HF 2167

as introduced - 85th Legislature (2007 - 2008) Posted on 12/15/2009 12:00am

A bill for an act
relating to public safety; reorganizing the Minnesota Financial Crimes Oversight
Council and Task Force; transferring responsibility over the oversight council
and task force from the commissioner of public safety to the attorney general;
providing the oversight council with more autonomy, including more control
over appropriated money; striking the requirement that the oversight council
seek a nonstate match to state-appropriated funds; expanding the oversight
council's and task force's jurisdiction to include organized retail crime; expanding
the authority of the oversight council over the task force commander; adding
legislators to the oversight council; requiring a $1 surcharge on each driver's
license and Minnesota identification card issued and statutorily appropriating
this money for the oversight council and task force; requiring an annual report;
amending Minnesota Statutes 2006, sections 171.06, subdivision 2; 299A.681;
Laws 2005, chapter 136, article 1, section 9, subdivision 6; proposing coding for
new law in Minnesota Statutes, chapter 8.

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

Section 1.

new text begin [8.41] MINNESOTA FINANCIAL CRIMES ACCOUNT; OPEN
APPROPRIATION.
new text end

new text begin The Minnesota financial crimes account is created in the state treasury. The account
consists of money deposited into it by the commissioner of finance from the surcharge
on drivers' licenses and Minnesota identification cards in section 171.06, subdivision 2,
paragraph (d). Money in the account is appropriated to the attorney general to be used
for the Minnesota Financial Crimes Oversight Council and Task Force as provided in
section 299A.681.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 2.

Minnesota Statutes 2006, section 171.06, subdivision 2, is amended to read:

Subd. 2.

Fees.

(a) The fees for a license and Minnesota identification card are
as follows:

Classified Driver's License		D-$21.50	C-$25.50	B-$32.50	A-$40.50
Classified Under -21 D.L.		D-$21.50	C-$25.50	B-$32.50	A-$20.50
Instruction Permit					$9.50
Provisional License					$12.50
Duplicate License or duplicate identification card					$11.00
Minnesota identification card or Under-21 Minnesota identification card, other than duplicate, except as otherwise provided in section 171.07, subdivisions 3 and 3a					$15.50

(b) Notwithstanding paragraph (a), an individual who holds a provisional license and
has a driving record free of (1) convictions for a violation of section 169A.20, 169A.33,
169A.35, or sections 169A.50 to 169A.53, (2) convictions for crash-related moving
violations, and (3) convictions for moving violations that are not crash related, shall have a
$3.50 credit toward the fee for any classified under-21 driver's license. "Moving violation"
has the meaning given it in section 171.04, subdivision 1.

(c) In addition to the driver's license fee required under paragraph (a), the
commissioner shall collect an additional $4 processing fee from each new applicant
or individual renewing a license with a school bus endorsement to cover the costs for
processing an applicant's initial and biennial physical examination certificate. The
department shall not charge these applicants any other fee to receive or renew the
endorsement.

new text begin (d) In addition to the driver's license fee required under paragraph (a), the
commissioner shall collect a $1 surcharge on each instruction permit, provisional license,
driver's license, and Minnesota identification card issued under this section. This surcharge
applies to both new items and renewals. The commissioner shall forward surcharges
collected under this paragraph to the commissioner of finance who shall deposit them into
the Minnesota financial crimes account under section 8.41.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 3.

Minnesota Statutes 2006, section 299A.681, is amended to read:

299A.681 FINANCIAL CRIMES OVERSIGHT COUNCIL AND TASK
FORCE.

Subdivision 1.

Oversight council.

The Minnesota Financial Crimes Oversight
Council shall provide guidance related to the investigation and prosecution of identity
theft deleted text begin and deleted text end new text begin , new text end financial crime new text begin , and organized retail crime new text end .

Subd. 2.

Membership.

The oversight council consists of the following individuals,
or their designees:

(1) the commissioner of public safety;

(2) the attorney general;

(3) two chiefs of police, selected by the Minnesota Chiefs of Police Association
from police departments that participate in the Minnesota Financial Crimes Task Force;

(4) two sheriffs, selected by the Minnesota Sheriffs Association from sheriff
departments that participate in the task force;

(5) the United States attorney for the district of Minnesota;

(6) a county attorney, selected by the Minnesota County Attorneys Association;

(7) a representative from the United States Postal Inspector's Office, selected by the
oversight council;

(8) a representative from a not-for-profit retail merchants industry, selected by the
oversight council;

(9) a representative from a not-for-profit banking and credit union industry, selected
by the oversight council;

(10) a representative from a not-for-profit association representing senior citizens,
selected by the oversight council;

(11) the statewide commander of the task force;

(12) a representative from the Board of Public Defense, selected by the board; deleted text begin and
deleted text end

(13) deleted text begin two additional members selected by the oversight council. deleted text end new text begin a senator, chosen by
the Subcommittee on Committees of the senate Committee on Rules and Administration;
and
new text end

new text begin (14) a representative, chosen by the speaker of the house of representatives.
new text end

The oversight council may adopt procedures to govern its conduct and shall select a
chair from among its members. new text begin Members of the oversight council, including legislative
members, may vote on all matters before the council.
new text end

Subd. 3.

Duties.

The oversight council shall develop an overall strategy to
ameliorate the harm caused to the public by identity theft deleted text begin and deleted text end new text begin , new text end financial crime new text begin , and
organized retail crime new text end within Minnesota. The strategy may include the development of
protocols and procedures to investigate deleted text begin financial deleted text end new text begin these new text end crimes and a structure for best
addressing deleted text begin these issues deleted text end new text begin them new text end in a multijurisdictional manner. Additionally, the oversight
council shall:

(1) establish a multijurisdictional statewide Minnesota Financial Crimes Task Force
to investigate deleted text begin major financial deleted text end new text begin these new text end crimes;

(2) select a statewide commander of the task force who serves at the pleasure of the
oversight council;

(3) deleted text begin assist the Department of Public Safety in developing an objective grant review
application process that is free from conflicts of interest deleted text end new text begin develop an objective grant
review application process that is free from conflicts of interest and make all final
recommendations on grants to participating law enforcement agencies new text end ;
deleted text begin deleted text end

deleted text begin (4) make funding recommendations to the commissioner of public safety on grants
to support efforts to combat identity theft and financial crime;
deleted text end

deleted text begin (5) deleted text end new text begin (4) new text end assist law enforcement agencies and victims in developing a process to
collect and share information to improve the investigation and prosecution of identity theft
deleted text begin and deleted text end new text begin , new text end financial crime new text begin , and organized retail crime new text end ;

deleted text begin (6) deleted text end new text begin (5) new text end develop and approve an operational budget for the office of the statewide
commander and the oversight council; deleted text begin and
deleted text end

deleted text begin (7) deleted text end new text begin (6) new text end enter into any contracts necessary to establish and maintain a relationship with
new text begin state agencies, contracted services, new text end retailers, financial institutions, and other businesses to
deal effectively with identity theft deleted text begin and deleted text end new text begin , new text end financial crime deleted text begin . deleted text end new text begin , and organized retail crime; and
new text end

new text begin (7) select a fiscal agent or a state or county agency to reimburse law enforcement
agencies participating in the task force, to pay ongoing operational expenses, to pay
contractors for services provided, to process financial donations made to the task force,
and to report on accounting of the task force budget and expenditures.
new text end

The task force described in clause (1) may consist of members from local law enforcement
agencies, federal law enforcement agencies, state and federal prosecutors' offices, the
Board of Public Defense, and representatives from elderly victims, retail, financial
institutions, and not-for-profit organizations. new text begin The task force shall focus on organized
criminal activity involving identity theft, financial crime, and organized retail crime
and assist Minnesota law enforcement agencies in conducting criminal investigations,
apprehending offenders, and bringing formal criminal complaints to prosecutors.
new text end

Subd. 4.

Statewide commander.

(a) deleted text begin The Minnesota Financial Crimes Task Force
commander under Minnesota Statutes 2004, section 299A.68, shall oversee the transition
of that task force into the task force described in subdivision 3 and remain in place as its
commander until July 1, 2008. On that date, the commissioner of public safety shall
appoint as statewide commander the individual selected by the oversight council under
subdivision 3. deleted text end new text begin The oversight council shall select a person to be the statewide commander
of the task force serving at the pleasure of the council. In August of each odd-numbered
year, the oversight council shall either choose to retain the current commander or select
another commander. A majority vote of all oversight council members eligible to vote
is required for these decisions.
new text end

new text begin (b) The oversight council may offer a replaced commander an investigational
position on the task force if the task force's operational budget has sufficient money to
cover this or the entity that employs the person agrees to cover the costs associated with
this.
new text end

new text begin (c) All provisions of subdivision 5 apply to the commander. However, the oversight
council shall negotiate an agreement with the entity that employs the commander to
transfer the commander to the task force for a set period of time. During that period, the
entity may not recall the commander from the task force.
new text end

deleted text begin (b) deleted text end new text begin (d) new text end The commander shall:

(1) coordinate and monitor all multijurisdictional identity theft deleted text begin and deleted text end new text begin , new text end financial crime new text begin ,
and organized retail crime new text end enforcement activities;

(2) facilitate local efforts and ensure statewide coordination with efforts to combat
identity theft deleted text begin and deleted text end new text begin , new text end financial crime new text begin , and organized retail crime new text end ;

(3) facilitate training for law enforcement and other personnel;

(4) monitor compliance with investigative protocols;

(5) implement an outcome evaluation and data quality control process;

(6) be responsible for the selection and for cause removal of assigned task force
investigators who are designated participants under a memorandum of understanding or
who receive grant funding;

(7) provide supervision of assigned task force investigators;

(8) submit a task force operational budget to the oversight council for approval; and

(9) submit quarterly task force activity reports to the oversight council.

Subd. 5.

Participating officers; employment status.

All law enforcement officers
selected to participate in the task force must be licensed peace officers as defined in section
626.84, subdivision 1, or qualified federal law enforcement officers as defined in section
626.8453. Participating officers remain employees of the same entity that employed them
before joining any multijurisdictional entity established under this section. Participating
officers are not employees of the state.

Subd. 6.

Jurisdiction and powers.

Law enforcement officers participating in any
multijurisdictional entity established under this section have statewide jurisdiction to
conduct criminal investigations and have the same powers of arrest as those possessed
by a sheriff. The task force shall retain from its predecessor the assigned originating
reporting number for case reporting purposes.

Subd. 7.

Grants authorized.

The deleted text begin commissioner of public safety deleted text end new text begin attorney general new text end ,
upon deleted text begin recommendation deleted text end new text begin request new text end of the oversight council, shall make deleted text begin grants to deleted text end new text begin appropriated
state money available within 30 days to the fiscal agent selected by the council. The
council shall use this money to provide funding for task force operations and for new text end state
and local units of government new text begin participating in the task force new text end to combat identity theft
deleted text begin and deleted text end new text begin , new text end financial crime new text begin , and organized retail crime new text end . The commander, as funding permits,
deleted text begin may deleted text end new text begin shall new text end prepare a budget to establish deleted text begin four deleted text end new text begin up to six new text end regional districts deleted text begin and funding grant
allocations programs outside the counties of Hennepin, Ramsey, Anoka, Washington, and
Dakota deleted text end new text begin , an organized retail crime unit, and a victim assistance program new text end . The new text begin commander's
new text end budget must be reviewed and approved by the oversight council deleted text begin and recommended to the
commissioner to support these efforts deleted text end . new text begin Without exception, the attorney general shall
release the oversight council's approved funding request within 30 days of the request.
The fiscal agent may be reimbursed for administrative costs, including personnel, of up to
2.5 percent of the state money administered.
new text end

new text begin Subd. 7a. new text end

new text begin Attorney general's concerns. new text end

new text begin The attorney general shall raise any
concerns regarding the oversight council's funding decisions during the oversight council's
budget deliberations before final decisions are made.
new text end

Subd. 8.

Victims assistance program new text begin ; rewards new text end .

(a) The oversight council may
establish a victims' assistance program to assist victims of economic crimes and provide
prevention and awareness programs. The oversight council may retain the services of
not-for-profit organizations to assist in the development and delivery systems in aiding
victims of financial crime. The program may not provide any financial assistance to
victims, but may assist victims in obtaining police assistance and advise victims in how to
protect personal accounts and identities. Services may include a victim toll-free telephone
number, fax number, Web site, Monday through Friday telephone service, e-mail response,
and interfaces to other helpful Web sites. Victims' information compiled are governed
under chapter 13. new text begin This program may be funded by state appropriations specifically made
for this purpose or through nongovernmental contributions or federal grants directed for
this purpose by the oversight council. The oversight council may retain an outside entity
to assist in the development of delivery systems to aid victims of financial crimes. The
oversight council is not obligated to conduct activities under this paragraph unless it
has sufficient funding to do so.
new text end

(b) The oversight council may post or communicate through public service
announcements in newspapers, radio, television, cable access, billboards, Internet, Web
sites, and other normal advertising channels, a financial reward of up to $2,000 for
tips leading to the apprehension and successful prosecution of individuals committing
economic crime. All rewards must meet the oversight council's standards. The release
of funds must be made to an individual whose information leads to the apprehension
and prosecution of offenders committing economic or financial crimes against citizens
or businesses in Minnesota. All rewards paid to an individual must be reported to the
Department of Revenue along with the individual's Social Security number.

Subd. 9.

Oversight council and task force are permanent.

Notwithstanding
section 15.059, this section does not expire.

Subd. 10.

Funding.

new text begin (a) new text end The oversight council may accept lawful grants and in-kind
contributions from any federal, state, or local source or legal business or individual not
funded by this section for general operation support, including personnel costs. These
grants or in-kind contributions are new text begin to be used for the public good for investigations and
programs that benefit all businesses and victims and are new text end not to be directed toward the case
of a particular victim or business. new text begin A grant or in-kind contribution may not be accepted if
specific services are expected in return. new text end The oversight council's fiscal agent shall handle
all funds approved by the oversight council, including in-kind contributions.

new text begin (b) Grants, contributions, and appropriations are subject to state, or if appropriate,
county audits.
new text end

Subd. 11.

Forfeiture.

Property seized by the task force is subject to forfeiture
pursuant to sections 609.531, 609.5312, 609.5313, and 609.5315 if ownership cannot be
established. The council shall receive the proceeds from the sale of all property properly
seized and forfeited.

Subd. 12.

Transfer equipment from current task force.

All equipment possessed
by the task force described in Minnesota Statutes 2004, section 299A.68, is transferred to
the oversight council for use by the task force described in this section.

new text begin Subd. 13. new text end

new text begin Organized retail crime. new text end

new text begin (a) As used in this section, "organized retail
crime" occurs when an individual or group of organized individuals commit repetitive
merchandise thefts, at a felony level exceeding $2,500 in the aggregate within a six-month
period, from retailers.
new text end

new text begin (b) Antiorganized retail crime activities under this section may be funded by
state appropriations specifically made for these purposes or through nongovernmental
contributions or federal grants directed for these purposes by the oversight council. The
oversight council is not obligated to conduct these activities unless it has sufficient funding
to do so. The oversight council may retain an outside entity to assist in conducting these
activities. Any dedicated law enforcement investigators for these activities remain under
the direct command of the task force commander.
new text end

new text begin Subd. 14. new text end

new text begin Required report. new text end

new text begin By February 1 of each year, the oversight council
shall report to the chairs and the ranking minority members of the senate and house of
representatives committees and divisions having jurisdiction over criminal justice policy
and funding on the activities of the council and task force. At a minimum, this annual
report must include:
new text end

new text begin (1) a description of the oversight council's and task force's goals for the previous
year and for the coming year;
new text end

new text begin (2) a description of the outcomes the oversight council and task force achieved or
did not achieve during the preceding year and a description of the outcomes they will
seek to achieve during the coming year;
new text end

new text begin (3) any legislative recommendations the oversight council or task force has
including, where necessary, a description of the specific legislation needed to implement
the recommendations;
new text end

new text begin (4) a detailed accounting of how appropriated money, grants, and in-kind
contributions were spent; and
new text end

new text begin (5) a detailed accounting of the grants awarded under this section.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 4.

Laws 2005, chapter 136, article 1, section 9, subdivision 6, is amended to read:

Subd. 6. Office of Justice Programs

34,440,000

34,035,000

Gang And Narcotics Strike Forces.
$2,374,000 each year is for grants to the
combined operations of the Criminal Gang
Strike Force and Narcotics Task Forces.

Crime Victim Assistance Grants Increase.
$1,270,000 each year is to increase funding
for crime victim assistance grants for abused
children, sexual assault victims, battered
women, and general crime victims.

Battered Women's Shelter Grants.
$400,000 each year is to increase funding for
battered women's shelters under Minnesota
Statutes, section 611A.32, and for safe
houses.

Methamphetamine Treatment Grants.
$750,000 Each Year Is For Grants to counties
for methamphetamine treatment programs.
Priority should be given to those counties
that demonstrate a treatment approach that
incorporates best practices as defined by the
Minnesota Department of Human Services.
This is a onetime appropriation.

Financial Crimes Task Force. $750,000
each year is for the Financial Crimes Task
Force. deleted text begin A cash or in-kind match totalling a
minimum of $250,000 is required. Before
the funds may be allocated, a financial work
plan must be submitted to the commissioner
of public safety.
deleted text end

Human Trafficking; Assessment, Policy
Development, And Implementation.
$50,000 each year is to conduct the study
and assessment of human trafficking under
new Minnesota Statutes, sections 299A.78
and 299A.785.

Youth Intervention Programs. $1,452,000
each year is for youth intervention programs
currently under Minnesota Statutes, section
116L.30, but to be transferred to Minnesota
Statutes, section 299A.73.

Homelessness Pilot Projects. $400,000
the first year is for the homelessness pilot
projects described in article 8, section 27.
This is a onetime appropriation.

Administration Costs. Up to 2.5 percent
of the grant funds appropriated in this
subdivision may be used to administer the
grant programs.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 5. new text begin TRANSFER.
new text end

new text begin The powers and duties of the Department of Public Safety with respect to the
Minnesota Financial Crimes Oversight Council and Task Force under Minnesota Statutes,
section 299A.681, are transferred to the attorney general under Minnesota Statutes,
section 15.039.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end

Sec. 6. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall renumber Minnesota Statutes, section 299A.681,
as Minnesota Statutes, section 8.40, and make all necessary changes in statutory
cross-references in the next edition of Minnesota Statutes and Minnesota Rules.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective July 1, 2007.
new text end