Journal of the House - 26th Day - Monday, February 27, 2023

A quorum was present.

Davids and Richardson were excused.

The Chief Clerk proceeded to read the Journal of the preceding day. There being no objection, further reading of the Journal was dispensed with and the Journal was approved as corrected by the Chief Clerk.

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1050

PETITIONS AND COMMUNICATIONS

The following communications were received:

STATE OF MINNESOTA

OFFICE OF THE GOVERNOR

SAINT PAUL 55155

February 21, 2023

The Honorable Melissa Hortman

Speaker of the House of Representatives

The State of Minnesota

Dear Speaker Hortman:

Please be advised that I have received, approved, signed, and deposited in the Office of the Secretary of State the following House Files:

H. F. No. 50, relating to state lands; modifying requirements for conveying easements and leasing state lands; adding to and deleting from state forests; adding to state parks; authorizing sales and conveyances of certain land.

H. F. No. 35, relating to state government; requiring the state forecast include the rate of inflation.

Sincerely,

Tim Walz

Governor

STATE OF MINNESOTA

OFFICE OF THE SECRETARY OF STATE

ST. PAUL 55155

The Honorable Melissa Hortman

Speaker of the House of Representatives

The Honorable Bobby Joe Champion

President of the Senate

I have the honor to inform you that the following enrolled Acts of the 2023 Session of the State Legislature have been received from the Office of the Governor and are deposited in the Office of the Secretary of State for preservation, pursuant to the State Constitution, Article IV, Section 23:

S. F.

No.

H. F.

No.

Session Laws

Chapter No.

Time and

Date Approved

2023

Date Filed

2023

50 9 1:32 p.m. February 21 February 21

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1051

35 10 1:32 p.m. February 21 February 21

Sincerely,

Steve Simon

Secretary of State

REPORTS OF STANDING COMMITTEES AND DIVISIONS

Moller from the Committee on Public Safety Finance and Policy to which was referred:

H. F. No. 3, A bill for an act relating to elections; modifying provisions related to voter registration; absentee voting; requiring voting instructions and sample ballots to be multilingual and interpreters to be provided in certain situations; regulating intimidation, deceptive practices, and interference with voter registration and voting; campaign finance; expanding the definition of express advocacy; providing penalties; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 10A.01, subdivision 16a; 10A.27, subdivision 11; 13.607, by adding a subdivision; 171.06, subdivision 3; 201.054, subdivisions 1, 2; 201.061, by adding a subdivision; 201.071, subdivision 1; 201.091, subdivision 4; 201.161; 201.162; 203B.04, subdivisions 1, 5; 203B.06, subdivisions 1, 3; 203B.12, by adding subdivisions; 203B.121, subdivision 2; 211B.15, subdivisions 1, 7b, by adding subdivisions; 211B.32, subdivision 1; proposing coding for new law in Minnesota Statutes, chapters 204B; 211B.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Human Services Finance.

The report was adopted.

Liebling from the Committee on Health Finance and Policy to which was referred:

H. F. No. 100, A bill for an act relating to cannabis; establishing the Office of Cannabis Management; establishing advisory councils; requiring reports relating to cannabis use and sales; legalizing and limiting the possession and use of cannabis by adults; providing for the licensing, inspection, and regulation of cannabis businesses; requiring testing of cannabis flower and cannabinoid products; requiring labeling of cannabis flower and cannabinoid products; limiting the advertisement of cannabis flower, cannabinoid products, and cannabis businesses; providing for the cultivation of cannabis in private residences; transferring regulatory authority for the medical cannabis program; taxing the sale of adult-use cannabis; establishing grant and loan programs; clarifying the prohibition on operating a motor vehicle while under the influence of cannabis; amending criminal penalties; establishing expungement procedures for certain individuals; requiring reports on expungements; providing for expungement of certain evictions; clarifying the rights of landlords and tenants regarding use of certain forms of cannabis; establishing labor standards for the use of cannabis by employees and testing of employees; providing for the temporary regulation of certain edible cannabinoid products; providing for professional licensing protections; providing for local registration of certain cannabis retail establishments; amending the scheduling of marijuana and tetrahydrocannabinols; classifying data; making miscellaneous cannabis-related changes and additions; making clarifying and technical changes; appropriating money; amending Minnesota Statutes 2022, sections 13.411, by adding a subdivision; 13.871, by adding a subdivision; 34A.01, subdivision 4; 144.99, subdivision 1; 144A.4791, subdivision 14; 151.72; 152.01, by adding subdivisions; 152.02, subdivisions 2, 4; 152.021, subdivisions 1, 2; 152.022, subdivisions 1, 2; 152.023, subdivisions 1, 2; 152.024, subdivision 1; 152.025, subdivisions 1, 2; 152.11, subdivision 2; 169A.03, by adding subdivisions; 169A.20, subdivision 1; 169A.51, subdivisions 1, 4; 169A.72; 175.45, subdivision 1; 181.938, subdivision 2; 181.950, subdivisions 2, 4, 5, 8, 13, by adding a subdivision;

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1052

181.951, by adding subdivisions; 181.952, by adding a subdivision; 181.953; 181.954; 181.955; 181.957, subdivision 1; 244.05, subdivision 2; 245C.08, subdivision 1; 256.01, subdivision 18c; 256B.0625, subdivision 13d; 256D.024, subdivisions 1, 3; 256J.26, subdivisions 1, 3; 273.13, subdivision 24; 275.025, subdivision 2; 290.0132, subdivision 29; 290.0134, subdivision 19; 297A.61, subdivision 3; 297A.67, subdivisions 2, 7; 297A.70, subdivisions 2, 18; 297A.99, by adding a subdivision; 297D.01; 297D.04; 297D.06; 297D.07; 297D.08; 297D.085; 297D.09, subdivision 1a; 297D.10; 297D.11; 340A.412, subdivision 14; 484.014, subdivision 3; 504B.171, subdivision 1; 609.135, subdivision 1; 609.2112, subdivision 1; 609.2113, subdivisions 1, 2, 3; 609.2114, subdivisions 1, 2; 609.5311, subdivision 1; 609.5314, subdivision 1; 609.5316, subdivision 2; 609A.01; 609A.03, subdivisions 5, 9; 609B.425, subdivision 2; 609B.435, subdivision 2; 624.712, by adding subdivisions; 624.713, subdivision 1; 624.714, subdivision 6; 624.7142, subdivision 1; 624.7151; proposing coding for new law in Minnesota Statutes, chapters 3; 116J; 116L; 120B; 144; 152; 169A; 289A; 295; 340A; 504B; 609A; 624; proposing coding for new law as Minnesota Statutes, chapter 342; repealing Minnesota Statutes 2022, sections 151.72; 152.027, subdivisions 3, 4; 152.21; 152.22, subdivisions 1, 2, 3, 4, 5, 5a, 5b, 6, 7, 8, 9, 10, 11, 12, 13, 14; 152.23; 152.24; 152.25, subdivisions 1, 1a, 1b, 1c, 2, 3, 4; 152.26; 152.261; 152.27, subdivisions 1, 2, 3, 4, 5, 6, 7; 152.28, subdivisions 1, 2, 3; 152.29, subdivisions 1, 2, 3, 3a, 4; 152.30; 152.31; 152.32, subdivisions 1, 2, 3; 152.33, subdivisions 1, 1a, 2, 3, 4, 5, 6; 152.34; 152.35; 152.36, subdivisions 1, 1a, 2, 3, 4, 5; 152.37; Minnesota Rules, parts 4770.0100; 4770.0200; 4770.0300; 4770.0400; 4770.0500; 4770.0600; 4770.0800; 4770.0900; 4770.1000; 4770.1100; 4770.1200; 4770.1300; 4770.1400; 4770.1460; 4770.1500; 4770.1600; 4770.1700; 4770.1800; 4770.1900; 4770.2000; 4770.2100; 4770.2200; 4770.2300; 4770.2400; 4770.2700; 4770.2800; 4770.4000; 4770.4002; 4770.4003; 4770.4004; 4770.4005; 4770.4007; 4770.4008; 4770.4009; 4770.4010; 4770.4012; 4770.4013; 4770.4014; 4770.4015; 4770.4016; 4770.4017; 4770.4018; 4770.4030.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Public Safety Finance and Policy.

The report was adopted.

Youakim from the Committee on Education Finance to which was referred:

H. F. No. 112, A bill for an act relating to education; delaying review of physical education standards; amending Minnesota Statutes 2022, section 120B.021, subdivision 4.

Reported the same back with the recommendation that the bill be re-referred to the Committee on Ways and Means.

The report was adopted.

Becker-Finn from the Committee on Judiciary Finance and Civil Law to which was referred:

H. F. No. 146, A bill for an act relating to children; preventing the use of subpoenas to gather information for out-of-state laws interfering in the use of gender-affirming health care; amending child custody and child welfare provisions related to out-of-state laws interfering in the use of gender-affirming health care; amending provisions related to warrants, arrests, and extraditions related to out-of-state laws on gender-affirming health care; amending Minnesota Statutes 2022, sections 518D.201; 518D.204; 518D.207; 629.02; 629.05; 629.06; 629.13; 629.14; proposing coding for new law in Minnesota Statutes, chapters 260; 543.

Reported the same back with the following amendments:

Page 1, line 15, delete "548.415" and insert "543.23"

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1053

Page 2, line 23, delete "548.415" and insert "543.23"

Page 3, line 4, delete "548.415" and insert "543.23"

Page 5, line 4, delete "548.415" and insert "543.23"

Page 6, line 12, delete "548.415" and insert "543.23"

Page 6, line 28, delete "548.415" and insert "543.23"

Page 7, line 13, delete "548.415" and insert "543.23"

Page 7, line 20, delete "548.415" and insert "543.23"

Page 8, line 11, delete "548.415" and insert "543.23"

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Stephenson from the Committee on Commerce Finance and Policy to which was referred:

H. F. No. 156, A bill for an act relating to housing; manufactured homes; amending provisions related to utility billing practices in manufactured home parks; amending Minnesota Statutes 2022, sections 327C.015, subdivisions 17, 18, by adding subdivisions; 327C.04, subdivisions 1, 2, by adding subdivisions; repealing Minnesota Statutes 2022, section 327C.04, subdivisions 3, 4.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 2022, section 103G.291, subdivision 4, is amended to read:

Subd. 4. Demand reduction measures. (a) For the purposes of this section, "demand reduction measures" means measures that reduce water demand, water losses, peak water demands, and nonessential water uses. Demand reduction measures must include a conservation rate structure, or a uniform rate structure with a conservation program that achieves demand reduction. A "conservation rate structure" means a rate structure that encourages conservation and may include increasing block rates, seasonal rates, time of use rates, individualized goal rates, or excess use rates. If a conservation rate is applied to multifamily dwellings or a manufactured home park, as defined in section 327C.015, subdivision 8, the rate structure must consider each residential unit as an individual user.

(b) To encourage conservation, a public water supplier serving more than 1,000 people must implement demand reduction measures by January 1, 2015.

EFFECTIVE DATE. This section is effective August 1, 2024, and applies to a billing period that begins on or after that date.

Sec. 2. Minnesota Statutes 2022, section 327C.015, is amended by adding a subdivision to read:

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1054

Subd. 3a. Commodity rate. "Commodity rate" means the per-unit price for utility service that varies directly with the volume of a resident's consumption of utility service and that is established or approved by the Minnesota Public Utilities Commission or a municipal public utilities commission, an electric cooperative association, or a municipality and charged to a user of the service.

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

Sec. 3. Minnesota Statutes 2022, section 327C.015, is amended by adding a subdivision to read:

Subd. 11a. Public utility. "Public utility" has the meaning given in section 216B.02, subdivision 4.

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

Sec. 4. Minnesota Statutes 2022, section 327C.015, subdivision 17, is amended to read:

Subd. 17. Substantial modification. "Substantial modification" means any change in a rule which: (a) significantly diminishes or eliminates any material obligation of the park owner; (b) significantly diminishes or eliminates any material right, privilege or freedom of action of a resident; or (c) involves a significant new expense for a resident. The installation of water meters and the subsequent metering of and billing for water service is not a substantial modification of the lease, provided the park owner complies with section 327C.04, subdivision 6.

EFFECTIVE DATE. This section is effective for meter installations initiated on or after August 1, 2023.

Sec. 5. Minnesota Statutes 2022, section 327C.015, is amended by adding a subdivision to read:

Subd. 17a. Utility provider. "Utility provider" means a public utility, an electric cooperative association, or a municipal utility.

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

Sec. 6. Minnesota Statutes 2022, section 327C.04, subdivision 1, is amended to read:

Subdivision 1. Billing permitted. A park owner who either provides utility service directly to residents or who redistributes to residents utility service provided to the park owner by a utility provider may charge the residents for that service, only if the charges comply with this section.

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

Sec. 7. Minnesota Statutes 2022, section 327C.04, subdivision 2, is amended to read:

Subd. 2. Metering required. A park owner who charges residents for a utility service must charge each household the same amount, unless the park owner has installed measuring devices which accurately meter each household's use of the utility. Utility measuring devices installed by the park owner must be installed or repaired only by a licensed plumber, licensed electrician, or licensed manufactured home installer.

EFFECTIVE DATE. This section is effective August 1, 2023, and applies to meters installed or repaired on or after that date.

Sec. 8. Minnesota Statutes 2022, section 327C.04, is amended by adding a subdivision to read:

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1055

Subd. 5. Utility charge for metered service. (a) A park owner who redistributes utility service may not charge a resident a commodity rate that exceeds the commodity rate at which the park owner purchases utility service from a utility provider. Before billing residents for redistributed utility service, a park owner must deduct utility service used exclusively or primarily for the park owner's purposes.

(b) If a utility bill that a park owner receives from a utility provider separates from variable consumption charges a fixed service or meter charge or fee, taxes, surcharges, or other miscellaneous charges, the park owner must deduct the park owner's pro rata share of these separately itemized charges and apportion the remaining fixed portion of the bill equally among residents based on the total number of occupied units in the park.

(c) A park owner may not charge to or collect from residents any administrative, capital, or other expenses associated with the distribution of utility services, including but not limited to disconnection, reconnection, and late payment fees.

EFFECTIVE DATE. This section is effective July 1, 2023.

Sec. 9. Minnesota Statutes 2022, section 327C.04, is amended by adding a subdivision to read:

Subd. 6. Rent increases following the installation of water meters. A park owner may not increase lot rents for 13 months following the commencement of utility bills for a resident whose lease included water service. In each of the three months prior to commencement of utility billing, a park owner must provide the resident with a sample bill for water service.

EFFECTIVE DATE. This section is effective August 1, 2023, and applies to meter installations initiated on or after that date.

Sec. 10. REPEALER.

Minnesota Statutes 2022, section 327C.04, subdivision 4, is repealed.

EFFECTIVE DATE. This section is effective July 1, 2023."

Correct the title numbers accordingly

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Klevorn from the Committee on State and Local Government Finance and Policy to which was referred:

H. F. No. 211, A bill for an act relating to holiday observances; requiring school observance of Indigenous Peoples' Day; establishing Indigenous Peoples' Day as a state holiday and eliminating Christopher Columbus Day as a state holiday; amending Minnesota Statutes 2022, sections 120A.42; 645.44, subdivision 5.

Reported the same back with the following amendments:

Page 1, lines 13, 15, and 17, delete "Peoples'" and insert "Peoples"

Page 2, delete section 2 and insert:

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1056

"Sec. 2. Minnesota Statutes 2022, section 645.44, subdivision 5, as amended by Laws 2023, chapter 5, section 2, is amended to read:

Subd. 5. Holiday. (a) "Holiday" includes New Year's Day, January 1; Martin Luther King's Birthday, the third Monday in January; Washington's and Lincoln's Birthday, the third Monday in February; Memorial Day, the last Monday in May; Juneteenth, June 19; Independence Day, July 4; Labor Day, the first Monday in September; ~~Christopher Columbus~~ Indigenous Peoples Day, the second Monday in October; Veterans Day, November 11; Thanksgiving Day, the fourth Thursday in November; and Christmas Day, December 25; provided, when New Year's Day, January 1; or Juneteenth, June 19; or Independence Day, July 4; or Veterans Day, November 11; or Christmas Day, December 25; falls on Sunday, the following day shall be a holiday and, provided, when New Year's Day, January 1; or Juneteenth, June 19; or Independence Day, July 4; or Veterans Day, November 11; or Christmas Day, December 25; falls on Saturday, the preceding day shall be a holiday. No public business shall be transacted on any holiday, except in cases of necessity and except in cases of public business transacted by the legislature, nor shall any civil process be served thereon. However, for the executive branch of the state of Minnesota, "holiday" also includes the Friday after Thanksgiving but does not include ~~Christopher Columbus~~ Indigenous Peoples Day. Other branches of state government and political subdivisions shall have the option of determining whether ~~Christopher Columbus~~ Indigenous Peoples Day and the Friday after Thanksgiving shall be holidays. Where it is determined that ~~Columbus~~ Indigenous Peoples Day or the Friday after Thanksgiving is not a holiday, public business may be conducted thereon.

(b) Any agreement between a public employer and an employee organization citing Veterans Day as the fourth Monday in October shall be amended to cite Veterans Day as November 11.

(c) Any agreement between a public employer and an employee organization citing "Christopher Columbus Day" or "Columbus Day" shall be amended to cite "Indigenous Peoples Day."

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

Sec. 3. REVISOR INSTRUCTION.

In the next edition of Minnesota Statutes and Minnesota Rules and the online publication of Minnesota Statutes and Minnesota Rules, the revisor of statutes shall change references to "Christopher Columbus Day" or "Columbus Day" to "Indigenous Peoples Day" wherever the phrases appear in Minnesota Statutes and Minnesota Rules.

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

Amend the title as follows:

Page 1, lines 2 and 3, delete "Peoples'" and insert "Peoples"

Correct the title numbers accordingly

With the recommendation that when so amended the bill be placed on the General Register.

The report was adopted.

Klevorn from the Committee on State and Local Government Finance and Policy to which was referred:

H. F. No. 274, A bill for an act relating to state government; creating a commission to redesign the official state flag and the official state seal; requiring a report; repealing Minnesota Statutes 2022, sections 1.135; 1.141.

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1057

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. Minnesota Statutes 2022, section 1.135, subdivision 2, is amended to read:

Subd. 2. Official seal. The seal described in subdivision 3 3a is the "Great Seal of the State of Minnesota." When the seal, the impression of the seal, the scene within the seal, or its likeness is reproduced at state expense, it must conform to subdivision 3 and section 4.04. A seal, impression, scene, or likeness which does not conform to these provisions is not official.

EFFECTIVE DATE. This section is effective May 11, 2024.

Sec. 2. Minnesota Statutes 2022, section 1.135, is amended by adding a subdivision to read:

Subd. 3a. Official seal; May 11, 2024, and thereafter. The Great Seal of the State of Minnesota is the design as certified in the report of the State Emblems Redesign Commission, as established by this act.

EFFECTIVE DATE. This section is effective May 11, 2024.

Sec. 3. Minnesota Statutes 2022, section 1.135, subdivision 4, is amended to read:

Subd. 4. Additional effects; size. Every effort shall be made to reproduce the seal with justification to the 12 o'clock position and with attention to the authenticity of the illustrations used to create the scene within the seal. The description of the scene in this section does not preclude the graphic inclusion of the effects of movement, sunlight, or falling water when the seal is reproduced. Nor does. This section does not prohibit the enlargement, proportioned reduction, or embossment of the seal for its use in unofficial acts.

EFFECTIVE DATE. This section is effective May 11, 2024.

Sec. 4. Minnesota Statutes 2022, section 1.135, subdivision 6, is amended to read:

Subd. 6. State's duties. State agencies and departments using the seal, its impression, ~~the scene within the seal~~ or its likeness shall make every effort to bring any seal, impression, ~~scene,~~ or likeness currently fixed to a permanent object into accordance with this section and section 4.04. Expendable material to which the seal in effect prior to May 11, 2024, or any impression, scene, or likeness of that seal is currently affixed may be used until the supply is exhausted or until January 1, 2025, whichever occurs first. All unused dies and engravings of the Great Seal shall be given to the Minnesota Historical Society, along with all historical information available about the seal, to be retained in the society's permanent collection.

EFFECTIVE DATE. This section is effective May 11, 2024.

Sec. 5. Minnesota Statutes 2022, section 1.141, subdivision 1, is amended to read:

Subdivision 1. Adoption. The design of the state flag ~~proposed by the Legislative Interim Commission acting under Laws 1955, chapter 632,~~ as certified in the report of the State Emblems Redesign Commission, as established by this act, is adopted as the official state flag.

EFFECTIVE DATE. This section is effective May 11, 2024.

Sec. 6. STATE EMBLEMS REDESIGN COMMISSION.

Subdivision 1. Establishment. The State Emblems Redesign Commission is established. The purpose of the commission is to develop and adopt a new design for the official state flag and the official state seal no later than January 1, 2024.

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Subd. 2. Membership; meetings. (a) The commission consists of the following members:

(1) three members of the public, appointed by the governor;

(2) one member appointed by the Council for Minnesotans of African Heritage;

(3) one member appointed by the Minnesota Council on Latino Affairs;

(4) one member appointed by the Council on Asian-Pacific Minnesotans;

(5) one member representing the Dakota community and one member representing the Ojibwe community, appointed by the executive board of the Indian Affairs Council;

(6) the secretary of state or the secretary's designee;

(7) the executive director of the Minnesota Historical Society or the director's designee;

(8) the chair of the Capitol Area Architectural and Planning Board or the chair's designee;

(9) the chair of the Minnesota Arts Board or the chair's designee; and

(10) the executive director of Explore Minnesota Tourism or the director's designee.

(b) The following serve as ex officio, nonvoting members of the commission: (1) two members of the house of representatives, one each appointed by the speaker of the house and the minority leader of the house; and (2) two members of the senate, one representing the majority caucus appointed by the senate majority leader and one representing the minority caucus appointed by the senate minority leader.

(c) Appointments to the commission must be made no later than August 1, 2023. The voting members of the commission shall elect a chair and vice-chair. An appointee designated by the governor shall convene the commission's first meeting. Decisions of the commission must be made by majority vote. The Minnesota Historical Society must provide office space and administrative support to the commission.

Subd. 3. Meetings. Meetings of the commission are subject to Minnesota Statutes, chapter 13D.

Subd. 4. Duties; form and style of recommended state emblems. The commission shall develop and adopt a new design for the official state seal and a new design for the official state flag. The designs must accurately and respectfully reflect Minnesota's shared history, resources, and diverse cultural communities. Symbols, emblems, or likenesses that represent only a single community or person, regardless of whether real or stylized, may not be included in a design. The commission may solicit and secure the voluntary service and aid of vexillologists and other persons who have either technical or artistic skill in flag construction and design, or the design of official seals, to assist in the work. The commission must also solicit public feedback and suggestions to inform its work.

Subd. 5. Report. The commission shall certify its adopted designs in a report to the legislature and governor no later than January 1, 2024. The commission's report must describe the symbols and other meanings incorporated in the design. The commission expires upon submission of its report.

Sec. 7. REPEALER.

Minnesota Statutes 2022, sections 1.135, subdivisions 3 and 5; and 1.141, subdivisions 3, 4, and 6, are repealed.

EFFECTIVE DATE. This section is effective May 11, 2024."

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Delete the title and insert:

"A bill for an act relating to state government; creating a commission to redesign the official state flag and the official state seal; requiring a report; amending Minnesota Statutes 2022, sections 1.135, subdivisions 2, 4, 6, by adding a subdivision; 1.141, subdivision 1; repealing Minnesota Statutes 2022, sections 1.135, subdivisions 3, 5; 1.141, subdivisions 3, 4, 6."

With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.

The report was adopted.

Lee, F., from the Committee on Capital Investment to which was referred:

H. F. No. 669, 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.

(a) 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;

(4) is subject to the policies and procedures adopted by the commissioner of management and budget or otherwise specified in applicable law; and

(5) 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.

(b) Unless otherwise specified, appropriations in this article from the general fund are made in fiscal year 2024 and are onetime appropriations.

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APPROPRIATIONS

Sec. 2. UNIVERSITY OF MINNESOTA

Subdivision 1. Total Appropriation

$132,128,000

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)

39,528,000

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

Subd. 3. Twin Cities - Chemistry Undergraduate Teaching Laboratory

92,600,000

To construct, furnish, and equip the renovation of and an addition to Fraser Hall for an undergraduate chemistry teaching laboratory facility on the Twin Cities campus. This project includes the demolition of obsolete portions of Fraser Hall.

Subd. 4. 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. 5. 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

$179,752,000

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

Journal of the House - 26th Day - Monday, February 27, 2023 - Top of Page 1061

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

44,733,000

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

Subd. 3. Minnesota State University, Moorhead

23,099,000

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

Subd. 4. Inver Hills Community College

22,025,000

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. 5. Minneapolis Community and Technical College

20,457,000

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

Subd. 6. Pine Technical and Community College

21,468,000

To design, renovate, construct, and equip 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. 7. Saint Paul College

1,671,000

To design the renovation of classroom, lab, and student services space and design the demolition of the College Learning Center Building which will be replaced by the renovations at the Saint Paul College campus.

Subd. 8. Northeast Higher Education District ‑ Vermilion Community College

3,633,000

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

Subd. 9. Central Lakes College

11,591,000

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

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Subd. 10. Northland Community and Technical College

3,282,000

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

Subd. 11. Minnesota State University, Mankato

8,460,000

To design and renovate 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.

Subd. 12. Winona State University

4,866,000

To design a net zero energy building that will contain flexible classroom space and student support services and to design the demolition of Gildemeister and Watkins Halls which will be replaced by the net zero energy building at Winona State University.

Subd. 13. Lake Superior College

8,316,000

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

Subd. 14. Metropolitan State

5,196,000

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

Subd. 15. Alexandria Technical and Community College

955,000

To design the renovation of student services spaces, the demolition of obsolete campus space, which will be replaced by the new renovated student services space and the new Transportation Center, and to design the construction of the Transportation Center at Alexandria Technical and Community College.

Subd. 16. 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.

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(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 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. 17. 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

$94,000,000

To the commissioner of education for library construction grants under Minnesota Statutes, section 134.45.

Sec. 5. MINNESOTA STATE ACADEMIES

Subdivision 1. Total Appropriation

$9,037,000

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

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Subd. 2. Asset Preservation

1,200,000

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.

Subd. 3. Dorm Renovations and Predesign

7,837,000

To predesign, design, construct, furnish, and equip the renovation of Kramer Hall, Brandeen Hall, and Rode Hall Dorms on the Blind School Campus, including but not limited to abatement of asbestos and hazardous materials, construction, and renovations required to improve safety and security for occupants, meet ADA requirements, meet energy saving requirements, and improve indoor air quality standards. This appropriation also includes money to predesign, design, construct, furnish, and equip the renovation of Pollard Hall Dorm on the Deaf School Campus, including but not limited to abatement of asbestos and hazardous materials, construction, and renovations required to improve safety and security for occupants, meet ADA requirements, meet energy saving requirements, and improve indoor air quality standards.

Sec. 6. PERPICH CENTER FOR ARTS EDUCATION

$900,000

To the commissioner of administration 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.

Sec. 7. NATURAL RESOURCES

Subdivision 1. Total Appropriation

$173,254,000

(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

36,000,000

For the preservation and replacement 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.

Subd. 3. Betterment of Buildings

30,000,000

For acquisition, predesign, design, and construction to replace existing facilities that no longer meet the business needs of the department or to acquire or construct new facilities. This

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appropriation includes money for the predesign, design, and construction of facility capital improvements and associated facility components at the Badoura State Forest Nursery and the Waterville fish hatchery.

Subd. 4. Wildfire Aviation Infrastructure

6,360,000

For site preparation, predesign, design, engineering, demolition, construction, furnishing, and equipping new public safety facilities for aerial wildfire suppression, which may include grants to airport authorities. This appropriation includes money for the Hibbing airport and air tanker base buildings and associated utilities and systems.

Subd. 5. Accessibility

1,200,000

For the design and construction of accessibility improvements at state parks, recreation areas, and wildlife management areas.

Subd. 6. Dam Renovation, Repair, Removal

4,000,000

(a) For design, engineering, and construction to repair, reconstruct, or remove publicly owned dams and respond to dam safety emergencies on publicly owned dams. The commissioner shall determine project priorities as appropriate under Minnesota Statutes, sections 103G.511 and 103G.515.

(b) If the commissioner determines that a project is not ready to proceed, this appropriation may be used for other projects on the commissioner's priority list.

Subd. 7. Flood Hazard Mitigation

27,374,000

(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) Notwithstanding paragraph (b), $5,000,000 of this appropriation is for a grant to the Red River Watershed Management Board for flood mitigation projects in watersheds under the board's management and is not for projects in the city of Moorhead.

(d) Notwithstanding paragraph (b), $7,374,000 is for a grant to the city of Moorhead to design, construct, and equip flood mitigation infrastructure. This appropriation includes money for Phase 2 of the North Moorhead levee project, the relocation of sanitary lift station #2, and a levee project along First Avenue North.

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(e) 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).

(f) 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. 8. Lake Vermilion-Soudan Underground Mine State Park

11,000,000

For the design and construction of a visitor center, camping facilities and boardwalk, hiking and biking trails, dock and fishing pier, and related infrastructure; the design of the Mattson Bay Camp and Soudan Heritage and Science Center; and the rehabilitation of a fire tower at Lake Vermilion-Soudan Underground Mine State Park.

Subd. 9. Parks and Trails Local and Regional Recreation Grants

2,000,000

For matching grants under Minnesota Statutes, section 85.019.

Subd. 10. Community Tree Planting Grants

8,400,000

For grants to cities, counties, townships, and park and recreation boards in cities of the first class, to remove and plant shade trees on public land to provide environmental benefits; to 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. 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. 11. Canisteo Legacy Mine Pit Complex

6,600,000

(a) For the acquisition of land or interests in land and for construction of publicly owned infrastructure to mitigate the imminent threat to public safety, property, and regional water quality from the rising water at the Canisteo legacy mine pit complex.

(b) Upon substantial completion of the project authorized in this subdivision and after written notice to the commissioner of management and budget, the commissioner of natural resources

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may use any money remaining in this appropriation to design, engineer, and construct publicly owned water mitigation infrastructure at the Hill Annex open pit mining complex.

Subd. 12. St. James Open Pit Mine Complex

2,500,000

For predesign, design, and engineering of capital improvement projects to mitigate the imminent threat to public safety, property, and regional water quality from the rising water levels at the St. James open pit mine complex.

Subd. 13. Reforestation

6,000,000

For reforestation and stand improvement on state forest lands to meet the reforestation requirements of Minnesota Statutes, section 89.002, subdivision 2, including purchasing native seeds and native seedlings, planting, seeding, site preparation, and protection on state lands administered by the commissioner.

Subd. 14. State Trail Maintenance

1,200,000

To renovate paved and unpaved state trails established under Minnesota Statutes, section 85.015, according to the commissioner's priorities and as provided in Minnesota Statutes, section 84.946.

Subd. 15. Casey Jones State Trail

1,320,000

For acquisition, design, engineering, and construction of the Casey Jones State Trail under Minnesota Statutes, section 85.015, subdivision 2. The Casey Jones State Trail must be established as a primary, not a secondary trail.

Subd. 16. Gitchi Gami State Trail

4,000,000

For acquisition, design, engineering, and construction of the Gitchi Gami State Trail priority segments: Lutsen from Ski Hill Road, Tofte, Silver Bay to Tettegouche State Park, and Two Harbors to Flood Bay State Wayside.

Subd. 17. Heartland State Trail

2,950,000

(a) For capital improvements to the Heartland State Trail. Of this amount, (1) $550,000 is for construction of a trail segment of the Heartland State Trail between Detroit Lakes and Frazee; and (2) $2,400,000 is for the environmental review, predesign, design, and construction of a paved multiple-use trail to connect Itasca State Park to the Heartland State Trail beginning from the park contact station to the park's southeast boundary and through a Phase 1 tunnel to be constructed under marked U.S. Highway 71, and continuing from there for about two miles.

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(b) This appropriation is in addition to the appropriations in Laws 2017, First Special Session chapter 8, article 1, section 6, subdivision 6, and Laws 2020, Fifth Special Session chapter 3, article 1, section 7, subdivision 12.

Subd. 18. Mill Towns State Trail

8,190,000

For land acquisition, predesign, design, and construction of the Mill Towns State Trail between Riverside Park in the city of Northfield and the Waterford Historic Bridge in Waterford Township.

Subd. 19. Root River State Trail; Preston to Carimona

2,000,000

For acquisition of property, design, and engineering of the Root River State Trail under Minnesota Statutes, section 85.015, from the city of Preston to the city of Carimona.

Subd. 20. Glendalough State Park

900,000

To complete the paved multipurpose trail from the bridge at the northwest corner of Annie Battle Lake to the park entrance at Glendalough State Park.

Subd. 21. Upper Sioux Agency State Park Bond Defeasance

250,000

From the general fund to the commissioner of management and budget to prepay and defease any outstanding state general obligation bonds used for improvements and betterments at Upper Sioux Agency State Park, including Minnesota Historical Society property located within the park's boundaries, and other associated financing costs. This amount may be deposited, invested, and applied to accomplish the purposes of this section as provided in Minnesota Statutes, section 475.67, subdivisions 5 to 10 and 13. Upon the prepayment and defeasance of all associated debt on the real property and improvements, all conditions set forth in Minnesota Statutes, section 16A.695, subdivision 3, shall be deemed to have been satisfied and the real property and improvements shall no longer constitute state bond financed property under Minnesota Statutes, section 16A.695.

Subd. 22. Lower Minnesota River Watershed District; Minnesota River Riverbank Stabilization

2,750,000

For a grant to the Lower Minnesota River Watershed District for final design and construction of capital improvements necessary to stabilize the riverbank, prevent erosion, and prevent future degradation of the water quality of the Minnesota River resulting from Area 3 bank erosion in the city of Eden Prairie.

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Subd. 23. Shakopee; Minnesota River Riverbank Stabilization

8,260,000

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.

Subd. 24. 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

$10,000,000

To the Pollution Control Agency for a capital assistance grant to Olmsted County under Minnesota Statutes, section 115A.54, to design, construct, and equip a new materials recovery facility which will expand upon the county's current integrated solid waste management system by reclaiming materials and removing problematic items from the waste stream. This appropriation is notwithstanding the maximum amount of grant assistance for a project under Minnesota Statutes, section 115A.54.

Sec. 9. BOARD OF WATER AND SOIL RESOURCES

Subdivision 1. Total Appropriation

$22,700,000

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

Subd. 2. Local Government Roads Wetland Replacement Program

12,000,000

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). Notwithstanding Minnesota Statutes, section 103G.222, subdivision 3, the board may implement the wetland replacement program consistent with section 404 of the federal 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

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wetland replacement credits in accordance with Minnesota Rules, chapter 8420. Up to five percent of this appropriation may be used for restoration and enhancement.

Subd. 3. Reinvest in Minnesota (RIM) Reserve Program

10,700,000

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.

Sec. 10. AGRICULTURE

$380,000

To the commissioner of administration to design, construct, and equip the renovation and repair of the plant protection division's potato inspection facility located in East Grand Forks. This appropriation may also be used to design and complete hazardous materials abatement.

Sec. 11. MINNESOTA ZOOLOGICAL GARDEN

Subdivision 1. Total Appropriation

$18,025,000

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

Subd. 2. Asset Preservation

16,800,000

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, this appropriation may be used to replace buildings that are in poor condition, outdated, and no longer support the work of the Minnesota Zoological Garden; to construct and renovate trails and roads on the Minnesota Zoological Garden site; and to replace the lakeside plaza infrastructure, including the stairs and ramp to the upper plaza, and to design, construct, furnish, and equip the renovation of related animal holding and mechanical spaces.

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Subd. 3. Animal Hospital Renovation

1,225,000

To design a new or renovated animal hospital building at the Minnesota Zoological Garden.

Sec. 12. ADMINISTRATION

Subdivision 1. Total Appropriation

$22,465,000

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.

Subd. 3. Capitol Complex - Physical Security Upgrades Phase II

9,093,000

For the continuation of the design, construction, and equipping required to upgrade the physical security elements and systems for the Capitol Mall and 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 and an updated assessment completed in 2022. Upgrades include but are not limited to the installation of bollards, blast protection, infrastructure security screen walls, door access controls, emergency call stations, surveillance systems, security kiosks, locking devices, and traffic and crowd control devices. This appropriation includes money for work associated with the following buildings: Administration, Ag/Health Lab, Capitol, Centennial, Governor's Residence, Judicial Center, Minnesota History Center, Capitol Complex Power Plant and Shops, Stassen, State Office, and Veterans Service.

Subd. 4. Ford Building

4,372,000

To complete design and 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 construct and equip improvements to maintain access to the Capitol Complex tunnel system as well as to provide security, irrigation, and landscaping for the site. Notwithstanding Minnesota Statutes, chapter 15B, or the Comprehensive Plan for the Minnesota State Capitol Area, no additional study shall be required prior to a building permit being issued for the work authorized in this appropriation or to proceed with such work.

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Sec. 13. AMATEUR SPORTS COMMISSION

$9,600,000

To the Minnesota Amateur Sports Commission 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.

Sec. 14. MILITARY AFFAIRS

Subdivision 1. Total Appropriation

$31,487,000

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

Subd. 2. Rosemount Readiness Center

25,080,000

(a) To construct and equip the renovation of existing space at the Rosemount Readiness Center, including mechanical, electrical, building envelope, energy efficiency, and life safety improvements.

(b) $360,000 of this appropriation is in addition to the appropriation for the same purpose in Laws 2020, Fifth Special Session chapter 3, article 1, section 14, subdivision 2.

Subd. 3. Fergus Falls Readiness Center

800,000

This appropriation is in addition to the appropriation for the same purpose in Laws 2020, Fifth Special Session chapter 3, article 1, section 14, subdivision 3.

Subd. 4. Moorhead Readiness Center

855,000

This appropriation is in addition to the appropriation for the same purpose in Laws 2020, Fifth Special Session chapter 3, article 1, section 14, subdivision 4.

Subd. 5. Marshall Readiness Center

4,752,000

This appropriation is in addition to the appropriation for the same purpose in Laws 2020, Fifth Special Session chapter 3, article 1, section 14, subdivision 5.

Sec. 15. PUBLIC SAFETY

Subdivision 1. Total Appropriation

$17,425,000

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

Subd. 2. State Emergency Operations Center

11,392,000

For the state emergency operations center. This appropriation is in addition to the appropriation for the same purpose in Laws 2020, Fifth Special Session chapter 3, article 1, section 15, subdivision 2.

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Subd. 3. BCA Maryland Building

6,033,000

To design, construct, renovate, equip, and furnish unfinished space in the Bureau of Criminal Apprehension building in St. Paul to provide new offices and to design, construct, and equip a new perimeter security fence and access controls at this site.

Sec. 16. TRANSPORTATION

Subdivision 1. Total Appropriation

$245,157,000

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

Subd. 2. Local Road Improvement Program

85,000,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for eligible improvements on 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. $6,000,000 of this appropriation is for grants to townships for capital improvements to township roads.

Subd. 3. Local Bridge Replacement Program

67,000,000

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. 4. Highway Rail Grade Crossings

3,600,000

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

Subd. 5. Port Development Assistance Program

18,097,000

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

Subd. 6. Safe Routes to School

2,400,000

For grants under Minnesota Statutes, section 174.40.

Subd. 7. Active Transportation

1,200,000

For grants and financial assistance under Minnesota Statutes, section 174.38.

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Subd. 8. Minnesota Rail Service Improvement Program

9,600,000

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

Subd. 9. Greater Minnesota Transit

3,000,000

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

Subd. 10. Carver County; CSAH 18

3,760,000

From the bond proceeds account in the state transportation fund, as provided in Minnesota Statutes, section 174.50, for one or more grants to the cities of Victoria, Chaska, or Chanhassen or Carver County, or any combination of these entities, for property or permanent easement acquisition, predesign, and design of construction of improvements to Carver County State-Aid Highway 18, known as West 82nd Street, from Bavaria Road to marked Trunk Highway 41. This project includes cross streets, off-street trails, a bridge over a ravine and trail, and utility relocations, installations, and connections.

Subd. 11. Fridley; Northtown Rail Yard Overpass

4,000,000

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 Fridley to design the extension of 57th Avenue NE, including public utilities as necessary and a bridge and approach walls, across the BNSF Northtown Rail Yard from Main Street NE (Anoka County State-Aid Highway 102) westward to East River Road (Anoka County State-Aid Highway 1) in Fridley.

Subd. 12. Hennepin County; Hennepin Avenue Bridge

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 Hennepin County for predesign and design of reconstruction of the iconic and historic Hennepin Avenue Suspension Bridge and approach bridges in the city of Minneapolis.

Subd. 13. Inver Grove Heights; 117th Street Reconstruction

5,000,000

From the bond proceeds account in the state transportation fund, as provided in Minnesota Statutes, section 174.50, for one or more grants to the city of Inver Grove Heights, Dakota County, or both, to perform final design, acquire right-of-way, acquire easements, and reconstruct 117th Street from Rich Valley Boulevard (Dakota

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County Road 71), including intersection improvements thereto in both directions up to 1,500 feet, to approximately 800 feet east of U.S. Highway 52 to improve safety, mobility, and traffic conditions. This appropriation includes the cost for relocation and construction of public utilities on 117th Street, including sanitary sewer, water main, and storm sewer facilities.

Subd. 14. Plymouth; Chankahda Trail

6,200,000

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 Plymouth for property acquisition and design of construction of roadway, utility, drainage, pedestrian facilities, and associated appurtenances, on Chankahda Trail, formerly known as Hennepin County Road 47, from Hennepin County State-Aid Highway 101 to Hennepin County State-Aid Highway 61.

Subd. 15. Savage; Road and Bridge Improvements

800,000

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 Savage to predesign and design the expansion of Quentin Avenue and reconstruction of two railroad bridges that pass over Quentin Avenue. The project area for this project is from approximately 600 feet to the south to approximately 600 feet to the north of the two railroad bridges that pass over Quentin Avenue.

Subd. 16. St. Paul; Third Street/Kellogg Boulevard Bridge and BRT Gold Line Readiness

25,000,000

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 the Third Street/Kellogg Boulevard bridge project. This appropriation is in addition to the appropriation for the same purpose in Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 19.

Subd. 17. St. Paul Park; Third Street Collector Roadway

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 St. Paul Park to predesign, design, engineer, construct, and equip the Third Street Collector Roadway Improvements Project. This appropriation includes money for the construction and reconstruction of Third Street from Broadway Avenue to 14th Avenue, pedestrian and bicycle safety improvements, and sanitary sewer, drinking water, and storm water management infrastructure.

Sec. 17. METROPOLITAN COUNCIL

Subdivision 1. Total Appropriation

$108,620,000

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

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Subd. 2. Inflow and Infiltration Grants

12,000,000

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. 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. Metropolitan Regional Parks and Trails

16,620,000

For the cost of improvements and betterments of a capital nature and acquisition by the council and metropolitan parks implementing agencies as defined in Minnesota Statutes, section 473.351, 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. Arterial Bus Rapid Transit

72,000,000

For real property acquisition, predesign, design, engineering, and construction of arterial bus rapid transit, including utility relocation, demolition, and furnishing and equipping facilities for arterial bus rapid transit projects. The council must allocate the money among projects based on criteria in its transitway capital improvement plan including: consistency with the council's transportation policy plan; project readiness; potential current and forecasted ridership; expansion of the bus rapid transit system; availability of federal or other matching funds; coordination with other major projects; and additional criteria for priorities otherwise specified in state law or rule applicable to bus rapid transit, including state law authorizing state bond fund appropriations for a bus rapid transit project.

Subd. 5. St. Paul; Mississippi River Learning Center

8,000,000

For a grant to the city of St. Paul for design of a Mississippi River Learning Center that will be located on a site in Crosby Farm Regional Park that includes the Watergate Marina site.

Sec. 18. HUMAN SERVICES

Subdivision 1. Total Appropriation

$19,150,000

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

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Subd. 2. Asset Preservation

7,200,000

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 Water and Sewer Upgrades

1,050,000

To design upgrades and the replacement of water, sanitary, and storm sewer infrastructure at the St. Peter Campus.

Subd. 4. Early Childhood Learning and Child Protection Facilities

900,000

To the commissioner of human services for grants under Minnesota Statutes, section 256E.37, to predesign, design, construct, renovate, furnish, and equip early childhood learning facilities.

Subd. 5. Regional Behavioral Health Crisis Facilities

10,000,000

To the commissioner of human services, for grants under Minnesota Statutes, section 245G.011.

Sec. 19. VETERANS AFFAIRS

Subdivision 1. Total Appropriation

$90,125,000

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

Subd. 2. Asset Preservation

12,360,000

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

Subd. 3. Hastings Veterans Home Campus Upgrade

77,765,000

To predesign, design, construct, and equip the replacement of administrative and residential buildings and infrastructure at the Minnesota Veterans Home - Hastings Campus. This appropriation includes money to design and complete demolition of all or portions of buildings and other structures deemed unnecessary or undesirable for the development of the project, site preparation, asbestos removal and hazardous materials abatement, and the furnishing and equipping of the new buildings. The commissioner of veterans affairs may apply for federal funding for this project.

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Sec. 20. CORRECTIONS

Subdivision 1. Total Appropriation

$34,292,000

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

Subd. 2. Asset Preservation

33,800,000

For asset preservation improvement and betterments of a capital nature at the Minnesota correctional facilities statewide to be spent in accordance with Minnesota Statutes, section 16B.307.

Subd. 3. Minnesota Correctional Facility - Lino Lakes

492,000

To design renovations to an existing building, including but not limited to building system upgrades and hazardous materials abatement, at the Minnesota Correctional Facility - Lino Lakes for an incarcerated persons programming and support space.

Subd. 4. 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. 21. EMPLOYMENT AND ECONOMIC DEVELOPMENT

Subdivision 1. Total Appropriation

$16,900,000

To the commissioner of employment and economic development for the purposes specified in this section.

Subd. 2. Greater Minnesota Business Development Public Infrastructure

10,000,000

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

Subd. 3. Innovative Business Development Public Infrastructure

1,500,000

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

Subd. 4. Transportation Economic Development Infrastructure

1,500,000

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

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Subd. 5. Greater Minnesota Housing Infrastructure

3,000,000

For grants under Minnesota Statutes, section 116J.4315.

Subd. 6. Greater Minnesota Child Care Facilities

900,000

For grants under Minnesota Statutes, section 116J.417.

Sec. 22. IRON RANGE RESOURCES AND REHABILITATION

$12,229,000

To the Department of Iron Range Resources and Rehabilitation to acquire, upgrade, construct, and install a snowmaking infrastructure system, including associated equipment, that will replace aging water lines at Giants Ridge and aid in fire suppression.

Sec. 23. PUBLIC FACILITIES AUTHORITY

Subdivision 1. Total Appropriation

$235,390,000

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

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

41,000,000

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

87,200,000

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

(b) $52,000,000 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) $35,200,000 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 in a fiscal year, 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.

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Subd. 4. Point Source Implementation Grants Program

80,000,000

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. Lead Service Line Replacement

10,000,000

For grants to replace the publicly owned portion of drinking water lead service lines under Minnesota Statutes, section 446A.077.

Subd. 6. Arden Hills; Water and Sewer Improvements

510,000

For a grant to the city of Arden Hills to construct water main and sanitary sewer replacement and improvements at the intersection of County Road E and Old Highway 10 (also known as Snelling Avenue North or County State-Aid Highway 76).

Subd. 7. Mankato; Water Treatment

11,580,000

For a grant to the city of Mankato for site preparation and to construct upgrades to the city's regional water resource recovery facility, including the disinfection upgrades improving water quality of the discharge to the Minnesota River.

Subd. 8. Medicine Lake; Public Water System

3,500,000

For a grant to the city of Medicine Lake to design and construct capital improvements to the Medicine Lake public water system to meet Department of Health drinking water standards. This appropriation includes construction and reconstruction of drinking water and wastewater collection systems, associated street improvements, and improvements for hydrant fire safety and suppression.

Subd. 9. Osseo; Lift Stations

1,600,000

For a grant to the city of Osseo to predesign, design, construct, and equip the renovation of three lift stations in the city of Osseo, including replacement of the HVAC systems, replacement of and upgrades to the equipment, and improvements to ensure the structural soundness of the lift stations.

Sec. 24. MINNESOTA HOUSING FINANCE AGENCY

$72,000,000

To the Minnesota Housing Finance Agency 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

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financed by the federal government and publicly owned. Priority may be given to proposals that maximize nonstate resources to finance the capital costs and requests that prioritize health, safety, and energy improvements. 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

$6,000,000

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

Subd. 2. Historic Sites Asset Preservation

5,000,000

For capital improvements and betterments at state historic sites, 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.

Subd. 3. County and Local Preservation Grants

1,000,000

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.

Sec. 26. BOND SALE EXPENSES

$1,564,000

To the commissioner of management and budget from the bond proceeds fund for bond sale expenses under Minnesota Statutes, section 16A.641, subdivision 8.

Sec. 27. BOND SALE AUTHORIZATION.

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 $1,372,535,000 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 act 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 $195,000,000 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. 28. CANCELLATIONS; BOND SALE AUTHORIZATION REDUCTIONS.

The amounts of the general obligation bond proceeds appropriations listed in the cancellation report submitted to the legislature in January 2023, pursuant to Minnesota Statutes, section 16A.642, are canceled on the effective date of this section, with the exception of appropriations and related bond sale authorizations that are extended in article 2. The corresponding bond sale authorizations are reduced by the same amounts.

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Sec. 29. 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, 2025, no more than $1,188,684,000 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. 30. EFFECTIVE DATE.

This article is effective the day following final enactment.

ARTICLE 2

MISCELLANEOUS

Section 1. Minnesota Statutes 2022, section 16A.966, subdivision 2, is amended to read:

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 $30,400,000 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.

(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.

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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.

(g) Notwithstanding section 16A.642, the bond authorization and appropriation of bond proceeds for this project are available until December 31, 2027.

Sec. 2. Minnesota Statutes 2022, section 116J.417, subdivision 2, is amended to read:

Subd. 2. Creation of accounts. Two greater Minnesota child care facility capital grant accounts are created. One account is created in the ~~special revenue~~ 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.

Sec. 3. [116J.4315] GREATER MINNESOTA HOUSING INFRASTRUCTURE GRANT PROGRAM.

Subdivision 1. Grant program established. The commissioner may make grants to counties and cities to provide up to 50 percent of the capital costs of public infrastructure necessary for an eligible workforce housing development project. The commissioner may make a grant award only after determining that nonstate resources are committed to complete the project. The nonstate contribution may be either cash or in kind. In-kind contributions may include the value of the site.

Subd. 2. Definitions. (a) For purposes of this section, the following terms have the meanings given.

(b) "City" means a statutory or home rule charter city located outside the metropolitan area, as defined in section 473.121, subdivision 2.

(d) "Public infrastructure" means publicly owned physical infrastructure necessary to support housing development projects, including but not limited to sewers, water supply systems, utility extensions, streets, wastewater treatment systems, storm water management systems, and facilities for pretreatment of wastewater to remove phosphorus.

Subd. 3. Eligible projects. Public infrastructure eligible for a grant under this section may be single-family or multifamily housing developments, owner-occupied or rental.

Subd. 4. Application. (a) The commissioner must develop forms and procedures for soliciting and reviewing applications for grants under this section. At a minimum, a county or city must include in its application a resolution of the county or city council certifying that the required nonstate match is available. The commissioner must evaluate complete applications for funding for eligible projects to determine that:

(1) the project is necessary to increase sites available for housing development that will provide adequate housing stock for the current or future workforce; and

(2) the increase in workforce housing will result in substantial public and private capital investment in the county or city in which the project would be located.

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(b) The determination of whether to make a grant for a site is within the discretion of the commissioner, subject to this section. The commissioner's decisions and application of the criteria are not subject to judicial review, except for abuse of discretion.

Subd. 5. Maximum grant amount. A county or city may receive no more than $20,000 per lot for single‑family, duplex, triplex, or four-plex housing developed, and no more than $50,000 per lot for multifamily housing with more than four units per building. A county or city may receive no more than $500,000 in two years for one or more housing developments.

Sec. 4. Minnesota Statutes 2022, 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 ~~$300,000~~ $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. 5. Minnesota Statutes 2022, section 174.38, subdivision 1, is amended to read:

Subdivision 1. Definitions. (a) For purposes of this section, the following terms have the meanings given them.

(b) "Active transportation" means bicycling, pedestrian activities, and other forms of nonmotorized transportation.

(c) "Bond-eligible costs" means expenditures under subdivision 6, clause (1), for publicly owned infrastructure in this state with a useful life of at least ten years.

~~(c)~~ (d) "Commissioner" means the commissioner of transportation.

Sec. 6. Minnesota Statutes 2022, section 174.38, subdivision 3, is amended to read:

Subd. 3. Active transportation account. (a) An active transportation account is established in the special revenue fund. The account consists of funds provided by law and any other money donated, allotted, transferred, or otherwise provided to the account. Money in the account must be expended only on a project that receives financial assistance under this section.

(b) An active transportation account is established in the bond proceeds fund. The account consists of state bond proceeds appropriated to the commissioner. Money in the account may only be expended on bond-eligible costs of a project receiving financial assistance as provided under this section. Money in the account may only be expended on a project that is publicly owned.

(c) An active transportation account is established in the general fund. The account consists of money as provided by law and any other money donated, allotted, transferred, or otherwise provided to the account. Money in the account may only be expended on a project receiving financial assistance as provided under this section.

Sec. 7. [446A.077] LEAD SERVICE LINE REPLACEMENT GRANT PROGRAM.

Subdivision 1. Establishment. The authority must establish a program to provide grants to eligible recipients for lead service line replacement, subject to the limitations in this section.

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Subd. 2. Eligible recipients. (a) The following are eligible recipients of funds in the program:

(1) community public water suppliers of a community water system as defined in Code of Federal Regulations, title 40, section 141.2, as amended;

(2) municipalities;

(3) suppliers of other residential drinking water systems; and

(4) any applicant eligible for loans and grants under the federal Safe Drinking Water Act.

(b) An eligible recipient of a grant provided under this program funded with money appropriated from the bond proceeds fund must be a political subdivision of the state.

Subd. 3. Eligible uses. (a) An eligible recipient may use a grant provided under this program for:

(1) removing and replacing lead drinking water service lines; or

(2) performing necessary construction activities required for and associated with the removal and replacement of lead service lines.

(b) A grant provided under this program funded with money appropriated from the bond proceeds fund must only be used for publicly owned property.

Subd. 4. Required removal or replacement of privately owned lead service lines. (a) At least 70 percent of the funds made available under a grant must be used for the purposes of removing privately owned portions of lead drinking water service lines or installing privately owned portions of drinking water service lines.

(b) A grant under the program funded with money appropriated from the bond proceeds fund is not subject to the limitations under paragraph (a).

Subd. 5. Grant priorities. In prioritizing the expenditure of grant money received under this section, the authority must give priority to applications that utilize the funds as part of a plan to remove all lead service lines within a municipality or residential drinking water system.

Subd. 6. Report. By March 30, 2024, the authority shall submit a report on this grant program to the chairs and ranking minority members of the legislative committees with jurisdiction over capital investment, health, and environment. The report must include, at a minimum, details about awards made, applications submitted, and lead service lines removed.

Sec. 8. Laws 2018, chapter 214, article 1, section 7, subdivision 7, is amended to read:

Subd. 7. Chester Woods State Trail

2,500,000

To complete construction and paving of phase one of the Chester Woods State Trail from the city of Rochester to Chester Woods Park in Olmsted County. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds in this subdivision are available until December 31, 2026.

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Sec. 9. Laws 2018, chapter 214, article 1, section 7, subdivision 9, is amended to read:

Subd. 9. Glendalough State Park

750,000

To predesign, design, and construct a Visitor and Trail Center in Glendalough State Park. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2023.

Sec. 10. Laws 2018, chapter 214, article 1, section 7, subdivision 11, is amended to read:

Subd. 11. Mill Towns State Trail

500,000

For acquisition ~~and~~, design, and construction of the Mill Towns State Trail between the cities of Faribault and Waterford. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2026.

Sec. 11. Laws 2018, chapter 214, article 1, section 7, subdivision 18, is amended to read:

Subd. 18. St. Louis and Lake Counties Regional Railroad Authority - Mesabi Trail

1,138,000

For a grant to the St. Louis and Lake Counties Regional Railroad Authority to continue construction of the Mesabi Trail, starting near Whalston Road and going toward the city of Tower for approximately ~~4.5~~ 2.0 miles. Notwithstanding Minnesota Statutes, section 16A.642, the bond authorization and appropriation of bond proceeds for this project are available until December 31, 2026.

Sec. 12. Laws 2018, chapter 214, article 1, section 16, subdivision 14, is amended to read:

Subd. 14. Wadena - U.S. Highway 10 Environmental Cleanup

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 Wadena for environmental analysis and environmental cleanup and construction of storm water drainage within the marked U.S. Highway 10 corridor in the city of Wadena. Notwithstanding Minnesota Statutes, section 16A.642, the bond authorization and appropriation of bond proceeds for this project are available until December 31, 2026.

Sec. 13. Laws 2018, chapter 214, article 1, section 17, subdivision 7, as amended by Laws 2019, chapter 2, article 2, section 5, is amended to read:

Subd. 7. White Bear Lake Trail and Route

4,000,000

(a) To the Metropolitan Council for grants to complete design and construction of a multiuse paved trail and route for pedestrians, bicycles, and wheelchairs around White Bear Lake in Ramsey and Washington Counties.

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(b) $2,600,000 of this appropriation is for a grant to Ramsey County to design and construct trail improvements, consistent with the completed preliminary engineering, along South Shore Boulevard between White Bear Avenue and marked Trunk Highway 120 and to pave an existing dirt path within the Ramsey County Beach and Water Park from the entrance to the park at Highway 96 to the northeast edge of the park.

(c) $1,400,000 of this appropriation is for a grant to the city of Mahtomedi to design, construct, and equip elements of the trail and route along or proximate to Birchwood Road, Wildwood Beach Road, and on or in the proximity of Briarwood Road, consistent with the completed preliminary engineering, and final design and specification, subject to approval of the commissioner of transportation with regard to elements of the trail and route that are within or adjacent to the right-of-way of marked Trunk Highway 244.

(d) Up to $70,000 of the amount remaining after substantial completion of the project described in paragraph (c) is for a grant to the city of Birchwood Village to predesign, design, construct, furnish, and equip a Lake Links Trail segment extending through the city of Birchwood Village and connecting to Lakes Links Trail segments in adjacent communities to complete a loop around White Bear Lake.

(e) Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for these projects are available until December 31, 2024.

Sec. 14. Laws 2018, chapter 214, article 1, section 18, subdivision 5, is amended to read:

Subd. 5. Regional Behavioral Health Crisis Facility Grants

28,100,000

To the commissioner of human services for behavioral health crisis program facilities grants under Minnesota Statutes, section 245G.011. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this appropriation are available until December 31, 2024.

Sec. 15. Laws 2018, chapter 214, article 1, section 21, subdivision 17, is amended to read:

Subd. 17. Minneapolis - American Indian Center

5,000,000

From the general fund in fiscal year 2019 for a grant to the Minneapolis American Indian Center to design, construct, furnish, and equip the renovation and expansion of the center on Franklin Avenue. This project includes: demolition work; improvements and additions to, or replacement of, the mechanical, electrical, plumbing, heating, ventilating, and air conditioning systems; repairs to the existing roof and exterior enclosure; required site improvements; general renovation of interior spaces; and

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expansion of the cafe space, the event spaces, and the performance spaces. Notwithstanding Minnesota Statutes, section 16A.642, the bond authorization and appropriation of bond proceeds for this project are available until December 31, 2024.

Sec. 16. Laws 2018, chapter 214, article 1, section 21, subdivision 29, as amended by Laws 2020, Fifth Special Session chapter 3, article 5, section 34, is amended to read:

Subd. 29. Wabasha - National Eagle Center and Wabasha Riverfront Revitalization

8,000,000

(a) $1,500,000 of this appropriation is for a grant to the city of Wabasha to predesign the renovation and expansion of the National Eagle Center in order to expand program and exhibit space, and increase aviary space for eagles, and to design and construct improvements to the riverfront in Wabasha for infrastructure, large vessel landing areas and docks, and public access and program areas.

(b) $2,500,000 of this appropriation is for a grant to the city of Wabasha to acquire land, design, renovate, construct, furnish, and equip the National Eagle Center in order to expand the program space, gift shop, and exhibit space, and increase aviary space for eagles. If the acquisition of land, design, renovation, construction, furnishing, and equipping of the National Eagle Center expansion of its program space, gift shop, exhibit space, and aviary space is complete, the City of Wabasha may use any remaining money from this appropriation toward the renovation of the historical buildings on Main Street.

(c) $4,000,000 of this appropriation is for a grant to the city of Wabasha to predesign, design, construct, renovate, furnish, and equip the new auditorium, expansion of the Preston Cook Exhibit, and final renovation of the historical buildings on Main Street.

(d) Notwithstanding Minnesota Statutes, section 16A.642, the bond authorization and appropriation of bond proceeds for the projects described in paragraphs (a) to (c) are available until December 31, 2026.

Sec. 17. Laws 2020, Fifth Special Session chapter 3, article 1, section 7, subdivision 12, is amended to read:

Subd. 12. Heartland State Trail; Detroit Lakes to Frazee Segment

2,000,000

For land acquisition, final engineering, ~~and~~ design, and construction of the proposed Heartland State Trail between its current terminus at Becker County CSAH 10 and Trunk Highway 87 in Frazee, and for the construction of a trail bridge over Becker County CSAH 10.

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Sec. 18. Laws 2020, Fifth Special Session chapter 3, article 1, section 7, subdivision 24, is amended to read:

Subd. 24. ~~Scott County~~ McMahon Lake Improvement District; McMahon Lake Flood Mitigation

600,000

For the state share of a flood hazard mitigation grant to ~~Scott County~~ the McMahon Lake Improvement District for publicly owned capital improvements to prevent or alleviate flood damage on McMahon Lake under Minnesota Statutes, section 103F.161, subject to Minnesota Statutes, section 16A.695.

Sec. 19. Laws 2020, Fifth Special Session chapter 3, article 1, section 15, subdivision 6, is amended to read:

Subd. 6. Edina; South Metro Public Safety Training Facility

1,000,000

For a grant to the city of Edina to predesign, design, construct, expand, renovate, furnish, and equip a tactical training building at the South Metro Public Safety Training Facility to provide year‑round flexible space for different training scenarios. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2027.

Sec. 20. Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 4, is amended to read:

Subd. 4. Anoka County; Marked U.S. Highway 10/169

8,400,000

From the bond proceeds account in the state transportation fund as provided in Minnesota Statutes, section 174.50, for a grant to Anoka County for environmental analysis, preliminary engineering, ~~and~~ final design, and construction for the interchanges on marked U.S. Highway 10/169 at County State-Aid Highway 56 (Ramsey Boulevard) and County State-Aid Highway 57 (Sunfish Lake Boulevard) and the associated railroad grade separations, frontage roads, backage roads, and connecting local streets to support the U.S. Highway 10/169 improvements in the city of Ramsey.

Sec. 21. Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 11, is amended to read:

Subd. 11. 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 analysis, and final design 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.

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Sec. 22. Laws 2020, Fifth Special Session chapter 3, article 1, section 16, subdivision 26, is amended to read:

Subd. 26. Rochester International Airport Runway and Associated Improvements

11,400,000

(a) The following appropriations are for one or more grants to the city of Rochester for improvements to the Rochester International Airport. If any of these appropriations for a specified phase is not needed to complete that phase, the unexpended and unencumbered amount may be applied to another phase of the Rochester Airport project for which an appropriation is made in this subdivision. Each appropriation for a phase is available when the commissioner of management and budget determines that an amount sufficient to complete that phase is committed to the project.

(b) $2,900,000 is appropriated for Phase 2, for property acquisition; site mitigation; petroleum pipeline relocation and all associated predesign and design at the Rochester International Airport.

(c) $460,000 is appropriated for Phase 3, for relocation of 31st Ave. SW and 90th Street; utility relocation; grading and drainage improvements; to modify airport fencing and all associated predesign and design at the Rochester International Airport.

(d) $1,000,000 is appropriated for Phase 4, for removal of taxiways; reconstruction of the southern portion of Runway 2 and adjacent Taxiway B including paved shoulders; installation of lighting and signage and all associated predesign and design at the Rochester International Airport.

(e) $1,270,000 is appropriated for Phase 5, to modify airport fencing; construct an extension of Runway 2 and Taxiway B including paved shoulders; construct paved shoulders on the remaining portion of Runway 2 located south of the runway-runway intersection; acquisition and installation of navigational aids; installation of lighting and signage and all associated predesign and design at the Rochester International Airport.

(f) $3,670,000 is appropriated for Phase 6, to demolish and reconstruct a portion of Taxiway B including paved shoulders; to reposition navigational aids; acquire and install instrument approach improvements; for grading and drainage improvements; installation of lighting and signage and all associated predesign and design at the Rochester International Airport.

(g) $2,100,000 is appropriated for Phase 7, to reconstruct taxiway and runway intersections; to remove Taxiways A6, E, F, G and a portion of Runway 20; to reconstruct Taxiway D; for grading and drainage improvements; installation of lighting and signage and all associated predesign and design at the Rochester International Airport.

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(h) Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for the projects described in paragraphs (a) to (g) are available until December 31, 2028.

Sec. 23. Laws 2020, Fifth Special Session chapter 3, article 1, section 17, subdivision 7, is amended to read:

Subd. 7. Dakota County; Veterans Memorial Greenway

5,000,000

For a grant to Dakota County ~~to construct improvements~~ for the acquisition of land and right-of-way, design, engineering, and construction for the Veterans Memorial Greenway, including pedestrian safety-related improvements, memorials, a community gathering space, and a new trail connection between Lebanon Hills Regional Park and the Mississippi River.

Sec. 24. Laws 2020, Fifth Special Session chapter 3, article 1, section 20, subdivision 11, is amended to read:

Subd. 11. Prairie Lake Youth JPB; School and Recreation Center

2,500,000

For a grant to the Prairie Lake Youth Joint Powers Board to predesign, design, construct, furnish, and equip an indoor recreation and educational building adjoining the current building for the Prairie Lakes Youth Program. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2027.

Sec. 25. Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 46, is amended to read:

Subd. 46. 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. Notwithstanding Minnesota Statutes, section 16A.642, the bond sale authorization and appropriation of bond proceeds for this project are available until December 31, 2026.

Sec. 26. Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 48, is amended to read:

Subd. 48. Wright County; Dental Care Facility

1,400,000

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 within a building ~~constructed for this purpose by the county~~ on the Wright County Government Center campus in the city of Buffalo. The county may enter into an agreement under Minnesota Statutes, section 16A.695, for operation of the dental clinic.

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Sec. 27. Laws 2020, Fifth Special Session chapter 3, article 1, section 22, subdivision 33, as amended by Laws 2021, First Special Session chapter 9, section 42, is amended to read:

Subd. 33. Vernon Center; Water Infrastructure Improvements

7,984,000

For a grant to the city of Vernon Center to predesign, design, construct, furnish, and equip ~~water and wastewater treatment facilities,~~ water distribution, sanitary sewer, and storm water collection systems, and related local road improvements.

Sec. 28. Laws 2020, Fifth Special Session chapter 3, article 3, section 2, subdivision 2, is amended to read:

Subd. 2. Hmong American Farmers Association

2,000,000

(a) For a grant to the Hmong American Farmers Association to purchase approximately 155 acres in Dakota County that the association has leased since 2014, including buildings and improvements on the property.

(b) Upon completion of the purchase of the 155 acres in Dakota County, any unspent portion of this appropriation remaining, after written notice to the commissioner of management and budget, is available to purchase additional farmland. Notwithstanding Minnesota Statutes, section 16A.642, this appropriation is available until December 31, 2026.

(c) Notwithstanding any law to the contrary, a municipality, county, or the state shall not take or condemn land purchased pursuant to this subdivision without the express consent of the property owner.

Sec. 29. Laws 2021, First Special Session chapter 14, article 11, section 42, is amended to read:

Sec. 42. APPROPRIATION; MEAT PROCESSING BUSINESSES IN REDEVELOPMENT AREA.

Of an appropriation in fiscal year 2022 for the targeted community capital project grant program under Minnesota Statutes, section 116J.9924, the commissioner of employment and economic development must grant $6,000,000 to the city of South St. Paul for ~~one or more grants to any~~ a grant to a business engaged in the meat processing industry and currently conducting operations in a building or buildings constructed on or before January 1, 1947, and located in a city of the second class that was designated as a redevelopment area by the United States Department of Commerce under the Public Works and Economic Development Act of 1965, Public Law 89-136, title IV, section 401(a)(4) the city of South St. Paul. ~~This appropriation includes:~~ The grant proceeds may be used for one or more of the following: site acquisition costs; relocation costs; predesign; design; sewer, water, and stormwater infrastructure; site preparation; engineering; and the cost of improvements to real property locally zoned to allow a meat processing land use that are incurred by any qualified business under this section. A grantee under this section must work in consultation with a local government unit with jurisdiction over the area where the property is located on activities funded by the grant. This is a onetime appropriation. ~~A grant issued under this section is not subject to the grant requirements under Minnesota Statutes, section 116J.9924~~.

Sec. 30. CONVEYANCE AUTHORIZED.

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Subdivision 1. Conveyance authorized. (a) Notwithstanding Minnesota Statutes, sections 16A.695, 16B.281 to 16B.287, 92.45, 94.09, and 94.10, any state law, administrative rule, or commissioner's order to the contrary, and the appropriation of state general obligation bond proceeds in Laws 2005, chapter 20, article 1, section 7, subdivision 24, to the commissioner of natural resources, the parcels described in subdivision 2 may be conveyed for no consideration to the city of Two Harbors for outdoor recreation facilities. The commissioner may convey the parcels described in subdivision 2 subject to the state's reservation of an access easement if the commissioner determines that reservation of an access easement is necessary or beneficial for access to any state-owned or state‑administered property. Notwithstanding any provision of this section to the contrary, the real property shall continue to be considered state bond-financed property after the conveyance of the real property to the city of Two Harbors and until all the requirements are satisfied for the real property to no longer be considered state bond‑financed property. The city of Two Harbors must operate the state bond-financed property in compliance with Minnesota Statutes, section 16A.695, and all applicable state and federal laws, and in a manner that will not cause the interest on the state general obligation bonds to be subject to federal income taxation for any reason.

(b) The conveyance shall be in a form approved by the attorney general. The attorney general may make changes to the legal description to correct errors and ensure accuracy.

(c) The commissioner of natural resources has determined that the parcels are no longer needed for any state purpose and that the state’s interests would best be served if the parcels were conveyed to the city of Two Harbors.

Subd. 2. Parcels. The two parcels of property conveyed in subdivision 1 are as follows:

(1) that part of Government Lot 1, Section 1, Township 52 North, Range 11 West of the Fourth Principal Meridian, Lake County, Minnesota, lying southerly and easterly of the following described lines: commencing at the center east 1/16 corner; thence along the North-South 1/16 line on an assumed bearing of North 00 degrees 46 minutes 07 seconds East 144.23 feet; thence North 67 degrees 30 minutes 43 seconds West 385.00 feet; thence North 22 degrees 29 minutes 17 seconds East 24.00 feet; thence South 67 degrees 30 minutes 43 seconds East 385.00 feet; thence easterly a distance of 232.90 feet along a tangential curve concave to the North having a radius of 611.85 feet and central angle of 21 degrees 48 minutes 36 seconds; thence South 89 degrees 19 minutes 19 seconds East 1,015.67 feet; thence South 00 degrees 40 minutes 41 seconds West 35.00 feet; thence South 89 degrees 19 minutes 19 seconds East 73.08 feet to the east line of said Government Lot 1 and the point of beginning of said line; thence North 89 degrees 19 minutes 19 seconds West 877.08 feet; thence North 00 degrees 40 minutes 41 seconds East 11.00 feet; thence North 89 degrees 19 minutes 19 seconds West 28.86 feet; thence South 00 degrees 51 minutes 25 seconds West 19.82 feet to a ¾-inch by 24-inch rebar marked “MN DNR LS 16098” (DNR monument); thence continuing South 00 degrees 51 minutes 25 seconds West 484.06 feet to a DNR monument; thence continuing South 00 degrees 51 minutes 25 seconds West 78 feet, more or less to the shore of Lake Superior and there terminating; containing 14.5 acres, more or less (parcel identification number 23-7600-01415); and

(2) that part of Government Lot 3, Section 6, Township 52 North, Range 10 West of the Fourth Principal Meridian, described as follows: commencing at the West Quarter corner of said Section 6 (northwest corner of said Government Lot 3); thence North 88 degrees 43 minutes 09 seconds East along the north line of said Government Lot 3 a distance of 485.19 feet; thence South 00 degrees 20 minutes 34 seconds East a distance of 16 feet, more or less, to the south line of the northerly 16 feet of said Government Lot 3, being the point of beginning of the parcel described herein; thence continuing South 00 degrees 20 minutes 34 seconds East a distance of 584 feet, more or less, to a line lying within 600 feet and South of the North boundary of said Government Lot 3; thence westerly, along said line, to the west line of said Government Lot 3; thence northerly, along the west line of the said Government Lot 3 to the south line of the northerly 16 feet of said Government Lot 3; thence easterly along the south line of the northerly 16 feet of said Government Lot 3 to the point of beginning; except minerals (parcel identification number 23-7600-06605).

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Sec. 31. EFFECTIVE DATE.

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; establishing new programs and modifying existing programs; modifying prior appropriations; authorizing the sale and issuance of state bonds; authorizing the conveyance of state bond-financed property; requiring reports; appropriating money; amending Minnesota Statutes 2022, sections 16A.966, subdivision 2; 116J.417, subdivision 2; 134.45, subdivision 5; 174.38, subdivisions 1, 3; Laws 2018, chapter 214, article 1, sections 7, subdivisions 7, 9, 11, 18; 16, subdivision 14; 17, subdivision 7, as amended; 18, subdivision 5; 21, subdivisions 17, 29, as amended; Laws 2020, Fifth Special Session chapter 3, article 1, sections 7, subdivisions 12, 24; 15, subdivision 6; 16, subdivisions 4, 11, 26; 17, subdivision 7; 20, subdivision 11; 21, subdivisions 46, 48; 22, subdivision 33, as amended; article 3, section 2, subdivision 2; Laws 2021, First Special Session chapter 14, article 11, section 42; proposing coding for new law in Minnesota Statutes, chapters 116J; 446A.”

With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.

The report was adopted.

Lee, F., from the Committee on Capital Investment to which was referred:

H. F. No. 670, A bill for an act relating to capital investment; appropriating money for the library construction 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:

"Section 1. CAPITAL IMPROVEMENT APPROPRIATIONS.

The sums shown in the column under "Appropriations" are appropriated from the general fund in fiscal year 2024 to the state agencies or officials indicated, to be spent for public purposes. These are onetime appropriations. Money appropriated in this act is available until the project is completed or abandoned, subject to Minnesota Statutes, section 16A.642.

APPROPRIATIONS

Sec. 2. EDUCATION

$185,000,000

To the commissioner of education for library construction grants under Minnesota Statutes, section 134.45.

Sec. 3. DEPARTMENT OF NATURAL RESOURCES

Subdivision 1. Total Appropriation

$5,501,000

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

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Subd. 2. Moorhead; Flood Hazard Mitigation

3,626,000

For a grant to the city of Moorhead to design, construct, and equip flood mitigation infrastructure. This appropriation includes money for Phase 2 of the North Moorhead levee project, the relocation of sanitary lift station #2, and a levee project along First Avenue North.

Subd. 3. Rochester; Willow Creek Trail

1,875,000

For a grant to the city of Rochester to predesign, design, engineer, construct, furnish, and equip a paved trail to extend the Rochester Trail network approximately 2.5 miles from 28th Street SE to Gamehaven Regional Park and the future extension of the Bluestem Trail to Stewartville. This project includes a trail crossing under U.S. Highway 52, property/easement acquisition, trail rehabilitation, creek crossing, trail construction, installation of trail wayfinding and rest areas, and a trailhead located at Gamehaven Regional Park.

Sec. 4. PUBLIC SAFETY

Subdivision 1. Total Appropriation

$1,350,000

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

Subd. 2. State Patrol Headquarters

350,000

To the commissioner of administration to predesign a Minnesota State Patrol headquarters building and related storage and training facilities.

Subd. 3. Edina; South Metro Public Safety Center

1,000,000

For a grant to the city of Edina for the South Metro Public Safety Training Facility project. This appropriation is in addition to the appropriation in Laws 2020, Fifth Special Session chapter 3, article 1, section 15, subdivision 6, for the same purpose.

Sec. 5. AMATEUR SPORTS COMMISSION

$4,000,000

To the Minnesota Amateur Sports Commission for grants under Minnesota Statutes, section 240A.20, subdivision 2, clause (2), to predesign, design, construct, furnish, and equip skate parks. Design work must be by designers with expertise in the field of skate park design. Construction must be of a skate park designed by designers with expertise in the field of skate park design.

Sec. 6. TRANSPORTATION

$1,400,000

To the commissioner of transportation for a grant to the city of Biwabik to design and construct Phase 6 of the city's infrastructure improvement project. This appropriation includes money for the

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full reconstruction of Fifth Avenue North; First Street North, from First Avenue North to Sixth Avenue North; and Sixth Avenue South, including all associated utilities and other capital improvements.

Sec. 7. METROPOLITAN COUNCIL

Subdivision 1. Total Appropriation

$29,355,000

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

Subd. 2. St. Paul; Lower Phalen Creek Project

2,500,000

For a grant to the Lower Phalen Creek Project to construct the Wakan Tipi Center in St. Paul, including construction of a reception area, classrooms, permanent and temporary exhibit space, community gathering area, and gallery space. This appropriation is in addition to the appropriation in Laws 2020, Fifth Special Session chapter 3, article 1, section 17, subdivision 11, for the same purpose.

Subd. 3. Dakota County; Minnesota River Greenway

5,000,000

For a grant to Dakota County for right-of-way acquisition and for predesign, design, engineering, and construction of pedestrian safety-related improvements, including grade-separated crossings of railroads and multilane highways in Dakota County. This appropriation includes money for the Minnesota River Regional Greenway in Fort Snelling State Park.

Subd. 4. Minneapolis Park Board; Grand Rounds Missing Link

6,000,000

For a grant to the Minneapolis Park and Recreation Board to design and construct trail connections for the Grand Rounds Missing Link on the east side of Minneapolis between East River Road and St. Anthony Parkway.

Subd. 5. Minnetonka; Hopkins Crossroad Trail

1,635,000

For a grant to the city of Minnetonka to acquire property, complete predesign and design, construct, furnish, and equip a new off-street, multiuse trail along County State-Aid Highway 73, Hopkins Crossroad, from Cedar Lake Road to Wayzata Boulevard and Hillside Lane east of Hopkins Crossroad. This appropriation may be used for utility relocation to accommodate the trail.

Subd. 6. Minnetonka; Opus Public Space

725,000

For a grant to the city of Minnetonka to acquire property, predesign, and design a public space including a linear plaza, an interactive art and play area, a splash pad, a dog park, a great lawn,

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an amphitheater, shelters, trail connections, a bike share space, a bike parking space, and an overlook at a site adjacent to the Southwest Light Rail Transit Opus station.

Subd. 7. Ramsey County; Bruce Vento Regional Trail

5,000,000

For a grant to Ramsey County to construct a 2.7-mile extension of the Bruce Vento Regional Trail between Buerkle Road and the intersection of Hoffman Road/Trunk Highway 61 in the city of White Bear Lake.

Subd. 8. Ramsey County; Park at Riversedge

6,220,000

For a grant to Ramsey County to acquire property for and to predesign and design a public realm in the city of St. Paul over a portion of Shepard Road and adjacent rail lines, including related infrastructure.

Subd. 9. Three Rivers Park District; Mississippi Gateway Regional Park

3,000,000

For a grant to the 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 restoration, visitor center, classroom space, and site amenities. This appropriation is in addition to the appropriation under Laws 2020, Fifth Special Session chapter 3, article 1, section 17, subdivision 12.

Sec. 8. HUMAN SERVICES

Subdivision 1. Total Appropriation

$24,956,000

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

Subd. 2. St. Peter Regional Treatment Center Campus; Phase 2

21,568,000

To design, renovate, construct, 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 Center. This appropriation includes money to design, renovate, construct, furnish, and equip 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

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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 the buildings.

Subd. 3. Harriet Tubman Center East Renovation

3,388,000

To the commissioner of human services for a grant to Tubman to design, construct, renovate, furnish, and equip capital improvements to the Harriet Tubman Center East building in the city of Maplewood. This appropriation includes money for installation of a public elevator, partial replacement of the roof, electrical system improvements, window replacement, and the completion of a fire sprinkling system.

Any unspent portion of this appropriation remaining after completion of the projects listed in this subdivision, after written notice to the commissioner of human services, is available for additional improvements and betterments of a capital nature at the Harriet Tubman Center East building.

Sec. 9. EMPLOYMENT AND ECONOMIC DEVELOPMENT

Subdivision 1. Total Appropriation

$141,357,000

To the commissioner of employment and economic development for the purposes specified in this section.

Subd. 2. Apple Valley; Inclusive Playground

1,382,000

For a grant to the city of Apple Valley to predesign, design, construct, furnish, and equip an inclusive and accessible playground in the city of Apple Valley. "Inclusive and accessible playground" as used in this subdivision means a playground, planned and designed in partnership with community stakeholders, designed to be safe and accessible to all children including those with intellectual, developmental, or physical disabilities.

Subd. 3. Aurora; Community Center

630,000

For a grant to the city of Aurora to construct improvements and betterments of a capital nature to the community center facility. This appropriation includes major projects to preserve or replace windows, roofing, mechanical or electrical systems, utility infrastructure, safety systems, and site renovations to support ongoing operations including energy conservation and accessibility improvements.

Subd. 4. Bloomington; Public Health Facility

1,800,000

For a grant to the city of Bloomington to design a public health facility in the city of Bloomington to serve people who live and work in the cities of Bloomington, Edina, and Richfield.

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Subd. 5. Champlin; Mississippi Crossings

1,000,000

For a grant to the city of Champlin to design, construct, and equip a parking area, including related site improvements and infrastructure, for Mississippi Crossings. This appropriation includes money for charging stations for electric vehicles, an ADA-compliant trail, an event space, an outdoor performance area, and a municipal dock system.

Subd. 6. Champlin; Park Land Acquisition

1,250,000

For a grant to the city of Champlin for the acquisition of real property, as part of the city's parks and conservation initiative, along the Elm Creek Greenway Trail Corridor and adjacent to the Champlin Mill Pond.

Subd. 7. Chisholm; Ice Arena and Curling Club

3,000,000

For a grant to the city of Chisholm to predesign, design, and construct capital improvements to the existing Sports Arena and Curling Club, located in Chisholm, including replacing an existing ice plant serving both the hockey arena and the curling club, adding new heating mains and replacing curling mains, replacing the floor systems in both the hockey arena and the curling club, and installing dehumidification systems in both the hockey arena and the curling club.

Subd. 8. Duluth; Entertainment and Convention Center

5,000,000

For a grant to the Duluth Entertainment and Convention Center Authority to predesign, design, construct, furnish, and equip capital improvements and renovations to the Duluth Entertainment and Convention Center facility. This appropriation includes money for replacement of or improvements to mechanical, electrical, heating, ventilating, and air conditioning systems; life safety improvements; and improvements to the building's exterior envelope.

Subd. 9. Duluth; Spirit Mountain

13,000,000

For a grant to the city of Duluth to design and construct new facilities and to renew, replace, and repair existing facilities at the Spirit Mountain Recreation Area.

Subd. 10. Hermantown; Ice Arena

7,475,000

For a grant to the city of Hermantown to predesign, design, construct, furnish, and equip an expansion and improvements to the hockey arena in the city of Hermantown, including adding a second sheet of indoor ice, locker rooms, dry land training area, ice plant, Zamboni room, and mezzanine, and renovating and reconfiguring existing space.

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Subd. 11. Inver Grove Heights; Heritage Village Park

2,000,000

For a grant to the city of Inver Grove Heights to predesign, design, construct, furnish, and equip an inclusive accessible play structure for children and to predesign, design, construct, furnish, and equip accessible restrooms, water fountains, and a fixed-shade structure, at Heritage Village Park.

Subd. 12. Mendota Heights; Pilot Knob

1,836,000

For a grant to the city of Mendota Heights for Oheyawahe (Pilot Knob), a culturally, historically, and environmentally important site and Dakota sacred site located at 2100 Pilot Knob Road in Mendota Heights, overlooking the confluence of the Mississippi and Minnesota Rivers, which is included on the National Register of Historic Places. This appropriation includes money to design and construct: multipurpose gathering spaces, interpretation structures, trail connections and walkways, parking, and other visitor amenities and infrastructure; grading, landscaping, and other site and natural resource improvements including the planting and restoration of native vegetation; and other betterments necessary to provide safe and improved visitor access and preserve the site as a public natural area.

Subd. 13. Minneapolis; Central City Storm Tunnel

9,900,000

For a grant to the city of Minneapolis for construction necessary to expand the Central City Storm Tunnel in Minneapolis. This appropriation is in addition to the appropriation in Laws 2020, Fifth Special Session chapter 3, article 1, section 21, subdivision 26, for the same purpose.

Subd. 14. Oak Park Heights; Redevelopment

2,190,000

For a grant to the city of Oak Park Heights to acquire property and to predesign and design public infrastructure for development of the Allen S. King power plant site in the city. Public infrastructure includes clean water systems, sanitary sewer systems, stormwater systems, roads, trails, and sidewalks.

Subd. 15. Richfield; Wood Lake Nature Center

12,000,000

For a grant to the city of Richfield to predesign and design a new nature center building, and for the renovation of the site and trails at Wood Lake Nature Center. This appropriation may also be used for demolition costs associated with completing the project described in this subdivision.

Subd. 16. St. Paul; North End Community Center

6,000,000

For a grant to the city of St. Paul for site preparation, park enhancements, and to construct, furnish, and equip a community center in the city's North End neighborhood.

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Subd. 17. St. Paul; Conway Recreation Center

2,500,000

For a grant to the city of St. Paul for the repair, upgrade, and renovation of the existing structure; design, site preparation, and preconstruction services for an auxiliary storage facility; and improvements to increase security and safety at the Conway Community Recreation Center in the city of St. Paul.

Subd. 18. 30,000 Feet; Technical Training Center

3,500,000

For a grant to 30,000 Feet to construct a Black Arts and Tech Center in the city of St. Paul to increase the number of African American youth and families served through culturally responsive arts and technology education, social-emotional learning, and African American history and culture.

Subd. 19. Ain Dah Yung Center

2,200,000

For a grant to the Ain Dah Yung (Our Home) Center to construct, furnish, and equip the renovation of the emergency shelter and youth lodge in the city of St. Paul. The renovations include tuckpointing, electric upgrades, ADA access, emergency fire escape, and bathroom renovation for the emergency shelter. This appropriation also includes money for roof replacement, electric upgrades, and ADA access for the youth lodge.

Subd. 20. Hope 4 Youth

8,000,000

For a grant to HOPE 4 Youth to acquire property, predesign, design, construct, furnish, and equip a youth homeless drop-in center in Anoka County.

Subd. 21. Appetite For Change

1,500,000

For a grant to Appetite for Change to acquire property, predesign, and design a facility that will provide access to food, workforce development, urban agriculture, and health and wellness services in the city of Minneapolis.

Subd. 22. Avenues For Youth

2,073,000

For a grant to Avenues for Youth to acquire property, predesign, and design a new expanded facility in North Minneapolis to provide space for the organization's existing North Minneapolis emergency shelter and transitional housing program, provide affordable housing for youth, and serve as the new administrative headquarters for Avenues for Youth.

Subd. 23. Comunidades Latinas Unidas en Servicio (CLUES)

3,500,000

For a grant to Comunidades Latinas Unidas en Servicio (CLUES) to acquire property and predesign a new Latino outreach facility at 2800 East Lake Street, Minneapolis. The new Economic

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Opportunity and Wellness Hub will provide workforce training, business incubators and technical assistance, a youth technology center, behavioral health clinics, a food shelf, child care, and other high-demand community supports.

Subd. 24. Cultural Wellness Center

3,000,000

For a grant to the Cultural Wellness Center for acquisition of property; site preparation, including demolition; and improvements and betterments of a capital nature for Dreamland on 38th Street in the city of Minneapolis. This appropriation includes money for HVAC and mechanical system upgrades and storm water and utility improvements.

Subd. 25. Armory Arts and Music Center

4,500,000

(a) For a grant to the Armory Arts and Music Center to design, construct, furnish, and equip the renovation of the historic Armory in the city of Duluth.

(b) This appropriation includes money for improvements for the Music Resource Center, the North Country Creative Center, and the Food Enterprise Center; interior building improvements, including structural enhancements to meet current applicable building codes; improvements for compliance with Americans with Disabilities Act (ADA) requirements; and building systems, including mechanical, electrical, plumbing, and utility upgrades.

(c) This project must use design and construction methods to maximize consideration of energy efficiency and long-life cycle materials, while meeting the requirements of the federal National Parks Service, Secretary of Interior Standards for Rehabilitation.

(d) Due to the integrated nature of the overall development, public bidding is not required for this project.

Subd. 26. Keystone Community Services

2,300,000

For a grant to Keystone Community Services to renovate, furnish, and equip improvements to existing exterior enclosure, utilities, interior spaces, and other improvements of a capital nature for a new community food site in Ramsey County.

Subd. 27. Irreducible Grace Foundation

1,500,000

For a grant to the Irreducible Grace Foundation for demolition of 3,800 square feet of the Black Youth Healing Arts Center, and predesign and design of housing at 643 Virginia St. in St. Paul to be owned and managed by the Irreducible Grace Foundation for youth and young adults.

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Subd. 28. Isuroon

3,000,000

For a grant to Isuroon to predesign, design, construct, and renovate the property located at 1600 Lake Street, in the city of Minneapolis, to carry out the mission of the organization to support immigrant women and provide mental health counseling.

Subd. 29. Native American Community Clinic

4,500,000

(a) For a grant to the Native American Community Clinic for site preparation and construction of an expansion of the clinic in the city of Minneapolis. This appropriation includes money for medical and dental exam rooms, additional laboratory and diagnostic space, and associated capital improvements that will facilitate additional patients.

(b) This appropriation is only for the Native American Community Clinic. The Native American Community Clinic may sell real property interests on the clinic property, the purchase and construction of which were funded by this and earlier appropriations, so long as: (1) the real property interests sold do not include the clinic, and (2) the rights and interests sold will be used for the purpose of developing affordable housing for the populations served by the clinic. In addition, the Native American Community Clinic may retain any sale proceeds so long as the sale proceeds are applied to the construction and expansion of the clinic for which this appropriation is being made.

Subd. 30. Northrup King Building

1,720,000

For a grant to the city of Minneapolis for improvement and betterments of a capital nature to renovate and restore the historic Northrup King Building campus in the city of Minneapolis.

Subd. 31. Public Functionary

450,000

For a grant to Public Functionary to predesign and design a community arts center in the northeast area of the city of Minneapolis to serve Black, Indigenous, people of color, LGBTQ, and emerging artists and entrepreneurs in a multiuse arts and culture space.

Subd. 32. Somali Museum

3,900,000

For a grant to the Somali Museum to predesign and design a facility in the city of Minneapolis to be used for a museum of Somali relics and artifacts, Somali cultural history, and education.

Subd. 33. Southern Anoka Community Assistance

2,500,000

For a grant to Southern Anoka Community Assistance to predesign, design, construct, engineer, furnish, and equip a facility in the city of Columbia Heights to provide food shelf services, grocery delivery for seniors and people with disabilities, and basic needs support.

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Subd. 34. Great River Children's Museum

7,000,000

For a grant to Great River Children's Museum to construct, furnish, and equip capital improvements to renovate and expand a facility and outdoor exhibit space donated to the museum for the purpose of housing a children's museum in the city of St. Cloud.

Subd. 35. V3 Sports, Inc.

12,000,000

For a grant to V3 Sports, Inc., to predesign, design, construct, furnish, and equip a community, aquatic, sports, and event center with a 50-meter competition swimming pool in the North Minneapolis neighborhood.

Subd. 36. Walker West Music Academy

2,526,000

For a grant to Walker West Music Academy to acquire property, predesign, and design a building in the city of St. Paul to support youth music education.

Sec. 10. CANCELLATION.

The amount of the general fund appropriations listed in the cancellation report submitted to the legislature in January 2023, pursuant to Minnesota Statutes, section 16A.642, are canceled on the effective date of this section.

Sec. 11. EFFECTIVE DATE.

This act is effective the day following final enactment."

Renumber the subdivisions in sequence

Amend the appropriations by the specified amounts and correct the totals and the appropriations by fund accordingly

Renumber the sections in sequence and correct internal references

Delete the title and insert:

"A bill for an act relating to capital investment; authorizing spending to acquire and better land and buildings and for other improvements of a capital nature with certain conditions; canceling prior appropriations; appropriating money."

With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.

The report was adopted.

Klevorn from the Committee on State and Local Government Finance and Policy to which was referred:

H. F. No. 734, A bill for an act relating to local government; requiring cities to allow native landscapes on private land; prohibiting certain vegetation overgrowth within cities; proposing coding for new law in Minnesota Statutes, chapter 412.

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Reported the same back with the recommendation that the bill be placed on the General Register.

The report was adopted.

Hansen, R., from the Committee on Environment and Natural Resources Finance and Policy to which was referred:

H. F. No. 742, A bill for an act relating to environment; prohibiting the use of certain firefighting foam; allowing certain exemptions; amending Minnesota Statutes 2022, section 325F.072, subdivisions 1, 3.

Reported the same back with the following amendments:

Page 2, after line 24, insert:

"(c) This subdivision does not apply to the manufacture, sale, distribution, or use of class B firefighting foam for purposes of use at an airport, as defined under section 360.013, subdivision 39, until the state fire marshal makes a determination that:

(1) the Federal Aviation Administration has provided policy guidance on the transition to fluorine-free firefighting foam; and

(2) a fluorine-free firefighting foam product is included in the Federal Aviation Administration's Qualified Product Database.

(d) Until the state fire marshal makes a determination under paragraph (c), the operator of an airport using class B firefighting foam containing PFAS chemicals must, on or before December 31 of each calendar year, submit a report to the state fire marshal regarding the status of the airport's conversion to class B firefighting foam products without intentionally added PFAS, the disposal of class B firefighting foam products with intentionally added PFAS, and an assessment of the factors listed in paragraph (c) as applied to the airport."

Page 2, after line 25, insert:

"Sec. 3. TEMPORARY EXEMPTION FOR TERMINALS AND OIL REFINERIES.

Subdivision 1. Temporary exemption. Minnesota Statutes, section 325F.072, subdivision 3, does not apply to the manufacture, sale, distribution, or use of class B firefighting foam for the purposes of use at a terminal or oil refinery until January 1, 2026.

Subd. 2. Extension; waiver. (a) A person who operates a terminal or oil refinery may apply to the state fire marshal for a waiver to extend the exemption under subdivision 1, beyond January 1, 2026, as provided in this subdivision.

(b) The state fire marshal may grant a waiver to extend the exemption under subdivision 1 for a specific use if the applicant provides all of the following:

(1) clear and convincing evidence that there is no commercially available replacement that does not contain intentionally added PFAS chemicals and that is capable of suppressing fire for that specific use;

(2) information on the amount of firefighting foam containing intentionally added PFAS chemicals stored, used, or released on-site on an annual basis;

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(3) a detailed plan, with timelines, for the operator of the terminal or oil refinery to transition to firefighting foam that does not contain intentionally added PFAS chemicals for that specific use; and

(4) a plan for meeting the requirements under subdivision 3.

(c) The state fire marshal must ensure there is an opportunity for public comment during the waiver process. The state fire marshal must consider both information provided by the applicant and information provided through public comment when making a decision on whether to grant a waiver. The term of a waiver must not exceed two years. The state fire marshal must not grant a waiver for a specific use if any other terminal or oil refinery is known to have transitioned to commercially available class B firefighting foam that does not contain intentionally added PFAS chemicals for that specific use. All waivers must expire by January 1, 2028. A person that anticipates applying for a waiver for a terminal or oil refinery must submit a notice of intent to the state fire marshal by January 1, 2025, in order to be considered for a waiver beyond January 1, 2026. The state fire marshal must notify the waiver applicant of a decision within six months of the waiver submission date.

(d) The state fire marshal must provide an applicant for a waiver under this subdivision an opportunity to:

(1) correct deficiencies when applying for a waiver; and

(2) provide evidence to dispute a determination that another terminal or oil refinery is known to have transitioned to commercially available class B firefighting foam that does not contain intentionally added PFAS chemicals for that specific use, including evidence that the specific use is different.

Subd. 3. Use requirements. (a) A person that uses class B firefighting foam containing intentionally added PFAS chemicals under this section must:

(1) implement tactics that have been demonstrated to prevent release directly to the environment, such as to unsealed ground, soakage pits, waterways, or uncontrolled drains;

(2) attempt to fully contain all fire foams with PFAS on-site using demonstrated practices designed to contain all PFAS releases;

(3) implement containment measures such as bunds and ponds that are controlled, impervious to PFAS chemicals, and do not allow firewater, wastewater, runoff, and other wastes to be released to the environment, such as to soils, groundwater, waterways, or stormwater; and

(4) dispose of all firewater, wastewater, runoff, impacted soils, and other wastes in a way that prevents releases to the environment.

(b) A terminal or oil refinery that has received a waiver under this section may provide and use class B firefighting foam containing intentionally added PFAS chemicals in the form of mutual aid to another terminal or oil refinery at the request of authorities only if the other terminal or oil refinery also has a waiver.

EFFECTIVE DATE. This section is effective January 1, 2024.

Sec. 4. FIREFIGHTER TURNOUT GEAR; REPORT.

(a) The commissioner of the Pollution Control Agency, in cooperation with the commissioner of health, must submit a report to the chairs and ranking minority members of the legislative committees and divisions with jurisdiction over environment and natural resources regarding perfluoroalkyl and polyfluoroalkyl substances (PFAS) in turnout gear by January 15, 2024. The report must include:

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(1) current turnout gear requirements and options for eliminating or reducing PFAS in turnout gear;

(2) current turnout gear disposal methods and recommendations for future disposal to prevent PFAS contamination; and

(3) recommendations and protocols for PFAS biomonitoring in firefighters, including a process for allowing firefighters to voluntarily register for biomonitoring.

(b) For the purposes of this section, "turnout gear" is the personal protective equipment (PPE) used by firefighters.

Sec. 5. APPROPRIATION; BIOMONITORING.

$500,000 in fiscal year 2024 is appropriated from the general fund to the commissioner of the Pollution Control Agency for developing and implementing firefighter biomonitoring protocols under section 4. Of this amount, up to $250,000 may be transferred to the commissioner of health for biomonitoring of firefighters. This is a onetime appropriation and is available until June 30, 2025."

Amend the title as follows:

Page 1, line 3, after the semicolon, insert "requiring a report; appropriating money;"

With the recommendation that when so amended the bill be re-referred to the Committee on Health Finance and Policy.

The report was adopted.

Nelson, M., from the Committee on Labor and Industry Finance and Policy to which was referred:

H. F. No. 772, A bill for an act relating to the State Building Code; modifying how the energy code for new commercial buildings is adopted; amending Minnesota Statutes 2022, section 326B.106, subdivision 1.

Reported the same back with the following amendments:

Page 2, line 18, before "The" insert "The commissioner shall consider amendments to the model energy codes that mitigate the impact of climate change and reduce greenhouse gas emissions by increasing and optimizing energy efficiency and improving resiliency of new buildings and existing buildings undergoing additions, alterations, and changes of use."

Page 2, lines 21 and 22, reinstate the stricken language

Page 2, lines 22 to 24, delete the new language

Page 2, delete lines 27 to 29 and insert "The commercial energy code in effect in 2036 and thereafter must achieve an 80 percent reduction in annual net energy consumption or greater, using the ASHRAE 90.1-2004 as a baseline. The commissioner shall adopt commercial energy codes from 2024 to 2036 that incrementally move toward achieving the 80 percent reduction in annual net energy consumption. By January 15 of the year following each new code adoption, the commissioner shall make a report on progress under this section to the legislative committees with jurisdiction over the energy code."

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Page 2, after line 29, insert:

"(f) Nothing in this section shall be interpreted to limit the ability of a public utility to offer code support programs, or to claim energy savings resulting from such programs, through its energy conservation and optimization plans approved by the commissioner of commerce under section 216B.241."

With the recommendation that when so amended the bill be re-referred to the Committee on Ways and Means.

The report was adopted.

Noor from the Committee on Human Services Finance to which was referred:

H. F. No. 813, A bill for an act relating to human services; establishing home and community-based workforce incentive fund grants; establishing an awareness-building campaign for the recruitment of direct care professionals; appropriating money.

Reported the same back with the following amendments:

Page 2, after line 24, insert:

"Subd. 5. Distribution plan; report. (a) A provider agency or individual provider that receives a grant under subdivision 4 shall prepare, and upon request submit to the commissioner, a distribution plan that specifies the amount of money the provider expects to receive and how that money will be distributed for recruitment and retention purposes for eligible employees. Within 60 days of receiving the grant, the provider must post the distribution plan and leave it posted for a period of at least six months in an area of the provider's operation to which all direct support professionals have access.

(b) Within 12 months of receiving a grant under this section, each provider agency or individual provider that receives a grant under subdivision 4 shall submit a report to the commissioner that includes the following information:

(1) a description of how grant funds were distributed to eligible employees; and

(2) the total dollar amount distributed.

Renumber the subdivisions in sequence

With the recommendation that when so amended the bill be re-referred to the Committee on Workforce Development Finance and Policy.

The report was adopted.

Youakim from the Committee on Education Finance to which was referred:

H. F. No. 879, A bill for an act relating to education finance; increasing local optional revenue; linking future increases in local optional revenue to the growth in the general education basic formula allowance; appropriating money; amending Minnesota Statutes 2022, section 126C.10, subdivision 2e.

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Reported the same back with the following amendments:

Page 1, delete section 1 and insert:

"Sec. 1. Minnesota Statutes 2022, section 126C.10, subdivision 2e, is amended to read:

Subd. 2e. Local optional revenue. (a) For fiscal ~~year~~ years 2021 ~~and later~~ through 2024, local optional revenue for a school district equals the sum of the district's first tier local optional revenue and second tier local optional revenue. A district's first tier local optional revenue equals $300 times the adjusted pupil units of the district for that school year. A district's second tier local optional revenue equals $424 times the adjusted pupil units of the district for that school year.

(b) For fiscal ~~year~~ years 2021 ~~and later~~ through 2024, a district's local optional levy equals the sum of the first tier local optional levy and the second tier local optional levy.

(c) For fiscal years 2023 and 2024, a district's first tier local optional levy equals the district's first tier local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $880,000.

(d) For fiscal year 2022, a district's second tier local optional levy equals the district's second tier local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $510,000. For fiscal year 2023, a district's second tier local optional levy equals the district's second tier local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $548,842. For fiscal year 2024 ~~and later~~, a district's second tier local optional levy equals the district's second tier local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $510,000.

(e) For fiscal year 2025, a district's local optional revenue allowance equals $840. For fiscal year 2026 and later, a district's local optional revenue allowance equals the local optional revenue allowance for the previous year times the ratio of the basic formula allowance for the current year to the basic formula allowance for the previous year.

(f) For fiscal years 2025 and later, a district's local optional revenue equals the local optional revenue allowance for that year times the district's adjusted pupil units for that year.

(g) For fiscal years 2025 and later, a district's local optional levy equals the district's local optional revenue times the lesser of one or the ratio of the district's referendum market value per resident pupil unit to $957,000.

~~(e)~~ (h) The local optional levy must be spread on referendum market value. A district may levy less than the permitted amount.

~~(f)~~ (i) A district's local optional aid equals its local optional revenue minus its local optional levy. If a district's actual levy for first or second tier local optional revenue is less than its maximum levy limit for that tier, its aid must be proportionately reduced.

EFFECTIVE DATE. This section is effective for revenue for fiscal year 2025 and later."

With the recommendation that when so amended the bill be re-referred to the Committee on Taxes.

The report was adopted.

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Nelson, M., from the Committee on Labor and Industry Finance and Policy to which was referred:

H. F. No. 908, A bill for an act relating to nursing homes; establishing the Nursing Home Workforce Standards Board; establishing duties for the board; requiring training for nursing home workers; prohibiting retaliation against nursing home workers; providing for enforcement; authorizing rulemaking; authorizing civil actions by nursing home workers; amending Minnesota Statutes 2022, section 177.27, subdivisions 4, 7; proposing coding for new law in Minnesota Statutes, chapter 181.

Reported the same back with the following amendments:

Delete everything after the enacting clause and insert:

"Section 1. TITLE.

Sections 181.211 to 181.217 shall be known as the "Minnesota Nursing Home Workforce Standards Board Act."

Sec. 2. Minnesota Statutes 2022, section 177.27, subdivision 4, is amended to read:

Subd. 4. Compliance orders. The commissioner may issue an order requiring an employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.214 to 181.217, 181.275, subdivision 2a, 181.722, 181.79, and 181.939 to 181.943, or with any rule promulgated under section 177.28, 181.213, or 181.215. The commissioner shall issue an order requiring an employer to comply with sections 177.41 to 177.435 if the violation is repeated. For purposes of this subdivision only, a violation is repeated if at any time during the two years that preceded the date of violation, the commissioner issued an order to the employer for violation of sections 177.41 to 177.435 and the order is final or the commissioner and the employer have entered into a settlement agreement that required the employer to pay back wages that were required by sections 177.41 to 177.435. The department shall serve the order upon the employer or the employer's authorized representative in person or by certified mail at the employer's place of business. An employer who wishes to contest the order must file written notice of objection to the order with the commissioner within 15 calendar days after being served with the order. A contested case proceeding must then be held in accordance with sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the employer fails to file a written notice of objection with the commissioner, the order becomes a final order of the commissioner.

Sec. 3. Minnesota Statutes 2022, section 177.27, subdivision 7, is amended to read:

Subd. 7. Employer liability. If an employer is found by the commissioner to have violated a section identified in subdivision 4, or any rule adopted under section 177.28, 181.213, or 181.215, and the commissioner issues an order to comply, the commissioner shall order the employer to cease and desist from engaging in the violative practice and to take such affirmative steps that in the judgment of the commissioner will effectuate the purposes of the section or rule violated. The commissioner shall order the employer to pay to the aggrieved parties back pay, gratuities, and compensatory damages, less any amount actually paid to the employee by the employer, and for an additional equal amount as liquidated damages. Any employer who is found by the commissioner to have repeatedly or willfully violated a section or sections identified in subdivision 4 shall be subject to a civil penalty of up to $1,000 for each violation for each employee. In determining the amount of a civil penalty under this subdivision, the appropriateness of such penalty to the size of the employer's business and the gravity of the violation shall be considered. In addition, the commissioner may order the employer to reimburse the department and the attorney general for all appropriate litigation and hearing costs expended in preparation for and in conducting the contested case proceeding, unless payment of costs would impose extreme financial hardship on the employer. If the employer is able to establish extreme financial hardship, then the commissioner may order the employer to pay a percentage of the total costs that will not cause extreme financial hardship. Costs include but are

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not limited to the costs of services rendered by the attorney general, private attorneys if engaged by the department, administrative law judges, court reporters, and expert witnesses as well as the cost of transcripts. Interest shall accrue on, and be added to, the unpaid balance of a commissioner's order from the date the order is signed by the commissioner until it is paid, at an annual rate provided in section 549.09, subdivision 1, paragraph (c). The commissioner may establish escrow accounts for purposes of distributing damages.

Sec. 4. [181.211] DEFINITIONS.

Subdivision 1. Application. The terms defined in this section apply to sections 181.211 to 181.217.

Subd. 2. Board. "Board" means the Minnesota Nursing Home Workforce Standards Board established under section 181.212.

Subd. 3. Certified worker organization. "Certified worker organization" means a worker organization that is certified by the board to conduct nursing home worker trainings under section 181.214.

Subd. 4. Commissioner. "Commissioner" means the commissioner of labor and industry.

Subd. 5. Employer organization. "Employer organization" means:

(1) an organization that is exempt from federal income taxation under section 501(c)(6) of the Internal Revenue Code and that represents nursing home employers; or

(2) an entity that employers, who together employ a majority of nursing home workers in Minnesota, have selected as a representative.

Subd. 6. Nursing home. "Nursing home" means a nursing home licensed under chapter 144A, or a boarding care home licensed under sections 144.50 to 144.56.

Subd. 7. Nursing home employer. "Nursing home employer" means an employer of nursing home workers.

Subd. 8. Nursing home worker. "Nursing home worker" means any worker who provides services in a nursing home in Minnesota, including direct care staff, administrative staff, and contractors.

Subd. 9. Worker organization. "Worker organization" means an organization that is exempt from federal income taxation under section 501(c)(3), 501(c)(4), or 501(c)(5) of the Internal Revenue Code, that is not interfered with or dominated by any nursing home employer within the meaning of United States Code, title 29, section 158a(2), and that has at least five years of demonstrated experience engaging with and advocating for nursing home workers.

Sec. 5. [181.212] MINNESOTA NURSING HOME WORKFORCE STANDARDS BOARD; ESTABLISHMENT.

Subdivision 1. Board established; membership. The Minnesota Nursing Home Workforce Standards Board is created with the powers and duties established by law. The board is composed of the following voting members:

(1) the commissioner of human services or a designee;

(2) the commissioner of health or a designee;

(3) the commissioner of labor and industry or a designee;

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(4) three members who represent nursing home employers or employer organizations, appointed by the governor in accordance with section 15.066; and

(5) three members who represent nursing home workers or worker organizations, appointed by the governor in accordance with section 15.066.

Subd. 2. Terms; vacancies. (a) Board members appointed under subdivision 1, clause (4) or (5), shall serve four-year terms following the initial staggered-lot determination. The initial terms of members appointed under subdivision 1, clauses (4) and (5), shall be determined by lot by the secretary of state and shall be as follows:

(1) one member appointed under each of subdivision 1, clauses (4) and (5), shall serve a two-year term;

(2) one member appointed under each of subdivision 1, clauses (4) and (5), shall serve a three-year term; and

(3) one member appointed under each of subdivision 1, clauses (4) and (5), shall serve a four-year term.

(b) For members appointed under subdivision 1, clause (4) or (5), the governor shall fill vacancies occurring prior to the expiration of a member's term by appointment for the unexpired term. A member appointed under subdivision 1, clause (4) or (5), must not be appointed to more than two consecutive terms.

Subd. 3. Chairperson. The board shall elect a member by majority vote to serve as its chairperson and shall determine the term to be served by the chairperson.

Subd. 4. Staffing. The commissioner may employ an executive director for the board and other personnel to carry out duties of the board under sections 181.211 to 181.217.

Subd. 5. Compensation. Compensation of board members is governed by section 15.0575.

Subd. 6. Application of other laws. Meetings of the board are subject to chapter 13D. The board is subject to chapter 13. The board shall comply with section 15.0597.

Subd. 7. Voting. The affirmative vote of five board members is required for the board to take any action, including actions necessary to establish minimum nursing home employment standards under section 181.213.

Subd. 8. Hearings and investigations. To carry out its duties, the board shall hold public hearings on, and conduct investigations into, working conditions in the nursing home industry in accordance with section 181.213.

Subd. 9. Department support. The commissioner shall provide staff support to the board. The support includes professional, legal, technical, and clerical staff necessary to perform rulemaking and other duties assigned to the board. The commissioner shall supply necessary office space and supplies to assist the board in its duties.

Sec. 6. [181.213] DUTIES OF THE BOARD; MINIMUM NURSING HOME EMPLOYMENT STANDARDS.

Subdivision 1. Authority to establish minimum nursing home emplo