Subdivision 1.

Definitions.

(a) For purposes of this section, the following terms have
the meanings given.

(b) "Applicable entity" means the commissioner with respect to a deleted text begin capacity expansiondeleted text end
projectnew text begin or portfolionew text end for inclusion in the state transportation improvement program or a
metropolitan planning organization with respect to a deleted text begin capacity expansiondeleted text end projectnew text begin or portfolionew text end
for inclusion in the appropriate metropolitan transportation improvement program.

(c) "Assessment" means the deleted text begin capacity expansiondeleted text end impact assessment under this section.

(d) "Capacity expansion project" means a project for trunk highway construction or
reconstruction that:

(1) is a major highway project, as defined in section 174.56, subdivision 1, paragraph
(b); and

(2) adds highway traffic capacity or provides for grade separation new text begin of motor vehicle traffic
new text end at an intersection, excluding auxiliary lanes with a length of less than 2,500 feet.

(e) "Greenhouse gas emissions" includes those emissions described in section 216H.01,
subdivision 2.

Subd. 2.

Projectnew text begin or portfolionew text end assessment.

(a) Prior to inclusion of a deleted text begin capacity expansiondeleted text end
projectnew text begin or portfolionew text end in the state transportation improvement program ornew text begin innew text end a metropolitan
transportation improvement program, the applicable entity must perform deleted text begin a capacity expansiondeleted text end new text begin
annew text end impact assessment of the projectnew text begin or portfolionew text end . Following the assessment, the applicable
entity must determine if the projectnew text begin or portfolionew text end conforms with:

(1) the greenhouse gas emissions reduction targets under section 174.01, subdivision 3;
and

(2) the vehicle miles traveled reduction targets established in the statewide multimodal
transportation plan under section 174.03, subdivision 1a.

(b) If the applicable entity determines that the deleted text begin capacity expansiondeleted text end projectnew text begin or portfolionew text end is
not in conformance with paragraph (a), the applicable entity must:

(1) alter the scope or design of the projectnew text begin or any number of projects,new text end andnew text begin subsequentlynew text end
perform a revised assessment that meets the requirements under this section;

(2) interlink sufficient impact mitigation as provided in subdivision 4; or

(3) halt project development and disallow inclusion of the projectnew text begin or portfolionew text end in the
appropriate transportation improvement program.

new text begin Subd. 2a. new text end

new text begin Applicable projects. new text end

new text begin (a) For purposes of this section, a "project or portfolio"
has the meaning given in this subdivision.
new text end

new text begin (b) Prior to the date established under paragraph (d), "project or portfolio" means each
capacity expansion project.
new text end

new text begin (c) On and after the date established under paragraph (d), "project or portfolio" means
a capacity expansion project or the collection of trunk highway projects for a fiscal year
and specific region that are in any of the program categories of construction, major
construction, reconstruction, reconditioning, or bridge replacement.
new text end

new text begin (d) The commissioner must establish a date to implement impact assessment on the basis
of assessing a portfolio or program of projects instead of on a project-by-project basis. The
date must be the earlier of:
new text end

new text begin (1) January 1, 2030; or
new text end

new text begin (2) as specified by the commissioner following consultation with metropolitan planning
organizations and a determination that tools and models are sufficient.
new text end

Subd. 3.

Assessment requirements.

(a) The commissioner must establish a process to
perform deleted text begin capacity expansiondeleted text end impact assessments. An assessment must provide for the
determination under subdivision 2.

(b) Analysis under an assessment must include but is not limited to estimates resulting
from deleted text begin thedeleted text end new text begin anew text end projectnew text begin or portfolionew text end for the following:

(1) greenhouse gas emissions over a period of 20 years; deleted text begin and
deleted text end

(2) a net change in vehicle miles traveled for the affected networkdeleted text begin .deleted text end new text begin ; and
new text end

new text begin (3) analysis of trunk highways and related impacts to local road systems, on a local,
regional, or statewide basis, as appropriate.
new text end

Subd. 4.

Impact mitigationnew text begin ; interlinkingnew text end .

(a) To provide for impact mitigation, the
applicable entity must interlink the deleted text begin capacity expansiondeleted text end projectnew text begin or portfolionew text end as provided in
this subdivision.

(b) Impact mitigation is sufficient under subdivision 2, paragraph (b), if the deleted text begin capacity
expansiondeleted text end projectnew text begin or portfolionew text end is interlinked to deleted text begin mitigationdeleted text end new text begin offsetnew text end actions such that the total
greenhouse gas emissions reduction from the deleted text begin mitigationdeleted text end new text begin offsetnew text end actions, after accounting for
the greenhouse gas emissions otherwise resulting from the deleted text begin capacity expansiondeleted text end projectnew text begin or
portfolionew text end , is consistent with meeting the targets specified under subdivision 2, paragraph
(a). Each comparison under this paragraph must be performed over equal comparison periods.

(c) deleted text begin A mitigationdeleted text end new text begin An offsetnew text end action consists of a project, program, deleted text begin ordeleted text end operations
modificationnew text begin , or mitigation plannew text end in one or more of the following areas:

(1) transit expansion, including but not limited to regular route bus, arterial bus rapid
transit, highway bus rapid transit, rail transit, and intercity passenger rail;

(2) transit service improvements, including but not limited to increased service level,
transit fare reduction, and transit priority treatments;

(3) active transportation infrastructure;

(4) micromobility infrastructure and service, including but not limited to shared vehicle
services;

(5) transportation demand management, including but not limited to vanpool and shared
vehicle programs, remote work, and broadband access expansion;