January 28, 2010 - Legislative Report #1

Dig Deep Tax Payers, Christmas Continues at the State Capital

The folks in Saint Paul just seem not to understand the concept of broke. Minnesota faces a $1 billion plus shortfall in the next year and $8 billion plus in the next state budget cycle. Yet even during the off season of the legislature the representatives continue planning to spend without regard for the constitutional limits of state government. Below is an email record of house committee hearings that occurred yesterday. Bonding bills take decades to pay off. Below is just a small part of the $2 to $3 billion in bonding planned for the legislature in 2010.

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Saints stadium, Orchestra Hall Among Bonding Requests
Published 1/27/2010
A new stadium for the St. Paul Saints, a facelift for Orchestra Hall, a major civic center expansion in Rochester and more - it was a full day for one House division.

The House Higher Education and Workforce Development Finance and Policy Division marked its second day of reviewing bonding requests with more than three-dozen presentations on a wide variety of capital investment proposals. No action was taken, but division members are to rank projects for a list that will be forwarded to the House Capital Investment Finance Division.
Rep. Tim Mahoney - (DFL-St. Paul) pitched his bill HF2399, which would provide $25 million for construction of a 7,500-seat baseball stadium in St. Paul's Lowertown district. The new ballpark would replace the aging Midway Stadium, home to the St. Paul Saints and various college and high school teams. St. Paul Parks and Recreation Director Michael Hahm estimated the project would create 225 temporary construction jobs as well as 240 permanent ballpark-related jobs. He added that the "multiplier effect" of bringing as many as 400,000 sports fans to downtown St. Paul would be "tremendous" for local businesses and tax revenues.

Meanwhile, House Speaker Margaret Anderson Kelliher, (DFL-Mpls) joined Minnesota Orchestra President and CEO Michael Henson in testifying in favor of a major expansion and renovation of Orchestra Hall in downtown Minneapolis. Kelliher sponsors HF2528, which would provide $22 million for the project. "I think this is a job-intensive project that is definitely worth the
consideration of your committee," Kelliher said, estimating that it would create 900 jobs. The Legislature approved funding for the project in the past, but it was vetoed by Gov. Tim Pawlenty.

The largest proposal discussed was a planned expansion of the Mayo Civic Center Complex in Rochester. Rep. Tina Liebling,(DFL-Rochester) sponsors HF450, which would fund the project to the tune of $34 million. She said the expansion is necessary to keep up with growing demand for the civic center's facilities. "We believe that this is a very important project for the entire state," Liebling commented, adding that the expansion would not only create jobs but also further the state's goal of growing its bioscience industry by providing better conference space.

Other bonding requests heard include:
- $17.5 million to renovate the Ordway Center for the Performing Arts in St. Paul (HF1714  - Rep. Micheal Paymar, DFL)

- $15.9 million for a civic center expansion in Mankato (HF2424 - Rep. Kathy Brynaert, DFL)

- $15.1 million* for an expansion of the St. Cloud Civic Center (HF717 - Rep. Larry Haws, DFL)

- $12.4 million for an amateur sports complex and athletic facilities expansion in St. Louis County (HF2571 - Rep. Anthony Sertich, DFL

- $9.75 million for an Asian Pacific Cultural Center in St. Paul (HF712 - Rep. Cy Thao DFL)

- $6.5 million for capital improvements to the Target Center in Minneapolis (HF2420 - Rep. Bobby Joe Champion, DFL)


Also at the hearing, officials from the Department of Employment and Economic Development pitched a plan to combine two grant programs: the Business Development Public Infrastructure Grant - which primarily serves Greater Minnesota - and the Bio Business Grant. No bill has been drafted on the subject yet.

*Note: the actual text of HF717 reflects a different dollar amount than what is actually being requested, according to testifiers.
- Nick Busse