1.1                          A bill for an act 
  1.2             relating to public administration; appropriating money 
  1.3             for health and human services, agriculture, 
  1.4             environment and natural resources, criminal justice, 
  1.5             state government, and economic development; 
  1.6             establishing and modifying certain programs; providing 
  1.7             for regulation of certain activities and practices; 
  1.8             providing for accounts, assessments, and fees; 
  1.9             providing penalties; amending Minnesota Statutes 1998, 
  1.10            sections 13.82, subdivision 3b; 15.0591, subdivision 
  1.11            2; 15A.0815, subdivisions 2 and 3; 16A.10, by adding a 
  1.12            subdivision; 16A.11, subdivision 3; 16A.124, by adding 
  1.13            a subdivision; 16A.126, subdivision 2; 16B.052; 
  1.14            16B.31, by adding a subdivision; 16B.335, subdivision 
  1.15            5; 16B.42, subdivisions 2 and 3; 16B.48, subdivision 
  1.16            4; 16B.485; 17A.03, subdivision 5; 18E.04, subdivision 
  1.17            4; 41A.09, subdivision 3a; 41B.03, subdivisions 1 and 
  1.18            2; 41B.039, subdivision 2; 41B.04, subdivision 8; 
  1.19            41B.042, subdivision 4; 41B.043, subdivision 2; 
  1.20            41B.045, subdivision 2; 43A.38, subdivision 1; 60H.03, 
  1.21            by adding a subdivision; 80A.122, by adding a 
  1.22            subdivision; 80A.28, subdivision 1; 85A.02, 
  1.23            subdivision 5a; 103E.011, by adding a subdivision; 
  1.24            115B.17, subdivision 19; 119A.05, subdivision 1; 
  1.25            119A.37, subdivision 4; 120B.22, subdivision 1; 
  1.26            121A.15, subdivisions 4 and 10; 125A.74, subdivisions 
  1.27            1 and 2; 138.17, subdivision 10; 144.551, subdivision 
  1.28            1; 144A.071, by adding a subdivision; 168A.40, 
  1.29            subdivision 3; 169.01, subdivision 37; 169.121, 
  1.30            subdivision 3b; 169.129, by adding a subdivision; 
  1.31            169.21, subdivisions 2 and 3; 169.89, subdivision 2; 
  1.32            179A.18, subdivision 1; 181.932, subdivision 1; 
  1.33            182.661, subdivision 1; 182.666, subdivision 2, and by 
  1.34            adding a subdivision; 193.143; 221.173; 242.41; 
  1.35            242.43; 242.44; 254B.03, subdivision 1; 256.01, by 
  1.36            adding a subdivision; 256.011, subdivision 3; 256.741, 
  1.37            by adding a subdivision; 256.955, subdivisions 1 and 
  1.38            2; 256.9753, subdivision 3; 256.995, subdivision 1; 
  1.39            256B.431, by adding subdivisions; 256B.69, subdivision 
  1.40            5d; 256J.08, by adding a subdivision; 256J.15, by 
  1.41            adding a subdivision; 256J.32, by adding a 
  1.42            subdivision; 256J.40; 256J.45, subdivision 3; 256J.46, 
  1.43            by adding a subdivision; 256J.47, subdivision 1; 
  1.44            256J.49, subdivision 13; 256J.50, subdivisions 5 and 
  1.45            7; 256J.52, by adding a subdivision; 256L.05, 
  1.46            subdivision 5; 257.75, subdivision 6; 268.362, 
  2.1             subdivision 2; 345.31, by adding a subdivision; 
  2.2             345.39, subdivision 1; 349A.02, subdivision 1; 352.91, 
  2.3             subdivision 3c, and by adding subdivisions; 352D.02, 
  2.4             subdivision 1; 352D.04, subdivision 2; 356.30, 
  2.5             subdivision 1; 422A.101, subdivision 3; 471.345, by 
  2.6             adding a subdivision; 490.121, subdivision 4, and by 
  2.7             adding a subdivision; 490.123, subdivisions 1a and 1b; 
  2.8             490.124, subdivision 1; 518B.01, subdivision 21; 
  2.9             609.02, subdivisions 3 and 4a; 609.03; 609.033; 
  2.10            609.0331; 609.0332, subdivision 1; 609.034; 609.135, 
  2.11            by adding a subdivision; 609.2231, subdivision 1; 
  2.12            611A.07, subdivision 1; 611A.32, subdivisions 1, 2, 3, 
  2.13            and 5; 611A.33; 611A.34, subdivisions 1, 2, and 3; 
  2.14            611A.345; 611A.35; 611A.36, subdivisions 1 and 2; 
  2.15            626.556, by adding a subdivision; 629.342, subdivision 
  2.16            2; and 629.72, subdivision 6; Minnesota Statutes 1999 
  2.17            Supplement, sections 3.971, subdivision 8; 10A.01, 
  2.18            subdivisions 2 and 21; 13.99, subdivision 108, and by 
  2.19            adding a subdivision; 15.059, subdivision 5a; 16A.103, 
  2.20            subdivision 1; 16A.129, subdivision 3; 16B.616, 
  2.21            subdivisions 3 and 4; 62J.535, subdivision 2; 62J.694, 
  2.22            subdivision 2; 116.073, subdivision 1; 116J.421, 
  2.23            subdivision 2; 119B.011, subdivision 15; 119B.02, 
  2.24            subdivision 1; 125B.21, subdivision 1; 144.395, by 
  2.25            adding a subdivision; 144.396, subdivisions 11 and 12; 
  2.26            144A.04, subdivision 5; 147.09; 169.121, subdivisions 
  2.27            3, 3d, and 3f; 169.1217, subdivision 7; 169.129, 
  2.28            subdivision 1; 179A.04, subdivision 3; 181.932, 
  2.29            subdivision 2; 214.01, subdivision 2; 241.272, 
  2.30            subdivision 6; 242.192; 256.01, subdivision 2; 
  2.31            256.019; 256.955, subdivisions 4, 8, and 9; 256B.0916, 
  2.32            subdivision 1; 256D.03, subdivision 4; 256J.02, 
  2.33            subdivision 2; 256J.08, subdivision 86; 256J.21, 
  2.34            subdivision 2; 256J.26, subdivision 1; 256J.33, 
  2.35            subdivision 4; 256J.34, subdivisions 1 and 4; 256J.46, 
  2.36            subdivisions 1, 2, and 2a; 256J.52, subdivisions 3 and 
  2.37            5; 256J.56; 256L.07, subdivision 1; 326.105; 473.3993, 
  2.38            subdivision 3; 609.135, subdivision 2; 626.556, 
  2.39            subdivision 2; and 626.558, subdivision 1; Laws 1997, 
  2.40            chapter 225, article 4, section 4, as amended; Laws 
  2.41            1999, chapter 216, article 1, sections 2, subdivision 
  2.42            3; 9; 14; Laws 1999, chapter 223, article 1, section 
  2.43            6, subdivision 1; article 2, section 81, as amended; 
  2.44            article 3, section 8; Laws 1999, chapter 231, sections 
  2.45            2, subdivision 2; 6, as amended; 11, subdivision 3; 
  2.46            Laws 1999, chapter 245, article 1, section 2, 
  2.47            subdivisions 3, 5, and 10; article 4, section 121; and 
  2.48            Laws 1999, chapter 250, article 1, sections 11; 14, 
  2.49            subdivision 3; 18; and 116; proposing coding for new 
  2.50            law in Minnesota Statutes, chapters 3; 5; 10A; 16A; 
  2.51            41B; 43A; 136F; 144; 145; 169; 181; 182; 198; 242; 
  2.52            252; 256J; 256K; 260B; 326; 345; 473; and 611A; 
  2.53            proposing coding for new law as Minnesota Statutes, 
  2.54            chapter 146A; repealing Minnesota Statutes 1998, 
  2.55            sections 16B.37, subdivisions 1, 2, and 3; 16B.88; 
  2.56            16E.01, subdivisions 2 and 3; 16E.03, subdivisions 1 
  2.57            and 3; 16E.04, subdivision 1; 16E.05; 16E.06; 16E.07, 
  2.58            subdivisions 1, 2, 3, 5, 6, 7, 8, 9, 10, and 11; 
  2.59            136F.59, subdivision 3; 184A.01; 184A.02; 184A.03; 
  2.60            184A.04; 184A.05; 184A.06; 184A.07; 184A.08; 184A.09; 
  2.61            184A.10; 184A.11; 184A.12; 184A.13; 184A.14; 184A.15; 
  2.62            184A.16; 184A.17; 184A.18; 184A.19; 184A.20; 241.41; 
  2.63            241.42; 241.43; 241.44; 241.441; 241.45; 256J.46, 
  2.64            subdivision 1a; 352.91, subdivision 4; 465.795; 
  2.65            465.796; 465.797, subdivisions 2, 3, 4, 5, 6, and 7; 
  2.66            465.7971; 465.798; 465.799; 465.801; 465.802; 465.803; 
  2.67            465.81; 465.82, subdivisions 1, 2, and 3; 465.83; 
  2.68            465.84; 465.85; 465.86; 465.87; and 465.88; Minnesota 
  2.69            Statutes 1999 Supplement, sections 16E.01, subdivision 
  2.70            1; 16E.02; 16E.03, subdivisions 2, 4, 5, 6, 7, and 8; 
  2.71            16E.04, subdivision 2; 16E.07, subdivision 4; 16E.08; 
  3.1             43A.318; 144.396, subdivision 13; 465.797, 
  3.2             subdivisions 1 and 5a; and 465.82, subdivision 4; Laws 
  3.3             1997, chapter 203, article 7, section 27; Laws 1999, 
  3.4             chapter 135, section 9; Laws 1999, chapter 245, 
  3.5             article 5, section 24; and Laws 1999, chapter 250, 
  3.6             article 1, section 15, subdivision 4; Minnesota Rules, 
  3.7             parts 3800.3810; 7672.0100; 7672.0200; 7672.0300; 
  3.8             7672.0400; 7672.0500; 7672.0600; 7672.0700; 7672.0800; 
  3.9             7672.0900; 7672.1000; 7672.1100; 7672.1200; 7672.1300; 
  3.10            7674.0100; 7674.0200; 7674.0300; 7674.0400; 7674.0500; 
  3.11            7674.0600; 7674.0700; 7674.0800; 7674.0900; 7674.1000; 
  3.12            7674.1100; and 7674.1200. 
  3.13  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  3.14                              <b>PART A</b> 
  3.15              <b>HEALTH AND HUMAN SERVICES PROVISIONS </b>
  3.16                             ARTICLE 1 
  3.17                           APPROPRIATIONS 
  3.18  Section 1.  [HEALTH AND HUMAN SERVICES APPROPRIATIONS.] 
  3.19     The sums shown in the columns marked "APPROPRIATIONS" are 
  3.20  appropriated from the general fund, or any other fund named, to 
  3.21  the agencies and for the purposes specified in this article, to 
  3.22  be available for the fiscal years indicated for each purpose.  
  3.23  The figures "2000" and "2001"  mean that the appropriation or 
  3.24  appropriations listed under them are available for the fiscal 
  3.25  year ending June 30, 2000, or June 30, 2001, respectively, and 
  3.26  if an earlier appropriation was made for that purpose for that 
  3.27  year, the appropriation in this article is added to it.  Where a 
  3.28  dollar amount appears in parenthesis, it means a reduction of an 
  3.29  earlier appropriation for that purpose for that year. 
  3.30                          SUMMARY BY FUND 
  3.31  APPROPRIATIONS                                      BIENNIAL
  3.32                            2000          2001           TOTAL
  3.33  General            $  (53,756,000)$   (7,151,000)$  (60,907,000)
  3.34  State Government
  3.35  Special Revenue           150,000          -0-          150,000
  3.36  Health Care Access 
  3.37  Fund                    1,266,000      3,383,000      4,649,000 
  3.38  TOTAL              $  (52,340,000)$   (3,768,000)$  (56,108,000)
  3.39                                             APPROPRIATIONS 
  3.40                                         Available for the Year 
  3.41                                             Ending June 30 
  3.42                                            2000         2001 
  3.43  Sec. 2.  COMMISSIONER OF 
  3.44  HUMAN SERVICES 
  3.45  Subdivision 1.  Total 
  4.1   Appropriation                     $  (52,490,000)$   (4,565,000)
  4.2                 Summary by Fund
  4.3   General             (53,756,000)   (7,948,000)
  4.4   Health Care Access    1,266,000     3,383,000 
  4.5   This appropriation is taken from the 
  4.6   appropriation in Laws 1999, chapter 
  4.7   245, article 1, section 2. 
  4.8   The amounts that are added to or 
  4.9   reduced from the appropriation for each 
  4.10  program are specified in the following 
  4.11  subdivisions. 
  4.12  Subd. 2.  Children's Grants
  4.13        589,000       2,212,000 
  4.14  [ADOPTION ASSISTANCE/RELATIVE CUSTODY 
  4.15  ASSISTANCE.] Of this appropriation, 
  4.16  $133,000 in fiscal year 2000 and 
  4.17  $1,300,000 in fiscal year 2001 is for 
  4.18  the adoption assistance program under 
  4.19  Minnesota Statutes, section 259.67, and 
  4.20  $456,000 in fiscal year 2000 and 
  4.21  $912,000 in fiscal year 2001 is for the 
  4.22  relative custody assistance program 
  4.23  under Minnesota Statutes, section 
  4.24  257.85.  This is a one-time 
  4.25  appropriation that shall not be added 
  4.26  to the base level funding for these 
  4.27  programs. 
  4.28  Subd. 3.  Basic Health Care Grants
  4.29      14,984,000     51,040,000 
  4.30                Summary by Fund
  4.31  General              13,718,000    47,657,000 
  4.32  Health Care Access    1,266,000     3,383,000 
  4.33  The amounts that may be spent from this 
  4.34  appropriation for each purpose are as 
  4.35  follows: 
  4.36  (a) Minnesota Care Grants
  4.37  Health Care Access Fund
  4.38       1,266,000      3,383,000 
  4.39  (b) MA Basic Health Care Grants-
  4.40  Families and Children
  4.41  General  22,751,000    22,813,000 
  4.42  (c) MA Basic Health Care Grants- 
  4.43  Elderly and  Disabled
  4.44  General  (3,730,000)   13,845,000 
  4.45  (d) General Assistance Medical Care
  4.46  General  (5,303,000)    8,405,000 
  4.47  (e) Health Care Nonentitlement Grants
  5.1            -0-        2,594,000 
  5.2   Subd. 4.  State-Operated Services
  5.3      (9,543,000)          -0-    
  5.4   [STATE-OPERATED SERVICES BASE 
  5.5   REDUCTION.] The general fund base level 
  5.6   appropriation for state operated 
  5.7   services programs and activities shall 
  5.8   be reduced by $9,543,000 for fiscal 
  5.9   year 2000.  
  5.10  The amounts that may be spent from this 
  5.11  appropriation for each purpose are as 
  5.12  follows: 
  5.13  (a) RTC Facilities
  5.14     (9,543,000)          -0-  
  5.15  Subd. 5.  Continuing Care and 
  5.16  Community Support Grants
  5.17     (35,029,000)   (10,925,000)
  5.18  The amounts that may be spent from this 
  5.19  appropriation for each purpose are as 
  5.20  follows: 
  5.21  (a) Community Services Block Grants
  5.22           -0-       (4,950,000)
  5.23  (b) Medical Assistance Long-Term 
  5.24  Care Waivers and Home Care
  5.25     (12,385,000)    (3,450,000) 
  5.26  (c) Medical Assistance Long-Term
  5.27  Care Facilities
  5.28     (20,790,000)    (4,065,000)                 
  5.29  [ADDITIONAL PROVIDER RATE INCREASES.] 
  5.30  (a) The commissioner shall increase 
  5.31  reimbursement rates in effect on June 
  5.32  30, 2000, by five percent for nursing 
  5.33  services and home health services under 
  5.34  Minnesota Statutes, section 256B.0625, 
  5.35  subdivision 6a; personal care services 
  5.36  and nursing supervision of personal 
  5.37  care services under Minnesota Statutes, 
  5.38  section 256B.0625, subdivision 19a; and 
  5.39  private duty nursing services under 
  5.40  Minnesota Statutes, section 256B.0625, 
  5.41  subdivision 7.  This increase is in 
  5.42  addition to the increase provided for 
  5.43  the second year of the biennium in Laws 
  5.44  1999, chapter 245, article 1, section 
  5.45  2, subdivision 8, paragraph (g), and 
  5.46  shall be effective for services 
  5.47  rendered on or after July 1, 2000.  
  5.48  (b) Providers that receive a rate 
  5.49  increase under this section shall use 
  5.50  at least 80 percent of the additional 
  5.51  revenue to increase the compensation 
  5.52  paid to employees other than the 
  5.53  administrator and central office staff. 
  6.1   (c) A copy of the provider's plan for 
  6.2   complying with paragraph (b) must be 
  6.3   made available to all employees.  This 
  6.4   must be done by giving each employee a 
  6.5   copy or by posting it in an area of the 
  6.6   provider's operation to which all 
  6.7   employees have access.  If an employee 
  6.8   does not receive the salary adjustment 
  6.9   described in the plan and is unable to 
  6.10  resolve the problem with the provider, 
  6.11  the employee may contact the employee's 
  6.12  union representative.  If the employee 
  6.13  is not covered by a collective 
  6.14  bargaining agreement, the employee may 
  6.15  contact the commissioner at a phone 
  6.16  number provided by the commissioner and 
  6.17  included in the provider's plan. 
  6.18  (d) Section 6, sunset of uncodified 
  6.19  language, does not apply to this 
  6.20  provision. 
  6.21  (d) Group Residential Housing
  6.22      (1,854,000)      (499,000)                
  6.23  (e) Chemical Dependency
  6.24  Entitlement Grants
  6.25         -0-          2,039,000                 
  6.26  [CHEMICAL DEPENDENCY RESERVE ACCOUNT.] 
  6.27  For fiscal year 2001, $1,500,000 is 
  6.28  canceled from the chemical dependency 
  6.29  reserve account within the consolidated 
  6.30  chemical dependency treatment fund to 
  6.31  the general fund. 
  6.32  Subd. 6.  Continuing Care and
  6.33  Community Support Management
  6.34         -0-             45,000                
  6.35  [DAY TRAINING AND HABILITATION TASK 
  6.36  FORCE.] Of this appropriation, $45,000 
  6.37  in fiscal year 2001 is for the 
  6.38  commissioner to provide technical 
  6.39  assistance to the day training and 
  6.40  habilitation task force established 
  6.41  under Laws 1999, chapter 152. 
  6.42  [DAY SERVICES PROGRAMS.] The 
  6.43  commissioners of human services, 
  6.44  revenue, and finance, in consultation 
  6.45  with representatives of interested 
  6.46  groups, including family members, 
  6.47  advocacy organizations, counties, 
  6.48  service providers, and others, shall 
  6.49  develop specific legislative 
  6.50  recommendations on the transfer from 
  6.51  county funds to the state general fund 
  6.52  for the responsibility for funding day 
  6.53  training and habilitation services 
  6.54  under Minnesota Statutes, section 
  6.55  252.41, including a proposal for a home 
  6.56  and community-based waiver for day 
  6.57  services programs.  The recommendation 
  6.58  shall include estimated cost of the 
  6.59  nonfederal share of medical assistance 
  6.60  day services.  The recommendations, 
  6.61  including cost estimates, shall be 
  7.1   provided to the chairs of the house 
  7.2   health and human services policy and 
  7.3   finance committees and the senate 
  7.4   health and family security committee 
  7.5   and budget division by January 1, 2001. 
  7.6   Subd. 7.  Economic Support Grants
  7.7      (23,491,000)   (47,064,000)                
  7.8   The amounts that may be spent from this 
  7.9   appropriation for each purpose are as 
  7.10  follows: 
  7.11  [FEDERAL TANF FUNDS.] (1)  In addition 
  7.12  to the Federal Temporary Assistance for 
  7.13  Needy Families (TANF) block grant funds 
  7.14  appropriated to the commissioner of 
  7.15  human services in Laws 1999, chapter 
  7.16  245, article 1, section 2, subdivision 
  7.17  10, federal TANF funds awarded in 
  7.18  federal fiscal years 1999 to 2002 are 
  7.19  appropriated to the commissioner in 
  7.20  amounts up to $34,000,000 in fiscal 
  7.21  year 2000 and $56,587,000 in fiscal 
  7.22  year 2001.  In addition to these funds, 
  7.23  the commissioner may draw or transfer 
  7.24  any other appropriations of federal 
  7.25  TANF funds or transfers of federal TANF 
  7.26  funds that are enacted into state law. 
  7.27  (2) Of the amounts in clause (1), 
  7.28  $4,950,000 is transferred in fiscal 
  7.29  year 2001 to the state's federal Title 
  7.30  XX block grant.  Notwithstanding the 
  7.31  provisions of Minnesota Statutes, 
  7.32  section 256E.07, the commissioner shall 
  7.33  allocate $4,950,000 in fiscal year 2001 
  7.34  and $200,000 in fiscal year 2002 of the 
  7.35  state's Title XX block grant funds 
  7.36  based on the community social services 
  7.37  formula in Minnesota Statutes, section 
  7.38  256E.06.  The commissioner shall ensure 
  7.39  that money allocated to counties under 
  7.40  this provision is used according to the 
  7.41  requirements of United States Code, 
  7.42  title 42, section 604(d)(3)(B).  
  7.43  Notwithstanding section 6, this clause 
  7.44  expires June 30, 2002. 
  7.45  (3) Of the amounts in clause (1), 
  7.46  $11,200,000 in fiscal year 2001 is for 
  7.47  the local intervention grants program 
  7.48  under Minnesota Statutes, section 
  7.49  256J.625 and related grant programs and 
  7.50  shall be expended as follows: 
  7.51  (a) $500,000 in fiscal year 2001 is for 
  7.52  a grant to the Southeast Asian MFIP 
  7.53  services collaborative to replicate in 
  7.54  a second location an existing model of 
  7.55  an intensive intervention transitional 
  7.56  employment training project which 
  7.57  serves TANF-eligible recipients and 
  7.58  which moves refugee and immigrant 
  7.59  welfare recipients unto unsubsidized 
  7.60  employment and leads to economic 
  7.61  self-sufficiency.  This is a one-time 
  7.62  appropriation. 
  7.63  (b) $500,000 in fiscal year 2001 is for 
  8.1   nontraditional career assistance and 
  8.2   training programs under Minnesota 
  8.3   Statutes, section 256K.30, subdivision 
  8.4   4.  This is a one-time appropriation. 
  8.5   (c) $10,200,000 is for local 
  8.6   intervention grants for 
  8.7   self-sufficiency program under 
  8.8   Minnesota Statutes, section 256J.625.  
  8.9   For fiscal years 2002 and 2003 the 
  8.10  commissioner of finance shall ensure 
  8.11  that the base level funding for the 
  8.12  local intervention grants program is 
  8.13  $22,625,000 each year. 
  8.14  (4) Of the amounts in clause (1), 
  8.15  $320,000 in fiscal year 2001 is for 
  8.16  training job counselors about the MFIP 
  8.17  program.  For fiscal years 2002 and 
  8.18  2003 the commissioner of finance shall 
  8.19  ensure that the base level funding for 
  8.20  employment services includes $320,000 
  8.21  each year for this activity.  The 
  8.22  appropriations in this clause shall not 
  8.23  become part of the base for the 
  8.24  2004-2005 biennium. 
  8.25  (5) Of the amounts in clause (1), 
  8.26  $242,000 in fiscal year 2001 is for the 
  8.27  costs to county agencies from the 
  8.28  requirement for automatic fair hearings 
  8.29  under Minnesota Statutes, section 
  8.30  256J.40, subdivision 2. For fiscal 
  8.31  years 2002 and 2003 the commissioner of 
  8.32  finance shall ensure that the base 
  8.33  level funding for this activity is 
  8.34  $124,000 each year. 
  8.35  (6) Of the amounts in clause (1), 
  8.36  $1,000,000 in fiscal year 2001 is for 
  8.37  out-of-wedlock pregnancy prevention 
  8.38  funds to serve children in 
  8.39  TANF-eligible families under Minnesota 
  8.40  Statutes, section 256K.35. For fiscal 
  8.41  years 2002 and 2003 the commissioner of 
  8.42  finance shall ensure that the base 
  8.43  level funding for this program is 
  8.44  $1,000,000 each year.  The 
  8.45  appropriations in this clause shall not 
  8.46  become part of the base for the 
  8.47  2004-2005 biennium. 
  8.48  (7) Of the amounts in clause (1), 
  8.49  $1,000,000 in fiscal year 2001 is to 
  8.50  provide services to TANF-eligible 
  8.51  families who are participating in the 
  8.52  supportive housing and managed care 
  8.53  pilot project under Minnesota Statutes, 
  8.54  section 256K.25.  For fiscal years 2002 
  8.55  and 2003 the commissioner of finance 
  8.56  shall ensure that the base level 
  8.57  funding for this project is $1,000,000 
  8.58  each year.  The appropriations in this 
  8.59  clause shall not become part of the 
  8.60  base for this project for the 2004-2005 
  8.61  biennium. 
  8.62  [REDUCTION OF CCDF TRANSFER AMOUNT.] 
  8.63  Notwithstanding any contrary provision 
  8.64  in Laws 1999, chapter 205, article 1, 
  8.65  section 72, the amount of federal TANF 
  9.1   block grant funds that is transferred 
  9.2   in fiscal year 2001 to the state's 
  9.3   federal child care and development 
  9.4   block grant and appropriated to the 
  9.5   commissioner of children, families and 
  9.6   learning for the purposes of Minnesota 
  9.7   Statutes, section 119B.05, under the 
  9.8   provision in Laws 1999, chapter 245, 
  9.9   article 1, section 2, subdivision 10 
  9.10  relating to federal TANF funds, is 
  9.11  reduced by $121,000 for fiscal year 
  9.12  2001. 
  9.13  [TANF TO TITLE XX TRANSFER.] Of the 
  9.14  federal TANF block grant funds awarded 
  9.15  in federal fiscal years 2000 and 2003 
  9.16  and appropriated for state fiscal years 
  9.17  2002 and 2003, $10,000,000 shall be 
  9.18  transferred to the state's federal 
  9.19  Title XX block grant each year for 
  9.20  fiscal years 2002 and 2003.  
  9.21  Notwithstanding the provisions of 
  9.22  Minnesota Statutes, section 256E.07, 
  9.23  the commissioner shall allocate these 
  9.24  funds based on the community social 
  9.25  services formula in Minnesota Statutes, 
  9.26  section 256E.06.  The commissioner 
  9.27  shall ensure that money allocated to 
  9.28  counties under this provision is used 
  9.29  according to the requirements of United 
  9.30  States Code, title 42, section 
  9.31  604(d)(3)(B).  Notwithstanding section 
  9.32  6, this clause expires June 30, 2003. 
  9.33  [TANF MOE EXPENDITURES CLAIMED.] (a) 
  9.34  For fiscal years 2000 to 2003, the 
  9.35  commissioner shall claim allowable 
  9.36  state expenditures from the working 
  9.37  family credit under Minnesota Statutes, 
  9.38  section 290.0671, as TANF maintenance 
  9.39  of effort in amounts up to $71,000,000 
  9.40  for the 2000-2001 biennium and up to 
  9.41  $64,000,000 for the 2002-2003 
  9.42  biennium.  This paragraph expires June 
  9.43  30, 2003. 
  9.44  (b) For fiscal year 2001, the 
  9.45  commissioner shall claim allowable 
  9.46  state expenditures for family 
  9.47  preservation services under Minnesota 
  9.48  Statutes, chapter 256F, as TANF 
  9.49  maintenance of effort in amounts equal 
  9.50  to the state share of the amounts 
  9.51  passed through to custodial parents 
  9.52  under Minnesota Statutes, section 
  9.53  256.741, subdivision 15. 
  9.54  (c) For fiscal years 2002 and 2003, the 
  9.55  commissioner shall claim allowable 
  9.56  state expenditures for family 
  9.57  preservation services under Minnesota 
  9.58  Statutes, chapter 256F, as TANF 
  9.59  maintenance of effort in amounts equal 
  9.60  to the state share of the amounts 
  9.61  distributed to individuals under 
  9.62  Minnesota Statutes, section 256.741, 
  9.63  subdivision 15.  This paragraph expires 
  9.64  June 30, 2003. 
  9.65  (a) Assistance to Families Grants
 10.1      (24,372,000)   (43,200,000)                
 10.2   (b) Work Grants
 10.3           -0-          (250,000)
 10.4   (c) General Assistance
 10.5           557,000    (3,937,000)
 10.6   (d) Minnesota Supplemental Aid
 10.7           324,000       323,000 
 10.8   Subd. 8.  Economic Support  
 10.9   Management
 10.10  General Fund            -0-           127,000
 10.11  Sec. 3.  COMMISSIONER OF HEALTH 
 10.12  Subdivision 1.  Total 
 10.13  Appropriation                            -0-            797,000
 10.14                Summary by Fund
 10.15  General                 -0-           797,000
 10.16  This appropriation is added to the 
 10.17  appropriation in Laws 1999, chapter 
 10.18  245, article 1, section 3. 
 10.19  The amounts that may be spent from this 
 10.20  appropriation for each program are 
 10.21  specified in the following subdivisions.
 10.22  Subd. 2.  Health Systems
 10.23  and Special Populations                  -0-            797,000
 10.24                Summary by Fund
 10.25  General                 -0-           797,000
 10.26  [POISON INFORMATION CENTERS.] Of this 
 10.27  appropriation, $540,000 in fiscal year 
 10.28  2001 is for Minnesota Poison 
 10.29  Information Centers under Minnesota 
 10.30  Statutes, section 145.93.  This is a 
 10.31  one-time appropriation.  The 
 10.32  commissioner may use funds available 
 10.33  through the federal preventive health 
 10.34  services block grant to provide 
 10.35  additional funding for the poison 
 10.36  control system. 
 10.37  [BASE LEVEL REDUCTION.] For fiscal 
 10.38  years 2002 and 2003, the base level 
 10.39  appropriation for Minnesota poison 
 10.40  information centers under Minnesota 
 10.41  Statutes, section 145.93 shall be 
 10.42  reduced by $380,000 each year.  Section 
 10.43  6, sunset of uncodified language, does 
 10.44  not apply to this provision. 
 10.45  [FUNERAL AND PRENEED COMPLAINT 
 10.46  RESPONSES.] (a) Of this appropriation, 
 10.47  $90,000 in fiscal year 2001 is to the 
 10.48  commissioner for the purposes of 
 10.49  responding to complaints as required 
 10.50  under Minnesota Statutes, chapter 
 10.51  149A.  To the extent that resources are 
 11.1   available, the commissioner shall also 
 11.2   provide information and technical 
 11.3   assistance to the organizations 
 11.4   regulated under that chapter.  This 
 11.5   appropriation shall not become part of 
 11.6   base level funding for the 2002-2003 
 11.7   biennium. 
 11.8   (b) The commissioner shall make 
 11.9   recommendations by January 15, 2001, to 
 11.10  the chairs of the senate health and 
 11.11  family security budget division and the 
 11.12  house health and human services finance 
 11.13  committee on whether there is a need 
 11.14  for additional funding for ongoing 
 11.15  implementation of the regulatory 
 11.16  provisions of Minnesota Statutes, 
 11.17  chapter 149A, and if so, proposals for 
 11.18  an alternative funding source to the 
 11.19  general fund. 
 11.20  Sec. 4.  HEALTH-RELATED BOARDS 
 11.21  Subdivision 1.  Total       
 11.22  Appropriation                            150,000          -0-   
 11.23  This appropriation is added to the 
 11.24  appropriation in Laws 1999, chapter 
 11.25  205, article 1, section 5. 
 11.26  [STATE GOVERNMENT SPECIAL REVENUE 
 11.27  FUND.] The appropriation in this 
 11.28  section is from the state government 
 11.29  special revenue fund. 
 11.30  [NO SPENDING IN EXCESS OF REVENUES.] 
 11.31  The commissioner of finance shall not 
 11.32  permit the allotment, encumbrance, or 
 11.33  expenditure of money appropriated in 
 11.34  this section in excess of the 
 11.35  anticipated biennial revenues or 
 11.36  accumulated surplus revenues from fees 
 11.37  collected by the boards.  Neither this 
 11.38  provision nor Minnesota Statutes, 
 11.39  section 214.06, applies to transfers 
 11.40  from the general contingent account. 
 11.41  Subd. 2.  Board of Psychology            150,000        -0-
 11.42  This is a one-time appropriation to the 
 11.43  board for extraordinary legal costs. 
 11.44  Sec. 5.  CARRYOVER LIMITATION 
 11.45  None of the appropriations in articles 
 11.46  1 to 7 which are allowed to be carried 
 11.47  forward from fiscal year 2000 to fiscal 
 11.48  year 2001 shall become part of the base 
 11.49  level funding for the 2002-2003 
 11.50  biennial budget, unless specifically 
 11.51  directed by the legislature. 
 11.52  Sec. 6.  SUNSET OF UNCODIFIED LANGUAGE 
 11.53  All uncodified language contained in 
 11.54  this article expires on June 30, 2001, 
 11.55  unless a different expiration date is 
 11.56  explicit. 
 11.57     Sec. 7.  Laws 1999, chapter 245, article 1, section 2, 
 12.1   subdivision 3, is amended to read: 
 12.2   Subd. 3.  Children's Grants
 12.3   General              52,845,000    54,931,000
 12.4   [ADOPTION ASSISTANCE.] Federal funds 
 12.5   available during the biennium ending 
 12.6   June 30, 2001, for adoption incentive 
 12.7   grants, adoption and foster care 
 12.8   recruitment, and other adoption 
 12.9   services, are appropriated to the 
 12.10  commissioner for these purposes the 
 12.11  adoption assistance program under 
 12.12  Minnesota Statutes, section 259.67. 
 12.13     Sec. 8.  [EFFECTIVE DATE.] 
 12.14     The appropriations and reductions for fiscal year 2000 in 
 12.15  this article are effective the day following final enactment. 
 12.16                             ARTICLE 2 
 12.17                            HEALTH CARE 
 12.18     Section 1.  Minnesota Statutes 1999 Supplement, section 
 12.19  62J.694, subdivision 2, is amended to read: 
 12.20     Subd. 2.  [EXPENDITURES.] (a) Earnings of the fund, up to 
 12.21  five percent of the fair market value of the fund, are 
 12.22  appropriated for medical education activities in the state of 
 12.23  Minnesota, and for research on type 1 diabetes.  The 
 12.24  appropriations are to be transferred quarterly for the purposes 
 12.25  identified in the following paragraphs.  Actual appropriations 
 12.26  are not to exceed actual earnings. 
 12.27     (b) For fiscal year 2000, 70 percent of the appropriation 
 12.28  in paragraph (a) is for transfer to the board of regents for the 
 12.29  instructional costs of health professional programs at the 
 12.30  academic health center and affiliated teaching institutions, and 
 12.31  30 percent of the appropriation is for transfer to the 
 12.32  commissioner of health to be distributed for medical education 
 12.33  under section 62J.692.  
 12.34     (c) For fiscal year 2001, 49 percent of the appropriation 
 12.35  in paragraph (a) is for transfer to the board of regents for the 
 12.36  instructional costs of health professional programs at the 
 12.37  academic health center and affiliated teaching institutions, and 
 12.38  51 percent is for transfer to the commissioner of health to be 
 12.39  distributed for medical education under section 62J.692. 
 12.40     (d) For fiscal year 2002, and each year thereafter, 42 
 13.1   percent of the appropriation in paragraph (a) may be 
 13.2   appropriated by another law for the instructional costs of 
 13.3   health professional programs at publicly funded academic health 
 13.4   centers and affiliated teaching institutions, and 58 percent is 
 13.5   for transfer to the commissioner of health to be distributed for 
 13.6   medical education under section 62J.692. 
 13.7      (e) A maximum of $150,000 of each annual appropriation to 
 13.8   the commissioner of health in paragraph (d) may be used by the 
 13.9   commissioner for administrative expenses associated with 
 13.10  implementing section 62J.692. 
 13.11     (f) On July 1, 2000, the commissioner shall distribute 
 13.12  $5,000,000 of the annual appropriation under paragraph (c) as a 
 13.13  grant to the board of regents of the University of Minnesota to 
 13.14  fund type 1 diabetes research according to section 29.  The 
 13.15  grant funds under this paragraph are available to the board of 
 13.16  regents only if the funds are used to supplement and not 
 13.17  supplant existing funding from the board of regents for the 
 13.18  diabetes institute for immunology and transplantation.  This 
 13.19  appropriation must occur before any appropriation under 
 13.20  paragraph (c).  No portion of this appropriation may be used by 
 13.21  the commissioner for administrative expenses associated with 
 13.22  implementing this section. 
 13.23     (g) On July 1, 2001, the commissioner shall distribute 
 13.24  $5,000,000 of the portion of the annual appropriation under 
 13.25  paragraph (d) as a grant to the board of regents of the 
 13.26  University of Minnesota to fund type 1 diabetes research 
 13.27  according to section 29.  The grant funds under this paragraph 
 13.28  are available to the board of regents only if the funds are used 
 13.29  to supplement and not supplant existing funding from the board 
 13.30  of regents for the diabetes institute for immunology and 
 13.31  transplantation.  This appropriation must occur before any 
 13.32  appropriation under paragraph (d).  No portion of this 
 13.33  appropriation may be used by the commissioner for administrative 
 13.34  expenses associated with implementing this section. 
 13.35     Sec. 2.  Minnesota Statutes 1998, section 121A.15, 
 13.36  subdivision 4, is amended to read: 
 14.1      Subd. 4.  [SUBSTITUTE IMMUNIZATION STATEMENT.] (a) A person 
 14.2   who is enrolling or enrolled in an elementary or secondary 
 14.3   school or child care facility may substitute a statement from 
 14.4   the emancipated person or a parent or guardian if the person is 
 14.5   a minor child in lieu of the statement from a physician or 
 14.6   public clinic which provides immunizations.  If the statement is 
 14.7   from a parent or guardian or emancipated person, the statement 
 14.8   must indicate the month and year of each immunization given. 
 14.9      (b) In order for the statement to be acceptable for a 
 14.10  person who is enrolling in an elementary school and who is six 
 14.11  years of age or younger, it must indicate that the following was 
 14.12  given:  no less than one dose of vaccine each for measles, 
 14.13  mumps, and rubella given separately or in combination; no less 
 14.14  than four doses of vaccine for poliomyelitis, unless the third 
 14.15  dose was given after the fourth birthday, then three doses are 
 14.16  minimum; no less than five doses of vaccine for diphtheria, 
 14.17  tetanus, and pertussis, unless the fourth dose was given after 
 14.18  the fourth birthday, then four doses are minimum; and no less 
 14.19  than three doses of vaccine for hepatitis B.  
 14.20     (c) In order for the statement to be consistent with 
 14.21  subdivision 10 and acceptable for a person who is enrolling in 
 14.22  an elementary or secondary school and is age seven through age 
 14.23  19, the statement must indicate that the person has received no 
 14.24  less than one dose of vaccine each for measles, mumps, and 
 14.25  rubella given separately or in combination, and no less than 
 14.26  three doses of vaccine for poliomyelitis, diphtheria, tetanus, 
 14.27  and hepatitis B.  
 14.28     (d) In order for the statement to be acceptable for a 
 14.29  person who is enrolling in a secondary school, and who was born 
 14.30  after 1956 and is 20 years of age or older, the statement must 
 14.31  indicate that the person has received no less than one dose of 
 14.32  vaccine each for measles, mumps, and rubella given separately or 
 14.33  in combination, and no less than one dose of vaccine for 
 14.34  diphtheria and tetanus within the preceding ten years. 
 14.35     (e) In order for the statement to be acceptable for a 
 14.36  person who is enrolling in a child care facility and who is at 
 15.1   least 15 months old but who has not reached five years of age, 
 15.2   it must indicate that the following were given:  no less than 
 15.3   one dose of vaccine each for measles, mumps, and rubella given 
 15.4   separately or in combination; no less than one dose of vaccine 
 15.5   for haemophilus influenza type b given at or after the first 
 15.6   birthday; no less than four doses of vaccine for diphtheria, 
 15.7   tetanus, and pertussis; and no less than three doses of vaccine 
 15.8   for poliomyelitis. 
 15.9      (f) In order for the statement to be acceptable for a 
 15.10  person who is enrolling in a child care facility and who is five 
 15.11  or six years of age, it must indicate that the following was 
 15.12  given:  no less than one dose of vaccine each for measles, 
 15.13  mumps, and rubella given separately or in combination; no less 
 15.14  than four doses of vaccine for diphtheria, tetanus, and 
 15.15  pertussis; and no less than three doses of vaccine for 
 15.16  poliomyelitis. 
 15.17     (g) In order for the statement to be acceptable for a 
 15.18  person who is enrolling in a child care facility and who is 
 15.19  seven years of age or older, the statement must indicate that 
 15.20  the person has received no less than one dose of vaccine each 
 15.21  for measles, mumps, and rubella given separately or in 
 15.22  combination and consistent with subdivision 10, and no less than 
 15.23  three doses of vaccine for poliomyelitis, diphtheria, and 
 15.24  tetanus.  
 15.25     (h) The commissioner of health, on finding that any of the 
 15.26  above requirements are not necessary to protect the public's 
 15.27  health, may suspend for one year that requirement.  
 15.28     Sec. 3.  Minnesota Statutes 1998, section 121A.15, 
 15.29  subdivision 10, is amended to read: 
 15.30     Subd. 10.  [REQUIREMENTS FOR IMMUNIZATION STATEMENTS.] (a) 
 15.31  A statement required to be submitted under subdivisions 1, 2, 
 15.32  and 4 to document evidence of immunization shall include month, 
 15.33  day, and year for immunizations administered after January 1, 
 15.34  1990.  
 15.35     (a) For persons enrolled in grades 7 and 12 during the 
 15.36  1996-1997 school term, the statement must indicate that the 
 16.1   person has received a dose of tetanus and diphtheria toxoid no 
 16.2   earlier than 11 years of age. 
 16.3      (b) Except as specified in paragraph (e), for persons 
 16.4   enrolled in grades 7, 8, and 12 during the 1997-1998 school 
 16.5   term, the statement must indicate that the person has received a 
 16.6   dose of tetanus and diphtheria toxoid no earlier than 11 years 
 16.7   of age.  
 16.8      (c) (b) Except as specified in paragraph (e) (d), for 
 16.9   persons enrolled in grades 7 through 12 during the 1998-1999 
 16.10  school term and for each year thereafter, the statement must 
 16.11  indicate that the person has received a dose of tetanus and 
 16.12  diphtheria toxoid no earlier than 11 years of age.  
 16.13     (d) (c) For persons enrolled in grades 7 through 12 during 
 16.14  the 1996-1997 school year and for each year thereafter, the 
 16.15  statement must indicate that the person has received at least 
 16.16  two doses of vaccine against measles, mumps, and rubella, given 
 16.17  alone or separately and given not less than one month 
 16.18  apart.  Beginning with the 2001-2002 school year, persons 
 16.19  entering kindergarten must also meet this requirement. 
 16.20     (e) (d) A person who has received at least three doses of 
 16.21  tetanus and diphtheria toxoids, with the most recent dose given 
 16.22  after age six and before age 11, is not required to have 
 16.23  additional immunization against diphtheria and tetanus until ten 
 16.24  years have elapsed from the person's most recent dose of tetanus 
 16.25  and diphtheria toxoid. 
 16.26     (f) (e) The requirement for hepatitis B vaccination shall 
 16.27  apply to persons enrolling in kindergarten beginning with the 
 16.28  2000-2001 school term. 
 16.29     (g) (f) The requirement for hepatitis B vaccination shall 
 16.30  apply to persons enrolling in grade 7 beginning with the 
 16.31  2001-2002 school term. 
 16.32     Sec. 4.  Minnesota Statutes 1998, section 144.551, 
 16.33  subdivision 1, is amended to read: 
 16.34     Subdivision 1.  [RESTRICTED CONSTRUCTION OR MODIFICATION.] 
 16.35  (a) The following construction or modification may not be 
 16.36  commenced:  
 17.1      (1) any erection, building, alteration, reconstruction, 
 17.2   modernization, improvement, extension, lease, or other 
 17.3   acquisition by or on behalf of a hospital that increases the bed 
 17.4   capacity of a hospital, relocates hospital beds from one 
 17.5   physical facility, complex, or site to another, or otherwise 
 17.6   results in an increase or redistribution of hospital beds within 
 17.7   the state; and 
 17.8      (2) the establishment of a new hospital.  
 17.9      (b) This section does not apply to:  
 17.10     (1) construction or relocation within a county by a 
 17.11  hospital, clinic, or other health care facility that is a 
 17.12  national referral center engaged in substantial programs of 
 17.13  patient care, medical research, and medical education meeting 
 17.14  state and national needs that receives more than 40 percent of 
 17.15  its patients from outside the state of Minnesota; 
 17.16     (2) a project for construction or modification for which a 
 17.17  health care facility held an approved certificate of need on May 
 17.18  1, 1984, regardless of the date of expiration of the 
 17.19  certificate; 
 17.20     (3) a project for which a certificate of need was denied 
 17.21  before July 1, 1990, if a timely appeal results in an order 
 17.22  reversing the denial; 
 17.23     (4) a project exempted from certificate of need 
 17.24  requirements by Laws 1981, chapter 200, section 2; 
 17.25     (5) a project involving consolidation of pediatric 
 17.26  specialty hospital services within the Minneapolis-St. Paul 
 17.27  metropolitan area that would not result in a net increase in the 
 17.28  number of pediatric specialty hospital beds among the hospitals 
 17.29  being consolidated; 
 17.30     (6) a project involving the temporary relocation of 
 17.31  pediatric-orthopedic hospital beds to an existing licensed 
 17.32  hospital that will allow for the reconstruction of a new 
 17.33  philanthropic, pediatric-orthopedic hospital on an existing site 
 17.34  and that will not result in a net increase in the number of 
 17.35  hospital beds.  Upon completion of the reconstruction, the 
 17.36  licenses of both hospitals must be reinstated at the capacity 
 18.1   that existed on each site before the relocation; 
 18.2      (7) the relocation or redistribution of hospital beds 
 18.3   within a hospital building or identifiable complex of buildings 
 18.4   provided the relocation or redistribution does not result in: 
 18.5   (i) an increase in the overall bed capacity at that site; (ii) 
 18.6   relocation of hospital beds from one physical site or complex to 
 18.7   another; or (iii) redistribution of hospital beds within the 
 18.8   state or a region of the state; 
 18.9      (8) relocation or redistribution of hospital beds within a 
 18.10  hospital corporate system that involves the transfer of beds 
 18.11  from a closed facility site or complex to an existing site or 
 18.12  complex provided that:  (i) no more than 50 percent of the 
 18.13  capacity of the closed facility is transferred; (ii) the 
 18.14  capacity of the site or complex to which the beds are 
 18.15  transferred does not increase by more than 50 percent; (iii) the 
 18.16  beds are not transferred outside of a federal health systems 
 18.17  agency boundary in place on July 1, 1983; and (iv) the 
 18.18  relocation or redistribution does not involve the construction 
 18.19  of a new hospital building; 
 18.20     (9) a construction project involving up to 35 new beds in a 
 18.21  psychiatric hospital in Rice county that primarily serves 
 18.22  adolescents and that receives more than 70 percent of its 
 18.23  patients from outside the state of Minnesota; 
 18.24     (10) a project to replace a hospital or hospitals with a 
 18.25  combined licensed capacity of 130 beds or less if:  (i) the new 
 18.26  hospital site is located within five miles of the current site; 
 18.27  and (ii) the total licensed capacity of the replacement 
 18.28  hospital, either at the time of construction of the initial 
 18.29  building or as the result of future expansion, will not exceed 
 18.30  70 licensed hospital beds, or the combined licensed capacity of 
 18.31  the hospitals, whichever is less; 
 18.32     (11) the relocation of licensed hospital beds from an 
 18.33  existing state facility operated by the commissioner of human 
 18.34  services to a new or existing facility, building, or complex 
 18.35  operated by the commissioner of human services; from one 
 18.36  regional treatment center site to another; or from one building 
 19.1   or site to a new or existing building or site on the same 
 19.2   campus; or 
 19.3      (12) the construction or relocation of hospital beds 
 19.4   operated by a hospital having a statutory obligation to provide 
 19.5   hospital and medical services for the indigent that does not 
 19.6   result in a net increase in the number of hospital beds; or 
 19.7      (13) a construction project involving the addition of up to 
 19.8   31 new beds in an existing nonfederal hospital in Beltrami 
 19.9   county. 
 19.10     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
 19.11  144A.04, subdivision 5, is amended to read: 
 19.12     Subd. 5.  [ADMINISTRATORS.] Except as otherwise provided by 
 19.13  this subdivision, a nursing home must have a full time licensed 
 19.14  nursing home administrator serving the facility.  
 19.15  Notwithstanding sections 144A.18 to 144A.27, in any nursing home 
 19.16  of less than 32 37 beds, the director of nursing services may 
 19.17  also serve as the licensed nursing home administrator without 
 19.18  being licensed as a nursing home administrator, provided the 
 19.19  director of nursing services has passed the state law and rules 
 19.20  examination administered by the board of examiners for nursing 
 19.21  home administrators and maintains evidence of completion of 20 
 19.22  hours of continuing education each year on topics pertinent to 
 19.23  nursing home administration.  Two nursing homes under common 
 19.24  ownership or management pursuant to a lease or management 
 19.25  contract having a total of 150 beds or less and located within 
 19.26  75 miles of each other may share the services of a licensed 
 19.27  administrator if the administrator divides the full-time work 
 19.28  week between the two facilities in proportion to the number of 
 19.29  beds in each facility.  Every nursing home shall have a 
 19.30  person-in-charge on the premises at all times in the absence of 
 19.31  the licensed administrator.  The name of the person in charge 
 19.32  must be posted in a conspicuous place in the facility.  The 
 19.33  commissioner of health shall by rule promulgate minimum 
 19.34  education and experience requirements for persons-in-charge, and 
 19.35  may promulgate rules specifying the times of day during which a 
 19.36  licensed administrator must be on the nursing home's premises.  
 20.1   In the absence of rules adopted by the commissioner governing 
 20.2   the division of an administrator's time between two nursing 
 20.3   homes, the administrator shall designate and post the times the 
 20.4   administrator will be on site in each home on a regular basis.  
 20.5   A nursing home may employ as its administrator the administrator 
 20.6   of a hospital licensed pursuant to sections 144.50 to 144.56 if 
 20.7   the individual is licensed as a nursing home administrator 
 20.8   pursuant to section 144A.20 and the nursing home and hospital 
 20.9   have a combined total of 150 beds or less and are located within 
 20.10  one mile of each other.  A nonproprietary retirement home having 
 20.11  fewer than 15 licensed nursing home beds may share the services 
 20.12  of a licensed administrator with a nonproprietary nursing home, 
 20.13  having fewer than 150 licensed nursing home beds, that is 
 20.14  located within 25 miles of the retirement home.  A nursing home 
 20.15  which is located in a facility licensed as a hospital pursuant 
 20.16  to sections 144.50 to 144.56, may employ as its administrator 
 20.17  the administrator of the hospital if the individual meets 
 20.18  minimum education and long term care experience criteria set by 
 20.19  rule of the commissioner of health. 
 20.20     Sec. 6.  Minnesota Statutes 1998, section 144A.071, is 
 20.21  amended by adding a subdivision to read: 
 20.22     Subd. 4b.  [LICENSED BEDS ON LAYAWAY STATUS.] A licensed 
 20.23  and certified nursing facility may lay away, upon prior written 
 20.24  notice to the commissioners of health and human services, 
 20.25  licensed and certified beds.  Notice to the commissioners shall 
 20.26  be given 60 days prior to the effective date of the layaway.  
 20.27  Beds on layaway shall have the same status as voluntarily 
 20.28  delicensed and decertified beds and shall not be subject to 
 20.29  license fees and license surcharge fees.  In addition, beds on 
 20.30  layaway status may be relicensed and recertified at any time on 
 20.31  or after one year after the effective date of layaway in the 
 20.32  facility of origin, with a 60-day notice to the commissioner of 
 20.33  health.  A nursing facility that relicenses and recertifies beds 
 20.34  placed on layaway may not place beds on layaway status for one 
 20.35  year after the effective date of the relicensure and 
 20.36  recertification.  Beds may remain on layaway status for up to 
 21.1   five years. 
 21.2      Sec. 7.  [145.4241] [DEFINITIONS.] 
 21.3      Subdivision 1.  [APPLICABILITY.] As used in sections 
 21.4   145.4241 to 145.4246, the following terms have the meaning given 
 21.5   them. 
 21.6      Subd. 2.  [ABORTION.] "Abortion" means the use or 
 21.7   prescription of any instrument, medicine, drug, or any other 
 21.8   substance or device to intentionally terminate the pregnancy of 
 21.9   a female known to be pregnant, with an intention other than to 
 21.10  increase the probability of a live birth, to preserve the life 
 21.11  or health of the child after live birth, or to remove a dead 
 21.12  fetus.  
 21.13     Subd. 3.  [ATTEMPT TO PERFORM AN ABORTION.] "Attempt to 
 21.14  perform an abortion" means an act, or an omission of a 
 21.15  statutorily required act, that, under the circumstances as the 
 21.16  actor believes them to be, constitutes a substantial step in a 
 21.17  course of conduct planned to culminate in the performance of an 
 21.18  abortion in Minnesota in violation of sections 145.4241 to 
 21.19  145.4246. 
 21.20     Subd. 4.  [MEDICAL EMERGENCY.] "Medical emergency" means 
 21.21  any condition that, on the basis of the physician's good faith 
 21.22  clinical judgment, complicates the medical condition of a 
 21.23  pregnant female to the extent that: 
 21.24     (1) an immediate abortion of her pregnancy is necessary to 
 21.25  avert her death; or 
 21.26     (2) a 24-hour delay in performing an abortion creates a 
 21.27  serious risk of substantial and irreversible impairment of a 
 21.28  major bodily function.  
 21.29     Subd. 5.  [PHYSICIAN.] "Physician" means a person licensed 
 21.30  under chapter 147. 
 21.31     Subd. 6.  [PROBABLE GESTATIONAL AGE OF THE UNBORN 
 21.32  CHILD.] "Probable gestational age of the unborn child" means 
 21.33  what will, in the judgment of the physician, with reasonable 
 21.34  probability, be the gestational age of the unborn child at the 
 21.35  time the abortion is planned to be performed. 
 21.36     Sec. 8.  [145.4242] [INFORMED CONSENT.] 
 22.1      No abortion shall be performed in this state except with 
 22.2   the voluntary and informed consent of the female upon whom the 
 22.3   abortion is to be performed.  Except in the case of a medical 
 22.4   emergency, consent to an abortion is voluntary and informed only 
 22.5   if: 
 22.6      (1) the female is told the following, by telephone or in 
 22.7   person, by the physician who is to perform the abortion or by a 
 22.8   referring physician, at least 24 hours before the abortion: 
 22.9      (i) the name of the physician who will perform the 
 22.10  abortion; 
 22.11     (ii) the particular medical risks associated with the 
 22.12  particular abortion procedure to be employed including, when 
 22.13  medically accurate, the risks of infection, hemorrhage, breast 
 22.14  cancer, danger to subsequent pregnancies, and infertility; 
 22.15     (iii) the probable gestational age of the unborn child at 
 22.16  the time the abortion is to be performed; and 
 22.17     (iv) the medical risks associated with carrying her child 
 22.18  to term. 
 22.19     The information required by this clause may be provided by 
 22.20  telephone without conducting a physical examination or tests of 
 22.21  the patient, in which case the information required to be 
 22.22  provided may be based on facts supplied the physician by the 
 22.23  female and whatever other relevant information is reasonably 
 22.24  available to the physician.  It may not be provided by a tape 
 22.25  recording, but must be provided during a consultation in which 
 22.26  the physician is able to ask questions of the female and the 
 22.27  female is able to ask questions of the physician.  If a physical 
 22.28  examination, tests, or the availability of other information to 
 22.29  the physician subsequently indicate, in the medical judgment of 
 22.30  the physician, a revision of the information previously supplied 
 22.31  to the patient, that revised information may be communicated to 
 22.32  the patient at any time prior to the performance of the 
 22.33  abortion.  Nothing in this section may be construed to preclude 
 22.34  provision of required information in a language understood by 
 22.35  the patient through a translator; 
 22.36     (2) the female is informed, by telephone or in person, by 
 23.1   the physician who is to perform the abortion, by a referring 
 23.2   physician, or by an agent of either physician at least 24 hours 
 23.3   before the abortion: 
 23.4      (i) that medical assistance benefits may be available for 
 23.5   prenatal care, childbirth, and neonatal care; 
 23.6      (ii) that the father is liable to assist in the support of 
 23.7   her child, even in instances when the father has offered to pay 
 23.8   for the abortion; and 
 23.9      (iii) that she has the right to review the printed 
 23.10  materials described in section 145.4243.  The physician or the 
 23.11  physician's agent shall orally inform the female that the 
 23.12  materials have been provided by the state of Minnesota and that 
 23.13  they describe the unborn child and list agencies that offer 
 23.14  alternatives to abortion.  If the female chooses to view the 
 23.15  materials, they shall either be given to her at least 24 hours 
 23.16  before the abortion or mailed to her at least 72 hours before 
 23.17  the abortion by certified mail, restricted delivery to 
 23.18  addressee, which means the postal employee can only deliver the 
 23.19  mail to the addressee.  
 23.20     The information required by this clause may be provided by 
 23.21  a tape recording if provision is made to record or otherwise 
 23.22  register specifically whether the female does or does not choose 
 23.23  to review the printed materials; 
 23.24     (3) the female certifies in writing, prior to the abortion, 
 23.25  that the information described in this section has been 
 23.26  furnished her, and that she has been informed of her opportunity 
 23.27  to review the information referred to in clause (2); and 
 23.28     (4) prior to the performance of the abortion, the physician 
 23.29  who is to perform the abortion or the physician's agent receives 
 23.30  a copy of the written certification prescribed by clause (3). 
 23.31     Sec. 9.  [145.4243] [PRINTED INFORMATION.] 
 23.32     (a) Within 90 days after the effective date of sections 
 23.33  145.4241 to 145.4246, the department of health shall cause to be 
 23.34  published, in English and in each language that is the primary 
 23.35  language of two percent or more of the state's population, the 
 23.36  following printed materials in such a way as to ensure that the 
 24.1   information is easily comprehensible: 
 24.2      (1) geographically indexed materials designed to inform the 
 24.3   female of public and private agencies and services available to 
 24.4   assist a female through pregnancy, upon childbirth, and while 
 24.5   the child is dependent, including adoption agencies, which shall 
 24.6   include a comprehensive list of the agencies available, a 
 24.7   description of the services they offer, and a description of the 
 24.8   manner, including telephone numbers, in which they might be 
 24.9   contacted or, at the option of the department of health, printed 
 24.10  materials including a toll-free, 24-hours-a-day telephone number 
 24.11  that may be called to obtain, orally, such a list and 
 24.12  description of agencies in the locality of the caller and of the 
 24.13  services they offer; and 
 24.14     (2) materials designed to inform the female of the probable 
 24.15  anatomical and physiological characteristics of the unborn child 
 24.16  at two-week gestational increments from the time when a female 
 24.17  can be known to be pregnant to full term, including any relevant 
 24.18  information on the possibility of the unborn child's survival 
 24.19  and pictures or drawings representing the development of unborn 
 24.20  children at two-week gestational increments, provided that any 
 24.21  such pictures or drawings must contain the dimensions of the 
 24.22  fetus and must be realistic and appropriate for the stage of 
 24.23  pregnancy depicted.  The materials shall be objective, 
 24.24  nonjudgmental, and designed to convey only accurate scientific 
 24.25  information about the unborn child at the various gestational 
 24.26  ages.  The material shall also contain objective information 
 24.27  describing the methods of abortion procedures commonly employed, 
 24.28  the medical risks commonly associated with each procedure, the 
 24.29  possible detrimental psychological effects of abortion, the 
 24.30  medical risks commonly associated with each procedure, and the 
 24.31  medical risks commonly associated with carrying a child to term. 
 24.32     (b) The materials referred to in this section must be 
 24.33  printed in a typeface large enough to be clearly legible.  The 
 24.34  materials required under this section must be available at no 
 24.35  cost from the department of health upon request and in 
 24.36  appropriate number to any person, facility, or hospital.  
 25.1      Sec. 10.  [145.4244] [PROCEDURE IN CASE OF MEDICAL 
 25.2   EMERGENCY.] 
 25.3      When a medical emergency compels the performance of an 
 25.4   abortion, the physician shall inform the female, prior to the 
 25.5   abortion if possible, of the medical indications supporting the 
 25.6   physician's judgment that an abortion is necessary to avert her 
 25.7   death or that a 24-hour delay in conformance with section 
 25.8   145.4242 creates a serious risk of substantial and irreversible 
 25.9   impairment of a major bodily function. 
 25.10     Sec. 11.  [145.4245] [REMEDIES.] 
 25.11     Subdivision 1.  [CIVIL REMEDIES.] Any person upon whom an 
 25.12  abortion has been performed or the parent of a minor upon whom 
 25.13  an abortion has been performed may maintain an action against 
 25.14  the person who performed the abortion in knowing or reckless 
 25.15  violation of sections 145.4241 to 145.4246 for actual and 
 25.16  punitive damages.  Any person upon whom an abortion has been 
 25.17  attempted without complying with sections 145.4241 to 145.4246 
 25.18  may maintain an action against the person who attempted to 
 25.19  perform the abortion in knowing or reckless violation of 
 25.20  sections 145.4241 to 145.4246 for actual and punitive damages. 
 25.21     Subd. 2.  [ATTORNEY FEES.] If judgment is rendered in favor 
 25.22  of the plaintiff in any action described in this section, the 
 25.23  court shall also render judgment for a reasonable attorney's fee 
 25.24  in favor of the plaintiff against the defendant.  If judgment is 
 25.25  rendered in favor of the defendant and the court finds that the 
 25.26  plaintiff's suit was frivolous and brought in bad faith, the 
 25.27  court shall also render judgment for a reasonable attorney's fee 
 25.28  in favor of the defendant against the plaintiff. 
 25.29     Subd. 3.  [PROTECTION OF PRIVACY IN COURT PROCEEDINGS.] In 
 25.30  every civil action brought under sections 145.4241 to 145.4246, 
 25.31  the court shall rule whether the anonymity of any female upon 
 25.32  whom an abortion has been performed or attempted shall be 
 25.33  preserved from public disclosure if she does not give her 
 25.34  consent to such disclosure.  The court, upon motion or sua 
 25.35  sponte, shall make such a ruling and, upon determining that her 
 25.36  anonymity should be preserved, shall issue orders to the 
 26.1   parties, witnesses, and counsel and shall direct the sealing of 
 26.2   the record and exclusion of individuals from courtrooms or 
 26.3   hearing rooms to the extent necessary to safeguard her identity 
 26.4   from public disclosure.  Each order must be accompanied by 
 26.5   specific written findings explaining why the anonymity of the 
 26.6   female should be preserved from public disclosure, why the order 
 26.7   is essential to that end, how the order is narrowly tailored to 
 26.8   serve that interest, and why no reasonable, less restrictive 
 26.9   alternative exists.  In the absence of written consent of the 
 26.10  female upon whom an abortion has been performed or attempted, 
 26.11  anyone, other than a public official, who brings an action under 
 26.12  subdivision 1, shall do so under a pseudonym.  This section may 
 26.13  not be construed to conceal the identity of the plaintiff or of 
 26.14  witnesses from the defendant. 
 26.15     Sec. 12.  [145.4246] [SEVERABILITY.] 
 26.16     If any one or more provision, section, subsection, 
 26.17  sentence, clause, phrase, or word of sections 145.4241 to 
 26.18  145.4246 or the application thereof to any person or 
 26.19  circumstance is found to be unconstitutional, the same is hereby 
 26.20  declared to be severable and the balance of sections 145.4241 to 
 26.21  145.4246 shall remain effective notwithstanding such 
 26.22  unconstitutionality.  The legislature hereby declares that it 
 26.23  would have passed sections 145.4241 to 145.4246, and each 
 26.24  provision, section, subsection, sentence, clause, phrase, or 
 26.25  word thereof, irrespective of the fact that any one or more 
 26.26  provision, section, subsection, sentence, clause, phrase, or 
 26.27  word be declared unconstitutional. 
 26.28     Sec. 13.  [252.461] [ALTERNATIVE RATE-SETTING 
 26.29  METHODOLOGIES.] 
 26.30     (a) The commissioner may approve alternative rate-setting 
 26.31  methodologies for identified day training and habilitation 
 26.32  vendors recommended by the day training and habilitation task 
 26.33  force established under Laws 1999, chapter 152, that are 
 26.34  supported by all members of the task force.  Any alternative 
 26.35  rate-setting methodology approved under this section must sunset 
 26.36  upon implementation of the new statewide payments rate structure 
 27.1   recommended by the task force in its report to the legislature 
 27.2   on January 15, 2001. 
 27.3      (b) The commissioner may grant a variance to any of the 
 27.4   provisions in sections 252.451, subdivision 5; 252.46, except 
 27.5   subdivision 16; and Minnesota Rules, part 9525.1290, subpart 1, 
 27.6   items A and B, necessary to implement the alternative 
 27.7   rate-setting methodologies approved by the task force under 
 27.8   paragraph (a). 
 27.9      <b>EFFECTIVE DATE:</b>  This section is effective the day 
 27.10  following final enactment. 
 27.11     Sec. 14.  Minnesota Statutes 1998, section 254B.03, 
 27.12  subdivision 1, is amended to read: 
 27.13     Subdivision 1.  [LOCAL AGENCY DUTIES.] (a) Every local 
 27.14  agency shall provide chemical dependency services to persons 
 27.15  residing within its jurisdiction who meet criteria established 
 27.16  by the commissioner for placement in a chemical dependency 
 27.17  residential or nonresidential treatment service.  Chemical 
 27.18  dependency money must be administered by the local agencies 
 27.19  according to law and rules adopted by the commissioner under 
 27.20  sections 14.001 to 14.69. 
 27.21     (b) In order to contain costs, the county board shall, with 
 27.22  the approval of the commissioner of human services, select 
 27.23  eligible vendors of chemical dependency services who can provide 
 27.24  economical and appropriate treatment.  Unless the local agency 
 27.25  is a social services department directly administered by a 
 27.26  county or human services board, the local agency shall not be an 
 27.27  eligible vendor under section 254B.05.  The commissioner may 
 27.28  approve proposals from county boards to provide services in an 
 27.29  economical manner or to control utilization, with safeguards to 
 27.30  ensure that necessary services are provided.  If a county 
 27.31  implements a demonstration or experimental medical services 
 27.32  funding plan, the commissioner shall transfer the money as 
 27.33  appropriate.  If a county selects a vendor located in another 
 27.34  state, the county shall ensure that the vendor is in compliance 
 27.35  with the rules governing licensure of programs located in the 
 27.36  state. 
 28.1      (c) The calendar year 1998 rate for vendors may not 
 28.2   increase more than three percent above the rate approved in 
 28.3   effect on January 1, 1997.  The calendar year 1999 rate for 
 28.4   vendors may not increase more than three percent above the rate 
 28.5   in effect on January 1, 1998. 
 28.6      (d) A culturally specific vendor that provides assessments 
 28.7   under a variance under Minnesota Rules, part 9530.6610, shall be 
 28.8   allowed to provide assessment services to persons not covered by 
 28.9   the variance. 
 28.10     (e) The rates for vendors of inpatient treatment services 
 28.11  for calendar year 2001 may not increase more than one percent 
 28.12  above the rate in effect on January 1, 2000. 
 28.13     (f) The calendar year 2001 rate for vendors of outpatient 
 28.14  treatment services may not increase more than three percent 
 28.15  above the rate in effect on January 1, 2000. 
 28.16     Sec. 15.  Minnesota Statutes 1998, section 256.955, 
 28.17  subdivision 1, is amended to read: 
 28.18     Subdivision 1.  [ESTABLISHMENT.] The commissioner of human 
 28.19  services shall establish and administer a senior citizen 
 28.20  prescription drug program.  Qualified senior citizens 
 28.21  individuals shall be eligible for prescription drug coverage 
 28.22  under the program beginning no later than January 1, 1999. 
 28.23     Sec. 16.  Minnesota Statutes 1998, section 256.955, 
 28.24  subdivision 2, is amended to read: 
 28.25     Subd. 2.  [DEFINITIONS.] (a) For purposes of this section, 
 28.26  the following definitions apply. 
 28.27     (b) "Health plan" has the meaning provided in section 
 28.28  62Q.01, subdivision 3. 
 28.29     (c) "Health plan company" has the meaning provided in 
 28.30  section 62Q.01, subdivision 4. 
 28.31     (d) "Qualified senior citizen individual" means a Medicare 
 28.32  enrollee, or an individual age 65 or older who is not a Medicare 
 28.33  enrollee, who: 
 28.34     (1) is eligible as a qualified Medicare beneficiary 
 28.35  according to section 256B.057, subdivision 3 or 3a, or is 
 28.36  eligible under section 256B.057, subdivision 3 or 3a, and is 
 29.1   also eligible for medical assistance or general assistance 
 29.2   medical care with a spenddown as defined in section 256B.056, 
 29.3   subdivision 5.  Persons who are determined eligible for medical 
 29.4   assistance according to section 256B.0575, who are eligible for 
 29.5   medical assistance or general assistance medical care without a 
 29.6   spenddown, or who are enrolled in MinnesotaCare, are not 
 29.7   eligible for this program has a household income that does not 
 29.8   exceed 120 percent of the federal poverty guidelines for family 
 29.9   size, using the income methodologies specified for aged, blind, 
 29.10  or disabled persons in section 256B.056, subdivision 1a; 
 29.11     (2) has assets that do not exceed $8,000 for a single 
 29.12  individual and $12,000 for a married couple or family of two or 
 29.13  more, as determined using the methodologies specified for aged, 
 29.14  blind, or disabled persons in section 256B.056, subdivision 1a; 
 29.15     (2) (3) is not enrolled in prescription drug coverage under 
 29.16  a health plan; 
 29.17     (3) (4) is not enrolled in prescription drug coverage under 
 29.18  a Medicare supplement plan, as defined in sections 62A.31 to 
 29.19  62A.44, or policies, contracts, or certificates that supplement 
 29.20  Medicare issued by health maintenance organizations or those 
 29.21  policies, contracts, or certificates governed by section 1833 or 
 29.22  1876 of the federal Social Security Act, United States Code, 
 29.23  title 42, section 1395, et seq., as amended; 
 29.24     (4) (5) has not had coverage described in clauses (2) and 
 29.25  (3) for at least four months prior to application for the 
 29.26  program; and 
 29.27     (5) (6) is a permanent resident of Minnesota as defined in 
 29.28  section 256L.09; and 
 29.29     (7) is not eligible for MinnesotaCare, for medical 
 29.30  assistance according to section 256B.0575, or for medical 
 29.31  assistance or general assistance medical care without a 
 29.32  spenddown. 
 29.33     Sec. 17.  Minnesota Statutes 1999 Supplement, section 
 29.34  256.955, subdivision 4, is amended to read: 
 29.35     Subd. 4.  [APPLICATION PROCEDURES AND COORDINATION WITH 
 29.36  MEDICAL ASSISTANCE.] Applications and information on the program 
 30.1   must be made available at county social service agencies, health 
 30.2   care provider offices, and agencies and organizations serving 
 30.3   senior citizens and persons with disabilities.  Senior citizens 
 30.4   Individuals shall submit applications and any information 
 30.5   specified by the commissioner as being necessary to verify 
 30.6   eligibility directly to the county social service agencies:  
 30.7      (1) beginning January 1, 1999, the county social service 
 30.8   agency shall determine medical assistance spenddown eligibility 
 30.9   of individuals who qualify for the senior citizen prescription 
 30.10  drug program of individuals; and 
 30.11     (2) program payments will be used to reduce the spenddown 
 30.12  obligations of individuals who are determined to be eligible for 
 30.13  medical assistance with a spenddown as defined in section 
 30.14  256B.056, subdivision 5. 
 30.15  Seniors Qualified individuals who are eligible for medical 
 30.16  assistance with a spenddown shall be financially responsible for 
 30.17  the deductible amount up to the satisfaction of the spenddown.  
 30.18  No deductible applies once the spenddown has been met.  Payments 
 30.19  to providers for prescription drugs for persons eligible under 
 30.20  this subdivision shall be reduced by the deductible.  
 30.21     County social service agencies shall determine an 
 30.22  applicant's eligibility for the program within 30 days from the 
 30.23  date the application is received.  Eligibility begins the month 
 30.24  after approval. 
 30.25     Sec. 18.  Minnesota Statutes 1999 Supplement, section 
 30.26  256.955, subdivision 8, is amended to read: 
 30.27     Subd. 8.  [REPORT.] The commissioner shall annually report 
 30.28  to the legislature on the senior citizen prescription drug 
 30.29  program.  The report must include demographic information on 
 30.30  enrollees, per-prescription expenditures, total program 
 30.31  expenditures, hospital and nursing home costs avoided by 
 30.32  enrollees, any savings to medical assistance and Medicare 
 30.33  resulting from the provision of prescription drug coverage under 
 30.34  Medicare by health maintenance organizations, other public and 
 30.35  private options for drug assistance to the senior covered 
 30.36  population, any hardships caused by the annual deductible, and 
 31.1   any recommendations for changes in the senior prescription drug 
 31.2   program. 
 31.3      Sec. 19.  Minnesota Statutes 1999 Supplement, section 
 31.4   256.955, subdivision 9, is amended to read: 
 31.5      Subd. 9.  [PROGRAM LIMITATION.] The commissioner shall 
 31.6   administer the senior prescription drug program so that the 
 31.7   costs total no more than funds appropriated plus the drug rebate 
 31.8   proceeds.  Senior Prescription drug program rebate revenues are 
 31.9   appropriated to the commissioner and shall be expended to 
 31.10  augment funding of the senior prescription drug program.  New 
 31.11  enrollment shall cease if the commissioner determines that, 
 31.12  given current enrollment, costs of the program will exceed 
 31.13  appropriated funds and rebate proceeds.  This section shall be 
 31.14  repealed upon federal approval of the waiver to allow the 
 31.15  commissioner to provide prescription drug coverage for qualified 
 31.16  Medicare beneficiaries whose income is less than 150 percent of 
 31.17  the federal poverty guidelines. 
 31.18     Sec. 20.  Minnesota Statutes 1998, section 256B.431, is 
 31.19  amended by adding a subdivision to read: 
 31.20     Subd. 29.  [NURSING FACILITY RATE FLOOR.] (a) For the rate 
 31.21  year beginning July 1, 2000, the commissioner shall adjust 
 31.22  operating costs per diem for nursing facilities reimbursed under 
 31.23  this section and section 256B.434 as provided in this 
 31.24  subdivision. 
 31.25     (b) For each nursing facility, the commissioner, after 
 31.26  applying the adjustment in subdivision 28, shall compare the 
 31.27  operating costs per diem listed in this paragraph to the 
 31.28  operating costs per diem the facility would otherwise receive 
 31.29  for the July 1, 2000, rate year. 
 31.30       Case mix classification     Operating costs per diem
 31.31                 A                         $ 62.10
 31.32                 B                         $ 68.56
 31.33                 C                         $ 75.88
 31.34                 D                         $ 82.55
 31.35                 E                         $ 89.44
 31.36                 F                         $ 89.87
 32.1                  G                         $ 95.69
 32.2                  H                         $106.67
 32.3                  I                         $110.54
 32.4                  J                         $116.57
 32.5                  K                         $129.28
 32.6      (c) If a facility's total reimbursement for operating 
 32.7   costs, using the case mix classification operating costs per 
 32.8   diem listed in paragraph (b), is greater than the total 
 32.9   reimbursement for operating costs the facility would otherwise 
 32.10  receive, the commissioner shall calculate operating costs per 
 32.11  diem for that facility for the rate year beginning July 1, 2000, 
 32.12  using the case mix classification operating costs per diem 
 32.13  listed in paragraph (b). 
 32.14     (d) If a facility's total reimbursement for operating 
 32.15  costs, using the case mix classification costs per diem listed 
 32.16  in paragraph (b), is less than the total reimbursement for 
 32.17  operating costs the facility would otherwise receive, the 
 32.18  commissioner shall reimburse that facility for the rate year 
 32.19  beginning July 1, 2000, as provided in this section or section 
 32.20  256B.434, whichever is applicable, and shall not calculate 
 32.21  operating costs per diem for that facility using the case mix 
 32.22  classification operating costs per diem listed in paragraph (b). 
 32.23     Sec. 21.  Minnesota Statutes 1998, section 256B.431, is 
 32.24  amended by adding a subdivision to read: 
 32.25     Subd. 30.  [BED LAYAWAY AND DELICENSURE.] (a) For rate 
 32.26  years beginning on or after July 1, 2000, a nursing facility 
 32.27  reimbursed under this section which has placed beds on layaway 
 32.28  status shall, for purposes of application of the downsizing 
 32.29  incentive in subdivision 3a, paragraph (d) and calculation of 
 32.30  the rental per diem, have those beds given the same effect as if 
 32.31  the beds had been delicensed so long as the beds remain on 
 32.32  layaway status.  At the time of a layaway, a facility may change 
 32.33  its single bed election for use in calculating capacity days 
 32.34  under Minnesota Rules, part 9549.0060, subpart 11.  The property 
 32.35  payment rate increase shall be effective the first day of the 
 32.36  month following the month in which the layaway of the beds 
 33.1   becomes effective under section 144A.171, subdivision 4b. 
 33.2      (b) For rate years beginning on or after July 1, 2000, 
 33.3   notwithstanding any provision to the contrary under section 
 33.4   256B.434, a nursing facility reimbursed under that section which 
 33.5   has placed beds on layaway status shall, for so long as the beds 
 33.6   remain on layaway status, be allowed to: 
 33.7      (1) aggregate the applicable investment per bed limits 
 33.8   based on the number of beds licensed immediately prior to 
 33.9   entering the alternative payment system; 
 33.10     (2) retain or change the facility's single bed election for 
 33.11  use in calculating capacity days under Minnesota rules, part 
 33.12  9549.0060, subpart 11; and 
 33.13     (3) establish capacity days for each rate year following 
 33.14  the layaway based on the number of beds licensed less the number 
 33.15  of beds on layaway status. 
 33.16  The commissioner shall increase the facility's property payment 
 33.17  rate by the incremental increase in the rental per diem 
 33.18  resulting from the recalculation of the facility's rental per 
 33.19  diem applying only the changes resulting from the layaway of 
 33.20  beds and clauses (1), (2), and (3).  The property payment rate 
 33.21  increase shall be effective the first day of the month following 
 33.22  the month in which the layaway of the beds becomes effective. 
 33.23     (c) If a nursing facility removes a bed from layaway status 
 33.24  in accordance with section 144A.071, subdivision 4b, the 
 33.25  commissioner shall establish capacity days based on the number 
 33.26  of licensed and certified beds in the facility not on layaway 
 33.27  and shall reduce the nursing facility's property payment rate in 
 33.28  accordance with paragraph (b). 
 33.29     (d) For the rate years beginning on or after July 1, 2000, 
 33.30  notwithstanding any provision to the contrary under section 
 33.31  256B.434, a nursing facility reimbursed under that section, 
 33.32  which has delicensed beds after July 1, 2000 by giving notice of 
 33.33  the delicensure to the commissioners of health and human 
 33.34  services according to the notice requirements in section 
 33.35  144A.071, subdivision 4b, shall be allowed to: 
 33.36     (1) aggregate the applicable investment per bed limits 
 34.1   based on the number of beds licensed immediately prior to 
 34.2   entering the alternative payment system; 
 34.3      (2) establish the facility's single bed election for use in 
 34.4   calculating capacity days under Minnesota Rules, part 9549.0060, 
 34.5   subpart 11; and 
 34.6      (3) establish capacity days for each rate year following 
 34.7   the delicensure based on the number of beds licensed after the 
 34.8   reduction. 
 34.9   The commissioner shall increase the facility's property payment 
 34.10  rate by the incremental increase in the rental per diem 
 34.11  resulting from the recalculation of the facility's rental per 
 34.12  diem applying only the changes resulting from the delicensure of 
 34.13  beds and clauses (1), (2), and (3).  The property payment rate 
 34.14  increase shall be effective the first day of the month following 
 34.15  the month in which the delicensure of the beds becomes effective.
 34.16     (e) For nursing facilities reimbursed under this section 
 34.17  and section 256B.434, any beds placed in layaway status shall 
 34.18  not be included in calculating facility occupancy as it pertains 
 34.19  to leave days defined in Minnesota Rules, part 9505.0415. 
 34.20     (f) For nursing facilities reimbursed under this section 
 34.21  and section 256B.434, the rental rate calculated after placing 
 34.22  beds on layaway status may not be less than the rental rate 
 34.23  prior to placing beds on layaway status. 
 34.24     (g) A nursing facility receiving a rate adjustment as a 
 34.25  result of this section shall comply with section 256B.47, 
 34.26  subdivision 2. 
 34.27     Sec. 22.  Minnesota Statutes 1998, section 256B.69, 
 34.28  subdivision 5d, is amended to read: 
 34.29     Subd. 5d.  [MODIFICATION OF PAYMENT DATES EFFECTIVE JANUARY 
 34.30  1, 2001.] Effective for services rendered on or after January 1, 
 34.31  2001, capitation payments under this section and under section 
 34.32  256D.03 for services provided in the month of June shall be made 
 34.33  no earlier than the first day after the month of service. 
 34.34     Sec. 23.  Minnesota Statutes 1998, section 256L.05, 
 34.35  subdivision 5, is amended to read: 
 34.36     Subd. 5.  [AVAILABILITY OF PRIVATE INSURANCE.] The 
 35.1   commissioner, in consultation with the commissioners of health 
 35.2   and commerce, shall provide information regarding the 
 35.3   availability of private health insurance coverage and the 
 35.4   possibility of disenrollment under section 256L.07, subdivision 
 35.5   1, paragraphs (b) and (c), to all:  (1) families and individuals 
 35.6   enrolled in the MinnesotaCare program whose gross family income 
 35.7   is equal to or more than 200 225 percent of the federal poverty 
 35.8   guidelines; and (2) single adults and households without 
 35.9   children enrolled in the MinnesotaCare program whose gross 
 35.10  family income is equal to or more than 165 percent of the 
 35.11  federal poverty guidelines.  This information must be provided 
 35.12  upon initial enrollment and annually thereafter.  The 
 35.13  commissioner shall also include information regarding the 
 35.14  availability of private health insurance coverage in the notice 
 35.15  of ineligibility provided to persons subject to disenrollment 
 35.16  under section 256L.07, subdivision 1, paragraphs (b) and (c). 
 35.17     Sec. 24.  Minnesota Statutes 1999 Supplement, section 
 35.18  256L.07, subdivision 1, is amended to read: 
 35.19     Subdivision 1.  [GENERAL REQUIREMENTS.] (a) Children 
 35.20  enrolled in the original children's health plan as of September 
 35.21  30, 1992, children who enrolled in the MinnesotaCare program 
 35.22  after September 30, 1992, pursuant to Laws 1992, chapter 549, 
 35.23  article 4, section 17, and children who have family gross 
 35.24  incomes that are equal to or less than 150 percent of the 
 35.25  federal poverty guidelines are eligible without meeting the 
 35.26  requirements of subdivision 2, as long as they maintain 
 35.27  continuous coverage in the MinnesotaCare program or medical 
 35.28  assistance.  Children who apply for MinnesotaCare on or after 
 35.29  the implementation date of the employer-subsidized health 
 35.30  coverage program as described in Laws 1998, chapter 407, article 
 35.31  5, section 45, who have family gross incomes that are equal to 
 35.32  or less than 150 percent of the federal poverty guidelines, must 
 35.33  meet the requirements of subdivision 2 to be eligible for 
 35.34  MinnesotaCare. 
 35.35     (b) Families enrolled in MinnesotaCare under section 
 35.36  256L.04, subdivision 1, whose income increases above 275 percent 
 36.1   of the federal poverty guidelines, are no longer eligible for 
 36.2   the program and shall be disenrolled by the commissioner.  
 36.3   Individuals enrolled in MinnesotaCare under section 256L.04, 
 36.4   subdivision 7, whose income increases above 175 percent of the 
 36.5   federal poverty guidelines are no longer eligible for the 
 36.6   program and shall be disenrolled by the commissioner.  For 
 36.7   persons disenrolled under this subdivision, MinnesotaCare 
 36.8   coverage terminates the last day of the calendar month following 
 36.9   the month in which the commissioner determines that the income 
 36.10  of a family or individual exceeds program income limits.  
 36.11     (c) Notwithstanding paragraph (b), individuals and families 
 36.12  may remain enrolled in MinnesotaCare if ten percent of their 
 36.13  annual income is less than the annual premium for a policy with 
 36.14  a $500 deductible available through the Minnesota comprehensive 
 36.15  health association.  Individuals and families who are no longer 
 36.16  eligible for MinnesotaCare under this subdivision shall be given 
 36.17  an 18-month a 12-month notice period from the date that 
 36.18  ineligibility is determined before disenrollment. 
 36.19     Sec. 25.  Laws 1997, chapter 225, article 4, section 4, as 
 36.20  amended by Laws 1999, chapter 245, article 4, section 104, is 
 36.21  amended to read: 
 36.22     Sec. 4.  [SENIOR PRESCRIPTION DRUG PROGRAM.] 
 36.23     The commissioner shall report to the legislature the 
 36.24  estimated costs of the senior prescription drug program without 
 36.25  funding caps.  The report shall be included as part of the 
 36.26  November and February forecasts. 
 36.27     The commissioner of finance shall annually reimburse the 
 36.28  general fund with health care access funds for the estimated 
 36.29  increased costs in the QMB/SLMB program directly associated with 
 36.30  the senior prescription drug program.  This reimbursement shall 
 36.31  sunset June 30, 2001. 
 36.32     Sec. 26.  [AMENDMENT.] 
 36.33     By June 1, 2000, the commissioner of human services shall 
 36.34  seek an amendment to the state Medicaid plan to permit 
 36.35  implementation of section 13. 
 36.36     <b>EFFECTIVE DATE:</b>  This section is effective the day 
 37.1   following final enactment. 
 37.2      Sec. 27.  [INFORMATION ON PRESCRIPTION DRUG PATIENT 
 37.3   ASSISTANCE PROGRAMS.] 
 37.4      The commissioner of human services must work with the board 
 37.5   of medical practice and the Pharmaceutical Research and 
 37.6   Manufacturers of America (PhRMA) to develop a strategy to 
 37.7   provide information on prescription drug patient assistance 
 37.8   programs offered by member companies of PhRMA to all physicians 
 37.9   in the state.  Any strategy developed must provide physicians 
 37.10  with regular updates on prescription drug patient assistance 
 37.11  programs and be implemented without cost to physicians or the 
 37.12  state. 
 37.13     Sec. 28.  [TASK FORCE EXTENDED; REPORT.] 
 37.14     The day training and habilitation task force established 
 37.15  under Laws 1999, chapter 152, shall be extended to June 15, 
 37.16  2001.  The task force shall present a report recommending a new 
 37.17  payment rate schedule for day training and habilitation services 
 37.18  to the legislature by January 15, 2001. 
 37.19     <b>EFFECTIVE DATE:</b>  This section is effective the day 
 37.20  following final enactment. 
 37.21     Sec. 29.  [RESPITE CARE FOR FAMILY ADULT FOSTER CARE 
 37.22  PROVIDERS.] 
 37.23     The commissioner of human services, in consultation with 
 37.24  affected groups, including counties, family adult foster care 
 37.25  providers, guardians and family members, and advocacy agencies, 
 37.26  shall develop legislative proposals, including cost projections, 
 37.27  to provide 30 days of respite care per year for family adult 
 37.28  foster care providers.  The proposals must include funding 
 37.29  options that rely upon federal and state funding.  The 
 37.30  commissioner shall provide the legislative proposals and cost 
 37.31  projections to the chairs of the house health and human services 
 37.32  policy committee, the house health and human services finance 
 37.33  committee, the senate health and family security policy 
 37.34  committee, and the senate health and family security budget 
 37.35  division, by December 1, 2000. 
 37.36     Sec. 30.  [FUNDING FOR TYPE 1 DIABETES RESEARCH.] 
 38.1      Subdivision 1.  [GRANT AWARD.] The commissioner of health 
 38.2   shall distribute the funds available under Minnesota Statutes, 
 38.3   section 62J.694, subdivision 2, paragraphs (f) and (g), to the 
 38.4   board of regents of the University of Minnesota, to be provided 
 38.5   to the academic health center for research by the diabetes 
 38.6   institute for immunology and transplantation.  The institute 
 38.7   shall use the funds for research at the institute relating to 
 38.8   islet cell transplantation, islet cell distribution, and related 
 38.9   areas affecting persons with type 1 diabetes, including research 
 38.10  at the juvenile diabetes foundation center for islet 
 38.11  transplantation at the University of Minnesota and the juvenile 
 38.12  diabetes foundation human islet distribution program at the 
 38.13  University of Minnesota. 
 38.14     Subd. 2.  [REPORTING.] On December 1, 2001, December 1, 
 38.15  2002, and December 1, 2003, the institute shall report to the 
 38.16  commissioner and to the legislature on its use of funds received 
 38.17  under this section and progress made in research on islet cell 
 38.18  transplantation, islet cell distribution, and related areas.  In 
 38.19  reporting on its use of funds, the annual report must include, 
 38.20  but is not limited to, the amount of money the institute 
 38.21  received from the academic health center, the specific purposes 
 38.22  for which the funds were spent, and verification that the funds 
 38.23  were spent for allowable purposes according to this section.  In 
 38.24  reporting on progress made in research on transplantation, 
 38.25  distribution, and related areas, the annual report must include, 
 38.26  but is not limited to: 
 38.27     (1) data generated from the transplants on the benefits and 
 38.28  disadvantages of islet cell transplantation, including data on 
 38.29  the restoration and maintenance of tight blood sugar control and 
 38.30  insulin independence following transplantation; 
 38.31     (2) data on health care dollars per quality adjusted 
 38.32  life-year saved; and 
 38.33     (3) progress on achievement of health insurance coverage 
 38.34  for islet cell transplantation procedures. 
 38.35     Sec. 31.  [EMPLOYEE HEALTH INSURANCE.] 
 38.36     The commissioner of health shall examine issues related to 
 39.1   rising health insurance costs and shall develop recommendations 
 39.2   for providing affordable health insurance to employees of 
 39.3   programs and facilities that serve the elderly and disabled.  In 
 39.4   developing these recommendations, the commissioner shall consult 
 39.5   with representatives of affected consumers and providers.  The 
 39.6   commissioner shall provide recommendations by January 15, 2001, 
 39.7   to the chairs of the house health and human services policy and 
 39.8   finance committees and the senate health and family security 
 39.9   committee and health and family security budget division.  
 39.10     Sec. 32.  [INSTRUCTION TO REVISOR.] 
 39.11     The revisor of statutes shall change the phrase "senior 
 39.12  citizen drug program" wherever it appears in the next edition of 
 39.13  Minnesota Statutes and Minnesota Rules to "prescription drug 
 39.14  program." 
 39.15                             ARTICLE 3 
 39.16             COMPLEMENTARY AND ALTERNATIVE HEALTH CARE 
 39.17                       FREEDOM OF ACCESS ACT
 39.18     Section 1.  Minnesota Statutes 1999 Supplement, section 
 39.19  13.99, is amended by adding a subdivision to read: 
 39.20     Subd. 42c.  [UNLICENSED COMPLEMENTARY AND ALTERNATIVE 
 39.21  HEALTH CARE PRACTITIONERS AND CLIENTS.] Data obtained by the 
 39.22  commissioner of health on unlicensed complementary and 
 39.23  alternative health care practitioners and clients are classified 
 39.24  under sections 146A.06 and 146A.08. 
 39.25     Sec. 2.  [146A.01] [DEFINITIONS.] 
 39.26     Subdivision 1.  [TERMS.] As used in this chapter, the 
 39.27  following terms have the meanings given them. 
 39.28     Subd. 2.  [COMMISSIONER.] "Commissioner" means the 
 39.29  commissioner of health or the commissioner's designee. 
 39.30     Subd. 3.  [COMPLEMENTARY AND ALTERNATIVE HEALTH CARE 
 39.31  CLIENT.] "Complementary and alternative health care client" 
 39.32  means an individual who receives services from an unlicensed 
 39.33  complementary and alternative health care practitioner. 
 39.34     Subd. 4.  [COMPLEMENTARY AND ALTERNATIVE HEALTH CARE 
 39.35  PRACTICES.] (a) "Complementary and alternative health care 
 39.36  practices" means the broad domain of complementary and 
 40.1   alternative healing methods and treatments, including but not 
 40.2   limited to:  (1) acupressure; (2) anthroposophy; (3) aroma 
 40.3   therapy; (4) ayurveda; (5) cranial sacral therapy; (6) 
 40.4   culturally traditional healing practices; (7) detoxification 
 40.5   practices and therapies; (8) energetic healing; (9) polarity 
 40.6   therapy; (10) folk practices; (11) healing practices utilizing 
 40.7   food, food supplements, nutrients, and the physical forces of 
 40.8   heat, cold, water, touch, and light; (12) Gerson therapy and 
 40.9   colostrum therapy; (13) healing touch; (14) herbology or 
 40.10  herbalism; (15) homeopathy; (16) iridology; (17) body work, 
 40.11  massage, and massage therapy; (18) meditation; (19) mind-body 
 40.12  healing practices; (20) naturopathy; (21) noninvasive 
 40.13  instrumentalities; and (22) traditional Oriental practices, such 
 40.14  as Qi Gong energy healing. 
 40.15     (b) Complementary and alternative health care practices, in 
 40.16  and of themselves, do not include surgery, x-ray radiation, 
 40.17  administering or dispensing legend drugs and controlled 
 40.18  substances, practices that invade the human body by puncture of 
 40.19  the skin, setting fractures, the use of medical devices as 
 40.20  defined in section 147A.01, any practice included in the 
 40.21  practice of dentistry as defined in section 150A.05, subdivision 
 40.22  1, or the manipulation or adjustment of articulations of joints 
 40.23  or the spine as described in section 146.23 or 148.01. 
 40.24     (c) Complementary and alternative health care practices do 
 40.25  not include practices that are permitted under section 147.09, 
 40.26  clause (11), or 148.271, clause (5).  
 40.27     (d) This article does not apply to, control, prevent, or 
 40.28  restrict the practice, service, or activity of lawfully 
 40.29  marketing or distributing food products, including dietary 
 40.30  supplements as defined in the federal dietary supplement health 
 40.31  and education act, educating customers about such products, or 
 40.32  explaining the uses of such products. 
 40.33     Subd. 5.  [OFFICE OF UNLICENSED COMPLEMENTARY AND 
 40.34  ALTERNATIVE HEALTH CARE PRACTICE OR OFFICE.] "Office of 
 40.35  unlicensed complementary and alternative health care practice" 
 40.36  or "office" means the office of unlicensed complementary and 
 41.1   alternative health care practice established in section 146A.02. 
 41.2      Subd. 6.  [PATIENT-IDENTIFYING DATA.] "Patient-identifying 
 41.3   data" means data that identifies a patient directly or that 
 41.4   identifies characteristics which reasonably could uniquely 
 41.5   identify a specific patient circumstantially. 
 41.6      Subd. 7.  [ROSTER DATA.] "Roster data" means, with regard 
 41.7   to an enrollee of a health plan company or group purchaser, an 
 41.8   enrollee's name, address, telephone number, date of birth, 
 41.9   gender, and enrollment status under a group purchaser's health 
 41.10  plan.  Roster data means, with regard to a patient of a 
 41.11  provider, the patient's name, address, telephone number, date of 
 41.12  birth, gender, and date or dates treated, including, if 
 41.13  applicable, the date of admission and the date of discharge. 
 41.14     Subd. 8.  [UNLICENSED COMPLEMENTARY AND ALTERNATIVE HEALTH 
 41.15  CARE PRACTITIONER.] "Unlicensed complementary and alternative 
 41.16  health care practitioner" means a person who: 
 41.17     (1) is not licensed or registered by a health-related 
 41.18  licensing board or the commissioner of health, or does not hold 
 41.19  oneself out to the public as licensed or registered by a 
 41.20  health-related licensing board or the commissioner of health 
 41.21  when engaging in complementary and alternative health care 
 41.22  practices; 
 41.23     (2) has not had a license or registration issued by a 
 41.24  health-related licensing board or the commissioner of health 
 41.25  revoked or has not been disciplined in any manner at any time in 
 41.26  the past, unless the right to engage in complementary and 
 41.27  alternative health care practices has been established by order 
 41.28  of the commissioner of health; 
 41.29     (3) is engaging in complementary and alternative health 
 41.30  care practices; and 
 41.31     (4) is providing complementary and alternative health care 
 41.32  services for remuneration or is holding oneself out to the 
 41.33  public as a practitioner of complementary and alternative health 
 41.34  care practices. 
 41.35     Sec. 3.  [146A.02] [OFFICE OF UNLICENSED COMPLEMENTARY AND 
 41.36  ALTERNATIVE HEALTH CARE PRACTICE.] 
 42.1      Subdivision 1.  [CREATION.] The office of unlicensed 
 42.2   complementary and alternative health care practice is created in 
 42.3   the department of health to investigate complaints and take and 
 42.4   enforce disciplinary actions against all unlicensed 
 42.5   complementary and alternative health care practitioners for 
 42.6   violations of prohibited conduct, as defined in section 
 42.7   146A.08.  The office shall also serve as a clearinghouse on 
 42.8   complementary and alternative health care practices and 
 42.9   unlicensed complementary and alternative health care 
 42.10  practitioners through the dissemination of objective information 
 42.11  to consumers and through the development and performance of 
 42.12  public education activities, including outreach, regarding the 
 42.13  provision of complementary and alternative health care practices 
 42.14  and unlicensed complementary and alternative health care 
 42.15  practitioners who provide these services. 
 42.16     Subd. 2.  [RULEMAKING.] The commissioner shall adopt rules 
 42.17  necessary to implement, administer, or enforce provisions of 
 42.18  this chapter pursuant to chapter 14.  The commissioner may not 
 42.19  adopt rules that restrict or prohibit persons from engaging in 
 42.20  complementary and alternative health care practices on the basis 
 42.21  of education, training, experience, or supervision. 
 42.22     Sec. 4.  [146A.025] [MALTREATMENT OF MINORS.] 
 42.23     Nothing in this chapter shall restrict the ability of a 
 42.24  local welfare agency, local law enforcement agency, the 
 42.25  commissioner of human services, or the state to take action 
 42.26  regarding the maltreatment of minors under section 609.378 or 
 42.27  626.556.  A parent who obtains complementary and alternative 
 42.28  health care for the parent's minor child is not relieved of the 
 42.29  duty to seek necessary medical care.  A complementary or 
 42.30  alternative health care practitioner who is providing services 
 42.31  to a child who is not receiving necessary medical care must make 
 42.32  a report under section 626.556.  A complementary or alternative 
 42.33  health care provider is a mandated reporter under section 
 42.34  626.556, subdivision 3. 
 42.35     Sec. 5.  [146A.03] [REPORTING OBLIGATIONS.] 
 42.36     Subdivision 1.  [PERMISSION TO REPORT.] A person who has 
 43.1   knowledge of any conduct constituting grounds for disciplinary 
 43.2   action relating to complementary and alternative health care 
 43.3   practices under this chapter may report the violation to the 
 43.4   office. 
 43.5      Subd. 2.  [INSTITUTIONS.] A state agency, political 
 43.6   subdivision, agency of a local unit of government, private 
 43.7   agency, hospital, clinic, prepaid medical plan, or other health 
 43.8   care institution or organization located in this state shall 
 43.9   report to the office any action taken by the agency, 
 43.10  institution, or organization or any of its administrators or 
 43.11  medical or other committees to revoke, suspend, restrict, or 
 43.12  condition an unlicensed complementary and alternative health 
 43.13  care practitioner's privilege to practice or treat complementary 
 43.14  and alternative health care clients in the institution or, as 
 43.15  part of the organization, any denial of privileges or any other 
 43.16  disciplinary action for conduct that might constitute grounds 
 43.17  for disciplinary action by the office under this chapter.  The 
 43.18  institution, organization, or governmental entity shall also 
 43.19  report the resignation of any unlicensed complementary and 
 43.20  alternative health care practitioners prior to the conclusion of 
 43.21  any disciplinary action proceeding for conduct that might 
 43.22  constitute grounds for disciplinary action under this chapter or 
 43.23  prior to the commencement of formal charges but after the 
 43.24  practitioner had knowledge that formal charges were contemplated 
 43.25  or were being prepared. 
 43.26     Subd. 3.  [PROFESSIONAL SOCIETIES.] A state or local 
 43.27  professional society for unlicensed complementary and 
 43.28  alternative health care practitioners shall report to the office 
 43.29  any termination, revocation, or suspension of membership or any 
 43.30  other disciplinary action taken against an unlicensed 
 43.31  complementary and alternative health care practitioner.  If the 
 43.32  society has received a complaint that might be grounds for 
 43.33  discipline under this chapter against a member on which it has 
 43.34  not taken any disciplinary action, the society shall report the 
 43.35  complaint and the reason why it has not taken action on it or 
 43.36  shall direct the complainant to the office. 
 44.1      Subd. 4.  [LICENSED PROFESSIONALS.] A licensed health 
 44.2   professional shall report to the office personal knowledge of 
 44.3   any conduct that the licensed health professional reasonably 
 44.4   believes constitutes grounds for disciplinary action under this 
 44.5   chapter by any unlicensed complementary and alternative health 
 44.6   care practitioner, including conduct indicating that the 
 44.7   individual may be medically incompetent or may be medically or 
 44.8   physically unable to engage safely in the provision of 
 44.9   services.  If the information was obtained in the course of a 
 44.10  client relationship, the client is an unlicensed complementary 
 44.11  and alternative health care practitioner, and the treating 
 44.12  individual successfully counsels the other practitioner to limit 
 44.13  or withdraw from practice to the extent required by the 
 44.14  impairment, the office may deem this limitation of or withdrawal 
 44.15  from practice to be sufficient disciplinary action. 
 44.16     Subd. 5.  [INSURERS.] Four times each year as prescribed by 
 44.17  the commissioner, each insurer authorized to sell insurance 
 44.18  described in section 60A.06, subdivision 1, clause (13), and 
 44.19  providing professional liability insurance to unlicensed 
 44.20  complementary and alternative health care practitioners or the 
 44.21  medical joint underwriting association under chapter 62F shall 
 44.22  submit to the office a report concerning the unlicensed 
 44.23  complementary and alternative health care practitioners against 
 44.24  whom malpractice settlements or awards have been made.  The 
 44.25  response must contain at least the following information: 
 44.26     (1) the total number of malpractice settlements or awards 
 44.27  made; 
 44.28     (2) the date the malpractice settlements or awards were 
 44.29  made; 
 44.30     (3) the allegations contained in the claim or complaint 
 44.31  leading to the settlements or awards made; 
 44.32     (4) the dollar amount of each malpractice settlement or 
 44.33  award; 
 44.34     (5) the regular address of the practice of the unlicensed 
 44.35  complementary and alternative health care practitioner against 
 44.36  whom an award was made or with whom a settlement was made; and 
 45.1      (6) the name of the unlicensed complementary and 
 45.2   alternative health care practitioner against whom an award was 
 45.3   made or with whom a settlement was made. 
 45.4      The insurance company shall, in addition to the above 
 45.5   information, submit to the office any information, records, and 
 45.6   files, including clients' charts and records, it possesses that 
 45.7   tend to substantiate a charge that an unlicensed complementary 
 45.8   and alternative health care practitioner may have engaged in 
 45.9   conduct violating this chapter. 
 45.10     Subd. 6.  [COURTS.] The court administrator of district 
 45.11  court or any other court of competent jurisdiction shall report 
 45.12  to the office any judgment or other determination of the court 
 45.13  that adjudges or includes a finding that an unlicensed 
 45.14  complementary and alternative health care practitioner is 
 45.15  mentally ill, mentally incompetent, guilty of a felony, guilty 
 45.16  of a violation of federal or state narcotics laws or controlled 
 45.17  substances act, or guilty of abuse or fraud under Medicare or 
 45.18  Medicaid; or that appoints a guardian of the unlicensed 
 45.19  complementary and alternative health care practitioner under 
 45.20  sections 525.54 to 525.61 or commits an unlicensed complementary 
 45.21  and alternative health care practitioner under chapter 253B. 
 45.22     Subd. 7.  [SELF-REPORTING.] An unlicensed complementary and 
 45.23  alternative health care practitioner shall report to the office 
 45.24  any personal action that would require that a report be filed 
 45.25  with the office by any person, health care facility, business, 
 45.26  or organization pursuant to subdivisions 2 to 5.  The 
 45.27  practitioner shall also report the revocation, suspension, 
 45.28  restriction, limitation, or other disciplinary action against 
 45.29  the practitioner's license, certificate, registration, or right 
 45.30  of practice in another state or jurisdiction for offenses that 
 45.31  would be subject to disciplinary action in this state and also 
 45.32  report the filing of charges regarding the practitioner's 
 45.33  license, certificate, registration, or right of practice in 
 45.34  another state or jurisdiction. 
 45.35     Subd. 8.  [DEADLINES; FORMS.] Reports required by 
 45.36  subdivisions 2 to 7 must be submitted not later than 30 days 
 46.1   after the reporter learns of the occurrence of the reportable 
 46.2   event or transaction.  The office may provide forms for the 
 46.3   submission of reports required by this section, may require that 
 46.4   reports be submitted on the forms provided, and may adopt rules 
 46.5   necessary to ensure prompt and accurate reporting. 
 46.6      Sec. 6.  [146A.04] [IMMUNITY.] 
 46.7      Subdivision 1.  [REPORTING.] Any person other than an 
 46.8   unlicensed complementary and alternative health care 
 46.9   practitioner on whom violations or alleged violations of this 
 46.10  chapter are reported, health care facility, business, or 
 46.11  organization is immune from civil liability or criminal 
 46.12  prosecution for submitting a report to the office, for otherwise 
 46.13  reporting to the office violations or alleged violations of this 
 46.14  chapter, or for cooperating with an investigation of a report, 
 46.15  except as provided in this subdivision.  Any person who 
 46.16  knowingly or recklessly makes a false report is liable in a 
 46.17  civil suit for any damages suffered by the person or persons so 
 46.18  reported and for any punitive damages set by the court or jury.  
 46.19  An action requires clear and convincing evidence that the 
 46.20  defendant made the statement with knowledge of falsity or with 
 46.21  reckless disregard for its truth or falsity.  The report or 
 46.22  statement or any statement made in cooperation with an 
 46.23  investigation or as part of a disciplinary proceeding is 
 46.24  privileged except in an action brought under this subdivision. 
 46.25     Subd. 2.  [INVESTIGATION.] The commissioner and employees 
 46.26  of the department of health and other persons engaged in the 
 46.27  investigation of violations and in the preparation, 
 46.28  presentation, and management of and testimony pertaining to 
 46.29  charges of violations of this chapter are absolutely immune from 
 46.30  civil liability and criminal prosecution for any actions, 
 46.31  transactions, or publications in the execution of, or relating 
 46.32  to, their duties under this chapter. 
 46.33     Sec. 7.  [146A.05] [DISCIPLINARY RECORD ON JUDICIAL 
 46.34  REVIEW.] 
 46.35     Upon judicial review of any disciplinary action taken by 
 46.36  the commissioner under this chapter, the reviewing court shall 
 47.1   seal the administrative record, except for the commissioner's 
 47.2   final decision, and shall not make the administrative record 
 47.3   available to the public. 
 47.4      Sec. 8.  [146A.06] [PROFESSIONAL COOPERATION; UNLICENSED 
 47.5   PRACTITIONER.] 
 47.6      Subdivision 1.  [COOPERATION.] An unlicensed complementary 
 47.7   and alternative health care practitioner who is the subject of 
 47.8   an investigation, or who is questioned in connection with an 
 47.9   investigation, by or on behalf of the office shall cooperate 
 47.10  fully with the investigation.  Cooperation includes responding 
 47.11  fully and promptly to any question raised by or on behalf of the 
 47.12  office relating to the subject of the investigation, whether 
 47.13  tape recorded or not; providing copies of client records, as 
 47.14  reasonably requested by the office, to assist the office in its 
 47.15  investigation; and appearing at conferences or hearings 
 47.16  scheduled by the commissioner.  If the office does not have a 
 47.17  written consent from a client permitting access to the client's 
 47.18  records, the unlicensed complementary and alternative health 
 47.19  care practitioner shall delete any patient-identifying data and 
 47.20  roster data in the record before providing it to the office.  
 47.21  The office shall maintain any records obtained pursuant to this 
 47.22  section as investigative data pursuant to section 13.41.  If an 
 47.23  unlicensed complementary and alternative health care 
 47.24  practitioner refuses to give testimony or produce any documents, 
 47.25  books, records, or correspondence on the basis of the fifth 
 47.26  amendment to the Constitution of the United States, the 
 47.27  commissioner may compel the unlicensed complementary and 
 47.28  alternative health care practitioner to provide the testimony or 
 47.29  information; however, the testimony or evidence may not be used 
 47.30  against the practitioner in any criminal proceeding.  Challenges 
 47.31  to requests of the office may be brought before the appropriate 
 47.32  agency or court. 
 47.33     Subd. 2.  [CLASSIFICATION OF DATA.] The commissioner shall 
 47.34  maintain any records, other than client records, obtained as 
 47.35  part of an investigation as investigative data under section 
 47.36  13.41.  Client records are classified as private under chapter 
 48.1   13 and must be protected as such in the records of the office 
 48.2   and in any administrative or judicial proceeding unless the 
 48.3   unlicensed complementary and alternative health care client 
 48.4   authorizes the office in writing to make public the identity of 
 48.5   the client or a portion or all of the client's records. 
 48.6      Subd. 3.  [EXCHANGING INFORMATION.] (a) The office shall 
 48.7   establish internal operating procedures for: 
 48.8      (1) exchanging information with state boards; agencies, 
 48.9   including the office of ombudsman for mental health and mental 
 48.10  retardation; health-related and law enforcement facilities; 
 48.11  departments responsible for licensing health-related 
 48.12  occupations, facilities, and programs; and law enforcement 
 48.13  personnel in this and other states; and 
 48.14     (2) coordinating investigations involving matters within 
 48.15  the jurisdiction of more than one regulatory agency. 
 48.16     (b) The procedures for exchanging information must provide 
 48.17  for the forwarding to the entities described in paragraph (a), 
 48.18  clause (1), of information and evidence, including the results 
 48.19  of investigations, that are relevant to matters within the 
 48.20  regulatory jurisdiction of the organizations in paragraph (a).  
 48.21  The data have the same classification in the hands of the agency 
 48.22  receiving the data as they have in the hands of the agency 
 48.23  providing the data. 
 48.24     (c) The office shall establish procedures for exchanging 
 48.25  information with other states regarding disciplinary action 
 48.26  against unlicensed complementary and alternative health care 
 48.27  practitioners. 
 48.28     (d) The office shall forward to another governmental agency 
 48.29  any complaints received by the office that do not relate to the 
 48.30  office's jurisdiction but that relate to matters within the 
 48.31  jurisdiction of the other governmental agency.  The agency to 
 48.32  which a complaint is forwarded shall advise the office of the 
 48.33  disposition of the complaint.  A complaint or other information 
 48.34  received by another governmental agency relating to a statute or 
 48.35  rule that the office is empowered to enforce must be forwarded 
 48.36  to the office to be processed in accordance with this section. 
 49.1      (e) The office shall furnish to a person who made a 
 49.2   complaint a description of the actions of the office relating to 
 49.3   the complaint. 
 49.4      Sec. 9.  [146A.07] [PROFESSIONAL ACCOUNTABILITY.] 
 49.5      The office shall maintain and keep current a file 
 49.6   containing the reports and complaints filed against unlicensed 
 49.7   complementary and alternative health care practitioners within 
 49.8   the commissioner's jurisdiction.  Each complaint filed with the 
 49.9   office must be investigated.  If the files maintained by the 
 49.10  office show that a malpractice settlement or award has been made 
 49.11  against an unlicensed complementary and alternative health care 
 49.12  practitioner, as reported by insurers under section 146A.03, 
 49.13  subdivision 5, the commissioner may authorize a review of the 
 49.14  practitioner's practice by the staff of the office. 
 49.15     Sec. 10.  [146A.08] [PROHIBITED CONDUCT.] 
 49.16     Subdivision 1.  [PROHIBITED CONDUCT.] The commissioner may 
 49.17  impose disciplinary action as described in section 146A.09 
 49.18  against any unlicensed complementary and alternative health care 
 49.19  practitioner.  The following conduct is prohibited and is 
 49.20  grounds for disciplinary action:  
 49.21     (1) Conviction of a crime, including a finding or verdict 
 49.22  of guilt, an admission of guilt, or a no-contest plea, in any 
 49.23  court in Minnesota or any other jurisdiction in the United 
 49.24  States, reasonably related to engaging in complementary and 
 49.25  alternative health care practices.  Conviction, as used in this 
 49.26  subdivision, includes a conviction of an offense which, if 
 49.27  committed in this state, would be deemed a felony, gross 
 49.28  misdemeanor, or misdemeanor, without regard to its designation 
 49.29  elsewhere, or a criminal proceeding where a finding or verdict 
 49.30  of guilty is made or returned but the adjudication of guilt is 
 49.31  either withheld or not entered. 
 49.32     (2) Conviction of any crime against a person.  For purposes 
 49.33  of this chapter, a crime against a person means violations of 
 49.34  the following:  sections 609.185; 609.19; 609.195; 609.20; 
 49.35  609.205; 609.21; 609.215; 609.221; 609.222; 609.223; 609.224; 
 49.36  609.2242; 609.23; 609.231; 609.2325; 609.233; 609.2335; 609.235; 
 50.1   609.24; 609.245; 609.25; 609.255; 609.26, subdivision 1, clause 
 50.2   (1) or (2); 609.265; 609.342; 609.343; 609.344; 609.345; 
 50.3   609.365; 609.498, subdivision 1; 609.50, subdivision 1, clause 
 50.4   (1); 609.561; 609.562; 609.595; and 609.72, subdivision 3. 
 50.5      (3) Failure to comply with the self-reporting requirements 
 50.6   of section 146A.03, subdivision 7. 
 50.7      (4) Engaging in sexual contact with a complementary and 
 50.8   alternative health care client or former client, engaging in 
 50.9   contact that may be reasonably interpreted by a client as 
 50.10  sexual, engaging in any verbal behavior that is seductive or 
 50.11  sexually demeaning to the patient, or engaging in sexual 
 50.12  exploitation of a client or former client.  For purposes of this 
 50.13  clause, "former client" means a person who has obtained services 
 50.14  from the unlicensed complementary and alternative health care 
 50.15  practitioner within the past two years. 
 50.16     (5) Advertising that is false, fraudulent, deceptive, or 
 50.17  misleading. 
 50.18     (6) Conduct likely to deceive, defraud, or harm the public 
 50.19  or demonstrating a willful or careless disregard for the health, 
 50.20  welfare, or safety of a complementary and alternative health 
 50.21  care client; or any other practice that may create unnecessary 
 50.22  danger to any client's life, health, or safety, in any of which 
 50.23  cases, harm or the potential for harm must be recognizable and 
 50.24  not remote and proof of actual injury need not be established. 
 50.25     (7) Adjudication as mentally incompetent or as a person who 
 50.26  is dangerous to self or adjudication pursuant to chapter 253B as 
 50.27  chemically dependent, mentally ill, mentally retarded, mentally 
 50.28  ill and dangerous to the public, or as a sexual psychopathic 
 50.29  personality or sexually dangerous person. 
 50.30     (8) Inability to engage in complementary and alternative 
 50.31  health care practices with reasonable safety to complementary 
 50.32  and alternative health care clients based on but not limited to 
 50.33  illness; drunkenness; or use of drugs, narcotics, chemicals, or 
 50.34  any other type of material or as a result of any mental or 
 50.35  physical condition including deterioration through the aging 
 50.36  process or loss of motor skills. 
 51.1      (9) The habitual overindulgence in the use of or the 
 51.2   dependence on intoxicating liquors. 
 51.3      (10) Improper or unauthorized personal or other use of any 
 51.4   legend drugs as defined in chapter 151, any chemicals as defined 
 51.5   in chapter 151, or any controlled substance as defined in 
 51.6   chapter 152. 
 51.7      (11) Revealing a communication from, or relating to, a 
 51.8   complementary and alternative health care client except when 
 51.9   otherwise required or permitted by law. 
 51.10     (12) Failure to comply with a complementary and alternative 
 51.11  health care client's request made under section 144.335 or to 
 51.12  furnish a complementary and alternative health care client 
 51.13  record or report required by law. 
 51.14     (13) Splitting fees or promising to pay a portion of a fee 
 51.15  to any other professional other than for services rendered by 
 51.16  the other professional to the complementary and alternative 
 51.17  health care client. 
 51.18     (14) Engaging in abusive or fraudulent billing practices, 
 51.19  including violations of the federal Medicare and Medicaid laws 
 51.20  or state medical assistance laws. 
 51.21     (15) Failure to make reports as required by section 146A.03 
 51.22  or cooperate with an investigation of the office. 
 51.23     (16) Obtaining money, property, or services from a 
 51.24  complementary and alternative health care client, other than 
 51.25  reasonable fees for services provided to the client, through the 
 51.26  use of undue influence, harassment, duress, deception, or fraud. 
 51.27     (17) Undertaking or continuing a professional relationship 
 51.28  with a complementary and alternative health care client in which 
 51.29  the objectivity of the unlicensed complementary and alternative 
 51.30  health care practitioner would be impaired. 
 51.31     (18) Failure to provide a complementary and alternative 
 51.32  health care client with a copy of the client bill of rights or 
 51.33  violation of any provision of the client bill of rights. 
 51.34     (19) Violating any order issued by the commissioner. 
 51.35     (20) Failure to comply with any provision of sections 
 51.36  146A.01 to 146A.11 and the rules adopted under those sections. 
 52.1      (21) Failure to comply with any additional disciplinary 
 52.2   grounds established by the commissioner by rule. 
 52.3      (22) Revocation, suspension, restriction, limitation, or 
 52.4   other disciplinary action against any health care license, 
 52.5   certificate, registration, or right to practice of the 
 52.6   unlicensed complementary and alternative health care 
 52.7   practitioner in this or another state or jurisdiction for 
 52.8   offenses that would be subject to disciplinary action in this 
 52.9   state or failure to report to the office that charges regarding 
 52.10  the practitioner's license, certificate, registration, or right 
 52.11  of practice have been brought in this or another state or 
 52.12  jurisdiction unless right to practice is established by the 
 52.13  commissioner order. 
 52.14     (23) Use of the title "doctor," "Dr.," or "physician" alone 
 52.15  or in combination with any other words, letters, or insignia to 
 52.16  describe the complementary and alternative health care practices 
 52.17  the practitioner provides. 
 52.18     (24) Failure to provide a complementary and alternative 
 52.19  health care client with a recommendation that the client see a 
 52.20  health care provider who is licensed or registered by a 
 52.21  health-related licensing board or the commissioner of health, if 
 52.22  there is a reasonable likelihood that the client needs to be 
 52.23  seen by a licensed or registered health care provider. 
 52.24     Subd. 2.  [LESS CUSTOMARY APPROACH.] The fact that a 
 52.25  complementary and alternative health care practice may be a less 
 52.26  customary approach to health care shall not constitute the basis 
 52.27  of a disciplinary action per se. 
 52.28     Subd. 3.  [EVIDENCE.] In disciplinary actions alleging a 
 52.29  violation of subdivision 1, clause (1), (2), (3), or (7), a copy 
 52.30  of the judgment or proceeding under the seal of the court 
 52.31  administrator or of the administrative agency that entered the 
 52.32  same is admissible into evidence without further authentication 
 52.33  and constitutes prima facie evidence of its contents. 
 52.34     Subd. 4.  [EXAMINATION; ACCESS TO MEDICAL DATA.] (a) If the 
 52.35  commissioner has probable cause to believe that an unlicensed 
 52.36  complementary and alternative health care practitioner has 
 53.1   engaged in conduct prohibited by subdivision 1, clause (7), (8), 
 53.2   (9), or (10), the commissioner may issue an order directing the 
 53.3   practitioner to submit to a mental or physical examination or 
 53.4   chemical dependency evaluation.  For the purpose of this 
 53.5   subdivision, every unlicensed complementary and alternative 
 53.6   health care practitioner is deemed to have consented to submit 
 53.7   to a mental or physical examination or chemical dependency 
 53.8   evaluation when ordered to do so in writing by the commissioner 
 53.9   and further to have waived all objections to the admissibility 
 53.10  of the testimony or examination reports of the health care 
 53.11  provider performing the examination or evaluation on the grounds 
 53.12  that the same constitute a privileged communication.  Failure of 
 53.13  an unlicensed complementary and alternative health care 
 53.14  practitioner to submit to an examination or evaluation when 
 53.15  ordered, unless the failure was due to circumstances beyond the 
 53.16  practitioner's control, constitutes an admission that the 
 53.17  unlicensed complementary and alternative health care 
 53.18  practitioner violated subdivision 1, clause (7), (8), (9), or 
 53.19  (10), based on the factual specifications in the examination or 
 53.20  evaluation order and may result in a default and final 
 53.21  disciplinary order being entered after a contested case 
 53.22  hearing.  An unlicensed complementary and alternative health 
 53.23  care practitioner affected under this paragraph shall at 
 53.24  reasonable intervals be given an opportunity to demonstrate that 
 53.25  the practitioner can resume the provision of complementary and 
 53.26  alternative health care practices with reasonable safety to 
 53.27  clients.  In any proceeding under this paragraph, neither the 
 53.28  record of proceedings nor the orders entered by the commissioner 
 53.29  shall be used against an unlicensed complementary and 
 53.30  alternative health care practitioner in any other proceeding. 
 53.31     (b) In addition to ordering a physical or mental 
 53.32  examination or chemical dependency evaluation, the commissioner 
 53.33  may, notwithstanding section 13.42, 144.651, 595.02, or any 
 53.34  other law limiting access to medical or other health data, 
 53.35  obtain medical data and health records relating to an unlicensed 
 53.36  complementary and alternative health care practitioner without 
 54.1   the practitioner's consent if the commissioner has probable 
 54.2   cause to believe that a practitioner has engaged in conduct 
 54.3   prohibited by subdivision 1, clause (7), (8), (9), or (10).  The 
 54.4   medical data may be requested from a provider as defined in 
 54.5   section 144.335, subdivision 1, paragraph (b), an insurance 
 54.6   company, or a government agency, including the department of 
 54.7   human services.  A provider, insurance company, or government 
 54.8   agency shall comply with any written request of the commissioner 
 54.9   under this subdivision and is not liable in any action for 
 54.10  damages for releasing the data requested by the commissioner if 
 54.11  the data are released pursuant to a written request under this 
 54.12  subdivision, unless the information is false and the person or 
 54.13  organization giving the information knew or had reason to 
 54.14  believe the information was false.  Information obtained under 
 54.15  this subdivision is private data under section 13.41. 
 54.16     Sec. 11.  [146A.09] [DISCIPLINARY ACTIONS.] 
 54.17     Subdivision 1.  [FORMS OF DISCIPLINARY ACTION.] When the 
 54.18  commissioner finds that an unlicensed complementary and 
 54.19  alternative health care practitioner has violated any provision 
 54.20  of this chapter, the commissioner may take one or more of the 
 54.21  following actions, only against the individual practitioner: 
 54.22     (1) revoke the right to practice; 
 54.23     (2) suspend the right to practice; 
 54.24     (3) impose limitations or conditions on the practitioner's 
 54.25  provision of complementary and alternative health care 
 54.26  practices, impose rehabilitation requirements, or require 
 54.27  practice under supervision; 
 54.28     (4) impose a civil penalty not exceeding $10,000 for each 
 54.29  separate violation, the amount of the civil penalty to be fixed 
 54.30  so as to deprive the practitioner of any economic advantage 
 54.31  gained by reason of the violation charged or to reimburse the 
 54.32  office for all costs of the investigation and proceeding; 
 54.33     (5) censure or reprimand the practitioner; 
 54.34     (6) impose a fee on the practitioner to reimburse the 
 54.35  office for all or part of the cost of the proceedings resulting 
 54.36  in disciplinary action including, but not limited to, the amount 
 55.1   paid by the office for services from the office of 
 55.2   administrative hearings, attorney fees, court reports, 
 55.3   witnesses, reproduction of records, staff time, and expense 
 55.4   incurred by the staff of the office of unlicensed complementary 
 55.5   and alternative health care practice; or 
 55.6      (7) any other action justified by the case. 
 55.7      Subd. 2.  [DISCOVERY; SUBPOENAS.] In all matters relating 
 55.8   to the lawful activities of the office, the commissioner may 
 55.9   issue subpoenas and compel the attendance of witnesses and the 
 55.10  production of all necessary papers, books, records, documents, 
 55.11  and other evidentiary material.  Any person failing or refusing 
 55.12  to appear or testify regarding any matter about which the person 
 55.13  may be lawfully questioned or failing to produce any papers, 
 55.14  books, records, documents, or other evidentiary materials in the 
 55.15  matter to be heard, after having been required by order of the 
 55.16  commissioner or by a subpoena of the commissioner to do so may, 
 55.17  upon application to the district court in any district, be 
 55.18  ordered to comply with the order or subpoena.  The commissioner 
 55.19  may administer oaths to witnesses or take their affirmation.  
 55.20  Depositions may be taken within or without the state in the 
 55.21  manner provided by law for the taking of depositions in civil 
 55.22  actions.  A subpoena or other process may be served upon a 
 55.23  person it names anywhere within the state by any officer 
 55.24  authorized to serve subpoenas or other process in civil actions 
 55.25  in the same manner as prescribed by law for service of process 
 55.26  issued out of the district court of this state. 
 55.27     Subd. 2a.  [HEARINGS.] If the commissioner proposes to take 
 55.28  action against the practitioner as described in subdivision 1, 
 55.29  the commissioner must first notify the practitioner against whom 
 55.30  the action is proposed to be taken and provide the practitioner 
 55.31  with an opportunity to request a hearing under the contested 
 55.32  case provisions of chapter 14.  If the practitioner does not 
 55.33  request a hearing by notifying the commissioner within 30 days 
 55.34  after service of the notice of the proposed action, the 
 55.35  commissioner may proceed with the action without a hearing. 
 55.36     Subd. 3.  [REINSTATEMENT.] The commissioner may at the 
 56.1   commissioner's discretion reinstate the right to practice and 
 56.2   may impose any disciplinary measure listed under subdivision 1. 
 56.3      Subd. 4.  [TEMPORARY SUSPENSION.] In addition to any other 
 56.4   remedy provided by law, the commissioner may, acting through a 
 56.5   person to whom the commissioner has delegated this authority and 
 56.6   without a hearing, temporarily suspend the right of an 
 56.7   unlicensed complementary and alternative health care 
 56.8   practitioner to practice if the commissioner's delegate finds 
 56.9   that the practitioner has violated a statute or rule that the 
 56.10  commissioner is empowered to enforce and continued practice by 
 56.11  the practitioner would create a serious risk of harm to others.  
 56.12  The suspension is in effect upon service of a written order on 
 56.13  the practitioner specifying the statute or rule violated.  The 
 56.14  order remains in effect until the commissioner issues a final 
 56.15  order in the matter after a hearing or upon agreement between 
 56.16  the commissioner and the practitioner.  Service of the order is 
 56.17  effective if the order is served on the practitioner or counsel 
 56.18  of record personally or by first class mail.  Within ten days of 
 56.19  service of the order, the commissioner shall hold a hearing on 
 56.20  the sole issue of whether there is a reasonable basis to 
 56.21  continue, modify, or lift the suspension.  Evidence presented by 
 56.22  the office or practitioner shall be in affidavit form only.  The 
 56.23  practitioner or the counsel of record may appear for oral 
 56.24  argument.  Within five working days after the hearing, the 
 56.25  commissioner shall issue the commissioner's order and, if the 
 56.26  suspension is continued, schedule a contested case hearing 
 56.27  within 45 days after issuance of the order.  The administrative 
 56.28  law judge shall issue a report within 30 days after closing of 
 56.29  the contested case hearing record.  The commissioner shall issue 
 56.30  a final order within 30 days after receipt of that report. 
 56.31     Subd. 5.  [AUTOMATIC SUSPENSION.] The right of an 
 56.32  unlicensed complementary and alternative health care 
 56.33  practitioner to practice is automatically suspended if (1) a 
 56.34  guardian of an unlicensed complementary and alternative health 
 56.35  care practitioner is appointed by order of a court under 
 56.36  sections 525.54 to 525.61, or (2) the practitioner is committed 
 57.1   by order of a court pursuant to chapter 253B.  The right to 
 57.2   practice remains suspended until the practitioner is restored to 
 57.3   capacity by a court and, upon petition by the practitioner, the 
 57.4   suspension is terminated by the commissioner after a hearing or 
 57.5   upon agreement between the commissioner and the practitioner. 
 57.6      Sec. 12.  [146A.10] [ADDITIONAL REMEDIES.] 
 57.7      Subdivision 1.  [CEASE AND DESIST.] (a) The commissioner 
 57.8   may issue a cease and desist order to stop a person from 
 57.9   violating or threatening to violate a statute, rule, or order 
 57.10  which the office has issued or is empowered to enforce.  The 
 57.11  cease and desist order must state the reason for its issuance 
 57.12  and give notice of the person's right to request a hearing under 
 57.13  sections 14.57 to 14.62.  If, within 15 days of service of the 
 57.14  order, the subject of the order fails to request a hearing in 
 57.15  writing, the order is the final order of the commissioner and is 
 57.16  not reviewable by a court or agency. 
 57.17     (b) A hearing must be initiated by the office not later 
 57.18  than 30 days from the date of the office's receipt of a written 
 57.19  hearing request.  Within 30 days of receipt of the 
 57.20  administrative law judge's report, the commissioner shall issue 
 57.21  a final order modifying, vacating, or making permanent the cease 
 57.22  and desist order as the facts require.  The final order remains 
 57.23  in effect until modified or vacated by the commissioner. 
 57.24     (c) When a request for a stay accompanies a timely hearing 
 57.25  request, the commissioner may, in the commissioner's discretion, 
 57.26  grant the stay.  If the commissioner does not grant a requested 
 57.27  stay, the commissioner shall refer the request to the office of 
 57.28  administrative hearings within three working days of receipt of 
 57.29  the request.  Within ten days after receiving the request from 
 57.30  the commissioner, an administrative law judge shall issue a 
 57.31  recommendation to grant or deny the stay.  The commissioner 
 57.32  shall grant or deny the stay within five days of receiving the 
 57.33  administrative law judge's recommendation. 
 57.34     (d) In the event of noncompliance with a cease and desist 
 57.35  order, the commissioner may institute a proceeding in Hennepin 
 57.36  county district court to obtain injunctive relief or other 
 58.1   appropriate relief, including a civil penalty payable to the 
 58.2   office not exceeding $10,000 for each separate violation. 
 58.3      Subd. 2.  [INJUNCTIVE RELIEF.] In addition to any other 
 58.4   remedy provided by law, including the issuance of a cease and 
 58.5   desist order under subdivision 1, the commissioner may in the 
 58.6   commissioner's own name bring an action in Hennepin county 
 58.7   district court for injunctive relief to restrain an unlicensed 
 58.8   complementary and alternative health care practitioner from a 
 58.9   violation or threatened violation of any statute, rule, or order 
 58.10  which the commissioner is empowered to regulate, enforce, or 
 58.11  issue.  A temporary restraining order must be granted in the 
 58.12  proceeding if continued activity by a practitioner would create 
 58.13  a serious risk of harm to others.  The commissioner need not 
 58.14  show irreparable harm. 
 58.15     Subd. 3.  [ADDITIONAL POWERS.] The issuance of a cease and 
 58.16  desist order or injunctive relief granted under this section 
 58.17  does not relieve a practitioner from criminal prosecution by a 
 58.18  competent authority or from disciplinary action by the 
 58.19  commissioner. 
 58.20     Sec. 13.  [146A.11] [COMPLEMENTARY AND ALTERNATIVE HEALTH 
 58.21  CARE CLIENT BILL OF RIGHTS.] 
 58.22     Subdivision 1.  [SCOPE.] All unlicensed complementary and 
 58.23  alternative health care practitioners shall provide to each 
 58.24  complementary and alternative health care client prior to 
 58.25  providing treatment a written copy of the complementary and 
 58.26  alternative health care client bill of rights.  A copy must also 
 58.27  be posted in a prominent location in the office of the 
 58.28  unlicensed complementary and alternative health care 
 58.29  practitioner.  Reasonable accommodations shall be made for those 
 58.30  clients who cannot read or who have communication impairments 
 58.31  and those who do not read or speak English.  The complementary 
 58.32  and alternative health care client bill of rights shall include 
 58.33  the following: 
 58.34     (1) the name, title, business address, and telephone number 
 58.35  of the unlicensed complementary and alternative health care 
 58.36  practitioner; 
 59.1      (2) the degrees, training, experience, or other 
 59.2   qualifications of the practitioner, followed by the following 
 59.3   statement in bold print: 
 59.4      "THE STATE OF MINNESOTA HAS NOT ADOPTED ANY EDUCATIONAL AND 
 59.5   TRAINING STANDARDS FOR UNLICENSED COMPLEMENTARY AND ALTERNATIVE 
 59.6   HEALTH CARE PRACTITIONERS.  THIS STATEMENT OF CREDENTIALS IS FOR 
 59.7   INFORMATION PURPOSES ONLY. 
 59.8      The practices of an unlicensed complementary and 
 59.9   alternative health care practitioner do not constitute a 
 59.10  diagnosis from a licensed physician, chiropractor, or 
 59.11  acupuncture practitioner.  If a client desires a diagnosis from 
 59.12  a licensed physician, chiropractor, or acupuncture practitioner, 
 59.13  or services from a physician, chiropractor, nurse, osteopath, 
 59.14  physical therapist, dietitian, nutritionist, acupuncture 
 59.15  practitioner, athletic trainer, or any other type of health care 
 59.16  provider, the client may seek such services at any time."; 
 59.17     (3) the name, business address, and telephone number of the 
 59.18  practitioner's supervisor, if any; 
 59.19     (4) notice that a complementary and alternative health care 
 59.20  client has the right to file a complaint with the practitioner's 
 59.21  supervisor, if any, and the procedure for filing complaints; 
 59.22     (5) the name, address, and telephone number of the office 
 59.23  of unlicensed complementary and alternative health care practice 
 59.24  and notice that a client may file complaints with the office; 
 59.25     (6) the practitioner's fees per unit of service, the 
 59.26  practitioner's method of billing for such fees, the names of any 
 59.27  insurance companies that have agreed to reimburse the 
 59.28  practitioner, or health maintenance organizations with whom the 
 59.29  practitioner contracts to provide service, whether the 
 59.30  practitioner accepts Medicare, medical assistance, or general 
 59.31  assistance medical care, and whether the practitioner is willing 
 59.32  to accept partial payment, or to waive payment, and in what 
 59.33  circumstances; 
 59.34     (7) a statement that the client has a right to reasonable 
 59.35  notice of changes in services or charges; 
 59.36     (8) a brief summary, in plain language, of the theoretical 
 60.1   approach used by the practitioner in treating patients; 
 60.2      (9) notice that the client has a right to complete and 
 60.3   current information concerning the practitioner's assessment and 
 60.4   recommended course of treatment, including the expected duration 
 60.5   of treatment; 
 60.6      (10) a statement that clients may expect courteous 
 60.7   treatment and to be free from verbal, physical, or sexual abuse 
 60.8   by the practitioner; 
 60.9      (11) a statement that client records and transactions with 
 60.10  the practitioner are confidential, unless release of these 
 60.11  records is authorized in writing by the client, or otherwise 
 60.12  provided by law; 
 60.13     (12) a statement of the client's right to be allowed access 
 60.14  to records and written information from records in accordance 
 60.15  with section 144.335; 
 60.16     (13) a statement that other services may be available in 
 60.17  the community, including where information concerning services 
 60.18  is available; 
 60.19     (14) a statement that the client has the right to choose 
 60.20  freely among available practitioners and to change practitioners 
 60.21  after services have begun, within the limits of health 
 60.22  insurance, medical assistance, or other health programs; 
 60.23     (15) a statement that the client has a right to coordinated 
 60.24  transfer when there will be a change in the provider of 
 60.25  services; 
 60.26     (16) a statement that the client may refuse services or 
 60.27  treatment, unless otherwise provided by law; and 
 60.28     (17) a statement that the client may assert the client's 
 60.29  rights without retaliation. 
 60.30     Subd. 2.  [ACKNOWLEDGMENT BY CLIENT.] Prior to the 
 60.31  provision of any service, a complementary and alternative health 
 60.32  care client must sign a written statement attesting that the 
 60.33  client has received the complementary and alternative health 
 60.34  care client bill of rights. 
 60.35     Sec. 14.  Minnesota Statutes 1999 Supplement, section 
 60.36  147.09, is amended to read: 
 61.1      147.09 [EXEMPTIONS.] 
 61.2      Section 147.081 does not apply to, control, prevent or 
 61.3   restrict the practice, service, or activities of:  
 61.4      (1) A person who is a commissioned medical officer of, a 
 61.5   member of, or employed by, the armed forces of the United 
 61.6   States, the United States Public Health Service, the Veterans 
 61.7   Administration, any federal institution or any federal agency 
 61.8   while engaged in the performance of official duties within this 
 61.9   state, if the person is licensed elsewhere.  
 61.10     (2) A licensed physician from a state or country who is in 
 61.11  actual consultation here.  
 61.12     (3) A licensed or registered physician who treats the 
 61.13  physician's home state patients or other participating patients 
 61.14  while the physicians and those patients are participating 
 61.15  together in outdoor recreation in this state as defined by 
 61.16  section 86A.03, subdivision 3.  A physician shall first register 
 61.17  with the board on a form developed by the board for that 
 61.18  purpose.  The board shall not be required to promulgate the 
 61.19  contents of that form by rule.  No fee shall be charged for this 
 61.20  registration.  
 61.21     (4) A student practicing under the direct supervision of a 
 61.22  preceptor while the student is enrolled in and regularly 
 61.23  attending a recognized medical school.  
 61.24     (5) A student who is in continuing training and performing 
 61.25  the duties of an intern or resident or engaged in postgraduate 
 61.26  work considered by the board to be the equivalent of an 
 61.27  internship or residency in any hospital or institution approved 
 61.28  for training by the board, provided the student has a residency 
 61.29  permit issued by the board under section 147.0391. 
 61.30     (6) A person employed in a scientific, sanitary, or 
 61.31  teaching capacity by the state university, the department of 
 61.32  children, families, and learning, or by any public or private 
 61.33  school, college, or other bona fide educational institution, a 
 61.34  nonprofit organization, which has tax-exempt status in 
 61.35  accordance with the Internal Revenue Code, section 501(c)(3), 
 61.36  and is organized and operated primarily for the purpose of 
 62.1   conducting scientific research directed towards discovering the 
 62.2   causes of and cures for human diseases, or the state department 
 62.3   of health, whose duties are entirely of a research, public 
 62.4   health, or educational character, while engaged in such duties; 
 62.5   provided that if the research includes the study of humans, such 
 62.6   research shall be conducted under the supervision of one or more 
 62.7   physicians licensed under this chapter. 
 62.8      (7) Physician's assistants registered in this state.  
 62.9      (8) A doctor of osteopathy duly licensed by the state board 
 62.10  of osteopathy under Minnesota Statutes 1961, sections 148.11 to 
 62.11  148.16, prior to May 1, 1963, who has not been granted a license 
 62.12  to practice medicine in accordance with this chapter provided 
 62.13  that the doctor confines activities within the scope of the 
 62.14  license. 
 62.15     (9) Any person licensed by a health related licensing 
 62.16  board, as defined in section 214.01, subdivision 2, or 
 62.17  registered by the commissioner of health pursuant to section 
 62.18  214.13, including psychological practitioners with respect to 
 62.19  the use of hypnosis; provided that the person confines 
 62.20  activities within the scope of the license.  
 62.21     (10) A person who practices ritual circumcision pursuant to 
 62.22  the requirements or tenets of any established religion. 
 62.23     (11) A Christian Scientist or other person who endeavors to 
 62.24  prevent or cure disease or suffering exclusively by mental or 
 62.25  spiritual means or by prayer. 
 62.26     (12) A physician licensed to practice medicine in another 
 62.27  state who is in this state for the sole purpose of providing 
 62.28  medical services at a competitive athletic event.  The physician 
 62.29  may practice medicine only on participants in the athletic 
 62.30  event.  A physician shall first register with the board on a 
 62.31  form developed by the board for that purpose.  The board shall 
 62.32  not be required to adopt the contents of the form by rule.  The 
 62.33  physician shall provide evidence satisfactory to the board of a 
 62.34  current unrestricted license in another state.  The board shall 
 62.35  charge a fee of $50 for the registration.  
 62.36     (13) A psychologist licensed under section 148.907 or a 
 63.1   social worker licensed under section 148B.21 who uses or 
 63.2   supervises the use of a penile or vaginal plethysmograph in 
 63.3   assessing and treating individuals suspected of engaging in 
 63.4   aberrant sexual behavior and sex offenders. 
 63.5      (14) Any person issued a training course certificate or 
 63.6   credentialed by the emergency medical services regulatory board 
 63.7   established in chapter 144E, provided the person confines 
 63.8   activities within the scope of training at the certified or 
 63.9   credentialed level. 
 63.10     (15) An unlicensed complementary and alternative health 
 63.11  care practitioner practicing according to chapter 146A. 
 63.12     Sec. 15.  Minnesota Statutes 1999 Supplement, section 
 63.13  214.01, subdivision 2, is amended to read: 
 63.14     Subd. 2.  [HEALTH-RELATED LICENSING BOARD.] "Health-related 
 63.15  licensing board" means the board of examiners of nursing home 
 63.16  administrators established pursuant to section 144A.19, the 
 63.17  office of unlicensed complementary and alternative health care 
 63.18  practice established pursuant to section 146A.02, the board of 
 63.19  medical practice created pursuant to section 147.01, the board 
 63.20  of nursing created pursuant to section 148.181, the board of 
 63.21  chiropractic examiners established pursuant to section 148.02, 
 63.22  the board of optometry established pursuant to section 148.52, 
 63.23  the board of physical therapy established pursuant to section 
 63.24  148.67, the board of psychology established pursuant to section 
 63.25  148.90, the board of social work pursuant to section 148B.19, 
 63.26  the board of marriage and family therapy pursuant to section 
 63.27  148B.30, the office of mental health practice established 
 63.28  pursuant to section 148B.61, the alcohol and drug counselors 
 63.29  licensing advisory council established pursuant to section 
 63.30  148C.02, the board of dietetics and nutrition practice 
 63.31  established under section 148.622, the board of dentistry 
 63.32  established pursuant to section 150A.02, the board of pharmacy 
 63.33  established pursuant to section 151.02, the board of podiatric 
 63.34  medicine established pursuant to section 153.02, and the board 
 63.35  of veterinary medicine, established pursuant to section 156.01. 
 63.36     Sec. 16.  [REPORT TO THE LEGISLATURE.] 
 64.1      The commissioner of health shall report to the legislature 
 64.2   by January 1, 2003, on the number and types of complaints 
 64.3   received against unlicensed complementary and alternative health 
 64.4   care practitioners pursuant to Minnesota Statutes, chapter 146A, 
 64.5   the types of practitioners against whom complaints were filed, 
 64.6   and the locations of the practitioners, the number of 
 64.7   investigations conducted, and the number and types of 
 64.8   enforcement actions completed.  The report must be filed in 
 64.9   accordance with Minnesota Statutes, sections 3.195 and 3.197. 
 64.10     Sec. 17.  [EFFECTIVE DATE.] 
 64.11     This article is effective July 1, 2001. 
 64.12                             ARTICLE 4 
 64.13                           HUMAN SERVICES 
 64.14     Section 1.  Minnesota Statutes 1999 Supplement, section 
 64.15  119B.011, subdivision 15, is amended to read: 
 64.16     Subd. 15.  [INCOME.] "Income" means earned or unearned 
 64.17  income received by all family members, including public 
 64.18  assistance cash benefits and at-home infant care subsidy 
 64.19  payments, unless specifically excluded and child support and 
 64.20  maintenance distributed to the family under section 256.741, 
 64.21  subdivision 15.  The following are excluded from income:  funds 
 64.22  used to pay for health insurance premiums for family members, 
 64.23  Supplemental Security Income, scholarships, work-study income, 
 64.24  and grants that cover costs or reimbursement for tuition, fees, 
 64.25  books, and educational supplies; student loans for tuition, 
 64.26  fees, books, supplies, and living expenses; state and federal 
 64.27  earned income tax credits; in-kind income such as food stamps, 
 64.28  energy assistance, foster care assistance, medical assistance, 
 64.29  child care assistance, and housing subsidies; earned income of 
 64.30  full or part-time students, who have not earned a high school 
 64.31  diploma or GED high school equivalency diploma including 
 64.32  earnings from summer employment; grant awards under the family 
 64.33  subsidy program; nonrecurring lump sum income only to the extent 
 64.34  that it is earmarked and used for the purpose for which it is 
 64.35  paid; and any income assigned to the public authority according 
 64.36  to section 256.74 or 256.741. 
 65.1      <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 65.2      Sec. 2.  Minnesota Statutes 1998, section 256.01, is 
 65.3   amended by adding a subdivision to read: 
 65.4      Subd. 18.  [IMMIGRATION STATUS 
 65.5   VERIFICATIONS.] Notwithstanding any waiver of this requirement 
 65.6   by the secretary of the United States Department of Health and 
 65.7   Human Services, the commissioner shall utilize the Systematic 
 65.8   Alien Verification for Entitlements (SAVE) program to conduct 
 65.9   immigration status verifications: 
 65.10     (1) as required under United States Code, title 8, section 
 65.11  1642; 
 65.12     (2) for all applicants for food assistance benefits, 
 65.13  whether under the federal food stamp program, the MFIP or work 
 65.14  first program, or the Minnesota food assistance program; 
 65.15     (3) for all applicants for general assistance medical care, 
 65.16  except assistance for an emergency medical condition, for 
 65.17  immunization with respect to an immunizable disease, or for 
 65.18  testing and treatment of symptoms of a communicable disease; and 
 65.19     (4) for all applicants for general assistance, Minnesota 
 65.20  supplemental aid, MinnesotaCare, or group residential housing, 
 65.21  when the benefits provided by these programs would fall under 
 65.22  the definition of "federal public benefit" under United States 
 65.23  Code, title 8, section 1642, if federal funds were used to pay 
 65.24  for all or part of the benefits.  
 65.25     The commissioner shall report to the Immigration and 
 65.26  Naturalization Service all undocumented persons who have been 
 65.27  identified through application verification procedures or by the 
 65.28  self-admission of an applicant for assistance.  Reports made 
 65.29  under this subdivision must comply with the requirements of 
 65.30  section 411A of the Social Security Act, as amended, and United 
 65.31  States Code, title 8, section 1644. 
 65.32     <b>EFFECTIVE DATE:</b>  This section is effective July 1, 2000. 
 65.33     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
 65.34  256.019, is amended to read: 
 65.35     256.019 [RECOVERY OF MONEY; APPORTIONMENT.] 
 65.36     Subdivision 1.  [RETENTION RATES.] When an assistance 
 66.1   recovery amount is recovered from any source for assistance 
 66.2   given collected and posted by a county agency under the 
 66.3   provisions governing public assistance programs including the 
 66.4   aid to families with dependent children program formerly 
 66.5   codified in sections 256.72 to 256.87, MFIP, general assistance 
 66.6   medical care, emergency assistance, general assistance, and 
 66.7   Minnesota supplemental aid, the county may keep one-half of the 
 66.8   recovery made by the county agency using any method other than 
 66.9   recoupment.  For medical assistance, if the recovery is made by 
 66.10  a county agency using any method other than recoupment, the 
 66.11  county may keep one-half of the nonfederal share of the recovery.
 66.12     This does not apply to recoveries from medical providers or 
 66.13  to recoveries begun by the department of human services' 
 66.14  surveillance and utilization review division, state hospital 
 66.15  collections unit, and the benefit recoveries division or, by the 
 66.16  attorney general's office, or child support collections.  In the 
 66.17  food stamp program, the nonfederal share of recoveries in the 
 66.18  federal tax refund offset program (FTROP) only will be divided 
 66.19  equally between the state agency and the involved county agency. 
 66.20     Subd. 2.  [RETENTION RATES FOR AFDC AND MFIP.] (a) When an 
 66.21  assistance recovery amount is collected and posted by a county 
 66.22  agency under the provisions governing the aid to families with 
 66.23  dependent children program formerly codified in 1996 in sections 
 66.24  256.72 to 256.87 or MFIP under chapter 256J, the commissioner 
 66.25  shall reimburse the county agency from the proceeds of the 
 66.26  recovery using the applicable rate specified in paragraph (b) or 
 66.27  (c). 
 66.28     (b) For recoveries of overpayments made on or before 
 66.29  September 30, 1996, from the aid to families with dependent 
 66.30  children program including the emergency assistance program, the 
 66.31  commissioner shall reimburse the county agency at a rate of 
 66.32  one-quarter of the recovery made by any method other than 
 66.33  recoupment. 
 66.34     (c) For recoveries of overpayments made after September 30, 
 66.35  1996, from the aid to families with dependent children including 
 66.36  the emergency assistance program and programs funded in whole or 
 67.1   in part by the temporary assistance to needy families program 
 67.2   under section 256J.02, subdivision 2, and recoveries of 
 67.3   nonfederally funded food assistance under section 256J.11, the 
 67.4   commissioner shall reimburse the county agency at a rate of 
 67.5   one-quarter of the recovery made by any method other than 
 67.6   recoupment. 
 67.7      <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 67.8      Sec. 4.  Minnesota Statutes 1998, section 256.741, is 
 67.9   amended by adding a subdivision to read: 
 67.10     Subd. 15.  [CHILD SUPPORT DISTRIBUTION.] The state shall 
 67.11  distribute current child support and maintenance received by the 
 67.12  state to an individual who assigns the right to that support 
 67.13  under subdivision 2, paragraph (a). 
 67.14     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 67.15     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
 67.16  256J.02, subdivision 2, is amended to read: 
 67.17     Subd. 2.  [USE OF MONEY.] State money appropriated for 
 67.18  purposes of this section and TANF block grant money must be used 
 67.19  for: 
 67.20     (1) financial assistance to or on behalf of any minor child 
 67.21  who is a resident of this state under section 256J.12; 
 67.22     (2) employment and training services under this chapter or 
 67.23  chapter 256K; 
 67.24     (3) emergency financial assistance and services under 
 67.25  section 256J.48; 
 67.26     (4) diversionary assistance under section 256J.47; 
 67.27     (5) the health care and human services training and 
 67.28  retention program under chapter 116L, for costs associated with 
 67.29  families with children with incomes below 200 percent of the 
 67.30  federal poverty guidelines; 
 67.31     (6) the pathways program under section 116L.04, subdivision 
 67.32  1a; 
 67.33     (7) welfare-to-work extended employment services for MFIP 
 67.34  participants with severe impairment to employment as defined in 
 67.35  section 268A.15, subdivision 1a; 
 67.36     (8) the family homeless prevention and assistance program 
 68.1   under section 462A.204; 
 68.2      (9) the rent assistance for family stabilization 
 68.3   demonstration project under section 462A.205; and 
 68.4      (10) reimbursements for the federal share of child support 
 68.5   collections passed through to the custodial parent; 
 68.6      (11) programs and pilot projects under chapter 256K; and 
 68.7      (12) program administration under this chapter. 
 68.8      Sec. 6.  Minnesota Statutes 1999 Supplement, section 
 68.9   256J.08, subdivision 86, is amended to read: 
 68.10     Subd. 86.  [UNEARNED INCOME.] "Unearned income" means 
 68.11  income received by a person that does not meet the definition of 
 68.12  earned income.  Unearned income includes income from a contract 
 68.13  for deed, interest, dividends, reemployment compensation, 
 68.14  disability insurance payments, veterans benefits, pension 
 68.15  payments, return on capital investment, insurance payments or 
 68.16  settlements, severance payments, child support and maintenance 
 68.17  payments, and payments for illness or disability whether the 
 68.18  premium payments are made in whole or in part by an employer or 
 68.19  participant. 
 68.20     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 68.21     Sec. 7.  Minnesota Statutes 1998, section 256J.15, is 
 68.22  amended by adding a subdivision to read: 
 68.23     Subd. 3.  [ELIGIBILITY AFTER CASE CLOSURE DUE TO 
 68.24  NONCOMPLIANCE.] (a) An applicant who is a member of an 
 68.25  assistance unit whose MFIP case was closed due to noncompliance 
 68.26  under either section 256J.26, subdivision 1, paragraph (a), 
 68.27  clause (2), item (ii), or 256J.46, subdivision 1, paragraph (b), 
 68.28  clause (3), and who applies for MFIP assistance within six 
 68.29  months of the date of the case closure is considered to be a new 
 68.30  applicant unit for purposes of the property limitations under 
 68.31  section 256J.20 and the payment of assistance provisions under 
 68.32  section 256J.24, subdivision 8.  The county agency must also use 
 68.33  the initial income test under section 256J.21, subdivision 3, in 
 68.34  determining the applicant's eligibility for assistance. 
 68.35     (b) Notwithstanding section 256J.24, subdivisions 5 to 7 
 68.36  and 9, for an applicant who is eligible for MFIP under this 
 69.1   subdivision, for each of the first three months on MFIP the 
 69.2   assistance unit's grant shall be reduced by ten percent of the 
 69.3   applicable MFIP standard of need for an assistance unit of the 
 69.4   same size, with the residual amount of the grant paid to the 
 69.5   assistance unit. 
 69.6      <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 69.7      Sec. 8.  Minnesota Statutes 1999 Supplement, section 
 69.8   256J.21, subdivision 2, is amended to read: 
 69.9      Subd. 2.  [INCOME EXCLUSIONS.] (a) The following must be 
 69.10  excluded in determining a family's available income: 
 69.11     (1) payments for basic care, difficulty of care, and 
 69.12  clothing allowances received for providing family foster care to 
 69.13  children or adults under Minnesota Rules, parts 9545.0010 to 
 69.14  9545.0260 and 9555.5050 to 9555.6265, and payments received and 
 69.15  used for care and maintenance of a third-party beneficiary who 
 69.16  is not a household member; 
 69.17     (2) reimbursements for employment training received through 
 69.18  the Job Training Partnership Act, United States Code, title 29, 
 69.19  chapter 19, sections 1501 to 1792b; 
 69.20     (3) reimbursement for out-of-pocket expenses incurred while 
 69.21  performing volunteer services, jury duty, employment, or 
 69.22  informal carpooling arrangements directly related to employment; 
 69.23     (4) all educational assistance, except the county agency 
 69.24  must count graduate student teaching assistantships, 
 69.25  fellowships, and other similar paid work as earned income and, 
 69.26  after allowing deductions for any unmet and necessary 
 69.27  educational expenses, shall count scholarships or grants awarded 
 69.28  to graduate students that do not require teaching or research as 
 69.29  unearned income; 
 69.30     (5) loans, regardless of purpose, from public or private 
 69.31  lending institutions, governmental lending institutions, or 
 69.32  governmental agencies; 
 69.33     (6) loans from private individuals, regardless of purpose, 
 69.34  provided an applicant or participant documents that the lender 
 69.35  expects repayment; 
 69.36     (7)(i) state income tax refunds; and 
 70.1      (ii) federal income tax refunds; 
 70.2      (8)(i) federal earned income credits; 
 70.3      (ii) Minnesota working family credits; 
 70.4      (iii) state homeowners and renters credits under chapter 
 70.5   290A; and 
 70.6      (iv) federal or state tax rebates; 
 70.7      (9) funds received for reimbursement, replacement, or 
 70.8   rebate of personal or real property when these payments are made 
 70.9   by public agencies, awarded by a court, solicited through public 
 70.10  appeal, or made as a grant by a federal agency, state or local 
 70.11  government, or disaster assistance organizations, subsequent to 
 70.12  a presidential declaration of disaster; 
 70.13     (10) the portion of an insurance settlement that is used to 
 70.14  pay medical, funeral, and burial expenses, or to repair or 
 70.15  replace insured property; 
 70.16     (11) reimbursements for medical expenses that cannot be 
 70.17  paid by medical assistance; 
 70.18     (12) payments by a vocational rehabilitation program 
 70.19  administered by the state under chapter 268A, except those 
 70.20  payments that are for current living expenses; 
 70.21     (13) in-kind income, including any payments directly made 
 70.22  by a third party to a provider of goods and services; 
 70.23     (14) assistance payments to correct underpayments, but only 
 70.24  for the month in which the payment is received; 
 70.25     (15) emergency assistance payments; 
 70.26     (16) funeral and cemetery payments as provided by section 
 70.27  256.935; 
 70.28     (17) nonrecurring cash gifts of $30 or less, not exceeding 
 70.29  $30 per participant in a calendar month; 
 70.30     (18) any form of energy assistance payment made through 
 70.31  Public Law Number 97-35, Low-Income Home Energy Assistance Act 
 70.32  of 1981, payments made directly to energy providers by other 
 70.33  public and private agencies, and any form of credit or rebate 
 70.34  payment issued by energy providers; 
 70.35     (19) Supplemental Security Income, including retroactive 
 70.36  payments; 
 71.1      (20) Minnesota supplemental aid, including retroactive 
 71.2   payments; 
 71.3      (21) proceeds from the sale of real or personal property; 
 71.4      (22) adoption assistance payments under section 259.67; 
 71.5      (23) state-funded family subsidy program payments made 
 71.6   under section 252.32 to help families care for children with 
 71.7   mental retardation or related conditions, consumer support grant 
 71.8   funds under section 256.476, and resources and services for a 
 71.9   disabled household member under one of the home and 
 71.10  community-based waiver services programs under chapter 256B; 
 71.11     (24) interest payments and dividends from property that is 
 71.12  not excluded from and that does not exceed the asset limit; 
 71.13     (25) rent rebates; 
 71.14     (26) income earned by a minor caregiver, minor child 
 71.15  through age 6, or a minor child who is at least a half-time 
 71.16  student in an approved elementary or secondary education 
 71.17  program; 
 71.18     (27) income earned by a caregiver under age 20 who is at 
 71.19  least a half-time student in an approved elementary or secondary 
 71.20  education program; 
 71.21     (28) MFIP child care payments under section 119B.05; 
 71.22     (29) all other payments made through MFIP to support a 
 71.23  caregiver's pursuit of greater self-support; 
 71.24     (30) income a participant receives related to shared living 
 71.25  expenses; 
 71.26     (31) reverse mortgages; 
 71.27     (32) benefits provided by the Child Nutrition Act of 1966, 
 71.28  United States Code, title 42, chapter 13A, sections 1771 to 
 71.29  1790; 
 71.30     (33) benefits provided by the women, infants, and children 
 71.31  (WIC) nutrition program, United States Code, title 42, chapter 
 71.32  13A, section 1786; 
 71.33     (34) benefits from the National School Lunch Act, United 
 71.34  States Code, title 42, chapter 13, sections 1751 to 1769e; 
 71.35     (35) relocation assistance for displaced persons under the 
 71.36  Uniform Relocation Assistance and Real Property Acquisition 
 72.1   Policies Act of 1970, United States Code, title 42, chapter 61, 
 72.2   subchapter II, section 4636, or the National Housing Act, United 
 72.3   States Code, title 12, chapter 13, sections 1701 to 1750jj; 
 72.4      (36) benefits from the Trade Act of 1974, United States 
 72.5   Code, title 19, chapter 12, part 2, sections 2271 to 2322; 
 72.6      (37) war reparations payments to Japanese Americans and 
 72.7   Aleuts under United States Code, title 50, sections 1989 to 
 72.8   1989d; 
 72.9      (38) payments to veterans or their dependents as a result 
 72.10  of legal settlements regarding Agent Orange or other chemical 
 72.11  exposure under Public Law Number 101-239, section 10405, 
 72.12  paragraph (a)(2)(E); 
 72.13     (39) income that is otherwise specifically excluded from 
 72.14  MFIP consideration in federal law, state law, or federal 
 72.15  regulation; 
 72.16     (40) security and utility deposit refunds; 
 72.17     (41) American Indian tribal land settlements excluded under 
 72.18  Public Law Numbers 98-123, 98-124, and 99-377 to the Mississippi 
 72.19  Band Chippewa Indians of White Earth, Leech Lake, and Mille Lacs 
 72.20  reservations and payments to members of the White Earth Band, 
 72.21  under United States Code, title 25, chapter 9, section 331, and 
 72.22  chapter 16, section 1407; 
 72.23     (42) all income of the minor parent's parents and 
 72.24  stepparents when determining the grant for the minor parent in 
 72.25  households that include a minor parent living with parents or 
 72.26  stepparents on MFIP with other children; and 
 72.27     (43) income of the minor parent's parents and stepparents 
 72.28  equal to 200 percent of the federal poverty guideline for a 
 72.29  family size not including the minor parent and the minor 
 72.30  parent's child in households that include a minor parent living 
 72.31  with parents or stepparents not on MFIP when determining the 
 72.32  grant for the minor parent.  The remainder of income is deemed 
 72.33  as specified in section 256J.37, subdivision 1b; 
 72.34     (44) payments made to children eligible for relative 
 72.35  custody assistance under section 257.85; 
 72.36     (45) vendor payments for goods and services made on behalf 
 73.1   of a client unless the client has the option of receiving the 
 73.2   payment in cash; and 
 73.3      (46) the principal portion of a contract for deed payment. 
 73.4      Sec. 9.  Minnesota Statutes 1999 Supplement, section 
 73.5   256J.26, subdivision 1, is amended to read: 
 73.6      Subdivision 1.  [PERSON CONVICTED OF DRUG OFFENSES.] (a) 
 73.7   Applicants or participants who have been convicted of a drug 
 73.8   offense committed after July 1, 1997, may, if otherwise 
 73.9   eligible, receive MFIP benefits subject to the following 
 73.10  conditions: 
 73.11     (1) Benefits for the entire assistance unit must be paid in 
 73.12  vendor form for shelter and utilities during any time the 
 73.13  applicant is part of the assistance unit. 
 73.14     (2) The convicted applicant or participant shall be subject 
 73.15  to random drug testing as a condition of continued eligibility 
 73.16  and following any positive test for an illegal controlled 
 73.17  substance is subject to the following sanctions: 
 73.18     (i) for failing a drug test the first time, the 
 73.19  participant's grant shall be reduced by ten percent of the MFIP 
 73.20  standard of need, prior to making vendor payments for shelter 
 73.21  and utility costs; or 
 73.22     (ii) for failing a drug test two or more times, the 
 73.23  residual amount of the participant's grant after making vendor 
 73.24  payments for shelter and utility costs, if any, must be reduced 
 73.25  by an amount equal to 30 percent of the MFIP standard of need; 
 73.26  or 
 73.27     (ii) for failing a drug test two times, the assistance 
 73.28  unit's MFIP case must be closed, for both the cash and food 
 73.29  portions of MFIP assistance.  This case closure must be in 
 73.30  effect for a minimum of one month.  A county may not impose a 
 73.31  case closure under this provision unless the county first 
 73.32  follows the requirements of section 256J.46, subdivision 1, 
 73.33  paragraph (e). 
 73.34     (3) A participant who fails an initial a drug test the 
 73.35  first time and is under a sanction due to other MFIP program 
 73.36  requirements is considered to have more than one occurrence of 
 74.1   noncompliance, and is subject to the applicable level of 
 74.2   sanction in clause (2)(ii) as specified under section 256J.46, 
 74.3   subdivision 1, paragraph (b). 
 74.4      (b) Applicants requesting only food stamps or participants 
 74.5   receiving only food stamps, who have been convicted of a drug 
 74.6   offense that occurred after July 1, 1997, may, if otherwise 
 74.7   eligible, receive food stamps if the convicted applicant or 
 74.8   participant is subject to random drug testing as a condition of 
 74.9   continued eligibility.  Following a positive test for an illegal 
 74.10  controlled substance, the applicant is subject to the following 
 74.11  sanctions: 
 74.12     (1) for failing a drug test the first time, food stamps 
 74.13  shall be reduced by ten percent of the applicable food stamp 
 74.14  allotment; and 
 74.15     (2) for failing a drug test two or more times, food stamps 
 74.16  shall be reduced by an amount equal to 30 percent of the 
 74.17  applicable food stamp allotment.  
 74.18     (c) For the purposes of this subdivision, "drug offense" 
 74.19  means an offense that occurred after July 1, 1997, of sections 
 74.20  152.021 to 152.025, 152.0261, or 152.096.  Drug offense also 
 74.21  means a conviction in another jurisdiction of the possession, 
 74.22  use, or distribution of a controlled substance, or conspiracy to 
 74.23  commit any of these offenses, if the offense occurred after July 
 74.24  1, 1997, and the conviction is a felony offense in that 
 74.25  jurisdiction, or in the case of New Jersey, a high misdemeanor. 
 74.26     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 74.27     Sec. 10.  Minnesota Statutes 1998, section 256J.32, is 
 74.28  amended by adding a subdivision to read: 
 74.29     Subd. 7a.  [REQUIREMENT TO REPORT TO IMMIGRATION AND 
 74.30  NATURALIZATION SERVICES.] Notwithstanding subdivision 7, the 
 74.31  commissioner shall report to the Immigration and Naturalization 
 74.32  Services all undocumented persons who have been identified 
 74.33  through application verification procedures or by the 
 74.34  self-admission of an applicant for assistance.  Reports made 
 74.35  under this subdivision must comply with the requirements of 
 74.36  section 411A of the Social Security Act, as amended, and United 
 75.1   States Code, title 8, section 1644. 
 75.2      Sec. 11.  Minnesota Statutes 1999 Supplement, section 
 75.3   256J.33, subdivision 4, is amended to read: 
 75.4      Subd. 4.  [MONTHLY INCOME TEST.] A county agency must apply 
 75.5   the monthly income test retrospectively for each month of MFIP 
 75.6   eligibility.  An assistance unit is not eligible when the 
 75.7   countable income equals or exceeds the MFIP standard of need or 
 75.8   the family wage level for the assistance unit.  The income 
 75.9   applied against the monthly income test must include: 
 75.10     (1) gross earned income from employment, prior to mandatory 
 75.11  payroll deductions, voluntary payroll deductions, wage 
 75.12  authorizations, and after the disregards in section 256J.21, 
 75.13  subdivision 4, and the allocations in section 256J.36, unless 
 75.14  the employment income is specifically excluded under section 
 75.15  256J.21, subdivision 2; 
 75.16     (2) gross earned income from self-employment less 
 75.17  deductions for self-employment expenses in section 256J.37, 
 75.18  subdivision 5, but prior to any reductions for personal or 
 75.19  business state and federal income taxes, personal FICA, personal 
 75.20  health and life insurance, and after the disregards in section 
 75.21  256J.21, subdivision 4, and the allocations in section 256J.36; 
 75.22     (3) unearned income after deductions for allowable expenses 
 75.23  in section 256J.37, subdivision 9, and allocations in section 
 75.24  256J.36, unless the income has been specifically excluded in 
 75.25  section 256J.21, subdivision 2; 
 75.26     (4) gross earned income from employment as determined under 
 75.27  clause (1) which is received by a member of an assistance unit 
 75.28  who is a minor child or minor caregiver and less than a 
 75.29  half-time student; 
 75.30     (5) child support and spousal support received or 
 75.31  anticipated to be received by an assistance unit; 
 75.32     (6) the income of a parent when that parent is not included 
 75.33  in the assistance unit; 
 75.34     (7) the income of an eligible relative and spouse who seek 
 75.35  to be included in the assistance unit; and 
 75.36     (8) the unearned income of a minor child included in the 
 76.1   assistance unit. 
 76.2      <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 76.3      Sec. 12.  Minnesota Statutes 1999 Supplement, section 
 76.4   256J.34, subdivision 1, is amended to read: 
 76.5      Subdivision 1.  [PROSPECTIVE BUDGETING.] A county agency 
 76.6   must use prospective budgeting to calculate the assistance 
 76.7   payment amount for the first two months for an applicant who has 
 76.8   not received assistance in this state for at least one payment 
 76.9   month preceding the first month of payment under a current 
 76.10  application.  Notwithstanding subdivision 3, paragraph (a), 
 76.11  clause (2), a county agency must use prospective budgeting for 
 76.12  the first two months for a person who applies to be added to an 
 76.13  assistance unit.  Prospective budgeting is not subject to 
 76.14  overpayments or underpayments unless fraud is determined under 
 76.15  section 256.98. 
 76.16     (a) The county agency must apply the income received or 
 76.17  anticipated in the first month of MFIP eligibility against the 
 76.18  need of the first month.  The county agency must apply the 
 76.19  income received or anticipated in the second month against the 
 76.20  need of the second month. 
 76.21     (b) When the assistance payment for any part of the first 
 76.22  two months is based on anticipated income, the county agency 
 76.23  must base the initial assistance payment amount on the 
 76.24  information available at the time the initial assistance payment 
 76.25  is made. 
 76.26     (c) The county agency must determine the assistance payment 
 76.27  amount for the first two months of MFIP eligibility by budgeting 
 76.28  both recurring and nonrecurring income for those two months. 
 76.29     (d) The county agency must budget the child support income 
 76.30  received or anticipated to be received by an assistance unit to 
 76.31  determine the assistance payment amount from the month of 
 76.32  application through the date in which MFIP eligibility is 
 76.33  determined and assistance is authorized.  Child support income 
 76.34  which has been budgeted to determine the assistance payment in 
 76.35  the initial two months is considered nonrecurring income.  An 
 76.36  assistance unit must forward any payment of child support to the 
 77.1   child support enforcement unit of the county agency following 
 77.2   the date in which assistance is authorized. 
 77.3      <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 77.4      Sec. 13.  Minnesota Statutes 1999 Supplement, section 
 77.5   256J.34, subdivision 4, is amended to read: 
 77.6      Subd. 4.  [SIGNIFICANT CHANGE IN GROSS INCOME.] The county 
 77.7   agency must recalculate the assistance payment when an 
 77.8   assistance unit experiences a significant change, as defined in 
 77.9   section 256J.08, resulting in a reduction in the gross income 
 77.10  received in the payment month from the gross income received in 
 77.11  the budget month.  The county agency must issue a supplemental 
 77.12  assistance payment based on the county agency's best estimate of 
 77.13  the assistance unit's income and circumstances for the payment 
 77.14  month.  Supplemental assistance payments that result from 
 77.15  significant changes are limited to two in a 12-month period 
 77.16  regardless of the reason for the change.  Notwithstanding any 
 77.17  other statute or rule of law, supplementary assistance payments 
 77.18  shall not be made when the significant change in income is the 
 77.19  result of receipt of a lump sum, receipt of an extra paycheck, 
 77.20  business fluctuation in self-employment income, or an assistance 
 77.21  unit member's participation in a strike or other labor 
 77.22  action.  Supplementary assistance payments due to a significant 
 77.23  change in the amount of direct support received must not be made 
 77.24  after the date the assistance unit is required to forward 
 77.25  support to the child support enforcement unit under subdivision 
 77.26  1, paragraph (d). 
 77.27     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 77.28     Sec. 14.  Minnesota Statutes 1998, section 256J.40, is 
 77.29  amended to read: 
 77.30     256J.40 [FAIR HEARINGS.] 
 77.31     Subdivision 1.  [FAIR HEARING PROCESS.] Caregivers 
 77.32  receiving a notice of intent to sanction or a notice of adverse 
 77.33  action that includes a sanction, reduction in benefits, 
 77.34  suspension of benefits, denial of benefits, or termination of 
 77.35  benefits may request a fair hearing.  A request for a fair 
 77.36  hearing must be submitted in writing to the county agency or to 
 78.1   the commissioner and must be mailed within 30 days after a 
 78.2   participant or former participant receives written notice of the 
 78.3   agency's action or within 90 days when a participant or former 
 78.4   participant shows good cause for not submitting the request 
 78.5   within 30 days.  A former participant who receives a notice of 
 78.6   adverse action due to an overpayment may appeal the adverse 
 78.7   action according to the requirements in this section.  Issues 
 78.8   that may be appealed are: 
 78.9      (1) the amount of the assistance payment; 
 78.10     (2) a suspension, reduction, denial, or termination of 
 78.11  assistance; 
 78.12     (3) the basis for an overpayment, the calculated amount of 
 78.13  an overpayment, and the level of recoupment; 
 78.14     (4) the eligibility for an assistance payment; and 
 78.15     (5) the use of protective or vendor payments under section 
 78.16  256J.39, subdivision 2, clauses (1) to (3). 
 78.17     A county agency must not reduce, suspend, or terminate 
 78.18  payment when an aggrieved participant requests a fair hearing 
 78.19  prior to the effective date of the adverse action or within ten 
 78.20  days of the mailing of the notice of adverse action, whichever 
 78.21  is later, unless the participant requests in writing not to 
 78.22  receive continued assistance pending a hearing decision.  
 78.23  Assistance issued pending a fair hearing is subject to recovery 
 78.24  under section 256J.38 when as a result of the fair hearing 
 78.25  decision the participant is determined ineligible for assistance 
 78.26  or the amount of the assistance received.  A county agency may 
 78.27  increase or reduce an assistance payment while an appeal is 
 78.28  pending when the circumstances of the participant change and are 
 78.29  not related to the issue on appeal.  The commissioner's order is 
 78.30  binding on a county agency.  No additional notice is required to 
 78.31  enforce the commissioner's order. 
 78.32     A county agency shall reimburse appellants for reasonable 
 78.33  and necessary expenses of attendance at the hearing, such as 
 78.34  child care and transportation costs and for the transportation 
 78.35  expenses of the appellant's witnesses and representatives to and 
 78.36  from the hearing.  Reasonable and necessary expenses do not 
 79.1   include legal fees.  Fair hearings must be conducted at a 
 79.2   reasonable time and date by an impartial referee employed by the 
 79.3   department.  The hearing may be conducted by telephone or at a 
 79.4   site that is readily accessible to persons with disabilities. 
 79.5      The appellant may introduce new or additional evidence 
 79.6   relevant to the issues on appeal.  Recommendations of the 
 79.7   appeals referee and decisions of the commissioner must be based 
 79.8   on evidence in the hearing record and are not limited to a 
 79.9   review of the county agency action.  
 79.10     Subd. 2.  [EXCEPTION; AUTOMATIC HEARING.] No written 
 79.11  request is required to initiate a fair hearing under subdivision 
 79.12  1 if the participant is otherwise subject to case closure due to 
 79.13  noncompliance under section 256J.46, subdivision 1, paragraph 
 79.14  (b), clause (3). 
 79.15     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 79.16     Sec. 15.  Minnesota Statutes 1998, section 256J.45, 
 79.17  subdivision 3, is amended to read: 
 79.18     Subd. 3.  [GOOD CAUSE EXEMPTIONS FOR NOT ATTENDING 
 79.19  ORIENTATION.] (a) The county agency shall not impose the 
 79.20  sanction under section 256J.46 if it determines that the 
 79.21  participant has good cause for failing to attend orientation.  
 79.22  Good cause exists when: 
 79.23     (1) appropriate child care is not available; 
 79.24     (2) the participant is ill or injured; 
 79.25     (3) a family member is ill and needs care by the 
 79.26  participant that prevents the participant from attending 
 79.27  orientation.  For a caregiver with a child or adult in the 
 79.28  household who meets the disability or medical criteria for home 
 79.29  care services under section 256B.0627, subdivision 1, paragraph 
 79.30  (c) or a home and community-based waiver services program under 
 79.31  chapter 256B, or meets the criteria for severe emotional 
 79.32  disturbance under section 245.4871, subdivision 6, or for 
 79.33  serious and persistent mental illness under section 245.462, 
 79.34  subdivision 20, paragraph (c), good cause also exists when an 
 79.35  interruption in the provision of those services occurs which 
 79.36  prevents the participant from attending orientation; 
 80.1      (4) the caregiver is unable to secure necessary 
 80.2   transportation; 
 80.3      (5) the caregiver is in an emergency situation that 
 80.4   prevents orientation attendance; 
 80.5      (6) the orientation conflicts with the caregiver's work, 
 80.6   training, or school schedule; or 
 80.7      (7) the caregiver documents other verifiable impediments to 
 80.8   orientation attendance beyond the caregiver's control.  
 80.9      (b) Counties must work with clients to provide child care 
 80.10  and transportation necessary to ensure a caregiver has every 
 80.11  opportunity to attend orientation. 
 80.12     Sec. 16.  Minnesota Statutes 1999 Supplement, section 
 80.13  256J.46, subdivision 1, is amended to read: 
 80.14     Subdivision 1.  [SANCTIONS FOR PARTICIPANTS NOT COMPLYING 
 80.15  WITH PROGRAM REQUIREMENTS.] (a) A participant who fails without 
 80.16  good cause to comply with the requirements of this chapter, and 
 80.17  who is not subject to a sanction under subdivision 2, shall be 
 80.18  subject to a sanction as provided in this subdivision. 
 80.19     For purposes of this section, an occurrence of 
 80.20  noncompliance means a failure by a participant, without good 
 80.21  cause, to comply with the requirements of this chapter.  Each 
 80.22  month that a participant in an assistance unit fails to comply 
 80.23  with a requirement of this chapter shall be considered a 
 80.24  separate occurrence of noncompliance for which the assistance 
 80.25  unit's grant must be sanctioned as provided in this section.  In 
 80.26  applying a sanction to a two-parent assistance unit, each 
 80.27  occurrence of noncompliance by either participant shall be 
 80.28  considered a separate occurrence of noncompliance for which the 
 80.29  assistance unit is subject to sanction. 
 80.30     A sanction under this subdivision becomes effective the 
 80.31  month following the month in which a required notice is given.  
 80.32  A sanction must not be imposed when a participant comes into 
 80.33  compliance with the requirements for orientation under section 
 80.34  256J.45 or third-party liability for medical services under 
 80.35  section 256J.30, subdivision 10, prior to the effective date of 
 80.36  the sanction.  A sanction must not be imposed when a participant 
 81.1   comes into compliance with the requirements for employment and 
 81.2   training services under sections 256J.49 to 256J.72 ten days 
 81.3   prior to the effective date of the sanction.  For purposes of 
 81.4   this subdivision, each month that a participant fails to comply 
 81.5   with a requirement of this chapter shall be considered a 
 81.6   separate occurrence of noncompliance.  A participant who has had 
 81.7   one or more sanctions imposed must remain in compliance with the 
 81.8   provisions of this chapter for six months in order for a 
 81.9   subsequent occurrence of noncompliance to be considered a first 
 81.10  occurrence.  
 81.11     (b) Sanctions for noncompliance shall be imposed as follows:
 81.12     (1) For the first occurrence of noncompliance by a 
 81.13  participant in a single-parent household or by one participant 
 81.14  in a two-parent household an assistance unit, the assistance 
 81.15  unit's grant shall be reduced by ten percent of the MFIP 
 81.16  standard of need for an assistance unit of the same size with 
 81.17  the residual grant paid to the participant.  The reduction in 
 81.18  the grant amount must be in effect for a minimum of one month 
 81.19  and shall be removed in the month following the month that the 
 81.20  participant returns to compliance.  
 81.21     (2) For a second or subsequent, third, fourth, or fifth 
 81.22  occurrence of noncompliance, or when both participants in a 
 81.23  two-parent household are out of compliance at the same time, the 
 81.24  assistance unit's shelter costs shall be vendor paid up to the 
 81.25  amount of the cash portion of the MFIP grant for which 
 81.26  the participant's assistance unit is eligible.  At county 
 81.27  option, the assistance unit's utilities may also be vendor paid 
 81.28  up to the amount of the cash portion of the MFIP grant remaining 
 81.29  after vendor payment of the assistance unit's shelter costs.  
 81.30  The residual amount of the grant after vendor payment, if any, 
 81.31  must be reduced by an amount equal to 30 percent of the MFIP 
 81.32  standard of need for an assistance unit of the same size before 
 81.33  the residual grant is paid to the assistance unit.  The 
 81.34  reduction in the grant amount must be in effect for a minimum of 
 81.35  one month and shall be removed in the month following the month 
 81.36  that a the participant in a one-parent household assistance unit 
 82.1   returns to compliance.  In a two-parent household assistance 
 82.2   unit, the grant reduction must be in effect for a minimum of one 
 82.3   month and shall be removed in the month following the month both 
 82.4   participants return to compliance.  The vendor payment of 
 82.5   shelter costs and, if applicable, utilities shall be removed six 
 82.6   months after the month in which the participant or participants 
 82.7   return to compliance. 
 82.8      (3) For a sixth occurrence of noncompliance, the assistance 
 82.9   unit's MFIP case must be closed, for both the cash and food 
 82.10  portions of MFIP assistance.  This case closure must be in 
 82.11  effect for a minimum of one full month.  A county may not impose 
 82.12  a case closure under this clause before an automatic fair 
 82.13  hearing is held as required by section 256J.40, subdivision 2.  
 82.14  The hearing may only be waived in writing.  If a participant 
 82.15  waives the right to this hearing, or the participant or the 
 82.16  participant's representative fails to appear at the hearing, the 
 82.17  case closure must be imposed. 
 82.18     (c) No later than during the second month that Before a 
 82.19  sanction under paragraph (b), clause (2), is in effect due to 
 82.20  noncompliance with employment services (1), may be imposed, the 
 82.21  participant's case file must be reviewed to determine if: job 
 82.22  counselor must initiate personal contact with the participant by 
 82.23  attempting to have either a personal meeting or a telephone 
 82.24  conversation with the participant.  The job counselor shall 
 82.25  thoroughly review the exemption categories and good cause 
 82.26  exception categories to determine if the participant falls under 
 82.27  one or more of these categories.  The participant's case file 
 82.28  must also be reviewed by county staff or employment and training 
 82.29  service provider staff other than the participant's current job 
 82.30  counselor to determine if: 
 82.31     (i) the continued noncompliance can be explained and 
 82.32  mitigated by providing a needed preemployment activity, as 
 82.33  defined in section 256J.49, subdivision 13, clause (16); 
 82.34     (ii) the participant qualifies for a good cause exception 
 82.35  under section 256J.57; or 
 82.36     (iii) the participant qualifies for an exemption under 
 83.1   section 256J.56. 
 83.2      If the lack of an identified activity can explain the 
 83.3   noncompliance, the county must work with the participant to 
 83.4   provide the identified activity, and the county must restore the 
 83.5   participant's grant amount to the full amount for which the 
 83.6   assistance unit is eligible.  The grant must be restored 
 83.7   retroactively to the first day of the month in which the 
 83.8   participant was found to lack preemployment activities or to 
 83.9   qualify for an exemption or good cause exception. 
 83.10     If the participant is found to qualify for a good cause 
 83.11  exception or an exemption, the county must restore the 
 83.12  participant's grant to the full amount for which the assistance 
 83.13  unit is eligible.  
 83.14     (d) At the county agency's option, the provisions of this 
 83.15  paragraph may be followed in place of the provisions in 
 83.16  paragraph (e).  During the month that a sanction is in effect 
 83.17  for a second occurrence of noncompliance, the participant may be 
 83.18  offered a face-to-face intervention in the participant's home by 
 83.19  a county representative who is knowledgeable about family 
 83.20  intervention strategies.  During this intervention the 
 83.21  participant's needs and possible reasons for noncompliance must 
 83.22  be assessed, and an identification of existing resources that 
 83.23  could be used to assist the participant to return to compliance 
 83.24  must be made.  The information gathered during this intervention 
 83.25  must be reported to the participant's job counselor, along with 
 83.26  any recommendations for referrals to existing resources or 
 83.27  modifications to the activities in the participant's approved 
 83.28  plan under section 256J.52.  The county representative who 
 83.29  conducts the intervention required under this paragraph may be 
 83.30  an existing county staff person, staff from a nonprofit agency, 
 83.31  or a trained paraprofessional. 
 83.32     (e) Before a sanction may be imposed under paragraph (b), 
 83.33  clause (2), for a second occurrence of noncompliance, the 
 83.34  participant's case must be reviewed by the county agency.  If 
 83.35  this review confirms that the sanction process under this 
 83.36  subdivision has been appropriately implemented, the county must 
 84.1   attempt to contact the participant, through a written notice and 
 84.2   by telephone, to offer a face-to-face meeting with county staff 
 84.3   or employment and training service provider staff, unless the 
 84.4   participant received a face-to-face meeting as part of the 
 84.5   personal contact and case file review provisions under paragraph 
 84.6   (c).  If the participant received a face-to-face meeting under 
 84.7   paragraph (c), the county must meet the requirements in this 
 84.8   paragraph as a case file review, but no additional face-to-face 
 84.9   meeting with the participant is required. 
 84.10     If the participant does not respond to the written notice 
 84.11  and cannot be reached by phone, a county representative must 
 84.12  attempt to visit the participant at the participant's home 
 84.13  before imposing the sanction under paragraph (b), clause (2). 
 84.14     The face-to-face meeting must be conducted by staff other 
 84.15  than the participant's current job counselor.  At this meeting 
 84.16  the participant's plan and the continued noncompliance must be 
 84.17  reviewed, and the staff must: 
 84.18     (1) identify the specific requirements the participant is 
 84.19  not complying with and what the participant must do to comply; 
 84.20     (2) determine if the participant qualifies for a good cause 
 84.21  exception under section 256J.57; 
 84.22     (3) determine if the participant qualifies for an exemption 
 84.23  under section 256J.56; 
 84.24     (4) seek to determine the appropriateness of the activities 
 84.25  in the participant's plan; 
 84.26     (5) explain what will happen if the participant continues 
 84.27  to remain out of compliance with program requirements; 
 84.28     (6) identify other resources that may be available to meet 
 84.29  the needs of the participant's family; and 
 84.30     (7) inform the participant of the right to appeal the 
 84.31  sanction under section 256J.40, subdivision 1.  
 84.32     All contacts with the participant and attempts to contact 
 84.33  the participant regarding the sanction must be documented in the 
 84.34  case file.  If the participant is found to qualify for a good 
 84.35  cause exception or an exemption, the county must restore the 
 84.36  participant's grant to the full amount for which the assistance 
 85.1   unit is eligible.  If one or more of the activities in the 
 85.2   participant's plan is no longer appropriate, the plan must be 
 85.3   revised to reflect that determination, and the sanction under 
 85.4   paragraph (b), clause (2), may not be imposed.  If the 
 85.5   participant does not respond to the county's efforts to 
 85.6   establish face-to-face contact, or when contacted chooses not to 
 85.7   comply with the program's requirements and does not qualify for 
 85.8   a good cause exception or an exemption, the sanction under 
 85.9   paragraph (b), clause (2), must be imposed.  
 85.10     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 85.11     Sec. 17.  Minnesota Statutes 1999 Supplement, section 
 85.12  256J.46, subdivision 2, is amended to read: 
 85.13     Subd. 2.  [SANCTIONS FOR REFUSAL TO COOPERATE WITH SUPPORT 
 85.14  REQUIREMENTS.] An MFIP caregiver whose only noncompliance with a 
 85.15  program requirement is due to noncooperation with support 
 85.16  requirements under section 256.741 is not subject to sanction as 
 85.17  specified in subdivision 1.  The grant of an MFIP caregiver who 
 85.18  refuses to cooperate, as determined by the child support 
 85.19  enforcement agency, with support requirements under section 
 85.20  256.741, shall be subject to sanction as specified in this 
 85.21  subdivision.  The assistance unit's grant must be reduced by 25 
 85.22  percent of the applicable MFIP standard of need.  The residual 
 85.23  amount of the grant, if any, must be paid to the caregiver.  A 
 85.24  sanction under this subdivision becomes effective the first 
 85.25  month following the month in which a required notice is given.  
 85.26  A sanction must not be imposed when a caregiver comes into 
 85.27  compliance with the requirements under section 256.741 prior to 
 85.28  the effective date of the sanction.  The sanction shall be 
 85.29  removed in the month following the month that the caregiver 
 85.30  cooperates with the support requirements.  Each month that an 
 85.31  MFIP caregiver fails to comply with the requirements of section 
 85.32  256.741 must be considered a separate occurrence of 
 85.33  noncompliance.  An MFIP caregiver who has had one or more 
 85.34  sanctions imposed under this subdivision must remain in 
 85.35  compliance with the requirements of section 256.741 for six 
 85.36  months in order for a subsequent sanction to be considered a 
 86.1   first occurrence. 
 86.2      <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 86.3      Sec. 18.  Minnesota Statutes 1999 Supplement, section 
 86.4   256J.46, subdivision 2a, is amended to read: 
 86.5      Subd. 2a.  [DUAL SANCTIONS.] (a) Notwithstanding the 
 86.6   provisions of subdivisions 1 and 2, for a participant subject to 
 86.7   a sanction for refusal to comply with child support requirements 
 86.8   under subdivision 2 and subject to a concurrent sanction for 
 86.9   refusal to cooperate with other program requirements under 
 86.10  subdivision 1, sanctions shall be imposed in the manner 
 86.11  prescribed in this subdivision. 
 86.12     A participant who has had one or more sanctions imposed 
 86.13  under this subdivision must remain in compliance with the 
 86.14  provisions of this chapter for six months in order for a 
 86.15  subsequent occurrence of noncompliance to be considered a first 
 86.16  occurrence.  Any vendor payment of shelter costs or utilities 
 86.17  under this subdivision must remain in effect for six months 
 86.18  after the month in which the participant is no longer subject to 
 86.19  sanction under subdivision 1. 
 86.20     (b) If the participant was subject to sanction for: 
 86.21     (i) noncompliance under subdivision 1 before being subject 
 86.22  to sanction for noncooperation under subdivision 2; or 
 86.23     (ii) noncooperation under subdivision 2 before being 
 86.24  subject to sanction for noncompliance under subdivision 1; 
 86.25  under either subdivision 1 or 2 before being subject to sanction 
 86.26  under the other of those subdivisions, the participant shall be 
 86.27  sanctioned as provided in subdivision 1, paragraph (b), clause 
 86.28  clauses (2) and (3), and the requirement that the county conduct 
 86.29  a review as specified in subdivision 1, paragraph (c), remains 
 86.30  in effect. 
 86.31     (c) A participant who first becomes subject to sanction 
 86.32  under both subdivisions 1 and 2 in the same month is subject to 
 86.33  sanction as follows: 
 86.34     (i) in the first month of noncompliance and noncooperation, 
 86.35  the participant's grant must be reduced by 25 percent of the 
 86.36  applicable MFIP standard of need, with any residual amount paid 
 87.1   to the participant; 
 87.2      (ii) in the second and subsequent months of noncompliance 
 87.3   and noncooperation, the participant shall be sanctioned as 
 87.4   provided in subdivision 1, paragraph (b), clause clauses (2) and 
 87.5   (3). 
 87.6      The requirement that the county conduct a review as 
 87.7   specified in subdivision 1, paragraph (c), remains in effect. 
 87.8      (d) A participant remains subject to sanction under 
 87.9   subdivision 2 if the participant: 
 87.10     (i) returns to compliance and is no longer subject to 
 87.11  sanction under subdivision 1; or 
 87.12     (ii) has the sanction under subdivision 1, paragraph (b), 
 87.13  removed upon completion of the review under subdivision 1, 
 87.14  paragraph (c). 
 87.15     A participant remains subject to sanction under subdivision 
 87.16  1, paragraph (b), if the participant cooperates and is no longer 
 87.17  subject to sanction under subdivision 2. 
 87.18     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 87.19     Sec. 19.  Minnesota Statutes 1998, section 256J.46, is 
 87.20  amended by adding a subdivision to read: 
 87.21     Subd. 3.  [SANCTION STATUS AFTER CASE CLOSURE DUE TO 
 87.22  NONCOMPLIANCE.] An applicant whose MFIP case was closed due to 
 87.23  noncompliance under subdivision 1, paragraph (b), clause (3), 
 87.24  who applies for MFIP assistance within six months of the date of 
 87.25  the case closure, and who is determined to be eligible for MFIP 
 87.26  assistance, is considered to have a first occurrence of 
 87.27  noncompliance under subdivision 1.  The applicant must remain in 
 87.28  compliance with the provisions of this chapter in order for a 
 87.29  subsequent occurrence of noncompliance to be considered a first 
 87.30  occurrence. 
 87.31     <b>EFFECTIVE DATE:</b>  This section is effective January 1, 2001. 
 87.32     Sec. 20.  Minnesota Statutes 1998, section 256J.47, 
 87.33  subdivision 1, is amended to read: 
 87.34     Subdivision 1.  [ELIGIBILITY.] A family is eligible to 
 87.35  receive diversionary assistance once every 36 12 months if: 
 87.36     (1) a family member has resided in this state for at least 
 88.1   30 days; 
 88.2      (2) the caregiver provides verification that the caregiver 
 88.3   has either experienced an unexpected occurrence that makes it 
 88.4   impossible to retain or obtain employment or the caregiver has a 
 88.5   temporary loss of income, which is not due to refusing to accept 
 88.6   or terminating suitable employment as defined in section 
 88.7   256J.49, without good cause under section 256J.57, resulting in 
 88.8   an emergency; 
 88.9      (3) the caregiver is at risk of MFIP-S eligibility if 
 88.10  diversionary assistance is not provided and household income is 
 88.11  below 140 200 percent of the federal poverty guidelines; and 
 88.12     (4) the diversionary assistance will resolve the emergency 
 88.13  and divert the family from applying for MFIP-S. 
 88.14     For purposes of this section, diversionary assistance means 
 88.15  a one-time lump-sum payment to an individual or third-party 
 88.16  vendor to prevent long-term receipt of public assistance. 
 88.17     Sec. 21.  Minnesota Statutes 1998, section 256J.49, 
 88.18  subdivision 13, is amended to read: 
 88.19     Subd. 13.  [WORK ACTIVITY.] "Work activity" means any 
 88.20  activity in a participant's approved employment plan that is 
 88.21  tied to the participant's employment goal.  For purposes of the 
 88.22  MFIP-S MFIP program, any activity that is included in a 
 88.23  participant's approved employment plan meets the definition of 
 88.24  work activity as counted under the federal participation 
 88.25  standards.  Work activity includes, but is not limited to: 
 88.26     (1) unsubsidized employment; 
 88.27     (2) subsidized private sector or public sector employment, 
 88.28  including grant diversion as specified in section 256J.69; 
 88.29     (3) work experience, including CWEP as specified in section 
 88.30  256J.67, and including work associated with the refurbishing of 
 88.31  publicly assisted housing if sufficient private sector 
 88.32  employment is not available; 
 88.33     (4) on-the-job training as specified in section 256J.66; 
 88.34     (5) job search, either supervised or unsupervised; 
 88.35     (6) job readiness assistance; 
 88.36     (7) job clubs, including job search workshops; 
 89.1      (8) job placement; 
 89.2      (9) job development; 
 89.3      (10) job-related counseling; 
 89.4      (11) job coaching; 
 89.5      (12) job retention services; 
 89.6      (13) job-specific training or education; 
 89.7      (14) job skills training directly related to employment; 
 89.8      (15) the self-employment investment demonstration (SEID), 
 89.9   as specified in section 256J.65; 
 89.10     (16) preemployment activities, based on availability and 
 89.11  resources, such as volunteer work, literacy programs and related 
 89.12  activities, citizenship and classes, English as a second 
 89.13  language (ESL) classes as limited by the provisions of section 
 89.14  256J.52, subdivisions 3, paragraph (d), and 5, paragraph (c), or 
 89.15  participation in dislocated worker services, chemical dependency 
 89.16  treatment, mental health services, peer group networks, 
 89.17  displaced homemaker programs, strength-based resiliency 
 89.18  training, parenting education, or other programs designed to 
 89.19  help families reach their employment goals and enhance their 
 89.20  ability to care for their children; 
 89.21     (17) community service programs; 
 89.22     (18) vocational educational training or educational 
 89.23  programs that can reasonably be expected to lead to employment, 
 89.24  as limited by the provisions of section 256J.53; 
 89.25     (19) apprenticeships; 
 89.26     (20) satisfactory attendance in general educational 
 89.27  development diploma classes or an adult diploma program; 
 89.28     (21) satisfactory attendance at secondary school, if the 
 89.29  participant has not received a high school diploma; 
 89.30     (22) adult basic education classes; 
 89.31     (23) internships; 
 89.32     (24) bilingual employment and training services; 
 89.33     (25) providing child care services to a participant who is 
 89.34  working in a community service program; and 
 89.35     (26) activities included in a safety plan that is developed 
 89.36  under section 256J.52, subdivision 6. 
 90.1      Sec. 22.  Minnesota Statutes 1998, section 256J.50, 
 90.2   subdivision 5, is amended to read: 
 90.3      Subd. 5.  [PARTICIPATION REQUIREMENTS FOR SINGLE-PARENT AND 
 90.4   TWO-PARENT ALL CASES.] (a) A county must establish a uniform 
 90.5   schedule for requiring participation by single parents.  
 90.6   Mandatory participation must be required within six months of 
 90.7   eligibility for cash assistance.  For two-parent all cases, 
 90.8   participation is required concurrent with the receipt of MFIP-S 
 90.9   MFIP cash assistance. 
 90.10     (b) Beginning January 1, 1998, with the exception of 
 90.11  caregivers required to attend high school under the provisions 
 90.12  of section 256J.54, subdivision 5, MFIP caregivers, upon 
 90.13  completion of the secondary assessment, must develop an 
 90.14  employment plan and participate in work activities. 
 90.15     (c) Upon completion of the secondary assessment: 
 90.16     (1) In single-parent families with no children under six 
 90.17  years of age, the job counselor and the caregiver must develop 
 90.18  an employment plan that includes 20 to 35 hours per week of work 
 90.19  activities for the period January 1, 1998, to September 30, 
 90.20  1998; 25 to 35 hours of work activities per week in federal 
 90.21  fiscal year 1999; and 30 to 35 hours per week of work activities 
 90.22  in federal fiscal year 2000 and thereafter. 
 90.23     (2) In single-parent families with a child under six years 
 90.24  of age, the job counselor and the caregiver must develop an 
 90.25  employment plan that includes 20 to 35 hours per week of work 
 90.26  activities. 
 90.27     (3) In two-parent families, the job counselor and the 
 90.28  caregivers must develop employment plans which result in a 
 90.29  combined total of at least 55 hours per week of work activities. 
 90.30     Sec. 23.  Minnesota Statutes 1998, section 256J.50, 
 90.31  subdivision 7, is amended to read: 
 90.32     Subd. 7.  [LOCAL SERVICE UNIT PLAN.] (a) Each local or 
 90.33  county service unit shall prepare and submit a plan as specified 
 90.34  in section 268.88. 
 90.35     (b) The plan must include a description of how projects 
 90.36  funded under the local intervention grants for self-sufficiency 
 91.1   in section 256J.625, subdivisions 2 and 3, operate in the local 
 91.2   service unit, including: 
 91.3      (1) the target populations of hard-to-employ participants 
 91.4   and working participants in need of job retention and wage 
 91.5   advancement services, with a description of how individual 
 91.6   participant needs will be met; 
 91.7      (2) services that will be provided which may include paid 
 91.8   work experience, enhanced mental health services, outreach to 
 91.9   sanctioned families, child care for social services, child care 
 91.10  transition year set-aside, homeless and housing advocacy, and 
 91.11  transportation; 
 91.12     (3) projected expenditures by activity; 
 91.13     (4) anticipated program outcomes including the anticipated 
 91.14  impact the intervention efforts will have on performance 
 91.15  measures under section 256J.751 and on reducing the number of 
 91.16  MFIP participants expected to reach their 60-month time limit; 
 91.17  and 
 91.18     (5) a description of services that are provided or will be 
 91.19  provided to MFIP participants affected by chemical dependency, 
 91.20  mental health issues, learning disabilities, or family violence. 
 91.21     Each plan must demonstrate how the county or tribe is 
 91.22  working within its organization and with other organizations in 
 91.23  the community to serve hard-to-employ populations, including how 
 91.24  organizations in the community were engaged in planning for use 
 91.25  of these funds, services other entities will provide under the 
 91.26  plan, and whether multicounty or regional strategies are being 
 91.27  implemented as part of this plan. 
 91.28     (c) Activities and expenditures in the plan must enhance or 
 91.29  supplement MFIP activities without supplanting existing 
 91.30  activities and expenditures.  However, this paragraph does not 
 91.31  require a county to maintain either:  
 91.32     (1) its current provision of child care assistance to MFIP 
 91.33  families through the expenditure of county resources under 
 91.34  chapter 256E for social services child care assistance if funds 
 91.35  are appropriated by another law for an MFIP social services 
 91.36  child care pool; 
 92.1      (2) its current provision of transition-year child care 
 92.2   assistance through the expenditure of county resources if funds 
 92.3   are appropriated by another law for this purpose; or 
 92.4      (3) its current provision of intensive ESL programs through 
 92.5   the expenditure of county resources if funds are appropriated by 
 92.6   another law for intensive ESL grants. 
 92.7      (d) The plan required under this subdivision must be 
 92.8   approved before the local or county service unit is eligible to 
 92.9   receive funds under section 256J.625, subdivisions 2 and 3. 
 92.10     Sec. 24.  Minnesota Statutes 1999 Supplement, section 
 92.11  256J.52, subdivision 3, is amended to read: 
 92.12     Subd. 3.  [JOB SEARCH; JOB SEARCH SUPPORT PLAN.] (a) If, 
 92.13  after the initial assessment, the job counselor determines that 
 92.14  the participant possesses sufficient skills that the participant 
 92.15  is likely to succeed in obtaining suitable employment, the 
 92.16  participant must conduct job search for a period of up to eight 
 92.17  weeks, for at least 30 hours per week.  The participant must 
 92.18  accept any offer of suitable employment.  Upon agreement by the 
 92.19  job counselor and the participant, a job search support plan may 
 92.20  limit a job search to jobs that are consistent with the 
 92.21  participant's employment goal.  The job counselor and 
 92.22  participant must develop a job search support plan which 
 92.23  specifies, at a minimum:  whether the job search is to be 
 92.24  supervised or unsupervised; support services that will be 
 92.25  provided while the participant conducts job search activities; 
 92.26  the courses necessary to obtain certification or licensure, if 
 92.27  applicable, and after obtaining the license or certificate, the 
 92.28  client must comply with subdivision 5; and how frequently the 
 92.29  participant must report to the job counselor on the status of 
 92.30  the participant's job search activities.  The job search support 
 92.31  plan may also specify that the participant fulfill a specified 
 92.32  portion no more than half of the required hours of job search 
 92.33  through attending adult basic education or English as a second 
 92.34  language classes. 
 92.35     (b) During the eight-week job search period, either the job 
 92.36  counselor or the participant may request a review of the 
 93.1   participant's job search plan and progress towards obtaining 
 93.2   suitable employment.  If a review is requested by the 
 93.3   participant, the job counselor must concur that the review is 
 93.4   appropriate for the participant at that time.  If a review is 
 93.5   conducted, the job counselor may make a determination to conduct 
 93.6   a secondary assessment prior to the conclusion of the job search.
 93.7      (c) Failure to conduct the required job search, to accept 
 93.8   any offer of suitable employment, to develop or comply with a 
 93.9   job search support plan, or voluntarily quitting suitable 
 93.10  employment without good cause results in the imposition of a 
 93.11  sanction under section 256J.46.  If at the end of eight weeks 
 93.12  the participant has not obtained suitable employment, the job 
 93.13  counselor must conduct a secondary assessment of the participant 
 93.14  under subdivision 3. 
 93.15     (d) In order for an English as a second language (ESL) 
 93.16  class to be an approved work activity, a participant must be 
 93.17  below a spoken language proficiency level of SPL5 or its 
 93.18  equivalent, as measured by a nationally recognized test.  A 
 93.19  participant may not be approved for more than a total of 24 
 93.20  months of ESL activities while participating in the employment 
 93.21  and training services component of MFIP.  In approving ESL as a 
 93.22  work activity, the job counselor must give preference to 
 93.23  enrollment in an intensive ESL program, if one is available, 
 93.24  over a regular ESL program. 
 93.25     Sec. 25.  Minnesota Statutes 1999 Supplement, section 
 93.26  256J.52, subdivision 5, is amended to read: 
 93.27     Subd. 5.  [EMPLOYMENT PLAN; CONTENTS.] (a) Based on the 
 93.28  secondary assessment under subdivision 4, the job counselor and 
 93.29  the participant must develop an employment plan for the 
 93.30  participant that includes specific activities that are tied to 
 93.31  an employment goal and a plan for long-term self-sufficiency, 
 93.32  and that is designed to move the participant along the most 
 93.33  direct path to unsubsidized employment.  The employment plan 
 93.34  must list the specific steps that will be taken to obtain 
 93.35  employment and a timetable for completion of each of the steps.: 
 93.36     (1) take into consideration the participant's physical 
 94.1   capacity, skills, experience, health and safety, family 
 94.2   responsibilities, place of residence, and child care and other 
 94.3   supportive service needs; 
 94.4      (2) be based on available resources and employment 
 94.5   opportunities; 
 94.6      (3) specify the services to be provided by the employment 
 94.7   and training service provider or other providers to be utilized 
 94.8   by the participant; 
 94.9      (4) specify the work activities under section 256J.49, 
 94.10  subdivision 13, in which the participant will participate; 
 94.11     (5) specify the provision of necessary supportive services 
 94.12  such as child care and transportation assistance and skill 
 94.13  development activities; 
 94.14     (6) reflect an effort to arrange mandatory activities so 
 94.15  that those activities do not interfere with the participant's 
 94.16  access to available English as a second language classes or 
 94.17  adult basic education classes, and to the extent possible, 
 94.18  reflect the preferences of the participant; 
 94.19     (7) include a written agreement between the employment and 
 94.20  training provider and the participant that outlines a reasonable 
 94.21  schedule for completing the plan, including specific completion 
 94.22  deadlines; and 
 94.23     (8) specify the participant's long-term employment goal 
 94.24  that will lead to self-sufficiency and how the participant will 
 94.25  move to unsubsidized employment.  A participant must be 
 94.26  counseled to set realistic goals which take into account the 
 94.27  long term needs of the participant and the participant's 
 94.28  family.  Upon agreement by the job counselor and the 
 94.29  participant, the employment plan may limit a job search to jobs 
 94.30  that are consistent with the participant's employment goal. 
 94.31     (b) As part of the development of the participant's 
 94.32  employment plan, the participant shall have the option of 
 94.33  selecting from among the vendors or resources that the job 
 94.34  counselor determines will be effective in supplying one or more 
 94.35  of the services necessary to meet the employment goals specified 
 94.36  in the participant's plan. In compiling the list of vendors and 
 95.1   resources that the job counselor determines would be effective 
 95.2   in meeting the participant's employment goals, the job counselor 
 95.3   must determine that adequate financial resources are available 
 95.4   for the vendors or resources ultimately selected by the 
 95.5   participant. 
 95.6      (c) In order for an English as a second language (ESL) 
 95.7   class to be an approved work activity, a participant must be 
 95.8   below a spoken language proficiency level of SPL5 or its 
 95.9   equivalent, as measured by a nationally recognized test.  A 
 95.10  participant may not be approved for more than a total of 24 
 95.11  months of ESL activities while participating in the employment 
 95.12  and training services component of MFIP.  In approving ESL as a 
 95.13  work activity, the job counselor must give preference to 
 95.14  enrollment in an intensive ESL program, if one is available, 
 95.15  over a regular ESL program. 
 95.16     (d) The job counselor and the participant must sign the 
 95.17  developed plan to indicate agreement between the job counselor 
 95.18  and the participant on the contents of the plan. 
 95.19     Sec. 26.  Minnesota Statutes 1998, section 256J.52, is 
 95.20  amended by adding a subdivision to read: 
 95.21     Subd. 5b.  [EMPLOYMENT ACTIVITIES REQUIRED.] The job 
 95.22  counselor must ensure that, by the fourth month of participation 
 95.23  in the employment and training services component, at least half 
 95.24  of a participant's required hours of work activities are met 
 95.25  through one or a combination of the activities listed in section 
 95.26  256J.49, subdivision 13, clause (1), (2), (3), (4), (19), or 
 95.27  (23). 
 95.28     Sec. 27.  Minnesota Statutes 1999 Supplement, section 
 95.29  256J.56, is amended to read: 
 95.30     256J.56 [EMPLOYMENT AND TRAINING SERVICES COMPONENT; 
 95.31  EXEMPTIONS.] 
 95.32     (a) An MFIP caregiver is exempt from the requirements of 
 95.33  sections 256J.52 to 256J.55 if the caregiver belongs to any of 
 95.34  the following groups: 
 95.35     (1) individuals who are age 60 or older; 
 95.36     (2) individuals who are suffering from a professionally 
 96.1   certified permanent or temporary illness, injury, or incapacity 
 96.2   which is expected to continue for more than 30 days and which 
 96.3   prevents the person from obtaining or retaining employment.  
 96.4   Persons in this category with a temporary illness, injury, or 
 96.5   incapacity must be reevaluated at least quarterly; 
 96.6      (3) caregivers whose presence in the home is required 
 96.7   because of the professionally certified illness or incapacity of 
 96.8   another member in the assistance unit, a relative in the 
 96.9   household, or a foster child in the household; 
 96.10     (4) women who are pregnant, if the pregnancy has resulted 
 96.11  in a professionally certified incapacity that prevents the woman 
 96.12  from obtaining or retaining employment; 
 96.13     (5) caregivers of a child under the age of one year who 
 96.14  personally provide full-time care for the child.  This exemption 
 96.15  may be used for only 12 months in a lifetime.  In two-parent 
 96.16  households, only one parent or other relative may qualify for 
 96.17  this exemption; 
 96.18     (6) individuals who are single parents, or one parent in a 
 96.19  two-parent family, employed at least 35 hours per week; 
 96.20     (7) individuals experiencing a personal or family crisis 
 96.21  that makes them incapable of participating in the program, as 
 96.22  determined by the county agency.  If the participant does not 
 96.23  agree with the county agency's determination, the participant 
 96.24  may seek professional certification, as defined in section 
 96.25  256J.08, that the participant is incapable of participating in 
 96.26  the program. 
 96.27     Persons in this exemption category must be reevaluated 
 96.28  every 60 days; or 
 96.29     (8) second parents in two-parent families employed for 20 
 96.30  or more hours per week, provided the first parent is employed at 
 96.31  least 35 hours per week; or 
 96.32     (9) caregivers with a child or adult in the household who 
 96.33  meets the disability or medical criteria for home care services 
 96.34  under section 256B.0627, subdivision 1, paragraph (c) or a home 
 96.35  and community-based waiver services program under chapter 256B, 
 96.36  or meets the criteria for severe emotional disturbance under 
 97.1   section 245.4871, subdivision 6, or for serious and persistent 
 97.2   mental illness under section 245.462, subdivision 20, paragraph 
 97.3   (c).  Caregivers in this exemption category are presumed to be 
 97.4   prevented from obtaining or retaining employment. 
 97.5      A caregiver who is exempt under clause (5) must enroll in 
 97.6   and attend an early childhood and family education class, a 
 97.7   parenting class, or some similar activity, if available, during 
 97.8   the period of time the caregiver is exempt under this section.  
 97.9   Notwithstanding section 256J.46, failure to attend the required 
 97.10  activity shall not result in the imposition of a sanction. 
 97.11     (b) The county agency must provide employment and training 
 97.12  services to MFIP caregivers who are exempt under this section, 
 97.13  but who volunteer to participate.  Exempt volunteers may request 
 97.14  approval for any work activity under section 256J.49, 
 97.15  subdivision 13.  The hourly participation requirements for 
 97.16  nonexempt caregivers under section 256J.50, subdivision 5, do 
 97.17  not apply to exempt caregivers who volunteer to participate. 
 97.18     Sec. 28.  [256J.625] [LOCAL INTERVENTION GRANTS FOR 
 97.19  SELF-SUFFICIENCY.] 
 97.20     Subdivision 1.  [ESTABLISHMENT; GUARANTEED MINIMUM 
 97.21  ALLOCATION.] (a) The commissioner shall make grants under this 
 97.22  subdivision to assist county and tribal TANF programs to more 
 97.23  effectively serve hard-to-employ MFIP participants.  Funds 
 97.24  appropriated for local intervention grants for self-sufficiency 
 97.25  must be allocated first in amounts equal to the guaranteed 
 97.26  minimum in paragraph (b), and second according to the provisions 
 97.27  of subdivision 2.  Any remaining funds must be allocated 
 97.28  according to the formula in subdivision 3.  Counties or tribes 
 97.29  must have an approved local service unit plan under section 
 97.30  256J.50, subdivision 7, paragraph (b), in order to receive and 
 97.31  expend funds under subdivisions 2 and 3.  
 97.32     (b) Each county or tribal program shall receive a 
 97.33  guaranteed minimum annual allocation of $25,000. 
 97.34     Subd. 2.  [SET-ASIDE FUNDS.] (a) Of the funds appropriated 
 97.35  for grants under this section, after the allocation in 
 97.36  subdivision 1, paragraph (b), is made, 20 percent of the 
 98.1   remaining funds each year shall be retained by the commissioner 
 98.2   and awarded to counties or tribes whose approved plans 
 98.3   demonstrate additional need based on their identification of 
 98.4   hard-to-employ families and working participants in need of job 
 98.5   retention and wage advancement services, strong anticipated 
 98.6   outcomes for families and an effective plan for monitoring 
 98.7   performance, or, use of a multicounty, multi-entity or regional 
 98.8   approach to serve hard-to-employ families and working 
 98.9   participants in need of job retention and wage advancement 
 98.10  services who are identified as a target population to be served 
 98.11  in the plan submitted under section 256J.50, subdivision 7, 
 98.12  paragraph (b).  In distributing funds under this paragraph, the 
 98.13  commissioner must achieve a geographic balance.  The 
 98.14  commissioner may award funds under this paragraph to other 
 98.15  public, private, or nonprofit entities to deliver services in a 
 98.16  county or region where the entity or entities submit a plan that 
 98.17  demonstrates a strong capability to fulfill the terms of the 
 98.18  plan and where the plan shows an innovative or multi-entity 
 98.19  approach. 
 98.20     (b) For fiscal year 2001 only, of the funds available under 
 98.21  this subdivision the commissioner must allocate funding in the 
 98.22  amounts specified in article 1, section 2, subdivision 7, for an 
 98.23  intensive intervention transitional employment training project 
 98.24  and for nontraditional career assistance and training programs.  
 98.25  These allocations must occur before any set-aside funds are 
 98.26  allocated under paragraph (a). 
 98.27     Subd. 2a.  [ALTERNATIVE DISTRIBUTION FORMULA.] (a) By 
 98.28  January 31, 2001, the commissioner of human services must 
 98.29  develop and present to the appropriate legislative committees a 
 98.30  distribution formula that is an alternative to the formula 
 98.31  allocation specified in subdivision 3.  The proposed 
 98.32  distribution formula must target hard-to-employ MFIP 
 98.33  participants, and it must include an incentive-based component 
 98.34  that is designed to encourage county and tribal programs to 
 98.35  effectively serve hard-to-employ participants.  The 
 98.36  commissioner's proposal must also be designed to be implemented 
 99.1   for fiscal years 2002 and 2003 in place of the formula 
 99.2   allocation specified in subdivision 3. 
 99.3      (b) Notwithstanding the provisions of subdivision 2, 
 99.4   paragraph (a), if the commissioner does not develop a proposed 
 99.5   formula as required in paragraph (a), the set-aside funds for 
 99.6   fiscal years 2002 and 2003 that the commissioner would otherwise 
 99.7   distribute under subdivision 2, paragraph (a), must not be 
 99.8   distributed under that provision.  Funds available under 
 99.9   subdivision 2, paragraph (a), must instead be allocated in equal 
 99.10  amounts to each county and tribal program in fiscal years 2002 
 99.11  and 2003. 
 99.12     Subd. 3.  [FORMULA ALLOCATION.] Funds remaining after the 
 99.13  allocations in subdivisions 1 and 2 must be allocated as follows:
 99.14     (1) 85 percent shall be allocated in proportion to each 
 99.15  county's and tribal TANF program's one-parent MFIP cases that 
 99.16  have received MFIP assistance for at least 25 months, as sampled 
 99.17  on December 31 of the previous calendar year, excluding cases 
 99.18  where all caregivers are age 60 or over. 
 99.19     (2) 15 percent shall be allocated to each county's and 
 99.20  tribal TANF program's two-parent MFIP cases that have received 
 99.21  MFIP assistance for at least 25 months, as sampled on December 
 99.22  31 of the previous calendar year, excluding cases where all 
 99.23  caregivers are age 60 or over. 
 99.24     Subd. 4.  [USE OF FUNDS.] (a) A county or tribal program 
 99.25  may use funds allocated under this subdivision to provide 
 99.26  services to MFIP participants who are hard-to-employ and their 
 99.27  families.  Services provided must be intended to reduce the 
 99.28  number of MFIP participants who are expected to reach the 
 99.29  60-month time limit under section 256J.42.  Counties, tribes, 
 99.30  and other entities receiving funds under subdivisions 2 or 3 
 99.31  must submit semiannual progress reports to the commissioner 
 99.32  which detail program outcomes. 
 99.33     (b) Funds allocated under this section may not be used to 
 99.34  provide benefits that are defined as "assistance" in Code of 
 99.35  Federal Regulations, title 45, section 260.31, to an assistance 
 99.36  unit that is only receiving the food portion of MFIP benefits. 
100.1      Subd. 5.  [SUNSET.] The grant program under this section 
100.2   sunsets on June 30, 2003. 
100.3      Sec. 29.  [256J.655] [NONTRADITIONAL CAREER ASSISTANCE AND 
100.4   TRAINING.] 
100.5      With the approval of the job counselor, a participant may 
100.6   enroll and participate in a nontraditional career assistance and 
100.7   training (NCAT) program under section 256K.30.  An MFIP 
100.8   recipient participating in an NCAT program with the approval of 
100.9   the job counselor is also eligible for employment and training 
100.10  services, including child care and transportation. 
100.11     Sec. 30.  [256K.25] [SUPPORTIVE HOUSING AND MANAGED CARE 
100.12  PILOT PROJECT.] 
100.13     Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] (a) The 
100.14  commissioner shall establish a supportive housing and managed 
100.15  care pilot project in two counties, one within the seven-county 
100.16  metropolitan area and one outside of that area, to determine 
100.17  whether the integrated delivery of employment services, 
100.18  supportive services, housing, and health care into a single, 
100.19  flexible program will: 
100.20     (1) reduce public expenditures on homeless families with 
100.21  minor children, homeless noncustodial parents, and other 
100.22  homeless individuals; 
100.23     (2) increase the employment rates of these persons; and 
100.24     (3) provide a new alternative to providing services to this 
100.25  hard-to-serve population. 
100.26     (b) The commissioner shall create a program for counties 
100.27  for the purpose of providing integrated intensive and 
100.28  individualized case management services, employment services, 
100.29  health care services, rent subsidies or other short- or 
100.30  medium-term housing assistance, and other supportive services to 
100.31  eligible families and individuals.  Minimum project and 
100.32  application requirements shall be developed by the commissioner 
100.33  in cooperation with counties and their nonprofit partners with 
100.34  the goal to provide the maximum flexibility in program design. 
100.35     (c) Services available under this project must be 
100.36  coordinated with available health care services for an eligible 
101.1   project participant. 
101.2      Subd. 2.  [DEFINITION.] For purposes of this section, 
101.3   "homeless" means having no appropriate housing available and 
101.4   lacking the resources necessary to access permanent housing, as 
101.5   determined by the county requesting funding under subdivision 3, 
101.6   and: 
101.7      (1) living, or being at imminent risk of living, on the 
101.8   street or in a shelter; or 
101.9      (2) having been evicted from a dwelling or discharged from 
101.10  a regional treatment center, state-operated community-based 
101.11  program, community hospital, or residential treatment program.  
101.12     Subd. 3.  [COUNTY ELIGIBILITY.] A county may request 
101.13  funding under this pilot project if the county: 
101.14     (1) agrees to develop, in cooperation with nonprofit 
101.15  partners, a supportive housing and managed care pilot project 
101.16  that integrates the delivery of employment services, supportive 
101.17  services, housing and health care for eligible families and 
101.18  individuals, or agrees to contract with an existing integrated 
101.19  program; 
101.20     (2) for eligible participants who are also MFIP recipients, 
101.21  agrees to develop, in cooperation with nonprofit partners, 
101.22  procedures to ensure that the services provided under the pilot 
101.23  project are closely coordinated with the services provided under 
101.24  MFIP; and 
101.25     (3) develops a method for evaluating the quality of the 
101.26  integrated services provided and the amount of any resulting 
101.27  cost savings to the county and state. 
101.28     Subd. 4.  [PARTICIPANT ELIGIBILITY.] (a) In order to be 
101.29  eligible for the pilot project, the county must determine that a 
101.30  participant is homeless or is at risk of homelessness; has a 
101.31  mental illness, a history of substance abuse, or HIV; and is a 
101.32  family that meets the criteria in paragraph (b) or is an 
101.33  individual who meets the criteria in paragraph (c). 
101.34     (b) An eligible family must include a minor child or a 
101.35  pregnant woman, and: 
101.36     (1) be receiving or meet the income eligibility guidelines 
102.1   for MFIP assistance under chapter 256J; or 
102.2      (2) include an adult caregiver who is employed or is 
102.3   receiving employment and training services, and have household 
102.4   income below the MFIP exit level in section 256J.24, subdivision 
102.5   10.  
102.6      (c) An eligible individual must: 
102.7      (1) meet the eligibility requirements of the group 
102.8   residential housing program under section 256I.04, subdivision 
102.9   1; or 
102.10     (2) be a noncustodial parent who is employed or is 
102.11  receiving employment and training services, and have household 
102.12  income below the MFIP exit level in section 256J.24, subdivision 
102.13  10.  
102.14     Subd. 5.  [FUNDING.] A county may request funding from the 
102.15  commissioner for a specified number of TANF-eligible project 
102.16  participants.  The commissioner shall review the request for 
102.17  compliance with subdivisions 1 to 4 and may approve or 
102.18  disapprove the request.  If other funds are available, the 
102.19  commissioner may allocate funding for project participants who 
102.20  meet the eligibility requirements of subdivision 4, paragraph 
102.21  (c).  
102.22     Subd. 6.  [REPORT.] Participating counties and the 
102.23  commissioner shall collaborate to prepare and issue an annual 
102.24  report, beginning December 1, 2001, to the chairs of the 
102.25  appropriate legislative committees on the pilot project's use of 
102.26  public resources, including other funds leveraged for this 
102.27  initiative, the employment and housing status of the families 
102.28  and individuals served in the project, and the 
102.29  cost-effectiveness of the project.  The annual report must also 
102.30  evaluate the pilot project with respect to the following project 
102.31  goals:  that participants will lead more productive, healthier, 
102.32  more stable and better quality lives; that the teams created 
102.33  under the project to deliver services for each project 
102.34  participant will be accountable for ensuring that services are 
102.35  more appropriate, cost-effective and well-coordinated; and that 
102.36  the system-wide costs of serving this population, and the 
103.1   inappropriate use of emergency, crisis-oriented or institutional 
103.2   services, will be materially reduced.  The commissioner shall 
103.3   provide data that may be needed to evaluate the project to 
103.4   participating counties that request the data. 
103.5      Subd. 7.  [SUNSET.] The pilot project under this section 
103.6   sunsets on June 30, 2006. 
103.7      Sec. 31.  [256K.30] [GRANTS FOR NONTRADITIONAL CAREER 
103.8   ASSISTANCE AND TRAINING PROGRAMS.] 
103.9      Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] The 
103.10  commissioner shall establish a program of reimbursement-based 
103.11  grants to nonprofit organizations to provide nontraditional 
103.12  career assistance and training (NCAT) programs that encourage 
103.13  and assist low-income women with minor children to enter 
103.14  nontraditional careers in the trades and in manual and technical 
103.15  operations. 
103.16     Subd. 2.  [REQUIREMENTS FOR GRANTEES.] To be eligible for a 
103.17  grant under this section, an NCAT program must include the 
103.18  career assistance component specified in subdivision 4. 
103.19     Subd. 3.  [OUTREACH COMPONENT.] An NCAT program may include 
103.20  an outreach component that provides outreach to girls and women 
103.21  through public and private elementary and secondary schools, 
103.22  appropriate community organizations, or existing state and 
103.23  county employment and training programs.  The outreach must 
103.24  consist of:  general information concerning opportunities for 
103.25  women in the trades, manual, and technical occupations, 
103.26  including specific fields where worker shortages exist; and 
103.27  specific information about training programs offered.  The 
103.28  outreach may include printed or recorded information, hands-on 
103.29  experiences for women and girls, presentations to women and 
103.30  girls, or ongoing contact with appropriate staff. 
103.31     Federal TANF funds may not be used for the outreach 
103.32  component of an NCAT program. 
103.33     Subd. 4.  [CAREER ASSISTANCE COMPONENT.] An NCAT program 
103.34  may include a career assistance component that provides the 
103.35  following assistance for low-income women to enter careers in 
103.36  the trades and technical occupations: 
104.1      (1) training designed to prepare women to succeed in 
104.2   nontraditional occupations, conducted by an NCAT grantee or in 
104.3   collaboration with another institution.  The training must cover 
104.4   the knowledge and skills required for the trade, information 
104.5   about on-the-job realities for women in the particular trade, 
104.6   physical strength and stamina training as needed, opportunities 
104.7   for developing workplace problem-solving skills, and information 
104.8   about the current and projected future job market and likely 
104.9   career path for the trade; 
104.10     (2) assistance with child care and transportation during 
104.11  training, during job search, and for at least the first two 
104.12  months of posttraining employment; 
104.13     (3) job placement assistance during training, during job 
104.14  search, and for at least two years after completion of the 
104.15  training program; and 
104.16     (4) job retention support may be in the form of mentorship 
104.17  programs, support groups, or ongoing staff contact for at least 
104.18  the first year of posttraining employment, including access to 
104.19  job-related information, assistance with workplace issue 
104.20  resolution, and access to advocacy services. 
104.21     Subd. 5.  [NCAT; ELIGIBLE PARTICIPANTS.] To be eligible to 
104.22  enroll in an NCAT program under this section, a participant must 
104.23  be a female caregiver receiving assistance under chapter 256J or 
104.24  this chapter.  
104.25     Subd. 6.  [ACCESSIBILITY REQUIRED.] Approved NCAT programs 
104.26  must be accessible to women who are MFIP participants.  Factors 
104.27  that contribute to a program's accessibility include: 
104.28     (1) affordability of tuition and supplies; 
104.29     (2) geographic proximity to low-income neighborhoods, child 
104.30  care, and public transportation routes; and 
104.31     (3) flexibility of the hours per week required by the 
104.32  program and the duration of the program, in order to be 
104.33  compatible with the program participants' family needs and the 
104.34  need for participants to be employed during training. 
104.35     Sec. 32.  [256K.35] [AT-RISK YOUTH OUT-OF-WEDLOCK PREGNANCY 
104.36  PREVENTION PROGRAM.] 
105.1      Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] The 
105.2   commissioner shall establish a statewide grant program to 
105.3   prevent or reduce the incidence of out-of-wedlock pregnancies 
105.4   among homeless, runaway, or thrown-away youth who are at risk of 
105.5   being prostituted or currently being used in prostitution.  The 
105.6   goal of the out-of-wedlock pregnancy prevention program is to 
105.7   significantly increase the number of existing short-term shelter 
105.8   beds for these youth in the state.  By providing supportive 
105.9   services for emergency shelter, transitional housing, and 
105.10  services to reconnect the youth with their families where 
105.11  appropriate, the number of youth at risk of being sexually 
105.12  exploited or actually being sexually exploited, and thus at risk 
105.13  of experiencing an out-of-wedlock pregnancy, will be reduced. 
105.14     Subd. 2.  [FUNDS AVAILABLE.] The commissioner shall make 
105.15  funds for supportive services for emergency shelter and 
105.16  transitional housing for out-of-wedlock pregnancy prevention 
105.17  available to eligible nonprofit corporations or government 
105.18  agencies to provide supportive services for emergency and 
105.19  transitional housing for at-risk youth.  The commissioner shall 
105.20  consider the need for emergency and transitional housing 
105.21  supportive services throughout the state, and must give priority 
105.22  to applicants who offer 24-hour emergency facilities. 
105.23     Subd. 3.  [APPLICATION; ELIGIBILITY.] (a) A nonprofit 
105.24  corporation or government agency must submit an application to 
105.25  the commissioner in the form and manner the commissioner 
105.26  establishes.  The application must describe how the applicant 
105.27  meets the eligibility criteria under paragraph (b).  The 
105.28  commissioner may also require an applicant to provide additional 
105.29  information. 
105.30     (b) To be eligible for funding under this section, an 
105.31  applicant must meet the following criteria: 
105.32     (1) the applicant must have a commitment to helping the 
105.33  community, children, and preventing juvenile prostitution.  If 
105.34  the applicant does not have any past experience with youth 
105.35  involved in or at risk of being used in prostitution, the 
105.36  applicant must demonstrate knowledge of best practices in this 
106.1   area and develop a plan to follow those practices; 
106.2      (2) the applicant must present a plan to communicate with 
106.3   local law enforcement officials, social services, and the 
106.4   commissioner consistent with state and federal law; and 
106.5      (3) the applicant must present a plan to encourage 
106.6   homeless, runaway, or thrown-away youth to either reconnect with 
106.7   family or to transition into long-term housing. 
106.8      Subd. 4.  [USES OF FUNDS.] (a) Funds available under this 
106.9   section must be used to create and maintain supportive services 
106.10  for emergency shelter and transitional housing for homeless, 
106.11  runaway, and thrown-away youth.  Federal TANF funds must be used 
106.12  to serve youth and their families with household income below 
106.13  200 percent of the federal poverty guidelines.  If other funds 
106.14  are available, services may be provided to youth outside of 
106.15  TANF-eligible families. 
106.16     (b) Funds available under this section shall not be used to 
106.17  conduct general education or awareness programs unrelated to the 
106.18  operation of an emergency shelter or transitional housing. 
106.19     Sec. 33.  Minnesota Statutes 1999 Supplement, section 
106.20  626.556, subdivision 2, is amended to read: 
106.21     Subd. 2.  [DEFINITIONS.] As used in this section, the 
106.22  following terms have the meanings given them unless the specific 
106.23  content indicates otherwise: 
106.24     (a) "Sexual abuse" means the subjection of a child by a 
106.25  person responsible for the child's care, by a person who has a 
106.26  significant relationship to the child, as defined in section 
106.27  609.341, or by a person in a position of authority, as defined 
106.28  in section 609.341, subdivision 10, to any act which constitutes 
106.29  a violation of section 609.342 (criminal sexual conduct in the 
106.30  first degree), 609.343 (criminal sexual conduct in the second 
106.31  degree), 609.344 (criminal sexual conduct in the third degree), 
106.32  609.345 (criminal sexual conduct in the fourth degree), or 
106.33  609.3451 (criminal sexual conduct in the fifth degree).  Sexual 
106.34  abuse also includes any act which involves a minor which 
106.35  constitutes a violation of prostitution offenses under sections 
106.36  609.321 to 609.324 or 617.246.  Sexual abuse includes threatened 
107.1   sexual abuse.  
107.2      (b) "Person responsible for the child's care" means (1) an 
107.3   individual functioning within the family unit and having 
107.4   responsibilities for the care of the child such as a parent, 
107.5   guardian, or other person having similar care responsibilities, 
107.6   or (2) an individual functioning outside the family unit and 
107.7   having responsibilities for the care of the child such as a 
107.8   teacher, school administrator, or other lawful custodian of a 
107.9   child having either full-time or short-term care 
107.10  responsibilities including, but not limited to, day care, 
107.11  babysitting whether paid or unpaid, counseling, teaching, and 
107.12  coaching.  
107.13     (c) "Neglect" means: 
107.14     (1) failure by a person responsible for a child's care to 
107.15  supply a child with necessary food, clothing, shelter, health, 
107.16  medical, or other care required for the child's physical or 
107.17  mental health when reasonably able to do so; 
107.18     (2) failure to protect a child from conditions or actions 
107.19  which imminently and seriously endanger the child's physical or 
107.20  mental health when reasonably able to do so; 
107.21     (3) failure to provide for necessary supervision or child 
107.22  care arrangements appropriate for a child after considering 
107.23  factors as the child's age, mental ability, physical condition, 
107.24  length of absence, or environment, when the child is unable to 
107.25  care for the child's own basic needs or safety, or the basic 
107.26  needs or safety of another child in their care; 
107.27     (4) failure to ensure that the child is educated as defined 
107.28  in sections 120A.22 and 260C.163, subdivision 11; 
107.29     (5) nothing in this section shall be construed to mean that 
107.30  a child is neglected solely because the child's parent, 
107.31  guardian, or other person responsible for the child's care in 
107.32  good faith selects and depends upon spiritual means or prayer 
107.33  for treatment or care of disease or remedial care of the child 
107.34  in lieu of medical care; except that a parent, guardian, or 
107.35  caretaker, or a person mandated to report pursuant to 
107.36  subdivision 3, has a duty to report if a lack of medical care 
108.1   may cause serious danger to the child's health.  This section 
108.2   does not impose upon persons, not otherwise legally responsible 
108.3   for providing a child with necessary food, clothing, shelter, 
108.4   education, or medical care, a duty to provide that care; 
108.5      (6) prenatal exposure to a controlled substance, as defined 
108.6   in section 253B.02, subdivision 2, used by the mother for a 
108.7   nonmedical purpose, as evidenced by withdrawal symptoms in the 
108.8   child at birth, results of a toxicology test performed on the 
108.9   mother at delivery or the child at birth, or medical effects or 
108.10  developmental delays during the child's first year of life that 
108.11  medically indicate prenatal exposure to a controlled substance; 
108.12     (7) "medical neglect" as defined in section 260C.007, 
108.13  subdivision 4, clause (5); 
108.14     (8) that the parent or other person responsible for the 
108.15  care of the child: 
108.16     (i) engages in violent behavior that demonstrates a 
108.17  disregard for the well-being of the child as indicated by action 
108.18  that could reasonably result in serious physical, mental, or 
108.19  threatened injury, or emotional damage to the child; 
108.20     (ii) engages in repeated domestic assault that would 
108.21  constitute a violation of section 609.2242, subdivision 2 or 4; 
108.22     (iii) intentionally inflicts or attempts to inflict bodily 
108.23  harm against a family or household member, as defined in section 
108.24  518B.01, subdivision 2, that is within sight or sound of the 
108.25  child; or 
108.26     (iv) subjects the child to ongoing domestic violence by the 
108.27  abuser in the home environment that is likely to have a 
108.28  detrimental effect on the well-being of the child; 
108.29     (9) chronic and severe use of alcohol or a controlled 
108.30  substance by a parent or person responsible for the care of the 
108.31  child that adversely affects the child's basic needs and safety; 
108.32  or 
108.33     (10) (9) emotional harm from a pattern of behavior which 
108.34  contributes to impaired emotional functioning of the child which 
108.35  may be demonstrated by a substantial and observable effect in 
108.36  the child's behavior, emotional response, or cognition that is 
109.1   not within the normal range for the child's age and stage of 
109.2   development, with due regard to the child's culture. 
109.3      (d) "Physical abuse" means any physical injury, mental 
109.4   injury, or threatened injury, inflicted by a person responsible 
109.5   for the child's care on a child other than by accidental means, 
109.6   or any physical or mental injury that cannot reasonably be 
109.7   explained by the child's history of injuries, or any aversive 
109.8   and deprivation procedures that have not been authorized under 
109.9   section 245.825.  Abuse does not include reasonable and moderate 
109.10  physical discipline of a child administered by a parent or legal 
109.11  guardian which does not result in an injury.  Actions which are 
109.12  not reasonable and moderate include, but are not limited to, any 
109.13  of the following that are done in anger or without regard to the 
109.14  safety of the child: 
109.15     (1) throwing, kicking, burning, biting, or cutting a child; 
109.16     (2) striking a child with a closed fist; 
109.17     (3) shaking a child under age three; 
109.18     (4) striking or other actions which result in any 
109.19  nonaccidental injury to a child under 18 months of age; 
109.20     (5) unreasonable interference with a child's breathing; 
109.21     (6) threatening a child with a weapon, as defined in 
109.22  section 609.02, subdivision 6; 
109.23     (7) striking a child under age one on the face or head; 
109.24     (8) purposely giving a child poison, alcohol, or dangerous, 
109.25  harmful, or controlled substances which were not prescribed for 
109.26  the child by a practitioner, in order to control or punish the 
109.27  child; or other substances that substantially affect the child's 
109.28  behavior, motor coordination, or judgment or that results in 
109.29  sickness or internal injury, or subjects the child to medical 
109.30  procedures that would be unnecessary if the child were not 
109.31  exposed to the substances; or 
109.32     (9) unreasonable physical confinement or restraint not 
109.33  permitted under section 609.379, including but not limited to 
109.34  tying, caging, or chaining. 
109.35     (e) "Report" means any report received by the local welfare 
109.36  agency, police department, or county sheriff pursuant to this 
110.1   section. 
110.2      (f) "Facility" means a licensed or unlicensed day care 
110.3   facility, residential facility, agency, hospital, sanitarium, or 
110.4   other facility or institution required to be licensed under 
110.5   sections 144.50 to 144.58, 241.021, or 245A.01 to 245A.16, or 
110.6   chapter 245B; or a school as defined in sections 120A.05, 
110.7   subdivisions 9, 11, and 13; and 124D.10; or a nonlicensed 
110.8   personal care provider organization as defined in sections 
110.9   256B.04, subdivision 16, and 256B.0625, subdivision 19a. 
110.10     (g) "Operator" means an operator or agency as defined in 
110.11  section 245A.02.  
110.12     (h) "Commissioner" means the commissioner of human services.
110.13     (i) "Assessment" includes authority to interview the child, 
110.14  the person or persons responsible for the child's care, the 
110.15  alleged perpetrator, and any other person with knowledge of the 
110.16  abuse or neglect for the purpose of gathering the facts, 
110.17  assessing the risk to the child, and formulating a plan.  
110.18     (j) "Practice of social services," for the purposes of 
110.19  subdivision 3, includes but is not limited to employee 
110.20  assistance counseling and the provision of guardian ad litem and 
110.21  visitation expeditor services.  
110.22     (k) "Mental injury" means an injury to the psychological 
110.23  capacity or emotional stability of a child as evidenced by an 
110.24  observable or substantial impairment in the child's ability to 
110.25  function within a normal range of performance and behavior with 
110.26  due regard to the child's culture. 
110.27     (l) "Threatened injury" means a statement, overt act, 
110.28  condition, or status that represents a substantial risk of 
110.29  physical or sexual abuse or mental injury. 
110.30     (m) Persons who conduct assessments or investigations under 
110.31  this section shall take into account accepted child-rearing 
110.32  practices of the culture in which a child participates, which 
110.33  are not injurious to the child's health, welfare, and safety. 
110.34     Sec. 34.  Minnesota Statutes 1998, section 626.556, is 
110.35  amended by adding a subdivision to read: 
110.36     Subd. 2a.  [EXPOSURE TO DOMESTIC VIOLENCE.] Maltreatment 
111.1   reports involving children exposed to domestic violence or 
111.2   witnessing domestic violence are governed by subdivision 2, 
111.3   paragraph (c), clauses (1) to (3), paragraph (d), and paragraph 
111.4   (l). 
111.5      Sec. 35.  [DAKOTA COUNTY MFIP DIVERSIONARY ASSISTANCE PILOT 
111.6   PROJECT.] 
111.7      Subdivision 1.  [ESTABLISHMENT AND PURPOSE.] 
111.8   Notwithstanding any contrary law, the commissioner of human 
111.9   services shall establish an MFIP diversionary assistance pilot 
111.10  project in Dakota county to encourage rapid entrance into the 
111.11  work force.  The pilot project is intended to improve 
111.12  employability and self-sufficiency, to minimize the number of 
111.13  families reaching the 60-month time limit under the federal TANF 
111.14  block grant program, and to reduce the number of families who 
111.15  need ongoing MFIP assistance under Minnesota Statutes, chapter 
111.16  256J. Unlike MFIP program assistance under Minnesota Statutes, 
111.17  section 256J.24, subdivision 5, the diversionary assistance 
111.18  pilot project payments shall not include a food portion.  
111.19  Participating families may instead apply for benefits from the 
111.20  federal food stamp program. 
111.21     Subd. 2.  [MANDATORY PARTICIPATION.] Beginning July 1, 2001 
111.22  and through March 31, 2003, the following families residing in 
111.23  Dakota county must be enrolled in the Dakota county diversionary 
111.24  assistance pilot project: 
111.25     (1) families who apply for MFIP under Minnesota Statutes, 
111.26  chapter 256J, or reapply after being closed for 30 days or more 
111.27  from MFIP, and who meet eligibility requirements; and 
111.28     (2) families currently enrolled in MFIP who are under a 30 
111.29  percent sanction and have been assessed as capable of 
111.30  participating in a preemployment or employment activity, as 
111.31  those terms are defined in Minnesota Statutes, section 256J.49, 
111.32  subdivision 13, but who are not participating in these 
111.33  activities.  These families shall be closed from MFIP prior to 
111.34  being transferred to the diversionary assistance pilot project. 
111.35  Months of participation in the pilot project shall count towards 
111.36  a participant's 60-month time limit under Minnesota Statutes, 
112.1   section 256J.42. 
112.2      Subd. 3.  [FAMILIES EXCLUDED FROM PROJECT.] The following 
112.3   assistance units or families must be excluded from participation 
112.4   in the Dakota county diversionary assistance pilot project: 
112.5      (1) assistance units in which only minor children would 
112.6   receive assistance; 
112.7      (2) families in which the caregiver is a victim of family 
112.8   violence and the caregiver is complying with a safety plan or an 
112.9   alternative employment plan under Minnesota Statutes, chapter 
112.10  256J; 
112.11     (3) a minor parent or pregnant minor, the minor parent's 
112.12  child, and the caregivers of the minor parent who are included 
112.13  in the minor parent's assistance unit under Minnesota Statutes, 
112.14  section 256J.24; 
112.15     (4) families in which the caregiver is age 60 or older; 
112.16     (5) families in which the caregiver has an infant child 
112.17  under 12 weeks of age; and 
112.18     (6) families who are determined by the county agency to be 
112.19  unlikely to benefit from the pilot project's services. 
112.20     Subd. 4.  [APPLYING FOR ASSISTANCE; APPLICANT REQUIREMENTS 
112.21  AND RESPONSIBILITIES.] Minnesota Statutes, section 256J.09, 
112.22  excluding subdivisions 4, 7, and 9, applies to families that 
112.23  apply for assistance under the pilot project.  The applicant 
112.24  requirements and responsibilities under Minnesota Statutes 
112.25  section 256J.30, excluding subdivisions 4 to 11, also apply to 
112.26  pilot project applicants.  Families determined eligible for 
112.27  benefits under this pilot project may request termination from 
112.28  the pilot project at any time. 
112.29     Subd. 5.  [FAMILY COMPOSITION;ASSISTANCE UNITS.] In 
112.30  determining the composition of assistance units and eligibility 
112.31  under the pilot project the following provisions apply:  
112.32  Minnesota Statutes, sections 256J.08, subdivision 7; 256J.13; 
112.33  256J.15; and 256J.24, subdivisions 1 to 4. 
112.34     Subd. 6.  [TREATMENT OF INCOME.] (a) For purposes of 
112.35  defining income under the pilot project, the MFIP income 
112.36  definitions under Minnesota Statutes, chapter 256J, must be used.
113.1   The agency shall evaluate the income of each member of an 
113.2   assistance unit that is requesting assistance payments under 
113.3   this project. 
113.4      (b) Countable income means the gross earned income and 
113.5   unearned income that is not excluded under Minnesota Statutes, 
113.6   section 256J.21, subdivision 2, or disregarded under Minnesota 
113.7   Statutes, section 256J.08, subdivision 24.  In determining the 
113.8   amount of diversionary assistance to be issued for the month 
113.9   that payments are to be made, the county agency must determine 
113.10  if countable income is actually available to apply to a 
113.11  participant's basic needs. 
113.12     (c) The difference between basic needs as defined under 
113.13  subdivision 9, paragraph (a), clause (3), and countable income 
113.14  shall be the amount of the monthly diversionary payments that is 
113.15  subject to the provisions of subdivision 9, paragraph (b). 
113.16     Subd. 7.  [CALCULATING PAYMENTS.] (a) The county must use 
113.17  prospective budgeting to calculate the assistance payment 
113.18  amounts.  The provisions of Minnesota Statutes, section 256J.34, 
113.19  subdivision 1, paragraphs (a) to (c), apply to the calculations, 
113.20  except that the provisions of those paragraphs shall be used for 
113.21  each 30-day period during the 90-day diversionary assistance 
113.22  pilot project.  The payment amounts for the 90-day period must 
113.23  be determined upon approval of an applicant's request for 
113.24  assistance and issued monthly over the 90-day period, unless the 
113.25  participant reports a change in circumstances that would 
113.26  increase the amount of assistance, or the participant is 
113.27  sanctioned or terminated from the pilot project.  Monthly 
113.28  payments are subject to the limitations in subdivision 9, 
113.29  paragraph (b). 
113.30     (b) Prospective budgeting is not subject to overpayments or 
113.31  underpayments unless fraud is determined under Minnesota 
113.32  Statutes, section 256.98.  The provisions of Minnesota Statutes, 
113.33  section 256.98, subdivision 1, apply to the pilot project. 
113.34     (c) For the pilot project, client data must be entered and 
113.35  maintained on the department of human services' MAXIS computer 
113.36  system and all diversionary assistance payments authorized 
114.1   throughout the duration of the project shall be issued from 
114.2   MAXIS. 
114.3      Subd. 8.  [CHANGE IN RESIDENCE.] When a family moves to 
114.4   another Minnesota county and applies for MFIP and is found 
114.5   eligible, MFIP benefits may be issued effective the day 
114.6   following the date through which diversionary assistance 
114.7   payments under this project provided for the needs of the 
114.8   family.  Participants must report any change of address within 
114.9   ten days of the date the change occurs. 
114.10     Subd. 9.  [PILOT PROJECT DESIGN AND SERVICES.] (a) 
114.11  Assistance under the Dakota county MFIP diversionary assistance 
114.12  pilot project is available to an eligible participant for 90 
114.13  days after enrollment.  The county agency may have families 
114.14  participating in the project through June 30, 2003.  For 
114.15  purposes of eligibility for child care assistance under 
114.16  Minnesota Statutes, chapter 119B, pilot program participants are 
114.17  eligible for the same benefits as MFIP recipients. The following 
114.18  support services and programs are available to participants, 
114.19  based on the county agency's documentation of need or 
114.20  determination of eligibility: 
114.21     (1) the development of a self-sufficiency plan in the event 
114.22  that the participant is determined to be not ready to seek or 
114.23  obtain unsubsidized employment while enrolled in the project; 
114.24     (2) child care assistance under Minnesota Statutes, chapter 
114.25  119B, for work or for all preemployment or employment-related 
114.26  activities, as defined in Minnesota Statutes, section 256J.49, 
114.27  subdivision 13, approved by a county in an employment plan, as 
114.28  defined in Minnesota Statutes, section 256J.49, subdivision 5.  
114.29  This may include assistance with child care costs related to 
114.30  accessing social services programs and activities, including but 
114.31  not limited to mental health and chemical dependency program 
114.32  services; 
114.33     (3) funding for basic needs, which include shelter, 
114.34  utilities, and other personal requirements of subsistence as 
114.35  identified by the participant and approved by the county agency. 
114.36  Vendor payments shall be made for shelter and utilities up to 
115.1   the amount of assistance to be issued; 
115.2      (4) other employment-focused supports that are identified 
115.3   after a needs assessment is conducted for the pilot project 
115.4   participant; 
115.5      (5) approved training programs, as defined in Minnesota 
115.6   Statutes, section 256J.49, subdivision 13, and as limited by the 
115.7   provisions of Minnesota Statutes, section 256J.53; 
115.8      (6) approved work activities, as defined in Minnesota 
115.9   Statutes, section 256J.49, subdivision 13; 
115.10     (7) federal food stamp program benefits which the 
115.11  participant must separately apply for; 
115.12     (8) medical assistance under Minnesota Statutes, chapter 
115.13  256B, or MinnesotaCare under Minnesota Statutes, chapter 256L; 
115.14     (9) enhanced employment services, which include services 
115.15  available to individuals eligible for MFIP as described in the 
115.16  county's local service unit plan under Minnesota Statutes, 
115.17  section 268.88; and 
115.18     (10) emergency assistance under Minnesota Statutes, section 
115.19  256J.48. 
115.20     (b) Payments for basic needs shall be determined by an 
115.21  eligibility worker from the date of application.  Total monthly 
115.22  payments must not exceed 133 percent of the ongoing MFIP monthly 
115.23  cash grant for which the participant would have otherwise been 
115.24  eligible under Minnesota Statutes, section 256J.24, subdivision 
115.25  5. 
115.26     (c) Each participant must also be provided immediate access 
115.27  to an interdisciplinary team consisting of financial workers, 
115.28  employment counselors, and social workers who can conduct an 
115.29  individualized assessment of family needs and assist in 
115.30  arranging needed services.  An employment plan developed under 
115.31  this subdivision must be tailored to each participant family's 
115.32  needs. 
115.33     (d) For a participant to receive monthly payments as 
115.34  specified in paragraph (b), the participant must cooperate with 
115.35  the participant's employment plan. 
115.36     (e) No standard exemptions from participation in employment 
116.1   services are granted to pilot project participants during the 
116.2   pilot project. 
116.3      (f) Noncooperation with the employment plan without good 
116.4   cause shall result in a sanction equal to a reduction of 100 
116.5   percent of funding for basic needs for the remainder of the 
116.6   90-day participation period. 
116.7      Subd. 10.  [GOOD CAUSE FOR FAILURE TO COMPLY WITH AN 
116.8   EMPLOYMENT PLAN.] Good cause for failure to comply with an 
116.9   employment plan under this section exists when: 
116.10     (1) appropriate child care is not available; 
116.11     (2) the job does not meet the definition of suitable 
116.12  employment under Minnesota Statutes, section 256J.49, 
116.13  subdivision 12; 
116.14     (3) the participant is ill or injured; 
116.15     (4) a member of the unit, a relative in the household, or a 
116.16  foster child in the household is ill and needs care by the 
116.17  participant that prevents the participant from complying; 
116.18     (5) the participant has an infant child under 12 weeks of 
116.19  age; 
116.20     (6) the participant is unable to secure needed 
116.21  transportation; 
116.22     (7) the participant is in an emergency situation that 
116.23  prevents compliance with the employment plan; 
116.24     (8) the schedule of compliance with the employment plan 
116.25  conflicts with judicial proceedings; or 
116.26     (9) the participant is already participating in acceptable 
116.27  work activities. 
116.28     Subd. 11.  [TRANSITION SERVICES.] (a) After participation 
116.29  in the pilot project, participants who are employed and not on 
116.30  MFIP are eligible for transition year child care assistance 
116.31  under Minnesota Statutes, chapter 119B, without regard to 
116.32  current or previous MFIP program eligibility.  For families who 
116.33  were eligible for medical assistance or MinnesotaCare during the 
116.34  90 days, the county agency shall facilitate any eligibility 
116.35  determination that is needed for continued medical coverage. 
116.36     (b) Pilot project participants who have not attained an 
117.1   income during participation in the pilot project that would 
117.2   result in MFIP ineligibility are eligible for the following 
117.3   options: 
117.4      (1) participants who were not on MFIP prior to 
117.5   participating in the pilot program may apply for MFIP under 
117.6   Minnesota Statutes, chapter 256J; 
117.7      (2) participants enrolled in MFIP prior to participating in 
117.8   the pilot program who were not under sanction during the pilot 
117.9   project may revert to participation in MFIP; or 
117.10     (3) participants who were under sanction during the pilot 
117.11  project may reapply for MFIP. 
117.12     Subd. 12.  [EVALUATION AND REPORT.] Evaluation of the pilot 
117.13  project shall be based on outcome evaluation criteria negotiated 
117.14  with the commissioner of human services prior to the project's 
117.15  implementation.  By January 31, 2003, the commissioner shall 
117.16  prepare and submit a report to the legislature on the results of 
117.17  the pilot project and recommendations for changes to the project 
117.18  if it were to be implemented on a permanent basis. 
117.19     Subd. 13.  [FUNDING.] The commissioners of human services 
117.20  and children, families, and learning shall use existing MFIP and 
117.21  child care assistance funding for the purposes of the basic 
117.22  needs payments made on behalf of participant families and the 
117.23  child care assistance provided to participant families during 
117.24  the 90 days that families are enrolled in the pilot project. 
117.25     Subd. 14.  [COUNTY AGENCY DUTIES; APPLICANT AND PARTICIPANT 
117.26  RIGHTS.] (a) The county agency shall develop policies and 
117.27  procedures in the following areas prior to implementing the 
117.28  pilot project: 
117.29     (1) referrals to employment services that are described in 
117.30  the county's local service unit plan under Minnesota Statutes, 
117.31  section 268.88; 
117.32     (2) notices to participants about employment services 
117.33  provisions and requirements; and 
117.34     (3) documentation and verification of eligibility. 
117.35     (b) The provisions of Minnesota Statutes, section 256J.31, 
117.36  concerning applicant and participant rights and county agency 
118.1   responsibilities apply to the pilot project, except that the use 
118.2   of vendor payments shall not be considered an adverse action. 
118.3      (c) When a participant receives a 100 percent sanction 
118.4   under subdivision 9, the county agency must monitor the 
118.5   well-being of the children in the household who are at risk of 
118.6   safety, health, or nutritional problems due to the lack of 
118.7   resources available to the family.  The county agency must 
118.8   provide necessary services or resources to the family in order 
118.9   to protect the welfare of the children in the household. 
118.10     (d) The county agency must report quarterly to the 
118.11  commissioner of human services, and to the chairs of the house 
118.12  health and human services policy committee and the senate health 
118.13  and family security committee, on the number of participants who 
118.14  have received a sanction under subdivision 9. 
118.15     Subd. 15.  [FAIR HEARINGS.] The fair hearing provisions of 
118.16  Minnesota Statutes, section 256J.40, subdivision 1, shall be 
118.17  followed under the pilot project, except that diversionary 
118.18  assistance payments may be reduced, suspended, or terminated as 
118.19  proposed even if that action is appealed.  The agency's decision 
118.20  to reduce, suspend, or terminate shall continue pending the fair 
118.21  hearing decision, regardless of when the participant requests 
118.22  the hearing.  The county agency shall request that the 
118.23  commissioner of human services expedite the fair hearing when a 
118.24  participant's family situation meets the same emergency need 
118.25  criteria as defined for the emergency assistance program under 
118.26  Minnesota Statutes, section 256J.48. 
118.27     Subd. 16.  [FEDERAL WAIVER.] The commissioner of human 
118.28  services shall apply for any federal waiver required to 
118.29  implement the Dakota county MFIP diversionary assistance pilot 
118.30  project under this section. 
118.31     Subd. 17.  [SUNSET.] This section sunsets on June 30, 2003. 
118.32     Sec. 36.  [FISCAL SANCTION FOR POOR CASELOAD REDUCTION 
118.33  PERFORMANCE; PLAN REQUIRED.] 
118.34     By February 1, 2001, the commissioner of human services 
118.35  shall develop a plan to apply fiscal sanctions against a 
118.36  county's or tribe's allocation of grant funds under Minnesota 
119.1   Statutes, section 256J.625, and under Minnesota Statutes, 
119.2   section 256J.62 or 256J.645, whichever is applicable, when a 
119.3   county or tribe does not adequately perform with respect to the 
119.4   performance measures related to cases that have left MFIP 
119.5   assistance, as listed in Minnesota Statutes, section 256J.751, 
119.6   paragraph (a), clause (3), and paragraph (b), clause (1).  The 
119.7   commissioner's plan must address a county's relative performance 
119.8   on these measures so that a county with a relatively large 
119.9   proportion of hard-to-employ MFIP participants is not unduly 
119.10  penalized if the county has poor performance on these measures.  
119.11  The plan must also provide a mechanism to appropriately allocate 
119.12  a portion of a county's or tribe's fiscal sanction against the 
119.13  employment and training service providers used by the county or 
119.14  tribe.  The commissioner must report the plan required by this 
119.15  section to the appropriate legislative committees by February 1, 
119.16  2001. 
119.17     Sec. 37.  [WORK GROUP ON SANCTION RECOMMENDATIONS.] 
119.18     A legislative work group on MFIP sanction recommendations 
119.19  shall be established.  The chairs of the house health and human 
119.20  services policy committee and the senate health and family 
119.21  security committee shall each appoint five legislators, two of 
119.22  whom must be members of the minority party, to be members of 
119.23  this work group.  The work group must review the implementation 
119.24  of current MFIP sanction policy and make recommendations for any 
119.25  necessary improvements.  State agencies shall provide technical 
119.26  assistance as requested by the work group.  The work group must 
119.27  submit a report on its review and recommendations to the 
119.28  legislature by January 1, 2001. 
119.29     Sec. 38.  [REPORTS ON SAVE IMPLEMENTATION.] 
119.30     On January 15, 2002, and January 15, 2003, the commissioner 
119.31  shall report to the chairs of the house health and human 
119.32  services policy committee and the senate health and family 
119.33  security committee on the usage and costs of the SAVE program 
119.34  over the previous year.  These reports must include summary, 
119.35  nonidentifying information on the number of inquiries per month 
119.36  that were submitted to the SAVE system, the number of times 
120.1   secondary verifications were pursued as a result of the 
120.2   inquiries submitted to SAVE, and the number of times the county 
120.3   determined, as a result of information provided through the SAVE 
120.4   system, that an applicant to a program listed in section 256.01, 
120.5   subdivision 18, was ineligible for benefits due to the 
120.6   applicant's immigration status. 
120.7      Sec. 39.  [REPEALER.] 
120.8      (a) Minnesota Statutes 1998, section 256J.46, subdivision 
120.9   1a, is repealed. 
120.10     (b) Laws 1999, chapter 245, article 5, section 24, is 
120.11  repealed. 
120.12                             ARTICLE 5 
120.13                     TANF MAINTENANCE OF EFFORT 
120.14                       EXPENDITURE OVERSIGHT
120.15     Section 1.  [3.3006] [TANF MAINTENANCE OF EFFORT 
120.16  EXPENDITURES; EXPENDITURE REVIEW.] 
120.17     Subdivision 1.  [DEFINITIONS.] The definitions in this 
120.18  subdivision apply to this section. 
120.19     (a) "TANF MOE" means the maintenance of effort for the TANF 
120.20  block grant specified under United States Code, title 42, 
120.21  section 609(a)(7). 
120.22     (b) Unless otherwise specified, "commissioner" means the 
120.23  commissioner of human services. 
120.24     Subd. 2.  [TANF MOE EXPENDITURES.] The state's TANF MOE 
120.25  expenditure requirements under section 256J.025 must be met 
120.26  unless the provisions of subdivisions 3 and 4 apply. 
120.27     Subd. 3.  [INTERIM PROCEDURES.] If the commissioner 
120.28  determines that nonfederal expenditures for the programs under 
120.29  section 256J.025 are insufficient to meet TANF MOE expenditure 
120.30  requirements, and if the legislature is not or will not be in 
120.31  session to take timely action to avoid a federal penalty, the 
120.32  commissioner may report nonfederal expenditures from other 
120.33  allowable sources as TANF MOE expenditures after the 
120.34  requirements of subdivision 4 are met. 
120.35     Subd. 4.  [LEGISLATIVE ADVISORY COMMISSION REVIEW.] The 
120.36  commissioner may report nonfederal expenditures in addition to 
121.1   those specified under section 256J.025 as nonfederal TANF MOE 
121.2   expenditures, but only after the commissioner of finance has 
121.3   first submitted the commissioner's recommendations for 
121.4   additional allowable sources of nonfederal TANF MOE expenditures 
121.5   to the members of the legislative advisory commission for their 
121.6   review and recommendation for further review.  If the 
121.7   legislative advisory commission does not act to request further 
121.8   review within ten days, no further review by the legislative 
121.9   advisory commission is required, and the commissioner of finance 
121.10  shall approve or disapprove the additional sources of nonfederal 
121.11  TANF MOE expenditures.  If any member of the commission requests 
121.12  further review of the proposed TANF MOE expenditures, the 
121.13  governor shall submit the commissioner's recommendations to the 
121.14  legislative advisory commission for its review and 
121.15  recommendation.  Failure or refusal of the commission to make a 
121.16  recommendation promptly is a negative recommendation. 
121.17     Subd. 5.  [FORECAST INCLUSION OF INTERIM CHANGES NOT 
121.18  ALLOWED.] The commissioner of finance shall not incorporate any 
121.19  changes in federal TANF expenditures or nonfederal expenditures 
121.20  for TANF MOE that may result from reporting additional allowable 
121.21  sources of nonfederal TANF MOE expenditures under the interim 
121.22  procedures in this section into the February or November 
121.23  forecasts required under section 16A.103, unless the 
121.24  commissioner of finance has approved the additional sources of 
121.25  expenditures under subdivision 4. 
121.26     Sec. 2.  Minnesota Statutes 1999 Supplement, section 
121.27  119B.02, subdivision 1, is amended to read: 
121.28     Subdivision 1.  [CHILD CARE SERVICES.] The commissioner 
121.29  shall develop standards for county and human services boards to 
121.30  provide child care services to enable eligible families to 
121.31  participate in employment, training, or education programs.  
121.32  Within the limits of available appropriations, the commissioner 
121.33  shall distribute money to counties to reduce the costs of child 
121.34  care for eligible families.  The commissioner shall adopt rules 
121.35  to govern the program in accordance with this section.  The 
121.36  rules must establish a sliding schedule of fees for parents 
122.1   receiving child care services.  The rules shall provide that 
122.2   funds received as a lump sum payment of child support arrearages 
122.3   shall not be counted as income to a family in the month received 
122.4   but shall be prorated over the 12 months following receipt and 
122.5   added to the family income during those months.  In the rules 
122.6   adopted under this section, county and human services boards 
122.7   shall be authorized to establish policies for payment of child 
122.8   care spaces for absent children, when the payment is required by 
122.9   the child's regular provider.  The rules shall not set a maximum 
122.10  number of days for which absence payments can be made, but 
122.11  instead shall direct the county agency to set limits and pay for 
122.12  absences according to the prevailing market practice in the 
122.13  county.  County policies for payment of absences shall be 
122.14  subject to the approval of the commissioner.  The commissioner 
122.15  shall maximize the use of federal money under title I and title 
122.16  IV of VI, Public Law Number 104-193, the Personal Responsibility 
122.17  and Work Opportunity Reconciliation Act of 1996, and other 
122.18  programs that provide federal or state reimbursement for child 
122.19  care services for low-income families who are in education, 
122.20  training, job search, or other activities allowed under those 
122.21  programs.  Money appropriated under this section must be 
122.22  coordinated with the programs that provide federal reimbursement 
122.23  for child care services to accomplish this purpose.  Federal 
122.24  reimbursement obtained must be allocated to the county that 
122.25  spent money for child care that is federally reimbursable under 
122.26  programs that provide federal reimbursement for child care 
122.27  services.  The counties shall use the federal money to expand 
122.28  child care services.  The commissioner may adopt rules under 
122.29  chapter 14 to implement and coordinate federal program 
122.30  requirements. 
122.31     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
122.32  256.01, subdivision 2, is amended to read: 
122.33     Subd. 2.  [SPECIFIC POWERS.] Subject to the provisions of 
122.34  section 241.021, subdivision 2, the commissioner of human 
122.35  services shall: 
122.36     (1) Administer and supervise all forms of public assistance 
123.1   provided for by state law and other welfare activities or 
123.2   services as are vested in the commissioner.  Administration and 
123.3   supervision of human services activities or services includes, 
123.4   but is not limited to, assuring timely and accurate distribution 
123.5   of benefits, completeness of service, and quality program 
123.6   management.  In addition to administering and supervising human 
123.7   services activities vested by law in the department, the 
123.8   commissioner shall have the authority to: 
123.9      (a) require county agency participation in training and 
123.10  technical assistance programs to promote compliance with 
123.11  statutes, rules, federal laws, regulations, and policies 
123.12  governing human services; 
123.13     (b) monitor, on an ongoing basis, the performance of county 
123.14  agencies in the operation and administration of human services, 
123.15  enforce compliance with statutes, rules, federal laws, 
123.16  regulations, and policies governing welfare services and promote 
123.17  excellence of administration and program operation; 
123.18     (c) develop a quality control program or other monitoring 
123.19  program to review county performance and accuracy of benefit 
123.20  determinations; 
123.21     (d) require county agencies to make an adjustment to the 
123.22  public assistance benefits issued to any individual consistent 
123.23  with federal law and regulation and state law and rule and to 
123.24  issue or recover benefits as appropriate; 
123.25     (e) delay or deny payment of all or part of the state and 
123.26  federal share of benefits and administrative reimbursement 
123.27  according to the procedures set forth in section 256.017; 
123.28     (f) make contracts with and grants to public and private 
123.29  agencies and organizations, both profit and nonprofit, and 
123.30  individuals, using appropriated funds; and 
123.31     (g) enter into contractual agreements with federally 
123.32  recognized Indian tribes with a reservation in Minnesota to the 
123.33  extent necessary for the tribe to operate a federally approved 
123.34  family assistance program or any other program under the 
123.35  supervision of the commissioner.  The commissioner shall consult 
123.36  with the affected county or counties in the contractual 
124.1   agreement negotiations, if the county or counties wish to be 
124.2   included, in order to avoid the duplication of county and tribal 
124.3   assistance program services.  The commissioner may establish 
124.4   necessary accounts for the purposes of receiving and disbursing 
124.5   funds as necessary for the operation of the programs. 
124.6      (2) Inform county agencies, on a timely basis, of changes 
124.7   in statute, rule, federal law, regulation, and policy necessary 
124.8   to county agency administration of the programs. 
124.9      (3) Administer and supervise all child welfare activities; 
124.10  promote the enforcement of laws protecting handicapped, 
124.11  dependent, neglected and delinquent children, and children born 
124.12  to mothers who were not married to the children's fathers at the 
124.13  times of the conception nor at the births of the children; 
124.14  license and supervise child-caring and child-placing agencies 
124.15  and institutions; supervise the care of children in boarding and 
124.16  foster homes or in private institutions; and generally perform 
124.17  all functions relating to the field of child welfare now vested 
124.18  in the state board of control. 
124.19     (4) Administer and supervise all noninstitutional service 
124.20  to handicapped persons, including those who are visually 
124.21  impaired, hearing impaired, or physically impaired or otherwise 
124.22  handicapped.  The commissioner may provide and contract for the 
124.23  care and treatment of qualified indigent children in facilities 
124.24  other than those located and available at state hospitals when 
124.25  it is not feasible to provide the service in state hospitals. 
124.26     (5) Assist and actively cooperate with other departments, 
124.27  agencies and institutions, local, state, and federal, by 
124.28  performing services in conformity with the purposes of Laws 
124.29  1939, chapter 431. 
124.30     (6) Act as the agent of and cooperate with the federal 
124.31  government in matters of mutual concern relative to and in 
124.32  conformity with the provisions of Laws 1939, chapter 431, 
124.33  including the administration of any federal funds granted to the 
124.34  state to aid in the performance of any functions of the 
124.35  commissioner as specified in Laws 1939, chapter 431, and 
124.36  including the promulgation of rules making uniformly available 
125.1   medical care benefits to all recipients of public assistance, at 
125.2   such times as the federal government increases its participation 
125.3   in assistance expenditures for medical care to recipients of 
125.4   public assistance, the cost thereof to be borne in the same 
125.5   proportion as are grants of aid to said recipients. 
125.6      (7) Establish and maintain any administrative units 
125.7   reasonably necessary for the performance of administrative 
125.8   functions common to all divisions of the department. 
125.9      (8) Act as designated guardian of both the estate and the 
125.10  person of all the wards of the state of Minnesota, whether by 
125.11  operation of law or by an order of court, without any further 
125.12  act or proceeding whatever, except as to persons committed as 
125.13  mentally retarded.  For children under the guardianship of the 
125.14  commissioner whose interests would be best served by adoptive 
125.15  placement, the commissioner may contract with a licensed 
125.16  child-placing agency to provide adoption services.  A contract 
125.17  with a licensed child-placing agency must be designed to 
125.18  supplement existing county efforts and may not replace existing 
125.19  county programs, unless the replacement is agreed to by the 
125.20  county board and the appropriate exclusive bargaining 
125.21  representative or the commissioner has evidence that child 
125.22  placements of the county continue to be substantially below that 
125.23  of other counties.  Funds encumbered and obligated under an 
125.24  agreement for a specific child shall remain available until the 
125.25  terms of the agreement are fulfilled or the agreement is 
125.26  terminated. 
125.27     (9) Act as coordinating referral and informational center 
125.28  on requests for service for newly arrived immigrants coming to 
125.29  Minnesota. 
125.30     (10) The specific enumeration of powers and duties as 
125.31  hereinabove set forth shall in no way be construed to be a 
125.32  limitation upon the general transfer of powers herein contained. 
125.33     (11) Establish county, regional, or statewide schedules of 
125.34  maximum fees and charges which may be paid by county agencies 
125.35  for medical, dental, surgical, hospital, nursing and nursing 
125.36  home care and medicine and medical supplies under all programs 
126.1   of medical care provided by the state and for congregate living 
126.2   care under the income maintenance programs. 
126.3      (12) Have the authority to conduct and administer 
126.4   experimental projects to test methods and procedures of 
126.5   administering assistance and services to recipients or potential 
126.6   recipients of public welfare.  To carry out such experimental 
126.7   projects, it is further provided that the commissioner of human 
126.8   services is authorized to waive the enforcement of existing 
126.9   specific statutory program requirements, rules, and standards in 
126.10  one or more counties.  The order establishing the waiver shall 
126.11  provide alternative methods and procedures of administration, 
126.12  shall not be in conflict with the basic purposes, coverage, or 
126.13  benefits provided by law, and in no event shall the duration of 
126.14  a project exceed four years.  It is further provided that no 
126.15  order establishing an experimental project as authorized by the 
126.16  provisions of this section shall become effective until the 
126.17  following conditions have been met: 
126.18     (a) The secretary of health and human services of the 
126.19  United States has agreed, for the same project, to waive state 
126.20  plan requirements relative to statewide uniformity. 
126.21     (b) A comprehensive plan, including estimated project 
126.22  costs, shall be approved by the legislative advisory commission 
126.23  and filed with the commissioner of administration.  
126.24     (13) According to federal requirements, establish 
126.25  procedures to be followed by local welfare boards in creating 
126.26  citizen advisory committees, including procedures for selection 
126.27  of committee members. 
126.28     (14) Allocate federal fiscal disallowances or sanctions 
126.29  which are based on quality control error rates for the aid to 
126.30  families with dependent children program formerly codified in 
126.31  sections 256.72 to 256.87, medical assistance, or food stamp 
126.32  program in the following manner:  
126.33     (a) One-half of the total amount of the disallowance shall 
126.34  be borne by the county boards responsible for administering the 
126.35  programs.  For the medical assistance and the AFDC program 
126.36  formerly codified in sections 256.72 to 256.87, disallowances 
127.1   shall be shared by each county board in the same proportion as 
127.2   that county's expenditures for the sanctioned program are to the 
127.3   total of all counties' expenditures for the AFDC program 
127.4   formerly codified in sections 256.72 to 256.87, and medical 
127.5   assistance programs.  For the food stamp program, sanctions 
127.6   shall be shared by each county board, with 50 percent of the 
127.7   sanction being distributed to each county in the same proportion 
127.8   as that county's administrative costs for food stamps are to the 
127.9   total of all food stamp administrative costs for all counties, 
127.10  and 50 percent of the sanctions being distributed to each county 
127.11  in the same proportion as that county's value of food stamp 
127.12  benefits issued are to the total of all benefits issued for all 
127.13  counties.  Each county shall pay its share of the disallowance 
127.14  to the state of Minnesota.  When a county fails to pay the 
127.15  amount due hereunder, the commissioner may deduct the amount 
127.16  from reimbursement otherwise due the county, or the attorney 
127.17  general, upon the request of the commissioner, may institute 
127.18  civil action to recover the amount due. 
127.19     (b) Notwithstanding the provisions of paragraph (a), if the 
127.20  disallowance results from knowing noncompliance by one or more 
127.21  counties with a specific program instruction, and that knowing 
127.22  noncompliance is a matter of official county board record, the 
127.23  commissioner may require payment or recover from the county or 
127.24  counties, in the manner prescribed in paragraph (a), an amount 
127.25  equal to the portion of the total disallowance which resulted 
127.26  from the noncompliance, and may distribute the balance of the 
127.27  disallowance according to paragraph (a).  
127.28     (15) Develop and implement special projects that maximize 
127.29  reimbursements, other than federal TANF funds, and result in the 
127.30  recovery of money to the state.  For the purpose of recovering 
127.31  state money, the commissioner may enter into contracts with 
127.32  third parties.  Any recoveries that result from projects or 
127.33  contracts entered into under this paragraph shall be deposited 
127.34  in the state treasury and credited to a special account until 
127.35  the balance in the account reaches $1,000,000.  When the balance 
127.36  in the account exceeds $1,000,000, the excess shall be 
128.1   transferred and credited to the general fund.  All money in the 
128.2   account is appropriated to the commissioner for the purposes of 
128.3   this paragraph. 
128.4      (16) Have the authority to make direct payments to 
128.5   facilities providing shelter to women and their children 
128.6   according to section 256D.05, subdivision 3.  Upon the written 
128.7   request of a shelter facility that has been denied payments 
128.8   under section 256D.05, subdivision 3, the commissioner shall 
128.9   review all relevant evidence and make a determination within 30 
128.10  days of the request for review regarding issuance of direct 
128.11  payments to the shelter facility.  Failure to act within 30 days 
128.12  shall be considered a determination not to issue direct payments.
128.13     (17) Have the authority to establish and enforce the 
128.14  following county reporting requirements:  
128.15     (a) The commissioner shall establish fiscal and statistical 
128.16  reporting requirements necessary to account for the expenditure 
128.17  of funds allocated to counties for human services programs.  
128.18  When establishing financial and statistical reporting 
128.19  requirements, the commissioner shall evaluate all reports, in 
128.20  consultation with the counties, to determine if the reports can 
128.21  be simplified or the number of reports can be reduced. 
128.22     (b) The county board shall submit monthly or quarterly 
128.23  reports to the department as required by the commissioner.  
128.24  Monthly reports are due no later than 15 working days after the 
128.25  end of the month.  Quarterly reports are due no later than 30 
128.26  calendar days after the end of the quarter, unless the 
128.27  commissioner determines that the deadline must be shortened to 
128.28  20 calendar days to avoid jeopardizing compliance with federal 
128.29  deadlines or risking a loss of federal funding.  Only reports 
128.30  that are complete, legible, and in the required format shall be 
128.31  accepted by the commissioner.  
128.32     (c) If the required reports are not received by the 
128.33  deadlines established in clause (b), the commissioner may delay 
128.34  payments and withhold funds from the county board until the next 
128.35  reporting period.  When the report is needed to account for the 
128.36  use of federal funds and the late report results in a reduction 
129.1   in federal funding, the commissioner shall withhold from the 
129.2   county boards with late reports an amount equal to the reduction 
129.3   in federal funding until full federal funding is received.  
129.4      (d) A county board that submits reports that are late, 
129.5   illegible, incomplete, or not in the required format for two out 
129.6   of three consecutive reporting periods is considered 
129.7   noncompliant.  When a county board is found to be noncompliant, 
129.8   the commissioner shall notify the county board of the reason the 
129.9   county board is considered noncompliant and request that the 
129.10  county board develop a corrective action plan stating how the 
129.11  county board plans to correct the problem.  The corrective 
129.12  action plan must be submitted to the commissioner within 45 days 
129.13  after the date the county board received notice of noncompliance.
129.14     (e) The final deadline for fiscal reports or amendments to 
129.15  fiscal reports is one year after the date the report was 
129.16  originally due.  If the commissioner does not receive a report 
129.17  by the final deadline, the county board forfeits the funding 
129.18  associated with the report for that reporting period and the 
129.19  county board must repay any funds associated with the report 
129.20  received for that reporting period. 
129.21     (f) The commissioner may not delay payments, withhold 
129.22  funds, or require repayment under paragraph (c) or (e) if the 
129.23  county demonstrates that the commissioner failed to provide 
129.24  appropriate forms, guidelines, and technical assistance to 
129.25  enable the county to comply with the requirements.  If the 
129.26  county board disagrees with an action taken by the commissioner 
129.27  under paragraph (c) or (e), the county board may appeal the 
129.28  action according to sections 14.57 to 14.69. 
129.29     (g) Counties subject to withholding of funds under 
129.30  paragraph (c) or forfeiture or repayment of funds under 
129.31  paragraph (e) shall not reduce or withhold benefits or services 
129.32  to clients to cover costs incurred due to actions taken by the 
129.33  commissioner under paragraph (c) or (e). 
129.34     (18) Allocate federal fiscal disallowances or sanctions for 
129.35  audit exceptions when federal fiscal disallowances or sanctions 
129.36  are based on a statewide random sample for the foster care 
130.1   program under title IV-E of the Social Security Act, United 
130.2   States Code, title 42, in direct proportion to each county's 
130.3   title IV-E foster care maintenance claim for that period. 
130.4      (19) Be responsible for ensuring the detection, prevention, 
130.5   investigation, and resolution of fraudulent activities or 
130.6   behavior by applicants, recipients, and other participants in 
130.7   the human services programs administered by the department. 
130.8      (20) Require county agencies to identify overpayments, 
130.9   establish claims, and utilize all available and cost-beneficial 
130.10  methodologies to collect and recover these overpayments in the 
130.11  human services programs administered by the department. 
130.12     (21) Have the authority to administer a drug rebate program 
130.13  for drugs purchased pursuant to the senior citizen drug program 
130.14  established under section 256.955 after the beneficiary's 
130.15  satisfaction of any deductible established in the program.  The 
130.16  commissioner shall require a rebate agreement from all 
130.17  manufacturers of covered drugs as defined in section 256B.0625, 
130.18  subdivision 13.  For each drug, the amount of the rebate shall 
130.19  be equal to the basic rebate as defined for purposes of the 
130.20  federal rebate program in United States Code, title 42, section 
130.21  1396r-8(c)(1).  This basic rebate shall be applied to 
130.22  single-source and multiple-source drugs.  The manufacturers must 
130.23  provide full payment within 30 days of receipt of the state 
130.24  invoice for the rebate within the terms and conditions used for 
130.25  the federal rebate program established pursuant to section 1927 
130.26  of title XIX of the Social Security Act.  The manufacturers must 
130.27  provide the commissioner with any information necessary to 
130.28  verify the rebate determined per drug.  The rebate program shall 
130.29  utilize the terms and conditions used for the federal rebate 
130.30  program established pursuant to section 1927 of title XIX of the 
130.31  Social Security Act. 
130.32     (22) Operate the department's communication systems account 
130.33  established in Laws 1993, First Special Session chapter 1, 
130.34  article 1, section 2, subdivision 2, to manage shared 
130.35  communication costs necessary for the operation of the programs 
130.36  the commissioner supervises.  A communications account may also 
131.1   be established for each regional treatment center which operates 
131.2   communications systems.  Each account must be used to manage 
131.3   shared communication costs necessary for the operations of the 
131.4   programs the commissioner supervises.  The commissioner may 
131.5   distribute the costs of operating and maintaining communication 
131.6   systems to participants in a manner that reflects actual usage. 
131.7   Costs may include acquisition, licensing, insurance, 
131.8   maintenance, repair, staff time and other costs as determined by 
131.9   the commissioner.  Nonprofit organizations and state, county, 
131.10  and local government agencies involved in the operation of 
131.11  programs the commissioner supervises may participate in the use 
131.12  of the department's communications technology and share in the 
131.13  cost of operation.  The commissioner may accept on behalf of the 
131.14  state any gift, bequest, devise or personal property of any 
131.15  kind, or money tendered to the state for any lawful purpose 
131.16  pertaining to the communication activities of the department.  
131.17  Any money received for this purpose must be deposited in the 
131.18  department's communication systems accounts.  Money collected by 
131.19  the commissioner for the use of communication systems must be 
131.20  deposited in the state communication systems account and is 
131.21  appropriated to the commissioner for purposes of this section. 
131.22     (23) Receive any federal matching money that is made 
131.23  available through the medical assistance program for the 
131.24  consumer satisfaction survey.  Any federal money received for 
131.25  the survey is appropriated to the commissioner for this 
131.26  purpose.  The commissioner may expend the federal money received 
131.27  for the consumer satisfaction survey in either year of the 
131.28  biennium. 
131.29     (24) Incorporate cost reimbursement claims from First Call 
131.30  Minnesota into the federal cost reimbursement claiming processes 
131.31  of the department according to federal law, rule, and 
131.32  regulations.  Any reimbursement received is appropriated to the 
131.33  commissioner and shall be disbursed to First Call Minnesota 
131.34  according to normal department payment schedules. 
131.35     (25) Develop recommended standards for foster care homes 
131.36  that address the components of specialized therapeutic services 
132.1   to be provided by foster care homes with those services. 
132.2      Sec. 4.  Minnesota Statutes 1998, section 256.011, 
132.3   subdivision 3, is amended to read: 
132.4      Subd. 3.  The commissioner of human services shall 
132.5   negotiate with the federal government, or any agency, bureau, or 
132.6   department thereof, for the purpose of securing or obtaining any 
132.7   grants or aids.  Any grants or aids thus secured or received are 
132.8   appropriated to the commissioner of human services and made 
132.9   available for the uses and purposes for which they were received 
132.10  but shall be used to reduce the direct appropriations provided 
132.11  by law unless: 
132.12     (1) federal law prohibits such action; 
132.13     (2) the grants or aids are federal TANF funds; or unless 
132.14     (3) the commissioner of human services obtains approval of 
132.15  the governor who shall seek the advice of the legislative 
132.16  advisory commission. 
132.17     Sec. 5.  Minnesota Statutes 1998, section 256.995, 
132.18  subdivision 1, is amended to read: 
132.19     Subdivision 1.  [PROGRAM ESTABLISHED.] In order to enhance 
132.20  the delivery of needed services to at-risk children and youth 
132.21  and maximize federal funds, other than federal TANF funds, 
132.22  available for that purpose, the commissioners of human services 
132.23  and children, families, and learning shall design a statewide 
132.24  program of collaboration between providers of health and social 
132.25  services for children and local school districts, to be 
132.26  financed, to the greatest extent possible, from federal 
132.27  sources.  The commissioners of health and public safety shall 
132.28  assist the commissioners of human services and children, 
132.29  families, and learning in designing the program. 
132.30     Sec. 6.  [256J.025] [TANF MAINTENANCE OF EFFORT.] 
132.31     Subdivision 1.  [SOURCES OF NONFEDERAL MONEY FOR TANF MOE.] 
132.32  In order to meet the basic maintenance of effort (MOE) 
132.33  requirements of the TANF block grant specified under United 
132.34  States Code, title 42, section 609(a)(7), the commissioner may 
132.35  only report nonfederal money expended for allowable activities 
132.36  listed in the following clauses as TANF MOE expenditures: 
133.1      (1) MFIP cash and food assistance benefits under this 
133.2   chapter; 
133.3      (2) the child care assistance programs under sections 
133.4   119B.03 and 119B.05, and county child care administrative costs 
133.5   under section 119B.15; 
133.6      (3) state and county MFIP administrative costs under this 
133.7   chapter and chapter 256K; 
133.8      (4) state, county, and tribal MFIP employment services 
133.9   under this chapter and chapter 256K; 
133.10     (5) expenditures made on behalf of noncitizen MFIP 
133.11  recipients who qualify for the medical assistance without 
133.12  federal financial participation program under section 256B.06, 
133.13  subdivision 4, paragraphs (d), (e), and (j); 
133.14     (6) for fiscal years 2000 and 2001, allowable state 
133.15  expenditures from the working family credit under section 
133.16  290.0671 may be reported as specified in the provision in 
133.17  article 1, section 2, subdivision 7, related to claiming working 
133.18  family credit expenditures as TANF MOE; and 
133.19     (7) for fiscal years 2001 to 2003 only, allowable state 
133.20  expenditures for family preservation services under chapter 256F 
133.21  may be reported in amounts equal to the state share of the 
133.22  amounts distributed to individuals under section 256.741, 
133.23  subdivision 15. 
133.24     Subd. 2.  [SUFFICIENT QUALIFIED STATE EXPENDITURES REQUIRED 
133.25  ANNUALLY.] (a) The commissioner shall ensure that sufficient 
133.26  qualified nonfederal expenditures are made each year to meet the 
133.27  state's TANF MOE requirements.  For the activities listed in 
133.28  subdivision 1, clauses (2) to (6), the commissioner may only 
133.29  report expenditures that are excluded from the definition of 
133.30  assistance under Code of Federal Regulations, title 45, section 
133.31  260.31.  If nonfederal expenditures for the programs and 
133.32  purposes listed in subdivision 1 are insufficient to meet the 
133.33  state's TANF MOE requirements, the commissioner shall recommend 
133.34  additional allowable sources of nonfederal expenditures to the 
133.35  legislature, if the legislature is or will be in session to take 
133.36  action to specify additional sources of nonfederal expenditures 
134.1   for TANF MOE before a federal penalty is imposed.  The 
134.2   commissioner shall otherwise provide recommendations to the 
134.3   legislative advisory commission under section 3.3006. 
134.4      (b) If the commissioner uses authority granted under Laws 
134.5   1999, chapter 245, article 1, section 10, or similar authority 
134.6   granted by a subsequent legislature, to meet the state's TANF 
134.7   MOE requirements in a reporting period, the commissioner shall 
134.8   inform the chairs of the appropriate legislative committees 
134.9   about all transfers made under that authority for this purpose. 
134.10     Sec. 7.  Minnesota Statutes 1998, section 256J.08, is 
134.11  amended by adding a subdivision to read: 
134.12     Subd. 84a.  [TANF MOE.] "TANF MOE" means the maintenance of 
134.13  effort for the TANF block grant specified under United States 
134.14  Code, title 42, section 609(a)(7). 
134.15     Sec. 8.  Laws 1999, chapter 245, article 1, section 2, 
134.16  subdivision 10, is amended to read: 
134.17  Subd. 10.  Economic Support Grants
134.18  General             142,037,000   124,758,000
134.19  [GIFTS.] Notwithstanding Minnesota 
134.20  Statutes, chapter 7, the commissioner 
134.21  may accept on behalf of the state 
134.22  additional funding from sources other 
134.23  than state funds for the purpose of 
134.24  financing the cost of assistance 
134.25  program grants or nongrant 
134.26  administration.  All additional funding 
134.27  is appropriated to the commissioner for 
134.28  use as designated by the grantee of 
134.29  funding. 
134.30  [CHILD SUPPORT PAYMENT CENTER 
134.31  RECOUPMENT ACCOUNT.] The child support 
134.32  payment center is authorized to 
134.33  establish an account to cover checks 
134.34  issued in error or in cases where 
134.35  insufficient funds are available to pay 
134.36  the checks.  All recoupments against 
134.37  payments from the account must be 
134.38  deposited in the child support payment 
134.39  center recoupment account and are 
134.40  appropriated to the commissioner for 
134.41  the purposes of the account.  Any 
134.42  unexpended balance in the account does 
134.43  not cancel, but is available until 
134.44  expended. 
134.45  [FEDERAL TANF FUNDS.] (1) Federal 
134.46  Temporary Assistance for Needy Families 
134.47  block grant funds authorized under 
134.48  title I, Public Law Number 104-193, the 
134.49  Personal Responsibility and Work 
134.50  Opportunity Reconciliation Act of 1996, 
134.51  and awarded in federal fiscal years 
135.1   1997 to 2002 are appropriated to the 
135.2   commissioner in amounts up to 
135.3   $256,265,000 is fiscal year 2000 and 
135.4   $249,682,000 in fiscal year 2001.  In 
135.5   addition to these funds, the 
135.6   commissioner may draw or transfer any 
135.7   other appropriations or transfers of 
135.8   federal TANF block grant funds that are 
135.9   enacted into state law. 
135.10  (2) Of the amounts in clause (1), 
135.11  $15,000,000 is transferred each year of 
135.12  the biennium to the state's federal 
135.13  Title XX block grant.  Notwithstanding 
135.14  the provisions of Minnesota Statutes, 
135.15  section 256E.07, in each year of the 
135.16  biennium the commissioner shall 
135.17  allocate $15,000,000 of the state's 
135.18  Title XX block grant funds based on the 
135.19  community social services aids formula 
135.20  in Minnesota Statutes, section 
135.21  256E.06.  The commissioner shall ensure 
135.22  that money allocated to counties under 
135.23  this provision is used according to the 
135.24  requirements of United States Code, 
135.25  title 42, section 604(d)(3)(B).  
135.26  (3) Of the amounts in clause (1), 
135.27  $10,990,000 is transferred each year 
135.28  from the state's federal TANF block 
135.29  grant to the state's federal Title XX 
135.30  block grant.  In each year $140,000 is 
135.31  for grants according to Minnesota 
135.32  Statutes, section 257.3571, subdivision 
135.33  2a, to the Indian child welfare defense 
135.34  corporation to promote statewide 
135.35  compliance with the Indian Child 
135.36  Welfare Act of 1978; $4,650,000 is for 
135.37  grants to counties for concurrent 
135.38  permanency planning; and $6,200,000 is 
135.39  for the commissioner to distribute 
135.40  according to the formula in Minnesota 
135.41  Statutes, section 256E.07.  The 
135.42  commissioner shall ensure that money 
135.43  allocated under this clause is used 
135.44  according to the requirements of United 
135.45  States Code, title 42, section 
135.46  604(d)(3)(B).  In fiscal years 2002 and 
135.47  2003, $140,000 per year is for grants 
135.48  according to Minnesota Statutes, 
135.49  section 257.3571, subdivision 2a, to 
135.50  the Indian child welfare defense 
135.51  corporation to promote statewide 
135.52  compliance with the Indian Child 
135.53  Welfare Act of 1978.  Section 13, 
135.54  sunset of uncodified language, does not 
135.55  apply to this provision. 
135.56  (4) Of the amounts in clause (1), 
135.57  $13,360,000 each year is for increased 
135.58  employment and training efforts and 
135.59  shall be expended as follows: 
135.60  (a) $140,000 each year is for a grant 
135.61  to the new chance program.  The new 
135.62  chance program shall provide 
135.63  comprehensive services through a 
135.64  private, nonprofit agency to young 
135.65  parents in Hennepin county who have 
135.66  dropped out of school and are receiving 
135.67  public assistance.  The program 
136.1   administrator shall report annually to 
136.2   the commissioner on skills development, 
136.3   education, job training, and job 
136.4   placement outcomes for program 
136.5   participants.  This appropriation is 
136.6   available for either year of the 
136.7   biennium. 
136.8   (b) $260,000 each year is for grants to 
136.9   counties to operate the parents fair 
136.10  share program to assist unemployed, 
136.11  noncustodial parents with job search 
136.12  and parenting skills. 
136.13  (c) $12,960,000 each year is to 
136.14  increase employment and training 
136.15  services grants for MFIP of which 
136.16  $750,000 each year is to be transferred 
136.17  to the job skills partnership board for 
136.18  the health care and human services 
136.19  worker training and retention program. 
136.20  (d) $10,400,000 of these appropriations 
136.21  shall become part of the base for the 
136.22  2002-2003 biennium. 
136.23  (5) Of the amounts in clause (1), 
136.24  $1,094,000 in fiscal year 2000 and 
136.25  $1,676,000 in fiscal year 2001 is 
136.26  transferred from the state's federal 
136.27  TANF block grant to the state's federal 
136.28  child care and development fund block 
136.29  grant, and is appropriated to the 
136.30  commissioner of children, families, and 
136.31  learning for the purposes of Minnesota 
136.32  Statutes, section 119B.05. 
136.33  (6) Of the amounts in clause (1), 
136.34  $1,000,000 for the biennium is for the 
136.35  purposes of creating and expanding 
136.36  adult-supervised supportive living 
136.37  arrangement services under Minnesota 
136.38  Statutes, section 256J.14.  The 
136.39  commissioner shall request proposals 
136.40  from interested parties that have 
136.41  knowledge and experience in the area of 
136.42  adult-supervised adolescent housing and 
136.43  supportive services, and award grants 
136.44  for the purpose of either expanding 
136.45  existing or creating new living 
136.46  arrangements and supportive services.  
136.47  Minor parents who are MFIP participants 
136.48  shall be given priority for housing, 
136.49  and excess living arrangements may be 
136.50  used by minor parents who are not MFIP 
136.51  participants. 
136.52  (7) In order to maximize transfers from 
136.53  Minnesota's 1998 and 1999 federal TANF 
136.54  block grant awards, the commissioner 
136.55  may implement the transfers of TANF 
136.56  funds in clauses (2), (3), and (5) in 
136.57  the first year of the biennium.  This 
136.58  must only be done to the extent allowed 
136.59  by federal law and to the extent that 
136.60  program funding requirements can be met 
136.61  in the second year of the biennium. 
136.62  (8) The commissioner shall ensure that 
136.63  sufficient qualified state expenditures 
136.64  are made each year to meet the TANF 
137.1   basic maintenance of effort 
137.2   requirements.  The commissioner may 
137.3   apply any allowable source of state 
137.4   expenditures toward these requirements, 
137.5   as necessary to meet minimum basic 
137.6   maintenance of effort requirements and 
137.7   to prevent the loss of federal funds. 
137.8   [WORKER TRAINING AND RETENTION 
137.9   ELIGIBILITY PROCEDURES.] The 
137.10  commissioner shall develop eligibility 
137.11  procedures for TANF expenditures under 
137.12  Minnesota Statutes, section 256J.02, 
137.13  subdivision 2, clause (5). 
137.14  The amounts that may be spent from this 
137.15  appropriation for each purpose are as 
137.16  follows: 
137.17  (a) Assistance to Families Grants
137.18  General              64,870,000    66,117,000
137.19  [EMPLOYMENT SERVICES CARRYOVER.] 
137.20  General fund and federal TANF block 
137.21  grant appropriations for employment 
137.22  services that remain unexpended 
137.23  subsequent to the reallocation process 
137.24  required in Minnesota Statutes, section 
137.25  256J.62, do not cancel but are 
137.26  available for these purposes in fiscal 
137.27  year 2001. 
137.28  (b) Work Grants              
137.29  General              10,731,000    10,731,000
137.30  (c) Aid to Families With     
137.31  Dependent Children and Other
137.32  Assistance
137.33  General               1,053,000       374,000
137.34  (d) Child Support Enforcement
137.35  General               5,359,000     5,359,000
137.36  [CHILD SUPPORT PAYMENT CENTER.] 
137.37  Payments to the commissioner from other 
137.38  governmental units, private 
137.39  enterprises, and individuals for 
137.40  services performed by the child support 
137.41  payment center must be deposited in the 
137.42  state systems account authorized under 
137.43  Minnesota Statutes, section 256.014.  
137.44  These payments are appropriated to the 
137.45  commissioner for the operation of the 
137.46  child support payment center or system, 
137.47  according to Minnesota Statutes, 
137.48  section 256.014. 
137.49  [CHILD SUPPORT EXPEDITED PROCESS.] Of 
137.50  this appropriation for child support 
137.51  enforcement, $2,340,000 for the 
137.52  biennium shall be transferred to the 
137.53  state court administrator to fund the 
137.54  child support expedited process, in 
137.55  accordance with a cooperative agreement 
137.56  to be negotiated between the parties.  
137.57  State funds transferred for this 
137.58  purpose in fiscal year 2000 may exceed 
138.1   the base funding amount of $1,170,000 
138.2   to the extent that there is an increase 
138.3   in the number of orders issued in the 
138.4   expedited process, but may not exceed 
138.5   $1,420,000 in any case.  Unexpended 
138.6   expedited process appropriations in 
138.7   fiscal year 2000 may be transferred to 
138.8   fiscal year 2001 for this purpose.  
138.9   Base funding for this program is set at 
138.10  $1,170,000 for each year of the 
138.11  2002-2003 biennium.  The commissioner 
138.12  shall include cost reimbursement claims 
138.13  from the state court administrator for 
138.14  the child support expedited process in 
138.15  the department of human services 
138.16  federal cost reimbursement claim 
138.17  process according to federal law.  
138.18  Federal dollars earned under these 
138.19  claims are appropriated to the 
138.20  commissioner and shall be disbursed to 
138.21  the state court administrator according 
138.22  to department procedures and schedules. 
138.23  (e) General Assistance
138.24  General              33,927,000    14,973,000
138.25  [TRANSFERS FROM STATE TANF RESERVE.] 
138.26  $4,666,000 in fiscal year 2000 is 
138.27  transferred from the state TANF reserve 
138.28  account to the general fund. 
138.29  [GENERAL ASSISTANCE STANDARD.] The 
138.30  commissioner shall set the monthly 
138.31  standard of assistance for general 
138.32  assistance units consisting of an adult 
138.33  recipient who is childless and 
138.34  unmarried or living apart from his or 
138.35  her parents or a legal guardian at 
138.36  $203.  The commissioner may reduce this 
138.37  amount in accordance with Laws 1997, 
138.38  chapter 85, article 3, section 54. 
138.39  (f) Minnesota Supplemental Aid
138.40  General              25,767,000    26,874,000
138.41  (g) Refugee Services         
138.42  General                 330,000       330,000
138.43     Sec. 9.  [EFFECTIVE DATE.] 
138.44     This article is effective the day following final enactment.
138.45                             ARTICLE 6 
138.46                           MISCELLANEOUS 
138.47     Section 1.  [198.37] [TRANSITIONAL HOUSING.] 
138.48     The board may establish programs, using available federal 
138.49  funding, to assist homeless or disabled veterans on the campuses 
138.50  of the veterans homes.  The board may use federal grant money 
138.51  for the Hastings veterans home to purchase a single-family 
138.52  dwelling, make necessary repairs and improvements with the help 
139.1   of the department of administration, and operate the program.  
139.2   Nonfederal funds may not be used to establish or continue these 
139.3   programs. 
139.4                              ARTICLE 7 
139.5                        TECHNICAL CORRECTIONS 
139.6      Section 1.  Minnesota Statutes 1999 Supplement, section 
139.7   62J.535, subdivision 2, is amended to read: 
139.8      Subd. 2.  [COMPLIANCE.] (a) Concurrent with the effective 
139.9   dates date of required compliance established under United 
139.10  States Code, title 42, sections 1320d to 1320d-8, as amended 
139.11  from time to time, for uniform electronic billing standards, all 
139.12  health care providers must conform to the uniform billing 
139.13  standards developed under subdivision 1. 
139.14     (b) Notwithstanding paragraph (a), the requirements for the 
139.15  uniform remittance advice report shall be effective 12 months 
139.16  after the date of the required compliance of the standards for 
139.17  the electronic remittance advice transaction are effective under 
139.18  United States Code, title 42, sections 1320d to 1320d-8, as 
139.19  amended from time to time. 
139.20     <b>EFFECTIVE DATE:</b>  This section is effective the day 
139.21  following final enactment. 
139.22     Sec. 2.  Minnesota Statutes 1998, section 125A.74, 
139.23  subdivision 1, is amended to read: 
139.24     Subdivision 1.  [ELIGIBILITY.] A district may enroll as a 
139.25  provider in the medical assistance program and receive medical 
139.26  assistance payments for covered special education services 
139.27  provided to persons eligible for medical assistance under 
139.28  chapter 256B.  To receive medical assistance payments, the 
139.29  district must pay the nonfederal share of medical assistance 
139.30  services provided according to section 256B.0625, subdivision 
139.31  26, and comply with relevant provisions of state and federal 
139.32  statutes and regulations governing the medical assistance 
139.33  program. 
139.34     Sec. 3.  Minnesota Statutes 1998, section 125A.74, 
139.35  subdivision 2, is amended to read: 
139.36     Subd. 2.  [FUNDING.] A district that provides a covered 
140.1   service to an eligible person and complies with relevant 
140.2   requirements of the medical assistance program is entitled to 
140.3   receive payment for the service provided, including that portion 
140.4   of the payment services that will subsequently be reimbursed by 
140.5   the federal government, in the same manner as other medical 
140.6   assistance providers.  The school district is not required to 
140.7   provide matching funds or pay part of the costs of the service, 
140.8   as long as the rate charged for the service does not exceed 
140.9   medical assistance limits that apply to all medical assistance 
140.10  providers. 
140.11     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
140.12  144.395, is amended by adding a subdivision to read: 
140.13     Subd. 3.  [SUNSET.] The tobacco use prevention and local 
140.14  public health endowment fund expires June 30, 2015.  Upon 
140.15  expiration, the commissioner of finance shall transfer the 
140.16  principal and any remaining interest to the general fund.  
140.17     <b>EFFECTIVE DATE:</b>  This section is effective the day 
140.18  following final enactment. 
140.19     Sec. 5.  Minnesota Statutes 1999 Supplement, section 
140.20  144.396, subdivision 11, is amended to read: 
140.21     Subd. 11.  [AUDITS REQUIRED.] The legislative auditor shall 
140.22  audit tobacco use prevention and local public health endowment 
140.23  fund expenditures to ensure that the money is spent for tobacco 
140.24  use prevention measures and public health initiatives.  
140.25     <b>EFFECTIVE DATE:</b>  This section is effective the day 
140.26  following final enactment. 
140.27     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
140.28  144.396, subdivision 12, is amended to read: 
140.29     Subd. 12.  [ENDOWMENT FUND NOT TO SUPPLANT EXISTING 
140.30  FUNDING.] Appropriations from the account tobacco use prevention 
140.31  and local public health endowment fund must not be used as a 
140.32  substitute for traditional sources of funding tobacco use 
140.33  prevention activities or public health initiatives.  Any local 
140.34  unit of government receiving money under this section must 
140.35  ensure that existing local financial efforts remain in place.  
140.36     <b>EFFECTIVE DATE:</b>  This section is effective the day 
141.1   following final enactment. 
141.2      Sec. 7.  Minnesota Statutes 1999 Supplement, section 
141.3   256B.0916, subdivision 1, is amended to read: 
141.4      Subdivision 1.  [REDUCTION OF WAITING LIST.] (a) The 
141.5   legislature recognizes that as of January 1, 1999, 3,300 persons 
141.6   with mental retardation or related conditions have been screened 
141.7   and determined eligible for the home and community-based waiver 
141.8   services program for persons with mental retardation or related 
141.9   conditions.  Many wait for several years before receiving 
141.10  service. 
141.11     (b) The waiting list for this program shall be reduced or 
141.12  eliminated by June 30, 2003.  In order to reduce the number of 
141.13  eligible persons waiting for identified services provided 
141.14  through the home and community-based waiver for persons with 
141.15  mental retardation or related conditions, during the period from 
141.16  July 1, 1999, to June 30, 2003, funding shall be increased to 
141.17  add 100 additional eligible persons each year beyond the 
141.18  February 1999 medical assistance forecast. 
141.19     (c) The commissioner shall allocate resources in such a 
141.20  manner as to use all resources budgeted for the home and 
141.21  community-based waiver for persons with mental retardation or 
141.22  related conditions according to the priorities listed in 
141.23  subdivision 2, paragraph (b), and then to serve other persons on 
141.24  the waiting list.  Resources allocated for a fiscal year to 
141.25  serve persons affected by public and private sector ICF/MR 
141.26  closures, but not expected to be expended for that purpose, must 
141.27  be reallocated within that fiscal year to serve other persons on 
141.28  the waiting list, and the number of waiver diversion slots shall 
141.29  be adjusted accordingly. 
141.30     (d) For fiscal year 2001, at least one-half of the increase 
141.31  in funding over the previous year provided in the February 1999 
141.32  medical assistance forecast for the home and community-based 
141.33  waiver for persons with mental retardation and related 
141.34  conditions, including changes made by the 1999 legislature, must 
141.35  be used to serve persons who are not affected by public and 
141.36  private sector ICF/MR closures. 
142.1      <b>EFFECTIVE DATE:</b>  This section is effective the day 
142.2   following final enactment. 
142.3      Sec. 8.  Minnesota Statutes 1999 Supplement, section 
142.4   256D.03, subdivision 4, is amended to read: 
142.5      Subd. 4.  [GENERAL ASSISTANCE MEDICAL CARE; SERVICES.] (a) 
142.6   For a person who is eligible under subdivision 3, paragraph (a), 
142.7   clause (3), general assistance medical care covers, except as 
142.8   provided in paragraph (c): 
142.9      (1) inpatient hospital services; 
142.10     (2) outpatient hospital services; 
142.11     (3) services provided by Medicare certified rehabilitation 
142.12  agencies; 
142.13     (4) prescription drugs and other products recommended 
142.14  through the process established in section 256B.0625, 
142.15  subdivision 13; 
142.16     (5) equipment necessary to administer insulin and 
142.17  diagnostic supplies and equipment for diabetics to monitor blood 
142.18  sugar level; 
142.19     (6) eyeglasses and eye examinations provided by a physician 
142.20  or optometrist; 
142.21     (7) hearing aids; 
142.22     (8) prosthetic devices; 
142.23     (9) laboratory and X-ray services; 
142.24     (10) physician's services; 
142.25     (11) medical transportation; 
142.26     (12) chiropractic services as covered under the medical 
142.27  assistance program; 
142.28     (13) podiatric services; 
142.29     (14) dental services; 
142.30     (15) outpatient services provided by a mental health center 
142.31  or clinic that is under contract with the county board and is 
142.32  established under section 245.62; 
142.33     (16) day treatment services for mental illness provided 
142.34  under contract with the county board; 
142.35     (17) prescribed medications for persons who have been 
142.36  diagnosed as mentally ill as necessary to prevent more 
143.1   restrictive institutionalization; 
143.2      (18) psychological services, medical supplies and 
143.3   equipment, and Medicare premiums, coinsurance and deductible 
143.4   payments; 
143.5      (19) medical equipment not specifically listed in this 
143.6   paragraph when the use of the equipment will prevent the need 
143.7   for costlier services that are reimbursable under this 
143.8   subdivision; 
143.9      (20) services performed by a certified pediatric nurse 
143.10  practitioner, a certified family nurse practitioner, a certified 
143.11  adult nurse practitioner, a certified obstetric/gynecological 
143.12  nurse practitioner, a certified neonatal nurse practitioner, or 
143.13  a certified geriatric nurse practitioner in independent 
143.14  practice, if (1) the service is otherwise covered under this 
143.15  chapter as a physician service, (2) a the service provided on an 
143.16  inpatient basis is not included as part of the cost for 
143.17  inpatient services included in the operating payment rate, and 
143.18  (3) the service is within the scope of practice of the nurse 
143.19  practitioner's license as a registered nurse, as defined in 
143.20  section 148.171; 
143.21     (21) services of a certified public health nurse or a 
143.22  registered nurse practicing in a public health nursing clinic 
143.23  that is a department of, or that operates under the direct 
143.24  authority of, a unit of government, if the service is within the 
143.25  scope of practice of the public health nurse's license as a 
143.26  registered nurse, as defined in section 148.171; and 
143.27     (22) telemedicine consultations, to the extent they are 
143.28  covered under section 256B.0625, subdivision 3b.  
143.29     (b) Except as provided in paragraph (c), for a recipient 
143.30  who is eligible under subdivision 3, paragraph (a), clause (1) 
143.31  or (2), general assistance medical care covers the services 
143.32  listed in paragraph (a) with the exception of special 
143.33  transportation services. 
143.34     (c) Gender reassignment surgery and related services are 
143.35  not covered services under this subdivision unless the 
143.36  individual began receiving gender reassignment services prior to 
144.1   July 1, 1995.  
144.2      (d) In order to contain costs, the commissioner of human 
144.3   services shall select vendors of medical care who can provide 
144.4   the most economical care consistent with high medical standards 
144.5   and shall where possible contract with organizations on a 
144.6   prepaid capitation basis to provide these services.  The 
144.7   commissioner shall consider proposals by counties and vendors 
144.8   for prepaid health plans, competitive bidding programs, block 
144.9   grants, or other vendor payment mechanisms designed to provide 
144.10  services in an economical manner or to control utilization, with 
144.11  safeguards to ensure that necessary services are provided.  
144.12  Before implementing prepaid programs in counties with a county 
144.13  operated or affiliated public teaching hospital or a hospital or 
144.14  clinic operated by the University of Minnesota, the commissioner 
144.15  shall consider the risks the prepaid program creates for the 
144.16  hospital and allow the county or hospital the opportunity to 
144.17  participate in the program in a manner that reflects the risk of 
144.18  adverse selection and the nature of the patients served by the 
144.19  hospital, provided the terms of participation in the program are 
144.20  competitive with the terms of other participants considering the 
144.21  nature of the population served.  Payment for services provided 
144.22  pursuant to this subdivision shall be as provided to medical 
144.23  assistance vendors of these services under sections 256B.02, 
144.24  subdivision 8, and 256B.0625.  For payments made during fiscal 
144.25  year 1990 and later years, the commissioner shall consult with 
144.26  an independent actuary in establishing prepayment rates, but 
144.27  shall retain final control over the rate methodology.  
144.28  Notwithstanding the provisions of subdivision 3, an individual 
144.29  who becomes ineligible for general assistance medical care 
144.30  because of failure to submit income reports or recertification 
144.31  forms in a timely manner, shall remain enrolled in the prepaid 
144.32  health plan and shall remain eligible for general assistance 
144.33  medical care coverage through the last day of the month in which 
144.34  the enrollee became ineligible for general assistance medical 
144.35  care. 
144.36     (e) The commissioner of human services may reduce payments 
145.1   provided under sections 256D.01 to 256D.21 and 261.23 in order 
145.2   to remain within the amount appropriated for general assistance 
145.3   medical care, within the following restrictions: 
145.4      (i) For the period July 1, 1985 to December 31, 1985, 
145.5   reductions below the cost per service unit allowable under 
145.6   section 256.966, are permitted only as follows:  payments for 
145.7   inpatient and outpatient hospital care provided in response to a 
145.8   primary diagnosis of chemical dependency or mental illness may 
145.9   be reduced no more than 30 percent; payments for all other 
145.10  inpatient hospital care may be reduced no more than 20 percent.  
145.11  Reductions below the payments allowable under general assistance 
145.12  medical care for the remaining general assistance medical care 
145.13  services allowable under this subdivision may be reduced no more 
145.14  than ten percent. 
145.15     (ii) For the period January 1, 1986 to December 31, 1986, 
145.16  reductions below the cost per service unit allowable under 
145.17  section 256.966 are permitted only as follows:  payments for 
145.18  inpatient and outpatient hospital care provided in response to a 
145.19  primary diagnosis of chemical dependency or mental illness may 
145.20  be reduced no more than 20 percent; payments for all other 
145.21  inpatient hospital care may be reduced no more than 15 percent.  
145.22  Reductions below the payments allowable under general assistance 
145.23  medical care for the remaining general assistance medical care 
145.24  services allowable under this subdivision may be reduced no more 
145.25  than five percent. 
145.26     (iii) For the period January 1, 1987 to June 30, 1987, 
145.27  reductions below the cost per service unit allowable under 
145.28  section 256.966 are permitted only as follows:  payments for 
145.29  inpatient and outpatient hospital care provided in response to a 
145.30  primary diagnosis of chemical dependency or mental illness may 
145.31  be reduced no more than 15 percent; payments for all other 
145.32  inpatient hospital care may be reduced no more than ten 
145.33  percent.  Reductions below the payments allowable under medical 
145.34  assistance for the remaining general assistance medical care 
145.35  services allowable under this subdivision may be reduced no more 
145.36  than five percent.  
146.1      (iv) For the period July 1, 1987 to June 30, 1988, 
146.2   reductions below the cost per service unit allowable under 
146.3   section 256.966 are permitted only as follows:  payments for 
146.4   inpatient and outpatient hospital care provided in response to a 
146.5   primary diagnosis of chemical dependency or mental illness may 
146.6   be reduced no more than 15 percent; payments for all other 
146.7   inpatient hospital care may be reduced no more than five percent.
146.8   Reductions below the payments allowable under medical assistance 
146.9   for the remaining general assistance medical care services 
146.10  allowable under this subdivision may be reduced no more than 
146.11  five percent. 
146.12     (v) For the period July 1, 1988 to June 30, 1989, 
146.13  reductions below the cost per service unit allowable under 
146.14  section 256.966 are permitted only as follows:  payments for 
146.15  inpatient and outpatient hospital care provided in response to a 
146.16  primary diagnosis of chemical dependency or mental illness may 
146.17  be reduced no more than 15 percent; payments for all other 
146.18  inpatient hospital care may not be reduced.  Reductions below 
146.19  the payments allowable under medical assistance for the 
146.20  remaining general assistance medical care services allowable 
146.21  under this subdivision may be reduced no more than five percent. 
146.22     (f) There shall be no copayment required of any recipient 
146.23  of benefits for any services provided under this subdivision.  A 
146.24  hospital receiving a reduced payment as a result of this section 
146.25  may apply the unpaid balance toward satisfaction of the 
146.26  hospital's bad debts. 
146.27     (g) (f) Any county may, from its own resources, provide 
146.28  medical payments for which state payments are not made. 
146.29     (h) (g) Chemical dependency services that are reimbursed 
146.30  under chapter 254B must not be reimbursed under general 
146.31  assistance medical care. 
146.32     (i) (h) The maximum payment for new vendors enrolled in the 
146.33  general assistance medical care program after the base year 
146.34  shall be determined from the average usual and customary charge 
146.35  of the same vendor type enrolled in the base year. 
146.36     (j) (i) The conditions of payment for services under this 
147.1   subdivision are the same as the conditions specified in rules 
147.2   adopted under chapter 256B governing the medical assistance 
147.3   program, unless otherwise provided by statute or rule. 
147.4      <b>EFFECTIVE DATE:</b>  This section is effective the day 
147.5   following final enactment. 
147.6      Sec. 9.  Laws 1999, chapter 245, article 1, section 2, 
147.7   subdivision 5, is amended to read: 
147.8   Subd. 5.  Basic Health Care Grants
147.9                 Summary by Fund
147.10  General             867,174,000   916,234,000
147.11  Health Care
147.12  Access              116,490,000   145,469,000
147.13  The amounts that may be spent from this 
147.14  appropriation for each purpose are as 
147.15  follows: 
147.16  (a) Minnesota Care Grants-
147.17  Health Care
147.18  Access              116,490,000   145,469,000
147.19  [HOSPITAL INPATIENT COPAYMENTS.] The 
147.20  commissioner of human services may 
147.21  require hospitals to refund hospital 
147.22  inpatient copayments paid by enrollees 
147.23  pursuant to Minnesota Statutes, section 
147.24  256L.03, subdivision 5, between March 
147.25  1, 1999, and December 31, 1999.  If the 
147.26  commissioner requires hospitals to 
147.27  refund these copayments, the hospitals 
147.28  shall collect the copayment directly 
147.29  from the commissioner. 
147.30  [MINNESOTACARE OUTREACH FEDERAL 
147.31  MATCHING FUNDS.] Any federal matching 
147.32  funds received as a result of the 
147.33  MinnesotaCare outreach activities 
147.34  authorized by Laws 1997, chapter 225, 
147.35  article 7, section 2, subdivision 1, 
147.36  shall be deposited in the health care 
147.37  access fund and dedicated to the 
147.38  commissioner to be used for those 
147.39  outreach purposes. 
147.40  [FEDERAL RECEIPTS FOR ADMINISTRATION.] 
147.41  Receipts received as a result of 
147.42  federal participation pertaining to 
147.43  administrative costs of the Minnesota 
147.44  health care reform waiver shall be 
147.45  deposited as nondedicated revenue in 
147.46  the health care access fund.  Receipts 
147.47  received as a result of federal 
147.48  participation pertaining to grants 
147.49  shall be deposited in the federal fund 
147.50  and shall offset health care access 
147.51  funds for payments to providers. 
147.52  [HEALTH CARE ACCESS FUND.] The 
147.53  commissioner may expend money 
147.54  appropriated from the health care 
147.55  access fund for MinnesotaCare in either 
148.1   fiscal year of the biennium. 
148.2   (b) MA Basic Health Care Grants-
148.3   Families and Children
148.4   General             307,053,000   320,112,000
148.5   [COMMUNITY DENTAL CLINICS.] Of this 
148.6   appropriation, $600,000 in fiscal year 
148.7   2000 is for the commissioner to provide 
148.8   start-up grants to establish community 
148.9   dental clinics under Minnesota 
148.10  Statutes, section 256B.76, paragraph 
148.11  (b), clause (5) (4).  The commissioner 
148.12  shall award grants and shall require 
148.13  grant recipients to match the state 
148.14  grant with nonstate funding on a 
148.15  one-to-one basis.  This is a one-time 
148.16  appropriation and shall not become part 
148.17  of base level funding for this activity 
148.18  for the 2002-2003 biennium. 
148.19  (c) MA Basic Health Care Grants- 
148.20  Elderly & Disabled
148.21  General             404,814,000   451,928,000
148.22  [SURCHARGE COMPLIANCE.] In the event 
148.23  that federal financial participation in 
148.24  the Minnesota medical assistance 
148.25  program is reduced as a result of a 
148.26  determination that the surcharge and 
148.27  intergovernmental transfers governed by 
148.28  Minnesota Statutes, sections 256.9657 
148.29  and 256B.19 are out of compliance with 
148.30  United States Code, title 42, section 
148.31  1396b(w), or its implementing 
148.32  regulations or with any other federal 
148.33  law designed to restrict provider tax 
148.34  programs or intergovernmental 
148.35  transfers, the commissioner shall 
148.36  appeal the determination to the fullest 
148.37  extent permitted by law and may ratably 
148.38  reduce all medical assistance and 
148.39  general assistance medical care 
148.40  payments to providers other than the 
148.41  state of Minnesota in order to 
148.42  eliminate any shortfall resulting from 
148.43  the reduced federal funding.  Any 
148.44  amount later recovered through the 
148.45  appeals process shall be used to 
148.46  reimburse providers for any ratable 
148.47  reductions taken. 
148.48  [BLOOD PRODUCTS LITIGATION.] To the 
148.49  extent permitted by federal law, 
148.50  Minnesota Statutes, section 256.015, 
148.51  256B.042, and 256B.15, are waived as 
148.52  necessary for the limited purpose of 
148.53  resolving the state's claims in 
148.54  connection with In re Factor VIII or IX 
148.55  Concentrate Blood Products Litigation, 
148.56  MDL-986, No. 93-C7452 (N.D.III.). 
148.57  (d) General Assistance Medical Care
148.58  General             141,805,000   128,012,000
148.59  (e) Basic Health Care - Nonentitlement
148.60  General              13,502,000    16,182,000
149.1   [DENTAL ACCESS GRANT.] Of this 
149.2   appropriation, $75,000 is from the 
149.3   general fund to the commissioner in 
149.4   fiscal year 2000 for a grant to a 
149.5   nonprofit dental provider group 
149.6   operating a dental clinic in Clay 
149.7   county.  The grant must be used to 
149.8   increase access to dental services for 
149.9   recipients of medical assistance, 
149.10  general assistance medical care, and 
149.11  the MinnesotaCare program in the 
149.12  northwest area of the state.  This 
149.13  appropriation is available the day 
149.14  following final enactment. 
149.15     <b>EFFECTIVE DATE:</b>  This section is effective the day 
149.16  following final enactment. 
149.17     Sec. 10.  Laws 1999, chapter 245, article 4, section 121, 
149.18  is amended to read: 
149.19     Sec. 121.  [EFFECTIVE DATE.] 
149.20     (a) Sections 3, 5, 45, and 97, and 98, subdivision 3, 
149.21  paragraph (d), are effective July 1, 2000. 
149.22     (b) Section 56 is effective upon federal approval. 
149.23     <b>EFFECTIVE DATE:</b>  This section is effective the day 
149.24  following final enactment. 
149.25     Sec. 11.  [REPEALER.] 
149.26     (a) Minnesota Statutes 1999 Supplement, section 144.396, 
149.27  subdivision 13, is repealed.  
149.28     (b) Laws 1997, chapter 203, article 7, section 27, is 
149.29  repealed. 
149.30     <b>EFFECTIVE DATE:</b>  This section is effective the day 
149.31  following final enactment. 
149.32                             <b> PART B </b>
149.33                     <b> AGRICULTURE PROVISIONS </b>
149.34                             ARTICLE 8
149.35                            AGRICULTURE 
149.36     Section 1.  Minnesota Statutes 1998, section 17A.03, 
149.37  subdivision 5, is amended to read: 
149.38     Subd. 5.  [LIVESTOCK.] "Livestock" means cattle, sheep, 
149.39  swine, horses intended for slaughter, mules, farmed cervidae, as 
149.40  defined in section 17.451, subdivision 2, llamas, as defined in 
149.41  section 17.455, subdivision 2, ratitae, as defined in section 
149.42  17.453, subdivision 3, buffalo, and goats. 
150.1      Sec. 2.  Minnesota Statutes 1998, section 18E.04, 
150.2   subdivision 4, is amended to read: 
150.3      Subd. 4.  [REIMBURSEMENT PAYMENTS.] (a) The board shall pay 
150.4   a person that is eligible for reimbursement or payment under 
150.5   subdivisions 1, 2, and 3 from the agricultural chemical response 
150.6   and reimbursement account for:  
150.7      (1) 90 percent of the total reasonable and necessary 
150.8   corrective action costs greater than $1,000 and less than or 
150.9   equal to $100,000; and 
150.10     (2) 100 percent of the total reasonable and necessary 
150.11  corrective action costs greater than $100,000 but less than or 
150.12  equal to $200,000; 
150.13     (3) 80 percent of the total reasonable and necessary 
150.14  corrective action costs greater than $200,000 but less than or 
150.15  equal to $300,000; and 
150.16     (4) 60 percent of the total reasonable and necessary 
150.17  corrective action costs greater than $300,000 but less than or 
150.18  equal to $350,000.  
150.19     (b) A reimbursement or payment may not be made until the 
150.20  board has determined that the costs are reasonable and are for a 
150.21  reimbursement of the costs that were actually incurred. 
150.22     (c) The board may make periodic payments or reimbursements 
150.23  as corrective action costs are incurred upon receipt of invoices 
150.24  for the corrective action costs. 
150.25     (d) Money in the agricultural chemical response and 
150.26  reimbursement account is appropriated to the commissioner to 
150.27  make payments and reimbursements directed by the board under 
150.28  this subdivision.  
150.29     (e) The board may not make reimbursement greater than the 
150.30  maximum allowed under paragraph (a) for all incidents on a 
150.31  single site which: 
150.32     (1) were not reported at the time of release but were 
150.33  discovered and reported after July 1, 1989; and 
150.34     (2) may have occurred prior to July 1, 1989, as determined 
150.35  by the commissioner. 
150.36     (f) The board may only reimburse an eligible person for 
151.1   separate incidents within a single site if the commissioner 
151.2   determines that each incident is completely separate and 
151.3   distinct in respect of location within the single site or time 
151.4   of occurrence. 
151.5      Sec. 3.  Minnesota Statutes 1998, section 41A.09, 
151.6   subdivision 3a, is amended to read: 
151.7      Subd. 3a.  [PAYMENTS.] (a) The commissioner of agriculture 
151.8   shall make cash payments to producers of ethanol, anhydrous 
151.9   alcohol, and wet alcohol located in the state.  These payments 
151.10  shall apply only to ethanol, anhydrous alcohol, and wet alcohol 
151.11  fermented in the state and produced at plants that have begun 
151.12  production by June 30, 2000.  For the purpose of this 
151.13  subdivision, an entity that holds a controlling interest in more 
151.14  than one ethanol plant is considered a single producer.  The 
151.15  amount of the payment for each producer's annual production is: 
151.16     (1) except as provided in paragraph (b), for each gallon of 
151.17  ethanol or anhydrous alcohol produced on or before June 30, 
151.18  2000, or ten years after the start of production, whichever is 
151.19  later, 20 cents per gallon; and 
151.20     (2) for each gallon produced of wet alcohol on or before 
151.21  June 30, 2000, or ten years after the start of production, 
151.22  whichever is later, a payment in cents per gallon calculated by 
151.23  the formula "alcohol purity in percent divided by five," and 
151.24  rounded to the nearest cent per gallon, but not less than 11 
151.25  cents per gallon. 
151.26     The producer payments for anhydrous alcohol and wet alcohol 
151.27  under this section may be paid to either the original producer 
151.28  of anhydrous alcohol or wet alcohol or the secondary processor, 
151.29  at the option of the original producer, but not to both. 
151.30     No payments shall be made for production that occurs after 
151.31  June 30, 2010. 
151.32     (b) If the level of production at an ethanol plant 
151.33  increases due to an increase in the production capacity of the 
151.34  plant and the increased production begins by June 30, 2000, the 
151.35  payment under paragraph (a), clause (1), applies to the 
151.36  additional increment of production until ten years after the 
152.1   increased production began.  Once a plant's production capacity 
152.2   reaches 15,000,000 gallons per year, no additional increment 
152.3   will qualify for the payment. 
152.4      (c) The commissioner shall make payments to producers of 
152.5   ethanol or wet alcohol in the amount of 1.5 cents for each 
152.6   kilowatt hour of electricity generated using closed-loop biomass 
152.7   in a cogeneration facility at an ethanol plant located in the 
152.8   state.  Payments under this paragraph shall be made only for 
152.9   electricity generated at cogeneration facilities that begin 
152.10  operation by June 30, 2000.  The payments apply to electricity 
152.11  generated on or before the date ten years after the producer 
152.12  first qualifies for payment under this paragraph.  Total 
152.13  payments under this paragraph in any fiscal year may not exceed 
152.14  $750,000.  For the purposes of this paragraph: 
152.15     (1) "closed-loop biomass" means any organic material from a 
152.16  plant that is planted for the purpose of being used to generate 
152.17  electricity or for multiple purposes that include being used to 
152.18  generate electricity; and 
152.19     (2) "cogeneration" means the combined generation of: 
152.20     (i) electrical or mechanical power; and 
152.21     (ii) steam or forms of useful energy, such as heat, that 
152.22  are used for industrial, commercial, heating, or cooling 
152.23  purposes. 
152.24     (d) Except for new production capacity approved under 
152.25  paragraph (i), clause (1), the total Payments under paragraphs 
152.26  (a) and (b) to all producers may not 
152.27  exceed $34,000,000 $37,000,000 in a fiscal year.  Total payments 
152.28  under paragraphs (a) and (b) to a producer in a fiscal year may 
152.29  not exceed $3,000,000. 
152.30     (e) By the last day of October, January, April, and July, 
152.31  each producer shall file a claim for payment for ethanol, 
152.32  anhydrous alcohol, and wet alcohol production during the 
152.33  preceding three calendar months.  A producer with more than one 
152.34  plant shall file a separate claim for each plant.  A producer 
152.35  shall file a separate claim for the original production capacity 
152.36  of each plant and for each additional increment of production 
153.1   that qualifies under paragraph (b).  A producer that files a 
153.2   claim under this subdivision shall include a statement of the 
153.3   producer's total ethanol, anhydrous alcohol, and wet alcohol 
153.4   production in Minnesota during the quarter covered by the claim, 
153.5   including anhydrous alcohol and wet alcohol produced or received 
153.6   from an outside source.  A producer shall file a separate claim 
153.7   for any amount claimed under paragraph (c).  For each claim and 
153.8   statement of total ethanol, anhydrous alcohol, and wet alcohol 
153.9   production filed under this subdivision, the volume of ethanol, 
153.10  anhydrous alcohol, and wet alcohol production or amounts of 
153.11  electricity generated using closed-loop biomass must be examined 
153.12  by an independent certified public accountant in accordance with 
153.13  standards established by the American Institute of Certified 
153.14  Public Accountants. 
153.15     (f) Payments shall be made November 15, February 15, May 
153.16  15, and August 15.  A separate payment shall be made for each 
153.17  claim filed.  The Except as provided below, total quarterly 
153.18  payment to a producer under this paragraph, excluding amounts 
153.19  paid under paragraph (c), may not exceed $750,000.  Except for 
153.20  new production capacity approved under paragraph (i), clause 
153.21  (1), if the total amount for which all other producers are 
153.22  eligible in a quarter under paragraphs (a) and (b) exceeds 
153.23  $8,500,000, the commissioner shall make payments for production 
153.24  capacity that is subject to this restriction in the order in 
153.25  which the portion of production capacity covered by each claim 
153.26  went into production.  Production in excess of eligible 
153.27  quarterly production may be applied to quarters below eligible 
153.28  capacity because of plant outages, repair, or major maintenance. 
153.29  Payments must be made for the eighth quarter of the biennium 
153.30  exempt from the $750,000 quarterly limit.  The fiscal year 
153.31  limits under paragraph (d) remain in effect.  This provision 
153.32  applies only to production shortfalls that occur in quarters 
153.33  beginning after December 31, 1999. 
153.34     (g) If the total amount for which all producers are 
153.35  eligible in a quarter under paragraph (c) exceeds the amount 
153.36  available for payments, the commissioner shall make payments in 
154.1   the order in which the plants covered by the claims began 
154.2   generating electricity using closed-loop biomass. 
154.3      (h) After July 1, 1997, new production capacity is only 
154.4   eligible for payment under this subdivision if the commissioner 
154.5   receives: 
154.6      (1) an application for approval of the new production 
154.7   capacity; 
154.8      (2) an appropriate letter of long-term financial commitment 
154.9   for construction of the new production capacity; and 
154.10     (3) copies of all necessary permits for construction of the 
154.11  new production capacity. 
154.12     The commissioner may approve new production capacity based 
154.13  on the order in which the applications are received.  
154.14     (i) After April 22, 1998, the commissioner may only 
154.15  approve:  (1) up to 12,000,000 gallons of new production 
154.16  capacity at one plant that has not previously received approval 
154.17  or payment for any production capacity; or (2) new production 
154.18  capacity at existing plants not to exceed planned expansions 
154.19  reported to the commissioner by February 1997.  The commissioner 
154.20  may not approve any new production capacity after July 1, 1998, 
154.21  except that a producer approved for at least 12,000,000 gallons 
154.22  but less than 15,000,000 gallons of annual production prior to 
154.23  July 1, 1998, is approved for 15,000,000 gallons of production 
154.24  capacity.  
154.25     (j) For the purposes of this subdivision "new production 
154.26  capacity" means annual ethanol production capacity that was not 
154.27  allowed under a permit issued by the pollution control agency 
154.28  prior to July 1, 1997, or for which construction did not begin 
154.29  prior to July 1, 1997. 
154.30     Sec. 4.  Minnesota Statutes 1998, section 41B.03, 
154.31  subdivision 1, is amended to read: 
154.32     Subdivision 1.  [ELIGIBILITY GENERALLY.] To be eligible for 
154.33  a program in sections 41B.01 to 41B.23: 
154.34     (1) a borrower must be a resident of Minnesota or a 
154.35  domestic family farm corporation, as defined in section 500.24, 
154.36  subdivision 2; and 
155.1      (2) the borrower or one of the borrowers must be the 
155.2   principal operator of the farm or, for a prospective homestead 
155.3   redemption borrower, must have at one time been the principal 
155.4   operator of a farm; and 
155.5      (3) the borrower must not receive assistance under sections 
155.6   41B.01 to 41B.23 exceeding an aggregate of $100,000 in loans 
155.7   during the borrower's lifetime. 
155.8      Sec. 5.  Minnesota Statutes 1998, section 41B.03, 
155.9   subdivision 2, is amended to read: 
155.10     Subd. 2.  [ELIGIBILITY FOR RESTRUCTURED LOAN.] In addition 
155.11  to the eligibility requirements of subdivision 1, a prospective 
155.12  borrower for a restructured loan must:  
155.13     (1) have received at least 50 percent of average annual 
155.14  gross income from farming for the past three years or, for 
155.15  homesteaded property, received at least 40 percent of average 
155.16  gross income from farming in the past three years, and farming 
155.17  must be the principal occupation of the borrower; 
155.18     (2) have a debt-to-asset ratio equal to or greater than 50 
155.19  percent and in determining this ratio, the assets must be valued 
155.20  at their current market value; 
155.21     (3) have projected annual expenses, including operating 
155.22  expenses, family living, and interest expenses after the 
155.23  restructuring, that do not exceed 95 percent of the borrower's 
155.24  projected annual income considering prior production history and 
155.25  projected prices for farm production, except that the authority 
155.26  may reduce the 95 percent requirement if it finds that other 
155.27  significant factors in the loan application support the making 
155.28  of the loan; and 
155.29     (4) demonstrate substantial difficulty in meeting projected 
155.30  annual expenses without restructuring the loan; and 
155.31     (5) must have a total net worth, including assets and 
155.32  liabilities of the borrower's spouse and dependents, of less 
155.33  than $400,000 in 1999 and an amount in subsequent years which is 
155.34  adjusted for inflation by multiplying $400,000 by the cumulative 
155.35  inflation rate as determined by the United States All-Items 
155.36  Consumer Price Index. 
156.1      Sec. 6.  Minnesota Statutes 1998, section 41B.039, 
156.2   subdivision 2, is amended to read: 
156.3      Subd. 2.  [STATE PARTICIPATION.] The state may participate 
156.4   in a new real estate loan with an eligible lender to a beginning 
156.5   farmer to the extent of 45 percent of the principal amount of 
156.6   the loan or $100,000 $125,000, whichever is less.  The interest 
156.7   rates and repayment terms of the authority's participation 
156.8   interest may be different than the interest rates and repayment 
156.9   terms of the lender's retained portion of the loan. 
156.10     Sec. 7.  Minnesota Statutes 1998, section 41B.04, 
156.11  subdivision 8, is amended to read: 
156.12     Subd. 8.  [STATE'S PARTICIPATION.] With respect to loans 
156.13  that are eligible for restructuring under sections 41B.01 to 
156.14  41B.23 and upon acceptance by the authority, the authority shall 
156.15  enter into a participation agreement or other financial 
156.16  arrangement whereby it shall participate in a restructured loan 
156.17  to the extent of 45 percent of the primary principal or 
156.18  $100,000 $150,000, whichever is less.  The authority's portion 
156.19  of the loan must be protected during the authority's 
156.20  participation by the first mortgage held by the eligible lender 
156.21  to the extent of its participation in the loan. 
156.22     Sec. 8.  Minnesota Statutes 1998, section 41B.042, 
156.23  subdivision 4, is amended to read: 
156.24     Subd. 4.  [PARTICIPATION LIMIT; INTEREST.] The authority 
156.25  may participate in new seller-sponsored loans to the extent of 
156.26  45 percent of the principal amount of the loan or 
156.27  $100,000 $125,000, whichever is less.  The interest rates and 
156.28  repayment terms of the authority's participation interest may be 
156.29  different than the interest rates and repayment terms of the 
156.30  seller's retained portion of the loan. 
156.31     Sec. 9.  Minnesota Statutes 1998, section 41B.043, 
156.32  subdivision 2, is amended to read: 
156.33     Subd. 2.  [SPECIFICATIONS.] No direct loan may exceed 
156.34  $35,000 or $100,000 $125,000 for a loan participation or be made 
156.35  to refinance an existing debt.  Each direct loan and 
156.36  participation must be secured by a mortgage on real property and 
157.1   such other security as the authority may require. 
157.2      Sec. 10.  Minnesota Statutes 1998, section 41B.045, 
157.3   subdivision 2, is amended to read: 
157.4      Subd. 2.  [LOAN PARTICIPATION.] The authority may 
157.5   participate in a livestock expansion loan with an eligible 
157.6   lender to a livestock farmer who meets the requirements of 
157.7   section 41B.03, subdivision 1, clauses (1) and (2), and who are 
157.8   actively engaged in a livestock operation.  A prospective 
157.9   borrower must have a total net worth, including assets and 
157.10  liabilities of the borrower's spouse and dependents, of less 
157.11  than $400,000 in 1999 and an amount in subsequent years which is 
157.12  adjusted for inflation by multiplying $400,000 by the cumulative 
157.13  inflation rate as determined by the United States All-Items 
157.14  Consumer Price Index. 
157.15     Participation is limited to 45 percent of the principal 
157.16  amount of the loan or $250,000, whichever is less.  The interest 
157.17  rates and repayment terms of the authority's participation 
157.18  interest may be different from the interest rates and repayment 
157.19  terms of the lender's retained portion of the loan.  Loans under 
157.20  this program must not be included in the lifetime limitation 
157.21  calculated under section 41B.03, subdivision 1. 
157.22     Sec. 11.  [41B.048] [AGROFORESTRY LOAN PROGRAM.] 
157.23     Subdivision 1.  [PURPOSE.] The purpose of the agroforestry 
157.24  loan program is to provide low interest financing to farmers 
157.25  during the growing period required to convert agricultural land 
157.26  to agroforestry. 
157.27     Subd. 2.  [ESTABLISHMENT.] The authority shall establish 
157.28  and implement an agroforestry loan program to help finance the 
157.29  production of short rotation woody crops.  The authority may 
157.30  contract with a fiscal agent to provide an efficient delivery 
157.31  system for this program. 
157.32     Subd. 3.  [RULES.] The authority may adopt rules necessary 
157.33  for administration of the program established under subdivision 
157.34  2. 
157.35     Subd. 4.  [DEFINITIONS.] (a) The definitions in this 
157.36  subdivision apply to this section. 
158.1      (b) "Fiscal agent" means any lending institution or other 
158.2   organization of a for-profit or nonprofit nature that is in good 
158.3   standing with the state of Minnesota that has the appropriate 
158.4   business structure and trained personnel suitable to providing 
158.5   efficient disbursement of loan funds and the servicing and 
158.6   collection of loans over an extended period of time. 
158.7      (c) "Growing cycle" means the number of years from planting 
158.8   to harvest. 
158.9      (d) "Harvest" means the day that the crop arrives at the 
158.10  scale of the buyer of the crop. 
158.11     (e) "Short rotation woody crops" or "crop" means hybrid 
158.12  poplar and other woody plants that are harvested for their fiber 
158.13  within 15 years of planting. 
158.14     Subd. 5.  [ELIGIBILITY.] To be eligible for this program a 
158.15  borrower must: 
158.16     (1) be a resident of Minnesota or any entity eligible to 
158.17  own farm land under section 500.24; 
158.18     (2) be or plan to become a grower of short rotation woody 
158.19  crops on agricultural land that is suitable for the profitable 
158.20  production of short rotation woody crops; 
158.21     (3) be a member of a producer-owned cooperative that will 
158.22  contract to market the short rotation woody crop to be planted 
158.23  by the borrower; 
158.24     (4) demonstrate an ability to repay the loan; 
158.25     (5) not receive assistance under this program for more than 
158.26  $150,000 in the producer's lifetime; 
158.27     (6) agree to work with appropriate local, state, and 
158.28  federal agencies, and the marketing cooperative, to develop an 
158.29  acceptable establishment and maintenance plan; and 
158.30     (7) meet any other requirements the authority may impose by 
158.31  administrative procedure or by rule. 
158.32     Subd. 6.  [LOANS.] (a) The authority may disburse loans 
158.33  through a fiscal agent to farmers and agricultural landowners 
158.34  who are eligible under subdivision 5.  The total accumulative 
158.35  loan principal must not exceed $75,000 per loan. 
158.36     (b) The fiscal agent may impose a loan origination fee in 
159.1   the amount of one percent of the total approved loan.  This fee 
159.2   is to be paid by the borrower to the fiscal agent at the time of 
159.3   loan closing. 
159.4      (c) The loan may be disbursed over a period not to exceed 
159.5   12 years. 
159.6      (d) A borrower may receive loans, depending on the 
159.7   availability of funds, for planted areas up to 160 acres for up 
159.8   to: 
159.9      (1) the total amount necessary for establishment of the 
159.10  crop; 
159.11     (2) the total amount of maintenance costs, including weed 
159.12  control, during the first three years; and 
159.13     (3) 70 percent of the estimated value of one year's growth 
159.14  of the crop for years four through 12. 
159.15     (e) Security for the loan must be the crop, a personal note 
159.16  executed by the borrower, an interest in the land upon which the 
159.17  crop is growing, and whatever other security is required by the 
159.18  fiscal agent or the authority.  All recording fees must be paid 
159.19  by the borrower. 
159.20     (f) The authority may prescribe forms and establish an 
159.21  application process for applicants to apply for a loan. 
159.22     (g) The authority may impose a reasonable nonrefundable 
159.23  application fee for each application for a loan under this 
159.24  program.  The application fee is initially $50.  Application 
159.25  fees received by the authority must be deposited in the 
159.26  agroforestry loan program revolving fund established in 
159.27  subdivision 7. 
159.28     (h) Loans under the program must be made using money in the 
159.29  agroforestry loan program revolving fund established in 
159.30  subdivision 7. 
159.31     (i) The interest payable on loans made by the authority for 
159.32  the agroforestry loan program must, if funded by revenue bond 
159.33  proceeds, be at a rate not less than the rate on the revenue 
159.34  bonds, and may be established at a higher rate necessary to pay 
159.35  costs associated with the issuance of the revenue bonds and a 
159.36  proportionate share of the cost of administering the program.  
160.1   The interest payable on loans for the agroforestry loan program 
160.2   funded from sources other than revenue bond proceeds must be at 
160.3   a rate determined by the authority. 
160.4      (j) Loan principal balance outstanding plus all assessed 
160.5   interest must be repaid within 120 days of harvest, but no later 
160.6   than 15 years from planting. 
160.7      Subd. 7.  [REVOLVING FUND.] There is established in the 
160.8   state treasury an agroforestry loan program revolving fund that 
160.9   is eligible to receive appropriations or the proceeds of bond 
160.10  sales.  All repayments of financial assistance granted under 
160.11  subdivision 2, including principal and interest, must be 
160.12  deposited into this fund.  Interest earned on money in the fund 
160.13  accrues to the fund, and money in the fund is appropriated to 
160.14  the commissioner for purposes of the agroforestry loan program, 
160.15  including costs incurred by the authority to establish and 
160.16  administer the program. 
160.17     Subd. 8.  [REVENUE BONDS.] The authority may issue revenue 
160.18  bonds to finance the agroforestry loan program in accordance 
160.19  with sections 41B.08 to 41B.15, 41B.17, and 41B.18.  Bonds may 
160.20  be refunded by the issuance of refunding bonds in the manner 
160.21  authorized by chapter 475.  
160.22     Sec. 12.  Laws 1999, chapter 231, section 11, subdivision 
160.23  3, is amended to read: 
160.24  Subd. 3.  Agricultural Marketing and Development
160.25        6,521,000      5,410,000
160.26  Notwithstanding Minnesota Statutes, 
160.27  section 41A.09, subdivision 3a, the 
160.28  total payments from the ethanol 
160.29  development account to all producers 
160.30  may not exceed $68,447,000 $70,658,000 
160.31  for the biennium ending June 30, 2001.  
160.32  If, prior to the end of the biennium, 
160.33  the total amount for which all 
160.34  producers are eligible in a quarter 
160.35  exceeds the amount available for 
160.36  payments remaining in the 
160.37  appropriation, the commissioner shall 
160.38  make the payments for the quarter in 
160.39  which the shortfall occurs on a pro 
160.40  rata basis.  In fiscal year 2000, the 
160.41  commissioner shall first reimburse 
160.42  producers for eligible unpaid claims 
160.43  accumulated through June 30, 1999.  
160.44  $500,000 the first year is appropriated 
160.45  to the rural finance authority for 
161.1   making a loan under Minnesota Statutes, 
161.2   section 41B.044.  Principal and 
161.3   interest payments on the loan must be 
161.4   deposited in the ethanol development 
161.5   account for producer payments under 
161.6   Minnesota Statutes, section 
161.7   41B.09 general fund. 
161.8   By July 15, 1999, the commissioner 
161.9   shall transfer the unencumbered cash 
161.10  balance in the ethanol development fund 
161.11  established in Minnesota Statutes, 
161.12  section 41B.044, to the general fund. 
161.13  $200,000 the first year is for a grant 
161.14  from the commissioner to the Minnesota 
161.15  Turkey Growers Association for 
161.16  assistance to an entity that constructs 
161.17  a facility that uses poultry litter as 
161.18  a fuel for the generation of 
161.19  electricity.  This amount must be 
161.20  matched by $1 of nonstate money for 
161.21  each dollar of state money.  This is a 
161.22  one-time appropriation. 
161.23  $50,000 the first year is for the 
161.24  commissioner, in consultation with the 
161.25  commissioner of economic development, 
161.26  to conduct a study of the need for a 
161.27  commercial shipping port at which 
161.28  agricultural cooperatives or individual 
161.29  farmers would have access to port 
161.30  facilities.  This is a one-time 
161.31  appropriation.  
161.32  $71,000 the first year and $71,000 the 
161.33  second year are for transfer to the 
161.34  Minnesota grown matching account and 
161.35  may be used as grants for Minnesota 
161.36  grown promotion under Minnesota 
161.37  Statutes, section 17.109. 
161.38  $100,000 the first year is for a grant 
161.39  to the University of Minnesota 
161.40  extension service for its farm safety 
161.41  and health program.  This is a one-time 
161.42  appropriation. 
161.43  $225,000 the first year and $75,000 the 
161.44  second year are for grants to the 
161.45  Minnesota agricultural education 
161.46  leadership council for the planning and 
161.47  implementation of initiatives enhancing 
161.48  and expanding agricultural education in 
161.49  rural and urban areas of the state.  
161.50  Funds not used in the first year are 
161.51  available for the second year.  This is 
161.52  a one-time appropriation.  
161.53  $480,000 the first year and $420,000 
161.54  the second year are to the commissioner 
161.55  of agriculture for programs to 
161.56  aggressively promote, develop, expand, 
161.57  and enhance the marketing of 
161.58  agricultural products from Minnesota 
161.59  producers and processors.  The 
161.60  commissioner must enter into 
161.61  collaborative efforts with the 
161.62  department of trade and economic 
161.63  development, the world trade center 
161.64  corporation, and other public or 
162.1   private entities knowledgeable in 
162.2   market identification and development.  
162.3   The commissioner may also contract with 
162.4   or make grants to public or private 
162.5   organizations involved in efforts to 
162.6   enhance communication between producers 
162.7   and markets and organizations that 
162.8   identify, develop, and promote the 
162.9   marketing of Minnesota agricultural 
162.10  crops, livestock, and produce in local, 
162.11  regional, national, and international 
162.12  marketplaces.  Grants may be provided 
162.13  to appropriate organizations including 
162.14  those functioning as marketing clubs, 
162.15  to a cooperative known as Minnesota 
162.16  Marketplace, and to recognized 
162.17  associations of producers or processors 
162.18  of organic foods or Minnesota grown 
162.19  specialty crops.  Beginning October 15, 
162.20  1999, and 15 days after the close of 
162.21  each calendar quarter thereafter, the 
162.22  commissioner shall provide to the 
162.23  senate and house committees with 
162.24  jurisdiction over agriculture policy 
162.25  and funding interim reports of the 
162.26  progress toward accomplishing the goals 
162.27  of this item.  The commissioner shall 
162.28  deliver a final report on March 1, 
162.29  2001.  If the appropriation for either 
162.30  year is insufficient, the appropriation 
162.31  for the other year is available.  This 
162.32  is a one-time appropriation that 
162.33  remains available until expended. 
162.34  $60,000 the second year is for grants 
162.35  to farmers for demonstration projects 
162.36  involving sustainable agriculture.  If 
162.37  a project cost is more than $25,000, 
162.38  the amount above $25,000 must be 
162.39  matched at the rate of one state dollar 
162.40  for each dollar of nonstate money.  
162.41  Priorities must be given for projects 
162.42  involving multiple parties.  Up to 
162.43  $20,000 each year may be used for 
162.44  dissemination of information about the 
162.45  demonstration grant projects.  If the 
162.46  appropriation for either year is 
162.47  insufficient, the appropriation for the 
162.48  other is available. 
162.49  $160,000 each year is for value-added 
162.50  agricultural product processing and 
162.51  marketing grants under Minnesota 
162.52  Statutes, section 17.101, subdivision 5.
162.53  $450,000 the first year and $300,000 
162.54  the second year are for continued 
162.55  research of solutions and alternatives 
162.56  for manure management and odor 
162.57  control.  This is a one-time 
162.58  appropriation. 
162.59  $50,000 the first year and $50,000 the 
162.60  second year are for annual cost-share 
162.61  payments to resident farmers for the 
162.62  costs of organic certification.  The 
162.63  annual cost-share payments per farmer 
162.64  shall be two-thirds of the cost of the 
162.65  certification or $200, whichever is 
162.66  less.  A certified farmer is eligible 
162.67  to receive annual certification 
163.1   cost-share payments for up to five 
163.2   years.  $15,000 each year is for 
163.3   organic market and program 
163.4   development.  This appropriation is 
163.5   available until expended. 
163.6   $30,000 the first year is to assess 
163.7   producer production contracts under 
163.8   section 205.  This appropriation is 
163.9   available until June 30, 2001.  
163.10     Sec. 13.  [PESTICIDE REPORTING.] 
163.11     (a) The commissioner of agriculture, in cooperation with 
163.12  the University of Minnesota extension service; the commissioners 
163.13  of administration; children, families, and learning; health; 
163.14  transportation; natural resources; and the pollution control 
163.15  agency; and other interested parties, must review the use of 
163.16  pesticide and integrated pest management techniques and 
163.17  practices as they are applied to the use and storage of 
163.18  pesticides in and around a representative sample of buildings 
163.19  owned by the state and buildings and grounds used for K-12 
163.20  public education.  Recommendations by the commissioner of 
163.21  agriculture on the use and avoidance of pesticides and 
163.22  comprehensive integrated pest management practices in state 
163.23  buildings and K-12 public school buildings, including the 
163.24  training of building managers and school personnel, must be 
163.25  presented to the environmental policy and finance committees of 
163.26  the legislature by January 15, 2001. 
163.27     (b) For purposes of the review and report in paragraph (a), 
163.28  the term "pesticide" has the meaning given in Minnesota 
163.29  Statutes, section 18B.01, subdivision 18, except that it does 
163.30  not include disinfectants, sanitizers, deodorizers, or 
163.31  antimicrobial agents for general cleaning purposes. 
163.32     Sec. 14.  [APPROPRIATION; AGROFORESTRY LOAN PROGRAM.] 
163.33     $200,000 is appropriated from the general fund to the 
163.34  commissioner of agriculture for grants to one or more 
163.35  cooperative associations organized under Minnesota Statutes, 
163.36  chapter 308A, primarily for the purpose of facilitating the 
163.37  production and marketing of short rotation woody crops.  The 
163.38  grants must be matched by $1 of nonstate money for each dollar.  
163.39  This appropriation remains available until expended. 
164.1      Sec. 15.  [APPROPRIATION; STATE MEAT INSPECTION PROGRAM.] 
164.2      $120,000 in fiscal year 2000 and $374,000 in fiscal year 
164.3   2001 is appropriated from the general fund to the commissioner 
164.4   of agriculture to expand the state meat inspection program.  
164.5   This appropriation is in addition to appropriations in Laws 
164.6   1999, chapter 231, section 11.  If the appropriation for either 
164.7   year is insufficient the appropriation for the other year is 
164.8   available. 
164.9      Sec. 16.  [APPROPRIATION; PSEUDORABIES MONITORING AND 
164.10  TESTING.] 
164.11     $245,000 is appropriated from the general fund to the board 
164.12  of animal health for continued efforts to control pseudorabies 
164.13  in swine.  This appropriation may be used to cover the costs of 
164.14  pseudorabies monitoring, vaccines, blood tests, and laboratory 
164.15  fees.  This appropriation is in addition to the appropriation in 
164.16  Laws 1999, chapter 45, section 1, and is available until June 
164.17  30, 2001. 
164.18     Sec. 17.  [APPROPRIATION; FARM BUSINESS PLANNING SOFTWARE.] 
164.19     $135,000 is appropriated from the general fund to the 
164.20  commissioner of agriculture for a grant to the Center for Farm 
164.21  Financial Management at the University of Minnesota for purposes 
164.22  of a comprehensive effort to develop software and training 
164.23  materials to help farmers improve their profitability through 
164.24  sophisticated business planning.  The software and training will 
164.25  complement existing FINPACK farm management tools.  No later 
164.26  than March 1, 2001, the center must report to the agriculture 
164.27  policy and finance committees of the senate and the house of 
164.28  representatives on the software development program.  This 
164.29  appropriation is available until March 31, 2001. 
164.30     Sec. 18.  [APPROPRIATION; FARM DRAINAGE AND RUN-OFF 
164.31  POLLUTION.] 
164.32     $300,000 is appropriated from the general fund to the 
164.33  commissioner of agriculture to establish an agricultural water 
164.34  quality and quantity management, research, demonstration, and 
164.35  education program.  Of this appropriation $150,000 is for 
164.36  projects at the Lamberton site and $150,000 is for projects at 
165.1   the Waseca site.  The commissioner may contract with the 
165.2   University of Minnesota or other parties for the implementation 
165.3   of parts of the program.  No later than March 1, 2001, the 
165.4   program must report to the agriculture policy and finance 
165.5   committees of the senate and the house of representatives on the 
165.6   drainage and pollution control research project.  This 
165.7   appropriation is available until March 31, 2001. 
165.8      Sec. 19.  [APPROPRIATION; FARM ADVOCATES.] 
165.9      $100,000 is appropriated from the general fund to the 
165.10  commissioner of agriculture for the farm advocates program.  
165.11  This appropriation is in addition to the appropriation for the 
165.12  farm advocates program in Laws 1999, chapter 231, section 11, 
165.13  and is available until June 30, 2001. 
165.14     Sec. 20.  [EFFECTIVE DATE.] 
165.15     Section 2 is effective the day following final enactment 
165.16  and applies to claims for corrective action costs incurred after 
165.17  that date.  Sections 3 to 11 and 14 to 19 are effective the day 
165.18  following final enactment.  Section 12 is effective retroactive 
165.19  to July 1, 1999. 
165.20                             ARTICLE 9
165.21                            A resolution
165.22            memorializing the State of Iowa to promptly accelerate 
165.23            the swine pseudorabies control and eradication program.
165.24     
165.25     WHEREAS, pseudorabies is a highly contagious respiratory 
165.26  disease primarily affecting swine; and 
165.27     WHEREAS, swine herds infected with pseudorabies impose a 
165.28  heavy financial cost on producers through increased feed costs, 
165.29  reduced weight gains, increased mortality, and expenses for herd 
165.30  health management; and 
165.31     WHEREAS, during the past fifteen months, Minnesota swine 
165.32  producers, through a program generously supported by the 
165.33  Minnesota Legislature, the Minnesota board of animal health, the 
165.34  United States Department of Agriculture, private veterinarians, 
165.35  and volunteers, have nearly eradicated pseudorabies from 
165.36  Minnesota resident herds; and 
166.1      WHEREAS, a large number of swine herds in the State of Iowa 
166.2   remain infected and under quarantine because of pseudorabies; 
166.3   and 
166.4      WHEREAS, there is substantial danger that Minnesota herds 
166.5   will be unintentionally reinfected with pseudorabies by the 
166.6   transport of swine from the State of Iowa to slaughter 
166.7   facilities in Minnesota; NOW, THEREFORE, 
166.8      BE IT RESOLVED by the Legislature of the State of Minnesota 
166.9   that it memorializes the Legislature of the State of Iowa to 
166.10  accelerate the program for the control and eradication of 
166.11  pseudorabies in Iowa. 
166.12     BE IT FURTHER RESOLVED that the Secretary of State of the 
166.13  State of Minnesota is directed to prepare copies of this 
166.14  memorial and transmit them to the Governor of Iowa, the 
166.15  President of the Iowa Senate, the Speaker of the Iowa House of 
166.16  Representatives, and the Iowa Secretary of Agriculture. 
166.17                             <b>PART C </b>
166.18          <b> ENVIRONMENT AND NATURAL RESOURCES PROVISIONS </b>
166.19                             ARTICLE 10 
166.20                 ENVIRONMENT AND NATURAL RESOURCES  
166.21     Section 1.  [APPROPRIATIONS.] 
166.22     The sums shown in the columns marked "APPROPRIATIONS" are 
166.23  appropriated from the general fund, or any other fund named, to 
166.24  the agencies and for the purposes specified in this article, to 
166.25  be available for the fiscal years indicated for each purpose.  
166.26  The figures "2000" and "2001" mean that the appropriation or 
166.27  appropriations listed under them are available for the fiscal 
166.28  year ending June 30, 2000, or June 30, 2001, respectively, and 
166.29  if an earlier appropriation was made for that purpose for that 
166.30  year, the appropriation in this article is added to it.  
166.31                                             APPROPRIATIONS 
166.32                                         Available for the Year 
166.33                                             Ending June 30 
166.34                                            2000         2001 
166.35  Sec. 2.  POLLUTION CONTROL AGENCY        306,000        -0-
166.36  For WIF construction program 
166.37  administration.  This appropriation is 
166.38  available until June 30, 2001. 
167.1   The agency must allocate $104,000 of 
167.2   the appropriation in Laws 1999, chapter 
167.3   231, section 2, for WIF construction 
167.4   program administration. 
167.5   Sec. 3.  BOARD OF WATER AND
167.6   SOIL RESOURCES
167.7   Subdivision 1.  Wetland     
167.8   Replacement                               -0-           400,000 
167.9   Professional and technical services to 
167.10  replace wetlands under Minnesota 
167.11  Statutes, section 103G.222, subdivision 
167.12  1. 
167.13  Subd. 2.  Agricultural Land 
167.14  Set-aside                              5,000,000          -0-   
167.15  $5,000,000 is for the purposes of 
167.16  sections 13 to 17.  This appropriation 
167.17  remains available until expended.  
167.18  Administrative costs may not exceed ten 
167.19  percent of the appropriation. 
167.20  Sec. 4.  NATURAL RESOURCES 
167.21  Subdivision 1.  Mille Lacs  
167.22  Treaty Litigation                      3,954,463          -0-   
167.23  $3,954,463 in fiscal year 2000 is for 
167.24  the settlement of legal costs incurred 
167.25  by the Mille Lacs Band, St. Croix Band, 
167.26  Bad River Band, Red Cliff Band, Lac du 
167.27  Flambeau Band, Sokaogon Chippewa 
167.28  Community, and the Lac Courte Oreilles 
167.29  Band related to the 1837 Treaty 
167.30  litigation. 
167.31  The interest payment on the settlement 
167.32  of legal costs contained in this 
167.33  subdivision is for fiscal year 2000.  
167.34  The amount of the interest payment 
167.35  shall be determined by applying an 
167.36  interest amount of $614.30 for each day 
167.37  beginning December 10, 1999, through 
167.38  the day of final enactment of this bill.
167.39  Subd. 2.  Canada Geese Abatement          -0-            54,000 
167.40  $54,000 is to purchase emergency damage 
167.41  abatement materials to prevent Canada 
167.42  geese from causing crop depredation in 
167.43  western Minnesota.  This is a one-time 
167.44  appropriation. 
167.45  Subd. 3.  Wildfire Response            1,164,000          -0-   
167.46  $1,164,000 is from the environmental 
167.47  fund in fiscal year 2000 to the 
167.48  commissioner of natural resources for 
167.49  grants to Lake, Cook, and St. Louis 
167.50  counties for emergency communications 
167.51  equipment, emergency response 
167.52  equipment, and emergency planning and 
167.53  training to respond to a major wildfire.
167.54  Of this amount, $134,000 is for a grant 
167.55  to Lake county, $350,000 is for a grant 
167.56  to Cook county, and $680,000 is for a 
167.57  grant to St. Louis county.  St. Louis 
167.58  county must use a portion of the grant 
168.1   to purchase a NOAA warning system that 
168.2   can be used by all of the counties 
168.3   receiving grants under this section.  
168.4   This appropriation is available until 
168.5   June 30, 2001. 
168.6   Sec. 5.  OFFICE OF ENVIRONMENTAL 
168.7   ASSISTANCE 
168.8   The appropriation in Laws 1999, chapter 
168.9   231, section 3, is reduced in fiscal 
168.10  year 2001 by $104,000.  This is a base 
168.11  reduction.  In reducing spending, the 
168.12  agency may give priority to the 
168.13  elimination of positions which are 
168.14  vacant. 
168.15  Sec. 6.  MINNESOTA RESOURCES 
168.16  The availability of the appropriation 
168.17  for the following project is extended 
168.18  to June 30, 2002:  Laws 1997, chapter 
168.19  216, section 15, subdivision 4, 
168.20  paragraph (c), clause (3), local 
168.21  initiatives grants program.  $250,000 
168.22  is to provide matching funds for an 
168.23  ISTEA grant and to provide acquisition 
168.24  and engineering costs for a proposed 
168.25  trail between the city of Pelican 
168.26  Rapids and Maplewood state park. 
168.27  The availability of the appropriation 
168.28  for the following project is extended 
168.29  to June 30, 2001:  Laws 1997, chapter 
168.30  216, section 15, subdivision 4, 
168.31  paragraph (b), metropolitan regional 
168.32  park system, for the portion related to 
168.33  Hyland-Bush-Anderson Lake Park Reserve 
168.34  development. 
168.35     Sec. 7.  [NATURAL RESOURCES APPROPRIATIONS; OPERATIONS 
168.36  SUPPORT.] 
168.37     Subdivision 1.  [OPERATIONS SUPPORT.] (a) $1,565,000 is 
168.38  appropriated in fiscal year 2001 from the general fund to the 
168.39  commissioner of natural resources for operations support.  The 
168.40  amount supplants funding from the game and fish fund under 
168.41  paragraph (b) for the commissioner's office, human resources, 
168.42  and office of management and budget services operations support. 
168.43     (b) The appropriation for fiscal year 2001 from the game 
168.44  and fish fund in Laws 1999, chapter 231, section 5, subdivision 
168.45  9, is reduced by $1,565,000. 
168.46     Subd. 2.  [ACCELERATED WALLEYE STOCKING.] (a) $500,000 is 
168.47  appropriated in fiscal year 2001 from the general fund to the 
168.48  commissioner of natural resources for an accelerated walleye 
168.49  stocking program. 
168.50     (b) $5,665,000 is appropriated in fiscal year 2001 from the 
169.1   game and fish fund to the commissioner of natural resources for 
169.2   fish and wildlife management.  The appropriation includes the 
169.3   $1,565,000 reduced from the operations support budget under 
169.4   subdivision 1, paragraph (b).  The money is available due to the 
169.5   general fund appropriation under subdivision 1, paragraph (a), 
169.6   which reduces the obligation of the game and fish fund to 
169.7   operations support. 
169.8      Sec. 8.  Minnesota Statutes 1998, section 103E.011, is 
169.9   amended by adding a subdivision to read: 
169.10     Subd. 5.  [USE OF EXTERNAL SOURCES OF 
169.11  FUNDING.] Notwithstanding other provisions of this chapter, a 
169.12  drainage authority may accept and use funds from sources other 
169.13  than assessments based on the benefits of the drainage system 
169.14  for the purposes of wetland preservation or restoration or 
169.15  creation of water quality improvements or flood control 
169.16  projects.  The source of funding authorized under this 
169.17  subdivision may be used for a project outside the benefited area 
169.18  if the project is within the watershed of the drainage system. 
169.19     Sec. 9.  Minnesota Statutes 1998, section 115B.17, 
169.20  subdivision 19, is amended to read: 
169.21     Subd. 19.  [REIMBURSEMENT UNDER CERTAIN SETTLEMENTS.] (a) 
169.22  When the agency determines that some but not all persons 
169.23  responsible for a release are willing to implement response 
169.24  actions, the agency may agree, pursuant to a settlement of its 
169.25  claims under sections 115B.01 to 115B.18, to reimburse the 
169.26  settling parties for response costs incurred to take the 
169.27  actions.  The agency may agree to reimburse any amount which 
169.28  does not exceed the amount that the agency estimates may be 
169.29  attributable to the liability of responsible persons who are not 
169.30  parties to the settlement.  Reimbursement may be provided only 
169.31  for the cost of conducting remedial design and constructing 
169.32  remedial action pursuant to the terms of the settlement.  
169.33  Reimbursement under this subdivision shall be paid only upon the 
169.34  agency's determination that the remedial action approved by the 
169.35  agency has been completed in accordance with the terms of the 
169.36  settlement.  The agency may use money appropriated to it for 
170.1   actions authorized under section 115B.20, subdivision 2, clause 
170.2   (2), to pay reimbursement under this subdivision. 
170.3      (b) The agency may agree to provide reimbursement under a 
170.4   settlement only when all of the following requirements have been 
170.5   met: 
170.6      (1) the agency has made the determination under paragraph 
170.7   (c) regarding persons who are not participating in the 
170.8   settlement, and has provided written notice to persons 
170.9   identified under paragraph (c), clauses (1) and (2), of their 
170.10  opportunity to participate in the settlement or in a separate 
170.11  settlement under subdivision 20; 
170.12     (2) the release addressed in the settlement has been 
170.13  assigned a priority pursuant to agency rules adopted under 
170.14  subdivision 13, and the priority is at least as high as a 
170.15  release for which the agency would be allowed to allocate funds 
170.16  for remedial action under the rules; 
170.17     (3) an investigation of the release addressed in the 
170.18  settlement has been completed in accordance with a plan approved 
170.19  by the agency; and 
170.20     (4) the agency has approved the remedial action to be 
170.21  implemented under the settlement. 
170.22     (c) Before entering into a settlement providing for 
170.23  reimbursement under this subdivision, the agency shall determine 
170.24  that there are one or more persons who meet any of the following 
170.25  criteria who are not participating in the settlement: 
170.26     (1) persons identified by the agency as responsible for the 
170.27  release addressed in the settlement but who are likely to have 
170.28  only minimal involvement in actions leading to the release, or 
170.29  are insolvent or financially unable to pay any significant share 
170.30  of response action costs; 
170.31     (2) persons identified by the agency as responsible for the 
170.32  release other than persons described in clause (1) and who are 
170.33  unwilling to participate in the settlement or to take response 
170.34  actions with respect to the release; 
170.35     (3) persons whom the agency has reason to believe are 
170.36  responsible for the release addressed in the settlement but whom 
171.1   the agency has been unable to identify; or 
171.2      (4) persons identified to the agency by a party to the 
171.3   proposed settlement as persons who are potentially responsible 
171.4   for the release but for whom the agency has insufficient 
171.5   information to determine responsibility. 
171.6      (d) Except as otherwise provided in this subdivision, a 
171.7   decision of the agency under this subdivision to offer or agree 
171.8   to provide reimbursement in any settlement, or to determine the 
171.9   amount of reimbursement it will provide under a settlement, is a 
171.10  matter of agency discretion in the exercise of its enforcement 
171.11  authority.  In exercising discretion in this matter, the agency 
171.12  may consider, among other factors, the degree of cooperation 
171.13  with the agency that has been shown prior to the settlement by 
171.14  the parties seeking reimbursement. 
171.15     (e) The agency may require as a term of settlement under 
171.16  this subdivision that the parties receiving reimbursement from 
171.17  the agency waive any rights they may have to bring a claim for 
171.18  contribution against persons who are not parties to the 
171.19  settlement. 
171.20     (f) Notwithstanding any provisions to the contrary in 
171.21  paragraphs (a) to (e), until June 30, 2001, the agency may use 
171.22  the authority under this subdivision to enter into agreements 
171.23  for the implementation of a portion of an approved response 
171.24  action plan and to provide funds in the form of a grant for the 
171.25  purpose of implementing the agreement.  The amount paid for 
171.26  implementing a portion of an approved response action plan may 
171.27  not exceed the proportion of the costs of the response action 
171.28  plan which are attributable to the liability of responsible 
171.29  persons who are not parties to the agreement. 
171.30     (g) A decision of the agency under paragraph (f) to offer 
171.31  or agree to provide funds in any agreement or to determine the 
171.32  specific remedial actions included in any agreement to implement 
171.33  an approved action plan or the amount of funds the agency will 
171.34  provide under an agreement is a matter of agency discretion in 
171.35  the exercise of its enforcement authority. 
171.36     Sec. 10.  Minnesota Statutes 1999 Supplement, section 
172.1   116.073, subdivision 1, is amended to read: 
172.2      Subdivision 1.  [AUTHORITY TO ISSUE.] (a) Pollution control 
172.3   agency staff designated by the commissioner and department of 
172.4   natural resources conservation officers may issue citations to a 
172.5   person who: 
172.6      (1) disposes of solid waste as defined in section 116.06, 
172.7   subdivision 22, at a location not authorized by law for the 
172.8   disposal of solid waste without permission of the owner of the 
172.9   property; 
172.10     (2) fails to report or recover oil or hazardous substance 
172.11  discharges as required under section 115.061; or 
172.12     (3) fails to take discharge preventive or preparedness 
172.13  measures required under chapter 115E.  
172.14     (b) In addition, pollution control agency staff designated 
172.15  by the commissioner may issue citations to owners and operators 
172.16  of facilities dispensing petroleum products who violate sections 
172.17  116.46 to 116.50 and Minnesota Rules, chapters 7150 and 7151 and 
172.18  parts 7001.4200 to 7001.4300.  The citations for violation of 
172.19  sections 116.46 to 116.50 and Minnesota Rules, chapter 7150, may 
172.20  be issued only after the owners and operators have had a 90-day 
172.21  period to correct all the violations stated in a letter issued 
172.22  previously by pollution control agency staff.  A citation issued 
172.23  under this subdivision must include a requirement that the 
172.24  person cited remove and properly dispose of or otherwise manage 
172.25  the waste or discharged oil or hazardous substance, reimburse 
172.26  any government agency that has disposed of the waste or 
172.27  discharged oil or hazardous substance and contaminated debris 
172.28  for the reasonable costs of disposal, or correct any underground 
172.29  storage tank violations. 
172.30     (c) Until June 1, 2004, citations for violation of sections 
172.31  115E.045 and 116.46 to 116.50 and Minnesota Rules, chapters 7150 
172.32  and 7151, may be issued only after the owners and operators have 
172.33  had a 90-day period to correct violations stated in writing by 
172.34  pollution control agency staff, unless there is a discharge 
172.35  associated with the violation or the violation is of Minnesota 
172.36  Rules, part 7151.6400, subpart 1, item B, or 7151.6500. 
173.1      Sec. 11.  Laws 1999, chapter 231, section 2, subdivision 2, 
173.2   is amended to read: 
173.3   Subd. 2.  Protection of the Water 
173.4       15,984,000     16,008,000
173.5                 Summary by Fund
173.6   General              13,074,000    13,283,000 12,983,000
173.7   State Government
173.8   Special Revenue          44,000        45,000
173.9   Environmental         2,616,000     2,680,000  2,980,000
173.10  Petroleum tank          250,000        -0-
173.11  $2,348,000 the first year and 
173.12  $2,348,000 the second year are for 
173.13  grants to local units of government for 
173.14  the clean water partnership program.  
173.15  The amount of this appropriation above 
173.16  the base is for Phase II implementation 
173.17  projects.  Any unencumbered balance 
173.18  remaining in the first year does not 
173.19  cancel and is available for the second 
173.20  year of the biennium. 
173.21  $1,470,000 the first year and 
173.22  $1,841,000 the second year are for 
173.23  grants for county administration of the 
173.24  feedlot permit program.  These amounts 
173.25  are transferred to the board of water 
173.26  and soil resources for disbursement in 
173.27  accordance with Minnesota Statutes, 
173.28  section 103B.3369, in cooperation with 
173.29  the pollution control agency.  Grants 
173.30  must be matched with a combination of 
173.31  local cash and/or in-kind 
173.32  contributions.  Counties receiving 
173.33  these grants shall submit an annual 
173.34  report to the pollution control agency 
173.35  regarding activities conducted under 
173.36  the grant, expenditures made, and local 
173.37  match contributions.  First priority 
173.38  for funding shall be given to counties 
173.39  that have requested and received 
173.40  delegation from the pollution control 
173.41  agency for processing of animal feedlot 
173.42  permit applications under Minnesota 
173.43  Statutes, section 116.07, subdivision 
173.44  7.  Delegated counties shall be 
173.45  eligible to receive a grant of either:  
173.46  $50 multiplied by the number of 
173.47  livestock or poultry farms with sales 
173.48  greater than $10,000, as reported in 
173.49  the 1997 Census of Agriculture, 
173.50  published by the United States Bureau 
173.51  of Census; or $80 multiplied by the 
173.52  number of feedlots with greater than 
173.53  ten animal units as determined by a 
173.54  level 2 or level 3 feedlot inventory 
173.55  conducted in accordance with the 
173.56  Feedlot Inventory Guidebook published 
173.57  by the board of water and soil 
173.58  resources, dated June 1991.  To receive 
173.59  the additional funding that is based on 
173.60  the county feedlot inventory, the 
173.61  county shall submit a copy of the 
174.1   inventory to the pollution control 
174.2   agency.  Any remaining money is for 
174.3   distribution to all counties on a 
174.4   competitive basis through the challenge 
174.5   grant process for the conducting of 
174.6   feedlot inventories, development of 
174.7   delegated county feedlot programs, and 
174.8   for information and education or 
174.9   technical assistance efforts to reduce 
174.10  feedlot-related pollution hazards.  Any 
174.11  money remaining after the first year is 
174.12  available for the second year. 
174.13  $94,000 the first year and $97,000 the 
174.14  second year are for compliance 
174.15  activities and air quality monitoring 
174.16  to address hydrogen sulfide emissions 
174.17  from animal feedlots.  The air quality 
174.18  monitoring must include the use of 
174.19  portable survey instruments. 
174.20  $1,043,000 the first year and 
174.21  $1,048,000 the second year are for 
174.22  water monitoring activities.  
174.23  $320,000 the first year and $322,000 
174.24  the second year are for community 
174.25  technical assistance and education, 
174.26  including grants and technical 
174.27  assistance to communities for local and 
174.28  basin-wide water quality protection. 
174.29  $201,000 the first year and $202,000 
174.30  the second year are for individual 
174.31  sewage treatment system (ISTS) 
174.32  administration. Of this amount, $86,000 
174.33  in each year is transferred to the 
174.34  board of water and soil resources for 
174.35  assistance to local units of government 
174.36  through competitive grant programs for 
174.37  ISTS program development. 
174.38  $200,000 in each year is for individual 
174.39  sewage treatment system grants.  Any 
174.40  unexpended balance in the first year 
174.41  does not cancel, but is available in 
174.42  the second year. 
174.43  $250,000 the first year and $500,000 
174.44  the second year are for studies to 
174.45  determine total maximum daily load 
174.46  allocations to improve water quality.  
174.47  $300,000 each the first year is from 
174.48  the general fund and $300,000 the 
174.49  second year from the environmental fund 
174.50  are for continuing research on 
174.51  malformed frogs.  This is a one-time 
174.52  appropriation.  
174.53  $126,000 is for administration of the 
174.54  wastewater infrastructure fund (WIF) 
174.55  construction program.  This is a 
174.56  one-time appropriation.  
174.57  $250,000 the first year, 
174.58  notwithstanding Minnesota Statutes, 
174.59  section 115C.08, subdivision 4, is from 
174.60  the petroleum tank release fund for the 
174.61  following purposes:  (1) to purchase 
174.62  and distribute emergency spill response 
175.1   equipment, such as spill containment 
175.2   booms, sorbent pads, and installation 
175.3   tools, along the Mississippi river 
175.4   upstream of drinking water intakes at 
175.5   the locations designated by the agency 
175.6   in consultation with the Mississippi 
175.7   River Defense Network; (2) to purchase 
175.8   mobile trailers to contain the 
175.9   equipment in clause (1) so that rapid 
175.10  deployment can occur; and (3) to 
175.11  conduct spill response training for 
175.12  those groups of responders receiving 
175.13  the spill response equipment described 
175.14  in clause (1).  The agency shall 
175.15  develop and administer protocol for the 
175.16  use of the equipment among all 
175.17  potential users, including private 
175.18  contract firms, public response 
175.19  agencies, and units of government.  Any 
175.20  money remaining after the first year is 
175.21  available for the second year.  This is 
175.22  a one-time appropriation. 
175.23  $100,000 for the biennium is for a 
175.24  grant to the city of Garrison for the 
175.25  Garrison, Kathio, West Mille Lacs Lake 
175.26  Sanitary District for the cost of 
175.27  environmental studies, planning, and 
175.28  legal assistance for sewage treatment 
175.29  purposes.  This is a one-time 
175.30  appropriation. 
175.31  Until July 1, 2001, the agency shall 
175.32  not approve additional fees on animal 
175.33  feedlot operations. 
175.34     Sec. 12.  Laws 1999, chapter 231, section 6, as amended by 
175.35  Laws 1999, chapter 249, section 10, is amended to read: 
175.36  Sec. 6.  BOARD OF WATER AND 
175.37  SOIL RESOURCES                        18,896,000     18,228,000
175.38  $5,480,000 the first year and 
175.39  $5,480,000 the second year are for 
175.40  natural resources block grants to local 
175.41  governments.  Of this amount, $50,000 
175.42  each year is for a grant to the North 
175.43  Shore Management Board, $35,000 each 
175.44  year is for a grant to the St. Louis 
175.45  River Board, $100,000 each year is for 
175.46  a grant to the Minnesota River Basin 
175.47  Joint Powers Board, and $27,000 each 
175.48  year is for a grant to the Southeast 
175.49  Minnesota Resources Board. 
175.50  The board shall reduce the amount of 
175.51  the natural resource block grant to a 
175.52  county by an amount equal to any 
175.53  reduction in the county's general 
175.54  services allocation to a soil and water 
175.55  conservation district from the county's 
175.56  1998 allocation. 
175.57  Grants must be matched with a 
175.58  combination of local cash or in-kind 
175.59  contributions.  The base grant portion 
175.60  related to water planning must be 
175.61  matched by an amount that would be 
175.62  raised by a levy under Minnesota 
175.63  Statutes, section 103B.3369.  
176.1   $3,867,000 the first year and 
176.2   $3,867,000 the second year are for 
176.3   grants to soil and water conservation 
176.4   districts for general purposes, 
176.5   nonpoint engineering, and for 
176.6   implementation of the RIM conservation 
176.7   reserve program.  Upon approval of the 
176.8   board, expenditures may be made from 
176.9   these appropriations for supplies and 
176.10  services benefiting soil and water 
176.11  conservation districts. 
176.12  $4,120,000 the first year and 
176.13  $4,120,000 the second year are for 
176.14  grants to soil and water conservation 
176.15  districts for cost-sharing contracts 
176.16  for erosion control and water quality 
176.17  management.  Of this amount, $32,000 
176.18  the first year is and $90,000 the 
176.19  second year are for a grant to the Blue 
176.20  Earth county soil and water 
176.21  conservation districts for stream bank 
176.22  stabilization on the LeSueur river 
176.23  within the city limits of St. Clair; 
176.24  and at least $1,500,000 the first year 
176.25  and $1,500,000 the second year are for 
176.26  grants for cost-sharing contracts for 
176.27  water quality management on feedlots.  
176.28  Priority must be given to feedlot 
176.29  operators who have received notices of 
176.30  violation and for feedlots in counties 
176.31  that are conducting or have completed a 
176.32  level 2 or level 3 feedlot inventory.  
176.33  This appropriation is available until 
176.34  expended.  If the appropriation in 
176.35  either year is insufficient, the 
176.36  appropriation in the other year is 
176.37  available for it. 
176.38  $100,000 the first year and $100,000 
176.39  the second year are for a grant to the 
176.40  Red river basin board to develop a Red 
176.41  river basin water management plan and 
176.42  to coordinate water management 
176.43  activities in the states and provinces 
176.44  bordering the Red river.  This 
176.45  appropriation is only available to the 
176.46  extent it is matched by a proportionate 
176.47  amount in United States currency from 
176.48  the states of North Dakota and South 
176.49  Dakota and the province of Manitoba.  
176.50  The unencumbered balance in the first 
176.51  year does not cancel but is available 
176.52  for the second year.  This is a 
176.53  one-time appropriation. 
176.54  $189,000 the first year and $189,000 
176.55  the second year are for grants to 
176.56  watershed districts and other local 
176.57  units of government in the southern 
176.58  Minnesota river basin study area 2 for 
176.59  floodplain management.  If the 
176.60  appropriation in either year is 
176.61  insufficient, the appropriation in the 
176.62  other year is available for it. 
176.63  $1,203,000 the first year and $450,000 
176.64  the second year are for the 
176.65  administrative costs of easement and 
176.66  grant programs. 
177.1   Any unencumbered balance in the board's 
177.2   program of grants does not cancel at 
177.3   the end of the first year and is 
177.4   available for the second year for the 
177.5   same grant program.  If the 
177.6   appropriation in either year is 
177.7   insufficient, the appropriation for the 
177.8   other year is available for it. 
177.9      Sec. 13.  [AGRICULTURAL STORAGE TANK REMOVAL; 
177.10  REIMBURSEMENT.] 
177.11     Subdivision 1.  [DEFINITION.] As used in this section, 
177.12  "agricultural storage tank" means an underground petroleum 
177.13  storage tank with a capacity of more than 1,100 gallons that has 
177.14  been registered with the pollution control agency by January 1, 
177.15  2000, and is located on a farm where the contents of the tank 
177.16  are used by the tank owner or operator predominantly for farming 
177.17  purposes and are not commercially distributed. 
177.18     Subd. 2.  [REIMBURSEMENT.] Notwithstanding Minnesota 
177.19  Statutes, section 115C.09, subdivision 1, paragraph (b), clause 
177.20  (1), and pursuant to the remaining provisions of Minnesota 
177.21  Statutes, chapter 115C, the petroleum tank release compensation 
177.22  board shall reimburse an owner or operator of an agricultural 
177.23  storage tank for 90 percent of the total reimbursable cost of 
177.24  removal project costs incurred for the tank prior to January 1, 
177.25  2001, including, but not limited to, tank removal, closure in 
177.26  place, backfill, resurfacing, and utility restoration costs, 
177.27  regardless of whether a release has occurred at the site.  
177.28  Notwithstanding Minnesota Statutes, section 115C.09, subdivision 
177.29  3, the board may not reimburse an eligible applicant under this 
177.30  section for more than $7,500 of costs per tank. 
177.31     Sec. 14.  [SMALL GASOLINE STORAGE TANK REMOVAL; 
177.32  REIMBURSEMENT.] 
177.33     Notwithstanding Minnesota Statutes, section 115C.09, 
177.34  subdivision 3f, paragraph (a), a tank owner who (1) owned two 
177.35  locations in the state, and no locations in any other state, 
177.36  where motor fuel was dispensed to the public into motor 
177.37  vehicles, watercraft, or aircraft, and who dispensed motor fuel 
177.38  at that location, (2) operated the tanks simultaneously for six 
177.39  months or less in 1995, and (3) dispensed less than 200,000 
178.1   gallons at both locations is a small gasoline retailer for 
178.2   purposes of Minnesota Statutes, section 115C.09, subdivision 3f, 
178.3   paragraph (c), and is eligible for reimbursement. 
178.4      Sec. 15.  [SNOWMOBILE TRAILS AND ENFORCEMENT ACCOUNT; 
178.5   AUTHORIZATION.] 
178.6      The commissioner of natural resources may use up to 50 
178.7   percent of a snowmobile maintenance and grooming grant under 
178.8   Minnesota Statutes, section 84.83, that was available as of 
178.9   December 31, 1999, to reimburse the intended recipient for the 
178.10  actual cost of snowmobile trail grooming equipment to be used 
178.11  for grant-in-aid trails.  The costs must be incurred in fiscal 
178.12  year 2000 and recipients seeking reimbursement under this 
178.13  section must provide acceptable documentation of the costs to 
178.14  the commissioner.  All applications for reimbursement under this 
178.15  section must be received no later than September 1, 2000. 
178.16     Sec. 16.  [PURPOSE.] 
178.17     The legislature finds that the frequency of disaster 
178.18  declarations covering agricultural areas of the state has 
178.19  increased.  In successive years, crop disease has resulted in 
178.20  economic hardship and abnormal precipitation has prevented 
178.21  planting or harvesting.  Because of these crop production 
178.22  problems, the legislature finds that there is a need to 
178.23  establish an agricultural land set-aside program to provide 
178.24  short term economic assistance to landowners. 
178.25     Sec. 17.  [DEFINITIONS.] 
178.26     Subdivision 1.  [APPLICABILITY.] For the purposes of 
178.27  sections 17 to 20, the terms in this section have the meanings 
178.28  given. 
178.29     Subd. 2.  [AGRICULTURAL LAND.] "Agricultural land" means 
178.30  land that is: 
178.31     (1) composed of class I, II, or III land as identified in 
178.32  the land capability classification system of the United States 
178.33  Department of Agriculture; or 
178.34     (2) similar to land described under a land classification 
178.35  system selected by the board of water and soil resources. 
178.36     Subd. 3.  [BOARD.] "Board" means the board of water and 
179.1   soil resources. 
179.2      Subd. 4.  [SHORT ROTATION WOODY CROPS.] "Short rotation 
179.3   woody crops" means hybrid poplar and other woody plants that are 
179.4   harvested for their fiber within 15 years of planting. 
179.5      Subd. 5.  [WINDBREAK.] "Windbreak" means a strip or belt of 
179.6   trees, shrubs, or grass barriers designed and located to reduce 
179.7   snow deposition on highways, improve wildlife habitat or control 
179.8   soil erosion. 
179.9      Sec. 18.  [ELIGIBILITY TERMS.] 
179.10     (a) Agricultural land eligible for the board's program 
179.11  under section 19 must not exceed 160 acres for individual 
179.12  landowners. 
179.13     (b) Agricultural land eligible for payment in a fiscal year 
179.14  prior to 2002 must have been in a county under presidential 
179.15  disaster declaration in either 1998 or 1999.  In fiscal years 
179.16  2000 and thereafter, payment is available for eligible 
179.17  agricultural land in any county under a presidential disaster 
179.18  declaration related to agriculture.  
179.19     (c) Eligible land may be set aside for payment under 
179.20  section 19 for a period of three years. 
179.21     (d) At least five percent of an individual's acreage set 
179.22  aside for payments under this program must be planted with short 
179.23  rotation woody crops or windbreaks.  Short rotation woody crops 
179.24  and windbreaks may not be planted within one-quarter of a mile 
179.25  of a state or federally protected prairie.  Plantings on each 
179.26  acre may be consistent with an organic farming plan developed 
179.27  under the supervision of an approved organic certification 
179.28  organization and must be in compliance with a conservation plan 
179.29  approved by the local soil and water conservation district and 
179.30  seeded to a vegetative cover at the earliest practicable time. 
179.31     (e) Land enrolled in the federal conservation reserve 
179.32  program under Public Law Number 99-198, as amended, is not 
179.33  eligible for enrollment under sections 16 to 20. 
179.34     Sec. 19.  [PAYMENTS.] 
179.35     To the extent appropriated money is available for this 
179.36  purpose, annual payments for eligible land under section 18 that 
180.1   is set aside by the board must be based on the soil rental rates 
180.2   established under the federal conservation reserve program 
180.3   contained in Public Law Number 99-198.  An additional annual 
180.4   payment of $5 per acre may be paid for acreage maintenance. 
180.5      Payments for conservation plan implementation must be 
180.6   consistent with Minnesota Statutes, section 103C.501. 
180.7      Sec. 20.  [ADMINISTRATION.] 
180.8      The land payment program in sections 18 and 19 must be 
180.9   administered by soil and water conservation districts under 
180.10  guidelines and grants by the board. 
180.11     Sec. 21.  [WESTERN LAKE SUPERIOR SANITARY DISTRICT; 
180.12  LANDFILL CLEANUP PROGRAM QUALIFICATION.] 
180.13     Notwithstanding any provision to the contrary in Minnesota 
180.14  Statutes, sections 115B.39 to 115B.445, the facilities of a 
180.15  sanitary district operating pursuant to Minnesota Statutes, 
180.16  chapter 458D, and adjacent property used for solid waste 
180.17  disposal that did not occur under a permit from the agency, is a 
180.18  qualified facility for purposes of Minnesota Statutes, section 
180.19  115B.39, subdivision 2, paragraph (l), clause (2), if the 
180.20  following conditions are met: 
180.21     (1) the sanitary district's facility is or was permitted by 
180.22  the pollution control agency; 
180.23     (2) the sanitary district stopped accepting mixed municipal 
180.24  solid waste by January 1, 2000; and 
180.25     (3) the sanitary district stops accepting demolition debris 
180.26  and industrial waste at the facility by January 1, 2002. 
180.27     Sec. 22.  [EFFECTIVE DATE.] 
180.28     Sections 2; 3, subdivision 2; 4, subdivisions 1 and 3; 9; 
180.29  and 15 to 20, are effective on the day following final enactment.
180.30                             <b>PART D </b>
180.31                  <b> CRIMINAL JUSTICE PROVISIONS </b>
180.32                             ARTICLE 11
180.33                           APPROPRIATIONS 
180.34  Section 1.  [CRIMINAL JUSTICE APPROPRIATIONS.] 
180.35     The sums shown in the columns marked "APPROPRIATIONS" are 
180.36  appropriated from the general fund, or another fund named, to 
181.1   the agencies and for the purposes specified in this article, to 
181.2   be available for the fiscal years indicated for each purpose.  
181.3   The figures "2000" and "2001" where used in this article, mean 
181.4   that the appropriation or appropriations listed under them are 
181.5   available for the year ending June 30, 2000, or June 30, 2001, 
181.6   respectively. 
181.7                                              APPROPRIATIONS 
181.8                                          Available for the Year 
181.9                                              Ending June 30 
181.10                                            2000         2001 
181.11  Sec. 2.  DISTRICT COURTS                                 79,000 
181.12  $79,000 is for the fiscal year ending 
181.13  June 30, 2000, to be used to reimburse 
181.14  Carlton county for extraordinary 
181.15  expenses related to homicide trials.  
181.16  This is a one-time appropriation added 
181.17  to the district courts appropriation 
181.18  for fiscal year 2001 in Laws 1999, 
181.19  chapter 216, article 1, section 4. 
181.20  Sec. 3.  PUBLIC SAFETY
181.21  Subdivision 1.  Total 
181.22  Appropriation                          3,813,000        456,000
181.23  Subd. 2.  Emergency Management
181.24  $3,813,000 is for fiscal year 2000 for 
181.25  the state match of federal disaster 
181.26  assistance funds under Minnesota 
181.27  Statutes, section 12.221.  This 
181.28  appropriation is available to fund 
181.29  state obligations incurred through the 
181.30  receipt of federal disaster assistance 
181.31  grants.  This appropriation is added to 
181.32  Laws 1999, article 1, chapter 216, 
181.33  section 7, subdivision 2. 
181.34  Subd. 3.  Law Enforcement and Community Grants
181.35  $250,000 is for a one-time grant to the 
181.36  Ramsey county attorney's office to 
181.37  establish and fund the domestic assault 
181.38  and child abuse prosecution unit. 
181.39  The commissioner of public safety shall 
181.40  consider using funds appropriated for 
181.41  grants under Minnesota Statutes, 
181.42  section 299A.62, for grants to local 
181.43  law enforcement agencies or regional 
181.44  jails for the purchase of dogs trained 
181.45  to detect or locate controlled 
181.46  substances by scent.  Grants are 
181.47  limited to one dog per agency.  Local 
181.48  law enforcement agencies that 
181.49  previously received a grant under Laws 
181.50  1999, chapter 216, article 1, section 
181.51  7, subdivision 6, are ineligible for a 
181.52  grant under this section.  All dogs 
181.53  shall be certified by the United States 
181.54  Police Canine Association or another 
181.55  equally recognized certifying 
181.56  organization. 
182.1   Subd. 4.  Center for Crime 
182.2   Victims Services                                        206,000 
182.3   $206,000 is for per diem payments for 
182.4   battered women shelter facilities 
182.5   incurred during the administrative 
182.6   transfer of responsibility for these 
182.7   payments from the department of human 
182.8   services to the department of public 
182.9   safety.  This is a one-time 
182.10  appropriation for fiscal year 2001. 
182.11  Sec. 4.  CORRECTIONS 
182.12  The fiscal year 2001 general fund 
182.13  appropriation for juvenile residential 
182.14  treatment grants in Laws 1999, chapter 
182.15  216, article 1, section 13, subdivision 
182.16  4, is reduced by $5,000,000.  The 
182.17  commissioner of finance shall reflect 
182.18  this reduction in the base budget of 
182.19  the department of corrections for the 
182.20  next biennium. 
182.21  Sec. 5.  AUTO THEFT 
182.22  PREVENTION BOARD 
182.23  By June 30, 2001, the commissioner of 
182.24  finance shall transfer $3,500,000 from 
182.25  the auto theft prevention account in 
182.26  the special revenue fund to the general 
182.27  fund.  Minnesota Statutes, section 
182.28  168A.40, subdivision 4, does not apply 
182.29  to money transferred to the general 
182.30  fund under this section.  This is a 
182.31  one-time transfer. 
182.32  Sec. 6.  MINNESOTA SAFETY 
182.33  COUNCIL                                                  26,000 
182.34  This appropriation is to fund grants 
182.35  under Minnesota Statutes, section 
182.36  169.2151. 
182.37  Sec. 7.  UNIVERSITY OF MINNESOTA                         20,000 
182.38  To the board of regents, to cover the 
182.39  cost of updating the parent education 
182.40  curriculum.  This is a one-time 
182.41  appropriation for fiscal year 2001. 
182.42  Sec. 8.  SUPREME COURT                                    4,000 
182.43  For fiscal year 2001, to conduct a 
182.44  one-half day judicial seminar on 
182.45  parenting plans.  This is a one-time 
182.46  appropriation. 
182.47     Sec. 9.  Laws 1999, chapter 216, article 1, section 2, 
182.48  subdivision 3, is amended to read: 
182.49  Subd. 3.  Civil Legal Services
182.50       6,484,000      6,484,000 6,250,000
182.51  This appropriation is for legal 
182.52  services to low-income clients and for 
182.53  family farm legal assistance under 
182.54  Minnesota Statutes, section 480.242.  
182.55  Any unencumbered balance remaining in 
183.1   the first year does not cancel but is 
183.2   available for the second year of the 
183.3   biennium.  A qualified legal services 
183.4   program, as defined in Minnesota 
183.5   Statutes, section 480.24, subdivision 
183.6   3, may provide legal services to 
183.7   persons eligible for family farm legal 
183.8   assistance under Minnesota Statutes, 
183.9   section 480.242.  
183.10  Of this appropriation, $877,000 the 
183.11  first year and $877,000 the second year 
183.12  are to improve the access of low-income 
183.13  clients to legal representation in 
183.14  family law matters.  This appropriation 
183.15  must be distributed under Minnesota 
183.16  Statutes, section 480.242, to the 
183.17  qualified legal services programs 
183.18  described in Minnesota Statutes, 
183.19  section 480.242, subdivision 2, 
183.20  paragraph (a).  Any unencumbered 
183.21  balance remaining in the first year 
183.22  does not cancel and is available for 
183.23  the second year of the biennium.  This 
183.24  is a one-time reduction that applies to 
183.25  fiscal year 2001 only. 
183.26     Sec. 10.  Laws 1999, chapter 216, article 1, section 14, is 
183.27  amended to read: 
183.28  Sec. 14.  CORRECTIONS OMBUDSMAN          470,000 400,000 75,000
183.29  If the reduction in the base level 
183.30  funding causes a reduction in the 
183.31  number of employees, then the 
183.32  commissioner of corrections and 
183.33  commissioner of public safety shall 
183.34  make reasonable efforts to transfer the 
183.35  affected employees to positions within 
183.36  the department of corrections or 
183.37  department of public safety.  
183.38  $75,000 the second year is for 
183.39  severance costs resulting from 
183.40  elimination of the office of 
183.41  corrections ombudsman. 
183.42  To the extent practicable and to the 
183.43  extent consistent with any collective 
183.44  bargaining agreements that apply, the 
183.45  commissioner of employee relations must 
183.46  find other comparable state employment 
183.47  for employees displaced by elimination 
183.48  of the office of ombudsman for the 
183.49  Minnesota state department of 
183.50  corrections. 
183.51     Sec. 11.  Laws 1999, chapter 216, article 1, section 9, is 
183.52  amended to read: 
183.53  Sec. 9.  CRIME VICTIM 
183.54  OMBUDSMAN                                404,000 389,000 364,000 
183.55  $20,000 the first year is for the crime 
183.56  victims case management system. 
183.57  Sec. 12.  SUNSET OF 
183.58  UNCODIFIED LANGUAGE                                            
184.1   All uncodified language contained in 
184.2   this article expires on June 30, 2001, 
184.3   unless a different expiration date is 
184.4   explicit. 
184.5                              ARTICLE 12
184.6                                COURTS
184.7      Section 1.  Minnesota Statutes 1998, section 169.89, 
184.8   subdivision 2, is amended to read: 
184.9      Subd. 2.  [PETTY MISDEMEANOR PENALTY; NO JURY TRIAL.] A 
184.10  person charged with a petty misdemeanor is not entitled to a 
184.11  jury trial but shall be tried by a judge without a jury.  If 
184.12  convicted, the person is not subject to imprisonment but shall 
184.13  be punished by a fine of not more than $200 $300. 
184.14     Sec. 2.  Minnesota Statutes 1998, section 609.02, 
184.15  subdivision 3, is amended to read: 
184.16     Subd. 3.  [MISDEMEANOR.] "Misdemeanor" means a crime for 
184.17  which a sentence of not more than 90 days or a fine of not more 
184.18  than $700 $800, or both, may be imposed. 
184.19     Sec. 3.  Minnesota Statutes 1998, section 609.02, 
184.20  subdivision 4a, is amended to read: 
184.21     Subd. 4a.  [PETTY MISDEMEANOR.] "Petty misdemeanor" means a 
184.22  petty offense which is prohibited by statute, which does not 
184.23  constitute a crime and for which a sentence of a fine of not 
184.24  more than $200 $300 may be imposed. 
184.25     Sec. 4.  Minnesota Statutes 1998, section 609.03, is 
184.26  amended to read: 
184.27     609.03 [PUNISHMENT WHEN NOT OTHERWISE FIXED.] 
184.28     If a person is convicted of a crime for which no punishment 
184.29  is otherwise provided the person may be sentenced as follows: 
184.30     (1) If the crime is a felony, to imprisonment for not more 
184.31  than five years or to payment of a fine of not more than 
184.32  $10,000, or both; or 
184.33     (2) If the crime is a gross misdemeanor, to imprisonment 
184.34  for not more than one year or to payment of a fine of not more 
184.35  than $3,000, or both; or 
184.36     (3) If the crime is a misdemeanor, to imprisonment for not 
184.37  more than 90 days or to payment of a fine of not more than 
185.1   $700 $800, or both; or 
185.2      (4) If the crime is other than a misdemeanor and a fine is 
185.3   imposed but the amount is not specified, to payment of a fine of 
185.4   not more than $1,000, or to imprisonment for a specified term of 
185.5   not more than six months if the fine is not paid. 
185.6      Sec. 5.  Minnesota Statutes 1998, section 609.033, is 
185.7   amended to read: 
185.8      609.033 [INCREASED MAXIMUM PENALTIES FOR MISDEMEANORS.] 
185.9      Any law of this state which provides for a maximum fine of 
185.10  $500 $700 as a penalty for a violation misdemeanor shall, on or 
185.11  after August 1, 1983 2000, be deemed to provide for a maximum 
185.12  fine of $700 $800.  
185.13     Sec. 6.  Minnesota Statutes 1998, section 609.0331, is 
185.14  amended to read: 
185.15     609.0331 [INCREASED MAXIMUM PENALTIES FOR PETTY 
185.16  MISDEMEANORS.] 
185.17     A law of this state that provides, on or after August 1, 
185.18  1987 2000, for a maximum penalty of $100 $200 for a petty 
185.19  misdemeanor is considered to provide for a maximum fine 
185.20  of $200 $300.  
185.21     Sec. 7.  Minnesota Statutes 1998, section 609.0332, 
185.22  subdivision 1, is amended to read: 
185.23     Subdivision 1.  [INCREASED FINE.] From August 1, 1987 2000, 
185.24  if a state law or municipal charter sets a limit of $100 $200 or 
185.25  less on the fines that a statutory or home rule charter city, 
185.26  town, county, or other political subdivision may prescribe for 
185.27  an ordinance violation that is defined as a petty misdemeanor, 
185.28  that law or charter is considered to provide that the political 
185.29  subdivision has the power to prescribe a maximum fine of $200 
185.30  $300 for the petty misdemeanor violation. 
185.31     Sec. 8.  Minnesota Statutes 1998, section 609.034, is 
185.32  amended to read: 
185.33     609.034 [INCREASED MAXIMUM PENALTY FOR ORDINANCE 
185.34  VIOLATIONS.] 
185.35     Any law of this state or municipal charter which limits the 
185.36  power of any statutory or home rule charter city, town, county, 
186.1   or other political subdivision to prescribe a maximum fine of 
186.2   $500 $700 or less for an ordinance shall on or after August 1, 
186.3   1983 2000, be deemed to provide that the statutory or home rule 
186.4   charter city, town, county, or other political subdivision has 
186.5   the power to prescribe a maximum fine of $700 $800. 
186.6      Sec. 9.  Minnesota Statutes 1998, section 609.2231, 
186.7   subdivision 1, is amended to read: 
186.8      Subdivision 1.  [PEACE OFFICERS.] Whoever assaults a peace 
186.9   officer licensed under section 626.845, subdivision 1, when that 
186.10  officer is effecting a lawful arrest or executing any other duty 
186.11  imposed by law and inflicts demonstrable bodily harm is guilty 
186.12  of a felony gross misdemeanor and may be sentenced to 
186.13  imprisonment for not more than one year or to payment of a fine 
186.14  of not more than $3,000, or both.  If the assault inflicts 
186.15  demonstrable bodily harm, the person is guilty of a felony and 
186.16  may be sentenced to imprisonment for not more than two three 
186.17  years or to payment of a fine of not more than $4,000 $6,000, or 
186.18  both. 
186.19     Sec. 10.  [STUDY OF COURT-IMPOSED FINES, FEES, AND 
186.20  SURCHARGES.] 
186.21     Subdivision 1.  [WORK GROUP; MEMBERSHIP.] The state court 
186.22  administrator is requested to establish a work group to study 
186.23  and make recommendations to improve the current system of fines, 
186.24  fees, and surcharges imposed by the courts.  The work group 
186.25  shall represent entities that impose, collect, or receive 
186.26  proceeds from court fines, fees, and surcharges and shall 
186.27  include at least one representative from the following: 
186.28     (1) district courts; 
186.29     (2) victims programs; 
186.30     (3) city and county prosecuting authorities; 
186.31     (4) district court administrators; 
186.32     (5) drug abuse prevention programs; 
186.33     (6) peace officers; 
186.34     (7) department of natural resources; 
186.35     (8) school districts; 
186.36     (9) prostitution outreach programs; 
187.1      (10) state troopers; 
187.2      (11) emergency medical services; 
187.3      (12) department of transportation; 
187.4      (13) sentencing guidelines commission; 
187.5      (14) legislature; 
187.6      (15) public defenders; 
187.7      (16) legal aid providers; and 
187.8      (17) corrections. 
187.9      The state court administrator may appoint other members as 
187.10  necessary and shall ensure that the work group represents both 
187.11  rural and metropolitan areas. 
187.12     Subd. 2.  [DUTIES OF WORK GROUP.] The work group shall 
187.13  study and make recommendations for improvement in the following 
187.14  areas: 
187.15     (1) the purpose and need for a separate systems of fines, 
187.16  fees, and surcharges, considering specifically the current 
187.17  purposes of generating revenue, punishing wrongdoing, and 
187.18  funding special programs.  The work group shall give special 
187.19  consideration to how the imposition of fines, fees, and 
187.20  surcharges for these purposes impacts victim restitution and 
187.21  reparations; 
187.22     (2) methods to track the imposition, and nonimposition, and 
187.23  collection of fines and fees including (a) a centralized 
187.24  tracking system, (b) modifying the sentencing guidelines 
187.25  worksheet to include all crimes and fines, and (c) sources for 
187.26  collection services including the use of existing services such 
187.27  as county child support collections and Minnesota collection 
187.28  enterprises; 
187.29     (3) the impact of fragmented revenue distribution on 
187.30  tracking, imposition, and collection, including the effect a 
187.31  simplified or flat fee may have on revenue and tracking and any 
187.32  policy implications of simplifying the system; 
187.33     (4) the impact of the state takeover of court costs and any 
187.34  opportunity to simplify the system of fines, fees, and 
187.35  surcharges or provide for a centralized revenue collection 
187.36  system; 
188.1      (5) the rationale for continuing to charge a fee for 
188.2   presentence domestic abuse investigations under Minnesota 
188.3   Statutes, section 609.2244, when fees for presentence 
188.4   investigations are not imposed for other crimes; and 
188.5      (6) other issues the work group considers necessary. 
188.6      Subd. 3.  [REPORT REQUIRED.] By January 15, 2001, the state 
188.7   court administrator is requested to submit an interim progress 
188.8   report to the chairs and ranking minority members of the house 
188.9   of representatives and senate committees and divisions with 
188.10  jurisdiction over judiciary finance, civil law policy, and 
188.11  criminal law policy and a final report by December 1, 2001.  The 
188.12  final report shall be based on the study of the work group and 
188.13  shall contain detailed findings and recommendations, including 
188.14  proposed legislative changes for improving the current system of 
188.15  fines, fees, and surcharges. 
188.16     Sec. 11.  [REPORT ON RESTITUTION SENTENCING.] 
188.17     The legislature is interested in assessing the 
188.18  effectiveness of using stayed sentences containing increased 
188.19  penalties as an incentive and means to enforce the payment of 
188.20  full restitution by property crime offenders.  This alternative 
188.21  sentencing process would encourage use of a character 
188.22  development program as part of the stayed sentence and would 
188.23  permit the court to revoke or adjust the stayed sentence where 
188.24  necessary. 
188.25     To enable the legislature to assess the effectiveness of 
188.26  such an alternative sentencing process, the conference of chief 
188.27  judges is requested to gather and report information on the 
188.28  experience of district judges who use these procedures and 
188.29  report the information to the house and senate committees having 
188.30  jurisdiction over criminal justice policy and funding.  
188.31  Information on restitution enforcement, victim restoration, 
188.32  offender rehabilitation, and possible prison bed impacts is 
188.33  requested as useful information becomes available and a final 
188.34  report is requested by January 1, 2002. 
188.35     Sec. 12.  [EFFECTIVE DATE.] 
188.36     Sections 1 to 9 are effective August 1, 2000, and apply to 
189.1   offenses committed on or after that date.  Sections 10 and 11 
189.2   are effective July 1, 2000. 
189.3                              ARTICLE 13 
189.4                            PUBLIC SAFETY 
189.5      Section 1.  Minnesota Statutes 1998, section 168A.40, 
189.6   subdivision 3, is amended to read: 
189.7      Subd. 3.  [SURCHARGE.] Each insurer engaged in the writing 
189.8   of policies of automobile insurance shall collect a surcharge, 
189.9   at the rate of 50 cents per vehicle for every six months of 
189.10  coverage, on each policy of automobile insurance providing 
189.11  comprehensive insurance coverage issued or renewed in this 
189.12  state.  The surcharge may not be considered premium for any 
189.13  purpose, including the computation of premium tax or agents' 
189.14  commissions.  The amount of the surcharge must be separately 
189.15  stated on either a billing or policy declaration sent to an 
189.16  insured.  Insurers shall remit the revenue derived from this 
189.17  surcharge at least quarterly to the board for purposes of the 
189.18  automobile theft prevention program.  For purposes of this 
189.19  subdivision, "policy of automobile insurance" has the meaning 
189.20  given it in section 65B.14, covering only the following types of 
189.21  vehicles as defined in section 168.011: 
189.22     (1) a passenger automobile; 
189.23     (2) a pick-up truck; 
189.24     (3) a van but not commuter vans as defined in section 
189.25  168.126; or 
189.26     (4) a motorcycle; 
189.27  except that no vehicle with a gross vehicle weight in excess of 
189.28  10,000 pounds is included within this definition.  
189.29     Sec. 2.  Minnesota Statutes 1998, section 169.01, 
189.30  subdivision 37, is amended to read: 
189.31     Subd. 37.  [CROSSWALK.] "Crosswalk" means (1) that portion 
189.32  of a roadway ordinarily included with the prolongation or 
189.33  connection of the lateral lines of sidewalks at intersections, 
189.34  or in the case of an intersection with no sidewalk and no marked 
189.35  crosswalk, the width of the roadway from the intersection area 
189.36  to a line ten feet therefrom; or (2) any portion of a roadway 
190.1   distinctly indicated for pedestrian crossing by lines or other 
190.2   markings on the surface. 
190.3      Sec. 3.  Minnesota Statutes 1998, section 169.21, 
190.4   subdivision 2, is amended to read: 
190.5      Subd. 2.  [RIGHTS IN ABSENCE OF SIGNAL.] (a) Where 
190.6   traffic-control signals are not in place or in operation, the 
190.7   driver of a vehicle shall stop to yield the right-of-way to a 
190.8   pedestrian crossing the roadway within a marked crosswalk or 
190.9   within any crosswalk at an intersection but.  The driver must 
190.10  remain stopped until the pedestrian has passed the lane in which 
190.11  the vehicle is stopped.  No pedestrian shall suddenly leave a 
190.12  curb or other place of safety and walk or run into the path of a 
190.13  vehicle which is so close that it is impossible for the driver 
190.14  to yield.  This provision shall not apply under the conditions 
190.15  as otherwise provided in this subdivision. 
190.16     (b) When any vehicle is stopped at a marked crosswalk or at 
190.17  any unmarked crosswalk at an intersection to permit a pedestrian 
190.18  to cross the roadway, the driver of any other vehicle 
190.19  approaching from the rear shall not overtake and pass the 
190.20  stopped vehicle. 
190.21     (c) It is unlawful for any person to drive a motor vehicle 
190.22  through a column of school children crossing a street or highway 
190.23  or past a member of a school safety patrol or adult crossing 
190.24  guard, while the member of the school safety patrol or adult 
190.25  crossing guard is directing the movement of children across a 
190.26  street or highway and while the school safety patrol member or 
190.27  adult crossing guard is holding an official signal in the stop 
190.28  position.  A peace officer may arrest the driver of a motor 
190.29  vehicle if the peace officer has probable cause to believe that 
190.30  the driver has operated the vehicle in violation of this 
190.31  paragraph within the past four hours.  
190.32     (d) A person who violates this subdivision is guilty of a 
190.33  misdemeanor and may be sentenced to imprisonment for not more 
190.34  than 90 days or to payment of a fine of not more than $700, or 
190.35  both.  A person who violates this subdivision a second or 
190.36  subsequent time within one year of a previous conviction under 
191.1   this subdivision is guilty of a gross misdemeanor and may be 
191.2   sentenced to imprisonment for not more than one year or to 
191.3   payment of a fine of not more than $3,000, or both. 
191.4      Sec. 4.  Minnesota Statutes 1998, section 169.21, 
191.5   subdivision 3, is amended to read: 
191.6      Subd. 3.  [CROSSING BETWEEN INTERSECTIONS.] Every 
191.7   pedestrian crossing a roadway at any point other than within a 
191.8   marked crosswalk or within an unmarked crosswalk at an 
191.9   intersection shall yield the right-of-way to all vehicles upon 
191.10  the roadway. 
191.11     Any pedestrian crossing a roadway at a point where a 
191.12  pedestrian tunnel or overhead pedestrian crossing has been 
191.13  provided shall yield the right-of-way to all vehicles upon the 
191.14  roadway. 
191.15     Between adjacent intersections at which traffic-control 
191.16  signals are in operation pedestrians shall not cross at any 
191.17  place except in a marked crosswalk. 
191.18     Notwithstanding the other provisions of this section every 
191.19  driver of a vehicle shall:  (a) exercise due care to avoid 
191.20  colliding with any bicycle or pedestrian upon any roadway and 
191.21  (b) give an audible signal when necessary and exercise proper 
191.22  precaution upon observing any child or any obviously confused or 
191.23  incapacitated person upon a roadway. 
191.24     Sec. 5.  [169.2151] [PEDESTRIAN SAFETY CROSSINGS.] 
191.25     A local road authority may by ordinance provide for the 
191.26  designation of pedestrian safety crossings on highways under the 
191.27  road authority's jurisdiction where pedestrian safety 
191.28  considerations require extra time for pedestrian crossing in 
191.29  addition to the time recommended under the Minnesota manual of 
191.30  uniform traffic control devices for pedestrian signals.  The 
191.31  ordinance may provide for timing of pedestrian signals for such 
191.32  crossings, consistent with the recommendations of the uniform 
191.33  manual for pedestrian signal timing at senior citizen and 
191.34  handicapped pedestrian crossings.  Cities other than cities of 
191.35  the first class may designate a crossing as a pedestrian safety 
191.36  crossing only with the approval of the road authority having 
192.1   jurisdiction over the crossing.  The authority of local road 
192.2   authorities to determine pedestrian signal timing under this 
192.3   section is in addition to any other control exercised by local 
192.4   road authorities over the timing of pedestrian signals. 
192.5      Sec. 6.  [CROSSWALK SAFETY AWARENESS GRANTS.] 
192.6      The Minnesota safety council shall continue its crosswalk 
192.7   safety awareness program by: 
192.8      (1) developing and distributing crosswalk safety education 
192.9   campaign materials; 
192.10     (2) creating and placing advertisements in mass media 
192.11  throughout the state; and 
192.12     (3) making grants to local units of government and law 
192.13  enforcement agencies for: 
192.14     (i) implementing pedestrian safety awareness activities; 
192.15     (ii) providing increased signage and crosswalk markings and 
192.16  evaluating their effect on highway safety; and 
192.17     (iii) enhancing enforcement of pedestrian safety laws. 
192.18     Sec. 7.  [JOINT DOMESTIC ABUSE PROSECUTION UNIT.] 
192.19     Subdivision 1.  [ESTABLISHMENT.] A pilot project is 
192.20  established to develop a joint domestic abuse prosecution unit 
192.21  administered by the Ramsey county attorney's office and the St. 
192.22  Paul city attorney's office.  The unit would have authority to 
192.23  prosecute misdemeanors, gross misdemeanors, and felonies.  The 
192.24  unit would also coordinate efforts with child protection 
192.25  attorneys.  The unit would include four cross-deputized 
192.26  assistant city attorneys and assistant county attorneys.  A 
192.27  victim/witness advocate, a law clerk, and a legal secretary 
192.28  would provide support. 
192.29     Subd. 2.  [GOALS.] The goals of this pilot project are to: 
192.30     (1) recognize children as both victims and witnesses in 
192.31  domestic abuse situations; 
192.32     (2) recognize and respect the interests of children in the 
192.33  prosecution of domestic abuse; and 
192.34     (3) reduce the exposure to domestic violence for both adult 
192.35  and child victims. 
192.36     Subd. 3.  [REPORT.] The Ramsey county attorney's office and 
193.1   the St. Paul city attorney's office must report to the 
193.2   legislature on the pilot project.  The report may include the 
193.3   number and types of cases referred, the number of cases charged, 
193.4   the outcome of cases, and other relevant outcome measures.  A 
193.5   progress report is due January 15, 2001, and a final report is 
193.6   due January 15, 2002. 
193.7      Subd. 4.  [SHARING OF PILOT PROJECT RESULTS.] The Ramsey 
193.8   county attorney's office and the St. Paul city attorney's office 
193.9   must share the results of the pilot project with the state and 
193.10  other counties and cities. 
193.11     Sec. 8.  [EFFECTIVE DATE.] 
193.12     Sections 2 to 5 are effective September 1, 2000.  Section 6 
193.13  is effective July 1, 2000. 
193.14                             ARTICLE 14
193.15                            CORRECTIONS
193.16     Section 1.  Minnesota Statutes 1999 Supplement, section 
193.17  241.272, subdivision 6, is amended to read: 
193.18     Subd. 6.  [USE OF FEES.] Excluding correctional fees 
193.19  collected from offenders supervised by department agents under 
193.20  the authority of section 244.19, subdivision 1, paragraph (a), 
193.21  clause (3), all correctional fees collected under this section 
193.22  go to the general fund.  Fees collected by agents under the 
193.23  authority of section 244.19, subdivision 1, paragraph (a), 
193.24  clause (3), shall go to the county treasurer in the county where 
193.25  supervision is provided.  These fees shall be used according to 
193.26  section 244.18, subdivision 6. 
193.27     Sec. 2.  Minnesota Statutes 1999 Supplement, section 
193.28  242.192, is amended to read: 
193.29     242.192 [CHARGES TO COUNTIES.] 
193.30     (a) The commissioner shall charge counties or other 
193.31  appropriate jurisdictions for one-half the actual per diem cost 
193.32  of confinement, excluding educational costs and nonbillable 
193.33  service, of juveniles at the Minnesota correctional facility-Red 
193.34  Wing and of juvenile females committed to the commissioner of 
193.35  corrections.  This charge applies to juveniles committed to the 
193.36  commissioner of corrections and juveniles admitted to the 
194.1   Minnesota correctional facility-Red Wing under established 
194.2   admissions criteria.  This charge applies to both counties that 
194.3   participate in the Community Corrections Act and those that do 
194.4   not.  The commissioner shall annually determine costs, making 
194.5   necessary adjustments to reflect the actual costs of confinement 
194.6   the per diem cost of confinement based on projected population, 
194.7   pricing incentives, market conditions, and the requirement that 
194.8   expense and revenue balance out over a period of two years.  All 
194.9   money received under this section must be deposited in the state 
194.10  treasury and credited to the general fund. 
194.11     (b) The department of corrections shall be responsible for 
194.12  the other half of the per diem cost of confinement described in 
194.13  this section. 
194.14     Sec. 3.  [242.193] [JUVENILE RESIDENTIAL TREATMENT GRANTS.] 
194.15     Subdivision 1.  [GRANTS.] Within the limits of available 
194.16  appropriations, the commissioner of corrections shall make 
194.17  juvenile residential treatment grants to counties to defray the 
194.18  cost of juvenile residential treatment.  The commissioner shall 
194.19  distribute 80 percent of the money appropriated for these 
194.20  purposes to noncommunity corrections counties and 20 percent to 
194.21  community corrections act counties.  The commissioner shall 
194.22  distribute the money according to the formula contained in 
194.23  section 401.10. 
194.24     Subd. 2.  [REPORT.] By January 15 of each year, each county 
194.25  that received a grant shall submit a report to the commissioner 
194.26  describing the purposes for which the grants were used.  By 
194.27  March 15 of each year, the commissioner shall summarize this 
194.28  information and report it to the chairs and ranking minority 
194.29  members of the senate and house of representatives committees 
194.30  and divisions having jurisdiction over criminal justice funding. 
194.31     Sec. 4.  Minnesota Statutes 1998, section 242.41, is 
194.32  amended to read: 
194.33     242.41 [THE MINNESOTA CORRECTIONAL FACILITY-RED WING.] 
194.34     There is established the Minnesota correctional 
194.35  facility-Red Wing at Red Wing, Minnesota, in which may be placed 
194.36  persons committed to the commissioner of corrections by the 
195.1   courts of this state who, in the opinion of the commissioner, 
195.2   may benefit from the programs available thereat or admitted 
195.3   consistent with established admissions criteria.  When reviewing 
195.4   placement requests from counties, the commissioner shall take 
195.5   into consideration the purpose of the Minnesota correctional 
195.6   facility-Red Wing which is to educate and provide treatment for 
195.7   serious and chronic juvenile offenders for which the county has 
195.8   exhausted local resources.  The general control and management 
195.9   of the facility shall be under the commissioner of corrections.  
195.10     Sec. 5.  Minnesota Statutes 1998, section 242.43, is 
195.11  amended to read: 
195.12     242.43 [COMMISSIONER, DUTIES.] 
195.13     The commissioner of corrections shall receive, clothe, 
195.14  maintain, and instruct, at the expense of the state, all 
195.15  children duly committed to the corrections department and placed 
195.16  in a state correctional facility for juveniles and keep them in 
195.17  custody until placed on probation, paroled, or discharged.  The 
195.18  commissioner may place any of these children in suitable foster 
195.19  care facilities or cause them to be instructed in such trades or 
195.20  employment as in the commissioner's judgment will be most 
195.21  conducive to their reformation and tend to the future benefit 
195.22  and advantage of these children.  The commissioner may discharge 
195.23  any child so committed, or may recall to the facility at any 
195.24  time any child paroled, placed on probation, or transferred; 
195.25  and, upon recall, may resume the care and control thereof.  The 
195.26  discharge of a child by the commissioner shall be a complete 
195.27  release from all penalties and disabilities created by reason of 
195.28  the commitment. 
195.29     Upon the parole or discharge of any inmate of any state 
195.30  juvenile correctional facility, the commissioner of corrections 
195.31  may pay to each inmate released an amount of money not exceeding 
195.32  the sum of $10.  All payments shall be made from the current 
195.33  expense fund of the facility.  
195.34     Sec. 6.  Minnesota Statutes 1998, section 242.44, is 
195.35  amended to read: 
195.36     242.44 [PUPILS.] 
196.1      The commissioner of corrections, so far as the 
196.2   accommodations of the correctional facilities and other means at 
196.3   the commissioner's disposal will permit, shall may receive and 
196.4   keep until they reach 19 years of age, or until placed in homes, 
196.5   or discharged, all persons committed to the commissioner's care 
196.6   and custody by a juvenile court juvenile delinquents and 
196.7   juvenile offenders serving a juvenile disposition under section 
196.8   260B.130, subdivision 4.  The commissioner's housing of these 
196.9   individuals must be consistent with federal and state law, 
196.10  including established admissions criteria for Minnesota 
196.11  correctional facility-Red Wing.  The commissioner may place 
196.12  these youths at employment, may provide education suitable to 
196.13  their years and capacity, and may place them in suitable homes.  
196.14  Under rules prescribed by the commissioner, when deemed best for 
196.15  these youths, they persons committed to the commissioner's care 
196.16  and custody by a juvenile court may be paroled or discharged 
196.17  from the facility by the commissioner.  All pupils in the 
196.18  facility shall be clothed, instructed, and maintained at the 
196.19  expense of the state by the commissioner of corrections. 
196.20     Sec. 7.  [260B.199] [PLACEMENT OF JUVENILE OFFENDERS AT 
196.21  MCF-RED WING.] 
196.22     Subdivision 1.  [WHEN COURT MUST CONSIDER; PROHIBITION ON 
196.23  PLACEMENT AT OUT-OF-STATE FACILITY.] Before a court orders a 
196.24  disposition under section 260B.198 or 260B.130, subdivision 4, 
196.25  for a child, the court shall determine whether the child meets 
196.26  the established admissions criteria for the Minnesota 
196.27  correctional facility-Red Wing.  If the child meets the 
196.28  admissions criteria, the court shall place the child at the 
196.29  facility and may not place the child in an out-of-state 
196.30  facility, unless the court makes a finding on the record that 
196.31  the safety needs of the child and/or the safety needs of the 
196.32  community can be best met by a placement in an out-of-state 
196.33  facility.  
196.34     Subd. 2.  [REPORT REQUIRED.] (a) A court that places a 
196.35  child in an out-of-state facility shall report the following 
196.36  information to the sentencing guidelines commission: 
197.1      (1) the out-of-state facility the child was placed at and 
197.2   the reasons for this placement; 
197.3      (2) the in-state facilities at which placement was 
197.4   considered; 
197.5      (3) the reasons for not choosing an in-state facility; 
197.6      (4) the reasons why the child did not meet the established 
197.7   admissions criteria for the Minnesota correctional facility-Red 
197.8   Wing, if applicable; and 
197.9      (5) if the child met the admissions criteria, the reasons 
197.10  why the safety of the child or the safety needs of the community 
197.11  could not be met at the Minnesota correctional facility-Red Wing.
197.12     (b) By February 15 of each year, the commissioner shall 
197.13  forward a summary of the reports received from courts under this 
197.14  subdivision for the preceding year to the chairs and ranking 
197.15  minority members of the senate and house of representatives 
197.16  committees and divisions having jurisdiction over criminal 
197.17  justice policy and funding. 
197.18     Sec. 8.  [260B.1991] [MANDATORY COMMITMENT TO COMMISSIONER 
197.19  OF CORRECTIONS.] 
197.20     Subdivision 1.  [DEFINITIONS.] (a) As used in this section, 
197.21  the following terms have the meanings given them. 
197.22     (b) "Chemical dependency treatment" means a comprehensive 
197.23  set of planned and organized services, therapeutic experiences, 
197.24  and interventions that are intended to improve the prognosis, 
197.25  function, or outcome of residents by reducing the risk of the 
197.26  use of alcohol, drugs, or other mind-altering substances and 
197.27  assist the resident to adjust to, and deal more effectively 
197.28  with, life situations. 
197.29     (c) An offender has "failed or refused to successfully 
197.30  complete" treatment when based on factors within the offender's 
197.31  control, the offender is not able to substantially achieve the 
197.32  program's goals and the program's director determines that based 
197.33  on the offender's prior placement or treatment history, further 
197.34  participation in the program would not result in its successful 
197.35  completion. 
197.36     (d) "Probation" has the meaning given in section 609.02, 
198.1   subdivision 15. 
198.2      (e) "Sex offender treatment" means a comprehensive set of 
198.3   planned and organized services, therapeutic experiences, and 
198.4   interventions that are intended to improve the prognosis, 
198.5   function, or outcome of residents by reducing the risk of sexual 
198.6   reoffense and other aggressive behavior and assist the resident 
198.7   to adjust to, and deal more effectively with, life situations. 
198.8      Subd. 2.  [WHEN COMMITMENT REQUIRED.] (a) A court having 
198.9   jurisdiction over a child shall commit the child to the custody 
198.10  of the commissioner of corrections or place the child at the 
198.11  Minnesota correctional facility-Red Wing if the child: 
198.12     (1) was previously adjudicated delinquent or convicted as 
198.13  an extended jurisdiction juvenile for an offense for which 
198.14  registration under section 243.166 was required; 
198.15     (2) was placed on probation for the offense and ordered to 
198.16  complete a sex offender or chemical dependency treatment 
198.17  program; and 
198.18     (3) subsequently failed or refused to successfully complete 
198.19  the program. 
198.20     (b) If the child was initially convicted as an extended 
198.21  jurisdiction juvenile, the court may execute the child's adult 
198.22  sentence under section 260B.130, subdivision 4.  Notwithstanding 
198.23  paragraph (c), if the court does not do this, it shall comply 
198.24  with paragraph (a). 
198.25     (c) If the court makes a finding on the record that the 
198.26  needs of the child cannot be met at the Minnesota correctional 
198.27  facility-Red Wing, the court may order an appropriate 
198.28  alternative placement. 
198.29     (d) Notwithstanding paragraphs (a) and (c), the court may 
198.30  place a child in an out-of-state facility if the facility is 
198.31  located closer to the child's home than the Minnesota 
198.32  correctional facility-Red Wing. 
198.33     Subd. 3.  [REPORT REQUIRED.] A court ordering an 
198.34  alternative placement under subdivision 2, paragraph (c), shall 
198.35  report to the sentencing guidelines commission on the placement 
198.36  ordered and the reasons for not committing the child to the 
199.1   custody of the commissioner of corrections.  If the alternative 
199.2   placement is to an out-of-state facility, the report must 
199.3   include specific information on the distance to the out-of-state 
199.4   facility from the offender's home compared to that of the 
199.5   Minnesota correctional facility-Red Wing.  By February 15 of 
199.6   each year, the commission shall summarize the reports received 
199.7   from courts under this paragraph for the preceding year and 
199.8   forward this summary to the chairs and ranking minority members 
199.9   of the senate and house of representatives committees and 
199.10  divisions having jurisdiction over criminal justice policy and 
199.11  funding. 
199.12     Sec. 9.  [LEGISLATIVE INTENT.] 
199.13     It is the intent of the legislature that this article 
199.14  encourage courts to place juvenile offenders at the Minnesota 
199.15  correctional facility-Red Wing who would otherwise be placed in 
199.16  out-of-state facilities.  Except as provided in section 8, it is 
199.17  not the legislature's intent to discourage the placement of 
199.18  juvenile offenders at nonstate-operated facilities within 
199.19  Minnesota. 
199.20     Sec. 10.  [STUDY; REPORT.] 
199.21     (a) The commissioner of corrections shall study the state's 
199.22  juvenile correctional system as it relates to serious and 
199.23  chronic offenders.  The study must analyze and make proposals 
199.24  regarding: 
199.25     (1) the role of the state and counties in providing 
199.26  services; 
199.27     (2) the funding of these services; 
199.28     (3) the extent to which research-based best practices exist 
199.29  and are accessible to counties; 
199.30     (4) the method and process used to administer the juvenile 
199.31  commitment and parole systems; 
199.32     (5) the degree to which existing practice reflects the 
199.33  legislature's intent in enacting juvenile justice laws; and 
199.34     (6) other related issues deemed relevant by the 
199.35  commissioner. 
199.36     (b) By January 15, 2001, the commissioner shall report the 
200.1   study's findings and proposals to the chairs and ranking 
200.2   minority members of the senate and house of representatives 
200.3   committees and divisions having jurisdiction over criminal 
200.4   justice policy funding. 
200.5      Sec. 11.  [OFFICE ABOLISHED.] 
200.6      The office of ombudsman for the Minnesota state department 
200.7   of corrections is hereby abolished. 
200.8      Sec. 12.  [REPEALER.] 
200.9      Minnesota Statutes 1998, sections 241.41; 241.42; 241.43; 
200.10  241.44; 241.441; and 241.45, are repealed. 
200.11     Sec. 13.  [EFFECTIVE DATE.] 
200.12     Section 1 is effective July 1, 2001. 
200.13                             ARTICLE 15
200.14                 BATTERED WOMEN AND DOMESTIC ABUSE
200.15     Section 1.  Minnesota Statutes 1998, section 13.82, 
200.16  subdivision 3b, is amended to read: 
200.17     Subd. 3b.  [DOMESTIC ABUSE DATA.] The written police report 
200.18  required by section 629.341, subdivision 4, of an alleged 
200.19  incident described in section 629.341, subdivision 1, and arrest 
200.20  data, request for service data, and response or incident data 
200.21  described in subdivision 2, 3, or 4 that arise out of this type 
200.22  of incident or out of an alleged violation of an order for 
200.23  protection must be released upon request at no cost to an 
200.24  organization designated by the Minnesota center for crime 
200.25  victims services, the department of corrections, or the 
200.26  department of public safety as providing services to victims of 
200.27  domestic abuse.  The executive director or the commissioner of 
200.28  the appropriate state agency shall develop written criteria for 
200.29  this designation in consultation with the battered women's 
200.30  advisory council on battered women and domestic abuse. 
200.31     Sec. 2.  Minnesota Statutes 1999 Supplement, section 13.99, 
200.32  subdivision 108, is amended to read: 
200.33     Subd. 108.  [BATTERED WOMEN VICTIMS OF DOMESTIC ABUSE.] 
200.34  Data on battered women and victims of domestic abuse maintained 
200.35  by grantees and recipients of per diem payments for emergency 
200.36  shelter for battered women and support services for battered 
201.1   women victims of domestic abuse are governed by section sections 
201.2   611A.32, subdivision 5, and 611A.371, subdivision 3. 
201.3      Sec. 3.  Minnesota Statutes 1999 Supplement, section 
201.4   15.059, subdivision 5a, is amended to read: 
201.5      Subd. 5a.  [LATER EXPIRATION.] Notwithstanding subdivision 
201.6   5, the advisory councils and committees listed in this 
201.7   subdivision do not expire June 30, 1997.  These groups expire 
201.8   June 30, 2001, unless the law creating the group or this 
201.9   subdivision specifies an earlier expiration date. 
201.10     Investment advisory council, created in section 11A.08; 
201.11     Intergovernmental information systems advisory council, 
201.12  created in section 16B.42, expires June 30, 1999; 
201.13     Feedlot and manure management advisory committee, created 
201.14  in section 17.136; 
201.15     Aquaculture advisory committee, created in section 17.49; 
201.16     Dairy producers board, created in section 17.76; 
201.17     Pesticide applicator education and examination review 
201.18  board, created in section 18B.305; 
201.19     Advisory seed potato certification task force, created in 
201.20  section 21.112; 
201.21     Food safety advisory committee, created in section 28A.20; 
201.22     Minnesota organic advisory task force, created in section 
201.23  31.95; 
201.24     Public programs risk adjustment work group, created in 
201.25  section 62Q.03; 
201.26     Workers' compensation self-insurers' advisory committee, 
201.27  created in section 79A.02; 
201.28     Youth corps advisory committee, created in section 84.0887; 
201.29     Iron range off-highway vehicle advisory committee, created 
201.30  in section 85.013; 
201.31     Mineral coordinating committee, created in section 93.002; 
201.32     Game and fish fund citizen advisory committees, created in 
201.33  section 97A.055; 
201.34     Wetland heritage advisory committee, created in section 
201.35  103G.2242; 
201.36     Wastewater treatment technical advisory committee, created 
202.1   in section 115.54; 
202.2      Solid waste management advisory council, created in section 
202.3   115A.12; 
202.4      Nuclear waste council, created in section 116C.711; 
202.5      Genetically engineered organism advisory committee, created 
202.6   in section 116C.93; 
202.7      Environment and natural resources trust fund advisory 
202.8   committee, created in section 116P.06; 
202.9      Child abuse prevention advisory council, created in section 
202.10  119A.13; 
202.11     Chemical abuse and violence prevention council, created in 
202.12  section 119A.293; 
202.13     Youth neighborhood centers advisory board, created in 
202.14  section 119A.295; 
202.15     Interagency coordinating council, created in section 
202.16  125A.28, expires June 30, 1999; 
202.17     Desegregation/integration advisory board, created in 
202.18  section 124D.892; 
202.19     Nonpublic education council, created in section 123B.445; 
202.20     Permanent school fund advisory committee, created in 
202.21  section 127A.30; 
202.22     Indian scholarship committee, created in section 124D.84, 
202.23  subdivision 2; 
202.24     American Indian education committees, created in section 
202.25  124D.80; 
202.26     Summer scholarship advisory committee, created in section 
202.27  124D.95; 
202.28     Multicultural education advisory committee, created in 
202.29  section 124D.894; 
202.30     Male responsibility and fathering grants review committee, 
202.31  created in section 124D.33; 
202.32     Library for the blind and physically handicapped advisory 
202.33  committee, created in section 134.31; 
202.34     Higher education advisory council, created in section 
202.35  136A.031; 
202.36     Student advisory council, created in section 136A.031; 
203.1      Cancer surveillance advisory committee, created in section 
203.2   144.672; 
203.3      Maternal and child health task force, created in section 
203.4   145.881; 
203.5      State community health advisory committee, created in 
203.6   section 145A.10; 
203.7      Mississippi River Parkway commission, created in section 
203.8   161.1419; 
203.9      School bus safety advisory committee, created in section 
203.10  169.435; 
203.11     Advisory council on workers' compensation, created in 
203.12  section 175.007; 
203.13     Code enforcement advisory council, created in section 
203.14  175.008; 
203.15     Medical services review board, created in section 176.103; 
203.16     Apprenticeship advisory council, created in section 178.02; 
203.17     OSHA advisory council, created in section 182.656; 
203.18     Health professionals services program advisory committee, 
203.19  created in section 214.32; 
203.20     Rehabilitation advisory council for the blind, created in 
203.21  section 248.10; 
203.22     American Indian advisory council, created in section 
203.23  254A.035; 
203.24     Alcohol and other drug abuse advisory council, created in 
203.25  section 254A.04; 
203.26     Medical assistance drug formulary committee, created in 
203.27  section 256B.0625; 
203.28     Home care advisory committee, created in section 256B.071; 
203.29     Preadmission screening, alternative care, and home and 
203.30  community-based services advisory committee, created in section 
203.31  256B.0911; 
203.32     Traumatic brain injury advisory committee, created in 
203.33  section 256B.093; 
203.34     Minnesota commission serving deaf and hard-of-hearing 
203.35  people, created in section 256C.28; 
203.36     American Indian child welfare advisory council, created in 
204.1   section 260.835; 
204.2      Juvenile justice advisory committee, created in section 
204.3   268.29; 
204.4      Northeast Minnesota economic development fund technical 
204.5   advisory committees, created in section 298.2213; 
204.6      Iron range higher education committee, created in section 
204.7   298.2214; 
204.8      Northeast Minnesota economic protection trust fund 
204.9   technical advisory committee, created in section 298.297; 
204.10     Battered women's Advisory council on battered women and 
204.11  domestic abuse, created in section 611A.34. 
204.12     Sec. 4.  Minnesota Statutes 1998, section 15.0591, 
204.13  subdivision 2, is amended to read: 
204.14     Subd. 2.  [BODIES AFFECTED.] A member meeting the 
204.15  qualifications in subdivision 1 must be appointed to the 
204.16  following boards, commissions, advisory councils, task forces, 
204.17  or committees:  
204.18     (1) advisory council on battered women and domestic abuse; 
204.19     (2) advisory task force on the use of state facilities; 
204.20     (3) alcohol and other drug abuse advisory council; 
204.21     (4) board of examiners for nursing home administrators; 
204.22     (5) board on aging; 
204.23     (6) chiropractic examiners board; 
204.24     (7) consumer advisory council on vocational rehabilitation; 
204.25     (8) council on disability; 
204.26     (9) council on affairs of Chicano/Latino people; 
204.27     (10) council on Black Minnesotans; 
204.28     (11) dentistry board; 
204.29     (12) department of economic security advisory council; 
204.30     (13) higher education services office; 
204.31     (14) housing finance agency; 
204.32     (15) Indian advisory council on chemical dependency; 
204.33     (16) medical practice board; 
204.34     (17) medical policy directional task force on mental 
204.35  health; 
204.36     (18) Minnesota employment and economic development task 
205.1   force; 
205.2      (19) Minnesota office of citizenship and volunteer services 
205.3   advisory committee; 
205.4      (20) Minnesota state arts board; 
205.5      (21) nursing board; 
205.6      (22) optometry board; 
205.7      (23) pharmacy board; 
205.8      (24) physical therapists council; 
205.9      (25) podiatry board; 
205.10     (26) psychology board; 
205.11     (27) veterans advisory committee. 
205.12     Sec. 5.  Minnesota Statutes 1998, section 119A.37, 
205.13  subdivision 4, is amended to read: 
205.14     Subd. 4.  [ADDITIONAL SERVICES.] Each family visitation 
205.15  center may provide parenting and child development classes, and 
205.16  offer support groups to participating custodial parents and hold 
205.17  regular classes designed to assist children who have experienced 
205.18  domestic violence and abuse.  Each family visitation center must 
205.19  have available an individual knowledgeable about or experienced 
205.20  in the provision of services to battered women domestic abuse 
205.21  victims on its staff, its board of directors, or otherwise 
205.22  available to it for consultation. 
205.23     Sec. 6.  Minnesota Statutes 1998, section 120B.22, 
205.24  subdivision 1, is amended to read: 
205.25     Subdivision 1.  [VIOLENCE PREVENTION CURRICULUM.] (a) The 
205.26  commissioner of children, families, and learning, in 
205.27  consultation with the commissioners of health and human 
205.28  services, state minority councils, battered women's domestic 
205.29  abuse programs, battered women's shelters, sexual assault 
205.30  centers, representatives of religious communities, and the 
205.31  assistant commissioner of the office of drug policy and violence 
205.32  prevention, shall assist districts on request in developing or 
205.33  implementing a violence prevention program for students in 
205.34  kindergarten to grade 12 that can be integrated into existing 
205.35  curriculum.  The purpose of the program is to help students 
205.36  learn how to resolve conflicts within their families and 
206.1   communities in nonviolent, effective ways.  
206.2      (b) Each district is encouraged to integrate into its 
206.3   existing curriculum a program for violence prevention that 
206.4   includes at least: 
206.5      (1) a comprehensive, accurate, and age appropriate 
206.6   curriculum on violence prevention, nonviolent conflict 
206.7   resolution, sexual, racial, and cultural harassment, and student 
206.8   hazing that promotes equality, respect, understanding, effective 
206.9   communication, individual responsibility, thoughtful decision 
206.10  making, positive conflict resolution, useful coping skills, 
206.11  critical thinking, listening and watching skills, and personal 
206.12  safety; 
206.13     (2) planning materials, guidelines, and other accurate 
206.14  information on preventing physical and emotional violence, 
206.15  identifying and reducing the incidence of sexual, racial, and 
206.16  cultural harassment, and reducing child abuse and neglect; 
206.17     (3) a special parent education component of early childhood 
206.18  family education programs to prevent child abuse and neglect and 
206.19  to promote positive parenting skills, giving priority to 
206.20  services and outreach programs for at-risk families; 
206.21     (4) involvement of parents and other community members, 
206.22  including the clergy, business representatives, civic leaders, 
206.23  local elected officials, law enforcement officials, and the 
206.24  county attorney; 
206.25     (5) collaboration with local community services, agencies, 
206.26  and organizations that assist in violence intervention or 
206.27  prevention, including family-based services, crisis services, 
206.28  life management skills services, case coordination services, 
206.29  mental health services, and early intervention services; 
206.30     (6) collaboration among districts and service cooperatives; 
206.31     (7) targeting early adolescents for prevention efforts, 
206.32  especially early adolescents whose personal circumstances may 
206.33  lead to violent or harassing behavior; 
206.34     (8) opportunities for teachers to receive in-service 
206.35  training or attend other programs on strategies or curriculum 
206.36  designed to assist students in intervening in or preventing 
207.1   violence in school and at home; and 
207.2      (9) administrative policies that reflect, and a staff that 
207.3   models, nonviolent behaviors that do not display or condone 
207.4   sexual, racial, or cultural harassment or student hazing. 
207.5      (c) The department may provide assistance at a neutral site 
207.6   to a nonpublic school participating in a district's program. 
207.7      Sec. 7.  Minnesota Statutes 1998, section 257.75, 
207.8   subdivision 6, is amended to read: 
207.9      Subd. 6.  [PATERNITY EDUCATIONAL MATERIALS.] The 
207.10  commissioner of human services shall prepare educational 
207.11  materials for new and prospective parents that describe the 
207.12  benefits and effects of establishing paternity.  The materials 
207.13  must include a description and comparison of the procedures for 
207.14  establishment of paternity through a recognition of parentage 
207.15  under this section and an adjudication of paternity under 
207.16  sections 257.51 to 257.74.  The commissioner shall consider the 
207.17  use of innovative audio or visual approaches to the presentation 
207.18  of the materials to facilitate understanding and presentation.  
207.19  In preparing the materials, the commissioner shall consult with 
207.20  child advocates and support workers, battered women's advocates 
207.21  for domestic abuse victims, social service providers, educators, 
207.22  attorneys, hospital representatives, and people who work with 
207.23  parents in making decisions related to paternity.  The 
207.24  commissioner shall consult with representatives of communities 
207.25  of color.  On and after January 1, 1994, the commissioner shall 
207.26  make the materials available without cost to hospitals, 
207.27  requesting agencies, and other persons for distribution to new 
207.28  parents. 
207.29     Sec. 8.  Minnesota Statutes 1998, section 518B.01, 
207.30  subdivision 21, is amended to read: 
207.31     Subd. 21.  [ORDER FOR PROTECTION FORMS.] The state court 
207.32  administrator, in consultation with the advisory council on 
207.33  battered women and domestic abuse, city and county attorneys, 
207.34  and legal advocates who work with victims, shall develop a 
207.35  uniform order for protection form that will facilitate the 
207.36  consistent enforcement of orders for protection throughout the 
208.1   state. 
208.2      Sec. 9.  Minnesota Statutes 1998, section 611A.07, 
208.3   subdivision 1, is amended to read: 
208.4      Subdivision 1.  [GENERALLY.] The commissioner of 
208.5   corrections, after considering the recommendations of the 
208.6   battered women advisory council on battered women and domestic 
208.7   abuse and the sexual assault advisory council, and in 
208.8   collaboration with the commissioner of public safety, shall 
208.9   adopt standards governing electronic monitoring devices used to 
208.10  protect victims of domestic abuse.  In developing proposed 
208.11  standards, the commissioner shall consider the experience of the 
208.12  courts in the tenth judicial district in the use of the devices 
208.13  to protect victims of domestic abuse.  These standards shall 
208.14  promote the safety of the victim and shall include measures to 
208.15  avoid the disparate use of the device with communities of color, 
208.16  product standards, monitoring agency standards, and victim 
208.17  disclosure standards.  
208.18     Sec. 10.  Minnesota Statutes 1998, section 611A.32, 
208.19  subdivision 1, is amended to read: 
208.20     Subdivision 1.  [GRANTS AWARDED.] The commissioner shall 
208.21  award grants to programs which provide emergency shelter 
208.22  services to battered women and support services to battered 
208.23  women domestic abuse victims and their children.  The 
208.24  commissioner shall also award grants for training, technical 
208.25  assistance, and for the development and implementation of 
208.26  education programs to increase public awareness of the causes of 
208.27  battering, the solutions to preventing and ending domestic 
208.28  violence, and the problems faced by battered women and domestic 
208.29  abuse victims.  Grants shall be awarded in a manner that ensures 
208.30  that they are equitably distributed to programs serving 
208.31  metropolitan and nonmetropolitan populations.  By July 1, 1995, 
208.32  community-based domestic abuse advocacy and support services 
208.33  programs must be established in every judicial assignment 
208.34  district. 
208.35     Sec. 11.  Minnesota Statutes 1998, section 611A.32, 
208.36  subdivision 2, is amended to read: 
209.1      Subd. 2.  [APPLICATIONS.] Any public or private nonprofit 
209.2   agency may apply to the commissioner for a grant to provide 
209.3   emergency shelter services to battered women, support 
209.4   services to domestic abuse victims, or both, to battered women 
209.5   and their children.  The application shall be submitted in a 
209.6   form approved by the commissioner by rule adopted under chapter 
209.7   14, after consultation with the advisory council, and shall 
209.8   include: 
209.9      (1) a proposal for the provision of emergency shelter 
209.10  services for battered women, support services for domestic abuse 
209.11  victims, or both, for battered women and their children; 
209.12     (2) a proposed budget; 
209.13     (3) evidence of an ability to integrate into the proposed 
209.14  program the uniform method of data collection and program 
209.15  evaluation established under sections 611A.33 and 611A.34; 
209.16     (4) evidence of an ability to represent the interests of 
209.17  battered women and domestic abuse victims and their children to 
209.18  local law enforcement agencies and courts, county welfare 
209.19  agencies, and local boards or departments of health; 
209.20     (5) evidence of an ability to do outreach to unserved and 
209.21  underserved populations and to provide culturally and 
209.22  linguistically appropriate services; and 
209.23     (6) any other content the commissioner may require by rule 
209.24  adopted under chapter 14, after considering the recommendations 
209.25  of the advisory council. 
209.26     Programs which have been approved for grants in prior years 
209.27  may submit materials which indicate changes in items listed in 
209.28  clauses (1) to (6), in order to qualify for renewal funding.  
209.29  Nothing in this subdivision may be construed to require programs 
209.30  to submit complete applications for each year of renewal funding.
209.31     Sec. 12.  Minnesota Statutes 1998, section 611A.32, 
209.32  subdivision 3, is amended to read: 
209.33     Subd. 3.  [DUTIES OF GRANTEES.] Every public or private 
209.34  nonprofit agency which receives a grant to provide emergency 
209.35  shelter services to battered women and support services to 
209.36  battered women and domestic abuse victims shall comply with all 
210.1   rules of the commissioner related to the administration of the 
210.2   pilot programs. 
210.3      Sec. 13.  Minnesota Statutes 1998, section 611A.32, 
210.4   subdivision 5, is amended to read: 
210.5      Subd. 5.  [CLASSIFICATION OF DATA COLLECTED BY GRANTEES.] 
210.6   Personal history information and other information collected, 
210.7   used or maintained by a grantee from which the identity or 
210.8   location of any battered woman victim of domestic abuse may be 
210.9   determined is private data on individuals, as defined in section 
210.10  13.02, subdivision 12, and the grantee shall maintain the data 
210.11  in accordance with the provisions of chapter 13. 
210.12     Sec. 14.  Minnesota Statutes 1998, section 611A.33, is 
210.13  amended to read: 
210.14     611A.33 [DUTIES OF COMMISSIONER.] 
210.15     The commissioner shall: 
210.16     (1) Review applications for and award grants to a program 
210.17  pursuant to section 611A.32, subdivision 1, after considering 
210.18  the recommendation of the advisory council; 
210.19     (2) Appoint the members of the advisory council created 
210.20  under section 611A.34, and provide consultative staff and other 
210.21  administrative services to the advisory council; 
210.22     (3) After considering the recommendation of the advisory 
210.23  council, appoint a program director to perform the duties set 
210.24  forth in section 611A.35; 
210.25     (4) Design and implement a uniform method of collecting 
210.26  data on battered women domestic abuse victims to be used to 
210.27  evaluate the programs funded under section 611A.32; 
210.28     (5) Provide technical aid to applicants in the development 
210.29  of grant requests and provide technical aid to programs in 
210.30  meeting the data collection requirements established by the 
210.31  commissioner; and 
210.32     (6) Adopt, under chapter 14, all rules necessary to 
210.33  implement the provisions of sections 611A.31 to 611A.36. 
210.34     Sec. 15.  Minnesota Statutes 1998, section 611A.34, 
210.35  subdivision 1, is amended to read: 
210.36     Subdivision 1.  [GENERALLY.] The commissioner shall appoint 
211.1   a 12-member advisory council to advise the commissioner on the 
211.2   implementation and continued operation of sections 611A.31 to 
211.3   611A.36.  The battered women's domestic abuse advisory council 
211.4   shall also serve as a liaison between the commissioner and 
211.5   organizations that provide services to battered women domestic 
211.6   abuse victims.  Section 15.059 governs the filling of vacancies 
211.7   and removal of members of the advisory council.  The terms of 
211.8   the members of the advisory council shall be two years.  No 
211.9   member may serve on the advisory council for more than two 
211.10  consecutive terms.  Notwithstanding section 15.059, the council 
211.11  shall not expire.  Council members shall not receive per diem, 
211.12  but shall receive expenses in the same manner and amount as 
211.13  state employees.  
211.14     Sec. 16.  Minnesota Statutes 1998, section 611A.34, 
211.15  subdivision 2, is amended to read: 
211.16     Subd. 2.  [MEMBERSHIP.] Persons appointed shall be 
211.17  knowledgeable about and have experience or interest in issues 
211.18  concerning battered women and domestic abuse victims, including 
211.19  the need for effective advocacy services.  The membership of the 
211.20  council shall broadly represent the interests of battered women 
211.21  domestic abuse victims in Minnesota.  No more than six of the 
211.22  members of the battered women's advisory council on battered 
211.23  women and domestic abuse may be representatives of community or 
211.24  governmental organizations that provide services to battered 
211.25  women and domestic abuse victims.  One-half of the council's 
211.26  members shall reside in the metropolitan area, composed of 
211.27  Hennepin, Ramsey, Anoka, Dakota, Scott, Washington, and Carver 
211.28  counties, and one-half of the members shall reside in the 
211.29  nonmetropolitan area.  To the extent possible, nonmetropolitan 
211.30  members must be representative of all nonmetropolitan regions of 
211.31  the state. 
211.32     Sec. 17.  Minnesota Statutes 1998, section 611A.34, 
211.33  subdivision 3, is amended to read: 
211.34     Subd. 3.  [DUTIES.] The advisory council shall: 
211.35     (1) advise the commissioner on all planning, development, 
211.36  data collection, rulemaking, funding, and evaluation of programs 
212.1   and services for battered women and domestic abuse victims that 
212.2   are funded under section 611A.32, other than matters of a purely 
212.3   administrative nature; 
212.4      (2) advise the commissioner on the adoption of rules under 
212.5   chapter 14 governing the award of grants to ensure that funded 
212.6   programs are consistent with section 611A.32, subdivision 1; 
212.7      (3) recommend to the commissioner the names of five 
212.8   applicants for the position of battered women's domestic abuse 
212.9   program director; 
212.10     (4) advise the commissioner on the rules adopted under 
212.11  chapter 14 pursuant to section 611A.33; 
212.12     (5) review applications received by the commissioner for 
212.13  grants under section 611A.32 and make recommendations on the 
212.14  awarding of grants; and 
212.15     (6) advise the program director in the performance of 
212.16  duties in the administration and coordination of the programs 
212.17  funded under section 611A.32. 
212.18     Sec. 18.  Minnesota Statutes 1998, section 611A.345, is 
212.19  amended to read: 
212.20     611A.345 [ADVISORY COUNCIL RECOMMENDATIONS.] 
212.21     The commissioner shall consider the advisory council's 
212.22  recommendations before awarding grants or adopting policies 
212.23  regarding the planning, development, data collection, 
212.24  rulemaking, funding or evaluation of programs and services for 
212.25  battered women and domestic abuse victims funded under section 
212.26  611A.32.  Before taking action on matters related to programs 
212.27  and services for battered women and domestic abuse victims and 
212.28  their children, except day-to-day administrative operations, the 
212.29  commissioner shall notify the advisory council of the intended 
212.30  action.  Notification of grant award decisions shall be given to 
212.31  the advisory council in time to allow the council to request 
212.32  reconsideration.  
212.33     Sec. 19.  Minnesota Statutes 1998, section 611A.35, is 
212.34  amended to read: 
212.35     611A.35 [BATTERED WOMEN'S ADVISORY COUNCIL ON BATTERED 
212.36  WOMEN AND DOMESTIC ABUSE PROGRAM DIRECTOR.] 
213.1      The commissioner shall appoint a program director.  In 
213.2   appointing the program director the commissioner shall give due 
213.3   consideration to the list of applicants submitted to the 
213.4   commissioner pursuant to section 611A.34, subdivision 3, clause 
213.5   (3).  The program director shall administer the funds 
213.6   appropriated for sections 611A.31 to 611A.36, consult with and 
213.7   provide staff to the advisory council, and perform other duties 
213.8   related to battered women's and domestic abuse programs as the 
213.9   commissioner may assign.  The program director shall serve at 
213.10  the pleasure of the commissioner in the unclassified service. 
213.11     Sec. 20.  Minnesota Statutes 1998, section 611A.36, 
213.12  subdivision 1, is amended to read: 
213.13     Subdivision 1.  [FORM PRESCRIBED.] The commissioner shall, 
213.14  by rule adopted under chapter 14, after considering the 
213.15  recommendations of the advisory council, prescribe a uniform 
213.16  form and method for the collection of data on battered 
213.17  women domestic abuse victims.  The method and form of data 
213.18  collection shall be designed to document the incidence of 
213.19  assault on battered women domestic abuse victims as defined in 
213.20  section 611A.31, subdivision 2.  All data collected by the 
213.21  commissioner pursuant to this section shall be summary data 
213.22  within the meaning of section 13.02, subdivision 19. 
213.23     Sec. 21.  Minnesota Statutes 1998, section 611A.36, 
213.24  subdivision 2, is amended to read: 
213.25     Subd. 2.  [MANDATORY DATA COLLECTION.] Every local law 
213.26  enforcement agency shall collect data related to battered women 
213.27  domestic abuse victims in the form required by the 
213.28  commissioner.  The data shall be collected and transmitted to 
213.29  the commissioner at such times as the commissioner shall, by 
213.30  rule, require. 
213.31     Sec. 22.  [611A.37] [DEFINITIONS.] 
213.32     Subdivision 1.  [SCOPE.] For purposes of sections 22 to 26, 
213.33  the terms defined have the meanings given them unless otherwise 
213.34  provided or indicated by the context. 
213.35     Subd. 2.  [DIRECTOR.] "Director" means the director of the 
213.36  Minnesota center for crime victim services or a designee. 
214.1      Subd. 3.  [CENTER.] "Center" means the Minnesota center for 
214.2   crime victim services. 
214.3      Subd. 4.  [SHELTER FACILITY.] "Shelter facility" means a 
214.4   secure crisis shelter, housing network, safe home, or other 
214.5   facility operated by a nonprofit organization and designated by 
214.6   the center for the purpose of providing food, lodging, safety, 
214.7   and 24-hour coverage for battered women and their minor children.
214.8      Subd. 5.  [DESIGNATED SHELTER FACILITY.] "Designated 
214.9   shelter facility" means a facility that has applied to, and been 
214.10  approved by, the center to provide shelter and services to 
214.11  battered women and their minor children. 
214.12     Subd. 6.  [PER DIEM RATE.] "Per diem rate" means a daily 
214.13  charge per person for providing food, lodging, safety, and 
214.14  24-hour coverage for battered women and their minor children. 
214.15     Subd. 7.  [RESERVE AMOUNT.] "Reserve amount" means the 
214.16  amount the center has reserved for each shelter facility. 
214.17     Subd. 8.  [BATTERED WOMAN.] "Battered woman" has the 
214.18  meaning given in section 611A.31, subdivision 2. 
214.19     Sec. 23.  [611A.371] [PROGRAM OPERATION.] 
214.20     Subdivision 1.  [PURPOSE.] The purpose of the per diem 
214.21  program is to provide reimbursement in a timely, efficient 
214.22  manner to local programs for the reasonable and necessary costs 
214.23  of providing battered women and their minor children with food, 
214.24  lodging, and safety.  Per diem funding may not be used for other 
214.25  purposes. 
214.26     Subd. 2.  [NONDISCRIMINATION.] Designated shelter 
214.27  facilities are prohibited from discriminating against a battered 
214.28  woman or her minor children on the basis of race, color, creed, 
214.29  religion, national origin, marital status, status with regard to 
214.30  public assistance, disability, or sexual orientation.  
214.31     Subd. 3.  [DATA.] Personal history information collected, 
214.32  used, or maintained by a designated shelter facility from which 
214.33  the identity or location of any battered woman may be determined 
214.34  is private data on individuals, as defined in section 13.02, 
214.35  subdivision 12, and the facility shall maintain the data in 
214.36  accordance with the provisions of chapter 13. 
215.1      Sec. 24.  [611A.372] [DUTIES OF THE DIRECTOR.] 
215.2      In addition to any other duties imposed by law, the 
215.3   director, with the approval of the commissioner of public 
215.4   safety, shall: 
215.5      (1) adopt rules consistent with law for carrying out the 
215.6   provisions of sections 22 to 26; 
215.7      (2) supervise the administration of per diem payments to 
215.8   designated shelter facilities; 
215.9      (3) collect data on shelter facilities; 
215.10     (4) conduct an annual evaluation of the per diem program; 
215.11     (5) report to the governor and the legislature on the need 
215.12  for emergency secure shelter; and 
215.13     (6) develop an application process for shelter facilities 
215.14  to follow in seeking reimbursement under the per diem program. 
215.15     The per diem program contained in sections 22 to 26 is 
215.16  exempt from rulemaking until January 1, 2003.  
215.17     Sec. 25.  [611A.373] [PAYMENTS.] 
215.18     Subdivision 1.  [PAYMENT REQUESTS.] Designated shelter 
215.19  facilities may submit requests for payment monthly based on the 
215.20  number of persons housed.  Upon approval of the request for 
215.21  payment by the center, payments shall be made directly to 
215.22  designated shelter facilities from per diem funds on behalf of 
215.23  women and their minor children who reside in the shelter 
215.24  facility.  Payments made to a designated shelter facility must 
215.25  not exceed the annual reserve amount for that facility unless 
215.26  approved by the director.  These payments must not affect the 
215.27  eligibility of individuals who reside in shelter facilities for 
215.28  public assistance benefits, except when required by federal law 
215.29  or regulation. 
215.30     Subd. 2.  [RESERVE AMOUNT.] The center shall calculate 
215.31  annually the reserve amount for each designated shelter 
215.32  facility.  This calculation may be based upon program type, 
215.33  average occupancy rates, and licensed capacity limits.  The 
215.34  total of all reserve amounts shall not exceed the legislative 
215.35  per diem appropriation. 
215.36     Sec. 26.  [611A.375] [APPEAL PROCESS.] 
216.1      (a) Except as provided in paragraph (b), a designated 
216.2   shelter facility may, within 30 days after receiving a decision 
216.3   by the center to deny payment, request reconsideration.  A 
216.4   designated shelter facility which is denied payment upon 
216.5   reconsideration is entitled to a contested case hearing within 
216.6   the meaning of chapter 14. 
216.7      (b) A facility may not appeal a decision by the center to 
216.8   deny payments in excess of the facility's reserve amount. 
216.9      Sec. 27.  Minnesota Statutes 1999 Supplement, section 
216.10  626.558, subdivision 1, is amended to read: 
216.11     Subdivision 1.  [ESTABLISHMENT OF THE TEAM.] A county shall 
216.12  establish a multidisciplinary child protection team that may 
216.13  include, but not be limited to, the director of the local 
216.14  welfare agency or designees, the county attorney or designees, 
216.15  the county sheriff or designees, representatives of health and 
216.16  education, representatives of mental health or other appropriate 
216.17  human service or community-based agencies, and parent groups.  
216.18  As used in this section, a "community-based agency" may include, 
216.19  but is not limited to, schools, social service agencies, family 
216.20  service and mental health collaboratives, early childhood and 
216.21  family education programs, Head Start, or other agencies serving 
216.22  children and families.  A member of the team must be designated 
216.23  as the lead person of the team responsible for the planning 
216.24  process to develop standards for its activities with battered 
216.25  women's and domestic abuse programs and services. 
216.26     Sec. 28.  Minnesota Statutes 1998, section 629.342, 
216.27  subdivision 2, is amended to read: 
216.28     Subd. 2.  [POLICIES REQUIRED.] (a) By July 1, 1993, each 
216.29  law enforcement agency shall develop, adopt, and implement a 
216.30  written policy regarding arrest procedures for domestic abuse 
216.31  incidents.  In the development of a policy, each law enforcement 
216.32  agency shall consult with domestic abuse advocates, community 
216.33  organizations, and other law enforcement agencies with expertise 
216.34  in the recognition and handling of domestic abuse incidents.  
216.35  The policy shall discourage dual arrests, include consideration 
216.36  of whether one of the parties acted in self defense, and provide 
217.1   guidance to officers concerning instances in which officers 
217.2   should remain at the scene of a domestic abuse incident until 
217.3   the likelihood of further imminent violence has been eliminated. 
217.4      (b) The bureau of criminal apprehension, the board of peace 
217.5   officer standards and training, and the battered women's 
217.6   advisory council on battered women and domestic abuse appointed 
217.7   by the commissioner of corrections under section 611A.34, in 
217.8   consultation with the Minnesota chiefs of police association, 
217.9   the Minnesota sheriffs association, and the Minnesota police and 
217.10  peace officers association, shall develop a written model policy 
217.11  regarding arrest procedures for domestic abuse incidents for use 
217.12  by local law enforcement agencies.  Each law enforcement agency 
217.13  may adopt the model policy in lieu of developing its own policy 
217.14  under the provisions of paragraph (a). 
217.15     (c) Local law enforcement agencies that have already 
217.16  developed a written policy regarding arrest procedures for 
217.17  domestic abuse incidents before July 1, 1992, are not required 
217.18  to develop a new policy but must review their policies and 
217.19  consider the written model policy developed under paragraph (b). 
217.20     Sec. 29.  Minnesota Statutes 1998, section 629.72, 
217.21  subdivision 6, is amended to read: 
217.22     Subd. 6.  [NOTICE REGARDING RELEASE OF ARRESTED PERSON.] 
217.23  (a) Immediately after issuance of a citation in lieu of 
217.24  continued detention under subdivision 1, or the entry of an 
217.25  order for release under subdivision 2, but before the arrested 
217.26  person is released, the agency having custody of the arrested 
217.27  person or its designee must make a reasonable and good faith 
217.28  effort to inform orally the alleged victim, local law 
217.29  enforcement agencies known to be involved in the case, if 
217.30  different from the agency having custody, and, at the victim's 
217.31  request any local battered women's and domestic abuse programs 
217.32  established under section 611A.32 or sexual assault programs of: 
217.33     (1) the conditions of release, if any; 
217.34     (2) the time of release; 
217.35     (3) the time, date, and place of the next scheduled court 
217.36  appearance of the arrested person and the victim's right to be 
218.1   present at the court appearance; and 
218.2      (4) if the arrested person is charged with domestic abuse, 
218.3   the location and telephone number of the area battered women's 
218.4   shelter as designated by the department of corrections. 
218.5      (b) As soon as practicable after an order for conditional 
218.6   release is entered, the agency having custody of the arrested 
218.7   person or its designee must personally deliver or mail to the 
218.8   alleged victim a copy of the written order and written notice of 
218.9   the information in paragraph (a), clauses (2) and (3). 
218.10                             ARTICLE 16 
218.11                      IMPAIRED DRIVING OFFENSE 
218.12     Section 1.  Minnesota Statutes 1999 Supplement, section 
218.13  169.121, subdivision 3, is amended to read: 
218.14     Subd. 3.  [CRIMINAL PENALTIES.] (a) As used in this section:
218.15     (1) "Prior impaired driving conviction" means a prior 
218.16  conviction under: 
218.17     (i) this section; Minnesota Statutes 1996, section 84.91, 
218.18  subdivision 1, paragraph (a), or 86B.331, subdivision 1, 
218.19  paragraph (a); section 169.1211; section 169.129; or section 
218.20  360.0752; 
218.21     (ii) section 609.21, subdivision 1, clauses (2) to (6); 
218.22  subdivision 2, clauses (2) to (6); subdivision 2a, clauses (2) 
218.23  to (6); subdivision 2b, clauses (2) to (6); subdivision 3, 
218.24  clauses (2) to (6); or subdivision 4, clauses (2) to (6); or 
218.25     (iii) an ordinance from this state, or a statute or 
218.26  ordinance from another state, in conformity with any provision 
218.27  listed in item (i) or (ii). 
218.28  A prior impaired driving conviction also includes a prior 
218.29  juvenile adjudication that would have been a prior impaired 
218.30  driving conviction if committed by an adult. 
218.31     (2) "Prior license revocation" means a driver's license 
218.32  suspension, revocation, cancellation, denial, or 
218.33  disqualification under: 
218.34     (i) this section or section 169.1211, 169.123, 171.04, 
218.35  171.14, 171.16, 171.165, 171.17, or 171.18 because of an 
218.36  alcohol-related incident; 
219.1      (ii) section 609.21, subdivision 1, clauses (2) to (6); 
219.2   subdivision 2, clauses (2) to (6); subdivision 2a, clauses (2) 
219.3   to (6); subdivision 2b, clauses (2) to (6); subdivision 3, 
219.4   clauses (2) to (6); or subdivision 4, clauses (2) to (6); or 
219.5      (iii) an ordinance from this state, or a statute or 
219.6   ordinance from another state, in conformity with any provision 
219.7   listed in item (i) or (ii). 
219.8   "Prior license revocation" also means the revocation of 
219.9   snowmobile or all-terrain vehicle operating privileges under 
219.10  section 84.911, or motorboat operating privileges under section 
219.11  86B.335, for violations that occurred on or after August 1, 
219.12  1994; the revocation of snowmobile or all-terrain vehicle 
219.13  operating privileges under section 84.91; or the revocation of 
219.14  motorboat operating privileges under section 86B.331. 
219.15     (b) A person who violates subdivision 1, clause (a), (b), 
219.16  (c), (d), (e), (g), or (h), or subdivision 1a, or an ordinance 
219.17  in conformity with any of them, is guilty of a misdemeanor. 
219.18     (c) A person is guilty of a gross misdemeanor under any of 
219.19  the following circumstances: 
219.20     (1) the person violates subdivision 1, clause (f); 
219.21     (2) the person violates subdivision 1, clause (a), (b), 
219.22  (c), (d), (e), (g), or (h), or subdivision 1a: 
219.23     (i) within five years of a prior impaired driving 
219.24  conviction or a prior license revocation; or 
219.25     (ii) within ten years of the first of two or more prior 
219.26  impaired driving convictions, two or more prior license 
219.27  revocations, or any combination of two or more prior impaired 
219.28  driving convictions and prior license revocations, based on 
219.29  separate incidents; 
219.30     (3) the person violates section 169.26 while in violation 
219.31  of subdivision 1; or 
219.32     (4) the person violates subdivision 1 or 1a while a child 
219.33  under the age of 16 is in the vehicle, if the child is more than 
219.34  36 months younger than the violator. 
219.35  A person convicted of a gross misdemeanor under this paragraph 
219.36  is subject to the mandatory penalties provided in subdivision 3d.
220.1      (d) A person is guilty of a felony under any of the 
220.2   following circumstances: 
220.3      (1) the person violates subdivision 1 or 1a within ten 
220.4   years of the first of three or more prior impaired driving 
220.5   convictions; or 
220.6      (2) the person violates subdivision 1 or 1a and has been 
220.7   convicted previously of a felony under this section or section 
220.8   169.129. 
220.9   A person convicted of a felony under this paragraph must be 
220.10  sentenced to imprisonment for not less than five nor more than 
220.11  seven years and, in addition, may be ordered to pay a fine of 
220.12  not more than $14,000.  The court must impose this mandatory 
220.13  sentence and may stay execution of it only on condition that the 
220.14  offender serve 180 consecutive days in a local correctional 
220.15  facility and, following this period of incarceration, that the 
220.16  offender enter a program of probation supervision that includes 
220.17  electronic monitoring and, if recommended by the chemical use 
220.18  assessment, chemical dependency treatment and aftercare.  
220.19  Hearings on whether the offender has violated the conditions of 
220.20  the stayed sentence are governed by section 609.135, subdivision 
220.21  1d. 
220.22     (e) The court shall notify a person convicted of violating 
220.23  subdivision 1 or 1a that the registration plates of the person's 
220.24  motor vehicle may be impounded under section 168.042 and the 
220.25  vehicle may be subject to forfeiture under section 169.1217 upon 
220.26  a subsequent conviction for violating this section, section 
220.27  169.129, or section 171.24, or a subsequent license revocation 
220.28  under section 169.123.  The notice must describe the conduct and 
220.29  the time periods within which the conduct must occur in order to 
220.30  result in plate impoundment or forfeiture.  The failure of the 
220.31  court to provide this information does not affect the 
220.32  applicability of the plate impoundment or the forfeiture 
220.33  provision to that person. 
220.34     (e) (f) The attorney in the jurisdiction in which the 
220.35  violation occurred who is responsible for prosecution of 
220.36  misdemeanor violations of this section shall is also be 
221.1   responsible for prosecution of gross misdemeanor violations of 
221.2   this section. 
221.3      (f) (g) The court must impose consecutive sentences when it 
221.4   sentences a person for a violation of this section or section 
221.5   169.129 arising out of separate behavioral incidents.  The court 
221.6   also must impose a consecutive sentence when it sentences a 
221.7   person for a violation of this section or section 169.129 and 
221.8   the person, at the time of sentencing, is on probation for, or 
221.9   serving, an executed sentence for a violation of this section or 
221.10  section 169.129 and the prior sentence involved a separate 
221.11  behavioral incident.  The court also may order that the sentence 
221.12  imposed for a violation of this section or section 169.129 shall 
221.13  run consecutively to a previously imposed misdemeanor, gross 
221.14  misdemeanor or felony sentence for a violation other than this 
221.15  section or section 169.129.  
221.16     (g) (h) When the court stays the sentence of a person 
221.17  convicted under this section, the length of the stay is governed 
221.18  by section 609.135, subdivision 2. 
221.19     (h) (i) The court may impose consecutive sentences for 
221.20  offenses arising out of a single course of conduct as permitted 
221.21  in section 609.035, subdivision 2.  
221.22     (i) (j) The court shall impose consecutive sentences for a 
221.23  violation of this section or section 169.129 and an offense 
221.24  listed in section 609.035, subdivision 2, paragraph (f), arising 
221.25  out of the same course of conduct, as required by section 
221.26  609.035, subdivision 2, paragraph (g). 
221.27     (j) (k) When an attorney responsible for prosecuting gross 
221.28  misdemeanors or felonies under this section requests criminal 
221.29  history information relating to prior impaired driving 
221.30  convictions from a court, the court must furnish the information 
221.31  without charge. 
221.32     (k) (l) A violation of subdivision 1a may be prosecuted 
221.33  either in the jurisdiction where the arresting officer observed 
221.34  the defendant driving, operating, or in control of the motor 
221.35  vehicle or in the jurisdiction where the refusal occurred. 
221.36     Sec. 2.  Minnesota Statutes 1998, section 169.121, 
222.1   subdivision 3b, is amended to read: 
222.2      Subd. 3b.  [CHEMICAL USE ASSESSMENT.] Except for felony 
222.3   convictions, the court must order a person to submit to the 
222.4   level of care recommended in the chemical use assessment if the 
222.5   person has been convicted of violating: 
222.6      (1) subdivision 1, clause (f); or 
222.7      (2) subdivision 1, clause (a), (b), (c), (d), (e), (g), or 
222.8   (h), subdivision 1a, section 169.129, an ordinance in conformity 
222.9   with any of them, or a statute or ordinance from another state 
222.10  in conformity with any of them: 
222.11     (i) within five years of a prior impaired driving 
222.12  conviction or a prior license revocation; or 
222.13     (ii) within ten years of two or more prior impaired driving 
222.14  convictions, two or more prior license revocations, or a prior 
222.15  impaired driving conviction and a prior license revocation, 
222.16  based on separate incidents. 
222.17     Sec. 3.  Minnesota Statutes 1999 Supplement, section 
222.18  169.121, subdivision 3d, is amended to read: 
222.19     Subd. 3d.  [GROSS MISDEMEANOR; MANDATORY PENALTIES.] (a) 
222.20  The mandatory penalties in this subdivision apply to persons 
222.21  convicted of a gross misdemeanor under subdivision 3, paragraph 
222.22  (c), or section 169.129. 
222.23     (b) A person who is convicted of a gross misdemeanor under 
222.24  subdivision 3, paragraph (c), or is convicted of a gross 
222.25  misdemeanor violation of section 169.129 within five years of a 
222.26  prior impaired driving conviction or prior license revocation, 
222.27  must be sentenced to a minimum of 30 days imprisonment, at least 
222.28  48 hours of which must be served consecutively, or to eight 
222.29  hours of community work service for each day less than 30 days 
222.30  that the person is ordered to serve in jail.  Notwithstanding 
222.31  section 609.135, the above sentence must be executed, unless the 
222.32  court departs from the mandatory minimum sentence under 
222.33  paragraph (f) or (g) (d) or (e). 
222.34     (c) A person who is convicted of a gross misdemeanor under 
222.35  subdivision 3, paragraph (c), or is convicted of a gross 
222.36  misdemeanor violation of section 169.129 within ten years of two 
223.1   prior impaired driving convictions, two prior license 
223.2   revocations, or a combination of the two based on separate 
223.3   instances, must be sentenced to either: 
223.4      (1) a minimum of 90 days incarceration, at least 30 days of 
223.5   which must be served consecutively in a local correctional 
223.6   facility; or 
223.7      (2) a program of intensive supervision of the type 
223.8   described in section 169.1265 that requires the person to 
223.9   consecutively serve at least six days in a local correctional 
223.10  facility.  
223.11  The court may order that the person serve not more than 60 days 
223.12  of the minimum penalty under clause (1) on home detention or in 
223.13  an intensive probation program described in section 169.1265.  
223.14  Notwithstanding section 609.135, the penalties in this paragraph 
223.15  must be imposed and executed. 
223.16     (d) A person who is convicted of a gross misdemeanor under 
223.17  subdivision 3, paragraph (c), or is convicted of a gross 
223.18  misdemeanor violation of section 169.129 within ten years of 
223.19  three prior impaired driving convictions, three prior license 
223.20  revocations, or a combination of the two based on separate 
223.21  instances, must be sentenced to either: 
223.22     (1) a minimum of 180 days of incarceration, at least 30 
223.23  days of which must be served consecutively in a local 
223.24  correctional facility; or 
223.25     (2) a program of intensive supervision of the type 
223.26  described in section 169.1265 that requires the person to 
223.27  consecutively serve at least six days in a local correctional 
223.28  facility.  
223.29  The court may order that the person serve not more than 150 days 
223.30  of the minimum penalty under clause (1) on home detention or in 
223.31  an intensive probation program described in section 169.1265.  
223.32  Notwithstanding section 609.135, the penalties in this paragraph 
223.33  must be imposed and executed. 
223.34     (e) A person who is convicted of a gross misdemeanor under 
223.35  subdivision 3, paragraph (c), or is convicted of a gross 
223.36  misdemeanor violation of section 169.129 within 15 years of four 
224.1   prior impaired driving convictions, four prior license 
224.2   revocations, or a combination of the two based on separate 
224.3   instances; or anytime after five or more prior impaired driving 
224.4   convictions, five or more prior license revocations, or a 
224.5   combination of the two based on separate instances, must be 
224.6   sentenced to either: 
224.7      (1) a minimum of one year of incarceration, at least 60 
224.8   days of which must be served consecutively in a local 
224.9   correctional facility; or 
224.10     (2) a program of intensive supervision of the type 
224.11  described in section 169.1265 that requires the person to 
224.12  consecutively serve at least six days in a local correctional 
224.13  facility.  
224.14  The court may order that the person serve the remainder of the 
224.15  minimum penalty under clause (1) on intensive probation using an 
224.16  electronic monitoring system or, if such a system is 
224.17  unavailable, on home detention.  Notwithstanding section 
224.18  609.135, the penalties in this paragraph must be imposed and 
224.19  executed. 
224.20     (f) Prior to sentencing, the prosecutor may file a motion 
224.21  to have a defendant described in paragraph (b) sentenced without 
224.22  regard to the mandatory minimum sentence established by that 
224.23  paragraph.  The motion must be accompanied by a statement on the 
224.24  record of the reasons for it.  When presented with the 
224.25  prosecutor's motion and if it finds that substantial mitigating 
224.26  factors exist, the court shall sentence the defendant without 
224.27  regard to the mandatory minimum sentence established by 
224.28  paragraph (b).  
224.29     (g) (e) The court may, on its own motion, sentence a 
224.30  defendant described in paragraph (b) without regard to the 
224.31  mandatory minimum sentence established by that paragraph if it 
224.32  finds that substantial mitigating factors exist and if its 
224.33  sentencing departure is accompanied by a statement on the record 
224.34  of the reasons for it.  The court also may sentence the 
224.35  defendant without regard to the mandatory minimum sentence 
224.36  established by paragraph (b) if the defendant is sentenced to 
225.1   probation and ordered to participate in a program established 
225.2   under section 169.1265. 
225.3      (h) (f) When any portion of the sentence required by 
225.4   paragraph (b) is not executed, the court should impose a 
225.5   sentence that is proportional to the extent of the offender's 
225.6   prior criminal and moving traffic violation record.  Any 
225.7   sentence required under paragraph (b) must include a mandatory 
225.8   sentence that is not subject to suspension or a stay of 
225.9   imposition or execution, and that includes incarceration for not 
225.10  less than at least 48 consecutive hours of incarceration or at 
225.11  least 80 hours of community work service. 
225.12     Sec. 4.  Minnesota Statutes 1999 Supplement, section 
225.13  169.121, subdivision 3f, is amended to read: 
225.14     Subd. 3f.  [LONG-TERM MONITORING.] (a) This subdivision 
225.15  applies to a person convicted of: 
225.16     (1) a violation of subdivision 1 or 1a within five years of 
225.17  two prior impaired driving convictions, or within ten years of 
225.18  three or more prior impaired driving convictions; 
225.19     (2) a second or subsequent violation of subdivision 1 or 
225.20  1a, if the person is under the age of 19 years; 
225.21     (3) a violation of subdivision 1 or 1a, while the person's 
225.22  driver's license or driving privileges have been canceled under 
225.23  section 171.04, subdivision 1, clause (10); or 
225.24     (4) a gross misdemeanor violation of section 169.129. 
225.25     (b) When the court sentences a person described in 
225.26  paragraph (a) to a stayed sentence and when electronic 
225.27  monitoring equipment is available to the court, the court shall 
225.28  require that the person participate in a program of electronic 
225.29  alcohol monitoring in addition to any other conditions of 
225.30  probation or jail time it imposes.  During the first one-third 
225.31  of the person's probationary term, the electronic alcohol 
225.32  monitoring must be continuous and involve measurements of the 
225.33  person's alcohol at least three times a day.  During the 
225.34  remainder of the person's probationary term, the electronic 
225.35  alcohol monitoring may be intermittent, as determined by the 
225.36  court.  The court shall require partial or total reimbursement 
226.1   from the person for the cost of the electronic alcohol 
226.2   monitoring, to the extent the person is able to pay. 
226.3      Sec. 5.  Minnesota Statutes 1999 Supplement, section 
226.4   169.1217, subdivision 7, is amended to read: 
226.5      Subd. 7.  [LIMITATIONS ON FORFEITURE OF MOTOR VEHICLE.] (a) 
226.6   A vehicle is subject to forfeiture under this section only if: 
226.7      (1) the driver is convicted of the designated offense upon 
226.8   which the forfeiture is based; 
226.9      (2) the driver fails to appear with respect to the 
226.10  designated offense charge in violation of section 609.49; or 
226.11     (3) the driver's conduct results in a designated license 
226.12  revocation and the driver either fails to seek administrative or 
226.13  judicial review of the revocation in a timely manner as required 
226.14  by section 169.123, subdivision 5b or 5c, or the revocation is 
226.15  sustained under section 169.123, subdivision 5b or 6. 
226.16     (b) A vehicle encumbered by a bona fide security interest, 
226.17  or subject to a lease that has a term of 180 days or more, is 
226.18  subject to the interest of the secured party or lessor unless 
226.19  the party or lessor had knowledge of or consented to the act 
226.20  upon which the forfeiture is based.  However, when the proceeds 
226.21  of the sale of a seized vehicle do not equal or exceed the 
226.22  outstanding loan balance, the appropriate agency shall remit all 
226.23  proceeds of the sale to the secured party.  If the sale of the 
226.24  vehicle is conducted in a commercially reasonable manner 
226.25  consistent with the provisions of section 336.9-504, clause (3), 
226.26  the agency is not liable to the secured party for any amount 
226.27  owed on the loan in excess of the sale proceeds if the secured 
226.28  party received notification of the time and place of the sale at 
226.29  least three days prior to the sale. 
226.30     (c) Notwithstanding paragraphs (b) and (d), the secured 
226.31  party's, lessor's, or owner's interest in a vehicle is not 
226.32  subject to forfeiture based solely on the secured party's, 
226.33  lessor's, or owner's knowledge of the act or omission upon which 
226.34  the forfeiture is based if the secured party, lessor, or owner 
226.35  took reasonable steps to terminate use of the vehicle by the 
226.36  offender. 
227.1      (d) A motor vehicle is subject to forfeiture under this 
227.2   section only if its owner knew or should have known of the 
227.3   unlawful use or intended use that the offender did not have a 
227.4   valid license at the time the offender used the vehicle and if 
227.5   the owner gave explicit or implicit permission to the offender 
227.6   to use the vehicle. 
227.7      (e) A vehicle subject to a security interest, based upon a 
227.8   loan or other financing arranged by a financial institution, is 
227.9   subject to the interest of the financial institution.  
227.10     Sec. 6.  Minnesota Statutes 1999 Supplement, section 
227.11  169.129, subdivision 1, is amended to read: 
227.12     Subdivision 1.  [CRIME.] It is a gross misdemeanor crime 
227.13  for any person to drive, operate, or be in physical control of a 
227.14  motor vehicle, the operation of which requires a driver's 
227.15  license, within this state or upon the ice of any boundary water 
227.16  of this state in violation of section 169.121 or an ordinance in 
227.17  conformity with it before the person's driver's license or 
227.18  driving privilege has been reinstated following its 
227.19  cancellation, suspension, revocation, disqualification, or 
227.20  denial under any of the following statutes:  
227.21     (1) section 169.121, 169.1211, or 169.123; 
227.22     (2) section 171.04, 171.14, 171.16, 171.17, or 171.18 
227.23  because of an alcohol-related incident; 
227.24     (3) section 609.21, subdivision 1, clauses (2) to (6); 
227.25  subdivision 2, clauses (2) to (6); subdivision 2a, clauses (2) 
227.26  to (6); subdivision 2b, clauses (2) to (6); subdivision 3, 
227.27  clauses (2) to (6); or subdivision 4, clauses (2) to (6). 
227.28     Sec. 7.  Minnesota Statutes 1998, section 169.129, is 
227.29  amended by adding a subdivision to read: 
227.30     Subd. 1a.  [PENALTIES.] (a) Except as otherwise provided in 
227.31  paragraph (b), a person who violates this section is guilty of a 
227.32  gross misdemeanor. 
227.33     (b) A person is guilty of a felony if the person violates 
227.34  subdivision 1, and either: 
227.35     (1) the person has three or more prior impaired driving 
227.36  convictions, as defined in section 169.121, subdivision 3, 
228.1   within the past ten years; or 
228.2      (2) the person has been convicted previously of a felony 
228.3   violation of this section or section 169.121. 
228.4   A person convicted of a felony under this paragraph must be 
228.5   sentenced to imprisonment for not less than five nor more than 
228.6   seven years and, in addition, may be ordered to pay a fine of 
228.7   not more than $14,000.  The court must impose this mandatory 
228.8   sentence and may stay execution of it only on condition that the 
228.9   offender serve 180 consecutive days in a local correctional 
228.10  facility and, following this period of incarceration, that the 
228.11  offender enter a program of probation supervision that includes 
228.12  electronic monitoring and, if recommended by the chemical use 
228.13  assessment, chemical dependency treatment and aftercare.  
228.14  Hearings on whether the offender has violated the conditions of 
228.15  the stayed sentence are governed by section 609.135, subdivision 
228.16  1d. 
228.17     Sec. 8.  Minnesota Statutes 1998, section 609.135, is 
228.18  amended by adding a subdivision to read: 
228.19     Subd. 1d.  [FELONY-LEVEL DWI OFFENDER; ALCOHOL OR DRUG 
228.20  USE.] If a defendant convicted of a felony-level violation of 
228.21  section 169.121 or 169.129 is required, as a condition of a 
228.22  stayed sentence, to refrain from the use of alcohol or drugs, 
228.23  the probation agent supervising the defendant must immediately 
228.24  report to the court any information or indication that the 
228.25  defendant has violated this condition.  As soon as practicable 
228.26  after receiving the probation agent's report, the court shall 
228.27  hold a hearing under section 609.14 to determine whether the 
228.28  defendant used alcohol or drugs in violation of the condition of 
228.29  the stayed sentence.  If the court finds that the defendant 
228.30  violated this condition, the court may continue the stay only on 
228.31  the additional condition that the defendant serve 365 
228.32  consecutive days of incarceration in a local correctional 
228.33  facility.  The court must impose this additional condition 
228.34  unless the court makes written findings regarding the mitigating 
228.35  factors justifying nonimposition of the condition. 
228.36     Sec. 9.  Minnesota Statutes 1999 Supplement, section 
229.1   609.135, subdivision 2, is amended to read: 
229.2      Subd. 2.  [STAY OF SENTENCE MAXIMUM PERIODS.] (a) Except as 
229.3   otherwise provided in this paragraph, if the conviction is for a 
229.4   felony the stay shall be for not more than four years or the 
229.5   maximum period for which the sentence of imprisonment might have 
229.6   been imposed, whichever is longer.  If the conviction is for a 
229.7   felony violation of section 169.121 or 169.129, the stay shall 
229.8   be for not more than ten years. 
229.9      (b) If the conviction is for a gross misdemeanor violation 
229.10  of section 169.121 or 169.129, the stay shall be for not more 
229.11  than six years.  The court shall provide for unsupervised 
229.12  probation for the last year of the stay unless the court finds 
229.13  that the defendant needs supervised probation for all or part of 
229.14  the last year. 
229.15     (c) If the conviction is for a gross misdemeanor not 
229.16  specified in paragraph (b), the stay shall be for not more than 
229.17  two years. 
229.18     (d) If the conviction is for any misdemeanor under section 
229.19  169.121; 609.746, subdivision 1; 609.79; or 617.23; or for a 
229.20  misdemeanor under section 609.2242 or 609.224, subdivision 1, in 
229.21  which the victim of the crime was a family or household member 
229.22  as defined in section 518B.01, the stay shall be for not more 
229.23  than two years.  The court shall provide for unsupervised 
229.24  probation for the second year of the stay unless the court finds 
229.25  that the defendant needs supervised probation for all or part of 
229.26  the second year. 
229.27     (e) If the conviction is for a misdemeanor not specified in 
229.28  paragraph (d), the stay shall be for not more than one year.  
229.29     (f) The defendant shall be discharged six months after the 
229.30  term of the stay expires, unless the stay has been revoked or 
229.31  extended under paragraph (g), or the defendant has already been 
229.32  discharged. 
229.33     (g) Notwithstanding the maximum periods specified for stays 
229.34  of sentences under paragraphs (a) to (f), a court may extend a 
229.35  defendant's term of probation for up to one year if it finds, at 
229.36  a hearing conducted under subdivision 1a, that: 
230.1      (1) the defendant has not paid court-ordered restitution or 
230.2   a fine in accordance with the payment schedule or structure; and 
230.3      (2) the defendant is likely to not pay the restitution or 
230.4   fine the defendant owes before the term of probation expires.  
230.5   This one-year extension of probation for failure to pay 
230.6   restitution or a fine may be extended by the court for up to one 
230.7   additional year if the court finds, at another hearing conducted 
230.8   under subdivision 1a, that the defendant still has not paid the 
230.9   court-ordered restitution or fine that the defendant owes. 
230.10     (h) Notwithstanding the maximum periods specified for stays 
230.11  of sentences under paragraphs (a) to (f), a court may extend a 
230.12  defendant's term of probation for up to three years if it finds, 
230.13  at a hearing conducted under subdivision 1c, that: 
230.14     (1) the defendant has failed to complete court-ordered 
230.15  treatment successfully; and 
230.16     (2) the defendant is likely not to complete court-ordered 
230.17  treatment before the term of probation expires. 
230.18     Sec. 10.  [SENTENCING GUIDELINE RANKING OF DWI FELONY.] 
230.19     The sentencing guidelines commission is requested to leave 
230.20  felony violations of Minnesota Statutes, sections 169.121 and 
230.21  169.129, unranked under sentencing guideline II.A.03.  The 
230.22  commission also is requested to amend the sentencing guidelines 
230.23  to provide that each felony violation of Minnesota Statutes, 
230.24  section 169.121 or 169.129, constitutes one criminal history 
230.25  point. 
230.26     Sec. 11.  [PLAN FOR PLACEMENT OF DWI OFFENDERS SENTENCED TO 
230.27  PRISON.] 
230.28     The commissioner of corrections, in consultation with the 
230.29  commissioner of human services, shall develop a plan for the 
230.30  placement and management of felony-level DWI offenders who are 
230.31  committed to the commissioner's custody.  The plan shall 
230.32  identify the facilities in which these offenders will be 
230.33  confined and may include state-owned or state-operated 
230.34  residential facilities and private facilities that currently are 
230.35  not part of the state correctional system.  The commissioner 
230.36  shall submit the plan to the chairs and ranking minority members 
231.1   of the house and senate committees with jurisdiction over 
231.2   criminal justice policy and funding by November 1, 2000. 
231.3      Sec. 12.  [STUDY OF COMMUNITY CORRECTIONS IMPACTS OF FELONY 
231.4   DWI.] 
231.5      The commissioner of corrections shall study and report to 
231.6   the legislature on the likely community corrections impacts of 
231.7   the felony penalty created by this article.  In conducting the 
231.8   study, the commissioner shall obtain relevant information from 
231.9   counties within each of the three probation services delivery 
231.10  systems in order to answer the following questions: 
231.11     (1) How many felony-level DWI offenders will be on 
231.12  probation each year? 
231.13     (2) What conditions of probation will these offenders be 
231.14  required to observe? 
231.15     (3) How many offenders are expected to successfully 
231.16  complete probation and how many are expected to violate 
231.17  probation and serve their stayed prison sentence? 
231.18     As part of the study, the commissioner must also examine 
231.19  and report on private services to satisfy the mandatory 
231.20  incarceration sentences and the chemical dependency requirements.
231.21     The commissioner shall submit the report to the chairs and 
231.22  ranking minority members of the house and senate committees with 
231.23  jurisdiction over criminal justice policy and funding by 
231.24  November 1, 2000. 
231.25     Sec. 13.  [EFFECTIVE DATE.] 
231.26     Sections 1 to 10 are effective July 1, 2001, and apply to 
231.27  offenses occurring on or after that date. 
231.28                             <b>PART E </b>
231.29                   <b>STATE GOVERNMENT PROVISIONS</b>
231.30                             ARTICLE 17
231.31                          STATE GOVERNMENT
231.32                           APPROPRIATIONS 
231.33  Section 1.  [APPROPRIATIONS.] 
231.34     The sums shown in the columns marked "APPROPRIATIONS" are 
231.35  appropriated from the general fund, or any other fund named, to 
231.36  the agencies and for the purposes specified in this article, to 
232.1   be available for the fiscal years indicated for each purpose.  
232.2   The figures "2000" and "2001" mean that the appropriation or 
232.3   appropriations listed under them are available for the fiscal 
232.4   year ending June 30, 2000, or June 30, 2001, respectively, and 
232.5   if an earlier appropriation was made for that purpose for that 
232.6   year, the appropriation in this article is added to it.  Where a 
232.7   dollar amount appears in parentheses, it means a reduction of an 
232.8   earlier appropriation for that purpose for that year. 
232.9                           SUMMARY BY FUND 
232.10                                                       BIENNIAL
232.11                            2000          2001           TOTAL
232.12  General              $ (3,191,000)  $ (5,914,000)  $  (9,105,000)
232.13  TOTAL                $ (3,191,000)  $ (5,914,000)  $  (9,105,000)
232.14                                             APPROPRIATIONS 
232.15                                         Available for the Year 
232.16                                             Ending June 30 
232.17                                            2000         2001 
232.18  Sec. 2.  LEGISLATURE                   $  50,000      $ 
232.19  $50,000 is for the legislative 
232.20  commission on Minnesota-Ontario matters 
232.21  and is available only upon 
232.22  demonstration of a dollar-for-dollar 
232.23  match from nonstate sources.  This 
232.24  appropriation is available until June 
232.25  30, 2001. 
232.26  From amounts previously appropriated to 
232.27  the house of representatives and 
232.28  carried forward into the biennium 
232.29  beginning July 1, 1999, $1,500,000 is 
232.30  canceled to the general fund. 
232.31  From amounts previously appropriated to 
232.32  the senate and carried forward into the 
232.33  biennium beginning July 1, 1999, 
232.34  $1,500,000 is canceled to the general 
232.35  fund. 
232.36  The house of representatives must 
232.37  minimize the number of members who are 
232.38  required to change offices if there is 
232.39  a change in which party is the majority 
232.40  caucus for the 2001-2002 legislative 
232.41  session. 
232.42  Sec. 3.  SECRETARY OF STATE                           2,000,000
232.43  To construct and maintain the Uniform 
232.44  Commercial Code central filing system 
232.45  required by H.F. No. 1394, if enacted, 
232.46  to be available until June 30, 2001. 
232.47  Beginning with fiscal year 2002, the 
232.48  general fund base for the office of the 
232.49  secretary of state must be reduced by 
232.50  $2,300,000 in fiscal year 2002 and 
233.1   $2,300,000 in fiscal year 2003. 
233.2   Sec. 4.  OFFICE OF STRATEGIC AND 
233.3   LONG-RANGE PLANNING                                  (2,000,000)
233.4   This reduction is for a permanent 
233.5   reduction in staff.  
233.6   The office of strategic and long-range 
233.7   planning must develop a plan for 
233.8   contracting with the University of 
233.9   Minnesota, other educational 
233.10  institutions, and other individuals or 
233.11  entities, for strategic planning 
233.12  activities for the state.  This plan 
233.13  shall be submitted to the legislature 
233.14  by January 15, 2001. 
233.15  Sec. 5.  ADMINISTRATION               (2,000,000)    (3,049,000)
233.16  Of this amount, $2,000,000 in fiscal 
233.17  year 2000 is a reduction to the 
233.18  appropriation for year 2000 contingency 
233.19  funds authorized in Laws 1999, chapter 
233.20  250, article 1, section 12, subdivision 
233.21  4, $342,000 in fiscal year 2001 is a 
233.22  reduction for the elimination of the 
233.23  office of citizenship and volunteer 
233.24  services, and $2,707,000 in fiscal year 
233.25  2001 is a reduction for the elimination 
233.26  of the office of technology. 
233.27  The appropriation for the Alliance With 
233.28  Youth must not be reduced.  The 
233.29  Alliance With Youth is a separate 
233.30  activity in the department of 
233.31  administration. 
233.32  If any portion of the $2,000,000 
233.33  reduction in year 2000 contingency 
233.34  funds has been expended or encumbered 
233.35  before the effective date of this 
233.36  section, other appropriations to the 
233.37  department for fiscal year 2001 are 
233.38  reduced by the amount of these 
233.39  expenditures or encumbrances. 
233.40  Sec. 6.  CAMPAIGN FINANCE AND
233.41  DISCLOSURE BOARD                          48,000             
233.42  This appropriation is for legal costs 
233.43  for the board's defense of a 
233.44  constitutional challenge, and for 
233.45  expenses associated with implementation 
233.46  of amendments made to Minnesota 
233.47  Statutes, section 10A.01, and of new 
233.48  Minnesota Statutes, section 10A.035.  
233.49  This appropriation is available until 
233.50  June 30, 2001. 
233.51  Sec. 7.  GAMBLING CONTROL
233.52  BOARD                                     45,000         45,000
233.53  For workers' compensation claims.  
233.54  Money not expended in the first year is 
233.55  available for expenditure in the second 
233.56  year. 
233.57  Sec. 8.  MINNEAPOLIS EMPLOYEES
233.58  RETIREMENT FUND                        (1,334,000)   (1,892,000)
234.1   This is a reduction in payments made to 
234.2   the Minneapolis employees retirement 
234.3   fund under Minnesota Statutes, section 
234.4   422A.101, subdivision 3.  The reduction 
234.5   for fiscal year 2002 is estimated to be 
234.6   $1,892,000 and the reduction for fiscal 
234.7   year 2003 is estimated to be $1,892,000.
234.8   Sec. 9.  BOARD OF GOVERNMENT
234.9   INNOVATION AND COOPERATION                           (1,018,000)
234.10  This reduction is for elimination of 
234.11  the board. 
234.12     Sec. 10.  [3.884] [LEGISLATIVE COMMISSION ON 
234.13  MINNESOTA-ONTARIO MATTERS.] 
234.14     Subdivision 1.  [ESTABLISHMENT.] A legislative advisory 
234.15  commission on Minnesota-Ontario matters is established.  The 
234.16  commission is made up of 12 Minnesota members appointed as 
234.17  provided in subdivision 2, with the intent of meeting with a 
234.18  like commission of Ontario citizens appointed as provided by the 
234.19  appropriate government authority of Ontario for the purpose of 
234.20  making recommendations regarding Minnesota-Ontario issues of 
234.21  mutual interest involving natural resources, transportation, 
234.22  economic development, and social matters.  A report and 
234.23  appropriate recommendations must be made annually to the 
234.24  appointing bodies. 
234.25     Subd. 2.  [MINNESOTA APPOINTEES.] Six of the Minnesota 
234.26  members must be appointed by the speaker of the house, three 
234.27  from among the members of the house of representatives and three 
234.28  from Minnesota citizens with interest in and knowledge of 
234.29  Minnesota-Ontario issues; and six members appointed by the 
234.30  subcommittee on committees of the committee on rules and 
234.31  administration of the senate, three from among the members of 
234.32  the senate and three from Minnesota citizens with an interest in 
234.33  and knowledge of Minnesota-Ontario issues. 
234.34     Subd. 3.  [TERMS.] Minnesota legislative members shall 
234.35  serve for the term of the legislative office to which they were 
234.36  elected.  The terms, compensation, and removal of the 
234.37  nonlegislative members of the commission and expiration of the 
234.38  commission shall be as provided in section 15.059.  
234.39     Subd. 4.  [OFFICERS.] There must be cochairs of the 
234.40  commission.  The Ontario section must have a chair and the 
235.1   Minnesota section must have a chair.  The Ontario chair must 
235.2   conduct meetings held in Canada and the Minnesota chair must 
235.3   conduct meetings held in the United States. 
235.4      There must be vice-chairs of the respective sections.  
235.5   There must be elected one secretary from the commission at large.
235.6      Subd. 5.  [STAFF.] The commission may hire the staff 
235.7   necessary to carry out its duties. 
235.8      Sec. 11.  Minnesota Statutes 1999 Supplement, section 
235.9   3.971, subdivision 8, is amended to read: 
235.10     Subd. 8.  [BEST PRACTICES REVIEWS.] (a) The legislative 
235.11  auditor shall conduct best practices reviews that examine the 
235.12  procedures and practices used to deliver local government 
235.13  services, determine the methods of local government service 
235.14  delivery, identify variations in cost and effectiveness, and 
235.15  identify practices to save money or provide more effective 
235.16  service delivery.  The legislative auditor shall recommend to 
235.17  local governments service delivery methods and practices to 
235.18  improve the cost-effectiveness of services.  The legislative 
235.19  auditor and the board of government innovation and cooperation 
235.20  shall notify each other of projects being conducted relating to 
235.21  improving local government services. 
235.22     (b) The commission shall approve local government services 
235.23  to be reviewed with advice from an advisory council appointed by 
235.24  the legislative auditor and consisting of: 
235.25     (1) three representatives from the Association of Minnesota 
235.26  Counties; 
235.27     (2) three representatives from the League of Minnesota 
235.28  Cities; 
235.29     (3) two representatives from the Association of 
235.30  Metropolitan Municipalities; 
235.31     (4) one representative from the Minnesota Association of 
235.32  Townships; and 
235.33     (5) one representative from the Minnesota Association of 
235.34  School Administrators.  
235.35     Sec. 12.  [5.27] [DEPOSIT OF UCC FEES.] 
235.36     Notwithstanding any law to the contrary, all fees received 
236.1   by the secretary of state under chapters 336 and 336A must be 
236.2   deposited in the Uniform Commercial Code account and are 
236.3   continuously appropriated to the secretary of state.  This 
236.4   deposit must not occur until the Cambridge bank debt service 
236.5   account is fully funded. 
236.6      Sec. 13.  Minnesota Statutes 1999 Supplement, section 
236.7   10A.01, subdivision 2, is amended to read: 
236.8      Subd. 2.  [ADMINISTRATIVE ACTION.] "Administrative action" 
236.9   means an action by any official, board, commission or agency of 
236.10  the executive branch to enter into a contract for goods or 
236.11  services to be paid for by public funds in an amount greater 
236.12  than $5,000,000, or adopt, amend, or repeal a rule under chapter 
236.13  14.  "Administrative action" does not include the application or 
236.14  administration of an adopted rule, except in cases of rate 
236.15  setting, power plant and powerline siting, and granting of 
236.16  certificates of need under section 216B.243. 
236.17     Sec. 14.  Minnesota Statutes 1999 Supplement, section 
236.18  10A.01, subdivision 21, is amended to read: 
236.19     Subd. 21.  [LOBBYIST.] (a) "Lobbyist" means an individual: 
236.20     (1) engaged for pay or other consideration, or authorized 
236.21  to spend money by another individual, association, political 
236.22  subdivision, or public higher education system, who spends more 
236.23  than five hours in any month or more than $250, not including 
236.24  the individual's own travel expenses and membership dues, in any 
236.25  year, for the purpose of attempting to influence legislative or 
236.26  administrative action, or the official action of a metropolitan 
236.27  governmental unit, by communicating or urging others to 
236.28  communicate with public or local officials; or 
236.29     (2) who spends more than $250, not including the 
236.30  individual's own traveling expenses and membership dues, in any 
236.31  year for the purpose of attempting to influence legislative or 
236.32  administrative action, or the official action of a metropolitan 
236.33  governmental unit, by communicating or urging others to 
236.34  communicate with public or local officials. 
236.35     (b) "Lobbyist" does not include: 
236.36     (1) a public official; 
237.1      (2) an employee of the state, including an employee of any 
237.2   of the public higher education systems; 
237.3      (3) an elected local official; 
237.4      (4) a nonelected local official or an employee of a 
237.5   political subdivision acting in an official capacity, unless the 
237.6   nonelected official or employee of a political subdivision 
237.7   spends more than 50 hours in any month attempting to influence 
237.8   legislative or administrative action, or the official action of 
237.9   a metropolitan governmental unit other than the political 
237.10  subdivision employing the official or employee, by communicating 
237.11  or urging others to communicate with public or local officials, 
237.12  including time spent monitoring legislative or administrative 
237.13  action, or the official action of a metropolitan governmental 
237.14  unit, and related research, analysis, and compilation and 
237.15  dissemination of information relating to legislative or 
237.16  administrative policy in this state, or to the policies of 
237.17  metropolitan governmental units; 
237.18     (5) a party or the party's representative appearing in a 
237.19  proceeding before a state board, commission, or agency of the 
237.20  executive branch unless the board, commission, or agency is 
237.21  taking administrative action; 
237.22     (6) an individual while engaged in selling goods or 
237.23  services in an amount of $5,000,000 or less to be paid for by 
237.24  public funds; 
237.25     (7) a news medium or its employees or agents while engaged 
237.26  in the publishing or broadcasting of news items, editorial 
237.27  comments, or paid advertisements which directly or indirectly 
237.28  urge official action; 
237.29     (8) a paid expert witness whose testimony is requested by 
237.30  the body before which the witness is appearing, but only to the 
237.31  extent of preparing or delivering testimony; or 
237.32     (9) a party or the party's representative appearing to 
237.33  present a claim to the legislature and communicating to 
237.34  legislators only by the filing of a claim form and supporting 
237.35  documents and by appearing at public hearings on the claim. 
237.36     Sec. 15.  [10A.035] [FORMER LEGISLATOR; LOBBYIST 
238.1   RESTRICTION.] 
238.2      For the period of one year after leaving office or 
238.3   employment, a member of the legislature or an unclassified 
238.4   executive branch employee may not act as a lobbyist as defined 
238.5   in section 10A.01, subdivision 21, with regard to attempting to 
238.6   influence legislative action. 
238.7      Sec. 16.  Minnesota Statutes 1998, section 15.0591, 
238.8   subdivision 2, is amended to read: 
238.9      Subd. 2.  [BODIES AFFECTED.] A member meeting the 
238.10  qualifications in subdivision 1 must be appointed to the 
238.11  following boards, commissions, advisory councils, task forces, 
238.12  or committees:  
238.13     (1) advisory council on battered women; 
238.14     (2) advisory task force on the use of state facilities; 
238.15     (3) alcohol and other drug abuse advisory council; 
238.16     (4) board of examiners for nursing home administrators; 
238.17     (5) board on aging; 
238.18     (6) chiropractic examiners board; 
238.19     (7) consumer advisory council on vocational rehabilitation; 
238.20     (8) council on disability; 
238.21     (9) council on affairs of Chicano/Latino people; 
238.22     (10) council on Black Minnesotans; 
238.23     (11) dentistry board; 
238.24     (12) department of economic security advisory council; 
238.25     (13) higher education services office; 
238.26     (14) housing finance agency; 
238.27     (15) Indian advisory council on chemical dependency; 
238.28     (16) medical practice board; 
238.29     (17) medical policy directional task force on mental 
238.30  health; 
238.31     (18) Minnesota employment and economic development task 
238.32  force; 
238.33     (19) Minnesota office of citizenship and volunteer services 
238.34  advisory committee; 
238.35     (20) Minnesota state arts board; 
238.36     (21) (20) nursing board; 
239.1      (22) (21) optometry board; 
239.2      (23) (22) pharmacy board; 
239.3      (24) (23) physical therapists council; 
239.4      (25) (24) podiatry board; 
239.5      (26) (25) psychology board; 
239.6      (27) (26) veterans advisory committee. 
239.7      Sec. 17.  Minnesota Statutes 1998, section 15A.0815, 
239.8   subdivision 2, is amended to read: 
239.9      Subd. 2.  [GROUP I SALARY LIMITS.] The salaries for 
239.10  positions in this subdivision may not exceed 85 75 percent of 
239.11  the salary of the governor:  
239.12     Commissioner of administration; 
239.13     Commissioner of agriculture; 
239.14     Commissioner of children, families, and learning; 
239.15     Commissioner of commerce; 
239.16     Commissioner of corrections; 
239.17     Commissioner of economic security; 
239.18     Commissioner of employee relations; 
239.19     Commissioner of finance; 
239.20     Commissioner of health; 
239.21     Executive director, higher education services office; 
239.22     Commissioner, housing finance agency; 
239.23     Commissioner of human rights; 
239.24     Commissioner of human services; 
239.25     Executive director, state board of investment; 
239.26     Commissioner of labor and industry; 
239.27     Commissioner of natural resources; 
239.28     Director of office of strategic and long-range planning; 
239.29     Commissioner, pollution control agency; 
239.30     Commissioner of public safety; 
239.31     Commissioner, department of public service; 
239.32     Commissioner of revenue; 
239.33     Commissioner of trade and economic development; 
239.34     Commissioner of transportation; and 
239.35     Commissioner of veterans affairs. 
239.36     Sec. 18.  Minnesota Statutes 1998, section 15A.0815, 
240.1   subdivision 3, is amended to read: 
240.2      Subd. 3.  [GROUP II SALARY LIMITS.] The salaries for 
240.3   positions in this subdivision may not exceed 75 65 percent of 
240.4   the salary of the governor: 
240.5      Ombudsman for corrections; 
240.6      Executive director of gambling control board; 
240.7      Commissioner, iron range resources and rehabilitation 
240.8   board; 
240.9      Commissioner, bureau of mediation services; 
240.10     Ombudsman for mental health and retardation; 
240.11     Chair, metropolitan council; 
240.12     Executive director of pari-mutuel racing; 
240.13     Executive director, public employees retirement 
240.14  association; 
240.15     Commissioner, public utilities commission; 
240.16     Executive director, state retirement system; and 
240.17     Executive director, teachers retirement association. 
240.18     Sec. 19.  Minnesota Statutes 1998, section 16A.10, is 
240.19  amended by adding a subdivision to read: 
240.20     Subd. 2a.  [INFORMATION TECHNOLOGY 
240.21  PROJECTS.] Notwithstanding any law to the contrary, by November 
240.22  30 of each even-numbered year, the commissioner must send the 
240.23  chairs of the house of representatives ways and means committee 
240.24  and the senate state government finance committee a list of all 
240.25  agency requests for funding in the next biennium of information 
240.26  and communication technology projects estimated to cost more 
240.27  than $100,000. 
240.28     Sec. 20.  Minnesota Statutes 1999 Supplement, section 
240.29  16A.103, subdivision 1, is amended to read: 
240.30     Subdivision 1.  [STATE REVENUE AND EXPENDITURES.] In 
240.31  February and November each year, the commissioner shall prepare 
240.32  a forecast of state revenue and expenditures.  The November 
240.33  forecast must be delivered to the legislature and governor no 
240.34  later than the end of the first week of December.  The February 
240.35  forecast must be delivered to the legislature and governor by 
240.36  the end of February.  Forecasts must be delivered to the 
241.1   legislature and governor on the same day.  If requested by the 
241.2   legislative commission on planning and fiscal policy, delivery 
241.3   to the legislature must include a presentation to the commission.
241.4      Subd. 1a.  [FORECAST PARAMETERS.] The forecast must assume 
241.5   the continuation of current laws and reasonable estimates of 
241.6   projected growth in the national and state economies and 
241.7   affected populations.  Revenue must be estimated for all sources 
241.8   provided for in current law.  Expenditures must be estimated for 
241.9   all obligations imposed by law and those projected to occur as a 
241.10  result of inflation and variables outside the control of the 
241.11  legislature.  The forecast must include a set aside amount that 
241.12  reflects cost increases as a result of inflation in delivering 
241.13  the current law level of services.  This amount may not exceed 
241.14  the amount obtained by applying the Consumer Price Index to 
241.15  those state expenditures that reflect payments for services at 
241.16  the state or local level.  An amount to reflect increases in 
241.17  providing services may not be applied to any appropriation for 
241.18  which the law or process determining that appropriation amount 
241.19  already includes a factor to reflect those cost increases. 
241.20     Subd. 1b.  [FORECAST VARIABLE.] In determining the rate of 
241.21  inflation, the application of inflation, the amount of state 
241.22  bonding as it affects debt service, the calculation of 
241.23  investment income, and the other variables to be included in the 
241.24  expenditure part of the forecast, the commissioner must consult 
241.25  with the chair chairs and lead minority members of the senate 
241.26  state government finance committee, and the chair of the house 
241.27  committee on ways and means committee, and house and 
241.28  senate legislative fiscal staff.  This consultation must occur 
241.29  at least six weeks before the forecast is to be released.  No 
241.30  later than two weeks prior to the release of the forecast, the 
241.31  commissioner must inform the chairs and lead minority members of 
241.32  the senate state government finance committee and the house ways 
241.33  and means committee, and legislative fiscal staff of any changes 
241.34  in these variables from the previous forecast. 
241.35     Subd. 1c.  [EXPENDITURE DATA.] State agencies must submit 
241.36  any revisions in expenditure data the commissioner determines 
242.1   necessary for the forecast to the commissioner at least four 
242.2   weeks prior to the release of the forecast.  The information 
242.3   submitted by state agencies and any modifications to that 
242.4   information made by the commissioner must be made available to 
242.5   legislative fiscal staff no later than three weeks prior to the 
242.6   release of the forecast. 
242.7      Subd. 1d.  [REVENUE DATA.] On a monthly basis, the 
242.8   commissioner must provide legislative fiscal staff with an 
242.9   update of the previous month's state revenues no later than 12 
242.10  days after the end of that month. 
242.11     Subd. 1e.  [ECONOMIC INFORMATION.] The commissioner must 
242.12  review economic information including economic forecasts with 
242.13  legislative fiscal staff no later than two weeks before the 
242.14  forecast is released.  The commissioner must invite the chairs 
242.15  and lead minority members of the senate state government finance 
242.16  committee and the house ways and means committee, and 
242.17  legislative fiscal staff to attend any meetings held with 
242.18  outside economic advisors.  The commissioner must provide 
242.19  legislative fiscal staff with monthly economic forecast 
242.20  information received from outside sources. 
242.21     Subd. 1f.  [PERSONAL INCOME.] In addition, the commissioner 
242.22  shall forecast Minnesota personal income for each of the years 
242.23  covered by the forecast and include these estimates in the 
242.24  forecast documents. 
242.25     Subd. 1g.  [PERIOD TO BE FORECAST.] A forecast prepared 
242.26  during the first fiscal year of a biennium must cover that 
242.27  biennium and the next biennium.  A forecast prepared during the 
242.28  second fiscal year of a biennium must cover that biennium and 
242.29  the next two bienniums. 
242.30     Sec. 21.  Minnesota Statutes 1998, section 16A.11, 
242.31  subdivision 3, is amended to read: 
242.32     Subd. 3.  [PART TWO:  DETAILED BUDGET.] (a) Part two of the 
242.33  budget, the detailed budget estimates both of expenditures and 
242.34  revenues, must contain any statements on the financial plan 
242.35  which the governor believes desirable or which may be required 
242.36  by the legislature.  The detailed estimates shall include the 
243.1   governor's budget arranged in tabular form. 
243.2      (b) The detailed estimates must include a separate line 
243.3   listing the total number of professional or technical service 
243.4   contracts and the total cost of those contracts for the prior 
243.5   biennium and the projected number of professional or technical 
243.6   service contracts and the projected costs of those contracts for 
243.7   the current and upcoming biennium.  They must also include a 
243.8   summary of the personnel employed by the agency, reflected as 
243.9   full-time equivalent positions, and the number of professional 
243.10  or technical service consultants for the current biennium. 
243.11     (c) The detailed estimates for internal service funds must 
243.12  include the number of full-time equivalents by program; detail 
243.13  on any loans from the general fund, including dollar amounts by 
243.14  program; proposed investments in technology or equipment of 
243.15  $100,000 or more; an explanation of any operating losses or 
243.16  increases in retained earnings; and a history of the rates that 
243.17  have been charged, with an explanation of any rate changes and 
243.18  the impact of the rate changes on affected agencies. 
243.19     Sec. 22.  Minnesota Statutes 1998, section 16A.124, is 
243.20  amended by adding a subdivision to read: 
243.21     Subd. 3a.  [SUPPLEMENTAL AGREEMENT.] If an agency submits a 
243.22  supplemental agreement to an existing contract to the 
243.23  commissioner of administration for approval, the commissioner of 
243.24  administration must act on the supplemental agreement in time 
243.25  for the agency to make payments to the vendor in the manner 
243.26  required under this section. 
243.27     Sec. 23.  Minnesota Statutes 1998, section 16A.126, 
243.28  subdivision 2, is amended to read: 
243.29     Subd. 2.  [IMMEDIATE NEEDS.] To reduce reserves for 
243.30  unforeseen needs, and so reduce these rates, the commissioner 
243.31  may transfer money from the general fund to a revolving fund.  
243.32  Before doing so, the commissioner must decide there is not 
243.33  enough money in the revolving fund for an immediate, necessary 
243.34  expenditure.  The amount necessary to make the transfer is 
243.35  appropriated from the general fund to the commissioner of 
243.36  finance.  The commissioner shall report the amount and purpose 
244.1   of the transfer to the chair of the committee or division in the 
244.2   senate and house of representatives with primary jurisdiction 
244.3   over the budget of the department of finance. 
244.4      Sec. 24.  Minnesota Statutes 1999 Supplement, section 
244.5   16A.129, subdivision 3, is amended to read: 
244.6      Subd. 3.  [CASH ADVANCES.] When the operations of any 
244.7   nongeneral fund account would be impeded by projected cash 
244.8   deficiencies resulting from delays in the receipt of grants, 
244.9   dedicated income, or other similar receivables, and when the 
244.10  deficiencies would be corrected within the budget period 
244.11  involved, the commissioner of finance may use general fund cash 
244.12  reserves to meet cash demands.  If funds are transferred from 
244.13  the general fund to meet cash flow needs, the cash flow 
244.14  transfers must be returned to the general fund as soon as 
244.15  sufficient cash balances are available in the account to which 
244.16  the transfer was made.  The fund to which general fund cash was 
244.17  advanced must pay interest on the cash advance at a rate 
244.18  comparable to the rate earned by the state on invested 
244.19  treasurer's cash, as determined monthly by the commissioner.  An 
244.20  amount necessary to pay the interest is appropriated from the 
244.21  nongeneral fund to which the cash advance was made.  Any 
244.22  interest earned on general fund cash flow transfers accrues to 
244.23  the general fund and not to the accounts or funds to which the 
244.24  transfer was made.  The commissioner may advance general fund 
244.25  cash reserves to nongeneral fund accounts where the receipts 
244.26  from other governmental units cannot be collected within the 
244.27  budget period. 
244.28     Sec. 25.  [16A.145] [INFORMATION SYSTEMS PROJECTS.] 
244.29     Before funds are spent or encumbered for an executive 
244.30  agency information systems development project estimated to cost 
244.31  more than $1,000,000, the commissioner of finance must ensure 
244.32  that a source outside of state government has completed a risk 
244.33  assessment for the project and that the results of the 
244.34  assessment have been reported to the chairs of the house ways 
244.35  and means and senate state government finance committees.  The 
244.36  entity performing the risk assessment must not have a direct or 
245.1   indirect financial interest in the project. 
245.2      Sec. 26.  [16A.633] [CAPITAL FUNDING CONTINGENT ON 
245.3   MAINTAINING DATA.] 
245.4      Subdivision 1.  [STATE AGENCIES.] Each state agency shall 
245.5   provide to the commissioner of administration the data necessary 
245.6   for the commissioner to maintain the department's database on 
245.7   the location, description, and condition of state-owned 
245.8   facilities.  The data must be provided by December 15 each 
245.9   year.  The commissioner of administration must maintain both the 
245.10  current inventory data and historical data.  A state agency is 
245.11  not eligible to receive capital funding unless the agency has 
245.12  provided the data required. 
245.13     Subd. 2.  [MINNESOTA STATE COLLEGES AND UNIVERSITIES.] The 
245.14  board of trustees of the Minnesota state colleges and 
245.15  universities shall establish and maintain data on the location, 
245.16  description, and condition of board-owned facilities that is 
245.17  comparable with the database established by the department of 
245.18  administration.  The data must be updated annually and the board 
245.19  must maintain both current inventory data and historical data.  
245.20  The board is not eligible to receive capital funding unless the 
245.21  board has established and maintains the data required. 
245.22     Subd. 3.  [UNIVERSITY OF MINNESOTA.] The board of regents 
245.23  of the University of Minnesota is requested to establish and 
245.24  maintain data on the location, description, and condition of 
245.25  university-owned facilities that is comparable with the database 
245.26  established by the department of administration.  The university 
245.27  is requested to update the data annually and maintain both 
245.28  current inventory data and historical data.  The board of 
245.29  regents is not eligible to receive capital funding unless the 
245.30  board has established and maintains the data required. 
245.31     Sec. 27.  [16A.6705] [LIMIT.] 
245.32     (a) The commissioner may not issue bonds to provide money 
245.33  for a project for which the legislature has appropriated more 
245.34  than $5,000,000 unless a cost-benefit analysis has been 
245.35  completed and shows a positive benefit to the public.  The 
245.36  management analysis division of the department of administration 
246.1   must perform or direct the performance of the analysis. 
246.2      (b) All cost-benefit analysis documents under this section, 
246.3   
246.4   including preliminary drafts and notes, are public data. 
246.5      (c) If a cost-benefit analysis does not show a positive 
246.6   benefit to the public, the governor may issue bonds for the 
246.7   project if a cost-effectiveness study has been done that shows a 
246.8   proposed project is the most effective way to provide a 
246.9   necessary public good compared to other means of accomplishing 
246.10  the goals of legislation authorizing the appropriation. 
246.11     (d) This section does not apply to projects that are in 
246.12  response to a natural disaster if an emergency has been declared 
246.13  by the governor. 
246.14     Sec. 28.  Minnesota Statutes 1998, section 16B.052, is 
246.15  amended to read: 
246.16     16B.052 [AUTHORITY TO TRANSFER FUNDS.] 
246.17     The commissioner may, with the approval of the commissioner 
246.18  of finance, transfer from an internal service or enterprise fund 
246.19  account to another internal service or enterprise fund account, 
246.20  any contributed capital appropriated by the legislature.  The 
246.21  transfer may be made only to provide working capital or positive 
246.22  cash flow in the account to which the money is transferred.  The 
246.23  commissioner shall report the amount and purpose of the transfer 
246.24  to the chair of the committee or division in the senate and 
246.25  house of representatives with primary jurisdiction over the 
246.26  budget of the department of administration.  The transfer must 
246.27  be repaid within 18 months.  
246.28     Sec. 29.  Minnesota Statutes 1998, section 16B.31, is 
246.29  amended by adding a subdivision to read: 
246.30     Subd. 1a.  [DESIGN-BUILD PROHIBITION.] An agency may not 
246.31  use a design-build method of project development and 
246.32  construction.  For purposes of this subdivision: 
246.33     (1) "design-build method" means a project delivery system 
246.34  in which a single contractor is responsible for both the design 
246.35  and construction of the project and in which the design and 
246.36  construction are bid together; 
246.37     (2) "agency" has the meaning defined in section 16B.01, and 
247.1   includes the Minnesota state colleges and universities and any 
247.2   agency to which the commissioner or other law has delegated 
247.3   contracting authority. 
247.4      Sec. 30.  Minnesota Statutes 1998, section 16B.335, 
247.5   subdivision 5, is amended to read: 
247.6      Subd. 5.  [INFORMATION TECHNOLOGY.] Agency requests for 
247.7   construction and remodeling funds shall include money for 
247.8   cost-effective information technology investments that would 
247.9   enable an agency to reduce its need for office space, provide 
247.10  more of its services electronically, and decentralize its 
247.11  operations.  The office of technology must review and approve 
247.12  the information technology portion of construction and major 
247.13  remodeling program plans before the plans are submitted to the 
247.14  chairs of the senate finance committee and the house of 
247.15  representatives ways and means committee for their 
247.16  recommendations and the chair of the house of representatives 
247.17  capital investment committee is notified as required by 
247.18  subdivision 1. 
247.19     Sec. 31.  Minnesota Statutes 1998, section 16B.42, 
247.20  subdivision 2, is amended to read: 
247.21     Subd. 2.  [DUTIES.] The council shall:  assist state and 
247.22  local agencies in developing and updating intergovernmental 
247.23  information systems; facilitate participation of users during 
247.24  the development of major revisions of intergovernmental 
247.25  information systems; review intergovernmental information and 
247.26  computer systems involving intergovernmental funding; encourage 
247.27  cooperative efforts among state and local governments in 
247.28  developing intergovernmental information systems; present local 
247.29  government concerns to state government and state government 
247.30  concerns to local government with respect to intergovernmental 
247.31  information systems; develop and recommend standards and 
247.32  policies for intergovernmental information systems to the office 
247.33  of technology; foster the efficient use of available federal, 
247.34  state, local, and private resources for the development of 
247.35  intergovernmental systems; keep government agencies abreast of 
247.36  the state of the art in information systems; prepare guidelines 
248.1   for intergovernmental systems; assist the commissioner of 
248.2   administration in the development of cooperative contracts for 
248.3   the purchase of information system equipment and software; and 
248.4   assist the legislature by providing advice on intergovernmental 
248.5   information systems issues. 
248.6      Sec. 32.  Minnesota Statutes 1998, section 16B.42, 
248.7   subdivision 3, is amended to read: 
248.8      Subd. 3.  [OTHER DUTIES.] The intergovernmental 
248.9   informations systems advisory council shall (1) recommend to the 
248.10  commissioners of state departments, the legislative auditor, and 
248.11  the state auditor a method for the expeditious gathering and 
248.12  reporting of information and data between agencies and units of 
248.13  local government in accordance with cooperatively developed 
248.14  standards; (2) elect an executive committee, not to exceed seven 
248.15  members from its membership; (3) develop an annual plan, to 
248.16  include administration and evaluation of grants, in compliance 
248.17  with applicable rules; (4) provide technical information systems 
248.18  assistance or guidance to local governments for development, 
248.19  implementation, and modification of automated systems, including 
248.20  formation of consortiums for those systems; (5) appoint 
248.21  committees and task forces, which may include persons other than 
248.22  council members, to assist the council in carrying out its 
248.23  duties; (6) select an executive director to serve the council 
248.24  and may employ other employees it deems necessary, all of whom 
248.25  are in the classified service of the state civil service; and (7)
248.26  may contract for professional and other similar services on 
248.27  terms it deems desirable; and (8) work with the office of 
248.28  technology to ensure that information systems developed by state 
248.29  agencies that impact local government will be reviewed by the 
248.30  council. 
248.31     Sec. 33.  Minnesota Statutes 1998, section 16B.48, 
248.32  subdivision 4, is amended to read: 
248.33     Subd. 4.  [REIMBURSEMENTS.] Except as specifically provided 
248.34  otherwise by law, each agency shall reimburse intertechnologies 
248.35  and general services revolving funds for the cost of all 
248.36  services, supplies, materials, labor, and depreciation of 
249.1   equipment, including reasonable overhead costs, which the 
249.2   commissioner is authorized and directed to furnish an agency.  
249.3   The cost of all publications or other materials produced by the 
249.4   commissioner and financed from the general services revolving 
249.5   fund must include reasonable overhead costs.  The commissioner 
249.6   of administration shall report the rates to be charged for each 
249.7   revolving fund no later than July 1 each year to the chair of 
249.8   the committee or division in the senate and house of 
249.9   representatives with primary jurisdiction over the budget of the 
249.10  department of administration.  The commissioner of finance shall 
249.11  make appropriate transfers to the revolving funds described in 
249.12  this section when requested by the commissioner of 
249.13  administration.  The commissioner of administration may make 
249.14  allotments, encumbrances, and, with the approval of the 
249.15  commissioner of finance, disbursements in anticipation of such 
249.16  transfers.  In addition, the commissioner of administration, 
249.17  with the approval of the commissioner of finance, may require an 
249.18  agency to make advance payments to the revolving funds in this 
249.19  section sufficient to cover the agency's estimated obligation 
249.20  for a period of at least 60 days.  All reimbursements and other 
249.21  money received by the commissioner of administration under this 
249.22  section must be deposited in the appropriate revolving fund.  
249.23  Any earnings remaining in the fund established to account for 
249.24  the documents service prescribed by section 16B.51 at the end of 
249.25  each fiscal year not otherwise needed for present or future 
249.26  operations, as determined by the commissioners of administration 
249.27  and finance, must be transferred to the general fund.  
249.28     Sec. 34.  Minnesota Statutes 1998, section 16B.485, is 
249.29  amended to read: 
249.30     16B.485 [INTERFUND LOANS.] 
249.31     The commissioner may, with the approval of the commissioner 
249.32  of finance, make loans from an internal service or enterprise 
249.33  fund to another internal service or enterprise fund, and the 
249.34  amount necessary is appropriated from the fund that makes the 
249.35  loan.  The commissioner shall report the amount and purpose of 
249.36  the loan to the chair of the committee or division in the senate 
250.1   and house of representatives with primary jurisdiction over the 
250.2   budget of the department of administration.  The term of a loan 
250.3   made under this section must be not more than 24 months. 
250.4      Sec. 35.  Minnesota Statutes 1999 Supplement, section 
250.5   16B.616, subdivision 3, is amended to read: 
250.6      Subd. 3.  [SAFETY REQUIREMENTS.] In places of public 
250.7   accommodation using bleacher seating, all bleachers or bleacher 
250.8   open spaces over 30 55 inches above grade or the floor below, 
250.9   and all bleacher guardrails if any part of the guardrail is over 
250.10  55 inches above grade or the floor below must conform to the 
250.11  following safety requirements: 
250.12     (1) the open space between bleacher footboards, seats, and 
250.13  guardrails must not exceed four inches, unless approved safety 
250.14  nets are installed, except that bleachers already in existence 
250.15  as of August 1, 2001, with open spaces not exceeding nine 
250.16  inches, are exempt from the requirement of this clause; 
250.17     (2) bleachers must have vertical perimeter guardrails with 
250.18  no more than four-inch rail spacing between vertical rails or 
250.19  other approved guardrails that address climbability and are 
250.20  designed to prevent accidents; and 
250.21     (3) the state building official shall determine whether the 
250.22  safety nets and guardrail climbability meet the requirements of 
250.23  the alternate design section of the State Building Code.  All 
250.24  new bleachers manufactured, installed, sold, or distributed 
250.25  after January August 1, 2001, must comply with the State 
250.26  Building Code in effect and clauses (1), (2), and (3) this 
250.27  subdivision. 
250.28     Sec. 36.  Minnesota Statutes 1999 Supplement, section 
250.29  16B.616, subdivision 4, is amended to read: 
250.30     Subd. 4.  [ENFORCEMENT.] (a) A statutory or home rule 
250.31  charter city that is not covered by the code because of action 
250.32  taken under section 16B.72 or 16B.73 is responsible for 
250.33  enforcement in the city of the code's requirements for bleacher 
250.34  safety.  In all other areas where the code does not apply 
250.35  because of action taken under section 16B.72 or 16B.73, the 
250.36  county is responsible for enforcement of those requirements. 
251.1      (b) Municipalities that have not adopted the code may 
251.2   enforce the code requirements for bleacher safety by either 
251.3   entering into a joint powers agreement for enforcement with 
251.4   another municipality that has adopted the code or contracting 
251.5   for enforcement with a qualified and certified building official 
251.6   or state licensed design professional to enforce the code. 
251.7      (c) Municipalities, school districts, organizations, 
251.8   individuals, and other persons operating or owning places of 
251.9   public accommodation with bleachers that are subject to the 
251.10  safety requirements in subdivision 3 shall provide a signed 
251.11  certification of compliance to the commissioner by January 1, 
251.12  2001 2002.  The certification shall be prepared by a qualified 
251.13  and certified building official or state licensed design 
251.14  professional and shall certify that the bleachers have been 
251.15  inspected and are in compliance with the requirements of this 
251.16  section and are structurally sound.  For bleachers owned by a 
251.17  school district, the person the district designates to be 
251.18  responsible for buildings and grounds may make the certification.
251.19     Sec. 37.  Minnesota Statutes 1998, section 43A.38, 
251.20  subdivision 1, is amended to read: 
251.21     Subdivision 1.  [DEFINITIONS.] For the purpose of this 
251.22  section the following definitions shall apply: 
251.23     (a) "Business" means any corporation, partnership, 
251.24  proprietorship, firm, enterprise, franchise, association, 
251.25  organization, self-employed individual or any other legal entity 
251.26  which engages either in nonprofit or profit making activities. 
251.27     (b) "Confidential information" means any information 
251.28  obtained under government authority which has not become part of 
251.29  the body of public information and which, if released 
251.30  prematurely or in nonsummary form, may provide unfair economic 
251.31  advantage or adversely affect the competitive position of an 
251.32  individual or a business. 
251.33     (c) "Employee in the executive branch" means an employee as 
251.34  defined in section 43A.02, subdivision 21, and executive branch 
251.35  constitutional officers. 
251.36     (d) "Private interest" means any interest, including but 
252.1   not limited to a financial interest, which pertains to a person 
252.2   or business whereby the person or business would gain a benefit, 
252.3   privilege, exemption or advantage from the action of a state 
252.4   agency or employee that is not available to the general public. 
252.5      Sec. 38.  [43A.50] [PROPOSALS.] 
252.6      Subdivision 1.  [PROGRAM ESTABLISHMENT.] The commissioner 
252.7   shall establish and promote a program to solicit proposals from 
252.8   state employees and former state employees for ways to reduce 
252.9   the cost of operating state government or for ways of providing 
252.10  the state better or more efficient service.  The program must 
252.11  include potential for sharing savings with an employee, former 
252.12  employee, or group of current or former employees whose proposal 
252.13  results in a cost savings to the state.  For purposes of this 
252.14  section, state "employee" has the meaning defined in section 
252.15  43A.02, subdivision 21. 
252.16     Subd. 2.  [PROCESS.] (a) A state employee, former state 
252.17  employee, or a group of state employees or former state 
252.18  employees may submit a proposal to the commissioner for reducing 
252.19  the cost of operating state government or for providing the 
252.20  state better or more efficient service.  The commissioner may 
252.21  develop a recommended form for submission of proposals. 
252.22     (b) The commissioner must decide how to act on each 
252.23  proposal.  The commissioner must determine which proposals 
252.24  warrant consideration for award of shared savings payments.  In 
252.25  making a determination, the commissioner must consider: 
252.26     (1) the potential for significant, measurable savings; 
252.27     (2) the extent to which the proposal goes beyond common 
252.28  ideas for reducing expenditures; 
252.29     (3) the extent to which the proposal has the potential to 
252.30  reduce expenditures without reducing the quality or level of 
252.31  service that is contemplated by the law establishing the 
252.32  program; 
252.33     (4) the extent to which people affected by the service are 
252.34  likely to support the proposal, and the potential for including 
252.35  input from affected people in the implementation of the proposal.
252.36     (c) If the commissioner determines a proposal does not 
253.1   warrant consideration for a shared savings plan, the 
253.2   commissioner shall forward the proposal to the appropriate state 
253.3   agency for its review and comment.  If the commissioner 
253.4   determines a proposal warrants further consideration for shared 
253.5   savings payments, the commissioner shall seek review and 
253.6   comments from the appropriate state agency to further analyze 
253.7   the feasibility of the proposal and the extent to which the 
253.8   potential savings could be measured. 
253.9      Subd. 3.  [SHARED SAVINGS PLANS.] (a) An approved shared 
253.10  savings plan must contain the following elements: 
253.11     (1) a plan to reduce state government costs; 
253.12     (2) a method of documenting reduction in costs attributable 
253.13  to the plan; 
253.14     (3) an agreement that a specified percentage of documented 
253.15  net cost savings over a prescribed period of time will be 
253.16  shared, in the form of a one-time payment, with employees or 
253.17  former employees who suggested the plan. 
253.18     (b) In approving a shared savings plan, the commissioner 
253.19  shall use the following guidelines in determining the amount of 
253.20  net savings proposed to be shared: 
253.21  Projected Annual Savings     Amount to be shared
253.22  $0 to $1,000              20 percent, not to exceed $150
253.23  $1,001 to $10,000         15 percent, not to exceed $1,000
253.24  $10,001 to $100,000       10 percent, not to exceed $7,500
253.25  $100,001 to $500,000      7.5 percent, not to exceed $25,000
253.26  $500,001 to $1 million    5 percent, not to exceed $37,500
253.27  Over $1 million           3.75 percent, not to exceed $100,000
253.28     The percentage to be shared applies only to the first full 
253.29  year of net savings after the proposal has been fully 
253.30  implemented. 
253.31     (c) A state employee who is represented by an exclusive 
253.32  representative may not receive payments under a shared savings 
253.33  plan except as provided in a collective bargaining agreement. 
253.34     Subd. 4.  [SHARED SAVINGS PAYMENTS.] (a) Shared savings 
253.35  payments may be made only when the commissioner determines that 
253.36  a proposal has been implemented and that the projected savings 
254.1   under the shared savings plan have been realized.  This 
254.2   determination, and the calculation of the amount of savings to 
254.3   be shared, is at the sole discretion of the commissioner. 
254.4      (b) Shared savings payments must be made from funds 
254.5   appropriated for the operation of the agency program that is the 
254.6   subject of the shared savings plan.  Shared savings payments 
254.7   under this section are a permissible use of an appropriation for 
254.8   operation of an agency program.  
254.9      (c) Shared savings payments may not be made to persons who 
254.10  are covered by the managerial plan established in section 
254.11  43A.18, subdivision 3, or the excluded administrators plan 
254.12  established in section 43A.18, subdivision 3a, unless the 
254.13  commissioner determines that the proposal involves matters that 
254.14  are outside the scope of the manager's normal job duties.  A 
254.15  legislator, constitutional officer, judge, or commissioner of an 
254.16  agency listed in section 15.06, subdivision 1, may not make a 
254.17  shared savings proposal and may not receive shared savings 
254.18  payments, but persons who formerly served in these positions may 
254.19  make proposals and receive shared savings payments. 
254.20     Subd. 5.  [AGENCY COOPERATION.] Upon request of the 
254.21  commissioner, a state agency must cooperate with the 
254.22  commissioner in administration of the suggestion and shared 
254.23  savings program.  Requested cooperation may include: 
254.24     (1) assisting the commissioner in analyzing the merits of a 
254.25  suggestion; 
254.26     (2) explaining to the commissioner how a suggestion has 
254.27  been implemented, or why it is not feasible or desirable to 
254.28  implement a suggestion, whether or not the suggestion results in 
254.29  a shared savings plan; and 
254.30     (3) assisting the commissioner in the design and 
254.31  implementation of a shared savings plan. 
254.32     Subd. 6.  [DATA PRACTICES.] The name of an employee or 
254.33  former employee submitting a suggestion to the commissioner is 
254.34  private data on individuals.  However, the person's name becomes 
254.35  public data when a shared savings plan is approved by the 
254.36  commissioner.  The commissioner must notify affected people who 
255.1   wish to participate in a shared savings plan that their names 
255.2   will become public if the plan is approved. 
255.3      Subd. 7.  [REPORT.] The commissioner shall report annually 
255.4   to the legislature on the implementation of this section.  The 
255.5   reports must summarize the proposals submitted, the 
255.6   commissioner's action on each proposal, and the affected state 
255.7   agency's action on each proposal. 
255.8      Sec. 39.  Minnesota Statutes 1998, section 85A.02, 
255.9   subdivision 5a, is amended to read: 
255.10     Subd. 5a.  [EMPLOYEES.] (a) The board shall appoint an 
255.11  administrator who shall serve as the executive secretary and 
255.12  principal administrative officer of the board and, subject to 
255.13  its approval, shall operate the Minnesota zoological garden and 
255.14  enforce all rules and policy decisions of the board.  The 
255.15  administrator must be chosen solely on the basis of training, 
255.16  experience, and other qualifications appropriate to the field of 
255.17  zoo management and development.  The board shall set the salary 
255.18  of the administrator.  The salary of the administrator may not 
255.19  exceed 85 percent of the salary of the governor; however, any 
255.20  amount exceeding 65 percent of the salary of the governor must 
255.21  consist of nonstate funds.  The administrator shall perform 
255.22  duties assigned by the board and serves in the unclassified 
255.23  service at the pleasure of the board.  The administrator, with 
255.24  the participation of the board, shall appoint a development 
255.25  director in the unclassified service or contract with a 
255.26  development consultant to establish mechanisms to foster 
255.27  community participation in and community support for the 
255.28  Minnesota zoological garden.  The board may employ other 
255.29  necessary professional, technical, and clerical personnel.  
255.30  Employees of the zoological garden are eligible for salary 
255.31  supplement in the same manner as employees of other state 
255.32  agencies.  The commissioner of finance shall determine the 
255.33  amount of salary supplement based on available funds. 
255.34     (b) The board may contract with individuals to perform 
255.35  professional services and may contract for the purchases of 
255.36  necessary species exhibits, supplies, services, and equipment. 
256.1   The board may also contract for the construction and operation 
256.2   of entertainment facilities on the zoo grounds that are not 
256.3   directly connected to ordinary functions of the zoological 
256.4   garden.  The zoo board may not enter into a final agreement for 
256.5   construction of an entertainment facility that is not directly 
256.6   connected to the ordinary functions of the zoo until after final 
256.7   construction plans have been submitted to the chairs of the 
256.8   senate finance and house appropriations committees for their 
256.9   recommendations. 
256.10     The zoo may not contract for entertainment during the 
256.11  period of the Minnesota state fair that would directly compete 
256.12  with entertainment at the Minnesota state fair. 
256.13     Sec. 40.  Minnesota Statutes 1998, section 119A.05, 
256.14  subdivision 1, is amended to read: 
256.15     Subdivision 1.  [AUTHORITY FOR FUNDING CONSOLIDATION.] 
256.16  Notwithstanding existing law governing allocation of funds by 
256.17  local grantees, mode of service delivery, grantee planning and 
256.18  reporting requirements, and other procedural requirements for 
256.19  the grant programs identified in this section, a local grantee 
256.20  may elect to consolidate all or a portion of funding received 
256.21  from the programs under subdivision 5 in a collaboration funding 
256.22  plan, if all conditions specified in this section are 
256.23  satisfied.  County boards, school boards, or governing boards of 
256.24  other grantees may elect not to consolidate funding for a 
256.25  program.  
256.26     For grantees electing consolidation, the commissioner may, 
256.27  with the approval of the board of government innovation and 
256.28  cooperation, waive all provisions of rules inconsistent with the 
256.29  intent of this section.  This waiver authority does not apply to 
256.30  rules governing client protections, due process, or inclusion of 
256.31  clients, parents, cultures, and ethnicities in decision making.  
256.32  Funding to a local grantee must be determined according to the 
256.33  funding formulas or allocation rules governing the individual 
256.34  programs listed in section 119A.04.  
256.35     Sec. 41.  Minnesota Statutes 1999 Supplement, section 
256.36  125B.21, subdivision 1, is amended to read: 
257.1      Subdivision 1.  [STATE COUNCIL MEMBERSHIP.] The membership 
257.2   of the Minnesota education telecommunications council 
257.3   established in Laws 1993, First Special Session chapter 2, is 
257.4   expanded to include representatives of elementary and secondary 
257.5   education.  The membership shall consist of three 
257.6   representatives from the University of Minnesota; three 
257.7   representatives of the board of trustees for Minnesota state 
257.8   colleges and universities; one representative of the higher 
257.9   education services offices; one representative appointed by the 
257.10  private college council; one representative selected by the 
257.11  commissioner of administration; eight representatives selected 
257.12  by the commissioner of children, families, and learning, at 
257.13  least one of which must come from each of the six higher 
257.14  education telecommunication regions; a representative from the 
257.15  office of technology; two members each from the senate and the 
257.16  house of representatives selected by the subcommittee on 
257.17  committees of the committee on rules and administration of the 
257.18  senate and the speaker of the house, one member from each body 
257.19  must be a member of the minority party; and three 
257.20  representatives of libraries, one representing regional public 
257.21  libraries, one representing multitype libraries, and one 
257.22  representing community libraries, selected by the governor.  The 
257.23  council shall: 
257.24     (1) develop a statewide vision and plans for the use of 
257.25  distance learning technologies and provide leadership in 
257.26  implementing the use of such technologies; 
257.27     (2) recommend educational policy relating to 
257.28  telecommunications; 
257.29     (3) determine priorities for use; 
257.30     (4) oversee coordination of networks for post-secondary 
257.31  campuses, kindergarten through grade 12 education, and regional 
257.32  and community libraries; 
257.33     (5) review application for telecommunications access grants 
257.34  under Minnesota Statutes, section 125B.20, and recommend to the 
257.35  department grants for funding; 
257.36     (6) determine priorities for grant funding proposals; and 
258.1      (7) work with the information policy office to ensure 
258.2   consistency of the operation of the learning network with 
258.3   standards of an open system architecture. 
258.4      The council shall consult with representatives of the 
258.5   telecommunication industry in implementing this section. 
258.6      Sec. 42.  Minnesota Statutes 1998, section 138.17, 
258.7   subdivision 10, is amended to read: 
258.8      Subd. 10.  [OPTICAL IMAGE STORAGE.] (a) Any government 
258.9   record, including a record with archival value, may be 
258.10  transferred to and stored on a nonerasable optical imaging 
258.11  system and retained only in that format, if the requirements of 
258.12  this section are met. 
258.13     (b) All documents preserved on nonerasable optical imaging 
258.14  systems must meet standards for permanent records specified in 
258.15  section 15.17, subdivision 1, and must be kept available for 
258.16  retrieval so long as any law requires.  Standards under section 
258.17  15.17, subdivision 1, may not be inconsistent with efficient use 
258.18  of optical imaging systems. 
258.19     (c) A government entity storing a record on an optical 
258.20  imaging system shall create and store a backup copy of the 
258.21  record at a site other than the site where the original is 
258.22  kept.  The government entity shall retain the backup copy and 
258.23  operable retrieval equipment so long as any law requires the 
258.24  original to be retained.  The backup copy required by this 
258.25  paragraph must be preserved either (1) on a nonerasable optical 
258.26  imaging system; or (2) by another reproduction method approved 
258.27  by the records disposition panel. 
258.28     (d) All contracts for the purchase of optical imaging 
258.29  systems used pursuant to this chapter shall contain terms that 
258.30  insure continued retrievability of the optically stored images 
258.31  and conform to any guidelines that may be established by the 
258.32  office of technology of the department of administration for 
258.33  perpetuation of access to stored data. 
258.34     Sec. 43.  Minnesota Statutes 1999 Supplement, section 
258.35  179A.04, subdivision 3, is amended to read: 
258.36     Subd. 3.  [OTHER DUTIES.] (a) The commissioner shall:  
259.1      (1) provide mediation services as requested by the parties 
259.2   until the parties reach agreement, and may continue to assist 
259.3   parties after they have submitted their final positions for 
259.4   interest arbitration; 
259.5      (2) issue notices, subpoenas, and orders required by law to 
259.6   carry out duties under sections 179A.01 to 179A.25; 
259.7      (3) assist the parties in formulating petitions, notices, 
259.8   and other papers required to be filed with the commissioner; 
259.9      (4) conduct elections; 
259.10     (5) certify the final results of any election or other 
259.11  voting procedure conducted under sections 179A.01 to 179A.25; 
259.12     (6) adopt rules relating to the administration of this 
259.13  chapter and the conduct of hearings and elections; 
259.14     (7) receive, catalogue, file, and make available to the 
259.15  public all decisions of arbitrators and panels authorized by 
259.16  sections 179A.01 to 179A.25, all grievance arbitration 
259.17  decisions, and the commissioner's orders and decisions; 
259.18     (8) adopt, subject to chapter 14, a grievance procedure 
259.19  that fulfills the purposes of section 179A.20, subdivision 4, 
259.20  does not provide for the services of the bureau of mediation 
259.21  services and that is available to any employee in a unit not 
259.22  covered by a contractual grievance procedure; 
259.23     (9) maintain a schedule of state employee classifications 
259.24  or positions assigned to each unit established in section 
259.25  179A.10, subdivision 2; 
259.26     (10) collect fees established by rule for empanelment of 
259.27  persons on the labor arbitrator roster maintained by the 
259.28  commissioner or in conjunction with fair share fee challenges; 
259.29     (11) provide technical support and assistance to voluntary 
259.30  joint labor-management committees established for the purpose of 
259.31  improving relationships between exclusive representatives and 
259.32  employers, at the discretion of the commissioner; 
259.33     (12) provide to the parties a list of arbitrators as 
259.34  required by section 179A.16, subdivision 4; and 
259.35     (13) maintain a list of up to 60 arbitrators for referral 
259.36  to employers and exclusive representatives for the resolution of 
260.1   grievance or interest disputes.  Each person on the list must be 
260.2   knowledgeable about collective bargaining and labor relations in 
260.3   the public sector, well versed in state and federal labor law, 
260.4   and experienced in and knowledgeable about labor arbitration.  
260.5   To the extent practicable, the commissioner shall appoint 
260.6   members to the list so that the list is gender and racially 
260.7   diverse. 
260.8      (b) From the names provided by representative 
260.9   organizations, the commissioner shall maintain a list of 
260.10  arbitrators to conduct teacher discharge or termination hearings 
260.11  according to section 122A.40 or 122A.41.  The persons on the 
260.12  list must meet at least one of the following requirements: 
260.13     (1) be a former or retired judge; 
260.14     (2) be a qualified arbitrator on the list maintained by the 
260.15  bureau; 
260.16     (3) be a present, former, or retired administrative law 
260.17  judge; or 
260.18     (4) be a neutral individual who is learned in the law and 
260.19  admitted to practice in Minnesota, who is qualified by 
260.20  experience to conduct these hearings, and who is without bias to 
260.21  either party. 
260.22     Each year, education Minnesota shall provide a list of up 
260.23  to 14 names and the Minnesota school boards association a list 
260.24  of up to 14 names of persons to be on the list.  The 
260.25  commissioner may adopt rules about maintaining and updating the 
260.26  list. 
260.27     Sec. 44.  Minnesota Statutes 1998, section 179A.18, 
260.28  subdivision 1, is amended to read: 
260.29     Subdivision 1.  [WHEN AUTHORIZED.] Essential employees may 
260.30  not strike.  Except as otherwise provided by subdivision 2 and 
260.31  section 179A.17, subdivision 2, other public employees may 
260.32  strike only under the following circumstances:  
260.33     (1)(a) the collective bargaining agreement between their 
260.34  exclusive representative and their employer has expired or, if 
260.35  there is no agreement, impasse under section 179A.17, 
260.36  subdivision 2, has occurred; and 
261.1      (b) the exclusive representative and the employer have 
261.2   participated in mediation over a period of at least 45 days, 
261.3   provided that the mediation period established by section 
261.4   179A.17, subdivision 2, governs negotiations under that section, 
261.5   and provided that for the purposes of this subclause the 
261.6   mediation period commences on the day following receipt by the 
261.7   commissioner of a request for mediation; or 
261.8      (2) the employer violates section 179A.13, subdivision 2, 
261.9   clause (9); or 
261.10     (3) in the case of state employees, 
261.11     (a) the legislative coordinating commission on employee 
261.12  relations has rejected a negotiated agreement or arbitration 
261.13  decision during a legislative interim; or 
261.14     (b) the entire legislature rejects or fails to ratify a 
261.15  negotiated agreement or arbitration decision, which has been 
261.16  approved during a legislative interim by the legislative 
261.17  coordinating commission on employee relations, at a special 
261.18  legislative session called to consider it, or at its next 
261.19  regular legislative session, whichever occurs first.  
261.20     Sec. 45.  Minnesota Statutes 1998, section 181.932, 
261.21  subdivision 1, is amended to read: 
261.22     Subdivision 1.  [PROHIBITED ACTION.] An employer shall not 
261.23  discharge, discipline, threaten, otherwise discriminate against, 
261.24  or penalize an employee regarding the employee's compensation, 
261.25  terms, conditions, location, or privileges of employment because:
261.26     (a) the employee, or a person acting on behalf of an 
261.27  employee, in good faith, reports a violation or suspected 
261.28  violation of any federal or state law or rule adopted pursuant 
261.29  to law to an employer or to any governmental body or law 
261.30  enforcement official; 
261.31     (b) the employee is requested by a public body or office to 
261.32  participate in an investigation, hearing, inquiry; 
261.33     (c) the employee refuses an employer's order to perform an 
261.34  action that the employee has an objective basis in fact to 
261.35  believe violates any state or federal law or rule or regulation 
261.36  adopted pursuant to law, and the employee informs the employer 
262.1   that the order is being refused for that reason; or 
262.2      (d) the employee, in good faith, reports a situation in 
262.3   which the quality of health care services provided by a health 
262.4   care facility, organization, or health care provider violates a 
262.5   standard established by federal or state law or a professionally 
262.6   recognized national clinical or ethical standard and potentially 
262.7   places the public at risk of harm; or 
262.8      (e) a state employee or former state employee submits a 
262.9   proposal to the commissioner of employee relations under section 
262.10  43A.50. 
262.11     Sec. 46.  Minnesota Statutes 1999 Supplement, section 
262.12  181.932, subdivision 2, is amended to read: 
262.13     Subd. 2.  [DISCLOSURE OF IDENTITY.] The identity of any 
262.14  employee making a report to a governmental body or law 
262.15  enforcement official under subdivision 1, clause (a) or (d), is 
262.16  private data on individuals as defined in section 13.02.  The 
262.17  identity of a state employee or former state employee submitting 
262.18  a proposal under subdivision 1, clause (e), is private data on 
262.19  individuals to the extent provided in section 43A.50.  The 
262.20  identity of an employee providing information under subdivision 
262.21  1, clause (b), is private data on individuals if: 
262.22     (1) the employee would not have provided the information 
262.23  without an assurance that the employee's identity would remain 
262.24  private, because of a concern that the employer would commit an 
262.25  action prohibited under subdivision 1 or that the employee would 
262.26  be subject to some other form of retaliation; or 
262.27     (2) the state agency, statewide system, or political 
262.28  subdivision reasonably believes that the employee would not have 
262.29  provided the data because of that concern.  
262.30     If the disclosure is necessary for prosecution, the 
262.31  identity of the employee may be disclosed but the employee shall 
262.32  be informed prior to the disclosure. 
262.33     Sec. 47.  Minnesota Statutes 1998, section 193.143, is 
262.34  amended to read: 
262.35     193.143 [STATE ARMORY BUILDING COMMISSION, POWERS.] 
262.36     Such corporation, subject to the conditions and limitations 
263.1   prescribed in sections 193.141 to 193.149, shall possess all the 
263.2   powers of a body corporate necessary and convenient to 
263.3   accomplish the objectives and perform the duties prescribed by 
263.4   sections 193.141 to 193.149, including the following, which 
263.5   shall not be construed as a limitation upon the general powers 
263.6   hereby conferred: 
263.7      (1) To acquire by lease, purchase, gift, or condemnation 
263.8   proceedings all necessary right, title, and interest in and to 
263.9   the lands required for a site for a new armory and all other 
263.10  real or personal property required for the purposes contemplated 
263.11  by the Military Code and to hold and dispose of the same, 
263.12  subject to the conditions and limitations herein prescribed; 
263.13  provided that any such real or personal property or interest 
263.14  therein may be so acquired or accepted subject to any condition 
263.15  which may be imposed thereon by the grantor or donor and agreed 
263.16  to by such corporation not inconsistent with the proper use of 
263.17  such property by the state for armory or military purposes as 
263.18  herein provided. 
263.19     (2) To exercise the right of eminent domain in the manner 
263.20  provided by chapter 117, for the purpose of acquiring any 
263.21  property which such corporation is herein authorized to acquire 
263.22  by condemnation; provided, that the corporation may take 
263.23  possession of any such property so to be acquired at any time 
263.24  after the filing of the petition describing the same in 
263.25  condemnation proceedings; provided further, that this shall not 
263.26  preclude the corporation from abandoning the condemnation of any 
263.27  such property in any case where possession thereof has not been 
263.28  taken. 
263.29     (3) To construct and equip new armories as authorized 
263.30  herein; to pay therefor out of the funds obtained as hereinafter 
263.31  provided and to hold, manage, and dispose of such armory, 
263.32  equipment, and site as hereinafter provided.  The total amount 
263.33  of bonds issued on account of such armories shall not exceed the 
263.34  amount of the cost thereof; provided also, that the total bonded 
263.35  indebtedness of the commission shall not at any time exceed the 
263.36  aggregate sum of $7,000,000 $15,000,000. 
264.1      (4) To enter into partnerships with federal and state 
264.2   governments and to match federal and local funds, when available.
264.3      (5) To sue and be sued. 
264.4      (5) (6) To contract and be contracted with in any matter 
264.5   connected with any purpose or activity within the powers of such 
264.6   corporations as herein specified; provided, that no officer or 
264.7   member of such corporation shall be personally interested, 
264.8   directly or indirectly, in any contract in which such 
264.9   corporation is interested. 
264.10     (6) (7) To employ any and all professional and 
264.11  nonprofessional services and all agents, employees, workers, and 
264.12  servants necessary and proper for the purposes and activities of 
264.13  such corporation as authorized or contemplated herein and to pay 
264.14  for the same out of any portion of the income of the corporation 
264.15  available for such purposes or activities.  The officers and 
264.16  members of such corporation shall not receive any compensation 
264.17  therefrom, but may receive their reasonable and necessary 
264.18  expenses incurred in connection with the performance of their 
264.19  duties; provided however, that whenever the duties of any member 
264.20  of the commission require full time and attention the commission 
264.21  may compensate the member therefor at such rates as it may 
264.22  determine. 
264.23     (7) (8) To borrow money and issue bonds for the purposes 
264.24  and in the manner and within the limitations herein specified, 
264.25  and to pledge any and all property and income of such 
264.26  corporation acquired or received as herein provided to secure 
264.27  the payment of such bonds, subject to the provisions and 
264.28  limitations herein prescribed, and to redeem any such bonds if 
264.29  so provided therein or in the mortgage or trust deed 
264.30  accompanying the same. 
264.31     (8) (9) To use for the following purposes any available 
264.32  money received by such corporation from any source as herein 
264.33  provided in excess of those required for the payment of the cost 
264.34  of such armory and for the payment of any bonds issued by the 
264.35  corporation and interest thereon according to the terms of such 
264.36  bonds or of any mortgage or trust deed accompanying the same: 
265.1      (a) (i) To pay the necessary incidental expenses of 
265.2   carrying on the business and activities of the corporation as 
265.3   herein authorized; 
265.4      (b) (ii) To pay the cost of operating, maintaining, 
265.5   repairing, and improving such new armories; 
265.6      (c) (iii) If any further excess moneys remain, to purchase 
265.7   upon the open market at or above or below the face or par value 
265.8   thereof any bonds issued by the corporation as herein 
265.9   authorized; provided, that any bonds so purchased shall 
265.10  thereupon be canceled. 
265.11     (9) (10) To adopt and use a corporate seal. 
265.12     (10) (11) To adopt all needful bylaws and rules for the 
265.13  conduct of business and affairs of such corporation and for the 
265.14  management and use of all armories while under the ownership and 
265.15  control of such corporation as herein provided, not inconsistent 
265.16  with the use of such armory for armory or military purposes. 
265.17     (11) (12) Such corporation shall issue no stock. 
265.18     (12) (13) No officer or member of such corporation shall 
265.19  have any personal share or interest in any funds or property of 
265.20  the corporation or be subject to any personal liability by 
265.21  reason of any liability of the corporation. 
265.22     (13) (14) The Minnesota state armory building commission 
265.23  created under section 193.142 shall keep all money and credits 
265.24  received by it as a single fund, to be designated as the 
265.25  "Minnesota state armory building commission fund," with separate 
265.26  accounts for each armory; and the commission may make transfers 
265.27  of money from funds appertaining to any armory under its control 
265.28  for use for any other such armory; provided such transfers shall 
265.29  be made only from money on hand, from time to time, in excess of 
265.30  the amounts required to meet payments of interest or principal 
265.31  on bonds or other obligations appertaining to the armory to 
265.32  which such funds pertain and only when necessary to pay expenses 
265.33  of construction, operation, maintenance, and debt service of 
265.34  such other armory; provided further, no such transfer of any 
265.35  money paid for the support of any armory by the municipality in 
265.36  which such armory is situated shall be made by the commission. 
266.1      (14) (15) The corporation created under section 193.142 may 
266.2   designate one or more state or national banks as depositories of 
266.3   its funds, and may provide, upon such conditions as the 
266.4   corporation may determine, that the treasurer of the corporation 
266.5   shall be exempt from personal liability for loss of funds 
266.6   deposited in any such depository due to the insolvency or other 
266.7   acts or omissions of such depository. 
266.8      (15) (16) The governor is empowered to apply for grants of 
266.9   money, equipment, and materials which may be made available to 
266.10  the states by the federal government for leasing, building, and 
266.11  equipping armories for the use of the military forces of the 
266.12  state which are reserve components of the armed forces of the 
266.13  United States, whenever the governor is satisfied that the 
266.14  conditions under which such grants are offered by the federal 
266.15  government, are for the best interests of the state and are not 
266.16  inconsistent with the laws of the state relating to armories, 
266.17  and to accept such grants in the name of the state.  The 
266.18  Minnesota state armory building commission is designated as the 
266.19  agency of the state to receive such grants and to use them for 
266.20  armory purposes as prescribed in this chapter, and by federal 
266.21  laws, and regulations not inconsistent therewith. 
266.22     Sec. 48.  Minnesota Statutes 1998, section 221.173, is 
266.23  amended to read: 
266.24     221.173 [ELECTRONIC SIGNATURE.] 
266.25     (a) The commissioner may accept in lieu of a required 
266.26  document completed on paper, an electronically transmitted 
266.27  document authenticated by an electronic signature.  
266.28     (b) The commissioner shall consult with the office of 
266.29  technology, which shall provide advice and assistance in 
266.30  establishing criteria and standards for authentication of 
266.31  electronic signatures and establishing to a reasonable certainty 
266.32  the validity, security, and linkage of a specific, unaltered, 
266.33  electronically transmitted document, its unforged signature, and 
266.34  its authorized signer.  
266.35     (c) The commissioner may determine the technology or system 
266.36  to be used, which may include a private key/public key system, 
267.1   an encrypted or cryptology-based system, a pen-based, on-screen 
267.2   signature system that captures and verifies an autograph and 
267.3   links it to a specific document, or other system or technology 
267.4   or combination of systems.  
267.5      (d) (c) To the extent consistent with this section, laws 
267.6   and rules pertaining to paper-based documents also pertain to 
267.7   electronically transmitted documents. 
267.8      Sec. 49.  Minnesota Statutes 1998, section 256.9753, 
267.9   subdivision 3, is amended to read: 
267.10     Subd. 3.  [EXPENDITURES.] The board shall consult with the 
267.11  office of citizenship and volunteer services prior to expending 
267.12  money available for the retired senior volunteer programs.  
267.13  Expenditures shall be made (1) to strengthen and expand existing 
267.14  retired senior volunteer programs, and (2) to encourage the 
267.15  development of new programs in areas in the state where these 
267.16  programs do not exist.  Grants shall be made consistent with 
267.17  applicable federal guidelines. 
267.18     Sec. 50.  Minnesota Statutes 1998, section 349A.02, 
267.19  subdivision 1, is amended to read: 
267.20     Subdivision 1.  [DIRECTOR.] A state lottery is established 
267.21  under the supervision and control of the director of the state 
267.22  lottery appointed by the governor with the advice and consent of 
267.23  the senate.  The director must be qualified by experience and 
267.24  training in the operation of a lottery to supervise the 
267.25  lottery.  The director serves in the unclassified service.  The 
267.26  annual salary rate authorized for the director is equal to 85 75 
267.27  percent of the salary rate prescribed for the governor. 
267.28     Sec. 51.  Minnesota Statutes 1998, section 422A.101, 
267.29  subdivision 3, is amended to read: 
267.30     Subd. 3.  [STATE CONTRIBUTIONS.] (a) Subject to the 
267.31  limitation set forth in paragraph (c), the state shall pay to 
267.32  the Minneapolis employees retirement fund annually an amount 
267.33  equal to the amount calculated under paragraph (b). 
267.34     (b) The payment amount is an amount equal to the financial 
267.35  requirements of the Minneapolis employees retirement fund 
267.36  reported in the actuarial valuation of the fund prepared by the 
268.1   commission-retained actuary pursuant to section 356.215 for the 
268.2   most recent year but based on a target date for full 
268.3   amortization of the unfunded actuarial accrued liabilities by 
268.4   June 30, 2020, less the amount of employee contributions 
268.5   required pursuant to section 422A.10, and the amount of employer 
268.6   contributions required pursuant to subdivisions 1a, 2, and 2a.  
268.7   Payments shall be made in four equal installments, occurring on 
268.8   March 15, July 15, September 15, and November 15 annually.  
268.9      (c) The annual state contribution under this subdivision 
268.10  may not exceed $10,455,000 through fiscal year 1998 and 
268.11  $9,000,000 beginning in fiscal year 1999, plus the cost of the 
268.12  annual supplemental benefit determined under section 356.865. 
268.13     (d) If the amount determined under paragraph (b) exceeds 
268.14  $11,910,000, the excess must be allocated to and paid to the 
268.15  fund by the employers identified in subdivisions 1a and 2, other 
268.16  than units of metropolitan government.  Each employer's share of 
268.17  the excess is proportionate to the employer's share of the 
268.18  fund's unfunded actuarial accrued liability as disclosed in the 
268.19  annual actuarial valuation prepared by the actuary retained by 
268.20  the legislative commission on pensions and retirement compared 
268.21  to the total unfunded actuarial accrued liability attributed to 
268.22  all employers identified in subdivisions 1a and 2, other than 
268.23  units of metropolitan government.  Payments must be made in 
268.24  equal installments as set forth in paragraph (b). 
268.25     Sec. 52.  Minnesota Statutes 1998, section 471.345, is 
268.26  amended by adding a subdivision to read: 
268.27     Subd. 15.  [DESIGN-BUILD PROHIBITION.] A municipality may 
268.28  not use a design-build method of project development and 
268.29  construction.  For purposes of this subdivision, "design-build 
268.30  method" means a project delivery system in which a single 
268.31  contractor is responsible for both the design and construction 
268.32  of the project and in which the design and construction are bid 
268.33  together. 
268.34     Sec. 53.  [473.1296] [LIMIT.] 
268.35     (a) The metropolitan council may not issue bonds to provide 
268.36  money for a project estimated to cost more than $5,000,000 
269.1   unless a cost-benefit analysis has been completed and shows a 
269.2   positive benefit to the public.  
269.3      (b) All cost-benefit analysis documents under this section, 
269.4   including preliminary drafts and notes, are public data. 
269.5      (c) If a cost-benefit analysis does not show a positive 
269.6   benefit to the public, the metropolitan council may issue bonds 
269.7   for the project if a cost-effectiveness study has been done that 
269.8   shows a proposed project is the most effective way to provide a 
269.9   necessary public good. 
269.10     (d) This section does not apply to park projects or to 
269.11  projects that are in response to a natural disaster if an 
269.12  emergency has been declared by the governor. 
269.13     Sec. 54.  Minnesota Statutes 1999 Supplement, section 
269.14  473.3993, subdivision 3, is amended to read: 
269.15     Subd. 3.  [FINAL DESIGN PLAN.] (a) "Final design plan" 
269.16  means a light rail transit plan that includes the items in the 
269.17  preliminary design plan and the preliminary engineering plan for 
269.18  the facilities proposed but with greater detail and specificity 
269.19  needed for construction.  The final design plan must include, at 
269.20  a minimum:  
269.21     (1) final plans for the physical design of facilities, 
269.22  including the right-of-way definition; environmental impacts and 
269.23  mitigation measures; intermodal coordination with bus operations 
269.24  and routes; and civil engineering plans for vehicles, track, 
269.25  stations, parking, and access, including handicapped access; and 
269.26     (2) final plans for civil engineering for electrification, 
269.27  communication, and other similar facilities; operational rules, 
269.28  procedures, and strategies; capital costs; ridership; operating 
269.29  costs and revenues, and sources of funds for operating 
269.30  subsidies; financing for construction and operation; an 
269.31  implementation method; and other similar matters.  
269.32     The final design plan must be stated with sufficient 
269.33  particularity and detail to allow the proposer to begin the 
269.34  acquisition and construction of operable facilities.  If a 
269.35  design-build implementation method is proposed, instead of civil 
269.36  engineering plans the final design plan must state detailed 
270.1   design criteria and performance standards for the facilities. 
270.2      The commissioner of transportation may use a design-build 
270.3   method of project development and construction for light rail 
270.4   transit.  Notwithstanding any law to the contrary, the 
270.5   commissioner may award a design-build contract on the basis of 
270.6   requests for proposals or requests for qualifications without 
270.7   bids.  "Design-build method of project development and 
270.8   construction" means a project delivery system in which a single 
270.9   contractor is responsible for both the design and construction 
270.10  of the project and bids the design and construction together. 
270.11     (b) Notwithstanding other law, chapters 16B and 16C apply 
270.12  to project development and construction for light rail transit. 
270.13     Sec. 55.  Laws 1999, chapter 250, article 1, section 11, is 
270.14  amended to read: 
270.15  Sec. 11.  OFFICE OF STRATEGIC 
270.16  AND LONG-RANGE PLANNING                6,891,000      4,417,000
270.17  $100,000 the first year is to integrate 
270.18  the office's information technology and 
270.19  is available until June 30, 2003.  The 
270.20  director shall report on the progress 
270.21  of the unit to the chairs of the 
270.22  legislative committees responsible for 
270.23  this budget item by January 15, 2000, 
270.24  2001, and 2002. 
270.25  $1,600,000 the first year is for a 
270.26  generic environmental impact statement 
270.27  on animal agriculture. 
270.28  $200,000 the first year is to perform 
270.29  program evaluations of agencies in the 
270.30  executive branch. 
270.31  The program evaluation division will 
270.32  report to the legislature by December 
270.33  1, 2000, ways to reduce state 
270.34  government expenditures by five to ten 
270.35  percent. 
270.36  $100,000 the first year is to provide 
270.37  administrative support to 
270.38  community-based planning efforts. 
270.39  $150,000 the first year is for a grant 
270.40  of $50,000 to the southwest regional 
270.41  development commission for the 
270.42  continuation of the pilot program and 
270.43  two additional grants of $50,000 each 
270.44  to regional development commissions or, 
270.45  in regions not served by regional 
270.46  development commissions, to regional 
270.47  organizations selected by the director 
270.48  of strategic and long-range planning, 
270.49  to support planning work on behalf of 
270.50  local units of government.  The 
270.51  planning work shall include, but need 
271.1   not be limited to:  
271.2   (1) development of local zoning 
271.3   ordinances; 
271.4   (2) land use plans; 
271.5   (3) community or economic development 
271.6   plans; 
271.7   (4) transportation and transit plans; 
271.8   (5) solid waste management plans; 
271.9   (6) wastewater management plans; 
271.10  (7) workforce development plans; 
271.11  (8) housing development plans and/or 
271.12  market analysis; 
271.13  (9) rural health service plans; 
271.14  (10) natural resources management 
271.15  plans; or 
271.16  (11) development of geographical 
271.17  information systems database to serve a 
271.18  region's needs, including hardware and 
271.19  software purchases and related labor 
271.20  costs. 
271.21  $200,000 the first year is to prepare 
271.22  the generic environmental impact 
271.23  statement on urban development required 
271.24  by section 108.  Any unencumbered 
271.25  balance remaining in the first year 
271.26  does not cancel and is available for 
271.27  the second year of the biennium. 
271.28  $24,000 the first year is for the 
271.29  southwest Minnesota wind monitoring 
271.30  project. 
271.31  $100,000 the first year is for a grant 
271.32  to the city of Mankato to complete the 
271.33  Mankato area growth management and 
271.34  planning study, phase 2.  The 
271.35  appropriation is available until June 
271.36  30, 2002.  The appropriation must be 
271.37  matched by an in-kind donation of 
271.38  $100,000 in administrative, technical, 
271.39  and higher educational internship 
271.40  support and supervision.  The value of 
271.41  the in-kind donations must be 
271.42  determined by the commissioner of 
271.43  finance. 
271.44  The city shall serve as fiscal agent to 
271.45  complete the study under the 1997 
271.46  regional planning joint powers 
271.47  agreement among the cities of Mankato, 
271.48  North Mankato, and Eagle Lake; the 
271.49  counties of Nicollet and Blue Earth; 
271.50  and the towns of Mankato, South Bend, 
271.51  Lime, Decoria, and Belgrade, without 
271.52  limitation on the rights of the parties 
271.53  to that agreement to add or remove 
271.54  members.  The study is intended as an 
271.55  alternative to community-based 
271.56  planning.  The study is intended to 
272.1   develop information and analysis to 
272.2   provide guidance on such issues as: 
272.3   (1) the development of joint planning 
272.4   agreements to implement a unified 
272.5   growth management strategy; 
272.6   (2) joint service ventures, such as 
272.7   planning or zoning administration in 
272.8   urban fringe areas; 
272.9   (3) orderly growth and annexation 
272.10  agreements between cities and 
272.11  townships; 
272.12  (4) feedlot regulations in urban fringe 
272.13  areas and future growth corridors; 
272.14  (5) service strategies for unsewered 
272.15  subdivisions; 
272.16  (6) other joint ventures for city, 
272.17  county, and township service delivery 
272.18  in fringe areas; 
272.19  (7) feasibility of a rural township 
272.20  taxing district; and 
272.21  (8) alternatives to the current 
272.22  community-based planning legislation 
272.23  that would add flexibility and improve 
272.24  the planning process. 
272.25  The city of Mankato shall report the 
272.26  results of the study to the legislature 
272.27  by January 15, 2002. 
272.28     Sec. 56.  Laws 1999, chapter 250, article 1, section 14, 
272.29  subdivision 3, is amended to read: 
272.30  Subd. 3.  Information and 
272.31  Management Services 
272.32      16,643,000      9,932,000
272.33  $100,000 the first year is for a grant 
272.34  to the city of Mankato to complete the 
272.35  Mankato area growth management and 
272.36  planning study, phase 2.  The 
272.37  appropriation is available until June 
272.38  30, 2002.  The appropriation must be 
272.39  matched by an in-kind donation of 
272.40  $100,000 in administrative, technical, 
272.41  and higher educational internship 
272.42  support and supervision.  The value of 
272.43  the in-kind donations must be 
272.44  determined by the commissioner of 
272.45  finance. 
272.46  The city shall serve as fiscal agent to 
272.47  complete the study under the 1997 
272.48  regional planning joint powers 
272.49  agreement among the cities of Mankato, 
272.50  North Mankato, and Eagle Lake; the 
272.51  counties of Nicollet and Blue Earth; 
272.52  and the towns of Mankato, South Bend, 
272.53  Lime, Decoria, and Belgrade, without 
272.54  limitation on the rights of the parties 
272.55  to that agreement to add or remove 
272.56  members.  The study is intended as an 
273.1   alternative to community-based 
273.2   planning.  The study is intended to 
273.3   develop information and analysis to 
273.4   provide guidance on such issues as: 
273.5   (1) the development of joint planning 
273.6   agreements to implement a unified 
273.7   growth management strategy; 
273.8   (2) joint service ventures, such as 
273.9   planning or zoning administration in 
273.10  urban fringe areas; 
273.11  (3) orderly growth and annexation 
273.12  agreements between cities and 
273.13  townships; 
273.14  (4) feedlot regulations in urban fringe 
273.15  areas and future growth corridors; 
273.16  (5) service strategies for unsewered 
273.17  subdivisions; 
273.18  (6) other joint ventures for city, 
273.19  county, and township service delivery 
273.20  in fringe areas; 
273.21  (7) feasibility of a rural township 
273.22  taxing district; and 
273.23  (8) alternatives to the current 
273.24  community-based planning legislation 
273.25  that would add flexibility and improve 
273.26  the planning process. 
273.27  The city of Mankato shall report the 
273.28  results of the study to the legislature 
273.29  by January 15, 2002. 
273.30  $6,839,000 the first year is a one-time 
273.31  appropriation to upgrade the human 
273.32  resources and payroll system and is 
273.33  available until June 30, 2003.  The 
273.34  commissioner shall report on the 
273.35  progress of this project to the chairs 
273.36  of the legislative committees 
273.37  responsible for this budget item by 
273.38  January 15, 2000, 2001, and 2002. 
273.39  The commissioner of finance shall work 
273.40  with the commissioners of employee 
273.41  relations and administration and shall 
273.42  develop as part of the human resource 
273.43  and payroll systems upgrade, and submit 
273.44  to the chairs of the senate 
273.45  governmental operations budget division 
273.46  and the house state government finance 
273.47  committee by January 15, 2000, a 
273.48  long-range plan for the statewide 
273.49  business systems:  human resources, 
273.50  payroll, accounting, and procurement.  
273.51  The plan must detail each system's 
273.52  original development costs, its 
273.53  expected life cycle, the estimated cost 
273.54  of upgrading software to newer versions 
273.55  during its life cycle, its operating 
273.56  costs to date, and the factors that are 
273.57  expected to drive future operating 
273.58  costs within the departments of 
273.59  finance, administration, and employee 
273.60  relations.  The plan must also include 
274.1   an evaluation of and recommendations on 
274.2   whether, for the statewide business 
274.3   systems, the state should use software 
274.4   that is developed and maintained in 
274.5   house; proprietary software, either 
274.6   modified or unmodified; a private 
274.7   vendor; or a particular combination of 
274.8   these options. 
274.9   The commissioner of finance, in 
274.10  consultation with senate and house 
274.11  fiscal staff and the commissioner of 
274.12  administration, shall develop 
274.13  recommendations for inclusion in the 
274.14  governor's fiscal year 2002-2003 budget 
274.15  document on the presentation of 
274.16  internal service funds.  The 
274.17  commissioner of finance shall submit 
274.18  the recommendations to the chairs of 
274.19  the senate governmental operations 
274.20  budget division and the house state 
274.21  government finance committee by January 
274.22  15, 2000. 
274.23  The department shall prepare a separate 
274.24  budget book for the biennium beginning 
274.25  July 1, 2001, containing all of the 
274.26  administration's technology 
274.27  initiatives.  The book must also 
274.28  include a complete inventory of 
274.29  state-owned and leased technology, 
274.30  along with a projected replacement 
274.31  schedule.  The inventory must include 
274.32  information on how the technology fits 
274.33  into the state's master plan. 
274.34     Sec. 57.  Laws 1999, chapter 250, article 1, section 18, is 
274.35  amended to read: 
274.36  Sec. 18.  VETERANS AFFAIRS             5,885,000      4,369,000
274.37  $1,544,000 the first year and 
274.38  $1,544,000 the second year are for 
274.39  emergency financial and medical needs 
274.40  of veterans.  If the appropriation for 
274.41  either year is insufficient, the 
274.42  appropriation for the other year is 
274.43  available for it.  
274.44  $12,000 the first year and $13,000 the 
274.45  second year are one-time funding to 
274.46  provide grants to local veterans' 
274.47  organizations that provide 
274.48  transportation services for veterans to 
274.49  veterans administration medical 
274.50  facilities. 
274.51  The commissioner of veterans affairs, 
274.52  in cooperation with the board of 
274.53  directors of the Minnesota veterans 
274.54  homes and the United States Veterans 
274.55  Administration, shall study the 
274.56  feasibility and desirability of 
274.57  supplementing the missions of the 
274.58  veterans homes and the Veterans 
274.59  Administration hospitals in Minnesota 
274.60  by entering into agreements with health 
274.61  care providers throughout the state to 
274.62  provide free or reduced-cost 
274.63  comprehensive health care to veterans 
275.1   close to their places of residence as a 
275.2   supplement to private health 
275.3   insurance.  The commissioner shall 
275.4   report the results of the study and any 
275.5   recommendations to the legislature by 
275.6   January 15, 2000. 
275.7   With the approval of the commissioner 
275.8   of finance, the commissioner of 
275.9   veterans affairs may transfer the 
275.10  unencumbered balance from the veterans 
275.11  relief program to other department 
275.12  programs during the fiscal year.  
275.13  Before the transfer, the commissioner 
275.14  of veterans affairs shall explain why 
275.15  the unencumbered balance exists.  The 
275.16  amounts transferred must be identified 
275.17  to the chairs of the senate 
275.18  governmental operations budget 
275.19  committee and the house state 
275.20  government finance committee. 
275.21  $275,000 the first year and $275,000 
275.22  the second year are for a grant to the 
275.23  Vinland National Center. 
275.24  $1,485,000 the first year is to make 
275.25  bonus payments authorized under 
275.26  Minnesota Statutes, section 197.79.  
275.27  The appropriation may not be used for 
275.28  administrative purposes.  The 
275.29  appropriation does not expire until the 
275.30  commissioner acts on all applications 
275.31  submitted under Minnesota Statutes, 
275.32  section 197.79. 
275.33  $105,000 the first year is to 
275.34  administer the bonus program 
275.35  established under Minnesota Statutes, 
275.36  section 197.79.  The appropriation does 
275.37  not expire until the commissioner acts 
275.38  on all the applications submitted under 
275.39  Minnesota Statutes, section 197.79. 
275.40  $233,000 the first year and $235,000 
275.41  the second year are for grants to 
275.42  county veterans offices for training of 
275.43  county veterans service officers and to 
275.44  improve efficiency of county veterans 
275.45  services offices. 
275.46     Sec. 58.  Laws 1999, chapter 250, article 1, section 116, 
275.47  is amended to read: 
275.48     Sec. 116.  [EFFECTIVE DATE.] 
275.49     (a) Section 41 is effective January 1, 2001.  Section 43 is 
275.50  effective July 1, 2000, with respect to preparation of the model 
275.51  policies and procedures by the commissioner of administration, 
275.52  and January 1, 2001, with respect to the other provisions of 
275.53  section 43. 
275.54     (b) Sections 62 to 64 and 93 are effective January August 
275.55  1, 2001. 
276.1      (c) Sections 94 to 100 are effective the day following 
276.2   final enactment. 
276.3      (d) Sections 47, 49, 55, and 115, paragraphs (d) and (g), 
276.4   are effective July 1, 2001. 
276.5      (e) Section 61 is effective the day following final 
276.6   enactment and applies only to contracts executed on or after 
276.7   that date. 
276.8      (f) The commissioner of employee relations may not 
276.9   implement the long-term care insurance plan under section 78 
276.10  until April 1, 2000. 
276.11     Sec. 59.  [MINORITY RECRUITMENT.] 
276.12     The commissioner of employee relations must develop and 
276.13  implement a plan to recruit and retain minority employees in 
276.14  state government.  As part of the recruitment plan, the 
276.15  commissioner must build connections with minority centers and 
276.16  with entities that work with minority persons looking for jobs 
276.17  or training.  As part of the retention plan, the commissioner 
276.18  must work with minority state employees and minority former 
276.19  state employees to:  (1) find out what barriers they encountered 
276.20  in seeking state employment; (2) find out what problems these 
276.21  employees have encountered in their work; and (3) develop a 
276.22  program to improve retention rates of minority employees.  The 
276.23  commissioner must report the plan to the legislature by January 
276.24  15, 2001. 
276.25     Sec. 60.  [MINNESOTA POET LAUREATE.] 
276.26     The humanities commission must develop a plan for the 
276.27  selection of a Minnesota Poet Laureate.  The commission must 
276.28  present the plan to the legislature by January 15, 2001. 
276.29     Sec. 61.  [SUSPENSION OF TELECOMMUNICATIONS FACILITIES 
276.30  INSTALLATION.] 
276.31     The commissioners of administration and transportation may 
276.32  not allow further installation of facilities under the contract 
276.33  that is the subject of an Order of the Federal Communications 
276.34  Commission in CC Docket No. 98-1 denying the Petition for 
276.35  Declaratory Ruling filed by the state of Minnesota or amend that 
276.36  contract until the house and senate governmental operations 
277.1   committees review amendments to the contract that will eliminate 
277.2   the possible anticompetitive effects noted in the FCC order and 
277.3   meet the requirements of section 253 of the federal 
277.4   Telecommunications Act of 1996, Public Law Number 104-104. 
277.5      Sec. 62.  [CLARIFICATION; EFFECT ON REPEAL.] 
277.6      Laws 1999, chapter 250, article 3, does not repeal rules or 
277.7   fees in effect on the day before the effective date of Laws 
277.8   1999, chapter 250, article 3. 
277.9      Sec. 63.  [ENERGY RULES FOR RESIDENTIAL BUILDINGS.] 
277.10     The provisions of Minnesota Rules, chapter 7670, that apply 
277.11  to category 1 buildings govern residential buildings not covered 
277.12  by Minnesota Rules, chapter 7676.  The provisions of Minnesota 
277.13  Rules, chapter 7670, that allow category 2 buildings are void 
277.14  and of no effect.  All buildings subject to Minnesota Rules, 
277.15  chapter 7670, attaining a building permit on or after April 15, 
277.16  2000, must meet the requirements for category 1 buildings as set 
277.17  out in Minnesota Rules, chapter 7670. 
277.18     Sec. 64.  [RATIFICATIONS.] 
277.19     Subdivision 1.  [COUNCIL 6.] The labor agreement between 
277.20  the state of Minnesota and the American federation of state, 
277.21  county, and municipal employees, council 6, approved by the 
277.22  legislative coordinating commission subcommittee on employee 
277.23  relations on September 10, 1999, is ratified. 
277.24     Subd. 2.  [RESIDENTIAL SCHOOLS TEACHERS.] The labor 
277.25  agreement between the state of Minnesota and the state 
277.26  residential schools education association, approved by the 
277.27  legislative coordinating commission subcommittee on employee 
277.28  relations on December 13, 1999, is ratified. 
277.29     Subd. 3.  [SUPERVISORS.] The labor agreement between the 
277.30  state of Minnesota and the middle management association, 
277.31  approved by the legislative coordinating commission subcommittee 
277.32  on employee relations on December 13, 1999, is ratified. 
277.33     Subd. 4.  [NURSES.] The labor agreement between the state 
277.34  of Minnesota and the Minnesota nurses association, approved by 
277.35  the legislative coordinating commission subcommittee on employee 
277.36  relations on December 13, 1999, is ratified. 
278.1      Subd. 5.  [COMMUNITY COLLEGE FACULTY.] The labor agreement 
278.2   between the state of Minnesota and the Minnesota community 
278.3   college faculty association, approved by the legislative 
278.4   coordinating commission subcommittee on employee relations on 
278.5   December 13, 1999, is ratified. 
278.6      Subd. 6.  [STATE UNIVERSITY FACULTY.] The labor agreement 
278.7   between the state of Minnesota and the interfaculty 
278.8   organization, approved by the legislative coordinating 
278.9   commission subcommittee on employee relations on December 13, 
278.10  1999, is ratified. 
278.11     Subd. 7.  [TECHNICAL COLLEGE FACULTY.] The labor agreement 
278.12  between the state of Minnesota and the united technical college 
278.13  educators, approved by the legislative coordinating commission 
278.14  subcommittee on employee relations on December 13, 1999, is 
278.15  ratified. 
278.16     Subd. 8.  [STATE UNIVERSITY ADMINISTRATIVE AND SERVICE 
278.17  FACULTY.] The labor agreement between the state of Minnesota and 
278.18  the Minnesota state university association of administrative and 
278.19  service faculty, approved by the legislative coordinating 
278.20  commission subcommittee on employee relations on December 13, 
278.21  1999, is ratified. 
278.22     Subd. 9.  [COMMISSIONER'S PLAN.] The commissioner's plan 
278.23  for unrepresented employees, approved by the legislative 
278.24  coordinating commission subcommittee on employee relations on 
278.25  December 13, 1999, and as amended by the subcommittee on January 
278.26  31, 2000, is ratified. 
278.27     Subd. 10.  [MANAGERIAL PLAN.] The plan for managerial 
278.28  employees, approved by the legislative coordinating commission 
278.29  subcommittee on employee relations on December 13, 1999, and as 
278.30  amended by the subcommittee on January 31, 2000, is ratified. 
278.31     Subd. 11.  [UNREPRESENTED MANAGERS; MINNESOTA STATE 
278.32  COLLEGES AND UNIVERSITIES.] The plan for administrators of the 
278.33  Minnesota state colleges and universities, approved by the 
278.34  legislative coordinating commission subcommittee on employee 
278.35  relations on December 13, 1999, is ratified. 
278.36     Subd. 12.  [PROFESSIONAL EMPLOYEES.] The labor agreement 
279.1   between the state of Minnesota and the Minnesota association of 
279.2   professional employees, approved by the legislative coordinating 
279.3   commission subcommittee on employee relations on January 31, 
279.4   2000, is ratified. 
279.5      Subd. 13.  [LAW ENFORCEMENT.] The labor agreement between 
279.6   the state of Minnesota and the Minnesota law enforcement 
279.7   association, approved by the legislative coordinating commission 
279.8   subcommittee on employee relations on January 31, 2000, is 
279.9   ratified. 
279.10     Subd. 14.  [CORRECTIONAL GUARDS.] The arbitration award and 
279.11  labor agreement between the state of Minnesota and the American 
279.12  federation of state, county, and municipal employees, council 6, 
279.13  approved by the legislative coordinating commission subcommittee 
279.14  on employee relations on January 31, 2000, is ratified. 
279.15     Subd. 15.  [UNREPRESENTED EMPLOYEES, HIGHER EDUCATION 
279.16  SERVICES OFFICE.] The plan for unrepresented, unclassified 
279.17  employees of the higher education services office, approved by 
279.18  the legislative coordinating commission subcommittee on employee 
279.19  relations on January 31, 2000, is ratified. 
279.20     Subd. 16.  [SALARIES FOR CERTAIN HEADS OF STATE 
279.21  AGENCIES.] The proposals to increase the salaries of certain 
279.22  heads of state agencies, approved by the legislative 
279.23  coordinating commission subcommittee on employee relations on 
279.24  January 31, 2000, are ratified. 
279.25     Subd. 17.  [SALARY FOR THE DIRECTOR OF THE HIGHER EDUCATION 
279.26  SERVICES OFFICE.] The proposal to increase the salary of the 
279.27  director of the higher education services office, recommended by 
279.28  the legislative coordinating commission subcommittee on employee 
279.29  relations on February 22, 2000, is ratified. 
279.30     Subd. 18.  [GOVERNOR.] The salary of the governor is 
279.31  $150,000. 
279.32     Sec. 65.  [MEMORANDUM OF UNDERSTANDING.] 
279.33     The commissioner of employee relations may not execute a 
279.34  memorandum of understanding relating to employee compensation 
279.35  for travel time with an exclusive representative of a bargaining 
279.36  unit until after it has been approved by the legislative 
280.1   coordinating commission under Minnesota Statutes, section 
280.2   3.855.  When the legislature is not in session, failure of the 
280.3   commission to disapprove a memorandum of understanding within 30 
280.4   days of submission constitutes approval. 
280.5      Sec. 66.  [ALLOCATION OF COSTS OF CERTAIN BOUNDARY 
280.6   ADJUSTMENT MATTERS.] 
280.7      All costs of any boundary adjustment matter commenced 
280.8   before June 1, 1999, that is concluded after that date under an 
280.9   alternative dispute resolution process as directed by the 
280.10  director of the office of strategic and long-range planning, 
280.11  must be allocated as provided in law and rule prior to the 
280.12  abolition of the Minnesota municipal board.  The maximum total 
280.13  amount the parties may be charged by the office of strategic and 
280.14  long-range planning, the office of administrative hearings, or 
280.15  as part of an arbitration is no more than the Minnesota 
280.16  municipal board could have charged if the matter had been heard 
280.17  and decided by the board.  Costs that exceed what the municipal 
280.18  board could have charged must be paid by the office of strategic 
280.19  and long-range planning. 
280.20     Sec. 67.  [REPEALER.] 
280.21     (a) Minnesota Statutes 1998, section 16B.88; and Minnesota 
280.22  Statutes 1999 Supplement, section 43A.318, are repealed. 
280.23     (b) Minnesota Statutes 1998, sections 16E.01, subdivisions 
280.24  2 and 3; 16E.03, subdivisions 1 and 3; 16E.04, subdivision 1; 
280.25  16E.05; 16E.06; 16E.07, subdivisions 1, 2, 3, 5, 6, 7, 8, 9, 10, 
280.26  and 11; and 136F.59, subdivision 3; Minnesota Statutes 1999 
280.27  Supplement, sections 16E.01, subdivision 1; 16E.02; 16E.03, 
280.28  subdivisions 2, 4, 5, 6, 7, and 8; 16E.04, subdivision 2; 
280.29  16E.07, subdivision 4; and 16E.08, are repealed. 
280.30     (c) Minnesota Statutes 1998, sections 465.795; 465.796; 
280.31  465.797, subdivisions 2, 3, 4, 5, 6, and 7; 465.7971; 465.798; 
280.32  465.799; 465.801; 465.802; 465.803; 465.81; 465.82, subdivisions 
280.33  1, 2, and 3; 465.83; 465.84; 465.85; 465.86; 465.87; and 465.88; 
280.34  Minnesota Statutes 1999 Supplement, sections 465.797, 
280.35  subdivisions 1 and 5a; and 465.82, subdivision 4, are repealed. 
280.36     (d) Laws 1999, chapter 250, article 1, section 15, 
281.1   subdivision 4, is repealed. 
281.2      (e) Laws 1999, chapter 135, section 9, is repealed. 
281.3      (f) Minnesota Rules, parts 7672.0100; 7672.0200; 7672.0300; 
281.4   7672.0400; 7672.0500; 7672.0600; 7672.0700; 7672.0800; 
281.5   7672.0900; 7672.1000; 7672.1100; 7672.1200; 7672.1300; 
281.6   7674.0100; 7674.0200; 7674.0300; 7674.0400; 7674.0500; 
281.7   7674.0600; 7674.0700; 7674.0800; 7674.0900; 7674.1000; 
281.8   7674.1100; and 7674.1200, are repealed. 
281.9      (g) Minnesota Statutes 1998, section 16B.37, subdivisions 
281.10  1, 2, and 3, are repealed. 
281.11     Sec. 68.  [EFFECTIVE DATE.] 
281.12     Section 10 is effective the day after a like commission is 
281.13  authorized by the appropriate authority of the government of 
281.14  Ontario.  Sections 11, 40, and 67, paragraph (c), are effective 
281.15  June 30, 2000.  Section 12 is effective July 1, 2000.  Sections 
281.16  63 and 67, paragraphs (e) and (f), are effective April 15, 
281.17  2000.  Sections 29, 52, and 54 are effective the day following 
281.18  final enactment, and apply to any contract for project 
281.19  development and construction entered into on or after that date, 
281.20  including projects for which requests for bids, qualifications, 
281.21  or proposals have been sought before that date.  Except as 
281.22  otherwise provided in this article, this article is effective 
281.23  the day following final enactment. 
281.24                             ARTICLE 18
281.25                 MSRS-CORRECTIONAL PLAN MEMBERSHIP 
281.26                             INCLUSIONS 
281.27     Section 1.  Minnesota Statutes 1998, section 352.91, 
281.28  subdivision 3c, is amended to read: 
281.29     Subd. 3c.  [NURSING PERSONNEL.] (a) "Covered correctional 
281.30  service" means service by a state employee in one of the 
281.31  employment positions at a correctional facility or at the 
281.32  Minnesota security hospital specified in paragraph (b), provided 
281.33  that at least 75 percent of the employee's working time is spent 
281.34  in direct contact with inmates or patients and the fact of this 
281.35  direct contact is certified to the executive director by the 
281.36  appropriate commissioner, unless the person elects to retain the 
282.1   current retirement coverage under Laws 1996, chapter 408, 
282.2   article 8, section 21. 
282.3      (b) The employment positions are as follows: 
282.4      (1) registered nurse - senior; 
282.5      (2) registered nurse; 
282.6      (3) registered nurse - principal; and 
282.7      (4) licensed practical nurse 2; and 
282.8      (5) registered nurse practitioner. 
282.9      Sec. 2.  Minnesota Statutes 1998, section 352.91, is 
282.10  amended by adding a subdivision to read: 
282.11     Subd. 3f.  [ADDITIONAL DEPARTMENT OF HUMAN SERVICES 
282.12  PERSONNEL.] (a) "Covered correctional service" means service by 
282.13  a state employee in one of the employment positions specified in 
282.14  paragraph (b) at the Minnesota security hospital or the 
282.15  Minnesota sexual psychopathic personality treatment center, 
282.16  provided that at least 75 percent of the employee's working time 
282.17  is spent in direct contact with patients and the fact of this 
282.18  direct contact is certified to the executive director by the 
282.19  commissioner of human services. 
282.20     (b) The employment positions are: 
282.21     (1) behavior analyst 2; 
282.22     (2) licensed practical nurse 1; 
282.23     (3) office and administrative specialist senior; 
282.24     (4) psychologist 2; 
282.25     (5) social worker specialist; 
282.26     (6) behavior analyst 3; and 
282.27     (7) social worker senior. 
282.28     Sec. 3.  Minnesota Statutes 1998, section 352.91, is 
282.29  amended by adding a subdivision to read: 
282.30     Subd. 3g.  [ADDITIONAL CORRECTIONS DEPARTMENT PERSONNEL.] 
282.31  "Covered correctional service" means service by a state employee 
282.32  in one of the employment positions at the designated Minnesota 
282.33  correctional facility specified in paragraph (b), provided that 
282.34  at least 75 percent of the employee's working time is spent in 
282.35  direct contact with inmates and the fact of this direct contact 
282.36  is certified to the executive director by the commissioner of 
283.1   corrections. 
283.2      (b) The employment positions and correctional facilities 
283.3   are: 
283.4      (1) corrections discipline unit supervisor, at the 
283.5   Minnesota correctional facility-Faribault, the Minnesota 
283.6   correctional facility-Lino Lakes, the Minnesota correctional 
283.7   facility-Oak Park Heights, and the Minnesota correctional 
283.8   facility-St. Cloud; 
283.9      (2) dental assistant registered, at the Minnesota 
283.10  correctional facility-Faribault, the Minnesota correctional 
283.11  facility-Lino Lakes, the Minnesota correctional facility-Moose 
283.12  Lake, the Minnesota correctional facility-Oak Park Heights, and 
283.13  the Minnesota correctional facility-Red Wing; 
283.14     (3) dental hygienist, at the Minnesota correctional 
283.15  facility-Shakopee; 
283.16     (4) psychologist 2, at the Minnesota correctional 
283.17  facility-Faribault, the Minnesota correctional facility-Lino 
283.18  Lakes, the Minnesota correctional facility-Moose Lake, the 
283.19  Minnesota correctional facility-Oak Park Heights, the Minnesota 
283.20  correctional facility-Red Wing, the Minnesota correctional 
283.21  facility-St. Cloud, the Minnesota correctional 
283.22  facility-Shakopee, and the Minnesota correctional 
283.23  facility-Stillwater; and 
283.24     (5) sentencing to service crew leader involved with the 
283.25  inmate community work crew program, at the Minnesota 
283.26  correctional facility-Faribault and the Minnesota correctional 
283.27  facility-Lino Lakes. 
283.28     Sec. 4.  [COVERAGE FOR PRIOR STATE SERVICE FOR CERTAIN 
283.29  PERSONS.] 
283.30     Subdivision 1.  [ELECTION OF PRIOR STATE SERVICE 
283.31  COVERAGE.] (a) An employee who has future retirement coverage 
283.32  transferred to the correctional employees retirement plan under 
283.33  section 1 or 2 is entitled to elect to obtain prior service 
283.34  credit for eligible state service performed after June 30, 1975, 
283.35  and before the first day of the first full pay period beginning 
283.36  after June 30, 2000, with the department of corrections or the 
284.1   department of human services at the Minnesota security hospital 
284.2   or the Minnesota sexual psychopathic personality treatment 
284.3   center.  All eligible prior service credit must be purchased. 
284.4      (b) For purposes of section 1, 2, or 3, eligible state 
284.5   service with the department of corrections or the department of 
284.6   human services is any prior period of continuous service after 
284.7   June 30, 1975, performed as an employee of the department of 
284.8   corrections or the department of human services that would have 
284.9   been eligible for the correctional employees retirement plan 
284.10  coverage under section 1, 2, or 3 if that prior service had been 
284.11  performed after the first day of the first full pay period 
284.12  beginning after June 30, 2000, rather than before that date.  
284.13  Service is continuous if there has been no period of 
284.14  discontinuation of eligible state service for a period greater 
284.15  than 180 calendar days. 
284.16     (c) The commissioner of corrections or the commissioner of 
284.17  human services shall certify eligible state service to the 
284.18  executive director of the Minnesota state retirement system. 
284.19     (d) A covered correctional plan employee employed on July 
284.20  1, 2000, who has past service in a job classification covered 
284.21  under section 1, 2, or 3 on July 1, 2000, is entitled to 
284.22  purchase the past service if the applicable department certifies 
284.23  that the employee met the eligibility requirements for 
284.24  coverage.  The employee shall pay the difference between the 
284.25  employee contributions actually paid during the period and what 
284.26  should have been paid under the correctional employees 
284.27  retirement plan.  Payment for past service must be completed by 
284.28  June 30, 2002. 
284.29     Subd. 2.  [PAYMENT FOR PAST SERVICE.] (a) An employee 
284.30  electing to obtain prior service credit under subdivision 1 must 
284.31  pay an additional employee contribution for that prior service.  
284.32  The additional member contribution is the contribution 
284.33  differential percentage applied to the actual salary paid to the 
284.34  employee during the period of the prior eligible state service, 
284.35  plus interest at the rate of six percent per annum, compounded 
284.36  annually.  The contribution differential percentage is the 
285.1   difference between 4.9 percent of salary and the applicable 
285.2   employee contribution rate of the general state employees 
285.3   retirement plan during the prior eligible state service. 
285.4      (b) The additional member contribution must be paid only in 
285.5   a lump sum.  Payment must accompany the election to obtain prior 
285.6   service credit.  No election of payment may be made by the 
285.7   person or accepted by the executive director after June 30, 2002.
285.8      Subd. 3.  [TRANSFER OF ASSETS.] Assets must be transferred 
285.9   from the general state employees retirement plan to the 
285.10  correctional employees retirement plan, in an amount equal to 
285.11  the present value of benefits earned under the general employees 
285.12  retirement plan for each employee transferring to the 
285.13  correctional employees retirement plan, as determined by the 
285.14  actuary retained by the legislative commission on pensions and 
285.15  retirement in accordance with Minnesota Statutes, section 
285.16  356.215.  The transfer of assets must be made within 45 days 
285.17  after the employee elects to transfer coverage to the 
285.18  correctional employees retirement plan. 
285.19     Subd. 4.  [EFFECT OF THE ASSET TRANSFER.] Upon transfer of 
285.20  assets in subdivision 3, service credit in the general state 
285.21  employees plan of the Minnesota state retirement system is 
285.22  forfeited and may not be reinstated.  The service credit and 
285.23  transferred assets must be credited to the correctional 
285.24  employees retirement plan. 
285.25     Subd. 5.  [PAYMENT OF ACTUARIAL CALCULATION COSTS.] (a) The 
285.26  expense of the legislative commission on pensions and retirement 
285.27  attributable to the calculations of its consulting actuary under 
285.28  subdivision 3 must be reimbursed by the department of 
285.29  corrections and the department of human services. 
285.30     (b) The expense reimbursement under paragraph (a) must be 
285.31  allocated between the two departments in a manner that is 
285.32  jointly agreeable.  If no allocation procedure is developed by 
285.33  the commissioner of corrections and the commissioner of human 
285.34  services, the cost must be allocated on an equally shared basis. 
285.35     (c) Payment of the expense reimbursement to the legislative 
285.36  commission on pensions and retirement is due 30 days after the 
286.1   receipt of the reimbursement request from the executive director 
286.2   of the legislative commission on pensions and retirement. 
286.3      Sec. 5.  [REPEALER.] 
286.4      Minnesota Statutes 1998, section 352.91, subdivision 4, is 
286.5   repealed. 
286.6      Sec. 6.  [EFFECTIVE DATE.] 
286.7      Sections 1 to 5 are effective July 1, 2000. 
286.8                              ARTICLE 19
286.9                        JUDGES RETIREMENT PLAN 
286.10                           MODIFICATIONS 
286.11     Section 1.  Minnesota Statutes 1998, section 352D.02, 
286.12  subdivision 1, is amended to read: 
286.13     Subdivision 1.  [COVERAGE.] (a) Employees enumerated in 
286.14  paragraph (c), clauses (2), (3), (4), and (6) to (15), if they 
286.15  are in the unclassified service of the state or metropolitan 
286.16  council and are eligible for coverage under the general state 
286.17  employees retirement plan under chapter 352, are participants in 
286.18  the unclassified program under this chapter unless the employee 
286.19  gives notice to the executive director of the Minnesota state 
286.20  retirement system within one year following the commencement of 
286.21  employment in the unclassified service that the employee desires 
286.22  coverage under the general state employees retirement plan.  For 
286.23  the purposes of this chapter, an employee who does not file 
286.24  notice with the executive director is deemed to have exercised 
286.25  the option to participate in the unclassified plan. 
286.26     (b) Persons referenced in paragraph (c), clauses (1) and 
286.27  (5), are participants in the unclassified program under this 
286.28  chapter unless the person is eligible to elect different 
286.29  coverage under section 3A.07 or 352C.011 and, after July 1, 
286.30  1998, elects retirement coverage by the applicable alternative 
286.31  retirement plan.  Persons referenced in paragraph (c), clause 
286.32  (16), are participants in the unclassified program under this 
286.33  chapter for judicial employment in excess of the service credit 
286.34  limit in section 490.121, subdivision 22. 
286.35     (c) Enumerated employees and referenced persons are: 
286.36     (1) the governor, the lieutenant governor, the secretary of 
287.1   state, the state auditor, the state treasurer, and the attorney 
287.2   general; 
287.3      (2) an employee in the office of the governor, lieutenant 
287.4   governor, secretary of state, state auditor, state treasurer, 
287.5   attorney general; 
287.6      (3) an employee of the state board of investment; 
287.7      (4) the head of a department, division, or agency created 
287.8   by statute in the unclassified service, an acting department 
287.9   head subsequently appointed to the position, or an employee 
287.10  enumerated in section 15A.0815 or 15A.083, subdivision 4; 
287.11     (5) a member of the legislature; 
287.12     (6) a permanent, full-time unclassified employee of the 
287.13  legislature or a commission or agency of the legislature or a 
287.14  temporary legislative employee having shares in the supplemental 
287.15  retirement fund as a result of former employment covered by this 
287.16  chapter, whether or not eligible for coverage under the 
287.17  Minnesota state retirement system; 
287.18     (7) a person who is employed in a position established 
287.19  under section 43A.08, subdivision 1, clause (3), or in a 
287.20  position authorized under a statute creating or establishing a 
287.21  department or agency of the state, which is at the deputy or 
287.22  assistant head of department or agency or director level; 
287.23     (8) the regional administrator, or executive director of 
287.24  the metropolitan council, general counsel, division directors, 
287.25  operations managers, and other positions as designated by the 
287.26  council, all of which may not exceed 27 positions at the council 
287.27  and the chair, provided that upon initial designation of all 
287.28  positions provided for in this clause, no further designations 
287.29  or redesignations may be made without approval of the board of 
287.30  directors of the Minnesota state retirement system; 
287.31     (9) the executive director, associate executive director, 
287.32  and not to exceed nine positions of the higher education 
287.33  services office in the unclassified service, as designated by 
287.34  the higher education services office before January 1, 1992, or 
287.35  subsequently redesignated with the approval of the board of 
287.36  directors of the Minnesota state retirement system, unless the 
288.1   person has elected coverage by the individual retirement account 
288.2   plan under chapter 354B; 
288.3      (10) the clerk of the appellate courts appointed under 
288.4   article VI, section 2, of the Constitution of the state of 
288.5   Minnesota; 
288.6      (11) the chief executive officers of correctional 
288.7   facilities operated by the department of corrections and of 
288.8   hospitals and nursing homes operated by the department of human 
288.9   services; 
288.10     (12) an employee whose principal employment is at the state 
288.11  ceremonial house; 
288.12     (13) an employee of the Minnesota educational computing 
288.13  corporation; 
288.14     (14) an employee of the world trade center board; and 
288.15     (15) an employee of the state lottery board who is covered 
288.16  by the managerial plan established under section 43A.18, 
288.17  subdivision 3; and 
288.18     (16) a judge who has exceeded the service credit limit in 
288.19  section 490.121, subdivision 22. 
288.20     Sec. 2.  Minnesota Statutes 1998, section 352D.04, 
288.21  subdivision 2, is amended to read: 
288.22     Subd. 2.  [CONTRIBUTION RATES.] (a) The money used to 
288.23  purchase shares under this section is the employee and employer 
288.24  contributions provided in this subdivision. 
288.25     (b) The employee contribution is an amount equal to the 
288.26  employee contribution specified in section 352.04, subdivision 2.
288.27     (c) The employer contribution is an amount equal to six 
288.28  percent of salary.  
288.29     (d) These contributions must be made in the manner provided 
288.30  in section 352.04, subdivisions 4, 5, and 6.  
288.31     (e) For members of the legislature, the contributions under 
288.32  this subdivision also must be made on per diem payments received 
288.33  during a regular or special legislative session, but may not be 
288.34  made on per diem payments received outside of a regular or 
288.35  special legislative session, on the additional compensation 
288.36  attributable to a leadership position under section 3.099, 
289.1   subdivision 3, living expense payments under section 3.101, or 
289.2   special session living expense payments under section 3.103. 
289.3      (f) For a judge who is a member of the unclassified plan 
289.4   under section 352D.02, subdivision 1, paragraph (c), clause 
289.5   (16), the employee contribution rate is eight percent of salary, 
289.6   and there is no employer contribution. 
289.7      Sec. 3.  Minnesota Statutes 1998, section 356.30, 
289.8   subdivision 1, is amended to read: 
289.9      Subdivision 1.  [ELIGIBILITY; COMPUTATION OF ANNUITY.] (1) 
289.10  Notwithstanding any provisions to the contrary of the laws 
289.11  governing the funds enumerated in subdivision 3, a person who 
289.12  has met the qualifications of clause (2) may elect to receive a 
289.13  retirement annuity from each fund in which the person has at 
289.14  least six months allowable service, based on the allowable 
289.15  service in each fund, subject to the provisions of clause (3).  
289.16     (2) A person may receive upon retirement a retirement 
289.17  annuity from each fund in which the person has at least six 
289.18  months allowable service, and augmentation of a deferred annuity 
289.19  calculated under the laws governing each public pension plan or 
289.20  fund named in subdivision 3, from the date the person terminated 
289.21  all public service if: 
289.22     (a) the person has allowable service totaling an amount 
289.23  that allows the person to receive an annuity in any two or more 
289.24  of the enumerated funds; and 
289.25     (b) the person has not begun to receive an annuity from any 
289.26  enumerated fund or the person has made application for benefits 
289.27  from all funds and the effective dates of the retirement annuity 
289.28  with each fund under which the person chooses to receive an 
289.29  annuity are within a one-year period.  
289.30     (3) The retirement annuity from each fund must be based 
289.31  upon the allowable service in each fund, except that:  
289.32     (a) The laws governing annuities must be the law in effect 
289.33  on the date of termination from the last period of public 
289.34  service under a covered fund with which the person earned a 
289.35  minimum of one-half year of allowable service credit during that 
289.36  employment.  
290.1      (b) The "average salary" on which the annuity from each 
290.2   covered fund in which the employee has credit in a formula plan 
290.3   shall be based on the employee's highest five successive years 
290.4   of covered salary during the entire service in covered funds.  
290.5      (c) The formula percentages to be used by each fund must be 
290.6   those percentages prescribed by each fund's formula as continued 
290.7   for the respective years of allowable service from one fund to 
290.8   the next, recognizing all previous allowable service with the 
290.9   other covered funds.  
290.10     (d) Allowable service in all the funds must be combined in 
290.11  determining eligibility for and the application of each fund's 
290.12  provisions in respect to actuarial reduction in the annuity 
290.13  amount for retirement prior to normal retirement.  
290.14     (e) The annuity amount payable for any allowable service 
290.15  under a nonformula plan of a covered fund must not be affected 
290.16  but such service and covered salary must be used in the above 
290.17  calculation.  
290.18     (f) This section shall not apply to any person whose final 
290.19  termination from the last public service under a covered fund is 
290.20  prior to May 1, 1975.  
290.21     (g) For the purpose of computing annuities under this 
290.22  section the formula percentages used by any covered fund, except 
290.23  the public employees police and fire fund, the judges retirement 
290.24  fund, and the state patrol retirement fund, must not exceed the 
290.25  percent specified in section 356.19, subdivision 4, per year of 
290.26  service for any year of service or fraction thereof.  The 
290.27  formula percentage used by the public employees police and fire 
290.28  fund and the state patrol retirement fund must not exceed the 
290.29  percent specified in section 356.19, subdivision 6, per year of 
290.30  service for any year of service or fraction thereof.  The 
290.31  formula percentage used by the judges retirement fund must not 
290.32  exceed the percent specified in section 356.19, subdivision 8, 
290.33  per year of service for any year of service or fraction 
290.34  thereof.  The formula percentage used by the legislators 
290.35  retirement plan and the elective state officers retirement must 
290.36  not exceed 2.5 percent, but this limit does not apply to the 
291.1   adjustment provided under section 3A.02, subdivision 1, 
291.2   paragraph (c), or 352C.031, paragraph (b). 
291.3      (h) Any period of time for which a person has credit in 
291.4   more than one of the covered funds must be used only once for 
291.5   the purpose of determining total allowable service.  
291.6      (i) If the period of duplicated service credit is more than 
291.7   six months, or the person has credit for more than six months 
291.8   with each of the funds, each fund shall apply its formula to a 
291.9   prorated service credit for the period of duplicated service 
291.10  based on a fraction of the salary on which deductions were paid 
291.11  to that fund for the period divided by the total salary on which 
291.12  deductions were paid to all funds for the period.  
291.13     (j) If the period of duplicated service credit is less than 
291.14  six months, or when added to other service credit with that fund 
291.15  is less than six months, the service credit must be ignored and 
291.16  a refund of contributions made to the person in accord with that 
291.17  fund's refund provisions.  
291.18     Sec. 4.  Minnesota Statutes 1998, section 490.121, 
291.19  subdivision 4, is amended to read: 
291.20     Subd. 4.  [ALLOWABLE SERVICE.] "Allowable service" means a 
291.21  whole year, or any fraction thereof, subject to the service 
291.22  credit limit in subdivision 22, served as a judge at any time, 
291.23  or served as a referee in probate for all referees in probate 
291.24  who were in office prior to January 1, 1974. 
291.25     Sec. 5.  Minnesota Statutes 1998, section 490.121, is 
291.26  amended by adding a subdivision to read: 
291.27     Subd. 22.  [SERVICE CREDIT LIMIT.] "Service credit limit" 
291.28  means the greater of:  (1) 24 years of allowable service under 
291.29  chapter 490; or (2) for judges with allowable service rendered 
291.30  prior to July 1, 1980, the number of years of allowable service 
291.31  under chapter 490, which, when multiplied by the percentage 
291.32  listed in section 356.19, subdivision 7 or 8, whichever is 
291.33  applicable to each year of service, equals 76.8. 
291.34     Sec. 6.  Minnesota Statutes 1998, section 490.123, 
291.35  subdivision 1a, is amended to read: 
291.36     Subd. 1a.  [MEMBER CONTRIBUTION RATES.] (a) A judge who is 
292.1   covered by the federal old age, survivors, disability, and 
292.2   health insurance program whose service does not exceed the 
292.3   service credit limit in section 490.121, subdivision 22, shall 
292.4   contribute to the fund from each salary payment a sum equal to 
292.5   8.00 percent of salary.  
292.6      (b) A judge not so covered whose service does not exceed 
292.7   the service credit limit in section 490.121, subdivision 22, 
292.8   shall contribute to the fund from each salary payment a sum 
292.9   equal to 8.15 percent of salary. 
292.10     (c) The contribution under this subdivision is payable by 
292.11  salary deduction. 
292.12     Sec. 7.  Minnesota Statutes 1998, section 490.123, 
292.13  subdivision 1b, is amended to read: 
292.14     Subd. 1b.  [EMPLOYER CONTRIBUTION RATE.] The employer 
292.15  contribution rate to the fund on behalf of a judge is 20.5 
292.16  percent of salary and continues after a judge exceeds the 
292.17  service credit limit in section 490.121, subdivision 22. 
292.18     The employer contribution must be paid by the state court 
292.19  administrator and is payable at the same time as member 
292.20  contributions under subdivision 1a, or employee contributions to 
292.21  the unclassified plan in chapter 352D for judges whose service 
292.22  exceeds the limit in section 490.121, subdivision 22, are 
292.23  remitted. 
292.24     Sec. 8.  Minnesota Statutes 1998, section 490.124, 
292.25  subdivision 1, is amended to read: 
292.26     Subdivision 1.  [BASIC RETIREMENT ANNUITY.] Except as 
292.27  qualified hereinafter from and after mandatory retirement date, 
292.28  normal retirement date, early retirement date, or one year from 
292.29  the disability retirement date, as the case may be, a retirement 
292.30  annuity shall be payable to a retiring judge from the judges' 
292.31  retirement fund in an amount equal to:  (1) the percent 
292.32  specified in section 356.19, subdivision 7, multiplied by the 
292.33  judge's final average compensation multiplied by the number of 
292.34  years and fractions of years of allowable service rendered prior 
292.35  to July 1, 1980; plus (2) the percent specified in section 
292.36  356.19, subdivision 8, multiplied by the judge's final average 
293.1   compensation multiplied by the number of years and fractions of 
293.2   years of allowable service rendered after June 30, 1980; 
293.3   provided that the annuity must not exceed 70 percent of the 
293.4   judge's annual salary for the 12 months immediately preceding 
293.5   retirement.  Service that exceeds the service credit limit in 
293.6   section 490.121, subdivision 22, must be excluded in calculating 
293.7   the retirement annuity, but compensation earned during this 
293.8   service must be used in determining a judge's final average 
293.9   compensation and calculating the retirement annuity.  
293.10     Sec. 9.  [PRIOR SERVICE.] 
293.11     This section applies to a person who is a judge on July 1, 
293.12  2000, and whose service under chapter 490 on that date exceeds 
293.13  the service credit limit in Minnesota Statutes, section 490.121, 
293.14  subdivision 22.  A judge to whom this section applies may elect 
293.15  to have money transferred from the judges' plan to the judge's 
293.16  account in the unclassified employees plan in Minnesota 
293.17  Statutes, chapter 352D.  The amount to be transferred is eight 
293.18  percent of the salary the judge earned after reaching the 
293.19  service credit limit defined in Minnesota Statutes, section 
293.20  490.121, subdivision 22.  A judge electing this transfer 
293.21  forfeits all service credit under Minnesota Statutes, chapter 
293.22  490, that exceeds the limit in Minnesota Statutes, section 
293.23  490.121, subdivision 22.  An election under this section must be 
293.24  made before retirement as a judge, and within 120 days of the 
293.25  effective date of this section.  The election must be made on a 
293.26  form and in a manner specified by the executive director of the 
293.27  Minnesota state retirement system. 
293.28     Sec. 10.  [EFFECTIVE DATE.] 
293.29     Sections 1 to 9 are effective July 1, 2000. 
293.30                             <b>PART F </b>
293.31                 <b>ECONOMIC DEVELOPMENT PROVISIONS </b>
293.32                             ARTICLE 20 
293.33                           APPROPRIATIONS 
293.34  Section 1.  [ECONOMIC DEVELOPMENT; APPROPRIATIONS.] 
293.35     The sums in the columns marked "APPROPRIATIONS" are 
293.36  appropriated from the general fund, or another named fund, to 
294.1   the agencies and for the purposes specified in this article, to 
294.2   be available for the fiscal years indicated for each purpose.  
294.3                           SUMMARY BY FUND
294.4                               2000          2001           TOTAL
294.5   General              $   (100,000)   $  2,730,000    $  2,630,000
294.6   TANF                       -0-            500,000         500,000
294.7   Workforce Development  
294.8   Fund                       -0-          1,827,000       1,827,000
294.9   TOTAL                $   (100,000)   $  5,057,000    $  4,957,000
294.10                                             APPROPRIATIONS 
294.11                                         Available for the Year 
294.12                                             Ending June 30 
294.13                                            2000         2001 
294.14  Sec. 2.  TRADE AND ECONOMIC
294.15  DEVELOPMENT                          -0-              2,750,000 
294.16  This appropriation is for the purposes 
294.17  stated in this section, and is added to 
294.18  the appropriation in Laws 1999, chapter 
294.19  223, article 1, section 2. 
294.20  (a) Labor Force Assessments
294.21         -0-            750,000 
294.22  This appropriation is for grants to 
294.23  local or regional economic development 
294.24  agencies to support the development and 
294.25  use of labor force assessments that 
294.26  will allow the agencies to recognize 
294.27  areas in which the skill sets or 
294.28  education of the available workforce 
294.29  are underused.  Projects are eligible 
294.30  for grants of up to 60 percent of the 
294.31  total project costs.  The commissioner 
294.32  shall develop criteria for these grants 
294.33  that will maximize their effectiveness 
294.34  in assisting local economic development 
294.35  efforts.  The criteria shall give a 
294.36  preference to projects that have the 
294.37  support and involvement of multiple 
294.38  economic development agencies across a 
294.39  geographic region where appropriate, 
294.40  provided that the size of the area 
294.41  covered by a project does not interfere 
294.42  with the usefulness of the information 
294.43  generated.  This is a one-time 
294.44  appropriation and is not added to the 
294.45  agency's budget base. 
294.46  (b) Catalyst Grants
294.47         -0-          1,500,000 
294.48  This appropriation is for catalyst 
294.49  grants to local governments to expand 
294.50  Internet access in areas of rural 
294.51  Minnesota that are otherwise unlikely 
294.52  to receive access through existing 
294.53  technology.  Catalyst grants are for 
294.54  capital expenditures related to 
294.55  providing Internet access to residences 
295.1   and businesses using either traditional 
295.2   fiber optic cable or wireless 
295.3   technology.  Eligible capital 
295.4   expenditures include equipment and 
295.5   construction costs, but do not include 
295.6   the costs of planning, engineering, or 
295.7   preliminary design.  The commissioner 
295.8   shall award catalyst grants according 
295.9   to a competitive grant process and 
295.10  shall create criteria for the award of 
295.11  grants.  These criteria shall include a 
295.12  preference for projects that will 
295.13  provide both business and residential 
295.14  Internet access, provided that a 
295.15  project is presumed to provide business 
295.16  access only if it will enable access of 
295.17  at least 512 kilobytes per second.  The 
295.18  maximum catalyst grant for any project 
295.19  is $250,000 or 25 percent of the 
295.20  eligible capital expenditures, 
295.21  whichever is less.  This is a one-time 
295.22  appropriation and is not added to the 
295.23  agency's budget base. 
295.24  (c) Tourism Loan Account
295.25         -0-            500,000 
295.26  This appropriation is for transfer to 
295.27  the tourism loan account established 
295.28  under Minnesota Statutes, section 
295.29  116J.617, subdivision 5, for the 
295.30  tourism loan program under Minnesota 
295.31  Statutes, section 116J.617.  This is a 
295.32  one-time appropriation. 
295.33  (d) Cancellation
295.34  Of the unspent and unencumbered 
295.35  portions of the appropriations in Laws 
295.36  1997, chapter 200, article 1, section 
295.37  2, subdivision 2, for the pathways 
295.38  program under Minnesota Statutes, 
295.39  section 116L.04, subdivision 1a, 
295.40  $800,000 is canceled and returned to 
295.41  the general fund.  This cancellation is 
295.42  effective the day following final 
295.43  enactment. 
295.44     <b>EFFECTIVE DATE:</b>  This paragraph is effective the day 
295.45  following final enactment. 
295.46  Sec. 3.  MINNESOTA TECHNOLOGY            -0-            200,000
295.47  This appropriation is for the 
295.48  e-Business Institute.  This is a 
295.49  one-time appropriation and is not added 
295.50  to the agency's budget base. 
295.51  Sec. 4.  HOUSING FINANCE AGENCY          -0-            500,000
295.52  This appropriation is for the family 
295.53  homeless prevention and assistance 
295.54  program under Minnesota Statutes, 
295.55  section 462A.204, and is available 
295.56  until June 30, 2001.  This 
295.57  appropriation is from the state's 
295.58  federal TANF block grant under title I 
295.59  of Public Law Number 104-193 to the 
295.60  commissioner of human services, to 
296.1   reimburse the housing development fund 
296.2   for assistance under this program for 
296.3   families receiving TANF assistance 
296.4   under the MFIP program.  The 
296.5   commissioner of human services shall 
296.6   make monthly reimbursements to the 
296.7   housing development fund.  The 
296.8   commissioner of human services shall 
296.9   not make any reimbursement which the 
296.10  commissioner determines would be 
296.11  subject to a penalty under Code of 
296.12  Federal Regulations, section 262.1.  
296.13  This is a one-time appropriation. 
296.14  Sec. 5.  BOARD OF ARCHITECTURE,
296.15  ENGINEERING, LAND SURVEYING, LANDSCAPE 
296.16  ARCHITECTURE, AND INTERIOR DESIGN        -0-            130,000
296.17  This appropriation is for enforcement 
296.18  activities by the board, and is added 
296.19  to the appropriation in Laws 1999, 
296.20  chapter 223, article 1, section 8. 
296.21  Sec. 6.  BOARD OF BOXING                 -0-             65,000
296.22  This amount is added to the 
296.23  appropriation in Laws 1999, chapter 
296.24  223, article 1, section 10. 
296.25  Sec. 7.  DEPARTMENT OF ECONOMIC
296.26  SECURITY                               200,000        1,977,000
296.27  (a) Youthbuild 
296.28  Of this amount, $200,000 in the first 
296.29  year is a one-time appropriation for 
296.30  grants to existing Youthbuild programs 
296.31  that have experienced a loss of federal 
296.32  funds and are unable to fulfill their 
296.33  missions under Minnesota Statutes, 
296.34  sections 268.361 to 268.366. 
296.35     <b>EFFECTIVE DATE:</b>  This paragraph is effective the day 
296.36  following final enactment. 
296.37  (b) Alien Labor Certification 
296.38  Of this amount, $150,000 the second 
296.39  year is a one-time appropriation for 
296.40  alien labor certification, and is 
296.41  available as matching funds are 
296.42  provided on at least a 
296.43  dollar-for-dollar basis from nonstate 
296.44  sources. 
296.45  (c) Displaced Homemaker Programs 
296.46  Of this amount, $1,827,000 the second 
296.47  year is an appropriation from the 
296.48  workforce development fund for 
296.49  displaced homemaker programs under 
296.50  Minnesota Statutes, section 268.96.  
296.51  The general fund appropriation of 
296.52  $1,827,000 for displaced homemaker 
296.53  programs in fiscal year 2001 in Laws 
296.54  1999, chapter 223, article 1, section 
296.55  4, subdivision 4, is canceled and 
296.56  returned to the general fund. 
296.57  (d) Food Service Exemption 
297.1   Notwithstanding the provisions of 
297.2   Minnesota Statutes, section 268.085, 
297.3   subdivision 8, wage credits from an 
297.4   employer are not subject to the 
297.5   provisions of Minnesota Statutes, 
297.6   section 268.085, subdivision 7, if 
297.7   those wage credits were earned during 
297.8   the school year by an employee of a 
297.9   private employer performing work 
297.10  pursuant to a contract between the 
297.11  employer and an elementary or secondary 
297.12  school and the employment was related 
297.13  to food services provided to the school 
297.14  by the employer.  This paragraph 
297.15  expires December 31, 2001. 
297.16     Sec. 8.  Laws 1999, chapter 223, article 1, section 6, 
297.17  subdivision 1, is amended to read 
297.18  Subdivision 1.  Total 
297.19  Appropriation                         18,927,000     17,460,000
297.20                                        18,627,000     16,760,000 
297.21                Summary by Fund
297.22  General              17,245,000    15,831,000
297.23                       16,945,000    15,131,000 
297.24  Petro Cleanup         1,015,000     1,045,000 
297.25  Workers'
297.26  Compensation            567,000       584,000
297.27  Special Revenue         100,000       -0-  
297.28  The amounts that may be spent from this 
297.29  appropriation for each program are 
297.30  specified in the following 
297.31  subdivisions, except that with respect 
297.32  to general fund appropriations, the 
297.33  commissioner must reduce the amounts 
297.34  spent from the amounts specified by a 
297.35  total of $300,000 in the first year and 
297.36  $700,000 in the second year.  The 
297.37  general fund base for the department 
297.38  shall be $14,653,000 in fiscal year 
297.39  2002 and $14,377,000 in fiscal year 
297.40  2003. 
297.41     <b>EFFECTIVE DATE:</b>  This section is effective the day 
297.42  following final enactment. 
297.43  Sec. 9.  OFFICE OF STRATEGIC AND
297.44  LONG-RANGE PLANNING                      -0-             75,000
297.45  This one-time appropriation is for the 
297.46  purposes of the workforce development 
297.47  task force in article 2, section 22.  
297.48  This amount is added to the 
297.49  appropriation in Laws 1999, chapter 
297.50  223, article 1, section 23. 
297.51  Sec. 10.  DEPARTMENT OF     
297.52  ADMINISTRATION                           -0-             50,000
297.53  This one-time appropriation is for the 
297.54  purposes of article 2, section 21, and 
297.55  is added to the appropriation in Laws 
297.56  1999, chapter 223, article 1, section 
297.57  25. 
298.1   Sec. 11.  DEPARTMENT OF        
298.2   FINANCE                                  -0-             10,000
298.3   This appropriation is for up to $10,000 
298.4   for the commissioner of finance to 
298.5   consult with the commissioner of 
298.6   employee relations and the Minnesota 
298.7   Historical Society to consider the 
298.8   causes of ongoing shortfalls in the 
298.9   salary and benefit accounts at the 
298.10  Minnesota Historical Society, and to 
298.11  compare the salaries and benefits at 
298.12  agencies in other states that have 
298.13  comparable missions.  The commissioner 
298.14  shall report findings, including 
298.15  recommendations, to the legislature by 
298.16  December 31, 2000. 
298.17  Sec. 12.  MINNESOTA HISTORICAL 
298.18  SOCIETY                                -0-                 -0-  
298.19  The historical society must commission 
298.20  a bust of former United States Supreme 
298.21  Court Justice Harry A. Blackmun and 
298.22  install it on the second floor of the 
298.23  state capitol opposite the bust of 
298.24  former Chief Justice of the United 
298.25  States Warren Burger.  Justice Blackmun 
298.26  should be so recognized opposite Chief 
298.27  Justice Burger because they were 
298.28  boyhood friends and schoolmates in St. 
298.29  Paul and served together for many years 
298.30  on the United States Supreme Court.  In 
298.31  addition to his service on the United 
298.32  States Supreme Court from 1970 to 1994, 
298.33  Blackmun served on the United States 
298.34  Court of Appeals for the Eighth Circuit 
298.35  from 1959 to 1970, and as resident 
298.36  counsel to the Mayo Clinic and Mayo 
298.37  Association in Rochester, Minnesota, 
298.38  from 1950 to 1959.  The historical 
298.39  society must solicit nonstate sources 
298.40  for funds to complete this project.  
298.41                             ARTICLE 21
298.42            JOBS AND ECONOMIC DEVELOPMENT POLICY CHANGES 
298.43     Section 1.  Minnesota Statutes 1998, section 60H.03, is 
298.44  amended by adding a subdivision to read: 
298.45     Subd. 4.  [TERM AND FEES.] The term of a managing general 
298.46  agent license issued under this section and the license fees 
298.47  imposed are the same as those applicable to a licensed insurance 
298.48  agent under chapter 60K.  
298.49     Sec. 2.  Minnesota Statutes 1998, section 80A.122, is 
298.50  amended by adding a subdivision to read: 
298.51     Subd. 4a.  [EXPIRATION.] (a) A filing made in connection 
298.52  with the securities of an open-end investment company under 
298.53  subdivision 1 expires the next June 30 unless renewed.  To renew 
298.54  a notice filing, an issuer shall: 
299.1      (1) before expiration of a current notice filing, file with 
299.2   the commissioner the documents specified by the commissioner 
299.3   under subdivision 1, clause (2), together with any fees required 
299.4   by section 80A.28, subdivision 1, paragraph (c); and 
299.5      (2) no later than September 1 following expiration, file a 
299.6   sales report for the prior fiscal year with the commissioner 
299.7   specifying: 
299.8      (i) the registered sales; 
299.9      (ii) the actual sales; and 
299.10     (iii) the balance that could be sold without an additional 
299.11  filing under section 80A.28, subdivision 1, paragraph (c). 
299.12     (b) No portion of the unsold balance of shares indicated on 
299.13  the issuer's sales report may be lawfully sold in this state in 
299.14  connection with a renewed notice filing until fees have been 
299.15  paid to renew the shares. 
299.16     Sec. 3.  Minnesota Statutes 1998, section 80A.28, 
299.17  subdivision 1, is amended to read: 
299.18     Subdivision 1.  (a) There shall be a filing fee of $100 for 
299.19  every application for registration or notice filing.  There 
299.20  shall be an additional fee of one-tenth of one percent of the 
299.21  maximum aggregate offering price at which the securities are to 
299.22  be offered in this state, and the maximum combined fees shall 
299.23  not exceed $300.  
299.24     (b) When an application for registration is withdrawn 
299.25  before the effective date or a preeffective stop order is 
299.26  entered under section 80A.13, subdivision 1, all but the $100 
299.27  filing fee shall be returned.  If an application to register 
299.28  securities is denied, the total of all fees received shall be 
299.29  retained. 
299.30     (c) Where a filing is made in connection with a federal 
299.31  covered security under section 18(b)(2) of the Securities Act of 
299.32  1933, there is a fee of $100 for every initial filing.  If the 
299.33  filing is made in connection with redeemable securities issued 
299.34  by an open end management company or unit investment trust, as 
299.35  defined in the Investment Company Act of 1940, there is an 
299.36  additional annual fee of 1/20 of one percent of the maximum 
300.1   aggregate offering price at which the securities are to be 
300.2   offered in this state during the notice filing period.  The fee 
300.3   must be paid at the time of the initial filing and thereafter in 
300.4   connection with each renewal no later than July 1 of each year 
300.5   and must be sufficient to cover the shares the issuer expects to 
300.6   sell in this state over the next 12 months.  If during a current 
300.7   notice filing the issuer determines it is likely to sell shares 
300.8   in excess of the shares for which fees have been paid to the 
300.9   commissioner, the issuer shall submit an amended notice filing 
300.10  to the commissioner under section 80A.122, subdivision 1, clause 
300.11  (3), together with a fee of 1/20 of one percent of the maximum 
300.12  aggregate offering price of the additional shares.  Shares for 
300.13  which a fee has been paid, but which have not been sold at the 
300.14  time of expiration of the notice filing, may not be sold unless 
300.15  an additional fee to cover the shares has been paid to the 
300.16  commissioner as provided in this section and section 80A.122, 
300.17  subdivision 4a.  If the filing is made in connection with 
300.18  redeemable securities issued by such a company or trust, there 
300.19  is no maximum fee for securities filings made according to this 
300.20  paragraph.  If the filing is made in connection with any other 
300.21  federal covered security under Section 18(b)(2) of the 
300.22  Securities Act of 1933, there is an additional fee of one-tenth 
300.23  of one percent of the maximum aggregate offering price at which 
300.24  the securities are to be offered in this state, and the combined 
300.25  fees shall not exceed $300.  Beginning with fiscal year 2001 and 
300.26  continuing each fiscal year thereafter, as of the last day of 
300.27  each fiscal year, the commissioner shall determine the total 
300.28  amount of all fees that were collected under this paragraph in 
300.29  connection with any filings made for that fiscal year for 
300.30  securities of an open-end investment company on behalf of a 
300.31  security that is a federal covered security pursuant to section 
300.32  18(b)(2) of the Securities Act of 1933.  To the extent the total 
300.33  fees collected by the commissioner in connection with these 
300.34  filings exceed $25,000,000, the commissioner shall refund, on a 
300.35  pro rata basis, to all persons who paid any fees for that fiscal 
300.36  year, the amount of fees collected by the commissioner in excess 
301.1   of $25,000,000.  No individual refund is required of amounts of 
301.2   $100 or less for a fiscal year. 
301.3      Sec. 4.  Minnesota Statutes 1999 Supplement, section 
301.4   116J.421, subdivision 2, is amended to read: 
301.5      Subd. 2.  [GOVERNANCE.] The center is governed by a board 
301.6   of directors appointed to six-year terms by the governor 
301.7   comprised of: 
301.8      (1) a representative from each of the two largest statewide 
301.9   general farm organizations; 
301.10     (2) a representative from a regional initiative 
301.11  organization selected under section 116J.415, subdivision 3; 
301.12     (3) the president of Mankato State University; 
301.13     (4) a representative from the general public residing in a 
301.14  town of less than 5,000 located outside of the metropolitan 
301.15  area; 
301.16     (5) a member of the house of representatives appointed by 
301.17  the speaker of the house and a member of the senate appointed by 
301.18  the subcommittee on committees of the senate committee on rules 
301.19  and administration appointed for two-year terms; 
301.20     (6) three representatives from business, including one 
301.21  representing rural manufacturing and one rural retail and 
301.22  service business; 
301.23     (7) three representatives from private foundations with a 
301.24  demonstrated commitment to rural issues; 
301.25     (8) one representative from a rural county government; and 
301.26     (9) one representative from a rural regional government. 
301.27     The board shall appoint one additional member to the board 
301.28  of directors who shall represent the general public.  
301.29     If the board concludes at any time that the composition of 
301.30  the board does not adequately reflect the ethnic and gender 
301.31  diversity of rural Minnesota, the board may appoint up to four 
301.32  additional members in order to better reflect this diversity.  
301.33  Members appointed by the board under this paragraph shall serve 
301.34  six-year terms.  The board may not appoint additional members 
301.35  such that the board would have a total of more than 20 members. 
301.36     Sec. 5.  [136F.77] [EQUITY INVESTMENTS.] 
302.1      The board may acquire an interest in a product or a private 
302.2   business entity for the purpose of developing and providing 
302.3   educational materials and related programs or services to 
302.4   further the mission of the Minnesota state colleges and 
302.5   universities and foster the economic growth of the state.  The 
302.6   board may enter into joint venture agreements with private 
302.7   corporations to develop educational materials and related 
302.8   programs or services.  Any proceeds from such investments or 
302.9   ventures are appropriated to the board.  The state is not liable 
302.10  for any obligations or liabilities that arise from investments 
302.11  pursuant to this section.  The board must report annually by 
302.12  September 1 to the legislature regarding its earnings from 
302.13  partnerships and the disposition of those earnings. 
302.14     Sec. 6.  [144.994] [PROFESSIONAL BOXING REGULATION.] 
302.15     Subdivision 1.  [GENERALLY.] The commissioner of health 
302.16  shall regulate professional boxing matches in Minnesota.  For 
302.17  the purposes of this section, "professional boxing matches" 
302.18  means boxing contests held in Minnesota between individuals for 
302.19  financial compensation, but does not include boxing contests 
302.20  regulated by an amateur sports organization. 
302.21     Subd. 2.  [COMPLIANCE WITH FEDERAL LAW.] The commissioner 
302.22  shall act as Minnesota's state boxing commission for the 
302.23  purposes of the Professional Boxing Safety Act, United States 
302.24  Code, title 15, sections 6301 to 6313, and shall ensure that 
302.25  safety standards, registration procedures, and other regulations 
302.26  required by federal law are sufficient to protect the health and 
302.27  safety of boxers. 
302.28     Subd. 3.  [LIMITATION.] The commissioner shall not impose 
302.29  regulations substantially more stringent than necessary to 
302.30  protect boxers' health and safety and to fully comply with 
302.31  federal requirements. 
302.32     <b>EFFECTIVE DATE:</b>  This section is effective the day 
302.33  following final enactment. 
302.34     Sec. 7.  [181.967] [EMPLOYMENT REFERENCES.] 
302.35     Subdivision 1.  [CAUSES OF ACTION.] No action may be 
302.36  maintained against an employer, designated employee, or agent 
303.1   who discloses information about a current or former employee to 
303.2   a prospective employer or employment agency as provided under 
303.3   this section, unless the employee or former employee 
303.4   demonstrates by clear and convincing evidence that: 
303.5      (1) the information was false and defamatory; 
303.6      (2) the employer knew or should have known the information 
303.7   was false and acted with malicious intent to injure the current 
303.8   or former employee; and 
303.9      (3) the information was acted upon by the prospective 
303.10  employer in a manner that caused harm to the current or former 
303.11  employee. 
303.12     Subd. 2.  [EMPLOYMENT REFERENCE INFORMATION DISCLOSURE.] (a)
303.13  Upon request an employer may disclose the following information 
303.14  about one of its current or former employees to a prospective 
303.15  employer: 
303.16     (1) dates of employment; 
303.17     (2) compensation and wage history; 
303.18     (3) job description and duties; 
303.19     (4) training and education provided by the employer; and 
303.20     (5) all acts of violence, theft, harassment, or illegal 
303.21  conduct documented in the personnel record which resulted in 
303.22  disciplinary action or resignation. 
303.23     When making any disclosure pursuant to clause (5), the 
303.24  employer must provide the employee or former employee with a 
303.25  copy of the information disclosed. 
303.26     (b) Upon request, a public employer may disclose public 
303.27  personnel data on an individual listed in section 13.43, 
303.28  subdivision 2, about one of its current or former employees, to 
303.29  a prospective employer. 
303.30     (c) With the written authorization of the current or former 
303.31  employee, an employer may also disclose the following 
303.32  information in writing to a prospective employer: 
303.33     (1) written employee evaluations conducted prior to the 
303.34  employee's separation from the employer, and the employee's 
303.35  written response, if any, contained in the employee's personnel 
303.36  record; 
304.1      (2) disciplinary warnings and actions in the five years 
304.2   before the date of the authorization, and the employee's written 
304.3   response, if any, contained in the employee's personnel record; 
304.4   and 
304.5      (3) reasons for separation from employment. 
304.6      (d) An employer must provide a copy of a disclosure made 
304.7   under paragraph (c) to a current or former employee upon request.
304.8      Subd. 3.  [SCHOOL DISTRICT DISCLOSURE OF VIOLENCE OR 
304.9   INAPPROPRIATE SEXUAL CONTACT.] A school administrator must 
304.10  disclose to another school district requesting information about 
304.11  a current or former employee all acts of violence or 
304.12  inappropriate sexual contact with students documented in the 
304.13  personnel record that resulted in disciplinary action or 
304.14  resignation. 
304.15     <b>EFFECTIVE DATE:</b>  This section is effective August 1, 2000, 
304.16  and applies to causes of action arising on or after that date.  
304.17     Sec. 8.  [182.6545] [RIGHTS OF NEXT OF KIN UPON DEATH.] 
304.18     In the case of a death of an employee, the department shall 
304.19  make reasonable efforts to locate the employee's next of kin and 
304.20  shall mail to them copies of the following: 
304.21     (1) citations and notification of penalty; 
304.22     (2) notices of hearings; 
304.23     (3) complaints and answers; 
304.24     (4) settlement agreements; 
304.25     (5) orders and decisions; and 
304.26     (6) notices of appeals. 
304.27     In addition, the next of kin shall have the right to 
304.28  request a consultation with the department regarding citations 
304.29  and notification of penalties issued as a result of the 
304.30  investigation of the employee's death.  For the purposes of this 
304.31  section, "next of kin" refers to the nearest proper relative as 
304.32  that term is defined by section 253B.03, subdivision 6, 
304.33  paragraph (c). 
304.34     Sec. 9.  Minnesota Statutes 1998, section 182.661, 
304.35  subdivision 1, is amended to read: 
304.36     Subdivision 1.  If, after an inspection or investigation, 
305.1   the commissioner issues a citation under section 182.66, the 
305.2   commissioner shall notify the employer by certified mail of the 
305.3   penalty, if any, proposed to be assessed under section 182.666 
305.4   and that the employer has 20 calendar days within which to file 
305.5   a notice of contest and certification of service, on a form 
305.6   provided by the commissioner, indicating that the employer 
305.7   wishes to contest the citation, type of violation, proposed 
305.8   assessment of penalty, or the period of time fixed in the 
305.9   citation given for correction of violation.  A copy of the 
305.10  citation and the proposed assessment of penalty shall also be 
305.11  mailed to the authorized employee representative and including, 
305.12  in the case of the death of an employee, to the next of kin if 
305.13  requested.  If within 20 calendar days from the receipt of the 
305.14  penalty notice issued by the commissioner the employer fails to 
305.15  file the notice of contest, and no notice of contest is filed by 
305.16  any employee or authorized representative of employees under 
305.17  subdivision 3 within such time, the citation and assessment, as 
305.18  proposed, shall be deemed a final order of the commissioner and 
305.19  not subject to review by any court or agency. 
305.20     Sec. 10.  Minnesota Statutes 1998, section 182.666, 
305.21  subdivision 2, is amended to read: 
305.22     Subd. 2.  Any employer who has received a citation for a 
305.23  serious violation of its duties under section 182.653, or any 
305.24  standard, rule, or order adopted under the authority of the 
305.25  commissioner as provided in this chapter, shall be assessed a 
305.26  fine not to exceed $7,000 for each violation.  If the violation 
305.27  causes or contributes to the cause of the death of an employee, 
305.28  the employer shall be assessed a fine of up to $25,000. 
305.29     Sec. 11.  Minnesota Statutes 1998, section 182.666, is 
305.30  amended by adding a subdivision to read: 
305.31     Subd. 2a.  Notwithstanding any other provision of this 
305.32  section, if any (1) serious, willful, or repeated violation 
305.33  other than a violation of section 182.653, subdivision 2; or (2) 
305.34  any failure to correct a violation pursuant to subdivision 4 
305.35  causes or contributes to the death of an employee, the minimum 
305.36  total nonnegotiable fine which shall be assessed for all 
306.1   citations connected to the death of an employee is $50,000 if 
306.2   there is a willful or repeated violation or $25,000 if there is 
306.3   no willful or repeated violation. 
306.4      Sec. 12.  Minnesota Statutes 1998, section 268.362, 
306.5   subdivision 2, is amended to read: 
306.6      Subd. 2.  [GRANT APPLICATIONS; AWARDS.] Interested eligible 
306.7   organizations must apply to the commissioner for the grants.  
306.8   The advisory committee must review the applications and provide 
306.9   to the commissioner a list of recommended eligible organizations 
306.10  that the advisory committee determines meet the requirements for 
306.11  receiving a grant.  The total grant award for any program may 
306.12  not exceed $80,000 $150,000 per year.  In awarding grants, the 
306.13  advisory committee and the commissioner must give priority to: 
306.14     (1) continuing and expanding effective programs by 
306.15  providing grant money to organizations that are operating or 
306.16  have operated a successful program that meets the program 
306.17  purposes under section 268.364; and 
306.18     (2) distributing programs throughout the state through 
306.19  start-up grants for programs in areas that are not served by an 
306.20  existing program. 
306.21     To receive a grant under this section, the eligible 
306.22  organization must match the grant money with at least an equal 
306.23  amount of nonstate money.  The commissioner must verify that the 
306.24  eligible organization has matched the grant money.  Nothing in 
306.25  this subdivision shall prevent an eligible organization from 
306.26  applying for and receiving grants for more than one program.  A 
306.27  grant received by an eligible organization from the federal 
306.28  Youthbuild Project under United States Code, title 42, section 
306.29  5091, is nonstate money and may be used to meet the state match 
306.30  requirement.  State grant money awarded under this section may 
306.31  be used by grantee organizations for match requirements of a 
306.32  federal Youthbuild Project. 
306.33     Sec. 13.  Minnesota Statutes 1999 Supplement, section 
306.34  326.105, is amended to read: 
306.35     326.105 [FEES.] 
306.36     The fee for licensure or renewal of licensure as an 
307.1   architect, professional engineer, land surveyor, landscape 
307.2   architect, or geoscience professional is $104 $120 per biennium. 
307.3   The fee for certification as a certified interior designer or 
307.4   for renewal of the certificate is $104 $120 per biennium.  The 
307.5   fee for an architect applying for original certification as a 
307.6   certified interior designer is $50 per biennium.  The initial 
307.7   license or certification fee for all professions is $104 $120.  
307.8   The renewal fee shall be paid biennially on or before June 30 of 
307.9   each even-numbered year.  The renewal fee, when paid by mail, is 
307.10  not timely paid unless it is postmarked on or before June 30 of 
307.11  each even-numbered year.  The application fee is $25 for 
307.12  in-training applicants and $75 for professional license 
307.13  applicants. 
307.14     The fee for monitoring licensing examinations for 
307.15  applicants is $25, payable by the applicant. 
307.16     Sec. 14.  [326.2441] [INSPECTION FEE SCHEDULE.] 
307.17     Subdivision 1.  [SCHEDULE.] State electrical inspection 
307.18  fees shall be paid according to subdivisions 2 to 13. 
307.19     Subd. 2.  [FEE FOR EACH SEPARATE INSPECTION.] The minimum 
307.20  fee for each separate inspection of an installation, 
307.21  replacement, alteration, or repair is $20. 
307.22     Subd. 3.  [FEE FOR SERVICES, GENERATORS, OTHER POWER SUPPLY 
307.23  SOURCES, OR FEEDERS TO SEPARATE STRUCTURES.] The inspection fee 
307.24  for the installation, addition, alteration, or repair of each 
307.25  service, change of service, temporary service, generator, other 
307.26  power supply source, or feeder to a separate structure is: 
307.27     (1) 0 ampere to and including 400 ampere capacity, $25; 
307.28     (2) 401 ampere to and including 800 ampere capacity, $50; 
307.29  and 
307.30     (3) ampere capacity above 800, $75. 
307.31     Where multiple disconnects are grouped at a single location 
307.32  and are supplied by a single set of supply conductors, the 
307.33  cumulative rating of the overcurrent devices shall be used to 
307.34  determine the supply ampere capacity. 
307.35     Subd. 4.  [FEE FOR CIRCUITS, FEEDERS, FEEDER TAPS, OR SETS 
307.36  OF TRANSFORMER SECONDARY CONDUCTORS.] The inspection fee for the 
308.1   installation, addition, alteration, or repair of each circuit, 
308.2   feeder, feeder tap, or set of transformer secondary conductors, 
308.3   including the equipment served, is: 
308.4      (1) 0 ampere to and including 200 ampere capacity, $5; and 
308.5      (2) ampere capacity above 200, $10. 
308.6      Subd. 5.  [LIMITATIONS TO FEES OF SUBDIVISIONS 3 AND 
308.7   4.] (a) The fee for a one-family dwelling and each dwelling unit 
308.8   of a two-family dwelling with a supply of up to 500 amperes 
308.9   where a combination of ten or more sources of supply, feeders, 
308.10  or circuits are installed, added, altered, repaired, or extended 
308.11  is $80.  This fee applies to each separate installation for new 
308.12  dwellings and additions, alterations, or repairs to existing 
308.13  dwellings and includes not more than two inspections.  The fee 
308.14  for additional inspections or other installations is that 
308.15  specified in subdivisions 2 to 4.  The installer may submit fees 
308.16  for additional inspections when filing the request for 
308.17  electrical inspection. 
308.18     (b) The fee for each dwelling unit of a multifamily 
308.19  dwelling with three to 12 dwelling units is $50 and the fee for 
308.20  each additional dwelling unit is $25.  These fees include only 
308.21  inspection of the wiring within individual dwelling units and 
308.22  the final feeder to that unit.  This limitation is subject to 
308.23  the following conditions: 
308.24     (1) the multifamily dwelling is provided with common 
308.25  service equipment and each dwelling unit is supplied by a 
308.26  separate feeder.  The fee for multifamily dwelling services or 
308.27  other power source supplies and all other circuits is that 
308.28  specified in subdivisions 2 to 4; and 
308.29     (2) this limitation applies only to new installations for 
308.30  multifamily dwellings where the majority of the individual 
308.31  dwelling units are available for inspection during each 
308.32  inspection trip. 
308.33     (c) A separate request for electrical inspection form must 
308.34  be filed for each dwelling unit that is supplied with an 
308.35  individual set of service entrance conductors.  These fees are 
308.36  the one-family dwelling rate specified in paragraph (a). 
309.1      Subd. 6.  [ADDITIONS TO FEES OF SUBDIVISIONS 3 TO 5.] (a) 
309.2   The fee for the electrical supply for each manufactured home 
309.3   park lot is $25.  This fee includes the service or feeder 
309.4   conductors up to and including the service equipment or 
309.5   disconnecting means.  The fee for feeders and circuits that 
309.6   extend from the service or disconnecting means is that specified 
309.7   in subdivision 4. 
309.8      (b) The fee for each recreational vehicle site electrical 
309.9   supply equipment is $5.  The fee for recreational vehicle park 
309.10  services, feeders, and circuits is that specified in 
309.11  subdivisions 3 and 4. 
309.12     (c) The fee for each street, parking lot, or outdoor area 
309.13  lighting standard is $1, and the fee for each traffic signal 
309.14  standard is $5.  Circuits originating within the standard or 
309.15  traffic signal controller shall not be used when computing the 
309.16  fee. 
309.17     (d) The fee for transformers for light, heat, and power is 
309.18  $10 for transformers rated up to ten kilovolt-amperes and $20 
309.19  for transformers rated in excess of ten kilovolt-amperes. 
309.20     (e) The fee for transformers and electronic power supplies 
309.21  for electric signs and outline lighting is $5 per unit. 
309.22     (f) The fee for alarm, communication, remote control, and 
309.23  signaling circuits or systems, and circuits of less than 50 
309.24  volts, is 50 cents for each system device or apparatus. 
309.25     (g) The fee for each separate inspection of the bonding for 
309.26  a swimming pool, spa, fountain, an equipotential plane for an 
309.27  agricultural confinement area, or similar installation shall be 
309.28  $20.  Bonding conductors and connections require an inspection 
309.29  before being concealed. 
309.30     (h) The fee for all wiring installed on center pivot 
309.31  irrigation booms is $40. 
309.32     (i) The fee for retrofit modifications to existing lighting 
309.33  fixtures is 25 cents per lighting fixture. 
309.34     Subd. 7.  [INVESTIGATION FEES; WORK WITHOUT A REQUEST FOR 
309.35  ELECTRICAL INSPECTION.] (a) Whenever any work for which a 
309.36  request for electrical inspection is required by the board has 
310.1   begun without the request for electrical inspection form being 
310.2   filed with the board, a special investigation shall be made 
310.3   before a request for electrical inspection form is accepted by 
310.4   the board. 
310.5      (b) An investigation fee, in addition to the full fee 
310.6   required by subdivisions 1 to 6, shall be paid before an 
310.7   inspection is made.  The investigation fee is two times the 
310.8   hourly rate specified in subdivision 10 or the inspection fee 
310.9   required by subdivisions 1 to 6, whichever is greater, not to 
310.10  exceed $1,000.  The payment of the investigation fee does not 
310.11  exempt any person from compliance with all other provisions of 
310.12  the board's rules or statutes, nor from any penalty prescribed 
310.13  by law. 
310.14     Subd. 8.  [REINSPECTION FEE.] When reinspection is 
310.15  necessary to determine whether unsafe conditions have been 
310.16  corrected and the conditions are not the subject of an appeal 
310.17  pending before the board or any court, a reinspection fee of $20 
310.18  may be assessed in writing by the inspector. 
310.19     Subd. 9.  [SUPPLEMENTAL FEE.] When inspections scheduled by 
310.20  the installer are preempted, obstructed, prevented, or otherwise 
310.21  not able to be completed as scheduled due to circumstances 
310.22  beyond the control of the inspector, a supplemental inspection 
310.23  fee of $20 may be assessed in writing by the inspector. 
310.24     Subd. 10.  [SPECIAL INSPECTION.] For inspections not 
310.25  covered in this section, or for requested special inspections or 
310.26  services, the fee shall be $30 per hour, including travel time, 
310.27  plus 31 cents per mile traveled, plus the reasonable cost of 
310.28  equipment or material consumed.  This provision is applicable to 
310.29  inspection of empty conduits and other jobs as may be determined 
310.30  by the board.  This fee may also be assessed when installations 
310.31  are not accessible by roadway and require alternate forms of 
310.32  transportation.  
310.33     Subd. 11.  [INSPECTION OF TRANSITORY PROJECTS.] (a) For 
310.34  inspection of transitory projects including, but not limited to, 
310.35  festivals, fairs, carnivals, circuses, shows, production sites, 
310.36  and portable road construction plants, the inspection procedures 
311.1   and fees are as specified in paragraphs (b) to (i). 
311.2      (b) The fee for inspection of each generator or other 
311.3   source of supply is that specified in subdivision 3.  A like fee 
311.4   is required at each engagement or setup. 
311.5      (c) In addition to the fee for generators or other sources 
311.6   of supply, there must be an inspection of all installed feeders, 
311.7   circuits, and equipment at each engagement or setup at the 
311.8   hourly rate specified in subdivision 10, with a two-hour minimum.
311.9      (d) An owner, operator, or appointed representative of a 
311.10  transitory enterprise including, but not limited to, festivals, 
311.11  fairs, carnivals, circuses, production companies, shows, 
311.12  portable road construction plants, and similar enterprises shall 
311.13  notify the board of its itinerary or schedule and make 
311.14  application for initial inspection a minimum of 14 days before 
311.15  its first engagement or setup.  An owner, operator, or appointed 
311.16  representative of a transitory enterprise who fails to notify 
311.17  the board 14 days before its first engagement or setup may be 
311.18  subject to the investigation fees specified in subdivision 7.  
311.19  The owner, operator, or appointed representative shall request 
311.20  inspection and pay the inspection fee for each subsequent 
311.21  engagement or setup at the time of the initial inspection.  For 
311.22  subsequent engagements or setups not listed on the itinerary or 
311.23  schedule submitted to the board and where the board is not 
311.24  notified at least 48 hours in advance, a charge of $100 may be 
311.25  made in addition to all required fees. 
311.26     (e) Amusement rides, devices, concessions, attractions, or 
311.27  other units must be inspected at their first appearance of the 
311.28  year.  The inspection fee is $20 per unit with a supply of up to 
311.29  60 amperes and $30 per unit with a supply above 60 amperes. 
311.30     (f) An additional fee at the hourly rate specified in 
311.31  subdivision 10 must be charged for additional time spent by each 
311.32  inspector if equipment is not ready or available for inspection 
311.33  at the time and date specified on the application for initial 
311.34  inspection or the request for electrical inspection form. 
311.35     (g) In addition to the fees specified in paragraphs (a) and 
311.36  (b), a fee of two hours at the hourly rate specified in 
312.1   subdivision 10 must be charged for inspections required to be 
312.2   performed on Saturdays, Sundays, holidays, or after regular 
312.3   business hours. 
312.4      (h) The fee for reinspection of corrections or supplemental 
312.5   inspections where an additional trip is necessary may be 
312.6   assessed as specified in subdivision 8. 
312.7      (i) The board may retain the inspection fee when an owner, 
312.8   operator, or appointed representative of a transitory enterprise 
312.9   fails to notify the board at least 48 hours in advance of a 
312.10  scheduled inspection that is canceled. 
312.11     Subd. 12.  [HANDLING FEE.] The handling fee to pay the cost 
312.12  of printing and handling of the form requesting an inspection is 
312.13  $1. 
312.14     Subd. 13.  [NATIONAL ELECTRICAL CODE USED FOR 
312.15  INTERPRETATION OF PROVISIONS.] For purposes of interpretation of 
312.16  this section and Minnesota Rules, chapter 3800, the most 
312.17  recently adopted edition of the National Electrical Code shall 
312.18  be prima facie evidence of the definitions, interpretations, and 
312.19  scope of words and terms used.  
312.20     Sec. 15.  Minnesota Statutes 1998, section 345.31, is 
312.21  amended by adding a subdivision to read: 
312.22     Subd. 6a.  [MONEY ORDER.] "Money order" includes an express 
312.23  money order and a personal money order, on which the remitter is 
312.24  the purchaser.  The term does not include a bank order or any 
312.25  other instrument sold by a financial organization if the seller 
312.26  has obtained the name and address of the payee. 
312.27     Sec. 16.  [345.321] [DORMANCY CHARGE FOR MONEY ORDERS.] 
312.28     Notwithstanding any law to the contrary, a holder may 
312.29  annually deduct, from a money order presumed abandoned, a charge 
312.30  imposed by reason of the owner's failure to claim the property 
312.31  within a specified time.  The holder may deduct the charge only 
312.32  if:  (1) there is a valid and enforceable written contract 
312.33  between the holder and the owner under which the holder may 
312.34  impose the charge; (2) the holder regularly imposes the charge; 
312.35  and (3) the charge is not regularly reversed or otherwise 
312.36  canceled.  The total amount of the deduction is limited to an 
313.1   amount that is not unconscionable. 
313.2      Sec. 17.  Minnesota Statutes 1998, section 345.39, 
313.3   subdivision 1, is amended to read: 
313.4      Subdivision 1.  [PRESUMED ABANDONMENT.] All intangible 
313.5   personal property, not otherwise covered by sections 345.31 to 
313.6   345.60, including any income or increment thereon, but excluding 
313.7   any charges that may lawfully be withheld, that is held or owing 
313.8   in this state in the ordinary course of the holder's business 
313.9   and has remained unclaimed by the owner for more than three 
313.10  years after it became payable or distributable is presumed 
313.11  abandoned.  Property covered by this section includes, but is 
313.12  not limited to:  (a) unclaimed worker's compensation; (b) 
313.13  deposits or payments for repair or purchase of goods or 
313.14  services; (c) credit checks or memos, or customer overpayments; 
313.15  (d) unidentified remittances, unrefunded overcharges; (e) unpaid 
313.16  claims, unpaid accounts payable or unpaid commissions; (f) 
313.17  unpaid mineral proceeds, royalties or vendor checks; and (g) 
313.18  credit balances, accounts receivable and miscellaneous 
313.19  outstanding checks.  This section does not include money orders. 
313.20  "Intangible property" does not include gift certificates, gift 
313.21  cards, or layaway accounts issued or maintained by any person in 
313.22  the business of selling tangible property or services at retail 
313.23  and such items shall not be subject to this section. 
313.24     Sec. 18.  Laws 1999, chapter 223, article 2, section 81, as 
313.25  amended by Laws 1999, chapter 249, section 12, is amended to 
313.26  read: 
313.27     Sec. 81.  [EFFECTIVE DATES.] 
313.28     Section 48 is effective March 1, 2000. 
313.29     Sections 59, 61, 62, 64, 65, and 79 are effective the day 
313.30  following final enactment.  
313.31     Section 67 is effective June 30, 1999. 
313.32     Section 80, paragraph (a), is effective July 1, 1999. 
313.33     Section 80, paragraphs paragraph (b) and (c), are is 
313.34  effective July 1, 2000. 
313.35     Section 80, paragraph (c), is effective July 1, 2001. 
313.36     <b>EFFECTIVE DATE:</b>  This section is effective the day 
314.1   following final enactment. 
314.2      Sec. 19.  Laws 1999, chapter 223, article 3, section 8, is 
314.3   amended to read: 
314.4      Sec. 8.  [EFFECTIVE DATE.] 
314.5      Sections 1, and 2, and 5 are effective July 1, 2000. 
314.6      Section 5 is effective July 1, 2001. 
314.7      <b>EFFECTIVE DATE:</b>  This section is effective the day 
314.8   following final enactment. 
314.9      Sec. 20.  [ASSUMPTION OF RESPONSIBILITIES BY COMMISSIONER 
314.10  OF HEALTH.] 
314.11     The commissioner of health shall consult with appropriate 
314.12  knowledgeable individuals on an ongoing basis regarding the 
314.13  development and enforcement of boxing regulations.  The 
314.14  commissioner shall amend existing rules relating to professional 
314.15  boxing to conform those rules to the requirements of section 6. 
314.16     <b>EFFECTIVE DATE:</b>  This section is effective the day 
314.17  following final enactment. 
314.18     Sec. 21.  [UPPER RED LAKE BUSINESS LOAN PROGRAM.] 
314.19     The appropriation to the commissioner of trade and economic 
314.20  development in Laws 1999, chapter 223, article 1, section 2, 
314.21  subdivision 4, for the Upper Red Lake business loan program is 
314.22  available until December 31, 2000, and applications for grants 
314.23  under that program may be accepted until that date. 
314.24     <b>EFFECTIVE DATE:</b>  This section is effective the day 
314.25  following final enactment. 
314.26     Sec. 22.  [WORKFORCE CENTER LOCATIONS.] 
314.27     The commissioner of the department of administration shall 
314.28  assist the commissioner of economic security and the board of 
314.29  trustees of the Minnesota state colleges and universities system 
314.30  to develop and report to the legislature by January 15, 2001, on 
314.31  a ten-year plan for the possible location of workforce centers 
314.32  or affiliate locations on Minnesota college and university 
314.33  campuses where appropriate.  
314.34     The plan must identify space requirements, current 
314.35  workforce center lease expiration dates, and the campuses that 
314.36  can immediately accommodate workforce centers, and recommend 
315.1   timelines for colocating workforce centers with Minnesota state 
315.2   colleges and universities system facilities.  
315.3      If additional space would be required to accommodate the 
315.4   workforce center, the plan must outline alternative capital 
315.5   financing mechanisms, including private build-lease. 
315.6      <b>EFFECTIVE DATE:</b>  This section is effective the day 
315.7   following final enactment. 
315.8      Sec. 23.  [WORKFORCE DEVELOPMENT TASK FORCE.] 
315.9      Subdivision 1.  [ESTABLISHMENT.] The workforce development 
315.10  task force is established to study workforce development 
315.11  issues.  The purposes of the task force are to review the 
315.12  recommendations of the governor's mini-cabinet on workforce 
315.13  development, to develop and propose a cohesive workforce 
315.14  development strategy for Minnesota, to communicate with 
315.15  interested parties including state agencies, nonprofit providers 
315.16  of job training services, members of the public, local workforce 
315.17  investment boards, and organized labor, and to prepare 
315.18  recommendations for the 2001 legislative session, including the 
315.19  budget process.  
315.20     Subd. 2.  [MEMBERSHIP.] (a) The task force consists of 15 
315.21  members appointed as follows:  
315.22     (1) three public members appointed by the governor, one of 
315.23  which must be a representative of organized labor; 
315.24     (2) the commissioner of trade and economic development or 
315.25  the commissioner's designee; 
315.26     (3) the commissioner of economic security or the 
315.27  commissioner's designee; 
315.28     (4) the commissioner of human services or the 
315.29  commissioner's designee; 
315.30     (5) the chancellor of Minnesota state colleges and 
315.31  universities or the chancellor's designee; 
315.32     (6) the chair of the governor's workforce development 
315.33  council; 
315.34     (7) three workforce training provider representatives, 
315.35  including at least one member of a local workforce investment 
315.36  board, appointed by the governor based on recommendations from 
316.1   training provider organizations; 
316.2      (8) two state representatives, one appointed by the speaker 
316.3   of the house and one appointed by the minority caucus leader; 
316.4   and 
316.5      (9) two state senators appointed by the subcommittee on 
316.6   committees of the senate committee on rules and administration, 
316.7   one of which must be a member of the minority caucus.  
316.8      (b) Compensation and removal of members is as provided by 
316.9   Minnesota Statutes, section 15.059.  
316.10     Subd. 3.  [ADMINISTRATION.] The Minnesota office of 
316.11  strategic and long-range planning shall provide staff support 
316.12  and other assistance for this task force.  
316.13     Subd. 4.  [REPORT.] The task force shall report its 
316.14  findings to the legislature by February 1, 2001.  
316.15     Subd. 5.  [EXPIRATION.] The task force expires on June 30, 
316.16  2001. 
316.17     <b>EFFECTIVE DATE:</b>  This section is effective the day 
316.18  following final enactment. 
316.19     Sec. 24.  [INSTRUCTION TO REVISOR.] 
316.20     The revisor shall change references in Minnesota Rules from 
316.21  Minnesota Rules, part 3800.3810, to Minnesota Statutes, section 
316.22  326.2441. 
316.23     Sec. 25.  [REPEALER.] 
316.24     (a) Minnesota Statutes 1998, sections 184A.01; 184A.02; 
316.25  184A.03; 184A.04; 184A.05; 184A.06; 184A.07; 184A.08; 184A.09; 
316.26  184A.10; 184A.11; 184A.12; 184A.13; 184A.14; 184A.15; 184A.16; 
316.27  184A.17; 184A.18; 184A.19; and 184A.20, are repealed. 
316.28     (b) Minnesota Rules, part 3800.3810, is repealed.