relating to government finance; appropriating money for transportation,
Metropolitan Council, and public safety activities and programs; providing for
fund transfers, tort claims, and certain contingent appropriations; providing
for use of revenues from metropolitan transportation area sales tax; reducing
funding for 2011 state road construction; modifying various provisions related
to transportation finance and policy; providing for surcharge; mandating and
amending legislative reports; making technical and clarifying changes;amending
Minnesota Statutes 2010, sections 16A.11, subdivision 3a; 16A.86, subdivision
3a; 161.04, by adding a subdivision; 162.06, subdivision 1; 162.12, subdivision
1; 168.013, subdivision 21; 168A.29, subdivision 1; 171.06, subdivision 2, as
amended; 174.93; 297A.992, subdivision 5, by adding a subdivision; 473.39, by
adding a subdivision; Laws 2008, chapter 363, article 11, section 6; Laws 2009,
chapter 36, article 1, section 3, subdivision 3, as amended.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1. SUMMARY OF APPROPRIATIONS.

The amounts shown in this section summarize direct appropriations, by fund, made
in this article.

			2012		2013		Total
	General	$	62,829,000	$	62,829,000	$	125,658,000
	Airports		19,609,000		21,384,000		40,993,000
	C.S.A.H.		545,109,000		572,773,000		1,117,882,000
	M.S.A.S.		145,455,000		153,484,000		298,939,000
	Special Revenue		49,088,000		49,088,000		98,176,000
	H.U.T.D.		10,406,000		10,406,000		20,812,000
	Trunk Highway		1,652,978,000		1,384,515,000		3,037,493,000
	Total	$	2,485,474,000	$	2,254,479,000	$	4,739,953,000

Sec. 2. TRANSPORTATION APPROPRIATIONS.

The sums shown in the columns marked "Appropriations" are appropriated to
the agencies and for the purposes specified in this article. The appropriations are from
the trunk highway fund, or another named fund, and are available for the fiscal years
indicated for each purpose. The figures "2012" and "2013" used in this article mean that
the appropriations listed under them are available for the fiscal year ending June 30, 2012,
or June 30, 2013, respectively. "The first year" is fiscal year 2012. "The second year" is
fiscal year 2013. "The biennium" is fiscal years 2012 and 2013. Appropriations for the
fiscal year ending June 30, 2011, are effective the day following final enactment.

				APPROPRIATIONS
				Available for the Year
				Ending June 30
					2012		2013

Sec. 3. DEPARTMENT OF TRANSPORTATION

Subdivision 1.Total Appropriation

$

2,292,520,000

$

2,061,525,000

	Appropriations by Fund
		2012	2013
	General	15,837,000	15,837,000
	Airports	19,609,000	21,384,000
	C.S.A.H.	545,109,000	572,773,000
	M.S.A.S	145,455,000	153,484,000
	Trunk Highway	1,566,510,000	1,298,047,000

The amounts that may be spent for each
purpose are specified in the following
subdivisions.

Subd. 2.Multimodal Systems

(a) Aeronautics

(1) Airport Development and Assistance

14,298,000

16,073,000

This appropriation is from the state
airports fund and must be spent according
to Minnesota Statutes, section 360.305,
subdivision 4.
The base appropriation for fiscal years 2014
and 2015 is $14,298,000 for each year.
Notwithstanding Minnesota Statutes, section
16A.28, subdivision 6, this appropriation is
available for five years after appropriation.
If the appropriation for either year is
insufficient, the appropriation for the other
year is available for it.
If the commissioner of transportation
determines that a balance remains in
the state airports fund following the
appropriations made in this article, and that
the appropriations made are insufficient
for advancing airport development and
assistance projects, an amount necessary
to advance the projects, not to exceed
the balance in the state airports fund, is
appropriated in each year to the commissioner
and must be spent according to Minnesota
Statutes, section 360.305, subdivision
4. Within two weeks of a determination
under this contingent appropriation, the
commissioner of transportation shall notify
the commissioner of management and budget
and the chairs and ranking minority members
of the legislative committees with jurisdiction
over transportation finance concerning funds
appropriated. Funds appropriated under this
contingent appropriation do not adjust the
base appropriation for fiscal years 2014 and
2015.

(2) Aviation Support and Services

6,123,000

6,123,000

	Appropriations by Fund
	Airports	5,286,000	5,286,000
	Trunk Highway	837,000	837,000

$65,000 in each year is from the state airports
fund for the Civil Air Patrol.

(b) Transit

15,798,000

15,798,000

	Appropriations by Fund
	General	15,023,000	15,023,000
	Trunk Highway	775,000	775,000

The base appropriation from the general
fund is $16,373,000 for fiscal year 2014 and
$16,292,000 for fiscal year 2015.
$100,000 in each year is from the general
fund for the administrative expenses of the
Minnesota Council on Transportation Access
under Minnesota Statutes, section 174.285.

(c) Passenger Rail

500,000

500,000

This appropriation is from the general
fund for passenger rail system planning,
alternatives analysis, environmental analysis,
design, and preliminary engineering under
Minnesota Statutes, sections 174.632 to
174.636.

(d) Freight

5,154,000

5,154,000

	Appropriations by Fund
	General	257,000	257,000
	Trunk Highway	4,897,000	4,897,000

Subd. 3.State Roads

(a) Operations and Maintenance

257,395,000

257,395,000

(b) Program Planning and Delivery

206,918,000

206,733,000

Of these appropriations, $130,000 in each
year is for administrative costs of the
targeted group business program, if a law
is enacted and effective in 2012 and 2013
that establishes a targeted group business
program for state highway construction
contracts.
$266,000 in each year is available for grants
to metropolitan planning organizations
outside the seven-county metropolitan area.
$75,000 in each year is available for a
transportation research contingent account
to finance research projects that are
reimbursable from the federal government or
from other sources. If the appropriation for
either year is insufficient, the appropriation
for the other year is available for it.
$600,000 in each year is available for
grants for transportation studies outside
the metropolitan area to identify critical
concerns, problems, and issues. These
grants are available: (1) to regional
development commissions; (2) in regions
where no regional development commission
is functioning, to joint powers boards
established under agreement of two or
more political subdivisions in the region to
exercise the planning functions of a regional
development commission; and (3) in regions
where no regional development commission
or joint powers board is functioning, to the
department's district office for that region.

(c) State Road Construction

888,000,000

595,000,000

It is estimated that these appropriations will
be funded as follows:

	Appropriations by Fund
	Federal Highway Aid	521,800,000	276,800,000
	Highway User Taxes	366,200,000	318,200,000

The commissioner of transportation shall
notify the chairs and ranking minority
members of the legislative committees with
jurisdiction over transportation finance of
any significant events that should cause these
estimates to change.
This appropriation is for the actual
construction, reconstruction, and
improvement of trunk highways, including
design-build contracts and consultant usage
to support these activities. This includes the
cost of actual payment to landowners for
lands acquired for highway rights-of-way,
payment to lessees, interest subsidies, and
relocation expenses.
The base appropriation is $679,000,000 in
fiscal year 2014 and $668,000,000 in fiscal
year 2015.
Of this appropriation, $87,000,000 in the
first year and $40,000,000 in the second year
are for highway pavement improvements
and related mobility, safety, and technology
improvements, and is available for
functions that include program management,
project development, project management,
actual construction, reconstruction, and
improvement of trunk highways, and
design-build contracts and consultant usage
to support these activities.
The commissioner may transfer up to
$20,000,000 in the first year from the
trunk highway fund to the trunk highway
economic development account established
under Minnesota Statutes, section 161.04,
subdivision 6.
The commissioner may expend up to one-half
of one percent of the federal appropriations
under this paragraph as grants to opportunity
industrialization centers and other nonprofit
job training centers for job training programs
related to highway construction.
The commissioner may transfer up to
$15,000,000 each year to the transportation
revolving loan fund.
The commissioner may receive money
covering other shares of the cost of
partnership projects. These receipts are
appropriated to the commissioner for these
projects.

(d) Highway Debt Service

142,764,000

167,486,000

$128,764,000 the first year and $153,486,000
the second year are for transfer to the state
bond fund. If an appropriation is insufficient
to make all transfers required in the year
for which it is made, the commissioner of
management and budget shall notify the
Committee on Finance of the senate and
the Committee on Ways and Means of the
house of representatives of the amount of the
deficiency and shall then transfer that amount
under the statutory open appropriation. Any
excess appropriation cancels to the trunk
highway fund.

(e) Electronic Communications

5,171,000

5,171,000

	Appropriations by Fund
	General	3,000	3,000
	Trunk Highway	5,168,000	5,168,000

The general fund appropriation is to equip
and operate the Roosevelt signal tower for
Lake of the Woods weather broadcasting.

Subd. 4.Local Roads

(a) County State Aids

545,109,000

572,773,000

This appropriation is from the county
state-aid highway fund under Minnesota
Statutes, sections 161.082 to 161.085; and
Minnesota Statutes, chapter 162. This
appropriation is available until spent.
If the commissioner of transportation
determines that a balance remains in the
county state-aid highway fund following
the appropriations and transfers made in
this subdivision, and that the appropriations
made are insufficient for advancing county
state-aid highway projects, an amount
necessary to advance the projects, not to
exceed the balance in the county state-aid
highway fund, is appropriated in each year
to the commissioner. Within two weeks
of a determination under this contingent
appropriation, the commissioner of
transportation shall notify the commissioner
of management and budget and the chairs
and ranking minority members of the
legislative committees with jurisdiction over
transportation finance concerning funds
appropriated.

(b) Municipal State Aids

145,455,000

153,484,000

This appropriation is from the municipal
state-aid street fund for municipal state-aid
streets under Minnesota Statutes, chapter
162. This appropriation is available until
spent.
If the commissioner of transportation
determines that a balance remains in the
municipal state-aid street fund following
the appropriations made in this subdivision,
and that the appropriations made are
insufficient for advancing municipal state-aid
street projects, an amount necessary to
advance the projects, not to exceed the
balance in the municipal state-aid street
fund, is appropriated in each year to
the commissioner. Within two weeks
of a determination under this contingent
appropriation, the commissioner of
transportation shall notify the commissioner
of management and budget and the chairs
and ranking minority members of the
legislative committees with jurisdiction over
transportation finance concerning funds
appropriated.

Subd. 5.Agency Management

(a) Agency Services

41,997,000

41,997,000

	Appropriations by Fund
	Airports	25,000	25,000
	Trunk Highway	41,972,000	41,972,000

(b) Buildings

17,838,000

17,838,000

	Appropriations by Fund
	General	54,000	54,000
	Trunk Highway	17,784,000	17,784,000

If the appropriation for either year is
insufficient, the appropriation for the other
year is available for it.

Subd. 6.Transfers

(a) With the approval of the commissioner of
management and budget, the commissioner
of transportation may transfer unencumbered
balances among the appropriations from the
trunk highway fund and the state airports
fund made in this section. No transfer
may be made from the appropriations for
state road construction or for debt service.
Transfers under this paragraph may not be
made between funds. Transfers under this
paragraph must be reported immediately to
the chairs and ranking minority members of
the legislative committees with jurisdiction
over transportation finance.
(b) The commissioner shall transfer from
the flexible highway account in the county
state-aid highway fund: (1) $1,000,000
in the first year to the municipal turnback
account in the municipal state-aid street
fund; (2) $1,900,000 in the first year to the
trunk highway fund; and (3) the remainder
in each year to the county turnback account
in the county state-aid highway fund. The
funds transferred are for highway turnback
purposes as provided under Minnesota
Statutes, section 161.081, subdivision 3.

Subd. 7.Use of State Road Construction Appropriations

Any money appropriated to the commissioner
of transportation for state road construction
for any fiscal year before the first year is
available to the commissioner during the
biennium to the extent that the commissioner
spends the money on the state road
construction project for which the money
was originally encumbered during the fiscal
year for which it was appropriated. The
commissioner of transportation shall report to
the commissioner of management and budget
by August 1, 2011, and August 1, 2012, on
a form the commissioner of management
and budget provides, on expenditures made
during the previous fiscal year that are
authorized by this subdivision.

Subd. 8.Contingent Appropriation

The commissioner of transportation, with
the approval of the governor and the
written approval of at least five members
of a group consisting of the members of
the Legislative Advisory Commission
under Minnesota Statutes, section 3.30,
and the ranking minority members of the
legislative committees with jurisdiction over
transportation finance, may transfer all or
part of the unappropriated balance in the
trunk highway fund to an appropriation:
(1) for trunk highway design, construction,
or inspection in order to take advantage of
an unanticipated receipt of income to the
trunk highway fund or to take advantage
of federal advanced construction funding;
(2) for trunk highway maintenance in order
to meet an emergency; or (3) to pay tort
or environmental claims. Nothing in this
subdivision authorizes the commissioner
to increase the use of federal advanced
construction funding beyond amounts
specifically authorized. Any transfer as
a result of the use of federal advanced
construction funding must include an
analysis of the effects on the long-term
trunk highway fund balance. The amount
transferred is appropriated for the purpose of
the account to which it is transferred.

Sec. 4. METROPOLITAN COUNCIL

$

39,038,000

$

39,038,000

This appropriation is from the general
fund for transit system operations under
Minnesota Statutes, sections 473.371 to
473.449.
Of this appropriation, $140,000 in each
fiscal year is for transit service for disabled
veterans under Minnesota Statutes, section
473.408, subdivision 10.
The base appropriation is $64,889,000 for
fiscal year 2014 and $64,970,000 for fiscal
year 2015.
Notwithstanding Minnesota Statutes, section
473.388, subdivision 4, in each year of
the biennium, the Metropolitan Council
shall provide financial assistance to transit
providers under Minnesota Statutes, section
473.388, in an amount that is $1,650,000
less than the amount of assistance that
was provided to transit providers by the
Metropolitan Council in fiscal year 2011.
Funds not transferred as a result of this
rider are available for use by the council for
metropolitan transit operations.

Sec. 5. DEPARTMENT OF PUBLIC SAFETY

Subdivision 1.Total Appropriation

$

153,316,000

$

153,316,000

	Appropriations by Fund
		2012	2013
	General	7,954,000	7,954,000
	Special Revenue	49,088,000	49,088,000
	H.U.T.D.	10,406,000	10,406,000
	Trunk Highway	85,868,000	85,868,000

The amounts that may be spent for each
purpose are specified in the following
subdivisions.

Subd. 2.Administration and Related Services

(a) Office of Communications

434,000

434,000

	Appropriations by Fund
	General	41,000	41,000
	Trunk Highway	393,000	393,000

(b) Public Safety Support

8,168,000

8,168,000

	Appropriations by Fund
	General	3,296,000	3,296,000
	H.U.T.D.	1,366,000	1,366,000
	Trunk Highway	3,506,000	3,506,000

$380,000 in each year is from the general
fund for payment of public safety officer
survivor benefits under Minnesota Statutes,
section 299A.44. If the appropriation for
either year is insufficient, the appropriation
for the other year is available for it.
$1,367,000 in each year is from the general
fund to be deposited in the public safety
officer's benefit account. This money
is available for reimbursements under
Minnesota Statutes, section 299A.465.
$508,000 in each year is from the general
fund for soft body armor reimbursements
under Minnesota Statutes, section 299A.38.
$792,000 in each year is from the general
fund for transfer by the commissioner of
management and budget to the trunk highway
fund on December 31, 2011, and December
31, 2012, respectively, in order to reimburse
the trunk highway fund for expenses not
related to the fund. These represent amounts
appropriated out of the trunk highway
fund for general fund purposes in the
administration and related services program.
$610,000 in each year is from the highway
user tax distribution fund for transfer by the
commissioner of management and budget
to the trunk highway fund on December 31,
2011, and December 31, 2012, respectively,
in order to reimburse the trunk highway
fund for expenses not related to the fund.
These represent amounts appropriated out
of the trunk highway fund for highway
user tax distribution fund purposes in the
administration and related services program.
$716,000 in each year is from the highway
user tax distribution fund for transfer by the
commissioner of management and budget to
the general fund on December 31, 2011, and
December 31, 2012, respectively, in order to
reimburse the general fund for expenses not
related to the fund. These represent amounts
appropriated out of the general fund for
operation of the criminal justice data network
related to driver and motor vehicle licensing.

(c) Technology and Support Service

3,835,000

3,835,000

	Appropriations by Fund
	General	1,472,000	1,472,000
	H.U.T.D.	19,000	19,000
	Trunk Highway	2,344,000	2,344,000

Subd. 3.State Patrol

(a) Patrolling Highways

71,522,000

71,522,000

	Appropriations by Fund
	General	37,000	37,000
	H.U.T.D.	92,000	92,000
	Trunk Highway	71,393,000	71,393,000

(b) Commercial Vehicle Enforcement

7,796,000

7,796,000

$600,000 in each year is for the Office of
Pupil Transportation Safety under Minnesota
Statutes, section 169.435.

(c) Capitol Security

3,108,000

3,108,000

This appropriation is from the general fund.
The commissioner may not: (1) spend
any money from the trunk highway fund
for capitol security; or (2) permanently
transfer any state trooper from the patrolling
highways activity to capitol security.
The commissioner may not transfer any
money appropriated to the commissioner
under this section: (1) to capitol security; or
(2) from capitol security.

(d) Vehicle Crimes Unit

693,000

693,000

This appropriation is from the highway user
tax distribution fund.
This appropriation is to investigate: (1)
registration tax and motor vehicle sales tax
liabilities from individuals and businesses
that currently do not pay all taxes owed;
and (2) illegal or improper activity related
to sale, transfer, titling, and registration of
motor vehicles.

Subd. 4.Driver and Vehicle Services

(a) Vehicle Services

27,259,000

27,259,000

	Appropriations by Fund
	Special Revenue	19,023,000	19,023,000
	H.U.T.D.	8,236,000	8,236,000

The special revenue fund appropriation is
from the vehicle services operating account.

(b) Driver Services

28,712,000

28,712,000

	Appropriations by Fund
	Special Revenue	28,711,000	28,711,000
	Trunk Highway	1,000	1,000

The special revenue fund appropriation is
from the driver services operating account.

Subd. 5.Traffic Safety

435,000

435,000

The commissioner of public safety shall
spend 50 percent of the money available to
the state under United States Code, title 23,
section 164, and the remaining 50 percent
must be transferred to the commissioner
of transportation for hazard elimination
activities under United States Code, title 23,
section 152.

Subd. 6.Pipeline Safety

1,354,000

1,354,000

This appropriation is from the pipeline safety
account in the special revenue fund.

Subd. 7.Transfer

On or after July 1, 2012, the commissioner
of public safety shall transfer to the driver
and vehicle services technology account a
total of $7,100,000 from the driver services
operating account and the vehicle services
operating account.

Sec. 6. TORT CLAIMS

$

600,000

$

600,000

This appropriation is to the commissioner of
management and budget.
If the appropriation for either year is
insufficient, the appropriation for the other
year is available for it.

    Sec. 7. Laws 2009, chapter 36, article 1, section 3, subdivision 3, as amended by Laws
2010, chapter 351, section 66, is amended to read:

Subd. 3.State Roads

(a) Infrastructure Operations and Maintenance

251,643,000

245,892,000

The base appropriation for fiscal years 2012
and 2013 is $257,395,000 for each year.

(b) Infrastructure Investment and Planning

(1) Infrastructure Investment Support

201,461,000

196,935,000

The base appropriation for fiscal years 2012
and 2013 is $205,988,000 for each year.
$266,000 the first year and $266,000 the
second year are available for grants to
metropolitan planning organizations outside
the seven-county metropolitan area.
$75,000 the first year and $75,000 the
second year are for a transportation research
contingent account to finance research
projects that are reimbursable from the
federal government or from other sources.
If the appropriation for either year is
insufficient, the appropriation for the other
year is available for it.
$600,000 the first year and $600,000
the second year are available for grants
for transportation studies outside the
metropolitan area to identify critical
concerns, problems, and issues. These
grants are available (1) to regional
development commissions; (2) in regions
where no regional development commission
is functioning, to joint powers boards
established under agreement of two or
more political subdivisions in the region to
exercise the planning functions of a regional
development commission; and (3) in regions
where no regional development commission
or joint powers board is functioning, to the
department's district office for that region.
$200,000 the second year is for grants
to nonprofit job training centers for: (1)
job training programs related to highway
construction; and (2) business training for
companies that are certified disadvantaged
business enterprises.

(2) State Road Construction

551,300,000

598,700,000 555,700,000

The base appropriation for fiscal years 2012
and 2013 is $635,000,000 for each year.
It is estimated that these appropriations will
be funded as follows:

	Appropriations by Fund
	Federal Highway Aid	301,100,000	388,500,000 345,500,000
	Highway User Taxes	250,200,000	210,200,000

The commissioner of transportation shall
notify the chairs and ranking minority
members of the senate and house of
representatives committees with jurisdiction
over transportation finance of any significant
events that should cause these estimates to
change.
This appropriation is for the actual
construction, reconstruction, and
improvement of trunk highways, including
design-build contracts and consultant usage
to support these activities. This includes the
cost of actual payment to landowners for
lands acquired for highway rights-of-way,
payment to lessees, interest subsidies, and
relocation expenses.
The commissioner may spend up to $250,000
of trunk highway funds in fiscal year 2011
to pay the operating costs of bus service
between Hastings and Minneapolis-St. Paul
to mitigate the traffic impacts of the project
involving construction of a bridge crossing
the Mississippi River in the city of Hastings
on marked Trunk Highway 61.
The commissioner shall expend up to
one-half of one percent of the federal
appropriations under this paragraph as grants
to opportunity industrialization centers and
other nonprofit job training centers for
job training programs related to highway
construction.
The commissioner may transfer up to
$15,000,000 each year to the transportation
revolving loan fund.
The commissioner may receive money
covering other shares of the cost of
partnership projects. These receipts are
appropriated to the commissioner for these
projects.

(3) Highway Debt Service

101,170,000

173,400,000

$86,517,000 the first year and $157,304,000
the second year are for transfer to the state
bond fund. If this appropriation is insufficient
to make all transfers required in the year for
which it is made, the commissioner of finance
shall notify the Committee on Finance of
the senate and the Committee on Ways and
Means of the house of representatives of
the amount of the deficiency and shall then
transfer that amount under the statutory open
appropriation. Any excess appropriation
cancels to the trunk highway fund.

(c) Electronic Communications

5,177,000

5,177,000

	Appropriations by Fund
	General	9,000	9,000
	Trunk Highway	5,168,000	5,168,000

The general fund appropriation is to equip
and operate the Roosevelt signal tower for
Lake of the Woods weather broadcasting.
EFFECTIVE DATE.This section is effective the day following final enactment.


    Section 1. Minnesota Statutes 2010, section 297A.992, subdivision 5, is amended to
read:
    Subd. 5. Grant application and awards; Grant Evaluation and Ranking System
(GEARS) Committee. (a) The joint powers board shall establish a grant application
process and identify the amount of available funding for grant awards. Grant applications
must be submitted in a form prescribed by the joint powers board. An applicant must
provide, in addition to all other information required by the joint powers board, the
estimated cost of the project, the amount of the grant sought, possible sources of funding
in addition to the grant sought, and identification of any federal funds that will be utilized
if the grant is awarded. A grant application seeking transit capital funding must identify
the source of money necessary to operate the transit improvement.
    (b) The joint powers board shall establish a timeline and procedures for the award of
grants, and may award grants only to the state and political subdivisions. The board shall
define objective criteria for the award of grants, which must include, but not be limited to,
consistency with the most recent version of the transportation policy plan adopted by the
Metropolitan Council under section 473.146. The joint powers board shall maximize the
availability and use of federal funds in projects funded under this section.
    (c) The joint powers board shall establish a GEARS Committee, which must consist
of:
    (1) one county commissioner from each county that is in the metropolitan
transportation area, appointed by its county board;
    (2) one elected city representative from each county that is in the metropolitan
transportation area;
    (3) one additional elected city representative from each county for every additional
400,000 in population, or fraction of 400,000, in the county that is above 400,000 in
population; and
    (4) the chair of the Metropolitan Council Transportation Committee.
    (d) Each city representative must be elected at a meeting of cities in the metropolitan
transportation area, which must be convened for that purpose by the Association of
Metropolitan Municipalities.
    (e) The committee shall evaluate grant applications following objective criteria
established by the joint powers board, and must provide to the joint powers board a
selection list of transportation projects that includes a priority ranking.
    (f) A grant award for a transit project located within the metropolitan area, as defined
in section 473.121, subdivision 2, may be funded only after the Metropolitan Council
reviews the project for consistency with the transit portion of the Metropolitan Council
policy plan and one of the following occurs:
    (1) the Metropolitan Council finds the project to be consistent;
    (2) the Metropolitan Council initially finds the project to be inconsistent, but after a
good faith effort to resolve the inconsistency through negotiations with the joint powers
board, agrees that the grant award may be funded; or
    (3) the Metropolitan Council finds the project to be inconsistent, and submits the
consistency issue for final determination to a panel, which determines the project to be
consistent. The panel is composed of a member appointed by the chair of the Metropolitan
Council, a member appointed by the joint powers board, and a member agreed upon by
both the chair and the joint powers board.
    (g) Grants must be funded by the proceeds of the taxes imposed under this section,
bonds, notes, or other obligations issued by the joint powers board under subdivision 7.
    (h) Notwithstanding the provisions of this subdivision, in fiscal year 2009, of
the initial revenue collected under this section, the joint powers board shall allocate
at least $30,783,000 to the Metropolitan Council for operating assistance for transit.
Notwithstanding the provisions of this section except subdivision 6a, of the revenue
collected under this section, the joint powers board shall allocate to the Metropolitan
Council, in fiscal years 2012 and 2013, an amount not less than 75 percent of the net
cost of operations for those transit ways that were receiving metropolitan sales tax funds
through an operating grant agreement on June 30, 2011.
(i) The Metropolitan Council shall expend any funds allocated under paragraph (h)
for the operations of the specified transit ways solely within those counties that are in the
metropolitan transportation area.
    (j) Nothing in paragraph (h) or (i) prevents grant awards to the Metropolitan Council
for capital and operating assistance for transit ways and park-and-ride facilities.

    Sec. 2. Minnesota Statutes 2010, section 297A.992, is amended by adding a
subdivision to read:
    Subd. 6a. Priority of fund uses. The joint powers board shall allocate all revenues
from the taxes imposed under this section in conformance with the following priority order:
(1) payment of debt service necessary for the fiscal year on bonds or other
obligations issued prior to January 1, 2011, under subdivision 7; and
(2) as otherwise authorized under this section.

    Sec. 3. Minnesota Statutes 2010, section 473.39, is amended by adding a subdivision
to read:
    Subd. 1q. Obligations. After July 1, 2011, in addition to other authority in this
section, the council may issue certificates of indebtedness, bonds, or other obligations
under this section in an amount not exceeding $35,000,000 for capital expenditures as
prescribed in the council's transit capital improvement program and for related costs,
including the costs of issuance and sale of the obligations.
EFFECTIVE DATE.This section is effective the day following final enactment
and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and
Washington.


    Section 1. Minnesota Statutes 2010, section 16A.11, subdivision 3a, is amended to read:
    Subd. 3a. Part three: detailed capital budget. The detailed capital budget must
include recommendations for capital projects to be funded during the next six fiscal years
and, if applicable, must meet the requirements under section 174.93, subdivision 1a. It
must be submitted with projects recommended by the governor and in order of importance
among that agency's requests as determined by the agency originating the request.

    Sec. 2. Minnesota Statutes 2010, section 16A.86, subdivision 3a, is amended to read:
    Subd. 3a. Information provided. All requests for state assistance under this section
must include the following information:
(1) the name of the political subdivision that will own the capital project for which
state assistance is being requested;
(2) the public purpose of the project;
(3) the extent to which the political subdivision has or expects to provide local,
private, user financing, or other nonstate funding for the project;
(4) a list of the bondable activities that the project encompasses; examples of
bondable activities are public improvements of a capital nature for land acquisition,
predesign, design, construction, and furnishing and equipping for occupancy;
(5) whether the project will require new or additional state operating subsidies;
(6) whether the governing body of the political subdivision requesting the project
has passed a resolution in support of the project and has established priorities for all
projects within its jurisdiction for which bonding appropriations are requested when
submitting multiple requests; and
(7) if the project requires a predesign under section 16B.335, whether the predesign
has been completed at the time the capital project request is submitted, and whether
the political subdivision has submitted the project predesign to the commissioner of
administration for review and approval; and
(8) if applicable, the information required under section 174.93, subdivision 1a.

    Sec. 3. Minnesota Statutes 2010, section 161.04, is amended by adding a subdivision
to read:
    Subd. 6. Trunk highway economic development account. (a) The trunk highway
economic development account is created in the trunk highway fund. Money in the
account is annually appropriated to the commissioner and does not lapse. Interest earned
from investment of money in this account must be deposited in the trunk highway
economic development account.
(b) Money in the account must be used to fund construction, reconstruction, and
improvement of trunk highways that will promote economic development, increase
employment, and relieve growing traffic congestion.
(c) The commissioner shall design a project application and selection process to
distribute money in the account. The process must include specified eligibility and
prioritizing criteria.
(d) Money in the account must be allocated 50 percent to the department's
metropolitan district, and 50 percent to districts in greater Minnesota except as provided
in this paragraph. If there are not sufficient project applications that meet eligibility and
prioritizing criteria in either the metropolitan district or greater Minnesota districts to
permit an equal division of available money, the commissioner shall fund projects that
meet the selection criteria without regard to location in the state.

    Sec. 4. Minnesota Statutes 2010, section 162.06, subdivision 1, is amended to read:
    Subdivision 1. Estimate. (a) By December 15 of each year the commissioner shall
estimate the amount of money that will be available to the county state-aid highway fund
during that fiscal year. The amount available must be based on actual receipts from July
1 through November 30 October 31, the unallocated fund balance, and the projected
receipts for the remainder of the fiscal year. The amount available, except for deductions
as provided in this section, shall be apportioned by the commissioner to the counties as
provided in section 162.07.
    (b) For purposes of this section, "amount available" means the amount estimated in
paragraph (a).

    Sec. 5. Minnesota Statutes 2010, section 162.12, subdivision 1, is amended to read:
    Subdivision 1. Estimate of accruals. By December 15 of each year the
commissioner shall estimate the amount of money that will be available to the municipal
state-aid street fund during that fiscal year. The amount available is based on actual
receipts from July 1 through November 30 October 31, the unallocated fund balance, and
the projected receipts for the remainder of the fiscal year. The total available, except for
deductions as provided herein, shall be apportioned by the commissioner to the cities
having a population of 5,000 or more as hereinafter provided.

    Sec. 6. Minnesota Statutes 2010, section 168.013, subdivision 21, is amended to read:
    Subd. 21. Technology surcharge. For every vehicle registration renewal required
under this chapter, the commissioner shall collect a surcharge of: (1) $1.75 until June 30,
2012; and (2) $1.00 from July 1, 2012, to June 30, 2016. Surcharges collected under this
subdivision must be credited to the driver and vehicle services technology account in the
special revenue fund under section 299A.705.

    Sec. 7. Minnesota Statutes 2010, section 168A.29, subdivision 1, is amended to read:
    Subdivision 1. Amounts. (a) The department must be paid the following fees:
    (1) for filing an application for and the issuance of an original certificate of title,
the sum of $6.25 of which $3.25 must be paid into the vehicle services operating account
of the special revenue fund under section 299A.705; until June 30, 2012, a surcharge of
$1.75 must be added to the fee and credited to the driver and vehicle services technology
account; from July 1, 2012, to June 30, 2016, a surcharge of $1.00 must be added to the
fee and credited to the driver and vehicle services technology account;
    (2) for each security interest when first noted upon a certificate of title, including the
concurrent notation of any assignment thereof and its subsequent release or satisfaction,
the sum of $2, except that no fee is due for a security interest filed by a public authority
under section 168A.05, subdivision 8;
    (3) for the transfer of the interest of an owner and the issuance of a new certificate of
title, the sum of $5.50 of which $2.50 must be paid into the vehicle services operating
account of the special revenue fund under section 299A.705; until June 30, 2012, a
surcharge of $1.75 must be added to the fee and credited to the driver and vehicle services
technology account; from July 1, 2012, to June 30, 2016, a surcharge of $1.00 must be
added to the fee and credited to the driver and vehicle services technology account;
    (4) for each assignment of a security interest when first noted on a certificate of title,
unless noted concurrently with the security interest, the sum of $1;
    (5) for issuing a duplicate certificate of title, the sum of $7.25 of which $3.25 must
be paid into the vehicle services operating account of the special revenue fund under
section 299A.705; until June 30, 2012, a surcharge of $1.75 must be added to the fee and
credited to the driver and vehicle services technology account; from July 1, 2012, to
June 30, 2016, a surcharge of $1.00 must be added to the fee and credited to the driver
and vehicle services technology account.
    (b) After June 30, 1994, in addition to each of the fees required under paragraph (a),
clauses (1) and (3), the department must be paid $3.50. The additional $3.50 fee collected
under this paragraph must be deposited in the special revenue fund and credited to the
public safety motor vehicle account established in section 299A.70.

    Sec. 8. Minnesota Statutes 2010, section 171.06, subdivision 2, as amended by Laws
2011, chapter 80, section 2, is amended to read:
    Subd. 2. Fees. (a) The fees for a license and Minnesota identification card are
as follows:

	Classified Driver's License		D-$22.25	C-$26.25	B-$33.25	A-$41.25
	Classified Under-21 D.L.		D-$22.25	C-$26.25	B-$33.25	A-$21.25
	Enhanced Driver's License		D-$37.25	C-$41.25	B-$48.25	A-$56.25
	Instruction Permit					$10.25
	Enhanced Instruction Permit					$25.25
	Provisional License					$13.25
	Enhanced Provisional License					$28.25
	Duplicate License or duplicate identification card					$11.75
	Enhanced Duplicate License or enhanced duplicate identification card					$26.75
	Minnesota identification card or Under-21 Minnesota identification card, other than duplicate, except as otherwise provided in section 171.07, subdivisions 3 and 3a					$16.25
	Enhanced Minnesota identification card					$31.25

    In addition to each fee required in this paragraph, the commissioner shall collect a
surcharge of: (1) $1.75 until June 30, 2012; and (2) $1.00 from July 1, 2012, to June 30,
2016. Surcharges collected under this paragraph must be credited to the driver and vehicle
services technology account in the special revenue fund under section 299A.705.
    (b) Notwithstanding paragraph (a), an individual who holds a provisional license and
has a driving record free of (1) convictions for a violation of section 169A.20, 169A.33,
169A.35, or sections 169A.50 to 169A.53, (2) convictions for crash-related moving
violations, and (3) convictions for moving violations that are not crash related, shall have a
$3.50 credit toward the fee for any classified under-21 driver's license. "Moving violation"
has the meaning given it in section 171.04, subdivision 1.
    (c) In addition to the driver's license fee required under paragraph (a), the
commissioner shall collect an additional $4 processing fee from each new applicant
or individual renewing a license with a school bus endorsement to cover the costs for
processing an applicant's initial and biennial physical examination certificate. The
department shall not charge these applicants any other fee to receive or renew the
endorsement.
(d) An application for a Minnesota identification card, instruction permit, provisional
license, or driver's license, including an application for renewal, must contain a provision
that allows the applicant to add to the fee under paragraph (a), a $2 donation for the
purposes of public information and education on anatomical gifts under section 171.075.

    Sec. 9. Minnesota Statutes 2010, section 174.93, is amended to read:
174.93 GUIDEWAY INVESTMENT.
    Subdivision 1. Definitions. (a) For purposes of this section, the following terms
have the meanings given:
(1) "commissioner" means the commissioner of transportation; and
(2) "guideway" means a form of transportation service provided to the public on a
regular and ongoing basis, that operates on exclusive or controlled rights-of-way or rails
in whole or in part, and includes each line for intercity passenger rail, commuter rail, light
rail transit, streetcars, and bus rapid transit; and
(3) "local unit of government" means a county, statutory or home rule charter city,
town, or other political subdivision including, but not limited to, a regional railroad
authority or joint powers board.
(b) For purposes of this section, "sources of funds" includes, but is not limited to,
money from federal aid, state appropriations, the Metropolitan Council, special taxing
districts, local units of government, fare box recovery, and nonpublic sources.
(c) For purposes of this section, "budget activity" includes, but is not limited
to, environmental analysis, land acquisition, easements, design, preliminary and
final engineering, acquisition of vehicles and rolling stock, track improvement and
rehabilitation, and construction.
    Subd. 1a. Capital project requests to legislature. A state agency or local unit of
government that submits a request to the legislature to obtain state funds for a guideway
project shall, as part of the request, provide a summary financial plan for the project that
presents the following information as reflected by the data and level of detail available in
the latest phase of project development:
(1) capital expenditures and funding sources for the project, including expenditures
to date and total projected or estimated expenditures, with a breakdown by committed and
proposed sources of funds; and
(2) estimated annual operations and maintenance expenditures for the project, with a
breakdown by committed and proposed sources of funds.
    Subd. 2. Legislative report. (a) By January 15, 2012, and by November 15 in every
odd-numbered year thereafter, the commissioner shall prepare, in collaboration with
the Metropolitan Council, and submit a report electronically to the chairs and ranking
minority members of the house of representatives and senate legislative committees with
jurisdiction over transportation policy and finance concerning the status of guideway
projects (1) currently in study, planning, development, or construction; (2) identified in the
transportation policy plan under section 473.146; or (3) identified in the comprehensive
statewide freight and passenger rail plan under section 174.03, subdivision 1b.
(b) At a minimum, the report must include, for each guideway project:
(1) a brief description of the project, including projected ridership;
(2) a summary of the overall status and current phase of the project;
(3) a timeline that includes (i) project phases or milestones; (ii) expected and known
dates of commencement of each phase or milestone; and (iii) expected and known dates
of completion of each phase or milestone;
(4) a brief progress update on specific project phases or milestones completed since
the last previous submission of a report under this subdivision; and
(5) a summary financial plan that identifies, as reflected by the data and level of
detail available in the latest phase of project development and to the extent available:
(i) capital expenditures, including expenditures to date and total projected
expenditures, with a breakdown by committed and proposed sources of funds for the
project; and
(ii) estimated annual operations and maintenance expenditures reflecting the level
of detail available in the current phase of the project development, with a breakdown by
committed and proposed sources of funds for the projects in the Metropolitan Council's
transportation policy plan. project; and
(iii) if feasible, project expenditures by budget activity.
(c) The report must also include a systemwide capacity analysis for investment in
guideway expansion and maintenance that:
(1) provides a funding projection, annually over the ensuing ten years, and with a
breakdown by committed and proposed sources of funds, of:
(i) total capital expenditures for guideways;
(ii) total operations and maintenance expenditures for guideways;
(iii) total funding available for guideways, including from projected or estimated
farebox recovery; and
(iv) total funding available for transit service in the metropolitan area; and
(2) evaluates the availability of funds and distribution of sources of funds for
guideway investments.
(d) The projection under paragraph (c), clause (1), must be for all guideway lines
for which state funds are reasonably expected to be expended in planning, development,
construction, or revenue operation during the ensuing ten years.
(e) Local units of government shall provide assistance and information in a timely
manner as requested by the commissioner or council for completion of the report.

    Sec. 10. Laws 2008, chapter 363, article 11, section 6, the effective date, is amended to
read:
EFFECTIVE DATE.This section is effective July 1, 2008, and expires June 30,
2012 2016.


    Section 1. EFFECTIVE DATE; RELATIONSHIP TO OTHER
APPROPRIATIONS.
Unless otherwise specified, this act is effective retroactively from July 1, 2011,
and supersedes and replaces funding authorized by order of the Second Judicial District
Court in Case No. 62-CV-11-5203.
Presented to the governor July 19, 2011
Signed by the governor July 20, 2011, 9:05 a.m.