1.1                          A bill for an act
  1.2             relating to veterans; the military; eliminating 
  1.3             certain duties of the board of directors of the 
  1.4             Minnesota veterans homes; providing greater 
  1.5             flexibility in appointment of members of the armory 
  1.6             building commission; authorizing the state armory 
  1.7             building commission to use funds for construction; 
  1.8             clarifying which municipalities may provide sites for 
  1.9             armories; changing provisions for disposal of unused 
  1.10            armory sites; clarifying authority for levying taxes 
  1.11            for armory construction; clarifying the authority for 
  1.12            conveyance of armories to the state; clarifying 
  1.13            authority for use of funds from surplus facilities of 
  1.14            the veterans homes board; amending Minnesota Statutes 
  1.15            1994, sections 193.142, subdivisions 1, 2, and 3; 
  1.16            193.143; 193.144, subdivisions 1, 2, and 6; 193.145, 
  1.17            subdivisions 2, 4, and 5; 193.148; 198.003, 
  1.18            subdivisions 1, 3, and 4; and 198.065. 
  1.19  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.20     Section 1.  Minnesota Statutes 1994, section 193.142, 
  1.21  subdivision 1, is amended to read: 
  1.22     Subdivision 1.  [CORPORATION CREATED; OFFICERS.] For the 
  1.23  purpose of constructing armories as provided by section 193.141, 
  1.24  there shall be created a corporation to be known as the 
  1.25  "Minnesota state armory building commission."  The members and 
  1.26  governing body of such corporation shall be the adjutant general 
  1.27  and not less than two officers of the line of the national guard 
  1.28  of the state above the grade of lieutenant colonel major, to be 
  1.29  selected and appointed by the adjutant general.  The adjutant 
  1.30  general shall be chair of such commission.  Such commission 
  1.31  shall elect a secretary and a treasurer from the members thereof 
  1.32  other than the adjutant general.  The treasurer of the 
  2.1   corporation shall give a security bond to the corporation in 
  2.2   such sum as the corporation may determine, conditioned in like 
  2.3   manner to the bonds of treasurers of public bodies, to be 
  2.4   approved and filed as the corporation may determine. 
  2.5      Sec. 2.  Minnesota Statutes 1994, section 193.142, 
  2.6   subdivision 2, is amended to read: 
  2.7      Subd. 2.  [FILING; OFFICERS; MEMBERS; VACANCY.] Upon the 
  2.8   filing with the secretary of state of a certificate by the 
  2.9   adjutant general naming the persons authorized to compose such 
  2.10  commission and corporation, and declaring them to be constituted 
  2.11  a commission and corporation hereunder, such persons shall 
  2.12  forthwith become and be such commission and corporation without 
  2.13  further proceeding.  In case of a vacancy in the membership of 
  2.14  such commission and corporation, the remaining members, provided 
  2.15  there are not less than two, shall have power to act and to 
  2.16  elect such temporary officers of the commission as may be 
  2.17  necessary during the existence of the vacancy.  In case at any 
  2.18  time there shall not be at least two qualified officers of the 
  2.19  national guard in addition to the adjutant general eligible to 
  2.20  serve as members of such commission, the adjutant general may 
  2.21  appoint a member or members of such commission from the 
  2.22  lieutenant colonels of the line of the national guard of the 
  2.23  state, so as to provide not more than two members of such 
  2.24  commission in addition to the adjutant general.  The membership 
  2.25  of the members last so appointed shall automatically terminate 
  2.26  upon the appointment and qualification of an officer of the 
  2.27  national guard eligible under subdivision 1, to serve as a 
  2.28  member of such commission, provided the total membership be not 
  2.29  thereby reduced to less than three including the adjutant 
  2.30  general.  In case of a vacancy in the office of the adjutant 
  2.31  general, or in case of the incapacity of the adjutant general to 
  2.32  act as a member and chair of such commission, the officer who is 
  2.33  appointed or authorized according to law to exercise the powers 
  2.34  of the adjutant general for the time being, shall during the 
  2.35  existence of such vacancy or incapacity act as a member and 
  2.36  chair of such commission and have all the powers and duties 
  3.1   herein vested in or imposed upon the adjutant general as a 
  3.2   member and chair of such commission.  The adjutant general shall 
  3.3   certify to the secretary of state all changes in the membership 
  3.4   of the commission, but failure to do so shall not affect the 
  3.5   authority of any new member of the commission or the validity of 
  3.6   any act of the commission after the accession of a new member. 
  3.7      Sec. 3.  Minnesota Statutes 1994, section 193.142, 
  3.8   subdivision 3, is amended to read: 
  3.9      Subd. 3.  [TRUSTEE IN CERTAIN CASES.] In case at any time 
  3.10  all or all but one of the line officers of the national guard 
  3.11  who are members of the commission or who are eligible to serve 
  3.12  as such are in active service outside the state, or where for 
  3.13  any other reason there are not at least two qualified line 
  3.14  officers of the national guard available within the state to 
  3.15  serve as members of the commission, the adjutant general, or in 
  3.16  case of incapacity or of a vacancy in that office, the officer 
  3.17  who is appointed or authorized according to law to exercise the 
  3.18  powers of the adjutant general for the time being, shall become 
  3.19  trustee of the commission and shall have all the powers and 
  3.20  perform all the duties of the commission and its officers so 
  3.21  long as such conditions exist.  Upon the occurrence of such 
  3.22  conditions the officer becoming trustee shall file with the 
  3.23  Secretary of State a certificate reciting the circumstances and 
  3.24  declaring that that officer assumes office as such trustee, and 
  3.25  thereupon shall be deemed to have qualified as such, with all 
  3.26  the authority hereby conferred.  Any change in such office shall 
  3.27  be likewise certified by the officers succeeding as trustee.  
  3.28  Upon the termination of such conditions, the adjutant general or 
  3.29  an authorized substitute shall certify the circumstances in like 
  3.30  manner, with the names of the officers then authorized by law to 
  3.31  compose the commission, and thereupon such officers shall 
  3.32  constitute the commission, and the authority of the trustee 
  3.33  shall terminate. 
  3.34     Sec. 4.  Minnesota Statutes 1994, section 193.143, is 
  3.35  amended to read: 
  3.36     193.143 [STATE ARMORY BUILDING COMMISSION, POWERS.] 
  4.1      Such corporation, subject to the conditions and limitations 
  4.2   prescribed in sections 193.141 to 193.149, shall possess all the 
  4.3   powers of a body corporate necessary and convenient to 
  4.4   accomplish the objectives and perform the duties prescribed by 
  4.5   sections 193.141 to 193.149, including the following, which 
  4.6   shall not be construed as a limitation upon the general powers 
  4.7   hereby conferred: 
  4.8      (1) To acquire by lease, purchase, gift, or condemnation 
  4.9   proceedings all necessary right, title, and interest in and to 
  4.10  the lands required for a site for a new armory and all other 
  4.11  real or personal property required for the purposes contemplated 
  4.12  by the military code and to hold and dispose of the same, 
  4.13  subject to the conditions and limitations herein prescribed; 
  4.14  provided that any such real or personal property or interest 
  4.15  therein may be so acquired or accepted subject to any condition 
  4.16  which may be imposed thereon by the grantor or donor and agreed 
  4.17  to by such corporation not inconsistent with the proper use of 
  4.18  such property by the state for armory or military purposes as 
  4.19  herein provided. 
  4.20     (2) To exercise the right of eminent domain in the manner 
  4.21  provided by chapter 117, for the purpose of acquiring any 
  4.22  property which such corporation is herein authorized to acquire 
  4.23  by condemnation; provided, that the corporation may take 
  4.24  possession of any such property so to be acquired at any time 
  4.25  after the filing of the petition describing the same in 
  4.26  condemnation proceedings; provided further, that this shall not 
  4.27  preclude the corporation from abandoning the condemnation of any 
  4.28  such property in any case where possession thereof has not been 
  4.29  taken. 
  4.30     (3) To construct and equip new armories as authorized 
  4.31  herein; to pay therefor out of the funds obtained as hereinafter 
  4.32  provided and to hold, manage, and dispose of such armory, 
  4.33  equipment, and site as hereinafter provided.  The total amount 
  4.34  of bonds issued on account of such armories shall not exceed the 
  4.35  amount of the cost thereof; provided also, that the total bonded 
  4.36  indebtedness of the commission shall not at any time exceed the 
  5.1   aggregate sum of $7,000,000. 
  5.2      (4) To sue and be sued. 
  5.3      (5) To contract and be contracted with in any matter 
  5.4   connected with any purpose or activity within the powers of such 
  5.5   corporations as herein specified; provided, that no officer or 
  5.6   member of such corporation shall be personally interested, 
  5.7   directly or indirectly, in any contract in which such 
  5.8   corporation is interested. 
  5.9      (6) To employ any and all professional and nonprofessional 
  5.10  services and all agents, employees, workers, and servants 
  5.11  necessary and proper for the purposes and activities of such 
  5.12  corporation as authorized or contemplated herein and to pay for 
  5.13  the same out of any portion of the income of the corporation 
  5.14  available for such purposes or activities.  The officers and 
  5.15  members of such corporation shall not receive any compensation 
  5.16  therefrom, but may receive their reasonable and necessary 
  5.17  expenses incurred in connection with the performance of their 
  5.18  duties; provided however, that whenever the duties of any member 
  5.19  of the commission require full time and attention the commission 
  5.20  may compensate the member therefor at such rates as it may 
  5.21  determine. 
  5.22     (7) To borrow money and issue bonds for the purposes and in 
  5.23  the manner and within the limitations herein specified, and to 
  5.24  pledge any and all property and income of such corporation 
  5.25  acquired or received as herein provided to secure the payment of 
  5.26  such bonds, subject to the provisions and limitations herein 
  5.27  prescribed, and to redeem any such bonds if so provided therein 
  5.28  or in the mortgage or trust deed accompanying the same. 
  5.29     (8) To use for the following purposes any available money 
  5.30  received by such corporation from any source as herein provided 
  5.31  in excess of those required for the payment of the cost of such 
  5.32  armory and for the payment of any bonds issued by the 
  5.33  corporation and interest thereon according to the terms of such 
  5.34  bonds or of any mortgage or trust deed accompanying the same: 
  5.35     (a) To pay the necessary incidental expenses of carrying on 
  5.36  the business and activities of the corporation as herein 
  6.1   authorized; 
  6.2      (b) To pay the cost of operating, maintaining, repairing, 
  6.3   and improving such new armories; 
  6.4      (c) If any further excess moneys remain, to purchase upon 
  6.5   the open market at or above or below the face or par value 
  6.6   thereof any bonds issued by the corporation as herein 
  6.7   authorized; provided, that any bonds so purchased shall 
  6.8   thereupon be canceled. 
  6.9      (9) To adopt and use a corporate seal. 
  6.10     (10) To adopt all needful bylaws and rules for the conduct 
  6.11  of business and affairs of such corporation and for the 
  6.12  management and use of all armories while under the ownership and 
  6.13  control of such corporation as herein provided, not inconsistent 
  6.14  with the use of such armory for armory or military purposes. 
  6.15     (11) Such corporation shall issue no stock. 
  6.16     (12) No officer or member of such corporation shall have 
  6.17  any personal share or interest in any funds or property of the 
  6.18  corporation or be subject to any personal liability by reason of 
  6.19  any liability of the corporation. 
  6.20     (13) The Minnesota state armory building commission created 
  6.21  under section 193.142 shall keep all money and credits received 
  6.22  by it as a single fund, to be designated as the "Minnesota state 
  6.23  armory building commission fund," with separate accounts for 
  6.24  each armory; and the commission may make transfers of money from 
  6.25  funds appertaining to any armory under its control for use for 
  6.26  any other such armory; provided such transfers shall be made 
  6.27  only from money on hand, from time to time, in excess of the 
  6.28  amounts required to meet payments of interest or principal on 
  6.29  bonds or other obligations appertaining to the armory to which 
  6.30  such funds pertain and only when necessary to pay expenses of 
  6.31  construction, operation, maintenance and debt service of such 
  6.32  other armory; provided further, no such transfer of any money 
  6.33  paid for the support of any armory by the municipality in which 
  6.34  such armory is situated shall be made by the commission. 
  6.35     (14) The corporation created under section 193.142 may 
  6.36  designate one or more state or national banks as depositories of 
  7.1   its funds, and may provide, upon such conditions as the 
  7.2   corporation may determine, that the treasurer of the corporation 
  7.3   shall be exempt from personal liability for loss of funds 
  7.4   deposited in any such depository due to the insolvency or other 
  7.5   acts or omissions of such depository. 
  7.6      (15) The governor is empowered to apply for grants of 
  7.7   money, equipment, and materials which may be made available to 
  7.8   the states by the federal government for leasing, building, and 
  7.9   equipping armories for the use of the military forces of the 
  7.10  state which are reserve components of the armed forces of the 
  7.11  United States, whenever the governor is satisfied that the 
  7.12  conditions under which such grants are offered by the federal 
  7.13  government, are for the best interests of the state and are not 
  7.14  inconsistent with the laws of the state relating to armories, 
  7.15  and to accept such grants in the name of the state.  The 
  7.16  Minnesota state armory building commission is designated as the 
  7.17  agency of the state to receive such grants and to use them for 
  7.18  armory purposes as prescribed in this chapter, and by federal 
  7.19  laws, and regulations not inconsistent therewith. 
  7.20     Sec. 5.  Minnesota Statutes 1994, section 193.144, 
  7.21  subdivision 1, is amended to read: 
  7.22     Subdivision 1.  [AUTHORITY TO PROVIDE SITE.] Any county or 
  7.23  municipality as defined in section 471.345, subdivision 1, 
  7.24  desiring to construct a new armory may provide a site therefor 
  7.25  as hereinafter provided.  
  7.26     Sec. 6.  Minnesota Statutes 1994, section 193.144, 
  7.27  subdivision 2, is amended to read: 
  7.28     Subd. 2.  [ACQUISITION OF SITE; CONVEYANCE TO CORPORATION.] 
  7.29  If such county or municipality as defined in section 471.345, 
  7.30  subdivision 1, shall desire to have a new armory constructed, 
  7.31  such county or municipality may secure by purchase, gift, or 
  7.32  condemnation, and may convey to such corporation, a site for 
  7.33  such new armory approved as suitable therefor by the adjutant 
  7.34  general.  In case such site or any part thereof or interest 
  7.35  therein is owned or controlled by the board of park 
  7.36  commissioners of such county or municipality or by any other 
  8.1   governmental agency therein except the state or county or 
  8.2   municipality, such board or other agency may convey the same by 
  8.3   way of gift or sale to such corporation without charge.  
  8.4      Sec. 7.  Minnesota Statutes 1994, section 193.144, 
  8.5   subdivision 6, is amended to read: 
  8.6      Subd. 6.  [DISPOSAL OF UNUSED SITE.] In case any land 
  8.7   acquired for armory site purposes hereunder has been donated to 
  8.8   such corporation by such county or municipality or by other 
  8.9   governmental agency except the state, and in case such land or 
  8.10  any part thereof shall thereafter not be used for armory 
  8.11  purposes for a continuous period of more than ten years, not 
  8.12  including the period of any war or other emergency in which the 
  8.13  armed forces of the state may be engaged, the title to such 
  8.14  unused land or part thereof shall thereupon pass, revert and be 
  8.15  vested in such county, municipality or other governmental agency 
  8.16  which donated the same, subject to any encumbrances that may 
  8.17  have been lawfully placed thereon by such corporation or 
  8.18  otherwise the county or municipality may provide written notice 
  8.19  to the adjutant general and, if the property is not used for 
  8.20  armory purposes within one year from the notice, the adjutant 
  8.21  general shall reconvey the property to the donor county or 
  8.22  municipality. 
  8.23     Sec. 8.  Minnesota Statutes 1994, section 193.145, 
  8.24  subdivision 2, is amended to read: 
  8.25     Subd. 2.  [TAX LEVY.] A county or municipality, as defined 
  8.26  in section 471.345, subdivision 1, in which an armory has been 
  8.27  constructed or is to be constructed hereunder may by resolution 
  8.28  of its governing body irrevocably provide for levying and 
  8.29  collecting annually for a specified period, not exceeding 40 
  8.30  years, a tax on the taxable property in the county or 
  8.31  municipality. 
  8.32     The proceeds of the levy shall be paid to the corporation 
  8.33  for the purposes herein prescribed.  The county or municipality 
  8.34  may make the levies and payments and bind itself thereto by 
  8.35  resolution of its governing body.  The provisions of the 
  8.36  resolution may be made conditional upon the giving of an 
  9.1   agreement by the adjutant general as authorized in subdivision 
  9.2   4.  The obligations of the county or municipality to levy, 
  9.3   collect, and pay over the taxes shall not be deemed to 
  9.4   constitute an indebtedness of the county or municipality within 
  9.5   the meaning of any provision of law or of its charter limiting 
  9.6   its total or net indebtedness, and such taxes may be levied and 
  9.7   collected without regard to any charter provision limiting the 
  9.8   amount or rate of taxes which such county or municipality is 
  9.9   otherwise authorized to levy.  
  9.10     Sec. 9.  Minnesota Statutes 1994, section 193.145, 
  9.11  subdivision 4, is amended to read: 
  9.12     Subd. 4.  [PAYMENTS BY ADJUTANT GENERAL.] In addition to 
  9.13  the payments by the state under subdivision 3, The adjutant 
  9.14  general is hereby authorized to pay to such corporation, out of 
  9.15  any moneys which may from time to time be appropriated to and 
  9.16  for the military department and not appropriated or set apart 
  9.17  for any other specific purpose, the sum of not less than $3,000 
  9.18  per year for each unit of the national guard quartered in such 
  9.19  armory when only one such unit is so quartered, and the sum of 
  9.20  not less than $2,000 per year for each additional unit when more 
  9.21  than one such unit is so quartered, and may bind the office of 
  9.22  the adjutant general, both currently and in the future, by 
  9.23  agreement to such corporation to make such payments in a 
  9.24  specific amount or amounts out of such appropriations for a 
  9.25  period of not more than 40 years. 
  9.26     Sec. 10.  Minnesota Statutes 1994, section 193.145, 
  9.27  subdivision 5, is amended to read: 
  9.28     Subd. 5.  [LEASE TO STATE.] Upon completion of each new 
  9.29  armory such corporation shall lease the same to the state 
  9.30  through the adjutant general, until such armory and site shall 
  9.31  be conveyed to the state as hereinafter provided. Such lease 
  9.32  shall be made upon such terms and conditions as shall secure to 
  9.33  the state the full and complete use of such armory, for armory 
  9.34  and military purposes so far as may be required for the 
  9.35  headquarters, organizations, and units of the national guard 
  9.36  stationed in such municipality, and upon such other terms and 
 10.1   conditions not inconsistent therewith as may be agreed upon; 
 10.2   provided, that, except for such use of such property for armory 
 10.3   and military purposes which will be secured to the state as 
 10.4   aforesaid, such lease shall be subject to any encumbrance placed 
 10.5   upon the property to secure the payment of any bonds issued as 
 10.6   herein provided.  No further consideration for such lease shall 
 10.7   be required than the payments to be made by the state as 
 10.8   provided by subdivisions 3 and subdivision 4.  Otherwise, and so 
 10.9   far as it is not inconsistent with the terms and conditions of 
 10.10  such lease to the state and so far as will not interfere with 
 10.11  the use by the state of such property for armory or military 
 10.12  purposes, such corporation may lease, rent, or otherwise make 
 10.13  use of such new armory building or any part thereof for such 
 10.14  purposes and upon such terms as such corporation may deem 
 10.15  proper, and may use the rents and profits therefrom for the 
 10.16  purposes herein provided. 
 10.17     Sec. 11.  Minnesota Statutes 1994, section 193.148, is 
 10.18  amended to read: 
 10.19     193.148 [CONVEYANCE TO STATE.] 
 10.20     When payment has been made of all indebtedness incurred by 
 10.21  such corporation incident to the procurement, erection, 
 10.22  equipment, and operation of any armory built under the 
 10.23  provisions of sections 193.141 to 193.149, including the payment 
 10.24  in full of the principal and interest of all bonds issued by 
 10.25  such corporation to cover the cost of such armory or the full 
 10.26  repayment of any commission funds expended for the construction 
 10.27  of such armory, such corporation shall transfer and convey such 
 10.28  armory building and the site thereof to the state of Minnesota, 
 10.29  for military purposes, to be administered as are other 
 10.30  state-owned armories.  
 10.31     Any unencumbered balance then held by the commission 
 10.32  accruing to such armory shall be paid over to the adjutant 
 10.33  general retained to be applied to the future maintenance, 
 10.34  repair, and equipment of such armory, as provided for in section 
 10.35  193.29 armories. 
 10.36     Sec. 12.  Minnesota Statutes 1994, section 198.003, 
 11.1   subdivision 1, is amended to read: 
 11.2      Subdivision 1.  [POLICY; RULES; REPORT.] It is the duty of 
 11.3   the board and The board has the power to: 
 11.4      (1) shall determine policy and, subject to chapter 14, 
 11.5   adopt, amend, and repeal rules for the governance of the homes, 
 11.6   and to adopt emergency rules necessary to implement this 
 11.7   chapter.  With respect to residents' administrative appeal time 
 11.8   periods that are not established by statute, the board may 
 11.9   create by rule reasonable time periods within which a resident 
 11.10  must appeal an administrative determination to the next 
 11.11  administrative level.  If the determination is not appealed 
 11.12  within the time set by rule, the determination becomes final; 
 11.13     (2) report quarterly to the governor on the management, 
 11.14  operations, and quality of care provided at the homes; and 
 11.15     (3).  The board shall take other action as provided by law. 
 11.16  Emergency rules adopted under this section are not effective 
 11.17  after December 31, 1989. 
 11.18     Sec. 13.  Minnesota Statutes 1994, section 198.003, 
 11.19  subdivision 3, is amended to read: 
 11.20     Subd. 3.  [USE OF FACILITIES CAMPUS.] The board may allow 
 11.21  veterans organizations or public or private social service, 
 11.22  educational, or rehabilitation agencies or organizations and 
 11.23  their clients to use surplus facilities space on a home's 
 11.24  campus, staff, and other resources of the board and may require 
 11.25  the participating agencies or organizations to pay for that use. 
 11.26     Sec. 14.  Minnesota Statutes 1994, section 198.003, 
 11.27  subdivision 4, is amended to read: 
 11.28     Subd. 4.  [VETERANS HOMES RESOURCES ACCOUNT.] Money 
 11.29  received by the board under subdivision 3 must be deposited in 
 11.30  the state treasury and credited to a veterans homes resources 
 11.31  account in the special revenue fund.  Money in the account is 
 11.32  appropriated to the board to operate, maintain, and repair 
 11.33  facilities make repairs at the campus used under subdivision 3, 
 11.34  and to pay including payment of associated legal fees and 
 11.35  expenses. 
 11.36     Sec. 15.  Minnesota Statutes 1994, section 198.065, is 
 12.1   amended to read: 
 12.2      198.065 [CHIROPRACTIC CARE AVAILABILITY.] 
 12.3      In addition to the other services now provided to residents 
 12.4   of the Minnesota veterans homes, the board shall provide 
 12.5   chiropractic services.  The services shall may be provided, as 
 12.6   appropriations permit, without charge to residents by a licensed 
 12.7   chiropractor who is either employed by the board for the purpose 
 12.8   or who has contracted with the board to provide the services.