate commitment.

Subd. 28. Tower; Water System Improvements

3,000,000

For a grant to the city of Tower to predesign, design, engineer, construct, furnish, and equip upgrades to the Tower-Breitung water treatment facilities to meet Department of Health drinking water standards. Improvements will include water treatment plant improvements, closure of existing wells, improvements to existing wells, and replacement of the main service line from the water treatment plant to the city of Tower. This appropriation is not available until the commissioner of management and budget determines that at least $1,500,000 has been committed from nonstate sources to complete the project.

Subd. 29. Twin Lakes; Water System Improvements

10,400,000

For a grant to Twin Lakes Township for the design and construction of a water distribution system, support facilities, and related water improvements, including a water main extension from the city of Carlton, along marked Trunk Highway 210 in Carlton County. This appropriation does not require a nonstate contribution.

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Subd. 30. Western Lake Superior Sanitary District; Engine Generators

6,750,000

For a grant to the Sanitary Board of the Western Lake Superior Sanitary District to design and construct engine generators as part of the combined heat and power system to capture and process heat and generate electricity for use at the Western Lake Superior Sanitary District wastewater treatment facilities. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project. Amounts loaned by the Public Facilities Authority to the Western Lake Superior Sanitary District for this project shall count toward the nonstate match.

Subd. 31. West St. Paul; Lift Stations

3,170,000

(a) For one or more grants to the city of West St. Paul for the purposes of this subdivision.

(b) Of this amount, up to $180,000 is to design upgrades of Lift Stations 2 and 4, and to design the replacement of force mains 2, 3, 4, and 6. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

(c) Of this amount, up to $2,990,000 is for upgrades to Lift Stations 1, 2, and 4, and to replace force mains 2, 3, 4, and 6. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount has been committed from nonstate sources to complete the project.

Subd. 32. Windom; Storm Water Improvements

365,000

For a grant to the city of Windom to install a 54-inch pipe and improvements to existing ditches and culverts to direct storm water out of the residential area, under the county road toward the West Fork of the Des Moines River. This appropriation is not available until the commissioner of management and budget determines that at least an equal amount is committed from nonstate sources to complete the project.

Sec. 24. MINNESOTA HOUSING FINANCE AGENCY

$48,000,000

For transfer to the housing development fund to finance the costs of rehabilitation to preserve public housing under Minnesota Statutes, section 462A.202, subdivision 3a. For purposes of this section, "public housing" means housing for low-income persons and households financed by the federal government and owned and operated by the public housing authorities and agencies formed by

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cities and counties. Public housing authorities receiving a public housing assessment composite score of 80 or above or an equivalent designation are eligible to receive funding. Priority must be given to proposals that maximize federal or local resources to finance the capital costs. The priority in Minnesota Statutes, section 462A.202, subdivision 3a, for projects to increase the supply of affordable housing and the restrictions of Minnesota Statutes, section 462A.202, subdivision 7, do not apply to this appropriation.

Sec. 25. MINNESOTA HISTORICAL SOCIETY

Subdivision 1. Total Appropriation

$5,325,000

To the Minnesota Historical Society for the purposes specified in this section.

Subd. 2. Historic Sites Asset Preservation

4,275,000

For capital improvements and betterments at state historic sites and buildings, landscaping at historic buildings, exhibits, markers, and monuments, to be spent in accordance with Minnesota Statutes, section 16B.307. The society shall determine project priorities as appropriate based on need. Of this amount, $275,000 is from the general fund.

Subd. 3. County and Local Preservation Grants

750,000

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

Subd. 4. South St. Paul; Women's Suffrage Memorial

300,000

For a grant to the city of South St. Paul to predesign, design, construct, and install a historic monument at Lawshe Park to commemorate the 100th anniversary of women's suffrage in the United States and that women in South St. Paul were the first to exercise the right to vote in the United States after the ratification of the 19th Amendment. This appropriation does not require a nonstate contribution.

Sec. 26. BOND SALE EXPENSES

Subdivision 1. Total Appropriation

$2,213,000

To the commissioner of management and budget for the purposes specified in this section.

Subd. 2. Bond Proceeds Fund

2,108,000

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

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Subd. 3. Trunk Highway Fund

105,000

From the bond proceeds account in the trunk highway fund for bond sale expenses under Minnesota Statutes, sections 16A.641, subdivision 8, and 167.50, subdivision 4.

Sec. 27. BOND SALE AUTHORIZATION.

Subdivision 1. Bond proceeds fund. To provide the money appropriated in this article from the bond proceeds fund, the commissioner of management and budget shall sell and issue bonds of the state in an amount up to $1,894,839,000 in the manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.

Subd. 2. Transportation fund. To provide the money appropriated in this article from the bond proceeds account in the state transportation fund, the commissioner of management and budget shall sell and issue bonds of the state in an amount up to $213,916,000 in the manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.

Subd. 3. Trunk highway fund. To provide the money appropriated in this article from the bond proceeds account in the trunk highway fund, the commissioner of management and budget shall sell and issue bonds of the state in an amount up to $102,105,000 in the manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 167.50 to 167.52, and by the Minnesota Constitution, article XIV, section 11, at the times and in the amounts requested by the commissioner of transportation. The proceeds of the bonds, except accrued interest and any premium received from the sale of the bonds, must be deposited in the bond proceeds account in the trunk highway fund.

Sec. 28. BOND SALE SCHEDULE.

The commissioner of management and budget shall schedule the sale of state general obligation bonds so that, during the biennium ending June 30, 2021, no more than $1,149,869,000 will need to be transferred from the general fund to the state bond fund to pay principal and interest due and to become due on outstanding state general obligation bonds. During the biennium, before each sale of state general obligation bonds, the commissioner of management and budget shall calculate the amount of debt service payments needed on bonds previously issued and shall estimate the amount of debt service payments that will be needed on the bonds scheduled to be sold. The commissioner shall adjust the amount of bonds scheduled to be sold so as to remain within the limit set by this section. The amount needed to make the debt service payments is appropriated from the general fund as provided in Minnesota Statutes, section 16A.641.

Sec. 29. EFFECTIVE DATE.

Except as otherwise provided, this article is effective the day following final enactment.

ARTICLE 2

APPROPRIATION BONDS

Section 1. [16A.963] ELECTRIC VEHICLE INFRASTRUCTURE APPROPRIATION BONDS.

Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this section.

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

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

(2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);

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

(4) investment earnings on amounts in clauses (1) to (3).

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

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

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

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

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

(f) The appropriation bonds are not subject to chapter 16C.

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Subd. 3. Form; procedure. (a) Appropriation bonds may be issued in the form of bonds, notes, or other similar instruments, and in the manner provided in section 16A.672. In the event that any provision of section 16A.672 conflicts with this section, this section shall control.

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

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

(d) Appropriation bonds must bear interest at a fixed or variable rate.

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

Subd. 4. Refunding bonds. The commissioner may issue appropriation bonds for the purpose of refunding any appropriation bonds then outstanding, including the payment of any redemption premiums on the bonds, any interest accrued or to accrue to the redemption date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any refunding bonds may, at the discretion of the commissioner, be applied to the purchase or payment at maturity of the appropriation bonds to be refunded, to the redemption of the outstanding appropriation bonds on any redemption date, or to pay interest on the refunding bonds and may, pending application, be placed in escrow to be applied to the purchase, payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be invested and reinvested in obligations that are authorized investments under section 11A.24. The income earned or realized on the investment may also be applied to the payment of the appropriation bonds to be refunded or interest or premiums on the refunded appropriation bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been fully satisfied, any balance of the proceeds and any investment income may be returned to the general fund or, if applicable, the special appropriation electric vehicle infrastructure bond proceeds fund for use in any lawful manner. All refunding bonds issued under this subdivision must be prepared, executed, delivered, and secured by appropriations in the same manner as the appropriation bonds to be refunded.

Subd. 5. Appropriation bonds as legal investments. Any of the following entities may legally invest any sinking funds, money, or other funds belonging to them or under their control in any appropriation bonds issued under this section:

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

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

(3) personal representatives, guardians, trustees, and other fiduciaries.

Subd. 6. No full faith and credit; state not required to make appropriations. The appropriation bonds are not public debt of the state, and the full faith, credit, and taxing powers of the state are not pledged to the payment of the appropriation bonds or to any payment that the state agrees to make under this section. Appropriation bonds shall not be obligations paid directly, in whole or in part, from a tax of statewide application on any class of property, income, transaction, or privilege. Appropriation bonds shall be payable in each fiscal year only from amounts that the legislature may appropriate for debt service for any fiscal year, provided that nothing in this section shall be construed to require the state to appropriate money sufficient to make debt service payments with respect to the appropriation bonds in any fiscal year. Appropriation bonds shall be canceled and shall no longer be outstanding on the earlier of (1) the first day of a fiscal year for which the legislature shall not have appropriated amounts sufficient for debt service, or (2) the date of final payment of the principal of and interest on the appropriation bonds.

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Subd. 7. Appropriation of proceeds. The proceeds of appropriation bonds issued under subdivision 2, paragraph (a), and interest credited to the special appropriation electric vehicle infrastructure bond proceeds fund are appropriated as follows:

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

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

Subd. 8. Appropriation for debt service and other purposes. An amount needed to pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a), is appropriated each fiscal year from the general fund to the commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, otherwise pursuant to subdivision 6, for deposit into the bond payments account established for such purpose in the special appropriation electric vehicle infrastructure bond proceeds fund. The appropriation is available beginning in fiscal year 2021 and remains available through fiscal year 2042.

Subd. 9. Waiver of immunity. The waiver of immunity by the state provided for by section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary contracts to which the commissioner is a party.

Sec. 2. [16A.964] PUBLIC TELEVISION EQUIPMENT APPROPRIATION BONDS.

Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this section.

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

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

(2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);

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

(4) investment earnings on amounts in clauses (1) to (3).

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

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

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

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of the commissioner, are necessary to provide sufficient money to the commissioner of administration under subdivision 7, not to exceed $13,000,000 net of costs of issuance, for the purposes as provided under this subdivision, and to pay debt service including capitalized interest, costs of issuance, costs of credit enhancement, or make payments under other agreements entered into under paragraph (d). Notwithstanding section 129D.155, any money repaid to the commissioner of administration upon a sale or other disposition of equipment acquired under this section shall be transferred to the commissioner and applied toward principal and interest on outstanding bonds.

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

(f) The appropriation bonds are not subject to chapter 16C.

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

(d) Appropriation bonds must bear interest at a fixed or variable rate.

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

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Subd. 4. Refunding bonds. The commissioner may issue appropriation bonds for the purpose of refunding any appropriation bonds then outstanding, including the payment of any redemption premiums on the bonds, any interest accrued or to accrue to the redemption date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any refunding bonds may, at the discretion of the commissioner, be applied to the purchase or payment at maturity of the appropriation bonds to be refunded, to the redemption of the outstanding appropriation bonds on any redemption date, or to pay interest on the refunding bonds and may, pending application, be placed in escrow to be applied to the purchase, payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be invested and reinvested in obligations that are authorized investments under section 11A.24. The income earned or realized on the investment may also be applied to the payment of the appropriation bonds to be refunded or interest or premiums on the refunded appropriation bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been fully satisfied, any balance of the proceeds and any investment income may be returned to the general fund or, if applicable, the special appropriation public television equipment bond proceeds fund for use in any lawful manner. All refunding bonds issued under this subdivision must be prepared, executed, delivered, and secured by appropriations in the same manner as the appropriation bonds to be refunded.

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

(3) personal representatives, guardians, trustees, and other fiduciaries.

Subd. 7. Appropriation of proceeds. The proceeds of appropriation bonds issued under subdivision 2, paragraph (a), and interest credited to the special appropriation public television equipment bond proceeds fund are appropriated as follows:

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

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Subd. 8. Appropriation for debt service and other purposes. An amount needed to pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a), is appropriated each fiscal year from the general fund to the commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, otherwise pursuant to subdivision 6, for deposit into the bond payments account established for such purpose in the special appropriation public television equipment bond proceeds fund. The appropriation is available beginning in fiscal year 2021 and remains available through fiscal year 2042.

Sec. 3. [16A.966] RESPONSE TO RELEASES APPROPRIATION BONDS.

Subdivision 1. Definitions. (a) The definitions in this subdivision apply to this section.

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

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

(2) proceeds of the sale of obligations described in subdivision 2, paragraph (a);

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

(4) investment earnings on amounts in clauses (1) to (3).

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

Subd. 2. Authorization to issue appropriation bonds. (a) Subject to the limitations of this subdivision, the commissioner may sell and issue appropriation bonds of the state under this section for public purposes as provided by law, including for the purposes of financing the cost of implementing removal or remedial actions permitted under section 115B.17 and further subject to the conditions in chapter 115B to address risks to human health and the environment at contaminated sites. Appropriation bonds may be sold and issued in amounts that, in the opinion of the commissioner, are necessary to provide sufficient money to the commissioner of the Pollution Control Agency under subdivision 7, not to exceed $22,900,000 net of costs of issuance, for the purposes as provided under this subdivision, and to pay debt service including capitalized interest, costs of issuance, costs of credit enhancement, or make payments under other agreements entered into under paragraph (d). Notwithstanding section 115B.17, subdivision 6 or 16, any money recovered in a civil action or any money received from the disposition of property acquired for a response action and financed with bonds under this section shall be transferred to the commissioner and applied toward principal and interest on outstanding bonds.

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

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

(f) The appropriation bonds are not subject to chapter 16C.

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

(d) Appropriation bonds must bear interest at a fixed or variable rate.

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

Subd. 4. Refunding bonds. The commissioner may issue appropriation bonds for the purpose of refunding any appropriation bonds then outstanding, including the payment of any redemption premiums on the bonds, any interest accrued or to accrue to the redemption date, and costs related to the issuance and sale of the refunding bonds. The proceeds of any refunding bonds may, at the discretion of the commissioner, be applied to the purchase or payment at maturity of the appropriation bonds to be refunded, to the redemption of the outstanding appropriation bonds on any redemption date, or to pay interest on the refunding bonds and may, pending application, be placed in escrow to be applied to the purchase, payment, retirement, or redemption. Any escrowed proceeds, pending such use, may be invested and reinvested in obligations that are authorized investments under section 11A.24. The income earned or realized on the investment may also be applied to the payment of the appropriation bonds to be refunded or interest or premiums on the refunded appropriation bonds, or to pay interest on the refunding bonds. After the terms of the escrow have been fully satisfied, any balance of the proceeds and any investment income may be returned to the general fund or, if applicable, the special appropriation state response to releases bond proceeds fund for use in any lawful manner. All refunding bonds issued under this subdivision must be prepared, executed, delivered, and secured by appropriations in the same manner as the appropriation bonds to be refunded.

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

(3) personal representatives, guardians, trustees, and other fiduciaries.

Subd. 7. Appropriation of proceeds. The proceeds of appropriation bonds issued under subdivision 2, paragraph (a), and interest credited to the special appropriation state response to releases bond proceeds fund are appropriated as follows:

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

Subd. 8. Appropriation for debt service and other purposes. An amount needed to pay principal and interest on appropriation bonds issued under subdivision 2, paragraph (a), is appropriated each fiscal year from the general fund to the commissioner, subject to repeal, unallotment under section 16A.152, or cancellation, otherwise pursuant to subdivision 6, for deposit into the bond payments account established for such purpose in the special appropriation state response to releases bond proceeds fund. The appropriation is available beginning in fiscal year 2021 and remains available through fiscal year 2042.

Subd. 9. Waiver of immunity. The waiver of immunity by the state provided for under section 3.751, subdivision 1, shall be applicable to the appropriation bonds and any ancillary contracts to which the commissioner is a party.

Sec. 4. Minnesota Statutes 2019 Supplement, section 462A.37, subdivision 2, is amended to read:

Subd. 2. Authorization. (a) The agency may issue up to $30,000,000 in aggregate principal amount of housing infrastructure bonds in one or more series to which the payment made under this section may be pledged. The housing infrastructure bonds authorized in this subdivision may be issued to fund loans, or grants for the purposes of clause (4), on terms and conditions the agency deems appropriate, made for one or more of the following purposes:

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

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

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

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

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

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

(7) to finance the costs of construction, acquisition, and rehabilitation of permanent housing that is affordable to households with incomes at or below 50 percent of the area median income. "Area median income" means the area median income for the applicable county or metropolitan area as published by the Department of Housing and Urban Development, as adjusted for household size.

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

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

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

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

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

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

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

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

(d) Of comparable proposals for permanent housing, the agency must give preference to projects that will provide housing that is affordable to households at or below 30 percent of area median income.

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

Sec. 5. Minnesota Statutes 2018, section 462A.37, is amended by adding a subdivision to read:

Subd. 2g. Additional authorization. (a) In addition to the amount authorized in subdivisions 2 to 2f, the agency may issue up to $214,000,000 in housing infrastructure bonds in one or more series to which the payments under this section may be pledged.

(b) Of this amount, $14,000,000 is to finance the costs of the construction, acquisition, and rehabilitation of shelters statewide. "Shelter" means a facility, the primary purpose of which is to provide a temporary shelter for the homeless in general or for a specific homeless population, and that does not require occupants to sign leases or occupancy agreements.

Sec. 6. Minnesota Statutes 2019 Supplement, section 462A.37, subdivision 5, is amended to read:

Subd. 5. Additional appropriation. (a) The agency must certify annually to the commissioner of management and budget the actual amount of annual debt service on each series of bonds issued under ~~subdivisions 2a to 2f~~ this section.

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

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

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

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

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

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

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

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

Sec. 7. EFFECTIVE DATE.

This article is effective the day following final enactment.

ARTICLE 3

MISCELLANEOUS

Section 1. Minnesota Statutes 2018, section 16A.641, is amended by adding a subdivision to read:

Subd. 4c. Negotiated sales authority. Notwithstanding the public sale requirements of subdivision 4 and section 16A.66, subdivision 2, the commissioner may sell bonds, including refunding bonds, at negotiated sale.

Sec. 2. Minnesota Statutes 2019 Supplement, section 16A.968, subdivision 2, is amended to read:

Subd. 2. Authorization to issue appropriation bonds. (a) Subject to the limitations of this subdivision, and upon request by the governing body of the city of Duluth as provided in section 469.54, subdivision 3, paragraph ~~(f)~~ (e), the commissioner may sell and issue appropriation bonds of the state under this section for public purposes as provided by law.

(b) Proceeds of the appropriation bonds must be credited to a special appropriation Duluth regional exchange district bond proceeds fund in the state treasury. All income from investment of the bond proceeds, as estimated by the commissioner, is appropriated to the commissioner for the payment of principal and interest on the appropriation bonds.

(c) Appropriation bonds may be issued in one or more issues or series on the terms and conditions the commissioner determines to be in the best interests of the state, but the term on any series of appropriation bonds may not exceed 25 years. The appropriation bonds of each issue and series thereof shall be dated and bear interest and may be includable in or excludable from the gross income of the owners for federal income tax purposes.

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

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

(f) The appropriation bonds are not subject to chapter 16C.

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

Subd. 3. Appropriation bonds authorization. (a) Appropriation bonds may be sold and issued in amounts that, in the opinion of the commissioner, are necessary to provide sufficient funds to the commissioner of employment and economic development under subdivision 8, not to exceed $97,720,000 net of costs of issuance, for the purposes as provided under this subdivision, and pay debt service including capitalized interest, costs of issuance, costs of credit enhancement, or make payments under other agreements entered into under subdivision 2, paragraph (d). Notwithstanding section 16A.642, this authorization is available until December 31, 2027.

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

Sec. 4. Minnesota Statutes 2018, section 16B.86, is amended to read:

16B.86 ~~PRODUCTIVITY~~ BUILDING EFFICIENCY REVOLVING LOAN ACCOUNT.

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

Sec. 5. Minnesota Statutes 2018, section 16B.87, is amended to read:

16B.87 AWARD AND REPAYMENT OF ~~PRODUCTIVITY~~ BUILDING EFFICIENCY LOANS.

Subdivision 1. Committee. The ~~Productivity~~ Building Efficiency Revolving Loan Committee consists of the commissioners of administration, management and budget, and ~~revenue~~ Pollution Control Agency. The commissioner of administration serves as chair of the committee. The members serve without compensation or reimbursement for expenses.

Subd. 2. Award and terms of loans. An agency shall apply for a loan on a form provided by the commissioner of administration. The committee shall review applications for loans and shall award a loan based upon criteria adopted by the committee. The committee shall determine the amount, interest, and other terms of the loan. The time for repayment of a loan may not exceed ~~five~~ seven years.

Subd. 3. Repayment. An agency receiving a loan under this section shall repay the loan according to the terms of the loan agreement. The principal and interest must be paid to the commissioner of administration who shall deposit it in the ~~productivity~~ building efficiency revolving loan ~~fund~~ account.

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Sec. 6. Minnesota Statutes 2018, section 41B.18, subdivision 6, is amended to read:

Subd. 6. Report. The authority shall submit ~~a biennial report of~~ quarterly reports that include its activities, projected activities, receipts, and expenditures ~~for the next biennium~~, and an estimate of when funding for the authority's bond-funded loan programs is projected to be exhausted, to the governor and the ~~legislature on or before January 15 in each odd-numbered year~~ legislative committees and divisions with jurisdiction over agriculture and capital investment. The final quarterly report each year must include the distribution of money under each authority program by county~~. In addition, the report must include~~ and the cost to the authority of the issuance of ~~its~~ bonds for each issue ~~in the biennium~~ that year.

Sec. 7. Minnesota Statutes 2018, section 115A.0716, is amended to read:

115A.0716 ENVIRONMENTAL ~~ASSISTANCE~~ GRANT AND LOAN ~~PROGRAM~~ PROGRAMS.

Subdivision 1. Environmental assistance grants. (a) The commissioner may make grants to any person for the purpose of researching, developing, and implementing projects or practices related to collection, processing, recycling, reuse, resource recovery, source reduction, and prevention of waste, hazardous substances, toxic pollutants, and problem materials; the development or implementation of pollution prevention projects or practices; the collection, recovery, processing, purchasing, or market development of recyclable materials or compost; resource conservation; and for environmental education.

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

(d) For the purposes of this section:

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

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

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

Subd. 2. Loans. (a) The commissioner may make loans, or participate in loans, for capital costs or improvements related to any of the activities listed in subdivision 1.

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

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

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

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

Subd. 3. Revolving account. All repayments of loans awarded under this section, including principal and interest, must be credited to the environmental fund. Money deposited in the fund under this section is annually appropriated to the commissioner for loans for purposes identified in subdivisions 1 and 2.

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

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

(1) address inadequate storm water infrastructure;

(2) reduce incidences of community flooding during extreme weather events;

(3) address aging and undersized storm water sewers;

(4) reduce the impact on water treatment systems;

(5) incorporate green infrastructure and low-impact development storm water practices; and

(6) demonstrate nonstate financial participation in the project.

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

Sec. 8. [116J.417] GREATER MINNESOTA CHILD CARE FACILITY CAPITAL GRANT PROGRAM.

Subdivision 1. Purpose. The purpose of the greater Minnesota child care facility capital grant program established in this section is to keep or enhance jobs, increase the tax base, or expand or create new economic development in the area in which the grants are made, by providing facilities for the child care necessary to support workers and their families.

Subd. 2. Creation of accounts. Two greater Minnesota child care facility capital grant accounts are created. One account is created in the general fund and one in the bond proceeds fund. Money in the accounts is appropriated to the commissioner to make grants under this section. Money in the greater Minnesota child care facility capital grant accounts is available until encumbered or spent subject to section 16A.642.

Subd. 3. Eligible applicant. (a) A city, county, or school district, or a joint powers board established by two or more cities, counties, or school districts is eligible to apply for and receive a grant from either greater Minnesota child care facility capital grant account established in this section.

(b) A private child care provider licensed as a child care center or to provide in-home family child care is eligible to apply for and receive a grant from the greater Minnesota child care facility capital grant account in the general fund.

Subd. 4. Local government authority. A city, county, or school district may own a child care facility and operate a child care facility program that meets the requirements for state licensing under Minnesota Rules, chapter 9503. A city, county, or school district may enter into a lease or management agreement with one or more licensed child care providers to operate a child care program in a facility owned by the city, county, or school district. A lease or management agreement for state bond-financed property is subject to section 16A.695.

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Subd. 5. Eligible project. (a) A grant may be used to acquire land or interest in land, predesign, design, renovate, construct, furnish, and equip facilities in which to provide child care or for other child care facility improvements that support the purposes for which this grant program is established. Money from the account in the general fund may also be used to upgrade or expand existing nonprofit child care facilities for purposes of meeting state requirements.

(b) All projects must increase child care capacity in the community that is served by the provider and meet all state requirements for child care facilities or programs.

Subd. 6. Grants. (a) The commissioner shall make grants to eligible applicants to provide up to 50 percent of the capital costs of eligible child care facility capital projects. An eligible applicant receiving a grant must provide for the remainder of the costs of the project, either in cash or in kind. In-kind contributions may include the cost of project elements made before or after the grant award is made.

(b) The commissioner may also distribute money provided by this section through a regional organization within the meaning of section 15.75 to provide grants to eligible applicants based on the manner of application and criteria established by the commissioner.

(c) If the commissioner awards a grant for less than 50 percent of the project cost, the commissioner must provide the applicant and the chairs and ranking minority members of the senate and house of representatives committees with jurisdiction over economic development finance a written explanation for awarding less than 50 percent.

Subd. 7. Application; criteria. The commissioner must develop forms and procedures for soliciting and reviewing applications for grants under this section. An applicant shall apply for a grant in the manner and at the times the commissioner shall determine. At a minimum, an application must include:

(1) evidence of the need for improved, expanded, or new child care facilities in the area;

(2) a description of the new or expanded facility or other improvements to be made;

(3) a description of the specific state requirements making improvements necessary, if applicable;

(4) estimated costs of the capital project and the sources of funding to complete it;

(5) estimated costs of the expanded services and the sources of funding to provide them;

(6) the applicant's analysis of the expected economic benefits to the area in which the project would be located;

(7) the feasibility study that shows the financial and operational sustainability of the project funded;

(8) the average number of children provided care by the applicant during the year prior to the application, if any, and the expected number of children that could be provided child care after the proposed project is completed; and

(9) other information that the commissioner determines is necessary or useful in evaluating the impact of the proposed project on the local economy.

Subd. 8. Maximum grant amount. Grants must not be awarded for more than $500,000 per project or more than $2,000,000 in two years to an applicant for one or more projects in the same city or county.

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Subd. 9. Cancellation of grant; return of money. If the commissioner determines that a grantee is unable to proceed with an approved project or has not expended or obligated the grant money within five years of entering into the grant agreement with the commissioner, the commissioner shall cancel the grant and the money is available for the commissioner to make other grants under this section. Money made available to the commissioner from a canceled grant is subject to cancellation under section 16A.642 as if it had been appropriated to the program in the year in which the grant is canceled.

Sec. 9. Minnesota Statutes 2018, section 123B.53, subdivision 1, is amended to read:

Subdivision 1. Definitions. (a) For purposes of this section, the eligible debt service revenue of a district is defined as follows:

(1) the amount needed to produce between five and six percent in excess of the amount needed to meet when due the principal and interest payments on the obligations of the district for eligible projects according to subdivision 2, including the amounts necessary for repayment of debt service loans, capital loans, and lease purchase payments under section 126C.40, subdivision 2, excluding long-term facilities maintenance levies under section 123B.595 excluding the amounts listed in paragraph (b), minus

(2) the amount of debt service excess levy reduction for that school year calculated according to the procedure established by the commissioner.

(b) The obligations in this paragraph are excluded from eligible debt service revenue:

(1) obligations under section 123B.61;

(2) the part of debt service principal and interest paid from the taconite environmental protection fund or Douglas J. Johnson economic protection trust, excluding the portion of taconite payments from the Iron Range school consolidation and cooperatively operated school account under section 298.28, subdivision 7a;

(3) ~~obligations issued under Laws 1991, chapter 265, article 5, section 18, as amended by Laws 1992, chapter 499, article 5, section 24~~ obligations for long-term facilities maintenance under section 123B.595;

(4) obligations under section 123B.62; and

(5) obligations equalized under section 123B.535.

(c) For purposes of this section, if a preexisting school district reorganized under sections 123A.35 to 123A.43, 123A.46, and 123A.48 is solely responsible for retirement of the preexisting district's bonded indebtedness, or capital loans ~~or debt service loans~~, debt service equalization aid must be computed separately for each of the preexisting districts.

(d) For purposes of this section, the adjusted net tax capacity determined according to sections 127A.48 and 273.1325 shall be adjusted to include the tax capacity of property generally exempted from ad valorem taxes under section 272.02, subdivision 64.

Sec. 10. Minnesota Statutes 2018, section 123B.53, subdivision 4, is amended to read:

Subd. 4. Debt service equalization revenue. (a) The debt service equalization revenue of a district equals the sum of the first tier debt service equalization revenue and the second tier debt service equalization revenue.

(b) The first tier debt service equalization revenue of a district equals the greater of zero or the eligible debt service revenue minus the amount raised by a levy of 15.74 percent times the adjusted net tax capacity of the district minus the second tier debt service equalization revenue of the district.

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(c) The second tier debt service equalization revenue of a district equals the greater of zero or the eligible debt service revenue, minus the amount raised by a levy of 26.24 percent times the adjusted net tax capacity of the district.

(d) Notwithstanding paragraphs (b) and (c), for a district with a capital loan under sections 126C.60 to 126C.72, the first tier debt equalization revenue equals zero, and the second tier debt equalization revenue equals the portion of the district's eligible debt service levy under subdivision 2 in excess of the district's maximum effort debt service levy under section 126C.63, subdivision 8.

Sec. 11. Minnesota Statutes 2018, section 126C.63, subdivision 8, is amended to read:

Subd. 8. Maximum effort debt service levy. ~~(a)~~ "Maximum effort debt service levy" means the lesser of:

(1) a levy in whichever of the following amounts is applicable:

~~(i)~~ in any district ~~receiving a debt service loan for a debt service levy payable in 2002 and thereafter, or~~ granted a capital loan after January 1, 2002, a levy in total dollar amount computed at a rate of 33.59 percent of adjusted net tax capacity for taxes payable in 2002 and thereafter; or

(ii) in any district receiving a debt service loan for a debt service levy payable in 2001 or earlier, or granted a capital loan before January 2, 2002, a levy in a total dollar amount computed at a rate of 29.39 percent of adjusted net tax capacity for taxes payable in 2002 and thereafter; or

(2) a levy in any district for which a capital loan was approved prior to August 1, 1981, a levy in a total dollar amount equal to the sum of the amount of the required debt service levy and an amount which when levied annually will in the opinion of the commissioner be sufficient to retire the remaining interest and principal on any outstanding loans from the state within 30 years of the original date when the capital loan was granted.

(b) The board in any district affected by the provisions of paragraph (a), clause (2), may elect instead to determine the amount of its levy according to the provisions of paragraph (a), clause (1). If a district's capital loan is not paid within 30 years because it elects to determine the amount of its levy according to the provisions of paragraph (a), clause (2), the liability of the district for the amount of the difference between the amount it levied under paragraph (a), clause (2), and the amount it would have levied under paragraph (a), clause (1), and for interest on the amount of that difference, must not be satisfied and discharged pursuant to Minnesota Statutes 1988, or an earlier edition of Minnesota Statutes if applicable, section 124.43, subdivision 4.

(2) the unpaid balance on the district's capital loan after deducting the amount to be paid on the district's capital loan in December of the year in which the levy is certified.

Sec. 12. Minnesota Statutes 2018, section 126C.66, subdivision 3, is amended to read:

Subd. 3. ~~Principal interest~~ Payments. All payments ~~of principal and interest on debt service notes or~~ on capital loan contracts, as received by the commissioner, are appropriated to the loan repayment account.

Sec. 13. Minnesota Statutes 2018, section 126C.69, as amended by Laws 2019, First Special Session chapter 10, article 3, section 40, is amended to read:

126C.69 CAPITAL GRANTS AND LOANS.

Subdivision 1. Capital grant and loan requests and uses. Capital grants and loans are available only to qualifying districts. Capital grants and loans must not be used for the construction of swimming pools, ice arenas, athletic facilities, auditoriums, bus garages, or heating system improvements. Proceeds of the grants and loans may

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be used only for sites for education facilities and for acquiring, bettering, furnishing, or equipping education facilities. Contracts must be entered into within 18 months after the date on which each grant and loan is ~~granted~~ approved. For purposes of this section, "education facilities" includes space for Head Start programs and social service programs.

Subd. 2. Capital ~~loans~~ grant and loan eligibility. Beginning July 1, ~~1999~~ 2020, a district is not eligible for a capital grant and loan unless the district's estimated net debt tax rate as computed by the commissioner after debt service equalization aid would be more than 41.98 percent of adjusted net tax capacity. The estimate must assume a 20-year maturity schedule for new debt.

Subd. 3. District request for review and comment. A district or a joint powers district that intends to apply for a capital grant and loan must submit a proposal to the commissioner for review and comment according to section 123B.71 by July 1 of an odd-numbered year. The commissioner shall prepare a review and comment on the proposed facility, regardless of the amount of the capital expenditure required to construct the facility. In addition to the information provided under section 123B.71, subdivision 9, the commissioner shall require that predesign packages comparable to those required under section 16B.335 be prepared by the applicant school district. The predesign packages must be sufficient to define the scope, cost, and schedule of the project and must demonstrate that the project has been analyzed according to appropriate space needs standards and also consider the following criteria in determining whether to make a positive review and comment.

(a) To grant a positive review and comment the commissioner shall determine that all of the following conditions are met:

(1) the facilities are needed for pupils for whom no adequate facilities exist or will exist;

(2) there is evidence to indicate that the facilities will have a useful public purpose for at least the term of the bonds;

(3) no form of cooperation with another district would provide the necessary facilities;

(4) the facilities are comparable in size and quality to facilities recently constructed in other districts that have similar enrollments;

(5) the facilities are comparable in size and quality to facilities recently constructed in other districts that are financed without a capital loan;

(6) the district is projected to have adequate funds in its general operating budget to support a quality education for its students for at least the next five years;

(7) the current facility poses a threat to the life, health, and safety of pupils, and cannot reasonably be brought into compliance with fire, health, or life safety codes;

(8) the district has made a good faith effort, as evidenced by its maintenance expenditures, to adequately maintain the existing facility during the previous ten years and to comply with fire, health, and life safety codes and state and federal requirements for accessibility for people with disabilities;

(9) the district has made a good faith effort to encourage integration of social service programs within the new facility;

(10) evaluations by boards of adjacent districts have been received; and

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(11) the proposal includes a comprehensive technology plan that assures information access for the students, parents, and community.

(b) The commissioner may grant a negative review and comment if:

(1) the state demographer has examined the population of the communities to be served by the facility and determined that the communities have not grown during the previous five years;

(2) the state demographer determines that the economic and population bases of the communities to be served by the facility are not likely to grow or to remain at a level sufficient, during the next ten years, to ensure use of the entire facility;

(3) the need for facilities could be met within the district or adjacent districts at a comparable cost by leasing, repairing, remodeling, or sharing existing facilities or by using temporary facilities;

(4) the district plans do not include cooperation and collaboration with health and human services agencies and other political subdivisions; or

(5) if the application is for new construction, an existing facility that would meet the district's needs could be purchased at a comparable cost from any other source within the area.

Subd. 4. Multiple district proposals; review and comment. In addition to the requirements of subdivision 3, the commissioner may use additional requirements to determine a positive review and comment on projects that are designed to serve more than one district. These requirements may include:

(1) reducing or increasing the number of districts that plan to use the facility;

(2) location of the facility; and

(3) formation of a joint powers agreement among the participating districts.

Subd. 5. Adjacent district comments. The district must present the proposed project to the board of each adjacent district at a public meeting of that district. The board of an adjacent district must make a written evaluation of how the project will affect the future education and building needs of the adjacent district. The board must submit the evaluation to the applying district within 30 days of the meeting.

Subd. 6. District application for capital grant and loan. The school board of a district desiring a capital grant and loan shall adopt a resolution stating the amount proposed to be ~~borrowed~~ funded, the purpose for which the ~~debt is to be incurred~~ funding is requested, and an estimate of the dates when the facilities for which the ~~loan~~ funding is requested will be contracted for and completed. Applications for grants and loans must be accompanied by a copy of the adopted board resolution and copies of the adjacent district evaluations. The commissioner shall retain the evaluation as part of a permanent record of the district submitting the evaluation.

Applications must be in the form and accompanied by the additional data required by the commissioner. Applications must be received by the commissioner by September 1 of an odd-numbered year. A district must resubmit an application each odd-numbered year. Capital grant and loan applications that do not receive voter approval or are not approved in law cancel July 1 of the year following application. When an application is received, the commissioner shall obtain from the commissioner of revenue the information in the Revenue Department's official records that is required to be used in computing the debt limit of the district under section 475.53, subdivision 4.

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Subd. 7. Commissioner review; district proposals. By November 1 of each odd-numbered year, the commissioner must review all applications for capital grants and loans that have received a positive review and comment. When reviewing applications, the commissioner must consider whether the criteria in subdivision 3 have been met. The commissioner may not approve an application if all of the required deadlines have not been met. The commissioner may either approve or reject an application for a capital grant and loan.

Subd. 8. Commissioner recommendations. The commissioner shall examine and consider applications for capital grants and loans that have been approved and promptly notify any district rejected of the decision.

The commissioner shall report each capital grant and loan that has been approved by the commissioner and that has received voter approval to the education committees of the legislature by January 1 of each even-numbered year. The commissioner must not report a capital grant and loan that has not received voter approval. The commissioner shall also report on the money remaining in the capital loan account and, if necessary, request that another bond issue be authorized.

Subd. 9. Grant and loan amount limits. (a) A grant and loan must not be recommended for approval for a district exceeding an amount computed as follows:

(1) the amount requested by the district under subdivision 6;

(2) plus the aggregate principal amount of general obligation bonds of the district outstanding on June 30 of the year following the year the application was received, not exceeding the limitation on net debt of the district in section 475.53, subdivision 4, or 637 percent of its adjusted net tax capacity as most recently determined, whichever is less;

(3) less the maximum net debt permissible for the district on December 1 of the year the application is received, under the limitation in section 475.53, subdivision 4, or 637 percent of its adjusted net tax capacity as most recently determined, whichever is less;

(4) less any amount by which the amount voted exceeds the total cost of the facilities for which the grant and loan is ~~granted~~ approved.

(b) The grant and loan may be approved in an amount computed as provided in paragraph (a), clauses (1) to (3), subject to later reduction according to paragraph (a), clause (4).

(1) the product of the maximum effort tax rate times 50 times the district's most recent adjusted net tax capacity at the time the capital grant and loan is approved under subdivision 10, minus

(2) the district's capital loan balance outstanding at the time the capital grant and loan is approved under subdivision 10, minus

(3) the district's principal and interest balance outstanding for eligible bonds issued for prior capital projects at the time the capital loan and grant is approved.

(d) The grant amount equals the difference between the total grant and loan approved and the loan amount under paragraph (c).

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Subd. 10. Legislative action. Each capital grant and loan must be approved in a law.

If the aggregate amount of the capital grants and loans exceeds the amount that is or can be made available, the commissioner shall allot the available amount among any number of qualified applicant districts, according to the commissioner's judgment and discretion, based upon the districts' respective needs.

Subd. 11. District referendum. After receipt of the review and comment on the project and before January 1 of the even-numbered year, the question authorizing the borrowing of money for the facilities must be submitted by the school board to the voters of the district at a regular or special election. The question submitted must state the total amount to be borrowed from all sources. Approval of a majority of those voting on the question is sufficient to authorize the issuance of the obligations on public sale in accordance with chapter 475. The face of the ballot must include the following statement: "APPROVAL OF THIS QUESTION DOES NOT GUARANTEE THAT THE SCHOOL DISTRICT WILL RECEIVE A CAPITAL GRANT AND LOAN FROM THE STATE. THE GRANT AND LOAN MUST BE APPROVED BY THE STATE LEGISLATURE AND IS DEPENDENT ON AVAILABLE FUNDING." The district must mail to the commissioner a certificate by the clerk showing the vote at the election.

Subd. 12. Contract. (a) Each capital grant and loan must be evidenced by a contract between the district and the state acting through the commissioner. The contract must obligate the state to reimburse the district, from the maximum effort school loan fund, for eligible capital expenses for construction of the facility for which the grant and loan is ~~granted~~ approved, an amount computed as provided in subdivision 9. The commissioner must receive from the district a certified resolution of the board estimating the costs of construction and reciting that contracts for construction of the facilities for which the grant and loan is ~~granted~~ approved have been awarded, that bonds of the district have been issued and sold or that other district funds have been set aside in the amount necessary to pay all estimated costs of construction in excess of the amount of the grant and loan, and that all work, when completed, meets or exceeds standards established in the State Building Code. The contract must obligate the district to repay the loan out of the excesses of its maximum effort debt service levy over its required debt service levy~~, including interest at a rate equal to the weighted average annual rate payable on Minnesota state school loan bonds issued or reissued for the project~~. Beginning July 1, 2020, no interest assessments shall be made on capital loan balances.

(b) The district must each year, as long as it is indebted to the state, levy for debt service (i) the amount of its maximum effort debt service levy or (ii) the amount of its required debt service levy, whichever is greater~~, except as the required debt service levy may be reduced by a loan under section 126C.68~~. The district shall remit payments to the commissioner according to section 126C.71. The actual debt service levy shall be adjusted under section 477A.09.

(c) The commissioner shall supervise the collection of outstanding accounts due the fund and may, by notice to the proper county auditor, require the maximum levy to be made as required in this subdivision. ~~Interest on capital loans must be paid on December 15 of the year after the year the loan is granted and annually in later years.~~ By September 30, the commissioner shall notify the county auditor of each county containing taxable property situated within the district of the amount of the maximum effort debt service levy of the district for that year. The county auditor or auditors shall extend upon the tax rolls an ad valorem tax upon all taxable property within the district in the aggregate amount so certified.

Subd. 13. Loan forgiveness. If any capital loan is not paid within 50 years after it is granted from maximum effort debt service levies in excess of required debt service levies, the liability of the district on the loan is satisfied and discharged and interest on the loan ceases.

Subd. 14. Participation by county auditor; record of contract; payment of loan. The district must file a copy of the capital loan contract with the county auditor of each county in which any part of the district is situated. The county auditor shall enter the capital loan, evidenced by the contract, in the auditor's bond register. The

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commissioner shall keep a record of each capital grant and loan ~~and~~ contract showing the name and address of the district, the date of the contract, and the amount of the grant and loan initially approved. On receipt of the resolution required in subdivision 12 and documentation of expenditures under the contract, the commissioner shall issue payments~~, which may be dispersed in accordance with the schedule in the contract,~~ on the capital grant and loan account for the amount that may be disbursed under subdivision 1. ~~Interest on each disbursement of the capital loan amount accrues from the date on which the commissioner of management and budget issues the payment.~~

Subd. 15. Bond sale limitations. (a) A district having an outstanding state loan must not issue and sell any bonds on the public market, except to refund state loans, unless it agrees to make the maximum effort debt service levy in each later year at the higher rate provided in section 126C.63, subdivision 8, and unless it schedules the maturities of the bonds according to section 475.54, subdivision 2. A district that refunds bonds at a lower interest rate may continue to make the maximum effort debt service levy in each later year at the current rate provided in section 126C.63, subdivision 8, if the district can demonstrate to the commissioner's satisfaction that the district's repayments of the state loan will not be reduced below the previous year's level. The district must report each sale to the commissioner.

(b) For a capital loan issued prior to July 1, 2001, after the district's capital loan has been outstanding for 30 years, the district must not issue bonds on the public market except to refund the loan.

(c) For a capital loan issued on or after July 1, 2001, after the district's capital loan has been outstanding for 20 years, the district must not issue bonds on the public market except to refund the loan.

Sec. 14. Minnesota Statutes 2018, section 126C.71, is amended to read:

126C.71 PAYMENT AND APPLICATIONS OF PAYMENT.

Subdivision 1. Payment. (a) On November 20 of each year, each district having an outstanding capital loan or debt service loan shall compute the excess amount in the debt redemption fund. The commissioner shall prescribe the form and calculation to be used in computing the excess amount. A completed copy of this form shall be sent to the commissioner before December 1 of each year. The commissioner may recompute the excess amount and shall promptly notify the district of the recomputed amount.

~~(b)~~ On December 15 of each year, the district shall remit to the commissioner, at a minimum, an amount equal to the greater of:

(i) the excess amount in the debt redemption fund; or

(ii) the amount by which the maximum effort debt service levy exceeds the required debt service levy for that calendar year.

~~Any late payments shall be assessed an interest charge using the interest rates specified for the debt service notes and capital loan contracts.~~

~~(c)~~ (b) If a payment required under ~~the Maximum Effort School Aid Law~~ paragraph (a) is not made within 30 days, the commissioner may reduce any subsequent payments due the district under this chapter and chapters 120B, 122A, 123A, 123B, 124D, 125A, and 127A by the amount due, after providing written notice to the district.

Subd. 2. Application of payments. The commissioner shall apply payments received under ~~the Maximum Effort School Aid Law and aids withheld according to~~ subdivision 1~~, paragraph (b), as follows: First, to payment of interest accrued on its notes, if any; second, to interest on its contracts, if any; third, toward principal of its notes, if any; and last,~~ toward the principal of its contracts~~, if any~~. While more than ~~one note or more than~~ one contract is

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held, priority of payment ~~of interest~~ must be given to the one of earliest date, and after interest accrued on all notes is paid, similar priority shall be given in the application of any remaining amount to the payment of principal. In any year when the receipts from a district are not sufficient to pay the interest accrued on any of its notes or contracts, the deficiency must be added to the principal, and the commissioner shall notify the district and each county auditor concerned of the new amount of principal of the note or contract.

Sec. 15. Minnesota Statutes 2018, section 134.45, subdivision 5, is amended to read:

Subd. 5. Qualification; accessibility grants. A public library jurisdiction may apply for a grant in an amount up to ~~$200,000~~ $450,000 or 50 percent of the approved costs of removing architectural barriers from a building or site, whichever is less. Grants may be made only for projects in existing buildings used as a library, or to prepare another existing building for use as a library. Renovation of an existing building may include an addition to the building if the additional space is necessary to provide accessibility or if relocating public spaces to the ground level provides improved overall accessibility. Grants must not be used to pay part of the cost of meeting accessibility requirements in a new building.

Sec. 16. Minnesota Statutes 2018, section 137.61, is amended to read:

137.61 PURPOSE.

Sections 137.61 to 137.65 provide for a biomedical science research funding program to further the investment in biomedical science research facilities in Minnesota to benefit the state's economy, advance the biomedical technology industry, benefit human health, and facilitate research collaboration between the University of Minnesota and other private and public institutions in this state. Sections 137.61 to 137.65 also provide funding for design, land acquisition, site preparation, and preconstruction services for the new clinical research facility on the University of Minnesota's Twin Cities campus.

Sec. 17. Minnesota Statutes 2018, section 137.62, subdivision 2, is amended to read:

Subd. 2. Biomedical science research facility. "Biomedical science research facility" means a facility located on the campus of the University of Minnesota to be used as a research facility and laboratory for biomedical science and biomedical technology. A hospital licensed under sections 144.50 to 144.56 is not a biomedical science research facility. Biomedical science research facility includes the clinical research facility defined in this section.

Sec. 18. Minnesota Statutes 2018, section 137.62, is amended by adding a subdivision to read:

Subd. 2a. Clinical research facility. "Clinical research facility" means a facility located on the Twin Cities campus of the University of Minnesota to connect a broad array of clinical research units and activities from across the university, providing a consolidated home for the Clinical Translational Science Institute and related programs that support education, research, clinical training, and patient care.

Sec. 19. Minnesota Statutes 2018, section 137.63, is amended to read:

137.63 BIOMEDICAL SCIENCE RESEARCH FACILITIES FUNDING PROGRAM.

Subdivision 1. Program established. A biomedical science research facilities funding program is established to provide appropriations to the Board of Regents of the University of Minnesota for up to 75 percent of the project costs for each of four projects approved by the Board of Regents under section 137.64, other than the clinical research facility. Appropriations to the Board of Regents for the clinical research facility are for 100 percent of the project costs for design, land acquisition, site preparation, and preconstruction services.

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Subd. 2. Project requirements. The Board of Regents of the University of Minnesota, either acting on its own or in collaboration with another private or public entity, must pay at least 25 percent of the project costs for each of four projects, other than the clinical research facility. The board must not use tuition revenue to pay for the university's share of the costs for the projects approved under section 137.64.

Sec. 20. Minnesota Statutes 2018, section 137.64, is amended to read:

137.64 CONDITIONS FOR PAYMENTS TO UNIVERSITY.

Subdivision 1. Certifications. Before the commissioner may make any payments authorized in this section to the Board of Regents for a biomedical science research facility project, the commissioner must certify that the board has, by board resolution, approved the maximum project cost for the project and complied with the requirements of section 137.63~~, subdivision 2~~. For each project approved by the board, the board must certify to the commissioner the amount of the annual payments of principal and interest required to service each series of bonds issued by the University of Minnesota for the project, and the actual amount of the state's annual payment to the University of Minnesota under subdivision 2. The annual payment must not exceed the amount required to pay debt service on the bonds issued to finance 75 percent of the project costs of biomedical science research facilities authorized before 2019. The annual payment may additionally be for the amount required to pay debt service on the bonds issued to finance 100 percent of the costs of the clinical research facility.

Subd. 2. Payments. On July 15 of each year after the certification under subdivision 1, but no earlier than July 15, 2009, and for so long thereafter as any bonds issued by the board for ~~the construction of~~ a project, or any refunding bonds issued under subdivision 7, are outstanding, the state must transfer to the board annual payments as certified under subdivision 1, up to the maximum amounts in the appropriation schedule under subdivision 3. Payments under this section are to reimburse the Board of Regents for the state's share of the project costs for the biomedical science research facility projects, provided that the principal amount of bonds issued by the University of Minnesota to pay the state's share of the costs must not exceed $219,000,000.

Subd. 3. Appropriations. Annual appropriations are made from the general fund to the commissioner of management and budget for transfer to the Board of Regents, as follows:

(1) up to $850,000 is appropriated in fiscal year 2010;

(2) up to $3,650,000 is appropriated in fiscal year 2011;

(3) up to $7,825,000 is appropriated in fiscal year 2012;

(4) up to $12,100,000 is appropriated in fiscal year 2013;

(5) up to $14,825,000 is appropriated in fiscal year 2014; and

(6) up to ~~$15,550,000~~ $13,930,000 is appropriated in fiscal year 2015 and each year thereafter, up to 25 years following the certification of the last project by the commissioner.

Subd. 4. Report to legislature. The Board of Regents must report to the committees of the legislature with responsibility for capital investment by January 15 of each even-numbered year on the biomedical science research facility projects authorized under this section. The report must at a minimum include for each project, the total cost, the number of researchers, research grants, and the amount of debt issued by the board.

Subd. 5. Reinvestment. The Board of Regents must, to the extent permitted under federal law and University of Minnesota policies, place a priority on reducing the state's share of project costs by dedicating a share of the proceeds from any commercialization or licensing revenues attributable to research conducted in the biomedical science facilities to reducing the appropriations needed under subdivision 3.

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Subd. 6. Services to individuals and firms. Consistent with its mission and governing policies and the requirements for tax-exempt bonds, the university shall make available laboratory and other services on a fee‑for‑service basis to individuals and firms in the bioscience industry in Minnesota. The university will not assert patent rights when providing services that do not involve its innovative intellectual contributions.

Subd. 7. Refunding of bonds; allocation of savings realized. (a) The board may issue bonds in one or more series to refund bonds that were issued for a project before January 1, 2019, if refunding is determined by the board to be in the best interest of the university. The principal amount of bonds issued in each refunding must not exceed the amount necessary to defease the associated bonds outstanding immediately prior to refunding. The amount of the state's annual payment to the university required for the debt service on the refunded bonds, or original bonds if not yet refunded, or a combination of the two, shall be up to the maximum annual appropriation under subdivision 3 for all series.

(b) The amount of the annual appropriation under subdivision 3 that is not needed to pay the annual debt service under paragraph (a) is appropriated to the Board of Regents of the University of Minnesota to pay the annual debt service amount on bonds issued by the university to pay the costs of design, land acquisition, site preparation, and preconstruction services of the clinical research facility.

(c) In any year that the state general fund appropriation authorized in this section exceeds the amount needed to pay debt service on bonds issued by the university for purposes specified in sections 137.61 to 137.65, the excess amount is canceled to the state general fund.

Sec. 21. [174.13] TRANSPORTATION FACILITIES CAPITAL PROGRAM.

Subdivision 1. Establishment; accounts. (a) A transportation facilities capital program is established to prioritize among eligible projects that:

(1) support the programmatic mission of the department;

(2) extend the useful life of existing buildings; or

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

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

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

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

Subd. 2. Standards. Article XIV of the Minnesota Constitution states that the trunk highway fund may be used for the purposes of constructing, improving, and maintaining the trunk highway system in the state. When allocating funding under this section, the commissioner must review the projects deemed eligible under subdivision 3 and prioritize allocations using the criteria in subdivision 4. Money allocated to a specific project in an act of appropriation or other law must be allocated as provided by the law.

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Subd. 3. Eligible expenditures. A project is eligible under this section only if it involves the construction, improvement, or maintenance of a capital building asset that is part of the state trunk highway system. These capital building assets include but are not limited to district headquarter buildings, truck stations, salt storage or other unheated storage buildings, deicing and anti-icing facilities, fuel dispensing facilities, highway rest areas, and vehicle weigh and inspection stations.

Subd. 4. Criteria for priorities. When prioritizing funding allocation among projects eligible under subdivision 3, the commissioner must consider:

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

(2) the urgency in ensuring the safe use of existing buildings;

(3) the project's total life-cycle cost;

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

(5) any other criteria the commissioner deems necessary.

Sec. 22. Minnesota Statutes 2018, section 363A.36, is amended by adding a subdivision to read:

Subd. 1a. Scope of application; state capital funding. (a) An agency or political subdivision that uses state money to pay for part or all of a capital project is subject to and must comply with the restrictions in subdivision 1, for contracts exceeding $100,000.

(b) For the purposes of this subdivision, the following terms have the meanings given them:

(1) "agency" means a state board, commission, authority, department, or other agency of the executive branch of state government; the Minnesota Historical Society; the Minnesota State Colleges and Universities; or the University of Minnesota;

(2) "capital project" means the acquisition and betterment of land and buildings and other public improvements in the state, including acquisition of real property or an interest in real property, predesign, design, engineering, site preparation and related environmental work, renovation, construction, furnishing, and equipping;

(3) "political subdivision" means a county, home rule charter or statutory city, town, school district, metropolitan or regional agency, public corporation established in law, or other special or limited purpose district created or authorized by law; and

(4) "state money" means the proceeds of state general obligation bonds issued under article XI, section 5, clause (a), of the Minnesota Constitution.

(c) This subdivision applies to a capital project or discrete phase of a capital project for which state money has been appropriated on or after January 1, 2022.

Sec. 23. Minnesota Statutes 2018, section 363A.44, subdivision 1, is amended to read:

Subdivision 1. Scope. (a) No department, agency of the state, the Metropolitan Council, or an agency subject to section 473.143, subdivision 1, shall execute a contract for goods or services or an agreement for goods or services in excess of $500,000 with a business that has 40 or more full-time employees in this state or a state where the business has its primary place of business on a single day during the prior 12 months, unless the business has an equal pay certificate or it has certified in writing that it is exempt. A certificate is valid for four years.

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(b) An agency or political subdivision that uses state money to pay for part or all of a capital project is subject to and must comply with the restrictions in this section for contracts exceeding $500,000. For purposes of this subdivision, "agency," "political subdivision," "capital project," and "state money" have the meanings given in section 363A.36, subdivision 1a. This paragraph applies to a capital project or discrete phase of a capital project for which state money has been appropriated on or after January 1, 2022.

~~(b)~~ (c) This section does not apply to a business with respect to a specific contract if the commissioner of administration determines that application of this section would cause undue hardship to the contracting entity. This section does not apply to a contract to provide goods and services to individuals under chapters 43A, 62A, 62C, 62D, 62E, 256B, 256I, 256L, and 268A, with a business that has a license, certification, registration, provider agreement, or provider enrollment contract that is prerequisite to providing those goods and services. This section does not apply to contracts entered into by the State Board of Investment for investment options under section 352.965, subdivision 4.

Sec. 24. Minnesota Statutes 2018, section 446A.081, subdivision 9, is amended to read:

Subd. 9. Other uses of fund. (a) The drinking water revolving loan fund may be used as provided in the act, including the following uses:

(1) to buy or refinance the debt obligations, at or below market rates, of public water systems for drinking water systems, where the debt was incurred after the date of enactment of the act, for the purposes of construction of the necessary improvements to comply with the national primary drinking water regulations under the federal Safe Drinking Water Act;

(2) to purchase or guarantee insurance for local obligations to improve credit market access or reduce interest rates;

(3) to provide a source of revenue or security for the payment of principal and interest on revenue or general obligation bonds issued by the authority if the bond proceeds are deposited in the fund;

(4) to provide loans or loan guarantees for similar revolving funds established by a governmental unit or state agency;

(5) to earn interest on fund accounts;

(6) to pay the reasonable costs incurred by the authority, the Department of Employment and Economic Development, and the Department of Health for conducting activities as authorized and required under the act up to the limits authorized under the act;

(7) to develop and administer programs for water system supervision, source water protection, and related programs required under the act;

(8) ~~notwithstanding Minnesota Rules, part 7380.0280,~~ to provide principal forgiveness or grants to the extent permitted under the federal Safe Drinking Water Act and other federal law, based on the criteria and requirements established for drinking water projects under the water infrastructure funding program under section 446A.072;

(9) to provide loans, principal forgiveness or grants to the extent permitted under the federal Safe Drinking Water Act and other federal law to address green infrastructure, water or energy efficiency improvements, or other environmentally innovative activities; ~~and~~

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(10) to provide principal forgiveness, or grants for 50 80 percent of ~~the~~ project ~~cost~~ costs up to a maximum of ~~$10,000~~ $100,000 for projects needed to comply with national primary drinking water standards for an existing nonmunicipal community ~~or noncommunity~~ public water system.; and

(11) to provide principal forgiveness or grants to the extent permitted under the federal Safe Drinking Water Act and other federal laws for 50 percent of the project costs up to a maximum of $250,000 for projects to replace the privately owned portion of drinking water lead service lines.

(b) Principal forgiveness or grants provided under paragraph (a), clause (9), may not exceed 25 percent of the eligible project costs as determined by the Department of Health for project components directly related to green infrastructure, water or energy efficiency improvements, or other environmentally innovative activities, up to a maximum of $1,000,000.

Sec. 25. Minnesota Statutes 2018, section 473.4052, subdivision 4, is amended to read:

Subd. 4. Application. The liability limits under subdivision 2 and the insurance requirements under subdivision 3 apply only for that segment of a light rail transit line or line extension in which the project formally entered the engineering phase of the Federal Transit Administration's "New Starts" capital investment grant program between August 1, 2016, and ~~December 31, 2016~~ February 1, 2017.

EFFECTIVE DATE; APPLICATION. This section is effective the day following final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

Sec. 26. Laws 2008, chapter 179, section 18, subdivision 3, as amended by Laws 2011, First Special Session chapter 12, section 32, and Laws 2012, chapter 293, section 41, is amended to read:

Subd. 3. Systemwide Campus Redevelopment, Reuse, or Demolition

3,400,000

(a) To demolish surplus, nonfunctional, or deteriorated facilities and infrastructure or to renovate surplus, nonfunctional, or deteriorated facilities and infrastructure at Department of Human Services campuses. These projects must facilitate the redevelopment or reuse of these campuses consistent with redevelopment plan concepts developed and approved under Laws 2003, First Special Session chapter 14, article 6, section 64, subdivision 2. If a surplus campus is sold or transferred to a local unit of government, unspent portions of this appropriation may be granted to that local unit of government for the purposes stated in this subdivision. Unspent portions of this appropriation may be used to design, construct, furnish, and equip a maintenance and storage facility to support the maintenance and operation of the Brainerd campus if the commissioner determines that it is less expensive than renovating existing space. Notwithstanding Minnesota Statutes, section 16A.642, the bond authorization and appropriation of bond proceeds for this project are available until December 30, 2014.

(b) Up to $125,000 is for preparation and site development, including demolition of buildings and infrastructure, to implement the redevelopment and reuse of the Ah Gwah Ching Regional

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Treatment Center. This amount may be granted to Cass County for the purposes stated in this subdivision. If the campus is sold or transferred by Cass County to the city of Walker, unspent portions of this appropriation may be granted to the city of Walker for the purposes stated in this subdivision. Notwithstanding any requirement in paragraph (a) or Minnesota Statutes, section 16A.695, Cass County may convey for no consideration the campus of the former Ah Gwah Ching Regional Treatment Center to Independent School District No. 113, Walker Hackensack Akeley, for school purposes.

Sec. 27. Laws 2015, First Special Session chapter 5, article 1, section 10, subdivision 7, as amended by Laws 2017, First Special Session chapter 8, article 2, section 32, is amended to read:

Subd. 7. Richfield - 77th Street Underpass

10,000,000

For a grant to the city of Richfield for right-of-way acquisition for an extension of 77th Street under marked Trunk Highway 77/Cedar Avenue in the city of Richfield to provide local and regional access between Richfield, the Minneapolis/St. Paul International Airport, the city of Bloomington, and the Mall of America. After right-of-way acquisition is completed, the city may use any remaining money appropriated in this subdivision for construction of the extension. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for the project in this subdivision are available until December 31, ~~2021~~ 2024.

Sec. 28. Laws 2015, First Special Session chapter 5, article 1, section 13, is amended to read:

Sec. 13. CORRECTIONS

$1,200,000

To the commissioner of administration for a grant to the Arrowhead Regional Corrections Joint Powers Board to demolish an existing facility and to design, construct, furnish, and equip a replacement food processing facility on the campus of the Northeast Regional Corrections Center, to meet health, safety, and security standards required for compliance with Minnesota Rules, chapter 2911. Nonstate contributions to improvements at the center made before or after the enactment of this subdivision are considered to be a sufficient match, and no further nonstate match is required. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for the project in this subdivision are available until December 31, 2024.

Sec. 29. Laws 2017, First Special Session chapter 8, article 1, section 15, subdivision 3, as amended by Laws 2018, chapter 214, article 2, section 33, is amended to read:

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Subd. 3. Local Road Improvement Fund Grants

115,932,000

(a) From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for trunk highway corridor projects under Minnesota Statutes, section 174.52, subdivision 2, for construction and reconstruction of local roads with statewide or regional significance under Minnesota Statutes, section 174.52, subdivision 4, or for grants to counties to assist in paying the costs of rural road safety capital improvement projects on county state-aid highways under Minnesota Statutes, section 174.52, subdivision 4a.

(b) Of this amount, $9,000,000 is for a grant to Anoka County to design, acquire land for, engineer, and construct improvements to, including the realignment of County State-Aid Highway 23 (Lake Drive), County State-Aid Highway 54 (West Freeway Drive), West Freeway Drive, and to Hornsby Street in the city of Columbus to support the overall interchange project. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for the project in this paragraph are available until December 31, 2024.

(c) Of this amount, $3,246,000 is for a grant to the city of Blaine to predesign, design, and reconstruct 105th Avenue in the vicinity of the National Sports Center in Blaine. The reconstruction will include changing the street from five lanes to four lanes with median, turn lanes, sidewalk, trail, landscaping, lighting, and consolidation of access driveways. This appropriation is not available until the commissioner of management and budget determines that at least $3,000,000 is committed to the project from sources available to the city, including municipal state aid and county turnback funds.

(d) Of this amount, $25,000,000 is for a grant to Hennepin County, the city of Minneapolis, or both, for design, right-of-way acquisition, engineering, and construction of public improvements related to the Interstate Highway 35W and Lake Street access project and related improvements within the Interstate Highway 35W corridor, notwithstanding any provision of Minnesota Statutes, section 174.52, or rule to the contrary. This appropriation is not available until the commissioner of management and budget determines that an amount sufficient to complete this portion of the Interstate Highway 35W and Lake Street access project has been committed to this portion of the project.

(e) Of this amount, $10,500,000 is for a grant to Carver County for environmental analysis and to acquire right-of-way access, predesign, design, engineer, and construct an interchange at marked Trunk Highway 212 and Carver County Road 44 in the city of Chaska, including a new bridge and ramps, to support the development of approximately 400 acres of property in the city of Chaska's comprehensive plan.

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(f) Of this amount, $700,000 is for a grant to Redwood County for improvements to Nobles Avenue, including paving, as the main access road to a new State Veterans Cemetery to be located in Paxton Township.

(g) Of this amount, $1,000,000 is for a grant to the town of Appleton in Swift County for upgrades to an existing township road to provide for a paved, ten-ton capacity township road extending between marked Trunk Highways 7 and 119.

(h) Of this amount, $20,500,000 is for a grant to Ramsey County for preliminary and final design, right-of-way acquisition, engineering, contract administration, and construction of public improvements related to the construction of the interchange of marked Interstate Highway 694 and Rice Street, Ramsey County State-Aid Highway 49, in Ramsey County.

(i) Of this amount, $11,300,000 is for a grant to Hennepin County for preliminary and final design, engineering, environmental analysis, right-of-way acquisition, construction, and reconstruction of local roads related to the (1) realignment at the intersections of marked U.S. Highway 12 with Hennepin County State-Aid Highway 92; (2) realignment and safety improvements at the intersection of marked U.S. Highway 12 with Hennepin County State-Aid Highway 90; and (3) safety median improvements from the interchange with Wayzata Boulevard in Wayzata to approximately one-half mile east of the interchange of marked U.S. Highway 12 with Hennepin County State-Aid Highway 6.

(j) Of this amount, $1,000,000 is for a grant to the city of Inver Grove Heights for preliminary design, design, engineering, and reconstruction of Broderick Boulevard between 80th Street and Concord Boulevard abutting Trunk Highway 52 and Inver Hills Community College in Inver Grove Heights. The project includes replacement or renovation of public infrastructure, including water lines, sanitary sewers, storm water sewers, and other public utilities. This appropriation does not require a nonstate contribution.

(k) Of this amount, $2,350,000 is for a grant to McLeod County to acquire land or interests in land and to design and construct a new urban street extension of County State-Aid Highway (CSAH) 15, including railroad crossing, storm water, and drainage improvements.

(l) Of this amount, $6,000,000 is for a grant to the city of Baxter for 50 percent of total project cost for the acquisition of land or interests in land, environmental analysis and environmental cleanup, predesign, design, engineering, and construction of improvements to Cypress Drive, including expansion to a four-lane divided urban roadway, between Excelsior Road and College Road.

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Sec. 30. Laws 2017, First Special Session chapter 8, article 1, section 15, subdivision 4, is amended to read:

Subd. 4. Rail Grade Separation on Crude Oil Rail Corridors

71,124,000

(a) Of this amount, $42,262,000 is for a grant to the city of Moorhead for environmental analysis, design, engineering, removal of an existing structure, and construction of a rail grade crossing separation in the vicinity of 21st Street South.

(b) $14,100,000 is for a grant to Anoka County for environmental analysis, design, engineering, removal of an existing structure, and construction of a rail grade crossing separation at Anoka County State-Aid Highway 78, known as Hanson Boulevard, in Coon Rapids. Any unspent portion of the appropriation under this paragraph may be used by Anoka County for design costs of other rail crossings in Anoka County that are on the commissioner's rail safety priority list.

(c) Of this amount, $14,762,000 is for a grant to the city of Red Wing for acquisition of right-of-way, environmental analysis, design, engineering, removal of an existing structure, and construction of a rail grade crossing separation at Sturgeon Lake Road. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for the project in this paragraph are available until December 31, 2024.

(d) Any unspent portion of this appropriation after completion of a project in this subdivision may be used for grants in accordance with Minnesota Statutes, section 219.016.

Sec. 31. Laws 2017, First Special Session chapter 8, article 1, section 18, subdivision 3, is amended to read:

Subd. 3. Minneapolis Veterans Home Truss Bridge Project

7,851,000

To design, construct, renovate, and equip the historic truss bridge on the Minneapolis Veterans Home campus, including asbestos and hazardous materials abatement and associated site work. The unspent portion of this appropriation after the project has been substantially completed, upon written notice to the commissioner of management and budget, is available for asset preservation of veterans homes statewide under Minnesota Statutes, section 16B.307. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds in this subdivision are available until December 31, 2024.

Sec. 32. Laws 2017, First Special Session chapter 8, article 1, section 20, subdivision 21, as amended by Laws 2018, chapter 214, article 2, section 40, is amended to read:

Subd. 21. St. Paul - Minnesota Museum of American Art

6,000,000

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For a grant to the St. Paul Port Authority to acquire, design, construct, furnish, and equip new museum galleries and an art study facility for the Minnesota Museum of American Art. This facility provides space to celebrate the legacy of Minnesota art and artists and is part of the restoration of the historic Pioneer Endicott Building, and a part of a multiphase project, of which only the museum galleries and art study facility constructed with this appropriation shall be state bond financed property subject to Minnesota Statutes, section 16A.695. This appropriation is not available until the commissioner of management and budget has determined that:

(1) at least an amount equal to this appropriation has been committed or previously expended for design, construction, and furnishing of the adjacent Minnesota Museum of American Art Center for Creativity facilities, which are not subject to Minnesota Statutes, section 16A.695, with funds from nonstate sources; and

(2) sufficient other state and nonstate funds are available, if funds beyond this appropriation are required, to complete the museum galleries and art study facility.

Funds invested in the Minnesota Museum of American Art Center for Creativity facilities by an investor receiving an assignment of state historic tax credits as provided in Minnesota Statutes, section 290.0681, are nonstate funds for purposes of this requirement. Only expenditures made after January 1, 2012, shall qualify for the required match. Due to the integrated nature of the overall development, public bidding shall not be required.

Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2024.

Sec. 33. Laws 2018, chapter 214, article 1, section 2, subdivision 6, is amended to read:

Subd. 6. Glensheen Renewal

4,000,000

To predesign, design, and renovate the Historic Glensheen Estate including but not limited to one or more of the following: the main house; the site structures, terraces, and garden walls; and the carriage house. ~~This appropriation is not available until the commissioner of management and budget determines that an equal amount is committed from other sources.~~ This appropriation does not require a nonstate contribution.

Sec. 34. Laws 2018, chapter 214, article 1, section 7, subdivision 1, is amended to read:

Subdivision 1. Total Appropriation

$ ~~78,669,000~~ 74,309,000

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

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Sec. 35. Laws 2018, chapter 214, article 1, section 21, subdivision 1, is amended to read:

Subdivision 1. Total Appropriation

$ ~~109,344,000~~ 109,085,000

To the commissioner of employment and economic development for the purposes specified in this section.

Sec. 36. Laws 2018, chapter 214, article 1, section 21, subdivision 26, is amended to read:

Subd. 26. St. Paul - Minnesota Museum of American Art

2,500,000

For a grant to the St. Paul Port Authority to acquire, design, construct, furnish, and equip the Minnesota Museum of American Art in the historic Pioneer Endicott Building. This appropriation is in addition to the amount appropriated by Laws 2017, First Special Session chapter 8, article 1, section 20, subdivision 21, and is available in accordance with the requirements of that subdivision. This appropriation may be used as needed for the costs of the project, including but not limited to secure loading dock, and art restoration and exhibit preparation areas.

Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2024.

Sec. 37. Laws 2018, chapter 214, article 1, section 21, subdivision 27, is amended to read:

Subd. 27. St. Paul - ~~RiverCentre Parking Facility~~ Eastbound Kellogg Boulevard Reconstruction

5,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to the city of St. Paul for ~~demolition of~~ a portion of the cost of the reconstruction of eastbound Kellogg Boulevard and associated infrastructure adjacent to and abutting the ~~existing~~ RiverCentre parking ramp ~~and removal of debris~~. This ~~demolition is part of a larger project to rebuild the parking facility~~ reconstruction is needed for a vital bridge and roadway immediately adjacent to the RiverCentre ramp. This appropriation is available until December 31, 2024.

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Sec. 38. Laws 2018, chapter 214, article 1, section 26, subdivision 1, as amended by Laws 2019, chapter 2, article 2, section 9, is amended to read:

Subdivision 1. Bond proceeds fund. To provide the money appropriated in this act from the bond proceeds fund, the commissioner of management and budget shall sell and issue bonds of the state in an amount up to ~~$776,639,000~~ $771,699,000 in the manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.

Sec. 39. Laws 2018, chapter 214, article 1, section 26, subdivision 2, is amended to read:

Subd. 2. Transportation fund. To provide the money appropriated in this act from the state transportation fund, the commissioner of management and budget shall sell and issue bonds of the state in an amount up to ~~$103,060,000~~ $108,060,000 in the manner, upon the terms, and with the effect prescribed by Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution, article XI, sections 4 to 7.

Sec. 40. Laws 2019, First Special Session chapter 11, article 6, section 7, subdivision 2, is amended to read:

Subd. 2. Debt service equalization aid. For debt service equalization aid under Minnesota Statutes, section 123B.53, subdivision 6:

		$20,684,000	. . . . .	2020
		$ ~~20,363,000~~ 25,380,000	. . . . .	2021

The 2020 appropriation includes $2,292,000 for 2019 and $18,392,000 for 2020.

The 2021 appropriation includes $2,043,000 for 2020 and ~~$18,320,000~~ $23,337,000 for 2021.

Sec. 41. RED LAKE AND NETT LAKE CAPITAL LOANS.

(a) Notwithstanding the capital loan contracts issued to Independent School District No. 38, Red Lake, and Independent School District No. 707, Nett Lake, under Minnesota Statutes, section 126C.69, the capital loan balance outstanding for Independent School District No. 38, Red Lake, as of July 1, 2020, on the capital loan granted on April 27, 2015, is reduced to $228,743. The capital loan balance outstanding for Independent School District No. 707, Nett Lake, as of July 1, 2020, on the capital loan granted on October 24, 2006, is reduced to $1,261,384. The capital loan balances on these loans in excess of these amounts are forgiven.

(b) All capital loan contracts issued prior to 2015 to Independent School District No. 38, Red Lake, under Minnesota Statutes, section 126C.69, cancel as of July 1, 2020, and the capital loan balances on these loans are forgiven. The capital loan contract issued prior to 1995 to Independent School District No. 707, Nett Lake, under Minnesota Statutes, section 126C.69, cancels as of July 1, 2020, and the capital loan balance on this loan is forgiven.

(c) Maximum effort loan aid for Independent School District No. 38, Red Lake, and Independent School District No. 707, Nett Lake, is the amount the districts would have received under Minnesota Statutes, section 477A.09, based on the capital loan contracts issued under Minnesota Statutes, section 126C.69, without the loan forgiveness granted under paragraphs (a) and (b).

Sec. 42. TRUNK HIGHWAY 252/INTERSTATE HIGHWAY 94 PROJECT.

(a) For purposes of this section, "Highway 252/94 project" means the project on marked Trunk Highway 252 and marked Interstate Highway 94, as selected in the corridors of commerce program from the appropriation under Laws 2018, chapter 214, article 1, section 16, subdivision 11.

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(b) The commissioner of transportation must not include establishment of one or more high-occupancy vehicle lanes under Minnesota Statutes, section 160.93, as part of the Highway 252/94 project unless the project includes facilities for highway bus rapid transit.

Sec. 43. REPEALER.

(a) Minnesota Statutes 2018, sections 126C.65, subdivision 2; and 126C.68, subdivisions 1, 2, and 4, are repealed.

(b) Minnesota Statutes 2019 Supplement, section 126C.68, subdivision 3, is repealed.

Sec. 44. APPROPRIATIONS GIVEN EFFECT ONCE.

If an appropriation in this act is enacted more than once in the 2020 legislative session for the same purpose, the appropriation must be given effect only once. If the appropriations for the same purpose are for different amounts, the lowest of the amounts is the one to be given effect.

Sec. 45. EFFECTIVE DATE.

Except as otherwise provided, this article is effective the day following final enactment."

Delete the title and insert:

"A bill for an act relating to capital investment; authorizing spending to acquire and better public land and buildings and for other improvements of a capital nature with certain conditions; modifying prior appropriations; establishing new programs and modifying existing programs; authorizing the sale and issuance of state bonds; appropriating money; amending Minnesota Statutes 2018, sections 16A.641, by adding a subdivision; 16B.86; 16B.87; 41B.18, subdivision 6; 115A.0716; 123B.53, subdivisions 1, 4; 126C.63, subdivision 8; 126C.66, subdivision 3; 126C.69, as amended; 126C.71; 134.45, subdivision 5; 137.61; 137.62, subdivision 2, by adding a subdivision; 137.63; 137.64; 363A.36, by adding a subdivision; 363A.44, subdivision 1; 446A.081, subdivision 9; 462A.37, by adding a subdivision; 473.4052, subdivision 4; Minnesota Statutes 2019 Supplement, sections 16A.968, subdivisions 2, 3; 462A.37, subdivisions 2, 5; Laws 2008, chapter 179, section 18, subdivision 3, as amended; Laws 2015, First Special Session chapter 5, article 1, sections 10, subdivision 7, as amended; 13; Laws 2017, First Special Session chapter 8, article 1, sections 15, subdivisions 3, as amended, 4; 18, subdivision 3; 20, subdivision 21, as amended; Laws 2018, chapter 214, article 1, sections 2, subdivision 6; 7, subdivision 1; 21, subdivisions 1, 26, 27; 26, subdivisions 1, as amended, 2; Laws 2019, First Special Session chapter 11, article 6, section 7, subdivision 2; proposing coding for new law in Minnesota Statutes, chapters 16A; 116J; 174; repealing Minnesota Statutes 2018, sections 126C.65, subdivision 2; 126C.68, subdivisions 1, 2, 4; Minnesota Statutes 2019 Supplement, section 126C.68, subdivision 3; Minnesota Rules, part 7380.0280."

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Carlson, L., from the Committee on Ways and Means to which was referred:

H. F. No. 2682, A bill for an act relating to legacy; appropriating money to maintain dedicated funding website.

Reported the same back with the following amendments:

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Delete everything after the enacting clause and insert:

"ARTICLE 1

OUTDOOR HERITAGE FUND

Section 1. OUTDOOR HERITAGE APPROPRIATIONS.

The sums shown in the columns marked "Appropriations" are appropriated to the agencies and for the purposes specified in this article. The appropriations are from the outdoor heritage fund for the fiscal year indicated for each purpose. The figures "2020" and "2021" used in this article mean that the appropriations listed under the figure are available for the fiscal year ending June 30, 2020, or June 30, 2021, respectively. "The first year" is fiscal year 2020. "The second year" is fiscal year 2021. "The biennium" is fiscal years 2020 and 2021. These are onetime appropriations.

			APPROPRIATIONS
			Available for the Year
			Ending June 30
			2020	2021

Sec. 2. OUTDOOR HERITAGE FUND

Subdivision 1. Total Appropriation

$ -0-

$117,915,000

This appropriation is from the outdoor heritage fund. The amounts that may be spent for each purpose are specified in the following subdivisions.

Subd. 2. Prairies

-0-

35,832,000

(a) DNR Wildlife Management Area and Scientific and Natural Area Acquisition - Phase XII

$2,066,000 the second year is to the commissioner of natural resources to acquire in fee and restore and enhance lands for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8, and to acquire lands in fee for scientific and natural areas under Minnesota Statutes, section 86A.05, subdivision 5. Subject to evaluation criteria in Minnesota Rules, part 6136.0900, priority must be given to acquiring lands that are eligible for the native prairie bank under Minnesota Statutes, section 84.96, or lands adjacent to protected native prairie. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(b) Accelerating Wildlife Management Area Program - Phase XII

$3,322,000 the second year is to the commissioner of natural resources for an agreement with Pheasants Forever to acquire in fee and restore and enhance lands for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8. Subject to

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evaluation criteria in Minnesota Rules, part 6136.0900, priority must be given to acquiring lands that are eligible for the native prairie bank under Minnesota Statutes, section 84.96, or lands adjacent to protected native prairie. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(c) Minnesota Prairie Recovery Project - Phase X

$3,365,000 the second year is to the commissioner of natural resources for an agreement with The Nature Conservancy to acquire lands in fee and to restore and enhance native prairies, grasslands, wetlands, and savannas. Subject to evaluation criteria in Minnesota Rules, part 6136.0900, priority must be given to acquiring lands that are eligible for the native prairie bank under Minnesota Statutes, section 84.96, or lands adjacent to protected native prairie. No later than 180 days after The Nature Conservancy's fiscal year ends, The Nature Conservancy must submit to the Lessard-Sams Outdoor Heritage Council annual income statements and balance sheets for income and expenses from land acquired with this appropriation. A list of proposed land acquisitions must be provided as part of the required accomplishment plan, and the acquisitions must be consistent with the priorities identified in Minnesota Prairie Conservation Plan.

(d) Northern Tallgrass Prairie National Wildlife Refuge Land Acquisition - Phase XI

$2,295,000 the second year is to the commissioner of natural resources for an agreement with The Nature Conservancy, in cooperation with the United States Fish and Wildlife Service, to acquire lands in fee or permanent conservation easements and to restore and enhance lands in the Northern Tallgrass Prairie Habitat Preservation Area in western Minnesota for addition to the Northern Tallgrass Prairie National Wildlife Refuge. Subject to evaluation criteria in Minnesota Rules, part 6136.0900, priority must be given to acquiring lands that are eligible for the native prairie bank under Minnesota Statutes, section 84.96, or lands adjacent to protected native prairie. A list of proposed land acquisitions must be provided as part of the required accomplishment plan, and the acquisitions must be consistent with the priorities in Minnesota Prairie Conservation Plan.

(e) Lower Wild Rice Corridor Habitat Restoration - Phase III

$1,888,000 the second year is to acquire land in permanent conservation easement and to restore river and related habitat in the Wild Rice River corridor. Of this amount, $148,000 is to the commissioner of natural resources for an agreement with the Wild Rice Watershed District and $1,740,000 is to the Board of Water and Soil Resources. The Board of Water and Soil Resources may

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use up to $78,000 for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed acquisitions must be included as part of the required accomplishment plan.

(f) Martin County DNR WMA Acquisition - Phase IV

$2,387,000 the second year is to the commissioner of natural resources for agreements to acquire lands in fee and restore and enhance strategic prairie grassland, wetland, and other wildlife habitat in Martin County for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8. Of this amount, $1,665,000 is to Fox Lake Conservation League Inc., $618,000 is to Ducks Unlimited, and $104,000 is to The Conservation Fund. A list of proposed acquisitions must be provided as part of the required accomplishment plan.

(g) RIM Grasslands Reserve - Phase II

$3,233,000 the second year is to the Board of Water and Soil Resources to acquire permanent conservation easements and to restore and enhance grassland habitat under Minnesota Statutes, section 103F.501 to 103F.531. Of this amount, up to $58,000 is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of permanent conservation easements must be provided as part of the final report.

(h) Prairie Chicken Habitat Partnership of the Southern Red River Valley - Phase VI

$1,736,000 the second year is to the commissioner of natural resources for an agreement with Pheasants Forever, in cooperation with the Minnesota Prairie Chicken Society, to acquire lands in fee and restore and enhance lands in the southern Red River valley for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8, or to be designated and managed as waterfowl production areas in Minnesota in cooperation with the United States Fish and Wildlife Service. Subject to evaluation criteria in Minnesota Rules, part 6136.0900, priority must be given to acquiring lands that are eligible for the native prairie bank under Minnesota Statutes, section 84.96, or lands adjacent to protected native prairie. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(i) Heron Lake Area Conservation Partnership

$4,493,000 the second year is to the commissioner of natural resources for agreements to acquire land in fee for wildlife management under Minnesota Statutes, section 86A.05,

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subdivision 8, or to be designated and managed as waterfowl production areas in Minnesota, in cooperation with the United States Fish and Wildlife Service; to acquire land in permanent conservation easement; and to restore and enhance wildlife habitat within the Heron Lake Watershed as follows: $1,450,000 is to Ducks Unlimited; $1,181,000 is to Pheasants Forever; $801,000 is to the Heron Lake Watershed District; and $1,061,000 is to Minnesota Land Trust, of which up to $120,000 to Minnesota Land Trust is for establishing monitoring and enforcement funds as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed acquisitions must be provided as part of the required accomplishment plan.

(j) Cannon River Watershed Habitat Complex - Phase IX

$1,148,000 the second year is to the commissioner of natural resources for an agreement with The Trust for Public Land, in cooperation with Great River Greening, to acquire lands in fee in the Cannon River watershed for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8; to acquire lands in fee for aquatic management areas under Minnesota Statutes, section 86A.05, subdivision 14; to acquire lands in fee for scientific and natural areas under Minnesota Statutes, section 86A.05, subdivision 5; to acquire lands in fee for state forests under Minnesota Statutes, section 86A.05, subdivision 7; and to restore and enhance lands in the Cannon River watershed. Of this amount, $887,000 is to The Trust for Public Land and $261,000 is to Great River Greening. Subject to evaluation criteria in Minnesota Rules, part 6136.0900, priority must be given to acquiring lands that are eligible for the native prairie bank under Minnesota Statutes, section 84.96, or lands adjacent to protected native prairie. A list of proposed land acquisitions and restorations must be provided as part of the required accomplishment plan.

(k) Accelerating the USFWS Habitat Conservation Easement Program - Phase II

$3,187,000 the second year is to the commissioner of natural resources for an agreement with Ducks Unlimited, in cooperation with Pheasants Forever and the United States Fish and Wildlife Service, to acquire permanent conservation working lands easements and to restore wetlands and prairie grasslands. Of this amount, $2,248,000 is to Ducks Unlimited and $939,000 is to Pheasants Forever. A list of proposed acquisitions and restorations must be provided as part of the required accomplishment plan.

(l) DNR Grassland Enhancement - Phase XII

$4,432,000 the second year is to the commissioner of natural resources to accelerate restoration and enhancement of prairies, grasslands, and savannas in wildlife management areas, in

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scientific and natural areas, in aquatic management areas, on lands in the native prairie bank, in bluff prairies on state forest land in southeastern Minnesota, and in waterfowl production areas and refuge lands of the United States Fish and Wildlife Service. A list of proposed land restorations and enhancements must be provided as part of the required accomplishment plan.

(m) Enhanced Public Land: Grasslands - Phase IV

$2,280,000 the second year is to the commissioner of natural resources for an agreement with Pheasants Forever to enhance and restore grassland and wetland habitat on public lands. A list of proposed land restorations and enhancements must be provided as part of the required accomplishment plan.

Subd. 3. Forests

-0-

13,669,000

(a) Camp Ripley Sentinel Landscape ACUB Protection Program - Phase VIII

$2,712,000 the second year is to the Board of Water and Soil Resources, in cooperation with the Morrison County Soil and Water Conservation District, to acquire permanent conservation easements and restore and enhance forest wildlife habitat within the boundaries of the Minnesota National Guard Camp Ripley Sentinel Landscape and Army Compatible Use Buffer. Of this amount, up to $143,000 is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of permanent conservation easements must be provided as part of the final report.

(b) Southeast Minnesota Protection and Restoration - Phase VIII

$2,704,000 the second year is to the commissioner of natural resources for agreements as follows:

(1) $1,144,000 to The Nature Conservancy to acquire lands in fee for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8; for scientific and natural areas under Minnesota Statutes, section 86A.05, subdivision 5; for state forests under Minnesota Statutes, section 86A.05, subdivision 7; and for aquatic management areas under Minnesota Statutes, section 86A.05, subdivision 14, and to restore and enhance wildlife habitat;

(2) $797,000 to The Trust for Public Land to acquire lands in fee for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8; for scientific and natural areas under Minnesota Statutes, section 86A.05, subdivision 5; for state forests

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under Minnesota Statutes, section 86A.05, subdivision 7; and for aquatic management areas under Minnesota Statutes, section 86A.05, subdivision 14; and

(3) $763,000 to Minnesota Land Trust to acquire permanent conservation easements and to restore and enhance wildlife habitat, of which $96,000 is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17.

A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(c) Northern Forest Habitat Conservation

$4,205,000 the second year is to the commissioner of natural resources for an agreement with Minnesota Land Trust to acquire forest land in fee to be permanently protected and managed by St. Louis County as county forest lands. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(d) DNR Forest Habitat Enhancement

$1,773,000 the second year is to the commissioner of natural resources to restore and enhance wildlife habitat in the northern forest region in wildlife management areas, scientific and natural areas, aquatic management areas, and state forests. A list of proposed land restorations and enhancements must be provided as part of the required accomplishment plan.

(e) Southeast Forest Habitat Enhancement - Phase II

$1,000,000 the second year is to the commissioner of natural resources to restore and enhance forests in southeastern Minnesota. A list of proposed land enhancements must be provided as part of the required accomplishment plan.

(f) Young Forest Conservation - Phase III

$1,275,000 the second year is to the commissioner of natural resources for an agreement with the American Bird Conservancy to enhance publicly owned, permanently protected forest lands for wildlife management. A list of proposed forest land enhancements must be provided as part of the required accomplishment plan.

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Subd. 4. Wetlands

-0-

12,625,000

(a) Accelerating Waterfowl Production Area Acquisition - Phase XII

$3,658,000 the second year is to the commissioner of natural resources for an agreement with Pheasants Forever, in cooperation with the United States Fish and Wildlife Service, to acquire lands in fee and to restore and enhance wetlands and grasslands to be designated and managed as waterfowl production areas in Minnesota. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(b) Shallow Lake and Wetland Protection and Restoration Program - Phase IX

$4,608,000 the second year is to the commissioner of natural resources for an agreement with Ducks Unlimited to acquire lands in fee for wildlife management under Minnesota Statutes, section 86A.05, subdivision 8, and to restore and enhance prairie lands, wetlands, and land buffering shallow lakes. A list of proposed acquisitions must be provided as part of the required accomplishment plan.

(c) Wetland Habitat Protection Program - Phase V

$2,683,000 the second year is to the commissioner of natural resources for an agreement with Minnesota Land Trust to acquire permanent conservation easements and to restore and enhance prairie, wetland, and other habitat on permanently protected conservation easements in high-priority wetland habitat complexes in the prairie and forest/prairie transition regions. Of this amount, up to $240,000 is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed conservation easement acquisitions, restorations, and enhancements must be provided as part of the required accomplishment plan.

(d) Accelerated Shallow Lakes and Wetlands Enhancement - Phase XII

$1,676,000 the second year is to the commissioner of natural resources to enhance and restore shallow lakes and wetland habitat statewide. A list of proposed land restorations and enhancements must be provided as part of the required accomplishment plan.

Subd. 5. Habitats

-0-

55,429,000

(a) Protecting Coldwater Fisheries on Minnesota's North Shore

$1,809,000 the second year is to the commissioner of natural resources for an agreement with Minnesota Land Trust to acquire permanent conservation easements and to restore and enhance

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wildlife habitat in priority coldwater tributaries to Lake Superior. Of this amount, up to $144,000 is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed conservation easement acquisitions, restorations, and enhancements must be provided as part of the required accomplishment plan.

(b) Metro Big Rivers - Phase X

$6,473,000 the second year is to the commissioner of natural resources for agreements to acquire lands in fee and permanent conservation easements and to restore and enhance natural habitat systems associated with the Mississippi, Minnesota, and St. Croix Rivers and their tributaries in the metropolitan area. Of this amount, $801,000 is to Minnesota Valley National Wildlife Refuge Trust Inc., $300,000 is to Friends of the Mississippi River, $366,000 is to Great River Greening, $3,406,000 is to The Trust for Public Land, and $1,600,000 is to Minnesota Land Trust. Up to $144,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed land acquisitions and permanent conservation easements must be provided as part of the required accomplishment plan.

(c) Resilient Habitat for Heritage Brook Trout

$2,266,000 the second year is to the commissioner of natural resources for agreements to acquire land in fee and permanent conservation easements and to restore and enhance habitat in targeted watersheds of southeast Minnesota to improve heritage brook trout and coldwater communities. Of this amount, $350,000 is to The Nature Conservancy, $258,000 is to Trout Unlimited, $857,000 is to The Trust for Public Land, and $801,000 is to Minnesota Land Trust. Up to $96,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed land acquisitions and permanent conservation easements must be provided as part of the required accomplishment plan.

(d) Fisheries Habitat Protection on Strategic North Central Minnesota Lakes - Phase VI

$2,814,000 the second year is to the commissioner of natural resources for agreements to acquire lands in fee and permanent conservation easements and to restore and enhance wildlife habitat to sustain healthy fish habitat on coldwater lakes in Aitkin, Cass, Crow Wing, and Hubbard Counties. Of this amount, $883,000 is

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to Northern Waters Land Trust and $1,931,000 is to Minnesota Land Trust. Up to $192,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of acquisitions must be provided as part of the required accomplishment plan.

(e) Accelerating Habitat Conservation in Southwest Minnesota

$3,044,000 the second year is to the commissioner of natural resources for an agreement with Minnesota Land Trust to acquire permanent conservation easements and to restore and enhance high-quality wildlife habitat in southwest Minnesota. Of this amount, up to $144,000 is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed conservation easement acquisitions, restorations, and enhancements must be provided as part of the required accomplishment plan.

(f) Targeted RIM Easement Program to Individual Parcel: Pine and Leech Watersheds - Phase I

$2,458,000 the second year is to the Board of Water and Soil Resources to acquire and restore permanent conservation easements of high-quality forest, wetland, and shoreline habitat. Of this amount, $164,000 is for an agreement with the Crow Wing County Soil and Water Conservation District. Up to $97,000 of the total amount is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed acquisitions must be included as part of the required accomplishment plan.

(g) Mississippi Headwaters Habitat Corridor Project - Phase V

$3,695,000 the second year is to acquire lands in fee and conservation easement and restore wildlife habitat in the Mississippi headwaters as follows:

(1) $2,177,000 is to the commissioner of natural resources for agreements as follows: $69,000 to the Mississippi Headwaters Board and $2,108,000 to The Trust for Public Land; and

(2) $1,518,000 is to the Board of Water and Soil Resources, of which up to $175,000 is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17.

A list of proposed acquisitions must be included as part of the required accomplishment plan.

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(h) Hennepin County Habitat Conservation Program - Phase II

$3,155,000 the second year is to the commissioner of natural resources for agreements with Hennepin County, in cooperation with Minnesota Land Trust, to acquire permanent conservation easements and to restore and enhance habitats in Hennepin County as follows: $446,000 to Hennepin County and $2,709,000 to Minnesota Land Trust. Up to $264,000 to Minnesota Land Trust is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed permanent conservation easements, restorations, and enhancements must be provided as part of the required accomplishment plan.

(i) Trout Unlimited Coldwater Fish Habitat Enhancement and Restoration - Phase XII

$1,474,000 the second year is to the commissioner of natural resources for an agreement with Trout Unlimited to restore and enhance habitat for trout and other species in and along coldwater rivers, lakes, and streams in Minnesota. A list of proposed land acquisitions, restorations, and enhancements must be provided as part of the required accomplishment plan.

(j) DNR Aquatic Habitat Restoration and Enhancement - Phase III

$3,790,000 the second year is to the commissioner of natural resources to restore and enhance aquatic habitat in degraded streams and aquatic management areas and to facilitate fish passage. A list of proposed land restorations and enhancements must be provided as part of the required accomplishment plan.

(k) St. Louis River Restoration Initiative - Phase VII

$2,280,000 the second year is to the commissioner of natural resources to restore priority aquatic and riparian habitats in the St. Louis River estuary. A list of proposed restorations must be provided as part of the required accomplishment plan.

(l) Knife River Habitat Rehabilitation - Phase V

$700,000 the second year is to the commissioner of natural resources for an agreement with Zeitgeist, a nonprofit corporation, in cooperation with the Lake Superior Steelhead Association, to restore and enhance trout habitat in the Knife River watershed. A list of proposed enhancements must be provided as part of the required accomplishment plan.

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(m) Shell Rock River Watershed Habitat Restoration Program - Phase IX

$1,918,000 the second year is to the commissioner of natural resources for an agreement with the Shell Rock River Watershed District to acquire lands in fee and to restore and enhance aquatic habitat in the Shell Rock River watershed. A list of proposed acquisitions, restorations, and enhancements must be provided as part of the required accomplishment plan.

(n) Rum River Wildlife and Fish Habitat Enhancement Using Bioengineered Bank Stabilization

$816,000 the second year is to the commissioner of natural resources for an agreement with the Anoka County Soil and Water Conservation District to restore and enhance riverine habitat in the Rum River using eco-sensitive, habitat-building, and bioengineering approaches. A list of proposed enhancements must be provided as part of the required accomplishment plan.

(o) Roseau River Habitat Restoration

$3,036,000 the second year is to the commissioner of natural resources for an agreement with the Roseau River Watershed District to restore and enhance riverine habitat in the Roseau River and the Roseau River Wildlife Management Area.

(p) Sauk River Watershed Habitat Protection and Restoration - Phase II

$3,926,000 the second year is to the commissioner of natural resources for agreements to acquire lands in fee and permanent conservation easements and to restore and enhance wildlife habitat in the Sauk River watershed as follows: $430,000 to the Sauk River Watershed District, $2,073,000 to Pheasants Forever, and $1,423,000 to Minnesota Land Trust. Up to $168,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of acquisitions must be provided as part of the required accomplishment plan.

(q) Southeast Wetland Restoration

$1,351,000 the second year is to the commissioner of natural resources for an agreement with the city of Mankato to acquire land in fee in the city of Mankato for wetland and grassland restoration. A list of acquisitions must be provided as part of the required accomplishment plan.

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(r) Conservation Partners Legacy Grant Program: Statewide and Metro Habitat - Phase XII

$10,424,000 the second year is to the commissioner of natural resources for a program to provide competitive matching grants of up to $400,000 to local, regional, state, and national organizations for enhancing, restoring, or protecting forests, wetlands, prairies, or habitat for fish, game, or wildlife in Minnesota. Of this amount, at least $3,250,000 is for grants in the seven-county metropolitan area and cities with a population of 50,000 or more. Grants must not be made for activities required to fulfill the duties of owners of lands subject to conservation easements. Grants must not be made from the appropriation in this paragraph for projects that have a total project cost exceeding $575,000. Of the total appropriation, $475,000 may be spent for personnel costs and other direct and necessary administrative costs. Grantees may acquire land or interests in land. Easements must be permanent. Grants may not be used to establish easement stewardship accounts. Land acquired in fee must be open to hunting and fishing during the open season unless otherwise provided by law. The program must require a match of at least ten percent from nonstate sources for all grants. The match may be cash or in-kind resources. For grant applications of $25,000 or less, the commissioner must provide a separate, simplified application process. Subject to Minnesota Statutes, the commissioner of natural resources must, when evaluating projects of equal value, give priority to organizations that have a history of receiving, or a charter to receive, private contributions for local conservation or habitat projects. For grant requests to acquire land in fee or a conservation easement, the commissioner must give priority to projects associated with or within one mile of existing wildlife management areas under Minnesota Statutes, section 86A.05, subdivision 8; scientific and natural areas under Minnesota Statutes, sections 84.033 and 86A.05, subdivision 5; or aquatic management areas under Minnesota Statutes, sections 86A.05, subdivision 14, and 97C.02. All restoration or enhancement projects must be on land permanently protected by a permanent covenant ensuring perpetual maintenance and protection of restored and enhanced habitat, by a conservation easement or public ownership or in public waters as defined in Minnesota Statutes, section 103G.005, subdivision 15. Priority must be given to restoration and enhancement projects on public lands. Minnesota Statutes, section 97A.056, subdivision 13, applies to grants awarded under this paragraph. This appropriation is available until June 30, 2023. No less than five percent of the amount of each grant must be held back from reimbursement until the grant recipient has completed a grant accomplishment report by the deadline and in the form prescribed by and satisfactory to the Lessard-Sams Outdoor Heritage Council. The commissioner must provide notice of the grant program in the summary of game and fish law prepared under Minnesota Statutes, section 97A.051, subdivision 2.

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Subd. 6. Administration

-0-

360,000

(a) Contract Management

$210,000 the second year is to the commissioner of natural resources for contract management duties assigned in this section. The commissioner must provide an accomplishment plan in the form specified by the Lessard-Sams Outdoor Heritage Council on expending this appropriation. The accomplishment plan must include a copy of the grant contract template and reimbursement manual. No money may be expended before the Lessard-Sams Outdoor Heritage Council approves the accomplishment plan.

(b) Technical Evaluation Panel

$150,000 the second year is to the commissioner of natural resources for a technical evaluation panel to conduct up to 25 restoration and enhancement evaluations under Minnesota Statutes, section 97A.056, subdivision 10.

Subd. 7. Availability of Appropriation

Money appropriated in this section may not be spent on activities unless they are directly related to and necessary for a specific appropriation and are specified in the accomplishment plan approved by the Lessard-Sams Outdoor Heritage Council. Money appropriated in this section must not be spent on indirect costs or other institutional overhead charges that are not directly related to and necessary for a specific appropriation. Unless otherwise provided, the amounts in this section are available until June 30, 2023. For acquisition of real property, the amounts in this section are available until June 30, 2024, if a binding agreement with a landowner or purchase agreement is entered into by June 30, 2023, and closed no later than June 30, 2024. Funds for restoration or enhancement are available until June 30, 2025, or five years after acquisition, whichever is later, in order to complete initial restoration or enhancement work. If a project receives at least 15 percent of its funding from federal funds, the time of the appropriation may be extended to equal the availability of federal funding to a maximum of six years if the federal funding was confirmed and included in the original approved draft accomplishment plan. Funds appropriated for fee title acquisition of land may be used to restore, enhance, and provide for public use of the land acquired with the appropriation. Public-use facilities must have a minimal impact on habitat in acquired lands.

Subd. 8. Payment Conditions and Capital Equipment Expenditures

All agreements referred to in this section must be administered on a reimbursement basis unless otherwise provided in this section. Notwithstanding Minnesota Statutes, section 16A.41, expenditures

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directly related to each appropriation's purpose made on or after July 1, 2020, or the date of accomplishment plan approval, whichever is later, are eligible for reimbursement unless otherwise provided in this section. For the purposes of administering appropriations and legislatively authorized agreements paid out of the outdoor heritage fund, an expense must be considered reimbursable by the administering agency when the recipient presents the agency with an invoice, or a binding agreement with the landowner, and the recipient attests that the goods have been received or the landowner agreement is binding. Periodic reimbursement must be made upon receiving documentation that the items articulated in the accomplishment plan approved by the Lessard-Sams Outdoor Heritage Council have been achieved, including partial achievements as evidenced by progress reports approved by the Lessard-Sams Outdoor Heritage Council. Reasonable amounts may be advanced to projects to accommodate cash flow needs, support future management of acquired lands, or match a federal share. The advances must be approved as part of the accomplishment plan. Capital equipment expenditures for specific items over $10,000 must be itemized in and approved as part of the accomplishment plan.

Subd. 9. Mapping

Each direct recipient of money appropriated in this section, as well as each recipient of a grant awarded according to this section, must provide geographic information to the Lessard-Sams Outdoor Heritage Council for mapping any lands acquired in fee with funds appropriated in this section and open to public taking of fish and game. The commissioner of natural resources must include the lands acquired in fee with money appropriated in this section on maps showing public recreational opportunities. Maps must include information on and acknowledgment of the outdoor heritage fund, including a notation of any restrictions.

Subd. 10. Carryforwards

(a) The availability of the appropriation in Laws 2016, chapter 172, article 1, section 2, subdivision 5, paragraph (j), Roseau Lake Rehabilitation, is extended to June 30, 2022.

(b) The availability of the appropriation in Laws 2017, chapter 91, article 1, section 2, subdivision 2, paragraph (f), Accelerated Native Prairie Bank Protection - Phase VI, is extended to June 30, 2022.

Subd. 11. Cancellations

(a) The unspent portion of the appropriation in Laws 2017, chapter 91, article 1, section 2, subdivision 3, paragraph (g), estimated to be $4,582,000, is canceled.

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(b) The appropriation in Laws 2019, First Special Session chapter 2, article 1, section 2, subdivision 5, paragraph (l), is canceled.

Subd. 12. Extension of Certain Appropriations

(a) Notwithstanding Minnesota Statutes, section 16A.28, or any other law to the contrary, the availability of any appropriation or grant of money from the outdoor heritage fund that would otherwise cancel, lapse, or expire on June 30, 2020, is extended to June 30, 2021, if the recipient or grantee does both of the following:

(1) by June 30, 2020, notifies the Lessard-Sams Outdoor Heritage Council in the manner specified by the council that the recipient or grantee intends to avail itself of the extension available under this subdivision; and

(2) modifies the applicable accomplishment plan in accordance with the council's accomplishment plan modification procedures.

(b) The council must notify the commissioner of management and budget and the commissioner of natural resources of any extension granted under this subdivision.

Subd. 13. Extension of RIM Wetlands Partnership - Phase VII

The availability of the appropriation in Laws 2016, chapter 172, article 1, section 2, subdivision 4, paragraph (c), RIM Wetlands Partnership - Phase VII, is extended to June 30, 2022.

EFFECTIVE DATE. Subdivisions 10, 11, and 12 are effective the day following final enactment. Subdivision 13 is effective retroactively from June 30, 2019.

Sec. 3. Minnesota Statutes 2018, section 97A.056, subdivision 5, is amended to read:

Subd. 5. Open meetings. (a) Meetings of the council and other groups the council may establish are subject to chapter 13D. Except where prohibited by law, the council shall establish additional processes to broaden public involvement in all aspects of its deliberations, including recording meetings, video conferencing, and publishing minutes. For the purposes of this subdivision, a meeting occurs when a quorum is present and the members receive information or take action on any matter relating to the duties of the council. The quorum requirement for the council shall be seven members.

(b) Travel to and from scheduled and publicly noticed site visits by council members for the purposes of receiving information is not a violation of paragraph (a). Any decision or agreement to make a decision during the travel is a violation of paragraph (a).

(c) For legislative members of the council, enforcement of this subdivision is governed by section 3.055, subdivision 2. For nonlegislative members of the council, enforcement of this subdivision is governed by section 13D.06, subdivisions 1 and 2.

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(d) Unless held at a location outside the Capitol complex, meetings of the council must be made available on a website for live video streaming and be archived on a website for playback at a later time. For meetings of the council held at a location outside the Capitol complex, the council must make meetings available via live video stream and archive the video to the extent practicable.

Sec. 4. Laws 2017, chapter 91, article 1, section 2, subdivision 3, is amended to read:

Subd. 3. Forests

16,824,000

-0-

(a) Carnelian Creek Conservation Corridor

$2,458,000 the first year is to the commissioner of natural resources for an agreement with Minnesota Land Trust to acquire permanent conservation easements in Washington County. Of this amount, up to ~~$30,000~~ $120,000 is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed permanent conservation easements must be provided as part of the required accomplishment plan. This appropriation is available until June 30, 2022.

(b) Laurentian Forest - St. Louis County Habitat Project

$2,400,000 the first year is to the commissioner of natural resources for agreements with the Minnesota Deer Hunters Association in cooperation with The Conservation Fund and St. Louis County to acquire land in fee to be transferred to St. Louis County for wildlife habitat purposes. The amount is for agreements as follows: $2,292,000 to the Minnesota Deer Hunter Association and $108,000 to The Conservation Fund. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(c) Southeast Minnesota Protection and Restoration - Phase V

$2,375,000 the first year is to the commissioner of natural resources to acquire land in fee for wildlife management purposes under Minnesota Statutes, section 86A.05, subdivision 8; to acquire land in fee for scientific and natural areas under Minnesota Statutes, section 86A.05, subdivision 5; to acquire land in fee for state forest purposes under Minnesota Statutes, section 86A.05, subdivision 7; to acquire permanent conservation easements; and to restore and enhance prairie, grassland, forest, and savanna. The amount is for agreements as follows: $1,000,000 to The Nature Conservancy, $675,000 to The Trust for Public Land, and $700,000 to Minnesota Land Trust. Up to $80,000 to Minnesota Land Trust is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. No later than 180 days after the The Nature Conservancy's fiscal year ends, The Nature Conservancy must submit to the Lessard-Sams Outdoor Heritage

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Council annual income statements and balance sheets for income and expenses from land acquired in fee with this appropriation and not transferred to the state or a local governmental unit. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(d) Minnesota Forests for the Future - Phase V

$2,291,000 the first year is to the commissioner of natural resources to acquire easements for forest, wetland, and shoreline habitat through working forest permanent conservation easements under the Minnesota forests for the future program pursuant to Minnesota Statutes, section 84.66. A conservation easement acquired with money appropriated under this paragraph must comply with Minnesota Statutes, section 97A.056, subdivision 13. The accomplishment plan must include an easement monitoring and enforcement plan. Of this amount, up to $72,000 is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of permanent conservation easements must be provided as part of the final report.

(e) State Forest Acquisitions - Phase IV

$1,000,000 the first year is to the commissioner of natural resources to acquire lands in fee for wildlife habitat purposes in the Richard J. Dorer Memorial Hardwood State Forest under Minnesota Statutes, section 86A.05, subdivision 7. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

(f) Critical Shoreland Protection Program - Phase IV

$1,700,000 the first year is to the commissioner of natural resources for an agreement with Minnesota Land Trust to acquire permanent conservation easements along rivers and lakes in the northern forest region. Of this amount, up to $120,000 is for establishing a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed permanent conservation easements must be provided as part of the required accomplishment plan.

(g) Bushmen Lake

$4,600,000 the first year is to the commissioner of natural resources for an agreement with The Conservation Fund in cooperation with the United States Forest Service to acquire lands in fee adjacent to Bushmen Lake in St. Louis County to be managed for wildlife habitat purposes. A list of proposed land acquisitions must be provided as part of the required accomplishment plan.

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

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Sec. 5. Laws 2019, First Special Session chapter 2, article 1, section 2, subdivision 5, is amended to read:

Subd. 5. Habitats

50,119,000

-0-

(a) St. Croix Watershed Habitat Protection and Restoration - Phase I

$3,751,000 the first year is to the commissioner of natural resources for agreements as follows:

(1) $2,209,000 to The Trust for Public Land to acquire land in fee and to acquire permanent conservation stream easements in the St. Croix River watershed using the payment method prescribed in Minnesota Statutes, section 84.0272, subdivision 2;. Of this amount, up to $20,000 is to the commissioner of natural resources to deposit in the natural resources conservation easement stewardship account established under Minnesota Statutes, section 84.69, as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17;

(2) $1,377,000 to Minnesota Land Trust to acquire permanent conservation easements and to restore and enhance natural habitat systems in the St. Croix River watershed. Of this amount, up to $168,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17; and

(3) $165,000 to the St. Croix River Association to coordinate and administer the program under this paragraph.

A list of proposed land acquisitions and permanent conservation easements must be provided as part of the required accomplishment plan.

(b) Metro Big Rivers - Phase IX

$4,163,000 the first year is to the commissioner of natural resources for agreements to acquire lands in fee and permanent conservation easements and to restore and enhance natural habitat systems associated with the Mississippi, Minnesota, and St. Croix Rivers and their tributaries in the metropolitan area. Of this amount, $820,000 is to Minnesota Valley National Wildlife Refuge Trust Inc., $532,000 is to Friends of the Mississippi River, $1,061,000 is to Great River Greening, and $1,750,000 is to Minnesota Land Trust. Up to $144,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed land acquisitions and permanent conservation easements must be provided as part of the required accomplishment plan.

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(c) Dakota County Habitat Protection/Restoration - Phase VII

$3,516,000 the first year is to the commissioner of natural resources for an agreement with Dakota County to acquire permanent conservation easements and land in fee and to restore and enhance riparian and other habitats in Dakota County. A list of proposed land acquisitions and restorations and enhancements must be provided as part of the required accomplishment plan.

(d) Fisheries Habitat Protection on Strategic North Central Minnesota Lakes - Phase V

$3,365,000 the first year is to the commissioner of natural resources for agreements to acquire lands in fee and permanent conservation easements and to restore and enhance wildlife habitat to sustain healthy fish habitat on coldwater lakes in Aitkin, Cass, Crow Wing, and Hubbard Counties. Of this amount, $841,000 is to Northern Waters Land Trust and $2,524,000 is to Minnesota Land Trust. Up to $192,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of acquisitions must be provided as part of the required accomplishment plan.

(e) Sauk River Watershed Habitat Protection and Restoration

$2,946,000 the first year is to the commissioner of natural resources for agreements to acquire lands in fee and permanent conservation easements and restore and enhance wildlife habitat in the Sauk River watershed as follows: $440,000 to Sauk River Watershed District, $590,000 to Pheasants Forever, and $1,916,000 to Minnesota Land Trust. Up to $192,000 to Minnesota Land Trust is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of acquisitions must be provided as part of the required accomplishment plan.

(f) Trout Unlimited Coldwater Fish Habitat Enhancement and Restoration - Phase XI

$2,359,000 the first year is to the commissioner of natural resources for an agreement with Trout Unlimited to acquire permanent conservation stream easements using the payment method prescribed in Minnesota Statutes, section 84.0272, subdivision 2, and to restore and enhance habitat for trout and other species in and along coldwater rivers, lakes, and streams in Minnesota. Up to $40,000 is to establish a monitoring and enforcement fund as approved in the accomplishment plan and subject to Minnesota Statutes, section 97A.056, subdivision 17. A list of proposed land acquisitions and restorations and enhancements must be provided as part of the required accomplishment plan.

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(g) DNR Aquatic Habitat Restoration and Enhancement - Phase II

$3,208,000 the first year is to the commissioner of natural resources to restore and enhance aquatic habitat in degraded streams and aquatic management areas and to facilitate fish passage. A list of proposed land restorations and enhancements must be provided as part of the required accomplishment plan.

(h) St. Louis River Restoration Initiative - Phase VI

$3,777,000 the first year is to the commissioner of natural resources to restore aquatic and riparian habitats in the St. Louis River estuary. Of this appropriation, up to $2,182,000 is for an agreement with Minnesota Land Trust. A list of proposed restorations must be provided as part of the required accomplishment plan.

(i) Knife River Habitat Rehabilitation - Phase IV

$891,000 the first year is to the commissioner of natural resources for an agreement with Zeitgeist, in cooperation with the Lake Superior Steelhead Association, to restore and enhance trout habitat in the Knife River watershed. A list of proposed enhancements must be provided as part of the required accomplishment plan.

(j) Shell Rock River Watershed Habitat Restoration Program - Phase VIII

$2,046,000 the first year is to the commissioner of natural resources for an agreement with the Shell Rock River Watershed District to acquire lands in fee and to restore and enhance aquatic habitat in the Shell Rock River watershed. A list of proposed acquisitions, restorations, and enhancements must be provided as part of the required accomplishment plan.

(k) Pine River Fish Passage Project

$1,246,000 the first year is to the commissioner of natural resources for an agreement with the Crow Wing Soil and Water Conservation District to restore and enhance riverine habitat in the Pine River and provide fish passage by removing dams and modifying and installing structures.

(l) Sauk River Dam Fish Passage

$737,000 the first year is to the commissioner of natural resources for an agreement with the Stearns County Soil and Water Conservation District to restore and enhance riverine habitat in the Sauk River and provide fish passage by removing the dam and modifying and installing structures at the Melrose dam site.

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(m) Restoring Norway Brook Connectivity to the Pine River

$2,267,000 the first year is to the commissioner of natural resources for an agreement with the city of Pine River to restore and enhance riverine habitat in the Pine River and provide fish passage by removing the dam and modifying and installing structures at the Norway Lake dam site.

(n) Pig's Eye Lake Islands Habitat Restoration and Enhancement

$4,337,000 the first year is to the commissioner of natural resources for an agreement with Ramsey County to restore and enhance wildlife habitat in Pig's Eye Lake, to include constructing islands.

(o) Restoring Upper Mississippi River at Lake Pepin

$750,000 the first year is to the commissioner of natural resources for an agreement with the Lake Pepin Legacy Alliance to restore and enhance wildlife habitat on public lands in Lake Pepin and the adjacent floodplain. A list of proposed restorations and enhancements must be provided as part of the required accomplishment plan.

(p) Conservation Partners Legacy Grant Program: Statewide and Metro Habitat - Phase XI

$10,760,000 the first year is to the commissioner of natural resources for a program to provide competitive matching grants of up to $400,000 to local, regional, state, and national organizations for enhancing, restoring, or protecting forests, wetlands, prairies, or habitat for fish, game, or wildlife in Minnesota. Of this amount, at least $3,000,000 is for grants in the seven-county metropolitan area and cities with a population of 50,000 or greater. Grants must not be made for activities required to fulfill the duties of owners of lands subject to conservation easements. Grants must not be made from the appropriation in this paragraph for projects that have a total project cost exceeding $575,000. Of the total appropriation, $445,000 may be spent for personnel costs and other direct and necessary administrative costs. Grantees may acquire land or interests in land. Easements must be permanent. Grants may not be used to establish easement stewardship accounts. Land acquired in fee must be open to hunting and fishing during the open season unless otherwise provided by law. The program must require a match of at least ten percent from nonstate sources for all grants. The match may be cash or in-kind resources. For grant applications of $25,000 or less, the commissioner must provide a separate, simplified application process. Subject to Minnesota statutes, the commissioner of natural resources must, when evaluating projects of equal value, give priority to organizations

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that have a history of receiving, or a charter to receive, private contributions for local conservation or habitat projects. If acquiring land in fee or a conservation easement, priority must be given to projects associated with or within one mile of existing wildlife management areas under Minnesota Statutes, section 86A.05, subdivision 8; scientific and natural areas under Minnesota Statutes, sections 84.033 and 86A.05, subdivision 5; or aquatic management areas under Minnesota Statutes, sections 86A.05, subdivision 14, and 97C.02. All restoration or enhancement projects must be on land permanently protected by a permanent covenant ensuring perpetual maintenance and protection of restored and enhanced habitat, by a conservation easement or public ownership or in public waters as defined in Minnesota Statutes, section 103G.005, subdivision 15. Priority must be given to restoration and enhancement projects on public lands. Minnesota Statutes, section 97A.056, subdivision 13, applies to grants awarded under this paragraph. This appropriation is available until June 30, 2023. No less than five percent of the amount of each grant must be held back from reimbursement until the grant recipient has completed a grant accomplishment report by the deadline and in the form prescribed by and satisfactory to the Lessard-Sams Outdoor Heritage Council. The commissioner must provide notice of the grant program in the summary of game and fish law prepared under Minnesota Statutes, section 97A.051, subdivision 2.

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

ARTICLE 2

OTHER FUNDS

Section 1. Laws 2017, chapter 91, article 4, section 2, subdivision 2, is amended to read:

Subd. 2. Availability of Appropriation

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

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Sec. 2. Laws 2019, First Special Session chapter 2, article 4, section 2, subdivision 2, is amended to read:

Subd. 2. Availability of Appropriation

Money appropriated in this article may not be spent on activities unless they are directly related to and necessary for a specific appropriation. Money appropriated in this article must not be spent on institutional overhead charges that are not directly related to and necessary for a specific appropriation. Money appropriated in this article must be spent in accordance with the Minnesota Management and Budget's Guidance to Agencies on Legacy Fund Expenditures. Notwithstanding Minnesota Statutes, section 16A.28, or any other law to the contrary, the availability of any appropriation or grant of money from the arts and cultural heritage fund that would otherwise cancel, lapse, or expire on June 30, 2020, is extended to June 30, 2022. Notwithstanding Minnesota Statutes, section 16A.28, and unless otherwise specified in this article, fiscal year 2020 appropriations are available until June 30, ~~2021~~ 2022, and fiscal year 2021 appropriations are available until June 30, 2022. If a project receives federal funds, the period of the appropriation is extended to equal the availability of federal funding. To the extent permitted under article XI, section 15, of the Minnesota Constitution, money appropriated under this article may be used to assist grantees to maintain their financial sustainability and long-term viability during any peacetime emergency declared by the governor in an executive order that relates to the infectious disease known as COVID-19 and the period following that peacetime emergency.

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

Sec. 3. Laws 2019, First Special Session chapter 2, article 4, section 2, subdivision 8, is amended to read:

Subd. 8. Minnesota Humanities Center

3,150,000

3,250,000

(a) These amounts are appropriated to the Board of Directors of the Minnesota Humanities Center for the purposes specified in this subdivision. The Minnesota Humanities Center may use up to 4.5 percent of the following grants to cover the cost of administering, planning, evaluating, and reporting these grants. The Minnesota Humanities Center must develop a written plan to issue the grants in this subdivision and must submit the plan for review and approval by the Department of Administration. The written plan must require the Minnesota Humanities Center to create and adhere to grant policies that are similar to those established according to Minnesota Statutes, section 16B.97, subdivision 4, paragraph (a), clause (1).

No grants awarded in this subdivision may be used for travel outside the state of Minnesota. The grant agreement must specify the repercussions for failing to comply with the grant agreement.

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(b) Programs and Purposes

$1,000,000 the first year and $1,100,000 the second year are for programs and purposes of the Minnesota Humanities Center.

$1,200,000 each year is for arts and cultural heritage grants to children's museums for arts and cultural exhibits and related educational outreach programs. Of this amount:

(1) $525,000 ~~each~~ the first year is and $375,000 the second year are for the Minnesota Children's Museum for interactive exhibits and outreach programs on arts and cultural heritage, including, during the first year only, the Minnesota Children's Museum in Rochester;

(2) $150,000 the second year is for the Children's Museum of Rochester for interactive exhibits and outreach programs on arts and cultural heritage;

(3) $50,000 each year is to develop and fabricate a permanent STEM exhibit for the Minnesota Children's Museum of Rochester, which must be under a separate grant agreement from the grant agreement used to provide funding to the Minnesota Children's Museum; and

~~(3)~~ (4) $625,000 each year is for grants to other children's museums to pay for start-up costs or new exhibit and program development.

Funds are to be distributed through a competitive grant process. The Minnesota Humanities Center must administer these funds using established grant mechanisms.

(d) Community Identity and Heritage Grant Program

$850,000 the first year and $850,000 the second year are for a competitive grants program to provide grants to preserve and promote the cultural heritage of Minnesota.

The Minnesota Humanities Center must operate a competitive grants program to provide grants to programs that preserve and honor the cultural heritage of Minnesota or that provide education and student outreach on cultural diversity or to programs that empower communities to build their identity and culture. Priority must be given to grants for individuals and organizations working to create, celebrate, and teach indigenous arts and cultural activities and arts organizations and programs preserving, sharing, and educating on the arts and cultural heritage of immigrant communities in Minnesota.

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(1) Of this amount, $250,000 the first year is for a grant to one or more community organizations that provide arts and cultural heritage programming celebrating Hmong heritage.

(2) Of this amount, $250,000 the first year is for a grant to one or more community organizations that provide arts and cultural heritage programming celebrating Somali heritage.

(e) Civics Programs

$100,000 each year is for grants to the Minnesota Civic Education Coalition: Minnesota Civic Youth, the Learning Law and Democracy Foundation, and YMCA Youth in Government to conduct civics education programs for the civic and cultural development of Minnesota youth. Civics education is the study of constitutional principles and the democratic foundation of our national, state, and local institutions and the study of political processes and structures of government, grounded in the understanding of constitutional government under the rule of law.

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

Sec. 4. Laws 2019, First Special Session chapter 10, article 1, section 24, subdivision 2, is amended to read:

Subd. 2. Operations and Services

1,302,000

602,000

$700,000 in the first year is for moving and relocation expenses for the board. Moving and relocation expenses are limited to the design and construction of new leased office space; moving, installing and reconfiguring information technology systems and audio visual equipment; purchasing and installing work stations; and professional moving services necessary to complete the relocation. The board may use no more than $5,000 for other miscellaneous services, provided that the services must be directly related to the office relocation. On June 30, ~~2020~~ 2021, any unexpended amounts appropriated for moving and relocation expenses cancel to the general fund.

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

Sec. 5. EXTENSION OF AVAILABILITY OF CERTAIN APPROPRIATIONS; OTHER LEGACY FUNDS.

Notwithstanding Minnesota Statutes, section 16A.28, or any other law to the contrary, the availability of any appropriation or grant of money from the clean water fund or the parks and trails fund that would otherwise cancel, lapse, or expire on June 30, 2020, is extended to June 30, 2021.

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

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Sec. 6. APPROPRIATION; MINNESOTA MEDAL OF HONOR COMMEMORATIVE MEMORIAL.

$250,000 in fiscal year 2020 is appropriated from the arts and cultural heritage fund to the commissioner of administration to be transferred to the Medal of Honor account to complete design and construction of a memorial in the Capitol Area to honor all Minnesota Medal of Honor recipients. This appropriation is a replacement for the appropriation in Laws 2017, chapter 91, article 4, section 2, subdivision 6, paragraph (p), that canceled at the close of fiscal year 2019.

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

Delete the title and insert:

"A bill for an act relating to legacy; appropriating money from outdoor heritage fund; appropriating money for Medal of Honor memorial; extending and modifying previous appropriations from legacy funds; amending Minnesota Statutes 2018, section 97A.056, subdivision 5; Laws 2017, chapter 91, article 1, section 2, subdivision 3; article 4, section 2, subdivision 2; Laws 2019, First Special Session chapter 2, article 1, section 2, subdivision 5; article 4, section 2, subdivisions 2, 8; Laws 2019, First Special Session chapter 10, article 1, section 24, subdivision 2."

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Carlson, L., from the Committee on Ways and Means to which was referred:

H. F. No. 3392, A bill for an act relating to higher education; providing for policy changes for the Office of Higher Education, including financial aid, institutional approval, and the Minnesota college savings plan; establishing and increasing fees; requiring a report; amending Minnesota Statutes 2018, sections 124D.09, subdivision 10a; 135A.15, subdivision 1a; 136A.01, subdivision 1; 136A.031, subdivision 3; 136A.103; 136A.121, by adding a subdivision; 136A.125, subdivision 3; 136A.1275, subdivision 1; 136A.1701, subdivision 4; 136A.1791, subdivisions 1, 3; 136A.1795, subdivision 4; 136A.65, subdivisions 4, 7, 8; 136A.653, subdivision 1; 136A.657, subdivisions 1, 2, 3; 136A.658; 136A.675; 136A.69, subdivisions 1, 4, by adding a subdivision; 136A.824, subdivision 4, by adding a subdivision; 136A.827, subdivision 4; 136A.829, subdivision 1; 136A.833, subdivision 1; 136A.834, subdivisions 1, 2; 136G.01; 136G.03, subdivisions 8, 10, 11, 20, 31, by adding a subdivision; 136G.05, subdivisions 2, 5, 7; 136G.09, subdivisions 6, 8; 136G.11, subdivisions 11, 13; 136G.13; 136G.14; Minnesota Statutes 2019 Supplement, sections 136A.64, subdivision 1; 136A.646; proposing coding for new law in Minnesota Statutes, chapter 136A; repealing Minnesota Statutes 2018, sections 136G.03, subdivisions 4, 22; 136G.05, subdivision 6.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"ARTICLE 1

OFFICE OF HIGHER EDUCATION

Section 1. Minnesota Statutes 2018, section 124D.09, subdivision 10a, is amended to read:

Subd. 10a. Statewide concurrent enrollment ~~participant survey~~ evaluation. (a) Postsecondary institutions offering courses taught by the secondary teacher according to subdivision 10, and are members in the National Alliance of Concurrent Enrollment Partnerships (NACEP), must report all required NACEP evaluative survey

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results by September 1 of each year to the commissioners of the Office of Higher Education and the Department of Education. The commissioners must report by December 1 of each year to the committees of the legislature having jurisdiction over early education through grade 12 education.

(b) Postsecondary institutions that have not adopted and implemented the NACEP program standards and required evidence for accreditation, are required to conduct an annual survey of concurrent enrolled students who successfully completed the course who are one year out of high school, beginning with the high school graduating class of 2016. By September 1 of each year, the postsecondary institutions must report the evaluative survey results to the commissioners of the Office of Higher Education and the Department of Education. The commissioner must report by December 1 of each year to the committees of the legislature having jurisdiction over early education through grade 12 education. The survey must include, at a minimum, the following student information:

~~(1) the participant's future education plans, including the highest degree or certification planned;~~

~~(2) whether the participant is enrolled or plans to enroll in a Minnesota postsecondary institution, either public or private;~~

~~(3) the number of credits accepted or denied by postsecondary institutions;~~

~~(4) the college or university attended;~~

~~(5) the participant's satisfaction level with the concurrent enrollment program;~~

~~(6) the participant's demographics, such as gender, parent education level, qualification for free or reduced-price lunch in high school, Pell grant qualification, and ethnicity; and~~

~~(7) a place for participants to provide comments~~ The Office of Higher Education and the Department of Education shall collaborate in order to provide annual statewide evaluative information on concurrent enrollment programs to the legislature. The commissioners of the Office of Higher Education and the Department of Education, in consultation with stakeholders, including students and parents, must determine what student demographics and outcomes data are appropriate to include in the evaluation, and will use systems available to the office and department to minimize the reporting burden on postsecondary institutions. The commissioners must report by December 1, 2021, and each year thereafter, to the committees of the legislature with jurisdiction over early education through grade 12 and Minnesota State Colleges and Universities.

Sec. 2. Minnesota Statutes 2018, section 135A.15, subdivision 1a, is amended to read:

Subd. 1a. Sexual assault definition. (a) For the purposes of this section, the following terms have the meanings given.

(b) "Incident" means one report of sexual assault to a postsecondary institution, regardless of the number of complainants included in the report, the number of respondents included in the report, and whether or not the identity of any party is known by the reporting postsecondary institution. Incident encompasses all nonconsensual events included within one report if multiple events have been identified.

(c) "Sexual assault" means rape, sex offenses - fondling, sex offenses - incest, or sex offenses - statutory rape as defined in Code of Federal Regulations, title 34, part 668, subpart D, appendix A, as amended.

Sec. 3. Minnesota Statutes 2018, section 136A.01, subdivision 1, is amended to read:

Subdivision 1. Creation. The Office of Higher Education, which may also be known as the Minnesota Office of Higher Education, is created with a commissioner appointed by the governor with the advice and consent of the senate and serving at the pleasure of the governor.

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Sec. 4. Minnesota Statutes 2018, section 136A.031, subdivision 3, is amended to read:

Subd. 3. Student Advisory Council. (a) A Student Advisory Council (SAC) to the office is established. The members of SAC shall include: the chair of the University of Minnesota student senate; the state chair of the Minnesota State University Student Association; the president of the Minnesota State College Student Association and an officer of the Minnesota State College Student Association, one in a community college course of study and one in a technical college course of study; a student who is enrolled in a private nonprofit postsecondary institution, to be elected by students enrolled in Minnesota Private College Council institutions; ~~and~~ a student who is enrolled in a private ~~for-profit postsecondary institution~~ career school, to be elected by students enrolled in Minnesota ~~Career College Association institutions~~ private career schools; and a student who is enrolled in a Minnesota tribal college to be elected by students enrolled in Minnesota tribal colleges. If students from the private career schools or tribal colleges do not elect a representative, the commissioner must appoint a student representative. If students from the Minnesota Private College Council institutions do not elect a representative, the Minnesota Private College Council must appoint the private nonprofit representative. ~~If students from the Minnesota Career College Association institutions do not elect a representative, the Minnesota Career College Association must appoint the private for‑profit representative.~~ A member may be represented by a student designee who attends an institution from the same system that the absent member represents. The SAC shall select one of its members to serve as chair.

(b) The office shall inform the SAC of all matters related to student issues under consideration. The SAC shall report to the office quarterly and at other times that the SAC considers desirable. The SAC shall determine its meeting times, but it shall also meet with the office within 30 days after the commissioner's request for a meeting.

(1) bring to the attention of the office any matter that the SAC believes needs the attention of the office;

(2) make recommendations to the office as it finds appropriate; and

(3) approve student appointments by the office for each advisory group as provided in subdivision 4.

Sec. 5. [136A.032] COMMUNITY AND COMMISSIONER PARTICIPATION IN POSTSECONDARY EDUCATION OF AMERICAN INDIANS.

Subdivision 1. Definitions. (a) The term used in this section has the meaning given in this subdivision.

(b) "Tribal Nations Education Committee" means the committee established through tribal directive, for which the commissioner consults on matters related to American Indian postsecondary education programs, policy, and all matters related to educating Minnesota's American Indian postsecondary students. The membership of the Tribal Nations Education Committee is determined by and at the sole discretion of the committee members, and nothing in this section authorizes the commissioner to dictate committee membership.

Subd. 2. American Indian community involvement. The commissioner must provide for the involvement of the Tribal Nations Education Committee, American Indian postsecondary students, and representatives of community groups in the establishment of programs, formation of policies, and all other matters related to the postsecondary education of Minnesota's American Indian students.

Subd. 3. Consultation with the Tribal Nations Education Committee. (a) The commissioner shall seek consultation with the Tribal Nations Education Committee regarding programs, policies, and all other matters related to the postsecondary education of Minnesota's American Indian students.

(b) Nothing in this subdivision prevents the commissioner from seeking consultation with individual tribal nations.

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Sec. 6. [136A.096] FINANCIAL AID GOALS.

The legislature directs the commissioner of the Office of Higher Education, in coordination with the Minnesota Department of Education and the Minnesota Association of Secondary School Principals, to set an annual goal for the percentage of Minnesota's high school seniors completing the Free Application for Federal Student Aid (FAFSA).

Sec. 7. Minnesota Statutes 2018, section 136A.121, is amended by adding a subdivision to read:

Subd. 21. Institutional prohibition. An institution receiving financial aid under this section must not suspend or withdraw a student from class attendance and resources during a period of instruction due to an unpaid student account balance unless the student is eligible for a full tuition and fee refund. A period of instruction for the purposes of this subdivision means a new academic term that may be measured in semesters, trimesters, quarters, interim terms, mini terms, or one or more modules so that a student who begins attendance in that new academic term incurs additional tuition and fee charges beyond any outstanding student account balance due to the institution for prior completed terms of enrollment. An institution that measures a program in clock hours and that includes language in the enrollment contract between it and the student to only charge tuition by payment period, is also covered by this subdivision.

Sec. 8. Minnesota Statutes 2018, section 136A.125, subdivision 3, is amended to read:

Subd. 3. Eligible institution. A Minnesota public postsecondary institution, a Minnesota private, baccalaureate ~~degree granting~~ degree-granting college or university, or a Minnesota nonprofit two-year vocational technical school granting associate degrees, or a Minnesota postsecondary institution offering only graduate or professional degrees is eligible to receive child care funds from the office and disburse them to eligible students.

Sec. 9. Minnesota Statutes 2018, section 136A.1275, subdivision 1, is amended to read:

Subdivision 1. Establishment. (a) The commissioner of the Office of Higher Education must establish a grant program for student teaching stipends for low-income students enrolled in a Professional Educator Licensing and Standards Board-approved teacher preparation program who intend to teach in a shortage area after graduating and receiving their teaching license or belong to an underrepresented racial or ethnic group.

(b) "Shortage area" means a license field or economic development region within Minnesota defined as a shortage area by the ~~Department of Education~~ Professional Educator Licensing and Standards Board in coordination with the commissioner using data collected for the teacher supply and demand report under section ~~127A.05, subdivision 6, or other~~ 122A.091, subdivision 5 ~~surveys conducted by the Department of Education that provide indicators for teacher supply and demand~~.

Sec. 10. Minnesota Statutes 2018, section 136A.1701, subdivision 4, is amended to read:

Subd. 4. Terms and conditions of loans. (a) The office may loan money upon such terms and conditions as the office may prescribe.

(b) The maximum loan amount to students ~~enrolled in a bachelor's degree program, postbaccalaureate, or graduate program~~ must be determined annually by the office. ~~For all other eligible students, the principal amount of the loan must not exceed $7,500 per grade level.~~ Loan limits are defined based on the type of program enrollment, such as a certificate, an associate's degree, a bachelor's degree, or a graduate program. The aggregate principal amount of all loans made subject to this paragraph to a student as an undergraduate and graduate student must not exceed $140,000. The amount of the loan must not exceed the cost of attendance as determined by the eligible institution less all other financial aid, including PLUS loans or other similar parent loans borrowed on the student's behalf. ~~The cumulative SELF loan debt must not exceed the borrowing maximums in paragraph (c).~~

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(c) ~~(1)~~ The cumulative borrowing maximums must be determined annually by the office ~~for students enrolled in a bachelor's degree program or postbaccalaureate program~~ and are defined based on program enrollment. In determining the cumulative borrowing maximums, the office shall, among other considerations, take into consideration the maximum SELF loan amount, student financing needs, funding capacity for the SELF program, delinquency and default loss management, and current financial market conditions.

~~(2) For all other eligible students, the cumulative borrowing maximums are:~~

~~(i) grade level 1, $7,500;~~

~~(ii) grade level 2, $15,000;~~

~~(iii) grade level 3, $22,500;~~

~~(iv) grade level 4, $30,000; and~~

~~(v) grade level 5, $37,500.~~

Sec. 11. Minnesota Statutes 2018, section 136A.1791, subdivision 1, is amended to read:

Subdivision 1. Definitions. (a) The terms used in this section have the meanings given them in this subdivision.

(b) "Qualified educational loan" means a government, commercial, or foundation loan for actual costs paid for tuition and reasonable educational and living expenses related to a teacher's preparation or further education.

(c) "School district" means an independent school district, special school district, intermediate district, education district, special education cooperative, service cooperative, a cooperative center for vocational education, or a charter school located in Minnesota.

(d) "Teacher" means an individual holding a teaching license issued by the Professional Educator Licensing and Standards Board who is employed by a school district to provide classroom instruction.

(e) "Teacher shortage area" means:

(1) the licensure fields and economic development regions reported by the ~~commissioner of education~~ Professional Educator Licensing and Standards Board in coordination with the commissioner as experiencing a teacher shortage; and

(2) economic development regions where there is a shortage of licensed teachers who reflect the racial or ethnic diversity of students in the region as reported by the ~~commissioner of education~~ Professional Educator Licensing and Standards Board in coordination with the commissioner.

(f) "Commissioner" means the commissioner of the Office of Higher Education unless indicated otherwise.

Sec. 12. Minnesota Statutes 2018, section 136A.1791, subdivision 3, is amended to read:

Subd. 3. Use of report on teacher shortage areas. ~~The commissioner of education shall use~~ Using data collected for the teacher supply and demand report to the legislature to under section 122A.091, subdivision 5, Professional Educator Licensing and Standards Board shall identify the licensure fields and economic development regions in Minnesota experiencing a teacher shortage.

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Sec. 13. Minnesota Statutes 2018, section 136A.1795, subdivision 4, is amended to read:

Subd. 4. Loan forgiveness. (a) The commissioner may select ~~a maximum of five~~ eligible applicants each year for participation in the loan forgiveness program, within the limits of available funding. Applicants are responsible for securing their own qualified educational loans.

(b) The commissioner must select participants based on their suitability for practice serving the designated rural area, as indicated by experience or training. The commissioner must give preference to applicants closest to completing their training.

(c) The commissioner must make annual disbursements directly to the participant of $15,000 or the balance of the participant's qualifying educational loans, whichever is less, for each year that a participant meets the service obligation required under subdivision 3, paragraph (b), up to a maximum of five years.

(d) Before receiving loan repayment disbursements and as requested, the participant must complete and return to the commissioner a confirmation of practice form provided by the commissioner verifying that the participant is practicing as required under subdivision 2, paragraph (a). The participant must provide the commissioner with verification that the full amount of loan repayment disbursement received by the participant has been applied toward the designated loans. After each disbursement, verification must be received by the commissioner and approved before the next loan repayment disbursement is made.

(e) Participants who move their practice remain eligible for loan repayment as long as they practice as required under subdivision 2, paragraph (a).

Sec. 14. Minnesota Statutes 2018, section 136A.65, subdivision 8, is amended to read:

Subd. 8. Disapproval of registration; appeal. (a) By giving written notice and reasons to the school, the office may ~~refuse to renew,~~:

(1) revoke, or suspend, or refuse to renew registration,;

(2) refuse approval of a school's degree~~, or~~; and

(3) refuse approval of use of a regulated term in its name ~~by giving written notice and reasons to the school~~.

(b) Reasons for revocation or suspension of registration or approval may be for one or more of the following reasons:

(1) violating the provisions of sections 136A.61 to 136A.71;

(2) providing false, misleading, or incomplete information to the office;

(3) presenting information about the school which is false, fraudulent, misleading, deceptive, or inaccurate in a material respect to students or prospective students; or

(4) refusing to allow reasonable inspection or to supply reasonable information after a written request by the office has been received.; or

(5) having been administratively determined by the commissioner or judicially determined to have committed fraud or any other material violation of law involving federal, state, or local government funds.

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(c) Any order refusing, revoking, or suspending a school's registration, approval of a school's degree, or use of a regulated term in the school's name is appealable in accordance with chapter 14. The request must be in writing and made to the office within 30 days of the date the school is notified of the action of the office. If a school has been operating and its registration has been revoked, suspended, or refused by the office, the order is not effective until the final determination of the appeal, unless immediate effect is ordered by the court.

Sec. 15. Minnesota Statutes 2018, section 136A.657, subdivision 1, is amended to read:

Subdivision 1. Exemption. ~~Any~~ (a) A program is exempt from the provisions of sections 136A.61 to 136A.71 if it is:

(1) offered by a school or any department or branch of a school ~~(a) which~~ that is substantially owned, operated, or supported by a bona fide church or religious organization; ~~(b) whose programs are~~

(2) primarily designed for, aimed at and attended by persons who sincerely hold or seek to learn the particular religious faith or beliefs of that church or religious organization; and

~~(c) whose programs are~~ (3) primarily intended to prepare its students to become ministers of, to enter into some other vocation closely related to, or to conduct their lives in consonance with, the particular faith of that church or religious organization,.

~~is exempt from the provisions of sections 136A.61 to 136A.834.~~

(b) A school or a department or branch of a school is exempt from the provisions of sections 136A.61 to 136A.71 if all of its programs are exempt under paragraph (a).

Sec. 16. Minnesota Statutes 2018, section 136A.657, subdivision 2, is amended to read:

Subd. 2. Limitation. (a) This exemption shall not extend to any program or school or to any department or branch of a school ~~which~~ that through advertisements or solicitations represents to any students or prospective students that the school, its aims, goals, missions or purposes or its programs are different from those described in subdivision 1.

(b) This exemption shall not extend to any school ~~which~~ that represents to any student or prospective student that the major purpose of its programs is to:

(1) prepare the student for a vocation not closely related to that particular religious faith,; or to

(2) provide the student with a general educational program recognized by other schools or the broader educational, business or social community as being substantially equivalent to the educational programs offered by schools or departments or branches of schools ~~which~~ that are not exempt from sections 136A.61 to 136A.71, and rules adopted pursuant thereto.

Sec. 17. Minnesota Statutes 2018, section 136A.657, subdivision 3, is amended to read:

Subd. 3. Scope. Nothing in sections 136A.61 to ~~136A.834~~ 136A.71, or the rules adopted pursuant thereto, shall be interpreted as permitting the office to determine the truth or falsity of any particular set of religious beliefs.

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Sec. 18. Minnesota Statutes 2018, section 136A.827, subdivision 4, is amended to read:

Subd. 4. Proration. When a student has been accepted by a private career school and gives ~~written~~ notice of cancellation after the program of instruction has begun, but before completion of 75 percent of the program, the amount charged for tuition, fees and all other charges shall be prorated based on the number of days in the term as a portion of the total charges for tuition, fees and all other charges. An additional 25 percent of the total cost of the program may be added but shall not exceed $100. After completion of 75 percent of the program, no refunds are required. A notice of cancellation from a student under this subdivision must be confirmed in writing by the private career school and mailed to the student's last known address. The confirmation from the school must state that the school has withdrawn the student from enrollment, and if this action was not the student's intent, the student must contact the school.

Sec. 19. Minnesota Statutes 2018, section 136A.829, subdivision 1, is amended to read:

Subdivision 1. Grounds. The office may, after notice and upon providing an opportunity for a hearing, under chapter 14 if requested by the parties adversely affected, refuse to issue, refuse to renew, revoke, or suspend a license or solicitor's permit for any of the following grounds:

(1) violation of any provisions of sections 136A.821 to 136A.833 or any rule adopted by the office;

(2) furnishing to the office false, misleading, or incomplete information;

(3) presenting to prospective students information relating to the private career school that is false, fraudulent, deceptive, substantially inaccurate, or misleading;

(4) refusal to allow reasonable inspection or supply reasonable information after written request by the office;

~~(5)~~ (6) the existence of any circumstance that would be grounds for the refusal of an initial or renewal license under section 136A.822.

Sec. 20. Minnesota Statutes 2018, section 136A.834, subdivision 1, is amended to read:

Subdivision 1. Exemption. ~~Any~~ (a) A program is exempt from the provisions of sections 136A.821 to 136A.832 if it is:

(1) offered by a private career school or any department or branch of a private career school:

~~(1) which~~ that is substantially owned, operated, or supported by a bona fide church or religious organization;

(2) ~~whose programs are~~ primarily designed for, aimed at, and attended by persons who sincerely hold or seek to learn the particular religious faith or beliefs of that church or religious organization; and

(3) ~~whose programs are~~ primarily intended to prepare its students to become ministers of, to enter into some other vocation closely related to, or to conduct their lives in consonance with the particular faith of that church or religious organization,.

~~is exempt from the provisions of sections 136A.821 to 136A.832.~~

(b) Any private career school or any department or branch of a private career school is exempt from the provisions of sections 136A.821 to 136A.832 if all of its programs are exempt under paragraph (a).

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ARTICLE 2

MINNESOTA COLLEGE SAVINGS PLAN

Section 1. Minnesota Statutes 2018, section 136G.01, is amended to read:

136G.01 PLAN ESTABLISHED.

A college savings plan known as "the Minnesota college savings plan" or "the Minnesota 529 college savings plan" is established. In establishing this plan, the legislature seeks to encourage individuals to save for postsecondary education by:

(1) providing a qualified tuition plan under federal tax law; and

(2) encouraging individuals, foundations, and businesses to provide additional grants to participating students.

Sec. 2. Minnesota Statutes 2018, section 136G.03, subdivision 8, is amended to read:

Subd. 8. Contribution. "Contribution" means a payment directly allocated to an account for the benefit of a beneficiary. For a rollover distribution, only the portion of the rollover amount that constitutes investment in the account is treated as a contribution to the account. For purposes of this chapter, "contribution" includes a recontribution that satisfies the requirements of section 529(c)(3)(D) of the Internal Revenue Code.

Sec. 3. Minnesota Statutes 2018, section 136G.03, subdivision 10, is amended to read:

Subd. 10. Distribution. "Distribution" means a disbursement from an account ~~to the account owner, the beneficiary, or the beneficiary's estate or to an eligible educational institution~~. Distribution does not include a change of beneficiary to a member of the family of the prior beneficiary or a rollover distribution.

Sec. 4. Minnesota Statutes 2018, section 136G.03, subdivision 11, is amended to read:

Subd. 11. Dormant account. "Dormant account" means an account that has not received contributions for at least three consecutive years and the account statements ~~mailed~~ sent to the account owner have been returned as undeliverable.

Sec. 5. Minnesota Statutes 2018, section 136G.03, subdivision 20, is amended to read:

Subd. 20. Maximum account balance limit. "Maximum account balance limit" means the amount established by the office under section 136G.09, subdivision 8, paragraph ~~(d)~~ (b).

Sec. 6. Minnesota Statutes 2018, section 136G.03, subdivision 31, is amended to read:

Subd. 31. Qualified rollover distribution. "Qualified rollover distribution" means a ~~transfer of funds made:~~

~~(1) from one account to another account within 60 days of a distribution;~~

~~(2) from another qualified state tuition program to an account within 60 days of the distribution; or~~

~~(3) to another qualified state tuition program from an account within 60 days of a distribution.~~

When there is a change of beneficiary in a rollover distribution, the transfer of funds must be made for the benefit of a new beneficiary who is a member of the family of the prior beneficiary. A rollover distribution from one qualified tuition plan to another once every 12 months without a change of beneficiary is permitted distribution that qualifies as a rollover under section 529(c)(3)(C) of the Internal Revenue Code.

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Sec. 7. Minnesota Statutes 2018, section 136G.03, is amended by adding a subdivision to read:

Subd. 33a. Taxable distribution. "Taxable distribution" means: (1) a distribution made from an account other than a qualified distribution, the earnings on which are subject to one or more federal taxes; or (2) a distribution subject to additional federal tax under section 529(c)(6) of the Internal Revenue Code.

Sec. 8. Minnesota Statutes 2018, section 136G.05, subdivision 2, is amended to read:

Subd. 2. Accounts-type plan. The office must establish the plan and the plan must be operated as an accounts‑type plan that permits persons to save for qualified higher education expenses ~~incurred at any eligible educational institution, regardless of whether it is private or public or whether it is located within or outside of the state~~. A separate account must be maintained for each beneficiary for whom contributions are made.

Sec. 9. Minnesota Statutes 2018, section 136G.05, subdivision 5, is amended to read:

Subd. 5. ~~Nonqualified~~ Taxable distributions and matching grants. There cannot be a ~~nonqualified withdrawal of~~ taxable distribution of matching grant funds and any refund of matching grants must be returned to the ~~plan~~ office.

Sec. 10. Minnesota Statutes 2018, section 136G.05, subdivision 7, is amended to read:

Subd. 7. Marketing. The commissioner shall make parents and other interested individuals aware of the availability and advantages of the ~~program~~ plan as a way to save for higher education costs.

Sec. 11. Minnesota Statutes 2018, section 136G.09, subdivision 6, is amended to read:

Subd. 6. Change of beneficiary. Except as provided for minor trust accounts in section 136G.14, an account owner may change the beneficiary of an account to a member of the family of the current beneficiary, at any time without penalty, if the change will not cause the total account balance of all accounts held for the new beneficiary to exceed the maximum account balance limit as provided in subdivision 8. A change of beneficiary other than as permitted in this subdivision is treated as a ~~nonqualified~~ taxable distribution under section 136G.13, subdivision 3.

Sec. 12. Minnesota Statutes 2018, section 136G.09, subdivision 8, is amended to read:

Subd. 8. Maximum account balance limit. (a) When a contribution is made, the total account balance of all accounts held for the same beneficiary, including matching grant accounts, must not exceed the maximum account balance limit as determined under this subdivision.

(b) The office must establish a maximum account balance limit. The office must adjust the maximum account balance limit, as necessary, or on January 1 of each year. The maximum account balance limit must not exceed the amount permitted for the plan to qualify as a qualified tuition program under section 529 of the Internal Revenue Code.

(c) If the total account balance of all accounts held for a single beneficiary reaches the maximum account balance limit prior to the end of that calendar year, the beneficiary may receive an applicable matching grant for that calendar year.

Sec. 13. Minnesota Statutes 2018, section 136G.11, subdivision 11, is amended to read:

Subd. 11. Ownership of matching grant funds. The state retains ownership of all matching grants and earnings on matching grants until a qualified distribution is made to a beneficiary or, an account owner, an eligible educational institution, or any other third party as requested by an account owner.

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Sec. 14. Minnesota Statutes 2018, section 136G.11, subdivision 13, is amended to read:

Subd. 13. Forfeiture of matching grants. (a) Matching grants are forfeited if:

(1) the account owner transfers the total account balance of an account to another account or to another qualified tuition program;

(2) ~~the beneficiary receives a full tuition scholarship or is attending a United States service academy~~ any of the exceptions under section 530(d)(4)(B)(i) to (iv) of the Internal Revenue Code apply to the beneficiary, and the exceptions cover 100 percent of the beneficiary's qualified higher education expenses, unless the account owner requests the matching grant funds be used to make a qualified education loan repayment as defined in section 529(c)(9) of the Internal Revenue Code;

(3) ~~the beneficiary dies or becomes disabled;~~

~~(4)~~ the account owner changes the beneficiary of the account; or

~~(5)~~ (4) the account owner closes the account with a ~~nonqualified withdrawal.~~ taxable distribution.

(b) Matching grants must be proportionally forfeited if:

(1) the account owner transfers a portion of an account to another account or to another qualified tuition program; or

(2) ~~the beneficiary receives a scholarship covering a portion of qualified higher education expenses~~ the account owner takes a partial taxable distribution~~; or~~

~~(3) the account owner makes a partial nonqualified withdrawal~~.

(c) If the account owner makes a misrepresentation in a participation agreement or an application for a matching grant that results in a matching grant, the matching grant associated with the misrepresentation is forfeited. The office and the board must instruct the plan administrator as to the amount to be forfeited from the matching grant account. The office and the board must withdraw the matching grant or the proportion of the matching grant that is related to the misrepresentation.

Sec. 15. Minnesota Statutes 2018, section 136G.13, is amended to read:

136G.13 ACCOUNT DISTRIBUTIONS.

Subdivision 1. Qualified distribution methods. (a) Qualified distributions may be made:

(1) directly to participating eligible educational institutions on behalf of the beneficiary;

~~(2) in the form of a check payable to both the beneficiary and the eligible educational institution; or~~

~~(3)~~ (2) directly to the account owner or beneficiary ~~if the account owner or beneficiary has already paid qualified higher education expenses.~~; or

(3) to any other third party as requested by the account owner.

(b) Qualified distributions must be withdrawn proportionally from contributions and earnings in an account owner's account on the date of distribution as provided in section 529 of the Internal Revenue Code.

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Subd. 2. Matching grant accounts. Qualified distributions are based on the total account balances in an account owner's account and matching grant account, if any, on the date of distribution. Qualified distributions must be withdrawn proportionally from each account based on the relative total account balance of each account to the total account balance for both accounts. Amounts for matching grants and matching grant earnings must only be distributed for qualified higher education expenses. Matching grant account funds may be used as part or all of a qualified distribution.

Subd. 3. ~~Nonqualified~~ Taxable distribution. An account owner may request a ~~nonqualified~~ taxable distribution from an account at any time. ~~Nonqualified~~ Taxable distributions are based on the total account balances in an account owner's account and must be withdrawn proportionally from contributions and earnings as provided in section 529 of the Internal Revenue Code. ~~The earnings portion of a nonqualified distribution is subject to a federal additional tax pursuant to section 529 of the Internal Revenue Code.~~ For purposes of this subdivision, "earnings portion" means the ratio of the earnings in the account to the total account balance, immediately prior to the distribution, multiplied by the distribution.

Subd. 4. ~~Nonqualified~~ Taxable distributions from matching grant accounts. (a) If an account owner requests a ~~nonqualified~~ taxable distribution from an account that has a matching grant account, the total account balance of the matching grant account, if any, is reduced.

(b) After the ~~nonqualified~~ taxable distribution is withdrawn from the account ~~including any penalty as provided in subdivision 3~~, the account owner forfeits matching grant amounts in the same proportion as the ~~nonqualified~~ taxable distribution is to the total account balance of the account.

Subd. 5. Distributions due to death or disability of, or scholarship to, or attendance at a United States military academy by, a beneficiary. An account owner may request a distribution due to the death or disability of, or scholarship to, or attendance at a United States military academy by, a beneficiary from an account by submitting a completed request to the plan. Prior to distribution, the account owner shall certify the reason for the distribution and provide written confirmation from a third party that the beneficiary has died, become disabled, or received a scholarship for attendance at an eligible educational institution, or is attending a United States military academy. The plan must not consider a request to make a distribution until a third-party written confirmation is received by the plan. For purposes of this subdivision, a third-party written confirmation consists of the following:

~~(1) for death of the beneficiary, a certified copy of the beneficiary's death record;~~

(2) for disability of the beneficiary, a certification by a physician who is a doctor of medicine or osteopathic medicine stating that the doctor is legally authorized to practice in a state of the United States and that the beneficiary is unable to attend any eligible educational institution because of an injury or illness that is expected to continue indefinitely or result in death. Certification must be on a form approved by the plan;

(3) for a scholarship award to the beneficiary, a letter from the grantor of the scholarship or from the eligible educational institution receiving or administering the scholarship, that identifies the beneficiary by name and Social Security number or taxpayer identification number as the recipient of the scholarship and states the amount of the scholarship, the period of time or number of credits or units to which it applies, the date of the scholarship, and, if applicable, the eligible educational institution to which the scholarship is to be applied; or

~~(4) for attendance by the beneficiary at a United States military academy, a letter from the military academy indicating the beneficiary's enrollment and attendance~~ The plan shall apprise the account owner that the account owner is responsible for obtaining and retaining records and other documentation adequate to substantiate a distribution under this section.

Sec. 16. Minnesota Statutes 2018, section 136G.14, is amended to read:

136G.14 MINOR TRUST ACCOUNTS.

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(a) This section applies to a plan account in which funds of a minor trust account are invested.

(b) The account owner may not be changed to any person other than a successor custodian or the beneficiary unless a court order directing the change of ownership is provided to the plan administrator. The custodian must sign all forms and requests submitted to the plan administrator in the custodian's representative capacity. The custodian must notify the plan administrator in writing when the beneficiary becomes legally entitled to be the account owner. An account owner under this section may not select a contingent account owner.

(c) The beneficiary of an account under this section may not be changed. If the beneficiary dies, assets in a plan account become the property of the beneficiary's estate. Funds in an account must not be transferred or rolled over to another account owner or to an account for another beneficiary. A ~~nonqualified~~ taxable distribution from an account, or a distribution ~~due to the disability or scholarship award to the beneficiary, or made on account of the beneficiary's attendance at a United States military academy~~ that qualifies as an exception under section 530(d)(4)(B)(ii) to (iv) of the Internal Revenue Code, must be used for the benefit of the beneficiary.

(d) Funds in an account for a beneficiary under this section may be rolled over into an ABLE account under section 529A of the Internal Revenue Code, subject to the limits and requirements of section 529A of the Internal Revenue Code.

Sec. 17. REPEALER.

Minnesota Statutes 2018, sections 136G.03, subdivisions 4 and 22; and 136G.05, subdivision 6, are repealed.

ARTICLE 3

INSTITUTIONAL APPROVAL PROVISIONS

Section 1. Minnesota Statutes 2018, section 136A.103, is amended to read:

136A.103 INSTITUTION ELIGIBILITY REQUIREMENTS.

(a) A postsecondary institution is eligible for state student aid under chapter 136A and sections 197.791 and 299A.45, if the institution is located in this state and:

(1) is operated by this state or the Board of Regents of the University of Minnesota; or

(2) is operated privately and, as determined by the office, meets the requirements of paragraph (b).

(b) A private institution must:

(1) maintain academic standards substantially equivalent to those of comparable institutions operated in this state;

(2) be licensed or registered as a postsecondary institution by the office; and

(3)(i) by July 1, 2010, participate in the federal Pell Grant program under Title IV of the Higher Education Act of 1965, Public Law 89-329, as amended; or

(ii) if an institution was participating in state student aid programs as of June 30, 2010, and the institution did not participate in the federal Pell Grant program by June 30, 2010, the institution must require every student who enrolls to sign a disclosure form, provided by the office, stating that the institution is not participating in the federal Pell Grant program.

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(c) An institution that offers only graduate-level degrees or graduate-level nondegree programs is an eligible institution if the institution is licensed or registered as a postsecondary institution by the office.

(d) An eligible institution under paragraph (b), clause (3), item (ii), that changes ownership as defined in section 136A.63, subdivision 2, must participate in the federal Pell Grant program within four calendar years of the first ownership change to continue eligibility.

(e) An institution that loses its eligibility for the federal Pell Grant program is not an eligible institution. The office may terminate an institution's eligibility to participate in state student aid programs effective the date of the loss of eligibility for the federal Pell Grant program.

(f) An institution must maintain adequate administrative and financial standards and compliance with all state statutes, rules, and administrative policies related to state financial aid programs.

(g) The office may terminate a postsecondary institution's eligibility to participate in state student aid programs if the institution is terminated from participating in federal financial aid programs by the United States Department of Education for a violation of laws, regulations, or participation agreements governing federal financial aid programs.

Sec. 2. Minnesota Statutes 2019 Supplement, section 136A.64, subdivision 1, is amended to read:

Subdivision 1. Schools to provide information. As a basis for registration, schools shall provide the office with such information as the office needs to determine the nature and activities of the school, including but not limited to the following which shall be accompanied by an affidavit attesting to its accuracy and truthfulness:

(1) articles of incorporation, constitution, bylaws, or other operating documents;

(2) a duly adopted statement of the school's mission and goals;

(3) evidence of current school or program licenses granted by departments or agencies of any state;

(4) a fiscal balance sheet on an accrual basis, or a certified audit of the immediate past fiscal year including any management letters provided by the independent auditor or, if the school is a public institution outside Minnesota, an income statement for the immediate past fiscal year compliance audits and audited financial statements that meet the requirements of Code of Federal Regulations, title 34, section 668.23; United States Code, title 20, chapter 28, section 1094; Code of Federal Regulations, title 2, subpart A, part 200, subpart F, under 200.501 and 200.503; and United States Code, title 31, chapter 75;

(5) all current promotional and recruitment materials and advertisements; and

(6) the current school catalog and, if not contained in the catalog:

(i) the members of the board of trustees or directors, if any;

(ii) the current institutional officers;

(iii) current full-time and part-time faculty with degrees held or applicable experience;

(iv) a description of all school facilities;

(v) a description of all current course offerings;

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(vi) all requirements for satisfactory completion of courses, programs, and degrees;

(vii) the school's policy about freedom or limitation of expression and inquiry;

(viii) a current schedule of fees, charges for tuition, required supplies, student activities, housing, and all other standard charges;

(ix) the school's policy about refunds and adjustments;

(x) the school's policy about granting credit for prior education, training, and experience;

(xi) the school's policies about student admission, evaluation, suspension, and dismissal; and

(xii) the school's disclosure to students on the student complaint process under section 136A.672.

Sec. 3. Minnesota Statutes 2019 Supplement, section 136A.646, is amended to read:

136A.646 ADDITIONAL SECURITY.

(a) New ~~schools~~ institutions that have been granted conditional approval for degrees or names to allow them the opportunity to apply for and receive accreditation under section 136A.65, subdivision 7, shall provide a surety bond in a sum equal to ten percent of the net revenue from tuition and fees in the registered institution's prior fiscal year, but in no case shall the bond be less than $10,000.

(b) Any registered institution that is notified by the United States Department of Education that it has fallen below minimum financial standards and that its continued participation in Title IV will be conditioned upon its satisfying either the Zone Alternative, Code of Federal Regulations, title 34, section 668.175, paragraph (f), or a Letter of Credit Alternative, Code of Federal Regulations, title 34, section 668.175, paragraph (c), shall provide a surety bond in a sum equal to the "letter of credit" required by the United States Department of Education in the Letter of Credit Alternative, but in no event shall such bond be less than $10,000 nor more than $250,000. If the letter of credit required by the United States Department of Education is higher than ten percent of the Title IV, Higher Education Act program funds received by the institution during its most recently completed fiscal year, the office shall reduce the office's surety requirement to represent ten percent of the Title IV, Higher Education Act program funds received by the institution during its most recently completed fiscal year, subject to the minimum and maximum in this paragraph.

(1) a sum equal to the amount of the required surety bond in cash;

(2) securities, as may be legally purchased by savings banks or for trust funds, in an aggregate market value equal to the amount of the required surety bond; or

(3) an irrevocable letter of credit issued by a financial institution to the amount of the required surety bond.

(d) The surety of any bond may cancel it upon giving 60 days' notice in writing to the office and shall be relieved of liability for any breach of condition occurring after the effective date of cancellation.

(e) In the event of a school closure, the additional security must first be used to destroy any private educational data under section 13.32 left at a physical campus in Minnesota after all other governmental agencies have recovered or retrieved records under their record retention policies. Any remaining funds must then be used to

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reimburse tuition and fee costs to students that were enrolled at the time of the closure or had withdrawn in the previous 120 calendar days but did not graduate. Priority for refunds will be given to students in the following order:

(1) cash payments made by the student or on behalf of a student;

(2) private student loans; and

(3) Veteran Administration education benefits that are not restored by the Veteran Administration. If there are additional security funds remaining, the additional security funds may be used to cover any administrative costs incurred by the office related to the closure of the school.

Sec. 4. Minnesota Statutes 2018, section 136A.65, subdivision 4, is amended to read:

Subd. 4. Criteria for approval. (a) A school applying to be registered and to have its degree or degrees and name approved must substantially meet the following criteria:

(1) the school has an organizational framework with administrative and teaching personnel to provide the educational programs offered;

(2) the school has financial resources sufficient to meet the school's financial obligations, including refunding tuition and other charges consistent with its stated policy if the institution is dissolved, or if claims for refunds are made, to provide service to the students as promised, and to provide educational programs leading to degrees as offered;

(3) the school operates in conformity with generally accepted accounting principles according to the type of school;

(4) the school provides an educational program leading to the degree it offers;

(5) the school provides appropriate and accessible library, laboratory, and other physical facilities to support the educational program offered;

(6) the school has a policy on freedom or limitation of expression and inquiry for faculty and students which is published or available on request;

(7) the school uses only publications and advertisements which are truthful and do not give any false, fraudulent, deceptive, inaccurate, or misleading impressions about the school, its personnel, programs, services, or occupational opportunities for its graduates for promotion and student recruitment;

(8) the school's compensated recruiting agents who are operating in Minnesota identify themselves as agents of the school when talking to or corresponding with students and prospective students;

(9) the school provides information to students and prospective students concerning:

(i) comprehensive and accurate policies relating to student admission, evaluation, suspension, and dismissal;

(ii) clear and accurate policies relating to granting credit for prior education, training, and experience and for courses offered by the school;

(iii) current schedules of fees, charges for tuition, required supplies, student activities, housing, and all other standard charges;

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(iv) policies regarding refunds and adjustments for withdrawal or modification of enrollment status; and

(v) procedures and standards used for selection of recipients and the terms of payment and repayment for any financial aid program; ~~and~~

(10) the school must not withhold a student's official transcript because the student is in arrears or in default on any loan issued by the school to the student if the loan qualifies as an institutional loan under United States Code, title 11, section 523(a)(8)(b).; and

(11) the school has a process to receive and act on student complaints.

(b) An application for degree approval must also include:

(i) title of degree and formal recognition awarded;

(ii) location where such degree will be offered;

(iii) proposed implementation date of the degree;

(iv) admissions requirements for the degree;

(v) length of the degree;

(vi) projected enrollment for a period of five years;

(vii) the curriculum required for the degree, including course syllabi or outlines;

(viii) statement of academic and administrative mechanisms planned for monitoring the quality of the proposed degree;

(ix) statement of satisfaction of professional licensure criteria, if applicable;

(x) documentation of the availability of clinical, internship, externship, or practicum sites, if applicable; and

(xi) statement of how the degree fulfills the institution's mission and goals, complements existing degrees, and contributes to the school's viability.

Sec. 5. Minnesota Statutes 2018, section 136A.65, subdivision 7, is amended to read:

Subd. 7. Conditional approval. (a) The office may grant a school a one-year conditional approval for a degree or use of a term in its name if doing so would be in the best interests of currently enrolled students or prospective students. Conditional approval of a degree or use of a term under this paragraph must not exceed a period of three years.

(b) The office may grant new schools with their physical location in Minnesota and programs a one-year conditional approval for degrees or use of a term in its name to allow the school the opportunity to apply for and receive accreditation as required in subdivision 1a. Conditional approval of a school or program under this paragraph must not exceed a period of five years. A new school or program granted conditional approval may be allowed to continue in order to complete an accreditation process upon terms and conditions the office determines.

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(c) The office may grant a registered school a one-year conditional approval for degrees or use of a term in its name to allow the school the opportunity to apply for and receive accreditation as required in subdivision 1a if the school's accrediting agency is no longer recognized by the United States Department of Education for purposes of eligibility to participate in Title IV federal financial aid programs. The office must not grant conditional approvals under this paragraph to a school for a period of more than five years.

(d) The office may grant a registered school a one-year conditional approval for degrees or use of a term in its name to allow the school to change to a different accrediting agency recognized by the United States Department of Education for purposes of eligibility to participate in Title IV federal financial aid programs. The office must not grant conditional approvals under this paragraph to a school for a period of more than five years.

Sec. 6. Minnesota Statutes 2018, section 136A.65, subdivision 8, is amended to read:

Subd. 8. Disapproval of registration appeal. (a) By giving written notice and reasons to the school, the office may ~~refuse to renew,~~:

(1) revoke, or suspend, or refuse to renew registration,;

(2) refuse approval of a school's degree~~, or~~; and

(3) refuse approval of the use of a regulated term in its name ~~by giving written notice and reasons to the school~~.

(b) Reasons for revocation or suspension of registration or approval may be for one or more of the following reasons:

(1) violating the provisions of sections 136A.61 to 136A.71;

(2) providing false, misleading, or incomplete information to the office;

(3) presenting information about the school which is false, fraudulent, misleading, deceptive, or inaccurate in a material respect to students or prospective students; or

(4) refusing to allow reasonable inspection or to supply reasonable information after a written request by the office has been received.;

(5) failing to have enrollment within the last two years at the school; or

(6) failing to have any enrollment within two years of a program's approval, except for programs that require extensive approval processes by the United States Department of Education, or the program's institutional or programmatic accreditor.

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Sec. 7. Minnesota Statutes 2018, section 136A.653, subdivision 1, is amended to read:

Subdivision 1. Application. A school that seeks an exemption under this section from the provisions of sections 136A.61 to 136A.71 must apply to the office to establish that the school meets the requirements of an exemption. An exemption expires two years from the date of approval or when a school adds a new program or makes a modification equal to or greater than 25 percent to an existing educational program. If a school is reapplying for an exemption, the application must be submitted to the office 90 days before the current exemption expires. This exemption shall not extend to any school that uses any publication or advertisement that is not truthful and gives any false, fraudulent, deceptive, inaccurate, or misleading impressions about the school or its personnel, programs, services, or occupational opportunities for graduates for promotion and student recruitment. Exemptions denied under this section are subject to appeal under section 136A.65, subdivision 8, paragraph (c). If an appeal is initiated, the denial of the exemption is not effective until the final determination of the appeal, unless immediate effect is ordered by the court.

Sec. 8. Minnesota Statutes 2018, section 136A.657, subdivision 2, is amended to read:

Subd. 2. Limitation. (a) This exemption shall not extend to any school or to any department or branch of a school which through advertisements or solicitations represents to any students or prospective students that the school, its aims, goals, missions or purposes or its programs are different from those described in subdivision 1.

(b) This exemption shall not extend to any school which represents to any student or prospective student that the major purpose of its programs is to:

(1) prepare the student for a vocation not closely related to that particular religious faith,; or to

(2) provide the student with a general educational program recognized by other schools or the broader educational, business or social community as being substantially equivalent to the educational programs offered by schools or departments or branches of schools which are not exempt from sections 136A.61 to 136A.71, and rules adopted pursuant thereto.

(c) This exemption shall not extend to any school that uses any publication or advertisement that is not truthful and gives any false, fraudulent, deceptive, inaccurate, or misleading impressions about the school or its personnel, programs, services, or occupational opportunities for its graduates for promotion and student recruitment. Exemptions denied under this section are subject to appeal under section 136A.65, subdivision 8, paragraph (c). If an appeal is initiated, the denial of the exemption is not effective until the final determination of the appeal, unless immediate effect is ordered by the court.

Sec. 9. Minnesota Statutes 2018, section 136A.658, is amended to read:

136A.658 EXEMPTION; STATE AUTHORIZATION RECIPROCITY AGREEMENT SCHOOLS.

(a) The office may participate in an interstate reciprocity agreement regarding postsecondary distance education if it determines that participation is in the best interest of Minnesota postsecondary students.

(b) If the office decides to participate in an interstate reciprocity agreement, an institution that meets the following requirements is exempt from the provisions of sections 136A.61 to 136A.71:

(1) the institution is situated in a state which is also participating in the interstate reciprocity agreement;

(2) the institution has been approved to participate in the interstate reciprocity agreement by the institution's home state and other entities with oversight of the interstate reciprocity agreement; and

(3) the institution has elected to participate in and operate in compliance with the terms of the interstate reciprocity agreement.

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(c) If the office participates in an interstate reciprocity agreement and the office is responsible for the administration of that interstate reciprocity agreement, which may include the approval of applications for membership of in-state institutions to participate in the interstate reciprocity agreement, the office shall collect reasonable fees sufficient to recover, but not exceed, its costs to administer the interstate reciprocity agreement. The office processing fees for approving an in-state institution application shall be as follows:

(1) $750 for institutions with fewer than 2,500 full-time enrollment;

(2) $3,000 for institutions with 2,501 to 20,000 full-time enrollment; and

(3) $7,500 for institutions with greater than 20,001 full-time enrollment.

Full-time enrollment is established using the previous year's full-time enrollment as established in the United States Department of Education Integrated Postsecondary Education Data System.

Sec. 10. Minnesota Statutes 2018, section 136A.69, subdivision 1, is amended to read:

Subdivision 1. Registration fees. (a) The office shall collect reasonable registration fees that are sufficient to recover, but do not exceed, its costs of administering the registration program. The office shall charge the fees listed in paragraphs (b) and (c) for new registrations.

(b) A new school offering no more than one degree at each level during its first year must pay registration fees for each applicable level in the following amounts:

associate degree	$2,000
baccalaureate degree	$2,500
master's degree	$3,000
doctorate degree	$3,500

(c) A new school that will offer more than one degree per level during its first year must pay registration fees in an amount equal to the fee for the first degree at each degree level under paragraph (b), plus fees for each additional nondegree program or degree as follows:

nondegree program	$250
additional associate degree	$250
additional baccalaureate degree	$500
additional master's degree	$750
additional doctorate degree	$1,000

(d) The annual renewal registration fee is ~~$1,200~~ $1,500.

Sec. 11. Minnesota Statutes 2018, section 136A.69, subdivision 4, is amended to read:

Subd. 4. Visit or consulting fee. If the office determines that a fact-finding visit or outside consultant is necessary to review, investigate, or evaluate any ~~new or revised~~ degree or nondegree program or the institution for statutory compliance with the Minnesota Private and Out-of-State Public Postsecondary Education Act, the office shall be reimbursed for the expenses incurred related to the review as follows:

(1) $400 for the team base fee or for a paper review conducted by a consultant if the office determines that a fact-finding visit is not required;

(2) $300 for each day or part thereof on site per team member; and

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(3) the actual cost of customary meals, lodging, and related travel expenses incurred by team members.

Sec. 12. Minnesota Statutes 2018, section 136A.824, subdivision 4, is amended to read:

Subd. 4. Visit or consulting fee. If the office determines that a fact-finding visit or outside consultant is necessary to review, investigate, or evaluate any new or revised program or the private career school for statutory compliance with the Private Career School Act, the office shall be reimbursed for the expenses incurred related to the review as follows:

(1) $400 for the team base fee or for a paper review conducted by a consultant if the office determines that a fact-finding visit is not required;

(2) $300 for each day or part thereof on site per team member; and

(3) the actual cost of customary meals, lodging, and related travel expenses incurred by team members.

Sec. 13. Minnesota Statutes 2018, section 136A.829, subdivision 1, is amended to read:

(1) violation of any provisions of sections 136A.821 to 136A.833 or any rule adopted by the office;

(2) furnishing to the office false, misleading, or incomplete information;

(3) presenting to prospective students information relating to the private career school that is false, fraudulent, deceptive, substantially inaccurate, or misleading;

(4) refusal to allow reasonable inspection or supply reasonable information after written request by the office;

(5) the existence of any circumstance that would be grounds for the refusal of an initial or renewal license under section 136A.822.; or

(6) using fraudulent or coercive practices, whether in the course of business in this state or elsewhere.

Sec. 14. Minnesota Statutes 2018, section 136A.833, subdivision 1, is amended to read:

Subdivision 1. Application for exemptions. A school that seeks an exemption from the provisions of sections 136A.822 to 136A.834 for the school and all of its programs or some of its programs must apply to the office to establish that the school meets the requirements of an exemption. An exemption expires two years from the date of approval or when a school adds a new program or makes a modification equal to or greater than 25 percent to an existing educational program. If a school is reapplying for an exemption, the application must be submitted to the office 90 days before the current exemption expires. This exemption shall not extend to any school that uses any publication or advertisement that is not truthful and gives any false, fraudulent, deceptive, inaccurate, or misleading impressions about the school or its personnel, programs, services, or occupational opportunities for its graduates for promotion and student recruitment. Exemptions denied under this section are subject to appeal under section 136A.65, subdivision 8, paragraph (c). If an appeal is initiated, the denial of the exemption is not effective until the final determination of the appeal, unless immediate effect is ordered by the court.

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Sec. 15. Minnesota Statutes 2018, section 136A.834, subdivision 2, is amended to read:

Subd. 2. Limitations. (a) An exemption shall not extend to any private career school, department or branch of a private career school, or program of a private career school ~~which~~ that through advertisements or solicitations represents to any students or prospective students that the school, its aims, goals, missions, purposes, or programs are different from those described in subdivision 1.

(b) An exemption shall not extend to any private career school ~~which~~ or program that represents to any student or prospective student that the major purpose of its programs is to:

(1) prepare the student for a vocation not closely related to that particular religious faith; or

(2) provide the student with a general educational program recognized by other private career schools or the broader educational, business, or social community as being substantially equivalent to the educational programs offered by private career schools or departments or branches of private career schools which are not religious in nature and are not exempt from sections 136A.82 to 136A.834 and from rules adopted under sections 136A.82 to 136A.834.

(c) This exemption shall not extend to any school that uses any publication or advertisement that is not truthful and gives any false, fraudulent, deceptive, inaccurate, or misleading impressions about the school or its personnel, programs, services, or occupational opportunities for graduates for promotion and student recruitment. Exemptions denied under this section are subject to appeal under section 136A.65, subdivision 8, paragraph (c). If an appeal is initiated, the denial of the exemption is not effective until the final determination of the appeal, unless immediate effect is ordered by the court."

Correct the title numbers accordingly

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Carlson, L., from the Committee on Ways and Means to which was referred:

H. F. No. 4500, A bill for an act relating to state government; providing COVID-19 grant extensions.

Reported the same back with the following amendments:

Page 1, line 4, after "COVID-19" insert "; REPORT REQUIRED"

Page 1, line 5, before "Notwithstanding" insert "(a)"

Page 1, after line 10, insert:

"(b) The commissioner of management and budget must submit a report on the implementation of this section to the chairs and ranking minority members of the legislative committees with jurisdiction over finance, ways and means, and state government finance by December 31, 2020. The report must provide a list of the encumbrances that were requested for approval under paragraph (a), itemizing separately those that were approved and those that were not approved."

Journal of the House - 92nd Day - Tuesday, May 12, 2020 - Top of Page 8528

Amend the title as follows:

Page 1, line 2, after "extensions" insert "; requiring a report"

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Carlson, L., from the Committee on Ways and Means to which was referred:

H. F. No. 4597, A bill for an act relating to horse racing; modifying certain revenue and reimbursement provisions; granting certain discretion to the commission for operation of a card club; amending Minnesota Statutes 2018, section 240.30, subdivisions 5, 9; Minnesota Statutes 2019 Supplement, sections 240.13, subdivision 5; 240.131, subdivision 7.

Reported the same back with the recommendation that the bill be placed on the General Register.

The report was adopted.

SECOND READING OF HOUSE BILLS

H. F. Nos. 2529, 2682, 3392, 4500 and 4597 were read for the second time.

ANNOUNCEMENT FROM THE COMMITTEE ON
RULES AND LEGISLATIVE ADMINISTRATION

Pursuant to rules 1.21 and 1.22, the Committee on Rules and Legislative Administration specified Tuesday, May 12, 2020 as the date after which the 5:00 p.m. deadlines no longer apply to the designation of bills to be placed on the Calendar for the Day and to the announcement of the intention to request that bills be considered by the House on the Fiscal Calendar.

ADJOURNMENT

Winkler moved that when the House adjourns today it adjourn until 1:30 p.m., Wednesday, May 13, 2020. The motion prevailed.

Winkler moved that the House adjourn. The motion prevailed, and the Speaker declared the House stands adjourned until 1:30 p.m., Wednesday, May 13, 2020.

Patrick D. Murphy, Chief Clerk, House of Representatives