1.1                          A bill for an act 
  1.2             relating to state government; rulemaking; enacting, 
  1.3             eliminating, continuing, or modifying certain 
  1.4             exemptions from the rulemaking requirements of the 
  1.5             administrative procedures act; making technical and 
  1.6             conforming changes; amending Minnesota Statutes 1996, 
  1.7             sections 3.305, by adding a subdivision; 14.03, 
  1.8             subdivision 3, and by adding subdivisions; 14.386; 
  1.9             14.47, subdivision 1; 15.50, subdivision 2; 16A.632, 
  1.10            subdivision 2; 16B.18, subdivision 3; 16D.11, 
  1.11            subdivision 7; 17.03, subdivision 10; 17.54, 
  1.12            subdivision 4; 17.56, subdivision 2; 17.57, 
  1.13            subdivision 1; 17.64, subdivision 2; 18.022, 
  1.14            subdivision 9; 18.0227, subdivision 3; 32.394, 
  1.15            subdivision 12; 41B.07; 41C.13; 43A.182; 48.221; 
  1.16            50.175, subdivision 2; 51A.361; 52.17, subdivision 2; 
  1.17            53.07, subdivision 1; 60A.13, subdivision 6; 60K.19, 
  1.18            subdivision 6; 61B.21, subdivision 1; 62E.10, 
  1.19            subdivision 8; 62J.04, subdivision 1; 62J.152, 
  1.20            subdivision 4; 62J.61; 62L.13, subdivision 3; 62N.23; 
  1.21            62N.25, subdivision 6; 65B.28, subdivision 3; 79.34, 
  1.22            subdivisions 1 and 2a; 79.362; 84.98, subdivision 2; 
  1.23            85.045, subdivision 3; 85A.02, subdivision 5b; 85A.05, 
  1.24            subdivision 2; 88.80, subdivision 2; 97A.085, 
  1.25            subdivision 4a; 115A.11, subdivision 2; 115A.20; 
  1.26            115A.58, subdivision 2; 116.17, subdivision 2; 116.44, 
  1.27            subdivision 1; 116C.06, subdivision 1; 116O.05, 
  1.28            subdivision 3; 123.3514, subdivision 8; 124.41, 
  1.29            subdivision 2; 124.46, subdivision 2; 124.648, 
  1.30            subdivision 3; 128C.02, subdivision 4; 129C.10, 
  1.31            subdivision 3; 136A.40; 145.925, subdivision 9; 
  1.32            147A.26; 148B.66, subdivision 3; 148C.03, subdivision 
  1.33            1; 150A.04, subdivision 5; 152.02, subdivision 12; 
  1.34            153A.15, subdivision 3; 161.1231, subdivision 5; 
  1.35            167.50, subdivision 2; 169.06, subdivision 1; 169.452; 
  1.36            169.99, subdivision 2; 171.321, subdivision 2; 174.51, 
  1.37            subdivision 2; 176.102, subdivision 2; 176.136, 
  1.38            subdivision 1a; 176A.08; 182.655, subdivision 1; 
  1.39            216D.03, subdivision 2; 240A.02, subdivision 2; 
  1.40            244.13, subdivision 1; 245.494, subdivision 1; 
  1.41            245A.09, subdivision 10; 256.027; 256.9357, 
  1.42            subdivision 3; 256.9685, subdivision 1; 256.969, 
  1.43            subdivision 3a; 256B.431, subdivision 2e; 256B.434, 
  1.44            subdivision 12; 256B.501, subdivision 10; 256B.502; 
  1.45            256B.503; 273.112, subdivision 6a; 299F.093, 
  1.46            subdivision 1; 325F.665, subdivision 6; 346.58; 
  2.1             347.51, subdivision 2a; 401.03; 458A.03, subdivision 
  2.2             2; 475A.06, subdivision 2; 507.09; 518.14, subdivision 
  2.3             2; 518.611, subdivision 9; 518.613, subdivision 6; 
  2.4             518.64, subdivision 5; 518.641, subdivision 4; 624.22, 
  2.5             subdivision 1; and 624.7151; Laws 1988, chapter 688, 
  2.6             article 21, section 7, subdivision 1; and Laws 1991, 
  2.7             chapter 265, article 4, section 28; proposing coding 
  2.8             for new law in Minnesota Statutes, chapters 14; and 
  2.9             128C; repealing Minnesota Statutes 1996, sections 
  2.10            14.38, subdivisions 5, 6, 7, 8, and 9; 14.387; 126.56, 
  2.11            subdivision 8; 214.06, subdivision 3; 469.173, 
  2.12            subdivision 2; and 469.308, subdivision 2. 
  2.13  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  2.14                             ARTICLE 1
  2.15             EXEMPTIONS ELIMINATED OR NO LONGER NEEDED; 
  2.16                        RULEMAKING REQUIRED 
  2.17     Section 1.  Minnesota Statutes 1996, section 32.394, 
  2.18  subdivision 12, is amended to read: 
  2.19     Subd. 12.  [WATER TESTING GUIDELINES.] The commissioner of 
  2.20  agriculture, in consultation with the commissioner of health, 
  2.21  shall establish guidelines for the testing required under 
  2.22  section 32.394, subdivision 11, clause (3).  The guidelines are 
  2.23  not subject to chapter 14. 
  2.24     Sec. 2.  Minnesota Statutes 1996, section 41B.07, is 
  2.25  amended to read: 
  2.26     41B.07 [RULES.] 
  2.27     The authority may adopt rules for the efficient 
  2.28  administration of sections 41B.01 to 41B.23.  The rules need not 
  2.29  be adopted in compliance with chapter 14. 
  2.30     Sec. 3.  Minnesota Statutes 1996, section 41C.13, is 
  2.31  amended to read: 
  2.32     41C.13 [RULES.] 
  2.33     The authority may adopt rules for the efficient 
  2.34  administration of this chapter.  The rules need not be adopted 
  2.35  in compliance with chapter 14. 
  2.36     Sec. 4.  Minnesota Statutes 1996, section 43A.182, is 
  2.37  amended to read: 
  2.38     43A.182 [PAYMENT OF SALARY DIFFERENTIAL FOR RESERVE FORCES 
  2.39  ON ACTIVE DUTY.] 
  2.40     Each agency head shall pay to each eligible member of the 
  2.41  reserve components of the armed forces of the United States an 
  2.42  amount equal to the difference between the member's basic active 
  3.1   duty military salary and the salary the member would be paid as 
  3.2   an active state employee, including any adjustments the member 
  3.3   would have received if not on leave of absence.  This payment 
  3.4   may be made only to a person whose basic active duty military 
  3.5   salary is less than the salary the person would be paid as an 
  3.6   active state employee.  Payments must be made at the intervals 
  3.7   at which the member received pay as a state employee.  Back pay 
  3.8   authorized by this section may be paid in a lump sum.  Such pay 
  3.9   shall not extend beyond four years from the date the employee 
  3.10  was called to active duty plus such additional time in each case 
  3.11  as such employee may be required to serve pursuant to law. 
  3.12     An eligible member of the reserve components of the armed 
  3.13  forces of the United States is a reservist or National Guard 
  3.14  member who was an employee of the state of Minnesota at the time 
  3.15  the member was called to active duty and who was or is called to 
  3.16  active duty after August 1, 1990, because of Operation Desert 
  3.17  Shield, Operation Desert Storm, or any other action taken by the 
  3.18  armed forces relating to hostilities between the United States 
  3.19  and the Republic of Iraq. 
  3.20     For the purposes of this section, an employee of the state 
  3.21  is an employee of the executive, judicial, or legislative 
  3.22  branches of state government or an employee of the Minnesota 
  3.23  state retirement system, the public employee retirement 
  3.24  association, or the teachers retirement association. 
  3.25     The commissioner of employee relations and the commissioner 
  3.26  of finance shall adopt procedures required to implement this 
  3.27  section.  The procedures are exempt from chapter 14.  
  3.28     Sec. 5.  Minnesota Statutes 1996, section 62J.04, 
  3.29  subdivision 1, is amended to read: 
  3.30     Subdivision 1.  [LIMITS ON THE RATE OF GROWTH.] (a) The 
  3.31  commissioner of health shall set annual limits on the rate of 
  3.32  growth of public and private spending on health care services 
  3.33  for Minnesota residents, as provided in paragraph (b).  The 
  3.34  limits on growth must be set at levels the commissioner 
  3.35  determines to be realistic and achievable but that will reduce 
  3.36  the rate of growth in health care spending by at least ten 
  4.1   percent per year for the next five years.  The commissioner 
  4.2   shall set limits on growth based on available data on spending 
  4.3   and growth trends, including data from group purchasers, 
  4.4   national data on public and private sector health care spending 
  4.5   and cost trends, and trend information from other states. 
  4.6      (b) The commissioner shall set the following annual limits 
  4.7   on the rate of growth of public and private spending on health 
  4.8   care services for Minnesota residents: 
  4.9      (1) for calendar year 1994, the rate of growth must not 
  4.10  exceed the change in the regional consumer price index for urban 
  4.11  consumers for calendar year 1993 plus 6.5 percentage points; 
  4.12     (2) for calendar year 1995, the rate of growth must not 
  4.13  exceed the change in the regional consumer price index for urban 
  4.14  consumers for calendar year 1994 plus 5.3 percentage points; 
  4.15     (3) for calendar year 1996, the rate of growth must not 
  4.16  exceed the change in the regional consumer price index for urban 
  4.17  consumers for calendar year 1995 plus 4.3 percentage points; 
  4.18     (4) for calendar year 1997, the rate of growth must not 
  4.19  exceed the change in the regional consumer price index for urban 
  4.20  consumers for calendar year 1996 plus 3.4 percentage points; and 
  4.21     (5) for calendar year 1998, the rate of growth must not 
  4.22  exceed the change in the regional consumer price index for urban 
  4.23  consumers for calendar year 1997 plus 2.6 percentage points. 
  4.24     The commissioner shall adjust the growth limit set for 
  4.25  calendar year 1995 to recover savings in health care spending 
  4.26  required for the period July 1, 1993 to December 31, 1993.  The 
  4.27  commissioner shall publish: 
  4.28     (1) the projected limits in the State Register by April 15 
  4.29  of the year immediately preceding the year in which the limit 
  4.30  will be effective except for the year 1993, in which the limit 
  4.31  shall be published by July 1, 1993; 
  4.32     (2) the quarterly change in the regional consumer price 
  4.33  index for urban consumers; and 
  4.34     (3) the health care financing administration forecast for 
  4.35  total growth in the national health care expenditures.  In 
  4.36  setting an annual limit, the commissioner is exempt from the 
  5.1   rulemaking requirements of chapter 14.  The commissioner's 
  5.2   decision on an annual limit is not appealable. 
  5.3      Sec. 6.  Minnesota Statutes 1996, section 62N.25, 
  5.4   subdivision 6, is amended to read: 
  5.5      Subd. 6.  [SOLVENCY.] A community integrated service 
  5.6   network is exempt from the deposit, reserve, and solvency 
  5.7   requirements specified in sections 62D.041, 62D.042, 62D.043, 
  5.8   and 62D.044 and shall comply instead with sections 62N.27 to 
  5.9   62N.32.  In applying sections 62N.27 to 62N.32, the commissioner 
  5.10  is exempt from the rulemaking requirements of chapter 14.  
  5.11  However, To the extent that there are analogous definitions or 
  5.12  procedures in chapter 62D or in rules promulgated thereunder, 
  5.13  the commissioner shall follow those existing provisions rather 
  5.14  than adopting a contrary approach or interpretation.  This 
  5.15  rulemaking exemption shall expire on June 1, 1995. 
  5.16     Sec. 7.  Minnesota Statutes 1996, section 84.98, 
  5.17  subdivision 2, is amended to read: 
  5.18     Subd. 2.  [PLAN.] (a) The commissioner of natural resources 
  5.19  shall develop a plan for the Minnesota conservation corps to 
  5.20  provide: 
  5.21     (1) equal opportunities of employment for youths with 
  5.22  preference given to youths who are economically, socially, 
  5.23  physically, or educationally disadvantaged and youths residing 
  5.24  in areas of substantial unemployment; 
  5.25     (2) equal opportunity for female and male youths; 
  5.26     (3) summer youth programs and year-round young adult 
  5.27  programs; 
  5.28     (4) ways in which exclusive bargaining representatives are 
  5.29  to be involved in regard to the planning and implementation of 
  5.30  positions and job duties of persons employed in projects; 
  5.31     (5) methods for coordinating the programs of the Minnesota 
  5.32  conservation corps with other publicly authorized or subsidized 
  5.33  programs in cooperation with the commissioners of children, 
  5.34  families, and learning and economic security, the workforce 
  5.35  development council, and other state and local youth service and 
  5.36  education entities; 
  6.1      (6) programs for participants to be assisted in gaining 
  6.2   employment or training upon completing the projects, including, 
  6.3   where feasible, in cooperation with the department of economic 
  6.4   security and educational agencies, arranging for career 
  6.5   assessment and planning services designed to enhance participant 
  6.6   transition from the Minnesota conservation corps to future 
  6.7   employment or education; 
  6.8      (7) a remedial education component utilizing, as resources 
  6.9   permit and where feasible, the services of the department of 
  6.10  economic security and educational agencies including instruction 
  6.11  in life skills and basic remedial skills for participants who 
  6.12  are deficient in the skills or who have not completed high 
  6.13  school; 
  6.14     (8) the manner of allocating the services of Minnesota 
  6.15  conservation corps members to the various divisions of the 
  6.16  department of natural resources, to other state, local, and 
  6.17  federal governmental conservation and natural resource managers, 
  6.18  and to federally recognized Indian tribes or bands; 
  6.19     (9) standards of conduct and other operating guidelines for 
  6.20  Minnesota conservation corps members; and 
  6.21     (10) a determination of preference for projects that will 
  6.22  provide long-term benefits to the public, will provide 
  6.23  productive work and public service experience to Minnesota 
  6.24  conservation corps members, will be primarily labor intensive, 
  6.25  and will provide a significant return on taxpayer investment.  
  6.26     (b) The commissioner shall establish the plan 
  6.27  notwithstanding chapter 14.  No later than July 1, 1990, the 
  6.28  plan established under this paragraph subdivision shall be 
  6.29  adopted under the rulemaking provisions of chapter 14.  
  6.30     Sec. 8.  Minnesota Statutes 1996, section 88.80, 
  6.31  subdivision 2, is amended to read: 
  6.32     Subd. 2.  [PILOT PROJECT.] The commissioner shall establish 
  6.33  an aspen recycling program pilot project in the highest priority 
  6.34  area on state lands in order to develop effective program 
  6.35  procedures and practices.  With respect to the pilot project, 
  6.36  the commissioner may restrict bidding on contracts for the 
  7.1   cutting, removal, and disposal of aspens, and for related 
  7.2   activities, to loggers and others residing in the pilot project 
  7.3   area designated under the program that are financially 
  7.4   distressed.  The commissioner may establish standards and 
  7.5   procedures for awarding logging contracts, notwithstanding 
  7.6   chapter 14, relating to eligibility for employment for 
  7.7   conservation work projects. 
  7.8      Sec. 9.  Minnesota Statutes 1996, section 115A.11, 
  7.9   subdivision 2, is amended to read: 
  7.10     Subd. 2.  [PROCEDURE.] The plan and the procedures for 
  7.11  hearings on the plan are not subject to the rulemaking or 
  7.12  contested case provisions of chapter 14.  Before revising the 
  7.13  draft plan or amending its adopted plan, the office shall 
  7.14  provide notice and hold a public meeting.  
  7.15     Sec. 10.  Minnesota Statutes 1996, section 115A.20, is 
  7.16  amended to read: 
  7.17     115A.20 [EVALUATION OF SITES.] 
  7.18     The office shall not be required to promulgate rules 
  7.19  pursuant to chapter 14 to govern its evaluation and selection of 
  7.20  sites for commercial stabilization and containment facilities 
  7.21  under sections 115A.18 to 115A.30, nor shall the agency be 
  7.22  required to promulgate rules pursuant to chapter 14 on criteria 
  7.23  and standards to govern its certification of intrinsic 
  7.24  suitability of sites for commercial stabilization and 
  7.25  containment facilities under sections 115A.18 to 115A.30.  In 
  7.26  evaluating and selecting sites for stabilization and containment 
  7.27  facilities, the office shall consider at least the following 
  7.28  factors: 
  7.29     (a) economic feasibility, including proximity to 
  7.30  concentrations of generators of the types of hazardous wastes 
  7.31  likely to be proposed and permitted for stabilization and 
  7.32  containment; 
  7.33     (b) intrinsic suitability of the sites; 
  7.34     (c) federal and state pollution control and environmental 
  7.35  protection rules; 
  7.36     (d) the risk and effect for local residents, units of 
  8.1   government, and the local public health, safety, and welfare, 
  8.2   including such dangers as an accidental release of wastes during 
  8.3   transportation to a facility or at a facility, water, air, and 
  8.4   land pollution, and fire or explosion; 
  8.5      (e) the consistency of a facility with, and its effect on, 
  8.6   existing and planned local land use and development; local laws, 
  8.7   ordinances, and permits; and local public facilities and 
  8.8   services; 
  8.9      (f) the adverse effects of a facility at the site on 
  8.10  agriculture and natural resources and opportunities to mitigate 
  8.11  or eliminate such adverse effects by stipulations, conditions, 
  8.12  and requirements respecting the design and operation of a 
  8.13  disposal facility at the proposed site. 
  8.14     No land shall be excluded from consideration except land 
  8.15  determined by the agency to be intrinsically unsuitable for the 
  8.16  use intended. 
  8.17     Nothing in this section shall be construed as granting the 
  8.18  office an exemption from the rulemaking requirements of chapter 
  8.19  14 if the agency adopts statements of general applicability and 
  8.20  future effect, including amendments, suspensions, and repeals of 
  8.21  rules, adopted to implement or make specific the law enforced or 
  8.22  administered by the agency or to govern the organization and 
  8.23  procedure. 
  8.24     Sec. 11.  Minnesota Statutes 1996, section 116.44, 
  8.25  subdivision 1, is amended to read: 
  8.26     Subdivision 1.  [LIST OF AREAS.] By January 1, 1983, the 
  8.27  pollution control agency shall publish a preliminary list of 
  8.28  counties determined to contain natural resources sensitive to 
  8.29  the impacts of acid deposition.  Sensitive areas shall be 
  8.30  designated on the basis of:  
  8.31     (a) the presence of plants and animal species which are 
  8.32  sensitive to acid deposition; 
  8.33     (b) geological information identifying those areas which 
  8.34  have insoluble bedrock which is incapable of adequately 
  8.35  neutralizing acid deposition; and 
  8.36     (c) existing acid deposition reports and data prepared by 
  9.1   the pollution control agency and the federal environmental 
  9.2   protection agency.  The pollution control agency shall conduct 
  9.3   public meetings on the preliminary list of acid deposition 
  9.4   sensitive areas.  Meetings shall be concluded by March 1, 1983, 
  9.5   and a final list published by May 1, 1983.  The list shall not 
  9.6   be subject to the rulemaking or contested case provisions of 
  9.7   chapter 14. 
  9.8      Sec. 12.  Minnesota Statutes 1996, section 123.3514, 
  9.9   subdivision 8, is amended to read: 
  9.10     Subd. 8.  [TRANSPORTATION.] A parent or guardian of a pupil 
  9.11  enrolled in a course for secondary credit may apply to the 
  9.12  pupil's district of residence for reimbursement for transporting 
  9.13  the pupil between the secondary school in which the pupil is 
  9.14  enrolled or the pupil's home and the post-secondary institution 
  9.15  that the pupil attends.  The commissioner shall establish 
  9.16  guidelines for providing state aid to districts to reimburse the 
  9.17  parent or guardian for the necessary transportation costs, which 
  9.18  shall be based on financial need.  The reimbursement may not 
  9.19  exceed the pupil's actual cost of transportation or 15 cents per 
  9.20  mile traveled, whichever is less.  Reimbursement may not be paid 
  9.21  for more than 250 miles per week.  However, if the nearest 
  9.22  post-secondary institution is more than 25 miles from the 
  9.23  pupil's resident secondary school, the weekly reimbursement may 
  9.24  not exceed the reimbursement rate per mile times the actual 
  9.25  distance between the secondary school or the pupil's home and 
  9.26  the nearest post-secondary institution times ten.  The state 
  9.27  shall pay aid to the district according to the guidelines 
  9.28  established under this subdivision.  Chapter 14 does not apply 
  9.29  to the guidelines. 
  9.30     Sec. 13.  Minnesota Statutes 1996, section 129C.10, 
  9.31  subdivision 3, is amended to read: 
  9.32     Subd. 3.  [POWERS AND DUTIES OF BOARD.] (a) The board has 
  9.33  the powers necessary for the care, management, and control of 
  9.34  the Lola and Rudy Perpich Minnesota center for arts education 
  9.35  and all its real and personal property.  The powers shall 
  9.36  include, but are not limited to, those listed in this 
 10.1   subdivision. 
 10.2      (b) The board may employ and discharge necessary employees, 
 10.3   and contract for other services to ensure the efficient 
 10.4   operation of the center for arts education. 
 10.5      (c) The board may receive and award grants.  The board may 
 10.6   establish a charitable foundation and accept, in trust or 
 10.7   otherwise, any gift, grant, bequest, or devise for educational 
 10.8   purposes and hold, manage, invest, and dispose of them and the 
 10.9   proceeds and income of them according to the terms and 
 10.10  conditions of the gift, grant, bequest, or devise and its 
 10.11  acceptance.  The board shall adopt internal procedures to 
 10.12  administer and monitor aids and grants. 
 10.13     (d) The board may establish or coordinate evening, 
 10.14  continuing education, extension, and summer programs for 
 10.15  teachers and pupils. 
 10.16     (e) The board may identify pupils who have artistic talent, 
 10.17  either demonstrated or potential, in dance, literary arts, media 
 10.18  arts, music, theater, and visual arts, or in more than one art 
 10.19  form. 
 10.20     (f) The board shall educate pupils with artistic talent by 
 10.21  providing:  
 10.22     (1) an interdisciplinary academic and arts program for 
 10.23  pupils in the 11th and 12th grades.  The total number of pupils 
 10.24  accepted under this clause and clause (2) shall not exceed 300; 
 10.25     (2) additional instruction to pupils for a 13th grade. 
 10.26  Pupils eligible for this instruction are those enrolled in 12th 
 10.27  grade who need extra instruction and who apply to the board, or 
 10.28  pupils enrolled in the 12th grade who do not meet learner 
 10.29  outcomes established by the board.  Criteria for admission into 
 10.30  the 13th grade shall not be subject to chapter 14; 
 10.31     (3) intensive arts seminars for one or two weeks for pupils 
 10.32  in grades 9 to 12; 
 10.33     (4) summer arts institutes for pupils in grades 9 to 12; 
 10.34     (5) artist mentor and extension programs in regional sites; 
 10.35  and 
 10.36     (6) teacher education programs for indirect curriculum 
 11.1   delivery. 
 11.2      (g) The board may determine the location for the Lola and 
 11.3   Rudy Perpich Minnesota center for arts education and any 
 11.4   additional facilities related to the center, including the 
 11.5   authority to lease a temporary facility. 
 11.6      (h) The board must plan for the enrollment of pupils on an 
 11.7   equal basis from each congressional district.  
 11.8      (i) The board may establish task forces as needed to advise 
 11.9   the board on policies and issues.  The task forces expire as 
 11.10  provided in section 15.059, subdivision 6.  
 11.11     (j) The board may request the commissioner of children, 
 11.12  families, and learning for assistance and services. 
 11.13     (k) The board may enter into contracts with other public 
 11.14  and private agencies and institutions for residential and 
 11.15  building maintenance services if it determines that these 
 11.16  services could be provided more efficiently and less expensively 
 11.17  by a contractor than by the board itself.  The board may also 
 11.18  enter into contracts with public or private agencies and 
 11.19  institutions, school districts or combinations of school 
 11.20  districts, or service cooperatives to provide supplemental 
 11.21  educational instruction and services. 
 11.22     (l) The board may provide or contract for services and 
 11.23  programs by and for the center for arts education, including a 
 11.24  store, operating in connection with the center; theatrical 
 11.25  events; and other programs and services that, in the 
 11.26  determination of the board, serve the purposes of the center. 
 11.27     (m) The board may provide for transportation of pupils to 
 11.28  and from the center for arts education for all or part of the 
 11.29  school year, as the board considers advisable and subject to its 
 11.30  rules.  Notwithstanding any other law to the contrary, the board 
 11.31  may charge a reasonable fee for transportation of pupils.  Every 
 11.32  driver providing transportation of pupils under this paragraph 
 11.33  must possess all qualifications required by the state board of 
 11.34  education.  The board may contract for furnishing authorized 
 11.35  transportation under rules established by the commissioner of 
 11.36  children, families, and learning and may purchase and furnish 
 12.1   gasoline to a contract carrier for use in the performance of a 
 12.2   contract with the board for transportation of pupils to and from 
 12.3   the center for arts education.  When transportation is provided, 
 12.4   scheduling of routes, establishment of the location of bus 
 12.5   stops, the manner and method of transportation, the control and 
 12.6   discipline of pupils, and any other related matter is within the 
 12.7   sole discretion, control, and management of the board. 
 12.8      (n) The board may provide room and board for its pupils.  
 12.9   If the board provides room and board, it shall charge a 
 12.10  reasonable fee for the room and board.  The fee is not subject 
 12.11  to chapter 14 and is not a prohibited fee according to sections 
 12.12  120.71 to 120.76. 
 12.13     (o) The board may establish and set fees for services and 
 12.14  programs without regard to chapter 14.  If the board sets fees 
 12.15  not authorized or prohibited by the Minnesota public school fee 
 12.16  law, it may do so without complying with the requirements of 
 12.17  section 120.75, subdivision 1. 
 12.18     Sec. 14.  Minnesota Statutes 1996, section 169.452, is 
 12.19  amended to read: 
 12.20     169.452 [ACCIDENT AND SERIOUS INCIDENT REPORTING.] 
 12.21     (a) The department commissioner of public safety shall 
 12.22  adopt rules to: 
 12.23     (1) develop uniform definitions of a school bus accident, 
 12.24  an incident of serious misconduct, and an incident that results 
 12.25  in personal injury or death.  The department shall; and 
 12.26     (2) determine what type of information on school bus 
 12.27  accidents and incidents, including criminal conduct, and bus 
 12.28  driver dismissals for cause should be collected and. 
 12.29     (b) The commissioner shall develop a uniform accident and 
 12.30  incident reporting form to collect those data, including data 
 12.31  relating to type III vehicles, statewide.  In addition to the 
 12.32  form, the department shall have an alternative method of 
 12.33  reporting that allows school districts to use computer 
 12.34  technology to provide the required information.  School 
 12.35  districts shall report the information required by the 
 12.36  department using either format.  A school district must not be 
 13.1   charged for reporting forms or reporting procedures under this 
 13.2   section.  This paragraph is not subject to chapter 14. 
 13.3      (c) Data collected under this section shall be analyzed to 
 13.4   help develop accident, crime, and misconduct prevention 
 13.5   programs.  This section is not subject to chapter 14. 
 13.6      Sec. 15.  Minnesota Statutes 1996, section 216D.03, 
 13.7   subdivision 2, is amended to read: 
 13.8      Subd. 2.  [ESTABLISHMENT OF NOTIFICATION CENTER.] (a) The 
 13.9   notification center services must be provided by a nonprofit 
 13.10  corporation approved in writing by the commissioner.  A group or 
 13.11  nonprofit corporation that intends to seek approval under this 
 13.12  paragraph shall notify the commissioner by September 1, 1987, of 
 13.13  the date, time, and location of its first meeting.  The 
 13.14  commissioner shall provide advance notice of the first 
 13.15  organizational meeting by publication in qualified legal 
 13.16  newspapers and in appropriate trade journals and by written 
 13.17  notice to all appropriate trade associations.  The nonprofit 
 13.18  corporation must be governed by a board of directors of up to 20 
 13.19  members, one of whom is the director of the office of pipeline 
 13.20  safety.  The other board members must represent and be elected 
 13.21  by operators, excavators, and other persons eligible to 
 13.22  participate in the center.  By November 1, 1987, the board 
 13.23  shall, with input from all interested parties, determine the 
 13.24  operating procedures and technology needed for a single 
 13.25  statewide notification center and establish a notification 
 13.26  process and competitive bidding procedure to select a vendor to 
 13.27  provide the notification service.  In deciding to approve a 
 13.28  nonprofit corporation, the commissioner shall consider whether 
 13.29  it meets the requirements of this paragraph and whether it 
 13.30  demonstrates that it has the ability to contract for and 
 13.31  implement the notification center service. 
 13.32     (b) If the commissioner has not approved a nonprofit 
 13.33  corporation under paragraph (a) by January 1, 1988, the 
 13.34  commissioner shall follow the procedure in this paragraph.  The 
 13.35  commissioner shall prepare a preliminary draft of adopt rules: 
 13.36     (1) establishing a notification process and competitive 
 14.1   bidding procedure for selecting a vendor to provide the 
 14.2   notification service; 
 14.3      (2) governing the operating procedures and technology 
 14.4   needed for a statewide notification center; and 
 14.5      (3) setting forth the method for assessing the cost of the 
 14.6   service among operators.  After holding at least one public 
 14.7   hearing on the preliminary draft following notice given in the 
 14.8   manner required by paragraph (a), the commissioner shall adopt 
 14.9   final operating procedures, technology, and assessment methods.  
 14.10  The preliminary draft, public hearings, and final adoption are 
 14.11  not subject to chapter 14.  By June 1, 1988, 
 14.12     (c) The commissioner shall select a vendor to provide the 
 14.13  notification center service.  The commissioner shall may 
 14.14  advertise for bids as provided in section 16B.07, subdivision 3, 
 14.15  and base the selection of a vendor on an identification of the 
 14.16  lowest responsible bidder as provided in section 16B.09, 
 14.17  subdivision 1.  The commissioner shall select and contract with 
 14.18  the vendor to provide the notification center service, but all 
 14.19  costs of the center must be paid by the operators.  The 
 14.20  commissioner may at any time appoint a task force to advise on 
 14.21  the renewal of the contract or any other matter involving the 
 14.22  center's operations. 
 14.23     (c) The notification center must be in operation by October 
 14.24  1, 1988.  (d) An operator may submit a bid and be selected to 
 14.25  contract to provide the notification center service under 
 14.26  paragraph (a) or (b) (c).  The commissioner shall annually 
 14.27  review the services provided by the nonprofit corporation 
 14.28  approved under paragraph (a) or the vendor selected under 
 14.29  paragraph (b) (c). 
 14.30     Sec. 16.  Minnesota Statutes 1996, section 245.494, 
 14.31  subdivision 1, is amended to read: 
 14.32     Subdivision 1.  [CHILDREN'S CABINET.] The children's 
 14.33  cabinet, in consultation with the integrated fund task force, 
 14.34  shall: 
 14.35     (1) assist local children's mental health collaboratives in 
 14.36  meeting the requirements of sections 245.491 to 245.496, by 
 15.1   seeking consultation and technical assistance from national 
 15.2   experts and coordinating presentations and assistance from these 
 15.3   experts to local children's mental health collaboratives; 
 15.4      (2) assist local children's mental health collaboratives in 
 15.5   identifying an economically viable operational target 
 15.6   population; 
 15.7      (3) develop methods to reduce duplication and promote 
 15.8   coordinated services including uniform forms for reporting, 
 15.9   billing, and planning of services; 
 15.10     (4) by September 1, 1994, develop a model multiagency plan 
 15.11  of care that can be used by local children's mental health 
 15.12  collaboratives in place of an individual education plan, 
 15.13  individual family community support plan, individual family 
 15.14  support plan, and an individual treatment plan; 
 15.15     (5) assist in the implementation and operation of local 
 15.16  children's mental health collaboratives by facilitating the 
 15.17  integration of funds, coordination of services, and measurement 
 15.18  of results, and by providing other assistance as needed; 
 15.19     (6) by July 1, 1993, develop a procedure for awarding 
 15.20  start-up funds.  Development of this procedure shall be exempt 
 15.21  from chapter 14; 
 15.22     (7) develop procedures and provide technical assistance to 
 15.23  allow local children's mental health collaboratives to integrate 
 15.24  resources for children's mental health services with other 
 15.25  resources available to serve children in the target population 
 15.26  in order to maximize federal participation and improve 
 15.27  efficiency of funding; 
 15.28     (8) (7) ensure that local children's mental health 
 15.29  collaboratives and the services received through these 
 15.30  collaboratives meet the requirements set out in sections 245.491 
 15.31  to 245.496; 
 15.32     (9) (8) identify base level funding from state and federal 
 15.33  sources across systems; 
 15.34     (10) (9) explore ways to access additional federal funds 
 15.35  and enhance revenues available to address the needs of the 
 15.36  target population; 
 16.1      (11) (10) develop a mechanism for identifying the state 
 16.2   share of funding for services to children in the target 
 16.3   population and for making these funds available on a per capita 
 16.4   basis for services provided through the local children's mental 
 16.5   health collaborative to children in the target population.  Each 
 16.6   year beginning January 1, 1994, forecast the growth in the state 
 16.7   share and increase funding for local children's mental health 
 16.8   collaboratives accordingly; 
 16.9      (12) (11) identify barriers to integrated service systems 
 16.10  that arise from data practices and make recommendations 
 16.11  including legislative changes needed in the data practices act 
 16.12  to address these barriers; and 
 16.13     (13) (12) annually review the expenditures of local 
 16.14  children's mental health collaboratives to ensure that funding 
 16.15  for services provided to the target population continues from 
 16.16  sources other than the federal funds earned under sections 
 16.17  245.491 to 245.496 and that federal funds earned are spent 
 16.18  consistent with sections 245.491 to 245.496. 
 16.19     Sec. 17.  Minnesota Statutes 1996, section 256.027, is 
 16.20  amended to read: 
 16.21     256.027 [USE OF VANS PERMITTED.] 
 16.22     The commissioner, after consultation with the commissioner 
 16.23  of public safety, shall prescribe procedures to permit the 
 16.24  occasional use of lift-equipped vans that have been financed, in 
 16.25  whole or in part, by public money to transport an individual 
 16.26  whose own lift-equipped vehicle is unavailable because of 
 16.27  equipment failure and who is thus unable to complete a trip home 
 16.28  or to a medical facility.  For purposes of prescribing these 
 16.29  procedures, the commissioner is exempt from the provisions of 
 16.30  chapter 14.  The commissioner shall encourage publicly financed 
 16.31  lift-equipped vans to be made available to a county sheriff's 
 16.32  department, and to other persons who are qualified to drive the 
 16.33  vans and who are also qualified to assist the individual in need 
 16.34  of transportation, for this purpose. 
 16.35     Sec. 18.  Minnesota Statutes 1996, section 256.9357, 
 16.36  subdivision 3, is amended to read: 
 17.1      Subd. 3.  [PERIOD UNINSURED.] To be eligible for subsidized 
 17.2   premium payments based on a sliding scale, families and 
 17.3   individuals initially enrolled in the MinnesotaCare program 
 17.4   under section 256.9354, subdivisions 4 and 5, must have had no 
 17.5   health coverage for at least four months prior to application.  
 17.6   The commissioner may change this eligibility criterion for 
 17.7   sliding scale premiums without complying with rulemaking 
 17.8   requirements in order to remain within the limits of available 
 17.9   appropriations.  The requirement of at least four months of no 
 17.10  health coverage prior to application for the MinnesotaCare 
 17.11  program does not apply to: 
 17.12     (1) families, children, and individuals who want to apply 
 17.13  for the MinnesotaCare program upon termination from the medical 
 17.14  assistance program, general assistance medical care program, or 
 17.15  coverage under a regional demonstration project for the 
 17.16  uninsured funded under section 256B.73, the Hennepin county 
 17.17  assured care program, or the Group Health, Inc., community 
 17.18  health plan; 
 17.19     (2) families and individuals initially enrolled under 
 17.20  section 256.9354, subdivisions 1, paragraph (a), and 2; 
 17.21     (3) children enrolled pursuant to Laws 1992, chapter 549, 
 17.22  article 4, section 17; or 
 17.23     (4) individuals currently serving or who have served in the 
 17.24  military reserves, and dependents of these individuals, if these 
 17.25  individuals:  (i) reapply for MinnesotaCare coverage after a 
 17.26  period of active military service during which they had been 
 17.27  covered by the Civilian Health and Medical Program of the 
 17.28  Uniformed Services (CHAMPUS); (ii) were covered under 
 17.29  MinnesotaCare immediately prior to obtaining coverage under 
 17.30  CHAMPUS; and (iii) have maintained continuous coverage. 
 17.31     Sec. 19.  Minnesota Statutes 1996, section 256.9685, 
 17.32  subdivision 1, is amended to read: 
 17.33     Subdivision 1.  [AUTHORITY.] The commissioner shall 
 17.34  establish procedures for determining medical assistance and 
 17.35  general assistance medical care payment rates under a 
 17.36  prospective payment system for inpatient hospital services in 
 18.1   hospitals that qualify as vendors of medical assistance.  The 
 18.2   commissioner shall establish, by rule, procedures for 
 18.3   implementing this section and sections 256.9686, 256.969, and 
 18.4   256.9695.  The medical assistance payment rates must be based on 
 18.5   methods and standards that the commissioner finds are adequate 
 18.6   to provide for the costs that must be incurred for the care of 
 18.7   recipients in efficiently and economically operated hospitals.  
 18.8   Services must meet the requirements of section 256B.04, 
 18.9   subdivision 15, or 256D.03, subdivision 7, paragraph (b), to be 
 18.10  eligible for payment. except the commissioner may establish 
 18.11  exemptions to specific requirements based on diagnosis, 
 18.12  procedure, or service after notice in the State Register and a 
 18.13  30-day comment period.  
 18.14     Sec. 20.  Minnesota Statutes 1996, section 256.969, 
 18.15  subdivision 3a, is amended to read: 
 18.16     Subd. 3a.  [PAYMENTS.] Acute care hospital billings under 
 18.17  the medical assistance program must not be submitted until the 
 18.18  recipient is discharged.  However, the commissioner shall 
 18.19  establish monthly interim payments for inpatient hospitals that 
 18.20  have individual patient lengths of stay over 30 days regardless 
 18.21  of diagnostic category.  To establish interim rates, the 
 18.22  commissioner is exempt from the requirements of chapter 14.  
 18.23  Medical assistance reimbursement for treatment of mental illness 
 18.24  shall be reimbursed based on diagnostic classifications.  The 
 18.25  commissioner may selectively contract with hospitals for 
 18.26  services within the diagnostic categories relating to mental 
 18.27  illness and chemical dependency under competitive bidding when 
 18.28  reasonable geographic access by recipients can be assured.  No 
 18.29  physician shall be denied the privilege of treating a recipient 
 18.30  required to use a hospital under contract with the commissioner, 
 18.31  as long as the physician meets credentialing standards of the 
 18.32  individual hospital.  Individual hospital payments established 
 18.33  under this section and sections 256.9685, 256.9686, and 
 18.34  256.9695, in addition to third party and recipient liability, 
 18.35  for discharges occurring during the rate year shall not exceed, 
 18.36  in aggregate, the charges for the medical assistance covered 
 19.1   inpatient services paid for the same period of time to the 
 19.2   hospital.  This payment limitation shall be calculated 
 19.3   separately for medical assistance and general assistance medical 
 19.4   care services.  The limitation on general assistance medical 
 19.5   care shall be effective for admissions occurring on or after 
 19.6   July 1, 1991.  Services that have rates established under 
 19.7   subdivision 11 or 12, must be limited separately from other 
 19.8   services.  After consulting with the affected hospitals, the 
 19.9   commissioner may consider related hospitals one entity and may 
 19.10  merge the payment rates while maintaining separate provider 
 19.11  numbers.  The operating and property base rates per admission or 
 19.12  per day shall be derived from the best Medicare and claims data 
 19.13  available when rates are established.  The commissioner shall 
 19.14  determine the best Medicare and claims data, taking into 
 19.15  consideration variables of recency of the data, audit 
 19.16  disposition, settlement status, and the ability to set rates in 
 19.17  a timely manner.  The commissioner shall notify hospitals of 
 19.18  payment rates by December 1 of the year preceding the rate 
 19.19  year.  The rate setting data must reflect the admissions data 
 19.20  used to establish relative values.  Base year changes from 1981 
 19.21  to the base year established for the rate year beginning January 
 19.22  1, 1991, and for subsequent rate years, shall not be limited to 
 19.23  the limits ending June 30, 1987, on the maximum rate of increase 
 19.24  under subdivision 1.  The commissioner may adjust base year 
 19.25  cost, relative value, and case mix index data to exclude the 
 19.26  costs of services that have been discontinued by the October 1 
 19.27  of the year preceding the rate year or that are paid separately 
 19.28  from inpatient services.  Inpatient stays that encompass 
 19.29  portions of two or more rate years shall have payments 
 19.30  established based on payment rates in effect at the time of 
 19.31  admission unless the date of admission preceded the rate year in 
 19.32  effect by six months or more.  In this case, operating payment 
 19.33  rates for services rendered during the rate year in effect and 
 19.34  established based on the date of admission shall be adjusted to 
 19.35  the rate year in effect by the hospital cost index. 
 19.36     Sec. 21.  Minnesota Statutes 1996, section 273.112, 
 20.1   subdivision 6a, is amended to read: 
 20.2      Subd. 6a.  The commissioner of revenue shall develop and 
 20.3   issue guidelines for qualification by private golf clubs under 
 20.4   this section covering the access to and use of the golf course 
 20.5   by members and other adults so as to be consistent with the 
 20.6   purposes and terms of this section.  The guidelines shall be 
 20.7   mailed to the county attorney and assessor of each county not 
 20.8   later than 60 days following May 26, 1989.  Within 15 days of 
 20.9   receipt of the guidelines from the commissioner, the assessor 
 20.10  shall mail a copy of the guidelines to each golf club in the 
 20.11  county.  The guidelines issued under this subdivision are not 
 20.12  subject to the administrative procedure act under chapter 14. 
 20.13     Sec. 22.  Minnesota Statutes 1996, section 299F.093, 
 20.14  subdivision 1, is amended to read: 
 20.15     Subdivision 1.  [DUTIES; RULES.] (a) The commissioner shall:
 20.16     (1) adopt rules no later than July 1, 1987, with the advice 
 20.17  of the hazardous substance notification advisory committee, 
 20.18  establishing the form and content of the hazardous substance 
 20.19  notification report form, as required by section 299F.094, and 
 20.20  describing one or more hazard categories with specified ranges 
 20.21  of quantities in each hazard category, representing increments 
 20.22  of substantially increased risk; 
 20.23     (2) print and provide to individual fire departments the 
 20.24  requested number of hazardous substance notification reports, 
 20.25  which must be made available to a fire department no more than 
 20.26  90 days following its request, for the fire department to mail 
 20.27  or otherwise make available to employers in the jurisdiction; 
 20.28     (3) report to the legislature, as needed, on the 
 20.29  effectiveness of sections 299F.091 to 299F.099 and recommend 
 20.30  amendments to sections 299F.091 to 299F.099 that are considered 
 20.31  necessary; 
 20.32     (4) adopt rules to implement sections 299F.091 to 299F.099, 
 20.33  compatible with the Minnesota Uniform Fire Code so as to not 
 20.34  limit the authority of local fire officials under that code; and 
 20.35     (5) adopt rules that are based on the most recent standard 
 20.36  704, adopted by the National Fire Protection Association, and 
 21.1   that allow a fire department to require employers within its 
 21.2   jurisdiction to post signs conforming to standard 704, and 
 21.3   indicating the presence of hazardous substances.  If the signs 
 21.4   are required, a fire department shall supply the signs or 
 21.5   provide information to assist an employer to obtain them.  
 21.6      (b) The commissioner shall adopt criteria and guidelines, 
 21.7   with the concurrence of the hazardous substance notification 
 21.8   advisory committee, for the disbursement of funds pursuant to 
 21.9   Laws 1986, First Special Session chapter 1, article 10, section 
 21.10  20, subdivision 1.  These criteria and guidelines are exempt 
 21.11  from the Minnesota administrative procedure act. 
 21.12     Sec. 23.  Minnesota Statutes 1996, section 624.22, 
 21.13  subdivision 1, is amended to read: 
 21.14     Subdivision 1.  [GENERAL REQUIREMENTS; PERMIT; 
 21.15  INVESTIGATION; FEE.] (a) Sections 624.20 to 624.25 shall do not 
 21.16  prohibit the supervised display of fireworks by a statutory or 
 21.17  home rule charter city, fair association, amusement park, or 
 21.18  other organization, except that: 
 21.19     (1) a fireworks display may be conducted only when 
 21.20  supervised by an operator certified by the state fire marshal; 
 21.21  and 
 21.22     (2) a fireworks display must either be given by a 
 21.23  municipality or fair association within its own limits, or by 
 21.24  any other organization, whether public or private, only after a 
 21.25  permit for the display has first been secured.  
 21.26     (b) Every An application for such a permit shall must be 
 21.27  made in writing to the municipal clerk at least 15 days in 
 21.28  advance of the date of the display and shall must list the name 
 21.29  of an operator who (1) is certified by the state fire marshal 
 21.30  and (2) will supervise the display.  The application shall must 
 21.31  be promptly referred to the chief of the fire department, who 
 21.32  shall make an investigation to determine whether the operator of 
 21.33  the display is competent and is certified by the state fire 
 21.34  marshal, and whether the display is of such a character and is 
 21.35  to be so located, discharged, or fired that it will not be 
 21.36  hazardous to property or endanger any person.  The fire chief 
 22.1   shall report the results of this investigation to the clerk.  If 
 22.2   the fire chief reports that the operator is certified, that in 
 22.3   the chief's opinion the operator is competent, and that the 
 22.4   fireworks display as planned will conform to the safety 
 22.5   guidelines of the state fire marshal provided for in paragraph 
 22.6   (e), the clerk shall issue a permit for the display when the 
 22.7   applicant pays a permit fee.  
 22.8      (c) When the supervised fireworks display for which a 
 22.9   permit is sought is to be held outside the limits of an 
 22.10  incorporated municipality, the application shall must be made to 
 22.11  the county auditor, and the auditor shall perform duties imposed 
 22.12  by sections 624.20 to 624.25 upon the clerk of the 
 22.13  municipality shall be performed in such case by the county 
 22.14  auditor.  When an application is made to the auditor, the county 
 22.15  sheriff shall perform the duties imposed on the fire chief of 
 22.16  the municipality by sections 624.20 to 624.25 shall be performed 
 22.17  in such case by the county sheriff.  
 22.18     (d) After such a permit shall have has been granted, sales, 
 22.19  possession, use and distribution of fireworks for such a display 
 22.20  shall be are lawful for that purpose only.  No A permit so 
 22.21  granted shall be is not transferable.  
 22.22     (e) By January 1, 1996, The state fire marshal shall adopt 
 22.23  and disseminate to political subdivisions reasonable rules 
 22.24  establishing guidelines on fireworks display safety, which are 
 22.25  exempt from chapter 14, that are consistent with sections 624.20 
 22.26  to 624.25 and the most recent editions of the Minnesota Uniform 
 22.27  Fire Code and the National Fire Protection Association 
 22.28  Standards, to insure that fireworks displays are given safely.  
 22.29  In the guidelines, the state fire marshal shall allow political 
 22.30  subdivisions to exempt the use of relatively safe fireworks for 
 22.31  theatrical special effects, ceremonial occasions, and other 
 22.32  limited purposes, as determined by the state fire marshal. 
 22.33     Sec. 24.  Laws 1988, chapter 688, article 21, section 7, 
 22.34  subdivision 1, is amended to read: 
 22.35     Subdivision 1.  [REVOLVING LOAN FUND.] $1,000,000 is 
 22.36  appropriated from the general fund to the commissioner of 
 23.1   agriculture to be credited to a revolving loan account for 
 23.2   low-interest loans to farmers to adopt sustainable agriculture 
 23.3   practices.  Money in the account does not cancel but is 
 23.4   appropriated to the commissioner of agriculture to make 
 23.5   low-interest loans to farmers under this subdivision.  
 23.6   Notwithstanding chapter 14, The commissioner shall prescribe 
 23.7   procedures for application and implementation of the program. 
 23.8      Sec. 25.  Laws 1991, chapter 265, article 4, section 28, is 
 23.9   amended to read: 
 23.10     Sec. 28.  [COMMISSIONER OF EDUCATION TO ESTABLISH 
 23.11  ELIGIBILITY STANDARDS.] 
 23.12     The commissioner of education shall establish standards to 
 23.13  determine the eligibility of an individual to take a GED test at 
 23.14  a reduced cost.  The standards shall be established without 
 23.15  rulemaking under Minnesota Statutes, chapter 14.  The standards 
 23.16  shall include the following: 
 23.17     (1) the individual shall have resided in Minnesota at least 
 23.18  90 days; 
 23.19     (2) the individual is not currently enrolled in a program 
 23.20  leading to a high school diploma; and 
 23.21     (3) the individual shall not take more than three tests at 
 23.22  a reduced cost. 
 23.23     Sec. 26.  [EFFECT OF ELIMINATION OF EXEMPTION AUTHORITY.] 
 23.24     The elimination of rulemaking exemption authority in this 
 23.25  article does not affect the validity of agency statements of 
 23.26  general applicability and future effect adopted before the 
 23.27  effective date of this section to implement or make specific the 
 23.28  law enforced or administered by the agency or to govern its 
 23.29  organization or procedure. 
 23.30     Sec. 27.  [REPEALER.] 
 23.31     Minnesota Statutes 1996, section 126.56, subdivision 8, is 
 23.32  repealed. 
 23.33     Sec. 28.  [EFFECTIVE DATE.] 
 23.34     This article is effective June 30, 1997. 
 23.35                             ARTICLE 2
 23.36      EXEMPTIONS ELIMINATED; COVERAGE UNDER GENERIC EXEMPTIONS
 24.1      Section 1.  Minnesota Statutes 1996, section 17.03, 
 24.2   subdivision 10, is amended to read: 
 24.3      Subd. 10.  [GIFTS; PUBLICATION FEES; ADVERTISING; 
 24.4   APPROPRIATION.] (a) The commissioner may accept for and on 
 24.5   behalf of the state any gift, bequest, devise, grant, or 
 24.6   interest in money or personal property of any kind tendered to 
 24.7   the state for any purpose pertaining to the activities of the 
 24.8   department of agriculture or any of its divisions. 
 24.9      (b) The commissioner may charge a fee for reports, 
 24.10  publications, or other promotional or informational material 
 24.11  produced by the department of agriculture.  The commissioner may 
 24.12  solicit and accept advertising revenue for any departmental 
 24.13  publications or promotional materials. 
 24.14     (c) The fees collected by the commissioner under this 
 24.15  section are to recover all or part of the costs of providing 
 24.16  services for which the fees are paid.  These fees are not 
 24.17  subject to chapter 14 or section 16A.1285. 
 24.18     (d) Money received by the commissioner for these activities 
 24.19  may be credited to one or more special accounts in the state 
 24.20  treasury.  Money in those special accounts is annually 
 24.21  appropriated to the commissioner to provide the services for 
 24.22  which the money was received. 
 24.23     Sec. 2.  Minnesota Statutes 1996, section 62N.23, is 
 24.24  amended to read: 
 24.25     62N.23 [TECHNICAL ASSISTANCE; LOANS.] 
 24.26     (a) The commissioner shall provide technical assistance to 
 24.27  parties interested in establishing or operating a community 
 24.28  integrated service network or an integrated service network.  
 24.29  This shall be known as the integrated service network technical 
 24.30  assistance program (ISNTAP). 
 24.31     The technical assistance program shall offer seminars on 
 24.32  the establishment and operation of community integrated service 
 24.33  networks or integrated service networks in all regions of 
 24.34  Minnesota.  The commissioner shall advertise these seminars in 
 24.35  local and regional newspapers, and attendance at these seminars 
 24.36  shall be free. 
 25.1      The commissioner shall write a guide to establishing and 
 25.2   operating a community integrated service network or an 
 25.3   integrated service network.  The guide must provide basic 
 25.4   instructions for parties wishing to establish a community 
 25.5   integrated service network or an integrated service network.  
 25.6   The guide must be provided free of charge to interested 
 25.7   parties.  The commissioner shall update this guide when 
 25.8   appropriate. 
 25.9      The commissioner shall establish a toll-free telephone line 
 25.10  that interested parties may call to obtain assistance in 
 25.11  establishing or operating a community integrated service network 
 25.12  or an integrated service network. 
 25.13     (b) The commissioner shall grant loans for organizational 
 25.14  and start-up expenses to entities forming community integrated 
 25.15  service networks or integrated service networks, or to networks 
 25.16  less than one year old, to the extent of any appropriation for 
 25.17  that purpose.  The commissioner shall allocate the available 
 25.18  funds among applicants based upon the following criteria, as 
 25.19  evaluated by the commissioner within the commissioner's 
 25.20  discretion: 
 25.21     (1) the applicant's need for the loan; 
 25.22     (2) the likelihood that the loan will foster the formation 
 25.23  or growth of a network; and 
 25.24     (3) the likelihood of repayment. 
 25.25     The commissioner shall determine any necessary application 
 25.26  deadlines and forms and is exempt from rulemaking in doing so. 
 25.27     Sec. 3.  Minnesota Statutes 1996, section 129C.10, 
 25.28  subdivision 3, is amended to read: 
 25.29     Subd. 3.  [POWERS AND DUTIES OF BOARD.] (a) The board has 
 25.30  the powers necessary for the care, management, and control of 
 25.31  the Lola and Rudy Perpich Minnesota center for arts education 
 25.32  and all its real and personal property.  The powers shall 
 25.33  include, but are not limited to, those listed in this 
 25.34  subdivision. 
 25.35     (b) The board may employ and discharge necessary employees, 
 25.36  and contract for other services to ensure the efficient 
 26.1   operation of the center for arts education. 
 26.2      (c) The board may receive and award grants.  The board may 
 26.3   establish a charitable foundation and accept, in trust or 
 26.4   otherwise, any gift, grant, bequest, or devise for educational 
 26.5   purposes and hold, manage, invest, and dispose of them and the 
 26.6   proceeds and income of them according to the terms and 
 26.7   conditions of the gift, grant, bequest, or devise and its 
 26.8   acceptance.  The board shall adopt internal procedures to 
 26.9   administer and monitor aids and grants. 
 26.10     (d) The board may establish or coordinate evening, 
 26.11  continuing education, extension, and summer programs for 
 26.12  teachers and pupils. 
 26.13     (e) The board may identify pupils who have artistic talent, 
 26.14  either demonstrated or potential, in dance, literary arts, media 
 26.15  arts, music, theater, and visual arts, or in more than one art 
 26.16  form. 
 26.17     (f) The board shall educate pupils with artistic talent by 
 26.18  providing:  
 26.19     (1) an interdisciplinary academic and arts program for 
 26.20  pupils in the 11th and 12th grades.  The total number of pupils 
 26.21  accepted under this clause and clause (2) shall not exceed 300; 
 26.22     (2) additional instruction to pupils for a 13th grade. 
 26.23  Pupils eligible for this instruction are those enrolled in 12th 
 26.24  grade who need extra instruction and who apply to the board, or 
 26.25  pupils enrolled in the 12th grade who do not meet learner 
 26.26  outcomes established by the board.  Criteria for admission into 
 26.27  the 13th grade shall not be subject to chapter 14; 
 26.28     (3) intensive arts seminars for one or two weeks for pupils 
 26.29  in grades 9 to 12; 
 26.30     (4) summer arts institutes for pupils in grades 9 to 12; 
 26.31     (5) artist mentor and extension programs in regional sites; 
 26.32  and 
 26.33     (6) teacher education programs for indirect curriculum 
 26.34  delivery. 
 26.35     (g) The board may determine the location for the Lola and 
 26.36  Rudy Perpich Minnesota center for arts education and any 
 27.1   additional facilities related to the center, including the 
 27.2   authority to lease a temporary facility. 
 27.3      (h) The board must plan for the enrollment of pupils on an 
 27.4   equal basis from each congressional district.  
 27.5      (i) The board may establish task forces as needed to advise 
 27.6   the board on policies and issues.  The task forces expire as 
 27.7   provided in section 15.059, subdivision 6.  
 27.8      (j) The board may request the commissioner of children, 
 27.9   families, and learning for assistance and services. 
 27.10     (k) The board may enter into contracts with other public 
 27.11  and private agencies and institutions for residential and 
 27.12  building maintenance services if it determines that these 
 27.13  services could be provided more efficiently and less expensively 
 27.14  by a contractor than by the board itself.  The board may also 
 27.15  enter into contracts with public or private agencies and 
 27.16  institutions, school districts or combinations of school 
 27.17  districts, or service cooperatives to provide supplemental 
 27.18  educational instruction and services. 
 27.19     (l) The board may provide or contract for services and 
 27.20  programs by and for the center for arts education, including a 
 27.21  store, operating in connection with the center; theatrical 
 27.22  events; and other programs and services that, in the 
 27.23  determination of the board, serve the purposes of the center. 
 27.24     (m) The board may provide for transportation of pupils to 
 27.25  and from the center for arts education for all or part of the 
 27.26  school year, as the board considers advisable and subject to its 
 27.27  rules.  Notwithstanding any other law to the contrary, the board 
 27.28  may charge a reasonable fee for transportation of pupils.  Every 
 27.29  driver providing transportation of pupils under this paragraph 
 27.30  must possess all qualifications required by the state board of 
 27.31  education.  The board may contract for furnishing authorized 
 27.32  transportation under rules established by the commissioner of 
 27.33  children, families, and learning and may purchase and furnish 
 27.34  gasoline to a contract carrier for use in the performance of a 
 27.35  contract with the board for transportation of pupils to and from 
 27.36  the center for arts education.  When transportation is provided, 
 28.1   scheduling of routes, establishment of the location of bus 
 28.2   stops, the manner and method of transportation, the control and 
 28.3   discipline of pupils, and any other related matter is within the 
 28.4   sole discretion, control, and management of the board. 
 28.5      (n) The board may provide room and board for its pupils.  
 28.6   If the board provides room and board, it shall charge a 
 28.7   reasonable fee for the room and board.  The fee is not subject 
 28.8   to chapter 14 and is not a prohibited fee according to sections 
 28.9   120.71 to 120.76. 
 28.10     (o) The board may establish and set fees for services and 
 28.11  programs without regard to chapter 14.  If the board sets fees 
 28.12  not authorized or prohibited by the Minnesota public school fee 
 28.13  law, it may do so without complying with the requirements of 
 28.14  section 120.75, subdivision 1. 
 28.15     Sec. 4.  Minnesota Statutes 1996, section 147A.26, is 
 28.16  amended to read: 
 28.17     147A.26 [PROCEDURES.] 
 28.18     The board shall establish, in writing, internal operating 
 28.19  procedures for receiving and investigating complaints, accepting 
 28.20  and processing applications, granting registrations, and 
 28.21  imposing enforcement actions.  The written internal operating 
 28.22  procedures may include procedures for sharing complaint 
 28.23  information with government agencies in this and other states.  
 28.24  Establishment of the operating procedures are not subject to 
 28.25  rulemaking procedures under chapter 14.  Procedures for sharing 
 28.26  complaint information must be consistent with the requirements 
 28.27  for handling government data under chapter 13. 
 28.28     Sec. 5.  Minnesota Statutes 1996, section 148B.66, 
 28.29  subdivision 3, is amended to read: 
 28.30     Subd. 3.  [EXCHANGING INFORMATION.] (a) The office of 
 28.31  mental health practice shall establish internal operating 
 28.32  procedures for: 
 28.33     (1) exchanging information with state boards; agencies, 
 28.34  including the office of ombudsman for mental health and mental 
 28.35  retardation; health related and law enforcement facilities; 
 28.36  departments responsible for licensing health related 
 29.1   occupations, facilities, and programs; and law enforcement 
 29.2   personnel in this and other states; and 
 29.3      (2) coordinating investigations involving matters within 
 29.4   the jurisdiction of more than one regulatory agency.  
 29.5      Establishment of the operating procedures is not subject to 
 29.6   rulemaking under chapter 14. 
 29.7      (b) The procedures for exchanging information must provide 
 29.8   for the forwarding to the entities described in paragraph (a), 
 29.9   clause (1), of information and evidence, including the results 
 29.10  of investigations, that are relevant to matters within the 
 29.11  regulatory jurisdiction of the organizations in paragraph (a).  
 29.12  The data have the same classification in the hands of the agency 
 29.13  receiving the data as they have in the hands of the agency 
 29.14  providing the data.  
 29.15     (c) The office of mental health practice shall establish 
 29.16  procedures for exchanging information with other states 
 29.17  regarding disciplinary action against licensed and unlicensed 
 29.18  mental health practitioners.  
 29.19     (d) The office of mental health practice shall forward to 
 29.20  another governmental agency any complaints received by the 
 29.21  office that do not relate to the office's jurisdiction but that 
 29.22  relate to matters within the jurisdiction of the other 
 29.23  governmental agency.  The agency to which a complaint is 
 29.24  forwarded shall advise the office of mental health practice of 
 29.25  the disposition of the complaint.  A complaint or other 
 29.26  information received by another governmental agency relating to 
 29.27  a statute or rule that the office of mental health practice is 
 29.28  empowered to enforce must be forwarded to the office to be 
 29.29  processed in accordance with this section. 
 29.30     (e) The office of mental health practice shall furnish to a 
 29.31  person who made a complaint a description of the actions of the 
 29.32  office relating to the complaint.  
 29.33     Sec. 6.  Minnesota Statutes 1996, section 148C.03, 
 29.34  subdivision 1, is amended to read: 
 29.35     Subdivision 1.  [GENERAL.] The commissioner shall, after 
 29.36  consultation with the advisory council or a subcommittee or the 
 30.1   special licensing criteria committee established under section 
 30.2   148C.11, subdivision 3, paragraph (b): 
 30.3      (a) adopt and enforce rules for licensure of alcohol and 
 30.4   drug counselors, including establishing standards and methods of 
 30.5   determining whether applicants and licensees are qualified under 
 30.6   section 148C.04.  The rules must provide for examinations and 
 30.7   establish standards for the regulation of professional conduct.  
 30.8   The rules must be designed to protect the public; 
 30.9      (b) hold or contract for the administration of examinations 
 30.10  at least twice a year to assess applicants' knowledge and 
 30.11  skills.  The examinations must be written and oral and may be 
 30.12  administered by the commissioner or by a private organization 
 30.13  under contract with the commissioner to administer the licensing 
 30.14  examinations.  Examinations must minimize cultural bias and must 
 30.15  be balanced in various theories relative to practice of alcohol 
 30.16  and drug counseling; 
 30.17     (c) issue licenses to individuals qualified under sections 
 30.18  148C.01 to 148C.11; 
 30.19     (d) issue copies of the rules for licensure to all 
 30.20  applicants; 
 30.21     (e) adopt rules to establish and implement procedures, 
 30.22  including a standard disciplinary process and rules of 
 30.23  professional conduct; 
 30.24     (f) carry out disciplinary actions against licensees; 
 30.25     (g) establish, with the advice and recommendations of the 
 30.26  advisory council, written internal operating procedures for 
 30.27  receiving and investigating complaints and for taking 
 30.28  disciplinary actions as appropriate.  Establishment of the 
 30.29  operating procedures are not subject to rulemaking procedures 
 30.30  under chapter 14; 
 30.31     (h) educate the public about the existence and content of 
 30.32  the rules for alcohol and drug counselor licensing to enable 
 30.33  consumers to file complaints against licensees who may have 
 30.34  violated the rules; 
 30.35     (i) evaluate the rules in order to refine and improve the 
 30.36  methods used to enforce the commissioner's standards; 
 31.1      (j) set, collect, and adjust license fees for alcohol and 
 31.2   drug counselors so that the total fees collected will as closely 
 31.3   as possible equal anticipated expenditures during the biennium, 
 31.4   as provided in section 16A.1285; fees for initial and renewal 
 31.5   application and examinations; late fees for counselors who 
 31.6   submit license renewal applications after the renewal deadline; 
 31.7   and a surcharge fee.  The surcharge fee must include an amount 
 31.8   necessary to recover, over a five-year period, the 
 31.9   commissioner's direct expenditures for the adoption of the rules 
 31.10  providing for the licensure of alcohol and drug counselors.  All 
 31.11  fees received shall be deposited in the state treasury and 
 31.12  credited to the special revenue fund; and 
 31.13     (k) prepare reports on activities related to the licensure 
 31.14  of alcohol and drug counselors according to this subdivision by 
 31.15  October 1 of each even-numbered year.  Copies of the reports 
 31.16  shall be delivered to the legislature in accordance with section 
 31.17  3.195 and to the governor.  The reports shall contain the 
 31.18  following information on the commissioner's activities relating 
 31.19  to the licensure of alcohol and drug counselors, for the 
 31.20  two-year period ending the previous June 30: 
 31.21     (1) a general statement of the activities; 
 31.22     (2) the number of staff hours spent on the activities; 
 31.23     (3) the receipts and disbursements of funds; 
 31.24     (4) the names of advisory council members and their 
 31.25  addresses, occupations, and dates of appointment and 
 31.26  reappointment; 
 31.27     (5) the names and job classifications of employees; 
 31.28     (6) a brief summary of rules proposed or adopted during the 
 31.29  reporting period with appropriate citations to the State 
 31.30  Register and published rules; 
 31.31     (7) the number of persons having each type of license 
 31.32  issued by the commissioner as of June 30 in the year of the 
 31.33  report; 
 31.34     (8) the locations and dates of the administration of 
 31.35  examinations by the commissioner; 
 31.36     (9) the number of persons examined by the commissioner with 
 32.1   the persons subdivided into groups showing age categories, sex, 
 32.2   and states of residency; 
 32.3      (10) the number of persons licensed by the commissioner 
 32.4   after taking the examinations referred to in clause (8) with the 
 32.5   persons subdivided by age categories, sex, and states of 
 32.6   residency; 
 32.7      (11) the number of persons not licensed by the commissioner 
 32.8   after taking the examinations referred to in clause (8) with the 
 32.9   persons subdivided by age categories, sex, and states of 
 32.10  residency; 
 32.11     (12) the number of persons not taking the examinations 
 32.12  referred to in clause (8) who were licensed by the commissioner 
 32.13  or who were denied licensing, the reasons for the licensing or 
 32.14  denial, and the persons subdivided by age categories, sex, and 
 32.15  states of residency; 
 32.16     (13) the number of persons previously licensed by the 
 32.17  commissioner whose licenses were revoked, suspended, or 
 32.18  otherwise altered in status with brief statements of the reasons 
 32.19  for the revocation, suspension, or alteration; 
 32.20     (14) the number of written and oral complaints and other 
 32.21  communications received by the commissioner which allege or 
 32.22  imply a violation of a statute or rule which the commissioner is 
 32.23  empowered to enforce; 
 32.24     (15) a summary, by specific category, of the substance of 
 32.25  the complaints and communications referred to in clause (14) 
 32.26  and, for each specific category, the responses or dispositions; 
 32.27  and 
 32.28     (16) any other objective information which the commissioner 
 32.29  believes will be useful in reviewing the commissioner's 
 32.30  activities. 
 32.31     Sec. 7.  Minnesota Statutes 1996, section 153A.15, 
 32.32  subdivision 3, is amended to read: 
 32.33     Subd. 3.  [PROCEDURES.] The commissioner shall establish, 
 32.34  in writing, internal operating procedures for receiving and 
 32.35  investigating complaints and imposing enforcement actions.  The 
 32.36  written internal operating procedures may include procedures for 
 33.1   sharing complaint information with government agencies in this 
 33.2   and other states.  Establishment of the operating procedures are 
 33.3   not subject to rulemaking procedures under chapter 14.  
 33.4   Procedures for sharing complaint information must be consistent 
 33.5   with the requirements for handling government data under chapter 
 33.6   13. 
 33.7      Sec. 8.  Minnesota Statutes 1996, section 169.99, 
 33.8   subdivision 2, is amended to read: 
 33.9      Subd. 2.  [COMMISSIONER PRESCRIBES FORM.] The commissioner 
 33.10  of public safety shall prescribe the detailed form of the 
 33.11  uniform traffic ticket, and shall revise the uniform ticket on 
 33.12  such subsequent occasions as necessary and proper to keep the 
 33.13  uniform ticket in conformity with state and federal law.  The 
 33.14  rulemaking provisions of chapter 14 do not apply to this 
 33.15  subdivision.  
 33.16     Sec. 9.  Minnesota Statutes 1996, section 244.13, 
 33.17  subdivision 1, is amended to read: 
 33.18     Subdivision 1.  [ESTABLISHMENT.] The commissioner of 
 33.19  corrections shall establish programs for those designated by the 
 33.20  commissioner to serve all or part of a sentence on intensive 
 33.21  community supervision or all or part of a supervised release or 
 33.22  parole term on intensive supervised release.  The adoption and 
 33.23  modification of policies and procedures to implement sections 
 33.24  244.05, subdivision 6, and 244.12 to 244.15 are not subject to 
 33.25  the rulemaking procedures of chapter 14 because these policies 
 33.26  and procedures are excluded from the definition of a rule under 
 33.27  section 14.03, clause (2).  The commissioner shall locate the 
 33.28  programs so that at least one-half of the money appropriated for 
 33.29  the programs in each year is used for programs in community 
 33.30  corrections act counties.  In awarding contracts for intensive 
 33.31  supervision programs in community corrections act counties, the 
 33.32  commissioner shall give first priority to programs that utilize 
 33.33  county employees as intensive supervision agents and shall give 
 33.34  second priority to programs that utilize state employees as 
 33.35  intensive supervision agents.  The commissioner may award 
 33.36  contracts to other providers in community corrections act 
 34.1   counties only if doing so will result in a significant cost 
 34.2   savings or a significant increase in the quality of services 
 34.3   provided, and only after notifying the chairs of the committees 
 34.4   in the senate and house of representatives with jurisdiction 
 34.5   over criminal justice policy. 
 34.6      Sec. 10.  Minnesota Statutes 1996, section 518.14, 
 34.7   subdivision 2, is amended to read: 
 34.8      Subd. 2.  [ENFORCEMENT OF CHILD SUPPORT.] (a) A child 
 34.9   support obligee is entitled to recover from the obligor 
 34.10  reasonable attorney fees and other collection costs incurred to 
 34.11  enforce a child support judgment, as provided in this 
 34.12  subdivision.  In order to recover collection costs under this 
 34.13  subdivision, the arrearages must be at least $500 and must be at 
 34.14  least 90 days past due.  In addition, the arrearages must be a 
 34.15  docketed judgment under sections 548.09 and 548.091.  If the 
 34.16  obligor pays in full the judgment rendered under section 548.091 
 34.17  within 20 days of receipt of notice of entry of judgment, the 
 34.18  obligee is not entitled to recover attorney fees or collection 
 34.19  costs under this subdivision. 
 34.20     (b) Written notice must be provided by any obligee 
 34.21  contracting with an attorney or collection entity to enforce a 
 34.22  child support judgment to the public authority responsible for 
 34.23  child support enforcement, if the public authority is a party or 
 34.24  provides services to a party, within five days of signing a 
 34.25  contract for services and within five days of receipting any 
 34.26  payments received on a child support judgment.  Attorney fees 
 34.27  and collection costs obtained under this subdivision are 
 34.28  considered child support and entitled to the applicable remedies 
 34.29  for collection and enforcement of child support.  
 34.30     (c) The obligee shall serve notice of the obligee's intent 
 34.31  to recover attorney fees and collections costs by certified or 
 34.32  registered mail on the obligor at the obligor's last known 
 34.33  address.  The notice must include an itemization of the attorney 
 34.34  fees and collection costs being sought by the obligee and inform 
 34.35  the obligor that the fees and costs will become an additional 
 34.36  judgment for child support unless the obligor requests a hearing 
 35.1   on the reasonableness of the fees and costs or to contest the 
 35.2   child support judgment on grounds limited to mistake of fact 
 35.3   within 20 days of mailing of the notice. 
 35.4      (d) If the obligor requests a hearing, the only issues to 
 35.5   be determined by the court are whether the attorney fees or 
 35.6   collection costs were reasonably incurred by the obligee for the 
 35.7   enforcement of a child support judgment against the obligor or 
 35.8   the validity of the child support judgment on grounds limited to 
 35.9   mistake of fact.  The fees and costs may not exceed 30 percent 
 35.10  of the arrearages.  The court may modify the amount of attorney 
 35.11  fees and costs as appropriate and shall enter judgment 
 35.12  accordingly. 
 35.13     (e) If the obligor fails to request a hearing within 20 
 35.14  days of mailing of the notice under paragraph (a), the amount of 
 35.15  the attorney fees or collection costs requested by the obligee 
 35.16  in the notice automatically becomes an additional judgment for 
 35.17  child support. 
 35.18     (f) The commissioner of human services shall prepare and 
 35.19  make available to the court and the parties forms for use in 
 35.20  providing for notice and requesting a hearing under this 
 35.21  subdivision.  The rulemaking provisions of chapter 14 do not 
 35.22  apply to the forms. 
 35.23     Sec. 11.  Minnesota Statutes 1996, section 518.611, 
 35.24  subdivision 9, is amended to read: 
 35.25     Subd. 9.  [FORMS.] The commissioner of human services shall 
 35.26  prepare and make available to courts and obligors a form to be 
 35.27  submitted by the obligor in support of a motion to deny 
 35.28  withholding under this section.  The rulemaking provisions of 
 35.29  chapter 14 shall not apply to the preparation of the form. 
 35.30     Sec. 12.  Minnesota Statutes 1996, section 518.613, 
 35.31  subdivision 6, is amended to read: 
 35.32     Subd. 6.  [NOTICE OF SERVICES.] The department of human 
 35.33  services shall prepare and make available to the courts a form 
 35.34  notice of child support and maintenance collection services 
 35.35  available through the public authority responsible for child 
 35.36  support enforcement, including automatic income withholding 
 36.1   under this section.  Promptly upon the filing of a petition for 
 36.2   dissolution of marriage or legal separation by parties who have 
 36.3   a minor child, the court administrator shall send the form 
 36.4   notice to the petitioner and respondent at the addresses given 
 36.5   in the petition.  The rulemaking provisions of chapter 14 shall 
 36.6   not apply to the preparation of the form notice. 
 36.7      Sec. 13.  Minnesota Statutes 1996, section 518.64, 
 36.8   subdivision 5, is amended to read: 
 36.9      Subd. 5.  [FORM.] The department of human services shall 
 36.10  prepare and make available to courts, obligors and persons to 
 36.11  whom child support is owed a form to be submitted by the obligor 
 36.12  or the person to whom child support is owed in support of a 
 36.13  motion for a modification of an order for support or maintenance 
 36.14  or for contempt of court.  The rulemaking provisions of chapter 
 36.15  14 shall not apply to the preparation of the form. 
 36.16     Sec. 14.  Minnesota Statutes 1996, section 518.641, 
 36.17  subdivision 4, is amended to read: 
 36.18     Subd. 4.  [FORM.] The department of human services shall 
 36.19  prepare and make available to the court and obligors a form to 
 36.20  be submitted to the department by the obligor in support of a 
 36.21  request for hearing under this section regarding a child support 
 36.22  order.  The rulemaking provisions of chapter 14 shall not apply 
 36.23  to the preparation of the form.  
 36.24     Sec. 15.  Minnesota Statutes 1996, section 624.7151, is 
 36.25  amended to read: 
 36.26     624.7151 [STANDARDIZED FORMS.] 
 36.27     By December 1, 1992, the commissioner of public safety 
 36.28  shall adopt statewide standards governing the form and contents, 
 36.29  as required by sections 624.7131 to 624.714, of every 
 36.30  application for a pistol transferee permit, pistol transferee 
 36.31  permit, report of transfer of a pistol, application for a permit 
 36.32  to carry a pistol, and permit to carry a pistol that is granted 
 36.33  or renewed on or after January 1, 1993.  The adoption of these 
 36.34  standards is not subject to the rulemaking provisions of chapter 
 36.35  14. 
 36.36     Every application for a pistol transferee permit, pistol 
 37.1   transferee permit, report of transfer of a pistol, application 
 37.2   for a permit to carry a pistol, and permit to carry a pistol 
 37.3   that is received, granted, or renewed by a police chief or 
 37.4   county sheriff on or after January 1, 1993, must meet the 
 37.5   statewide standards adopted by the commissioner of public safety.
 37.6   Notwithstanding the previous sentence, neither failure of the 
 37.7   department of public safety to adopt standards nor failure of 
 37.8   the police chief or county sheriff to meet them shall delay the 
 37.9   timely processing of applications nor invalidate permits issued 
 37.10  on other forms meeting the requirements of sections 624.7131 to 
 37.11  624.714. 
 37.12     Sec. 16.  [EFFECT OF AMENDMENTS OR REPEALS.] 
 37.13     The agency actions in this article are exempt from 
 37.14  rulemaking under Minnesota Statutes, section 14.03, subdivision 
 37.15  3, clause (1), or section 16A.1285.  An agency need not comply 
 37.16  with rulemaking procedures in Minnesota Statutes, chapter 14, in 
 37.17  order to take actions affected by the amendments and repeals in 
 37.18  this article. 
 37.19     Sec. 17.  [EFFECTIVE DATE.] 
 37.20     This article is effective June 30, 1997. 
 37.21                             ARTICLE 3
 37.22                   EXEMPTIONS THAT ARE NOT RULES
 37.23     Section 1.  Minnesota Statutes 1996, section 16A.632, 
 37.24  subdivision 2, is amended to read: 
 37.25     Subd. 2.  [STANDARDS.] Article XI, section 5, clause (a), 
 37.26  of the constitution states general obligation bonds may be 
 37.27  issued to finance only the acquisition or betterment of state 
 37.28  land, buildings, and improvements of a capital nature.  In 
 37.29  interpreting this and applying it to the purposes of the program 
 37.30  contemplated in this section, the following standards are 
 37.31  adopted for the disbursement of money from the capital asset 
 37.32  preservation and replacement account:  
 37.33     (a) No new land, buildings, or major new improvements will 
 37.34  be acquired.  These projects, including all capital expenditures 
 37.35  required to permit their effective use for the intended purpose 
 37.36  on completion, will be estimated and provided for individually 
 38.1   through a direct appropriation for each project.  
 38.2      (b) An expenditure will be made from the account only when 
 38.3   it is a capital expenditure on a capital asset previously owned 
 38.4   by the state, within the meaning of accepted accounting 
 38.5   principles as applied to public expenditures.  The commissioner 
 38.6   of administration will consult with the commissioner of finance 
 38.7   to the extent necessary to ensure this and will furnish the 
 38.8   commissioner of finance a list of projects to be financed from 
 38.9   the account in order of their priority.  The commissioner shall 
 38.10  also furnish each revision of the list.  The legislature assumes 
 38.11  that many provisions for preservation and replacement of 
 38.12  portions of existing capital assets will constitute betterments 
 38.13  and capital improvements within the meaning of the constitution 
 38.14  and capital expenditures under correct accounting principles, 
 38.15  and will be financed more efficiently and economically under the 
 38.16  program than by direct appropriations for specific projects.  
 38.17  However, the purpose of the program is to accumulate data 
 38.18  showing how additional costs may be saved by appropriating money 
 38.19  from the general fund for preservation measures, the necessity 
 38.20  of which is predictable over short periods.  
 38.21     (c) The commissioner of administration will furnish 
 38.22  instructions to agencies to apply for funding of capital 
 38.23  expenditures for preservation and replacement from the account, 
 38.24  will review applications, will make initial allocations among 
 38.25  types of eligible projects enumerated below, will determine 
 38.26  priorities, and will allocate money in priority order until the 
 38.27  available appropriation has been committed.  Under section 
 38.28  14.02, subdivision 4, these instructions and allocations do not 
 38.29  constitute rules and the other provisions of chapter 14 do not 
 38.30  apply to them.  
 38.31     (d) Categories of projects considered likely to be most 
 38.32  needed and appropriate for financing are the following:  
 38.33     (1) unanticipated emergencies of all kinds, for which a 
 38.34  relatively small amount should be initially reserved, replaced 
 38.35  from money allocated to low-priority projects, if possible, as 
 38.36  emergencies occur, and used for stabilization rather than 
 39.1   replacement if the cost would exhaust the account and should be 
 39.2   specially appropriated; 
 39.3      (2) projects to remove life safety hazards, like 
 39.4   replacement of mechanical systems, building code violations, or 
 39.5   structural defects, at costs not large enough to require major 
 39.6   capital requests to the legislature; 
 39.7      (3) elimination or containment of hazardous substances like 
 39.8   asbestos or PCBs; and 
 39.9      (4) moderate cost replacement and repair of roofs, windows, 
 39.10  tuckpointing, and structural members necessary to preserve the 
 39.11  exterior and interior of existing buildings.  
 39.12     Sec. 2.  Minnesota Statutes 1996, section 16B.18, 
 39.13  subdivision 3, is amended to read: 
 39.14     Subd. 3.  [RULES.] Rules under this section may provide a 
 39.15  procedure by which the commissioner shall determine product 
 39.16  specifications, quality standards, and timing of delivery to be 
 39.17  complied with by the sheltered workshop and work activity 
 39.18  program boards on purchases made under this section.  The list 
 39.19  to be prepared pursuant to subdivision 1 shall not be 
 39.20  promulgated as a rule.  
 39.21     Sec. 3.  Minnesota Statutes 1996, section 16D.11, 
 39.22  subdivision 7, is amended to read: 
 39.23     Subd. 7.  [ADJUSTMENT OF RATE.] By June 1 of each year, the 
 39.24  commissioner of finance shall determine the rate of the penalty 
 39.25  for debts referred to the enterprise during the next fiscal 
 39.26  year.  The rate is a percentage of the debts in an amount that 
 39.27  most nearly equals the costs of the enterprise necessary to 
 39.28  process and collect referred debts under this chapter.  In no 
 39.29  event shall the rate of the penalty when a debt is first 
 39.30  referred exceed three-fifths of the maximum penalty, and in no 
 39.31  event shall the rate of the maximum penalty exceed 25 percent of 
 39.32  the debt.  Determination of the rate of the penalty under this 
 39.33  section is not rulemaking under chapter 14, and is not subject 
 39.34  to the fee setting requirements of section 16A.1285. 
 39.35     Sec. 4.  Minnesota Statutes 1996, section 17.54, 
 39.36  subdivision 4, is amended to read: 
 40.1      Subd. 4.  [ELECTION.] Upon receipt of the nominations the 
 40.2   commissioner shall promptly arrange an election to be held at 
 40.3   places designated by the commissioner reasonably convenient to 
 40.4   all producers in the organized area and provide notice of the 
 40.5   election to all of the media having a general circulation in the 
 40.6   organized area.  Ballots setting forth the names of the 
 40.7   nominated candidates and providing for write-in candidates shall 
 40.8   be made available at all polling places.  Only producers of the 
 40.9   agricultural commodity involved shall be qualified to vote.  
 40.10  General polling procedures shall be established by the 
 40.11  commissioner by rule pursuant to chapter 14 to avoid voting by 
 40.12  other than qualified producers, but the selection of specific 
 40.13  polling places shall not be subject to chapter 14.  An impartial 
 40.14  committee appointed by the commissioner shall tabulate the 
 40.15  votes, and the candidates receiving the most votes shall be 
 40.16  declared elected to the first council.  
 40.17     After the first council for a commodity is elected, an 
 40.18  election shall be held annually to elect members of the council. 
 40.19  The election shall be held in the same manner as prescribed for 
 40.20  the first council election except that the manner of choosing 
 40.21  nominating committee members, the time of nominations and the 
 40.22  time and place of elections shall be fixed by the commissioner.  
 40.23  Mail balloting may be permitted by the commissioner.  
 40.24     Sec. 5.  Minnesota Statutes 1996, section 17.56, 
 40.25  subdivision 2, is amended to read: 
 40.26     Subd. 2.  [HEARINGS.] The commissioner, after consultation 
 40.27  with the council, shall hold public hearings on the proposed 
 40.28  promotional order in areas and at times affording reasonable 
 40.29  opportunities for producers to attend.  These hearings shall not 
 40.30  be subject to the administrative procedure act of chapter 14.  
 40.31  After such hearings and after consultation with the council, the 
 40.32  commissioner shall determine whether or not the promotional 
 40.33  order shall be amended, modified or supplemented.  If changes or 
 40.34  additions of substance are made, commissioner shall hold public 
 40.35  hearings on the amended or supplemented promotional order. 
 40.36     Sec. 6.  Minnesota Statutes 1996, section 17.57, 
 41.1   subdivision 1, is amended to read: 
 41.2      Subdivision 1.  [ADOPTION OF RULES.] Each council shall at 
 41.3   its regular meetings adopt rules consistent with sections 17.51 
 41.4   to 17.69 for the administration of the promotional order.  These 
 41.5   rules are not subject to the administrative procedure act of 
 41.6   chapter 14.  
 41.7      Sec. 7.  Minnesota Statutes 1996, section 17.64, 
 41.8   subdivision 2, is amended to read: 
 41.9      Subd. 2.  [BY REFERENDUM.] Upon petition of the same number 
 41.10  of producers as required to initiate the promotional order, the 
 41.11  commissioner shall within 60 days conduct a referendum to 
 41.12  determine whether or not the promotional order shall be 
 41.13  continued.  The commissioner shall terminate the order at the 
 41.14  end of the current marketing year if a majority of the producers 
 41.15  voting in the referendum vote in favor of termination.  The 
 41.16  petition of producers shall include a statement certifying that 
 41.17  the signatures are those of qualified producers of the commodity 
 41.18  involved.  The commissioner shall not conduct a referendum for 
 41.19  termination of a promotional order if a referendum for 
 41.20  termination of the same promotional order has been conducted 
 41.21  within the preceding year.  A hearing for a termination of an 
 41.22  order need not be held as provided in chapter 14.  
 41.23     Sec. 8.  Minnesota Statutes 1996, section 48.221, is 
 41.24  amended to read: 
 41.25     48.221 [RESERVES.] 
 41.26     A state bank or trust company shall maintain reserves in 
 41.27  the form of liquid assets at a level reasonably necessary to 
 41.28  meet anticipated withdrawals, commitments, and loan demand.  
 41.29  Reserves shall be in cash, cash items in process of collection, 
 41.30  short term obligations of or demand balances with other insured 
 41.31  financial institutions in the United States and its territories, 
 41.32  or short term, direct obligations of or guaranteed by the United 
 41.33  States government.  Obligations must mature within one year to 
 41.34  be considered short term.  The commissioner may prescribe the 
 41.35  required amount of reserves in relation to liabilities for any 
 41.36  individual state bank or trust company from time to time based 
 42.1   upon examination findings or other reports relating to the bank 
 42.2   or trust company that are available to the commissioner.  The 
 42.3   determination by the commissioner of a required amount of 
 42.4   reserves for an institution shall not be considered a rule as 
 42.5   defined by section 14.02, subdivision 4.  Reserves for an 
 42.6   individual state bank or trust company as prescribed by the 
 42.7   commissioner pursuant to this section shall be enforced in 
 42.8   accordance with sections 46.24 and 46.30 to 46.33.  
 42.9      Sec. 9.  Minnesota Statutes 1996, section 50.175, 
 42.10  subdivision 2, is amended to read: 
 42.11     Subd. 2.  [RESERVES.] A savings bank shall maintain 
 42.12  reserves in the form of liquid assets at a level reasonably 
 42.13  necessary to meet anticipated withdrawals, commitments, and loan 
 42.14  demand.  Reserves shall be in cash, cash items in process of 
 42.15  collection, short term obligations of or demand balances with 
 42.16  other insured financial institutions in the United States and 
 42.17  its territories, or short term, direct obligations of or 
 42.18  guaranteed by the United States government.  Obligations must 
 42.19  mature within one year to be considered short term.  The 
 42.20  commissioner may prescribe the required amount of reserves in 
 42.21  relation to liabilities for any individual savings bank from 
 42.22  time to time based upon examination findings or other reports 
 42.23  relating to the savings bank that are available to the 
 42.24  commissioner.  The determination by the commissioner of a 
 42.25  required amount of reserves for a savings bank shall not be 
 42.26  considered a rule as defined by section 14.02, subdivision 4.  
 42.27  Reserves for an individual savings bank as prescribed by the 
 42.28  commissioner pursuant to this section shall be enforced in 
 42.29  accordance with sections 46.24 and 46.30 to 46.33.  
 42.30     Sec. 10.  Minnesota Statutes 1996, section 51A.361, is 
 42.31  amended to read: 
 42.32     51A.361 [RESERVES.] 
 42.33     An association shall maintain reserves in the form of 
 42.34  liquid assets, as defined in section 51A.02, subdivision 34, at 
 42.35  a level reasonably necessary to meet anticipated withdrawals, 
 42.36  commitments, and loan demand.  The commissioner of commerce may 
 43.1   prescribe the required amount of reserves for any individual 
 43.2   association from time to time based upon examination findings or 
 43.3   other reports relating to the association that are available to 
 43.4   the commissioner.  The determination by the commissioner of a 
 43.5   required amount of reserves for an association shall not be 
 43.6   considered a rule as defined by section 14.02, subdivision 4.  
 43.7   Reserves for an individual association as prescribed by the 
 43.8   commissioner pursuant to this section shall be enforced in 
 43.9   accordance with sections 46.24 and 46.30 to 46.33.  
 43.10     Sec. 11.  Minnesota Statutes 1996, section 52.17, 
 43.11  subdivision 2, is amended to read: 
 43.12     Subd. 2.  [REQUIRED LIQUIDITY.] Every credit union shall 
 43.13  maintain a reserve in the form of liquid assets at a level 
 43.14  reasonably necessary to meet anticipated withdrawals, 
 43.15  commitments, and loan demand.  Reserves must be in cash and 
 43.16  balances due from solvent banks or which may be, in whole or in 
 43.17  part, in short term obligations guaranteed as to principal and 
 43.18  interest by the United States government or in certificates of 
 43.19  deposit of a federally insured bank or in a passbook or other 
 43.20  account in a federally insured savings association or in 
 43.21  balances due from the Minnesota corporate credit union or ICU 
 43.22  services corporation or United States central credit union.  The 
 43.23  commissioner of commerce may prescribe the required amount of 
 43.24  reserves for any individual credit union from time to time based 
 43.25  upon examination findings or other reports relating to the 
 43.26  credit union that are available to the commissioner.  The 
 43.27  determination by the commissioner of a required amount of 
 43.28  reserves for a credit union shall not be considered a rule as 
 43.29  defined by section 14.02, subdivision 4.  Reserves for an 
 43.30  individual credit union as prescribed by the commissioner 
 43.31  pursuant to this section shall be enforced in accordance with 
 43.32  sections 46.24 and 46.30 to 46.33.  
 43.33     Sec. 12.  Minnesota Statutes 1996, section 53.07, 
 43.34  subdivision 1, is amended to read: 
 43.35     Subdivision 1.  [LIQUIDITY REQUIREMENT.] An industrial loan 
 43.36  and thrift company shall maintain reserves in the form of liquid 
 44.1   assets at a level reasonably necessary to meet anticipated 
 44.2   withdrawals, commitments, and loan demand.  Reserves shall be in 
 44.3   cash, cash items in process of collection, short term 
 44.4   obligations of or demand balances with other insured financial 
 44.5   institutions in the United States and its territories, or short 
 44.6   term, direct obligations of or guaranteed by the United States 
 44.7   government.  Obligations must mature within one year to be 
 44.8   considered short term.  The commissioner may prescribe the 
 44.9   required amount of reserves in relation to liabilities for an 
 44.10  individual industrial loan and thrift company from time to time 
 44.11  based upon examination findings or other reports relating to the 
 44.12  industrial loan and thrift company that are available to the 
 44.13  commissioner.  The determination by the commissioner of a 
 44.14  required amount of reserves for an industrial loan and thrift 
 44.15  company shall not be considered a rule as defined by section 
 44.16  14.02, subdivision 4.  Reserves for an individual industrial 
 44.17  loan and thrift company as prescribed by the commissioner 
 44.18  pursuant to this section shall be enforced in accordance with 
 44.19  sections 46.24 and 46.30 to 46.33.  
 44.20     Sec. 13.  Minnesota Statutes 1996, section 60A.13, 
 44.21  subdivision 6, is amended to read: 
 44.22     Subd. 6.  [COMPANY OR AGENT CANNOT CONTINUE BUSINESS UNLESS 
 44.23  STATEMENT IS FILED.] No company shall transact any new business 
 44.24  in this state after May 31 in any year unless it shall have 
 44.25  previously transmitted its annual statement to the commissioner 
 44.26  and filed a copy of its statement with the National Association 
 44.27  of Insurance Commissioners.  The commissioner may by order 
 44.28  annually require that each insurer pay the required fee to the 
 44.29  National Association of Insurance Commissioners for the filing 
 44.30  of annual statements, but the fee shall not be more than 50 
 44.31  percent greater than the fee set by the National Association of 
 44.32  Insurance Commissioners.  Failure to file the annual statement 
 44.33  with the commissioner or the National Association of Insurance 
 44.34  Commissioners is a violation of section 72A.061, subdivision 1.  
 44.35  The fee shall be based on the relative premium volume of each 
 44.36  insurer.  The commissioner's order shall not be subject to 
 45.1   chapter 14.  
 45.2      Sec. 14.  Minnesota Statutes 1996, section 60K.19, 
 45.3   subdivision 6, is amended to read: 
 45.4      Subd. 6.  [POWERS OF THE COMMISSIONER.] (a) The 
 45.5   commissioner shall make the final determination as to 
 45.6   accreditation and assignment of credit hours for courses.  
 45.7      (b) The commissioner shall adopt procedures for reporting 
 45.8   compliance with the minimum education requirement.  These 
 45.9   procedures are not subject to the rulemaking provisions of 
 45.10  chapter 14.  
 45.11     (c) The commissioner shall promulgate rules according to 
 45.12  chapter 14 to carry out the purposes of this section.  
 45.13     Sec. 15.  Minnesota Statutes 1996, section 61B.21, 
 45.14  subdivision 1, is amended to read: 
 45.15     Subdivision 1.  [FUNCTIONS.] The Minnesota life and health 
 45.16  insurance guaranty association shall perform its functions under 
 45.17  the plan of operation established and approved under section 
 45.18  61B.25, and shall exercise its powers through a board of 
 45.19  directors.  The association is not a state agency for purposes 
 45.20  of chapter 14, 16A, 16B, or 43A.  For purposes of administration 
 45.21  and assessment, the association shall establish and maintain two 
 45.22  accounts: 
 45.23     (1) the life insurance and annuity account which includes 
 45.24  the following subaccounts: 
 45.25     (i) the life insurance account; 
 45.26     (ii) the annuity account; and 
 45.27     (iii) the unallocated annuity account; and 
 45.28     (2) the health insurance account. 
 45.29     Sec. 16.  Minnesota Statutes 1996, section 62J.152, 
 45.30  subdivision 4, is amended to read: 
 45.31     Subd. 4.  [TECHNOLOGY EVALUATION PROCESS.] (a) The health 
 45.32  technology advisory committee shall collect and evaluate studies 
 45.33  and research findings on the technologies selected for 
 45.34  evaluation from as wide of a range of sources as needed, 
 45.35  including, but not limited to:  federal agencies or other units 
 45.36  of government, international organizations conducting health 
 46.1   care technology assessments, health carriers, insurers, 
 46.2   manufacturers, professional and trade associations, nonprofit 
 46.3   organizations, and academic institutions.  The health technology 
 46.4   advisory committee may use consultants or experts and solicit 
 46.5   testimony or other input as needed to evaluate a specific 
 46.6   technology. 
 46.7      (b) When the evaluation process on a specific technology 
 46.8   has been completed, the health technology advisory committee 
 46.9   shall submit a preliminary report to the health care commission 
 46.10  and publish a summary of the preliminary report in the State 
 46.11  Register with a notice that written comments may be submitted.  
 46.12  The preliminary report must include the results of the 
 46.13  technology assessment evaluation, studies and research findings 
 46.14  considered in conducting the evaluation, and the health 
 46.15  technology advisory committee's summary statement about the 
 46.16  evaluation.  Any interested persons or organizations may submit 
 46.17  to the health technology advisory committee written comments 
 46.18  regarding the technology evaluation within 30 days from the date 
 46.19  the preliminary report was published in the State Register.  The 
 46.20  health technology advisory committee's final report on its 
 46.21  technology evaluation must be submitted to the health care 
 46.22  commission.  A summary of written comments received by the 
 46.23  health technology advisory committee within the 30-day period 
 46.24  must be included in the final report.  The health care 
 46.25  commission shall review the final report and prepare its 
 46.26  comments and recommendations.  Before completing its final 
 46.27  comments and recommendations, the health care commission shall 
 46.28  provide adequate public notice that testimony will be accepted 
 46.29  by the health care commission.  The health care commission shall 
 46.30  then forward the final report, its comments and recommendations, 
 46.31  and a summary of the public's comments to the commissioner and 
 46.32  information clearinghouse. 
 46.33     (c) The reports of the health technology advisory committee 
 46.34  and the comments and recommendations of the health care 
 46.35  commission should not eliminate or bar new technology, and are 
 46.36  not rules as defined in the administrative procedure act. 
 47.1      Sec. 17.  Minnesota Statutes 1996, section 62L.13, 
 47.2   subdivision 3, is amended to read: 
 47.3      Subd. 3.  [EXEMPTIONS.] The association, its transactions, 
 47.4   and all property owned by it are exempt from taxation under the 
 47.5   laws of this state or any of its subdivisions, including, but 
 47.6   not limited to, income tax, sales tax, use tax, and property 
 47.7   tax. The association may seek exemption from payment of all fees 
 47.8   and taxes levied by the federal government.  Except as otherwise 
 47.9   provided in this chapter, the association is not subject to the 
 47.10  provisions of chapters 13, 14, 60A, 62A to 62H, and section 
 47.11  471.705.  The association is not a public employer and is not 
 47.12  subject to the provisions of chapters 179A and 353.  The board 
 47.13  of directors and health carriers who are members of the 
 47.14  association are exempt from sections 325D.49 to 325D.66 in the 
 47.15  performance of their duties as directors and members of the 
 47.16  association. 
 47.17     Sec. 18.  Minnesota Statutes 1996, section 65B.28, 
 47.18  subdivision 3, is amended to read: 
 47.19     Subd. 3.  [REFRESHER COURSE.] The department of public 
 47.20  safety, in consultation with other traffic safety and medical 
 47.21  professionals, may establish without rulemaking a refresher 
 47.22  course for persons who have completed the original course under 
 47.23  subdivision 2.  The refresher course shall be no more than four 
 47.24  hours, and based on the curriculum established under subdivision 
 47.25  2.  The department of public safety shall establish criteria for 
 47.26  and approve training agencies or organizations authorized to 
 47.27  conduct the refresher course. 
 47.28     Sec. 19.  Minnesota Statutes 1996, section 79.34, 
 47.29  subdivision 1, is amended to read: 
 47.30     Subdivision 1.  [CONDITIONS REQUIRING MEMBERSHIP.] The 
 47.31  nonprofit association known as the workers' compensation 
 47.32  reinsurance association may be incorporated under chapter 317A 
 47.33  with all the powers of a corporation formed under that chapter, 
 47.34  except that if the provisions of that chapter are inconsistent 
 47.35  with sections 79.34 to 79.40, sections 79.34 to 79.40 govern.  
 47.36  Each insurer as defined by section 79.01, subdivision 2, shall, 
 48.1   as a condition of its authority to transact workers' 
 48.2   compensation insurance in this state, be a member of the 
 48.3   reinsurance association and is bound by the plan of operation of 
 48.4   the reinsurance association; provided, that all affiliated 
 48.5   insurers within a holding company system as defined in chapter 
 48.6   60D are considered a single entity for purposes of the exercise 
 48.7   of all rights and duties of membership in the reinsurance 
 48.8   association.  Each self-insurer approved under section 176.181 
 48.9   and each political subdivision that self-insures shall, as a 
 48.10  condition of its authority to self-insure workers' compensation 
 48.11  liability in this state, be a member of the reinsurance 
 48.12  association and is bound by its plan of operation; provided that:
 48.13     (1) all affiliated companies within a holding company 
 48.14  system, as determined by the commissioner of labor and industry 
 48.15  in a manner consistent with the standards and definitions in 
 48.16  chapter 60D, are considered a single entity for purposes of the 
 48.17  exercise of all rights and duties of membership in the 
 48.18  reinsurance association; and 
 48.19     (2) all group self-insurers granted authority to 
 48.20  self-insure pursuant to section 176.181 are considered single 
 48.21  entities for purposes of the exercise of all the rights and 
 48.22  duties of membership in the reinsurance association.  As a 
 48.23  condition of its authority to self-insure workers' compensation 
 48.24  liability, and for losses incurred after December 31, 1983, the 
 48.25  state is a member of the reinsurance association and is bound by 
 48.26  its plan of operation.  The commissioner of employee relations 
 48.27  represents the state in the exercise of all the rights and 
 48.28  duties of membership in the reinsurance association.  The state 
 48.29  treasurer shall pay the premium to the reinsurance association 
 48.30  from the state compensation revolving fund upon warrants of the 
 48.31  commissioner of employee relations, except that the University 
 48.32  of Minnesota shall pay its portion of workers' compensation 
 48.33  reinsurance premiums directly to the workers' compensation 
 48.34  reinsurance association.  For the purposes of this section, 
 48.35  "state" means the administrative branch of state government, the 
 48.36  legislative branch, the judicial branch, the University of 
 49.1   Minnesota, and any other entity whose workers' compensation 
 49.2   liability is paid from the state revolving fund.  The 
 49.3   commissioner of finance may calculate, prorate, and charge a 
 49.4   department or agency the portion of premiums paid to the 
 49.5   reinsurance association for employees who are paid wholly or in 
 49.6   part by federal funds, dedicated funds, or special revenue 
 49.7   funds.  The reinsurance association is not a state agency.  
 49.8   Actions of the reinsurance association and its board of 
 49.9   directors and actions of the commissioner of labor and industry 
 49.10  with respect to the reinsurance association are not subject to 
 49.11  chapters 13, 14, and 15.  All property owned by the association 
 49.12  is exempt from taxation.  The reinsurance association is not 
 49.13  obligated to make any payments or pay any assessments to any 
 49.14  funds or pools established pursuant to this chapter or chapter 
 49.15  176 or any other law. 
 49.16     Sec. 20.  Minnesota Statutes 1996, section 79.34, 
 49.17  subdivision 2a, is amended to read: 
 49.18     Subd. 2a.  [DEFICIENCY.] If the board determines that a 
 49.19  distribution of excess surplus resulted in inadequate funds 
 49.20  being available to pay claims that arose during the period upon 
 49.21  which that distribution was calculated, the board shall 
 49.22  determine the amount of the deficiency.  The deficiency shall be 
 49.23  made up by imposing an assessment rate against self-insured 
 49.24  members and policyholders of insurer members.  The board shall 
 49.25  notify the commissioner of commerce of the amount of the 
 49.26  deficiency and recommend an assessment rate.  The commissioner 
 49.27  shall order an assessment at a rate and for the time period 
 49.28  necessary to eliminate the deficiency.  The assessment rate 
 49.29  shall be applied to the exposure base of self-insured employers 
 49.30  and insured employers.  The assessment may not be retroactive 
 49.31  and applies only prospectively.  The assessment may be spread 
 49.32  over a period of time that will cause the least financial 
 49.33  hardship to employers.  All assessments under this subdivision 
 49.34  are payable to the association.  The commissioner may issue 
 49.35  orders necessary to administer this section.  The orders are not 
 49.36  rules subject to chapter 14. 
 50.1      Sec. 21.  Minnesota Statutes 1996, section 79.362, is 
 50.2   amended to read: 
 50.3      79.362 [WORKERS' COMPENSATION REINSURANCE ASSOCIATION 
 50.4   EXCESS SURPLUS DISTRIBUTION.] 
 50.5      An order of the commissioner of the department of labor and 
 50.6   industry relating to the distribution of excess surplus of the 
 50.7   workers' compensation reinsurance association shall be reviewed 
 50.8   by the commissioner of commerce.  The commissioner of commerce 
 50.9   may amend, approve, or reject an order or issue further orders 
 50.10  to accomplish the purposes of section 79.361 and Laws 1993, 
 50.11  chapter 361, section 2.  The commissioner may not change the 
 50.12  amount of the distribution ordered by the commissioner of labor 
 50.13  and industry without agreement of the commissioner of labor and 
 50.14  industry.  An order of the commissioner of commerce under this 
 50.15  section is not subject to chapter 14. 
 50.16     Sec. 22.  Minnesota Statutes 1996, section 85.045, 
 50.17  subdivision 3, is amended to read: 
 50.18     Subd. 3.  [AGREEMENTS.] (a) The commissioner shall enter 
 50.19  into informal agreements with business and civic groups or 
 50.20  individuals for volunteer services to maintain and make 
 50.21  improvements to real and personal property in state parks, 
 50.22  monuments, historic sites, and trails in accordance with plans 
 50.23  devised by the commissioner after consultation with the groups. 
 50.24     (b) The commissioner may erect appropriate signs to 
 50.25  recognize and express appreciation to groups and individuals 
 50.26  providing volunteer services under the adopt-a-park program. 
 50.27     (c) The commissioner may provide assistance to enhance the 
 50.28  comfort and safety of volunteers and to facilitate the 
 50.29  implementation and administration of the adopt-a-park program.  
 50.30     (d) This section is not subject to chapter 14. 
 50.31     Sec. 23.  Minnesota Statutes 1996, section 97A.085, 
 50.32  subdivision 4a, is amended to read: 
 50.33     Subd. 4a.  [HEARING REQUIRED.] Before designating a game 
 50.34  refuge under this section, the commissioner must hold a public 
 50.35  hearing within the county where the majority of the proposed 
 50.36  game refuge exists.  Notices of the time and place of the 
 51.1   hearing must be posted in five conspicuous places within the 
 51.2   proposed game refuge at least 15 days before the hearing.  A 
 51.3   notice of the hearing must be published in a legal newspaper in 
 51.4   each county where the area is located at least seven days before 
 51.5   the hearing.  Designation of a game refuge under this section is 
 51.6   not subject to chapter 14. 
 51.7      Sec. 24.  Minnesota Statutes 1996, section 116O.05, 
 51.8   subdivision 3, is amended to read: 
 51.9      Subd. 3.  [RULES.] The corporation is not subject to 
 51.10  chapter 14, but must publish in the State Register any 
 51.11  guidelines, policies, rules, or eligibility criteria prepared or 
 51.12  adopted by the corporation for any of its financial or 
 51.13  technology transfer programs. 
 51.14     Sec. 25.  Minnesota Statutes 1996, section 171.321, 
 51.15  subdivision 2, is amended to read: 
 51.16     Subd. 2.  [RULES.] (a) The commissioner of public safety 
 51.17  shall prescribe rules governing the physical qualifications of 
 51.18  school bus drivers and tests required to obtain a school bus 
 51.19  endorsement.  The rules must provide that an applicant for a 
 51.20  school bus endorsement or renewal is exempt from the physical 
 51.21  qualifications and medical examination required to operate a 
 51.22  school bus upon providing evidence of being medically examined 
 51.23  and certified within the preceding 24 months as physically 
 51.24  qualified to operate a commercial motor vehicle, pursuant to 
 51.25  Code of Federal Regulations, title 49, part 391, subpart E, or 
 51.26  rules of the commissioner of transportation incorporating those 
 51.27  federal regulations.  
 51.28     (b) The commissioner of public safety, in conjunction with 
 51.29  the commissioner of economic security, shall adopt rules 
 51.30  prescribing a training program for Head Start bus 
 51.31  drivers.  Adoption of this program is not subject to chapter 
 51.32  14.  The program must provide for initial classroom and 
 51.33  behind-the-wheel training, and annual in-service training.  The 
 51.34  program must provide training in defensive driving, human 
 51.35  relations, emergency and accident procedures, vehicle 
 51.36  maintenance, traffic laws, and use of safety equipment.  The 
 52.1   program must provide that the training will be conducted by the 
 52.2   contract operator for a Head Start agency, the Head Start 
 52.3   grantee, a licensed driver training school, or by another person 
 52.4   or entity approved by both commissioners. 
 52.5      Sec. 26.  Minnesota Statutes 1996, section 176.102, 
 52.6   subdivision 2, is amended to read: 
 52.7      Subd. 2.  [ADMINISTRATORS.] The commissioner shall hire a 
 52.8   director of rehabilitation services in the classified service. 
 52.9   The commissioner shall monitor and supervise rehabilitation 
 52.10  services, including, but not limited to, making determinations 
 52.11  regarding the selection and delivery of rehabilitation services 
 52.12  and the criteria used to approve qualified rehabilitation 
 52.13  consultants and rehabilitation vendors.  The commissioner may 
 52.14  also make determinations regarding fees for rehabilitation 
 52.15  services and shall by rule establish a fee schedule or otherwise 
 52.16  limit fees charged by qualified rehabilitation consultants and 
 52.17  vendors.  The commissioner shall annually review the fees and 
 52.18  give notice of any adjustment in the State Register.  An annual 
 52.19  adjustment is not subject to chapter 14.  By March 1, 1993, the 
 52.20  commissioner shall report to the legislature on the status of 
 52.21  the commission's monitoring of rehabilitation services.  The 
 52.22  commissioner may hire qualified personnel to assist in the 
 52.23  commissioner's duties under this section and may delegate the 
 52.24  duties and performance.  
 52.25     Sec. 27.  Minnesota Statutes 1996, section 176A.08, is 
 52.26  amended to read: 
 52.27     176A.08 [EXEMPTION FROM AND APPLICABILITY OF CERTAIN LAWS.] 
 52.28     The fund shall not be considered a state agency for any 
 52.29  purpose including, but not limited to, chapters 13, 14, 15, 15A, 
 52.30  and 43A.  However, the fund shall be subject to sections 179A.01 
 52.31  to 179A.25.  The insurance operations of the fund are subject to 
 52.32  all of the provisions of chapters 60A and 60B.  The commissioner 
 52.33  of commerce has the same powers with respect to the board as the 
 52.34  commissioner has with respect to a private workers' compensation 
 52.35  insurer under chapters 60A and 60B.  The fund is considered an 
 52.36  insurer for the purposes of chapters 60C, 72A, 79, and 176.  The 
 53.1   fund is subject to the same tax liability as a mutual insurance 
 53.2   company in this state pursuant to section 60A.15.  As a 
 53.3   condition of its authority to transact business in this state 
 53.4   the fund shall be a member of the workers' compensation 
 53.5   reinsurance association and is bound by its plan of operation. 
 53.6      Sec. 28.  Minnesota Statutes 1996, section 240A.02, 
 53.7   subdivision 2, is amended to read: 
 53.8      Subd. 2.  [MEETINGS.] The commission shall meet at least 
 53.9   quarterly and at other times determined by the commission and 
 53.10  shall adopt rules, without regard to chapter 14, governing its 
 53.11  proceedings. 
 53.12     Sec. 29.  Minnesota Statutes 1996, section 256B.431, 
 53.13  subdivision 2e, is amended to read: 
 53.14     Subd. 2e.  [CONTRACTS FOR SERVICES FOR VENTILATOR DEPENDENT 
 53.15  PERSONS.] The commissioner may contract with a nursing facility 
 53.16  eligible to receive medical assistance payments to provide 
 53.17  services to a ventilator dependent person identified by the 
 53.18  commissioner according to criteria developed by the 
 53.19  commissioner, including:  
 53.20     (1) nursing facility care has been recommended for the 
 53.21  person by a preadmission screening team; 
 53.22     (2) the person has been assessed at case mix classification 
 53.23  K; 
 53.24     (3) the person has been hospitalized for at least six 
 53.25  months and no longer requires inpatient acute care hospital 
 53.26  services; and 
 53.27     (4) the commissioner has determined that necessary services 
 53.28  for the person cannot be provided under existing nursing 
 53.29  facility rates.  
 53.30     The commissioner may issue a request for proposals to 
 53.31  provide services to a ventilator dependent person to nursing 
 53.32  facilities eligible to receive medical assistance payments and 
 53.33  shall select nursing facilities from among respondents according 
 53.34  to criteria developed by the commissioner, including:  
 53.35     (1) the cost-effectiveness and appropriateness of services; 
 53.36     (2) the nursing facility's compliance with federal and 
 54.1   state licensing and certification standards; and 
 54.2      (3) the proximity of the nursing facility to a 
 54.3   ventilator-dependent person identified by the commissioner who 
 54.4   requires nursing facility placement.  
 54.5      The commissioner may negotiate an adjustment to the 
 54.6   operating cost payment rate for a nursing facility selected by 
 54.7   the commissioner from among respondents to the request for 
 54.8   proposals.  The negotiated adjustment must reflect only the 
 54.9   actual additional cost of meeting the specialized care needs of 
 54.10  a ventilator-dependent person identified by the commissioner for 
 54.11  whom necessary services cannot be provided under existing 
 54.12  nursing facility rates and which are not otherwise covered under 
 54.13  Minnesota Rules, parts 9549.0010 to 9549.0080 or 9505.0170 to 
 54.14  9505.0475.  The negotiated payment rate must not exceed 200 
 54.15  percent of the highest multiple bedroom payment rate for a 
 54.16  Minnesota nursing facility, as initially established by the 
 54.17  commissioner for the rate year for case mix classification K.  
 54.18  The negotiated adjustment shall not affect the payment rate 
 54.19  charged to private paying residents under the provisions of 
 54.20  section 256B.48, subdivision 1.  The negotiated adjustment paid 
 54.21  pursuant to this paragraph is specifically exempt from the 
 54.22  definition of "rule" and the rulemaking procedures required by 
 54.23  chapter 14 and section 256B.502. 
 54.24     Sec. 30.  Minnesota Statutes 1996, section 325F.665, 
 54.25  subdivision 6, is amended to read: 
 54.26     Subd. 6.  [ALTERNATIVE DISPUTE SETTLEMENT MECHANISM.] (a) 
 54.27  Any manufacturer doing business in this state, entering into 
 54.28  franchise agreements for the sale of its motor vehicles in this 
 54.29  state, or offering express warranties on its motor vehicles sold 
 54.30  or distributed for sale in this state shall operate, or 
 54.31  participate in, an informal dispute settlement mechanism located 
 54.32  in the state of Minnesota which complies with the provisions of 
 54.33  the Code of Federal Regulations, title 16, part 703, and the 
 54.34  requirements of this section.  The provisions of subdivision 3 
 54.35  concerning refunds or replacement do not apply to a consumer who 
 54.36  has not first used this mechanism before commencing a civil 
 55.1   action, unless the manufacturer allows a consumer to commence an 
 55.2   action without first using this mechanism.  
 55.3      (b) An informal dispute settlement mechanism provided for 
 55.4   by this section shall, at the time a request for arbitration is 
 55.5   made, provide to the consumer and to each person who will 
 55.6   arbitrate the consumer's dispute, information about this section 
 55.7   as approved and directed by the attorney general, in 
 55.8   consultation with interested parties.  The informal dispute 
 55.9   settlement mechanism shall permit the parties to present or 
 55.10  submit any arguments based on this section and shall not 
 55.11  prohibit or discourage the consideration of any such arguments.  
 55.12  In developing and approving information about this section as 
 55.13  provided herein, the attorney general is not subject to the 
 55.14  rulemaking provisions of chapter 14.  
 55.15     (c) If, in an informal dispute settlement mechanism, it is 
 55.16  decided that a consumer is entitled to a replacement vehicle or 
 55.17  refund under subdivision 3, then any refund or replacement 
 55.18  offered by the manufacturer or selected by a consumer shall 
 55.19  include and itemize all amounts authorized by subdivision 3.  If 
 55.20  the amount of excise tax refunded is not separately stated, or 
 55.21  if the manufacturer does not apply for a refund of the tax 
 55.22  within one year of the return of the motor vehicle, the 
 55.23  department of public safety may refund the excise tax, as 
 55.24  determined under subdivision 3, paragraph (h), directly to the 
 55.25  consumer and lienholder, if any, as their interests appear on 
 55.26  the records of the registrar of motor vehicles. 
 55.27     (d) No documents shall be received by any informal dispute 
 55.28  settlement mechanism unless those documents have been provided 
 55.29  to each of the parties in the dispute at or prior to the 
 55.30  mechanism's meeting, with an opportunity for the parties to 
 55.31  comment on the documents either in writing or orally.  If a 
 55.32  consumer is present during the informal dispute settlement 
 55.33  mechanism's meeting, the consumer may request postponement of 
 55.34  the mechanism's meeting to allow sufficient time to review any 
 55.35  documents presented at the time of the meeting which had not 
 55.36  been presented to the consumer prior to the meeting.  
 56.1      (e) The informal dispute settlement mechanism shall allow 
 56.2   each party to appear and make an oral presentation in the state 
 56.3   of Minnesota unless the consumer agrees to submit the dispute 
 56.4   for decision on the basis of documents alone or by telephone, or 
 56.5   unless the party fails to appear for an oral presentation after 
 56.6   reasonable prior written notice.  If the consumer agrees to 
 56.7   submit the dispute for decision on the basis of documents alone, 
 56.8   then manufacturer or dealer representatives may not participate 
 56.9   in the discussion or decision of the dispute.  
 56.10     (f) Consumers shall be given an adequate opportunity to 
 56.11  contest a manufacturer's assertion that a nonconformity falls 
 56.12  within intended specifications for the vehicle by having the 
 56.13  basis of the manufacturer's claim appraised by a technical 
 56.14  expert selected and paid for by the consumer prior to the 
 56.15  informal dispute settlement hearing.  
 56.16     (g) Where there has been a recent attempt by the 
 56.17  manufacturer to repair a consumer's vehicle, but no response has 
 56.18  yet been received by the informal dispute mechanism from the 
 56.19  consumer as to whether the repairs were successfully completed, 
 56.20  the parties must be given the opportunity to present any 
 56.21  additional information regarding the manufacturer's recent 
 56.22  repair attempt before any final decision is rendered by the 
 56.23  informal dispute settlement mechanism.  This provision shall not 
 56.24  prejudice a consumer's rights under this section.  
 56.25     (h) If the manufacturer knows that a technical service 
 56.26  bulletin directly applies to the specific mechanical problem 
 56.27  being disputed by the consumer, then the manufacturer shall 
 56.28  provide the technical service bulletin to the consumer at 
 56.29  reasonable cost.  The mechanism shall review any such technical 
 56.30  service bulletins submitted by either party.  
 56.31     (i) A consumer may be charged a fee to participate in an 
 56.32  informal dispute settlement mechanism required by this section, 
 56.33  but the fee may not exceed the conciliation court filing fee in 
 56.34  the county where the arbitration is conducted.  
 56.35     (j) Any party to the dispute has the right to be 
 56.36  represented by an attorney in an informal dispute settlement 
 57.1   mechanism.  
 57.2      (k) The informal dispute settlement mechanism has all the 
 57.3   evidence-gathering powers granted an arbitrator under section 
 57.4   572.14.  
 57.5      (l) A decision issued in an informal dispute settlement 
 57.6   mechanism required by this section may be in writing and signed. 
 57.7      Sec. 31.  Minnesota Statutes 1996, section 346.58, is 
 57.8   amended to read: 
 57.9      346.58 [DOGS AND CATS; BEST MANAGEMENT STANDARDS FOR CARE 
 57.10  BY DEALERS, COMMERCIAL BREEDERS, AND BROKERS.] 
 57.11     The commissioner of agriculture shall consult with 
 57.12  interested persons, including but not limited to persons 
 57.13  representing dog and cat dealers, breeders, and brokers, the 
 57.14  Minnesota federated humane society, the Minnesota council for 
 57.15  dog clubs, the American dog owners association, the board of 
 57.16  animal health, the Minnesota purebred dog breeders association, 
 57.17  the Minnesota citizens for animal care, the United States 
 57.18  Department of Agriculture, and the Minnesota veterinary medical 
 57.19  association.  The commissioner shall issue an order containing 
 57.20  best management standards of care for dogs and cats by dealers, 
 57.21  commercial breeders, and brokers.  These standards are not 
 57.22  subject to chapter 14.  The commissioner shall urge dealers, 
 57.23  commercial breeders, and brokers to follow the standards issued 
 57.24  in the order. 
 57.25     Sec. 32.  Minnesota Statutes 1996, section 347.51, 
 57.26  subdivision 2a, is amended to read: 
 57.27     Subd. 2a.  [WARNING SYMBOL.] If a county issues a 
 57.28  certificate of registration to the owner of a dangerous dog 
 57.29  pursuant to subdivision 2, the county must provide, for posting 
 57.30  on the owner's property, a copy of a warning symbol to inform 
 57.31  children that there is a dangerous dog on the property.  The 
 57.32  design of the warning symbol must be uniform and specified by 
 57.33  the commissioner of public safety, after consultation with 
 57.34  animal control professionals.  The design specification process 
 57.35  is exempt from rulemaking under chapter 14 and is exempt from 
 57.36  section 14.38.  The commissioner shall provide the number of 
 58.1   copies of the warning symbol requested by each county and shall 
 58.2   charge the county the actual cost of the warning symbols 
 58.3   received.  The county may charge the registrant a reasonable fee 
 58.4   to cover its administrative costs and the cost of the warning 
 58.5   symbol.  
 58.6      Sec. 33.  [EFFECT OF AMENDMENTS OR REPEALS.] 
 58.7      The exemptions in this article are eliminated because the 
 58.8   entity is not subject to Minnesota Statutes, chapter 14, or the 
 58.9   agency action is not a rule.  The agency or other entity need 
 58.10  not comply with chapter 14, in order to take actions affected by 
 58.11  the amendments and repeals in this article. 
 58.12     Sec. 34.  [REPEALER.] 
 58.13     Minnesota Statutes 1996, sections 469.173, subdivision 2; 
 58.14  and 469.308, subdivision 2, are repealed. 
 58.15     Sec. 35.  [EFFECTIVE DATE.] 
 58.16     This article is effective June 30, 1997. 
 58.17                             ARTICLE 4
 58.18                  EXEMPTIONS RETAINED BUT AMENDED
 58.19     Section 1.  Minnesota Statutes 1996, section 62J.61, is 
 58.20  amended to read: 
 58.21     62J.61 [RULEMAKING; IMPLEMENTATION.] 
 58.22     Subdivision 1.  [EXEMPTION.] The commissioner of health is 
 58.23  exempt from rulemaking chapter 14, including section 14.386, in 
 58.24  implementing sections 62J.50 to 62J.54, subdivision 3, and 
 58.25  62J.56 to 62J.59. 
 58.26     Subd. 2.  [PROCEDURE.] (a) The commissioner shall publish 
 58.27  proposed rules in the State Register or, if the commissioner 
 58.28  determines that publishing the text of the proposed rules would 
 58.29  be unduly cumbersome, shall publish notice of the proposed rules 
 58.30  that contains a detailed description of the rules along with a 
 58.31  statement that a free copy of the entire set of rules is 
 58.32  available upon request to the agency. 
 58.33     (b) Interested parties have 30 days to comment on the 
 58.34  proposed rules.  After the commissioner has considered all 
 58.35  comments, the commissioner shall publish the final rules notice 
 58.36  in the State Register that the rules have been adopted 30 days 
 59.1   before they are to take effect. 
 59.2      (c) If the adopted rules are the same as the proposed 
 59.3   rules, the notice shall state that the rules have been adopted 
 59.4   as proposed and shall cite the prior publication.  If the 
 59.5   adopted rules differ from the proposed rules, the portions of 
 59.6   the adopted rules which differ from the proposed rules shall be 
 59.7   included in the notice of adoption together with a citation to 
 59.8   the prior State Register that contained the notice of the 
 59.9   proposed rules. 
 59.10     (d) The commissioner may use emergency and permanent 
 59.11  rulemaking to implement the remainder of this article. 
 59.12     Subd. 3.  [RESTRICTIONS.] The commissioner shall not adopt 
 59.13  any rules requiring patients to provide their social security 
 59.14  numbers unless and until federal laws are modified to allow or 
 59.15  require such action nor shall the commissioner adopt rules which 
 59.16  allow medical records, claims, or other treatment or clinical 
 59.17  data to be included on the health care identification card, 
 59.18  except as specifically provided in this chapter. 
 59.19     Subd. 4.  [PATIENT PRIVACY.] The commissioner shall seek 
 59.20  comments from the ethics and confidentiality committee of the 
 59.21  Minnesota health data institute and the department of 
 59.22  administration, public information policy analysis division, 
 59.23  before adopting or publishing final rules relating to issues of 
 59.24  patient privacy and medical records. 
 59.25     Subd. 5.  [BIENNIAL REVIEW OF RULEMAKING PROCEDURES AND 
 59.26  RULES.] The commissioner shall biennially seek comments from 
 59.27  affected parties about the effectiveness of and continued need 
 59.28  for the rulemaking procedures set out in subdivision 2 and about 
 59.29  the quality and effectiveness of rules adopted using these 
 59.30  procedures.  The commissioner shall seek comments by holding a 
 59.31  meeting and by publishing a notice in the State Register that 
 59.32  contains the date, time, and location of the meeting and a 
 59.33  statement that invites oral or written comments.  The notice 
 59.34  must be published at least 30 days before the meeting date.  The 
 59.35  commissioner shall write a report summarizing the comments and 
 59.36  shall submit the report to the Minnesota health data institute 
 60.1   and to the Minnesota administrative uniformity committee by 
 60.2   January 15 of every even-numbered year. 
 60.3      Sec. 2.  Minnesota Statutes 1996, section 124.648, 
 60.4   subdivision 3, is amended to read: 
 60.5      Subd. 3.  [PROGRAM GUIDELINES; DUTIES OF THE COMMISSIONER.] 
 60.6   (a) The commissioner shall: 
 60.7      (1) encourage all districts to participate in the school 
 60.8   milk program for kindergartners; 
 60.9      (2) prepare program guidelines, not subject to chapter 
 60.10  14 until July 1, 1998, which will effectively and efficiently 
 60.11  distribute appropriated and donated money to participating 
 60.12  districts; and 
 60.13     (3) seek donations and matching funds from appropriate 
 60.14  private and public sources. 
 60.15     (b) Program guidelines may provide for disbursement to 
 60.16  districts through a mechanism of prepayments or by reimbursement 
 60.17  for approved program expenses. 
 60.18     (c) It is suggested that the benefits of the school milk 
 60.19  program may reach the largest number of kindergarten students if 
 60.20  districts are allowed to submit annual bids stating the 
 60.21  per-serving level of support that would be acceptable to the 
 60.22  district for their participation in the program.  The 
 60.23  commissioner would review all bids received and approve bids in 
 60.24  sufficient number and value to maximize the provision of milk to 
 60.25  kindergarten students consistent with available funds. 
 60.26     Sec. 3.  Minnesota Statutes 1996, section 128C.02, 
 60.27  subdivision 4, is amended to read: 
 60.28     Subd. 4.  [RULES ARE APA EXEMPT.] The rules of the league 
 60.29  are exempt from sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
 60.30  14.45, and 14.57 to 14.62 chapter 14, including section 14.386. 
 60.31     Sec. 4.  [128C.03] [PROCEDURES.] 
 60.32     The league shall adopt procedures to ensure public notice 
 60.33  of all eligibility rules and policies that will afford the 
 60.34  opportunity for public hearings on proposed eligibility rules.  
 60.35  If requested by 100 or more parents or guardians of students, 
 60.36  the public hearing must be conducted by an administrative law 
 61.1   judge from the office of administrative hearings, by a person 
 61.2   hired under contract by the office of administrative hearings, 
 61.3   or by an independent hearing officer appointed by the 
 61.4   commissioner of children, families, and learning from a list 
 61.5   maintained for that purpose.  At the conclusion of a hearing 
 61.6   requested by 100 or more parents or guardians of students, the 
 61.7   person conducting the hearing shall write a report evaluating 
 61.8   the extent to which the league has shown that the proposed rule 
 61.9   is needed and reasonable and the legality of the proposed rule.  
 61.10  The league shall pay for hearings under this section. 
 61.11     Sec. 5.  Minnesota Statutes 1996, section 245A.09, 
 61.12  subdivision 10, is amended to read: 
 61.13     Subd. 10.  [RULEMAKING PROCESS; COMMISSIONER EXEMPTED.] 
 61.14  When developing, making, adopting, and issuing interpretive 
 61.15  guidelines under the authority granted under subdivision 8, the 
 61.16  commissioner is exempt from the rulemaking provisions of chapter 
 61.17  14 until July 1, 1998. 
 61.18     Sec. 6.  Minnesota Statutes 1996, section 256B.434, 
 61.19  subdivision 12, is amended to read: 
 61.20     Subd. 12.  [CONTRACTS ARE VOLUNTARY.] Participation of 
 61.21  nursing facilities in the alternative payment demonstration 
 61.22  project is voluntary.  The terms and procedures governing the 
 61.23  alternative payment demonstration project are determined under 
 61.24  this section and through negotiations between the commissioner 
 61.25  and nursing facilities that have submitted a letter of intent to 
 61.26  participate in the alternative demonstration project.  For 
 61.27  purposes of developing requests for proposals and contract 
 61.28  requirements, and negotiating the terms, conditions, and 
 61.29  requirements of contracts the commissioner is exempt from the 
 61.30  rulemaking requirements in chapter 14 until December 31, 2000. 
 61.31     Sec. 7.  [REPORT.] 
 61.32     The world trade center corporation shall report to the 
 61.33  legislative coordinating commission, or another joint 
 61.34  legislative group established to review administrative rules, by 
 61.35  January 15, 1999, on the desirability of continuing the 
 61.36  corporation's exemption from Minnesota Statutes, chapter 14. 
 62.1      Sec. 8.  [INITIAL REPORT.] 
 62.2      The first report required by Minnesota Statutes, section 
 62.3   62J.61, subdivision 5, is due by January 15, 1998. 
 62.4      Sec. 9.  [EFFECTIVE DATE; APPLICATION.] 
 62.5      Sections 1, 2, and 4 to 6 are effective June 30, 1997.  
 62.6   Section 3 is effective the day following final enactment.  Rules 
 62.7   adopted before the effective date of section 3 remain in effect 
 62.8   until amended or repealed. 
 62.9                              ARTICLE 5
 62.10             RULEMAKING EXEMPTION PROCEDURES AND OTHER
 62.11                               CHANGES 
 62.12     Section 1.  Minnesota Statutes 1996, section 3.305, is 
 62.13  amended by adding a subdivision to read: 
 62.14     Subd. 8.  [RULE REVIEW.] Upon written request of two or 
 62.15  more of its members or five or more members of the legislature, 
 62.16  the legislative coordinating commission shall review a state 
 62.17  agency rule as defined in section 14.02, subdivision 4.  The 
 62.18  commission may perform this review by holding one or more 
 62.19  commission meetings or by establishing a bicameral group as 
 62.20  provided in subdivision 6 to hold these meetings. 
 62.21     Sec. 2.  Minnesota Statutes 1996, section 14.03, 
 62.22  subdivision 3, is amended to read: 
 62.23     Subd. 3.  [RULEMAKING PROCEDURES.] (a) The definition of a 
 62.24  rule in section 14.02, subdivision 4, does not include: 
 62.25     (1) rules concerning only the internal management of the 
 62.26  agency or other agencies that do not directly affect the rights 
 62.27  of or procedures available to the public; 
 62.28     (2) an application deadline on a form; and the remainder of 
 62.29  a form and instructions for use of the form to the extent that 
 62.30  they do not impose substantive requirements other than 
 62.31  requirements contained in statute or rule; 
 62.32     (3) the curriculum adopted by an agency to implement a 
 62.33  statute or rule permitting or mandating minimum educational 
 62.34  requirements for persons regulated by an agency, provided the 
 62.35  topic areas to be covered by the minimum educational 
 62.36  requirements are specified in statute or rule; 
 63.1      (4) procedures for sharing data among government agencies, 
 63.2   provided these procedures are consistent with chapter 13 and 
 63.3   other law governing data practices.  
 63.4      (b) The definition of a rule in section 14.02, subdivision 
 63.5   4, does not include: 
 63.6      (1) rules of the commissioner of corrections relating to 
 63.7   the placement and supervision of inmates serving a supervised 
 63.8   release term, the internal management of institutions under the 
 63.9   commissioner's control, and rules adopted under section 609.105 
 63.10  governing the inmates of those institutions; 
 63.11     (3) (2) rules relating to weight limitations on the use of 
 63.12  highways when the substance of the rules is indicated to the 
 63.13  public by means of signs; 
 63.14     (4) (3) opinions of the attorney general; 
 63.15     (5) the systems architecture plan and long-range plan of 
 63.16  the state education management information system provided by 
 63.17  section 121.931; 
 63.18     (6) (4) the data element dictionary and the annual data 
 63.19  acquisition calendar of the department of children, families, 
 63.20  and learning to the extent provided by section 121.932; 
 63.21     (7) (5) the occupational safety and health standards 
 63.22  provided in section 182.655; 
 63.23     (8) (6) revenue notices and tax information bulletins of 
 63.24  the commissioner of revenue; 
 63.25     (9) (7) uniform conveyancing forms adopted by the 
 63.26  commissioner of commerce under section 507.09; or 
 63.27     (10) (8) the interpretive guidelines developed by the 
 63.28  commissioner of human services to the extent provided in chapter 
 63.29  245A. 
 63.30     Sec. 3.  Minnesota Statutes 1996, section 14.03, is amended 
 63.31  by adding a subdivision to read: 
 63.32     Subd. 3a.  [POLICY FOR FUTURE EXCLUSIONS.] The legislature 
 63.33  will consider granting further exemptions from the rulemaking 
 63.34  requirements of this chapter for rules that are necessary to 
 63.35  comply with a requirement in federal law or that are necessary 
 63.36  to avoid a denial of funds or services from the federal 
 64.1   government that would otherwise be available to the state. 
 64.2      Sec. 4.  Minnesota Statutes 1996, section 14.03, is amended 
 64.3   by adding a subdivision to read: 
 64.4      Subd. 4.  [REVIEW OF EXCLUSIONS.] The governor, the 
 64.5   legislative coordinating commission, or a joint legislative 
 64.6   group designated by the legislative coordinating commission 
 64.7   under section 3.305, subdivision 6, may seek review of an agency 
 64.8   determination that a statement of general applicability and 
 64.9   future effect made to implement a law is excluded from the 
 64.10  definition of a rule by subdivision 3, paragraph (a).  Review 
 64.11  may be sought under this subdivision by filing a request for 
 64.12  review with the chief administrative law judge.  Upon filing of 
 64.13  a request, the affected agency must file a concise statement 
 64.14  with the chief administrative law judge stating why the agency 
 64.15  believes its statement of general applicability and future 
 64.16  effect made to implement a law is excluded from the definition 
 64.17  of a rule.  The chief administrative law judge, or an 
 64.18  administrative law judge assigned by the chief, shall determine 
 64.19  if the agency statement of general applicability and future 
 64.20  effect made to implement a law is excluded from the definition 
 64.21  of a rule by subdivision 3, paragraph (a).  If the chief 
 64.22  administrative law judge or the judge assigned by the chief 
 64.23  determines that the agency statement of general applicability 
 64.24  and future effect made to implement a law is a rule, and is not 
 64.25  excluded from the definition of the rule by subdivision 3, 
 64.26  paragraph (a), the agency may not implement the statement of 
 64.27  general applicability and future effect made to implement a law 
 64.28  without following the rulemaking requirements of this chapter. 
 64.29     Sec. 5.  Minnesota Statutes 1996, section 14.386, is 
 64.30  amended to read: 
 64.31     14.386 [PROCEDURE FOR ADOPTING EXEMPT RULES; DURATION.] 
 64.32     (a) A rule adopted, amended, or repealed by an agency, 
 64.33  under a statute enacted after January 1, 1997, authorizing or 
 64.34  requiring rules to be adopted but excluded from the rulemaking 
 64.35  provisions of chapter 14 or from the definition of a rule, has 
 64.36  the force and effect of law only if: 
 65.1      (1) the revisor of statutes approves the form of the rule 
 65.2   by certificate; 
 65.3      (2) the office of administrative hearings approves the rule 
 65.4   as to its legality within 14 days after the agency submits it 
 65.5   for approval and files two copies of the rule with the revisor's 
 65.6   certificate in the office of the secretary of state; and 
 65.7      (3) a copy is published by the agency in the State Register.
 65.8      A statute enacted after January 1, 1997, authorizing or 
 65.9   requiring rules to be adopted but excluded from the rulemaking 
 65.10  provisions of chapter 14 or from the definition of a rule does 
 65.11  not excuse compliance with this section unless it makes specific 
 65.12  reference to this section. 
 65.13     (b) A rule adopted under this section is effective for a 
 65.14  period of two years from the date of publication of the rule in 
 65.15  the State Register.  The authority for the rule expires at the 
 65.16  end of this two-year period. 
 65.17     (c) The chief administrative law judge shall adopt rules 
 65.18  relating to the rule approval duties imposed by this section and 
 65.19  section 14.388, including rules establishing standards for 
 65.20  review. 
 65.21     (d) This section does not apply to rules adopted, amended, 
 65.22  or repealed under section 14.388. 
 65.23     This section also does not apply to: 
 65.24     (1) rules implementing emergency powers pursuant to 
 65.25  sections 12.31 to 12.37; 
 65.26     (2) rules of agencies directly in the legislative or 
 65.27  judicial branches; 
 65.28     (3) rules of the regents of the University of Minnesota; 
 65.29     (4) rules of the department of military affairs; 
 65.30     (5) rules of the comprehensive health association provided 
 65.31  in section 62E.10; 
 65.32     (6) rules of the tax court provided by section 271.06; 
 65.33     (7) rules concerning only the internal management of the 
 65.34  agency or other agencies, and which do not directly affect the 
 65.35  rights of or procedure available to the public; 
 65.36     (8) rules of the commissioner of corrections relating to 
 66.1   the placement and supervision of inmates serving a supervised 
 66.2   release term, the internal management of institutions under the 
 66.3   commissioner's control, and rules adopted under section 609.105 
 66.4   governing the inmates of those institutions; 
 66.5      (9) rules relating to weight limitations on the use of 
 66.6   highways when the substance of the rules is indicated to the 
 66.7   public by means of signs; 
 66.8      (10) opinions of the attorney general; 
 66.9      (11) the systems architecture plan and long-range plan of 
 66.10  the state education management information system provided by 
 66.11  section 121.931; 
 66.12     (12) the data element dictionary and the annual data 
 66.13  acquisition calendar of the department of children, families, 
 66.14  and learning to the extent provided by section 121.932; 
 66.15     (13) the occupational safety and health standards provided 
 66.16  in section 182.655; 
 66.17     (14) revenue notices and tax information bulletins of the 
 66.18  commissioner of revenue; 
 66.19     (15) uniform conveyancing forms adopted by the commissioner 
 66.20  of commerce under section 507.09 any group or rule listed in 
 66.21  section 14.03, subdivisions 1 and 3, except as otherwise 
 66.22  provided by law; 
 66.23     (16) (2) game and fish rules of the commissioner of natural 
 66.24  resources adopted under section 84.027, subdivision 13, or 
 66.25  sections 97A.0451 to 97A.0459; 
 66.26     (17) (3) experimental and special management waters 
 66.27  designated by the commissioner of natural resources under 
 66.28  sections 97C.001 and 97C.005; or 
 66.29     (18) (4) game refuges designated by the commissioner of 
 66.30  natural resources under section 97A.085. 
 66.31     (e) If a statute provides that a rule is exempt from 
 66.32  chapter 14, and section 14.386 does not apply to the rule, the 
 66.33  rule has the force of law unless the context of the statute 
 66.34  delegating the rulemaking authority makes clear that the rule 
 66.35  does not have force of law. 
 66.36     Sec. 6.  [14.389] [EXPEDITED PROCESS.] 
 67.1      Subdivision 1.  [APPLICATION.] This section applies when a 
 67.2   law requiring or authorizing rules to be adopted states that 
 67.3   this section must or may be used to adopt the rules.  When a law 
 67.4   refers to this section, the process in this section is the only 
 67.5   process an agency must follow for its rules to have the force 
 67.6   and effect of law.  Sections 14.19 and 14.366 apply to rules 
 67.7   adopted under this section. 
 67.8      Subd. 2.  [NOTICE AND COMMENT.] The agency must publish 
 67.9   notice of the proposed rule in the State Register and must mail 
 67.10  the notice to persons who have registered with the agency to 
 67.11  receive mailed notices.  The mailed notice must include either a 
 67.12  copy of the proposed rule or a description of the nature and 
 67.13  effect of the proposed rule and a statement that a free copy is 
 67.14  available from the agency upon request.  The notice in the State 
 67.15  Register must include the proposed rule or the amended rule in 
 67.16  the form required by the revisor under section 14.07, and a 
 67.17  citation to the most specific statutory authority for the rule, 
 67.18  including authority for the rule to be adopted under the process 
 67.19  in this section.  The agency must allow 30 days after 
 67.20  publication in the State Register for comment on the rule. 
 67.21     Subd. 3.  [ADOPTION.] The agency may modify a proposed rule 
 67.22  if the modifications do not result in a substantially different 
 67.23  rule, as defined in section 14.05, subdivision 2, paragraphs (b) 
 67.24  and (c).  If the final rule is identical to the rule originally 
 67.25  published in the State Register, the agency must publish a 
 67.26  notice of adoption in the State Register.  If the final rule is 
 67.27  different from the rule originally published in the State 
 67.28  Register, the agency must publish a copy of the changes in the 
 67.29  State Register.  The rule is effective upon publication in the 
 67.30  State Register. 
 67.31     Subd. 4.  [LEGAL REVIEW.] Before publication of the final 
 67.32  rule in the State Register, the agency must submit the rule to 
 67.33  an administrative law judge in the office of administrative 
 67.34  hearings.  The administrative law judge shall within 14 days 
 67.35  approve or disapprove the rule as to its legality and its form 
 67.36  to the extent the form relates to legality. 
 68.1      Subd. 5.  [OPTION.] A law authorizing or requiring rules to 
 68.2   be adopted under this section may refer specifically to this 
 68.3   subdivision.  If the law contains a specific reference to this 
 68.4   subdivision, as opposed to a general reference to this section: 
 68.5      (1) the notice required in subdivision 2 must include a 
 68.6   statement that a public hearing will be held if 100 or more 
 68.7   people request a hearing.  The request must be in the manner 
 68.8   specified in section 14.25; and 
 68.9      (2) if 100 or more people submit a written request for a 
 68.10  public hearing, the agency may adopt the rule only after 
 68.11  complying with all of the requirements of chapter 14 for rules 
 68.12  adopted after a public hearing. 
 68.13     Sec. 7.  Minnesota Statutes 1996, section 14.47, 
 68.14  subdivision 1, is amended to read: 
 68.15     Subdivision 1.  [PLAN OF PUBLICATION AND SUPPLEMENTATION.] 
 68.16  The revisor of statutes shall: 
 68.17     (1) formulate a plan for the compilation of all permanent 
 68.18  agency rules and, to the extent practicable, other rules, 
 68.19  adopted pursuant to the administrative procedure act or filed 
 68.20  pursuant to the provisions of section 14.38, subdivisions 5 to 9 
 68.21  or section 14.386 which were in effect at the time the rules 
 68.22  were filed or subdivision 11, including their order, 
 68.23  classification, arrangement, form, and indexing, and any 
 68.24  appropriate tables, annotations, cross references, citations to 
 68.25  applicable statutes, explanatory notes, and other appropriate 
 68.26  material to facilitate use of the rules by the public, and for 
 68.27  the compilation's composition, printing, binding, and 
 68.28  distribution; 
 68.29     (2) publish the compilation of permanent agency rules and, 
 68.30  if practicable, other rules, adopted pursuant to the 
 68.31  administrative procedure act or filed pursuant to the provisions 
 68.32  of section 14.38, subdivisions 5 to 9 or section 14.386 which 
 68.33  were in effect at the time the rules were filed or subdivision 
 68.34  11, which shall be called "Minnesota Rules"; 
 68.35     (3) periodically either publish a supplement or a new 
 68.36  compilation, which includes all rules adopted since the last 
 69.1   supplement or compilation was published and removes rules 
 69.2   incorporated in prior compilations or supplements which are no 
 69.3   longer effective; 
 69.4      (4) include in Minnesota Rules a consolidated list of 
 69.5   publications and other documents incorporated by reference into 
 69.6   the rules after June 30, 1981, and found conveniently available 
 69.7   by the revisor under section 14.07, subdivision 4, indicating 
 69.8   where the publications or documents are conveniently available 
 69.9   to the public; and 
 69.10     (5) copyright any compilations and or supplements in the 
 69.11  name of the state of Minnesota. 
 69.12     Sec. 8.  Minnesota Statutes 1996, section 15.50, 
 69.13  subdivision 2, is amended to read: 
 69.14     Subd. 2.  [CAPITOL AREA PLAN.] (a) The board shall prepare, 
 69.15  prescribe, and from time to time, after a public hearing, amend 
 69.16  a comprehensive use plan for the capitol area, called the area 
 69.17  in this subdivision, which consists of that portion of the city 
 69.18  of Saint Paul comprehended within the following boundaries:  
 69.19  Beginning at the point of intersection of the center line of the 
 69.20  Arch-Pennsylvania freeway and the center line of Marion Street, 
 69.21  thence southerly along the center line of Marion Street extended 
 69.22  to a point 50 feet south of the south line of Concordia Avenue, 
 69.23  thence southeasterly along a line extending 50 feet from the 
 69.24  south line of Concordia Avenue to a point 125 feet from the west 
 69.25  line of John Ireland Boulevard, thence southwesterly along a 
 69.26  line extending 125 feet from the west line of John Ireland 
 69.27  Boulevard to the south line of Dayton Avenue, thence 
 69.28  northeasterly from the south line of Dayton Avenue to the west 
 69.29  line of John Ireland Boulevard, thence northeasterly to the 
 69.30  center line of the intersection of Old Kellogg Boulevard and 
 69.31  Summit Avenue, thence northeasterly along the center line of 
 69.32  Summit Avenue to the center line of the new West Kellogg 
 69.33  Boulevard, thence southerly along the east line of the new West 
 69.34  Kellogg Boulevard, to the center line of West Seventh Street, 
 69.35  thence northeasterly along the center line of West Seventh 
 69.36  Street to the center line of the Fifth Street ramp, thence 
 70.1   northwesterly along the center line of the Fifth Street ramp to 
 70.2   the east line of the right-of-way of Interstate Highway 35-E, 
 70.3   thence northeasterly along the east line of the right-of-way of 
 70.4   Interstate Highway 35-E to the south line of the right-of-way of 
 70.5   Interstate Highway 94, thence easterly along the south line of 
 70.6   the right-of-way of Interstate Highway 94 to the west line of 
 70.7   St. Peter Street, thence southerly to the south line of Exchange 
 70.8   Street, thence easterly along the south line of Exchange Street 
 70.9   to the west line of Cedar Street, thence northerly along the 
 70.10  west line of Cedar Street to the center line of Tenth Street, 
 70.11  thence northeasterly along the center line of Tenth Street to 
 70.12  the center line of Minnesota Street, thence northwesterly along 
 70.13  the center line of Minnesota Street to the center line of 
 70.14  Eleventh Street, thence northeasterly along the center line of 
 70.15  Eleventh Street to the center line of Jackson Street, thence 
 70.16  northwesterly along the center line of Jackson Street to the 
 70.17  center line of the Arch-Pennsylvania freeway extended, thence 
 70.18  westerly along the center line of the Arch-Pennsylvania freeway 
 70.19  extended and Marion Street to the point of origin.  If 
 70.20  construction of the labor interpretive center does not commence 
 70.21  prior to December 31, 2000, at the site recommended by the 
 70.22  board, the boundaries of the capitol area revert to their 
 70.23  configuration as of 1992.  
 70.24     Under the comprehensive plan, or a portion of it, the board 
 70.25  may regulate, by means of zoning rules adopted under the 
 70.26  administrative procedure act, the kind, character, height, and 
 70.27  location, of buildings and other structures constructed or used, 
 70.28  the size of yards and open spaces, the percentage of lots that 
 70.29  may be occupied, and the uses of land, buildings and other 
 70.30  structures, within the area.  To protect and enhance the 
 70.31  dignity, beauty, and architectural integrity of the capitol 
 70.32  area, the board is further empowered to include in its zoning 
 70.33  rules design review procedures and standards with respect to any 
 70.34  proposed construction activities in the capitol area 
 70.35  significantly affecting the dignity, beauty, and architectural 
 70.36  integrity of the area.  No person may undertake these 
 71.1   construction activities as defined in the board's rules in the 
 71.2   capitol area without first submitting construction plans to the 
 71.3   board, obtaining a zoning permit from the board, and receiving a 
 71.4   written certification from the board specifying that the person 
 71.5   has complied with all design review procedures and standards.  
 71.6   Violation of the zoning rules is a misdemeanor.  The board may, 
 71.7   at its option, proceed to abate any violation by injunction.  
 71.8   The board and the city of Saint Paul shall cooperate in assuring 
 71.9   that the area adjacent to the capitol area is developed in a 
 71.10  manner that is in keeping with the purpose of the board and the 
 71.11  provisions of the comprehensive plan.  
 71.12     (b) The commissioner of administration shall act as a 
 71.13  consultant to the board with regard to the physical structural 
 71.14  needs of the state.  The commissioner shall make studies and 
 71.15  report the results to the board when it requests reports for its 
 71.16  planning purpose.  
 71.17     (c) No public building, street, parking lot, or monument, 
 71.18  or other construction may be built or altered on any public 
 71.19  lands within the area unless the plans for the project conform 
 71.20  to the comprehensive use plan as specified in paragraph (d) and 
 71.21  to the requirement for competitive plans as specified in 
 71.22  paragraph (e).  No alteration substantially changing the 
 71.23  external appearance of any existing public building approved in 
 71.24  the comprehensive plan or the exterior or interior design of any 
 71.25  proposed new public building the plans for which were secured by 
 71.26  competition under paragraph (e) may be made without the prior 
 71.27  consent of the board.  The commissioner of administration shall 
 71.28  consult with the board regarding internal changes having the 
 71.29  effect of substantially altering the architecture of the 
 71.30  interior of any proposed building.  
 71.31     (d) The comprehensive plan must show the existing land uses 
 71.32  and recommend future uses including:  areas for public taking 
 71.33  and use; zoning for private land and criteria for development of 
 71.34  public land, including building areas, open spaces, monuments, 
 71.35  and other memorials; vehicular and pedestrian circulation; 
 71.36  utilities systems; vehicular storage; elements of landscape 
 72.1   architecture.  No substantial alteration or improvement may be 
 72.2   made to public lands or buildings in the area without the 
 72.3   written approval of the board.  
 72.4      (e) The board shall secure by competitions plans for any 
 72.5   new public building.  Plans for any comprehensive plan, 
 72.6   landscaping scheme, street plan, or property acquisition that 
 72.7   may be proposed, or for any proposed alteration of any existing 
 72.8   public building, landscaping scheme or street plan may be 
 72.9   secured by a similar competition.  A competition must be 
 72.10  conducted under rules prescribed by the board and may be of any 
 72.11  type which meets the competition standards of the American 
 72.12  Institute of Architects.  Designs selected become the property 
 72.13  of the state of Minnesota, and the board may award one or more 
 72.14  premiums in each competition and may pay the costs and fees that 
 72.15  may be required for its conduct.  At the option of the board, 
 72.16  plans for projects estimated to cost less than $1,000,000 may be 
 72.17  approved without competition provided the plans have been 
 72.18  considered by the advisory committee described in paragraph 
 72.19  (h).  Plans for projects estimated to cost less than $400,000 
 72.20  and for construction of streets need not be considered by the 
 72.21  advisory committee if in conformity with the comprehensive plan. 
 72.22     (f) Notwithstanding paragraph (e), an architectural 
 72.23  competition is not required for the design of any light rail 
 72.24  transit station and alignment within the capitol area.  The 
 72.25  board and its advisory committee shall select a preliminary 
 72.26  design for any transit station in the capitol area.  Each stage 
 72.27  of any station's design through working drawings must be 
 72.28  reviewed by the board's advisory committee and approved by the 
 72.29  board to ensure that the station's design is compatible with the 
 72.30  comprehensive plan for the capitol area and the board's design 
 72.31  criteria.  The guideway and track design of any light rail 
 72.32  transit alignment within the capitol area must also be reviewed 
 72.33  by the board's advisory committee and approved by the board. 
 72.34     (g) Of the amount available for the light rail transit 
 72.35  design, adequate funds must be available to the board for design 
 72.36  framework studies and review of preliminary plans for light rail 
 73.1   transit alignment and stations in the capitol area. 
 73.2      (h) The board may not adopt any plan under paragraph (e) 
 73.3   unless it first receives the comments and criticism of an 
 73.4   advisory committee of three persons, each of whom is either an 
 73.5   architect or a planner, who have been selected and appointed as 
 73.6   follows:  one by the board of the arts, one by the board, and 
 73.7   one by the Minnesota Society of the American Institute of 
 73.8   Architects.  Members of the committee may not be contestants 
 73.9   under paragraph (e).  The comments and criticism must be a 
 73.10  matter of public information.  The committee shall advise the 
 73.11  board on all architectural and planning matters.  For that 
 73.12  purpose, the committee must be kept currently informed 
 73.13  concerning, and have access to, all data, including all plans, 
 73.14  studies, reports and proposals, relating to the area as the data 
 73.15  are developed or in the process of preparation, whether by the 
 73.16  commissioner of administration, the commissioner of trade and 
 73.17  economic development, the metropolitan council, the city of 
 73.18  Saint Paul, or by any architect, planner, agency or 
 73.19  organization, public or private, retained by the board or not 
 73.20  retained and engaged in any work or planning relating to the 
 73.21  area, and a copy of any data prepared by any public employee or 
 73.22  agency must be filed with the board promptly upon completion.  
 73.23     The board may employ stenographic or technical help that 
 73.24  may be reasonable to assist the committee to perform its duties. 
 73.25     When so directed by the board, the committee may serve as, 
 73.26  and any member or members of the committee may serve on, the 
 73.27  jury or as professional advisor for any architectural 
 73.28  competition, and the board shall select the architectural 
 73.29  advisor and jurors for any competition with the advice of the 
 73.30  committee.  
 73.31     The city of Saint Paul shall advise the board.  
 73.32     (i) The comprehensive plan for the area must be developed 
 73.33  and maintained in close cooperation with the commissioner of 
 73.34  trade and economic development, the planning department and the 
 73.35  council for the city of Saint Paul, and the board of the arts, 
 73.36  and no plan or amendment of a plan may be effective without 90 
 74.1   days' notice to the planning department of the city of Saint 
 74.2   Paul and the board of the arts and without a public hearing with 
 74.3   opportunity for public testimony.  
 74.4      (j) The board and the commissioner of administration, 
 74.5   jointly, shall prepare, prescribe, and from time to time revise 
 74.6   standards and policies governing the repair, alteration, 
 74.7   furnishing, appearance, and cleanliness of the public and 
 74.8   ceremonial areas of the state capitol building.  The board shall 
 74.9   consult with and receive advice from the director of the 
 74.10  Minnesota state historical society regarding the historic 
 74.11  fidelity of plans for the capitol building.  The standards and 
 74.12  policies developed under this paragraph are binding upon the 
 74.13  commissioner of administration.  The provisions of sections 
 74.14  14.02, 14.04 to 14.28, 14.38, and 14.44 to 14.45 chapter 14, 
 74.15  including section 14.386, do not apply to this paragraph.  
 74.16     (k) The board in consultation with the commissioner of 
 74.17  administration shall prepare and submit to the legislature and 
 74.18  the governor no later than October 1 of each even-numbered year 
 74.19  a report on the status of implementation of the comprehensive 
 74.20  plan together with a program for capital improvements and site 
 74.21  development, and the commissioner of administration shall 
 74.22  provide the necessary cost estimates for the program.  The board 
 74.23  shall report any changes to the comprehensive plan adopted by 
 74.24  the board to the committee on governmental operations and 
 74.25  gambling of the house of representatives and the committee on 
 74.26  governmental operations and reform of the senate and upon 
 74.27  request shall provide testimony concerning the changes.  The 
 74.28  board shall also provide testimony to the legislature on 
 74.29  proposals for memorials in the capitol area as to their 
 74.30  compatibility with the standards, policies, and objectives of 
 74.31  the comprehensive plan. 
 74.32     (l) The state shall, by the attorney general upon the 
 74.33  recommendation of the board and within appropriations available 
 74.34  for that purpose, acquire by gift, purchase, or eminent domain 
 74.35  proceedings any real property situated in the area described in 
 74.36  this section, and it may also acquire an interest less than a 
 75.1   fee simple interest in the property, if it finds that the 
 75.2   property is needed for future expansion or beautification of the 
 75.3   area.  
 75.4      (m) The board is the successor of the state veterans 
 75.5   service building commission, and as such may adopt rules and may 
 75.6   reenact the rules adopted by its predecessor under Laws 1945, 
 75.7   chapter 315, and amendments to it.  
 75.8      (n) The board shall meet at the call of the chair and at 
 75.9   such other times as it may prescribe.  
 75.10     (o) The commissioner of administration shall assign 
 75.11  quarters in the state veterans service building to (1) the 
 75.12  department of veterans affairs, of which a part that the 
 75.13  commissioner of administration and commissioner of veterans 
 75.14  affairs may mutually determine must be on the first floor above 
 75.15  the ground, and (2) the American Legion, Veterans of Foreign 
 75.16  Wars, Disabled American Veterans, Military Order of the Purple 
 75.17  Heart, United Spanish War Veterans, and Veterans of World War I, 
 75.18  and their auxiliaries, incorporated, or when incorporated, under 
 75.19  the laws of the state, and (3) as space becomes available, to 
 75.20  other state departments and agencies as the commissioner may 
 75.21  deem desirable. 
 75.22     Sec. 9.  Minnesota Statutes 1996, section 18.022, 
 75.23  subdivision 9, is amended to read: 
 75.24     Subd. 9.  [RULES.] The commissioner may adopt rules in 
 75.25  accordance with sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
 75.26  14.45, and 14.57 to 14.62 chapter 14 prescribing control 
 75.27  measures to be used to prevent the spread of shade tree diseases 
 75.28  and shall include the following:  (a) A definition of shade 
 75.29  tree, (b) qualifications for inspectors, (c) methods of 
 75.30  identifying diseased shade trees, (d) procedures for giving 
 75.31  reasonable notice of inspection of private real property, (e) 
 75.32  measures for the treatment and removal of any shade tree which 
 75.33  may contribute to the spread of shade tree disease, and (f) such 
 75.34  other matters as shall be determined to be necessary by the 
 75.35  commissioner to prevent the spread of shade tree disease and 
 75.36  enforce the provisions of this section.  The rules of the 
 76.1   commissioner shall apply in a county, city or town unless the 
 76.2   county, city or town adopts an ordinance or resolution pursuant 
 76.3   to subdivision 6 which is determined by the commissioner to be 
 76.4   more stringent than the rules of the commissioner.  The rules of 
 76.5   the commissioner or the more stringent ordinance or resolution 
 76.6   of the city, county or town shall apply to all state agencies 
 76.7   and special purpose districts which own or control land within 
 76.8   any county, city or town exercising the powers granted in this 
 76.9   section.  
 76.10     Sec. 10.  Minnesota Statutes 1996, section 18.0227, 
 76.11  subdivision 3, is amended to read: 
 76.12     Subd. 3.  [ADMINISTRATION.] The commissioner shall develop 
 76.13  the experimental grasshopper control program and may adopt 
 76.14  rules, guidelines, and procedures notwithstanding chapter 14 to 
 76.15  implement the program, except the commissioner must comply with 
 76.16  section 14.38, subdivisions 7 and 8 14.386, paragraph (a), 
 76.17  clauses (1) and (3).  Section 14.386, paragraph (b), does not 
 76.18  apply to these rules, guidelines, and procedures.  
 76.19     Sec. 11.  Minnesota Statutes 1996, section 62E.10, 
 76.20  subdivision 8, is amended to read: 
 76.21     Subd. 8.  [DEPARTMENT OF STATE EXEMPTION.] The association 
 76.22  is exempt from the administrative procedure act but, to the 
 76.23  extent authorized by law to adopt rules, the association may use 
 76.24  the provisions of section 14.38, subdivisions 5 to 9 14.386, 
 76.25  paragraph (a), clauses (1) and (3).  Section 14.386, paragraph 
 76.26  (b), does not apply to these rules. 
 76.27     Sec. 12.  Minnesota Statutes 1996, section 85A.02, 
 76.28  subdivision 5b, is amended to read: 
 76.29     Subd. 5b.  [EXEMPTIONS.] The board is not subject to 
 76.30  sections 3.841 to 3.845, 15.057, 15.061, 16A.1285, and 16A.28; 
 76.31  chapter 16B, except for sections 16B.07, 16B.102, 16B.17, 
 76.32  16B.19, 16B.35, and 16B.55; and chapter 14, except section 
 76.33  14.38, subdivision 7, relating to the legal status of rules and 
 76.34  the legislative review of rules 14.386, paragraph (a), clauses 
 76.35  (1) and (3).  Section 14.386, paragraph (b), does not apply to 
 76.36  the board's actions.  
 77.1      Sec. 13.  Minnesota Statutes 1996, section 85A.05, 
 77.2   subdivision 2, is amended to read: 
 77.3      Subd. 2.  [ISSUANCE OF BONDS.] Upon request by resolution 
 77.4   of the Minnesota zoological board and upon authorization as 
 77.5   provided in subdivision 1 the commissioner of finance shall sell 
 77.6   and issue Minnesota zoological garden bonds in the aggregate 
 77.7   amount requested, upon sealed bids and upon such notice, at such 
 77.8   price, in such form and denominations, bearing interest at such 
 77.9   rate or rates, maturing in such amounts and on such dates, 
 77.10  without option of prepayment or subject to prepayment upon such 
 77.11  notice and at such times and prices, payable at such bank or 
 77.12  banks within or outside the state, with such provisions for 
 77.13  registration, conversion, and exchange and for the issuance of 
 77.14  notes in anticipation of the sale or delivery of definitive 
 77.15  bonds, and in accordance with such further rules, as the 
 77.16  commissioner of finance shall determine, subject to the approval 
 77.17  of the attorney general, but not subject to the provisions of 
 77.18  sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
 77.19  to 14.62 chapter 14, including section 14.386.  The bonds shall 
 77.20  be executed by the commissioner of finance and attested by the 
 77.21  state treasurer under their official seals.  The signatures of 
 77.22  the officers on the bonds and any appurtenant interest coupons 
 77.23  and their seals may be printed, lithographed, engraved, or 
 77.24  stamped thereon, except that each bond shall be authenticated by 
 77.25  the manual signature on its face of one of the officers or of an 
 77.26  officer of a bank designated by them as authenticating agent.  
 77.27  The commissioner of finance shall ascertain and certify to the 
 77.28  purchasers of the bonds the performance and existence of all 
 77.29  acts, conditions, and things necessary to make them valid and 
 77.30  binding general obligations of the state of Minnesota, subject 
 77.31  to the approval of the attorney general.  
 77.32     Sec. 14.  Minnesota Statutes 1996, section 115A.58, 
 77.33  subdivision 2, is amended to read: 
 77.34     Subd. 2.  [ISSUANCE OF BONDS.] Upon request by the director 
 77.35  and upon authorization as provided in subdivision 1, the 
 77.36  commissioner of finance shall sell Minnesota state waste 
 78.1   management bonds.  The bonds shall be in the aggregate amount 
 78.2   requested, and sold upon sealed bids upon the notice, at the 
 78.3   price in the form and denominations, bearing interest at the 
 78.4   rate or rates, maturing in the amounts and on the dates (with or 
 78.5   without option of prepayment upon notice and at specified times 
 78.6   and prices), payable at a bank or banks within or outside the 
 78.7   state (with provisions, if any, for registration, conversion, 
 78.8   and exchange and for the issuance of temporary bonds or notes in 
 78.9   anticipation of the sale or delivery of definitive bonds), and 
 78.10  in accordance with further provisions as the commissioner of 
 78.11  finance shall determine, subject to the approval of the attorney 
 78.12  general, but not subject to the provisions of sections 14.02, 
 78.13  14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 to 
 78.14  14.62 chapter 14, including section 14.386.  The bonds shall be 
 78.15  executed by the commissioner of finance and attested by the 
 78.16  state treasurer under their official seals.  The signatures of 
 78.17  the officers on the bonds and any interest coupons and their 
 78.18  seals may be printed, lithographed, engraved, stamped, or 
 78.19  otherwise reproduced thereon, except that each bond shall be 
 78.20  authenticated by the manual signature on its face of one of the 
 78.21  officers or of an authorized representative of a bank designated 
 78.22  by the commissioner of finance as registrar or other 
 78.23  authenticating agent.  The commissioner of finance shall 
 78.24  ascertain and certify to the purchasers of the bonds the 
 78.25  performance and existence of all acts, conditions, and things 
 78.26  necessary to make them valid and binding general obligations of 
 78.27  the state of Minnesota, subject to the approval of the attorney 
 78.28  general. 
 78.29     Sec. 15.  Minnesota Statutes 1996, section 116.17, 
 78.30  subdivision 2, is amended to read: 
 78.31     Subd. 2.  [ISSUANCE OF BONDS.] Upon request by resolution 
 78.32  of the agency and upon authorization as provided in subdivision 
 78.33  1 the commissioner of finance shall sell and issue Minnesota 
 78.34  state water pollution control bonds in the aggregate amount 
 78.35  requested, upon sealed bids and upon such notice, at such price, 
 78.36  in such form and denominations, bearing interest at a rate or 
 79.1   rates, maturing in amounts and on dates, with or without option 
 79.2   of prepayment upon notice and at specified times and prices, 
 79.3   payable at a bank or banks within or outside the state, with 
 79.4   provisions, if any, for registration, conversion, and exchange 
 79.5   and for the issuance of temporary bonds or notes in anticipation 
 79.6   of the sale or delivery of definitive bonds, and in accordance 
 79.7   with further provisions, as the commissioner of finance shall 
 79.8   determine, subject to the approval of the attorney general, but 
 79.9   not subject to the provisions of sections 14.02, 14.04 to 14.28, 
 79.10  14.38, 14.44 to 14.45, and 14.57 to 14.62 chapter 14, including 
 79.11  section 14.386.  The bonds shall be executed by the commissioner 
 79.12  of finance and attested by the state treasurer under their 
 79.13  official seals.  The signatures of the officers on the bonds and 
 79.14  any appurtenant interest coupons and their seals may be printed, 
 79.15  lithographed, engraved, stamped, or otherwise reproduced 
 79.16  thereon, except that each bond shall be authenticated by the 
 79.17  manual signature on its face of one of the officers or of an 
 79.18  authorized representative of a bank designated by the 
 79.19  commissioner as registrar or other authenticating agent.  The 
 79.20  commissioner of finance shall ascertain and certify to the 
 79.21  purchasers of the bonds the performance and existence of all 
 79.22  acts, conditions, and things necessary to make them valid and 
 79.23  binding general obligations of the state of Minnesota, subject 
 79.24  to the approval of the attorney general. 
 79.25     Sec. 16.  Minnesota Statutes 1996, section 116C.06, 
 79.26  subdivision 1, is amended to read: 
 79.27     Subdivision 1.  The board shall hold public hearings on 
 79.28  matters that it determines to be of major environmental impact.  
 79.29  The board shall prescribe by rule in conformity to the 
 79.30  provisions of sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
 79.31  14.45, and 14.57 to 14.62 chapter 14, the procedures for the 
 79.32  conduct of all hearings and review procedures.  
 79.33     Sec. 17.  Minnesota Statutes 1996, section 124.41, 
 79.34  subdivision 2, is amended to read: 
 79.35     Subd. 2.  [APPLICATION FORMS; RULES.] The commissioner, 
 79.36  with the assistance of the attorney general or a designated 
 80.1   assistant, shall prepare forms of applications for debt service 
 80.2   loans and capital loans and instruments evidencing the loans.  
 80.3   The state board shall promulgate rules to facilitate the 
 80.4   commissioner's operations in compliance with sections 124.36 to 
 80.5   124.46.  The rules shall be subject to the procedure set forth 
 80.6   in sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 
 80.7   14.57 to 14.62 chapter 14. 
 80.8      Sec. 18.  Minnesota Statutes 1996, section 124.46, 
 80.9   subdivision 2, is amended to read: 
 80.10     Subd. 2.  Upon receipt of each such certification, subject 
 80.11  to authorization as provided in subdivision 4, the commissioner 
 80.12  of finance shall from time to time as needed issue and sell 
 80.13  state of Minnesota school loan bonds in the aggregate principal 
 80.14  amount stated in the commissioner's certificate, for the prompt 
 80.15  and full payment of which, with the interest thereon, the full 
 80.16  faith, credit, and taxing powers of the state are hereby 
 80.17  irrevocably pledged, and shall credit the net proceeds of their 
 80.18  sale to the purposes for which they are appropriated by section 
 80.19  124.40, subdivision 1.  Such bonds shall be issued and sold at 
 80.20  such price, in such manner, in such number of series, at such 
 80.21  times, and in such form and denominations, shall bear such dates 
 80.22  of issue and of maturity, either without option of prior 
 80.23  redemption or subject to prepayment upon such notice and at such 
 80.24  times and prices, shall bear interest at such rate or rates and 
 80.25  payable at such intervals, shall be payable at such bank or 
 80.26  banks within or without the state, with such provisions for 
 80.27  registration, conversion, and exchange, and for the issuance of 
 80.28  notes in anticipation of the sale and delivery of definitive 
 80.29  bonds, and in accordance with such further provisions as the 
 80.30  commissioner of finance shall determine subject to the 
 80.31  limitations stated in this subdivision (but not subject to the 
 80.32  provisions of sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 
 80.33  14.45, and 14.57 to 14.62 chapter 14, including section 14.386). 
 80.34  The maturity date shall in no case be more than 20 years after 
 80.35  the date of issue of any bond and the principal amounts and due 
 80.36  dates shall conform as near as may be with the commissioner's 
 81.1   estimates of dates and amounts of payments to be received on 
 81.2   debt service and capital loans.  The bonds and any interest 
 81.3   coupons appurtenant to them shall be executed by the 
 81.4   commissioner of finance and attested by the state treasurer 
 81.5   under their official seals.  The signatures of these officers 
 81.6   and their seals may be printed, lithographed, stamped, engraved, 
 81.7   or otherwise reproduced thereon.  Each bond shall be 
 81.8   authenticated by the manual signature on its face of one of the 
 81.9   officers or a person authorized to sign on behalf of a bank or 
 81.10  trust company designated by the commissioner to act as registrar 
 81.11  or other authenticating agent.  The commissioner of finance is 
 81.12  authorized and directed to ascertain and certify to purchasers 
 81.13  of the bonds the performance and existence of all acts, 
 81.14  conditions, and things necessary to make them valid and binding 
 81.15  general obligations of the state of Minnesota in accordance with 
 81.16  their terms.  
 81.17     Sec. 19.  Minnesota Statutes 1996, section 136A.40, is 
 81.18  amended to read: 
 81.19     136A.40 [ADMINISTRATION.] 
 81.20     The administration of sections 136A.25 to 136A.42, shall be 
 81.21  under the authority independent of other departments and 
 81.22  agencies and notwithstanding chapter 16B.  The authority shall 
 81.23  not be subject to the provisions of sections 14.02, 14.04 to 
 81.24  14.28, 14.38, 14.44 to 14.45, and 14.57 to 14.62 chapter 14, 
 81.25  including section 14.386 in connection with the adoption of any 
 81.26  rules, rents, fees or charges or with the exercise of any other 
 81.27  powers or duties.  
 81.28     Sec. 20.  Minnesota Statutes 1996, section 145.925, 
 81.29  subdivision 9, is amended to read: 
 81.30     Subd. 9.  [RULES; REGIONAL FUNDING.] Notwithstanding any 
 81.31  rules to the contrary, including rules proposed in the State 
 81.32  Register on April 1, 1991, the commissioner, in allocating grant 
 81.33  funds for family planning special projects, shall not limit the 
 81.34  total amount of funds that can be allocated to an organization 
 81.35  that has submitted applications from more than one region, 
 81.36  except that no more than $75,000 may be allocated to any grantee 
 82.1   within a single region.  For two or more organizations who have 
 82.2   submitted a joint application, that limit is $75,000 for each 
 82.3   organization.  This subdivision does not affect any procedure 
 82.4   established in rule for allocating special project money to the 
 82.5   different regions.  The commissioner shall revise the rules for 
 82.6   family planning special project grants so that they conform to 
 82.7   the requirements of this subdivision.  In adopting these 
 82.8   revisions, the commissioner is not subject to the rulemaking 
 82.9   provisions of chapter 14, but is bound by section 14.38, 
 82.10  subdivision 7 14.386, paragraph (a), clauses (1) and (3).  
 82.11  Section 14.386, paragraph (b), does not apply to these rules. 
 82.12     Sec. 21.  Minnesota Statutes 1996, section 150A.04, 
 82.13  subdivision 5, is amended to read: 
 82.14     Subd. 5.  [RULES.] The board may promulgate rules as are 
 82.15  necessary to carry out and make effective the provisions and 
 82.16  purposes of sections 150A.01 to 150A.12, in accordance with 
 82.17  sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
 82.18  to 14.62 chapter 14.  The rules may specify training and 
 82.19  education necessary for administering general anesthesia and 
 82.20  intravenous conscious sedation. 
 82.21     Sec. 22.  Minnesota Statutes 1996, section 152.02, 
 82.22  subdivision 12, is amended to read: 
 82.23     Subd. 12.  If any substance is designated, rescheduled, or 
 82.24  deleted as a controlled substance under federal law and notice 
 82.25  thereof is given to the state board of pharmacy, the state board 
 82.26  of pharmacy shall similarly control the substance under this 
 82.27  chapter, after the expiration of 30 days from publication in the 
 82.28  Federal Register of a final order designating a substance as a 
 82.29  controlled substance or rescheduling or deleting a substance.  
 82.30  Such order shall be filed pursuant to section 14.38 with the 
 82.31  secretary of state.  If within that 30-day period, the state 
 82.32  board of pharmacy objects to inclusion, rescheduling, or 
 82.33  deletion, it shall publish the reasons for objection and afford 
 82.34  all interested parties an opportunity to be heard.  At the 
 82.35  conclusion of the hearing, the state board of pharmacy shall 
 82.36  publish its decision, which shall be subject to the provisions 
 83.1   of chapter 14. 
 83.2      In exercising the authority granted by this chapter, the 
 83.3   state board of pharmacy shall be subject to the provisions of 
 83.4   chapter 14.  The state board of pharmacy shall provide copies of 
 83.5   any proposed rule under this chapter to the advisory council on 
 83.6   controlled substances at least 30 days prior to any hearing 
 83.7   required by section 14.14, subdivision 1.  The state board of 
 83.8   pharmacy shall consider the recommendations of the advisory 
 83.9   council on controlled substances, which may be made prior to or 
 83.10  at the hearing. 
 83.11     Sec. 23.  Minnesota Statutes 1996, section 161.1231, 
 83.12  subdivision 5, is amended to read: 
 83.13     Subd. 5.  [FEES.] The commissioner shall establish and 
 83.14  collect fees for use of the parking facilities.  The fees must 
 83.15  be established and adjusted in compliance with United States 
 83.16  Code, title 23, section 137, and are not subject to chapter 14, 
 83.17  including section 14.38, subdivisions 5 to 9 14.386, or 16A.1285.
 83.18     Sec. 24.  Minnesota Statutes 1996, section 167.50, 
 83.19  subdivision 2, is amended to read: 
 83.20     Subd. 2.  [ISSUANCE AND SALE.] The bonds shall be issued 
 83.21  and sold upon sealed bids after published notice.  The bonds 
 83.22  shall be issued and sold at the times and prices (not less than 
 83.23  par and accrued interest), in the form and denominations, 
 83.24  bearing interest at the rate or rates, maturing on dates, with 
 83.25  or without option of prior redemption upon notice and at 
 83.26  specified times and prices, payable at a bank or banks, within 
 83.27  or without the state, with provisions for registration, 
 83.28  conversion, and exchange and for the issuance of temporary bonds 
 83.29  or notes in anticipation of the sale and delivery of definitive 
 83.30  bonds, and in accordance with such further provisions, as the 
 83.31  commissioner of finance may determine, subject to the approval 
 83.32  of the attorney general (but not subject to the provisions of 
 83.33  sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
 83.34  to 14.62 chapter 14, including 14.386).  Each bond shall mature 
 83.35  within 20 years from its date of issue and shall be executed by 
 83.36  the commissioner of finance and attested by the state treasurer 
 84.1   under their official seals.  The signatures of these officers on 
 84.2   the face of and any interest coupons appurtenant to any bond, 
 84.3   and their seals may be printed, lithographed, stamped, engraved, 
 84.4   or otherwise reproduced thereon, provided that the signature of 
 84.5   one of the officers, or of an authorized representative of a 
 84.6   corporate registrar or other agent designated by the 
 84.7   commissioner of finance to authenticate the bonds, shall be 
 84.8   manually subscribed on the face of each bond. 
 84.9      Sec. 25.  Minnesota Statutes 1996, section 169.06, 
 84.10  subdivision 1, is amended to read: 
 84.11     Subdivision 1.  [UNIFORM SYSTEM.] The commissioner shall 
 84.12  adopt a manual and specifications for a uniform system of 
 84.13  traffic-control devices consistent with the provisions of this 
 84.14  chapter for use upon highways within this state.  Such uniform 
 84.15  system shall correlate with and so far as possible conform to 
 84.16  the system then current as approved by the American Association 
 84.17  of State Highway Officials.  The manual and specifications must 
 84.18  include the design and wording of minimum-maintenance road 
 84.19  signs.  The adoption of the manual and specifications by the 
 84.20  commissioner as herein provided is specifically exempted from 
 84.21  the provisions and requirements of sections 14.02, 14.04 to 
 84.22  14.28, 14.38, 14.44 to 14.45, and 14.57 to 14.62 and acts 
 84.23  amendatory thereto chapter 14, including section 14.386. 
 84.24     Sec. 26.  Minnesota Statutes 1996, section 174.51, 
 84.25  subdivision 2, is amended to read: 
 84.26     Subd. 2.  [SALE; GENERAL OBLIGATIONS.] The bonds shall be 
 84.27  sold upon sealed bids and upon notice, at a price, in form and 
 84.28  denominations, bearing interest at a rate or rates, maturing in 
 84.29  amounts and on dates, without option of prior redemption or 
 84.30  subject to prepayment upon notice and at times and prices, 
 84.31  payable at a bank or banks within or outside the state, with or 
 84.32  without provisions for registration, conversion, exchange, and 
 84.33  issuance of temporary bonds or notes in anticipation of the sale 
 84.34  or delivery of definitive bonds, and in accordance with further 
 84.35  provisions, as the commissioner of finance shall determine 
 84.36  subject to the approval of the attorney general, but not subject 
 85.1   to the provisions of sections 14.02, 14.04 to 14.28, 14.38, 
 85.2   14.44 to 14.45, and 14.57 to 14.62 chapter 14, including 14.386. 
 85.3   Each bond shall mature within 20 years from its date of issue 
 85.4   and shall be executed by the commissioner of finance and 
 85.5   attested by the state treasurer under their official seals.  The 
 85.6   signatures on the bonds and on any interest coupons and the 
 85.7   seals may be printed or otherwise reproduced, except that each 
 85.8   bond shall be authenticated by the manual signature on its face 
 85.9   of one of the officers or of a person authorized to sign on 
 85.10  behalf of a bank designated by the commissioner of finance as 
 85.11  registrar or other authenticating agent.  The commissioner of 
 85.12  finance shall ascertain and certify to the purchasers of the 
 85.13  bonds the performance and existence of all acts, conditions, and 
 85.14  things necessary to make them valid and binding general 
 85.15  obligations of the state of Minnesota, subject to the approval 
 85.16  of the attorney general. 
 85.17     Sec. 27.  Minnesota Statutes 1996, section 176.136, 
 85.18  subdivision 1a, is amended to read: 
 85.19     Subd. 1a.  [RELATIVE VALUE FEE SCHEDULE.] The liability of 
 85.20  an employer for services included in the medical fee schedule is 
 85.21  limited to the maximum fee allowed by the schedule in effect on 
 85.22  the date of the medical service, or the provider's actual fee, 
 85.23  whichever is lower.  The medical fee schedule effective on 
 85.24  October 1, 1991, shall remain remains in effect until the 
 85.25  commissioner adopts a new schedule by permanent rule.  The 
 85.26  commissioner shall adopt permanent rules regulating fees 
 85.27  allowable for medical, chiropractic, podiatric, surgical, and 
 85.28  other health care provider treatment or service, including those 
 85.29  provided to hospital outpatients, by implementing a relative 
 85.30  value fee schedule to be effective on October 1, 1993.  The 
 85.31  commissioner may adopt by reference the relative value fee 
 85.32  schedule adopted for the federal Medicare program or a relative 
 85.33  value fee schedule adopted by other federal or state agencies.  
 85.34  The relative value fee schedule shall must contain reasonable 
 85.35  classifications including, but not limited to, classifications 
 85.36  that differentiate among health care provider disciplines.  The 
 86.1   conversion factors for the original relative value fee schedule 
 86.2   must reasonably reflect a 15 percent overall reduction from the 
 86.3   medical fee schedule most recently in effect.  The reduction 
 86.4   need not be applied equally to all treatment or services, but 
 86.5   must represent a gross 15 percent reduction. 
 86.6      After permanent rules have been adopted to implement this 
 86.7   section, the conversion factors must be adjusted annually on 
 86.8   October 1 by no more than the percentage change computed under 
 86.9   section 176.645, but without the annual cap provided by that 
 86.10  section.  The commissioner shall annually give notice in the 
 86.11  State Register of the adjusted conversion factors and may also 
 86.12  give annual notice of any additions, deletions, or changes to 
 86.13  the relative value units or service codes adopted by the federal 
 86.14  Medicare program.  The relative value units may be statistically 
 86.15  adjusted in the same manner as for the original workers' 
 86.16  compensation relative value fee schedule.  The notices of the 
 86.17  adjusted conversion factors and additions, deletions, or changes 
 86.18  to the relative value units and service codes shall be is in 
 86.19  lieu of the requirements of chapter 14.  The commissioner shall 
 86.20  follow the requirements of section 14.386, paragraph (a).  The 
 86.21  annual adjustments to the conversion factors and the medical fee 
 86.22  schedules adopted pursuant to under this section, including all 
 86.23  previous fee schedules, are not subject to expiration under 
 86.24  section 14.387 14.386, paragraph (b). 
 86.25     Sec. 28.  Minnesota Statutes 1996, section 182.655, 
 86.26  subdivision 1, is amended to read: 
 86.27     Subdivision 1.  Standards and variances shall be proposed, 
 86.28  granted, adopted, modified or revoked by the commissioner in 
 86.29  accordance with the procedures of this section.  The standards 
 86.30  and variances are exempt from the administrative procedure act 
 86.31  but, to the extent authorized by law to adopt rules, the 
 86.32  commissioner may use the provisions of section 14.38, 
 86.33  subdivisions 5 to 9 14.386, paragraph (a), clauses (1) and (3).  
 86.34  Section 14.386, paragraph (b), does not apply to these rules. 
 86.35     Sec. 29.  Minnesota Statutes 1996, section 256B.501, 
 86.36  subdivision 10, is amended to read: 
 87.1      Subd. 10.  [RULES.] To implement this section, the 
 87.2   commissioner shall promulgate rules in accordance with chapter 
 87.3   14.  To implement subdivision 3, the commissioner shall 
 87.4   promulgate rules in accordance with sections 14.01 to 14.38.  
 87.5      Sec. 30.  Minnesota Statutes 1996, section 256B.502, is 
 87.6   amended to read: 
 87.7      256B.502 [RULES.] 
 87.8      The commissioners of health and human services shall 
 87.9   promulgate rules necessary to implement Laws 1983, chapter 199, 
 87.10  except as otherwise indicated in accordance with sections 14.01 
 87.11  to 14.38.  
 87.12     Sec. 31.  Minnesota Statutes 1996, section 256B.503, is 
 87.13  amended to read: 
 87.14     256B.503 [RULES.] 
 87.15     To implement Laws 1983, chapter 312, article 9, sections 1 
 87.16  to 7, the commissioner shall promulgate rules in accordance with 
 87.17  sections 14.01 to 14.38.  Rules adopted to implement Laws 1983, 
 87.18  chapter 312, article 9, section 5, must (a) be in accord with 
 87.19  the provisions of Minnesota Statutes, chapter 256E, (b) set 
 87.20  standards for case management which include, encourage and 
 87.21  enable flexible administration, (c) require the county boards to 
 87.22  develop individualized procedures governing case management 
 87.23  activities, (d) consider criteria promulgated under section 
 87.24  256B.092, subdivision 3, and the federal waiver plan, (e) 
 87.25  identify cost implications to the state and to county boards, 
 87.26  and (f) require the screening teams to make recommendations to 
 87.27  the county case manager for development of the individual 
 87.28  service plan. 
 87.29     The commissioner shall adopt rules to implement this 
 87.30  section by July 1, 1986.  
 87.31     Sec. 32.  Minnesota Statutes 1996, section 401.03, is 
 87.32  amended to read: 
 87.33     401.03 [PROMULGATION OF RULES; TECHNICAL ASSISTANCE.] 
 87.34     The commissioner shall, as provided in sections 14.02, 
 87.35  14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 to 
 87.36  14.62 chapter 14, promulgate rules for the implementation of 
 88.1   sections 401.01 to 401.16, and shall provide consultation and 
 88.2   technical assistance to counties to aid them in the development 
 88.3   of comprehensive plans.  
 88.4      Sec. 33.  Minnesota Statutes 1996, section 458A.03, 
 88.5   subdivision 2, is amended to read: 
 88.6      Subd. 2.  [RULES.] The commission may prescribe and 
 88.7   promulgate rules as it deems necessary or expedient in 
 88.8   furtherance of the purposes of sections 458A.01 to 458A.15 upon 
 88.9   like procedure and with like force and effect as provided for 
 88.10  state agencies by sections 14.02, 14.04 to 14.28, 14.38, 14.44 
 88.11  to 14.45, and 14.57 to 14.62 chapter 14. 
 88.12     Sec. 34.  Minnesota Statutes 1996, section 475A.06, 
 88.13  subdivision 2, is amended to read: 
 88.14     Subd. 2.  [FORMALITIES.] The bonds shall be issued and sold 
 88.15  upon sealed bids and upon such notice, at such price, at such 
 88.16  times, in such form and denominations, bearing interest at such 
 88.17  rate or rates, maturing in such amounts and on such dates, 
 88.18  either without option of prepayment or subject to prepayment 
 88.19  upon such notice and at such times and prices, payable at such 
 88.20  bank or banks within or outside the state, with such provisions 
 88.21  for registration, conversion, and exchange and for the issuance 
 88.22  of notes in anticipation of the sale or delivery of definitive 
 88.23  bonds, and in accordance with such further rules, as the 
 88.24  commissioner of finance shall determine, subject to the approval 
 88.25  of the attorney general, but not subject to the provisions of 
 88.26  sections 14.02, 14.04 to 14.28, 14.38, 14.44 to 14.45, and 14.57 
 88.27  to 14.62 chapter 14, including section 14.386.  The bonds shall 
 88.28  be executed by the commissioner of finance and attested by the 
 88.29  state treasurer under their official seals.  The signatures of 
 88.30  the officers on the bonds and any appurtenant interest coupons 
 88.31  and their seals may be printed, lithographed, engraved, or 
 88.32  stamped thereon, except that each bond shall be authenticated by 
 88.33  the manual signature on its face of one of the officers or of an 
 88.34  officer of a bank designated by them as authenticating agent.  
 88.35  The commissioner of finance shall ascertain and certify to the 
 88.36  purchasers of the bonds the performance and existence of all 
 89.1   acts, conditions, and things necessary to make them valid and 
 89.2   binding general obligations of the state of Minnesota, subject 
 89.3   to the approval of the attorney general.  
 89.4      Sec. 35.  Minnesota Statutes 1996, section 507.09, is 
 89.5   amended to read: 
 89.6      507.09 [FORMS APPROVED; AMENDMENTS.] 
 89.7      The several forms of deeds, mortgages, land contracts, 
 89.8   assignments, satisfactions, and other conveyancing instruments 
 89.9   prepared by the uniform conveyancing blanks commission and filed 
 89.10  by the commission with the secretary of state pursuant to Laws 
 89.11  1929, chapter 135, as amended by Laws 1931, chapter 34, are 
 89.12  approved and recommended for use in the state.  Such forms shall 
 89.13  be kept on file with and be preserved by the commissioner of 
 89.14  commerce as a public record.  The commissioner of commerce may 
 89.15  appoint an advisory task force on uniform conveyancing forms to 
 89.16  recommend to the commissioner of commerce amendments to existing 
 89.17  forms or the adoption of new forms.  The task force shall 
 89.18  expire, and the terms, compensation, and removal of members 
 89.19  shall be as provided in section 15.059.  The commissioner of 
 89.20  commerce may adopt amended or new forms consistent with the laws 
 89.21  of this state by complying with the procedures in section 14.38, 
 89.22  subdivision 7, clauses (1), (2), and (3) 14.386, paragraph (a), 
 89.23  clauses (1) and (3).  Section 14.386, paragraph (b), does not 
 89.24  apply to these forms. 
 89.25     Sec. 36.  [TRANSITION.] 
 89.26     The repeal of authority to use procedures in Minnesota 
 89.27  Statutes, section 14.38, subdivisions 5 to 9 to adopt rules and 
 89.28  the repeal of references to other rulemaking authority in 
 89.29  specific sections of Minnesota Statutes, chapter 14 does not 
 89.30  affect the validity of rules adopted under those procedures 
 89.31  before the effective date of this article. 
 89.32     Sec. 37.  [REPEALER.] 
 89.33     (a) Minnesota Statutes 1996, section 14.387, is repealed. 
 89.34     (b) Minnesota Statutes 1996, section 14.38, subdivisions 5, 
 89.35  6, 7, 8, and 9, are repealed. 
 89.36     (c) Minnesota Statutes 1996, section 214.06, subdivision 3, 
 90.1   is repealed. 
 90.2      Sec. 38.  [EFFECTIVE DATES.] 
 90.3      Sections 1 to 36, and 37, paragraph (b), are effective the 
 90.4   day following final enactment. 
 90.5      Section 37, paragraphs (a) and (c), are effective June 30, 
 90.6   1997.