Requiring the commissioner of human services to establish a Minnesota family investment program diversionary assistance pilot project in Dakota county to encourage rapid entrance into the work force through employability and self sufficiency improvement; requiring the enrollment of certain families in the program; specifying certain support services to be available to participants based on need; specifying certain payment requirements and restrictions, requiring participant cooperation with the employment plan; entitling participants becoming employed to transition year child care and extended medical program benefits and granting participants not attaining income resulting in MFIP ineligibility to certain options; providing for evaluation of the project and requiring a department of human services report to the legislature on the results of the project; providing for funding of the project; requiring the county agency to develop certain guidelines for implementation purposes; requiring the commissioner to apply for federal waivers required to implement the project and appropriating money to the commissioner for a grant to Dakota county for the project (mk)