1.1             CONFERENCE COMMITTEE REPORT ON S.F. NO. 3431 
  1.2                          A bill for an act 
  1.3             relating to employment; regulating eligibility for 
  1.4             unemployment compensation benefits; providing for a 
  1.5             special assessment for interest on federal loans; 
  1.6             providing for extended unemployment compensation 
  1.7             benefits; providing for unemployment insurance and 
  1.8             workforce development fund taxes; providing extended 
  1.9             benefits for airline industry, Fingerhut Companies, 
  1.10            Inc., Farmland Foods Company, Potlatch Corporation, 
  1.11            Harsco, Incorporated, and SPX-DeZurik employees; 
  1.12            making housekeeping changes related to the department 
  1.13            of trade and economic development; repealing certain 
  1.14            authority given to city of Chisago relating to 
  1.15            annexation arguments; requiring an OSHA ergonomics 
  1.16            standard; prohibiting employers from charging certain 
  1.17            expenses to employees; regulating redevelopment 
  1.18            grants; allowing foster parents to take certain 
  1.19            leaves; providing certain youth employment to 
  1.20            construct early childhood program facilities; 
  1.21            reinstating a repealed law; providing unemployment 
  1.22            benefits to certain employees doing food service 
  1.23            contract work for school districts; requiring the 
  1.24            public utilities commission to study criteria for 
  1.25            certain energy source acquisitions; requiring a study 
  1.26            on unemployment trust fund solvency by the 
  1.27            unemployment insurance advisory council; regulating 
  1.28            use of state dislocated worker program grants; 
  1.29            amending Minnesota Statutes 2000, sections 48.24, 
  1.30            subdivision 5; 116J.565, subdivision 1; 116J.58, 
  1.31            subdivision 1; 116J.9665, subdivisions 1, 4, 6; 
  1.32            116M.14, subdivision 4; 116M.18, subdivisions 2, 3, 4, 
  1.33            4a, 5, 8, by adding a subdivision; 119A.45; 181.9412, 
  1.34            by adding a subdivision; 268.035, subdivision 24; 
  1.35            268.051, subdivision 8; 268.085, subdivision 8; 
  1.36            298.22, subdivision 7, by adding a subdivision; 
  1.37            Minnesota Statutes 2001 Supplement, sections 116L.17, 
  1.38            subdivision 5; 268.022, subdivision 1; 268.035, 
  1.39            subdivision 4; 268.07, subdivisions 1, 2; Laws 2001, 
  1.40            First Special Session chapter 4, article 1, section 2, 
  1.41            subdivision 5; Laws 2001, First Special Session 
  1.42            chapter 4, article 2, section 31; proposing coding for 
  1.43            new law in Minnesota Statutes, chapter 181; repealing 
  1.44            Minnesota Statutes 2000, sections 116J.9672; 
  1.45            116J.9673; Laws 2001, First Special Session chapter 5, 
  2.1             article 3, section 88. 
  2.2                                                  May 15, 2002
  2.3   The Honorable Don Samuelson 
  2.4   President of the Senate
  2.6   The Honorable Steve Sviggum 
  2.7   Speaker of the House of Representatives
  2.9      We, the undersigned conferees for S.F. No. 3431, report 
  2.10  that we have agreed upon the items in dispute and recommend as 
  2.11  follows: 
  2.12     
  2.13     That the House recede from its amendments and that S.F. No. 
  2.14  3431 be further amended as follows: 
  2.15     Delete everything after the enacting clause and insert: 
  2.16                             "ARTICLE 1 
  2.17                       UNEMPLOYMENT INSURANCE 
  2.18     Section 1.  Minnesota Statutes 2000, section 268.051, 
  2.19  subdivision 8, is amended to read: 
  2.20     Subd. 8.  [~~SOLVENCY~~ SPECIAL ASSESSMENT FOR INTEREST ON 
  2.21  FEDERAL LOAN.] (a) If ~~the fund balance is less than $150,000,000~~ 
  2.22  on ~~June 30~~ October 31 of any year, the commissioner, in 
  2.23  consultation with the commissioner of finance, determines that 
  2.24  an interest payment will be due during the following calendar 
  2.25  year on any loan from the federal unemployment trust fund under 
  2.26  section 268.194, subdivision 6, a ~~solvency~~ special assessment on 
  2.27  taxpaying employers will be in effect for the following calendar 
  2.28  year.  ~~The taxpaying employer shall pay quarterly a solvency~~ The 
  2.29  legislature authorizes the commissioner, in consultation with 
  2.30  the commissioner of finance, to determine the appropriate level 
  2.31  of the assessment, of ~~ten~~ from two percent to eight percent of 
  2.32  the quarterly unemployment taxes due, that will be necessary to 
  2.33  pay the interest due on the loan. 
  2.34     (b) The ~~solvency~~ special assessment shall be placed into a 
  2.35  special account from which the commissioner shall pay any 
  2.36  interest ~~accruing~~ that has accrued on any loan from the federal 
  2.37  unemployment trust fund provided for under section 268.194, 
  2.38  subdivision 6.  If, at the end of each calendar quarter, the 
  2.39  commissioner, in consultation with the commissioner of finance, 
  3.1   determines that the balance in this special account, including 
  3.2   interest earned on the special account, is more than is 
  3.3   necessary to pay the interest which has accrued on any loan as 
  3.4   of that date, or will accrue over the following calendar 
  3.5   quarter, the commissioner shall immediately pay to the fund the 
  3.6   amount in excess of that necessary to pay the interest on any 
  3.7   loan. 
  3.8      <h>[EFFECTIVE DATE.]</h> This section is effective the day 
  3.9   following final enactment. 
  3.10     Sec. 2.  Minnesota Statutes 2000, section 270B.14, 
  3.11  subdivision 8, is amended to read: 
  3.12     Subd. 8.  [EXCHANGE BETWEEN DEPARTMENTS OF LABOR AND 
  3.13  INDUSTRY AND REVENUE.] The departments of labor and industry and 
  3.14  revenue may exchange information as follows:  
  3.15     (1) data used in determining whether a business is an 
  3.16  employer or a contracting agent; 
  3.17     (2) taxpayer identity information relating to employers and 
  3.18  employees for purposes of supporting tax administration and 
  3.19  ~~chapter~~ chapters 176, 177, and 181; and 
  3.20     (3) data to the extent provided in and for the purpose set 
  3.21  out in section 176.181, subdivision 8. 
  3.22     Sec. 3.  [UNEMPLOYMENT INSURANCE; FOOD SERVICES.] 
  3.23     Notwithstanding the provisions of Minnesota Statutes, 
  3.24  section 268.085, subdivision 8, wage credits from an employer 
  3.25  are not subject to the provisions of Minnesota Statutes, section 
  3.26  268.085, subdivision 7, if those wage credits were earned by an 
  3.27  employee of a private employer performing work pursuant to a 
  3.28  contract between the employer and an elementary or secondary 
  3.29  school and the employment was related to food services provided 
  3.30  to the school by the employer.  This section expires December 
  3.31  31, 2004. 
  3.32     <h>[EFFECTIVE DATE.]</h> This section is effective the day 
  3.33  following final enactment. 
  3.34     Sec. 4.  [2003 UNEMPLOYMENT INSURANCE BASE TAX RATE.] 
  3.35     Notwithstanding Minnesota Statutes, section 268.051, 
  3.36  subdivision 2, and Laws 2001, First Special Session chapter 2, 
  4.1   article 2, section 32, subdivision 2, the unemployment insurance 
  4.2   base tax rate for employers is 0.38 percent for calendar year 
  4.3   2003. 
  4.4      Sec. 5.  [EXTRA UNEMPLOYMENT BENEFITS.] 
  4.5      Subdivision 1.  [AVAILABILITY.] Extra unemployment benefits 
  4.6   are available to an applicant who was permanently laid off due 
  4.7   to lack of work if: 
  4.8      (1) the applicant was laid off from the Farmland Foods 
  4.9   Company in Freeborn county on or after July 8, 2001; 
  4.10     (2) the applicant was laid off by Fingerhut Companies, 
  4.11  Incorporated on or after January 1, 2002, and worked at one of 
  4.12  that employer's facilities in the St. Cloud, Eveleth, or Mora 
  4.13  areas; or 
  4.14     (3) the applicant was laid off by Northwest Airlines, Sun 
  4.15  Country Airlines, Mesaba Airlines, United Airlines, LSG Sky 
  4.16  Chefs, Air Wisconsin, American Airlines, American TransAir, 
  4.17  Champion Air, Chautaugua Airlines, Continental Airlines, Emery 
  4.18  Worldwide Air, Great Lakes Airlines, PanAm International, Skyway 
  4.19  Airlines, or U.S. Airways on or after September 11, 2001, and 
  4.20  before June 1, 2002.  
  4.21     Subd. 2.  [PAYMENT FROM FUND; EFFECT ON EMPLOYER.] Extra 
  4.22  benefits under this section are payable from the fund. 
  4.23     Subd. 3.  [ELIGIBILITY CONDITIONS.] An applicant described 
  4.24  in subdivision 1 is eligible to collect benefits for any week 
  4.25  through December 31, 2003, if: 
  4.26     (1) a majority of the applicant's wage credits were with 
  4.27  the employer responsible for the layoff described in subdivision 
  4.28  1; 
  4.29     (2) the applicant meets the eligibility requirements of 
  4.30  Minnesota Statutes, section 268.085; 
  4.31     (3) the applicant is not subject to a disqualification 
  4.32  under Minnesota Statutes, section 268.095; 
  4.33     (4) the applicant is not entitled to any regular, 
  4.34  additional, or extended unemployment benefits for that week and 
  4.35  the applicant is not entitled to receive unemployment benefits 
  4.36  under any other state or federal law or the law of Canada for 
  5.1   that week; and 
  5.2      (5) the applicant is enrolled in, or has within the last 
  5.3   two weeks successfully completed, a program that qualifies as 
  5.4   reemployment assistance training under the state dislocated 
  5.5   worker program, except that an applicant whose training is 
  5.6   scheduled to begin in more than 30 days may be considered to be 
  5.7   in training if:  
  5.8      (i) the applicant's chosen training program does not offer 
  5.9   an available start date within 30 days; 
  5.10     (ii) the applicant is scheduled to begin training on the 
  5.11  earliest available start date for the chosen training program; 
  5.12  and 
  5.13     (iii) the applicant is scheduled to begin training in no 
  5.14  more than 60 days. 
  5.15     If an applicant qualifies for a new regular benefit account 
  5.16  at any time after exhausting regular unemployment benefits as a 
  5.17  result of the layoff under subdivision 1, the applicant must 
  5.18  apply for and exhaust entitlement to those new regular or any 
  5.19  other type of unemployment benefits under any state or federal 
  5.20  law. 
  5.21     Subd. 4.  [WEEKLY AMOUNT OF EXTRA BENEFITS.] The weekly 
  5.22  unemployment extra benefits amount available to an applicant 
  5.23  under this section is the same as the applicant's regular weekly 
  5.24  benefit amount on the benefit account established as a result of 
  5.25  the layoff under subdivision 1. 
  5.26     Subd. 5.  [MAXIMUM AMOUNT OF EXTRA UNEMPLOYMENT 
  5.27  BENEFITS.] The maximum amount of extra unemployment benefits 
  5.28  available is 13 times the applicant's weekly extra unemployment 
  5.29  benefit amount. 
  5.30     Subd. 6.  [PROGRAM EXPIRATION.] This extra unemployment 
  5.31  benefit program expires December 31, 2003.  No extra 
  5.32  unemployment benefits shall be paid under this section after the 
  5.33  expiration of this program. 
  5.34     Subd. 7.  [EFFECTIVE DATE.] This section is effective the 
  5.35  day following final enactment and is effective retroactive to 
  5.36  June 1, 2001. 
  6.1      Sec. 6.  [FINDINGS.] 
  6.2      The legislature finds that the extra benefits provided to 
  6.3   workers in this act are appropriate because the affected 
  6.4   employees or their employers meet one of the following criteria: 
  6.5      (a) Benefit extensions may be appropriate where: 
  6.6      (1) taking into consideration the effect of the layoff 
  6.7   affecting the applicant, the unemployment rate in the 
  6.8   applicant's county of employment is higher than the statewide 
  6.9   average rate of unemployment; 
  6.10     (2) the employer involved in the layoff has permanently 
  6.11  ceased operations at the location where the employee worked; 
  6.12     (3) the community or communities in which the employees 
  6.13  worked is disproportionately affected by the layoff; and 
  6.14     (4) the community or communities in which the affected 
  6.15  employees live is in a remote location where opportunities for 
  6.16  reemployment are limited. 
  6.17     (b) Benefit extensions may be appropriate in some cases 
  6.18  where the affected employees were part of layoffs that resulted 
  6.19  from an act of war or terrorism. 
  6.20     Sec. 7.  [PAYMENT OF SPECIAL STATE TEMPORARY EXTENDED 
  6.21  UNEMPLOYMENT BENEFITS.] 
  6.22     Subdivision 1.  [ELIGIBILITY.] Special state temporary 
  6.23  extended unemployment benefits shall be paid to an applicant who 
  6.24  does not qualify for unemployment benefits under the federal 
  6.25  Temporary Extended Unemployment Compensation Act of 2002 because 
  6.26  the applicant does not meet the requirement under section 
  6.27  202(d)(2)(A) of that act.  Special state extended unemployment 
  6.28  benefits shall be paid to individuals who have established a 
  6.29  benefit account effective on or after March 19, 2000, under the 
  6.30  same terms and conditions as apply to federal temporary extended 
  6.31  unemployment compensation.  An applicant may not receive more 
  6.32  than a combined total of 13 times the applicant's weekly benefit 
  6.33  amount available under the federal Temporary Extended 
  6.34  Unemployment Compensation Act and this section. 
  6.35     Subd. 2.  [PAYMENT FROM THE FUND; EFFECT ON 
  6.36  EMPLOYER.] Special state temporary extended unemployment 
  7.1   benefits shall be paid from the Minnesota unemployment insurance 
  7.2   program trust fund.  Special state temporary extended 
  7.3   unemployment benefits paid shall not be used in computing the 
  7.4   future unemployment tax rate of a taxpaying employer nor charged 
  7.5   to the reimbursing account of a government or nonprofit employer.
  7.6      Subd. 3.  [EXPIRATION.] This program expires December 28, 
  7.7   2002.  No payments under this section shall be paid for any week 
  7.8   after the expiration date. 
  7.9      <h>[EFFECTIVE DATE.]</h> This section is effective the day 
  7.10  following final enactment and is retroactive to March 10, 2002. 
  7.11     Sec. 8.  [ADVISORY COUNCIL REPORT TRUST FUND SOLVENCY.] 
  7.12     The unemployment insurance advisory council shall present 
  7.13  to the legislature, by January 15, 2003, a report, including 
  7.14  proposals for any legislation, on the long-term solvency of the 
  7.15  Minnesota unemployment insurance program trust fund. 
  7.16     Sec. 9.  [REED ACT FEDERAL FUNDS APPROPRIATION.] 
  7.17     $12,000,000 of the approximately $163,000,000 of federal 
  7.18  "Reed Act" money transferred to the state of Minnesota on March 
  7.19  13, 2002, pursuant to section 209 of the Temporary Extended 
  7.20  Unemployment Compensation Act of 2002, is appropriated from the 
  7.21  unemployment insurance program trust fund to the commissioner of 
  7.22  economic security for unemployment insurance program 
  7.23  administration.  The amount appropriated must be transferred to 
  7.24  the appropriate account used to pay unemployment insurance 
  7.25  program administration costs.  
  7.26     <h>[EFFECTIVE DATE.]</h> This section is effective July 1, 2002.  
  7.27     Sec. 10.  [WORKFORCE DEVELOPMENT FUND TRANSFERS.] 
  7.28     Notwithstanding Laws 2001, First Special Session chapter 4, 
  7.29  article 2, sections 31 and 32, the amount actually collected in 
  7.30  calendar years 2002 and 2003, to a maximum of $12,000,000, net 
  7.31  of collection costs, and otherwise required to be deposited in 
  7.32  the unemployment insurance technology initiative account by 
  7.33  those sections shall be deposited into the workforce development 
  7.34  fund created under Minnesota Statutes, section 268.022.  
  7.35     <h>[EFFECTIVE DATE.]</h> This section is effective the day 
  7.36  following final enactment and retroactive to January 1, 2002. 
  8.1      Sec. 11.  [TRANSFERS.] 
  8.2      (a) On or before July 15, 2002, the commissioner of finance 
  8.3   shall transfer $89,000 from the general fund to the workforce 
  8.4   development fund. 
  8.5      (b) After July 16, 2002, but on or before July 15, 2003, 
  8.6   the commissioner of finance shall transfer $1,069,000 from the 
  8.7   general fund to the workforce development fund. 
  8.8      (c) After July 16, 2003, but on or before July 15, 2004, 
  8.9   the commissioner of finance shall transfer $1,069,000 from the 
  8.10  general fund to the workforce development fund. 
  8.11                             ARTICLE 2 
  8.12                   TRADE AND ECONOMIC DEVELOPMENT 
  8.13     Section 1.  Minnesota Statutes 2000, section 48.24, 
  8.14  subdivision 5, is amended to read: 
  8.15     Subd. 5.  Loans or obligations shall not be subject under 
  8.16  this section to any limitation based upon such capital and 
  8.17  surplus to the extent that they are secured or covered by 
  8.18  guarantees, or by commitments or agreements to take over or to 
  8.19  purchase the same, made by: 
  8.20     (1) the commissioner of agriculture on the purchase of 
  8.21  agricultural land; 
  8.22     (2) any Federal Reserve bank; 
  8.23     (3) the United States or any department, bureau, board, 
  8.24  commission, or establishment of the United States, including any 
  8.25  corporation wholly owned directly or indirectly by the United 
  8.26  States; 
  8.27     (4) the Minnesota energy and economic development 
  8.28  authority; or 
  8.29     (5) ~~the Minnesota export finance authority; or~~ 
  8.30     ~~(6)~~ a municipality or political subdivision within 
  8.31  Minnesota to the extent that the guarantee or collateral is a 
  8.32  valid and enforceable general obligation of that political body. 
  8.33     Sec. 2.  Minnesota Statutes 2000, section 116J.58, 
  8.34  subdivision 1, is amended to read: 
  8.35     Subdivision 1.  [ENUMERATION.] The commissioner shall: 
  8.36     (1) investigate, study, and undertake ways and means of 
  9.1   promoting and encouraging the prosperous development and 
  9.2   protection of the legitimate interest and welfare of Minnesota 
  9.3   business, industry, and commerce, within and outside the state; 
  9.4      (2) locate markets for manufacturers and processors and aid 
  9.5   merchants in locating and contacting markets; 
  9.6      (3) investigate and study conditions affecting Minnesota 
  9.7   business, industry, and commerce and collect and disseminate 
  9.8   information, and engage in technical studies, scientific 
  9.9   investigations, and statistical research and educational 
  9.10  activities necessary or useful for the proper execution of the 
  9.11  powers and duties of the commissioner in promoting and 
  9.12  developing Minnesota business, industry, and commerce, both 
  9.13  within and outside the state; 
  9.14     (4) plan and develop an effective business information 
  9.15  service both for the direct assistance of business and industry 
  9.16  of the state and for the encouragement of business and industry 
  9.17  outside the state to use economic facilities within the state; 
  9.18     (5) compile, collect, and develop periodically, or 
  9.19  otherwise make available, information relating to current 
  9.20  business conditions; 
  9.21     (6) conduct or encourage research designed to further new 
  9.22  and more extensive uses of the natural and other resources of 
  9.23  the state and designed to develop new products and industrial 
  9.24  processes; 
  9.25     (7) study trends and developments in the industries of the 
  9.26  state and analyze the reasons underlying the trends; study costs 
  9.27  and other factors affecting successful operation of businesses 
  9.28  within the state; and make recommendations regarding 
  9.29  circumstances promoting or hampering business and industrial 
  9.30  development; 
  9.31     (8) serve as a clearing house for business and industrial 
  9.32  problems of the state; and advise small business enterprises 
  9.33  regarding improved methods of accounting and bookkeeping; 
  9.34     (9) cooperate with interstate commissions engaged in 
  9.35  formulating and promoting the adoption of interstate compacts 
  9.36  and agreements helpful to business, industry, and commerce; 
 10.1      (10) cooperate with other state departments, and with 
 10.2   boards, commissions, and other state agencies, in the 
 10.3   preparation and coordination of plans and policies for the 
 10.4   development of the state and for the use and conservation of its 
 10.5   resources insofar as the use, conservation, and development may 
 10.6   be appropriately directed or influenced by a state agency; 
 10.7      (11) assemble and coordinate information relative to the 
 10.8   status, scope, cost, and employment possibilities and the 
 10.9   availability of materials, equipment, and labor in connection 
 10.10  with public works projects, state, county, and municipal; 
 10.11  recommend limitations on the public works; gather current 
 10.12  progress information with reference to public and private works 
 10.13  projects of the state and its political subdivisions with 
 10.14  reference to conditions of employment; inquire into and report 
 10.15  to the governor, when requested by the governor, with respect to 
 10.16  any program of public state improvements and the financing 
 10.17  thereof; and request and obtain information from other state 
 10.18  departments or agencies as may be needed properly to report 
 10.19  thereon; 
 10.20     (12) study changes in population and current trends and 
 10.21  prepare plans and suggest policies for the development and 
 10.22  conservation of the resources of the state; 
 10.23     (13) confer and cooperate with the executive, legislative, 
 10.24  or planning authorities of the United States and neighboring 
 10.25  states and provinces and of the counties and municipalities of 
 10.26  such neighboring states, for the purpose of bringing about a 
 10.27  coordination between the development of such neighboring 
 10.28  provinces, states, counties, and municipalities and the 
 10.29  development of this state; 
 10.30     (14) generally, gather, compile, and make available 
 10.31  statistical information relating to business, trade, commerce, 
 10.32  industry, transportation, communication, natural resources, and 
 10.33  other like subjects in this state, with authority to call upon 
 10.34  other departments of the state for statistical data and results 
 10.35  obtained by them and to arrange and compile that statistical 
 10.36  information in a manner that seems wise; 
 11.1      (15) ~~prepare an annual report to the legislature estimating~~ 
 11.2   ~~and, to the extent possible, describing the number of Minnesota~~ 
 11.3   ~~companies which have left the state or moved to surrounding~~ 
 11.4   ~~states or other countries.  The report should include an~~ 
 11.5   ~~estimate of the number of jobs lost by these moves, an estimate~~ 
 11.6   ~~of the total employment payroll, average hourly wage of those~~ 
 11.7   ~~jobs lost and those created in the new location, and to the~~ 
 11.8   ~~extent possible, the reasons for each company moving out of~~ 
 11.9   ~~state, if known;~~ 
 11.10     ~~(16)~~ publish documents and annually convene regional 
 11.11  meetings to inform businesses, local government units, 
 11.12  assistance providers, and other interested persons of changes in 
 11.13  state and federal law related to economic development; 
 11.14     ~~(17)~~ (16) annually convene conferences of providers of 
 11.15  economic development related financial and technical assistance 
 11.16  for the purposes of exchanging information on economic 
 11.17  development assistance, coordinating economic development 
 11.18  activities, and formulating economic development strategies; 
 11.19     ~~(18)~~ (17) provide business with information on the economic 
 11.20  benefits of energy conservation and on the availability of 
 11.21  energy conservation assistance; and 
 11.22     ~~(19)~~ (18) prepare, as part of biennial budget process, 
 11.23  performance measures for each business loan or grant program 
 11.24  within the jurisdiction of the commissioner.  Measures would 
 11.25  include source of funds for each program, numbers of jobs 
 11.26  proposed or promised at the time of application and the number 
 11.27  of jobs created, estimated number of jobs retained, the average 
 11.28  salary and benefits for the jobs resulting from the program, and 
 11.29  the number of projects approved. 
 11.30     Sec. 3.  Minnesota Statutes 2000, section 116J.9665, 
 11.31  subdivision 1, is amended to read: 
 11.32     Subdivision 1.  [DEFINITIONS.] For purposes of this 
 11.33  section, the following terms have the meanings given them: 
 11.34     (1) ~~"Conference and service center" means the approximately~~ 
 11.35  ~~20,000 square feet of space on the third and fourth floors of~~ 
 11.36  ~~the Minnesota world trade center that the state of Minnesota has~~ 
 12.1   ~~the right to possess, occupy, and use subject to the terms and~~ 
 12.2   ~~conditions of the development agreement.~~ 
 12.3      ~~(2)~~ "Development agreement" means the agreement entered 
 12.4   into by and between the world trade center board, as agent of 
 12.5   the state of Minnesota, and Oxford Development Minnesota, Inc. 
 12.6   dated July 27, 1984, and the amendments to that agreement, for 
 12.7   development and construction of a world trade center at a 
 12.8   designated site in Minnesota. 
 12.9      ~~(3)~~ (2) "Minnesota world trade center" means the facility 
 12.10  constructed in accordance with the development agreement or 
 12.11  other facilities meeting the membership requirements of the 
 12.12  World Trade Centers Association. 
 12.13     Sec. 4.  Minnesota Statutes 2000, section 116J.9665, 
 12.14  subdivision 4, is amended to read: 
 12.15     Subd. 4.  [DUTIES.] The commissioner shall: 
 12.16     (1) promote and market the Minnesota world trade center and 
 12.17  membership in the World Trade Centers Association; 
 12.18     (2) ~~sponsor conferences or other promotional events in the~~ 
 12.19  ~~conference and service center;~~ 
 12.20     ~~(3)~~ sponsor, develop, and conduct educational programs 
 12.21  related to international trade; 
 12.22     ~~(4)~~ (3) establish and maintain an office in the Minnesota 
 12.23  world trade center; and 
 12.24     ~~(5)~~ (4) not duplicate programs or services provided by the 
 12.25  commissioner of agriculture. 
 12.26     Sec. 5.  Minnesota Statutes 2000, section 116J.9665, 
 12.27  subdivision 6, is amended to read: 
 12.28     Subd. 6.  [WORLD TRADE CENTER ACCOUNT.] The world trade 
 12.29  center account is in the special revenue fund.  All money 
 12.30  ~~received from the use of the conference and service center or~~ 
 12.31  appropriated under this section must be deposited in the 
 12.32  account.  Money in the account including interest earned is 
 12.33  appropriated to the commissioner and must be used exclusively 
 12.34  for the purposes of this section. 
 12.35     Sec. 6.  Minnesota Statutes 2001 Supplement, section 
 12.36  116L.17, subdivision 5, is amended to read: 
 13.1      Subd. 5.  [COST LIMITATIONS.] (a) Funds allocated to a 
 13.2   grantee are subject to the following cost limitations: 
 13.3      (1) no more than ten percent may be allocated for 
 13.4   administration; 
 13.5      (2) at least 50 percent must be allocated for training 
 13.6   assistance as provided in subdivision 4, clause (2); and 
 13.7      (3) no more than 15 percent may be allocated for support 
 13.8   services as provided in subdivision 4, clause (3). 
 13.9      (b) A waiver of the training assistance minimum in clause 
 13.10  (2) may be sought, but no waiver shall allow less than 30 
 13.11  percent of the grant to be spent on training assistance.  A 
 13.12  waiver of the support services maximum in clause (3) may be 
 13.13  sought, but no waiver shall allow more than 20 percent of the 
 13.14  grant to be spent on support services.  A waiver may be granted 
 13.15  below the minimum and above the maximum otherwise allowed by 
 13.16  this paragraph if funds other than state funds appropriated for 
 13.17  the dislocated worker program are used to fund training 
 13.18  assistance. 
 13.19     Sec. 7.  Minnesota Statutes 2000, section 116M.14, 
 13.20  subdivision 4, is amended to read: 
 13.21     Subd. 4.  [LOW-INCOME AREA.] "Low-income area" means 
 13.22  Minneapolis, St. Paul, and ~~inner ring suburbs as defined by the~~ 
 13.23  ~~metropolitan council that had a median household income below~~ 
 13.24  ~~$31,000 as reported in the 1990 census~~ those cities in the 
 13.25  metropolitan area as defined in section 473.121, subdivision 2, 
 13.26  that have an average income that is below 60 percent of the 
 13.27  median income for a four-person family as of the latest report 
 13.28  by the United States Census Bureau. 
 13.29     Sec. 8.  Minnesota Statutes 2000, section 116M.18, 
 13.30  subdivision 2, is amended to read: 
 13.31     Subd. 2.  [CHALLENGE GRANT ELIGIBILITY; NONPROFIT 
 13.32  CORPORATION.] The board may enter into agreements with nonprofit 
 13.33  corporations to fund and guarantee loans the nonprofit 
 13.34  corporation makes in low-income areas under subdivision 4.  A 
 13.35  corporation must demonstrate that:  
 13.36     (1) its board of directors includes citizens experienced in 
 14.1   development, minority business enterprises, and creating jobs in 
 14.2   low-income areas; 
 14.3      (2) it has the technical skills to analyze projects; 
 14.4      (3) it is familiar with other available public and private 
 14.5   funding sources and economic development programs; 
 14.6      (4) it can initiate and implement economic development 
 14.7   projects; 
 14.8      (5) it can establish and administer a revolving loan 
 14.9   account; and 
 14.10     (6) it can work with job referral networks which assist 
 14.11  minority and other persons in low-income areas. 
 14.12     Sec. 9.  Minnesota Statutes 2000, section 116M.18, 
 14.13  subdivision 3, is amended to read: 
 14.14     Subd. 3.  [REVOLVING LOAN FUND.] (a) The board shall 
 14.15  establish a revolving loan fund to make grants to nonprofit 
 14.16  corporations for the purpose of making loans and loan guarantees 
 14.17  to new and expanding businesses in a low-income area to promote 
 14.18  minority business enterprises and job creation for minority and 
 14.19  other persons in low-income areas.  
 14.20     (b) Eligible business enterprises include, but are not 
 14.21  limited to, technologically innovative industries, value-added 
 14.22  manufacturing, and information industries.  Loan applications 
 14.23  given preliminary approval by the nonprofit corporation must be 
 14.24  forwarded to the board for approval.  The commissioner must give 
 14.25  final approval for each loan or loan guarantee made by the 
 14.26  nonprofit corporation.  The amount of ~~a grant~~ the state funds 
 14.27  contributed to any loan or loan guarantee may not exceed 50 
 14.28  percent of each loan.  ~~The amount of nonstate money must equal~~ 
 14.29  ~~at least 50 percent for each loan.~~ 
 14.30     Sec. 10.  Minnesota Statutes 2000, section 116M.18, 
 14.31  subdivision 4, is amended to read: 
 14.32     Subd. 4.  [BUSINESS LOAN CRITERIA.] (a) The criteria in 
 14.33  this subdivision apply to loans made or guaranteed by nonprofit 
 14.34  corporations under the urban challenge grant program.  
 14.35     (b) Loans or guarantees must be made to businesses that are 
 14.36  not likely to undertake a project for which loans are sought 
 15.1   without assistance from the urban challenge grant program.  
 15.2      (c) A loan or guarantee must be used for a project designed 
 15.3   to benefit persons in low-income areas through the creation of 
 15.4   job or business opportunities for them.  Priority must be given 
 15.5   for loans to the lowest income areas.  
 15.6      (d) The minimum state contribution to a loan or guarantee 
 15.7   is $5,000 and the maximum is $150,000. 
 15.8      (e) ~~A loan~~ The state contribution must be matched by at 
 15.9   least an equal amount of new private investment.  
 15.10     (f) A loan may not be used for a retail development project.
 15.11     (g) The business must agree to work with job referral 
 15.12  networks that focus on minority applicants from low-income areas.
 15.13     Sec. 11.  Minnesota Statutes 2000, section 116M.18, 
 15.14  subdivision 4a, is amended to read: 
 15.15     Subd. 4a.  [MICROENTERPRISE LOAN.] Urban challenge grants 
 15.16  may be used to make microenterprise loans to small, beginning 
 15.17  businesses, including a sole proprietorship.  Microenterprise 
 15.18  loans are subject to this section except that: 
 15.19     (1) they may also be made to qualified retail businesses; 
 15.20     (2) they may be made for a minimum of $1,000 and a maximum 
 15.21  of ~~$10,000~~ $25,000; and 
 15.22     (3) they do not require a match. 
 15.23     Sec. 12.  Minnesota Statutes 2000, section 116M.18, 
 15.24  subdivision 5, is amended to read: 
 15.25     Subd. 5.  [REVOLVING FUND ADMINISTRATION; RULES.] (a) The 
 15.26  board shall establish a minimum interest rate for loans or 
 15.27  guarantees to ensure that necessary loan administration costs 
 15.28  are covered.  
 15.29     (b) Loan repayment amounts equal to one-half of the 
 15.30  principal and interest must be deposited in a revolving fund 
 15.31  created by the board for challenge grants.  The remaining amount 
 15.32  of the loan repayment may be deposited in a revolving loan fund 
 15.33  created by the nonprofit corporation originating the loan being 
 15.34  repaid for further distribution, consistent with the loan 
 15.35  criteria specified in subdivision 4.  
 15.36     (c) Administrative expenses of the board and nonprofit 
 16.1   corporations with whom the board enters into agreements under 
 16.2   subdivision 2, including expenses incurred by a nonprofit 
 16.3   corporation in providing financial, technical, managerial, and 
 16.4   marketing assistance to a business enterprise receiving a loan 
 16.5   under subdivision 4, may be paid out of the interest earned on 
 16.6   loans and out of interest earned on money invested by the state 
 16.7   board of investment under section 116M.16, subdivision 2, as may 
 16.8   be provided by the board.  
 16.9      Sec. 13.  Minnesota Statutes 2000, section 116M.18, is 
 16.10  amended by adding a subdivision to read: 
 16.11     Subd. 6a.  [NONPROFIT CORPORATION LOANS.] The board may 
 16.12  make loans to a nonprofit corporation with which it has entered 
 16.13  into an agreement under subdivision 1.  These loans must be used 
 16.14  to support a new or expanding business.  This support may 
 16.15  include such forms of financing as the sale of goods to the 
 16.16  business on installment or deferred payments, lease purchase 
 16.17  agreements, or royalty investments in the business.  The 
 16.18  nonprofit corporation must provide at least an equal match to 
 16.19  the loan received by the board.  The maximum loan available to 
 16.20  the nonprofit corporation under this subdivision is $50,000.  
 16.21  Loans made to the nonprofit corporation under this subdivision 
 16.22  may be made without interest.  Repayments made by the nonprofit 
 16.23  corporation must be deposited in the revolving fund created for 
 16.24  urban initiative grants. 
 16.25     Sec. 14.  Minnesota Statutes 2000, section 116M.18, 
 16.26  subdivision 8, is amended to read: 
 16.27     Subd. 8.  [REPORTING REQUIREMENTS.] A nonprofit corporation 
 16.28  that receives a challenge grant shall:  
 16.29     (1) submit an annual report to the board by September 30 of 
 16.30  each year that includes a description of projects supported by 
 16.31  the urban challenge grant program, an account of loans made 
 16.32  during the calendar year, the program's impact on minority 
 16.33  business enterprises and job creation for minority persons and 
 16.34  persons in low-income areas, the source and amount of money 
 16.35  collected and distributed by the urban challenge grant program, 
 16.36  the program's assets and liabilities, and an explanation of 
 17.1   administrative expenses; and 
 17.2      (2) provide for an independent annual audit to be performed 
 17.3   in accordance with generally accepted accounting practices and 
 17.4   auditing standards and submit a copy of each annual audit report 
 17.5   to the board. 
 17.6      Sec. 15.  Minnesota Statutes 2000, section 298.22, 
 17.7   subdivision 7, is amended to read: 
 17.8      Subd. 7.  [~~GIANTS RIDGE RECREATION AREA~~ PROJECT AREA 
 17.9   DEVELOPMENT AUTHORITY.] (a) In addition to the other powers 
 17.10  granted in this section and other law and notwithstanding any 
 17.11  limitations contained in subdivision 5, the commissioner, for 
 17.12  purposes of fostering economic development and tourism within 
 17.13  the Giants Ridge recreation area or the Ironworld Discovery 
 17.14  Center area, may spend any money made available to the agency 
 17.15  under section 298.28 to acquire real or personal property or 
 17.16  interests therein by gift, purchase, or lease and may convey by 
 17.17  lease, sale, or other means of conveyance or commitment any or 
 17.18  all ~~of those~~ property interests ~~acquired~~ owned or administered 
 17.19  by the commissioner within such areas.  
 17.20     (b) In furtherance of development of the Giants Ridge 
 17.21  recreation area or the Ironworld Discovery Center area, the 
 17.22  commissioner may establish and participate in charitable 
 17.23  foundations and nonprofit corporations, including a corporation 
 17.24  within the meaning of section 317A.011, subdivision 6. 
 17.25     (c) The term "Giants Ridge recreation area" refers to an 
 17.26  economic development project area established by the 
 17.27  commissioner in furtherance of the powers delegated in this 
 17.28  section within St. Louis county in the western portions of the 
 17.29  town of White and in the eastern portion of the westerly, 
 17.30  adjacent, unorganized township. 
 17.31     (d) The term "Ironworld Discovery Center area" refers to an 
 17.32  economic development and tourism promotion project area 
 17.33  established by the commissioner in furtherance of the powers 
 17.34  delegated in this section within St. Louis county in the south 
 17.35  portion of the town of Balkan. 
 17.36     Sec. 16.  Minnesota Statutes 2000, section 298.22, is 
 18.1   amended by adding a subdivision to read: 
 18.2      Subd. 9.  [ECONOMIC DEVELOPMENT AND TRADE PROMOTION.] In 
 18.3   the promotion of tourism, trade, and economic development, the 
 18.4   commissioner may expend money made available to the agency under 
 18.5   section 298.28 in the same manner as private persons, firms, 
 18.6   corporations, and associations make expenditures for these 
 18.7   purposes.  An expenditure for food, lodging, or travel is not 
 18.8   governed by the travel rules of the commissioner of employee 
 18.9   relations. 
 18.10     Sec. 17.  Minnesota Statutes 2000, section 446A.07, 
 18.11  subdivision 4, is amended to read: 
 18.12     Subd. 4.  [INTENDED USE PLAN.] (a) The ~~pollution control~~ 
 18.13  ~~agency~~ public facilities authority shall annually prepare and 
 18.14  submit to the United States Environmental Protection Agency an 
 18.15  intended use plan.  The plan must identify the intended uses of 
 18.16  the amounts available to the water pollution control revolving 
 18.17  fund, including a list of wastewater treatment and storm water 
 18.18  projects and all other eligible activities to be funded during 
 18.19  the fiscal year.  ~~Information regarding eligible activities must~~ 
 18.20  ~~be submitted to the pollution control agency by the appropriate~~ 
 18.21  ~~state agency or department within 30 days of written~~ 
 18.22  ~~notification by the pollution control agency.~~  
 18.23     (b) To be eligible for placement on the intended use plan: 
 18.24     (1) a project must be listed on the pollution control 
 18.25  agency's project priority list; 
 18.26     (2) the applicant must submit a written request to the 
 18.27  public facilities authority, including a brief description of 
 18.28  the project, a project cost estimate and the requested loan 
 18.29  amount, and a proposed project schedule; and 
 18.30     (3) for a construction loan, the project must have a 
 18.31  facility plan approved by the pollution control agency. 
 18.32     (c) The pollution control agency shall annually provide to 
 18.33  the public facilities authority its project priority list of 
 18.34  wastewater and storm water projects to be considered for funding.
 18.35  The ~~pollution control agency~~ public facilities authority may not 
 18.36  submit the plan until it has received the review and comment of 
 19.1   the ~~authority~~ pollution control agency or until 30 days have 
 19.2   elapsed since the plan was submitted to the ~~authority~~ pollution 
 19.3   control agency, whichever occurs first.  In addition, the public 
 19.4   facilities authority shall offer municipalities seeking 
 19.5   placement on the intended use plan an opportunity to review and 
 19.6   comment on the plan before it is adopted.  The plan may be 
 19.7   amended to add additional projects for consideration for funding 
 19.8   as it determines funds are available and additional projects are 
 19.9   able to proceed. 
 19.10     Sec. 18.  Minnesota Statutes 2000, section 446A.12, 
 19.11  subdivision 1, is amended to read: 
 19.12     Subdivision 1.  [BONDING AUTHORITY.] The authority may 
 19.13  issue negotiable bonds in a principal amount that the authority 
 19.14  determines necessary to provide sufficient funds for achieving 
 19.15  its purposes, including the making of loans and purchase of 
 19.16  securities, the payment of interest on bonds of the authority, 
 19.17  the establishment of reserves to secure its bonds, the payment 
 19.18  of fees to a third party providing credit enhancement, and the 
 19.19  payment of all other expenditures of the authority incident to 
 19.20  and necessary or convenient to carry out its corporate purposes 
 19.21  and powers, but not including the making of grants.  Bonds of 
 19.22  the authority may be issued as bonds or notes or in any other 
 19.23  form authorized by law.  The principal amount of bonds issued 
 19.24  and outstanding under this section at any time may not exceed 
 19.25  ~~$850,000,000~~ $1,000,000,000, excluding bonds for which refunding 
 19.26  bonds or crossover refunding bonds have been issued. 
 19.27     Sec. 19.  Laws 2001, First Special Session chapter 4, 
 19.28  article 1, section 2, subdivision 5, is amended to read: 
 19.29  Subd. 5.  Office of Tourism 
 19.30     10,219,000      10,111,000 
 19.31  To develop maximum private sector 
 19.32  involvement in tourism, $3,500,000 the 
 19.33  first year and $3,500,000 the second 
 19.34  year of the amounts appropriated for 
 19.35  marketing activities are contingent on 
 19.36  receipt of an equal contribution from 
 19.37  nonstate sources that have been 
 19.38  certified by the commissioner.  Up to 
 19.39  one-half of the match may be given in 
 19.40  in-kind contributions. 
 20.1   In order to maximize marketing grant 
 20.2   benefits, the commissioner must give 
 20.3   priority for joint venture marketing 
 20.4   grants to organizations with year-round 
 20.5   sustained tourism activities.  For 
 20.6   programs and projects submitted, the 
 20.7   commissioner must give priority to 
 20.8   those that encompass two or more areas 
 20.9   or that attract nonresident travelers 
 20.10  to the state. 
 20.11  If an appropriation for either year for 
 20.12  grants is not sufficient, the 
 20.13  appropriation for the other year is 
 20.14  available for it. 
 20.15  The commissioner may use grant dollars 
 20.16  or the value of in-kind services to 
 20.17  provide the state contribution for the 
 20.18  partnership program. 
 20.19  Any unexpended money from general fund 
 20.20  appropriations made under this 
 20.21  subdivision does not cancel but must be 
 20.22  placed in a special advertising account 
 20.23  for use by the office of tourism to 
 20.24  purchase additional media. 
 20.25  Of this amount, $50,000 the first year 
 20.26  is for a one-time grant to the 
 20.27  Mississippi River parkway commission to 
 20.28  support the increased promotion of 
 20.29  tourism along the Great River Road. 
 20.30  $829,000 the first year and $829,000 
 20.31  the second year are for the Minnesota 
 20.32  film board.  $329,000 of this 
 20.33  appropriation in each year is available 
 20.34  only upon receipt by the board of $1 in 
 20.35  matching contributions of money or 
 20.36  in-kind from nonstate sources for every 
 20.37  $3 provided by this appropriation.  Of 
 20.38  this amount, $500,000 the first year 
 20.39  and $500,000 the second year are for 
 20.40  grants to the Minnesota film board for 
 20.41  a film production jobs fund to 
 20.42  stimulate film production in 
 20.43  Minnesota.  This appropriation is to 
 20.44  reimburse film and television producers 
 20.45  for up to ten percent of the documented 
 20.46  wages and cost of services that they 
 20.47  paid to Minnesotans for film and 
 20.48  television production after January 1, 
 20.49  2001. 
 20.50  $150,000 the first year is for 
 20.51  partnerships with local tourism 
 20.52  interests to operate travel information 
 20.53  centers.  This is a one-time 
 20.54  appropriation.  This appropriation is 
 20.55  available until spent. 
 20.56     Sec. 20.  [REINSTATEMENT OF LAW.] 
 20.57     Notwithstanding its repeal by Laws 2001, First Special 
 20.58  Session chapter 4, article 2, section 41, Minnesota Statutes 
 20.59  2000, section 268.976, as amended by Laws 2001, chapter 175, 
 20.60  section 50, is revived. 
 21.1      Sec. 21.  [REPEALER.] 
 21.2      (a) Minnesota Statutes 2000, sections 116J.9672; and 
 21.3   116J.9673, are repealed. 
 21.4      (b) Laws 2001, First Special Session chapter 5, article 3, 
 21.5   section 88, is repealed. 
 21.6      <h>[EFFECTIVE DATE.]</h> Paragraph (b) is effective July 1, 2002. 
 21.7                              ARTICLE 3 
 21.8                          BACKGROUND CHECKS 
 21.9      Section 1.  [181.645] [EXPENSES FOR BACKGROUND CHECKS, 
 21.10  TESTING, AND ORIENTATION.] 
 21.11     Except as provided by section 123B.03 or as otherwise 
 21.12  specifically provided by law, an employer, as defined in section 
 21.13  181.931, or a prospective employer may not require an employee 
 21.14  or prospective employee to pay for expenses incurred in criminal 
 21.15  or background checks, credit checks, or orientation.  An 
 21.16  employer or prospective employer may not require an employee or 
 21.17  prospective employee to pay for the expenses of training or 
 21.18  testing that is required by federal or state law or is required 
 21.19  by the employer for the employee to maintain the employee's 
 21.20  current position, unless the training or testing is required to 
 21.21  obtain or maintain a license, registration, or certification for 
 21.22  the employee or prospective employee.  
 21.23                             ARTICLE 4 
 21.24                        REDEVELOPMENT GRANTS 
 21.25     Section 1.  Minnesota Statutes 2000, section 116J.565, 
 21.26  subdivision 1, is amended to read: 
 21.27     Subdivision 1.  [CHARACTERISTICS.] (a) If applications for 
 21.28  grants exceed the available appropriations, grants shall be made 
 21.29  for sites that, in the commissioner's judgment, provide the 
 21.30  highest return in public benefits for the public costs 
 21.31  incurred.  In making this judgment, the commissioner shall give 
 21.32  priority to redevelopment projects with one or more of the 
 21.33  following characteristics: 
 21.34     (1) the need for redevelopment in conjunction with 
 21.35  contamination remediation needs; 
 21.36     (2) the redevelopment project meets current tax increment 
 22.1   financing requirements for a redevelopment district and tax 
 22.2   increments will contribute to the project; 
 22.3      (3) the redevelopment potential within the municipality; 
 22.4      (4) proximity to public transit if located in the 
 22.5   metropolitan area; and 
 22.6      (5) multijurisdictional projects that take into account the 
 22.7   need for affordable housing, transportation, and environmental 
 22.8   impact. 
 22.9      (b) The factors in paragraph (a), clauses (1) to (5), are 
 22.10  not listed in a rank order of priority; rather the commissioner 
 22.11  may weigh each factor, depending upon the facts and 
 22.12  circumstances, as the commissioner considers appropriate.  The 
 22.13  commissioner may consider other factors that affect the net 
 22.14  return of public benefits for completion of the redevelopment 
 22.15  plan.  The commissioner, notwithstanding the listing of 
 22.16  priorities and the goal of maximizing the return of public 
 22.17  benefits, shall make grants that distribute available money to 
 22.18  sites both within and outside of the metropolitan area.  The 
 22.19  commissioner shall provide a written statement of the supporting 
 22.20  reasons for each grant.  Unless sufficient applications are not 
 22.21  received within the first nine months of a fiscal year for 
 22.22  qualifying sites outside of the metropolitan area, at least ~~25~~ 
 22.23  50 percent of the money provided as grants in a fiscal year must 
 22.24  be made for sites located outside of the metropolitan area.  The 
 22.25  commissioner shall consult with the metropolitan council about 
 22.26  metropolitan area grants. 
 22.27     Sec. 2.  [BROWNFIELD SITE; ACQUISITION.] 
 22.28     Funds in the redevelopment accounts created in Minnesota 
 22.29  Statutes, section 116J.561, and allocated for sites within the 
 22.30  metropolitan area may be used for the purchase of a brownfield 
 22.31  site for a facility to house the department of military affairs' 
 22.32  training and community center. 
 22.33                             ARTICLE 5. 
 22.34                SCHOOL CONFERENCE AND ACTIVITY LEAVE
 22.35     Section 1.  Minnesota Statutes 2000, section 181.9412, is 
 22.36  amended by adding a subdivision to read: 
 23.1      Subd. 1a.  [FOSTER CHILD.] For the purpose of this section, 
 23.2   "child" includes a foster child. 
 23.3                              ARTICLE 6  
 23.4                           YOUTH EMPLOYMENT 
 23.5      Section 1.  Minnesota Statutes 2000, section 119A.45, is 
 23.6   amended to read: 
 23.7      119A.45 [EARLY CHILDHOOD LEARNING AND CHILD PROTECTION 
 23.8   FACILITIES.] 
 23.9      The commissioner may make grants to state agencies and 
 23.10  political subdivisions to construct or rehabilitate facilities 
 23.11  for early childhood programs, with priority to centers in 
 23.12  counties or municipalities with the highest percentage of 
 23.13  children living in poverty.  The commissioner may also make 
 23.14  grants to state agencies and political subdivisions to construct 
 23.15  or rehabilitate facilities for crisis nurseries or parenting 
 23.16  time centers.  The facilities must be owned by the state or a 
 23.17  political subdivision, but may be leased under section 16A.695 
 23.18  to organizations that operate the programs.  The commissioner 
 23.19  must prescribe the terms and conditions of the leases.  A grant 
 23.20  for an individual facility must not exceed $200,000 for each 
 23.21  program that is housed in the facility, up to a maximum of 
 23.22  $500,000 for a facility that houses three programs or more.  
 23.23  Programs include Head Start, early childhood and family 
 23.24  education programs, and other early childhood intervention 
 23.25  programs.  The commissioner must give priority to grants that 
 23.26  involve collaboration among sponsors of programs under this 
 23.27  section and may give priority to projects that collaborate with 
 23.28  child care providers, including all-day and school-age child 
 23.29  care programs, special needs care, sick child care, 
 23.30  nontraditional hour care, and programs that include services to 
 23.31  refugee and immigrant families.  The commissioner may give 
 23.32  priority to grants for programs that will increase their child 
 23.33  care workers' wages as a result of the grant.  ~~At least 25~~ 
 23.34  ~~percent of the amounts appropriated for these grants up to~~ 
 23.35  ~~$50,000 must~~ If there is work that is appropriate for 
 23.36  youthbuild, as mutually agreed upon by the grantee and the local 
 24.1   youthbuild program, considering safety and skills needed, and if 
 24.2   it is demonstrated by youthbuild that using youthbuild will not 
 24.3   increase the overall cost of the project, then priority must be 
 24.4   given to grants for programs that utilize youthbuild under 
 24.5   sections 268.361 to 268.366 ~~or other youth employment and~~ 
 24.6   ~~training programs~~ for at least 25 percent of each grant awarded 
 24.7   or $50,000, whichever is less, of the labor portion of the 
 24.8   construction.  Eligible programs must consult with appropriate 
 24.9   labor organizations to deliver education and training.  State 
 24.10  appropriations must be matched on a 50 percent basis with 
 24.11  nonstate funds.  The matching requirement must apply programwide 
 24.12  and not to individual grants. 
 24.13                             ARTICLE 7 
 24.14                 COMPETITIVE BIDDING FOR UTILITIES 
 24.15     Section 1.  [IDENTIFICATION AND EVALUATION; COMPETITIVE 
 24.16  BIDDING CRITERIA.] 
 24.17     The commissioner of commerce shall identify and evaluate 
 24.18  various criteria that could be used by a utility in evaluating 
 24.19  and selecting bids submitted in a competitive bidding process 
 24.20  established under Minnesota Statutes, section 216B.2422, 
 24.21  subdivision 5. 
 24.22     To assist in the evaluation, the commissioner shall convene 
 24.23  a series of forums at which input from citizens and stakeholders 
 24.24  can be solicited.  The commissioner shall present this 
 24.25  evaluation in a report to the house and senate policy and 
 24.26  finance committees with jurisdiction over energy regulatory 
 24.27  issues and agencies by January 15, 2003." 
 24.28     Delete the title and insert: 
 24.29                         "A bill for an act 
 24.30            relating to economic development; regulating 
 24.31            eligibility for unemployment compensation benefits; 
 24.32            providing for a special assessment for interest on 
 24.33            federal loans; providing for extended unemployment 
 24.34            compensation benefits; providing for unemployment 
 24.35            insurance taxes; providing extra benefits for airline 
 24.36            industry, Fingerhut Companies, Inc., and Farmland 
 24.37            Foods Company; appropriating certain federal funds for 
 24.38            unemployment administration; providing for workforce 
 24.39            development fund transfers; making housekeeping 
 24.40            changes related to the department of trade and 
 24.41            economic development; repealing certain authority 
 24.42            given to city of Chisago relating to annexation 
 25.1             arguments; prohibiting employers from charging certain 
 25.2             expenses to employees; regulating redevelopment 
 25.3             grants; allowing foster parents to take certain 
 25.4             leaves; providing certain youth employment to 
 25.5             construct early childhood program facilities; 
 25.6             reinstating a repealed law; providing unemployment 
 25.7             benefits to certain employees doing food service 
 25.8             contract work for school districts; requiring a study 
 25.9             on unemployment trust fund solvency by the 
 25.10            unemployment insurance advisory council; amending 
 25.11            Minnesota Statutes 2000, sections 48.24, subdivision 
 25.12            5; 116J.565, subdivision 1; 116J.58, subdivision 1; 
 25.13            116J.9665, subdivisions 1, 4, 6; 116M.14, subdivision 
 25.14            4; 116M.18, subdivisions 2, 3, 4, 4a, 5, 8, by adding 
 25.15            a subdivision; 119A.45; 181.9412, by adding a 
 25.16            subdivision; 268.051, subdivision 8; 270B.14, 
 25.17            subdivision 8; 298.22, subdivision 7, by adding a 
 25.18            subdivision; 446A.07, subdivision 4; 446A.12, 
 25.19            subdivision 1; Minnesota Statutes 2001 Supplement, 
 25.20            section 116L.17, subdivision 5; Laws 2001, First 
 25.21            Special Session chapter 4, article 1, section 2, 
 25.22            subdivision 5; proposing coding for new law in 
 25.23            Minnesota Statutes, chapter 181; repealing Minnesota 
 25.24            Statutes 2000, sections 116J.9672; 116J.9673; Laws 
 25.25            2001, First Special Session chapter 5, article 3, 
 25.26            section 88." 
 26.1      We request adoption of this report and repassage of the 
 26.2   bill. 
 26.5      Senate Conferees: 
 26.8   .........................     .........................
 26.9   Ellen R. Anderson             David H. Johnson 
 26.12  .........................     .........................
 26.13  Linda I. Higgins              James P. Metzen  
 26.16  ......................... 
 26.17  Dennis R. Frederickson 
 26.22     House Conferees: 
 26.25  .........................     .........................
 26.26  Dan McElroy                   Bob Gunther 
 26.29  .........................     .........................
 26.30  Ken Wolf                      Gregory M. Davids 
 26.33  ......................... 
 26.34  Anthony Sertich