1.1                          A bill for an act
  1.2             relating to labor relations; requiring arbitration in 
  1.3             certain circumstances; establishing procedures; 
  1.4             providing penalties; amending Minnesota Statutes 1996, 
  1.5             sections 179.06, by adding a subdivision; and 179A.16, 
  1.6             subdivision 3, and by adding a subdivision. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1996, section 179.06, is 
  1.9   amended by adding a subdivision to read: 
  1.10     Subd. 3.  [MANDATORY ARBITRATION.] (a) Arbitration is 
  1.11  mandatory upon request of either the employer or the exclusive 
  1.12  representative upon service of a written request by either party 
  1.13  on the other party and the commissioner of mediation services if:
  1.14     (1) the exclusive representative became the accredited 
  1.15  bargaining representative of the employees or group of employees 
  1.16  more than 180 days but less than 365 days before the request; 
  1.17     (2) the employees or group of employees have not been 
  1.18  represented by an exclusive representative within the two years 
  1.19  preceding accreditation of the exclusive representative; 
  1.20     (3) the employer and the exclusive representative have 
  1.21  failed to negotiate a collective bargaining agreement; and 
  1.22     (4) mediation under subdivision 1 failed to bring about a 
  1.23  settlement on the terms of the collective bargaining agreement. 
  1.24     (b) The written request must specify the items that the 
  1.25  party wishes to submit to binding arbitration.  Within 15 days 
  1.26  of the request, the commissioner shall determine whether further 
  2.1   mediation of the dispute would be appropriate and shall only 
  2.2   certify matters in cases where the commissioner believes that 
  2.3   both parties have made substantial, good-faith bargaining 
  2.4   efforts and that an impasse has occurred. 
  2.5      (c) Within 15 days from the time the commissioner has 
  2.6   certified a matter to be ready for binding arbitration in 
  2.7   accordance with paragraph (b), both parties shall submit their 
  2.8   final positions on the items in dispute.  The commissioner shall 
  2.9   submit these matters once the 15-day period for the submission 
  2.10  of final positions has elapsed, along with any final positions 
  2.11  submitted by the parties.  In the event of a dispute over the 
  2.12  items to be submitted to binding arbitration, the commissioner 
  2.13  shall determine the items to be decided by the arbitration panel 
  2.14  based on the efforts to mediate the dispute and the positions 
  2.15  submitted by the parties during the course of those efforts.  
  2.16  The parties may stipulate items to be excluded from arbitration. 
  2.17     (d) The parties may, by mutual agreement, select one or 
  2.18  three persons who are members of the arbitration roster 
  2.19  maintained by the commissioner to act as the arbitration panel 
  2.20  in their dispute.  In the event of a mutual agreement on the 
  2.21  arbitrator or the members of the arbitration panel, the persons 
  2.22  selected shall serve as the arbitration panel.  If the parties 
  2.23  have not mutually agreed upon the arbitrator or the panel 
  2.24  members by the time the commissioner certifies the matter, the 
  2.25  commissioner shall provide the parties to the arbitration a list 
  2.26  of seven randomly selected arbitrators from the roster.  The 
  2.27  commissioner shall mail the list of arbitrators to the parties 
  2.28  within five working days.  The parties shall alternately strike 
  2.29  names from the list of arbitrators until only a single 
  2.30  arbitrator remains, unless the parties request and mutually 
  2.31  agree to use a panel of three arbitrators.  If the parties are 
  2.32  unable to agree on who shall strike the first name, the question 
  2.33  must be decided by the flip of a coin.  The arbitrator or 
  2.34  arbitrators remaining after the striking procedure constitute 
  2.35  the arbitration panel. 
  2.36     (e) The arbitrator or arbitration panel selected by the 
  3.1   parties has jurisdiction over the items of dispute certified to 
  3.2   and submitted by the commissioner.  However, the arbitrator or 
  3.3   panel has no jurisdiction or authority to entertain any matter 
  3.4   or issue that is not a term and condition of employment, unless 
  3.5   the matter or issue was included in the employer's final 
  3.6   position.  Any order or part of an order issued by an arbitrator 
  3.7   or a panel that determines a matter or issue that is not a term 
  3.8   or condition of employment and was not included in the 
  3.9   employer's final position is void and of no effect.  A decision 
  3.10  of the arbitrator or panel that violates, is in conflict with, 
  3.11  or causes a penalty to be incurred under:  (1) the laws of 
  3.12  Minnesota; or (2) rules promulgated under law, has no force or 
  3.13  effect and shall be returned to the arbitrator or panel to make 
  3.14  it consistent with the laws or rules. 
  3.15     (f) If the parties are unable to agree on a prompt, 
  3.16  mutually acceptable date for the arbitrator or the panel to 
  3.17  meet, the arbitrator or panel may propose a series of dates to 
  3.18  meet.  The parties shall alternatively strike dates until a 
  3.19  single date remains.  The hearing must be held on that date. 
  3.20     The arbitrator or panel may issue subpoenas requiring the 
  3.21  attendance and testimony of witnesses and the production of 
  3.22  evidence that relates to any matter involved in any dispute 
  3.23  before it.  The arbitrator or panel may administer oaths and 
  3.24  affidavits and may examine witnesses.  Attendance of witnesses 
  3.25  and the production of evidence may be required from any place in 
  3.26  the state at any hearing.  However, the arbitrator's or panel's 
  3.27  meeting shall be held in the county where the largest number of 
  3.28  newly represented employees are located, unless another location 
  3.29  is selected by agreement of the parties.  In case of refusal to 
  3.30  obey a subpoena issued under this section, the district court of 
  3.31  the state for the county where the proceeding is pending or 
  3.32  where the person who refuses to obey is found, or resides, or 
  3.33  transacts business shall, on application of the arbitrator or 
  3.34  panel, have jurisdiction to issue an order requiring the person 
  3.35  to appear before the panel, to produce evidence, or to give 
  3.36  testimony.  Failure to obey the order may be punished by the 
  4.1   court as a contempt as provided under chapter 588.  
  4.2      (g) The panel's order shall be issued by a majority vote of 
  4.3   its members.  The arbitrator's or panel's order shall resolve 
  4.4   the issues in dispute between the parties as submitted by the 
  4.5   commissioner.  If the parties agree in writing, the arbitrator 
  4.6   or panel shall be restricted to selecting between the final 
  4.7   offers of the parties on each impasse item, or the final offer 
  4.8   of one or the other parties in its entirety.  The arbitrator's 
  4.9   or panel's decision and order shall be final and binding on all 
  4.10  parties.  
  4.11     The arbitrator or panel shall render its order within 30 
  4.12  days from the date that all arbitration proceedings have 
  4.13  concluded.  This deadline may be extended only with the approval 
  4.14  of the commissioner.  The arbitrator's or panel's order must be 
  4.15  for the period stated in the order. 
  4.16     The arbitrator or panel shall send its decision and orders 
  4.17  to the commissioner, the appropriate representative of the 
  4.18  employer, and the employees.  If any issues submitted to 
  4.19  arbitration are settled voluntarily before the arbitrator or 
  4.20  panel issues a decision, the arbitrator or panel shall report 
  4.21  the settlement to the commissioner.  
  4.22     The parties may at any time before or after the issuance of 
  4.23  an order of the arbitrator or arbitration panel, agree upon 
  4.24  terms and conditions of employment regardless of the terms and 
  4.25  conditions of employment determined by the order.  The parties 
  4.26  shall, if so agreeing, execute a written contract or memorandum 
  4.27  of contract.  
  4.28     (h) The arbitrator or members of the panel shall be paid 
  4.29  actual and necessary traveling and other expenses incurred in 
  4.30  the performance of their duties plus an allowance of $180 for 
  4.31  each day or part of a day spent considering a dispute.  All 
  4.32  costs of the arbitrator or panel shall be shared equally by the 
  4.33  parties to the dispute. 
  4.34     (i) If arbitration is requested under this subdivision, a 
  4.35  strike by employees or a lockout by an employer is prohibited 
  4.36  unless the employee in the case of a lockout or the employer in 
  5.1   the case of a strike does not comply with the terms of an 
  5.2   arbitration order issued under this subdivision. 
  5.3      Sec. 2.  Minnesota Statutes 1996, section 179A.16, is 
  5.4   amended by adding a subdivision to read: 
  5.5      Subd. 2a.  [ARBITRATION; FIRST REPRESENTATION.] (a) 
  5.6   Arbitration is mandatory upon the request of either the employer 
  5.7   or the exclusive representative of a unit of employees upon 
  5.8   service of a written request by either party on the other party 
  5.9   and the commissioner of mediation services if: 
  5.10     (1) the exclusive representative was certified to represent 
  5.11  the employees or unit of employees more than 180 days but less 
  5.12  than 365 days before the request; 
  5.13     (2) the employees or unit of employees have not been 
  5.14  represented by an exclusive representative within the two years 
  5.15  preceding certification of the exclusive representative; 
  5.16     (3) the employer and the exclusive representative have 
  5.17  failed to negotiate a contract or memorandum of contract; and 
  5.18     (4) mediation under section 179A.15 failed to bring about a 
  5.19  contract or memorandum of contract setting the terms and 
  5.20  conditions of employment. 
  5.21     (b) The written request must specify the items the party 
  5.22  wishes to submit to binding arbitration.  Within 15 days of the 
  5.23  request, the commissioner shall determine whether further 
  5.24  mediation of the dispute would be appropriate and shall only 
  5.25  certify matters to the board in cases where the commissioner 
  5.26  believes that both parties have made substantial, good-faith 
  5.27  bargaining efforts and that an impasse has occurred. 
  5.28     (c) This subdivision does not apply to a group or unit of 
  5.29  employees for two years after its creation as a result of a 
  5.30  school district consolidation under chapter 122. 
  5.31     (d) If arbitration is requested under this subdivision, a 
  5.32  strike by employees or a lockout by an employer is prohibited 
  5.33  unless the employee in the case of a lockout or the employer in 
  5.34  the case of a strike does not comply with the terms of an 
  5.35  arbitration order issued under this subdivision. 
  5.36     Sec. 3.  Minnesota Statutes 1996, section 179A.16, 
  6.1   subdivision 3, is amended to read: 
  6.2      Subd. 3.  [PROCEDURE.] Within 15 days from the time the 
  6.3   commissioner has certified a matter to be ready for binding 
  6.4   arbitration because of an agreement under subdivision 1 or in 
  6.5   accordance with subdivision 2 or 2a, both parties shall submit 
  6.6   their final positions on the items in dispute.  In the event of 
  6.7   a dispute over the items to be submitted to binding arbitration 
  6.8   involving essential employees or first represented employees 
  6.9   under subdivision 2a, the commissioner shall determine the items 
  6.10  to be decided by arbitration based on the efforts to mediate the 
  6.11  dispute and the positions submitted by the parties during the 
  6.12  course of those efforts.  The parties may stipulate items to be 
  6.13  excluded from arbitration.