1.1A bill for an act1.2relating to state government; appropriating money for jobs, economic 1.3development, and housing; establishing and modifying certain programs; 1.4providing for regulation of certain activities and practices; providing for 1.5accounts, assessments, and fees; providing penalties;amending Minnesota 1.6Statutes 2006, sections 116J.401, by adding a subdivision; 116J.551, subdivision 1.71; 116J.554, subdivision 2; 116J.555, subdivision 1; 116J.575, subdivisions 1.81, 1a; 116J.966, subdivision 1; 116L.01, by adding a subdivision; 116L.04, 1.9subdivision 1a; 116L.17, subdivision 1; 116L.20, subdivision 1; 116L.666, 1.10subdivision 1; 116M.18, subdivision 6a; 177.27, subdivisions 1, 4, 5, 8, 9, 10, 1.11by adding a subdivision; 177.28, subdivision 1; 177.30; 177.43, subdivisions 3, 1.124, 6, by adding a subdivision; 178.01; 178.02; 178.03, subdivision 3; 178.041, 1.13subdivision 1; 179A.04, subdivision 3; 181.78, by adding a subdivision; 181.932, 1.14subdivision 1; 181.935; 182.65, subdivision 2; 190.096; 268.085, subdivision 1.153; 268.196, by adding a subdivision; 268A.01, subdivision 13, by adding a 1.16subdivision; 268A.085, subdivision 1; 268A.15, by adding a subdivision; 298.22, 1.17subdivision 2; 298.227; 325E.37, subdivision 6; 326.01, subdivision 6g; 326.241, 1.18subdivisions 1, 2; 326.242, subdivisions 3d, 5, 11, by adding a subdivision; 1.19326.37, subdivision 1, by adding a subdivision; 326.38; 326.40, subdivision 1; 1.20326.401, subdivision 2; 326.405; 326.42, subdivision 1; 326.46; 326.461, by 1.21adding a subdivision; 326.47, subdivisions 2, 6; 326.48, subdivisions 1, 2, by 1.22adding a subdivision; 326.50; 326.51; 326.52; 341.28, subdivision 2, by adding a 1.23subdivision; 341.32, subdivision 2; 341.321; 462.39, by adding a subdivision; 1.24462A.21, subdivision 8b; 462A.33, subdivision 3; 469.021; proposing coding 1.25for new law in Minnesota Statutes, chapters 116J; 116O; 135A; 154; 177; 179; 1.26181; 181A; 182; 325E; 326; repealing Minnesota Statutes 2006, sections 16C.18, 1.27subdivision 2; 176.042; 268.035, subdivision 9; 326.01, subdivision 4; 326.242, 1.28subdivision 4; 326.45.1.29BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:1.30ARTICLE 11.31JOBS, ECONOMIC DEVELOPMENT, HOUSING AND MINNESOTA 1.32HERITAGE APPROPRIATIONS SUMMARY

1.33Section 1. SUMMARY.

2.1    The amounts shown in this section summarize direct appropriations, by fund, made 2.2in this act.

2.320082009Total2.4General$213,756,000$156,634,000$370,390,0002.5Workforce Development15,510,00015,526,00031,036,0002.6Remediation700,000700,0001,400,0002.72.8State Government Special Revenue1,877,0001,925,0003,802,0002.9Workers' Compensation 23,379,00023,763,00047,142,0002.10TANF3,075,0003,075,0006,150,0002.11Total$258,297,000$201,623,000$459,920,000

2.12ARTICLE 22.13JOBS AND ECONOMIC DEVELOPMENT2.14    Section 1. SUMMARY OF APPROPRIATIONS.

2.1520082009Total2.16General$94,685,000$60,084,000$154,769,0002.17Workforce Development15,510,00015,526,00031,036,0002.18Remediation700,000700,0001,400,0002.192.20State Government Special Revenue1,877,0001,925,0003,802,0002.21Workers' Compensation 23,379,00023,763,00047,142,0002.22Total$136,151,000$101,998,000$238,149,000

2.23Sec. 2. JOBS AND ECONOMIC DEVELOPMENT.

2.24    The sums shown in the columns marked "Appropriations" are appropriated to the 2.25agencies and for the purposes specified in this article. The appropriations are from the 2.26general fund, or another named fund, and are available for the fiscal years indicated 2.27for each purpose. The figures "2008" and "2009" used in this article mean that the 2.28appropriations listed under them are available for the fiscal year ending June 30, 2008, or 2.29June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal 2.30year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal 2.31year ending June 30, 2007, are effective the day following final enactment.

2.32APPROPRIATIONS2.33Available for the Year2.34Ending June 302.3520082009

3.13.2Sec. 3. DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT

3.3Subdivision 1.Total Appropriation$ 101,587,000$66,589,000

3.4Appropriations by Fund3.5200820093.6General 86,142,00051,144,0003.7Remediation700,000700,0003.83.9Workforce Development14,745,00014,745,000

3.10The amounts that may be spent for each 3.11purpose are specified in the following 3.12subdivisions.

3.133.14Subd. 2.Business and Community Development 49,058,000 14,372,000

3.15Appropriations by Fund3.16General 48,358,00013,672,0003.17Remediation700,000700,000

3.18(a)(1) $1,100,000 is for a grant under 3.19Minnesota Statutes, section 116J.421, 3.20to the Rural Policy and Development 3.21Center at St. Peter, Minnesota. The grant 3.22shall be used for research and policy 3.23analysis on emerging economic and social 3.24issues in rural Minnesota, to serve as a 3.25policy resource center for rural Minnesota 3.26communities, to encourage collaboration 3.27across higher education institutions, to 3.28provide interdisciplinary team approaches 3.29to research and problem-solving in rural 3.30communities, and to administer overall 3.31operations of the center. 3.32(2) The grant shall be provided upon the 3.33condition that each state-appropriated 3.34dollar be matched with a nonstate dollar. 3.35Acceptable matching funds are nonstate 3.36contributions that the center has received and 4.1have not been used to match previous state 4.2grants. Any funds not spent the first year are 4.3available the second year. 4.4(b) $200,000 each year is for a grant to 4.5WomenVenture for women's business 4.6development programs.4.7(c) $500,000 the first year is for a grant to 4.8University Enterprise Laboratories (UEL) 4.9for its direct and indirect expenses to support 4.10efforts to encourage the growth of early-stage 4.11and emerging bioscience companies. UEL 4.12must provide a report by June 30 each year 4.13to the commissioner on the expenditures 4.14until the appropriation is expended. This is a 4.15onetime appropriation and is available until 4.16expended.4.17(d) $2,180,000 the first year is for grants 4.18under Minnesota Statutes, section 116J.571, 4.19for the redevelopment grant program. This is 4.20a onetime appropriation.4.21(e) $100,000 each year is to the Public 4.22Facilities Authority for the small community 4.23wastewater treatment program under 4.24Minnesota Statutes, chapter 446A.4.25(f) $510,000 the first year is for the urban 4.26initiative program under Minnesota Statutes, 4.27chapter 116M, of which, $255,000 is for 4.28a grant to the Metropolitan Economic 4.29Development Association for continuing 4.30minority business development programs 4.31in the metropolitan area. This is a onetime 4.32appropriation.4.33(g) $85,000 each year is for a grant to the 4.34Minnesota Inventors Congress, of which 4.35$10,000 must be used for youth inventors.5.1(h) $151,000 the first year is for a grant to the 5.2city of Faribault to design, construct, furnish, 5.3and equip renovations to accommodate 5.4handicapped accessibility at the Paradise 5.5Center for the Arts.5.6(i) $3,000,000 the first year is for loans 5.7authorized under Minnesota Statutes, section 5.8116J.417. This appropriation is available 5.9until expended.5.10(j) $1,000,000 each year is to Minnesota 5.11Technology, Inc. for the small business 5.12growth acceleration program established 5.13under Minnesota Statutes, section 116O.115. 5.14This is a onetime appropriation.5.15(k) $350,000 the first year is for a grant to 5.16the city of Northome for the construction 5.17of a new municipal building to replace the 5.18structures damaged by fire on July 22, 2006. 5.19This appropriation is available when the 5.20commissioner determines that a sufficient 5.21match is available from nonstate sources to 5.22complete the project.5.23(l) $325,000 each year is for a technology 5.24and commercialization unit established 5.25under article 3, section 33. This is a onetime 5.26appropriation.5.27(m) $500,000 in the first year is for a 5.28grant to the city of Worthington for an 5.29agricultural-based bioscience training and 5.30testing center. Funds appropriated under this 5.31section must be used to provide a training 5.32and testing facility for incubator firms 5.33developing new agricultural processes and 5.34products. This is a onetime appropriation 5.35and is available until expended.6.1(n) $2,200,000 in the first year is for a grant 6.2to BioBusiness Alliance of Minnesota for 6.3bioscience business development programs 6.4to promote and position the state as a global 6.5leader in bioscience business activities. 6.6These funds may be used for:6.7(1) completion and periodic updating of 6.8a statewide bioscience business industry 6.9assessment of business technology 6.10enterprises and Minnesota's competitive 6.11position employing annual updates to federal 6.12industry classification data;6.13(2) long-term strategic planning that includes 6.14projections of market changes resulting 6.15from developments in biotechnology and the 6.16development of 20-year goals, strategies, and 6.17identified objectives for renewable energy, 6.18medical devices, biopharma, and biologics 6.19business development in Minnesota;6.20(3) the design and construction of a 6.21Minnesota focused bioscience business 6.22model to test competing strategies and 6.23scenarios, evaluate options, and forecast 6.24outcomes; and6.25(4) creation of a bioscience business 6.26resources network that includes development 6.27of a statewide bioscience business economic 6.28development framework to encourage 6.29bioscience business development and 6.30encourage spin-off activities, attract 6.31bioscience business location or expansion in 6.32Minnesota, and establish a local capability to 6.33support strategic system level planning for 6.34industry, government, and academia.7.1This appropriation is available until June 30, 7.22009.7.3(o) $325,000 is for a grant to the Walker 7.4Area Community Center, Inc., to construct, 7.5furnish, and equip the Walker Area 7.6Community Center. This appropriation is 7.7not available until the commissioner has 7.8determined that an amount sufficient to 7.9complete the project has been committed 7.10from nonstate sources.7.11(p) $120,000 the first year is for a grant 7.12to the Pine Island Economic Development 7.13Authority for predesign to upgrade and 7.14extend utilities to serve Elk Run Bioscience 7.15Research Park and The Falls - Healthy 7.16Living By Nature, an integrated medicine 7.17facility. This is a onetime appropriation and 7.18is available until expended.7.19(q) $300,000 the first year is for a grant 7.20to Thomson Township for infrastructure 7.21improvements for the industrial park. This is 7.22a onetime appropriation.7.23(r) $75,000 the first year for a grant to 7.24Le Sueur County for the cost of cleaning 7.25debris from lakes in Le Sueur County, 7.26caused by the August 24, 2006, tornado in 7.27southern Le Sueur County. This is a onetime 7.28appropriation.7.29(s) $3,000,000 the second year is for 7.30bioscience business development and 7.31commercialization grants. The commissioner 7.32shall designate an evaluation team to accept 7.33grant applications, review and evaluate 7.34grant proposals, and select up to five grant 7.35proposals to receive funding each year. 8.1The evaluation team shall be comprised 8.2of not more than 12 members including: 8.3the commissioner or the commissioner's 8.4designee; representatives of bioscience 8.5businesses; public and private institutions 8.6of higher education; private investment 8.7companies; a nonprofit entity that qualifies as 8.8a 501(c)6 under the Internal Revenue Code 8.9and is a trade association representing the 8.10life sciences industry; and a bio business 8.11alliance that qualifies as a 501(c)3 under the 8.12Internal Revenue Code. The criteria used 8.13by the evaluation team in evaluating grant 8.14proposals must include, but is not limited 8.15to: the potential to create and sustain jobs 8.16within the state of Minnesota; the potential 8.17for long-term business activity, growth, 8.18and expansion in Minnesota; the level of 8.19technological maturity; the potential to attract 8.20private investment; and the availability and 8.21readiness of markets. The commissioner 8.22must report to the standing committees of 8.23the house of representatives and the senate 8.24having jurisdiction over bioscience and 8.25technology issues by February 1 each year 8.26on the number, type, and amounts of grants 8.27awarded and the activities of the grant 8.28recipients. This is a onetime appropriation 8.29and is available until expended.8.30(t) $1,500,000 the first year is for the urban 8.31challenge grant program under Minnesota 8.32Statutes, section 116M.18, of which 8.33$1,000,000 is for a grant to the Neighborhood 8.34Development Center for assistance necessary 8.35to retain minority business enterprises 9.1at the Global Market. This is a onetime 9.2appropriation.9.3(u) $375,000 each year is to develop and 9.4operate a bioscience business marketing 9.5program to market Minneota bioscience 9.6businesses and business opportunities 9.7to other states and other countries. The 9.8bioscience business marketing program must 9.9emphasize bioscience business location and 9.10expansion opportunities in communities 9.11outside of the seven-county metropolitan 9.12area as defined in Minnesota Statutes, 9.13section 473.121, subdivision 2, that have 9.14established collaborative plans among two 9.15or more municipal units for bioscience 9.16business activities, and that are within 15 9.17miles of a four-year, baccalaureate degree 9.18granting institution or a two-year technical 9.19or community college that offers bioscience 9.20curricula. The commissioner must report 9.21to the committees of the senate and house 9.22of representatives having jurisdiction 9.23over bioscience and technology issues by 9.24February 1 of each year on the expenditures 9.25of these funds and the promotional activities 9.26undertaken to market the Minnesota 9.27bioscience industry to persons outside of the 9.28state. This is a onetime appropriation and is 9.29available until expended.9.30(v) $225,000 each year is for the purposes 9.31of the nanotechnology development fund 9.32program (NDF) established in section 12, for 9.33grants to promote increased use of advanced 9.34instrumentation for nanomaterials analysis, 9.35to be awarded on a one-to-one matching basis 10.1to qualifying Minnesota small businesses. 10.2This is a onetime appropriation.10.3(w) $50,000 the first year is for a contract 10.4with a public higher education institution 10.5in Minnesota jointly entered into with the 10.6Center for Rural Development to study the 10.7needs of the renewable energy economy for 10.8trained employees and the training required 10.9for those employees. The study must include 10.10extensive consultation and involvement of 10.11representatives of the renewable energy 10.12industry, environmental interests, labor, the 10.13University of Minnesota, and the Minnesota 10.14State Colleges and Universities. The 10.15commissioner shall report the results of the 10.16study to the chairs of the finance divisions 10.17of the legislature with jurisdiction over 10.18economic development, energy, and higher 10.19education by November 1, 2007. This is a 10.20onetime appropriation.10.21(x) $25,000,000 is for the Minnesota 10.22minerals 21st century fund created in 10.23Minnesota Statutes, section 116J.423, 10.24to restore the money unallotted by the 10.25commissioner of finance in 2003 pursuant 10.26to Minnesota Statutes, section 16A.152. 10.27This appropriation may be used as provided 10.28in Minnesota Statutes, section 116J.423, 10.29subdivision 2. This appropriation is available 10.30until expended.10.31(y) $900,000 each year is for a grant to the 10.32city of St. Paul to be used to pay debt service 10.33on bond obligations issued by the city of St. 10.34Paul in 1996 for the convention center.11.1(z) $189,000 each year is appropriated from 11.2the general fund to the commissioner of 11.3employment and economic development for 11.4grants of $63,000 to eligible organizations 11.5each year and for the purposes of this 11.6paragraph. Each state grant dollar must be 11.7matched with $1 of nonstate funds. Any 11.8balance in the first year does not cancel but is 11.9available in the second year.11.10The commissioner of employment and 11.11economic development must make grants to 11.12organizations to assist in the development 11.13of entrepreneurs and small businesses. 11.14Three grants must be awarded to continue 11.15or to develop a program. One grant must 11.16be awarded to the Riverbend Center for 11.17Entrepreneurial Facilitation in Blue Earth 11.18County, and two to other organizations 11.19serving Faribault and Martin Counties. Grant 11.20recipients must report to the commissioner 11.21by February 1 of each year that the 11.22organization receives a grant with the 11.23number of customers served; the number of 11.24businesses started, stabilized, or expanded; 11.25the number of jobs created and retained; and 11.26business success rates. The commissioner 11.27must report to the house of representatives 11.28and senate committees with jurisdiction 11.29over economic development finance on the 11.30effectiveness of these programs for assisting 11.31in the development of entrepreneurs and 11.32small businesses.11.33(aa) $10,000 for the biennium is to the 11.34commissioner of employment and economic 11.35development for the Minnesota investment 11.36fund. This grant is not subject to grant 12.1limitations under section 116J.8731, 12.2subdivision 5.

12.3Subd. 3.Workforce Development49,531,00049,197,000

12.4Appropriations by Fund12.5General34,786,00034,452,00012.612.7Workforce Development14,745,00014,745,000

12.8(a) $6,785,000 each year is for the Minnesota 12.9job skills partnership program under 12.10Minnesota Statutes, sections 116L.01 to 12.11116L.17. If the appropriation for either 12.12year is insufficient, the appropriation for the 12.13other year is available. This appropriation is 12.14available until spent.12.15(b) $305,000 each year is for a grant under 12.16Minnesota Statutes, section 116J.8747, to 12.17Twin Cities RISE! to provide training to 12.18hard-to-train individuals. 12.19(c) $1,375,000 each year is from 12.20the workforce development fund for 12.21Opportunities Industrialization Center 12.22programs. 12.23(d) $5,864,000 each year is from the general 12.24fund and $6,920,000 each year is from the 12.25workforce development fund for extended 12.26employment services for persons with 12.27severe disabilities or related conditions under 12.28Minnesota Statutes, section 268A.15. Of this, 12.29$125,000 each year and in the base for fiscal 12.30years 2010 and 2011 is to supplement funds 12.31paid for wage incentive for the community 12.32support fund established in Minnesota Rules, 12.33part 3300.2045.12.34(e) $1,900,000 each year is for grants for 12.35programs that provide employment support 13.1services to persons with mental illness under 13.2Minnesota Statutes, sections 268A.13 and 13.3268A.14. Up to $77,000 each year may be 13.4used for administrative and salary expenses.13.5(f) $2,190,000 each year is for grants under 13.6Minnesota Statutes, section 268A.11, for the 13.7eight centers for independent living. Money 13.8not expended the first year is available the 13.9second year.13.10(g) $5,940,000 each year is for State Services 13.11for the Blind activities.13.12(h) $150,000 each year is from the general 13.13fund and $175,000 each year is from the 13.14workforce development fund for grants under 13.15Minnesota Statutes, section 268A.03, to Rise, 13.16Inc. for the Minnesota Employment Center 13.17for People Who are Deaf or Hard-of-Hearing. 13.18Money not expended the first year is 13.19available the second year.13.20(i) $9,021,000 each year from the general 13.21fund is for the vocational rehabilitation 13.22program and $325,000 each year from 13.23the workforce development fund is for 13.24interpreters for a regional transition program 13.25specializing in culturally appropriate 13.26transition services leading to employment 13.27for deaf, hard-of-hearing, and deaf-blind 13.28students.13.29(j) $150,000 each year is for a grant to 13.30Advocating Change Together for training, 13.31technical assistance, and resource materials 13.32to persons with developmental and mental 13.33illness disabilities.13.34(k) $300,000 each year for a grant to 13.35Lifetrack Resources for its immigrant/refugee 14.1collaborative programs, including those 14.2related to job-seeking skills and workplace 14.3orientation, intensive job development, 14.4functional work English, and on-site job 14.5coaching. $50,000 of this amount is for a 14.6pilot Lifetrack project in Rochester.14.7(l) $1,075,000 each year is for the youthbuild 14.8program under Minnesota Statutes, sections 14.9116L.361 to 116L.366.14.10(m) $1,350,000 each year is from the 14.11workforce development fund for grants 14.12to fund summer youth employment in 14.13Minneapolis. The grants shall be used to 14.14fund up to 500 jobs for youth each summer. 14.15Of this appropriation, $350,000 each year is 14.16for a grant to the learn-to-earn summer youth 14.17employment program. The commissioner 14.18shall establish criteria for awarding the 14.19grants. This appropriation is available in 14.20either year of the biennium and is available 14.21until spent.14.22(n) $50,000 each year is for a grant 14.23to Northern Connections in Perham to 14.24implement and operate a pilot workforce 14.25program that provides one-stop supportive 14.26services to assist individuals as they transition 14.27into the workforce. This appropriation is 14.28available to the extent it is matched by $1 of 14.29nonstate money for each $1 of state money.14.30(o) $100,000 each year is for a grant to 14.31Ramsey County Workforce Investment Board 14.32for the development of the building lives 14.33program. This is a onetime appropriation.14.34(p) $300,000 each year is for a grant to the 14.35Hennepin-Carver Workforce Investment 15.1Board (WIB) to coordinate with the Partners 15.2for Progress Regional Skills Consortium 15.3to provide employment and training as 15.4demonstrated by the Twin Cities regional 15.5health care training partnership project.15.6(q) $160,000 the first year is for a grant 15.7to Workforce Development, Inc., for a 15.8pilot project to provide demand-driven 15.9employment and training services to 15.10welfare recipients and other economically 15.11disadvantaged populations in Mower, 15.12Freeborn, Dodge, and Steele Counties. This 15.13is a onetime appropriation.15.14(r) $200,000 each year is for a grant to 15.15HIRED to operate its industry sector training 15.16initiatives, which provide employee training 15.17developed in collaboration with employers in 15.18specific, high-demand industries. This is a 15.19onetime appropriation.15.20(s) $200,000 the first year is for a grant 15.21to a nonprofit organization. The nonprofit 15.22organization must work on behalf of all 15.23licensed vendors to coordinate their efforts 15.24to respond to solicitations or other requests 15.25from private and governmental units as 15.26defined in Minnesota Statutes, section 15.27471.59, subdivision 1, in order to increase 15.28employment opportunities for persons with 15.29disabilities.15.30(t) $3,500,000 each year from the workforce 15.31development fund is for the Minnesota youth 15.32program under Minnesota Statutes, section 15.33116L.56 and 116L.561.15.34(u) $500,000 each year from the workforce 15.35development fund is for a grant to the 16.1Minnesota Alliance of Boys and Girls 16.2Clubs to administer a statewide project 16.3of youth job skills development. This 16.4project, which may have career guidance 16.5components, including health and life skills, 16.6is to encourage, train, and assist youth in 16.7job-seeking skills, workplace orientation, 16.8and job site knowledge through coaching. 16.9This grant requires a 25 percent match from 16.10nonstate resources.16.11(v) $350,000 in each year from the workforce 16.12development fund is for a grant to Ramsey 16.13County for a summer youth employment 16.14program to place at-risk youth, ages 14 to 21, 16.15in subsidized summer employment.16.16(w) $10,000 the first year is for a study on 16.17ways to promote employment opportunities 16.18for minorities, with a particular focus on 16.19opportunities for American blacks, in the 16.20state of Minnesota. The study should focus 16.21on how to significantly expand the job 16.22training available to minorities and promote 16.23substantial increases in the wages paid to 16.24minorities, at least to a rate well above living 16.25wage, and within several years, to equality. 16.26The commissioner must report on the study 16.27to the governor and the chair of the finance 16.28committee in each house of the legislature 16.29that has jurisdiction over employment by 16.30January 15, 2008, with recommendations for 16.31implementing the findings.16.32The commissioner must provide funding 16.33for the Minnesota Conservation Corps to 16.34provide learning stipends for deaf students 17.1and wages for interpreters participating in 17.2the MCC summer youth program.

17.3Subd. 4.State-Funded Administration2,998,0003,020,000

17.4The first $1,450,000 deposited in each 17.5year of the biennium and in each year of 17.6subsequent bienniums into the contingent 17.7account created under Minnesota Statutes, 17.8section 268.196, subdivision 3, shall be 17.9transferred by June 30 of each fiscal year 17.10to the workforce development fund created 17.11under Minnesota Statutes, section 116L.20. 17.12Deposits in excess of $1,450,000 shall be 17.13transferred by June 30 of each fiscal year to 17.14the general fund.

17.1517.16Sec. 4. DEPARTMENT OF LABOR AND INDUSTRY

17.17Subdivision 1.Total Appropriation$ 29,002,000$29,794,000

17.18Appropriations by Fund17.192008200917.20General 4,644,0005,035,00017.2117.22Workers' Compensation21,716,00022,053,00017.2317.24Workforce Development765,000781,00017.2517.26State Government Special Revenue1,877,0001,925,000

17.27The amounts that may be spent for each 17.28purpose are specified in the following 17.29subdivisions.

17.30Subd. 2.Workers' Compensation10,381,00010,659,000

17.31This appropriation is from the workers' 17.32compensation fund.17.33$200,000 each year is for grants to the 17.34Vinland Center for rehabilitation services.

17.35Subd. 3.Safety Codes and Services9,949,00010,134,000

18.1$5,292,000 the first year and $5,388,000 18.2the second year are from the workers' 18.3compensation fund. $1,877,000 the first year 18.4and $1,925,000 the second year are from the 18.5state government special revenue fund.18.6$1,000,000 each year is from the workers' 18.7compensation fund for patient safe handling 18.8grants under Minnesota Statutes, section 18.9182.6553.18.10$100,000 each year is from the workers' 18.11compensation fund for the operation of 18.12the meatpacking industry workers' rights 18.13ombudsman under Minnesota Statutes, 18.14section 179.87.

18.15Subd. 4.Labor Standards/Apprenticeship 2,629,0002,995,000

18.16Appropriations by Fund18.17General 1,864,0002,214,00018.1818.19Workforce Development765,000781,000

18.20The appropriation from the workforce 18.21development fund is for the apprenticeship 18.22program under Minnesota Statutes, chapter 18.23178, and includes $100,000 each year for 18.24labor education and advancement program 18.25grants.18.26$360,000 the first year and $300,000 the 18.27second year from the general fund are for 18.28prevailing wage enforcement of which 18.29$60,000 in the first year is for outreach and 18.30survey participation improvements.18.31$800,000 the first year and $1,200,000 the 18.32second year from the general fund are for the 18.33independent contractor certification under 18.34Minnesota Statutes, section 181.723.

18.35Subd. 5.General Support6,043,0006,006,000

19.1This appropriation is from the workers' 19.2compensation fund.

19.319.4Sec. 5. BUREAU OF MEDIATION SERVICES

19.5Subdivision 1.Total Appropriation$1,850,000$1,877,000

19.6The amounts that may be spent for each 19.7purpose are specified in the following 19.8subdivisions.

19.9Subd. 2.Mediation Services1,700,0001,727,000

19.1019.11Subd. 3.Labor Management Cooperation Grants150,000150,000

19.12$150,000 each year is for grants to area labor 19.13management committees. Grants may be 19.14awarded for a 12-month period beginning 19.15July 1 each year. Any unencumbered balance 19.16remaining at the end of the first year does not 19.17cancel but is available for the second year.

19.1819.19Sec. 6. WORKERS' COMPENSATION COURT OF APPEALS$1,663,000$1,710,000

19.20This appropriation is from the workers' 19.21compensation fund. 

19.22Sec. 7. BOARD OF ACCOUNTANCY$493,000$499,000

19.2319.2419.2519.26Sec. 8. BOARD OF ARCHITECTURE, ENGINEERING, LAND SURVEYING, LANDSCAPE ARCHITECTURE, GEOSCIENCE, AND INTERIOR DESIGN$795,000$805,000

19.27Sec. 9. BOARD OF BARBER EXAMINERS$711,000$724,000

19.2819.29Sec. 10. MINNESOTA BOXING COMMISSION$50,000$-0-

19.30To transition the commission to being a 19.31self-funded entity.20.1    Sec. 11. BIOSCIENCE ZONES DESIGNATION.20.2    The commissioner of employment and economic development must establish a 20.3criteria for expanding the zones. The criteria must limit designating a new zone to a 20.4community that has adequate resources and infrastructure to support bioindustry, including 20.5postsecondary institutions, strong health care systems, and existing bioscience companies. 20.6It must also require that a new zone be located on a transportation corridor.20.7    Sec. 12. NANOTECHNOLOGY DEVELOPMENT FUND PROGRAM.20.8    Subdivision 1.Program established; purpose.The nanotechnology 20.9development fund program (NDF) is established to develop a collaborative economic 20.10development initiative between the state of Minnesota, the private sector, and multiple 20.11academic institutions to promote by small businesses an increased use of advanced 20.12nanoinstrumentation for characterization, fabrication, and other related processes; 20.13provide research consulting by knowledgeable specialists; and provide student internship 20.14opportunities to increase nanotechnology experience by working with small, medium, or 20.15large Minnesota companies. The NDF program shall be administered by the Department 20.16of Employment and Economic Development and is not a state agency.20.17    Subd. 2.Definition; qualifying Minnesota small business."Qualifying Minnesota 20.18small business" means:20.19    (1) a Minnesota small business corporation, sole proprietorship, or partnership that 20.20has fewer than 50 employees; or 20.21    (2) a Minnesota business corporation, sole proprietorship, or partnership that:20.22    (i) has 51 to 100 employees; and20.23    (ii) demonstrates current financial adversity or risk or a major prospect of aiding 20.24the business's long-term outlook by significant use of nanotechnology in the business's 20.25offerings.20.26    Subd. 3.Grants.The commissioner shall extend onetime matching grants from the 20.27NDF to qualifying Minnesota small businesses located throughout the state to:20.28    (1) add nanotechnology applications to products that are being developed by 20.29Minnesota small businesses to enhance distinctiveness;20.30    (2) promote the depth, breadth, and value of technologies being developed by 20.31Minnesota businesses with the aid of nanotechnology;20.32    (3) encourage more frequent use of nanoinstrumentation to speed businesses' product 20.33time-to-market, with higher incidence of distinct product characteristics;20.34    (4) provide Minnesota small businesses with broader access to experienced research 20.35consultants; and21.1    (5) increase the number of researchers experienced in working with 21.2nanoinstrumentation.21.3    Subd. 4.Grant application and award procedure.(a) The commissioner may 21.4give priority to applicants:21.5    (1) whose intellectual property would benefit from utilization of nanoinstrumentation 21.6not possessed in-house;21.7    (2) who are currently utilizing nanoinstrumentation either at the University of 21.8Minnesota or a private sector location on a leased, hourly basis; and21.9    (3) who wish to increase their access to experienced research consultants.21.10    (b) The commissioner shall decide whether to award a grant to an eligible applicant 21.11based on:21.12    (1) the applicant's planned frequency of usage of nanoinstrumentation for 21.13characterization, fabrication, and other related processes; and21.14    (2) the applicant's demonstration of rental of nanoinstrumentation, in the form 21.15of a signed affidavit from a certified facility to confirm the one-to-one private sector 21.16investment has been met.21.17    (c) A grant made under this section must:21.18    (1) include verification of matching rental fees or internship stipends paid by the 21.19grantee; and21.20    (2) be for a total amount paid to each grantee of not less than $500 nor more than 21.21$20,000 within the biennium.21.22    Subd. 5.Administration.The commissioner of employment and economic 21.23development must develop and maintain a record-keeping system that specifies how 21.24funds from the NDF are applied for and distributed. Businesses receiving grants 21.25from the NDF must provide contact information, the date and time of the use of the 21.26nanoinstrumentation, proof of their matching contribution to meet the rental costs or 21.27provide an internship's stipend, and a general statement of the expected outcome from 21.28the use of the nanoinstrumentation, to the extent documentation can be made without 21.29divulging proprietary information.21.30    Subd. 6.Gifts and donations.Gifts and donations, including land or interests in 21.31land, may be made to NDF. Noncash gifts and donations must be disposed of for cash 21.32as soon as the commissioner of employment and economic development can prudently 21.33maximize the value of the gift or donation.21.34    Subd. 7.Report to legislature.By June 30 of each odd-numbered year, the 21.35commissioner of employment and economic development must submit a report to the 21.36legislature with statistics about the use of the NDF.22.1    Sec. 13. WORK GROUP.22.2    The commissioner of employment and economic development shall convene a work 22.3group to evaluate the impact of the money appropriated for wage incentives and how the 22.4wage incentive program works. The work group is to make recommendations to the 22.5legislature by January 15, 2008.22.6ARTICLE 322.7EMPLOYMENT AND DEVELOPMENT-RELATED PROVISIONS22.8    Section 1. Minnesota Statutes 2006, section 116J.401, is amended by adding a 22.9subdivision to read:22.10    Subd. 4.Use of funds for unemployed worker assistance.Payment of employee 22.11compensation costs from the Wagner-Peyser Act referenced in subdivision 1, clause 22.12(8), must be used to provide direct benefit to unemployed and underemployed workers 22.13through the state's workforce centers. At least 75 percent of the employee compensation 22.14paid from Wagner-Peyser funds must be used for employees at workforce centers who 22.15provide direct assistance to unemployed and underemployed workers and no more than 22.1625 percent may be used for providing hiring and human resource services for employers. 22.17The funds under this section may be used to establish an internet based labor exchange 22.18system. By July 1 of each year, the commissioner must submit a report to the committees 22.19of the legislature responsible for oversight of unemployment insurance with details on 22.20the use of Wagner-Peyser funds, including the number of employee positions funded, the 22.21location of the employees, and the use of funds for internet labor exchange system and 22.22other business assistance.22.23    Sec. 2. [116J.417] GREATER MINNESOTA BUSINESS DEVELOPMENT 22.24INVESTMENT FUND.22.25    Subdivision 1.Eligible organization.For the purposes of this section, "eligible 22.26organization" means an organization established pursuant to section 116J.415 which 22.27provides business financing to greater Minnesota businesses.22.28    Subd. 2.Investment fund establishment.The commissioner shall establish an 22.29investment fund from which fund investments can be made in eligible organizations. The 22.30funds repaid by the eligible organizations are to be returned to the fund for subsequent 22.31reinvestment in eligible organizations.22.32    Subd. 3.Authorized investments.The commissioner is authorized to make 22.33investments in eligible organizations. The commissioner shall invest funds in the form of 23.1loans to eligible organizations for the purpose of providing capital to new and expanding 23.2businesses in the form of debt or equity, or both.23.3    Subd. 4.Investment authorized.The commissioner may make investments in 23.4eligible organizations under the following terms:23.5    (1) the organization seeking an investment of funds must guarantee repayment of not 23.6less than 100 percent of the funds invested in the eligible organization;23.7    (2) the investments are to be made in the form of a loan to the eligible organization 23.8for a term of ten years, at an interest rate of one percent;23.9    (3) during the ten-year term of the loan, the eligible organization shall make annual 23.10interest-only payments;23.11    (4) at the end of the ten-year term, the eligible organization is required to make a 23.12payment in the entire principal amount of the initial loan;23.13    (5) the state investment by the commissioner in any eligible organization may not 23.14exceed $2,000,000;23.15    (6) the full amount of state investment will be advanced to the approved eligible 23.16organization upon execution of a formal investment agreement, specifying the terms of the 23.17loan, as well as reporting and other requirements outlined in subdivision 5;23.18    (7) the eligible organization must maintain the funds in accounts that allow the funds 23.19to be readily available for business investments;23.20    (8) the eligible organization must make business investments totaling the entire 23.21amount of funds loaned by the state within three years of the execution of the investment 23.22agreement and subsequent transmittal of the funds; and23.23    (9) an eligible organization that receives an investment under this section shall 23.24report annually, in a format prescribed by the commissioner, the nature and amount of 23.25the business investments made, including, for each financing transaction involving funds 23.26received pursuant to this section, all forms and amounts of financing provided by the 23.27eligible organization from sources other than the investment fund established pursuant to 23.28this section, along with the number of jobs created and private sector investment leveraged.23.29    Subd. 5.Requirements for state investments.All investments are subject to an 23.30investment agreement which must include:23.31    (1) a description of the eligible organization, including business finance experience, 23.32qualifications, and investment history;23.33    (2) a description of the uses of investment proceeds by the eligible organization;23.34    (3) an explanation of the investment objectives;23.35    (4) a description of accounting and reporting standards to be used by the eligible 23.36organization; and24.1    (5) a copy of the most recent audited financial statements of the eligible organization.24.2    Sec. 3. Minnesota Statutes 2006, section 116J.551, subdivision 1, is amended to read:24.3    Subdivision 1. Grant account. A contaminated site cleanup and development 24.4grant account is created in the general fund. Money in the account may be used, as 24.5appropriated by law, to make grants as provided in section 
         116J.554 and to pay for the 24.6commissioner's costs in reviewing applications and making grants. Notwithstanding 24.7section 
         16A.28, money appropriated to the account for this program from any source is 24.8available for four years until spent.24.9    Sec. 4. Minnesota Statutes 2006, section 116J.554, subdivision 2, is amended to read:24.10    Subd. 2. Qualifying sites. A site qualifies for a grant under this section, if the 24.11following criteria are met:24.12    (1) the site is not scheduled for funding during the current or next fiscal year under 24.13the Comprehensive Environmental Response, Compensation, and Liability Act, United 24.14States Code, title 42, section 9601, et seq. or under the Environmental Response, and 24.15Liability Act under sections 
         115B.01 to 
         115B.20; 24.16    (2) the appraised value of the site after adjusting for the effect on the value of the 24.17presence or possible presence of contaminants using accepted appraisal methodology, or 24.18the current market value of the site as issued under section 273.121, separately taking into 24.19account the effect of the contaminants on the market value, (i) is less than 75 percent of 24.20the estimated project costs for the site or (ii) is less than or equal to the estimated cleanup 24.21costs for the site and the cleanup costs equal or exceed $3 per square foot for the site; and 24.22    (3) (2) if the proposed cleanup is completed, it is expected that the site will be 24.23improved with buildings or other improvements and these improvements will provide a 24.24substantial increase in the property tax base within a reasonable period of time or the site 24.25will be used for an important publicly owned or tax-exempt facility.24.26    Sec. 5. Minnesota Statutes 2006, section 116J.555, subdivision 1, is amended to read:24.27    Subdivision 1. Priorities. (a) The legislature expects that applications for grants 24.28will exceed the available appropriations and the agency will be able to provide grants to 24.29only some of the applicant development authorities.24.30    (b) If applications for grants for qualified sites exceed the available appropriations, 24.31the agency shall make grants for sites that, in the commissioner's judgment, provide 24.32the highest return in public benefits for the public costs incurred and that meet all the 25.1requirements provided by law. In making this judgment, the commissioner shall consider 25.2the following factors:25.3    (1) the recommendations or ranking of projects by the commissioner of the Pollution 25.4Control Agency regarding the potential threat to public health and the environment that 25.5would be reduced or eliminated by completion of each of the response action plans;25.6    (2) the potential increase in the property tax base of the local taxing jurisdictions, 25.7considered relative to the fiscal needs of the jurisdictions, that will result from 25.8developments that will occur because of completion of each of the response action plans;25.9    (3) the social value to the community of the cleanup and redevelopment of the site, 25.10including the importance of development of the proposed public facilities on each of 25.11the sites;25.12    (4) the probability that each site will be cleaned up without use of government 25.13money in the reasonably foreseeable future by considering but not limited to the current 25.14market value of the site versus the cleanup cost;25.15    (5) the amount of cleanup costs for each site; and25.16    (6) the amount of the commitment of municipal or other local resources to pay for 25.17the cleanup costs.25.18    The factors are not listed in a rank order of priority; rather the commissioner may 25.19weigh each factor, depending upon the facts and circumstances, as the commissioner 25.20considers appropriate. The commissioner may consider other factors that affect the net 25.21return of public benefits for completion of the response action plan. The commissioner, 25.22notwithstanding the listing of priorities and the goal of maximizing the return of public 25.23benefits, shall make grants that distribute available money to sites both within and outside 25.24of the metropolitan area. The commissioner shall provide a written statement of the 25.25supporting reasons for each grant. Unless sufficient applications are not received for 25.26qualifying sites outside of the metropolitan area, at least 25 percent of the money provided 25.27as grants must be made for sites located outside of the metropolitan area.25.28    Sec. 6. Minnesota Statutes 2006, section 116J.575, subdivision 1, is amended to read:25.29    Subdivision 1. Commissioner discretion. The commissioner may make a grant for 25.30up to 50 percent of the eligible costs of a project. The determination of whether to make a 25.31grant for a site is within the discretion of the commissioner, subject to this section and 25.32sections 
         116J.571 to 
         116J.574 and available unencumbered money in the redevelopment 25.33account. For grants made in fiscal years 2008 and 2009, at least 75 percent of the available 25.34grant funds must be used for grants in greater Minnesota. For grants made in fiscal year 25.352010 and later, at least 50 percent of the available grant funds must be used for grants 26.1in greater Minnesota. If the commissioner determines that the applications for grants 26.2for projects in greater Minnesota are less than the amount of grant funds available, the 26.3commissioner may make grants for projects anywhere in Minnesota. The commissioner's 26.4decisions and application of the priorities under this section are not subject to judicial 26.5review, except for abuse of discretion.26.6    Sec. 7. Minnesota Statutes 2006, section 116J.575, subdivision 1a, is amended to read:26.7    Subd. 1a. Priorities. (a) If applications for grants exceed the available 26.8appropriations, grants shall be made for sites that, in the commissioner's judgment, provide 26.9the highest return in public benefits for the public costs incurred. "Public benefits" include 26.10job creation, bioscience development, environmental benefits to the state and region, 26.11efficient use of public transportation, efficient use of existing infrastructure, provision of 26.12affordable housing, multiuse development that constitutes community rebuilding rather 26.13than single-use development, crime reduction, blight reduction, community stabilization, 26.14and property tax base maintenance or improvement. In making this judgment, the 26.15commissioner shall give priority to redevelopment projects with one or more of the 26.16following characteristics:26.17    (1) the need for redevelopment in conjunction with contamination remediation needs;26.18    (2) the redevelopment project meets current tax increment financing requirements 26.19for a redevelopment district and tax increments will contribute to the project;26.20    (3) the redevelopment potential within the municipality;26.21    (4) proximity to public transit if located in the metropolitan area; and26.22    (5) redevelopment costs related to expansion of a bioscience business in Minnesota; 26.23and26.24    (5)(6) multijurisdictional projects that take into account the need for affordable 26.25housing, transportation, and environmental impact.26.26    (b) The factors in paragraph (a) are not listed in a rank order of priority; rather, the 26.27commissioner may weigh each factor, depending upon the facts and circumstances, as 26.28the commissioner considers appropriate. The commissioner may consider other factors 26.29that affect the net return of public benefits for completion of the redevelopment plan. The 26.30commissioner, notwithstanding the listing of priorities and the goal of maximizing the 26.31return of public benefits, shall make grants that distribute available money to sites both 26.32within and outside of the metropolitan area. Unless sufficient applications are not received 26.33for qualifying sites outside of the metropolitan area, at least 25 percent of the money 26.34provided as grants must be made for sites located outside of the metropolitan area.27.1    Sec. 8. Minnesota Statutes 2006, section 116J.966, subdivision 1, is amended to read:27.2    Subdivision 1. Generally. (a) The commissioner shall promote, develop, and 27.3facilitate trade and foreign investment in Minnesota. In furtherance of these goals, and in 27.4addition to the powers granted by section 
         116J.035, the commissioner may: 27.5    (1) locate, develop, and promote international markets for Minnesota products 27.6and services;27.7    (2) arrange and lead trade missions to countries with promising international markets 27.8for Minnesota goods, technology, services, and agricultural products;27.9    (3) promote Minnesota products and services at domestic and international trade 27.10shows;27.11    (4) organize, promote, and present domestic and international trade shows featuring 27.12Minnesota products and services;27.13    (5) host trade delegations and assist foreign traders in contacting appropriate 27.14Minnesota businesses and investments;27.15    (6) develop contacts with Minnesota businesses and gather and provide information 27.16to assist them in locating and communicating with international trading or joint venture 27.17counterparts;27.18    (7) provide information, education, and counseling services to Minnesota businesses 27.19regarding the economic, commercial, legal, and cultural contexts of international trade;27.20    (8) provide Minnesota businesses with international trade leads and information 27.21about the availability and sources of services relating to international trade, such as 27.22export financing, licensing, freight forwarding, international advertising, translation, and 27.23custom brokering;27.24    (9) locate, attract, and promote foreign direct investment and business development 27.25in Minnesota to enhance employment opportunities in Minnesota;27.26    (10) provide foreign businesses and investors desiring to locate facilities in 27.27Minnesota information regarding sources of governmental, legal, real estate, financial, and 27.28business services;27.29    (11) enter into contracts or other agreements with private persons and public entities, 27.30including agreements to establish and maintain offices and other types of representation in 27.31foreign countries, to carry out the purposes of promoting international trade and attracting 27.32investment from foreign countries to Minnesota and to carry out this section, without 27.33regard to section 
         16C.06; and 27.34    (12) market trade-related materials to businesses and organizations, and the proceeds 27.35of which must be placed in a special revolving account and are appropriated to the 27.36commissioner to prepare and distribute trade-related materials.28.1    (b) The programs and activities of the commissioner of employment and economic 28.2development and the Minnesota Trade Division may not duplicate programs and activities 28.3of the commissioner of agriculture.28.4    (c) The commissioner shall notify the chairs of the senate Finance and house Ways 28.5and Means Committees of each agreement under this subdivision to establish and maintain 28.6an office or other type of representation in a foreign country.28.7    (d) The Minnesota Trade Office shall serve as the state's office of protocol providing 28.8assistance to official visits by foreign government representatives and shall serve as liaison 28.9to the foreign diplomatic corps in Minnesota.28.10    Sec. 9. Minnesota Statutes 2006, section 116L.01, is amended by adding a subdivision 28.11to read:28.12    Subd. 4.Workforce development intermediaries."Workforce development 28.13intermediaries" means public, private, or nonprofit entities that provide employment 28.14services to low-income individuals and have a demonstrated track record bringing together 28.15employers and workers, private and public funding streams, and other stakeholders to 28.16implement pathways to career advancement for low-income individuals. Entities may 28.17include, but are not limited to, nonprofit organizations, educational institutions, or the 28.18administrative entity of a local workforce service area.28.19    Sec. 10. Minnesota Statutes 2006, section 116L.04, subdivision 1a, is amended to read:28.20    Subd. 1a. Pathways program. The pathways program may provide grants-in-aid 28.21for developing programs which assist in the transition of persons from welfare to work and 28.22assist individuals at or below 200 percent of the federal poverty guidelines. The program 28.23is to be operated by the board. The board shall consult and coordinate with program 28.24administrators at the Department of Employment and Economic Development to design 28.25and provide services for temporary assistance for needy families recipients.28.26    Pathways grants-in-aid may be awarded to educational or other nonprofit training 28.27institutions or to workforce development intermediaries for education and training 28.28programs and services supporting education and training programs that serve eligible 28.29recipients.28.30    Preference shall be given to projects that:28.31    (1) provide employment with benefits paid to employees;28.32    (2) provide employment where there are defined career paths for trainees;28.33    (3) pilot the development of an educational pathway that can be used on a continuing 28.34basis for transitioning persons from welfare to work; and29.1    (4) demonstrate the active participation of Department of Employment and 29.2Economic Development workforce centers, Minnesota State College and University 29.3institutions and other educational institutions, and local welfare agencies.29.4    Pathways projects must demonstrate the active involvement and financial 29.5commitment of private business. Pathways projects must be matched with cash or in-kind 29.6contributions on at least a one-to-one one-half-to-one ratio by participating private 29.7business.29.8    A single grant to any one institution shall not exceed $400,000. A portion of a grant 29.9may be used for preemployment training.29.10    Sec. 11. Minnesota Statutes 2006, section 116L.17, subdivision 1, is amended to read:29.11    Subdivision 1. Definitions. (a) For the purposes of this section, the following terms 29.12have the meanings given them in this subdivision.29.13    (b) "Commissioner" means the commissioner of employment and economic 29.14development.29.15    (c) "Dislocated worker" means an individual who is a resident of Minnesota at the 29.16time employment ceased or was working in the state at the time employment ceased and:29.17    (1) has been permanently separated or has received a notice of permanent separation 29.18from public or private sector employment and is eligible for or has exhausted entitlement 29.19to unemployment benefits, and is unlikely to return to the previous industry or occupation;29.20    (2) has been long-term unemployed and has limited opportunities for employment 29.21or reemployment in the same or a similar occupation in the area in which the individual 29.22resides, including older individuals who may have substantial barriers to employment by 29.23reason of age;29.24    (3) has been terminated or has received a notice of termination of employment as a 29.25result of a plant closing or a substantial layoff at a plant, facility, or enterprise;29.26    (4) has been self-employed, including farmers and ranchers, and is unemployed as a 29.27result of general economic conditions in the community in which the individual resides or 29.28because of natural disasters; or29.29    (4) (5) is a displaced homemaker. A "displaced homemaker" is an individual who 29.30has spent a substantial number of years in the home providing homemaking service and 29.31(i) has been dependent upon the financial support of another; and now due to divorce, 29.32separation, death, or disability of that person, must find employment to self support; or (ii) 29.33derived the substantial share of support from public assistance on account of dependents 29.34in the home and no longer receives such support.30.1    To be eligible under this clause, the support must have ceased while the worker 30.2resided in Minnesota.30.3    (d) "Eligible organization" means a state or local government unit, nonprofit 30.4organization, community action agency, business organization or association, or labor 30.5organization.30.6    (e) "Plant closing" means the announced or actual permanent shutdown of a single 30.7site of employment, or one or more facilities or operating units within a single site of 30.8employment.30.9    (f) "Substantial layoff" means a permanent reduction in the workforce, which is 30.10not a result of a plant closing, and which results in an employment loss at a single site 30.11of employment during any 30-day period for at least 50 employees excluding those 30.12employees that work less than 20 hours per week.30.13    Sec. 12. Minnesota Statutes 2006, section 116L.20, subdivision 1, is amended to read:30.14    Subdivision 1. Determination and collection of special assessment. (a) In addition 30.15to amounts due from an employer under the Minnesota unemployment insurance program, 30.16each employer, except an employer making reimbursements is liable for a special 30.17assessment levied at the rate of .10 percent per year for calendar years 2006 and 2007 on 30.18all taxable wages, as defined in section 
         268.035, subdivision 24. Beginning January 1, 30.192008, the special assessment shall be levied at a rate of .085 percent per year on all taxable 30.20wages. The assessment shall become due and be paid by each employer on the same 30.21schedule and in the same manner as other amounts due from an employer under section 30.22268.051, subdivision 1
         .30.23    (b) The special assessment levied under this section shall be subject to the same 30.24requirements and collection procedures as any amounts due from an employer under the 30.25Minnesota unemployment insurance program.30.26    Sec. 13. Minnesota Statutes 2006, section 116L.666, subdivision 1, is amended to read:30.27    Subdivision 1. Designation of workforce service areas. For the purpose of 30.28administering federal, state, and local employment and training services, the commissioner 30.29shall designate the geographic boundaries for workforce service areas in Minnesota.30.30    The commissioner shall approve a request to be a workforce service area from:30.31    (1) a home rule charter or statutory city with a population of 200,000 or more or a 30.32county with a population of 200,000 or more; or31.1    (2) a consortium of contiguous home rule charter or statutory cities or counties 31.2with an aggregate population of 200,000 or more that serves a substantial part of one or 31.3more labor markets.31.4    The commissioner may approve a request to be a workforce service area from a 31.5home rule charter or statutory city or a county or a consortium of contiguous home 31.6rule charter or statutory cities or counties, without regard to population, that serves a 31.7substantial portion of a labor market area.31.8    The commissioner shall make a final designation of workforce service areas within 31.9the state after consulting with local elected officials and the governor's Workforce 31.10Development Council. Existing service delivery areas designated under the federal Job 31.11Training Partnership Act shall be initially designated as workforce service areas providing 31.12that no other petitions are submitted by local elected officials.31.13    The commissioner may redesignate workforce service areas, upon the advice and 31.14consent of the affected local elected officials, no more frequently than every two years. 31.15These redesignations must be made not later than four months before the beginning of a 31.16program year.31.17    Sec. 14. Minnesota Statutes 2006, section 116M.18, subdivision 6a, is amended to read:31.18    Subd. 6a. Nonprofit corporation loans. The board may make loans to a nonprofit 31.19corporation with which it has entered into an agreement under subdivision 1. These 31.20loans must be used to support a new or expanding business. This support may include 31.21such forms of financing as the sale of goods to the business on installment or deferred 31.22payments, lease purchase agreements, or royalty investments in the business. The interest 31.23rate charged by a nonprofit corporation for a loan under this subdivision must not exceed 31.24the Wall Street Journal prime rate plus four percent. For a loan under this subdivision, the 31.25nonprofit corporation may charge a loan origination fee equal to or less than one percent 31.26of the loan value. The nonprofit corporation may retain the amount of the origination fee. 31.27The nonprofit corporation must provide at least an equal match to the loan received by the 31.28board. The maximum loan available to the nonprofit corporation under this subdivision is 31.29$50,000. Loans made to the nonprofit corporation under this subdivision may be made 31.30without interest. Repayments made by the nonprofit corporation must be deposited in the 31.31revolving fund created for urban initiative grants.31.32    Sec. 15. [116O.115] SMALL BUSINESS GROWTH ACCELERATION 31.33PROGRAM.32.1    Subdivision 1.Establishment; purpose.The small business growth acceleration 32.2program is established. The purpose of the program is to (1) help qualified companies 32.3implement technology and business improvements; and (2) bridge the gap between 32.4standard market pricing for technology and business improvements and what qualified 32.5companies can afford to pay.32.6    Subd. 2.Qualified company.A company is qualified to receive assistance under 32.7the small business growth acceleration program if it is a manufacturing company or a 32.8manufacturing-related service company that employs 100 or fewer full-time equivalent 32.9employees.32.10    Subd. 3.Applications for assistance.A company seeking assistance under the 32.11small business growth acceleration program must file an application according to the 32.12requirements of the corporation. A company's application for small business growth 32.13acceleration program assistance must include documentation of the company's overall plan 32.14for technology and business improvement and prioritize the components of the overall 32.15plan. The application must also document the company's need for small business growth 32.16acceleration program funds in order to carry forward the highest priority components of 32.17the plan.32.18    Subd. 4.Fund awards; use of funds.(a) The corporation shall establish 32.19procedures for determining which applicants for assistance under the small business 32.20growth acceleration program will receive program funding. Funding shall be awarded 32.21only to accelerate a qualified company's adoption of needed technology or business 32.22improvements when the corporation concludes that it is unlikely the improvements could 32.23be accomplished in any other way.32.24    (b) The maximum amount of funds awarded to a qualified company under the small 32.25business growth acceleration program for a particular project must not exceed 50 percent 32.26of the total cost of a project and must not under any circumstances exceed $25,000 during 32.27a calendar year. The corporation shall not award to a qualified company small business 32.28growth acceleration program funds in excess of $50,000 per year.32.29    (c) Any funds awarded to a qualified company under the small business growth 32.30acceleration program must be used for business services and products that will enhance the 32.31operation of the company. These business services and products must come either directly 32.32from the corporation or from a network of expert providers identified and approved by 32.33the corporation. No company receiving small business growth acceleration program 32.34funds may use the funds for refinancing, overhead costs, new construction, renovation, 32.35equipment, or computer hardware.33.1    (d) Any funds awarded must be disbursed to the qualified company as reimbursement 33.2documented according to requirements of the corporation.33.3    Subd. 5.Service agreements.The corporation shall enter a written service 33.4agreement with each company awarded funds under the small business growth acceleration 33.5program. Each service agreement shall clearly articulate the company's need for service, 33.6state the cost of the service, identify who will provide the service, and define the scope of 33.7the service that will be provided. The service agreement must also include an estimate 33.8of the financial impact of the service on the company and require the company to report 33.9the actual financial impact of the service to the corporation 24 months after the service is 33.10provided.33.11    Subd. 6.Reporting.The corporation shall report annually to the legislative 33.12committees with fiscal jurisdiction over the Department of Employment and Economic 33.13Development:33.14    (1) the funds awarded under the small business growth acceleration program during 33.15the past 12 months;33.16    (2) the estimated financial impact of the funds awarded to each company receiving 33.17service under the program; and33.18    (3) the actual financial impact of funds awarded during the past 24 months.33.19    Sec. 16. [179.86] PACKINGHOUSE WORKERS BILL OF RIGHTS.33.20    Subdivision 1.Definitions.For the purposes of this section and section 179.87: 33.21    (1) "employer" means any person or business entity having 25 or more employees 33.22in the meatpacking industry; and33.23    (2) "meatpacking industry" means business operations in which slaughtering, 33.24butchering, meat canning, meat packing, meat manufacturing, poultry canning, poultry 33.25packing, poultry manufacturing, pet food manufacturing, processing of meatpacking 33.26products, or rendering is carried on. Meatpacking products include livestock and poultry 33.27products.33.28    Subd. 2.Right to adequate facilities.An employer must provide its employees:33.29    (1) adequate and working restroom facilities;33.30    (2) adequate room for meal and rest breaks;33.31    (3) adequate locker facilities; and33.32    (4) adequate time for necessary restroom and meal breaks as required under chapter 33.33177; United States Code, title 29, chapter 15; and United States Code, title 42, chapter 33.34126, or a valid collective bargaining agreement.34.1    Subd. 3.Right to adequate equipment and training.An employer must furnish its 34.2employees with equipment and training that is adequate to perform the job task assigned. 34.3An employer must make ongoing skill development and training opportunities, including 34.4supervisory training, available to employees.34.5    Subd. 4.Information provided to employee by employer.(a) An employer must 34.6provide an explanation in an employee's native language of the employee's rights and 34.7duties as an employee either person-to-person or through written materials as required 34.8by state or federal law, or a valid collective bargaining agreement that, at a minimum, 34.9includes:34.10    (1) a complete description of the salary and benefits plans as they relate to the 34.11employee as required under chapter 181;34.12    (2) a job description for the employee's position as required under chapter 181;34.13    (3) a description of leave policies as required under chapter 181 and United States 34.14Code, title 29, chapter 28;34.15    (4) a description of the work hours and work hours policy as required under chapter 34.16181; United States Code, title 29, chapter 201; or a valid collective bargaining agreement; 34.17and34.18    (5) a description of the occupational hazards known to exist for the position as 34.19required under chapters 181 and 182 and United States Code, title 29, chapter 15.34.20    (b) The explanation must also include information on the following employee rights 34.21as protected by state or federal law and a description of where additional information 34.22about those rights may be obtained:34.23    (1) the right to organize and bargain collectively as required under this chapter and 34.24chapter 177, and United States Code, title 29, chapter 7;34.25    (2) the right to a safe workplace as required under chapters 181 and 182 and United 34.26States Code, title 29, chapter 15; and34.27    (3) the right to be free from discrimination as required under this chapter and 34.28chapters 181, 182, and 363A, and United States Code, title 42, chapter 21.34.29    Subd. 5.Civil action.A person aggrieved as a result of a violation of this section 34.30may file suit in any district court of this state. If the court finds that the respondent has 34.31intentionally violated this section, the court may award damages up to and including an 34.32amount equal to the original damages and may provide injunctive relief.34.33    Subd. 6.Criminal penalty.An employer who violates this section is guilty of a 34.34misdemeanor.35.1    Sec. 17. [179.87] MEATPACKING INDUSTRY WORKERS RIGHTS 35.2OMBUDSMAN.35.3    Subdivision 1.Position established.The position of meatpacking industry workers 35.4rights ombudsman is established within the Department of Labor and Industry. The 35.5ombudsman shall be an employee of the department. The ombudsman shall be appointed 35.6by the commissioner in consultation with the chairs of the standing committees of the 35.7senate and house of representatives with jurisdiction over labor and employment issues in 35.8accordance with the preference established in subdivision 5.35.9    Subd. 2.Duties.The ombudsman shall inspect and review the practices and 35.10procedures of meatpacking operations in the state. The ombudsman shall work to ensure 35.11workers rights under section 179.86 are protected.35.12    Subd. 3.Access.The ombudsman or designated representatives of the ombudsman 35.13shall have access to all meatpacking operations in the state at any time meatpacking 35.14products are being processed and industry workers are on the job.35.15    Subd. 4.Office.Necessary office space, furniture, equipment, and supplies as 35.16well as necessary assistance for the ombudsman shall be provided by the Department of 35.17Labor and Industry.35.18    Subd. 5.Language preference.Preference shall be given to applicants for the 35.19ombudsman position who are fluent in languages in addition to English.35.20    Subd. 6.Report.The ombudsman shall, on or before December 1 of each year, 35.21submit a report to the members of the legislature and the governor regarding any 35.22recommended actions the ombudsman deems necessary or appropriate to provide for the 35.23fair treatment of workers in the meatpacking industry.35.24    Sec. 18. Minnesota Statutes 2006, section 179A.04, subdivision 3, is amended to read:35.25    Subd. 3. Other duties. (a) The commissioner shall:35.26    (1) provide mediation services as requested by the parties until the parties reach 35.27agreement, and may continue to assist parties after they have submitted their final 35.28positions for interest arbitration;35.29    (2) issue notices, subpoenas, and orders required by law to carry out duties under 35.30sections 
         179A.01 to 
         179A.25; 35.31    (3) assist the parties in formulating petitions, notices, and other papers required to 35.32be filed with the commissioner;35.33    (4) conduct elections;35.34    (5) certify the final results of any election or other voting procedure conducted 35.35under sections 
         179A.01 to 
         179A.25; 36.1    (6) adopt rules relating to the administration of this chapter and the conduct of 36.2hearings and elections;36.3    (7) receive, catalogue, file, and make available to the public all decisions of 36.4arbitrators and panels authorized by sections 
         179A.01 to 
         179A.25, all grievance arbitration 36.5decisions, and the commissioner's orders and decisions; 36.6    (8) adopt, subject to chapter 14, a grievance procedure that fulfills the purposes of 36.7section 
         179A.20, subdivision 4, that is available to any employee in a unit not covered by 36.8a contractual grievance procedure; 36.9    (9) maintain a schedule of state employee classifications or positions assigned to 36.10each unit established in section 
         179A.10, subdivision 2; 36.11    (10) collect fees established by rule for empanelment of persons on the labor 36.12arbitrator roster maintained by the commissioner or in conjunction with fair share fee 36.13challenges. Arbitrator application fees will be $100 per year for initial applications and 36.14renewals effective July 1, 2007;36.15    (11) provide technical support and assistance to voluntary joint labor-management 36.16committees established for the purpose of improving relationships between exclusive 36.17representatives and employers, at the discretion of the commissioner;36.18    (12) provide to the parties a list of arbitrators as required by section 
         179A.16, 36.19subdivision 4
         ; and 36.20    (13) maintain a list of up to 60 arbitrators for referral to employers and exclusive 36.21representatives for the resolution of grievance or interest disputes. Each person on the 36.22list must be knowledgeable about collective bargaining and labor relations in the public 36.23sector, well versed in state and federal labor law, and experienced in and knowledgeable 36.24about labor arbitration. To the extent practicable, the commissioner shall appoint members 36.25to the list so that the list is gender and racially diverse.36.26    (b) From the names provided by representative organizations, the commissioner 36.27shall maintain a list of arbitrators to conduct teacher discharge or termination hearings 36.28according to section 
         122A.40 or 
         122A.41. The persons on the list must meet at least 36.29one of the following requirements: 36.30    (1) be a former or retired judge;36.31    (2) be a qualified arbitrator on the list maintained by the bureau;36.32    (3) be a present, former, or retired administrative law judge; or36.33    (4) be a neutral individual who is learned in the law and admitted to practice in 36.34Minnesota, who is qualified by experience to conduct these hearings, and who is without 36.35bias to either party.37.1    Each year, education Minnesota shall provide a list of up to 14 names and the 37.2Minnesota School Boards Association a list of up to 14 names of persons to be on the list. 37.3The commissioner may adopt rules about maintaining and updating the list.37.4    Sec. 19. Minnesota Statutes 2006, section 181.78, is amended by adding a subdivision 37.5to read:37.6    Subd. 4.Forfeiture of employer rights.(a) This subdivision applies to an 37.7invention or proposal by an employee in which the employer has an enforceable interest 37.8by contract or otherwise.37.9    (b) An employer who has a right to develop or utilize an invention or proposal 37.10must make a substantial investment in the invention or proposal within five years of the 37.11submission of the invention or proposal or forfeit all rights and interests in the invention 37.12or proposal to the employee.37.13    (c) An employee who has acquired the rights and interests of an employer under 37.14paragraph (b) may transfer that interest in the invention or proposal to anyone.37.15    (d) An employer must notify in writing an employee who submits an invention or 37.16proposal to the employer of the employee's right under this subdivision within ten days of 37.17the submission. The employer must date and describe the proposal or invention received 37.18by the employer and provide a copy to the employee.37.19    Sec. 20. [181A.115] PROHIBITED EMPLOYMENT RELATING TO THE 37.20PRESENCE OF LIQUOR.37.21    No minor under the age of 18 shall be employed in any rooms constituting the place 37.22in which intoxicating liquors or 3.2 percent malt liquors are served or consumed or in any 37.23tasks involving the serving, dispensing, or handling of such liquors that are consumed on 37.24the premises except that:37.25    (1) minors who have reached the age of 16 may be employed to perform busing or 37.26dishwashing services in those rooms or areas of a restaurant, hotel, motel, or resort where 37.27the presence of intoxicating liquor is incidental to food service or preparation; 37.28    (2) minors who have reached the age of 16 may be employed to perform busing or 37.29dishwashing services or to provide waiter or waitress service in rooms or areas where the 37.30presence of 3.2 percent malt liquor is incidental to food service or preparation;37.31    (3) minors who have reached the age of 16 may be employed to provide musical 37.32entertainment in those rooms or areas where the presence of intoxicating liquor and 3.237.33percent malt liquor is incidental to food service or preparation; and 38.1    (4) minors are not prevented from working at tasks which are not prohibited by law 38.2in establishments where liquor is sold, served, dispensed, or handled in those rooms or 38.3areas where no liquor is consumed or served.38.4    Sec. 21. Minnesota Statutes 2006, section 182.65, subdivision 2, is amended to read:38.5    Subd. 2. Legislative findings and purpose. The legislature finds that the burden on 38.6employers and employees of this state resulting from personal injuries and illnesses arising 38.7out of work situations is substantial; that the prevention of these injuries and illnesses is an 38.8important objective of the government of this state; that the greatest hope of attaining this 38.9objective lies in programs of research and education, and in the earnest cooperation of 38.10government, employers and employees; and that a program of regulation and enforcement 38.11is a necessary supplement to these more basic programs.38.12    The legislature declares it to be its purpose and policy through the exercise of its 38.13powers to assure so far as possible every worker in the state of Minnesota safe and 38.14healthful working conditions and to preserve our human resources by:38.15    (a) authorizing the Occupational Safety and Health Advisory Council to advise, 38.16consult with or recommend on any matters relating to the Minnesota occupational 38.17safety and health plan to the commissioner of labor and industry and by authorizing the 38.18commissioner of labor and industry to promulgate and enforce mandatory occupational 38.19safety and health standards applicable to employers and employees in the state of 38.20Minnesota;38.21    (b) encouraging employers and employees to increase their efforts to reduce the 38.22number of occupational safety and health hazards at their places of employment, and to 38.23stimulate employers and employees to institute new and to perfect existing programs for 38.24providing safe and healthful working conditions;38.25    (c) providing that employers and employees have separate but dependent 38.26responsibilities and rights with respect to achieving safe and healthful working conditions;38.27    (d) providing for research in the field of occupational safety and health; including 38.28the psychological factors involved, and by developing innovative methods, techniques, 38.29and approaches for dealing with occupational safety and health problems;38.30    (e) exploring ways to discover latent diseases, establishing causal connections 38.31between diseases and work in environmental conditions, and conducting other research 38.32relating to health problems, in recognition of the fact that occupational health standards 38.33present problems often different from those involved in occupational safety;38.34    (f) utilizing advances already made by federal laws and regulations providing safe 38.35and healthful working conditions;39.1    (g) providing criteria which will assure insofar as practicable that no employee 39.2will suffer diminished health, functional capacity, or life expectancy as a result of work 39.3experience;39.4    (h) providing an effective enforcement program which shall include locating 39.5enforcement personnel in areas of the state with a higher incidence of workplace fatalities, 39.6injuries, and complaints and a prohibition against giving advance notice of an inspection 39.7and sanctions for any individual violating this prohibition;39.8    (i) providing for appropriate reporting procedures with respect to occupational 39.9safety and health, which procedures will help achieve the objectives of this chapter and 39.10accurately describe the nature of the occupational safety and health problem;39.11    (j) encouraging joint labor-management efforts to reduce injuries and diseases 39.12arising out of employment;39.13    (k) providing consultation to employees and employers which will aid them in 39.14complying with their responsibilities under this chapter where such consultation does not 39.15interfere with the effective enforcement of this chapter; and39.16    (l) providing for training programs to increase the number and competence of 39.17personnel engaged in the field of occupational safety and health.39.18    Sec. 22. [182.6551] CITATION.39.19    Sections 182.6551 to 182.6553 may be cited as the "Safe Patient Handling Act."39.20    Sec. 23. [182.6552] DEFINITIONS.39.21    Subdivision 1.Direct patient care worker."Direct patient care worker" means an 39.22individual doing the job of directly providing physical care to patients including nurses, as 39.23defined by section 148.171, who provide physical care to patients.39.24    Subd. 2.Health care facility."Health care facility" means a hospital as defined in 39.25section 144.50, subdivision 2; an outpatient surgical center as defined in section 144.55, 39.26subdivision 2; and a nursing home as defined in section 144A.01, subdivision 5.39.27    Subd. 3.Safe patient handling."Safe patient handling" means a process, based on 39.28scientific evidence on causes of injuries, that uses safe patient handling equipment rather 39.29than people to transfer, move, and reposition patients in all health care facilities to reduce 39.30workplace injuries. This process also reduces the risk of injury to patients.39.31    Subd. 4.Safe patient handling equipment."Safe patient handling equipment" 39.32means engineering controls, lifting and transfer aids, or mechanical assistive devices used 39.33by nurses and other direct patient care workers instead of manual lifting to perform the 39.34acts of lifting, transferring, and repositioning health care facility patients and residents.40.1    Sec. 24. [182.6553] SAFE PATIENT HANDLING PROGRAM.40.2    Subdivision 1.Safe patient handling program required.(a) By July 1, 2008, 40.3every licensed health care facility in the state shall adopt a written safe patient handling 40.4policy establishing the facility's plan to achieve by January 1, 2011, the goal of minimizing 40.5manual lifting of patients by nurses and other direct patient care workers by utilizing 40.6safe patient handling equipment.40.7    (b) The program shall address:40.8    (1) assessment of hazards with regard to patient handling;40.9    (2) the acquisition of an adequate supply of appropriate safe patient handling 40.10equipment;40.11    (3) initial and ongoing training of nurses and other direct patient care workers on 40.12the use of this equipment;40.13    (4) procedures to ensure that physical plant modifications and major construction 40.14projects are consistent with program goals; and 40.15    (5) periodic evaluations of the safe patient handling program.40.16    Subd. 2.Safe patient handling committee.(a) By July 1, 2008, every licensed 40.17health care facility in the state shall establish a safe patient handling committee either by 40.18creating a new committee or assigning the functions of a safe patient handling committee 40.19to an existing committee.40.20    (b) Membership of a safe patient handling committee or an existing committee must 40.21meet the following requirements: 40.22    (1) at least half the members shall be nonmanagerial nurses and other direct patient 40.23care workers; and 40.24    (2) in a health care facility where nurses and other direct patient care workers 40.25are covered by a collective bargaining agreement, the union shall select the committee 40.26members proportionate to its representation of nonmanagerial workers, nurses, and other 40.27direct patient care workers.40.28    (c) A health care organization with more than one covered health care facility may 40.29establish a committee at each facility or one committee to serve this function for all the 40.30facilities. If the organization chooses to have one overall committee for multiple facilities, 40.31at least half of the members of the overall committee must be nonmanagerial nurses and 40.32other direct patient care workers and each facility must be represented on the committee.40.33    (d) Employees who serve on a safe patient handling committee must be compensated 40.34by their employer for all hours spent on committee business.40.35    Subd. 3.Facilities with existing programs.A facility that has already adopted a 40.36safe patient handling policy that satisfies the requirements of subdivision 1, and established 41.1a safe patient handling committee by July 1, 2008, is considered to be in compliance 41.2with those requirements. The committee must continue to satisfy the requirements of 41.3subdivision 2, paragraph (b), on an ongoing basis. 41.4    Subd. 4.Committee duties.A safe patient handling committee shall:41.5    (1) complete a patient handling hazard assessment that: 41.6    (i) considers patient handling tasks, types of nursing units, patient populations, and 41.7the physical environment of patient care areas; 41.8    (ii) identifies problems and solutions; 41.9    (iii) identifies areas of highest risk for lifting injuries; and 41.10    (iv) recommends a mechanism to report, track, and analyze injury trends;41.11    (2) make recommendations on the purchase, use, and maintenance of an adequate 41.12supply of appropriate safe patient handling equipment;41.13    (3) make recommendations on training of nurses and other direct patient care 41.14workers on use of safe patient handling equipment, initially when the equipment arrives at 41.15the facility and periodically afterwards;41.16    (4) conduct annual evaluations of the safe patient handling implementation plan and 41.17progress toward goals established in the safe patient handling policy; and41.18    (5) recommend procedures to ensure that, when remodeling of patient care areas 41.19occurs, the plans incorporate safe patient handling equipment or the physical space and 41.20construction design needed to accommodate safe patient handling equipment at a later date.41.21    Subd. 5.Training materials.The commissioner shall make training materials on 41.22implementation of this section available to all health care facilities at no cost as part of the 41.23training and education duties of the commissioner under section 182.673.41.24    Subd. 6.Enforcement.This section shall be enforced by the commissioner under 41.25section 182.661. A violation of this section is subject to the penalties provided under 41.26section 182.666.41.27    Subd. 7.Grant program.The commissioner may make grants to health care 41.28facilities to acquire safe patient handling equipment and for training on safe patient 41.29handling and safe patient handling equipment. Grants to any one facility may not exceed 41.30$40,000. A grant must be matched on a dollar-for-dollar basis by the grantee. The 41.31commissioner shall establish a grant application process. The commissioner may give 41.32priority for grants to facilities that demonstrate that acquiring safe patient handling 41.33equipment will impose a financial hardship on the facility. For health care facilities 41.34that provide evidence of hardship, the commissioner may waive the 50 percent match 41.35requirement and may grant such a facility more than $40,000. Health care facilities that 42.1the commissioner determines are experiencing hardship shall not be required to meet the 42.2safe patient handling requirements until July 1, 2012.42.3    Sec. 25. Minnesota Statutes 2006, section 268.085, subdivision 3, is amended to read:42.4    Subd. 3. Payments that delay unemployment benefits. (a) An applicant shall not 42.5be eligible to receive unemployment benefits for any week with respect to which the 42.6applicant is receiving, has received, or has filed for payment, equal to or in excess of the 42.7applicant's weekly unemployment benefit amount, in the form of:42.8    (1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause 42.9shall not apply to vacation pay paid upon a permanent separation from employment;42.10    (2) severance pay, bonus pay, sick pay, and any other money payments, except 42.11earnings under subdivision 5, and back pay under subdivision 6, paid by an employer 42.12because of, upon, or after separation from employment, but only if the money payment is 42.13considered wages at the time of payment under section 
         268.035, subdivision 29, or United 42.14States Code, title 26, section 3121, clause (2), of the Federal Insurance Contribution Act;. 42.15This clause does not apply to the first $10,000 of any amount of severance pay, bonus 42.16pay, sick pay, or any other payments paid to an employee with annual salary or wages 42.17under $75,000; or42.18    (3) pension, retirement, or annuity payments from any plan contributed to by a base 42.19period employer including the United States government, except Social Security benefits 42.20which are provided for in subdivision 4. The base period employer contributed to the 42.21plan if the contribution is excluded from the definition of wages under section 
         268.035, 42.22subdivision 29
         , clause (1), or United States Code, title 26, section 3121, clause (2), of 42.23the Federal Insurance Contribution Act.42.24    An applicant shall not be considered to have received the lump sum payment if the 42.25applicant immediately deposits that payment in a qualified pension plan or account; or42.26    (4) holiday pay.42.27    (b) This subdivision shall apply to all the weeks of payment and shall be applied to 42.28the period immediately following the last day of employment. The number of weeks of 42.29payment shall be determined as follows:42.30    (1) if the payments are made periodically, the total of the payments to be received 42.31shall be divided by the applicant's last level of regular weekly pay from the employer; or42.32    (2) if the payment is made in a lump sum, that sum shall be divided by the applicant's 42.33last level of regular weekly pay from the employer.42.34    (c) If the payment is less than the applicant's weekly unemployment benefit amount, 42.35unemployment benefits shall be reduced by the amount of the payment. If the computation 43.1of reduced unemployment benefits is not a whole dollar, it shall be rounded down to the 43.2next lower whole dollar.43.3EFFECTIVE DATE.This section is effective for unemployment benefits paid on 43.4or after January 1, 2006, regardless of when the continued request was filed or the week 43.5for which the unemployment benefits are paid.43.6    Sec. 26. Minnesota Statutes 2006, section 268.196, is amended by adding a subdivision 43.7to read:43.8    Subd. 5.Unemployment insurance benefits telephone system.The commissioner 43.9must ensure that the telephone system used for unemployment insurance benefits provides 43.10an option for any caller to speak to an unemployment insurance specialist. An individual 43.11who calls any of the publicized telephone numbers seeking information about applying for 43.12benefits or on the status of a claim must have the option to speak on the telephone to a 43.13specialist who can provide direct assistance or can direct the caller to the person or office 43.14that is able to respond to the caller's needs.43.15    Sec. 27. Minnesota Statutes 2006, section 268A.01, subdivision 13, is amended to read:43.16    Subd. 13. Supported employment.(a) "Supported employment" means 43.17employment of a person with a disability so severe that the person needs ongoing training 43.18and support to get and keep a job in which:43.19    (1) the person engages in paid work in a position removed from the service vendor's 43.20site where individuals without disabilities who do not require public subsidies also may 43.21be employed;43.22    (2) public funds are necessary to provide ongoing training and support services 43.23throughout the period of the person's employment; and43.24    (3) the person has the opportunity for social interaction with individuals who do not 43.25have disabilities and who are not paid caregivers.43.26    (b) If the commissioner has certified a rehabilitation facility setting as integrated, 43.27then employment at that site may be considered supported employment.43.28    Sec. 28. Minnesota Statutes 2006, section 268A.01, is amended by adding a 43.29subdivision to read:43.30    Subd. 14.Affirmative business enterprise employment."Affirmative business 43.31enterprise employment" means employment which provides paid work on the premises of 43.32an affirmative business enterprise as certified by the commissioner.44.1    Affirmative business enterprise employment is considered community employment 44.2for purposes of funding under Minnesota Rules, parts 3300.1000 to 3300.2055, provided 44.3that the wages for individuals reported must be at or above customary wages for the 44.4same employer. The employer must also provide one benefit package that is available to 44.5all employees.44.6    Sec. 29. Minnesota Statutes 2006, section 268A.085, subdivision 1, is amended to read:44.7    Subdivision 1. Appointment; membership. Every city, town, county, nonprofit 44.8corporation, or combination thereof establishing a rehabilitation facility shall appoint a 44.9rehabilitation facility board of no fewer than nineseven voting members before becoming 44.10eligible for the assistance provided by sections 
         268A.06 to 
         268A.15. When any city, 44.11town, or county singly establishes such a rehabilitation facility, the board shall be 44.12appointed by the chief executive officer of the city or the chair of the governing board 44.13of the county or town. When any combination of cities, towns, counties, or nonprofit 44.14corporations establishes a rehabilitation facility, the chief executive officers of the cities, 44.15nonprofit corporations, and the chairs of the governing bodies of the counties or towns 44.16shall appoint the board. If a nonprofit corporation singly establishes a rehabilitation 44.17facility, the corporation shall appoint the board of directors. Membership on a board 44.18shall be representative of the community served and shall include a person with a 44.19disability. One-third to one-half of the board shall be representative of industry or 44.20business. The remaining members should be representative of lay associations for persons 44.21with a disability, labor, the general public, and education, welfare, medical, and health 44.22professions. Nothing in sections 268A.06 to 268A.15 shall be construed to preclude 44.23the appointment of elected or appointed public officials or members of the board of 44.24directors of the sponsoring nonprofit corporation to the board, so long as the representation 44.25described above is preserved. If a county establishes an extended employment program 44.26and manages the program with county employees, the governing board shall be the county 44.27board of commissioners, and other provisions of this chapter pertaining to membership on 44.28the governing board do not apply. 44.29    Sec. 30. Minnesota Statutes 2006, section 268A.15, is amended by adding a 44.30subdivision to read:44.31    Subd. 9.Integrated setting.At the commissioner's discretion, paid work on the 44.32premises of a rehabilitation facility may be certified as an integrated setting after a site 44.33review by the department.45.1    Sec. 31. [325E.259] CUSTOMER SALES OR SERVICE CALL CENTER 45.2REQUIREMENTS.45.3    Subdivision 1.Definitions.For purposes of this section, the following terms have 45.4the meanings given them.45.5    (1) "Customer sales and service call center" means an entity whose primary purpose 45.6includes the initiating or receiving of telephonic communications on behalf of any person 45.7for the purpose of initiating telephone solicitations as defined in section 325E.311, 45.8subdivision 6.45.9    (2) "Customer service call center" means an entity whose primary purpose includes 45.10the initiating or receiving of telephonic communications on behalf of any person for the 45.11purposes of providing or receiving services or information necessary in connection with 45.12the providing of services or other benefits.45.13    (3) "Customer services employee" means a person employed by or working on 45.14behalf of a customer sales call center or a customer service call center.45.15    Subd. 2.Customers' right to customer sales or customer service call center 45.16information.(a) An individual who is a Minnesota resident who receives a telephone call 45.17from, or places a telephone call to, a customer sales call center or a customer service call 45.18center, upon request, has the right to know the identification of the state or country where 45.19the customer service employee is located.45.20    (b) An individual who is a Minnesota resident who receives a telephone solicitation 45.21from, or places a telephone call to, a customer sales call center or a customer service call 45.22center located in a foreign country, which requests the Minnesota resident's financial, 45.23credit, or identifying information, has the right, upon reaching a customer service 45.24representative, to request an alternative option to contact a customer sales or service 45.25center located in the United States before the information is given if the alternative 45.26option is available.45.27    Subd. 3.Nonapplicability; business-to-business calls.The rights granted under 45.28this section to an individual who is a Minnesota resident do not apply when the individual 45.29who is a Minnesota resident is making or receiving the call on behalf of a business.45.30    Subd. 4.Violation.It is fraud under section 325F.69 for a person to willfully 45.31violate this section.45.32    Subd. 5.Application to other remedies.Nothing in this section changes the 45.33remedies currently available under state or federal law or creates additional or new 45.34remedies.45.35EFFECTIVE DATE.This section is effective August 1, 2007.46.1    Sec. 32. Minnesota Statutes 2006, section 462.39, is amended by adding a subdivision 46.2to read:46.3    Subd. 5.Local planning assistance.A regional development commission or, 46.4in regions not served by regional development commissions, a regional organization 46.5selected by the commissioner of employment and economic development, may develop a 46.6program to support planning on behalf of local units of government. The local planning 46.7must be related to issues of regional or statewide significance and may include, but is not 46.8limited to, the following:46.9    (1) local planning and development assistance, which may include local zoning 46.10ordinances and land use plans;46.11    (2) community or economic development plans, which may include workforce 46.12development plans, housing development plans and market analysis, JOBZ administration, 46.13grant writing assistance, and grant administration;46.14    (3) environment and natural resources plans, which may include solid waste 46.15management plans, wastewater management plans, and renewable energy development 46.16plans;46.17    (4) rural community health services; and46.18    (5) development of geographical information systems to serve regional needs, 46.19including hardware and software purchases and related labor costs.46.20    Each regional development commission or organization shall submit to the 46.21commissioner of employment and economic development an annual work program 46.22that outlines the work items for the upcoming year and establishes the relationship of 46.23the work items to development issues of regional or statewide significance. The entity 46.24completing the annual work program and identifying the statewide development issues 46.25shall consider input from the Departments of Employment and Economic Development, 46.26Natural Resources, Transportation, Agriculture, Commerce, and other state agencies as 46.27appropriate to the issues.46.28    Sec. 33. WORKFORCE ENHANCEMENT FEE.46.29    If the commissioner of employment and economic development determines that 46.30the need for services under the dislocated worker program substantially exceeds the 46.31resources that will be available for the program, the commissioner may increase the 46.32special assessment levied under Minnesota Statutes, section 116L.20, subdivision 1, to no 46.33more than .12 percent of taxable wages.46.34    Sec. 34. FEDERAL PROCUREMENT LIAISON.47.1    The commissioner of employment and economic development must establish and 47.2operate a technology and commercialization unit in the Department of Employment and 47.3Economic Development. Appropriation for this purpose must be used to: coordinate 47.4public and private efforts to procure federal funding for collaborative research and 47.5development projects of primary benefit to small- and medium-sized businesses; promote 47.6contractual relationships between Minnesota businesses who, as recipients of federal 47.7grants, are prime contractors, and appropriate Minnesota-based subcontractors; assess 47.8the research and development capabilities of small- and medium-sized businesses; 47.9undertake referral activities to link Minnesota companies with federal requests for 47.10proposal opportunities; and develop a framework for Minnesota companies to establish 47.11sole-sourcing relationships with federal agencies.47.12    The commissioner must report to the committees in the house of representatives and 47.13the senate having jurisdiction over bioscience and technology issues on the activities of 47.14the technology and commercialization unit by June 30 of each year.47.15    Sec. 35. LOCATION OF NORTHERN MINNESOTA INSPECTORS.47.16    By December 31, 2007, the commissioner of labor and industry must assign three 47.17occupational safety and health inspectors to one or more offices on the Iron Range and one 47.18inspector to an office in Bemidji.47.19    Sec. 36. ROLE OF STATE LEGISLATURE IN TRADE POLICY.47.20    (a) It shall be the policy of the state that approval for the state to be bound by any 47.21trade agreement requires the consent of the state legislature.47.22    (b) Four state legislative contacts must be informed by the governor when any trade 47.23agreement arrives in the governor's office. The four contacts are the majority and minority 47.24leader of the senate or their designated legislators, and the speaker and minority leader in 47.25the house of representatives or their designated legislators. The legislature declares that 47.26the purposes of the state contacts are to:47.27    (1) serve as the state's official legislative liaisons with the governor and the state 47.28legislature on trade-related matters;47.29    (2) serve as the legislature's designated recipients from the governor of federal 47.30requests for consent to consultation regarding investment, procurement, services, or other 47.31provisions of international trade agreements, which impinge on state law or regulatory 47.32authority reserved to the states;47.33    (3) transmit information regarding federal requests from the governor to all 47.34appropriate legislative committees;48.1    (4) issue a formal request to the Department of Employment and Economic 48.2Development and all appropriate state agencies to provide analysis of all proposed trade 48.3agreements' impact on state legislative authority and the economy of the state;48.4    (5) inform all members of the legislature on a regular basis about ongoing trade 48.5negotiations and dispute settlement proceedings with implications for the state more 48.6generally;48.7    (6) communicate the concerns of the legislature to the governor and the United 48.8States trade representative regarding ongoing and proposed trade negotiations; and 48.9    (7) notify the governor and the United States trade representative of the outcome 48.10of any legislative action.48.11    (c) The following actions are required before the state shall consent to the terms of 48.12a trade agreement:48.13    (1) when a federal trade request has been received, the governor must submit the 48.14request to the legislative contacts on a day both houses are in session. The request must 48.15contain a copy of the final legal text of the agreement together with:48.16    (i) a report by the Department of Employment and Economic Development in 48.17consultation with, at a minimum, the following agencies: Department of Administration, 48.18Department of Labor and Industry, Department of Agriculture, Department of Natural 48.19Resources, and the Minnesota Pollution Control Agency. The report shall include an 48.20analysis of how the agreement of the state to the specific provisions of the agreement 48.21will change or affect existing state law;48.22    (ii) a statement of any administrative action proposed to implement these trade 48.23agreement provisions in the state; and 48.24    (iii) a draft of legislation authorizing the state to sign on to the specific listed 48.25provisions of the agreement in question;48.26    (2) at least one public hearing, with adequate public notice, shall occur before the 48.27legislature votes on the bill; and 48.28    (3) the bill authorizing the state to sign on to specific listed provisions of an 48.29agreement is enacted into law.48.30    (d) It is the sense of this legislature that Congress should pass legislation instructing 48.31the United States trade representative to fully and formally consult individual state 48.32legislatures regarding procurement, services, investment, or any other trade agreement 48.33rules that impact state laws or authority before negotiations begin and as they develop, 48.34and to seek consent from state legislatures in addition to governors prior to binding 48.35states to conform their laws to the terms of international commercial agreements. Such 49.1legislation is necessary to ensure the prior informed consent of the state with regard to 49.2future international trade and investment agreements.49.3    (e) The state attorney general shall notify the United States trade representative of 49.4the policies in paragraph (d) in writing no later than 30 days after its effective date, and 49.5shall provide copies of the notice to the president of the senate, speaker of the house of 49.6representatives, the governor, and the state's congressional delegation.49.7    Sec. 37. STUDY; SAFE PATIENT HANDLING.49.8    (a) The commissioner of labor and industry shall study ways to require workers' 49.9compensation insurers to recognize compliance with Minnesota Statutes, section 49.10182.6553, in the workers' compensation premiums of health care and long-term care 49.11facilities. The commissioner shall report by January 15, 2008, the results of the study 49.12to the chairs of the policy committees of the legislature with primary jurisdiction over 49.13workers' compensation issues.49.14    (b) By January 15, 2008, the commissioner must make recommendations to the 49.15legislature regarding funding sources available to health care facilities for safe patient 49.16handling programs and equipment, including, but not limited to, low interest loans, interest 49.17free loans, and federal, state, or county grants.49.18    Sec. 38. WORK GROUP; SAFE PATIENT HANDLING.49.19    The Minnesota State Council on Disability shall convene a work group comprised 49.20of representatives from the Minnesota Medical Association and other organizations 49.21representing clinics, disability advocates, and direct care workers, to do the following:49.22    (1) assess the current options for and use of safe patient handling equipment in 49.23unlicensed outpatient clinics, physician offices, and dental settings;49.24    (2) identify barriers to the use of safe patient handling equipment in these settings; 49.25and49.26    (3) define clinical settings that move patients to determine applicability of the Safe 49.27Patient Handling Act.49.28    The work group must report to the legislature by January 15, 2008, including 49.29reports to the chairs of the senate and house of representatives committees on workforce 49.30development.49.31    Sec. 39. EFFECT ON RULES.49.32    The commissioner of labor and industry shall amend Minnesota Rules, part 49.335200.0910, to conform to Minnesota Statutes, section 181A.115. The commissioner 50.1may use the good cause exemption in Minnesota Statutes, section 14.388, in adopting 50.2the amendment required by this section.50.3    Sec. 40. PUBLIC FACILITIES AUTHORITY FUNDING.50.4    To the greatest practical extent, projects on the Public Facilities Authority's 2007 50.5intended use plan, the listings for which were based on the Pollution Control Agency's 50.62006 project priority list, shall be carried over to the 2008 intended use plan. Projects that 50.7qualified for funding from the Public Facilities Authority under Laws 2006, chapter 258, 50.8section 21, that could not be certified by the Pollution Control Agency by the applicable 50.9deadline shall have until May 1, 2008, or six months after the Minnesota Supreme Court 50.10issues an opinion in the cities of Maple Lake and Annandale matter, whichever is later, to 50.11obtain the required certification from the Pollution Control Agency.50.12    Sec. 41. REPEALER.50.13Minnesota Statutes 2006, section 16C.18, subdivision 2, is repealed.50.14ARTICLE 450.15LICENSING AND WAGES50.16    Section 1. [154.465] HAIR BRAIDING.50.17    Subdivision 1.Registration.Any person engaged in hair braiding solely for 50.18compensation as a profession, except persons licensed as cosmetologists, shall register 50.19with the Minnesota Board of Barber and Cosmetology Examiners in a form determined 50.20by the board.50.21    Subd. 2.Definition."Hair braiding" means a natural form of hair manipulation that 50.22results in tension on hair strands by beading, braiding, cornrowing, extending, lacing, 50.23locking, sewing, twisting, weaving, or wrapping human hair, natural fibers, synthetic 50.24fibers, and hair extensions into a variety of shapes, patterns, and textures predominantly by 50.25hand and by only using simple braiding devices, and maintenance thereof. Hair braiding 50.26includes what is commonly known as "African-style hair braiding" or "natural hair care" 50.27but is not limited to any particular cultural, ethnic, racial, or religious forms of hair styles. 50.28Hair braiding includes the making of customized wigs from natural hair, natural fibers, 50.29synthetic fibers, and hair extensions. Hair braiding includes the use of topical agents such 50.30as conditioners, gels, moisturizers, oils, pomades, and shampoos. Hair braiding does not 50.31involve the use of penetrating chemical hair treatments, chemical hair coloring agents, 50.32chemical hair straightening agents, chemical hair joining agents, permanent wave styles, 50.33or chemical hair bleaching agents applied to growing human hair. For purposes of this 51.1section, "simple hair braiding devices" means clips, combs, curlers, curling irons, hairpins, 51.2rollers, scissors, needles, thread, and hair binders including adhesives, if necessary, that 51.3are required solely for hair braiding.51.4    Subd. 3.Requirements.In order to qualify for initial registration, any person 51.5engaged in hair braiding solely for compensation as a profession shall satisfactorily 51.6complete instruction at either an accredited school or by an individual, except persons 51.7licensed as cosmetologists approved by the board. Instruction includes coursework 51.8covering the topics of health, safety, sanitation, and state laws related to cosmetology not 51.9to exceed 30 hours. The coursework is encouraged to be provided in a foreign language 51.10format and such availability shall be reported to and posted by the Minnesota Board 51.11of Barber and Cosmetology Examiners.51.12    Subd. 4.Curriculum.An accredited school or an individual approved by the board 51.13desiring to provide the coursework required under subdivision 3 shall have curriculum in 51.14place by January 1, 2008.51.15EFFECTIVE DATE.This section is effective July 1, 2008, except subdivision 4 is 51.16effective the day following final enactment.51.17    Sec. 2. Minnesota Statutes 2006, section 177.27, subdivision 1, is amended to read:51.18    Subdivision 1. Examination of records. The commissioner may enter during 51.19reasonable office hours or upon request and inspect the place of business or employment of 51.20any employer of employees working in the state, to examine and inspect books, registers, 51.21payrolls, and other records of any employer that in any way relate to wages, hours, and 51.22other conditions of employment of any employees. The commissioner may transcribe any 51.23or all of the books, registers, payrolls, and other records as the commissioner deems 51.24necessary or appropriate and may question the employees to ascertain compliance with 51.25sections 
         177.21 to 
         177.35 177.435. The commissioner may investigate wage claims or 51.26complaints by an employee against an employer if the failure to pay a wage may violate 51.27Minnesota law or an order or rule of the department. 51.28    Sec. 3. Minnesota Statutes 2006, section 177.27, subdivision 4, is amended to read:51.29    Subd. 4. Compliance orders. The commissioner may issue an order requiring an 51.30employer to comply with sections 
         177.21 to 
         177.35 177.435, 
         181.02, 
         181.03, 
         181.031, 51.31181.032
         , 
         181.101, 
         181.11, 
         181.12, 
         181.13, 
         181.14, 
         181.145, 
         181.15, and181.79, 181.932, 51.32and 181.9325, or with any rule promulgated under section 
         177.28. The department shall 51.33serve the order upon the employer or the employer's authorized representative in person or 51.34by certified mail at the employer's place of business. An employer who wishes to contest 52.1the order must file written notice of objection to the order with the commissioner within 52.215 calendar days after being served with the order. A contested case proceeding must then 52.3be held in accordance with sections 
         14.57 to 
         14.69. If, within 15 calendar days after being 52.4served with the order, the employer fails to file a written notice of objection with the 52.5commissioner, the order becomes a final order of the commissioner. 52.6    Sec. 4. Minnesota Statutes 2006, section 177.27, subdivision 5, is amended to read:52.7    Subd. 5. Civil actions.(a) The commissioner may bring an action in the district 52.8court where an employer resides or where the commissioner maintains an office to enforce 52.9or require compliance with orders issued under subdivision 4.52.10    (b) If the district court determines that a violation of section 181.932 or 181.9325 52.11occurred, the court may order any appropriate relief, including but not limited to 52.12reinstatement, back pay, restoration of lost service credit, if appropriate, compensatory 52.13damages, and the expungement of any adverse records of a state employee or applicant 52.14for state employment who was the subject of the alleged acts of misconduct, and any 52.15appropriate relief as described in section 181.936.52.16    Sec. 5. Minnesota Statutes 2006, section 177.27, subdivision 8, is amended to read:52.17    Subd. 8. Court actions; suits brought by private parties. An employee may bring 52.18a civil action seeking redress for a violation or violations of sections 
         177.21 to 
         177.3552.19177.44 directly to district court. An employer who pays an employee less than the wages 52.20and overtime compensation to which the employee is entitled under sections 
         177.21 to 52.21177.35177.44 is liable to the employee for the full amount of the wages, gratuities, and 52.22overtime compensation, less any amount the employer is able to establish was actually 52.23paid to the employee and for an additional equal amount as liquidated damages. In 52.24addition, in an action under this subdivision the employee may seek damages and other 52.25appropriate relief provided by subdivision 7 and otherwise provided by law. An agreement 52.26between the employee and the employer to work for less than the applicable wage is not 52.27a defense to the action. 52.28    Sec. 6. Minnesota Statutes 2006, section 177.27, subdivision 9, is amended to read:52.29    Subd. 9. District court jurisdiction. Any action brought under subdivision 8 may 52.30be filed in the district court of the county wherein a violation or violations of sections 52.31177.21
          to 
         177.35177.44 are alleged to have been committed, where the respondent resides 52.32or has a principal place of business, or any other court of competent jurisdiction. The 52.33action may be brought by one or more employees. 53.1    Sec. 7. Minnesota Statutes 2006, section 177.27, subdivision 10, is amended to read:53.2    Subd. 10. Attorney fees and costs. In any action brought pursuant to subdivision 8, 53.3the court shall order an employer who is found to have committed a violation or violations 53.4of sections 
         177.21 to 
         177.35177.44 to pay to the employee or employees reasonable costs, 53.5disbursements, witness fees, and attorney fees. 53.6    Sec. 8. Minnesota Statutes 2006, section 177.27, is amended by adding a subdivision 53.7to read:53.8    Subd. 11.Investigation of certain complaints.(a) The commissioner shall conduct 53.9an investigation of any matter that alleges a violation of sections 181.932 and 181.9325. 53.10The identity of the person providing the information that initiated the investigation shall 53.11be classified as private data, pursuant to section 13.02, subdivision 12, except that the 53.12identity may be disclosed to a law enforcement agency that is conducting a criminal 53.13investigation of the matter.53.14    (b) For each investigation completed, if the commissioner determines that there is 53.15reasonable cause to believe that an employer has violated section 181.932 or 181.9325, 53.16the commissioner shall report the nature and details of the alleged violation to the head 53.17of the employing agency or the appropriate appointing authority. If appropriate, the 53.18commissioner shall report this information to the attorney general, the policy committees 53.19of the house of representatives and senate having jurisdiction over the subject involved, 53.20and to any other authority that the commissioner deems appropriate. In any case 53.21in which the commissioner submits a report of alleged violations to the head of the 53.22employing agency or appropriate appointing authority, that individual shall report to the 53.23commissioner with respect to any action taken by the individual regarding the activity, the 53.24first report being transmitted no later than 30 days after the date of the auditor's report, 53.25and monthly thereafter until final action has been taken.53.26    (c) This subdivision shall not limit any authority conferred upon the attorney general 53.27or other department or agency of government to investigate and prosecute any matter.53.28    (d) The commissioner shall have all the powers and authority described in this 53.29section to conduct investigations pursuant to this subdivision.53.30    Sec. 9. [177.275] INVESTIGATION PROCEDURE.53.31    (a) The commissioner shall initiate an investigation of a written complaint of 53.32reprisal or retaliation in public employment as prohibited by section 181.932 or 181.9325 53.33within ten working days of its submission. The commissioner shall complete findings 53.34of the investigation within 60 working days thereafter, and shall provide a copy of the 54.1findings to the complaining employee or applicant for employment and to the appropriate 54.2supervisor, manager, employee, or appointing authority. When the allegations contained 54.3in a complaint of reprisal or retaliation are the same as, or similar to, those contained in 54.4another appeal, the commissioner may consolidate the appeals into the most appropriate 54.5format. In these cases, the time limits described in this subdivision shall not apply.54.6    (b) If the commissioner finds that the supervisor, manager, employee, or appointing 54.7power retaliated against the complainant for engaging in protected whistle-blower 54.8activities, the commissioner may issue a compliance order under section 177.27, 54.9subdivision 4.54.10    (c) In order for the governor and the legislature to determine the need to continue 54.11or modify state personnel procedures as they relate to the investigations of reprisals or 54.12retaliation for the disclosure of information by public employees, the commissioner, by 54.13June 30 of each year, shall submit a report to the governor and the legislature regarding 54.14complaints filed, hearings held, and legal actions taken under this section.54.15    Sec. 10. Minnesota Statutes 2006, section 177.28, subdivision 1, is amended to read:54.16    Subdivision 1. General authority. The commissioner may adopt rules, including 54.17definitions of terms, to carry out the purposes of sections 
         177.21 to 
         177.35 177.44, to 54.18prevent the circumvention or evasion of those sections, and to safeguard the minimum 54.19wage and overtime rates established by sections 
         177.24 and 
         177.25. 54.20    Sec. 11. Minnesota Statutes 2006, section 177.30, is amended to read:54.21177.30 KEEPING RECORDS; PENALTY.54.22    Every employer subject to sections 
         177.21 to 
         177.35177.44 must make and keep a 54.23record of: 54.24    (1) the name, address, and occupation of each employee;54.25    (2) the rate of pay, and the amount paid each pay period to each employee;54.26    (3) the hours worked each day and each workweek by the employee; and54.27    (4) for each employer subject to sections 177.41 to 177.44, and while performing 54.28work on public works projects funded in whole or in part with state funds, the prevailing 54.29wage master job classification of each employee working on the project for each hour 54.30worked; and54.31    (4) (5) other information the commissioner finds necessary and appropriate to 54.32enforce sections 
         177.21 to 
         177.35. The records must be kept for three years in or near the 54.33premises where an employee works except each employer subject to sections 177.41 to 54.34177.44, and while performing work on public works projects funded in whole or in part 55.1with state funds, the records must be kept for three years after the contracting authority 55.2has made final payment on the public works project. 55.3    The commissioner may fine an employer up to $1,000 for each failure to maintain 55.4records as required by this section. This penalty is in addition to any penalties provided 55.5under section 
         177.32, subdivision 1. In determining the amount of a civil penalty under 55.6this subdivision, the appropriateness of such penalty to the size of the employer's business 55.7and the gravity of the violation shall be considered. 55.8    Sec. 12. Minnesota Statutes 2006, section 177.43, subdivision 3, is amended to read:55.9    Subd. 3. Contract requirements. The contract must specifically state the prevailing 55.10wage rates, prevailing hours of labor, and hourly basic rates of pay. The contract must also 55.11provide that the contracting authority may demand and the contractor or subcontractor 55.12shall furnish to the contracting authority, copies of any and all payrolls, and that the 55.13contracting authority may examine all records relating to wages paid laborers or mechanics 55.14on work to which sections 177.41 to 177.44 apply. The requirements of this subdivision 55.15are in addition to any other requirements or authority set forth in other laws or rules for 55.16work to which sections 177.41 to 177.44 apply.55.17    Sec. 13. Minnesota Statutes 2006, section 177.43, subdivision 4, is amended to read:55.18    Subd. 4. Determination by commissioner; posting; petition for reconsideration.55.19    The prevailing wage rates, prevailing hours of labor, and hourly basic rates of pay for all 55.20trades and occupations required in any project must be ascertained before the state asks for 55.21bids. The commissioner of labor and industry shall investigate as necessary to ascertain 55.22the information. The commissionerEach contractor and subcontractor performing work 55.23on a public project shall keep the information posted on the project in at least one 55.24conspicuous place for the information of the employees working on the project. A person 55.25aggrieved by a final determination of the commissioner may petition the commissioner for 55.26reconsideration of findings. A person aggrieved by a decision of the commissioner after 55.27reconsideration may, within 20 days after the decision, petition the commissioner for a 55.28public hearing in the manner of a contested case under sections 
         14.57 to 
         14.61. 55.29    Sec. 14. Minnesota Statutes 2006, section 177.43, subdivision 6, is amended to read:55.30    Subd. 6. Examination of records; investigation by the department. The 55.31Department of Labor and Industry shall enforce this section. The department may 55.32demand, and the contractor and subcontractor shall furnish to the department, copies 55.33of any or all payrolls. The department may examine all records relating to wages paid 56.1laborers or mechanics on work to which sections 
         177.41 to 
         177.44 apply. The department 56.2shall employ at least three investigators to perform on-site project reviews, receive and 56.3investigate complaints of violations of this section, and conduct training and outreach to 56.4contractors and contracting authorities for public works projects financed in whole or 56.5in part with state funds.56.6    Sec. 15. Minnesota Statutes 2006, section 177.43, is amended by adding a subdivision 56.7to read:56.8    Subd. 6a.Prevailing wage violations.Upon issuing a compliance order to an 56.9employer pursuant to section 177.27, subdivision 4, for violation of sections 177.41 to 56.10177.44, the commissioner shall issue a withholding order to the contracting authority 56.11ordering the contracting authority to withhold payment of sufficient sum to the prime 56.12or general contractor on the project to satisfy the back wages assessed or otherwise 56.13cure the violation, and the contracting authority must withhold the sum ordered until 56.14the compliance order has become a final order of the commissioner and has been fully 56.15paid or otherwise resolved by the employer.56.16    During an investigation of a violation of sections 177.41 to 177.44 which the 56.17commissioner reasonably determines is likely to result in the finding of a violation of 56.18sections 177.41 to 177.44 and the issuance of a compliance order pursuant to section 56.19177.27, subdivision 4, the commissioner may notify the contracting authority of the 56.20determination and the amount expected to be assessed and the contracting authority shall 56.21give the commissioner 90 days' prior notice of the date the contracting authority intends to 56.22make final payment.56.23    Sec. 16. [181.723] INDEPENDENT CONTRACTORS.56.24    Subdivision 1.Scope.The definitions in this subdivision apply to this section.56.25    (a) "Person" means any individual, limited liability corporation, corporation, 56.26partnership, incorporated or unincorporated association, sole proprietorship, joint stock 56.27company, or any other legal or commercial entity.56.28    (b) "Department" means the Department of Labor and Industry.56.29    (c) "Commissioner" means the commissioner of labor and industry or a duly 56.30designated representative of the commissioner who is either an employee of the 56.31Department of Labor and Industry or person working under contract with the Department 56.32of Labor and Industry.56.33    (d) "Individual" means a human being.56.34    (e) "Day" means calendar day unless otherwise provided.57.1    (f) "Knowingly" means knew or could have known with the exercise of reasonable 57.2diligence.57.3    (g) "Document" or "documents" includes papers; books; records; memoranda; data; 57.4contracts; drawings; graphs; charts; photographs; digital, video, and audio recordings; 57.5records; accounts; files; statements; letters; e-mails; invoices; bills; notes; and calendars 57.6maintained in any form or manner.57.7    Subd. 2.Limited application.This section only applies to individuals performing 57.8public or private sector commercial or residential building construction or improvement 57.9services.57.10    Subd. 3.Employee-employer relationship.Except as provided in subdivision 57.114, for purposes of chapters 176, 177, 181A, 182, and 268, as of January 1, 2009, an 57.12individual who performs services for a person that are in the course of the person's trade, 57.13business, profession, or occupation is an employee of that person and that person is an 57.14employer of the individual.57.15    Subd. 4.Independent contractor.An individual is an independent contractor and 57.16not an employee of the person for whom the individual is performing services in the course 57.17of the person's trade, business, profession, or occupation only if (a) the individual holds 57.18a current independent contractor exemption certificate issued by the commissioner; and 57.19(b) the individual is performing services for the person under the independent contractor 57.20exemption certificate as provided in subdivision 6. The requirements in clauses (a) and (b) 57.21must be met in order to qualify as an independent contractor and not as an employee of 57.22the person for whom the individual is performing services in the course of the person's 57.23trade, business, profession, or occupation.57.24    Subd. 5.Application.To obtain an independent contractor exemption certificate, 57.25the individual must submit, in the manner prescribed by the commissioner, a complete 57.26application and the certificate fee required under subdivision 14.57.27    (a) A complete application must include all of the following information:57.28    (1) the individual's full name;57.29    (2) the individual's residence address and telephone number;57.30    (3) the individual's business name, address, and telephone number;57.31    (4) the services for which the individual is seeking an independent contractor 57.32exemption certificate;57.33    (5) the individual's Social Security number;57.34    (6) the individual's or the individual's business federal employer identification 57.35number, if a number has been issued to the individual or the individual's business;58.1    (7) any information or documentation that the commissioner requires by rule that 58.2will assist the department in determining whether to grant or deny the individual's 58.3application; and58.4    (8) The individual's sworn statement that the individual meets all of the following 58.5conditions:58.6    (i) the individual maintains a separate business with the individual's own office, 58.7equipment, materials, and other facilities;58.8    (ii) the individual holds or has applied for a federal employer identification number 58.9or has filed business or self-employment income tax returns with the federal Internal 58.10Revenue Service if the person has performed services in the previous year for which the 58.11individual is seeking the independent contractor exemption certificate;58.12    (iii) the individual operates under contracts to perform specific services for specific 58.13amounts of money and under which the individual controls the means of performing the 58.14services;58.15    (iv) the individual incurs the main expenses related to the service that the individual 58.16performs under contract;58.17    (v) the individual is responsible for the satisfactory completion of services that the 58.18individual contracts to perform and is liable for a failure to complete the service;58.19    (vi) the individual receives compensation for service performed under a contract on 58.20a commission or per-job or competitive bid basis and not on any other basis;58.21    (vii) the individual may realize a profit or suffer a loss under contracts to perform 58.22service;58.23    (viii) the individual has continuing or recurring business liabilities or obligations; and58.24    (ix) the success or failure of the individual's business depends on the relationship of 58.25business receipts to expenditures.58.26    (b) Within 30 days of receiving a complete application and the certificate fee, the 58.27commissioner must either grant or deny the application. The commissioner may deny 58.28an application for an independent contractor exemption certificate if the individual has 58.29not submitted a complete application and certificate fee or if the individual does not 58.30meet all of the conditions for holding the independent contractor exemption certificate. 58.31The commissioner may revoke an independent contractor exemption certificate if the 58.32commissioner determines that the individual no longer meets all of the conditions for 58.33holding the independent contractor exemption certificate, commits any of the actions 58.34set out in subdivision 7, or fails to cooperate with a department investigation into the 58.35continued validity of the individual's certificate. Once issued, an independent contractor 58.36exemption certificate remains in effect for two years unless:59.1    (1) revoked by the commissioner; or59.2    (2) canceled by the individual.59.3    (c) If the department denies an individual's original or renewal application for 59.4an independent contractor exemption certificate or revokes an independent contractor 59.5exemption certificate, the commissioner shall issue to the individual an order denying or 59.6revoking the certificate. The commissioner may issue an administrative penalty order to 59.7an individual or person who commits any of the actions set out in subdivision 7.59.8    (d) An individual or person to whom the commissioner issues an order under 59.9paragraph (c) shall have 30 days after service of the order to request a hearing. The request 59.10for hearing must be in writing and must be served on or faxed to the commissioner at the 59.11address or fax number specified in the order by the 30th day after service of the order. 59.12If the individual does not request a hearing or if the individual's request for a hearing is 59.13not served on or faxed to the commissioner by the 30th day after service of the order, the 59.14order shall become a final order of the commissioner and will not be subject to review 59.15by any court or agency. The date on which a request for hearing is served by mail shall 59.16be the postmark date on the envelope in which the request for hearing is mailed. If the 59.17individual serves or faxes a timely request for hearing, the hearing shall be a contested 59.18case hearing and shall be held in accordance with chapter 14.59.19    Subd. 6.Qualifications for exemption certificate.An individual is performing 59.20services for a person under an independent contractor exemption certificate if:59.21    (a) the individual is performing services listed on the individual's independent 59.22contractor exemption certificate;59.23    (b) at the time the individual is performing services listed on the individual's 59.24independent contractor exemption certificate, the individual meets all of the following 59.25conditions:59.26    (1) the individual maintains a separate business with the individual's own office, 59.27equipment, materials, and other facilities;59.28    (2) the individual holds or has applied for a federal employer identification number 59.29or has filed business or self-employment income tax returns with the federal Internal 59.30Revenue Service if the individual performed services in the previous year for which the 59.31individual has the independent contractor exemption certificate;59.32    (3) the individual is operating under contract to perform the specific services for 59.33the person for specific amounts of money and under which the individual controls the 59.34means of performing the services;59.35    (4) the individual is incurring the main expenses related to the services that the 59.36individual is performing for the person under the contract;60.1    (5) the individual is responsible for the satisfactory completion of the services 60.2that the individual has contracted to perform for the person and is liable for a failure 60.3to complete the services;60.4    (6) the individual receives compensation from the person for the services performed 60.5under the contract on a commission or per-job or competitive bid basis and not on any 60.6other basis;60.7    (7) the individual may realize a profit or suffers a loss under the contract to perform 60.8services for the person;60.9    (8) the individual has continuing or recurring business liabilities or obligations; and60.10    (9) the success or failure of the individual's business depends on the relationship of 60.11business receipts to expenditures.60.12    Subd. 7.Prohibited activities.(a) An individual shall not:60.13    (1) perform work as an independent contractor who meets the qualifications under 60.14subdivision 6, without first obtaining from the department an independent contractor 60.15exemption certificate;60.16    (2) perform work as an independent contractor when the department has denied or 60.17revoked the individual's independent contractor exemption certificate;60.18    (3) transfer to another individual or allow another individual to use the individual's 60.19independent contractor exemption certificate;60.20    (4) alter or falsify an independent contractor exemption certificate;60.21    (5) misrepresent the individual's status as an independent contractor; or60.22    (6) make a false material statement, representation, or certification; omit material 60.23information; or alter, conceal, or fail to file a document required by this section or any rule 60.24promulgated by the commissioner under rulemaking authority set out in this section.60.25    (b) A person shall not:60.26    (1) require an individual through coercion, misrepresentation, or fraudulent means to 60.27adopt independent contractor status;60.28    (2) knowingly misrepresent that an individual who has not been issued an 60.29independent contractor exemption certificate or is not performing services for the person 60.30under an independent contractor exemption certificate is an independent contractor; or60.31    (3) make a false material statement, representation, or certification; omit material 60.32information; or alter, conceal, or fail to file a document required by this section or any rule 60.33promulgated by the commissioner under rulemaking authority set out in this section.60.34    (c) A person for whom an individual is performing services must obtain a copy of the 60.35individual's independent contractor exemption certificate before services may commence. 61.1A copy of the independent contractor exemption certificate must be retained for five years 61.2from the date of receipt by the person for whom an individual is performing services.61.3    Subd. 8.Remedies. An individual or person who violates any provision of 61.4subdivision 7 is subject to a penalty to be assessed by the department of up to $5,000 for 61.5each violation. The department shall deposit penalties in the assigned risk safety account.61.6    Subd. 9.Commissioner's powers.(a) In order to carry out the purposes of this 61.7section, the commissioner may:61.8    (1) administer oaths and affirmations, certify official acts, interview, question, take 61.9oral or written statements, and take depositions;61.10    (2) request, examine, take possession of, photograph, record, and copy any 61.11documents, equipment, or materials;61.12    (3) at a time and place indicated by the commissioner, request persons to appear 61.13before the commissioner to give testimony and produce documents, equipment, or 61.14materials;61.15    (4) issue subpoenas to compel persons to appear before the commissioner to give 61.16testimony and produce documents, equipment, or materials; and61.17    (5) with or without notice, enter without delay upon any property, public or private, 61.18for the purpose of taking any action authorized under this subdivision or the applicable 61.19law, including obtaining information or conducting inspections or investigations.61.20    (b) Persons requested by the commissioner to give testimony or produce documents, 61.21equipment, or materials shall respond within the time and in the manner specified by the 61.22commissioner. If no time to respond is specified in the request, then a response shall be 61.23submitted within 30 days of the commissioner's service of the request.61.24    (c) Upon the refusal or anticipated refusal of a property owner, lessee, property 61.25owner's representative, or lessee's representative to permit the commissioner's entry onto 61.26property as provided in paragraph (a), the commissioner may apply for an administrative 61.27inspection order in the Ramsey County District Court or, at the commissioner's discretion, 61.28in the district court in the county in which the property is located. The commissioner may 61.29anticipate that a property owner or lessee will refuse entry if the property owner, lessee, 61.30property owner's representative, or lessee's representative has refused to permit entry on a 61.31prior occasion or has informed the commissioner that entry will be refused. Upon showing 61.32of administrative probable cause by the commissioner, the district court shall issue an 61.33administrative inspection order that compels the property owner or lessee to permit the 61.34commissioner to enter the property for the purposes specified in paragraph (a).62.1    (d) Upon the application of the commissioner, a district court shall treat the failure of 62.2any person to obey a subpoena lawfully issued by the commissioner under this subdivision 62.3as a contempt of court.62.4    Subd. 10.Notice requirements.Unless otherwise specified, service of a document 62.5on a person under this section may be by mail, by personal service, or in accordance with 62.6any consent to service filed with the commissioner. Service by mail shall be accomplished 62.7in the manner provided in Minnesota Rules, part 1400.5550, subpart 2. Personal service 62.8shall be accomplished in the manner provided in Minnesota Rules, part 1400.5550, 62.9subpart 3.62.10    Subd. 11.Facsimile; timely service.When this section permits a request for 62.11hearing to be served by facsimile on the commissioner, the facsimile shall not exceed 15 62.12pages in length. The request shall be considered timely served if the facsimile is received 62.13by the commissioner, at the facsimile number identified by the commissioner in the order, 62.14no later than 4:30 p.m. central time on the last day permitted for faxing the request. 62.15Where the quality or authenticity of the faxed request is at issue, the commissioner 62.16may require the original request to be filed. Where the commissioner has not identified 62.17quality or authenticity of the faxed request as an issue and the request has been faxed in 62.18accordance with this subdivision, the person faxing the request does not need to file the 62.19original request with the commissioner.62.20    Subd. 12.Time period computation.In computing any period of time prescribed 62.21or allowed by this section, the day of the act, event, or default from which the designated 62.22period of time begins to run shall not be included. The last day of the period so computed 62.23shall be included, unless it is a Saturday, Sunday, or legal holiday, in which event the 62.24period runs until the next day which is not a Saturday, Sunday, or legal holiday.62.25    Subd. 13.Rulemaking.The commissioner may, in consultation with the 62.26commissioner of revenue and the commissioner of employment and economic 62.27development, adopt, amend, suspend, and repeal rules under the rulemaking provisions 62.28of chapter 14 that relate to the commissioner's responsibilities under this section. This 62.29subdivision is effective the day following final enactment.62.30    Subd. 14.Fee.The certificate fee for the original application and for the renewal 62.31of an independent contractor exemption certificate shall be $150. If an individual 62.32simultaneously submits an application for both an independent contractor exemption 62.33certificate under this section and a license under section 326.84, the application fee for 62.34the independent contractor exemption certificate shall be reduced to $100. Fees collected 62.35under this subdivision are deposited in the general fund. 63.1    Subd. 15.Notice to commissioner; review by commissioner of revenue.When 63.2the commissioner has reason to believe that an individual who holds a certificate has failed 63.3to maintain all the conditions required by subdivision 3 or is not performing services for a 63.4person under the independent contractor exemption certificate, the commissioner must 63.5notify the commissioner of revenue and the commissioner of employment and economic 63.6development. Upon receipt of notification from the commissioner that an individual who 63.7holds a certificate has failed to maintain all the conditions required by subdivision 3 63.8or is not performing services for a person under the independent contractor exemption 63.9certificate, the commissioner of revenue must review the information returns required 63.10under section 6041A of the Internal Revenue Code. The commissioner of revenue shall 63.11also review the submitted certification that is applicable to returns audited or investigated 63.12under section 289A.35.63.13    Subd. 16.Data classified.Certifications issued by the commissioner are public 63.14data. Applications and required documentation submitted by an individual is private 63.15data on an individual. Upon request of the Department of Revenue or the Department 63.16of Employment and Economic Development, the commissioner may release to the 63.17Department of Revenue and the Department of Employment and Economic Development 63.18applications and required documentation submitted by individuals and investigative data 63.19that relates to the department's issuance or denial of applications and the department's 63.20revocations of certificates. Except as otherwise provided by this subdivision, the 63.21department's investigative data shall be classified as provided in chapter 13.63.22EFFECTIVE DATE.This section is effective July 1, 2008.63.23    Sec. 17. [181.724] PERFORMERS IN RECORDED MEDIA INDUSTRY.63.24    Subdivision 1.Definitions.The definitions in this subdivision apply to section 63.25181.724.63.26    (a) "Performer" means actor, announcer, singer, dancer, narrator, stunt-person, extra, 63.27or any other individual generically or customarily referred to as talent in the recorded 63.28media industry.63.29    (b) "Recorded media industry" means radio or television commercial production, 63.30nonbroadcast audio or video production, sound recording, audio or video production for 63.31the internet, or any other recording technology.63.32    (c) "Individual" means a human being.63.33    (d) "Person" means any individual, limited liability corporation, corporation, 63.34partnership, incorporated or unincorporated association, sole proprietorship, joint stock 63.35company, or any other legal or commercial entity.64.1    Subd. 2.Limited application.This section applies only to individuals who 64.2are performers in the recorded media industry. This section does not apply to live 64.3performances.64.4    Subd. 3.Employee-employer relationship.For the purposes of chapters 176, 64.5177, 181A, 182, and 268, an individual who provides services as a performer in the 64.6recorded media industry for a person that are in the course of the person's trade, business, 64.7profession, or occupation is an employee of that person and that person is an employer of 64.8the individual.64.9    Subd. 4.Civil remedy.An individual who has been injured by a violation of this 64.10section may bring a civil action for damages against the violator. If the individual is 64.11an employee of the violator of this section, the employee's representative, as defined in 64.12section 179.01, subdivision 5, may bring a civil action for damages against the violator on 64.13behalf of the employee. The court may award attorney fees, costs, and disbursement to an 64.14individual recovering under this section.64.15    Subd. 5.Reporting of violations.Any court finding that a violation of this section 64.16has occurred shall transmit a copy of its findings of fact and conclusions of law to the 64.17commissioner of labor and industry. The commissioner of labor and industry shall report 64.18the finding to relevant state and federal agencies, including the commissioner of commerce, 64.19the commissioner of employment and economic development, the commissioner of 64.20revenue, the federal Internal Revenue Service, and the United States Department of Labor.64.21EFFECTIVE DATE.This section is effective January 1, 2008.64.22    Sec. 18. Minnesota Statutes 2006, section 181.932, subdivision 1, is amended to read:64.23    Subdivision 1. Prohibited action. An employer shall not discharge, discipline, 64.24threaten, otherwise discriminate against, or penalize an employee regarding the employee's 64.25compensation, terms, conditions, location, or privileges of employment because:64.26    (a) the employee, or a person acting on behalf of an employee, in good faith, reports 64.27a violation or suspected violation of any federal or state law or rule adopted pursuant 64.28to law to an employer or to any governmental body or law enforcement official and 64.29the alleged violation involves a matter of public concern, including, but not limited to, 64.30violations that create a specific danger to the public health, safety, or environment;64.31    (b) the employee is requested by a public body or office to participate in an 64.32investigation, hearing, inquiry;64.33    (c) the employee refuses an employer's order to perform an action that the employee 64.34has an objective basis in fact to believe violates any state or federal law or rule or 64.35regulation adopted pursuant to law which violation the employee reasonably believes 65.1is a matter of public concern, including, but not limited to, violations that create a 65.2specific danger to the public health, safety, or environment, and the employee informs the 65.3employer that the order is being refused for that reason; or65.4    (d) the employee, in good faith, reports a situation in which the quality of health care 65.5services provided by a health care facility, organization, or health care provider violates a 65.6standard established by federal or state law or a professionally recognized national clinical 65.7or ethical standard and potentially places the public at risk of harm.;65.8    (e) a public employee refuses to alter, dilute, or suppress the objective representation 65.9or communication of scientific or technical data or findings, including but not limited to, 65.10findings of economic or environmental impact, or findings indicating consequences for 65.11the public's health or safety; or65.12    (f) a public employee communicates the findings of a scientific or technical study 65.13that the employee, in good faith, believes to be truthful and accurate, including reports to a 65.14governmental body or law enforcement official.65.15The disclosures protected pursuant to this section do not authorize the disclosure of trade 65.16secret information otherwise protected by law.65.17    Sec. 19. [181.9325] USE OF AUTHORITY TO INFLUENCE OR INTERFERE 65.18WITH DISCLOSURE OF INFORMATION.65.19    (a) A public employer may not directly or indirectly use or attempt to use the 65.20employer's official authority or influence for the purpose of intimidating, threatening, 65.21coercing, or attempting to intimidate, threaten, or coerce any person for the purpose of 65.22interfering with the rights described in section 181.932, or for the purpose of persuading 65.23the person to waive or disclaim any other legal rights related to the person's employment.65.24    (b) For purposes of this section, "use of official authority or influence" includes: 65.25promising to confer, or conferring, any benefit; effecting, or threatening to effect, any 65.26reprisal; or taking, or directing others to take, or recommending, processing, or approving, 65.27any personnel action, including but not limited to appointment, promotion, transfer, 65.28assignment, performance evaluation, suspension, or other disciplinary action.65.29    Sec. 20. Minnesota Statutes 2006, section 181.935, is amended to read:65.30181.935 INDIVIDUAL REMEDIES; PENALTY.65.31    (a) In addition to any remedies otherwise provided by law, an employee injured 65.32by a violation of section 
         181.932or 181.9325 may bring a civil action to recover any 65.33and all damages recoverable at law, together with costs and disbursements, including 66.1reasonable attorney's fees, and may receive such injunctive and other equitable relief as 66.2determined by the court. 66.3    (b) An employer who failed to notify, as required under section 
         181.933 or 
         181.934, 66.4an employee injured by a violation of section 
         181.932 is subject to a civil penalty of $25 66.5per day per injured employee not to exceed $750 per injured employee. 66.6    Sec. 21. [181.936] REPRISALS FOR DISCLOSURE OF IMPROPER 66.7GOVERNMENTAL ACTIVITIES; COMPLAINT PROCEDURE; PENALTIES.66.8    (a) A public employee or applicant for public employment who files a written 66.9complaint with the employee's or applicant's supervisor, manager, or the appointing 66.10power alleging actual or attempted acts of reprisal, retaliation, threats, coercion, or 66.11similar improper acts prohibited by section 181.9325, may also file a copy of the written 66.12complaint with the commissioner of labor and industry, together with a sworn statement 66.13that the contents of the written complaint are true, or are believed by the affiant to be true, 66.14under penalty of perjury. The complaint filed with the commissioner shall be filed within 66.1512 months of the most recent act of reprisal complained about.66.16    (b) Any person who intentionally engages in acts of reprisal, retaliation, threats, 66.17coercion, or similar acts against a public employee or applicant for public employment 66.18for having made a protected disclosure under section 181.932, is subject to a fine not to 66.19exceed $10,000 and imprisonment in the county jail for a period not to exceed one year.66.20    (c) In addition to all other penalties provided by law, any person who intentionally 66.21engages in acts of reprisal, retaliation, threats, coercion, or similar acts against a public 66.22employee or applicant for public employment for having made a protected disclosure shall 66.23be liable in an action for damages brought against the person by the injured party. Punitive 66.24damages may be awarded by the court where the acts of the offending party are proven to 66.25be malicious. Where liability has been established, the injured party shall also be entitled 66.26to reasonable attorney fees as provided by law. However, any action for damages shall not 66.27be available to the injured party unless the injured party has first filed a complaint with the 66.28commissioner of labor and industry under paragraph (a), and the department has issued, or 66.29failed to issue, findings under section 177.275.66.30    (d) This section is not intended to prevent an appointing power, manager, or 66.31supervisor from taking, directing others to take, recommending, or approving any 66.32personnel action or from taking or failing to take a personnel action with respect to any 66.33public employee or applicant for public employment if the appointing power, manager, or 66.34supervisor reasonably believes any action or inaction is justified on the basis of evidence 67.1separate and apart from the fact that the person has made a protected disclosure under 67.2section 181.932.67.3    (e) In any civil action or administrative proceeding, once it has been demonstrated 67.4by a preponderance of evidence that an activity protected by sections 177.27, 177.275, 67.5181.932, and 181.9325 was a contributing factor in the alleged retaliation against a former, 67.6current, or prospective employee, the burden of proof shall be on the supervisor, manager, 67.7or appointing power to demonstrate by clear and convincing evidence that the alleged 67.8action would have occurred for legitimate, independent reasons even if the employee had 67.9not engaged in protected disclosures or refused an illegal order. If the supervisor, manager, 67.10or appointing power fails to meet this burden of proof in an adverse action against the 67.11employee in any administrative review, challenge, or adjudication in which retaliation 67.12has been demonstrated to be a contributing factor, the employee shall have a complete 67.13affirmative defense in the adverse action.67.14    (f) Nothing in sections 177.27, 177.275, 181.932, and 181.9325 shall be deemed to 67.15diminish the rights, privileges, or remedies of any employee under any other federal or 67.16state law or under any employment contract or collective bargaining agreement.67.17    Sec. 22. Minnesota Statutes 2006, section 325E.37, subdivision 6, is amended to read:67.18    Subd. 6. Scope; limitations. (a) This section applies to a sales representative who, 67.19during some part of the period of the sales representative agreement:67.20    (1) is a resident of Minnesota or maintains that person's principal place of business 67.21in Minnesota; or67.22    (2) whose geographical territory specified in the sales representative agreement 67.23includes part or all of Minnesota.67.24    (b) To be effective, any demand for arbitration under subdivision 5 must be made 67.25in writing and delivered to the principal on or before one year after the effective date of 67.26the termination of the agreement.67.27    (c) A provision in any contract between a sales representative dealing in plumbing 67.28equipment or supplies and a principal purporting to waive any provision of this act, 67.29whether by express waiver or by a provision stipulating that the contract is subject to the 67.30laws of another state, shall be void.67.31    Sec. 23. Minnesota Statutes 2006, section 326.37, subdivision 1, is amended to read:67.32    Subdivision 1. Rules. The state commissioner of health Plumbing Board may, by 67.33rule, prescribe minimum standards which shall be uniform, and which standards shall 67.34thereafter be effective for all new plumbing installations, including additions, extensions, 68.1alterations, and replacements connected with any water or sewage disposal system owned 68.2or operated by or for any municipality, institution, factory, office building, hotel, apartment 68.3building, or any other place of business regardless of location or the population of the 68.4city or town in which located. Notwithstanding the provisions of Minnesota Rules, part 68.54715.3130, as they apply to review of plans and specifications, the commissioner may 68.6allow plumbing construction, alteration, or extension to proceed without approval of the 68.7plans or specifications by the commissioner.68.8    Except for powers granted to the Plumbing Board, the commissioner of labor and 68.9industry shall administer the provisions of sections 
         326.37 to 
         326.45 and for such purposes 68.10may employ plumbing inspectors and other assistants.68.11    Sec. 24. Minnesota Statutes 2006, section 326.37, is amended by adding a subdivision 68.12to read:68.13    Subd. 4.Air admittance valves and water-free urinals prohibited.(a) 68.14Mechanical devices and fittings with internal moving parts are prohibited from installation 68.15in plumbing venting systems.68.16    (b) All urinals covered under the jurisdiction of the state plumbing code must have a 68.17water flush device with a volume of not more than one gallon per use.68.18    Sec. 25. [326.372] PLUMBING BOARD.68.19    Subdivision 1.Composition.(a) The Plumbing Board shall consist of 12 voting 68.20members who must be residents of the state, appointed by the governor, and confirmed 68.21by the senate. The commissioner of labor and industry or the commissioner's designee 68.22shall be a voting member. The first appointed board members shall serve an initial term 68.23of four years, except where designated otherwise. The governor shall then reappoint the 68.24current members or appoint replacement members, all or in part, to subsequent three-year 68.25terms. Midterm vacancies shall be filled for the remaining portion of the term. Vacancies 68.26occurring with less than six months time remaining in the term shall be filled for the 68.27existing term and the following three-year term. Of the 11 appointed members, the 68.28composition shall be as follows:68.29    (1) two members shall be municipal plumbing inspectors, one from the seven-county 68.30metro area and one from greater Minnesota;68.31    (2) one member shall be a licensed mechanical engineer;68.32    (3) two members serving an initial term of three years shall be plumbing contractors 68.33or the representative of the contractor, engaged in a commercial scope of plumbing 68.34contracting, one from the metropolitan area and one from greater Minnesota;69.1    (4) two members serving an initial term of three years shall be plumbing contractors 69.2or their representatives, engaged in the residential scope of plumbing contracting, one 69.3from the metro area and one from greater Minnesota; 69.4    (5) two members serving an initial term of two years shall be plumbing 69.5journeypersons engaged in a commercial scope of plumbing systems installation, one 69.6from the metro area and one from greater Minnesota; and69.7    (6) two members serving an initial term of two years shall be plumbing 69.8journeypersons engaged in a residential scope of plumbing systems installation, one from 69.9the metro area and one from greater Minnesota.69.10    (b) Except for the licensed mechanical engineer, all persons appointed to the 69.11council must possess a current Minnesota plumbing license and maintain the license for 69.12the duration of their term.69.13    Subd. 2.Powers.(a) The board shall have the power to:69.14    (1) elect its chair;69.15    (2) specify the plumbing code that must be followed in this state;69.16    (3) maintain a review process to make determinations regarding any complaints, 69.17code amendments, code compliance, and code clarifications filed with the board;69.18    (4) adopt rules necessary for the regulation and licensing of contractors, 69.19journeypersons, apprentices, and other persons engaged in the design, installation, and 69.20alteration of plumbing systems that would include the issuing, renewing, revoking, 69.21refusing to renew, and suspending a plumbing license, except for persons licensed under 69.22sections 326.02 to 326.15;69.23    (5) adopt rules necessary for continuing education for individuals regulated and 69.24licensed under this section; 69.25    (6) make recommendations to the commissioner regarding educational requirements 69.26for plumbing inspectors; and 69.27    (7) pay expenses deemed necessary in the performance of board duties, including: 69.28    (i) rent, utilities, and supplies in the manner and amount specified in section 43A.18, 69.29subdivision 2; and 69.30    (ii) per diem and expenses for its members as provided in section 15.0575, 69.31subdivision 3.69.32    (b) Requests under the review process in paragraph (a), clause (3), may originate 69.33with the municipal inspectors, the plumbing contractors or their employees, and other 69.34persons engaged in the design, installation, and alteration of plumbing systems. The board 69.35shall make its findings known to all parties and the commissioner of labor and industry 69.36within the time period specified by the board.70.1    Subd. 3.Fees and finances.The board shall submit an annual budget to the 70.2commissioner of labor and industry. The commissioner shall collect fees under section 70.3326.42 necessary for the operation and continuance of the board. The commissioner is 70.4responsible for the enforcement of the codes and licensing requirements determined by 70.5the board. The board shall recommend the fees for licenses and certification under this 70.6section. The commissioner of finance shall make a quarterly certification of the amount 70.7necessary to pay expenses required for operation of the board under subdivision 2, 70.8paragraph (a), clause (6). The certified amount is appropriated in fiscal years 2008 and 70.92009 to the board for those purposes from the fees collected under section 326.42.70.10    Subd. 4.Transfer of authority; Plumbing Board.The authority of the 70.11commissioners of health and labor and industry to adopt rules relating to plumbers is 70.12transferred to the Plumbing Board. Licenses and permits currently in effect remain in 70.13effect according to their terms unless affected by board action. Rules adopted by the 70.14commissioner of health or labor and industry remain in effect until amended or repealed 70.15by the board. The commissioner of administration may not use the authority under section 70.1616B.37 to modify the transfers of authority in this act.70.17    Subd. 5.First meeting; appointments for Plumbing Board.The governor must 70.18complete the appointments required by section 326.372 no later than July 1, 2007. The 70.19commissioner of labor and industry shall convene the first meeting of the Plumbing Board 70.20no later than September 1, 2007.70.21    Sec. 26. Minnesota Statutes 2006, section 326.38, is amended to read:70.22326.38 LOCAL REGULATIONS.70.23    Any city having a system of waterworks or sewerage, or any town in which reside 70.24over 5,000 people exclusive of any statutory cities located therein, or the metropolitan 70.25airports commission, may, by ordinance, adopt local regulations providing for plumbing 70.26permits, bonds, approval of plans, and inspections of plumbing, which regulations are 70.27not in conflict with the plumbing standards on the same subject prescribed by the state 70.28commissioner of health Plumbing Board. No city or such town shall prohibit plumbers 70.29licensed by the state commissioner of healthlabor and industry from engaging in or 70.30working at the business, except cities and statutory cities which, prior to April 21, 1933, 70.31by ordinance required the licensing of plumbers. No city or town may require a license 70.32for persons performing building sewer or water service installation who have completed 70.33pipe laying training as prescribed by the commissioner of labor and industry. Any city 70.34by ordinance may prescribe regulations, reasonable standards, and inspections and grant 70.35permits to any person, firm, or corporation engaged in the business of installing water 71.1softeners, who is not licensed as a master plumber or journeyman plumber by the state 71.2commissioner of health labor and industry, to connect water softening and water filtering 71.3equipment to private residence water distribution systems, where provision has been 71.4previously made therefor and openings left for that purpose or by use of cold water 71.5connections to a domestic water heater; where it is not necessary to rearrange, make any 71.6extension or alteration of, or addition to any pipe, fixture or plumbing connected with 71.7the water system except to connect the water softener, and provided the connections so 71.8made comply with minimum standards prescribed by the state commissioner of health71.9Plumbing Board.71.10    Sec. 27. Minnesota Statutes 2006, section 326.40, subdivision 1, is amended to read:71.11    Subdivision 1. License required; master and journeyman plumbers.In any city 71.12now or hereafter having 5,000 or more population, according to the last federal census, 71.13and having a system of waterworks or sewerage,(a) No person, firm, or corporation shall 71.14engage in or work at the business of a master plumber or, restricted master plumber,71.15journeyman plumber, and restricted journeyman plumber unless licensed to do so by the 71.16state commissioner of healthlabor and industry. A license is not required for persons 71.17performing building sewer or water service installation who have completed pipe laying 71.18training as prescribed by the commissioner of labor and industry. A master plumber may 71.19also work as a journeyman plumber, a restricted journeyman plumber, and a restricted 71.20master plumber. A journeyman plumber may also work as a restricted journeyman 71.21plumber. Anyone not so licensed may do plumbing work which complies with the 71.22provisions of the minimum standard prescribed by the state commissioner of health71.23Plumbing Board on premises or that part of premises owned and actually occupied by the 71.24worker as a residence, unless otherwise forbidden to do so by a local ordinance.71.25    In any such city(b) No person, firm, or corporation shall engage in the business of 71.26installing plumbing nor install plumbing in connection with the dealing in and selling 71.27of plumbing material and supplies unless at all times a licensed master plumber, or in 71.28cities and towns with a population of fewer than 5,000 according to the federal census a 71.29restricted master plumber, who shall be responsible for proper installation, is in charge 71.30of the plumbing work of the person, firm, or corporation.71.31    The Department of HealthPlumbing Board shall prescribe rules, not inconsistent 71.32herewith, for the examination and licensing of plumbers.71.33    Sec. 28. Minnesota Statutes 2006, section 326.401, subdivision 2, is amended to read:72.1    Subd. 2. Journeyman exam. A plumber's apprentice who has completed four years 72.2of practical plumbing experience is eligible to take the journeyman plumbing examination. 72.3Up to 24 months of practical plumbing experience prior to registration as an apprentice 72.4may be applied to the four-year experience requirement. However, none of this practical 72.5plumbing experience may be applied if the person did not have any practical plumbing 72.6experience in the 12-month period immediately prior to registration. The commissioner72.7Plumbing Board may adopt rules to evaluate whether the person's past practical plumbing 72.8experience is applicable in preparing for the journeyman's examination. If two years 72.9after completing the training the person has not taken the examination, the four years 72.10of experience shall be forfeited.72.11    The commissioner may allow an extension of the two-year period for taking the 72.12exam for cases of hardship or other appropriate circumstances.72.13    Sec. 29. [326.402] RESTRICTED PLUMBER LICENSE.72.14    Subdivision 1.Licensure.The commissioner of labor and industry shall grant a 72.15restricted journeyman or master plumber license to an individual if:72.16    (1) the individual completes an application with information required by the 72.17commissioner of labor and industry;72.18    (2) the completed application is accompanied by a fee of $90;72.19    (3) the commissioner of labor and industry receives the completed application and 72.20fee before January 1, 2008;72.21    (4) the completed application demonstrates that the applicant has had at least two 72.22years for a restricted journeyman plumber license or four years for a restricted master 72.23plumber license of practical plumbing experience in the plumbing trade prior to the 72.24application; and72.25    (5) during the entire time for which the applicant is claiming experience in 72.26contracting for plumbing work under clause (4), the applicant was in compliance with all 72.27applicable requirements of section 326.40.72.28    Subd. 2.Use of license.A restricted master plumber and restricted journeyman 72.29plumber may engage in the plumbing trade in all areas of the state except in cities and 72.30towns with a population of more than 5,000 according to the federal census.72.31    Subd. 3.Application period.Applications for restricted master plumber and 72.32restricted journeyman plumber licenses must be submitted to the commissioner prior 72.33to January 1, 2008.72.34    Subd. 4.Renewal; use period for license.A restricted master plumber and 72.35restricted journeyman plumber license must be renewed annually for as long as that 73.1licensee engages in the plumbing trade. Failure to renew a restricted master plumber and 73.2restricted journeyman plumber license within 12 months after the expiration date will 73.3result in permanent forfeiture of the restricted master plumber and restricted journeyman 73.4plumber license.73.5    Subd. 5.Prohibition of transference.A restricted master plumber and restricted 73.6journeyman plumber license may not be transferred or sold to any other person.73.7    Subd. 6.Bond; insurance.A restricted master plumber licensee is subject to the 73.8bond and insurance requirements of section 326.40, subdivision 2, unless the exemption 73.9provided by section 326.40, subdivision 3, applies.73.10    Subd. 7.Fee.The annual fee for the restricted master plumber and restricted 73.11journeyman plumber licenses is the same fee as for a master or journeyman plumber 73.12license, respectively.73.13    Sec. 30. Minnesota Statutes 2006, section 326.405, is amended to read:73.14326.405 RECIPROCITY WITH OTHER STATES.73.15    The commissioner of health may license without examination, upon payment of the 73.16required fee, nonresident applicants who are licensed under the laws of a state having 73.17standards for licensing plumbers which the commissioner determines are substantially 73.18equivalent to the standards of this state if the other state grants similar privileges to 73.19Minnesota residents duly licensed in this state. The commissioner may issue a temporary 73.20license without examination, upon payment of the required fee, nonresident applicants 73.21who are licensed under the laws of a state having standards for licensing which the 73.22commissioner determines are substantially equivalent to the standards of this state if 73.23the other state grants similar privileges to Minnesota residents duly licensed in this 73.24state. Applicants who receive a temporary license under this section may acquire an 73.25aggregate of 24 months of experience before they have to apply and pass the licensing 73.26examination. Applicants must register with the commissioner of labor and industry and 73.27the commissioner shall set a fee for a temporary license. Applicants have five years in 73.28which to comply with this section.73.29    Sec. 31. Minnesota Statutes 2006, section 326.42, subdivision 1, is amended to read:73.30    Subdivision 1. Application. Applications for plumber's license shall be made to the 73.31state commissioner of health labor and industry, with fee. Unless the applicant is entitled 73.32to a renewal, the applicant shall be licensed by the state commissioner of health labor and 73.33industry only after passing a satisfactory examination administered by the examiners73.34commissioner of labor and industry, based upon rules adopted by the Plumbing Board74.1showing fitness. Examination fees for both journeyman and master plumbers shall be in 74.2an amount prescribed by the state commissioner of health labor and industry pursuant to 74.3section 
         144.122. Upon being notified that of having successfully passed the examination 74.4for original license the applicant shall submit an application, with the license fee herein 74.5provided. License fees shall be in an amount prescribed by the state commissioner of 74.6health labor and industry pursuant to section 
         144.122. Licenses shall expire and be 74.7renewed as prescribed by the commissioner pursuant to section 
         144.122. 74.8    Sec. 32. Minnesota Statutes 2006, section 341.28, subdivision 2, is amended to read:74.9    Subd. 2. Regulatory authority; tough person contests. All tough person contests, 74.10including amateur tough person contests, are subject to this chapter. All tough person 74.11contests are subject to American Boxing Commission (ABC) rules. Every contestant 74.12in a tough person contest shall have a physical examination prior to their bouts. Every 74.13contestant in a tough person contest shall wear padded gloves that weigh at least 12 74.14ounces. All tough person bouts are limited to two-minute rounds and a maximum of four 74.15total rounds. Officials at tough person bouts shall be licensed under this chapter.74.16    Sec. 33. Minnesota Statutes 2006, section 341.28, is amended by adding a subdivision 74.17to read:74.18    Subd. 3.Regulatory authority; similar sporting events.All mixed martial arts, 74.19ultimate fight contests, and similar sporting events are subject to this chapter.74.20    Sec. 34. Minnesota Statutes 2006, section 341.32, subdivision 2, is amended to read:74.21    Subd. 2. Expiration and renewal. A license expires December 31 at midnight in 74.22the year of its issuance issued after the effective date of this act is valid for one year from 74.23the date it is issued and may be renewed by filing an application for renewal with the 74.24commission and payment of the license fee. An application for a license and renewal of a 74.25license must be on a form provided by the commission. There is a 30-day grace period 74.26during which a license may be renewed if a late filing penalty fee equal to the license fee 74.27is submitted with the regular license fee. A licensee that files late shall not conduct any 74.28activity regulated by this chapter until the commission has renewed the license. If the 74.29licensee fails to apply to the commission within the 30-day grace period, the licensee must 74.30apply for a new license under subdivision 1.74.31    Sec. 35. Minnesota Statutes 2006, section 341.321, is amended to read:74.32341.321 FEE SCHEDULE.75.1    (a) The fee schedule for licenses issued by the Minnesota Boxing Commission 75.2is as follows: 75.3    (1) referees, $35 $45 for each initial license and each renewal; 75.4    (2) promoters, $400 for each initial license and each renewal; 75.5    (3) judges and knockdown judges, $25 $45 for each initial license and each renewal; 75.6    (4) trainers, $35 $45 for each initial license and each renewal; 75.7    (5) ring announcers, $25 $45 for each initial license and each renewal; 75.8    (6) boxers' seconds, $25 $45 for each initial license and each renewal; 75.9    (7) timekeepers, $25 $45 for each initial license and each renewal; and75.10    (8) boxers, $35 $45 for each initial license and each renewal.;75.11    (9) managers, $45 for each initial license and each renewal; and75.12    (10) ringside physicians, $45 for each initial license and each renewal.75.13    (b) The commission shall establish and assess an event fee for each sporting event. 75.14The event fee is set at a minimum of $1,500 per event or a percentage of the ticket sales as 75.15determined by the commission when the sporting event is scheduled.75.16    (c) All fees collected by the Minnesota Boxing Commission must be deposited in 75.17the Boxing Commission account in the special revenue fund. 75.18    Sec. 36.  REPEALER.75.19Minnesota Statutes 2006, sections 176.042; 268.035, subdivision 9; and 326.45, are 75.20repealed.75.21EFFECTIVE DATE.Sections 176.042 and 286.035, subdivision 9, are repealed 75.22effective January 1, 2009.75.23ARTICLE 575.24HIGH PRESSURE PIPING75.25    Section 1. Minnesota Statutes 2006, section 326.46, is amended to read:75.26326.46 SUPERVISION OF HIGH PRESSURE PIPING.75.27    The Department of Labor and Industry shall supervise all high pressure piping 75.28used on all projects in this state, and may prescribe minimum standards which shall be 75.29uniform under rules adopted by the board.75.30    The department shall employ inspectors and other assistants to carry out the 75.31provisions of sections 
         326.46 to 
         326.52. 76.1    Sec. 2. Minnesota Statutes 2006, section 326.461, is amended by adding a subdivision 76.2to read:76.3    Subd. 1a.Board."Board" means the Board of High Pressure Piping Systems.76.4    Sec. 3. Minnesota Statutes 2006, section 326.47, subdivision 2, is amended to read:76.5    Subd. 2. Permissive municipal regulation. A municipality may, by ordinance, 76.6provide for the inspection of high pressure piping system materials and construction, and 76.7provide that it shall not be constructed or installed except in accordance with minimum 76.8state standards. The authority designated by the ordinance for issuing high pressure piping 76.9permits and assuring compliance with state standards must report to the Department of 76.10Labor and Industry all violations of state high pressure piping standards.76.11    A municipality may not adopt an ordinance with high pressure piping standards that 76.12does not conform to the uniform standards prescribed by the Department of Labor and 76.13Industry board. The Department of Labor and Industry board shall specify by rule the 76.14minimum qualifications for municipal inspectors.76.15    Sec. 4. Minnesota Statutes 2006, section 326.47, subdivision 6, is amended to read:76.16    Subd. 6. Filing and inspection fees. The Department of Labor and Industry 76.17must charge a filing fee set by the commissioner board under section 
         16A.1285 for all 76.18applications for permits to construct or install high pressure piping systems. The fee for 76.19inspection of high pressure piping system construction or installation shall be set by the 76.20commissioner in consultation with the board under section 
         16A.1285. This subdivision 76.21does not apply where a permit is issued by a municipality complying with subdivision 2. 76.22    Sec. 5. [326.471] BOARD OF HIGH PRESSURE PIPING SYSTEMS.76.23    Subdivision 1.Composition.(a) The Board of High Pressure Piping Systems shall 76.24consist of 12 members who must be residents of the state, appointed by the governor, and 76.25confirmed by the senate. The commissioner of the Department of Labor and Industry or 76.26the commissioner's designee shall be a voting member. The first appointed board members 76.27shall serve an initial term of four years, except where designated otherwise. The governor 76.28shall then reappoint the current members or appoint replacement members, all or in part, to 76.29subsequent three-year terms. Midterm vacancies shall be filled for the remaining portion 76.30of the term. Vacancies occurring with less than six months time remaining in the term 76.31shall be filled for the existing term and the following three-year term. Of the 11 appointed 76.32members, the composition shall be as follows:76.33    (1) one member shall be a high pressure piping inspector;77.1    (2) one member shall be a licensed mechanical engineer;77.2    (3) one member shall be a representative of the piping industry;77.3    (4) four members shall be high pressure piping contractors or their representatives, 77.4engaged in the scope of high pressure piping, two from the metro area and two from 77.5greater Minnesota;77.6    (5) two members shall be high pressure piping journeypersons engaged in the scope 77.7of high pressure piping systems installation, one from the metro area and one from greater 77.8Minnesota; and77.9    (6) two members shall be representatives from utility companies in Minnesota 77.10who shall serve an initial term of two years.77.11    (b) Except for the licensed mechanical engineer and the members from utilities 77.12companies, all persons appointed to the board must possess a current license or 77.13competency credential required for contractors and persons engaged in the design, 77.14installation, alteration, and inspection of high pressure piping systems.77.15    Subd. 2.Powers.(a) The board shall have the power to:77.16    (1) elect its chair;77.17    (2) specify the high pressure piping code that must be followed in Minnesota;77.18    (3) maintain an appeals committee to make determinations regarding any complaints, 77.19code amendments, code compliance, and code clarifications filed with the board;77.20    (4) adopt rules necessary for the regulation and licensing of contractors, 77.21journeypersons, trainees, and persons engaged in the design, installation, alteration, and 77.22inspection of high pressure piping systems, except for persons licensed under sections 77.23326.02 to 326.15;77.24    (5) adopt rules necessary for continuing education for individuals regulated and 77.25licensed under this section; and77.26    (6) pay expenses deemed necessary in the performance of board duties, including: 77.27    (i) rent, utilities, and supplies in the manner and amount specified in section 43A.18, 77.28subdivision 2; and 77.29    (ii) per diem and expenses for its members as provided in section 15.0575, 77.30subdivision 3.77.31    (b) Complaints filed under this section may originate with high pressure piping 77.32inspectors, contractors, or their employees, or other persons engaged in the design, 77.33installation, and alteration of a high pressure piping system. The board shall make their 77.34findings known to all parties and the commissioner of the Department of Labor and 77.35Industry within the time period specified by the board.78.1    Subd. 3.Fee and finances.The board shall submit an annual budget to the 78.2commissioner of the Department of Labor and Industry. The commissioner shall collect 78.3fees under section 326.47, subdivision 6, necessary for the operation and continuance of 78.4the board. The commissioner is responsible for the enforcement of the codes and licensing 78.5requirements determined by the board. The board shall recommend the fees for licenses 78.6and certification under this section and for all high pressure piping system permits and 78.7submit the fee structure to the commissioner of labor and industry. The commissioner 78.8of finance shall make a quarterly certification of the amount necessary to pay expenses 78.9required for operation of the board under subdivision 2, paragraph (a), clause (6). The 78.10certified amount is appropriated in fiscal years 2008 and 2009 to the board for those 78.11purposes from the fees collected under section 326.50.78.12    Sec. 6. Minnesota Statutes 2006, section 326.48, subdivision 1, is amended to read:78.13    Subdivision 1. License required; rules; time credit. No person shall engage in 78.14or work at the business of a contracting pipefitter unless issued an individual contracting 78.15pipefitter license to do so by the Department of Labor and Industry under rules prescribed 78.16by the board. No license shall be required for repairs on existing installations. No 78.17person shall engage in or work at the business of journeyman pipefitter unless issued an 78.18individual journeyman pipefitter competency license to do so by the Department of Labor 78.19and Industry under rules prescribed by the board. A person possessing an individual 78.20contracting pipefitter competency license may also work as a journeyman pipefitter.78.21    No person, partnership, firm, or corporation shall install high pressure piping, nor 78.22install high pressure piping in connection with the dealing in and selling of high pressure 78.23pipe material and supplies, unless, at all times, a person possessing a contracting pipefitter 78.24individual competency license or a journeyman pipefitter individual competency license is 78.25responsible for the high pressure pipefitting work conducted by the person, partnership, 78.26firm, or corporation being in conformity with Minnesota Statutes and Minnesota Rules.78.27    The Department of Labor and Industry board shall prescribe rules, not inconsistent 78.28herewith, for the examination and individual competency licensing of contracting 78.29pipefitters and journeyman pipefitters and for issuance of permits by the department and 78.30municipalities for the installation of high pressure piping.78.31    An employee performing the duties of inspector for the Department of Labor and 78.32Industry in regulating pipefitting shall not receive time credit for the inspection duties 78.33when making an application for a license required by this section.78.34    Sec. 7. Minnesota Statutes 2006, section 326.48, subdivision 2, is amended to read:79.1    Subd. 2. High pressure pipefitting business license. Before obtaining a permit 79.2for high pressure piping work, a person, partnership, firm, or corporation must obtain or 79.3utilize a business with a high pressure piping business license.79.4    A person, partnership, firm, or corporation must have at all times as a full-time 79.5employee at least one individual holding an individual contracting pipefitter competency 79.6license. Only full-time employees who hold individual contracting pipefitter licenses 79.7are authorized to obtain high pressure piping permits in the name of the business. The 79.8individual contracting pipefitter competency license holder can be the employee of only 79.9one high pressure piping business at a time.79.10    To retain its business license without reapplication, a person, partnership, firm, or 79.11corporation holding a high pressure piping business license that ceases to employ a person 79.12holding an individual contracting pipefitter competency license shall have 60 days from 79.13the last day of employment of its previous individual contracting pipefitter competency 79.14license holder to employ another license holder. The Department of Labor and Industry 79.15must be notified no later than five days after the last day of employment of the previous 79.16license holder.79.17    No high pressure pipefitting work may be performed during any period when the 79.18high pressure pipefitting business does not have an individual contracting pipefitter 79.19competency license holder on staff. If a license holder is not employed within 60 days, 79.20the pipefitting business license shall lapse.79.21    The Department of Labor and Industry board shall prescribe by rule procedures for 79.22application for and issuance of business licenses and fees.79.23    Sec. 8. Minnesota Statutes 2006, section 326.48, is amended by adding a subdivision 79.24to read:79.25    Subd. 6.Reciprocity with other states.The commissioner may issue a temporary 79.26license without examination, upon payment of the required fee, nonresident applicants 79.27who are licensed under the laws of a state having standards for licensing which the 79.28commissioner determines are substantially equivalent to the standards of this state if 79.29the other state grants similar privileges to Minnesota residents duly licensed in this 79.30state. Applicants who receive a temporary license under this section may acquire an 79.31aggregate of 24 months of experience before they have to apply and pass the licensing 79.32examination. Applicants must register with the commissioner of labor and industry and 79.33the commissioner shall set a fee for a temporary license. Applicants have five years in 79.34which to comply with this section.80.1    Sec. 9. Minnesota Statutes 2006, section 326.50, is amended to read:80.2326.50 APPLICATION; FEES.80.3    Application for an individual contracting pipefitter competency or an individual 80.4journeyman pipefitter competency license shall be made to the Department of Labor and 80.5Industry, with fees. The applicant shall be licensed only after passing an examination80.6administered by the Department of Labor and Industry in accordance with rules adopted 80.7by the board.80.8    Sec. 10. Minnesota Statutes 2006, section 326.51, is amended to read:80.9326.51 DEPARTMENT MAY REVOKE LICENSES.80.10    The department board may revoke or suspend, for cause, any license obtained 80.11through error or fraud, or if the licensee is shown to be incompetent, or for a violation 80.12of any of its rules and regulations applicable to high pressure pipefitting work. The 80.13licensee shall have notice, in writing, enumerating the charges, and be entitled to a hearing 80.14on at least ten days' notice, with the right to produce testimony. The hearing shall be 80.15held pursuant to chapter 14. The commissioner board shall issue a final order based on 80.16testimony and the record at hearing. One year from the date of revocation application 80.17may be made for a new license.80.18    Sec. 11. Minnesota Statutes 2006, section 326.52, is amended to read:80.19326.52 DEPOSIT OF FEES.80.20    All fees received under sections 
         326.46 to 
         326.52 shall be deposited by the 80.21Department of Labor and Industry to the credit of the general fund in the state treasury. 80.22The salaries and per diem of the inspectors and examiners hereinbefore provided, their 80.23expenses, and all incidental expenses of the department and board in carrying out the 80.24provisions of sections 
         326.46 to 
         326.52 shall be paid from the appropriations made to the 80.25Department of Labor and Industry. The commissioner in consultation with the board by 80.26rule shall set the amount of the fees at a level that approximates, to the greatest extent 80.27possible, the salaries, per diem, and incidental expenses of the department.80.28    Sec. 12. TRANSFER OF AUTHORITY; BOARD OF HIGH PRESSURE PIPING 80.29SYSTEMS.80.30    The authority of the commissioner of labor and industry to adopt rules relating to 80.31high pressure piping systems is transferred to the Board of High Pressure Piping Systems. 80.32Licenses and permits currently in effect remain in effect according to their terms unless 81.1affected by board action. Rules adopted by the commissioner of labor and industry remain 81.2in effect until amended or repealed by the board. The commissioner of administration 81.3may not use the authority under Minnesota Statutes, section 16B.37, to modify transfers of 81.4authority in this act.81.5    Sec. 13. FIRST MEETING; APPOINTMENTS FOR BOARD OF HIGH 81.6PRESSURE PIPING SYSTEMS.81.7    The governor must complete the appointments required by Minnesota Statutes, 81.8section 326.471, no later than July 1, 2007. The commissioner of labor and industry 81.9shall convene the first meeting of the Board of High Pressure Piping Systems no later 81.10than September 1, 2007.81.11ARTICLE 681.12IRON RANGE RESOURCES AND REHABILITATION BOARD81.13    Section 1. [135A.135] HOCKEY HERITAGE SURCHARGE.81.14    Subdivision 1.Imposition.A surcharge of 25 cents is imposed on each ticket or 81.15admission to an NCAA Division I Mens hockey event sponsored or held by or at a public 81.16postsecondary institution in the state.81.17    Subd. 2.Collection, remittance.The surcharge imposed under this subdivision 81.18shall be collected by the public postsecondary institution sponsoring or holding the hockey 81.19event. The institution shall report the surcharge on a form prescribed by the commissioner 81.20of revenue and remit the surcharge with the return to the commissioner of revenue.81.21    Subd. 3.Administration.The commissioner of revenue shall have authority to 81.22administer, collect, enforce, refund, and audit the surcharge under this section. Interest 81.23on late payments or refunds of the surcharge shall be at the rates specified under section 81.24289A.55, and penalties for failure to file, pay, or underpay the surcharge shall be at the 81.25rates provided under section 289A.60, subdivision 1, paragraph (e), and subdivision 2.81.26    Subd. 4.Deposit of revenues.The commissioner of revenue shall deposit all 81.27revenues, including penalty and interest, derived from the surcharge imposed in this 81.28section in the hockey surcharge account in the special revenue fund. The amount deposited 81.29under this section is appropriated to the Iron Range Resources and Rehabilitation Board 81.30for payment to the city of Eveleth to be used for the support of the Hockey Hall of Fame 81.31Museum provided that it continues to operate in the city. Payments under this section for 81.32the Hockey Hall of Fame Museum are in addition to and must not be used to supplant 81.33funding under section 298.28, subdivision 9c.82.1EFFECTIVE DATE.This section is effective for hockey events held after July 82.21, 2007.82.3    Sec. 2. Minnesota Statutes 2006, section 298.22, subdivision 2, is amended to read:82.4    Subd. 2. Iron Range Resources and Rehabilitation Board. There is hereby 82.5created the Iron Range Resources and Rehabilitation Board, consisting of 13ten members, 82.6five of whom are state senators appointed by the Subcommittee on Committees of the 82.7Rules Committee of the senate, and five of whom are representatives, appointed by the 82.8speaker of the house of representatives. The remaining members shall be appointed one 82.9each by the senate majority leader, the speaker of the house of representatives, and the 82.10governor and must be nonlegislators who reside in a taconite assistance area as defined in 82.11section 273.1341. The members shall be appointed in January of every odd-numbered 82.12year, except that the initial nonlegislator members shall be appointed by July 1, 1999, and 82.13shall serve until January of the next odd-numbered year. Vacancies on the board shall be 82.14filled in the same manner as the original members were chosen. At least a majority of 82.15the legislative members of the board shall be elected from state senatorial or legislative 82.16districts in which over 50 percent of the residents reside within a taconite assistance area 82.17as defined in section 
         273.1341. All expenditures and projects made by the commissioner 82.18of Iron Range resources and rehabilitation shall be consistent with the priorities 82.19established in subdivision 8 and shall first be submitted to the Iron Range Resources and 82.20Rehabilitation Board for approval by a majority of the board of expenditures and projects 82.21for rehabilitation purposes as provided by this section, and the method, manner, and time 82.22of payment of all funds proposed to be disbursed shall be first approved or disapproved by 82.23the board. The board shall biennially make its report to the governor and the legislature on 82.24or before November 15 of each even-numbered year. The expenses of the board shall be 82.25paid by the state from the funds raised pursuant to this section. 82.26    Sec. 3. Minnesota Statutes 2006, section 298.227, is amended to read:82.27298.227 TACONITE ECONOMIC DEVELOPMENT FUND.82.28    An amount equal to that distributed pursuant to each taconite producer's taxable 82.29production and qualifying sales under section 
         298.28, subdivision 9a, shall be held by 82.30the Iron Range Resources and Rehabilitation Board in a separate taconite economic 82.31development fund for each taconite and direct reduced ore producer. Money from the 82.32fund for each producer shall be released by the commissioner after review by a joint 82.33committee consisting of an equal number of representatives of the salaried employees and 82.34the nonsalaried production and maintenance employees of that producer. The District 11 83.1director of the United States Steelworkers of America, on advice of each local employee 83.2president, shall select the employee members. In nonorganized operations, the employee 83.3committee shall be elected by the nonsalaried production and maintenance employees. 83.4The review must be completed no later than six months after the producer presents a 83.5proposal for expenditure of the funds to the committee. The funds held pursuant to this 83.6section may be released only for acquisition of plant and stationary mining equipment 83.7and facilities for the producer or for research and development in Minnesota on new 83.8mining, or taconite, iron, or steel production technology, but only if the producer provides 83.9a matching expenditure to be used for the same purpose of at least 50 percent of the 83.10distribution based on 
         14.7 cents per ton beginning with distributions in 2002. Effective for 83.11proposals for expenditures of money from the fund approved beginning the day following 83.12final enactment, the commissioner may release the funds only if the proposed expenditure 83.13is approved by a majority of the members of the Iron Range Resources and Rehabilitation 83.14Board. If a producer uses money which has been released from the fund prior to the day 83.15following final enactment to procure haulage trucks, mobile equipment, or mining shovels, 83.16and the producer removes the piece of equipment from the taconite tax relief area defined 83.17in section 
         273.134 within ten years from the date of receipt of the money from the fund, 83.18a portion of the money granted from the fund must be repaid to the taconite economic 83.19development fund. The portion of the money to be repaid is 100 percent of the grant if the 83.20equipment is removed from the taconite tax relief area within 12 months after receipt of 83.21the money from the fund, declining by ten percent for each of the subsequent nine years 83.22during which the equipment remains within the taconite tax relief area. If a taconite 83.23production facility is sold after operations at the facility had ceased, any money remaining 83.24in the fund for the former producer may be released to the purchaser of the facility on 83.25the terms otherwise applicable to the former producer under this section. If a producer 83.26fails to provide matching funds for a proposed expenditure within six months after the 83.27commissioner approves release of the funds, the funds are available for release to another 83.28producer in proportion to the distribution provided and under the conditions of this section. 83.29Any portion of the fund which is not released by the commissioner within two years of its 83.30deposit in the fund shall be divided between the taconite environmental protection fund 83.31created in section 
         298.223 and the Douglas J. Johnson economic protection trust fund 83.32created in section 
         298.292 for placement in their respective special accounts. Two-thirds 83.33of the unreleased funds shall be distributed to the taconite environmental protection fund 83.34and one-third to the Douglas J. Johnson economic protection trust fund. 83.35EFFECTIVE DATE.This section is effective for proposals for expenditures of 83.36money from the fund the day following final enactment.84.1    Sec. 4. APPROPRIATION; IRON RANGE RESOURCES AND 84.2REHABILITATION BOARD.84.3    $500,000 is appropriated from the Iron Range Resources and Rehabilitation Board 84.4fund for fiscal year 2008 for allocation in this section:84.5    (1) $225,000 is for Aitkin County Growth, Inc. to extend electric service and other 84.6infrastructure to a peat project in Spencer Township in Aitkin County;84.7    (2) $75,000 is for a nonprofit organization for the preservation of the B'nai Abraham 84.8Synagogue in Virginia, of which $50,000 is for renovation and $25,000 is for a permanent 84.9endowment for the preservation;84.10    (3) $150,000 is for a grant to the Iron Range youth in action program to assist the 84.11organization to employ youth for the construction of community centers; and84.12    (4) $50,000 is for a grant to the Iron Range retriever club for pond and field 84.13construction.84.14    These are onetime appropriations.84.15    Sec. 5. IRRRB BUILDING.84.16    The Iron Range Resources and Rehabilitation Board office building in Eveleth, 84.17Minnesota is designated and named the Joe Begich Building and shall be signed as such 84.18at every entrance.84.19ARTICLE 784.20ELECTRICAL84.21    Section 1. Minnesota Statutes 2006, section 326.01, subdivision 6g, is amended to read:84.22    Subd. 6g. Personal direct supervision.The term "personal "Direct supervision" 84.23means that a person licensed to perform electrical work oversees and directs the electrical 84.24work performed by an unlicensed person such that:84.25    (1) the licensed person actually reviews the electrical work performed by the 84.26unlicensed person an unlicensed individual is being supervised by an individual licensed 84.27to perform the electrical work being supervised;84.28    (2) during the entire working day of the unlicensed individual, the licensed 84.29individual is physically present at the location where the unlicensed individual is 84.30preforming electrical work and immediately available to the unlicensed individual;84.31    (3) the licensed person individual is physically present and immediately available to 84.32the unlicensed person individual at all times for assistance and direction; and84.33    (4) electronic supervision does not meet the requirement of physically present and 84.34immediately available;85.1    (5) the licensed individual shall review the electrical work performed by the 85.2unlicensed individual before the electrical work is operated; and85.3    (3) (6) the licensed person individual is able to and does determine that all electrical 85.4work performed by the unlicensed person individual is performed in compliance with 85.5section 
         326.243. 85.6    The licensed person individual is responsible for the compliance with section 85.7326.243
          of all electrical work performed by the unlicensed person individual. 85.8    Sec. 2. Minnesota Statutes 2006, section 326.241, subdivision 1, is amended to read:85.9    Subdivision 1. Composition.(a) The Board of Electricity shall consist of 11 1285.10members, residents of the state, appointed by the governor of whom and confirmed by 85.11the senate. The commissioner of labor and industry or the commissioner's designee shall 85.12be a nonvoting member. The first appointed board members shall serve an initial term 85.13of four years, except where designated otherwise. The governor shall then reappoint the 85.14current members or appoint replacement members, all or in part, to subsequent three-year 85.15terms. Midterm vacancies shall be filled for the remaining portion of the term. Vacancies 85.16occurring with less than six months time remaining in the term shall be filled for the 85.17existing term and the following three-year term. Of the 11 appointed members, the 85.18composition shall be as follows:85.19    (1) two shall be representatives of the electrical suppliers in the rural areas of the 85.20state,85.21    (2) two shall be master electricians, who shall be contractors,85.22    (3) two journeyman electricians,85.23    (4) one registered consulting electrical engineer,85.24    (5) two power limited technicians, who shall be technology system contractors 85.25primarily engaged in the business of installing technology circuits or systems, and85.26    (6) two public members as defined by section 
         214.02.85.27    (b) Except as provided herein, membership terms, compensation of members, 85.28removal of members, the filling of membership vacancies, and fiscal year and reporting 85.29requirements shall be as provided in sections 
         214.07 to 
         214.09. The provision of staff, 85.30administrative services and office space; the review and processing of complaints; the 85.31setting of board fees; and other provisions relating to board operations shall be as provided 85.32in chapter 214. 85.33    Sec. 3. Minnesota Statutes 2006, section 326.241, subdivision 2, is amended to read:86.1    Subd. 2. Powers.(a) The board, or the complaint committee on behalf of the board 86.2where authorized by law, shall have power to:86.3    (1) Elect its own officers.86.4    (2) Engage and fix the compensation of inspectors, and hire employees. The salary 86.5of the executive secretary shall be established pursuant to chapter 43A. All agents and 86.6employees other than contract inspectors shall be in the classified service and shall be 86.7compensated pursuant to chapter 43A. All inspectors shall hold licenses as master or 86.8journeyman electricians under section 326.242, subdivision 1(1) or 2(1), and shall give 86.9bond in an amount fixed by the board, conditioned upon the faithful performance of 86.10their duties.86.11    (3) (2) Pay such other expenses as it may deem necessary in the performance of its 86.12duties, including rent, supplies, and such like.86.13    (3) Select from its members individuals to serve on any other state advisory councils, 86.14boards, or committees.86.15    (4) Enforce the provisions of sections 
         326.241 to 
         326.248, and provide, upon 86.16request, such additional voluntary inspections and reviews as it may deem appropriate. 86.17    (5) Issue, renew, refuse to renew, suspend, temporarily suspend, and revoke licenses, 86.18censure licensees, assess civil penalties, issue cease and desist orders, and seek injunctive 86.19relief and civil penalties in court as authorized by section 326.242 and other provisions of 86.20Minnesota law. Establish the committees required herein and any others deemed necessary 86.21by the board or requested by the commissioner.86.22    (6) Adopt reasonable rules to carry out its duties under sections 
         326.241 to 
         326.24886.23and to provide for the amount and collection of fees for inspection and other services. All 86.24rules shall be adopted in accordance with chapter 14. 86.25    (7) Advise the commissioner on issues related to sections 326.241 to 326.248 or as 86.26requested by the commissioner.86.27    (b) Except for the powers granted to the Electricity Board the commissioner of labor 86.28and industry shall administer the provisions of sections 326.241 to 326.248 and for such 86.29purposes may employ electrical inspectors and other assistants.86.30    Sec. 4. Minnesota Statutes 2006, section 326.242, subdivision 3d, is amended to read:86.31    Subd. 3d. Power limited technician. (a) Except as otherwise provided by law, no 86.32person shall install, alter, repair, plan, lay out, or supervise the installing, altering, or 86.33repairing of electrical wiring, apparatus, or equipment for technology circuits or systems 86.34unless:86.35    (1) the person is licensed by the board as a power limited technician; and87.1    (2) the electrical work is:87.2    (i) for a licensed contractor and the person is an employee, partner, or officer of, 87.3or is the licensed contractor; or87.4    (ii) performed under the supervision of a master electrician or power limited 87.5technician also employed by the person's employer on technology circuits, systems, 87.6apparatus, equipment, or facilities owned or leased by the employer that are located within 87.7the limits of property owned or leased, operated, and maintained by the employer.87.8    (b) An applicant for a power limited technician's license shall (1) be a graduate of a 87.9four-year electrical course in an accredited college or university; or (2) have had at least 36 87.10months' experience, acceptable to the board, in planning for, laying out, supervising, and 87.11installing wiring, apparatus, or equipment for power limited systems, provided however, 87.12that the board may by rule provide for the allowance of up to 12 months (2,000 hours) 87.13of experience credit for successful completion of a two-year post high school electrical 87.14course or other technical training approved by the board.87.15    (c) The board may initially set experience requirements without rulemaking, but 87.16must adopt rules before July 1, 2004.87.17    (d) Licensees must attain eight hours of continuing education acceptable to the 87.18board every renewal period.87.19    (e) A person who has submitted an application by June 30, 2003, to take the alarm 87.20and communications examination administered by the board, and who has achieved a 87.21minimal score of 70 percent on the examination by September 30, 2003, may obtain a 87.22power limited technician license without further examination by submitting an application 87.23and a license fee of $30.87.24    (f) A company holding an alarm and communication license as of June 30, 2003, 87.25may designate one person who may obtain a power limited technician license without 87.26passing an examination administered by the board by submitting an application and 87.27license fee of $30.87.28    (g) A person who has submitted an application by September 30, 2005 December 87.2931, 2007, to take the power limited technician examination administered by the board87.30department is not required to meet the qualifications set forth in paragraph (b).87.31EFFECTIVE DATE.This section is effective the day following final enactment.87.32    Sec. 5. Minnesota Statutes 2006, section 326.242, subdivision 5, is amended to read:87.33    Subd. 5. Unlicensed persons individuals. (a) An unlicensed person individual 87.34means an individual who has not been licensed by the Board of Electricity as a Class A 87.35master electrician or as a Class A journeyman electrician. An unlicensed individual shall 88.1not perform electrical work required to be performed by a licensed individual unless the 88.2individual has first registered with the Board of Electricity as an unlicensed individual. 88.3Thereafter, an unlicensed individual shall not perform electrical work required to be 88.4performed by a licensed individual unless the work is performed under the personal direct88.5supervision of a person an individual actually licensed to perform such work and. The 88.6licensed electrician individual and unlicensed persons are individual must be employed 88.7by the same employer. Licensed persons individuals shall not permit unlicensed persons88.8individuals to perform electrical work except under the personal direct supervision of 88.9a person an individual actually licensed to perform such work. Unlicensed persons88.10individuals shall not supervise the performance of electrical work or make assignments 88.11of electrical work to unlicensed persons individuals. Except for technology circuit or 88.12system work, licensed persons individuals shall supervise no more than two unlicensed 88.13persons individuals. For technology circuit or system work, licensed persons individuals88.14shall supervise no more than three unlicensed persons individuals.88.15    (b) Notwithstanding any other provision of this section, no person individual other 88.16than a master electrician or power limited technician shall plan or lay out electrical wiring, 88.17apparatus, or equipment for light, heat, power, or other purposes, except circuits or 88.18systems exempted from personal licensing by subdivision 12, paragraph (b).88.19    (c) Contractors employing unlicensed persons performing individuals to perform88.20electrical work shall maintain records establishing compliance with this subdivision, 88.21which that shall designate identify all unlicensed persons individuals performing electrical 88.22work, except for persons working on circuits or systems exempted from personal licensing 88.23by subdivision 12, paragraph (b), and shall permit the board to examine and copy all such 88.24records as provided for in section 
         326.244, subdivision 6. 88.25    (d) When a licensed individual supervises the electrical work of an unlicensed 88.26individual, the licensed individual is responsible for ensuring that the electrical work 88.27complies with sections 326.241 to 326.248 and rules adopted.88.28    Sec. 6. Minnesota Statutes 2006, section 326.242, is amended by adding a subdivision 88.29to read:88.30    Subd. 5a.Registration of unlicensed individuals.Unlicensed individuals 88.31performing electrical work for a contractor or employer shall register with the department 88.32in the manner prescribed by the commissioner. Experience credit for electrical work 88.33performed after January 1, 2008, by an applicant for a license identified in this section 88.34shall not be granted where the applicant has not registered with or is not licensed by 88.35the department.89.1    Sec. 7. Minnesota Statutes 2006, section 326.242, subdivision 11, is amended to read:89.2    Subd. 11. Reciprocity.To the extent that any other state which provides for the 89.3licensing of electricians provides for similar action the board may grant licenses, without 89.4examination, of the same grade and class to an electrician who has been licensed by such 89.5other state for at least one year, upon payment by the applicant of the required fee and 89.6upon the board being furnished with proof that the required fee and upon the board being 89.7furnished with proof that the qualifications of the applicant are equal to the qualifications 89.8of holders of similar licenses in Minnesota. The commissioner may enter into reciprocity 89.9agreements for personal licenses with another state if approved by the board. Once 89.10approved by the board, the commissioner may issue a personal license without requiring 89.11the applicant to pass an examination provided the applicant:89.12    (a) submits an application under section 326.242;89.13    (b) pays the fee required under section 326.242; and89.14    (c) holds a valid comparable license in the state participating in the agreement.89.15    Agreements are subject to the following:89.16    (1) The parties to the agreement must administer a statewide licensing program that 89.17includes examination and qualifying experience or training comparable to Minnesota's.89.18    (2) The experience and training requirements under which an individual applicant 89.19qualified for examination in the qualifying state must be deemed equal to or greater than 89.20required for an applicant making application in Minnesota at the time the applicant 89.21acquired the license in the qualifying state.89.22    (3) The applicant must have acquired the license in the qualifying state through an 89.23examination deemed equivalent to the same class of license examination in Minnesota. 89.24A lesser class of license may be granted where the applicant has acquired a greater 89.25class of license in the qualifying state and the applicant otherwise meets the conditions 89.26of this subdivision.89.27    (4) At the time of application, the applicant must hold a valid license in the 89.28qualifying state and have held the license continuously for at least one year before making 89.29application in Minnesota.89.30    (5) An applicant is not eligible for a license under this subdivision if the applicant 89.31has failed the same or greater class of license examination in Minnesota, or if the 89.32applicant's license of the same or greater class has been revoked or suspended.89.33    (6) An applicant who has failed to renew a personal license for two years or more 89.34after its expiration is not eligible for a license under this subdivision.89.35    Sec. 8. REPEALER.90.1Minnesota Statutes 2006, sections 326.01, subdivision 4; and 326.242, subdivision 90.24, are repealed.90.3EFFECTIVE DATE.This section is effective the day following final enactment.90.4ARTICLE 890.5APPRENTICESHIP BOARD90.6    Section 1. Minnesota Statutes 2006, section 178.01, is amended to read:90.7178.01 PURPOSES.90.8    The purposes of this chapter are: to open to young people regardless of race, sex, 90.9creed, color or national origin, the opportunity to obtain training that will equip them for 90.10profitable employment and citizenship; to establish as a means to this end, a program 90.11of voluntary apprenticeship under approved apprentice agreements providing facilities 90.12for their training and guidance in the arts, skills, and crafts of industry and trade, with 90.13concurrent, supplementary instruction in related subjects; to promote employment 90.14opportunities under conditions providing adequate training and reasonable earnings; 90.15to relate the supply of skilled workers to employment demands; to establish standards 90.16for apprentice training; to establish an Apprenticeship Advisory Council Board and 90.17apprenticeship committees to assist in effectuating the purposes of this chapter; to provide 90.18for a Division of Labor Standards and Apprenticeship within the Department of Labor 90.19and Industry; to provide for reports to the legislature regarding the status of apprentice 90.20training in the state; to establish a procedure for the determination of apprentice agreement 90.21controversies; and to accomplish related ends.90.22    Sec. 2. Minnesota Statutes 2006, section 178.02, is amended to read:90.23178.02 APPRENTICESHIP ADVISORY COUNCIL BOARD.90.24    Subdivision 1. Members. The commissioner of labor and industry, hereinafter 90.25called the commissioner, shall appoint an Apprenticeship Advisory Council Board, 90.26hereinafter referred to as the council board, composed of three representatives each from 90.27employer and employee organizations, and two representatives of the general public. The 90.28director of education responsible for career and technical education or designee shall be an 90.29ex officio member of the council board and shall serve in an advisory capacity only.90.30    Subd. 2. Terms. The council board shall expire and the terms, compensation, and 90.31removal of appointed members shall be as provided in section 
         15.059, except that the 90.32council shall not expire before June 30, 2003. 91.1    Subd. 4. Duties. The council board shall meet at the call of the commissioner. It 91.2shall propose occupational classifications for apprenticeship programs; propose minimum 91.3standards for apprenticeship programs and agreements; and advise on the establishment 91.4of such policies, procedures, and rules as the commissionerboard deems necessary in 91.5implementing the intent of this chapter.91.6    Sec. 3. Minnesota Statutes 2006, section 178.03, subdivision 3, is amended to read:91.7    Subd. 3. Duties and functions. The director, under the supervision of the 91.8commissioner, and with the advice and oversight of the Apprenticeship Advisory 91.9Council Board, is authorized: to administer the provisions of this chapter; to promote 91.10apprenticeship and other forms of on the job training; to establish, in cooperation and 91.11consultation with the Apprenticeship Advisory Council Board and with the apprenticeship 91.12committees, conditions and training standards for the approval of apprenticeship programs 91.13and agreements, which conditions and standards shall in no case be lower than those 91.14prescribed by this chapter; to promote equal employment opportunity in apprenticeship 91.15and other on the job training and to establish a Minnesota plan for equal employment 91.16opportunity in apprenticeship which shall be consistent with standards established 91.17under Code of Federal Regulations, title 29, part 30, as amended; to issue certificates of 91.18registration to sponsors of approved apprenticeship programs; to act as secretary of the 91.19Apprenticeship Advisory Council Board; to approve, if of the opinion that approval is 91.20for the best interest of the apprentice, any apprenticeship agreement which meets the 91.21standards established hereunder; to terminate any apprenticeship agreement in accordance 91.22with the provisions of such agreement; to keep a record of apprenticeship agreements and 91.23their disposition; to issue certificates of completion of apprenticeship; and to perform 91.24such other duties as the commissioner deems necessary to carry out the intent of this 91.25chapter; provided, that the administration and supervision of supplementary instruction in 91.26related subjects for apprentices; coordination of instruction on a concurrent basis with 91.27job experiences, and the selection and training of teachers and coordinators for such 91.28instruction shall be the function of state and local boards responsible for vocational 91.29education. The director shall have the authority to make wage determinations applicable 91.30to the graduated schedule of wages and journeyman wage rate for apprenticeship 91.31agreements, giving consideration to the existing wage rates prevailing throughout the 91.32state, except that no wage determination by the director shall alter an existing wage 91.33provision for apprentices or journeymen that is contained in a bargaining agreement in 91.34effect between an employer and an organization of employees, nor shall the director 92.1make any determination for the beginning rate for an apprentice that is below the wage 92.2minimum established by federal or state law.92.3    Sec. 4. Minnesota Statutes 2006, section 178.041, subdivision 1, is amended to read:92.4    Subdivision 1. Rules. The commissioner may, upon receipt of the council's board's92.5proposals, accept, adopt, and issue them by rule with any modifications or amendments 92.6the commissioner finds appropriate. The commissioner may refer them back to the 92.7council board with recommendations for further study, consideration and revision. If 92.8the commissioner refuses to accept, adopt, and issue by rule or other appropriate action 92.9a board proposal, the commissioner must provide a written explanation of the reason 92.10for the refusal to the board within 30 days after the board submitted the proposal to the 92.11commissioner. Additional rules may be issued as the commissioner may deem necessary.92.12ARTICLE 992.13MINNESOTA HERITAGE

92.14Section 1.  SUMMARY OF APPROPRIATIONS.

92.15    The amounts shown in this section summarize direct appropriations by fund made 92.16in this article.

92.1720082009Total92.18General$51,175,000$47,510,000$98,685,00092.19Total$51,175,000$47,510,000$98,685,000

92.20Sec. 2. MINNESOTA HERITAGE APPROPRIATIONS.

92.21    The sums shown in the columns marked "Appropriations" are appropriated to the 92.22agencies and for the purposes specified in this article. The appropriations are from the 92.23general fund, or another named fund, and are available for the fiscal years indicated 92.24for each purpose. The figures "2008" and "2009" used in this article mean that the 92.25appropriations listed under them are available for the fiscal year ending June 30, 2008, or 92.26June 30, 2009, respectively. "The first year" is fiscal year 2008. "The second year" is fiscal 92.27year 2009. "The biennium" is fiscal years 2008 and 2009. Appropriations for the fiscal 92.28year ending June 30, 2007, are effective the day following final enactment.

92.29APPROPRIATIONS92.30Available for the Year92.31Ending June 3092.3220082009

92.33Sec. 3. EXPLORE MINNESOTA TOURISM$11,669,000$12,587,000

93.1(a) To develop maximum private sector 93.2involvement in tourism, $1,000,000 the first 93.3year and $2,000,000 the second year must 93.4be matched by Explore Minnesota Tourism 93.5from nonstate sources. Each $1 of state 93.6incentive must be matched with $3 of private 93.7sector funding. Cash match is defined as 93.8revenue to the state or documented cash 93.9expenditures directly expended to support 93.10Explore Minnesota Tourism programs. Up 93.11to one-half of the private sector contribution 93.12may be in-kind or soft match. The incentive 93.13in the first year shall be based on fiscal 93.14year 2007 private sector contributions as 93.15prescribed in Laws 2005, First Special 93.16Session chapter 1, article 3, section 6. The 93.17incentive increase in the second year will 93.18be based on fiscal year 2008 private sector 93.19contributions. This incentive is ongoing.93.20(b) Funding for the marketing grants is 93.21available either year of the biennium. 93.22Unexpended grant funds from the first year 93.23are available in the second year.93.24(c) Any unexpended money from the general 93.25fund appropriations made under this section 93.26does not cancel but must be placed in a 93.27special marketing account for use by Explore 93.28Minnesota Tourism for additional marketing 93.29activities.93.30(d) $250,000 the first year and $250,000 93.31the second year are for operating costs of 93.32the Minnesota Film and TV Board. The 93.33appropriation in each year is available 93.34only upon receipt by the board of $1 in 93.35matching contributions of money or in-kind 94.1contributions from nonstate sources for every 94.2$3 provided by this appropriation.94.3(e) $750,000 is appropriated each year for a 94.4grant to the Minnesota Film and TV Board 94.5for the film jobs production program under 94.6Minnesota Statutes, section 116U.26. Of 94.7this amount, up to $25,000 each year may 94.8be used for administration. The budget base 94.9for the film jobs production program shall be 94.10$500,000 in fiscal year 2010 and $500,000 in 94.11fiscal year 2011.94.12(f) $150,000 the first year is for a onetime 94.13grant to St. Louis County to be used for 94.14feasibility studies and planning activities 94.15concerning additional uses for the St. Louis 94.16County Heritage and Arts Center at the 94.17Duluth depot. The studies and planning 94.18activities must include:94.19(1) examining the costs and benefits of 94.20relocating the Northeast Minnesota Office of 94.21Tourism to the Duluth depot;94.22(2) establishing a heritage tourism center at 94.23the Duluth depot;94.24(3) developing a multimodal operational plan 94.25integrating railroad and bus service; and94.26(4) identifying additional services and 94.27activities that would contribute toward 94.28returning the Duluth depot to being a 94.29working railroad station and cultural gateway 94.30to Duluth and St. Louis County.94.31This appropriation is available until June 30, 94.322009.

94.3394.34Sec. 4. MINNESOTA HISTORICAL SOCIETY

95.1Subdivision 1.Total Appropriation$29,031,000$24,441,000

95.2The amounts that may be spent for each 95.3purpose are specified in the following 95.4subdivisions.95.5$500,000 the first year and $500,000 the 95.6second year are for increased rent costs. This 95.7amount is added to the society's base budget.

95.8Subd. 2.Education and Outreach17,307,00013,765,000

95.9(a) Of this amount, $1,700,000 the first year 95.10is a onetime appropriation for the Minnesota 95.11Sesquicentennial Commission. Of this 95.12appropriation, $750,000 is for competitive 95.13matching grants for local events and projects; 95.14$750,000 is for planning and support of 95.15statewide activities, and up to $200,000 may 95.16be used for administration.95.17The Minnesota Historical Society, the State 95.18Arts Board, and Explore Minnesota Tourism 95.19may assist the commission in designing and 95.20implementing the grants program.95.21The commission shall encourage private 95.22contributions to match the state funds to 95.23the greatest extent possible. Contributions 95.24received by the commission are appropriated 95.25to the commission.95.26(b) $1,500,000 the first year is for a 95.27grant-in-aid program for county and local 95.28historical societies. The Minnesota Historical 95.29Society shall establish program guidelines 95.30and grant evaluation and award criteria for 95.31the program. Each dollar of state funds 95.32awarded to a grantee must be matched with 95.33nonstate funds on a dollar-for-dollar basis by 96.1a grantee. This is a onetime appropriation 96.2and is available until expended. 96.3(c) $500,000 the first year is for a grant-in-aid 96.4program for county and local historical 96.5societies for the repair, restoration, and 96.6preservation of historic sites and buildings 96.7in Minnesota. The Minnesota Historical 96.8Society shall establish program guidelines 96.9and grant evaluation and award criteria for 96.10the program. This is a onetime appropriation 96.11and is available until expended.96.12(d) $60,000 each year is to offset the revenue 96.13loss from not charging fees for general tours 96.14at the Capitol. This appropriation is added to 96.15the society's base budget.96.16(e) Notwithstanding Minnesota Statutes, 96.17section 138.668, the Minnesota Historical 96.18Society may not charge a fee for its general 96.19tours at the Capitol, but may charge fees for 96.20special programs other than general tours.

96.21Subd. 3.Preservation and Access10,953,00010,271,000

96.22$500,000 the first year is to conduct a 96.23conservation survey and for restoration, 96.24treatment, moving, and storage of the 1905 96.25historic furnishings and works of art in the 96.26Minnesota State Capitol. This is a onetime 96.27appropriation and is available until June 30, 96.282009.96.29$308,000 the first year is for the preservation 96.30of battle flags. This is a onetime appropriation 96.31and is available until June 30, 2009.

96.32Subd. 4.Pass-Through Appropriations771,000405,000

96.33(a) Minnesota International Center43,00043,000

96.34(b) Minnesota Air National Guard Museum16,000-0-

97.1(c) Minnesota Military Museum234,000234,000

97.2(d) Farmamerica128,000128,000

97.3(e) Balances Forward

97.4Any unencumbered balance remaining in 97.5this subdivision the first year does not cancel 97.6but is available for the second year of the 97.7biennium.97.8$150,000 the first year is for a onetime 97.9grant to the Nicollet County Historical 97.10Society for renovation of the center exhibit 97.11gallery in the Treaty Site History Center 97.12in St. Peter, including additions to the 97.13center's infrastructure and state-of-the-art 97.14interpretive elements. This appropriation is 97.15available until the project is completed or 97.16abandoned, subject to Minnesota Statutes, 97.17section 16A.642.97.18$200,000 the first year is for a grant to 97.19the Hmong Studies Center at Concordia 97.20University in St. Paul, Minnesota, to be 97.21used for preservation of Hmong historical 97.22artifacts and documents. Any part of the 97.23appropriation not used in fiscal year 2008 is 97.24available for use in fiscal year 2009. This is 97.25a onetime appropriation and is available until 97.26expended.

97.27Subd. 5.Fund Transfer

97.28The Minnesota Historical Society may 97.29reallocate funds appropriated in and between 97.30subdivisions 2 and 3 for any program 97.31purposes.

97.32Subd. 6.Minnesota River Valley Study Group

98.1The Minnesota Historical Society in 98.2cooperation with Explore Minnesota Tourism 98.3shall establish and coordinate a Minnesota 98.4River Valley study group. The Minnesota 98.5River Valley study group shall be comprised 98.6of representatives of the Minnesota Valley 98.7Scenic Byway Alliance, the Department 98.8of Natural Resources, the Department 98.9of Transportation, the Minnesota Indian 98.10Affairs Council, the Region 6 West, Region 98.116 East, Region 8 and Region 9 Regional 98.12Development Commissions, the Minnesota 98.13Historical Society, Explore Minnesota 98.14Tourism, State Arts Board, and other 98.15interested parties. The study group must 98.16develop a plan for coordinated activities 98.17among organizations represented on the 98.18study group to enhance and promote historic 98.19sites, and historic, scenic, and natural 98.20features of the Minnesota River Valley 98.21area. Study topics shall include, but are 98.22not limited to, historic sites related to the 98.23Dakota Conflict of 1862 and the state and 98.24local preparations for the sesquicentennial of 98.25this event. The Minnesota Historical Society 98.26and Explore Minnesota Tourism shall report 98.27on the findings and recommendations of 98.28the Minnesota River Valley study group to 98.29the standing committees of the house of 98.30representatives and senate with jurisdiction 98.31over historic sites and tourism by March 1, 98.322008. The Minnesota River Valley study 98.33group shall serve without compensation.

98.34Sec. 5. BOARD OF THE ARTS

98.35Subdivision 1.Total Appropriation$9,975,000$9,982,000

99.1The amounts that may be spent for each 99.2purpose are specified in the following 99.3subdivisions.

99.4Subd. 2.Operations and Services637,000644,000

99.5Subd. 3.Grants Programs6,452,0006,452,000

99.6The base budget for the grants program 99.7shall be $5,924,000 in fiscal year 2010 and 99.8$5,924,000 in fiscal year 2011.

99.9Subd. 4.Regional Arts Councils2,886,0002,886,000

99.10The base budget for the regional arts councils 99.11shall be $2,539,000 in fiscal year 2010 and 99.12$2,539,000 in fiscal year 2011.

99.1399.14Sec. 6. MINNESOTA HUMANITIES COMMISSION$500,000$500,000

99.15Of this amount, ten percent each year is 99.16for lifelong learning programs in greater 99.17Minnesota communities that do not 99.18receive financial support from other large 99.19educational institutions. The base budget 99.20for the Minnesota Humanities Commission 99.21is $500,000 each year in the 2010-2011 99.22biennium.99.23    Sec. 7. Minnesota Statutes 2006, section 190.096, is amended to read:99.24190.096 BATTLE FLAGS; REPAIR.99.25    Subdivision 1. Authority to repair. Notwithstanding the provisions of Minnesota 99.26Statutes 1961, chapters 16 and 43, the adjutant general or the Minnesota Historical 99.27Society may contract for the repair, restoration, and preservation of regimental battle flags, 99.28standards, and guidons with persons or corporations skilled in such repair, restoration, and 99.29preservation, upon terms or conditions the adjutant general or the Minnesota Historical 99.30Society deems proper, subject to the approval of the commissioner of administration.99.31    Subd. 2. Surrender. Notwithstanding the provisions of this section or section 99.32190.09
         , the adjutant general or the Minnesota Historical Society may, for the purposes 99.33of this section, surrender the immediate custody and control of regimental battle flags, 100.1standards, and guidons under conditions and safeguards the adjutant general or the 100.2Minnesota Historical Society deems necessary and proper, for such time as is reasonably 100.3necessary for their restoration, after which they shall at once be again properly stored 100.4or displayed. The adjutant general or the Minnesota Historical Society shall provide 100.5adequate storage and display space for flags, standards, and guidons which have been 100.6repaired and restored. 100.7    Subd. 3.Battle flags; care and control.(a) The flags and colors carried by 100.8Minnesota troops in the Civil War, Indian Wars, and the Spanish-American War shall be 100.9preserved under the care and control of the Minnesota Historical Society. They shall be 100.10suitably encased and marked, and, so far as the historical society may deem it consistent 100.11with the safety of the flags and colors, they shall be publicly displayed in the capitol.100.12    (b) The flags and colors carried by Minnesota troops in subsequent wars shall be 100.13preserved under the care and control of the adjutant general. They shall be suitably 100.14encased and marked, and, so far as the adjutant general may deem it consistent with the 100.15safety of the flags and colors, shall be publicly displayed.100.16ARTICLE 10100.17HOUSING

100.18Section 1. SUMMARY OF APPROPRIATIONS.

100.19    The amounts shown in this section summarize direct appropriations, by fund, made 100.20in this article.

100.2120082009Total100.22General$ 67,896,000$ 49,040,000$116,936,000100.23TANF$3,075,000$3,075,000$6,150,000100.24Total$ 70,971,000$ 52,115,000$123,086,000

100.25Sec. 2. HOUSING.

100.26    The sums shown in the columns marked "Appropriations" are appropriated to the 100.27agencies and for the purposes specified. The appropriations are from the general fund, or 100.28another named fund, and are available for the fiscal years indicated for each purpose. The 100.29figures "2008" and "2009" used in this act mean that the appropriations listed under them 100.30are available for the fiscal year ending June 30, 2008, or June 30, 2009, respectively. "The 100.31first year" is fiscal year 2008. "The second year" is fiscal year 2009. "The biennium" is 100.32fiscal years 2008 and 2009. Appropriations for the fiscal year ending June 30, 2007, are 100.33effective the day following final enactment.

101.1APPROPRIATIONS101.2Available for the Year101.3Ending June 30101.420082009

101.5Sec. 3. HOUSING FINANCE AGENCY

101.6Subdivision 1.Total Appropriation$ 70,971,000$ 52,115,000

101.7Appropriations by Fund101.820082009101.9General 67,896,000 49,040,000101.10TANF3,075,0003,075,000

101.11This appropriation is for transfer to the 101.12housing development fund. The amounts 101.13that may be spent from this appropriation 101.14for certain programs are specified in the 101.15following subdivisions. Except as otherwise 101.16indicated, this transfer is part of the agency's 101.17permanent budget base.101.18Of this amount, $3,075,000 the first year 101.19and $3,075,000 the second year are onetime 101.20appropriations from the state's federal TANF 101.21block grant under Title I of Public Law 101.22Number 104-193 to the commissioner of 101.23human services, to reimburse the housing 101.24development fund for assistance under 101.25the programs for families receiving TANF 101.26assistance under the MFIP program. The 101.27commissioner of human services shall make 101.28monthly reimbursements to the housing 101.29development fund. The commissioner 101.30of human services shall not make any 101.31reimbursement which the commissioner 101.32determines would be subject to a penalty 101.33under Code of Federal Regulations, section 101.34262.1. If the appropriation in either year is 102.1insufficient, the appropriation for the other 102.2year is available.

102.3102.4Subd. 2.Economic Development and Housing Challenge

102.5(a) $21,308,000 the first year and $9,622,000 102.6the second year are for the economic 102.7development and housing challenge program 102.8under Minnesota Statutes, section 462A.33, 102.9for housing that:102.10(i) conserves energy and utilizes sustainable, 102.11healthy building materials;102.12(ii) preserves sensitive natural areas and 102.13open spaces and minimizes the need for new 102.14infrastructure; 102.15(iii) is accessible to jobs and services through 102.16integration with transportation or transit 102.17systems; and102.18(iv) expands the mix of housing choices in 102.19a community by diversifying the levels of 102.20housing affordability. 102.21The agency may fund demonstration projects 102.22that have unique approaches to achieving the 102.23housing described above. 102.24(b) The base is reduced by $3,407,000 each 102.25year in fiscal year 2010 and fiscal year 2011.

102.26Subd. 3.Housing Trust Fund

102.27$15,195,000 the first year and $11,945,000 102.28the second year are for the housing trust fund 102.29account created under Minnesota Statutes, 102.30section 462A.201, for the purposes of that 102.31section. Of this amount, $1,500,000 the first 102.32year and $1,500,000 in the second year is a 102.33onetime appropriation from the state's federal 102.34TANF block grant. The general fund base 103.1is reduced by $1,890,000 each year in fiscal 103.2year 2010 and fiscal year 2011. 

103.3103.4Subd. 4.Bridges Rental Assistance for Mentally Ill

103.5$3,400,000 the first year and $3,400,000 103.6the second year are for a rental housing 103.7assistance program for persons with a mental 103.8illness or families with an adult member with 103.9a mental illness under Minnesota Statutes, 103.10section 462A.2097.

103.11Subd. 5.Family Homeless Prevention

103.12$7,565,000 the first year and $7,565,000 103.13the second year are for family homeless 103.14prevention and assistance programs under 103.15Minnesota Statutes, section 462A.204. Of 103.16this amount, $1,575,000 in the first year and 103.17$1,575,000 in the second year is a onetime 103.18appropriation from the state's federal TANF 103.19block grant. The general fund base is reduced 103.20by $2,225,000 each year in fiscal year 2010 103.21and fiscal year 2011.

103.22Subd. 6.Home Ownership Assistance Fund

103.23$1,885,000 the first year and $1,885,000 103.24the second year are for the home ownership 103.25assistance program under Minnesota 103.26Statutes, section 462A.21, subdivision 8. 103.27The base is reduced by $1,000,000 each year 103.28in fiscal year 2010 and fiscal year 2011.

103.29Subd. 7.Affordable Rental Investment Fund

103.30$11,496,000 the first year and $8,996,000 103.31the second year are for the affordable rental 103.32investment fund program under Minnesota 103.33Statutes, section 462A.21, subdivision 8b. 104.1Of this amount, $2,500,000 the first year is a 104.2onetime appropriation.104.3This appropriation is to finance the 104.4acquisition, rehabilitation, and debt 104.5restructuring of federally assisted rental 104.6property and for making equity take-out loans 104.7under Minnesota Statutes, section 462A.05, 104.8subdivision 39. The owner of the federally 104.9assisted rental property must agree to 104.10participate in the applicable federally assisted 104.11housing program and to extend any existing 104.12low-income affordability restrictions on the 104.13housing for the maximum term permitted. 104.14The owner must also enter into an agreement 104.15that gives local units of government, 104.16housing and redevelopment authorities, 104.17and nonprofit housing organizations the 104.18right of first refusal if the rental property 104.19is offered for sale. Priority must be given 104.20among comparable federally assisted rental 104.21properties to properties with the longest 104.22remaining term under an agreement for 104.23federal rental assistance. Priority must also 104.24be given among comparable rental housing 104.25developments to developments that are or 104.26will be owned by local government units, a 104.27housing and redevelopment authority, or a 104.28nonprofit housing organization.104.29This appropriation may also be used to 104.30finance the acquisition, rehabilitation, and 104.31debt restructuring of existing supportive 104.32housing properties. For purposes of this 104.33subdivision, "supportive housing" means 104.34affordable rental housing with links to 104.35services necessary for individuals, youth, and 105.1families with children to maintain housing 105.2stability.105.3Of this amount, $2,500,000 is appropriated 105.4for the purposes of financing the 105.5rehabilitation and operating costs to preserve 105.6public housing. For purposes of this 105.7subdivision, "public housing" is housing for 105.8low-income persons and households financed 105.9by the federal government and owned and 105.10operated by public housing authorities and 105.11agencies. Eligible public housing authorities 105.12must have a public housing assessment 105.13system rating of standard or above. Priority 105.14among comparable proposals must be given 105.15to proposals that maximize federal or local 105.16resources to finance the capital and operating 105.17costs.

105.18105.19Subd. 8.Housing Rehabilitation and Accessibility

105.20$5,657,000 the first year and $4,287,000 the 105.21second year are for the housing rehabilitation 105.22and accessibility program under Minnesota 105.23Statutes, section 462A.05, subdivisions 14a 105.24and 15a. The base is reduced by $629,000 105.25each year in fiscal year 2010 and fiscal year 105.262011.

105.27Subd. 9.Urban Indian Housing Program

105.28$187,000 the first year and $187,000 the 105.29second year are for the urban Indian housing 105.30program under Minnesota Statutes, section 105.31462A.07, subdivision 15. The base is 105.32reduced by $52,000 each year in fiscal year 105.332010 and fiscal year 2011.

105.34Subd. 10.Tribal Indian Housing Program

106.1$1,683,000 the first year and $1,683,000 106.2the second year are for the tribal Indian 106.3housing program under Minnesota Statutes, 106.4section 462A.07, subdivision 14. The base is 106.5reduced by $468,000 each year in fiscal year 106.62010 and fiscal year 2011.

106.7106.8Subd. 11.Home Ownership Education, Counseling, and Training

106.9$2,135,000 the first year and $2,135,000 106.10the second year are appropriated for the 106.11home ownership education, counseling, and 106.12training program under Minnesota Statutes, 106.13section 462A.209. The base is reduced by 106.14$1,460,000 each year in fiscal year 2010 and 106.15fiscal year 2011. Of this amount, $630,000 106.16the first year is for:106.17(1) foreclosure prevention and assistance 106.18activities in communities that have mortgage 106.19foreclosure rates that exceed the statewide 106.20average foreclosure rate for the most recent 106.21quarter for which data is available; and106.22(2) home buyer education and counseling 106.23activities by organizations that have 106.24experience working with emerging markets 106.25or partner with organizations with experience 106.26working with emerging markets and that have 106.27demonstrated a commitment to increasing the 106.28homeownership rate of emerging markets.

106.29Subd. 12.Capacity Building Grants

106.30$820,000 for the biennium is for capacity 106.31building grants under Minnesota Statutes 106.32section 462A.21, subdivision 3b. Of this 106.33amount, $140,000 is for continuum of 106.34care planning in greater Minnesota. This 107.1appropriation is the agency's base budget for 107.2this program.

107.3Subd. 13.Grant for Hennepin County

107.4$50,000 is a onetime appropriation in the 107.5first year for a grant to Hennepin County 107.6for collaboration with the Center for Urban 107.7and Regional Affairs at the University 107.8of Minnesota for the development of a 107.9predictive, data-driven model that can be 107.10used to identify at-risk properties in order to 107.11target resources to prevent foreclosure.107.12    Sec. 4. Minnesota Statutes 2006, section 462A.21, subdivision 8b, is amended to read:107.13    Subd. 8b. Family rental housing. It may establish a family rental housing 107.14assistance program to provide loans or direct rental subsidies for housing for families 107.15with incomes of up to 80 percent of state median income, or to provide grants for the 107.16operating cost of public housing. Priority must be given to those developments with 107.17resident families with the lowest income. The development may be financed by the 107.18agency or other public or private lenders. Direct rental subsidies must be administered by 107.19the agency for the benefit of eligible families. Financial assistance provided under this 107.20subdivision to recipients of aid to families with dependent children must be in the form 107.21of vendor payments whenever possible. Loans, grants, and direct rental subsidies under 107.22this subdivision may be made only with specific appropriations by the legislature. The 107.23limitations on eligible mortgagors contained in section 
         462A.03, subdivision 13, do not 107.24apply to loans for the rehabilitation of existing housing under this subdivision. 107.25    Sec. 5. Minnesota Statutes 2006, section 462A.33, subdivision 3, is amended to read:107.26    Subd. 3. Contribution requirement. Fifty percent of the funds appropriated for 107.27this section must be used for challenge grants or loans which meet the requirements of this 107.28subdivision for housing proposals with financial or in-kind contributions from nonstate 107.29resources that reduce the need for deferred loan or grant funds from state resources. These107.30Challenge grants or loans must be used for economically viable homeownership or rental 107.31housing proposals that:107.32    (1) include a financial or in-kind contribution from an area employer and either a unit 107.33of local government or a private philanthropic, religious, or charitable organization; and107.34    (2) address the housing needs of the local work force.108.1    Among comparable proposals, preference must be given to proposals that include 108.2contributions from nonstate resources for the greatest portion of the total development 108.3cost. Comparable proposals with contributions from local units of government or private 108.4philanthropic, religious, or charitable organizations must be given preference in awarding 108.5grants or loans.108.6    For the purpose of this subdivision, an employer a contribution may consist partially 108.7or wholly of the premium paid for federal housing tax credits.108.8    Preference for grants and loans shall also be given to comparable proposals that 108.9include a financial or in-kind contribution from a unit of local government, an area 108.10employer, and a private philanthropic, religious, or charitable organization.108.11    Sec. 6. Minnesota Statutes 2006, section 469.021, is amended to read:108.12469.021 PREFERENCES.108.13    As between applicants equally in need and eligible for occupancy of a dwelling 108.14and at the rent involved, preference shall be given to disabled veterans, persons with 108.15disabilities, and families of service persons who died in service and to families of veterans. 108.16In admitting families of low income to dwelling accommodations in any housing project an 108.17authority shall, as far as is reasonably practicable, give consideration to applications from 108.18families to which aid for dependent children is payable receiving assistance under chapter 108.19256J, and to resident families to whom public assistance or supplemental security income 108.20for the aged, blind, and disabled is payable, when those families are otherwise eligible.108.21    Sec. 7. MORTGAGE FORECLOSURE REDUCTION.108.22    The commissioner of the Minnesota Housing Finance Agency, in consultation 108.23with the commissioner of commerce, the attorney general, the Minnesota Mortgage 108.24Bankers' Association, Legal Services of Minnesota, the Minnesota Mortgage Foreclosure 108.25Prevention Association, and the Minnesota Sheriffs' Association shall evaluate the 108.26provisions of Minnesota Statutes, sections 580.04 and 580.041, to determine if corrective 108.27actions could be taken by the 2008 legislature to reduce mortgage foreclosures in the state.