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SF2182 (Legislative Session 94 (2025-2026))

Performance requirements and conditional termination of the Northstar Commuter Rail Line establishment

Related bill: HF749

AI Generated Summary

This bill, S.F. No. 2182, relates to transportation in Minnesota and establishes performance requirements and conditional termination provisions for the Northstar Commuter Rail line, which operates between downtown Minneapolis and Big Lake.

Key Provisions:

  1. Performance Requirements:

    • Northstar must achieve at least 450,000 riders in any six-month period starting June 1, 2025.
    • Annual ridership must reach at least 900,000, measured from June 1 to May 31 each year, starting June 1, 2025.
    • The farebox recovery ratio (percentage of operating costs covered by fares) must be at least 40% in any calendar year, beginning in 2026.

  2. Federal Waiver:

    • If Northstar fails to meet these performance criteria, the Metropolitan Council must seek a waiver or release from all federal financial obligations related to the rail line.

  3. Contingent Termination Process:

    • If Northstar does not meet the required ridership or farebox recovery targets, it must be decommissioned and permanently terminated.
    • The Metropolitan Council must:
      • Cease all services, including passenger transport and station operations.
      • End law enforcement services provided by Metro Transit Police.
      • Terminate all agreements and contracts related to Northstar’s operations.
    • The Commissioner of Transportation must:
      • Revoke any rights, leases, or agreements allowing Northstar’s operation.
      • Take back ownership of any previously transferred property.
    • All Northstar-related assets (equipment, stations, tracks, etc.) must be sold or disposed of.

  4. Deposit of Funds:

    • Any revenue generated from the sale or disposal of Northstar’s assets must be deposited into the state’s general fund.

Summary:

This bill establishes minimum ridership and farebox recovery targets for the Northstar Commuter Rail system. If these thresholds are not met starting in 2025-2026, the Metropolitan Council and the Minnesota Department of Transportation (MnDOT) must permanently shut down the service, liquidate assets, and deposit proceeds into the general fund.

Bill text versions

Actions

DateChamberWhereTypeNameCommittee Name
March 05, 2025SenateFloorActionIntroduction and first reading
March 05, 2025SenateFloorActionReferred toTransportation

Citations

 
[
  {
    "analysis": {
      "added": [
        "Clarification on terminating agreements without causing a breach."
      ],
      "removed": [
        "Prior obligations involving separate entities for collaboration."
      ],
      "summary": "The section addresses termination of agreements related to transport projects which involve the Northstar Commuter Rail.",
      "modified": [
        "Terms of disengaging from ongoing projects with public or private entities."
      ]
    },
    "citation": "174.82"
  },
  {
    "analysis": {
      "added": [
        "Guidelines for decommissioning services and redistributing assets."
      ],
      "removed": [
        "Prior lease agreements allowing operation of services."
      ],
      "summary": "The section plans for termination of the Northstar line, covering agreements and asset management.",
      "modified": [
        "Process for conveying property back to original owners."
      ]
    },
    "citation": "473.4057"
  },
  {
    "analysis": {
      "added": [
        "Steps for revenue collection from asset disposal."
      ],
      "removed": [
        "Non-applicable asset retention clauses."
      ],
      "summary": "This citation discusses procedures for disposing of state property related to terminated transport services like the Northstar line.",
      "modified": [
        "Specification on deposits into the general fund post asset sales."
      ]
    },
    "citation": "16B.2975"
  }
]

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