HF 2331

as introduced - 82nd Legislature (2001 - 2002) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to economic development; providing that a 
  1.3             portion of the capital gain realized on certain 
  1.4             investments in high technology businesses is exempt 
  1.5             from taxation; providing that the credit for increased 
  1.6             research and development activities is refundable; 
  1.7             creating a high technology seed capital fund; 
  1.8             promoting industry clusters in rural Minnesota; 
  1.9             waiving out-of-state tuition for certain nonresidents; 
  1.10            establishing a lifetime learning grant program; 
  1.11            establishing the North Star Research Coalition and 
  1.12            creating an endowment fund; appropriating money; 
  1.13            amending Minnesota Statutes 2000, sections 135A.031, 
  1.14            subdivision 2; 290.01, subdivision 19b; and 290.068, 
  1.15            by adding subdivisions; proposing coding for new law 
  1.16            in Minnesota Statutes, chapters 11A; 116J; 136A; and 
  1.17            137; repealing Minnesota Statutes 2000, section 
  1.18            290.068, subdivision 3. 
  1.19  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.20                             ARTICLE 1
  1.21                           TAX INCENTIVES
  1.22     Section 1.  Minnesota Statutes 2000, section 290.01, 
  1.23  subdivision 19b, is amended to read: 
  1.24     Subd. 19b.  [SUBTRACTIONS FROM FEDERAL TAXABLE INCOME.] For 
  1.25  individuals, estates, and trusts, there shall be subtracted from 
  1.26  federal taxable income: 
  1.27     (1) interest income on obligations of any authority, 
  1.28  commission, or instrumentality of the United States to the 
  1.29  extent includable in taxable income for federal income tax 
  1.30  purposes but exempt from state income tax under the laws of the 
  1.31  United States; 
  1.32     (2) if included in federal taxable income, the amount of 
  2.1   any overpayment of income tax to Minnesota or to any other 
  2.2   state, for any previous taxable year, whether the amount is 
  2.3   received as a refund or as a credit to another taxable year's 
  2.4   income tax liability; 
  2.5      (3) the amount paid to others, less the credit allowed 
  2.6   under section 290.0674, not to exceed $1,625 for each qualifying 
  2.7   child in grades kindergarten to 6 and $2,500 for each qualifying 
  2.8   child in grades 7 to 12, for tuition, textbooks, and 
  2.9   transportation of each qualifying child in attending an 
  2.10  elementary or secondary school situated in Minnesota, North 
  2.11  Dakota, South Dakota, Iowa, or Wisconsin, wherein a resident of 
  2.12  this state may legally fulfill the state's compulsory attendance 
  2.13  laws, which is not operated for profit, and which adheres to the 
  2.14  provisions of the Civil Rights Act of 1964 and chapter 363.  For 
  2.15  the purposes of this clause, "tuition" includes fees or tuition 
  2.16  as defined in section 290.0674, subdivision 1, clause (1).  As 
  2.17  used in this clause, "textbooks" includes books and other 
  2.18  instructional materials and equipment used in elementary and 
  2.19  secondary schools in teaching only those subjects legally and 
  2.20  commonly taught in public elementary and secondary schools in 
  2.21  this state.  Equipment expenses qualifying for deduction 
  2.22  includes expenses as defined and limited in section 290.0674, 
  2.23  subdivision 1, clause (3).  "Textbooks" does not include 
  2.24  instructional books and materials used in the teaching of 
  2.25  religious tenets, doctrines, or worship, the purpose of which is 
  2.26  to instill such tenets, doctrines, or worship, nor does it 
  2.27  include books or materials for, or transportation to, 
  2.28  extracurricular activities including sporting events, musical or 
  2.29  dramatic events, speech activities, driver's education, or 
  2.30  similar programs.  For purposes of the subtraction provided by 
  2.31  this clause, "qualifying child" has the meaning given in section 
  2.32  32(c)(3) of the Internal Revenue Code; 
  2.33     (4) contributions made in taxable years beginning after 
  2.34  December 31, 1981, and before January 1, 1985, to a qualified 
  2.35  governmental pension plan, an individual retirement account, 
  2.36  simplified employee pension, or qualified plan covering a 
  3.1   self-employed person that were included in Minnesota gross 
  3.2   income in the taxable year for which the contributions were made 
  3.3   but were deducted or were not included in the computation of 
  3.4   federal adjusted gross income, less any amount allowed to be 
  3.5   subtracted as a distribution under this subdivision or a 
  3.6   predecessor provision in taxable years that began before January 
  3.7   1, 2000.  This subtraction applies only for taxable years 
  3.8   beginning after December 31, 1999, and before January 1, 2001.  
  3.9   If an individual's subtraction under this clause exceeds the 
  3.10  individual's taxable income, the excess may be carried forward 
  3.11  to taxable years beginning after December 31, 2000, and before 
  3.12  January 1, 2002; 
  3.13     (5) income as provided under section 290.0802; 
  3.14     (6) the amount of unrecovered accelerated cost recovery 
  3.15  system deductions allowed under subdivision 19g; 
  3.16     (7) to the extent included in federal adjusted gross 
  3.17  income, income realized on disposition of property exempt from 
  3.18  tax under section 290.491; 
  3.19     (8) to the extent not deducted in determining federal 
  3.20  taxable income or used to claim the long-term care insurance 
  3.21  credit under section 290.0672, the amount paid for health 
  3.22  insurance of self-employed individuals as determined under 
  3.23  section 162(l) of the Internal Revenue Code, except that the 
  3.24  percent limit does not apply.  If the individual deducted 
  3.25  insurance payments under section 213 of the Internal Revenue 
  3.26  Code of 1986, the subtraction under this clause must be reduced 
  3.27  by the lesser of: 
  3.28     (i) the total itemized deductions allowed under section 
  3.29  63(d) of the Internal Revenue Code, less state, local, and 
  3.30  foreign income taxes deductible under section 164 of the 
  3.31  Internal Revenue Code and the standard deduction under section 
  3.32  63(c) of the Internal Revenue Code; or 
  3.33     (ii) the lesser of (A) the amount of insurance qualifying 
  3.34  as "medical care" under section 213(d) of the Internal Revenue 
  3.35  Code to the extent not deducted under section 162(1) of the 
  3.36  Internal Revenue Code or excluded from income or (B) the total 
  4.1   amount deductible for medical care under section 213(a); 
  4.2      (9) the exemption amount allowed under Laws 1995, chapter 
  4.3   255, article 3, section 2, subdivision 3; 
  4.4      (10) to the extent included in federal taxable income, 
  4.5   postservice benefits for youth community service under section 
  4.6   124D.42 for volunteer service under United States Code, title 
  4.7   42, sections 12601 to 12604; 
  4.8      (11) to the extent not deducted in determining federal 
  4.9   taxable income by an individual who does not itemize deductions 
  4.10  for federal income tax purposes for the taxable year, an amount 
  4.11  equal to 50 percent of the excess of charitable contributions 
  4.12  allowable as a deduction for the taxable year under section 
  4.13  170(a) of the Internal Revenue Code over $500; 
  4.14     (12) to the extent included in federal taxable income, 
  4.15  holocaust victims' settlement payments for any injury incurred 
  4.16  as a result of the holocaust, if received by an individual who 
  4.17  was persecuted for racial or religious reasons by Nazi Germany 
  4.18  or any other Axis regime or an heir of such a person; and 
  4.19     (13) for taxable years beginning before January 1, 2008, 
  4.20  the amount of the federal small ethanol producer credit allowed 
  4.21  under section 40(a)(3) of the Internal Revenue Code which is 
  4.22  included in gross income under section 87 of the Internal 
  4.23  Revenue Code.; and 
  4.24     (14) to the extent included in federal taxable income, 50 
  4.25  percent of the capital gain realized during the taxable year 
  4.26  from an investment in a qualified high technology business.  The 
  4.27  following definitions apply to this clause.  "Qualified high 
  4.28  technology business" means a business that conducts at least 50 
  4.29  percent of its activities in performing qualified research in 
  4.30  Minnesota or derives at least 50 percent of its gross income 
  4.31  from performing qualified research in Minnesota.  A qualified 
  4.32  high technology business does not include any trade or business 
  4.33  involving the performance of services in the fields of law, 
  4.34  architecture, accounting, actuarial science, performing arts, 
  4.35  consulting, athletics, financial services, or brokerage 
  4.36  services; any banking, insurance, financing, leasing, rental, 
  5.1   investing, or similar business; any farming business, including 
  5.2   the business of raising or harvesting trees; any business 
  5.3   involving the production or extraction of products of a 
  5.4   character with respect to which a deduction is allowable under 
  5.5   section 611, 613, or 613A of the Internal Revenue Code; a 
  5.6   business operating a hotel, motel, restaurant, or similar 
  5.7   business; or a trade or business involving a hospital, a private 
  5.8   office of a licensed health care professional, a group practice 
  5.9   of licensed health care professionals, or a nursing home.  
  5.10  "Qualified research" means:  (1) the same as in section 41(d) of 
  5.11  the Internal Revenue Code; or (2) developing, designing, 
  5.12  modifying, programming, and licensing computer software.  
  5.13  "Computer software" means a set of computer programs, 
  5.14  procedures, or associated documentation concerned with the 
  5.15  operation and function of a computer system, and includes both 
  5.16  systems and application programs and subdivisions, such as 
  5.17  assemblers, compilers, routines, generators, and utility 
  5.18  programs. 
  5.19     Sec. 2.  Minnesota Statutes 2000, section 290.068, is 
  5.20  amended by adding a subdivision to read: 
  5.21     Subd. 7.  [CREDIT REFUNDABLE.] If the amount of credit that 
  5.22  a corporation is eligible to receive under this section exceeds 
  5.23  the corporation's tax liability under this chapter, the 
  5.24  commissioner shall refund the excess to the corporation. 
  5.25     Sec. 3.  Minnesota Statutes 2000, section 290.068, is 
  5.26  amended by adding a subdivision to read: 
  5.27     Subd. 8.  [APPROPRIATION.] An amount sufficient to pay the 
  5.28  refunds required by this section is annually appropriated to the 
  5.29  commissioner of revenue from the general fund. 
  5.30     Sec. 4.  [REPEALER.] 
  5.31     Minnesota Statutes 2000, section 290.068, subdivision 3, is 
  5.32  repealed. 
  5.33     Sec. 5.  [EFFECTIVE DATE.] 
  5.34     Sections 1 to 4 are effective for taxable years beginning 
  5.35  after December 31, 2000, provided that section 1 applies only to 
  5.36  investments made after December 31, 2000. 
  6.1                              ARTICLE 2
  6.2                         ECONOMIC DEVELOPMENT
  6.3      Section 1.  [11A.26] [MINNESOTA INVESTMENTS.] 
  6.4      The board shall make an effort to identify and invest in 
  6.5   Minnesota-based start-up businesses that meet the board's 
  6.6   investment guidelines.  
  6.7      Sec. 2.  [116J.976] [HIGH TECHNOLOGY VENTURE CAPITAL 
  6.8   PROGRAM.] 
  6.9      Subdivision 1.  [ACCOUNT CREATED.] The high technology 
  6.10  venture capital account is created as an account in the special 
  6.11  revenue fund in the state treasury.  Earnings and gains on the 
  6.12  account must be credited to the account.  Money in the account 
  6.13  is appropriated to the commissioner of trade and economic 
  6.14  development for the purposes of making investments under this 
  6.15  section. 
  6.16     Subd. 2.  [INVESTMENTS.] The commissioner may make 
  6.17  investments in private venture capital funds that provide seed 
  6.18  capital for early stage development of Minnesota-based companies 
  6.19  in industries that are high technology-based and are expected to 
  6.20  experience high growth.  The commissioner's investment must not 
  6.21  exceed 25 percent of the total investment in a particular fund.  
  6.22  An investment may not be less than $50,000 nor more than 
  6.23  $2,000,000.  The commissioner may not invest more than 20 
  6.24  percent of funds in the account in any one fund. 
  6.25     Subd. 3.  [REQUEST FOR PROPOSAL.] The commissioner may 
  6.26  periodically publish requests for proposals for the purpose of 
  6.27  selecting venture capital funds.  The commissioner may also make 
  6.28  investments without requesting proposals.  
  6.29     Subd. 4.  [PERSONNEL.] The commissioner may employ 
  6.30  additional professional staff to select and manage investments 
  6.31  of the venture capital account and may contract for investment 
  6.32  advice and management services. 
  6.33     Subd. 5.  [INVESTMENT RETURNS.] Earnings, realized gains, 
  6.34  and other returns on investments of the account must be 
  6.35  deposited in the high technology venture capital account, are 
  6.36  appropriated to the commissioner, and may be reinvested under 
  7.1   this section. 
  7.2      Sec. 3.  [116J.977] [RURAL INDUSTRY CLUSTERS.] 
  7.3      The commissioner may make grants to communities to 
  7.4   stimulate local investments in clusters of businesses in 
  7.5   developing industries in rural Minnesota. 
  7.6      Sec. 4.  [APPROPRIATION; TRADE AND ECONOMIC DEVELOPMENT.] 
  7.7      $25,000,000 is appropriated from the general fund in fiscal 
  7.8   year 2002 to the commissioner of trade and economic development 
  7.9   for transfer to the high technology venture capital account.  
  7.10  The appropriation does not cancel. 
  7.11     Sec. 5.  [APPROPRIATION; STATE BOARD OF INVESTMENT.] 
  7.12     $100,000 is appropriated from the general fund to the state 
  7.13  board of investment for the biennium ending June 30, 2003, for 
  7.14  the purpose of paying staff costs related to focusing efforts on 
  7.15  investing in Minnesota-based start-up businesses under Minnesota 
  7.16  Statutes, section 11A.26. 
  7.17     Sec. 6.  [APPROPRIATION; MINNESOTA TECHNOLOGY; MINNESOTA 
  7.18  INVESTMENT NETWORK CORPORATION.] 
  7.19     $2,000,000 is appropriated from the general fund in fiscal 
  7.20  year 2002 to Minnesota Technology, Inc. for a grant to Minnesota 
  7.21  Investment Network Corporation for the purposes of its seed 
  7.22  capital funds.  The appropriation does not cancel. 
  7.23     Sec. 7.  [APPROPRIATION; TRADE AND ECONOMIC DEVELOPMENT; 
  7.24  RURAL INDUSTRY CLUSTERS.] 
  7.25     $1,000,000 is appropriated from the general fund to the 
  7.26  commissioner of trade and economic development in fiscal year 
  7.27  2002 for the purposes of Minnesota Statutes, section 116J.977, 
  7.28  related to rural industry clusters.  The appropriation does not 
  7.29  cancel. 
  7.30                             ARTICLE 3 
  7.31                          HIGHER EDUCATION
  7.32     Section 1.  Minnesota Statutes 2000, section 135A.031, 
  7.33  subdivision 2, is amended to read: 
  7.34     Subd. 2.  [APPROPRIATIONS FOR CERTAIN ENROLLMENTS.] The 
  7.35  state share of the estimated expenditures for instruction shall 
  7.36  vary for some categories of students, as designated in this 
  8.1   subdivision. 
  8.2      (a) The state must provide at least 67 percent of the 
  8.3   estimated expenditures for: 
  8.4      (1) students who resided in the state for at least one 
  8.5   calendar year prior to applying for admission or dependent 
  8.6   students whose parent or legal guardian resides in Minnesota at 
  8.7   the time the student applies; 
  8.8      (2) Minnesota residents who can demonstrate that they were 
  8.9   temporarily absent from the state without establishing residency 
  8.10  elsewhere; 
  8.11     (3) residents of other states or provinces who are 
  8.12  attending a Minnesota institution under a tuition reciprocity 
  8.13  agreement; and 
  8.14     (4) students who have been in Minnesota as migrant 
  8.15  farmworkers, as defined in the Code of Federal Regulations, 
  8.16  title 20, section 633.104, over a period of at least two years 
  8.17  immediately before admission or readmission to a Minnesota 
  8.18  public post-secondary institution, or students who are 
  8.19  dependents of such migrant farmworkers; and 
  8.20     (5) residents of other states or provinces not attending a 
  8.21  Minnesota institution under a tuition reciprocity agreement who 
  8.22  had a grade point average of at least 3.0 on a four point scale, 
  8.23  or who met a substantially similar measure of achievement for 
  8.24  the student's high school education or equivalent. 
  8.25     (b) The definition of full year equivalent for purposes of 
  8.26  the formula calculations in this chapter is twice the normal 
  8.27  value for the following enrollments: 
  8.28     (1) students who are concurrently enrolled in a public 
  8.29  secondary school and for whom the institution is receiving any 
  8.30  compensation under the Post-Secondary Enrollment Options Act; 
  8.31  and 
  8.32     (2) students enrolled under the student exchange program of 
  8.33  the Midwest Compact. 
  8.34     (c) The state may not provide any of the estimated 
  8.35  expenditures for undergraduate students (1) who do not meet the 
  8.36  residency criteria under paragraph (a), or (2) who have 
  9.1   completed, without receiving a baccalaureate degree, 48 or more 
  9.2   quarter credits or the equivalent, applicable toward the degree, 
  9.3   beyond the number required for a baccalaureate in their major. 
  9.4   Credits for courses in which a student received a grade of "F" 
  9.5   or "W" shall be counted toward this maximum, as if the credits 
  9.6   had been earned. 
  9.7      Sec. 2.  [136A.138] [LIFETIME LEARNING GRANT PROGRAM.] 
  9.8      Subdivision 1.  [ESTABLISHMENT.] A lifetime learning grant 
  9.9   program is established under the supervision of the higher 
  9.10  education services office to provide grants to Minnesota 
  9.11  residents who acquire or improve job skills at an eligible 
  9.12  educational institution. 
  9.13     Subd. 2.  [ELIGIBILITY.] To be eligible to receive a grant, 
  9.14  a person must: 
  9.15     (1) have resided in Minnesota for purposes other than 
  9.16  post-secondary education for at least 12 months; 
  9.17     (2) be at least 21 years of age; 
  9.18     (3) meet the income eligibility requirements for the 
  9.19  federal lifetime learning credit; and 
  9.20     (4) not be eligible for a state grant under section 
  9.21  136A.121. 
  9.22     Subd. 3.  [GRANTS.] The amount of grant to be awarded shall 
  9.23  equal 25 percent of tuition and fees paid by a student at an 
  9.24  eligible educational institution for a course or courses in the 
  9.25  following program areas: 
  9.26     (1) teacher education; 
  9.27     (2) information technology; and 
  9.28     (3) health care occupations. 
  9.29     Courses may be at the undergraduate or master's level.  A 
  9.30  grant is not available with respect to any course or other 
  9.31  education involving sports, games, or hobbies.  Medical 
  9.32  students, dental students, and chiropractic students are not 
  9.33  eligible for this program.  A recipient may receive no more than 
  9.34  $5,000 over the recipient's lifetime under this program.  
  9.35  Students may not apply for this grant until after the last date 
  9.36  on which they would be able to withdraw from the institution 
 10.1   they are attending and receive a refund of their tuition and 
 10.2   fees. 
 10.3      Subd. 4.  [ELIGIBLE INSTITUTION.] For the purposes of this 
 10.4   section, the term "eligible educational institution" means the 
 10.5   University of Minnesota, the Minnesota state colleges and 
 10.6   universities, a school registered with the higher education 
 10.7   services office under sections 136A.61 to 136A.71 or chapter 
 10.8   141, and schools in states with which Minnesota has reciprocity 
 10.9   agreements. 
 10.10     Subd. 5.  [RESPONSIBILITY OF PARTICIPATING 
 10.11  INSTITUTIONS.] Each institution that wishes to participate in 
 10.12  the program shall apply to the higher education services office 
 10.13  for grant money according to policies established by the 
 10.14  office.  Participating institutions shall award grants according 
 10.15  to criteria established by the higher education services office. 
 10.16     Subd. 6.  [RESPONSIBILITY OF HIGHER EDUCATION SERVICES 
 10.17  OFFICE.] The office shall establish an application process for 
 10.18  the program.  The office shall allocate money to participating 
 10.19  institutions within the limits available specifically for this 
 10.20  purpose.  Money not used by a recipient institution shall be 
 10.21  returned to the office for reallocation to other institutions. 
 10.22     Sec. 3.  [137.45] [NORTH STAR RESEARCH COALITION.] 
 10.23     Subdivision 1.  [ESTABLISHMENT.] The board of regents is 
 10.24  requested to establish a partnership with private industry to 
 10.25  leverage the university's research capabilities into economic 
 10.26  development results through the creation of a nonprofit 
 10.27  tax-exempt corporation to be known as the North Star Research 
 10.28  Coalition.  The incorporating documents of the North Star 
 10.29  Research Coalition must provide for representation of university 
 10.30  and private sector interests on the coalition's board of 
 10.31  directors and provide that changes in the governance structure 
 10.32  require a super majority of the board.  The board consists of 12 
 10.33  members.  Six shall be appointed by the board of regents of the 
 10.34  University of Minnesota and need not be affiliated with the 
 10.35  university.  The initial six members representing the private 
 10.36  sector shall be appointed by the governor.  Subsequent members 
 11.1   representing the private sector shall be appointed by the 
 11.2   incumbent members of the board.  Private sector members of the 
 11.3   board must have expertise in the technology research needs of 
 11.4   the state and not be affiliated with the university. 
 11.5      Subd. 2.  [RESEARCH PROJECTS.] The coalition shall fund 
 11.6   research projects consistent with this section and priorities 
 11.7   established by the coalition, purchase equipment for research 
 11.8   laboratories, and establish endowed faculty chairs in the area 
 11.9   of technology-based research.  The coalition may fund research 
 11.10  projects that establish collaborative research efforts among the 
 11.11  University of Minnesota and the private sector, the Mayo Clinic, 
 11.12  nonprofit research institutes, or the Minnesota state colleges 
 11.13  and universities. 
 11.14     Subd. 3.  [DUTIES.] The duties of the coalition include: 
 11.15     (1) identifying technology-based research projects that 
 11.16  have the potential to create significant opportunities for 
 11.17  economic development and industrial growth in the state; 
 11.18     (2) strengthening the university's research capabilities in 
 11.19  subject areas associated with emerging technology-based 
 11.20  industries; 
 11.21     (3) expanding the research capacity of the university 
 11.22  through the creation of opportunities for the university to 
 11.23  assist private enterprises in emerging technology-based 
 11.24  industries; 
 11.25     (4) promoting the transfer of technology from the research 
 11.26  laboratory to commercial application by businesses; 
 11.27     (5) developing application procedures for, reviewing, and 
 11.28  prioritizing research projects seeking funding under this 
 11.29  initiative; and 
 11.30     (6) creating opportunities for collaborative research among 
 11.31  the University of Minnesota, the Mayo Clinic, nonprofit research 
 11.32  institutes, and the Minnesota state colleges and universities. 
 11.33     The board shall have the authority to allocate state and 
 11.34  nonstate money to projects. 
 11.35     Subd. 4.  [ENDOWMENT FUND.] (a) The North Star Research 
 11.36  Coalition endowment fund is created in the state treasury.  The 
 12.1   state board of investment shall invest the fund under Minnesota 
 12.2   Statutes, section 11A.24.  The fund may accept contributions 
 12.3   from nonstate sources.  All earnings of the fund must be 
 12.4   credited to the fund. The principal of the fund must be 
 12.5   maintained inviolate. 
 12.6      (b) Earnings of the fund, up to five percent of the fair 
 12.7   market value of the fund, are appropriated annually to the board 
 12.8   of regents for contribution to the North Star Research Coalition 
 12.9   for the purposes of this section.  Actual appropriations are not 
 12.10  to exceed actual earnings. 
 12.11     (c) The legislative auditor shall audit endowment fund 
 12.12  expenditures to ensure that the money is spent for the purposes 
 12.13  set out in this subdivision. 
 12.14     (d) The North Star Research Coalition endowment fund 
 12.15  expires June 30, 2020.  Upon expiration, the commissioner of 
 12.16  finance shall transfer the principal and any remaining interest 
 12.17  to the general fund. 
 12.18     Sec. 4.  [APPROPRIATION.] 
 12.19     (a) $70,000,000 is appropriated from the general fund to 
 12.20  the North Star Research Coalition endowment fund created in 
 12.21  section 137.45, subdivision 4.  The commissioner of finance may 
 12.22  not release this appropriation until the board of regents 
 12.23  certifies that a tax-exempt corporation in a form complying with 
 12.24  section 137.45 has been established.  The commissioner shall 
 12.25  release the money appropriated, as a one-for-one match for money 
 12.26  contributed to the endowment from nonstate sources, on a 
 12.27  quarterly basis, until the appropriation is expended.  
 12.28  Notwithstanding any law to the contrary, this appropriation 
 12.29  shall not cancel, but is available until expended. 
 12.30     (b) $5,000,000 is appropriated on a one-time basis to the 
 12.31  board of regents of the University of Minnesota for the 
 12.32  university's contribution to the North Star Research Coalition.  
 12.33  The commissioner of finance may not release this appropriation 
 12.34  until the board of regents certifies that a tax-exempt 
 12.35  corporation in a form complying with section 137.45 has been 
 12.36  established.  The commissioner shall release the money 
 13.1   appropriated, as a one-for-one match for money contributed 
 13.2   directly to the coalition from nonstate sources, or as a 
 13.3   one-for-one match with respect to individual research projects 
 13.4   funded by the coalition for which a match from nonstate sources 
 13.5   is required by the coalition or is available.  The appropriation 
 13.6   shall be released on a quarterly basis until the appropriation 
 13.7   is expended.  Notwithstanding any law to the contrary, this 
 13.8   appropriation shall not cancel, but is available until expended. 
 13.9      (c) $69,900,000 is appropriated to the board of regents of 
 13.10  the University of Minnesota.  $26,400,000 of this amount is to 
 13.11  stabilize funding for the medical school; $32,200,000 is to 
 13.12  recruit and retain faculty; and $11,300,000 is to support 
 13.13  programs in the biological and medical sciences. 
 13.14     (d) $2,500,000 is appropriated to the board of trustees of 
 13.15  the Minnesota state colleges and universities.  The money shall 
 13.16  be used to replace revenue lost as a result of waiving 
 13.17  nonresident tuition or to establish a merit-based scholarship 
 13.18  program.  
 13.19     (e) $2,500,000 is appropriated to the board of regents of 
 13.20  the University of Minnesota.  The money shall be used to replace 
 13.21  revenue lost as a result of waiving nonresident tuition or to 
 13.22  establish a merit-based scholarship program. 
 13.23     (f) $....... is appropriated to the higher education 
 13.24  services office for the lifetime learning grant program.