Minnesota 2025-2026 Regular Session

Minnesota Senate Bill SF2886 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	1.1 A bill for an act
2	2	1.2 relating to Metropolitan Council; consolidating and modifying certain financial
3	3	1.3 reporting requirements for transportation services; amending Minnesota Statutes
4	4	1.4 2024, sections 473.13, subdivisions 1, 6; 473.386, subdivision 10; 473.412,
5	5	1.5 subdivision 3; repealing Minnesota Statutes 2024, section 473.452.
6	6	1.6BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
7	7	1.7 Section 1. Minnesota Statutes 2024, section 473.13, subdivision 1, is amended to read:
8	8	1.8 Subdivision 1.Budget.(a) On or before December 20 of each year, the council shall
9	9	1.9adopt a final budget covering its anticipated receipts and disbursements for the ensuing year
10	10	1.10and shall decide upon the total amount necessary to be raised from ad valorem tax levies
11	11	1.11to meet its budget. The budget shall state in detail the expenditures for each program to be
12	12	1.12undertaken, including the expenses for salaries, consultant services, overhead, travel, printing,
13	13	1.13and other items. The budget shall state in detail the capital expenditures of the council for
14	14	1.14the budget year, based on a five-year capital program adopted by the council and transmitted
15	15	1.15to the legislature. After adoption of the budget and no later than five working days after
16	16	1.16December 20, the council shall certify to the auditor of each metropolitan county the share
17	17	1.17of the tax to be levied within that county, which must be an amount bearing the same
18	18	1.18proportion to the total levy agreed on by the council as the net tax capacity of the county
19	19	1.19bears to the net tax capacity of the metropolitan area. The maximum amount of any levy
20	20	1.20made for the purpose of this chapter may not exceed the limits set by the statute authorizing
21	21	1.21the levy.
22	22	1.22 (b) Each even-numbered year the council shall prepare for its transit programs a financial
23	23	1.23plan for the succeeding three calendar years, in half-year segments. The financial plan must
24	24	1.24contain schedules of user charges and any changes in user charges planned or anticipated
25	25	1Section 1.
26	26	25-00265 as introduced12/11/24 REVISOR EB/KR
27	27	SENATE
28	28	STATE OF MINNESOTA
29	29	S.F. No. 2886NINETY-FOURTH SESSION
30	30	(SENATE AUTHORS: JOHNSON STEWART and Dibble)
31	31	OFFICIAL STATUSD-PGDATE
32	32	Introduction and first reading03/24/2025
33	33	Referred to Transportation 2.1by the council during the period of the plan. The financial plan must contain a proposed
34	34	2.2request for state financial assistance for the succeeding biennium.
35	35	2.3 (c) (b) In addition, the budget must show for each year:
36	36	2.4 (1) the estimated operating revenues from all sources including funds on hand at the
37	37	2.5beginning of the year, and estimated expenditures for costs of operation, administration,
38	38	2.6maintenance, and debt service;
39	39	2.7 (2) capital improvement funds estimated to be on hand at the beginning of the year and
40	40	2.8estimated to be received during the year from all sources and estimated cost of capital
41	41	2.9improvements to be paid out or expended during the year, all in such detail and form as the
42	42	2.10council may prescribe; and
43	43	2.11 (3) the estimated source and use of pass-through funds.
44	44	2.12 Sec. 2. Minnesota Statutes 2024, section 473.13, subdivision 6, is amended to read:
45	45	2.13 Subd. 6.Transportation financial review.(a) Annually by January 15, the council
46	46	2.14must submit a financial review that details revenue and expenditures for the transportation
47	47	2.15components under the council's budget, as specified in paragraph (c). A financial review
48	48	2.16submitted under this paragraph must provide the information using state fiscal years.
49	49	2.17 (b) Annually by the earlier of the accounting close of a budget year or August 15, the
50	50	2.18council must submit a financial review update that provides the following for the most
51	51	2.19recent completed budget year: actual revenues; expenditures; transfers; reserves; balances;
52	52	2.20and a comparison between the budgeted and actual amounts. A financial review update
53	53	2.21under this paragraph must include the information specified in paragraph (d).
54	54	2.22 (c) At a minimum, a financial review must identify:
55	55	2.23 (1) the actual revenues, expenditures, transfers, reserves, and balances in each of the
56	56	2.24previous four years;
57	57	2.25 (2) budgeted and forecasted revenues, expenditures, transfers, reserves, and balances in
58	58	2.26the current year and each year within the state forecast period;
59	59	2.27 (3) for the most recent completed year, a comparison between the budgeted and actual
60	60	2.28amounts under clause (1); and
61	61	2.29 (4) for the most recent completed year, fund balances for each replacement service
62	62	2.30provider under section 473.388. By December 15 each year, each replacement service
63	63	2.31provider under section 473.388 must report to the council its projected total operating
64	64	2.32expenditures and projected operating reserve fund balance as of the previous December 31.
65	65	2Sec. 2.
66	66	25-00265 as introduced12/11/24 REVISOR EB/KR 3.1 (d) The information under paragraph (c), clauses (1) to (3), must include:
67	67	3.2 (1) a breakdown by each transportation funding source identified by the council, including
68	68	3.3but not limited to legislative appropriations; federal funds; fare collections; property tax;
69	69	3.4and sales tax, including sales tax used for active transportation under section 473.4465,
70	70	3.5subdivision 2, paragraph (a), clause (1);
71	71	3.6 (2) a breakdown by each transportation operating budget category established by the
72	72	3.7council, including but not limited to bus, light rail transit, commuter rail, planning, special
73	73	3.8transportation service under section 473.386, and assistance to replacement service providers
74	74	3.9under section 473.388; and
75	75	3.10 (3) data for operations, capital maintenance, and transit capital.
76	76	3.11 (e) A financial review under paragraph (a) or (b) must provide information or a
77	77	3.12methodology sufficient to establish a conversion between state fiscal years and budget years,
78	78	3.13summarize reserve policies, identify the methodology for cost allocation, and describe
79	79	3.14revenue assumptions and variables affecting the assumptions.
80	80	3.15 (f) The council must submit each financial review to the chairs and ranking minority
81	81	3.16members of the legislative committees and divisions with jurisdiction over transportation
82	82	3.17policy and finance and to the commissioner of management and budget.
83	83	3.18 EFFECTIVE DATE.This section is effective the day following final enactment and
84	84	3.19applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
85	85	3.20 Sec. 3. Minnesota Statutes 2024, section 473.386, subdivision 10, is amended to read:
86	86	3.21 Subd. 10.Forecasted funding.(a) For purposes of this subdivision, "biennium" and
87	87	3.22"fiscal year" have the meanings given in section 16A.011, subdivisions 6 and 14, respectively.
88	88	3.23 (b) In each February and November forecast of state revenues and expenditures under
89	89	3.24section 16A.103, the commissioner of management and budget must incorporate a state
90	90	3.25obligation from the general fund for the annual net costs to the council to implement the
91	91	3.26special transportation service under this section. Notwithstanding section 16A.11, subdivision
92	92	3.273, the appropriation base in each fiscal year of the upcoming biennium is as determined in
93	93	3.28this subdivision.
94	94	3.29 (c) The commissioner must determine net costs under paragraph (b) as:
95	95	3.30 (1) the amount necessary to:
96	96	3.31 (i) maintain service levels accounting for expected demand, including service area, hours
97	97	3.32of service, ride scheduling requirements, and fares per council policy;
98	98	3Sec. 3.
99	99	25-00265 as introduced12/11/24 REVISOR EB/KR 4.1 (ii) maintain the general existing condition of the special transportation service bus fleet,
100	100	4.2including bus maintenance and replacement; and
101	101	4.3 (iii) meet the requirements of this section; plus
102	102	4.4 (2) the amount of forecast adjustments, as determined by the commissioner of
103	103	4.5management and budget in consultation with the council, necessary to match (i) actual
104	104	4.6special transportation service program costs in the prior fiscal year, and (ii) adjusted program
105	105	4.7costs forecasted for the second year of the current biennium, for a forecast prepared in the
106	106	4.8first year of the biennium; less
107	107	4.9 (3) funds identified for the special transportation service from nonstate sources.
108	108	4.10 (d) In conjunction with each February and November forecast, the council must submit
109	109	4.11a financial review of the special transportation service to the chairs and ranking minority
110	110	4.12members of the legislative committees with jurisdiction over transportation policy and
111	111	4.13finance and to the commissioner of management and budget. At a minimum, the financial
112	112	4.14review must include:
113	113	4.15 (1) a summary of special transportation service sources of funds and expenditures for
114	114	4.16the prior two fiscal years and each fiscal year of the forecast period, which must include:
115	115	4.17 (i) a breakout by expenditures categories; and
116	116	4.18 (ii) information that is sufficient to identify a conversion between state fiscal years and
117	117	4.19the fiscal years of the council;
118	118	4.20 (2) details on cost assumptions used in the forecast;
119	119	4.21 (3) information on ridership and farebox recovery rates for the prior two fiscal years
120	120	4.22and each fiscal year of the forecast period;
121	121	4.23 (4) identification of the amount of appropriations necessary for any forecast adjustments
122	122	4.24as identified under paragraph (c), clause (2); and
123	123	4.25 (5) information as prescribed by the commissioner.
124	124	4.26 Sec. 4. Minnesota Statutes 2024, section 473.412, subdivision 3, is amended to read:
125	125	4.27 Subd. 3.Report required; cleaning standards and expenditures.(a) By October 1,
126	126	4.282024, and every year thereafter, Annually by February 15, the Metropolitan Council must
127	127	4.29report to the chairs and ranking minority members of the legislative committees with
128	128	4.30jurisdiction over transit policy and finance on transit cleanliness and the ridership experience.
129	129	4Sec. 4.
130	130	25-00265 as introduced12/11/24 REVISOR EB/KR 5.1 (b) The report under paragraph (a) must provide information on the council's cleanliness
131	131	5.2standards required under subdivision 2, including whether the council adopted new
132	132	5.3cleanliness standards or revisions to current cleanliness standards. A report prepared under
133	133	5.4this subdivision must include information gathered from the required public feedback on
134	134	5.5cleanliness and rider experience required in subdivision 2, paragraph (b). The council must
135	135	5.6consider and recommend revisions to cleanliness standards based on the collection of public
136	136	5.7feedback and must summarize feedback received by the council in the report.
137	137	5.8 (c) A report submitted under this subdivision must include:
138	138	5.9 (1) the total expenditures for cleaning and repairing transit stations and transit vehicles;
139	139	5.10 (2) the frequency, type, and location of repairs;
140	140	5.11 (3) whether specific transit stations needed a higher proportion of cleaning or repairs
141	141	5.12and detail the council's strategy to resolve identified and persistent concerns at those
142	142	5.13locations;
143	143	5.14 (4) recommendations to address workforce challenges for the implementation and
144	144	5.15maintenance of cleanliness and repair standards adopted by the council, including whether
145	145	5.16the council maintained agreements with third-party services for cleaning and repair; and
146	146	5.17 (5) whether the council has adopted preventative measures against vandalism or graffiti;
147	147	5.18and.
148	148	5.19 (6) any recommendations for additions to the transit rider code of conduct under section
149	149	5.20473.4065 or the transit rider investment program under section 473.4075.
150	150	5.21 Sec. 5. REPEALER.
151	151	5.22 Minnesota Statutes 2024, section 473.452, is repealed.
152	152	5Sec. 5.
153	153	25-00265 as introduced12/11/24 REVISOR EB/KR 473.452 TRANSIT OPERATING RESERVES; REPORT.
154	154	(a) By December 15 each year, each replacement service provider under section 473.388 must
155	155	report to the council its projected total operating expenses for the current state fiscal year and its
156	156	projected operating reserve fund balance as of the previous July 31.
157	157	(b) By January 15 each year, the council must submit a report to the chairs and ranking minority
158	158	members of the legislative committees with jurisdiction over transportation policy and finance. The
159	159	report must include:
160	160	(1) the information from each provider received under paragraph (a); and
161	161	(2) the council's projected total operating expenses for the current state fiscal year and its
162	162	projected operating reserve fund balance as of the previous July 31.
163	163	1R
164	164	APPENDIX
165	165	Repealed Minnesota Statutes: 25-00265