1.1 	A bill for an act
1.2 	relating to the financing of state government; making supplemental appropriations 
1.3 	and reductions in appropriations for early childhood through grade 12 education, 
1.4 	higher education, environment and natural resources, energy, agriculture, 
1.5 	veterans affairs, military affairs, economic development, transportation, public 
1.6 	safety, judiciary, state government, and health and human services; modifying 
1.7 	certain statutory provisions and laws; providing for certain programs; fixing and 
1.8 	limiting fees; authorizing rulemaking; requiring reports; appropriating money;
1.9 	amending Minnesota Statutes 2006, sections 15A.0815, subdivisions 2, as 
1.10 	amended, 3; 17.4988, subdivisions 2, 3; 41A.09, subdivision 3a; 93.481, by 
1.11 	adding a subdivision; 97A.475, subdivision 29; 103A.204; 103A.43; 103B.151, 
1.12 	subdivision 1; 103G.271, subdivision 6; 103G.291, by adding a subdivision; 
1.13 	103G.615, subdivision 2; 116.07, subdivision 4; 116L.04, subdivision 1; 
1.14 	116L.05, subdivisions 3, 5; 116L.16; 116L.20, subdivision 2; 116U.26; 121A.19; 
1.15 	122A.21; 123B.59, subdivision 1; 123B.62; 124D.04, subdivisions 3, 6, 8, 9; 
1.16 	124D.05, by adding a subdivision; 124D.118, subdivision 4; 124D.55; 125A.65, 
1.17 	subdivision 4, by adding a subdivision; 125A.76, by adding a subdivision; 
1.18 	126C.10, subdivision 31, by adding a subdivision; 126C.17, subdivision 9; 
1.19 	126C.40, subdivision 1; 126C.45; 126C.51; 126C.52, subdivision 2, by adding a 
1.20 	subdivision; 126C.53; 126C.55; 127A.45, subdivision 16; 136A.101, subdivision 
1.21 	8; 136G.11, subdivision 1; 145.9255, subdivision 1; 168.013, by adding a 
1.22 	subdivision; 168.1255, by adding a subdivision; 168A.29, as amended; 190.19, 
1.23 	subdivision 1, by adding a subdivision; 190.25, subdivision 3, by adding a 
1.24 	subdivision; 192.501, by adding subdivisions; 216C.41, subdivision 4; 256.741, 
1.25 	subdivisions 2, 2a, 3; 256.969, subdivisions 2b, 3a; 256B.0571, subdivisions 8, 
1.26 	9; 256B.0621, subdivisions 2, 6, 10; 256B.0625, subdivision 13e; 256B.0924, 
1.27 	subdivisions 4, 6; 256B.19, subdivision 1d; 256B.32, subdivision 1; 256B.431, 
1.28 	subdivision 23; 256B.69, subdivisions 5a, 6; 256B.75; 256D.44, subdivisions 
1.29 	2, 5; 270B.085, by adding a subdivision; 298.223, subdivision 2; 298.28, 
1.30 	subdivision 9d, as added; 298.292, subdivision 2, as amended; 298.2961, 
1.31 	subdivision 2; 299A.45, subdivision 1; 299A.705, by adding a subdivision; 
1.32 	325E.313; 325E.314; 357.021, subdivisions 6, 7; 446A.12, subdivision 
1.33 	1; 462A.22, subdivision 1; 473.1565, subdivision 3; 518A.50; 518A.53, 
1.34 	subdivision 5; 609.531, subdivision 1; Minnesota Statutes 2007 Supplement, 
1.35 	sections 80A.65, subdivision 1; 103G.291, subdivision 3; 116L.17, subdivision 
1.36 	1; 123B.54; 124D.531, subdivision 1; 125A.76, subdivision 2; 126C.44; 
1.37 	127A.49, subdivisions 2, 3; 136A.121, subdivision 7a; 144E.45, subdivision 2; 
1.38 	171.06, subdivision 2; 190.19, subdivision 2; 216C.41, subdivision 3; 256.741, 
1.39 	subdivision 1; 256B.0625, subdivision 20; 256B.0631, subdivisions 1, 3; 
2.1 	256B.441, subdivisions 1, 55, 56; 256B.5012, subdivision 7; 256J.621; 297I.06, 
2.2 	subdivision 3; Laws 1999, chapter 223, article 2, section 72; Laws 2005, chapter 
2.3 	156, article 1, section 11, subdivision 2; Laws 2006, chapter 282, article 2, 
2.4 	section 27, subdivision 4; Laws 2007, chapter 45, article 1, section 3, subdivision 
2.5 	4; Laws 2007, chapter 54, article 1, section 11; Laws 2007, chapter 57, article 
2.6 	1, section 4, subdivisions 4, 6; Laws 2007, chapter 135, article 1, sections 3, 
2.7 	subdivisions 2, 3; 6, subdivision 4; Laws 2007, chapter 143, article 1, section 
2.8 	3, subdivision 2; Laws 2007, chapter 144, article 1, sections 3, subdivision 2; 
2.9 	5, subdivision 5; 7; Laws 2007, chapter 146, article 1, section 24, subdivisions 
2.10 	2, 3, 4, 5, 6, 7, 8; article 2, section 46, subdivisions 2, 3, 4, 6, 9, 13, 14, 20; 
2.11 	article 3, sections 23, subdivision 2; 24, subdivisions 3, 4, 9; article 4, section 
2.12 	16, subdivisions 2, 3, 6, 8; article 5, sections 11, subdivision 1; 13, subdivisions 
2.13 	2, 3, 4; article 7, section 4; article 9, section 17, subdivisions 2, 3, 4, 8, 9, 13; 
2.14 	Laws 2007, chapter 147, article 7, section 71; article 19, section 3, subdivision 4; 
2.15 	Laws 2007, chapter 148, article 1, section 12, subdivision 4; Laws 2007, First 
2.16 	Special Session chapter 2, article 1, sections 8, subdivision 2; 11, subdivisions 
2.17 	1, 2, 6; Laws 2008, chapter 152, article 1, section 6, subdivision 2; proposing 
2.18 	coding for new law in Minnesota Statutes, chapters 5; 13B; 85; 94; 103B; 114D; 
2.19 	116J; 124D; 129D; 136F; 144; 173; 192; 256B; proposing coding for new law as 
2.20 	Minnesota Statutes, chapter 62U; repealing Minnesota Statutes 2006, sections 
2.21 	126C.21, subdivision 1; 127A.45, subdivision 7a; 256.741, subdivision 15; 
2.22 	341.31; Laws 2004, chapter 188, section 2; Laws 2007, First Special Session 
2.23 	chapter 2, article 1, section 11, subdivisions 3, 4.
2.24 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.25 	ARTICLE 1
2.26 	SUMMARY
2.27 	(General Fund Only, After Forecast Adjustments)

2.28	Section 1. GENERAL FUND SUMMARY.
 	
2.29 	The amounts shown in this section summarize general fund direct appropriations, 
2.30 	and transfers into the general fund from other funds, made in this act.

2.31			2008
		2009
		Total
	
2.32	E-12 Education
	$
	(1,216,000)
	$
	26,958,000
	$
	25,742,000
	
2.33	Higher Education
		(7,150,000)
		(14,411,000)
		(21,561,000)
	
2.34
2.35	Environment and Natural 
Resources
		(328,000)
		(2,728,000)
		(3,056,000)
	
2.36	Energy
		(2,670,000)
		(1,436,000)
		(4,106,000)
	
2.37	Agriculture
		(200,000)
		388,000
		188,000
	
2.38	Veterans Affairs
		-0-
		4,145,000
		4,145,000
	
2.39	Military Affairs
				390,000
		390,000
	
2.40	Economic Development
		(2,425,000)
		1,512,000
		(913,000)
	
2.41	Transportation
				(255,000)
		(255,000)
	
2.42	Public Safety
		268,000
		(10,490,000)
		(10,222,000)
	
2.43	State Government
				(1,104,000)
		(1,104,000)
	
2.44	Health and Human Services
		(46,789,000)
		(124,196,000)
		(170,985,000)
	
2.45	Subtotal of Appropriations
		(60,510,000)
		(121,227,000)
		(181,737,000)
	
3.1	Transfers In
		22,330,000
		94,897,000
		117,227,000
	
3.2	Total
	$
	(82,840,000)
	$
	(216,124,000)
	$
	(298,964,000)

3.3 	ARTICLE 2
3.4 	EARLY CHILDHOOD THROUGH GRADE 12 EDUCATION

3.5 	Section 1. Minnesota Statutes 2006, section 121A.19, is amended to read:
3.6 	121A.19 DEVELOPMENTAL SCREENING AID.
3.7 	Each school year, the state must pay a district for each child or student screened by 
3.8 	the district according to the requirements of section 121A.17. The amount of state aid 
3.9 	for each child or student screened shall be: (1) $50 $75 for a child screened at age three; 
3.10 	(2) $40 $50 for a child screened at age four; (3) $30 $40 for a child screened at age five 
3.11 	or six prior to kindergarten; and (4) $30 for a student screened within 30 days after first 
3.12 	enrolling in a public school kindergarten if the student has not previously been screened 
3.13 	according to the requirements of section 121A.17. If this amount of aid is insufficient, 
3.14 	the district may permanently transfer from the general fund an amount that, when added 
3.15 	to the aid, is sufficient. Developmental screening aid shall not be paid for any student 
3.16 	who is screened more than 30 days after the first day of attendance at a public school 
3.17 	kindergarten, except if a student transfers to another public school kindergarten within 
3.18 	30 days after first enrolling in a Minnesota public school kindergarten program. In this 
3.19 	case, if the student has not been screened, the district to which the student transfers may 
3.20 	receive developmental screening aid for screening that student when the screening is 
3.21 	performed within 30 days of the transfer date.

3.22 	Sec. 2. Minnesota Statutes 2006, section 122A.21, is amended to read:
3.23 	122A.21 TEACHERS' AND ADMINISTRATORS' LICENSES; FEES.
3.24 		Subdivision 1.Licensure applications. Each application for the issuance, renewal, 
3.25 	or extension of a license to teach, including applications for licensure via portfolio under 
3.26 	subdivision 2, must be accompanied by a processing fee of $57. Each application for 
3.27 	issuing, renewing, or extending the license of a school administrator or supervisor must 
3.28 	be accompanied by a processing fee in the amount set by the Board of Teaching. The 
3.29 	processing fee for a teacher's license and for the licenses of supervisory personnel must 
3.30 	be paid to the executive secretary of the appropriate board. The executive secretary of 
3.31 	the board shall deposit the fees with the commissioner of finance. The fees as set by the 
3.32 	board are nonrefundable for applicants not qualifying for a license. However, a fee must 
3.33 	be refunded by the commissioner of finance in any case in which the applicant already 
4.1 	holds a valid unexpired license. The board may waive or reduce fees for applicants who 
4.2 	apply at the same time for more than one license.
4.3 		Subd. 2.Licensure via portfolio. (a) An eligible candidate may use licensure 
4.4 	via portfolio to obtain an initial licensure or to add a licensure field, consistent with the 
4.5 	applicable Board of Teaching licensure rules.
4.6 	(b) A candidate for initial licensure must submit to the Educator Licensing Division 
4.7 	at the department one portfolio demonstrating pedagogical competence and one portfolio 
4.8 	demonstrating content competence.
4.9 	(c) A candidate seeking to add a licensure field must submit to the Educator 
4.10 	Licensing Division at the department one portfolio demonstrating content competence.
4.11 	(d) A candidate must pay to the executive secretary of the Board of Teaching a 
4.12 	$300 fee for the first portfolio submitted for review and a $200 fee for any portfolio 
4.13 	submitted subsequently. The fees must be paid to the executive secretary of the Board of 
4.14 	Teaching. The revenue generated from the fee must be deposited in an education licensure 
4.15 	portfolio account in the special revenue fund. The fees set by the Board of Teaching are 
4.16 	nonrefundable for applicants not qualifying for a license. The Board of Teaching may 
4.17 	waive or reduce fees for candidates based on financial need.

4.18 	Sec. 3. Minnesota Statutes 2007 Supplement, section 123B.54, is amended to read:
4.19 	123B.54 DEBT SERVICE APPROPRIATION.
4.20 	(a) $14,813,000 $14,814,000 in fiscal year 2008, $11,124,000 $9,109,000 in fiscal 
4.21 	year 2009, $8,866,000 $7,286,000 in fiscal year 2010, and $6,631,000 $6,878,000 in 
4.22 	fiscal year 2011 and later are appropriated from the general fund to the commissioner of 
4.23 	education for payment of debt service equalization aid under section 123B.53.
4.24 	(b) The appropriations in paragraph (a) must be reduced by the amount of any 
4.25 	money specifically appropriated for the same purpose in any year from any state fund.

4.26 	Sec. 4. Minnesota Statutes 2006, section 123B.59, subdivision 1, is amended to read:
4.27 		Subdivision 1.To qualify. (a) An independent or special school district qualifies to 
4.28 	participate in the alternative facilities bonding and levy program if the district has:
4.29 	(1) more than 66 students per grade;
4.30 	(2) over 1,850,000 square feet of space and the average age of building space is 15 
4.31 	years or older or over 1,500,000 square feet and the average age of building space is 
4.32 	35 years or older;
5.1 	(3) insufficient funds from projected health and safety revenue and capital facilities 
5.2 	revenue to meet the requirements for deferred maintenance, to make accessibility 
5.3 	improvements, or to make fire, safety, or health repairs; and
5.4 	(4) a ten-year facility plan approved by the commissioner according to subdivision 2.
5.5 	(b) An independent or special school district not eligible to participate in the 
5.6 	alternative facilities bonding and levy program under paragraph (a) qualifies for limited 
5.7 	participation in the program if the district has:
5.8 	(1) one or more health and safety projects with an estimated cost of $500,000 or 
5.9 	more per site that would qualify for health and safety revenue except for the project size 
5.10 	limitation in section 123B.57, subdivision 1, paragraph (b); and 
5.11 	(2) insufficient funds from capital facilities revenue to fund those projects.
5.12 	(c) Notwithstanding the square footage limitation in paragraph (a), clause (2), 
5.13 	a school district that qualified for eligibility under paragraph (a) as of July 1, 2007, 
5.14 	remains eligible for funding under this section as long as the district continues to meet 
5.15 	the requirements of paragraph (a), clauses (1), (3), and (4).

5.16 	EFFECTIVE DATE. This section is effective the day following final enactment.

5.17 	Sec. 5. Minnesota Statutes 2006, section 123B.62, is amended to read:
5.18 	123B.62 BONDS FOR CERTAIN CAPITAL FACILITIES.
5.19 	(a) In addition to other bonding authority, with approval of the commissioner, a 
5.20 	district may issue general obligation bonds for certain capital projects under this section. 
5.21 	The bonds must be used only to make capital improvements including:
5.22 	(1) under section 126C.10, subdivision 14, total operating capital revenue uses 
5.23 	specified in clauses (4), (6), (7), (8), (9), and (10); 
5.24 	(2) the cost of energy modifications;
5.25 	(3) improving disability accessibility to school buildings; and
5.26 	(4) bringing school buildings into compliance with life and safety codes and fire 
5.27 	codes; and
5.28 	(5) modifying buildings and equipment for security.
5.29 	(b) Before a district issues bonds under this subdivision, it must publish notice 
5.30 	of the intended projects, the amount of the bond issue, and the total amount of district 
5.31 	indebtedness.
5.32 	(c) A bond issue tentatively authorized by the board under this subdivision becomes 
5.33 	finally authorized unless a petition signed by more than 15 percent of the registered voters 
5.34 	of the district is filed with the school board within 30 days of the board's adoption of a 
6.1 	resolution stating the board's intention to issue bonds. The percentage is to be determined 
6.2 	with reference to the number of registered voters in the district on the last day before the 
6.3 	petition is filed with the board. The petition must call for a referendum on the question of 
6.4 	whether to issue the bonds for the projects under this section. The approval of 50 percent 
6.5 	plus one of those voting on the question is required to pass a referendum authorized 
6.6 	by this section.
6.7 	(d) The bonds must be paid off within ten15 years of issuance. The bonds must be 
6.8 	issued in compliance with chapter 475, except as otherwise provided in this section. A tax 
6.9 	levy must be made for the payment of principal and interest on the bonds in accordance 
6.10 	with section 475.61. The sum of the tax levies under this section and section 123B.61 for 
6.11 	each year must not exceed the limit specified in section 123B.61. The levy for each year 
6.12 	must be reduced as provided in section 123B.61. A district using an excess amount in the 
6.13 	debt redemption fund to retire the bonds shall report the amount used for this purpose to 
6.14 	the commissioner by July 15 of the following fiscal year. A district having an outstanding 
6.15 	capital loan under section 126C.69 or an outstanding debt service loan under section 
6.16 	126C.68 must not use an excess amount in the debt redemption fund to retire the bonds. 
6.17 	(e) Notwithstanding paragraph (d), bonds issued by a district within the first 
6.18 	five years following voter approval of a combination according to section 123A.37, 
6.19 	subdivision 2, must be paid off within 20 years of issuance. All the other provisions and 
6.20 	limitation of paragraph (d) apply. 

6.21 	Sec. 6. Minnesota Statutes 2006, section 124D.04, subdivision 3, is amended to read:
6.22 		Subd. 3.Pupils in adjoining states. Except as provided under an agreement with 
6.23 	an adjoining state under section 124D.041, a non-Minnesota pupil who resides in an 
6.24 	adjoining state in a district that borders Minnesota may enroll in a Minnesota district if 
6.25 	either the board of the district in which the pupil resides or state in which the pupil resides 
6.26 	pays tuition to the district in which the pupil is enrolled.

6.27 	Sec. 7. Minnesota Statutes 2006, section 124D.04, subdivision 6, is amended to read:
6.28 		Subd. 6.Tuition payments. (a) In each odd-numbered year, before March 1, the 
6.29 	commissioner must agree to rates of tuition for Minnesota elementary and secondary 
6.30 	pupils attending in other states for the next two fiscal years when the other state agrees to 
6.31 	negotiate tuition rates. The commissioner must negotiate equal, reciprocal rates with the 
6.32 	designated authority in each state for pupils who reside in an adjoining state and enroll in 
6.33 	a Minnesota district. The rates must be at least equal to the tuition specified in section 
6.34 	124D.05, subdivision 1. If the other state does not agree to negotiate a general tuition rate, 
7.1 	a Minnesota school district may negotiate a tuition rate with the school district in the other 
7.2 	state that sends a pupil to or receives a pupil from the Minnesota school district. The 
7.3 	tuition rate for a pupil with a disability must be equal to the actual cost of instruction and 
7.4 	services provided. The resident district of a Minnesota pupil attending in another state 
7.5 	under this section must pay the amount of tuition agreed upon in this section to the district 
7.6 	of attendance, prorated on the basis of the proportion of the school year attended. 
7.7 	(b) Notwithstanding paragraph (a) and subdivision 9, if an agreement is reached 
7.8 	between the state of Minnesota and an adjoining state pursuant to section 124D.041, 
7.9 	the provisions of section 124D.041 and the agreement shall apply to all enrollment 
7.10 	transfers between Minnesota and the adjoining state, and provisions of paragraph (a) 
7.11 	and subdivision 9 shall not apply.

7.12 	Sec. 8. Minnesota Statutes 2006, section 124D.04, subdivision 8, is amended to read:
7.13 		Subd. 8.Effective if reciprocal. This section is effective with respect to South 
7.14 	Dakota upon enactment of provisions by South Dakota that the commissioner determines 
7.15 	are essentially similar to the provisions for Minnesota pupils in this section. This section 
7.16 	is effective with respect to any other bordering state upon enactment of provisions by the 
7.17 	bordering state that the commissioner determines are essentially similar to the provisions 
7.18 	for Minnesota pupils in this section.

7.19 	Sec. 9. Minnesota Statutes 2006, section 124D.04, subdivision 9, is amended to read:
7.20 		Subd. 9.Appeal to the commissioner. If a Minnesota school district cannot agree 
7.21 	with an adjoining state on a tuition rate for a Minnesota student attending school in that 
7.22 	state and that state has met the requirements in subdivision 8, then the student's parent or 
7.23 	guardian may request that the commissioner agree on set a tuition rate for the student. The 
7.24 	Minnesota district must pay the amount of tuition the commissioner agrees upon sets.

7.25 	Sec. 10. [124D.041] RECIPROCITY WITH ADJOINING STATES.
7.26 		Subdivision 1.Agreements. (a) The commissioner may enter into an agreement 
7.27 	with the designated authority from an adjoining state to establish an enrollment options 
7.28 	program between Minnesota and the adjoining state. Any agreement entered into pursuant 
7.29 	to this section must specify the following:
7.30 	(1) for students who are not residents of Minnesota, the enrollment options program 
7.31 	applies only to a student whose resident school district borders Minnesota;
7.32 	(2) the commissioner must negotiate equal, reciprocal rates with the designated 
7.33 	authority from the adjoining state;
8.1 	(3) if the adjoining state sends more students to Minnesota than Minnesota sends to 
8.2 	the adjoining state, the adjoining state must pay the state of Minnesota the rate agreed 
8.3 	upon under clause (2) for the excess number of students sent to Minnesota;
8.4 	(4) if Minnesota sends more students to the adjoining state than the adjoining state 
8.5 	sends to Minnesota, the state of Minnesota will pay the adjoining state the rate agreed 
8.6 	upon under clause (2) for the excess number of students sent to the adjoining state;
8.7 	(5) the application procedures for the enrollment options program between 
8.8 	Minnesota and the adjoining state;
8.9 	(6) the reasons for which an application for the enrollment options program between 
8.10 	Minnesota and the adjoining may be denied; and
8.11 	(7) that a Minnesota school district is not responsible for transportation for any 
8.12 	resident student attending school in an adjoining state under the provisions of this section. 
8.13 	A Minnesota school district may, at its discretion, provide transportation services for 
8.14 	such a student.
8.15 	(b) Any agreement entered into pursuant to this section may specify additional terms 
8.16 	relating to any student in need of special education and related services pursuant to chapter 
8.17 	125A. Any additional terms must apply equally to both states.
8.18 		Subd. 2.Pupil accounting. (a) Any student from an adjoining state enrolled in 
8.19 	Minnesota pursuant to this section is included in the receiving school district's average 
8.20 	daily membership and pupil units according to section 126C.05 as if the student were 
8.21 	a resident of another Minnesota school district attending the receiving school district 
8.22 	under section 124D.03.
8.23 	(b) Any Minnesota resident student enrolled in an adjoining state pursuant to this 
8.24 	section is included in the resident school district's average daily membership and pupil 
8.25 	units according to section 126C.05 as if the student were a resident of the district attending 
8.26 	another Minnesota school district under section 124D.03.
8.27 		Subd. 3.Procedures. (a) The Department of Education must establish procedures 
8.28 	relating to the application process, the collection or payment of funds under the provisions 
8.29 	of any agreement established pursuant to this section, and the collection of data necessary 
8.30 	to implement any agreement established pursuant to this section.
8.31 	(b) Notwithstanding sections 124A.04 and 124A.05, if an agreement is established 
8.32 	between Minnesota and an adjoining state pursuant to this section, the provisions of this 
8.33 	section and the agreement shall apply to all enrollment transfers between Minnesota and 
8.34 	the adjoining state, and provisions of sections 124D.04 and 124D.05 to the contrary, 
8.35 	including provisions relating to tuition payments, shall not apply.
9.1 	(c) Notwithstanding paragraph (a), any payments to adjoining states under this 
9.2 	section shall be made according to section 127A.45, subdivision 16.
9.3 	(d) Notwithstanding paragraph (b), sections 124D.04, subdivision 6, paragraph (b), 
9.4 	and 124D.05, subdivision 2a, the provisions of this section and the agreement shall not 
9.5 	apply to: (i) enrollment transfers between Minnesota and a school district in an adjoining 
9.6 	state enrolling fewer than 150 pupils that is exempted from participation in the program 
9.7 	under the laws of the adjoining state; or (ii) enrollment transfers between Minnesota and a 
9.8 	school district in an adjoining state under a board agreement initiated in fiscal year 2009 to 
9.9 	serve students in grade levels discontinued by the resident district.

9.10 	Sec. 11. Minnesota Statutes 2006, section 124D.05, is amended by adding a 
9.11 	subdivision to read:
9.12 		Subd. 2a.Exception. Notwithstanding subdivisions 1 and 2, if an agreement 
9.13 	is reached between the state of Minnesota and an adjoining state pursuant to section 
9.14 	124D.041, the provisions of section 124D.041 and the agreement shall apply to all 
9.15 	enrollment transfers between Minnesota and the adjoining state, and provisions of 
9.16 	subdivisions 1 and 2 to the contrary, including provisions relating to tuition payments, 
9.17 	shall not apply.

9.18 	Sec. 12. Minnesota Statutes 2006, section 124D.118, subdivision 4, is amended to read:
9.19 		Subd. 4.Reimbursement. In accordance with program guidelines, the 
9.20 	commissioner shall reimburse each participating public or nonpublic school 1420 cents 
9.21 	for each half-pint of milk that is served to kindergarten students and is not part of a school 
9.22 	lunch or breakfast reimbursed under section 124D.111 or 124D.1158.

9.23 	Sec. 13. [124D.141] STATE ADVISORY COUNCIL ON EARLY CHILDHOOD 
9.24 	EDUCATION AND CARE.
9.25 		Subdivision 1.Membership; Duties. Two members of the house of representatives, 
9.26 	one appointed by the speaker and one appointed by the minority leader; and two members 
9.27 	of the senate appointed by the Subcommittee on Committees of the Committee on Rules 
9.28 	and Administration, including one member of the minority; and two parents with a 
9.29 	child under age six, shall be added to the membership of the State Advisory Council on 
9.30 	Early Education and Care. The council must fulfill the duties required under the federal 
9.31 	Improving Head Start for School Readiness Act of 2007 as provided in Public Law 
9.32 	110-134.
10.1 		Subd. 2.Additional duties. The following duties are added to those assigned 
10.2 	to the council under federal law:
10.3 	(1) make recommendations on the most efficient and effective way to leverage state 
10.4 	and federal funding streams for early childhood and child care programs;
10.5 	(2) make recommendations on how to coordinate or colocate early childhood and 
10.6 	child care programs in one state Office of Early Learning;
10.7 	(3) review program evaluations regarding high-quality early childhood programs; 
10.8 	and
10.9 	(4) make recommendations to the governor and legislature, including proposed 
10.10 	legislation on how to most effectively create a high quality early childhood system in 
10.11 	Minnesota in order to improve the educational outcomes of children so that all children 
10.12 	are school-ready by 2020.
10.13 		Subd. 3.Administration. An amount up to $12,500 from federal child care 
10.14 	and development fund administrative funds and up to $12,500 from prekindergarten 
10.15 	exploratory project funds appropriated under Laws 2007, chapter 147, article 19, section 
10.16 	3, may be used to reimburse the parents on the council and for technical assistance and 
10.17 	administrative support of the State Advisory Council on Early Childhood Education and 
10.18 	Care. This funding stream is for fiscal year 2009. The council may pursue additional 
10.19 	funds from state, federal, and private sources. If additional operational funds are received, 
10.20 	the council must reduce the amount of prekindergarten exploratory project funds used 
10.21 	in an equal amount.

10.22 	Sec. 14. Minnesota Statutes 2007 Supplement, section 124D.531, subdivision 1, 
10.23 	is amended to read:
10.24 		Subdivision 1.State total adult basic education aid. (a) The state total adult basic 
10.25 	education aid for fiscal year 2005 is $36,509,000. The state total adult basic education 
10.26 	aid for fiscal year 2006 equals $36,587,000 plus any amount that is not paid for during 
10.27 	the previous fiscal year, as a result of adjustments under subdivision 4, paragraph (a), or 
10.28 	section 124D.52, subdivision 3. The state total adult basic education aid for fiscal year 
10.29 	2007 equals $37,673,000 plus any amount that is not paid for during the previous fiscal 
10.30 	year, as a result of adjustments under subdivision 4, paragraph (a), or section 124D.52, 
10.31 	subdivision 3. The state total adult basic education aid for fiscal year 2008 equals 
10.32 	$40,650,000, plus any amount that is not paid during the previous fiscal year as a result of 
10.33 	adjustments under subdivision 4, paragraph (a), or section 124D.52, subdivision 3. The 
10.34 	state total adult basic education aid for later fiscal years equals:
11.1 	(1) the state total adult basic education aid for the preceding fiscal year plus any 
11.2 	amount that is not paid for during the previous fiscal year, as a result of adjustments under 
11.3 	subdivision 4, paragraph (a), or section 124D.52, subdivision 3; times
11.4 	(2) the lesser of:
11.5 	(i) 1.03; or
11.6 	(ii) the greater of 1.00 or the ratio of the state total contact hours in the first prior 
11.7 	program year to the state total contact hours in the second prior program year the average 
11.8 	growth in state total contact hours over the prior 10 program years.
11.9 	Beginning in fiscal year 2002, two percent of the state total adult basic education 
11.10 	aid must be set aside for adult basic education supplemental service grants under section 
11.11 	124D.522.
11.12 	(b) The state total adult basic education aid, excluding basic population aid, equals 
11.13 	the difference between the amount computed in paragraph (a), and the state total basic 
11.14 	population aid under subdivision 2.

11.15 	Sec. 15. Minnesota Statutes 2006, section 124D.55, is amended to read:
11.16 	124D.55 GENERAL EDUCATION DEVELOPMENT (GED) TEST FEES.
11.17 	The commissioner shall pay 60 percent of the fee that is charged to an eligible 
11.18 	individual for the full battery of a general education development (GED) test, but not 
11.19 	more than $20$40 for an eligible individual.

11.20 	Sec. 16. Minnesota Statutes 2006, section 125A.65, subdivision 4, is amended to read:
11.21 		Subd. 4.Unreimbursed costs. (a) For fiscal year 2006, in addition to the tuition 
11.22 	charge allowed in subdivision 3, the academies may charge the child's district of residence 
11.23 	for the academy's unreimbursed cost of providing an instructional aide assigned to that 
11.24 	child, after deducting the special education aid under section 125A.76, attributable to the 
11.25 	child, if that aide is required by the child's individual education plan. Tuition received 
11.26 	under this paragraph must be used by the academies to provide the required service.
11.27 	(b) For fiscal year 20072008 and later, the special education aid paid to the 
11.28 	academies shall be increased by the academy's unreimbursed cost of providing anone 
11.29 	to one instructional aideand behavioral management aides assigned to a child, after 
11.30 	deducting the special education aid under section 125A.76 attributable to the child, if that 
11.31 	aide isthe aides are required by the child's individual education plan. Aid received under 
11.32 	this paragraph must be used by the academies to provide the required service.
12.1 	(c) For fiscal year 20072008 and later, the special education aid paid to the district 
12.2 	of the child's residence shall be reduced by the amount paid to the academies for district 
12.3 	residents under paragraph (b).
12.4 	(d) Notwithstanding section 127A.45, subdivision 3, beginning in fiscal year 2008, 
12.5 	the commissioner shall make an estimated final adjustment payment to the Minnesota 
12.6 	State Academies for general education aid and special education aid for the prior fiscal 
12.7 	year by August 15.
12.8 	(e) For fiscal year 2007, the academies may retain receipts received through mutual 
12.9 	agreements with school districts for one to one behavior management aides.

12.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

12.11 	Sec. 17. Minnesota Statutes 2006, section 125A.65, is amended by adding a 
12.12 	subdivision to read:
12.13 		Subd. 11.Third-party reimbursement. The Minnesota State Academies must seek 
12.14 	reimbursement under section 125A.21 from third parties for the cost of services provided 
12.15 	by the Minnesota State Academies whenever the services provided are otherwise covered 
12.16 	by a child's public or private health plan.

12.17 	EFFECTIVE DATE. This section is effective the day following final enactment 
12.18 	for revenue in fiscal years 2008 and later.

12.19 	Sec. 18. Minnesota Statutes 2007 Supplement, section 125A.76, subdivision 2, is 
12.20 	amended to read:
12.21 		Subd. 2.Special education initial aid.  The special education initial aid equals the 
12.22 	sum of the following amounts computed using current year data:
12.23 	(1) 68 percent of the salary of each essential person employed in the district's 
12.24 	program for children with a disability during the fiscal year, whether the person is 
12.25 	employed by one or more districts or a Minnesota correctional facility operating on a 
12.26 	fee-for-service basis;
12.27 	(2) for the Minnesota State Academy for the Deaf or the Minnesota State Academy 
12.28 	for the Blind, 68 percent of the salary of each one to one instructional and behavior 
12.29 	management aide assigned to a child attending the academy, if thataideisthe aides are 
12.30 	required by the child's individual education plan;
12.31 	(3) for special instruction and services provided to any pupil by contracting with 
12.32 	public, private, or voluntary agencies other than school districts, in place of special 
12.33 	instruction and services provided by the district, 52 percent of the difference between 
13.1 	the amount of the contract and the general education revenue, excluding basic skills 
13.2 	revenue and alternative teacher compensation revenue, and referendum equalization aid 
13.3 	attributable to a pupil, calculated using the resident district's average general education 
13.4 	revenue and referendum equalization aid per adjusted pupil unit for the fraction of the 
13.5 	school day the pupil receives services under the contract. This includes children who 
13.6 	are residents of the state, receive services under this subdivision and subdivision 1, and 
13.7 	are placed in a care and treatment facility by court action in a state that does not have a 
13.8 	reciprocity agreement with the commissioner under section 125A.155 as provided for in 
13.9 	section 125A.79, subdivision 8; 
13.10 	(4) for special instruction and services provided to any pupil by contracting for 
13.11 	services with public, private, or voluntary agencies other than school districts, that are 
13.12 	supplementary to a full educational program provided by the school district, 52 percent of 
13.13 	the amount of the contract for that pupil;
13.14 	(5) for supplies and equipment purchased or rented for use in the instruction of 
13.15 	children with a disability, an amount equal to 47 percent of the sum actually expended by 
13.16 	the district, or a Minnesota correctional facility operating on a fee-for-service basis, but 
13.17 	not to exceed an average of $47 in any one school year for each child with a disability 
13.18 	receiving instruction;
13.19 	(6) for fiscal years 1997 and later, special education base revenue shall include 
13.20 	amounts under clauses (1) to (5) for special education summer programs provided during 
13.21 	the base year for that fiscal year; 
13.22 	(7) the cost of providing transportation services for children with disabilities under 
13.23 	section 123B.92, subdivision 1, paragraph (b), clause (4); and
13.24 	(8) the district's transition-disabled program initial aid according to section 
13.25 	124D.454, subdivision 3. 
13.26 	The department shall establish procedures through the uniform financial accounting 
13.27 	and reporting system to identify and track all revenues generated from third-party billings 
13.28 	as special education revenue at the school district level; include revenue generated from 
13.29 	third-party billings as special education revenue in the annual cross-subsidy report; and 
13.30 	exclude third-party revenue from calculation of excess cost aid to the districts.

13.31 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2008.

13.32 	Sec. 19. Minnesota Statutes 2006, section 125A.76, is amended by adding a 
13.33 	subdivision to read:
13.34 		Subd. 4a.Adjustments for tuition reciprocity with adjoining states. (a) If an 
13.35 	agreement is reached between the state of Minnesota and an adjoining state pursuant to 
14.1 	section 124D.041 that requires a special education tuition payment from the state of 
14.2 	Minnesota to the adjoining state, the tuition payment shall be made from the special 
14.3 	education aid appropriation for that year, and the state total special education aid under 
14.4 	subdivision 4 shall be reduced by the amount of the payment.
14.5 	(b) If an agreement is reached between the state of Minnesota and an adjoining state 
14.6 	pursuant to section 124D.041 that requires a special education tuition payment from 
14.7 	an adjoining state to the state of Minnesota, the special education aid appropriation for 
14.8 	that year and the state total special education aid under subdivision 4 shall be increased 
14.9 	by the amount of the payment.
14.10 	(c) If an agreement is reached between the state of Minnesota and an adjoining state 
14.11 	pursuant to section 124D.041 that requires special education tuition payments to be made 
14.12 	between the two states and not between districts in the two states, the special education aid 
14.13 	for a Minnesota school district serving a student with a disability from the adjoining state 
14.14 	shall be calculated according to section 127A.47, subdivision 7, except that no reduction 
14.15 	shall be made in the special education aid paid to the resident district.

14.16 	Sec. 20. Minnesota Statutes 2006, section 126C.10, subdivision 31, is amended to read:
14.17 		Subd. 31.Transition revenue. (a) A district's transition allowance equals the 
14.18 	greater of zero or the product of the ratio of the number of adjusted marginal cost pupil 
14.19 	units the district would have counted for fiscal year 2004 under Minnesota Statutes 2002 
14.20 	to the district's adjusted marginal cost pupil units for fiscal year 2004, times the difference 
14.21 	between: (1) the lesser of the district's general education revenue per adjusted marginal 
14.22 	cost pupil unit for fiscal year 2003 or the amount of general education revenue the district 
14.23 	would have received per adjusted marginal cost pupil unit for fiscal year 2004 according 
14.24 	to Minnesota Statutes 2002, and (2) the district's general education revenue for fiscal year 
14.25 	2004 excluding transition revenue divided by the number of adjusted marginal cost pupil 
14.26 	units the district would have counted for fiscal year 2004 under Minnesota Statutes 2002.
14.27 	(b) A district's transition revenue for fiscal year years 2006 and later through 2009
14.28 	equals the sum of the product of the district's transition allowance times the district's 
14.29 	adjusted marginal cost pupil units plus the district's transition for prekindergarten revenue 
14.30 	under subdivision 31a.
14.31 	(c) A district's transition revenue for fiscal year 2010 and later equals the sum of 
14.32 	the product of the district's transition allowance times the district's adjusted marginal cost 
14.33 	pupil units plus the district's transition for prekindergarten revenue under subdivision 31a 
14.34 	plus the district's transition for tuition reciprocity revenue under subdivision 31c.

15.1 	Sec. 21. Minnesota Statutes 2006, section 126C.10, is amended by adding a 
15.2 	subdivision to read:
15.3 		Subd. 31c.Transition for tuition reciprocity revenue. For the first year that a 
15.4 	tuition reciprocity agreement with an adjoining state is in effect under section 124D.041 
15.5 	and later, a school district's transition for tuition reciprocity revenue equals the greater of 
15.6 	zero or the difference between the sum of the general education revenue and net tuition 
15.7 	revenue the district would have received for pupils enrolled under section 124D.041 for 
15.8 	the first year the agreement is in effect if the agreement had not been in effect, and the 
15.9 	sum of the district's general education revenue and net tuition revenue for the first year 
15.10 	the agreement is in effect.

15.11 	Sec. 22. Minnesota Statutes 2006, section 126C.17, subdivision 9, is amended to read:
15.12 		Subd. 9.Referendum revenue. (a) The revenue authorized by section 126C.10, 
15.13 	subdivision 1, may be increased in the amount approved by the voters of the district at a 
15.14 	referendum called for the purpose. The referendum may be called by the board or shall be 
15.15 	called by the board upon written petition of qualified voters of the district. The referendum 
15.16 	must be conducted one or two calendar years before the increased levy authority, if 
15.17 	approved, first becomes payable. Only one election to approve an increase may be held 
15.18 	in a calendar year. Unless the referendum is conducted by mail under paragraph (g), the 
15.19 	referendum must be held on the first Tuesday after the first Monday in November. The 
15.20 	ballot must state the maximum amount of the increased revenue per resident marginal cost 
15.21 	pupil unit. The ballot may state a schedule, determined by the board, of increased revenue 
15.22 	per resident marginal cost pupil unit that differs from year to year over the number of 
15.23 	years for which the increased revenue is authorized or may state that the amount shall 
15.24 	increase annually by the rate of inflation. For this purpose, the rate of inflation shall be 
15.25 	the annual inflationary increase calculated under subdivision 2, paragraph (b). The ballot 
15.26 	may state that existing referendum levy authority is expiring. In this case, the ballot may 
15.27 	also compare the proposed levy authority to the existing expiring levy authority, and 
15.28 	express the proposed increase as the amount, if any, over the expiring referendum levy 
15.29 	authority. The ballot must designate the specific number of years, not to exceed ten, for 
15.30 	which the referendum authorization applies. The ballot, including a ballot on the question 
15.31 	to revoke or reduce the increased revenue amount under paragraph (c), must abbreviate 
15.32 	the term "per resident marginal cost pupil unit" as "per pupil." The notice required under 
15.33 	section 275.60 may be modified to read, in cases of renewing existing levies at the same 
15.34 	amount per pupil as in the previous year:
16.1 	"BY VOTING "YES" ON THIS BALLOT QUESTION, YOU MAY BE VOTING 
16.2 	FOR A PROPERTY TAX INCREASE ARE VOTING TO EXTEND AN EXISTING 
16.3 	PROPERTY TAX REFERENDUM THAT IS SCHEDULED TO EXPIRE."
16.4 	The ballot may contain a textual portion with the information required in this 
16.5 	subdivision and a question stating substantially the following:
16.6 	"Shall the increase in the revenue proposed by (petition to) the board of ........., 
16.7 	School District No. .., be approved?"
16.8 	If approved, an amount equal to the approved revenue per resident marginal cost 
16.9 	pupil unit times the resident marginal cost pupil units for the school year beginning in 
16.10 	the year after the levy is certified shall be authorized for certification for the number of 
16.11 	years approved, if applicable, or until revoked or reduced by the voters of the district at a 
16.12 	subsequent referendum.
16.13 	(b) The board must prepare and deliver by first class mail at least 15 days but no more 
16.14 	than 30 days before the day of the referendum to each taxpayer a notice of the referendum 
16.15 	and the proposed revenue increase. The board need not mail more than one notice to any 
16.16 	taxpayer. For the purpose of giving mailed notice under this subdivision, owners must be 
16.17 	those shown to be owners on the records of the county auditor or, in any county where 
16.18 	tax statements are mailed by the county treasurer, on the records of the county treasurer. 
16.19 	Every property owner whose name does not appear on the records of the county auditor 
16.20 	or the county treasurer is deemed to have waived this mailed notice unless the owner 
16.21 	has requested in writing that the county auditor or county treasurer, as the case may be, 
16.22 	include the name on the records for this purpose. The notice must project the anticipated 
16.23 	amount of tax increase in annual dollars for typical residential homesteads, agricultural 
16.24 	homesteads, apartments, and commercial-industrial property within the school district.
16.25 	The notice for a referendum may state that an existing referendum levy is expiring 
16.26 	and project the anticipated amount of increase over the existing referendum levy in 
16.27 	the first year, if any, in annual dollars for typical residential homesteads, agricultural 
16.28 	homesteads, apartments, and commercial-industrial property within the district.
16.29 	The notice must include the following statement: "Passage of this referendum will 
16.30 	result in an increase in your property taxes." However, in cases of renewing existing 
16.31 	levies, the notice may include the following statement: "Passage of this referendum may 
16.32 	result in an increase in your property taxes extends an existing operating referendum at the 
16.33 	same amount per pupil as in the previous year." 
16.34 	(c) A referendum on the question of revoking or reducing the increased revenue 
16.35 	amount authorized pursuant to paragraph (a) may be called by the board and shall be called 
16.36 	by the board upon the written petition of qualified voters of the district. A referendum to 
17.1 	revoke or reduce the revenue amount must state the amount per resident marginal cost 
17.2 	pupil unit by which the authority is to be reduced. Revenue authority approved by the 
17.3 	voters of the district pursuant to paragraph (a) must be available to the school district at 
17.4 	least once before it is subject to a referendum on its revocation or reduction for subsequent 
17.5 	years. Only one revocation or reduction referendum may be held to revoke or reduce 
17.6 	referendum revenue for any specific year and for years thereafter.
17.7 	(d) A petition authorized by paragraph (a) or (c) is effective if signed by a number of 
17.8 	qualified voters in excess of 15 percent of the registered voters of the district on the day 
17.9 	the petition is filed with the board. A referendum invoked by petition must be held on the 
17.10 	date specified in paragraph (a).
17.11 	(e) The approval of 50 percent plus one of those voting on the question is required to 
17.12 	pass a referendum authorized by this subdivision.
17.13 	(f) At least 15 days before the day of the referendum, the district must submit a 
17.14 	copy of the notice required under paragraph (b) to the commissioner and to the county 
17.15 	auditor of each county in which the district is located. Within 15 days after the results 
17.16 	of the referendum have been certified by the board, or in the case of a recount, the 
17.17 	certification of the results of the recount by the canvassing board, the district must notify 
17.18 	the commissioner of the results of the referendum.

17.19 	EFFECTIVE DATE. This section is effective for elections conducted on or after 
17.20 	July 1, 2008.

17.21 	Sec. 23. Minnesota Statutes 2006, section 126C.40, subdivision 1, is amended to read:
17.22 		Subdivision 1.To lease building or land. (a) When an independent or a special 
17.23 	school district or a group of independent or special school districts finds it economically 
17.24 	advantageous to rent or lease a building or land for any instructional purposes or for 
17.25 	school storage or furniture repair, and it determines that the operating capital revenue 
17.26 	authorized under section 126C.10, subdivision 13, is insufficient for this purpose, it may 
17.27 	apply to the commissioner for permission to make an additional capital expenditure levy 
17.28 	for this purpose. An application for permission to levy under this subdivision must contain 
17.29 	financial justification for the proposed levy, the terms and conditions of the proposed 
17.30 	lease, and a description of the space to be leased and its proposed use.
17.31 	(b) The criteria for approval of applications to levy under this subdivision must 
17.32 	include: the reasonableness of the price, the appropriateness of the space to the proposed 
17.33 	activity, the feasibility of transporting pupils to the leased building or land, conformity 
17.34 	of the lease to the laws and rules of the state of Minnesota, and the appropriateness of 
17.35 	the proposed lease to the space needs and the financial condition of the district. The 
18.1 	commissioner must not authorize a levy under this subdivision in an amount greater than 
18.2 	the cost to the district of renting or leasing a building or land for approved purposes. 
18.3 	The proceeds of this levy must not be used for custodial or other maintenance services. 
18.4 	A district may not levy under this subdivision for the purpose of leasing or renting a 
18.5 	district-owned building or site to itself.
18.6 	(c) For agreements finalized after July 1, 1997, a district may not levy under this 
18.7 	subdivision for the purpose of leasing: (1) a newly constructed building used primarily 
18.8 	for regular kindergarten, elementary, or secondary instruction; or (2) a newly constructed 
18.9 	building addition or additions used primarily for regular kindergarten, elementary, or 
18.10 	secondary instruction that contains more than 20 percent of the square footage of the 
18.11 	previously existing building.
18.12 	(d) Notwithstanding paragraph (b), a district may levy under this subdivision for the 
18.13 	purpose of leasing or renting a district-owned building or site to itself only if the amount 
18.14 	is needed by the district to make payments required by a lease purchase agreement, 
18.15 	installment purchase agreement, or other deferred payments agreement authorized by law, 
18.16 	and the levy meets the requirements of paragraph (c). A levy authorized for a district by 
18.17 	the commissioner under this paragraph may be in the amount needed by the district to 
18.18 	make payments required by a lease purchase agreement, installment purchase agreement, 
18.19 	or other deferred payments agreement authorized by law, provided that any agreement 
18.20 	include a provision giving the school districts the right to terminate the agreement 
18.21 	annually without penalty.
18.22 	(e) The total levy under this subdivision for a district for any year must not exceed 
18.23 	$100$150 times the resident pupil units for the fiscal year to which the levy is attributable.
18.24 	(f) For agreements for which a review and comment have been submitted to the 
18.25 	Department of Education after April 1, 1998, the term "instructional purpose" as used in 
18.26 	this subdivision excludes expenditures on stadiums.
18.27 	(g) The commissioner of education may authorize a school district to exceed the 
18.28 	limit in paragraph (e) if the school district petitions the commissioner for approval. The 
18.29 	commissioner shall grant approval to a school district to exceed the limit in paragraph (e) 
18.30 	for not more than five years if the district meets the following criteria:
18.31 	(1) the school district has been experiencing pupil enrollment growth in the 
18.32 	preceding five years;
18.33 	(2) the purpose of the increased levy is in the long-term public interest;
18.34 	(3) the purpose of the increased levy promotes colocation of government services; 
18.35 	and
19.1 	(4) the purpose of the increased levy is in the long-term interest of the district by 
19.2 	avoiding over construction of school facilities.
19.3 	(h) A school district that is a member of an intermediate school district may include 
19.4 	in its authority under this section the costs associated with leases of administrative and 
19.5 	classroom space for intermediate school district programs. This authority must not 
19.6 	exceed $25$43  times the adjusted marginal cost pupil units of the member districts. This 
19.7 	authority is in addition to any other authority authorized under this section.
19.8 	(i) In addition to the allowable capital levies in paragraph (a), a district that is a 
19.9 	member of the "Technology and Information Education Systems" data processing joint 
19.10 	board, that finds it economically advantageous to enter into a lease purchase agreement for 
19.11 	a building for a group of school districts or special school districts for staff development 
19.12 	purposes, may levy for its portion of lease costs attributed to the district within the total 
19.13 	levy limit in paragraph (e).

19.14 	Sec. 24. Minnesota Statutes 2007 Supplement, section 126C.44, is amended to read:
19.15 	126C.44 SAFE SCHOOLS LEVY.
19.16 	(a) Each district may make a levy on all taxable property located within the district 
19.17 	for the purposes specified in this section. The maximum amount which may be levied 
19.18 	for all costs under this section shall be equal to $30 multiplied by the district's adjusted 
19.19 	marginal cost pupil units for the school year. The proceeds of the levy must be reserved and 
19.20 	used for directly funding the following purposes or for reimbursing the cities and counties 
19.21 	who contract with the district for the following purposes: (1) to pay the costs incurred for 
19.22 	the salaries, benefits, and transportation costs of peace officers and sheriffs for liaison in 
19.23 	services in the district's schools; (2) to pay the costs for a drug abuse prevention program 
19.24 	as defined in section 609.101, subdivision 3, paragraph (e), in the elementary schools; 
19.25 	(3) to pay the costs for a gang resistance education training curriculum in the district's 
19.26 	schools; (4) to pay the costs for security in the district's schools and on school property; (5) 
19.27 	to pay the costs for other crime prevention, drug abuse, student and staff safety, voluntary 
19.28 	opt-in suicide prevention tools, and violence prevention measures taken by the school 
19.29 	district; or (6) to pay costs for licensed school counselors, licensed school nurses, licensed 
19.30 	school social workers, licensed school psychologists, and licensed alcohol and chemical 
19.31 	dependency counselors to help provide early responses to problems. For expenditures 
19.32 	under clause (1), the district must initially attempt to contract for services to be provided 
19.33 	by peace officers or sheriffs with the police department of each city or the sheriff's 
19.34 	department of the county within the district containing the school receiving the services. If 
19.35 	a local police department or a county sheriff's department does not wish to provide the 
20.1 	necessary services, the district may contract for these services with any other police or 
20.2 	sheriff's department located entirely or partially within the school district's boundaries. 
20.3 	(b) A school district that is a member of an intermediate school district may 
20.4 	include in its authority under this section the costs associated with safe schools activities 
20.5 	authorized under paragraph (a) for intermediate school district programs. This authority 
20.6 	must not exceed $10 times the adjusted marginal cost pupil units of the member districts. 
20.7 	This authority is in addition to any other authority authorized under this section. Revenue 
20.8 	raised under this paragraph must be transferred to the intermediate school district.
20.9 	(c) If A school district spendsmust set aside at least $3 per adjusted marginal cost 
20.10 	pupil unit of the safe schools levy proceeds for the purposes authorized under paragraph 
20.11 	(a), clause (6),. The district must annually certify that its total spending on services 
20.12 	provided by the employees listed in paragraph (a), clause (6), is not less than the sum of 
20.13 	its expenditures for these purposes, excluding amounts spent under this section, in the 
20.14 	previous year plus the amount spent under this section.

20.15 	EFFECTIVE DATE. This section is effective for revenue for fiscal year 2010.

20.16 	Sec. 25. Minnesota Statutes 2006, section 126C.45, is amended to read:
20.17 	126C.45 ICE ARENA LEVY.
20.18 	(a) Each year, an independent school district operating and maintaining an ice arena, 
20.19 	may levy for the net operational costs of the ice arena. The levy may not exceed 90 
20.20 	percent of the net actual costs of operation of the arena for the previous year. Net actual 
20.21 	costs are defined as operating costs less any operating revenues.
20.22 	(b) Any district operating and maintaining an ice arena must demonstrate to the 
20.23 	satisfaction of the Office of Monitoring in the department that the district will offer equal 
20.24 	sports opportunities for male and female students to use its ice arena, particularly in areas 
20.25 	of access to prime practice time, team support, and providing junior varsity and younger 
20.26 	level teams for girls' ice sports and ice sports offerings.

20.27 	Sec. 26. Minnesota Statutes 2006, section 126C.51, is amended to read:
20.28 	126C.51 APPLICATION OF LIMITING TAX LEGISLATION.
20.29 	Notwithstanding the provisions of section 471.69 or 471.75, or of any other 
20.30 	provision of law which by per capita limitation, local tax rate limitation, or otherwise, 
20.31 	limits the power of a district to incur any debt or to issue any warrant or order, a school 
20.32 	district or intermediate school district has the powers in sections 126C.50 to 126C.56
21.1 	specifically conferred upon it and all powers incident and necessary to carrying out the 
21.2 	purposes of sections 126C.50 to 126C.56. 

21.3 	EFFECTIVE DATE. This section is effective the day following final enactment.

21.4 	Sec. 27. Minnesota Statutes 2006, section 126C.52, subdivision 2, is amended to read:
21.5 		Subd. 2.Limitations. The board of any school district may also borrow money 
21.6 	in the manner and subject to the limitations set forth in sections 126C.50 to 126C.56 in 
21.7 	anticipation of receipt of state aids for schools as defined in Minnesota Statutes and of 
21.8 	federal school aids to be distributed by or through the department. The aggregate of such 
21.9 	borrowings under this subdivision shall never exceed 75 percent of such aids which are 
21.10 	receivable by said school district in the schoolfiscal year (from July 1 to June 30) in which 
21.11 	the money is borrowed, as estimated and certified by the commissioner. 

21.12 	EFFECTIVE DATE. This section is effective the day following final enactment.

21.13 	Sec. 28. Minnesota Statutes 2006, section 126C.52, is amended by adding a 
21.14 	subdivision to read:
21.15 		Subd. 3.Intermediate school districts. (a) The board of an intermediate school 
21.16 	district may borrow money in the manner and subject to the limitations set forth in 
21.17 	sections 126C.50 to 126C.56 in anticipation of the receipt of:
21.18 	(1) state aids for schools as defined in Minnesota Statutes;
21.19 	(2) federal school aids to be distributed by or through the department; and
21.20 	(3) membership fees and tuition payments from its member school districts.
21.21 	The aggregate of such borrowings under this subdivision shall never exceed 75 
21.22 	percent of such aids, fees, and tuition payments which are receivable by the intermediate 
21.23 	school district in the fiscal year in which the money is borrowed, as estimated and certified 
21.24 	by the commissioner.
21.25 	(b) The board of an intermediate school district may, upon receipt of a written 
21.26 	resolution by each of its member school districts, pledge the member district's full faith 
21.27 	and credit and unlimited taxing powers to repay each member district's pro rata share of 
21.28 	any certificates issued or the amount paid by the state under section 126C.55, subdivision 
21.29 	2, plus interest, if the revenues specified in paragraph (a) and any other revenues of the 
21.30 	intermediate school district are insufficient to do so.

21.31 	EFFECTIVE DATE. This section is effective the day following final enactment.

22.1 	Sec. 29. Minnesota Statutes 2006, section 126C.53, is amended to read:
22.2 	126C.53 ENABLING RESOLUTION; FORM OF CERTIFICATES OF 
22.3 	INDEBTEDNESS.
22.4 	The board of a school district or intermediate school district may authorize and 
22.5 	effect such borrowing, and may issue such certificates of indebtedness upon passage of 
22.6 	a resolution specifying the amount and purposes for which it deems such borrowing is 
22.7 	necessary. The resolution must be adopted by a vote of at least two-thirds of its members. 
22.8 	The board must fix the amount, date, maturity, form, denomination, and other details of 
22.9 	the certificates of indebtedness, not inconsistent with this chapter. The board must fix the 
22.10 	date and place for receipt of bids for the purchase of the certificates when bids are required 
22.11 	and direct the clerk to give notice of the date and place for bidding.

22.12 	EFFECTIVE DATE. This section is effective the day following final enactment.

22.13 	Sec. 30. Minnesota Statutes 2006, section 126C.55, is amended to read:
22.14 	126C.55 STATE PAYMENT OF DEBT OBLIGATION UPON POTENTIAL 
22.15 	DEFAULT; REPAYMENT; STATE OBLIGATION NOT DEBT.
22.16 		Subdivision 1.Definitions. For the purposes of this section, the term "debt 
22.17 	obligation" means:
22.18 	(1) a tax or aid anticipation certificate of indebtedness issued under section 126C.52;
22.19 	(2) a certificate of participation issued under section 126C.40, subdivision 6; or 
22.20 	(3) a general obligation bond.
22.21 		Subd. 2.Notifications; payment; appropriation. (a) If a school district or 
22.22 	intermediate school district believes that it may be unable to make a principal or interest 
22.23 	payment on any outstanding debt obligation on the date that payment is due, it must 
22.24 	notify the commissioner as soon as possible, but not less than 15 working days before the 
22.25 	date that principal or interest payment is due. The notice must include the name of the 
22.26 	school district or intermediate school district, an identification of the debt obligation issue 
22.27 	in question, the date the payment is due, the amount of principal and interest due on the 
22.28 	payment date, the amount of principal or interest that the school district or intermediate 
22.29 	school district will be unable to repay on that date, the paying agent for the debt obligation, 
22.30 	the wire transfer instructions to transfer funds to that paying agent, and an indication as to 
22.31 	whether a payment is being requested by the school district or intermediate school district 
22.32 	under this section. If a paying agent becomes aware of a potential default, it shall inform 
22.33 	the commissioner of that fact. After receipt of a notice which requests a payment under 
22.34 	this section, after consultation with the school district or intermediate school district and 
23.1 	the paying agent, and after verification of the accuracy of the information provided, the 
23.2 	commissioner shall notify the commissioner of finance of the potential default. The notice 
23.3 	must include a final figure as to the amount due that the school district or intermediate 
23.4 	school district will be unable to repay on the date due.
23.5 	(b) Except as provided in subdivision 9, upon receipt of this notice from the 
23.6 	commissioner, the commissioner of finance shall issue a warrant and authorize the 
23.7 	commissioner of education to pay to the paying agent for the debt obligation the specified 
23.8 	amount on or before the date due. The amounts needed for the purposes of this subdivision 
23.9 	are annually appropriated to the department from the state general fund.
23.10 	(c) The Departments of Education and Finance must jointly develop detailed 
23.11 	procedures for school districts and intermediate school districts to notify the state that 
23.12 	they have obligated themselves to be bound by the provisions of this section, procedures 
23.13 	for school districts or intermediate school districts and paying agents to notify the state 
23.14 	of potential defaults and to request state payment under this section, and procedures 
23.15 	for the state to expedite payments to prevent defaults. The procedures are not subject 
23.16 	to chapter 14.
23.17 		Subd. 3.School district bound; interest rate on state paid amount. If, at the 
23.18 	request of a school district or intermediate school district, the state has paid part or all of 
23.19 	the principal or interest due on a district's debt obligation on a specific date, the school 
23.20 	district or intermediate school district is bound by all provisions of this section and the 
23.21 	amount paid shall bear taxable interest from the date paid until the date of repayment at 
23.22 	the invested cash rate as it is certified by the commissioner of finance. Interest shall only 
23.23 	accrue on the amounts paid and outstanding less the reduction in aid under subdivision 4 
23.24 	and other payments received from the district.
23.25 		Subd. 4.Pledge of district's full faith and credit. If, at the request of a school 
23.26 	district or intermediate school district, the state has paid part or all of the principal or 
23.27 	interest due on a district's debt obligation on a specific date, the pledge of the full faith 
23.28 	and credit and unlimited taxing powers of the school district or the member districts of 
23.29 	the intermediate district to repay the principal and interest due on those debt obligations 
23.30 	shall also, without an election or the requirement of a further authorization, become a 
23.31 	pledge of the full faith and credit and unlimited taxing powers of the school district or 
23.32 	the member districts of the intermediate district to repay to the state the amount paid, 
23.33 	with interest. Amounts paid by the state must be repaid in the order in which the state 
23.34 	payments were made.
23.35 		Subd. 4a.Aid reduction for repayment. (a) Except as provided in this subdivision, 
23.36 	the state must reduce the state aid payable to the school district or intermediate school 
24.1 	district under this chapter and chapters 122A, 123A, 123B, 124D, 125A, 126C, and 273 
24.2 	by the amount paid by the state under this section on behalf of the district, plus the interest 
24.3 	due on it, and the amount reduced must revert from the appropriate account to the state 
24.4 	general fund. Payments from the school district endowment fund or any federal aid 
24.5 	payments shall not be reduced.
24.6 	(b) For an intermediate school district, the state aid payable to the intermediate 
24.7 	school district must first be reduced, before any reduction is made to the state aids payable 
24.8 	to the member districts. If the state aid payable to the intermediate school district is 
24.9 	not sufficient to repay the state, state aid payable to member districts may be reduced 
24.10 	proportionately based on the ratio of each member district's adjusted net tax capacity to 
24.11 	the total adjusted net tax capacity of all member districts.
24.12 	(c) If, after review of the financial situation of the school district or intermediate 
24.13 	school district, the commissioner advises the commissioner of finance that a total reduction 
24.14 	of aids would cause an undue hardship on or an undue disruption of the educational 
24.15 	program of the district, the commissioner, with the approval of the commissioner of 
24.16 	finance, may establish a different schedule for reduction of aids to repay the state. The 
24.17 	amount of aids to be reduced is decreased by any amounts repaid to the state by the district 
24.18 	from other revenue sources.
24.19 		Subd. 6.Tax levy for repayment. (a) With the approval of the commissioner, a 
24.20 	district may levy in the year the state makes a payment under this section an amount up to 
24.21 	the amount necessary to provide funds for the repayment of the amount paid by the state 
24.22 	plus interest through the date of estimated repayment by the district. The proceeds of this 
24.23 	levy may be used only for this purpose unless they are in excess of the amount actually 
24.24 	due, in which case the excess shall be used to repay other state payments made under this 
24.25 	section or shall be deposited in the debt redemption fund of the school district. This levy 
24.26 	shall be an increase in the levy limits of the district for purposes of section 275.065, 
24.27 	subdivision 6. The amount of aids to be reduced to repay the state shall be decreased by 
24.28 	the amount levied. This levy by the district is not eligible for debt service equalization 
24.29 	under section 123B.53. 
24.30 	(b) If the state is not repaid in full for a payment made under this section by 
24.31 	November 30 of the calendar year following the year in which the state makes the 
24.32 	payment, the commissioner shall require the district to certify a property tax levy in an 
24.33 	amount up to the amount necessary to provide funds for repayment of the amount paid by 
24.34 	the state plus interest through the date of estimated repayment by the school district. To 
24.35 	prevent undue hardship, the commissioner may allow the district to certify the levy over a 
24.36 	five-year period. The proceeds of the levy may be used only for this purpose unless they 
25.1 	are in excess of the amount actually due, in which case the excess shall be used to repay 
25.2 	other state payments made under this section or shall be deposited in the debt redemption 
25.3 	fund of the district. This levy shall be an increase in the levy limits of the school district 
25.4 	for purposes of section 275.065, subdivision 6. If the commissioner orders the district 
25.5 	to levy, the amount of aids reduced to repay the state shall be decreased by the amount 
25.6 	levied. This levy by the district is not eligible for debt service equalization under section 
25.7 	123B.53 or any successor provision. A levy under this subdivision must be explained as a 
25.8 	specific increase at the meeting required under section 275.065, subdivision 6. 
25.9 	(c) For an intermediate district, a levy made by a member district under paragraph (a) 
25.10 	or (b) to pay its pro rata share must be spread by the commissioner as a tax rate based on 
25.11 	the total adjusted net tax capacity of the member school districts. The proceeds of the levy 
25.12 	must be remitted by the member school district to the intermediate school district and must 
25.13 	be used by the intermediate district only to repay the state amounts owed. Any amount in 
25.14 	excess of the amount owed to the state must be repaid to the member school districts and 
25.15 	the commissioner shall adjust each member district's property tax levy in the next year.
25.16 		Subd. 7.Election as to mandatory application. A school district or intermediate 
25.17 	school district may covenant and obligate itself, prior to the issuance of an issue of debt 
25.18 	obligations, to notify the commissioner of a potential default and to use the provisions of 
25.19 	this section to guarantee payment of the principal and interest on those debt obligations 
25.20 	when due. If the district obligates itself to be bound by this section, it must covenant in the 
25.21 	resolution that authorizes the issuance of the debt obligations to deposit with the paying 
25.22 	agent three business days prior to the date on which a payment is due an amount sufficient 
25.23 	to make that payment or to notify the commissioner under subdivision 1 that it will be 
25.24 	unable to make all or a portion of that payment. A district that has obligated itself must 
25.25 	include a provision in its agreement with the paying agent for that issue that requires 
25.26 	the paying agent to inform the commissioner if it becomes aware of a potential default 
25.27 	in the payment of principal or interest on that issue or if, on the day two business days 
25.28 	prior to the date a payment is due on that issue, there are insufficient funds to make the 
25.29 	payment on deposit with the paying agent. Funds invested in a refunding escrow account 
25.30 	established under section 475.67 that are to become available to the paying agent on a 
25.31 	principal or interest payment date are deemed to be on deposit with the paying agent three 
25.32 	business days before the payment date. If a district either covenants to be bound by this 
25.33 	section or accepts state payments under this section to prevent a default of a particular 
25.34 	issue of debt obligations, the provisions of this section shall be binding as to that issue 
25.35 	as long as any debt obligation of that issue remain outstanding. If the provisions of this 
25.36 	section are or become binding for more than one issue of debt obligations and a district is 
26.1 	unable to make payments on one or more of those issues, the district must continue to 
26.2 	make payments on the remaining issues. 
26.3 		Subd. 8.Mandatory plan; technical assistance. If the state makes payments on 
26.4 	behalf of a school district or intermediate school district under this section or the district 
26.5 	defaults in the payment of principal or interest on an outstanding debt obligation, it must 
26.6 	submit a plan to the commissioner for approval specifying the measures it intends to 
26.7 	implement to resolve the issues which led to its inability to make the payment and to 
26.8 	prevent further defaults. The department must provide technical assistance to the district 
26.9 	in preparing its plan. If the commissioner determines that a district's plan is not adequate, 
26.10 	the commissioner shall notify the district that the plan has been disapproved, the reasons 
26.11 	for the disapproval, and that the state shall not make future payments under this section for 
26.12 	debt obligations issued after the date specified in that notice until its plan is approved. The 
26.13 	commissioner may also notify the district that until its plan is approved, other aids due the 
26.14 	district will be withheld after a date specified in the notice.
26.15 		Subd. 9.State bond rating. If the commissioner of finance determines that the 
26.16 	credit rating of the state would be adversely affected thereby, the commissioner of finance 
26.17 	shall not issue warrants under subdivision 2 for the payment of principal or interest on any 
26.18 	debt obligations for which a district did not, prior to their issuance, obligate itself to be 
26.19 	bound by the provisions of this section.
26.20 		Subd. 10.Continuing disclosure agreements. The commissioner of finance 
26.21 	may enter into written agreements or contracts relating to the continuing disclosure of 
26.22 	information needed to facilitate the ability of school districts or intermediate school 
26.23 	districts to issue debt obligations according to federal securities laws, rules, and 
26.24 	regulations, including securities and exchange commission rules and regulations, section 
26.25 	240.15c2-12. Such agreements or contracts may be in any form the commissioner of 
26.26 	finance deems reasonable and in the state's best interests.

26.27 	EFFECTIVE DATE. This section is effective the day following final enactment.

26.28 	Sec. 31. Minnesota Statutes 2006, section 127A.45, subdivision 16, is amended to read:
26.29 		Subd. 16.Payments to third parties. Notwithstanding subdivision 3, the current 
26.30 	year aid payment percentage of the amounts under section 123A.26, subdivision 3 and 
26.31 	section 124D.041, shall be paid in equal installments on August 30, December 30, and 
26.32 	March 30, with a final adjustment payment on October 30 of the next fiscal year of the 
26.33 	remaining amount.

27.1 	Sec. 32. Minnesota Statutes 2007 Supplement, section 127A.49, subdivision 2, is 
27.2 	amended to read:
27.3 		Subd. 2.Abatements. Whenever by virtue of chapter 278, sections 270C.86, 
27.4 	375.192, or otherwise, the net tax capacity or referendum market value of any district for 
27.5 	any taxable year is changed after the taxes for that year have been spread by the county 
27.6 	auditor and the local tax rate as determined by the county auditor based upon the original 
27.7 	net tax capacity is applied upon the changed net tax capacities, the county auditor shall, 
27.8 	prior to February 1 of each year, certify to the commissioner of education the amount of 
27.9 	any resulting net revenue loss that accrued to the district during the preceding year. Each 
27.10 	year, the commissioner shall pay an abatement adjustment to the district in an amount 
27.11 	calculated according to the provisions of this subdivision. This amount shall be deducted 
27.12 	from the amount of the levy authorized by section 126C.46. The amount of the abatement 
27.13 	adjustment must be the product of:
27.14 	(1) the net revenue loss as certified by the county auditor, times
27.15 	(2) the ratio of:
27.16 	(i) the sum of the amounts of the district's certified levy in the third preceding year 
27.17 	according to the following:
27.18 	(A) section 123B.57, if the district received health and safety aid according to that 
27.19 	section for the second preceding year;
27.20 	(B) section 124D.20, if the district received aid for community education programs 
27.21 	according to that section for the second preceding year;
27.22 	(C) section 124D.135, subdivision 3, if the district received early childhood family 
27.23 	education aid according to section 124D.135 for the second preceding year; 
27.24 	(D) section 126C.17, subdivision 6, if the district received referendum equalization 
27.25 	aid according to that section for the second preceding year; 
27.26 	(E) section 126C.13, if the district received general education aid according to 
27.27 	section 126C.13, subdivision 4, paragraph (b), clause (1), of that section in the second 
27.28 	preceding year;
27.29 	(F)(E) section 126C.10, subdivision 13a, if the district received operating capital aid 
27.30 	according to section 126C.10, subdivision 13b, in the second preceding year;
27.31 	(G)(F) section 126C.10, subdivision 29, if the district received equity aid according 
27.32 	to section 126C.10, subdivision 30, in the second preceding year;
27.33 	(H)(G) section 126C.10, subdivision 32, if the district received transition aid 
27.34 	according to section 126C.10, subdivision 33, in the second preceding year;
27.35 	(I)(H) section 123B.53, subdivision 5, if the district received debt service 
27.36 	equalization aid according to section 123B.53, subdivision 6, in the second preceding year;
28.1 	(J)(I) section 124D.22, subdivision 3, if the district received school-age care aid 
28.2 	according to section 124D.22, subdivision 4, in the second preceding year;
28.3 	(K)(J) section 123B.591, subdivision 3, if the district received deferred maintenance 
28.4 	aid according to section 123B.591, subdivision 4, in the second preceding year; and
28.5 	(L)(K) section 126C.10, subdivision 35, if the district received alternative teacher 
28.6 	compensation equalization aid according to section 126C.10, subdivision 36, paragraph 
28.7 	(a), in the second preceding year; to
28.8 	(ii) the total amount of the district's certified levy in the third preceding December, 
28.9 	plus or minus auditor's adjustments.

28.10 	Sec. 33. Minnesota Statutes 2007 Supplement, section 127A.49, subdivision 3, is 
28.11 	amended to read:
28.12 		Subd. 3.Excess tax increment. (a) If a return of excess tax increment is made to a 
28.13 	district pursuant to sections 469.176, subdivision 2, and 469.177, subdivision 9, or upon 
28.14 	decertification of a tax increment district, the school district's aid and levy limitations 
28.15 	must be adjusted for the fiscal year in which the excess tax increment is paid under the 
28.16 	provisions of this subdivision.
28.17 	(b) An amount must be subtracted from the district's aid for the current fiscal year 
28.18 	equal to the product of:
28.19 	(1) the amount of the payment of excess tax increment to the district, times
28.20 	(2) the ratio of:
28.21 	(i) the sum of the amounts of the district's certified levy for the fiscal year in which 
28.22 	the excess tax increment is paid according to the following:
28.23 	(A) section 123B.57, if the district received health and safety aid according to that 
28.24 	section for the second preceding year;
28.25 	(B) section 124D.20, if the district received aid for community education programs 
28.26 	according to that section for the second preceding year;
28.27 	(C) section 124D.135, subdivision 3, if the district received early childhood family 
28.28 	education aid according to section 124D.135 for the second preceding year; 
28.29 	(D) section 126C.17, subdivision 6, if the district received referendum equalization 
28.30 	aid according to that section for the second preceding year; 
28.31 	(E) section 126C.13, if the district received general education aid according to 
28.32 	section 126C.13, subdivision 4, paragraph (b), clause (1), of that section in the second 
28.33 	preceding year;
28.34 	(F)(E) section 126C.10, subdivision 13a, if the district received operating capital aid 
28.35 	according to section 126C.10, subdivision 13b, in the second preceding year;
29.1 	(G)(F) section 126C.10, subdivision 29, if the district received equity aid according 
29.2 	to section 126C.10, subdivision 30, in the second preceding year;
29.3 	(H)(G) section 126C.10, subdivision 32, if the district received transition aid 
29.4 	according to section 126C.10, subdivision 33, in the second preceding year;
29.5 	(I)(H) section 123B.53, subdivision 5, if the district received debt service 
29.6 	equalization aid according to section 123B.53, subdivision 6, in the second preceding year;
29.7 	(J)(I) section 124D.22, subdivision 3, if the district received school-age care aid 
29.8 	according to section 124D.22, subdivision 4, in the second preceding year;
29.9 	(K)(J) section 123B.591, subdivision 3, if the district received deferred maintenance 
29.10 	aid according to section 123B.591, subdivision 4, in the second preceding year; and
29.11 	(L)(K) section 126C.10, subdivision 35, if the district received alternative teacher 
29.12 	compensation equalization aid according to section 126C.10, subdivision 36, paragraph 
29.13 	(a), in the second preceding year; to
29.14 	(ii) the total amount of the district's certified levy for the fiscal year, plus or minus 
29.15 	auditor's adjustments.
29.16 	(c) An amount must be subtracted from the school district's levy limitation for the 
29.17 	next levy certified equal to the difference between:
29.18 	(1) the amount of the distribution of excess increment; and
29.19 	(2) the amount subtracted from aid pursuant to clause (a).
29.20 	If the aid and levy reductions required by this subdivision cannot be made to the aid 
29.21 	for the fiscal year specified or to the levy specified, the reductions must be made from 
29.22 	aid for subsequent fiscal years, and from subsequent levies. The school district must use 
29.23 	the payment of excess tax increment to replace the aid and levy revenue reduced under 
29.24 	this subdivision.
29.25 	(d) This subdivision applies only to the total amount of excess increments received 
29.26 	by a district for a calendar year that exceeds $25,000.

29.27 	Sec. 34. Laws 2007, chapter 146, article 2, section 46, subdivision 13, is amended to 
29.28 	read:
29.29 		Subd. 13. Preadvanced placement, advanced placement, international 
29.30 	baccalaureate, and concurrent enrollment programs. For preadvanced placement, 
29.31 	advanced placement, international baccalaureate, and concurrent enrollment programs 
29.32 	under Minnesota Statutes, sections 120B.132 and 124D.091: 

29.33		$ 
	6,500,000
	..... 
	2008 
	
29.34		$ 
	6,500,000
	..... 
	2009 
	
30.1 	Of this amount, $2,500,000 each year is for concurrent enrollment program aid 
30.2 	under Minnesota Statutes, section 124D.091. If the appropriation is insufficient, the 
30.3 	commissioner must proportionately reduce the aid payment to each district. Any balance 
30.4 	in the first year does not cancel but is available in the second year.
30.5 	The base appropriation for fiscal year 2010 and later is $2,000,000.

30.6 	EFFECTIVE DATE. This section is effective the day following final enactment.

30.7 	Sec. 35. Laws 2007, chapter 146, article 2, section 46, subdivision 14, is amended to 
30.8 	read:
30.9 		Subd. 14. Collaborative urban educator. For the collaborative urban educator 
30.10 	grants under Minnesota Statutes, section 122A.641 program: 

30.11		$ 
	528,000
	..... 
	2008 
	
30.12		$ 
	528,000
	..... 
	2009 
	
30.13 	$210,000 each year is for the Southeast Asian teacher program at Concordia 
30.14 	University, St. Paul; $159,000 each year is for the collaborative urban educator program at 
30.15 	the University of St. Thomas; and $159,000 each year is for the Center for Excellence in 
30.16 	Urban Teaching at Hamline University. Grant recipients must collaborate with urban and 
30.17 	nonurban school districts. 
30.18 	Any balance in the first year does not cancel but is available in the second year. 

30.19 	Sec. 36. Laws 2007, chapter 146, article 2, section 46, subdivision 20, is amended to 
30.20 	read:
30.21 		Subd. 20. College-level examination program (CLEP). For the college-level 
30.22 	examination program (CLEP) under Minnesota Statutes, section 120B.131: 

30.23
30.24		$ 
	1,650,000
850,000
	..... 
	2008 
	
30.25
30.26		$ 
	1,650,000
500,000
	..... 
	2009 
	
30.27 	Any balance in the first year does not cancel but is available in the second year. 
30.28 	This is a onetime appropriation.

30.29 	EFFECTIVE DATE. This section is effective the day following final enactment.

30.30 	Sec. 37. Laws 2007, chapter 146, article 3, section 23, subdivision 2, is amended to 
30.31 	read:
30.32 		Subd. 2. Report. (a) The task force must submit to the education policy and finance 
30.33 	committees of the legislature by February 15, 2008 2009, a report that identifies and 
31.1 	clearly and concisely explains each provision in state law or rule that exceeds or expands 
31.2 	upon a minimum federal requirement contained in law or regulation for providing special 
31.3 	education programs and services to eligible students. The report also must recommend 
31.4 	which state provisions statutes and rules that exceed or expand upon a minimum federal 
31.5 	requirement may be amended to conform with minimum federal requirements or made 
31.6 	more effective as determined by a majority of the task force members. The task force must 
31.7 	recommend rules governing the use of aversive and deprivation procedures by school 
31.8 	district employees or persons under contract with a school district. The task force expires 
31.9 	when it submits its report to the legislature. 
31.10 	(b) Consistent with subdivision 1, the Department of Education member of the 
31.11 	task force representing regulators shall be replaced with a parent advocate selected by a 
31.12 	statewide organization that advocates on behalf of families with children with disabilities.
31.13 	(c) The Department of Education must provide technical assistance at the request of 
31.14 	the task force.

31.15 	EFFECTIVE DATE. This section is effective the day following final enactment.

31.16 	Sec. 38. Laws 2007, chapter 146, article 3, section 24, subdivision 9, is amended to 
31.17 	read:
31.18 		Subd. 9. Special Education Task Force. For the task force to compare federal 
31.19 	and state special education requirements: 

31.20		$ 
	20,000 40,000
	..... 
	2008 
	
31.21 	Any balance in the first year does not cancel but is available in the second year.
31.22 	This is a onetime appropriation.

31.23 	EFFECTIVE DATE. This section is effective the day following final enactment.

31.24 	Sec. 39. Laws 2007, chapter 146, article 5, section 11, subdivision 1, is amended to 
31.25 	read:
31.26 		Subdivision 1. Fiscal year 2007 replacement aid.  Independent School District No. 
31.27 	2899, Plainview-Elgin-Millville, is eligible for replacement aidrevenue to offset its excess 
31.28 	fund balance penalty for fiscal year 2007. The aid adjustment must be made under Laws 
31.29 	2007, chapter 146, article 5, section 13, subdivision 5. The levy adjustment of $6,600 
31.30 	must be included as part of the district's property taxes for taxes payable in 2009.

31.31 	EFFECTIVE DATE. This section is effective the day following final enactment.

32.1 	Sec. 40. Laws 2007, chapter 146, article 5, section 13, subdivision 3, is amended to 
32.2 	read:
32.3 		Subd. 3. Traditional school breakfast; kindergarten milk. For traditional school 
32.4 	breakfast aid and kindergarten milk under Minnesota Statutes, sections 124D.1158 and 
32.5 	124D.118: 

32.6
32.7		$ 
	5,460,000
5,583,000
	..... 
	2008 
	
32.8
32.9		$ 
	5,695,000
6,396,000
	..... 
	2009 

32.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

32.11 	Sec. 41. Laws 2007, chapter 146, article 7, section 4, is amended to read:
32.12 	Sec. 4. APPROPRIATIONS; DEPARTMENT OF EDUCATION.
 32.13 		Subdivision 1. Department of Education. Unless otherwise indicated, the sums 
32.14 	indicated in this section are appropriated from the general fund to the Department of 
32.15 	Education for the fiscal years designated. 
32.16 		Subd. 2. Department. (a) For the Department of Education: 

32.17		$ 
	22,169,000
	..... 
	2008 
	
32.18
32.19		$ 
	22,653,000
 21,811,000
	..... 
	2009 
	
32.20 	Any balance in the first year does not cancel but is available in the second year. 
32.21 	(b) $7,000 in fiscal year 2008 is for GRAD test rulemaking. 
32.22 	(c) $7,000 in fiscal year 2008 is for rulemaking under section 3. 
32.23 	(d) $40,000 each year is for an early hearing loss intervention coordinator under 
32.24 	Minnesota Statutes, section 125A.63, subdivision 5. If the department expends federal 
32.25 	funds to employ a hearing loss coordinator under Minnesota Statutes, section 125.63, 
32.26 	subdivision 5, then the appropriation under this paragraph is reallocated for purposes of 
32.27 	employing a world languages coordinator. 
32.28 	(e) $260,000 each year is for the Minnesota Children's Museum. 
32.29 	(f) $41,000 each year is for the Minnesota Academy of Science. 
32.30 	(g) $619,000 in fiscal year 2008 and $632,000 in fiscal year 2009 are for the Board 
32.31 	of Teaching. 
32.32 	(h) $163,000 in fiscal year 2008 and $171,000 in fiscal year 2009 are for the Board 
32.33 	of School Administrators. 
32.34 	(i) $50,000 each year is for the Duluth Children's Museum. 
33.1 	(j) The expenditures of federal grants and aids as shown in the biennial budget 
33.2 	document and its supplements are approved and appropriated and shall be spent as 
33.3 	indicated. 
33.4 	(k) None of the amounts appropriated under this subdivision may be used for 
33.5 	Minnesota's Washington, D.C., office.
33.6 	(1) $50,000 in fiscal year 2009 is for an advisory task force for determining how 
33.7 	the educational achievement of low-income students and students of color is impacted by 
33.8 	education issues related to rigorous preparation and coursework, educators' professional 
33.9 	development, English language learners, special education, GRAD tests, and the use of 
33.10 	valid and reliable data on student preparation for postsecondary academic and career 
33.11 	opportunities. This amount is not added to the base appropriation for fiscal year 2010 and 
33.12 	later. The department shall not expend any funds unless a match of an equal amount of 
33.13 	nonstate funds has been received for this purpose.
33.14 	(m) The base for fiscal year 2010 and later is $21,761,000.

33.15 	Sec. 42. Laws 2007, chapter 146, article 9, section 17, subdivision 4, is amended to 
33.16 	read:
33.17 		Subd. 4. Health and developmental screening aid. For health and developmental 
33.18 	screening aid under Minnesota Statutes, sections 121A.17 and 121A.19: 

33.19
33.20		$ 
	3,159,000
2,624,000
	..... 
	2008 
	
33.21
33.22		$ 
	3,330,000
3,592,000
	..... 
	2009 
	
33.23 	The 2008 appropriation includes $288,000 for 2007 and $2,871,000 $2,336,000
33.24 	for 2008. 
33.25 	The 2009 appropriation includes $319,000 $259,000 for 2008 and $3,011,000
33.26 	$3,333,000 for 2009. 

33.27 	EFFECTIVE DATE. This section is effective the day following final enactment.

33.28 	Sec. 43. Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision 
33.29 	1, is amended to read:

33.30	Subdivision 1. Total Appropriation
 			$ 
	584,000 148,000
	
33.31 	The appropriations in this section are from 
33.32 	the general fund. The amounts that may be 
33.33 	spent for each purpose are specified in the 
33.34 	following subdivisions. 

34.1 	Sec. 44. Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision 
34.2 	2, is amended to read:

34.3
34.4	Subd. 2. Independent School District No. 239, 
Rushford-Peterson

34.5	(a) Flood Enrollment Impact Aid
 				89,000 
	
34.6 	The commissioner of education shall pay to 
34.7 	the school district flood enrollment impact 
34.8 	aid equal to $5,394 times the number of 
34.9 	pupils lost as a result of the floods of August 
34.10 	2007. The district must provide to the 
34.11 	commissioner of education documentation 
34.12 	of the number of pupils in average daily 
34.13 	membership lost as a result of the flood. 

34.14	(b) Disaster Relief Facilities Grant
 				250,000
	
34.15 	For facilities cleanup, repair, and replacement 
34.16 	costs related to the floods of August 2007 not 
34.17 	covered by the district's insurance settlement 
34.18 	or through Federal Emergency Management 
34.19 	Agency payments. The commissioner of 
34.20 	education may request the school district 
34.21 	to provide necessary information before 
34.22 	awarding a grant. 

34.23	(c)Pupil Transportation Aid
 				40,000 
	
34.24 	For increased costs associated with 
34.25 	transporting students as a result of the floods 
34.26 	of August 2007. 

34.27 	Sec. 45. Laws 2007, First Special Session chapter 2, article 1, section 11, subdivision 
34.28 	6, is amended to read:

34.29
34.30	Subd. 6. Disaster Relief Facilities Grants to 
Other Districts
 				90,00014,000
	
34.31 	For facilities cleanup, repair, and replacement 
34.32 	costs related to the floods of August 2007 not 
34.33 	covered by the district's insurance settlement 
35.1 	or through Federal Emergency Management 
35.2 	Agency payments. The commissioner of 
35.3 	education may request the school district 
35.4 	to provide necessary information before 
35.5 	awarding a grant. School districts not 
35.6 	included in subdivisions 2 to 5 must be given 
35.7 	priority in the allocation of this appropriation.

35.8 	Sec. 46. FUND TRANSFERS.
 35.9 		Subdivision 1.Capital account transfers. Notwithstanding any law to the contrary, 
35.10 	on June 30, 2008, a school district may transfer money from its reserved for operating 
35.11 	capital account to its undesignated balance in the general fund. The amount transferred 
35.12 	by any school district must not exceed $51 times the district's adjusted marginal cost 
35.13 	pupil units for fiscal year 2007. This transfer may occur only after the school board has 
35.14 	adopted a written resolution stating the amount of the transfer and declaring that the 
35.15 	school district's operating capital needs are being met.
35.16 		Subd. 2.Balaton school district. Notwithstanding Minnesota Statutes, section 
35.17 	123B.79 or 123B.80, or subdivision 1, on June 30, 2008, Independent School District No. 
35.18 	411, Balaton, may transfer up to $70,000 from its reserved for operating capital account 
35.19 	to its undesignated general fund balance.
35.20 		Subd. 3.East Central school district. Notwithstanding Minnesota Statutes, section 
35.21 	123B.79 or 123B.80, or subdivision 1, on June 30, 2008, Independent School District No. 
35.22 	2580, East Central, may transfer up to $300,000 from its reserved for operating capital 
35.23 	account to its undesignated general fund balance.
35.24 		Subd. 4.Hills-Beaver Creek school district. (a) Notwithstanding Minnesota 
35.25 	Statutes, section 123B.79 or 123B.80, on June 30, 2008, Independent School District No. 
35.26 	671, Hills-Beaver Creek, may transfer up to $260,000 from its reserved for disabled 
35.27 	accessibility account to its undesignated general fund balance without making a levy 
35.28 	reduction.
35.29 	(b) Notwithstanding Minnesota Statutes, section 123B.79 or 123B.80, on June 
35.30 	30, 2008, Independent School District No. 671, Hills-Beaver Creek, may transfer up to 
35.31 	$100,000 from its reserved for operating capital account to its undesignated general fund 
35.32 	balance without making a levy reduction.
35.33 		Subd. 5.Rocori school district. Notwithstanding Minnesota Statutes, section 
35.34 	123B.79 or 123B.80, on June 30, 2008, Independent School District No. 750, Rocori, 
36.1 	may transfer up to $82,000 from its reserved for disabled accessibility account to its 
36.2 	undesignated general fund balance without making a levy reduction.

36.3 	EFFECTIVE DATE. This section is effective the day following final enactment.

36.4 	Sec. 47. ONETIME GENERAL EDUCATION REVENUE INCREASE; FISCAL 
36.5 	YEAR 2009 ONLY.
 36.6 	A school district's general education revenue under Minnesota Statutes, section 
36.7 	126C.10, is increased for fiscal year 2009 only by an amount equal to $51 times the 
36.8 	district's adjusted marginal cost pupil units for that year.

36.9 	Sec. 48. PRIORITY FOR NEW ALTERNATIVE COMPENSATION SCHOOL 
36.10 	DISTRICTS AND CHARTER SCHOOLS, FISCAL YEARS 2009 TO 2010.
 36.11 	(a) Notwithstanding Minnesota Statutes, sections 122A.413; 122A.414; 122A.415; 
36.12 	122A.416; and 126C.10, subdivisions 34, 35, and 36, for fiscal years 2009 and 2010 only, 
36.13 	for school sites, school districts, or charter schools that had not applied as of March 20, 
36.14 	2008, to participate in the alternative teacher pay program, the Department of Education 
36.15 	must authorize alternative compensation funding for applicants according to paragraphs 
36.16 	(b) and (c).
36.17 	(b) For fiscal year 2009, the Department of Education shall qualify eligible school 
36.18 	sites, school districts, and charter schools for alternative compensation revenue in the 
36.19 	order of receipt of applications received after March 20, 2008, provided that the total 
36.20 	alternative compensation aid entitlement authorized under this paragraph does not exceed 
36.21 	$11,397,000.
36.22 	(c) In addition to the amounts authorized in paragraph (b), for fiscal year 2010, the 
36.23 	Department of Education shall qualify eligible school sites, school districts, and charter 
36.24 	schools for alternative compensation revenue in the order of receipt of applications 
36.25 	received after March 20, 2008, provided that the total alternative compensation aid 
36.26 	entitlement authorized under this paragraph does not exceed $2,899,000.

36.27 	Sec. 49. VIRGINIA SCHOOL DISTRICT; EMERGENCY REPAIRS.
 36.28 	Independent School District No. 701, Virginia, may levy up to $100,000 for 
36.29 	emergency facilities repairs. This authority is in addition to any other levy authority 
36.30 	granted to the district. The levy proceeds received under this section must be recognized 
36.31 	in fiscal year 2009.

36.32 	EFFECTIVE DATE. This section is effective for taxes payable in 2009 only.

37.1 	Sec. 50. EQUALIZING FACTORS.
 37.2 	The commissioner shall adjust each referendum market value equalizing factor 
37.3 	established under Minnesota Statutes, chapter 126C, by dividing the equalizing factor by 
37.4 	the ratio of the statewide referendum market value as calculated using the  definition 
37.5 	of referendum market value that was in effect prior to the 2008 legislative session for 
37.6 	assessment year 2008 to the statewide referendum market value  that is in effect after the 
37.7 	2008 legislative session for that assessment year.

37.8 	EFFECTIVE DATE. This section is effective for taxes levied in 2009, payable 
37.9 	in 2010, and thereafter.

37.10 	Sec. 51. APPROPRIATIONS.
 37.11 		Subdivision 1.Department of Education. The sums indicated in this section are 
37.12 	appropriated from the general fund, unless otherwise indicated, to the Department of 
37.13 	Education for the fiscal years designated.
37.14 		Subd. 2.Additional general education revenue. For additional general education 
37.15 	aid:

37.16		$
	26,804,000
	.....
	2009
	
37.17 	This appropriation is in addition to any other appropriation for this purpose.
37.18 	This 2009 appropriation includes $0 for 2008 and $26,804,000 for 2009.
37.19 		Subd. 3.Independent School District No. 239, Rushford-Peterson. For school 
37.20 	district flood enrollment impact aid as a result of the floods of August 2007.

37.21		$
	158,000
	.....
	2009
	
37.22 	The base appropriation for fiscal year 2010 is $158,000. The base appropriation for 
37.23 	later years is zero.
37.24 	The district must provide to the commissioner of education documentation of 
37.25 	the additional pupil transportation costs and the number of pupils in average daily 
37.26 	membership lost as a result of the flood.
37.27 	Up to $40,000 is for increased costs associated with transporting students as a result 
37.28 	of the floods of August 2007.
37.29 		Subd. 4.Lancaster. For a grant to Independent School District No. 356, Lancaster, 
37.30 	to replace the loss of sparsity revenue:

37.31		$
	100,000
	.....
	2009
	
38.1 	The base appropriation for fiscal years 2010 and 2011 is $100,000 per year. The 
38.2 	base appropriation for later fiscal years is zero.
38.3 		Subd. 5.Principal's Leadership Institute. For a grant to the Principal's Leadership 
38.4 	Institute under Minnesota Statutes, section 122A.74:

38.5		$
	275,000
	.....
	2009
	
38.6 	This is a onetime appropriation.
38.7 		Subd. 6.Board of Teaching; licensure by portfolio. For the Board of Teaching 
38.8 	for licensure by portfolio:

38.9		$
	17,000
	.....
	2009
	
38.10 	This appropriation is from the educator licensure portfolio account of the special 
38.11 	revenue fund.
38.12 		Subd. 7.Minnesota Humanities Commission. For a grant to the Minnesota 
38.13 	Humanities Commission.

38.14		$
	275,000
	.....
	2009
	
38.15 	This is a onetime appropriation.

38.16 	Sec. 52.  REPEALER.
 38.17 	(a) Minnesota Statutes 2006, section 126C.21, subdivision 1, is repealed for revenue 
38.18 	for fiscal year 2010 and later.
38.19 	(b) Minnesota Statutes 2006, section 127A.45, subdivision 7a, is repealed.
38.20 	(c) Laws 2007, First Special Session chapter 2, article 1, section 11, subdivisions 3, 
38.21 	and 4, are repealed.

38.22 	ARTICLE 3
38.23 	EDUCATION FORECAST ADJUSTMENTS

38.24 	Section 1. Laws 2007, chapter 146, article 1, section 24, subdivision 2, is amended to 
38.25 	read:
38.26 		Subd. 2. General education aid. For general education aid under Minnesota 
38.27 	Statutes, section 126C.13, subdivision 4:

38.28
38.29		$ 
	5,618,342,000
5,600,647,000
	..... 
	2008 
	
38.30
38.31		$ 
	5,618,342,000
5,649,098,000
	..... 
	2009 
	
39.1 	The 2008 appropriation includes $531,733,000 $536,251,000 for 2007 and 
39.2 	$5,073,250,000 $5,064,396,000 for 2008.
39.3 	The 2009 appropriation includes $546,314,000 $543,752,000 for 2008 and 
39.4 	$5,072,028,000$5,105,346,000 for 2009.

39.5 	Sec. 2. Laws 2007, chapter 146, article 1, section 24, subdivision 3, is amended to read:
39.6 		Subd. 3. Referendum tax base replacement aid. For referendum tax base 
39.7 	replacement aid under Minnesota Statutes, section 126C.17, subdivision 7a:

39.8		$ 
	870,000861,000
	..... 
	2008 
	
39.9 	The 2008 appropriation includes $870,000 $861,000 for 2007 and $0 for 2008.

39.10 	Sec. 3. Laws 2007, chapter 146, article 1, section 24, subdivision 4, is amended to read:
39.11 		Subd. 4. Enrollment options transportation. For transportation of pupils attending 
39.12 	postsecondary institutions under Minnesota Statutes, section 124D.09, or for transportation 
39.13 	of pupils attending nonresident districts under Minnesota Statutes, section 124D.03:

39.14		$ 
	95,00048,000
	..... 
	2008 
	
39.15		$ 
	97,00050,000
	..... 
	2009 

39.16 	Sec. 4. Laws 2007, chapter 146, article 1, section 24, subdivision 5, is amended to read:
39.17 		Subd. 5. Abatement revenue. For abatement aid under Minnesota Statutes, section 
39.18 	127A.49:

39.19
39.20		$ 
	1,343,000
1,333,000
	..... 
	2008 
	
39.21
39.22		$ 
	1,347,000
1,629,000
	..... 
	2009 
	
39.23 	The 2008 appropriation includes $76,000 for 2007 and $1,267,000 $1,257,000
39.24 	for 2008.
39.25 	The 2009 appropriation includes $140,000 $139,000 for 2008 and $1,207,000
39.26 	$1,490,000 for 2009.

39.27 	Sec. 5. Laws 2007, chapter 146, article 1, section 24, subdivision 6, is amended to read:
39.28 		Subd. 6. Consolidation transition. For districts consolidating under Minnesota 
39.29 	Statutes, section 123A.485:

39.30		$ 
	565,000240,000
	..... 
	2008 
	
39.31		$ 
	212,000339,000
	..... 
	2009 
	
39.32 	The 2008 appropriation includes $43,000 for 2007 and $522,000 $197,000 for 2008.
40.1 	The 2009 appropriation includes $57,000 $21,000 for 2008 and $155,000 $318,000
40.2 	for 2009.

40.3 	Sec. 6. Laws 2007, chapter 146, article 1, section 24, subdivision 7, is amended to read:
40.4 		Subd. 7. Nonpublic pupil education aid. For nonpublic pupil education aid under 
40.5 	Minnesota Statutes, sections 123B.40 to 123B.43, and 123B.87:

40.6
40.7		$ 
	16,290,000
15,601,000
	..... 
	2008 
	
40.8
40.9		$ 
	16,620,000
16,608,000
	..... 
	2009 
	
40.10 	The 2008 appropriation includes $1,606,000 $1,214,000 for 2007 and $14,684,000
40.11 	$14,387,000 for 2008.
40.12 	The 2009 appropriation includes $1,631,000 $1,598,000 for 2008 and $14,989,000
40.13 	$15,010,000 for 2009.

40.14 	Sec. 7. Laws 2007, chapter 146, article 1, section 24, subdivision 8, is amended to read:
40.15 		Subd. 8. Nonpublic pupil transportation. For nonpublic pupil transportation aid 
40.16 	under Minnesota Statutes, section 123B.92, subdivision 9:

40.17
40.18		$ 
	21,551,000
20,755,000
	..... 
	2008 
	
40.19
40.20		$ 
	21,392,000
21,007,000
	..... 
	2009 
	
40.21 	The 2008 appropriation includes $2,124,000 for 2007 and $19,427,000 $18,631,000
40.22 	for 2008.
40.23 	The 2009 appropriation includes $2,158,000 $2,070,000 for 2008 and $19,234,000
40.24 	$18,937,000 for 2009.
40.25 	B. EDUCATION EXCELLENCE

40.26 	Sec. 8. Laws 2007, chapter 146, article 2, section 46, subdivision 2, is amended to read:
40.27 		Subd. 2. Charter school building lease aid. For building lease aid under Minnesota 
40.28 	Statutes, section 124D.11, subdivision 4: 

40.29
40.30		$ 
	31,875,000
32,817,000
	..... 
	2008 
	
40.31
40.32		$ 
	36,193,000
37,527,000
	..... 
	2009 
	
40.33 	The 2008 appropriation includes $2,814,000 for 2007 and $29,061,000 $30,003,000
40.34 	for 2008. 
41.1 	The 2009 appropriation includes $3,229,000 $3,333,000 for 2008 and $32,964,000
41.2 	$34,194,000 for 2009. 

41.3 	Sec. 9. Laws 2007, chapter 146, article 2, section 46, subdivision 3, is amended to read:
41.4 		Subd. 3. Charter school startup cost aid. For charter school startup cost aid 
41.5 	under Minnesota Statutes, section 124D.11: 

41.6
41.7		$ 
	1,896,000
1,801,000
	..... 
	2008 
	
41.8
41.9		$ 
	2,161,000
1,987,000
	..... 
	2009 
	
41.10 	The 2008 appropriation includes $241,000$239,000 for 2007 and $1,655,000
41.11 	$1,562,000 for 2008. 
41.12 	The 2009 appropriation includes $183,000 $173,000 for 2008 and $1,978,000
41.13 	$1,814,000 for 2009. 

41.14 	Sec. 10. Laws 2007, chapter 146, article 2, section 46, subdivision 4, is amended to 
41.15 	read:
41.16 		Subd. 4. Integration aid. For integration aid under Minnesota Statutes, section 
41.17 	124D.86, subdivision 5: 

41.18
41.19		$ 
	61,769,000
59,036,000
	..... 
	2008 
	
41.20
41.21		$ 
	61,000,000
62,448,000
	..... 
	2009 
	
41.22 	The 2008 appropriation includes $5,824,000 for 2007 and $55,945,000 $53,212,000
41.23 	for 2008. 
41.24 	The 2009 appropriation includes $6,216,000 $5,912,000 for 2008 and $54,784,000
41.25 	$56,536,000 for 2009. 

41.26 	Sec. 11. Laws 2007, chapter 146, article 2, section 46, subdivision 6, is amended to 
41.27 	read:
41.28 		Subd. 6. Interdistrict desegregation or integration transportation grants. For 
41.29 	interdistrict desegregation or integration transportation grants under Minnesota Statutes, 
41.30 	section 124D.87: 

41.31
41.32		$ 
	9,639,000
9,901,000
	..... 
	2008 
	
41.33
41.34		$ 
	11,567,000
11,881,000
	..... 
	2009 

42.1 	Sec. 12. Laws 2007, chapter 146, article 2, section 46, subdivision 9, is amended to 
42.2 	read:
42.3 		Subd. 9. Tribal contract schools. For tribal contract school aid under Minnesota 
42.4 	Statutes, section 124D.83: 

42.5
42.6		$ 
	2,238,000
2,207,000
	..... 
	2008 
	
42.7
42.8		$ 
	2,422,000
2,392,000
	..... 
	2009 
	
42.9 	The 2008 appropriation includes $204,000 for 2007 and $2,034,000 $2,003,000
42.10 	for 2008. 
42.11 	The 2009 appropriation includes $226,000 $222,000 for 2008 and $2,196,000
42.12 	$2,170,000 for 2009. 
42.13 	C. SPECIAL PROGRAMS

42.14 	Sec. 13. Laws 2007, chapter 146, article 3, section 24, subdivision 3, is amended to 
42.15 	read:
42.16 		Subd. 3. Aid for children with disabilities. For aid under Minnesota Statutes, 
42.17 	section 125A.75, subdivision 3, for children with disabilities placed in residential facilities 
42.18 	within the district boundaries for whom no district of residence can be determined: 

42.19
42.20		$ 
	1,538,000
2,086,000
	..... 
	2008 
	
42.21
42.22		$ 
	1,729,000
2,282,000
	..... 
	2009 
	
42.23 	If the appropriation for either year is insufficient, the appropriation for the other 
42.24 	year is available. 

42.25 	Sec. 14. Laws 2007, chapter 146, article 3, section 24, subdivision 4, is amended to 
42.26 	read:
42.27 		Subd. 4. Travel for home-based services. For aid for teacher travel for home-based 
42.28 	services under Minnesota Statutes, section 125A.75, subdivision 1: 

42.29		$ 
	254,000207,000
	..... 
	2008 
	
42.30		$ 
	284,000227,000
	..... 
	2009 
	
42.31 	The 2008 appropriation includes $22,000 for 2007 and $232,000 $185,000 for 2008. 
42.32 	The 2009 appropriation includes $25,000 $20,000 for 2008 and $259,000 $207,000
42.33 	for 2009. 
42.34 	D. FACILITIES AND TECHNOLOGY

43.1 	Sec. 15. Laws 2007, chapter 146, article 4, section 16, subdivision 2, is amended to 
43.2 	read:
43.3 		Subd. 2. Health and safety revenue. For health and safety aid according to 
43.4 	Minnesota Statutes, section 123B.57, subdivision 5: 

43.5		$ 
	190,000254,000
	..... 
	2008 
	
43.6		$ 
	179,000103,000
	..... 
	2009 
	
43.7 	The 2008 appropriation includes $20,000 for 2007 and $170,000 $234,000 for 2008. 
43.8 	The 2009 appropriation includes $18,000 $26,000 for 2008 and $161,000 $77,000
43.9 	for 2009. 

43.10 	Sec. 16. Laws 2007, chapter 146, article 4, section 16, subdivision 3, is amended to 
43.11 	read:
43.12 		Subd. 3. Debt service equalization. For debt service aid according to Minnesota 
43.13 	Statutes, section 123B.53, subdivision 6: 

43.14
43.15		$ 
	14,813,000
14,814,000
	..... 
	2008 
	
43.16
43.17		$ 
	11,124,000
9,109,000
	..... 
	2009 
	
43.18 	The 2008 appropriation includes $1,767,000 $1,766,000 for 2007 and $13,046,000
43.19 	$13,048,000 for 2008. 
43.20 	The 2009 appropriation includes $1,450,000 $1,449,000 for 2008 and $9,674,000
43.21 	$7,660,000 for 2009. 

43.22 	Sec. 17. Laws 2007, chapter 146, article 4, section 16, subdivision 6, is amended to 
43.23 	read:
43.24 		Subd. 6. Deferred maintenance aid. For deferred maintenance aid, according to 
43.25 	Minnesota Statutes, section 123B.591, subdivision 4: 

43.26
43.27		$ 
	3,290,000
3,232,000
	..... 
	2008 
	
43.28
43.29		$ 
	2,667,000
2,627,000
	..... 
	2009 
	
43.30 	The 2008 appropriation includes $0 for 2007 and $3,290,000 $3,232,000 for 2008. 
43.31 	The 2009 appropriation includes $365,000 $359,000 for 2008 and $2,302,000
43.32 	$2,268,000 for 2009. 

43.33 	Sec. 18. Laws 2007, chapter 146, article 4, section 16, subdivision 8, is amended to 
43.34 	read:
44.1 		Subd. 8. School technology and operating capital aid grants. For school 
44.2 	technology and operating capital grants under section 11: 

44.3
44.4		$ 
	38,145,000
38,236,000
	..... 
	2008 
	
44.5
44.6		$ 
	52,676,000
52,454,000
	..... 
	2009 
	
44.7 	This is a onetime appropriation. 
44.8 	E. NUTRITION AND ACCOUNTING

44.9 	Sec. 19. Laws 2007, chapter 146, article 5, section 13, subdivision 2, is amended to 
44.10 	read:
44.11 		Subd. 2. School lunch. For school lunch aid according to Minnesota Statutes, 
44.12 	section 124D.111, and Code of Federal Regulations, title 7, section 210.17: 

44.13
44.14		$ 
	12,022,000
12,094,000
	..... 
	2008 
	
44.15
44.16		$ 
	12,166,000
12,394,000
	..... 
	2009 

44.17 	Sec. 20. Laws 2007, chapter 146, article 5, section 13, subdivision 4, is amended to 
44.18 	read:
44.19 		Subd. 4. Summer food service replacement aid. For summer food service 
44.20 	replacement aid under Minnesota Statutes, section 124D.119: 

44.21		$ 
	150,000127,000
	..... 
	2008 
	
44.22		$ 
	150,000
	..... 
	2009 
	
44.23 	F. EARLY CHILDHOOD AND ADULT PROGRAMS

44.24 	Sec. 21. Laws 2007, chapter 146, article 9, section 17, subdivision 2, is amended to 
44.25 	read:
44.26 		Subd. 2. Early childhood family education aid. For early childhood family 
44.27 	education aid under Minnesota Statutes, section 124D.135: 

44.28
44.29		$ 
	21,106,000
21,092,000
	..... 
	2008 
	
44.30
44.31		$ 
	29,601,000
29,324,000
	..... 
	2009 
	
44.32 	The 2008 appropriation includes $1,796,000 for 2007 and $19,310,000 $19,296,000
44.33 	for 2008. 
45.1 	The 2009 appropriation includes $2,145,000 $2,144,000 for 2008 and $27,456,000
45.2 	$27,180,000 for 2009. 

45.3 	Sec. 22. Laws 2007, chapter 146, article 9, section 17, subdivision 3, is amended to 
45.4 	read:
45.5 		Subd. 3. School readiness. For revenue for school readiness programs under 
45.6 	Minnesota Statutes, sections 124D.15 and 124D.16: 

45.7
45.8		$ 
	9,995,000
9,987,000
	..... 
	2008 
	
45.9		$ 
	10,095,000
	..... 
	2009 
	
45.10 	The 2008 appropriation includes $909,000 $901,000 for 2007 and $9,086,000 for 
45.11 	2008. 
45.12 	The 2009 appropriation includes $1,009,000 for 2008 and $9,086,000 for 2009. 

45.13 	Sec. 23. Laws 2007, chapter 146, article 9, section 17, subdivision 8, is amended to 
45.14 	read:
45.15 		Subd. 8. Community education aid. For community education aid under 
45.16 	Minnesota Statutes, section 124D.20: 

45.17
45.18		$ 
	1,307,000
1,299,000
	..... 
	2008 
	
45.19		$ 
	816,000796,000
	..... 
	2009 
	
45.20 	The 2008 appropriation includes $195,000 for 2007 and $1,112,000 $1,104,000
45.21 	for 2008. 
45.22 	The 2009 appropriation includes $123,000 $122,000 for 2008 and $693,000
45.23 	$674,000 for 2009. 

45.24 	Sec. 24. Laws 2007, chapter 146, article 9, section 17, subdivision 9, is amended to 
45.25 	read:
45.26 		Subd. 9. Adults with disabilities program aid. For adults with disabilities 
45.27 	programs under Minnesota Statutes, section 124D.56: 

45.28		$ 
	710,000709,000
	..... 
	2008 
	
45.29		$ 
	710,000
	..... 
	2009 
	
45.30 	The 2008 appropriation includes $71,000 $70,000 for 2007 and $639,000 for 2008. 
45.31 	The 2009 appropriation includes $71,000 for 2008 and $639,000 for 2009. 
45.32 	School districts operating existing adults with disabilities programs that are not fully 
45.33 	funded shall receive full funding for the program beginning in fiscal year 2008 before the 
45.34 	commissioner awards grants to other districts. 

46.1 	Sec. 25. Laws 2007, chapter 146, article 9, section 17, subdivision 13, is amended to 
46.2 	read:
46.3 		Subd. 13. Adult basic education aid. For adult basic education aid under 
46.4 	Minnesota Statutes, section 124D.531: 

46.5
46.6		$ 
	40,347,000
40,344,000
	..... 
	2008 
	
46.7
46.8		$ 
	41,745,000
41,712,000
	..... 
	2009 
	
46.9 	The 2008 appropriation includes $3,759,000 for 2007 and $36,588,000 $36,585,000
46.10 	for 2008. 
46.11 	The 2009 appropriation includes $4,065,000 for 2008 and $37,680,000 $37,647,000
46.12 	for 2009.

46.13 	ARTICLE 4
46.14 	HIGHER EDUCATION

46.15	Section 1. SUMMARY OF APPROPRIATIONS.
 	
46.16 	The amounts shown in this section summarize direct appropriations from the general 
46.17 	fund made in this article.

46.18			2008
		2009
		Total
	
46.19
46.20	Minnesota Office of Higher 
Education
	$
	-0-
	$
	(1,381,000)
	$
	(1,381,000)
	
46.21
46.22
46.23	Board of Trustees of the 
Minnesota State Colleges and 
Universities
		(1,000,000)
		(6,880,000)
		(7,880,000)
	
46.24
46.25	Board of Regents of the 
University of Minnesota
		(6,150,000)
		(6,150,000)
		(12,300,000)
	
46.26	Total
	$
	(7,150,000)
	$
	(14,411,000)
	$
	(21,561,000)

46.27	Sec. 2. APPROPRIATIONS.
 	
46.28 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
46.29 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 144, article 1, to 
46.30 	the agencies and for the purposes specified in this article. The appropriations are from the 
46.31 	general fund, or another named fund, and are available for the fiscal years indicated for 
46.32 	each purpose. The figures "2008" and "2009" used in this article mean that the addition to 
46.33 	or subtraction from the appropriations listed under them are available for the fiscal year 
46.34 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
46.35 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the day 
46.36 	following final enactment. "The first year" is fiscal year 2008. "The second year" is fiscal 
46.37 	year 2009. "The biennium" is fiscal years 2008 and 2009.

47.1				APPROPRIATIONS
	
47.2				Available for the Year
	
47.3				Ending June 30
	
47.4					2008
		2009

47.5
47.6	Sec. 3. MINNESOTA OFFICE OF HIGHER 
EDUCATION

47.7	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	(1,381,000)
	
47.8 	The amounts that must be reduced for 
47.9 	each purpose are specified in the following 
47.10 	subdivisions.

47.11	Subd. 2.Interstate Tuition Reciprocity
 		-0-
		(250,000)

47.12	Subd. 3.Minnesota College Savings Plan
 		-0-
		(1,020,000)
	
47.13 	The budget base for the Minnesota college 
47.14 	savings plan for fiscal year 2010 is 
47.15 	$1,020,000.

47.16	Subd. 4.Agency Administration
 		-0-
		(111,000)

47.17	Subd. 5.Cancellation
 					
47.18 	By June 30, 2009, the commissioner of 
47.19 	finance shall cancel to the general fund 
47.20 	$90,000 of the appropriation in Laws 2005, 
47.21 	chapter 107, article 1, section 2, subdivision 
47.22 	12, to upgrade computer program application 
47.23 	software related to state grant awards.

47.24	Subd. 6.Transfers In
 					
47.25 	The commissioner of finance must transfer 
47.26 	$18,000 to the general fund from the 
47.27 	technology carryforward account in the 
47.28 	special revenue fund by June 30, 2008.
47.29 	The commissioner of finance must transfer 
47.30 	$100,000 to the general fund from the private 
47.31 	institutions regulation accounts in the special 
47.32 	revenue fund by June 30, 2009. 

48.1
48.2
48.3	Sec. 4. BOARD OF TRUSTEES OF THE 
MINNESOTA STATE COLLEGES AND 
UNIVERSITIES

48.4	Subdivision 1.Total Appropriation
 	$
	(1,000,000)
	$
	(6,880,000)
	
48.5 	The amounts that must be reduced or 
48.6 	added for each purpose are specified in the 
48.7 	following subdivisions.

48.8	Subd. 2.General Reduction
 		(1,000,000)
		(7,600,000)
	
48.9 	Of this reduction, $5,000,000 is from 
48.10 	the appropriations for technology and 
48.11 	$1,000,000 is from the central reserves. 
48.12 	The remainder is from the Office of the 
48.13 	Chancellor budget.
48.14 	The reductions in this subdivision must not 
48.15 	result in reductions to any of the campuses 
48.16 	of the Minnesota State Colleges and 
48.17 	Universities, must not reduce the technology 
48.18 	expenditures or grants to the campuses, and 
48.19 	must not increase any assessments to the 
48.20 	campuses from the Office of the Chancellor.
48.21 	The Board of Trustees of the Minnesota State 
48.22 	Colleges and Universities must reallocate 
48.23 	$9,000,000 of state appropriations to reduce 
48.24 	student tuition increases to two percent 
48.25 	at state colleges and three percent at state 
48.26 	universities and must not increase student 
48.27 	fees beyond the amount that is currently 
48.28 	planned for the next academic year.
48.29 	The legislature intends that by reducing 
48.30 	tuition increases, the student's share of 
48.31 	educational costs are decreased and the 
48.32 	state's share of educational costs are 
48.33 	increased, consistent with the funding policy 
48.34 	in Minnesota Statutes, section 135A.01. The 
48.35 	legislature's goal is to begin progress over the 
49.1 	next eight years to achieve a two-thirds state 
49.2 	share of educational costs and a one-third 
49.3 	student share as specified in Minnesota 
49.4 	Statutes, section 135A.01.
49.5 	From the appropriation in Laws 2007, chapter 
49.6 	144, article 1, section 4, subdivision 1, the 
49.7 	Board of Trustees shall allocate funding to 
49.8 	campuses that lost revenue as a result of the 
49.9 	decision in this law to eliminate nonresident 
49.10 	undergraduate tuition at specified campuses.

49.11	Subd. 3.Power of You Program
 		-0-
		 600,000
	
49.12 	This appropriation is for the continuation of 
49.13 	the power of you program at Metropolitan 
49.14 	State University, Minneapolis Community 
49.15 	and Technical College, and St. Paul College 
49.16 	under Minnesota Statutes, section 136F.19.
49.17 	The board of trustees shall allocate the 
49.18 	power of you funds to Metropolitan State 
49.19 	University, Minneapolis Community and 
49.20 	Technical College, and St. Paul College.
49.21 	The funds must be used for financial aid 
49.22 	for eligible students. This appropriation is 
49.23 	available to the extent it is matched with an 
49.24 	equal amount of nonstate money.
49.25 	This is a onetime appropriation.

49.26
49.27	Subd. 4.Teachers of Diverse Backgrounds 
Financial Aid Pilot Program
 		-0-
		120,000
	
49.28 	For a teachers of diverse backgrounds 
49.29 	financial aid pilot program, to be 
49.30 	implemented by (1) Winona State University 
49.31 	in partnership with the Rochester school 
49.32 	district and (2) St. Cloud State University 
49.33 	in partnership with the Robbinsdale school 
49.34 	district, to increase the diversity of teachers 
50.1 	in school districts with a significant 
50.2 	concentration of minority students and attain 
50.3 	the state's interest in enhancing the academic 
50.4 	achievement of diverse student populations.
50.5 	A student is eligible to receive a grant 
50.6 	under this subdivision if the student has a 
50.7 	demonstrated interest and knowledge of 
50.8 	diverse cultures. A preference must be given 
50.9 	to a student whose parents did not attend 
50.10 	college.
50.11 	Grants shall be made to eligible students 
50.12 	for the student's junior and senior years in a 
50.13 	teacher preparation program. Priority shall 
50.14 	be given to students who are eligible for a 
50.15 	Pell grant or a state grant under Minnesota 
50.16 	Statutes, section 136A.121. Applications 
50.17 	must be submitted in the form and manner 
50.18 	and with the information required by 
50.19 	Winona State University and St. Cloud State 
50.20 	University.
50.21 	Within the limits of the appropriation, 
50.22 	a student may receive a grant of up to 
50.23 	$5,000 each year for a maximum of two 
50.24 	academic years or the equivalent if the 
50.25 	student continues to make satisfactory 
50.26 	progress, as defined by the institution, toward 
50.27 	a baccalaureate degree in education.
50.28 	This is a onetime appropriation.

50.29	Subd. 5.System Base Reduced
 					
50.30 	The system base is reduced by $7,700,000 
50.31 	each year in fiscal years 2010 and 2011.

50.32
50.33	Sec. 5. BOARD OF REGENTS OF THE 
UNIVERSITY OF MINNESOTA

50.34	Subdivision 1.Total Appropriation
 	$
	(6,150,000)
	$
	(6,150,000)
	
51.1 	The amounts that must be reduced or 
51.2 	added for each purpose are specified in the 
51.3 	following subdivisions.

51.4	Subd. 2.General Reduction
 		(6,150,000)
		(6,150,000)

51.5	Subd. 3.Restriction on Tuition Increase
 					
51.6 	The Board of Regents must not increase 
51.7 	student tuition or fees beyond the amount 
51.8 	currently planned for the 2008-2009 
51.9 	academic year.

51.10	Subd. 4.System Base Reduced
 					
51.11 	The system base is reduced by $8,700,000 
51.12 	in fiscal year 2010 and $8,700,000 in fiscal 
51.13 	year 2011.

51.14 	Sec. 6. Minnesota Statutes 2006, section 136A.101, subdivision 8, is amended to read:
51.15 		Subd. 8.Resident student. "Resident student" means a student who meets one of 
51.16 	the following conditions:
51.17 	(1) a student who has resided in Minnesota for purposes other than postsecondary 
51.18 	education for at least 12 months without being enrolled at a postsecondary educational 
51.19 	institution for more than five credits in any term;
51.20 	(2) a dependent student whose parent or legal guardian resides in Minnesota at the 
51.21 	time the student applies;
51.22 	(3) a student who graduated from a Minnesota high school, if the student was a 
51.23 	resident of Minnesota during the student's period of attendance at the Minnesota high 
51.24 	school and the student is physically attending a Minnesota postsecondary educational 
51.25 	institution; 
51.26 	(4) a student who, after residing in the state for a minimum of one year, earned a 
51.27 	high school equivalency certificate in Minnesota;
51.28 	(5) a member, spouse, or dependent of a member of the armed forces of the United 
51.29 	States stationed in Minnesota on active federal military service as defined in section 
51.30 	190.05, subdivision 5c;
51.31 	(6) a spouse or dependent of a veteran, as defined in section 197.447, if the veteran 
51.32 	is a Minnesota resident;
52.1 	(7) a person or spouse of a person who relocated to Minnesota from an area that 
52.2 	is declared a presidential disaster area within the preceding 12 months if the disaster 
52.3 	interrupted the person's postsecondary education; or
52.4 	(7) (8) a person defined as a refugee under United States Code, title 8, section 
52.5 	1101(a)(42), who, upon arrival in the United States, moved to Minnesota and has 
52.6 	continued to reside in Minnesota.

52.7 	Sec. 7. Minnesota Statutes 2007 Supplement, section 136A.121, subdivision 7a, 
52.8 	is amended to read:
52.9 		Subd. 7a.Surplus appropriation. If the amount appropriated is determined by the 
52.10 	office to be more than sufficient to fund projected grant demand in the second year of the 
52.11 	biennium, the office may increase the living and miscellaneous expense allowance in the 
52.12 	second year of the biennium by up to an amount that retains sufficient appropriations 
52.13 	to fund the projected grant demand. The adjustment may be made one or more times. 
52.14 	In making the determination that there are more than sufficient funds, the office shall 
52.15 	balance the need for sufficient resources to meet the projected demand for grants with the 
52.16 	goal of fully allocating the appropriation for state grants. An increase in the living and 
52.17 	miscellaneous expense allowance under this subdivision does not carry forward into a 
52.18 	subsequent biennium. This subdivision expires June 30, 2009.

52.19 	Sec. 8. [136F.19] POWER OF YOU PROGRAM.
52.20 		Subdivision 1.Establishment. The board shall establish and operate through 
52.21 	each campus a power of you program at Metropolitan State University, Minneapolis 
52.22 	Community and Technical College, and St. Paul College. The program shall, to the 
52.23 	extent of available funding, make grants to eligible students. Each campus shall develop 
52.24 	partnerships with high schools and school districts as part of the program. The board may 
52.25 	accept and expend private funding for the program.
52.26 		Subd. 2.Grants.  A campus shall establish procedures to select recipients of grants. 
52.27 	A grant award shall be equal to the amount remaining after deducting the student's Pell 
52.28 	grant award and state grant award from the institution's tuition and mandatory fee charges. 
52.29 		Subd. 3.Eligible students.  A student is eligible to receive a grant under this section 
52.30 	if the student:
52.31 	(1) is a graduate from a public Minneapolis or St. Paul high school;
52.32 	(2) is enrolled full time immediately after graduation; 
52.33 	(3) was a participant in a power of you program as a high school student; and 
52.34 	(4) is eligible for a Pell grant or a state grant under section 136A.121.
53.1 		Subd. 4.Information. The institutions implementing the power of you program 
53.2 	shall disseminate information to all MnSCU institutions about their experience in 
53.3 	implementing the program.

53.4 	EFFECTIVE DATE. This section is effective the day following final enactment.

53.5 	Sec. 9. Minnesota Statutes 2006, section 136G.11, subdivision 1, is amended to read:
53.6 		Subdivision 1.Matching grant qualification. By June 30July 1 of each year, a 
53.7 	state matching grant must be added to each account established under the program if 
53.8 	the following conditions are met:
53.9 	(1) the contributor applies, in writing in a form prescribed by the director, for a 
53.10 	matching grant;
53.11 	(2) a minimum contribution of $200 was made during the preceding calendar year;
53.12 	(3) the beneficiary's family meets Minnesota college savings plan residency 
53.13 	requirements; and
53.14 	(4) the family income of the beneficiary did not exceed $80,000.

53.15 	EFFECTIVE DATE. This section is effective July 1, 2008, for payments due July 
53.16 	1, 2009, and thereafter.

53.17 	Sec. 10. Minnesota Statutes 2006, section 299A.45, subdivision 1, is amended to read:
53.18 		Subdivision 1.Eligibility. Following certification A person is eligible to receive 
53.19 	educational benefits under this section if the person:
53.20 	(1) is certified under section 299A.44 and in compliance with this section and rules 
53.21 	of the commissioner of public safety and the Minnesota Office of Higher Education,;
53.22 	(2) is enrolled in an undergraduate degree or certificate program after June 30, 1990, 
53.23 	at an eligible Minnesota institution as provided in section 136A.101, subdivision 4;
53.24 	(3) has not receive a baccalaureate degree or been enrolled full time for ten semesters 
53.25 	or the equivalent, except that a student who withdraws from enrollment for active military 
53.26 	service is entitled to an additional semester or the equivalent of eligibility; and
53.27 	(4) is related in one of the following ways to a public safety officer killed in the 
53.28 	line of duty on or after January 1, 1973:
53.29 	(i) as a dependent children child less than 23 years of age and the;
53.30 	(ii) as a surviving spouse of a public safety officer killed in the line of duty on 
53.31 	or after January 1, 1973, are eligible to receive educational benefits under this section. 
53.32 	To qualify for an award, they must be enrolled in undergraduate degree or certificate 
53.33 	programs after June 30, 1990, at an eligible Minnesota institution as provided in section 
54.1 	136A.101, subdivision 4. A student who withdraws from enrollment for active military 
54.2 	service is entitled to an additional semester or the equivalent of grant eligibility. Persons 
54.3 	who have received a baccalaureate degree or have been enrolled full time or the equivalent 
54.4 	of ten semesters or the equivalent, whichever occurs first, are no longer eligible.; or
54.5 	(iii) as a dependent child less than 30 years of age who has served on active military 
54.6 	duty 181 consecutive days or more and has been honorably discharged or released to the 
54.7 	dependent child's reserve or National Guard unit.

54.8 	Sec. 11. Laws 2007, chapter 144, article 1, section 3, subdivision 2, is amended to read:

54.9	Subd. 2. State Grants
 		147,400,000 
		144,138,000 
	
54.10 	If the appropriation in this subdivision for 
54.11 	either year is insufficient, the appropriation 
54.12 	for the other year is available for it. 
54.13 	For the biennium, the tuition maximum for 
54.14 	students in four-year programs is $9,838 in 
54.15 	each year for students in four-year programs, 
54.16 	and for students in two-year programs, is 
54.17 	$6,114 in the first year and $5,808 in the 
54.18 	second year. 
54.19 	This appropriation sets the living and 
54.20 	miscellaneous expense allowance at $5,900 
54.21 	each the first year and $6,200 the second
54.22 	year. 

54.23 	Sec. 12. Laws 2007, chapter 144, article 1, section 5, subdivision 5, is amended to read:

54.24
54.25	Subd. 5. University of Minnesota and Mayo 
Foundation Partnership
 		25,000,000 
		-0- 
	
54.26 	For the direct and indirect expenses of the 
54.27 	collaborative research partnership between 
54.28 	the University of Minnesota and the Mayo 
54.29 	Foundation for research in biotechnology 
54.30 	and medical genomics. For fiscal years 2010 
54.31 	and 2011, the base shall be $8,000,000 in 
54.32 	each year. This appropriation is available 
54.33 	until expended. An annual report on the 
55.1 	expenditure of these funds must be submitted 
55.2 	to the governor, the chair of the house 
55.3 	bioscience and emerging technologies 
55.4 	committee, and the chairs of the senate and 
55.5 	house committees responsible for higher 
55.6 	education and economic development by 
55.7 	June 30 of each fiscal year. At a minimum, 
55.8 	the report must include information on 
55.9 	the number of patents, disclosures, and 
55.10 	licensing agreements; the amount generated 
55.11 	in royalties and how the royalty money is 
55.12 	spent; and the number of companies created, 
55.13 	where they are located, how many jobs are 
55.14 	created, and the amount of venture capital 
55.15 	raised.

55.16 	ARTICLE 5
55.17 	ENVIRONMENT AND NATURAL RESOURCES

55.18	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
55.19 	The amounts shown in this section summarize direct appropriations, by fund, made 
55.20 	in this article.

55.21			2008
		2009
		Total
	
55.22	General
	$
	(328,000)
	$
	(2,728,000)
	$
	(3,056,000)
	
55.23	Environmental
		-0-
		134,000
		134,000
	
55.24	Natural Resources
		50,000
		2,523,000
		2,573,000
	
55.25	Game and Fish
		123,000
		631,000
		754,000
	
55.26	Total
	$
	(155,000)
	$
	560,000
	$
	405,000

55.27	Sec. 2. APPROPRIATIONS.
 	
55.28 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
55.29 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 57, article 1, to 
55.30 	the agencies and for the purposes specified in this article. The appropriations are from the 
55.31 	general fund, or another named fund, and are available for the fiscal years indicated for 
55.32 	each purpose. The figures "2008" and "2009" used in this article mean that the addition 
55.33 	to or subtraction from the appropriation listed under them is available for the fiscal year 
55.34 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
56.1 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 
56.2 	day following final enactment.

56.3				APPROPRIATIONS
	
56.4				Available for the Year
	
56.5				Ending June 30
	
56.6					2008
		2009

56.7	Sec. 3. POLLUTION CONTROL AGENCY
 	$
	-0-
	$
	(469,000)

56.8	Appropriations by Fund
	
56.9	General
	-0-
	(603,000)
	
56.10	Environmental Fund
	-0-
	134,000
	
56.11 	$623,000 is a reduction in 2009. The 
56.12 	commissioner shall make the reduction to 
56.13 	administrative activities in a way to minimize 
56.14 	the effect to program operations.
56.15 	$134,000 in 2009 is appropriated from the 
56.16 	environmental fund for the development 
56.17 	and adoption of rules to regulate emission 
56.18 	standards of motor vehicles sold in this state 
56.19 	as authorized under the federal Clean Air 
56.20 	Act, United States Code, title 42, section 
56.21 	7507. The base for fiscal years 2010 and 
56.22 	2011 is $114,000.
56.23 	$20,000 in 2009 is appropriated from the 
56.24 	general fund for the following purposes:
56.25 	(1) the development of recommendations 
56.26 	for establishing a comprehensive product 
56.27 	stewardship approach to reducing 
56.28 	environmental and health risks posed by 
56.29 	the use or disposal of products. These 
56.30 	recommendations shall be submitted to 
56.31 	the chairs and ranking minority members 
56.32 	of the senate and house committees with 
56.33 	jurisdiction over environmental policy 
56.34 	and environmental finance by January 
56.35 	15, 2009. The recommendations shall 
57.1 	include, at a minimum: a set of criteria to 
57.2 	be used to evaluate products proposed for 
57.3 	product stewardship solutions; a process for 
57.4 	designating products for product stewardship 
57.5 	solutions and the role the legislature would 
57.6 	play in that process; typical components 
57.7 	of product stewardship plans; options to 
57.8 	facilitate the creation of industry-managed 
57.9 	stewardship management organizations; 
57.10 	methods to identify and monitor progress 
57.11 	toward stewardship performance goals for 
57.12 	specific products; and strategies to implement 
57.13 	the use of standards, certifications, and 
57.14 	eco-labels to promote environmentally 
57.15 	preferable products. To the extent possible, 
57.16 	the recommendations must be consistent 
57.17 	with existing product stewardship programs 
57.18 	in North America. In developing the 
57.19 	recommendations, the commissioner must 
57.20 	consult with manufacturers, retailers, 
57.21 	recyclers, environmental advocacy 
57.22 	organizations, local units of government, and 
57.23 	other interested parties;
57.24 	(2) a report to be submitted by December 
57.25 	1, 2008, to the chairs and ranking minority 
57.26 	members of the senate and house committees 
57.27 	with primary jurisdiction over solid waste 
57.28 	policy, analyzing the availability of collection 
57.29 	and processing capacity in the seven-county 
57.30 	metropolitan area for the recycling of 
57.31 	construction and demolition waste. The 
57.32 	report must recommend a percentage of the 
57.33 	total weight of construction and demolition 
57.34 	waste generated in the seven-county 
57.35 	metropolitan area that represents an 
57.36 	achievable but aggressive recycling goal that 
58.1 	can be reached in 2012 and must include an 
58.2 	analysis of the economic and environmental 
58.3 	costs and benefits of reaching that goal; and
58.4 	(3) a report to be submitted by January 1, 
58.5 	2009, to the chairs and ranking minority 
58.6 	members of the senate and house committees 
58.7 	with primary jurisdiction over solid waste 
58.8 	policy, that recommends options for 
58.9 	achieving the following goals by 2020: an 
58.10 	increase in county recycling rates to 60 
58.11 	percent of the weight of total solid waste 
58.12 	generation; and the diversion, prior to 
58.13 	delivery to landfills and waste-to-energy 
58.14 	plants, and recycling and reuse of an amount 
58.15 	of source-separated compostable materials 
58.16 	equal to 15 percent of total solid waste 
58.17 	generation. The commissioner must obtain 
58.18 	input from counties inside and outside the 
58.19 	seven-county metropolitan area, recycling 
58.20 	and composting facilities, waste haulers, 
58.21 	environmental organizations, and other 
58.22 	interested parties in preparing the report. 
58.23 	The report must also contain estimates of 
58.24 	the economic costs of implementing the 
58.25 	strategies. This is a onetime appropriation.

58.26	Sec. 4. NATURAL RESOURCES

58.27	Subdivision 1.Total Appropriation
 	$
	(155,000)
	$
	594,000

58.28	Appropriations by Fund
	
58.29	General
	(328,000)
	(2,260,000)
	
58.30	Natural Resources
	50,000
	2,223,000
	
58.31	Game and Fish
	123,000
	631,000
	
58.32 	The appropriation additions or reductions 
58.33 	for each purpose are shown in the following 
58.34 	subdivisions.

58.35	Subd. 2.Lands and Minerals
 		-0-
		(225,000)

59.1	Appropriations by Fund
	
59.2	General
	-0-
	(425,000)
	
59.3	Natural Resources
	-0-
	200,000
	
59.4 	$200,000 in 2009 is a general reduction in 
59.5 	lands and minerals administration.
59.6 	$124,000 in 2009 is a reduction from the 
59.7 	appropriation for iron ore cooperative 
59.8 	agreements.
59.9 	$101,000 in 2009 is a reduction from the 
59.10 	appropriation for minerals diversification.
59.11 	$200,000 in 2009 is appropriated from the 
59.12 	natural resources fund for the administration 
59.13 	and monitoring of permits to mine 
59.14 	ferrous metals under Minnesota Statutes, 
59.15 	section 93.481. By January 15, 2009, 
59.16 	the commissioner shall report to the 
59.17 	legislature and the chairs of the senate and 
59.18 	house committees with jurisdiction over 
59.19 	environment and natural resources finance 
59.20 	on the establishment of a permit to mine 
59.21 	application fee schedule that is based on 
59.22 	the actual costs of issuing and monitoring 
59.23 	individual permits and any necessary 
59.24 	legislation needed to cover the costs of 
59.25 	issuing and monitoring the permits for the 
59.26 	next biennium.

59.27	Subd. 3.Water Resource Management
 		(98,000)
		10,000

59.28	Appropriations by Fund
	
59.29	General
	(98,000)
	(90,000)
	
59.30	Natural Resources
	-0-
	100,000
	
59.31 	$38,000 is a reduction in 2009 attributable to 
59.32 	the modification of reporting requirements 
59.33 	under Minnesota Statutes, section 103A.43.
60.1 	By January 15, 2009, the Mississippi 
60.2 	Headwaters Board, established under 
60.3 	Minnesota Statutes, section 103F.367, shall 
60.4 	submit a report to the chairs of the senate 
60.5 	and house committees and divisions with 
60.6 	jurisdiction over the environment and natural 
60.7 	resources on how the board will meet its 
60.8 	responsibility to protect and enhance the 
60.9 	Mississippi River and related shoreland as 
60.10 	required by Minnesota Statutes, section 
60.11 	103F.367. In preparing the report, the 
60.12 	Mississippi Headwaters Board shall hold two 
60.13 	public input meetings in the area.
60.14 	$100,000 in 2009 is from the water recreation 
60.15 	account in the natural resources fund for 
60.16 	rulemaking on structures in public waters. 
60.17 	This is a onetime appropriation.
60.18 	$22,000 in 2009 is a reduction from the 
60.19 	appropriation for ring dikes under Minnesota 
60.20 	Statutes, section 103F.161.
60.21 	$30,000 is a reduction in 2009 from the 
60.22 	appropriation for grants associated with the 
60.23 	implementation of the Red River mediation 
60.24 	agreement.
60.25 	$98,000 is a reduction in 2008 from a 
60.26 	onetime appropriation for impaired waters.

60.27	Subd. 4.Forest Management
 		-0-
		250,000
	
60.28 	$53,000 in 2009 is for the Forest Resources 
60.29 	Council to conduct a study of options and 
60.30 	make recommendations to the legislature 
60.31 	for addressing the fragmentation and 
60.32 	parcelization of large blocks of private 
60.33 	forest land in the state. This is a onetime 
60.34 	appropriation.
61.1 	$197,000 in 2009 is for a grant to the 
61.2 	University of Minnesota for the Interagency 
61.3 	Information Cooperative to develop a 
61.4 	common forest inventory format describing 
61.5 	key attributes of Minnesota's public forest 
61.6 	land base, growth models for managed forest 
61.7 	stands, a forest wildlife habitat model format, 
61.8 	and an information database on the state's 
61.9 	family forest ownership.

61.10	Subd. 5.Parks and Recreation Management
 		50,000
		-0-

61.11	Appropriations by Fund
	
61.12	General
	-0-
	(220,000)
	
61.13	Natural Resources
	50,000
	220,000
	
61.14 	$220,000 in 2009 is a reduction for parks and 
61.15 	recreation management.
61.16 	$220,000 in 2009 is from the state parks 
61.17 	account in the natural resources fund to 
61.18 	fund state park operations, maintenance, 
61.19 	resource management, educational services, 
61.20 	and associated support costs.
61.21 	$50,000 in 2008 from the natural resources 
61.22 	fund is for grants to local units of government 
61.23 	for up to 75 percent of the cost of meeting 
61.24 	the equipment requirements for public 
61.25 	pools under Minnesota Statutes, section 
61.26 	144.1222, subdivision 1d, paragraph (a), if 
61.27 	enacted. The maximum grant is $10,000 
61.28 	per pool upgraded. Priority shall be given 
61.29 	to local government applicants seeking 
61.30 	assistance in installing a secondary suction 
61.31 	or drainage outlet for the public pool where 
61.32 	a fee is not charged for use of the pool. 
61.33 	The commissioner shall consult with the 
61.34 	commissioner of health in awarding the 
61.35 	grants. Of this amount, notwithstanding 
62.1 	the restrictions under Minnesota Statutes, 
62.2 	section 297A.94, $25,000 is from the revenue 
62.3 	deposited in the natural resources fund 
62.4 	under Minnesota Statutes, section 297A.94, 
62.5 	paragraph (e), clause (3), and $25,000 is 
62.6 	from the revenue deposited in the natural 
62.7 	resources fund under Minnesota Statutes, 
62.8 	section 297A.94, paragraph (e), clause 
62.9 	(4). This is a onetime appropriation and is 
62.10 	available until June 30, 2009.

62.11	Subd. 6.Trails and Waterways Management
 		-0-
		1,085,000

62.12	Appropriations by Fund
	
62.13	General
	-0-
	(50,000)
	
62.14	Natural Resources
	-0-
	1,135,000
	
62.15 	Beginning in 2009, $300,000 each year is 
62.16 	from the all-terrain vehicle account in the 
62.17 	natural resources fund for monitoring and 
62.18 	maintenance of newly designated trails.
62.19 	$700,000 in 2009 is from the natural 
62.20 	resources fund for the development of 
62.21 	the Virginia site and connecting trails 
62.22 	for the Iron Range Off-Highway Vehicle 
62.23 	Recreation Area. Of this amount, $400,000 
62.24 	is from the all-terrain vehicle account, 
62.25 	$75,000 is from the off-highway motorcycle 
62.26 	account, $125,000 is from the off-road 
62.27 	vehicle account, and $100,000 is from 
62.28 	the snowmobile trails and enforcement 
62.29 	account. $300,000 is from federal money 
62.30 	allocated for motorized recreation. This is 
62.31 	a onetime appropriation. The appropriation 
62.32 	is available until expended for the design 
62.33 	and development of an underpass for 
62.34 	off-highway vehicles on Highway 135 in the 
62.35 	city of Gilbert. None of these funds may be 
63.1 	expended until all property as identified in 
63.2 	the master plan has been acquired. This is a 
63.3 	onetime appropriation.
63.4 	$100,000 in 2009 is from the all-terrain 
63.5 	vehicle account in the natural resources 
63.6 	fund for a grant to the city of Hoyt Lakes to 
63.7 	convert the Moose Trail snowmobile trail 
63.8 	to a dual usage trail, so that it may also 
63.9 	be used as an Off-Highway Vehicle trail 
63.10 	connecting the city of Biwabik to the Iron 
63.11 	Range Off-Highway Vehicle Recreation 
63.12 	Area. This is a onetime appropriation.
63.13 	$50,000 in 2009 is a reduction from the 
63.14 	appropriation for nonmotorized trails. 
63.15 	$35,000 in 2009 is from the all-terrain 
63.16 	vehicle account in the natural resources fund 
63.17 	for all-terrain vehicle grants-in-aid.

63.18	Subd. 7.Fish and Wildlife Management
 		123,000
		119,000

63.19	Appropriations by Fund
	
63.20	General
	-0-
	(427,000)
	
63.21	Game and Fish
	123,000
	546,000
	
63.22 	$329,000 in 2009 is a reduction for fish and 
63.23 	wildlife management.
63.24 	$46,000 in 2009 is a reduction in the 
63.25 	appropriation for the Minnesota Shooting 
63.26 	Sports Education Center.
63.27 	$52,000 in 2009 is a reduction for licensing.
63.28 	$123,000 in 2008 and $246,000 in 2009 are 
63.29 	from the game and fish fund to implement 
63.30 	fish virus surveillance, prepare infrastructure 
63.31 	to handle possible outbreaks, and implement 
63.32 	control procedures for highest risk waters 
63.33 	and fish production operations. This is a 
63.34 	onetime appropriation.
64.1 	Notwithstanding Minnesota Statutes, section 
64.2 	297A.94, paragraph (e), $300,000 in 2009 
64.3 	is from the second year appropriation in 
64.4 	Laws 2007, chapter 57, article 1, section 4, 
64.5 	subdivision 7, from the heritage enhancement 
64.6 	account in the game and fish fund to 
64.7 	study, predesign, and design shooting sports 
64.8 	facilities at the Vermillion Highlands Wildlife 
64.9 	Management Area authorized by Laws 2007, 
64.10 	chapter 57, article 1, section 168. This is 
64.11 	available onetime only and is available until 
64.12 	expended.
64.13 	$300,000 in 2009 is appropriated from the 
64.14 	game and fish fund for only activities that 
64.15 	improve, enhance, or protect fish and wildlife 
64.16 	resources. This is a onetime appropriation.

64.17	Subd. 8.Ecological Services
 		(230,000)
		-0-
	
64.18 	$230,000 in 2008 is a reduction from the 
64.19 	appropriation for impaired waters.
64.20 	By June 30, 2008, the commissioner of 
64.21 	finance shall transfer $594,000 from the 
64.22 	water recreation account in the natural 
64.23 	resources fund to the invasive species 
64.24 	account in the natural resources fund for 
64.25 	invasive species-related expenses.

64.26	Subd. 9.Enforcement
 		-0-
		110,000

64.27	Appropriations by Fund
	
64.28	General
	-0-
	(543,000)
	
64.29	Natural Resources
	-0-
	568,000
	
64.30	Game and Fish
	-0-
	85,000
	
64.31 	$543,000 in 2009 is a reduction in 
64.32 	enforcement operations. $75,000 of 
64.33 	this reduction is for conservation officer 
64.34 	recruiting and $85,000 of this reduction is 
64.35 	for advanced hunter education.
65.1 	$383,000 in 2009 is from the water recreation 
65.2 	account in the natural resources fund for 
65.3 	enforcement operations.
65.4 	$185,000 in 2009 is from the all-terrain 
65.5 	vehicle account in the natural resources 
65.6 	fund for grants to county law enforcement 
65.7 	agencies for all-terrain vehicle enforcement 
65.8 	and public education activities based on 
65.9 	all-terrain vehicle use in the county.
65.10 	$85,000 in 2009 is from the game and fish 
65.11 	fund for advanced hunter education.

65.12	Subd. 10.Operations Support
 		-0-
		(755,000)
	
65.13 	$755,000 is a reduction to the department's 
65.14 	administration costs in fiscal year 2009. The 
65.15 	commissioner shall make these reductions 
65.16 	throughout the agency through reduction 
65.17 	in travel, administrative costs, and vacancy 
65.18 	management.
65.19 	The department's administration base is 
65.20 	reduced by $255,000 in fiscal years 2010 and 
65.21 	2011.

65.22
65.23	Sec. 5. BOARD OF WATER AND SOIL 
RESOURCES
 	$
	-0-
	$
	235,000
	
65.24 	$200,000 in 2009 is a reduction from the 
65.25 	appropriation for county cooperative weed 
65.26 	management programs.
65.27 	$47,000 is a reduction in 2009 from the 
65.28 	appropriation for cost-sharing contracts to 
65.29 	establish native buffers. This is a onetime 
65.30 	reduction.
65.31 	$68,000 in 2009 is a reduction from the 
65.32 	appropriation for the drainage assistance 
65.33 	program.
66.1 	$450,000 in 2009 is for implementing 
66.2 	rehabilitation, erosion, and sediment control 
66.3 	projects in the area included in DR-1717. 
66.4 	Funds appropriated or transferred and 
66.5 	waivers previously authorized to the board 
66.6 	for DR-1717 flood relief and recovery as 
66.7 	provided in Laws 2007, First Special Session 
66.8 	chapter 2, are available and applicable until 
66.9 	June 30, 2010. The board may use money 
66.10 	from this appropriation to implement federal 
66.11 	funding for projects in the area. The base 
66.12 	for 2010 is $275,000 and the base for 2011 
66.13 	is $0. This appropriation is available until 
66.14 	expended.
66.15 	$100,000 in 2009 is for a grant to the Star 
66.16 	Lake Board established in new Minnesota 
66.17 	Statutes, section 103B.702. The board may 
66.18 	use up to ten percent of the appropriation for 
66.19 	administration and initial meeting of the Star 
66.20 	Lake Board. This is a onetime appropriation.
66.21 	To the extent possible prairie restorations 
66.22 	paid for in whole or in part by appropriations 
66.23 	to the board must be made using best 
66.24 	management practices for native prairie 
66.25 	restoration as defined in Minnesota Statutes, 
66.26 	section 84.02, subdivision 2.

66.27	Sec. 6. METROPOLITAN COUNCIL
 	$
	-0-
	$
	200,000

66.28	Appropriations by Fund
	
66.29	General
	-0-
	(100,000)
	
66.30	Natural Resources
	-0-
	300,000
	
66.31 	$300,000 in fiscal year 2009 is reduced 
66.32 	from money appropriated from the general 
66.33 	fund for metropolitan area regional parks 
66.34 	maintenance and operations under Laws 
67.1 	2007, chapter 57, article 1, section 6. This is 
67.2 	a onetime reduction.
67.3 	$300,000 in fiscal year 2009 is appropriated 
67.4 	from the natural resources fund for 
67.5 	metropolitan area regional parks 
67.6 	maintenance and operations. This is a 
67.7 	onetime appropriation from the revenue 
67.8 	deposited in the natural resources fund 
67.9 	under Minnesota Statutes, section 297A.94, 
67.10 	paragraph (e), clause (3).
67.11 	$200,000 in 2009 is for a grant to the 
67.12 	city of St. Paul. This appropriation is in 
67.13 	addition to and for the same purposes as the 
67.14 	appropriation for a grant to the city of St. 
67.15 	Paul for Como Zoo in Laws 2006, chapter 
67.16 	258, section 17, subdivision 8. This is a 
67.17 	onetime appropriation and is available until 
67.18 	expended.

67.19	Sec. 7. TRANSFERS IN
 					
67.20 	By June 30, 2009, the commissioner 
67.21 	of finance shall transfer any remaining 
67.22 	unappropriated balance, estimated to be 
67.23 	$103,000, from the Minnesota future 
67.24 	resources fund to the general fund.
67.25 	By June 30, 2008, the commissioner of 
67.26 	finance shall transfer $1,400,000 from 
67.27 	the balance in the stream protection and 
67.28 	improvement fund to the general fund.

67.29 	Sec. 8. Minnesota Statutes 2006, section 17.4988, subdivision 2, is amended to read:
67.30 		Subd. 2.Aquatic farming license. (a) The annual fee for an aquatic farming license 
67.31 	is $210 for the base license. The commissioner must establish an additional fee based 
67.32 	on the acreage of the operation.
68.1 	(b) The aquatic farming license may contain endorsements for the rights and 
68.2 	privileges of the following licenses under the game and fish laws. The endorsement must 
68.3 	be made upon payment of the license fee prescribed in section 97A.475 for the following 
68.4 	licenses: 
68.5 	(1) minnow dealer license;
68.6 	(2) minnow retailer license for sale of minnows as bait;
68.7 	(3) minnow exporting license;
68.8 	(4) aquatic farm vehicle endorsement, which includes a minnow dealer vehicle 
68.9 	license, a minnow retailer vehicle license, an exporting minnow vehicle license, and a 
68.10 	fish vendor license;
68.11 	(5) sucker egg taking license; and
68.12 	(6) game fish packers license.

68.13 	Sec. 9. Minnesota Statutes 2006, section 17.4988, subdivision 3, is amended to read:
68.14 		Subd. 3.Inspection fees. The fees for the following inspections are: The 
68.15 	commissioner may, by written order published in the State Register, establish fees for 
68.16 	the services listed in clauses (1) to (3). The fees must be set in an amount that does not 
68.17 	recover significantly more or less than the cost of providing the service. The fees are not 
68.18 	subject to the rulemaking provisions of chapter 14 and section 14.386 does not apply. The 
68.19 	services covered under this provision include:
68.20 	(1) initial inspection of each water to be licensed, $50;
68.21 	(2) fish health inspection and certification, $60 plus $150 per lot thereafter including 
68.22 	initial tissue sample collection, basic fish health assessment, viral pathogen testing, and 
68.23 	bacteriological testing; and
68.24 	(3) initial inspection for containment and quarantine facility inspections, $100.

68.25 	Sec. 10. [85.53] PARKS AND TRAILS FUND.
68.26 	The parks and trails fund is established in the Minnesota Constitution, article XI, 
68.27 	section 15. All money earned by the parks and trails fund must be credited to the fund. 

68.28 	EFFECTIVE DATE. This section is effective July 1, 2009, if the constitutional 
68.29 	amendment proposed in Laws 2008, chapter 151, is adopted by the voters.

68.30 	Sec. 11. Minnesota Statutes 2006, section 93.481, is amended by adding a subdivision 
68.31 	to read:
68.32 		Subd. 7.Mining administration account. The mining administration account is 
68.33 	established as an account in the natural resources fund. Ferrous mining administrative fees 
69.1 	charged to owners, operators, or managers of mines shall be credited to the account and 
69.2 	may be appropriated to the commissioner to cover the costs of providing and monitoring 
69.3 	permits to mine ferrous metals under this section.

69.4 	Sec. 12. [94.3495] EXPEDITED EXCHANGES OF LAND INVOLVING THE 
69.5 	STATE AND GOVERNMENTAL SUBDIVISIONS OF THE STATE.
69.6 		Subdivision 1.Purpose and scope. (a) The purpose of this section is to expedite the 
69.7 	exchange of public land ownership. Consolidation of public land reduces management 
69.8 	costs and aids in the reduction of forest fragmentation.
69.9 	(b) This section applies to exchanges of land between the state and a governmental 
69.10 	subdivision of the state. For land exchanges under this section, sections 94.342 to 94.347 
69.11 	apply only to the extent specified in this section.
69.12 		Subd. 2.Classes of land; definitions. The classes of public land that may be 
69.13 	involved in an expedited exchange under this section are:
69.14 	(1) Class 1 land, which for the purpose of this section is Class A land as defined in 
69.15 	section 94.342, subdivision 1, except for:
69.16 	(i) school trust land as defined in section 92.025; and
69.17 	(ii) university land granted to the state by acts of Congress;
69.18 	(2) Class 2 land, which for the purpose of this section is Class B land as defined in 
69.19 	section 94.342, subdivision 2; and
69.20 	(3) Class 3 land, which for the purpose of this section is all land owned in fee by 
69.21 	a governmental subdivision of the state.
69.22 		Subd. 3.Valuation of land. (a) In an exchange of Class 1 land for Class 2 or 3 land, 
69.23 	the value of all the land shall be determined by the commissioner of natural resources. In 
69.24 	an exchange of Class 2 land for Class 3 land, the value of all the land shall be determined 
69.25 	by the county board of the county in which the land lies. To determine the value of the 
69.26 	land, the parties to the exchange may cause the land to be appraised, utilize the valuation 
69.27 	process provided under section 84.0272, subdivision 3, or obtain a market analysis from a 
69.28 	qualified real estate broker. Merchantable timber value must be determined and considered 
69.29 	in finalizing valuation of the lands.
69.30 	(b) All lands exchanged under this section shall be exchanged only for lands of 
69.31 	at least substantially equal value. For the purposes of this subdivision, "substantially 
69.32 	equal value" has the meaning given under section 94.343, subdivision 3, paragraph (b). 
69.33 	No payment is due either party if the lands are of substantially equal value but are not 
69.34 	of the same value.
70.1 		Subd. 4.Title. Title to the land must be examined to the extent necessary for the 
70.2 	parties to determine that the title is good, with any encumbrances identified. The parties to 
70.3 	the exchange may utilize title insurance to aid in the determination.
70.4 		Subd. 5.Approval by Land Exchange Board. All expedited land exchanges 
70.5 	under this section, and the terms and conditions of the exchanges, require the unanimous 
70.6 	approval of the Land Exchange Board.
70.7 		Subd. 6.Conveyance. (a) Conveyance of Class 1 land given in exchange shall be 
70.8 	made by deed executed by the commissioner of natural resources in the name of the 
70.9 	state. Conveyance of Class 2 land given in exchange shall be by a deed executed by the 
70.10 	commissioner of revenue in the name of the state. Conveyance of Class 3 land shall be by 
70.11 	a deed executed by the governing body in the name of the governing authority.
70.12 	(b) If Class 1 land is given in exchange for Class 2 or 3 land, the deed to the Class 
70.13 	2 or 3 land shall first be delivered to the commissioner of natural resources. Following 
70.14 	the recording of the deed, the commissioner of natural resources shall deliver the deed 
70.15 	conveying the Class 1 land.
70.16 	(c) If Class 2 land is given in exchange for Class 3 land, the deed to the Class 3 land 
70.17 	shall first be delivered to the county auditor. Following the recording of the deed, the 
70.18 	commissioner of revenue shall deliver the deed conveying the Class 2 land.
70.19 	(d) All deeds shall be recorded or registered in the county in which the lands lie.
70.20 		Subd. 7.Reversionary interest; mineral and water power rights and other 
70.21 	reservations. (a) All deeds conveying land given in an expedited land exchange under 
70.22 	this section shall include a reverter that provides that title to the land automatically reverts 
70.23 	to the conveying governmental unit if:
70.24 	(1) the receiving governmental unit sells, exchanges, or otherwise transfers title of 
70.25 	the land within 40 years of the date of the deed conveying ownership; and
70.26 	(2) there is no prior written approval for the transfer from the conveying 
70.27 	governmental unit. The authority for granting approval is the commissioner of natural 
70.28 	resources for former Class 1 land, the county board for former Class 2 land, and the 
70.29 	governing body for former Class 3 land.
70.30 	(b) Class 1 land given in exchange is subject to the reservation provisions of section 
70.31 	94.343, subdivision 4. Class 2 land given in exchange is subject to the reservation 
70.32 	provisions of section 94.344, subdivision 4. County fee land given in exchange is subject 
70.33 	to the reservation provisions of section 373.01, subdivision 1, paragraph (g).
70.34 		Subd. 8.Land status. Land received in exchange for Class 1 land is subject to the 
70.35 	same trust, if any, and otherwise has the same status as the land given in exchange. Land 
70.36 	received in exchange for Class 2 land is subject to a trust in favor of the governmental 
71.1 	subdivision wherein it lies and all laws relating to tax-forfeited land. Land received in 
71.2 	exchange for Class 3 land has the same status as the land given in exchange.

71.3 	Sec. 13. Minnesota Statutes 2006, section 97A.475, subdivision 29, is amended to read:
71.4 		Subd. 29.Private fish hatcheries. The fees for the following licenses to be issued 
71.5 	to residents and nonresidents are:
71.6 	(1) for a private fish hatchery, with annual sales under $200, $70;
71.7 	(2) for a private fish hatchery, with annual sales of $200 or more, $210 for the 
71.8 	base license. The commissioner must establish an additional fee based on the acreage of 
71.9 	the operation; and
71.10 	(3) to take sucker eggs from public waters for a private fish hatchery, $400, plus 
71.11 	$6 for each quart in excess of 100 quarts.

71.12 	Sec. 14. Minnesota Statutes 2006, section 103A.204, is amended to read:
71.13 	103A.204 GROUNDWATER POLICY.
71.14 	(a) The responsibility for the protection of groundwater in Minnesota is vested 
71.15 	in a multiagency approach to management. The following is a list of agencies and the 
71.16 	groundwater protection areas for which the agencies are primarily responsible; the list is 
71.17 	not intended to restrict the areas of responsibility to only those specified:
71.18 	(1) Environmental Quality Board: creation of a water resources committee to 
71.19 	coordinate coordination of state groundwater protection programs and a biennial 
71.20 	groundwater policy report beginning in 1994 that includes, for the 1994 report, the 
71.21 	findings in the groundwater protection report coordinated by the Pollution Control Agency 
71.22 	for the Environmental Protection Agency;
71.23 	(2) Pollution Control Agency: water quality monitoring and reporting and the 
71.24 	development of best management practices and regulatory mechanisms for protection of 
71.25 	groundwater from nonagricultural chemical contaminants;
71.26 	(3) Department of Agriculture: sustainable agriculture, integrated pest management, 
71.27 	water quality monitoring, and the development of best management practices and 
71.28 	regulatory mechanisms for protection of groundwater from agricultural chemical 
71.29 	contaminants;
71.30 	(4) Board of Water and Soil Resources: reporting on groundwater education and 
71.31 	outreach with local government officials, local water planning and management, and 
71.32 	local cost share programs;
72.1 	(5) Department of Natural Resources: water quantity monitoring and regulation, 
72.2 	sensitivity mapping, and development of a plan for the use of integrated pest management 
72.3 	and sustainable agriculture on state-owned lands; and
72.4 	(6) Department of Health: regulation of wells and borings, and the development of 
72.5 	health risk limits under section 103H.201. 
72.6 	(b) The Environmental Quality Board shall through its Water Resources Committee 
72.7 	coordinate with representatives of all agencies prepare a report on policy issues related to 
72.8 	its responsibilities listed in paragraph (a), citizens, and other interested groups to prepare 
72.9 	a biennial report every even-numbered year as part of its duties described in sections 
72.10 	103A.43 and 103B.151 and include these reports with the assessments in section 103A.43 
72.11 	and the "Minnesota Water Plan" in section 103B.151. 

72.12 	Sec. 15. Minnesota Statutes 2006, section 103A.43, is amended to read:
72.13 	103A.43 WATER ASSESSMENTS AND REPORTS.
72.14 	(a) The Environmental Quality Board shall evaluate andconsolidate the assessments 
72.15 	required in paragraphs (b) and (c) with the policy report in section 103A.204 and submit a 
72.16 	single report to the house of representatives and senate committees with jurisdiction 
72.17 	over the environment, natural resources, and agriculture and the Legislative-Citizen 
72.18 	Commission on Minnesota Resources on statewide water research needs and 
72.19 	recommended priorities for addressing these needs. Local water research needs may also 
72.20 	be included by September 15, 2010, and every five years thereafter.
72.21 	(b) The Environmental Quality Board shall work with the Pollution Control Agency 
72.22 	and the Department of Agriculture to coordinate shall provide a biennial assessment and 
72.23 	analysis of water quality, groundwater degradation trends, and efforts to reduce, prevent, 
72.24 	minimize, and eliminate degradation of water. The assessment and analysis must include 
72.25 	an analysis of relevant monitoring data.
72.26 	(c) The Environmental Quality Board shall work with the Department of Natural 
72.27 	Resources to coordinate shall provide an assessment and analysis of the quantity of surface 
72.28 	and ground water in the state and the availability of water to meet the state's needs.
72.29 	(d) The Environmental Quality Board shall coordinate and submit a report on water 
72.30 	policy including the analyses in paragraphs (a) to (c) to the house of representatives 
72.31 	and senate committees with jurisdiction over the environment, natural resources, 
72.32 	and agriculture and the Legislative-Citizen Commission on Minnesota Resources by 
72.33 	September 15 of each even-numbered year. The report may include the groundwater 
72.34 	policy report in section 103A.204. 

73.1 	Sec. 16. Minnesota Statutes 2006, section 103B.151, subdivision 1, is amended to read:
73.2 		Subdivision 1.Water planning. The Environmental Quality Board shall:
73.3 	(1) coordinate public water resource management and regulation activities among 
73.4 	the state agencies having jurisdiction in the area;
73.5 	(2) initiate, coordinate, and continue to develop comprehensive long-range water 
73.6 	resources planning in furtherance of the plan prepared by the Environmental Quality 
73.7 	Board's Water Resources Committee entitled "Minnesota Water Plan," published in 
73.8 	January 1991, by September 15, 2000, and each ten-year interval afterwards;
73.9 	(3) coordinate water planning activities of local, regional, and federal bodies with 
73.10 	state water planning and integrate these plans with state strategies;
73.11 	(4) coordinate development of state water policy recommendations and priorities, 
73.12 	and a recommended program for funding identified needs, including priorities for 
73.13 	implementing the state water resources monitoring plan;
73.14 	(5) administer federal water resources planning with multiagency interests;
73.15 	(6) ensure that groundwater quality monitoring and related data is provided and 
73.16 	integrated into the Minnesota land management information system according to 
73.17 	published data compatibility guidelines. Costs of integrating the data in accordance with 
73.18 	data compatibility standards must be borne by the agency generating the data;
73.19 	(7) coordinate the development and evaluation of water information and education 
73.20 	materials and resources; and
73.21 	(8) coordinate the dissemination of water information and education through 
73.22 	existing delivery systems.

73.23 	Sec. 17. [103B.701] STAR LAKES.
73.24 		Subdivision 1.Definition. For the purposes of this section, the term "lake 
73.25 	association" means an association organized for the purpose of addressing issues on a 
73.26 	specific lake or river, a lake improvement district, or a lake conservation district.
73.27 		Subd. 2.Application. (a) A lake association may apply to the Star Lake Board for 
73.28 	designation as a star lake or river. The applicant must include a copy of a star lake or 
73.29 	river management plan for the lake or river.
73.30 	(b) After review of the application, the Star Lake Board shall determine whether 
73.31 	designation as a star lake or river will be granted. The designation as a star lake or river 
73.32 	becomes effective the day following designation by the board. The board shall publish the 
73.33 	decision on a star lake or river designation in the State Register, including the effective 
73.34 	date of the designation.
73.35 	(c) The star lake or river designation is effective until the earlier of:
74.1 	(1) five years after the date of designation; or
74.2 	(2) when the Star Lake Board finds that the lake association is not fulfilling the 
74.3 	requirements of this section or of the star lake or river management plan submitted.
74.4 	(d) Within six months before the expiration date of the designation as a star lake 
74.5 	or river, a lake association may apply to continue the star lake or river designation under 
74.6 	this section.
74.7 		Subd. 3.Eligibility. A lake association applying for designation as a star lake 
74.8 	or river must:
74.9 	(1) develop and update a star lake or river management plan as provided in 
74.10 	subdivision 4;
74.11 	(2) maintain a membership or participation of at least 50 percent of the private 
74.12 	shoreland owners;
74.13 	(3) participate in a water quality monitoring program under section 115.06, 
74.14 	subdivision 4, or other programs meeting Pollution Control Agency standards; and
74.15 	(4) meet at least annually to review the plan and notify appropriate state agencies 
74.16 	and local government units in the development and monitoring of the star lake or river 
74.17 	management plan.
74.18 		Subd. 4.Star lake or river management plan. (a) A star lake or river management 
74.19 	plan must contain a baseline of the current condition of the lake or river based on scientific 
74.20 	information and plans for addressing the following issues:
74.21 	(1) increases in native vegetation in the littoral area of the lake or river, where 
74.22 	appropriate;
74.23 	(2) increases in native vegetation on the shoreline areas of the lake or river, where 
74.24 	appropriate;
74.25 	(3) prevention, reduction, or elimination of aquatic invasive species in the lake 
74.26 	or river;
74.27 	(4) increasing or maintaining a healthy diverse fishery that is appropriate for the 
74.28 	lake or river;
74.29 	(5) how the association will work with state agencies and local government units to 
74.30 	identify water pollution sources and impairments;
74.31 	(6) how the association will assist state and local programs to generate data needed 
74.32 	by state agencies and local government units in an appropriate format;
74.33 	(7) promoting compliance with adopted shoreland zoning standards and shoreland 
74.34 	best management practices;
74.35 	(8) how the lake association will assure its involvement in public input opportunities 
74.36 	for various local comprehensive and project-specific planning and zoning processes;
75.1 	(9) education and recognition opportunities for shoreland owners and other entities 
75.2 	that conduct activities affecting the quality of the lake or river; and
75.3 	(10) other activities that will coordinate with or enhance other state and local water 
75.4 	management efforts.
75.5 	(b) The star lake or river management plan shall be updated within five years of 
75.6 	adoption by the lake association.
75.7 		Subd. 5.State resources. State agencies may consider star lake or river designation 
75.8 	in determining the allocation of financial and staff resources.

75.9 	Sec. 18. [103B.702] STAR LAKE BOARD.
75.10 		Subdivision 1.Establishment. (a) The Star Lake Board shall be established as a 
75.11 	nonprofit corporation under section 501(c)(3) of the Internal Revenue Code of 1986, 
75.12 	as amended. The Star Lake Board shall promote and designate star lakes and rivers in 
75.13 	Minnesota under section 103B.701.
75.14 	(b) The board must work with private and public entities to leverage the resources 
75.15 	available to achieve and sustain the designation of Minnesota star lakes or rivers. The 
75.16 	board may assist lake associations with finding appropriate technical and financial 
75.17 	assistance and make recommendations to state agencies and local government units 
75.18 	regarding the manner in which technical or financial assistance can be most effectively 
75.19 	delivered. To the extent that money is available, the board may secure, provide, or 
75.20 	recommend financial assistance to meet specific needs of lake associations, for:
75.21 	(1) completing a star lake or river management plan when the lake association does 
75.22 	not have an existing management plan and the association is committed to the goals of a 
75.23 	plan, as specified in section 103B.701, subdivision 4; and
75.24 	(2) addressing specific issues of the lake or river to achieve or maintain the goals 
75.25 	of the lake or river management plan for lake associations that have achieved a star lake 
75.26 	or river designation.
75.27 	(c) The board shall consist of:
75.28 	(1) three public members appointed by the speaker of the house, with one member 
75.29 	representing county governments, one member representing city governments, and one 
75.30 	member representing an organization that promotes clean lakes and rivers;
75.31 	(2) three public members appointed by the senate Subcommittee on Committees 
75.32 	of the Committee on Rules and Administration, with one member representing county 
75.33 	governments, one member representing city governments, and one member representing 
75.34 	an organization that promotes clean lakes and rivers;
76.1 	(3) five members, chosen by the other board members with regard to obtaining 
76.2 	representation from a variety of types of lakes and rivers within the state, who are from 
76.3 	lake associations representing designated star lakes or rivers, or until July 1, 2011, are 
76.4 	eligible to achieve star lake or river designation; 
76.5 	(4) one member designated by the commissioner of natural resources;
76.6 	(5) one member designated by the commissioner of the Pollution Control Agency;
76.7 	(6) one member designated by the chair of the Board of Water and Soil Resources; 
76.8 	and
76.9 	(7) one member designated by the Indian Affairs Council.
76.10 	(d) By January 15 of each odd-numbered year, the board shall submit a report to the 
76.11 	chairs and ranking minority members of the legislative committees and divisions with 
76.12 	jurisdiction over environment policy and finance on the activities for which money has 
76.13 	been or will be spent for the current biennium, the applications for designation, and the 
76.14 	star lakes or rivers designated by the board.
76.15 	(e) Public members appointed by the speaker of the house and the senate 
76.16 	Subcommittee on Committees of the Committee on Rules and Administration serve at 
76.17 	the pleasure of the appointing authority.
76.18 		Subd. 2.Conflict of interest. A board member may not participate in or vote on a 
76.19 	decision of the board relating to an organization in which the member has either a direct 
76.20 	or indirect personal financial interest. While serving on the Star Lake Board, a member 
76.21 	shall avoid any potential conflict of interest.
76.22 		Subd. 3.Staff; contracts. The board may hire staff or enter into contracts to carry 
76.23 	out the activities of the board.
76.24 		Subd. 4.Bylaws. The board shall adopt bylaws necessary for the conduct of the 
76.25 	business of the board consistent with this section. The corporation must publish bylaws 
76.26 	and amendments to the bylaws in the State Register.
76.27 		Subd. 5.Place of business. The board shall locate and maintain the board's place of 
76.28 	business within the state.
76.29 		Subd. 6.Chair. The board shall annually elect from among its members a chair and 
76.30 	other officers necessary for the performance of its duties.
76.31 		Subd. 7.Meetings. The board shall meet at least twice each year and may hold 
76.32 	additional meetings upon giving notice in accordance with the bylaws of the board. Board 
76.33 	meetings are subject to chapter 13D.
76.34 		Subd. 8.Funds. The board may accept and use gifts, grants, or contributions from 
76.35 	any source. Unless otherwise restricted by the terms of a gift or bequest, the board may 
76.36 	sell, exchange, or otherwise dispose of and invest or reinvest the money, securities, or other 
77.1 	property given or bequested to it. The principal of these funds, the income from them, and 
77.2 	all other revenues received by the board from any nonstate source must be placed in the 
77.3 	depositories the board determines and is subject to expenditure for the board's purposes.
77.4 		Subd. 9.Accounts; audits. The board may establish funds and accounts necessary 
77.5 	to carry out its responsibilities. The board shall provide for and pay the cost of an 
77.6 	independent audit of its official books and records by the legislative auditor subject to 
77.7 	sections 3.971 and 3.972. A copy of this audit shall be filed with the secretary of state.

77.8 	Sec. 19. Minnesota Statutes 2006, section 103G.271, subdivision 6, is amended to read:
77.9 		Subd. 6.Water use permit processing fee. (a) Except as described in paragraphs 
77.10 	(b) to (f), a water use permit processing fee must be prescribed by the commissioner in 
77.11 	accordance with the schedule of fees in this subdivision for each water use permit in force 
77.12 	at any time during the year. The schedule is as follows, with the stated fee in each clause 
77.13 	applied to the total amount appropriated:
77.14 	(1) $101 $140 for amounts not exceeding 50,000,000 gallons per year;
77.15 	(2) $3 $3.50 per 1,000,000 gallons for amounts greater than 50,000,000 gallons 
77.16 	but less than 100,000,000 gallons per year;
77.17 	(3) $3.50 $4 per 1,000,000 gallons for amounts greater than 100,000,000 gallons 
77.18 	but less than 150,000,000 gallons per year;
77.19 	(4) $4 $4.50 per 1,000,000 gallons for amounts greater than 150,000,000 gallons 
77.20 	but less than 200,000,000 gallons per year;
77.21 	(5) $4.50 $5 per 1,000,000 gallons for amounts greater than 200,000,000 gallons 
77.22 	but less than 250,000,000 gallons per year;
77.23 	(6) $5 $5.50 per 1,000,000 gallons for amounts greater than 250,000,000 gallons 
77.24 	but less than 300,000,000 gallons per year;
77.25 	(7) $5.50 $6 per 1,000,000 gallons for amounts greater than 300,000,000 gallons 
77.26 	but less than 350,000,000 gallons per year;
77.27 	(8) $6 $6.50 per 1,000,000 gallons for amounts greater than 350,000,000 gallons 
77.28 	but less than 400,000,000 gallons per year;
77.29 	(9) $6.50 $7 per 1,000,000 gallons for amounts greater than 400,000,000 gallons 
77.30 	but less than 450,000,000 gallons per year;
77.31 	(10) $7 $7.50 per 1,000,000 gallons for amounts greater than 450,000,000 gallons 
77.32 	but less than 500,000,000 gallons per year; and
77.33 	(11) $7.50 $8 per 1,000,000 gallons for amounts greater than 500,000,000 gallons 
77.34 	per year.
78.1 	(b) For once-through cooling systems, a water use processing fee must be prescribed 
78.2 	by the commissioner in accordance with the following schedule of fees for each water use 
78.3 	permit in force at any time during the year:
78.4 	(1) for nonprofit corporations and school districts, $150 $200 per 1,000,000 gallons; 
78.5 	and
78.6 	(2) for all other users, $300 $420 per 1,000,000 gallons.
78.7 	(c) The fee is payable based on the amount of water appropriated during the year 
78.8 	and, except as provided in paragraph (f), the minimum fee is $100.
78.9 	(d) For water use processing fees other than once-through cooling systems:
78.10 	(1) the fee for a city of the first class may not exceed $250,000 per year;
78.11 	(2) the fee for other entities for any permitted use may not exceed:
78.12 	(i) $50,000 per year for an entity holding three or fewer permits;
78.13 	(ii) $75,000 per year for an entity holding four or five permits;
78.14 	(iii) $250,000 per year for an entity holding more than five permits;
78.15 	(3) the fee for agricultural irrigation may not exceed $750 per year;
78.16 	(4) the fee for a municipality that furnishes electric service and cogenerates steam 
78.17 	for home heating may not exceed $10,000 for its permit for water use related to the 
78.18 	cogeneration of electricity and steam; and
78.19 	(5) no fee is required for a project involving the appropriation of surface water to 
78.20 	prevent flood damage or to remove flood waters during a period of flooding, as determined 
78.21 	by the commissioner.
78.22 	(e) Failure to pay the fee is sufficient cause for revoking a permit. A penalty of two 
78.23 	percent per month calculated from the original due date must be imposed on the unpaid 
78.24 	balance of fees remaining 30 days after the sending of a second notice of fees due. A fee 
78.25 	may not be imposed on an agency, as defined in section 16B.01, subdivision 2, or federal 
78.26 	governmental agency holding a water appropriation permit.
78.27 	(f) The minimum water use processing fee for a permit issued for irrigation of 
78.28 	agricultural land is $20 for years in which:
78.29 	(1) there is no appropriation of water under the permit; or
78.30 	(2) the permit is suspended for more than seven consecutive days between May 1 
78.31 	and October 1.
78.32 	(g) A surcharge of $20 per million gallons in addition to the fee prescribed in 
78.33 	paragraph (a) shall be applied to the volume of water used in each of the months of June, 
78.34 	July, and August that exceeds the volume of water used in January for municipal water 
78.35 	use, irrigation of golf courses, and landscape irrigation. The surcharge for municipalities 
79.1 	with more than one permit shall be determined based on the total appropriations from all 
79.2 	permits that supply a common distribution system.

79.3 	Sec. 20. Minnesota Statutes 2007 Supplement, section 103G.291, subdivision 3, 
79.4 	is amended to read:
79.5 		Subd. 3.Water supply plans; demand reduction. (a) Every public water supplier 
79.6 	serving more than 1,000 people must submit a water supply plan to the commissioner 
79.7 	for approval by January 1, 1996. In accordance with guidelines developed by the 
79.8 	commissioner, the plan must address projected demands, adequacy of the water supply 
79.9 	system and planned improvements, existing and future water sources, natural resource 
79.10 	impacts or limitations, emergency preparedness, water conservation, supply and demand 
79.11 	reduction measures, and allocation priorities that are consistent with section 103G.261. 
79.12 	Public water suppliers must update their plan and, upon notification, submit it to the 
79.13 	commissioner for approval every ten years.
79.14 	(b) The water supply plan in paragraph (a) is required for all communities in the 
79.15 	metropolitan area, as defined in section 473.121, with a municipal water supply system 
79.16 	and is a required element of the local comprehensive plan required under section 473.859. 
79.17 	Water supply plans or updates submitted after December 31, 2008, must be consistent 
79.18 	with the metropolitan area master water supply plan required under section 473.1565, 
79.19 	subdivision 1, paragraph (a), clause (2).
79.20 	(c) Public water suppliers serving more than 1,000 people must employ water 
79.21 	use demand reduction measures, including a conservation rate structure, as defined in 
79.22 	subdivision 4, paragraph (a), unless exempted under subdivision 4, paragraph (c), before 
79.23 	requesting approval from the commissioner of health under section 144.383, paragraph 
79.24 	(a), to construct a public water supply well or requesting an increase in the authorized 
79.25 	volume of appropriation. Demand reduction measures must include evaluation of 
79.26 	conservation rate structures and a public education program that may include a toilet 
79.27 	and showerhead retrofit program.
79.28 	(d) Public water suppliers serving more than 1,000 people must submit records 
79.29 	that indicate the number of connections and amount of use by customer category and 
79.30 	volume of water unaccounted for with the annual report of water use required under 
79.31 	section 103G.281, subdivision 3.
79.32 	(e) For the purposes of this subdivision section, "public water supplier" means 
79.33 	an entity that owns, manages, or operates a public water supply, as defined in section 
79.34 	144.382, subdivision 4.

80.1 	Sec. 21. Minnesota Statutes 2006, section 103G.291, is amended by adding a 
80.2 	subdivision to read:
80.3 		Subd. 4.Conservation rate structure required. (a) For the purposes of this 
80.4 	section, "conservation rate structure" means a rate structure that encourages conservation 
80.5 	and may include increasing block rates, seasonal rates, time of use rates, individualized 
80.6 	goal rates, or excess use rates. The rate structure must consider each residential unit as an 
80.7 	individual user in multiple-family dwellings.
80.8 	(b) To encourage conservation, a public water supplier serving more than 1,000 
80.9 	people in the metropolitan area, as defined in section 473.121, subdivision 2, shall use 
80.10 	a conservation rate structure by January 1, 2010. All remaining public water suppliers 
80.11 	serving more than 1,000 people shall use a conservation rate structure by January 1, 2013.
80.12 	(c) A public water supplier without the proper measuring equipment to track the 
80.13 	amount of water used by its users, as of the effective date of this act, is exempt from 
80.14 	this subdivision and the conservation rate structure requirement under subdivision 3, 
80.15 	paragraph (c).

80.16 	Sec. 22. Minnesota Statutes 2006, section 103G.615, subdivision 2, is amended to read:
80.17 		Subd. 2.Fees. (a) The commissioner shall establish a fee schedule for permits to 
80.18 	control or harvest aquatic plants other than wild rice. The fees must be set by rule, and 
80.19 	section 16A.1283 does not apply, but the rule must not take effect until 45 legislative 
80.20 	days after it has been reported to the legislature. The fees may not exceed $750 per 
80.21 	permit shall be based upon the cost of receiving, processing, analyzing, and issuing the 
80.22 	permit, and additional costs incurred after the application to inspect and monitor the 
80.23 	activities authorized by the permit, and enforce aquatic plant management rules and 
80.24 	permit requirements.
80.25 	(b) The A fee for a permit for the control of rooted aquatic vegetation is $35 for each 
80.26 	contiguous parcel of shoreline owned by an owner may be charged. This fee may not 
80.27 	be charged for permits issued in connection with purple loosestrife control or lakewide 
80.28 	Eurasian water milfoil control programs.
80.29 	(c) A fee may not be charged to the state or a federal governmental agency applying 
80.30 	for a permit.
80.31 	(d) The money received for the permits under this subdivision shall be deposited in 
80.32 	the treasury and credited to the water recreation account.

80.33 	Sec. 23. [114D.50] CLEAN WATER FUND.
81.1 	The clean water fund is established in the Minnesota Constitution, article XI, section 
81.2 	15. All money earned by the fund must be credited to the fund.

81.3 	EFFECTIVE DATE. This section is effective July 1, 2009, if the constitutional 
81.4 	amendment proposed in Laws 2008, chapter 151, is adopted by the voters.

81.5 	Sec. 24. Minnesota Statutes 2006, section 116.07, subdivision 4, is amended to read:
81.6 		Subd. 4.Rules and standards. Pursuant and subject to the provisions of chapter 14, 
81.7 	and the provisions hereof, the Pollution Control Agency may adopt, amend and rescind 
81.8 	rules and standards having the force of law relating to any purpose within the provisions 
81.9 	of Laws 1967, chapter 882, for the prevention, abatement, or control of air pollution. 
81.10 	Any such rule or standard may be of general application throughout the state, or may be 
81.11 	limited as to times, places, circumstances, or conditions in order to make due allowance 
81.12 	for variations therein. Without limitation, rules or standards may relate to sources or 
81.13 	emissions of air contamination or air pollution, to the quality or composition of such 
81.14 	emissions, or to the quality of or composition of the ambient air or outdoor atmosphere or 
81.15 	to any other matter relevant to the prevention, abatement, or control of air pollution.
81.16 	Pursuant and subject to the provisions of chapter 14, and the provisions hereof, the 
81.17 	Pollution Control Agency may adopt, amend, and rescind rules and standards having the 
81.18 	force of law relating to any purpose within the provisions of Laws 1969, chapter 1046, 
81.19 	for the collection, transportation, storage, processing, and disposal of solid waste and the 
81.20 	prevention, abatement, or control of water, air, and land pollution which may be related 
81.21 	thereto, and the deposit in or on land of any other material that may tend to cause pollution. 
81.22 	The agency shall adopt such rules and standards for sewage sludge, addressing the intrinsic 
81.23 	suitability of land, the volume and rate of application of sewage sludge of various degrees 
81.24 	of intrinsic hazard, design of facilities, and operation of facilities and sites. Any such rule 
81.25 	or standard may be of general application throughout the state or may be limited as to 
81.26 	times, places, circumstances, or conditions in order to make due allowance for variations 
81.27 	therein. Without limitation, rules or standards may relate to collection, transportation, 
81.28 	processing, disposal, equipment, location, procedures, methods, systems or techniques 
81.29 	or to any other matter relevant to the prevention, abatement or control of water, air, and 
81.30 	land pollution which may be advised through the control of collection, transportation, 
81.31 	processing, and disposal of solid waste and sewage sludge, and the deposit in or on land of 
81.32 	any other material that may tend to cause pollution. By January 1, 1983, the rules for the 
81.33 	management of sewage sludge shall include an analysis of the sewage sludge determined 
81.34 	by the commissioner of agriculture to be necessary to meet the soil amendment labeling 
81.35 	requirements of section 18C.215. The rules for the disposal of solid waste shall include 
82.1 	site-specific criteria to prohibit solid waste disposal based on the area's sensitivity to 
82.2 	groundwater contamination, including site-specific testing. The rules shall also include 
82.3 	modifications to financial assurance requirements under subdivision 4h that ensure the 
82.4 	state is protected from financial responsibility for future groundwater contamination. Until 
82.5 	the rules are modified to include site-specific criteria to prohibit areas from solid waste 
82.6 	disposal due to groundwater contamination sensitivity, as required under this section, the 
82.7 	agency shall not issue a permit for a new solid waste disposal facility, except for:
82.8 	(1) the reissuance of a permit for a land disposal facility operating as of March 
82.9 	1, 2008;
82.10 	(2) a permit to expand a land disposal facility operating as of March 1, 2008, beyond 
82.11 	its permitted boundaries, including expansion on land that is not contiguous to, but is 
82.12 	located within 600 yards of, the land disposal facility's permitted boundaries;
82.13 	(3) a permit to modify the type of waste accepted at a land disposal facility operating 
82.14 	as of March 1, 2008;
82.15 	(4) a permit to locate a disposal facility that accepts only construction debris as 
82.16 	defined in section 115A.03, subdivision 7; 
82.17 	(5) a permit to locate a disposal facility that: 
82.18 	(i) accepts boiler ash from an electric energy power plant that has wet scrubbed units 
82.19 	or has units that have been converted from wet scrubbed units to dry scrubbed units as 
82.20 	those terms are defined in section 216B.68; 
82.21 	(ii) is on land that was owned on May 1, 2008, by the utility operating the electric 
82.22 	energy power plant; and
82.23 	(iii) is located within three miles of the existing ash disposal facility for the power 
82.24 	plant; or
82.25 	(6) a permit to locate a new solid waste disposal facility for ferrous metallic minerals 
82.26 	regulated under Minnesota Rules, chapter 6130, or for nonferrous metallic minerals 
82.27 	regulated under Minnesota Rules, chapter 6132.
82.28 	Pursuant and subject to the provisions of chapter 14, and the provisions hereof, the 
82.29 	Pollution Control Agency may adopt, amend and rescind rules and standards having the 
82.30 	force of law relating to any purpose within the provisions of Laws 1971, chapter 727, for 
82.31 	the prevention, abatement, or control of noise pollution. Any such rule or standard may 
82.32 	be of general application throughout the state, or may be limited as to times, places, 
82.33 	circumstances or conditions in order to make due allowances for variations therein. 
82.34 	Without limitation, rules or standards may relate to sources or emissions of noise or noise 
82.35 	pollution, to the quality or composition of noises in the natural environment, or to any 
82.36 	other matter relevant to the prevention, abatement, or control of noise pollution.
83.1 	As to any matters subject to this chapter, local units of government may set emission 
83.2 	regulations with respect to stationary sources which are more stringent than those set 
83.3 	by the Pollution Control Agency.
83.4 	Pursuant to chapter 14, the Pollution Control Agency may adopt, amend, and rescind 
83.5 	rules and standards having the force of law relating to any purpose within the provisions of 
83.6 	this chapter for generators of hazardous waste, the management, identification, labeling, 
83.7 	classification, storage, collection, treatment, transportation, processing, and disposal 
83.8 	of hazardous waste and the location of hazardous waste facilities. A rule or standard 
83.9 	may be of general application throughout the state or may be limited as to time, places, 
83.10 	circumstances, or conditions. In implementing its hazardous waste rules, the Pollution 
83.11 	Control Agency shall give high priority to providing planning and technical assistance 
83.12 	to hazardous waste generators. The agency shall assist generators in investigating the 
83.13 	availability and feasibility of both interim and long-term hazardous waste management 
83.14 	methods. The methods shall include waste reduction, waste separation, waste processing, 
83.15 	resource recovery, and temporary storage.
83.16 	The Pollution Control Agency shall give highest priority in the consideration of 
83.17 	permits to authorize disposal of diseased shade trees by open burning at designated sites to 
83.18 	evidence concerning economic costs of transportation and disposal of diseased shade trees 
83.19 	by alternative methods.

83.20 	EFFECTIVE DATE. This section is effective the day following final enactment.

83.21 	Sec. 25. [129D.17] ARTS AND CULTURAL HERITAGE FUND.
83.22 	The arts and cultural heritage fund is established in the Minnesota Constitution, 
83.23 	article XI, section 15. All money earned by the fund must be credited to the fund.

83.24 	EFFECTIVE DATE. This section is effective July 1, 2009, if the constitutional 
83.25 	amendment proposed in Laws 2008, chapter 151, is adopted by the voters.

83.26 	Sec. 26. [173.0855] STAR LAKE OR RIVER SIGNS.
83.27 		Subdivision 1.Authority to erect. (a) A county, statutory or home rule charter city, 
83.28 	or town of Minnesota that contains a star lake or river designated under section 103B.701 
83.29 	may request the Department of Transportation to erect star lake or river signs pursuant 
83.30 	to section 161.139. One sign may be erected at each approach to a lake or river within 
83.31 	the right-of-way of an interstate or other highway that passes over a lake or river in the 
83.32 	Department of Transportation's eight-county metropolitan district or near or over a lake or 
83.33 	river in greater Minnesota.
84.1 	(b) An official lake or river sign on the right-of-way of an interstate or other highway 
84.2 	may be replaced with a star lake or river sign by the Department of Transportation 
84.3 	pursuant to section 161.139.
84.4 		Subd. 2.Sign standards. The Department of Transportation shall design and 
84.5 	manufacture the star lake and river signs to specifications not contrary to other federal 
84.6 	and state highway sign standards.

84.7 	Sec. 27. Minnesota Statutes 2006, section 473.1565, subdivision 3, is amended to read:
84.8 		Subd. 3.Reports to legislature. The council must submit reports to the legislature 
84.9 	regarding its findings, recommendations, and continuing planning activities under 
84.10 	subdivision 1. The first report must be submitted to the legislature by the date the 
84.11 	legislature convenes in 2007 and subsequent reports must be submitted by such date 
84.12 	every five years thereafter. These reports shall be included in the "Minnesota Water Plan" 
84.13 	required in section 103B.151, and five-year interim reports may be provided as necessary.

84.14 	Sec. 28. Laws 2007, chapter 57, article 1, section 4, subdivision 4, is amended to read:

84.15	Subd. 4. Forest Management
 		44,495,000 
		43,393,000 

84.16	Appropriations by Fund 
	
84.17	General 
	24,755,000 
	24,836,000 
	
84.18	Natural Resources 
	19,483,000 
	18,293,000 
	
84.19	Game and Fish 
	257,000 
	264,000 
	
84.20 	$7,217,000 the first year and $7,217,000 
84.21 	the second year are for prevention, 
84.22 	presuppression, and suppression costs of 
84.23 	emergency firefighting and other costs 
84.24 	incurred under Minnesota Statutes, section 
84.25 	88.12. If the appropriation for either 
84.26 	year is insufficient to cover all costs of 
84.27 	presuppression and suppression, the amount 
84.28 	necessary to pay for these costs during the 
84.29 	biennium is appropriated from the general 
84.30 	fund. 
84.31 	By November 15 of each year, the 
84.32 	commissioner of natural resources shall 
84.33 	submit a report to the chairs of the house 
84.34 	and senate committees and divisions having 
85.1 	jurisdiction over environment and natural 
85.2 	resources finance, identifying all firefighting 
85.3 	costs incurred and reimbursements received 
85.4 	in the prior fiscal year. These appropriations 
85.5 	may not be transferred. Any reimbursement 
85.6 	of firefighting expenditures made to the 
85.7 	commissioner from any source other than 
85.8 	federal mobilizations shall be deposited into 
85.9 	the general fund. 
85.10 	$17,983,000 the first year and $18,293,000 
85.11 	the second year are from the forest 
85.12 	management investment account in the 
85.13 	natural resources fund for only the purposes 
85.14 	specified in Minnesota Statutes, section 
85.15 	89.039, subdivision 2. 
85.16 	Of this amount: 
85.17 	(1) $750,000 each year is for additional staff 
85.18 	to enhance timber sales; 
85.19 	(2) $1,000,000 each year is for forest 
85.20 	improvements; 
85.21 	(3) $1,100,000 each year is for forest road 
85.22 	maintenance; 
85.23 	(4) $600,000 each year is for the ecological 
85.24 	classification system on state forest lands; 
85.25 	(5) $350,000 each year is for the prevention 
85.26 	of invasive species on state forest lands; and 
85.27 	(6) $400,000 each year is for the re-inventory 
85.28 	of state forest lands. 
85.29 	Money for forest road maintenance is 
85.30 	onetime. 
85.31 	$780,000 the first year and $780,000 the 
85.32 	second year are for the Forest Resources 
85.33 	Council for implementation of the 
85.34 	Sustainable Forest Resources Act. 
86.1 	$40,000 the first year is for the Forest 
86.2 	Resources Council to provide a grant to 
86.3 	the University of Minnesota to prepare a 
86.4 	statewide plan to address the fragmentation 
86.5 	and parcelization of large blocks of forest 
86.6 	land in the state. 
86.7 	$200,000 in fiscal year 2008 is for a grant 
86.8 	to the Forest Resources Research Advisory 
86.9 	Committee to provide direction on research 
86.10 	topics recommended by the governor's task 
86.11 	force on the competitiveness of Minnesota's 
86.12 	primary forest products industry. 
86.13 	$350,000 the first year and $350,000 the 
86.14 	second year are for the FORIST timber 
86.15 	management information system, other 
86.16 	information systems, and for increased 
86.17 	forestry management. The amount in the 
86.18 	second year is also available in the first year. 
86.19 	$257,000 the first year and $264,000 the 
86.20 	second year are from the game and fish 
86.21 	fund to implement ecological classification 
86.22 	systems (ECS) standards on forested 
86.23 	landscapes. This appropriation is from 
86.24 	revenue deposited in the game and fish fund 
86.25 	under Minnesota Statutes, section 297A.94, 
86.26 	paragraph (e), clause (1). 
86.27 	$110,000 the first year is to develop and 
86.28 	implement a statewide information and 
86.29 	education campaign regarding the statewide 
86.30 	ban on the transport, storage, or use of 
86.31 	nonapproved firewood on state-administered 
86.32 	lands. 
86.33 	$1,500,000 the first year is from the forest 
86.34 	management investment account in the 
87.1 	natural resources fund for the purposes of 
87.2 	section 158. This is a onetime appropriation. 
87.3 	$75,000 the first year is to the Forest 
87.4 	Resources Council for a task force on 
87.5 	forest protection and $75,000 the second 
87.6 	year is appropriated to the commissioner 
87.7 	for grants to cities, counties, townships, 
87.8 	special recreation areas, and park and 
87.9 	recreation boards in cities of the first class 
87.10 	for the identification, removal, disposal, and 
87.11 	replacement of dead or dying shade trees 
87.12 	lost to forest pests or disease. For purposes 
87.13 	of this section, "shade tree" means a woody 
87.14 	perennial grown primarily for aesthetic or 
87.15 	environmental purposes with minimal to 
87.16 	residual timber value. The commissioner 
87.17 	shall consult with municipalities; park and 
87.18 	recreation boards in cities of the first class; 
87.19 	nonprofit organizations; and other interested 
87.20 	parties in developing eligibility criteria. * 
87.21 	(The preceding text beginning "$75,000 
87.22 	the first year" was indicated as vetoed by 
87.23 	the governor.) 
87.24 	$200,000 in fiscal year 2008 is for a grant 
87.25 	to the Natural Resources Research Institute 
87.26 	for silvicultural research to improve the 
87.27 	quality and quantity of timber fiber. The 
87.28 	appropriation must be matched in the amount 
87.29 	of $200,000 in cash or in-kind contributions 
87.30 	from the forest products industry members of 
87.31 	the Minnesota Forest Productivity Research 
87.32 	Cooperative. 
87.33 	$1,000,000 the first year and $1,000,000 
87.34 	the second year are to support additional 
87.35 	technical and cost-share assistance to 
88.1 	nonindustrial private forest (NIPF) 
88.2 	landowners forest management activities. 
88.3 	The base appropriation in fiscal year 2010 
88.4 	and later is $500,000. 
88.5 	$200,000 the first year and $200,000 the 
88.6 	second year are to address escalating 
88.7 	land asset management demands, such as 
88.8 	boundary disputes, access easements, and 
88.9 	sale, exchange, and acquisition of forest 
88.10 	lands support additional forest management 
88.11 	activities. 

88.12 	Sec. 29. Laws 2007, chapter 57, article 1, section 4, subdivision 6, is amended to read:

88.13	Subd. 6. Trails and Waterways Management
 		30,257,000 
		30,492,000 

88.14	Appropriations by Fund 
	
88.15	General 
	2,538,000 
	2,568,000 
	
88.16	Natural Resources 
	25,600,000 
	25,730,000 
	
88.17	Game and Fish 
	2,119,000 
	2,194,000 
	
88.18 	$8,424,000 the first year and $8,424,000 
88.19 	the second year are from the snowmobile 
88.20 	trails and enforcement account in the natural 
88.21 	resources fund for snowmobile grants-in-aid. 
88.22 	The additional money under this item may 
88.23 	be used for new grant-in-aid trails. Any 
88.24 	unencumbered balance does not cancel at the 
88.25 	end of the first year and is available for the 
88.26 	second year. 
88.27 	$1,175,000 the first year and $1,325,000 the 
88.28 	second year are from the natural resources 
88.29 	fund for off-highway vehicle grants-in-aid. 
88.30 	Of this amount, $825,000 the first year and 
88.31 	$1,075,000 the second year are from the 
88.32 	all-terrain vehicle account; $150,000 each 
88.33 	year is from the off-highway motorcycle 
88.34 	account; and $200,000 the first year and 
89.1 	$100,000 the second year are from the 
89.2 	off-road vehicle account. Any unencumbered 
89.3 	balance does not cancel at the end of the first 
89.4 	year and is available for the second year. 
89.5 	$261,000 the first year and $261,000 the 
89.6 	second year are from the water recreation 
89.7 	account in the natural resources fund for a 
89.8 	safe harbor program on Lake Superior. 
89.9 	$742,000 the first year and $760,000 
89.10 	the second year are from the natural 
89.11 	resources fund for state trail operations 
89.12 	and maintenance. The money may be used 
89.13 	for trail maintenance, signage, mapping, 
89.14 	interpretation, native prairie restoration 
89.15 	using best management practices, and 
89.16 	maintenance of nonmotorized forest trails. 
89.17 	This appropriation is from the revenue 
89.18 	deposited in the natural resources fund 
89.19 	under Minnesota Statutes, section 297A.94, 
89.20 	paragraph (e), clause (2). 
89.21 	$655,000 the first year and $655,000 the 
89.22 	second year are from the natural resources 
89.23 	fund for trail grants to local units of 
89.24 	government on land to be maintained for 
89.25 	at least 20 years for the purposes of the 
89.26 	grant. This appropriation is from the revenue 
89.27 	deposited in the natural resources fund 
89.28 	under Minnesota Statutes, section 297A.94, 
89.29 	paragraph (e), clause (4). Any unencumbered 
89.30 	balance does not cancel at the end of the 
89.31 	first year and is available for the second 
89.32 	year. In addition, if a project financed under 
89.33 	this program receives a federal grant award, 
89.34 	the availability of the financing from this 
90.1 	paragraph for that project is extended to 
90.2 	equal the period of the federal grant.
90.3 	$150,000 the first year and $150,000 the 
90.4 	second year are from the all-terrain vehicle 
90.5 	account for two all-terrain vehicle trail 
90.6 	specialists to assist and consult with on 
90.7 	all-terrain vehicle grant-in-aid education and 
90.8 	training for sustainable trail development and 
90.9 	maintenance, as well as providing training 
90.10 	for public and private sector trail monitoring. 
90.11 	The specialists may assist in the evaluation 
90.12 	of grant-in-aid trail proposals, but not in the 
90.13 	promotion of new trails. 
90.14 	$1,965,000 the first year and $2,040,000 
90.15 	the second year are from the game and fish 
90.16 	fund for expenditures on water access sites 
90.17 	according to the requirements of the federal 
90.18 	sport and fish restoration program. 
90.19 	Money appropriated under Laws 2005, First 
90.20 	Special Session chapter 1, article 2, section 
90.21 	11, subdivision 6, paragraph (h), for the Paul 
90.22 	Bunyan State Trail connection is available 
90.23 	until June 30, 2008. 
90.24 	$400,000 each year is for operation and 
90.25 	maintenance of nonmotorized trails within 
90.26 	state forests. This is a onetime appropriation. 
90.27 	$75,000 each year is for additional wild and 
90.28 	scenic rivers program activities. 
90.29 	$120,000 the first year is from the 
90.30 	water recreation account in the natural 
90.31 	resources fund to cooperate with local 
90.32 	units of government in marking routes and 
90.33 	designating river accesses and campsites 
90.34 	under Minnesota Statutes, section 85.32. 
91.1 	This is a onetime appropriation and available 
91.2 	until spent. 
91.3 	The appropriation in Laws 2005, First 
91.4 	Special Session chapter 1, article 2, section 
91.5 	3, subdivision 6, from the lottery in lieu 
91.6 	account in the natural resources fund for 
91.7 	trail grants to local units of government, is 
91.8 	available until June 30, 2009. 

91.9 	Sec. 30. MINING ADMINISTRATIVE FEE.
 91.10 	(a) Until a new application fee schedule is adopted for permits to mine or process 
91.11 	taconite according to the report submitted by the commissioner of natural resources under 
91.12 	this article, the commissioner shall charge the administrative fees established in paragraph 
91.13 	(b), payable to the commissioner by June 30 of each year, beginning in 2008.
91.14 	(b) A company that manages a taconite mining or taconite processing operation 
91.15 	shall pay:
91.16 	(1) $90,000 if the total production of the company's combined operations in the state 
91.17 	had an annual production of 10,000,000 or more tons of taconite pellets or iron nuggets 
91.18 	during the previous calendar year;
91.19 	(2) $10,000 if the total production of the company's combined operations in the state 
91.20 	had an annual production of less than 10,000,000 tons of taconite pellets or iron nuggets 
91.21 	during the previous calendar year; and
91.22 	(3) $3,333 if the mining operation is permitted to mine, but had no annual production 
91.23 	of taconite pellets or iron nuggets during the previous calendar year.

91.24 	EFFECTIVE DATE. This section is effective the day following final enactment 
91.25 	and applies to companies that manage a taconite mining or taconite processing operation 
91.26 	holding or applying for a permit to mine under Minnesota Statutes, section 93.481, during 
91.27 	the 2007 calendar year.

91.28 	Sec. 31. DEPARTMENT OF NATURAL RESOURCES RULEMAKING 
91.29 	REQUIRED; STRUCTURES IN PUBLIC WATERS.
 91.30 	By January 15, 2010, the commissioner of natural resources shall update rules 
91.31 	on structures that are allowed in public waters and the permit requirements for those 
91.32 	structures under Minnesota Rules, chapter 6115. The Department of Natural Resources 
91.33 	general permit no. 2008-0401 expires on the effective date of the updated rules.

92.1 	EFFECTIVE DATE. This section is effective the day following final enactment.

92.2 	Sec. 32. FIRST MEETING; DEADLINE FOR APPOINTMENTS.
 92.3 	The appointing authorities named in Minnesota Statutes, section 103B.702, must 
92.4 	complete their appointments to the Star Lake Board by January 15, 2009, with the 
92.5 	exception of the appointments required under Minnesota Statutes, section 103B.702, 
92.6 	subdivision 1, paragraph (c), clause (3), which must be completed within 30 days of the 
92.7 	first meeting of the board. The board member designated by the Board of Water and Soil 
92.8 	Resources must convene the first meeting of the board no later than February 15, 2009.

92.9 	Sec. 33. SOLID WASTE DISPOSAL RULES REPORT; LEGISLATIVE 
92.10 	REVIEW.
 92.11 	By January 15, 2010, the Pollution Control Agency shall report to the senate and 
92.12 	house of representatives environment policy and finance committees and divisions on 
92.13 	proposed rules, under Minnesota Statutes, section 116.07, subdivision 4, to prohibit the 
92.14 	disposal of solid waste in specific areas due to the sensitivity of the area to groundwater 
92.15 	contamination.

92.16 	EFFECTIVE DATE. This section is effective the day following final enactment.

92.17 	Sec. 34. INDUSTRIAL AND CONSTRUCTION AND DEMOLITION 
92.18 	LANDFILL WORKING GROUP.
 92.19 	The commissioner of the Pollution Control Agency shall, by July 15, 2008, convene 
92.20 	a working group to develop, evaluate, and recommend policies and legislation regarding 
92.21 	the management of industrial solid waste and construction and demolition debris in land 
92.22 	disposal facilities. The commissioner shall appoint members of the working group, 
92.23 	including representatives from counties, state agencies, private landfill owners, waste 
92.24 	haulers, environmental organizations, and other interested parties to serve on the working 
92.25 	group. The Pollution Control Agency shall serve as staff to the working group. The 
92.26 	working group shall submit a report of its findings and recommendations to the chairs and 
92.27 	ranking minority members of the senate and house of representatives committees with 
92.28 	primary jurisdiction over environmental policy and environmental finance by January 
92.29 	15, 2009.

92.30 	ARTICLE 6
92.31 	ENERGY, COMMERCE, UTILITIES

92.32	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
93.1 	The amounts shown in this section summarize direct appropriations or reductions, 
93.2 	by fund, made in this article.

93.3			2008
		2009
		Total
	
93.4	General
	$
	(2,670,000)
	$
	(1,436,000)
	$
	(4,106,000)

93.5	Sec. 2. APPROPRIATIONS.
 	
93.6 	The dollar amounts in the columns under "APPROPRIATIONS" are added to or, 
93.7 	if shown in parentheses, subtracted from the appropriations in Laws 2007, chapter 57, 
93.8 	or other law to the specified agencies. The appropriations are from the general fund, or 
93.9 	another named fund, and are available for the fiscal years indicated for each purpose.  The 
93.10 	figures "2008" and "2009" used in this article mean that the appropriations listed under 
93.11 	them are available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. 
93.12 	"The first year" is fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" 
93.13 	is fiscal years 2008 and 2009.  Appropriations for the fiscal year ending June 30, 2008, are 
93.14 	effective the day following final enactment.

93.15				APPROPRIATIONS
	
93.16				Available for the Year
	
93.17				Ending June 30
	
93.18					2008
		2009

93.19	Sec. 3. COMMERCE

93.20	Subdivision 1.Total Appropriation
 	$
	(2,670,000)
	$
	(1,436,000)

93.21	Subd. 2.Administration
 		-0-
		84,000
	
93.22 	$46,000 in the second year is a base reduction 
93.23 	to the administration program and the Office 
93.24 	of Energy Security.
93.25 	$130,000 in the second year is a base increase 
93.26 	for staffing to enhance unclaimed property 
93.27 	compliance.

93.28	Subd. 3.Market Assurance
 		(270,000)
		(270,000)
	
93.29 	This is a base reduction to the do not call 
93.30 	program.

93.31	Subd. 4.Energy and Telecommunications
 		(2,400,000)
		(1,250,000)
	
93.32 	$200,000 in the first year is for the solar 
93.33 	rebate program. Equipment used to heat hot 
94.1 	water at a residential property for domestic 
94.2 	use, not including equipment used for a hot 
94.3 	tub or swimming pool, is eligible for the 
94.4 	solar rebate program. This is a onetime 
94.5 	appropriation and is available until spent.
94.6 	Of the amounts appropriated from the 
94.7 	special revenue fund in the second year 
94.8 	to the commissioner of commerce for 
94.9 	renewable energy research under Laws 2007, 
94.10 	chapter 57, article 2, section 3, subdivision 
94.11 	6, clause (7), $500,000 must be used to 
94.12 	support the algae-to-biofuels research project 
94.13 	at the University of Minnesota and the 
94.14 	Metropolitan Council.
94.15 	Money appropriated from the special revenue 
94.16 	fund for renewable energy research under 
94.17 	Laws 2007, chapter 57, article 2, section 3, 
94.18 	subdivision 6, clause (7), may be used for a 
94.19 	grant to a cellulosic ethanol facility using 
94.20 	paper mill sludge.
94.21 	Of the assessment amount authorized under 
94.22 	Minnesota Statutes, section 216B.241, 
94.23 	subdivision 1e, up to $200,000 in the second 
94.24 	year shall be used for the required report 
94.25 	and activities of the Green Jobs Task Force 
94.26 	established in this article. This is a onetime 
94.27 	appropriation.
94.28 	Of the amounts appropriated in the second 
94.29 	year to the commissioner of commerce from 
94.30 	the special revenue fund for environmentally 
94.31 	friendly automotive technology projects 
94.32 	under Laws 2007, chapter 57, article 2, 
94.33 	section 3, subdivision 6, clause (4), up to 
94.34 	$200,000 is for the green economy report and 
94.35 	the statewide action plan and other activities 
95.1 	of the Green Jobs Task Force established in 
95.2 	this article, of which no more than $50,000 
95.3 	may be spent for the green economy report; 
95.4 	$100,000 is for the city of St. Paul for a 
95.5 	site evaluation of the Ford manufacturing 
95.6 	plant and for workforce development and 
95.7 	skills assessment of the Ford employees; 
95.8 	and $250,000 is for activities and research 
95.9 	for the Green Manufacturing Initiative 
95.10 	by a statewide organization dedicated to 
95.11 	furthering the green economy and its fiscal 
95.12 	agent.
95.13 	$1,250,000 is a reduction from the fiscal 
95.14 	year 2009 appropriation for E-85 cost share 
95.15 	grants. The base for the grant program in 
95.16 	fiscal year 2010 is $1,000,000. The base for 
95.17 	fiscal year 2011 is $0.
95.18 	$2,600,000 is a reduction from the fiscal year 
95.19 	2008 appropriation for renewable hydrogen 
95.20 	initiative grants.

95.21	Subd. 5.Transfers
 					
95.22 	(a) Insurance Fraud Prevention Account
95.23 	Prior to July 31, 2008, the commissioner of 
95.24 	finance shall transfer $1,500,000 from the 
95.25 	unexpended balance of the insurance fraud 
95.26 	prevention account established in Minnesota 
95.27 	Statutes, section 45.0135, to the general fund.
95.28 	After June 15, 2009, and prior to June 30, 
95.29 	2009, the commissioner of finance shall 
95.30 	transfer $1,500,000 from the unexpended 
95.31 	balance of the insurance fraud prevention 
95.32 	account established in Minnesota Statutes, 
95.33 	section 45.0135, to the general fund.
96.1 	(b) Real Estate Education, Research and 
96.2 	Recovery Fund
96.3 	Prior to July 31, 2008, the commissioner 
96.4 	of finance shall transfer $850,000 from 
96.5 	the unexpended balance of the real estate 
96.6 	education, research and recovery fund 
96.7 	established in Minnesota Statutes, section 
96.8 	82.43, to the general fund.
96.9 	(c) Consumer Education Account
96.10 	Prior to July 31, 2008, the commissioner 
96.11 	of finance shall transfer $100,000 from 
96.12 	the unexpended balance of the consumer 
96.13 	education account established under 
96.14 	Minnesota Statutes, section 58.10, to the 
96.15 	general fund.
96.16 	(d) Automobile Theft Prevention Account
96.17 	Prior to July 31, 2008, the commissioner 
96.18 	of finance shall transfer $230,000 from the 
96.19 	unexpended balance of the automobile theft 
96.20 	prevention account established in Minnesota 
96.21 	Statutes, section 168A.40, to the general 
96.22 	fund.

96.23	(e) Assigned Risk Plan
					
96.24 	By June 30, 2009, the commissioner of 
96.25 	finance shall transfer $10,000,000 in assets of 
96.26 	the workers' compensation assigned risk plan 
96.27 	created under Minnesota Statutes, section 
96.28 	79.252, to the general fund.

96.29	Sec. 4. PUBLIC UTILITIES COMMISSION
 					
96.30 	Prior to July 31, 2008, the commissioner 
96.31 	of finance shall transfer $4,000,000 from 
96.32 	the telephone assistance fund established in 
97.1 	Minnesota Statutes, section 237.701, to the 
97.2 	general fund.

97.3 	Sec. 5. Minnesota Statutes 2007 Supplement, section 80A.65, subdivision 1, is 
97.4 	amended to read:
97.5 		Subdivision 1.Registration or notice filing fee. (a) There shall be a filing fee of 
97.6 	$100 for every application for registration or notice filing.  There shall be an additional fee 
97.7 	of one-tenth of one percent of the maximum aggregate offering price at which the securities 
97.8 	are to be offered in this state, and the maximum combined fees shall not exceed $300.
97.9 	(b) When an application for registration is withdrawn before the effective date 
97.10 	or a preeffective stop order is entered under section 80A.54, all but the $100 filing fee 
97.11 	shall be returned.  If an application to register securities is denied, the total of all fees 
97.12 	received shall be retained.
97.13 	(c) Where a filing is made in connection with a federal covered security under 
97.14 	section 18(b)(2) of the Securities Act of 1933, there is a fee of $100 for every initial filing. 
97.15 	If the filing is made in connection with redeemable securities issued by an open end 
97.16 	management company or unit investment trust, as defined in the Investment Company Act 
97.17 	of 1940, there is an additional annual fee of 1/20 of one percent of the maximum aggregate 
97.18 	offering price at which the securities are to be offered in this state during the notice filing 
97.19 	period.  The fee must be paid at the time of the initial filing and thereafter in connection 
97.20 	with each renewal no later than July 1 of each year and must be sufficient to cover the 
97.21 	shares the issuer expects to sell in this state over the next 12 months.  If during a current 
97.22 	notice filing the issuer determines it is likely to sell shares in excess of the shares for which 
97.23 	fees have been paid to the administrator, the issuer shall submit an amended notice filing 
97.24 	to the administrator under section 80A.50, together with a fee of 1/20 of one percent of the 
97.25 	maximum aggregate offering price of the additional shares.  Shares for which a fee has 
97.26 	been paid, but which have not been sold at the time of expiration of the notice filing, may 
97.27 	not be sold unless an additional fee to cover the shares has been paid to the administrator 
97.28 	as provided in this section and section 80A.50.  If the filing is made in connection with 
97.29 	redeemable securities issued by such a company or trust, there is no maximum fee for 
97.30 	securities filings made according to this paragraph.  If the filing is made in connection 
97.31 	with any other federal covered security under Section 18(b)(2) of the Securities Act of 
97.32 	1933, there is an additional fee of one-tenth of one percent of the maximum aggregate 
97.33 	offering price at which the securities are to be offered in this state, and the combined fees 
97.34 	shall not exceed $300.  Beginning with fiscal year 2001 and continuing each fiscal year 
97.35 	thereafter, as of the last day of each fiscal year, the administrator shall determine the total 
98.1 	amount of all fees that were collected under this paragraph in connection with any filings 
98.2 	made for that fiscal year for securities of an open-end investment company on behalf of a 
98.3 	security that is a federal covered security pursuant to section 18(b)(2) of the Securities 
98.4 	Act of 1933.  To the extent the total fees collected by the administrator in connection 
98.5 	with these filings exceed  $25,600,000 in a fiscal year, the administrator shall refund, on 
98.6 	a pro rata basis, to all persons who paid any fees for that fiscal year, the amount of fees 
98.7 	collected by the administrator in excess of $25,600,000.  No individual refund is required 
98.8 	of amounts of $100 or less for a fiscal year.

98.9 	EFFECTIVE DATE. This section is effective the day following final enactment.

98.10 	Sec. 6. Minnesota Statutes 2007 Supplement, section 216C.41, subdivision 3, is 
98.11 	amended to read:
98.12 		Subd. 3.Eligibility window. Payments may be made under this section only for:
98.13 	(a) electricity generated from:
98.14 	(1) a qualified hydroelectric facility that is operational and generating electricity 
98.15 	before December 31, 2009 2011;
98.16 	(2) a qualified wind energy conversion facility that is operational and generating 
98.17 	electricity before January 1, 2008; or
98.18 	(3) a qualified on-farm biogas recovery facility from July 1, 2001, through December 
98.19 	31, 2017; and
98.20 	(b) gas generated from a qualified on-farm biogas recovery facility from July 1, 
98.21 	2007, through December 31, 2017.

98.22 	Sec. 7. Minnesota Statutes 2006, section 216C.41, subdivision 4, is amended to read:
98.23 		Subd. 4.Payment period. (a) A facility may receive payments under this section for 
98.24 	a ten-year period. No payment under this section may be made for electricity generated:
98.25 	(1) by a qualified hydroelectric facility after December 31,  2019 2021;
98.26 	(2) by a qualified wind energy conversion facility after December 31,  2018; or
98.27 	(3) by a qualified on-farm biogas recovery facility after December 31, 2015.
98.28 	(b) The payment period begins and runs consecutively from the date the facility 
98.29 	begins generating electricity or, in the case of refurbishment of a hydropower facility, after 
98.30 	substantial repairs to the hydropower facility dam funded by the incentive payments are 
98.31 	initiated.

99.1 	Sec. 8. Minnesota Statutes 2006, section 325E.313, is amended to read:
99.2 	325E.313 NO-CALL LIST.
99.3 		Subdivision 1.Establishment of list. The commissioner shall establish and 
99.4 	maintain a list of telephone numbers of residential subscribers who object to receiving 
99.5 	telephone solicitations. The commissioner may fulfill the requirements of this subdivision 
99.6 	by contracting with an agent for the establishment and maintenance of the list. The list 
99.7 	must be established by January 1, 2003.
99.8 		Subd. 2.Operation and maintenance of list. (a) Each local exchange company 
99.9 	must inform its residential subscribers of the opportunity to provide notification to 
99.10 	the commissioner or its contractor that the subscriber objects to receiving telephone 
99.11 	solicitations. The notification must be made in the manner prescribed by the commissioner.
99.12 	(b) Any residential subscriber may contact the commissioner or the commissioner's 
99.13 	agent and give notice, in the manner prescribed by the commissioner, that the subscriber 
99.14 	objects to receiving telephone solicitations. The commissioner shall add the telephone 
99.15 	number of any subscriber who gives notice of objection to the list maintained pursuant to 
99.16 	subdivision 1 within 90 days of the date the notice is received.
99.17 	(c) Any notice given by a subscriber under this subdivision shall be effective for 
99.18 	four years unless revoked by the subscriber. Any subsequent notices given by the same 
99.19 	subscriber related to a different telephone number are separate from the original notice.
99.20 	(d) (c) The commissioner shall allow consumers to give notice under this subdivision 
99.21 	by mail or electronically.
99.22 	(e) (d) The commissioner shall establish the procedures by which a person wishing 
99.23 	to make telephone solicitations may obtain access to the list. Those procedures shall, to 
99.24 	the extent practicable, allow for access to paper or electronic copies of the list.
99.25 		Subd. 3.Use of federal list. If, pursuant to United States Code, title 15, section 
99.26 	6102(a), the Federal Trade Commission establishes a national list of telephone numbers 
99.27 	of subscribers who object to receiving telephone solicitations, the commissioner shall 
99.28 	include subscribers who live in Minnesota and are included in the national list in the list 
99.29 	established under this section. The commissioner shall also transmit to the Federal Trade 
99.30 	Commission the telephone numbers included on the no-call list established under this 
99.31 	section and shall request that they be included in the national list may consider the Federal 
99.32 	Trade Commission as its agent for the establishment and maintenance of a list.

99.33 	Sec. 9. Minnesota Statutes 2006, section 325E.314, is amended to read:
99.34 	325E.314 FEES; ACQUISITION AND USE OF LIST.
100.1 	(a) A person or entity desiring to make telephone solicitations shall pay a fee, 
100.2 	payable to the commissioner, for access to, or for paper or electronic copies of, the list 
100.3 	established under section 325E.313. The fee shall not exceed $125 for each acquisition of 
100.4 	the list. The fee shall not exceed $90 in fiscal year 2004, and the fee shall not exceed $75 
100.5 	in fiscal year 2005 and thereafter. 
100.6 	(b) (a) A caller who makes a telephone solicitation to the telephone line of any 
100.7 	residential subscriber must, at the time of the call, have obtained access to a current 
100.8 	version of the list at least once in the 90 days prior to the call. A caller who complies with 
100.9 	this requirement is not liable for any violation of section 325E.312 relating to a solicitation 
100.10 	made to a subscriber during the first 30 days after the caller first obtained a copy of the list 
100.11 	including that subscriber's telephone number that has not been superseded by a later list 
100.12 	obtained by the caller that does not include the subscriber's telephone number. 
100.13 	(c) (b) If the Federal Trade Commission establishes a national do-not-call list as 
100.14 	described in section 325E.313, subdivision 3 2, a person or entity who is required by law 
100.15 	to obtain a copy of the national list is not required to purchase or retain a copy of the list 
100.16 	established by the commissioner, unless the Federal Trade Commission fails to incorporate 
100.17 	the Minnesota names transmitted by the commissioner may meet its requirement through 
100.18 	proof of purchase of the Minnesota numbers from the federal list. 

100.19 	Sec. 10. Minnesota Statutes 2006, section 609.531, subdivision 1, is amended to read:
100.20 		Subdivision 1.Definitions. For the purpose of sections 609.531 to 609.5318, the 
100.21 	following terms have the meanings given them.
100.22 	(a) "Conveyance device" means a device used for transportation and includes, but 
100.23 	is not limited to, a motor vehicle, trailer, snowmobile, airplane, and vessel and any 
100.24 	equipment attached to it. The term "conveyance device" does not include property which 
100.25 	is, in fact, itself stolen or taken in violation of the law.
100.26 	(b) "Weapon used" means a dangerous weapon as defined under section 609.02, 
100.27 	subdivision 6, that the actor used or had in possession in furtherance of a crime.
100.28 	(c) "Property" means property as defined in section 609.52, subdivision 1, clause (1).
100.29 	(d) "Contraband" means property which is illegal to possess under Minnesota law.
100.30 	(e) "Appropriate agency" means the Bureau of Criminal Apprehension, the 
100.31 	Department of Commerce Division of Insurance Fraud Prevention, the Minnesota Division 
100.32 	of Driver and Vehicle Services, the Minnesota State Patrol, a county sheriff's department, 
100.33 	the Three Rivers Park District park rangers, the Department of Natural Resources Division 
100.34 	of Enforcement, the University of Minnesota Police Department, the Department of 
100.35 	Corrections' Fugitive Apprehension Unit, or a city or airport police department.
101.1 	(f) "Designated offense" includes:
101.2 	(1) for weapons used: any violation of this chapter, chapter 152, or chapter 624;
101.3 	(2) for driver's license or identification card transactions: any violation of section 
101.4 	171.22; and
101.5 	(3) for all other purposes: a felony violation of, or a felony-level attempt or 
101.6 	conspiracy to violate, section 325E.17; 325E.18; 609.185; 609.19; 609.195; 609.21; 
101.7 	609.221; 609.222; 609.223; 609.2231; 609.24; 609.245; 609.25; 609.255; 609.282; 
101.8 	609.283; 609.322; 609.342, subdivision 1, clauses (a) to (f); 609.343, subdivision 1, 
101.9 	clauses (a) to (f); 609.344, subdivision 1, clauses (a) to (e), and (h) to (j); 609.345, 
101.10 	subdivision 1, clauses (a) to (e), and (h) to (j); 609.352; 609.42; 609.425; 609.466; 
101.11 	609.485; 609.487; 609.52; 609.525; 609.527; 609.528; 609.53; 609.54; 609.551; 609.561; 
101.12 	609.562; 609.563; 609.582; 609.59; 609.595; 609.611; 609.631; 609.66, subdivision 1e; 
101.13 	609.671, subdivisions 3, 4, 5, 8, and 12; 609.687; 609.821; 609.825; 609.86; 609.88; 
101.14 	609.89; 609.893; 609.895; 617.246; 617.247; or a gross misdemeanor or felony violation 
101.15 	of section 609.891 or 624.7181; or any violation of section 609.324.
101.16 	(g) "Controlled substance" has the meaning given in section 152.01, subdivision 4.

101.17 	Sec. 11. GREEN ECONOMY REPORT.
 101.18 	(a) Each state agency, other than the Iron Range Resources and Rehabilitation 
101.19 	Board or the Office of the Commissioner of Iron Range Resources and Rehabilitation, 
101.20 	that administers a loan or grant program must assess those programs to determine 
101.21 	their potential to advance or promote the growth of the green economy, as defined in 
101.22 	Minnesota Statutes, section 116J.437. An agency must report on its determination to the 
101.23 	commissioner of commerce by September 15, 2008.
101.24 	(b) If a program is determined to have significant potential, the agency must develop 
101.25 	a plan to integrate program elements appropriate to that program to advance or promote 
101.26 	the growth of the green economy in this state. An agency must report on its plan to the 
101.27 	commissioner of commerce by November 15, 2008.
101.28 	(c) The commissioner of commerce, in consultation with the commissioner of 
101.29 	employment and economic development, must develop guidelines to be followed by state 
101.30 	agencies in complying with this section.
101.31 	(d) By January 15, 2009, the commissioner of commerce, in consultation with the 
101.32 	commissioner of employment and economic development, must submit a report containing 
101.33 	the plans developed under paragraph (b), and any recommended implementing legislation, 
101.34 	to the chairs and ranking minority members of the senate and house committees with 
102.1 	primary jurisdiction over energy, environmental and economic development policy, and 
102.2 	finance.
102.3 	(e) The commissioner of commerce may contract for services to fulfill the 
102.4 	commissioner's duties under this section.

102.5 	Sec. 12. GREEN JOBS TASK FORCE.
 102.6 		Subdivision 1.Task force. (a) A Green Jobs Task Force is created to advise and 
102.7 	assist the governor and legislature regarding activities to advance the state's economy, and 
102.8 	to develop a statewide action plan as provided under subdivision 2. The task force shall 
102.9 	be appointed no later than June 30, 2008, and consist of:
102.10 	(1) three members of the house of representatives, including one member of the 
102.11 	minority party appointed by the speaker;
102.12 	(2) three members of the senate appointed by the Subcommittee on Committees of 
102.13 	the Committee on Rules and Administration, including one member of the minority;
102.14 	(3) seven representatives from state agencies and institutions appointed by the 
102.15 	governor, including one member from the Office of Energy Security, one member from 
102.16 	the Department of Employment and Economic Development, one member from the Job 
102.17 	Skills Partnership Board, one member from the University of Minnesota, one member 
102.18 	from Minnesota State Colleges and Universities, one member from the Pollution Control 
102.19 	Agency, and one member from the Department of Natural Resources;
102.20 	(4) three public members appointed by the governor, including one member 
102.21 	representing the manufacturing industry, one member representing a statewide 
102.22 	organization dedicated to commerce, and one member representing the Agricultural 
102.23 	Utilization Research Institute; 
102.24 	(5) four public members appointed by the speaker of the house of representatives, 
102.25 	including one member representing labor, one member representing a statewide 
102.26 	environmental organization, one member representing financial institutions or venture 
102.27 	capital, and one member from a local economic development authority from greater 
102.28 	Minnesota; and
102.29 	(6) four public members appointed by the senate Subcommittee on Committees 
102.30 	of the Committee on Rules and Administration, including one member from a local 
102.31 	economic development authority from the metropolitan area, one member from a 
102.32 	statewide organization dedicated to furthering the green economy, one member from a 
102.33 	firm currently engaged in green manufacturing, and one local workforce development 
102.34 	representative from an area that has experienced significant manufacturing job loss.
103.1 	(b) The commissioner of commerce, in cooperation with the commissioner of 
103.2 	employment and economic development, shall provide staff support to the task force. The 
103.3 	task force may accept outside resources to help support its efforts.
103.4 	(c) Each of the legislative appointing authorities must name a cochair of the task 
103.5 	force from the legislative members appointed by that authority.
103.6 	(d) Public members of the task force must be compensated as provided in Minnesota 
103.7 	Statutes, section 15.059, subdivision 3.
103.8 		Subd. 2.Duties. (a) By January 15, 2009, the task force shall develop and present to 
103.9 	the legislature under Minnesota Statutes, section 3.195, and to the governor a statewide 
103.10 	action plan to optimize the growth of the green economy. For the purpose of this section, 
103.11 	"green economy" has the meaning given it by new Minnesota Statutes, section 116J.437, 
103.12 	if enacted.
103.13 	(b) The plan must include necessary draft legislation and budget requests and may 
103.14 	include administrative actions of governmental entities, collaborative actions, and actions 
103.15 	of individuals and individual organizations. The plan must be developed following the 
103.16 	analysis described in this paragraph and must be based on the analysis. The analysis 
103.17 	must include:
103.18 	(1) a market analysis of the business opportunities and needs created by the laws 
103.19 	enumerated in paragraph (a), including local, state, national, and international markets;
103.20 	(2) an analysis of the labor force needs related to the market analysis opportunities 
103.21 	identified in clause (1), including educational, training, and retraining needs; and
103.22 	(3) an inventory of the current labor and business assets available to respond to the 
103.23 	opportunities identified in clause (1) and the labor needs identified in clause (2).
103.24 	The task force shall contract for the analysis required by this paragraph.
103.25 		Subd. 3.Expiration. The task force expires June 30, 2009.

103.26 	ARTICLE 7
103.27 	AGRICULTURE

103.28	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
103.29 	The amounts shown in this section summarize direct appropriations, by fund, made 
103.30 	in this article.

103.31			2008
		2009
		Total
	
103.32	General
	$
	(200,000)
	$
	388,000
	$
	188,000

103.33	Sec. 2. APPROPRIATIONS.
 	
104.1 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
104.2 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, article 1, to 
104.3 	the agencies and for the purposes specified in this article. The appropriations are from the 
104.4 	general fund or another named fund and are available for the fiscal years indicated for 
104.5 	each purpose. The figures "2008" and "2009" used in this article mean that the addition 
104.6 	to or subtraction from the appropriation listed under them is available for the fiscal year 
104.7 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
104.8 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 
104.9 	day following final enactment.

104.10				APPROPRIATIONS
	
104.11				Available for the Year
	
104.12				Ending June 30
	
104.13					2008
		2009

104.14	Sec. 3. AGRICULTURE
 	$
	(200,000)
	$
	388,000
	
104.15 	$302,000 is a reduction in 2009. The 
104.16 	commissioner shall make a reduction of 
104.17 	$100,000 from agricultural marketing, 
104.18 	$100,000 shall come from efficiencies gained 
104.19 	by the merger of the Agriculture Resources 
104.20 	Management and Development Division and 
104.21 	the Agriculture Finance Division, and the 
104.22 	remainder shall come from a reduction in 
104.23 	administrative services in Saint Paul.
104.24 	$1,000,000 in 2009 is for the livestock 
104.25 	investment grant program in new Minnesota 
104.26 	Statutes, section 17.118, if enacted. The 
104.27 	commissioner may use up to 4-1/2 percent 
104.28 	of this appropriation for costs incurred to 
104.29 	administer the program. This is a onetime 
104.30 	appropriation and is available until spent.
104.31 	The $200,000 appropriation in Laws 2007, 
104.32 	chapter 45, article 1, section 3, subdivision 
104.33 	4, for a grant to the Elk River Economic 
104.34 	Development Authority for a bioenergy 
104.35 	project is canceled to the general fund.
105.1 	$310,000 is a reduction in 2009 of the 
105.2 	appropriation for ethanol producer payments 
105.3 	in Laws 2007, chapter 45, article 1, section 
105.4 	3, subdivision 4. This reduction is onetime.
105.5 	By January 15, 2009, the commissioner shall 
105.6 	report to the house and senate committees 
105.7 	with jurisdiction over agriculture finance 
105.8 	a proposal for paying unpaid claimants of 
105.9 	an entity no longer producing ethanol on a 
105.10 	commercial scale at the location for which it 
105.11 	qualified for producer payments.

105.12 	Sec. 4. BOARD OF ANIMAL HEALTH.
 105.13 	Notwithstanding Minnesota Statutes, section 
105.14 	35.085, the Board of Animal Health shall 
105.15 	make a onetime grant of up to $12,000 to 
105.16 	a beef cattle producer from the $100,000 
105.17 	appropriation for reimbursements in Laws 
105.18 	2007, chapter 45, article 1, section 4. The 
105.19 	eligible beef cattle producer is located 
105.20 	outside of a bovine tuberculosis containment 
105.21 	area and purchased certified tuberculosis-free 
105.22 	cattle yet sustained financial losses beyond 
105.23 	the producer's control due to restrictions 
105.24 	imposed by the Board of Animal Health that 
105.25 	effectively denied the producer the ability 
105.26 	to sell the tuberculosis-free cattle during 
105.27 	favorable market conditions.

105.28 	Sec. 5. Minnesota Statutes 2006, section 41A.09, subdivision 3a, is amended to read:
105.29 		Subd. 3a.Ethanol producer payments. (a) The commissioner shall make cash 
105.30 	payments to producers of ethanol located in the state that have begun production at a 
105.31 	specific location by June 30, 2000. For the purpose of this subdivision, an entity that holds 
105.32 	a controlling interest in more than one ethanol plant is considered a single producer. 
105.33 	The amount of the payment for each producer's annual production, except as provided 
105.34 	in paragraph (c), is 20 cents per gallon for each gallon of ethanol produced at a specific 
106.1 	location on or before June 30, 2000, or ten years after the start of production, whichever is 
106.2 	later. Annually, within 90 days of the end of its fiscal year, an ethanol producer receiving 
106.3 	payments under this subdivision must file a disclosure statement on a form provided by 
106.4 	the commissioner. The initial disclosure statement must include a summary description 
106.5 	of the organization of the business structure of the claimant, a listing of the percentages 
106.6 	of ownership by any person or other entity with an ownership interest of five percent or 
106.7 	greater, and a copy of its annual audited financial statements, including the auditor's report 
106.8 	and footnotes. The disclosure statement must include information demonstrating what 
106.9 	percentage of the entity receiving payments under this section is owned by farmers or 
106.10 	other entities eligible to farm or own agricultural land in Minnesota under the provisions 
106.11 	of section 500.24. Subsequent annual reports must reflect noncumulative changes in 
106.12 	ownership of ten percent or more of the entity. The report need not disclose the identity of 
106.13 	the persons or entities eligible to farm or own agricultural land with ownership interests, 
106.14 	individuals residing within 30 miles of the plant, or of any other entity with less than 
106.15 	ten percent ownership interest, but the claimant must retain information within its files 
106.16 	confirming the accuracy of the data provided. This data must be made available to the 
106.17 	commissioner upon request. Not later than the 15th day of February in each year the 
106.18 	commissioner shall deliver to the chairs of the standing committees of the senate and the 
106.19 	house of representatives that deal with agricultural policy and agricultural finance issues 
106.20 	an annual report summarizing aggregated data from plants receiving payments under this 
106.21 	section during the preceding calendar year. Audited financial statements and notes and 
106.22 	disclosure statements submitted to the commissioner are nonpublic data under section 
106.23 	13.02, subdivision 9. Notwithstanding the provisions of chapter 13 relating to nonpublic 
106.24 	data, summaries of the submitted audited financial reports and notes and disclosure 
106.25 	statements will be contained in the report to the committee chairs and will be public data.
106.26 	(b) No payments shall be made for ethanol production that occurs after June 30, 
106.27 	2010. A producer of ethanol shall not transfer the producer's eligibility for payments 
106.28 	under this section to an ethanol plant at a different location.
106.29 	(c) If the level of production at an ethanol plant increases due to an increase in the 
106.30 	production capacity of the plant, the payment under paragraph (a) applies to the additional 
106.31 	increment of production until ten years after the increased production began. Once a 
106.32 	plant's production capacity reaches 15,000,000 gallons per year, no additional increment 
106.33 	will qualify for the payment.
106.34 	(d) Total payments under paragraphs (a) and (c) to a producer in a fiscal year may 
106.35 	not exceed $3,000,000.
107.1 	(e) By the last day of October, January, April, and July, each producer shall file a 
107.2 	claim for payment for ethanol production during the preceding three calendar months. 
107.3 	A producer that files a claim under this subdivision shall include a statement of the 
107.4 	producer's total ethanol production in Minnesota during the quarter covered by the claim. 
107.5 	For each claim and statement of total ethanol production filed under this subdivision, 
107.6 	the volume of ethanol production must be examined by an independent certified public 
107.7 	accountant in accordance with standards established by the American Institute of Certified 
107.8 	Public Accountants.
107.9 	(f) Payments shall be made November 15, February 15, May 15, and August 15. A 
107.10 	separate payment shall be made for each claim filed. Except as provided in paragraph (g), 
107.11 	the total quarterly payment to a producer under this paragraph may not exceed $750,000.
107.12 	(g) Notwithstanding the quarterly payment limits of paragraph (f), the commissioner 
107.13 	shall make an additional payment in the fourth quarter of each fiscal year to ethanol 
107.14 	producers for the lesser of: (1) 20 cents per gallon of production in the fourth quarter of the 
107.15 	year that is greater than 3,750,000 gallons; or (2) the total amount of payments lost during 
107.16 	the first three quarters of the fiscal year due to plant outages, repair, or major maintenance. 
107.17 	Total payments to an ethanol producer in a fiscal year, including any payment under this 
107.18 	paragraph, must not exceed the total amount the producer is eligible to receive based on 
107.19 	the producer's approved production capacity. The provisions of this paragraph apply only 
107.20 	to production losses that occur in quarters beginning after December 31, 1999.
107.21 	(h) The commissioner shall reimburse ethanol producers for any deficiency in 
107.22 	payments during earlier quarters if the deficiency occurred because of unallotment or 
107.23 	because appropriated money was insufficient to make timely payments in the full amount 
107.24 	provided in paragraph (a). Notwithstanding the quarterly or annual payment limitations in 
107.25 	this subdivision, the commissioner shall begin making payments for earlier deficiencies in 
107.26 	each fiscal year that appropriations for ethanol payments exceed the amount required to 
107.27 	make eligible scheduled payments. Payments for earlier deficiencies must continue until 
107.28 	the deficiencies for each producer are paid in full, except the commissioner shall not make 
107.29 	a deficiency payment to an entity that no longer produces ethanol on a commercial scale 
107.30 	at the location for which the entity qualified for producer payments, or to an assignee of 
107.31 	the entity.
107.32 	(i) The commissioner may make direct payments to producers of rural economic 
107.33 	infrastructure with any amount of the annual appropriation for ethanol producer payments 
107.34 	and rural economic infrastructure that is in excess of the amount required to make 
107.35 	scheduled ethanol producer payments and deficiency payments under paragraphs (a) to (h).

108.1 	Sec. 6. Laws 2007, chapter 45, article 1, section 3, subdivision 4, is amended to read:

108.2
108.3	Subd. 4. Bioenergy and Value-Added 
Agricultural Products
 		19,918,000 
		15,168,000 
	
108.4 	$15,168,000 the first year and $15,168,000 
108.5 	the second year are for ethanol producer 
108.6 	payments under Minnesota Statutes, section 
108.7 	41A.09. If the total amount for which all 
108.8 	producers are eligible in a quarter exceeds 
108.9 	the amount available for payments, the 
108.10 	commissioner shall make payments on a 
108.11 	pro rata basis. If the appropriation exceeds 
108.12 	the total amount for which all producers 
108.13 	are eligible in a fiscal year for scheduled 
108.14 	payments and for deficiencies in payments 
108.15 	during previous fiscal years, the balance 
108.16 	in the appropriation is available to the 
108.17 	commissioner for value-added agricultural 
108.18 	programs including the value-added 
108.19 	agricultural product processing and 
108.20 	marketing grant program under Minnesota 
108.21 	Statutes, section 17.101, subdivision 5. The 
108.22 	appropriation remains available until spent. 
108.23 	$3,000,000 the first year is for grants to 
108.24 	bioenergy projects. The NextGen Energy 
108.25 	Board shall make recommendations to 
108.26 	the commissioner on grants for owners of 
108.27 	Minnesota facilities producing bioenergy, 
108.28 	organizations that provide for on-station, 
108.29 	on-farm field scale research and outreach to 
108.30 	develop and test the agronomic and economic 
108.31 	requirements of diverse stands of prairie 
108.32 	plants and other perennials for bioenergy 
108.33 	systems, or certain nongovernmental 
108.34 	entities. For the purposes of this paragraph, 
108.35 	"bioenergy" includes transportation fuels 
108.36 	derived from cellulosic material as well as 
109.1 	the generation of energy for commercial heat, 
109.2 	industrial process heat, or electrical power 
109.3 	from cellulosic material via gasification 
109.4 	or other processes. The board must give 
109.5 	priority to a bioenergy facility that is at 
109.6 	least 60 percent owned and controlled by 
109.7 	farmers, as defined in Minnesota Statutes, 
109.8 	section 500.24, subdivision 2, paragraph (n), 
109.9 	or natural persons residing in the county or 
109.10 	counties contiguous to where the facility is 
109.11 	located. Grants are limited to 50 percent of 
109.12 	the cost of research, technical assistance, or 
109.13 	equipment related to bioenergy production 
109.14 	or $500,000 $1,000,000, whichever is less. 
109.15 	Grants to nongovernmental entities for the 
109.16 	development of business plans and structures 
109.17 	related to community ownership of eligible 
109.18 	bioenergy facilities together may not exceed 
109.19 	$150,000. The board shall make a good 
109.20 	faith effort to select projects that have 
109.21 	merit and when taken together represent a 
109.22 	variety of bioenergy technologies, biomass 
109.23 	feedstocks, and geographic regions of the 
109.24 	state. Projects must have a qualified engineer 
109.25 	certification on the technology and fuel 
109.26 	source. Grantees shall provide reports at 
109.27 	the request of the commissioner and must 
109.28 	actively participate in the Agricultural 
109.29 	Utilization Research Institute's Renewable 
109.30 	Energy Roundtable. No later than February 
109.31 	1, 2009, the commissioner shall report on 
109.32 	the projects funded under this appropriation 
109.33 	to the house and senate committees with 
109.34 	jurisdiction over agriculture finance. The 
109.35 	commissioner's costs in administering the 
109.36 	program may be paid from the appropriation. 
110.1 	$350,000 the first year is for grants to 
110.2 	the Minnesota Institute for Sustainable 
110.3 	Agriculture at the University of Minnesota 
110.4 	to provide funds for on-station and on-farm 
110.5 	field scale research and outreach to develop 
110.6 	and test the agronomic and economic 
110.7 	requirements of diverse stands of prairie 
110.8 	plants and other perennials for bioenergy 
110.9 	systems including, but not limited to, 
110.10 	multiple species selection and establishment, 
110.11 	ecological management between planting 
110.12 	and harvest, harvest technologies, financial 
110.13 	and agronomic risk management, farmer 
110.14 	goal setting and adoption of technologies, 
110.15 	integration of wildlife habitat into 
110.16 	management approaches, evaluation of 
110.17 	carbon and other benefits, and robust policies 
110.18 	needed to induce farmer conversion on 
110.19 	marginal lands.* (The preceding text 
110.20 	beginning "$350,000 the first year" was 
110.21 	indicated as vetoed by the governor.) 
110.22 	$200,000 the first year is for a grant to the 
110.23 	Minnesota Turf Seed Council for basic 
110.24 	and applied agronomic research on native 
110.25 	plants, including plant breeding, nutrient 
110.26 	management, pest management, disease 
110.27 	management, yield, and viability. The grant 
110.28 	recipient may subcontract with a qualified 
110.29 	third party for some or all of the basic 
110.30 	or applied research. The grant recipient 
110.31 	must actively participate in the Agricultural 
110.32 	Utilization Research Institute's Renewable 
110.33 	Energy Roundtable and no later than 
110.34 	February 1, 2009, must report to the house 
110.35 	and senate committees with jurisdiction 
111.1 	over agriculture finance. This is a onetime 
111.2 	appropriation and is available until spent. 
111.3 	$200,000 the first year is for a grant to a joint 
111.4 	venture combined heat and power energy 
111.5 	facility located in Scott or LeSueur County 
111.6 	for the creation of a centrally located biomass 
111.7 	fuel supply depot with the capability of 
111.8 	unloading, processing, testing, scaling, and 
111.9 	storing renewable biomass fuels. The grant 
111.10 	must be matched by at least $3 of nonstate 
111.11 	funds for every $1 of state funds. The grant 
111.12 	recipient must actively participate in the 
111.13 	Agricultural Utilization Research Institute's 
111.14 	Renewable Energy Roundtable and no 
111.15 	later than February 1, 2009, must report 
111.16 	to the house and senate committees with 
111.17 	jurisdiction over agriculture finance. This is 
111.18 	a onetime appropriation and is available until 
111.19 	spent. 
111.20 	$300,000 the first year is for a grant to the 
111.21 	Bois Forte Band of Chippewa for a feasibility 
111.22 	study of a renewable energy biofuels 
111.23 	demonstration facility on the Bois Forte 
111.24 	Reservation in St. Louis and Koochiching 
111.25 	Counties. The grant shall be used by the Bois 
111.26 	Forte Band to conduct a detailed feasibility 
111.27 	study of the economic and technical viability 
111.28 	of developing a multistream renewable 
111.29 	energy biofuels demonstration facility 
111.30 	on Bois Forte Reservation land to utilize 
111.31 	existing forest resources, woody biomass, 
111.32 	and cellulosic material to produce biofuels or 
111.33 	bioenergy. The grant recipient must actively 
111.34 	participate in the Agricultural Utilization 
111.35 	Research Institute's Renewable Energy 
111.36 	Roundtable and no later than February 1, 
112.1 	2009, must report to the house and senate 
112.2 	committees with jurisdiction over agriculture 
112.3 	finance. This is a onetime appropriation and 
112.4 	is available until spent. 
112.5 	$300,000 the first year is for a grant to 
112.6 	the White Earth Band of Chippewa for a 
112.7 	feasibility study of a renewable energy 
112.8 	biofuels production, research, and production 
112.9 	facility on the White Earth Reservation in 
112.10 	Mahnomen County. The grant must be used 
112.11 	by the White Earth Band and the University 
112.12 	of Minnesota to conduct a detailed feasibility 
112.13 	study of the economic and technical viability 
112.14 	of (1) developing a multistream renewable 
112.15 	energy biofuels demonstration facility on 
112.16 	White Earth Reservation land to utilize 
112.17 	existing forest resources, woody biomass, 
112.18 	and cellulosic material to produce biofuels or 
112.19 	bioenergy, and (2) developing, harvesting, 
112.20 	and marketing native prairie plants and seeds 
112.21 	for bioenergy production. The grant recipient 
112.22 	must actively participate in the Agricultural 
112.23 	Utilization Research Institute's Renewable 
112.24 	Energy Roundtable and no later than 
112.25 	February 1, 2009, must report to the house 
112.26 	and senate committees with jurisdiction 
112.27 	over agriculture finance. This is a onetime 
112.28 	appropriation and is available until spent. 
112.29 	$200,000 the first year is for a grant to the Elk 
112.30 	River Economic Development Authority for 
112.31 	upfront engineering and a feasibility study 
112.32 	of the Elk River renewable fuels facility. 
112.33 	The facility must use a plasma gasification 
112.34 	process to convert primarily cellulosic 
112.35 	material, but may also use plastics and other 
112.36 	components from municipal solid waste, as 
113.1 	feedstock for the production of methanol 
113.2 	for use in biodiesel production facilities. 
113.3 	Any unencumbered balance in fiscal year 
113.4 	2008 does not cancel but is available for 
113.5 	fiscal year 2009. Notwithstanding Minnesota 
113.6 	Statutes, section 16A.285, the agency must 
113.7 	not transfer this appropriation. The grant 
113.8 	recipient must actively participate in the 
113.9 	Agricultural Utilization Research Institute's 
113.10 	Renewable Energy Roundtable and no 
113.11 	later than February 1, 2009, must report 
113.12 	to the house and senate committees with 
113.13 	jurisdiction over agriculture finance. This is 
113.14 	a onetime appropriation and is available until 
113.15 	spent. 
113.16 	$200,000 the first year is for a grant to 
113.17 	Chisago County to conduct a detailed 
113.18 	feasibility study of the economic and 
113.19 	technical viability of developing a 
113.20 	multistream renewable energy biofuels 
113.21 	demonstration facility in Chisago, Isanti, 
113.22 	or Pine County to utilize existing forest 
113.23 	resources, woody biomass, and cellulosic 
113.24 	material to produce biofuels or bioenergy. 
113.25 	Chisago County may expend funds to Isanti 
113.26 	and Pine Counties and the University of 
113.27 	Minnesota for any costs incurred as part 
113.28 	of the study. The feasibility study must 
113.29 	consider the capacity of: (1) the seed bank 
113.30 	at Wild River State Park to expand the 
113.31 	existing prairie grass, woody biomass, and 
113.32 	cellulosic material resources in Chisago, 
113.33 	Isanti, and Pine Counties; (2) willing and 
113.34 	interested landowners in Chisago, Isanti, and 
113.35 	Pine Counties to grow cellulosic materials; 
113.36 	and (3) the Minnesota Conservation Corps, 
114.1 	the sentence to serve program, and other 
114.2 	existing workforce programs in east central 
114.3 	Minnesota to contribute labor to these efforts. 
114.4 	The grant recipient must actively participate 
114.5 	in the Agricultural Utilization Research 
114.6 	Institute's Renewable Energy Roundtable and 
114.7 	no later than February 1, 2009, must report 
114.8 	to the house and senate committees with 
114.9 	jurisdiction over agriculture finance. This is 
114.10 	a onetime appropriation and is available until 
114.11 	spent. 

114.12 	EFFECTIVE DATE. This section is effective the day following final enactment.

114.13 	ARTICLE 8
114.14 	VETERANS AFFAIRS

114.15	Section 1. SUMMARY OF APPROPRIATIONS.
 	
114.16 	The amounts shown in this section summarize direct appropriations, by fund, made 
114.17 	in this article.

114.18			2008
		2009
		Total
	
114.19	General
	$
	-0-
	$
	4,145,000
	$
	4,145,000
	
114.20	Special Revenue
		-0-
		(338,000)
		(338,000)

114.21	Sec. 2. APPROPRIATIONS.
 	
114.22 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
114.23 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, article 2, to 
114.24 	the agencies and for the purposes specified in this article. The appropriations are from the 
114.25 	general fund or another named fund and are available for the fiscal years indicated for 
114.26 	each purpose. The figures "2008" and "2009" used in this article mean that the addition 
114.27 	to or subtraction from the appropriation listed under them is available for the fiscal year 
114.28 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
114.29 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 
114.30 	day following final enactment.

114.31				APPROPRIATIONS
	
114.32				Available for the Year
	
114.33				Ending June 30
	
114.34					2008
		2009

115.1	Sec. 3. VETERANS AFFAIRS

115.2	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	3,807,000
	
115.3 	The appropriation additions or reductions 
115.4 	for each purpose are shown in the following 
115.5 	paragraphs.
115.6 	$500,000 in 2009 is added to the base for 
115.7 	grants to counties for veterans service offices 
115.8 	as provided under Laws 2007, chapter 45, 
115.9 	article 2, section 1, paragraph (b). This is a 
115.10 	onetime appropriation.
115.11 	$2,500,000 in 2009 is for state soldiers 
115.12 	assistance under Minnesota Statutes, section 
115.13 	197.05. Of this amount, $1,500,000 is 
115.14 	added to the base for this activity. This 
115.15 	appropriation is available until spent. The 
115.16 	appropriation for state soldiers assistance 
115.17 	for 2009 in Laws 2007, chapter 45, article 
115.18 	2, section 1, is available in 2008 if the 
115.19 	appropriation for 2008 is insufficient.
115.20 	$500,000 in 2009 is for casework services for 
115.21 	veterans.  The commissioner, in consultation 
115.22 	with the Department of Administration, 
115.23 	shall use the request for proposal process in 
115.24 	Minnesota Statutes, chapter 16C, to solicit 
115.25 	bids for the provision of these services. 
115.26 	The casework services provided should be 
115.27 	community-based, available statewide, and 
115.28 	include in-home counseling.
115.29 	$220,000 in 2009 is added to the base for 
115.30 	operations of the LinkVET telephone line 
115.31 	service for veterans.
115.32 	For purposes of efficiency, the commissioner 
115.33 	must combine the services available through 
115.34 	the toll-free higher education call center 
116.1 	for veterans with those available through 
116.2 	LinkVET.
116.3 	$250,000 in 2009 is for a grant to the 
116.4 	Minnesota Assistance Council for Veterans 
116.5 	for their work in helping veterans and their 
116.6 	families affected by homelessness. 
116.7 	$250,000 in 2009 is for the Veterans Claims 
116.8 	Office for outreach and training to improve 
116.9 	services and benefits to veterans. This 
116.10 	appropriation includes money to add veterans 
116.11 	service officer/coordinator positions, 
116.12 	including one to assist female veterans.
116.13 	$25,000 in 2009 is to develop a pilot program 
116.14 	for peer-to-peer counseling among combat 
116.15 	veterans. This is a onetime appropriation.
116.16 	$338,000 is a reduction in 2009 from the 
116.17 	special revenue fund appropriation from the 
116.18 	account established in Minnesota Statutes, 
116.19 	section 190.19. 
116.20 	$200,000 in 2009 is a onetime appropriation 
116.21 	for:
116.22 	(1) an intergovernmental and veterans 
116.23 	strategic planning study for the Minnesota 
116.24 	veterans homes, with special emphasis 
116.25 	on exploring alternative models for the 
116.26 	Minneapolis veterans home; 
116.27 	(2) a study of the feasibility of partnering 
116.28 	for home-based services for veterans with 
116.29 	nongovernmental, nonprofit, or faith-based 
116.30 	social service and health care delivery 
116.31 	organizations, as a means of enabling 
116.32 	veterans to live more independently, as an 
116.33 	alternative to the projected sharply increasing 
116.34 	needs for domiciliary and skilled nursing 
117.1 	beds in state veterans homes. This is a 
117.2 	onetime appropriation; and 
117.3 	(3) designing a treatment program for 
117.4 	veterans with traumatic brain injuries within 
117.5 	the state veterans homes.
117.6 	$300,000 is a reduction in 2009 for 
117.7 	the Veterans Homes Board. The base 
117.8 	appropriation for fiscal years 2010 and 2011 
117.9 	is reduced by $300,000 in each year. This 
117.10 	reduction is made possible by the enhanced 
117.11 	efficiency in administration of the homes 
117.12 	associated with the transfer of governing 
117.13 	authority from the Veterans Homes Board to 
117.14 	the commissioner of veterans affairs.

117.15	Subd. 2.Report to the Legislature
 					
117.16 	By January 15, 2009, the commissioner shall 
117.17 	report to the chairs and ranking minority 
117.18 	members of the legislative committees and 
117.19 	divisions with jurisdiction over veterans 
117.20 	affairs policy and finance regarding activities 
117.21 	and expenditures in programs receiving an 
117.22 	appropriation in this article.

117.23 	Sec. 4. Minnesota Statutes 2006, section 168.1255, is amended by adding a subdivision 
117.24 	to read:
117.25 		Subd. 6.World War II memorial donation match account. Money remaining 
117.26 	in the World War II memorial donation match account after the state share of the 
117.27 	construction costs of the World War II memorial has been paid in full is appropriated to the 
117.28 	commissioner of veterans affairs for services and programs for veterans and their families.

117.29 	Sec. 5. Minnesota Statutes 2006, section 190.19, subdivision 1, is amended to read:
117.30 		Subdivision 1.Establishment. The Minnesota "Support Our Troops" account is 
117.31 	established in the special revenue fund. The account shall consist of contributions from 
117.32 	private sources and appropriations. Money in the account is appropriated in equal shares 
117.33 	to the Department of Military Affairs and the Department of Veterans Affairs.

118.1 	EFFECTIVE DATE. Notwithstanding Laws 2007, chapter 45, article 2, section 
118.2 	1, and article 3, section 2, subdivision 3, this section is effective for distribution of the 
118.3 	Minnesota "Support Our Troops" account the day following final enactment.

118.4 	Sec. 6. Minnesota Statutes 2006, section 190.19, is amended by adding a subdivision 
118.5 	to read:
118.6 		Subd. 2a.Uses; veterans. Money appropriated to the Department of Veterans 
118.7 	Affairs from the Minnesota "Support Our Troops" account may be used for:
118.8 	(1) grants to veterans service organizations; and
118.9 	(2) outreach to underserved veterans.

118.10 	Sec. 7. Laws 2007, chapter 144, article 1, section 7, is amended to read:

118.11
118.12	Sec. 7. DEPARTMENT OF VETERANS 
AFFAIRS.
 	$ 
	6,000,000 
	$ 
	6,000,000 
	
118.13 	For grants to eligible veterans or the eligible 
118.14 	spouses and children of veterans as provided 
118.15 	under Minnesota Statutes, section 197.791. 
118.16 	If the appropriation in this subdivision for 
118.17 	either year is insufficient, the appropriation 
118.18 	for the other year is available for it. 
118.19 	Of this appropriation, no more than three 
118.20 	percent$100,000 each year may be used for 
118.21 	the administrative costs of operating this 
118.22 	program.
118.23 	On June 1, 2009, the commissioner of finance 
118.24 	must determine the amount needed to fully 
118.25 	fund the grant program under Minnesota 
118.26 	Statutes, section 197.791, and must adjust the 
118.27 	appropriations in this section to the amount 
118.28 	needed to provide grants for all eligible 
118.29 	veterans.

118.30 	ARTICLE 9
118.31 	MILITARY AFFAIRS

118.32	Section 1. SUMMARY OF APPROPRIATIONS.
 	
119.1 	The amounts shown in this section summarize direct appropriations, by fund, made 
119.2 	in this article.

119.3			2008
		2009
		Total
	
119.4	General
	$
	-0-
	$
	390,000
	$
	390,000
	
119.5	Special Revenue
		-0-
		(338,000)
		(338,000)

119.6	Sec. 2. APPROPRIATIONS.
 	
119.7 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
119.8 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 45, article 3, to 
119.9 	the agencies and for the purposes specified in this article. The appropriations are from the 
119.10 	general fund or another named fund and are available for the fiscal years indicated for 
119.11 	each purpose. The figures "2008" and "2009" used in this article mean that the addition 
119.12 	to or subtraction from the appropriation listed under them is available for the fiscal year 
119.13 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
119.14 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 
119.15 	day following final enactment.

119.16				APPROPRIATIONS
	
119.17				Available for the Year
	
119.18				Ending June 30
	
119.19					2008
		2009

119.20	Sec. 3. MILITARY AFFAIRS
 	$
	-0-
	$
	52,000
	
119.21 	$75,000 in 2009 is to establish a state 
119.22 	enhancement of the employer support of the 
119.23 	guard and reserve program. The funding 
119.24 	base for this activity is $35,000 each year in 
119.25 	fiscal years 2010 and 2011.
119.26 	$135,000 in 2009 is to make $1,000 biannual 
119.27 	bonus payments to National Guard medics 
119.28 	who meet recertification requirements during 
119.29 	the fiscal year.
119.30 	$180,000 in 2009 is to add "state navigator" 
119.31 	positions to coordinate state agency programs 
119.32 	and activities to support and assist soldiers 
119.33 	and their families during and after the 
119.34 	reintegration process.
120.1 	$338,000 is a reduction in 2009 from the 
120.2 	special revenue fund appropriation from the 
120.3 	account established in Minnesota Statutes, 
120.4 	section 190.19. 

120.5 	Sec. 4. Minnesota Statutes 2007 Supplement, section 190.19, subdivision 2, is 
120.6 	amended to read:
120.7 		Subd. 2.Uses. (a) Money appropriated from the Minnesota "Support Our Troops" 
120.8 	account to the Department of Military Affairs may be used for:
120.9 	(1) grants directly to eligible individuals;
120.10 	(2) grants to one or more eligible foundations for the purpose of making grants to 
120.11 	eligible individuals, as provided in this section; or
120.12 	(3) veterans' services.; or
120.13 	(4) grants to family readiness groups chartered by the adjutant general.
120.14 	(b) As used in paragraph (a), the term, "eligible individual" includes any person 
120.15 	who is:
120.16 	(1) a member of the Minnesota National Guard or a reserve unit based in Minnesota 
120.17 	who has been called to active service as defined in section 190.05, subdivision 5;
120.18 	(2) a Minnesota resident who is a member of a military reserve unit not based 
120.19 	in Minnesota, if the member is called to active service as defined in section 190.05, 
120.20 	subdivision 5;
120.21 	(3) any other Minnesota resident performing active service for any branch of the 
120.22 	military of the United States; 
120.23 	(4) a person who served in one of the capacities listed in clause (1), (2), or (3) who 
120.24 	has current financial needs directly related to that service; and
120.25 	(5) a member of the immediate family of an individual identified in clause (1), (2), 
120.26 	(3), or (4). For purposes of this clause, "immediate family" means the individual's spouse 
120.27 	and minor children and, if they are dependents of the member of the military, the member's 
120.28 	parents, grandparents, siblings, stepchildren, and adult children.
120.29 	(c) As used in paragraph (a), the term "eligible foundation" includes any organization 
120.30 	that:
120.31 	(1) is a tax-exempt organization under section 501(c)(3) of the Internal Revenue 
120.32 	Code;
120.33 	(2) has articles of incorporation under chapter 317A specifying the purpose of 
120.34 	the organization as including the provision of financial assistance to members of the 
121.1 	Minnesota National Guard and other United States armed forces reserves and their 
121.2 	families and survivors; and
121.3 	(3) agrees in writing to distribute any grant money received from the adjutant general 
121.4 	under this section to eligible individuals as defined in this section and in accordance 
121.5 	with any written policies and rules the adjutant general may impose as conditions of the 
121.6 	grant to the foundation.
121.7 	(d) The maximum grant awarded to an eligible individual under paragraph (a) in a 
121.8 	calendar year with funds from the Minnesota "Support Our Troops" account, either through 
121.9 	an eligible institution or directly from the adjutant general, may not exceed $2,000.

121.10 	Sec. 5. Minnesota Statutes 2006, section 190.25, subdivision 3, is amended to read:
121.11 		Subd. 3.Sale; use of funds. The adjutant general is authorized to sell in the manner 
121.12 	provided by law any or all
121.13 	(1) land, and
121.14 	(2) timber, growing crops, buildings, and other improvements, if any, situated upon 
121.15 	the land, acquired under the authority of subdivision 1 or which may hereafter comprise 
121.16 	the Camp Ripley Military Field Training Center and not needed for military training 
121.17 	purposes. The proceeds of any sales shall be deposited in the general fund.
121.18 	The adjutant general may use funds that are directly appropriated for the acquisition 
121.19 	of land, the payment of expenses of forest management on land forming the Camp 
121.20 	Ripley Military Reservation, and the provision of an Enlisted Person's Service Center. If 
121.21 	amounts that are directly appropriated for these purposes in either year of a biennium are 
121.22 	insufficient, the appropriation for the other year of the biennium is available.

121.23 	Sec. 6. Minnesota Statutes 2006, section 190.25, is amended by adding a subdivision 
121.24 	to read:
121.25 		Subd. 3a.Timber sales; use of funds. The adjutant general is authorized to sell 
121.26 	in the manner provided by law any or all timber on land acquired under the authority of 
121.27 	subdivision 1 or which may hereafter comprise the Camp Ripley Military Field Training 
121.28 	Center. The proceeds of any sales of timber under this subdivision must be deposited in an 
121.29 	account in the special revenue fund and are appropriated to the adjutant general to be used 
121.30 	to manage the timber resources of Camp Ripley in a manner consistent with the camp's 
121.31 	purpose as lands for training armed forces.

121.32 	Sec. 7. [192.341] STATE ENHANCED EMPLOYER SUPPORT OF GUARD 
121.33 	AND RESERVE (ESGR) PROGRAM.
122.1 	The adjutant general is authorized to establish and administer a state enhancement 
122.2 	to the federal Employer Support of Guard and Reserve (ESGR) Program. The adjutant 
122.3 	general shall develop policy and guidelines for the administration of the program 
122.4 	established under this section.

122.5 	Sec. 8. Minnesota Statutes 2006, section 192.501, is amended by adding a subdivision 
122.6 	to read:
122.7 		Subd. 1c.Medic recertification bonus program. (a) The adjutant general 
122.8 	may establish a program to provide a recertification bonus to eligible members of the 
122.9 	Minnesota National Guard who recertify as emergency medical technicians (EMTs) in 
122.10 	the National Guard within the limitations of this subdivision. The bonus payments are 
122.11 	intended to generally encourage a member's continuing certification as an EMT.
122.12 	(b) Eligibility for the recertification bonus is limited to a member of the National 
122.13 	Guard who:
122.14 	(1) is serving satisfactorily as determined by the adjutant general; and
122.15 	(2) has successfully completed the training required for recertification and warrants 
122.16 	the payment of a bonus.
122.17 	(c) The adjutant general may, within the limitations of this subdivision and other 
122.18 	applicable laws, determine additional eligibility criteria for the bonus, and must specify all 
122.19 	of the criteria in regulations and publish changes as necessary.
122.20 	(d) Payments under this subdivision must be made on a schedule that is determined 
122.21 	and published in department regulations by the adjutant general.

122.22 	Sec. 9. Minnesota Statutes 2006, section 192.501, is amended by adding a subdivision 
122.23 	to read:
122.24 		Subd. 2a.Usage of tuition and textbook reimbursement grant program by 
122.25 	spouse permitted. (a) Notwithstanding the eligibility limitations of subdivision 2, 
122.26 	paragraph (b), the spouse of a person eligible under subdivision 2, paragraph (b), is 
122.27 	eligible to use up to 12 semester hours per year, or the equivalent amount of quarter 
122.28 	credits, of that eligible person's unused tuition reimbursement benefit for each year of 
122.29 	service in the Minnesota National Guard after the eighth year of such service.
122.30 	(b) Total benefits under this subdivision cannot exceed the total unused portion of 
122.31 	the service member's benefit. A service member's and spouse's eligibility for tuition 
122.32 	reimbursement under this subdivision is limited by the provisions of subdivision 2, 
122.33 	paragraph (g).

123.1 	Sec. 10. STARBASE STUDY.
 123.2 	The appropriation in Laws 2007, chapter 45, article 3, section 2, subdivision 3, for 
123.3 	a longitudinal study measuring improvement in academic achievement as a result of 
123.4 	participation in the Starbase program is available until June 30, 2009. The Department of 
123.5 	Military Affairs must contract with the Wilder Foundation to conduct the study.

123.6 	EFFECTIVE DATE. This section is effective the day following final enactment.

123.7 	Sec. 11. NATIONAL GUARD YOUTH CHALLENGE PROGRAM STUDY.
 123.8 	The adjutant general and the Department of Military Affairs shall study participation 
123.9 	by the Minnesota National Guard in the National Guard Youth Challenge Program 
123.10 	promoted by the National Guard Youth Foundation. The adjutant general shall report on 
123.11 	the study and make recommendations to the governor and the committees of the senate 
123.12 	and the house of representatives with jurisdiction over National Guard programs by 
123.13 	January 15, 2009. The study must include:
123.14 	(1) possible locations for the Minnesota National Guard Youth Challenge Program;
123.15 	(2) estimated start-up costs for the program;
123.16 	(3) application and establishment procedures and resources required to apply for 
123.17 	and establish the program; and
123.18 	(4) a survey of similar programs established in other states and how each state comes 
123.19 	up with the state match required to obtain federal funds.

123.20 	ARTICLE 10
123.21 	ECONOMIC DEVELOPMENT

123.22	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
123.23 	The amounts shown in this section summarize direct appropriations, by fund, made 
123.24 	in this article.

123.25			2008
		2009
		Total
	
123.26	General
	$
	(2,425,000)
	$
	1,512,000
	$
	(913,000)

123.27	Sec. 2. APPROPRIATIONS.
 	
123.28 	The dollar amounts in the columns under "APPROPRIATIONS" are added to or, 
123.29 	if shown in parentheses, subtracted from the appropriations in Laws 2007, chapter 135, 
123.30 	or other law to the specified agencies. The appropriations are from the general fund, or 
123.31 	another named fund, and are available for the fiscal years indicated for each purpose. The 
123.32 	figures "2008" and "2009" used in this article mean that the appropriations listed under 
123.33 	them are available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. 
124.1 	"The first year" is fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" 
124.2 	is fiscal years 2008 and 2009. Appropriations for the fiscal year ending June 30, 2008, are 
124.3 	effective the day following final enactment.

124.4				APPROPRIATIONS
	
124.5				Available for the Year
	
124.6				Ending June 30
	
124.7					2008
		2009

124.8
124.9	Sec. 3. EMPLOYMENT AND ECONOMIC 
DEVELOPMENT

124.10	Subdivision 1.Total Appropriation
 	$
	(3,000,000)
	$
	 445,000
	
124.11 	The appropriation additions or reductions 
124.12 	for each purpose are shown in the following 
124.13 	subdivisions.

124.14
124.15	Subd. 2.Employment and Economic 
Development
 		-0-
		(550,000)
	
124.16 	This is an ongoing base reduction to 
124.17 	the department's operating budget. This 
124.18 	reduction must not result in layoffs.

124.19
124.20	Subd. 3.Business and Community 
Development
 		(3,000,000)
		800,000
	
124.21 	(a) $400,000 in the second year is for the 
124.22 	establishment and operation of the Office of 
124.23 	Science and Technology. This is a onetime 
124.24 	appropriation and is available until expended.
124.25 	(b) $400,000 in the second year is a onetime 
124.26 	appropriation for transfer to the revolving 
124.27 	loan account created in Minnesota Statutes, 
124.28 	section 116J.996, subdivision 3, for the 
124.29 	military reservist economic injury loan 
124.30 	program, resulting from a call to active 
124.31 	military duty.

124.32	Subd. 4.Workforce Development
 		-0-
		195,000
	
124.33 	(a) $120,000 in the second year is for a 
124.34 	grant to HIRED to operate its industry 
124.35 	sector training initiatives, which provide 
125.1 	employee training developed in collaboration 
125.2 	with employers in specific, high-demand 
125.3 	industries. This is a onetime appropriation.
125.4 	(b) $75,000 in the second year is for a grant 
125.5 	to Lifetrack Resources for a onetime pilot 
125.6 	project in Rochester focusing on immigrant 
125.7 	and refugee collaborative programs, 
125.8 	including those related to job-seeking skills 
125.9 	and workplace orientation, intensive job 
125.10 	development, functional work English, and 
125.11 	on-site job coaching. This is a onetime 
125.12 	appropriation and is available until expended.

125.13	Subd. 5. Cancellations
 					
125.14 	By July 31, 2008, the commissioner of 
125.15 	finance shall cancel the unencumbered 
125.16 	balance of the appropriation in Laws 2005, 
125.17 	First Special Session chapter 3, article 10, 
125.18 	section 23, to the foreign trade zone authority, 
125.19 	estimated to be $608,000, to the general fund.
125.20 	By July 31, 2008, the commissioner of 
125.21 	finance shall cancel $2,000,000 of the 
125.22 	balance in the job skills partnership account 
125.23 	to the general fund.

125.24	Subd. 6.Transfers In
 					
125.25 	By July 31, 2008, the commissioner of 
125.26 	finance shall transfer the unencumbered 
125.27 	balance of the appropriation in Laws 
125.28 	2005, First Special Session chapter 1, 
125.29 	article 3, section 2, subdivision 2, for 
125.30 	the methamphetamine laboratory cleanup 
125.31 	revolving loan account in the public facilities 
125.32 	authority fund, estimated to be $150,000, to 
125.33 	the general fund.
126.1 	By July 31, 2008, the commissioner of 
126.2 	finance shall transfer $8,000,000 of the 
126.3 	unencumbered balance in the workforce 
126.4 	development fund to the general fund.

126.5
126.6	Subd. 7.Minnesota Minerals 21st Century 
Fund
 					
126.7 	Notwithstanding Minnesota Statutes, 
126.8 	section 116J.423, by June 30, 2009, the 
126.9 	commissioner shall make a $1,000,000 grant 
126.10 	and a $1,000,000 loan from the Minnesota 
126.11 	Minerals 21st Century Fund to Magnetation, 
126.12 	Inc. for reclamation of iron ore.

126.13	Sec. 4. LABOR AND INDUSTRY

126.14	Subdivision 1.Base Reduction
 	$
	-0-
	$
	(43,000)
	
126.15 	$43,000 in the second year is a base 
126.16 	reduction. The commissioner must not 
126.17 	reduce funding available for prevailing wage 
126.18 	enforcement and must fill all positions when 
126.19 	vacancies become available.

126.20	Subd. 2.Transfers In
 					
126.21 	By June 30, 2009, the commissioner of 
126.22 	finance shall transfer $2,000,000 from the 
126.23 	construction code fund under Minnesota 
126.24 	Statutes, section 326B.04, to the general 
126.25 	fund.

126.26
126.27	Sec. 5. BUREAU OF MEDIATION 
SERVICES
 	$
	-0-
	$
	(69,000)
	
126.28 	This is a base reduction.

126.29	Sec. 6. EXPLORE MINNESOTA TOURISM
 	$
	-0-
	$
	1,299,000
	
126.30 	(a) $1,299,000 is for a grant to the Minnesota 
126.31 	Film and TV Board for the jobs production 
126.32 	program under Minnesota Statutes, section 
127.1 	116U.26. This is a onetime appropriation and 
127.2 	is in addition to any other appropriation for 
127.3 	the jobs program under Minnesota Statutes, 
127.4 	section 116U.26. This appropriation is 
127.5 	available until expended.
127.6 	(b) $500,000 of the balance in the special 
127.7 	marketing account established pursuant to 
127.8 	Laws 2005, First Special Session chapter 
127.9 	1, article 3, section 6, must be used for a 
127.10 	onetime grant to the Minnesota Film and 
127.11 	TV Board for the production of a film in 
127.12 	Minnesota in calendar years 2008 and 2009. 
127.13 	The grant is in addition to any payments 
127.14 	made for the same purpose from the film 
127.15 	production jobs program under Minnesota 
127.16 	Statutes, section 116U.26. This appropriation 
127.17 	is available until expended.

127.18	Sec. 7. HOUSING FINANCE AGENCY
 	$
	-0-
	$
	(200,000)
	
127.19 	This is a onetime reduction.

127.20
127.21	Sec. 8. MINNESOTA BOXING 
COMMISSION
 	$
	-0-
	$
	80,000
	
127.22 	This amount is added to the commission's or 
127.23 	its successor's base budget.

127.24
127.25	Sec. 9. MINNESOTA HISTORICAL 
SOCIETY
 	$
	575,000
	$
	-0-
	
127.26 	$575,000 in the first year is a onetime 
127.27 	appropriation for the Minnesota 
127.28 	Sesquicentennial Commission. The 
127.29 	Minnesota Historical Society, the State Arts 
127.30 	Board, and Explore Minnesota Tourism 
127.31 	may assist the commission in designing 
127.32 	and implementing the grants program. 
127.33 	The commission shall encourage private 
127.34 	contributions to match the state money to the 
128.1 	greatest extent possible. Any gifts, pledges, 
128.2 	membership fees, or contributions received 
128.3 	by the commission are appropriated to the 
128.4 	commission. This appropriation is available 
128.5 	until June 30, 2009.

128.6 	Sec. 10. [116J.996] MILITARY RESERVIST ECONOMIC INJURY LOANS.
128.7 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this 
128.8 	section.
128.9 	(b) "Active service" has the meaning given in section 190.05.
128.10 	(c) "Commissioner" means the commissioner of employment and economic 
128.11 	development.
128.12 	(d) "Eligible business" means a small business, as defined in section 645.445, that 
128.13 	was operating in Minnesota on the date a military reservist received orders for active 
128.14 	service.
128.15 	(e) "Essential employee" means a military reservist who is an owner or employee 
128.16 	of an eligible business and whose managerial or technical expertise is critical to the 
128.17 	day-to-day operation of the eligible business.
128.18 	(f) "Military reservist" means a member of the reserve component of the armed 
128.19 	forces.
128.20 	(g) "Reserve component of the armed forces" has the meaning given it in United 
128.21 	States Code, title 10, section 101(c).
128.22 	(h) "Substantial economic injury" means an economic harm to an eligible business 
128.23 	that results in the inability of the eligible business to:
128.24 	(1) meet its obligations as they mature;
128.25 	(2) pay its ordinary and necessary operating expenses; or
128.26 	(3) manufacture, produce, market, or provide a product or service ordinarily 
128.27 	manufactured, produced, marketed, or provided by the eligible business.
128.28 		Subd. 2.Loan program. The commissioner may make onetime, interest-free loans 
128.29 	of up to $20,000 per borrower to eligible businesses that have sustained or are likely to 
128.30 	sustain substantial economic injury as a result of the call to active service for 180 days 
128.31 	or more of an essential employee. Loans must be made for the purpose of preventing, 
128.32 	remedying, or ameliorating the substantial economic injury.
128.33 		Subd. 3.Revolving loan account. The commissioner shall use money appropriated 
128.34 	for the purpose to establish a revolving loan account. All repayments of loans made 
128.35 	under this section must be deposited into this account. Interest earned on money in the 
129.1 	account accrues to the account. Money in the account is appropriated to the commissioner 
129.2 	for purposes of the loan program created in this section, including costs incurred by the 
129.3 	commissioner to establish and administer the program.
129.4 		Subd. 4.Rules. Using the expedited rulemaking procedures of section 14.389, the 
129.5 	commissioner shall develop and publish expedited rules for loan applications, use of 
129.6 	funds, needed collateral, terms of loans, and other details of military reservist economic 
129.7 	injury loans.

129.8 	EFFECTIVE DATE. This section is effective the day following final enactment.

129.9 	Sec. 11. Minnesota Statutes 2006, section 116L.04, subdivision 1, is amended to read:
129.10 		Subdivision 1.Partnership program. (a) The partnership program may provide 
129.11 	grants-in-aid to educational or other nonprofit educational institutions using the following 
129.12 	guidelines:
129.13 	(1) the educational or other nonprofit educational institution is a provider of training 
129.14 	within the state in either the public or private sector;
129.15 	(2) the program involves skills training that is an area of employment need; and
129.16 	(3) preference will be given to educational or other nonprofit training institutions 
129.17 	which serve economically disadvantaged people, minorities, or those who are victims of 
129.18 	economic dislocation and to businesses located in rural areas.
129.19 	(b) A single grant to any one institution shall not exceed $400,000. A portion of a 
129.20 	grant may be used for preemployment training.
129.21 	(c) Each institution must provide for the dissemination of summary results of a 
129.22 	grant-funded project, including, but not limited to, information about curriculum and 
129.23 	all supporting materials developed in conjunction with the grant. Results of projects 
129.24 	developed by any Minnesota State Colleges and Universities system institution must 
129.25 	be disseminated throughout the system.

129.26 	Sec. 12. Minnesota Statutes 2006, section 116L.05, subdivision 3, is amended to read:
129.27 		Subd. 3.Use of funds. The Job Skills Partnership Board may use up to six percent 
129.28 	of any funds it receives, regardless of the source, for activities authorized under section 
129.29 	116L.04, subdivision 2. The board may also use a portion of these funds to collect and 
129.30 	disseminate information on the activities under section 116L.04, subdivision 2. The board 
129.31 	must plan for the statewide dissemination of the results, curriculum, and supporting 
129.32 	materials of these grant-funded projects.

129.33 	Sec. 13. Minnesota Statutes 2006, section 116L.05, subdivision 5, is amended to read:
130.1 		Subd. 5.Use of workforce development funds. After March 1 of any fiscal year, 
130.2 	the board may use workforce development funds for the purposes outlined in sections 
130.3 	116L.04, 116L.06, and 116L.10 to 116L.14, or to provide incumbent worker training 
130.4 	services under section 116L.18 if the following conditions have been met:
130.5 	(1) the board examines relevant economic indicators, including the projected 
130.6 	number of layoffs for the remainder of the fiscal year and the next fiscal year, evidence of 
130.7 	declining and expanding industries, the number of initial applications for and the number 
130.8 	of exhaustions of unemployment benefits, job vacancy data, and any additional relevant 
130.9 	information brought to the board's attention;
130.10 	(2) the board accounts for all allocations made in section 116L.17, subdivision 2;
130.11 	(3) based on the past expenditures and projected revenue, the board estimates future 
130.12 	funding needs for services under section 116L.17 for the remainder of the current fiscal 
130.13 	year and the next fiscal year;
130.14 	(4) the board determines there will be unspent funds after meeting the needs of 
130.15 	dislocated workers in the current fiscal year and there will be sufficient revenue to meet 
130.16 	the needs of dislocated workers in the next fiscal year; and
130.17 	(5) the board reports its findings in clauses (1) to (4) to the chairs of legislative 
130.18 	committees with jurisdiction over the workforce development fund, to the commissioners 
130.19 	of revenue and finance, and to the public.

130.20 	Sec. 14. Minnesota Statutes 2006, section 116L.16, is amended to read:
130.21 	116L.16 DISTANCE-WORK GRANTS.
130.22 	The Job Skills Partnership Board may make grants-in-aid for distance-work 
130.23 	projects. The purpose of the grants is to promote distance-work projects involving 
130.24 	technology in rural areas and may include a consortium of organizations partnering 
130.25 	in the development of rural technology industry. Grants may be used to identify and 
130.26 	train rural workers in technology, act as a catalyst to bring together employers and rural 
130.27 	employees to perform distance work, and provide rural workers with physical connections 
130.28 	to telecommunications infrastructure, where necessary, in order to be self-employed or 
130.29 	employed from their homes or satellite offices. Grants must be made according to sections 
130.30 	116L.02 and 116L.04, except that: 
130.31 	(1) the business match may include, but is not limited to, office space; 
130.32 	additional management or technology staff costs; start-up equipment costs such as 
130.33 	telecommunications infrastructure, additional software, or computer upgrades; consulting 
130.34 	fees for implementation of distance-work policies or identification and skill assessment 
131.1 	of potential employees; and the joint financial contribution of two or more businesses 
131.2 	acting as a consortium;
131.3 	(2) cash or in-kind contributions by partnering organizations may be used as a match;
131.4 	(3) eligible grantees may be educational or nonprofit educational training 
131.5 	organizations; and 
131.6 	(4) grants-in-aid may be packaged with loans under section 116L.06, subdivision 
131.7 	6; and
131.8 	(5) with respect to grants serving as a catalyst to bring together employers and rural 
131.9 	employees to perform distance work, the match must be at least one-to-two.
131.10 	The board shall, to the extent there are sufficient applications, make grant awards 
131.11 	to as many parts of the state as possible. Subject to the requirement for geographic 
131.12 	distribution of grants, preference shall be given to grant applications that provide the most 
131.13 	cost-effective training proposals, that provide the best prospects for high-paying jobs 
131.14 	with high retention rates, or that are from more economically distressed rural areas or 
131.15 	communities.
131.16 	Grantees must meet reporting and evaluation requirements established by the board.

131.17 	Sec. 15. Minnesota Statutes 2007 Supplement, section 116L.17, subdivision 1, is 
131.18 	amended to read:
131.19 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms 
131.20 	have the meanings given them in this subdivision.
131.21 	(b) "Commissioner" means the commissioner of employment and economic 
131.22 	development.
131.23 	(c) "Dislocated worker" means an individual who is a resident of Minnesota at the 
131.24 	time employment ceased or was working in the state at the time employment ceased and:
131.25 	(1) has been permanently separated or has received a notice of permanent separation 
131.26 	from public or private sector employment and is eligible for or has exhausted entitlement 
131.27 	to unemployment benefits, and is unlikely to return to the previous industry or occupation;
131.28 	(2) has been long-term unemployed and has limited opportunities for employment 
131.29 	or reemployment in the same or a similar occupation in the area in which the individual 
131.30 	resides, including older individuals who may have substantial barriers to employment by 
131.31 	reason of age;
131.32 	(3) has been terminated or has received a notice of termination of employment as a 
131.33 	result of a plant closing or a substantial layoff at a plant, facility, or enterprise;
132.1 	(4) has been self-employed, including farmers and ranchers, and is unemployed as a 
132.2 	result of general economic conditions in the community in which the individual resides 
132.3 	or because of natural disasters;
132.4 	(5) has been permanently separated from employment in a restaurant, bar, or 
132.5 	lawful gambling organization from October 1, 2007, to October 1, 2009, due to the 
132.6 	implementation of any state law prohibiting smoking; or
132.7 	(6) is a veteran as defined by section 197.447, has been discharged or released from 
132.8 	active duty under honorable conditions within the last 36 months, and (i) is unemployed 
132.9 	or (ii) is employed in a job verified to be below the skill level and earning capacity of 
132.10 	the veteran; or
132.11 	(6)(7) is a displaced homemaker. A "displaced homemaker" is an individual who 
132.12 	has spent a substantial number of years in the home providing homemaking service and 
132.13 	(i) has been dependent upon the financial support of another; and now due to divorce, 
132.14 	separation, death, or disability of that person, must find employment to self support; or (ii) 
132.15 	derived the substantial share of support from public assistance on account of dependents 
132.16 	in the home and no longer receives such support.
132.17 	To be eligible under this clause, the support must have ceased while the worker 
132.18 	resided in Minnesota.
132.19 	(d) "Eligible organization" means a state or local government unit, nonprofit 
132.20 	organization, community action agency, business organization or association, or labor 
132.21 	organization.
132.22 	(e) "Plant closing" means the announced or actual permanent shutdown of a single 
132.23 	site of employment, or one or more facilities or operating units within a single site of 
132.24 	employment.
132.25 	(f) "Substantial layoff" means a permanent reduction in the workforce, which is 
132.26 	not a result of a plant closing, and which results in an employment loss at a single site 
132.27 	of employment during any 30-day period for at least 50 employees excluding those 
132.28 	employees that work less than 20 hours per week.

132.29 	EFFECTIVE DATE. This section is effective the day following final enactment.

132.30 	Sec. 16. Minnesota Statutes 2006, section 116L.20, subdivision 2, is amended to read:
132.31 		Subd. 2.Disbursement of special assessment funds. (a) The money collected 
132.32 	under this section shall be deposited in the state treasury and credited to the workforce 
132.33 	development fund to provide for employment and training programs. The workforce 
132.34 	development fund is created as a special account in the state treasury.
133.1 	(b) All money in the fund not otherwise appropriated or transferred is appropriated 
133.2 	to the Job Skills Partnership Board for the purposes of section 116L.17 and as provided for 
133.3 	in paragraph (d). The board must act as the fiscal agent for the money and must disburse 
133.4 	that money for the purposes of section 116L.17, not allowing the money to be used for 
133.5 	any other obligation of the state. All money in the workforce development fund shall be 
133.6 	deposited, administered, and disbursed in the same manner and under the same conditions 
133.7 	and requirements as are provided by law for the other special accounts in the state treasury, 
133.8 	except that all interest or net income resulting from the investment or deposit of money in 
133.9 	the fund shall accrue to the fund for the purposes of the fund.
133.10 	(c) Reimbursement for costs related to collection of the special assessment shall be 
133.11 	in an amount negotiated between the commissioner and the United States Department 
133.12 	of Labor.
133.13 	(d) If the board determines that the conditions of section 116L.05, subdivision 5, 
133.14 	have been met, the board may use funds for the purposes outlined in sections 116L.04, 
133.15 	116L.06, and 116L.10 to 116L.14, or to provide incumbent worker training services under 
133.16 	section 116L.18.

133.17 	Sec. 17. Minnesota Statutes 2006, section 116U.26, is amended to read:
133.18 	116U.26 FILM JOBS PRODUCTION PROGRAM.
133.19 	(a) The film production jobs program is created. The program shall be operated 
133.20 	by the Minnesota Film and TV Board with administrative oversight and control by the 
133.21 	director of Explore Minnesota Tourism. The program shall make payment to producers 
133.22 	of feature films, national television or Internet programs, documentaries, music videos, 
133.23 	and commercials that directly create new film jobs in Minnesota. To be eligible for a 
133.24 	payment, a producer must submit documentation to the Minnesota Film and TV Board of 
133.25 	expenditures for production costs incurred in Minnesota that are directly attributable to the 
133.26 	production in Minnesota of a film product. 
133.27 	The Minnesota Film and TV Board shall make recommendations to the director of 
133.28 	Explore Minnesota Tourism about program payment, but the director has the authority to 
133.29 	make the final determination on payments. The director's determination must be based 
133.30 	on proper documentation of eligible production costs submitted for payments. No more 
133.31 	than five percent of the funds appropriated for the program in any year may be expended 
133.32 	for administration. 
133.33 	(b) For the purposes of this section:
133.34 	(1) "production costs" means the cost of the following:
133.35 	(i) a story and scenario to be used for a film;
134.1 	(ii) salaries of talent, management, and labor, including payments to personal 
134.2 	services corporations for the services of a performing artist;
134.3 	(iii) set construction and operations, wardrobe, accessories, and related services;
134.4 	(iv) photography, sound synchronization, lighting, and related services;
134.5 	(v) editing and related services;
134.6 	(vi) rental of facilities and equipment; or
134.7 	(vii) other direct costs of producing the film in accordance with generally accepted 
134.8 	entertainment industry practice; and
134.9 	(2) "film" means a movie feature film, television or Internet show, documentary, 
134.10 	music video, or television commercial, whether on film or, video, or digital media. Film 
134.11 	does not include news, current events, public programming, or a program that includes 
134.12 	weather or market reports; a talk show; a production with respect to a questionnaire or 
134.13 	contest; a sports event or sports activity; a gala presentation or awards show; a finished 
134.14 	production that solicits funds; or a production for which the production company is 
134.15 	required under United States Code, title 18, section 2257, to maintain records with respect 
134.16 	to a performer portrayed in a single-media or multimedia program.
134.17 	(c) Notwithstanding any other law to the contrary, the Minnesota Film and TV Board 
134.18 	may make reimbursements of up to 20 percent of film production costs for films that incur 
134.19 	production costs in excess of $5,000,000 in Minnesota within a 12-month period.

134.20 	EFFECTIVE DATE. This section is effective for films that are certified by the 
134.21 	Minnesota Film and TV Board on or after the day following final enactment. 

134.22 	Sec. 18. Minnesota Statutes 2006, section 298.223, subdivision 2, is amended to read:
134.23 		Subd. 2.Administration. (a) The taconite area environmental protection fund shall 
134.24 	be administered by the commissioner of the Iron Range Resources and Rehabilitation 
134.25 	Board. The commissioner shall by September 1 of each year submit to the board a list 
134.26 	of projects to be funded from the taconite area environmental protection fund, with such 
134.27 	supporting information including description of the projects, plans, and cost estimates as 
134.28 	may be necessary. 
134.29 	(b) Each year no less than one-half of the amounts deposited into the taconite 
134.30 	environmental protection fund must be used for public works projects, including 
134.31 	construction of sewer and water systems, as specified under subdivision 1, paragraph (c). 
134.32 	The Iron Range Resources and Rehabilitation Board with a majority vote of the members, 
134.33 	may waive the requirements of this paragraph. 
134.34 	(c) Upon approval by a majority of the members of the Iron Range Resources and 
134.35 	Rehabilitation Board, thisthe list of projects approved under this subdivision shall be 
135.1 	submitted to the governor by November 1 of each year. By December 1 of each year, the 
135.2 	governor shall approve or disapprove, or return for further consideration, each project. 
135.3 	Funds for a project may be expended only upon approval of the project by the board and 
135.4 	governor. The commissioner may submit supplemental projects to the board and governor 
135.5 	for approval at any time.

135.6 	EFFECTIVE DATE. This section is effective for distributions beginning in 2009.

135.7 	Sec. 19. Minnesota Statutes 2006, section 298.28, subdivision 9d, as added by Laws 
135.8 	2008, chapter 154, article 8, section 9, is amended to read:
135.9 		Subd. 9d. Iron Range higher education account. TwoFive cents per taxable ton 
135.10 	must be allocated to the Iron Range Resources and Rehabilitation Board to be deposited 
135.11 	in an Iron Range higher education account that is hereby created, to be used for higher 
135.12 	education programs conducted at educational institutions in the taconite assistance area 
135.13 	defined in section 273.1341. The Iron Range Higher Education committee under section 
135.14 	298.2214 and the Iron Range Resources and Rehabilitation Board must approve all 
135.15 	expenditures from the account. 

135.16 	Sec. 20. Minnesota Statutes 2006, section 298.292, subdivision 2, as amended by Laws 
135.17 	2008, chapter 154, article 8, section 11, is amended to read:
135.18 		Subd. 2. Use of money. Money in the Douglas J. Johnson economic protection trust 
135.19 	fund may be used for the following purposes: 
135.20 	(1) to provide loans, loan guarantees, interest buy-downs and other forms of 
135.21 	participation with private sources of financing, but a loan to a private enterprise shall be 
135.22 	for a principal amount not to exceed one-half of the cost of the project for which financing 
135.23 	is sought, and the rate of interest on a loan to a private enterprise shall be no less than the 
135.24 	lesser of eight percent or an interest rate three percentage points less than a full faith 
135.25 	and credit obligation of the United States government of comparable maturity, at the 
135.26 	time that the loan is approved; 
135.27 	(2) to fund reserve accounts established to secure the payment when due of the 
135.28 	principal of and interest on bonds issued pursuant to section 298.2211; 
135.29 	(3) to pay in periodic payments or in a lump sum payment any or all of the interest 
135.30 	on bonds issued pursuant to chapter 474 for the purpose of constructing, converting, 
135.31 	or retrofitting heating facilities in connection with district heating systems or systems 
135.32 	utilizing alternative energy sources; 
135.33 	(4) to invest in a venture capital fund or enterprise that will provide capital to other 
135.34 	entities that are engaging in, or that will engage in, projects or programs that have the 
136.1 	purposes set forth in subdivision 1. No investments may be made in a venture capital fund 
136.2 	or enterprise unless at least two other unrelated investors make investments of at least 
136.3 	$500,000 in the venture capital fund or enterprise, and the investment by the Douglas 
136.4 	J. Johnson economic protection trust fund may not exceed the amount of the largest 
136.5 	investment by an unrelated investor in the venture capital fund or enterprise. For purposes 
136.6 	of this subdivision, an "unrelated investor" is a person or entity that is not related to 
136.7 	the entity in which the investment is made or to any individual who owns more than 40 
136.8 	percent of the value of the entity, in any of the following relationships: spouse, parent, 
136.9 	child, sibling, employee, or owner of an interest in the entity that exceeds ten percent of 
136.10 	the value of all interests in it. For purposes of determining the limitations under this 
136.11 	clause, the amount of investments made by an investor other than the Douglas J. Johnson 
136.12 	economic protection trust fund is the sum of all investments made in the venture capital 
136.13 	fund or enterprise during the period beginning one year before the date of the investment 
136.14 	by the Douglas J. Johnson economic protection trust fund; and 
136.15 	(5) to purchase forest land in the taconite assistance area defined in section 273.1341
136.16 	to be held and managed as a public trust for the benefit of the area for the purposes 
136.17 	authorized in section 298.22, subdivision 5a. Property purchased under this section may 
136.18 	be sold by the commissioner upon approval by a majority vote of the board. The net 
136.19 	proceeds must be deposited in the trust fund for the purposes and uses of this section.
136.20 	Money from the trust fund shall be expended only in or for the benefit of the taconite 
136.21 	assistance area defined in section 273.1341. 

136.22 	Sec. 21. Minnesota Statutes 2006, section 298.2961, subdivision 2, is amended to read:
136.23 		Subd. 2.Projects; approval. (a) Projects funded must be for:
136.24 	(1) environmentally unique reclamation projects; or
136.25 	(2) pit or plant repairs, expansions, or modernizations other than for a value added 
136.26 	iron products plant; or.
136.27 	(3) haulage trucks and equipment and mining shovels.
136.28 	(b) To be proposed by the board, a project must be approved by at least eight Iron 
136.29 	Range Resources and Rehabilitation Board members. The money for a project may 
136.30 	be spent only upon approval of the project by the governor. The board may submit 
136.31 	supplemental projects for approval at any time.
136.32 	(c) The board may require that it receive an equity percentage in any project to 
136.33 	which it contributes under this section.

136.34 	Sec. 22. Minnesota Statutes 2006, section 446A.12, subdivision 1, is amended to read:
137.1 		Subdivision 1.Bonding authority. The authority may issue negotiable bonds in a 
137.2 	principal amount that the authority determines necessary to provide sufficient funds for 
137.3 	achieving its purposes, including the making of loans and purchase of securities, the 
137.4 	payment of interest on bonds of the authority, the establishment of reserves to secure 
137.5 	its bonds, the payment of fees to a third party providing credit enhancement, and the 
137.6 	payment of all other expenditures of the authority incident to and necessary or convenient 
137.7 	to carry out its corporate purposes and powers, but not including the making of grants. 
137.8 	Bonds of the authority may be issued as bonds or notes or in any other form authorized 
137.9 	by law. The principal amount of bonds issued and outstanding under this section at any 
137.10 	time may not exceed $1,500,000,000, excluding bonds for which refunding bonds or 
137.11 	crossover refunding bonds have been issued., and excluding any bonds issued for the 
137.12 	credit enhanced bond program or refunding or crossover refunding bonds issued under the 
137.13 	program. The principal amount of bonds issued and outstanding under section 446A.087, 
137.14 	may not exceed $500,000,000, excluding bonds for which refunding bonds or crossover 
137.15 	refunding bonds have been issued.

137.16 	Sec. 23. Minnesota Statutes 2006, section 462A.22, subdivision 1, is amended to read:
137.17 		Subdivision 1.Debt ceiling. The aggregate principal amount of bonds and notes 
137.18 	which are outstanding at any time, excluding the principal amount of any bonds and 
137.19 	notes refunded by the issuance of new bonds or notes, shall not exceed the sum of 
137.20 	$3,000,000,000 $5,000,000,000.

137.21 	Sec. 24. Laws 1999, chapter 223, article 2, section 72, is amended to read:
137.22 	Sec. 72. UPPER RED LAKE BUSINESS LOAN PROGRAM.
 137.23 	The commissioner of trade and economic development must make loans to 
137.24 	businesses in the Upper Red Lake area that have been severely affected by the significant 
137.25 	decline of the walleye fishing resource in Upper Red Lake. The loans may only be 
137.26 	made to businesses that operated in 1998. A business must submit an application to the 
137.27 	commissioner on forms provided by the commissioner. The application must include a 
137.28 	business plan for continued operation, with the assistance of the loan, until the walleye 
137.29 	fishing resource recovers. The commissioner shall allocate available loan funds to a 
137.30 	business based on the commissioner's evaluation of the probable success of its business 
137.31 	plan. A loan shall be for a maximum amount of $75,000 and a duration of ten years from 
137.32 	the date of the loan and shall be interest free. Repayment of a loan in monthly payments 
137.33 	of 1/120 of the original principal amount must begin no later than one year after walleye 
137.34 	fishing on Upper Red Lake is allowed by the department of natural resources recovered 
138.1 	to a bag limit of six. Any principal balance remaining at the end of the ten-year period 
138.2 	shall be forgiven if the business continues in operation for the ten-year period. Loan 
138.3 	repayments shall be deposited in the general fund.

138.4 	EFFECTIVE DATE. This section is effective the day following final enactment.

138.5 	Sec. 25. Laws 2007, chapter 135, article 1, section 3, subdivision 2, is amended to read:

138.6
138.7	Subd. 2. Business and Community 
Development
 		40,667,000 
		8,639,000 

138.8	Appropriations by Fund
	
138.9	General
	39,967,000 
	7,939,000 
	
138.10	Remediation
	700,000 
	700,000 
	
138.11 	(a) (1) $250,000 the first year and $250,000 
138.12 	the second year are from the general fund 
138.13 	for a grant under Minnesota Statutes, 
138.14 	section 116J.421, to the Rural Policy and 
138.15 	Development Center at St. Peter, Minnesota. 
138.16 	The grant shall be used for research and 
138.17 	policy analysis on emerging economic and 
138.18 	social issues in rural Minnesota, to serve as 
138.19 	a policy resource center for rural Minnesota 
138.20 	communities, to encourage collaboration 
138.21 	across higher education institutions to 
138.22 	provide interdisciplinary team approaches 
138.23 	to research and problem-solving in rural 
138.24 	communities, and to administer overall 
138.25 	operations of the center. 
138.26 	(2) The grant shall be provided upon the 
138.27 	condition that each state-appropriated 
138.28 	dollar be matched with a nonstate dollar. 
138.29 	Acceptable matching funds are nonstate 
138.30 	contributions that the center has received and 
138.31 	have not been used to match previous state 
138.32 	grants. Any unencumbered balance in the 
138.33 	first year is available for the second year. 
139.1 	(b) $250,000 the first year and $250,000 
139.2 	the second year are from the general fund 
139.3 	for a grant to WomenVenture for women's 
139.4 	business development programs. 
139.5 	(c) $250,000 the first year is for a grant to 
139.6 	University Enterprise Laboratories (UEL) 
139.7 	for its direct and indirect expenses to support 
139.8 	efforts to encourage the growth of early-stage 
139.9 	and emerging bioscience companies. UEL 
139.10 	must provide a report by June 30 each year 
139.11 	to the commissioner on the expenditures 
139.12 	until the appropriation is expended. This is a 
139.13 	onetime appropriation and is available until 
139.14 	expended. 
139.15 	(d) $2,000,000 the first year is for grants 
139.16 	under Minnesota Statutes, section 116J.571, 
139.17 	for the redevelopment grant program. This is 
139.18 	a onetime appropriation. 
139.19 	(e) $100,000 the first year and $100,000 the 
139.20 	second year are to help small businesses 
139.21 	access federal funds through the federal 
139.22 	Small Business Innovation Research Program 
139.23 	and the federal Small Business Technology 
139.24 	Transfer Program. Department services 
139.25 	must include maintaining connections to 
139.26 	11 federal programs, assessment of specific 
139.27 	funding opportunities, review of funding 
139.28 	proposals, referral to specific consulting 
139.29 	services, and training workshops throughout 
139.30 	the state. Unless prohibited by federal law, 
139.31 	the department must implement fees for 
139.32 	services that help companies seek federal 
139.33 	Phase II Small Business Innovation Research 
139.34 	grants. The recommended fee schedule 
139.35 	must be reported to the chairs of the house 
140.1 	of representatives finance committee and 
140.2 	senate budget division with jurisdiction over 
140.3 	economic development by February 1, 2008. 
140.4 	(f) $100,000 the first year and $100,000 
140.5 	the second year are appropriated to the 
140.6 	Public Facilities Authority for the small 
140.7 	community wastewater treatment program 
140.8 	under Minnesota Statutes, chapter 446A. 
140.9 	(g) $255,000 the first year and $155,000 
140.10 	the second year are from the general fund 
140.11 	for a grant to the Metropolitan Economic 
140.12 	Development Association for continuing 
140.13 	minority business development programs in 
140.14 	the metropolitan area. 
140.15 	(h) $85,000 the first year and $85,000 the 
140.16 	second year are for grants to the Minnesota 
140.17 	Inventors Congress. Of this amount, $10,000 
140.18 	each year is for the Student Inventors 
140.19 	Congress. 
140.20 	(i) $151,000 the first year is for a onetime 
140.21 	grant to the city of Faribault to design, 
140.22 	construct, furnish, and equip renovations to 
140.23 	accommodate handicapped accessibility at 
140.24 	the Paradise Center for the Arts.
140.25 	(j) $750,000 the first year is to Minnesota 
140.26 	Technology, Inc. for the small business 
140.27 	growth acceleration program established 
140.28 	under Minnesota Statutes, section 116O.115. 
140.29 	This is a onetime appropriation. This 
140.30 	appropriation does not cancel, but is 
140.31 	available until June 30, 2011.
140.32 	(k) $300,000 the first year is for a onetime 
140.33 	grant to the city of Northome for the 
140.34 	construction of a new municipal building to 
140.35 	replace the structures damaged by fire on 
141.1 	July 22, 2006. This appropriation is available 
141.2 	when the commissioner determines that a 
141.3 	sufficient match is available from nonstate 
141.4 	sources to complete the project.
141.5 	(l) $300,000 the first year is for a grant to the 
141.6 	city of Worthington for an agricultural-based 
141.7 	bioscience training and testing center. Funds 
141.8 	appropriated under this section must be used 
141.9 	to provide a training and testing facility for 
141.10 	incubator firms developing new agricultural 
141.11 	processes and products. This is a onetime 
141.12 	appropriation and is available until expended. 
141.13 	(m) $1,750,000 the first year is for a onetime 
141.14 	grant to BioBusiness Alliance of Minnesota 
141.15 	for bioscience business development 
141.16 	programs to promote and position the state 
141.17 	as a global leader in bioscience business 
141.18 	activities. These funds may be used for: 
141.19 	(1) completion and periodic updating of 
141.20 	a statewide bioscience business industry 
141.21 	assessment of business technology 
141.22 	enterprises and Minnesota's competitive 
141.23 	position employing annual updates to federal 
141.24 	industry classification data; 
141.25 	(2) long-term strategic planning that includes 
141.26 	projections of market changes resulting 
141.27 	from developments in biotechnology and the 
141.28 	development of 20-year goals, strategies, and 
141.29 	identified objectives for renewable energy, 
141.30 	medical devices, biopharma, and biologics 
141.31 	business development in Minnesota; 
141.32 	(3) the design and construction of a 
141.33 	Minnesota focused bioscience business 
141.34 	model to test competing strategies and 
142.1 	scenarios, evaluate options, and forecast 
142.2 	outcomes; and 
142.3 	(4) creation of a bioscience business 
142.4 	resources network that includes development 
142.5 	of a statewide bioscience business economic 
142.6 	development framework to encourage 
142.7 	bioscience business development and 
142.8 	encourage spin-off activities, attract 
142.9 	bioscience business location or expansion in 
142.10 	Minnesota, and establish a local capability to 
142.11 	support strategic system level planning for 
142.12 	industry, government, and academia. 
142.13 	This appropriation is available until June 30, 
142.14 	2009. 
142.15 	(n) $125,000 the first year is to develop and 
142.16 	operate a bioscience business marketing 
142.17 	program to market Minnesota bioscience 
142.18 	businesses and business opportunities 
142.19 	to other states and other countries. The 
142.20 	bioscience business marketing program must 
142.21 	emphasize bioscience business location and 
142.22 	expansion opportunities in communities 
142.23 	outside of the seven-county metropolitan 
142.24 	area as defined in Minnesota Statutes, 
142.25 	section 473.121, subdivision 2, that have 
142.26 	established collaborative plans among two 
142.27 	or more municipal units for bioscience 
142.28 	business activities, and that are within 15 
142.29 	miles of a four-year, baccalaureate degree 
142.30 	granting institution or a two-year technical 
142.31 	or community college that offers bioscience 
142.32 	curricula. The commissioner must report 
142.33 	to the committees of the senate and house 
142.34 	of representatives having jurisdiction 
142.35 	over bioscience and technology issues by 
143.1 	February 1 of each year on the expenditures 
143.2 	of these funds and the promotional activities 
143.3 	undertaken to market the Minnesota 
143.4 	bioscience industry to persons outside of the 
143.5 	state. This is a onetime appropriation and is 
143.6 	available until expended. 
143.7 	(o) $325,000 is for a grant to the Walker 
143.8 	Area Community Center, Inc., to construct, 
143.9 	furnish, and equip the Walker Area 
143.10 	Community Center. This appropriation is 
143.11 	not available until the commissioner has 
143.12 	determined that an amount sufficient to 
143.13 	complete the project has been committed 
143.14 	from nonstate sources. This is a onetime 
143.15 	appropriation and is available until expended. 
143.16 	(p) $100,000 the first year is for a grant 
143.17 	to the Pine Island Economic Development 
143.18 	Authority for predesign to upgrade and 
143.19 	extend utilities to serve Elk Run Bioscience 
143.20 	Research Park and The Falls - Healthy 
143.21 	Living By Nature, an integrated medicine 
143.22 	facility. This is a onetime appropriation and 
143.23 	is available until expended. 
143.24 	(q) $350,000 the first year is for a grant 
143.25 	to Thomson Township for infrastructure 
143.26 	improvements for the industrial park. This 
143.27 	is a onetime appropriation and is available 
143.28 	until expended. 
143.29 	(r) $75,000 the first year is for a grant to 
143.30 	Le Sueur County for the cost of cleaning 
143.31 	up debris from lakes in Le Sueur County, 
143.32 	caused by the August 24, 2006, tornado in 
143.33 	southern Le Sueur County. This is a onetime 
143.34 	appropriation and is available until expended. 
144.1 	(s) $400,000 the first year is for a grant to 
144.2 	the city of Rogers to be used for relief from 
144.3 	damages caused by the September 16, 2006, 
144.4 	tornado. 
144.5 	(t) $75,000 the first year is for a grant to 
144.6 	the city of Warroad for new public facilities 
144.7 	to replace those damaged or destroyed 
144.8 	by the August 2006 tornado, including 
144.9 	approximately 28 new street lights and 
144.10 	underground electrical circuits and a new 
144.11 	fish cleaning house. This is a onetime 
144.12 	appropriation and is available until expended. 
144.13 	If an appropriation for this purpose is enacted 
144.14 	more than once in the 2007 session, the 
144.15 	appropriation is effective only once. 
144.16 	(u) $500,000 the first year is for a grant to 
144.17 	the Upper Sioux Community to improve the 
144.18 	current water system to ensure continuity 
144.19 	of service to the entire population of the 
144.20 	community and to meet the demands of the 
144.21 	community expansion over the next 20 years. 
144.22 	The is a onetime appropriation and is not 
144.23 	available until the Public Facilities Authority 
144.24 	has determined that at least $1,000,000 has 
144.25 	been committed from nonstate sources. This 
144.26 	appropriation is available until expended.
144.27 	* (The preceding text beginning "(u) 
144.28 	$500,000 the first year is for" was 
144.29 	indicated as vetoed by the governor.) 
144.30 	(v) $755,000 the first year is for the urban 
144.31 	challenge grant program under Minnesota 
144.32 	Statutes, section 116M.18. This is a onetime 
144.33 	appropriation. 
144.34 	(w) $1,100,000 is for a grant to the 
144.35 	Neighborhood Development Center for 
145.1 	assistance necessary to retain minority 
145.2 	business enterprises at the Global Market. 
145.3 	This is a onetime appropriation and is 
145.4 	available until expended. 
145.5 	(x) $350,000 the first year is for a onetime 
145.6 	grant to the city of Inver Grove Heights 
145.7 	to reduce debt on the Inver Grove Heights 
145.8 	Veterans Memorial Community Center.
145.9 	* (The preceding text beginning "(x) 
145.10 	$350,000 the first year is for" was 
145.11 	indicated as vetoed by the governor.) 
145.12 	(y) $14,900,000 the first year is for the 
145.13 	Minnesota minerals 21st century fund created 
145.14 	in Minnesota Statutes, section 116J.423, to 
145.15 	partially restore the money unallotted by the 
145.16 	commissioner of finance in 2003 pursuant 
145.17 	to Minnesota Statutes, section 16A.152. 
145.18 	This appropriation may be used as provided 
145.19 	in Minnesota Statutes, section 116J.423, 
145.20 	subdivision 2. This appropriation is available 
145.21 	until expended. 
145.22 	(z) $2,500,000 the first year is for a grant to 
145.23 	the city of St. Paul to be used to pay, redeem, 
145.24 	or refund debt service costs incurred for the 
145.25 	River Centre Campus. * (The preceding 
145.26 	text beginning "(z) $2,500,000 the first 
145.27 	year is for" was indicated as vetoed by the 
145.28 	governor.) 
145.29 	(aa) $147,000 each year is appropriated from 
145.30 	the general fund to the commissioner of 
145.31 	employment and economic development for 
145.32 	grants of $49,000 to eligible organizations 
145.33 	each year and for the purposes of this 
145.34 	paragraph. Each state grant dollar must be 
145.35 	matched with $1 of nonstate funds. Any 
146.1 	balance in the first year does not cancel but 
146.2 	is available in the second year. The base for 
146.3 	these grants in fiscal years 2010 and 2011 
146.4 	is $189,000 each year, with each eligible 
146.5 	organization receiving a $63,000 grant each 
146.6 	year. 
146.7 	The commissioner of employment and 
146.8 	economic development must make grants to 
146.9 	organizations to assist in the development 
146.10 	of entrepreneurs and small businesses. 
146.11 	Three grants must be awarded to continue 
146.12 	or to develop a program. One grant must 
146.13 	be awarded to the Riverbend Center for 
146.14 	Entrepreneurial Facilitation in Blue Earth 
146.15 	County, and two to other organizations 
146.16 	serving Faribault and Martin Counties. Grant 
146.17 	recipients must report to the commissioner 
146.18 	by February 1 of each year that the 
146.19 	organization receives a grant with the 
146.20 	number of customers served; the number of 
146.21 	businesses started, stabilized, or expanded; 
146.22 	the number of jobs created and retained; and 
146.23 	business success rates. The commissioner 
146.24 	must report to the house of representatives 
146.25 	and senate committees with jurisdiction 
146.26 	over economic development finance on the 
146.27 	effectiveness of these programs for assisting 
146.28 	in the development of entrepreneurs and 
146.29 	small businesses. 
146.30 	(bb) $5,000,000 $2,000,000 the first year is 
146.31 	for grants under Minnesota Statutes, section 
146.32 	116J.8731, for the Minnesota investment 
146.33 	fund program. Of this amount, up to 
146.34 	$3,000,000 may be used for a legal reference 
146.35 	office and data center facility, provided that 
146.36 	the total capital investment in the facility 
147.1 	is at least $60,000,000. This grant is not 
147.2 	subject to grant limitations under Minnesota 
147.3 	Statutes, section 116J.8731, subdivision 5
147.4 	$1,000,000 must be used for the biomass 
147.5 	heating grants and loans pilot project. This 
147.6 	is a onetime appropriation and is available in 
147.7 	either year of the biennium. 

147.8 	Sec. 26. Laws 2007, chapter 135, article 1, section 3, subdivision 3, is amended to read:

147.9	Subd.  3. Workforce Development
 		50,024,000 
		49,833,000 

147.10	Appropriations by Fund 
	
147.11	General 
	33,529,000 
	33,338,000 
	
147.12
147.13	Workforce 
Development 
	16,495,000 
	16,495,000 
	
147.14 	(a) $6,785,000 the first year and $6,785,000 
147.15 	the second year are from the general fund 
147.16 	for the Minnesota job skills partnership 
147.17 	program under Minnesota Statutes, sections 
147.18 	116L.01 to 116L.17. If the appropriation for 
147.19 	either year is insufficient, the appropriation 
147.20 	for the other year is available for it. This 
147.21 	appropriation does not cancel. 
147.22 	(b) $455,000 the first year and $455,000 the 
147.23 	second year are from the general fund for 
147.24 	a grant under Minnesota Statutes, section 
147.25 	116J.8747, to Twin Cities RISE! to provide 
147.26 	training to hard-to-train individuals. 
147.27 	(c) $1,375,000 each year is from 
147.28 	the workforce development fund for 
147.29 	Opportunities Industrialization Center 
147.30 	programs. 
147.31 	(d) $5,614,000 each year is from the general 
147.32 	fund and $6,920,000 each year is from the 
147.33 	workforce development fund for extended 
147.34 	employment services for persons with 
148.1 	severe disabilities or related conditions under 
148.2 	Minnesota Statutes, section 268A.15. Of this, 
148.3 	$125,000 each year and in the base for fiscal 
148.4 	years 2010 and 2011 is to supplement funds 
148.5 	paid for wage incentives for the community 
148.6 	support fund established in Minnesota Rules, 
148.7 	part 3300.2045. The commissioner shall 
148.8 	not reduce total expenditures from these 
148.9 	appropriations.
148.10 	(e) $1,650,000 the first year and $1,650,000 
148.11 	the second year are from the general fund for 
148.12 	grants for programs that provide employment 
148.13 	support services to persons with mental 
148.14 	illness under Minnesota Statutes, sections 
148.15 	268A.13 and 268A.14. Up to $77,000 each 
148.16 	year may be used for administrative and 
148.17 	salary expenses. 
148.18 	(f) $2,440,000 the first year and $2,440,000 
148.19 	the second year are from the general 
148.20 	fund for grants under Minnesota Statutes, 
148.21 	section 268A.11, for the eight centers 
148.22 	for independent living. The base for this 
148.23 	program is $2,440,000 each year in fiscal 
148.24 	years 2010 and 2011. Money not expended 
148.25 	the first year is available the second year. 
148.26 	The commissioner must: 
148.27 	(1) transfer $115,000 of federal independent 
148.28 	living Part B rehabilitation services funds 
148.29 	to the Minnesota Centers for Independent 
148.30 	Living each year contingent upon the 
148.31 	availability of federal funds under Title VII, 
148.32 	Part B, of the Federal Rehabilitation Act of 
148.33 	1973 as amended under United States Code, 
148.34 	title 29, section 711(c), and approved by the 
148.35 	Statewide Independent Living Council; 
149.1 	(2) replace federal Part B funds in the 
149.2 	State Independent Living Council budget 
149.3 	transferred under clause (1) with $115,000 
149.4 	of Social Security Administration program 
149.5 	income funds each year; and 
149.6 	(3) provide an additional $185,000 each year 
149.7 	from the Social Security Administration 
149.8 	program income to the Minnesota Centers for 
149.9 	Independent Living to be allocated equally 
149.10 	among the eight centers. 
149.11 	Additional funding for centers for 
149.12 	independent living under clauses (1) and (3) 
149.13 	must be used for core independent living 
149.14 	services by the Centers for Independent 
149.15 	Living. The Statewide Independent Living 
149.16 	Council framework for statewide distribution 
149.17 	of state and federal funding to the Minnesota 
149.18 	Centers for Independent Living does not 
149.19 	apply to the funds under clauses (1) and 
149.20 	(3). The commissioner must report on the 
149.21 	transfers in clauses (1), (2), and (3), and any 
149.22 	other effort to pursue additional funding for 
149.23 	the Centers for Independent Living to the 
149.24 	standing committees of the senate and house 
149.25 	of representatives having jurisdiction over 
149.26 	Centers for Independent Living by March 15 
149.27 	each year. 
149.28 	(g) $5,940,000 the first year and $5,940,000 
149.29 	the second year are from the general fund for 
149.30 	state services for the blind activities. 
149.31 	(h) $150,000 the first year and $150,000 
149.32 	the second year are from the general fund 
149.33 	and $175,000 the first year and $175,000 
149.34 	the second year are from the workforce 
149.35 	development fund for grants under Minnesota 
150.1 	Statutes, section 268A.03, to Rise, Inc. 
150.2 	for the Minnesota Employment Center for 
150.3 	People Who are Deaf or Hard-of-Hearing. 
150.4 	Money not expended the first year is 
150.5 	available the second year. 
150.6 	(i) $9,021,000 the first year and $9,021,000 
150.7 	the second year are from the general fund for 
150.8 	the state's vocational rehabilitation program 
150.9 	for people with significant disabilities to 
150.10 	assist with employment, under Minnesota 
150.11 	Statutes, chapter 268A. 
150.12 	(j) $350,000 the first year and $350,000 
150.13 	the second year are from the workforce 
150.14 	development fund for grants to provide 
150.15 	interpreters for a regional transition program 
150.16 	that specializes in providing culturally 
150.17 	appropriate transition services leading to 
150.18 	employment for deaf, hard-of-hearing, and 
150.19 	deaf-blind students. This amount must be 
150.20 	added to the department's base. 
150.21 	(k) $150,000 the first year and $150,000 the 
150.22 	second year are for a grant to Advocating 
150.23 	Change Together for training, technical 
150.24 	assistance, and resources materials to persons 
150.25 	with developmental and mental illness 
150.26 	disabilities. 
150.27 	(l) $250,000 the first year and $250,000 
150.28 	the second year are from the workforce 
150.29 	development fund and $150,000 the first 
150.30 	year and $100,000 the second year are from 
150.31 	the general fund for a grant to Lifetrack 
150.32 	Resources for its immigrant and refugee 
150.33 	collaborative programs, including those 
150.34 	related to job-seeking skills and workplace 
150.35 	orientation, intensive job development, 
151.1 	functional work English, and on-site job 
151.2 	coaching. $50,000 of the first year general 
151.3 	fund appropriation is for a onetime pilot 
151.4 	Lifetrack project in Rochester. 
151.5 	(m) $75,000 the first year and $75,000 the 
151.6 	second year are from the general fund and 
151.7 	$1,000,000 the first year and $1,000,000 
151.8 	the second year are from the workforce 
151.9 	development fund for the youthbuild 
151.10 	program under Minnesota Statutes, sections 
151.11 	116L.361 to 116L.366. This appropriation 
151.12 	may be used for: 
151.13 	(1) restoring the three youthbuild programs 
151.14 	that were eliminated due to budget reductions 
151.15 	and adding seven more youthbuild programs 
151.16 	statewide; 
151.17 	(2) restoring funding levels for all youthbuild 
151.18 	programs plus an inflationary increase for 
151.19 	each program; 
151.20 	(3) increasing the number of at-risk youth 
151.21 	served by the youthbuild programs from 260 
151.22 	youth per year to 500 youth per year; and 
151.23 	(4) restoring the youthbuild focus on careers 
151.24 	in technology and adding a youthbuild focus 
151.25 	on careers in the medical field. 
151.26 	(n) $1,325,000 each year is from the 
151.27 	workforce development fund for grants 
151.28 	to fund summer youth employment in 
151.29 	Minneapolis. The grants shall be used to 
151.30 	fund up to 500 jobs for youth each summer. 
151.31 	Of this appropriation, $325,000 each year is 
151.32 	for a grant to the learn-to-earn summer youth 
151.33 	employment program. The commissioner 
151.34 	shall establish criteria for awarding the 
151.35 	grants. This appropriation is available in 
152.1 	either year of the biennium and is available 
152.2 	until spent. 
152.3 	(o) $600,000 the first year and $600,000 
152.4 	the second year are from the workforce 
152.5 	development fund for a grant to the city of 
152.6 	St. Paul for grants to fund summer youth 
152.7 	employment in St. Paul. The grants shall be 
152.8 	used to fund up to 500 jobs for youth each 
152.9 	summer. The commissioner shall establish 
152.10 	criteria for awarding the grants within the 
152.11 	city of St. Paul. This appropriation is 
152.12 	available in either year of the biennium and 
152.13 	is available until spent. 
152.14 	(p) $250,000 the first year and $250,000 the 
152.15 	second year are from the general fund for 
152.16 	grants to Northern Connections in Perham 
152.17 	to implement and operate a pilot workforce 
152.18 	program that provides one-stop supportive 
152.19 	services to individuals as they transition into 
152.20 	the workforce. 
152.21 	(q) $100,000 each year is for a grant to 
152.22 	Ramsey County Workforce Investment Board 
152.23 	for the development of the building lives 
152.24 	program. This is a onetime appropriation.
152.25 	* (The preceding text beginning "(q) 
152.26 	$100,000 each year is for" was indicated 
152.27 	as vetoed by the governor.) 
152.28 	(r) $150,000 each year is for a grant to the 
152.29 	Hennepin-Carver Workforce Investment 
152.30 	Board (WIB) to coordinate with the Partners 
152.31 	for Progress Regional Skills Consortium 
152.32 	to provide employment and training as 
152.33 	demonstrated by the Twin Cities regional 
152.34 	health care training partnership project.
152.35 	* (The preceding text beginning "(r) 
153.1 	$150,000 each year is for" was indicated 
153.2 	as vetoed by the governor.) 
153.3 	(s) $160,000 the first year is for a onetime 
153.4 	grant to Workforce Development, Inc., for 
153.5 	a pilot project to provide demand-driven 
153.6 	employment and training services to 
153.7 	welfare recipients and other economically 
153.8 	disadvantaged populations in Mower, 
153.9 	Freeborn, Dodge, and Steele Counties. 
153.10 	(t) $200,000 the first year and $200,000 the 
153.11 	second year are from the general fund for 
153.12 	a grant to HIRED to operate its industry 
153.13 	sector training initiatives, which provide 
153.14 	employee training developed in collaboration 
153.15 	with employers in specific, high-demand 
153.16 	industries. * (The preceding text beginning 
153.17 	"(t) $200,000 the first year" was indicated 
153.18 	as vetoed by the governor.) 
153.19 	(u) $100,000 the first year is for a onetime 
153.20 	grant to a nonprofit organization. The 
153.21 	nonprofit organization must work on behalf 
153.22 	of all licensed vendors to coordinate their 
153.23 	efforts to respond to solicitations or other 
153.24 	requests from private and governmental units 
153.25 	as defined in Minnesota Statutes, section 
153.26 	471.59, subdivision 1, in order to increase 
153.27 	employment opportunities for persons with 
153.28 	disabilities. This appropriation is available 
153.29 	until June 30, 2009.
153.30 	(v) $3,500,000 each year from the workforce 
153.31 	development fund is for the Minnesota youth 
153.32 	program under Minnesota Statutes, sections 
153.33 	116L.56 and 116L.561. 
153.34 	(w) $1,000,000 each year from the workforce 
153.35 	development fund is for a grant to the 
154.1 	Minnesota Alliance of Boys and Girls 
154.2 	Clubs to administer a statewide project 
154.3 	of youth job skills development. This 
154.4 	project, which may have career guidance 
154.5 	components, including health and life skills, 
154.6 	is to encourage, train, and assist youth in 
154.7 	job-seeking skills, workplace orientation, 
154.8 	and job site knowledge through coaching. 
154.9 	This grant requires a 25 percent match from 
154.10 	nonstate resources. 
154.11 	(x) $10,000 the first year is for a study on 
154.12 	ways to promote employment opportunities 
154.13 	for minorities, with a particular focus on 
154.14 	opportunities for African Americans, in 
154.15 	the state of Minnesota. The study should 
154.16 	focus on how to significantly expand the job 
154.17 	training available to minorities and promote 
154.18 	substantial increases in the wages paid to 
154.19 	minorities, at least to a rate well above living 
154.20 	wage, and within several years, to equality. 
154.21 	The commissioner must report on the study 
154.22 	to the governor and the chair of the finance 
154.23 	committee in each house of the legislature 
154.24 	that has jurisdiction over employment by 
154.25 	January 15, 2008, with recommendations for 
154.26 	implementing the findings. 
154.27 	(y) The commissioner must provide funding 
154.28 	for the Minnesota Conservation Corps to 
154.29 	provide learning stipends for deaf students 
154.30 	and wages for interpreters participating in 
154.31 	the MCC summer youth program. 

154.32 	Sec. 27. Laws 2007, chapter 135, article 1, section 6, subdivision 4, is amended to read:

154.33	Subd. 4. Labor Standards/Apprenticeship
 		1,833,000 
		1,803,000 

155.1	Appropriations by Fund 
	
155.2	General 
	1,069,000 
	1,024,000 
	
155.3
155.4	Workforce 
Development 
	764,000 
	779,000 
	
155.5 	The appropriation from the workforce 
155.6 	development fund is for the apprenticeship 
155.7 	program under Minnesota Statutes, chapter 
155.8 	178, and includes $100,000 each year for 
155.9 	labor education and advancement program 
155.10 	grants. 
155.11 	$360,000 the first year and $300,000 the 
155.12 	second year from the general fund are for 
155.13 	prevailing wage enforcement of which 
155.14 	$60,000 in the first year is for outreach and 
155.15 	survey participation improvements, and is 
155.16 	available until expended. 

155.17 	Sec. 28. Laws 2007, First Special Session chapter 2, article 1, section 8, subdivision 2, 
155.18 	is amended to read:

155.19	Subd. 2. Minnesota Investment Fund
 				35,000,000 
	
155.20 	For transfer to the Minnesota investment 
155.21 	fund for grants to local units of government 
155.22 	for locally administered grants or loan 
155.23 	programs for businesses and nonprofit 
155.24 	organizations directly and adversely affected 
155.25 	by the flood, including those that provide 
155.26 	residential, health care, child care, social, or 
155.27 	other services on behalf of the Department 
155.28 	of Human Services to residents of the area 
155.29 	included in DR-1717. Assistance under this 
155.30 	subdivision is not limited to businesses. 
155.31 	Payments may be made for property damage 
155.32 	and cleanup, and to reimburse parties under 
155.33 	contract, provider agreement, or other 
155.34 	arrangement with the commissioner of 
156.1 	human services as of August 18, 2007, for 
156.2 	residential, health care, child care, social, 
156.3 	or other services provided on behalf of 
156.4 	the Department of Human Services to a 
156.5 	resident of the area included in DR-1717, 
156.6 	notwithstanding that: 
156.7 	(1) the resident has been compelled by the 
156.8 	floods of August 2007 to relocate outside the 
156.9 	party's service area; or 
156.10 	(2) the party is unable to provide services 
156.11 	to the resident due to flood damage to the 
156.12 	party's place of business. 
156.13 	Criteria and requirements must be locally 
156.14 	established with the approval of the 
156.15 	commissioner. For the purposes of this 
156.16 	appropriation, Minnesota Statutes, sections 
156.17 	116J.8731, subdivisions 3, 4, 5, and 7; 
156.18 	116J.993; 116J.994; and 116J.995, are 
156.19 	waived. Businesses that receive grants or 
156.20 	loans from this appropriation must set goals 
156.21 	for jobs retained and wages paid within the 
156.22 	area included in DR-1717. 
156.23 	Before any grants under this subdivision are 
156.24 	awarded to a local unit of government, the 
156.25 	commissioner of employment and economic 
156.26 	development shall report to the chairs of the 
156.27 	senate finance and house of representatives 
156.28 	ways and means committees the criteria and 
156.29 	requirements to be used by local units of 
156.30 	government in the grant or loan programs 
156.31 	they will administer. This appropriation is 
156.32 	from the general fund. 
156.33 	Any money transferred to the commissioner 
156.34 	of natural resources to provide 
156.35 	high-resolution digital elevation maps 
157.1 	using Light Detection and Ranging (LiDAR) 
157.2 	technology to be used for flood management 
157.3 	is available until June 30, 2009.

157.4 	Sec. 29. BIOMASS HEATING GRANTS AND LOANS PILOT PROJECT.
 157.5 	Within the limits of appropriations, the commissioner of the Department of 
157.6 	Employment and Economic Development shall make grants and loans for costs related 
157.7 	to the installation of an approved biomass heating project in a publicly owned facility, 
157.8 	including K-12 public schools, higher education buildings, and buildings owned by a 
157.9 	local unit of government. The commissioner must approve biomass heating projects that 
157.10 	produce energy for heating air or water using organic matter available on a renewable 
157.11 	basis, including but not limited to agricultural crops, grasses and trees, or wood production 
157.12 	or other waste. Applications for a grant or loan under this section must be made to the 
157.13 	commissioner on the forms and according to the timeline prescribed by the commissioner. 
157.14 	At a minimum, the commissioner must require sufficient information on the applications 
157.15 	to determine that the physical condition of the publicly owned facility is sufficient to 
157.16 	support the efficient operation of the biomass heating project and that the projected 
157.17 	cumulative energy cost savings are adequate relative to the costs of the investment. 
157.18 	The grant and loan may each provide up to 50 percent of the total installed costs of the 
157.19 	biomass heating projects.

157.20 	Sec. 30. HARDSHIP PAYMENTS.
 157.21 		Subdivision 1.Payments; availability. Hardship payments are available to 
157.22 	an applicant if the applicant suffered economic hardship due to delays in receiving 
157.23 	unemployment benefits resulting from the new unemployment insurance application 
157.24 	and filing system implemented by the Department of Employment and Economic 
157.25 	Development on October 15, 2007.
157.26 		Subd. 2.Economic hardship. "Economic hardship" means financial losses to 
157.27 	an applicant resulting from: checks returned for insufficient funds; account overdraft 
157.28 	charges; installment credit penalties, interest, and other fees resulting from missed or 
157.29 	late payments; mortgage loan late fees, interest charges, or other penalties; charges for 
157.30 	force-placed automobile or homeowner's insurance; penalties for late payment of income 
157.31 	or property taxes; and any penalties or adverse consequences, including the suspension of 
157.32 	an applicant's driver's license due to nonpayment of child support.
158.1 		Subd. 3.Payment from administration account. Hardship payments are payable 
158.2 	from the unemployment insurance administration account under Minnesota Statutes, 
158.3 	section 268.196.
158.4 		Subd. 4.Eligibility conditions. An applicant is eligible to receive hardship 
158.5 	payments under this section if the applicant's unemployment benefit payments due and 
158.6 	payable after October 15, 2007, were delayed at least four weeks.
158.7 		Subd. 5.Amount of hardship payments. The amount of hardship payments 
158.8 	available to an applicant is equal to the amount of economic hardship experienced by an 
158.9 	applicant due to the delay in receiving unemployment benefits. An applicant must provide 
158.10 	documentation of the amount of financial hardship claimed using financial institution 
158.11 	records, consumer or business credit records, child support records, or other commonly 
158.12 	recognized methods of documenting financial transactions.
158.13 		Subd. 6.Notice. The commissioner must notify applicants of the availability of 
158.14 	hardship payments by posting a notice on the department's official Web site, by notifying 
158.15 	applicants by individual mailing where department records show the applicant may be 
158.16 	eligible under subdivision 4, and by any other appropriate announcement.

158.17 	EFFECTIVE DATE. This section is effective the day following final enactment.

158.18 	Sec. 31. LUMBER COMPANY EXTRA BENEFITS.
 158.19 		Subdivision 1.Extra benefits; availability. Extra unemployment benefits are 
158.20 	available to an applicant who was laid off due to lack of work from the Ainsworth Lumber 
158.21 	Company plant in Cook, Minnesota.
158.22 		Subd. 2.Payment from fund; effect on employer. Extra unemployment benefits 
158.23 	are payable from the unemployment insurance trust fund. Extra unemployment benefits 
158.24 	paid will not be used in computing the experience rating of Ainsworth Lumber Company 
158.25 	under Minnesota Statutes, sections 268.047 and 268.051, subdivision 3.
158.26 		Subd. 3.Eligibility conditions. An applicant is eligible to receive extra 
158.27 	unemployment benefits under this section for any week through December 27, 2008, if:
158.28 	(1) the applicant established a benefit account under Minnesota Statutes, section 
158.29 	268.07, with a majority of the wage credits from Ainsworth Lumber Company, and 
158.30 	exhausted entitlement to those regular unemployment benefits after January 1, 2008;
158.31 	(2) the applicant meets the same eligibility requirements that are required for regular 
158.32 	unemployment benefits under Minnesota Statutes, section 268.069;
158.33 	(3) the applicant is not entitled to any other unemployment benefits and is not 
158.34 	entitled to receive unemployment benefits under any other state or federal law for that 
158.35 	week, including any other extended unemployment benefits; and
159.1 	(4) if an applicant qualifies for any type of unemployment benefits available under 
159.2 	Minnesota law, or under any federal law, or the law of another state, the applicant must 
159.3 	apply for and exhaust entitlement to those unemployment benefits.
159.4 		Subd. 4.Weekly amount of extra benefits. The weekly extra unemployment 
159.5 	benefits amount available to an applicant is the same as the applicant's weekly regular 
159.6 	unemployment benefit amount on the benefit account established in subdivision 3, clause 
159.7 	(1).
159.8 		Subd. 5.Maximum amount of extra unemployment benefits. The maximum 
159.9 	amount of extra unemployment benefits available is equal to 13 times the applicant's 
159.10 	weekly benefit amount.
159.11 		Subd. 6.Program expiration. This extra unemployment benefit program expires 
159.12 	on December 27, 2008. No extra unemployment benefits may be paid for any week after 
159.13 	the expiration of this program.
159.14 		Subd. 7.Notice. The commissioner must notify applicants of the availability 
159.15 	of extra unemployment benefits by posting a notice on the department's official Web 
159.16 	site, by notifying applicants by individual mailing where department records show the 
159.17 	applicant may qualify for these extra unemployment benefits, and by any other appropriate 
159.18 	announcement.

159.19 	EFFECTIVE DATE. This section is effective the day following final enactment 
159.20 	and applies retroactively from January 1, 2008.

159.21 	Sec. 32. UNEMPLOYMENT BENEFITS; CONTINUED REQUEST TIME 
159.22 	PERIOD WAIVER.
 159.23 	Notwithstanding any other law to the contrary, the commissioner must accept initial 
159.24 	and continued requests for unemployment benefits and pay unemployment benefits to 
159.25 	an applicant who currently resides in Hubbard County and applied for unemployment 
159.26 	benefits on September 15, 2006, and had an account dated September 10, 2006:
159.27 	(1) was employed as a technician or inspector for Northwest Airlines, Inc., prior 
159.28 	to August 20, 2005;
159.29 	(2) stopped working on or about August 20, 2005, because of a labor dispute between 
159.30 	the Aircraft Mechanics Fraternal Association (AMFA) and Northwest Airlines, Inc.;
159.31 	(3) did not file an initial or continued requests for unemployment benefits within the 
159.32 	time periods required under Minnesota Statutes, chapter 268; and
159.33 	(4) meets all the other requirements for the payment of unemployment benefits 
159.34 	under Minnesota Statutes, section 268.069, subdivision 2.
160.1 	Any unemployment benefits paid under the account established September 10, 2006, 
160.2 	shall be deducted from the total benefits authorized under this section.

160.3 	EFFECTIVE DATE. This section is effective the day following final enactment 
160.4 	and applies retroactively from August 21, 2005.

160.5 	Sec. 33. OFFICE OF SCIENCE AND TECHNOLOGY.
 160.6 		Subdivision 1.Establishment. An Office of Science and Technology is established 
160.7 	in the Department of Employment and Economic Development to do the following: 
160.8 	(1) coordinate public and private efforts to procure federal funding for collaborative 
160.9 	research and development projects of primary benefit to small and medium-sized 
160.10 	businesses;
160.11 	(2) promote contractual relationships between Minnesota businesses that are 
160.12 	recipients of federal grants and prime contractors, and Minnesota-based subcontractors; 
160.13 	(3) work with Minnesota nonprofit institutions including the University of 
160.14 	Minnesota, Minnesota State Colleges and Universities, and the Mayo Clinic in promoting 
160.15 	collaborative efforts to respond to federal funding opportunities;
160.16 	(4) develop a framework for Minnesota companies to establish sole-source 
160.17 	relationships with federal agencies; and
160.18 	(5) coordinate workshops, assistance with business proposals, licensing, intellectual 
160.19 	property protection, commercialization, and government auditing with the University of 
160.20 	Minnesota and Minnesota State Colleges and Universities.
160.21 	For the purposes of this section, "office" means the Office of Science and Technology 
160.22 	established in this subdivision.
160.23 		Subd. 2.Technology partnering with a prime contractor. The office must 
160.24 	develop a program to assist small businesses competing for a small business innovation 
160.25 	research award by matching the applicant with a larger company. Prime contractors are 
160.26 	matched to small businesses through a prescreening process that may result in a letter of 
160.27 	support for the applicant designed to increase the chance of receiving a Small Business 
160.28 	Innovation Research (SBIR) award.
160.29 		Subd. 3.Collaborate to commercialize. The office must develop a program to use 
160.30 	the federal high-risk research and development investment program to encourage the 
160.31 	development of new technologies, products, and business development and to reduce 
160.32 	development risks by encouraging alliances between medium-sized companies and 
160.33 	innovative small businesses.
160.34 		Subd. 4.Technology matchmaking. The office must assist businesses in 
160.35 	identifying qualified suppliers and vendors through a program to serve as a conduit for 
161.1 	Minnesota-based companies to network with firms able to support their success. Firms 
161.2 	outside Minnesota can participate in the technology matchmaking network if one of the 
161.3 	participating companies is located in Minnesota.
161.4 		Subd. 5.Commercialization assistance. The office must provide 
161.5 	commercialization assistance to Minnesota firms that have received a Phase I Small 
161.6 	Business Innovation Research (SBIR) or a Phase I Small Business Technology Transfer 
161.7 	(STTR) award and are submitting a Phase II proposal. Local service providers must assist 
161.8 	the applicant with developing and reviewing the required commercialization plan prior to 
161.9 	Phase II submission. The office may provide SBIR Phase I proposal technical review.
161.10 		Subd. 6.Report. The commissioner of employment and economic development 
161.11 	must report to the committees in the house of representatives and senate having 
161.12 	jurisdiction over bioscience and technology issues on the activities of the Office of Science 
161.13 	and Technology by June 30, 2009.

161.14 	Sec. 34. 2008 DISTRIBUTIONS ONLY.
 161.15 	For distribution in 2008 only, a special fund is established to receive 9.65 cents 
161.16 	per ton that otherwise would be allocated under Minnesota Statutes, section 298.28, 
161.17 	subdivision 6. If sufficient funds are not available under Minnesota Statutes, section 
161.18 	298.28, subdivision 6, to make the payments required under this section and under 
161.19 	Minnesota Statutes, section 298.28, subdivision 6, the remaining amount needed to total 
161.20 	9.65 cents per ton may be taken from funds available under Minnesota Statutes, section 
161.21 	298.28, subdivision 9. The following amounts are allocated to St. Louis County acting as 
161.22 	the fiscal agent for the recipients for the following specified purposes:
161.23 	(1) two cents per ton must be paid to the Hibbing Economic Development Authority 
161.24 	to retire bonds and for economic development purposes;
161.25 	(2) 0.25 cent per ton must be paid to the St. Louis County School Board to study 
161.26 	the potential for and impact of consolidation and streamlining the operations of the St. 
161.27 	Louis County School District No. 2142;
161.28 	(3) 0.25 cent per ton must be paid to the city of Grand Rapids, for industrial park 
161.29 	work;
161.30 	(4) 0.65 cent per ton must be paid to the city of Aitkin, for sewer and water for 
161.31 	housing projects;
161.32 	(5) 0.5 cent per ton must be paid to the city of Crosby, for well and water tower 
161.33 	infrastructure;
162.1 	(6) 0.25 cent per ton must be paid to the Mountain Iron-Buhl School Board to 
162.2 	study the potential for and impact of consolidation or streamlining the operations of the 
162.3 	Mountain Iron-Buhl School District No. 712;
162.4 	(7) 0.25 cent per ton must be paid to the Virginia School Board to study the potential 
162.5 	for an impact of consolidation or streamlining the operations of the Virginia Public 
162.6 	School District No. 706;
162.7 	(8) 1.5 cents per ton must be paid to the city of Silver Bay to pay for health and 
162.8 	safety and maintenance improvements at a former elementary school building that is 
162.9 	currently owned by the city, to be used for economic development purposes;
162.10 	(9) 1.5 cents per ton must be paid to St. Louis County to extend water and sewer 
162.11 	lines from the city of Chisholm to the St. Louis County fairgrounds;
162.12 	(10) 1.5 cents per ton must be paid to the White Community Hospital for debt 
162.13 	restructuring;
162.14 	(11) 0.5 cent per ton must be paid to the city of Keewatin for street, sewer, and 
162.15 	water improvements; and
162.16 	(12) 0.5 cent per ton must be paid to the city of Calumet for street, sewer, and water 
162.17 	improvements.

162.18 	Sec. 35.  REPEALER.
 162.19 	Minnesota Statutes 2006, section 341.31, and Laws 2004, chapter 188, section 
162.20 	2, are repealed.

162.21 	EFFECTIVE DATE. This section is effective the day following final enactment.

162.22 	ARTICLE 11
162.23 	TRANSPORTATION

162.24	Section 1. SUMMARY OF APPROPRIATIONS.
 	
162.25 	The amounts shown in this section summarize direct appropriations, by fund, made 
162.26 	in this article.

162.27			2008
		2009
		Total
	
162.28	General
	$
	-0-
	$
	(255,000)
	$
	(255,000)
	
162.29	Trunk Highway
		6,850,000
		-0-
		6,850,000
	
162.30	State Airports
		-0-
		(15,000,000)
		(15,000,000)
	
162.31	Total
	$
	6,850,000
	$
	(15,255,000)
	$
	(8,405,000)

162.32	Sec. 2. APPROPRIATIONS.
 	
163.1 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
163.2 	in parentheses, subtracted from the appropriations under Laws 2007, chapter 143, article 
163.3 	1; Laws 2007, First Special Session chapter 2, article 2, section 2; and Laws 2008, 
163.4 	chapter 152, article 1, to the agencies and for the purposes specified in this article. The 
163.5 	appropriations are from the trunk highway fund or another named fund and are available 
163.6 	for the fiscal years indicated for each purpose. The figures "2008" and "2009" used in 
163.7 	this article mean that the addition to or subtraction from the appropriation listed under 
163.8 	them is available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. 
163.9 	Supplemental appropriations and reductions to appropriations for the fiscal year ending 
163.10 	June 30, 2008, are effective the day following final enactment.

163.11				APPROPRIATIONS
	
163.12				Available for the Year
	
163.13				Ending June 30
	
163.14					2008
		2009

163.15	Sec. 3. TRANSPORTATION

163.16	Subdivision 1.Total Appropriation
 	$
	6,850,000
	$
	(34,000)

163.17	Appropriations by Fund
	
163.18		2008
	2009
	
163.19	General
	-0-
	(34,000)
	
163.20	Trunk Highway 
	6,850,000
	-0-
	
163.21 	The amounts that may be spent or must be 
163.22 	reduced for each purpose are specified in the 
163.23 	following subdivisions.

163.24	Subd. 2.Transit
 		-0-
		(32,000)
	
163.25 	This reduction is from the appropriation from 
163.26 	the general fund for transit in Laws 2007, 
163.27 	chapter 143, article 1, section 3, subdivision 
163.28 	2, paragraph (b).

163.29	Subd. 3.Freight
 		-0-
		(2,000)
	
163.30 	This reduction is from the appropriation from 
163.31 	the general fund for freight in Laws 2007, 
163.32 	chapter 143, article 1, section 3, subdivision 
163.33 	2, paragraph (c).

163.34	Subd. 4.State Roads
 		6,850,000
		-0-
	
164.1 	This appropriation is spending authority for 
164.2 	additional federal bridge funding authorized 
164.3 	and appropriated by Congress in 2008, and 
164.4 	is for the actual construction, reconstruction, 
164.5 	and improvement of trunk highways, 
164.6 	including design-build contracts and 
164.7 	consultant usage to support these activities. 
164.8 	This includes the cost of actual payments to 
164.9 	landowners for lands acquired for highway 
164.10 	rights-of-way, payments to lessees, interest 
164.11 	subsidies, and relocation expenses. This is a 
164.12 	onetime appropriation.

164.13	Subd. 5.Transfers In
 					
164.14 	By June 30, 2008, the commissioner of 
164.15 	finance shall transfer $15,000,000 from the 
164.16 	state airports fund established in Minnesota 
164.17 	Statutes, section 360.017, to the general fund.
164.18 	Notwithstanding Minnesota Statutes, 
164.19 	section 222.49, before June 30, 2008, 
164.20 	the commissioner of finance shall transfer 
164.21 	$3,000,000 from the rail service improvement 
164.22 	account in the special revenue fund to the 
164.23 	general fund.
164.24 	Notwithstanding Minnesota Statutes, section 
164.25 	222.49, after July 1, 2008, and before June 
164.26 	30, 2009, the commissioner of finance shall 
164.27 	transfer $3,000,000 from the rail service 
164.28 	improvement account in the special revenue 
164.29 	fund to the general fund.

164.30	Sec. 4. METROPOLITAN COUNCIL
 	$
	-0-
	$
	(136,000)
	
164.31 	This reduction is from the appropriation from 
164.32 	the general fund for bus system operations in 
164.33 	Laws 2007, chapter 143, article 1, section 4, 
164.34 	subdivision 2, and Hiawatha light rail transit 
165.1 	in Laws 2007, chapter 143, article 1, section 
165.2 	4, subdivision 3.

165.3	Sec. 5. PUBLIC SAFETY

165.4	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	(60,000)
	
165.5 	The amounts that may be spent or must be 
165.6 	reduced for each purpose are specified in the 
165.7 	following subdivisions.

165.8	Subd. 2.Public Safety Support
 		-0-
		(45,000)
	
165.9 	Of this reduction, $28,000 is from the 
165.10 	appropriation from the general fund 
165.11 	for a security coordinator to coordinate 
165.12 	planning efforts for the Republican National 
165.13 	Convention in Laws 2007, chapter 143, 
165.14 	article 1, section 5, subdivision 2, paragraph 
165.15 	(b).
165.16 	Of this reduction, $17,000 is from the 
165.17 	appropriation from the general fund in 
165.18 	Laws 2007, chapter 143, article 1, section 5, 
165.19 	subdivision 2, paragraph (b).
165.20 	The base appropriation for fiscal years 2010 
165.21 	and 2011 is $3,296,000 per year.

165.22	Subd. 3.Capitol Security
 		-0-
		(15,000)
	
165.23 	This reduction is from the appropriation from 
165.24 	the general fund in Laws 2007, chapter 143, 
165.25 	article 1, section 5, subdivision 3, paragraph 
165.26 	(c).

165.27 	Sec. 6. Minnesota Statutes 2006, section 168.013, is amended by adding a subdivision 
165.28 	to read:
165.29 		Subd. 21.Technology surcharge. For every vehicle registration renewal required 
165.30 	under this chapter, the commissioner shall collect a surcharge of $1.75. Surcharges 
165.31 	collected under this subdivision must be credited to the driver and vehicle services 
165.32 	technology account in the special revenue fund under section 299A.705.

166.1 	EFFECTIVE DATE. This section is effective July 1, 2008, and expires June 30, 
166.2 	2012.

166.3 	Sec. 7. Minnesota Statutes 2006, section 168A.29, as amended by Laws 2007, chapter 
166.4 	143, article 3, section 2, is amended to read:
166.5 	168A.29 FEES.
166.6 		Subdivision 1.Amounts. (a) The department must be paid the following fees:
166.7 	(1) for filing an application for and the issuance of an original certificate of title, the 
166.8 	sum of $6.25 of which $3.25 must be paid into the vehicle services operating account of 
166.9 	the special revenue fund under section 299A.705; until June 30, 2012, a surcharge of $1.75 
166.10 	must be added to the fee and credited to the driver and vehicle services technology account; 
166.11 	(2) for each security interest when first noted upon a certificate of title, including the 
166.12 	concurrent notation of any assignment thereof and its subsequent release or satisfaction, 
166.13 	the sum of $2, except that no fee is due for a security interest filed by a public authority 
166.14 	under section 168A.05, subdivision 8;
166.15 	(3) for the transfer of the interest of an owner and the issuance of a new certificate of 
166.16 	title, the sum of $5.50 of which $2.50 must be paid into the vehicle services operating 
166.17 	account of the special revenue fund under section 299A.705; until June 30, 2012, a 
166.18 	surcharge of $1.75 must be added to the fee and credited to the driver and vehicle services 
166.19 	technology account; 
166.20 	(4) for each assignment of a security interest when first noted on a certificate of title, 
166.21 	unless noted concurrently with the security interest, the sum of $1;
166.22 	(5) for issuing a duplicate certificate of title, the sum of $7.25 of which $3.25 must 
166.23 	be paid into the vehicle services operating account of the special revenue fund under 
166.24 	section 299A.705; until June 30, 2012, a surcharge of $1.75 must be added to the fee and 
166.25 	credited to the driver and vehicle services technology account.
166.26 	(b) After June 30, 1994, in addition to each of the fees required under paragraph (a), 
166.27 	clauses (1) and (3), the department must be paid $3.50. The additional $3.50 fee collected 
166.28 	under this paragraph must be deposited in the special revenue fund and credited to the 
166.29 	public safety motor vehicle account established in section 299A.70.
166.30 		Subd. 2.Fee in lieu of other fee. If a person applies for an original or a new 
166.31 	certificate of title to a vehicle, concurrently with an application, as transferee, of 
166.32 	registration of the vehicle, the fee prescribed in subdivision 1 must be in lieu of the fee
166.33 	fees prescribed by section sections 168.013, subdivision 21, and 168.54, with respect to 
166.34 	any transfer of ownership or registration of the vehicle to the applicant.
167.1 		Subd. 3.No certificate issued until fees paid. Subject to subdivision 2, the 
167.2 	department shall not issue a certificate of title to a vehicle until all fees prescribed by 
167.3 	sectionssection 168.54and 168A.10, subdivision 6, with respect to any prior transfer of 
167.4 	ownership or registration of the vehicle have been paid.

167.5 	Sec. 8. Minnesota Statutes 2007 Supplement, section 171.06, subdivision 2, is 
167.6 	amended to read:
167.7 		Subd. 2.Fees. (a) The fees for a license and Minnesota identification card are 
167.8 	as follows:

167.9167.10
	Classified Driver's 
License
		D-$22.25
	C-$26.25
	B-$33.25
	A-$41.25
	
167.11	Classified Under-21 D.L.
		D-$22.25
	C-$26.25
	B-$33.25
	A-$21.25
	
167.12	Instruction Permit
					$10.25
	
167.13	Provisional License
					$13.25
	
167.14
167.15
167.16	Duplicate License or 
duplicate identification 
card
					$11.75

167.17
167.18
167.19
167.20
167.21
167.22
167.23
167.24	Minnesota identification 
card or Under-21 
Minnesota identification 
card, other than duplicate, 
except as otherwise 
provided in section 
171.07, subdivisions 3 
and 3a
					$16.25
	
167.25 	In addition to each fee required in this paragraph, the commissioner shall collect a 
167.26 	surcharge of $1.75 until June 30, 2012. Surcharges collected under this paragraph must be 
167.27 	credited to the driver and vehicle services technology account in the special revenue fund 
167.28 	under section 299A.705.
167.29 	(b) Notwithstanding paragraph (a), an individual who holds a provisional license and 
167.30 	has a driving record free of (1) convictions for a violation of section 169A.20, 169A.33, 
167.31 	169A.35, or sections 169A.50 to 169A.53, (2) convictions for crash-related moving 
167.32 	violations, and (3) convictions for moving violations that are not crash related, shall have a 
167.33 	$3.50 credit toward the fee for any classified under-21 driver's license. "Moving violation" 
167.34 	has the meaning given it in section 171.04, subdivision 1.
167.35 	(c) In addition to the driver's license fee required under paragraph (a), the 
167.36 	commissioner shall collect an additional $4 processing fee from each new applicant 
167.37 	or individual renewing a license with a school bus endorsement to cover the costs for 
167.38 	processing an applicant's initial and biennial physical examination certificate. The 
168.1 	department shall not charge these applicants any other fee to receive or renew the 
168.2 	endorsement.

168.3 	Sec. 9. Minnesota Statutes 2006, section 299A.705, is amended by adding a 
168.4 	subdivision to read:
168.5 		Subd. 3.Driver and vehicle services technology account. (a) The driver and 
168.6 	vehicle services technology account is created in the special revenue fund, consisting of 
168.7 	the technology surcharge collected as specified in chapters 168, 168A, and 171, and any 
168.8 	other money otherwise donated, allotted, appropriated, or legislated to this account.
168.9 	(b) Money in the account is annually appropriated to the commissioner of public 
168.10 	safety to support the research, development, deployment, and maintenance of a driver 
168.11 	and vehicle services information system.

168.12 	EFFECTIVE DATE. This section is effective July 1, 2008, and expires June 30, 
168.13 	2012.

168.14 	Sec. 10. Laws 2007, chapter 143, article 1, section 3, subdivision 2, is amended to read:

168.15	Subd.  2. Multimodal Systems

168.16	(a) Aeronautics 

168.17
168.18	(1) Airport Development and Assistance 
		20,298,000 
		20,298,000
5,298,000
	
168.19 	This appropriation is from the state airports 
168.20 	fund and must be spent according to 
168.21 	Minnesota Statutes, section 360.305, 
168.22 	subdivision 4. 
168.23 	$6,000,000 the first year and $6,000,000 the 
168.24 	second year are is a onetime appropriations
168.25 	appropriation  and do does not add to 
168.26 	the base appropriations. The base for 
168.27 	this appropriation for fiscal year 2010 is 
168.28 	$14,298,000.
168.29 	Of this appropriation $200,000 the first 
168.30 	year is to the Legislative Coordinating 
168.31 	Commission for the administrative expenses 
168.32 	of the Airport Funding Advisory Task Force 
169.1 	and for other costs relating to the preparation 
169.2 	of the task force report, including the costs of 
169.3 	hiring a consultant, if needed. Any remaining 
169.4 	amount of this appropriation shall revert to 
169.5 	the state airports fund. 
169.6 	Notwithstanding Minnesota Statutes, section 
169.7 	16A.28, subdivision 6, this appropriation is 
169.8 	available for five years after appropriation. 
169.9 	If the appropriation for either year is 
169.10 	insufficient, the appropriation for the other 
169.11 	year is available for it. 

169.12	(2) Aviation Support and Services 

169.13	Appropriations by Fund 
	
169.14	Airports 
	5,184,000 
	5,286,000 
	
169.15	Trunk Highway 
	852,000 
	866,000 
	
169.16 	$65,000 the first year and $65,000 the second 
169.17 	year from the state airports fund are for the 
169.18 	Civil Air Patrol. 

169.19	(b) Transit 

169.20	Appropriations by Fund 
	
169.21	General 
	18,813,000 
	18,816,000 
	
169.22	Trunk Highway 
	740,000 
	761,000 

169.23	(c) Freight 

169.24	Appropriations by Fund 
	
169.25	General 
	357,000 
	367,000 
	
169.26	Trunk Highway 
	5,028,000 
	5,158,000 

169.27 	Sec. 11. Laws 2008, chapter 152, article 1, section 6, subdivision 2, is amended to read:
169.28 		Subd. 2. Appropriation; study. $325,000 $300,000 is appropriated from the 
169.29 	general fund to the Board of Regents of the University of Minnesota for the Center for 
169.30 	Transportation Studies to complete a study to assess the public policy implications of 
169.31 	financing new and improved transportation infrastructure in Minnesota through capturing 
169.32 	the value of the benefits created, to prepare a report on its findings, and to conduct a 
169.33 	series of workshops. This is a onetime appropriation and is available in fiscal years 2008 
169.34 	and 2009. 

170.1 	EFFECTIVE DATE. This section is effective the day following final enactment.

170.2 	ARTICLE 12
170.3 	PUBLIC SAFETY

170.4	Section 1. SUMMARY OF APPROPRIATIONS.
 	
170.5 	The amounts shown in this section summarize the direct appropriations, by fund, 
170.6 	made in this article.

170.7			2008
		2009
		Total
	
170.8	General
	$
	268,000
	$
	(10,490,000)
	$
	(10,222,000)
	
170.9	Special Revenue
		(25,000)
		50,000
		25,000
	
170.10	Total
	$
	243,000
	$
	(10,440,000)
	$
	(10,197,000)

170.11	Sec. 2. PUBLIC SAFETY APPROPRIATIONS.
 	
170.12 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
170.13 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 54, article 1, to 
170.14 	the agencies and for the purposes specified in this article. The appropriations are from the 
170.15 	general fund, or another named fund, and are available for the fiscal years indicated for 
170.16 	each purpose. The figures "2008" and "2009" used in this article mean that the addition to 
170.17 	or subtraction from the appropriations listed under them are available for the fiscal year 
170.18 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
170.19 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the day 
170.20 	following final enactment. "The first year" is fiscal year 2008. "The second year" is fiscal 
170.21 	year 2009. "The biennium" is fiscal years 2008 and 2009.

170.22				APPROPRIATIONS
	
170.23				Available for the Year
	
170.24				Ending June 30
	
170.25					2008
		2009

170.26	Sec. 3. SUPREME COURT
 	$
	-0-
	$
	(951,000)
	
170.27 	The appropriation additions or reductions for 
170.28 	each purpose are as follows:

170.29	(a) Supreme Court Operations
 		-0-
		(831,000)

170.30	 (b)Civil Legal Services
 		-0-
		(120,000)

170.31	Sec. 4. COURT OF APPEALS
 	$
	-0-
	$
	(250,000)

170.32	Sec. 5. DISTRICT COURTS
 	$
	-0-
	$
	(2,800,000)
	
171.1 	This reduction may be applied to any 
171.2 	appropriation contained in Laws 2007, 
171.3 	chapter 54, article 1, section 5.

171.4	Sec. 6. BOARD OF PUBLIC DEFENSE
 	$
	-0-
	$
	(1,491,000)

171.5	Sec. 7. PUBLIC SAFETY

171.6	Subdivision 1.Total Appropriation
 	$
	360,000
	$
	(2,057,000)
	
171.7 	The appropriation additions or reductions 
171.8 	for each purpose are shown in the following 
171.9 	subdivisions.

171.10	Subd. 2.Emergency Management

171.11	(a) State Match
 		360,000
		-0-
	
171.12 	This appropriation is to provide a match 
171.13 	for FEMA money received for natural 
171.14 	disaster assistance payments and is added 
171.15 	to appropriations in Laws 2007, chapter 
171.16 	54, article 1, section 10, subdivision 2. It 
171.17 	is available until June 30, 2010, and is a 
171.18 	onetime appropriation.

171.19	(b) Chemical Assessment/HazMat Teams
 		-0-
		(40,000)
	
171.20 	The appropriation from the general fund in 
171.21 	the second year to reimburse local chemical 
171.22 	assessment and hazardous materials teams 
171.23 	when they respond to incidents is reduced 
171.24 	by $40,000. Reimbursements up to $40,000 
171.25 	per year are to be made from revenues in 
171.26 	the special revenue fund from billings to 
171.27 	responsible companies.

171.28	Subd. 3.Criminal Apprehension

171.29	(a) CriMNet
 		-0-
		(1,265,000)

171.30
171.31	(b) Agencywide Cut, Except for Office of 
Justice Programs
 		-0-
		(250,000)
	
172.1 	This reduction may be applied to any 
172.2 	program funded under Laws 2007, chapter 
172.3 	54, article 1, section 10, with the exception of 
172.4 	the Office of Justice programs. Reductions to 
172.5 	the Office of Justice programs are specified 
172.6 	in subdivision 4. No other reductions may be 
172.7 	made from that office.

172.8	Subd. 4.Office of Justice Programs

172.9	(a) Financial Crimes Task Force
 		-0-
		(450,000)

172.10	(b) Squad Car Cameras
 		-0-
		(52,000)
	
172.11 	The base for these grants in fiscal year 2010 
172.12 	is $0.

172.13	Sec. 8. HUMAN RIGHTS
 	$
	-0-
	$
	(149,000)

172.14	Sec. 9. CORRECTIONS
	$
	(92,000)
	$
	(2,792,000)
	
172.15 	The appropriation additions or reductions for 
172.16 	each purpose are as follows:

172.17	(a) Short-Term Offenders
		-0-
		(2,100,000)

172.18	(b) Sentencing to Service
		-0-
		(600,000)

172.19	(c) 8-Day Holds
		(92,000)
		(92,000)

172.20 	Sec. 10. Minnesota Statutes 2007 Supplement, section 297I.06, subdivision 3, is 
172.21 	amended to read:
172.22 		Subd. 3.Fire safety account, annual transfers, allocation. A special account, to 
172.23 	be known as the fire safety account, is created in the state treasury. The account consists of 
172.24 	the proceeds under subdivisions 1 and 2. $468,000 in fiscal year 2008 and $2,268,000, 
172.25 	$4,268,000 in fiscal year 2009, and $2,268,000 in each year thereafter is transferred from 
172.26 	the fire safety account in the special revenue fund to the general fund to offset the loss of 
172.27 	revenue caused by the repeal of the one-half of one percent tax on fire insurance premiums. 

172.28 	Sec. 11. Minnesota Statutes 2006, section 357.021, subdivision 6, is amended to read:
172.29 		Subd. 6.Surcharges on criminal and traffic offenders. (a) Except as provided 
172.30 	in this paragraph, the court shall impose and the court administrator shall collect a $72
173.1 	$75 surcharge on every person convicted of any felony, gross misdemeanor, misdemeanor, 
173.2 	or petty misdemeanor offense, other than a violation of a law or ordinance relating to 
173.3 	vehicle parking, for which there shall be a $4 surcharge. In the Second Judicial District, 
173.4 	the court shall impose, and the court administrator shall collect, an additional $1 surcharge 
173.5 	on every person convicted of any felony, gross misdemeanor, misdemeanor, or petty 
173.6 	misdemeanor offense, including a violation of a law or ordinance relating to vehicle 
173.7 	parking, if the Ramsey County Board of Commissioners authorizes the $1 surcharge. The 
173.8 	surcharge shall be imposed whether or not the person is sentenced to imprisonment or the 
173.9 	sentence is stayed. The surcharge shall not be imposed when a person is convicted of a 
173.10 	petty misdemeanor for which no fine is imposed.
173.11 	(b) If the court fails to impose a surcharge as required by this subdivision, the court 
173.12 	administrator shall show the imposition of the surcharge, collect the surcharge, and 
173.13 	correct the record.
173.14 	(c) The court may not waive payment of the surcharge required under this 
173.15 	subdivision. Upon a showing of indigency or undue hardship upon the convicted person 
173.16 	or the convicted person's immediate family, the sentencing court may authorize payment 
173.17 	of the surcharge in installments.
173.18 	(d) The court administrator or other entity collecting a surcharge shall forward it 
173.19 	to the commissioner of finance.
173.20 	(e) If the convicted person is sentenced to imprisonment and has not paid the 
173.21 	surcharge before the term of imprisonment begins, the chief executive officer of the 
173.22 	correctional facility in which the convicted person is incarcerated shall collect the 
173.23 	surcharge from any earnings the inmate accrues from work performed in the facility 
173.24 	or while on conditional release. The chief executive officer shall forward the amount 
173.25 	collected to the commissioner of finance.

173.26 	Sec. 12. Minnesota Statutes 2006, section 357.021, subdivision 7, is amended to read:
173.27 		Subd. 7.Disbursement of surcharges by commissioner of finance. (a) Except 
173.28 	as provided in paragraphs (b), (c), and (d), the commissioner of finance shall disburse 
173.29 	surcharges received under subdivision 6 and section 97A.065, subdivision 2, as follows:
173.30 	(1) one percent shall be credited to the game and fish fund to provide peace officer 
173.31 	training for employees of the Department of Natural Resources who are licensed under 
173.32 	sections 626.84 to 626.863, and who possess peace officer authority for the purpose of 
173.33 	enforcing game and fish laws;
173.34 	(2) 39 percent shall be credited to the peace officers training account in the special 
173.35 	revenue fund; and
174.1 	(3) 60 percent shall be credited to the general fund.
174.2 	(b) The commissioner of finance shall credit $3 of each surcharge received under 
174.3 	subdivision 6 and section 97A.065, subdivision 2, to the general fund.
174.4 	(c) In addition to any amounts credited under paragraph (a), the commissioner of 
174.5 	finance shall credit $44$47 of each surcharge received under subdivision 6 and section 
174.6 	97A.065, subdivision 2, and the $4 parking surcharge, to the general fund.
174.7 	(d) If the Ramsey County Board of Commissioners authorizes imposition of 
174.8 	the additional $1 surcharge provided for in subdivision 6, paragraph (a), the court 
174.9 	administrator in the Second Judicial District shall transmit the surcharge to the 
174.10 	commissioner of finance. The $1 special surcharge is deposited in a Ramsey County 
174.11 	surcharge account in the special revenue fund and amounts in the account are appropriated 
174.12 	to the trial courts for the administration of the petty misdemeanor diversion program 
174.13 	operated by the Second Judicial District Ramsey County Violations Bureau.

174.14 	Sec. 13. Laws 2007, chapter 54, article 1, section 11, is amended to read:

174.15
174.16	Sec. 11. PEACE OFFICER STANDARDS 
AND TRAINING (POST) BOARD
 	$ 
	4,296,000 
 4,271,000
	$ 
	4,278,000
4,328,000
	
174.17 	Excess Amounts Transferred. This 
174.18 	appropriation is from the peace officer 
174.19 	training account in the special revenue fund. 
174.20 	Any new receipts credited to that account 
174.21 	in the first year in excess of $4,296,000
174.22 	$4,271,000 must be transferred and credited 
174.23 	to the general fund. Any new receipts 
174.24 	credited to that account in the second year 
174.25 	in excess of $4,278,000 $4,328,000 must be 
174.26 	transferred and credited to the general fund. 
174.27 	Peace Officer Training Reimbursements.
174.28 	$3,159,000 the first year and $ 3,159,000 the 
174.29 	second year are for reimbursements to local 
174.30 	governments for peace officer training costs. 
174.31 	No Contact Orders. The board shall: (1) 
174.32 	revise and update preservice courses and 
174.33 	develop in-service training courses related 
174.34 	to no contact orders in domestic violence 
174.35 	cases and domestic violence dynamics; and 
175.1 	(2) reimburse peace officers who have taken 
175.2 	training courses described in clause (1). 
175.3 	At a minimum, the training must include 
175.4 	instruction in the laws relating to no contact 
175.5 	orders and address how to best coordinate 
175.6 	law enforcement resources relating to no 
175.7 	contact orders. In addition, the training 
175.8 	must include a component to instruct peace 
175.9 	officers on doing risk assessments of the 
175.10 	escalating factors of lethality in domestic 
175.11 	violence cases. The board must consult with 
175.12 	a statewide domestic violence organization 
175.13 	in developing training courses. The board 
175.14 	shall utilize a request for proposal process in 
175.15 	awarding training contracts. The recipient 
175.16 	of the training contract must conduct these 
175.17 	trainings with advocates or instructors from 
175.18 	a statewide domestic violence organization. 
175.19 	Beginning on January 1, 2008, the board may 
175.20 	not approve an in-service training course 
175.21 	relating to domestic abuse that does not 
175.22 	comply with this section.

175.23 	ARTICLE 13
175.24 	STATE GOVERNMENT

175.25	Section 1.  SUMMARY OF APPROPRIATIONS.

175.26 	The amounts shown in this section summarize direct appropriations, by fund, made 
175.27 	in this article.

175.28			2008
		2009
		Total
	
175.29	General
	$
	-0-
	$
	(1,104,000)
	$
	(1,104,000)

175.30	Sec. 2. APPROPRIATIONS.
 	
175.31 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
175.32 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 148, article 1, to 
175.33 	the agencies and for the purposes specified in this article. The appropriations are from the 
176.1 	general fund or another named fund and are available for the fiscal years indicated for 
176.2 	each purpose. The figures "2008" and "2009" used in this article mean that the addition 
176.3 	to or subtraction from the appropriation listed under them is available for the fiscal year 
176.4 	ending June 30, 2008, or June 30, 2009, respectively. Supplemental appropriations and 
176.5 	reductions to appropriations for the fiscal year ending June 30, 2008, are effective the 
176.6 	day following final enactment.

176.7				APPROPRIATIONS
	
176.8				Available for the Year
	
176.9				Ending June 30
	
176.10					2008
		2009

176.11	Sec. 3. LEGISLATURE

176.12	Subdivision 1.Total Reduction
 	$
	-0-
	$
	(1,821,000)
	
176.13 	The appropriation additions or reductions 
176.14 	for each purpose are shown in the following 
176.15 	subdivisions.

176.16	Subd. 2.Senate
 		-0-
		(710,000)
	
176.17 	The base budget for the senate shall 
176.18 	be $22,958,000 in fiscal year 2010 and 
176.19 	$22,958,000 in fiscal year 2011.

176.20	Subd. 3.House of Representatives
 		-0-
		(952,000)
	
176.21 	The base budget for the house of 
176.22 	representatives shall be $30,866,000 in fiscal 
176.23 	year 2010 and $30,866,000 in fiscal year 
176.24 	2011.

176.25	Subd. 4.Legislative Coordinating Commission
 		-0-
		(159,000)
	
176.26 	The base budget for the Legislative 
176.27 	Coordinating Commission shall be 
176.28 	$15,734,000 in fiscal year 2010 and 
176.29 	$15,734,000 in fiscal year 2011.

176.30	Sec. 4. GOVERNOR
 	$
	-0-
	$
	(113,000)
	
176.31 	The base budget for the office of the governor 
176.32 	shall be $3,701,000 in fiscal year 2010 and 
176.33 	$3,701,000 in fiscal year 2011.

177.1	Sec. 5. STATE AUDITOR
 	$
	-0-
	$
	(42,000)

177.2	Sec. 6. ATTORNEY GENERAL
 	$
	-0-
	$
	(749,000)

177.3	Sec. 7. SECRETARY OF STATE
 	$
	-0-
	$
	(195,000)
	
177.4 	The base budget for the secretary of state 
177.5 	shall be $6,134,000 in fiscal year 2010 and 
177.6 	$6,301,000 in fiscal year 2011.

177.7
177.8	Sec. 8. OFFICE OF ENTERPRISE 
TECHNOLOGY
 	$
	-0-
	$
	(313,000)
	
177.9 	The base budget for the Office of Enterprise 
177.10 	Technology shall be $6,076,000 in fiscal year 
177.11 	2010 and $6,076,000 in fiscal year 2011.

177.12	Sec. 9. ADMINISTRATION
 	$
	-0-
	$
	(1,274,000)
	
177.13 	$885,000 of the reduction is from the 
177.14 	appropriation for Department of Public 
177.15 	Safety relocation expenses.
177.16 	By June 30, 2009, the commissioner 
177.17 	of finance shall transfer $1,000,000 of 
177.18 	the balance in the facilities repair and 
177.19 	replacement account in the special revenue 
177.20 	fund to the general fund. This amount 
177.21 	is in addition to amounts transferred 
177.22 	under Minnesota Statutes, section 16B.24, 
177.23 	subdivision 5, paragraph (d).
177.24 	$40,000 is to design and construct a workers 
177.25 	memorial on the Capitol grounds in St. 
177.26 	Paul. This appropriation is added to the 
177.27 	appropriation in Laws 2006, chapter 258, 
177.28 	section 12, subdivision 4.
177.29 	$40,000 is for a grant to the Capitol 
177.30 	Area Architectural and Planning Board to 
177.31 	design and construct a memorial to Hubert 
178.1 	H. Humphrey in the Capitol area. This 
178.2 	appropriation is added to the appropriations 
178.3 	for the same purpose in Laws 1993, chapter 
178.4 	192, section 16; and Laws 1999, chapter 250, 
178.5 	article 1, section 13, and is available until 
178.6 	expended.

178.7	Sec. 10. FINANCE
 	$
	-0-
	$
	(624,000)
	
178.8 	After the Departments of Finance and 
178.9 	Employee Relations merge as directed in 
178.10 	Laws 2007, chapter 148, article 2, section 80, 
178.11 	the commissioner of finance may reallocate 
178.12 	fiscal year 2009 general fund appropriation 
178.13 	reductions among programs within the 
178.14 	merged agency. Any reallocation of funds 
178.15 	shall be shown in the program appropriations 
178.16 	base for fiscal years 2010 and 2011 according 
178.17 	to Minnesota Statutes, section 16A.11, 
178.18 	subdivision 3, paragraph (b).

178.19	Sec. 11. EMPLOYEE RELATIONS
 	$
	-0-
	$
	(218,000)
	
178.20 	The base budget for employee relations 
178.21 	shall be $5,241,000 in fiscal year 2010 and 
178.22 	$5,241,000 in fiscal year 2011 to reflect the 
178.23 	reduction and a transfer to the Department of 
178.24 	Health for the merger in Laws 2007, chapter 
178.25 	148, article 2, section 80.

178.26	Sec. 12. REVENUE
 	$
	-0-
	$
	 6,120,000
	
178.27 	$7,000,000 is for additional activities to 
178.28 	identify and collect tax liabilities from 
178.29 	individuals and businesses that currently 
178.30 	do not pay all taxes owed. This initiative 
178.31 	is expected to result in new general fund 
178.32 	revenues of $21,000,000 for fiscal year 2009.
179.1 	The department must report to the chairs of 
179.2 	the house of representatives Ways and Means 
179.3 	Committee and senate Finance Committee 
179.4 	by March 1, 2009, and January 15, 2010, on 
179.5 	the following performance indicators:
179.6 	(1) the number of corporations noncompliant 
179.7 	with the corporate tax system each year and 
179.8 	the percentage and dollar amounts of valid 
179.9 	tax liabilities collected;
179.10 	(2) the number of businesses noncompliant 
179.11 	with the sales and use tax system and the 
179.12 	percentage and dollar amounts of the valid 
179.13 	tax liabilities collected; and
179.14 	(3) the number of individual noncompliant 
179.15 	cases resolved and the percentage and dollar 
179.16 	amounts of valid tax liabilities collected.
179.17 	The reports must also identify base-level 
179.18 	expenditures and staff positions related to 
179.19 	compliance and audit activities, including 
179.20 	baseline information as of January 1, 2006. 
179.21 	The information must be provided at the 
179.22 	budget activity level.
179.23 	$1,240,000 is a reduction from the 
179.24 	appropriation for the tax system management 
179.25 	program.
179.26 	$360,000 is for the costs of administering the 
179.27 	data match program under new Minnesota 
179.28 	Statutes, section 13B.07, including payments 
179.29 	to financial institutions in exchange for 
179.30 	performing data matches under that section.

179.31 	Sec. 13. [5.33] RETURNING COMBAT VETERANS.
179.32 	If any Minnesota business or nonprofit corporation, limited liability company, 
179.33 	cooperative, limited partnership, or limited liability partnership has been administratively 
179.34 	or statutorily dissolved, revoked, or terminated after December 31, 2006, for failure to file 
180.1 	an annual or periodic report with the Office of the Secretary of State during a calendar 
180.2 	year when an individual with substantial responsibility for the operation of the dissolved, 
180.3 	revoked, or terminated business or nonprofit corporation, limited liability company, 
180.4 	cooperative, limited partnership, or limited liability partnership was serving in active 
180.5 	military service in the armed forces of the United States, including the reserves or National 
180.6 	Guard, as defined in section 190.05, subdivision 5b or 5c, or was engaged in employment 
180.7 	outside of the United States essential to the prosecution of a war or to the national defense, 
180.8 	as designated by the United States Congress or the United States Department of Defense, 
180.9 	the secretary of state shall waive any reinstatement fee otherwise required by law.

180.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

180.11 	Sec. 14. [13B.07] TAX DEBTOR DATA MATCHES.
180.12 		Subdivision 1.Definitions. The definitions in this subdivision apply to this section.
180.13 	(a) "Account" means demand deposit account, checking account, negotiable order of 
180.14 	withdrawal account, savings account, time deposit account, money market mutual fund 
180.15 	account, or certificate of deposit account located in Minnesota.
180.16 	(b) "Account information" means the type of account, the account number, and 
180.17 	whether the account is singly or jointly owned.
180.18 	(c) "Commissioner" means the commissioner of revenue.
180.19 	(d) "Debtor" means a person for whom a notice of lien has been filed by the 
180.20 	commissioner as provided by section 270C.63, subdivision 2.
180.21 	(e) "Financial institution" means any of the following that do business in this state:
180.22 	(1) federal or state commercial banks and federal or state savings banks, including 
180.23 	savings and loan associations and cooperative banks;
180.24 	(2) federal and state chartered credit unions;
180.25 	(3) safe deposit companies; or
180.26 	(4) money market mutual funds.
180.27 	(f) "Person" means a person as defined in section 270C.01, subdivision 6.
180.28 	(g) "Service level agreement" means an agreement entered into between the 
180.29 	commissioner and a financial institution that defines terms and conditions by which the 
180.30 	financial institution will provide data matches to the commissioner.
180.31 		Subd. 2.Data match system established. The commissioner shall establish a 
180.32 	process for the comparison of account information data held by financial institutions with 
180.33 	the Department of Revenue's database of debtors. The commissioner, in consultation 
180.34 	with representatives from financial institutions, shall develop an implementation and 
180.35 	administration plan for the data match system that attempts to minimize financial burdens 
181.1 	on financial institutions for start-up and compliance costs and takes into consideration the 
181.2 	financial institutions' existing data match systems. The commissioner shall inform the 
181.3 	financial industry of the requirements of this section and the means by which financial 
181.4 	institutions can comply no later than October 1, 2008, with the financial institutions 
181.5 	receiving the first match requests no earlier than January 1, 2009. The commissioner may 
181.6 	enter into service-level agreements with financial institutions.
181.7 		Subd. 3.Duty to provide data. Within 30 days of a request by the commissioner, 
181.8 	a financial institution shall provide to the commissioner the name, address, personal 
181.9 	identifying information, and account information for each debtor or account holder, in 
181.10 	accordance with the method chosen in subdivision 4, who maintains an account at the 
181.11 	financial institution. The commissioner may request from a financial institution the data 
181.12 	concerning any debtor not more than once every three months.
181.13 		Subd. 4.Method to provide data. To comply with the requirements of this section, 
181.14 	a financial institution must elect, in a manner authorized by the commissioner, to either:
181.15 	(1) provide to the commissioner a list containing only the names and other necessary 
181.16 	personal identifying information, including the debtor's address, Social Security number 
181.17 	if an individual, and tax identification number if known, of all account holders for the 
181.18 	commissioner to compare against its list of debtors for the purpose of identifying which 
181.19 	debtors maintain an account at the financial institution; the names of the debtors who 
181.20 	maintain an account at the institution shall then be transmitted to the financial institution 
181.21 	which shall provide the commissioner with account information on those debtors; or
181.22 	(2) obtain an electronic list of debtors from the commissioner that includes each 
181.23 	debtor's name, address, Social Security number if an individual, and tax identification 
181.24 	number if known, and compare that data to the data maintained at the financial institution 
181.25 	to identify which of the identified debtors maintains an account at the financial institution.
181.26 		Subd. 5.Means to provide data. A financial institution must provide the required 
181.27 	data in encrypted form by secure electronic means or other means authorized by the 
181.28 	commissioner.
181.29 		Subd. 6.Access to data. (a) With regard to account information on all 
181.30 	account holders provided by a financial institution under subdivision 4, clause (1), the 
181.31 	commissioner shall retain the reported information only until the account information is 
181.32 	compared against the commissioner's debtor database. Notwithstanding section 138.17, 
181.33 	all account information that does not pertain to a debtor listed in the commissioner's 
181.34 	database must be immediately destroyed and no retention or publication of that data shall 
181.35 	be made by the commissioner. All account information that pertains to a debtor listed in 
181.36 	the commissioner's database must be incorporated into the commissioner's database. 
182.1 	Access to that data is governed by chapters 13 and 270B. Notwithstanding section 16D.06, 
182.2 	data collected pursuant to this section is available for the collection of delinquent taxes 
182.3 	only and is not available for other debt collection activities undertaken by the state.
182.4 	(b) With regard to data on debtors provided by the commissioner to a financial 
182.5 	institution under subdivision 4, clause (2), the financial institution shall retain the 
182.6 	reported information only until the financial institution's database is compared against the 
182.7 	commissioner's database. Data that does not pertain to an account holder at the financial 
182.8 	institution must be immediately destroyed and no retention, publication, or any other use 
182.9 	of that data shall be made by the financial institution.
182.10 		Subd. 7.Fees. A financial institution may charge and collect a fee from the 
182.11 	commissioner for providing account information to the commissioner. The commissioner 
182.12 	may pay a financial institution up to $150 each quarter. The commissioner shall develop 
182.13 	procedures for the financial institutions to charge and collect the fee. Payment of the fee 
182.14 	is limited by the amount of the appropriation for this purpose. If the appropriation is 
182.15 	insufficient, or if fund availability in the fourth quarter would allow payments for actual 
182.16 	costs in excess of $150, the commissioner shall prorate the available funds among the 
182.17 	financial institutions that have submitted a claim for the fee. No financial institution 
182.18 	shall charge or collect a fee that exceeds its actual costs of complying with this section. 
182.19 	The commissioner, together with an advisory group consisting of representatives of 
182.20 	the financial institutions in the state, shall evaluate whether the fees paid to financial 
182.21 	institutions compensate them for their actual costs, including start-up costs, of complying 
182.22 	with this section, and shall evaluate whether the amount appropriated to the commissioner 
182.23 	for the costs of administering the data match system compensates the commissioner for 
182.24 	the costs incurred by the department. The advisory group shall submit a report to the 
182.25 	legislature by February 1, 2009, with a recommendation for retaining or modifying the fee.
182.26 		Subd. 8.Failure to respond to request for information. The commissioner shall 
182.27 	send a written notice of noncompliance to a financial institution that fails to respond to 
182.28 	a first written request for information under this section. The notice must be sent by 
182.29 	certified mail and must explain the requirements of this section and advise the financial 
182.30 	institution of the penalty for noncompliance. A financial institution that receives a second 
182.31 	notice of noncompliance is subject to a civil penalty of $1,000 for its failure to comply. A 
182.32 	financial institution that continues to fail to comply with this section is subject to a civil 
182.33 	penalty of $5,000 for the third and each subsequent failure to comply. The penalties 
182.34 	imposed under this subdivision are collected in the same manner as taxes. A financial 
182.35 	institution that has been served with a notice of noncompliance and incurs a second or 
182.36 	subsequent notice of noncompliance has the right to a contested case hearing under 
183.1 	chapter 14. A financial institution has 20 days from the date of the service of the notice of 
183.2 	noncompliance to file a request for a contested case hearing with the commissioner. The 
183.3 	order of the administrative law judge constitutes the final decision in this case. A financial 
183.4 	institution is considered to be in compliance with this section if it demonstrates that it is 
183.5 	working in good faith to implement the data match program.
183.6 		Subd. 9.Confidentiality. A financial institution furnishing a report to the 
183.7 	commissioner under this section is prohibited from disclosing to a debtor that the name of 
183.8 	the debtor has been received from or furnished to the commissioner.
183.9 		Subd. 10.Immunity. A financial institution that provides or reasonably attempts to 
183.10 	provide information to the commissioner in compliance with this section is not liable to 
183.11 	any person for disclosing the information or for taking any other action in good faith as 
183.12 	authorized by this section.

183.13 	EFFECTIVE DATE. This section is effective July 1, 2008, except that subdivision 
183.14 	8 is effective July 1, 2009.

183.15 	Sec. 15. Minnesota Statutes 2006, section 15A.0815, subdivision 2, as amended by 
183.16 	Laws 2008, chapter 204, section 3, is amended to read:
183.17 		Subd. 2. Group I salary limits. The salaries for positions in this subdivision may 
183.18 	not exceed 95 percent of the salary of the governor: 
183.19 	Commissioner of administration; 
183.20 	Commissioner of agriculture; 
183.21 	Commissioner of education; 
183.22 	Commissioner of commerce; 
183.23 	Commissioner of corrections; 
183.24 	Commissioner of finance; 
183.25 	Commissioner of health; 
183.26 	Executive director, Minnesota Office of Higher Education; 
183.27 	Commissioner, Housing Finance Agency; 
183.28 	Commissioner of human rights; 
183.29 	Commissioner of human services; 
183.30 	Commissioner of labor and industry; 
183.31 	Commissioner of natural resources; 
183.32 	Director of Office of Strategic and Long-Range Planning; 
183.33 	Commissioner, Pollution Control Agency; 
183.34 	Executive director, Public Employees Retirement Association;
183.35 	Commissioner of public safety; 
184.1 	Commissioner of revenue; 
184.2 	Executive director, State Retirement System;
184.3 	Executive director, Teachers Retirement Association;
184.4 	Commissioner of employment and economic development; 
184.5 	Commissioner of transportation; and 
184.6 	Commissioner of veterans affairs.

184.7 	Sec. 16. Minnesota Statutes 2006, section 15A.0815, subdivision 3, is amended to read:
184.8 		Subd. 3.Group II salary limits. The salaries for positions in this subdivision may 
184.9 	not exceed 85 percent of the salary of the governor:
184.10 	Executive director of Gambling Control Board;
184.11 	Commissioner, Iron Range Resources and Rehabilitation Board;
184.12 	Commissioner, Bureau of Mediation Services;
184.13 	Ombudsman for Mental Health and Developmental Disabilities;
184.14 	Chair, Metropolitan Council;
184.15 	Executive director of pari-mutuel racing; and
184.16 	Executive director, Public Employees Retirement Association;
184.17 	Commissioner, Public Utilities Commission;.
184.18 	Executive director, State Retirement System; and
184.19 	Executive director, Teachers Retirement Association.

184.20 	Sec. 17. Minnesota Statutes 2006, section 270B.085, is amended by adding a 
184.21 	subdivision to read:
184.22 		Subd. 4.Data matching program for collection of tax debts. The commissioner 
184.23 	may disclose the name, last known address, and Social Security number of taxpayers who 
184.24 	owe delinquent state taxes for the purpose of administering the tax debt data matching 
184.25 	program with financial institutions under section 13B.07.

184.26 	EFFECTIVE DATE. This section is effective the day following final enactment.

184.27 	Sec. 18. Laws 2005, chapter 156, article 1, section 11, subdivision 2, is amended to 
184.28 	read:

184.29	Subd. 2.State Facilities Services
 		16,070,000
		10,946,000
	
184.30 	$5,124,000 the first year is for onetime 
184.31 	funding of agency relocation expenses. This 
184.32 	amount is available until June 30, 2009. 
185.1 	The Department of Human Services will 
185.2 	obtain federal reimbursement for associated 
185.3 	relocation expenses. This amount, estimated 
185.4 	to be $1,870,000, will be deposited in the 
185.5 	general fund. 
185.6 	$7,888,000 the first year and $7,888,000 the 
185.7 	second year are for office space costs of the 
185.8 	legislature and veterans organizations, for 
185.9 	ceremonial space, and for statutorily free 
185.10 	space. 
185.11 	$2,000,000 of the balance in the state building 
185.12 	code account in the state government special 
185.13 	revenue fund is canceled to the general fund. 
185.14 	$1,950,000 the first year and $1,950,000 the 
185.15 	second year of the balance in the facilities 
185.16 	repair and replacement account in the special 
185.17 	revenue fund is canceled to the general fund. 
185.18 	This is a onetime cancellation. 

185.19 	Sec. 19. Laws 2006, chapter 282, article 2, section 27, subdivision 4, is amended to 
185.20 	read:
185.21 		Subd. 4. Expiration. The commission expires December 31, 2008 June 30, 2009.

185.22 	Sec. 20. Laws 2007, chapter 148, article 1, section 12, subdivision 4, is amended to 
185.23 	read:

185.24	Subd. 4. Administrative Management Services
 		5,672,000 
		5,218,000 
	
185.25 	(a) $125,000 the first year is to create an 
185.26 	Office of Grants Management to standardize 
185.27 	state grants management policies and 
185.28 	procedures. For the fiscal year beginning 
185.29 	July 1, 2008, the commissioner must may
185.30 	deduct up to $125,000 from state grants 
185.31 	that are subject to Minnesota Statutes, 
185.32 	section 16B.97, to nongovernmental
185.33 	nonstate entities, as necessary to fund the 
186.1 	commissioner's duties under new Minnesota 
186.2 	Statutes, sections 16B.97 and 16B.98. 
186.3 	The amount deducted from appropriations 
186.4 	for these grants is transferred to the 
186.5 	commissioner for purposes of administering 
186.6 	these sections. 
186.7 	(b) $250,000 the first year and $250,000 
186.8 	the second year are to establish a small 
186.9 	agency resource team to consolidate and 
186.10 	streamline the human resources and financial 
186.11 	management activities for small state 
186.12 	agencies, boards, and councils. 
186.13 	(c) $500,000 the first year is a onetime 
186.14 	appropriation for a targeted group business 
186.15 	disparity study. The commissioner 
186.16 	must cooperate with units of local 
186.17 	government conducting similar studies. The 
186.18 	commissioner shall ensure that the results of 
186.19 	the study are kept current and that any new or 
186.20 	upgraded accounting or procurement systems 
186.21 	properly record purchases from minority and 
186.22 	female-owned businesses through the use of 
186.23 	state contracts, and the availability of bids 
186.24 	from those businesses. 
186.25 	(d) $74,000 the first year and $74,000 
186.26 	the second year are for the Council on 
186.27 	Developmental Disabilities. 
186.28 	(e) $140,000 in fiscal year 2008 and $140,000 
186.29 	in fiscal year 2009 are for a grant to the 
186.30 	Council on Developmental Disabilities 
186.31 	for the purpose of establishing a statewide 
186.32 	self-advocacy network for persons with 
186.33 	intellectual and developmental disabilities 
186.34 	(ID/DD). The self-advocacy network shall: 
187.1 	(1) ensure that persons with ID/DD are 
187.2 	informed of their rights in employment, 
187.3 	housing, transportation, voting, government 
187.4 	policy, and other issues pertinent to the 
187.5 	ID/DD community; 
187.6 	(2) provide public education and awareness 
187.7 	of the civil and human rights issues persons 
187.8 	with ID/DD face; 
187.9 	(3) provide funds, technical assistance, and 
187.10 	other resources for self-advocacy groups 
187.11 	across the state; and 
187.12 	(4) organize systems of communications 
187.13 	to facilitate an exchange of information 
187.14 	between self-advocacy groups. 
187.15 	This appropriation is in addition to any other 
187.16 	appropriations and must be added to the base 
187.17 	appropriation beginning in fiscal year 2010. 

187.18 	Sec. 21. PROFESSIONAL AND TECHNICAL CONTRACTS.
 187.19 	By July 1, 2008, the commissioner of finance shall allocate a reduction of $1,875,000 
187.20 	among the general fund appropriations for fiscal year 2009 to executive branch state 
187.21 	agencies, as defined in Minnesota Statutes, section 16A.011, subdivision 12a. To the 
187.22 	extent possible, this reduction must be achieved through reductions in expenditures for 
187.23 	professional and technical contracts, as defined in Minnesota Statutes, section 16C.08, 
187.24 	subdivision 1. Executive branch state agencies shall cooperate with the commissioner 
187.25 	of finance in developing and implementing the reductions. Any reductions that cannot 
187.26 	be achieved through savings in professional and technical contracts must be allocated 
187.27 	proportionally across executive branch state agency operating budgets. For the purposes 
187.28 	of defining the base under Minnesota Statutes, section 16A.11, subdivision 3, paragraph 
187.29 	(b), $575,000 each year must be allocated as a permanent reduction to state agency 
187.30 	base appropriations for fiscal years 2010 and 2011. The reductions must be allocated in 
187.31 	proportion to the fiscal year 2009 reduction. For purposes of this subdivision, "executive 
187.32 	branch state agency" does not include the Minnesota State Colleges and Universities. By 
187.33 	January 15, 2009, the commissioner of finance shall report to the chairs and ranking 
187.34 	minority members of the legislative committees with jurisdiction over finance regarding 
188.1 	the amount of the reductions in professional and technical contract spending by each 
188.2 	agency.

188.3 	Sec. 22. LEGISLATORS' FORUM.
 188.4 	During the biennium ending June 30, 2009, the Legislative Coordinating 
188.5 	Commission must pay expenses associated with Minnesota legislators' participation in 
188.6 	a legislators' forum, through which Minnesota legislators meet with counterparts from 
188.7 	South Dakota, North Dakota, and Manitoba to discuss issues of mutual concern.

188.8 	EFFECTIVE DATE. This section is effective the day following final enactment.

188.9 	ARTICLE 14
188.10 	RESERVES AND TRANSFERS

188.11 	Section 1. BUDGET RESERVE REDUCTION.
 188.12 	On July 1, 2008, the commissioner of finance shall cancel $500,000,000 of the 
188.13 	balance in the budget reserve account in Minnesota Statutes, section 16A.152, to the 
188.14 	general fund.

188.15 	Sec. 2. DUPLICATE APPROPRIATIONS.
 188.16 	Unless another act explicitly provides otherwise, appropriations and transfers made 
188.17 	in this act and other acts must be implemented only once even if the provision or a similar 
188.18 	provision with the same fiscal effect in the same fiscal year is included in another act. This 
188.19 	section applies to laws enacted in the 2008 regular session.

188.20 	Sec. 3. SEVERABLE PROVISIONS.
 188.21 	If any provision of this act is found to be unconstitutional, the remaining provisions 
188.22 	of this act remain valid.

188.23 	ARTICLE 15
188.24 	CONTINUING CARE

188.25 	Section 1. Minnesota Statutes 2006, section 256B.0621, subdivision 2, is amended to 
188.26 	read:
188.27 		Subd. 2.Targeted case management; definitions. For purposes of subdivisions 3 
188.28 	to 10, the following terms have the meanings given them:
188.29 	(1) "home care service recipients" means those individuals receiving the following 
188.30 	services under sections 256B.0651 to 256B.0656: skilled nursing visits, home health aide 
189.1 	visits, private duty nursing, personal care assistants, or therapies provided through a 
189.2 	home health agency;
189.3 	(2) "home care targeted case management" means the provision of targeted case 
189.4 	management services for the purpose of assisting home care service recipients to gain 
189.5 	access to needed services and supports so that they may remain in the community;
189.6 	(3) "institutions" means hospitals, consistent with Code of Federal Regulations, title 
189.7 	42, section 440.10; regional treatment center inpatient services, consistent with section 
189.8 	245.474; nursing facilities; and intermediate care facilities for persons with developmental 
189.9 	disabilities;
189.10 	(4) "relocation targeted case management" includes the provision of both county 
189.11 	targeted case management and public or private vendor service coordination services 
189.12 	for the purpose of assisting recipients to gain access to needed services and supports if 
189.13 	they choose to move from an institution to the community. Relocation targeted case 
189.14 	management may be provided during the lesser of:
189.15 	(i) the last 180 consecutive days of an eligible recipient's institutional stay; or
189.16 	(ii) the limits and conditions which apply to federal Medicaid funding for this 
189.17 	service; and
189.18 	(5) "targeted case management" means case management services provided to help 
189.19 	recipients gain access to needed medical, social, educational, and other services and 
189.20 	supports.

189.21 	Sec. 2. Minnesota Statutes 2006, section 256B.0621, subdivision 6, is amended to read:
189.22 		Subd. 6.Eligible services. (a) Services eligible for medical assistance 
189.23 	reimbursement as targeted case management include:
189.24 	(1) assessment of the recipient's need for targeted case management services and 
189.25 	for persons choosing to relocate, the county must provide service coordination provider 
189.26 	options at the first contact and upon request;
189.27 	(2) development, completion, and regular review of a written individual service 
189.28 	plan, which is based upon the assessment of the recipient's needs and choices, and which 
189.29 	will ensure access to medical, social, educational, and other related services and supports;
189.30 	(3) routine contact or communication with the recipient, recipient's family, primary 
189.31 	caregiver, legal representative, substitute care provider, service providers, or other relevant 
189.32 	persons identified as necessary to the development or implementation of the goals of the 
189.33 	individual service plan;
190.1 	(4) coordinating referrals for, and the provision of, case management services for 
190.2 	the recipient with appropriate service providers, consistent with section 1902(a)(23) of 
190.3 	the Social Security Act;
190.4 	(5) coordinating and monitoring the overall service delivery and engaging in 
190.5 	advocacy as needed to ensure quality of services, appropriateness, and continued need;
190.6 	(6) completing and maintaining necessary documentation that supports and verifies 
190.7 	the activities in this subdivision;
190.8 	(7) assisting individuals in order to access needed services, including travel to 
190.9 	conduct a visit with the recipient or other relevant person necessary to develop or 
190.10 	implement the goals of the individual service plan; and
190.11 	(8) coordinating with the institution discharge planner in the 180-day period before 
190.12 	the recipient's discharge.
190.13 	(b) Relocation targeted county case management includes services under paragraph 
190.14 	(a), clauses (1), (2), and (4). Relocation service coordination includes services under 
190.15 	paragraph (a), clauses (3) and (5) to (8). Home care targeted case management includes 
190.16 	services under paragraph (a), clauses (1) to (8).

190.17 	Sec. 3. Minnesota Statutes 2006, section 256B.0621, subdivision 10, is amended to 
190.18 	read:
190.19 		Subd. 10.Payment rates. The commissioner shall set payment rates for targeted 
190.20 	case management under this subdivision. Case managers may bill according to the 
190.21 	following criteria:
190.22 	(1) for relocation targeted case management, case managers may bill for direct case 
190.23 	management activities, including face-to-face and telephone contacts, in the lesser of:
190.24 	(i) 180 days preceding an eligible recipient's discharge from an institution; or
190.25 	(ii) the limits and conditions which apply to federal Medicaid funding for this 
190.26 	service;
190.27 	(2) for home care targeted case management, case managers may bill for direct case 
190.28 	management activities, including face-to-face and telephone contacts; and
190.29 	(3) billings for targeted case management services under this subdivision shall not 
190.30 	duplicate payments made under other program authorities for the same purpose.

190.31 	Sec. 4. Minnesota Statutes 2007 Supplement, section 256B.0625, subdivision 20, 
190.32 	is amended to read:
190.33 		Subd. 20.Mental health case management. (a) To the extent authorized by rule 
190.34 	of the state agency, medical assistance covers case management services to persons with 
191.1 	serious and persistent mental illness and children with severe emotional disturbance. 
191.2 	Services provided under this section must meet the relevant standards in sections 245.461
191.3 	to 245.4887, the Comprehensive Adult and Children's Mental Health Acts, Minnesota 
191.4 	Rules, parts 9520.0900 to 9520.0926, and 9505.0322, excluding subpart 10. 
191.5 	(b) Entities meeting program standards set out in rules governing family community 
191.6 	support services as defined in section 245.4871, subdivision 17, are eligible for medical 
191.7 	assistance reimbursement for case management services for children with severe 
191.8 	emotional disturbance when these services meet the program standards in Minnesota 
191.9 	Rules, parts 9520.0900 to 9520.0926 and 9505.0322, excluding subparts 6 and 10. 
191.10 	(c) Medical assistance and MinnesotaCare payment for mental health case 
191.11 	management shall be made on a monthly basis. In order to receive payment for an eligible 
191.12 	child, the provider must document at least a face-to-face contact with the child, the child's 
191.13 	parents, or the child's legal representative. To receive payment for an eligible adult, the 
191.14 	provider must document:
191.15 	(1) at least a face-to-face contact with the adult or the adult's legal representative; or
191.16 	(2) at least a telephone contact with the adult or the adult's legal representative and 
191.17 	document a face-to-face contact with the adult or the adult's legal representative within 
191.18 	the preceding two months.
191.19 	(d) Payment for mental health case management provided by county or state staff 
191.20 	shall be based on the monthly rate methodology under section 256B.094, subdivision 6, 
191.21 	paragraph (b), with separate rates calculated for child welfare and mental health, and 
191.22 	within mental health, separate rates for children and adults. 
191.23 	(e) Payment for mental health case management provided by Indian health services 
191.24 	or by agencies operated by Indian tribes may be made according to this section or other 
191.25 	relevant federally approved rate setting methodology.
191.26 	(f) Payment for mental health case management provided by vendors who contract 
191.27 	with a county or Indian tribe shall be based on a monthly rate negotiated by the host county 
191.28 	or tribe. The negotiated rate must not exceed the rate charged by the vendor for the same 
191.29 	service to other payers. If the service is provided by a team of contracted vendors, the 
191.30 	county or tribe may negotiate a team rate with a vendor who is a member of the team. The 
191.31 	team shall determine how to distribute the rate among its members. No reimbursement 
191.32 	received by contracted vendors shall be returned to the county or tribe, except to reimburse 
191.33 	the county or tribe for advance funding provided by the county or tribe to the vendor.
191.34 	(g) If the service is provided by a team which includes contracted vendors, tribal 
191.35 	staff, and county or state staff, the costs for county or state staff participation in the team 
191.36 	shall be included in the rate for county-provided services. In this case, the contracted 
192.1 	vendor, the tribal agency, and the county may each receive separate payment for services 
192.2 	provided by each entity in the same month. In order to prevent duplication of services, 
192.3 	each entity must document, in the recipient's file, the need for team case management and 
192.4 	a description of the roles of the team members.
192.5 	(h) Notwithstanding section 256B.19, subdivision 1, the nonfederal share of costs 
192.6 	for mental health case management shall be provided by the recipient's county of 
192.7 	responsibility, as defined in sections 256G.01 to 256G.12, from sources other than federal 
192.8 	funds or funds used to match other federal funds. If the service is provided by a tribal 
192.9 	agency, the nonfederal share, if any, shall be provided by the recipient's tribe. When this 
192.10 	service is paid by the state without a federal share through fee-for-service, 50 percent of 
192.11 	the cost shall be provided by the recipient's county of responsibility.
192.12 	(i) Notwithstanding any administrative rule to the contrary, prepaid medical 
192.13 	assistance, general assistance medical care, and MinnesotaCare include mental health case 
192.14 	management. When the service is provided through prepaid capitation, the nonfederal 
192.15 	share is paid by the state and the county pays no share.
192.16 	(j) The commissioner may suspend, reduce, or terminate the reimbursement to a 
192.17 	provider that does not meet the reporting or other requirements of this section. The county 
192.18 	of responsibility, as defined in sections 256G.01 to 256G.12, or, if applicable, the tribal 
192.19 	agency, is responsible for any federal disallowances. The county or tribe may share this 
192.20 	responsibility with its contracted vendors. 
192.21 	(k) The commissioner shall set aside a portion of the federal funds earned for county 
192.22 	expenditures under this section to repay the special revenue maximization account under 
192.23 	section 256.01, subdivision 2, clause (15). The repayment is limited to: 
192.24 	(1) the costs of developing and implementing this section; and
192.25 	(2) programming the information systems.
192.26 	(l) Payments to counties and tribal agencies for case management expenditures 
192.27 	under this section shall only be made from federal earnings from services provided 
192.28 	under this section. When this service is paid by the state without a federal share through 
192.29 	fee-for-service, 50 percent of the cost shall be provided by the state. Payments to 
192.30 	county-contracted vendors shall include the federal earnings, the state share, and the 
192.31 	county share.
192.32 	(m) Case management services under this subdivision do not include therapy, 
192.33 	treatment, legal, or outreach services.
192.34 	(n) If the recipient is a resident of a nursing facility, intermediate care facility, or 
192.35 	hospital, and the recipient's institutional care is paid by medical assistance, payment for 
192.36 	case management services under this subdivision is limited to the lesser of:
193.1 	(1) the last 180 days of the recipient's residency in that facility and may not exceed 
193.2 	more than six months in a calendar year; or
193.3 	(2) the limits and conditions which apply to federal Medicaid funding for this service.
193.4 	(o) Payment for case management services under this subdivision shall not duplicate 
193.5 	payments made under other program authorities for the same purpose.

193.6 	Sec. 5. [256B.0658] HOUSING ACCESS GRANTS.
193.7 	The commissioner of human services shall award through a competitive process 
193.8 	contracts for grants to public and private agencies to support and assist individuals eligible 
193.9 	for publicly funded home and community-based services, including state plan home care, 
193.10 	to access housing. Grants may be awarded to agencies that may include, but are not limited 
193.11 	to, the following supports: assessment to assure suitability of housing, accompanying an 
193.12 	individual to look at housing, filling out applications and rental agreements, meeting 
193.13 	with landlords, helping with Section 8 or other program applications, helping to develop 
193.14 	a budget, obtaining furniture and household goods, if necessary, and assisting with any 
193.15 	problems that may arise with housing.

193.16 	Sec. 6. Minnesota Statutes 2006, section 256B.0924, subdivision 4, is amended to read:
193.17 		Subd. 4.Targeted case management service activities. (a) For persons with 
193.18 	developmental disabilities, targeted case management services must meet the provisions 
193.19 	of section 256B.092. 
193.20 	(b) For persons not eligible as a person with a developmental disability, targeted 
193.21 	case management service activities include:
193.22 	(1) an assessment of the person's need for targeted case management services;
193.23 	(2) the development of a written personal service plan;
193.24 	(3) a regular review and revision of the written personal service plan with the 
193.25 	recipient and the recipient's legal representative, and others as identified by the recipient, 
193.26 	to ensure access to necessary services and supports identified in the plan;
193.27 	(4) effective communication with the recipient and the recipient's legal representative 
193.28 	and others identified by the recipient;
193.29 	(5) coordination of referrals for needed services with qualified providers;
193.30 	(6) coordination and monitoring of the overall service delivery to ensure the quality 
193.31 	and effectiveness of services;
193.32 	(7) assistance to the recipient and the recipient's legal representative to help make 
193.33 	an informed choice of services;
194.1 	(8) advocating on behalf of the recipient when service barriers are encountered or 
194.2 	referring the recipient and the recipient's legal representative to an independent advocate;
194.3 	(9) monitoring and evaluating services identified in the personal service plan to 
194.4 	ensure personal outcomes are met and to ensure satisfaction with services and service 
194.5 	delivery;
194.6 	(10) conducting face-to-face monitoring with the recipient at least twice a year;
194.7 	(11) completing and maintaining necessary documentation that supports and verifies 
194.8 	the activities in this section;
194.9 	(12) coordinating with the medical assistance facility discharge planner in the 
194.10 	180-day period prior to the recipient's discharge into the community; and
194.11 	(13) a personal service plan developed and reviewed at least annually with the 
194.12 	recipient and the recipient's legal representative. The personal service plan must be revised 
194.13 	when there is a change in the recipient's status. The personal service plan must identify:
194.14 	(i) the desired personal short and long-term outcomes;
194.15 	(ii) the recipient's preferences for services and supports, including development of 
194.16 	a person-centered plan if requested; and
194.17 	(iii) formal and informal services and supports based on areas of assessment, such 
194.18 	as: social, health, mental health, residence, family, educational and vocational, safety, 
194.19 	legal, self-determination, financial, and chemical health as determined by the recipient and 
194.20 	the recipient's legal representative and the recipient's support network.

194.21 	Sec. 7. Minnesota Statutes 2006, section 256B.0924, subdivision 6, is amended to read:
194.22 		Subd. 6.Payment for targeted case management. (a) Medical assistance and 
194.23 	MinnesotaCare payment for targeted case management shall be made on a monthly basis. 
194.24 	In order to receive payment for an eligible adult, the provider must document at least one 
194.25 	contact per month and not more than two consecutive months without a face-to-face 
194.26 	contact with the adult or the adult's legal representative, family, primary caregiver, or 
194.27 	other relevant persons identified as necessary to the development or implementation 
194.28 	of the goals of the personal service plan.
194.29 	(b) Payment for targeted case management provided by county staff under this 
194.30 	subdivision shall be based on the monthly rate methodology under section 256B.094, 
194.31 	subdivision 6, paragraph (b), calculated as one combined average rate together with 
194.32 	adult mental health case management under section 256B.0625, subdivision 20, except 
194.33 	for calendar year 2002. In calendar year 2002, the rate for case management under this 
194.34 	section shall be the same as the rate for adult mental health case management in effect 
195.1 	as of December 31, 2001. Billing and payment must identify the recipient's primary 
195.2 	population group to allow tracking of revenues. 
195.3 	(c) Payment for targeted case management provided by county-contracted vendors 
195.4 	shall be based on a monthly rate negotiated by the host county. The negotiated rate must 
195.5 	not exceed the rate charged by the vendor for the same service to other payers. If the 
195.6 	service is provided by a team of contracted vendors, the county may negotiate a team rate 
195.7 	with a vendor who is a member of the team. The team shall determine how to distribute 
195.8 	the rate among its members. No reimbursement received by contracted vendors shall be 
195.9 	returned to the county, except to reimburse the county for advance funding provided by 
195.10 	the county to the vendor.
195.11 	(d) If the service is provided by a team that includes contracted vendors and county 
195.12 	staff, the costs for county staff participation on the team shall be included in the rate for 
195.13 	county-provided services. In this case, the contracted vendor and the county may each 
195.14 	receive separate payment for services provided by each entity in the same month. In 
195.15 	order to prevent duplication of services, the county must document, in the recipient's file, 
195.16 	the need for team targeted case management and a description of the different roles of 
195.17 	the team members.
195.18 	(e) Notwithstanding section 256B.19, subdivision 1, the nonfederal share of costs 
195.19 	for targeted case management shall be provided by the recipient's county of responsibility, 
195.20 	as defined in sections 256G.01 to 256G.12, from sources other than federal funds or 
195.21 	funds used to match other federal funds. 
195.22 	(f) The commissioner may suspend, reduce, or terminate reimbursement to a 
195.23 	provider that does not meet the reporting or other requirements of this section. The county 
195.24 	of responsibility, as defined in sections 256G.01 to 256G.12, is responsible for any federal 
195.25 	disallowances. The county may share this responsibility with its contracted vendors. 
195.26 	(g) The commissioner shall set aside five percent of the federal funds received under 
195.27 	this section for use in reimbursing the state for costs of developing and implementing 
195.28 	this section.
195.29 	(h) Payments to counties for targeted case management expenditures under this 
195.30 	section shall only be made from federal earnings from services provided under this 
195.31 	section. Payments to contracted vendors shall include both the federal earnings and the 
195.32 	county share.
195.33 	(i) Notwithstanding section 256B.041, county payments for the cost of case 
195.34 	management services provided by county staff shall not be made to the commissioner of 
195.35 	finance. For the purposes of targeted case management services provided by county staff 
196.1 	under this section, the centralized disbursement of payments to counties under section 
196.2 	256B.041 consists only of federal earnings from services provided under this section. 
196.3 	(j) If the recipient is a resident of a nursing facility, intermediate care facility, or 
196.4 	hospital, and the recipient's institutional care is paid by medical assistance, payment for 
196.5 	targeted case management services under this subdivision is limited to the lesser of:
196.6 	(1) the last 180 days of the recipient's residency in that facility and may not exceed 
196.7 	more than six months in a calendar year; or
196.8 	(2) the limits and conditions which apply to federal Medicaid funding for this service.
196.9 	(k) Payment for targeted case management services under this subdivision shall not 
196.10 	duplicate payments made under other program authorities for the same purpose.
196.11 	(l) Any growth in targeted case management services and cost increases under this 
196.12 	section shall be the responsibility of the counties.

196.13 	Sec. 8. Minnesota Statutes 2006, section 256B.19, subdivision 1d, is amended to read:
196.14 		Subd. 1d.Portion of nonfederal share to be paid by certain counties. (a) 
196.15 	In addition to the percentage contribution paid by a county under subdivision 1, the 
196.16 	governmental units designated in this subdivision shall be responsible for an additional 
196.17 	portion of the nonfederal share of medical assistance cost. For purposes of this 
196.18 	subdivision, "designated governmental unit" means the counties of Becker, Beltrami, 
196.19 	Clearwater, Cook, Dodge, Hubbard, Itasca, Lake, Pennington, Pipestone, Ramsey, St. 
196.20 	Louis, Steele, Todd, Traverse, and Wadena.
196.21 	(b) Beginning in 1994, each of the governmental units designated in this subdivision 
196.22 	shall transfer before noon on May 31 to the state Medicaid agency an amount equal to the 
196.23 	number of licensed beds in any nursing home owned and operated by the county on that 
196.24 	date, with the county named as licensee, multiplied by $5,723. If two or more counties own 
196.25 	and operate a nursing home, the payment shall be prorated. These sums shall be part of the 
196.26 	designated governmental unit's portion of the nonfederal share of medical assistance costs.
196.27 	(c) Beginning in 2002, in addition to any transfer under paragraph (b), each of the 
196.28 	governmental units designated in this subdivision shall transfer before noon on May 31 
196.29 	to the state Medicaid agency an amount equal to the number of licensed beds in any 
196.30 	nursing home owned and operated by the county on that date, with the county named as 
196.31 	licensee, multiplied by $10,784. The provisions of paragraph (b) apply to transfers under 
196.32 	this paragraph.
196.33 	(d) Beginning in 2003, in addition to any transfer under paragraphs (b) and (c), each 
196.34 	of the governmental units designated in this subdivision shall transfer before noon on May 
196.35 	31 to the state Medicaid agency an amount equal to the number of licensed beds in any 
197.1 	nursing home owned and operated by the county on that date, with the county named as 
197.2 	licensee, multiplied by $2,230. The provisions of paragraph (b) apply to transfers under 
197.3 	this paragraph.
197.4 	(e) (d) The commissioner may reduce the intergovernmental transfers under 
197.5 	paragraphs paragraph (c) and (d) based on the commissioner's determination of the 
197.6 	payment rate in section 256B.431, subdivision 23, paragraphs (c), and (d), and (e). Any 
197.7 	adjustments must be made on a per-bed basis and must result in an amount equivalent to 
197.8 	the total amount resulting from the rate adjustment in section 256B.431, subdivision 23, 
197.9 	paragraphs (c), and (d), and (e). 

197.10 	EFFECTIVE DATE. This section is effective the day following final enactment.

197.11 	Sec. 9. Minnesota Statutes 2006, section 256B.431, subdivision 23, is amended to read:
197.12 		Subd. 23.County nursing home payment adjustments. (a) Beginning in 1994, 
197.13 	the commissioner shall pay a nursing home payment adjustment on May 31 after noon 
197.14 	to a county in which is located a nursing home that, on that date, was county-owned and 
197.15 	operated, with the county named as licensee by the commissioner of health, and had over 
197.16 	40 beds and medical assistance occupancy in excess of 50 percent during the reporting 
197.17 	year ending September 30, 1991. The adjustment shall be an amount equal to $16 per 
197.18 	calendar day multiplied by the number of beds licensed in the facility on that date.
197.19 	(b) Payments under paragraph (a) are excluded from medical assistance per diem 
197.20 	rate calculations. These payments are required notwithstanding any rule prohibiting 
197.21 	medical assistance payments from exceeding payments from private pay residents. A 
197.22 	facility receiving a payment under paragraph (a) may not increase charges to private pay 
197.23 	residents by an amount equivalent to the per diem amount payments under paragraph (a) 
197.24 	would equal if converted to a per diem.
197.25 	(c) Beginning in 2002, in addition to any payment under paragraph (a), the 
197.26 	commissioner shall pay to a nursing facility described in paragraph (a) an adjustment in 
197.27 	an amount equal to $29.55 per calendar day multiplied by the number of beds licensed 
197.28 	in the facility on that date. The provisions of paragraphs (a) and (b) apply to payments 
197.29 	under this paragraph.
197.30 	(d) Beginning in 2003, in addition to any payment under paragraphs (a) and (c), the 
197.31 	commissioner shall pay to a nursing facility described in paragraph (a) an adjustment in 
197.32 	an amount equal to $6.11 per calendar day multiplied by the number of beds licensed in 
197.33 	the facility on that date. The provisions of paragraphs (a) and (b) apply to payments 
197.34 	under this paragraph.
198.1 	(e) (d) The commissioner may reduce payments under paragraphs paragraph (c) and 
198.2 	(d) based on the commissioner's determination of Medicare upper payment limits. Any 
198.3 	adjustments must be proportional to adjustments made under section  256B.19, subdivision 
198.4 	1d, paragraph (e) (d). 

198.5 	EFFECTIVE DATE. This section is effective the day following final enactment.

198.6 	Sec. 10. Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 1, 
198.7 	is amended to read:
198.8 		Subdivision 1. Rebasing of nursing facility operating cost payment rates. (a) 
198.9 	The commissioner shall rebase nursing facility operating cost payment rates to align 
198.10 	payments to facilities with the cost of providing care. The rebased operating cost payment 
198.11 	rates shall be calculated using the statistical and cost report filed by each nursing facility 
198.12 	for the report period ending one year prior to the rate year.
198.13 	(b) The new operating cost payment rates based on this section shall take effect 
198.14 	beginning with the rate year beginning October 1, 2008, and shall be phased in over eight 
198.15 	rate years through October 1, 2015. For each year of the phase-in, the operating payment 
198.16 	rates shall be calculated using the statistical and cost report filed by each nursing facility 
198.17 	for the report period ending one year prior to the rate year.
198.18 	(c) Operating cost payment rates shall be rebased on October 1, 2016, and every 
198.19 	two years after that date.
198.20 	(d) Each cost reporting year shall begin on October 1 and end on the following 
198.21 	September 30. Beginning in 2006, a statistical and cost report shall be filed by each 
198.22 	nursing facility by January 15. Notice of rates shall be distributed by August 15 and the 
198.23 	rates shall go into effect on October 1 for one year.
198.24 	(e) Effective October 1, 2014, property rates shall be rebased in accordance with 
198.25 	section 256B.431 and Minnesota Rules, chapter 9549. The commissioner shall determine 
198.26 	what the property payment rate for a nursing facility would be had the facility not had its 
198.27 	property rate determined under section 256B.434. The commissioner shall allow nursing 
198.28 	facilities to provide information affecting this rate determination that would have been 
198.29 	filed annually under Minnesota Rules, chapter 9549, and nursing facilities shall report 
198.30 	information necessary to determine allowable debt. The commissioner shall use this 
198.31 	information to determine the property payment rate.

198.32 	Sec. 11. Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 55, 
198.33 	is amended to read:
199.1 		Subd. 55.Phase-in of rebased operating cost payment rates.  (a) For the rate 
199.2 	years beginning October 1, 2008, to October 1, 2012 2015, the operating cost payment 
199.3 	rate calculated under this section shall be phased in by blending the operating cost rate 
199.4 	with the operating cost payment rate determined under section 256B.434. For purposes 
199.5 	of this subdivision, the rate to be used that is determined under section 256B.434 shall 
199.6 	not include the portion of the operating payment rate related to performance-based 
199.7 	incentive payments under section 256B.434, subdivision 4, paragraph (d). For the rate 
199.8 	year beginning October 1, 2008, the operating cost payment rate for each facility shall 
199.9 	be 13 percent of the operating cost payment rate from this section, and 87 percent of the 
199.10 	operating cost payment rate from section 256B.434. For the rate year beginning October 1, 
199.11 	2009, the operating cost payment rate for each facility shall be 14 percent of the operating 
199.12 	cost payment rate from this section, and 86 percent of the operating cost payment rate from 
199.13 	section 256B.434. For the rate year beginning October 1, 2010, the operating cost payment 
199.14 	rate for each facility shall be 14 percent of the operating cost payment rate from this 
199.15 	section, and 86 percent of the operating cost payment rate from section 256B.434. For the 
199.16 	rate year beginning October 1, 2011, the operating cost payment rate for each facility shall 
199.17 	be 31 percent of the operating cost payment rate from this section, and 69 percent of the 
199.18 	operating cost payment rate from section 256B.434. For the rate year beginning October 1, 
199.19 	2012, the operating cost payment rate for each facility shall be 48 percent of the operating 
199.20 	cost payment rate from this section, and 52 percent of the operating cost payment rate 
199.21 	from section 256B.434. For the rate year beginning October 1, 2013, the operating cost
199.22 	payment rate for each facility shall be 65 percent of the operating cost payment rate from 
199.23 	this section, and 35 percent of the operating cost payment rate from section 256B.434. For 
199.24 	the rate year beginning October 1, 2014, the operating cost payment rate for each facility 
199.25 	shall be 82 percent of the operating cost payment rate from this section, and 18 percent 
199.26 	of the operating cost payment rate from section 256B.434. For the rate year beginning 
199.27 	October 1, 2015, the operating cost payment rate for each facility shall be the operating 
199.28 	cost payment rate determined under this section. The blending of operating cost payment 
199.29 	rates under this section shall be performed separately for each RUG's class.
199.30 	(b) For the rate year beginning October 1, 2008, the commissioner shall apply limits 
199.31 	to the operating payment rate increases under paragraph (a) by creating a minimum 
199.32 	percentage increase and a maximum percentage increase.
199.33 	(1) Each nursing facility that receives a blended October 1, 2008, operating payment 
199.34 	rate increase under paragraph (a) of less than one percent, when compared to its operating 
199.35 	payment rate on September 30, 2008, computed using rates with RUG's weight of 1.00, 
199.36 	shall receive a rate adjustment of one percent.
200.1 	(2) The commissioner shall determine a maximum percentage increase that will 
200.2 	result in savings equal to the cost of allowing the minimum increase in clause (1). Nursing 
200.3 	facilities with a blended October 1, 2008, operating payment rate increase under paragraph 
200.4 	(a) greater than the maximum percentage increase determined by the commissioner, when 
200.5 	compared to its operating payment rate on September 30, 2008, computed using rates with 
200.6 	a RUG's weight of 1.00, shall receive the maximum percentage increase.
200.7 	(3) Nursing facilities with a blended October 1, 2008, operating payment rate 
200.8 	increase under paragraph (a) greater than one percent and less than the maximum 
200.9 	percentage increase determined by the commissioner, when compared to its operating 
200.10 	payment rate on September 30, 2008, computed using rates with a RUG's weight of 1.00, 
200.11 	shall receive the blended October 1, 2008, operating payment rate increase determined 
200.12 	under paragraph (a).
200.13 	(4) The October 1, 2009, through October 1, 2015, operating payment rate for 
200.14 	facilities receiving the maximum percentage increase determined in clause (2) shall be 
200.15 	the amount determined under paragraph (a) less the difference between the amount 
200.16 	determined under paragraph (a) for October 1, 2008, and the amount allowed under clause 
200.17 	(2). This rate restriction does not apply to rate increases provided in any other section.
200.18 	(b) (c) A portion of the funds received under this subdivision that are in excess of 
200.19 	operating cost payment rates that a facility would have received under section 256B.434, 
200.20 	as determined in accordance with clauses (1) to (3), shall be subject to the requirements in 
200.21 	section 256B.434, subdivision 19, paragraphs (b) to (h).
200.22 	(1) Determine the amount of additional funding available to a facility, which shall be 
200.23 	equal to total medical assistance resident days from the most recent reporting year times 
200.24 	the difference between the blended rate determined in paragraph (a) for the rate year being 
200.25 	computed and the blended rate for the prior year.
200.26 	(2) Determine the portion of all operating costs, for the most recent reporting year, 
200.27 	that are compensation related. If this value exceeds 75 percent, use 75 percent.
200.28 	(3) Subtract the amount determined in clause (2) from 75 percent.
200.29 	(4) The portion of the fund received under this subdivision that shall be subject to 
200.30 	the requirements in section 256B.434, subdivision 19, paragraphs (b) to (h), shall equal 
200.31 	the amount determined in clause (1) times the amount determined in clause (3).

200.32 	Sec. 12. Minnesota Statutes 2007 Supplement, section 256B.441, subdivision 56, 
200.33 	is amended to read:
200.34 		Subd. 56.Hold harmless. For the rate years beginning October 1, 2008, to October 
200.35 	1, 2016, no nursing facility shall receive an operating cost payment rate less than its 
201.1 	operating cost payment rate under section 256B.434. For rate years beginning between 
201.2 	October 1, 2009, and October 1, 2015, no nursing facility shall receive an operating 
201.3 	payment rate less than its operating payment rate in effect on September 30, 2009. The 
201.4 	comparison of operating cost payment rates under this section shall be made for a RUG's 
201.5 	rate with a weight of 1.00.

201.6 	Sec. 13. Minnesota Statutes 2007 Supplement, section 256B.5012, subdivision 7, 
201.7 	is amended to read:
201.8 		Subd. 7.ICF/MR rate increases effective October 1, 2007, and October 1, 2008.
 201.9 	(a) For the rate year beginning October 1, 2007, the commissioner shall make available 
201.10 	to each facility reimbursed under this section operating payment rate adjustments equal 
201.11 	to 2.0 percent of the operating payment rates in effect on September 30, 2007. For the 
201.12 	rate year beginning July October  1, 2008, the commissioner shall make available to each 
201.13 	facility reimbursed under this section operating payment rate adjustments equal to 2.0 
201.14 	percent of the operating payment rates in effect on June September  30, 2008. For each 
201.15 	facility, the commissioner shall make available an adjustment, based on occupied beds, 
201.16 	using the percentage specified in this paragraph multiplied by the total payment rate, 
201.17 	including the variable rate but excluding the property-related payment rate, in effect 
201.18 	on the preceding day. The total payment rate shall include the adjustment provided in 
201.19 	section 256B.501, subdivision 12. A facility whose payment rates are governed by closure 
201.20 	agreements, receivership agreements, or Minnesota Rules, part 9553.0075, is not eligible 
201.21 	for an adjustment otherwise granted under this subdivision.
201.22 	(b) Seventy-five percent of the money resulting from the rate adjustments under 
201.23 	paragraph (a) must be used for increases in compensation-related costs for employees 
201.24 	directly employed by the facility on or after the effective date of the rate adjustments, 
201.25 	except:
201.26 	(1) the administrator;
201.27 	(2) persons employed in the central office of a corporation that has an ownership 
201.28 	interest in the facility or exercises control over the facility; and 
201.29 	(3) persons paid by the facility under a management contract.
201.30 	(c) Two-thirds of the money available under paragraph (b) must be used for wage 
201.31 	increases for all employees directly employed by the facility on or after the effective 
201.32 	date of the rate adjustments, except those listed in paragraph (b), clauses (1) to (3). The 
201.33 	wage adjustment that employees receive under this paragraph must be paid as an equal 
201.34 	hourly percentage wage increase for all eligible employees. All wage increases under this 
201.35 	paragraph must be effective on the same date. Only costs associated with the portion of 
202.1 	the equal hourly percentage wage increase that goes to all employees shall qualify under 
202.2 	this paragraph. Costs associated with wage increases in excess of the amount of the equal 
202.3 	hourly percentage wage increase provided to all employees shall be allowed only for 
202.4 	meeting the requirements in paragraph (b). This paragraph shall not apply to employees 
202.5 	covered by a collective bargaining agreement.
202.6 	(d) The commissioner shall allow as compensation-related costs all costs for:
202.7 	(1) wages and salaries;
202.8 	(2) FICA taxes, Medicare taxes, state and federal unemployment taxes, and workers' 
202.9 	compensation;
202.10 	(3) the employer's share of health and dental insurance, life insurance, disability 
202.11 	insurance, long-term care insurance, uniform allowance, and pensions; and
202.12 	(4) other benefits provided, subject to the approval of the commissioner.
202.13 	(e) The portion of the rate adjustments under paragraph (a) that is not subject to the 
202.14 	requirements in paragraphs (b) and (c) shall be provided to facilities effective October 
202.15 	1 of each year.
202.16 	(f) Facilities may apply for the portion of the rate adjustments under paragraph 
202.17 	(a) that is subject to the requirements in paragraphs (b) and (c). The application 
202.18 	must be submitted to the commissioner within six months of the effective date of the 
202.19 	rate adjustments, and the facility must provide additional information required by 
202.20 	the commissioner within nine months of the effective date of the rate adjustments. 
202.21 	The commissioner must respond to all applications within three weeks of receipt. 
202.22 	The commissioner may waive the deadlines in this paragraph under extraordinary 
202.23 	circumstances, to be determined at the sole discretion of the commissioner. The 
202.24 	application must contain:
202.25 	(1) an estimate of the amounts of money that must be used as specified in paragraphs 
202.26 	(b) and (c);
202.27 	(2) a detailed distribution plan specifying the allowable compensation-related and 
202.28 	wage increases the facility will implement to use the funds available in clause (1);
202.29 	(3) a description of how the facility will notify eligible employees of the contents of 
202.30 	the approved application, which must provide for giving each eligible employee a copy of 
202.31 	the approved application, excluding the information required in clause (1), or posting a 
202.32 	copy of the approved application, excluding the information required in clause (1), for 
202.33 	a period of at least six weeks in an area of the facility to which all eligible employees 
202.34 	have access; and
202.35 	(4) instructions for employees who believe they have not received the 
202.36 	compensation-related or wage increases specified in clause (2), as approved by the 
203.1 	commissioner, and which must include a mailing address, e-mail address, and the 
203.2 	telephone number that may be used by the employee to contact the commissioner or the 
203.3 	commissioner's representative.
203.4 	(g) The commissioner shall ensure that cost increases in distribution plans under 
203.5 	paragraph (f), clause (2), that may be included in approved applications, comply with 
203.6 	requirements in clauses (1) to (4):
203.7 	(1) costs to be incurred during the applicable rate year resulting from wage and 
203.8 	salary increases effective after October 1, 2006, and prior to the first day of the facility's 
203.9 	payroll period that includes October 1 of each year shall be allowed if they were not used 
203.10 	in the prior year's application and they meet the requirements of paragraphs (b) and (c);
203.11 	(2) a portion of the costs resulting from tenure-related wage or salary increases 
203.12 	may be considered to be allowable wage increases, according to formulas that the 
203.13 	commissioner shall provide, where employee retention is above the average statewide 
203.14 	rate of retention of direct care employees;
203.15 	(3) the annualized amount of increases in costs for the employer's share of health 
203.16 	and dental insurance, life insurance, disability insurance, and workers' compensation shall 
203.17 	be allowable compensation-related increases if they are effective on or after April 1 of 
203.18 	the year in which the rate adjustments are effective and prior to April 1 of the following 
203.19 	year; and 
203.20 	(4) for facilities in which employees are represented by an exclusive bargaining 
203.21 	representative, the commissioner shall approve the application only upon receipt of a letter 
203.22 	of acceptance of the distribution plan, as regards members of the bargaining unit, signed 
203.23 	by the exclusive bargaining agent and dated after May 25, 2007. Upon receipt of the letter 
203.24 	of acceptance, the commissioner shall deem all requirements of this section as having 
203.25 	been met in regard to the members of the bargaining unit.
203.26 	(h) The commissioner shall review applications received under paragraph (f) and 
203.27 	shall provide the portion of the rate adjustments under paragraphs (b) and (c) if the 
203.28 	requirements of this subdivision have been met. The rate adjustments shall be effective 
203.29 	October 1 of each year. Notwithstanding paragraph (a), if the approved application 
203.30 	distributes less money than is available, the amount of the rate adjustment shall be reduced 
203.31 	so that the amount of money made available is equal to the amount to be distributed.

203.32 	Sec. 14. Minnesota Statutes 2006, section 256B.69, subdivision 6, is amended to read:
203.33 		Subd. 6.Service delivery. (a) Each demonstration provider shall be responsible for 
203.34 	the health care coordination for eligible individuals. Demonstration providers:
204.1 	(1) shall authorize and arrange for the provision of all needed health services 
204.2 	including but not limited to the full range of services listed in sections 256B.02, 
204.3 	subdivision 8, and 256B.0625 in order to ensure appropriate health care is delivered to 
204.4 	enrollees. Notwithstanding section 256B.0621, demonstration providers that provide 
204.5 	nursing home and community-based services under this section shall provide relocation 
204.6 	service coordination to enrolled persons age 65 and over; 
204.7 	(2) shall accept the prospective, per capita payment from the commissioner in return 
204.8 	for the provision of comprehensive and coordinated health care services for eligible 
204.9 	individuals enrolled in the program;
204.10 	(3) may contract with other health care and social service practitioners to provide 
204.11 	services to enrollees; and
204.12 	(4) shall institute recipient grievance procedures according to the method established 
204.13 	by the project, utilizing applicable requirements of chapter 62D. Disputes not resolved 
204.14 	through this process shall be appealable to the commissioner as provided in subdivision 11.
204.15 	(b) Demonstration providers must comply with the standards for claims settlement 
204.16 	under section 72A.201, subdivisions 4, 5, 7, and 8, when contracting with other health 
204.17 	care and social service practitioners to provide services to enrollees. A demonstration 
204.18 	provider must pay a clean claim, as defined in Code of Federal Regulations, title 42, 
204.19 	section 447.45(b), within 30 business days of the date of acceptance of the claim. 

204.20 	Sec. 15. Minnesota Statutes 2006, section 256D.44, subdivision 2, is amended to read:
204.21 		Subd. 2.Standard of assistance for persons eligible for medical assistance 
204.22 	waivers or at risk of placement in a group residential housing facility. The state 
204.23 	standard of assistance for a person who: (1) is eligible for a medical assistance home and 
204.24 	community-based services waiver or a person who; (2) has been determined by the local 
204.25 	agency to meet the plan requirements for placement in a group residential housing facility 
204.26 	under section 256I.04, subdivision 1a,; or (3) is eligible for a shelter needy payment 
204.27 	under subdivision 5, paragraph (f), is the standard established in subdivision 3, paragraph 
204.28 	(a) or (b). 

204.29 	EFFECTIVE DATE. This section is effective January 1, 2009.

204.30 	Sec. 16. Minnesota Statutes 2006, section 256D.44, subdivision 5, is amended to read:
204.31 		Subd. 5.Special needs. In addition to the state standards of assistance established in 
204.32 	subdivisions 1 to 4, payments are allowed for the following special needs of recipients of 
204.33 	Minnesota supplemental aid who are not residents of a nursing home, a regional treatment 
204.34 	center, or a group residential housing facility.
205.1 	(a) The county agency shall pay a monthly allowance for medically prescribed 
205.2 	diets if the cost of those additional dietary needs cannot be met through some other 
205.3 	maintenance benefit. The need for special diets or dietary items must be prescribed by 
205.4 	a licensed physician. Costs for special diets shall be determined as percentages of the 
205.5 	allotment for a one-person household under the thrifty food plan as defined by the United 
205.6 	States Department of Agriculture. The types of diets and the percentages of the thrifty 
205.7 	food plan that are covered are as follows:
205.8 	(1) high protein diet, at least 80 grams daily, 25 percent of thrifty food plan;
205.9 	(2) controlled protein diet, 40 to 60 grams and requires special products, 100 percent 
205.10 	of thrifty food plan;
205.11 	(3) controlled protein diet, less than 40 grams and requires special products, 125 
205.12 	percent of thrifty food plan;
205.13 	(4) low cholesterol diet, 25 percent of thrifty food plan;
205.14 	(5) high residue diet, 20 percent of thrifty food plan;
205.15 	(6) pregnancy and lactation diet, 35 percent of thrifty food plan;
205.16 	(7) gluten-free diet, 25 percent of thrifty food plan;
205.17 	(8) lactose-free diet, 25 percent of thrifty food plan;
205.18 	(9) antidumping diet, 15 percent of thrifty food plan;
205.19 	(10) hypoglycemic diet, 15 percent of thrifty food plan; or
205.20 	(11) ketogenic diet, 25 percent of thrifty food plan.
205.21 	(b) Payment for nonrecurring special needs must be allowed for necessary home 
205.22 	repairs or necessary repairs or replacement of household furniture and appliances using 
205.23 	the payment standard of the AFDC program in effect on July 16, 1996, for these expenses, 
205.24 	as long as other funding sources are not available.
205.25 	(c) A fee for guardian or conservator service is allowed at a reasonable rate 
205.26 	negotiated by the county or approved by the court. This rate shall not exceed five percent 
205.27 	of the assistance unit's gross monthly income up to a maximum of $100 per month. If the 
205.28 	guardian or conservator is a member of the county agency staff, no fee is allowed.
205.29 	(d) The county agency shall continue to pay a monthly allowance of $68 for 
205.30 	restaurant meals for a person who was receiving a restaurant meal allowance on June 1, 
205.31 	1990, and who eats two or more meals in a restaurant daily. The allowance must continue 
205.32 	until the person has not received Minnesota supplemental aid for one full calendar month 
205.33 	or until the person's living arrangement changes and the person no longer meets the criteria 
205.34 	for the restaurant meal allowance, whichever occurs first.
205.35 	(e) A fee of ten percent of the recipient's gross income or $25, whichever is less, 
205.36 	is allowed for representative payee services provided by an agency that meets the 
206.1 	requirements under SSI regulations to charge a fee for representative payee services. This 
206.2 	special need is available to all recipients of Minnesota supplemental aid regardless of 
206.3 	their living arrangement.
206.4 	(f) (1) Notwithstanding the language in this subdivision, an amount equal to the 
206.5 	maximum allotment authorized by the federal Food Stamp Program for a single individual 
206.6 	which is in effect on the first day of January July of the previous each year will be added to 
206.7 	the standards of assistance established in subdivisions 1 to 4 for individuals adults under 
206.8 	the age of 65 who qualify as shelter needy and are: (i) relocating from an institution, or an 
206.9 	adult mental health residential treatment program under section 256B.0622, and who are 
206.10 	shelter needy; (ii) eligible for the self-directed supports option as defined under section 
206.11 	256B.0657, subdivision 2; or (iii) home and community-based waiver recipients living in 
206.12 	their own home or rented or leased apartment which is not owned, operated, or controlled 
206.13 	by a provider of service not related by blood or marriage.
206.14 	(2) Notwithstanding subdivision 3, paragraph (c), an individual eligible for the 
206.15 	shelter needy benefit under this paragraph is considered a household of one. An eligible 
206.16 	individual who receives this benefit prior to age 65 may continue to receive the benefit 
206.17 	after the age of 65.
206.18 	(3) "Shelter needy" means that the assistance unit incurs monthly shelter costs that 
206.19 	exceed 40 percent of the assistance unit's gross income before the application of this 
206.20 	special needs standard. "Gross income" for the purposes of this section is the applicant's or 
206.21 	recipient's income as defined in section 256D.35, subdivision 10, or the standard specified 
206.22 	in subdivision 3, paragraph (a) or (b), whichever is greater. A recipient of a federal or 
206.23 	state housing subsidy, that limits shelter costs to a percentage of gross income, shall not be 
206.24 	considered shelter needy for purposes of this paragraph.

206.25 	EFFECTIVE DATE. This section is effective January 1, 2009.

206.26 	Sec. 17. Laws 2007, chapter 147, article 7, section 71, is amended to read:
206.27 	Sec. 71. PROVIDER RATE INCREASES.
 206.28 	(a) The commissioner of human services shall increase allocations, reimbursement 
206.29 	rates, or rate limits, as applicable, by 2.0 percent beginning October 1, 2007, and by 2.0 
206.30 	percent beginning July October  1, 2008, effective for services rendered on or after those 
206.31 	dates. County contracts for services specified in this section must be amended to pass 
206.32 	through these rate adjustments within 60 days of the effective date of the increase and 
206.33 	must be retroactive from the effective date of the rate adjustment. 
206.34 	(b) The annual rate increases described in this section must be provided to: 
207.1 	(1) home and community-based waivered services for persons with developmental 
207.2 	disabilities or related conditions, including consumer-directed community supports, under 
207.3 	Minnesota Statutes, section 256B.501; 
207.4 	(2) home and community-based waivered services for the elderly, including 
207.5 	consumer-directed community supports, under Minnesota Statutes, section 256B.0915; 
207.6 	(3) waivered services under community alternatives for disabled individuals, 
207.7 	including consumer-directed community supports, under Minnesota Statutes, section 
207.8 	256B.49; 
207.9 	(4) community alternative care waivered services, including consumer-directed 
207.10 	community supports, under Minnesota Statutes, section 256B.49; 
207.11 	(5) traumatic brain injury waivered services, including consumer-directed 
207.12 	community supports, under Minnesota Statutes, section 256B.49; 
207.13 	(6) nursing services and home health services under Minnesota Statutes, section 
207.14 	256B.0625, subdivision 6a; 
207.15 	(7) personal care services and qualified professional supervision of personal care 
207.16 	services under Minnesota Statutes, section 256B.0625, subdivision 19a; 
207.17 	(8) private duty nursing services under Minnesota Statutes, section 256B.0625, 
207.18 	subdivision 7; 
207.19 	(9) day training and habilitation services for adults with developmental disabilities 
207.20 	or related conditions under Minnesota Statutes, sections 252.40 to 252.46, including the 
207.21 	additional cost of rate adjustments on day training and habilitation services, provided as a 
207.22 	social service under Minnesota Statutes, section 256M.60; 
207.23 	(10) alternative care services under Minnesota Statutes, section 256B.0913; 
207.24 	(11) adult residential program grants under Minnesota Statutes, section 245.73; 
207.25 	(12) children's community-based mental health services grants and adult community 
207.26 	support and case management services grants under Minnesota Rules, parts 9535.1700 
207.27 	to 9535.1760; 
207.28 	(13) the group residential housing supplementary service rate under Minnesota 
207.29 	Statutes, section 256I.05, subdivision 1a; 
207.30 	(14) adult mental health integrated fund grants under Minnesota Statutes, section 
207.31 	245.4661; 
207.32 	(15) semi-independent living services (SILS) under Minnesota Statutes, section 
207.33 	252.275, including SILS funding under county social services grants formerly funded 
207.34 	under Minnesota Statutes, chapter 256I; 
207.35 	(16) community support services for deaf and hard-of-hearing adults with mental 
207.36 	illness who use or wish to use sign language as their primary means of communication 
208.1 	under Minnesota Statutes, section 256.01, subdivision 2; and deaf and hard-of-hearing 
208.2 	grants under Minnesota Statutes, sections 256C.233 and 256C.25; Laws 1985, chapter 9, 
208.3 	article 1; and Laws 1997, First Special Session chapter 5, section 20; 
208.4 	(17) living skills training programs for persons with intractable epilepsy who need 
208.5 	assistance in the transition to independent living under Laws 1988, chapter 689; 
208.6 	(18) physical therapy services under sections 256B.0625, subdivision 8, and 
208.7 	256D.03, subdivision 4; 
208.8 	(19) occupational therapy services under sections 256B.0625, subdivision 8a, and 
208.9 	256D.03, subdivision 4; 
208.10 	(20) speech-language therapy services under section 256D.03, subdivision 4, and 
208.11 	Minnesota Rules, part 9505.0390; 
208.12 	(21) respiratory therapy services under section 256D.03, subdivision 4, and 
208.13 	Minnesota Rules, part 9505.0295; 
208.14 	(22) adult rehabilitative mental health services under section 256B.0623; 
208.15 	(23) children's therapeutic services and support services under section 256B.0943; 
208.16 	(24) tier I chemical health services under Minnesota Statutes, chapter 254B; 
208.17 	(25) consumer support grants under Minnesota Statutes, section 256.476; 
208.18 	(26) family support grants under Minnesota Statutes, section 252.32; 
208.19 	(27) grants for case management services to persons with HIV or AIDS under 
208.20 	Minnesota Statutes, section 256.01, subdivision 19; and 
208.21 	(28) aging grants under Minnesota Statutes, sections 256.975 to 256.977, 256B.0917, 
208.22 	and 256B.0928. 
208.23 	(c) For services funded through Minnesota disability health options, the rate 
208.24 	increases under this section apply to all medical assistance payments, including former 
208.25 	group residential housing supplementary rates under Minnesota Statutes, chapter 256I. 
208.26 	(d) The commissioner may recoup payments made under this section from a provider 
208.27 	that does not comply with paragraphs (f) and (g). 
208.28 	(e) A managed care plan receiving state payments for the services in this section 
208.29 	must include these increases in their payments to providers on a prospective basis, 
208.30 	effective on January 1 following the effective date of the rate increase. 
208.31 	(f) Providers that receive a rate increase under this section shall use 75 percent of 
208.32 	the additional revenue to increase compensation-related costs for employees directly 
208.33 	employed by the program on or after the effective date of the rate adjustments, except: 
208.34 	(1) the administrator; 
208.35 	(2) persons employed in the central office of a corporation or entity that has an 
208.36 	ownership interest in the provider or exercises control over the provider; and 
209.1 	(3) persons paid by the provider under a management contract. 
209.2 	Compensation-related costs include: wages and salaries; FICA taxes, Medicare taxes, 
209.3 	state and federal unemployment taxes, and workers' compensation; and the employer's 
209.4 	share of health and dental insurance, life insurance, disability insurance, long-term care 
209.5 	insurance, uniform allowance, and pensions. 
209.6 	(g) Two-thirds of the money available under paragraph (f) must be used for wage 
209.7 	increases for all employees directly employed by the provider on or after the effective 
209.8 	date of the rate adjustments, except those listed in paragraph (f), clauses (1) to (3). The 
209.9 	wage adjustment that employees receive under this paragraph must be paid as an equal 
209.10 	hourly percentage wage increase for all eligible employees. All wage increases under this 
209.11 	paragraph must be effective on the same date. This paragraph shall not apply to employees 
209.12 	covered by a collective bargaining agreement. 
209.13 	(h) For public employees, the increase for wages and benefits for certain staff is 
209.14 	available and pay rates must be increased only to the extent that they comply with laws 
209.15 	governing public employees collective bargaining. Money received by a provider for pay 
209.16 	increases under this section may be used only for increases implemented on or after the 
209.17 	first day of the rate period in which the increase is available and must not be used for 
209.18 	increases implemented prior to that date. 
209.19 	(i) The commissioner shall amend state grant contracts that include direct 
209.20 	personnel-related grant expenditures to include the allocation for the portion of the contract 
209.21 	that is employee compensation related. Grant contracts for compensation-related services 
209.22 	must be amended to pass through these adjustments within 60 days of the effective date of 
209.23 	the increase and must be retroactive to the effective date of the rate adjustment. 
209.24 	(j) The Board on Aging and its Area Agencies on Aging shall amend their 
209.25 	grants that include direct personnel-related grant expenditures to include the rate 
209.26 	adjustment for the portion of the grant that is employee compensation related. Grants 
209.27 	for compensation-related services must be amended to pass through these adjustments 
209.28 	within 60 days of the effective date of the increase and must be retroactive to the effective 
209.29 	date of the rate adjustment. 
209.30 	(k) The calendar year 2008 rate for vendors reimbursed under Minnesota Statutes, 
209.31 	chapter 254B, shall be at least 2.0 percent above the rate in effect on January 1, 2007. The 
209.32 	calendar year 2009 rate shall be at least 2.0 percent above the rate in effect on January 
209.33 	1, 2008. 
209.34 	(l) Providers that receive a rate adjustment under paragraph (a) that is subject to 
209.35 	paragraphs (f) and (g) shall provide to the commissioner, and those counties with whom 
209.36 	they have a contract, within six months after the effective date of each rate adjustment, a 
210.1 	letter, in a format specified by the commissioner, that provides assurances that the provider 
210.2 	has developed and implemented a compensation plan and complied with paragraphs (f) 
210.3 	and (g). The provider shall keep on file, and produce for the commissioner or county 
210.4 	upon request, its plan, which must specify: 
210.5 	(1) an estimate of the amounts of money that must be used as specified in paragraphs 
210.6 	(f) and (g); and 
210.7 	(2) a detailed distribution plan specifying the allowable compensation-related and 
210.8 	wage increases the provider will implement to use the funds available in clause (1). 
210.9 	(m) Within six months after the effective date of each rate adjustment, the provider 
210.10 	shall post this plan, excluding the information required in paragraph (l), clause (1), for 
210.11 	a period of at least six weeks in an area of the provider's operation to which all eligible 
210.12 	employees have access and provide instructions for employees who believe they have 
210.13 	not received the wage and other compensation-related increases specified in paragraph 
210.14 	(l), clause (2). Instructions must include a mailing address, e-mail address, and the 
210.15 	telephone number that may be used by the employee to contact the commissioner or the 
210.16 	commissioner's representative. Providers shall also make assurances to the commissioner 
210.17 	and counties with whom they have a contract that they have complied with the requirement 
210.18 	in this paragraph.

210.19 	Sec. 18. MORATORIUM EXCEPTION PROPOSAL; WAIVER.
 210.20 	The commissioner of health may waive the six-mile limit in Minnesota Statutes, 
210.21 	section 144A.073, subdivision 5, paragraph (e), when considering a moratorium exception 
210.22 	proposal submitted under Minnesota Statutes, section 144A.073, to allow a nursing 
210.23 	facility providing specialty care in Minneapolis to close and relocate beds to a new facility 
210.24 	in Robbinsdale under common ownership.

210.25 	ARTICLE 16
210.26 	CHILDREN AND FAMILY SERVICES

210.27 	Section 1. Minnesota Statutes 2007 Supplement, section 256.741, subdivision 1, 
210.28 	is amended to read:
210.29 		Subdivision 1.Public assistance Definitions. (a) The term "direct support" as used 
210.30 	in this chapter and chapters 257, 518, 518A, and 518C refers to an assigned support 
210.31 	payment from an obligor which is paid directly to a recipient of TANF or MFIP public 
210.32 	assistance.
210.33 	(b) The term "public assistance" as used in this chapter and chapters 257, 518, 518A, 
210.34 	and 518C, includes any form of assistance provided under the AFDC program formerly 
211.1 	codified in sections 256.72 to 256.87, MFIP and MFIP-R formerly codified under chapter 
211.2 	256, MFIP under chapter 256J, work first program formerly codified under chapter 256K; 
211.3 	child care assistance provided through the child care fund under chapter 119B; any form 
211.4 	of medical assistance under chapter 256B; MinnesotaCare under chapter 256L; and foster 
211.5 	care as provided under title IV-E of the Social Security Act. 
211.6 	(c) The term "child support agency" as used in this section refers to the public 
211.7 	authority responsible for child support enforcement.
211.8 	(d) The term "public assistance agency" as used in this section refers to a public 
211.9 	authority providing public assistance to an individual.
211.10 	(e) The terms "child support" and "arrears" as used in this section have the meanings 
211.11 	provided in section 518A.26.
211.12 	(f) The term "maintenance" as used in this section has the meaning provided in 
211.13 	section 518.003.

211.14 	Sec. 2. Minnesota Statutes 2006, section 256.741, subdivision 2, is amended to read:
211.15 		Subd. 2.Assignment of support and maintenance rights. (a) An individual 
211.16 	receiving public assistance in the form of assistance under any of the following programs: 
211.17 	the AFDC program formerly codified in sections 256.72 to 256.87, MFIP under chapter 
211.18 	256J, MFIP-R and MFIP formerly codified under chapter 256, or work first program 
211.19 	formerly codified under chapter 256K is considered to have assigned to the state at the 
211.20 	time of application all rights to child support and maintenance from any other person the 
211.21 	applicant or recipient may have in the individual's own behalf or in the behalf of any other 
211.22 	family member for whom application for public assistance is made. An assistance unit is 
211.23 	ineligible for the Minnesota family investment program unless the caregiver assigns all 
211.24 	rights to child support and spousal maintenance benefits according to this section. 
211.25 	(1) AnThe assignment made according to this section is effective as to:
211.26 	(i) any current child support and current spousal maintenance; and.
211.27 	(ii) any accrued child support and spousal maintenance arrears.
211.28 	(2) An assignment made after September 30, 1997, is effective as to:
211.29 	(i) any current child support and current spousal maintenance;
211.30 	(ii) any accrued child support and spousal maintenance arrears collected before 
211.31 	October 1, 2000, or the date the individual terminates assistance, whichever is later; and
211.32 	(iii) any accrued child support and spousal maintenance arrears collected under 
211.33 	federal tax intercept.
212.1 	(2) Any child support or maintenance arrears that accrue while an individual is 
212.2 	receiving public assistance in the form of assistance under any of the programs listed in 
212.3 	this paragraph are permanently assigned to the state.
212.4 	(3) The assignment of current child support and current maintenance ends on the 
212.5 	date the individual ceases to receive or is no longer eligible to receive public assistance 
212.6 	under any of the programs listed in this paragraph.
212.7 	(b) An individual receiving public assistance in the form of medical assistance, 
212.8 	including MinnesotaCare, is considered to have assigned to the state at the time of 
212.9 	application all rights to medical support from any other person the individual may have 
212.10 	in the individual's own behalf or in the behalf of any other family member for whom 
212.11 	medical assistance is provided.
212.12 	(1) An assignment made after September 30, 1997, is effective as to any medical 
212.13 	support accruing after the date of medical assistance or MinnesotaCare eligibility.
212.14 	(2) Any medical support arrears that accrue while an individual is receiving public 
212.15 	assistance in the form of medical assistance, including MinnesotaCare, are permanently 
212.16 	assigned to the state.
212.17 	(3) The assignment of current medical support ends on the date the individual ceases 
212.18 	to receive or is no longer eligible to receive public assistance in the form of medical 
212.19 	assistance or MinnesotaCare.
212.20 	(c) An individual receiving public assistance in the form of child care assistance 
212.21 	under the child care fund pursuant to chapter 119B is considered to have assigned to the 
212.22 	state at the time of application all rights to child care support from any other person the 
212.23 	individual may have in the individual's own behalf or in the behalf of any other family 
212.24 	member for whom child care assistance is provided.
212.25 	An(1) The assignment made according to this paragraph is effective as to:
212.26 	(1) any current child care support and any child care support arrears assigned and 
212.27 	accruing after July 1, 1997, that are collected before October 1, 2000; and.
212.28 	(2) any accrued child care support arrears collected under federal tax intercept. Any 
212.29 	child care support arrears that accrue while an individual is receiving public assistance in 
212.30 	the form of child care assistance under the child care fund in chapter 119B are permanently 
212.31 	assigned to the state.
212.32 	(3) The assignment of current child care support ends on the date the individual 
212.33 	ceases to receive or is no longer eligible to receive public assistance in the form of child 
212.34 	care assistance under the child care fund under chapter 119B.

212.35 	Sec. 3. Minnesota Statutes 2006, section 256.741, subdivision 2a, is amended to read:
213.1 		Subd. 2a.Families-first Distribution of child support arrearages. (a) The 
213.2 	state shall distribute current child support and maintenance received by the state to an 
213.3 	individual who assigns the right to that support under subdivision 2, paragraph (a).
213.4 	(b) When the public authority collects child support arrearages on behalf of an 
213.5 	individual who is receiving public assistance provided under MFIP or MFIP-R under 
213.6 	this chapter, MFIP under chapter 256J, or work first under chapter 256K, and the public 
213.7 	authority has the option of applying the collection to arrears permanently assigned to the 
213.8 	state or to arrears temporarily assigned to the state, the public authority shall first apply the 
213.9 	collection to satisfy those arrears that are permanently assigned to the state.
213.10 	(c) When the public authority collects child support arrearages on behalf of an 
213.11 	individual who is not receiving public assistance, the public authority shall first apply the 
213.12 	collection to satisfy those arrears that are not permanently assigned to the state.
213.13 	(d) When the public authority collects child support arrearages certified under the 
213.14 	federal tax offset, the public authority shall first apply the collection to satisfy those arrears 
213.15 	that are permanently assigned to the state.

213.16 	Sec. 4. Minnesota Statutes 2006, section 256.741, subdivision 3, is amended to read:
213.17 		Subd. 3.Existing assignments. Assignments based on the receipt of public 
213.18 	assistance in existence prior to July 1, 1997, are permanently assigned to the state. Arrears 
213.19 	that accrued prior to the receipt of assistance that were assigned to the state between July 
213.20 	1, 1997, and October 1, 2009, must no longer be assigned as of October 1, 2009.

213.21 	EFFECTIVE DATE. This section is effective October 1, 2009.

213.22 	Sec. 5. Minnesota Statutes 2007 Supplement, section 256J.621, is amended to read:
213.23 	256J.621 WORK PARTICIPATION BONUS CASH BENEFITS.
213.24 	(a) Effective October 1, 2009, upon exiting the diversionary work program (DWP) 
213.25 	or upon terminating MFIP cash assistancethe Minnesota family investment program with 
213.26 	earnings, a participant who is employed may be eligible for transitional assistancework 
213.27 	participation cash benefits of $75 per month to assist in meeting the family's basic needs 
213.28 	as the participant continues to move toward self-sufficiency.
213.29 	(b) To be eligible for a transitional assistance payment work participation cash 
213.30 	benefits, the participant shall not receive MFIP cash assistance or diversionary work 
213.31 	program assistance during the month and the participant or participants must meet the 
213.32 	following work requirements:
214.1 	(1) if the participant is a single caregiver and has a child under six years of age, the 
214.2 	participant must be employed at least 87 hours per month;
214.3 	(2) if the participant is a single caregiver and does not have a child under six years of 
214.4 	age, the participant must be employed at least 130 hours per month; or
214.5 	(3) if the household is a two-parent family, at least one of the parents must be 
214.6 	employed an average of at least 130 hours per month.
214.7 	Whenever a participant exits the diversionary work program or is terminated from 
214.8 	MFIP cash assistance and meets the other criteria in this section, transitional assistance is
214.9 	work participation cash benefits are available for up to 24 consecutive months.
214.10 	(c) Expenditures on the program are maintenance of effort state funds for participants 
214.11 	under paragraph (b), clauses (1) and (2). Expenditures for participants under paragraph 
214.12 	(b), clause (3), are nonmaintenance of effort funds. Months in which a participant receives 
214.13 	transitional assistancework participation cash benefits under this section do not count 
214.14 	toward the participant's MFIP 60-month time limit.

214.15 	Sec. 6. Minnesota Statutes 2006, section 518A.50, is amended to read:
214.16 	518A.50 PAYMENT TO PUBLIC AGENCY.
214.17 	(a) This section applies to all proceedings involving a support order, including, but 
214.18 	not limited to, a support order establishing an order for past support or reimbursement 
214.19 	of public assistance.
214.20 	(b) The court shall direct that all payments ordered for maintenance or support 
214.21 	be made to the public authority responsible for child support enforcement so long as 
214.22 	the obligee is receiving or has applied for public assistance, or has applied for child 
214.23 	support or maintenance collection services. Public authorities responsible for child 
214.24 	support enforcement may act on behalf of other public authorities responsible for child 
214.25 	support enforcement, including the authority to represent the legal interests of or execute 
214.26 	documents on behalf of the other public authority in connection with the establishment, 
214.27 	enforcement, and collection of child support, maintenance, or medical support, and 
214.28 	collection on judgments.
214.29 	(c) Payments made to the public authority other than payments under section 
214.30 	518A.53 must be credited as of the date the payment is received by the central collections 
214.31 	unit., except that payments made under section 518A.53 may be considered to have been 
214.32 	paid as of the date the obligor received the remainder of the income.
214.33 	(d) Monthly amounts received by the public agency responsible for child support 
214.34 	enforcement from the obligor that are greater than the monthly amount of public assistance 
214.35 	granted to the obligee must be remitted to the obligee.

215.1 	EFFECTIVE DATE. This section is effective October 1, 2009.

215.2 	Sec. 7. Minnesota Statutes 2006, section 518A.53, subdivision 5, is amended to read:
215.3 		Subd. 5.Payor of funds responsibilities. (a) An order for or notice of withholding 
215.4 	is binding on a payor of funds upon receipt. Withholding must begin no later than the first 
215.5 	pay period that occurs after 14 days following the date of receipt of the order for or notice 
215.6 	of withholding. In the case of a financial institution, preauthorized transfers must occur in 
215.7 	accordance with a court-ordered payment schedule.
215.8 	(b) A payor of funds shall withhold from the income payable to the obligor the 
215.9 	amount specified in the order or notice of withholding and amounts specified under 
215.10 	subdivisions 6 and 9 and shall remit the amounts withheld to the public authority within 
215.11 	seven business days of the date the obligor is paid the remainder of the income. The payor 
215.12 	of funds shall include with the remittance the Social Security number of the obligor, the 
215.13 	case type indicator as provided by the public authority and the date the obligor is paid 
215.14 	the remainder of the income. The obligor is considered to have paid the amount withheld 
215.15 	as of the date the obligor received the remainder of the income. A payor of funds may 
215.16 	combine all amounts withheld from one pay period into one payment to each public 
215.17 	authority, but shall separately identify each obligor making payment.
215.18 	(c) A payor of funds shall not discharge, or refuse to hire, or otherwise discipline an 
215.19 	employee as a result of wage or salary withholding authorized by this section. A payor of 
215.20 	funds shall be liable to the obligee for any amounts required to be withheld. A payor of 
215.21 	funds that fails to withhold or transfer funds in accordance with this section is also liable 
215.22 	to the obligee for interest on the funds at the rate applicable to judgments under section 
215.23 	549.09, computed from the date the funds were required to be withheld or transferred. 
215.24 	A payor of funds is liable for reasonable attorney fees of the obligee or public authority 
215.25 	incurred in enforcing the liability under this paragraph. A payor of funds that has failed 
215.26 	to comply with the requirements of this section is subject to contempt sanctions under 
215.27 	section 518A.73. If the payor of funds is an employer or independent contractor and 
215.28 	violates this subdivision, a court may award the obligor twice the wages lost as a result 
215.29 	of this violation. If a court finds a payor of funds violated this subdivision, the court 
215.30 	shall impose a civil fine of not less than $500. The liabilities in this paragraph apply to 
215.31 	intentional noncompliance with this section. 
215.32 	(d) If a single employee is subject to multiple withholding orders or multiple notices 
215.33 	of withholding for the support of more than one child, the payor of funds shall comply 
215.34 	with all of the orders or notices to the extent that the total amount withheld from the 
215.35 	obligor's income does not exceed the limits imposed under the Consumer Credit Protection 
216.1 	Act, United States Code, title 15, section 1673(b), giving priority to amounts designated in 
216.2 	each order or notice as current support as follows:
216.3 	(1) if the total of the amounts designated in the orders for or notices of withholding 
216.4 	as current support exceeds the amount available for income withholding, the payor of 
216.5 	funds shall allocate to each order or notice an amount for current support equal to the 
216.6 	amount designated in that order or notice as current support, divided by the total of the 
216.7 	amounts designated in the orders or notices as current support, multiplied by the amount 
216.8 	of the income available for income withholding; and
216.9 	(2) if the total of the amounts designated in the orders for or notices of withholding 
216.10 	as current support does not exceed the amount available for income withholding, the 
216.11 	payor of funds shall pay the amounts designated as current support, and shall allocate to 
216.12 	each order or notice an amount for past due support, equal to the amount designated in 
216.13 	that order or notice as past due support, divided by the total of the amounts designated in 
216.14 	the orders or notices as past due support, multiplied by the amount of income remaining 
216.15 	available for income withholding after the payment of current support.
216.16 	(e) When an order for or notice of withholding is in effect and the obligor's 
216.17 	employment is terminated, the obligor and the payor of funds shall notify the public 
216.18 	authority of the termination within ten days of the termination date. The termination 
216.19 	notice shall include the obligor's home address and the name and address of the obligor's 
216.20 	new payor of funds, if known.
216.21 	(f) A payor of funds may deduct one dollar from the obligor's remaining salary for 
216.22 	each payment made pursuant to an order for or notice of withholding under this section to 
216.23 	cover the expenses of withholding.

216.24 	EFFECTIVE DATE. This section is effective October 1, 2009.

216.25 	Sec. 8.  REPEALER.
 216.26 	Minnesota Statutes 2006, section 256.741, subdivision 15, is repealed.

216.27 	ARTICLE 17
216.28 	HEALTH CARE

216.29 	Section 1. [62U.10] HEALTH CARE TRANSFER, SAVINGS, AND REPAYMENT.
216.30 		Subdivision 1.Health Care Access Fund Transfer. On June 30, 2009, the 
216.31 	commissioner of finance shall transfer $50,000,000 from the health care access fund 
216.32 	to the general fund.
217.1 		Subd. 2.Projected spending baseline. (a) By June 1, 2009, the commissioner of 
217.2 	health shall calculate the annual projected total private and public health care spending for 
217.3 	residents of this state and establish a health care spending baseline, beginning for calendar 
217.4 	year 2008 and for the next ten years based on the annual projected growth in spending. 
217.5 	(b) In establishing the health care spending baseline, the commissioner shall use the 
217.6 	Centers for Medicare and Medicaid Services forecast for total growth in national health 
217.7 	care expenditures and adjust this forecast to reflect the demographics, health status, and 
217.8 	other factors deemed necessary by the commissioner. The commissioner shall contract 
217.9 	with an actuarial consultant to make recommendations for the adjustments needed to 
217.10 	specifically reflect projected spending for residents of this state.
217.11 	(c) The commissioner may adjust the projected baseline as necessary to reflect any 
217.12 	updated federal projections or account for unanticipated changes in federal policy.
217.13 	(d) Medicare and long-term care spending must not be included in the calculations 
217.14 	required under this section.
217.15 		Subd. 3.Actual spending and savings determination. By June 1, 2010, and each 
217.16 	June 1 thereafter until June 1, 2020, the commissioner of health shall determine the actual 
217.17 	total private and public health care spending for residents of this state for the calendar 
217.18 	year two years before the current calendar year, based on data collected under chapter 62J, 
217.19 	and shall determine the difference between the projected spending, as determined under 
217.20 	subdivision 2, and the actual spending for that year. The actual spending must be certified 
217.21 	by an independent actuarial consultant. If the actual spending is less than the projected 
217.22 	spending, the commissioner shall determine, based on the proportion of spending for 
217.23 	state-administered health care programs to total private and public health care spending 
217.24 	for the calendar year two years before the current calendar year, the percentage of the 
217.25 	calculated aggregate savings amount accruing to state-administered health care programs.
217.26 		Subd. 4.Repayment of transfer. When accumulated savings accruing to 
217.27 	state-administered health care programs, as calculated under subdivision 3, meet or exceed 
217.28 	$50,000,000, the commissioner of health shall certify that event to the commissioner of 
217.29 	finance. In the next fiscal year following the certification, the commissioner of finance 
217.30 	shall transfer $50,000,000 from the general fund to the health care access fund. The 
217.31 	amount necessary to make the transfer is appropriated from the general fund to the 
217.32 	commissioner of finance.
217.33 		Subd. 5.Definitions. (a) For purposes of this section, the following definitions 
217.34 	apply.
217.35 	(b) "Public health care spending" means spending for a state-administered health 
217.36 	care program.
218.1 	(c) "State-administered health care program" means medical assistance, 
218.2 	MinnesotaCare, general assistance medical care, and the state employee group insurance 
218.3 	program.

218.4 	Sec. 2. [144.058] INTERPRETER SERVICES QUALITY INITIATIVE.
218.5 	(a) The commissioner of health shall establish a voluntary statewide roster, and 
218.6 	develop a plan for a registry and certification process for interpreters who provide 
218.7 	high quality, spoken language health care interpreter services. The roster, registry, and 
218.8 	certification process shall be based on the findings and recommendations set forth by 
218.9 	the Interpreter Services Work Group required under Laws 2007, chapter 147, article 
218.10 	12, section 13.
218.11 	(b) By January 1, 2009, the commissioner shall establish a roster of all available 
218.12 	interpreters to address access concerns, particularly in rural areas.
218.13 	(c) By January 15, 2010, the commissioner shall:
218.14 	(1) develop a plan for a registry of spoken language health care interpreters, 
218.15 	including: 
218.16 	(i) development of standards for registration that set forth educational requirements, 
218.17 	training requirements, demonstration of language proficiency and interpreting skills, 
218.18 	agreement to abide by a code of ethics, and a criminal background check;
218.19 	(ii) recommendations for appropriate alternate requirements in languages for which 
218.20 	testing and training programs do not exist; 
218.21 	(iii) recommendations for appropriate fees; and
218.22 	(iv) recommendations for establishing and maintaining the standards for inclusion 
218.23 	in the registry; and 
218.24 	(2) develop a plan for implementing a certification process based on national 
218.25 	testing and certification processes for spoken language interpreters 12 months after the 
218.26 	establishment of a national certification process. 
218.27 	(d) The commissioner shall consult with the Interpreter Stakeholder Group of the 
218.28 	Upper Midwest Translators and Interpreters Association for advice on the standards 
218.29 	required to plan for the development of a registry and certification process.
218.30 	(e) The commissioner shall charge an annual fee of $50 to include an interpreter in 
218.31 	the roster. Fee revenue shall be deposited in the state government special revenue fund.

218.32 	EFFECTIVE DATE. This section is effective the day following final enactment.

218.33 	Sec. 3. Minnesota Statutes 2007 Supplement, section 144E.45, subdivision 2, is 
218.34 	amended to read:
219.1 		Subd. 2.Potential allocations. (a) On November 1, annually, the board or the 
219.2 	board's designee under section 144E.40, subdivision 2, shall determine the amount of the 
219.3 	allocation of the prior year's accumulation to each qualified ambulance service person. 
219.4 	The prior year's net investment gain or loss under paragraph (b) must be allocated 
219.5 	and that year's general fund appropriation, plus any transfer from the Cooper/Sams 
219.6 	volunteer ambulance account under section 144E.42, subdivision 2, and after deduction of 
219.7 	administrative expenses, also must be allocated. 
219.8 	(b) The difference in the market value of the assets of the Cooper/Sams volunteer 
219.9 	ambulance trust account as of the immediately previous June 30 and the June 30 occurring 
219.10 	12 months earlier must be reported on or before August 15 by the State Board of 
219.11 	Investment. The market value gain or loss must be expressed as a percentage of the total 
219.12 	potential award accumulations as of the immediately previous June 30, and that positive or 
219.13 	negative percentage must be applied to increase or decrease the recorded potential award 
219.14 	accumulation of each qualified ambulance service person.
219.15 	(c) The appropriation for this purpose, after deduction of administrative expenses, 
219.16 	must be divided by the total number of additional ambulance service personnel years 
219.17 	of service recognized since the last allocation or 1,000 years of service, whichever is 
219.18 	greater. If the allocation is based on the 1,000 years of service, any allocation not made 
219.19 	for a qualified ambulance service person must be credited to the Cooper/Sams volunteer 
219.20 	ambulance account under section 144E.42, subdivision 2. A qualified ambulance service 
219.21 	person must be credited with a year of service if the person is certified by the chief 
219.22 	administrative officer of the ambulance service as having rendered active ambulance 
219.23 	service during the 12 months ending as of the immediately previous June 30. If the person 
219.24 	has rendered prior active ambulance service, the person must be additionally credited with 
219.25 	one-fifth of a year of service for each year of active ambulance service rendered before 
219.26 	June 30, 1993, but not to exceed in any year one additional year of service or to exceed 
219.27 	in total five years of prior service. Prior active ambulance service means employment 
219.28 	by or the provision of service to a licensed ambulance service before June 30, 1993, as 
219.29 	determined by the person's current ambulance service based on records provided by the 
219.30 	person that were contemporaneous to the service. The prior ambulance service must be 
219.31 	reported on or before August 1 to the board in an affidavit from the chief administrative 
219.32 	officer of the ambulance service. 
219.33 	(d) Effective July 1, 2008, notwithstanding paragraphs (a) to (c), the value of each 
219.34 	service credit shall be $447.19.

219.35 	Sec. 4. Minnesota Statutes 2006, section 145.9255, subdivision 1, is amended to read:
220.1 		Subdivision 1.Establishment. To the extent funds are available for the purposes 
220.2 	of this subdivision, the commissioner of health, in consultation with a representative 
220.3 	from Minnesota planning, the commissioner of human services, and the commissioner 
220.4 	of education, shall develop and implement the Minnesota education now and babies 
220.5 	later (MN ENABL) program, targeted to adolescents ages 12 to 14, with the goal of 
220.6 	reducing the incidence of adolescent pregnancy in the state and promoting abstinence until 
220.7 	marriage. The program must provide a multifaceted, primary prevention, community 
220.8 	health promotion approach to educating and supporting adolescents in the decision to 
220.9 	postpone sexual involvement modeled after the ENABL program in California. The 
220.10 	commissioner of health shall consult with the chief of the health education section of 
220.11 	the California Department of Health Services for general guidance in developing and 
220.12 	implementing the program.

220.13 	Sec. 5. Minnesota Statutes 2006, section 256.969, subdivision 2b, is amended to read:
220.14 		Subd. 2b.Operating payment rates. In determining operating payment rates for 
220.15 	admissions occurring on or after the rate year beginning January 1, 1991, and every two 
220.16 	years after, or more frequently as determined by the commissioner, the commissioner 
220.17 	shall obtain operating data from an updated base year and establish operating payment 
220.18 	rates per admission for each hospital based on the cost-finding methods and allowable 
220.19 	costs of the Medicare program in effect during the base year. Rates under the general 
220.20 	assistance medical care, medical assistance, and MinnesotaCare programs shall not be 
220.21 	rebased to more current data on January 1, 1997, and January 1, 2005, and for the first 
220.22 	24 months of the rebased period beginning January 1, 2009. The base year operating 
220.23 	payment rate per admission is standardized by the case mix index and adjusted by the 
220.24 	hospital cost index, relative values, and disproportionate population adjustment. The 
220.25 	cost and charge data used to establish operating rates shall only reflect inpatient services 
220.26 	covered by medical assistance and shall not include property cost information and costs 
220.27 	recognized in outlier payments.

220.28 	Sec. 6. Minnesota Statutes 2006, section 256.969, subdivision 3a, is amended to read:
220.29 		Subd. 3a.Payments. (a) Acute care hospital billings under the medical 
220.30 	assistance program must not be submitted until the recipient is discharged. However, 
220.31 	the commissioner shall establish monthly interim payments for inpatient hospitals that 
220.32 	have individual patient lengths of stay over 30 days regardless of diagnostic category. 
220.33 	Except as provided in section 256.9693, medical assistance reimbursement for treatment 
220.34 	of mental illness shall be reimbursed based on diagnostic classifications. Individual 
221.1 	hospital payments established under this section and sections 256.9685, 256.9686, and 
221.2 	256.9695, in addition to third party and recipient liability, for discharges occurring during 
221.3 	the rate year shall not exceed, in aggregate, the charges for the medical assistance covered 
221.4 	inpatient services paid for the same period of time to the hospital. This payment limitation 
221.5 	shall be calculated separately for medical assistance and general assistance medical 
221.6 	care services. The limitation on general assistance medical care shall be effective for 
221.7 	admissions occurring on or after July 1, 1991. Services that have rates established under 
221.8 	subdivision 11 or 12, must be limited separately from other services. After consulting with 
221.9 	the affected hospitals, the commissioner may consider related hospitals one entity and 
221.10 	may merge the payment rates while maintaining separate provider numbers. The operating 
221.11 	and property base rates per admission or per day shall be derived from the best Medicare 
221.12 	and claims data available when rates are established. The commissioner shall determine 
221.13 	the best Medicare and claims data, taking into consideration variables of recency of the 
221.14 	data, audit disposition, settlement status, and the ability to set rates in a timely manner. 
221.15 	The commissioner shall notify hospitals of payment rates by December 1 of the year 
221.16 	preceding the rate year. The rate setting data must reflect the admissions data used to 
221.17 	establish relative values. Base year changes from 1981 to the base year established for the 
221.18 	rate year beginning January 1, 1991, and for subsequent rate years, shall not be limited 
221.19 	to the limits ending June 30, 1987, on the maximum rate of increase under subdivision 
221.20 	1. The commissioner may adjust base year cost, relative value, and case mix index data 
221.21 	to exclude the costs of services that have been discontinued by the October 1 of the year 
221.22 	preceding the rate year or that are paid separately from inpatient services. Inpatient stays 
221.23 	that encompass portions of two or more rate years shall have payments established based 
221.24 	on payment rates in effect at the time of admission unless the date of admission preceded 
221.25 	the rate year in effect by six months or more. In this case, operating payment rates for 
221.26 	services rendered during the rate year in effect and established based on the date of 
221.27 	admission shall be adjusted to the rate year in effect by the hospital cost index.
221.28 	(b) For fee-for-service admissions occurring on or after July 1, 2002, the total 
221.29 	payment, before third-party liability and spenddown, made to hospitals for inpatient 
221.30 	services is reduced by .5 percent from the current statutory rates.
221.31 	(c) In addition to the reduction in paragraph (b), the total payment for fee-for-service 
221.32 	admissions occurring on or after July 1, 2003, made to hospitals for inpatient services 
221.33 	before third-party liability and spenddown, is reduced five percent from the current 
221.34 	statutory rates. Mental health services within diagnosis related groups 424 to 432, and 
221.35 	facilities defined under subdivision 16 are excluded from this paragraph.
222.1 	(d) In addition to the reduction in paragraphs (b) and (c), the total payment for 
222.2 	fee-for-service admissions occurring on or after July 1, 2005, made to hospitals for 
222.3 	inpatient services before third-party liability and spenddown, is reduced 6.0 percent 
222.4 	from the current statutory rates. Mental health services within diagnosis related groups 
222.5 	424 to 432 and facilities defined under subdivision 16 are excluded from this paragraph. 
222.6 	Notwithstanding section 256.9686, subdivision 7, for purposes of this paragraph, medical 
222.7 	assistance does not include general assistance medical care. Payments made to managed 
222.8 	care plans shall be reduced for services provided on or after January 1, 2006, to reflect 
222.9 	this reduction.
222.10 	(e) In addition to the reductions in paragraphs (b), (c), and (d), the total payment for 
222.11 	fee-for-service admissions occurring on or after July 1, 2008, through June 30, 2009, made 
222.12 	to hospitals for inpatient services before third-party liability and spenddown, is reduced 
222.13 	3.46 percent from the current statutory rates. Mental health services with diagnosis related 
222.14 	groups 424 to 432 and facilities defined under subdivision 16 are excluded from this 
222.15 	paragraph. Payments made to managed care plans shall be reduced for services provided 
222.16 	on or after January 1, 2009, through June 30, 2009, to reflect this reduction.
222.17 	(f) In addition to the reductions in paragraphs (b), (c), and (d), the total payment for 
222.18 	fee-for-service admissions occurring on or after July 1, 2009, through June 30, 2010, made 
222.19 	to hospitals for inpatient services before third-party liability and spenddown, is reduced 
222.20 	1.9 percent from the current statutory rates. Mental health services with diagnosis related 
222.21 	groups 424 to 432 and facilities defined under subdivision 16 are excluded from this 
222.22 	paragraph. Payments made to managed care plans shall be reduced for services provided 
222.23 	on or after July 1, 2009, through June 30, 2010, to reflect this reduction.
222.24 	(g) In addition to the reductions in paragraphs (b), (c), and (d), the total payment 
222.25 	for fee-for-service admissions occurring on or after July 1, 2010, made to hospitals for 
222.26 	inpatient services before third-party liability and spenddown, is reduced 1.79 percent 
222.27 	from the current statutory rates. Mental health services with diagnosis related groups 
222.28 	424 to 432 and facilities defined under subdivision 16 are excluded from this paragraph. 
222.29 	Payments made to managed care plans shall be reduced for services provided on or after 
222.30 	July 1, 2010, to reflect this reduction.

222.31 	Sec. 7. Minnesota Statutes 2006, section 256B.0571, subdivision 8, is amended to read:
222.32 		Subd. 8.Program established. (a) The commissioner, in cooperation with the 
222.33 	commissioner of commerce, shall establish the Minnesota partnership for long-term care 
222.34 	program to provide for the financing of long-term care through a combination of private 
222.35 	insurance and medical assistance.
223.1 	(b) An individual who meets the requirements in this paragraph is eligible to 
223.2 	participate in the partnership program. The individual must:
223.3 	(1) be a Minnesota resident at the time coverage first became effective under the 
223.4 	partnership policy; and
223.5 	(2) be a beneficiary of a partnership policy that (i) is issued on or after the effective 
223.6 	date of the state plan amendment implementing the partnership program in Minnesota, or 
223.7 	(ii) qualifies as a partnership policy under the provisions of subdivision 8a; and.
223.8 	(3) have exhausted all of the benefits under the partnership policy as described in this 
223.9 	section. Benefits received under a long-term care insurance policy before July 1, 2006, do 
223.10 	not count toward the exhaustion of benefits required in this subdivision.

223.11 	Sec. 8. Minnesota Statutes 2006, section 256B.0571, subdivision 9, is amended to read:
223.12 		Subd. 9.Medical assistance eligibility. (a) Upon application for medical assistance 
223.13 	program payment of long-term care services by an individual who meets the requirements 
223.14 	described in subdivision 8, the commissioner shall determine the individual's eligibility 
223.15 	for medical assistance according to paragraphs (b) to (i).
223.16 	(b) After determining assets subject to the asset limit under section 256B.056, 
223.17 	subdivision 3 or 3c, or 256B.057, subdivision 9 or 10, the commissioner shall allow the 
223.18 	individual to designate assets to be protected from recovery under subdivisions 13 and 
223.19 	15 up to the dollar amount of the benefits utilized under the partnership policy as of the 
223.20 	effective date of eligibility for medical assistance program payment of long-term care 
223.21 	services. Benefits utilized under a long-term care insurance policy before July 1, 2006, 
223.22 	do not count for the purpose of determining the amount of assets that can be designated. 
223.23 	Designated assets shall be disregarded for purposes of determining eligibility for payment 
223.24 	of long-term care services. The dollar amount of benefits utilized must be equal to the 
223.25 	amount of claims paid by the issuer under the policy as verified by the issuer.
223.26 	(c) The individual shall identify the designated assets and the full fair market value 
223.27 	of those assets and designate them as assets to be protected at the time of initial application 
223.28 	for medical assistance payment of long-term care services. The full fair market value of 
223.29 	real property or interests in real property shall be based on the most recent full assessed 
223.30 	value for property tax purposes for the real property, unless the individual provides a 
223.31 	complete professional appraisal by a licensed appraiser to establish the full fair market 
223.32 	value. The extent of a life estate in real property shall be determined using the life estate 
223.33 	table in the health care program's manual. Ownership of any asset in joint tenancy shall be 
223.34 	treated as ownership as tenants in common for purposes of its designation as a disregarded 
224.1 	asset. The unprotected value of any protected asset is subject to estate recovery according 
224.2 	to subdivisions 13 and 15.
224.3 	(d) The right to designate assets to be protected is personal to the individual and 
224.4 	ends when the individual dies, except as otherwise provided in subdivisions 13 and 
224.5 	15. It does not include the increase in the value of the protected asset and the income, 
224.6 	dividends, or profits from the asset. It may be exercised by the individual or by anyone 
224.7 	with the legal authority to do so on the individual's behalf. It shall not be sold, assigned, 
224.8 	transferred, or given away.
224.9 	(e) If the dollar amount of the benefits utilized under a partnership policy is greater 
224.10 	than the full fair market value of all assets protected at the time of the application for 
224.11 	medical assistance long-term care services, As the individual continues to utilize benefits 
224.12 	under a partnership policy after eligibility for medical assistance payment of long-term 
224.13 	care services begins, the individual may designate, for additional protection, an increase 
224.14 	in the value of protected assets and additional assets that become available during the 
224.15 	individual's lifetime for protection under this section up to the amount of additional 
224.16 	benefits utilized. The individual must make the designation in writing to the county agency 
224.17 	no later than the last date on which the individual must report a change in circumstances to 
224.18 	the county agency, as provided for under the medical assistance program. Any excess used 
224.19 	for this purpose shall not be available to the individual's estate to protect assets in the estate 
224.20 	from recovery under section 256B.15 or 524.3-1202, or otherwise. The amount used for 
224.21 	this purpose must reduce the unused amount of asset protection available to protect assets 
224.22 	in the individual's estate from recovery under section 256B.15 or 524.3-1202, or otherwise.
224.23 	(f) This section applies only to estate recovery under United States Code, title 42, 
224.24 	section 1396p, subsections (a) and (b), and does not apply to recovery authorized by other 
224.25 	provisions of federal law, including, but not limited to, recovery from trusts under United 
224.26 	States Code, title 42, section 1396p, subsection (d)(4)(A) and (C), or to recovery from 
224.27 	annuities, or similar legal instruments, subject to section 6012, subsections (a) and (b), of 
224.28 	the Deficit Reduction Act of 2005, Public Law 109-171.
224.29 	(g) An individual's protected assets owned by the individual's spouse who applies 
224.30 	for payment of medical assistance long-term care services shall not be protected assets or 
224.31 	disregarded for purposes of eligibility of the individual's spouse solely because they were 
224.32 	protected assets of the individual.
224.33 	(h) Assets designated under this subdivision shall not be subject to penalty under 
224.34 	section 256B.0595.
225.1 	(i) The commissioner shall otherwise determine the individual's eligibility 
225.2 	for payment of long-term care services according to medical assistance eligibility 
225.3 	requirements.

225.4 	Sec. 9. Minnesota Statutes 2006, section 256B.0625, subdivision 13e, is amended to 
225.5 	read:
225.6 		Subd. 13e.Payment rates. (a) The basis for determining the amount of payment 
225.7 	shall be the lower of the actual acquisition costs of the drugs plus a fixed dispensing fee; 
225.8 	the maximum allowable cost set by the federal government or by the commissioner plus 
225.9 	the fixed dispensing fee; or the usual and customary price charged to the public. The 
225.10 	amount of payment basis must be reduced to reflect all discount amounts applied to the 
225.11 	charge by any provider/insurer agreement or contract for submitted charges to medical 
225.12 	assistance programs. The net submitted charge may not be greater than the patient liability 
225.13 	for the service. The pharmacy dispensing fee shall be $3.65, except that the dispensing fee 
225.14 	for intravenous solutions which must be compounded by the pharmacist shall be $8 per 
225.15 	bag, $14 per bag for cancer chemotherapy products, and $30 per bag for total parenteral 
225.16 	nutritional products dispensed in one liter quantities, or $44 per bag for total parenteral 
225.17 	nutritional products dispensed in quantities greater than one liter. Actual acquisition 
225.18 	cost includes quantity and other special discounts except time and cash discounts. 
225.19 	Effective July 1, 2008, the actual acquisition cost of a drug shall be estimated by the 
225.20 	commissioner, at average wholesale price minus 12 14 percent. The actual acquisition 
225.21 	cost of antihemophilic factor drugs shall be estimated at the average wholesale price 
225.22 	minus 30 percent. The maximum allowable cost of a multisource drug may be set by the 
225.23 	commissioner and it shall be comparable to, but no higher than, the maximum amount 
225.24 	paid by other third-party payors in this state who have maximum allowable cost programs. 
225.25 	Establishment of the amount of payment for drugs shall not be subject to the requirements 
225.26 	of the Administrative Procedure Act.
225.27 	(b) An additional dispensing fee of $.30 may be added to the dispensing fee paid 
225.28 	to pharmacists for legend drug prescriptions dispensed to residents of long-term care 
225.29 	facilities when a unit dose blister card system, approved by the department, is used. Under 
225.30 	this type of dispensing system, the pharmacist must dispense a 30-day supply of drug. 
225.31 	The National Drug Code (NDC) from the drug container used to fill the blister card must 
225.32 	be identified on the claim to the department. The unit dose blister card containing the 
225.33 	drug must meet the packaging standards set forth in Minnesota Rules, part 6800.2700, 
225.34 	that govern the return of unused drugs to the pharmacy for reuse. The pharmacy provider 
225.35 	will be required to credit the department for the actual acquisition cost of all unused 
226.1 	drugs that are eligible for reuse. Over-the-counter medications must be dispensed in the 
226.2 	manufacturer's unopened package. The commissioner may permit the drug clozapine to be 
226.3 	dispensed in a quantity that is less than a 30-day supply.
226.4 	(c) Whenever a generically equivalent product is available, payment shall be on the 
226.5 	basis of the actual acquisition cost of the generic drug, or on the maximum allowable cost 
226.6 	established by the commissioner.
226.7 	(d) The basis for determining the amount of payment for drugs administered in an 
226.8 	outpatient setting shall be the lower of the usual and customary cost submitted by the 
226.9 	provider or the amount established for Medicare by the United States Department of 
226.10 	Health and Human Services pursuant to title XVIII, section 1847a of the federal Social 
226.11 	Security Act.
226.12 	(e) The commissioner may negotiate lower reimbursement rates for specialty 
226.13 	pharmacy products than the rates specified in paragraph (a). The commissioner may 
226.14 	require individuals enrolled in the health care programs administered by the department 
226.15 	to obtain specialty pharmacy products from providers with whom the commissioner has 
226.16 	negotiated lower reimbursement rates. Specialty pharmacy products are defined as those 
226.17 	used by a small number of recipients or recipients with complex and chronic diseases 
226.18 	that require expensive and challenging drug regimens. Examples of these conditions 
226.19 	include, but are not limited to: multiple sclerosis, HIV/AIDS, transplantation, hepatitis 
226.20 	C, growth hormone deficiency, Crohn's Disease, rheumatoid arthritis, and certain forms 
226.21 	of cancer. Specialty pharmaceutical products include injectable and infusion therapies, 
226.22 	biotechnology drugs, high-cost therapies, and therapies that require complex care. The 
226.23 	commissioner shall consult with the formulary committee to develop a list of specialty 
226.24 	pharmacy products subject to this paragraph. In consulting with the formulary committee 
226.25 	in developing this list, the commissioner shall take into consideration the population 
226.26 	served by specialty pharmacy products, the current delivery system and standard of care in 
226.27 	the state, and access to care issues. The commissioner shall have the discretion to adjust 
226.28 	the reimbursement rate to prevent access to care issues.

226.29 	EFFECTIVE DATE. This section is effective July 1, 2008.

226.30 	Sec. 10. Minnesota Statutes 2007 Supplement, section 256B.0631, subdivision 1, 
226.31 	is amended to read:
226.32 		Subdivision 1.Co-payments. (a) Except as provided in subdivision 2, the medical 
226.33 	assistance benefit plan shall include the following co-payments for all recipients, effective 
226.34 	for services provided on or after October 1, 2003, and before January 1, 2009:
227.1 	(1) $3 per nonpreventive visit. For purposes of this subdivision, a visit means an 
227.2 	episode of service which is required because of a recipient's symptoms, diagnosis, or 
227.3 	established illness, and which is delivered in an ambulatory setting by a physician or 
227.4 	physician ancillary, chiropractor, podiatrist, nurse midwife, advanced practice nurse, 
227.5 	audiologist, optician, or optometrist;
227.6 	(2) $3 for eyeglasses;
227.7 	(3) $6 for nonemergency visits to a hospital-based emergency room; and
227.8 	(4) $3 per brand-name drug prescription and $1 per generic drug prescription, 
227.9 	subject to a $12 per month maximum for prescription drug co-payments. No co-payments 
227.10 	shall apply to antipsychotic drugs when used for the treatment of mental illness.
227.11 	(b) Except as provided in subdivision 2, the medical assistance benefit plan shall 
227.12 	include the following co-payments for all recipients, effective for services provided on 
227.13 	or after January 1, 2009:
227.14 	(1) $6 for nonemergency visits to a hospital-based emergency room; and
227.15 	(2) $3 per brand-name drug prescription and $1 per generic drug prescription, 
227.16 	subject to a $7 per month maximum for prescription drug co-payments. No co-payments 
227.17 	shall apply to antipsychotic drugs when used for the treatment of mental illness.; and
227.18 	(3) for individuals identified by the commissioner with income at or below 100 
227.19 	percent of the federal poverty guidelines, total monthly co-payments must not exceed five 
227.20 	percent of family income. For purposes of this paragraph, family income is the total 
227.21 	earned and unearned income of the individual and the individual's spouse, if the spouse is 
227.22 	enrolled in medical assistance and also subject to the five percent limit on co-payments.
227.23 	(c) Recipients of medical assistance are responsible for all co-payments in this 
227.24 	subdivision.

227.25 	Sec. 11. Minnesota Statutes 2007 Supplement, section 256B.0631, subdivision 3, 
227.26 	is amended to read:
227.27 		Subd. 3.Collection. (a) The medical assistance reimbursement to the provider shall 
227.28 	be reduced by the amount of the co-payment, except that reimbursement for prescription 
227.29 	drugs reimbursements shall not be reduced:
227.30 	(1) once a recipient has reached the $12 per month maximum or the $7 per month 
227.31 	maximum effective January 1, 2009, for prescription drug co-payments; or
227.32 	(2) for a recipient identified by the commissioner under 100 percent of the federal 
227.33 	poverty guidelines who has met their monthly five percent co-payment limit.
227.34 	(b) The provider collects the co-payment from the recipient. Providers may not deny 
227.35 	services to recipients who are unable to pay the co-payment.
228.1 	(c) Medical assistance reimbursement to fee-for-service providers and payments to 
228.2 	managed care plans shall not be increased as a result of the removal of the co-payments 
228.3 	effective January 1, 2009.

228.4 	Sec. 12. [256B.194] FEDERAL PAYMENTS.
228.5 	The commissioner may require medical assistance and MinnesotaCare providers to 
228.6 	provide any information necessary to determine Medicaid-related costs, and require the 
228.7 	cooperation of providers in any audit or review necessary to ensure payments are limited 
228.8 	to cost. This section does not apply to providers who are exempt from the provisions of  the 
228.9 	CMS final rule, published May 29, 2007, at Federal Register, Vol. 72, No. 100, governing 
228.10 	payments to providers that are units of government. This section becomes effective when 
228.11 	the CMS final rule goes into effect at the end of the moratorium imposed by Congress.

228.12 	Sec. 13. Minnesota Statutes 2006, section 256B.32, subdivision 1, is amended to read:
228.13 		Subdivision 1.Facility fee for hospital emergency room and clinic visit. (a) The 
228.14 	commissioner shall establish a facility fee payment mechanism that will pay a facility fee 
228.15 	to all enrolled outpatient hospitals for each emergency room or outpatient clinic visit 
228.16 	provided on or after July 1, 1989. This payment mechanism may not result in an overall 
228.17 	increase in outpatient payment rates. This section does not apply to federally mandated 
228.18 	maximum payment limits, department-approved program packages, or services billed 
228.19 	using a nonoutpatient hospital provider number.
228.20 	(b) For fee-for-service services provided on or after July 1, 2002, the total payment, 
228.21 	before third-party liability and spenddown, made to hospitals for outpatient hospital 
228.22 	facility services is reduced by .5 percent from the current statutory rates.
228.23 	(c) In addition to the reduction in paragraph (b), the total payment for fee-for-service 
228.24 	services provided on or after July 1, 2003, made to hospitals for outpatient hospital 
228.25 	facility services before third-party liability and spenddown, is reduced five percent from 
228.26 	the current statutory rates. Facilities defined under section 256.969, subdivision 16, are 
228.27 	excluded from this paragraph. 
228.28 	(d) In addition to the reductions in paragraphs (b) and (c), the total payment for 
228.29 	fee-for-service services provided on or after July 1, 2008, made to hospitals for outpatient 
228.30 	hospital facility services before third-party liability and spenddown, is reduced three 
228.31 	percent from the current statutory rates. Mental health services and facilities defined under 
228.32 	section 256.969, subdivision 16, are excluded from this paragraph.

228.33 	Sec. 14. Minnesota Statutes 2006, section 256B.69, subdivision 5a, is amended to read:
229.1 		Subd. 5a.Managed care contracts. (a) Managed care contracts under this section 
229.2 	and sections 256L.12 and 256D.03, shall be entered into or renewed on a calendar year 
229.3 	basis beginning January 1, 1996. Managed care contracts which were in effect on June 
229.4 	30, 1995, and set to renew on July 1, 1995, shall be renewed for the period July 1, 1995 
229.5 	through December 31, 1995 at the same terms that were in effect on June 30, 1995. The 
229.6 	commissioner may issue separate contracts with requirements specific to services to 
229.7 	medical assistance recipients age 65 and older.
229.8 	(b) A prepaid health plan providing covered health services for eligible persons 
229.9 	pursuant to chapters 256B, 256D, and 256L, is responsible for complying with the terms 
229.10 	of its contract with the commissioner. Requirements applicable to managed care programs 
229.11 	under chapters 256B, 256D, and 256L, established after the effective date of a contract 
229.12 	with the commissioner take effect when the contract is next issued or renewed.
229.13 	(c) Effective for services rendered on or after January 1, 2003, the commissioner 
229.14 	shall withhold five percent of managed care plan payments under this section for the 
229.15 	prepaid medical assistance and general assistance medical care programs pending 
229.16 	completion of performance targets. Each performance target must be quantifiable, 
229.17 	objective, measurable, and reasonably attainable, except in the case of a performance 
229.18 	target based on a federal or state law or rule. Criteria for assessment of each performance 
229.19 	target must be outlined in writing prior to the contract effective date. The withheld funds 
229.20 	must be returned no sooner than July of the following year if performance targets in the 
229.21 	contract are achieved. The commissioner may exclude special demonstration projects 
229.22 	under subdivision 23. A managed care plan or a county-based purchasing plan under 
229.23 	section 256B.692 may include as admitted assets under section 62D.044 any amount 
229.24 	withheld under this paragraph that is reasonably expected to be returned.
229.25 	(d)(1) Effective for services rendered on or after January 1, 2009, the commissioner 
229.26 	shall withhold three percent of managed care plan payments under this section for the 
229.27 	prepaid medical assistance and general assistance medical care programs. The withheld 
229.28 	funds must be returned no sooner than July 1 and no later than July 31 of the following 
229.29 	year. The commissioner may exclude special demonstration projects under subdivision 23.
229.30 	(2) A managed care plan or a county-based purchasing plan under section 256B.692 
229.31 	may include as admitted assets under section 62D.044 any amount withheld under 
229.32 	this paragraph. The return of the withhold under this paragraph is not subject to the 
229.33 	requirements of paragraph (c).

229.34 	Sec. 15. Minnesota Statutes 2006, section 256B.75, is amended to read:
229.35 	256B.75 HOSPITAL OUTPATIENT REIMBURSEMENT.
230.1 	(a) For outpatient hospital facility fee payments for services rendered on or after 
230.2 	October 1, 1992, the commissioner of human services shall pay the lower of (1) submitted 
230.3 	charge, or (2) 32 percent above the rate in effect on June 30, 1992, except for those 
230.4 	services for which there is a federal maximum allowable payment. Effective for services 
230.5 	rendered on or after January 1, 2000, payment rates for nonsurgical outpatient hospital 
230.6 	facility fees and emergency room facility fees shall be increased by eight percent over the 
230.7 	rates in effect on December 31, 1999, except for those services for which there is a federal 
230.8 	maximum allowable payment. Services for which there is a federal maximum allowable 
230.9 	payment shall be paid at the lower of (1) submitted charge, or (2) the federal maximum 
230.10 	allowable payment. Total aggregate payment for outpatient hospital facility fee services 
230.11 	shall not exceed the Medicare upper limit. If it is determined that a provision of this 
230.12 	section conflicts with existing or future requirements of the United States government with 
230.13 	respect to federal financial participation in medical assistance, the federal requirements 
230.14 	prevail. The commissioner may, in the aggregate, prospectively reduce payment rates to 
230.15 	avoid reduced federal financial participation resulting from rates that are in excess of 
230.16 	the Medicare upper limitations.
230.17 	(b) Notwithstanding paragraph (a), payment for outpatient, emergency, and 
230.18 	ambulatory surgery hospital facility fee services for critical access hospitals designated 
230.19 	under section 144.1483, clause (10), shall be paid on a cost-based payment system that is 
230.20 	based on the cost-finding methods and allowable costs of the Medicare program.
230.21 	(c) Effective for services provided on or after July 1, 2003, rates that are based 
230.22 	on the Medicare outpatient prospective payment system shall be replaced by a budget 
230.23 	neutral prospective payment system that is derived using medical assistance data. The 
230.24 	commissioner shall provide a proposal to the 2003 legislature to define and implement 
230.25 	this provision.
230.26 	(d) For fee-for-service services provided on or after July 1, 2002, the total payment, 
230.27 	before third-party liability and spenddown, made to hospitals for outpatient hospital 
230.28 	facility services is reduced by .5 percent from the current statutory rate.
230.29 	(e) In addition to the reduction in paragraph (d), the total payment for fee-for-service 
230.30 	services provided on or after July 1, 2003, made to hospitals for outpatient hospital 
230.31 	facility services before third-party liability and spenddown, is reduced five percent from 
230.32 	the current statutory rates. Facilities defined under section 256.969, subdivision 16, are 
230.33 	excluded from this paragraph.
230.34 	(f) In addition to the reductions in paragraphs (d) and (e), the total payment for 
230.35 	fee-for-service services provided on or after July 1, 2008, made to hospitals for outpatient 
230.36 	hospital facility services before third-party liability and spenddown, is reduced three 
231.1 	percent from the current statutory rates. Mental health services and facilities defined under 
231.2 	section 256.969, subdivision 16, are excluded from this paragraph.

231.3 	ARTICLE 18
231.4 	HEALTH AND HUMAN SERVICES APPROPRIATIONS

231.5	Section 1. SUMMARY OF APPROPRIATIONS.
 	
231.6 	The amounts shown in this section summarize direct appropriations by fund made 
231.7 	in this article.

231.8			2008
		2009
		Total
	
231.9	General
	$
	(46,789,000)
	$
	(124,196,000)
	$
	(170,985,000)
	
231.10
231.11	State Government Special 
Revenue
		114,000
		667,000
		781,000
	
231.12	Health Care Access
		-0-
		(770,000)
		(770,000)
	
231.13	Federal TANF
		29,919,000
		56,356,000
		86,275,000
	
231.14	Total
	$
	(16,756,000)
	$
	(67,943,000)
	$
	(84,699,000)

231.15	Sec. 2. APPROPRIATIONS.
 	
231.16 	The sums shown in the columns marked "Appropriations" are added to or, if shown 
231.17 	in parentheses, subtracted from the appropriations in Laws 2007, chapter 147, or other 
231.18 	law to the agencies and for the purposes specified in this article. The appropriations 
231.19 	are from the general fund, or another named fund, and are available for the fiscal years 
231.20 	indicated for each purpose. The figures "2008" and "2009" used in this article mean 
231.21 	that the addition or subtraction from appropriations listed under them are available for 
231.22 	the fiscal year ending June 30, 2008, or June 30, 2009, respectively. "The first year" is 
231.23 	fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" is fiscal years 
231.24 	2008 and 2009. Supplemental appropriations and reductions for the fiscal year ending 
231.25 	June 30, 2008, are effective the day following final enactment.

231.26				APPROPRIATIONS
	
231.27				Available for the Year
	
231.28				Ending June 30
	
231.29					2008
		2009

231.30	Sec. 3. HUMAN SERVICES

231.31	Subdivision 1.Total Appropriation
 	$
	(16,870,000)
	$
	(64,480,000)

231.32	Appropriations by Fund
	
231.33		2008
	2009
	
231.34	General
	(46,789,000)
	(120,066,000)
	
232.1	Health Care Access
	-0-
	(770,000)
	
232.2	Federal TANF
	29,919,000
	 56,356,000
	
232.3 	The appropriation additions or reductions 
232.4 	for each purpose are shown in the following 
232.5 	subdivisions.
232.6 	Additional Working Family Credit 
232.7 	Expenditures to be Claimed for 
232.8 	TANF/MOE. In addition to the transfer 
232.9 	under prior law, the commissioner may count 
232.10 	the following amounts of working family 
232.11 	credit expenditure as TANF/MOE:
232.12 	(1) $21,085,000 in fiscal year 2008;
232.13 	(2) $48,408,000 in fiscal year 2009;
232.14 	(3) ($468,000) in fiscal year 2010; and
232.15 	(4) ($19,000) in fiscal year 2011.
232.16 	Notwithstanding any contrary provision in 
232.17 	this article, this rider expires June 30, 2011.

232.18	Subd. 2.Agency Management

232.19	Financial Operations
		-0-
		(5,867,000)
	
232.20 	Transfer from Special Revenue Fund.
232.21 	$1,098,000 of the amount transferred into the 
232.22 	special revenue fund from nongrant operating 
232.23 	balances of general fund appropriations 
232.24 	carried forward under Laws 2007, chapter 
232.25 	147, article 19, section 20, must be 
232.26 	transferred to the general fund by June 30, 
232.27 	2009.
232.28 	Base Adjustment. The general fund base 
232.29 	is increased $23,000 in fiscal year 2010 and 
232.30 	$26,000 in fiscal year 2011.

232.31
232.32	Subd. 3.Revenue and Pass-Through Revenue 
Expenditures

232.33	Federal TANF
		-0-
		 950,000
	
233.1 	TANF Transfer to Federal Child Care 
233.2 	and Development Fund. The following 
233.3 	TANF fund amounts are appropriated to the 
233.4 	commissioner for the purposes of MFIP and 
233.5 	transition year child care under Minnesota 
233.6 	Statutes, section 119B.05:
233.7 	(1) fiscal year 2009, $950,000; and
233.8 	(2) fiscal year 2010, $1,085,000.
233.9 	The commissioner shall authorize the 
233.10 	transfer of sufficient TANF funds to the 
233.11 	federal child care and development fund to 
233.12 	meet this appropriation and shall ensure that 
233.13 	all transferred funds are expended according 
233.14 	to federal child care and development fund 
233.15 	regulations.

233.16
233.17	Subd. 4.Children and Economic Assistance 
Grants

233.18	(a) MFIP/DWP Grants

233.19	Appropriations by Fund
	
233.20	General
	(29,919,000)
	(50,060,000)
	
233.21	Federal TANF
	29,919,000
	 47,946,000
	
233.22 	These appropriation adjustments replace the 
233.23 	appropriation adjustments in Laws 2008, 
233.24 	chapter 232.

233.25	(b) Support Services Grants; TANF
		-0-
		 7,100,000
	
233.26 	Supported Work. (1) Of the TANF 
233.27 	appropriation, $7,100,000 in fiscal year 2009 
233.28 	is for supported work for MFIP participants, 
233.29 	to be allocated to counties and tribes based 
233.30 	on the criteria under clauses (1) and (2) and is 
233.31 	available until expended. This appropriation 
233.32 	shall become part of base level funding to the 
233.33 	commissioner for the biennium beginning 
233.34 	July 1, 2009. Paid transitional work 
234.1 	experience and other supported employment 
234.2 	under this clause shall provide a continuum of 
234.3 	employment assistance, including outreach 
234.4 	and recruitment, program orientation 
234.5 	and intake, testing and assessment, job 
234.6 	development and marketing, preworksite 
234.7 	training, supported worksite experience, job 
234.8 	coaching, and postplacement follow-up, in 
234.9 	addition to extensive case management and 
234.10 	referral services. The base for this program 
234.11 	shall be $7,100,000 in fiscal year 2010 and 
234.12 	zero in fiscal year 2011.
234.13 	(2) A county or tribe is eligible to receive an 
234.14 	allocation under clause (1) if:
234.15 	(i) the county or tribe is not meeting the 
234.16 	federal work participation rate;
234.17 	(ii) the county or tribe has participants who 
234.18 	are required to perform work activities under 
234.19 	Minnesota Statutes, chapter 256J, but are not 
234.20 	meeting hourly work requirements; and
234.21 	(iii) the county or tribe has assessed 
234.22 	participants who have completed six weeks 
234.23 	of job search or are required to perform 
234.24 	work activities and are not meeting the 
234.25 	hourly requirements, and the county or tribe 
234.26 	has determined that the participant would 
234.27 	benefit from working in a supported work 
234.28 	environment.
234.29 	(3) A county or tribe may also be eligible for 
234.30 	funds in order to contract for supplemental 
234.31 	hours of paid work at the participant's child's 
234.32 	place of education, child care location, or the 
234.33 	child's physical or mental health treatment 
234.34 	facility or office. Grants to counties and 
234.35 	tribes under this clause are specifically for 
235.1 	MFIP participants who need to work up 
235.2 	to five hours more per week in order to 
235.3 	meet the hourly work requirement, and the 
235.4 	participant's employer cannot or will not 
235.5 	offer more hours to the participant.

235.6
235.7	(c) Basic Sliding Fee Child Care Assistance 
Grants
		-0-
		(9,227,000)
	
235.8 	Child Care and Development Fund 
235.9 	Unexpended Balance. In addition to 
235.10 	the amount provided in this section, the 
235.11 	commissioner shall expend $9,227,000 
235.12 	in fiscal year 2009 from the federal child 
235.13 	care and development fund unexpended 
235.14 	balance for basic sliding fee child care under 
235.15 	Minnesota Statutes, section 119B.03. The 
235.16 	commissioner shall ensure that all child 
235.17 	care and development funds are expended 
235.18 	according to the federal child care and 
235.19 	development fund regulations.
235.20 	Base Adjustment. The general fund base is 
235.21 	increased by $9,444,000 in fiscal year 2010 
235.22 	and $9,227,000 in fiscal year 2011.

235.23	(d) Child Care Development Grants
		-0-
		(360,000)
	
235.24 	Grants Reduction. Effective July 1, 2008, 
235.25 	base level funding for nonforecast, general 
235.26 	fund child care development grants issued 
235.27 	under this paragraph shall be reduced by 1.8 
235.28 	percent at the allotment level. 
235.29 	Prekindergarten Exploratory Projects.
235.30 	Of this appropriation reduction, $250,000 
235.31 	in fiscal year 2009 is from the general fund 
235.32 	appropriation for prekindergarten exploratory 
235.33 	projects in Laws 2007, chapter 147, article 
235.34 	19, section 3, subdivision 4, paragraph (e).
236.1 	Base Adjustment. Of the general fund 
236.2 	reduction, $328,000 is onetime.

236.3	(e) Children's Services Grants
		(311,000)
		(1,898,000)
	
236.4 	Base Adjustment. The general fund base is 
236.5 	increased by $1,688,000 in each year of the 
236.6 	fiscal year 2010 and 2011 biennium.
236.7 	Funding Usage. Up to 75 percent of the 
236.8 	fiscal year 2010 appropriation for children's 
236.9 	mental health screening grants may be used 
236.10 	to fund calendar year 2009 allocations for 
236.11 	these programs, with the resulting calendar 
236.12 	year funding pattern continuing into the 
236.13 	future.
236.14 	Grants Reduction. Effective July 1, 2008, 
236.15 	base level funding for nonforecast, general 
236.16 	fund children's services grants issued under 
236.17 	this paragraph, excluding children's mental 
236.18 	health grants, adoption assistance grants, and 
236.19 	relative custody assistance grants, shall be 
236.20 	reduced by 1.8 percent at the allotment level.

236.21	(f) Children and Community Services Grants
		-0-
		(1,345,000)
	
236.22 	Base Adjustment. The general fund base 
236.23 	is decreased by $98,000 in each year of the 
236.24 	fiscal year 2010 and 2011 biennium.
236.25 	Grants Reduction. Effective July 1, 2008, 
236.26 	base level funding for nonforecast, general 
236.27 	fund children and community services grants 
236.28 	issued under this paragraph shall be reduced 
236.29 	by 1.8 percent at the allotment level.

236.30	(g) Minnesota Supplemental Aid Grants
		-0-
		201,000
	
236.31	(h) Group Residential Housing Grants
		-0-
		(133,000)

236.32
236.33	(i) Other Children's and Economic Assistance 
Grants

237.1	Appropriations by Fund
	
237.2	General
	-0-
	 352,000
	
237.3	Federal TANF
	-0-
	360,000
	
237.4 	Grants Reduction. Effective July 1, 2008, 
237.5 	base level funding for nonforecast, general 
237.6 	fund other children's and economic assistance 
237.7 	grants issued under this paragraph shall be 
237.8 	reduced by 1.8 percent at the allotment level.
237.9 	The base for grants impacted by this 
237.10 	reduction shall increase by $4,000 in fiscal 
237.11 	year 2010 and $14,000 in fiscal year 2011.
237.12 	Foodshelf Programs. Of the general fund 
237.13 	appropriation, $500,000 in fiscal year 2009 
237.14 	is for foodshelf programs under Minnesota 
237.15 	Statutes, section 256E.34. This is a onetime 
237.16 	appropriation and is available until expended.
237.17 	Long-Term Homeless Supportive Services.
237.18 	$145,000 from the general fund and $360,000 
237.19 	from TANF in fiscal year 2009 is for the 
237.20 	long-term homeless supportive services fund 
237.21 	under Minnesota Statutes, section 256K.26. 
237.22 	This is a onetime appropriation and is 
237.23 	available until expended.

237.24	Subd. 5.Basic Health Care Grants

237.25	(a) MinnesotaCare Grants

237.26	Health Care Access
		-0-
		(770,000)
	
237.27 	Incentive Program and Outreach Grants.
237.28 	Of the appropriation for the Minnesota health 
237.29 	care outreach program in Laws 2007, chapter 
237.30 	147, article 19, section 3, subdivision 7, 
237.31 	paragraph (b):
237.32 	(1) $400,000 in fiscal year 2009 from the 
237.33 	general fund and $200,000 in fiscal year 2009 
237.34 	from the health care access fund are for the 
238.1 	incentive program under Minnesota Statutes, 
238.2 	section 256.962, subdivision 5. For the 
238.3 	biennium  beginning July 1, 2009, base level 
238.4 	funding for this activity shall be $360,000 
238.5 	from the general fund and $160,000 from the 
238.6 	health care access fund; and
238.7 	(2) $100,000 in fiscal year 2009 from the 
238.8 	general fund and $50,000 in fiscal year 2009 
238.9 	from the health care access fund are for the 
238.10 	outreach grants under Minnesota Statutes, 
238.11 	section 256.962, subdivision 2. For the 
238.12 	biennium beginning July 1, 2009, base level 
238.13 	funding for this activity shall be $90,000 
238.14 	from the general fund and $40,000 from the 
238.15 	health  care access fund.

238.16
238.17	(b) MA Basic Health Care Grants - Families 
and Children
		-0-
		(17,280,000)
	
238.18 	Third-Party Liability. (a) During 
238.19 	fiscal year 2009, the commissioner shall 
238.20 	employ a contractor paid on a percentage 
238.21 	basis to improve third-party collections. 
238.22 	Improvement initiatives may include, but not 
238.23 	be limited to, efforts to improve postpayment 
238.24 	collection from nonresponsive claims and 
238.25 	efforts to uncover third-party payers the 
238.26 	commissioner has been unable to identify.
238.27 	(b) In fiscal year 2009, the first $1,098,000 
238.28 	of recoveries, after contract payments and 
238.29 	federal repayments, is appropriated to 
238.30 	the commissioner for technology-related 
238.31 	expenses.
238.32 	Administrative Costs. (a) For contracts 
238.33 	effective on or after January 1, 2009, 
238.34 	the commissioner shall limit aggregate 
238.35 	administrative costs paid to managed care 
239.1 	plans under Minnesota Statutes, section 
239.2 	256B.69, and to county-based purchasing 
239.3 	plans under Minnesota Statutes, section 
239.4 	256B.692, to an overall average of 6.6 
239.5 	percent of total contract payments under 
239.6 	Minnesota Statutes, sections 256B.69 and 
239.7 	256B.692, for each calendar year. For 
239.8 	purposes of this paragraph, administrative 
239.9 	costs do not include premium taxes paid 
239.10 	under Minnesota Statutes, section 297I.05, 
239.11 	subdivision 5, and provider surcharges paid 
239.12 	under Minnesota Statutes, section 256.9657, 
239.13 	subdivision 3.
239.14 	(b) Notwithstanding any law to the contrary, 
239.15 	the commissioner may reduce or eliminate 
239.16 	administrative requirements to meet the 
239.17 	administrative target under paragraph (a). 
239.18 	(c) Notwithstanding any contrary provision 
239.19 	of this article, this rider shall not expire.
239.20 	Hospital Payment Delay. Notwithstanding 
239.21 	Laws 2005, First Special Session chapter 4, 
239.22 	article 9, section 2, subdivision 6, payments 
239.23 	from the Medicaid Management Information 
239.24 	System that would otherwise have been made 
239.25 	for inpatient hospital services for medical 
239.26 	assistance enrollees are delayed as follows: 
239.27 	(1) for fiscal year 2008, June payments must 
239.28 	be included in the first payments in fiscal 
239.29 	year 2009; and (2) for fiscal year 2009, 
239.30 	June payments must be included in the first 
239.31 	payment of fiscal year 2010. The provisions 
239.32 	of Minnesota Statutes, section 16A.124, 
239.33 	do not apply to these delayed payments. 
239.34 	Notwithstanding any contrary provision in 
240.1 	this article, this paragraph expires on June 
240.2 	30, 2010.

240.3
240.4	(c) MA Basic Health Care Grants - Elderly and 
Disabled
		(14,028,000)
		(9,368,000)
	
240.5 	Minnesota Disability Health Options Rate 
240.6 	Setting Methodology. The commissioner 
240.7 	shall develop and implement a methodology 
240.8 	for risk adjusting payments for community 
240.9 	alternatives for disabled individuals (CADI) 
240.10 	and traumatic brain injury (TBI) home 
240.11 	and community-based waiver services 
240.12 	delivered under the Minnesota disability 
240.13 	health options program (MnDHO) effective 
240.14 	January 1, 2009. The commissioner shall 
240.15 	take into account the weighting system used 
240.16 	to determine county waiver allocations in 
240.17 	developing the new payment methodology. 
240.18 	Growth in the number of enrollees receiving 
240.19 	CADI or TBI waiver payments through 
240.20 	MnDHO is limited to an increase of 200 
240.21 	enrollees in each calendar year from January 
240.22 	2009 through December 2011. If those limits 
240.23 	are reached, additional members may be 
240.24 	enrolled in MnDHO for basic care services 
240.25 	only as defined under Minnesota Statutes, 
240.26 	section 256B.69, subdivision 28, and the 
240.27 	commissioner may establish a waiting list for 
240.28 	future access of MnDHO members to those 
240.29 	waiver services.
240.30 	MA Basic Elderly and Disabled 
240.31 	Adjustments. For the fiscal year ending June 
240.32 	30, 2009, the commissioner may adjust the 
240.33 	rates for each service affected by rate changes 
240.34 	under this section in such a manner across 
240.35 	the fiscal year to achieve the necessary cost 
240.36 	savings and minimize disruption to service 
241.1 	providers, notwithstanding the requirements 
241.2 	of Laws 2007, chapter 147, article 7, section 
241.3 	71.

241.4	(d) General Assistance Medical Care Grants
		-0-
		(6,971,000)

241.5	(e) Other Health Care Grants
		-0-
		(17,000)
	
241.6 	MinnesotaCare Outreach Grants Special 
241.7 	Revenue Account. The balance in the 
241.8 	MinnesotaCare outreach grants special 
241.9 	revenue account on July 1, 2009, estimated 
241.10 	to be $900,000, must be transferred to the 
241.11 	general fund.
241.12 	Grants Reduction. Effective July 1, 2008, 
241.13 	base level funding for nonforecast, general 
241.14 	fund health care grants issued under this 
241.15 	paragraph shall be reduced by 1.8 percent at 
241.16 	the allotment level.

241.17	Subd. 6.Continuing Care Grants

241.18	(a) Aging and Adult Services Grants
		-0-
		(337,000)
	
241.19 	Base Adjustment. The general fund base is 
241.20 	increased by $71,000 in fiscal year 2010 and 
241.21 	$70,000 in fiscal year 2011.
241.22 	Grants Reduction. Effective July 1, 2008, 
241.23 	base level funding for nonforecast, general 
241.24 	fund aging and adult services state grants 
241.25 	issued under this paragraph shall be reduced 
241.26 	by 1.8 percent at the allotment level.
241.27 	Aging and Adult Services Adjustments.
241.28 	For the fiscal year ending June 30, 2009, 
241.29 	the commissioner may allocate each grant 
241.30 	affected by rate changes under this section 
241.31 	in such a manner across the fiscal year 
241.32 	to achieve the necessary cost savings 
241.33 	and minimize disruption to grantees. To 
241.34 	implement this paragraph, the commissioner 
242.1 	may waive the requirements of Laws 2007, 
242.2 	chapter 147, article 7, section 71, including 
242.3 	the employee compensation-related cost 
242.4 	requirements.
242.5 	Living-At-Home/Block Nurse Program 
242.6 	Funding. Notwithstanding the provisions 
242.7 	of Minnesota Statutes, section 256B.0917, 
242.8 	subdivision 8, for the fiscal year beginning 
242.9 	July 1, 2008, the commissioner of human 
242.10 	services shall transfer $240,000 from the 
242.11 	community service grant program under 
242.12 	Minnesota Statutes, section 256B.0917, 
242.13 	subdivision 13, to the living-at-home/block 
242.14 	nurse program under Minnesota Statutes, 
242.15 	section 256B.0917, subdivision 8, to provide 
242.16 	$20,000 each for 12 living-at-home/block 
242.17 	nurse programs currently operating without 
242.18 	base funding. This is onetime funding.

242.19	(b) Alternative Care Grants
		-0-
		(198,000)
	
242.20 	This reduction is onetime.

242.21	(c) MA Long-Term Care Facilities Grants
		(2,306,000)
		 3,045,000
	
242.22 	Nursing Facility Rate Increase. (a) For 
242.23 	the rate year beginning October 1, 2008, 
242.24 	the commissioner shall make available 
242.25 	to each nursing facility reimbursed under 
242.26 	Minnesota Statutes, section 256B.434, 
242.27 	operating payment rate adjustments equal to 
242.28 	1.00 percent of the operating payment rates 
242.29 	determined by the blending in Minnesota 
242.30 	Statutes, section 256B.441, subdivision 55, 
242.31 	paragraph (a).
242.32 	(b) Seventy-five percent of the money 
242.33 	resulting from the rate adjustment under 
242.34 	paragraph (a) must be used for increases in 
242.35 	compensation-related costs for employees 
243.1 	directly employed by the nursing facility 
243.2 	on or after the effective date of the rate 
243.3 	adjustment, except:
243.4 	(1) the administrator;
243.5 	(2) persons employed in the central office of 
243.6 	a corporation that has an ownership interest 
243.7 	in the nursing facility or exercises control 
243.8 	over the nursing facility; and 
243.9 	(3) persons paid by the nursing facility under 
243.10 	a management contract.
243.11 	(c) Two-thirds of the money available 
243.12 	under paragraph (b) must be used for wage 
243.13 	increases for all employees directly employed 
243.14 	by the nursing facility on or after the effective 
243.15 	date of the rate adjustment, except those 
243.16 	listed in paragraph (b), clauses (1) to (3). 
243.17 	The wage adjustment that employees receive 
243.18 	under this paragraph must be paid as an 
243.19 	equal hourly percentage wage increase for 
243.20 	all eligible employees. All wage increases 
243.21 	under this paragraph must be effective on 
243.22 	the same date. Only costs associated with 
243.23 	the portion of the equal hourly percentage 
243.24 	wage increase that goes to all employees 
243.25 	shall qualify under this paragraph. Costs 
243.26 	associated with wage increases in excess of 
243.27 	the amount of the equal hourly percentage 
243.28 	wage increase provided to all employees shall 
243.29 	be allowed only for meeting the requirements 
243.30 	in paragraph (b). This paragraph shall not 
243.31 	apply to employees covered by a collective 
243.32 	bargaining agreement.
243.33 	(d) The commissioner shall allow as 
243.34 	compensation-related costs all costs for:
243.35 	(1) wages and salaries;
244.1 	(2) FICA taxes, Medicare taxes, state and 
244.2 	federal unemployment taxes, and workers' 
244.3 	compensation;
244.4 	(3) the employer's share of health and 
244.5 	dental insurance, life insurance, disability 
244.6 	insurance, long-term care insurance, uniform 
244.7 	allowance, and pensions; and
244.8 	(4) other benefits provided, subject to the 
244.9 	approval of the commissioner.
244.10 	(e) The portion of the rate adjustment under 
244.11 	paragraph (a) that is not subject to the 
244.12 	requirements in paragraphs (b) and (c) shall 
244.13 	be provided to nursing facilities effective 
244.14 	October 1, 2008.
244.15 	(f) Nursing facilities may apply for the 
244.16 	portion of the rate adjustment under 
244.17 	paragraph (a) that is subject to the 
244.18 	requirements in paragraphs (b) and (c). 
244.19 	The application must be submitted to the 
244.20 	commissioner within six months of the 
244.21 	effective date of the rate adjustment, and 
244.22 	the nursing facility must provide additional 
244.23 	information required by the commissioner 
244.24 	within nine months of the effective date 
244.25 	of the rate adjustment. The commissioner 
244.26 	must respond to all applications within 
244.27 	three weeks of receipt. The commissioner 
244.28 	may waive the deadlines in this paragraph 
244.29 	under extraordinary circumstances, to be 
244.30 	determined at the sole discretion of the 
244.31 	commissioner. The application must contain:
244.32 	(1) an estimate of the amounts of money that 
244.33 	must be used as specified in paragraphs (b) 
244.34 	and (c);
245.1 	(2) a detailed distribution plan specifying the 
245.2 	allowable compensation-related and wage 
245.3 	increases the nursing facility will implement 
245.4 	to use the funds available in clause (1);
245.5 	(3) a description of how the nursing facility 
245.6 	will notify eligible employees of the contents 
245.7 	of the approved application, which must 
245.8 	provide for giving each eligible employee a 
245.9 	copy of the approved application, excluding 
245.10 	the information required in clause (1), or 
245.11 	posting a copy of the approved application, 
245.12 	excluding the information required in clause 
245.13 	(1), for a period of at least six weeks in 
245.14 	an area of the nursing facility to which all 
245.15 	eligible employees have access; and
245.16 	(4) instructions for employees who 
245.17 	believe they have not received the 
245.18 	compensation-related or wage increases 
245.19 	specified in clause (2), as approved by the 
245.20 	commissioner, and which must include a 
245.21 	mailing address, e-mail address, and the 
245.22 	telephone number that may be used by the 
245.23 	employee to contact the commissioner or the 
245.24 	commissioner's representative.
245.25 	(g) The commissioner shall ensure that 
245.26 	cost increases in distribution plans under 
245.27 	paragraph (f), clause (2), that may be 
245.28 	included in approved applications, comply 
245.29 	with the following requirements:
245.30 	(1) costs to be incurred during the applicable 
245.31 	rate year resulting from wage and salary 
245.32 	increases effective after October 1, 2007, and 
245.33 	prior to the first day of the nursing facility's 
245.34 	payroll period that includes October 1, 2008, 
246.1 	shall be allowed if they were not used in the 
246.2 	prior year's application;
246.3 	(2) a portion of the costs resulting from 
246.4 	tenure-related wage or salary increases 
246.5 	may be considered to be allowable wage 
246.6 	increases, according to formulas that the 
246.7 	commissioner shall provide, where employee 
246.8 	retention is above the average statewide rate 
246.9 	of retention of direct care employees;
246.10 	(3) the annualized amount of increases in 
246.11 	costs for the employer's share of health and 
246.12 	dental insurance, life insurance, disability 
246.13 	insurance, and workers' compensation shall 
246.14 	be allowable compensation-related increases 
246.15 	if they are effective on or after April 1, 2008, 
246.16 	and prior to April 1, 2009; and 
246.17 	(4) for nursing facilities in which employees 
246.18 	are represented by an exclusive bargaining 
246.19 	representative, the commissioner shall 
246.20 	approve the application only upon receipt of 
246.21 	a letter of acceptance of the distribution plan, 
246.22 	in regard to members of the bargaining unit, 
246.23 	signed by the exclusive bargaining agent and 
246.24 	dated after May 25, 2008. Upon receipt of 
246.25 	the letter of acceptance, the commissioner 
246.26 	shall deem all requirements of this rider as 
246.27 	having been met in regard to the members 
246.28 	of the bargaining unit.
246.29 	(h) The commissioner shall review 
246.30 	applications received under paragraph (f) 
246.31 	and shall provide the portion of the rate 
246.32 	adjustment under paragraphs (b) and (c) 
246.33 	if the requirements of this rider have been 
246.34 	met. The rate adjustment shall be effective 
246.35 	October 1, 2008. Notwithstanding paragraph 
247.1 	(a), if the approved application distributes 
247.2 	less money than is available, the amount of 
247.3 	the rate adjustment shall be reduced so that 
247.4 	the amount of money made available is equal 
247.5 	to the amount to be distributed.
247.6 	(i) Of the general fund appropriation, 
247.7 	$2,877,000 in fiscal year 2009 is for the 
247.8 	purposes of paragraphs (a) to (h).
247.9 	(j) Notwithstanding any contrary provision 
247.10 	of this article, this rider shall not expire.
247.11 	Nursing Facility Temporary Rate 
247.12 	Adjustment. (a) Of the general fund 
247.13 	appropriation, $2,877,000 for fiscal year 
247.14 	2009 is to make available to nursing 
247.15 	facilities reimbursed under Minnesota 
247.16 	Statutes, section 256B.434, for the rate year 
247.17 	beginning October 1, 2008, a temporary 
247.18 	rate adjustment equal to 1.0 percent of the 
247.19 	operating payment rates determined by the 
247.20 	blending in Minnesota Statutes, section 
247.21 	256B.441, subdivision 55, paragraph (a). 
247.22 	This rate adjustment shall be removed from 
247.23 	the facility's operating payment rate for the 
247.24 	rate year beginning October 1, 2009.
247.25 	(b) Seventy-five percent of the money 
247.26 	resulting from the rate adjustment under 
247.27 	paragraph (a) must be used to provide 
247.28 	quarterly bonus payments, and to pay 
247.29 	for associated employer costs and other 
247.30 	benefits as specified in Minnesota Statutes, 
247.31 	section 256B.434, subdivision 19, paragraph 
247.32 	(d), clauses (2) to (4), for all employees 
247.33 	directly employed by the nursing facility on 
247.34 	December 31, 2008; March 31, 2009; June 
247.35 	30, 2009; and September 30, 2009, except:
248.1 	(1) the administrator;
248.2 	(2) persons employed in the central office of 
248.3 	a corporation that has an ownership interest 
248.4 	in the nursing facility or exercises control 
248.5 	over the nursing facility; and
248.6 	(3) persons paid by the nursing facility under 
248.7 	a management contract.
248.8 	(c) Two-thirds of the money available under 
248.9 	paragraph (b) must be used for an equal 
248.10 	hourly percentage wage bonus for all eligible 
248.11 	employees.
248.12 	(d) Nursing facilities may apply for the 
248.13 	portion of the rate adjustment subject to 
248.14 	paragraphs (b) and (c), and the commissioner 
248.15 	shall review and act on applications, 
248.16 	according to the procedures specified in 
248.17 	Minnesota Statutes, section 256B.434, 
248.18 	subdivision 19. The portion of the rate 
248.19 	adjustment under paragraph (a) that is not 
248.20 	subject to the requirements in paragraphs (b) 
248.21 	and (c) shall be provided to nursing facilities 
248.22 	effective October 1, 2008.
248.23 	(e) Notwithstanding any contrary provision 
248.24 	in this article, this rider expires December 
248.25 	31, 2009.

248.26
248.27	(d) MA Long-Term Care Waivers and Home 
Care Grants
		-0-
		(10,643,000)
	
248.28 	Manage Growth in TBI and CADI Waiver.
248.29 	During the fiscal years beginning on July 
248.30 	1, 2008, July 1, 2009, and July 1, 2010, 
248.31 	the commissioner shall allocate money 
248.32 	for home and community-based programs 
248.33 	covered under Minnesota Statutes, section 
248.34 	256B.49, to ensure a reduction in state 
248.35 	spending that is equivalent to limiting the 
249.1 	caseload growth of the traumatic brain injury 
249.2 	(TBI) waiver to 200 allocations in each 
249.3 	year of the biennium and the community 
249.4 	alternatives for disabled individuals (CADI) 
249.5 	waiver to 1,500 allocations each year of the 
249.6 	biennium. Priorities for the allocation of 
249.7 	funds must be for individuals anticipated to 
249.8 	be discharged from institutional settings or 
249.9 	who are at imminent risk of a placement in 
249.10 	an institutional setting. Notwithstanding any 
249.11 	contrary section in this article, this provision 
249.12 	expires June 30, 2011.

249.13	(e) Mental Health Grants
		-0-
		(4,823,000)
	
249.14 	Base Adjustment. This reduction is 
249.15 	onetime.
249.16 	Funding Usage. Up to 75 percent of the 
249.17 	fiscal year 2010 appropriation for  adult 
249.18 	mental health grants may be used to fund 
249.19 	calendar year 2009 allocations for these 
249.20 	programs, with the resulting calendar year 
249.21 	funding pattern continuing into the future.

249.22	(f) Chemical Dependency Entitlement Grants
		-0-
		(2,069,000)
	
249.23 	Payments for Substance Abuse Treatment.
249.24 	For services provided in fiscal year 2009, 
249.25 	county-negotiated rates and provider claims 
249.26 	to the consolidated chemical dependency 
249.27 	fund must not exceed rates charged for 
249.28 	services in excess of those in effect on 
249.29 	May 31, 2008. If statutes authorize a 
249.30 	cost-of-living adjustment during fiscal year 
249.31 	2009, then notwithstanding any law to the 
249.32 	contrary, fiscal year 2009 rates may not 
249.33 	exceed those in effect on May 31, 2008, plus 
249.34 	any authorized cost-of-living adjustments.
250.1 	Chemical Dependency Treatment Fund 
250.2 	Special Revenue Account. The lesser of 
250.3 	the balance of the consolidated chemical 
250.4 	dependency treatment fund at the close of 
250.5 	the fiscal year 2008, or $2,784,000 must be 
250.6 	transferred and deposited into the general 
250.7 	fund by September 1, 2008. The lesser of 
250.8 	the balance of the consolidated chemical 
250.9 	dependency treatment fund at the close of 
250.10 	the fiscal year 2009, or $2,009,000 must be 
250.11 	transferred and deposited into the general 
250.12 	fund by September 1, 2009.

250.13
250.14	(g) Chemical Dependency Nonentitlement 
Grants
		-0-
		 1,967,000
	
250.15 	Base Level Adjustment. The general 
250.16 	fund base for chemical dependency 
250.17 	nonentitlement treatment grants must be 
250.18 	reduced by $1,686,000 for fiscal year 2010 
250.19 	and by $1,686,000 for fiscal year 2011.
250.20 	White Earth treatment facility. $2,000,000 
250.21 	is appropriated from the general fund to 
250.22 	the commissioner of human services for a 
250.23 	grant to the White Earth tribe to purchase 
250.24 	or develop one or more culturally specific 
250.25 	treatment programs or capital facilities, or 
250.26 	both, designed to serve youth from native 
250.27 	cultures. This appropriation is onetime and 
250.28 	is available until spent.
250.29 	Grants Reduction. Effective July 1, 2008, 
250.30 	base level funding for nonforecast, general 
250.31 	fund chemical dependency nonentitlement 
250.32 	grants issued under this paragraph shall be 
250.33 	reduced by 1.8 percent at the allotment level.

250.34	(h) Other Continuing Care Grants
		-0-
		(4,729,000)
	
251.1 	Base Level Adjustment. The general fund 
251.2 	base is increased by $7,283,000 in fiscal year 
251.3 	2010 and $4,921,000 in fiscal year 2011.
251.4 	Housing Access Grants. Of the general 
251.5 	fund appropriation, $250,000 is appropriated 
251.6 	in fiscal year 2009 for housing access 
251.7 	grants under Minnesota Statutes, section 
251.8 	256B.0658.
251.9 	Funding Usage. Up to 75 percent of 
251.10 	the fiscal year 2010 appropriation for 
251.11 	semi-independent living services grants and 
251.12 	family support grants may be used to fund 
251.13 	calendar year 2009 allocations for these 
251.14 	programs, with the resulting calendar year 
251.15 	funding pattern continuing into the future.
251.16 	Grants Reduction. Effective July 1, 2008, 
251.17 	base level funding for nonforecast, general 
251.18 	fund other continuing care grants issued 
251.19 	under this paragraph, except for HIV grants, 
251.20 	shall be reduced by 1.8 percent at the 
251.21 	allotment level. HIV grants shall be reduced 
251.22 	by 1.7 percent at the allotment level effective 
251.23 	July 1, 2009.
251.24 	Other Continuing Care Grant 
251.25 	Adjustments. For the fiscal year ending June 
251.26 	30, 2009, the commissioner may allocate 
251.27 	each grant affected by rate changes under 
251.28 	this section in such a manner across the fiscal 
251.29 	year to achieve the necessary cost savings 
251.30 	and minimize disruption to grantees. To 
251.31 	implement this paragraph, the commissioner 
251.32 	may waive the requirements of Laws 2007, 
251.33 	chapter 147, article 7, section 71, including 
251.34 	the employee compensation-related cost 
251.35 	requirements.

252.1	Subd. 7.State-Operated Services
 					
252.2 	County Past Due Receivables. The 
252.3 	commissioner is authorized to withhold 
252.4 	county federal administrative reimbursement 
252.5 	when the county of financial responsibility 
252.6 	for cost-of-care payments due to the state 
252.7 	under Minnesota Statutes, section 246.54 
252.8 	or 253B.045, is 90 days past due. The 
252.9 	commissioner shall deposit the withheld 
252.10 	federal administrative earnings for the county 
252.11 	into the general fund to settle the claims with 
252.12 	the county of financial responsibility. The 
252.13 	process for withholding funds is governed by 
252.14 	Minnesota Statutes, section 256.017.
252.15 	Internet-Based Resource.  Notwithstanding 
252.16 	Laws 2005, First Special Session chapter 4, 
252.17 	article 9, section 2, subdivision 10, base level 
252.18 	funding for the fiscal year beginning July 1, 
252.19 	2008, is zero for the evidence-based practice 
252.20 	for the treatment of methamphetamine 
252.21 	abuse at the state-operated services chemical 
252.22 	dependency program at Willmar. The 
252.23 	Internet-based resource developed as part 
252.24 	of the evidence-based practice must be 
252.25 	maintained by the commissioner. 
252.26 	Community Behavioral Health Hospitals.
252.27 	Under Minnesota Statutes, section 246.51, 
252.28 	subdivision 1, a determination order for 
252.29 	clients in the community behavioral hospital 
252.30 	operated by the commissioner is only 
252.31 	required when a client's third-party mental 
252.32 	health coverage has been exhausted.

252.33	(a) Mental Health Services
		(225,000)
		(300,000)

252.34	(b) Minnesota Sex Offender Services
		-0-
		-0-
	
253.1 	Sex Offender Program. Base level funding 
253.2 	for the Minnesota sex offender program 
253.3 	under Minnesota Statutes, chapter 246B, 
253.4 	is reduced by $2,329,000 for fiscal years 
253.5 	beginning on or after July 1, 2009. This 
253.6 	reduction does not apply to the portion of the 
253.7 	per diem related to professional treatment 
253.8 	service costs.

253.9	Sec. 4. COMMISSIONER OF HEALTH

253.10	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	(3,663,000)

253.11	Appropriations by Fund
	
253.12		2008
	2009
	
253.13	General
	-0-
	(4,130,000)
	
253.14
253.15	State Government 
Special Revenue
	-0-
	467,000
	
253.16 	The appropriation additions or reductions 
253.17 	for each purpose are shown in the following 
253.18 	subdivisions.

253.19
253.20	Subd. 2.Community and Family Health 
Promotion
 		-0-
		(843,000)
	
253.21 	Minnesota ENABL Program.
253.22 	Notwithstanding Laws 2007, chapter 
253.23 	147, article 19, section 4, subdivision 2, base 
253.24 	level funding for the Minnesota ENABL 
253.25 	program under Minnesota Statutes, section 
253.26 	145.9255, for the fiscal year beginning July 
253.27 	1, 2008, is zero.
253.28 	Grants Reduction. Effective July 1, 
253.29 	2008, base level funding for general fund 
253.30 	community and family health grants issued 
253.31 	under this paragraph shall be reduced by 1.8 
253.32 	percent at the allotment level.

253.33	Subd. 3.Policy, Quality, and Compliance

254.1	Appropriations by Fund
	
254.2	General
	-0-
	(2,070,000)
	
254.3
254.4	State Government 
Special Revenue
	-0-
	32,000
	
254.5 	Grants Reduction. Effective July 1, 2008, 
254.6 	base level funding for general fund policy, 
254.7 	quality, and compliance grants issued under 
254.8 	this paragraph, excluding medical education 
254.9 	and research costs transition funding grants 
254.10 	to the Mayo Clinic, shall be reduced by 1.8 
254.11 	percent at the allotment level.
254.12 	Interpreter Services Quality Initiative. Of 
254.13 	the state government special revenue fund 
254.14 	appropriation, $32,000 in fiscal year 2009 is 
254.15 	for the interpreter services quality initiative 
254.16 	under Minnesota Statutes, section 144.058.
254.17 	MERC Federal Compliance.
254.18 	Notwithstanding Laws 2007, chapter 
254.19 	147, article 19, section 4, subdivision 3, the 
254.20 	general fund appropriation in fiscal year 
254.21 	2009 for the commissioner to distribute to 
254.22 	the Mayo Clinic for the purpose of providing 
254.23 	transition funding while federal compliance 
254.24 	changes are made to the medical education 
254.25 	and research cost funding distribution 
254.26 	formula in Minnesota Statutes, section 
254.27 	62J.692, shall be $4,250,000. Base level 
254.28 	funding for this activity for fiscal years 2010 
254.29 	and 2011 shall be $1,000,000 each year. This 
254.30 	funding shall not become part of the base 
254.31 	in 2012 and 2013. Notwithstanding any 
254.32 	contrary provision of this article, this rider 
254.33 	expires on June 30, 2012.
254.34 	Base Adjustment. The state government 
254.35 	special revenue base is decreased by $11,000 
254.36 	in both fiscal years 2010 and 2011.

255.1	Subd. 4.Health Protection

255.2	Appropriations by Fund
	
255.3	General
	-0-
	(40,000)
	
255.4
255.5	State Government 
Special Revenue
	-0-
	435,000
	
255.6 	Grants Reduction. Effective July 1, 2008, 
255.7 	base level funding for general fund health 
255.8 	protection grants issued under this paragraph 
255.9 	shall be reduced by 1.8 percent at the 
255.10 	allotment level.
255.11 	Inspection Delegation. $435,000 from the 
255.12 	state government special revenue fund in 
255.13 	fiscal year 2009 is for the St. Louis County 
255.14 	inspection delegation. The base funding for 
255.15 	this appropriation shall increase by $89,000 
255.16 	in each of fiscal years 2010 and 2011.

255.17	Subd. 5.Minority and Multicultural Health
 		-0-
		(77,000)
	
255.18 	Grants Reduction. Effective July 1, 2008, 
255.19 	base level funding for general fund minority 
255.20 	and multicultural health grants issued under 
255.21 	this paragraph shall be reduced by 1.8 
255.22 	percent at the allotment level.

255.23	Subd. 6.Administrative Support Services
 		0
		(1,100,000)
	
255.24 	Base Adjustment. The general fund base is 
255.25 	increased $46,000 in fiscal years 2010 and 
255.26 	2011.

255.27	Sec. 5. HEALTH RELATED BOARDS

255.28	Subdivision 1.Total Appropriation 
 	$
	114,000
	$
	200,000

255.29	Appropriations by Fund
	
255.30		2008
	2009
	
255.31	General
	-0-
	-0-
	
255.32
255.33	State Government 
Special Revenue
	114,000
	200,000

						
256.1 	Transfer from Special Revenue Fund.
256.2 	During the fiscal year beginning July 1, 2008, 
256.3 	the commissioner of finance shall transfer 
256.4 	$3,219,000 from the state government 
256.5 	special revenue fund to the general fund.

256.6
256.7	Subd. 2.Board of Nursing Home 
Administrators

256.8	State Government Special Revenue
		100,000
		200,000
	
256.9 	Administrative Services Unit. The amounts 
256.10 	appropriated are for the administrative 
256.11 	services unit to pay for costs of contested 
256.12 	case hearings and other unanticipated 
256.13 	costs of legal proceedings involving 
256.14 	health-related boards funded under Laws 
256.15 	2007, chapter 147, article 19, section 6. Upon 
256.16 	certification of a health-related board to the 
256.17 	administrative services unit that the costs 
256.18 	will be incurred and that there is insufficient 
256.19 	money available to pay for the costs out of 
256.20 	money currently available to that board, the 
256.21 	administrative services unit is authorized 
256.22 	to transfer money from this appropriation 
256.23 	to the board for payment of those costs 
256.24 	with the approval of the commissioner of 
256.25 	finance. This appropriation does not cancel. 
256.26 	Any unencumbered and unspent balances 
256.27 	remain available for these expenditures in 
256.28 	subsequent fiscal years.

256.29
256.30	Subd. 3.Board of Marriage and Family 
Therapy

256.31	State Government Special Revenue
		14,000
		-0-

256.32
256.33	Sec. 6. EMERGENCY MEDICAL SERVICES 
BOARD
 					
256.34 	Longevity Award and Incentive Program.
256.35 	For the fiscal year beginning July 1, 2008, 
257.1 	$6,200,000 must be transferred from the 
257.2 	ambulance service personnel longevity 
257.3 	award and incentive trust to the general fund.

257.4 	Sec. 7. Laws 2007, chapter 147, article 19, section 3, subdivision 4, is amended to read:

257.5
257.6	Subd. 4. Children and Economic Assistance 
Grants
 					
257.7 	The amounts that may be spent from this 
257.8 	appropriation for each purpose are as follows: 

257.9	(a) MFIP/DWP Grants 

257.10	Appropriations by Fund 
	
257.11	General 
	62,069,000 
	62,405,000 
	
257.12	Federal TANF 
	75,904,000 
	80,841,000 

257.13	(b) Support Services Grants 

257.14	Appropriations by Fund 
	
257.15	General 
	8,715,000 
	8,715,000 
	
257.16	Federal TANF 
	113,429,000 
	115,902,000 
	
257.17 	TANF Prior Appropriation Cancellation.
257.18 	Notwithstanding Laws 2001, First Special 
257.19 	Session chapter 9, article 17, section 
257.20 	2, subdivision 11, paragraph (b), any 
257.21 	unexpended TANF funds appropriated to the 
257.22 	commissioner to contract with the Board of 
257.23 	Trustees of Minnesota State Colleges and 
257.24 	Universities, to provide tuition waivers to 
257.25 	employees of health care and human service 
257.26 	providers that are members of qualifying 
257.27 	consortia operating under Minnesota 
257.28 	Statutes, sections 116L.10 to 116L.15, must 
257.29 	cancel at the end of fiscal year 2007. 
257.30 	MFIP Pilot Program. Of the TANF 
257.31 	appropriation, $100,000 in fiscal year 2008 
257.32 	and $750,000 in fiscal year 2009 are for a 
257.33 	grant to the Stearns-Benton Employment and 
257.34 	Training Council for the Workforce U pilot 
258.1 	program. Base level funding for this program 
258.2 	shall be $750,000 in 2010 and $0 in 2011. 
258.3 	Supported Work. (1) Of the TANF 
258.4 	appropriation, $5,468,000 in fiscal year 2008 
258.5 	and $7,291,000 in fiscal year 2009 areis for 
258.6 	supported work for MFIP participants, to 
258.7 	be allocated to counties and tribes based on 
258.8 	the criteria under clauses (2) and (3), and is 
258.9 	available until expended. Paid transitional 
258.10 	work experience and other supported 
258.11 	employment under this rider provides 
258.12 	a continuum of employment assistance, 
258.13 	including outreach and recruitment, 
258.14 	program orientation and intake, testing and 
258.15 	assessment, job development and marketing, 
258.16 	preworksite training, supported worksite 
258.17 	experience, job coaching, and postplacement 
258.18 	follow-up, in addition to extensive case 
258.19 	management and referral services. * (The 
258.20 	preceding text "and $7,291,000 in fiscal 
258.21 	year 2009" was indicated as vetoed by the 
258.22 	governor.) 
258.23 	(2) A county or tribe is eligible to receive an 
258.24 	allocation under this rider if: 
258.25 	(i) the county or tribe is not meeting the 
258.26 	federal work participation rate; 
258.27 	(ii) the county or tribe has participants who 
258.28 	are required to perform work activities under 
258.29 	Minnesota Statutes, chapter 256J, but are not 
258.30 	meeting hourly work requirements; and 
258.31 	(iii) the county or tribe has assessed 
258.32 	participants who have completed six weeks 
258.33 	of job search or are required to perform 
258.34 	work activities and are not meeting the 
258.35 	hourly requirements, and the county or tribe 
259.1 	has determined that the participant would 
259.2 	benefit from working in a supported work 
259.3 	environment. 
259.4 	(3) A county or tribe may also be eligible for 
259.5 	funds in order to contract for supplemental 
259.6 	hours of paid work at the participant's child's 
259.7 	place of education, child care location, or the 
259.8 	child's physical or mental health treatment 
259.9 	facility or office. This grant to counties and 
259.10 	tribes is specifically for MFIP participants 
259.11 	who need to work up to five hours more 
259.12 	per week in order to meet the hourly work 
259.13 	requirement, and the participant's employer 
259.14 	cannot or will not offer more hours to the 
259.15 	participant. 
259.16 	Work Study. Of the TANF appropriation, 
259.17 	$750,000 each year are to the commissioner 
259.18 	to contract with the Minnesota Office of 
259.19 	Higher Education for the biennium beginning 
259.20 	July 1, 2007, for work study grants under 
259.21 	Minnesota Statutes, section 136A.233, 
259.22 	specifically for low-income individuals who 
259.23 	receive assistance under Minnesota Statutes, 
259.24 	chapter 256J, and for grants to opportunities 
259.25 	industrialization centers. * (The preceding 
259.26 	text beginning "Work Study. Of the TANF 
259.27 	appropriation," was indicated as vetoed 
259.28 	by the governor.) 
259.29 	Integrated Service Projects. $2,500,000 
259.30 	in fiscal year 2008 and $2,500,000 in fiscal 
259.31 	year 2009 are appropriated from the TANF 
259.32 	fund to the commissioner to continue to 
259.33 	fund the existing integrated services projects 
259.34 	for MFIP families, and if funding allows, 
259.35 	additional similar projects. 
260.1 	Base Adjustment. The TANF base for fiscal 
260.2 	year 2010 is $115,902,000 and for fiscal year 
260.3 	2011 is $115,152,000. 

260.4	(c) MFIP Child Care Assistance Grants 

260.5	General 
	74,654,000 
	71,951,000 

260.6
260.7	(d) Basic Sliding Fee Child Care Assistance 
Grants 

260.8	General 
	42,995,000 
	45,008,000 
	
260.9 	Base Adjustment. The general fund base 
260.10 	is $44,881,000 for fiscal year 2010 and 
260.11 	$44,852,000 for fiscal year 2011. 
260.12 	At-Home Infant Care Program. No 
260.13 	funding shall be allocated to or spent on 
260.14 	the at-home infant care program under 
260.15 	Minnesota Statutes, section 119B.035. 

260.16	(e) Child Care Development Grants 

260.17	General 
	4,390,000 
	6,390,000 
	
260.18 	Prekindergarten Exploratory Projects. Of 
260.19 	the general fund appropriation, $2,000,000 
260.20 	the first year and $4,000,000 the second 
260.21 	year are for grants to the city of St. Paul, 
260.22 	Hennepin County, and Blue Earth County to 
260.23 	establish scholarship demonstration projects 
260.24 	to be conducted in partnership with the 
260.25 	Minnesota Early Learning Foundation to 
260.26 	promote children's school readiness. This 
260.27 	appropriation is available until June 30, 2009. 
260.28 	Child Care Services Grants. Of this 
260.29 	appropriation, $500,000 each year are for 
260.30 	the purpose of providing child care services 
260.31 	grants under Minnesota Statutes, section 
260.32 	119B.21, subdivision 5. This appropriation 
260.33 	is for the 2008-2009 biennium only, and does 
260.34 	not increase the base funding. 
261.1 	Early Childhood Professional 
261.2 	Development System. Of this appropriation, 
261.3 	$500,000 each year are for purposes of the 
261.4 	early childhood professional development 
261.5 	system, which increases the quality and 
261.6 	continuum of professional development 
261.7 	opportunities for child care practitioners. 
261.8 	This appropriation is for the 2008-2009 
261.9 	biennium only, and does not increase the 
261.10 	base funding. 
261.11 	Base Adjustment. The general fund base 
261.12 	is $1,515,000 for each of fiscal years 2010 
261.13 	and 2011. 

261.14	(f) Child Support Enforcement Grants 

261.15	General 
	11,038,000 
	3,705,000 
	
261.16 	Child Support Enforcement. $7,333,000 
261.17 	for fiscal year 2008 is to make grants to 
261.18 	counties for child support enforcement 
261.19 	programs to make up for the loss under the 
261.20 	2005 federal Deficit Reduction Act of federal 
261.21 	matching funds for federal incentive funds 
261.22 	passed on to the counties by the state. 
261.23 	This appropriation is available until June 30, 
261.24 	2009. 

261.25	(g) Children's Services Grants 

261.26	Appropriations by Fund 
	
261.27	General 
	63,647,000 
	71,147,000 
	
261.28	Health Care Access 
	250,000 
	-0- 
	
261.29	TANF 
	240,000 
	340,000 
	
261.30 	Grants for Programs Serving Young 
261.31 	Parents. Of the TANF fund appropriation, 
261.32 	$140,000 each year is for a grant to a program 
261.33 	or programs that provide comprehensive 
261.34 	services through a private, nonprofit agency 
262.1 	to young parents in Hennepin County who 
262.2 	have dropped out of school and are receiving 
262.3 	public assistance. The program administrator 
262.4 	shall report annually to the commissioner on 
262.5 	skills development, education, job training, 
262.6 	and job placement outcomes for program 
262.7 	participants. 
262.8 	County Allocations for Rate Increases.
262.9 	County Children and Community Services 
262.10 	Act allocations shall be increased by 
262.11 	$197,000 effective October 1, 2007, and 
262.12 	$696,000 effective October 1, 2008, to help 
262.13 	counties pay for the rate adjustments to 
262.14 	day training and habilitation providers for 
262.15 	participants paid by county social service 
262.16 	funds. Notwithstanding the provisions of 
262.17 	Minnesota Statutes, section 256M.40, the 
262.18 	allocation to a county shall be based on 
262.19 	the county's proportion of social services 
262.20 	spending for day training and habilitation 
262.21 	services as determined in the most recent 
262.22 	social services expenditure and grant 
262.23 	reconciliation report. 
262.24 	Privatized Adoption Grants. Federal 
262.25 	reimbursement for privatized adoption grant 
262.26 	and foster care recruitment grant expenditures 
262.27 	is appropriated to the commissioner for 
262.28 	adoption grants and foster care and adoption 
262.29 	administrative purposes. 
262.30 	Adoption Assistance Incentive Grants.
262.31 	Federal funds available during fiscal year 
262.32 	2008 and fiscal year 2009 for the adoption 
262.33 	incentive grants are appropriated to the 
262.34 	commissioner for these purposes. 
263.1 	Adoption Assistance and Relative Custody 
263.2 	Assistance. The commissioner may transfer 
263.3 	unencumbered appropriation balances for 
263.4 	adoption assistance and relative custody 
263.5 	assistance between fiscal years and between 
263.6 	programs. 
263.7 	Children's Mental Health Grants. Of the 
263.8 	general fund appropriation, $5,913,000 in 
263.9 	fiscal year 2008 and $6,825,000 in fiscal year 
263.10 	2009 are for children's mental health grants. 
263.11 	The purpose of these grants is to increase and 
263.12 	maintain the state's children's mental health 
263.13 	service capacity, especially for school-based 
263.14 	mental health services. The commissioner 
263.15 	shall require grantees to utilize all available 
263.16 	third party reimbursement sources as a 
263.17 	condition of using state grant funds. At 
263.18 	least 15 percent of these funds shall be 
263.19 	used to encourage efficiencies through early 
263.20 	intervention services. At least another 15 
263.21 	percent shall be used to provide respite care 
263.22 	services for children with severe emotional 
263.23 	disturbance at risk of out-of-home placement. 
263.24 	Mental Health Crisis Services. Of the 
263.25 	general fund appropriation, $2,528,000 in 
263.26 	fiscal year 2008 and $2,850,000 in fiscal year 
263.27 	2009 are for statewide funding of children's 
263.28 	mental health crisis services. Providers must 
263.29 	utilize all available funding streams. 
263.30 	Children's Mental Health Evidence-Based 
263.31 	and Best Practices. Of the general fund 
263.32 	appropriation, $375,000 in fiscal year 2008 
263.33 	and $750,000 in fiscal year 2009 are for 
263.34 	children's mental health evidence-based and 
263.35 	best practices including, but not limited 
264.1 	to: Adolescent Integrated Dual Diagnosis 
264.2 	Treatment services; school-based mental 
264.3 	health services; co-location of mental 
264.4 	health and physical health care, and; the 
264.5 	use of technological resources to better 
264.6 	inform diagnosis and development of 
264.7 	treatment plan development by mental 
264.8 	health professionals. The commissioner 
264.9 	shall require grantees to utilize all available 
264.10 	third-party reimbursement sources as a 
264.11 	condition of using state grant funds. 
264.12 	Culturally Specific Mental Health 
264.13 	Treatment Grants. Of the general fund 
264.14 	appropriation, $75,000 in fiscal year 2008 
264.15 	and $300,000 in fiscal year 2009 are for 
264.16 	children's mental health grants to support 
264.17 	increased availability of mental health 
264.18 	services for persons from cultural and 
264.19 	ethnic minorities within the state. The 
264.20 	commissioner shall use at least 20 percent 
264.21 	of these funds to help members of cultural 
264.22 	and ethnic minority communities to become 
264.23 	qualified mental health professionals and 
264.24 	practitioners. The commissioner shall assist 
264.25 	grantees to meet third-party credentialing 
264.26 	requirements and require them to utilize all 
264.27 	available third-party reimbursement sources 
264.28 	as a condition of using state grant funds. 
264.29 	Mental Health Services for Children with 
264.30 	Special Treatment Needs. Of the general 
264.31 	fund appropriation, $50,000 in fiscal year 
264.32 	2008 and $200,000 in fiscal year 2009 are 
264.33 	for children's mental health grants to support 
264.34 	increased availability of mental health 
264.35 	services for children with special treatment 
264.36 	needs. These shall include, but not be limited 
265.1 	to: victims of trauma, including children 
265.2 	subjected to abuse or neglect, veterans and 
265.3 	their families, and refugee populations; 
265.4 	persons with complex treatment needs, such 
265.5 	as eating disorders; and those with low 
265.6 	incidence disorders. 
265.7 	MFIP and Children's Mental Health 
265.8 	Pilot Project. Of the TANF appropriation, 
265.9 	$100,000 in fiscal year 2008 and $200,000 
265.10 	in fiscal year 2009 are to fund the MFIP 
265.11 	and children's mental health pilot project. 
265.12 	Of these amounts, up to $100,000 may be 
265.13 	expended on evaluation of this pilot. 
265.14 	Prenatal Alcohol or Drug Use. Of the 
265.15 	general fund appropriation, $75,000 each 
265.16 	year is to award grants beginning July 1, 
265.17 	2007, to programs that provide services 
265.18 	under Minnesota Statutes, section 254A.171, 
265.19 	in Pine, Kanabec, and Carlton Counties. This 
265.20 	appropriation shall become part of the base 
265.21 	appropriation. 
265.22 	Base Adjustment. The general fund base 
265.23 	is $62,572,000 in fiscal year 2010 and 
265.24 	$62,575,000 in fiscal year 2011. 

265.25	(h) Children and Community Services Grants 

265.26	General 
	101,369,000 
	69,208,000 
	
265.27 	Base Adjustment. The general fund base 
265.28 	is $69,274,000 in each of fiscal years 2010 
265.29 	and 2011. 
265.30 	Targeted Case Management Temporary 
265.31 	Funding. (a) Of the general fund 
265.32 	appropriation, $32,667,000 in fiscal year 
265.33 	2008 is transferred to the targeted case 
265.34 	management contingency reserve account in 
266.1 	the general fund to be allocated to counties 
266.2 	and tribes affected by reductions in targeted 
266.3 	case management federal Medicaid revenue 
266.4 	as a result of the provisions in the federal 
266.5 	Deficit Reduction Act of 2005, Public Law 
266.6 	109-171. 
266.7 	(b) Contingent upon (1) publication by the 
266.8 	federal Centers for Medicare and Medicaid 
266.9 	Services of final regulations implementing 
266.10 	the targeted case management provisions 
266.11 	of the federal Deficit Reduction Act of 
266.12 	2005, Public Law 109-171, or (2) the 
266.13 	issuance of a finding by the Centers for 
266.14 	Medicare and Medicaid Services of federal 
266.15 	Medicaid overpayments for targeted case 
266.16 	management expenditures, up to $32,667,000 
266.17 	is appropriated to the commissioner of human 
266.18 	services. Prior to distribution of funds, the 
266.19 	commissioner shall estimate and certify the 
266.20 	amount by which the federal regulations or 
266.21 	federal disallowance will reduce targeted 
266.22 	case management Medicaid revenue over the 
266.23 	2008-2009 biennium. 
266.24 	(c) Within 60 days of a contingency described 
266.25 	in paragraph (b), the commissioner shall 
266.26 	distribute the grants proportionate to each 
266.27 	affected county or tribe's targeted case 
266.28 	management federal earnings for calendar 
266.29 	year 2005, not to exceed the lower of (1) the 
266.30 	amount of the estimated reduction in federal 
266.31 	revenue or (2) $32,667,000. 
266.32 	(d) These funds are available in either year of 
266.33 	the biennium. Counties and tribes shall use 
266.34 	these funds to pay for social service-related 
266.35 	costs, but the funds are not subject to 
267.1 	provisions of the Children and Community 
267.2 	Services Act grant under Minnesota Statutes, 
267.3 	chapter 256M. 
267.4 	(e) This appropriation shall be available to 
267.5 	pay counties and tribes for expenses incurred 
267.6 	on or after July 1, 2007. The appropriation 
267.7 	shall be available until expended. 

267.8	(i) General Assistance Grants 

267.9	General 
	37,876,000 
	38,253,000 
	
267.10 	General Assistance Standard. The 
267.11 	commissioner shall set the monthly standard 
267.12 	of assistance for general assistance units 
267.13 	consisting of an adult recipient who is 
267.14 	childless and unmarried or living apart 
267.15 	from parents or a legal guardian at $203. 
267.16 	The commissioner may reduce this amount 
267.17 	according to Laws 1997, chapter 85, article 
267.18 	3, section 54. 
267.19 	Emergency General Assistance. The 
267.20 	amount appropriated for emergency general 
267.21 	assistance funds is limited to no more 
267.22 	than $7,889,812 in fiscal year 2008 and 
267.23 	$7,889,812 in fiscal year 2009. Funds 
267.24 	to counties must be allocated by the 
267.25 	commissioner using the allocation method 
267.26 	specified in Minnesota Statutes, section 
267.27 	256D.06. 

267.28	(j) Minnesota Supplemental Aid Grants 

267.29	General 
	30,505,000 
	30,812,000 
	
267.30 	Emergency Minnesota Supplemental 
267.31 	Aid Funds. The amount appropriated for 
267.32 	emergency Minnesota supplemental aid 
267.33 	funds is limited to no more than $1,100,000 
267.34 	in fiscal year 2008 and $1,100,000 in fiscal 
268.1 	year 2009. Funds to counties must be 
268.2 	allocated by the commissioner using the 
268.3 	allocation method specified in Minnesota 
268.4 	Statutes, section 256D.46. 

268.5	(k) Group Residential Housing Grants 

268.6	General 
	91,069,000 
	98,671,000 
	
268.7 	People Incorporated. Of the general fund 
268.8 	appropriation, $460,000 each year is to 
268.9 	augment community support and mental 
268.10 	health services provided to individuals 
268.11 	residing in facilities under Minnesota 
268.12 	Statutes, section 256I.05, subdivision 1m. 

268.13
268.14	(l) Other Children and Economic Assistance 
Grants 

268.15	General 
	20,183,000 
	16,333,000 
	
268.16	Federal TANF 
	1,500,000 
	1,500,000 
	
268.17 	Base Adjustment. The general fund base 
268.18 	shall be $16,033,000 in fiscal year 2010 and 
268.19 	$15,533,000 in fiscal year 2011. The TANF 
268.20 	base shall be $1,500,000 in fiscal year 2010 
268.21 	and $1,181,000 in fiscal year 2011. 
268.22 	Homeless and Runaway Youth. Of the 
268.23 	general fund appropriation, $500,000 each 
268.24 	year are for the Runaway and Homeless 
268.25 	Youth Act under Minnesota Statutes, section 
268.26 	256K.45. Funds shall be spent in each area 
268.27 	of the continuum of care to ensure that 
268.28 	programs are meeting the greatest need. This 
268.29 	is a onetime appropriation. 
268.30 	Long-Term Homelessness. Of the general 
268.31 	fund appropriation, $1,500,000 each year 
268.32 	are $2,000,000 in fiscal year 2008 is  for 
268.33 	implementation of programs to address 
268.34 	long-term homelessness and is available in 
269.1 	either year of the biennium. This is a onetime 
269.2 	appropriation. 
269.3 	Minnesota Community Action Grants. (a) 
269.4 	Of the general fund appropriation, $250,000 
269.5 	each year is for the purposes of Minnesota 
269.6 	community action grants under Minnesota 
269.7 	Statutes, sections 256E.30 to 256E.32. This 
269.8 	is a onetime appropriation. 
269.9 	(b) Of the TANF appropriation, $1,500,000 
269.10 	each year is for community action agencies 
269.11 	for auto repairs, auto loans, and auto 
269.12 	purchase grants to individuals who are 
269.13 	eligible to receive benefits under Minnesota 
269.14 	Statutes, chapter 256J, or who have lost 
269.15 	eligibility for benefits under Minnesota 
269.16 	Statutes, chapter 256J, due to earnings in the 
269.17 	prior 12 months. Base level funding for this 
269.18 	activity shall be $1,500,000 in fiscal year 
269.19 	2010 and $1,181,000 in fiscal year 2011. * 
269.20 	(The preceding text beginning "(b) Of the 
269.21 	TANF appropriation," was indicated as 
269.22 	vetoed by the governor.) 
269.23 	(c) Money appropriated under paragraphs (a) 
269.24 	and (b) that is not spent in the first year does 
269.25 	not cancel but is available for the second 
269.26 	year.

269.27 	Sec. 8. SUNSET OF UNCODIFIED LANGUAGE.
 269.28 	All uncodified language contained in this article expires on June 30, 2009, unless a 
269.29 	different expiration date is specified.

269.30 	ARTICLE 19
269.31 	HEALTH AND HUMAN SERVICES FORECAST ADJUSTMENTS

269.32
269.33	Section 1. SUMMARY OF APPROPRIATIONS; DEPARTMENT OF HUMAN 
SERVICES FORECAST ADJUSTMENT.
 	
270.1 	The dollar amounts shown are added to or, if shown in parentheses, are subtracted 
270.2 	from the appropriations in Laws 2007, chapter 147, from the general fund, or any other 
270.3 	fund named, to the Department of Human Services for the purposes specified in this 
270.4 	article, to be available for the fiscal year indicated for each purpose. The figure "2008" 
270.5 	used in this article means that the appropriation or appropriations listed are available for 
270.6 	the fiscal year ending June 30, 2008. The figure "2009" used in this article means that 
270.7 	the appropriation or appropriations listed are available for the fiscal year ending June 30, 
270.8 	2009. Supplemental appropriations and reductions to appropriations for the fiscal year 
270.9 	ending June 30, 2008, are effective the day following final enactment.

270.10					2008
		2009
	
270.11	General
			$
	6,739,000
	$
	52,350,000
	
270.12	Health Care Access
				(84,156,000)
		(96,019,000)
	
270.13	Federal TANF
				(28,427,000)
		(7,441,000)
	
270.14	Total
			$
	 (105,844,000)
	$
	(51,110,000)

270.15
270.16	Sec. 2. COMMISSIONER OF HUMAN 
SERVICES

270.17	Subdivision 1.Total Appropriation
 	$
	(105,844,000)
	$
	(51,110,000)

270.18	Appropriations by Fund
	
270.19		2008
	2009
	
270.20	General
	6,739,000
	52,350,000
	
270.21	Health Care Access
	(84,156,000)
	(96,019,000)
	
270.22	Federal TANF
	(28,427,000)
	(7,441,000)

270.23	Subd. 2.Revenue and Pass-Through

270.24	Federal TANF
	1,187,000
	1,507,000

270.25
270.26	Subd. 3.Children and Economic Assistance 
Grants

270.27	General
	(4,960,000)
	5,925,000
	
270.28	Federal TANF
	(29,614,000)
	(8,948,000)
	
270.29 	The amounts that may be spent from this 
270.30 	appropriation for each purpose are as follows:

270.31	(a) MFIP/DWP Grants

270.32	General
	25,139,000
	11,665,000
	
270.33	Federal TANF
	(29,614,000)
	(8,948,000)

270.34	(b) MFIP Child Care Assistance Grants
		(26,141,000)
		(10,710,000)

271.1	(c) General Assistance Grants
		2,529,000
		6,033,000

271.2	(d) Minnesota Supplemental Aid Grants
		299,000
		500,000

271.3	(e) Group Residential Housing Grants
		(6,786,000)
		(1,563,000)

271.4	Subd. 4.Basic Health Care Grants

271.5	General
	30,075,000
	48,389,000
	
271.6	Health Care Access
	(84,156,000)
	(96,019,000)
	
271.7 	The amounts that may be spent from this 
271.8 	appropriation for each purpose are as follows:

271.9	(a) MinnesotaCare

271.10	 Health Care Access
	(84,156,000)
	(96,019,000)

271.11
271.12	(b) MA Basic Health Care - Families and 
Children
		13,525,000
		7,005,000

271.13
271.14	(c) MA Basic Health Care - Elderly and 
Disabled
		(2,292,000)
		5,479,000

271.15	(d) General Assistance Medical Care
		18,842,000
		35,905,000

271.16	Subd. 5.Continuing Care Grants
 		(18,376,000)
		(1,964,000)
	
271.17 	The amounts that may be spent from this 
271.18 	appropriation for each purpose are as follows:

271.19	(a) MA Long-Term Care Facilities
		(10,986,000)
		(2,148,000)

271.20	(b) MA Long-Term Care Waivers
		(18,484,000)
		(13,598,000)

271.21	(c) Chemical Dependency Entitlement Grants
		11,094,000
		13,782,000