1.1    .................... moves to amend H. F. No. 859 as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. Laws 1998, chapter 404, section 23, subdivision 6, as amended by Laws
1.42002, chapter 220, article 10, section 35, is amended to read:

1.5

Subd. 6.St. Saint Paul RiverCentre Arena

65,000,000

1.6This appropriation is from the general fund
1.7to the commissioner of finance for a loan to
1.8the city of St. Paul to demolish the existing
1.9St. Saint Paul RiverCentre Arena and to
1.10design, construct, furnish, and equip a new
1.11arena. This appropriation is not available
1.12until the lessee to whom the city has leased
1.13the arena has agreed to make rental or other
1.14payments to the city under the terms set forth
1.15in this subdivision. The loan is repayable
1.16solely from and secured by the payments
1.17made to the city by the lessee. The loan is
1.18not a public debt and the full faith, credit,
1.19and taxing powers of the city are not pledged
1.20for its repayment.
1.21(a) $48,000,000 $5,250,000 of the loan
1.22must be repaid to the commissioner, without
1.23interest, within 20 six years from the date
1.24of substantial completion of the arena in
1.25accordance with the following schedule:
2.1(1) no repayments are due in the first two
2.2years from the date of substantial completion;
2.3(2) in each of the years three to five, the
2.4lessee must pay $1,250,000; and
2.5(3) in each of the years year six to ten, the
2.6lessee must pay $1,500,000;.
2.7(4) in each of the years 11 to 13, the lessee
2.8must pay $2,000,000;
2.9(5) in year 14, the lessee must pay
2.10$3,000,000;
2.11(6) in year 15, the lessee must pay
2.12$4,000,000; and
2.13(7) in each of the years 16 to 20, the lessee
2.14must pay $4,750,000.
2.15    After the payment for year six has been made, no more of the loan need be repaid to
2.16the commissioner by the city of St. Paul and the balance due on the loan is forgiven.
2.17(b) The commissioner must deposit the
2.18repayments in the state treasury and credit
2.19them to the general fund.
2.20(c) The loan may not be made until the
2.21commissioner has entered into an agreement
2.22with the city of St. Paul identifying the rental
2.23or other payments that will be made and
2.24establishing the dates on and the amounts
2.25in which the payments will be made to the
2.26city and by the city to the commissioner. The
2.27payments may include operating revenues
2.28and additional payments to be made by the
2.29lessee under agreements to be negotiated
2.30between the commissioner, the city, and the
2.31lessee. Those agreements may include, but
2.32are not limited to, an agreement whereby the
2.33lessee pledges to provide each year a letter
2.34of credit sufficient to guarantee the payment
3.1of the amount due for the next succeeding
3.2year; an agreement whereby the lessee
3.3agrees to maintain a net worth, certified each
3.4year by a financial institution or accounting
3.5firm satisfactory to the commissioner, that
3.6is greater than the balance due under the
3.7payment schedule in paragraph (a); and any
3.8other agreements the commissioner may
3.9deem necessary to ensure that the payments
3.10are made as scheduled.
3.11(d) The agreements must provide that the
3.12failure of the lessee to make a payment due
3.13to the city under the agreement is an event
3.14of default under the lease between the city
3.15and the lessee and that the state is entitled to
3.16enforce the remedies of the lessor under the
3.17lease in the event of default. Those remedies
3.18must include, but need not be limited to, the
3.19obligation of the lessee to pay the balance due
3.20for the remainder of the payment schedule
3.21in the event the lessee ceases to operate a
3.22National Hockey League team in the arena.
3.23(e) By January 1, 1999, the commissioner
3.24shall report to the chair of the senate
3.25committee on state government finance
3.26and the chair of the house committee on
3.27ways and means the terms of an agreement
3.28between the lessee and the amateur sports
3.29commission whereby the lessee agrees to
3.30make the facilities of the arena available to
3.31the commission on terms satisfactory to the
3.32commission for amateur sports activities
3.33consistent with the purposes of Minnesota
3.34Statutes, chapter 240A, each year during the
3.35time the loan is outstanding. The amateur
3.36sports commission must negotiate in good
4.1faith and may be required to pay no more
4.2than actual out-of-pocket expenses for the
4.3time it uses the arena. The agreement may
4.4not become effective before February 1,
4.51999. During any calendar year after 1999
4.6that an agreement under this paragraph is
4.7not in effect and a payment is due under
4.8the schedule, the lessee must pay to the
4.9commissioner a penalty of $750,000 for that
4.10year. If the amateur sports commission has
4.11not negotiated in good faith, no penalty is
4.12due.

4.13    Sec. 2. APPROPRIATION; CONVENTION CENTER BONDS.
4.14    $49,500,000 in fiscal year 2008 is appropriated from the general fund to the
4.15commissioner of finance for a grant to the city of St. Paul to be used to pay, redeem,
4.16or defease the entire amount of bond obligations issued by the city of St. Paul in 1996
4.17for the convention center.

4.18    Sec. 3. APPROPRIATION; SAINT PAUL RIVERCENTRE PARKING RAMP
4.19BONDS.
4.20    $6,300,000 is appropriated in fiscal year 2008 from the general fund to the
4.21commissioner of finance for a grant to the city of St. Paul to be used to pay, redeem, or
4.22refund the entire amount of bond obligations issued by the city in 2000 for the RiverCentre
4.23parking ramp."
4.24Amend the title accordingly