Bill Text: MN HF1 | 2012 | 87th Legislature 1st Special | Chaptered


Bill Title: Flood loss aid and property tax relief provided for, spending authorized to acquire and better public land and buildings and other improvements of a capital nature, bonds issued, prior appropriations transferred or canceled, and money appropriated for flood and windstorm relief.

Spectrum: Slight Partisan Bill (Democrat 11-4)

Status: (Engrossed - Dead) 2012-08-24 - Senate: Third reading Passed [HF1 Detail]

Download: Minnesota-2012-HF1-Chaptered.html

CHAPTER 1--H.F.No. 1
An act
relating to disaster assistance; authorizing spending to acquire and better
public land and buildings and other improvements of a capital nature with certain
conditions; authorizing the sale and issuance of state bonds; providing flood loss
aid and property tax relief; transferring and cancelling prior appropriations;
appropriating money for flood and windstorm relief;amending Minnesota
Statutes 2010, sections 12A.07, by adding a subdivision; 12A.09, by adding
a subdivision; 116J.8731, by adding subdivisions; Minnesota Statutes 2011
Supplement, section 12A.07, subdivision 2; Laws 2009, chapter 172, article 4,
section 2, subdivision 5; Laws 2011, First Special Session chapter 6, article 4,
section 2, subdivision 6.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1
FLOOD DISASTER RELIEF

    Section 1. DISASTER RELIEF APPROPRIATION SUMMARY.
The amounts shown in this section summarize direct appropriations made in this
article.

SUMMARY

Public Safety
$
25,975,000

Transportation
79,000,000

Employment and Economic Development
15,000,000

Public Facilities Authority
6,000,000

Housing Finance
12,720,000

Historical Society
250,000

Natural Resources
18,855,000

Board of Water and Soil Resources
12,500,000

Agriculture
600,000

Education
761,000

Health
565,000

Bond Sale Expenses
101,000

Transfers, Reductions, and Cancellations
(12,671,000)

TOTAL
$
159,656,000

General Fund
67,586,000

Bond Proceeds Fund
25,701,000

State Transportation Fund
30,000,000

Trunk Highway Fund
14,000,000

Trunk Highway Fund Bond Proceeds Account
35,040,000

Transfers, Reductions, and Cancellations
(12,671,000)


Sec. 2. DISASTER RELIEF APPROPRIATIONS.
    Subdivision 1. Appropriations. The sums shown in the column under
"Appropriations" are appropriated from the bond proceeds fund to be spent to acquire and
to better publicly owned land and buildings and other public improvements of a capital
nature, and from other named funds, for relief as specified in this article from the storms
and flooding that occurred on or after June 14, 2012, in the area in Minnesota designated
under Presidential Declaration of a Major Disaster FEMA-4069-DR, whether included in
the original declarations or added later by federal government action, referred to in this
article as "the area included in DR-4069." The flooding that resulted from storms that
occurred June 14 through June 21, 2012, is referred to as "the floods" in sections 19 to
22. Unless otherwise specified, money appropriated in this act for a capital program or
project 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. Unless otherwise specified, the appropriations included in this
article are available through June 30, 2015, except that appropriations of bond proceeds
for capital improvements are available until the project is completed or abandoned, subject
to Minnesota Statutes, section 16A.642. The appropriations in this article are onetime.
    Subd. 2. Transfers. Money appropriated under this article may be transferred as
provided in Minnesota Statutes, section 12A.03, subdivision 5.

APPROPRIATIONS


Sec. 3. PUBLIC SAFETY

Subdivision 1.Total Appropriation
$
25,975,000

Appropriations by Fund

General
23,690,000

Bond Proceeds
2,285,000
To the commissioner of public safety for the
purposes specified in Minnesota Statutes,
section 12A.15. The amounts that may be
spent for each purpose are specified in the
following subdivisions.

Subd. 2.State Match for Public Assistance
24,975,000
The appropriation of $22,690,000 from the
general fund under Minnesota Statutes,
section 12A.15, subdivision 1, is available
to fund 100 percent of the match obligations
for eligible applicants incurred through the
receipt of federal disaster assistance.
The appropriation of $2,285,000 from
the bond proceeds fund under Minnesota
Statutes, section 12A.15, subdivision 1, is
available to fund 100 percent of the state
and local match obligations for publicly
owned capital improvement projects incurred
through the receipt of federal disaster
assistance.
Notwithstanding Minnesota Statutes, section
16A.28, the appropriation in this subdivision
does not lapse.

Subd. 3.Grants for Debris Removal and Burial
500,000
For grants to counties for costs related to the
burial and removal of debris for residences
and farms, as specified in Minnesota
Statutes, section 12A.15, subdivision 2. This
appropriation is from the general fund.

Subd. 4.Long-term Recovery Assistance
500,000
To provide technical assistance and grants
for coordination of long-term recovery as
specified in Minnesota Statutes, section
12A.15, subdivision 2a. This appropriation
is from the general fund.


Sec. 4. TRANSPORTATION

Subdivision 1.Total Appropriation
$
79,000,000

Appropriations by Fund


Trunk Highway
Fund
14,000,000



Trunk Highway
Fund Bond Proceeds
Account
35,000,000


State Transportation
Fund
30,000,000
To the commissioner of transportation for
the purposes specified in Minnesota Statutes,
section 12A.16. The amounts that may be
spent for each purpose are specified in the
following subdivisions.


Subd. 2.Transportation Infrastructure
Operation and Maintenance
3,000,000
From the trunk highway fund, for the
purposes specified in Minnesota Statutes,
section 12A.16, subdivision 1. This is in
addition to the appropriation made in Laws
2011, First Special Session chapter 3, article
1, section 3, subdivision 3, paragraph (a).

Subd. 3.Program Planning and Delivery
11,000,000
From the trunk highway fund for the
purposes stated in Minnesota Statutes,
section 12A.16, subdivision 2. This is in
addition to the appropriation made in Laws
2011, First Special Session chapter 3, article
1, section 3, subdivision 3, paragraph (b).

Subd. 4.State Trunk Highways and Bridges
35,000,000
From the bond proceeds account in the trunk
highway fund for the purposes specified
in Minnesota Statutes, section 12A.16,
subdivision 2.

Subd. 5.Local Road and Bridge Reconstruction
30,000,000
From the bond proceeds account in the
state transportation fund for grants under
Minnesota Statutes, sections 12A.16,
subdivision 3, and 174.50, to local
governments in the area included in
DR-4069.



Sec. 5. EMPLOYMENT AND ECONOMIC
DEVELOPMENT
$
15,000,000

Minnesota Investment Fund
From the general fund to the commissioner
of employment and economic development
for Minnesota investment fund grants under
Minnesota Statutes, section 12A.07.
Before any grants under this section are
awarded to a local unit of government,
the commissioner of employment and
economic development shall report to the
chairs and ranking minority members of
the senate Finance Committee and house of
representatives Ways and Means Committee
the criteria and requirements to be used
by local units of government in the grant
or loan programs they will administer. All
business loan agreements must be executed
by December 31, 2013. Any uncommitted
balance remaining must be transferred to the
general fund.


Sec. 6. PUBLIC FACILITIES AUTHORITY
$
6,000,000

Disaster Relief Facilities Grants
To the Public Facilities Authority from
the bond proceeds fund for grants under
Minnesota Statutes, section 12A.14.


Sec. 7. HOUSING FINANCE

Subdivision 1.Total Appropriation
$
12,720,000
To the Housing Finance Agency for
the purposes specified in the following
subdivisions.


Subd. 2.Economic Development and Housing
Challenge Program
12,220,000
From the general fund for transfer to the
housing development fund for the economic
development and housing challenge program
under Minnesota Statutes, section 462A.33,
for assistance in the area included in
DR-4069, as provided in Minnesota Statutes,
section 12A.09. The maximum loan amount
per housing structure is $30,000. Within
the limits of available appropriations, the
agency may increase the maximum amount
if the cost of repair or replacement of
the residential property exceeds the total
of the maximum loan amount and any
assistance available from FEMA, other
federal government agencies including the
Small Business Administration, and private
insurance and flood insurance benefits.

Subd. 3.Capacity Building Grants
250,000
From the general fund for transfer to the
housing development fund for the capacity
building grant program under Minnesota
Statutes, section 462A.21, subdivision
3. To provide capacity for local units of
government and nonprofit organizations to
develop and implement disaster recovery
plans in the area included in DR-4069 and as
provided under Minnesota Statutes, section
12A.09.


Subd. 4.Family Homeless Prevention and
Assistance
250,000
From the general fund for the family
homeless prevention and assistance program
under Minnesota Statutes, section 462A.204,
for assistance in the area included in
DR-4069, in counties for which Small
Business Administration assistance to
homeowners is available. For assistance
under this subdivision, the requirements
of Minnesota Statutes, section 12A.03,
subdivisions 2 to 5, apply.



Sec. 8. MINNESOTA HISTORICAL
SOCIETY
$
250,000
To the Minnesota Historical Society for
activities under Minnesota Statutes, section
12A.11. This appropriation is from the
general fund.


Sec. 9. NATURAL RESOURCES

Subdivision 1.Total appropriation
$
18,855,000

Appropriations by Fund

General
3,000,000

Bond Proceeds
15,855,000
To the commissioner of natural resources for
the purposes specified in Minnesota Statutes,
section 12A.12. The amounts that may be
spent for each purpose are specified in the
following subdivisions.


Subd. 2.Facility and Natural Resource
Damage
6,855,000
From the bond proceeds fund for the
purposes specified in Minnesota Statutes,
section 12A.12, subdivision 1.

Subd. 3.Flood Hazard Mitigation Grants
10,000,000
For the purposes specified in Minnesota
Statutes, section 12A.12, subdivision 2.
Funds may be used to acquire or relocate
structures damaged or threatened by the
impacts resulting from the rain storm and
are also available for the local share of
acquisition and relocation flood mitigation
projects. Of this appropriation, $9,000,000 is
from the bond proceeds fund and $1,000,000
is from the general fund.

Subd. 4.Debris Removal; Public Waters
2,000,000
For expenditures and grants for the purposes
of Minnesota Statutes, section 12A.12,
subdivision 3. This includes removal of flood
debris and sediment. This appropriation is
from the general fund.

Subd. 5.Grant Extension
Any existing state grant agreement of the
commissioner of natural resources in the
disaster area may be extended for up to two
years.



Sec. 10. BOARD OF WATER AND SOIL
RESOURCES

Subdivision 1.Total Appropriation
$
12,500,000
To the Board of Water and Soil Resources for
the purposes specified in Minnesota Statutes,
section 12A.05. The appropriations in this
section do not lapse, notwithstanding the
provisions of Minnesota Statutes, section
16A.28. The amounts that may be spent for
each purpose are specified in the following
subdivisions.


Subd. 2.Reinvest in Minnesota (RIM)
Conservation Easements
1,500,000
From the bond proceeds fund for the
purposes specified in Minnesota Statutes,
section 12A.05, subdivision 1, in the area
included in DR-4069. The duration of the
easements shall be perpetual.


Subd. 3.Erosion, Sediment, and Water Quality
Control Cost-Share Program
11,000,000
From the general fund for the purposes
specified in Minnesota Statutes, section
12A.05, subdivision 2, in the area included
in DR-4069. Priority use of these funds shall
be to supplement or match federal funds
whenever possible and practical.
Wetland conservation procedures. For
projects funded in this section, the board may
develop alternative standards and procedures
for Minnesota Statutes, sections 103G.222 to
103G.2242, that may be used temporarily by
local government units to address emergency
situations or disaster recovery efforts in the
area included in DR-4069.


Sec. 11. AGRICULTURE
$
600,000
To the commissioner of agriculture for the
purposes specified in Minnesota Statutes,
section 12A.04. This appropriation is from
the general fund.


Sec. 12. EDUCATION

Subdivision 1.Total Appropriation
$
761,000
From the general fund to the commissioner
of education for additional costs and loss of
pupil units in the area included in DR-4069.
The amounts that may be spent for each
purpose are specified in the following
subdivisions.

Subd. 2.Disaster Enrollment Impact Aid
61,000
For disaster enrollment impact aid under
Minnesota Statutes, section 12A.06,
subdivision 1, calculated at a rate of $5,224
per adjusted pupil unit lost during fiscal year
2013.

Subd. 3.Disaster Relief Facilities Grants
700,000
For disaster relief facilities grants under
Minnesota Statutes, section 12A.06,
subdivision 2.


Sec. 13. HEALTH
$
565,000
To the commissioner of health for public
health activities under Minnesota Statutes,
section 12A.08. This appropriation is from
the general fund.


Sec. 14. POLLUTION CONTROL AGENCY
Consistent with Minnesota Statutes, section
12A.13, the commissioner may use the
petroleum tank release cleanup fund at
an estimated cost of $100,000 to safely
rehabilitate buildings if a portion of the
rehabilitation cost is attributable to petroleum
contamination or to buy out property
substantially damaged by a petroleum tank
release.


Sec. 15. BOND SALE EXPENSES
$
101,000
(a) $61,000 is from the bond proceeds fund to
the commissioner of management and budget
for bond sale expenses under Minnesota
Statutes, section 16A.641, subdivision 8.
(b) $40,000 is from the bond proceeds
account in the trunk highway fund to the
commissioner of management and budget
for bond sale expenses under Minnesota
Statutes, section 167.50, subdivision 4.

    Sec. 16. BOND SALE AUTHORIZATIONS.
    Subdivision 1. Bond proceeds fund. To provide the money appropriated in this
article from the bond proceeds fund, the commissioner of management and budget, at the
request of the commissioner of public safety, shall sell and issue bonds of the state in an
amount up to $25,701,000 in the manner, upon the terms, and with the effect prescribed by
Minnesota Statutes, sections 16A.631 to 16A.675, and by the Minnesota Constitution,
article XI, sections 4 to 7.
    Subd. 2. Transportation fund. To provide the money appropriated in this article
from the state transportation fund, the commissioner of management and budget shall sell
and issue bonds of the state in an amount up to $30,000,000 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. The proceeds of the bonds, except
accrued interest and any premium received on the sale of the bonds, must be credited to
a bond proceeds account in the state transportation fund.
    Subd. 3. Trunk highway fund bond proceeds account. To provide the money
appropriated in this act from the bond proceeds account in the trunk highway fund, the
commissioner of management and budget shall sell and issue bonds of the state in an
amount up to $35,040,000 in the manner, upon the terms, and with the effect prescribed
by Minnesota Statutes, sections 167.50 to 167.52, and by the Minnesota Constitution,
article XIV, section 11, at the times and in the amounts requested by the commissioner
of transportation. The proceeds of the bonds, except accrued interest and any premium
received from the sale of the bonds, must be credited to the bond proceeds account in
the trunk highway fund.

    Sec. 17. Minnesota Statutes 2011 Supplement, section 12A.07, subdivision 2, is
amended to read:
    Subd. 2. Assistance. Criteria and requirements must be locally established with
the approval of the commissioner. Local plans must specify the type of assistance to
be provided to eligible organizations. Within the limits of the available grant amounts,
assistance may be provided as loans with or without interest and as forgivable loans. The
criteria must, at a minimum, specify that an organization receiving a forgivable loan
must remain in the local community a minimum of five years after the date of the loan,
after which the amount of loan forgiveness must follow a schedule provided by the
commissioner for an additional five years. Loans made under this section must not be used
to refinance debt that existed on the date of the disaster. Repayment of loan amounts is
made to the local community consistent with subdivision 6. All assistance awards under
this section must meet the requirements of section 116J.8731, subdivision 8.

    Sec. 18. Minnesota Statutes 2010, section 12A.07, is amended by adding a subdivision
to read:
    Subd. 6. Repayments. Any repayments of loans to the local government unit
under this section shall be forwarded to the commissioner and deposited in the disaster
contingency account in section 116J.8731, subdivision 8.

    Sec. 19. Minnesota Statutes 2010, section 12A.09, is amended by adding a subdivision
to read:
    Subd. 5. Repayments. Any repayments of loans made under this section must be
deposited in the Housing Finance Agency's disaster relief contingency fund established in
section 462A.21, subdivision 29.

    Sec. 20. Minnesota Statutes 2010, section 116J.8731, is amended by adding a
subdivision to read:
    Subd. 8. Disaster contingency account; repayments. There is created a Minnesota
investment fund disaster contingency account in the special revenue fund. Repayment
of loan amounts to the local government unit under this section shall be forwarded to
the commissioner and deposited in the disaster contingency account in the Minnesota
investment fund to be appropriated by law for future disaster relief.

    Sec. 21. Minnesota Statutes 2010, section 116J.8731, is amended by adding a
subdivision to read:
    Subd. 9. Requirements for assistance. All awards under subdivision 8 are subject
to the following requirements.
(a) Eligible applicants include the following:
(1) Applicants may be any business or nonprofit organization in the area included
in the disaster declaration that was directly and adversely affected by the disaster. This
includes: businesses, cooperatives, utilities, industrial, commercial, retail, and nonprofit
organizations, including those nonprofits that provide residential, health care, child care,
social, or other services on behalf of the Department of Human Services to residents
included in the disaster area.
    (2) Business applicants must be organized as a proprietorship, partnership, LLC, or
a corporation.
    (3) Applicants must have been in operation before the date of the disaster.
    (b) Eligible activities. Loan funds may be used to assist businesses only in their
recovery efforts but are not available to provide relief from economic losses.
    (c) Eligible costs. Eligible costs may include the following: repair of buildings,
leasehold improvements, fixtures and/or equipment, loss of inventory, and cleanup costs.
    (d) Ineligible activities:
    (1) Ineligible applicants. Any applicants not meeting the eligibility requirements
outlined in this subdivision are ineligible to receive recovery loan funds.
    (2) Ineligible activities. Funds may not be used for lending or investment operations,
land speculation, or any activity deemed illegal by federal, state, or local law or ordinance.
    (3) Ineligible costs. Ineligible costs include but are not limited to: economic injury
losses, relocation, management fees, financing costs, franchise fees, debt consolidation,
moving costs, refinancing debt existing prior to the date of the disaster, and operating costs.
    (e) Loan application:
    (1) Application process. All parties seeking recovery loan funds must file an
application with the local unit of government. Small Business Administration (SBA)
application forms may be used. Applications must be transmitted in the form and manner
prescribed by the commissioner.
    (f) Application information. Only completed applications will be reviewed for
consideration. Submittal of the following information constitutes a complete application:
    (1) MIF recovery loan fund application;
    (2) business SBA disaster application if applicable;
    (3) regional development organization or responsible local government application,
if applicable;
    (4) administrative contact;
    (5) business release for local government to review SBA damage assessment/loss
verification, if applicable;
    (6) proof of loss statement from insurer;
    (7) construction cost estimates;
    (8) invoices for work completed;
    (9) quotes for equipment;
    (10) proposed security;
    (11) company historical financial statements for the 24 months immediately prior to
the application date;
    (12) credit check release;
    (13) number of jobs to be retained;
    (14) wages paid;
    (15) amount of loan request;
    (16) documentation of damages incurred;
    (17) property taxes paid and current;
    (18) judgments, liens, agreements, consent decrees, stipulations for settlements, or
other such actions which would prevent the applicant from participating in any program
administered by the responsible local, state, or regional government;
    (19) compliance with all applicable local ordinances and plans;
    (20) documentation through financial and tax records that the business was a viable
operating entity at the time of the flood;
    (21) business tax identification number; and
    (22) other documentation as requested.
    (g) Incomplete applications will be assigned pending status and the applicant will be
informed in writing of the missing documentation.
    (h) Determination of eligibility. Applicant eligibility will be determined using
criteria enumerated in paragraph (a). A credit check for the company and each of its
principal owners may be conducted. An owner's encumbrance report will be completed
by the Recorder's Office.
    A grant recipient is eligible for assistance provided under this section only after the
recipient has claimed all applicable private insurance and the recipient has utilized all other
sources of applicable assistance available under the act appropriating funding for the grant.

    Sec. 22. Laws 2009, chapter 172, article 4, section 2, subdivision 5, is amended to read:

Subd. 5.Department of Administration
6,500,000
7,900,000
(a) Funds in this subdivision are appropriated
to the commissioner of the Department
of Administration for grants to the named
organizations for the purposes specified
in this subdivision. Up to one percent of
funds may be used by the Department of
Administration for grants administration.
Grants made to public television or radio
organizations are subject to Minnesota
Statutes, sections 129D.18 and 129D.19.
(b) Grant agreements entered into by
the commissioner and recipients of
appropriations in this subdivision must
ensure that money appropriated in this
subdivision is used to supplement and
not substitute for traditional sources of
funding. No more than 2.5 percent of any
grant may be used by the recipient for
administration. A cultural grants advisory
board may be established by the Department
of Administration to provide advice and
assistance in the making of grants under this
subdivision. The board, if appointed, shall
consist of seven members, to be appointed
by the commissioner. One member shall
represent public radio and television, one
shall represent Minnesota zoos, one shall
represent the Minnesota Center for the
Humanities, and the remaining four shall be
appointed by the commissioner to represent a
diverse set of cultural interests. All recipients
of funds under this subdivision shall report
to the legislature by January 15 of each year
on uses of those funds.
(c) Public Television. $2,800,000 the first
year and $3,500,000 the second year are
appropriated for a grant to the Minnesota
Public Television Association for production
and acquisition grants in accordance with
new Minnesota Statutes, section 129D.18.
(d) Minnesota Public Radio. $1,150,000
the first year and $1,500,000 the second year
are appropriated for a grant to Minnesota
Public Radio to create new programming
and events, expand regional news service,
amplify Minnesota culture to a regional
and national audience, and document
Minnesota's history through the Minnesota
Audio Archives.
(e) Association of Minnesota Public
Educational Radio Stations. $1,150,000
the first year and $1,500,000 the second
year are appropriated for a grant to the
Association of Minnesota Public Radio
Stations for production and acquisition grants
in accordance with new Minnesota Statutes,
section 129D.19.
(f) Zoos. $450,000 in 2010 and $450,000 in
2011 are appropriated for the programmatic
development of Minnesota's zoos.
Three-quarters of this fund in any year
shall be reserved in equal portions each for
the Minnesota Zoo, the Como Zoo, and
the Lake Superior Zoo. The remainder
may be apportioned through a competitive
grants process or may be allocated by the
commissioner to zoos that are accredited by
the Association of Zoos and Aquariums or
that demonstrate to the commissioner a plan
for working toward that accreditation during
the biennium ending June 30, 2011. The
appropriation for the Lake Superior Zoo is
available until June 30, 2015.
(g) Minnesota State Capitol. The
Department of Administration, the Capitol
Area Architecture and Planning Board,
and the Minnesota Historical Society shall
consider and report to the legislature on
possible uses of funds created under the
Minnesota Constitution, article XI, section
15, for the restoration, renovation, and repair
of the State Capitol.

(h) Minnesota Children's Museum
$250,000 in 2010 and $250,000 in 2011 are
appropriated for the Minnesota Children's
Museum. These amounts are for arts, arts
education, and arts access and to preserve
Minnesota's history and cultural heritage.
The director shall submit an annual report
on the expenditure and use of money
appropriated under this paragraph to the
legislature as provided in Minnesota Statutes,
section 3.195. The first year report must be
submitted by March 1, 2010. In subsequent
years the report shall be submitted by
January 15. Notwithstanding Minnesota
Statutes, section 16A.28, the appropriations
encumbered on or before June 30, 2011,
as grants or contracts in this paragraph are
available until June 30, 2013.
(i) Duluth Children's Museum
$250,000 in 2010 and $250,000 in 2011
are appropriated for the Duluth Children's
Museum. These amounts are for arts, arts
education, and arts access and to preserve
Minnesota's history and cultural heritage.
The director shall submit an annual report
on the expenditure and use of money
appropriated under this paragraph to the
legislature as provided in Minnesota Statutes,
section 3.195. The first year report must be
submitted by March 1, 2010. In subsequent
years the report shall be submitted by
January 15. Notwithstanding Minnesota
Statutes, section 16A.28, the appropriations
encumbered on or before June 30, 2011,
as grants or contracts in this paragraph are
available until June 30, 2013.
(j) Science Museum of Minnesota
$450,000 in 2010 and $450,000 in 2011
are appropriated for the Science Museum
of Minnesota. These amounts are for
arts, arts education, and arts access and to
preserve Minnesota's history and cultural
heritage. The director shall submit an annual
report on the expenditure and use of money
appropriated under this paragraph to the
legislature as provided in Minnesota Statutes,
section 3.195. The first year report must be
submitted by March 1, 2010. In subsequent
years the report shall be submitted by
January 15. Notwithstanding Minnesota
Statutes, section 16A.28, the appropriations
encumbered on or before June 30, 2011,
as grants or contracts in this paragraph are
available until June 30, 2013.

    Sec. 23. Laws 2011, First Special Session chapter 6, article 4, section 2, subdivision 6,
is amended to read:

Subd. 6.Department of Administration
9,175,000
8,150,000
These amounts are appropriated to the
commissioner of administration for grants
to the named organizations for the purposes
specified in this subdivision. Up to one
percent of funds may be used by the
commissioner for grants administration.
Grant agreements entered into by
the commissioner and recipients of
appropriations in this subdivision must
ensure that money appropriated in this
subdivision is used to supplement and not
substitute for traditional sources of funding.
Public Radio Grants. $2,650,000 the first
year and $2,650,000 the second year are for
a competitive Arts and Cultural Heritage
Grants Program-Public Radio.
The commissioner shall solicit proposals
and award grants to public radio stations
that satisfy the eligibility requirements
under Minnesota Statutes, section 129D.14,
subdivision 3
, and create, produce, acquire,
or distribute radio programs that educate,
enhance, or promote local, regional, or
statewide items of artistic, cultural, or
historic significance. The commissioner
shall give preference to projects that
expand Minnesotans' access to knowledge,
information, arts, state history, or cultural
heritage. This appropriation is available for
eligible costs incurred as of July 1, 2011, and
does not expire until June 30, 2015.
Public Television. $3,700,000 the first
year and $3,700,000 the second year are for
grants to the Minnesota Public Television
Association for production and acquisition
grants according to Minnesota Statutes,
section 129D.18. In recognition of the
sesquicentennial of the American Civil
War, the Minnesota Public Television
Association shall produce new programming
on Minnesota history during that period.
This appropriation is available for eligible
costs incurred as of July 1, 2011, and does
not expire until June 30, 2015.
Veterans Camps. $475,000 the first year
is for grants of $400,000 to the Disabled
Veterans Rest Camp located on Big Marine
Lake in Washington County and $75,000 to
the Veterans on the Lake Resort located on
Fall Lake in St. Louis County.
Zoos. $300,000 the first year and $300,000
the second year are for grants of $200,000
each year to the Como Park Zoo and
$100,000 each year to the Lake Superior
Zoo for programmatic development. The
appropriation for the Lake Superior Zoo is
available until June 30, 2015.
Minnesota Children's Museum. $500,000
the first year and $500,000 the second year
are for grants to the Minnesota Children's
Museum. These amounts are for arts, arts
education, and arts access and to preserve
Minnesota's history and cultural heritage.
Science Museum of Minnesota. $500,000
the first year and $500,000 the second year
are for grants to the Science Museum of
Minnesota. These amounts are for arts, arts
education, and arts access and to preserve
Minnesota's history and cultural heritage.
Minnesota Film and TV Board. $500,000
the first year and $500,000 the second year
are for grants to the Minnesota Film and
TV Board for grants to Minnesota residents
to create film or television productions that
promote Minnesota's cultural heritage and
for the film production jobs program under
Minnesota Statutes, section 116U.26. This
appropriation is available until June 30, 2015.
State Capitol Preservation Commission.
$550,000 the first year is for the purposes of
Minnesota Statutes, section 16B.2405. This
appropriation is available until spent.

    Sec. 24. 2012 FLOOD LOSS; CITY REPLACEMENT AID.
    Subdivision 1. Flood net tax capacity loss. The county assessor of each qualified
county shall compute a "flood net tax capacity loss" for each city equal to the net tax
capacity reduction resulting from the reassessments under section 27. A county assessor
of a qualified county that contains a city that has a flood net tax capacity loss that exceeds
five percent of its assessment year 2012 total taxable net tax capacity shall certify the city's
flood net tax capacity loss to the commissioner of revenue by August 1, 2013.
As used in this section, a "qualified county" is a county located within the area
included in a disaster or emergency area that is designated and approved by the executive
council under Minnesota Statutes, section 273.1231, as a result of the floods.
    Subd. 2. Flood loss aid. In 2014, each city with a flood net tax capacity loss equal
to or greater than five percent of its assessment year 2012 total taxable net tax capacity is
entitled to flood loss aid equal to the flood net tax capacity loss times the city's average
local tax rate for taxes payable in 2012.
    Subd. 3. Duties of commissioner. The commissioner of revenue shall determine
each city's aid amount under this section. The commissioner shall notify each eligible city
of its flood loss aid amount by August 15, 2013. The commissioner shall make payments
to each city after July 1, 2014, and before July 20, 2014.
    Subd. 4. Optional city expenditure. A city that receives aid under this section
may choose to expend a portion of the aid received for repair of county roads located
within the city.
    Subd. 5. Appropriation. The amount necessary to pay the aid amounts under this
section in fiscal year 2015, for calendar year 2014, is appropriated to the commissioner of
revenue from the general fund.

    Sec. 25. DISASTER AREA; WAIVING PROPERTY TAX PENALTIES FOR
BUSINESS AND DAMAGED PROPERTIES.
(a) Notwithstanding Minnesota Statutes, section 279.01, subdivision 1, but subject to
the provisions of this section, a penalty does not accrue on the second half of the payable
2012 property taxes on either: (1) class 3a or 3b property, as classified under Minnesota
Statutes, section 273.13, subdivision 24, that is located in a county that includes an area
that would qualify to be designated as a "disaster or emergency area" under Minnesota
Statutes, section 273.1231, if the designation were to be based solely on the damages to
properties resulting from the floods and irrespective of executive council approval; or (2)
any property that suffered damage of 50 percent or more as a result of the floods.
(b) To qualify for this extended due date for the second half payment: (1) the
taxpayer must have been unable to make the payment due to circumstances related to the
floods; and (2) the taxpayer must have paid the first half of the payable 2012 taxes by May
15, 2012, and must pay the second half of the payable 2012 taxes by December 28, 2012.
(c) If the second half of the payable 2012 property taxes is paid after December 28,
2012, then all penalties that would have occurred since the due date under Minnesota
Statutes, section 279.01, subdivision 1, must be charged on the amount of the unpaid tax.
(d) In the case of property described in paragraph (a), clause (1), the property
taxpayer must attach to the payment a statement that all the requirements for an extension
under this section are met.

    Sec. 26. AGRICULTURAL HOMESTEADS EXTENDED.
Agricultural land and buildings that were homestead property under Minnesota
Statutes, section 273.13, subdivision 23, paragraph (a), for the 2012 assessment shall
remain classified agricultural homesteads for assessment years 2013 and 2014 if:
(1) the property owner abandoned the homestead dwelling located on the agricultural
homestead as a result of damage caused by the floods;
(2) the property is located in an area designated, and approved by the executive
council, as a "disaster or emergency area" under Minnesota Statutes, section 273.1231,
based on damages to properties caused by the floods;
(3) the agricultural land and buildings remain under the same ownership for the
current assessment year as existed for the 2012 assessment year;
(4) the dwelling occupied by the owner is located in this state and is within 50 miles
of one of the parcels of agricultural land that is owned by the taxpayer; and
(5) the owner notifies the county assessor that the relocation was due to the floods,
and the owner furnishes the assessor any information deemed necessary by the assessor
in verifying the change in homestead dwelling. For taxes payable in 2014, the owner
must notify the assessor by December 1, 2013. Further notifications to the assessor are
not required if the property continues to meet all the requirements in this paragraph and
any dwellings on the agricultural land remain uninhabited.

    Sec. 27. ABATEMENT AND CREDIT APPLICATIONS WAIVED.
(a) Notwithstanding Minnesota Statutes, section 273.1232, subdivision 1, by
October 1, 2012, each assessor shall cause to be reassessed the properties in the assessor's
jurisdiction located in an area that would qualify to be designated a "disaster or emergency
area" under Minnesota Statutes, section 273.1231, if the designation were to be based
solely on the damages to properties caused by the floods and irrespective of executive
council approval.
(b) Notwithstanding contrary provisions contained in Minnesota Statutes, sections
273.1233 to 273.1235, the requirements in those sections for an application by the
property owner or property taxpayer are waived for properties located in an area that is
designated, and approved by the executive council, a "disaster or emergency area" under
Minnesota Statutes, section 273.1231, as a result of the damages to properties caused by
the floods. Before December 14, 2012, each county assessor shall notify the taxpayers or
owners of the affected parcels.

    Sec. 28. TRANSFERS, REDUCTIONS, CANCELLATIONS, AND BOND SALE
AUTHORIZATIONS REDUCED.
(a) The remaining balance of the appropriation in Laws 2010, Second Special
Session chapter 1, article 1, section 7, for the economic development and housing
challenge program, estimated to be $450,000, is transferred to the general fund.
(b) The appropriation in Laws 2010, Second Special Session chapter 1, article 1,
section 5, for Minnesota investment fund grants pursuant to Minnesota Statutes, section
12A.07, is reduced by $1,358,000.
(c) The appropriation in Laws 2010, Second Special Session chapter 1, article 1,
section 12, subdivision 2, for disaster enrollment impact aid pursuant to Minnesota
Statutes, section 12A.06, is reduced by $30,000.
(d) The appropriation in Laws 2010, Second Special Session chapter 1, article
1, section 12, subdivision 3, for disaster relief facilities grants pursuant to Minnesota
Statutes, section 12A.06, is reduced by $392,000.
(e) The appropriation in Laws 2010, Second Special Session chapter 1, article 1,
section 12, subdivision 4, for disaster relief operating grants pursuant to Minnesota
Statutes, section 12A.06, is reduced by $2,000.
(f) The appropriation in Laws 2010, Second Special Session chapter 1, article 1,
section 12, subdivision 5, for pupil transportation aid pursuant to Minnesota Statutes,
section 12A.06, is reduced by $5,000.
(g) The appropriation in Laws 2010, Second Special Session chapter 1, article 2,
section 5, subdivision 3, for pupil transportation aid pursuant to Minnesota Statutes,
section 12A.06, is reduced by $271,000.
(h) The appropriation in Laws 2010, Second Special Session chapter 1, article 1,
section 13, for public health activities pursuant to Minnesota Statutes, section 12A.08,
is reduced by $103,000.
(i) $1,428,000 of the appropriation in Laws 2007, First Special Session chapter
2, article 1, section 4, subdivision 3, for reconstruction and repair of trunk highways
and trunk highway bridges is canceled. The bond sale authorization in Laws 2007, First
Special Session chapter 2, article 1, section 15, subdivision 2, is reduced by $1,428,000.
(j) $5,680,000 of the appropriation in Laws 2007, First Special Session chapter 2,
article 1, section 4, subdivision 4, as amended by Laws 2008, chapter 289, section 2, for
grants to local governments for capital costs related to rehabilitation and replacement of
local roads and bridges damaged or destroyed by flooding pursuant to Minnesota Statutes,
section 174.50, is canceled. The bond sale authorization in Laws 2007, First Special
Session chapter 2, article 1, section 15, subdivision 3, is reduced by $5,680,000.
(k) $2,133,000 of the appropriation in Laws 2010, Second Special Session chapter 1,
article 1, section 4, subdivision 3, for local road and bridge rehabilitation and replacement
pursuant to Minnesota Statutes, section 12A.16, subdivision 3, is canceled. The bond
sale authorization in Laws 2010, Second Special Session chapter 1, article 1, section 17,
subdivision 2, is reduced by $2,133,000.
(l) The appropriation in Laws 2010, Second Special Session chapter 1, article 1,
section 4, subdivision 2, for state road infrastructure operations and maintenance pursuant
to Minnesota Statutes, section 12A.16, subdivision 1, is reduced by $819,000.

    Sec. 29. BUDGET RESERVE ACCOUNT; NOVEMBER 2012 FORECAST.
Notwithstanding any requirements of Minnesota Statutes, section 16A.152,
subdivision 2, to the contrary, the budget reserve account requirement, under Minnesota
Statutes, section 16A.152, subdivision 2, paragraph (a), clause (2), for the November 2012
budget forecast, is $612,236,000.

    Sec. 30. BUDGET RESERVE ACCOUNT; REDUCTION.
The commissioner of management and budget shall reduce the amount in the budget
reserve account established under Minnesota Statutes, section 16A.152, subdivision 1a, by
$45,382,000.

    Sec. 31. EFFECTIVE DATE.
This article is effective the day following final enactment.

ARTICLE 2
WINDSTORM DISASTER RELIEF


Section 1. DISASTER RELIEF APPROPRIATION SUMMARY.
The amounts shown in this section summarize direct appropriations made in this
article.

SUMMARY

Public Safety
$
5,800,000

Natural Resources
2,069,000

TOTAL
$
7,869,000

General Fund
6,875,000

Bond Proceeds Fund
994,000

    Sec. 2. APPROPRIATIONS.
The sums shown in the column under "Appropriations" are appropriated from
the general fund or other named fund for relief as specified in this article from the
windstorms that occurred on or after July 2, 2012, in Beltrami, Clearwater, Hubbard,
Itasca, Koochiching, St. Louis, and Cass Counties, and to the Leech Lake and Bois Forte
bands of Ojibwe. Unless otherwise specified, money appropriated in this act for a capital
program or project 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. Unless otherwise specified, the appropriations
included in this article are available through June 30, 2015, except that appropriations
of bond proceeds for capital improvements are available until the project is completed
or abandoned, subject to Minnesota Statutes, section 16A.642. The appropriations in
this article are onetime.

APPROPRIATIONS


Sec. 3. PUBLIC SAFETY
$
5,800,000

State and Local Assistance
From the general fund to the commissioner
of public safety for reimbursement of
eligible costs for applicants in the affected
counties as a result of damages incurred. The
appropriations in this section do not lapse,
notwithstanding the provisions of Minnesota
Statutes, section 16A.28.


Sec. 4. NATURAL RESOURCES

Subdivision 1.Total appropriation
$
2,069,000
To the commissioner of natural resources
for the purposes specified in the following
subdivisions.

Subd. 2.Reforestation
994,000
From the bond proceeds fund for reforestation
of lands damaged by natural causes under
Minnesota Statutes, section 89.002. Money
appropriated in this section may be used to
pay state agency staff costs that are attributed
directly to the capital program.

Subd. 3.Lost revenue and salvage timber sales
1,075,000
For the administration of the salvage timber
sales and to replace lost revenue. This
appropriation is from the general fund.

    Sec. 5. BOND SALE AUTHORIZATION.
    To provide the money appropriated in this article from the bond proceeds fund, the
commissioner of management and budget, at the request of the commissioner of public
safety, shall sell and issue bonds of the state in an amount up to $994,000 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. 6. EFFECTIVE DATE.
This article is effective the day following final enactment.
Presented to the governor August 24, 2012
Signed by the governor August 24, 2012, 5:19 p.m.
feedback