Engrossments
Introduction		Posted on 02/26/2008
1st Engrossment		Posted on 03/10/2008
2nd Engrossment		Posted on 04/30/2008

Section 1.

Minnesota Statutes 2006, section 3.885, is amended by adding a subdivision
to read:

new text begin Subd. 11. new text end

new text begin Subcommittee on Government Accountability. new text end

new text begin The commission must
form a Subcommittee on Government Accountability under section 3.3056 to review
recommendations from the commissioner of finance under section 16A.10, subdivision 1c,
and to review recommendations from the commissioners of finance and administration on
how to improve the use of Minnesota Milestones and other statewide goals and indicators
in state planning and budget documents. The subcommittee shall consider testimony from
representatives from the following organizations and agencies: (1) nonprofit organizations
involved in the preparation of Minnesota Milestones; (2) the University of Minnesota
and other higher education institutions; (3) the Department of Finance and other state
agencies; and (4) other legislators. The subcommittee shall report to the commission by
February 1 of each odd-numbered year with long-range recommendations for the further
implementation and uses of Minnesota Milestones and other government accountability
improvements.
new text end

Sec. 2.

Minnesota Statutes 2006, section 15A.081, subdivision 8, is amended to read:

Subd. 8.

Expense allowance.

Notwithstanding any law to the contrary, positions
listed in section 15A.0815, deleted text begin subdivisions 2 and 3,deleted text end constitutional officers, the commissioner
of Iron Range resources and rehabilitation, and the director of the State Lottery are
authorized an annual expense allowance not to exceed $1,500 for necessary expenses in
the normal performance of their duties for which no other reimbursement is provided.
The expenditures under this subdivision are subject to any laws and rules relating to
budgeting, allotment and encumbrance, preaudit and postaudit. The commissioner of
finance may adopt rules to assure the proper expenditure of these funds and to provide
for reimbursement.

Sec. 3.

Minnesota Statutes 2006, section 15A.0815, subdivision 1, is amended to read:

Subdivision 1.

Salary limits.

The governor or other appropriate appointing
authority shall set the salary rates for positions listed in deleted text begin this sectiondeleted text end new text begin subdivision 2 new text end within
the salary limits listed in deleted text begin subdivisionsdeleted text end new text begin subdivision new text end 2 deleted text begin to 4deleted text end new text begin and section 43A.17, subdivision
9new text end , subject to approval of the Legislative Coordinating Commission and the legislature as
provided by subdivision 5 and sections 3.855 and 15A.081, subdivision 7b.

Sec. 4.

Minnesota Statutes 2006, section 15A.0815, subdivision 2, as amended by
Laws 2008, chapter 204, section 3, is amended to read:

Subd. 2.

deleted text begin Group I salary limitsdeleted text end new text begin Positionsnew text end .

deleted text begin The salaries for positions in this
subdivision may not exceed 95 percent of the salary of the governor:deleted text end

Commissioner of administration;

Commissioner of agriculture;

Commissioner of education;

Commissioner of commerce;

Commissioner of corrections;

new text begin Commissioner of employment and economic development;
new text end

Commissioner of finance;

new text begin Director, Gambling Control Board;
new text end

Commissioner of health;

Executive director, Minnesota Office of Higher Education;

Commissioner, Housing Finance Agency;

Commissioner of human rights;

Commissioner of human services;

new text begin Commissioner, Iron Range Resources and Rehabilitation Board;
new text end

Commissioner of labor and industry;

new text begin Commissioner, Bureau of Mediation Services;
new text end

new text begin Ombudsman for Mental Health and Developmental Disabilities;
new text end

new text begin Chair, Metropolitan Airports Commission;
new text end

new text begin Chair, Metropolitan Council;
new text end

new text begin Director, Minnesota State Lottery;
new text end

Commissioner of natural resources;

deleted text begin Director of Office of Strategic and Long-Range Planning;deleted text end

Commissioner, Pollution Control Agency;

new text begin Executive director, Public Employees Retirement Association;
new text end

Commissioner of public safety;

new text begin Commissioner, Public Utilities Commission;
new text end

new text begin Director, Minnesota Racing Commission;
new text end

Commissioner of revenue;

deleted text begin Commissioner of employment and economic development;deleted text end

new text begin Executive director, State Retirement System;
new text end

new text begin Executive director, Teachers Retirement Association;
new text end

Commissioner of transportation; and

Commissioner of veterans affairs.

Sec. 5.

Minnesota Statutes 2006, section 15A.0815, subdivision 5, is amended to read:

Subd. 5.

Appointing authorities to recommend certain salaries.

(a) The
governor, or other appropriate appointing authority, may submit to the Legislative
Coordinating Commission recommendations for salaries within the salary limits for the
positions listed in subdivisions 2 to 4. An appointing authority may also propose additions
or deletions of positions from those listed.

(b) Before submitting the recommendations, the appointing authority shall consult
with the commissioner of employee relations concerning the recommendations.

(c) In making recommendations, the appointing authority shall consider the
criteria established in section 43A.18, subdivision 8, and the performance of individual
incumbents. The performance evaluation must include a review of an incumbent's progress
toward attainment of affirmative action goals. The appointing authority shall establish
an objective system for quantifying knowledge, abilities, duties, responsibilities, and
accountabilities, and in determining recommendations, rate each position by this system.

(d) Before the appointing authority's recommended salaries take effect, the
recommendations must be reviewed and approved, rejected, or modified by the Legislative
Coordinating Commission and the legislature under section 3.855, subdivisions 2 and
3. If, when the legislature is not in session, the commission fails to reject or modify
salary recommendations of the governor within 30 calendar days of their receipt, the
recommendations are deemed to be approved.

(e) The appointing authority shall set the initial salary of a head of a new agency
or a chair of a new metropolitan board or commission whose salary is not specifically
prescribed by law after consultation with the commissioner, whose recommendation is
advisory only. The amount of the new salary must be comparable to the salary of an
agency head or commission chair having similar duties and responsibilities.

(f) The salary of a newly appointed head of an agency or chair of a metropolitan
agency listed in deleted text begin subdivisionsdeleted text end new text begin subdivisionnew text end 2 deleted text begin to 4deleted text end , may be increased or decreased by the
appointing authority from the salary previously set for that position within 30 days
of the new appointment after consultation with the commissioner. If the appointing
authority increases a salary under this paragraph, the appointing authority shall submit
the new salary to the Legislative Coordinating Commission and the full legislature
for approval, modification, or rejection under section 3.855, subdivisions 2 and 3.
If, when the legislature is not in session, the commission fails to reject or modify
salary recommendations of the governor within 30 calendar days of their receipt, the
recommendations are deemed to be approved.

Sec. 6.

Minnesota Statutes 2006, section 16A.10, subdivision 1, is amended to read:

Subdivision 1.

Budget format.

In each even-numbered calendar year the
commissioner shall prepare budget forms and instructions for all agencies, including
guidelines for reporting agency performance measures, subject to the approval of the
governor. new text begin In addition to the review required under subdivision 1c, new text end the commissioner shall
request and receive advisory recommendations from the chairs of the senate Finance
Committee and house of representatives Ways and Means Committee before adopting a
format for the biennial budget document. By June 15, the commissioner shall send the
proposed budget forms to the appropriations and finance committees. The committees
have until July 15 to give the commissioner their advisory recommendations on possible
improvements. To facilitate this consultation, the commissioner shall establish a working
group consisting of executive branch staff and designees of the chairs of the senate
Finance and house of representatives Ways and Means Committees. The commissioner
must involve this group in all stages of development of budget forms and instructions.
The budget format must show actual expenditures and receipts for the most recent fiscal
year, estimated expenditures and receipts for the current fiscal year, and estimates for each
fiscal year of the next biennium. Estimated expenditures must be classified by funds and
character of expenditures and may be subclassified by programs and activities. Agency
revenue estimates must show how the estimates were made and what factors were used.
Receipts must be classified by funds, programs, and activities. Expenditure and revenue
estimates must be based on the law in existence at the time the estimates are prepared.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 7.

Minnesota Statutes 2006, section 16A.10, subdivision 1c, is amended to read:

Subd. 1c.

Performance measures for change items.

For each change item in the
budget proposal requesting new or increased funding, the budget document must present
proposed performance measures that can be used to determine if the new or increased
funding is accomplishing its goals.new text begin To the extent possible, each budget change item must
identify relevant Minnesota Milestones and other statewide goals and indicators related to
the proposed initiative. By June 15 of each even-numbered year, the commissioner must
report to the Subcommittee on Government Accountability established under section
3.885, subdivision 11, regarding the format and process to be used for the presentation and
selection of Minnesota Milestones and other statewide goals and indicators. By July 15 of
each even-numbered year, the subcommittee must recommend the format and process for
use in the preparation of the budget documents.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 8.

Minnesota Statutes 2006, section 16B.281, subdivision 3, is amended to read:

Subd. 3.

Notice to agencies; determination of surplus.

deleted text begin On or before October 1 of
each year, the commissioner shall review the certifications of heads of each department or
agency provided for in this section.deleted text end The commissioner new text begin of administration new text end shall send written
notice to all state departments, agencies, and the University of Minnesota describing any
lands or tracts that may be declared surplus. If a department or agency or the University of
Minnesota desires custody of the lands or tracts, it shall submit a written request to the
commissioner, no later than four calendar weeks after mailing of the notice, setting forth
in detail its reasons for desiring to acquire and its intended use of the land or tract. The
commissioner shall then determine whether any of the lands described deleted text begin in the certifications
of the heads of the departments or agenciesdeleted text end should be declared surplus and offered for
sale or otherwise disposed of by transferring custodial control to other requesting state
departments or agencies or to the Board of Regents of the University of Minnesota for
educational purposes, provided however that transfer to the Board of Regents shall not be
determinative of tax exemption or immunity. If the commissioner determines that any of
the lands are no longer needed for state purposes, the commissioner shall make findings of
fact, describe the lands, declare the lands to be surplus state land, new text begin and new text end state the reasons for
the sale or disposition of the landsdeleted text begin , and notify the Executive Council of the determinationdeleted text end .

Sec. 9.

Minnesota Statutes 2006, section 16B.282, is amended to read:

16B.282 SURVEYS, APPRAISALS, AND SALE.

Subdivision 1.

Appraisal; notice and offer to public bodies.

(a) Before offering
any surplus state-owned lands for sale, the commissioner new text begin of administration new text end may survey the
lands and, if the value of the lands is estimated to be deleted text begin $40,000deleted text end new text begin $50,000new text end or less, may have
the lands appraised. The commissioner shall have the lands appraised if the estimated
value is in excess of deleted text begin $40,000deleted text end new text begin $50,000new text end .

(b) deleted text begin The appraiser shall, before entering upon the duties of the office, take and
subscribe an oath that the appraiser will faithfully and impartially discharge the duties
of appraiser according to the best of the appraiser's ability and that the appraiser is not
interested, directly or indirectly, in any of the lands to be appraised or the timber or
improvements on the lands or in the purchase of the lands, timber, or improvements
and has entered into no agreement or combination to purchase any of the lands, timber,
or improvements. The oath shall be attached to the appraisal report.deleted text end new text begin Appraisals must
be made by an appraiser that holds a state appraiser license issued by the Department
of Commerce. The appraisal must be in conformity with the Uniform Standards of
Professional Appraisal Practice of the Appraisal Foundation.
new text end

(c) Before offering surplus state-owned lands for public sale, the lands shall first be
offered to the city, county, town, school district, or other public body corporate or politic
in which the lands are situated for public purposes and the lands may be sold for public
purposes for not less than the appraised value of the lands. To determine whether a public
body desires to purchase the surplus land, the commissioner shall give a written notice to
the governing body of each political subdivision whose jurisdictional boundaries include
or are adjacent to the surplus land. If a public body desires to purchase the surplus land,
it shall submit a written offer to the commissioner no later than two weeks after receipt
of notice setting forth in detail its reasons for desiring to acquire and its intended use of
the land. In the event that more than one public body tenders an offer, the commissioner
shall determine which party shall receive the property and shall submit written findings
regarding the decision. If lands are offered for sale for public purposes and if a public
body notifies the commissioner of its desire to acquire the lands, the public body may have
up to two years from the date of the accepted offer to commence payment for the lands
in the manner provided by law.

Subd. 2.

Public sale requirements.

(a) deleted text begin Lands certified as surplus by the head of
a department or agency under section 16B.281 shall be offered for public sale by the
commissioner as provided in this subdivision.deleted text end After complying with subdivision 1 and
before any public sale of surplus state-owned land is madenew text begin and at least 30 days before the
salenew text end , the commissioner new text begin of administration new text end shall publish a notice of the sale deleted text begin at least once each
week for four successive weeks in a legal newspaper and alsodeleted text end in a newspaper of general
distribution in the deleted text begin city ordeleted text end county in which the real property to be sold is situated. The notice
shall specify the time and place at which the sale will commence, a general description of
the lots or tracts to be offered, and a general statement of the terms of sale. deleted text begin Each tract or
lot shall be sold separately and shall be sold for no less than its appraised value.deleted text end

(b)new text begin Surplus state-owned land shall be sold for no less than the estimated or appraised
value. The minimum bid may include expenses incurred by the commissioner in rendering
the property saleable, including survey, appraisal, legal, advertising, and other expenses.
new text end

new text begin (c)new text end Parcels remaining unsold after the offering may be sold to anyone agreeing to
pay the appraised value. The sale shall continue until all parcels are sold or until the
commissioner orders a reappraisal or withdraws the remaining parcels from sale.

deleted text begin (c) Except as provided in section 16B.283, the cost of any survey or appraisal as
provided in subdivision 1 shall be added to and made a part of the appraised value of the
lands to be sold, whether to any political subdivision of the state or to a private purchaser
as provided in this subdivision.deleted text end

Sec. 10.

Minnesota Statutes 2006, section 16B.283, is amended to read:

16B.283 TERMS OF PAYMENT.

deleted text begin No less than ten percent of the purchase price shall be paid at the time of sale with
the balance payable according to this section. If the purchase price of any lot or parcel is
$5,000 or less, the balance shall be paid within 90 days of the date of sale. If the purchase
price of any lot or parcel is in excess of $5,000, the balance shall be paid in equal annual
installments for no more than five years, at the option of the purchaser, with principal
and interest payable annually in advance at a rate equal to the rate in effect at the time
under section 549.09 on the unpaid balance, payable to the state treasury on or before
June 1 each year. Any installment of principal or interest may be prepaid.deleted text end new text begin The purchaser
must pay at the time of sale ten percent of the total amount bid and the remainder of the
payment is due within 90 days of the sale date. A person who fails to make final payment
within 90 days of the sale date is in default. On default, all right, title, and interest of
the purchaser or heirs, representatives, or assigns of the purchaser in the premises shall
terminate without the state doing any act or thing. A record of the default must be made in
the state land records of the commissioner.new text end

Sec. 11.

Minnesota Statutes 2006, section 16B.284, is amended to read:

16B.284 deleted text begin CONTRACT FOR DEED ANDdeleted text end QUITCLAIM DEED.

deleted text begin In the event a purchaser elects to purchase surplus real property on an installment
basis, the commissioner shall enter into a contract for deed with the purchaser, in which
shall be set forth the description of the real property sold and the price of the property,
the consideration paid and to be paid for the property, the rate of interest, and time and
terms of payment. The contract for deed shall be made assignable and shall further set
forth that in case of the nonpayment of the annual principal or interest payment due by the
purchaser, or any person claiming under the purchaser, then the contract for deed, from the
time of the failure, is entirely void and of no effect and the state may be repossessed of the
lot or tract and may resell the lot or tract as provided in sections 16B.281 to 16B.287. In
the event the terms and conditions of a contract for deed are completely fulfilled or if a
purchaser makes a lump-sum payment for the subject property in lieu of entering into a
contract for deed,deleted text end The commissioner new text begin of administration new text end shall sign and cause to be issued a
quitclaim deed on behalf of the state. The quitclaim deed shall be in a form prescribed by
the attorney general and shall vest in the purchaser all of the state's interest in the subject
property except as provided in section 16B.286.

Sec. 12.

Minnesota Statutes 2006, section 16B.287, subdivision 2, is amended to read:

Subd. 2.

Payment of expenses.

A portion of the proceeds from the sale equal in
amount to the survey, appraisal, legal, advertising, and other expenses incurred by the
commissioner new text begin of administration new text end or other state official in rendering the property salable shall
be remitted to the account from which the expenses were paid and are appropriated and
immediately available for expenditure in the same manner as other money in the account.

Sec. 13.

Minnesota Statutes 2006, section 16E.01, subdivision 3, is amended to read:

Subd. 3.

Duties.

(a) The office shall:

(1) manage the efficient and effective use of available federal, state, local, and
public-private resources to develop statewide information and telecommunications
technology systems and services and its infrastructure;

(2) approve state agency and intergovernmental information and telecommunications
technology systems and services development efforts involving state or intergovernmental
funding, including federal funding, provide information to the legislature regarding
projects reviewed, and recommend projects for inclusion in the governor's budget under
section 16A.11;

(3) ensure cooperation and collaboration among state and local governments in
developing intergovernmental information and telecommunications technology systems
and services, and define the structure and responsibilities of a representative governance
structure;

(4) cooperate and collaborate with the legislative and judicial branches in the
development of information and communications systems in those branches;

(5) continue the development of North Star, the state's official comprehensive online
service and information initiative;

(6) promote and collaborate with the state's agencies in the state's transition to an
effectively competitive telecommunications market;

(7) collaborate with entities carrying out education and lifelong learning initiatives
to assist Minnesotans in developing technical literacy and obtaining access to ongoing
learning resources;

(8) promote and coordinate public information access and network initiatives,
consistent with chapter 13, to connect Minnesota's citizens and communities to each
other, to their governments, and to the world;

(9) promote and coordinate electronic commerce initiatives to ensure that Minnesota
businesses and citizens can successfully compete in the global economy;

(10) manage and promote the regular and periodic reinvestment in the information
and telecommunications technology systems and services infrastructure so that state and
local government agencies can effectively and efficiently serve their customers;

(11) facilitate the cooperative development of and ensure compliance with standards
and policies for information and telecommunications technology systems and services,
electronic data practices and privacy, and electronic commerce among international,
national, state, and local public and private organizations;

(12) eliminate unnecessary duplication of existing information and
telecommunications technology systems and services provided by other public and private
organizations while building on the existing governmental, educational, business, health
care, and economic development infrastructures;

(13) identify, sponsor, develop, and execute shared information and
telecommunications technology projects and ongoing operations; and

(14) ensure overall security of the state's information and technology systems and
services.

(b) The chief information officernew text begin ,new text end in consultation with the commissioner of
financenew text begin ,new text end must determine when it is cost-effective for agencies to develop and use shared
information and telecommunications technology systems and services for the delivery of
electronic government services. The chief information officer may require agencies to
use shared information and telecommunications technology systems and services. The
chief information officer shall establish reimbursement rates in cooperation with the
commissioner of finance to be billed to agencies and other governmental entities sufficient
to cover the actual development, operating, maintenance, and administrative costs of
the shared systems. The methodology for billing may include the use of interagency
agreements, or other means as allowed by law.

new text begin (c) A state agency that has an information and telecommunications technology
project with a total expected project cost of more than $1,000,000, whether funded as part
of the biennial budget or by any other means, shall register with the office by submitting
basic project startup documentation, as specified by the chief information officer in both
format and content, before any project funding is requested or committed and before
the project commences. State agency project leaders must demonstrate that the project
will be properly managed, provide updates to the project documentation as changes are
proposed, and regularly report on the current status of the project on a schedule agreed to
with the chief information officer.
new text end

new text begin (d) The chief information officer shall monitor progress on any active information
and telecommunications technology project with a total expected project cost of more than
$5,000,000 and report on the performance of the project in comparison with the plans for
the project in terms of time, scope, and budget. The chief information officer may conduct
an independent project audit of the project. The audit analysis and evaluation of the
projects subject to paragraph (c) must be presented to agency executive sponsors, the
project governance bodies, and the chief information officer. All reports and responses
must become part of the project record.
new text end

new text begin (e) For any active information and telecommunications technology project with a
total expected project cost of more than $10,000,000, the state agency must perform an
annual independent audit that conforms to published project audit principles promulgated
by the office.
new text end

new text begin (f) The chief information officer shall report by January 15 of each year to the
chairs and ranking minority members of the legislative committees and divisions with
jurisdiction over the office regarding projects the office has reviewed under paragraph (a),
clause (2). The report must include the reasons for the determinations made in the review
of each project and a description of its current status.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 14.

Minnesota Statutes 2006, section 16E.03, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

For the purposes of chapter 16E, the following terms
have the meanings given them.

(a) "Information and telecommunications technology systems and services" means
all computing and telecommunications hardware and software, the activities undertaken
to secure that hardware and software, and the activities undertaken to acquire, transport,
process, analyze, store, and disseminate information electronically. "Information and
telecommunications technology systems and services" includes all proposed expenditures
for computing and telecommunications hardware and software, security for that hardware
and software, and related consulting or other professional services.

(b) "Information and telecommunications technology project" means an effort to
acquire or produce information and telecommunications technology systems and services.

(c) "Telecommunications" means voice, video, and data electronic transmissions
transported by wire, wireless, fiber-optic, radio, or other available transport technology.

(d) "Cyber security" means the protection of data and systems in networks connected
to the Internet.

(e) "State agency" means an agency in the executive branch of state government and
includes the Minnesota Office of Higher Education, but does not include the Minnesota
State Colleges and Universities unless specifically provided elsewhere in this chapter.

new text begin (f) "Total expected project cost" includes direct staff costs, all supplemental contract
staff and vendor costs, and costs of hardware and software development or purchase.
Breaking a project into several phases does not affect the cost threshold, which must be
computed based on the full cost of all phases.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 15.

Minnesota Statutes 2006, section 16E.04, subdivision 2, is amended to read:

Subd. 2.

Responsibilities.

(a) In addition to other activities prescribed by law, the
office shall carry out the duties set out in this subdivision.

(b) The office shall develop and establish a state information architecture to ensure
that state agency development and purchase of information and communications systems,
equipment, and services is designed to ensure that individual agency information systems
complement and do not needlessly duplicate or conflict with the systems of other agencies.
When state agencies have need for the same or similar public data, the chief information
officer, in coordination with the affected agencies, shall manage the most efficient and
cost-effective method of producing and storing data for or sharing data between those
agencies. The development of this information architecture must include the establishment
of standards and guidelines to be followed by state agencies. The office shall ensure
compliance with the architecture.

(c) The office shall assist state agencies in the planning and management of
information systems so that an individual information system reflects and supports the
state agency's mission and the state's requirements and functions. The office shall review
and approve agency technology plans to ensure consistency with enterprise information
and telecommunications technology strategy.new text begin By January 15 of each year, the chief
information officer must report to the chairs and the ranking minority members of
the legislative committees and divisions with jurisdiction over the office regarding the
assistance provided under this paragraph. The report must include a listing of agencies
that have developed or are developing plans under this paragraph.
new text end

(d) The office shall review and approve agency requests for funding for the
development or purchase of information systems equipment or software before the
requests may be included in the governor's budget.

(e) The office shall review major purchases of information systems equipment to:

(1) ensure that the equipment follows the standards and guidelines of the state
information architecture;

(2) ensure the agency's proposed purchase reflects a cost-effective policy regarding
volume purchasing; and

(3) ensure that the equipment is consistent with other systems in other state agencies
so that data can be shared among agencies, unless the office determines that the agency
purchasing the equipment has special needs justifying the inconsistency.

(f) The office shall review the operation of information systems by state agencies
and ensure that these systems are operated efficiently and securely and continually meet
the standards and guidelines established by the office. The standards and guidelines must
emphasize uniformity that is cost-effective for the enterprise, that encourages information
interchange, open systems environments, and portability of information whenever
practicable and consistent with an agency's authority and chapter 13.

(g) The office shall conduct a comprehensive review at least every three years of
the information systems investments that have been made by state agencies and higher
education institutions. The review must include recommendations on any information
systems applications that could be provided in a more cost-beneficial manner by an outside
source. The office must report the results of its review to the legislature and the governor.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 16.

Minnesota Statutes 2006, section 43A.01, subdivision 3, is amended to read:

Subd. 3.

Equitable compensation relationships.

It is the policy of this state to
deleted text begin attempt todeleted text end establish equitable compensation relationships between female-dominated,
male-dominated, and balanced classes of employees in the executive branch.
Compensation relationships are equitable within the meaning of this subdivision when the
primary consideration in negotiating, establishing, recommending, and approving total
compensation is comparability of the value of the work in relationship to other positions in
the executive branch.new text begin A recognized system for classification analysis and its concurrent
point allocation system must be used in order to attain compensation equity. Classification
range maximums must fall within the system's point allocation window. Market-driven
forces are recognized as acceptable in order to maintain employee recruitment and
retention efforts whenever the compensation rates exceed the allocated points. No contract
executed under chapter 179A may modify, waive, or abridge this section and sections
43A.07 to 43A.121, 43A.15, and 43A.17 to 43A.21, except to the extent expressly
permitted in those sections. Any compensation equity adjustments must be made from
agency appropriations. Fifty percent of the compensation governed by this system must be
adjusted in fiscal year 2009 and the remaining compensation in fiscal year 2010.
new text end

Sec. 17.

Minnesota Statutes 2006, section 43A.17, subdivision 9, is amended to read:

Subd. 9.

deleted text begin Political subdivisiondeleted text end Compensation limit.

(a) The salary and the value
of all other forms of compensation of new text begin the positions in section 15A.0815 and new text end a person
employed by a political subdivision of this state, excluding a school district, or employed
under section 422A.03 may not exceed 110 percent of the salary of the governor as set
under section 15A.082, except as provided in this subdivision. For purposes of this
subdivision, "political subdivision of this state" includes a statutory or home rule charter
city, county, town, metropolitan or regional agency, or other political subdivision, but
does not include a hospital, clinic, or health maintenance organization owned by such a
governmental unit.

(b) Beginning in 2006, the limit in paragraph (a) shall be adjusted annually in
January. The limit shall equal the limit for the prior year increased by the percentage
increase, if any, in the Consumer Price Index for all-urban consumers from October of the
second prior year to October of the immediately prior year.

(c) Deferred compensation and payroll allocations to purchase an individual annuity
contract for an employee are included in determining the employee's salary. Other forms
of compensation which shall be included to determine an employee's total compensation
are all other direct and indirect items of compensation which are not specifically excluded
by this subdivision. Other forms of compensation which shall not be included in a
determination of an employee's total compensation for the purposes of this subdivision are:

(1) employee benefits that are also provided for the majority of all other full-time
employees of the political subdivision, vacation and sick leave allowances, health and
dental insurance, disability insurance, term life insurance, and pension benefits or like
benefits the cost of which is borne by the employee or which is not subject to tax as
income under the Internal Revenue Code of 1986;

(2) dues paid to organizations that are of a civic, professional, educational, or
governmental nature; and

(3) reimbursement for actual expenses incurred by the employee which the
governing body determines to be directly related to the performance of job responsibilities,
including any relocation expenses paid during the initial year of employment.

The value of other forms of compensation shall be the annual cost to the political
subdivision for the provision of the compensation.

(d) The salary of a medical doctor or doctor of osteopathy occupying a position that
the governing body of the political subdivision has determined requires an M.D. or D.O.
degree is excluded from the limitation in this subdivision.

(e) The commissioner may increase the limitation in this subdivision for a position
that the commissioner has determined requires special expertise necessitating a higher
salary to attract or retain a qualified person. The commissioner shall review each
proposed increase giving due consideration to salary rates paid to other persons with
similar responsibilities in the state and nation. The commissioner may not increase the
limitation until the commissioner has presented the proposed increase to the Legislative
Coordinating Commission and received the commission's recommendation on it. The
recommendation is advisory only. If the commission does not give its recommendation
on a proposed increase within 30 days from its receipt of the proposal, the commission
is deemed to have made no recommendation. If the commissioner grants or granted an
increase under this paragraph, the new limitation shall be adjusted beginning in August
2005 and in each subsequent calendar year in January by the percentage increase equal to
the percentage increase, if any, in the Consumer Price Index for all-urban consumers from
October of the second prior year to October of the immediately prior year.

Sec. 18.

new text begin [43A.187] BLOOD DONATION LEAVE.
new text end

new text begin A state employee must be granted leave from work with 100 percent of pay to donate
blood at a location away from the place of work. The total amount of leave used under this
paragraph may not exceed three hours in a 12-month period, and must be determined by
the employee. A state employee seeking leave from work under this section must provide
14 days' notice to the appointing authority. This leave must not affect the employee's
vacation leave, pension, compensatory time, personal vacation days, sick leave, earned
overtime accumulation, or cause a loss of seniority. For the purposes of this section, "state
employee" does not include an employee of the Minnesota State Colleges and Universities.
new text end

Sec. 19.

Minnesota Statutes 2006, section 119A.03, subdivision 1, is amended to read:

Subdivision 1.

General.

The department is under the administrative control of
the commissioner. The commissioner is appointed by the governor with the advice and
consent of the senate. The commissioner must possess broad knowledge and experience
in strengthening children and families. The commissioner has the general powers as
provided in section 15.06, subdivision 6.

The commissioner's salary must be established according to the procedure in section
15A.0815deleted text begin , in the same range as that specified for the commissioner of financedeleted text end .

Sec. 20.

Minnesota Statutes 2006, section 124D.385, subdivision 4, is amended to read:

Subd. 4.

Delegation to nonprofit.

The commission may create a private nonprofit
corporation that is exempt from taxation under section 501(c)(3) of the federal Internal
Revenue Code of 1986. If the commission creates a private nonprofit corporation, the
commission must serve as the corporation's board of directors. The private nonprofit
corporation is not subject to laws governing state agencies or political subdivisions,
except the provisions of chapter 13, the Open Meeting Law under chapter 13D, salary
limits under section 15A.0815, deleted text begin subdivision 2,deleted text end and audits by the legislative auditor under
chapter 3 apply. Further provided that the board of directors and the executive director
of the nonprofit corporation are each considered an "official" for purposes of section
10A.071. The commission may delegate any or all of its powers and duties under federal
law or under sections 124D.37 to 124D.45 to the corporation if the nonprofit corporation
is approved under federal law to administer the National and Community Service Trust
Act. The commission may revoke a delegation of powers and duties at any time, and must
revoke the delegation if the corporation is no longer approved under federal law as the
administrator in the state of Minnesota for the National and Community Service Trust Act.

Sec. 21.

new text begin [181.9458] AUTHORIZATION FOR BLOOD DONATION LEAVE.
new text end

new text begin An employer may grant paid leave from work to an employee to allow the employee
to donate blood.
new text end

Sec. 22.

Minnesota Statutes 2007 Supplement, section 216C.052, subdivision 2,
is amended to read:

Subd. 2.

Administrative issues.

(a) The commissioner may select the administrator.
The administrator must have at least five years of experience working as a power systems
engineer or transmission planner, or in a position dealing with power system reliability
issues, and may not have been a party or a participant in a commission energy proceeding
for at least one year prior to selection by the commissioner. The commissioner shall
oversee and direct the work of the administrator, annually review the expenses of the
administrator, and annually approve the budget of the administrator. The administrator
may hire staff and may contract for technical expertise in performing duties when existing
state resources are required for other state responsibilities or when special expertise is
required. The salary of the administrator is governed by section 15A.0815deleted text begin , subdivision 2deleted text end .

(b) Costs relating to a specific proceeding, analysis, or project are not general
administrative costs. For purposes of this section, "energy utility" means public utilities,
generation and transmission cooperative electric associations, and municipal power
agencies providing natural gas or electric service in the state.

(c) The Department of Commerce shall pay:

(1) the general administrative costs of the administrator, not to exceed $1,000,000
in a fiscal year, and shall assess energy utilities for those administrative costs. These
costs must be consistent with the budget approved by the commissioner under paragraph
(a). The department shall apportion the costs among all energy utilities in proportion to
their respective gross operating revenues from sales of gas or electric service within
the state during the last calendar year, and shall then render a bill to each utility on a
regular basis; and

(2) costs relating to a specific proceeding analysis or project and shall render a bill to
the specific energy utility or utilities participating in the proceeding, analysis, or project
directly, either at the conclusion of a particular proceeding, analysis, or project, or from
time to time during the course of the proceeding, analysis, or project.

(d) For purposes of administrative efficiency, the department shall assess energy
utilities and issue bills in accordance with the billing and assessment procedures provided
in section 216B.62, to the extent that these procedures do not conflict with this subdivision.
The amount of the bills rendered by the department under paragraph (c) must be paid by
the energy utility into an account in the special revenue fund in the state treasury within
30 days from the date of billing and is appropriated to the department for the purposes
provided in this section. The commission shall approve or approve as modified a rate
schedule providing for the automatic adjustment of charges to recover amounts paid by
utilities under this section. All amounts assessed under this section are in addition to
amounts appropriated to the commission and the department by other law.

Sec. 23.

Minnesota Statutes 2006, section 309.53, subdivision 3, is amended to read:

Subd. 3.

Financial statement requirements.

The financial statement shall include
a balance sheet, statement of income and expense, and statement of functional expenses,
shall be consistent with forms furnished by the attorney general, and shall be prepared in
accordance with generally accepted accounting principles so as to make a full disclosure
of the following, including necessary allocations between each item and the basis of
such allocations:

(a) total receipts and total income from all sources;

(b) cost of management and general;

(c) program services;

(d) cost of fund-raising;

(e) cost of public education;

(f) funds or properties transferred out of state, with explanation as to recipient and
purpose;

(g) total net amount disbursed or dedicated within this state, broken down into total
amounts disbursed or dedicated for each major purpose, charitable or otherwise;

(h) names of professional fund-raisers used during the accounting year and the
financial compensation and profit resulting to each professional fund-raiser; and

(i) a list of the five highest paid directors, officers, and employees of the organization
and its related organizations, as that term is defined by section 317A.011, subdivision 18,
that receive total compensation of more than $50,000, together with the total compensation
paid to each. Total compensation shall include salaries, fees, bonuses, fringe benefits,
severance payments, and deferred compensation paid by the charitable organization and
all related organizations as that term is defined by section 317A.011, subdivision 18.

Unless otherwise required by this subdivision, the financial statement need not be
certified.

A financial statement of a charitable organization which has received total revenue
in excess of $350,000 for the 12 months of operation covered by the statement shall be
accompanied by an audited financial statement prepared in accordance with generally
accepted accounting principles that has been examined by an independent certified public
accountant for the purpose of expressing an opinion. In preparing the audit the certified
public accountant shall take into consideration capital, endowment or other reserve funds,
if any, controlled by the charitable organization.new text begin For purposes of calculating the $350,000
total revenue threshold provided by this subdivision, the value of donated food to a
nonprofit food shelf may not be included if the food is donated for subsequent distribution
at no charge, and not for resale.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment
and applies to any financial statement that is required to be filed under this section after
May 14, 2008.
new text end

Sec. 24.

Minnesota Statutes 2006, section 349A.02, subdivision 1, is amended to read:

Subdivision 1.

Director.

A State Lottery is established under the supervision and
control of a director. The director of the State Lottery shall be appointed by the governor
with the advice and consent of the senate. The director serves in the unclassified service at
the pleasure of the governor. deleted text begin The annual salary rate authorized for the director is equal to
95 percent of the salary rate prescribed for the governor.
deleted text end

Sec. 25.

Minnesota Statutes 2006, section 480B.01, subdivision 1, is amended to read:

Subdivision 1.

Judicial vacancies.

If a judge of the new text begin Supreme Court; Court of
Appeals; new text end district courtnew text begin ;new text end or Workers' Compensation Court of Appeals dies, resigns,
retires, or is removed during the judge's term of office, or if a new deleted text begin district or Workers'
Compensation Court of Appealsdeleted text end judgeship is created, the resulting vacancy must be filled
by the governor as provided in this section.

Sec. 26.

Minnesota Statutes 2006, section 480B.01, subdivision 6, is amended to read:

Subd. 6.

Temporary ineligibility for vacancy.

Members of the commission who
would otherwise be eligible to hold judicial office may not be considered or appointed to
fill a deleted text begin district courtdeleted text end judicial vacancy while they are members of the commission or for one
year following the end of their membership on the commission.

Sec. 27.

Minnesota Statutes 2006, section 480B.01, subdivision 10, is amended to read:

Subd. 10.

Notice to the public.

Upon receiving notice from the governor that a
judicial vacancy has occurred or will occur on a specified date, the chair shall provide
notice of the following information:

(1) the office that is or will be vacant;

(2) that applications from qualified persons or on behalf of qualified persons are
being accepted by the commission;

(3) that application forms may be obtained from the governor or the commission
at a named address; and

(4) that application forms must be returned to the commission by a named date.

For a district court vacancy, the notice must be made available to attorney
associations in the judicial district where the vacancy has occurred or will occur and to at
least one newspaper of general circulation in each county in the district. For a deleted text begin Workers'
Compensation Court of Appealsdeleted text end vacancynew text begin on the Supreme Court, Court of Appeals, or
Workers' Compensation Court of Appealsnew text end , the notice must be given to state attorney
associations and all forms of the public media.

Sec. 28.

Laws 2005, First Special Session chapter 1, article 4, section 121, subdivision
4, as amended by Laws 2007, chapter 29, section 1, subdivision 4, is amended to read:

Subd. 4.

Duties.

The commission shall have the following duties:

(1) to present to the governor and legislature a plan for grants to pay for capital
improvements on Minnesota's historic public and private buildings, to be known as
sesquicentennial grants;

(2) to seek funding for activities to celebrate the 150th anniversary of statehood, and
to form partnerships with private parties to further this mission;

(3) to present an annual report to the governor and legislature outlining progress
made towards the celebration of the sesquicentennial; deleted text begin anddeleted text end

(4) to encourage all activities celebrating the sesquicentennial to be as energy
efficient as practicablenew text begin ; and
new text end

new text begin (5) to use the results of the Sesquicentennial Plan for Our Future project to help
provide feedback on the selection and use of Minnesota Milestones goals and indicatorsnew text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 29. new text begin WORKING GROUP FOR MINNESOTA MILESTONES PROCESS
AND INDICATORS.
new text end

new text begin By June 1, 2008, the commissioner of finance shall convene a working group of
state agency staff, legislative staff, and other interested parties to assist in the preparation
of recommendations for the Minnesota Milestones report required under Minnesota
Statutes, section 16A.10, subdivision 1c. The working group shall consider collaborative
opportunities with community organizations and higher education institutions. The
working group expires 30 days after the commissioner has submitted recommendations
required under Minnesota Statutes, section 16A.10, subdivision 1c.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 30. new text begin WORKERS MEMORIAL; APPROPRIATION.
new text end

new text begin $65,000 is appropriated from the general fund to the commissioner of administration
to design and construct a workers memorial on the Capitol grounds in St. Paul. This
appropriation is added to the appropriation in Laws 2006, chapter 258, section 12,
subdivision 4.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 31. new text begin HUBERT H. HUMPHREY MEMORIAL; APPROPRIATION.
new text end

new text begin $60,000 is appropriated from the general fund to the Capitol Area Architectural
and Planning Board to design and construct a memorial to Hubert H. Humphrey in the
Capitol area. This appropriation is added to the appropriations for the same purpose in
Laws 1993, chapter 192, section 16; and Laws 1999, chapter 250, article 1, section 13,
and is available until expended.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 32. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2006, sections 15A.0815, subdivisions 3 and 4; 16B.281,
subdivisions 2, 4, and 5; and 16B.285, new text end new text begin are repealed.
new text end

Appropriations by Fund
	2008	2009
General	6,175,000	6,497,000
Special Revenue	2,844,000

SF 3190

Bill Text Versions

Current Version - 2nd Engrossment

ARTICLE 1

STATE GOVERNMENT

Section 1.

new text begin Subd. 11. new text end

new text begin Subcommittee on Government Accountability. new text end

Sec. 2.

Subd. 8.

Expense allowance.

Sec. 3.

Subdivision 1.

Salary limits.

Sec. 4.

Subd. 2.

deleted text begin Group I salary limitsdeleted text end new text begin Positionsnew text end .

Sec. 5.

Subd. 5.

Appointing authorities to recommend certain salaries.

Sec. 6.

Subdivision 1.

Budget format.

new text begin EFFECTIVE DATE. new text end

Sec. 7.

Subd. 1c.

Performance measures for change items.

new text begin EFFECTIVE DATE. new text end

Sec. 8.

Subd. 3.

Notice to agencies; determination of surplus.

Sec. 9.

16B.282 SURVEYS, APPRAISALS, AND SALE.

Subdivision 1.

Appraisal; notice and offer to public bodies.

Subd. 2.

Public sale requirements.

Sec. 10.

16B.283 TERMS OF PAYMENT.

Sec. 11.

16B.284 deleted text begin CONTRACT FOR DEED ANDdeleted text end QUITCLAIM DEED.

Sec. 12.

Subd. 2.

Payment of expenses.

Sec. 13.

Subd. 3.

Duties.

new text begin EFFECTIVE DATE. new text end

Sec. 14.

Subdivision 1.

Definitions.

new text begin EFFECTIVE DATE. new text end

Sec. 15.

Subd. 2.

Responsibilities.

new text begin EFFECTIVE DATE. new text end

Sec. 16.

Subd. 3.

Equitable compensation relationships.

Sec. 17.

Subd. 9.

deleted text begin Political subdivisiondeleted text end Compensation limit.

Sec. 18.

new text begin [43A.187] BLOOD DONATION LEAVE. new text end

Sec. 19.

Subdivision 1.

General.

Sec. 20.

Subd. 4.

Delegation to nonprofit.

Sec. 21.

new text begin [181.9458] AUTHORIZATION FOR BLOOD DONATION LEAVE. new text end

Sec. 22.

Subd. 2.

Administrative issues.

Sec. 23.

Subd. 3.

Financial statement requirements.

new text begin EFFECTIVE DATE. new text end

Sec. 24.

new text begin [43A.187] BLOOD DONATION LEAVE.
new text end

new text begin [181.9458] AUTHORIZATION FOR BLOOD DONATION LEAVE.
new text end

Sec. 29. new text begin WORKING GROUP FOR MINNESOTA MILESTONES PROCESS
AND INDICATORS.
new text end

Sec. 30. new text begin WORKERS MEMORIAL; APPROPRIATION.
new text end

Sec. 31. new text begin HUBERT H. HUMPHREY MEMORIAL; APPROPRIATION.
new text end

Sec. 32. new text begin REPEALER.
new text end

Sec. 3. new text begin REPEALER.
new text end