1.1 A bill for an act 1.2 relating to transportation; establishing a budget for transportation; appropriating 1.3 money for transportation purposes, including Department of Transportation, 1.4 Department of Public Safety, and Metropolitan Council activities; modifying prior 1.5 appropriations; transferring money; modifying various policy and finance 1.6 provisions; modifying and providing for allocation of certain fees; directing certain 1.7 rulemaking; requiring studies; modifying and requiring certain legislative reporting; 1.8 amending Minnesota Statutes 2024, sections 4.076, subdivisions 4, 5; 161.115, 1.9 subdivision 177; 161.178, subdivisions 1, 2a, 8, by adding a subdivision; 162.16; 1.10 168.002, subdivision 6; 168.013, subdivision 1m; 168.091; 168.1287, subdivisions 1.11 1, 5; 168.27, subdivisions 8, 11, 16, 22; 168.33, by adding a subdivision; 168A.11, 1.12 subdivision 1; 168E.01, by adding subdivisions; 168E.05, subdivision 1; 169.011, 1.13 subdivision 36; 169.06, subdivision 5; 169.09, subdivision 8; 169.14, subdivision 1.14 1a; 169.686, subdivision 1; 169.865, subdivisions 1a, 3; 169A.55, subdivision 5; 1.15 171.01, by adding a subdivision; 171.05, subdivision 1; 171.06, by adding a 1.16 subdivision; 171.0605, subdivision 2, by adding a subdivision; 171.061, by adding 1.17 a subdivision; 171.13, subdivisions 7, 8; 171.17, subdivision 1; 171.2405, 1.18 subdivision 1; 171.301, subdivision 1; 171.306, subdivisions 1, 4; 174.02, by 1.19 adding a subdivision; 174.03, subdivision 12, by adding a subdivision; 174.07, 1.20 subdivision 3; 174.38, subdivision 4; 174.49, by adding a subdivision; 174.56; 1.21 174.634, subdivision 2; 289A.51, subdivisions 3, 4; 297A.993, subdivision 2a; 1.22 299A.01, by adding a subdivision; 360.511, by adding subdivisions; 360.55, 1.23 subdivisions 4, 4a, 8, by adding a subdivision; 398A.04, by adding a subdivision; 1.24 473.13, by adding a subdivision; 473.39, subdivision 6, by adding subdivisions; 1.25 473.408, by adding a subdivision; 473.4465, subdivision 4, by adding a subdivision; 1.26 Laws 2021, First Special Session chapter 5, article 1, section 2, subdivision 2, as 1.27 amended; Laws 2021, First Special Session chapter 14, article 11, section 45; Laws 1.28 2023, chapter 60, article 10, section 9; Laws 2023, chapter 68, article 1, section 1.29 2, subdivisions 2, 3; article 4, section 109; Laws 2024, chapter 127, article 1, 1.30 section 2, subdivision 3; proposing coding for new law in Minnesota Statutes, 1.31 chapters 137; 168; 168A; 174. 1 REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 2438 NINETY-FOURTH SESSION Authored by Koznick and Koegel03/17/2025 The bill was read for the first time and referred to the Committee on Transportation Finance and Policy Adoption of Report: Amended and re-referred to the Committee on Taxes04/21/2025 2.1BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 2.2 ARTICLE 1 2.3 APPROPRIATIONS 2.4Section 1. TRANSPORTATION APPROPRIATIONS. 2.5 The sums shown in the columns marked "Appropriations" are appropriated to the agencies 2.6and for the purposes specified in this article. The appropriations are from the trunk highway 2.7fund, or another named fund, and are available for the fiscal years indicated for each purpose. 2.8Amounts for "Total Appropriation" and sums shown in the corresponding columns marked 2.9"Appropriations by Fund" are summary only and do not have legal effect. Unless specified 2.10otherwise, the amounts in fiscal year 2027 under "Appropriations by Fund" show the base 2.11within the meaning of Minnesota Statutes, section 16A.11, subdivision 3, by fund. The 2.12figures "2026" and "2027" used in this article mean that the appropriations listed under them 2.13are available for the fiscal year ending June 30, 2026, or June 30, 2027, respectively. "Each 2.14year" is each of fiscal years 2026 and 2027. "The biennium" is fiscal years 2026 and 2027. 2.15"C.S.A.H." is the county state-aid highway fund. "M.S.A.S." is the municipal state-aid street 2.16fund. "H.U.T.D." is the highway user tax distribution fund. 2.17 APPROPRIATIONS 2.18 Available for the Year 2.19 Ending June 30 20272.20 2026 2.21Sec. 2. DEPARTMENT OF 2.22TRANSPORTATION 4,043,100,000$4,847,522,000$2.23Subdivision 1.Total Appropriation 2.24 Appropriations by Fund 20272.25 2026 33,168,00040,694,0002.26General 32,368,00032,368,0002.27Airports 1,143,461,0001,110,374,0002.28C.S.A.H. 288,795,000282,366,0002.29M.S.A.S. 2,545,308,0003,381,720,0002.30Trunk Highway -0-14,000,0002.31911 Fund 2.32The appropriations in this section are to the 2.33commissioner of transportation. 2Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 3.1The amounts that may be spent for each 3.2purpose are specified in the following 3.3subdivisions. 3.4Subd. 2.Multimodal Systems 3.5(a) Aeronautics 19,448,00019,448,0003.6(1) Airport Development and Assistance 3.7This appropriation is from the state airports 3.8fund and must be spent according to 3.9Minnesota Statutes, section 360.305, 3.10subdivision 4. 3.11Notwithstanding Minnesota Statutes, section 3.1216A.28, subdivision 6, this appropriation is 3.13available for five years after the year of the 3.14appropriation. If the appropriation for either 3.15year is insufficient, the appropriation for the 3.16other year is available for it. 3.17If the commissioner of transportation 3.18determines that a balance remains in the state 3.19airports fund following the appropriations 3.20made in this article and that the appropriations 3.21made are insufficient for advancing airport 3.22development and assistance projects, an 3.23amount necessary to advance the projects, not 3.24to exceed the balance in the state airports fund, 3.25is appropriated in each year to the 3.26commissioner and must be spent according to 3.27Minnesota Statutes, section 360.305, 3.28subdivision 4. Within two weeks of a 3.29determination under this contingent 3.30appropriation, the commissioner of 3.31transportation must notify the commissioner 3.32of management and budget and the chairs and 3.33ranking minority members of the legislative 3.34committees with jurisdiction over 3Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 4.1transportation finance concerning the funds 4.2appropriated. Funds appropriated under this 4.3contingent appropriation do not adjust the base 4.4for fiscal years 2028 and 2029. 4.5The base is $19,498,000 in each of fiscal years 4.62028 and 2029. 14,733,00014,583,0004.7(2) Aviation Support Services 4.8 Appropriations by Fund 20274.9 2026 1,993,0001,843,0004.10General 12,740,00012,740,0004.11Airports 4.12$5,000,000 in each year from the state airports 4.13fund is for a grant to the Duluth Airport 4.14Authority to design, construct, furnish, and 4.15equip a new air traffic control tower base 4.16building at the Duluth International Airport, 4.17including associated site preparation, building 4.18demolition, and utility and stormwater 4.19retention system improvements. This is a 4.20onetime appropriation and is available until 4.21June 30, 2028. 4.22The base from the general fund is $1,993,000 4.23in each of fiscal years 2028 and 2029. The 4.24base from the state airports fund is $7,790,000 4.25in each of fiscal years 2028 and 2029. 180,000180,0004.26(3) Civil Air Patrol 4.27This appropriation is from the state airports 4.28fund for the Civil Air Patrol. 12,376,00012,376,0004.29(b) Transit and Active Transportation 4.30This appropriation is from the general fund. 1,500,0001,500,0004.31(c) Safe Routes to School 4Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 5.1This appropriation is from the general fund 5.2for the safe routes to school program under 5.3Minnesota Statutes, section 174.40. 5.4If the appropriation for either year is 5.5insufficient, the appropriation for the other 5.6year is available for it. 5,743,0005,743,0005.7(d) Passenger Rail 5.8This appropriation is from the general fund 5.9for passenger rail activities under Minnesota 5.10Statutes, sections 174.632 to 174.636. 5.11The base is $1,273,000 in each of fiscal years 5.122028 and 2029. 9,219,0009,165,0005.13(e) Freight and Rail Safety 5.14 Appropriations by Fund 20275.15 2026 2,353,0002,353,0005.16General 6,866,0006,812,0005.17Trunk Highway 5.18Subd. 3.State Roads 439,548,000436,805,0005.19(a) Operations and Maintenance 5.20(b) Program Planning and Delivery 37,239,00037,002,0005.21(1) Planning and Research 5.22The commissioner may use any balance 5.23remaining in this appropriation for program 5.24delivery under clause (2). 5.25$130,000 in each year is available for 5.26administrative costs of the targeted group 5.27business program. 5.28$300,000 in each year is available for grants 5.29to metropolitan planning organizations outside 5.30the seven-county metropolitan area. 5.31$900,000 in each year is available for grants 5.32for transportation studies outside the 5Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 6.1metropolitan area to identify critical concerns, 6.2problems, and issues. These grants are 6.3available: (i) to regional development 6.4commissions; (ii) in regions where no regional 6.5development commission is functioning, to 6.6joint powers boards established under 6.7agreement of two or more political 6.8subdivisions in the region to exercise the 6.9planning functions of a regional development 6.10commission; and (iii) in regions where no 6.11regional development commission or joint 6.12powers board is functioning, to the Department 6.13of Transportation district office for that region. 6.14$3,000,000 in each year is for statewide trunk 6.15highway corridor planning. 287,145,000289,845,0006.16(2) Program Delivery 6.17 Appropriations by Fund 20276.18 2026 2,000,0002,000,0006.19General 285,145,000287,845,0006.20Trunk Highway 6.21This appropriation includes use of consultants 6.22to support development and management of 6.23projects. 6.24$7,700,000 in fiscal year 2026 and $5,000,000 6.25in fiscal year 2027 is from the trunk highway 6.26fund for the transportation project activity 6.27portal under Minnesota Statutes, section 6.28174.034. This appropriation is available until 6.29June 30, 2028. 6.30$1,000,000 in each year is available from the 6.31trunk highway fund for management of 6.32contaminated and regulated material on 6.33property owned by the Department of 6.34Transportation, including mitigation of 6Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 7.1property conveyances, facility acquisition or 7.2expansion, chemical release at maintenance 7.3facilities, and spills on the trunk highway 7.4system where there is no known responsible 7.5party. If the appropriation for either year is 7.6insufficient, the appropriation for the other 7.7year is available for it. 1,281,813,0002,141,813,0007.8(c) State Road Construction 7.9This appropriation is for the actual 7.10construction, reconstruction, and improvement 7.11of trunk highways, including design-build 7.12contracts, internal department costs associated 7.13with delivering the construction program, 7.14consultant usage to support these activities, 7.15and the cost of actual payments to landowners 7.16for lands acquired for highway rights-of-way, 7.17payment to lessees, interest subsidies, and 7.18relocation expenses. 7.19This appropriation includes federal highway 7.20aid. The commissioner of transportation must 7.21notify the chairs and ranking minority 7.22members of the legislative committees with 7.23jurisdiction over transportation finance of any 7.24significant events that cause the estimates of 7.25federal aid to change. 7.26$650,000,000 in fiscal year 2026 is for the 7.27John A. Blatnik Bridge between Duluth, 7.28Minnesota, and Superior, Wisconsin. The 7.29commissioner may use up to 17 percent of the 7.30amount for program delivery. This is a 7.31onetime appropriation and is available until 7.32June 30, 2033. 7.33The commissioner may expend up to one-half 7.34of one percent of the federal appropriations 7Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 8.1under this paragraph as grants to opportunity 8.2industrialization centers and other nonprofit 8.3job training centers for job training programs 8.4related to highway construction. 8.5The commissioner may transfer up to 8.6$15,000,000 in each year to the transportation 8.7revolving loan fund. 8.8The commissioner may receive money 8.9covering other shares of the cost of partnership 8.10projects. These receipts are appropriated to 8.11the commissioner for these projects. 8.12The base is $1,331,813,000 in fiscal year 2028 8.13and $1,341,813,000 in fiscal year 2029. 40,000,00040,000,0008.14(d) Corridors of Commerce 8.15This appropriation is for the corridors of 8.16commerce program under Minnesota Statutes, 8.17section 161.088. The commissioner may use 8.18up to 17 percent of the amount in each year 8.19for program delivery. 8.20This amount includes funds available as a 8.21result of transportation efficiency savings 8.22under Minnesota Statutes, section 174.53. 8.23The base is $25,000,000 in each of fiscal years 8.242028 and 2029. 15,000,00015,000,0008.25(e) Transportation Economic Development 8.26This appropriation is for the transportation 8.27economic development program under 8.28Minnesota Statutes, section 174.12. This is a 8.29onetime appropriation. 25,000,00025,000,0008.30(f) Resilient Pavement 8.31This appropriation is for the resilient pavement 8.32program under Minnesota Statutes, section 8.33174.205. This is a onetime appropriation. 8Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 319,675,000296,575,0009.1(g) Highway Debt Service 9.2$293,575,000 in fiscal year 2026 and 9.3$316,675,000 in fiscal year 2027 are for 9.4transfer to the state bond fund. If this 9.5appropriation is insufficient to make all 9.6transfers required in the year for which it is 9.7made, the commissioner of management and 9.8budget must transfer the deficiency amount 9.9as provided under Minnesota Statutes, section 9.1016A.641, and notify the chairs and ranking 9.11minority members of the legislative 9.12committees with jurisdiction over 9.13transportation finance and the chairs of the 9.14senate Finance Committee and the house of 9.15representatives Ways and Means Committee 9.16of the amount of the deficiency. Any excess 9.17appropriation cancels to the trunk highway 9.18fund. 7,114,00021,052,0009.19(h) Statewide Radio Communications 9.20 Appropriations by Fund 20279.21 2026 3,0003,0009.22General 7,111,0007,049,0009.23Trunk Highway -0-14,000,0009.24911 Fund 9.25$3,000 in each year is from the general fund 9.26to equip and operate the Roosevelt signal 9.27tower for Lake of the Woods weather 9.28broadcasting. 9.29$14,000,000 in fiscal year 2026 is from the 9.30911 Fund for capital improvements and 9.31operating expenses related to the statewide 9.32Allied Radio Matrix for Emergency Response 9.33(ARMER) public safety radio communication 9.34system. 9Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 10.1Subd. 4.Local Roads 1,143,461,0001,110,374,00010.2(a) County State-Aid Highways 10.3This appropriation is from the county state-aid 10.4highway fund under Minnesota Statutes, 10.5sections 161.081, 174.49, and 297A.815, 10.6subdivision 3, and chapter 162, and is 10.7available until June 30, 2035. 10.8If the commissioner of transportation 10.9determines that a balance remains in the 10.10county state-aid highway fund following the 10.11appropriations and transfers made in this 10.12paragraph and that the appropriations made 10.13are insufficient for advancing county state-aid 10.14highway projects, an amount necessary to 10.15advance the projects, not to exceed the balance 10.16in the county state-aid highway fund, is 10.17appropriated in each year to the commissioner. 10.18Within two weeks of a determination under 10.19this contingent appropriation, the 10.20commissioner of transportation must notify 10.21the commissioner of management and budget 10.22and the chairs and ranking minority members 10.23of the legislative committees with jurisdiction 10.24over transportation finance concerning funds 10.25appropriated. The governor must identify in 10.26the next budget submission to the legislature 10.27under Minnesota Statutes, section 16A.11, any 10.28amount that is appropriated under this 10.29paragraph. 288,795,000282,366,00010.30(b) Municipal State-Aid Streets 10.31This appropriation is from the municipal 10.32state-aid street fund under Minnesota Statutes, 10.33chapter 162, and is available until June 30, 10.342035. 10Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 11.1If the commissioner of transportation 11.2determines that a balance remains in the 11.3municipal state-aid street fund following the 11.4appropriations and transfers made in this 11.5paragraph and that the appropriations made 11.6are insufficient for advancing municipal 11.7state-aid street projects, an amount necessary 11.8to advance the projects, not to exceed the 11.9balance in the municipal state-aid street fund, 11.10is appropriated in each year to the 11.11commissioner. Within two weeks of a 11.12determination under this contingent 11.13appropriation, the commissioner of 11.14transportation must notify the commissioner 11.15of management and budget and the chairs and 11.16ranking minority members of the legislative 11.17committees with jurisdiction over 11.18transportation finance concerning funds 11.19appropriated. The governor must identify in 11.20the next budget submission to the legislature 11.21under Minnesota Statutes, section 16A.11, any 11.22amount that is appropriated under this 11.23paragraph. 11.24(c) Other Local Roads 1,000,0001,000,00011.25(1) Local Transportation Disaster Support 11.26This appropriation is from the general fund to 11.27provide a cost-share for federal assistance 11.28from the Federal Highway Administration for 11.29the emergency relief program under United 11.30States Code, title 23, section 125. -0-3,838,00011.31(2) Local Road Improvement 11.32This appropriation is from the general fund 11.33for construction and reconstruction of local 11Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 12.1roads under Minnesota Statutes, section 12.2174.52. -0-3,838,00012.3(2) Local Bridges 12.4This appropriation is from the general fund to 12.5replace or rehabilitate local deficient bridges 12.6under Minnesota Statutes, section 174.50. 12.7Subd. 5.Agency Management 89,709,00089,709,00012.8(a) Agency Services 12.9 Appropriations by Fund 202712.10 2026 6,200,0006,200,00012.11General 83,509,00083,509,00012.12Trunk Highway 43,802,00043,710,00012.13(b) Buildings 12.14$2,200,000 in each year is for maintenance, 12.15improvements, and modernization of 12.16Department of Transportation facilities, 12.17including truck stations and other buildings 12.18and excluding the central office building. 12.19Any money appropriated to the commissioner 12.20of transportation for building construction for 12.21any fiscal year before fiscal year 2026 is 12.22available to the commissioner during the 12.23biennium to the extent that the commissioner 12.24spends the money on the building construction 12.25projects for which the money was originally 12.26encumbered during the fiscal year for which 12.27it was appropriated. If the appropriation for 12.28either year is insufficient, the appropriation 12.29for the other year is available for it. 600,000600,00012.30(c) Tort Claims 12.31If the appropriation for either year is 12.32insufficient, the appropriation for the other 12.33year is available for it. 12Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 13.1Subd. 6.Transfers; General Authority 13.2(a) With the approval of the commissioner of 13.3management and budget, the commissioner 13.4of transportation may transfer unencumbered 13.5balances among the appropriations from the 13.6trunk highway fund and the state airports fund 13.7made in this section. Transfers under this 13.8paragraph must not be made: (1) between 13.9funds; (2) from the appropriations for state 13.10road construction or debt service; or (3) from 13.11the appropriations for operations and 13.12maintenance or program delivery, except for 13.13a transfer to state road construction or debt 13.14service. 13.15(b) The commissioner of transportation must 13.16immediately report transfers under paragraph 13.17(a) to the chairs and ranking minority members 13.18of the legislative committees with jurisdiction 13.19over transportation finance. The authority for 13.20the commissioner of transportation to make 13.21transfers under Minnesota Statutes, section 13.2216A.285, is superseded by the authority and 13.23requirements under this subdivision. 13.24Subd. 7.Transfers; Flexible Highway Account 13.25The commissioner of transportation must 13.26transfer from the flexible highway account in 13.27the county state-aid highway fund: 13.28(1) $21,800,000 in fiscal year 2026 to the 13.29trunk highway fund; 13.30(2) $22,230,000 in fiscal year 2026 to the 13.31municipal turnback account in the municipal 13.32state-aid street fund; and 13Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 14.1(3) the remainder in each year to the county 14.2turnback account in the county state-aid 14.3highway fund. 14.4The money transferred under this subdivision 14.5is for highway turnback purposes as provided 14.6under Minnesota Statutes, section 161.081, 14.7subdivision 3. 14.8Subd. 8.Contingent Appropriations 14.9The commissioner of transportation, with the 14.10approval of the governor and the written 14.11approval of at least five members of a group 14.12consisting of the members of the Legislative 14.13Advisory Commission under Minnesota 14.14Statutes, section 3.30, and the ranking minority 14.15members of the legislative committees with 14.16jurisdiction over transportation finance, may 14.17transfer all or part of the unappropriated 14.18balance in the trunk highway fund to an 14.19appropriation: (1) for trunk highway design, 14.20construction, or inspection in order to take 14.21advantage of an unanticipated receipt of 14.22income to the trunk highway fund or to take 14.23advantage of federal advanced construction 14.24funding; (2) for trunk highway maintenance 14.25in order to meet an emergency; or (3) to pay 14.26tort or environmental claims. Nothing in this 14.27subdivision authorizes the commissioner to 14.28increase the use of federal advanced 14.29construction funding beyond amounts 14.30specifically authorized. Any transfer as a result 14.31of the use of federal advanced construction 14.32funding must include an analysis of the effects 14.33on the long-term trunk highway fund balance. 14.34The amount transferred is appropriated for the 14Article 1 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 15.1purpose of the account to which it is 15.2transferred. 15.3Sec. 3. METROPOLITAN COUNCIL 130,794,000$124,961,000$15.4Subdivision 1.Total Appropriation 15.5The appropriations in this section are from the 15.6general fund to the Metropolitan Council. 15.7The amounts that may be spent for each 15.8purpose are specified in the following 15.9subdivisions. 12,454,00012,454,00015.10Subd. 2.Transit System Operations 15.11This appropriation is for transit system 15.12operations under Minnesota Statutes, sections 15.13473.371 to 473.449. 15.14The base is $0 in each of fiscal years 2028 and 15.152029. 118,340,000112,507,00015.16Subd. 3.Special Transportation Service 15.17This appropriation is for special transportation 15.18service under Minnesota Statutes, section 15.19473.386, including Metro Mobility and Metro 15.20Move. 15.21Notwithstanding Minnesota Statutes, section 15.22473.386, subdivision 10, the base is 15.23$118,000,000 in fiscal years 2028 and 15.24thereafter. 15.25Sec. 4. DEPARTMENT OF PUBLIC SAFETY 308,374,000$297,071,000$15.26Subdivision 1.Total Appropriation 15.27 Appropriations by Fund 202715.28 2026 37,026,00036,992,00015.29General 81,050,00081,067,00015.30Special Revenue 1,303,0001,290,00015.31H.U.T.D. 188,995,000177,722,00015.32Trunk Highway 15Article 1 Sec. 4. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 16.1The appropriations in this section are to the 16.2commissioner of public safety. 16.3The amounts that may be spent for each 16.4purpose are specified in the following 16.5subdivisions. The commissioner must spend 16.6appropriations from the trunk highway fund 16.7in subdivision 3 only for State Patrol purposes. 16.8Subd. 2.Administration and Related Services 672,000638,00016.9(a) Office of Communications 16.10This appropriation is from the general fund. 11,926,00011,926,00016.11(b) Public Safety Support 16.12 Appropriations by Fund 202716.13 2026 6,561,0006,561,00016.14General 5,365,0005,365,00016.15Trunk Highway 16.16The base from the trunk highway fund is 16.17$5,472,000 in each of fiscal years 2028 and 16.182029. 1,640,0001,640,00016.19(c) Public Safety Officer Survivor Benefits 16.20This appropriation is from the general fund 16.21for payment of public safety officer survivor 16.22benefits under Minnesota Statutes, section 16.23299A.44. If the appropriation for either year 16.24is insufficient, the appropriation for the other 16.25year is available for it. 1,367,0001,367,00016.26(d) Public Safety Officer Reimbursements 16.27This appropriation is from the general fund 16.28for transfer to the public safety officer's benefit 16.29account. This appropriation is available for 16.30reimbursements under Minnesota Statutes, 16.31section 299A.465. 745,000745,00016.32(e) Soft Body Armor Reimbursements 16Article 1 Sec. 4. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 17.1This appropriation is from the general fund 17.2for soft body armor reimbursements under 17.3Minnesota Statutes, section 299A.38. 6,995,0006,995,00017.4(f) Technology and Support Services 17.5 Appropriations by Fund 202717.6 2026 1,743,0001,743,00017.7General 5,252,0005,252,00017.8Trunk Highway 17.9The base from the trunk highway fund is 17.10$5,387,000 in each of fiscal years 2028 and 17.112029. 17.12Subd. 3.State Patrol 158,151,000146,884,00017.13(a) Patrolling Highways 17.14$1,045,000 in fiscal year 2026 is for 17.15recruitment and hiring initiatives. 17.16$10,365,000 in fiscal year 2027 is for 17.17recruitment and hiring initiatives, and includes 17.18costs associated with an additional State Patrol 17.19trooper academy. This appropriation is 17.20available until June 30, 2028. 17.21The base is $148,831,000 in each of fiscal 17.22years 2028 and 2029. 18,861,00018,861,00017.23(b) Commercial Vehicle Enforcement 19,243,00019,243,00017.24(c) Capitol Security 17.25This appropriation is from the general fund. 17.26The commissioner must not: 17.27(1) spend any money from the trunk highway 17.28fund for capitol security; or 17.29(2) permanently transfer any state trooper from 17.30the patrolling highways activity to capitol 17.31security. 17Article 1 Sec. 4. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 18.1The commissioner must not transfer any 18.2money appropriated to the commissioner under 18.3this section: 18.4(1) to capitol security; or 18.5(2) from capitol security. 1,303,0001,290,00018.6(d) Vehicle Crimes Unit 18.7This appropriation is from the highway user 18.8tax distribution fund to investigate: 18.9(1) registration tax and motor vehicle sales tax 18.10liabilities from individuals and businesses that 18.11currently do not pay all taxes owed; and 18.12(2) illegal or improper activity related to the 18.13sale, transfer, titling, and registration of motor 18.14vehicles. 18.15Subd. 4.Driver and Vehicle Services 47,647,00047,665,00018.16(a) Driver Services 18.17This appropriation is from the driver and 18.18vehicle services operating account under 18.19Minnesota Statutes, section 299A.705. 18.20$133,000 in each year is for implementation 18.21costs for the ignition interlock device program 18.22under Minnesota Statutes, section 171.306. 18.23$11,000 in fiscal year 2026 is for costs related 18.24to rulemaking for loss of consciousness or 18.25voluntary control in conformance with article 18.262, section 73. 18.27$9,000 in fiscal year 2027 is for costs related 18.28to appointment of a full-service provider in 18.29Circle Pines in conformance with article 2, 18.30section 74. 18.31$382,000 in each year is for costs related to 18.32modification of driver's license revocation and 18Article 1 Sec. 4. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 19.1ignition interlock device program 19.2requirements. This appropriation is only 19.3available if a law is enacted in the 2025 regular 19.4legislative session that amends requirements 19.5governing driver's license revocations in 19.6conjunction with ignition interlock device 19.7program participation. If an appropriation for 19.8this purpose is enacted more than once during 19.9the 2025 regular legislative session, the 19.10appropriation must be given effect once. 31,960,00031,959,00019.11(b) Vehicle Services 19.12This appropriation is from the driver and 19.13vehicle services operating account under 19.14Minnesota Statutes, section 299A.705. 19.15$2,189,000 in each year is for reimbursement 19.16payments to deputy registrars under Minnesota 19.17Statutes, section 168.33, subdivision 7a, and 19.18to driver's license agents under Minnesota 19.19Statutes, section 171.061, subdivision 4a. 19.20$91,000 in fiscal year 2026 and $92,000 in 19.21fiscal year 2027 is for public information costs 19.22related to modification of the all-electric 19.23vehicle surcharge under Minnesota Statutes, 19.24section 168.013, subdivision 1m. 5,861,0005,855,00019.25Subd. 5.Traffic Safety 19.26 Appropriations by Fund 202719.27 2026 4,495,0004,495,00019.28General 1,366,0001,360,00019.29Trunk Highway 19.30$485,000 in each year is from the trunk 19.31highway fund for a federal match related to 19.32planning and administration of highway safety 19.33activities. 19Article 1 Sec. 4. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 20.1$1,000,000 in each year is from the general 20.2fund for operations and traffic safety projects, 20.3grants, and other activities of the Advisory 20.4Council on Traffic Safety under Minnesota 20.5Statutes, section 4.076. 20.6$2,000,000 in each year is from the general 20.7fund for the drug evaluation and classification 20.8program for drug recognition evaluator 20.9training; phlebotomists; drug recognition 20.10training for peace officers, as defined in 20.11Minnesota Statutes, section 626.84, 20.12subdivision 1, paragraph (c); required 20.13continuing education training for drug 20.14recognition experts; program administration; 20.15grants to local law enforcement divisions; and 20.16grants to eligible employers for drug 20.17evaluation and classification training costs of 20.18their staff. The commissioner must make 20.19reasonable efforts to reflect the geographic 20.20diversity of the state in making expenditures. 2,003,0002,003,00020.21Subd. 6.Pipeline Safety 20.22 Appropriations by Fund 202720.23 2026 560,000560,00020.24General 1,443,0001,443,00020.25Special Revenue 20.26The appropriation from the special revenue 20.27fund is from the pipeline safety account under 20.28Minnesota Statutes, section 299J.18. 20.29Sec. 5. APPROPRIATION; EMPOWERING SMALL MINNESOTA 20.30COMMUNITIES PROGRAM. 20.31 $2,500,000 in fiscal year 2026 and $2,500,000 in fiscal year 2027 is appropriated from 20.32the general fund to the Board of Regents of the University of Minnesota for the empowering 20.33small Minnesota communities program under Minnesota Statutes, section 137.345. This is 20.34a onetime appropriation. 20Article 1 Sec. 5. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 21.1 Sec. 6. APPROPRIATION; LOCAL ROAD WETLAND REPLACEMENT 21.2PROGRAM. 21.3 $10,000,000 in fiscal year 2026 is appropriated to the Board of Water and Soil Resources 21.4to acquire land or permanent easements and to restore, create, enhance, and preserve wetlands 21.5to replace those wetlands drained or filled as a result of the repair, reconstruction, 21.6replacement, or rehabilitation of existing public roads as required by Minnesota Statutes, 21.7section 103G.222, subdivision 1, paragraphs (l) and (m). The board may vary the priority 21.8order of Minnesota Statutes, section 103G.222, subdivision 3, paragraph (a), to implement 21.9an in-lieu fee agreement approved by the United States Army Corps of Engineers under 21.10section 404 of the federal Clean Water Act. The purchase price paid for acquisition of land 21.11or permanent easement must be a fair market value as determined by the board. The board 21.12may enter into agreements with the federal government, other state agencies, political 21.13subdivisions, nonprofit organizations, fee title owners, or other qualified private entities to 21.14acquire wetland replacement credits in accordance with Minnesota Rules, chapter 8420. 21.15The base is $6,370,000 in fiscal year 2028 and $6,370,000 in fiscal year 2029. 21.16Sec. 7. APPROPRIATIONS; PRIORITY LOCAL TRANSPORTATION PROJECTS. 21.17 Subdivision 1.Anoka; Rum River Dam pedestrian bridge.$5,469,000 in fiscal year 21.182026 is appropriated from the general fund to the commissioner of transportation for one 21.19or more grants to the city of Anoka for design, engineering, environmental analysis, 21.20right-of-way acquisition including easements, and construction of a pedestrian bridge over 21.21the Rum River Dam in the city of Anoka, in association with Rum River Dam improvements. 21.22This is a onetime appropriation and is available until June 30, 2029. 21.23 Subd. 2.Arden Hills; Old Highway 10 Trail.$1,650,000 in fiscal year 2026 is 21.24appropriated from the general fund to the commissioner of transportation for a grant to the 21.25city of Arden Hills for right-of-way acquisition including easements and construction of a 21.26pedestrian and bicycle trail along Old Highway 10 North from Lake Valentine Road to 21.27Lakeshore Place in the city of Arden Hills to connect to the existing regional trail along 21.28Ramsey County State-Aid Highway 96. This appropriation is available for a boardwalk 21.29required by the United States Fish and Wildlife Service over a wetland space in the project 21.30area. This is a onetime appropriation and is available until June 30, 2029. 21.31 Subd. 3.Fairmont; local roads.$5,430,000 in fiscal year 2026 is appropriated from 21.32the general fund to the commissioner of transportation for a grant to the city of Fairmont 21.33for right-of-way acquisition including easements and construction of Kot Street from Charles 21.34Street to South Prairie Avenue, and an extension of Fairlakes Avenue to connect Woodland 21Article 1 Sec. 7. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 22.1Avenue with Lake Avenue, in the city of Fairmont. This appropriation is available for 22.2associated utility and street infrastructure. This is a onetime appropriation and is available 22.3until June 30, 2029. 22.4 Subd. 4.Minneapolis; traffic calming.$2,500,000 in fiscal year 2026 and $2,500,000 22.5in fiscal year 2027 is appropriated from the general fund to the commissioner of transportation 22.6for one or more grants to the city of Minneapolis for traffic calming infrastructure 22.7improvements in the city of Minneapolis, which may include but are not limited to horizontal 22.8and vertical deflection elements, intersection improvements, paint, curb bump-outs, bollards, 22.9raised crosswalks, and other improvements to improve traffic safety in the road right-of-way. 22.10Improvements made on nonmunicipal state-aid streets do not need to meet municipal state-aid 22.11streets standards. This is a onetime appropriation. 22.12 Subd. 5.Murray County; highway department maintenance facility.$2,000,000 in 22.13fiscal year 2026 is appropriated from the general fund to the commissioner of transportation 22.14for a grant to Murray County for design, engineering, construction, furnishing, and equipping 22.15Phase 2 of a new highway department maintenance facility for Murray County in the city 22.16of Slayton. This appropriation is available for the construction of facility space to store 22.17equipment, chemicals, and other materials related to highway maintenance; power and fuel 22.18supply systems; and associated improvements to the site to manage traffic safety and 22.19stormwater issues related to the facility. This is a onetime appropriation and is available 22.20until June 30, 2029. 22.21 Subd. 6.Otter Tail County; Otter Tail CSAH 76 bridge.$270,000 in fiscal year 2026 22.22is appropriated from the general fund to the commissioner of transportation for a grant to 22.23Otter Tail County for improvements or replacement of the Otter Tail County State-Aid 22.24Highway 76 bridge over Bluff Creek. This is a onetime appropriation and is available until 22.25June 30, 2029. 22.26 Subd. 7.Rogers; Hennepin CSAH 150.$4,000,000 in fiscal year 2026 is appropriated 22.27from the general fund to the commissioner of transportation for a grant to the city of Rogers 22.28for construction or reconstruction of Hennepin County State-Aid Highway 150 (Main Street) 22.29from Hennepin County State-Aid Highway 116 (Territorial Road) to John Deere Lane in 22.30the city of Rogers. This appropriation is available for replacement of associated utilities, 22.31pedestrian safety improvements, and improvements consistent with the safe routes to school 22.32program under Minnesota Statutes, section 174.40. This is a onetime appropriation and is 22.33available until June 30, 2029. 22Article 1 Sec. 7. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 23.1 Subd. 8.Shakopee; railroad quiet zones.$6,000,000 in fiscal year 2026 is appropriated 23.2from the general fund to the commissioner of transportation for a grant to the city of Shakopee 23.3for predesign, design, engineering, environmental analysis, right-of-way acquisition including 23.4easements, construction, and equipping new passive and active rail grade crossing warning 23.5safety devices necessary to establish quiet zone areas at grade crossings of railroad tracks 23.6and city streets in the city of Shakopee. This is a onetime appropriation and is available 23.7until June 30, 2029. 23.8 Subd. 9.Stearns County; 322nd Street.$3,150,000 in fiscal year 2026 is appropriated 23.9from the general fund to the commissioner of transportation for one or more grants to Stearns 23.10County, the city of St. Cloud, or both for design, engineering, environmental analysis, 23.11right-of-way acquisition including easements, and reconstruction of 322nd Street from 23.12Stearns County State-Aid Highway 4 to Stearns County State-Aid Highway 133 in and 23.13adjacent to the city of St. Cloud. This is a onetime appropriation and is available until June 23.1430, 2029. 23.15 Subd. 10.Stillwater; Myrtle Street.$2,023,000 in fiscal year 2026 is appropriated 23.16from the general fund to the commissioner of transportation for a grant to the city of Stillwater 23.17for design and reconstruction of Myrtle Street from Owens Street to Main Street, and other 23.18associated streets to support the construction, in the city of Stillwater. This appropriation 23.19is available for reconstruction of retaining walls and water and sanitary sewer utilities. This 23.20is a onetime appropriation and is available until June 30, 2029. 23.21 Subd. 11.Waconia; local roads with Trunk Highway 5.$4,700,000 in fiscal year 23.222026 is appropriated from the general fund to the commissioner of transportation for a grant 23.23to the city of Waconia for design, engineering, and construction or reconstruction of local 23.24road improvements related to the reconstruction of marked Trunk Highway 5 from the 23.25intersection with marked Trunk Highway 284 and South Olive Street to the intersection 23.26with Carver County State-Aid Highway 59 (Main Street) in the city of Waconia. For the 23.27purposes of this subdivision, "local road improvements" includes but is not limited to 23.28frontage roads, backage roads, connecting local streets, trails, and utility infrastructure. This 23.29is a onetime appropriation and is available until June 30, 2029. 23.30Sec. 8. APPROPRIATIONS; PRIORITY TRUNK HIGHWAY PROJECTS. 23.31 Subdivision 1.Lakeville; Interstate 35 and Dakota CSAH 50 interchange.$40,800,000 23.32in fiscal year 2026 is appropriated from the trunk highway fund to the commissioner of 23.33transportation for predesign, design, engineering, environmental analysis, right-of-way 23.34acquisition including easements, and construction of bridge and interchange improvements 23Article 1 Sec. 8. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 24.1at marked Interstate Highway 35 and Dakota County State-Aid Highway 50 (Kenwood 24.2Trail) in the city of Lakeville, including bridges over Dakota County State-Aid Highway 24.350. This is a onetime appropriation and is available until June 30, 2029. 24.4 Subd. 2.Crookston; U.S. Highway 2 improvements.$2,700,000 in fiscal year 2026 24.5is appropriated from the trunk highway fund to the commissioner of transportation for 24.6predesign, design, engineering, right-of-way acquisition including easements, and 24.7construction of safety improvements along the marked U.S. Highway 2 corridor in the city 24.8of Crookston. This appropriation is available for use on portions of the project eligible for 24.9trunk highway funds. This is a onetime appropriation and is available until June 30, 2029. 24.10 Subd. 3.Shafer; U.S. Highway 8 roundabout.$3,500,000 in fiscal year 2026 is 24.11appropriated from the trunk highway fund to the commissioner of transportation for 24.12predesign, design, engineering, environmental analysis, right-of-way acquisition including 24.13easements, and construction of a roundabout on marked U.S. Highway 8 at the intersection 24.14with Chisago County State-Aid Highway 21 in the city of Shafer. This appropriation is for 24.15the portion of the project that is eligible for use of trunk highway fund money. This is a 24.16onetime appropriation and is available until June 30, 2029. 24.17 Subd. 4.Maple Grove; U.S. Highway 169 and Hennepin CSAH 130 24.18interchange.$8,600,000 in fiscal year 2026 is appropriated from the general fund to the 24.19commissioner of transportation for predesign, design, engineering, right-of-way acquisition 24.20including easements, and construction of capacity and safety improvements to the interchange 24.21at marked U.S. Highway 169 and Hennepin County State-Aid Highway 130 in the city of 24.22Maple Grove. This appropriation does not require a nonstate match. This is a onetime 24.23appropriation and is available until June 30, 2029. 24.24 Subd. 5.Coon Rapids; Trunk Highway 610 and East River Road 24.25interchange.$10,000,000 in fiscal year 2026 is appropriated from the trunk highway fund 24.26to the commissioner of transportation for final design, right-of-way acquisition including 24.27easements, construction, and associated improvements for the interchange at marked Trunk 24.28Highway 610 and Anoka County State-Aid Highway 1 (East River Road) in the city of 24.29Coon Rapids. This appropriation is for the portion of the project that is eligible for use of 24.30trunk highway fund money. This appropriation is in addition to the appropriations for the 24.31same project in Laws 2023, chapter 68, article 1, section 17, subdivision 15, and Laws 2020, 24.32Fifth Special Session chapter 3, article 1, section 16, subdivision 3. This is a onetime 24.33appropriation and is available until June 30, 2029. 24Article 1 Sec. 8. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 25.1 Sec. 9. APPROPRIATION CANCELLATIONS. 25.2 (a) Of the appropriation in fiscal year 2023 under Laws 2023, chapter 68, article 1, 25.3section 10, for a rail corridor service analysis, $3,072,000 is canceled to the general fund 25.4on the effective date of this section. 25.5 (b) Of the appropriation in fiscal years 2024 and 2025 under Laws 2023, chapter 68, 25.6article 1, section 4, subdivision 5, for projects and activities of the Advisory Council on 25.7Traffic Safety, $3,250,000 is canceled to the general fund on the effective date of this section. 25.8 EFFECTIVE DATE.This section is effective the day following final enactment. 25.9 Sec. 10. TRANSFERS. 25.10 (a) $6,155,000 in fiscal year 2026 and $6,284,000 in fiscal year 2027 are transferred 25.11from the general fund to the active transportation account under Minnesota Statutes, section 25.12174.38. 25.13 (b) In each applicable forecast under Minnesota Statutes, section 16A.103, prepared on 25.14or after the effective date of this section, the commissioner of management and budget must 25.15include transfers of $4,284,000 in fiscal year 2028 and in each fiscal year thereafter from 25.16the general fund to the active transportation account under Minnesota Statutes, section 25.17174.38. 25.18 (c) In each applicable forecast under Minnesota Statutes, section 16A.103, prepared on 25.19or after the effective date of this section, the commissioner of management and budget must 25.20include transfers of $30,821,000 in fiscal year 2028 and $35,759,000 in fiscal year 2029 25.21from the general fund to the trunk highway fund. 25.22 (d) In each applicable forecast under Minnesota Statutes, section 16A.103, prepared on 25.23or after the effective date of this section, the commissioner of management and budget must 25.24include transfers of $30,820,000 in fiscal year 2028 and $35,758,000 in fiscal year 2029 25.25from the general fund to the county state-aid highway fund. 25.26Sec. 11. Laws 2021, First Special Session chapter 5, article 1, section 2, subdivision 2, as 25.27amended by Laws 2024, chapter 127, article 1, section 10, is amended to read: 25.28Subd. 2.Multimodal Systems 25.29(a) Aeronautics 18,598,00024,198,00025.30(1) Airport Development and Assistance 25Article 1 Sec. 11. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 26.1 Appropriations by Fund 202326.2 2022 -0-5,600,00026.3General 18,598,00018,598,00026.4Airports 26.5This appropriation is from the state airports 26.6fund and must be spent according to 26.7Minnesota Statutes, section 360.305, 26.8subdivision 4. 26.9$5,600,000 in fiscal year 2022 is from the 26.10general fund for a grant to the city of Karlstad 26.11for the acquisition of land, predesign, design, 26.12engineering, and construction of a primary 26.13airport runway. This appropriation is for Phase 26.141 of the project. 26.15Notwithstanding Minnesota Statutes, section 26.1616A.28, subdivision 6, this appropriation is 26.17available for five years after the year of the 26.18appropriation. If the appropriation for either 26.19year is insufficient, the appropriation for the 26.20other year is available for it. 26.21If the commissioner of transportation 26.22determines that a balance remains in the state 26.23airports fund following the appropriations 26.24made in this article and that the appropriations 26.25made are insufficient for advancing airport 26.26development and assistance projects, an 26.27amount necessary to advance the projects, not 26.28to exceed the balance in the state airports fund, 26.29is appropriated in each year to the 26.30commissioner and must be spent according to 26.31Minnesota Statutes, section 360.305, 26.32subdivision 4. Within two weeks of a 26.33determination under this contingent 26.34appropriation, the commissioner of 26.35transportation must notify the commissioner 26Article 1 Sec. 11. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 27.1of management and budget and the chairs, 27.2ranking minority members, and staff of the 27.3legislative committees with jurisdiction over 27.4transportation finance concerning the funds 27.5appropriated. Funds appropriated under this 27.6contingent appropriation do not adjust the base 27.7for fiscal years 2024 and 2025. 8,340,0008,332,00027.8(2) Aviation Support Services 27.9 Appropriations by Fund 202327.10 2022 1,650,0001,650,00027.11General 6,690,0006,682,00027.12Airports 27.13$28,000 in fiscal year 2022 and $36,000 in 27.14fiscal year 2023 are from the state airports 27.15fund for costs related to regulating unmanned 27.16aircraft systems. 80,00080,00027.17(3) Civil Air Patrol 27.18This appropriation is from the state airports 27.19fund for the Civil Air Patrol. 18,201,00023,501,00027.20(b) Transit and Active Transportation 27.21This appropriation is from the general fund. 27.22$5,000,000 in fiscal year 2022 is for the active 27.23transportation program under Minnesota 27.24Statutes, section 174.38. This is a onetime 27.25appropriation and is available until June 30, 27.262025. 27.27$300,000 in fiscal year 2022 is for a grant to 27.28the 494 Corridor Commission. The 27.29commissioner must not retain any portion of 27.30the funds appropriated under this section. The 27.31commissioner must make grant payments in 27.32full by December 31, 2021. Funds under this 27.33grant are for programming and service 27Article 1 Sec. 11. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 28.1expansion to assist companies and commuters 28.2in telecommuting efforts and promotion of 28.3best practices. A grant recipient must provide 28.4telework resources, assistance, information, 28.5and related activities on a statewide basis. This 28.6is a onetime appropriation. 500,0005,500,00028.7(c) Safe Routes to School 28.8This appropriation is from the general fund 28.9for the safe routes to school program under 28.10Minnesota Statutes, section 174.40. 28.11If the appropriation for either year is 28.12insufficient, the appropriation for the other 28.13year is available for it. 500,00010,500,00028.14(d) Passenger Rail 28.15This appropriation is from the general fund 28.16for passenger rail activities under Minnesota 28.17Statutes, sections 174.632 to 174.636. 28.18$10,000,000 in fiscal year 2022 is for final 28.19design and construction to provide for a 28.20second daily Amtrak train service between 28.21Minneapolis and St. Paul and Chicago. The 28.22commissioner may expend funds for program 28.23delivery and administration from this amount. 28.24This is a onetime appropriation and is 28.25available until June 30, 2025 2028. 7,323,0008,342,00028.26(e) Freight 28.27 Appropriations by Fund 202328.28 2022 1,445,0002,464,00028.29General 5,878,0005,878,00028.30Trunk Highway 28.31$1,000,000 in fiscal year 2022 is from the 28.32general fund for procurement costs of a 28.33statewide freight network optimization tool. 28Article 1 Sec. 11. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 29.1This is a onetime appropriation and is 29.2available until June 30, 2023. 29.3$350,000 in fiscal year 2022 and $287,000 in 29.4fiscal year 2023 are from the general fund for 29.5two additional rail safety inspectors in the state 29.6rail safety inspection program under 29.7Minnesota Statutes, section 219.015. In each 29.8year, the commissioner must not increase the 29.9total assessment amount under Minnesota 29.10Statutes, section 219.015, subdivision 2, from 29.11the most recent assessment amount. 29.12 EFFECTIVE DATE.This section is effective the day following final enactment. 29.13Sec. 12. Laws 2021, First Special Session chapter 14, article 11, section 45, is amended 29.14to read: 29.15Sec. 45. APPROPRIATION; DEPARTMENT OF TRANSPORTATION. 29.16 $6,200,000 in fiscal year 2022 is appropriated from the general fund to the commissioner 29.17of transportation for project development of a land bridge freeway lid over marked Interstate 29.18Highway 94 in a portion of the segment from Lexington Avenue to Rice Street in St. Paul. 29.19This amount is available to match federal funds and for project planning and development, 29.20including area planning, community and land use planning, economic development planning, 29.21design, and project management and analysis. From this amount, the commissioner may 29.22make grants to Reconnect Rondo to perform any eligible project development activities. 29.23This is a onetime appropriation and is available until June 30, 2025 2026. 29.24 EFFECTIVE DATE.This section is effective the day following final enactment. 29.25Sec. 13. Laws 2023, chapter 60, article 10, section 9, is amended to read: -0-$310,000$ 29.26Sec. 9. DEPARTMENT OF 29.27TRANSPORTATION 29.28$310,000 the first year is for awarding grants 29.29to assist manufacturers to obtain 29.30environmental product declarations for certain 29.31construction materials used to build roads and 29.32other transportation infrastructure under 29Article 1 Sec. 13. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 30.1Minnesota Statutes, section 16B.312. Of this 30.2amount, up to $10,000 is for the reasonable 30.3costs of the department to administer that 30.4section. This appropriation is available until 30.5June 30, 2027. 30.6 Sec. 14. Laws 2023, chapter 68, article 1, section 2, subdivision 2, is amended to read: 30.7Subd. 2.Multimodal Systems 30.8(a) Aeronautics 18,598,00069,598,00030.9(1) Airport Development and Assistance 30.10 Appropriations by Fund 202530.11 2024 -0-36,000,00030.12General 18,598,00033,598,00030.13Airports 30.14The appropriation from the state airports fund 30.15must be spent according to Minnesota Statutes, 30.16section 360.305, subdivision 4. 30.17$36,000,000 in fiscal year 2024 is from the 30.18general fund for matches to federal aid and 30.19state investments related to airport 30.20infrastructure projects. This is a onetime 30.21appropriation and is available until June 30, 30.222027. 30.23$15,000,000 in fiscal year 2024 is from the 30.24state airports fund for system maintenance of 30.25critical airport safety systems, equipment, and 30.26essential airfield technology. 30.27Notwithstanding Minnesota Statutes, section 30.2816A.28, subdivision 6, the appropriation from 30.29the state airports fund is available for five 30.30years after the year of the appropriation. If the 30.31appropriation for either year is insufficient, 30.32the appropriation for the other year is available 30.33for it. 30Article 1 Sec. 14. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 31.1If the commissioner of transportation 31.2determines that a balance remains in the state 31.3airports fund following the appropriations 31.4made in this article and that the appropriations 31.5made are insufficient for advancing airport 31.6development and assistance projects, an 31.7amount necessary to advance the projects, not 31.8to exceed the balance in the state airports fund, 31.9is appropriated in each year to the 31.10commissioner and must be spent according to 31.11Minnesota Statutes, section 360.305, 31.12subdivision 4. Within two weeks of a 31.13determination under this contingent 31.14appropriation, the commissioner of 31.15transportation must notify the commissioner 31.16of management and budget and the chairs, 31.17ranking minority members, and staff of the 31.18legislative committees with jurisdiction over 31.19transportation finance concerning the funds 31.20appropriated. Funds appropriated under this 31.21contingent appropriation do not adjust the base 31.22for fiscal years 2026 and 2027. 8,431,00015,397,00031.23(2) Aviation Support Services 31.24 Appropriations by Fund 202531.25 2024 1,741,0008,707,00031.26General 6,690,0006,690,00031.27Airports 31.28$7,000,000 in fiscal year 2024 is from the 31.29general fund to purchase two utility aircraft 31.30for the Department of Transportation. 80,00080,00031.31(3) Civil Air Patrol 31.32This appropriation is from the state airports 31.33fund for the Civil Air Patrol. 18,374,00058,478,00031.34(b) Transit and Active Transportation 31Article 1 Sec. 14. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 32.1This appropriation is from the general fund. 32.2$200,000 in fiscal year 2024 and $50,000 in 32.3fiscal year 2025 are for a grant to the city of 32.4Rochester to implement demand response 32.5transit service using electric transit vehicles. 32.6The money is available for mobile software 32.7application development; vehicles and 32.8equipment, including accessible vehicles; 32.9associated charging infrastructure; and capital 32.10and operating costs. 32.11$40,000,000 in fiscal year 2024 is for matches 32.12to federal aid and state investments related to 32.13transit and active transportation projects. This 32.14is a onetime appropriation and is available 32.15until June 30, 2027. 10,500,00015,297,00032.16(c) Safe Routes to School 32.17This appropriation is from the general fund 32.18for the safe routes to school program under 32.19Minnesota Statutes, section 174.40. 32.20If the appropriation for either year is 32.21insufficient, the appropriation for the other 32.22year is available for it. The appropriations in 32.23each year are available until June 30, 2027. 32.24The base for this appropriation is $1,500,000 32.25in each of fiscal years 2026 and 2027. 4,226,000197,521,00032.26(d) Passenger Rail 32.27This appropriation is from the general fund 32.28for passenger rail activities under Minnesota 32.29Statutes, sections 174.632 to 174.636. 32.30$194,700,000 in fiscal year 2024 is for capital 32.31improvements and betterments for the 32.32Minneapolis-Duluth Northern Lights Express 32.33intercity passenger rail project, including 32Article 1 Sec. 14. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 33.1preliminary engineering, design, engineering, 33.2environmental analysis and mitigation, 33.3acquisition of land and right-of-way, 33.4equipment and rolling stock, and construction. 33.5From this appropriation, the amount necessary 33.6is for: (1) Coon Rapids station improvements 33.7to establish a joint station that provides for 33.8Amtrak train service on the Empire Builder 33.9line between Chicago and Seattle; and (2) 33.10acquisition of equipment and rolling stock for 33.11purposes of participation in the Midwest fleet 33.12pool to provide for service on Northern Lights 33.13Express and expanded Amtrak train service 33.14between Minneapolis and St. Paul and 33.15Chicago. The commissioner of transportation 33.16must not approve additional stops or stations 33.17beyond those included in the Federal Railroad 33.18Administration's January 2018 Finding of No 33.19Significant Impact and Section 4(f) 33.20Determination if the commissioner determines 33.21that the resulting speed reduction would 33.22negatively impact total ridership. This 33.23appropriation is onetime and is available until 33.24June 30, 2028. 33.25$1,833,000 in fiscal year 2024 and $3,238,000 33.26in fiscal year 2025 are for a match to federal 33.27aid for capital and operating costs for 33.28expanded Amtrak train service between 33.29Minneapolis and St. Paul and Chicago. These 33.30amounts are available until June 30, 2028. 33.31The base from the general fund is $5,742,000 33.32in each of fiscal years 2026 and 2027. 9,066,00014,650,00033.33(e) Freight 33.34 Appropriations by Fund 202533.35 2024 33Article 1 Sec. 14. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 2,400,0008,283,00034.1General 6,666,0006,367,00034.2Trunk Highway 34.3$5,000,000 in fiscal year 2024 is from the 34.4general fund for matching federal aid grants 34.5for improvements, engineering, and 34.6administrative costs for the Stone Arch Bridge 34.7in Minneapolis. This is a onetime 34.8appropriation and is available until June 30, 34.92027. 34.10$1,000,000 in each year is from the general 34.11fund for staff, operating costs, and 34.12maintenance related to weight and safety 34.13enforcement systems. 34.14$974,000 in fiscal year 2024 is from the 34.15general fund for procurement costs of a 34.16statewide freight network optimization tool 34.17under Laws 2021, First Special Session 34.18chapter 5, article 4, section 133. This is a 34.19onetime appropriation and is available until 34.20June 30, 2025. 34.21 EFFECTIVE DATE.This section is effective the day following final enactment. 34.22Sec. 15. Laws 2023, chapter 68, article 1, section 2, subdivision 3, is amended to read: 34.23Subd. 3.State Roads 425,341,000414,220,00034.24(a) Operations and Maintenance 34.25 Appropriations by Fund 202534.26 2024 -0-2,000,00034.27General 425,341,000412,220,00034.28Trunk Highway 34.29$1,000,000 in fiscal year 2024 is from the 34.30general fund for the highways for habitat 34.31program under Minnesota Statutes, section 34.32160.2325. This amount is available until June 34.3330, 2027. 34Article 1 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 35.1$248,000 in each year is from the trunk 35.2highway fund for living snow fence 35.3implementation and maintenance activities. 35.4$1,000,000 in fiscal year 2024 is from the 35.5general fund for safe road zones under 35.6Minnesota Statutes, section 169.065, including 35.7development and delivery of public awareness 35.8and education campaigns about safe road 35.9zones. 35.10(b) Program Planning and Delivery 33,465,00032,679,00035.11(1) Planning and Research 35.12The commissioner may use any balance 35.13remaining in this appropriation for program 35.14delivery under clause (2). 35.15$130,000 in each year is available for 35.16administrative costs of the targeted group 35.17business program. 35.18$266,000 in each year is available for grants 35.19to metropolitan planning organizations outside 35.20the seven-county metropolitan area. 35.21$900,000 in each year is available for grants 35.22for transportation studies outside the 35.23metropolitan area to identify critical concerns, 35.24problems, and issues. These grants are 35.25available: (i) to regional development 35.26commissions; (ii) in regions where no regional 35.27development commission is functioning, to 35.28joint powers boards established under 35.29agreement of two or more political 35.30subdivisions in the region to exercise the 35.31planning functions of a regional development 35.32commission; and (iii) in regions where no 35.33regional development commission or joint 35Article 1 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 36.1powers board is functioning, to the Department 36.2of Transportation district office for that region. 273,985,000274,451,00036.3(2) Program Delivery 36.4 Appropriations by Fund 202536.5 2024 2,000,0002,250,00036.6General 271,985,000272,201,00036.7Trunk Highway 36.8This appropriation includes use of consultants 36.9to support development and management of 36.10projects. 36.11$10,000,000 in fiscal year 2024 is from the 36.12trunk highway fund for roadway design and 36.13related improvements that reduce speeds and 36.14eliminate intersection interactions on rural 36.15high-risk roadways. The commissioner must 36.16identify roadways based on crash information 36.17and in consultation with the Advisory Council 36.18on Traffic Safety under Minnesota Statutes, 36.19section 4.076, and local traffic safety partners. 36.20This is a onetime appropriation and is 36.21available until June 30, 2026. 36.22$2,000,000 in each year is from the general 36.23fund for implementation of climate-related 36.24programs as provided under the federal 36.25Infrastructure Investment and Jobs Act, Public 36.26Law 117-58. 36.27$1,193,000 in fiscal year 2024 is from the 36.28trunk highway fund for costs related to the 36.29property conveyance to the Upper Sioux 36.30Community of state-owned land within the 36.31boundaries of Upper Sioux Agency State Park, 36.32including fee purchase, property purchase, 36.33appraisals, and road and bridge demolition 36Article 1 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 37.1and related engineering. This amount is 37.2available until June 30, 2027. 37.3$250,000 in fiscal year 2024 is from the 37.4general fund for costs related to the Clean 37.5Transportation Fuel Standard Working Group 37.6established under article 4, section 124. 37.7$1,000,000 in each year is available from the 37.8trunk highway fund for management of 37.9contaminated and regulated material on 37.10property owned by the Department of 37.11Transportation, including mitigation of 37.12property conveyances, facility acquisition or 37.13expansion, chemical release at maintenance 37.14facilities, and spills on the trunk highway 37.15system where there is no known responsible 37.16party. If the appropriation for either year is 37.17insufficient, the appropriation for the other 37.18year is available for it. 1,174,045,0001,207,013,00037.19(c) State Road Construction 37.20 Appropriations by Fund 202537.21 2024 -0-1,800,00037.22General 1,174,045,0001,205,213,00037.23Trunk Highway 37.24This appropriation is for the actual 37.25construction, reconstruction, and improvement 37.26of trunk highways, including design-build 37.27contracts, internal department costs associated 37.28with delivering the construction program, 37.29consultant usage to support these activities, 37.30and the cost of actual payments to landowners 37.31for lands acquired for highway rights-of-way, 37.32payment to lessees, interest subsidies, and 37.33relocation expenses. 37Article 1 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 38.1This appropriation includes federal highway 38.2aid. The commissioner of transportation must 38.3notify the chairs, ranking minority members, 38.4and staff of the legislative committees with 38.5jurisdiction over transportation finance of any 38.6significant events that cause the estimates of 38.7federal aid to change. 38.8$1,500,000 in fiscal year 2024 is from the 38.9general fund for living snow fence 38.10implementation, including: acquiring and 38.11planting trees, shrubs, native grasses, and 38.12wildflowers that are climate adaptive to 38.13Minnesota; improvements; contracts; 38.14easements; rental agreements; and program 38.15delivery. 38.16$300,000 in fiscal year 2024 is from the 38.17general fund for additions and modifications 38.18to work zone design or layout to reduce 38.19vehicle speeds in a work zone. This 38.20appropriation is available following a 38.21determination by the commissioner that the 38.22initial work zone design or layout 38.23insufficiently provides for reduced vehicle 38.24speeds. 38.25The commissioner may expend up to one-half 38.26of one percent of the federal appropriations 38.27under this paragraph as grants to opportunity 38.28industrialization centers and other nonprofit 38.29job training centers for job training programs 38.30related to highway construction. 38.31The commissioner may transfer up to 38.32$15,000,000 in each year to the transportation 38.33revolving loan fund. 38Article 1 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 39.1The commissioner may receive money 39.2covering other shares of the cost of partnership 39.3projects. These receipts are appropriated to 39.4the commissioner for these projects. 39.5The base from the trunk highway fund is 39.6$1,161,813,000 in each of fiscal years 2026 39.7and 2027. 25,000,00025,000,00039.8(d) Corridors of Commerce 39.9This appropriation is for the corridors of 39.10commerce program under Minnesota Statutes, 39.11section 161.088. The commissioner may use 39.12up to 17 percent of the amount in each year 39.13for program delivery. 291,394,000268,336,00039.14(e) Highway Debt Service 39.15$265,336,000 in fiscal year 2024 and 39.16$288,394,000 in fiscal year 2025 are for 39.17transfer to the state bond fund. If this 39.18appropriation is insufficient to make all 39.19transfers required in the year for which it is 39.20made, the commissioner of management and 39.21budget must transfer the deficiency amount 39.22as provided under Minnesota Statutes, section 39.2316A.641, and notify the chairs, ranking 39.24minority members, and staff of the legislative 39.25committees with jurisdiction over 39.26transportation finance and the chairs of the 39.27senate Finance Committee and the house of 39.28representatives Ways and Means Committee 39.29of the amount of the deficiency. Any excess 39.30appropriation cancels to the trunk highway 39.31fund. 6,907,0008,653,00039.32(f) Statewide Radio Communications 39.33 Appropriations by Fund 202539.34 2024 39Article 1 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 3,0002,003,00040.1General 6,904,0006,650,00040.2Trunk Highway 40.3$3,000 in each year is from the general fund 40.4to equip and operate the Roosevelt signal 40.5tower for Lake of the Woods weather 40.6broadcasting. 40.7$2,000,000 in fiscal year 2024 is from the 40.8general fund for Allied Radio Matrix for 40.9Emergency Response (ARMER) tower 40.10building improvements and replacement. 40.11 EFFECTIVE DATE.This section is effective the day following final enactment. 40.12Sec. 16. Laws 2024, chapter 127, article 1, section 2, subdivision 3, is amended to read: 40.13Subd. 3.State Roads 2,405,000-0-40.14(a) Operations and Maintenance 40.15$300,000 in fiscal year 2025 is for rumble 40.16strips under Minnesota Statutes, section 40.17161.1258. 40.18$1,000,000 in fiscal year 2025 is for 40.19landscaping improvements located within 40.20trunk highway rights-of-way under the 40.21Department of Transportation's community 40.22roadside landscape partnership program, with 40.23prioritization of tree planting as feasible. 40.24$1,000,000 is from the general fund for the 40.25traffic safety camera pilot program under 40.26Minnesota Statutes, section 169.147, and the 40.27evaluation and legislative report under article 40.283, sections 116 and 117. With the approval of 40.29the commissioner of transportation, any 40.30portion of this appropriation is available to the 40.31commissioner of public safety. This is a 40.32onetime appropriation and is available until 40.33June 30, 2029. 40Article 1 Sec. 16. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 41.1$105,000 in fiscal year 2025 is for the cost of 41.2staff time to coordinate with the Public 41.3Utilities Commission relating to placement of 41.4high voltage transmission lines along trunk 41.5highways. 5,800,000-0-41.6(b) Program Planning and Delivery 41.7$3,000,000 in fiscal year 2025 is for 41.8implementation and development of statewide 41.9and regional travel demand modeling related 41.10to the requirements under Minnesota Statutes, 41.11section 161.178. This is a onetime 41.12appropriation and is available until June 30, 41.132026. 41.14$800,000 in fiscal year 2025 is for one or more 41.15grants to metropolitan planning organizations 41.16outside the metropolitan area, as defined in 41.17Minnesota Statutes, section 473.121, 41.18subdivision 2, for modeling activities related 41.19to the requirements under Minnesota Statutes, 41.20section 161.178. Notwithstanding Minnesota 41.21Statutes, section 16B.98, subdivision 14, the 41.22commissioner must not use any amount of this 41.23appropriation for administrative costs. This is 41.24a onetime appropriation and is available until 41.25June 30, 2026. 41.26$2,000,000 in fiscal year 2025 is to complete 41.27environmental documentation and for 41.28preliminary engineering and design for the 41.29reconstruction of marked Trunk Highway 55 41.30from Hennepin County State-Aid Highway 41.3119, north of the city of Loretto to Hennepin 41.32County Road 118 near the city of Medina. 41.33This is a onetime appropriation and is 41.34available until June 30, 2027. 41Article 1 Sec. 16. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 10,900,000-0-42.1(c) State Road Construction 42.2$8,900,000 in fiscal year 2025 is for the 42.3acquisition, environmental analysis, predesign, 42.4design, engineering, construction, 42.5reconstruction, and improvement of trunk 42.6highway bridges, including design-build 42.7contracts, program delivery, consultant usage 42.8to support these activities, and the cost of 42.9payments to landowners for lands acquired 42.10for highway rights-of-way. Projects under this 42.11appropriation must follow eligible investment 42.12priorities identified in the Minnesota state 42.13highway investment plan under Minnesota 42.14Statutes, section 174.03, subdivision 1c. The 42.15commissioner may use up to 17 percent of this 42.16appropriation for program delivery. This is a 42.17onetime appropriation and is available until 42.18June 30, 2028. 42.19$1,000,000 in fiscal year 2025 is for predesign 42.20and design of intersection safety improvements 42.21along marked Trunk Highway 65 from the 42.22interchange with marked U.S. Highway 10 to 42.2399th Avenue Northeast in the city of Blaine. 42.24This is a onetime appropriation. 42.25$1,000,000 in fiscal year 2025 is to design and 42.26construct trunk highway improvements 42.27associated with an interchange at U.S. 42.28Highway 169, marked Trunk Highway 282, 42.29and Scott County State-Aid Highway 9 in the 42.30city of Jordan, including accommodations for 42.31bicycles and pedestrians and for bridge and 42.32road construction. This is a onetime 42.33appropriation and is available until June 30, 42.342027. 468,000-0-42.35(d) Highway Debt Service 42Article 1 Sec. 16. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 43.1This appropriation is for transfer to the state 43.2bond fund. If this appropriation is insufficient 43.3to make all transfers required in the year for 43.4which it is made, the commissioner of 43.5management and budget must transfer the 43.6deficiency amount as provided under 43.7Minnesota Statutes, section 16A.641, and 43.8notify the chairs and ranking minority 43.9members of the legislative committees with 43.10jurisdiction over transportation finance and 43.11the chairs of the senate Finance Committee 43.12and the house of representatives Ways and 43.13Means Committee of the amount of the 43.14deficiency. Any excess appropriation cancels 43.15to the trunk highway fund. 43.16 EFFECTIVE DATE.This section is effective the day following final enactment. 43.17Sec. 17. ALLOCATION; WASHINGTON AVENUE BRIDGE SUICIDE 43.18PREVENTION. 43.19 Notwithstanding Minnesota Statutes, section 297A.993, subdivision 2, from funds 43.20received under Minnesota Statutes, section 297A.993, Hennepin County must award a grant 43.21of $15,000,000 to the Board of Regents of the University of Minnesota to design and 43.22construct suicide barriers and provide suicide diversion information resources on the 43.23Washington Avenue Bridge in the city of Minneapolis. 43.24 ARTICLE 2 43.25 TRANSPORTATION FINANCE AND POLICY 43.26Section 1. Minnesota Statutes 2024, section 4.076, subdivision 4, is amended to read: 43.27 Subd. 4.Duties.The advisory council must: 43.28 (1) advise the governor and heads of state departments and agencies on policies, programs, 43.29and services affecting traffic safety; 43.30 (2) advise the appropriate representatives of state departments on the activities of the 43.31Toward Zero Deaths program, including but not limited to educating the public about traffic 43.32safety; 43Article 2 Section 1. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 44.1 (3) encourage state departments and other agencies to conduct needed research in the 44.2field of traffic safety; 44.3 (4) review recommendations of the subcommittees and working groups; 44.4 (5) review and comment on all grants dealing with traffic safety and on the development 44.5and implementation of state and local traffic safety plans; 44.6 (6) advise the commissioner of public safety on agreements and grants as provided in 44.7subdivision 5; and 44.8 (6) (7) make recommendations on safe road zone safety measures under section 169.065. 44.9 Sec. 2. Minnesota Statutes 2024, section 4.076, subdivision 5, is amended to read: 44.10 Subd. 5.Administration.(a) The Office of Traffic Safety in the Department of Public 44.11Safety, in cooperation with the Departments of Transportation and Health, must serve as 44.12the host agency for the advisory council and must manage the administrative and operational 44.13aspects of the advisory council's activities. The commissioner of public safety must perform 44.14financial management on behalf of the council. 44.15 (b) The advisory council must meet no less than four times per year, or more frequently 44.16as determined by the chair, a vice chair, or a majority of the council members. The advisory 44.17council is subject to chapter 13D. 44.18 (c) The chair must regularly report to the respective commissioners on the activities of 44.19the advisory council and on the state of traffic safety in Minnesota. 44.20 (d) The terms, compensation, and appointment of members are governed by section 44.2115.059. 44.22 (e) The advisory council may appoint subcommittees and working groups. Subcommittees 44.23must consist of council members. Working groups may include nonmembers. Nonmembers 44.24on working groups must be compensated pursuant to section 15.059, subdivision 3, only 44.25for expenses incurred for working group activities. 44.26 (f) The commissioner of public safety may enter into contracts and interagency 44.27agreements for data, expertise, and research projects to provide assistance to the advisory 44.28council. 44.29 (g) From an appropriation in law to the advisory council, the commissioner of public 44.30safety may enter into grant agreements for projects that reduce serious and fatal injury 44.31crashes. Eligible recipients of funds include but are not limited to a local traffic safety 44Article 2 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 45.1coalition, local unit of government, nonprofit organization, and law enforcement agency. 45.2The commissioner must give priority to local traffic safety coalitions. 45.3 Sec. 3. [137.345] EMPOWERING SMALL MINNESOTA COMMUNITIES 45.4PROGRAM. 45.5 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have 45.6the meanings given. 45.7 (b) "Program" means the empowering small Minnesota communities program established 45.8by the Board of Regents of the University of Minnesota. 45.9 (c) "Small community" means a local unit of government having a population of fewer 45.10than 15,000 or a collaboration of more than one local unit of government each having a 45.11population of fewer than 15,000. 45.12 Subd. 2.Program assistance.(a) An appropriation under the program is for small 45.13community partnerships on infrastructure project analysis and development as provided in 45.14this section. 45.15 (b) Support and assistance under the program must be prioritized for political subdivisions 45.16and federally recognized Tribal governments based on insufficient capacity to undertake 45.17project development and apply for state or federal infrastructure grants. 45.18 Subd. 3.Uses.(a) An appropriation under the program is available for: 45.19 (1) project partnership activities in the Regional Sustainable Development Partnerships, 45.20the Center for Transportation Studies, the Minnesota Design Center, the Humphrey School 45.21of Public Affairs, the Center for Urban and Regional Affairs, or other related entities; and 45.22 (2) support and assistance to small communities that includes: 45.23 (i) methods to incorporate consideration of sustainability, resiliency, and adaptation to 45.24the impacts of climate change; and 45.25 (ii) identification and cross-sector analysis of any potential associated projects and 45.26efficiencies through coordinated investments in other infrastructure or assets. 45.27 (b) An agreement with a small community may provide for infrastructure project analysis 45.28and development activities that include but are not limited to planning, scoping, analysis, 45.29predesign, and design. 45.30 Subd. 4.Program information.From an appropriation under the program, the regents 45.31must maintain information about the program on a website that, at a minimum, must include: 45Article 2 Sec. 3. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 46.1 (1) a review of the program and implementation; 46.2 (2) a summary of projects under the program; 46.3 (3) financial information that identifies sources and uses of funds; and 46.4 (4) direction on applications for partnership assistance. 46.5 Sec. 4. Minnesota Statutes 2024, section 161.115, subdivision 177, is amended to read: 46.6 Subd. 177.Route No. 246.Beginning at a point in or adjacent to Nerstrand; thence 46.7extending in a general northerly direction to a point westerly of Dennison; thence continuing 46.8in a general northwesterly direction to a point on Route No. 1 at or near 110th Street East 46.9near Northfield. 46.10 EFFECTIVE DATE.This section is effective the day after the commissioner of 46.11transportation notifies the revisor of statutes electronically or in writing of the effective 46.12date. 46.13Sec. 5. Minnesota Statutes 2024, section 161.178, subdivision 1, is amended to read: 46.14 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have 46.15the meanings given. 46.16 (b) "Applicable entity" means the commissioner with respect to a project or portfolio 46.17for inclusion in the state transportation improvement program or a metropolitan planning 46.18organization with respect to a project or portfolio for inclusion in the appropriate metropolitan 46.19transportation improvement program. 46.20 (c) "Assessment" means the impact assessment under this section. 46.21 (d) "Capacity expansion project" means a project for trunk highway construction or 46.22reconstruction that: 46.23 (1) is a major highway project, as defined in section 174.56 174.034, subdivision 1, 46.24paragraph (b) (c); and 46.25 (2) adds highway traffic capacity or provides for grade separation of motor vehicle traffic 46.26at an intersection, excluding auxiliary lanes with a length of less than 2,500 feet. 46.27 (e) "Greenhouse gas emissions" includes those emissions described in section 216H.01, 46.28subdivision 2. 46Article 2 Sec. 5. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 47.1 Sec. 6. Minnesota Statutes 2024, section 161.178, subdivision 2a, is amended to read: 47.2 Subd. 2a.Applicable projects; implementation.(a) For purposes of this section: 47.3 (1) prior to the date established under paragraph (b), a project or portfolio is a capacity 47.4expansion project the requirements under this section do not apply to any project; and 47.5 (2) on and after the date established under paragraph (b), a project or portfolio is a 47.6capacity expansion project or a collection of trunk highway and multimodal projects for a 47.7fiscal year and specific region. 47.8 (b) The commissioner must establish a date to implement impact assessments on the 47.9basis of assessing a portfolio or program of projects instead of or on a project-by-project 47.10basis. The date must be: 47.11 (1) August 1, 2027 2028, which applies to projects that first enter the appropriate 47.12transportation improvement program for fiscal year 2031 2032 or a subsequent year; or 47.13 (2) after the date under clause (1) as established by the commissioner, if the 47.14commissioner: 47.15 (i) consults with metropolitan planning organizations; 47.16 (ii) prioritizes and makes reasonable efforts to meet the date under clause (1) or an earlier 47.17date; 47.18 (iii) determines that the date established under this clause is the earliest practicable in 47.19which the necessary models and tools are sufficient for analysis under this section; and 47.20 (iv) submits a notice to the chairs and ranking minority members of the legislative 47.21committees and divisions with jurisdiction over transportation policy and finance, which 47.22must identify the date established and summarize the efforts under item (ii) and the 47.23determination under item (iii). 47.24 EFFECTIVE DATE.This section is effective the day following final enactment. 47.25Sec. 7. Minnesota Statutes 2024, section 161.178, subdivision 8, is amended to read: 47.26 Subd. 8.Transportation impact assessment and mitigation account.(a) A 47.27transportation impact assessment and mitigation account is established in the special revenue 47.28fund. The account consists of funds provided under section 168.013, subdivision 1m, and 47.29by law and any other money donated, allotted, transferred, or otherwise provided to the 47.30account. 47Article 2 Sec. 7. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 48.1 (b) Money in the account is annually appropriated to the commissioner and must only 48.2be expended on activities described or required under this section. In determining 48.3expenditures from the account, the commissioner must include prioritization for offset 48.4actions interlinked to trunk highway projects that reduce traffic fatalities or severe injuries. 48.5 Sec. 8. Minnesota Statutes 2024, section 161.178, is amended by adding a subdivision to 48.6read: 48.7 Subd. 9.Account transfers.(a) For purposes of this subdivision, "account balance" 48.8means the unencumbered balance in the transportation impact assessment and mitigation 48.9account under subdivision 8 on June 30 of a fiscal year. 48.10 (b) Beginning July 1, 2028, in each fiscal year, if the account balance for the previous 48.11fiscal year exceeds 50 percent of the total deposited during that fiscal year, by November 48.121, the commissioner must transfer an amount as determined in paragraph (c) from the 48.13transportation impact assessment and mitigation account to the highway user tax distribution 48.14fund. 48.15 (c) The amount for transfer under paragraph (b) equals 90 percent of the lesser of (1) 48.16the account balance for the previous fiscal year, or (2) the amount of unencumbered funds 48.17in the transportation impact assessment and mitigation account at the time of transfer. 48.18Sec. 9. Minnesota Statutes 2024, section 162.16, is amended to read: 48.19 162.16 INVESTMENT OF MONEY IN STATE-AID FUNDS. 48.20 Subdivision 1.State investment of state-aid funds.Upon the request of the 48.21commissioner, money in the county state-aid highway fund and money in the municipal 48.22state-aid street fund shall must be invested by the State Board of Investment in those 48.23securities authorized for such purpose in section 11A.21. All interest and profits from the 48.24investments shall must be credited to the fund on which the interest or profits are earned. 48.25The commissioner of management and budget shall be is the custodian of all securities 48.26purchased under the provisions of this section. 48.27 Subd. 2.Use of local investment.(a) For purposes of this subdivision, "transportation 48.28revenue source" includes but is not limited to: 48.29 (1) funds provided to a local unit of government under section 16A.88 or 297A.815 or 48.30chapters 160 to 174; 48.31 (2) grants, loans, or other financial assistance provided in law from state sources of funds 48.32for a specified transportation project, program, or purpose; 48Article 2 Sec. 9. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 49.1 (3) revenue from transportation-related taxes and fees authorized in statutes, including 49.2under sections 163.051, 297A.9915, 297A.992, 297A.993, 473.408, and 473.446, except 49.3for filing fees under sections 168.33 and 171.061; 49.4 (4) reserves established from a source specified in this paragraph; and 49.5 (5) certificates of indebtedness, notes, or other obligations secured by a source specified 49.6in this paragraph. 49.7 (b) A local unit of government must use interest or other investment earnings on a 49.8transportation revenue source only for transportation purposes. 49.9 EFFECTIVE DATE.This section is effective the day following final enactment. 49.10Sec. 10. Minnesota Statutes 2024, section 168.002, subdivision 6, is amended to read: 49.11 Subd. 6.Dealer."Dealer" means any person, firm, or corporation regularly engaged in 49.12the business of manufacturing, or selling, purchasing, and generally dealing in new and 49.13unused motor vehicles having an established place of business for the sale, trade, and display 49.14of new and unused motor vehicles and having in possession new and unused motor vehicles 49.15for the purposes of sale or trade. "Dealer" also includes any person, firm or corporation 49.16regularly engaged in the business of manufacturing or selling, purchasing, and generally 49.17dealing in new and unused motor vehicle bodies, chassis mounted or not, and having an 49.18established place of business for the sale, trade and display of such new and unused motor 49.19vehicle bodies, and having in possession new and unused motor vehicle bodies for the 49.20purposes of sale or trade. For the purposes of sections 168.27, subdivision 28; 168.33, 49.21subdivision 8a; 168.345; and 168.346, the commissioner may consider a motor vehicle 49.22dealer licensed under the laws of a contiguous state as a dealer or licensed dealer. 49.23 EFFECTIVE DATE.This section is effective October 1, 2025. 49.24Sec. 11. Minnesota Statutes 2024, section 168.013, subdivision 1m, is amended to read: 49.25 Subd. 1m.Electric All-electric vehicle.In addition to the tax under subdivision 1a, (a) 49.26A surcharge of $75 $200 is imposed for an all-electric vehicle, as defined in section 169.011, 49.27subdivision 1a. The surcharge is in addition to the tax under subdivision 1a. 49.28 (b) Notwithstanding subdivision 8, revenue from the fee imposed under this subdivision 49.29must be deposited as follows: 49.30 (1) 80 percent in the highway user tax distribution fund; and 49Article 2 Sec. 11. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 50.1 (2) 20 percent in the transportation impact assessment and mitigation account under 50.2section 161.178, subdivision 8. 50.3 EFFECTIVE DATE.This section is effective the day following final enactment and 50.4applies to taxes payable for a registration period starting on or after July 1, 2025. 50.5 Sec. 12. Minnesota Statutes 2024, section 168.091, is amended to read: 50.6 168.091 31-DAY 60-DAY TEMPORARY VEHICLE PERMIT. 50.7 Subdivision 1.Nonresident buyer.(a) Upon payment of a fee of $1, the commissioner 50.8may issue a permit to a nonresident purchasing a vehicle in this state for the sole purpose 50.9of allowing the vehicle to be removed from this state. 50.10 (b) The permit is in lieu of any other registration or taxation for use of the highways and 50.11is valid for a period of 31 60 days from the date of sale, trade, or gift. 50.12 (c) The permit must be available in an electronic format as determined by the 50.13commissioner. 50.14 (d) If the sale, gift, or trade information is electronically transmitted to the commissioner 50.15by a dealer or deputy registrar of motor vehicles, the $1 fee is waived. 50.16 (e) The permit must be affixed to the rear of the vehicle where it is plainly visible. Each 50.17permit is valid only for the vehicle for which the permit was issued. 50.18 Subd. 2.Dealer.The registrar may issue permits to licensed dealers upon payment of 50.19the proper fee for each permit. 50.20 Subd. 3.Proceeds to highway user fund.All payments received for such permits shall 50.21must be paid into the state treasury and credited to the highway user tax distribution fund. 50.22 EFFECTIVE DATE.This section is effective October 1, 2025, for permits issued on 50.23or after that date. 50.24Sec. 13. Minnesota Statutes 2024, section 168.1287, subdivision 1, is amended to read: 50.25 Subdivision 1.Issuance of plates.The commissioner must issue blackout special license 50.26plates or a single motorcycle plate to an applicant who: 50.27 (1) is a registered owner of a passenger automobile, noncommercial one-ton pickup 50.28truck, motorcycle, or recreational vehicle; 50.29 (2) pays an additional fee in the amount specified for special plates under section 168.12, 50.30subdivision 5; 50Article 2 Sec. 13. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 51.1 (3) pays the registration tax as required under section 168.013; 51.2 (4) pays the fees required under this chapter; 51.3 (5) contributes a minimum of $30 annually to the driver and vehicle services operating 51.4account; and 51.5 (6) complies with this chapter and rules governing registration of motor vehicles and 51.6licensing of drivers. 51.7 Sec. 14. Minnesota Statutes 2024, section 168.1287, subdivision 5, is amended to read: 51.8 Subd. 5.Contributions; account.Contributions collected under subdivision 1, clause 51.9(5), must be deposited: 51.10 (1) 56.25 percent in the driver and vehicle services operating account under section 51.11299A.705; and 51.12 (2) 43.75 percent in the highway user tax distribution fund. 51.13Sec. 15. [168.1289] RENTAL MOTOR VEHICLE PLATES. 51.14 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have 51.15the meanings given. 51.16 (b) "Auto rental company" means a corporation, partnership, individual, or other person 51.17that is engaged primarily in the renting of at least 50 rental motor vehicles at per diem rates. 51.18 (c) "Rental motor vehicle" means a passenger automobile, noncommercial one-ton pickup 51.19truck, motorcycle, motorized bicycle, or recreational vehicle made available for rental by 51.20an auto rental company. 51.21 Subd. 2.Issuance of plates.(a) An auto rental company may, but is not required to, 51.22apply for rental motor vehicle plates under this section. 51.23 (b) Upon proper application, the commissioner must issue rental motor vehicle plates 51.24or a single motorcycle plate to an auto rental company that: 51.25 (1) is a registered owner of a rental motor vehicle; 51.26 (2) pays license plate fees under section 168.12, subdivision 5, for each set of plates for 51.27each rental motor vehicle, along with any other fees required by this chapter; 51.28 (3) pays the registration tax for each rental motor vehicle as required under section 51.29168.013; 51Article 2 Sec. 15. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 52.1 (4) pays the fees required under this chapter; and 52.2 (5) complies with section 168.017 and rules governing registration of rental motor 52.3vehicles. 52.4 (c) Rental motor vehicle plates issued under this section are issued for a seven-year 52.5period and must be replaced as required under section 168.12, subdivision 1, paragraph (f), 52.6clause (2). 52.7 (d) Each set of rental motor vehicle plates issued under this section is only valid if the 52.8plates are registered to a single rental motor vehicle. 52.9 Subd. 3.Design.The commissioner must adopt a suitable plate design that includes the 52.10phrase "RENTAL MOTOR VEHICLE." 52.11 Subd. 4.Plates transfer.(a) On application to the commissioner and payment of a 52.12transfer fee of $5 for each set of plates, rental motor vehicle plates may be transferred to 52.13another qualified rental motor vehicle that is registered to the same auto rental company to 52.14which the rental motor vehicle plates were originally issued. 52.15 (b) A deputy registrar who collects the $5 transfer fee under paragraph (a) must retain 52.16the fee. 52.17 (c) Rental motor vehicle plates issued under this section must be removed from the rental 52.18motor vehicle if the vehicle is held for resale under section 168A.11. 52.19 Subd. 5.Exemptions.(a) Rental motor vehicle plates issued under this section are not 52.20subject to section 168.1293, subdivision 2. 52.21 (b) Notwithstanding sections 168.09, subdivision 4, and 169.79, subdivision 8, rental 52.22motor vehicle plates issued under this section are not required to display validation stickers 52.23issued pursuant to section 168.12, subdivision 1. 52.24 Subd. 6.Application.This section applies on the earlier of July 1, 2026, or the date the 52.25commissioner makes rental motor vehicle plates available. 52.26Sec. 16. Minnesota Statutes 2024, section 168.27, subdivision 8, is amended to read: 52.27 Subd. 8.Exemptions.(a) Salespeople and other employees of licensed dealers under 52.28this section are not required to obtain individual licenses. For purposes of this subdivision, 52.29independent contractors are not employees. 52.30 (b) Isolated or occasional sales or leases of new or used motor vehicles are exempt from 52.31this section. A person who makes only isolated or occasional sales or leases is not required 52Article 2 Sec. 16. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 53.1to be licensed under this section, is not considered to be in the business of selling or leasing 53.2motor vehicles, and does not qualify to receive dealer plates under subdivision 16. "Isolated 53.3or occasional sales or leases" means: (1) the sale or lease of a motor vehicle with an actual 53.4cash value of $1,000 or less made by a charitable organization; (2) the sale, purchase, or 53.5lease of not more than five motor vehicles in a 12-month period, other than pioneer or classic 53.6motor vehicles as defined in section 168.10, subdivisions 1a and 1b,; or (3) sales by a 53.7licensed auctioneer selling motor vehicles at an auction if, in the ordinary course of the 53.8auctioneer's business, the sale of motor vehicles is incidental to the sale of other real or 53.9personal property. For purposes of this subdivision, charitable organization means a nonprofit 53.10charitable organization that qualifies for tax exemption under section 501(c)(3) of the Internal 53.11Revenue Code. 53.12 (c) A person whose sales of new and used motor vehicles consist solely of sales to 53.13political subdivisions and their agencies of vehicles used solely as firefighting equipment 53.14is not required to obtain a license under this section. The person may apply for and receive 53.15in-transit plates under subdivision 17 in the same manner as licensed motor vehicle dealers 53.16for the purpose of allowing firefighting equipment to be transported from the dealer's source 53.17of supply or other place of storage to the dealer's place of business, to another place of 53.18storage, or directly to the purchaser. 53.19 EFFECTIVE DATE.This section is effective January 1, 2026. 53.20Sec. 17. Minnesota Statutes 2024, section 168.27, subdivision 11, is amended to read: 53.21 Subd. 11.Dealers' licenses; location change notice; fee.(a) Application for a dealer's 53.22license or notification of a change of location of the place of business on a dealer's license 53.23must include a street address, not a post office box, and is subject to the commissioner's 53.24approval. 53.25 (b) Upon the filing of an application for a dealer's license and the proper fee, unless the 53.26application on its face appears to be invalid, the commissioner shall must grant a 90-day 53.27temporary license. During the 90-day period following issuance of the temporary license, 53.28the commissioner shall must inspect the place of business site and insure compliance with 53.29this section and rules adopted under this section. 53.30 (c) The commissioner may extend the temporary license 30 days to allow the temporarily 53.31licensed dealer to come into full compliance with this section and rules adopted under this 53.32section. 53Article 2 Sec. 17. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 54.1 (d) In no more than 180 days following issuance of the temporary license, the dealer 54.2license must either be granted or denied. 54.3 (e) A license must be denied under the following conditions: 54.4 (1) if within the previous ten years the applicant was enjoined due to a violation of 54.5section 325F.69 or convicted of violating section 325E.14, 325E.15, 325E.16, or 325F.69, 54.6or convicted under section 609.53 of receiving or selling stolen vehicles, or convicted of 54.7violating United States Code, title 49, sections 32701 to 32711 or pleaded guilty, entered a 54.8plea of nolo contendere or no contest, or has been found guilty in a court of competent 54.9jurisdiction of any charge of failure to pay state or federal income or sales taxes or felony 54.10charge of forgery, embezzlement, obtaining money under false pretenses, theft by swindle, 54.11extortion, conspiracy to defraud, or bribery, or similar offenses committed in another state; 54.12or 54.13 (2) if the applicant has had a dealer license revoked within the previous ten years. 54.14 (f) A license may be denied if a dealer is not in compliance with location requirements 54.15under subdivision 10 or has intentionally misrepresented any information on the dealer 54.16license application that would be grounds for suspension or revocation under subdivision 54.1712. 54.18 (g) If the application is approved, the commissioner shall must license the applicant as 54.19a dealer for one year from the date the temporary license is granted and issue a certificate 54.20of license that must include a distinguishing number of identification of the dealer. The 54.21license must be displayed in a prominent place in the dealer's licensed place of business. 54.22 (h) Each initial application for a license must be accompanied by a fee of $100 in addition 54.23to the annual fee. The annual fee is $150. The initial fees and annual fees must be paid into 54.24the state treasury and credited to the general fund except that $50 of each initial and annual 54.25fee must be paid into the driver and vehicle services operating account under section 54.26299A.705. 54.27 (i) An applicant for a dealer's license under this section must submit to a criminal history 54.28records check of state data completed by the Bureau of Criminal Apprehension and a national 54.29criminal history records check, including a search of the records of the Federal Bureau of 54.30Investigation. The results of the background check must be returned to the commissioner. 54.31 (j) An applicant for a dealer's license must consent to a fingerprint-based criminal history 54.32background check as required under paragraph (i), pay all required fees, and cooperate with 54Article 2 Sec. 17. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 55.1all requests for information. An applicant must complete a new criminal history background 55.2check if more than one year has elapsed since the applicant last applied for a license. 55.3 EFFECTIVE DATE.This section is effective January 1, 2026. 55.4 Sec. 18. Minnesota Statutes 2024, section 168.27, subdivision 16, is amended to read: 55.5 Subd. 16.Dealer plates: distinguishing number; issuance, fee, tax, use.(a) The 55.6registrar shall must issue to every motor vehicle dealer, upon a request from the motor 55.7vehicle dealer licensed as provided in subdivision 2 or 3, one or more plates, not to exceed 55.850, displaying a general distinguishing number. This subdivision does not apply to a scrap 55.9metal processor, a used vehicle parts dealer, or a vehicle salvage pool. 55.10 (b) The fee for each of the first four plates plate issued by the registrar is $75 per 55.11registration year, of which $60 must be paid to the registrar and the remaining $15 is payable 55.12as sales tax on motor vehicles under section 297B.035. For each additional plate, the dealer 55.13shall pay the registrar a fee of $25 and a sales tax on motor vehicles of $15 per registration 55.14year. The registrar shall must deposit the tax in the state treasury to be credited as provided 55.15in section 297B.09. Replacement plates are subject to the fees in section 168.12. 55.16 (c) A trade association exempt from federal taxation under section 501(c)(6) of the 55.17Internal Revenue Code, with a membership of at least 100 licensed new motor vehicle 55.18dealers, is authorized to issue dealer plates and process annual renewals on behalf of the 55.19registrar. A motor vehicle dealer licensed as provided in subdivision 2 or 3 may be issued 55.20up to 50 dealer plates by an authorized trade association and may annually renew plates 55.21previously purchased from the trade association. The fee for each plate issued or renewed 55.22under this paragraph is $60 per registration year, of which $45 must be paid to the registrar 55.23and the remaining $15 is payable as sales tax on motor vehicles under section 297B.035. 55.24A trade association may impose and retain an additional service charge, which must be 55.25designed to cover the association's costs of compliance, distribution, and storage and other 55.26related costs. The total annual amount charged by a trade association for a dealer plate under 55.27this paragraph must not exceed the total imposed under paragraph (b). 55.28 (d) At any point in time, a dealer must not posses more than 50 plates issued under this 55.29subdivision. 55.30 (e) Motor vehicles, new or used, owned by the motor vehicle dealership and bearing the 55.31number plate, except vehicles leased to the user who is not an employee of the dealer during 55.32the term of the lease, held for hire, or used by the dealer as a tow truck, service truck, or 55.33parts vehicle, may be driven upon the streets and highways of this state: 55Article 2 Sec. 18. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 56.1 (1) by the motor vehicle dealer or dealer's spouse, or any full-time employee of the motor 56.2vehicle dealer for either private or business purposes; 56.3 (2) by a part-time employee when the use is directly related to a particular business 56.4transaction of the dealer; 56.5 (3) for use on a courtesy vehicle provided to a customer of the dealership while the 56.6customer's vehicle is being repaired; 56.7 (4) for demonstration purposes by any prospective buyer for a period of 48 hours or in 56.8the case of a truck, truck-tractor, or semitrailer, for a period of seven 14 days; or 56.9 (4) (5) in a promotional event that lasts no longer than four days in which at least three 56.10motor vehicles are involved. 56.11 (b) (f) A new or used motor vehicle sold by the motor vehicle dealer and bearing the 56.12motor vehicle dealer's number plate may be driven upon the public streets and highways 56.13for a period of 72 hours by the buyer for either of the following purposes: (1) removing the 56.14vehicle from this state for registration in another state,; or (2) permitting the buyer to use 56.15the motor vehicle before the buyer receives number plates pursuant to registration. Use of 56.16a motor vehicle by the buyer under clause (2) before the buyer receives number plates 56.17pursuant to registration constitutes a use of the public streets or highways for the purpose 56.18of the time requirements for registration of motor vehicles. The requirements under this 56.19paragraph do not apply to a courtesy vehicle used as provided under paragraph (e), clause 56.20(3). 56.21 (g) A vehicle displaying a dealer plate issued under this subdivision must carry written 56.22documentation within the vehicle that includes: 56.23 (1) a valid driver's license; 56.24 (2) proof of insurance; 56.25 (3) the reason for use; and 56.26 (4) if the vehicle is for use as a courtesy vehicle under paragraph (e), clause (3), a courtesy 56.27vehicle user agreement that includes a list of authorized drivers for the vehicle and their 56.28driver's license numbers and the start and end dates of use. 56.29 (h) For purposes of this subdivision, a "courtesy vehicle" means a passenger-class motor 56.30vehicle that a motor vehicle dealer temporarily provides at no or minimal cost to customers 56.31for customer service or mobility purposes while the customer's vehicle is serviced, repaired, 56.32or maintained. 56Article 2 Sec. 18. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 57.1 Sec. 19. Minnesota Statutes 2024, section 168.27, subdivision 22, is amended to read: 57.2 Subd. 22.Dealer license for trailers, motorized bicycles; plates, fees; exemptions.(a) 57.3Any person, copartnership, or corporation having a permanent enclosed commercial building 57.4or structure either owned in fee or leased and engaged in the business, either exclusively or 57.5in addition to any other occupation, of selling motorized bicycles, boat trailers, horse trailers, 57.6or snowmobile trailers, may apply to the registrar for a dealer's license. Upon payment of 57.7a $10 fee the registrar shall must license the applicant as a dealer for the remainder of the 57.8calendar year in which the application was received. The license may be renewed on or 57.9before the second day of January of each succeeding year by payment of a fee of $10. 57.10 (b) The registrar shall must issue to each dealer, upon request of the dealer, up to 50 57.11dealer plates as on payment of the fee provided in subdivision 16 upon payment of $5 for 57.12each plate, and, paragraph (b). The plates may be used in the same manner and for the same 57.13purposes as is provided in subdivision 16. Except for motorized bicycle dealers, the registrar 57.14shall must also issue to the dealer, upon request of the dealer, "in-transit" plates as provided 57.15in subdivision 17 upon payment of a fee of $5 for each plate. 57.16 (c) This subdivision does not abrogate any of the provisions of this section relating to 57.17the duties, responsibilities, and requirements of persons, copartnerships, or corporations 57.18engaged in the business, either exclusively or in addition to other occupations, of selling 57.19motor vehicles or manufactured homes, except that a seller of boat trailers, utility trailers, 57.20or snowmobile trailers who is licensed under this subdivision is not required to have a 57.21contract or franchise with a manufacturer or distributor of new boat trailers, utility trailers, 57.22or new snowmobile trailers the seller proposes to sell, broker, wholesale, or auction. This 57.23section does not require a manufacturer of snowmobile trailers whose manufacturing facility 57.24is located outside of the metropolitan area as defined in section 473.121 to have a dealer's 57.25license to transport the snowmobile trailers to dealers or retail outlets in the state. 57.26Sec. 20. Minnesota Statutes 2024, section 168.33, is amended by adding a subdivision to 57.27read: 57.28 Subd. 7a.Reimbursements.(a) The commissioner must issue payment to a deputy 57.29registrar as follows: 57.30 (1) $2 for paying an account balance; 57.31 (2) $4 for the following transactions: 57.32 (i) updating a vehicle's address or the county in which the vehicle is kept; 57Article 2 Sec. 20. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 58.1 (ii) changing or verifying an address related to the International Registration Plan or the 58.2International Fuel Tax Agreement; 58.3 (iii) updating contact information for the International Registration Plan or the 58.4International Fuel Tax Agreement; 58.5 (iv) processing a vehicle that has been sold, donated, or removed from the state; and 58.6 (v) marking a vehicle as junked; 58.7 (3) $8 for the following transactions: 58.8 (i) changing a customer's personal identification number; 58.9 (ii) adding or removing liens for veterans with a total service-connected disability; 58.10 (iii) providing a duplicate title; 58.11 (iv) issuing International Fuel Tax Agreement decals; 58.12 (v) managing an International Fuel Tax Agreement license; and 58.13 (vi) administrative review requests; and 58.14 (4) an amount that equals the fee established under subdivision 7, paragraph (a), clause 58.15(2), for the following transactions: 58.16 (i) vehicle renewal for veterans with a total service-connected disability; 58.17 (ii) plate change for veterans with a total service-connected disability; 58.18 (iii) correcting or changing title and vehicle details; 58.19 (iv) issuing a new disability parking certificate; 58.20 (v) new title and registration for veterans with a total service-connected disability; 58.21 (vi) transferring title and registration for veterans with a total service-connected disability; 58.22and 58.23 (vii) replacing plates, stickers, or registration cards. 58.24 (b) The following transactions for which no filing fee under subdivision 7 is collected 58.25are not eligible for payment of any kind: 58.26 (1) collection of another fee type, including but not limited to a record request fee or a 58.27fast track fee; 58.28 (2) voluntary waiver of a fee by the deputy registrar; and 58.29 (3) ancillary to a transaction for which a filing fee may be imposed. 58Article 2 Sec. 20. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 59.1 (c) If the amount appropriated for payments under this subdivision is insufficient, the 59.2commissioner must prorate the payments. 59.3 EFFECTIVE DATE.This section is effective August 1, 2025. 59.4 Sec. 21. Minnesota Statutes 2024, section 168A.11, subdivision 1, is amended to read: 59.5 Subdivision 1.Requirements upon subsequent transfer; service fee.(a) A dealer who 59.6buys a vehicle and holds it for resale need not apply for a certificate of title. Upon transferring 59.7the vehicle to another person, other than by the creation of a security interest, the dealer 59.8must promptly execute the assignment and warranty of title by a dealer, showing the names 59.9and addresses of the transferee and of any secured party holding a security interest created 59.10or reserved at the time of the resale, and the date of the security agreement in the spaces 59.11provided on the certificate of title or secure reassignment. 59.12 (b) If a dealer elects to apply for a certificate of title on a vehicle held for resale, the 59.13dealer need not register the vehicle but must pay one month's registration tax. If a dealer 59.14elects to apply for a certificate of title on a vehicle held for resale, the commissioner must 59.15not place any legend on the title that no motor vehicle sales tax was paid by the dealer but 59.16may indicate on the title whether the vehicle is a new or used vehicle. 59.17 (c) With respect to motor vehicles subject to the provisions of section 325E.15, the dealer 59.18must also, in the space provided on the certificate of title or secure reassignment, state the 59.19true cumulative mileage registered on the odometer or that the exact mileage is unknown 59.20if the odometer reading is known by the transferor to be different from the true mileage. 59.21 (d) The transferee must complete the application for title section on the certificate of 59.22title or separate title application form prescribed by the commissioner. The dealer must mail 59.23or deliver the certificate to the commissioner or deputy registrar with the transferee's 59.24application for a new certificate and appropriate taxes and fees, within the period specified 59.25under section 168A.10, subdivision 2. 59.26 (e) With respect to vehicles sold to buyers who will remove the vehicle from this state, 59.27the dealer must remove any license plates from the vehicle, issue a 31-day 60-day temporary 59.28permit pursuant to section 168.091, and notify the commissioner within 48 hours of the sale 59.29that the vehicle has been removed from this state. The notification must be made in an 59.30electronic format prescribed by the commissioner. The dealer may contract with a deputy 59.31registrar for the notification of sale to an out-of-state buyer. The deputy registrar may charge 59.32a fee of $7 per transaction to provide this service. 59Article 2 Sec. 21. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 60.1 EFFECTIVE DATE.This section is effective October 1, 2025, for permits issued on 60.2or after that date. 60.3 Sec. 22. [168A.1502] INSURER APPLICATION FOR TITLE. 60.4 (a) When an insurer licensed to conduct business in Minnesota acquires ownership of a 60.5vehicle through payment of damages and the owner fails to deliver the vehicle's title to the 60.6insurer within 15 days of payment of the claim, the insurer or a designated agent may apply 60.7to the commissioner for a certificate of title as provided in this section. This section only 60.8applies to vehicles with a title issued by this state. 60.9 (b) At least 15 days prior to applying for a certificate of title under this section, the 60.10insurer or a designated agent must notify the owner and any lienholders of record of the 60.11insurer's intent to apply for a title. The notice must be sent to the last known address of the 60.12owner and any lienholders by certified mail or by a commercial delivery service that provides 60.13evidence of delivery. 60.14 (c) At least 15 days after notifying the owner and any lienholders under paragraph (b), 60.15the insurer may apply for a certificate of title from the commissioner. The application must 60.16attest that the insurer or a designated agent: 60.17 (1) paid the claim; 60.18 (2) requested the title or other necessary transfer documents from the owner; and 60.19 (3) provided notice to the owner and any lienholders as required under paragraph (b). 60.20If the insurer or a designated agent does not attest to completing the requirements under 60.21clauses (1) to (3), the commissioner must reject the application. 60.22 (d) Notwithstanding any outstanding liens, upon proper application, the commissioner 60.23must issue a certificate of title in the name of the insurer. Issuance of a certificate of title 60.24extinguishes all existing liens against the vehicle. If the vehicle is sold, the insurer or a 60.25designated agent must assign the title to the buyer, and the vehicle is transferred without 60.26any liens. 60.27 EFFECTIVE DATE.This section is effective August 1, 2025. 60Article 2 Sec. 22. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 61.1 Sec. 23. [168A.1503] REQUIREMENTS UPON UNPAID INSURANCE VEHICLE 61.2CLAIM. 61.3 Subdivision 1.Definition.For purposes of this section, "salvage vehicle auction 61.4company" or "auction company" means a business, organization, or individual that sells 61.5salvage vehicles on behalf of insurers. 61.6 Subd. 2.Notice to auction company.(a) If an insurance company licensed to conduct 61.7business in Minnesota requests an auction company to take possession of a salvage vehicle 61.8that is subject to an insurance claim and the insurance company does not subsequently take 61.9ownership of the vehicle, the insurance company may direct the auction company to release 61.10the vehicle to the owner or lienholder. 61.11 (b) The insurance company must provide the auction company notice by commercial 61.12delivery service, email, or a proprietary electronic system accessible by both the insurance 61.13company and the auction company authorizing the auction company to release the vehicle 61.14to the vehicle's owner or lienholder. 61.15 Subd. 3.Notice to owner or lienholder.(a) Upon receiving notice from an insurance 61.16company under subdivision 2, the auction company must send two notices a minimum of 61.1714 days apart to the owner of the vehicle and any lienholders stating that the vehicle is 61.18available to be recovered from the auction company within 30 days of the date the first 61.19notice was sent. Each notice must include an invoice for any outstanding charges owed to 61.20the auction company that must be paid before the vehicle may be recovered. 61.21 (b) Notice under this subdivision must be sent to the address of the owner and any 61.22lienholder on record with the commissioner by certified mail or a commercially available 61.23delivery service that provides proof of delivery. 61.24 Subd. 4.Vehicle deemed abandoned.(a) If the owner or any lienholder does not recover 61.25the vehicle within 30 days of the date on which the first notice was sent under subdivision 61.263: 61.27 (1) the vehicle is considered abandoned; 61.28 (2) the vehicle's certificate of title is deemed assigned to the auction company; and 61.29 (3) without surrendering the certificate of title, the auction company may request, on a 61.30form provided by the commissioner, that the commissioner issue a certificate of title that 61.31is free of liens. 61.32 (b) A request under paragraph (a) must be accompanied by a copy of (1) the notice sent 61.33by the insurance company required under subdivision 2, and (2) evidence of delivery of the 61Article 2 Sec. 23. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 62.1notices sent to the owner and any lienholders required under subdivision 3 or evidence that 62.2the notices were undeliverable. 62.3 (c) Notwithstanding any outstanding liens against the vehicle, upon receipt of any fees 62.4charged under section 168A.29, the commissioner must issue a certificate of title that is 62.5free of liens to the auction company in possession of the vehicle. 62.6 EFFECTIVE DATE.This section is effective August 1, 2025. 62.7 Sec. 24. Minnesota Statutes 2024, section 168E.01, is amended by adding a subdivision 62.8to read: 62.9 Subd. 8a.Fuel products."Fuel products" means liquefied natural gas or liquefied 62.10petroleum gas, as defined in section 296A.01, subdivisions 30 and 31. 62.11 EFFECTIVE DATE.This section is effective the day following final enactment for 62.12retail deliveries made after June 30, 2025. 62.13Sec. 25. Minnesota Statutes 2024, section 168E.01, is amended by adding a subdivision 62.14to read: 62.15 Subd. 15a.Road construction materials."Road construction materials" has the meaning 62.16given in section 169.869, subdivision 1. 62.17 EFFECTIVE DATE.This section is effective the day following final enactment for 62.18retail deliveries made after June 30, 2025. 62.19Sec. 26. Minnesota Statutes 2024, section 168E.05, subdivision 1, is amended to read: 62.20 Subdivision 1.Transactions.The following retail deliveries are exempt from the fee 62.21imposed by this chapter: 62.22 (1) a retail delivery to a purchaser who is exempt from tax under chapter 297A; 62.23 (2) a retail delivery on a motor vehicle for which a permit issued by the commissioner 62.24of transportation or a road authority is required under chapter 169 or 221 and the retailer 62.25has maintained books and records through reasonable and verifiable standards that the retail 62.26delivery was on a qualifying vehicle; 62.27 (3) a retail delivery resulting from a retail sale of food and food ingredients or prepared 62.28food; 62Article 2 Sec. 26. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 63.1 (4) a retail delivery resulting from a retail sale by a food and beverage service 63.2establishment, regardless of whether the retail delivery is made by a third party other than 63.3the food and beverage service establishment; and 63.4 (5) a retail delivery resulting from a retail sale of drugs and medical devices, accessories 63.5and supplies, or baby products; 63.6 (6) a retail delivery resulting from a retail sale of fuel products purchased by and delivered 63.7to a political subdivision or a trade or business; and 63.8 (7) a retail delivery resulting from a retail sale of road construction materials purchased 63.9by and delivered to a political subdivision or a trade or business. 63.10 EFFECTIVE DATE.This section is effective the day following final enactment for 63.11retail deliveries made after June 30, 2025. 63.12Sec. 27. Minnesota Statutes 2024, section 169.011, subdivision 36, is amended to read: 63.13 Subd. 36.Intersection.(a) "Intersection" means the area embraced within the 63.14prolongation or connection of the lateral curb lines or, if none, then the lateral boundary 63.15lines of the roadways of two highways which join one another at, or approximately at, right 63.16angles or the area within which vehicles traveling upon different highways joining at any 63.17other angle may come in conflict. 63.18 (b) Where a highway includes two roadways 30 feet or more apart, then every crossing 63.19of each roadway of such divided highway by an intersecting highway shall be regarded as 63.20a separate intersection. In the event such intersecting highway also includes two roadways 63.2130 feet or more apart, then every crossing of two roadways of such highways shall be 63.22regarded as a separate intersection. 63.23 EFFECTIVE DATE.This section is effective August 1, 2025. 63.24Sec. 28. Minnesota Statutes 2024, section 169.06, subdivision 5, is amended to read: 63.25 Subd. 5.Traffic-control signal.(a) Whenever traffic is controlled by traffic-control 63.26signals exhibiting different colored lights, or colored lighted arrows, successively one at a 63.27time or in combination, only the colors Green, Red, and Yellow shall be used, except for 63.28special pedestrian signals carrying a word or legend. The traffic-control signal lights or 63.29colored lighted arrows indicate and apply to drivers of vehicles and pedestrians as follows: 63.30 (1) Green indication: 63Article 2 Sec. 28. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 64.1 (i) Vehicular traffic facing a circular green signal may proceed straight through or turn 64.2right or left unless a sign prohibits either turn. But vehicular traffic, including vehicles 64.3turning right or left, shall yield the right-of-way to other vehicles and to pedestrians lawfully 64.4within the intersection or adjacent crosswalk at the time this signal is exhibited. Vehicular 64.5traffic turning left or making a U-turn to the left shall yield the right-of-way to other vehicles 64.6approaching from the opposite direction so closely as to constitute an immediate hazard. 64.7 (ii) Vehicular traffic facing a green arrow signal, shown alone or in combination with 64.8another indication, may cautiously enter the intersection only to make the movement indicated 64.9by the arrow, or other movement as permitted by other indications shown at the same time. 64.10Vehicular traffic shall yield the right-of-way to pedestrians lawfully within an adjacent 64.11crosswalk and to other traffic lawfully using the intersection. 64.12 (iii) Unless otherwise directed by a pedestrian-control signal as provided in subdivision 64.136, pedestrians facing any green signal, except when the sole green signal is a turn arrow, 64.14may proceed across the roadway within any marked or unmarked crosswalk. Every driver 64.15of a vehicle shall yield the right-of-way to such pedestrian, except that the pedestrian shall 64.16yield the right-of-way to vehicles lawfully within the intersection at the time that the green 64.17signal indication is first shown. 64.18 (2) Steady yellow indication: 64.19 (i) Vehicular traffic facing a steady circular yellow or yellow arrow signal is thereby 64.20warned that the related green movement or flashing yellow movement is being terminated 64.21or that a red indication will be exhibited immediately thereafter when vehicular traffic must 64.22not enter the intersection, except for the continued movement allowed by any green arrow 64.23indication simultaneously exhibited. 64.24 (ii) Pedestrians facing a circular yellow signal, unless otherwise directed by a 64.25pedestrian-control signal as provided in subdivision 6, are thereby advised that there is 64.26insufficient time to cross the roadway before a red indication is shown and no pedestrian 64.27shall then start to cross the roadway. 64.28 (3) Steady red indication: 64.29 (i) Vehicular traffic facing a circular red signal alone must stop at a clearly marked stop 64.30line but, if none, before entering the crosswalk on the near side of the intersection or, if 64.31none, then before entering the intersection and shall remain standing until a green indication 64.32is shown, except as follows: (A) the driver of a vehicle stopped as close as practicable at 64.33the entrance to the crosswalk on the near side of the intersection or, if none, then at the 64.34entrance to the intersection in obedience to a red or stop signal, and with the intention of 64Article 2 Sec. 28. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 65.1making a right turn may make the right turn, after stopping, unless an official sign has been 65.2erected prohibiting such movement, but shall yield the right-of-way to pedestrians and other 65.3traffic lawfully proceeding as directed by the signal at that intersection; or (B) the driver of 65.4a vehicle on a one-way street intersecting another one-way street on which traffic moves 65.5to the left shall stop in obedience to a red or stop signal and may then make a left turn into 65.6the one-way street, unless an official sign has been erected prohibiting the movement, but 65.7shall yield the right-of-way to pedestrians and other traffic lawfully proceeding as directed 65.8by the signal at that intersection. 65.9 (ii) Unless otherwise directed by a pedestrian-control signal as provided in subdivision 65.106, pedestrians facing a steady red signal alone shall not enter the roadway. 65.11 (iii) Vehicular traffic facing a steady red arrow signal, with the intention of making a 65.12movement indicated by the arrow, must stop at a clearly marked stop line but, if none, before 65.13entering the crosswalk on the near side of the intersection or, if none, then before entering 65.14the intersection and must remain standing until a permissive signal indication permitting 65.15the movement indicated by the red arrow is displayed, except as follows: when an official 65.16sign has been erected permitting a turn on a red arrow signal, the vehicular traffic facing a 65.17red arrow signal indication is permitted to enter the intersection to turn right, or to turn left 65.18from a one-way street into a one-way street on which traffic moves to the left, after stopping, 65.19but must yield the right-of-way to pedestrians and other traffic lawfully proceeding as 65.20directed by the signal at that intersection. 65.21 (b) In the event an official traffic-control signal is erected and maintained at a place 65.22other than an intersection, the provisions of this section are applicable except those which 65.23can have no application. Any stop required must be made at a sign or marking on the 65.24pavement indicating where the stop must be made, but in the absence of any such sign or 65.25marking the stop must be made at the signal. 65.26 (c) When a traffic-control signal indication or indications placed to control a certain 65.27movement or lane are so identified by placing a sign near the indication or indications, no 65.28other traffic-control signal indication or indications within the intersection controls vehicular 65.29traffic for that movement or lane. 65.30 EFFECTIVE DATE.This section is effective August 1, 2025. 65.31Sec. 29. Minnesota Statutes 2024, section 169.09, subdivision 8, is amended to read: 65.32 Subd. 8.Officer to report accident to commissioner.(a) A peace officer who 65.33investigates in the regular course of duty an accident that is required to be reported under 65Article 2 Sec. 29. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 66.1this section must submit an electronic or written report of the accident to the commissioner 66.2of public safety within ten days after the date of the accident. Within two business days 66.3after identification of a fatality that resulted from an accident, the reporting agency must 66.4notify the commissioner of the basic circumstances of the accident. A report or notification 66.5under this subdivision must be in the format as prescribed in subdivision 9. 66.6 (b) Accidents on streets, highways, roadways, sidewalks, shoulders, shared use paths, 66.7or any other portion of a public right-of-way must be reported under the requirements of 66.8this section if the accident results in: 66.9 (1) a fatality; 66.10 (2) bodily injury to a person who, because of the injury, immediately receives medical 66.11treatment away from or at the scene of the accident; 66.12 (3) one or more of the motor vehicles incurring disabling damage that requires a vehicle 66.13to be transported away from the scene of the accident by tow truck or other vehicle; or 66.14 (4) damage to fixtures, infrastructure, or any other property alongside or on a highway. 66.15 (c) An accident involving a school bus, as defined in section 169.011, subdivision 71, 66.16must be reported under the requirements of this section and section 169.4511. 66.17 (d) An accident involving a commercial motor vehicle, as defined in section 169.781, 66.18subdivision 1, paragraph (a), must be reported under the requirements of this section and 66.19section 169.783. 66.20 (e) Accidents occurring on public lands or trail systems that result in the circumstances 66.21specified in paragraph (b) must be reported under the requirements of this section. 66.22 EFFECTIVE DATE.This section is effective August 1, 2025. 66.23Sec. 30. Minnesota Statutes 2024, section 169.14, subdivision 1a, is amended to read: 66.24 Subd. 1a.License revocation for extreme speed.The driver's license of a person who 66.25violates any speed limit established in this section, by driving in excess of 100 miles per 66.26hour or 35 miles per hour or more over the posted speed limit, is revoked for six months 66.27under section 171.17, or for a longer minimum period of time applicable under section 66.28169A.53, 169A.54, or 171.174. 66.29 EFFECTIVE DATE.This section is effective July 1, 2025, for violations committed 66.30on or after that date. 66Article 2 Sec. 30. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 67.1 Sec. 31. Minnesota Statutes 2024, section 169.686, subdivision 1, is amended to read: 67.2 Subdivision 1.Seat belt requirement.(a) Except as provided in section 169.685, a 67.3properly adjusted and fastened seat belt, including both the shoulder and lap belt when the 67.4vehicle is so equipped, shall must be worn by the driver and passengers of a passenger 67.5vehicle, commercial motor vehicle, type III vehicle, and type III Head Start vehicle. 67.6Notwithstanding the equipment exemption in section 169.685, subdivision 1, this paragraph 67.7applies to the driver and passengers of an autocycle equipped with seat belts. This paragraph 67.8applies to the operator and passengers of a class 2 all-terrain vehicle, as defined in section 67.984.92, subdivision 10, when operated on or within the right-of-way of a public road when 67.10the all-terrain vehicle is factory-equipped with seat belts. 67.11 (b) A person who is 15 years of age or older and who violates paragraph (a) is subject 67.12to a fine of $25. The driver of the vehicle in which a violation occurs is subject to a $25 67.13fine for each violation of paragraph (a) by the driver or by a passenger under the age of 15, 67.14but the court may not impose more than one surcharge under section 357.021, subdivision 67.156, on the driver. The Department of Public Safety shall must not record a violation of this 67.16subdivision on a person's driving record. 67.17 (c) The driver of a bus is not subject to the fine under paragraph (b) for a violation of 67.18paragraph (a) by a passenger under the age of 15. This paragraph does not apply to: (1) a 67.19school bus, including a type III vehicle; and (2) a Head Start bus, including a type III Head 67.20Start vehicle. 67.21 EFFECTIVE DATE.This section is effective July 1, 2025, for violations committed 67.22on or after that date. 67.23Sec. 32. Minnesota Statutes 2024, section 169.865, subdivision 1a, is amended to read: 67.24 Subd. 1a.Definition.For purposes of this section, "qualifying agricultural products" 67.25means: 67.26 (1) agricultural crops, including but not limited to corn, soybeans, oats, grain, and 67.27by-products of agricultural crops; 67.28 (2) livestock, including but not limited to cattle, hogs, and poultry; 67.29 (3) food crops, including but not limited to sugar beets, potatoes, carrots, and onions; 67.30 (4) fluid milk; 67.31 (5) seed and material used for or in livestock and poultry feed; 67.32 (6) livestock manure; and 67Article 2 Sec. 32. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 68.1 (7) raw or processed grass seed; and 68.2 (8) before January 1, 2031, crude soybean oil. 68.3 EFFECTIVE DATE.This section is effective January 1, 2026. 68.4 Sec. 33. Minnesota Statutes 2024, section 169.865, subdivision 3, is amended to read: 68.5 Subd. 3.Requirements; restrictions.(a) A vehicle or combination of vehicles operating 68.6under this section: 68.7 (1) is subject to axle weight limitations under section 169.824, subdivision 1; 68.8 (2) is subject to seasonal load restrictions under section 169.87; 68.9 (3) is subject to bridge load limits posted under section 169.84; 68.10 (4) may only be operated on paved streets and highways other than interstate highways; 68.11 (5) may not be operated with loads that exceed the manufacturer's gross vehicle weight 68.12rating as affixed to the vehicle, or other certification of gross vehicle weight rating complying 68.13with Code of Federal Regulations, title 49, sections 567.4 to 567.7; 68.14 (6) must be issued a permit from each road authority having jurisdiction over a road on 68.15which the vehicle is operated, if required; 68.16 (7) must comply with the requirements of section 169.851, subdivision 4; and 68.17 (8) must have brakes on all wheels. 68.18 (b) The percentage allowances for exceeding gross weights if transporting unfinished 68.19forest products under section 168.013, subdivision 3, paragraph (b), or for the first haul of 68.20unprocessed or raw farm products or unfinished forest products under section 168.013, 68.21subdivision 3, paragraph (d), clause (3), do not apply to a vehicle or combination of vehicles 68.22operated under this section. 68.23 (c) Notwithstanding paragraph (a), clause (4), a vehicle or combination of vehicles 68.24hauling fluid milk under a permit issued by the commissioner of transportation may also 68.25operate on interstate highways as provided under United States Code, title 23, section 127. 68.26 (d) A vehicle or combination of vehicles hauling crude soybean oil under this section 68.27may only be operated in this state to perform transportation between soybean processing 68.28facilities located in Mankato and Fairmont on: 68.29 (1) a route on a county highway or county state-aid highway as approved by the county; 68.30 (2) marked Trunk Highways 15, 30, and 60; and 68Article 2 Sec. 33. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 69.1 (3) marked U.S. Highway 169. 69.2 EFFECTIVE DATE.This section is effective January 1, 2026. 69.3 Sec. 34. Minnesota Statutes 2024, section 171.01, is amended by adding a subdivision to 69.4read: 69.5 Subd. 45e.Road test."Road test" means the actual physical demonstration of skills and 69.6ability to exercise ordinary and reasonable control in the operation of a motor vehicle. As 69.7appropriate, a road test includes demonstration of ability to perform an inspection of a 69.8vehicle and equipment. 69.9 Sec. 35. Minnesota Statutes 2024, section 171.05, subdivision 1, is amended to read: 69.10 Subdivision 1.Person 18 or more years of age.(a) Any person who is 18 or more years 69.11of age and who, except for a lack of instruction in operating a motor vehicle, would otherwise 69.12be qualified to obtain a class D driver's license under this chapter, may apply for an 69.13instruction permit, and the department shall must issue the permit. The instruction permit 69.14entitles the applicant to drive a motor vehicle for which a class D license is valid upon the 69.15highways for a period of two years if the permit holder: 69.16 (1) has the permit in immediate possession; and 69.17 (2) is driving the vehicle while accompanied by an adult licensed driver who is actually 69.18occupying a seat beside the driver. 69.19 (b) Any license of a lower class may be used as an instruction permit to operate a vehicle 69.20requiring a higher class license for a period of six months one year after passage of the 69.21written test or tests required for the higher class and when the licensee is accompanied by 69.22and receiving instruction from a holder of the appropriate higher class license. A copy of 69.23the record of examination taken for the higher class license must be carried by the driver 69.24while using the lower class license as an instruction permit. 69.25Sec. 36. Minnesota Statutes 2024, section 171.06, is amended by adding a subdivision to 69.26read: 69.27 Subd. 7a.Online renewal.(a) For purposes of this subdivision, "applicant" means a 69.28person who renews a REAL ID-compliant or noncompliant driver's license or identification 69.29card or applies for a duplicate card through the department's online renewal system 69.30established in this subdivision. 69Article 2 Sec. 36. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 70.1 (b) The commissioner must establish a process for an applicant to renew or request a 70.2duplicate of a REAL ID-compliant or noncompliant driver's license or identification card, 70.3whether by website or some other means, as provided in this subdivision. Notwithstanding 70.4subdivision 3, an applicant for a renewal or duplicate driver's license or identification card 70.5submitted through the department's online renewal system may not designate a temporary 70.6mailing address for the delivery of the driver's license or identification card. 70.7 (c) The commissioner may renew or request a duplicate of a REAL ID-compliant or 70.8noncompliant driver's license or identification card for an individual who does not renew 70.9in person if: 70.10 (1) there is no change in identity, including any change to the applicant's name, address, 70.11signature, and driver's license or identification card number; 70.12 (2) the renewal application is not for a different type or class of driver's license or 70.13identification card; 70.14 (3) the renewal or duplicate application is not for an enhanced driver's license or 70.15identification card; 70.16 (4) the commissioner has a previous photograph of the applicant on file that was taken 70.17within the last five years or in conjunction with the most recent issuance of the applicant's 70.18current credential; 70.19 (5) the applicant is at least 18 years of age at the time of the application; 70.20 (6) the applicant's license or identification card is valid or has been expired for less than 70.21one year; 70.22 (7) the applicant has not obtained a driving credential or identification card from another 70.23state or jurisdiction since the most recent issuance of the applicant's Minnesota credential; 70.24 (8) no knowledge or road tests are required to maintain the credential; 70.25 (9) the applicant submits a vision examination certificate as described in subdivision 7; 70.26and 70.27 (10) the application is in a form prescribed by the commissioner. 70.28 (d) The commissioner must use the photograph on file as specified in paragraph (c), 70.29clause (4), for the applicant's REAL ID-compliant or noncompliant driver's license or 70.30identification card. 70.31 EFFECTIVE DATE.This section is effective July 1, 2026. 70Article 2 Sec. 36. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 71.1 Sec. 37. Minnesota Statutes 2024, section 171.0605, subdivision 2, is amended to read: 71.2 Subd. 2.Evidence; identity; date of birth.(a) Only the following is satisfactory evidence 71.3of an applicant's identity and date of birth under section 171.06, subdivision 3, paragraph 71.4(b): 71.5 (1) a driver's license or identification card that: 71.6 (i) complies with all requirements of the REAL ID Act; 71.7 (ii) is not designated as temporary or limited term; and 71.8 (iii) is current or has been expired for five years or less; 71.9 (2) a valid, unexpired United States passport, including a passport booklet or passport 71.10card, issued by the United States Department of State; 71.11 (3) a certified copy of a birth certificate issued by a government bureau of vital statistics 71.12or equivalent agency in the applicant's state of birth, which must bear the raised or authorized 71.13seal of the issuing government entity; 71.14 (4) a consular report of birth abroad, certification of report of birth, or certification of 71.15birth abroad, issued by the United States Department of State, Form FS-240, Form DS-1350, 71.16or Form FS-545; 71.17 (5) a valid, unexpired permanent resident card issued by the United States Department 71.18of Homeland Security or the former Immigration and Naturalization Service of the United 71.19States Department of Justice, Form I-551. If the Form I-551 validity period has been 71.20automatically extended by the United States Department of Homeland Security, it is deemed 71.21unexpired, regardless of the expiration date listed; 71.22 (6) a foreign passport with an unexpired temporary I-551 stamp or a temporary I-551 71.23printed notation on a machine-readable immigrant visa with a United States Department of 71.24Homeland Security admission stamp within the validity period; 71.25 (7) a United States Department of Homeland Security Form I-94 or Form I-94A with a 71.26photograph and an unexpired temporary I-551 stamp; 71.27 (8) a United States Department of State Form DS-232 with a United States Department 71.28of Homeland Security admission stamp and validity period; 71.29 (9) a certificate of naturalization issued by the United States Department of Homeland 71.30Security, Form N-550 or Form N-570; 71Article 2 Sec. 37. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 72.1 (10) a certificate of citizenship issued by the United States Department of Homeland 72.2Security, Form N-560 or Form N-561; 72.3 (11) an unexpired employment authorization document issued by the United States 72.4Department of Homeland Security, Form I-766 or Form I-688B. If the Form I-766 validity 72.5period has been automatically extended by the United States Department of Homeland 72.6Security, it is deemed unexpired, regardless of the expiration date listed; 72.7 (12) a valid, unexpired passport issued by a foreign country and a valid, unexpired United 72.8States visa accompanied by documentation of the applicant's most recent lawful admittance 72.9into the United States; or 72.10 (13) a document as designated by the United States Department of Homeland Security 72.11under Code of Federal Regulations, title 6, part 37.11 (c)(1)(x);. 72.12 (14) a copy of the applicant's certificate of marriage certified by the issuing government 72.13jurisdiction; 72.14 (15) a certified copy of a court order that specifies the applicant's name change; or 72.15 (16) a certified copy of a divorce decree or dissolution of marriage that specifies the 72.16applicant's name change, issued by a court. 72.17 (b) A document under paragraph (a) must be legible and unaltered. 72.18Sec. 38. Minnesota Statutes 2024, section 171.0605, is amended by adding a subdivision 72.19to read: 72.20 Subd. 7.Evidence of name change.The following is satisfactory evidence of an 72.21applicant's name change: 72.22 (1) a copy of the applicant's certificate of marriage certified by the issuing government 72.23jurisdiction; 72.24 (2) a certified copy of a court order that specifies the applicant's name change; or 72.25 (3) a certified copy of a court-issued divorce decree or dissolution of marriage that 72.26specifies the applicant's name change. 72.27Sec. 39. Minnesota Statutes 2024, section 171.061, is amended by adding a subdivision 72.28to read: 72.29 Subd. 4a.Reimbursements.(a) The commissioner must issue payment to a driver's 72.30license agent as follows: 72Article 2 Sec. 39. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 73.1 (1) $2 for paying an account balance; 73.2 (2) $4 for the following transactions: 73.3 (i) correcting credentials for veterans with a total service-connected disability, homeless 73.4fee, and those with reduced-fee credentials; and 73.5 (ii) payment of reinstatement fees for veterans with a total service-connected disability 73.6and homeless youth; 73.7 (3) $8 for the following transactions: 73.8 (i) changing a customer's personal identification number; and 73.9 (ii) mail-in application photograph renewal; and 73.10 (4) an amount that equals the fee established under subdivision 4, paragraph (a), clause 73.11(2), for the following transactions: 73.12 (i) addition of court order review; 73.13 (ii) paper temporary receipt of application permit for veterans with a total 73.14service-connected disability; and 73.15 (iii) issuing a credential for veterans with a total service-connected disability, homeless 73.16youth, and those with reduced-fee credentials. 73.17 (b) The following transactions for which no filing fee under subdivision 4 is collected 73.18are not eligible for payment of any kind: 73.19 (1) collection of another fee type, including but not limited to a record request fee or a 73.20fast track fee; 73.21 (2) voluntary waiver of a fee by the driver's license agent; and 73.22 (3) ancillary to a transaction for which a filing fee may be imposed. 73.23 (c) If the amount appropriated for payments under this subdivision is insufficient, the 73.24commissioner must prorate the payments. 73.25 EFFECTIVE DATE.This section is effective August 1, 2025. 73.26Sec. 40. Minnesota Statutes 2024, section 171.13, subdivision 7, is amended to read: 73.27 Subd. 7. Examination fees.(a) A fee of $10 must be paid by an individual to take a 73.28third and any subsequent knowledge test administered by the department if the individual 73.29has failed two previous consecutive knowledge tests on the subject. 73Article 2 Sec. 40. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 74.1 (b) A fee of $20 must be paid by an individual to take a third and any subsequent skills 74.2or road test administered by the department if the individual has previously failed two 74.3consecutive skill or road tests in a specified class of motor vehicle. 74.4 (c) A fee of $20 $40 must be paid by an individual who fails to appear for a scheduled 74.5skills or road test or who cancels a skills or road test within less than 24 hours of before the 74.6appointment time. A fee of $20 must be paid by an individual who cancels a scheduled road 74.7test between 24 hours and 72 hours before the appointment time. 74.8 (d) All fees received under this subdivision must be paid into the state treasury and 74.9credited to the driver and vehicle services operating account under section 299A.705. 74.10 EFFECTIVE DATE.This section is effective August 1, 2025, and applies to 74.11cancellations and failures to appear on or after that date. 74.12Sec. 41. Minnesota Statutes 2024, section 171.13, subdivision 8, is amended to read: 74.13 Subd. 8.Test scheduling.The commissioner must not schedule or reserve recurring 74.14time with a public, private, or commercial driver education program for purposes of 74.15administering skills or road tests to a class D or commercial driver's license applicant. 74.16Sec. 42. Minnesota Statutes 2024, section 171.17, subdivision 1, is amended to read: 74.17 Subdivision 1.Offenses.(a) The department shall must immediately revoke the license 74.18of a driver upon receiving a record of the driver's conviction of: 74.19 (1) manslaughter resulting from the operation of a motor vehicle or under section 609.20 74.20or 609.205; 74.21 (2) criminal vehicular homicide or injury under section 609.2112, 609.2113, or 609.2114, 74.22or Minnesota Statutes 2012, section 609.21; 74.23 (2) (3) a violation of section 169A.20 or 609.487; 74.24 (3) (4) a felony in the commission of which a motor vehicle was used; 74.25 (4) (5) failure to stop and disclose identity and render aid, as required under section 74.26169.09, in the event of a motor vehicle accident, resulting in the death or personal injury of 74.27another; 74.28 (5) (6) perjury or the making of a false affidavit or statement to the department under 74.29any law relating to the application, ownership, or operation of a motor vehicle, including 74.30on the certification required under section 171.05, subdivision 2, paragraph (a), clause (1), 74.31item (ii), subitem (C), to issue an instruction permit to a homeschool student; 74Article 2 Sec. 42. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 75.1 (6) (7) except as this section otherwise provides, three charges of violating within a 75.2period of 12 months any of the provisions of chapter 169 or of the rules or municipal 75.3ordinances enacted in conformance with chapter 169, for which the accused may be punished 75.4upon conviction by imprisonment; 75.5 (7) (8) two or more violations, within five years, of the misdemeanor offense described 75.6in section 169.444, subdivision 2, paragraph (a); 75.7 (8) (9) the gross misdemeanor offense described in section 169.444, subdivision 2, 75.8paragraph (b); 75.9 (9) (10) an offense in another state that, if committed in this state, would be grounds for 75.10revoking the driver's license; or 75.11 (10) (11) a violation of an applicable speed limit by a person driving in excess of 100 75.12miles per hour. The person's license must be revoked for six months for a violation of this 75.13clause, or for a longer minimum period of time applicable under section 169A.53, 169A.54, 75.14or 171.174. 75.15 (b) The department shall must immediately revoke the school bus endorsement of a 75.16driver upon receiving a record of the driver's conviction of the misdemeanor offense described 75.17in section 169.443, subdivision 7. 75.18Sec. 43. Minnesota Statutes 2024, section 174.02, is amended by adding a subdivision to 75.19read: 75.20 Subd. 12.Emissions reduction goals; financial assistance.The commissioner may 75.21provide grants or other financial assistance at the commissioner's discretion pursuant to 75.22grant requirements under state law to meet the state's goals under subdivision 1a, clause 75.23(3), or section 216H.02. 75.24Sec. 44. Minnesota Statutes 2024, section 174.03, subdivision 12, is amended to read: 75.25 Subd. 12.Trunk highway performance, resiliency, and sustainability.(a) The 75.26commissioner must implement performance measures and targets for the trunk highway 75.27system in order to construct resilient infrastructure, enhance the project selection for all 75.28transportation modes, improve economic security, and achieve the state transportation goals 75.29established in section 174.01. 75.30 (b) At a minimum, the transportation planning process must include: 75Article 2 Sec. 44. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 76.1 (1) an inventory of transportation assets, including but not limited to bridge, pavement, 76.2geotechnical, pedestrian, bicycle, and transit asset categories; 76.3 (2) establishment of statewide performance measures and targets, reporting of 76.4performance measure results, and where possible, performance forecasts that are: 76.5 (i) statewide and, where data allow, district-specific; 76.6 (ii) for assets in each asset category specified in clause (1); and 76.7 (iii) identified in collaboration with the public; 76.8 (3) gap identification and an explanation of the difference between performance targets 76.9and current status; and 76.10 (4) life cycle assessment and corridor risk assessment as part of asset management 76.11programs in each district of the department. 76.12 (c) At a minimum, the ten-year capital highway investment plan in each district of the 76.13department must: 76.14 (1) be based on expected funding during the plan period and, to the extent feasible, 76.15maximize long-term benefits; 76.16 (2) estimate the funding necessary to make optimal life cycle investments; 76.17 (3) identify investments within each of the asset categories specified in paragraph (b), 76.18clause (1), that are funded through the trunk highway capital program; 76.19 (4) identify specific trunk highway segments programmed to be removed from the trunk 76.20highway system; and 76.21 (5) deliver annual progress toward achieving the state transportation goals established 76.22in section 174.01. 76.23 (d) Annually by December 15, the commissioner must report trunk highway performance 76.24measures and targets and identify gaps, including information detailing the department's 76.25progress on achieving the state transportation goals, to the chairs and ranking minority 76.26members of the legislative committees having jurisdiction over transportation policy and 76.27finance. The report must be signed by the commissioner. 76.28Sec. 45. Minnesota Statutes 2024, section 174.03, is amended by adding a subdivision to 76.29read: 76.30 Subd. 13.Asset sustainability ratio targets.(a) The commissioner must calculate and 76.31report the asset sustainability ratio (ASR) for pavements for each fiscal year. The ASR must 76Article 2 Sec. 45. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 77.1be based on criteria developed by the commissioner and found in the Pavement Design 77.2Manual. The ASR is calculated as: 77.3 (1) total trunk highway system lane-mile years added each year; divided by 77.4 (2) total trunk highway mileage in that year. 77.5 (b) The department must meet the following pavement system targets for ASR: 77.6 (1) not less than 0.65 by 2027; 77.7 (2) not less than 0.75 by 2029; and 77.8 (3) not less than 0.85 by 2031 and thereafter. 77.9 (c) The commissioner must determine ASR results from projects constructed by the 77.10department for each year and include the results in the trunk highway performance report 77.11under section 174.56. 77.12 EFFECTIVE DATE.This section is effective August 1, 2025. 77.13Sec. 46. [174.034] TRANSPORTATION PROJECT ACTIVITY PORTAL. 77.14 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have 77.15the meanings given. 77.16 (b) "Analysis activity" means an undertaking to analyze or study a highway or a corridor 77.17prior to project identification or as part of project development. Analysis activity includes 77.18but is not limited to: (1) planning, assessment, project scoping, project development, land 77.19acquisition, environmental review, and project-related public engagement; and (2) a safety 77.20study or audit, a corridor analysis or study, a planning study, a feasibility analysis, a purpose 77.21and need assessment, or similar assessment or analysis. 77.22 (c) "Major highway project" means a highway project that has a total cost for all segments 77.23that the commissioner most recently estimates to be at least (1) $15,000,000 in the 77.24metropolitan highway construction district, or (2) $5,000,000 in any nonmetropolitan 77.25highway construction district. 77.26 Subd. 2.Portal establishment.The commissioner must maintain a centralized portal 77.27on the department's website that provides comprehensive information on highway projects, 77.28project development, studies and assessments, and related activity. 77.29 Subd. 3.Portal design.The portal must: 77.30 (1) provide a geographic information system interface that allows for identification of 77.31projects and analysis activity through interactive mapping; 77Article 2 Sec. 46. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 78.1 (2) identify: 78.2 (i) each trunk highway project that is specified in the state transportation improvement 78.3program, excluding general or maintenance set-asides; the statewide multimodal 78.4transportation plan; the Minnesota state highway investment plan; or a ten-year capital 78.5highway investment plan in a district; 78.6 (ii) each trunk highway project that reached substantial completion in the current or 78.7previous two calendar years; 78.8 (iii) each trunk highway project that is planned for the ensuing ten years; and 78.9 (iv) each trunk highway segment or corridor for which the commissioner: (A) is 78.10undertaking analysis activity; or (B) has completed an analysis activity under subitem (A) 78.11within the previous five years; 78.12 (3) identify department districts, jurisdictions of local units of government, state and 78.13local road systems, major geographic features, and relevant local landmarks; 78.14 (4) provide the ability to search, filter, and apply mapping layer visibility based on 78.15location, dates, status, and common transportation categories; 78.16 (5) present information in a manner that is readily understood by the general public; 78.17 (6) allow for future extension to incorporate local road projects; and 78.18 (7) provide access to the information required under subdivision 4 and the dashboard 78.19required under subdivision 5. 78.20 Subd. 4.Information contents.(a) The commissioner must provide information on the 78.21department's website for each project or analysis activity identified under subdivision 3, 78.22clause (2). At a minimum, the information must include: 78.23 (1) a plain language description of the nature and scope of the project or analysis activity; 78.24 (2) as appropriate, the state project number and bridge number; 78.25 (3) as appropriate, an explanation of the project purpose and need; 78.26 (4) at least one map that identifies the project limits, corridor, or general location; 78.27 (5) a timeline that provides any key milestones; 78.28 (6) the primary documentation for the project or analysis activity, including but not 78.29limited to project layout and design plans, data and results from relevant modeling, and any 78.30studies or reports; 78Article 2 Sec. 46. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 79.1 (7) a fiscal overview that includes project or analysis activity cost and funding sources; 79.2 (8) notice of any scheduled public meetings, and if testimony is being taken, the ability 79.3for an individual to arrange to testify; 79.4 (9) details on each previous public meeting, including but not limited to meeting minutes, 79.5presentations, associated documents, and recordings; 79.6 (10) identification of a project or analysis activity contact; and 79.7 (11) for each major highway project, project details that at a minimum include: 79.8 (i) project purposes relative to objectives in the statewide multimodal transportation 79.9plan and investment priority areas established in the Minnesota state highway investment 79.10plan; 79.11 (ii) a history of the project, including but not limited to previous official actions by the 79.12department or the appropriate area transportation partnership, or both; the date on which 79.13the project was first included in the state transportation improvement plan; the cost of the 79.14project at that time; the planning estimate for the project; the engineer's estimate; the award 79.15price; the final cost as of six months after substantial completion, including any supplemental 79.16agreements and cost overruns or cost savings; the dates of environmental approval; the dates 79.17of municipal approval; the date of final geometric layout; and the date of establishment of 79.18any construction limits; 79.19 (iii) the project's priority listing or rank within its construction district, if any, as well 79.20as the reasons for that listing or rank, the criteria used in prioritization or rank, any changes 79.21in that prioritization or rank since the project was first included in a department work plan, 79.22and the reasons for those changes; and 79.23 (iv) past and potential future reasons for delay in letting or completing the project, details 79.24of all project cost changes that exceed $500,000, and specific modifications to the overall 79.25program that are made as a result of delays and project cost changes. 79.26 (b) The commissioner must maintain and revise the information required under this 79.27subdivision in a timely manner, and must publish the public meeting information required 79.28under paragraph (a), clause (8), within two weeks of the meeting. 79.29 Subd. 5.Fiscal transparency dashboard.The commissioner must provide a fiscal 79.30transparency dashboard on the department's website that summarizes fiscal information for 79.31the current fiscal year and each year in the state transportation improvement program. At a 79.32minimum, the dashboard must include: 79Article 2 Sec. 46. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 80.1 (1) a summary of total amounts by funding source and for projects; 80.2 (2) identification of total expenditures associated with each objective in the statewide 80.3multimodal transportation plan under section 174.03, subdivision 1a, and resulting impacts 80.4on associated performance targets; and 80.5 (3) an overview of expenditures by investment priority area established in the Minnesota 80.6state highway investment plan under section 174.03, subdivision 1c. 80.7 Subd. 6.Implementation.The commissioner must implement the requirements of this 80.8section by the earlier of January 1, 2028, or the completion of necessary information 80.9technology changes. 80.10Sec. 47. [174.065] CONSOLIDATED LOCAL TRANSPORTATION FINANCIALS 80.11REPORT. 80.12 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have 80.13the meanings given. 80.14 (b) "Funding source" means the relevant tax or revenue source for which financial 80.15reporting information is required. 80.16 (c) "Reporting unit" means a county, regional railroad authority, or other political 80.17subdivision that is specifically required to submit financial information under this section. 80.18 Subd. 2.Consolidated report.(a) By March 1 annually, the commissioner must submit 80.19a report on consolidated local transportation financials to the chairs and ranking minority 80.20members of the legislative committees with jurisdiction over transportation finance and 80.21policy. 80.22 (b) At a minimum, the report must include: 80.23 (1) the information specified under subdivision 3 for each funding source as required 80.24under sections 174.49, subdivision 7; 297A.993, subdivision 2a; and 398A.04, subdivision 80.2512; 80.26 (2) subtotals for each reporting unit that is required to submit financial information under 80.27this section; and 80.28 (3) totals for all reporting units. 80.29 (c) The commissioner may establish submission requirements for the financial 80.30information, which may include but is not limited to a submission deadline and a format 80.31for the fiscal details. 80Article 2 Sec. 47. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 81.1 Subd. 3.Required financial information.(a) At a minimum, each reporting unit must 81.2submit financial information on the funding source that includes: 81.3 (1) actual allocations or collections to the reporting unit for each of the previous five 81.4calendar years; 81.5 (2) balance actuals for each of the previous five calendar years; 81.6 (3) estimates of the amount that is expected to be allocated to or collected by the reporting 81.7unit in the current year and for the next ten calendar years; and 81.8 (4) for each of the previous five calendar years, the current calendar year, and for the 81.9next ten calendar years: 81.10 (i) the amount expended or proposed to be expended for each of the following, as 81.11applicable: 81.12 (A) planning, project development, construction, operation, or maintenance of guideways, 81.13as defined in section 473.4485, subdivision 1, paragraph (d); 81.14 (B) nonguideway transit uses; 81.15 (C) active transportation uses; 81.16 (D) highway uses; and 81.17 (E) uses not otherwise specified in subitems (A) to (D); 81.18 (ii) for each category under item (i), subitems (A) to (D), an accompanying list of 81.19completed, current, planned, and anticipated projects; and 81.20 (iii) an estimated balance of unspent or undesignated amounts from the funding source. 81.21 (b) The listing under paragraph (a), clause (4), item (ii), must include a brief identification 81.22or description of each project or program. 81.23 Subd. 4.Aid withholding.The commissioner must annually withhold payment of 25 81.24percent of the amount apportioned under section 162.07 for a county that (1) is a reporting 81.25unit, and (2) fails to meet financial information submission requirements established by the 81.26commissioner under subdivision 2, paragraph (c). The commissioner may release withheld 81.27funds no sooner than 30 days following acceptance of a submission. 81.28Sec. 48. Minnesota Statutes 2024, section 174.07, subdivision 3, is amended to read: 81.29 Subd. 3.Exceptions.This section does not apply to: 81Article 2 Sec. 48. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 82.1 (1) a law that establishes a requirement with general applicability for an agency or 82.2agencies to submit a report, including but not limited to reports and information under 82.3sections 14.05, subdivision 5, and 14.116; 82.4 (2) a law that specifies a reporting expiration date or a date for the submission of a final 82.5report; 82.6 (3) information required by law to be included in a budget submission to the legislature 82.7under section 16A.11; 82.8 (4) the plans required under section 174.03, subdivisions 1a, 1b, and 1c; 82.9 (5) the forecast information requirements under section 174.03, subdivision 9; and 82.10 (6) the reports required under sections 161.088, subdivision 7; 161.089; 161.3203, 82.11subdivision 4; 165.03, subdivision 8; 174.03, subdivision 12 174.065; 174.185, subdivision 82.123; 174.247; 174.56, subdivisions 1 and 2; and 174.75, subdivision 3. 82.13Sec. 49. [174.205] RESILIENT PAVEMENT PROGRAM. 82.14 Subdivision 1.Definitions.(a) For purposes of this section, the following terms have 82.15the meanings given. 82.16 (b) "Baseline project" means a trunk highway project without revision to pavement 82.17design life. 82.18 (c) "Commissioner" means the commissioner of transportation. 82.19 (d) "Modified project" means a project that is revised or under a revision analysis to 82.20contain a modified pavement design life using funds provided under the program. 82.21 (e) "Pavement cost" means the estimated total cost of pavement items, including pavement 82.22foundation, for the project, in conformance with standard specifications for construction 82.23established by the commissioner. 82.24 (f) "Program" means the resilient pavement program under this section. 82.25 Subd. 2.Program established.Subject to available funds, the commissioner must 82.26establish a resilient pavement program to provide supplemental funding for revisions to 82.27pavement design of trunk highway projects on the basis of long-term cost effectiveness. 82.28 Subd. 3.Administration.(a) In implementing the program, the commissioner must: (1) 82.29establish procedures for identification, analysis, and selection of projects that receive funding 82.30and are accordingly revised in the pavement design; and (2) specify a modified pavement 82Article 2 Sec. 49. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 83.1design life, whether through pavement material, pavement foundation, or a combination, 83.2that is at least 50 years for modified projects. 83.3 (b) The commissioner must determine pavement design life using the current standard 83.4models used by the department for pavement design. 83.5 Subd. 4.Project eligibility; cost effectiveness.(a) To be eligible for funds under the 83.6program, a project must: 83.7 (1) be for trunk highway construction, reconstruction, maintenance, or improvement; 83.8 (2) be included in a prior or the current state transportation improvement program or 83.9capital highway investment plan with a proposed design life of less than or equal to 20 83.10years; 83.11 (3) be a modified project with a pavement design life as specified under subdivision 3, 83.12paragraph (a), clause (2); and 83.13 (4) have a cost-effectiveness ratio, as calculated under paragraph (b), that equals or is 83.14greater than two. 83.15 (b) The cost-effectiveness ratio is calculated as: 83.16 (1) the pavement cost of the baseline project, divided by the pavement design life of the 83.17baseline project; divided by 83.18 (2) the pavement cost of the modified project, divided by the modified pavement design 83.19life. 83.20 Subd. 5.Use of funds.(a) For a project selected under the program, the commissioner 83.21may expend program funds for up to 110 percent of the difference in anticipated pavement 83.22costs between the modified project and the baseline project. 83.23 (b) The commissioner may expend up to one-third of the funds on projects located wholly 83.24or substantially inside the Department of Transportation metropolitan district, as calculated 83.25using total funds under the program over (1) the current fiscal year, and (2) the latest prior 83.26two years in which funds are allocated. 83.27 (c) The commissioner must not expend funds under the program for program delivery. 83.28 Subd. 6.Public information.The commissioner must publish information regarding 83.29the program on the department's website. The information must include: 83.30 (1) a description of program implementation; 83.31 (2) identification of projects analyzed and selected under the program; and 83Article 2 Sec. 49. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 84.1 (3) for each project selected, an overview that includes a brief project description, the 84.2pavement design changes, and information on expenditures from program funds. 84.3 Sec. 50. Minnesota Statutes 2024, section 174.38, subdivision 4, is amended to read: 84.4 Subd. 4.Program administration.(a) The commissioner must establish active 84.5transportation program requirements, including: 84.6 (1) assistance eligibility, subject to the requirements under subdivision 5; 84.7 (2) a solicitation and application process that minimizes the burden on applicants; and 84.8 (3) procedures to award and pay financial assistance. 84.9 (b) The commissioner must annually conduct a solicitation solicitations for active 84.10transportation projects under the program. 84.11 (c) The commissioner must make reasonable efforts to publicize each application 84.12solicitation among all eligible recipients. The commissioner must assist applicants to create 84.13and submit applications, with an emphasis on providing assistance in communities that are 84.14historically and currently underrepresented in local or regional planning, including 84.15communities of color, low-income households, people with disabilities, and people with 84.16limited English proficiency. 84.17 (d) The commissioner may provide grants or other financial assistance for a project. 84.18 (e) The commissioner is prohibited from expending more than one percent of available 84.19funds in a fiscal year under this section on program administration. 84.20Sec. 51. Minnesota Statutes 2024, section 174.49, is amended by adding a subdivision to 84.21read: 84.22 Subd. 7.Metropolitan counties; financial information.(a) A metropolitan county 84.23must annually submit financial information to the commissioner on all sources of funds that 84.24are subject to the requirements under subdivision 6. The financial information must be 84.25submitted as provided under section 174.065 in the manner and by the dates prescribed by 84.26the commissioner. 84.27 (b) In addition to the requirements under section 174.065, subdivision 3, the submitted 84.28financial information must include the amount expended or proposed to be expended in 84.29each of the allowable uses under subdivision 6 for: 84.30 (1) each of the previous five calendar years; 84Article 2 Sec. 51. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 85.1 (2) the current calendar year; and 85.2 (3) the next ten calendar years. 85.3 Sec. 52. Minnesota Statutes 2024, section 174.56, is amended to read: 85.4 174.56 REPORT ON MAJOR HIGHWAY PROJECTS, TRUNK HIGHWAY 85.5FUND PERFORMANCE, EXPENDITURES, AND EFFICIENCIES. 85.6 Subdivision 1.Report required.(a) The commissioner of transportation shall must 85.7submit a report by December 15 of each year on (1) the status of major highway projects 85.8completed during the previous two years or under construction or planned during the year 85.9of the report and for the ensuing 15 years, (2) trunk highway fund expenditures, and (3) 85.10efficiencies achieved during the previous two fiscal years trunk highway system performance 85.11and department activity. 85.12 (b) For purposes of this section, a "major highway project" is a highway project that has 85.13a total cost for all segments that the commissioner estimates at the time of the report to be 85.14at least (1) $15,000,000 in the metropolitan highway construction district, or (2) $5,000,000 85.15in any nonmetropolitan highway construction district. 85.16 Subd. 2.Report contents; major highway projects.For each major highway project 85.17the report must include: 85.18 (1) a description of the project sufficient to specify its scope and location; 85.19 (2) a history of the project, including, but not limited to, previous official actions by the 85.20department or the appropriate area transportation partnership, or both, the date on which 85.21the project was first included in the state transportation improvement plan, the cost of the 85.22project at that time, the planning estimate for the project, the engineer's estimate, the award 85.23price, the final cost as of six months after substantial completion, including any supplemental 85.24agreements and cost overruns or cost savings, the dates of environmental approval, the dates 85.25of municipal approval, the date of final geometric layout, and the date of establishment of 85.26any construction limits; 85.27 (3) the project's priority listing or rank within its construction district, if any, as well as 85.28the reasons for that listing or rank, the criteria used in prioritization or rank, any changes 85.29in that prioritization or rank since the project was first included in a department work plan, 85.30and the reasons for those changes; 85Article 2 Sec. 52. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 86.1 (4) past and potential future reasons for delay in letting or completing the project, details 86.2of all project cost changes that exceed $500,000, and specific modifications to the overall 86.3program that are made as a result of delays and project cost changes; 86.4 (5) two representative trunk highway construction projects, one each from the 86.5department's metropolitan district and from greater Minnesota, and for each project report 86.6the cost of environmental mitigation and compliance; and 86.7 (6) the annual budget for products and services for each Department of Transportation 86.8district and office, with comparison to actual spending and including measures of productivity 86.9for the previous fiscal year. 86.10 Subd. 2a.Report contents; trunk highway fund expenditures.The commissioner 86.11shall must include in the report: 86.12 (1) a review of trunk highway performance measures and targets under section 174.03, 86.13subdivisions 1c and 12, including identification of gaps; 86.14 (2) details on the department's progress on achieving the state transportation goals under 86.15section 174.01; 86.16 (3) the annual budget for products and services for each Department of Transportation 86.17district and office, including a comparison to actual spending and measures of productivity 86.18for the previous fiscal year; 86.19 (4) information on the total expenditures from the trunk highway fund during the previous 86.20fiscal year, which must include: 86.21 (i) a breakout for each Department of Transportation district, in the following categories: 86.22road construction; planning; design and engineering; labor; compliance with environmental 86.23regulations; administration; acquisition of right-of-way, including costs for attorney fees 86.24and other compensation for property owners; litigation costs, including payment of claims, 86.25settlements, and judgments; maintenance; and road operations.; and 86.26 (ii) any other categories or information identified by the commissioner to provide for 86.27expenditure overlap across the categories under item (i) and comparison to other fiscal 86.28reporting; 86.29 (5) asset sustainability ratio results under section 174.03, subdivision 13; and 86.30 (6) efficiencies achieved during the previous two fiscal years. 86.31 Subd. 3.Department resources.The commissioner shall must prepare and submit the 86.32report with existing department staff and resources. 86Article 2 Sec. 52. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 87.1 Subd. 4.Availability of information.The commissioner must maintain an Internet 87.2website that displays information for each major highway project. At a minimum, the 87.3information must include the report contents identified in subdivision 2. 87.4 Sec. 53. Minnesota Statutes 2024, section 174.634, subdivision 2, is amended to read: 87.5 Subd. 2.Passenger rail account; transfers; appropriation.(a) A passenger rail account 87.6is established in the special revenue fund. The account consists of funds as provided in this 87.7subdivision and any other money donated, allotted, transferred, collected, or otherwise 87.8provided to the account. 87.9 (b) By July 15 annually beginning in calendar year 2027 2029, the commissioner of 87.10revenue must transfer an amount from the general fund to the passenger rail account that 87.11equals 50 percent of the portion of the state general tax under section 275.025 levied on 87.12railroad operating property, as defined under section 273.13, subdivision 24, in the prior 87.13calendar year. 87.14 (c) Money in the account is annually appropriated to the commissioner of transportation 87.15for the operating and capital maintenance costs of intercity passenger rail, which may include 87.16but are not limited to planning, designing, developing, constructing, equipping, administering, 87.17operating, promoting, maintaining, and improving passenger rail service within the state, 87.18after accounting for operating revenue, federal funds, and other sources. 87.19 (d) By November 1 each year beginning in calendar year 2029, the commissioner must 87.20report on the passenger rail account to the chairs and ranking minority members of the 87.21legislative committees with jurisdiction over transportation policy and finance. The report 87.22must, at a minimum, include: 87.23 (1) the actual revenue and expenditures in each of the previous two fiscal years; 87.24 (2) the budgeted and forecasted revenue and expenditures in the current fiscal year and 87.25each fiscal year within the state forecast period; 87.26 (3) the plan for collection of fees and revenue, as defined and authorized under 87.27subdivision 3, in the current fiscal year and each fiscal year within the state forecast period; 87.28and 87.29 (4) the uses of expenditures or planned expenditures in each fiscal year included under 87.30clauses (1) and (2). 87Article 2 Sec. 53. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 88.1 Sec. 54. Minnesota Statutes 2024, section 289A.51, subdivision 3, is amended to read: 88.2 Subd. 3.Amount of rebate.(a) The amount of a rebate under this section equals the 88.3lesser of: 88.4 (1) the applicable percentage, multiplied by the amount 75 percent of eligible expenses 88.5paid by an eligible individual; or 88.6 (2) $1,500 $750. 88.7 (b) The applicable percentage equals 75 percent, but is reduced by one percentage point 88.8until the percentage equals 50 percent, for each $4,000 of the eligible individual's adjusted 88.9gross income in excess of: 88.10 (1) $50,000 for a married taxpayer filing a joint return; and 88.11 (2) $25,000 for all other filers. 88.12 (b) Eligibility for a rebate under this section is limited to eligible individuals with adjusted 88.13gross incomes that were not more than: 88.14 (1) $78,000 in the case of a married eligible individual who filed a joint return; or 88.15 (2) $41,000 for all other individuals. 88.16 (c) For the purposes of determining the applicable percentage income limit under 88.17paragraph (b) and subdivision 4, paragraph (a), the commissioner must use the eligible 88.18individual's adjusted gross income for the taxable year ending in the calendar year prior to 88.19the year in which the individual applied for a rebate certificate. 88.20 EFFECTIVE DATE.This section is effective for rebates after December 31, 2024. 88.21Sec. 55. Minnesota Statutes 2024, section 289A.51, subdivision 4, is amended to read: 88.22 Subd. 4.Commissioner to issue rebate certificates.(a) To qualify for a rebate under 88.23this section, an eligible individual must apply to the commissioner for a rebate certificate 88.24in the manner specified by the commissioner prior to purchasing an electric-assisted bicycle. 88.25As part of the application, the eligible individual must include proof of the individual's 88.26adjusted gross income for the taxable year specified in subdivision 3, paragraph (c). The 88.27commissioner must issue a rebate certificate to an eligible individual stating the issuance 88.28date, the applicable percentage, and the maximum rebate for which the taxpayer is eligible. 88.29For a married taxpayer filing a joint return, each spouse may apply to the commissioner 88.30separately, and the commissioner must issue each spouse a separate rebate certificate. 88Article 2 Sec. 55. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 89.1 (b) The commissioner of revenue may determine the date on which to open applications 89.2for a rebate certificate, and applications must not be submitted before the date determined 89.3by the commissioner. Beginning July 1, 2024, and July 1 of each subsequent calendar year 89.4for which there is an allocation of rebate certificates, the commissioner must allocate rebate 89.5certificates on a first-come, first-served basis. The commissioner must reserve 40 percent 89.6of the certificates for a married taxpayer filing a joint return with an adjusted gross income 89.7of less than $78,000 or any other filer with an adjusted gross income of less than $41,000. 89.8Any portion of the reserved amount under this paragraph that is not allocated by September 89.930 is available for allocation to other rebate certificate applications beginning on October 89.101. to eligible applicants. If the number of eligible applicants exceeds the available allocation 89.11of rebate certificates, the commissioner must allocate certificates through a random lottery. 89.12 (c) If a random lottery is used to allocate certificates as provided in paragraph (b), the 89.13commissioner must, by August 1, 2025, determine a suitable randomized method to allocate 89.14the certificates and must: 89.15 (1) detail the department's anticipated timeline for the lottery, including when applications 89.16for the lottery by an eligible individual must be made and when the commissioner anticipates 89.17distributing the certificates; 89.18 (2) establish a method for an eligible individual to apply for placement into the lottery; 89.19and 89.20 (3) provide the amount of certificates available to be distributed by the department to 89.21the public. 89.22 (d) The commissioner must not issue rebate certificates totaling more than $2,000,000 89.23in each of calendar years 2024 and 2025, except any amount authorized but not allocated 89.24in any calendar year does not cancel and is added to the allocation for the next calendar 89.25year. When calculating the amount of remaining allocations, the commissioner must assume 89.26that each allocated but unclaimed certificate reduces the available allocations by $1,500 89.27$750. 89.28 (d) (e) A rebate certificate that is not assigned to a retailer expires two months after the 89.29date the certificate was issued and may not be assigned to a retailer after expiration. The 89.30amount of any expired rebate certificates is added to the available allocation under paragraph 89.31(c) (d). 89.32 EFFECTIVE DATE.This section is effective for rebates after December 31, 2024. 89Article 2 Sec. 55. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 90.1 Sec. 56. Minnesota Statutes 2024, section 297A.993, subdivision 2a, is amended to read: 90.2 Subd. 2a.Uses reporting.By February 15 of each even-numbered year, A metropolitan 90.3county, as defined in section 473.121, subdivision 4, that imposes the taxes under this section 90.4must annually submit a report to the chairs and ranking minority members of the legislative 90.5committees with jurisdiction over transportation policy and finance financial information 90.6to the commissioner of transportation as provided under section 174.065 in the manner and 90.7by the dates prescribed by the commissioner. 90.8 At a minimum, the report must include: 90.9 (1) actual transportation sales tax collections by the county over the previous five calendar 90.10years; 90.11 (2) an estimation of the total sales tax revenue that is estimated to be collected by the 90.12county in the current year and for the next ten calendar years; and 90.13 (3) for each of the previous five calendar years, the current calendar year, and for the 90.14next ten calendar years: 90.15 (i) the amount of sales tax revenue expended or proposed to be expended for each of 90.16the following: 90.17 (A) planning, construction, operation, or maintenance of guideways, as defined in section 90.18473.4485, subdivision 1, paragraph (d); 90.19 (B) nonguideway transit and active transportation uses; 90.20 (C) highway uses; and 90.21 (D) uses not otherwise specified in subitems (A) to (C); 90.22 (ii) completed, current, planned, and eligible projects for each category under item (i); 90.23and 90.24 (iii) an estimated balance of unspent or undesignated county sales tax revenue. 90.25Sec. 57. Minnesota Statutes 2024, section 299A.01, is amended by adding a subdivision 90.26to read: 90.27 Subd. 9.Grant contracts and programs; administrative costs.(a) Notwithstanding 90.28any other law to the contrary, unless money is otherwise appropriated or a percentage is 90.29specified in law for administrative costs, the department may retain the following percentages 90.30of a grant appropriation for staff and related operating costs for grant administration: 90Article 2 Sec. 57. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 91.1 (1) five percent for grants enacted by the legislature, single or sole source grants, and 91.2formula grants; and 91.3 (2) ten percent for competitively awarded grants. 91.4 (b) This subdivision applies to all new and existing grant programs administered by the 91.5department. 91.6 (c) This subdivision does not apply to grants funded with an appropriation of proceeds 91.7from the sale of state general obligation bonds. 91.8 Sec. 58. Minnesota Statutes 2024, section 360.511, is amended by adding a subdivision 91.9to read: 91.10 Subd. 22a.Coordinated unmanned aircraft event."Coordinated unmanned aircraft 91.11event" means a one-day event involving a group of small unmanned aircraft systems that 91.12fly together as a unified and coordinated entity to accomplish a shared entertainment 91.13objective, which may include but is not limited to choreographed flight patterns, synchronized 91.14lighting, and music for visual displays. 91.15Sec. 59. Minnesota Statutes 2024, section 360.511, is amended by adding a subdivision 91.16to read: 91.17 Subd. 23a.Electronic attestation."Electronic attestation" means a statement of fact or 91.18confirmation, submitted by the owner in digital form, regarding the ownership and status 91.19of an aircraft, including a small unmanned aircraft system, and its compliance with applicable 91.20regulations. 91.21 EFFECTIVE DATE.This section is effective August 1, 2025. 91.22Sec. 60. Minnesota Statutes 2024, section 360.55, subdivision 4, is amended to read: 91.23 Subd. 4.Collector's aircraft.(a) For purposes of this subdivision: 91.24 (1) "antique aircraft" means an aircraft constructed by the original manufacturer, or its 91.25licensee, on or before December 31, 1945, with the exception of certain pre-World War II 91.26aircraft models that had only a small postwar production, such as Beechcraft Staggerwing, 91.27Fairchild 24, and Monocoupe; and 91.28 (2) "classic aircraft" means an aircraft constructed by the original manufacturer, or its 91.29licensee, on or after January 1, 1946, and has a first year of life that precedes the date of 91.30registration by at least 50 years. 91Article 2 Sec. 60. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 92.1 (b) If an antique or classic aircraft is owned and operated solely as a collector's item, its 92.2owner may must list it for taxation and registration as follows and execute an electronic 92.3attestation or sworn affidavit stating: A sworn affidavit must be executed stating 92.4 (1) the name and address of the owner,; 92.5 (2) the name and address of the person from whom purchased, seller; 92.6 (3) the aircraft's make, year, model number, federal aircraft registration number, and 92.7manufacturer's identification number,; and 92.8 (4) that the aircraft is owned and operated solely as a collector's item and not for general 92.9transportation or commercial operations purposes. 92.10The electronic attestation or sworn affidavit must be filed with submitted to the commissioner 92.11along with a fee of $25. 92.12 (c) Upon satisfaction that the electronic attestation or sworn affidavit is true and correct, 92.13the commissioner shall must issue to the applicant a registration certificate to the applicant. 92.14The registration certificate is valid without renewal as long as the owner operates the aircraft 92.15solely as a collector's item. 92.16 (d) Should If an antique or classic aircraft be is operated other than as a collector's item, 92.17the registration certificate becomes void and the owner shall must list the aircraft for taxation 92.18and registration in accordance with the other provisions of under sections 360.511 to 360.67. 92.19 (e) Upon the sale of an antique or classic aircraft, the new owner must list the aircraft 92.20for taxation and registration in accordance with this subdivision, including the payment of 92.21a $5 fee to transfer the registration to the new owner, or the other provisions of under sections 92.22360.511 to 360.67, whichever is applicable. 92.23 EFFECTIVE DATE.This section is effective August 1, 2025. 92.24Sec. 61. Minnesota Statutes 2024, section 360.55, subdivision 4a, is amended to read: 92.25 Subd. 4a.Recreational aircraft; classic license.(a) An aircraft that has a base price 92.26for tax purposes under section 360.531 of $10,000 or less, and that is owned and operated 92.27solely for recreational purposes, may be listed for taxation and registration by executing a 92.28an electronic attestation or sworn affidavit stating: 92.29 (1) the name and address of the owner,; 92.30 (2) the name and address of the person from whom purchased, seller; 92Article 2 Sec. 61. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 93.1 (3) the aircraft's make, year, model number, federal aircraft registration number, and 93.2manufacturer's identification number,; and 93.3 (4) that the aircraft is owned and operated solely as a recreational aircraft and not for 93.4commercial operational purposes. 93.5The electronic attestation or sworn affidavit must be filed with submitted to the commissioner 93.6along with an annual $25 fee. 93.7 (b) On being satisfied Upon satisfaction that the electronic attestation or sworn affidavit 93.8is true and correct, the commissioner shall must issue to the applicant a registration certificate 93.9to the applicant. 93.10 (c) Should If the aircraft be is operated other than as a recreational aircraft, the owner 93.11shall must list the aircraft for taxation and registration and pay the appropriate registration 93.12fee under sections 360.511 to 360.67. 93.13 (d) If the aircraft is sold, the new owner shall must list the aircraft for taxation and 93.14registration under this subdivision, including the payment of the annual $25 fee, or under 93.15sections 360.511 to 360.67, whichever is applicable. 93.16 EFFECTIVE DATE.This section is effective August 1, 2025. 93.17Sec. 62. Minnesota Statutes 2024, section 360.55, subdivision 8, is amended to read: 93.18 Subd. 8.Agricultural aircraft.Aircraft registered with the Federal Aviation 93.19Administration as restricted category aircraft used for agricultural purposes must be listed 93.20for taxation and registration upon filing by the owner a sworn affidavit with. The owner 93.21must execute and submit an annual electronic attestation or sworn affidavit to the 93.22commissioner. The electronic attestation or sworn affidavit must state: 93.23 (1) the name and address of the owner; 93.24 (2) the name and address of the person from whom purchased seller; 93.25 (3) the aircraft's make, year, model number, federal registration number, and 93.26manufacturer's identification number; and 93.27 (4) that the aircraft is owned and operated solely for agricultural operations and purposes. 93.28The owner shall file the must submit an electronic attestation or a sworn affidavit to the 93.29commissioner and pay an annual fee established under sections 360.511 to 360.67, which 93.30must not exceed $500. Should If the aircraft be is operated other than for agricultural 93.31purposes, the owner shall must list the aircraft for taxation and registration under sections 93Article 2 Sec. 62. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 94.1360.511 to 360.67. If the aircraft is sold, the new owner shall must list the aircraft for taxation 94.2and registration under this subdivision or under sections 360.511 to 360.67, as applicable. 94.3 EFFECTIVE DATE.This section is effective August 1, 2025. 94.4 Sec. 63. Minnesota Statutes 2024, section 360.55, is amended by adding a subdivision to 94.5read: 94.6 Subd. 10.Coordinated unmanned aircraft system fleets.(a) An operator planning to 94.7conduct a coordinated unmanned aircraft event must register the fleet of small unmanned 94.8aircraft systems at least 15 days before the event. Registration under this subdivision must 94.9be in the manner specified by the commissioner. 94.10 (b) The registration must include: 94.11 (1) the name and contact information of the event organizer; 94.12 (2) the date, time, and location of the event; 94.13 (3) the number of small unmanned aircraft systems to be used; 94.14 (4) proof of liability insurance for the small unmanned aircraft systems; 94.15 (5) a copy of the operator's small unmanned aircraft system pilot's license; and 94.16 (6) a copy of the commercial operator's license. 94.17 (c) A daily registration fee of $2 per small unmanned aircraft system used in the fleet 94.18applies to fleets registered under this subdivision. The fee is in lieu of the registration fee 94.19in subdivision 9. A fleet registered under this subdivision is exempt from the aircraft 94.20registration tax under sections 360.511 to 360.67. 94.21Sec. 64. Minnesota Statutes 2024, section 398A.04, is amended by adding a subdivision 94.22to read: 94.23 Subd. 12.Financial information.An authority associated with a metropolitan county, 94.24as defined in section 473.121, subdivision 4, must annually submit financial information to 94.25the commissioner of transportation as provided under section 174.065 in the manner and 94.26by the dates prescribed by the commissioner. 94.27Sec. 65. Minnesota Statutes 2024, section 473.13, is amended by adding a subdivision to 94.28read: 94.29 Subd. 7.Use of certain investment.The council is subject to the requirements under 94.30section 162.16, subdivision 2. 94Article 2 Sec. 65. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 95.1 EFFECTIVE DATE; APPLICATION.This section is effective the day following 95.2final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 95.3Scott, and Washington. 95.4 Sec. 66. Minnesota Statutes 2024, section 473.39, is amended by adding a subdivision to 95.5read: 95.6 Subd. 1y.Obligations.In addition to other authority in this section, the council may 95.7issue certificates of indebtedness, bonds, or other obligations under this section in an amount 95.8not exceeding $110,800,000 for capital expenditures as prescribed in the council's transit 95.9capital improvement program and for related costs, including the costs of issuance and sale 95.10of the obligations. Of this authorization, after July 1, 2025, the council may issue certificates 95.11of indebtedness, bonds, or other obligations in an amount not exceeding $54,600,000, and 95.12after July 1, 2026, the council may issue certificates of indebtedness, bonds, or other 95.13obligations in an additional amount not exceeding $56,200,000. 95.14 EFFECTIVE DATE; APPLICATION.This section is effective the day following 95.15final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 95.16Scott, and Washington. 95.17Sec. 67. Minnesota Statutes 2024, section 473.39, is amended by adding a subdivision to 95.18read: 95.19 Subd. 3a.General fund impacts.(a) No later than June 30, 2026, and on June 30 of 95.20each subsequent year, the commissioner of revenue must certify to the council an estimate 95.21of the revenue lost to the state general fund in the following fiscal year as a result of the 95.22increase in the council's debt service levy as a result of the authorization under subdivision 95.231y. The estimate must include but is not limited to the effect of the levy on the state's property 95.24tax refund programs and individual income tax collections. 95.25 (b) Beginning in fiscal year 2027, by July 31 in each fiscal year in which the 95.26commissioner of revenue estimates a general fund reduction under paragraph (a), the council 95.27must transfer to the state general fund the amount certified by the commissioner of revenue. 95.28 EFFECTIVE DATE; APPLICATION.This section is effective the day following 95.29final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 95.30Scott, and Washington. 95Article 2 Sec. 67. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 96.1 Sec. 68. Minnesota Statutes 2024, section 473.39, subdivision 6, is amended to read: 96.2 Subd. 6.Limitation; light rail transit.The council is prohibited from expending any 96.3proceeds from certificates of indebtedness, bonds, or other obligations under subdivisions 96.41u, 1w, and 1x, and 1y for project development, land acquisition, or construction to (1) 96.5establish a light rail transit line; or (2) expand a light rail transit line, including by extending 96.6a line or adding additional stops. 96.7 EFFECTIVE DATE; APPLICATION.This section is effective the day following 96.8final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 96.9Scott, and Washington. 96.10Sec. 69. Minnesota Statutes 2024, section 473.408, is amended by adding a subdivision 96.11to read: 96.12 Subd. 11.Transit service for certified disabled riders.(a) The council must provide 96.13regular route transit, as defined in section 473.385, subdivision 1, free of charge to an 96.14individual who is: 96.15 (1) certified as disabled under the Americans with Disabilities Act requirements of the 96.16Federal Transit Administration; or 96.17 (2) certified by the council under section 473.386, subdivision 2a. 96.18 (b) The requirements under this subdivision apply to operators of regular route transit 96.19receiving financial assistance under section 473.388 or operating under section 473.405, 96.20subdivision 12. 96.21 APPLICATION.This section applies in the counties of Anoka, Carver, Dakota, 96.22Hennepin, Ramsey, Scott, and Washington. 96.23Sec. 70. Minnesota Statutes 2024, section 473.4465, is amended by adding a subdivision 96.24to read: 96.25 Subd. 2a.Use of funds; Metropolitan Council; loan authorized.From the amounts 96.26in subdivision 2, paragraph (a), clause (2), the council is authorized to loan to the Department 96.27of Transportation up to $250,000,000 to advance and coordinate highway construction with 96.28one major transitway project in the metropolitan area. Funds may be used for any costs 96.29related to the selected project, including but not limited to predesign, design, engineering, 96.30environmental analysis, right-of-way acquisition including temporary and permanent 96.31easements, and construction. The loan agreement, including repayment terms, must be 96.32mutually agreed to by the council and the Department of Transportation. 96Article 2 Sec. 70. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 97.1 EFFECTIVE DATE; APPLICATION.This section is effective the day following 97.2final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 97.3Scott, and Washington. 97.4 Sec. 71. Minnesota Statutes 2024, section 473.4465, subdivision 4, is amended to read: 97.5 Subd. 4.Use of funds; metropolitan counties; reporting.(a) A metropolitan county 97.6must use revenue from the regional transportation sales and use tax under section 297A.9915 97.7in conformance with the requirements under section 174.49, subdivision 6. 97.8 (b) By February 15 of each even-numbered year, a metropolitan county must submit a 97.9report to the chairs and ranking minority members of the legislative committees with 97.10jurisdiction over transportation policy and finance on the use of funds received under section 97.11297A.9915. This report must be submitted in conjunction with the report required under 97.12section 297A.993, subdivision 2a. At a minimum, the report must include: 97.13 (1) actual sales tax collections allocated to the county over the previous five calendar 97.14years; 97.15 (2) an estimation of the total sales tax revenue that is estimated to be allocated to the 97.16county in the current year and for the next ten calendar years; and 97.17 (3) for each of the previous five calendar years, the current calendar year, and for the 97.18next ten calendar years: 97.19 (i) the amount of sales tax revenue expended or proposed to be expended for each of 97.20the allowable uses under section 174.49, subdivision 6; 97.21 (ii) completed, current, planned, and eligible projects or programs for each category 97.22under item (i); and 97.23 (iii) an estimated balance of unspent or undesignated regional transportation sales and 97.24use tax revenue. 97.25Sec. 72. Laws 2023, chapter 68, article 4, section 109, is amended to read: 97.26Sec. 109. TRAFFIC SAFETY VIOLATIONS DISPOSITION ANALYSIS. 97.27 (a) The commissioner of public safety must enter into an agreement with the Center for 97.28Transportation Studies at the University of Minnesota to conduct an evaluation of the 97.29disposition in recent years of citations for speeding, impairment, distraction, and seatbelt 97.30violations. The evaluation under the agreement must include but is not limited to analysis 97.31of: 97Article 2 Sec. 72. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 98.1 (1) rates of citations issued compared to rates of citations contested in court and the 98.2outcomes of the cases; 98.3 (2) amounts of fines imposed compared to counts and amounts of fine payments; and 98.4 (3) any related changes in patterns of traffic enforcement from 2017 to 2022. 98.5 (b) The agreement must require the Center for Transportation Studies to submit an 98.6interim progress report by July 1, 2024, and a final report by July 1, 2025 January 15, 2026, 98.7to the commissioner and the chairs and ranking minority members of the legislative 98.8committees with jurisdiction over transportation policy and finance and public safety. 98.9 EFFECTIVE DATE.This section is effective the day following final enactment. 98.10Sec. 73. RULEMAKING; LOSS OF VOLUNTARY CONTROL PROVISIONS 98.11MODIFICATION. 98.12 (a) By July 1, 2026, the commissioner of public safety must amend Minnesota Rules, 98.13part 7410.2500, subpart 5, by adding an item F, to no longer require an annual physician's 98.14statement from a driver if: 98.15 (1) a single nonepileptic seizure was responsible for the driver's loss of consciousness 98.16or voluntary control; 98.17 (2) the driver has been free from episodes of loss of consciousness or voluntary control 98.18for five years from the date of the incident under clause (1); 98.19 (3) the driver has not been prescribed or taking any antiseizure medication for five years 98.20from the date of the incident under clause (1); and 98.21 (4) a physician has indicated that no further review of the driver's condition is necessary 98.22due to the driver being in good health and the risk of reoccurrence for the condition 98.23responsible for causing a loss of consciousness or voluntary control is minimal. 98.24 (b) By July 1, 2026, the commissioner of public safety must amend Minnesota Rules, 98.25part 7410.2500, subpart 5, by adding an item G, to no longer require an annual physician's 98.26statement from a driver if: 98.27 (1) the driver has been free from episodes of loss of consciousness or voluntary control 98.28for ten years; 98.29 (2) the driver has not been prescribed or taking any antiseizure medication for ten years; 98.30and 98Article 2 Sec. 73. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 99.1 (3) a physician has indicated that no further review of the driver's condition is necessary 99.2due to the driver being in good health and the risk of reoccurrence for the condition 99.3responsible for causing a loss of consciousness or voluntary control is minimal. 99.4 (c) A review by a physician under Minnesota Rules, part 7410.2500, subpart 5, item F 99.5or G, does not apply to a driver who is required to hold a valid medical examiner's certificate 99.6under Code of Federal Regulations, title 49, section 391.43, and does not constitute a 99.7determination of that driver's physical qualifications as required under Code of Federal 99.8Regulations, title 49, section 391.41. 99.9 (d) The commissioner may use the good cause exemption under Minnesota Statutes, 99.10section 14.388, subdivision 1, clause (3), to adopt rules under this section. Minnesota 99.11Statutes, section 14.386, does not apply except as provided under Minnesota Statutes, section 99.1214.388. 99.13 EFFECTIVE DATE.This section is effective the day following final enactment. 99.14Sec. 74. ADDITIONAL FULL-SERVICE PROVIDER FOR CIRCLE PINES. 99.15 Notwithstanding Minnesota Statutes, sections 168.33 and 171.061, and rules adopted 99.16by the commissioner of public safety limiting sites for the office of deputy registrar or 99.17driver's license agent based on either the distance to an existing deputy registrar or driver's 99.18license agent office or the annual volume of transactions processed by any deputy registrar 99.19or driver's license agent before or after the proposed appointment, the commissioner of 99.20public safety must appoint the deputy registrar of motor vehicles currently at 9201 Lexington 99.21Avenue North in the city of Circle Pines as a driver's license agent to operate as a full-service 99.22office. The addition of a driver's license agent establishes the location as a full-service office 99.23with full authority to function as a registration and motor vehicle tax collection and driver's 99.24license bureau. All other provisions regarding the appointment and operation of a deputy 99.25registrar of motor vehicles and driver's license agent under Minnesota Statutes, sections 99.26168.33 and 171.061, and Minnesota Rules, chapters 7404 and 7406, apply to the office. 99.27Sec. 75. BUS RAPID TRANSIT ALTERNATE MODE ANALYSIS. 99.28 (a) The Metropolitan Council must perform an analysis of alternate transit in the corridor 99.29of the Blue Line light rail transit extension project. At a minimum, the analysis must: 99.30 (1) evaluate bus rapid transit as an alternative mode of transit service in the corridor; 99Article 2 Sec. 75. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 100.1 (2) perform a comparison between light rail transit and bus rapid transit alternatives that 100.2includes life cycle fiscal costs, ridership, transit system impacts, project risks, and any other 100.3relevant costs and benefits; and 100.4 (3) review considerations and develop any recommendations for a project redesign to 100.5implement bus rapid transit in the corridor. 100.6 (b) By January 15, 2026, the Metropolitan Council must submit a report on the analysis 100.7to the chairs and ranking minority members of the legislative committees with jurisdiction 100.8over transportation policy and finance and to the Hennepin County Board of Commissioners. 100.9At a minimum, the report must: 100.10 (1) summarize the analysis; and 100.11 (2) provide information on each of the requirements under paragraph (a), clauses (1) to 100.12(3). 100.13 (c) The council must use existing resources to perform the analysis and report under this 100.14section. 100.15 EFFECTIVE DATE; APPLICATION.This section is effective the day following 100.16final enactment and applies to the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 100.17Scott, and Washington. 100.18Sec. 76. HIGH-SUBSIDY TRANSIT SERVICE ANALYSIS. 100.19 (a) By March 1, 2026, the Metropolitan Council must conduct an analysis of high-subsidy 100.20regional regular route transit service. At a minimum, the analysis must: 100.21 (1) calculate per-passenger operating subsidies for each route operated, by route type, 100.22as identified in the transportation policy plan under Minnesota Statutes, section 473.146; 100.23 (2) estimate the capital and operating savings from discontinuing each route in the highest 100.24tier of per-passenger subsidy, as defined in the transportation policy plan; and 100.25 (3) estimate and evaluate the cost of Metro Mobility rides provided near the highest tier 100.26routes identified under clause (2). 100.27 (b) Within 60 days of a request, a recipient of financial assistance from the Metropolitan 100.28Council under Minnesota Statutes, section 473.388, must provide data and information as 100.29requested by the council that is necessary for the analysis under this section. 100Article 2 Sec. 76. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 101.1 (c) Following completion, the Metropolitan Council must submit a copy of the analysis 101.2to the chairs and ranking minority members of the legislative committees with jurisdiction 101.3over transportation policy and finance. 101.4 (d) The Metropolitan Council must use sales tax revenue under Minnesota Statutes, 101.5section 473.4465, subdivision 2, paragraph (a), clause (2), for the costs of analysis and 101.6reporting under this section. 101.7 EFFECTIVE DATE; APPLICATION.This section is effective the day following 101.8final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, 101.9Scott, and Washington. 101.10Sec. 77. METRO MOBILITY FORECASTING ANALYSIS. 101.11 (a) By February 1, 2026, the commissioner of transportation must conduct an analysis 101.12of Metropolitan Council forecast practices for special transportation service as provided 101.13under Minnesota Statutes, section 473.386, subdivision 10. The commissioner must enter 101.14into an agreement with a third-party entity to perform the forecasting analysis. The third-party 101.15entity must have experience and expertise in transit systems, budgeting, and cost projections 101.16or relevant fiscal modeling. 101.17 (b) At a minimum, the analysis must: 101.18 (1) review data, projections, and assumptions used by the Metropolitan Council to 101.19forecast special transportation service costs and revenue; 101.20 (2) evaluate the forecasting methodology used by the Metropolitan Council; 101.21 (3) identify factors in the rate of anticipated cost growth; 101.22 (4) identify and analyze methods to improve efficiency and reduce costs; and 101.23 (5) develop findings and make recommendations related to the analysis. 101.24 (c) Following completion, the commissioner must submit a copy of the analysis to the 101.25chairs and ranking minority members of the legislative committees with jurisdiction over 101.26transportation policy and finance. 101.27 (d) The Metropolitan Council must provide data and information as requested by the 101.28commissioner on behalf of the third-party entity that is necessary for the analysis under this 101.29section. In the amount identified by the commissioner, the Metropolitan Council must use 101.30sales tax revenue under Minnesota Statutes, section 473.4465, subdivision 2, paragraph (a), 101.31clause (2), for the costs of the forecasting analysis under this section. 101Article 2 Sec. 77. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 102.1 EFFECTIVE DATE; APPLICATION.This section is effective the day following 102.2final enactment. Paragraph (d) applies in the counties of Anoka, Carver, Dakota, Hennepin, 102.3Ramsey, Scott, and Washington. 102.4 ARTICLE 3 102.5 CONFORMING CHANGES 102.6Section 1. Minnesota Statutes 2024, section 169A.55, subdivision 5, is amended to read: 102.7 Subd. 5.Reinstatement of driving privileges; certain criminal vehicular operation 102.8offenses.A person whose driver's license has been revoked under section 171.17, subdivision 102.91, paragraph (a), clause (1) (2) (revocation, criminal vehicular operation), or suspended 102.10under section 171.187 (suspension, criminal vehicular operation), for a violation of section 102.11609.2113, subdivision 1, clause (2), item (i) or (iii), (3), or (4), subdivision 2, clause (2), 102.12item (i) or (iii), (3), or (4), or subdivision 3, clause (2), item (i) or (iii), (3), or (4); or section 102.13609.2114, subdivision 2, clause (2), item (i) or (iii) (criminal vehicular operation, 102.14alcohol-related provisions), resulting in bodily harm, substantial bodily harm, or great bodily 102.15harm, shall not be eligible for reinstatement of driving privileges until the person has 102.16submitted to the commissioner verification of the use of ignition interlock for the applicable 102.17time period specified in those sections. To be eligible for reinstatement under this subdivision, 102.18a person shall utilize an ignition interlock device that meets the performance standards and 102.19certification requirements under subdivision 4, paragraph (c). 102.20Sec. 2. Minnesota Statutes 2024, section 171.2405, subdivision 1, is amended to read: 102.21 Subdivision 1.Establishment.(a) A city or county may establish a license reinstatement 102.22diversion program for holders of class D drivers' licenses who have been charged with 102.23violating section 171.24, subdivision 1 or 2. An individual charged with driving after 102.24revocation under section 171.24, subdivision 2, is eligible for diversion only if the revocation 102.25was due to a violation of section 169.791; 169.797; 169A.52; 169A.54; 171.17, subdivision 102.261, paragraph (a), clause (6) (7); or 171.177. An individual who is a holder of a commercial 102.27driver's license or who has committed an offense in a commercial motor vehicle is not 102.28eligible to participate in the diversion program. Nothing in this section authorizes the issuance 102.29of a driver's license to a diversion program participant during the underlying suspension or 102.30revocation period at issue in the violation of section 171.24, subdivision 1 or 2. 102.31 (b) Notwithstanding any law or ordinance to the contrary, a city or county may contract 102.32with a third party to create and administer the diversion program under this section. Any 102.33participating city or county, at its own expense, may request an audit of the administrator. 102Article 3 Sec. 2. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 103.1 (c) For purposes of this section, "administrator" means the city, county, or administrator 103.2of the program. 103.3Sec. 3. Minnesota Statutes 2024, section 171.301, subdivision 1, is amended to read: 103.4 Subdivision 1.Conditions of issuance.(a) The commissioner may issue a reintegration 103.5driver's license to any person: 103.6 (1) who is 18 years of age or older; 103.7 (2) who has been released from a period of at least 180 consecutive days of confinement 103.8or incarceration in: 103.9 (i) an adult correctional facility under the control of the commissioner of corrections or 103.10licensed by the commissioner of corrections under section 241.021; 103.11 (ii) a federal correctional facility for adults; or 103.12 (iii) an adult correctional facility operated under the control or supervision of any other 103.13state; and 103.14 (3) whose license has been suspended or revoked under the circumstances listed in 103.15section 171.30, subdivision 1, paragraph (a), clauses (1) to (4), for a violation that occurred 103.16before the individual was incarcerated for the period described in clause (2). 103.17 (b) If the person's driver's license or permit to drive has been revoked under section 103.18169.792 or 169.797, the commissioner may only issue a reintegration driver's license to the 103.19person after the person has presented an insurance identification card, policy, or written 103.20statement indicating that the driver or owner has insurance coverage satisfactory to the 103.21commissioner. 103.22 (c) If the person's driver's license or permit to drive has been suspended under section 103.23171.186, the commissioner may only issue a reintegration driver's license to the person after 103.24the commissioner receives notice of a court order provided pursuant to section 518A.65, 103.25paragraph (e), showing that the person's driver's license or operating privileges should no 103.26longer be suspended. 103.27 (d) If the person's driver's license has been revoked under section 171.17, subdivision 103.281, paragraph (a), clause (1) or (2), the commissioner may only issue a reintegration driver's 103.29license to the person after the person has completed the applicable revocation period. 103.30 (e) The commissioner must not issue a reintegration driver's license: 103Article 3 Sec. 3. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 104.1 (1) to any person described in section 171.04, subdivision 1, clause (7), (8), (10), or 104.2(11); 104.3 (2) to any person described in section 169A.55, subdivision 5; 104.4 (3) if the person has committed a violation after the person was released from custody 104.5that results in the suspension, revocation, or cancellation of a driver's license, including 104.6suspension for nonpayment of child support or maintenance payments as described in section 104.7171.186, subdivision 1; or 104.8 (4) if the issuance would conflict with the requirements of the nonresident violator 104.9compact. 104.10 (f) The commissioner must not issue a class A, class B, or class C reintegration driver's 104.11license. 104.12Sec. 4. Minnesota Statutes 2024, section 171.306, subdivision 1, is amended to read: 104.13 Subdivision 1.Definitions.(a) As used in this section, the terms in this subdivision have 104.14the meanings given them. 104.15 (b) "Ignition interlock device" or "device" means equipment that is designed to measure 104.16breath alcohol concentration and to prevent a motor vehicle's ignition from being started 104.17by a person whose breath alcohol concentration measures 0.02 or higher on the equipment. 104.18 (c) "Location tracking capabilities" means the ability of an electronic or wireless device 104.19to identify and transmit its geographic location through the operation of the device. 104.20 (d) "Program participant" means a person who has qualified to take part in the ignition 104.21interlock program under this section, and whose driver's license has been: 104.22 (1) revoked, canceled, or denied under section 169A.52; 169A.54; 171.04, subdivision 104.231, clause (10); or 171.177; or 104.24 (2) revoked under section 171.17, subdivision 1, paragraph (a), clause (1) (2), or 104.25suspended under section 171.187, for a violation of section 609.2113, subdivision 1, clause 104.26(2), item (i) or (iii), (3), or (4); subdivision 2, clause (2), item (i) or (iii), (3), or (4); or 104.27subdivision 3, clause (2), item (i) or (iii), (3), or (4); or 609.2114, subdivision 2, clause (2), 104.28item (i) or (iii), (3), or (4), resulting in bodily harm, substantial bodily harm, or great bodily 104.29harm. 104.30 (e) "Qualified prior impaired driving incident" has the meaning given in section 169A.03, 104.31subdivision 22. 104Article 3 Sec. 4. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 105.1Sec. 5. Minnesota Statutes 2024, section 171.306, subdivision 4, is amended to read: 105.2 Subd. 4.Issuance of restricted license.(a) The commissioner shall issue a class D 105.3driver's license, subject to the applicable limitations and restrictions of this section, to a 105.4program participant who meets the requirements of this section and the program guidelines. 105.5The commissioner shall not issue a license unless the program participant has provided 105.6satisfactory proof that: 105.7 (1) a certified ignition interlock device has been installed on the participant's motor 105.8vehicle at an installation service center designated by the device's manufacturer; and 105.9 (2) the participant has insurance coverage on the vehicle equipped with the ignition 105.10interlock device. If the participant has previously been convicted of violating section 169.791, 105.11169.793, or 169.797 or the participant's license has previously been suspended, revoked, or 105.12canceled under section 169.792 or 169.797, the commissioner shall require the participant 105.13to present an insurance identification card that is certified by the insurance company to be 105.14noncancelable for a period not to exceed 12 months. 105.15 (b) A license issued under authority of this section must contain a restriction prohibiting 105.16the program participant from driving, operating, or being in physical control of any motor 105.17vehicle not equipped with a functioning ignition interlock device certified by the 105.18commissioner. A participant may drive an employer-owned vehicle not equipped with an 105.19interlock device while in the normal course and scope of employment duties pursuant to 105.20the program guidelines established by the commissioner and with the employer's written 105.21consent. 105.22 (c) A program participant whose driver's license has been: (1) revoked under section 105.23169A.52, subdivision 3, paragraph (a), clause (1), (2), or (3), or subdivision 4, paragraph 105.24(a), clause (1), (2), or (3); 169A.54, subdivision 1, clause (1), (2), (3), or (4); or 171.177, 105.25subdivision 4, paragraph (a), clause (1), (2), or (3), or subdivision 5, paragraph (a), clause 105.26(1), (2), or (3); or (2) revoked under section 171.17, subdivision 1, paragraph (a), clause (1) 105.27(2), or suspended under section 171.187, for a violation of section 609.2113, subdivision 105.281, clause (2), item (i) or (iii), (3), or (4); subdivision 2, clause (2), item (i) or (iii), (3), or 105.29(4); or subdivision 3, clause (2), item (i) or (iii), (3), or (4); or 609.2114, subdivision 2, 105.30clause (2), item (i) or (iii), (3), or (4), resulting in bodily harm, substantial bodily harm, or 105.31great bodily harm, where the participant has fewer than two qualified prior impaired driving 105.32incidents within the past ten years or fewer than three qualified prior impaired driving 105.33incidents ever; may apply for conditional reinstatement of the driver's license, subject to 105.34the ignition interlock restriction. 105Article 3 Sec. 5. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT 106.1 (d) A program participant whose driver's license has been: (1) revoked, canceled, or 106.2denied under section 169A.52, subdivision 3, paragraph (a), clause (4), (5), or (6), or 106.3subdivision 4, paragraph (a), clause (4), (5), or (6); 169A.54, subdivision 1, clause (5), (6), 106.4or (7); or 171.177, subdivision 4, paragraph (a), clause (4), (5), or (6), or subdivision 5, 106.5paragraph (a), clause (4), (5), or (6); or (2) revoked under section 171.17, subdivision 1, 106.6paragraph (a), clause (1) (2), or suspended under section 171.187, for a violation of section 106.7609.2113, subdivision 1, clause (2), item (i) or (iii), (3), or (4); subdivision 2, clause (2), 106.8item (i) or (iii), (3), or (4); or subdivision 3, clause (2), item (i) or (iii), (3), or (4); or 106.9609.2114, subdivision 2, clause (2), item (i) or (iii), (3), or (4), resulting in bodily harm, 106.10substantial bodily harm, or great bodily harm, where the participant has two or more qualified 106.11prior impaired driving incidents within the past ten years or three or more qualified prior 106.12impaired driving incidents ever; may apply for conditional reinstatement of the driver's 106.13license, subject to the ignition interlock restriction, if the program participant is enrolled in 106.14a licensed substance use disorder treatment or rehabilitation program as recommended in 106.15a chemical use assessment. As a prerequisite to eligibility for eventual reinstatement of full 106.16driving privileges, a participant whose chemical use assessment recommended treatment 106.17or rehabilitation shall complete a licensed substance use disorder treatment or rehabilitation 106.18program. If the program participant's ignition interlock device subsequently registers a 106.19positive breath alcohol concentration of 0.02 or higher, the commissioner shall extend the 106.20time period that the participant must participate in the program until the participant has 106.21reached the required abstinence period described in section 169A.55, subdivision 4. 106.22 (e) Notwithstanding any statute or rule to the contrary, the commissioner has authority 106.23to determine when a program participant is eligible for restoration of full driving privileges, 106.24except that the commissioner shall not reinstate full driving privileges until the program 106.25participant has met all applicable prerequisites for reinstatement under section 169A.55 and 106.26until the program participant's device has registered no positive breath alcohol concentrations 106.27of 0.02 or higher during the preceding 90 days. 106Article 3 Sec. 5. REVISOR KRB H2438-1HF2438 FIRST ENGROSSMENT Page.Ln 2.2APPROPRIATIONS...............................................................................ARTICLE 1 Page.Ln 43.24TRANSPORTATION FINANCE AND POLICY..................................ARTICLE 2 Page.Ln 102.4CONFORMING CHANGES.................................................................ARTICLE 3 1 APPENDIX Article locations for H2438-1