1.1A bill for an act
1.2relating to government finance; appropriating money for transportation,
1.3Metropolitan Council, and public safety activities and programs; providing for
1.4fund transfers, tort claims, and contingent appropriations; modifying policy
1.5and tax provisions relating to transportation transit and public safety;amending
1.6Minnesota Statutes 2012, sections 161.20, subdivision 3; 161.53; 162.07,
1.7subdivision 1a; 163.051; 168A.01, subdivision 6a; 168A.29, subdivision 1;
1.8169.865; 169A.37, subdivision 1; 169A.51, subdivision 2; 169A.55, by adding
1.9a subdivision; 171.05, subdivision 2; 171.061, subdivision 4; 171.0701, by
1.10adding a subdivision; 171.17, by adding a subdivision; 171.30, subdivisions
1.111, 2a, by adding a subdivision; 171.306, subdivisions 1, 4; 174.185, by
1.12adding a subdivision; 174.40, by adding a subdivision; 219.1651; 296A.07,
1.13subdivision 3; 296A.08, subdivision 2; 296A.12; 297A.815, subdivision 3;
1.14297A.992; 297A.993, subdivisions 1, 2; 297B.01, subdivisions 14, 16; 297B.02,
1.15subdivisions 1, 3; 297B.09, subdivision 1; 299A.73, subdivision 3; 299E.01,
1.16subdivisions 2, 3; 299E.02; 398A.04, by adding a subdivision; 398A.10,
1.17subdivision 1, by adding a subdivision; 473.39, by adding subdivisions; Laws
1.182009, chapter 9, section 1; proposing coding for new law in Minnesota Statutes,
1.19chapters 161; 171; 174; 295; 297A; 435; 629; repealing Minnesota Statutes
1.202012, sections 161.04, subdivision 6; 174.285, subdivision 8; Minnesota Rules,
1.21parts 7503.0300, subpart 1; 7503.0800, subpart 2.
1.22BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.23ARTICLE 1
1.24TRANSPORTATION AND PUBLIC SAFETY APPROPRIATIONS

1.25
 Section 1. SUMMARY OF APPROPRIATIONS.
1.26The amounts shown in this section summarize direct appropriations, by fund, made
1.27in this article.
1.28
 2014
 2015
 Total
1.29
 General
 $
 160,210,000
 $
 159,339,000
 $
 319,549,000
1.30
 Airports
 18,959,000
 18,959,000
 37,918,000
1.31
 C.S.A.H.
 632,251,000
 686,608,000
 1,318,859,000
2.1
 M.S.A.S.
 162,035,000
 175,839,000
 337,874,000
2.2
 Special Revenue
 61,187,000
 61,483,000
 122,670,000
2.3
 H.U.T.D.
 10,506,000
 10,406,000
 20,912,000
2.4
2.5
 State Government Special
Revenue
 59,841,000
 64,742,000
 124,583,000
2.6
 Environmental
 69,000
 69,000
 138,000
2.7
 Trunk Highway
 1,755,137,000
 1,766,481,000
 3,521,618,000
2.8
 Total
 $
 2,860,195,000
 $
 2,943,926,000
 $
 5,804,121,000

2.9
 Sec. 2. TRANSPORTATION APPROPRIATIONS.
2.10The sums shown in the columns marked "Appropriations" are appropriated to
2.11the agencies and for the purposes specified in this article. The appropriations are from
2.12the trunk highway fund, or another named fund, and are available for the fiscal years
2.13indicated for each purpose. The figures "2014" and "2015" used in this article mean that
2.14the appropriations listed under them are available for the fiscal year ending June 30, 2014,
2.15or June 30, 2015, respectively. "The first year" is fiscal year 2014. "The second year" is
2.16fiscal year 2015. "The biennium" is fiscal years 2014 and 2015.
2.17
 APPROPRIATIONS
2.18
 Available for the Year
2.19
 Ending June 30
2.20
 2014
 2015

2.21
2.22
 Sec. 3. DEPARTMENT OF
TRANSPORTATION
2.23
 Subdivision 1.Total Appropriation
 $
 2,507,249,000
 $
 2,585,673,000
2.24
 Appropriations by Fund
2.25
 2014
 2015
2.26
 General
 28,276,000
 27,295,000
2.27
 Airports
 18,959,000
 18,959,000
2.28
 C.S.A.H.
 632,251,000
 686,608,000
2.29
 M.S.A.S
 162,035,000
 175,839,000
2.30
 H.U.T.D.
 100,000
 -0-
2.31
 Trunk Highway
 1,665,628,000
 1,676,972,000
2.32The amounts that may be spent for each
2.33purpose are specified in the following
2.34subdivisions.
2.35
 Subd. 2.Multimodal Systems
2.36(a) Aeronautics
3.1
 (1) Airport Development and Assistance
 13,648,000
 13,648,000
3.2This appropriation is from the state
3.3airports fund and must be spent according
3.4to Minnesota Statutes, section 360.305,
3.5subdivision 4.
3.6The base appropriation for fiscal years 2016
3.7and 2017 is $14,298,000 for each year.
3.8Notwithstanding Minnesota Statutes, section
3.916A.28, subdivision 6, this appropriation is
3.10available for five years after appropriation.
3.11If the appropriation for either year is
3.12insufficient, the appropriation for the other
3.13year is available for it.
3.14
 (2) Aviation Support and Services
 6,386,000
 6,386,000
3.15
 Appropriations by Fund
3.16
 Airports
 5,286,000
 5,286,000
3.17
 Trunk Highway
 1,100,000
 1,100,000
3.18$65,000 in each year is from the state airports
3.19fund for the Civil Air Patrol.
3.20
 (b) Transit
 27,238,000
 27,257,000
3.21
 Appropriations by Fund
3.22
 General
 26,463,000
 26,482,000
3.23
 Trunk Highway
 775,000
 775,000
3.24$100,000 in each year is from the general
3.25fund for the administrative expenses of the
3.26Minnesota Council on Transportation Access
3.27under Minnesota Statutes, section 174.285.
3.28$90,000 in each year is from the general
3.29fund for grants to greater Minnesota transit
3.30providers as reimbursement for the costs of
3.31providing fixed route public transit rides free
3.32of charge under Minnesota Statutes, section
3.33174.24, subdivision 7, for veterans certified
3.34as disabled.
4.1
 (c) Passenger Rail
 500,000
 500,000
4.2This appropriation is from the general
4.3fund for passenger rail system planning,
4.4alternatives analysis, environmental analysis,
4.5design, and preliminary engineering under
4.6Minnesota Statutes, sections 174.632 to
4.7174.636.
4.8
 (d) Freight
 6,153,000
 5,153,000
4.9
 Appropriations by Fund
4.10
 General
 1,256,000
 256,000
4.11
 Trunk Highway
 4,897,000
 4,897,000
4.12$1,000,000 in the first year is from the
4.13general fund to pay for the department's
4.14share of costs associated with the cleanup of
4.15contaminated state rail bank property. This
4.16appropriation is available until expended.
4.17
 (e) Safe Routes to School
 375,000
 375,000
4.18$375,000 in each year from the general fund
4.19for grants to local jurisdictions for safe routes
4.20to school.
4.21
 Subd. 3.State Roads
4.22
 (a) Operations and Maintenance
 262,395,000
 262,395,000
4.23
 (b) Program Planning and Delivery
 206,720,000
 206,720,000
4.24$250,000 in each year is for the department's
4.25administrative costs for creation and
4.26operation of the Joint Program Office for
4.27Economic Development and Alternative
4.28Finance, including costs of hiring a
4.29consultant and preparing required reports.
4.30$130,000 in each year is available for
4.31administrative costs of the targeted group
4.32business program.
5.1$266,000 in each year is available for grants
5.2to metropolitan planning organizations
5.3outside the seven-county metropolitan area.
5.4$75,000 in each year is available for a
5.5transportation research contingent account
5.6to finance research projects that are
5.7reimbursable from the federal government or
5.8from other sources. If the appropriation for
5.9either year is insufficient, the appropriation
5.10for the other year is available for it.
5.11$900,000 in each year is available for
5.12grants for transportation studies outside
5.13the metropolitan area to identify critical
5.14concerns, problems, and issues. These
5.15grants are available: (1) to regional
5.16development commissions; (2) in regions
5.17where no regional development commission
5.18is functioning, to joint powers boards
5.19established under agreement of two or
5.20more political subdivisions in the region to
5.21exercise the planning functions of a regional
5.22development commission; and (3) in regions
5.23where no regional development commission
5.24or joint powers board is functioning, to the
5.25department's district office for that region.
5.26
 (c) State Road Construction Total
 966,400,000
 946,340,000
5.27
5.28
 (1) Economic Recovery Funds - Federal
Highway Aid
 1,000,000
 1,000,000
5.29This appropriation is to complete projects
5.30using funds made available to the
5.31commissioner of transportation under
5.32title XII of the American Recovery and
5.33Reinvestment Act of 2009, Public Law 111-5
5.34and implemented under Minnesota Statutes,
5.35section 161.36, subdivision 7. The base
6.1appropriation is $1,000,000 in fiscal year
6.22016 and $0 in fiscal year 2017.
6.3
 (2) Corridors of Commerce
 47,600,000
 110,280,000
6.4This appropriation is for the Corridors
6.5of Commerce program under Minnesota
6.6Statutes, section 161.088.
6.7Of this appropriation, the commissioner may
6.8use up to $8,092,000 in fiscal year 2014 and
6.9$18,748,000 in fiscal year 2015 for program
6.10delivery.
6.11
 (3) State Road Construction
 917,800,000
 835,060,000
6.12It is estimated that these appropriations will
6.13be funded as follows:
6.14
 Appropriations by Fund
6.15
6.16
 Federal Highway
Aid
 489,200,000
482,200,000
6.17
 Highway User Taxes
 428,600,000
 352,860,000
6.18The commissioner of transportation shall
6.19notify the chairs and ranking minority
6.20members of the legislative committees with
6.21jurisdiction over transportation finance of
6.22any significant events that should cause these
6.23estimates to change.
6.24This appropriation is for the actual
6.25construction, reconstruction, and
6.26improvement of trunk highways, including
6.27design-build contracts and consultant usage
6.28to support these activities. This includes the
6.29cost of actual payment to landowners for
6.30lands acquired for highway rights-of-way,
6.31payment to lessees, interest subsidies, and
6.32relocation expenses.
6.33Of this appropriation, the commissioner
6.34is encouraged to allocate, from money
7.1transferred to the corridor investment
7.2management strategy program, funds to
7.3determine the preferred corridor alignment
7.4and to plan, design, and construct or
7.5reconstruct a two-lane roadway currently
7.6located in a corridor that passes through
7.7communities, townships, and a national
7.8forest; that has significant weather-related
7.9safety problems due in part to its current
7.10alignment; and has key highway, public
7.11transit, bicycle/pedestrian, and rail
7.12connections.
7.13The base appropriation for state road
7.14construction for fiscal years 2016 and 2017
7.15is $664,460,000 in each year.
7.16$10,000,000 in each year is for transfer to
7.17the transportation economic development
7.18account in the trunk highway fund under
7.19Minnesota Statutes, section 174.12.
7.20The commissioner may expend up to one-half
7.21of one percent of the federal appropriations
7.22under this paragraph as grants to opportunity
7.23industrialization centers and other nonprofit
7.24job training centers for job training programs
7.25related to highway construction.
7.26The commissioner may transfer up to
7.27$15,000,000 each year to the transportation
7.28revolving loan fund.
7.29The commissioner may receive money
7.30covering other shares of the cost of
7.31partnership projects. These receipts are
7.32appropriated to the commissioner for these
7.33projects.
7.34
 (d) Highway Debt Service
 158,417,000
 189,821,000
8.1$148,917,000 the first year and $180,321,000
8.2the second year are for transfer to the state
8.3bond fund. If an appropriation is insufficient
8.4to make all transfers required in the year
8.5for which it is made, the commissioner of
8.6management and budget shall notify the
8.7Committee on Finance of the senate and
8.8the Committee on Ways and Means of the
8.9house of representatives of the amount of the
8.10deficiency and shall then transfer that amount
8.11under the statutory open appropriation. Any
8.12excess appropriation cancels to the trunk
8.13highway fund.
8.14
 (e) Electronic Communications
 5,171,000
 5,171,000
8.15
 Appropriations by Fund
8.16
 General
 3,000
 3,000
8.17
 Trunk Highway
 5,168,000
 5,168,000
8.18The general fund appropriation is to equip
8.19and operate the Roosevelt signal tower for
8.20Lake of the Woods weather broadcasting.
8.21
 Subd. 4.Local Roads
8.22
 (a) County State Aids
 632,251,000
 686,608,000
8.23This appropriation is from the county
8.24state-aid highway fund under Minnesota
8.25Statutes, sections 161.082 to 161.085; and
8.26Minnesota Statutes, chapter 162. This
8.27appropriation is available until spent.
8.28If the commissioner of transportation
8.29determines that a balance remains in the
8.30county state-aid highway fund following
8.31the appropriations and transfers made in
8.32this subdivision, and that the appropriations
8.33made are insufficient for advancing county
8.34state-aid highway projects, an amount
8.35necessary to advance the projects, not to
9.1exceed the balance in the county state-aid
9.2highway fund, is appropriated in each year
9.3to the commissioner. Within two weeks
9.4of a determination under this contingent
9.5appropriation, the commissioner of
9.6transportation shall notify the commissioner
9.7of management and budget and the chairs
9.8and ranking minority members of the
9.9legislative committees with jurisdiction over
9.10transportation finance concerning funds
9.11appropriated.
9.12
 (b) Municipal State Aids
 162,035,000
 175,839,000
9.13This appropriation is from the municipal
9.14state-aid street fund for municipal state-aid
9.15streets under Minnesota Statutes, chapter 162.
9.16This appropriation is available until spent.
9.17If the commissioner of transportation
9.18determines that a balance remains in the
9.19municipal state-aid street fund following
9.20the appropriations made in this subdivision,
9.21and that the appropriations made are
9.22insufficient for advancing municipal state-aid
9.23street projects, an amount necessary to
9.24advance the projects, not to exceed the
9.25balance in the municipal state-aid street
9.26fund, is appropriated in each year to
9.27the commissioner. Within two weeks
9.28of a determination under this contingent
9.29appropriation, the commissioner of
9.30transportation shall notify the commissioner
9.31of management and budget and the chairs
9.32and ranking minority members of the
9.33legislative committees with jurisdiction over
9.34transportation finance concerning funds
9.35appropriated.
10.1
 Subd. 5.Agency Management
10.2
 (a) Agency Services
 41,997,000
 41,997,000
10.3
 Appropriations by Fund
10.4
 Airports
 25,000
 25,000
10.5
 Trunk Highway
 41,972,000
 41,972,000
10.6
 (b) Buildings
 17,838,000
 17,838,000
10.7
 Appropriations by Fund
10.8
 General
 54,000
 54,000
10.9
 Trunk Highway
 17,784,000
 17,784,000
10.10If the appropriation for either year is
10.11insufficient, the appropriation for the other
10.12year is available for it.
10.13
 Subd. 6.Transfers
10.14(a) With the approval of the commissioner of
10.15management and budget, the commissioner
10.16of transportation may transfer unencumbered
10.17balances among the appropriations from the
10.18trunk highway fund and the state airports
10.19fund made in this section. No transfer
10.20may be made from the appropriations for
10.21state road construction or for debt service.
10.22Transfers under this paragraph may not be
10.23made between funds. Transfers under this
10.24paragraph must be reported immediately to
10.25the chairs and ranking minority members of
10.26the legislative committees with jurisdiction
10.27over transportation finance.
10.28(b) The commissioner shall transfer from
10.29the flexible highway account in the county
10.30state-aid highway fund: (1) $3,700,000 in
10.31the first year to the trunk highway fund; and
10.32(2) the remainder in each year to the county
10.33turnback account in the county state-aid
10.34highway fund. The funds transferred are
11.1for highway turnback purposes as provided
11.2under Minnesota Statutes, section 161.081,
11.3subdivision 3.
11.4
11.5
 Subd. 7.Use of State Road Construction
Appropriations
11.6Any money appropriated to the commissioner
11.7of transportation for state road construction
11.8for any fiscal year before the first year is
11.9available to the commissioner during the
11.10biennium to the extent that the commissioner
11.11spends the money on the state road
11.12construction project for which the money
11.13was originally encumbered during the fiscal
11.14year for which it was appropriated. The
11.15commissioner of transportation shall report to
11.16the commissioner of management and budget
11.17by August 1, 2013, and August 1, 2014, on
11.18a form the commissioner of management
11.19and budget provides, on expenditures made
11.20during the previous fiscal year that are
11.21authorized by this subdivision.
11.22
 Subd. 8.Contingent Appropriation
11.23The commissioner of transportation, with
11.24the approval of the governor and the
11.25written approval of at least five members
11.26of a group consisting of the members of
11.27the Legislative Advisory Commission
11.28under Minnesota Statutes, section 3.30,
11.29and the ranking minority members of the
11.30legislative committees with jurisdiction over
11.31transportation finance, may transfer all or
11.32part of the unappropriated balance in the
11.33trunk highway fund to an appropriation:
11.34(1) for trunk highway design, construction,
11.35or inspection in order to take advantage of
12.1an unanticipated receipt of income to the
12.2trunk highway fund or to take advantage
12.3of federal advanced construction funding;
12.4(2) for trunk highway maintenance in order
12.5to meet an emergency; or (3) to pay tort
12.6or environmental claims. Nothing in this
12.7subdivision authorizes the commissioner
12.8to increase the use of federal advanced
12.9construction funding beyond amounts
12.10specifically authorized. Any transfer as
12.11a result of the use of federal advanced
12.12construction funding must include an
12.13analysis of the effects on the long-term
12.14trunk highway fund balance. The amount
12.15transferred is appropriated for the purpose of
12.16the account to which it is transferred.

12.17
 Sec. 4. METROPOLITAN COUNCIL
 $
 41,489,000
 $
 41,570,000
12.18This appropriation is from the general fund
12.19for transit system operations under Minnesota
12.20Statutes, sections 473.371 to 473.449.
12.21The base appropriation for fiscal years 2016
12.22and 2017 is $63,620,000 in each year.

12.23
 Sec. 5. DEPARTMENT OF PUBLIC SAFETY
12.24
 Subdivision 1.Total Appropriation
 $
 310,857,000
 $
 316,083,000
12.25
 Appropriations by Fund
12.26
 2014
 2015
12.27
 General
 90,445,000
 90,474,000
12.28
 Special Revenue
61,187,000
 61,483,000
12.29
 H.U.T.D.
 10,406,000
 10,406,000
12.30
 Trunk Highway
 88,909,000
 88,909,000
12.31
12.32
 State Government
Special Revenue
 59,841,000
 64,742,000
12.33
 Environmental
 69,000
 69,000
13.1The amounts that may be spent for each
13.2purpose are specified in the following
13.3subdivisions.
13.4
 Subd. 2.Administration and Related Services
13.5
 (a) Office of Communications
 504,000
 504,000
13.6
 Appropriations by Fund
13.7
 General
 111,000
 111,000
13.8
 Trunk Highway
 393,000
 393,000
13.9
 (b) Public Safety Support
 8,439,000
 8,439,000
13.10
 Appropriations by Fund
13.11
 General
 3,467,000
 3,467,000
13.12
 H.U.T.D.
 1,366,000
 1,366,000
13.13
 Trunk Highway
 3,606,000
 3,606,000
13.14$380,000 in each year is from the general
13.15fund for payment of public safety officer
13.16survivor benefits under Minnesota Statutes,
13.17section 299A.44. If the appropriation for
13.18either year is insufficient, the appropriation
13.19for the other year is available for it.
13.20$1,367,000 in each year is from the general
13.21fund to be deposited in the public safety
13.22officer's benefit account. This money
13.23is available for reimbursements under
13.24Minnesota Statutes, section 299A.465.
13.25$600,000 in each year is from the general
13.26fund and $100,000 in each year is from the
13.27trunk highway fund for soft body armor
13.28reimbursements under Minnesota Statutes,
13.29section 299A.38.
13.30$792,000 in each year is from the general
13.31fund for transfer by the commissioner of
13.32management and budget to the trunk highway
13.33fund on December 31, 2013, and December
13.3431, 2014, respectively, in order to reimburse
14.1the trunk highway fund for expenses not
14.2related to the fund. These represent amounts
14.3appropriated out of the trunk highway
14.4fund for general fund purposes in the
14.5administration and related services program.
14.6$610,000 in each year is from the highway
14.7user tax distribution fund for transfer by the
14.8commissioner of management and budget
14.9to the trunk highway fund on December 31,
14.102013, and December 31, 2014, respectively,
14.11in order to reimburse the trunk highway
14.12fund for expenses not related to the fund.
14.13These represent amounts appropriated out
14.14of the trunk highway fund for highway
14.15user tax distribution fund purposes in the
14.16administration and related services program.
14.17$716,000 in each year is from the highway
14.18user tax distribution fund for transfer by the
14.19commissioner of management and budget to
14.20the general fund on December 31, 2013, and
14.21December 31, 2014, respectively, in order to
14.22reimburse the general fund for expenses not
14.23related to the fund. These represent amounts
14.24appropriated out of the general fund for
14.25operation of the criminal justice data network
14.26related to driver and motor vehicle licensing.
14.27Before January 15, 2015, the commissioner
14.28of public safety shall review the amounts and
14.29purposes of the transfers under this paragraph
14.30and shall recommend necessary changes to
14.31the legislative committees with jurisdiction
14.32over transportation finance.
14.33
 (c) Technology and Support Service
 3,685,000
 3,685,000
14.34
 Appropriations by Fund
14.35
 General
 1,322,000
 1,322,000
15.1
 H.U.T.D.
19,000
 19,000
15.2
 Trunk Highway
 2,344,000
 2,344,000
15.3
 Subd. 3.State Patrol
15.4
 (a) Patrolling Highways
 72,522,000
 72,522,000
15.5
 Appropriations by Fund
15.6
 General
 37,000
 37,000
15.7
 H.U.T.D.
92,000
 92,000
15.8
 Trunk Highway
 72,393,000
 72,393,000
15.9
 (b) Commercial Vehicle Enforcement
 7,796,000
 7,796,000
15.10
 (c) Capitol Security
 4,605,000
 4,605,000
15.11This appropriation is from the general fund.
15.12$1,500,000 in each year is to implement the
15.13recommendations of the advisory committee
15.14on Capitol Area Security under Minnesota
15.15Statutes, section 299E.04, including the
15.16creation of an emergency manager position
15.17under Minnesota Statutes, section 299E.01,
15.18subdivision 2, and an increase in the number
15.19of State Patrol troopers and other security
15.20officers assigned to the Capitol complex.
15.21The commissioner may not: (1) spend
15.22any money from the trunk highway fund
15.23for capitol security; or (2) permanently
15.24transfer any state trooper from the patrolling
15.25highways activity to capitol security.
15.26The commissioner may not transfer any
15.27money appropriated to the commissioner
15.28under this section: (1) to capitol security; or
15.29(2) from capitol security.
15.30
 (d) Vehicle Crimes Unit
 693,000
 693,000
15.31This appropriation is from the highway user
15.32tax distribution fund.
16.1This appropriation is to investigate: (1)
16.2registration tax and motor vehicle sales tax
16.3liabilities from individuals and businesses
16.4that currently do not pay all taxes owed;
16.5and (2) illegal or improper activity related
16.6to sale, transfer, titling, and registration of
16.7motor vehicles.
16.8
 Subd. 4.Driver and Vehicle Services
16.9
 (a) Vehicle Services
 28,259,000
 28,357,000
16.10
 Appropriations by Fund
16.11
 Special Revenue
 20,023,000
 20,121,000
16.12
 H.U.T.D.
8,236,000
 8,236,000
16.13The special revenue fund appropriation is
16.14from the vehicle services operating account.
16.15$1,000,000 in each year is from the special
16.16revenue fund for ten additional positions to
16.17enhance customer service related to vehicle
16.18title issuance.
16.19$98,000 the second year is from the special
16.20revenue fund for the vehicle services portion
16.21of a new telephone system. This amount
16.22is for transfer to the Office of Enterprise
16.23Technology for initial construction and
16.24development of the system. This is a onetime
16.25appropriation and is available until expended.
16.26
 (b) Driver Services
 28,749,000
 28,947,000
16.27
 Appropriations by Fund
16.28
 Special Revenue
 28,748,000
 28,946,000
16.29
 Trunk Highway
 1,000
 1,000
16.30The special revenue fund appropriation is
16.31from the driver services operating account.
16.32$150,000 in the second year is from the
16.33special revenue fund for two new positions
16.34to implement facial recognition.
17.1$52,000 the second year is from the special
17.2revenue fund for the driver services portion
17.3of a new telephone system. This amount
17.4is for transfer to the Office of Enterprise
17.5Technology for initial construction and
17.6development of the system. This is a onetime
17.7appropriation and is available until expended.
17.8$37,000 in the first year and $33,000 in the
17.9second year are from the special revenue
17.10fund for one half-time position to assist with
17.11the Novice Driver Improvement Task Force
17.12under Minnesota Statutes, section 171.0701,
17.13subdivision 1a. The base appropriation for
17.14this position is $6,000 in fiscal year 2016 and
17.15$0 in fiscal year 2017.
17.16
 Subd. 5.Traffic Safety
 435,000
 435,000
17.17The commissioner of public safety shall
17.18spend 50 percent of the money available to
17.19the state under United States Code, title 23,
17.20section 164, and the remaining 50 percent
17.21must be transferred to the commissioner
17.22of transportation for hazard elimination
17.23activities under United States Code, title 23,
17.24section 152.
17.25
 Subd. 6.Pipeline Safety
 1,354,000
 1,354,000
17.26This appropriation is from the pipeline safety
17.27account in the special revenue fund.
17.28
 Subd. 7.Emergency Management
 3,079,000
 3,029,000
17.29
 Appropriations by Fund
17.30
 General
 2,406,000
 2,356,000
17.31
 Special Revenue
 604,000
 604,000
17.32
 Environmental
 69,000
 69,000
17.33$604,000 each year is appropriated from the
17.34fire safety account in the special revenue
18.1fund. These amounts must be used to
18.2fund the hazardous materials and chemical
18.3assessment teams.
18.4$555,000 the first year and $505,000 the
18.5second year are from the general fund to
18.6reinstate the school safety center and to
18.7provide for school safety. The commissioner
18.8of public safety shall work collaboratively
18.9with the School Climate Council and the
18.10school climate center established under
18.11Minnesota Statutes, sections 121A.07 and
18.12127A.052.
18.13
 Subd. 8.Criminal Apprehension
 42,853,000
 42,932,000
18.14
 Appropriations by Fund
18.15
 General
 40,905,000
 40,984,000
18.16
18.17
 State Government
Special Revenue
 7,000
 7,000
18.18
 Trunk Highway
 1,941,000
 1,941,000
18.19Notwithstanding Minnesota Statutes, section
18.20161.20, subdivision 3, $1,941,000 each year
18.21is appropriated from the trunk highway fund
18.22for laboratory analysis related to driving
18.23while impaired cases.
18.24$125,000 in each year is from the general
18.25fund to replace forensic laboratory equipment
18.26at the Bureau of Criminal Apprehension.
18.27$200,000 in each year is from the general
18.28fund to improve forensic laboratory staffing
18.29at the Bureau of Criminal Apprehension.
18.30 $310,000 the first year and $389,000 the
18.31second year are from the general fund to
18.32maintain Livescan fingerprinting machines.
18.33
 Subd. 9.Fire Marshal
 9,555,000
 9,555,000
18.34This appropriation is from the fire safety
18.35account in the special revenue fund and is for
19.1activities under Minnesota Statutes, section
19.2299F.012.
19.3Of this amount: (1) $7,187,000 each year
19.4is for activities under Minnesota Statutes,
19.5section 299F.012; and (2) $2,368,000 the first
19.6year and $2,368,000 the second year are for
19.7transfers to the general fund under Minnesota
19.8Statutes, section 297I.06, subdivision 3.
19.9
 Subd. 10.Alcohol and Gambling Enforcement
 2,485,000
 2,485,000
19.10
 Appropriations by Fund
19.11
 General
 1,582,000
 1,582,000
19.12
 Special Revenue
 903,000
 903,000
19.13$653,000 each year is from the alcohol
19.14enforcement account in the special revenue
19.15fund. Of this appropriation, $500,000 each
19.16year shall be transferred to the general fund.
19.17$250,000 each year is appropriated from the
19.18lawful gambling regulation account in the
19.19special revenue fund.
19.20
 Subd. 11.Office of Justice Programs
 36,206,000
 36,206,000
19.21
 Appropriations by Fund
19.22
 General
 36,110,000
 36,110,000
19.23
19.24
 State Government
Special Revenue
 96,000
 96,000
19.25Up to 2.5 percent of the grant money
19.26appropriated in this subdivision may be used
19.27to administer the grant program.
19.28$1,500,000 in each year is from the general
19.29fund for victim assistance grants. The funds
19.30must be distributed through an open and
19.31competitive grant process for existing crime
19.32victim programs. The funds must be used to
19.33meet the needs of underserved and unserved
19.34areas and populations.
20.1$1,500,000 in each year is from the general
20.2fund for youth intervention programs under
20.3Minnesota Statutes, section 299A.73. The
20.4appropriations must be used to create new
20.5programs statewide in underserved areas
20.6and to help existing programs serve unmet
20.7needs in the program's communities. These
20.8appropriations are available until expended.
20.9$50,000 in each year is from the general
20.10fund for a grant to the Upper Midwest
20.11Community Policing Institute for use
20.12in training community safety personnel
20.13about the use of de-escalation strategies
20.14for handling returning veterans in crisis.
20.15This is a onetime appropriation, and the
20.16unencumbered balance in the first year does
20.17not cancel but is available for the second
20.18year. The commissioner shall consult with
20.19the Peace Officers Standards and Training
20.20(POST) Board regarding the design and
20.21content of the course, and must also ensure
20.22that the training opportunities are reasonably
20.23distributed throughout the state.
20.24$100,000 each year is from the general
20.25fund for a grant to the Juvenile Detention
20.26Alternative Initiative. This is a onetime
20.27appropriation, and funds unexpended in the
20.28first year are available in the second year.
20.29
20.30
 Subd. 12.Emergency Communication
Networks
 59,138,000
 63,639,000
20.31This appropriation is from the state
20.32government special revenue fund for 911
20.33emergency telecommunications services.
20.34(a) Public Safety Answering Points.
20.35 $13,664,000 each year is to be distributed
21.1as provided in Minnesota Statutes, section
21.2403.113, subdivision 2.
21.3(b) Medical Resource Communication
21.4Centers. $683,000 each year is for grants
21.5to the Minnesota Emergency Medical
21.6Services Regulatory Board for the Metro
21.7East and Metro West Medical Resource
21.8Communication Centers that were in
21.9operation before January 1, 2000.
21.10(c) ARMER Debt Service. $23,261,000
21.11each year is to the commissioner of
21.12management and budget to pay debt service
21.13on revenue bonds issued under Minnesota
21.14Statutes, section 403.275.
21.15Any portion of this appropriation not needed
21.16to pay debt service in a fiscal year may be
21.17used by the commissioner of public safety to
21.18pay cash for any of the capital improvements
21.19for which bond proceeds were appropriated
21.20by Laws 2005, chapter 136, article 1, section
21.219, subdivision 8, or Laws 2007, chapter 54,
21.22article 1, section 10, subdivision 8.
21.23(d) ARMER State Backbone Operating
21.24Costs. $9,250,000 the first year and
21.25$9,650,000 the second year are to the
21.26commissioner of transportation for costs
21.27of maintaining and operating the first and
21.28third phases of the statewide radio system
21.29backbone.
21.30(e) ARMER Improvements. $1,000,000
21.31each year is for the Statewide Radio Board for
21.32costs of design, construction, maintenance
21.33of, and improvements to those elements
21.34of the statewide public safety radio and
21.35communication system that support mutual
22.1aid communications and emergency medical
22.2services or provide enhancement of public
22.3safety communication interoperability.

22.4
 Sec. 6. TORT CLAIMS
 $
 600,000
 $
 600,000
22.5This appropriation is to the commissioner of
22.6management and budget.
22.7If the appropriation for either year is
22.8insufficient, the appropriation for the other
22.9year is available for it.

22.10    Sec. 7. APPROPRIATION; EWORKPLACE TELEWORK PROGRAM.
22.11$100,000 is appropriated in fiscal year 2014 from the highway user tax distribution
22.12fund to the commissioner of transportation for phase 2 of the eWorkPlace telework
22.13program. Program components include but are not limited to implementation planning,
22.14enhancement of tools and Web site content, informational research and development,
22.15expansion of employer participation, technical assistance, and performance measurement.
22.16This appropriation is available in fiscal years 2014 and 2015.

22.17    Sec. 8. REAUTHORIZATION; 2008, BOND SALE EXPENSES FOR TRUNK
22.18HIGHWAY BONDS.
22.19$1,414,600 of the amount appropriated in Laws 2008, chapter 152, article 2, section
22.206, for trunk highway bond sale expenses, which was reported to the legislature according
22.21to Minnesota Statutes, section 16A.642, subdivision 1, is reauthorized and does not cancel
22.22under the terms of that subdivision. This appropriation for the bond sale expenses and the
22.23bond sale authorization in Laws 2008, chapter 152, article 2, section 7, subdivision 1, as
22.24amended, are available until December 31, 2019.
22.25EFFECTIVE DATE.This section is effective the day following final enactment.

22.26ARTICLE 2
22.27TRANSPORTATION FINANCE

22.28    Section 1. Minnesota Statutes 2012, section 163.051, is amended to read:
22.29163.051 METROPOLITAN COUNTY WHEELAGE TAX.
22.30    Subdivision 1. Tax authorized. (a) Except as provided in paragraph (b), the board of
22.31commissioners of each metropolitan county is authorized to levy by resolution a wheelage
23.1tax of $5 for the year 1972 and each subsequent year thereafter by resolution $10 for each
23.2calendar year from 2014 to 2016, and up to $20 in each calendar year beginning in 2017,
23.3 on each motor vehicle that is kept in such county when not in operation and that is subject
23.4to annual registration and taxation under chapter 168. The board may provide by resolution
23.5for collection of the wheelage tax by county officials or it may request that the tax be
23.6collected by the state registrar of motor vehicles, and. The state registrar of motor vehicles
23.7shall collect such tax on behalf of the county if requested, as provided in subdivision 2.
23.8    (b) The following vehicles are exempt from the wheelage tax:
23.9    (1) motorcycles, as defined in section 169.011, subdivision 44;
23.10    (2) motorized bicycles, as defined in section 169.011, subdivision 45; and
23.11    (3) electric-assisted bicycles, as defined in section 169.011, subdivision 27; and
23.12    (4) (3) motorized foot scooters, as defined in section 169.011, subdivision 46.
23.13    Subd. 2. Collection by registrar of motor vehicles. The wheelage tax levied by
23.14any metropolitan county, if made collectible by the state registrar of motor vehicles,
23.15shall be certified by the county auditor to the registrar not later than August 1 in the year
23.16before the calendar year or years for which the tax is levied, and the registrar shall collect
23.17such tax with the motor vehicle taxes on the affected vehicles for such year or years.
23.18Every owner and every operator of such a motor vehicle shall furnish to the registrar all
23.19information requested by the registrar. No state motor vehicle tax on any such motor
23.20vehicle for any such year shall be received or deemed paid unless the applicable wheelage
23.21tax is paid therewith. The proceeds of the wheelage tax levied by any metropolitan county,
23.22less any amount retained by the registrar to pay costs of collection of the wheelage tax,
23.23shall be paid to the commissioner of management and budget and deposited in the state
23.24treasury to the credit of the county wheelage tax fund of each metropolitan county.
23.25    Subd. 2a. Tax proceeds deposited; costs of collection; appropriation.
23.26Notwithstanding the provisions of any other law, the state registrar of motor vehicles shall
23.27deposit the proceeds of the wheelage tax imposed by subdivision 2, to the credit of the
23.28county wheelage tax fund account of each metropolitan county. The amount necessary to
23.29pay the costs of collection of said tax is appropriated from the county wheelage tax fund
23.30 account of each metropolitan county to the state registrar of motor vehicles.
23.31    Subd. 3. Distribution to metropolitan county; appropriation. On or before
23.32April 1 in 1972 and each subsequent year, the commissioner of management and budget
23.33 On a monthly basis, the registrar of motor vehicles shall issue a warrant in favor of the
23.34treasurer of each metropolitan county for which the registrar has collected a wheelage tax
23.35in the amount of such tax then on hand in the county wheelage tax fund account. There
23.36is hereby appropriated from the county wheelage tax fund account each year, to each
24.1metropolitan county entitled to payments authorized by this section, sufficient moneys
24.2to make such payments.
24.3    Subd. 4. Use of tax. The treasurer of each metropolitan county receiving moneys
24.4 payments under subdivision 3 shall deposit such moneys payments in the county road and
24.5bridge fund. The moneys shall be used for purposes authorized by law which are highway
24.6purposes within the meaning of the Minnesota Constitution, article 14.
24.7    Subd. 6. Metropolitan county defined. "Metropolitan county" means any of the
24.8counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
24.9    Subd. 7. Offenses; penalties; application of other laws. (a) Any owner or operator
24.10of a motor vehicle who shall willfully give gives any false information relative to the tax
24.11herein authorized by this section to the registrar of motor vehicles or any metropolitan
24.12 county, or who shall willfully fail or refuse fails or refuses to furnish any such information,
24.13shall be is guilty of a misdemeanor.
24.14(b) Except as otherwise herein provided in this section, the collection and payment
24.15of a wheelage tax and all matters relating thereto shall be are subject to all provisions of
24.16law relating to collection and payment of motor vehicle taxes so far as applicable.

24.17    Sec. 2. Minnesota Statutes 2012, section 171.061, subdivision 4, is amended to read:
24.18    Subd. 4. Fee; equipment. (a) The agent may charge and retain a filing fee of $5 $8
24.19 for each application. Except as provided in paragraph (c), the fee shall cover all expenses
24.20involved in receiving, accepting, or forwarding to the department the applications and
24.21fees required under sections 171.02, subdivision 3; 171.06, subdivisions 2 and 2a; and
24.22171.07 , subdivisions 3 and 3a.
24.23(b) The statutory fees and the filing fees imposed under paragraph (a) may be paid
24.24by credit card or debit card. The driver's license agent may collect a convenience fee on
24.25the statutory fees and filing fees not greater than the cost of processing a credit card or
24.26debit card transaction. The convenience fee must be used to pay the cost of processing
24.27credit card and debit card transactions. The commissioner shall adopt rules to administer
24.28this paragraph using the exempt procedures of section 14.386, except that section 14.386,
24.29paragraph (b), does not apply.
24.30(c) The department shall maintain the photo identification equipment for all
24.31agents appointed as of January 1, 2000. Upon the retirement, resignation, death, or
24.32discontinuance of an existing agent, and if a new agent is appointed in an existing office
24.33pursuant to Minnesota Rules, chapter 7404, and notwithstanding the above or Minnesota
24.34Rules, part 7404.0400, the department shall provide and maintain photo identification
24.35equipment without additional cost to a newly appointed agent in that office if the office
25.1was provided the equipment by the department before January 1, 2000. All photo
25.2identification equipment must be compatible with standards established by the department.
25.3(d) A filing fee retained by the agent employed by a county board must be paid into
25.4the county treasury and credited to the general revenue fund of the county. An agent who
25.5is not an employee of the county shall retain the filing fee in lieu of county employment
25.6or salary and is considered an independent contractor for pension purposes, coverage
25.7under the Minnesota State Retirement System, or membership in the Public Employees
25.8Retirement Association.
25.9(e) Before the end of the first working day following the final day of the reporting
25.10period established by the department, the agent must forward to the department all
25.11applications and fees collected during the reporting period except as provided in paragraph
25.12(d).

25.13    Sec. 3. [295.80] MOTOR FUELS GROSS RECEIPTS TAX.
25.14    Subdivision 1. Definitions. (a) For purposes of this section, the following terms
25.15have the meanings given, unless the context indicates otherwise.
25.16(b) "Agricultural alcohol gasoline" has the meaning given in section 296A.01,
25.17subdivision 2.
25.18(c) "Commissioner" means the commissioner of the Minnesota Department of
25.19Revenue.
25.20(d) "Distributor" has the meaning given in section 296A.01, subdivision 15.
25.21(e) "For use in motor vehicles" has the meaning given in section 296A.01,
25.22subdivision 21.
25.23(f) "Gasoline" has the meaning given in section 296A.01, subdivision 23.
25.24(g) "Gasoline blended with ethanol" has the meaning given in section 296A.01,
25.25subdivision 25.
25.26(h) "Special fuel" has the meaning given in section 296A.01, subdivision 46.
25.27(i) "Wholesale" means a sale to a buyer whose purpose is to resell the property
25.28to a third party.
25.29    Subd. 2. Imposition. A tax is imposed on the wholesale business of selling the
25.30means or substance used for propelling vehicles on the highways of this state. The tax is
25.31imposed at the rate of 5.5 percent of gross receipts derived by a distributor from the first
25.32sale at wholesale of gasoline, gasoline blended with ethanol, agricultural alcohol gasoline,
25.33and special fuels within this state for use in motor vehicles.
26.1    Subd. 3. Distributor credit or refund. The commissioner shall allow the
26.2distributor credit or refund of that portion of the tax attributable to gross receipts derived
26.3from sales of petroleum products and special fuel:
26.4(1) for export from this state;
26.5(2) purchased by the United States government for exclusive use in performing
26.6government functions;
26.7(3) that is placed in a tank to be used exclusively for residential heating;
26.8(4) destroyed by accident while in the possession of the distributor;
26.9(5) in error; and
26.10(6) for gasoline, sold for storage in an on-farm bulk storage tank.
26.11    Subd. 4. Payment of tax. Each distributor shall file quarterly returns and make
26.12payments by April 18 for the quarter ending March 31; July 18 for the quarter ending June
26.1330; October 18 for the quarter ending September 30; and January 18 of the following
26.14calendar year for the quarter ending December 31. The tax imposed under this chapter is
26.15in addition to any other tax imposed by the state on the distributor.
26.16    Subd. 5. Administrative provisions. Except as otherwise provided in this section,
26.17the relevant audit, assessment, refund, penalty, interest, enforcement, collection remedies,
26.18appeal, and administrative provisions of chapters 270C, 289A, and 296A apply to taxes
26.19imposed under this section.
26.20    Subd. 6. Deposit of revenues. The commissioner shall deposit the revenues from
26.21the gross receipts tax into the highway user tax distribution fund.
26.22EFFECTIVE DATE.This section is effective October 1, 2013, and applies to
26.23gross receipts attributable to the described products and derived by a distribution on
26.24and after that day.

26.25    Sec. 4. Minnesota Statutes 2012, section 296A.07, subdivision 3, is amended to read:
26.26    Subd. 3. Rate of tax. The gasoline excise tax is imposed at the following rates:
26.27    (1) E85 is taxed at the rate of 17.75 13.49 cents per gallon;
26.28    (2) M85 is taxed at the rate of 14.25 10.83 cents per gallon; and
26.29    (3) all other gasoline is taxed at the rate of 25 19 cents per gallon.
26.30EFFECTIVE DATE.This section is effective October 1, 2013, and applies to all
26.31gasoline, undyed diesel fuel, and special fuel in distributor storage on or after that date.

26.32    Sec. 5. Minnesota Statutes 2012, section 296A.08, subdivision 2, is amended to read:
26.33    Subd. 2. Rate of tax. The special fuel excise tax is imposed at the following rates:
27.1    (a) Liquefied petroleum gas or propane is taxed at the rate of 18.75 14.25 cents
27.2per gallon.
27.3    (b) Liquefied natural gas is taxed at the rate of 15 11.4 cents per gallon.
27.4    (c) Compressed natural gas is taxed at the rate of $2.174 $1.652 per thousand cubic
27.5feet; or 25 cents per gasoline equivalent. For purposes of this paragraph, "gasoline
27.6equivalent," as defined by the National Conference on Weights and Measures, is 5.66
27.7pounds of natural gas.
27.8    (d) All other special fuel is taxed at the same rate as the gasoline excise tax as
27.9specified in section 296A.07, subdivision 2. The tax is payable in the form and manner
27.10prescribed by the commissioner.
27.11EFFECTIVE DATE.This section is effective October 1, 2013, and applies to all
27.12gasoline, undyed diesel fuel, and special fuel in distributor storage on or after that date.

27.13    Sec. 6. Minnesota Statutes 2012, section 296A.12, is amended to read:
27.14296A.12 GASOLINE AND SPECIAL FUEL TAX IN LIEU OF OTHER TAXES.
27.15Gasoline and special fuel excise taxes and a gross receipts tax imposed under section
27.16295.80 shall be in lieu of all other taxes imposed upon the business of selling or dealing in
27.17gasoline or special fuel, whether imposed by the state or by any of its political subdivisions,
27.18but are in addition to all ad valorem taxes now imposed by law. Nothing in this chapter is
27.19construed as prohibiting the governing body of any city of this state from licensing and
27.20regulating such business where its authority is conferred by state law or city charter.

27.21    Sec. 7. Minnesota Statutes 2012, section 297A.815, subdivision 3, is amended to read:
27.22    Subd. 3. Motor vehicle lease sales tax revenue. (a) For purposes of this
27.23subdivision, "net revenue" means an amount equal to:
27.24    (1) the revenues, including interest and penalties, collected under this section, during
27.25the fiscal year; less
27.26    (2) in fiscal year 2011, $30,100,000; in fiscal year 2012, $31,100,000; and in fiscal
27.27year 2013 and following fiscal years, $32,000,000.
27.28    (b) On or before June 30 of each fiscal year, the commissioner of revenue shall
27.29estimate the amount of the revenues and subtraction under paragraph (a) for the current
27.30fiscal year.
27.31    (c) On or after July 1 of the subsequent fiscal year, the commissioner of management
27.32and budget shall transfer the net revenue as estimated in paragraph (b) from the general
27.33fund, as follows:
28.1    (1) 50 percent to the greater Minnesota transit account; and
28.2    (2) 50 percent $9,000,000 to the county state-aid highway fund. Notwithstanding
28.3any other law to the contrary, the commissioner of transportation shall allocate the funds
28.4transferred under this clause to the counties in the metropolitan area, as defined in section
28.5473.121 , subdivision 4, excluding the counties of Hennepin and Ramsey, so that each
28.6county shall receive of such amount the percentage that its population, as defined in
28.7section 477A.011, subdivision 3, estimated or established by July 15 of the year prior to
28.8the current calendar year, bears to the total population of the counties receiving funds
28.9under this clause; and
28.10    (2) the remainder to the greater Minnesota transit account.
28.11    (d) For fiscal years 2010 and 2011, the amount under paragraph (a), clause (1), must
28.12be calculated using the following percentages of the total revenues:
28.13    (1) for fiscal year 2010, 83.75 percent; and
28.14    (2) for fiscal year 2011, 93.75 percent.
28.15EFFECTIVE DATE.This section is effective January 1, 2014.

28.16    Sec. 8. Minnesota Statutes 2012, section 297A.992, is amended to read:
28.17297A.992 METROPOLITAN TRANSPORTATION AREA TRANSIT SALES
28.18TAX; TAX, JOINT POWERS BOARD.
28.19    Subdivision 1. Definitions. For purposes of this section, the following terms have
28.20the meanings given them:
28.21    (1) "metropolitan transportation area" means the counties participating in the joint
28.22powers agreement under subdivision 3;
28.23    (2) "eligible county" means the county of Anoka, Carver, Dakota, Hennepin,
28.24Ramsey, Scott, or Washington;
28.25    (3) (2) "committee" means the Grant Evaluation and Ranking System (GEARS)
28.26Committee;
28.27    (4) "minimum guarantee county" means any metropolitan county or eligible county
28.28that is participating in the joint powers agreement under subdivision 3, whose proportion
28.29of the annual sales tax revenue under this section collected within that county is less than
28.30or equal to three percent;
28.31    (3) "net transit sales tax proceeds" means the total proceeds from the sales and use
28.32taxes imposed under this section, less the deductions identified under subdivision 8; and
28.33    (5) (4) "population" means the population, as defined in section 477A.011,
28.34subdivision 3 , estimated or established by July 15 of the year prior to the calendar year
29.1in which the representatives will serve on the Grant Evaluation and Ranking System
29.2Committee established under subdivision 5.
29.3    Subd. 2. Authorization; rates. (a) Notwithstanding section 297A.99, subdivisions
29.41, 2, and 3, or 477A.016, or any other law, the board of a county participating in a joint
29.5powers agreement as specified in this section shall impose by resolution (1) a transportation
29.6sales and use tax at a rate of one-quarter of one percent on retail sales and uses taxable under
29.7this chapter, and (2) an excise tax of $20 per motor vehicle, as defined in section 297B.01,
29.8subdivision 11 , purchased or acquired from any person engaged in the business of selling
29.9motor vehicles at retail, occurring within the jurisdiction of the taxing authority. The taxes
29.10authorized are to fund transportation improvements as specified in this section, including
29.11debt service on obligations issued to finance such improvements pursuant to subdivision 7.
29.12    (b) The tax imposed under this section is not included in determining if the total tax
29.13on lodging in the city of Minneapolis exceeds the maximum allowed tax under Laws 1986,
29.14chapter 396, section 5, as amended by Laws 2001, First Special Session chapter 5, article
29.1512, section 87, or in determining a tax that may be imposed under any other limitations.
29.16    Subd. 2a. Additional tax; rates. (a) A local sales tax is imposed in the metropolitan
29.17counties, as defined in section 473.121, subdivision 4. In order to maintain the same rate
29.18across the region, the tax is imposed in each county as follows:
29.19(1) a sales and use tax on retail sales and uses taxable under this chapter, at a rate
29.20equal to three-quarters of one percent minus the tax rate imposed by each county under
29.21subdivision 2; and
29.22(2) if not imposed by a county under subdivision 2, an excise tax of $20 per motor
29.23vehicle, as defined in section 297B.01, subdivision 11, purchased or acquired from any
29.24person engaged in the business of selling motor vehicles at retail, occurring within the
29.25jurisdiction of the county.
29.26(b) The taxes imposed under this subdivision are not included in determining if the
29.27total tax on lodging in the city of Minneapolis exceeds the maximum allowed tax under
29.28Laws 1986, chapter 396, section 5, as amended by Laws 2001, First Special Session
29.29chapter 5, article 12, section 87, and Laws 2012, chapter 299, article 3, section 3, or in
29.30determining a tax that may be imposed under any other limitations.
29.31    Subd. 3. Joint powers agreement. (a) Before imposing the taxes authorized in
29.32subdivision 2, an eligible county must declare by resolution of its county board to be part
29.33of the metropolitan transportation area and must enter into a joint powers agreement. The
29.34joint powers agreement:
29.35    (1) must form a joint powers board, as specified in subdivision 4;
30.1    (2) must provide a process that allows any eligible county, by resolution of its county
30.2board, to join the joint powers board and impose the taxes authorized in subdivision 2;
30.3    (3) may provide for withdrawal of a participating county before final termination of
30.4the agreement; and
30.5    (4) may provide for a weighted voting system for joint powers board decisions.
30.6(b) All counties in the metropolitan area shall enter into an amended joint powers
30.7agreement that conforms to the provisions of this section.
30.8    Subd. 4. Joint powers board. (a) The joint powers board must consist of one
30.9or more commissioners of each county that is in the metropolitan transportation area,
30.10appointed by its county board, and the chair of the Metropolitan Council, who must have
30.11voting rights, subject to subdivision 3, clause (4). The joint powers board has the powers
30.12and duties provided in this section and section 471.59.
30.13    (b) The joint powers board may utilize no more than three-fourths one-half of one
30.14percent of the net transit sales tax proceeds of the taxes imposed under this section for
30.15ordinary administrative expenses incurred in carrying out the provisions of this section.
30.16Any additional administrative expenses must be paid by the participating counties.
30.17    (c) The joint powers board may establish a technical advisory group that is separate
30.18from the GEARS Committee. The group must consist of representatives of cities, counties,
30.19or public agencies, including the Metropolitan Council. The technical advisory group
30.20must be used solely for technical consultation purposes.
30.21(d) The chair of the joint powers board must be a county commissioner who is
30.22elected by the board.
30.23    Subd. 5. Grant application and awards; Grant Evaluation and Ranking System
30.24(GEARS) Committee process, general requirements. (a) The joint powers board shall
30.25establish a grant application process and identify the amount of available funding for grant
30.26awards. Grant applications must be submitted in a form prescribed by the joint powers
30.27board. An applicant must provide, in addition to all other information required by the joint
30.28powers board, the estimated cost of the project, the amount of the grant sought, possible
30.29sources of funding in addition to the grant sought, and identification of any federal funds
30.30that will be utilized if the grant is awarded. A grant application seeking transit capital
30.31funding must identify the source of money necessary to operate the transit improvement.
30.32    (b) The joint powers board shall establish a timeline and procedures for the award of
30.33grants, and may award grants only to the state and political subdivisions. The board shall
30.34define objective criteria for the award of grants, which must include, but not be limited to,
30.35consistency with the most recent version of the transportation policy plan adopted by the
31.1Metropolitan Council under section 473.146. The joint powers board shall maximize the
31.2availability and use of federal funds in projects funded under this section.
31.3(c) Grants must be funded by the proceeds of the taxes imposed under this section,
31.4bonds, notes, or other obligations issued by the joint powers board under subdivision 7.
31.5    Subd. 5a. Grant awards; Grant Evaluation and Ranking System (GEARS)
31.6Committee. (c) (a) The joint powers board shall establish a GEARS Committee, which
31.7must consist of:
31.8    (1) one county commissioner from each county that is in the metropolitan
31.9transportation area, appointed by its county board;
31.10    (2) one elected city representative from each county that is in the metropolitan
31.11transportation area;
31.12    (3) one additional elected city representative from each county for every additional
31.13400,000 in population, or fraction of 400,000, in the county that is above 400,000 in
31.14population; and
31.15    (4) the chair of the Metropolitan Council Transportation Committee.
31.16    (d) (b) Each city representative must be elected at a meeting of cities in the
31.17metropolitan transportation area, which must be convened for that purpose by the
31.18Association of Metropolitan Municipalities.
31.19    (e) (c) The committee shall:
31.20    (1) evaluate grant applications following objective criteria established by the joint
31.21powers board, and must;
31.22    (2) provide to the joint powers board a selection list of transportation projects that
31.23includes a priority ranking;
31.24    (3) annually evaluate and award grants to local units of government including
31.25park districts for construction and maintenance of regional bicycle, trail, and pedestrian
31.26infrastructure, and for safe routes to school infrastructure; and
31.27    (4) annually evaluate and award grants to cities for planning activities related to
31.28land use and transportation linkages, streetcar development, or bicycle and pedestrian
31.29connections.
31.30(d) Grants awarded by the committee under paragraph (c), clauses (3) and (4), are
31.31not subject to approval by the board. Annually, the committee shall award grants under
31.32those clauses in a total amount that equals no less than 3.75 percent of the net transit
31.33sales tax proceeds.
31.34(e) The committee may award a grant under paragraph (c), clause (3), only if the
31.35project being funded is in compliance with:
32.1(1) a regional non-motorized transportation system plan developed by the
32.2Metropolitan Council; or
32.3(2) a municipal non-motorized transportation plan, which must provide coordinated
32.4development of transportation facilities located in adjacent communities including
32.5connections between facilities in each community.
32.6    Subd. 5b. Grant awards; consistency with transportation plans. (f) A grant
32.7award for a transit project located within the metropolitan area, as defined in section
32.8473.121, subdivision 2 , may be funded only after the Metropolitan Council reviews the
32.9project for consistency with the transit portion of the Metropolitan Council policy plan
32.10and one of the following occurs:
32.11    (1) the Metropolitan Council finds the project to be consistent;
32.12    (2) the Metropolitan Council initially finds the project to be inconsistent, but after a
32.13good faith effort to resolve the inconsistency through negotiations with the joint powers
32.14board, agrees that the grant award may be funded; or
32.15    (3) the Metropolitan Council finds the project to be inconsistent, and submits the
32.16consistency issue for final determination to a panel, which determines the project to be
32.17consistent. The panel is composed of a member appointed by the chair of the Metropolitan
32.18Council, a member appointed by the joint powers board, and a member agreed upon by
32.19both the chair and the joint powers board.
32.20    (g) Grants must be funded by the proceeds of the taxes imposed under this section,
32.21bonds, notes, or other obligations issued by the joint powers board under subdivision 7.
32.22    (h) Notwithstanding the provisions of this section except subdivision 6a, of
32.23the revenue collected under this section, the joint powers board shall allocate to the
32.24Metropolitan Council, in fiscal years 2012 and 2013, an amount not less than 75 percent of
32.25the net cost of operations for those transit ways that were receiving metropolitan sales tax
32.26funds through an operating grant agreement on June 30, 2011.
32.27(i) The Metropolitan Council shall expend any funds allocated under paragraph (h)
32.28for the operations of the specified transit ways solely within those counties that are in the
32.29metropolitan transportation area.
32.30    (j) Nothing in paragraph (h) or (i) prevents grant awards to the Metropolitan Council
32.31for capital and operating assistance for transit ways and park-and-ride facilities.
32.32    Subd. 6. Allocation of Grant awards; eligible uses. (a) The board must allocate
32.33grant awards only for the following transit purposes:
32.34(1) transit way development and operations, consisting of:
32.35    (i) capital improvements to transit ways, including, but not limited to, commuter
32.36rail rolling stock, light rail vehicles, and transit way buses;
33.1    (ii) capital costs for park-and-ride facilities, as defined in section 174.256,
33.2subdivision 2;
33.3    (iii) feasibility studies, planning, alternatives analyses, environmental studies,
33.4engineering, property acquisition for transit way purposes, and construction of transit
33.5ways, including Bottineau Boulevard, Red Rock, Gateway, 394 Commuter Corridor,
33.6and Rush Line transit ways; and
33.7    (iv) operating assistance for transit ways; and
33.8    (2) as specified under subdivision 5a.
33.9    (b) The joint powers board must annually award grants to each minimum guarantee
33.10county in an amount no less than the amount of sales tax revenue collected within that
33.11county as follows:
33.12    (1) to Scott County and Carver County, 55 percent of the net sales tax proceeds
33.13generated by one-quarter of one percent collected in each county respectively for calendar
33.14year 2014 through 2018;
33.15    (2) to the Metropolitan Council for development and construction of the Southwest
33.16light rail transit project and the Bottineau Boulevard, Red Rock, Gateway, 394 Commuter
33.17Corridor, and Rush Line transit ways; and
33.18(3) to the Center for Transportation Studies, University of Minnesota, $500,000
33.19annually for research to improve accessibility, operational efficiency, and safety of transit
33.20systems.
33.21    (c) No more than 1.25 percent of the total awards may be annually allocated for
33.22planning, studies, design, construction, maintenance, and operation of pedestrian programs
33.23and bicycle programs and pathways.
33.24    Subd. 6a. Priority of fund uses. The joint powers board shall allocate all revenues
33.25from the taxes imposed under this section in conformance with the following priority order:
33.26(1) payment of debt service necessary for the fiscal year on bonds or other
33.27obligations issued prior to January 1, 2011, under subdivision 7; and
33.28(2) as otherwise authorized under this section.
33.29    Subd. 7. Bonds. (a) The joint powers board or any county, acting under a joint
33.30powers agreement as specified in this section, may, by resolution, authorize, issue, and sell
33.31its bonds, notes, or other obligations for the purpose of funding grants under subdivision
33.326. The joint powers board or county may also, by resolution, issue bonds to refund the
33.33bonds issued pursuant to this subdivision.
33.34    (b) The bonds of the joint powers board must be limited obligations, payable solely
33.35from or secured by taxes levied under this section.
34.1    (c) The bonds of any county may be limited obligations, payable solely from or
34.2secured by taxes levied under this section. A county may also pledge its full faith, credit,
34.3and taxing power as additional security for the bonds.
34.4    (d) Bonds may be issued in one or more series and sold without an election. The bonds
34.5shall be secured, bear the interest rate or rates or a variable rate, have the rank or priority,
34.6be executed in the manner, be payable in the manner, mature, and be subject to the defaults,
34.7redemptions, repurchases, tender options, or other terms, and shall be sold in such manner
34.8as the joint powers board, the regional railroad authority, or the county may determine.
34.9    (e) The joint powers board or any regional railroad authority or any county may
34.10enter into and perform all contracts deemed necessary or desirable by it to issue and secure
34.11the bonds, including an indenture of trust with a trustee within or without the state.
34.12    (f) Except as otherwise provided in this subdivision, the bonds must be issued and
34.13sold in the manner provided under chapter 475.
34.14    (g) The joint powers board or any regional railroad authority wholly within the
34.15metropolitan transportation area also may authorize, issue, and sell its bonds, notes, or
34.16other obligations for the purposes, and in accordance with the procedures, set forth in
34.17section 398A.07 to fund grants as provided in subdivision 6. The bonds of any regional
34.18railroad authority may be limited obligations, payable solely from or secured by taxes
34.19levied under this section. A regional railroad authority may also pledge its taxing powers
34.20as additional security for the bonds.
34.21    Subd. 8. Allocation Remittance of revenues. After the deductions allowed in
34.22section 297A.99, subdivision 11, the commissioner of revenue shall remit the net proceeds
34.23of the taxes imposed under this section on a monthly basis, as directed by the joint powers
34.24board under this section provided under section 297A.9925.
34.25    Subd. 9. Administration, collection, enforcement. Except as otherwise provided
34.26in this section, the provisions of section 297A.99, subdivisions 4 and 6 to 12a, govern the
34.27administration, collection, and enforcement of the tax authorized under this section.
34.28    Subd. 10. Termination of local option taxes. (a) The taxes imposed under section
34.29297A.99, subdivision 1, subdivision 2 by a county that withdraws from the joint powers
34.30agreement pursuant to subdivision 3, clause (3), shall terminate when the county has
34.31satisfied its portion, as defined in the joint powers agreement, of all outstanding bonds or
34.32obligations entered into while the county was a member of the agreement.
34.33    (b) If the joint powers agreement under subdivision 3 is terminated, the taxes
34.34imposed under section 297A.99, subdivision 1 subdivision 2, at the time of the agreement
34.35termination will terminate when all outstanding bonds or obligations are satisfied. The
35.1auditors of the counties in which the taxes are imposed shall see to the administration of
35.2this paragraph.
35.3    Subd. 11. Report. The joint powers board shall report annually by February 1 to the
35.4house of representatives and senate chairs and ranking minority members of the legislative
35.5 committees having jurisdiction over transportation policy and finance concerning the
35.6 (1) board activities and actions, (2) bonds authorized or issued under subdivision 7, (3)
35.7 revenues received, and (4) grants awarded.
35.8    Subd. 12. Grant awards to Metropolitan Council. Any grant award under this
35.9section made to the Metropolitan Council must supplement, and must not supplant,
35.10operating and capital assistance provided by the state.
35.11EFFECTIVE DATE.This section is effective July 1, 2013, for sales and purchases
35.12made after June 30, 2013, except that the imposition of the tax under subdivision 2a shall
35.13be on the first day of the calendar quarter beginning at least 60 days after the date of final
35.14enactment. This section applies in the counties of Anoka, Carver, Dakota, Hennepin,
35.15Ramsey, Scott, and Washington.

35.16    Sec. 9. [297A.9925] METROPOLITAN AREA TRANSIT SALES TAX;
35.17ALLOCATION OF FUNDS.
35.18    Subdivision 1. Definitions. For purposes of this section, the following terms have
35.19the meanings given them:
35.20(1) "board" means the joints powers board established under section 297A.992; and
35.21(2) "net transit sales tax proceeds" has the meaning given in section 297A.992,
35.22subdivision 1.
35.23    Subd. 2. Allocation formula. In the manner specified under subdivision 6, the net
35.24transit sales tax proceeds shall be allocated as follows:
35.25(1) payment of debt service on bonds or other obligations;
35.26(2) $23,400,000 in calendar year 2014 and $12,375,000 in calendar year 2015 to
35.27the council for Metropolitan Council Transit Operations;
35.28(3) 100 percent of the net operating subsidies for Central Corridor light rail transit,
35.29Cedar Avenue bus rapid transit, I-35W South bus rapid transit, Hiawatha light rail, and
35.30Northstar commuter rail to the council;
35.31(4) for each calendar year beginning January 1, 2014, to the joint powers board, an
35.32amount equal to grants awarded by the GEARS committee under section 297A.992,
35.33subdivision 5a;
36.1(5) annually to the joint powers board for capital grants to be awarded to the
36.2Metropolitan Council for the Southwest light rail transit project under section 297A.992,
36.3subdivision 6;
36.4(6) for each calendar year beginning January 1, 2014, to the council, the amount
36.5necessary to expand commuter transit services in transit ways by an annual average rate of
36.6one percent, including implementation and operation of bus service, prioritizing service in
36.7transit way corridors where the preferred mode of transit is not yet in revenue operation;
36.8(7) for each calendar year beginning January 1, 2014, to the joint powers board, an
36.9amount equal to the total sales and use tax generated by a rate equal to one-quarter of one
36.10percent and an excise tax of $20 per motor vehicle in the metropolitan area counties, less
36.11$21,750,000 in calendar year 2014 and $27,150,000 in calendar year 2015;
36.12(8) for each calendar year beginning January 1, 2014, $500,000 to the joint powers
36.13board for a grant to the Center for Transportation Studies at the University of Minnesota;
36.14and
36.15(9) the remaining revenues following the allocations under clauses (1) to (8), to the
36.16board, the council, or both, as specified in the joint certification under subdivision 3.
36.17    Subd. 3. Joint certification. (a) The board and the Metropolitan Council shall
36.18annually develop a joint certification as provided in this subdivision. The joint certification
36.19must be separately adopted by the board and by the council no later than August 31 of
36.20each year.
36.21(b) By July 1, 2013, and by March 15 of each subsequent year, the commissioner
36.22of revenue shall provide to the board and council an estimate of the net transit sales tax
36.23proceeds for the subsequent calendar year.
36.24(c) If, on October 1 in any year, the board and the Metropolitan Council have not
36.25reached agreement as to the contents of the joint certification, they shall submit the issue
36.26for dispute resolution to a panel composed of a member appointed by the chair of the
36.27Metropolitan Council, a member appointed by the board, and a member agreed upon by
36.28both the chair and the board. The panel shall mediate discussion of areas of disagreement
36.29and shall issue advisory recommendations.
36.30(d) If the commissioner does not receive a joint certification by December 1, the
36.31commissioner may not remit the proceeds identified under subdivision 2, clause (7),
36.32except as provided by a legislatively enacted appropriation.
36.33(e) The joint certification must specify the use of sales tax proceeds and account for
36.34deposit of the remainder after allocations.
36.35(f) A joint certification may not exceed the estimated net transit sales tax proceeds
36.36less the allocations required under subdivision 2, clauses (1) to (6).
37.1(g) By December 15 annually, the board shall electronically submit a copy of any
37.2joint certification to the chairs and ranking minority members of the legislative committees
37.3with jurisdiction over transportation policy and finance.
37.4    Subd. 4. Uses and priorities; Metropolitan Council. The Metropolitan Council
37.5shall use all funds remitted to the council under this section in the following priority order:
37.6(1) continuation of bus and rail transit operations, including but not limited to
37.7operations of providers under section 473.388, and operations and maintenance of all
37.8transit ways under revenue operations; and
37.9(2) transit expansion in accordance with the transit portion of the council's policy
37.10transit plan, including, but not limited to, expansion and upgrades of bus service and
37.11related amenities, including transit provided under section 473.388, development of
37.12arterial bus rapid transit, transit ways, and streetcars as appropriate, and maintenance of
37.13affordable transit fares.
37.14    Subd. 5. Uses and priorities; joint powers board. The board shall use all funds
37.15remitted to the board under this section as provided in section 297A.992.
37.16    Subd. 6. Remittance schedule. The commissioner of revenue shall remit the net
37.17transit sales tax proceeds on a monthly basis to a fiscal agent selected by the board and
37.18council. The fiscal agent shall maintain three separate accounts: a council account, a
37.19board account, and an escrow account. Proceeds shall be deposited first into the board
37.20and council accounts based on the amounts indicated in subdivisions 2, 3, and 7, then into
37.21the escrow account. The rate of deposit for all or any portion of the proceeds into any
37.22account may be modified by mutual agreement of the parties to reflect bond covenants
37.23or cash flow needs. Proceeds deposited into the board and council accounts shall be
37.24transferred to the board and council, respectively, within five business days of receipt.
37.25Unless otherwise directed herein, money held in the escrow account is subject to the joint
37.26certification process under subdivision 3.
37.27    Subd. 7. Transition. Notwithstanding subdivision 2, for the calendar year ending
37.28December 31, 2013, the board shall advance proceeds from the net transit sales tax
37.29imposed in section 297A.992, subdivision 2, as follows:
37.30(1) $11,700,000 to the council for transit operations under chapter 473; and
37.31(2) $2,500,000 to the council for the Southwest light rail transit project.
37.32The board account will be reimbursed $14,200,000 from net sales tax proceeds in calendar
37.33year 2014.
37.34EFFECTIVE DATE.This section is effective July 1, 2013, and applies in the
37.35counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.

38.1    Sec. 10. Minnesota Statutes 2012, section 297A.993, subdivision 1, is amended to read:
38.2    Subdivision 1. Authorization; rates. Notwithstanding section 297A.99,
38.3subdivisions 1, 2, 3, 5, and 13, or 477A.016, or any other law, the board of a county outside
38.4the metropolitan transportation area, as defined under section 297A.992, subdivision 1, or
38.5more than one county outside the metropolitan transportation area acting under a joint
38.6powers agreement, may by resolution of the county board, or each of the county boards,
38.7following a public hearing impose (1) a transportation sales tax at a rate of up to one-half
38.8of one percent on retail sales and uses taxable under this chapter, and (2) an excise tax
38.9of $20 per motor vehicle, as defined in section 297B.01, subdivision 11, purchased or
38.10acquired from any person engaged in the business of selling motor vehicles at retail,
38.11occurring within the jurisdiction of the taxing authority. The taxes imposed under this
38.12section are subject to approval by a majority of the voters in each of the counties affected
38.13at a general election who vote on the question to impose the taxes.
38.14EFFECTIVE DATE.This section is effective the day following final enactment.

38.15    Sec. 11. Minnesota Statutes 2012, section 297A.993, subdivision 2, is amended to read:
38.16    Subd. 2. Allocation; termination. The proceeds of the taxes must be dedicated
38.17exclusively to: (1) payment of the capital cost of a specific transportation project or
38.18improvement; (2) payment of the costs, which may include both capital and operating
38.19costs, of a specific transit project or improvement; (3) payment of the capital costs of a
38.20safe route to school program under section 174.40; or (4) payment of transit operating
38.21costs. The transportation or transit project or improvement must be designated by the
38.22board of the county, or more than one county acting under a joint powers agreement.
38.23Except for taxes for operating costs of a transit project or improvement, or for transit
38.24operations, the taxes must terminate after the project or improvement has been completed
38.25 when revenues raised are sufficient to finance the project.
38.26EFFECTIVE DATE.This section is effective the day following final enactment.

38.27    Sec. 12. Minnesota Statutes 2012, section 297B.01, subdivision 14, is amended to read:
38.28    Subd. 14. Purchase price. (a) "Purchase price" means the total consideration
38.29valued in money for a sale, whether paid in money or otherwise. The purchase price
38.30excludes the amount of a manufacturer's rebate paid or payable to the purchaser. If a motor
38.31vehicle is taken in trade as a credit or as part payment on a motor vehicle taxable under
38.32this chapter, the credit or trade-in value allowed by the person selling the motor vehicle
38.33shall be deducted from the total selling price to establish the purchase price of the vehicle
39.1being sold and the trade-in allowance allowed by the seller shall constitute the purchase
39.2price of the motor vehicle accepted as a trade-in. The purchase price in those instances
39.3where the motor vehicle is acquired by gift or by any other transfer for a nominal or no
39.4monetary consideration shall also include the average value of similar motor vehicles,
39.5established by standards and guides as determined by the motor vehicle registrar. The
39.6purchase price in those instances where a motor vehicle is manufactured by a person who
39.7registers it under the laws of this state shall mean the manufactured cost of such motor
39.8vehicle and manufactured cost shall mean the amount expended for materials, labor,
39.9and other properly allocable costs of manufacture, except that in the absence of actual
39.10expenditures for the manufacture of a part or all of the motor vehicle, manufactured costs
39.11shall mean the reasonable value of the completed motor vehicle.
39.12(b) The term "purchase price" shall not include the portion of the value of a motor
39.13vehicle due solely to modifications necessary to make the motor vehicle disability
39.14accessible.
39.15(c) The term "purchase price" shall not include the transfer of a motor vehicle by
39.16way of gift between a husband and wife or parent and child, or to a nonprofit organization
39.17as provided under subdivision 16, paragraph (c), clause (5) (6), nor shall it include
39.18the transfer of a motor vehicle by a guardian to a ward when there is no monetary
39.19consideration and the title to such vehicle was registered in the name of the guardian, as
39.20guardian, only because the ward was a minor.
39.21(d) The term "purchase price" shall not include the transfer of a motor vehicle as a
39.22gift between a foster parent and foster child. For purposes of this subdivision, a foster
39.23relationship exists, regardless of the age of the child, if (1) a foster parent's home is or was
39.24licensed as a foster family home under Minnesota Rules, parts 9545.0010 to 9545.0260,
39.25and (2) the county verifies that the child was a state ward or in permanent foster care.
39.26(e) There shall not be included in "purchase price" the amount of any tax imposed by
39.27the United States upon or with respect to retail sales whether imposed upon the retailer or
39.28the consumer.
39.29EFFECTIVE DATE.This section is effective July 1, 2013, and apply to transfers
39.30of title that occur on or after that date.

39.31    Sec. 13. Minnesota Statutes 2012, section 297B.01, subdivision 16, is amended to read:
39.32    Subd. 16. Sale, sells, selling, purchase, purchased, or acquired. (a) "Sale,"
39.33"sells," "selling," "purchase," "purchased," or "acquired" means any transfer of title of any
39.34motor vehicle, whether absolutely or conditionally, for a consideration in money or by
39.35exchange or barter for any purpose other than resale in the regular course of business.
40.1    (b) Any motor vehicle utilized by the owner only by leasing such vehicle to others
40.2or by holding it in an effort to so lease it, and which is put to no other use by the owner
40.3other than resale after such lease or effort to lease, shall be considered property purchased
40.4for resale.
40.5    (c) The terms also shall include any transfer of title or ownership of a motor vehicle
40.6by other means, for or without consideration, except that these terms shall not include:
40.7    (1) the acquisition of a motor vehicle by inheritance from or by bequest of, a
40.8decedent who owned it;
40.9    (2) the transfer of a motor vehicle which was previously licensed in the names of
40.10two or more joint tenants and subsequently transferred without monetary consideration to
40.11one or more of the joint tenants;
40.12    (3) the transfer of a motor vehicle by way of gift between individuals, or gift
40.13from a limited used vehicle dealer licensed under section 168.27, subdivision 4a, to an
40.14individual, when the transfer is with no monetary or other consideration or expectation
40.15of consideration and the parties to the transfer submit an affidavit to that effect at the
40.16time the title transfer is recorded;
40.17    (4) the transfer of a motor vehicle by gift between spouses or between parent and
40.18child;
40.19(5) the voluntary or involuntary transfer of a motor vehicle between a husband and
40.20wife in a divorce proceeding; or
40.21    (5) (6) the transfer of a motor vehicle by way of a gift to an organization that is exempt
40.22from federal income taxation under section 501(c)(3) of the Internal Revenue Code when
40.23the motor vehicle will be used exclusively for religious, charitable, or educational purposes.
40.24EFFECTIVE DATE.This section is effective July 1, 2013, and apply to transfers
40.25of title that occur on or after that date.

40.26    Sec. 14. Minnesota Statutes 2012, section 297B.02, subdivision 1, is amended to read:
40.27    Subdivision 1. Rate. There is imposed an excise tax of 6.5 6.875 percent on the
40.28purchase price of any motor vehicle purchased or acquired, either in or outside of the state
40.29of Minnesota, which is required to be registered under the laws of this state.
40.30The excise tax is also imposed on the purchase price of motor vehicles purchased
40.31or acquired on Indian reservations when the tribal council has entered into a sales tax on
40.32motor vehicles refund agreement with the state of Minnesota.

40.33    Sec. 15. Minnesota Statutes 2012, section 297B.02, subdivision 3, is amended to read:
41.1    Subd. 3. In lieu tax for collector vehicle. In lieu of the tax imposed in subdivision
41.21, there is imposed a tax of $90 $150 on the purchase price of a passenger automobile or a
41.3fire truck described in section 297B.025, subdivision 2.
41.4EFFECTIVE DATE.This section is effective July 1, 2013, and apply to transfers
41.5of title that occur on or after that date.

41.6    Sec. 16. Minnesota Statutes 2012, section 297B.09, subdivision 1, is amended to read:
41.7    Subdivision 1. Deposit of revenues. (a) Money collected and received under this
41.8chapter must be deposited as provided in this subdivision.
41.9    (b) From July 1, 2007, through June 30, 2008, 38.25 percent of the money collected
41.10and received must be deposited in the highway user tax distribution fund, 24 percent must
41.11be deposited in the metropolitan area transit account under section 16A.88, and 1.5 percent
41.12must be deposited in the greater Minnesota transit account under section 16A.88. The
41.13remaining money must be deposited in the general fund.
41.14    (c) From July 1, 2008, through June 30, 2009, 44.25 percent of the money collected
41.15and received must be deposited in the highway user tax distribution fund, 27.75 percent
41.16must be deposited in the metropolitan area transit account under section 16A.88, 1.75
41.17percent must be deposited in the greater Minnesota transit account under section 16A.88,
41.18and the remaining money must be deposited in the general fund.
41.19(d) From July 1, 2009, through June 30, 2010, 47.5 percent of the money collected
41.20and received must be deposited in the highway user tax distribution fund, 30 percent
41.21must be deposited in the metropolitan area transit account under section 16A.88, 3.5
41.22percent must be deposited in the greater Minnesota transit account under section 16A.88,
41.23and 16.25 percent must be deposited in the general fund. The remaining amount must
41.24be deposited as follows:
41.25(1) 1.5 percent in the metropolitan area transit account, except that any amount in
41.26excess of $6,000,000 must be deposited in the highway user tax distribution fund; and
41.27(2) 1.25 percent in the greater Minnesota transit account, except that any amount in
41.28excess of $5,000,000 must be deposited in the highway user tax distribution fund.
41.29(e) From July 1, 2010, through June 30, 2011, 54.5 percent of the money collected
41.30and received must be deposited in the highway user tax distribution fund, 33.75 percent
41.31must be deposited in the metropolitan area transit account under section 16A.88, 3.75
41.32percent must be deposited in the greater Minnesota transit account under section 16A.88,
41.33and 6.25 percent must be deposited in the general fund. The remaining amount must
41.34be deposited as follows:
42.1(1) 1.5 percent in the metropolitan area transit account, except that any amount in
42.2excess of $6,750,000 must be deposited in the highway user tax distribution fund; and
42.3(2) 0.25 percent in the greater Minnesota transit account, except that any amount in
42.4excess of $1,250,000 must be deposited in the highway user tax distribution fund.
42.5    (f) On and after July 1, 2011, (b) On and after July 1, 2013, 60 percent of the money
42.6collected and received must be deposited in the highway user tax distribution fund, 36 35
42.7percent must be deposited in the metropolitan area transit account under section 16A.88,
42.8and four five percent must be deposited in the greater Minnesota transit account under
42.9section 16A.88.
42.10(g) It is the intent of the legislature that the allocations under paragraph (f) remain
42.11unchanged for fiscal year 2012 and all subsequent fiscal years.

42.12    Sec. 17. Minnesota Statutes 2012, section 398A.10, subdivision 1, is amended to read:
42.13    Subdivision 1. Capital costs. A county regional railroad authority may not
42.14contribute more than ten five percent of the capital costs of a light rail transit or commuter
42.15rail project. This subdivision does not apply to a light rail transit project for which a
42.16county regional railroad authority commits to providing an amount greater than ten five
42.17 percent of the capital costs, if the commitment (1) is made before October 2, 2008 the
42.18effective date of this section, (2) is made as part of an application for federal funds, and
42.19(3) is adjusted by the county regional railroad authority to meet the requirements of this
42.20subdivision as part of the next scheduled federal funding application for the project.
42.21EFFECTIVE DATE.This section is effective the day following final enactment.

42.22    Sec. 18. [435.39] MUNICIPAL STREET MAINTENANCE DISTRICTS.
42.23    Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
42.24have the meanings given them.
42.25(b) "Governing body" means the city council of a municipality.
42.26(c) "Maintenance" means striping, seal coating, mill and overlay, reclamation,
42.27crack sealing, pavement repair, sidewalk maintenance, signal maintenance, street light
42.28maintenance, and signage.
42.29(d) "Municipal street" means a street, alley, or public way in which the municipality
42.30is the road authority with powers conferred by section 429.021.
42.31(e) "Municipality" means a home rule charter or statutory city.
42.32(f) "Street maintenance district" means a geographic area designated by a
42.33municipality and located within the municipality within which street maintenance may be
42.34undertaken and financed according to this section.
43.1(g) "Unimproved parcel" means a parcel of land that abuts an unimproved municipal
43.2street and that is not served by municipal sewer or water utilities; or in the case of a parcel
43.3abutting an improved municipal street and served by municipal sewer or water utilities,
43.4the parcel: (1) is not improved by construction of an authorized structure; or (2) contains a
43.5structure that has not previously been occupied.
43.6    Subd. 2. Authorization. A municipality may establish by ordinance municipal
43.7street maintenance districts and may defray all or part of the total costs of municipal street
43.8maintenance by apportioning street maintenance fees to all of the parcels located in the
43.9district. A street maintenance district must not include any property already located in
43.10another street maintenance district.
43.11    Subd. 3. Uniformity. Except as otherwise provided in subdivisions 9 and 10, the
43.12total costs of municipal street maintenance must be apportioned to all parcels or tracts
43.13of land located in the established street maintenance district on a uniform basis within
43.14each classification of real estate.
43.15    Subd. 4. Adoption of plan. Before establishing a municipal street maintenance
43.16district or authorizing a street maintenance fee, a municipality must propose and adopt a
43.17street maintenance plan that identifies the location of the municipal street maintenance
43.18district and identifies and estimates the costs of the proposed maintenance during the
43.19proposed period of collection of municipal street maintenance fees, which must be for
43.20a period of at least five years and at most 20 years. Notice of a public hearing on the
43.21proposed plan must be given by mail to all affected landowners at least 30 days before
43.22the hearing and posted for at least 30 days before the hearing. At the public hearing, the
43.23governing body must present the plan and all affected landowners in attendance must have
43.24the opportunity to comment before the governing body considers adoption of the plan.
43.25    Subd. 5. Use of fees. Revenues from street maintenance fees must be placed in a
43.26separate account and used only for projects located within the district and identified in the
43.27municipal street maintenance plan.
43.28    Subd. 6. Collection; up to 20 years. (a) An ordinance adopted under this section
43.29must provide for billing and payment of the fee on a monthly, quarterly, or other basis
43.30as directed by the governing body. The governing body may collect municipal street
43.31maintenance fees within a street maintenance district for a maximum of 20 years.
43.32    (b) Fees that, as of October 15 of each year, have remained unpaid for at least 30
43.33days may be certified to the county auditor for collection as a special assessment payable
43.34in the following calendar year against the affected property.
43.35    Subd. 7. Maintenance fee. A municipality may impose a municipal street
43.36maintenance fee by ordinance. The ordinance must not be voted on or adopted until after
44.1public notice is provided and a public hearing is held in the same manner as provided in
44.2subdivision 4.
44.3    Subd. 8. Not exclusive means of financing maintenance. The use of the municipal
44.4street maintenance fee by a municipality does not restrict the municipality from imposing
44.5other measures to pay the costs of local street maintenance, except that a municipality
44.6must not impose special assessments for projects funded with street maintenance fees.
44.7    Subd. 9. Undeveloped parcels; fees. A municipality may not impose a street
44.8maintenance fee on any undeveloped parcel located within an established street
44.9maintenance district until at least three years after either the date of substantial completion
44.10of the paving of the previous unimproved municipal street or the date which a previously
44.11unoccupied structure is first occupied, whichever is later.
44.12    Subd. 10. Institutions of public charity. A municipality may not impose a street
44.13maintenance fee on any parcel owned by an institution of public charity within the
44.14meaning of section 272.02, subdivision 7.
44.15EFFECTIVE DATE.This section is effective July 1, 2013 and expires on June
44.1630, 2018, except as to municipal street maintenance fees that were imposed before the
44.17expiration date. Municipal street maintenance fees imposed before the expiration date
44.18continue until they expire by the terms of the original ordinance.

44.19    Sec. 19. Minnesota Statutes 2012, section 473.39, is amended by adding a subdivision
44.20to read:
44.21    Subd. 1s. Obligations. After July 1, 2013, in addition to other authority in this
44.22section, the council may issue certificates of indebtedness, bonds, or other obligations
44.23under this section in an amount not exceeding $35,800,000 for capital expenditures as
44.24prescribed in the council's transit capital improvement program and for related costs,
44.25including the costs of issuance and sale of the obligations.
44.26EFFECTIVE DATE.This section is effective the day following final enactment
44.27and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and
44.28Washington.

44.29    Sec. 20. Minnesota Statutes 2012, section 473.39, is amended by adding a subdivision
44.30to read:
44.31    Subd. 6. Revenue Bonds. (a) In addition to other authority under this section, the
44.32council may, by resolution, authorize the issuance and sale of its revenue bonds, notes, or
45.1other obligations to provide funds to implement the council's transit capital improvement
45.2program and to refund bonds issued under this subdivision.
45.3(b) The bonds shall be sold, issued, and secured in the manner provided in chapter
45.4475 for bonds payable solely from or secured by revenues, and the council shall have the
45.5same powers and duties as a municipality and its governing body in issuing bonds under
45.6that chapter. The bonds (1) shall be payable from and secured by a pledge of all or any
45.7part of revenues receivable to the council from the metropolitan area transit sales tax
45.8imposed under section 297A.992 and allocated under section 299A.9925, and associated
45.9investment earnings on debt proceeds; (2) shall not, and shall state they do not, represent
45.10or constitute a general obligation of the council; and (3) shall not be included in the net
45.11debt of any city, county, or other subdivision of the state for the purpose of any net
45.12debt limitation. The bonds will be deemed payable wholly from the income of revenue
45.13producing conveniences within the meaning of section 475.58. The proceeds of the bonds
45.14may also be used to fund necessary reserves and to pay credit enhancement fees, issuance
45.15costs, and other financing costs during the life of the debt.
45.16(c) The bonds may be secured by a bond resolution, or a trust indenture entered into
45.17by the council with a corporate trustee within or outside the state, which shall define the
45.18revenues and bond proceeds pledged for the payment and security of the bonds. The
45.19pledge shall be a valid charge on the revenues received by the council under section
45.20299A.9925. Neither the state, nor any municipality or political subdivision except the
45.21council, nor any member or officer or employee of the council, is liable on the obligations.
45.22No mortgage of or security interest in any tangible real or personal property shall be
45.23granted to the bondholders or the trustee, but they shall have a valid security interest in the
45.24revenues and bond proceeds received by the council and pledged to the payment of the
45.25bonds. In the bond resolution or trust indenture, the council may make such covenants as
45.26it determines to be reasonable for the protection of the bondholders, including a covenant
45.27to issue general obligation bonds to refund the revenue bonds if and to the extent required
45.28to pay principal and interest on the bonds.
45.29EFFECTIVE DATE.This section is effective the day following final enactment,
45.30and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and
45.31Washington.

45.32    Sec. 21. Laws 2009, chapter 9, section 1, the effective date, is amended to read:
45.33EFFECTIVE DATE.This section is effective the day following final enactment,
45.34and expires on June 30, 2013 2016.

46.1ARTICLE 3
46.2TRANSPORTATION AND PUBLIC SAFETY POLICY

46.3    Section 1. [161.088] CORRIDORS OF COMMERCE PROGRAM.
46.4    Subdivision 1. Definitions. For purposes of this section, the following terms have
46.5the meanings given:
46.6(1) "beyond the project limits" means any point that is located outside of the project
46.7limits and along the same trunk highway, and is located within the same region of the state;
46.8(2) "city" means a statutory or home rule charter city;
46.9(3) "program" means the corridors of commerce program established in this section;
46.10and
46.11(4) "project limits" means the estimated construction limits of a project for trunk
46.12highway construction, reconstruction, or maintenance, that is a candidate for selection
46.13under the corridors of commerce program.
46.14    Subd. 2. Program authority, funding. (a) As provided in this section, the
46.15commissioner shall establish a corridors of commerce program for trunk highway
46.16construction, reconstruction, and improvement, including maintenance operations, that
46.17improves commerce in the state.
46.18(b) The commissioner may expend funds under the program from appropriations
46.19to the commissioner that are (1) made specifically by law for use under this section; (2)
46.20at the discretion of the commissioner, made for the budget activities in the state roads
46.21program of operations and maintenance, program planning and delivery, or state road
46.22construction; and (3) made for the corridor investment management strategy program,
46.23unless specified otherwise.
46.24(c) The commissioner shall include in the program the cost participation policy for
46.25local units of government.
46.26    Subd. 3. Project classification. The commissioner shall determine whether each
46.27candidate project can be classified into at least one of the following classifications:
46.28(1) capacity development, for a project on a segment of a trunk highway where the
46.29segment:
46.30(i) is not a divided highway, and that highway is an expressway or freeway beyond
46.31the project limits;
46.32(ii) contains a highway terminus that lacks an intersection or interchange with
46.33another trunk highway;
46.34(iii) contains fewer lanes of travel compared to that highway beyond the project
46.35limits; or
47.1(iv) contains a location that is proposed as a new interchange or to be reconstructed
47.2from an intersection to an interchange; or
47.3(2) freight improvement, for an asset preservation or replacement project that
47.4can result in: removing or reducing barriers to commerce, easing or preserving freight
47.5movement, supporting emerging industries, or providing connections between the trunk
47.6highway system and other transportation modes for the movement of freight.
47.7    Subd. 4. Project eligibility. (a) The commissioner shall establish eligibility
47.8requirements for projects that can be funded under the program. Eligibility must include:
47.9(1) consistency with the statewide multimodal transportation plan under section
47.10174.03;
47.11(2) location of the project on an interregional corridor, for a project located outside
47.12of the Department of Transportation metropolitan district;
47.13(3) placement into at least one project classification under subdivision 3;
47.14(4) a maximum length of time, as determined by the commissioner, until
47.15commencement of construction work on the project; and
47.16(5) for each type of project classification under subdivision 3, a maximum allowable
47.17amount for the total project cost estimate, as determined by the commissioner with
47.18available data.
47.19(b) A project whose construction is programmed in the state transportation
47.20improvement program is not eligible for funding under the program. This paragraph does
47.21not apply to a project that is programmed as result of selection under this section.
47.22(c) A project may be, but is not required to be, identified in the 20-year state highway
47.23capital investment plan under section 174.03.
47.24    Subd. 5. Project selection process; criteria. (a) The commissioner shall establish a
47.25process for identification, evaluation, and selection of projects under the program.
47.26(b) As part of the project selection process, the commissioner shall annually accept
47.27recommendations on candidate projects from area transportation partnerships and other
47.28interested stakeholders in each Department of Transportation district. In selecting a
47.29project from District 1, the commissioner is encouraged to prioritize acceleration of the
47.30scoping, relocation, design, and construction of a highway located near taconite mines. In
47.31selecting a project from Districts 6 and 7, the commissioner is encouraged to prioritize the
47.32expansion to four lanes of an interregional corridor that connects regional trade centers,
47.33connects with other interregional corridors, and contains two-lane segments with 1.5
47.34times the state average fatality rate for rural two-lane roads. For each candidate project
47.35identified under this paragraph, the commissioner shall determine eligibility, classify, and
47.36if appropriate, evaluate the project for the program.
48.1(c) Project evaluation and prioritization must be performed on the basis of objective
48.2criteria, which must include:
48.3(1) a return on investment measure that provides for comparison across eligible
48.4projects;
48.5(2) measurable impacts on commerce and economic competitiveness;
48.6(3) efficiency in the movement of freight, including but not limited to:
48.7(i) measures of annual average daily traffic and commercial vehicle miles traveled,
48.8which may include data near the project location on that trunk highway or on connecting
48.9trunk and local highways; and
48.10(ii) measures of congestion or travel time reliability, which may be within or near
48.11the project limits, or both;
48.12(4) improvements to traffic safety;
48.13(5) connections to regional trade centers, local highway systems, and other
48.14transportation modes;
48.15(6) extent to which the project addresses multiple transportation system policy
48.16objectives and principles; and
48.17(7) support and consensus for the project among members of the surrounding
48.18community.
48.19(d) As part of the project selection process, the commissioner may divide funding
48.20to be separately available among projects within each classification under subdivision 3,
48.21and may apply separate or modified criteria among those projects falling within each
48.22classification.
48.23    Subd. 6. Funding allocations; operations and maintenance. In identifying the
48.24amount of funding allocated to a project under the program, the commissioner may
48.25include allocations of funds for operations and maintenance resulting from that project,
48.26that are assigned in future years following completion of the project, subject to available
48.27funds for the program in those years from eligible sources.
48.28    Subd. 7. Legislative report, evaluation. (a) Starting in 2014, annually by November
48.291, the commissioner shall electronically submit a report on the corridors of commerce
48.30program to the chairs and ranking minority members of the legislative committees with
48.31jurisdiction over transportation policy and finance. At a minimum, the report must include:
48.32(1) a summary of the program, including a review of the project selection process,
48.33eligibility and criteria, funds expended in the previous selection cycle, and total funds
48.34expended since program inception;
48.35(2) a listing of projects funded under the program in the previous selection cycle,
48.36including: project classification; a breakdown of project costs and funding sources;
49.1any future operating costs assigned under subdivision 7; and a brief description that is
49.2comprehensible to a lay audience;
49.3(3) a listing of candidate project recommendations required under subdivision 5,
49.4paragraph (b), including project classification and disposition in the selection process; and
49.5(4) any recommendations for changes to statutory requirements of the program.
49.6(b) Starting in 2016, and in every even-numbered year thereafter, the commissioner
49.7shall incorporate into the report the results of an independent evaluation of impacts and
49.8effectiveness of the program. The evaluation must be performed by agency staff or a
49.9consultant with experience in program evaluation who have no regular involvement in
49.10program implementation.
49.11EFFECTIVE DATE.This section is effective the day following final enactment.

49.12    Sec. 2. Minnesota Statutes 2012, section 161.20, subdivision 3, is amended to read:
49.13    Subd. 3. Trunk highway fund appropriations. The commissioner may expend
49.14trunk highway funds only for trunk highway purposes. Payment of expenses related
49.15to Bureau of Criminal Apprehension laboratory, Explore Minnesota Tourism kiosks,
49.16Minnesota Safety Council, tort claims, driver education programs, Emergency Medical
49.17Services Board, Mississippi River Parkway Commission, payments to MN.IT Services in
49.18excess of actual costs incurred for trunk highway purposes, and personnel costs incurred
49.19on behalf of the Governor's Office do not further a highway purpose and do not aid in the
49.20construction, improvement, or maintenance of the highway system.

49.21    Sec. 3. Minnesota Statutes 2012, section 161.53, is amended to read:
49.22161.53 RESEARCH ACTIVITIES.
49.23    (a) The commissioner may set aside in each fiscal year up to two percent of the total
49.24amount of all funds appropriated to the commissioner other than county state-aid and
49.25municipal state-aid highway funds for transportation research including public and private
49.26research partnerships. The commissioner shall spend this money for (1) research to improve
49.27the design, construction, maintenance, management, and environmental compatibility
49.28of transportation systems, including research into and implementation of innovations
49.29in bridge-monitoring technology and bridge inspection technology; bridge inspection
49.30techniques and best practices; and the cost-effectiveness of deferred or lower cost highway
49.31and bridge design and maintenance activities and their impacts on long-term trunk highway
49.32costs and maintenance needs; (2) research on transportation policies that enhance energy
50.1efficiency and economic development; (3) programs for implementing and monitoring
50.2research results; and (4) development of transportation education and outreach activities.
50.3(b) Of all funds appropriated to the commissioner other than state-aid funds, the
50.4commissioner shall spend at least 0.1 percent, but not exceeding $1,200,000 $2,000,000
50.5in any fiscal year, for research and related activities performed by the Center for
50.6Transportation Studies of the University of Minnesota. The center shall establish a
50.7technology transfer and training center for Minnesota transportation professionals. By
50.8June 30, 2018, the center shall conduct research on transportation policy and economic
50.9competitiveness, including, but not limited to, innovative transportation finance options
50.10and economic development, transportation impacts of industry clusters and freight, and
50.11transportation technology impacts on economic competitiveness.

50.12    Sec. 4. Minnesota Statutes 2012, section 162.07, subdivision 1a, is amended to read:
50.13    Subd. 1a. Apportionment sum and excess sum. (a) For purposes of this
50.14subdivision, "distribution amount" means the amount identified in section 162.06,
50.15subdivision 1, after the deductions provided for in section 162.06 for administrative costs,
50.16disaster account, research account, and state park road account.
50.17    (b) The apportionment sum is calculated by subtracting the excess sum, as calculated
50.18in paragraph (c), from the distribution amount.
50.19    (c) The excess sum is calculated as the sum of revenue within the distribution amount:
50.20    (1) attributed to that portion of the gasoline excise tax rate under section 296A.07,
50.21subdivision 3, in excess of 20 15.2 cents per gallon, and to that portion of the excise tax
50.22rates in excess of the energy equivalent of a gasoline excise tax rate of 20 15.2 cents per
50.23gallon for E85 and M85 under section 296A.07, subdivision 3, and special fuel under
50.24section 296A.08, subdivision 2;
50.25(2) attributed to:
50.26(i) in fiscal year 2014, 40 percent of the county state-aid highway fund proceeds of
50.27the gross receipts tax imposed under section 295.80; and
50.28(ii) in fiscal year 2015 and in all subsequent fiscal years, 20 percent of the county
50.29state-aid highway fund proceeds of the gross receipts tax imposed under section 295.80;
50.30    (2) (3) attributed to a change in the passenger vehicle registration tax under section
50.31168.013 , imposed on or after July 1, 2008, that exceeds (i) the amount collected in fiscal
50.32year 2008, multiplied by (ii) the annual average United States Consumer Price Index for
50.33the calendar year previous to the current calendar year, divided by the annual average
50.34United States Consumer Price Index for calendar year 2007; and
51.1    (3) (4) attributed to that portion of the motor vehicle sales tax revenue in excess of
51.2the percentage allocated to the county state-aid highway fund in fiscal year 2007.
51.3    (d) For purposes of this subdivision, the United States Consumer Price Index
51.4identified in paragraph (c) is for all urban consumers, United States city average, as
51.5determined by the United States Department of Labor.

51.6    Sec. 5. Minnesota Statutes 2012, section 168A.01, subdivision 6a, is amended to read:
51.7    Subd. 6a. High-value vehicle. "High-value vehicle" means a vehicle that had an
51.8actual cash value in excess of $5,000 $9,000 before being damaged, or a vehicle with a
51.9manufacturer's rating of over 26,000 pounds gross vehicle weight that is not a late-model
51.10vehicle.

51.11    Sec. 6. Minnesota Statutes 2012, section 168A.29, subdivision 1, is amended to read:
51.12    Subdivision 1. Amounts. (a) The department must be paid the following fees:
51.13    (1) for filing an application for and the issuance of an original certificate of title,
51.14the sum of:
51.15    (i) until December 31, 2016, $6.25 of which $3.25 must be paid into the vehicle
51.16services operating account of the special revenue fund under section 299A.705; until
51.17June 30, 2012, a surcharge of $1.75 must be added to the fee and credited to the driver
51.18and vehicle services technology account;, and from July 1, 2012, to June 30, 2016, a
51.19surcharge of $1 must be added to the fee and credited to the driver and vehicle services
51.20technology account; and
51.21(ii) on and after January 1, 2017, $8.25 of which $4.15 must be paid into the vehicle
51.22services operating account;
51.23    (2) for each security interest when first noted upon a certificate of title, including the
51.24concurrent notation of any assignment thereof and its subsequent release or satisfaction,
51.25the sum of $2, except that no fee is due for a security interest filed by a public authority
51.26under section 168A.05, subdivision 8;
51.27    (3) until December 31, 2016, for the transfer of the interest of an owner and the
51.28issuance of a new certificate of title, the sum of $5.50 of which $2.50 must be paid into the
51.29vehicle services operating account of the special revenue fund under section 299A.705;
51.30until June 30, 2012, a surcharge of $1.75 must be added to the fee and credited to the
51.31driver and vehicle services technology account;, and from July 1, 2012, to June 30, 2016,
51.32a surcharge of $1 must be added to the fee and credited to the driver and vehicle services
51.33technology account;
52.1    (4) for each assignment of a security interest when first noted on a certificate of title,
52.2unless noted concurrently with the security interest, the sum of $1; and
52.3    (5) for issuing a duplicate certificate of title, the sum of $7.25 of which $3.25 must
52.4be paid into the vehicle services operating account of the special revenue fund under
52.5section 299A.705; until June 30, 2012, a surcharge of $1.75 must be added to the fee
52.6and credited to the driver and vehicle services technology account; from July 1, 2012,
52.7to June 30, 2016, a surcharge of $1 must be added to the fee and credited to the driver
52.8and vehicle services technology account.
52.9    (b) After June 30, 1994, In addition to each of the fees the fee required under
52.10paragraph (a), clauses clause (1) and (3), the department must be paid $3.50. The additional
52.11$3.50 fee collected under this paragraph must be deposited in the special revenue fund and
52.12credited to the public safety motor vehicle account established in section 299A.70.

52.13    Sec. 7. Minnesota Statutes 2012, section 169.865, is amended to read:
52.14169.865 SPECIAL FARM PRODUCTS ANNUAL PERMITS FOR
52.15OVERWEIGHT VEHICLES.
52.16    Subdivision 1. Six-axle vehicles. (a) A road authority may issue an annual permit
52.17authorizing a vehicle or combination of vehicles with a total of six or more axles to haul
52.18raw or unprocessed agricultural products freight and be operated with a gross vehicle
52.19weight of up to:
52.20    (1) 90,000 pounds; and
52.21    (2) 99,000 pounds during the period set by the commissioner under section 169.826,
52.22subdivision 1 .
52.23    (b) Notwithstanding subdivision 3, paragraph (a), clause (4), a vehicle or
52.24combination of vehicles operated under this subdivision and, as part of an international
52.25movement, transporting only sealed intermodal containers may be operated on an
52.26interstate highway if allowed by the United States Department of Transportation.
52.27    (c) The fee for a permit issued under this subdivision is $300.
52.28    Subd. 2. Seven-axle vehicles. (a) A road authority may issue an annual permit
52.29authorizing a vehicle or combination of vehicles with a total of seven or more axles to
52.30haul raw or unprocessed agricultural products freight and be operated with a gross vehicle
52.31weight of up to:
52.32    (1) 97,000 pounds; and
52.33    (2) 99,000 pounds during the period set by the commissioner under section 169.826,
52.34subdivision 1 .
53.1    (b) Drivers of vehicles operating under this subdivision must comply with driver
53.2qualification requirements adopted under section 221.0314, subdivisions 2 to 5, and Code
53.3of Federal Regulations, title 49, parts 40 and, 382, and 391.
53.4    (c) The fee for a permit issued under this subdivision is $500.
53.5    Subd. 3. Requirements; restrictions. (a) A vehicle or combination of vehicles
53.6operating under this section:
53.7    (1) is subject to axle weight limitations under section 169.824, subdivision 1;
53.8    (2) is subject to seasonal load restrictions under section 169.87;
53.9    (3) is subject to bridge load limits posted under section 169.84;
53.10    (4) may only be operated on paved streets and highways other than interstate
53.11highways;
53.12    (5) may not be operated with loads that exceed the manufacturer's gross vehicle
53.13weight rating as affixed to the vehicle, or other certification of gross vehicle weight rating
53.14complying with Code of Federal Regulations, title 49, sections 567.4 to 567.7;
53.15    (6) must be issued a permit from each road authority having jurisdiction over a road
53.16on which the vehicle is operated, if required;
53.17    (7) must comply with the requirements of section 169.851, subdivision 4; and
53.18    (8) must have brakes on all wheels.
53.19    (b) The percentage allowances for exceeding gross weights if transporting unfinished
53.20forest products under section 168.013, subdivision 3, paragraph (b), or for the first haul of
53.21unprocessed or raw farm products or unfinished forest products under section 168.013,
53.22subdivision 3 , paragraph (d), clause (3), do not apply to a vehicle or combination of
53.23vehicles operated under this section.
53.24    Subd. 4. Deposit of revenues. Revenue from the permits issued by the
53.25commissioner under this section must be deposited in the bridge inspection and signing
53.26account as provided under section 169.86, subdivision 5b.

53.27    Sec. 8. Minnesota Statutes 2012, section 169A.37, subdivision 1, is amended to read:
53.28    Subdivision 1. Crime described. It is a crime for a person:
53.29(1) to fail to comply with an impoundment order under section 169A.60
53.30(administrative plate impoundment);
53.31(2) to file a false statement under section 169A.60, subdivision 7, 8, or 14;
53.32(3) to operate a self-propelled motor vehicle on a street or highway when the vehicle
53.33is subject to an impoundment order issued under section 169A.60, unless specially coded
53.34plates have been issued for the vehicle pursuant to section 169A.60, subdivision 13;
54.1(4) to fail to notify the commissioner of the impoundment order when requesting
54.2new plates;
54.3(5) who is subject to a plate impoundment order under section 169A.60, to drive,
54.4operate, or be in control of any motor vehicle during the impoundment period, unless the
54.5vehicle is employer-owned and is not required to be equipped with an ignition interlock
54.6device pursuant to section 12 or 171.306, subdivision 4, paragraph (b), or has specially
54.7coded plates issued pursuant to section 169A.60, subdivision 13, and the person is validly
54.8licensed to drive; or
54.9(6) who is the transferee of a motor vehicle and who has signed a sworn statement
54.10under section 169A.60, subdivision 14, to allow the previously registered owner to drive,
54.11operate, or be in control of the vehicle during the impoundment period.
54.12EFFECTIVE DATE.This section is effective the day following final enactment.

54.13    Sec. 9. Minnesota Statutes 2012, section 169A.51, subdivision 2, is amended to read:
54.14    Subd. 2. Implied consent advisory. (a) Subject to paragraph (b), at the time a test is
54.15requested, the person must be informed:
54.16(1) that Minnesota law requires the person to take a test:
54.17(i) to determine if the person is under the influence of alcohol, controlled substances,
54.18or hazardous substances;
54.19(ii) to determine the presence of a controlled substance listed in Schedule I or II or
54.20metabolite, other than marijuana or tetrahydrocannabinols; and
54.21(iii) if the motor vehicle was a commercial motor vehicle, to determine the presence
54.22of alcohol;
54.23(2) that refusal to take a test is a crime;
54.24(3) if the peace officer has probable cause to believe the person has violated the
54.25criminal vehicular homicide and injury laws, that a test will be taken with or without
54.26the person's consent; and
54.27(4) that the person has the right to consult with an attorney, but that this right is
54.28limited to the extent that it cannot unreasonably delay administration of the test.
54.29(b) A peace officer who is not pursuing an implied consent revocation is not required
54.30to give the advisory described in paragraph (a) to a person whom the officer has probable
54.31cause to believe has violated section 609.21, subdivision 1, clause (2), (3), (4), (5), or (6)
54.32(criminal vehicular operation DWI-related provisions).
54.33EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
54.34committed on or after that date.

55.1    Sec. 10. Minnesota Statutes 2012, section 169A.55, is amended by adding a
55.2subdivision to read:
55.3    Subd. 5. Reinstatement of driving privileges; criminal vehicular operation. A
55.4person whose driver's license has been revoked under section 171.17, subdivision 1,
55.5paragraph (a), clause (1) (revocation, criminal vehicular operation), or suspended under
55.6section 171.187 (suspension, criminal vehicular operation), for a violation of section
55.7609.21, subdivision 1, clause (2), (3), (4), (5), or (6) (criminal vehicular operation
55.8DWI-related provisions), shall not be eligible for reinstatement of driving privileges until
55.9the person has submitted to the commissioner verification of the use of ignition interlock
55.10for the applicable time period specified in those sections. To be eligible for reinstatement
55.11under this subdivision, a person shall utilize an ignition interlock device that meets the
55.12performance standards and certification requirements under subdivision 4, paragraph (c).
55.13EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
55.14committed on or after that date.

55.15    Sec. 11. Minnesota Statutes 2012, section 171.05, subdivision 2, is amended to read:
55.16    Subd. 2. Person less than 18 years of age. (a) Notwithstanding any provision
55.17in subdivision 1 to the contrary, the department may issue an instruction permit to an
55.18applicant who is 15, 16, or 17 years of age and who:
55.19(1) has completed a course of driver education in another state, has a previously
55.20issued valid license from another state, or is enrolled in either:
55.21(i) a public, private, or commercial driver education program that is approved by
55.22the commissioner of public safety and that includes classroom and behind-the-wheel
55.23training; or
55.24(ii) an approved behind-the-wheel driver education program when the student is
55.25receiving full-time instruction in a home school within the meaning of sections 120A.22
55.26and 120A.24, the student is working toward a homeschool diploma, the student is taking
55.27home-classroom driver training with classroom materials approved by the commissioner
55.28of public safety, and the student's parent has certified the student's homeschool and
55.29home-classroom driver training status on the form approved by the commissioner;
55.30(2) has completed the classroom phase of instruction in the driver education program
55.31 or has completed 15 hours of classroom instruction in a program that presents classroom
55.32and behind-the-wheel instruction concurrently;
55.33(3) has passed a test of the applicant's eyesight;
55.34(4) has passed a department-administered test of the applicant's knowledge of traffic
55.35laws;
56.1(5) has completed the required application, which must be approved by (i) either
56.2parent when both reside in the same household as the minor applicant or, if otherwise,
56.3then (ii) the parent or spouse of the parent having custody or, in the event there is no
56.4court order for custody, then (iii) the parent or spouse of the parent with whom the minor
56.5is living or, if items (i) to (iii) do not apply, then (iv) the guardian having custody of the
56.6minor, (v) the foster parent or the director of the transitional living program in which the
56.7child resides or, in the event a person under the age of 18 has no living father, mother,
56.8or guardian, or is married or otherwise legally emancipated, then (vi) the applicant's
56.9adult spouse, adult close family member, or adult employer; provided, that the approval
56.10required by this clause contains a verification of the age of the applicant and the identity of
56.11the parent, guardian, adult spouse, adult close family member, or adult employer; and
56.12(6) has paid the fee all fees required in section 171.06, subdivision 2.
56.13(b) For the purposes of determining compliance with the certification of paragraph
56.14(a), clause (1), item (ii), the commissioner may request verification of a student's
56.15homeschool status from the superintendent of the school district in which the student
56.16resides and the superintendent shall provide that verification.
56.17(c) The instruction permit is valid for two years from the date of application and
56.18may be renewed upon payment of a fee equal to the fee for issuance of an instruction
56.19permit under section 171.06, subdivision 2.
56.20(d) The commissioner of public safety shall adopt rules to carry out the provisions
56.21of this section. The rules adopted under this section are exempt from the rulemaking
56.22provisions of chapter 14. The rules are subject to section 14.386, except that section
56.2314.386, paragraph (b), does not apply.
56.24EFFECTIVE DATE.Paragraph (a) is effective June 1, 2014. Paragraph (d) is
56.25effective the day following final enactment.

56.26    Sec. 12. Minnesota Statutes 2012, section 171.0701, is amended by adding a
56.27subdivision to read:
56.28    Subd. 1a. Novice Driver Education Improvement Task Force. (a) The
56.29Novice Driver Education Improvement Task Force is established to ensure driver
56.30education programs in Minnesota meet the Novice Teen Driver Education and Training
56.31Administrative Standards published by the United States Department of Transportation,
56.32National Highway Traffic Safety Administration.
56.33(b) The task force consists of 21 members:
56.34(1) the commissioner of public safety or the commissioner's designee;
57.1(2) two representatives from and designated by the Minnesota Association of
57.2Student Councils;
57.3(3) one representative from and designated by Mothers Against Drunk Driving;
57.4(4) one representative from and designated by Minnesotans for Safe Driving;
57.5(5) two representatives from law enforcement organizations, such as the Minnesota
57.6Chiefs of Police Association and the Minnesota Sheriffs' Association appointed by the
57.7commissioner;
57.8(6) one representative from and designated by the American Automobile Association;
57.9(7) one representative from and designated by the Minnesota Safety Council;
57.10(8) two representatives from and designated by the Minnesota PTA;
57.11(9) five driver educators from the Minnesota Driver and Traffic Safety Education
57.12Association designated by the commissioner; and
57.13(10) five driver educators from commercial driving schools, designated by the
57.14commissioner.
57.15(c) Any vacancies shall be filled by the appointing or designating authorities.
57.16(d) Members shall serve without compensation.
57.17(e) Members shall be appointed or designated by August 1, 2013.
57.18(f) The commissioner or the commissioner's designee shall convene the first meeting
57.19of the task force after all appointments have been made. At the first meeting, the task
57.20force shall elect a chair from among its members by majority vote. The first meeting must
57.21take place by September 1, 2013.
57.22(g) The duties of the task force are to examine and compare Minnesota law and
57.23rules concerning driver education with the Novice Teen Driver Education and Training
57.24Administrative Standards, identify discrepancies, and determine to what extent, if any,
57.25state law should be modified to conform with federal standards.
57.26(h) The commissioner shall provide support staff and administrative services for
57.27the task force.
57.28(i) The task force shall submit a report no later than August 31, 2015, to the
57.29chairs and ranking minority members of the committees in the house of representatives
57.30and senate having jurisdiction over transportation policy and finance, containing its
57.31recommendation as to whether or to what extent Minnesota's driver education programs
57.32should conform to national standards referenced in paragraph (a), and if so, providing draft
57.33legislation necessary or desirable to achieve the recommended level of federal conformity.
57.34The report may present recommendations for improving Minnesota's driver education
57.35curriculum and identify associated costs.
58.1EFFECTIVE DATE.This section is effective the day following final enactment
58.2and is repealed September 1, 2015, or the day after the task force submits its report, as
58.3required in paragraph (i), whichever occurs first.

58.4    Sec. 13. Minnesota Statutes 2012, section 171.17, is amended by adding a subdivision
58.5to read:
58.6    Subd. 4. Criminal vehicular operation; revocation periods. (a) As used in this
58.7subdivision, "qualified prior impaired driving incident" has the meaning given in section
58.8169A.03, subdivision 22.
58.9(b) Upon receiving a record of a conviction for a violation of section 609.21,
58.10subdivision 1, clause (2), (3), (4), (5), or (6), the commissioner shall revoke the driver's
58.11license or driving privileges of a person as follows:
58.12(1) not less than ten years if the violation resulted in great bodily harm or death to
58.13another and the person has two or more qualified prior impaired driving incidents within
58.14the past ten years or three or more qualified prior impaired driving incidents, and with
58.15denial under section 171.04, subdivision 1, clause (10), until rehabilitation is established
58.16according to standards established by the commissioner;
58.17(2) not less than eight years if the violation resulted in great bodily harm or death
58.18to another and the person has a qualified prior impaired driving incident within the past
58.19ten years;
58.20(3) not less than six years if the violation resulted in great bodily harm or death
58.21to another;
58.22(4) not less than six years if the violation resulted in bodily harm or substantial bodily
58.23harm to another and the person has two or more qualified prior impaired driving incidents
58.24within the past ten years or three or more qualified prior impaired driving incidents,
58.25and with denial under section 171.04, subdivision 1, clause (10), until rehabilitation is
58.26established according to standards established by the commissioner;
58.27(5) not less than four years if the violation resulted in bodily harm or substantial
58.28bodily harm to another and the person has a qualified prior impaired driving incident
58.29within the past ten years; or
58.30(6) not less than two years if the violation resulted in bodily harm or substantial
58.31bodily harm to another.
58.32(c) Section 169A.09 applies when determining the number of qualified prior
58.33impaired driving incidents under this subdivision.
58.34EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
58.35committed on or after that date.

59.1    Sec. 14. [171.187] SUSPENSION; CRIMINAL VEHICULAR OPERATION
59.2AND MANSLAUGHTER.
59.3    Subdivision 1. Suspension required. The commissioner shall suspend the driver's
59.4license of a person:
59.5(1) for whom a peace officer has made the certification described in section 629.344
59.6that probable cause exists to believe that the person violated section 609.21, subdivision 1,
59.7clause (2), (3), (4), (5), or (6); or
59.8(2) who has been formally charged with a violation of section 609.20, 609.205, or
59.9609.21, resulting from the operation of a motor vehicle.
59.10    Subd. 2. Suspension period. A suspension under this section continues until:
59.11(1) the conviction, acquittal, or dismissal of the underlying crime that resulted in
59.12the suspension; or
59.13(2) the commissioner, acting under subdivision 4, orders the termination of the
59.14suspension.
59.15    Subd. 3. Credit. If a person whose driver's license was suspended under subdivision
59.161 is later convicted of the underlying offense that resulted in the suspension and the
59.17commissioner revokes the person's license, the commissioner shall credit the time accrued
59.18under the suspension period toward the revocation period imposed under section 171.17,
59.19subdivision 4, or for violations of section 609.20, 609.205, or 609.21, subdivision 1,
59.20clause (1), (7), or (8).
59.21    Subd. 4. Administrative review of license suspension. (a) At any time during
59.22which a person's driver's license is suspended under this section, the person may request in
59.23writing a review of the suspension by the commissioner. Upon receiving a request, the
59.24commissioner or the commissioner's designee shall review the order of suspension, the
59.25evidence upon which the order was based, and any other material information brought
59.26to the attention of the commissioner, and determine whether sufficient cause exists to
59.27sustain the order. Within 15 days of receiving the request, the commissioner shall report in
59.28writing the results of the review. The review provided in this subdivision is not subject to
59.29the contested case provisions in chapter 14.
59.30(b) In addition to any other reason provided for in this subdivision, a person may
59.31request a review of the suspension by the commissioner if the suspension has been in place
59.32for at least three months and the person has not been indicted or formally charged with the
59.33underlying crime that resulted in the license suspension.
59.34EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
59.35committed on or after that date.

60.1    Sec. 15. Minnesota Statutes 2012, section 171.30, subdivision 1, is amended to read:
60.2    Subdivision 1. Conditions of issuance. (a) The commissioner may issue a limited
60.3license to the driver under the conditions in paragraph (b) in any case where a person's
60.4license has been:
60.5(1) suspended under section 171.18, 171.173, or 171.186, or 171.187;
60.6(2) revoked, canceled, or denied under section:
60.7(i) 169.792;
60.8(ii) 169.797;
60.9(iii) 169A.52:
60.10(A) subdivision 3, paragraph (a), clause (1) or (2);
60.11(B) subdivision 3, paragraph (a), clause (4), (5), or (6), if in compliance with section
60.12171.306 ;
60.13(C) subdivision 4, paragraph (a), clause (1) or (2), if the test results indicate an
60.14alcohol concentration of less than twice the legal limit;
60.15(D) subdivision 4, paragraph (a), clause (4), (5), or (6), if in compliance with section
60.16171.306 ;
60.17(iv) 171.17; or
60.18(v) 171.172; or
60.19(3) revoked, canceled, or denied under section 169A.54:
60.20(i) subdivision 1, clause (1), if the test results indicate an alcohol concentration
60.21of less than twice the legal limit;
60.22(ii) subdivision 1, clause (2);
60.23(iii) subdivision 1, clause (5), (6), or (7), if in compliance with section 171.306; or
60.24(iv) subdivision 2, if the person does not have a qualified prior impaired driving
60.25incident as defined in section 169A.03, subdivision 22, on the person's record, and the test
60.26results indicate an alcohol concentration of less than twice the legal limit.
60.27(b) The following conditions for a limited license under paragraph (a) include:
60.28(1) if the driver's livelihood or attendance at a chemical dependency treatment or
60.29counseling program depends upon the use of the driver's license;
60.30(2) if the use of a driver's license by a homemaker is necessary to prevent the
60.31substantial disruption of the education, medical, or nutritional needs of the family of
60.32the homemaker; or
60.33(3) if attendance at a postsecondary institution of education by an enrolled student of
60.34that institution depends upon the use of the driver's license.
60.35(c) The commissioner in issuing a limited license may impose such conditions and
60.36limitations as in the commissioner's judgment are necessary to the interests of the public
61.1safety and welfare including reexamination as to the driver's qualifications. The license
61.2may be limited to the operation of particular vehicles, to particular classes and times of
61.3operation, and to particular conditions of traffic. The commissioner may require that an
61.4applicant for a limited license affirmatively demonstrate that use of public transportation
61.5or carpooling as an alternative to a limited license would be a significant hardship.
61.6(d) For purposes of this subdivision:
61.7(1) "homemaker" refers to the person primarily performing the domestic tasks in a
61.8household of residents consisting of at least the person and the person's dependent child
61.9or other dependents; and
61.10(2) "twice the legal limit" means an alcohol concentration of two times the limit
61.11specified in section 169A.20, subdivision 1, clause (5).
61.12(e) The limited license issued by the commissioner shall clearly indicate the
61.13limitations imposed and the driver operating under the limited license shall have the
61.14license in possession at all times when operating as a driver.
61.15(f) In determining whether to issue a limited license, the commissioner shall consider
61.16the number and the seriousness of prior convictions and the entire driving record of the
61.17driver and shall consider the number of miles driven by the driver annually.
61.18(g) If the person's driver's license or permit to drive has been revoked under
61.19section 169.792 or 169.797, the commissioner may only issue a limited license to the
61.20person after the person has presented an insurance identification card, policy, or written
61.21statement indicating that the driver or owner has insurance coverage satisfactory to
61.22the commissioner of public safety. The commissioner of public safety may require
61.23the insurance identification card provided to satisfy this subdivision be certified by the
61.24insurance company to be noncancelable for a period not to exceed 12 months.
61.25(h) The limited license issued by the commissioner to a person under section
61.26171.186, subdivision 4 , must expire 90 days after the date it is issued. The commissioner
61.27must not issue a limited license to a person who previously has been issued a limited
61.28license under section 171.186, subdivision 4.
61.29(i) The commissioner shall not issue a limited driver's license to any person
61.30described in section 171.04, subdivision 1, clause (6), (7), (8), (11), or (14).
61.31(j) The commissioner shall not issue a class A, class B, or class C limited license.
61.32EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
61.33committed on or after that date.

61.34    Sec. 16. Minnesota Statutes 2012, section 171.30, subdivision 2a, is amended to read:
62.1    Subd. 2a. Other waiting periods. Notwithstanding subdivision 2, a limited license
62.2shall not be issued for a period of:
62.3(1) 15 days, to a person whose license or privilege has been revoked or suspended
62.4for a first violation of section 169A.20, sections 169A.50 to 169A.53, or a statute or
62.5ordinance from another state in conformity with either of those sections; or
62.6(2) one year, to a person whose license or privilege has been revoked or suspended
62.7for committing manslaughter resulting from the operation of a motor vehicle, committing
62.8criminal vehicular homicide or injury under section 609.21, subdivision 1, clause (1), (7),
62.9or (8), or violating a statute or ordinance from another state in conformity with either of
62.10those offenses.
62.11EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
62.12committed on or after that date.

62.13    Sec. 17. Minnesota Statutes 2012, section 171.30, is amended by adding a subdivision
62.14to read:
62.15    Subd. 5. Exception; criminal vehicular operation. Notwithstanding subdivision
62.161, the commissioner may not issue a limited license to a person whose driver's license
62.17has been suspended or revoked due to a violation of section 609.21, subdivision 1, clause
62.18(2), (3), (4), (5), or (6).
62.19EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
62.20committed on or after that date.

62.21    Sec. 18. Minnesota Statutes 2012, section 171.306, subdivision 1, is amended to read:
62.22    Subdivision 1. Definitions. (a) As used in this section, the terms in this subdivision
62.23have the meanings given them.
62.24(b) "Ignition interlock device" or "device" means equipment that is designed to
62.25measure breath alcohol concentration and to prevent a motor vehicle's ignition from being
62.26started by a person whose breath alcohol concentration measures 0.02 or higher on the
62.27equipment.
62.28(c) "Program participant" means a person who has qualified to take part in the
62.29ignition interlock program under this section, and whose driver's license has been:
62.30(1) revoked, canceled, or denied under section 169A.52, 169A.54, or 171.04,
62.31subdivision 1 , clause (10), and who has qualified to take part in the ignition interlock
62.32program under this section; or
63.1(2) revoked under section 171.17, subdivision 1, paragraph (a), clause (1), or
63.2suspended under section 171.187, for a violation of section 609.21, subdivision 1, clause
63.3(2), (3), (4), (5), or (6).
63.4(d) "Qualified prior impaired driving incident" has the meaning given in section
63.5169A.03, subdivision 22 .
63.6EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
63.7committed on or after that date.

63.8    Sec. 19. Minnesota Statutes 2012, section 171.306, subdivision 4, is amended to read:
63.9    Subd. 4. Issuance of restricted license. (a) The commissioner shall issue a class
63.10D driver's license, subject to the applicable limitations and restrictions of this section,
63.11to a program participant who meets the requirements of this section and the program
63.12guidelines. The commissioner shall not issue a license unless the program participant has
63.13provided satisfactory proof that:
63.14(1) a certified ignition interlock device has been installed on the participant's motor
63.15vehicle at an installation service center designated by the device's manufacturer; and
63.16(2) the participant has insurance coverage on the vehicle equipped with the ignition
63.17interlock device. The commissioner shall require the participant to present an insurance
63.18identification card, policy, or written statement as proof of insurance coverage, and may
63.19require the insurance identification card provided be certified by the insurance company to
63.20be noncancelable for a period not to exceed 12 months.
63.21(b) A license issued under authority of this section must contain a restriction
63.22prohibiting the program participant from driving, operating, or being in physical control of
63.23any motor vehicle not equipped with a functioning ignition interlock device certified by
63.24the commissioner. A participant may drive an employer-owned vehicle not equipped with
63.25an interlock device while in the normal course and scope of employment duties pursuant
63.26to the program guidelines established by the commissioner and with the employer's
63.27written consent.
63.28(c) A program participant whose driver's license has been: (1) revoked under section
63.29169A.52, subdivision 3 , paragraph (a), clause (1), (2), or (3), or subdivision 4, paragraph
63.30(a), clause (1), (2), or (3), or section 169A.54, subdivision 1, clause (1), (2), (3), or (4),; or
63.31(2) revoked under section 171.17, subdivision 1, paragraph (a), clause (1), or suspended
63.32under section 171.187, for a violation of section 609.21, subdivision 1, clause (2), (3),
63.33(4), (5), or (6); may apply for conditional reinstatement of the driver's license, subject to
63.34the ignition interlock restriction.
64.1(d) A program participant whose driver's license has been revoked, canceled, or
64.2denied under section 169A.52, subdivision 3, paragraph (a), clause (4), (5), or (6), or
64.3subdivision 4, paragraph (a), clause (4), (5), or (6), or section 169A.54, subdivision 1,
64.4clause (5), (6), or (7), may apply for a limited license, subject to the ignition interlock
64.5restriction, if the program participant is enrolled in a licensed chemical dependency
64.6treatment or rehabilitation program as recommended in a chemical use assessment, and if
64.7the participant meets the other applicable requirements of section 171.30. After completing
64.8a licensed chemical dependency treatment or rehabilitation program and one year of limited
64.9license use without violating the ignition interlock restriction, the conditions of limited
64.10license use, or program guidelines, the participant may apply for conditional reinstatement
64.11of the driver's license, subject to the ignition interlock restriction. If the program
64.12participant's ignition interlock device subsequently registers a positive breath alcohol
64.13concentration of 0.02 or higher, the commissioner shall cancel the driver's license, and the
64.14program participant may apply for another limited license according to this paragraph.
64.15(e) Notwithstanding any statute or rule to the contrary, the commissioner has
64.16authority to determine when a program participant is eligible for restoration of full driving
64.17privileges, except that the commissioner shall not reinstate full driving privileges until the
64.18program participant has met all applicable prerequisites for reinstatement under section
64.19169A.55 and until the program participant's device has registered no positive breath
64.20alcohol concentrations of 0.02 or higher during the preceding 90 days.
64.21EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
64.22committed on or after that date.

64.23    Sec. 20. [174.12] TRANSPORTATION ECONOMIC DEVELOPMENT
64.24PROGRAM.
64.25    Subdivision 1. Program established. (a) The commissioners of transportation and
64.26employment and economic development shall develop and implement a transportation
64.27economic development program as provided in this section that provides financial
64.28assistance on a geographically balanced basis through competitive grants for projects in
64.29all modes of transportation that provide measurable local, regional, or statewide economic
64.30benefit.
64.31(b) The commissioners of transportation and employment and economic
64.32development may provide financial assistance for a transportation project at their
64.33discretion, subject to the requirements of this section.
64.34    Subd. 2. Transportation economic development accounts. (a) A transportation
64.35economic development account is established in the special revenue fund under the
65.1budgetary jurisdiction of the legislative committees having jurisdiction over transportation
65.2finance. Money in the account may be expended only as appropriated by law. The account
65.3may not contain money transferred or otherwise provided from the trunk highway fund.
65.4(b) A transportation economic development account is established in the trunk
65.5highway fund. The account consists of funds donated, allotted, transferred, or otherwise
65.6provided to the account. Money in the account may be used only for trunk highway
65.7purposes.
65.8    Subd. 3. Program administration. In implementing the transportation economic
65.9development program, the commissioners of transportation and employment and
65.10economic development shall make reasonable efforts to (1) publicize each solicitation for
65.11applications among all eligible recipients, and (2) provide technical and informational
65.12assistance in creating and submitting applications.
65.13    Subd. 4. Economic impact performance measures. The commissioner of
65.14employment and economic development shall develop economic impact performance
65.15measures to analyze projects for which financial assistance under this section is being
65.16applied for or has been previously provided.
65.17    Subd. 5. Financial assistance; criteria. The commissioners of transportation and
65.18employment and economic development shall establish criteria for evaluating projects
65.19for financial assistance under this section. At a minimum, the criteria must provide an
65.20objective method to prioritize and select projects on the basis of:
65.21(1) the extent to which the project provides measurable economic benefit;
65.22(2) consistency with relevant state and local transportation plans;
65.23(3) the availability and commitment of funding or in-kind assistance for the project
65.24from nonpublic sources;
65.25(4) the need for the project as part of the overall transportation system;
65.26(5) the extent to which completion of the project will improve the movement of
65.27people and freight; and
65.28(6) geographic balance as required under subdivision 7, paragraph (b).
65.29    Subd. 6. Financial assistance; project evaluation process. (a) Following the
65.30criteria established under subdivision 5, the commissioner of employment and economic
65.31development shall (1) evaluate proposed projects, and (2) certify those that may receive
65.32financial assistance.
65.33(b) As part of the project evaluation process, the commissioner of transportation
65.34shall certify that a project constitutes an eligible and appropriate transportation project.
66.1    Subd. 7. Financial assistance; awards. (a) The financial assistance awarded by the
66.2commissioners of transportation and employment and economic development may not
66.3exceed 70 percent of a project's total costs.
66.4(b) The commissioners of transportation and employment and economic development
66.5shall ensure that financial assistance is provided in a manner that is balanced throughout
66.6the state, including with respect to (1) the number of projects receiving funding in a
66.7particular geographic location or region of the state, and (2) the total amount of financial
66.8assistance provided for projects in a particular geographic location or region of the state.
66.9    Subd. 8. Legislative report. (a) By February 1 of each odd-numbered year, the
66.10commissioner of transportation, with assistance from the commissioner of employment
66.11and economic development, shall submit a report on the transportation economic
66.12development program to the chairs and ranking minority members of the legislative
66.13committees with jurisdiction over transportation policy and finance and economic
66.14development policy and finance.
66.15(b) At a minimum, the report must:
66.16(1) summarize the requirements and implementation of the transportation economic
66.17development program established in this section;
66.18(2) review the criteria and economic impact performance measures used for
66.19evaluation, prioritization, and selection of projects;
66.20(3) provide a brief overview of each project that received financial assistance under
66.21the program, which must at a minimum identify:
66.22(i) basic project characteristics, such as funding recipient, geographic location,
66.23and type of transportation modes served;
66.24(ii) sources and respective amounts of project funding; and
66.25(iii) the degree of economic benefit anticipated or observed, following the economic
66.26impact performance measures established under subdivision 4;
66.27(4) identify the allocation of funds, including but not limited to a breakdown of total
66.28project funds by transportation mode, the amount expended for administrative costs, and
66.29the amount transferred to the transportation economic development assistance account;
66.30(5) evaluate the overall economic impact of the program consistent with the
66.31accountability measurement requirements under section 116J.997; and
66.32(6) provide recommendations for any legislative changes related to the program.

66.33    Sec. 21. Minnesota Statutes 2012, section 174.185, is amended by adding a subdivision
66.34to read:
67.1    Subd. 4. Pavement design life. (a) For purposes of this subdivision, "applicable
67.2project" means a trunk highway project:
67.3(1) that is categorized in the statewide transportation improvement program with a
67.4program category of major construction, reconstruction, reconditioning, or resurfacing;
67.5(2) that adds, removes, or replaces a pavement surface layer by more than two
67.6inches of paving material thickness;
67.7(3) that involves within the construction limits:
67.8(i) on a two-lane road, more than two miles of length of roadway; or
67.9(ii) on a multilane road, more than 30,000 square yards of paving; and
67.10(4) for which a notable portion of the roadway has an International Roughness
67.11Index of 170 inches per mile or greater.
67.12(b) The commissioner shall, on each applicable project, select pavement material
67.13that has a design life of at least 20 years. For purposes of determining pavement design
67.14life under this subdivision, the commissioner may not consider the life of pavement
67.15following planned maintenance or repairs.

67.16    Sec. 22. Minnesota Statutes 2012, section 174.40, is amended by adding a subdivision
67.17to read:
67.18    Subd. 7a. Related non-infrastructure activities. (a) The commissioner may not
67.19expend an appropriation from the bond proceeds fund, or provide financial assistance from
67.20such appropriations, for the purposes specified in this subdivision.
67.21(b) Subject to appropriations made specifically for the purposes of this subdivision,
67.22the commissioner may expend funds for non-infrastructure activities to encourage walking
67.23and bicycling to school, including:
67.24(1) planning activities;
67.25(2) public awareness campaigns and outreach to press and community leaders;
67.26(3) traffic education and enforcement in the vicinity of schools;
67.27(4) student sessions on bicycle and pedestrian safety, health, and the environment; and
67.28(5) financial assistance for training, volunteers, and managers of safe routes to
67.29school programs.

67.30    Sec. 23. Minnesota Statutes 2012, section 219.1651, is amended to read:
67.31219.1651 GRADE CROSSING SAFETY ACCOUNT.
67.32A Minnesota grade crossing safety account is created in the special revenue fund,
67.33consisting of money credited to the account by law. Money in the account is appropriated
67.34to the commissioner of transportation for rail-highway grade crossing safety projects
68.1on public streets and highways, including engineering costs. At the discretion of the
68.2commissioner of transportation, money in the account at the end of each fiscal year cancels
68.3 biennium may cancel to the trunk highway fund.

68.4    Sec. 24. Minnesota Statutes 2012, section 299A.73, subdivision 3, is amended to read:
68.5    Subd. 3. Grant allocation formula. Up to one five percent of the appropriations
68.6to the grants-in-aid to the youth intervention program may be used for a grant to
68.7the Minnesota Youth Intervention Programs Association for expenses in providing
68.8collaborative collaboration, program development, professional development training
68.9and, technical assistance to, tracking, and analyzing and reporting outcome data for the
68.10 community-based grantees of the program. The Minnesota Youth Intervention Programs
68.11Association is not required to meet the match obligation under subdivision 2.

68.12    Sec. 25. Minnesota Statutes 2012, section 299E.01, subdivision 2, is amended to read:
68.13    Subd. 2. Responsibilities. (a) The division shall be responsible and shall utilize
68.14state employees for security and public information services in state-owned buildings and
68.15state leased-to-own buildings in the Capitol area, as described in section 15B.02;. It shall
68.16provide such personnel as are required by the circumstances to insure the orderly conduct
68.17of state business and the convenience of the public.
68.18(b) As part of the division permanent staff, the director must establish the position of
68.19emergency manager that includes, at a minimum, the following duties:
68.20(1) oversight of the consolidation, development, and maintenance of plans and
68.21procedures that provide continuity of security operations;
68.22(2) the development and implementation of tenant training that addresses threats
68.23and emergency procedures; and
68.24(3) the development and implementation of threat and emergency exercises.
68.25(c) The director must provide a minimum of one state trooper assigned to the Capitol
68.26complex at all times.
68.27(d) The director, in consultation with the advisory committee under section 299E.04,
68.28shall, at least annually, hold a meeting or meetings to discuss, among other issues, Capitol
68.29complex security, emergency planning, public safety, and public access to the Capitol
68.30complex. The meetings must include, at a minimum:
68.31(1) Capitol complex tenants and state employees;
68.32(2) nongovernmental entities, such as lobbyists, vendors, and the media; and
68.33(3) the public and public advocacy groups.

69.1    Sec. 26. Minnesota Statutes 2012, section 299E.01, subdivision 3, is amended to read:
69.2    Subd. 3. Powers and duties transferred. All powers, duties and responsibilities
69.3heretofore assigned by law to the commissioner of administration relating to the general
69.4function of security in such Capitol complex state-owned buildings are hereby transferred
69.5to the commissioner of public safety. The commissioner of public safety shall have
69.6the final authority regarding public safety and security in the Capitol complex. The
69.7commissioner of administration shall have the powers, duties, and responsibilities relating
69.8to the Capitol complex of state-owned buildings as provided under chapter 16B.

69.9    Sec. 27. Minnesota Statutes 2012, section 299E.02, is amended to read:
69.10299E.02 CONTRACT SERVICES INTERAGENCY AGREEMENT;
69.11APPROPRIATION.
69.12Fees charged for contracted The commissioner of public safety shall execute
69.13interagency agreements with agency tenants in the Capitol complex whereby fees for the
69.14provision of security services are charged. Fees charged for security services provided
69.15by the Capitol Complex Security Division of the Department of Public Safety must be
69.16deposited in an account in the special revenue fund and are annually appropriated to the
69.17commissioner of public safety to administer and provide these services.

69.18    Sec. 28. Minnesota Statutes 2012, section 398A.04, is amended by adding a
69.19subdivision to read:
69.20    Subd. 2a. Bus rapid transit development. A regional rail authority may exercise
69.21the powers conferred under this section to: plan, establish, acquire, develop, purchase,
69.22enlarge, extend, improve, maintain, equip, regulate, and protect; and pay costs of
69.23construction and operation of a bus rapid transit system located within its county on transit
69.24ways included in and approved by the Metropolitan Council's 2030 Transportation Policy
69.25Plan. This subdivision applies only to the counties of Anoka, Carver, Dakota, Hennepin,
69.26Ramsey, Scott, and Washington.
69.27EFFECTIVE DATE.This section is effective the day following final enactment
69.28and applies only to the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott,
69.29and Washington.

69.30    Sec. 29. Minnesota Statutes 2012, section 398A.10, is amended by adding a
69.31subdivision to read:
70.1    Subd. 4. Definition. For purposes of this section, "project" means the initial
70.2construction of a minimum operable segment of a new light rail transit or commuter rail
70.3line, but does not include infill stations, project enhancements, extensions, or supportive
70.4infrastructure, constructed after the rail transit is operational.
70.5EFFECTIVE DATE.This section is effective the day following final enactment.

70.6    Sec. 30. [629.344] CRIMINAL VEHICULAR OPERATION AND
70.7MANSLAUGHTER; CERTIFICATION OF PROBABLE CAUSE BY PEACE
70.8OFFICER.
70.9If a peace officer determines that probable cause exists to believe that a person has
70.10violated section 609.21, subdivision 1, clause (2), (3), (4), (5), or (6), the officer shall
70.11certify this determination and notify the commissioner of public safety.
70.12EFFECTIVE DATE.This section is effective July 1, 2014, and applies to crimes
70.13committed on or after that date.

70.14    Sec. 31. ORIGINAL IGNITION INTERLOCK DEVICE PROGRAM; USE
70.15OF EMPLOYER-OWNED VEHICLES.
70.16A person participating in the ignition interlock device program under Minnesota
70.17Statutes 2009, section 171.305, may drive an employer-owned vehicle not equipped with
70.18an interlock device while in the normal course and scope of employment duties pursuant to
70.19the program guidelines established by the commissioner referenced in Minnesota Statutes,
70.20section 171.306, subdivision 4, paragraph (b), and with the employer's written consent.
70.21EFFECTIVE DATE.This section is effective the day following final enactment.

70.22    Sec. 32. TRANSIT WAY COMMUNITY ENGAGEMENT.
70.23(a) In all phases of a transit way project in which the Metropolitan Council is the
70.24lead transportation authority, the council may partner and contract for services with local
70.25community-based organizations to promote community engagement activities along the
70.26project corridor. The community-based organizations may include those organizations
70.27representative of low-income people, people of color, people with disabilities, other
70.28cultural constituencies, or small businesses.
70.29(b) For purposes of this section, project phases may include, but are not limited to:
70.30(1) feasibility studies, alternatives analysis, preplanning, environmental analysis,
70.31land acquisition, easements, design, preliminary and final engineering, construction,
70.32and station development;
71.1(2) review of existing public transit service along the corridor; and
71.2(3) pedestrian, bicycle, or nonmotorized improvement projects associated with the
71.3corridor.
71.4(c) Any community engagement activities conducted under this section shall be
71.5reported to the senate and house of representative chairs and ranking minority members
71.6of the committees and divisions with primary jurisdiction over transportation policy and
71.7finance.

71.8    Sec. 33. TRANSPORTATION INFRASTRUCTURE HIRING AND
71.9RECRUITMENT.
71.10(a) In the construction, maintenance, replacement, and improvement of transit and
71.11transportation infrastructure, the lead transportation authority is encouraged to: (1) make
71.12every effort to employ, and encourage the construction manager and other subcontractors
71.13and vendors to employ, women and members of minority communities; (2) make every
71.14effort to contract with women-owned and minority-owned small businesses designated as
71.15small targeted group businesses under Minnesota Statutes, section 16C.16; and (3) may
71.16contract with a community-based employment assistance firm to create an employment
71.17program to recruit, hire, and retain women and minorities for the project construction
71.18workforce. In monitoring progress on meeting these goals, reports may track workers
71.19from zip codes that have high rates of poverty and unemployment.
71.20(b) The commissioner of transportation shall make all reasonable efforts to increase
71.21participation in Department of Transportation highway projects of small businesses
71.22located in economically disadvantaged areas of Minnesota, within the meaning of
71.23Minnesota Statutes, section 16C.16, subdivision 7.

71.24    Sec. 34. FINANCIAL ASSISTANCE FOR NORTHSTAR COMMUTER RAIL
71.25EXPENSES; GREATER MINNESOTA.
71.26The portion of the cost to provide financial assistance for the Greater Minnesota
71.27Transit component of the Northstar Commuter Rail is exempt from the requirements in
71.28Minnesota Statutes, section 174.24, subdivision 1.

71.29    Sec. 35. REPEALER.
71.30(a) Minnesota Statutes 2012, sections 161.04, subdivision 6; and 174.285,
71.31subdivision 8, are repealed.
71.32(b) Minnesota Rules, parts 7503.0300, subpart 1; and 7503.0800, subpart 2, are
71.33repealed effective July 1, 2014.

72.1ARTICLE 4
72.2SEVERABILITY

72.3    Section 1. SEVERABILITY.
72.4If article 2, section 3, is found to be invalid because it is in conflict with a provision
72.5of the Constitution of the state of Minnesota or for any reason, article 2, sections 4, 5, and
72.66, and article 3, section 4, are without effect.