1.1    .................... moves to amend H.F. No. 132 as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. [116J.8860] PURPOSE.
1.4    Sections 116J.8861 to 116J.8865 provide a framework for a biomedical science
1.5research funding program to further the investment in biomedical science research
1.6facilities in the state which will benefit the state's economy, advance the biomedical
1.7technology industry, benefit human health, and facilitate research collaboration between
1.8the University of Minnesota and other private and public institutions in the state.

1.9    Sec. 2. [116J.8861] DEFINITIONS.
1.10    Subdivision 1. Definitions. Notwithstanding section 116J.03, for the purposes of
1.11sections 116J.8860 to 116J.8865, the terms in this section have the meanings given them.
1.12    Subd. 2. Authority. "Authority" means the Minnesota Biomedical Science
1.13Research Facilities Authority.
1.14    Subd. 3. Biomedical science research facility. "Biomedical science research
1.15facility" means a building located in the state to be used as research facilities and
1.16laboratories for biomedical science and biomedical technology.
1.17    Subd. 4. Commissioner. "Commissioner" means the commissioner of employment
1.18and economic development.
1.19    Subd. 5. Costs. "Costs" of a project means the sum of all obligations paid, or
1.20to be paid, or incurred which are reasonably required for the design, construction, and
1.21completion of the project, including, but not limited to:
1.22    (1) site acquisition;
1.23    (2) soil and environmental testing, surveys, estimates, plans and specifications,
1.24supervision of construction, and other engineering and architectural services;
2.1    (3) payment under construction contracts and for payment and performance bonds;
2.2and
2.3    (4) purchase and installation of furniture, fixtures, and equipment.
2.4    Subd. 6. Program. "Program" means the program authorized by section 116J.8864.
2.5    Subd. 7. Project. "Project" means the acquisition, construction, improvement,
2.6expansion, repair, or rehabilitation of all or any part of any structure, facility, infrastructure,
2.7or equipment necessary for biomedical science research.

2.8    Sec. 3. [116J.8862] MINNESOTA BIOMEDICAL SCIENCE RESEARCH
2.9FACILITIES AUTHORITY.
2.10    Subdivision 1. Membership. (a) The Minnesota Biomedical Science Research
2.11Facilities Authority consists of: (1) the commissioner of employment and economic
2.12development; (2) one current and one former member of the senate appointed by the
2.13majority leader of the senate; (3) one current and one former member of the senate
2.14appointed by the minority leader of the senate; (4) one current and one former member
2.15of the house of representatives appointed by the speaker of the house of representatives;
2.16(5) one current and one former member of the house of representatives appointed by the
2.17minority leader of the house of representatives; and (6) four members appointed by the
2.18governor with the advice and consent of the senate who are not members of the senate or
2.19house of representatives or officers or employees of any agency in the executive branch.
2.20(b) The current legislative members serve at the pleasure of the appointing authority
2.21and are nonvoting members. The members of the authority, other than the commissioner
2.22of employment and economic development, shall be appointed for staggered terms of
2.23four years. The initial four members of the authority appointed by the governor shall be
2.24appointed for a term of one, two, three, and four years, respectively, as specified by the
2.25governor. Members of the authority are public officials for purposes of chapter 10A.
2.26    Subd. 2. Authority actions. A majority of the authority, excluding vacancies,
2.27constitutes a quorum to conduct its business, to exercise its powers, and for all other
2.28purposes.
2.29    Subd. 3. Meeting by telephone or other means. (a) If compliance with section
2.3013D.02 is impractical, the authority may conduct a meeting of its members by telephone
2.31or other electronic means so long as the following conditions are met:
2.32    (1) all members of the authority participating in the meeting, wherever their physical
2.33location, can hear one another and can hear all discussion and testimony;
3.1    (2) members of the public present at the regular meeting location of the authority
3.2can hear clearly all discussion and testimony and all votes of members of the authority
3.3and, if needed, receive those services required by sections 15.44 and 15.441;
3.4    (3) at least one member of the authority is physically present at the regular meeting
3.5location; and
3.6    (4) all votes are conducted by roll call, so each member's vote on each issue can be
3.7identified and recorded.
3.8    (b) Each member of the authority participating in a meeting by telephone or other
3.9electronic means is considered present at the meeting for purposes of determining a
3.10quorum and participating in all proceedings.
3.11    (c) If telephone or other electronic means is used to conduct a meeting, the authority,
3.12to the extent practical, shall allow a person to monitor the meeting electronically from a
3.13remote location. The authority may require the person making such a connection to pay for
3.14documented marginal costs that the authority incurs as a result of the additional connection.
3.15    (d) If telephone or other electronic means is used to conduct a regular, special, or
3.16emergency meeting, the authority shall provide notice of the regular meeting location,
3.17of the fact that some members may participate by telephone or other electronic means,
3.18and of the provisions of paragraph (c). The timing and method of providing notice
3.19is governed by section 13D.04.
3.20    Subd. 4. Administrative services. The commissioner shall provide administrative
3.21services to the authority, establish an annual budget for the authority, provide an evaluation
3.22of grant applications pursuant to section 5, subdivision 2 and promptly inform the
3.23commissioner of finance regarding all grant approvals.
3.24    Subd. 5. Personal liability. Members and officers of the authority are not liable
3.25personally for any debt or obligation of the authority.
3.26    Subd. 6. In general. The authority has all the powers necessary and convenient
3.27to carry out its duties under this chapter.

3.28    Sec. 4. [116J.8863] POWERS; DUTIES.
3.29    Subdivision 1. Bylaws; rules. The authority shall adopt bylaws for its organization
3.30and internal management. The commissioner may adopt rules governing the authority's
3.31operations, properties, and facilities.
3.32    Subd. 2. Power to sue; enter contracts. The authority may sue and be sued. The
3.33authority may make and enter into contracts, leases, and agreements necessary to perform
3.34its duties and exercise its powers.
4.1    Subd. 3. Contract for services. The authority may retain or contract for the
4.2services of accountants, financial advisors, and other consultants or agents needed to
4.3perform its duties and exercise its powers.
4.4    Subd. 4. Report. The authority must report to the legislature by July 1 of each
4.5odd-numbered year on implementation of projects since the last report and on plans for
4.6the upcoming year.

4.7    Sec. 5. [116J.8864] BIOMEDICAL SCIENCE RESEARCH FACILITIES
4.8FUNDING PROGRAM.
4.9    Subdivision 1. Program established. The authority will establish a biomedical
4.10science research facilities funding program to provide grants to the Board of Regents
4.11of the University of Minnesota for 90 percent of the costs of projects approved under
4.12subdivision 3.
4.13    Subd. 2. Grant applications. Applications for grants for a project are to be made
4.14by the Board of Regents of the University of Minnesota to the authority. To be eligible for
4.15a grant under the program a project must meet the following criteria:
4.16    (1) the University of Minnesota, either acting on its own or in collaboration with
4.17another private or public institution, must pay ten percent of the costs of the project and
4.18may meet all or part of the required share of the costs of the project through the prior
4.19purchase of scientific equipment and materials incident to the project provided such
4.20purchase is completed not more than two years prior to the approval of a grant by the
4.21authority and the University of Minnesota must be responsible for the ongoing facilities
4.22maintenance and operations of the biomedical science research facility resulting from
4.23the project;
4.24    (2) if the application is for a project in which the University of Minnesota proposes
4.25to work in collaboration with another private or public institution, such other institution
4.26must be one that generates at least $75,000,000 annually in competitive federal funding
4.27from the National Institute of Health, National Science Foundation, or similar agency;
4.28    (3) the biomedical science research facility resulting from the project will be owned
4.29by the Board of Regents of the University of Minnesota; and
4.30    (4) at a minimum the application must include the following information:
4.31    (i) a resolution of the governing body that the required match is available and
4.32committed;
4.33    (ii) a detailed estimate, along with necessary supporting evidence, of the total cost
4.34of the project;
5.1    (iii) an assessment of the potential to attract new or continue existing public and
5.2private research grant awards resulting from the project;
5.3    (iv) a detailed facility operating financial analysis projecting the annual expected
5.4revenues and costs associated with the project;
5.5    (v) a timeline indicating the major milestones of the project and their anticipated
5.6completion dates; and
5.7    (vi) an assessment of the likelihood of public benefits from the project including
5.8benefitting public health and enhancement of employment opportunities within the state,
5.9stimulation of economic growth, and the potential for advancing the development of
5.10commercially successful and affordable products, processes, or services.
5.11The factors listed are not in priority order and the authority may weigh each factor,
5.12depending upon the facts and circumstances, as the authority considers appropriate.
5.13    Subd. 3. Grant approvals. The authority shall determine for each project for which
5.14an application is submitted whether it appears in the authority's judgment to conform to
5.15the purposes and policies stated in section 116J.8860 and meets the criteria stated in
5.16subdivision 2. Upon determination by the authority that a project conforms to the purposes
5.17stated in section 116J.8860 and meets the specified criteria stated in subdivision 2, the
5.18authority may approve a grant under the program for the project in an amount equal to
5.1990 percent of the costs of the project. The authority may approve total grants up to the
5.20percentage of the amount of bond proceeds authorized in section 116J.8865, for the fiscal
5.21year ending June 30 as set forth opposite such date.

5.22	Percent of Bond Proceeds	Fiscal Year
5.23	5.8 percent	2008
5.24	21.5 percent	2009
5.25	45.0 percent	2011
5.26	71.0 percent	2013
5.27	100.0 percent	2015

5.28    Subd. 4. Disbursements. Disbursement of grants approved by the authority under
5.29the program must be made for eligible project costs as incurred according to the project
5.30grant agreement and applicable state laws governing the payment.

5.31    Sec. 6. [116J.8865] AUTHORIZATION OF BONDS.
5.32    To provide money in the biomedical science research facilities funding program
5.33under Minnesota Statutes, section 116J.8864, the commissioner of finance shall sell and
5.34issue bonds of the state in the aggregate amount of $279,000,000 in the manner, upon
5.35the terms, and with the effect prescribed by sections 16A.631 to 16A.675 and by the
5.36Minnesota Constitution, article XI, sections 4 to 7. Before the issuance of any series of
6.1bonds the authority shall determine that the proceeds of the series of bonds to be issued
6.2will be needed to make disbursements of grants approved by the authority under the
6.3program. The provisions of section 16A.642 do not apply to this section.

6.4    Sec. 7. EFFECTIVE DATE.
6.5    Sections 1 to 6 are effective the day following final enactment."