HF 3883

HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
This Document can be made available  Printed
in alternative formats upon request  State of Minnesota  Page No.      339
  HOUSE OF REPRESENTATIVES
  NINETY-FOURTH SESSION
  H. F. No.  3883
03/02/2026     Authored by Freiberg and Acomb
  The bill was read for the first time and referred to the Committee on Elections Finance and Government Operations
04/09/2026     Adoption of Report: Placed on the General Register as Amended
  Read for the Second Time
1.1A bill for an act
1.2relating to metropolitan government; modifying requirements for certain
1.3Metropolitan Council programs; modifying requirements for contracts; modifying
1.4certain reporting requirements to the legislature; removing Metropolitan Council
1.5and regional development commission review of certain city housing finance
1.6programs; making technical corrections; amending Minnesota Statutes 2024,
1.7sections 473.149, subdivision 1; 473.1565; 473.165; 473.173, subdivision 6;
1.8473.245; 473.25; 473.251; 473.252, subdivision 1a; 473.253; 473.254, subdivisions
1.96, 8; 473.255, subdivision 1; 473.351, subdivision 3; 473.355, subdivision 2;
1.10473.621, subdivision 6; 473.851; 473.859, subdivision 1; 473.864, subdivision 2;
1.11473H.08, subdivision 3; Minnesota Statutes 2025 Supplement, sections 462C.04,
1.12subdivision 2; 473.142; repealing Minnesota Statutes 2024, sections 473.144;
1.13473.254, subdivisions 1, 2, 9; 473.859, subdivision 2a.
1.14BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.15Section 1. Minnesota Statutes 2025 Supplement, section 462C.04, subdivision 2, is amended
1.16to read:
1.17Subd. 2. Program review. A public hearing shall be held on each program after one
1.18publication of notice in a newspaper circulating generally in the city, at least ten days before
1.19the hearing. On or before the day on which notice of the public hearing is published, the
1.20city shall submit the program to the Metropolitan Council, if the city is located in the
1.21metropolitan area as defined in section 473.121, subdivision 2, or to the regional development
1.22commission for the area in which the city is located, if any, for review and comment. The
1.23appropriate reviewing agency shall comment on:
1.24(a) whether the program furthers local and regional housing policies and is consistent
1.25with the Metropolitan Development Guide, if the city is located in the metropolitan area,
1.26or adopted policies of the regional development commission; and
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HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
2.1      (b) the compatibility of the program with the housing portion of the comprehensive plan
2.2  of the city, if any.
2.3      Review of the program may be conducted either by the board of the reviewing agency
2.4  or by the staff of the agency. Any comment submitted by the reviewing agency to the city
2.5  must be presented to the body considering the proposed program at the public hearing held
2.6  on the program.
2.7      A member or employee of the reviewing agency shall be permitted to present the
2.8  comments of the reviewing agency at the public hearing. After conducting the public hearing,
2.9  the program may be adopted with or without amendment, provided that any amendments
2.10 must not be inconsistent with the comments, if any, of the reviewing agency and must not
2.11 contain any material changes from the program submitted to the reviewing agency other
2.12 than changes in the financial aspects of any proposed issue of bonds or obligations. If an
2.13 amendment contains any material change other than a change in the financial aspects of a
2.14 proposed issue of bonds or obligations, or any change which is inconsistent with the
2.15 comments of the reviewing agency is adopted, the amended program shall be resubmitted
2.16 to the appropriate reviewing agency for review and comment, and a public hearing shall be
2.17 held on the amended program after one publication of notice in a newspaper circulating
2.18 generally in the city at least ten days before the hearing. The amended program shall be
2.19 considered after the public hearing in the same manner as consideration of the initial program.
2.20     EFFECTIVE DATE. This section is effective the day following final enactment.
2.21   Sec. 2. Minnesota Statutes 2025 Supplement, section 473.142, is amended to read:
2.22     473.142 SMALL BUSINESSES.
2.23     Subdivision 1. Preference awards. (a) The Metropolitan Council and agencies specified
2.24 in section 473.143, subdivision 1, may award a preference up to the percentage under section
2.25 16C.16, subdivision 6, paragraph (a), for specified goods or services to small targeted group
2.26 businesses and veteran-owned small businesses designated under section 16C.16. The
2.27 council and each agency specified in section 473.143, subdivision 1, may award a preference
2.28 up to the percentage under section 161.321, subdivision 2, paragraph (a), in the amount bid
2.29 for specified construction work to small targeted group businesses and veteran-owned small
2.30 businesses designated under section 16C.16.
2.31     Subd. 2. Designations. (b) The council and each agency specified in section 473.143,
2.32 subdivision 1, may designate a contract for construction, goods, or services for award only
2.33 to small businesses or small targeted group businesses designated under section 16C.16 if
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HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
3.1  the council or agency determines that at least three small businesses or small targeted group
3.2  businesses are likely to respond to a solicitation. The council and each agency specified in
3.3  section 473.143, subdivision 1, may designate a contract for construction, goods, or services
3.4  for award only to veteran-owned small businesses designated under section 16C.16 if the
3.5  council or agency determines that at least three veteran-owned small businesses are likely
3.6  to respond to a solicitation.
3.7      Subd. 3. Contract requirements. (c) The council and each agency specified in section
3.8  473.143, subdivision 1, as a condition of awarding or approving a contract, may set goals
3.9  that require the prime contractor to subcontract a portion of the contract to small businesses,
3.10 small targeted group businesses and, or veteran-owned small businesses designated under
3.11 section 16C.16. The council or agency must establish a procedure for granting waivers from
3.12 the subcontracting requirement when qualified small businesses, small targeted group
3.13 businesses and, or veteran-owned small businesses are not reasonably available. The council
3.14 or agency may establish financial incentives for prime contractors who exceed the goals
3.15 for use of subcontractors and financial penalties for prime contractors who fail to meet goals
3.16 under this paragraph subdivision. The subcontracting requirements of this paragraph
3.17 subdivision do not apply to prime contractors who are small businesses, small targeted
3.18 group businesses and, or veteran-owned small businesses. At least 75 percent of the value
3.19 of the subcontracts awarded to small targeted group businesses under this paragraph
3.20 subdivision must be performed by the business to which the subcontract is awarded or by
3.21 another small targeted group business. At least 75 percent of the value of the subcontracts
3.22 awarded to veteran-owned small businesses under this paragraph subdivision must be
3.23 performed by the business to which the subcontract is awarded or another veteran-owned
3.24 small business.
3.25     Subd. 4. Direct solicitation. (d) The council and each agency listed in section 473.143,
3.26 subdivision 1, may award a contract for construction, goods, or services directly to small
3.27 businesses, small targeted group businesses, or veteran-owned small businesses designated
3.28 under section 16C.16, up to a total contract award value, including extension options, of
3.29 the amount specified in section 16C.16, subdivision 6, paragraph (b), without completing
3.30 a competitive solicitation process.
3.31     Subd. 5. Authorized rulemaking. (e) The council and each agency may adopt rules to
3.32 implement this section.
3.33     Subd. 6. Prompt payment. (f) Each council or agency contract must require the prime
3.34 contractor to pay any subcontractor within ten days of the prime contractor's receipt of
3.35 payment from the council or agency for undisputed services provided by the subcontractor.
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4.1  The contract must require the prime contractor to pay interest of 1-1/2 percent per month
4.2  or any part of a month to the subcontractor on any undisputed amount not paid on time to
4.3  the subcontractor. The minimum monthly interest penalty payment for an unpaid balance
4.4  of $100 or more is $10. For an unpaid balance of less than $100, the prime contractor must
4.5  pay the actual penalty due to the subcontractor. A subcontractor who prevails in a civil
4.6  action to collect interest penalties from a prime contractor must be awarded its costs and
4.7  disbursements, including attorney fees, incurred in bringing the action.
4.8      Subd. 7. Applicability. (g) This section does not apply to procurement financed in whole
4.9  or in part with federal funds if the procurement is subject to federal disadvantaged, minority,
4.10 or women business enterprise regulations. The council and each agency must report to the
4.11 commissioner of administration on compliance with this section. The information must be
4.12 reported at the time and in the manner requested by the commissioner.
4.13     Subd. 8. Legislative report. By February 1 of each year, the council shall submit a
4.14 report to the legislature concerning contract awards during the preceding calendar year. At
4.15 a minimum, the report must include:
4.16     (1) a summary of any programs that specifically work with small businesses and small
4.17 targeted businesses;
4.18     (2) a review of the use of preferences for contracting during the preceding year, including
4.19 frequency of establishment of a preference and frequency and amount of procured goods
4.20 from, and contract awards to:
4.21     (i) small targeted group businesses; and
4.22     (ii) small businesses;
4.23     (3) a review of goals and good faith efforts to use small targeted group businesses, small
4.24 businesses, and veteran-owned small businesses in subcontracts, including analysis of
4.25 methods used for, and effectiveness of, good faith efforts; and
4.26     (4) a summary of any financial incentives used or sanctions imposed.
4.27   Sec. 3. Minnesota Statutes 2024, section 473.149, subdivision 1, is amended to read:
4.28     Subdivision 1. Policy plan; general requirements. The commissioner of the Pollution
4.29 Control Agency shall must revise the metropolitan long range long-range policy plan for
4.30 solid waste management adopted in 2011 by December 31, 2016, and every sixth year six
4.31 years thereafter. The plan shall must be followed in the metropolitan area. The plan shall
4.32 must address the state policies and purposes expressed in section 115A.02. In revising the
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HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
5.1  plan the commissioner shall must follow the procedures in subdivision 3. The plan shall
5.2  must include goals and policies for solid waste management, including recycling consistent
5.3  with section 115A.551, and household hazardous waste management consistent with section
5.4  115A.96, subdivision 6, in the metropolitan area.
5.5      The plan shall must include criteria and standards for solid waste facilities and solid
5.6  waste facility sites respecting the following matters: general location; capacity; operation;
5.7  processing techniques; environmental impact; effect on existing, planned, or proposed
5.8  collection services and waste facilities; and economic viability. The plan shall must, to the
5.9  extent practicable and consistent with the achievement of other public policies and purposes,
5.10 encourage ownership and operation of solid waste facilities by private industry. For solid
5.11 waste facilities owned or operated by public agencies or supported primarily by public funds
5.12 or obligations issued by a public agency, the plan shall must include additional criteria and
5.13 standards to protect comparable private and public facilities already existing in the area
5.14 from displacement unless the displacement is required in order to achieve the waste
5.15 management objectives identified in the plan. In revising the plan, the commissioner shall
5.16 must consider the orderly and economic economical development, public and private, of
5.17 the metropolitan area; the preservation and best and most economical use of land and water
5.18 resources in the metropolitan area; the protection and enhancement of environmental quality;
5.19 the conservation and reuse of resources and energy; the preservation and promotion of
5.20 conditions conducive to efficient, competitive, and adaptable systems of waste management;
5.21 and the orderly resolution of questions concerning changes in systems of waste management.
5.22 Criteria and standards for solid waste facilities shall must be consistent with rules adopted
5.23 by the Pollution Control Agency pursuant to chapter 116 and shall must be at least as
5.24 stringent as the guidelines, regulations, and standards of the federal Environmental Protection
5.25 Agency.
5.26     EFFECTIVE DATE; APPLICATION. This section is effective the day following
5.27 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
5.28 Scott, and Washington.
5.29   Sec. 4. Minnesota Statutes 2024, section 473.1565, is amended to read:
5.30     473.1565 METROPOLITAN AREA WATER SUPPLY PLANNING ACTIVITIES;
5.31 ADVISORY COMMITTEES.
5.32     Subdivision 1. Planning activities. (a) The Metropolitan Council must carry out planning
5.33 activities addressing the water supply needs of the metropolitan area as defined in section
5.34 473.121, subdivision 2. The planning activities must include, at a minimum:
Sec. 4.  5
HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
6.1      (1) development and maintenance of a base of technical information needed for sound
6.2  water supply decisions, including but not limited to surface and groundwater availability
6.3  analyses, water demand projections, water withdrawal and use impact analyses, modeling,
6.4  and similar studies;
6.5      (2) development and periodic update of a metropolitan area master water supply plan,
6.6  prepared in cooperation with and subject to the approval of the policy advisory committee
6.7  established in this section, that:
6.8      (i) provides guidance for local water supply systems and future regional investments;
6.9      (ii) emphasizes conservation, interjurisdictional cooperation, and long-term sustainability;
6.10 and
6.11     (iii) addresses the reliability, security, and cost-effectiveness of the metropolitan area
6.12 water supply system and its local and subregional components;
6.13     (3) recommendations for clarifying the appropriate roles and responsibilities of local,
6.14 regional, and state government in metropolitan area water supply;
6.15     (4) recommendations for streamlining and consolidating metropolitan area water supply
6.16 decision-making and approval processes; and
6.17     (5) recommendations for the ongoing and long-term funding of metropolitan area water
6.18 supply planning activities and capital investments.
6.19     (b) The council must carry out the planning activities in this subdivision in consultation
6.20 with the Metropolitan Area Water Supply Policy and Technical Advisory Committees
6.21 established in this section.
6.22     Subd. 2. Policy advisory committee. (a) A Metropolitan Area Water Supply Policy
6.23 Advisory Committee is established to assist the council in its planning activities in
6.24 subdivision 1. The policy advisory committee has the following membership:
6.25     (1) the commissioner of agriculture or the commissioner's designee;
6.26     (2) the commissioner of health or the commissioner's designee;
6.27     (3) the commissioner of natural resources or the commissioner's designee;
6.28     (4) the commissioner of the Pollution Control Agency or the commissioner's designee;
6.29     (5) two officials of counties that are located in the metropolitan area, appointed by the
6.30 governor, in consultation with the Association of Minnesota Counties;
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7.1      (6) five officials of noncounty local governmental units that are located in the
7.2  metropolitan area, appointed by the governor, in consultation with the Association of
7.3  Metropolitan Municipalities;
7.4      (7) the chair of the Metropolitan Council or the chair's designee, who is chair of the
7.5  advisory committee;
7.6      (8) one official each from the counties of Chisago, Isanti, Sherburne, and Wright,
7.7  appointed by the governor and serving at the pleasure of the respective county administrator
7.8  or county manager, in consultation with the Association of Minnesota Counties and the
7.9  League of Minnesota Cities; and
7.10     (9) a representative of the Saint Paul Regional Water Services, appointed by and serving
7.11 at the pleasure of the Saint Paul Regional Water Services, and a representative of the
7.12 Minneapolis Water Department, appointed by and serving at the pleasure of the mayor of
7.13 the city of Minneapolis.; and
7.14     (10) a Tribal representative appointed by and serving at the pleasure of the Minnesota
7.15 Indian Affairs Council.
7.16     A local government unit in each of the seven counties in the metropolitan area and
7.17 Chisago, Isanti, Sherburne, and Wright Counties must be represented in the 11 appointments
7.18 made under clauses (5), (6), and (8).
7.19     (b) Members of the advisory committee appointed by the governor serve at the pleasure
7.20 of the governor. Members of the advisory committee serve without compensation but may
7.21 be reimbursed for their reasonable expenses as determined by the Metropolitan Council.
7.22     (c) At the end of a four-year term, a member of the advisory committee may serve until
7.23 a successor is appointed and for as long as the member continues to remain eligible. Members
7.24 of the advisory committee may be reappointed and serve without a term limit.
7.25     (d) If an appointed member of the advisory committee is no longer an elected public
7.26 official and thereby loses their qualification to serve on the committee, that member must
7.27 resign effective with the termination of their role as an elected public official.
7.28     (c) (e) The council must consider the work and recommendations of the policy advisory
7.29 committee when the council is preparing its regional development framework.
7.30     Subd. 2a. Technical advisory committee. (a) A Metropolitan Area Water Supply
7.31 Technical Advisory Committee is established to inform the policy advisory committee's
7.32 work by providing scientific and engineering expertise necessary to provide the region an
7.33 adequate and sustainable water supply. The technical advisory committee consists of 15
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HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
8.1  members appointed by the policy advisory committee, with the majority of members
8.2  representing single-city and multicity public water supply systems in the metropolitan area
8.3  and including experts in:
8.4      (1) water resources analysis and modeling;
8.5      (2) hydrology; and
8.6      (3) the engineering, planning, design, and construction of water systems or water systems
8.7  finance.
8.8      (b) The technical advisory committee may include one member that is a designated
8.9  Tribal representative. Members of the technical advisory committee serve at the pleasure
8.10 of the policy advisory committee, without compensation, but may be reimbursed for their
8.11 reasonable expenses as determined by the council.
8.12     Subd. 3. Reports to legislature. (a) The council must submit reports to the legislature
8.13 regarding its findings, recommendations, and continuing planning activities under subdivision
8.14 1. These reports shall be included in the "Minnesota Water Plan" required in section
8.15 103B.151, and five-year interim reports may be provided as necessary.
8.16     (b) By February 15, 2017, and at least every five years thereafter, the policy advisory
8.17 committee shall report to the council, the Legislative Water Commission, and the chairs
8.18 and ranking minority members of the house of representatives and senate committees and
8.19 divisions with jurisdiction over environment and natural resources with the information
8.20 required under this section. The policy advisory committee's report and recommendations
8.21 must include information provided by the technical advisory committee.
8.22     EFFECTIVE DATE. This section is effective the day following final enactment.
8.23   Sec. 5. Minnesota Statutes 2024, section 473.165, is amended to read:
8.24     473.165 COUNCIL REVIEW; INDEPENDENT COMMISSION, BOARD,
8.25 AGENCY.
8.26     Subdivision 1. Council review. (1) The Metropolitan Council shall must review all
8.27 long-term comprehensive plans of each independent commission, board, or agency prepared
8.28 for its operation and development within the metropolitan area but only if such plan is
8.29 determined by the council to have an areawide effect, a multicommunity effect, or to have
8.30 a substantial effect on metropolitan development. Each plan shall must be submitted to the
8.31 council before any action is taken to place the plan or any part thereof, into effect.
Sec. 5.  8
HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
9.1      Subd. 2. Review process. (2) No action shall be taken to place any plan or any part
9.2  thereof, into effect until 60 days have lapsed after the date of its submission to the council,
9.3  or until the council finds and notifies the submitting commission, board, or agency that the
9.4  plan is consistent with its comprehensive guide for the metropolitan area and the orderly
9.5  and economic economical development of the metropolitan area, whichever first occurs. If,
9.6  within 60 days after the date of submission, the council finds that a plan, or any part thereof,
9.7  is inconsistent with its comprehensive guide for the metropolitan area or detrimental to the
9.8  orderly and economic economical development of the metropolitan area, or any part thereof,
9.9  it may direct that the operation of the plan, or such part thereof, be indefinitely suspended;
9.10 provided that the council shall must not direct the suspension of any plan or part thereof of
9.11 any sanitary sewer district operating within the metropolitan area which pertains to the
9.12 location and construction of a regional sewer plant or plants or the expansion or improvement
9.13 of the present Minneapolis-St. Paul sanitary district treatment plant. An affected commission,
9.14 board, or agency may appeal the decision of the Metropolitan Council suspending a plan,
9.15 or part thereof, to the entire membership of the Metropolitan Council for public hearing. If
9.16 the Metropolitan Council and the affected commission, board, or agency are unable to agree
9.17 as to an adjustment of the plan, so that it may receive the council's approval, then a record
9.18 of the disagreeing positions of the Metropolitan Council and the affected commission, board,
9.19 or agency shall must be made and the Metropolitan Council shall must prepare a
9.20 recommendation in connection therewith for consideration and disposition by the next
9.21 regular session of the legislature.
9.22     EFFECTIVE DATE; APPLICATION. This section is effective the day following
9.23 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
9.24 Scott, and Washington.
9.25   Sec. 6. Minnesota Statutes 2024, section 473.173, subdivision 6, is amended to read:
9.26     Subd. 6. Biennial Decennial review; legislative report. The council and the advisory
9.27 metropolitan land use committee shall review and assess the rules following their effective
9.28 date and at least every two years thereafter. by January 15 of each year ending in the numeral
9.29 "5." No major alteration or amendments to standards for determining metropolitan
9.30 significance shall be put into effect by the council until 90 days have elapsed following a
9.31 report to the legislature in which after the alteration or amendment was proposed and
9.32 recommended by the council in the form of a proposed rule published under section 14.14,
9.33 subdivision 1a, or 14.22. The report to the legislature must be made during the month of
9.34 January.
Sec. 6.  9
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
10.1      EFFECTIVE DATE; APPLICATION. This section is effective the day following
10.2  final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
10.3  Scott, and Washington.
10.4    Sec. 7. Minnesota Statutes 2024, section 473.245, is amended to read:
10.5      473.245 REPORTS.
10.6      On or before January 15 of each year, the Metropolitan Council shall report to the
10.7  legislature. The report shall include:
10.8      (1) a statement of the Metropolitan Council's receipts and expenditures by category since
10.9  the preceding report;
10.10     (2) a detailed budget for the year in which the report is filed and the following year
10.11 including an outline of its program for such period;
10.12     (3) an explanation of any policy plan and other comprehensive plan adopted in whole
10.13 or in part for the metropolitan area and the review comments of the affected metropolitan
10.14 agency;
10.15     (4) (3) summaries of any studies and the recommendations resulting therefrom made by
10.16 the Metropolitan Council, and a listing of all applications for federal money made by
10.17 governmental units within the metropolitan area submitted to the Metropolitan Council;
10.18     (5) (4) a listing summary of plans and plan amendments of local governmental units
10.19 and, environmental reviews, and other permit and plan reviews conducted by the council,
10.20 in addition to proposed matters of metropolitan significance submitted to the Metropolitan
10.21 Council;
10.22     (6) (5) a detailed report on the progress of any project undertaken by the council pursuant
10.23 to sections 473.194 to 473.201; and
10.24     (7) (6) recommendations of the Metropolitan Council for metropolitan area legislation,
10.25 including the organization and functions of the Metropolitan Council and the metropolitan
10.26 agencies.
10.27     EFFECTIVE DATE; APPLICATION. This section is effective the day following
10.28 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
10.29 Scott, and Washington.
 Sec. 7.  10
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11.1    Sec. 8. Minnesota Statutes 2024, section 473.25, is amended to read:
11.2      473.25 LIVABLE COMMUNITIES CRITERIA AND GUIDELINES.
11.3      Subdivision 1. Funding criteria. (a) The council shall establish criteria for uses of the
11.4  fund provided in section 473.251 that are consistent with and promote the purposes of this
11.5  article and the policies of the Metropolitan Development Guide adopted by the council
11.6  including, but not limited to:
11.7      (1) helping to change long-term market incentives that adversely impact creation and
11.8  preservation of living-wage jobs in the fully developed area;
11.9      (2) creating incentives for developing communities to include a full range of housing
11.10 opportunities;
11.11     (3) creating incentives to preserve and rehabilitate affordable housing in the fully
11.12 developed area; and
11.13     (4) creating incentives for all communities to implement compact and efficient
11.14 development.
11.15     Subd. 2. Guidelines. (b) The council shall establish guidelines for the livable community
11.16 demonstration account for projects that the council would consider funding with either
11.17 grants or loans. The guidelines must provide that the projects will:
11.18     (1) interrelate development or redevelopment and transit;
11.19     (2) interrelate affordable housing and employment growth areas;
11.20     (3) intensify land use that leads to more compact development or redevelopment;
11.21     (4) involve development or redevelopment that mixes incomes of residents in housing,
11.22 including introducing or reintroducing higher value housing in lower income areas to achieve
11.23 a mix of housing opportunities; or
11.24     (5) encourage public infrastructure investments which connect urban neighborhoods
11.25 and suburban communities, attract private sector redevelopment investment in commercial
11.26 and residential properties adjacent to the public improvement, and provide project area
11.27 residents with expanded opportunities for private sector employment.
11.28     Subd. 3. Priority applications. (c) The council shall establish guidelines governing who
11.29 may apply for a grant or loan from the fund, providing priority for proposals using innovative
11.30 partnerships between government, private for-profit, and nonprofit sectors.
 Sec. 8.  11
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12.1      Subd. 4. Annual plan. (d) The council shall prepare an annual plan for distribution of
12.2  the fund based on the criteria for project and applicant selection.
12.3      Subd. 5. Report to the legislature. (e) By April 1 each year, the council shall prepare
12.4  and submit to the legislature, as provided in section 3.195, an annual report on the
12.5  metropolitan livable communities fund. The report must include information on the
12.6  municipalities that have either elected to participate or elected to not participate under section
12.7  473.251, subdivision 3, the amount of money in the fund, the amount distributed, to whom
12.8  the funds were distributed and for what purposes, and an evaluation of the effectiveness of
12.9  the projects funded in meeting the policies and goals of the council. The report may make
12.10 recommendations to the legislature on changes to Laws 1995, chapter 255.
12.11     EFFECTIVE DATE; APPLICATION. This section is effective the day following
12.12 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
12.13 Scott, and Washington.
12.14   Sec. 9. Minnesota Statutes 2024, section 473.251, is amended to read:
12.15     473.251 METROPOLITAN LIVABLE COMMUNITIES FUND.
12.16     Subdivision 1. Accounts. The metropolitan livable communities fund is created and
12.17 consists of the following accounts:
12.18     (1) the tax base revitalization account;
12.19     (2) the livable communities demonstration account;
12.20     (3) the local housing incentives account; and
12.21     (4) the inclusionary housing account.
12.22     Subd. 2. Distribution of funds. The council must use the money from the accounts in
12.23 the metropolitan livable communities fund to make grants and loans to municipalities
12.24 participating in the metropolitan livable communities program under subdivision 3 or to
12.25 metropolitan area counties or development authorities for a project in a participating
12.26 municipality. For purposes of this section, "development authority" means a statutory or
12.27 home rule charter city, housing and redevelopment authority, economic development
12.28 authority, port authority, Tribal government, or Tribal development entity.
12.29     Subd. 3. Program participation. (a) A municipality may elect to participate in the
12.30 metropolitan livable communities program. The election to participate is effective after the
12.31 council adopts the municipality's affordable and life-cycle housing goals under subdivision
12.32 4. The election to participate in the program is effective until revoked according to paragraph
 Sec. 9.  12
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
13.1  (b). A municipality is subject to this section only in those calendar years for which its
13.2  election to participate in the program is effective. For purposes of this section, "municipality"
13.3  means a municipality electing to participate in the metropolitan livable communities program
13.4  for the calendar year in question, unless the context indicates otherwise.
13.5      (b) A municipality may revoke its election to participate in the metropolitan livable
13.6  communities program. If the revocation occurs by December 31 of any year, the revocation
13.7  is effective commencing the next calendar year. After revoking its election to participate
13.8  in the program, a municipality may again elect to participate in the program according to
13.9  paragraph (a).
13.10     (c) A municipality that elects to participate may receive grants or loans from any account
13.11 in the metropolitan livable communities fund under subdivision 1. A municipality that does
13.12 not participate is not eligible to receive a grant under sections 116J.551 to 116J.557. The
13.13 council, when making discretionary funding decisions, must consider a municipality's
13.14 participation in the metropolitan livable communities program.
13.15     Subd. 4. Affordable and life-cycle goals. The council must negotiate with each
13.16 municipality to establish affordable and life-cycle housing goals for that municipality that
13.17 are consistent with and promote the policies of the Metropolitan Council as provided in the
13.18 adopted Metropolitan Development Guide. The governing body of the council must adopt
13.19 the negotiated affordable and life-cycle housing goals of each municipality by January 15
13.20 of each year for each municipality newly electing to participate in the program or for each
13.21 municipality with which new housing goals have been negotiated. By June 30 of each year
13.22 for each municipality newly electing to participate in the program or for each municipality
13.23 with which new housing goals have been negotiated, each municipality must identify to the
13.24 council the actions it plans to take to meet the established housing goals.
13.25     EFFECTIVE DATE; APPLICATION. This section is effective the day following
13.26 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
13.27 Scott, and Washington.
13.28   Sec. 10. Minnesota Statutes 2024, section 473.252, subdivision 1a, is amended to read:
13.29     Subd. 1a. Development authority. For the purpose of this section, "development
13.30 authority" means a statutory or home rule charter city, housing and redevelopment authority,
13.31 economic development authority, and a port authority, Tribal government, or Tribal
13.32 development entity.
 Sec. 10.  13
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
14.1      EFFECTIVE DATE; APPLICATION. This section is effective the day following
14.2  final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
14.3  Scott, and Washington.
14.4    Sec. 11. Minnesota Statutes 2024, section 473.253, is amended to read:
14.5      473.253 LIVABLE COMMUNITIES DEMONSTRATION ACCOUNT.
14.6      Subdivision 1. Sources of funds. The council shall credit to the livable communities
14.7  demonstration account the revenues provided in this subdivision. This tax shall be levied
14.8  and collected in the manner provided by section 473.13. The levy shall not exceed the
14.9  following amount for the years specified:
14.10     (1) for taxes payable in 2004 and 2005, $8,259,070; and
14.11     (2) for taxes payable in 2006 and subsequent years, the product of (i) (1) the property
14.12 tax levy limit under this subdivision for the previous year multiplied by (ii) (2) one plus a
14.13 percentage equal to the growth in the implicit price deflator as defined in section 275.70,
14.14 subdivision 2.
14.15     Subd. 2. Distribution of funds. The council shall use the funds in the livable communities
14.16 demonstration account to make grants or loans to municipalities participating in the local
14.17 housing incentives program under section 473.254 or to metropolitan area counties or
14.18 development authorities to fund the initiatives specified in section 473.25, paragraph (b),
14.19 in participating municipalities. A grant to a metropolitan county or a development authority
14.20 must be used for a project in a participating municipality. For the purpose of this section,
14.21 "development authority" means a statutory or home rule charter city, housing and
14.22 redevelopment authority, economic development authority, or port authority, Tribal
14.23 government, or Tribal development entity.
14.24     EFFECTIVE DATE; APPLICATION. This section is effective the day following
14.25 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
14.26 Scott, and Washington.
14.27   Sec. 12. Minnesota Statutes 2024, section 473.254, subdivision 6, is amended to read:
14.28     Subd. 6. Distribution of funds. (a) The funds money in the account must be distributed
14.29 annually by the council to municipalities that:
14.30     (1) have not met their affordable and life-cycle housing goals as determined by the
14.31 council; and
 Sec. 12.  14
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
15.1      (2) are actively funding projects designed to help meet the goals.
15.2      Funds (b) Money may also be distributed to a development authority for a project in an
15.3  eligible municipality. The funds distributed by the council must be matched on a
15.4  dollar-for-dollar basis by the municipality or development authority receiving the funds.
15.5  When distributing funds in money from the account, the council must give priority to projects
15.6  that (1) are in municipalities that have contribution net tax capacities that exceed their
15.7  distribution net tax capacities by more than $200 per household, and (2) demonstrate the
15.8  proposed project will link employment opportunities with affordable and life-cycle housing,
15.9  and (3) provide matching funds from a source other than the required affordable and life-cycle
15.10 housing opportunities amount under subdivision 3 or 3a, as applicable. For the purposes of
15.11 this subdivision, "municipality" means a statutory or home rule charter city or town in the
15.12 metropolitan area and "development authority" means a housing and redevelopment authority,
15.13 economic development authority, or port authority, Tribal government, or Tribal development
15.14 entity.
15.15     EFFECTIVE DATE; APPLICATION. This section is effective the day following
15.16 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
15.17 Scott, and Washington.
15.18   Sec. 13. Minnesota Statutes 2024, section 473.254, subdivision 8, is amended to read:
15.19     Subd. 8. Later election to participate. (a) If a municipality did not participate in the
15.20 metropolitan livable communities program for one or more years and elects later to
15.21 participate, the municipality must, with respect to its affordable and life-cycle housing
15.22 opportunities amount for the calendar year preceding the participating calendar year:
15.23     (1) establish that it spent such amount on affordable and life-cycle housing during that
15.24 preceding calendar year; or
15.25     (2) agree to spend such amount from the preceding calendar year on affordable and
15.26 life-cycle housing in the participating calendar year, in addition to its affordable and life-cycle
15.27 housing opportunities amount for the participating calendar year; or
15.28     (3) distribute such amount to the local housing incentives account.
15.29     (b) The council will determine which investments count toward the required affordable
15.30 and life-cycle housing opportunities amount by comparing the municipality to participating
15.31 municipalities similar in terms of stage of development and demographics. If it determines
15.32 it to be in the best interests of the region, the council may waive a reasonable portion of the
15.33 amount.
 Sec. 13.  15
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
16.1      EFFECTIVE DATE; APPLICATION. This section is effective the day following
16.2  final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
16.3  Scott, and Washington.
16.4    Sec. 14. Minnesota Statutes 2024, section 473.255, subdivision 1, is amended to read:
16.5      Subdivision 1. Definitions. (a) "Inclusionary housing development" means a new
16.6  construction development, including owner-occupied or rental housing, or a combination
16.7  of both, with a variety of prices and designs which serve families with a range of incomes
16.8  and housing needs.
16.9      (b) "Municipality" means a statutory or home rule charter city or town participating in
16.10 the local housing incentives program under section 473.254.
16.11     (c) "Development authority" means a housing and redevelopment authority, economic
16.12 development authority, or port authority, Tribal government, or Tribal development entity.
16.13     EFFECTIVE DATE; APPLICATION. This section is effective the day following
16.14 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
16.15 Scott, and Washington.
16.16   Sec. 15. Minnesota Statutes 2024, section 473.351, subdivision 3, is amended to read:
16.17     Subd. 3. Allocation formula. By July 1 May 15 of every year each implementing agency
16.18 must submit to the Metropolitan Parks and Open Space Commission a statement of the next
16.19 annual anticipated operation and maintenance expenditures of the regional recreation open
16.20 space parks systems within their respective jurisdictions and the previous year's actual
16.21 expenditures from the most recent annual audited financial statement. After reviewing the
16.22 actual expenditures from the most recent annual audited financial statement submitted and
16.23 by July 15 of each year, the parks and open space commission shall forward to the
16.24 Metropolitan Council the funding requests from the implementing agencies based on the
16.25 actual expenditures made from the most recent annual audited financial statements. The
16.26 Metropolitan Council shall distribute the operation and maintenance money as follows:
16.27     (1) 40 percent based on the use that each implementing agency's regional recreation
16.28 open space system has in proportion to the total use of the metropolitan regional recreation
16.29 open space system;
16.30     (2) 40 percent based on the operation and maintenance expenditures made in the previous
16.31 year by each implementing agency in proportion to the total operation and maintenance
16.32 expenditures of all of the implementing agencies; and
 Sec. 15.  16
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
17.1      (3) 20 percent based on the acreage that each implementing agency's regional recreation
17.2  open space system has in proportion to the total acreage of the metropolitan regional
17.3  recreation open space system. The 80 percent natural resource management land acreage
17.4  of the park reserves must be divided by four in calculating the distribution under this clause.
17.5      Each implementing agency must receive no less than 40 percent of its actual operation
17.6  and maintenance expenses to be incurred in the current calendar year budget as submitted
17.7  to the parks and open space commission. If the available operation and maintenance money
17.8  is less than the total amount determined by the formula including the preceding, the
17.9  implementing agencies will share the available money in proportion to the amounts they
17.10 would otherwise be entitled to under the formula.
17.11     EFFECTIVE DATE; APPLICATION. This section is effective the day following
17.12 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
17.13 Scott, and Washington.
17.14   Sec. 16. Minnesota Statutes 2024, section 473.355, subdivision 2, is amended to read:
17.15     Subd. 2. Grants. (a) The Metropolitan Council must establish a grant program to provide
17.16 grants to cities, counties, townships, Tribal governments, and implementing agencies for
17.17 the following purposes:
17.18     (1) removing and planting shade trees on public land to provide environmental benefits;
17.19     (2) replacing trees lost to forest pests, disease, or storms; and
17.20     (3) establishing a more diverse community forest better able to withstand disease and
17.21 forest pests.
17.22     (b) Any tree planted with money granted under this section must be a climate-adapted
17.23 species to Minnesota.
17.24     EFFECTIVE DATE; APPLICATION. This section is effective the day following
17.25 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
17.26 Scott, and Washington.
17.27   Sec. 17. Minnesota Statutes 2024, section 473.621, subdivision 6, is amended to read:
17.28     Subd. 6. Capital projects; review. All Minneapolis-St. Paul International Airport capital
17.29 projects of the commission requiring the expenditure of more than $5,000,000 shall must
17.30 be submitted to the Metropolitan Council for review. All other capital projects of the
17.31 commission requiring the expenditure of more than $2,000,000 shall must be submitted to
 Sec. 17.  17
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
18.1  the Metropolitan Council for review. No such project that has a significant effect on the
18.2  orderly and economic economical development of the metropolitan area may be commenced
18.3  without the approval of the Metropolitan Council. In addition to any other criteria applied
18.4  by the Metropolitan Council in reviewing a proposed project, the council shall must not
18.5  approve a proposed project unless the council finds that the commission has completed a
18.6  process intended to provide affected municipalities the opportunity for discussion and public
18.7  participation in the commission's decision-making process. An "affected municipality" is
18.8  any municipality that (1) is adjacent to a commission airport, (2) is within the noise zone
18.9  of a commission airport, as defined in the Metropolitan Development Guide, or (3) has
18.10 notified the commission's secretary that it considers itself an "affected municipality." The
18.11 council must at a minimum determine that the commission:
18.12     (a) (i) provided adequate and timely notice of the proposed project to each affected
18.13 municipality;
18.14     (b) (ii) provided to each affected municipality a complete description of the proposed
18.15 project;
18.16     (c) (iii) provided to each affected municipality notices, agendas, and meeting minutes
18.17 of all commission meetings, including advisory committee meetings, at which the proposed
18.18 project was to be discussed or voted on in order to provide the municipalities the opportunity
18.19 to solicit public comment and participate in the project development on an ongoing basis;
18.20 and
18.21     (d) (iv) considered the comments of each affected municipality.
18.22     EFFECTIVE DATE. This section is effective the day following final enactment.
18.23   Sec. 18. Minnesota Statutes 2024, section 473.851, is amended to read:
18.24     473.851 LEGISLATIVE FINDINGS AND PURPOSE.
18.25     The legislature finds and declares that the local governmental units within the
18.26 metropolitan area are interdependent, that the growth and patterns of urbanization within
18.27 the area create the need for additional state, metropolitan and local public services and
18.28 facilities and increase the danger of air and water pollution and water shortages, and that
18.29 developments in one local governmental unit may affect the provision of regional capital
18.30 improvements for sewers, transportation, airports, water supply, and regional recreation
18.31 open space. Since problems of urbanization and development transcend local governmental
18.32 boundaries, there is a need for the adoption of coordinated plans, programs and controls by
18.33 all local governmental units in order to protect the health, safety and welfare of the residents
 Sec. 18.  18
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
19.1  of the metropolitan area and to ensure coordinated, orderly, and economic economical
19.2  development. Therefore, it is the purpose of sections 462.355, 473.175, and 473.851 to
19.3  473.871 to (1) establish requirements and procedures to accomplish comprehensive local
19.4  planning with land use controls consistent with planned, orderly and staged development
19.5  and the metropolitan system plans, and (2) to provide assistance to local governmental units
19.6  within the metropolitan area for the preparation of plans and official controls appropriate
19.7  for their areas and consistent with metropolitan system plans.
19.8      EFFECTIVE DATE; APPLICATION. This section is effective the day following
19.9  final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
19.10 Scott, and Washington.
19.11   Sec. 19. Minnesota Statutes 2024, section 473.859, subdivision 1, is amended to read:
19.12     Subdivision 1. Contents. The comprehensive plan shall must contain objectives, policies,
19.13 standards and programs to guide public and private land use, development, redevelopment
19.14 and preservation for all lands and waters within the jurisdiction of the local governmental
19.15 unit through 1990 the planning year identified in the metropolitan development guide in
19.16 effect and may extend through any year thereafter which is evenly divisible by five. Each
19.17 plan shall must specify expected industrial and commercial development, planned population
19.18 distribution, and local public facility capacities upon which the plan is based. Each plan
19.19 shall must contain a discussion of the use of the public facilities specified in the metropolitan
19.20 system statement and the effect of the plan on adjacent local governmental units and affected
19.21 school districts. Existing plans and official controls may be used in whole or in part following
19.22 modification, as necessary, to satisfy the requirements of sections 462.355, 473.175, and
19.23 473.851 to 473.871. Each plan may contain an intergovernmental coordination element that
19.24 describes how its planned land uses and urban services affect other communities, adjacent
19.25 local government units, the region, and the state, and that includes guidelines for joint
19.26 planning and decision making with other communities, school districts, and other jurisdictions
19.27 for siting public schools, building public facilities, and sharing public services.
19.28     Each plan may contain an economic development element that identifies types of mixed
19.29 use development, expansion facilities for businesses, and methods for developing a balanced
19.30 and stable economic base.
19.31     The comprehensive plan may contain any additional matter which may be included in
19.32 a comprehensive plan of the local governmental unit pursuant to the applicable planning
19.33 statute.
 Sec. 19.  19
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
20.1      EFFECTIVE DATE; APPLICATION. This section is effective the day following
20.2  final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
20.3  Scott, and Washington.
20.4    Sec. 20. Minnesota Statutes 2024, section 473.864, subdivision 2, is amended to read:
20.5      Subd. 2. Decennial review. (a) By December 31, 1998, and at least once every ten years
20.6  thereafter, each local governmental unit shall must review and, if necessary, amend its entire
20.7  comprehensive plan and its fiscal devices and official controls. Such review and, if necessary,
20.8  amendment shall must ensure that, as provided in section 473.865, the fiscal devices and
20.9  official controls of each local government unit are not in conflict with its comprehensive
20.10 plan.
20.11     (b) Upon completion of review and, if necessary, amendment of its comprehensive plan,
20.12 fiscal devices, and official controls as required by this section, each local government unit
20.13 shall must either:
20.14     (a) (1) submit to the Metropolitan Council the entire current comprehensive plan together
20.15 with written certification by the governing body of the local government unit that it has
20.16 complied with this section and that no amendments to its plan or fiscal devices or official
20.17 controls are necessary; or
20.18     (b)(1) (2)(i) submit the entire updated comprehensive plan and amendment or amendments
20.19 to its comprehensive plan necessitated by its review to the Metropolitan Council for review;
20.20 and
20.21     (2) (ii) submit the amendment or amendments to its fiscal devices or official controls
20.22 necessitated by its review to the Metropolitan Council for information purposes as provided
20.23 by section 473.865.
20.24     (c) Except as otherwise provided in this paragraph, local governments shall must consider,
20.25 in preparing their updated comprehensive plans, amendments to metropolitan system plans
20.26 in effect on December 31, 1996 at the time of consideration. For metropolitan system plans,
20.27 or amendments thereto, adopted after December 31, 1996, Local governments shall must
20.28 review their comprehensive plans to determine if an amendment is necessary to conform
20.29 to the metropolitan system plans. If an amendment is necessary, the local government shall
20.30 must prepare the amendment and submit it to the council for review by September 30, 1999,
20.31 or nine months after the council transmits the metropolitan system plan amendment to the
20.32 local government, whichever is later pursuant to the time frames established under section
20.33 473.856.
 Sec. 20.  20
 HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
21.1      (d) The periodic review required in this subdivision shall be is in addition to the review
21.2  required by section 473.856.
21.3      (e) The Metropolitan Council may grant extensions to local government units in order
21.4  to allow local government units to complete the review and, if necessary, amendment
21.5  required by this subdivision. Such extensions, if granted by the Metropolitan Council, must
21.6  include a timetable and plan for completion of the review and amendment.
21.7      (f) Amendments to comprehensive plans of local governmental units shall must be
21.8  prepared, submitted, and adopted in conformance with guidelines adopted by the Metropolitan
21.9  Council pursuant to section 473.854.
21.10     EFFECTIVE DATE; APPLICATION. This section is effective the day following
21.11 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
21.12 Scott, and Washington.
21.13   Sec. 21. Minnesota Statutes 2024, section 473H.08, subdivision 3, is amended to read:
21.14     Subd. 3. Expiration by authority. The authority may initiate expiration by notifying
21.15 the landowner by registered letter on a form provided by the commissioner of agriculture,
21.16 provided that before notification (i) the comprehensive plan and the zoning for the land
21.17 have been officially amended so that the land is no longer planned for long-term agriculture
21.18 and is no longer zoned for long-term agriculture, evidenced by a maximum residential
21.19 density permitting more than one unit per quarter/quarter, and (ii) the authority has certified
21.20 such changes pursuant to section 473H.04, subdivision 2. The notice shall describe the
21.21 property for which expiration is desired and shall state the date of expiration which shall
21.22 be at least eight years from the date of notice. the authority adopts a resolution describing
21.23 the property for which expiration is desired and states the date of expiration, which must
21.24 be at least eight years from the date of notice. At least two weeks before the authority adopts
21.25 the resolution, the authority must publish a notice of its intended action in a newspaper
21.26 having a general circulation within the area of jurisdiction of the authority. Within six
21.27 months of the authority issuing notice, the authority must amend the comprehensive plan
21.28 and the zoning for the land, pursuant to sections 473.854 and 473.865, so that the land is
21.29 no longer planned for long-term agriculture and is no longer zoned for long-term agriculture,
21.30 evidenced by a maximum residential density permitting more than one unit per
21.31 quarter/quarter.
21.32     EFFECTIVE DATE; APPLICATION. This section is effective the day following
21.33 final enactment and applies in the counties of Anoka, Carver, Dakota, Hennepin, Ramsey,
21.34 Scott, and Washington.
 Sec. 21.  21
HF3883 FIRST ENGROSSMENT  REVISOR  MS  H3883-1
22.1   Sec. 22. REPEALER.
22.2     Minnesota Statutes 2024, sections 473.144; 473.254, subdivisions 1, 2, and 9; and
22.3 473.859, subdivision 2a, are repealed.
22.4     EFFECTIVE DATE. This section is effective the day following final enactment.
Sec. 22.  22
  APPENDIX
  Repealed Minnesota Statutes: H3883-1
    473.144 CERTIFICATES OF COMPLIANCE FOR CONTRACTS.
     (a) For all contracts for goods and services in excess of $100,000, neither the council nor an
agency listed in section 473.143, subdivision 1, shall accept any bid or proposal for a contract or
agreement from any business having more than 40 full-time employees within this state on a single
working day during the previous 12 months, unless the firm or business has an affirmative action
plan for the employment of minority persons, women, and qualified disabled individuals submitted
to the commissioner of human rights for approval. Neither the council nor an agency listed in section
473.143, subdivision 1, shall execute the contract or agreement until the affirmative action plan has
been approved by the commissioner of human rights. Receipt of a certificate of compliance from
the commissioner of human rights signifies that a business has an approved affirmative action plan.
A certificate is valid for two years. Section 363A.36 governs revocation of certificates. The rules
adopted by the commissioner of human rights under section 363A.37 apply to this section.
    (b) This paragraph applies to a contract for goods or services in excess of $100,000 to be entered
into between the council or an agency listed in section 473.143, subdivision 1, and a business that
is not subject to paragraph (a), but that has more than 40 full-time employees on a single working
day during the previous 12 months in the state where the business has its primary place of business.
The council or the agency may not execute a contract or agreement with a business covered by this
paragraph unless the business has a certificate of compliance issued by the commissioner under
paragraph (a) or the business certifies to the contracting agency that it is in compliance with federal
affirmative action requirements.
    473.254 LOCAL HOUSING INCENTIVES ACCOUNT.
    Subdivision 1. Participation. (a) A municipality may elect to participate in the local housing
incentive account program. If the election to participate occurs by November 15 of any year, it is
effective commencing the next calendar year; otherwise it is effective commencing the next
succeeding calendar year. An election to participate in the program is effective until revoked
according to paragraph (b). A municipality is subject to this section only in those calendar years
for which its election to participate in the program is effective. For purposes of this section,
municipality means a municipality electing to participate in the local housing incentive account
program for the calendar year in question, unless the context indicates otherwise.
     (b) A municipality may revoke its election to participate in the local housing incentive account
program. If the revocation occurs by November 15 of any year, it is effective commencing the next
calendar year; otherwise it is effective commencing the next succeeding calendar year. After revoking
its election to participate in the program, a municipality may again elect to participate in the program
according to paragraph (a).
    (c) A municipality that elects to participate may receive grants or loans from the tax base
revitalization account, livable communities demonstration account, or the local housing incentive
account. A municipality that does not participate is not eligible to receive a grant under sections
116J.551 to 116J.557. The council, when making discretionary funding decisions, shall give
consideration to a municipality's participation in the local housing incentives program.
    Subd. 2. Affordable, life-cycle goals. The council shall negotiate with each municipality to
establish affordable and life-cycle housing goals for that municipality that are consistent with and
promote the policies of the Metropolitan Council as provided in the adopted Metropolitan
Development Guide. The council shall adopt, by resolution after a public hearing, the negotiated
affordable and life-cycle housing goals for each municipality by January 15, 1996, and by January
15 in each succeeding year for each municipality newly electing to participate in the program or
for each municipality with which new housing goals have been negotiated. By June 30, 1996, and
by June 30 in each succeeding year for each municipality newly electing to participate in the program
or for each municipality with which new housing goals have been negotiated, each municipality
shall identify to the council the actions it plans to take to meet the established housing goals.
    Subd. 9. Report to legislature. By February 1 of each year, the council must report to the
legislature the municipalities that have elected to participate and not to participate under subdivision
1. This report must be filed as provided in section 3.195.
    473.859 COMPREHENSIVE PLAN CONTENT.
    Subd. 2a. Application of subdivision 2, paragraph (d). Subdivision 2, paragraph (d), applies
only to land use plans adopted or amended by the governing body in relation to aggregate or when
the governing body is presented with a written application for adoption or amendment of a land
  1R
  APPENDIX
  Repealed Minnesota Statutes: H3883-1
use plan relating to aggregate, from a landowner after August 1, 2001, in the counties of Anoka,
Carver, Dakota, Hennepin, Ramsey, Scott, and Washington.
  2R