1.1                          A bill for an act 
  1.2             relating to state government; creating the department 
  1.3             of economic and workforce development; transferring 
  1.4             certain duties of the departments of trade and 
  1.5             economic development, economic security, and labor and 
  1.6             industry; providing for a transition team; 
  1.7             appropriating money. 
  1.8   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.9      Section 1.  [STATE AGENCY RESTRUCTURING.] 
  1.10     The department of economic security is abolished.  The 
  1.11  department of trade and economic development is renamed the 
  1.12  department of economic and workforce development.  
  1.13     Sec. 2.  [TRANSFER OF RESPONSIBILITIES; DEPARTMENT OF 
  1.14  ECONOMIC SECURITY.] 
  1.15     Subdivision 1.  [TO DEPARTMENT OF ECONOMIC AND WORKFORCE 
  1.16  DEVELOPMENT.] The responsibilities of the department of economic 
  1.17  security performed by its workforce services unit for employment 
  1.18  transition services, youth services, welfare-to-work services, 
  1.19  and workforce exchange services are transferred to the 
  1.20  department of economic and workforce development.  
  1.21     Subd. 2.  [TO DEPARTMENT OF COMMERCE.] The responsibility 
  1.22  for energy programs of the department of economic security is 
  1.23  transferred to the department of commerce. 
  1.24     Sec. 3.  [ORGANIZATION OF ECONOMIC AND WORKFORCE 
  1.25  DEVELOPMENT DEPARTMENT.] 
  1.26     The department of economic and workforce development shall 
  2.1   have a division of economic development consisting of business 
  2.2   and community development, the Minnesota trade office, tourism 
  2.3   division, information and analysis division, and administrative 
  2.4   support.  The job skills partnership program shall be housed in 
  2.5   the department and shall have a policy, research, and evaluation 
  2.6   unit.  The department shall provide targeted-worker services to 
  2.7   include the dislocated worker program, adult services formerly 
  2.8   located within the department of economic security, youth 
  2.9   services formerly located in the department of economic 
  2.10  security, and welfare-to-work services formerly located in the 
  2.11  department of economic security.  The department shall have a 
  2.12  unit providing special programs under a workforce transition 
  2.13  services unit.  The department shall administer the workforce 
  2.14  centers and jobs services through the former department of 
  2.15  economic security workforce exchange programs. 
  2.16     Sec. 4.  [TRANSITION TASK FORCE CREATION; COMPOSITION.] 
  2.17     Subdivision 1.  [CREATION.] A workforce development program 
  2.18  reorganization transition advisory task force is created.  The 
  2.19  task force shall make recommendations to the governor and the 
  2.20  legislature by November 1, 2001, concerning the state government 
  2.21  structure and department organization for delivering workforce 
  2.22  development programs and other issues described in section 5.  
  2.23  The object of the reorganization is to consolidate and 
  2.24  streamline the state's workforce development system and programs 
  2.25  so as to provide the most efficient and effective workforce 
  2.26  development programs.  
  2.27     Subd. 2.  [TASK FORCE COMPOSITION.] The task force shall 
  2.28  consist of 18 members.  
  2.29     (a) The governor shall appoint ten members, including: 
  2.30  three representatives from labor who are exclusive 
  2.31  representatives of employees, including one each from the middle 
  2.32  management association, the association of professional 
  2.33  employees, and the American federation of state, county, and 
  2.34  municipal employees; one local elected official; one local 
  2.35  workforce council representative; one representative from the 
  2.36  governor's workforce council; one representative from nonprofit 
  3.1   employment service providers; one representative from advocacy 
  3.2   groups for low-income or disadvantaged individuals; and one 
  3.3   representative from the business community.  
  3.4      (b) The commissioners of trade and economic development and 
  3.5   economic security shall be ex officio members.  
  3.6      (c) Three members shall be appointed by the subcommittee on 
  3.7   committees of the committee on rules and administration of the 
  3.8   senate, two from the majority and one from the minority party. 
  3.9      (d) Three members shall be appointed by the speaker of the 
  3.10  house, two from the majority and one from the minority party.  
  3.11     (e) The governor shall appoint the head of the transition 
  3.12  task force from among the governor's appointees.  
  3.13     Sec. 5.  [TASK FORCE DUTIES.] 
  3.14     Subdivision 1.  [WORKFORCE DEVELOPMENT PROGRAMS.] The task 
  3.15  force shall: 
  3.16     (1) consider alternative configurations of workforce 
  3.17  development programs, including legislative proposals submitted 
  3.18  during the 2001 legislative session and models from other 
  3.19  states; 
  3.20     (2) recommend governance structures for workforce 
  3.21  development; and 
  3.22     (3) develop recommendations for creating stronger linkages 
  3.23  between the higher education system and the workforce 
  3.24  development system. 
  3.25     Subd. 2.  [CONSULTATION WITH INTERESTED ORGANIZATIONS.] The 
  3.26  task force shall consult with all interested organizations, 
  3.27  including, but not limited to, those specified in this 
  3.28  subdivision. 
  3.29     (a) The task force shall consult with the state 
  3.30  rehabilitation advisory council, the statewide independent 
  3.31  living council, the rehabilitation advisory council for the 
  3.32  blind, and the governor's council on developmental disabilities, 
  3.33  prior to making recommendations to the legislature on the 
  3.34  appropriate transfer of responsibility for the workforce 
  3.35  rehabilitation services unit, the workforce services for the 
  3.36  blind unit, and the workforce wage assistance unit from the 
  4.1   department of economic security to another state agency or other 
  4.2   recommended entity. 
  4.3      (b) The task force shall consult with the SAFE coordinating 
  4.4   council, prior to making any recommendation to the legislature, 
  4.5   on the appropriate state agency of the juvenile justice program, 
  4.6   the Minnesota city grants program, and the youth intervention 
  4.7   program in the department of economic security. 
  4.8      (c) The task force shall consult with the commissioners of 
  4.9   economic security, trade and economic development, and labor and 
  4.10  industry, and the cochairs of the legislative task force on 
  4.11  workforce development prior to making any recommendation to the 
  4.12  legislature under subdivision 3. 
  4.13     Subd. 3.  [GOVERNMENT REORGANIZATION RECOMMENDATIONS.] The 
  4.14  task force shall recommend to the governor and legislature, the 
  4.15  transfer to the appropriate state agencies of the 
  4.16  responsibilities for administration of programs currently 
  4.17  administered by the department of trade and economic 
  4.18  development, the department of labor and industry, and the 
  4.19  department of economic security.  
  4.20     Subd. 4.  [TRANSFER OF WORKFORCE INVESTMENT ACT 
  4.21  PROGRAMS.] The task force may recommend, where appropriate, the 
  4.22  transfer of a program, including those programs under the 
  4.23  Workforce Investment Act (United States Code, title 29), title I 
  4.24  and title III, to local workforce boards. 
  4.25     Subd. 5.  [STAFF SUPPORT.] The commissioners of trade and 
  4.26  economic development and economic security must cooperate with 
  4.27  and provide staff support to the task force.  The support 
  4.28  includes, but is not limited to, professional, technical, and 
  4.29  clerical staff necessary to fully assess the programs under 
  4.30  subdivision 4. 
  4.31     Subd. 6.  [ACCESS TO DATA.] Notwithstanding any law to the 
  4.32  contrary, the task force shall have access to private or 
  4.33  nonpublic data necessary to carry out the objective of 
  4.34  subdivision 4. 
  4.35     Sec. 6.  [EXPIRATION.] 
  4.36     Sections 4 and 5 expire on June 30, 2002. 
  5.1      Sec. 7.  [LEGISLATIVE AUDITOR.] 
  5.2      The legislative audit commission is requested to conduct a 
  5.3   comprehensive evaluation of the unemployment insurance program. 
  5.4      Sec. 8.  [SECTION 15.039 APPLIES.] 
  5.5      The provisions of Minnesota Statutes, section 15.039, apply 
  5.6   to the transfer of powers among agencies specified in this act. 
  5.7      Sec. 9. [EFFECTIVE DATE.] 
  5.8      Sections 1 to 3 and 8 are effective July 1, 2002.  Sections 
  5.9   4 to 7 are effective the day following final enactment.