HF 1976

as introduced - 84th Legislature (2005 - 2006) Posted on 12/15/2009 12:00am

A bill for an act
relating to state government; appropriating money for
economic development and human services purposes;
establishing and modifying certain programs; providing
for accounts, assessments and fees; making changes to
programs for children and families; amending Minnesota
Statutes 2004, sections 60A.14, subdivision 1; 60K.55,
subdivision 2; 72B.04, subdivision 10; 82B.09,
subdivision 1; 116C.779, subdivision 2; 116J.551,
subdivision 1; 116J.63, subdivision 2; 116J.8731,
subdivision 5; 119B.13, subdivision 1; 183.41, by
adding a subdivision; 183.411, subdivisions 2a, 3;
183.42; 183.44, subdivision 1; 183.51, subdivision 2,
by adding a subdivision; 183.545; 183.57; 216C.41,
subdivisions 2, 5, 5a; 256.01, by adding a
subdivision; 256.741, subdivision 4; 256D.06,
subdivisions 5, 7, by adding a subdivision; 256J.12,
subdivision 1, by adding a subdivision; 256J.95, by
adding subdivisions; 326.975, subdivision 1; 345.47,
subdivisions 3, 3a; 373.40, subdivisions 1, 3;
462A.05, subdivision 3a; 462A.33, subdivision 2;
517.08, subdivisions 1b, 1c; proposing coding for new
law in Minnesota Statutes, chapters 45; 256K;
repealing Minnesota Statutes 2004, sections 45.0295;
116J.58, subdivision 3; 119B.074; 256D.54, subdivision
3; 462C.15; Laws 2003, First Special Session chapter
14, article 9, section 34; Minnesota Rules, parts
9500.1254; 9500.1256.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS

Section 1. new text begin JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS.
new text end

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or another named fund, to
the agencies and for the purposes specified in this article, to
be available for the fiscal years indicated for each purpose.
The figures "2006" and "2007," where used in this article, mean
that the appropriation or appropriations listed under them are
available for the fiscal year ending June 30, 2006, or June 30,
2007, respectively. The term "first year" means the fiscal year
ending June 30, 2006, and the term "second year" means the
fiscal year ending June 30, 2007.
SUMMARY BY FUND

2006 2007 TOTAL

General $ 137,501,000 $ 138,374,000 $ 275,875,000

Workforce
Development 8,270,000 8,270,000 16,540,000

Remediation 700,000 700,000 1,400,000

Petroleum Tank
Cleanup 1,084,000 1,084,000 2,168,000

Workers'
Compensation 21,725,000 21,725,000 43,450,000

TOTAL $ 169,280,000 $ 170,153,000 $ 339,433,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. EMPLOYMENT AND
ECONOMIC DEVELOPMENT

Subdivision 1.

Total
Appropriation $ 45,948,000 $ 45,948,000

Summary by Fund

General 37,428,000 37,428,000

Remediation 700,000 700,000

Workforce
Development 7,820,000 7,820,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Business and
Community Development 7,651,000 7,651,000

Summary by Fund

General 6,951,000 6,951,000

Remediation 700,000 700,000

(a)(1) $150,000 the first year and
$150,000 the second year are from the
general fund for a grant under
Minnesota Statutes, section 116J.421,
to the Rural Policy and Development
Center at Minnesota State University.
The grant shall be used for research
and policy analysis on emerging
economic and social issues in rural
Minnesota, to serve as a policy
resource center for rural Minnesota
communities, to encourage collaboration
across higher education institutions to
provide interdisciplinary team
approaches to research and
problem-solving in rural communities,
and to administer overall operations of
the center.

(2) The grant shall be provided upon
the condition that each
state-appropriated dollar be matched
with a nonstate dollar. Acceptable
matching funds are nonstate
contributions that the center has
received and have not been used to
match previous state grants. Any funds
not spent the first year are available
the second year.

(b) $100,000 the first year and
$100,000 the second year are from the
general fund for a grant to the
Metropolitan Economic Development
Association for continuing minority
business development programs in the
metropolitan area.

(c) $150,000 the first year and
$150,000 the second year are from the
general fund for a grant to
WomenVenture for women's business
development programs.

(d) $250,000 the first year and
$250,000 the second year are from the
general fund to establish a
methamphetamine laboratory cleanup
revolving loan fund pursuant to
proposed legislation. This is a
onetime appropriation. These funds are
available until spent.

Subd. 3.

Workforce Partnerships 7,910,000 7,910,000

Summary by Fund

General 7,035,000 7,035,000

Workforce
Development 875,000 875,000

(a) $6,785,000 the first year and
$6,785,000 the second year are from the
general fund for the Minnesota job
skills partnership program under
Minnesota Statutes, sections 116L.01 to
116L.17. If the appropriation for
either year is insufficient, the
appropriation for the other year is
available. This appropriation does not
cancel.

(b) $250,000 the first year and
$250,000 the second year are from the
general fund for a grant under
Minnesota Statutes, section 116J.8747,
to Twin Cities RISE! to provide
training to hard-to-train individuals.

(c) $875,000 the first year and
$875,000 the second year are from the
workforce development fund for
Opportunities Industrialization Center
programs.

(d) Pursuant to Laws 2003, chapter 128,
article 10, section 11, paragraph (g),
$550,000 the first year and $550,000
the second year from the workforce
development fund will be transferred to
the general fund.

(e) Pursuant to Laws 2001, First
Special Session chapter 4, article 1,
section 4, subdivision 6, as amended by
Laws 2002, chapter 220, article 12,
section 12, the first $2,000,000
deposited in each year of the biennium
into the contingent account created
under Minnesota Statutes, section
268.196, subdivision 3, shall be
transferred upon deposit to the
workforce development fund, created
under Minnesota Statutes, section
116L.20. Deposits in excess of the
$2,000,000 shall be transferred upon
deposit to the general fund.

Subd. 4.

Workforce Services 27,110,000 27,110,000

Summary by Fund

General 20,165,000 20,165,000

Workforce
Development 6,945,000 6,945,000

(a) $4,817,000 the first year and
$4,817,000 the second year are from the
general fund and $6,920,000 the first
year and $6,920,000 the second year are
from the workforce development fund for
extended employment services for
persons with severe disabilities or
related conditions under Minnesota
Statutes, section 268A.15.

(b) $1,690,000 the first year and
$1,690,000 the second year are from the
general fund for grants under Minnesota
Statutes, section 268A.11, for the
eight centers for independent living.
Money not expended the first year is
available the second year.

(c) $150,000 the first year and
$150,000 the second year are from the
general fund and $25,000 the first year
and $25,000 the second year are from
the workforce development fund for
grants under Minnesota Statutes,
section 268A.03, to Rise, Inc. for the
Minnesota Employment Center for People
Who are Deaf or Hard-of-Hearing. Money
not expended the first year is
available the second year.

(d) $1,000,000 the first year and
$1,000,000 the second year are from the
general fund for grants for programs
that provide employment support
services to persons with mental illness
under Minnesota Statutes, sections
268A.13 and 268A.14. Up to $105,000
each year may be used for
administrative and salary expenses.

(e) $4,940,000 the first year and
$4,940,000 the second year are from the
general fund for State Services for the
Blind activities.

Subd. 5.

State-Funded
Administration 3,277,000 3,277,000

Sec. 3. COMMERCE

Subdivision 1.

Total
Appropriation 24,874,000 24,874,000

Summary by Fund

General 22,955,000 22,955,000

Petroleum
Cleanup 1,084,000 1,084,000

Workers'
Compensation 835,000 835,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Financial Examinations

5,994,000 5,994,000

Subd. 3.

Petroleum Tank Release
Cleanup Board

1,084,000 1,084,000

This appropriation is from the
petroleum tank release cleanup fund.

Subd. 4.

Administrative Services

5,418,000 5,418,000

Subd. 5.

Market Assurance

5,647,000 5,647,000

Summary by Fund

General 4,812,000 4,812,000

Workers'
Compensation 835,000 835,000

Subd. 6.

Energy and
Telecommunications

4,224,000 4,224,000

Subd. 7.

Weights and Measurement

2,507,000 2,507,000

Sec. 4. HOUSING FINANCE AGENCY

Subdivision 1.

Total
Appropriation 28,270,000 28,270,000

The amounts that may be spent from this
appropriation for certain programs are
specified in the following subdivisions.

This appropriation is for transfer to
the housing development fund for the
programs specified. Except as
otherwise indicated, this transfer is
part of the agency's permanent budget
base.

Subd. 2.

Challenge Program

$4,407,000 the first year and
$4,407,000 the second year are for the
economic development and housing
challenge program under Minnesota
Statutes, section 462A.33.

Subd. 3.

Housing Trust Fund

$6,305,000 the first year and
$6,305,000 the second year are for the
housing trust fund to be deposited in
the housing trust fund account created
under Minnesota Statutes, section
462A.201, and used for the purposes
provided in that section.

Subd. 4.

Rental Assistance
for Mentally Ill

$1,638,000 the first year and
$1,638,000 the second year are for a
rental housing assistance program for
persons with a mental illness or
families with an adult member with a
mental illness under Minnesota
Statutes, section 462A.2097.

Subd. 5.

Family Homeless
Prevention

$3,715,000 the first year and
$3,715,000 the second year are for
family homeless prevention and
assistance programs under Minnesota
Statutes, section 462A.204. Any
balance the first year does not cancel
but is available the second year.

Subd. 6.

Home Ownership
Assistance Fund

The budget base for the home ownership
assistance fund shall be $885,000 in
fiscal year 2008 and $885,000 in fiscal
year 2009.

Subd. 7.

Affordable Rental
Investment Fund

$8,531,000 the first year and
$8,531,000 the second year are for the
affordable rental investment fund
program under Minnesota Statutes,
section 462A.21, subdivision 8b.

This appropriation is to finance the
acquisition, rehabilitation, and debt
restructuring of federally assisted
rental property and for making equity
take-out loans under Minnesota
Statutes, section 462A.05, subdivision
39. This appropriation also may be
used to finance the acquisition,
rehabilitation, and debt restructuring
of existing supportive housing
properties. For purposes of this
subdivision, "supportive housing" means
affordable rental housing with links to
services necessary for individuals,
youth, and families with children to
maintain housing stability.

The owner of the federally assisted
rental property must agree to
participate in the applicable federally
assisted housing program and to extend
any existing low-income affordability
restrictions on the housing for the
maximum term permitted. The owner must
also enter into an agreement that gives
local units of government, housing and
redevelopment authorities, and
nonprofit housing organizations the
right of first refusal if the rental
property is offered for sale. Priority
must be given among comparable
federally assisted rental properties to
properties with the longest remaining
term under an agreement for federal
rental assistance. Priority must also
be given among comparable rental
housing developments to developments
that are or will be owned by local
government units, a housing and
redevelopment authority, or a nonprofit
housing organization.

Subd. 8.

Housing Rehabilitation
and Accessibility

$2,654,000 the first year and
$2,654,000 the second year are for the
housing rehabilitation and
accessibility program under Minnesota
Statutes, section 462A.05, subdivisions
14a and 15a.

Subd. 9.

Home Ownership Education,
Counseling, and Training

$770,000 the first year and $770,000
the second year are for the home
ownership education, counseling, and
training program under Minnesota
Statutes, section 462A.209.

Subd. 10.

Capacity Building
Grants

$250,000 the first year and $250,000
the second year are for nonprofit
capacity building grants under
Minnesota Statutes, section 462A.21,
subdivision 3b.

Sec. 5. EXPLORE MINNESOTA
TOURISM 7,626,000 8,626,000

To develop maximum private sector
involvement in tourism, $4,000,000 each
year must be matched by Explore
Minnesota Tourism from nonstate
sources. Up to one-half of the total
match requirement may include in-kind
contributions. Cash match is defined
as revenue to the state or documented
case expenditures directly expended to
support Explore Minnesota Tourism
programs.

In the second year, for every dollar
generated from nonstate sources in the
previous year in excess of $4,000,000,
an amount of up to $1,000,000 is
appropriated from the general fund to
Explore Minnesota Tourism for marketing
purposes. This incentive is ongoing.
In order to maximize marketing grant
benefits, the director must give
priority for organizational partnership
marketing grants to organizations with
year-round sustained tourism
activities. For programs and projects
submitted, the director must give
priority to those that encompass two or
more areas or that attract nonresident
travelers to the state.

Funding for the marketing grants is
available either year of the biennium.
Unexpended grant funds from the first
year are available in the second year.

The director may use grant dollars or
the value of in-kind services to
provide the state contribution for the
partnership grant program.

Any unexpended money from the general
fund appropriations made under this
subdivision does not cancel but must be
placed in a special marketing account
for use by Explore Minnesota Tourism
for additional marketing activities.

Sec. 6. LABOR AND INDUSTRY

Subdivision 1.

Total
Appropriation 22,594,000 22,594,000

Summary by Fund

General 2,872,000 2,872,000

Workers'
Compensation 19,272,000 19,272,000

Workforce
Development 450,000 450,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Workers' Compensation

10,346,000 10,346,000

This appropriation is from the workers'
compensation fund.

$125,000 the first year and $125,000
the second year are for grants to the
Vinland Center for rehabilitation
services.

Subd. 3.

Workplace Services

6,961,000 6,961,000

Summary by Fund

General 2,872,000 2,872,000

Workers'
Compensation 3,639,000 3,639,000

Workforce
Development 450,000 450,000

$350,000 each year is from the
workforce development fund for the
apprenticeship program under Minnesota
Statutes, chapter 178.

$100,000 the first year and $100,000
the second year are for labor education
and advancement program grants. This
appropriation is from the workforce
development fund.

The annual license fees authorized
under Minnesota Statutes, section
326.48, and detailed in Minnesota
Rules, part 5230.0100, subpart 3, shall
increase $20 for a journeyman
high-pressure piping pipefitter
license, $20 for a high-pressure piping
contracting pipefitter, $10 for an
inactive license, and $100 for a
high-pressure pipefitting business
license.

The permit filing and inspection fees
authorized under Minnesota Statutes,
section 326.47, and detailed in
Minnesota Rules, part 5230.0100,
subpart 4, shall be increased as
follows: the filing of a permit
application shall be increased $50, the
minimum high-pressure piping inspection
fee shall be increased $50, and the
schedule of inspection fee rates shall
be increased by ten percent.

Subd. 4.

General Support

5,287,000 5,287,000

This appropriation is from the workers'
compensation fund.

Sec. 7. BUREAU OF MEDIATION
SERVICES

Subdivision 1.

Total
Appropriation 1,773,000 1,773,000

The amounts that may be spent from this
appropriation for each program are
specified in the following subdivisions.

Subd. 2.

Mediation Services

1,673,000 1,673,000

Subd. 3.

Labor Management
Cooperation Grants

100,000 100,000

$100,000 each year is for grants to
area labor management committees.
Grants may be awarded for a 12-month
period beginning July 1 each year. Any
unencumbered balance remaining at the
end of the first year does not cancel
but is available for the second year.

Sec. 8. WORKERS' COMPENSATION
COURT OF APPEALS 1,618,000 1,618,000

This appropriation is from the workers'
compensation fund.

Sec. 9. MINNESOTA HISTORICAL
SOCIETY

Subdivision 1.

Total
Appropriation 21,850,000 21,723,000

The amounts that may be spent from this
appropriation for each program are
specified in the following
subdivisions. The Historical Society
shall make its best possible efforts,
including the use of volunteers, to
avoid closing historic sites or
substantially limiting public access to
them. Before closing any site, the
Historical Society must consult with,
and fully consider proposals from,
interested community groups or
individuals who are willing to provide
financial or in-kind support for site
operations.

Subd. 2.

Education and
Outreach

11,824,000 11,824,000

Subd. 3.

Preservation and
Access

9,772,000 9,772,000

Subd. 4.

Pass-Through
Appropriations

254,000 127,000

(a) Minnesota International Center

43,000 42,000

(b) Minnesota Air National
Guard Museum

16,000 -0-

(c) Minnesota Military Museum

67,000 -0-

(d) Farmamerica

128,000 85,000

Notwithstanding any other law, this
appropriation may be used for
operations.

(e) Balances Forward

Any unencumbered balance remaining in
this subdivision the first year does
not cancel but is available for the
second year of the biennium.

Subd. 5.

Fund Transfer

The Historical Society may reallocate
funds appropriated in and between
subdivisions 2 and 3 for any program
purposes.

Sec. 10. BOARD OF THE ARTS

Subdivision 1.

Total
Appropriation 8,593,000 8,593,000

If the appropriation for either year is
insufficient, the appropriation for the
other year is available.

Subd. 2.

Operations and Services

404,000 404,000

Subd. 3.

Grants Programs

5,767,000 5,767,000

Subd. 4.

Regional Arts
Councils

2,422,000 2,422,000

Sec. 11. BOARD OF
ACCOUNTANCY 487,000 487,000

Effective the day following final
enactment of this act and no later than
June 30, 2006, the Board of Accountancy
shall combine its administrative
functions with those of the Board of
Architecture, Engineering, Land
Surveying, Landscape Architecture,
Geoscience, and Interior Design.

Sec. 12.

BOARD OF ARCHITECTURE,
ENGINEERING, LAND SURVEYING,
LANDSCAPE ARCHITECTURE, GEOSCIENCE,
AND INTERIOR DESIGN 785,000 785,000

Sec. 13.

BOARD OF BARBER
EXAMINERS 699,000 699,000

Sec. 14.

PUBLIC UTILITIES
COMMISSION 4,163,000 4,163,000

Sec. 15. BOARD OF ELECTRICITY

On or before June 30, 2006, the board
shall transfer $4,000,000 from the
special revenue fund to the general
fund.

Sec. 16.

new text begin [45.22] LICENSE EDUCATION.
new text end

new text begin The following fees must be paid to the commissioner:
new text end

new text begin (1) initial course approval, $10 for each hour or fraction
of one hour of education course approval sought. Initial course
approval expires on the last day of the 24th month after the
course is approved;
new text end

new text begin (2) renewal of course approval, $10 per course. Renewal of
course approval expires on the last day of the 24th month after
the course is renewed;
new text end

new text begin (3) initial coordinator approval, $100. Initial
coordinator approval expires on the last day of the 24th month
after the coordinator is approved; and
new text end

new text begin (4) renewal of coordinator approval, $10. Renewal of
coordinator approval expires on the last day of the 24th month
after the coordinator is renewed.
new text end

Sec. 17.

Minnesota Statutes 2004, section 60A.14,
subdivision 1, is amended to read:

Subdivision 1.

Fees other than examination fees.

In
addition to the fees and charges provided for examinations, the
following fees must be paid to the commissioner for deposit in
the general fund:

(a) by township mutual fire insurance companies;

(1) for filing certificate of incorporation $25 and
amendments thereto, $10;

(2) for filing annual statements, $15;

(3) for each annual certificate of authority, $15;

(4) for filing bylaws $25 and amendments thereto, $10;

(b) by other domestic and foreign companies including
fraternals and reciprocal exchanges;

(1) new text begin for filing an application for an initial certification
of authority to be admitted to transact business in this state,
$1,500;
new text end

new text begin (2) new text end for filing certified copy of certificate of articles of
incorporation, $100;

deleted text begin (2) deleted text end new text begin (3) new text end for filing annual statement, $225;

deleted text begin (3) deleted text end new text begin (4) new text end for filing certified copy of amendment to
certificate or articles of incorporation, $100;

deleted text begin (4) deleted text end new text begin (5) new text end for filing bylaws, $75 or amendments thereto, $75;

deleted text begin (5) deleted text end new text begin (6) new text end for each company's certificate of authority, $575,
annually;

(c) the following general fees apply:

(1) for each certificate, including certified copy of
certificate of authority, renewal, valuation of life policies,
corporate condition or qualification, $25;

(2) for each copy of paper on file in the commissioner's
office 50 cents per page, and $2.50 for certifying the same;

(3) for license to procure insurance in unadmitted foreign
companies, $575;

(4) for valuing the policies of life insurance companies,
one cent per $1,000 of insurance so valued, provided that the
fee shall not exceed $13,000 per year for any company. The
commissioner may, in lieu of a valuation of the policies of any
foreign life insurance company admitted, or applying for
admission, to do business in this state, accept a certificate of
valuation from the company's own actuary or from the
commissioner of insurance of the state or territory in which the
company is domiciled;

(5) for receiving and filing certificates of policies by
the company's actuary, or by the commissioner of insurance of
any other state or territory, $50;

(6) for each appointment of an agent filed with the
commissioner, $10;

(7) for filing forms and rates, $75 per filing, which may
be paid on a quarterly basis in response to an invoice. Billing
and payment may be made electronically;

(8) for annual renewal of surplus lines insurer license,
$300;

(9) $250 filing fee for a large risk alternative rating
option plan that meets the $250,000 threshold requirement.

The commissioner shall adopt rules to define filings that
are subject to a fee.

Sec. 18.

Minnesota Statutes 2004, section 60K.55,
subdivision 2, is amended to read:

Subd. 2.

Licensing fees.

(a) In addition to fees
provided for examinations, each insurance producer licensed
under this chapter shall pay to the commissioner a fee of:

(1) deleted text begin $40 deleted text end new text begin $50 new text end for an initial life, accident and health,
property, or casualty license issued to an individual insurance
producer, and a fee of deleted text begin $40 deleted text end new text begin $50 new text end for each renewal;

(2) deleted text begin $75 deleted text end new text begin $50 new text end for an initial variable life and variable
annuity license issued to an individual insurance producer, and
a fee of $50 for each renewal;

(3) deleted text begin $80 deleted text end new text begin $50 new text end for an initial personal lines license issued to
an individual insurance producer, and a fee of deleted text begin $80 deleted text end new text begin $50 new text end for each
renewal;

(4) deleted text begin $80 deleted text end new text begin $50 new text end for an initial limited lines license issued to
an individual insurance producer, and a fee of deleted text begin $80 deleted text end new text begin $50 new text end for each
renewal;

(5) $200 for an initial license issued to a business
entity, and a fee of deleted text begin $150 deleted text end new text begin $200 new text end for each renewal; and

(6) $500 for an initial surplus lines license, and a fee of
$500 for each renewal.

(b) Initial licenses issued under this chapter are valid
for a period not to exceed 24 months and expire on October 31 of
the renewal year assigned by the commissioner. Each renewal
insurance producer license is valid for a period of 24 months.
Licensees who submit renewal applications postmarked or
delivered on or before October 15 of the renewal year may
continue to transact business whether or not the renewal license
has been received by November 1. Licensees who submit
applications postmarked or delivered after October 15 of the
renewal year must not transact business after the expiration
date of the license until the renewal license has been received.

(c) All fees are nonreturnable, except that an overpayment
of any fee may be refunded upon proper application.

Sec. 19.

Minnesota Statutes 2004, section 72B.04,
subdivision 10, is amended to read:

Subd. 10.

Fees.

A fee of deleted text begin $80 deleted text end new text begin $50 new text end is imposed for each
initial license or temporary permit and deleted text begin $80 deleted text end new text begin $50 new text end for each renewal
thereof or amendment thereto. A fee of $20 is imposed for the
registration of each nonlicensed adjuster who is required to
register under section 72B.06. All fees shall be transmitted to
the commissioner and shall be payable to the Department of
Commerce.

Sec. 20.

Minnesota Statutes 2004, section 82B.09,
subdivision 1, is amended to read:

Subdivision 1.

Amounts.

The following fees must be paid
to the commissioner new text begin :
new text end

new text begin (1) $150 new text end for each initial individual real estate
appraiser's license deleted text begin : $150 if the license expires more than 12
months after issuance, $100 if the license expires less than 12
months after issuance deleted text end ; and deleted text begin a fee of
deleted text end

new text begin (2) new text end $100 for each renewal.

Sec. 21.

Minnesota Statutes 2004, section 116C.779,
subdivision 2, is amended to read:

Subd. 2.

Renewable energy production incentive.

(a)
Until January 1, 2018, up to deleted text begin $6,000,000 deleted text end new text begin $10,500,000 new text end annually
must be allocated from available funds in the account to fund
renewable energy production incentives. deleted text begin $4,500,000 deleted text end new text begin $9,000,000
new text end of this annual amount is for incentives for up to deleted text begin 100 deleted text end new text begin 200
new text end megawatts of electricity generated by wind energy conversion
systems that are eligible for the incentives under section
216C.41. The balance of this amount, up to $1,500,000 annually,
may be used for production incentives for on-farm biogas
recovery facilities that are eligible for the incentive under
section 216C.41 or for production incentives for other
renewables, to be provided in the same manner as under section
216C.41. Any portion of the deleted text begin $6,000,000 deleted text end new text begin $10,500,000 new text end not expended
in any calendar year for the incentive is available for other
spending purposes under this section. This subdivision does not
create an obligation to contribute funds to the account.

(b) The Department of Commerce shall determine eligibility
of projects under section 216C.41 for the purposes of this
subdivision. At least quarterly, the Department of Commerce
shall notify the public utility of the name and address of each
eligible project owner and the amount due to each project under
section 216C.41. The public utility shall make payments within
15 working days after receipt of notification of payments due.

Sec. 22.

Minnesota Statutes 2004, section 116J.551,
subdivision 1, is amended to read:

Subdivision 1.

Grant account.

A contaminated site
cleanup and development grant account is created in the general
fund. Money in the account may be used, as appropriated by law,
to make grants as provided in section 116J.554 and to pay for
the commissioner's costs in reviewing applications and making
grants. new text begin Notwithstanding section 16A.28, money appropriated to
the account is available for four years.
new text end

Sec. 23.

Minnesota Statutes 2004, section 116J.63,
subdivision 2, is amended to read:

Subd. 2.

Fees.

new text begin (a) new text end Fees for reports, publications, or
related publicity or promotional material are not subject to the
rulemaking requirements of chapter 14 and are not subject to
section 16A.1285. The fees prescribed by the commissioner must
be commensurate with the distribution objective of the
department for the material produced or with the cost of
furnishing the services. new text begin Except as described in paragraph (b),
new text end all fees for materials and services must be deposited in the
general fund.

new text begin (b) The commissioner may sell marketing materials at cost
to economic development organizations and others in quantities
that would not otherwise be available through general fund
appropriations. Funds received must be placed in a special
revolving account and are appropriated to the commissioner to
pay for the production of the materials.
new text end

Sec. 24.

Minnesota Statutes 2004, section 116J.8731,
subdivision 5, is amended to read:

Subd. 5.

Grant limits.

A Minnesota investment fund grant
may not be approved for an amount in excess of $1,000,000. This
limit covers all money paid to complete the same project,
whether paid to one or more grant recipients and whether paid in
one or more fiscal years. deleted text begin The portion deleted text end new text begin A local community or
recognized Indian tribal government may retain 20 percent, but
not more than $100,000 new text end of a Minnesota investment fund grant deleted text begin that
exceeds $100,000 must be repaid to the state deleted text end when it is repaid
to the local community or recognized Indian tribal government by
the person or entity to which it was loaned by the local
community or Indian tribal government. Money repaid to the
state must be credited to a Minnesota investment revolving loan
account in the state treasury. Funds in the account are
appropriated to the commissioner and must be used in the same
manner as are funds appropriated to the Minnesota investment
fund. Funds repaid to the state through existing Minnesota
investment fund agreements must be credited to the Minnesota
investment revolving loan account effective July 1, 2003. A
grant or loan may not be made to a person or entity for the
operation or expansion of a casino or a store which is used
solely or principally for retail sales. Persons or entities
receiving grants or loans must pay each employee total
compensation, including benefits not mandated by law, that on an
annualized basis is equal to at least 110 percent of the federal
poverty level for a family of four.

Sec. 25.

Minnesota Statutes 2004, section 183.41, is
amended by adding a subdivision to read:

new text begin Subd. 4. new text end

new text begin Annual permit. new text end

new text begin The commissioner shall issue an
annual permit to a boat for the purpose of carrying passengers
for hire on the inland waters of the state provided the boat
satisfies the inspection requirements of this section. A boat
subject to inspection under this chapter shall be registered
with the Division of Boiler Inspection and shall be inspected
before a permit may be issued.
new text end

Sec. 26.

Minnesota Statutes 2004, section 183.411,
subdivision 2a, is amended to read:

Subd. 2a.

Inspection fees.

The deleted text begin commissioner may set fees
deleted text end new text begin fee new text end for inspecting traction engines, show boilers, and show
engines new text begin shall be the hourly rate new text end pursuant to section
deleted text begin 16A.1285 deleted text end new text begin 183.545, subdivision 3a new text end .

Sec. 27.

Minnesota Statutes 2004, section 183.411,
subdivision 3, is amended to read:

Subd. 3.

Licenses.

A license to operate steam farm
traction engines, portable and stationary show engines and
portable and stationary show boilers shall be issued to an
applicant who:

deleted text begin (a) deleted text end new text begin (1) new text end is 18 years of age or older;

deleted text begin (b) deleted text end new text begin (2) new text end has a licensed second class or higher class
engineer or steam traction (hobby) engineer sign the affidavit
attesting to the applicant's competence in operating said
devices;

deleted text begin (c) deleted text end new text begin (3) new text end passes a written test for competence in operating
said devices;

deleted text begin (d) deleted text end new text begin (4) new text end has at least 25 hours of actual operating
experience on said devices; and

deleted text begin (e) deleted text end new text begin (5) new text end pays the required fee.

A license shall be valid for the lifetime of the licensee.
A onetime fee deleted text begin set by the commissioner deleted text end pursuant to section
deleted text begin 16A.1285 deleted text end new text begin 183.545, subdivision 4 new text end , shall be charged for the
license.

Sec. 28.

Minnesota Statutes 2004, section 183.42, is
amended to read:

183.42 INSPECTION deleted text begin EACH YEAR deleted text end new text begin AND REGISTRATION new text end .

new text begin Subdivision 1. new text end

new text begin Inspection. new text end

Every owner, lessee, or other
person having charge of boilers deleted text begin , deleted text end new text begin or new text end pressure vessels deleted text begin , or any
boat deleted text end subject to inspection under this chapter shall cause them
to be inspected by the Division of Boiler Inspection.
Boilers deleted text begin and boats deleted text end subject to inspection under this chapter must
be inspected at least annually and pressure vessels inspected at
least every two years except as provided under section
183.45. deleted text begin A person who fails to have the inspection required by
this section shall pay to the commissioner a penalty in the
amount of the cost of inspection up to a maximum of $1,000. deleted text end new text begin The
commissioner shall assess a $250 penalty per applicable boiler
or pressure vessel for failure to have the inspection required
by this section and may seal the boiler or pressure vessel for
refusal to allow an inspection as required by this section.
new text end

new text begin Subd. 2. new text end

new text begin Registration. new text end

new text begin Every owner, lessee, or other
person having charge of boilers or pressure vessels subject to
inspection under this chapter shall register said objects with
the Division of Boiler Inspection. The registration shall be
renewed annually and is applicable to each object separately.
The fee for registration of a boiler or pressure vessel shall be
pursuant to section 183.545, subdivision 10. The Division of
Boiler Inspection may issue a billing statement for each boiler
and pressure vessel on record with the division, and may
determine a monthly schedule of billings to be followed for
owners, lessees, or other persons having charge of a boiler or
pressure vessel subject to inspection under this chapter.
new text end

new text begin Subd. 3. new text end

new text begin Certificate of registration. new text end

new text begin The Division of
Boiler Inspection shall issue a certificate of registration that
lists the boilers and pressure vessels at the location,
expiration date of the certificate of registration, last
inspection date of each boiler and pressure vessel, and maximum
allowable working pressure for each boiler and pressure vessel.
The commissioner may make an electronic certificate of
registration available to be printed by the owner, lessee, or
other person having charge of the boiler or pressure vessel.
new text end

Sec. 29.

Minnesota Statutes 2004, section 183.44,
subdivision 1, is amended to read:

Subdivision 1.

Masters and pilots.

The deleted text begin Division of
Boiler Inspection deleted text end new text begin commissioner or the commissioner's designee
new text end shall examine all masters deleted text begin and pilots deleted text end of boats and vessels
carrying passengers for hire on the inland waters of the state
as to their qualifications and fitness. If found deleted text begin trustworthy
deleted text end new text begin qualified new text end and competent to perform their duties as a master deleted text begin or
pilot deleted text end new text begin of a boat carrying passengers for hire, new text end they shall be
deleted text begin given deleted text end new text begin issued new text end a deleted text begin certificate deleted text end new text begin license new text end authorizing them to act as
such on the inland waters of the state. new text begin The license shall be
renewed annually. Fees for the original issue and renewal of
the license authorized under this section shall be pursuant to
section 183.545, subdivision 2.
new text end

Sec. 30.

Minnesota Statutes 2004, section 183.51,
subdivision 2, is amended to read:

Subd. 2.

Applications.

Any person who desires an
engineer's license shall deleted text begin make deleted text end new text begin submit new text end a written application, on
blanks furnished by the deleted text begin inspector. The person shall also
successfully pass a written examination for such grade of
license applied for deleted text end new text begin commissioner or designee, at least 15 days
before the requested exam date. The application is valid for
one year from the date the commissioner or designee received the
application new text end .

Sec. 31.

Minnesota Statutes 2004, section 183.51, is
amended by adding a subdivision to read:

new text begin Subd. 2a. new text end

new text begin Examinations. new text end

new text begin Each applicant for a license
must pass an examination approved by the commissioner. The
examinations shall be of sufficient scope to establish the
competency of the applicant to operate a boiler of the
applicable license class and grade.
new text end

Sec. 32.

Minnesota Statutes 2004, section 183.545, is
amended to read:

183.545 FEES FOR INSPECTION.

Subdivision 1.

Fee amount; vessels new text begin operated on inland
waters new text end .

The fees for the inspection of the hull, boiler,
machinery, and equipments of vessels deleted text begin are to be set by the
commissioner pursuant to section 16A.1285, for vessels of 50
tons burden or over and vessels of less than 50 tons
burden. deleted text end new text begin operated on inland waters and that carry passengers for
hire are as follows:
new text end

new text begin (1) annual operating permit and safety inspections shall be
$200; and
new text end

new text begin (2) other inspections, including dry-dock inspections, boat
stability tests, and plan reviews, are billed at the hourly rate
set in subdivision 3a.
new text end

Subd. 2.

Fee amounts; masters deleted text begin and pilots deleted text end .

The
deleted text begin commissioner shall, pursuant to section 16A.1285, set
the deleted text end new text begin license and application new text end fee for deleted text begin an examination of an
applicant for deleted text end a master's deleted text begin or pilot's deleted text end license new text begin is $50 new text end , deleted text begin for an deleted text end new text begin or
$20 if the applicant possesses a valid, unlimited, current
United States Coast Guard master's or pilot's license. The
new text end annual renewal of a master's deleted text begin or a pilot's deleted text end license deleted text begin , and for an deleted text end new text begin is
$20. The new text end annual renewal if paid later than deleted text begin ten deleted text end new text begin 30 new text end days after
expiration new text begin is $35. The fee for replacement of a current, valid
license is $20 new text end .

Subd. 3.

new text begin boiler and pressure vessel new text end inspection fees.

The
fees for the annual inspection of boilers and biennial
inspection of pressure vessels are deleted text begin to be set by the commissioner
pursuant to section 16A.1285, for deleted text end new text begin as follows new text end :

deleted text begin (a) deleted text end new text begin (1) new text end boiler inaccessible for internal inspection new text begin , $55 new text end ;

deleted text begin (b) deleted text end new text begin (2) new text end boiler accessible for internal inspection new text begin , $55 new text end ;

deleted text begin (c) deleted text end new text begin (3) new text end boiler internal inspection over 2,000 square feet
heating surface new text begin shall be billed at the hourly rate set in
subdivision 3a new text end ;

deleted text begin (d) boiler internal inspection over 4,000 square feet
heating surface;
deleted text end

deleted text begin (e) boiler internal inspection over 10,000 square feet
heating surface;
deleted text end

deleted text begin (f) deleted text end new text begin (4) new text end boiler accessible for internal inspection requiring
one-half day or more of inspection time shall be billed at the
deleted text begin established shop inspection fee deleted text end new text begin hourly new text end rate new text begin set in subdivision
3a new text end ;

deleted text begin (g) deleted text end new text begin (5) new text end pressure vessel for internal inspection via
manhole new text begin , $35 new text end ; and

deleted text begin (h) deleted text end new text begin (6) new text end pressure vessel inaccessible for internal
inspection new text begin , $35 new text end .

deleted text begin An additional fee based on the scale of fees applicable to
an inspection shall be charged when it is necessary to make a
special trip for a hydrostatic test of a boiler or pressure
vessel.
deleted text end

new text begin Subd. 3a. new text end

new text begin Hourly rate. new text end

The deleted text begin commissioner shall, pursuant
to section 16A.1285, set shop inspection fees deleted text end new text begin hourly rate for an
inspection not set elsewhere in this chapter is $80 per hour new text end .
Inspection time includes all time related to the deleted text begin shop
deleted text end inspection. new text begin Travel time, billed at the hourly rate, and travel
expenses shall be billed for shop inspections, triennial audits,
boat stability tests, hydrostatic tests of a boiler or pressure
vessel, or any other inspection or consultation requiring a
special trip.
new text end

Subd. 4.

deleted text begin applicants deleted text end new text begin boiler engineer license new text end fees.

deleted text begin The
commissioner shall, pursuant to section 16A.1285, set the fee
for an examination of an applicant deleted text end For the following licenses new text begin ,
the nonrefundable license and application fee is new text end :

deleted text begin (a) deleted text end new text begin (1) new text end chief engineer's license new text begin , $50 new text end ;

deleted text begin (b) deleted text end new text begin (2) new text end first class engineer's license new text begin , $50 new text end ;

deleted text begin (c) deleted text end new text begin (3) new text end second class engineer's license new text begin , $50 new text end ;

deleted text begin (d) deleted text end new text begin (4) new text end special engineer's license new text begin , $20 new text end ; new text begin and
new text end

deleted text begin (e) deleted text end new text begin (5) new text end traction new text begin or hobby boiler new text end engineer's license deleted text begin ; and deleted text end new text begin ,
$50.
new text end

deleted text begin (f) pilot's license.
deleted text end

deleted text begin If an applicant, after an examination, is entitled to
receive a license, it shall be issued without the payment of any
additional charge. Any license so issued expires one year after
the date of its issuance. deleted text end An engineer's license may be renewed
upon application deleted text begin therefor deleted text end and deleted text begin the deleted text end payment of an annual renewal
fee deleted text begin as set by the commissioner pursuant to section 16A.1285 deleted text end new text begin of
$20 new text end . new text begin The annual renewal, if paid later than 30 days after
expiration, is $35. The fee for replacement of a current, valid
license is $20.
new text end

Subd. 6.

National board inspectors.

The fee for an
examination of an applicant for a National Board of Boiler and
Pressure Vessels Inspectors commission deleted text begin shall be set by the
commissioner pursuant to section 16A.1285 deleted text end new text begin is $100 new text end .

Subd. 7.

Nuclear endorsement.

The fee for each
examination of an applicant for a National Board of Boiler and
Pressure Vessels commissioned inspectors nuclear endorsement
deleted text begin shall be set by the commissioner pursuant to section 16A.1285 deleted text end new text begin is
$100 new text end .

Subd. 8.

Certificate of competency.

The fee for issuance
of the original state of Minnesota certificate of competency for
inspectors deleted text begin shall be set by the commissioner pursuant to section
16A.1285 deleted text end new text begin is $50 new text end . This fee is waived for inspectors who paid the
examination fee. The fee for an annual renewal of the state of
Minnesota certificate of competency deleted text begin shall be set by the
commissioner pursuant to section 16A.1285 deleted text end new text begin is $35 new text end , and is due
January 1 of each year. new text begin The fee for replacement of a current,
valid license is $35.
new text end

Subd. 9.

Deposit of fees.

Fees received under this
section deleted text begin and section 183.57 deleted text end must be deposited in the state
treasury and credited to the general fund.

new text begin Subd. 10. new text end

new text begin Boiler and pressure vessel registration
fee. new text end

new text begin The annual registration fee for boilers and pressure
vessels in use and required to be inspected per section 183.42
shall be $10 per boiler and pressure vessel.
new text end

Sec. 33.

Minnesota Statutes 2004, section 183.57, is
amended to read:

183.57 REPORT OF INSURER; EXEMPTION FROM INSPECTION.

Subdivision 1.

Report required.

Any insurance company
insuring boilers and pressure vessels in this state shall deleted text begin make a
written deleted text end new text begin file a new text end report deleted text begin thereof deleted text end showing the date of inspection,
the name of the person making the inspection, the condition of
the boiler or pressure vessel as disclosed by the inspection,
whether the deleted text begin same is deleted text end new text begin boiler was new text end operated by a properly licensed
engineer, deleted text begin and deleted text end whether a policy of insurance has been issued by
the company with reference to the boiler or pressure vessel new text begin , and
other information as directed by the chief boiler inspector new text end .
Within deleted text begin 15 deleted text end new text begin 21 new text end days after the inspection, the insurance company
shall deleted text begin mail a copy of deleted text end new text begin file new text end the report deleted text begin to deleted text end new text begin with new text end the chief boiler
inspector deleted text begin and deleted text end new text begin or designee. The insurer shall provide new text end a copy of
the report to the person, firm, or corporation owning or
operating the new text begin inspected new text end boiler or pressure vessel deleted text begin inspected deleted text end .
Such report shall be made annually for boilers and biennially
for pressure vessels.

Subd. 2.

Exemption.

Every boiler or pressure vessel as
to which any insurance company authorized to do business in this
state has issued a policy of insurance, after the inspection
thereof, is exempt from inspection new text begin by the department new text end made under
sections 183.375 to 183.62, while the same continues to be
insured new text begin and provided it continues to be inspected in accordance
with the inspection schedule set forth in sections 183.42 and
183.45, new text end and the person, firm, or corporation owning or operating
the same has an unexpired certificate of deleted text begin exemption from
inspection, issued by the chief boiler
inspector deleted text end new text begin registration new text end . deleted text begin The fee set by the commissioner
pursuant to section 16A.1285, on the first object inspected and
on each object thereafter shall apply to each exempt object. A
certificate of exemption expires one year from date of issue.
The certificate of exemption shall be posted in a conspicuous
place near the boiler or pressure vessel or in the plant office
or boiler room described therein and to which it relates. Every
insurance company shall give written notice to the chief boiler
inspector of the cancellation or expiration of every policy of
insurance issued by it with reference to policies in this state,
and the cause or reason for the cancellation or expiration.
These notices of cancellation or expiration shall show the date
of the policy and the date when the cancellation has or will
become effective.
deleted text end

deleted text begin Subd. 4. deleted text end

deleted text begin Certificate of exemption. deleted text end

deleted text begin The Division of
Boiler Inspection may issue a billing and exemption certificate
for each boiler and pressure vessel which the division records
indicate shall be or has been inspected by an insurance company
which is providing coverage for the boilers and pressure
vessels. The division may determine the monthly schedule of the
billings to be followed for each business insured.
deleted text end

new text begin Subd. 5. new text end

new text begin Notice of insurance coverage. new text end

new text begin The insurer shall
notify the commissioner or designee in writing of its policy to
insure and inspect boilers and pressure vessels at a location
within 30 days of the effective date of insurance coverage,
including binders. The insurer must also provide a duplicate of
the notification to the insured.
new text end

new text begin Subd. 6. new text end

new text begin Notice of discontinued coverage. new text end

new text begin The insurer
shall notify the commissioner or designee in writing, within 30
days of the effective date, of the discontinuation of insurance
coverage of the boilers and pressure vessels at a location and
the cause or reason for the discontinuation. This notice shall
show the effective date when the discontinued policy takes
effect.
new text end

new text begin Subd. 7. new text end

new text begin Penalties. new text end

new text begin The commissioner shall assess upon
the insurer a $50 penalty, per applicable boiler and pressure
vessel, for failing to submit an inspection report or notify the
commissioner of insurance coverage or discontinuation of
insurance coverage as set forth in this section. The
commissioner shall assess upon the insurer a penalty of $100,
per applicable boiler and pressure vessel, for failing to
conduct the required in-service inspection within 120 days after
the inspection was due in accordance with section 183.42.
new text end

Sec. 34.

Minnesota Statutes 2004, section 216C.41,
subdivision 2, is amended to read:

Subd. 2.

Incentive payment; appropriation.

(a) Incentive
payments must be made according to this section to (1) a
qualified on-farm biogas recovery facility, (2) the owner or
operator of a qualified hydropower facility or qualified wind
energy conversion facility for electric energy generated and
sold by the facility, (3) a publicly owned hydropower facility
for electric energy that is generated by the facility and used
by the owner of the facility outside the facility, or (4) the
owner of a publicly owned dam that is in need of substantial
repair, for electric energy that is generated by a hydropower
facility at the dam and the annual incentive payments will be
used to fund the structural repairs and replacement of
structural components of the dam, or to retire debt incurred to
fund those repairs.

(b) Payment may only be made upon receipt by the
commissioner of deleted text begin finance deleted text end new text begin commerce new text end of an incentive payment
application that establishes that the applicant is eligible to
receive an incentive payment and that satisfies other
requirements the commissioner deems necessary. The application
must be in a form and submitted at a time the commissioner
establishes.

(c) There is annually appropriated from the general fund to
the commissioner of commerce sums sufficient to make the
payments required under this section, other than the amounts
funded by the renewable development account as specified in
subdivision 5a.

Sec. 35.

Minnesota Statutes 2004, section 216C.41,
subdivision 5, is amended to read:

Subd. 5.

Amount of payment; wind facilities limit.

(a)
An incentive payment is based on the number of kilowatt hours of
electricity generated. The amount of the payment is:

(1) for a facility described under subdivision 2, paragraph
(a), clause (4), 1.0 cent per kilowatt hour; and

(2) for all other facilities, 1.5 cents per kilowatt hour.

For electricity generated by qualified wind energy conversion
facilities, the incentive payment under this section is limited
to no more than deleted text begin 100 deleted text end new text begin 200 new text end megawatts of nameplate capacity.

(b) For wind energy conversion systems installed and
contracted for after January 1, 2002, the total size of a wind
energy conversion system under this section must be determined
according to this paragraph. Unless the systems are
interconnected with different distribution systems, the
nameplate capacity of one wind energy conversion system must be
combined with the nameplate capacity of any other wind energy
conversion system that is:

(1) located within five miles of the wind energy conversion
system;

(2) constructed within the same calendar year as the wind
energy conversion system; and

(3) under common ownership.

In the case of a dispute, the commissioner of commerce shall
determine the total size of the system, and shall draw all
reasonable inferences in favor of combining the systems.

(c) In making a determination under paragraph (b), the
commissioner of commerce may determine that two wind energy
conversion systems are under common ownership when the
underlying ownership structure contains similar persons or
entities, even if the ownership shares differ between the two
systems. Wind energy conversion systems are not under common
ownership solely because the same person or entity provided
equity financing for the systems.

Sec. 36.

Minnesota Statutes 2004, section 216C.41,
subdivision 5a, is amended to read:

Subd. 5a.

Renewable development account.

The Department
of Commerce shall authorize payment of the renewable energy
production incentive to wind energy conversion systems for deleted text begin 100
deleted text end new text begin 200 new text end megawatts of nameplate capacity deleted text begin in addition to the capacity
authorized under subdivision 5 deleted text end and to on-farm biogas recovery
facilities. Payment of the incentive shall be made from the
renewable energy development account as provided under section
116C.779, subdivision 2.

Sec. 37.

Minnesota Statutes 2004, section 326.975,
subdivision 1, is amended to read:

Subdivision 1.

Generally.

(a) In addition to any other
fees, each applicant for a license under sections 326.83 to
326.98 shall pay a fee to the contractor's recovery fund. The
contractor's recovery fund is created in the state treasury and
must be administered by the commissioner in the manner and
subject to all the requirements and limitations provided by
section 82.43 with the following exceptions:

(1) each licensee who renews a license shall pay in
addition to the appropriate renewal fee an additional fee which
shall be credited to the contractor's recovery fund. The amount
of the fee shall be based on the licensee's gross annual
receipts for the licensee's most recent fiscal year preceding
the renewal, on the following scale:

Fee Gross Receipts
$100 under $1,000,000
$150 $1,000,000 to $5,000,000
$200 over $5,000,000

Any person who receives a new license shall pay a fee based on
the same scale;

(2) new text begin (i) new text end the sole purpose of this fund is to compensate any
aggrieved owner or lessee of residential property located within
this state who obtains a final judgment in any court of
competent jurisdiction against a licensee licensed under section
326.84, on grounds of fraudulent, deceptive, or dishonest
practices, conversion of funds, or failure of performance
arising directly out of any transaction when the judgment debtor
was licensed and performed any of the activities enumerated
under section 326.83, subdivision 19, on the owner's residential
property or on residential property rented by the lessee, or on
new residential construction which was never occupied prior to
purchase by the owner, or which was occupied by the licensee for
less than one year prior to purchase by the owner, and which
cause of action arose on or after April 1, 1994; new text begin and (ii)
reimburse the Department of Commerce for all legal and
administrative expenses, including staffing costs, incurred in
administering the fund;
new text end

(3) nothing may obligate the fund for more than $50,000 per
claimant, nor more than $75,000 per licensee; and

(4) nothing may obligate the fund for claims based on a
cause of action that arose before the licensee paid the recovery
fund fee set in clause (1), or as provided in section 326.945,
subdivision 3.

(b) Should the commissioner pay from the contractor's
recovery fund any amount in settlement of a claim or toward
satisfaction of a judgment against a licensee, the license shall
be automatically suspended upon the effective date of an order
by the court authorizing payment from the fund. No licensee
shall be granted reinstatement until the licensee has repaid in
full, plus interest at the rate of 12 percent a year, twice the
amount paid from the fund on the licensee's account, and has
obtained a surety bond issued by an insurer authorized to
transact business in this state in the amount of at least
$40,000.

Sec. 38.

Minnesota Statutes 2004, section 345.47,
subdivision 3, is amended to read:

Subd. 3.

Securities.

Securities listed on an established
stock exchange shall be sold at the prevailing prices on the
exchange. Other securities may be sold over the counter at
prevailing prices or, deleted text begin with prior approval of the State Board of
Investment, deleted text end by another method the commissioner determines
advisable. United States government savings bonds and United
States war bonds shall be presented to the United States for
payment.

Sec. 39.

Minnesota Statutes 2004, section 345.47,
subdivision 3a, is amended to read:

Subd. 3a.

Holding period.

deleted text begin All securities presumed
abandoned under section 345.35 and delivered to the commissioner
must be held for at least three years before they are sold. A
person making a claim under this section is entitled to receive
either the securities delivered to the commissioner by the
holder, if they still remain in the hands of the commissioner,
or the proceeds received from the sale, but no person has any
claim under this section against the state, the holder, any
transfer agent, registrar, or other person acting for or on
behalf of a holder for any appreciation in the value of the
property occurring after delivery by the holder to the
commissioner. deleted text end new text begin If the property is of a type customarily sold on
a recognized market or of a type which may be sold over the
counter at prevailing prices, the commissioner may sell the
property without notice by publication or otherwise. The
commissioner may proceed with the liquidation after holding for
one year, with the exception of securities being held as the
result of an insurance company demutualization, these types of
securities may be sold upon receipt. The language provided in
this section grants to the commissioner express authority to
sell any property including, but not limited to, stocks, bonds,
notes, bills, and all other public or private securities. A
person making a claim under section 345.35 is entitled to
receive the securities delivered to the administrator by the
holder, if they still remain in the custody of the
administrator, or the net proceeds received from sale, and is
not entitled to receive any appreciation in the value of the
property occurring after sale by the commissioner. The
commissioner may liquidate all unclaimed securities currently
held in custody in accordance with the provisions of this
section.
new text end

Sec. 40.

Minnesota Statutes 2004, section 373.40,
subdivision 1, is amended to read:

Subdivision 1.

Definitions.

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

(a) "Bonds" means an obligation as defined under section
475.51.

(b) "Capital improvement" means acquisition or betterment
of public lands, development rights in the form of conservation
easements under chapter 84C, buildings, or other improvements
within the county for the purpose of a county courthouse,
administrative building, health or social service facility,
correctional facility, jail, law enforcement center, hospital,
morgue, library, park, qualified indoor ice arena, and roads and
bridges. An improvement must have an expected useful life of
five years or more to qualify. "Capital improvement" does not
include light rail transit or any activity related to it or a
recreation or sports facility building (such as, but not limited
to, a gymnasium, ice arena, racquet sports facility, swimming
pool, exercise room or health spa), unless the building is part
of an outdoor park facility and is incidental to the primary
purpose of outdoor recreation.

(c) deleted text begin "Commissioner" means the commissioner of employment and
economic development.
deleted text end

deleted text begin (d) deleted text end "Metropolitan county" means a county located in the
seven-county metropolitan area as defined in section 473.121 or
a county with a population of 90,000 or more.

deleted text begin (e) deleted text end new text begin (d) new text end "Population" means the population established by
the most recent of the following (determined as of the date the
resolution authorizing the bonds was adopted):

(1) the federal decennial census,

(2) a special census conducted under contract by the United
States Bureau of the Census, or

(3) a population estimate made either by the Metropolitan
Council or by the state demographer under section 4A.02.

deleted text begin (f) deleted text end new text begin (e) new text end "Qualified indoor ice arena" means a facility that
meets the requirements of section 373.43.

deleted text begin (g) deleted text end new text begin (f) new text end "Tax capacity" means total taxable market value,
but does not include captured market value.

Sec. 41.

Minnesota Statutes 2004, section 373.40,
subdivision 3, is amended to read:

Subd. 3.

Capital improvement plan.

(a) A county may
adopt a capital improvement plan. The plan must cover at least
the five-year period beginning with the date of its adoption.
The plan must set forth the estimated schedule, timing, and
details of specific capital improvements by year, together with
the estimated cost, the need for the improvement, and sources of
revenues to pay for the improvement. In preparing the capital
improvement plan, the county board must consider for each
project and for the overall plan:

(1) the condition of the county's existing infrastructure,
including the projected need for repair or replacement;

(2) the likely demand for the improvement;

(3) the estimated cost of the improvement;

(4) the available public resources;

(5) the level of overlapping debt in the county;

(6) the relative benefits and costs of alternative uses of
the funds;

(7) operating costs of the proposed improvements; and

(8) alternatives for providing services more efficiently
through shared facilities with other counties or local
government units.

(b) The capital improvement plan and annual amendments to
it deleted text begin must be deleted text end new text begin are not effective until new text end approved by the county board
after public hearing. deleted text begin The county must submit the capital
improvement plan to the community development division of the
Department of Employment and Economic Development. The plan is
not effective if the commissioner disapproves the plan within 90
days after it was submitted. If the commissioner has not
disapproved the plan within 90 days after its submission, the
plan is deemed approved and effective. The commissioner shall
disapprove a capital improvement plan only if the commissioner
determines (1) that the planned improvements cannot be financed
within the limits specified in subdivision 4, or (2) the county
in preparing the plan did not consider the factors listed in
this subdivision or failed to gather the information necessary
to evaluate the plan under the factors, or (3) the proposed
improvements will result in unnecessary duplication of public
facilities provided by other units of government in the region
or there is insufficient demand for the facility. If the plan
is disapproved by the commissioner and the county board does not
withdraw the plan, the capital improvement plan must be
submitted to the voters for approval. If a majority of the
voters approve, the plan is approved and effective.
deleted text end

Sec. 42.

Minnesota Statutes 2004, section 462A.05,
subdivision 3a, is amended to read:

Subd. 3a.

Refinancing deleted text begin nonprofits deleted text end ; residential housing.

It may refinance the existing indebtedness of deleted text begin nonprofit
entities, as defined by the agency deleted text end new text begin owners of rental property new text end ,
secured by residential housing for occupancy by persons and
families of low and moderate income, if refinancing is
determined by the agency to be necessary to reduce housing costs
to an affordable level or to maintain the supply of affordable
low-income housing. The authority granted in this subdivision
is in addition to and not in limitation of the authority granted
in section 462A.05, subdivision 14.

Sec. 43.

Minnesota Statutes 2004, section 462A.33,
subdivision 2, is amended to read:

Subd. 2.

Eligible recipients.

Challenge grants or loans
may be made to a city, new text begin a federally recognized American Indian
tribe or subdivision located in Minnesota, a tribal housing
corporation, new text end a private developer, a nonprofit organization, or
the owner of the housing, including individuals. For the
purpose of this section, "city" has the meaning given it in
section 462A.03, subdivision 21. To the extent practicable,
grants and loans shall be made so that an approximately equal
number of housing units are financed in the metropolitan area
and in the nonmetropolitan area.

Sec. 44.

Minnesota Statutes 2004, section 517.08,
subdivision 1b, is amended to read:

Subd. 1b.

Term of license; fee; premarital education.

(a) The local registrar shall examine upon oath the party
applying for a license relative to the legality of the
contemplated marriage. If at the expiration of a five-day
period, on being satisfied that there is no legal impediment to
it, including the restriction contained in section 259.13, the
local registrar shall issue the license, containing the full
names of the parties before and after marriage, and county and
state of residence, with the county seal attached, and make a
record of the date of issuance. The license shall be valid for
a period of six months. In case of emergency or extraordinary
circumstances, a judge of the district court of the county in
which the application is made, may authorize the license to be
issued at any time before the expiration of the five days.
Except as provided in paragraph (b), the local registrar shall
collect from the applicant a fee of deleted text begin $85 deleted text end new text begin $75 new text end for administering
the oath, issuing, recording, and filing all papers required,
and preparing and transmitting to the state registrar of vital
statistics the reports of marriage required by this section. If
the license should not be used within the period of six months
due to illness or other extenuating circumstances, it may be
surrendered to the local registrar for cancellation, and in that
case a new license shall issue upon request of the parties of
the original license without fee. A local registrar who
knowingly issues or signs a marriage license in any manner other
than as provided in this section shall pay to the parties
aggrieved an amount not to exceed $1,000.

(b) The marriage license fee for parties who have completed
at least 12 hours of premarital education is $20. In order to
qualify for the reduced fee, the parties must submit a signed
and dated statement from the person who provided the premarital
education confirming that it was received. The premarital
education must be provided by a licensed or ordained minister or
the minister's designee, a person authorized to solemnize
marriages under section 517.18, or a person authorized to
practice marriage and family therapy under section 148B.33. The
education must include the use of a premarital inventory and the
teaching of communication and conflict management skills.

(c) The statement from the person who provided the
premarital education under paragraph (b) must be in the
following form:

"I, (name of educator), confirm that (names of both
parties) received at least 12 hours of premarital education that
included the use of a premarital inventory and the teaching of
communication and conflict management skills. I am a licensed
or ordained minister, a person authorized to solemnize marriages
under Minnesota Statutes, section 517.18, or a person licensed
to practice marriage and family therapy under Minnesota
Statutes, section 148B.33."

The names of the parties in the educator's statement must
be identical to the legal names of the parties as they appear in
the marriage license application. Notwithstanding section
138.17, the educator's statement must be retained for seven
years, after which time it may be destroyed.

(d) If section 259.13 applies to the request for a marriage
license, the local registrar shall grant the marriage license
without the requested name change. Alternatively, the local
registrar may delay the granting of the marriage license until
the party with the conviction:

(1) certifies under oath that 30 days have passed since
service of the notice for a name change upon the prosecuting
authority and, if applicable, the attorney general and no
objection has been filed under section 259.13; or

(2) provides a certified copy of the court order granting
it. The parties seeking the marriage license shall have the
right to choose to have the license granted without the name
change or to delay its granting pending further action on the
name change request.

Sec. 45.

Minnesota Statutes 2004, section 517.08,
subdivision 1c, is amended to read:

Subd. 1c.

Disposition of license fee.

(a) Of the
marriage license fee collected pursuant to subdivision 1b,
paragraph (a), $15 must be retained by the county. The local
registrar must pay deleted text begin $70 deleted text end new text begin $60 new text end to the commissioner of finance to be
deposited as follows:

(1) $50 in the general fund;

(2) $3 in the special revenue fund to be appropriated to
the commissioner of education for parenting time centers under
section 119A.37;

(3) $2 in the special revenue fund to be appropriated to
the commissioner of health for developing and implementing the
MN ENABL program under section 145.9255; new text begin and
new text end

(4) deleted text begin $10 in the special revenue fund to be appropriated to
the commissioner of employment and economic development for the
displaced homemaker program under section 116L.96; and
deleted text end

deleted text begin (5) deleted text end $5 in the special revenue fund to be appropriated to
the commissioner of human services for the Minnesota Healthy
Marriage and Responsible Fatherhood Initiative under section
256.742.

(b) Of the $20 fee under subdivision 1b, paragraph (b), $15
must be retained by the county. The local registrar must pay $5
to the commissioner of finance to be distributed as provided in
paragraph (a), clauses (2) and (3).

(c) The increase in the marriage license fee under
paragraph (a) provided for in Laws 2004, chapter 273, and
disbursement of the increase in that fee to the special fund for
the Minnesota Healthy Marriage and Responsible Fatherhood
Initiative under paragraph (a), clause deleted text begin (5) deleted text end new text begin (4) new text end , is contingent
upon the receipt of federal funding under United States Code,
title 42, section 1315, for purposes of the initiative.

Sec. 46. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2004, sections 45.0295; 116J.58,
subdivision 3; and 462C.15, are repealed.
new text end

ARTICLE 2

HUMAN SERVICES APPROPRIATIONS

Section 1. new text begin HUMAN SERVICES APPROPRIATIONS.
new text end

The sums shown in the columns marked "APPROPRIATIONS" are
appropriated from the general fund, or any other fund named, to
the agencies and for the purposes specified in the sections of
this article, to be available for the fiscal years indicated for
each purpose. The figures "2006" and "2007" where used in this
article, mean that the appropriation or appropriations listed
under them are available for the fiscal year ending June 30,
2006, or June 30, 2007, respectively.
SUMMARY BY FUND

BIENNIAL
2006 2007 TOTAL

General $ 439,897,000 $ 461,385,000 $ 901,282,000

Health Care
Access 249,000 249,000 498,000

Federal TANF 221,937,000 221,771,000 443,708,000

TOTAL $ 662,083,000 $ 683,405,000 $1,345,488,000

APPROPRIATIONS
Available for the Year
Ending June 30
2006 2007

Sec. 2. COMMISSIONER OF
HUMAN SERVICES

Subdivision 1.

Total
Appropriation $ 662,083,000 $ 683,405,000

Summary by Fund

General 439,897,000 461,385,000

Health Care
Access 249,000 249,000

Federal TANF 221,937,000 221,771,000

[TANF FUNDS APPROPRIATED TO OTHER
ENTITIES.] Any expenditures from the
TANF block grant shall be expended
according to the requirements and
limitations of part A of title IV of
the Social Security Act, as amended,
and any other applicable federal
requirement or limitation. Prior to
any expenditure of these funds, the
commissioner shall ensure that funds
are expended in compliance with the
requirements and limitations of federal
law and that any reporting requirements
of federal law are met. It shall be
the responsibility of any entity to
which these funds are appropriated to
implement a memorandum of understanding
with the commissioner that provides the
necessary assurance of compliance prior
to any expenditure of funds. The
commissioner shall receipt TANF funds
appropriated to other state agencies
and coordinate all related interagency
accounting transactions necessary to
implement these appropriations.
Unexpended TANF funds appropriated to
any state, local, or nonprofit entity
cancel at the end of the state fiscal
year unless appropriating or statutory
language permits otherwise.

[TANF MAINTENANCE OF EFFORT.] (a) In
order to meet the basic maintenance of
effort (MOE) requirements of the TANF
block grant specified under Code of
Federal Regulations, title 45, section
263.1, the commissioner may only report
nonfederal money expended for allowable
activities listed in the following
clauses as TANF/MOE expenditures:

(1) MFIP cash, diversionary work
program, and food assistance benefits
under Minnesota Statutes, chapter 256J;

(2) the child care assistance programs
under Minnesota Statutes, sections
119B.03 and 119B.05, and county child
care administrative costs under
Minnesota Statutes, section 119B.15;

(3) state and county MFIP
administrative costs under Minnesota
Statutes, chapters 256J and 256K;

(4) state, county, and tribal MFIP
employment services under Minnesota
Statutes, chapters 256J and 256K;

(5) expenditures made on behalf of
noncitizen MFIP recipients who qualify
for the medical assistance without
federal financial participation program
under Minnesota Statutes, section
256B.06, subdivision 4, paragraphs (d),
(e), and (j); and

(6) qualifying working family credit
expenditures under Minnesota Statutes,
section 290.0671.

(b) The commissioner shall ensure that
sufficient qualified nonfederal
expenditures are made each year to meet
the state's TANF/MOE requirements. For
the activities listed in paragraph (a),
clauses (2) to (6), the commissioner
may only report expenditures that are
excluded from the definition of
assistance under Code of Federal
Regulations, title 45, section 260.31.

(c) For fiscal years beginning with
state fiscal year 2005, the
commissioner shall assure that the
maintenance of effort used by the
commissioner of finance for the
February and November forecasts
required under Minnesota Statutes,
section 16A.103, contains expenditures
under paragraph (a), clause (1), equal
to at least 25 percent of the total
required under Code of Federal
Regulations, title 45, section 263.1.

(d) Minnesota Statutes, section
256.011, subdivision 3, which requires
that federal grants or aids secured or
obtained under that subdivision be used
to reduce any direct appropriations
provided by law, does not apply if the
grants or aids are federal TANF funds.

(e) Notwithstanding section 5,
paragraph (a), clauses (1) to (6), and
paragraphs (b) to (d), expire June 30,
2009.

[WORKING FAMILY CREDIT EXPENDITURES AS
TANF/MOE.] The commissioner may claim
as TANF maintenance of effort up to the
following amounts of working family
credit expenditures for the following
fiscal years:

(1) fiscal year 2006, $6,942,000; and

(2) fiscal year 2007 and thereafter,
$6,707,000.

[INCREASE WORKING FAMILY CREDIT
EXPENDITURES TO BE CLAIMED FOR
TANF/MOE.] In addition to the amounts
provided in this section, the
commissioner may count the following
amounts of working family credit
expenditure as TANF/MOE:

(1) fiscal year 2006, $40,043,000;

(2) fiscal year 2007, $28,846,000;

(3) fiscal year 2008, $9,819,000; and

(4) fiscal year 2009, $1,367,000.

Subd. 2.

Children and Economic
Assistance Grants

Summary by Fund

General 397,509,000 418,977,000

Federal TANF 221,485,000 221,319,000

The amounts that may be spent from this
appropriation for each purpose are as
follows:

(a) MFIP/DWP Grants

General 32,932,000 31,939,000

Federal TANF 118,891,000 118,687,000

(b) Support Services Grants

General 8,697,000 8,715,000

Federal TANF 102,594,000 102,632,000

(c) MFIP Child Care Assistance Grants

General 57,629,000 60,498,000

(d) Basic Sliding Fee Child Care
Assistance Grants

General 22,161,000 26,188,000

[BASE ADJUSTMENT FOR FREEZE MAXIMUM
RATES FOR CHILD CARE ASSISTANCE.] The
general fund base is increased by
$1,804,000 in fiscal year 2008 and
$3,697,000 in fiscal year 2009 for
basic sliding fee child care assistance.

(e) Child Care Development Grants

General 1,540,000 1,540,000

(f) Child Support Enforcement Grants

General 3,255,000 3,255,000

(g) Children's Services Grants

General 40,488,000 49,580,000

[BASE ADJUSTMENT FOR ADOPTION
ASSISTANCE GRANTS.] The general fund
base is increased by $2,153,000 in
fiscal year 2008 and $4,310,000 in
fiscal year 2009 for adoption
assistance grants.

[BASE ADJUSTMENT FOR RELATIVE CUSTODY
ASSISTANCE GRANTS.] The general fund
base is increased by $838,000 in fiscal
year 2008 and $1,689,000 in fiscal year
2009 for relative custody assistance
grants.

[ADOPTION ASSISTANCE AND RELATIVE
CUSTODY ASSISTANCE.] The commissioner
may transfer unencumbered appropriation
balances for adoption assistance and
relative custody assistance between
fiscal years and between programs.

[PRIVATIZED ADOPTION GRANTS.] Federal
reimbursement for privatized adoption
grant and foster care recruitment grant
expenditures is appropriated to the
commissioner for adoption grants and
foster care and adoption administrative
purposes.

(h) Children and Community
Services Grants

General 68,488,000 68,488,000

[DELAY PROJECTS OF REGIONAL
SIGNIFICANCE.] Notwithstanding
Minnesota Statutes, section 256M.40,
subdivision 2, the projects of the
regional significance grant program are
delayed until July 1, 2007. The
general fund base for the program shall
be $25,000,000 in fiscal year 2008 and
$25,000,000 in fiscal year 2009.

(i) General Assistance Grants

General 29,825,000 30,607,000

[GENERAL ASSISTANCE STANDARD.] The
commissioner shall set the monthly
standard of assistance for general
assistance units consisting of an adult
recipient who is childless and
unmarried or living apart from parents
or a legal guardian at $203. The
commissioner may reduce this amount
according to Laws 1997, chapter 85,
article 3, section 54.

[EMERGENCY GENERAL ASSISTANCE.] The
amount appropriated for emergency
general assistance funds is limited to
no more that $7,889,812 in fiscal year
2006 and $7,889,812 in fiscal year
2007. Funds to counties shall be
allocated by the commissioner using the
allocation method specified in
Minnesota Statutes, section 256D.06.

(j) Minnesota Supplemental Aid Grants

General 30,125,000 30,655,000

[EMERGENCY MINNESOTA SUPPLEMENTAL AID
FUNDS.] The amount appropriated for
emergency Minnesota supplemental aid
funds is limited to no more than
$1,100,000 in fiscal year 2006 and
$1,100,000 in fiscal year 2007. Funds
to counties shall be allocated by the
commissioner using the allocation
method specified in Minnesota Statutes,
section 256D.46.

(k) Group Residential Housing Grants

General 84,588,000 90,110,000

(l) Other Children and Economic
Assistance Grants

General 17,781,000 17,402,000

Subd. 3.

Children and Economic Assistance
Management

Summary by Fund

General 42,388,000 42,408,000

Health Care Access 249,000 249,000

Federal TANF 452,000 452,000

The amounts that may be spent from the
appropriation for each purpose are as
follows:

(a) Children and Economic
Assistance Administration

General 7,643,000 7,637,000

Federal TANF 452,000 452,000

(b) Children and Economic
Assistance Operations

General 34,745,000 34,771,000

Health Care Access 249,000 249,000

[SPENDING AUTHORITY FOR FOOD STAMPS
BONUS AWARDS.] In the event that
Minnesota qualifies for the United
States Department of Agriculture Food
and Nutrition Services Food Stamp
Program performance bonus awards
beginning in federal fiscal year 2004,
the funding is appropriated to the
commissioner. The commissioner shall
retain 25 percent of the funding, with
the other 75 percent divided among the
counties according to a formula that
takes into account each county's impact
on state performance in the applicable
bonus categories.

[CHILD SUPPORT PAYMENT CENTER.]
Payments to the commissioner from other
governmental units, private
enterprises, and individuals for
services performed by the child support
payment center must be deposited in the
state systems account authorized under
Minnesota Statutes, section 256.014.
These payments are appropriated to the
commissioner for the operation of the
child support payment center or system,
according to Minnesota Statutes,
section 256.014.

[CHILD SUPPORT COST RECOVERY FEES.] The
commissioner shall transfer $34,000 of
child support cost recovery fees
collected in fiscal year 2006 and
fiscal year 2007 to the PRISM special
revenue account to offset PRISM system
costs of maintaining the fee.

[FINANCIAL INSTITUTION DATA MATCH AND
PAYMENT OF FEES.] The commissioner is
authorized to allocate up to $310,000
each year in fiscal year 2006 and
fiscal year 2007 from the PRISM special
revenue account to make payments to
financial institutions in exchange for
performing data matches between account
information held by financial
institutions and the public authority's
database of child support obligors as
authorized by Minnesota Statutes,
section 13B.06, subdivision 7.

Sec. 3. new text begin TRANSFERS.
new text end

new text begin Subdivision 1. new text end

new text begin Grants. new text end

new text begin The commissioner of human
services, with the approval of the commissioner of finance, and
after notification of the chairs of the relevant senate budget
division and house finance committee, may transfer unencumbered
appropriation balances for the biennium ending June 30, 2007,
within fiscal years among the MFIP, general assistance, medical
assistance, MFIP child care assistance under Minnesota Statutes,
section 119B.05, Minnesota supplemental aid, and group
residential housing programs, and the entitlement portion of the
chemical dependency consolidated treatment fund, and between
fiscal years of the biennium.
new text end

new text begin Subd. 2. new text end

new text begin Administration. new text end

new text begin Positions, salary money, and
nonsalary administrative money may be transferred within the
Departments of Human Services and Health and within the programs
operated by the Veterans Nursing Homes Board as the
commissioners and the board consider necessary, with the advance
approval of the commissioner of finance. The commissioner or
the board shall inform the chairs of the relevant house and
senate health committees quarterly about transfers made under
this provision.
new text end

new text begin Subd. 3. new text end

new text begin Prohibited transfers. new text end

new text begin Grant money shall not be
transferred to operations within the Departments of Human
Services and Health and within the programs operated by the
Veterans Nursing Homes Board without the approval of the
legislature.
new text end

Sec. 4. new text begin INDIRECT COSTS NOT TO FUND PROGRAMS.
new text end

new text begin The commissioners of health and human services shall not
use indirect cost allocations to pay for the operational costs
of any program for which they are responsible.
new text end

Sec. 5. new text begin SUNSET OF UNCODIFIED LANGUAGE.
new text end

new text begin All uncodified language contained in this article expires
on June 30, 2007, unless a different expiration date is explicit.
new text end

Sec. 6. new text begin EFFECTIVE DATE.
new text end

new text begin The provisions in this article are effective July 1, 2005,
unless a different effective date is specified.
new text end

ARTICLE 3

CHILDREN AND FAMILIES

Section 1.

Minnesota Statutes 2004, section 119B.13,
subdivision 1, is amended to read:

Subdivision 1.

Subsidy restrictions.

new text begin The provider rates
determined under this section for fiscal year 2003 and
implemented July 1, 2002, are to be continued in effect through
June 30, 2007. Beginning in fiscal year 2008, new text end the maximum rate
paid for child care assistance new text begin in any county or multicounty
region new text end under the child care fund deleted text begin may not exceed deleted text end new text begin shall be the
lesser of new text end the 75th percentile rate for like-care arrangements in
the county new text begin or multicounty region new text end as surveyed by the commissioner
new text begin or the previous year's rate for like-care arrangements in the
county increased by the percent change in the average quarterly
national CPI-U index for the current state fiscal year over the
average quarterly index for the previous state fiscal year.
When the commissioner determines that, using the commissioner's
established protocol, the number of providers responding to the
survey is too small to determine the 75th percentile rate for
like-care arrangements in a county or multicounty region, the
commissioner may establish the 75th percentile maximum rate
based on like-care arrangements in a county, region, or category
that the commissioner deems to be similar new text end .

A rate which includes a special needs rate paid under
subdivision 3 may be in excess of the maximum rate allowed under
this subdivision. The department shall monitor the effect of
this paragraph on provider rates. The county shall pay the
provider's full charges for every child in care up to the
maximum established. The commissioner shall determine the
maximum rate for each type of care on an hourly, full-day, and
weekly basis, including special needs and handicapped care. Not
less than once every two years, the commissioner shall evaluate
market practices for payment of absences and shall establish
policies for payment of absent days that reflect current market
practice.

When the provider charge is greater than the maximum
provider rate allowed, the parent is responsible for payment of
the difference in the rates in addition to any family co-payment
fee.

Sec. 2.

Minnesota Statutes 2004, section 256.01, is
amended by adding a subdivision to read:

new text begin Subd. 14b. new text end

new text begin American indian child welfare projects. new text end

new text begin (a)
The commissioner of human services may authorize projects to
test tribal delivery of child welfare services to American
Indian children and their parents and custodians living on the
reservation. The commissioner has authority to solicit and
determine which tribes may participate in a project. Grants may
be issued to Minnesota Indian tribes to support the projects.
The commissioner may waive existing state rules as needed to
accomplish the projects. Notwithstanding section 626.556, the
commissioner may authorize projects to use alternative methods
of investigating and assessing reports of child maltreatment,
provided that the projects comply with the provisions of section
626.556 dealing with the rights of individuals who are subjects
of reports or investigations, including notice and appeal rights
and data practices requirements. The commissioner may seek any
federal approvals necessary to carry out the projects as well as
seek and use any funds available to the commissioner, including
use of federal funds, foundation funds, existing grant funds,
and other funds. The commissioner is authorized to advance
state funds as necessary to operate the projects. Federal
reimbursement applicable to the projects is appropriated to the
commissioner for the purposes of the projects. The projects
must be required to address responsibility for safety,
permanency, and well-being of children.
new text end

new text begin (b) For the purposes of this section, "American Indian
child" means a person between the ages of 0 and 18 who is a
tribal member or eligible for membership of an American Indian
tribe with reservation land in Minnesota and who is residing on
the reservation of that tribe.
new text end

new text begin (c) In order to qualify for an American Indian child
welfare project, a tribe must:
new text end

new text begin (1) be one of the existing tribes with reservation land in
Minnesota;
new text end

new text begin (2) have a tribal court with jurisdiction over child
custody proceedings;
new text end

new text begin (3) have a greater number of children for whom
determinations of maltreatment have occurred;
new text end

new text begin (4) have capacity to respond to reports of abuse and
neglect under section 626.556;
new text end

new text begin (5) provide a wide range of services to families in need of
child welfare services; and
new text end

new text begin (6) have a tribal-state title IV-E agreement in effect.
new text end

new text begin (d) Grants awarded under this section may be used for the
nonfederal costs of providing child welfare services to American
Indian children on the tribe's reservation, including costs
associated with:
new text end

new text begin (1) assessment and prevention of child abuse and neglect;
new text end

new text begin (2) family preservation;
new text end

new text begin (3) facilitative, supportive, and reunification services;
new text end

new text begin (4) out-of-home placement for children removed from the
home for child protective purposes; and
new text end

new text begin (5) other activities and services approved by the
commissioner that further the goals of providing safety,
permanency, and well-being of American Indian children.
new text end

new text begin (e) When a tribe has initiated a project and has been
approved by the commissioner to assume child welfare
responsibilities for American Indian children of that tribe
under this section, the affected county social service agency is
relieved of responsibility for responding to reports of abuse
and neglect under section 626.556 for those children. The
commissioner shall work with tribes and affected counties to
develop procedures for data collection, evaluation, and
clarification of ongoing role and financial responsibilities of
the county and tribe for child welfare services during the
course of the project. Children who have not been identified by
the tribe as participating in the project shall remain the
responsibility of the county.
new text end

new text begin (f) The commissioner shall collect information on outcomes
relating to child safety, permanency, and well-being of American
Indian children who are served in the projects. Participating
tribes must provide information to the state that is deemed
acceptable by the state to meet state and federal reporting
requirements.
new text end

Sec. 3.

Minnesota Statutes 2004, section 256.741,
subdivision 4, is amended to read:

Subd. 4.

Effect of assignment.

Assignments in this
section take effect upon a determination that the applicant is
eligible for public assistance. The amount of support assigned
under this subdivision may not exceed the total amount of public
assistance issued or the total support obligation, whichever is
less. Child care support collections made according to an
assignment under subdivision 2, paragraph (c), must be
deposited, subject to any limitations of federal law, deleted text begin by the
commissioner of human services in the child support collection
account in the special revenue fund and appropriated to the
commissioner of education for child care assistance under
section 119B.03. These collections are in addition to state and
federal funds appropriated to the child care deleted text end new text begin in the general new text end fund.

Sec. 4.

Minnesota Statutes 2004, section 256D.06, is
amended by adding a subdivision to read:

new text begin Subd. 1d. new text end

new text begin Standard of assistance. new text end

new text begin For a general
assistance applicant who has resided in the state for less than
90 days and who lives independently in the community, the
standard of assistance shall be 60 percent of the full
standard. The full standard of assistance shall be available
beginning the first day of either the month that the 90 days'
residency is completed if the 90th day occurs on or before the
15th of the month or the following month if the 90th day occurs
on the 16th of the month or after. The 30-day residence period
in section 256D.02, subdivision 12a, shall count toward the
90-day payment standard.
new text end

Sec. 5.

Minnesota Statutes 2004, section 256D.06,
subdivision 5, is amended to read:

Subd. 5.

Eligibility; requirements.

new text begin (a) new text end Any applicant,
otherwise eligible for general assistance and possibly eligible
for maintenance benefits from any other source shall deleted text begin (a) deleted text end new text begin (1)
new text end make application for those benefits within 30 days of the
general assistance application; and deleted text begin (b) deleted text end new text begin (2) new text end execute an interim
assistance deleted text begin authorization deleted text end agreement on a form as directed by the
commissioner.

new text begin (b) new text end The commissioner shall review a denial of an
application for other maintenance benefits and may require a
recipient of general assistance to file an appeal of the denial
if appropriate. If found eligible for benefits from other
sources, and a payment received from another source relates to
the period during which general assistance was also being
received, the recipient shall be required to reimburse the
county agency for the interim assistance paid. Reimbursement
shall not exceed the amount of general assistance paid during
the time period to which the other maintenance benefits apply
and shall not exceed the state standard applicable to that time
period.

new text begin (c) new text end The commissioner deleted text begin shall adopt rules authorizing county
agencies or other client representatives to retain from the
amount recovered under an interim assistance agreement 25
percent plus actual reasonable fees, costs, and disbursements of
appeals and litigation, of providing special assistance to the
recipient in processing the recipient's claim for maintenance
benefits from another source. The deleted text end new text begin may contract with the county
agencies, qualified agencies, organizations, or persons to
provide advocacy and support services to process claims for
federal disability benefits for applicants or recipients of
services or benefits supervised by the commissioner using new text end money
retained under this section deleted text begin shall be from the state share of the
recovery. The commissioner or the county agency may contract
with qualified persons to provide the special assistance deleted text end .

new text begin (d) new text end The deleted text begin rules adopted by the deleted text end commissioner deleted text begin shall include the
deleted text end new text begin may provide new text end methods by which county agencies shall identify,
refer, and assist recipients who may be eligible for benefits
under federal programs for the disabled. deleted text begin This subdivision does
not require repayment of per diem payments made to shelters for
battered women pursuant to section 256D.05, subdivision 3.
deleted text end

new text begin (e) The total amount of interim assistance recoveries
retained under this section for advocacy, support, and claim
processing services shall not exceed 35 percent of the interim
assistance recoveries in the prior fiscal year.
new text end

Sec. 6.

Minnesota Statutes 2004, section 256D.06,
subdivision 7, is amended to read:

Subd. 7.

Ssi conversions and back claims.

(a) [SSI
CONVERSIONS.] The commissioner of human services shall contract
with agencies or organizations capable of ensuring that clients
who are presently receiving assistance under sections 256D.01 to
256D.21, and who may be eligible for benefits under the federal
Supplemental Security Income program, apply and, when eligible,
are converted to the federal income assistance program and made
eligible for health care benefits under the medical assistance
program. The commissioner shall ensure that money owing to the
state under interim assistance agreements is collected.

(b) [BACK CLAIMS FOR FEDERAL HEALTH CARE BENEFITS.] The
commissioner shall also directly or through contract implement
procedures for collecting federal Medicare and medical
assistance funds for which clients converted to SSI are
retroactively eligible.

(c) [ADDITIONAL REQUIREMENTS.] The commissioner shall
deleted text begin begin contracting deleted text end new text begin contract new text end with agencies to ensure
implementation of this section deleted text begin within 14 days after April 29,
1992 deleted text end . County contracts with providers for residential services
shall include the requirement that providers screen residents
who may be eligible for federal benefits and provide that
information to the local agency. The commissioner shall modify
the MAXIS computer system to provide information on clients who
have been on general assistance for two years or longer. The
list of clients shall be provided to local services for
screening under this section.

deleted text begin (d) [REPORT.] The commissioner shall report to the
legislature by January 15, 1993, on the implementation of this
section. The report shall contain information on the following:
deleted text end

deleted text begin (1) the number of clients converted from general assistance
to SSI, by county;
deleted text end

deleted text begin (2) information on the organizations involved;
deleted text end

deleted text begin (3) the amount of money collected through interim
assistance agreements;
deleted text end

deleted text begin (4) the amount of money collected in federal Medicare or
Medicaid funds;
deleted text end

deleted text begin (5) problems encountered in processing conversions and back
claims; and
deleted text end

deleted text begin (6) recommended changes to enhance recoveries and maximize
the receipt of federal money in the most efficient way possible.
deleted text end

Sec. 7.

Minnesota Statutes 2004, section 256J.12,
subdivision 1, is amended to read:

Subdivision 1.

Simple residency.

To be eligible for MFIP
new text begin or DWP new text end , an assistance unit must have established residency in
this state which means the assistance unit is present in the
state and intends to remain here. A person who lives in this
state and who entered this state with a job commitment or to
seek employment in this state, whether or not that person is
currently employed, meets the criteria in this subdivision.

Sec. 8.

Minnesota Statutes 2004, section 256J.12, is
amended by adding a subdivision to read:

new text begin Subd. 5. new text end

new text begin Residency requirement for dwp applicants.
new text end

new text begin Assistance to an eligible DWP family unit in which all members
have resided in this state for fewer than 90 consecutive days
shall be paid at the standard specified in section 256J.95,
subdivision 21. The 30-day residence period shall count toward
the 90-day DWP residence requirement.
new text end

Sec. 9.

Minnesota Statutes 2004, section 256J.95, is
amended by adding a subdivision to read:

new text begin Subd. 21. new text end

new text begin Interstate payment standards. new text end

new text begin (a) Effective
July 1, 2005, the amount of assistance paid to an eligible DWP
family unit in which all members have resided in this state for
fewer than 90 consecutive days shall be calculated according to
paragraph (b).
new text end

new text begin (b) Payment must be calculated by applying DWP budgeting
policies, and the unit's net income must be deducted from the
payment standard in the other state or Minnesota, whichever is
less. Payments shall be vendor paid according to subdivision 1,
paragraph (d).
new text end

new text begin (c) The lesser payment must continue until the DWP family
unit meets the 90-day residency requirement. A family unit that
has not resided in Minnesota for 90 days is not exempt from the
payment provisions solely because a child is born in Minnesota
to a member of the family unit.
new text end

new text begin (d) Any eligible noncitizen who comes directly to Minnesota
from another country, and whose United States Citizenship and
Immigration Services (USCIS) settlement destination is
Minnesota, will receive the amount calculated using DWP policy
and standards. If the USCIS settlement destination is another
state, apply the lesser of the payment standard for that size
family in the other state or the standards under DWP.
new text end

new text begin (e) The assistance unit shall be eligible for the full
amount of assistance based on DWP standards beginning either the
month during which the 90-day residency requirement is met, if
the 90th day occurs on or before the 15th of the month, or the
following month if the 90th day occurs on the 16th of the month
or after.
new text end

new text begin (f) This policy applies whether or not the family unit
received similar benefits while residing in the state of
previous residence.
new text end

new text begin (g) For the purposes of this section, "state of immediate
prior residence" means the state in which the applicant declares
the applicant spent the most time in the 30 days prior to moving
to Minnesota.
new text end

new text begin (h) Applicants must provide verification of their state of
immediate prior residence, in the form of tax statements, a
driver's license, automobile registration, rent receipts, or
other forms of verification approved by the commissioner.
new text end

Sec. 10.

Minnesota Statutes 2004, section 256J.95, is
amended by adding a subdivision to read:

new text begin Subd. 22. new text end

new text begin Temporary absence from minnesota. new text end

new text begin For an
assistance unit that has met the 30-day residency requirements
in section 256J.12, subdivisions 1 to 4, the 90-day period in
subdivision 21 is not affected by a subsequent absence from
Minnesota for fewer than 30 consecutive days, provided the
family unit maintains a residence in Minnesota.
new text end

Sec. 11.

Minnesota Statutes 2004, section 256J.95, is
amended by adding a subdivision to read:

new text begin Subd. 23. new text end

new text begin Ineligible mandatory unit members. new text end

new text begin The 90-day
residency requirement in subdivision 21 does not apply if the
family unit includes an ineligible mandatory family unit member
who has resided in Minnesota for 90 consecutive days immediately
before the unit's date of application.
new text end

Sec. 12.

new text begin [256K.26] LONG-TERM HOMELESS SUPPORTIVE
SERVICES.
new text end

new text begin Subdivision 1. new text end

new text begin Establishment and purpose. new text end

new text begin The
commissioner shall establish the long-term homeless supportive
services fund to provide integrated services needed to stabilize
individuals, families, and youth living in supportive housing
developed to further the goals set forth in Laws 2003, chapter
128, article 15, section 9.
new text end

new text begin Subd. 2. new text end

new text begin Implementation. new text end

new text begin The commissioner, in
consultation with the commissioners of the Department of
Corrections and the Minnesota Housing Finance Agency, counties,
and providers of supportive housing and services, shall develop
application requirements and make funds available according to
this section, with the goal of providing maximum flexibility in
program design.
new text end

new text begin Subd. 3. new text end

new text begin Definitions. new text end

new text begin For purposes of this section, the
following terms have the meanings given:
new text end

new text begin (1) "long-term homelessness" means lacking a permanent
place to live continuously for one year or more or at least four
times in the past three years; and
new text end

new text begin (2) "household" means an individual, family, or
unaccompanied minor experiencing long-term homelessness.
new text end

new text begin Subd. 4. new text end

new text begin County eligibility. new text end

new text begin Counties are eligible for
funding under this section. Priority will be given to proposals
submitted on behalf of multicounty partnerships.
new text end

new text begin Subd. 5. new text end

new text begin Content of proposals. new text end

new text begin Proposals will be
evaluated on the extent to which they:
new text end

new text begin (1) include partnerships with providers of services or
other partners;
new text end

new text begin (2) develop strategies to enhance housing stability for
people experiencing long-term homelessness by integrating
services and establishing consistent services and procedures
across jurisdictions as appropriate;
new text end

new text begin (3) evidence a commitment to working with the commissioners
of human services, corrections, and the Housing Finance Agency
to identify appropriate households to be served under this
section;
new text end

new text begin (4) ensure that projects make maximum use of mainstream
resources, including employment, social, and health services,
and leverage additional public and private resources in order to
serve the maximum number of households;
new text end

new text begin (5) demonstrate cost-effectiveness by identifying and
prioritizing those services most necessary for housing
stability; and
new text end

new text begin (6) evaluate and report on outcomes of the projects
according to protocols developed by the commissioner of human
services in cooperation with the commissioners of corrections
and the Housing Finance Agency. Evaluation would include
methods for determining the quality of the integrated service
approach, improvement in outcomes, cost savings, or reduction in
service disparities that may result.
new text end

new text begin Subd. 6. new text end

new text begin Outcomes. new text end

new text begin Projects will be selected to further
the following outcomes:
new text end

new text begin (1) reduce the number of Minnesota individuals and families
that experience long-term homelessness;
new text end

new text begin (2) increase the number of housing opportunities with
supportive services;
new text end

new text begin (3) develop integrated, cost-effective service models that
address the multiple barriers to obtaining housing stability
faced by people experiencing long-term homelessness, including
abuse, neglect, chemical dependency, disability, chronic health
problems, or other factors including ethnicity and race that may
result in poor outcomes or service disparities;
new text end

new text begin (4) encourage partnerships among counties, community
agencies, schools, and other providers so that the service
delivery system is seamless for people experiencing long-term
homelessness;
new text end

new text begin (5) increase employability, self-sufficiency, and other
social outcomes for individuals and families experiencing
long-term homelessness; and
new text end

new text begin (6) reduce inappropriate use of emergency health care,
shelter, chemical dependency, foster care, child protection,
corrections, and similar services used by people experiencing
long-term homelessness.
new text end

new text begin Subd. 7. new text end

new text begin Eligible services. new text end

new text begin Services eligible for
funding under this section are all services needed to maintain
households in permanent supportive housing, as determined by the
county or counties administering the project or projects.
new text end

Sec. 13. new text begin REPEALER.
new text end

new text begin (a) Laws 2003, First Special Session chapter 14, article 9,
section 34, is repealed.
new text end

new text begin (b) Minnesota Statutes 2004, section 256D.54, subdivision
3, and Minnesota Rules, parts 9500.1254 and 9500.1256, are
repealed.
new text end

new text begin (c) Minnesota Statutes 2004, section 119B.074, is repealed.
new text end