1.1 A bill for an act 1.2 relating to transportation; requiring local approval for commercial and intercity 1.3 rail projects; modifying certain duties of commissioner of transportation; amending 1.4 Minnesota Statutes 2024, sections 174.82; 174.84, subdivision 2; 174.86, 1.5 subdivisions 1, 2, 3, 4; proposing coding for new law in Minnesota Statutes, chapter 1.6 174. 1.7BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.8 Section 1. [174.81] LOCAL APPROVAL OF COMMUTER RAIL PROJECTS 1.9REQUIRED. 1.10 (a) Before any intercity or commuter rail project may commence planning, development, 1.11or construction, the commissioner must receive approval from each statutory and home rule 1.12charter city, county, or town in which a proposed commuter rail project is to be located. 1.13The local unit of government's approval of the commuter rail project must actively affirm 1.14the project and enable the commissioner to begin development of an advanced corridor plan 1.15under the requirements of section 174.86. 1.16 (b) The approval of the commissioner's commuter rail plan by a local unit of government 1.17must either be: 1.18 (1) a formal resolution adopted by the governing body of the local government; or 1.19 (2) voted on at the next general election and, if approved by a majority of those voting 1.20on the question, becomes effective following the final canvass of the election. 1Section 1. REVISOR KRB/ES 25-0215001/23/25 State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 2686 NINETY-FOURTH SESSION Authored by Altendorf and Joy03/24/2025 The bill was read for the first time and referred to the Committee on Transportation Finance and Policy 2.1 Sec. 2. Minnesota Statutes 2024, section 174.82, is amended to read: 2.2 174.82 COMMUTER RAIL; COMMISSIONER'S DUTIES; CONTRACTS. 2.3 The planning, development, construction, operation, and maintenance of commuter rail 2.4track, facilities, and services are governmental functions, serve a public purpose, and are a 2.5matter of public necessity. Upon approval of a project that reflects the needs and preferences 2.6of local communities, the commissioner shall be is responsible for all aspects of planning, 2.7developing, constructing, operating, and maintaining commuter rail, including system 2.8planning, advanced corridor planning, preliminary engineering, final design, construction, 2.9negotiating with railroads, and developing financial and operating plans. The commissioner 2.10may enter into a memorandum of understanding or agreement with a public or private entity, 2.11including a regional railroad authority, a joint powers board, and a railroad, to carry out 2.12these activities. The commissioner, or public entity contracting with the commissioner, may 2.13contract with a railroad that is a Class I railroad under federal law for the joint or shared 2.14use of the railroad's right-of-way or the construction, operation, or maintenance of rail track, 2.15facilities, or services for commuter rail purposes. Notwithstanding section 3.732, subdivision 2.161, clause (2), or section 466.01, subdivision 6, sections 466.04 and 466.06 govern the liability 2.17of the Class I railroad and its employees arising from the joint or shared use of the railroad 2.18right-of-way or the provision of commuter rail construction, operation, or maintenance 2.19services pursuant to the contract. Notwithstanding any law to the contrary, a contract with 2.20the Class I railroad for any commuter rail service, or joint or shared use of the railroad's 2.21right-of-way, may also provide for the allocation of financial responsibility, indemnification, 2.22and the procurement of insurance for the parties for all types of claims or damages. A 2.23contract entered into under this section does not affect rights of employees under the federal 2.24Employers' Liability Act, United States Code, title 45, section 51 et seq., or the federal 2.25Railway Labor Act, United States Code, title 45, section 151 et seq. 2.26 Sec. 3. Minnesota Statutes 2024, section 174.84, subdivision 2, is amended to read: 2.27 Subd. 2.Approval of commuter rail system plan.The commuter rail system plan must 2.28be approved by each statutory and home rule charter city, county, and town and metropolitan 2.29planning organizations in areas in which commuter rail will be located before the 2.30commissioner may begin final design of commuter rail facilities. Following approval of the 2.31plan under the requirements of section 174.81 for local units of government, the 2.32commissioner shall must act in conformity with the plan. The commissioner shall must 2.33ensure that final design plans are consistent with the commuter rail plan. 2Sec. 3. REVISOR KRB/ES 25-0215001/23/25 3.1 Sec. 4. Minnesota Statutes 2024, section 174.86, subdivision 1, is amended to read: 3.2 Subdivision 1.Advanced corridor plan; public hearing.Upon approval of the 3.3commuter rail plan by each statutory and home rule charter city, county, and town in which 3.4the route is to be located as required in section 174.81 and before a final design plan is 3.5prepared for commuter rail facilities, the commissioner must hold a public hearing on the 3.6physical design component of the advanced corridor plan. The commissioner must provide 3.7appropriate public notice of the hearing and publicity to ensure that affected parties have 3.8an opportunity to present their views at the hearing. The commissioner shall must summarize 3.9the proceedings and testimony and maintain the record of a hearing held under this 3.10subdivision, including any written statements submitted. 3.11 Sec. 5. Minnesota Statutes 2024, section 174.86, subdivision 2, is amended to read: 3.12 Subd. 2.Physical design component; local participation.At least 30 days before the 3.13hearing under subdivision 1, the commissioner shall submit the physical design component 3.14of the advanced corridor plan to the governing body of each statutory and home rule charter 3.15city, county, and town in which the route is to be located. (a) Upon approval of the commuter 3.16rail location by each statutory and home rule charter city, county, and town in which the 3.17commuter rail project is to be located as provided in section 174.81, the commissioner must 3.18submit the physical design component of the advanced corridor plan to each approving local 3.19unit of government at least 30 days before the hearing under subdivision 1. 3.20 (b) Within 45 days after the hearing under subdivision 1, the city, county, or town shall 3.21in which the commuter rail project is located must: 3.22 (1) review and comment on the advanced corridor plan. Within 45 days of the hearing, 3.23a city or town shall approve or disapprove the location and design of the station to be located 3.24in the city or town. and provide either its approval or disapproval; and 3.25 (2) approve or disapprove the location and design of the commuter rail station to be 3.26located in the city or town. 3.27 (c) A city or town that disapproves shall a plan under paragraph (b) must describe specific 3.28amendments to the plan that, if adopted, would cause the city or town to withdraw its 3.29disapproval. 3.30 (d) Failure to comment in writing within 45 days after the hearing is deemed to be 3.31accepted an approval unless an extension of time is agreed to by the metropolitan planning 3.32organization and local unit of government and the commissioner of transportation. The 3.33commissioner may not proceed with modifications to the advanced corridor plan or any 3Sec. 5. REVISOR KRB/ES 25-0215001/23/25 4.1other final design plan component until each statutory and home rule charter city, county, 4.2and town in which the route is to be located submits specific amendments to the plan or its 4.3approval to the commissioner. 4.4 Sec. 6. Minnesota Statutes 2024, section 174.86, subdivision 3, is amended to read: 4.5 Subd. 3.Modification of advanced corridor plan.After the hearing under subdivision 4.61, and after the receipt of comment specific amendments by a local unit of government 4.7under subdivision 2, the commissioner may must modify the advanced corridor plan. 4.8 Sec. 7. Minnesota Statutes 2024, section 174.86, subdivision 4, is amended to read: 4.9 Subd. 4.Advanced corridor plan; metropolitan planning organization review.Upon 4.10approval of the commuter rail plan by each statutory and home rule charter city, county, 4.11and town in which the commuter rail component is to be located as provided in section 4.12174.81 and before constructing commuter rail facilities, the commissioner shall must submit 4.13the advanced corridor plan to each metropolitan planning organization in which the route 4.14is to be located. The metropolitan planning organization shall must hold a hearing on the 4.15plan allowing the commissioner, local governmental units, and other persons to present 4.16their views as to whether the plan is consistent with the metropolitan planning organization's 4.17development guide. Within 60 days after the hearing, the metropolitan planning organization 4.18shall must review the plan submitted by the commissioner to determine whether it is 4.19consistent with the development guide. If the plan is consistent with the development guide, 4.20the metropolitan planning organization shall must approve it. If the plan is not consistent 4.21with the development guide, the metropolitan planning organization shall must submit to 4.22the commissioner proposed amendments to the plan to make it consistent with the 4.23development guide. The commissioner must not continue development of the advanced 4.24corridor plan or the final design plan until it receives approval or proposed amendments 4.25from the metropolitan planning organization. The commissioner shall must incorporate the 4.26proposed amendments into the final design plan. 4Sec. 7. REVISOR KRB/ES 25-0215001/23/25