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Elusive bonding deal is reached

03/31/2005

Dane Smith, Star Tribune
March 31, 2005

It took more than a year, but Gov. Tim Pawlenty and legislative leaders finally came to agreement Wednesday on an $886 million bonding bill for state construction projects, prompting them to suggest that a new spirit of respect and compromise had finally arrived at the Capitol.

The bill would pour more than $320 million into projects on the state’s higher education campuses. It earmarks $37.5 million to launch the Northstar Corridor commuter rail project northwest of the Twin Cities. And it would fund a major expansion of a prison in Faribault, at a cost of $84.8 million.

Combined with projects financed by state college tuition and fees, the total cost of the projects in the bill adds up to $945 million.

“Bring on the bricks, bring on the cement, bring on the steel,” said Senate Majority Leader Dean Johnson, DFL-Willmar.

Pawlenty announces bonding agreement.Tom OlmscheidAssociated PressThe deadlock was broken after an all-day negotiating session in the governor’s office that included Pawlenty, Johnson, House Speaker Steve Sviggum, and state Sen. Keith Langseth and Rep. Dan Dorman, the chairmen of the bonding committees.

All five made the point that in addition to the immediate benefits of creating jobs and addressing long-standing and postponed infrastructure needs, the agreement shows that Minnesota’s partisan factions can work together. The bipartisan display of accord by top leaders on a major piece of legislation hasn’t been seen in a long time, and was not seen at all in the stalemated 2004 session.

More important than getting projects underway in time for this summer’s construction season, Langseth said, “this shows we can work together, get things done.” Pawlenty praised the leaders in both parties for their “team effort.”

“Better late than never,” Pawlenty said.

The bill, which likely will be approved by the House and Senate and signed by the governor within a week or so, roughly splits the difference between the original proposals of the House, the Senate and the governor. The Senate started at about $975 million in general obligation bonds, the House at $781 million and Pawlenty at $743 million.

Lobbyists at a conference committee meeting two hours after the agreement was reached were eagerly grabbing eight-page spreadsheets showing which of more than 300 projects made the final cut.

Among the more high-profile projects:

• The Red Lake Indian Reservation school construction project received about $18 million in funding, $6 million less than proposed by the governor and the Senate. The House’s original proposal had no funding.

• A fund to combat chronic homelessness, for which Pawlenty and the Senate sought $20 million, got $12 million. The House had proposed $10 million.

• A biotech research facility for the University of Minnesota and the Mayo Clinic in Rochester got $21.7 million, the amount Pawlenty sought.

• The effort to keep up with repairs of the Capitol, 100 years old this year, got $2.4 million.

• Pawlenty and the Senate got the $37.5 million they wanted for the North Star commuter rail line. The House had proposed $10 million. Pawlenty said the North Star project was “a very critical item” in the bill and would bring congestion relief to the fastest-growing part of the state. Getting the funding will secure federal aid that was in danger of being lost, and the project should go ahead, Pawlenty said.

Lawmakers started work on a major bonding bill in February of 2004. In even-numbered years the bonding bill is typically the Legislature’s major project, while odd-numbered years are for adopting a two-year state budget. But the bonding bill didn’t get done last year as Pawlenty, the Republican-controlled House and the DFL-controlled Senate got tangled in an intractable dispute and ended the session with almost no major legislation.

Although passing the bill a year late would appear to upset the even-year cycle, Pawlenty and legislative leaders predicted that another, somewhat smaller bonding bill will be passed next year.