1st Engrossment - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to economic development; modifying programs 1.3 and practices; providing findings; modifying fees and 1.4 assessments; providing extra unemployment benefits for 1.5 certain laid-off workers; providing a special 1.6 assessment; providing consultation requirements for 1.7 capital projects; repealing obsolete provisions; 1.8 reinstating a repealed law; amending Minnesota 1.9 Statutes 2000, sections 16A.86, by adding a 1.10 subdivision; 16B.305, by adding a subdivision; 48.24, 1.11 subdivision 5; 116J.565, subdivision 1; 116J.58, 1.12 subdivision 1; 116J.9665, subdivisions 1, 4, 6; 1.13 116M.14, subdivision 4; 116M.18, subdivisions 2, 3, 4, 1.14 5, 8, by adding a subdivision; 268.051, subdivision 8; 1.15 446A.07, subdivision 4; 446A.12, subdivision 1; 1.16 462A.04, subdivisions 1, 4; Minnesota Statutes 2001 1.17 Supplement, sections 116C.03, subdivision 2; 268.022, 1.18 subdivision 1; Laws 2001, First Special Session 1.19 chapter 4, article 1, section 2, subdivision 5; Laws 1.20 2001, First Special Session chapter 4, article 2, 1.21 section 31; proposing coding for new law in Minnesota 1.22 Statutes, chapter 116J; repealing Minnesota Statutes 1.23 2000, sections 116J.9672; 116J.9673. 1.24 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.25 Section 1. [FINDINGS.] 1.26 The legislature finds that it is in the public interest to 1.27 preserve a balance in the workforce development fund that is 1.28 adequate to fund necessary employment and training programs. 1.29 Adequate funding preserves the state's ability to provide 1.30 training and support to employees who, as a result of either 1.31 large or small layoffs, experience job loss that may require 1.32 retraining for a new field, the upgrading of basic skills, or 1.33 other temporary support that allows them to rejoin the workforce 1.34 in stable and productive employment. Further, adequate funding 2.1 for employment and training programs helps to secure a skilled 2.2 workforce for employers in a variety of fields, and allows 2.3 employers additional flexibility in locating and planning their 2.4 business activities in Minnesota. The legislature finds that 2.5 the transfer of funds out of the workforce development fund to 2.6 support activities or programs not related to employment and 2.7 training has the potential to interfere with the goals and 2.8 objectives of the fund, and to upset the expectations of both 2.9 employers and employees who rely upon the dedication of these 2.10 funds to workforce development activities. Therefore, the 2.11 legislature strongly recommends against any such transfers. 2.12 Sec. 2. Minnesota Statutes 2000, section 16A.86, is 2.13 amended by adding a subdivision to read: 2.14 Subd. 5. [CONSULTATIONS.] A political subdivision must, 2.15 prior to the submission of any capital project request to the 2.16 governor or the legislature that involves new construction, 2.17 consult with the commissioner of trade and economic development 2.18 and obtain information about any existing buildings that may be 2.19 available and that, either in their current condition or 2.20 subsequent to proposed improvements, could adequately serve the 2.21 same function as the proposed new construction. Information on 2.22 any suitable available buildings must be provided to the 2.23 legislature along with the capital budget request. 2.24 Sec. 3. Minnesota Statutes 2000, section 16B.305, is 2.25 amended by adding a subdivision to read: 2.26 Subd. 4. [CONSULTATIONS.] State agencies must, prior to 2.27 the submission of any capital project request to the governor or 2.28 the legislature that involves new construction, consult with the 2.29 commissioner of trade and economic development and obtain 2.30 information about any existing buildings that may be available 2.31 and that, either in their current condition or subsequent to 2.32 proposed improvements, could adequately serve the same function 2.33 as the proposed new construction. Information on any suitable 2.34 available buildings must be provided to the legislature along 2.35 with the capital budget request. 2.36 Sec. 4. Minnesota Statutes 2000, section 48.24, 3.1 subdivision 5, is amended to read: 3.2 Subd. 5. Loans or obligations shall not be subject under 3.3 this section to any limitation based upon such capital and 3.4 surplus to the extent that they are secured or covered by 3.5 guarantees, or by commitments or agreements to take over or to 3.6 purchase the same, made by: 3.7 (1) the commissioner of agriculture on the purchase of 3.8 agricultural land; 3.9 (2) any Federal Reserve bank; 3.10 (3) the United States or any department, bureau, board, 3.11 commission, or establishment of the United States, including any 3.12 corporation wholly owned directly or indirectly by the United 3.13 States; 3.14 (4) the Minnesota energy and economic development 3.15 authority; or 3.16 (5)the Minnesota export finance authority; or3.17(6)a municipality or political subdivision within 3.18 Minnesota to the extent that the guarantee or collateral is a 3.19 valid and enforceable general obligation of that political body. 3.20 Sec. 5. Minnesota Statutes 2001 Supplement, section 3.21 116C.03, subdivision 2, is amended to read: 3.22 Subd. 2. [MEMBERSHIP.] The members of the board are the 3.23 director of the office of strategic and long-range planning, the 3.24 commissioner of commerce, the commissioner of the pollution 3.25 control agency, the commissioner of natural resources, the 3.26 director of the office of environmental assistance, the 3.27 commissioner of agriculture, the commissioner of health, the 3.28 commissioner of trade and economic development, the commissioner 3.29 of transportation, the chair of the board of water and soil 3.30 resources, and a representative of the governor's office 3.31 designated by the governor. The governor shall appoint five 3.32 members from the general public to the board, subject to the 3.33 advice and consent of the senate. At least two of the five 3.34 public members must have knowledge of and be conversant in water 3.35 management issues in the state. Notwithstanding the provisions 3.36 of section 15.06, subdivision 6, members of the board may not 4.1 delegate their powers and responsibilities as board members to 4.2 any other person. After June 30, 2003, and before July 1, 2004, 4.3 this prohibition does not apply to the commissioner of trade and 4.4 economic development. 4.5 Sec. 6. [116J.105] [PROMOTION OF AVAILABLE PROPERTIES.] 4.6 The commissioner shall communicate regularly with the 4.7 League of Minnesota Cities, the Minnesota Chamber of Commerce, 4.8 political subdivisions, and local chambers of commerce, as well 4.9 as other appropriate local sources of information, to obtain 4.10 information about available low-cost land and buildings in the 4.11 state, including, but not limited to, very low-cost properties 4.12 and properties that have been abandoned. The information the 4.13 commissioner gains from these communications shall, to the 4.14 greatest extent possible, be incorporated into any electronic or 4.15 print publications or databases that the commissioner makes 4.16 available for marketing purposes. 4.17 Sec. 7. Minnesota Statutes 2000, section 116J.565, 4.18 subdivision 1, is amended to read: 4.19 Subdivision 1. [CHARACTERISTICS.] (a) If applications for 4.20 grants exceed the available appropriations, grants shall be made 4.21 for sites that, in the commissioner's judgment, provide the 4.22 highest return in public benefits for the public costs 4.23 incurred. In making this judgment, the commissioner shall give 4.24 priority to redevelopment projects with one or more of the 4.25 following characteristics: 4.26 (1) the need for redevelopment in conjunction with 4.27 contamination remediation needs; 4.28 (2) the redevelopment project meets current tax increment 4.29 financing requirements for a redevelopment district and tax 4.30 increments will contribute to the project; 4.31 (3) the redevelopment potential within the municipality; 4.32 (4) proximity to public transit if located in the 4.33 metropolitan area; and 4.34 (5) multijurisdictional projects that take into account the 4.35 need for affordable housing, transportation, and environmental 4.36 impact. 5.1 (b) The factors in paragraph (a), clauses (1) to (5), are 5.2 not listed in a rank order of priority; rather the commissioner 5.3 may weigh each factor, depending upon the facts and 5.4 circumstances, as the commissioner considers appropriate. The 5.5 commissioner may consider other factors that affect the net 5.6 return of public benefits for completion of the redevelopment 5.7 plan. The commissioner, notwithstanding the listing of 5.8 priorities and the goal of maximizing the return of public 5.9 benefits, shall make grants that distribute available money to 5.10 sites both within and outside of the metropolitan area. The 5.11 commissioner shall provide a written statement of the supporting 5.12 reasons for each grant. Unless sufficient applications are not 5.13 received within the first nine months of a fiscal year for 5.14 qualifying sites outside of the metropolitan area, at least255.15 50 percent of the money provided as grants in a fiscal year must 5.16 be made for sites located outside of the metropolitan area. The 5.17 commissioner shall consult with the metropolitan council about 5.18 metropolitan area grants. 5.19 Sec. 8. Minnesota Statutes 2000, section 116J.58, 5.20 subdivision 1, is amended to read: 5.21 Subdivision 1. [ENUMERATION.] The commissioner shall: 5.22 (1) investigate, study, and undertake ways and means of 5.23 promoting and encouraging the prosperous development and 5.24 protection of the legitimate interest and welfare of Minnesota 5.25 business, industry, and commerce, within and outside the state; 5.26 (2) locate markets for manufacturers and processors and aid 5.27 merchants in locating and contacting markets; 5.28 (3) investigate and study conditions affecting Minnesota 5.29 business, industry, and commerce and collect and disseminate 5.30 information, and engage in technical studies, scientific 5.31 investigations, and statistical research and educational 5.32 activities necessary or useful for the proper execution of the 5.33 powers and duties of the commissioner in promoting and 5.34 developing Minnesota business, industry, and commerce, both 5.35 within and outside the state; 5.36 (4) plan and develop an effective business information 6.1 service both for the direct assistance of business and industry 6.2 of the state and for the encouragement of business and industry 6.3 outside the state to use economic facilities within the state; 6.4 (5) compile, collect, and develop periodically, or 6.5 otherwise make available, information relating to current 6.6 business conditions; 6.7 (6) conduct or encourage research designed to further new 6.8 and more extensive uses of the natural and other resources of 6.9 the state and designed to develop new products and industrial 6.10 processes; 6.11 (7) study trends and developments in the industries of the 6.12 state and analyze the reasons underlying the trends; study costs 6.13 and other factors affecting successful operation of businesses 6.14 within the state; and make recommendations regarding 6.15 circumstances promoting or hampering business and industrial 6.16 development; 6.17 (8) serve as a clearing house for business and industrial 6.18 problems of the state; and advise small business enterprises 6.19 regarding improved methods of accounting and bookkeeping; 6.20 (9) cooperate with interstate commissions engaged in 6.21 formulating and promoting the adoption of interstate compacts 6.22 and agreements helpful to business, industry, and commerce; 6.23 (10) cooperate with other state departments, and with 6.24 boards, commissions, and other state agencies, in the 6.25 preparation and coordination of plans and policies for the 6.26 development of the state and for the use and conservation of its 6.27 resources insofar as the use, conservation, and development may 6.28 be appropriately directed or influenced by a state agency; 6.29 (11) assemble and coordinate information relative to the 6.30 status, scope, cost, and employment possibilities and the 6.31 availability of materials, equipment, and labor in connection 6.32 with public works projects, state, county, and municipal; 6.33 recommend limitations on the public works; gather current 6.34 progress information with reference to public and private works 6.35 projects of the state and its political subdivisions with 6.36 reference to conditions of employment; inquire into and report 7.1 to the governor, when requested by the governor, with respect to 7.2 any program of public state improvements and the financing 7.3 thereof; and request and obtain information from other state 7.4 departments or agencies as may be needed properly to report 7.5 thereon; 7.6 (12) study changes in population and current trends and 7.7 prepare plans and suggest policies for the development and 7.8 conservation of the resources of the state; 7.9 (13) confer and cooperate with the executive, legislative, 7.10 or planning authorities of the United States and neighboring 7.11 states and provinces and of the counties and municipalities of 7.12 such neighboring states, for the purpose of bringing about a 7.13 coordination between the development of such neighboring 7.14 provinces, states, counties, and municipalities and the 7.15 development of this state; 7.16 (14) generally, gather, compile, and make available 7.17 statistical information relating to business, trade, commerce, 7.18 industry, transportation, communication, natural resources, and 7.19 other like subjects in this state, with authority to call upon 7.20 other departments of the state for statistical data and results 7.21 obtained by them and to arrange and compile that statistical 7.22 information in a manner that seems wise; 7.23 (15)prepare an annual report to the legislature estimating7.24and, to the extent possible, describing the number of Minnesota7.25companies which have left the state or moved to surrounding7.26states or other countries. The report should include an7.27estimate of the number of jobs lost by these moves, an estimate7.28of the total employment payroll, average hourly wage of those7.29jobs lost and those created in the new location, and to the7.30extent possible, the reasons for each company moving out of7.31state, if known;7.32(16)publish documents and annually convene regional 7.33 meetings to inform businesses, local government units, 7.34 assistance providers, and other interested persons of changes in 7.35 state and federal law related to economic development; 7.36(17)(16) annually convene conferences of providers of 8.1 economic development related financial and technical assistance 8.2 for the purposes of exchanging information on economic 8.3 development assistance, coordinating economic development 8.4 activities, and formulating economic development strategies; 8.5(18)(17) provide business with information on the economic 8.6 benefits of energy conservation and on the availability of 8.7 energy conservation assistance; and 8.8(19)(18) prepare, as part of biennial budget process, 8.9 performance measures for each business loan or grant program 8.10 within the jurisdiction of the commissioner. Measures would 8.11 include source of funds for each program, numbers of jobs 8.12 proposed or promised at the time of application and the number 8.13 of jobs created, estimated number of jobs retained, the average 8.14 salary and benefits for the jobs resulting from the program, and 8.15 the number of projects approved. 8.16 Sec. 9. Minnesota Statutes 2000, section 116J.9665, 8.17 subdivision 1, is amended to read: 8.18 Subdivision 1. [DEFINITIONS.] For purposes of this 8.19 section, the following terms have the meanings given them: 8.20 (1)"Conference and service center" means the approximately8.2120,000 square feet of space on the third and fourth floors of8.22the Minnesota world trade center that the state of Minnesota has8.23the right to possess, occupy, and use subject to the terms and8.24conditions of the development agreement.8.25(2)"Development agreement" means the agreement entered 8.26 into by and between the world trade center board, as agent of 8.27 the state of Minnesota, and Oxford Development Minnesota, Inc. 8.28 dated July 27, 1984, and the amendments to that agreement, for 8.29 development and construction of a world trade center at a 8.30 designated site in Minnesota. 8.31(3)(2) "Minnesota world trade center" means the facility 8.32 constructed in accordance with the development agreement or 8.33 other facilities meeting the membership requirements of the 8.34 World Trade Centers Association. 8.35 Sec. 10. Minnesota Statutes 2000, section 116J.9665, 8.36 subdivision 4, is amended to read: 9.1 Subd. 4. [DUTIES.] The commissioner shall: 9.2 (1) promote and market the Minnesota world trade center and 9.3 membership in the World Trade Centers Association; 9.4 (2)sponsor conferences or other promotional events in the9.5conference and service center;9.6(3)sponsor, develop, and conduct educational programs 9.7 related to international trade; 9.8(4)(3) establish and maintain an office in the Minnesota 9.9 world trade center; and 9.10(5)(4) not duplicate programs or services provided by the 9.11 commissioner of agriculture. 9.12 Sec. 11. Minnesota Statutes 2000, section 116J.9665, 9.13 subdivision 6, is amended to read: 9.14 Subd. 6. [WORLD TRADE CENTER ACCOUNT.] The world trade 9.15 center account is in the special revenue fund. All money 9.16received from the use of the conference and service center or9.17 appropriated under this section must be deposited in the 9.18 account. Money in the account including interest earned is 9.19 appropriated to the commissioner and must be used exclusively 9.20 for the purposes of this section. 9.21 Sec. 12. Minnesota Statutes 2000, section 116M.14, 9.22 subdivision 4, is amended to read: 9.23 Subd. 4. [LOW-INCOME AREA.] "Low-income area" means 9.24 Minneapolis, St. Paul, andinner ring suburbs as defined by the9.25metropolitan council that had a median household income below9.26$31,000 as reported in the 1990 censusthose cities in the 9.27 metropolitan area as defined in section 473.121, subdivision 2, 9.28 that have an average income that is below 60 percent of the 9.29 median income for a four-person family as of the latest report 9.30 by the United States Census Bureau. 9.31 Sec. 13. Minnesota Statutes 2000, section 116M.18, 9.32 subdivision 2, is amended to read: 9.33 Subd. 2. [CHALLENGE GRANT ELIGIBILITY; NONPROFIT 9.34 CORPORATION.] The board may enter into agreements with nonprofit 9.35 corporations to fund and guarantee loans the nonprofit 9.36 corporation makes in low-income areas under subdivision 4. A 10.1 corporation must demonstrate that: 10.2 (1) its board of directors includes citizens experienced in 10.3 development, minority business enterprises, and creating jobs in 10.4 low-income areas; 10.5 (2) it has the technical skills to analyze projects; 10.6 (3) it is familiar with other available public and private 10.7 funding sources and economic development programs; 10.8 (4) it can initiate and implement economic development 10.9 projects; 10.10 (5) it can establish and administer a revolving loan 10.11 account; and 10.12 (6) it can work with job referral networks which assist 10.13 minority and other persons in low-income areas. 10.14 Sec. 14. Minnesota Statutes 2000, section 116M.18, 10.15 subdivision 3, is amended to read: 10.16 Subd. 3. [REVOLVING LOAN FUND.] (a) The board shall 10.17 establish a revolving loan fund to make grants to nonprofit 10.18 corporations for the purpose of making loans and loan guarantees 10.19 to new and expanding businesses in a low-income area to promote 10.20 minority business enterprises and job creation for minority and 10.21 other persons in low-income areas. 10.22 (b) Eligible business enterprises include, but are not 10.23 limited to, technologically innovative industries, value-added 10.24 manufacturing, and information industries. Loan applications 10.25 given preliminary approval by the nonprofit corporation must be 10.26 forwarded to the board for approval. The commissioner must give 10.27 final approval for each loan or loan guarantee made by the 10.28 nonprofit corporation. The amount ofa grantthe state funds 10.29 contributed to any loan or loan guarantee may not exceed 50 10.30 percent of each loan.The amount of nonstate money must equal10.31at least 50 percent for each loan.10.32 Sec. 15. Minnesota Statutes 2000, section 116M.18, 10.33 subdivision 4, is amended to read: 10.34 Subd. 4. [BUSINESS LOAN CRITERIA.] (a) The criteria in 10.35 this subdivision apply to loans made or guaranteed by nonprofit 10.36 corporations under the urban challenge grant program. 11.1 (b) Loans or guarantees must be made to businesses that are 11.2 not likely to undertake a project for which loans are sought 11.3 without assistance from the urban challenge grant program. 11.4 (c) A loan or guarantee must be used for a project designed 11.5 to benefit persons in low-income areas through the creation of 11.6 job or business opportunities for them. Priority must be given 11.7 for loans to the lowest income areas. 11.8 (d) The minimum state contribution to a loan or guarantee 11.9 is $5,000 and the maximum is $150,000. 11.10 (e)A loanThe state contribution must be matched by at 11.11 least an equal amount of new private investment. 11.12 (f) A loan may not be used for a retail development project. 11.13 (g) The business must agree to work with job referral 11.14 networks that focus on minority applicants from low-income areas. 11.15 Sec. 16. Minnesota Statutes 2000, section 116M.18, 11.16 subdivision 5, is amended to read: 11.17 Subd. 5. [REVOLVING FUND ADMINISTRATION; RULES.] (a) The 11.18 board shall establish a minimum interest rate for loans or 11.19 guarantees to ensure that necessary loan administration costs 11.20 are covered. 11.21 (b) Loan repayment amounts equal to one-half of the 11.22 principal and interest must be deposited in a revolving fund 11.23 created by the board for challenge grants. The remaining amount 11.24 of the loan repayment may be deposited in a revolving loan fund 11.25 created by the nonprofit corporation originating the loan being 11.26 repaid for further distribution, consistent with the loan 11.27 criteria specified in subdivision 4. 11.28 (c) Administrative expenses of the board and nonprofit 11.29 corporations with whom the board enters into agreements under 11.30 subdivision 2, including expenses incurred by a nonprofit 11.31 corporation in providing financial, technical, managerial, and 11.32 marketing assistance to a business enterprise receiving a loan 11.33 under subdivision 4, may be paid out of the interest earned on 11.34 loans and out of interest earned on money invested by the state 11.35 board of investment under section 116M.16, subdivision 2, as may 11.36 be provided by the board. 12.1 Sec. 17. Minnesota Statutes 2000, section 116M.18, is 12.2 amended by adding a subdivision to read: 12.3 Subd. 6a. [NONPROFIT CORPORATION LOANS.] The board may 12.4 make loans to a nonprofit corporation with which it has entered 12.5 into an agreement under subdivision 1. These loans must be used 12.6 to support a new or expanding business. This support may 12.7 include such forms of financing as the sale of goods to the 12.8 business on installment or deferred payments, lease purchase 12.9 agreements, or royalty investments in the business. The 12.10 nonprofit corporation must provide at least an equal match to 12.11 the loan received by the board. The maximum loan available to 12.12 the nonprofit corporation under this subdivision is $50,000. 12.13 Loans made to the nonprofit corporation under this subdivision 12.14 may be made without interest. Repayments made by the nonprofit 12.15 corporation must be deposited in the revolving fund created for 12.16 urban initiative grants. 12.17 Sec. 18. Minnesota Statutes 2000, section 116M.18, 12.18 subdivision 8, is amended to read: 12.19 Subd. 8. [REPORTING REQUIREMENTS.] A nonprofit corporation 12.20 that receives a challenge grant shall: 12.21 (1) submit an annual report to the board by September 30 of 12.22 each year that includes a description of projects supported by 12.23 the urban challenge grant program, an account of loans made 12.24 during the calendar year, the program's impact on minority 12.25 business enterprises and job creation for minority persons and 12.26 persons in low-income areas, the source and amount of money 12.27 collected and distributed by the urban challenge grant program, 12.28 the program's assets and liabilities, and an explanation of 12.29 administrative expenses; and 12.30 (2) provide for an independent annual audit to be performed 12.31 in accordance with generally accepted accounting practices and 12.32 auditing standards and submit a copy of each annual audit report 12.33 to the board. 12.34 Sec. 19. Minnesota Statutes 2001 Supplement, section 12.35 268.022, subdivision 1, is amended to read: 12.36 Subdivision 1. [DETERMINATION AND COLLECTION OF SPECIAL 13.1 ASSESSMENT.] (a) In addition to all other taxes, assessments, 13.2 and payment obligations under chapter 268, each employer, except 13.3 an employer making payments in lieu of taxes is liable for a 13.4 special assessment leviedat the rate of one-tenth of one13.5percent per year until June 30, 2000, and seven-hundredths of13.6one percent per year on and after July 1, 2000,on all taxable 13.7 wages, as defined in section 268.035, subdivision 24. The 13.8 assessment shall become due and be paid by each employer to the 13.9 department on the same schedule and in the same manner as other 13.10 taxes. Until December 31, 2005, the assessment shall be at the 13.11 rate specified in paragraph (b). On and after January 1, 2006, 13.12 the assessment shall be at the rate of seven-hundredths of one 13.13 percent on taxable wages. 13.14 (b) On or before October 1 of each year, the commissioner 13.15 shall determine the special assessment rate for the following 13.16 calendar year, which shall be no less than seven-hundredths of 13.17 one percent of taxable wages and no greater than one-tenth of 13.18 one percent of taxable wages. The commissioner shall set the 13.19 rate no higher than necessary in order for the assessment to 13.20 collect funds adequate to fund the anticipated need for services 13.21 eligible for funding under this section while maintaining an 13.22 adequate reserve in the workforce development fund of between 13.23 $25,000,000 and $50,000,000. In determining the rate, the 13.24 commissioner shall consider the balance in the workforce 13.25 development fund, available state and local unemployment 13.26 statistics, and any appropriate information regarding the 13.27 state's overall economic outlook. On or before January 1 of 13.28 each year, the commissioner shall report to the legislature on 13.29 the rate chosen for that year, the reasons that rate was chosen, 13.30 and the expected financial implications of the chosen rate. 13.31 This paragraph expires December 31, 2005. 13.32(b)(c) The special assessment levied under this section 13.33 shall not affect the computation of any other taxes, 13.34 assessments, or payment obligations due under this chapter. 13.35 Sec. 20. Minnesota Statutes 2000, section 268.051, 13.36 subdivision 8, is amended to read: 14.1 Subd. 8. [SOLVENCYSPECIAL ASSESSMENT FOR INTEREST ON 14.2 FEDERAL LOAN.] (a) Ifthe fund balance is less than $150,000,00014.3 onJune 30October 31 of any year, the commissioner, in 14.4 consultation with the commissioner of finance, determines that 14.5 an interest payment will be due during the following calendar 14.6 year on any loan from the federal unemployment trust fund under 14.7 section 268.194, subdivision 6, asolvencyspecial assessment on 14.8 taxpaying employers will be in effect for the following calendar 14.9 year.The taxpaying employer shall pay quarterly a solvencyThe 14.10 legislature authorizes the commissioner, in consultation with 14.11 the commissioner of finance, to determine the appropriate level 14.12 of the assessment, oftenfrom two percent to eight percent of 14.13 the quarterly unemployment taxes due, that will be necessary to 14.14 pay the interest due on the loan. 14.15 (b) Thesolvencyspecial assessment shall be placed into a 14.16 special account from which the commissioner shall pay any 14.17 interestaccruingthat has accrued on any loan from the federal 14.18 unemployment trust fund provided for under section 268.194, 14.19 subdivision 6. If, at the end of each calendar quarter, the 14.20 commissioner, in consultation with the commissioner of finance, 14.21 determines that the balance in this special account, including 14.22 interest earned on the special account, is more than is 14.23 necessary to pay the interest which has accrued on any loan as 14.24 of that date, or will accrue over the following calendar 14.25 quarter, the commissioner shall immediately pay to the fund the 14.26 amount in excess of that necessary to pay the interest on any 14.27 loan. 14.28 [EFFECTIVE DATE.] This section is effective the day 14.29 following final enactment. 14.30 Sec. 21. Minnesota Statutes 2000, section 446A.07, 14.31 subdivision 4, is amended to read: 14.32 Subd. 4. [INTENDED USE PLAN.] (a) Thepollution control14.33agencypublic facilities authority shall annually prepare and 14.34 submit to the United States Environmental Protection Agency an 14.35 intended use plan. The plan must identify the intended uses of 14.36 the amounts available to the water pollution control revolving 15.1 fund, including a list of wastewater treatment and storm water 15.2 projects and all other eligible activities to be funded during 15.3 the fiscal year.Information regarding eligible activities must15.4be submitted to the pollution control agency by the appropriate15.5state agency or department within 30 days of written15.6notification by the pollution control agency.15.7 (b) To be eligible for placement on the intended use plan: 15.8 (1) a project must be listed on the pollution control 15.9 agency's project priority list; 15.10 (2) the applicant must submit a written request to the 15.11 public facilities authority, including a brief description of 15.12 the project, a project cost estimate and the requested loan 15.13 amount, and a proposed project schedule; and 15.14 (3) for a construction loan, the project must have a 15.15 facility plan approved by the pollution control agency. 15.16 (c) The pollution control agency shall annually provide to 15.17 the public facilities authority its project priority list of 15.18 wastewater and storm water projects to be considered for funding. 15.19 Thepollution control agencypublic facilities authority may not 15.20 submit the plan until it has received the review and comment of 15.21 theauthoritypollution control agency or until 30 days have 15.22 elapsed since the plan was submitted to theauthoritypollution 15.23 control agency, whichever occurs first. In addition, the public 15.24 facilities authority shall offer municipalities seeking 15.25 placement on the intended use plan an opportunity to review and 15.26 comment on the plan before it is adopted. The plan may be 15.27 amended to add additional projects for consideration for funding 15.28 as it determines funds are available and additional projects are 15.29 able to proceed. 15.30 Sec. 22. Minnesota Statutes 2000, section 446A.12, 15.31 subdivision 1, is amended to read: 15.32 Subdivision 1. [BONDING AUTHORITY.] The authority may 15.33 issue negotiable bonds in a principal amount that the authority 15.34 determines necessary to provide sufficient funds for achieving 15.35 its purposes, including the making of loans and purchase of 15.36 securities, the payment of interest on bonds of the authority, 16.1 the establishment of reserves to secure its bonds, the payment 16.2 of fees to a third party providing credit enhancement, and the 16.3 payment of all other expenditures of the authority incident to 16.4 and necessary or convenient to carry out its corporate purposes 16.5 and powers, but not including the making of grants. Bonds of 16.6 the authority may be issued as bonds or notes or in any other 16.7 form authorized by law. The principal amount of bonds issued 16.8 and outstanding under this section at any time may not exceed 16.9$850,000,000$1,000,000,000, excluding bonds for which refunding 16.10 bonds or crossover refunding bonds have been issued. 16.11 Sec. 23. Minnesota Statutes 2000, section 462A.04, 16.12 subdivision 1, is amended to read: 16.13 Subdivision 1. [CREATION; MEMBERS.] There is created a 16.14 public body corporate and politic to be known as the "Minnesota 16.15 housing finance agency," which shall perform the governmental 16.16 functions and exercise the sovereign powers delegated to it in 16.17 this chapter in furtherance of the public policies and purposes 16.18 declared in section 462A.02. The agency shall consist of the 16.19commissioner of trade and economic development,state auditor,16.20 andfivesix public members appointed by the governor with 16.21 advice and consent of the senate. No more thantwothree public 16.22 members shall reside in the area of jurisdiction of the 16.23 metropolitan council as provided in section 473.123, subdivision 16.24 1, and no more than one public member shall reside in any one of 16.25 the development regions established under the provisions of 16.26 sections 462.381 to 462.396. Each member shall hold office 16.27 until a successor has been appointed and has qualified. At 16.28 least one member shall have private sector business experience. 16.29 A certificate of appointment or reappointment of any member 16.30 shall be conclusive evidence of the due and proper appointment 16.31 of the member. 16.32 Sec. 24. Minnesota Statutes 2000, section 462A.04, 16.33 subdivision 4, is amended to read: 16.34 Subd. 4. [CHAIRS.] The chair of the board of directors 16.35 shall be designated by the governor from among the public 16.36 members appointed.The vice-chair of the board shall be the17.1commissioner of trade and economic development.17.2 Sec. 25. Laws 2001, First Special Session chapter 4, 17.3 article 1, section 2, subdivision 5, is amended to read: 17.4 Subd. 5. Office of Tourism 17.5 10,219,000 10,111,000 17.6 To develop maximum private sector 17.7 involvement in tourism, $3,500,000 the 17.8 first year and $3,500,000 the second 17.9 year of the amounts appropriated for 17.10 marketing activities are contingent on 17.11 receipt of an equal contribution from 17.12 nonstate sources that have been 17.13 certified by the commissioner. Up to 17.14 one-half of the match may be given in 17.15 in-kind contributions. 17.16 In order to maximize marketing grant 17.17 benefits, the commissioner must give 17.18 priority for joint venture marketing 17.19 grants to organizations with year-round 17.20 sustained tourism activities. For 17.21 programs and projects submitted, the 17.22 commissioner must give priority to 17.23 those that encompass two or more areas 17.24 or that attract nonresident travelers 17.25 to the state. 17.26 If an appropriation for either year for 17.27 grants is not sufficient, the 17.28 appropriation for the other year is 17.29 available for it. 17.30 The commissioner may use grant dollars 17.31 or the value of in-kind services to 17.32 provide the state contribution for the 17.33 partnership program. 17.34 Any unexpended money from general fund 17.35 appropriations made under this 17.36 subdivision does not cancel but must be 17.37 placed in a special advertising account 17.38 for use by the office of tourism to 17.39 purchase additional media. 17.40 Of this amount, $50,000 the first year 17.41 is for a one-time grant to the 17.42 Mississippi River parkway commission to 17.43 support the increased promotion of 17.44 tourism along the Great River Road. 17.45 $829,000 the first year and $829,000 17.46 the second year are for the Minnesota 17.47 film board. $329,000 of this 17.48 appropriation in each year is available 17.49 only upon receipt by the board of $1 in 17.50 matching contributions of money or 17.51 in-kind from nonstate sources for every 17.52 $3 provided by this appropriation. Of 17.53 this amount, $500,000 the first year 17.54 and $500,000 the second year are for 17.55 grants to the Minnesota film board for 17.56 a film production jobs fund to 17.57 stimulate film production in 17.58 Minnesota. This appropriation is to 17.59 reimburse film and television producers 17.60 for up to ten percent of the documented 18.1 wages and cost of services that they 18.2 paid to Minnesotans for film and 18.3 television production after January 1, 18.4 2001. 18.5 $150,000 the first year is for 18.6 partnerships with local tourism 18.7 interests to operate travel information 18.8 centers. This is a one-time 18.9 appropriation. This appropriation is 18.10 available until spent. 18.11 Sec. 26. Laws 2001, First Special Session chapter 4, 18.12 article 2, section 31, is amended to read: 18.13 Sec. 31. [WORKFORCE ENHANCEMENT FEE.] 18.14 Subdivision 1. [FEE.] Notwithstanding Minnesota Statutes, 18.15 section 268.022, effective January 1, 2002, the special 18.16 assessment under that section on taxable wages as defined in 18.17 Minnesota Statutes, section 268.035, subdivision 24, is 18.18 suspended until December 31, 2005. Effective January 1, 2002, 18.19 there shall be assessed, in addition to unemployment taxes due 18.20 under Minnesota Statutes, section 268.051, a workforce 18.21 enhancement fee of.0912 percent on taxable wages. This fee 18.22 shall be due and be paid on the same schedule and in the same 18.23 manner as unemployment taxes under Minnesota Statutes, section 18.24 268.051. Any amount past due under this section shall be 18.25 subject to the same interest and collection provisions as 18.26 unemployment taxes. This fee shall expire on December 31, 2005. 18.27 Subd. 2. [USE OF FUNDS COLLECTED.] An amount equal to 18.28.070.1 percent on taxable wages shall be deposited in the 18.29 workforce development fund provided for under Minnesota 18.30 Statutes, section 268.022, subdivision 2. An amount equal to 18.31 .02 percent on taxable wages, less reimbursement for collection 18.32 costs of the total amount of the fee, shall be deposited in the 18.33 unemployment insurance technology initiative account provided 18.34 for in section 32. 18.35 Sec. 27. [FARMLAND FOODS EXTRA BENEFITS.] 18.36 Subdivision 1. [EXTRA BENEFITS; AVAILABILITY.] Extra 18.37 unemployment benefits are available to an applicant if the 18.38 applicant was permanently laid off due to lack of work on or 18.39 after July 8, 2001, from the Farmland Foods Company in Freeborn 18.40 county. 19.1 Subd. 2. [PAYMENT FROM FUND; EFFECT ON EMPLOYER.] Extra 19.2 unemployment benefits are payable from the fund. Extra 19.3 unemployment benefits shall not affect the future tax rate of a 19.4 taxpaying employer nor be charged to the reimbursing account of 19.5 a government or nonprofit employer. 19.6 Subd. 3. [ELIGIBILITY CONDITIONS.] An applicant is 19.7 eligible to receive extra unemployment benefits under this 19.8 section for any week until July 5, 2003, as a result of a layoff 19.9 described under subdivision 1, if: 19.10 (1) a majority of the applicant's wage credits were with 19.11 Farmland Foods Company; 19.12 (2) except as provided in subdivision 6, the applicant 19.13 meets the eligibility requirements of Minnesota Statutes, 19.14 section 268.085; 19.15 (3) the applicant is not subject to a disqualification 19.16 under Minnesota Statutes, section 268.095; 19.17 (4) the applicant is not entitled to regular unemployment 19.18 benefits and the applicant is not entitled to receive 19.19 unemployment benefits under any other state or federal law for 19.20 that week; and 19.21 (5) the applicant is enrolled in, or has within the last 19.22 two weeks successfully completed, a program that qualifies as 19.23 reemployment assistance training under the dislocated worker 19.24 program, except that an applicant whose training is scheduled to 19.25 begin in more than 30 days may be considered to be in training 19.26 if: (i) the applicant's chosen training program does not offer 19.27 an available start date within 30 days; (ii) the applicant is 19.28 scheduled to begin training on the earliest available start date 19.29 for the chosen training program; and (iii) the applicant is 19.30 scheduled to begin training in no more than 60 days. 19.31 If an applicant qualifies for a new regular benefit account 19.32 at any time after exhausting regular unemployment benefits as a 19.33 result of the layoff under subdivision 1, the applicant must 19.34 apply for and exhaust entitlement to those new regular 19.35 unemployment benefits. 19.36 Subd. 4. [WEEKLY AMOUNT OF EXTRA BENEFITS.] The weekly 20.1 extra unemployment benefits amount available to an applicant is 20.2 the same as the applicant's weekly regular unemployment benefit 20.3 amount on the benefit account established as a result of a 20.4 layoff under subdivision 1. 20.5 Subd. 5. [MAXIMUM AMOUNT OF EXTRA UNEMPLOYMENT 20.6 BENEFITS.] The maximum amount of extra unemployment benefits 20.7 available is 26 times the applicant's weekly extra unemployment 20.8 benefits amount. Any type of unemployment benefits, under any 20.9 state or federal law, the applicant may be entitled to after 20.10 exhausting regular unemployment benefits as a result of a layoff 20.11 under subdivision 1, shall reduce the maximum amount of extra 20.12 unemployment benefits available. The reduction in total extra 20.13 unemployment benefits available shall equal the total amount of 20.14 any other type of unemployment benefits available. 20.15 Subd. 6. [PROGRAM EXPIRATION.] This extra unemployment 20.16 benefit program expires on July 5, 2003. No extra unemployment 20.17 benefits shall be paid for any week after the expiration of this 20.18 program. 20.19 [EFFECTIVE DATE.] This section is effective the day 20.20 following final enactment and is retroactive to July 8, 2001. 20.21 Sec. 28. [AIRLINE AND RELATED INDUSTRIES EXTRA BENEFITS.] 20.22 Subdivision 1. [EXTRA BENEFITS; AVAILABILITY.] Extra 20.23 unemployment benefits are available to an applicant who has a 20.24 benefit account effective March 11, 2001, or thereafter if the 20.25 applicant was laid off due to lack of work from Northwest 20.26 Airlines, Sun Country Airlines, Mesaba Airlines, United 20.27 Airlines, LSG Sky Chefs, Air Wisconsin, American Airlines, 20.28 American TransAir, Champion Air, Chautaugua Airlines, 20.29 Continental Airlines, Emery Worldwide Air, Great Lakes Airlines, 20.30 PanAm International, Skyway Airlines, and U.S. Airways. 20.31 Subd. 2. [PAYMENT FROM FUND; EFFECT ON EMPLOYER.] Extra 20.32 unemployment benefits are payable from the fund. 20.33 Subd. 3. [ELIGIBILITY CONDITIONS.] An applicant described 20.34 under subdivision 1 is eligible to receive extra unemployment 20.35 benefits under this section for any week through March 15, 2003, 20.36 if: 21.1 (1) a majority of the applicant's wage credits were with an 21.2 employer specified under subdivision 1; 21.3 (2) the applicant meets the eligibility requirements of 21.4 Minnesota Statutes, section 268.085; 21.5 (3) the applicant is not subject to a disqualification 21.6 under Minnesota Statutes, section 268.095; 21.7 (4) the applicant is not entitled to any regular, 21.8 additional, or extended unemployment benefits for that week and 21.9 the applicant is not entitled to receive unemployment benefits 21.10 under any other state or federal law for that week; 21.11 (5) the applicant is enrolled in, or has within the last 21.12 two weeks successfully completed, a program that qualifies as 21.13 reemployment assistance training under the Minnesota dislocated 21.14 worker program except that an applicant whose training is 21.15 scheduled to begin in more than 30 days may be considered to be 21.16 in training if: (i) the applicant's chosen training program 21.17 does not offer an available start date within 30 days; (ii) the 21.18 applicant is scheduled to begin training on the earliest 21.19 available start date for the chosen training program; and (iii) 21.20 the applicant is scheduled to begin training in no more than 60 21.21 days; and 21.22 (6) an applicant qualifies for a new regular benefit 21.23 account at any time after exhausting regular unemployment 21.24 benefits as a result of a layoff under subdivision 1, the 21.25 applicant must apply for and exhaust entitlement to those new 21.26 regular or any other type of unemployment benefits under any 21.27 state or federal law. 21.28 Subd. 4. [WEEKLY AMOUNT OF EXTRA BENEFITS.] The weekly 21.29 extra unemployment benefits amount available to an applicant is 21.30 the same as the applicant's weekly regular unemployment benefit 21.31 amount on the benefit account established as a result of a 21.32 layoff under subdivision 1. 21.33 Subd. 5. [MAXIMUM AMOUNT OF EXTRA UNEMPLOYMENT 21.34 BENEFITS.] The maximum amount of extra unemployment benefits 21.35 available is 13 times the applicant's weekly extra unemployment 21.36 benefits amount. Any type of unemployment benefits, under any 22.1 state or federal law, the applicant may be entitled to after 22.2 exhausting regular unemployment benefits as a result of a layoff 22.3 under subdivision 1, shall reduce the maximum amount of extra 22.4 unemployment benefits available. The reduction in total extra 22.5 unemployment benefits available shall equal the total amount of 22.6 any other type of unemployment benefits available. 22.7 Subd. 6. [PROGRAM EXPIRATION.] This extra unemployment 22.8 benefit program expires on January 3, 2004. No extra 22.9 unemployment benefits shall be paid for any week after the 22.10 expiration of this program. 22.11 [EFFECTIVE DATE.] This section is effective the day 22.12 following final enactment and is retroactive to September 16, 22.13 2001. 22.14 Sec. 29. [FINDINGS.] 22.15 The legislature finds that the extension of unemployment 22.16 benefits as provided in this act is appropriate based on the 22.17 unique circumstances of airline and airport businesses. 22.18 Specifically, the extension is appropriate because: 22.19 (1) a national emergency contributed to the unemployment 22.20 experienced by the affected applicants; 22.21 (2) the federal government shut down the airline industry 22.22 after September 11, 2001; and 22.23 (3) the airline industry received substantial assistance 22.24 from the federal government. 22.25 Sec. 30. [REINSTATEMENT OF LAW.] 22.26 Notwithstanding its repeal by Laws 2001, First Special 22.27 Session chapter 4, article 2, section 41, Minnesota Statutes 22.28 2000, section 268.976, as amended by Laws 2001, chapter 175, 22.29 section 50, is revived. 22.30 Sec. 31. [REPEALER.] 22.31 Minnesota Statutes 2000, sections 116J.9672; and 116J.9673, 22.32 are repealed.