1.1 	A bill for an act
1.2 	relating to state government; amending certain employment and economic 
1.3 	development provisions; establishing and modifying certain projects, grants, 
1.4 	and programs; making technical changes; regulating certain activities and 
1.5 	practices; defining terms; providing penalties; establishing working groups; 
1.6 	regulating unemployment insurance; regulating labor standards and wages; 
1.7 	providing for licensing and fees; amending Iron Range resources provisions; 
1.8 	regulating certain facilities; regulating certain boards and committees; modifying 
1.9 	certain Housing Finance Authority provisions; modifying Heritage Finance 
1.10 	provisions; requiring certain reports; appropriating money;amending Minnesota 
1.11 	Statutes 2008, sections 15.75, subdivision 5; 16B.54, subdivision 2; 16C.28, 
1.12 	by adding a subdivision; 41A.02, subdivision 17; 41A.036, subdivisions 4, 5; 
1.13 	84.94, subdivision 3; 85.0146, subdivision 1; 89A.08, subdivision 1; 115C.08, 
1.14 	subdivision 4; 116J.035, subdivisions 1, 6; 116J.401, subdivision 2; 116J.424; 
1.15 	116J.431, subdivisions 1, 2, 4, 6, by adding a subdivision; 116J.435, subdivision 
1.16 	3; 116J.554, subdivision 1; 116J.555, subdivision 1; 116J.68, subdivision 2; 
1.17 	116J.8731, subdivisions 2, 3; 116L.03, subdivision 5; 116L.05, subdivision 
1.18 	5; 116L.20, subdivision 1; 116L.362, subdivision 1; 116L.364, subdivision 
1.19 	3; 116L.871, subdivision 1; 116L.96; 116O.115, subdivisions 2, 4; 123A.08, 
1.20 	subdivision 1; 124D.49, subdivision 3; 129D.13, subdivisions 1, 2, 3; 129D.14, 
1.21 	subdivisions 4, 5, 6; 129D.155; 154.001; 154.003; 154.19; 154.44, subdivision 
1.22 	1; 154.51; 160.16, by adding a subdivision; 160.276, subdivision 8; 177.27, 
1.23 	subdivision 4; 177.30; 177.31; 177.32; 177.42, subdivision 6, by adding a 
1.24 	subdivision; 177.43, subdivision 3; 178.02, subdivision 2; 181.723, by adding a 
1.25 	subdivision; 182.656, subdivision 3; 214.01, subdivision 3; 214.04, subdivision 
1.26 	3; 216B.1612, subdivision 2; 241.27, subdivision 1; 248.061, subdivision 
1.27 	3; 248.07, subdivisions 7, 8; 256J.626, subdivision 4; 256J.66, subdivision 
1.28 	1; 268.031; 268.035, subdivisions 2, 17, by adding subdivisions; 268.042, 
1.29 	subdivision 3; 268.043; 268.044, subdivision 2; 268.047, subdivisions 1, 2; 
1.30 	268.051, subdivisions 1, 4; 268.052, subdivision 2; 268.053, subdivision 
1.31 	1; 268.057, subdivisions 4, 5; 268.0625, subdivision 1; 268.066; 268.067; 
1.32 	268.069, subdivisions 1, 2; 268.07, subdivisions 1, 2, 3, 3b; 268.084; 268.085, 
1.33 	subdivisions 1, 2, 3, 3a, 4, 5, 6, 15; 268.095, subdivisions 1, 2, 10, 11; 268.101, 
1.34 	subdivisions 1, 2; 268.103, subdivision 1, by adding a subdivision; 268.105, 
1.35 	subdivisions 1, 2, 3a, 4, 5; 268.115, subdivision 5; 268.125, subdivision 5; 
1.36 	268.135, subdivision 4; 268.145, subdivision 1; 268.18, subdivisions 1, 2, 4a; 
1.37 	268.186; 268.196, subdivisions 1, 2; 268.199; 268.211; 268A.06, subdivision 
1.38 	1; 270.97; 298.22, subdivisions 2, 5a, 6, 7, 8, 10, 11; 298.221; 298.2211, 
1.39 	subdivision 3; 298.2213, subdivisions 4, 5; 298.2214, subdivision 1, by adding a 
2.1 	subdivision; 298.223; 298.227; 298.28, subdivision 9d; 298.292, subdivision 2; 
2.2 	298.294; 298.296, subdivision 2; 298.2961; 298.297; 326B.33, subdivisions 13, 
2.3 	19; 326B.46, subdivision 4; 326B.475, subdivisions 4, 7; 326B.49, subdivision 
2.4 	1; 326B.56, subdivision 4; 326B.58; 326B.815, subdivision 1; 326B.821, 
2.5 	subdivision 2; 326B.86, subdivision 1; 326B.885, subdivision 2; 326B.89, 
2.6 	subdivisions 3, 16; 326B.94, subdivision 4; 326B.972; 326B.986, subdivisions 2, 
2.7 	5, 8; 327B.04, subdivisions 7, 8, by adding a subdivision; 327C.03, by adding 
2.8 	a subdivision; 327C.095, subdivisions 12, 13; 462A.05, subdivisions 14, 14a; 
2.9 	469.169, subdivision 3; 469.201, subdivisions 2, 4, 6, 7, 10, 11, 12; 469.202; 
2.10 	469.203, subdivisions 1, 2, 4; 469.204, subdivision 1, by adding a subdivision; 
2.11 	469.205; 469.207, subdivision 2; 580.07; Laws 1998, chapter 404, section 
2.12 	23, subdivision 6, as amended; proposing coding for new law in Minnesota 
2.13 	Statutes, chapters 1; 116J; 137; 155A; 161; 181; 268; 298; 326B; repealing 
2.14 	Minnesota Statutes 2008, sections 116J.402; 116J.413; 116J.431, subdivision 5; 
2.15 	116J.58, subdivision 1; 116J.59; 116J.61; 116J.656; 116L.16; 116L.88; 116U.65; 
2.16 	129D.13, subdivision 4; 176.135, subdivision 1b; 268.085, subdivision 14; 
2.17 	268.086, subdivisions 1, 2, 3, 5, 6, 7, 8, 9; 469.203, subdivision 3; 469.204, 
2.18 	subdivisions 2, 3; Minnesota Rules, part 1350.8300.
2.19 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.20 	ARTICLE 1
2.21 	JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS

2.22	Section 1. JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS.
 	
2.23 	The amounts shown in this section summarize direct appropriations, by fund, made 
2.24 	in this article.

2.25			2010
		2011
		Total
	
2.26	General
	$
	133,947,000
	$
	133,136,000
	$
	267,083,000
	
2.27	Workforce Development
		17,976,000
		17,876,000
		35,852,000
	
2.28	Remediation
		700,000
		700,000
		1,400,000
	
2.29	Workers' Compensation 
		22,574,000
		22,574,000
		45,148,000
	
2.30	Total
	$
	 175,197,000
	$
	 174,286,000
	$
	349,483,000

2.31	Sec. 2. JOBS AND ECONOMIC DEVELOPMENT.
 	
2.32 	The sums shown in the columns marked "Appropriations" are appropriated to the 
2.33 	agencies and for the purposes specified in this article. The appropriations are from the 
2.34 	general fund, or another named fund, and are available for the fiscal years indicated 
2.35 	for each purpose. The figures "2010" and "2011" used in this article mean that the 
2.36 	appropriations listed under them are available for the fiscal year ending June 30, 2010, or 
2.37 	June 30, 2011, respectively. "The first year" is fiscal year 2010. "The second year" is fiscal 
2.38 	year 2011. "The biennium" is fiscal years 2010 and 2011.

2.39				APPROPRIATIONS
	
2.40				Available for the Year
	
2.41				Ending June 30
	
2.42					2010
		2011

3.1
3.2	Sec. 3. DEPARTMENT OF EMPLOYMENT 
AND ECONOMIC DEVELOPMENT

3.3	Subdivision 1.Total Appropriation
 	$
	58,277,000
	$
	57,877,000

3.4	Appropriations by Fund
	
3.5		2010
	2011
	
3.6	General
	 40,630,000
	40,330,000
	
3.7	Remediation
	700,000
	700,000
	
3.8
3.9	Workforce 
Development
	16,947,000
	16,847,000
	
3.10 	The amounts that may be spent for each 
3.11 	purpose are specified in the following 
3.12 	subdivisions.

3.13
3.14	Subd. 2.Business and Community 
Development
 		 8,980,000
		 8,980,000

3.15	Appropriations by Fund
	
3.16	General
	 7,941,000
	7,941,000
	
3.17	Remediation
	700,000
	700,000
	
3.18
3.19	Workforce 
Development
	339,000
	339,000
	
3.20 	(a) $700,000 the first year and $700,000 the 
3.21 	second year are from the remediation fund for 
3.22 	contaminated site cleanup and development 
3.23 	grants under Minnesota Statutes, section 
3.24 	116J.554. This appropriation is available 
3.25 	until expended.
3.26 	(b) $200,000 each year is from the general 
3.27 	fund for a grant to WomenVenture for 
3.28 	women's business development programs 
3.29 	and for programs that encourage and assist 
3.30 	women to enter nontraditional careers in the 
3.31 	trades; manual and technical occupations; 
3.32 	science, technology, engineering, and 
3.33 	mathematics-related occupations; and green 
3.34 	jobs. This appropriation may be matched 
3.35 	dollar for dollar with any resources available 
3.36 	from the federal government for these 
3.37 	purposes with priority given to initiatives 
4.1 	that have a goal of increasing by at least ten 
4.2 	percent the number of women in occupations 
4.3 	where women currently comprise less than 25 
4.4 	percent of the workforce. The appropriation 
4.5 	is available until expended.
4.6 	(c) $105,000 each year is from the general 
4.7 	fund and $50,000 each year is from the 
4.8 	workforce development fund for a grant to 
4.9 	the Metropolitan Economic Development 
4.10 	Association for continuing minority business 
4.11 	development programs in the metropolitan 
4.12 	area. This appropriation must be used for the 
4.13 	sole purpose of providing free or reduced 
4.14 	fee business consulting services to minority 
4.15 	entrepreneurs and contractors.
4.16 	(d)(1) $500,000 each year is from the 
4.17 	general fund for a grant to BioBusiness 
4.18 	Alliance of Minnesota for bioscience 
4.19 	business development programs to promote 
4.20 	and position the state as a global leader 
4.21 	in bioscience business activities. This 
4.22 	appropriation is added to the department's 
4.23 	base. These funds may be used to create, 
4.24 	recruit, retain, and expand biobusiness 
4.25 	activity in Minnesota; implement the 
4.26 	destination 2025 statewide plan; update 
4.27 	a statewide assessment of the bioscience 
4.28 	industry and the competitive position of 
4.29 	Minnesota-based bioscience businesses 
4.30 	relative to other states and other nations; 
4.31 	and develop and implement business and 
4.32 	scenario-planning models to create, recruit, 
4.33 	retain, and expand biobusiness activity in 
4.34 	Minnesota.
5.1 	(2) The BioBusiness Alliance must report 
5.2 	each year by February 15 to the committees 
5.3 	of the house of representatives and the senate 
5.4 	having jurisdiction over bioscience industry 
5.5 	activity in Minnesota on the use of funds; 
5.6 	the number of bioscience businesses and 
5.7 	jobs created, recruited, retained, or expanded 
5.8 	in the state since the last reporting period; 
5.9 	the competitive position of the biobusiness 
5.10 	industry; and utilization rates and results of 
5.11 	the business and scenario-planning models 
5.12 	and outcomes resulting from utilization of 
5.13 	the business and scenario-planning models.
5.14 	(e)(1) Of the money available in the 
5.15 	Minnesota Investment Fund, Minnesota 
5.16 	Statutes, section 116J.8731, to the 
5.17 	commissioner of the Department of 
5.18 	Employment and Economic Development, 
5.19 	up to $3,000,000 is appropriated in fiscal year 
5.20 	2010 for a loan to an aircraft manufacturing 
5.21 	and assembly company, associated with the 
5.22 	aerospace industry, for equipment utilized 
5.23 	to establish an aircraft completion center 
5.24 	at the Minneapolis-St. Paul International 
5.25 	Airport. The finishing center must use the 
5.26 	state's vocational training programs designed 
5.27 	specifically for aircraft maintenance training, 
5.28 	and to the extent possible, work to recruit 
5.29 	employees from these programs. The center 
5.30 	must create at least 200 new manufacturing 
5.31 	jobs within 24 months of receiving the 
5.32 	loan, and create not less than 500 new 
5.33 	manufacturing jobs over a five-year period 
5.34 	in Minnesota.
5.35 	(2) This loan is not subject to loan limitations 
5.36 	under Minnesota Statutes, section 116J.8731, 
6.1 	subdivision 5. Any match requirements 
6.2 	under Minnesota Statutes, section 116J.8731, 
6.3 	subdivision 3, may be made from current 
6.4 	resources. This is a onetime appropriation 
6.5 	and is effective the day following final 
6.6 	enactment.
6.7 	(f) $65,000 each year is from the general 
6.8 	fund for a grant to the Minnesota Inventors 
6.9 	Congress, of which at least $6,500 must be 
6.10 	used for youth inventors.
6.11 	(g) $200,000 the first year and $200,000 the 
6.12 	second year are for the Office of Science and 
6.13 	Technology. This is a onetime appropriation.
6.14 	(h) $500,000 the first year and $500,000 the 
6.15 	second year are for a grant to Enterprise 
6.16 	Minnesota, Inc., for the small business 
6.17 	growth acceleration program under 
6.18 	Minnesota Statutes, section 116O.115. This 
6.19 	is a onetime appropriation and is available 
6.20 	until expended.
6.21 	(i)(1) $100,000 each year is from the 
6.22 	workforce development fund for a grant 
6.23 	under Minnesota Statutes, section 116J.421, 
6.24 	to the Rural Policy and Development 
6.25 	Center at St. Peter, Minnesota. The grant 
6.26 	shall be used for research and policy 
6.27 	analysis on emerging economic and social 
6.28 	issues in rural Minnesota, to serve as a 
6.29 	policy resource center for rural Minnesota 
6.30 	communities, to encourage collaboration 
6.31 	across higher education institutions, to 
6.32 	provide interdisciplinary team approaches 
6.33 	to research and problem-solving in rural 
6.34 	communities, and to administer overall 
6.35 	operations of the center.
7.1 	(2) The grant shall be provided upon the 
7.2 	condition that each state-appropriated 
7.3 	dollar be matched with a nonstate dollar. 
7.4 	Acceptable matching funds are nonstate 
7.5 	contributions that the center has received and 
7.6 	have not been used to match previous state 
7.7 	grants. Any funds not spent the first year are 
7.8 	available the second year.
7.9 	(j) Notwithstanding Minnesota Statutes, 
7.10 	section 268.18, subdivision 2, $414,000 of 
7.11 	funds collected for unemployment insurance 
7.12 	administration under this subdivision is 
7.13 	appropriated as follows: $250,000 to Lake 
7.14 	County for ice storm damage; $64,000 is for 
7.15 	the city of Green Isle for reimbursement of 
7.16 	fire relief efforts and other expenses incurred 
7.17 	as a result of the fire in the city of Green Isle; 
7.18 	and $100,000 is to develop the construction 
7.19 	mitigation pilot program to make grants for 
7.20 	up to five projects statewide available to local 
7.21 	government units to mitigate the impacts of 
7.22 	transportation construction on local small 
7.23 	business. These are onetime appropriations 
7.24 	and are available until expended.
7.25 	(k) Up to $10,000,000 is appropriated 
7.26 	from the Minnesota minerals 21st century 
7.27 	fund to the commissioner of Iron Range 
7.28 	resources and rehabilitation to make a grant 
7.29 	or forgivable loan to a manufacturer of 
7.30 	windmill blades at a facility to be located 
7.31 	within the taconite tax relief area defined in 
7.32 	Minnesota Statutes, section 273.134.
7.33 	(l) $1,000,000 is appropriated from the 
7.34 	Minnesota minerals 21st century fund to 
7.35 	the Board of Trustees of the Minnesota 
8.1 	State Colleges and Universities for a grant 
8.2 	to the Northeast Higher Education District 
8.3 	for planning, design, and construction of 
8.4 	classrooms and housing facilities for upper 
8.5 	division students in the engineering program.
8.6 	(m)(1) $189,000 each year is appropriated 
8.7 	from the workforce development fund for 
8.8 	grants of $63,000 to eligible organizations 
8.9 	each year to assist in the development of 
8.10 	entrepreneurs and small businesses. Each 
8.11 	state grant dollar must be matched with $1 
8.12 	of nonstate funds. Any balance in the first 
8.13 	year does not cancel but is available in the 
8.14 	second year.
8.15 	(2) Three grants must be awarded to 
8.16 	continue or to develop a program. One 
8.17 	grant must be awarded to the Riverbend 
8.18 	Center for Entrepreneurial Facilitation 
8.19 	in Blue Earth County, and two to other 
8.20 	organizations serving Faribault and Martin 
8.21 	Counties. Grant recipients must report to the 
8.22 	commissioner by February 1 of each year 
8.23 	that the organization receives a grant with the 
8.24 	number of customers served; the number of 
8.25 	businesses started, stabilized, or expanded; 
8.26 	the number of jobs created and retained; and 
8.27 	business success rates. The commissioner 
8.28 	must report to the house of representatives 
8.29 	and senate committees with jurisdiction 
8.30 	over economic development finance on the 
8.31 	effectiveness of these programs for assisting 
8.32 	in the development of entrepreneurs and 
8.33 	small businesses.

8.34	Subd. 3.Workforce Development
 		46,871,000
		46,471,000

9.1	Appropriations by Fund
	
9.2	General
	30,263,000
	29,963,000
	
9.3
9.4	Workforce 
Development
	16,608,000
	16,508,000
	
9.5 	(a) $4,562,000 each year is from the general 
9.6 	fund for the Minnesota job skills partnership 
9.7 	program under Minnesota Statutes, sections 
9.8 	116L.01 to 116L.17. If the appropriation for 
9.9 	either year is insufficient, the appropriation 
9.10 	for the other year is available. This 
9.11 	appropriation is available until spent.
9.12 	(b) $8,800,000 each year is from the general 
9.13 	fund for the state's vocational rehabilitation 
9.14 	program under Minnesota Statutes, chapter 
9.15 	268A.
9.16 	(c) $5,986,000 each year is from the general 
9.17 	fund for the state services for the blind 
9.18 	activities.
9.19 	(d) $2,380,000 each year is from the general 
9.20 	fund for grants to centers for independent 
9.21 	living under Minnesota Statutes, section 
9.22 	268A.11.
9.23 	(e) $350,000 each year is from the general 
9.24 	fund and $105,000 each year is from the 
9.25 	workforce development fund for a grant 
9.26 	under Minnesota Statutes, section 116J.8747, 
9.27 	to Twin Cities RISE! to provide training to 
9.28 	hard-to-train individuals. Funds unexpended 
9.29 	in the first year are available for expenditure 
9.30 	in the second year.
9.31 	(f) $150,000 each year is from the general 
9.32 	fund and $50,000 each year is from the 
9.33 	workforce development fund for a grant 
9.34 	to Northern Connections in Perham to 
9.35 	implement and operate a workforce program 
10.1 	that provides one-stop supportive services 
10.2 	to individuals as they transition into the 
10.3 	workforce.
10.4 	(g) $100,000 each year is from the workforce 
10.5 	development fund for a grant to the Ramsey 
10.6 	County Workforce Investment Board for the 
10.7 	development of the building lives program. 
10.8 	This is a onetime appropriation.
10.9 	(h) $150,000 each year is from the general 
10.10 	fund for a grant to Advocating Change 
10.11 	Together for training, technical assistance, 
10.12 	and resource materials for persons with 
10.13 	developmental and mental illness disabilities.
10.14 	(i) $5,627,000 each year is from the general 
10.15 	fund and $6,830,000 each year is from the 
10.16 	workforce development fund for extended 
10.17 	employment services for persons with severe 
10.18 	disabilities or related conditions under 
10.19 	Minnesota Statutes, section 268A.15. Of 
10.20 	the general fund appropriation, $125,000 
10.21 	each year is to supplement funds paid for 
10.22 	wage incentives for the community support 
10.23 	fund established in Minnesota Rules, part 
10.24 	3300.2045.
10.25 	(j) $250,000 the first year and $100,000 
10.26 	the second year are for grants to Minnesota 
10.27 	Diversified Industries, Inc., to provide 
10.28 	progressive development and employment 
10.29 	opportunities for people with disabilities. 
10.30 	This appropriation is available in either 
10.31 	year of the biennium. The budget base 
10.32 	for Minnesota Diversified Industries, Inc., 
10.33 	is $175,000 each year in the 2012-2013 
10.34 	biennium.
11.1 	(k) Of the money available to Minnesota from 
11.2 	the American Recovery and Reinvestment 
11.3 	Act of 2009, Public Law 111-5, and allocated 
11.4 	to the Department of Employment and 
11.5 	Economic Development for activities 
11.6 	authorized under Title 1 of the Rehabilitation 
11.7 	Act of 1973 as amended and Code of 
11.8 	Federal Regulations, title 34, part 361, of its 
11.9 	implementing regulations, $250,000 is for 
11.10 	a grant to Minnesota Diversified Industries, 
11.11 	Inc. to assist individuals with disabilities to 
11.12 	obtain employment outcomes as defined in 
11.13 	Code of Federal Regulations, title 34, part 
11.14 	361.5 (B) (16). Funds expended must be 
11.15 	used for activities allowed under section 103 
11.16 	(a) of the Rehabilitation Act and Code of 
11.17 	Federal Regulations, title 34, part 361.48.
11.18 	(l) $1,613,000 each year is from the general 
11.19 	fund for grants to programs that provide 
11.20 	employment support services to persons with 
11.21 	mental illness under Minnesota Statutes, 
11.22 	sections 268A.13 and 268A.14. Grants 
11.23 	may be used for special projects for young 
11.24 	people with mental illness transitioning from 
11.25 	school to work and people with serious 
11.26 	mental illness receiving services through 
11.27 	a mental health court or civil commitment 
11.28 	court. Special projects must demonstrate 
11.29 	interagency collaboration. Up to $77,000 
11.30 	each year may be used for administrative 
11.31 	expenses.
11.32 	(m) $75,000 each year is from the workforce 
11.33 	development fund for a grant to MN 
11.34 	WORKS!, a nonprofit organization. The 
11.35 	nonprofit organization must work on behalf 
11.36 	of all licensed vendors to coordinate their 
12.1 	efforts to respond to solicitations or other 
12.2 	requests from private and governmental 
12.3 	units as defined in Minnesota Statutes, 
12.4 	section 471.59, subdivision 1, in order 
12.5 	to increase employment opportunities for 
12.6 	persons with disabilities. This is a onetime 
12.7 	appropriation and is available in either year 
12.8 	of the biennium. Any funds unexpended in 
12.9 	the first year are available for expenditure in 
12.10 	the second year.
12.11 	(n) $145,000 each year is from the general 
12.12 	fund and $175,000 each year is from the 
12.13 	workforce development fund for a grant 
12.14 	under Minnesota Statutes, section 268A.03, 
12.15 	to Rise, Inc. for the Minnesota Employment 
12.16 	Center for People Who are Deaf or Hard of 
12.17 	Hearing. Money not expended the first year 
12.18 	is available the second year.
12.19 	(o) $100,000 each year is from the general 
12.20 	fund and $200,000 each year is from the 
12.21 	workforce development fund for a grant to 
12.22 	Lifetrack Resources for its immigrant and 
12.23 	refugee collaborative program, including 
12.24 	those related to job-seeking skills and 
12.25 	workplace orientation, intensive job 
12.26 	development, functional work English, and 
12.27 	on-site job coaching. This appropriation may 
12.28 	also be used in Rochester.
12.29 	(p) $3,500,000 each year is from the 
12.30 	workforce development fund for the 
12.31 	Minnesota youth program under Minnesota 
12.32 	Statutes, sections 116L.56 and 116L.561.
12.33 	(q) $1,375,000 each year is from the 
12.34 	workforce development fund for the 
13.1 	Opportunities Industrialization Center 
13.2 	programs.
13.3 	(r) $1,200,000 each year is from the 
13.4 	workforce development fund for grants for 
13.5 	the Minneapolis summer youth employment 
13.6 	program. The grants shall be used to fund 
13.7 	up to 500 jobs for youth each summer. Of 
13.8 	this appropriation, $300,000 each year is for 
13.9 	a grant to the learn-to-earn summer youth 
13.10 	employment program. The commissioner 
13.11 	shall establish criteria for awarding the 
13.12 	grants. This appropriation is available in 
13.13 	either year of the biennium and is available 
13.14 	until spent.
13.15 	(s) $750,000 each year is from the workforce 
13.16 	development fund for a grant to the 
13.17 	Minnesota Alliance of Boys and Girls 
13.18 	Clubs to administer a statewide project 
13.19 	of youth jobs skills development. This 
13.20 	project, which may have career guidance 
13.21 	components, including health and life skills, 
13.22 	is to encourage, train, and assist youth in 
13.23 	job-seeking skills, workplace orientation, 
13.24 	and job-site knowledge through coaching. 
13.25 	This grant requires a 25 percent match from 
13.26 	nonstate resources.
13.27 	(t) $558,000 the first year and $558,000 
13.28 	the second year are from the workforce 
13.29 	development fund for grants to fund summer 
13.30 	youth employment in St. Paul. The grants 
13.31 	shall be used to fund up to 500 jobs for 
13.32 	youth each summer. The commissioner shall 
13.33 	establish criteria for awarding the grants. 
13.34 	This appropriation is available in either year 
13.35 	of the biennium and is available until spent.
14.1 	(u) $1,000,000 each year is from the 
14.2 	workforce development fund for the 
14.3 	youthbuild program under Minnesota 
14.4 	Statutes, sections 116L.361 to 116L.366.
14.5 	(v) $100,000 each year is from the 
14.6 	workforce development fund for grants 
14.7 	for the indigenous earthkeepers program 
14.8 	for American Indian youth environmental 
14.9 	education and training. Funds must be 
14.10 	used to provide programming for up to 
14.11 	80 American Indian youth ages 14 to 19. 
14.12 	The indigenous earthkeepers program must 
14.13 	use the environment, with native language 
14.14 	as its primary core, to develop student 
14.15 	academic skills and knowledge at Center 
14.16 	School and Healthy Nations Program of the 
14.17 	Minneapolis American Indian Center. The 
14.18 	program must foster a sense of civic and 
14.19 	environmental responsibility by providing 
14.20 	youth the opportunity to serve on small, 
14.21 	natural, and urban resource crews in the 
14.22 	Twin Cities metropolitan area and outside of 
14.23 	the metropolitan area. In addition, it must 
14.24 	build the capacity of these youths to improve 
14.25 	their lives in an indigenous-inspired and 
14.26 	culturally relevant manner. At a minimum, 
14.27 	the program curriculum must include water 
14.28 	studies, identification of waterway cleanup 
14.29 	sites, cleanup of waterways significant to 
14.30 	indigenous culture and education, plant 
14.31 	identification, gardening, and indigenous 
14.32 	language components. This is a onetime 
14.33 	appropriation and is available until expended.
14.34 	(w) $340,000 each year is from the workforce 
14.35 	development fund for grants to provide 
14.36 	interpreters for a regional transition program 
15.1 	that specializes in providing culturally 
15.2 	appropriate transition services leading to 
15.3 	employment for deaf, hard-of-hearing, and 
15.4 	deaf-blind students.
15.5 	(x) $150,000 the first year is for a grant to 
15.6 	Lutheran Social Service of Minnesota to 
15.7 	increase capacity statewide for budget and 
15.8 	debt counseling, debt management planning, 
15.9 	and other debt management services. This 
15.10 	is a onetime appropriation and is available 
15.11 	until expended.
15.12 	(y) The first $1,450,000 deposited in each 
15.13 	year of the biennium into the contingent 
15.14 	account created under Minnesota Statutes, 
15.15 	section 268.199, shall be transferred 
15.16 	before the closing of each fiscal year to 
15.17 	the workforce development fund created 
15.18 	under Minnesota Statutes, section 116L.20. 
15.19 	Deposits in excess of $1,450,000 shall be 
15.20 	transferred before the closing of each fiscal 
15.21 	year to the general fund.
15.22 	(z) $100,000 the first year is from the 
15.23 	workforce development fund for a grant to a 
15.24 	Southeast Asian mutual assistance nonprofit 
15.25 	organization for an intensive intervention 
15.26 	transitional employment training project 
15.27 	to move refugee and immigrant welfare 
15.28 	recipients into unsubsidized employment 
15.29 	leading to economic self-sufficiency. An 
15.30 	organization may apply for a grant in the form 
15.31 	and manner established by the commissioner 
15.32 	of employment and economic development. 
15.33 	The organization that is awarded the grant 
15.34 	must have experience providing the services 
15.35 	required under this paragraph. The primary 
16.1 	effort must be on intensive employment 
16.2 	skills training, including workplace English 
16.3 	and overcoming cultural barriers, and on 
16.4 	specialized training in fields of work which 
16.5 	involve a credit-based curriculum. For 
16.6 	recipients without a high school diploma or 
16.7 	a GED, extra effort shall be made to help 
16.8 	the recipient meet the ability to benefit test 
16.9 	so the recipient can receive financial aid 
16.10 	for further training. During the specialized 
16.11 	training, efforts should be made to involve 
16.12 	the recipients with an internship program 
16.13 	and retention specialist. This appropriation 
16.14 	is not available until the commissioner of 
16.15 	finance has determined that at least an equal 
16.16 	amount has been committed from nonstate 
16.17 	funds. This is a onetime appropriation and is 
16.18 	available until expended.
16.19 	(aa) $1,000,000 each year is from reserve 
16.20 	funds allocated to the Department of 
16.21 	Employment and Economic Development 
16.22 	under the American Recovery and 
16.23 	Reinvestment Act of 2009, Public Law 
16.24 	111-5, for Workforce Investment Act 
16.25 	adult and displaced worker programs for 
16.26 	on-the-job training for eligible persons in 
16.27 	counties with high unemployment. This is a 
16.28 	onetime appropriation.
16.29 	(bb)(1) $150,000 each year is from the 
16.30 	workforce development fund for a grant 
16.31 	to the nonprofit organization selected to 
16.32 	administer the demonstration project for 
16.33 	high-risk adults under Laws 2007, chapter 
16.34 	54, article 1, section 19, in order to continue 
16.35 	the project for a second biennium. This is a 
17.1 	onetime appropriation and is available until 
17.2 	expended.
17.3 	(2) The commissioners of the Housing 
17.4 	Finance Agency and employment and 
17.5 	economic development are directed to work 
17.6 	with the commissioner of public safety 
17.7 	to seek federal stimulus money available 
17.8 	through the Office of Justice to continue the 
17.9 	demonstration project under Laws 2007, 
17.10 	chapter 54, article 1, section 19, at a level 
17.11 	sufficient to reduce the rate per participant.
17.12 	(cc) All Wagner-Peyser funds available to 
17.13 	the state for job seeker services under the 
17.14 	American Recovery and Reinvestment Act of 
17.15 	2009, Public Law 111-5, must be allocated to 
17.16 	workforce development centers for universal 
17.17 	job seeker services.
17.18 	(dd)(1) All Workforce Investment Act 
17.19 	discretionary funds available to the 
17.20 	commissioner for workforce development 
17.21 	under the American Recovery and 
17.22 	Reinvestment Act of 2009, Public Law 
17.23 	111-5, must first be allocated to replace 
17.24 	reductions in state general fund or workforce 
17.25 	development fund resources for employment 
17.26 	and training or youth programs.
17.27 	(2) The commissioner shall not use any 
17.28 	unallocated discretionary funds available to 
17.29 	the department under the American Recovery 
17.30 	and Reinvestment Act, Public Law 111-5, 
17.31 	to hire full-time or part-time staff or enter 
17.32 	into professional or technical contracts for 
17.33 	any purpose other than administration of 
17.34 	the unemployment insurance program or to 
17.35 	provide services to job seekers, including 
18.1 	assistance in filing for unemployment 
18.2 	benefits.

18.3	Subd. 4.State-Funded Administration
 		2,426,000
		2,426,000
	
18.4 	The transfer of funds to the governor's office 
18.5 	for the Washington, D.C. office function is 
18.6 	$20,000 each year.

18.7	Sec. 4. PUBLIC FACILITIES AUTHORITY
 	$
	93,000
	$
	93,000
	
18.8 	For the small community wastewater 
18.9 	treatment program under Minnesota Statutes, 
18.10 	chapter 446A.

18.11	Sec. 5. EXPLORE MINNESOTA TOURISM
 	$
	10,717,000
	$
	10,717,000
	
18.12 	(a) Of this amount, $12,000 each year is for a 
18.13 	grant to the Upper Minnesota Film Office.
18.14 	(b)(1) To develop maximum private sector 
18.15 	involvement in tourism, $500,000 the first 
18.16 	year and $500,000 the second year must 
18.17 	be matched by Explore Minnesota Tourism 
18.18 	from nonstate sources. Each $1 of state 
18.19 	incentive must be matched with $3 of private 
18.20 	sector funding. Cash match is defined as 
18.21 	revenue to the state or documented cash 
18.22 	expenditures directly expended to support 
18.23 	Explore Minnesota Tourism programs. Up 
18.24 	to one-half of the private sector contribution 
18.25 	may be in-kind or soft match. The incentive 
18.26 	in the first year shall be based on fiscal 
18.27 	year 2009 private sector contributions. The 
18.28 	incentive in the second year will be based on 
18.29 	fiscal year 2010 private sector contributions. 
18.30 	This incentive is ongoing.
18.31 	(2) Funding for the marketing grants is 
18.32 	available either year of the biennium. 
19.1 	Unexpended grant funds from the first year 
19.2 	are available in the second year.
19.3 	(3) Unexpended money from the general 
19.4 	fund appropriations made under this section 
19.5 	does not cancel but must be placed in a 
19.6 	special marketing account for use by Explore 
19.7 	Minnesota Tourism for additional marketing 
19.8 	activities.
19.9 	(c) $325,000 the first year and $325,000 the 
19.10 	second year are for the Minnesota Film and 
19.11 	TV Board. The appropriation in each year 
19.12 	is available only upon receipt by the board 
19.13 	of $1 in matching contributions of money or 
19.14 	in-kind contributions from nonstate sources 
19.15 	for every $3 provided by this appropriation, 
19.16 	except that each year up to $50,000 is 
19.17 	available on July 1 even if the required 
19.18 	matching contribution has not been received 
19.19 	by that date.
19.20 	(d) $1,225,000 the first year and $1,225,000 
19.21 	the second year are appropriated for a grant 
19.22 	to the Minnesota Film and TV Board for 
19.23 	the film jobs production program under 
19.24 	Minnesota Statutes, section 116U.26. These 
19.25 	appropriations are available in either year 
19.26 	of the biennium and are available until 
19.27 	expended.

19.28	Sec. 6. HOUSING FINANCE AGENCY

19.29	Subdivision 1.Total Appropriation
 	$
	43,384,000
	$
	 43,384,000
	
19.30 	The amounts that may be spent for each 
19.31 	purpose are specified in the following 
19.32 	subdivisions.
19.33 	This appropriation is for transfer to the 
19.34 	housing development fund for the programs 
20.1 	specified. Except as otherwise indicated, this 
20.2 	transfer is part of the agency's permanent 
20.3 	budget base.

20.4	Subd. 2.Challenge Program
 		 7,393,000
		 7,393,000
	
20.5 	For the economic development and housing 
20.6 	challenge program under Minnesota Statutes, 
20.7 	section 462A.33. Of this amount, $1,395,000 
20.8 	each year shall be made available during the 
20.9 	first 11 months of the fiscal year exclusively 
20.10 	for housing projects for American Indians. 
20.11 	Any funds not committed to housing projects 
20.12 	for American Indians in the first 11 months 
20.13 	of the fiscal year shall be available for any 
20.14 	eligible activity under Minnesota Statutes, 
20.15 	section 462A.33. The base funding for this 
20.16 	program is $9,393,000 each year in the 
20.17 	2012-2013 biennium.

20.18	Subd. 3.Housing Trust Fund
 		10,555,000
		10,555,000
	
20.19 	For deposit in the housing trust fund account 
20.20 	created under Minnesota Statutes, section 
20.21 	462A.201, and used for the purposes 
20.22 	provided in that section. The base funding 
20.23 	for this program is $8,555,000 each year in 
20.24 	the 2012-2013 biennium.

20.25	Subd. 4.Rental Assistance for Mentally Ill
 		2,638,000
		2,638,000
	
20.26 	For a rental housing assistance program for 
20.27 	persons with a mental illness or families with 
20.28 	an adult member with a mental illness under 
20.29 	Minnesota Statutes, section 462A.2097.

20.30	Subd. 5.Family Homeless Prevention
 		7,465,000
		7,465,000
	
20.31 	For the family homeless prevention and 
20.32 	assistance programs under Minnesota 
20.33 	Statutes, section 462A.204.

20.34	Subd. 6.Home Ownership Assistance Fund
 		 860,000
		860,000
	
21.1 	For the home ownership assistance program 
21.2 	under Minnesota Statutes, section 462A.21, 
21.3 	subdivision 8. In fiscal years 2012 and 2013, 
21.4 	the base shall be $885,000 each year.

21.5	Subd. 7.Affordable Rental Investment Fund
 		8,821,000
		8,821,000
	
21.6 	(a) For the affordable rental investment fund 
21.7 	program under Minnesota Statutes, section 
21.8 	462A.21, subdivision 8b. The appropriation 
21.9 	is to finance the acquisition, rehabilitation, 
21.10 	and debt restructuring of federally assisted 
21.11 	rental property and for making equity 
21.12 	take-out loans under Minnesota Statutes, 
21.13 	section 462A.05, subdivision 39.
21.14 	(b) The owner of federally assisted rental 
21.15 	property must agree to participate in 
21.16 	the applicable federally assisted housing 
21.17 	program and to extend any existing 
21.18 	low-income affordability restrictions on the 
21.19 	housing for the maximum term permitted. 
21.20 	The owner must also enter into an agreement 
21.21 	that gives local units of government, 
21.22 	housing and redevelopment authorities, 
21.23 	and nonprofit housing organizations the 
21.24 	right of first refusal if the rental property 
21.25 	is offered for sale. Priority must be given 
21.26 	among comparable federally assisted rental 
21.27 	properties to properties with the longest 
21.28 	remaining term under an agreement for 
21.29 	federal assistance. Priority must also be 
21.30 	given among comparable rental housing 
21.31 	developments to developments that are or 
21.32 	will be owned by local government units, a 
21.33 	housing and redevelopment authority, or a 
21.34 	nonprofit housing organization.
22.1 	(c) The appropriation also may be used to 
22.2 	finance the acquisition, rehabilitation, and 
22.3 	debt restructuring of existing supportive 
22.4 	housing properties. For purposes of this 
22.5 	subdivision, "supportive housing" means 
22.6 	affordable rental housing with links to 
22.7 	services necessary for individuals, youth, and 
22.8 	families with children to maintain housing 
22.9 	stability.
22.10 	(d) For the affordable rental investment fund 
22.11 	program under Minnesota Statutes, section 
22.12 	462A.21, subdivision 8b, in fiscal years 2012 
22.13 	and 2013, the base is $8,996,000 each year.

22.14	Subd. 8.Housing Rehabilitation
 		4,287,000
		4,287,000
	
22.15 	For the housing rehabilitation program 
22.16 	under Minnesota Statutes, section 462A.05, 
22.17 	subdivision 14, for rental housing 
22.18 	developments.

22.19
22.20	Subd. 9.Homeownership Education, 
Counseling, and Training
 		865,000
		865,000
	
22.21 	For the homeownership education, 
22.22 	counseling, and training program under 
22.23 	Minnesota Statutes, section 462A.209.

22.24	Subd. 10.Capacity Building Grants
 		250,000
		250,000
	
22.25 	For nonprofit capacity building grants 
22.26 	under Minnesota Statutes, section 462A.21, 
22.27 	subdivision 3b.

22.28
22.29	Subd. 11.Transfer of Disaster Relief 
Contingency Funds
 					
22.30 	$1,500,000 of the amount unobligated 
22.31 	and unencumbered in the disaster relief 
22.32 	contingency fund under Minnesota Statutes, 
22.33 	section 462A.21, subdivision 29, is 
22.34 	transferred to the housing trust fund under 
23.1 	Minnesota Statutes, section 462A.201, for 
23.2 	grants for temporary rental assistance for 
23.3 	families with children who are homeless and 
23.4 	in need of or utilizing an emergency shelter 
23.5 	facility. This is a onetime transfer and is not 
23.6 	added to the agency's permanent budget base.

23.7
23.8	Subd. 12.Demonstration Project for High-Risk 
Adults
 		250,000
		250,000
	
23.9 	$250,000 in fiscal year 2010 and $250,000 
23.10 	in fiscal year 2011 are appropriated from 
23.11 	the general fund to the commissioner of the 
23.12 	Housing Finance Agency for grants to the 
23.13 	nonprofit organization selected to administer 
23.14 	the demonstration project for high-risk adults 
23.15 	under Laws 2007, chapter 54, article 1, 
23.16 	section 19, in order to continue the project 
23.17 	for a second biennium. This is a onetime 
23.18 	appropriation.

23.19
23.20	Sec. 7. DEPARTMENT OF LABOR AND 
INDUSTRY

23.21	Subdivision 1.Total Appropriation
 	$
	22,780,000
	$
	22,780,000

23.22	Appropriations by Fund
	
23.23		2010
	2011
	
23.24	General
	880,000
	880,000
	
23.25
23.26	Workers' 
Compensation
	20,871,000
	20,871,000
	
23.27
23.28	Workforce 
Development
	1,029,000
	1,029,000
	
23.29 	The amounts that may be spent for each 
23.30 	purpose are specified in the following 
23.31 	subdivisions.

23.32	Subd. 2.Workers' Compensation
 		14,890,000
		14,890,000
	
23.33 	This appropriation is from the workers' 
23.34 	compensation fund.
23.35 	$200,000 each year is for grants to the 
23.36 	Vinland Center for rehabilitation services. 
24.1 	Grants shall be distributed as the department 
24.2 	refers injured workers to the Vinland Center 
24.3 	for rehabilitation services.

24.4	Subd. 3.Labor Standards/Apprenticeship
 		1,909,000
		1,909,000

24.5	Appropriations by Fund
	
24.6	General
	880,000
	880,000
	
24.7
24.8	Workforce 
Development
	1,029,000
	1,029,000
	
24.9 	(a) $879,000 each year is appropriated from 
24.10 	the workforce development fund for the 
24.11 	apprenticeship program under Minnesota 
24.12 	Statutes, chapter 178, and includes 
24.13 	$100,000 each year for labor education and 
24.14 	advancement program grants and to expand 
24.15 	and promote registered apprenticeship 
24.16 	training in nonconstruction trade programs.
24.17 	(b) $150,000 each year is from the workforce 
24.18 	development fund for prevailing wage 
24.19 	enforcement.
24.20 	(c) $200,000 the first year and $200,000 
24.21 	the second year are from the assigned risk 
24.22 	safety account for independent contractor 
24.23 	investigator services to ensure compliance 
24.24 	with the state's independent contractor 
24.25 	exemption certificate program under 
24.26 	Minnesota Statutes, section 181.723.

24.27	Subd. 4.General Support
 		5,981,000
		5,981,000
	
24.28 	This appropriation is from the workers' 
24.29 	compensation fund.

24.30
24.31	Sec. 8. BUREAU OF MEDIATION 
SERVICES

24.32	Subdivision 1.Total Appropriation
 	$
	1,683,000
	$
	1,683,000
	
25.1 	The amounts that may be spent for each 
25.2 	purpose are specified in the following 
25.3 	subdivisions.

25.4	Subd. 2.Mediation Services
 		1,583,000
		1,583,000

25.5
25.6	Subd. 3.Labor Management Cooperation 
Grants
 		100,000
		100,000
	
25.7 	$100,000 each year is for grants to area labor 
25.8 	management committees. Grants may be 
25.9 	awarded for a 12-month period beginning 
25.10 	July 1 each year. Any unencumbered balance 
25.11 	remaining at the end of the first year does not 
25.12 	cancel but is available for the second year.

25.13
25.14	Sec. 9. WORKERS' COMPENSATION 
COURT OF APPEALS
 	$
	1,703,000
	$
	1,703,000
	
25.15 	This appropriation is from the workers' 
25.16 	compensation fund. 

25.17
25.18	Sec. 10. MINNESOTA HISTORICAL 
SOCIETY

25.19	Subdivision 1.Total Appropriation
 	$
	23,037,000
	$
	22,921,000
	
25.20 	The amounts that may be spent for each 
25.21 	purpose are specified in the following 
25.22 	subdivisions.

25.23	Subd. 2.Education and Outreach
 		12,972,000
		12,972,000
	
25.24 	Notwithstanding Minnesota Statutes, section 
25.25 	138.668, the Minnesota Historical Society 
25.26 	may not charge a fee for its general tours at 
25.27 	the Capitol, but may charge fees for special 
25.28 	programs other than general tours.

25.29	Subd. 3.Preservation and Access
 		9,703,000
		9,703,000

25.30	Subd. 4.Fiscal Agent

25.31	(a) Minnesota International Center
		43,000
		43,000

25.32	(b) Minnesota Air National Guard Museum
		16,000
		0

26.1	(c) Minnesota Military Museum
		100,000
		0

26.2	(d) Farmamerica
		128,000
		128,000
	
26.3 	(e) $75,000 the first year and $75,000 the 
26.4 	second year are for a grant to the city of 
26.5 	Eveleth to be used for the support of the 
26.6 	Hockey Hall of Fame Museum provided 
26.7 	that it continues to operate in the city. This 
26.8 	grant is in addition to and must not be 
26.9 	used to supplant funding under Minnesota 
26.10 	Statutes, section 298.28, subdivision 9c. This 
26.11 	appropriation is added to the society's budget 
26.12 	base.

26.13	(f) Balances Forward
					
26.14 	Any unencumbered balance remaining in 
26.15 	this subdivision the first year does not cancel 
26.16 	but is available for the second year of the 
26.17 	biennium.

26.18	Subd. 5.Fund Transfer
 					
26.19 	The Minnesota Historical Society may 
26.20 	reallocate funds appropriated in and between 
26.21 	subdivisions 2 and 3 for any program 
26.22 	purposes and the appropriations are available 
26.23 	in either year of the biennium.

26.24	Sec. 11. BOARD OF THE ARTS

26.25	Subdivision 1.Total Appropriation
 	$
	8,624,000
	$
	8,624,000
	
26.26 	The amounts that may be spent for each 
26.27 	purpose are specified in the following 
26.28 	subdivisions.

26.29	Subd. 2.Operations and Services
 		651,000
		651,000

26.30	Subd. 3.Grants Program
 		5,515,000
		5,515,000

26.31	Subd. 4.Regional Arts Councils
 		2,458,000
		2,458,000

27.1
27.2	Sec. 12. MINNESOTA HUMANITIES 
CENTER
 	$
	250,000
	$
	250,000

27.3	Sec. 13. PUBLIC BROADCASTING
 	$
	2,295,000
	$
	2,015,000
	
27.4 	(a) The appropriations under this section are 
27.5 	to the commissioner of administration for the 
27.6 	purposes specified.
27.7 	(b) $280,000 is for a grant to Minnesota 
27.8 	Public Radio to assist with conversion to a 
27.9 	digital broadcast signal. This is a onetime 
27.10 	appropriation.
27.11 	(c) $1,161,000 the first year and $1,161,000 
27.12 	the second year are for matching grants for 
27.13 	public television.
27.14 	(d) $200,000 the first year and $200,000 
27.15 	the second year are for public television 
27.16 	equipment grants. Equipment or matching 
27.17 	grant allocations shall be made after 
27.18 	considering the recommendations of the 
27.19 	Minnesota Public Television Association.
27.20 	(e) $17,000 the first year and $17,000 the 
27.21 	second year are for grants to the Twin Cities 
27.22 	regional cable channel.
27.23 	(f) $287,000 the first year and $287,000 the 
27.24 	second year are for community service grants 
27.25 	to public educational radio stations.
27.26 	(g) $100,000 the first year and $100,000 
27.27 	the second year are for equipment grants to 
27.28 	public educational radio stations.
27.29 	(h) The grants in paragraphs (f) and (g) 
27.30 	must be allocated after considering the 
27.31 	recommendations of the Association of 
27.32 	Minnesota Public Educational Radio Stations 
27.33 	under Minnesota Statutes, section 129D.14.
28.1 	(i) $250,000 the first year and $250,000 
28.2 	the second year are for equipment grants to 
28.3 	Minnesota Public Radio, Inc.
28.4 	(j) Any unencumbered balance remaining the 
28.5 	first year for grants to public television or 
28.6 	radio stations does not cancel and is available 
28.7 	for the second year.

28.8	Sec. 14. BOARD OF ACCOUNTANCY
 	$
	505,000
	$
	505,000

28.928.10
28.11
28.12
	Sec. 15. BOARD OF ARCHITECTURE, 
ENGINEERING, LAND SURVEYING, 
LANDSCAPE ARCHITECTURE, 
GEOSCIENCE, AND INTERIOR DESIGN
 	$
	815,000
	$
	815,000

28.13
28.14	Sec. 16. BOARD OF COSMETOLOGIST 
EXAMINERS
 	$
	691,000
	$
	651,000

28.15	Sec. 17. BOARD OF BARBER EXAMINERS
 	$
	193,000
	$
	188,000

28.16
28.17	Sec. 18. COMBATIVE SPORTS 
COMMISSION
 	$
	80,000
	$
	80,000
	
28.18 	This is a onetime appropriation. The 
28.19 	Combative Sports Commission expires on 
28.20 	July 1, 2011, unless the commissioner of 
28.21 	finance determines that the commission's 
28.22 	projected expenditures for the fiscal biennium 
28.23 	ending June 30, 2013, will not exceed the 
28.24 	commission's projected revenues for the 
28.25 	fiscal biennium ending June 30, 2013, from 
28.26 	fees and penalties authorized in Minnesota 
28.27 	Statutes 2008, chapter 341.

28.28	Sec. 19. TRANSFERS
 					
28.29 	By June 30, 2010, the commissioner of 
28.30 	finance shall transfer $2,500,000, and by June 
28.31 	30, 2011, $2,500,000 of the unencumbered 
29.1 	balance in the workforce development fund 
29.2 	to the general fund.

29.3
29.4	Sec. 20. LEGISLATIVE COORDINATING 
COMMISSION
 	$
	70,000
	$
	0
	
29.5 	From the general fund to the Legislative 
29.6 	Coordinating Commission under Minnesota 
29.7 	Statutes, section 3.303, for fiscal year 2010 
29.8 	for the economic development strategy 
29.9 	working group established in article 2, 
29.10 	section 41.

29.11 	ARTICLE 2
29.12 	EMPLOYMENT AND ECONOMIC DEVELOPMENT
29.13 	- RELATED PROVISIONS

29.14 	Section 1. Minnesota Statutes 2008, section 15.75, subdivision 5, is amended to read:
29.15 		Subd. 5.Agreements with Department of Employment and Economic 
29.16 	Development. The commissioner of employment and economic development may 
29.17 	enter into agreements with regional entities established under subdivision 4 to prepare 
29.18 	plans to ensure coordination of the department's business development, community 
29.19 	development, workforce development, and trade functions with programs of local units of 
29.20 	government and other public and private development agencies in the regions. The plans 
29.21 	will identify regional development priorities and serve as a guide for the implementation 
29.22 	of the department's programs in the regions.

29.23 	Sec. 2. Minnesota Statutes 2008, section 16B.54, subdivision 2, is amended to read:
29.24 		Subd. 2.Vehicles. (a) The commissioner may direct an agency to make a transfer of 
29.25 	a passenger motor vehicle or truck currently assigned to it. The transfer must be made to 
29.26 	the commissioner for use in the central motor pool. The commissioner shall reimburse an 
29.27 	agency whose motor vehicles have been paid for with funds dedicated by the Constitution 
29.28 	for a special purpose and which are assigned to the central motor pool. The amount of 
29.29 	reimbursement for a motor vehicle is its average wholesale price as determined from the 
29.30 	midwest edition of the National Automobile Dealers Association official used car guide.
29.31 	(b) To the extent that funds are available for the purpose, the commissioner may 
29.32 	purchase or otherwise acquire additional passenger motor vehicles and trucks necessary 
29.33 	for the central motor pool. The title to all motor vehicles assigned to or purchased or 
29.34 	acquired for the central motor pool is in the name of the Department of Administration.
30.1 	(c) On the request of an agency, the commissioner may transfer to the central 
30.2 	motor pool any passenger motor vehicle or truck for the purpose of disposing of it. The 
30.3 	department or agency transferring the vehicle or truck must be paid for it from the motor 
30.4 	pool revolving account established by this section in an amount equal to two-thirds of the 
30.5 	average wholesale price of the vehicle or truck as determined from the midwest edition of 
30.6 	the National Automobile Dealers Association official used car guide.
30.7 	(d) The commissioner shall provide for the uniform marking of all motor vehicles. 
30.8 	Motor vehicle colors must be selected from the regular color chart provided by the 
30.9 	manufacturer each year. The commissioner may further provide for the use of motor 
30.10 	vehicles without marking by:
30.11 	(1) the governor;
30.12 	(2) the lieutenant governor;
30.13 	(3) the Division of Criminal Apprehension, the Division of Alcohol and Gambling 
30.14 	Enforcement, and arson investigators of the Division of Fire Marshal in the Department of 
30.15 	Public Safety;
30.16 	(4) the Financial Institutions Division and investigative staff of the Department 
30.17 	of Commerce;
30.18 	(5) the Division of Disease Prevention and Control of the Department of Health;
30.19 	(6) the State Lottery;
30.20 	(7) criminal investigators of the Department of Revenue;
30.21 	(8) state-owned community service facilities in the Department of Human Services;
30.22 	(9) the investigative staff of the Department of Employment and Economic 
30.23 	Development;
30.24 	(10) (9) the Office of the Attorney General; and
30.25 	(11) (10) the investigative staff of the Gambling Control Board.

30.26 	Sec. 3. Minnesota Statutes 2008, section 84.94, subdivision 3, is amended to read:
30.27 		Subd. 3.Identification and classification. The Department of Natural Resources, 
30.28 	with the cooperation of the state Geological Survey, Departments the Department of 
30.29 	Transportation, and Energy, Planning and Development the Department of Employment 
30.30 	and Economic Development, outside of the metropolitan area as defined in section 
30.31 	473.121, shall conduct a program of identification and classification of potentially valuable 
30.32 	publicly or privately owned aggregate lands located outside of urban or developed areas 
30.33 	where aggregate mining is restricted, without consideration of their present land use. The 
30.34 	program shall give priority to identification and classification in areas of the state where 
31.1 	urbanization or other factors are or may be resulting in a loss of aggregate resources to 
31.2 	development. Lands shall be classified as:  
31.3 	(1) identified resources, being those containing significant aggregate deposits;
31.4 	(2) potential resources, being those containing potentially significant deposits and 
31.5 	meriting further evaluation; or
31.6 	(3) subeconomic resources, being those containing no significant deposits.
31.7 	As lands are classified, the information on the classification shall be transmitted to 
31.8 	each of the departments and agencies named in this subdivision, to the planning authority 
31.9 	of the appropriate county and municipality, and to the appropriate county engineer. The 
31.10 	county planning authority shall notify owners of land classified under this subdivision by 
31.11 	publication in a newspaper of general circulation in the county or by mail.

31.12 	Sec. 4. Minnesota Statutes 2008, section 116J.035, subdivision 1, is amended to read:
31.13 		Subdivision 1.Powers. (a) The commissioner may:
31.14 	(1) apply for, receive, and expend money from municipal, county, regional, and 
31.15 	other government agencies;
31.16 	(2) apply for, accept, and disburse grants and other aids from other public or private 
31.17 	sources;
31.18 	(3) contract for professional services if such work or services cannot be satisfactorily 
31.19 	performed by employees of the department or by any other state agency;
31.20 	(4) enter into interstate compacts to jointly carry out such research and planning with 
31.21 	other states or the federal government where appropriate;
31.22 	(5) distribute informational material at no cost to the public upon reasonable request; 
31.23 	and
31.24 	(6) enter into contracts necessary for the performance of the commissioner's duties 
31.25 	with federal, state, regional, metropolitan, local, and other agencies or units of government; 
31.26 	educational institutions, including the University of Minnesota. Contracts made pursuant 
31.27 	to this section shall not be subject to the competitive bidding requirements of chapter 16C.
31.28 	(b) The commissioner may apply for, receive, and expend money made available 
31.29 	from federal or other sources for the purpose of carrying out the duties and responsibilities 
31.30 	of the commissioner pursuant to this chapter.
31.31 	(c) All moneys received by the commissioner pursuant to this chapter shall be 
31.32 	deposited in the state treasury and, subject to section 3.3005, are appropriated to the 
31.33 	commissioner for the purpose for which the moneys have been received. The money shall 
31.34 	not cancel and shall be available until expended.

32.1 	Sec. 5. Minnesota Statutes 2008, section 116J.035, subdivision 6, is amended to read:
32.2 		Subd. 6.Receipt of gifts, money; appropriation. (a) The commissioner may
32.3 	accept gifts, bequests, grants, payments for services, and other public and private money 
32.4 	to help finance the activities of the department.:
32.5 	(1) apply for, accept, and disburse gifts, bequests, grants, payments for services, 
32.6 	loans, or other property from the United States, the state, private foundations, or any 
32.7 	other source;
32.8 	(2) enter into an agreement required for the gifts, grants, or loans; and 
32.9 	(3) hold, use, and dispose of its assets according to the terms of the gift, grant, 
32.10 	loan, or agreement. 
32.11 	(b) Money received by the commissioner under this subdivision must be deposited 
32.12 	in a separate account in the state treasury and invested by the State Board of Investment. 
32.13 	The amount deposited, including investment earnings, is appropriated to the commissioner 
32.14 	to carry out duties under this section.

32.15 	Sec. 6. Minnesota Statutes 2008, section 116J.401, subdivision 2, is amended to read:
32.16 		Subd. 2.Duties; authorizations; limitations. (a) The commissioner of employment 
32.17 	and economic development shall:
32.18 	(1) provide regional development commissions, the Metropolitan Council, and 
32.19 	units of local government with information, technical assistance, training, and advice on 
32.20 	using federal and state programs;
32.21 	(2) receive and administer the Small Cities Community Development Block Grant 
32.22 	Program authorized by Congress under the Housing and Community Development Act of 
32.23 	1974, as amended;
32.24 	(3) receive and administer the section 107 technical assistance program grants 
32.25 	authorized by Congress under the Housing and Community Development Act of 1974, as 
32.26 	amended;
32.27 	(4) receive, administer, and supervise other state and federal grants and grant 
32.28 	programs for planning, community affairs, community development purposes, 
32.29 	employment and training services, and other state and federal programs assigned to the 
32.30 	department by law or by the governor in accordance with section 4.07;  
32.31 	(5) receive applications for state and federal grants and grant programs for planning, 
32.32 	community affairs, and community development purposes, and other state and federal 
32.33 	programs assigned to the department by law or by the governor in accordance with section 
32.34 	4.07;  
33.1 	(6) act as the agent of, and cooperate with, the federal government in matters of 
33.2 	mutual concern, including the administration of any federal funds granted to the state to 
33.3 	aid in the performance of functions of the commissioner;
33.4 	(7) provide consistent, integrated employment and training services across the state;
33.5 	(8) administer the Wagner-Peyser Act, the Workforce Investment Act, and other 
33.6 	federal employment and training programs;
33.7 	(9) establish the standards for all employment and training services administered 
33.8 	under this chapter and chapters 116L, 248, 268, and 268A;
33.9 	(10) administer the aspects of the Minnesota family investment program, general 
33.10 	assistance, and food stamps that relate to employment and training services, subject to the 
33.11 	contract under section 116L.86, subdivision 1;  
33.12 	(11) obtain reports from local service units and service providers for the purpose of 
33.13 	evaluating the performance of employment and training services;
33.14 	(12) as requested, certify employment and training services, and decertify services 
33.15 	that fail to comply with performance criteria according to standards established by the 
33.16 	commissioner;
33.17 	(13) develop standards for the contents and structure of the local service unit plans 
33.18 	and plans for Indian tribe employment and training services, review and comment on those 
33.19 	plans, and approve or disapprove the plans;
33.20 	(14) supervise the county boards of commissioners, local service units, and any other 
33.21 	units of government designated in federal or state law as responsible for employment and 
33.22 	training programs;
33.23 	(15) establish administrative standards and payment conditions for providers of 
33.24 	employment and training services;
33.25 	(16) enter into agreements with Indian tribes as necessary to provide employment 
33.26 	and training services as appropriate funds become available;
33.27 	(17) cooperate with the federal government and its employment and training 
33.28 	agencies in any reasonable manner as necessary to qualify for federal aid for employment 
33.29 	and training services and money;
33.30 	(18) administer and supervise all forms of unemployment insurance provided for 
33.31 	under federal and state laws;
33.32 	(19) provide current state and substate labor market information and forecasts, in 
33.33 	cooperation with other agencies;
33.34 	(20) require all general employment and training programs that receive state funds 
33.35 	to make available information about opportunities for women in nontraditional careers 
33.36 	in the trades and technical occupations;
34.1 	(21) consult with the Rehabilitation Council for the Blind on matters pertaining to 
34.2 	programs and services for the blind and visually impaired;
34.3 	(22) enter into agreements with other departments of the state and local units of 
34.4 	government as necessary; and
34.5 	(23) establish and maintain administrative units necessary to perform administrative 
34.6 	functions common to all divisions of the department.;
34.7 	(24) investigate, study, and undertake ways and means of promoting and encouraging 
34.8 	the prosperous development and protection of the legitimate interest and welfare of 
34.9 	Minnesota business, industry, and commerce, within and outside the state;
34.10 	(25) locate markets for manufacturers and processors and aid merchants in locating 
34.11 	and contacting markets;
34.12 	(26) as necessary or useful for the proper execution of the powers and duties of the 
34.13 	commissioner in promoting and developing Minnesota business, industry, and commerce, 
34.14 	both within and outside the state, investigate and study conditions affecting Minnesota 
34.15 	business, industry, and commerce; collect and disseminate information; and engage in 
34.16 	technical studies, scientific investigations, statistical research, and educational activities;
34.17 	(27) plan and develop an effective business information service both for the direct 
34.18 	assistance of business and industry of the state and for the encouragement of business and 
34.19 	industry outside the state to use economic facilities within the state;
34.20 	(28) compile, collect, and develop periodically, or otherwise make available, 
34.21 	information relating to current business conditions;
34.22 	(29) conduct or encourage research designed to further new and more extensive uses 
34.23 	of the natural and other resources of the state and designed to develop new products 
34.24 	and industrial processes;
34.25 	(30) study trends and developments in the industries of the state and analyze the 
34.26 	reasons underlying the trends;
34.27 	(31) study costs and other factors affecting successful operation of businesses within 
34.28 	the state;
34.29 	(32) make recommendations regarding circumstances promoting or hampering 
34.30 	business and industrial development;
34.31 	(33) serve as a clearing house for business and industrial problems of the state;
34.32 	(34) advise small business enterprises regarding improved methods of accounting 
34.33 	and bookkeeping;
34.34 	(35) cooperate with interstate commissions engaged in formulating and promoting 
34.35 	the adoption of interstate compacts and agreements helpful to business, industry, and 
34.36 	commerce;
35.1 	(36) cooperate with other state departments and with boards, commissions, and 
35.2 	other state agencies in the preparation and coordination of plans and policies for the 
35.3 	development of the state and for the use and conservation of its resources insofar as the 
35.4 	use, conservation, and development may be appropriately directed or influenced by a 
35.5 	state agency;
35.6 	(37) in connection with state, county, and municipal public works projects, assemble 
35.7 	and coordinate information relative to the status, scope, cost, and employment possibilities 
35.8 	and availability of materials, equipment, and labor, and recommend limitations on the 
35.9 	public works;
35.10 	(38) gather current progress information with reference to public and private 
35.11 	works projects of the state and its political subdivisions with reference to conditions of 
35.12 	employment;
35.13 	(39) inquire into and report to the governor, when requested by the governor, with 
35.14 	respect to any program of public state improvements and its financing; and request 
35.15 	and obtain information from other state departments or agencies as may be needed for 
35.16 	the report;
35.17 	(40) study changes in population and current trends and prepare plans and suggest 
35.18 	policies for the development and conservation of the resources of the state;
35.19 	(41) confer and cooperate with the executive, legislative, or planning authorities of 
35.20 	the United States, neighboring states and provinces, and the counties and municipalities 
35.21 	of neighboring states, for the purpose of bringing about a coordination between the 
35.22 	development of neighboring provinces, states, counties, and municipalities and the 
35.23 	development of this state;
35.24 	(42) generally gather, compile, and make available statistical information relating to 
35.25 	business, trade, commerce, industry, transportation, communication, natural resources, 
35.26 	and other like subjects in this state, with authority to call upon other state departments for 
35.27 	statistical data and results obtained by them and to arrange and compile that statistical 
35.28 	information in a reasonable manner;
35.29 	(43) publish documents and annually convene regional meetings to inform 
35.30 	businesses, local government units, assistance providers, and other interested persons of 
35.31 	changes in state and federal law related to economic development;
35.32 	(44) annually convene conferences of providers of economic development-related 
35.33 	financial and technical assistance for the purposes of exchanging information on economic 
35.34 	development assistance, coordinating economic development activities, and formulating 
35.35 	economic development strategies;
36.1 	(45) provide business with information on the economic benefits of energy 
36.2 	conservation and on the availability of energy conservation assistance;
36.3 	(46) as part of the biennial budget process, prepare performance measures for each 
36.4 	business loan or grant program within the jurisdiction of the commissioner. Measures 
36.5 	include source of funds for each program, number of jobs proposed or promised at the 
36.6 	time of application and the number of jobs created, estimated number of jobs retained, the 
36.7 	average salary and benefits for the jobs resulting from the program, and the number of 
36.8 	projects approved;
36.9 	(47) provide a continuous program of education for business people;
36.10 	(48) publish, disseminate, and distribute information and statistics;
36.11 	(49) promote and encourage the expansion and development of markets for 
36.12 	Minnesota products;
36.13 	(50) promote and encourage the location and development of new businesses in the 
36.14 	state as well as the maintenance and expansion of existing businesses and for that purpose 
36.15 	cooperate with state and local agencies and individuals, both within and outside the state;
36.16 	(51) advertise and disseminate information as to natural resources, desirable 
36.17 	locations, and other advantages for the purpose of attracting businesses to locate in this 
36.18 	state;
36.19 	(52) aid the various communities in this state in attracting business to their 
36.20 	communities;
36.21 	(53) advise and cooperate with municipal, county, regional, and other planning 
36.22 	agencies and planning groups within the state for the purpose of promoting coordination 
36.23 	between the state and localities as to plans and development in order to maintain a high 
36.24 	level of gainful employment in private profitable production and achieve commensurate 
36.25 	advancement in social and cultural welfare;
36.26 	(54) coordinate the activities of statewide and local planning agencies, correlate 
36.27 	information secured from them and from state departments and disseminate information 
36.28 	and suggestions to the planning agencies;
36.29 	(55) encourage and assist in the organization and functioning of local planning 
36.30 	agencies where none exist; and
36.31 	(56) adopt measures calculated to promote public interest in and understanding of 
36.32 	the problems of planning and, to that end, may publish and distribute copies of any plan 
36.33 	or any report and may employ other means of publicity and education that will give full 
36.34 	effect to the provisions of sections 116J.58 to 116J.63.
36.35 	(b) At the request of any governmental subdivision in paragraph (a), clause (53), 
36.36 	the commissioner may provide planning assistance, which includes but is not limited to 
37.1 	surveys, land use studies, urban renewal plans, technical services and other planning work 
37.2 	to any city or other municipality in the state or perform similar planning work in any 
37.3 	county, metropolitan, or regional area in the state. The commissioner must not perform 
37.4 	the planning work with respect to a metropolitan or regional area which is under the 
37.5 	jurisdiction for planning purposes of a county, metropolitan, regional, or joint planning 
37.6 	body, except at the request or with the consent of the respective county, metropolitan, 
37.7 	regional, or joint planning body.
37.8 	(c) The commissioner is authorized to:
37.9 	(1) receive and expend money from municipal, county, regional, and other planning 
37.10 	agencies;
37.11 	(2) accept and disburse grants and other aids for planning purposes from the federal 
37.12 	government and from other public or private sources;
37.13 	(3) utilize money received under clause (2) for the employment of consultants and 
37.14 	other temporary personnel to assist in the supervision or performance of planning work 
37.15 	supported by money other than state-appropriated money;
37.16 	(4) enter into contracts with agencies of the federal government, units of local 
37.17 	government or combinations thereof, and with private persons that are necessary in the 
37.18 	performance of the planning assistance function of the commissioner; and
37.19 	(5) assist any local government unit in filling out application forms for the federal 
37.20 	grants-in-aid.
37.21 	(d) In furtherance of its planning functions, any city or town, however organized, 
37.22 	may expend money and contract with agencies of the federal government, appropriate 
37.23 	departments of state government, other local units of government, and with private 
37.24 	persons.

37.25 	Sec. 7. Minnesota Statutes 2008, section 116J.431, subdivision 1, is amended to read:
37.26 		Subdivision 1.Grant program established; purpose. (a) The commissioner shall 
37.27 	make grants to counties or cities to provide up to 50 percent of the capital costs of public 
37.28 	infrastructure necessary for an eligible economic development project. The county or city 
37.29 	receiving a grant must provide for the remainder of the costs of the project, either in cash 
37.30 	or in kind. In-kind contributions may include the value of site preparation other than the 
37.31 	public infrastructure needed for the project.
37.32 	For purposes of this section, "city" means a statutory or home rule charter city 
37.33 	located outside the metropolitan area, as defined in section 473.121, subdivision 2. 
37.34 	"Public infrastructure" means publicly owned physical infrastructure necessary to 
37.35 	support economic development projects, including, but not limited to, sewers, water 
38.1 	supply systems, utility extensions, streets, wastewater treatment systems, stormwater 
38.2 	management systems, and facilities for pretreatment of wastewater to remove phosphorus.
38.3 	(b) The purpose of the grants made under this section is to keep or enhance jobs in 
38.4 	the area, increase the tax base, or to expand or create new economic development.

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

38.6 	Sec. 8. Minnesota Statutes 2008, section 116J.431, is amended by adding a subdivision 
38.7 	to read:
38.8 		Subd. 1a.Definitions. (a) For purposes of this section, the following terms have 
38.9 	the meanings given.
38.10 	(b) "City" means a statutory or home rule charter city located outside the 
38.11 	metropolitan area, as defined in section 473.121, subdivision 2.
38.12 	(c) "County" means a county located outside the metropolitan area, as defined in 
38.13 	section 473.121, subdivision 2.
38.14 	(d) "Public infrastructure" means publicly owned physical infrastructure necessary 
38.15 	to support economic development projects, including, but not limited to, sewers, water 
38.16 	supply systems, utility extensions, streets, wastewater treatment systems, storm water 
38.17 	management systems, and facilities for pretreatment of wastewater to remove phosphorus.

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

38.19 	Sec. 9. Minnesota Statutes 2008, section 116J.431, subdivision 2, is amended to read:
38.20 		Subd. 2.Eligible projects. An economic development project for which a county or 
38.21 	city may be eligible to receive a grant under this section includes:
38.22 	(1) manufacturing;
38.23 	(2) technology;
38.24 	(3) warehousing and distribution;
38.25 	(4) research and development;
38.26 	(5) agricultural processing, defined as transforming, packaging, sorting, or grading 
38.27 	livestock or livestock products into goods that are used for intermediate or final 
38.28 	consumption, including goods for nonfood use; or
38.29 	(6) industrial park development that would be used by any other business listed 
38.30 	in this subdivision.

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

38.32 	Sec. 10. Minnesota Statutes 2008, section 116J.431, subdivision 4, is amended to read:
39.1 		Subd. 4.Application. (a) The commissioner must develop forms and procedures 
39.2 	for soliciting and reviewing applications for grants under this section. At a minimum, a 
39.3 	county or city must include in its application a resolution of the county or city council 
39.4 	certifying that the required local match is available. The commissioner must evaluate 
39.5 	complete applications for eligible projects using the following criteria:
39.6 	(1) the project is an eligible project as defined under subdivision 2;
39.7 	(2) the project will result in substantial public and private capital investment and 
39.8 	provide substantial economic benefit to the county or city in which the project would 
39.9 	be located;
39.10 	(3) the project is not relocating substantially the same operation from another 
39.11 	location in the state, unless the commissioner determines the project cannot be reasonably 
39.12 	accommodated within the county or city in which the business is currently located, or the 
39.13 	business would otherwise relocate to another state; and
39.14 	(4) the project will create or maintain full-time jobs.
39.15 	(b) The determination of whether to make a grant for a site is within the discretion of 
39.16 	the commissioner, subject to this section. The commissioner's decisions and application of 
39.17 	the priorities are not subject to judicial review, except for abuse of discretion.

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

39.19 	Sec. 11. Minnesota Statutes 2008, section 116J.431, subdivision 6, is amended to read:
39.20 		Subd. 6.Maximum grant amount. A county or city may receive no more than 
39.21 	$1,000,000 in two years for one or more projects.

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

39.23 	Sec. 12. Minnesota Statutes 2008, section 116J.435, subdivision 3, is amended to read:
39.24 		Subd. 3.Grant program established. (a) The commissioner shall make 
39.25 	competitive grants to local governmental units to acquire and prepare land on which 
39.26 	public infrastructure required to support an eligible project will be located, including 
39.27 	demolition of structures and remediation of any hazardous conditions on the land, or to 
39.28 	predesign, design, acquire, construct, furnish, and equip public infrastructure required to 
39.29 	support an eligible project. The local governmental unit receiving a grant must provide 
39.30 	for the remainder of the public infrastructure costs. The commissioner may waive 
39.31 	the requirements related to an eligible project under subdivision 2 if a project would 
39.32 	be eligible under this section but for the fact that its location requires infrastructure 
39.33 	improvements to residential development.
40.1 	(b) The amount of a grant may not exceed the lesser of the cost of the public 
40.2 	infrastructure or 50 percent of the sum of the cost of the public infrastructure plus the cost 
40.3 	of the completed eligible project.
40.4 	(c) The purpose of the program is to keep or enhance jobs in the area, increase the 
40.5 	tax base, or to expand or create new economic development through the growth of new 
40.6 	bioscience businesses and organizations.

40.7 	Sec. 13. [116J.438] MINNESOTA GREEN ENTERPRISE ASSISTANCE.
40.8 	(a) The commissioner of employment and economic development in consultation 
40.9 	with the commissioner of commerce, shall lead a multiagency project to advise, 
40.10 	promote, market, and coordinate state agency collaboration on green enterprise and 
40.11 	green economy projects, as defined in section 116J.437. The multiagency project must 
40.12 	include the commissioners of employment and economic development, natural resources, 
40.13 	agriculture, transportation, and commerce, and the Pollution Control Agency. The 
40.14 	project must involve collaboration with the chairs and ranking minority members of 
40.15 	legislative committees overseeing energy policy and energy finance, state agencies, 
40.16 	local governments, representatives from business and agriculture, and other interested 
40.17 	stakeholders. The objective of the project is to utilize existing state resources to expedite 
40.18 	the delivery of grants, licenses, permits, and other state authorizations and approvals for 
40.19 	green economy projects. The commissioner shall appoint a lead person to coordinate 
40.20 	green enterprise assistance activities.
40.21 	(b) The commissioner of employment and economic development shall seek out and 
40.22 	may select persons from the business community to assist the commissioner in project 
40.23 	activities.
40.24 	(c) The commissioner may accept gifts, contributions, and in-kind services for the 
40.25 	purposes of this section, under the authority provided in section 116J.035, subdivision 
40.26 	1. Any funds received must be placed in a special revenue account for the purposes of 
40.27 	this section.

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

40.29 	Sec. 14. Minnesota Statutes 2008, section 116J.554, subdivision 1, is amended to read:
40.30 		Subdivision 1.Authority. (a) The commissioner may make a grant to an applicant 
40.31 	development authority to pay for up to 75 percent of the project costs for a qualifying site.
40.32 	(b) The commissioner may also make a grant to an applicant development authority 
40.33 	to pay up to 75 percent or $50,000, whichever is less, toward the cost of performing 
41.1 	contaminant investigations and the development of a response action plan for a qualifying 
41.2 	site.
41.3 	(c) The commissioner may also make a grant to an applicant to fill a site that would 
41.4 	represent more than 50 percent of the remaining land in a city suitable for industrial 
41.5 	development if it were properly filled.
41.6 	(d) The determination of whether to make a grant for a qualifying site is within the 
41.7 	sole discretion of the commissioner, subject to the process provided by this section, and 
41.8 	available unencumbered money in the appropriation. The commissioner's decisions and 
41.9 	application of the priorities under section 116J.555 are not subject to judicial review, 
41.10 	except for abuse of discretion.  
41.11 	(e) The total amount of money provided in grants under paragraph (b) may not 
41.12 	exceed $250,000$500,000 per fiscal year.
41.13 	(f) In making grants under paragraph (b), the commissioner shall give priority to 
41.14 	applicants that have not received a grant under paragraph (a) or section 473.252 during 
41.15 	the year ending on the date of application.  

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

41.17 	Sec. 15. Minnesota Statutes 2008, section 116J.555, subdivision 1, is amended to read:
41.18 		Subdivision 1.Priorities. (a) The legislature expects that applications for grants 
41.19 	will exceed the available appropriations and the agency will be able to provide grants to 
41.20 	only some of the applicant development authorities.
41.21 	(b) If applications for grants for qualified sites exceed the available appropriations, 
41.22 	the agency shall make grants for sites that, in the commissioner's judgment, provide 
41.23 	the highest return in public benefits for the public costs incurred and that meet all the 
41.24 	requirements provided by law. In making this judgment, the commissioner shall consider 
41.25 	the following factors:
41.26 	(1) the recommendations or ranking of projects by the commissioner of the Pollution 
41.27 	Control Agency regarding the potential threat to public health and the environment that 
41.28 	would be reduced or eliminated by completion of each of the response action plans;
41.29 	(2) the potential increase in the property tax base of the local taxing jurisdictions, 
41.30 	considered relative to the fiscal needs of the jurisdictions, that will result from 
41.31 	developments that will occur because of completion of each of the response action plans;
41.32 	(3) the social value to the community of the cleanup and redevelopment of the site, 
41.33 	including the importance of development of the proposed public facilities on each of 
41.34 	the sites;
42.1 	(4) the probability that each site will be cleaned up without use of government 
42.2 	money in the reasonably foreseeable future by considering but not limited to the current 
42.3 	market value of the site versus the cleanup cost;
42.4 	(5) the amount of cleanup costs for each site; and
42.5 	(6) the amount of the commitment of municipal or other local resources to pay for 
42.6 	the cleanup costs.
42.7 	The factors are not listed in a rank order of priority; rather the commissioner may 
42.8 	weigh each factor, depending upon the facts and circumstances, as the commissioner 
42.9 	considers appropriate. The commissioner may consider other factors that affect the net 
42.10 	return of public benefits for completion of the response action plan. The commissioner, 
42.11 	notwithstanding the listing of priorities and the goal of maximizing the return of public 
42.12 	benefits, shall make grants that distribute available money to sites both within and outside 
42.13 	of the metropolitan area. The commissioner shall provide a written statement of the 
42.14 	supporting reasons for each grant. Unless sufficient applications are not received for 
42.15 	qualifying sites outside of the metropolitan area, at least 25 35 percent of the money 
42.16 	provided as grants must be made for sites located outside of the metropolitan area.

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

42.18 	Sec. 16. [116J.6581] MINNESOTA SCIENCE AND TECHNOLOGY 
42.19 	ECONOMIC DEVELOPMENT PROJECT.
42.20 	(a) The commissioner of employment and economic development shall lead a 
42.21 	public-private project with science and technology experts from public, academic, and 
42.22 	private sectors to advise state agency collaboration to design, coordinate, and administer a 
42.23 	strategic science and technology program for the state designed to promote the welfare of 
42.24 	the people of the state, maximize the economic growth of the state, and create and retain 
42.25 	jobs in the state's industrial base through enhancement of Minnesota's:
42.26 	(1) high technology research and development capabilities;
42.27 	(2) product and process innovation and commercialization;
42.28 	(3) high technology manufacturing capabilities;
42.29 	(4) science and technology business environment; and
42.30 	(5) science and technology workforce preparation.
42.31 	(b) Project membership shall consist of science and technology experts from 
42.32 	public, academic, and private sectors. A member must have a background in science or 
42.33 	technology in order to serve on the project. The project members shall consist of at least 
42.34 	13 members as follows:
42.35 	(1) a representative of the University of Minnesota;
43.1 	(2) a representative of Minnesota State Colleges and Universities;
43.2 	(3) the chief executive officer of Mayo Clinic or a designee; and
43.3 	(4) six chief executive officers or designees from science- or technology-oriented 
43.4 	companies and four representatives from science- and technology-oriented trade 
43.5 	organizations.
43.6 	(c) The commissioner of employment and economic development must report 
43.7 	by January 15, 2010, to the legislative committees having jurisdiction over science 
43.8 	and technology and economic development policy and finance on the activities of the 
43.9 	project and must recommend changes or additions to its organization, including specific 
43.10 	recommendations for necessary legislation.

43.11 	Sec. 17. Minnesota Statutes 2008, section 116J.68, subdivision 2, is amended to read:
43.12 		Subd. 2.Duties. The bureau shall:
43.13 	(a) (1) provide information and assistance with respect to all aspects of business 
43.14 	planning and business management related to the start-up, operation, or expansion of 
43.15 	a small business in Minnesota;
43.16 	(b) (2) refer persons interested in the start-up, operation, or expansion of a small 
43.17 	business in Minnesota to assistance programs sponsored by federal agencies, state 
43.18 	agencies, educational institutions, chambers of commerce, civic organizations, community 
43.19 	development groups, private industry associations, and other organizations or to the 
43.20 	business assistance referral system established by the Minnesota Project Outreach 
43.21 	Corporation;
43.22 	(c) (3) plan, develop, and implement a master file of information on small business 
43.23 	assistance programs of federal, state, and local governments, and other public and private 
43.24 	organizations so as to provide comprehensive, timely information to the bureau's clients;
43.25 	(d) (4) employ staff with adequate and appropriate skills and education and training 
43.26 	for the delivery of information and assistance;
43.27 	(e) (5) seek out and utilize, to the extent practicable, contributed expertise and 
43.28 	services of federal, state, and local governments, educational institutions, and other public 
43.29 	and private organizations;
43.30 	(f) (6) maintain a close and continued relationship with the director of the 
43.31 	procurement program within the Department of Administration so as to facilitate the 
43.32 	department's duties and responsibilities under sections 16C.16 to 16C.19 relating to the 
43.33 	small targeted group business and economically disadvantaged business program of the 
43.34 	state;  
44.1 	(g) (7) develop an information system which will enable the commissioner and other 
44.2 	state agencies to efficiently store, retrieve, analyze, and exchange data regarding small 
44.3 	business development and growth in the state. All executive branch agencies of state 
44.4 	government and the secretary of state shall to the extent practicable, assist the bureau in 
44.5 	the development and implementation of the information system;
44.6 	(h) (8) establish and maintain a toll free telephone number so that all small business 
44.7 	persons anywhere in the state can call the bureau office for assistance. An outreach 
44.8 	program shall be established to make the existence of the bureau well known to its 
44.9 	potential clientele throughout the state. If the small business person requires a referral to 
44.10 	another provider the bureau may use the business assistance referral system established by 
44.11 	the Minnesota Project Outreach Corporation;
44.12 	(i) (9) conduct research and provide data as required by the state legislature;
44.13 	(j) (10) develop and publish material on all aspects of the start-up, operation, or 
44.14 	expansion of a small business in Minnesota;
44.15 	(k) (11) collect and disseminate information on state procurement opportunities, 
44.16 	including information on the procurement process;
44.17 	(l) (12) develop a public awareness program through the use of newsletters, personal 
44.18 	contacts, and electronic and print news media advertising about state assistance programs 
44.19 	for small businesses, including those programs specifically for socially disadvantaged 
44.20 	small business persons;
44.21 	(m) (13) enter into agreements with the federal government and other public and 
44.22 	private entities to serve as the statewide coordinator or host agency for the federal small 
44.23 	business development center program under United States Code, title 15, section 648; and
44.24 	(n) (14) assist providers in the evaluation of their programs and the assessment of 
44.25 	their service area needs. The bureau may establish model evaluation techniques and 
44.26 	performance standards for providers to use.

44.27 	Sec. 18. Minnesota Statutes 2008, section 116J.8731, subdivision 2, is amended to read:
44.28 		Subd. 2.Administration. The commissioner shall administer the fund as part of 
44.29 	the Small Cities Development Block Grant Program. Funds shall be made available to 
44.30 	local communities and recognized Indian tribal governments in accordance with the rules 
44.31 	adopted for economic development grants in the small cities community development 
44.32 	block grant program, except that all units of general purpose local government are eligible 
44.33 	applicants for Minnesota investment funds. The commissioner may also make funds 
44.34 	available within the department for eligible expenditures under subdivision 3, clause 
44.35 	(2). A home rule charter or statutory city, county, or town may loan or grant money 
45.1 	received from repayment of funds awarded under this section to a regional development 
45.2 	commission, other regional entity, or statewide community capital fund as determined by 
45.3 	the commissioner, to capitalize or to provide the local match required for capitalization of 
45.4 	a regional or statewide revolving loan fund.

45.5 	Sec. 19. Minnesota Statutes 2008, section 116J.8731, subdivision 3, is amended to read:
45.6 		Subd. 3.Eligible expenditures. The money appropriated for this section may 
45.7 	be used to provide fund:
45.8 	(1) grants for infrastructure, loans, loan guarantees, interest buy-downs, and other 
45.9 	forms of participation with private sources of financing, provided that a loan to a private 
45.10 	enterprise must be for a principal amount not to exceed one-half of the cost of the project 
45.11 	for which financing is sought.; and
45.12 	(2) strategic investments in renewable energy market development, such as low 
45.13 	interest loans for renewable energy equipment manufacturing, training grants to support 
45.14 	renewable energy workforce, development of a renewable energy supply chain that 
45.15 	represents and strengthens the industry throughout the state, and external marketing to 
45.16 	garner more national and international investment into Minnesota's renewable sector. 
45.17 	Expenditures in external marketing for renewable energy market development are not 
45.18 	subject to the limitations in clause (1).

45.19 	Sec. 20. [116J.997] PROGRAM ACCOUNTABILITY REQUIREMENTS.
45.20 		Subdivision 1.Accountability measurement. By October 1, 2009, the 
45.21 	commissioner of employment and economic development shall develop a uniform 
45.22 	accountability report for economic development or workforce related programs funded in 
45.23 	whole or in part by state or federal funds. The commissioner shall also develop a formula 
45.24 	for measuring the return on investment for each program and a comparison of the return 
45.25 	on investment of all programs funded in whole or in part by state or federal funds. The 
45.26 	requirements of this section apply to programs administered directly by the commissioner 
45.27 	or administered by other employment organizations under a grant made by the department. 
45.28 	The report and formula required by this subdivision shall be submitted to the chairs and 
45.29 	ranking minority members of the committees of the house of representatives and senate 
45.30 	having jurisdiction over economic development and workforce policy and finance by 
45.31 	October 15, 2009, for review and comment.
45.32 		Subd. 2.Report to the legislature. By December 31 of each even-numbered 
45.33 	year the commissioner must report to the chairs and the ranking minority members of 
45.34 	the committees of the house of representatives and the senate having jurisdiction over 
46.1 	economic development and workforce policy and finance the following information for 
46.2 	each program subject to the requirements of subdivision 1:
46.3 	(1) the target population;
46.4 	(2) the number of jobs affected by the program, including the number of net new 
46.5 	jobs created in the state and the average annual wage per job;
46.6 	(3) the number of individuals leaving the unemployment compensation program as 
46.7 	a result of the program;
46.8 	(4) the number of individuals leaving the Minnesota Family Investment Program 
46.9 	support as a result of the program;
46.10 	(5) the region of the state in which the program operated;
46.11 	(6) the amount of state or federal funds allocated to the program;
46.12 	(7) the return on investment as calculated by the formula developed by the 
46.13 	commissioner; and
46.14 	(8) the dollar amount and percentage of the total grant used for administrative 
46.15 	expenses.
46.16 		Subd. 3.Report to the commissioner. A recipient of a grant made by or through 
46.17 	the department must report to the commissioner by September 1 of each even-numbered 
46.18 	year on each of the items in subdivision 2 for each program it administers. The report 
46.19 	must be in a format prescribed by the commissioner.
46.20 	Beginning November 1, 2009, the commissioner shall provide notice to grant 
46.21 	applicants and recipients regarding the data collection and reporting requirements under 
46.22 	this subdivision and must provide technical assistance to applicants and recipients to assist 
46.23 	in complying with the requirements of this subdivision.
46.24 		Subd. 4.Biennial budget request. The information collected and reported under 
46.25 	subdivisions 2 and 3 shall be included in budgets submitted to the legislature under 
46.26 	section 16A.11.

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

46.28 	Sec. 21. Minnesota Statutes 2008, section 116L.03, subdivision 5, is amended to read:
46.29 		Subd. 5.Terms. The terms of appointed members shall be for four years except for 
46.30 	the initial appointments. The initial appointments of the governor shall have the following 
46.31 	terms: two members each for one, two, three, and four years. No member shall serve 
46.32 	more than two terms, and no person shall be appointed after December 31, 2001, for any 
46.33 	term that would cause that person to serve a total of more than eight years on the board. 
46.34 	Compensation for board members is as provided in section 15.0575, subdivision 3.  

47.1 	Sec. 22. Minnesota Statutes 2008, section 116L.05, subdivision 5, is amended to read:
47.2 		Subd. 5.Use of workforce development funds. After March 1 of any fiscal year, 
47.3 	the board may use workforce development funds for the purposes outlined in sections 
47.4 	116L.02, 116L.04, and 116L.10 to 116L.14, or to provide incumbent worker training 
47.5 	services under section 116L.18 if the following conditions have been met:
47.6 	(1) the board examines relevant economic indicators, including the projected 
47.7 	number of layoffs for the remainder of the fiscal year and the next fiscal year, evidence of 
47.8 	declining and expanding industries, the number of initial applications for and the number 
47.9 	of exhaustions of unemployment benefits, job vacancy data, and any additional relevant 
47.10 	information brought to the board's attention;
47.11 	(2) the board accounts for all allocations made in section 116L.17, subdivision 2;
47.12 	(3) based on the past expenditures and projected revenue, the board estimates future 
47.13 	funding needs for services under section 116L.17 for the remainder of the current fiscal 
47.14 	year and the next fiscal year;
47.15 	(4) the board determines there will be unspent funds after meeting the needs of 
47.16 	dislocated workers in the current fiscal year and there will be sufficient revenue to meet 
47.17 	the needs of dislocated workers in the next fiscal year; and
47.18 	(5) the board reports its findings in clauses (1) to (4) to the chairs of legislative 
47.19 	committees with jurisdiction over the workforce development fund, to the commissioners 
47.20 	of revenue and finance, and to the public.

47.21 	Sec. 23. Minnesota Statutes 2008, section 116L.20, subdivision 1, is amended to read:
47.22 		Subdivision 1.Determination and collection of special assessment. (a) In addition 
47.23 	to amounts due from an employer under the Minnesota unemployment insurance program, 
47.24 	each employer, except an employer making reimbursements is liable for a special 
47.25 	assessment levied at the rate of .10 percent per year on all taxable wages, as defined in 
47.26 	section 268.035, subdivision 24, except that effective July 1, 2009, until June 30, 2011, the 
47.27 	special assessment shall be levied at a rate of .12 percent per year on all taxable wages as 
47.28 	defined in section 268.035, subdivision 24. The assessment shall become due and be paid 
47.29 	by each employer on the same schedule and in the same manner as other amounts due 
47.30 	from an employer under section 268.051, subdivision 1.
47.31 	(b) The special assessment levied under this section shall be subject to the same 
47.32 	requirements and collection procedures as any amounts due from an employer under the 
47.33 	Minnesota unemployment insurance program.

47.34 	Sec. 24. Minnesota Statutes 2008, section 116L.362, subdivision 1, is amended to read:
48.1 		Subdivision 1.Generally. (a) The commissioner shall make grants to eligible 
48.2 	organizations for programs to provide education and training services to targeted youth. 
48.3 	The purpose of these programs is to provide specialized training and work experience for 
48.4 	targeted youth who have not been served effectively by the current educational system. 
48.5 	The programs are to include a work experience component with work projects that 
48.6 	result in the rehabilitation, improvement, or construction of (1) residential units for the 
48.7 	homeless, or; (2) improvements to the energy efficiency and environmental health of 
48.8 	residential units and other green jobs purposes; (3) facilities to support community garden 
48.9 	projects; or (4) education, social service, or health facilities which are owned by a public 
48.10 	agency or a private nonprofit organization.
48.11 	(b) Eligible facilities must principally provide services to homeless or very low 
48.12 	income individuals and families, and include the following:
48.13 	(1) Head Start or day care centers;
48.14 	(2) homeless, battered women, or other shelters;
48.15 	(3) transitional housing;
48.16 	(4) youth or senior citizen centers; and
48.17 	(5) community health centers.; and
48.18 	(6) community garden facilities.
48.19 	Two or more eligible organizations may jointly apply for a grant. The commissioner 
48.20 	shall administer the grant program.

48.21 	Sec. 25. Minnesota Statutes 2008, section 116L.364, subdivision 3, is amended to read:
48.22 		Subd. 3.Work experience component. A work experience component must be 
48.23 	included in each program. The work experience component must provide vocational skills 
48.24 	training in an industry where there is a viable expectation of job opportunities. A training 
48.25 	subsidy, living allowance, or stipend, not to exceed an amount equal to 100 percent of the 
48.26 	poverty line for a family of two as defined in United States Code, title 42, section 673, 
48.27 	paragraph (2), may be provided to program participants. The wage or stipend must be 
48.28 	provided to participants who are recipients of public assistance in a manner or amount 
48.29 	which will not reduce public assistance benefits. The work experience component must be 
48.30 	designed so that work projects result in (1) the expansion or improvement of residential 
48.31 	units for homeless persons and very low income families, or ; (2) improvements to the 
48.32 	energy efficiency and environmental health of residential units; (3) facilities to support 
48.33 	community garden projects; or (4) rehabilitation, improvement, or construction of eligible 
48.34 	education, social service, or health facilities that principally serve homeless or very low 
48.35 	income individuals and families. Any work project must include direct supervision by 
49.1 	individuals skilled in each specific vocation. Program participants may earn credits 
49.2 	toward the completion of their secondary education from their participation in the work 
49.3 	experience component.

49.4 	Sec. 26. Minnesota Statutes 2008, section 116L.871, subdivision 1, is amended to read:
49.5 		Subdivision 1.Responsibility and certification. (a) Unless prohibited by federal 
49.6 	law or otherwise determined by state law, a local service unit is responsible for the 
49.7 	delivery of employment and training services. As of July 1, 1998, Employment and 
49.8 	training services may be delivered by certified employment and training service providers.
49.9 	(b) The local service unit's employment and training service provider must meet the 
49.10 	certification standards in this subdivision if the county requests that they be certified 
49.11 	to deliver any of the following employment and training services and programs: wage 
49.12 	subsidies; general assistance grant diversion; food stamp employment and training 
49.13 	programs; community work experience programs; and MFIP employment services.
49.14 	(c) The commissioner shall certify a local service unit's service provider to provide 
49.15 	these employment and training services and programs if the commissioner determines 
49.16 	that the provider has:
49.17 	(1) past experience in direct delivery of the programs specified in paragraph (b);
49.18 	(2) staff capabilities and qualifications, including adequate staff to provide timely 
49.19 	and effective services to clients, and proven staff experience in providing specific services 
49.20 	such as assessments, career planning, job development, job placement, support services, 
49.21 	and knowledge of community services and educational resources;
49.22 	(3) demonstrated effectiveness in providing services to public assistance recipients 
49.23 	and other economically disadvantaged clients; and
49.24 	(4) demonstrated administrative capabilities, including adequate fiscal and 
49.25 	accounting procedures, financial management systems, participant data systems, and 
49.26 	record retention procedures.
49.27 	(d) When the only service provider that meets the criterion in paragraph (c), clause 
49.28 	(1), has been decertified, according to subdivision 1a, in that local service unit, the 
49.29 	following criteria shall be substituted: past experience in direct delivery of multiple, 
49.30 	coordinated, nonduplicative services, including outreach, assessments, identification of 
49.31 	client barriers, employability development plans, and provision or referral to support 
49.32 	services.

49.33 	Sec. 27. Minnesota Statutes 2008, section 116L.96, is amended to read:
49.34 	116L.96 DISPLACED HOMEMAKER PROGRAMS.
50.1 	The commissioner of economic security employment and economic development
50.2 	may enter into arrangements with existing private or nonprofit organizations and agencies 
50.3 	with experience in dealing with displaced homemakers to provide counseling and 
50.4 	training services. The commissioner shall assist displaced homemakers in applying for 
50.5 	appropriate welfare programs and shall take welfare allowances received into account 
50.6 	in setting the stipend level. Income received as a stipend under these programs shall 
50.7 	be totally disregarded for purposes of determining eligibility for and the amount of a 
50.8 	general assistance grant.

50.9 	Sec. 28. Minnesota Statutes 2008, section 116O.115, subdivision 2, is amended to read:
50.10 		Subd. 2.Qualified company. A company is qualified to receive assistance under 
50.11 	the small business growth acceleration program if it the company is a manufacturing 
50.12 	company or a manufacturing-related service company that employs 100 250 or fewer 
50.13 	full-time equivalent employees.

50.14 	Sec. 29. Minnesota Statutes 2008, section 116O.115, subdivision 4, is amended to read:
50.15 		Subd. 4.Fund awards; use of funds. (a) The corporation shall establish 
50.16 	procedures for determining which applicants for assistance under the small business 
50.17 	growth acceleration program will receive program funding. Funding shall be awarded 
50.18 	only to accelerate a qualified company's adoption of needed technology or business 
50.19 	improvements when the corporation concludes that it is unlikely the improvements could 
50.20 	be accomplished in any other way.
50.21 	(b) The maximum amount of funds awarded to a qualified company under the small 
50.22 	business growth acceleration program for a particular project must not exceed 50 75
50.23 	percent of the total cost of a project and must not under any circumstances exceed $25,000 
50.24 	during a calendar year. The corporation shall not award to a qualified company small 
50.25 	business growth acceleration program funds in excess of $50,000 per year.
50.26 	(c) Any funds awarded to a qualified company under the small business growth 
50.27 	acceleration program must be used for business services and products that will enhance the 
50.28 	operation of the company. These business services and products must come either directly 
50.29 	from the corporation or from a network of expert providers identified and approved by 
50.30 	the corporation. No company receiving small business growth acceleration program 
50.31 	funds may use the funds for refinancing, overhead costs, new construction, renovation, 
50.32 	equipment, or computer hardware.
50.33 	(d) Any funds awarded must be disbursed to the qualified company as reimbursement 
50.34 	documented according to requirements of the corporation.
51.1 	(e) Receipt of funds from an award under this section is contingent upon a 
51.2 	contribution of funds by the qualified company to the project, as follows:
51.3 	(1) a company with under 50 employees must contribute one dollar for every three 
51.4 	dollars of program assistance awarded;
51.5 	(2) a company with 50 to 100 employees must contribute one dollar for every one 
51.6 	dollar of program assistance awarded; and
51.7 	(3) a company with 101 to 250 employees must contribute three dollars for every 
51.8 	one dollar of program assistance awarded.

51.9 	Sec. 30. Minnesota Statutes 2008, section 123A.08, subdivision 1, is amended to read:
51.10 		Subdivision 1.Outside sources for resources and services. A center may accept:
51.11 	(1) resources and services from postsecondary institutions serving center pupils;
51.12 	(2) resources from Job Training Partnership Act Workforce Investment Act of 1998, 
51.13 	Public Law 105-220 programs, including funding for jobs skills training for various 
51.14 	groups and the percentage reserved for education;
51.15 	(3) resources from the Department of Human Services and county welfare funding;
51.16 	(4) resources from a local education and employment transitions partnership; or
51.17 	(5) private resources, foundation grants, gifts, corporate contributions, and other 
51.18 	grants.

51.19 	Sec. 31. Minnesota Statutes 2008, section 124D.49, subdivision 3, is amended to read:
51.20 		Subd. 3.Local education and employment transitions systems. A local education 
51.21 	and employment transitions partnership must assess the needs of employers, employees, 
51.22 	and learners, and develop a plan for implementing and achieving the objectives of a local 
51.23 	or regional education and employment transitions system. The plan must provide for a 
51.24 	comprehensive local system for assisting learners and workers in making the transition 
51.25 	from school to work or for retraining in a new vocational area. The objectives of a local 
51.26 	education and employment transitions system include:
51.27 	(1) increasing the effectiveness of the educational programs and curriculum of 
51.28 	elementary, secondary, and postsecondary schools and the work site in preparing students 
51.29 	in the skills and knowledge needed to be successful in the workplace;
51.30 	(2) implementing learner outcomes for students in grades kindergarten through 12 
51.31 	designed to introduce the world of work and to explore career opportunities, including 
51.32 	nontraditional career opportunities;
51.33 	(3) eliminating barriers to providing effective integrated applied learning, 
51.34 	service-learning, or work-based curriculum;
52.1 	(4) increasing opportunities to apply academic knowledge and skills, including 
52.2 	skills needed in the workplace, in local settings which include the school, school-based 
52.3 	enterprises, postsecondary institutions, the workplace, and the community;
52.4 	(5) increasing applied instruction in the attitudes and skills essential for success in 
52.5 	the workplace, including cooperative working, leadership, problem-solving, and respect 
52.6 	for diversity;
52.7 	(6) providing staff training for vocational guidance counselors, teachers, and other 
52.8 	appropriate staff in the importance of preparing learners for the transition to work, and in 
52.9 	methods of providing instruction that incorporate applied learning, work-based learning, 
52.10 	and service-learning experiences;
52.11 	(7) identifying and enlisting local and regional employers who can effectively 
52.12 	provide work-based or service-learning opportunities, including, but not limited to, 
52.13 	apprenticeships, internships, and mentorships;
52.14 	(8) recruiting community and workplace mentors including peers, parents, employers 
52.15 	and employed individuals from the community, and employers of high school students;
52.16 	(9) identifying current and emerging educational, training, and employment needs of 
52.17 	the area or region, especially within industries with potential for job growth;
52.18 	(10) improving the coordination and effectiveness of local vocational and job 
52.19 	training programs, including vocational education, adult basic education, tech prep, 
52.20 	apprenticeship, service-learning, youth entrepreneur, youth training and employment 
52.21 	programs administered by the commissioner of employment and economic development, 
52.22 	and local job training programs under the Job Training Partnership Act, United States 
52.23 	Code, title 29, section 1501, et seq. Workforce Investment Act of 1998, Public Law 
52.24 	105-220;
52.25 	(11) identifying and applying for federal, state, local, and private sources of funding 
52.26 	for vocational or applied learning programs;
52.27 	(12) providing students with current information and counseling about career 
52.28 	opportunities, potential employment, educational opportunities in postsecondary 
52.29 	institutions, workplaces, and the community, and the skills and knowledge necessary to 
52.30 	succeed;
52.31 	(13) providing educational technology, including interactive television networks 
52.32 	and other distance learning methods, to ensure access to a broad variety of work-based 
52.33 	learning opportunities;
52.34 	(14) including students with disabilities in a district's vocational or applied learning 
52.35 	program and ways to serve at-risk learners through collaboration with area learning 
52.36 	centers under sections 123A.05 to 123A.09, or other alternative programs; and  
53.1 	(15) providing a warranty to employers, postsecondary education programs, and 
53.2 	other postsecondary training programs, that learners successfully completing a high school 
53.3 	work-based or applied learning program will be able to apply the knowledge and work 
53.4 	skills included in the program outcomes or graduation requirements. The warranty shall 
53.5 	require education and training programs to continue to work with those learners that need 
53.6 	additional skill development until they can demonstrate achievement of the program 
53.7 	outcomes or graduation requirements.

53.8 	Sec. 32.  Minnesota Statutes 2008, section 160.276, subdivision 8, is amended to read:
53.9 		Subd. 8.Revenue. The agreement may provide that the vendor pay a portion of 
53.10 	the gross revenues derived from advertising. These revenues must be paid to the state for 
53.11 	deposit in the safety rest area account established in section 160.2745. The commissioner 
53.12 	of transportation and director of the Office of Explore Minnesota Tourism may enter into 
53.13 	an interagency agreement to define the distribution of the revenues generated in this 
53.14 	subdivision and subdivisions 2a and 3a.

53.15 	Sec. 33. Minnesota Statutes 2008, section 241.27, subdivision 1, is amended to read:
53.16 		Subdivision 1.Establishment of Minnesota correctional industries; MINNCOR 
53.17 	industries. For the purpose of providing adequate, regular and suitable employment, 
53.18 	educational training, and to aid the inmates of state correctional facilities, the 
53.19 	commissioner of corrections may establish, equip, maintain and operate at any correctional 
53.20 	facility under the commissioner's control such industrial and commercial activities as may 
53.21 	be deemed necessary and suitable to the profitable employment, educational training and 
53.22 	development of proper work habits of the inmates of state correctional facilities. The 
53.23 	industrial and commercial activities authorized by this section are designated MINNCOR 
53.24 	industries and shall be for the primary purpose of sustaining and ensuring MINNCOR 
53.25 	industries' self-sufficiency, providing  educational training, meaningful employment 
53.26 	and the teaching of proper work habits to the inmates of correctional facilities under 
53.27 	the control of the commissioner of corrections, and not solely as competitive business 
53.28 	ventures. The net profits from these activities shall be used for the benefit of the inmates 
53.29 	as it relates to education, self-sufficiency skills, and transition services and not to fund 
53.30 	non-inmate-related activities or mandates. Prior to the establishment of any industrial and 
53.31 	commercial activity, the commissioner of corrections may consult with representatives 
53.32 	of business, industry, organized labor, the state Department of Education, the state 
53.33 	Apprenticeship Council, the state Department of Labor and Industry, the Department of 
53.34 	Employment Security and Economic Development, the Department of Administration, 
54.1 	and such other persons and bodies as the commissioner may feel are qualified to determine 
54.2 	the quantity and nature of the goods, wares, merchandise and services to be made or 
54.3 	provided, and the types of processes to be used in their manufacture, processing, repair, 
54.4 	and production consistent with the greatest opportunity for the reform and  educational 
54.5 	training of the inmates, and with the best interests of the state, business, industry and labor.
54.6 	The commissioner of corrections shall, at all times in the conduct of any industrial 
54.7 	or commercial activity authorized by this section, utilize inmate labor to the greatest 
54.8 	extent feasible, provided, however, that the commissioner may employ all administrative, 
54.9 	supervisory and other skilled workers necessary to the proper instruction of the inmates 
54.10 	and the profitable and efficient operation of the industrial and commercial activities 
54.11 	authorized by this section.
54.12 	Additionally, the commissioner of corrections may authorize the director of any 
54.13 	correctional facility under the commissioner's control to accept work projects from outside 
54.14 	sources for processing, fabrication or repair, provided that preference shall be given to the 
54.15 	performance of such work projects for state departments and agencies.

54.16 	Sec. 34. Minnesota Statutes 2008, section 248.061, subdivision 3, is amended to read:
54.17 		Subd. 3.Eligible individual. "Eligible individual" means an individual who is 
54.18 	eligible for library loan services through the Library of Congress and the State Library for 
54.19 	the Blind and Physically Handicapped Minnesota Braille and Talking Book Library under 
54.20 	Code of Federal Regulations, title 36, section 701.10, subsection (b).

54.21 	Sec. 35. Minnesota Statutes 2008, section 248.07, subdivision 7, is amended to read:
54.22 		Subd. 7.Blind, vending stands and machines on governmental property; 
54.23 	liability limited. (a) Notwithstanding any other law, for the rehabilitation of blind persons 
54.24 	the commissioner shall have exclusive authority to establish and to operate vending 
54.25 	stands and vending machines in all buildings and properties owned or rented exclusively 
54.26 	by the Minnesota State Colleges and Universities at a state university, a community 
54.27 	college, a consolidated community technical college, or a technical college served by 
54.28 	the commissioner before January 1, 1996, or by any department or agency of the state 
54.29 	of Minnesota except the Department of Natural Resources properties operated directly 
54.30 	by the Division of State Parks and not subject to private leasing. The merchandise to be 
54.31 	dispensed by such Vending stands and machines authorized under this subdivision may 
54.32 	include dispense nonalcoholic beverages, food, candies, tobacco, souvenirs, notions and 
54.33 	related items. Such vending stands and vending machines herein authorized shalland 
54.34 	must be operated on the same basis as other vending stands for the blind established and 
55.1 	supervised by the commissioner under federal law. The commissioner shall waive this 
55.2 	authority to displace any present private individual concessionaire in any state-owned or 
55.3 	rented building or property who is operating under a contract with a specific renewal or 
55.4 	termination date, until the renewal or termination date. With the consent of the governing 
55.5 	body of a governmental subdivision of the state, the commissioner may establish and 
55.6 	supervise vending stands and vending machines for the blind in any building or property 
55.7 	exclusively owned or rented by the governmental subdivision.
55.8 	(b) The Department of Employment and Economic Development is not liable 
55.9 	under chapter 176 for any injury sustained by a blind vendor's employee or agent. The 
55.10 	Department of Employment and Economic Development, its officers, and its agents are 
55.11 	not liable for the acts or omissions of a blind vendor or of a blind vendor's employee or 
55.12 	agent that may result in the blind vendor's liability to third parties. The Department of 
55.13 	Employment and Economic Development, its officers, and its agents are not liable for 
55.14 	negligence based on any theory of liability for claims arising from the relationship created 
55.15 	under this subdivision with the blind vendor.

55.16 	Sec. 36. Minnesota Statutes 2008, section 248.07, subdivision 8, is amended to read:
55.17 		Subd. 8.Use of revolving fund, licenses for operation of vending machines
55.18 	stands. (a) The revolving fund created by Laws 1947, chapter 535, section 5, is continued 
55.19 	as provided in this subdivision and shall be known as the revolving fund for vocational 
55.20 	rehabilitation of the blind. It shall be used for the purchase of equipment and supplies 
55.21 	for establishing and operating of vending stands by blind persons. All income, receipts, 
55.22 	earnings, and federal grants vending machine income due to the operation thereofof 
55.23 	vending stands operated under this subdivision shall also be paid into the fund. All interest 
55.24 	earned on money accrued in the fund must be credited to the fund by the commissioner of 
55.25 	finance. All equipment, supplies, and expenses for setting up these stands shall be paid 
55.26 	for from the fund. 
55.27 	(b) Authority is hereby given to The commissioner is authorized to use the money 
55.28 	available in the revolving fund that originated as operational charges to individuals 
55.29 	licensed under this subdivision for the establishment, operation, and supervision of 
55.30 	vending stands by blind persons for the following purposes: 
55.31 	(1) purchase, upkeep and replacement of equipment; 
55.32 	(2) expenses incidental to the setting up of new stands and improvement of old 
55.33 	stands; 
55.34 	(3) reimbursement under section 15.059 to individual blind vending operators 
55.35 	for reasonable expenses incurred in attending supervisory meetings as called by the 
56.1 	commissioner and other expenditures for management services consistent with federal 
56.2 	law; and 
56.3 	(4) purchase of fringe benefits for blind vending operators and their employees such 
56.4 	as group health insurance, retirement program, vacation or sick leave assistance provided 
56.5 	that the purchase of any fringe benefit is approved by a majority vote of blind vending 
56.6 	operators licensed pursuant to this subdivision after the commissioner provides to each 
56.7 	blind vending operator information on all matters relevant to the fringe benefits. "Majority 
56.8 	vote" means a majority of blind vending operators voting. Fringe benefits shall be paid 
56.9 	only from assessments of operators for specific benefits, gifts to the fund for fringe benefit 
56.10 	purposes, and vending income which is not assignable to an individual stand.  
56.11 	(c) Money originally deposited as merchandise and supplies repayments by 
56.12 	individuals licensed under this subdivision may be expended for initial and replacement 
56.13 	stocks of supplies and merchandise. Money originally deposited from vending income on 
56.14 	federal property must be spent consistent with federal law.
56.15 	(d) All other deposits may be used for the purchase of general liability insurance or 
56.16 	any other expense related to the operation and supervision of vending stands.
56.17 	(e) The commissioner shall issue each license for the operation of a vending stand 
56.18 	or vending machine for an indefinite period but may terminate any license in the manner 
56.19 	provided. In granting licenses for new or vacated stands preference on the basis of 
56.20 	seniority of experience in operating stands under the control of the commissioner shall 
56.21 	be given to capable operators who are deemed competent to handle the enterprise under 
56.22 	consideration. Application of this preference shall not prohibit the commissioner from 
56.23 	selecting an operator from the community in which the stand is located.

56.24 	Sec. 37. Minnesota Statutes 2008, section 256J.626, subdivision 4, is amended to read:
56.25 		Subd. 4.County and tribal biennial service agreements. (a) Effective January 1, 
56.26 	2004, and each two-year period thereafter, each county and tribe must have in place an 
56.27 	approved biennial service agreement related to the services and programs in this chapter. 
56.28 	In counties with a city of the first class with a population over 300,000, the county must 
56.29 	consider a service agreement that includes a jointly developed plan for the delivery of 
56.30 	employment services with the city. Counties may collaborate to develop multicounty, 
56.31 	multitribal, or regional service agreements.
56.32 	(b) The service agreements will be completed in a form prescribed by the 
56.33 	commissioner. The agreement must include:
56.34 	(1) a statement of the needs of the service population and strengths and resources 
56.35 	in the community;
57.1 	(2) numerical goals for participant outcomes measures to be accomplished during 
57.2 	the biennial period. The commissioner may identify outcomes from section 256J.751, 
57.3 	subdivision 2, as core outcomes for all counties and tribes; 
57.4 	(3) strategies the county or tribe will pursue to achieve the outcome targets. 
57.5 	Strategies must include specification of how funds under this section will be used and may 
57.6 	include community partnerships that will be established or strengthened; 
57.7 	(4) strategies the county or tribe will pursue under family stabilization services; and 
57.8 	(5) other items prescribed by the commissioner in consultation with counties and 
57.9 	tribes.
57.10 	(c) The commissioner shall provide each county and tribe with information needed 
57.11 	to complete an agreement, including: (1) information on MFIP cases in the county or 
57.12 	tribe; (2) comparisons with the rest of the state; (3) baseline performance on outcome 
57.13 	measures; and (4) promising program practices.
57.14 	(d) The service agreement must be submitted to the commissioner by October 15, 
57.15 	2003, and October 15 of each second year thereafter. The county or tribe must allow 
57.16 	a period of not less than 30 days prior to the submission of the agreement to solicit 
57.17 	comments from the public on the contents of the agreement.
57.18 	(e) The commissioner must, within 60 days of receiving each county or tribal service 
57.19 	agreement, inform the county or tribe if the service agreement is approved. If the service 
57.20 	agreement is not approved, the commissioner must inform the county or tribe of any 
57.21 	revisions needed prior to approval.
57.22 	(f) The service agreement in this subdivision supersedes the plan requirements 
57.23 	of section 116L.88. 

57.24 	Sec. 38. Minnesota Statutes 2008, section 256J.66, subdivision 1, is amended to read:
57.25 		Subdivision 1.Establishing the on-the-job training program. (a) County agencies 
57.26 	may develop on-the-job training programs for MFIP caregivers who are participating in 
57.27 	employment and training services. A county agency that chooses to provide on-the-job 
57.28 	training may make payments to employers for on-the-job training costs that, during the 
57.29 	period of the training, must not exceed 50 percent of the wages paid by the employer to 
57.30 	the participant. The payments are deemed to be in compensation for the extraordinary 
57.31 	costs associated with training participants under this section and in compensation for the 
57.32 	costs associated with the lower productivity of the participants during training.
57.33 	(b) Provision of an on-the-job training program under the Job Training Partnership 
57.34 	Act Workforce Investment Act of 1998, Public Law 105-220, in and of itself, does not 
57.35 	qualify as an on-the-job training program under this section.
58.1 	(c) Employers must compensate participants in on-the-job training shall be 
58.2 	compensated by the employer at the same rates, including periodic increases, as similarly 
58.3 	situated employees or trainees and in accordance with applicable law, but in no event less 
58.4 	than the federal or applicable state minimum wage, whichever is higher.

58.5 	Sec. 39. Minnesota Statutes 2008, section 268A.06, subdivision 1, is amended to read:
58.6 		Subdivision 1.Application. Any city, town, county, nonprofit corporation, 
58.7 	regional treatment center, or any combination thereof, may apply to the commissioner for 
58.8 	assistance in establishing or operating a community rehabilitation facility. Application for 
58.9 	assistance shallmust be on forms prescribed by the commissioner. Each applicant shall 
58.10 	annually submit to the commissioner its plan and budget for the next fiscal year. NoAn 
58.11 	applicant shall beis not eligible for a grant hereunderunder this section unless its plan 
58.12 	and budget audited financial statements of the prior fiscal year have been approved by 
58.13 	the commissioner.

58.14 	Sec. 40. Minnesota Statutes 2008, section 469.169, subdivision 3, is amended to read:
58.15 		Subd. 3.Evaluation of applications. (a) The commissioner shall review and 
58.16 	evaluate the applications submitted pursuant to subdivision 2 and shall determine whether 
58.17 	each area is eligible for designation as an enterprise zone. In determining whether an 
58.18 	area is eligible under section 469.168, subdivision 4, paragraph (a), if unemployment, 
58.19 	employment, income, or other necessary data are not available for the area from the 
58.20 	federal departments of labor or commerce or the state demographer, the commissioner 
58.21 	may rely upon other data submitted by the municipality if the commissioner determines it 
58.22 	is statistically reliable or accurate. The commissioner, together with the commissioner 
58.23 	of revenue, shall prepare an estimate of the amount of state tax revenue which will be 
58.24 	foregone for each application if the area is designated as a zone. 
58.25 	(b) By October 1 of each year, the commissioner shall submit to the Legislative 
58.26 	Advisory Commission a list of the areas eligible for designation as enterprise zones, 
58.27 	along with recommendations for designation and supporting documentation. In making 
58.28 	recommendations for designation, the commissioner shall consider and evaluate the 
58.29 	applications pursuant to the following criteria:
58.30 	(1) the pervasiveness of poverty, unemployment, and general distress in the area;
58.31 	(2) the extent of chronic abandonment, deterioration, or reduction in value of 
58.32 	commercial, industrial, or residential structures in the area and the extent of property 
58.33 	tax arrearages in the area;
59.1 	(3) the prospects for new investment and economic development in the area with 
59.2 	the tax reductions proposed in the application relative to the state and local tax revenue 
59.3 	which would be foregone;
59.4 	(4) the competing needs of other areas of the state;
59.5 	(5) the municipality's proposed use of other state and federal development funds or 
59.6 	programs to increase the probability of new investment and development occurring;
59.7 	(6) the extent to which the projected development in the zone will provide 
59.8 	employment to residents of the economic hardship area, and particularly individuals who 
59.9 	are unemployed or who are economically disadvantaged as defined in the federal Job 
59.10 	Training Partnership Act of 1982, Volume 96, Statutes at Large, page 1322 Workforce 
59.11 	Investment Act of 1998, Public Law 105-220;
59.12 	(7) the funds available pursuant to subdivision 7; and
59.13 	(8) other relevant factors that the commissioner specifies in the commissioner's 
59.14 	recommendations.
59.15 	(c) The commissioner shall submit a separate list of the areas entitled to designation 
59.16 	as federally designated zones and border city zones along with recommendations for the 
59.17 	amount of funds to be allocated to each area.

59.18 	Sec. 41. ECONOMIC DEVELOPMENT STRATEGY WORKING GROUP.
 59.19 	(a) An 18-member bipartisan working group with members from all geographic 
59.20 	areas of the state to develop an economic development strategy to guide job and business 
59.21 	growth in Minnesota and to strengthen the state's economy is established. The working 
59.22 	group consists of six members of the house of representatives and three members of the 
59.23 	public appointed by the speaker of the house and six members of the senate and three 
59.24 	members of the public appointed by the subcommittee on committees of the senate. 
59.25 	The working group is responsible to review and analyze Minnesota's current economic 
59.26 	development strategy and make recommendations on improvements according to this 
59.27 	section. The Legislative Coordinating Commission under Minnesota Statutes, section 
59.28 	3.303, must provide staff support for the working group.
59.29 	(b) The working group must conduct an academic and practitioner led effort to:
59.30 	(1) perform best practices research on economic development principles to apply 
59.31 	to Minnesota;
59.32 	(2) assess Minnesota's current economic development strategies, including tax 
59.33 	incentives and appropriation funded programs and grants to determine how well these 
59.34 	strategies are working and how they compare to best practices;
59.35 	(3) develop a comprehensive strategy to move Minnesota's economy forward;
60.1 	(4) develop a set of benchmarks to measure Minnesota's investments in economic 
60.2 	development strategies; and
60.3 	(5) recommend the best structure to govern and lead Minnesota's economic 
60.4 	development strategy.
60.5 	(c) Appointments to the working group shall be made by June 1, 2009, and the 
60.6 	first meeting shall be convened no later than July 1, 2009. The task force shall elect 
60.7 	a chair from among its members at the first meeting. The working group may contract 
60.8 	for research studies and assistance necessary to fulfill its responsibilities. The working 
60.9 	group must report to the committees of the legislature with responsibility for economic 
60.10 	development by February 15, 2010.

60.11 	Sec. 42. APPROPRIATION; GREEN ENTERPRISE ASSISTANCE.
 60.12 	The remaining balance of the fiscal year 2009 special revenue fund appropriation for 
60.13 	the Green Jobs Task Force under Laws 2008, chapter 363, article 6, section 3, subdivision 
60.14 	4, is transferred and appropriated to the commissioner of employment and economic 
60.15 	development for the purposes of green enterprise assistance under Minnesota Statutes, 
60.16 	section 116J.438. This appropriation is available until spent.

60.17 	Sec. 43. REVISOR'S INSTRUCTION.
 60.18 	The revisor of statutes shall renumber Minnesota Statutes, section 116J.58, 
60.19 	subdivision 2, as Minnesota Statutes, section 116J.035, subdivision 1a, and shall revise 
60.20 	statutory cross-references consistent with that renumbering.

60.21 	Sec. 44.  REPEALER.
 60.22 	Minnesota Statutes 2008, sections 116J.402; 116J.413; 116J.431, subdivision 5; 
60.23 	116J.58, subdivision 1; 116J.59; 116J.61; 116J.656; 116L.16; 116L.88; and 116U.65, are 
60.24 	repealed.

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

60.26 	ARTICLE 3
60.27 	UNEMPLOYMENT INSURANCE POLICY

60.28 	Section 1. Minnesota Statutes 2008, section 268.052, subdivision 2, is amended to read:
60.29 		Subd. 2.Election by state or political subdivision to be a taxpaying employer.
 60.30 	(a) The state or political subdivision may elect to be a taxpaying employer for any 
60.31 	calendar year if a notice of election is filed within 30 calendar days following January 1 of 
61.1 	that calendar year. Upon election, the state or political subdivision must be assigned the 
61.2 	new employer tax rate under section 268.051, subdivision 5, for the calendar year of the 
61.3 	election and unless or until it qualifies for an experience rating under section 268.051, 
61.4 	subdivision 3.
61.5 	(b) An election is for a minimum period of two calendar years following the effective 
61.6 	date of the election and continue unless a notice terminating the election is filed not later 
61.7 	than 30 calendar days before the beginning of the calendar year. The termination is 
61.8 	effective at the beginning of the next calendar year. Upon election, the commissioner shall 
61.9 	establish a reimbursable account for the state or political subdivision. A termination of 
61.10 	election is allowed only if the state or political subdivision has, since the beginning of the 
61.11 	experience rating period under section 268.051, subdivision 3, paid taxes equal to or more 
61.12 	than 125 percent of the unemployment benefits used in computing the experience rating. In 
61.13 	addition, any unemployment benefits paid after the experience rating period are transferred 
61.14 	to the new reimbursable account of the state or political subdivision. If the amount of taxes 
61.15 	paid since the beginning of the experience rating period exceeds 125 percent of the amount 
61.16 	of unemployment benefits paid during the experience rating period, that amount in excess 
61.17 	is applied against any unemployment benefits paid after the experience rating period.
61.18 	(c) The method of payments to the trust fund under subdivisions 3 and 4 applies to 
61.19 	all taxes paid by or due from the state or political subdivision that elects to be taxpaying 
61.20 	employers under this subdivision.
61.21 	(d) A notice of election or a notice terminating election must be filed by electronic 
61.22 	transmission in a format prescribed by the commissioner.

61.23 	Sec. 2. Minnesota Statutes 2008, section 268.053, subdivision 1, is amended to read:
61.24 		Subdivision 1.Election. (a) Any nonprofit organization that has employees in 
61.25 	covered employment must pay taxes on a quarterly basis in accordance with section 
61.26 	268.051 unless it elects to make reimbursements to the trust fund the amount of 
61.27 	unemployment benefits charged to its reimbursable account under section 268.047.
61.28 	The organization may elect to make reimbursements for a period of not less than 
61.29 	two calendar years beginning with the date that the organization was determined to be an 
61.30 	employer with covered employment by filing a notice of election not later than 30 calendar 
61.31 	days after the date of the determination.
61.32 	(b) Any nonprofit organization that makes an election will continue to be liable for 
61.33 	reimbursements until it files a notice terminating its election not later than 30 calendar 
61.34 	days before the beginning of the calendar year the termination is to be effective.
62.1 	(c) A nonprofit organization that has been making reimbursements that files a notice 
62.2 	of termination of election must be assigned the new employer tax rate under section 
62.3 	268.051, subdivision 5, for the calendar year of the termination of election and unless or 
62.4 	until it qualifies for an experience rating under section 268.051, subdivision 3.
62.5 	(d) Any nonprofit organization that has been paying taxes may elect to make 
62.6 	reimbursements by filing no less than 30 calendar days before January 1 of any calendar 
62.7 	year a notice of election. Upon election, the commissioner shall establish a reimbursable 
62.8 	account for the nonprofit organization. An election is allowed only if the nonprofit 
62.9 	organization has, since the beginning of the experience rating period under section 
62.10 	268.051, subdivision 3, paid taxes equal to or more than 125 percent of the unemployment 
62.11 	benefits used in computing the experience rating. In addition, any unemployment benefits 
62.12 	paid after the experience rating period are transferred to the new reimbursable account 
62.13 	of the nonprofit organization. If the amount of taxes paid since the beginning of the 
62.14 	experience rating period exceeds 125 percent of the amount of unemployment benefits 
62.15 	paid during the experience rating period, that amount in excess is applied against any 
62.16 	unemployment benefits paid after the experience rating period. The election is not 
62.17 	terminable by the organization for that and the next calendar year.
62.18 	(e) The commissioner may for good cause extend the period that a notice of election, 
62.19 	or a notice of termination, must be filed and may permit an election to be retroactive.
62.20 	(f) A notice of election or notice terminating election must be filed by electronic 
62.21 	transmission in a format prescribed by the commissioner.

62.22 	Sec. 3. Minnesota Statutes 2008, section 268.066, is amended to read:
62.23 	268.066 CANCELLATION OF AMOUNTS DUE FROM AN EMPLOYER.
62.24 	(a) The commissioner shall must cancel as uncollectible any amounts due from 
62.25 	an employer under this chapter or section 116L.20, that remain unpaid six years after 
62.26 	the amounts have been first determined due, except where the delinquent amounts are 
62.27 	secured by a notice of lien, a judgment, are in the process of garnishment, or are under a 
62.28 	payment plan. 
62.29 	(b) The commissioner may cancel at any time as uncollectible any amount due, or 
62.30 	any portion of an amount due, from an employer under this chapter or section 116L.20, 
62.31 	that (1) are uncollectible due to death or bankruptcy, or (2) the Collection Division of the 
62.32 	Department of Revenue under section 16D.04 was unable to collect, or (3).
62.33 	(c) The commissioner may cancel at any time any interest, penalties, or fees due 
62.34 	from an employer, or any portions due, if the commissioner determines that it is not in 
63.1 	the public interest to pursue collection of the amount due. This paragraph does not apply 
63.2 	to unemployment insurance taxes or reimbursements due.

63.3 	Sec. 4. Minnesota Statutes 2008, section 268.067, is amended to read:
63.4 	268.067 COMPROMISE.
63.5 	(a) The commissioner may compromise in whole or in part any action, determination, 
63.6 	or decision that affects only an employer and not an applicant, and that has occurred 
63.7 	during the prior 24 months. This paragraph may apply applies if it is determined by a court 
63.8 	of law, or a confession of judgment, that an applicant, while employed, wrongfully took 
63.9 	from the employer $500 or more in money or property.
63.10 	(b) The commissioner may at any time compromise any amount unemployment 
63.11 	insurance tax or reimbursement due from an employer under this chapter or section 
63.12 	116L.20. 
63.13 	(c) Any compromise involving an amount over $2,500$10,000 must be authorized 
63.14 	by an attorney licensed to practice law in Minnesota who is an employee of the department 
63.15 	designated by the commissioner for that purpose.
63.16 	(d) Any compromise must be in the best interest of the state of Minnesota.

63.17 	Sec. 5. Minnesota Statutes 2008, section 268.069, subdivision 2, is amended to read:
63.18 		Subd. 2.Unemployment benefits paid from state funds. Unemployment benefits 
63.19 	are paid from state funds and are not considered paid from any special insurance plan, 
63.20 	nor as paid by an employer. An application for unemployment benefits is not considered 
63.21 	a claim against an employer but is considered a request for unemployment benefits 
63.22 	from the trust fund. The commissioner has the responsibility for the proper payment of 
63.23 	unemployment benefits regardless of the level of interest or participation by an applicant or 
63.24 	an employer in any determination or appeal. An applicant's entitlement to unemployment 
63.25 	benefits must be determined based upon that information available without regard to any 
63.26 	burden of proof, and any agreement between an applicant and an employer is not binding 
63.27 	on the commissioner in determining an applicant's entitlement. There is no presumption of 
63.28 	entitlement or nonentitlement to unemployment benefits.

63.29 	Sec. 6. Minnesota Statutes 2008, section 268.07, subdivision 3b, is amended to read:
63.30 		Subd. 3b.Limitations on applications and benefit accounts. (a) An application for 
63.31 	unemployment benefits is effective the Sunday of the calendar week that the application 
63.32 	was filed. Upon specific request of an applicant, An application for unemployment benefits 
63.33 	may be backdated one calendar week before the Sunday of the week the application was 
64.1 	actually filed if the applicant requests the backdating at the time the application is filed. 
64.2 	An application may be backdated only if the applicant was unemployed throughout had 
64.3 	no employment during the period of the backdating. If an individual attempted to file an 
64.4 	application for unemployment benefits, but was prevented from filing an application by 
64.5 	the department, the application is effective the Sunday of the calendar week the individual 
64.6 	first attempted to file an application.
64.7 	(b) A benefit account established under subdivision 2 is effective the date the 
64.8 	application for unemployment benefits was effective. 
64.9 	(c) A benefit account, once established, may later be withdrawn only if:
64.10 	(1) the applicant has not been paid any unemployment benefits on that benefit 
64.11 	account; and
64.12 	(2) a new application for unemployment benefits is filed and a new benefit account is 
64.13 	established at the time of the withdrawal; and.
64.14 	(2) the applicant has not served the nonpayable waiting week under section 268.085, 
64.15 	subdivision 1, clause (5).
64.16 	A determination or amended determination of eligibility or ineligibility issued under 
64.17 	section 268.101, that was issued sent before the withdrawal of the benefit account, remains 
64.18 	in effect and is not voided by the withdrawal of the benefit account. A determination of 
64.19 	ineligibility requiring subsequent earnings to satisfy the period of ineligibility under 
64.20 	section 268.095, subdivision 10, applies to the weekly unemployment benefit amount on 
64.21 	the new benefit account.
64.22 	(d) An application for unemployment benefits is not allowed before the Sunday 
64.23 	following the expiration of the benefit year on a prior benefit account. Except as allowed 
64.24 	under paragraph (b) (c), an applicant may establish only one benefit account each 52 
64.25 	calendar weeks.

64.26 	Sec. 7. Minnesota Statutes 2008, section 268.085, subdivision 3, is amended to read:
64.27 		Subd. 3.Payments that delay unemployment benefits. (a) An applicant is not 
64.28 	eligible to receive unemployment benefits for any week with respect to which the applicant 
64.29 	is receiving, has received, or has filed for payment, equal to or in excess of the applicant's 
64.30 	weekly unemployment benefit amount, in the form of:
64.31 	(1) vacation pay paid upon temporary, indefinite, or seasonal separation. This clause 
64.32 	does not apply to (i) vacation pay paid upon a permanent separation from employment, or 
64.33 	(ii) vacation pay paid from a vacation fund administered by a union or a third party not 
64.34 	under the control of the employer;
65.1 	(2) severance pay, bonus pay, sick pay, and any other payments, except earnings 
65.2 	under subdivision 5, and back pay under subdivision 6, paid by an employer because of, 
65.3 	upon, or after separation from employment, but only if the payment is considered wages at 
65.4 	the time of payment under section 268.035, subdivision 29; or
65.5 	(3) pension, retirement, or annuity payments from any plan contributed to by a base 
65.6 	period employer including the United States government, except Social Security benefits 
65.7 	that are provided for in subdivision 4. The base period employer is considered to have 
65.8 	contributed to the plan if the contribution is excluded from the definition of wages under 
65.9 	section 268.035, subdivision 29, clause (1).
65.10 	If the pension, retirement, or annuity payment is paid in a lump sum, an applicant is 
65.11 	not considered to have received the lump-sum a payment if (i) the applicant immediately 
65.12 	deposits that payment in a qualified pension plan or account, or (ii) that payment is an 
65.13 	early distribution for which the applicant paid an early distribution penalty under the 
65.14 	Internal Revenue Code, United States Code, title 26, section 72(t)(1).
65.15 	(b) This subdivision applies to all the weeks of payment. Payments under paragraph 
65.16 	(a), clauses (1) and (2)clause (1), are applied to the period immediately following the last 
65.17 	day of employment. The number of weeks of payment is determined as follows:
65.18 	(1) if the payments are made periodically, the total of the payments to be received is 
65.19 	divided by the applicant's last level of regular weekly pay from the employer; or
65.20 	(2) if the payment is made in a lump sum, that sum is divided by the applicant's last 
65.21 	level of regular weekly pay from the employer.
65.22 	(c) If the payment is less than the applicant's weekly unemployment benefit amount, 
65.23 	unemployment benefits are reduced by the amount of the payment. If the computation 
65.24 	of reduced unemployment benefits is not a whole dollar, it is rounded down to the next 
65.25 	lower whole dollar.

65.26 	EFFECTIVE DATE. This section is effective the day following final enactment 
65.27 	and is retroactive to December 1, 2008.

65.28 	Sec. 8. Minnesota Statutes 2008, section 268.085, subdivision 6, is amended to read:
65.29 		Subd. 6.Receipt of back pay. (a) Back pay received by an applicant within 24 
65.30 	months of the establishment of the benefit account with respect to any week occurring 
65.31 	in the 104 weeks before the payment of the back pay during the benefit year must be 
65.32 	deducted from unemployment benefits paid for that week.
65.33 	If the back pay is not paid with respect to a specific period, the back pay must be 
65.34 	applied to the period immediately following the last day of employment.
66.1 	(b) If the back pay is reduced by the amount of unemployment benefits that have 
66.2 	been paid, the amount of back pay withheld must be:
66.3 	(1) paid by the employer to the trust fund within 30 calendar days and subject to the 
66.4 	same collection procedures that apply to past due taxes;
66.5 	(2) applied to unemployment benefit overpayments resulting from the payment of 
66.6 	the back pay; and
66.7 	(3) credited to the maximum amount of unemployment benefits available to the 
66.8 	applicant in a benefit year that includes the weeks for which back pay was deducted.
66.9 	(c) Unemployment benefits paid the applicant must be removed from the 
66.10 	computation of the tax rate for taxpaying employers and removed from the reimbursable 
66.11 	account for nonprofit and government employers that have elected to be liable for 
66.12 	reimbursements in the calendar quarter the trust fund receives payment.
66.13 	(d) Payments to the trust fund under this subdivision are considered as made by 
66.14 	the applicant.

66.15 	Sec. 9. Minnesota Statutes 2008, section 268.085, subdivision 15, is amended to read:
66.16 		Subd. 15.Available for suitable employment defined. (a) "Available for suitable 
66.17 	employment" means an applicant is ready and willing to accept suitable employment in 
66.18 	the labor market area. The attachment to the work force must be genuine. An applicant 
66.19 	may restrict availability to suitable employment, but there must be no other restrictions, 
66.20 	either self-imposed or created by circumstances, temporary or permanent, that prevent 
66.21 	accepting suitable employment.
66.22 	(b) To be considered "available for suitable employment," a student must be willing 
66.23 	to quit school to accept suitable employment.
66.24 	(c) An applicant who is absent from the labor market area for personal reasons, other 
66.25 	than to search for work, is not "available for suitable employment."
66.26 	(d) An applicant who has restrictions on the hours of the day or days of the week 
66.27 	that the applicant can or will work, that are not normal for the applicant's usual occupation 
66.28 	or other suitable employment, is not "available for suitable employment." An applicant 
66.29 	must be available for daytime employment, if suitable employment is performed during 
66.30 	the daytime, even though the applicant previously worked the night shift.
66.31 	(e) An applicant must have transportation throughout the labor market area to be 
66.32 	considered "available for suitable employment."

66.33 	Sec. 10. [268.088] BENEFITS PAID DURING CERTAIN VOLUNTARY 
66.34 	UNEMPLOYMENT.
67.1 	(a) An applicant who elects to become temporarily unemployed in order to avoid 
67.2 	the layoff of another employee with the applicant's employer due to lack of work is 
67.3 	not ineligible for benefits under the leave of absence provisions of section 268.085, 
67.4 	subdivision 13a, nor ineligible under the quit provisions of section 268.095, if:
67.5 	(1) the election is authorized under a collective bargaining agreement or written 
67.6 	employer policy;
67.7 	(2) the employer has accepted the applicant's election;
67.8 	(3) the employer provides a written certification that is provided to the department 
67.9 	that the applicant's election prevented another employee with the employer from being 
67.10 	laid off due to lack of work; and 
67.11 	(4) both the applicant and the employer, at the time of the election, expect the 
67.12 	applicant's unemployment from the employer to be temporary.
67.13 	(b) In addition to the requirements of paragraph (a), for unemployment benefits to be 
67.14 	payable, an applicant must meet all the other benefit eligibility requirements under this 
67.15 	chapter, including being available for suitable employment with a different employer.

67.16 	Sec. 11. Minnesota Statutes 2008, section 268.095, subdivision 1, is amended to read:
67.17 		Subdivision 1.Quit. An applicant who quit employment  is ineligible for all 
67.18 	unemployment benefits according to subdivision 10 except when:
67.19 	(1) the applicant quit the employment because of a good reason caused by the 
67.20 	employer as defined in subdivision 3;
67.21 	(2) the applicant quit the employment to accept other covered employment that 
67.22 	provided substantially better terms and conditions of employment, but the applicant did 
67.23 	not work long enough at the second employment to have sufficient subsequent earnings to 
67.24 	satisfy the period of ineligibility that would otherwise be imposed under subdivision 10 
67.25 	for quitting the first employment;
67.26 	(3) the applicant quit the employment within 30 calendar days of beginning the 
67.27 	employment because the employment was unsuitable for the applicant;
67.28 	(4) the employment was unsuitable for the applicant and the applicant quit to enter 
67.29 	reemployment assistance training;
67.30 	(5) the employment was part time and the applicant also had full-time employment 
67.31 	in the base period, from which full-time employment the applicant separated because of 
67.32 	reasons for which the applicant was held not to be ineligible, and the wage credits from 
67.33 	the full-time employment are sufficient to meet the minimum requirements to establish a 
67.34 	benefit account under section 268.07;
68.1 	(6) the applicant quit because the employer notified the applicant that the applicant 
68.2 	was going to be laid off because of lack of work within 30 calendar days. An applicant 
68.3 	who quit employment within 30 calendar days of a notified date of layoff because of lack 
68.4 	of work is ineligible for unemployment benefits through the end of the week that includes 
68.5 	the scheduled date of layoff;
68.6 	(7) the applicant quit the employment because the applicant's serious illness or 
68.7 	injury made it medically necessary that the applicant quit, provided that the applicant 
68.8 	inform the employer of the serious illness or injury and request accommodation and no 
68.9 	reasonable accommodation is made available.
68.10 	If the applicant's serious illness is chemical dependency, this exception does not 
68.11 	apply if the applicant was previously diagnosed as chemically dependent or had treatment 
68.12 	for chemical dependency, and since that diagnosis or treatment has failed to make 
68.13 	consistent efforts to control the chemical dependency.
68.14 	This exception raises an issue of the applicant's being able to work available for 
68.15 	suitable employment under section 268.085, subdivision 1, that the commissioner shall
68.16 	must determine;
68.17 	(8) the applicant's loss of child care for the applicant's minor child caused the 
68.18 	applicant to quit the employment, provided the applicant made reasonable effort to obtain 
68.19 	other child care and requested time off or other accommodation from the employer and no 
68.20 	reasonable accommodation is available.
68.21 	This exception raises an issue of the applicant's availability being available for 
68.22 	suitable employment under section 268.085, subdivision 1, that the commissioner shall
68.23 	must determine; or
68.24 	(9) domestic abuse of the applicant or the applicant's minor child, necessitated the 
68.25 	applicant's quitting the employment. Domestic abuse must be shown by one or more of 
68.26 	the following:
68.27 	(i) a district court order for protection or other documentation of equitable relief 
68.28 	issued by a court;
68.29 	(ii) a police record documenting the domestic abuse;
68.30 	(iii) documentation that the perpetrator of the domestic abuse has been convicted 
68.31 	of the offense of domestic abuse;
68.32 	(iv) medical documentation of domestic abuse; or
68.33 	(v) written statement that the applicant or the applicant's minor child is a victim 
68.34 	of domestic abuse, provided by a social worker, member of the clergy, shelter worker, 
68.35 	attorney at law, or other professional who has assisted the applicant in dealing with the 
68.36 	domestic abuse.
69.1 	Domestic abuse for purposes of this clause is defined under section 518B.01.

69.2 	Sec. 12. Minnesota Statutes 2008, section 268.095, subdivision 2, is amended to read:
69.3 		Subd. 2.Quit defined. (a) A quit from employment occurs when the decision to end 
69.4 	the employment was, at the time the employment ended, the employee's.
69.5 	(b) An employee who has been notified that the employee will be discharged in the 
69.6 	future, who chooses to end the employment while employment in any capacity is still 
69.7 	available, is considered to have quit the employment.
69.8 	(c) An employee who seeks to withdraw a previously submitted notice of quitting is 
69.9 	considered to have quit the employment if the employer does not agree that the notice 
69.10 	may be withdrawn.
69.11 	(d) An applicant who, within five calendar days after completion of a suitable 
69.12 	temporary job assignment from a staffing service employer, (1) fails without good cause 
69.13 	to affirmatively request an additional job assignment, or (2) refuses without good cause 
69.14 	an additional suitable job assignment offered, or (3) accepts employment with the client 
69.15 	of the staffing service, is considered to have quit employment with the staffing service. 
69.16 	Accepting employment with the client of the staffing service meets the requirements of the 
69.17 	exception to ineligibility under subdivision 1, clause (2).
69.18 	This paragraph applies only if, at the time of beginning of employment with the 
69.19 	staffing service employer, the applicant signed and was provided a copy of a separate 
69.20 	document written in clear and concise language that informed the applicant of this 
69.21 	paragraph and that unemployment benefits may be affected.
69.22 	For purposes of this paragraph, "good cause" is a reason that is significant and 
69.23 	would compel an average, reasonable worker, who would otherwise want an additional 
69.24 	temporary job assignment with the staffing service employer, (1) to fail to contact the 
69.25 	staffing service employer, or (2) to refuse an offered assignment.
69.26 	For purposes of this paragraph, a "staffing service employer" is an employer whose 
69.27 	business involves employing individuals directly for the purpose of furnishing temporary 
69.28 	job assignment workers to clients of the staffing service.

69.29 	Sec. 13. Minnesota Statutes 2008, section 268.103, is amended by adding a subdivision 
69.30 	to read:
69.31 		Subd. 2a.Employer-agent appeals filed online. (a) If an agent files an appeal on 
69.32 	behalf of an employer, the appeal must be filed online. The appeal must be filed through 
69.33 	the electronic address provided on the determination being appealed. Use of another 
70.1 	method of filing does not constitute an appeal. This paragraph does not apply to an 
70.2 	employee filing an appeal on behalf of an employer.
70.3 	(b) All information requested when the appeal is filed must be supplied or the 
70.4 	communication does not constitute an appeal.

70.5 	Sec. 14. Minnesota Statutes 2008, section 268.18, subdivision 4a, is amended to read:
70.6 		Subd. 4a.Court fees; collection fees. (a) If the commissioner is required to pay any 
70.7 	court fees in an attempt to enforce collection of overpaid unemployment benefits, penalties, 
70.8 	or interest, the commissioner may add the amount of the court fees to the total amount due.
70.9 	(b) If an applicant who has been determined overpaid unemployment benefits 
70.10 	because of fraud seeks to have any portion of the debt discharged under the federal 
70.11 	bankruptcy code, and the commissioner files an objection in bankruptcy court to the 
70.12 	discharge, the commissioner may add the commissioner's cost of any court fees to the debt 
70.13 	if the bankruptcy court does not discharge the debt.
70.14 	(c) If the Internal Revenue Service assesses the commissioner a fee for offsetting 
70.15 	from a federal tax refund the amount of any fraud overpayment, including penalties and 
70.16 	interest, the amount of the fee may be added to the total amount due. The offset amount 
70.17 	must be put in the trust fund and that amount credited to the total amount due from the 
70.18 	applicant.

70.19 	Sec. 15. Minnesota Statutes 2008, section 268.186, is amended to read:
70.20 	268.186 RECORDS; AUDITS.
70.21 	(a) Each employer  must keep true and accurate records for the periods of time and 
70.22 	containing the information the commissioner may require by rule. For the purpose of 
70.23 	administering this chapter, the commissioner has the power to audit, examine, or cause to 
70.24 	be supplied or copied, any books, correspondence, papers, records, or memoranda that 
70.25 	are relevant, whether the books, correspondence, papers, records, or memoranda are the 
70.26 	property of or in the possession of the employer or any other person at any reasonable 
70.27 	time and as often as may be necessary.
70.28 	(b) Any employer that refuses to allow an audit of its records by the department, or 
70.29 	that fails to make all necessary records available for audit in Minnesota upon request of 
70.30 	the commissioner, may be assessed an administrative penalty of $500. An employer that 
70.31 	fails to provide a weekly breakdown of money earned by an applicant upon request of the 
70.32 	commissioner, information necessary for the detection of applicant fraud under section 
70.33 	268.18, subdivision 2, may be assessed an administrative penalty of $100. Any notice 
70.34 	requesting a weekly breakdown must clearly state that a $100 penalty may be assessed for 
71.1 	failure to provide the information. The penalty collected  is credited to the administration 
71.2 	account to be used by the commissioner to ensure integrity in the administration of the 
71.3 	unemployment insurance program trust fund.
71.4 	(c) The commissioner may make summaries, compilations, photographs, 
71.5 	duplications, or reproductions of any records, or reports that the commissioner considers 
71.6 	advisable for the preservation of the information contained therein. Any summaries, 
71.7 	compilations, photographs, duplications, or reproductions  is admissible in any proceeding 
71.8 	under this chapter. The commissioner may duplicate records, reports, summaries, 
71.9 	compilations, instructions, determinations, or any other written or recorded matter 
71.10 	pertaining to the administration of this chapter.
71.11 	(d) Regardless of any law to the contrary, the commissioner may provide for the 
71.12 	destruction of any records, reports, or reproductions, or other papers that are no longer 
71.13 	necessary for the administration of this chapter, including any required audit. In addition, 
71.14 	the commissioner may provide for the destruction or disposition of any record, report, 
71.15 	or other paper from which the information has been electronically captured and stored, 
71.16 	or that has been photographed, duplicated, or reproduced.

71.17 	Sec. 16. ENTREPRENEURSHIP FOR DISLOCATED WORKERS.
 71.18 		Subdivision 1.Authorization. Minnesota has been awarded a federal grant by the 
71.19 	United States Department of Labor under the Project GATE (Growing America Through 
71.20 	Entrepreneurship) program to assist certain dislocated workers in starting a business. 
71.21 	Providing unemployment benefits while the dislocated worker is receiving services such 
71.22 	as entrepreneurial training, business counseling, and technical assistance will assist in the 
71.23 	success of this pilot project. In order to provide unemployment benefits, the commissioner 
71.24 	of employment and economic development is authorized to waive the availability for 
71.25 	suitable employment requirements of Minnesota Statutes, section 268.085, subdivision 1, 
71.26 	as well as the earnings deductibility provisions of Minnesota Statutes, section 268.085, 
71.27 	subdivision 5, for individuals enrolled in this pilot project.
71.28 		Subd. 2.Limitations. A maximum of 500 applicants for unemployment benefits are 
71.29 	authorized to receive a waiver.
71.30 		Subd. 3.Expiration date. The authorization under subdivision 1 expires June 
71.31 	30, 2012.

71.32 	Sec. 17. EFFECTIVE DATE.
 71.33 	Sections 1 to 6, 8 to 12, 14, and 15 are effective August 2, 2009, and apply to all 
71.34 	department determinations and unemployment law judge decisions issued on or after that 
72.1 	date. Section 13 is effective April 1, 2010, and applies to all department determinations 
72.2 	and unemployment law judge decisions issued on or after that date. Section 7 is effective 
72.3 	retroactively from December 1, 2008. Section 16 is effective the day following final 
72.4 	enactment.

72.5 	ARTICLE 4
72.6 	UNEMPLOYMENT INSURANCE TECHNICAL CHANGES

72.7 	Section 1. Minnesota Statutes 2008, section 268.031, is amended to read:
72.8 	268.031 STANDARD OF PROOF.
72.9 		Subdivision 1.Standard of proof. All issues of fact under the Minnesota 
72.10 	Unemployment Insurance Law are determined by a preponderance of the evidence. 
72.11 	Preponderance of the evidence means evidence in substantiation of a fact that, when 
72.12 	weighed against the evidence opposing the fact, is more convincing and has a greater 
72.13 	probability of truth.
72.14 		Subd. 2.Statutory application. This chapter is remedial in nature and must be 
72.15 	applied in favor of awarding unemployment benefits. Any legal conclusion that results in 
72.16 	an applicant being ineligible for unemployment benefits must be fully supported by the 
72.17 	facts. In determining eligibility or ineligibility for benefits, any statutory provision that 
72.18 	would preclude an applicant from receiving benefits must be narrowly construed.

72.19 	Sec. 2. [268.034] COMPUTATIONS OF MONEY ROUNDED DOWN.
72.20 	Computations of money required under this chapter that do not result in a whole 
72.21 	dollar are rounded down to the next lower whole dollar, unless specifically provided 
72.22 	otherwise by law.

72.23 	Sec. 3. Minnesota Statutes 2008, section 268.035, subdivision 2, is amended to read:
72.24 		Subd. 2.Agricultural employment. "Agricultural employment" means services:
72.25 	(1) on a farm, in the employ of any person or family farm corporation in connection 
72.26 	with cultivating the soil, or in connection with raising or harvesting any agricultural or 
72.27 	horticultural commodity, including the raising, shearing, feeding, caring for, training, and 
72.28 	management of livestock, bees, poultry, fur-bearing animals, and wildlife;
72.29 	(2) in the employ of the owner or tenant or other operator of a farm, in connection 
72.30 	with the operation, management, conservation, improvement, or maintenance of the farm 
72.31 	and its tools and equipment, or in salvaging timber or clearing land of brush and other 
72.32 	debris left by a tornado-like storm, if the major part of the employment is performed 
72.33 	on a farm;
73.1 	(3) in connection with the production or harvesting of any commodity defined as 
73.2 	an agricultural product in United States Code, title 7, section 1626 of the Agricultural 
73.3 	Marketing Act, or in connection with cotton ginning, or in connection with the operation 
73.4 	or maintenance of ditches, canals, reservoirs, or waterways, not owned or operated for 
73.5 	profit, used exclusively for supplying and storing water for farming purposes;
73.6 	(4) in the employ of the operator of a farm in handling, planting, drying, packing, 
73.7 	packaging, processing, freezing, grading, storing, or delivering to storage or to market 
73.8 	or to a carrier for transportation to market, in its unmanufactured state, any agricultural 
73.9 	or horticultural commodity; but only if the operator produced more than one-half of 
73.10 	the commodity with respect to which the employment is performed, or in the employ 
73.11 	of a group of operators of farms or a cooperative organization of which the operators 
73.12 	are members, but only if the operators produced more than one-half of the commodity 
73.13 	with respect to which the employment is performed; however, this clause shallis not 
73.14 	be applicable to employment performed in connection with commercial canning or 
73.15 	commercial freezing or in connection with any agricultural or horticultural commodity 
73.16 	after its delivery to a terminal market for distribution for consumption; or
73.17 	(5) on a farm operated for profit if the employment is not in the course of the 
73.18 	employer's trade or business.
73.19 	For purposes of this subdivision, the term "farm" includes stock, dairy, poultry, fruit, 
73.20 	fur-bearing animals, and truck farms, plantations, ranches, nurseries, orchards, ranges, 
73.21 	greenhouses, or other similar structures used primarily for the raising of agricultural or 
73.22 	horticultural commodities.

73.23 	Sec. 4. Minnesota Statutes 2008, section 268.035, is amended by adding a subdivision 
73.24 	to read:
73.25 		Subd. 9a.Construction; independent contractor. For purposes of this chapter, 
73.26 	section 181.723 determines whether a worker is an independent contractor or an employee 
73.27 	when performing public or private sector commercial or residential building construction 
73.28 	or improvement services.

73.29 	Sec. 5. Minnesota Statutes 2008, section 268.035, is amended by adding a subdivision 
73.30 	to read:
73.31 		Subd. 12c.Determination. "Determination" means a document sent to an applicant 
73.32 	or employer by mail or electronic transmission that is an initial department ruling on a 
73.33 	specific issue. All documents that are determinations under this chapter use that term in 
74.1 	the title of the document and are appealable to an unemployment law judge under section 
74.2 	268.105, subdivision 1.

74.3 	Sec. 6. Minnesota Statutes 2008, section 268.035, subdivision 17, is amended to read:
74.4 		Subd. 17.Filing; filed. "Filing" or "filed" means the personal delivery of any 
74.5 	document an application, appeal, or other required action to the commissioner or any of 
74.6 	the commissioner's agents, or the depositing of the documentif done by mail, deposited 
74.7 	in the United States mail properly addressed to the department with postage prepaid, in 
74.8 	which case the documentit is considered filed on the day indicated by the cancellation 
74.9 	mark of the United States Postal Service.
74.10 	If, where allowed, an application, appeal, or other required action is made by 
74.11 	electronic transmission, it is considered filed on the day received by the department.

74.12 	Sec. 7. Minnesota Statutes 2008, section 268.035, is amended by adding a subdivision 
74.13 	to read:
74.14 		Subd. 20a.Preponderance of the evidence. "Preponderance of the evidence" 
74.15 	means evidence in substantiation of a fact that, when weighed against the evidence 
74.16 	opposing the fact, is more convincing and has a greater probability of truth.

74.17 	Sec. 8. Minnesota Statutes 2008, section 268.042, subdivision 3, is amended to read:
74.18 		Subd. 3.Election to have noncovered employment considered covered 
74.19 	employment. (a) Any employer that has employment performed for it that is noncovered 
74.20 	employment under section 268.035, subdivision 20, may file with the commissioner, by 
74.21 	electronic transmission in a format prescribed by the commissioner, an election that all 
74.22 	employees in that class of employment, in one or more distinct establishments or places 
74.23 	of business, is considered covered employment for not less than two calendar years. 
74.24 	The commissioner has discretion on the approval of any election. Upon the approval of 
74.25 	the commissioner, sent by mail or electronic transmission, the employment constitutes 
74.26 	covered employment beginning the calendar quarter after the date of approval or 
74.27 	beginning a later calendar quarter if requested by the employer. The employment ceases to 
74.28 	be considered covered employment as of the first day of January of any calendar year only 
74.29 	if at least 30 calendar days before the first day of January the employer has filed with the 
74.30 	commissioner, by electronic transmission in a format prescribed by the commissioner, a 
74.31 	notice to that effect. 
75.1 	(b) The commissioner must terminate any election agreement under this subdivision 
75.2 	upon 30 calendar days' notice sent by mail or electronic transmission, if the employer is 
75.3 	delinquent on any taxes due or reimbursements due the trust fund.

75.4 	Sec. 9. Minnesota Statutes 2008, section 268.043, is amended to read:
75.5 	268.043 DETERMINATIONS OF COVERAGE.
75.6 	(a) The commissioner, upon the commissioner's own motion or upon application 
75.7 	of a person, shallmust determine if that person is an employer or whether services 
75.8 	performed for it constitute employment and covered employment, or whether theany 
75.9 	compensation for services constitutes wages, and notify the person of the determination. 
75.10 	The determination is final unless the person,files an appeal within 20 calendar days 
75.11 	after sending of the determinationthe commissioner sends the determination by mail 
75.12 	or electronic transmission, files an appeal. Proceedings on the appeal are conducted in 
75.13 	accordance with section 268.105.
75.14 	(b) No person may be initially determined an employer, or that services performed 
75.15 	for it were in employment or covered employment, for periods more than four years 
75.16 	before the year in which the determination is made, unless the commissioner finds that 
75.17 	there was fraudulent action to avoid liability under this chapter.

75.18 	Sec. 10. Minnesota Statutes 2008, section 268.044, subdivision 2, is amended to read:
75.19 		Subd. 2.Failure to timely file report; late fees. (a) Any employer that fails to 
75.20 	submit the quarterly wage detail report when due must pay a late fee of $10 per employee, 
75.21 	computed based upon the highest of:
75.22 	(1) the number of employees reported on the last wage detail report submitted;
75.23 	(2) the number of employees reported in the corresponding quarter of the prior 
75.24 	calendar year; or
75.25 	(3) if no wage detail report has ever been submitted, the number of employees 
75.26 	listed at the time of employer registration.
75.27 	The late fee is waivedcanceled if the wage detail report is received within 30 
75.28 	calendar days after a demand for the report is sent to the employer by mail or electronic 
75.29 	transmission. A late fee assessed an employer may not be waivedcanceled more than 
75.30 	twice each 12 months. The amount of the late fee assessed may not be less than $250.
75.31 	(b) If the wage detail report is not received in a manner and format prescribed by the 
75.32 	commissioner within 30 calendar days after demand is sent under paragraph (a), the late 
75.33 	fee assessed under paragraph (a) doubles and a renewed demand notice and notice of the 
75.34 	increased late fee will be sent to the employer by mail or electronic transmission.
76.1 	(c) Late fees due under this subdivision may be compromisedcanceled, in whole or 
76.2 	in part, under section 268.067268.066 where good cause for late submission is found by 
76.3 	the commissioner.

76.4 	Sec. 11. Minnesota Statutes 2008, section 268.047, subdivision 1, is amended to read:
76.5 		Subdivision 1.General rule. Unemployment benefits paid to an applicant, 
76.6 	including extended and shared work benefits, will be used in computing the future 
76.7 	tax rate of a taxpaying base period employer or charged to the reimbursable account 
76.8 	of a base period nonprofit or government employer that has elected to be liable for 
76.9 	reimbursements except as provided in subdivisions 2 and 3. The amount of unemployment 
76.10 	benefits used in computing the future tax rate of taxpaying employers or charged to the 
76.11 	reimbursable account of a nonprofit or government employer that has elected to be liable 
76.12 	for reimbursements is the same percentage of the total amount of unemployment benefits 
76.13 	paid as the percentage of wage credits from the employer is of the total amount of wage 
76.14 	credits from all the applicant's base period employers.
76.15 	In making computations under this subdivision, the amount of wage credits, if not a 
76.16 	whole dollar, must be computed to the nearest whole dollar.

76.17 	Sec. 12. Minnesota Statutes 2008, section 268.047, subdivision 2, is amended to read:
76.18 		Subd. 2.Exceptions for all employers. Unemployment benefits paid will not be 
76.19 	used in computing the future tax rate of a taxpaying base period employer or charged to 
76.20 	the reimbursable account of a base period nonprofit or government employer that has 
76.21 	elected to be liable for reimbursements when:
76.22 	(1) the applicant was discharged from the employment because of aggravated 
76.23 	employment misconduct as determined under section 268.095. This exception applies 
76.24 	only to unemployment benefits paid for periods after the applicant's discharge from 
76.25 	employment;
76.26 	(2) an applicant's discharge from that employment occurred because a law required 
76.27 	removal of the applicant from the position the applicant held;
76.28 	(3) the employer is in the tourist or recreation industry and is in active operation of 
76.29 	business less than 15 calendar weeks each year and the applicant's wage credits from the 
76.30 	employer are less than 600 times the applicable state or federal minimum wage;
76.31 	(4)(3) the employer provided regularly scheduled part-time employment to the 
76.32 	applicant during the applicant's base period and continues to provide the applicant with 
76.33 	regularly scheduled part-time employment during the benefit year of at least 90 percent 
76.34 	of the part-time employment provided in the base period, and is an involved employer 
77.1 	because of the applicant's loss of other employment. This exception terminates effective 
77.2 	the first week that the employer fails to meet the benefit year employment requirements. 
77.3 	This exception applies to educational institutions without consideration of the period 
77.4 	between academic years or terms;
77.5 	(5)(4) the employer is a fire department or firefighting corporation or operator 
77.6 	of a life-support transportation service, and continues to provide employment for the 
77.7 	applicant as a volunteer firefighter or a volunteer ambulance service personnel during the 
77.8 	benefit year on the same basis that employment was provided in the base period. This 
77.9 	exception terminates effective the first week that the employer fails to meet the benefit 
77.10 	year employment requirements;
77.11 	(6)(5) the applicant's unemployment from this employer was a direct result of 
77.12 	the condemnation of property by a governmental agency, a fire, flood, or act of nature, 
77.13 	where 25 percent or more of the employees employed at the affected location, including 
77.14 	the applicant, became unemployed as a result. This exception does not apply where the 
77.15 	unemployment was a direct result of the intentional act of the employer or a person acting 
77.16 	on behalf of the employer;
77.17 	(7)(6) the unemployment benefits were paid by another state as a result of the 
77.18 	transferring of wage credits under a combined wage arrangement provided for in section 
77.19 	268.131;
77.20 	(8)(7) the applicant stopped working because of a labor dispute at the applicant's 
77.21 	primary place of employment if the employer was not a party to the labor dispute;
77.22 	(9)(8) the unemployment benefits were determined overpaid unemployment benefits 
77.23 	under section 268.18;
77.24 	(10)(9) the applicant was employed as a replacement worker, for a period of six 
77.25 	months or longer, for an employee who is in the military reserve and was called for active 
77.26 	duty during the time the applicant worked as a replacement, and the applicant was laid off 
77.27 	because the employee returned to employment after active duty; or
77.28 	(11)(10) the trust fund was reimbursed for the unemployment benefits by the 
77.29 	federal government.

77.30 	Sec. 13. Minnesota Statutes 2008, section 268.051, subdivision 1, is amended to read:
77.31 		Subdivision 1.Payments. (a) Unemployment insurance taxes and any special 
77.32 	assessments, fees, or surcharges accrue and become payable by each employer for each 
77.33 	calendar year on the taxable wages that the employer paid to employees in covered 
77.34 	employment, except for:
78.1 	(1) nonprofit organizations that elect to make reimbursements as provided in section 
78.2 	268.053; and
78.3 	(2) the state of Minnesota and political subdivisions that make reimbursements, 
78.4 	unless they elect to pay taxes as provided in section 268.052.
78.5 	Each employer must pay taxes quarterly, at the employer's assigned tax rate under 
78.6 	subdivision 6, on the taxable wages paid to each employee. The commissioner must 
78.7 	compute the tax due from the wage detail report required under section 268.044 and notify 
78.8 	the employer of the tax due. The taxes and any special assessments, fees, or surcharges 
78.9 	must be paid to the trust fund and must be received by the department on or before the last 
78.10 	day of the month following the end of the calendar quarter.
78.11 	(b) The tax amount computed, if not a whole dollar, is rounded down to the next 
78.12 	lower whole dollar.
78.13 	(c) If for any reason the wages on the wage detail report under section 268.044 are 
78.14 	adjusted for any quarter, the commissioner must recompute the taxes due for that quarter 
78.15 	and assess the employer for any amount due or credit the employer as appropriate.

78.16 	Sec. 14. Minnesota Statutes 2008, section 268.051, subdivision 4, is amended to read:
78.17 		Subd. 4.Experience rating history transfer. (a) When:
78.18 	(1) a taxpaying employer acquires all of the organization, trade or business, or 
78.19 	workforce of another taxpaying employer; and
78.20 	(2) there is 25 percent or more common ownership or there is substantially common 
78.21 	management or control between the predecessor and successor, the experience rating 
78.22 	history of the predecessor employer is transferred to the successor employer.
78.23 	(b) When:
78.24 	(1) a taxpaying employer acquires a portion, but less than all, of the organization, 
78.25 	trade or business, or workforce of another taxpaying employer; and
78.26 	(2) there is 25 percent or more common ownership or there is substantially common 
78.27 	management or control between the predecessor and successor, the successor employer 
78.28 	acquires, as of the date of acquisition, the experience rating history attributable to the 
78.29 	portion it acquired, and the predecessor employer retains the experience rating history 
78.30 	attributable to the portion that it has retained. If the commissioner determines that 
78.31 	sufficient information is not available to substantiate that a distinct severable portion 
78.32 	was acquired and to assign the appropriate distinct severable portion of the experience 
78.33 	rating history, the commissioner shallmust assign the successor employer that percentage 
78.34 	of the predecessor employer's experience rating history equal to that percentage of 
78.35 	the employment positions it has obtained, and the predecessor employer retains that 
79.1 	percentage of the experience rating history equal to the percentage of the employment 
79.2 	positions it has retained.
79.3 	(c) The term "common ownership" for purposes of this subdivision includes 
79.4 	ownership by a spouse, parent, grandparent, child, grandchild, brother, sister, aunt, uncle, 
79.5 	niece, nephew, or first cousin, by birth or by marriage.
79.6 	(d) Each successor employer that is subject to paragraph (a) or (b) must notify the 
79.7 	commissioner of the acquisition by electronic transmission, in a format prescribed by the 
79.8 	commissioner, within 30 calendar days of the date of acquisition. Any successor employer 
79.9 	that fails to notify the commissioner is subject to the penalties under section 268.184, 
79.10 	subdivision 1a, if the successor's experience ratingassigned tax rate under subdivision 2 
79.11 	or 5 was lower than the predecessor's experience ratingassigned tax rate at the time of 
79.12 	the acquisition. Payments made toward the penalties are credited to the administration 
79.13 	account to be used to ensure integrity in the unemployment insurance program.
79.14 	(e) If the successor employer under paragraphs (a) and (b) had an experience rating 
79.15 	at the time of the acquisition, the transferred experience rating history of the predecessor 
79.16 	is combined with the successor's experience rating history for purposes of recomputing 
79.17 	a tax rate.
79.18 	(f) If there has been a transfer of an experience rating history under paragraph (a) or 
79.19 	(b), employment with a predecessor employer is not considered to have been terminated if 
79.20 	similar employment is offered by the successor employer and accepted by the employee.
79.21 	(g) The commissioner, upon notification of an employer, or upon the commissioner's 
79.22 	own motion if the employer fails to provide the required notification, shallmust determine 
79.23 	if an employer is a successor within the meaning of this subdivision. The commissioner 
79.24 	shall must, after determining the issue of succession or nonsuccession, recompute the tax 
79.25 	rate under subdivision 6 of all employers affected. The commissioner shallmust send the 
79.26 	recomputed tax rate to all affected employers by mail or electronic transmission. Any 
79.27 	affected employer may appeal the recomputed tax rate in accordance with the procedures 
79.28 	in subdivision 6, paragraph (c).
79.29 	(h) The "experience rating history" for purposes of this subdivision and subdivision 
79.30 	4a means the amount of unemployment benefits paid and the taxable wages that are being 
79.31 	used and would be used in computing the current and any future experience rating.
79.32 	For purposes of this chapter, an "acquisition" means anything that results in the 
79.33 	obtaining by the successor employer, in any way or manner, of the organization, trade or 
79.34 	business, or workforce of the predecessor employer.
79.35 	A "distinct severable portion" in paragraph (b) means a location or unit separately 
79.36 	identifiable within the employer's wage detail report under section 268.044.
80.1 	(i) Regardless of the ownership, management, or control requirements of paragraph 
80.2 	(a), if there is an acquisition or merger of a publicly held corporation by or with another 
80.3 	publicly held corporation the experience rating histories of the corporations are combined 
80.4 	as of the date of acquisition or merger for the purpose of recomputing a tax rate.

80.5 	Sec. 15. Minnesota Statutes 2008, section 268.057, subdivision 4, is amended to read:
80.6 		Subd. 4.Costs. (a) Any person employer, and any applicant subject to section 
80.7 	268.18, subdivision 2, that fails to pay any amount when due under this chapter is liable 
80.8 	for any filing fees, recording fees, sheriff fees, costs incurred by referral to any public 
80.9 	or private collection agency, or litigation costs, including attorney fees, incurred in the 
80.10 	collection of the amounts due.
80.11 	(b) If any tendered payment of any amount due is not honored when presented to 
80.12 	a financial institution for payment, any costs assessed the department by the financial 
80.13 	institution and a fee of $25 must be assessed to the person.
80.14 	(c) Costs and fees collected under this subdivision are credited to the administration 
80.15 	account to be used by the commissioner to ensure integrity in the administration of the 
80.16 	unemployment insurance program.

80.17 	Sec. 16. Minnesota Statutes 2008, section 268.057, subdivision 5, is amended to read:
80.18 		Subd. 5.Interest on amounts past due. If any amounts due from an employer 
80.19 	under this chapter or section 116L.20, except late fees under section 268.044, are not 
80.20 	received on the date due the unpaid balance bears interest at the rate of one and one-half 
80.21 	percent per month or any part thereof. Interest assessed, if not a whole dollar amount, 
80.22 	is rounded down to the next lower whole dollar. Interest collected is credited to the 
80.23 	contingent account. Interest may be compromised under section 268.067.

80.24 	Sec. 17. Minnesota Statutes 2008, section 268.0625, subdivision 1, is amended to read:
80.25 		Subdivision 1.Notice of debt to licensing authority. The state of Minnesota or a 
80.26 	political subdivision may not issue, transfer, or renew, and must revoke a license for the 
80.27 	conduct of any profession, trade, or business, if the commissioner notifies the licensing 
80.28 	authority that the licensee, applicant, or employer owes any amount due under this chapter 
80.29 	or section 116L.20, of $500 or more. A licensing authority that has received such a notice 
80.30 	may issue, transfer, renew, or not revoke the license only if the licensing authority has 
80.31 	received a copy of the debt clearance certificate issued by the commissioner.  

80.32 	Sec. 18. Minnesota Statutes 2008, section 268.069, subdivision 1, is amended to read:
81.1 		Subdivision 1.Requirements. The commissioner shallmust pay unemployment 
81.2 	benefits from the trust fund to an applicant who has met each of the following requirements:
81.3 	(1) the applicant has filed an application for unemployment benefits and established 
81.4 	a benefit account in accordance with section 268.07;
81.5 	(2) the applicant has not been held ineligible for unemployment benefits under 
81.6 	section 268.095 because of a quit or discharge;
81.7 	(3) the applicant has met all of the ongoing eligibility requirements under sections
81.8 	section 268.085and 268.086;
81.9 	(4) the applicant does not have an outstanding overpayment of unemployment 
81.10 	benefits, including any penalties or interest; and
81.11 	(5) the applicant has not been held ineligible for unemployment benefits under 
81.12 	section 268.182 because of a false representation or concealment of facts.

81.13 	Sec. 19. Minnesota Statutes 2008, section 268.07, subdivision 1, is amended to read:
81.14 		Subdivision 1.Application for unemployment benefits; determination of benefit 
81.15 	account. (a) An application for unemployment benefits may be filed in person, by mail, 
81.16 	or by electronic transmission as the commissioner may require. The applicant must be 
81.17 	unemployed at the time the application is filed and must provide all requested information 
81.18 	in the manner required. If the applicant is not unemployed at the time of the application 
81.19 	or fails to provide all requested information, the communication is not considered an 
81.20 	application for unemployment benefits.
81.21 	(b) The commissioner shallmust examine each application for unemployment 
81.22 	benefits to determine the base period and the benefit year, and based upon all 
81.23 	the covered employment in the base period the commissioner shall determine the 
81.24 	weekly unemployment benefit amount available, if any, and the maximum amount of 
81.25 	unemployment benefits available, if any. The determination is known as the, which is a 
81.26 	document separate and distinct from a document titled a determination of eligibility or 
81.27 	determination of ineligibility issued under section 268.101, must be titled determination of 
81.28 	benefit account. A determination of benefit account must be sent to the applicant and all 
81.29 	base period employers, by mail or electronic transmission.
81.30 	(c) If a base period employer did not provide wage information for the applicant as 
81.31 	provided for in section 268.044, or provided erroneous information, the commissioner 
81.32 	may accept an applicant certification as to wage credits, based upon the applicant's records, 
81.33 	and issue a determination of benefit account. 
81.34 	(d) The commissioner may, at any time within 24 months from the establishment 
81.35 	of a benefit account, reconsider any determination of benefit account and make an 
82.1 	amended determination if the commissioner finds that the determination was incorrect 
82.2 	for any reason. An amended determination of benefit account must be promptly sent 
82.3 	to the applicant and all base period employers, by mail or electronic transmission.
82.4 	This subdivision does not apply to documents titled determinations of eligibility or 
82.5 	determinations of ineligibility issued under section 268.101.
82.6 	(e) If an amended determination of benefit account reduces the weekly 
82.7 	unemployment benefit amount or maximum amount of unemployment benefits available, 
82.8 	any unemployment benefits that have been paid greater than the applicant was entitled 
82.9 	is considered an overpayment of unemployment benefits. A determination or amended 
82.10 	determination issued under this section that results in an overpayment of unemployment 
82.11 	benefits must set out the amount of the overpayment and the requirement under section 
82.12 	268.18, subdivision 1, that the overpaid unemployment benefits must be repaid. 

82.13 	Sec. 20. Minnesota Statutes 2008, section 268.07, subdivision 2, is amended to read:
82.14 		Subd. 2.Benefit account requirements and weekly unemployment benefit 
82.15 	amount and maximum amount of unemployment benefits. (a) To establish a benefit 
82.16 	account, an applicant must have:
82.17 	(1) high quarter wage credits of $1,000 or more; and
82.18 	(2) wage credits, in other than the high quarter, of $250 or more.
82.19 	(b) If an applicant has established a benefit account, the weekly unemployment 
82.20 	benefit amount available during the benefit year is the higher of:
82.21 	(1) 50 percent of the applicant's average weekly wage during the base period, to a 
82.22 	maximum of 66-2/3 percent of the state's average weekly wage; or
82.23 	(2) 50 percent of the applicant's average weekly wage during the high quarter, to a 
82.24 	maximum of 43 percent of the state's average weekly wage.
82.25 	The applicant's average weekly wage under clause (1) is computed by dividing 
82.26 	the total wage credits by 52. The applicant's average weekly wage under clause (2) is 
82.27 	computed by dividing the high quarter wage credits by 13.
82.28 	(c) The state's maximum weekly unemployment benefit amount and an applicant's 
82.29 	weekly unemployment benefit amount and maximum amount of unemployment benefits 
82.30 	available is rounded down to the next lower whole dollar. The state's maximum weekly 
82.31 	benefit amount, computed in accordance with section 268.035, subdivision 23, applies 
82.32 	to a benefit account established effective on or after the last Sunday in October. Once 
82.33 	established, an applicant's weekly unemployment benefit amount is not affected by the last 
82.34 	Sunday in October change in the state's maximum weekly unemployment benefit amount. 
83.1 	(d) The maximum amount of unemployment benefits available on any benefit 
83.2 	account is the lower of:
83.3 	(1) 33-1/3 percent of the applicant's total wage credits; or
83.4 	(2) 26 times the applicant's weekly unemployment benefit amount.

83.5 	Sec. 21. Minnesota Statutes 2008, section 268.07, subdivision 3, is amended to read:
83.6 		Subd. 3.Second benefit account requirements. To establish a second benefit 
83.7 	account following the expiration of a benefit year on a prior benefit account, an 
83.8 	applicant must have sufficient wage credits to establish a benefit account undermeet the 
83.9 	requirements of subdivision 2 and must have performed services in covered employment 
83.10 	after the effective date of the prior benefit account. The wages paid for that employment
83.11 	those services must equal not less thanbe at least eight times the weekly unemployment 
83.12 	benefit amount of the prior benefit account. Part of the purpose ofreason for this 
83.13 	subdivision is to prevent an applicant from establishing more than one benefit account as a 
83.14 	result of one loss of employment.

83.15 	Sec. 22. Minnesota Statutes 2008, section 268.084, is amended to read:
83.16 	268.084 PERSONAL IDENTIFICATION NUMBER; PRESUMPTION.
83.17 	(a) Each applicant must be issued a personal identification number (PIN) for the 
83.18 	purpose of filing continued requests for unemployment benefits, accessing information, 
83.19 	and engaging in other transactions with the department.
83.20 	(b) If a PIN assigned to an applicant is used in the filing of a continued request for 
83.21 	unemployment benefits under section 268.086 268.0865 or any other type of transaction, 
83.22 	the applicant is presumed to have been the individual using that PIN and presumed to have 
83.23 	received any unemployment benefit payment issued. This presumption may be rebutted 
83.24 	by a preponderance of the evidence showing that the applicant assigned the PIN was not 
83.25 	the individual who used that PIN in the transaction. 
83.26 	(c) The commissioner shall must notify each applicant of this section.

83.27 	Sec. 23. Minnesota Statutes 2008, section 268.085, subdivision 1, is amended to read:
83.28 		Subdivision 1.Eligibility conditions. An applicant may be eligible to receive 
83.29 	unemployment benefits for any week if:
83.30 	(1) the applicant has an active benefit account and has filed a continued request for 
83.31 	unemployment benefits for that week under section 268.086 268.0865;
83.32 	(2) the week for which unemployment benefits are requested is in the applicant's 
83.33 	benefit year;
84.1 	(3) the applicant was unemployed as defined in section 268.035, subdivision 26;
84.2 	(4) the applicant was able to work and was available for suitable employment, and 
84.3 	was actively seeking suitable employment as defined in subdivision 15. The applicant's 
84.4 	weekly unemployment benefit amount is reduced one-fifth for each day the applicant 
84.5 	is unable to work or is unavailable for suitable employment. If the computation of the 
84.6 	reduced unemployment benefits is not a whole dollar, it is rounded down to the next lower 
84.7 	whole dollar. This clause does not apply to an applicant who is in reemployment assistance 
84.8 	training, or each day the applicant is on jury duty or serving as an election judge;
84.9 	(5) the applicant was actively seeking suitable employment as defined in subdivision 
84.10 	16. This clause does not apply to an applicant who is in reemployment assistance training 
84.11 	or who was on jury duty throughout the week;
84.12 	(6) the applicant has served a nonpayable waiting period of one week that the 
84.13 	applicant is otherwise entitled to some amount of unemployment benefits. This clause 
84.14 	does not apply if the applicant would have been entitled to federal disaster unemployment 
84.15 	assistance because of a disaster in Minnesota, but for the applicant's establishment of a 
84.16 	benefit account under section 268.07; and
84.17 	(6)(7) the applicant has been participating in reemployment assistance services, 
84.18 	such as job search and resume writing classes, if the applicant has been determined in 
84.19 	need of reemployment assistance services by the commissioner, unless the applicant 
84.20 	has good cause for failing to participate.

84.21 	Sec. 24. Minnesota Statutes 2008, section 268.085, subdivision 2, is amended to read:
84.22 		Subd. 2.Not eligible. An applicant is ineligible for unemployment benefits for 
84.23 	any week:
84.24 	(1) that occurs before the effective date of a benefit account;
84.25 	(2) that the applicant, at the beginning of the week, has an outstanding fraud 
84.26 	overpayment balance under section 268.18, subdivision 2, including any penalties and 
84.27 	interest;
84.28 	(3) that occurs in a period when the applicant is a student in attendance at, or on 
84.29 	vacation from a secondary school including the period between academic years or terms;
84.30 	(4) that the applicant is incarcerated or performing court orderedcourt-ordered 
84.31 	community service. The applicant's weekly unemployment benefit amount is reduced 
84.32 	by one-fifth for each day the applicant is incarcerated or performing court ordered
84.33 	court-ordered community service. If the computation of the reduced unemployment 
84.34 	benefits is not a whole dollar, it is rounded down to the next lower whole dollar;
85.1 	(5) that the applicant fails or refuses to provide information on an issue of 
85.2 	ineligibility required under section 268.101;
85.3 	(6) that the applicant is performing services 32 hours or more, in employment, 
85.4 	covered employment, noncovered employment, volunteer work, or self-employment 
85.5 	regardless of the amount of any earnings; or
85.6 	(7) with respect to which the applicant is receiving, has received, or has filed an 
85.7 	application for unemployment benefits under any federal law or the law of any other 
85.8 	state. If the appropriate agency finally determines that the applicant is not entitled to the 
85.9 	unemployment benefits, this clause does not apply.

85.10 	Sec. 25. Minnesota Statutes 2008, section 268.085, subdivision 3a, is amended to read:
85.11 		Subd. 3a.Workers' compensation and disability insurance offset. (a) An 
85.12 	applicant is not eligible to receive unemployment benefits for any week in which the 
85.13 	applicant is receiving or has received compensation for loss of wages equal to or in excess 
85.14 	of the applicant's weekly unemployment benefit amount under:
85.15 	(1) the workers' compensation law of this state;
85.16 	(2) the workers' compensation law of any other state or similar federal law; or
85.17 	(3) any insurance or trust fund paid in whole or in part by an employer.
85.18 	(b) This subdivision does not apply to an applicant who has a claim pending for 
85.19 	loss of wages under paragraph (a); however, before unemployment benefits may be paid 
85.20 	when a claim is pending, the issue of the applicant being able to work available for 
85.21 	suitable employment, as required under subdivision 1, clause (2) (4), is determined under 
85.22 	section 268.101, subdivision 3 2. If the applicant later receives compensation as a result 
85.23 	of the pending claim, the applicant is subject to the provisions of paragraph (a) and the 
85.24 	unemployment benefits paid are subject to recoupment by the commissioner to the extent 
85.25 	that the compensation constitutes overpaid unemployment benefits. 
85.26 	(c) If the amount of compensation described under paragraph (a) for any week is 
85.27 	less than the applicant's weekly unemployment benefit amount, unemployment benefits 
85.28 	requested for that week are reduced by the amount of that compensation payment.

85.29 	Sec. 26. Minnesota Statutes 2008, section 268.085, subdivision 4, is amended to read:
85.30 		Subd. 4.Social Security benefits. (a) Any applicant aged 62 or over is required 
85.31 	to state when filing an application for unemployment benefits and when filing continued 
85.32 	requests for unemployment benefits if the applicant is receiving, has filed for, or intends to 
85.33 	file for, primary Social Security old age benefits for any week during the benefit year.
86.1 	If the effective date of the applicant's Social Security claim for old age benefits is, 
86.2 	or will be, after the start of the base period, there must be deducted from an applicant's 
86.3 	weekly unemployment benefit amountUnless paragraph (b) applies, 50 percent of the 
86.4 	weekly equivalent of the primary Social Security old age benefit the applicant has 
86.5 	received, has filed for, or intends to file for, with respect to that week must be deducted 
86.6 	from an applicant's weekly unemployment benefit amount.
86.7 	(b) If the effective dateall of the applicant's wage credits were earned while the 
86.8 	applicant was claiming Social Security claim for old age benefits is before the start of the 
86.9 	base period, there is no deduction from the applicant's weekly unemployment benefit 
86.10 	amount. The purpose of this paragraph is to ensure that an applicant who is claiming 
86.11 	Social Security benefits has demonstrated a desire and ability to work.
86.12 	(b)(c) An applicant who is receiving, has received, or has filed for primary Social 
86.13 	Security disability benefits for any week during the benefit year must be determined 
86.14 	unable to work and unavailable for suitable employment for that week, unless:
86.15 	(1) the Social Security Administration approved the collecting of primary Social 
86.16 	Security disability benefits each month the applicant was employed during the base 
86.17 	period; or
86.18 	(2) the applicant provides a statement from an appropriate health care professional 
86.19 	who is aware of the applicant's Social Security disability claim and the basis for that claim, 
86.20 	certifying that the applicant is able to work and available for suitable employment.
86.21 	If an applicant meets the requirements of clause (1) there is no deduction from the 
86.22 	applicant's weekly benefit amount for any Social Security disability benefits. If only 
86.23 	clause (2) applies, then there must be deducted from the applicant's weekly unemployment 
86.24 	benefit amount 50 percent of the weekly equivalent of the primary Social Security 
86.25 	disability benefits the applicant is receiving, has received, or has filed for, with respect 
86.26 	to that week; provided, however, that if the Social Security Administration determines 
86.27 	that an individual is not entitled to receive primary Social Security disability benefits for 
86.28 	any week the applicant has applied for those benefits, the 50 percent deduction does not 
86.29 	apply to that week.
86.30 	(c)(d) Information from the Social Security Administration is considered conclusive, 
86.31 	absent specific evidence showing that the information was erroneous.
86.32 	(d) If the computation of the reduced unemployment benefits is not a whole dollar, it 
86.33 	is rounded down to the next lower whole dollar.
86.34 	(e) This subdivision does not apply to Social Security survivor benefits.

86.35 	Sec. 27. Minnesota Statutes 2008, section 268.085, subdivision 5, is amended to read:
87.1 		Subd. 5.Deductible earnings. (a) If the applicant has earnings, including holiday 
87.2 	pay, with respect to any week, from employment, covered employment, noncovered 
87.3 	employment, self-employment, or volunteer work, equal to or in excess of the applicant's 
87.4 	weekly unemployment benefit amount, the applicant is ineligible for unemployment 
87.5 	benefits for that week.
87.6 	(b) If the applicant has earnings, with respect to any week, that is less than 
87.7 	the applicant's weekly unemployment benefit amount, from employment, covered 
87.8 	employment, noncovered employment, self-employment, or volunteer work, 55 percent of 
87.9 	the earnings are deducted from the weekly unemployment benefit amount.
87.10 	The resulting unemployment benefit, if not a whole dollar, is rounded down to the 
87.11 	next lower whole dollar.
87.12 	(c) No deduction is made from an applicant's weekly unemployment benefit amount 
87.13 	for earnings from service in the National Guard or a United States military reserve unit or 
87.14 	from direct service as a volunteer firefighter or volunteer ambulance service personnel. 
87.15 	This exception to paragraphs (a) and (b) does not apply to on-call or standby pay provided 
87.16 	to a volunteer firefighter or volunteer ambulance service personnel. No deduction is made 
87.17 	for jury duty pay or for pay as an election judge.
87.18 	(d) The applicant may report deductible earnings on continued requests for 
87.19 	unemployment benefits at the next lower whole dollar amount.
87.20 	(e) Deductible earnings does not include any money considered a deductible 
87.21 	payment under subdivision 3, but includes all compensation considered wages under 
87.22 	section 268.035, subdivision 29, and any other compensation considered earned income 
87.23 	under state and federal law for income tax purposes.

87.24 	Sec. 28. [268.0865] CONTINUED REQUEST FOR UNEMPLOYMENT 
87.25 	BENEFITS.
87.26 		Subdivision 1.Continued request for unemployment benefits defined. A 
87.27 	continued request for unemployment benefits is a certification by an applicant, done 
87.28 	on a weekly basis, that the applicant is unemployed and meets the ongoing eligibility 
87.29 	requirements for unemployment benefits under section 268.085. A continued  request 
87.30 	must include information on possible issues of ineligibility in accordance with section 
87.31 	268.101, subdivision 1, paragraph (c).
87.32 		Subd. 2.Filing continued requests for unemployment benefits. (a) The 
87.33 	commissioner must designate to each applicant one of the following methods for filing a 
87.34 	continued request:
87.35 	(1) by electronic transmission under subdivision 3; or
88.1 	(2) by mail under subdivision 4.
88.2 	(b) The method designated by the commissioner is the only method allowed for 
88.3 	filing a continued request by that applicant. An applicant may ask that the other allowed 
88.4 	method be designated and the commissioner must consider inconvenience to the applicant 
88.5 	as well as administrative capacity in determining whether to allow an applicant to change 
88.6 	the designated method for filing a continued request for unemployment benefits.
88.7 		Subd. 3.Continued request for unemployment benefits by electronic 
88.8 	transmission. (a) A continued request for unemployment benefits by electronic 
88.9 	transmission must be filed to that electronic mail address, telephone number, or Internet 
88.10 	address prescribed by the commissioner for that applicant. In order to constitute a 
88.11 	continued request, all information asked for, including information authenticating that the 
88.12 	applicant is sending the transmission, must be provided in the format required. If all of the 
88.13 	information asked for is not provided, the communication does not constitute a continued 
88.14 	request for unemployment benefits.
88.15 	(b) The electronic transmission communication must be filed on the date and during 
88.16 	the time of day designated for the applicant for filing a continued request by electronic 
88.17 	transmission.
88.18 	(c) If the electronic transmission continued request is not filed on the date and 
88.19 	during the time of day designated, a continued request by electronic transmission must be 
88.20 	accepted if the applicant files the continued request by electronic transmission within two 
88.21 	calendar weeks following the week in which the date designated occurred. If the continued 
88.22 	request by electronic transmission is not filed within two calendar weeks following the 
88.23 	week in which the date designated occurred, the electronic continued request will not be 
88.24 	accepted and the applicant is ineligible for unemployment benefits for the period covered 
88.25 	by the continued request, unless the applicant shows good cause for failing to file the 
88.26 	continued request by electronic transmission within the time period required.
88.27 		Subd. 4.Continued request for unemployment benefits by mail. (a) A 
88.28 	continued request for unemployment benefits by mail must be on a form prescribed by 
88.29 	the commissioner. The form, in order to constitute a continued request, must be totally 
88.30 	completed and signed by the applicant. The form must be filed on the date required for 
88.31 	the applicant for filing a continued request by mail, in an envelope with postage prepaid, 
88.32 	and sent to the address designated.
88.33 	(b) If the mail continued request for unemployment benefits is not filed on the date 
88.34 	designated, a continued request must be accepted if the form is filed by mail within two 
88.35 	calendar weeks following the week in which the date designated occurred. If the form 
88.36 	is not filed within two calendar weeks following the week in which the date designated 
89.1 	occurred, the form will not be accepted and the applicant is ineligible for unemployment 
89.2 	benefits for the period covered by the continued request for unemployment benefits, 
89.3 	unless the applicant shows good cause for failing to file the form by mail within the time 
89.4 	period required.
89.5 	(c) If the applicant has been designated to file a continued request for unemployment 
89.6 	benefits by mail, an applicant may submit the form by facsimile transmission on the day 
89.7 	otherwise required for mailing, or within two calendar weeks following the week in which 
89.8 	the date designated occurred. A form submitted by facsimile transmission must be sent 
89.9 	only to the telephone number assigned for that purpose.
89.10 	(d) An applicant who has been designated to file a continued request by mail may 
89.11 	personally deliver a continued request form only to the location to which the form was 
89.12 	otherwise designated to be mailed.
89.13 		Subd. 5.Good cause defined. (a) "Good cause" for purposes of this section is a 
89.14 	compelling substantial reason that would have prevented a reasonable person acting with 
89.15 	due diligence from filing a continued request for unemployment benefits within the time 
89.16 	periods required.
89.17 	(b) "Good cause" does not include forgetfulness, loss of the continued request form 
89.18 	if filing by mail, having returned to work, having an appeal pending, or inability to file a 
89.19 	continued request for unemployment benefits by the method designated if the applicant 
89.20 	was aware of the inability and did not make diligent effort to have the method of filing a 
89.21 	continued request changed by the commissioner. "Good cause" does not include having 
89.22 	previously made an attempt to file a continued request for unemployment benefits but 
89.23 	where the communication was not considered a continued request because the applicant 
89.24 	failed to submit all required information.

89.25 	Sec. 29. Minnesota Statutes 2008, section 268.095, subdivision 10, is amended to read:
89.26 		Subd. 10.Ineligibility duration. (a)  Ineligibility from the payment of all 
89.27 	unemployment benefits under subdivisions 1 and 4 is for the duration of the applicant's 
89.28 	unemployment and until the end of the calendar week that the applicant had total earnings 
89.29 	in subsequent covered employment of eight times the applicant's weekly unemployment 
89.30 	benefit amount.
89.31 	(b) Ineligibility imposed under subdivisions 1 and 4 begins on the Sunday of the 
89.32 	week that the applicant became separated from employment.
89.33 	(c) In addition to paragraph (a), if the applicant was discharged from employment 
89.34 	because of aggravated employment misconduct, wage credits from that employment are 
90.1 	canceled and cannot be used for purposes of a benefit account under section 268.07, 
90.2 	subdivision 2.

90.3 	Sec. 30. Minnesota Statutes 2008, section 268.095, subdivision 11, is amended to read:
90.4 		Subd. 11.Application. (a) This section and section 268.085, subdivision 13c, 
90.5 	and this section apply to all covered employment, full time or part time, temporary or of 
90.6 	limited duration, permanent or of indefinite duration, that occurred in Minnesota during 
90.7 	the base period, the period between the end of the base period and the effective date of the 
90.8 	benefit account, or the benefit year, except as provided for in subdivision 1, clause (5).
90.9 	(b) Paragraph (a) also applies to employment covered under an unemployment 
90.10 	insurance program of any other state or established by an act of Congress.

90.11 	Sec. 31. Minnesota Statutes 2008, section 268.101, subdivision 1, is amended to read:
90.12 		Subdivision 1.Notification. (a) In an application for unemployment benefits, each 
90.13 	applicant must report the name and the reason for no longer working for the applicant's 
90.14 	most recent employer, as well as the names of all employers and the reasons for no 
90.15 	longer working for all employers during the six calendar months before the date of the 
90.16 	application. If the reason reported for no longer working for any of those employers is 
90.17 	other than a layoff because of lack of work, that raises an issue of ineligibility that the 
90.18 	department must determine. An applicant must report any offers of employment refused 
90.19 	during the eight calendar weeks before the date of the application for unemployment 
90.20 	benefits and the name of the employer that made the offer. An applicant's failure to report 
90.21 	the name of an employer, or giving an incorrect reason for no longer working for an 
90.22 	employer, or failing to disclose an offer of employment that was refused, is a violation of 
90.23 	section 268.182, subdivision 2.
90.24 	In an application, the applicant must also provide all information necessary to 
90.25 	determine the applicant's eligibility for unemployment benefits under this chapter. If the 
90.26 	applicant fails or refuses to provide information necessary to determine the applicant's 
90.27 	eligibility for unemployment benefits, the applicant is ineligible for unemployment 
90.28 	benefits under section 268.085, subdivision 2, until the applicant provides this required 
90.29 	information.
90.30 	(b) Upon establishment of a benefit account under section 268.07, subdivision 2, 
90.31 	the commissioner shall notify, by mail or electronic transmission, all employers the 
90.32 	applicant was required to report on the application and all base period employers and 
90.33 	determined successors to those employers under section 268.051, subdivision 4, in order 
90.34 	to provide the employer an opportunity to raise, in a manner and format prescribed by the 
91.1 	commissioner, any issue of ineligibility. An employer must be informed of the effect that 
91.2 	failure to raise an issue of ineligibility as a result of a quit or discharge of the applicant, 
91.3 	within ten calendar days after sending of the notice, as provided for under subdivision 2, 
91.4 	paragraph (b), may have on the employer under section 268.047.
91.5 	(c) Each applicant must report any employment, and loss of employment, and offers 
91.6 	of employment refused, during those weeks the applicant filed continued  requests for 
91.7 	unemployment benefits under section 268.086 268.0865. Each applicant who stops filing 
91.8 	continued requests during the benefit year and later begins filing continued requests during 
91.9 	that same benefit year must report the name of any employer the applicant worked for 
91.10 	during the period between the filing of continued requests and the reason the applicant 
91.11 	stopped working for the employer. The applicant must report any offers of employment 
91.12 	refused during the period between the filing of continued requests for unemployment 
91.13 	benefits. Those employers from which the applicant has reported a loss of employment 
91.14 	under this paragraph must be notified by mail or electronic transmission and provided an 
91.15 	opportunity to raise, in a manner prescribed by the commissioner, any issue of ineligibility. 
91.16 	An employer must be informed of the effect that failure to raise an issue of ineligibility as 
91.17 	a result of a quit or a discharge of the applicant may have on the employer under section 
91.18 	268.047.
91.19 	(d) The purpose for requiring the applicant to report the name of employers and the 
91.20 	reason for no longer working for those employers, or offers of employment refused, under 
91.21 	paragraphs (a) and (c) is for the commissioner to obtain information from an applicant 
91.22 	raising all issues that may result in the applicant being ineligible for unemployment 
91.23 	benefits under section 268.095, because of a quit or discharge, or the applicant being 
91.24 	ineligible for unemployment benefits under section 268.085, subdivision 13c. If the 
91.25 	reason given by the applicant for no longer working for an employer is other than a layoff 
91.26 	because of lack of work, that raises an issue of ineligibility and the applicant is required, 
91.27 	as part of the determination process under subdivision 2, paragraph (a), to state all the 
91.28 	facts about the cause for no longer working for the employer, if known. If the applicant 
91.29 	fails or refuses to provide any required information, the applicant is ineligible for 
91.30 	unemployment benefits under section 268.085, subdivision 2, until the applicant provides 
91.31 	this required information.

91.32 	Sec. 32. Minnesota Statutes 2008, section 268.101, subdivision 2, is amended to read:
91.33 		Subd. 2. Determination. (a) The commissioner shallmust determine any issue 
91.34 	of ineligibility raised by information required from an applicant under subdivision 1, 
91.35 	paragraph (a) or (c), and send to the applicant and any involved employer, by mail or 
92.1 	electronic transmission, a document titled a determination of eligibility or a determination 
92.2 	of ineligibility, as is appropriate. The determination on an issue of ineligibility as a result 
92.3 	of a quit or a discharge of the applicant must state the effect on the employer under section 
92.4 	268.047. A determination must be made in accordance with this paragraph even if a 
92.5 	notified employer has not raised the issue of ineligibility. 
92.6 	(b) The commissioner shallmust determine any issue of ineligibility raised by an 
92.7 	employer and send to the applicant and that employer, by mail or electronic transmission, 
92.8 	a document titled a determination of eligibility or a determination of ineligibility as is 
92.9 	appropriate. The determination on an issue of ineligibility as a result of a quit or discharge 
92.10 	of the applicant must state the effect on the employer under section 268.047. 
92.11 	If a base period employer: 
92.12 	(1) was not the applicant's most recent employer before the application for 
92.13 	unemployment benefits; 
92.14 	(2) did not employ the applicant during the six calendar months before the 
92.15 	application for unemployment benefits; and 
92.16 	(3) did not raise an issue of ineligibility as a result of a quit or discharge of the 
92.17 	applicant within ten calendar days of notification under subdivision 1, paragraph (b); 
92.18 	then any exception under section 268.047, subdivisions 2 and 3, begins the Sunday two 
92.19 	weeks following the week that the issue of ineligibility as a result of a quit or discharge of 
92.20 	the applicant was raised by the employer. 
92.21 	A communication from an employer must specifically set out why the applicant 
92.22 	should be determined ineligible for unemployment benefits for that communication to be 
92.23 	considered to have raised an issue of ineligibility for purposes of this section. A statement 
92.24 	of "protest" or a similar term without more information does not constitute raising an issue 
92.25 	of ineligibility for purposes of this section. 
92.26 	(c) Subject to section 268.031, an issue of ineligibility is determined based upon 
92.27 	that information required of an applicant, any information that may be obtained from an 
92.28 	applicant or employer, and information from any other source, without regard to any 
92.29 	burden of proof. 
92.30 	(d) Regardless of the requirements of this subdivision, the commissioner is not 
92.31 	required to send to an applicant a copy of the determination where the applicant has 
92.32 	satisfied a period of ineligibility because of a quit or a discharge under section 268.095, 
92.33 	subdivision 10. 
92.34 	(e) The commissioner may issue a determination on an issue of ineligibility at any 
92.35 	time within 24 months from the establishment of a benefit account based upon information 
92.36 	from any source, even if the issue of ineligibility was not raised by the applicant or an 
93.1 	employer. This paragraph does not prevent the imposition of a penalty on an applicant 
93.2 	under section 268.18, subdivision 2, or 268.182. 
93.3 	(f) A determination of eligibility or determination of ineligibility is final unless an 
93.4 	appeal is filed by the applicant or notified employer within 20 calendar days after sending. 
93.5 	The determination must contain a prominent statement indicating the consequences of not 
93.6 	appealing. Proceedings on the appeal are conducted in accordance with section 268.105. 
93.7 	(g) An issue of ineligibility required to be determined under this section includes 
93.8 	any question regarding the denial or allowing of unemployment benefits under this chapter 
93.9 	except for issues under section 268.07. An issue of ineligibility for purposes of this section 
93.10 	includes any question of effect on an employer under section 268.047. 
93.11 	(h) Except for issues of ineligibility as a result of a quit or discharge of the applicant, 
93.12 	the employer will be (1) sent a copy of the determination of eligibility or a determination 
93.13 	of ineligibility, or (2) considered an involved employer for purposes of an appeal under 
93.14 	section 268.105, only if the employer raised the issue of ineligibility. 

93.15 	Sec. 33. Minnesota Statutes 2008, section 268.103, subdivision 1, is amended to read:
93.16 		Subdivision 1.In commissioner's discretion. (a) The commissioner shall have 
93.17 	the discretion tomay allow an appeal to be filed by electronic transmission. If the 
93.18 	commissioner allows an appeal to be filed by electronic transmission, that must be clearly 
93.19 	set out on the determination or decision subject to appeal.
93.20 	(b) The commissioner may restrict the manner,and format, and conditions under 
93.21 	which an appeal by electronic transmission may be filed. Any Restrictions as to days, 
93.22 	hours, a specific telephone number, or electronic address, or other conditions, must be 
93.23 	clearly set out on the determination or decision subject to appeal.
93.24 	(c) All information requested by the commissioner when an appeal is filed by 
93.25 	electronic transmission must be supplied or the communication does not constitute an 
93.26 	appeal.
93.27 	(d) Subject to subdivision 2, this section applies to requests for reconsideration 
93.28 	under section 268.105, subdivision 2.

93.29 	Sec. 34. Minnesota Statutes 2008, section 268.105, subdivision 1, is amended to read:
93.30 		Subdivision 1.Evidentiary hearing by unemployment law judge. (a) Upon 
93.31 	a timely appeal having been filed, the department must send, by mail or electronic 
93.32 	transmission, a notice of appeal to all involved parties that an appeal has been filed, and
93.33 	that a de novo due process evidentiary hearing will be scheduled, and that the parties 
93.34 	have certain. The notice must set out the parties' rights and responsibilities regarding the 
94.1 	hearing. The notice must explain that the facts will be determined by the unemployment 
94.2 	law judge based upon a preponderance of the evidence. The notice must explain in clear 
94.3 	and simple language the meaning of the term "preponderance of the evidence." The 
94.4 	department must set a time and place for a de novo due process evidentiary hearing and 
94.5 	send notice to any involved applicant and any involved employer, by mail or electronic 
94.6 	transmission, not less than ten calendar days before the date of the hearing.
94.7 	(b) The evidentiary hearing is conducted by an unemployment law judge without 
94.8 	regard to any burden of proof as an evidence gathering inquiry and not an adversarial 
94.9 	proceeding. At the beginning of the hearing the unemployment law judge must fully 
94.10 	explain how the hearing will be conducted, that the applicant has the right to request 
94.11 	that the hearing be rescheduled so that documents or witnesses can be subpoenaed, 
94.12 	that the facts will be determined based on a preponderance of the evidence, and, in 
94.13 	clear and simple language, the meaning of the term "preponderance of the evidence."
94.14 	The unemployment law judge must ensure that all relevant facts are clearly and fully 
94.15 	developed. The department may adopt rules on evidentiary hearings. The rules need 
94.16 	not conform to common law or statutory rules of evidence and other technical rules of 
94.17 	procedure. The department has discretion regarding the method by which the evidentiary 
94.18 	hearing is conducted. A report of any employee of the department, except a determination, 
94.19 	made in the regular course of the employee's duties, is competent evidence of the facts 
94.20 	contained in it. An affidavit or written statement based on personal knowledge and signed 
94.21 	under penalty of perjury is competent evidence of the facts contained in it; however, the 
94.22 	veracity of statements contained within the document or the credibility of the witness 
94.23 	making the statement may be disputed with other documents or testimony and production 
94.24 	of such documents or testimony may be compelled by subpoena.
94.25 	(c) After the conclusion of the hearing, upon the evidence obtained, the 
94.26 	unemployment law judge must make findings of fact and decision and send those, by mail 
94.27 	or electronic transmission, to all involved parties. When the credibility of an involved 
94.28 	party or witness testifying in an evidentiary hearing has a significant effect on the outcome 
94.29 	of a decision, the unemployment law judge must set out the reason for crediting or 
94.30 	discrediting that testimony. The unemployment law judge's decision is final unless a 
94.31 	request for reconsideration is filed under subdivision 2.
94.32 	(d) Regardless of paragraph (c), if the appealing party fails to participate in the 
94.33 	evidentiary hearing, the unemployment law judge has the discretion to dismiss the appeal 
94.34 	by summary order. By failing to participate, the appealing party is considered to have 
94.35 	failed to exhaust available administrative remedies unless the appealing party files a 
94.36 	request for reconsideration under subdivision 2 and establishes good cause for failing to 
95.1 	participate in the evidentiary hearing under subdivision 2, paragraph (d). Submission 
95.2 	of a written statement does not constitute participation. The applicant must participate 
95.3 	personally and appearance solely by a representative does not constitute participation.
95.4 	(e) Only employees of the department who are attorneys licensed to practice law 
95.5 	in Minnesota may serve as the chief unemployment law judge, senior unemployment 
95.6 	law judges who are supervisors, or unemployment law judges. The commissioner 
95.7 	must designate a chief unemployment law judge. The chief unemployment law judge 
95.8 	may transfer to another unemployment law judge any proceedings pending before an 
95.9 	unemployment law judge.

95.10 	Sec. 35. Minnesota Statutes 2008, section 268.105, subdivision 2, is amended to read:
95.11 		Subd. 2.Request for reconsideration. (a) Any involved applicant, involved 
95.12 	employer, or the commissioner may, within 20 calendar days of the sending of the 
95.13 	unemployment law judge's decision under subdivision 1, file a request for reconsideration 
95.14 	asking the unemployment law judge to reconsider that decision. Section 268.103 applies 
95.15 	to a request for reconsideration. If a request for reconsideration is timely filed, the 
95.16 	unemployment law judge must issue an order:
95.17 	(1) modifying the findings of fact and decision issued under subdivision 1;
95.18 	(2) setting aside the findings of fact and decision issued under subdivision 1 and 
95.19 	directing that an additional evidentiary hearing be conducted under subdivision 1; or
95.20 	(3) affirming the findings of fact and decision issued under subdivision 1.
95.21 	(b) Upon a timely request for reconsideration having been filed, the department must 
95.22 	send a notice, by mail or electronic transmission, to all involved parties that a request for 
95.23 	reconsideration has been filed. The notice must inform the involved parties:
95.24 	(1) of the opportunity to provide comment on the request for reconsideration, and 
95.25 	the right under subdivision 5 to obtain a copy of any recorded testimony and exhibits 
95.26 	offered or received into evidence at the evidentiary hearing;
95.27 	(2) that providing specific comments as to a perceived factual or legal error in the 
95.28 	decision, or a perceived error in procedure during the evidentiary hearing, will assist the 
95.29 	unemployment law judge in deciding the request for reconsideration;
95.30 	(3) of the right to obtain any comments and submissions provided by the other 
95.31 	involved party regarding the request for reconsideration; and
95.32 	(4) of the provisions of paragraph (c) regarding additional evidence.
95.33 	This paragraph does not apply if paragraph (d) is applicable.
95.34 	(c) In deciding a request for reconsideration, the unemployment law judge must not, 
95.35 	except for purposes of determining whether to order an additional evidentiary hearing, 
96.1 	consider any evidence that was not submitted at the evidentiary hearing conducted under 
96.2 	subdivision 1.
96.3 	The unemployment law judge must order an additional evidentiary hearing if an 
96.4 	involved party shows that evidence which was not submitted at the evidentiary hearing: 
96.5 	(1) would likely change the outcome of the decision and there was good cause for not 
96.6 	having previously submitted that evidence; or (2) would show that the evidence that was 
96.7 	submitted at the evidentiary hearing was likely false and that the likely false evidence had 
96.8 	an effect on the outcome of the decision.
96.9 	(d) If the involved applicant or involved employer who filed the request for 
96.10 	reconsideration failed to participate in the evidentiary hearing conducted under subdivision 
96.11 	1, an order setting aside the findings of fact and decision and directing that an additional 
96.12 	evidentiary hearing be conducted must be issued if the party who failed to participate had 
96.13 	good cause for failing to do so. In the notice that a request for reconsideration has been 
96.14 	filed, the party who failed to participate must be informed of the requirement, and provided 
96.15 	the opportunity, to show good cause for failing to participate. If the unemployment 
96.16 	law judge determines that good cause for failure to participate has not been shown, the 
96.17 	unemployment law judge must state that in the order issued under paragraph (a).
96.18 	Submission of a written statement at the evidentiary hearing under subdivision 1 
96.19 	does not constitute participation for purposes of this paragraph.
96.20 	All involved parties must be informed of this paragraph with the notice of appeal 
96.21 	and notice of hearing provided for in subdivision 1.
96.22 	"Good cause" for purposes of this paragraph is a reason that would have prevented a 
96.23 	reasonable person acting with due diligence from participating at the evidentiary hearing.
96.24 	(e) A request for reconsideration must be decided by the unemployment law judge 
96.25 	who issued the findings of fact and decision under subdivision 1 unless that unemployment 
96.26 	law judge: (1) is no longer employed by the department; (2) is on an extended or indefinite 
96.27 	leave; (3) has been disqualified from the proceedings on the judge's own motion; or (4) 
96.28 	has been removed from the proceedings as provided for under subdivision 1 or applicable 
96.29 	rule by the chief unemployment law judge.
96.30 	(f) The unemployment law judge must send to any involved applicant or involved 
96.31 	employer, by mail or electronic transmission, the order issued under this subdivision. An 
96.32 	order modifying the previously issued findings of fact and decision or an order affirming 
96.33 	the previously issued findings of fact and decision is the final department decision on the 
96.34 	matter and is final and binding on the involved applicant and involved employer unless 
96.35 	judicial review is sought under subdivision 7.

97.1 	Sec. 36. Minnesota Statutes 2008, section 268.105, subdivision 3a, is amended to read:
97.2 		Subd. 3a.Decisions. (a) If an unemployment law judge's decision or order 
97.3 	allows unemployment benefits to an applicant, the unemployment benefits must be paid 
97.4 	regardless of any request for reconsideration or any appeal to the Minnesota Court of 
97.5 	Appeals having been filed.
97.6 	(b) If an unemployment law judge's decision or order modifies or reverses a 
97.7 	determination, or prior decision of the unemployment law judge, allowing unemployment 
97.8 	benefits to an applicant, any benefits paid in accordance with the determination, or 
97.9 	prior decision of the unemployment law judge, is considered an overpayment of those 
97.10 	unemployment benefits. A decision or order issued under this section that results in an 
97.11 	overpayment of unemployment benefits must set out the amount of the overpayment and 
97.12 	the requirement under section 268.18, subdivision 1, that the overpaid unemployment 
97.13 	benefits must be repaid.
97.14 	(c) If an unemployment law judge's order under subdivision 2 allows unemployment 
97.15 	benefits to an applicant under section 268.095 because of a quit or discharge and the 
97.16 	unemployment law judge's decision is reversed by the Minnesota Court of Appeals or 
97.17 	the Supreme Court of Minnesota, the applicant cannot be held ineligible for any of 
97.18 	the unemployment benefits paid the applicant and it is not considered an overpayment 
97.19 	of those unemployment benefits under section 268.18, subdivision 1. The effect of the 
97.20 	court's reversal is the application of section 268.047, subdivision 3, in computing the 
97.21 	future tax rate of the employer.
97.22 	(d) If an unemployment law judge, under subdivision 2, orders the taking of 
97.23 	additional evidence, the unemployment law judge's prior decision must continue to be 
97.24 	enforced until new findings of fact and decision are made by the unemployment law judge.

97.25 	Sec. 37. Minnesota Statutes 2008, section 268.105, subdivision 4, is amended to read:
97.26 		Subd. 4.Oaths; subpoenas. An unemployment law judge  has authority to 
97.27 	administer oaths and affirmations, take depositions, and issue subpoenas to compel the 
97.28 	attendance of witnesses and the production of documents and other personal property 
97.29 	considered necessary as evidence in connection with the subject matter of an evidentiary 
97.30 	hearing.
97.31 	The unemployment law judge must give full consideration to a request for a 
97.32 	subpoena and must not unreasonably deny a request for a subpoena. If a subpoena request 
97.33 	is initially denied, the unemployment law judge must, on the unemployment law judge's 
97.34 	own motion, reconsider that request during the evidentiary hearing and rule on whether 
97.35 	the request was properly denied. If the request was not properly denied, the evidentiary 
98.1 	hearing must be continued for issuance of the subpoena. The subpoenas are enforceable 
98.2 	through the district court in Ramsey County. Witnesses subpoenaed, other than an involved 
98.3 	applicant or involved employer or officers and employees of an involved employer, must 
98.4 	be paid by the department the same witness fees as in a civil action in district court.

98.5 	Sec. 38. Minnesota Statutes 2008, section 268.105, subdivision 5, is amended to read:
98.6 		Subd. 5.Use of evidence; data privacy. (a) All testimony at any evidentiary 
98.7 	hearing conducted  under subdivision 1  must be recorded. A copy of any recorded 
98.8 	testimony and exhibits offered or received into evidence at the hearing must, upon 
98.9 	request, be furnished to a party at no cost during the time period for filing a request for 
98.10 	reconsideration or while a request for reconsideration is pending.
98.11 	(b) Regardless of any provision of law to the contrary, if recorded testimony and 
98.12 	exhibits received into evidence at the evidentiary hearing are not requested during the time 
98.13 	period for filing a request for reconsideration, or while a request for reconsideration is 
98.14 	pending, during the time for filing any appeal under subdivision 7, or during the pendency 
98.15 	thereof, that testimony and other evidence  may later be made available only  under a 
98.16 	district court order. A subpoena  is not considered a district court order.
98.17 	(c) Testimony obtained under subdivision 1, may not be used or considered for any 
98.18 	purpose, including impeachment, in any civil, administrative, or contractual proceeding, 
98.19 	except by a local, state, or federal human rights agency with enforcement powers, unless 
98.20 	the proceeding is initiated by the department.

98.21 	Sec. 39. Minnesota Statutes 2008, section 268.115, subdivision 5, is amended to read:
98.22 		Subd. 5.Maximum amount of extended unemployment benefits. The maximum 
98.23 	amount of extended unemployment benefits available to an applicant is 50 percent of the 
98.24 	maximum amount of regular unemployment benefits available in the benefit year, rounded 
98.25 	down to the next lower whole dollar. If the total rate of unemployment computed under 
98.26 	subdivision 1, clause (2)(ii), equaled or exceeded eight percent, the maximum amount 
98.27 	of extended unemployment benefits available is 80 percent of the maximum amount of 
98.28 	regular unemployment benefits available in the benefit year.

98.29 	Sec. 40. Minnesota Statutes 2008, section 268.125, subdivision 5, is amended to read:
98.30 		Subd. 5.Maximum amount of unemployment benefits. The maximum amount 
98.31 	of additional unemployment benefits available in the applicant's benefit year is one-half 
98.32 	of the applicant's maximum amount of regular unemployment benefits available under 
98.33 	section 268.07, subdivision 2, rounded down to the next lower whole dollar. Extended 
99.1 	unemployment benefits paid and unemployment benefits paid under any federal law other 
99.2 	than regular unemployment benefits must be deducted from the maximum amount of 
99.3 	additional unemployment benefits available. 

99.4 	Sec. 41. Minnesota Statutes 2008, section 268.135, subdivision 4, is amended to read:
99.5 		Subd. 4.Weekly benefit amount. (a) An applicant who is eligible for shared work 
99.6 	benefits  is paid an amount equal to the regular weekly unemployment benefit amount 
99.7 	multiplied by the nearest full percentage of reduction of the applicant's regular weekly 
99.8 	hours of work as set in the plan. The benefit payment, if not a whole dollar  must be 
99.9 	rounded down to the next lower whole dollar.
99.10 	(b) The deductible earnings provisions of section 268.085, subdivision 5,  must not 
99.11 	apply to earnings from the shared work employer of an applicant eligible for shared work 
99.12 	benefits unless the resulting amount would be less than the regular weekly unemployment 
99.13 	benefit amount the applicant would otherwise be eligible for without regard to shared 
99.14 	work benefits. 
99.15 	(c) An applicant  is not eligible for shared work benefits for any week that 
99.16 	employment is performed for the shared work employer in excess of the reduced hours 
99.17 	set forth in the plan.

99.18 	Sec. 42. Minnesota Statutes 2008, section 268.145, subdivision 1, is amended to read:
99.19 		Subdivision 1.Notification. (a) Upon filing an application for unemployment 
99.20 	benefits, the applicant  must be informed that:
99.21 	(1) unemployment benefits are subject to federal and state income tax;
99.22 	(2) there are requirements for filing estimated tax payments;
99.23 	(3) the applicant may elect to have federal income tax withheld from unemployment 
99.24 	benefits;
99.25 	(4) if the applicant elects to have federal income tax withheld, the applicant may, in 
99.26 	addition, elect to have Minnesota state income tax withheld; and
99.27 	(5) at any time during the benefit year the applicant may change a prior election.
99.28 	(b) If an applicant elects to have federal income tax withheld, the commissioner 
99.29 	shallmust deduct ten percent for federal income tax, rounded down to the next lower 
99.30 	whole dollar. If an applicant also elects to have Minnesota state income tax withheld, the 
99.31 	commissioner shallmust make an additional five percent deduction for state income 
99.32 	tax, rounded down to the next lower whole dollar. Any amounts deducted or offset  under 
99.33 	sections 268.155, 268.18, and 268.184 have priority over any amounts deducted under this 
99.34 	section. Federal income tax withholding has priority over state income tax withholding.
100.1 	(c) An election to have income tax withheld  may not be retroactive and  only  applies 
100.2 	to unemployment benefits paid after the election.

100.3 	Sec. 43. Minnesota Statutes 2008, section 268.18, subdivision 1, is amended to read:
100.4 		Subdivision 1.Nonfraud overpayment. (a) Any applicant who (1) because of a 
100.5 	determination or amended determination issued under section 268.07 or 268.101, or any 
100.6 	other section of this chapter, or (2) because of an appeal decision or order under section 
100.7 	268.105, has received any unemployment benefits that the applicant was held not entitled 
100.8 	to, must promptly repay the unemployment benefits to the trust fund. 
100.9 	(b) If the applicant fails to repay the unemployment benefits overpaid, the 
100.10 	commissioner may offset from any future unemployment benefits otherwise payable the 
100.11 	amount of the overpayment. Except when the overpayment resulted because the applicant 
100.12 	failed to report deductible earnings or deductible or benefit delaying payments, no single 
100.13 	offset may exceed 50 percent of the amount of the payment from which the offset is made. 
100.14 	The overpayment may also be collected by the same methods as delinquent payments 
100.15 	from an employerallowed under state and federal law.
100.16 	(c) If an applicant has been overpaid unemployment benefits under the law of 
100.17 	another state, because of a reason other than fraud, and that state certifies that the applicant 
100.18 	is liable under its law to repay the unemployment benefits and requests the commissioner 
100.19 	to recover the overpayment, the commissioner may offset from future unemployment 
100.20 	benefits otherwise payable the amount of overpayment, except that no single offset may 
100.21 	exceed 50 percent of the amount of the payment from which the offset is made.
100.22 	(d) If under paragraph (b) or (c) the reduced unemployment benefits as a result of 
100.23 	a 50 percent offset is not a whole dollar amount, it is rounded down to the next lower 
100.24 	whole dollar.

100.25 	Sec. 44. Minnesota Statutes 2008, section 268.18, subdivision 2, is amended to read:
100.26 		Subd. 2.Overpayment because of fraud. (a) Any applicant who receives 
100.27 	unemployment benefits by knowingly misrepresenting, misstating, or failing to disclose 
100.28 	any material fact, or who makes a false statement or representation without a good faith 
100.29 	belief as to the correctness of the statement or representation, has committed fraud. After 
100.30 	the discovery of facts indicating fraud, the commissioner shallmust make a determination 
100.31 	that the applicant obtained unemployment benefits by fraud and that the applicant must 
100.32 	promptly repay the unemployment benefits to the trust fund. In addition, the commissioner 
100.33 	shallmust assess a penalty equal to 40 percent of the amount fraudulently obtained. This 
100.34 	penalty is in addition to penalties under section 268.182.
101.1 	(b) Unless the applicant files an appeal within 20 calendar days after the sending 
101.2 	of the determination of overpayment by fraud to the applicant by mail or electronic 
101.3 	transmission, the determination is final. Proceedings on the appeal are conducted in 
101.4 	accordance with section 268.105.
101.5 	(c) If the applicant fails to repay the unemployment benefits, penalty, and interest 
101.6 	assessed, the total due may be collected by the same methods as delinquent payments 
101.7 	from an employer allowed under state and federal law. A determination of overpayment 
101.8 	by fraud must state the methods of collection the commissioner may use to recover the 
101.9 	overpayment. Money received in repayment of fraudulently obtained unemployment 
101.10 	benefits, penalties, and interest is first applied to the unemployment benefits overpaid, then 
101.11 	to the penalty amount due, then to any interest due. 62.5 percent of the payments made 
101.12 	toward the penalty are credited to the contingent account and 37.5 percent credited to the 
101.13 	administration account for deterring, detecting, or collecting overpayments.
101.14 	(d) If an applicant has been overpaid unemployment benefits under the law of 
101.15 	another state because of fraud and that state certifies that the applicant is liable to repay 
101.16 	the unemployment benefits and requests the commissioner to recover the overpayment, 
101.17 	the commissioner may offset from future unemployment benefits otherwise payable the 
101.18 	amount of overpayment.
101.19 	(e) Unemployment benefits paid for weeks more than four years before the date of a 
101.20 	determination of overpayment by fraud issued under this subdivision are not considered 
101.21 	overpaid unemployment benefits.

101.22 	Sec. 45. Minnesota Statutes 2008, section 268.196, subdivision 1, is amended to read:
101.23 		Subdivision 1.Administration account. (a) There is created in the state treasury a 
101.24 	special account to be known as the administration account. All money that is deposited 
101.25 	or paid into this account is continuously available to the commissioner for expenditure to 
101.26 	administer the Minnesota unemployment insurance program, and does not lapse at any 
101.27 	time. The administration account consists of:
101.28 	(1) all money received from the federal government to administer the Minnesota 
101.29 	unemployment insurance program, any federal unemployment insurance program, or 
101.30 	assistance provided to any other state to administer that state's unemployment insurance 
101.31 	program;
101.32 	(2) five percent of any money recovered on overpaid unemployment benefits as 
101.33 	provided for in section 268.194, subdivision 1, clause (7), which must be used for 
101.34 	deterring, detecting, and collecting overpaid unemployment benefits;
102.1 	(3) any money received as compensation for services or facilities supplied to the 
102.2 	federal government or any other state;
102.3 	(4) any money credited to this account under this chapter;
102.4 	(5) any amounts received for losses sustained by this account or by reason of 
102.5 	damage to equipment or supplies; and
102.6 	(5)(6) any proceeds from the sale or disposition of any equipment or supplies that 
102.7 	may no longer be necessary for the proper administration of those sections.
102.8 	(b) All money in this account must be deposited, administered, and disbursed in the 
102.9 	same manner and under the same conditions and requirements as are provided by law for 
102.10 	the other special accounts in the state treasury. The commissioner of finance, as treasurer 
102.11 	and custodian of this account, is liable for the faithful performance of duties in connection 
102.12 	with this account.
102.13 	(c) All money in this account must be spent for the purposes and in the amounts 
102.14 	found necessary by the United States Secretary of Labor for the proper and efficient 
102.15 	administration of the Minnesota unemployment insurance program.

102.16 	Sec. 46. Minnesota Statutes 2008, section 268.196, subdivision 2, is amended to read:
102.17 		Subd. 2.State to replace money wrongfully used. If any money received under 
102.18 	United States Code, title 42, section 501 of the Social Security Act or the Wagner-Peyser 
102.19 	Act, is found by the United States Secretary of Labor to have been spent for purposes 
102.20 	other than, or in amounts in excess of, those necessary for the proper administration of the 
102.21 	Minnesota unemployment insurance program, the commissioner may replace the money 
102.22 	from the contingent account. If the money is not replaced from the contingent account, 
102.23 	it is the policy of this state that the money be replaced by money appropriated for that 
102.24 	purpose from the general funds of this state. If not replaced from the contingent account,
102.25 	the commissioner shall must, at the earliest opportunity, submit to the legislature a request 
102.26 	for the appropriation of that amount.

102.27 	Sec. 47. Minnesota Statutes 2008, section 268.199, is amended to read:
102.28 	268.199 CONTINGENT ACCOUNT.
102.29 	(a) There is created in the state treasury a special account, to be known as the 
102.30 	contingent account, that does not lapse nor revert to any other fund or account. This 
102.31 	account consists of all money appropriated by the legislature, all money collected under 
102.32 	this chapter that is required to be placed in this account, and any interest earned on the 
102.33 	account. All money in this account is supplemental to all federal money available to the 
102.34 	commissioner. Money in this account is appropriated to the commissioner and is available 
103.1 	to the commissioner for administration of the Minnesota unemployment insurance 
103.2 	program unless otherwise appropriated by session law.
103.3 	(b) All money in this account must be deposited, administered, and disbursed in the 
103.4 	same manner and under the same conditions and requirements as is provided by law for 
103.5 	the other special accounts in the state treasury. On June 30 of each year, all amounts in 
103.6 	excess of $300,000 in this account must be paid over to the  trust fund.

103.7 	Sec. 48. Minnesota Statutes 2008, section 268.211, is amended to read:
103.8 	268.211 UNEMPLOYMENT INSURANCE BENEFITS TELEPHONE 
103.9 	SYSTEM.
103.10 	The commissioner must ensure that theany automated telephone system used 
103.11 	for unemployment insurance benefits provides an option for any caller to speak to an 
103.12 	unemployment insurance specialist. An individual who calls any of the publicized 
103.13 	telephone numbers seeking information about applying for unemployment benefits or on 
103.14 	the status of a claimbenefit account must have the option to speak on the telephone to a 
103.15 	specialist who can provide direct assistance or can direct the caller to the personindividual 
103.16 	or office that is able to respond to the caller's needs.

103.17 	Sec. 49. UNEMPLOYMENT LAW JUDGES.
 103.18 	It is in the public interest, as well as the interest of applicants and employees, that 
103.19 	an unemployment law judge conducting contested unemployment insurance hearings 
103.20 	should be an experienced attorney with a background in civil, criminal, or administrative 
103.21 	proceedings. An unemployment law judge should have a level of skill equal to that of a 
103.22 	workers' compensation judge. In order to recruit and retain individuals with the appropriate 
103.23 	skills, the pay of an unemployment law judge should be commensurate with that of a 
103.24 	workers' compensation judge, but should also take into account the less formal nature of 
103.25 	an unemployment insurance hearing. Before October 1, 2009, the commissioner of finance 
103.26 	is directed, in consultation with the deputy commissioner of employment and economic 
103.27 	development and the chief unemployment law judge, to determine and implement the 
103.28 	appropriate pay level, with no more than two pay steps, for unemployment law judges, 
103.29 	giving consideration only to the pay level provided to workers' compensation judges, but 
103.30 	taking into account the less formal nature of an unemployment insurance hearing.

103.31 	Sec. 50. REVISOR'S INSTRUCTION.
 103.32 	In Minnesota Statutes, chapter 268, the revisor shall change "shall" to "must," except 
103.33 	in Minnesota Statutes, sections 268.035 and 268.103.

104.1 	Sec. 51.  REPEALER.
 104.2 	Minnesota Statutes 2008, sections 268.085, subdivision 14; and 268.086, 
104.3 	subdivisions 1, 2, 3, 5, 6, 7, 8, and 9, are repealed.

104.4 	Sec. 52. EFFECTIVE DATE.
 104.5 	Sections 1 to 48 and 50 are effective August 2, 2009, and apply to all department 
104.6 	determinations and unemployment law judge decisions issued on or after that date.

104.7 	ARTICLE 5
104.8 	LABOR STANDARDS AND WAGES; LICENSING AND FEES

104.9 	Section 1. Minnesota Statutes 2008, section 16C.28, is amended by adding a 
104.10 	subdivision to read:
104.11 		Subd. 6.Contract awards. When prevailing wage laws apply, an agency shall not 
104.12 	be liable for costs under section 177.43, subdivision 3, if it has included language in its 
104.13 	contracts which requires vendors and contractors to comply with prevailing wage laws 
104.14 	and the contract also contains the following elements: 
104.15 	(1) a description of the prevailing wage laws and a citation to relevant statutes;
104.16 	(2) contact details for further information from the Department of Labor and 
104.17 	Industry; and
104.18 	(3) a statement of contractor and subcontractor liability for failure to adhere to 
104.19 	prevailing wage laws.

104.20 	Sec. 2. Minnesota Statutes 2008, section 177.27, subdivision 4, is amended to read:
104.21 		Subd. 4.Compliance orders. The commissioner may issue an order requiring an 
104.22 	employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 
104.23 	181.101, 181.11, 181.12, 181.13, 181.14, 181.145, 181.15, 181.275, subdivision 2a, and 
104.24 	181.79, or with any rule promulgated under section 177.28. The commissioner shall 
104.25 	issue an order requiring an employer to comply with sections 177.41 to 177.435 if the 
104.26 	violation is repeated. For purposes of this subdivision only, a violation is repeated if 
104.27 	at any time during the two years that preceded the date of violation, the commissioner 
104.28 	issued an order to the employer for violation of sections 177.41 to 177.435 and the order 
104.29 	is final or the commissioner and the employer have entered into a settlement agreement 
104.30 	that required the employer to pay back wages that were required by sections 177.41 to 
104.31 	177.435. The department shall serve the order upon the employer or the employer's 
104.32 	authorized representative in person or by certified mail at the employer's place of business. 
104.33 	An employer who wishes to contest the order must file written notice of objection to the 
105.1 	order with the commissioner within 15 calendar days after being served with the order. 
105.2 	A contested case proceeding must then be held in accordance with sections 14.57 to 
105.3 	14.69. If, within 15 calendar days after being served with the order, the employer fails 
105.4 	to file a written notice of objection with the commissioner, the order becomes a final 
105.5 	order of the commissioner.

105.6 	Sec. 3. Minnesota Statutes 2008, section 177.30, is amended to read:
105.7 	177.30 KEEPING RECORDS; PENALTY.
105.8 	(a) Every employer subject to sections 177.21 to 177.44 must make and keep a 
105.9 	record of: 
105.10 	(1) the name, address, and occupation of each employee;
105.11 	(2) the rate of pay, and the amount paid each pay period to each employee;
105.12 	(3) the hours worked each day and each workweek by the employee; 
105.13 	(4) for each employer subject to sections 177.41 to 177.44, and while performing 
105.14 	work on public works projects funded in whole or in part with state funds, the employer 
105.15 	shall furnish under oath signed by an owner or officer of an employer to the contracting 
105.16 	authority and the project owner every two weeks, a certified payroll report with respect 
105.17 	to the wages and benefits paid each employee during the preceding weeks specifying for 
105.18 	each employee: name; identifying number; prevailing wage master job classification 
105.19 	of each employee working on the project for each hour; hours worked each day; total 
105.20 	hours; rate of pay; gross amount earned; each deduction for taxes; total deductions; net 
105.21 	pay for week; dollars contributed per hour for each benefit, including name and address 
105.22 	of administrator; benefit account number; and telephone number for health and welfare, 
105.23 	vacation or holiday, apprenticeship training, pension, and other benefit programs; and
105.24 	(5) other information the commissioner finds necessary and appropriate to enforce 
105.25 	sections 177.21 to 177.35 177.435. The records must be kept for three years in or near the 
105.26 	premises where an employee works except each employer subject to sections 177.41 to 
105.27 	177.44, and while performing work on public works projects funded in whole or in part 
105.28 	with state funds, the records must be kept for three years after the contracting authority 
105.29 	has made final payment on the public works project. 
105.30 	(b) The commissioner may fine an employer up to $1,000 for each failure to 
105.31 	maintain records as required by this section. This penalty is in addition to any penalties 
105.32 	provided under section 177.32, subdivision 1. In determining the amount of a civil penalty 
105.33 	under this subdivision, the appropriateness of such penalty to the size of the employer's 
105.34 	business and the gravity of the violation shall be considered. 

106.1 	Sec. 4. Minnesota Statutes 2008, section 177.31, is amended to read:
106.2 	177.31 POSTING OF LAW AND RULES; PENALTY.
106.3 	Every employer subject to sections 177.21 to 177.35177.44 must obtain and keep 
106.4 	a summary of those sections, approved by the department, and copies of any applicable 
106.5 	rules adopted under those sections, or a summary of the rules. The employer must post the 
106.6 	summaries in a conspicuous and accessible place in or about the premises in which any 
106.7 	person covered by sections 177.21 to 177.35177.44 is employed. The department shall 
106.8 	furnish copies of the summaries and rules to employers without charge.  
106.9 	The commissioner may fine an employer up to $200 for each failure to comply with 
106.10 	this section. This penalty is in addition to any penalties provided by section 177.32, 
106.11 	subdivision 1.  

106.12 	Sec. 5. Minnesota Statutes 2008, section 177.32, is amended to read:
106.13 	177.32 PENALTIES.
106.14 		Subdivision 1.Misdemeanors. An employer who does any of the following is 
106.15 	guilty of a misdemeanor:
106.16 	(1) hinders or delays the commissioner in the performance of duties required under 
106.17 	sections 177.21 to 177.35 177.435;  
106.18 	(2) refuses to admit the commissioner to the place of business or employment of the 
106.19 	employer, as required by section 177.27, subdivision 1;  
106.20 	(3) repeatedly fails to make, keep, and preserve records as required by section 
106.21 	177.30;  
106.22 	(4) falsifies any record;
106.23 	(5) refuses to make any record available, or to furnish a sworn statement of the 
106.24 	record or any other information as required by section 177.27;  
106.25 	(6) repeatedly fails to post a summary of sections 177.21 to 177.35 177.44 or a copy 
106.26 	or summary of the applicable rules as required by section 177.31;  
106.27 	(7) pays or agrees to pay wages at a rate less than the rate required under sections 
106.28 	177.21 to 177.35 177.44;  
106.29 	(8) refuses to allow adequate time from work as required by section 177.253; or  
106.30 	(9) otherwise violates any provision of sections 177.21 to 177.35 177.44.  
106.31 		Subd. 2.Fine. An employer shall be fined not less than $700 nor more than $3,000 
106.32 	if convicted of discharging or otherwise discriminating against any employee because:
106.33 	(1) the employee has complained to the employer or to the department that wages 
106.34 	have not been paid in accordance with sections 177.21 to 177.35 177.435;  
107.1 	(2) the employee has instituted or will institute a proceeding under or related to 
107.2 	sections 177.21 to 177.35 177.435; or  
107.3 	(3) the employee has testified or will testify in any proceeding.

107.4 	Sec. 6. Minnesota Statutes 2008, section 177.42, subdivision 6, is amended to read:
107.5 		Subd. 6.Prevailing wage rate. "Prevailing wage rate" means the hourly basic rate 
107.6 	of pay plus the contribution for health and welfare benefits, vacation benefits, pension 
107.7 	benefits, and any other economic benefit paid to or for the largest number of workers 
107.8 	engaged in the same class of labor within the area and for medical or hospital care, 
107.9 	pensions on retirement or death, compensation for injuries or illness resulting from 
107.10 	occupational activity, or insurance to provide any of the foregoing, for unemployment 
107.11 	benefits, life insurance, disability and sickness insurance, or accident insurance, for 
107.12 	vacation and holiday pay, for defraying the costs of apprenticeship or other similar 
107.13 	programs, or for other bona fide fringe benefits, but only where the contractor or 
107.14 	subcontractor is not required by other federal, state, or local law to provide any of those 
107.15 	benefits, the amount of:
107.16 	(1) the rate of contribution irrevocably made by a contractor or subcontractor to a 
107.17 	trustee or to a third person under a fund, plan, or program; and 
107.18 	(2) the rate of costs to the contractor or subcontractor that may be reasonably 
107.19 	anticipated in providing benefits to laborers and mechanics pursuant to an enforceable 
107.20 	commitment to carry out a financially responsible plan or program which was 
107.21 	communicated in writing to the laborers and mechanics affected.
107.22 	"Prevailing wage rate" includes, for the purposes of section 177.44, rental rates for 
107.23 	truck hire paid to those who own and operate the truck. 
107.24 	The prevailing wage rate may not be less than a reasonable and living wage.  

107.25 	Sec. 7. Minnesota Statutes 2008, section 177.42, is amended by adding a subdivision 
107.26 	to read:
107.27 		Subd. 7.Employer. "Employer" means an individual, partnership, association, 
107.28 	corporation, business trust, or other business entity that hires a laborer, worker, or 
107.29 	mechanic.

107.30 	Sec. 8. Minnesota Statutes 2008, section 177.43, subdivision 3, is amended to read:
107.31 		Subd. 3.Contract requirements. The contract must specifically state the prevailing 
107.32 	wage rates, prevailing hours of labor, and hourly basic rates of pay. The contracting 
107.33 	authority shall incorporate into its proposals and all contracts the applicable wage 
108.1 	determinations for the contract along with contract language provided by the commissioner 
108.2 	of labor and industry to notify the contractor and all subcontractors of the applicability of 
108.3 	sections 177.41 to 177.44. Failure to incorporate the determination or provided contract 
108.4 	language into the contracts shall make the contracting authority liable for making whole 
108.5 	the contractor or subcontractor for any increases in the wages paid, including employment 
108.6 	taxes and reasonable administrative costs based on the appropriate prevailing wage due to 
108.7 	the laborers or mechanics working on the project. The contract must also provide that 
108.8 	the contracting agency shall demand, and the contractor and subcontractor shall furnish 
108.9 	to the contracting agency, copies of any or all payrolls not more than 14 days after the 
108.10 	end of each pay period. The payrolls must contain all the data required by section 177.30. 
108.11 	The contracting authority may examine all records relating to wages paid laborers or 
108.12 	mechanics on work to which sections 177.41 to 177.44 apply.

108.13 	Sec. 9. [181.986] REQUIRED EQUIPMENT AND APPAREL.
108.14 	(a) Notwithstanding any other law or rule to the contrary, a public employer is 
108.15 	prohibited from knowingly purchasing or acquiring, furnishing, or requiring an employee 
108.16 	to purchase or acquire for wear or use while on duty, any of the following items if the item 
108.17 	is not manufactured in the United States of America: 
108.18 	(1) any uniform or other item of wearing apparel over which an employee has no 
108.19 	discretion in selecting except for selecting the proper size; or
108.20 	(2) safety equipment or protective accessories.
108.21 	(b) Preference must be given to purchases from manufacturers who pay an average 
108.22 	annual income, including wages and benefits, equal to at least 150 percent of the federal 
108.23 	poverty guideline adjusted for a family size of four. For purposes of this section, "public 
108.24 	employer" means a county, home rule charter or statutory city, town, school district, 
108.25 	metropolitan or regional agency, public corporation, political subdivision, special district 
108.26 	as defined in section 6.465, subdivision 3, municipal fire department, independent 
108.27 	nonprofit firefighting corporation, the University of Minnesota, the Minnesota State 
108.28 	Colleges and Universities, and the state of Minnesota and its agencies.
108.29 	(c) Notwithstanding paragraph (a), a public employer may purchase or acquire, 
108.30 	furnish, or require an employee to purchase or acquire items listed in paragraph (a) 
108.31 	manufactured outside of the United States if similar items are not manufactured or 
108.32 	available for purchase in the United States.

108.33 	EFFECTIVE DATE. This section is effective January 1, 2010, or upon expiration 
108.34 	of valid contracts for such equipment and apparel entered into by public employers prior 
108.35 	to June 1, 2009, whichever is later.

109.1 	Sec. 10. Minnesota Statutes 2008, section 270.97, is amended to read:
109.2 	270.97 DEPOSIT OF REVENUES.
109.3 	The commissioner shall deposit all revenues derived from the tax, interest, and 
109.4 	penalties received from the county in the contaminated site cleanup and development 
109.5 	account in the general fund and is annually appropriated to the commissioner of the 
109.6 	Department of Employment and Economic Development, for the purposes of section 
109.7 	116J.551.

109.8 	Sec. 11. [326B.153] BUILDING PERMIT FEES.
109.9 		Subdivision 1.Building permits. (a) Fees for building permits submitted as 
109.10 	required in section 326B.106 include:
109.11 	(1) the fee as set forth in the fee schedule in paragraph (b) or as adopted by a 
109.12 	municipality; and
109.13 	(2) the surcharge required by section 326B.148.
109.14 	(b) The total valuation and fee schedule is:
109.15 	(1) $1 to $500, $29.50;
109.16 	(2) $501 to $2,000, $28 for the first $500 plus $3.70 for each additional $100 or 
109.17 	fraction thereof, to and including $2,000;
109.18 	(3) $2,001 to $25,000, $83.50 for the first $2,000 plus $16.55 for each additional 
109.19 	$1,000 or fraction thereof, to and including $25,000;
109.20 	(4) $25,001 to $50,000, $464.15 for the first $25,000 plus $12 for each additional 
109.21 	$1,000 or fraction thereof, to and including $50,000;
109.22 	(5) $50,001 to $100,000, $764.15 for the first $50,000 plus $8.45 for each additional 
109.23 	$1,000 or fraction thereof, to and including $100,000;
109.24 	(6) $100,001 to $500,000, $1,186.65 for the first $100,000 plus $6.75 for each 
109.25 	additional $1,000 or fraction thereof, to and including $500,000;
109.26 	(7) $500,001 to $1,000,000, $3,886.65 for the first $500,000 plus $5.50 for each 
109.27 	additional $1,000 or fraction thereof, to and including $1,000,000; and
109.28 	(8) $1,000,001 and up, $6,636.65 for the first $1,000,000 plus $4.50 for each 
109.29 	additional $1,000 or fraction thereof.
109.30 	(c) Other inspections and fees are:
109.31 	(1) inspections outside of normal business hours (minimum charge two hours), 
109.32 	$63.25 per hour;
109.33 	(2) reinspection fees, $63.25 per hour;
109.34 	(3) inspections for which no fee is specifically indicated (minimum charge one-half 
109.35 	hour), $63.25 per hour; and
110.1 	(4) additional plan review required by changes, additions, or revisions to approved 
110.2 	plans (minimum charge one-half hour), $63.25 per hour.
110.3 	(d) If the actual hourly cost to the jurisdiction under paragraph (c) is greater than 
110.4 	$63.25, then the greater rate shall be paid. Hourly cost includes supervision, overhead, 
110.5 	equipment, hourly wages, and fringe benefits of the employees involved.
110.6 		Subd. 2.Plan review. Fees for the review of building plans, specifications, and 
110.7 	related documents submitted as required by section 326B.106 must be paid based on 65 
110.8 	percent of the building permit fee required in subdivision 1.
110.9 		Subd. 3.Surcharge. Surcharge fees are required for permits issued on all buildings 
110.10 	including public buildings and state licensed facilities as required by section 326B.148.
110.11 		Subd. 4.Distribution. (a) This subdivision establishes the fee distribution between 
110.12 	the state and municipalities contracting for plan review and inspection of public buildings 
110.13 	and state licensed facilities.
110.14 	(b) If plan review and inspection services are provided by the state building official, 
110.15 	all fees for those services must be remitted to the state.
110.16 	(c) If plan review services are provided by the state building official and inspection 
110.17 	services are provided by a contracting municipality:
110.18 	(1) the state shall charge 75 percent of the plan review fee required by the state's 
110.19 	fee schedule in subdivision 2; and
110.20 	(2) the municipality shall charge 25 percent of the plan review fee required by the 
110.21 	municipality's adopted fee schedule, for orientation to the plans, in addition to the permit 
110.22 	and other customary fees charged by the municipality.
110.23 	(d) If plan review and inspection services are provided by the contracting 
110.24 	municipality, all fees for those services must be remitted to the municipality in accordance 
110.25 	with their adopted fee schedule.

110.26 	Sec. 12. Minnesota Statutes 2008, section 326B.33, subdivision 13, is amended to read:
110.27 		Subd. 13.Registration of unlicensed individuals. Unlicensed individuals 
110.28 	performing electrical work for a contractor or employer shall register with the department 
110.29 	in the manner prescribed by the commissioner. Experience credit for electrical work 
110.30 	performed in Minnesota after January 1, 2008 2009, by an applicant for a license identified 
110.31 	in this section shall not be granted where the applicant has not registered with or is not 
110.32 	licensed by the department.

110.33 	Sec. 13. Minnesota Statutes 2008, section 326B.33, subdivision 19, is amended to read:
111.1 		Subd. 19.License, registration, and renewal fees; expiration.  (a) Unless 
111.2 	revoked or suspended under this chapter, all licenses issued or renewed under this section 
111.3 	expire on the date specified in this subdivision. Master licenses expire March 1 of each 
111.4 	odd-numbered year after issuance or renewal. Electrical contractor licenses expire March 
111.5 	1 of each even-numbered year after issuance or renewal. Technology system contractor 
111.6 	licenses expire August 1 of each even-numbered year after issuance or renewal. All 
111.7 	other personal licenses expire two years from the date of original issuance and every two 
111.8 	years thereafter. Registrations of unlicensed individuals expire one year from the date of 
111.9 	original issuance and every year thereafter.
111.10 	(b) Fees for application and examination, and for the original issuance and each 
111.11 	subsequent renewal, are:
111.12 	(1) For each personal license application and examination: $35;
111.13 	(2) For original issuance and each subsequent renewal of:
111.14 	Class A Master or master special electrician, including master elevator constructor: 
111.15 	$40 per year;
111.16 	Class B Master: $25 per year;
111.17 	Power Limited Technician: $15 per year;
111.18 	Class A Journeyman, Class B Journeyman, Installer, Elevator Constructor, Lineman, 
111.19 	or Maintenance Electrician other than master special electrician: $15 per year;
111.20 	Contractor: $100 per year;
111.21 	Unlicensed individual registration: $15 per year.
111.22 	(c) If any new license is issued in accordance with this subdivision for less than two 
111.23 	years, the fee for the license shall be prorated on an annual basis. 
111.24 	(d) A license fee may not be refunded after a license is issued or renewed. However, 
111.25 	if the fee paid for a license was not prorated in accordance with this subdivision, the 
111.26 	amount of the overpayment shall be refunded.
111.27 	(e) Any contractor who seeks reissuance of a license after it has been revoked or 
111.28 	suspended under this chapter shall submit a reissuance fee of $100 before the license is 
111.29 	reinstated.
111.30 	(f) The fee for the issuance of each duplicate license is $15.
111.31 	(g) An individual or contractor who fails to renew a license before 30 days after the 
111.32 	expiration or registration of the license must submit a late fee equal to one year's license 
111.33 	fee in addition to the full renewal fee. Fees for renewed licenses or registrations are not 
111.34 	prorated. An individual or contractor that fails to renew a license or registration by the 
111.35 	expiration date is unlicensed until the license or registration is renewed.

112.1 	Sec. 14. Minnesota Statutes 2008, section 326B.46, subdivision 4, is amended to read:
112.2 		Subd. 4.Fee. (a) Each person giving bond to the state under subdivision 2 shall pay 
112.3 	the department an annuala bond registration fee of $40 for one year or $80 for two years.
112.4 	(b) The commissioner shall in a manner determined by the commissioner, without 
112.5 	the need for any rulemaking under chapter 14, phase in the bond registration from one year 
112.6 	to two years so that the expiration of bond registration corresponds with the expiration of 
112.7 	the license issued under section 326B.475 or 326B.49, subdivision 1.

112.8 	Sec. 15. Minnesota Statutes 2008, section 326B.475, subdivision 4, is amended to read:
112.9 		Subd. 4.Renewal; use period for license. (a) A restricted master plumber and 
112.10 	restricted journeyman plumber license must be renewed annually for as long as that 
112.11 	licensee engages in the plumbing trade. Failure to renew a restricted master plumber and 
112.12 	restricted journeyman plumber license within 12 months after the expiration date will 
112.13 	result in permanent forfeiture of the restricted master plumber and restricted journeyman 
112.14 	plumber license.
112.15 	(b) The commissioner shall in a manner determined by the commissioner, without 
112.16 	the need for any rulemaking under chapter 14, phase in the renewal of restricted master 
112.17 	plumber and restricted journeyman plumber licenses from one year to two years. By 
112.18 	June 30, 2011, all restricted master plumber and restricted journeyman plumber licenses 
112.19 	shall be two-year licenses.

112.20 	Sec. 16. Minnesota Statutes 2008, section 326B.475, subdivision 7, is amended to read:
112.21 		Subd. 7.Fee. The annual renewal fee for the restricted master plumber and 
112.22 	restricted journeyman plumber licenses is the same fee as for a master or journeyman 
112.23 	plumber license, respectively.

112.24 	Sec. 17. Minnesota Statutes 2008, section 326B.49, subdivision 1, is amended to read:
112.25 		Subdivision 1.Application. (a) Applications for plumber's license shall be made to 
112.26 	the commissioner, with fee. Unless the applicant is entitled to a renewal, the applicant 
112.27 	shall be licensed by the commissioner only after passing a satisfactory examination 
112.28 	developed and administered by the commissioner, based upon rules adopted by the 
112.29 	Plumbing Board, showing fitness. Examination fees for both journeyman and master 
112.30 	plumbers shall be $50 for each examination. Upon being notified of having successfully 
112.31 	passed the examination for original license the applicant shall submit an application, 
112.32 	with the license fee herein provided. The license fee for each initial and renewal master 
112.33 	plumber's license shall be $120 $240. The license fee for each initial and renewal
113.1 	journeyman plumber's license shall be $55 $110. The commissioner may by rule prescribe 
113.2 	for the expiration and renewal of licenses.
113.3 	(b) All initial master and journeyman plumber's licenses shall be effective for more 
113.4 	than one calendar year and shall expire on December 31 of the year after the year in which 
113.5 	the application is made. The license fee for each renewal master plumber's license shall be 
113.6 	$120 for one year or $240 for two years. The license fee for each renewal journeyman 
113.7 	plumber's license shall be $55 for one year or $110 for two years. The commissioner 
113.8 	shall in a manner determined by the commissioner, without the need for any rulemaking 
113.9 	under chapter 14, phase in the renewal of master and journeyman plumber's licenses from 
113.10 	one year to two years. By June 30, 2011, all renewed master and journeyman plumber's 
113.11 	licenses shall be two-year licenses.
113.12 	(c) Any licensee who does not renew a license within two years after the license 
113.13 	expires is no longer eligible for renewal. Such an individual must retake and pass the 
113.14 	examination before a new license will be issued. A journeyman or master plumber who 
113.15 	submits a license renewal application after the time specified in rule but within two years 
113.16 	after the license expired must pay all past due renewal fees plus a late fee of $25.

113.17 	Sec. 18. Minnesota Statutes 2008, section 326B.56, subdivision 4, is amended to read:
113.18 		Subd. 4.Fee. (a) The commissioner shall collect a $40 bond registration fee for 
113.19 	one year or $80 for two years from each applicant for issuance or renewal of a water 
113.20 	conditioning contractor or installer license who elects to proceed under subdivisions 
113.21 	1 and 2.
113.22 	(b) The commissioner shall in a manner determined by the commissioner, without 
113.23 	the need for any rulemaking under chapter 14, phase in the bond registration from one year 
113.24 	to two years so that the expiration of bond registration corresponds with the expiration of 
113.25 	the license issued under section 326B.55.

113.26 	Sec. 19. Minnesota Statutes 2008, section 326B.58, is amended to read:
113.27 	326B.58 FEES. 
113.28 	(a) Examination fees for both water conditioning contractors and water conditioning 
113.29 	installers shall be $50 for each examination. Each initial water conditioning contractor 
113.30 	and installer license shall be effective for more than one calendar year and shall expire on 
113.31 	December 31 of the year for which it was issued after the year in which the application 
113.32 	is made. The license fee for each initial water conditioning contractor's license shall be 
113.33 	$70 $140, except that the license fee shall be $35 $105 if the application is submitted 
113.34 	during the last three months of the calendar year. The license fee for each renewal water 
114.1 	conditioning contractor's license shall be $70 for one year or $140 for two years. The 
114.2 	license fee for each initial water conditioning installer license shall be $35 $70, except 
114.3 	that the license fee shall be $17.50 $52.50 if the application is submitted during the last 
114.4 	three months of the calendar year. The license fee for each renewal water conditioning 
114.5 	installer license shall be $35 for one year or $70 for two years. 
114.6 	(b) The commissioner shall in a manner determined by the commissioner, without 
114.7 	the need for any rulemaking under chapter 14, phase in the renewal of water conditioning 
114.8 	contractor and installer licenses from one year to two years. By June 30, 2011, all renewed 
114.9 	water conditioning contractor and installer licenses shall be two-year licenses. The 
114.10 	commissioner may by rule prescribe for the expiration and renewal of licenses. 
114.11 	(c) Any licensee who does not renew a license within two years after the license 
114.12 	expires is no longer eligible for renewal. Such an individual must retake and pass the 
114.13 	examination before a new license will be issued. A water conditioning contractor or water 
114.14 	conditioning installer who submits a license renewal application after the time specified 
114.15 	in rule but within two years after the license expired must pay all past due renewal fees 
114.16 	plus a late fee of $25. 

114.17 	Sec. 20. Minnesota Statutes 2008, section 326B.815, subdivision 1, is amended to read:
114.18 		Subdivision 1. Licensing fee. (a) The licensing fee for persons licensed pursuant 
114.19 	to sections 326B.802 to 326B.885, except for manufactured home installers, is $100 per 
114.20 	year $200 for a two-year period. The licensing fee for manufactured home installers under 
114.21 	section 327B.041 is $300 for a three-year period. 
114.22 	(b) All initial licenses, except for manufactured home installer licenses, shall be 
114.23 	effective for two years and shall expire on March 31 of the year after the year in which the 
114.24 	application is made. The license fee for each renewal of a residential contractor, residential 
114.25 	remodeler, or residential roofer license shall be $100 for one year and $200 for two years.
114.26 	(c) The commissioner shall in a manner determined by the commissioner, without 
114.27 	the need for any rulemaking under chapter 14, phase in the renewal of residential 
114.28 	contractor, residential remodeler, and residential roofer licenses from one year to two 
114.29 	years. By June 30, 2011, all renewed residential contractor, residential remodeler, and 
114.30 	residential roofer licenses shall be two-year licenses.

114.31 	Sec. 21. Minnesota Statutes 2008, section 326B.821, subdivision 2, is amended to read:
114.32 		Subd. 2.Hours. A qualifying person of a licensee must provide proof of completion 
114.33 	of seven 14 hours of continuing education per year two-year licensure period in the 
114.34 	regulated industry in which the licensee is licensed. 
115.1 	Credit may not be earned if the licensee has previously obtained credit for the same 
115.2 	course as either a student or instructor during the same licensing period.

115.3 	Sec. 22. Minnesota Statutes 2008, section 326B.86, subdivision 1, is amended to read:
115.4 		Subdivision 1.Bond. (a) Licensed manufactured home installers and licensed 
115.5 	residential roofers must post a surety bond in the name of the licensee with the 
115.6 	commissioner, conditioned that the applicant shall faithfully perform the duties and 
115.7 	in all things comply with all laws, ordinances, and rules pertaining to the license or 
115.8 	permit applied for and all contracts entered into. The annual bond must be continuous 
115.9 	and maintained for so long as the licensee remains licensed. The aggregate liability of 
115.10 	the surety on the bond to any and all persons, regardless of the number of claims made 
115.11 	against the bond, may not exceed the amount of the bond. The bond may be canceled as 
115.12 	to future liability by the surety upon 30 days' written notice mailed to the commissioner 
115.13 	by regular mail.
115.14 	(b) A licensed residential roofer must post a bond of at least $15,000.
115.15 	(c) A licensed manufactured home installer must post a bond of at least $2,500.
115.16 	Bonds issued under sections 326B.802 to 326B.885 are not state bonds or contracts 
115.17 	for purposes of sections 8.05 and 16C.05, subdivision 2.

115.18 	Sec. 23. Minnesota Statutes 2008, section 326B.885, subdivision 2, is amended to read:
115.19 		Subd. 2. Annual Renewal period. Any license issued or renewed after August 
115.20 	1, 1993, must be renewed annually except for(a) A residential contractor, residential 
115.21 	remodeler, and residential roofer license shall have a renewal period of two years. The 
115.22 	commissioner shall in a manner determined by the commissioner, without the need for any 
115.23 	rulemaking under chapter 14, phase in the renewal of residential contractor, residential 
115.24 	remodeler, and residential roofer licenses from one year to two years. By June 30, 2011, 
115.25 	all renewed residential contractor, residential remodeler, and residential roofer licenses 
115.26 	shall be two-year licenses.
115.27 	(b) A manufactured home installer's license which shall have a renewal period of 
115.28 	three years, effective for all renewals and new licenses issued after December 31, 2008. 

115.29 	Sec. 24. Minnesota Statutes 2008, section 326B.89, subdivision 3, is amended to read:
115.30 		Subd. 3.Fund fees. In addition to any other fees, a person who applies for or 
115.31 	renews a license under sections 326B.802 to 326B.885 shall pay a fee to the fund. The 
115.32 	person shall pay, in addition to the appropriate application or renewal fee, the following 
115.33 	additional fee that shall be deposited in the fund. The amount of the fee shall be based on 
116.1 	the person's gross annual receipts for the person's most recent fiscal year preceding the 
116.2 	application or renewal, on the following scale:

116.3		Fee
	Gross Annual Receipts
		
116.4		$160 $320
	under $1,000,000
		
116.5		$210 $420
	$1,000,000 to $5,000,000
		
116.6		$260 $520
	over $5,000,000

116.7 	Sec. 25. Minnesota Statutes 2008, section 326B.89, subdivision 16, is amended to read:
116.8 		Subd. 16.Additional assessment. If the balance in the fund is at any time less 
116.9 	than the commissioner determines is necessary to carry out the purposes of this section, 
116.10 	every licensee, when renewing a license, shall pay, in addition to the annual renewal 
116.11 	fee and the fee set forth in subdivision 3, an assessment not to exceed $100 $200. The 
116.12 	commissioner shall set the amount of assessment based on a reasonable determination 
116.13 	of the amount that is necessary to restore a balance in the fund adequate to carry out the 
116.14 	purposes of this section.

116.15 	Sec. 26. Minnesota Statutes 2008, section 326B.94, subdivision 4, is amended to read:
116.16 		Subd. 4.Examinations, licensing. The commissioner shall develop and administer 
116.17 	an examination for all masters of boats carrying passengers for hire on the inland waters of 
116.18 	the state as to their qualifications and fitness. If found qualified and competent to perform 
116.19 	their duties as a master of a boat carrying passengers for hire, they shall be issued a license 
116.20 	authorizing them to act as such on the inland waters of the state. The license shall be 
116.21 	renewed annually. All initial master's licenses shall be for two years. The commissioner 
116.22 	shall in a manner determined by the commissioner, without the need for any rulemaking 
116.23 	under chapter 14, phase in the renewal of master's licenses from one year to two years. 
116.24 	By June 30, 2011, all renewed master's licenses shall be two-year licenses. Fees for the 
116.25 	original issue and renewal of the license authorized under this section shall be pursuant to 
116.26 	section 326B.986, subdivision 2.

116.27 	Sec. 27. Minnesota Statutes 2008, section 326B.972, is amended to read:
116.28 	326B.972 LICENSE REQUIREMENT. 
116.29 	(a) To operate a boiler, steam engine, or turbine an individual must have received a 
116.30 	license for the grade covering that boiler, steam engine, or turbine. The license must be 
116.31 	renewed annually, except as provided Except for licenses described in section 326B.956
116.32 	and except for provisional licenses described in paragraphs (d) to (g);
116.33 	(1) all initial licenses shall be for two years;
117.1 	(2) the commissioner shall in a manner determined by the commissioner, without 
117.2 	the need for any rulemaking under chapter 14, phase in the renewal of licenses from 
117.3 	one year to two years; and
117.4 	(3) by June 30, 2011, all licenses shall be two-year licenses. 
117.5 	(b) For purposes of sections 326B.952 to 326B.998, "operation" does not include 
117.6 	monitoring of an automatic boiler, either through on premises inspection of the boiler or 
117.7 	by remote electronic surveillance, provided that no operations are performed upon the 
117.8 	boiler other than emergency shut down in alarm situations. 
117.9 	(c) No individual under the influence of illegal drugs or alcohol may operate a boiler, 
117.10 	steam engine, or turbine or monitor an automatic boiler. 
117.11 	(d) The commissioner may issue a provisional license to allow an employee of a 
117.12 	high pressure boiler plant to operate boilers greater than 500 horsepower at only that 
117.13 	boiler plant if: 
117.14 	(1) the boiler plant has a designated chief engineer in accordance with Minnesota 
117.15 	Rules, part 5225.0410; 
117.16 	(2) the boiler plant employee holds a valid license as a second-class engineer, 
117.17 	Grade A or B; 
117.18 	(3) the chief engineer in charge of the boiler plant submits an application to the 
117.19 	commissioner on a form prescribed by the commissioner to elicit information on whether 
117.20 	the requirements of this paragraph have been met; 
117.21 	(4) the chief engineer in charge of the boiler plant and an authorized representative 
117.22 	of the owner of the boiler plant both sign the application for the provisional license; 
117.23 	(5) the owner of the boiler plant has a documented training program with examination 
117.24 	for boilers and equipment at the boiler plant to train and test the boiler plant employee; and 
117.25 	(6) if the application were to be granted, the total number of provisional licenses 
117.26 	for employees of the boiler plant would not exceed the total number of properly licensed 
117.27 	first-class engineers and chief engineers responsible for the safe operation of the boilers 
117.28 	at the boiler plant. 
117.29 	(e) A public utility, cooperative electric association, generation and transmission 
117.30 	cooperative electric association, municipal power agency, or municipal electric utility 
117.31 	that employs licensed boiler operators who are subject to an existing labor contract may 
117.32 	use a provisional licensee as an operator only if using the provisional licensee does not 
117.33 	violate the labor contract. 
117.34 	(f) Each provisional license expires 36 months after the date of issuance unless 
117.35 	revoked less than 36 months after the date of issuance. A provisional license may not be 
117.36 	renewed. 
118.1 	(g) The commissioner may issue no more than two provisional licenses to any 
118.2 	individual within a four-year period. 

118.3 	Sec. 28. Minnesota Statutes 2008, section 326B.986, subdivision 2, is amended to read:
118.4 		Subd. 2.Fee amounts; master's. The license and application fee for a an initial
118.5 	master's license is $50 $70, or $20 $40 if the applicant possesses a valid, unlimited, current 
118.6 	United States Coast Guard master's license. The annual renewal of fee for a master's 
118.7 	license is $20 for one year or $40 for two years. The annual renewal If the renewal fee is
118.8 	paid later than 30 days after expiration is $35. The fee for replacement of a current, valid 
118.9 	license is $20, then a late fee of $15 will be added to the renewal fee.

118.10 	Sec. 29. Minnesota Statutes 2008, section 326B.986, subdivision 5, is amended to read:
118.11 		Subd. 5. Boiler engineer license fees. (a) For the following licenses, the 
118.12 	nonrefundable license and application fee is: 
118.13 	(1) chief engineer's license, $50 $70; 
118.14 	(2) first class engineer's license, $50 $70; 
118.15 	(3) second class engineer's license, $50 $70; 
118.16 	(4) special engineer's license, $20 $40; 
118.17 	(5) traction or hobby boiler engineer's license, $50; and 
118.18 	(6) provisional license, $50. 
118.19 	(b) An engineer's license, except a provisional license, may be renewed upon 
118.20 	application and payment of an annual a renewal fee of $20 for one year or $40 for two 
118.21 	years. The annual renewal, If the renewal fee is paid later than 30 days after expiration, 
118.22 	is $35. The fee for replacement of a current, valid license is $20 then a late fee of $15 
118.23 	will be added to the renewal fee. 

118.24 	Sec. 30. Minnesota Statutes 2008, section 326B.986, subdivision 8, is amended to read:
118.25 		Subd. 8.Certificate of competency. The fee for issuance of the original state 
118.26 	of Minnesota certificate of competency for inspectors is $50. This fee is waived$85 
118.27 	for inspectors who did not pay the examination fee or $35 for inspectors who paid 
118.28 	the examination fee. All initial certificates of competency shall be effective for more 
118.29 	than one calendar year and shall expire on December 31 of the year after the year in 
118.30 	which the application is made. The commissioner shall in a manner determined by the 
118.31 	commissioner, without the need for any rulemaking under chapter 14, phase in the renewal 
118.32 	of certificates of competency from one calendar year to two calendar years. By June 30, 
118.33 	2011, all renewed certificates of competency shall be valid for two calendar years. The fee 
119.1 	for an annual renewal of the state of Minnesota certificate of competency is $35 for one 
119.2 	year or $70 for two years, and is due January 1 of each year. The fee for replacement of a 
119.3 	current, valid license is $35 the day after the certificate expires.

119.4 	Sec. 31. Minnesota Statutes 2008, section 327B.04, subdivision 7, is amended to read:
119.5 		Subd. 7.Fees; Licenses; when granted. Each application for a license or license 
119.6 	renewal must be accompanied by a fee in an amount established by the commissioner by 
119.7 	rule pursuant to section 327B.10 subdivision 7a. The fees shall be set in an amount which 
119.8 	over the fiscal biennium will produce revenues approximately equal to the expenses which 
119.9 	the commissioner expects to incur during that fiscal biennium while administering and 
119.10 	enforcing sections 327B.01 to 327B.12. The commissioner shall grant or deny a license 
119.11 	application or a renewal application within 60 days of its filing. If the license is granted, 
119.12 	the commissioner shall license the applicant as a dealer or manufacturer for the remainder 
119.13 	of the calendar year licensure period. Upon application by the licensee, the commissioner 
119.14 	shall renew the license for a two year period, if: 
119.15 	(a) (1) the renewal application satisfies the requirements of subdivisions 3 and 4;
119.16 	(b) (2) the renewal applicant has made all listings, registrations, notices and reports 
119.17 	required by the commissioner during the preceding year licensure period; and
119.18 	(c) (3) the renewal applicant has paid all fees owed pursuant to sections 327B.01 to 
119.19 	327B.12 and all taxes, arrearages, and penalties owed to the state. 

119.20 	Sec. 32. Minnesota Statutes 2008, section 327B.04, is amended by adding a 
119.21 	subdivision to read:
119.22 		Subd. 7a.Fees. (a) Fees for licenses issued pursuant to this section are as follows:
119.23 	(1) initial dealer license for principal location, $400. Fee is not refundable;
119.24 	(2) initial dealer license for subagency location, $80;
119.25 	(3) dealer license biennial renewal, principal location, $400; dealer subagency 
119.26 	location biennial renewal, $160. Subagency license renewal must coincide with the 
119.27 	principal license date;
119.28 	(4) initial limited dealer license, $200;
119.29 	(5) change of bonding company, $10;
119.30 	(6) reinstatement of bond after cancellation notice has been received, $10;
119.31 	(7) checks returned without payment, $15; and
119.32 	(8) change of address, $10.
120.1 	(b) All initial limited dealer licenses shall be effective for more than one calendar 
120.2 	year and shall expire on December 31 of the year after the year in which the application 
120.3 	is made.
120.4 	(c) The license fee for each renewed limited dealer license shall be $100 for one 
120.5 	year and $200 for two years. The commissioner shall in a manner determined by the 
120.6 	commissioner, without the need for any rulemaking under chapter 14, phase in the renewal 
120.7 	of limited dealer licenses from one year to two years. By June 30, 2011, all renewed 
120.8 	limited dealer licenses shall be two-year licenses.
120.9 	(d) All fees are not refundable.

120.10 	Sec. 33. Minnesota Statutes 2008, section 327B.04, subdivision 8, is amended to read:
120.11 		Subd. 8.Limited dealer's license. The commissioner shall issue a limited dealer's 
120.12 	license to an owner of a manufactured home park authorizing the licensee as principal 
120.13 	only to engage in the sale, offering for sale, soliciting, or advertising the sale of used 
120.14 	manufactured homes located in the owned manufactured home park. The licensee must 
120.15 	be the title holder of the homes and may engage in no more than ten sales annually
120.16 	during each year of the two-year licensure period. An owner may, upon payment of the 
120.17 	applicable fee and compliance with this subdivision, obtain a separate license for each 
120.18 	owned manufactured home park and is entitled to sell up to ten 20 homes per license 
120.19 	period provided that only one limited dealer license may be issued for each park. The 
120.20 	license shall be issued after:
120.21 	(1) receipt of an application on forms provided by the commissioner containing 
120.22 	the following information:
120.23 	(i) the identity of the applicant;
120.24 	(ii) the name under which the applicant will be licensed and do business in this state;
120.25 	(iii) the name and address of the owned manufactured home park, including a copy 
120.26 	of the park license, serving as the basis for the issuance of the license; 
120.27 	(iv) the name, home, and business address of the applicant;
120.28 	(v) the name, address, and telephone number of one individual that is designated 
120.29 	by the applicant to receive all communications and cooperate with all inspections and 
120.30 	investigations of the commissioner pertaining to the sale of manufactured homes in the 
120.31 	manufactured home park owned by the applicant;
120.32 	(vi) whether the applicant or its designated individual has been convicted of a crime 
120.33 	within the previous ten years that is either related directly to the business for which the 
120.34 	license is sought or involved fraud, misrepresentation or misuse of funds, or has suffered a 
120.35 	judgment in a civil action involving fraud, misrepresentation, or conversion within the 
121.1 	previous five years or has had any government license or permit suspended or revoked 
121.2 	as a result of an action brought by a federal or state governmental agency in this or any 
121.3 	other state within the last five years; and
121.4 	(vii) the applicant's qualifications and business history, including whether the 
121.5 	applicant or its designated individual has ever been adjudged bankrupt or insolvent, or has 
121.6 	any unsatisfied court judgments outstanding against it or them;
121.7 	(2) payment of a $100 annual the license fee established by subdivision 7a; and
121.8 	(3) provision of a surety bond in the amount of $5,000. A separate surety bond 
121.9 	must be provided for each limited license.
121.10 	The applicant need not comply with section 327B.04, subdivision 4, paragraph (e). 
121.11 	The holding of a limited dealer's license does not satisfy the requirement contained in 
121.12 	section 327B.04, subdivision 4, paragraph (e), for the licensee or salespersons with respect 
121.13 	to obtaining a dealer license. The commissioner may, upon application for a renewal of 
121.14 	a license, require only a verification that copies of sales documents have been retained 
121.15 	and payment of a $100 the renewal fee established by subdivision 7a. "Sales documents" 
121.16 	mean only the safety feature disclosure form defined in section 327C.07, subdivision 3a, 
121.17 	title of the home, financing agreements, and purchase agreements. 
121.18 	The license holder shall, upon request of the commissioner, make available for 
121.19 	inspection during business hours sales documents required to be retained under this 
121.20 	subdivision.

121.21 	Sec. 34.  REPEALER.
 121.22 	Minnesota Rules, part 1350.8300, is repealed.

121.23 	ARTICLE 6
121.24 	MISCELLANEOUS PROVISIONS

121.25 	Section 1. [1.1499] STATE SPORT.
121.26 	Ice hockey is adopted as the official sport of the state of Minnesota.

121.27 	Sec. 2. Minnesota Statutes 2008, section 41A.02, subdivision 17, is amended to read:
121.28 		Subd. 17.Small business development loan. "Small business development loan" 
121.29 	means a loan to a business that is an "eligible small business" to finance:
121.30 	(1)  capital expenditures on an interim or long-term basis to acquire or improve land, 
121.31 	acquire, construct, rehabilitate, remove, or improve buildings, or to acquire and install 
121.32 	fixtures and equipment useful to conduct a small business, including facilities of a capital 
121.33 	nature useful or suitable for a business engaged in an enterprise promoting employment 
122.1 	including, without limitation, facilities included within the meaning of the term "project" 
122.2 	as defined in sections 469.153, subdivision 2, and 469.155, subdivision 4;
122.3 	(2) working capital; and
122.4 	(3) intangible property, such as any patent, copyright, formula, process, design, 
122.5 	pattern, know-how, format, or other similar item. 

122.6 	Sec. 3. Minnesota Statutes 2008, section 41A.036, subdivision 4, is amended to read:
122.7 		Subd. 4.Exemption from limitation. If the board determines that a 
122.8 	revenue-producing enterprise an eligible small business is eligible for special assistance, 
122.9 	the $1,000,000 limitation established in subdivision 1 does not apply.

122.10 	Sec. 4. Minnesota Statutes 2008, section 41A.036, subdivision 5, is amended to read:
122.11 		Subd. 5.Designation; criteria. A revenue-producing enterprise An eligible 
122.12 	small business is not eligible to receive special assistance unless the board has passed a 
122.13 	resolution designating the revenue-producing enterprise eligible small business as being in 
122.14 	need of special assistance. The resolution must include findings that the designation and 
122.15 	receipt of the special assistance will be of exceptional benefit to the state of Minnesota in 
122.16 	that at least three of the following criteria are met:
122.17 	(1) to expand or remain in Minnesota, the revenue-producing enterprise eligible 
122.18 	small business has demonstrated that it cannot obtain suitable financing from other sources;
122.19 	(2) special assistance will enable a revenue-producing enterprise an eligible small 
122.20 	business not currently located in Minnesota to locate a facility in Minnesota that directly 
122.21 	increases the number of jobs in the state;
122.22 	(3) the revenue-producing enterprise eligible small business will create or retain 
122.23 	significant numbers of jobs in a Minnesota community;
122.24 	(4) the revenue-producing enterprise eligible small business has a significant 
122.25 	potential for growth in jobs or economic activities in Minnesota during the ensuing 
122.26 	five-year period; and
122.27 	(5) the revenue-producing enterprise eligible small business will maintain a 
122.28 	significant level of productivity in Minnesota during the ensuing five-year period.

122.29 	Sec. 5. Minnesota Statutes 2008, section 85.0146, subdivision 1, is amended to read:
122.30 		Subdivision 1.Advisory council created. The Cuyuna Country State Recreation 
122.31 	Area Citizens Advisory Council is established. Notwithstanding section 15.059, the 
122.32 	council does not expire. Membership on the advisory council shall include:
123.1 	(1) a representative of the Cuyuna Range Mineland Recreation Area Joint Powers 
123.2 	Board;
123.3 	(2) a representative of the Croft Mine Historical Park Joint Powers Board;
123.4 	(3) a designee of the Cuyuna Range Mineland Reclamation Committee who has 
123.5 	worked as a miner in the local area;
123.6 	(4) a representative of the Crow Wing County Board;
123.7 	(5) an elected state official;
123.8 	(6) a representative of the Grand Rapids regional office of the Department of Natural 
123.9 	Resources;
123.10 	(7) a designee of the Iron Range Resources and Rehabilitation Board;
123.11 	(8) a designee of the local business community selected by the area chambers of 
123.12 	commerce;
123.13 	(9) a designee of the local environmental community selected by the Crow Wing 
123.14 	County District 5 commissioner;
123.15 	(10) a designee of a local education organization selected by the Crosby-Ironton 
123.16 	School Board; 
123.17 	(11) a designee of one of the recreation area user groups selected by the Cuyuna 
123.18 	Range Chamber of Commerce; and 
123.19 	(12) a member of the Cuyuna Country Heritage Preservation Society.

123.20 	Sec. 6. Minnesota Statutes 2008, section 89A.08, subdivision 1, is amended to read:
123.21 		Subdivision 1.Establishment. The council shall appoint a Forest Resources 
123.22 	Research Advisory Committee. Notwithstanding section 15.059, the council does not 
123.23 	expire. The committee must consist of representatives of:
123.24 	(1) the College of Natural Resources, University of Minnesota;
123.25 	(2) the Natural Resources Research Institute, University of Minnesota;
123.26 	(3) the department;
123.27 	(4) the North Central Forest Experiment Station, United States Forest Service; and
123.28 	(5) other organizations as deemed appropriate by the council.

123.29 	Sec. 7. Minnesota Statutes 2008, section 115C.08, subdivision 4, is amended to read:
123.30 		Subd. 4.Expenditures. (a) Money in the fund may only be spent:
123.31 	(1) to administer the petroleum tank release cleanup program established in this 
123.32 	chapter;
124.1 	(2) for agency administrative costs under sections 116.46 to 116.50, sections 
124.2 	115C.03 to 115C.06, and costs of corrective action taken by the agency under section 
124.3 	115C.03, including investigations; 
124.4 	(3) for costs of recovering expenses of corrective actions under section 115C.04; 
124.5 	(4) for training, certification, and rulemaking under sections 116.46 to 116.50; 
124.6 	(5) for agency administrative costs of enforcing rules governing the construction, 
124.7 	installation, operation, and closure of aboveground and underground petroleum storage 
124.8 	tanks;
124.9 	(6) for reimbursement of the environmental response, compensation, and compliance 
124.10 	account under subdivision 5 and section 115B.26, subdivision 4; 
124.11 	(7) for administrative and staff costs as set by the board to administer the petroleum 
124.12 	tank release program established in this chapter;
124.13 	(8) for corrective action performance audits under section 115C.093; 
124.14 	(9) for contamination cleanup grants, as provided in paragraph (c); and
124.15 	(10) to assess and remove abandoned underground storage tanks under section 
124.16 	115C.094 and, if a release is discovered, to pay for the specific consultant and contractor 
124.17 	services costs necessary to complete the tank removal project, including, but not limited 
124.18 	to, excavation soil sampling, groundwater sampling, soil disposal, and completion of an 
124.19 	excavation report. 
124.20 	(b) Except as provided in paragraph (c), money in the fund is appropriated to the 
124.21 	board to make reimbursements or payments under this section.
124.22 	(c) $6,200,000 is annually appropriated from the fund to the commissioner of 
124.23 	employment and economic development for contamination cleanup grants under section 
124.24 	116J.554. Of this amount, the commissioner may spend up to $180,000 annually for 
124.25 	administration of the contamination cleanup grant program. The appropriation does not 
124.26 	cancel and is available until expended. The appropriation shall not be withdrawn from 
124.27 	the fund nor the fund balance reduced until the funds are requested by the commissioner 
124.28 	of employment and economic development. The commissioner shall schedule requests 
124.29 	for withdrawals from the fund to minimize the necessity to impose the fee authorized by 
124.30 	subdivision 2. Unless otherwise provided, the appropriation in this paragraph may be 
124.31 	used for: 
124.32 	(1) project costs at a qualifying site if a portion of the cleanup costs are attributable 
124.33 	to petroleum contamination or new and used tar and tar-like substances, including but not 
124.34 	limited to bitumen and asphalt, but excluding bituminous or asphalt pavement, that consist 
124.35 	primarily of hydrocarbons and are found in natural deposits in the earth or are distillates, 
125.1 	fractions, or residues from the processing of petroleum crude or petroleum products as 
125.2 	defined in section 296A.01; and
125.3 	(2) the costs of performing contamination investigation if there is a reasonable basis 
125.4 	to suspect the contamination is attributable to petroleum or new and used tar and tar-like 
125.5 	substances, including but not limited to bitumen and asphalt, but excluding bituminous or 
125.6 	asphalt pavement, that consist primarily of hydrocarbons and are found in natural deposits 
125.7 	in the earth or are distillates, fractions, or residues from the processing of petroleum crude 
125.8 	or petroleum products as defined in section 296A.01.

125.9 	Sec. 8. [137.701] UNIVERSITY NEIGHBORHOOD DEVELOPMENT.
125.10 		Subdivision 1.Purpose. In order to support and create an environment surrounding 
125.11 	the campuses of the University of Minnesota in Minneapolis and Duluth, that is conducive 
125.12 	to the purposes of higher education and a vital community, the Board of Regents and 
125.13 	the cities of Minneapolis and Duluth shall create with the Marcy Holmes, Southeast 
125.14 	Como, Prospect Park, and Cedar-Riverside neighborhood and business associations, an 
125.15 	appropriate organization so that they cooperate in the development of those neighborhoods. 
125.16 	The organization shall include representatives from the Marcy Holmes, Southeast Como, 
125.17 	Prospect Park, and Cedar-Riverside neighborhood and business associations. The purpose 
125.18 	of the organization is to improve the university's Minneapolis and Duluth campus area 
125.19 	neighborhoods including, but not limited to, the following:
125.20 	(1) providing and supporting the development of good quality university 
125.21 	neighborhood housing, including housing for students, faculty, employees, alumni, and 
125.22 	others who may wish to live in the university area neighborhoods;
125.23 	(2) encouraging and assisting university faculty, staff, students, and others to live in 
125.24 	the neighborhood as long-term residents;
125.25 	(3) supporting and assisting appropriate business development in commercial areas 
125.26 	of the neighborhood; and
125.27 	(4) cooperating and coordinating planning and development in all matters affecting 
125.28 	the neighborhood with local government, businesses, residents, and other stakeholders in 
125.29 	the neighborhood.
125.30 		Subd. 2.Membership. The organization created by the Board of Regents and 
125.31 	the city of Minneapolis shall include representatives from the organizations currently 
125.32 	represented on the University District Alliance Steering Committee. The Board of 
125.33 	Regents and the city of Duluth may establish the membership of an organization for the 
125.34 	purposes of subdivision 1.
126.1 		Subd. 3.Report. The Board of Regents and the cities of Minneapolis and Duluth 
126.2 	shall report by January 15, 2010, to the chairs and ranking minority members of the 
126.3 	legislative committees with primary jurisdiction over higher education policy and 
126.4 	finance and economic development and housing finance on the status and activities of 
126.5 	the organization that is created.

126.6 	Sec. 9. Minnesota Statutes 2008, section 154.001, is amended to read:
126.7 	154.001 BOARD OF BARBER AND COSMETOLOGIST EXAMINERS 
126.8 	CREATED; TERMS.
126.9 		Subdivision 1.Definition. For the purposes of this chapter, "board" means the 
126.10 	Board of Barber Examiners.
126.11 		Subd. 2.Board of Barber Examiners. (a) A Board of Barber and Cosmetologist
126.12 	Examiners is established to consist of three barber members, three cosmetologist members, 
126.13 	and one public member, as defined in section 214.02, appointed by the governor.
126.14 	(b) The barber members shall be persons who have practiced as registered barbers in 
126.15 	this state for at least five years immediately prior to their appointment; shall be graduates 
126.16 	from the 12th grade of a high school or have equivalent education, and shall have 
126.17 	knowledge of the matters to be taught in registered barber schools, as set forth in section 
126.18 	154.07. One of the barber members shall be a member of, or recommended by, a union of 
126.19 	journeymen barbers that has existed at least two years, and one barber member shall be a 
126.20 	member of, or recommended by, a professional organization of barbers.
126.21 	(c) All cosmetologist members must be currently licensed in the field of cosmetology 
126.22 	in Minnesota, have practiced in the licensed occupation for at least five years immediately 
126.23 	prior to their appointment, be graduates from the 12th grade of high school or have 
126.24 	equivalent education, and have knowledge of sections 154.40 to 154.54  and Minnesota 
126.25 	Rules, chapters 2642 and 2644. The cosmetologist members shall be members of, 
126.26 	or recommended by, a professional organization of cosmetologists, manicurists, or 
126.27 	estheticians.
126.28 		(d)Subd. 3.Membership terms.  (a) Membership terms, compensation of 
126.29 	members, removal of members, the filling of membership vacancies, and fiscal year and 
126.30 	reporting requirements shall be as provided in sections 214.07 to 214.09. The provision of 
126.31 	staff, administrative services and office space; the review and processing of complaints; 
126.32 	the setting of board fees; and other provisions relating to board operations shall be as 
126.33 	provided in chapter 214.
126.34 	(e) (b) Members appointed to fill vacancies caused by death, resignation, or removal 
126.35 	shall serve during the unexpired term of their predecessors.
127.1 	(f) The barber members of the board shall separately oversee administration, 
127.2 	enforcement, and regulation of, and adoption of rules under, sections 154.001, 154.002, 
127.3 	154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26. The cosmetologist 
127.4 	members of the board shall separately oversee administration, enforcement, and regulation 
127.5 	of, and adoption of rules under, sections 154.40 to 154.54. Staff hired by the board, 
127.6 	including inspectors, shall serve both professions.

127.7 	Sec. 10. Minnesota Statutes 2008, section 154.003, is amended to read:
127.8 	154.003 FEES.
127.9 	(a) The fees collected, as required in this chapter, chapter 214, and the rules of the 
127.10 	board, shall be paid to the executive secretary of the board. The executive secretary shall 
127.11 	deposit the fees in the general fund in the state treasury.
127.12 	(b) The board shall charge the following fees:
127.13 	(1) examination and certificate, registered barber, $65;
127.14 	(2) examination and certificate, apprentice, $60;
127.15 	(3) examination, instructor, $160;
127.16 	(4) certificate, instructor, $45;
127.17 	(5) temporary teacher or apprentice permit, $50 $60;
127.18 	(6) renewal of license, registered barber, $50 $60;
127.19 	(7) renewal of license, apprentice, $45 $50;
127.20 	(8) renewal of license, instructor, $60;
127.21 	(9) renewal of temporary teacher permit, $35 $45;
127.22 	(10) student permit, $25;
127.23 	(11) initial shop registration, $60 $65;
127.24 	(12) initial school registration, $1,010;
127.25 	(13) renewal shop registration, $60 $65;
127.26 	(14) renewal school registration, $260;
127.27 	(15) restoration of registered barber license, $75;
127.28 	(16) restoration of apprentice license, $70;
127.29 	(17) restoration of shop registration, $85;
127.30 	(18) change of ownership or location, $35;
127.31 	(19) duplicate license, $20; 
127.32 	(20) home study course, $75; and
127.33 	(21) registration of hair braiders, $20 per year.

128.1 	Sec. 11. Minnesota Statutes 2008, section 154.19, is amended to read:
128.2 	154.19 VIOLATIONS.
128.3 	Each of the following constitutes a misdemeanor:
128.4 	(1) The violation of any of the provisions of section 154.01; 
128.5 	(2) Permitting any person in one's employ, supervision, or control to practice as a 
128.6 	registered barber or registered apprentice unless that person has a certificate of registration 
128.7 	as a registered barber or registered apprentice;
128.8 	(3) Obtaining or attempting to obtain a certificate of registration for money other 
128.9 	than the required fee, or any other thing of value, or by fraudulent misrepresentation;
128.10 	(4) Practicing or attempting to practice by fraudulent misrepresentation;
128.11 	(5) The willful failure to display a certificate of registration as required by section 
128.12 	154.14; 
128.13 	(6) The use of any room or place for barbering which is also used for residential or 
128.14 	business purposes, except the sale of hair tonics, lotions, creams, cutlery, toilet articles, 
128.15 	cigars, tobacco, candies in original package, and such commodities as are used and sold in 
128.16 	barber shops, and except that shoeshining and an agency for the reception and delivery of 
128.17 	laundry, or either, may be conducted in a barber shop without the same being construed 
128.18 	as a violation of this section, unless a substantial partition of ceiling height separates the 
128.19 	portion used for residential or business purposes, and where a barber shop is situated in a 
128.20 	residence, poolroom, confectionery, store, restaurant, garage, clothing store, liquor store, 
128.21 	hardware store, or soft drink parlor, there must be an outside entrance leading into the 
128.22 	barber shop independent of any entrance leading into such business establishment, except 
128.23 	that this provision as to an outside entrance shall not apply to barber shops in operation at 
128.24 	the time of the passage of this section and except that a barber shop and beauty parlor may 
128.25 	be operated in conjunction, without the same being separated by partition of ceiling height;
128.26 	(7) The failure or refusal of any barber or other person in charge of any barber shop, 
128.27 	or any person in barber schools or colleges doing barber service work, to use separate 
128.28 	and clean towels for each customer or patron, or to discard and launder each towel after 
128.29 	once being used;
128.30 	(8) The failure or refusal by any barber or other person in charge of any barber shop 
128.31 	or barber school or barber college to supply clean hot and cold water in such quantities as 
128.32 	may be necessary to conduct such shop, or the barbering service of such school or college, 
128.33 	in a sanitary manner, or the failure or refusal of any such person to have water and sewer 
128.34 	connections from such shop, or barber school or college, with municipal water and sewer 
128.35 	systems where the latter are available for use, or the failure or refusal of any such person 
128.36 	to maintain a receptacle for hot water of a capacity of not less than five gallons;
129.1 	(9) For the purposes of sections 154.001, 154.002, 154.003, 154.01 to 154.161, 
129.2 	154.19 to 154.21, and 154.24  to 154.26 this section, barbers, students, apprentices, or 
129.3 	the proprietor or manager of a barber shop, or barber school or barber college, shall be 
129.4 	responsible for all violations of the sanitary provisions of sections 154.001, 154.002, 
129.5 	154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26 this section, and if 
129.6 	any barber shop, or barber school or barber college, upon inspection, shall be found to be 
129.7 	in an unsanitary condition, the person making such inspection shall immediately issue an 
129.8 	order to place the barber shop, or barber school, or barber college, in a sanitary condition, 
129.9 	in a manner and within a time satisfactory to the Board of Barber and Cosmetologist 
129.10 	Examiners, and for the failure to comply with such order the board shall immediately 
129.11 	file a complaint for the arrest of the persons upon whom the order was issued, and any 
129.12 	registered barber who shall fail to comply with the rules adopted by the Board of Barber 
129.13 	and Cosmetologist Examiners, with the approval of the state commissioner of health, or 
129.14 	the violation or commission of any of the offenses described in this section and section 
129.15 	154.16 154.161, subdivision 4, paragraph (a), clauses (1), (2), (3), and (4), (5), (6), (7), 
129.16 	(8), (9) to (12), and of clauses (1), (2), (3), (4), (5), (6), (7), (8), and (9) of this section,
129.17 	shall be fined not less than $10 or imprisoned for ten days and not more than $100 or 
129.18 	imprisoned for 90 days. 

129.19 	Sec. 12. Minnesota Statutes 2008, section 154.44, subdivision 1, is amended to read:
129.20 		Subdivision 1.Schedule. The fee schedule for licensees is as follows:
129.21 	(a) Three-year license fees:
129.22 	(1) cosmetologist, manicurist, esthetician, $90 for each initial license, and $60 for 
129.23 	each renewal;
129.24 	(2) instructor, manager, $120 for each initial license, and $90 for each renewal;
129.25 	(3) salon, $130 for each initial license, and $100 for each renewal; and
129.26 	(4) school, $1,500.
129.27 	(b) Penalties:
129.28 	(1) reinspection fee, variable; and
129.29 	(2) manager and owner with lapsed practitioner, $25 $150 each;
129.30 	(3) expired cosmetologist, manicurist, esthetician, manager, school manager, and 
129.31 	instructor license, $45; and
129.32 	(4) expired salon or school license, $50.
129.33 	(c) Administrative fees:
129.34 	(1) certificate of identification, $20; and
129.35 	(2) school original application, $150;
130.1 	(3) name change, $20;
130.2 	(4) letter of license verification, $30;
130.3 	(5) duplicate license, $20;
130.4 	(6) processing fee, $10; and
130.5 	(7) special event permit, $75 per year.
130.6 	(d) All fees established in this subdivision must be paid to the executive secretary 
130.7 	of the board. The executive secretary of the board shall deposit the fees in the general 
130.8 	fund in the state treasury.

130.9 	Sec. 13. Minnesota Statutes 2008, section 154.51, is amended to read:
130.10 	154.51 ENFORCEMENT.
130.11 		Subdivision 1.Proceedings. The provisions of section 154.161 apply to the 
130.12 	administration of sections 154.40 to 154.54. If the board, or a complaint committee if 
130.13 	authorized by the board, has a reasonable basis for believing that a person has engaged in 
130.14 	or is about to engage in a violation of a statute, rule, or order that the board has adopted 
130.15 	or issued or is empowered to enforce, the board or complaint committee may proceed as 
130.16 	provided in subdivision 2 or 3. Except as otherwise provided in this section, all hearings 
130.17 	must be conducted in accordance with the Administrative Procedure Act.
130.18 		Subd. 2.Legal actions. (a) When necessary to prevent an imminent violation of a 
130.19 	statute, rule, or order that the board has adopted or issued or is empowered to enforce, the 
130.20 	board, or a complaint committee if authorized by the board, may bring an action in the 
130.21 	name of the state in the District Court of Ramsey County in which jurisdiction is proper to 
130.22 	enjoin the act or practice and to enforce compliance with the statute, rule, or order. On a 
130.23 	showing that a person has engaged in or is about to engage in an act or practice that 
130.24 	constitutes a violation of a statute, rule, or order that the board has adopted or issued 
130.25 	or is empowered to enforce, the court shall grant a permanent or temporary injunction, 
130.26 	restraining order, or other appropriate relief.
130.27 	(b) For purposes of injunctive relief under this subdivision, irreparable harm exists 
130.28 	when the board shows that a person has engaged in or is about to engage in an act or 
130.29 	practice that constitutes violation of a statute, rule, or order that the board has adopted or 
130.30 	issued or is empowered to enforce.
130.31 	(c) Injunctive relief granted under paragraph (a) does not relieve an enjoined person 
130.32 	from criminal prosecution by a competent authority, or from action by the board under 
130.33 	subdivision 3, 4, 5, or 6 with respect to the person's license or registration, or application 
130.34 	for examination, license, registration, or renewal.
131.1 		Subd. 3.Cease and desist orders. (a) The board, or complaint committee if 
131.2 	authorized by the board, may issue and have served upon an unlicensed or unregistered 
131.3 	person, or a holder of a license or registration, an order requiring the person to cease and 
131.4 	desist from an act or practice that constitutes a violation of a statute, rule, or order that 
131.5 	the board has adopted or issued or is empowered to enforce. The order must (1) give 
131.6 	reasonable notice of the rights of the person named in the order to request a hearing, 
131.7 	and (2) state the reasons for the entry of the order. No order may be issued under this 
131.8 	subdivision until an investigation of the facts has been conducted under section 214.10. 
131.9 	(b) Service of the order under this subdivision is effective when the order is 
131.10 	personally served on the person or counsel of record, or served by certified mail to the 
131.11 	most recent address provided to the board for the person or counsel of record.
131.12 	(c) The board must hold a hearing under this subdivision not later than 30 days after 
131.13 	the board receives the request for the hearing, unless otherwise agreed between the board, 
131.14 	or complaint committee if authorized by the board, and the person requesting the hearing.
131.15 	(d) Notwithstanding any rule to the contrary, the administrative law judge must issue 
131.16 	a report within 30 days of the close of the contested case hearing. Within 30 days after 
131.17 	receiving the report and subsequent exceptions and argument, the board shall issue a 
131.18 	further order vacating, modifying, or making permanent the cease and desist order. If no 
131.19 	hearing is requested within 30 days of service of the order, the order becomes final and 
131.20 	remains in effect until modified or vacated by the board.
131.21 		Subd. 4.Licensing and registration actions. (a) With respect to a person who is a 
131.22 	holder of or applicant for a license or registration under this chapter, the board may by 
131.23 	order deny, refuse to renew, suspend, temporarily suspend, or revoke the application, 
131.24 	license, or registration, censure or reprimand the person, refuse to permit the person to 
131.25 	sit for examination, or refuse to release the person's examination grades, if the board 
131.26 	finds that such an order is in the public interest and that, based on a preponderance of the 
131.27 	evidence presented, the person has: 
131.28 	(1) violated a statute, rule, or order that the board has adopted or issued or is 
131.29 	empowered to enforce;
131.30 	(2) engaged in conduct or acts that are fraudulent, deceptive, or dishonest, whether 
131.31 	or not the conduct or acts relate to the practice of a profession regulated by this chapter, if 
131.32 	the fraudulent, deceptive, or dishonest conduct or acts reflect adversely on the person's 
131.33 	ability or fitness to engage in the practice of the profession;
131.34 	(3) engaged in conduct or acts that constitute malpractice, are negligent, demonstrate 
131.35 	incompetence, or are otherwise in violation of the standards in the rules of the board, 
131.36 	where the conduct or acts relate to the practice of a profession regulated by this chapter;
132.1 	(4) employed fraud or deception in obtaining a license, registration, renewal, or 
132.2 	reinstatement, or in passing all or a portion of the examination;
132.3 	(5) had a license, registration, right to examine, or other similar authority revoked in 
132.4 	another jurisdiction;
132.5 	(6) failed to meet any requirement for issuance or renewal of the person's license 
132.6 	or registration;
132.7 	(7) practiced in a profession regulated by this chapter while having an infectious or 
132.8 	contagious disease;
132.9 	(8) advertised by means of false or deceptive statements;
132.10 	(9) demonstrated intoxication or indulgence in the use of drugs, including but not 
132.11 	limited to narcotics as defined in section 152.01 or in United States Code, title 26, section 
132.12 	4731, barbiturates, amphetamines, Benzedrine, Dexedrine, or other sedatives, depressants, 
132.13 	stimulants, or tranquilizers; 
132.14 	(10) demonstrated unprofessional conduct or practice;
132.15 	(11) permitted an employee or other person under the person's supervision or control 
132.16 	to practice as a licensee, registrant, or instructor of a profession regulated by this chapter 
132.17 	unless that person has (i) a current license or registration issued by the board, (ii) a 
132.18 	temporary apprentice permit, or (iii) a temporary permit as an instructor of a profession 
132.19 	regulated by the board;
132.20 	(12) practices, offered to practice, or attempted to practice by misrepresentation;
132.21 	(13) failed to display a license or registration as required by rules adopted by the 
132.22 	board; 
132.23 	(14) used any room or place of practice of a profession regulated by the board that 
132.24 	is also used for any other purpose, or used any room or place of practice of a profession 
132.25 	regulated by the board that violates the board's rules governing sanitation;
132.26 	(15) failed to use separate and clean towels for each customer or patron, or to discard 
132.27 	and launder each towel after being used once;
132.28 	(16) in the case of a licensee, registrant, or other person in charge of any school or 
132.29 	place of practice of a profession regulated by the board, (i) failed to supply in a sanitary 
132.30 	manner clean hot and cold water in quantities necessary to conduct the service or practice 
132.31 	of the profession regulated by the board, (ii) failed to have water and sewer connections 
132.32 	from the place of practice or school with municipal water and sewer systems where they 
132.33 	are available for use, or (iii) failed or refused to maintain a receptacle for hot water of a 
132.34 	capacity of at least five gallons;
133.1 	(17) refused to permit the board to make an inspection permitted or required by this 
133.2 	chapter, or failed to provide the board or the attorney general on behalf of the board 
133.3 	with any documents or records they request; 
133.4 	(18) failed promptly to renew a license or registration when remaining in practice, 
133.5 	pay the required fee, or issue a worthless check;
133.6 	(19) failed to supervise an apprentice, or permitted the practice of a profession 
133.7 	regulated by the board by a person not registered or licensed with the board or not holding 
133.8 	a temporary permit;
133.9 	(20) refused to serve a customer because of race, color, creed, religion, disability, 
133.10 	national origin, or sex;
133.11 	(21) failed to comply with a provision of chapter 141 or a provision of another 
133.12 	chapter that relates to schools; or
133.13 	(22) with respect to temporary suspension orders, has committed an act, engaged 
133.14 	in conduct, or committed practices that the board, or complaint committee if authorized 
133.15 	by the board, has determined may result or may have resulted in an immediate threat 
133.16 	to the public.
133.17 	(b) In lieu of or in addition to any remedy under paragraph (a), the board may, as a 
133.18 	condition of continued licensure or registration, termination of suspension, reinstatement 
133.19 	of licensure or registration, examination, or release of examination results, require that 
133.20 	the person:
133.21 	(1) submit to a quality review of the person's ability, skills, or quality of work, 
133.22 	conducted in a manner and by a person or entity that the board determines; or
133.23 	(2) completes to the board's satisfaction continuing education as the board requires.
133.24 	(c) Service of an order under this subdivision is effective if the order is served in 
133.25 	person, or is served by certified mail to the most recent address provided to the board by 
133.26 	the licensee, registrant, applicant, or counsel of record. The order must state the reason 
133.27 	for the entry of the order.
133.28 	(d) Except as provided in subdivision 5, paragraph (c), all hearings under this 
133.29 	subdivision must be conducted in accordance with the Administrative Procedure Act.
133.30 		Subd. 5.Temporary suspension. (a) When the board, or complaint committee if 
133.31 	authorized by the board, issues a temporary suspension order, the suspension provided for 
133.32 	in the order is effective on service of a written copy of the order on the licensee, registrant, 
133.33 	or counsel of record. The order must specify the statute, rule, or order violated by the 
133.34 	licensee or registrant. The order remains in effect until the board issues a final order in the 
133.35 	matter after a hearing, or on agreement between the board and the licensee or registrant.
134.1 	(b) An order under this subdivision may (1) prohibit the licensee or registrant from 
134.2 	engaging in the practice of a profession regulated by the board in whole or in part, as the 
134.3 	facts require, and (2) condition the termination of the suspension on compliance with a 
134.4 	statute, rule, or order that the board has adopted or issued or is empowered to enforce. 
134.5 	The order must state the reasons for entering the order and must set forth the right to 
134.6 	a hearing as provided in this subdivision.
134.7 	(c) Within ten days after service of an order under this subdivision, the licensee or 
134.8 	registrant may request a hearing in writing. The board must hold a hearing before its own 
134.9 	members within five working days of the request for a hearing. The sole issue at the 
134.10 	hearing must be whether there is a reasonable basis to continue, modify, or terminate the 
134.11 	temporary suspension. The hearing is not subject to the Administrative Procedure Act. 
134.12 	Evidence presented to the board or the licensee or registrant may be in affidavit form only. 
134.13 	The licensee, registrant, or counsel of record may appear for oral argument.
134.14 	(d) Within five working days after the hearing, the board shall issue its order and, if 
134.15 	the order continues the suspension, shall schedule a contested case hearing within 30 days 
134.16 	of the issuance of the order. Notwithstanding any rule to the contrary, the administrative 
134.17 	law judge shall issue a report within 30 days after the closing of the contested case hearing 
134.18 	record. The board shall issue a final order within 30 days of receiving the report.
134.19 		Subd. 6.Violations; penalties; costs. (a) The board may impose a civil penalty of 
134.20 	up to $2,000 per violation on a person who violates a statute, rule, or order that the board 
134.21 	has adopted or issued or is empowered to enforce.
134.22 	(b) In addition to any penalty under paragraph (a), the board may impose a fee 
134.23 	to reimburse the board for all or part of the cost of (1) the proceedings resulting in 
134.24 	disciplinary action authorized under this section, (2) the imposition of a civil penalty under 
134.25 	paragraph (a), or (3) the issuance of a cease and desist order. The board may impose a 
134.26 	fee under this paragraph when the board shows that the position of the person who has 
134.27 	violated a statute, rule, or order that the board has adopted or issued or is empowered to 
134.28 	enforce is not substantially justified unless special circumstances make such a fee unjust, 
134.29 	notwithstanding any rule to the contrary. Costs under this paragraph include, but are not 
134.30 	limited to, the amount paid by the board for services from the Office of Administrative 
134.31 	Hearings, attorney fees, court reporter costs, witness costs, reproduction of records, board 
134.32 	members' compensation, board staff time, and expenses incurred by board members and 
134.33 	staff.
134.34 	(c) All hearings under this subdivision must be conducted in accordance with the 
134.35 	Administrative Procedure Act.
135.1 		Subd. 7.Reinstatement. Upon petition of the former or suspended licensee or 
135.2 	registrant, the board may reinstate a suspended, revoked, or surrendered license or 
135.3 	registration. The board may in its sole discretion place any conditions on reinstatement of 
135.4 	a suspended, revoked, or surrendered license or registration that it finds appropriate and 
135.5 	necessary to ensure that the purposes of this chapter are met. No license or registration 
135.6 	may be reinstated until the former licensee or registrant has completed at least one-half 
135.7 	of the suspension period. 

135.8 	Sec. 14. [155A.20] BOARD OF COSMETOLOGIST EXAMINERS CREATED; 
135.9 	TERMS.
135.10 	(a) A Board of Cosmetologist Examiners is established to consist of three 
135.11 	cosmetologist members and one public member, as defined in section 214.02, appointed 
135.12 	by the governor.
135.13 	(b) All cosmetologist members must be currently licensed in the field of cosmetology, 
135.14 	manicuring, or esthetology, in Minnesota, have practiced in the licensed occupation for 
135.15 	at least five years immediately prior to their appointment, be graduates from grade 12 
135.16 	of high school or have equivalent education, and have knowledge of sections 154.40
135.17 	to 154.54  and Minnesota Rules, chapters 2105 and 2110. The cosmetologist members 
135.18 	shall be members of, or recommended by, a professional organization of cosmetologists, 
135.19 	manicurists, or estheticians.
135.20 	(c) Membership terms, compensation of members, removal of members, the filling 
135.21 	of membership vacancies, and fiscal year and reporting requirements shall be as provided 
135.22 	in sections 214.07 to 214.09. The provision of staff, administrative services, and office 
135.23 	space; the review and processing of complaints; the setting of board fees; and other 
135.24 	provisions relating to board operations shall be as provided in chapter 214.
135.25 	(d) Members appointed to fill vacancies caused by death, resignation, or removal 
135.26 	shall serve during the unexpired term of their predecessors.

135.27 	Sec. 15. [155A.21] SPECIAL EVENTS.
135.28 		Subdivision 1.Special event services. For purposes of this section, "special event 
135.29 	services" means services rendered for compensation and performed at a location other 
135.30 	than a licensed salon. These services include, but are not limited to, the practice of 
135.31 	nonpermanent manipulation of the hair, such as styling, setting, reinforcing, or extending 
135.32 	the hair; the application of nail polish to the nails; and the application of makeup to the 
135.33 	skin.
136.1 		Subd. 2.Special event services permit. (a) No person shall perform special event 
136.2 	services without first obtaining a special event services permit from the board. To be 
136.3 	eligible for a special event services permit, a person must have a valid manager's license 
136.4 	issued by the board under the authority of section 154.46.
136.5 	(b) An individual applying for a special event services permit must submit to the 
136.6 	board, on a form approved by the board, an application for a special event services permit.
136.7 	(c) An individual providing services under a special event services permit may only 
136.8 	perform services within the individual's specific field of licensure and as defined by the 
136.9 	permit. The services provided pursuant to the special event services permit must comply 
136.10 	with the requirements of this chapter and all federal, state, and local laws.

136.11 	Sec. 16. Minnesota Statutes 2008, section 160.16, is amended by adding a subdivision 
136.12 	to read:
136.13 		Subd. 4.Business signs. A road or transit authority, before entering into a contract 
136.14 	for construction, reconstruction, or improvement of a street or highway, shall identify any 
136.15 	business that will experience access, parking, or visibility impacts during construction. 
136.16 	The road or transit authority shall consult with affected businesses before and during 
136.17 	construction to plan signage that will mitigate adverse effects on businesses during 
136.18 	project construction.

136.19 	Sec. 17. [161.2415] MITIGATION OF TRANSPORTATION CONSTRUCTION 
136.20 	IMPACTS ON BUSINESS.
136.21 		Subdivision 1.Definition. For the purposes of this section, "project" means road 
136.22 	work to maintain, construct, or improve a street or highway, or for a transit improvement, 
136.23 	if the work is anticipated by the road or transit authority to impair road access to one or 
136.24 	more business establishments for a minimum period of one month.
136.25 		Subd. 2.Business liaison. (a) Before the beginning of project construction work, 
136.26 	the road or transit authority shall identify businesses that are adjacent to the construction 
136.27 	area or whose access to the business premises or parking will be impaired by the project 
136.28 	and designate an individual to serve as business liaison between the road or transit 
136.29 	authority and the affected businesses.
136.30 	(b) The business liaison shall provide information to the identified businesses, 
136.31 	before and during construction, concerning project duration and timetables, lane and 
136.32 	road closures, detours, access impacts, customer parking impacts, visibility, noise, dust, 
136.33 	vibration, and public participation opportunities.

137.1 	Sec. 18. Minnesota Statutes 2008, section 178.02, subdivision 2, is amended to read:
137.2 		Subd. 2.Terms. The board shall not expire.and The terms, compensation, and 
137.3 	removal of appointed members shall be as provided in section 15.059. 

137.4 	Sec. 19. Minnesota Statutes 2008, section 181.723, is amended by adding a subdivision 
137.5 	to read:
137.6 		Subd. 17.Advisory task force on employee misclassification. (a) The 
137.7 	commissioner of the Department of Labor and Industry shall appoint an advisory task 
137.8 	force on employee misclassification and "off-the-books" payment of workers in the 
137.9 	construction industry. The advisory task force shall consist of the following members:
137.10 	(1) the commissioner of the Department of Labor and Industry or designee;
137.11 	(2) the commissioner of the Department of Employment and Economic Development 
137.12 	or designee;
137.13 	(3) the commissioner of the Department of Revenue or designee;
137.14 	(4) the attorney general or designee;
137.15 	(5) a representative appointed by the Minnesota County Attorneys Association;
137.16 	(6) two members who are members of a labor organization that represents members 
137.17 	who perform public or private sector commercial or residential building construction 
137.18 	or improvement services;
137.19 	(7) one member who is a general contractor or a representative of general contractors 
137.20 	that performs public or private sector commercial building construction or improvement 
137.21 	services;
137.22 	(8) one member who is a general contractor or a representative of general contractors 
137.23 	that performs public or private sector residential building construction or improvement 
137.24 	services;
137.25 	(9) one member who is a subcontractor or a representative of subcontractors that 
137.26 	performs public or private sector commercial building construction or improvement 
137.27 	services;
137.28 	(10) one member who is a subcontractor or a representative of subcontractors 
137.29 	that performs public or private sector residential building construction or improvement 
137.30 	services; and 
137.31 	(11) up to three additional members who perform public or private sector commercial 
137.32 	or residential building and construction or improvement services including one member 
137.33 	who is an independent contractor with a current independent contractor certificate; one 
137.34 	member who is a limited liability corporation; and one member who is an employee.
138.1 	The commissioner of the Department of Labor and Industry or designee shall serve 
138.2 	as the advisory task force chair. The advisory task force shall meet on a regular basis.
138.3 	(b) The advisory task force shall have the following duties:
138.4 	(1) advise the commissioner on the development, implementation, and coordination 
138.5 	of enforcement activities, including information sharing and joint investigation and 
138.6 	prosecution of persons who violate laws under the jurisdiction of the Department of 
138.7 	Labor and Industry, Department of Employment and Economic Development, and the 
138.8 	Department of Revenue; and
138.9 	(2) advise the commissioner on the development and adoption of necessary 
138.10 	legislation, regulations, policies, and procedures.
138.11 	(c) The advisory task force shall expire and the terms, compensation, and removal of 
138.12 	members shall be as provided in section 15.059, subdivision 6.
138.13 	(d) The advisory task force shall, prior to its expiration, report to the legislature a 
138.14 	summary of the advice it provided to the commissioner.

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

138.16 	Sec. 20. Minnesota Statutes 2008, section 182.656, subdivision 3, is amended to read:
138.17 		Subd. 3.Meetings; expiration of council. A majority of the council members 
138.18 	constitutes a quorum. The council shall meet at the call of its chair, or upon request of any 
138.19 	six members. A tape recording of the meeting with the tape being retained for a one-year 
138.20 	period will be available upon the request and payment of costs to any interested party. The 
138.21 	council shall expire and the terms, compensation, and removal of members shall be as 
138.22 	provided in section 15.059, except that the council shall not expire before June 30, 2003.  

138.23 	Sec. 21. Minnesota Statutes 2008, section 214.01, subdivision 3, is amended to read:
138.24 		Subd. 3.Non-health-related licensing board. "Non-health-related licensing 
138.25 	board" means the Board of Teaching established pursuant to section 122A.07, the Board 
138.26 	of Barber Examiners established pursuant to section 154.001, the Board of Cosmetologist 
138.27 	Examiners established pursuant to section 155A.20, the Board of Assessors established 
138.28 	pursuant to section 270.41, the Board of Architecture, Engineering, Land Surveying, 
138.29 	Landscape Architecture, Geoscience, and Interior Design established pursuant to section 
138.30 	326.04, the Private Detective and Protective Agent Licensing Board established pursuant 
138.31 	to section 326.33, the Board of Accountancy established pursuant to section 326A.02, and 
138.32 	the Peace Officer Standards and Training Board established pursuant to section 626.841. 

138.33 	Sec. 22. Minnesota Statutes 2008, section 214.04, subdivision 3, is amended to read:
139.1 		Subd. 3.Officers; staff. The executive director of each health-related board and 
139.2 	the executive secretary of each non-health-related board shall be the chief administrative 
139.3 	officer for the board but shall not be a member of the board. The executive director or 
139.4 	executive secretary shall maintain the records of the board, account for all fees received 
139.5 	by it, supervise and direct employees servicing the board, and perform other services as 
139.6 	directed by the board. The executive directors, executive secretaries, and other employees 
139.7 	of the following boards shall be hired by the board, and the executive directors or executive 
139.8 	secretaries shall be in the unclassified civil service, except as provided in this subdivision:
139.9 	(1) Dentistry;
139.10 	(2) Medical Practice;
139.11 	(3) Nursing;
139.12 	(4) Pharmacy;
139.13 	(5) Accountancy;
139.14 	(6) Architecture, Engineering, Land Surveying, Landscape Architecture, 
139.15 	Geoscience, and Interior Design;
139.16 	(7) Barber Examiners;
139.17 	(8) Cosmetology Cosmetologist Examiners;
139.18 	(9) Teaching;
139.19 	(10) Peace Officer Standards and Training;
139.20 	(11) Social Work;
139.21 	(12) Marriage and Family Therapy;
139.22 	(13) Dietetics and Nutrition Practice;
139.23 	(14) Licensed Professional Counseling; and
139.24 	(15) Combative Sports Commission.
139.25 	The executive directors or executive secretaries serving the boards are hired by those 
139.26 	boards and are in the unclassified civil service, except for part-time executive directors 
139.27 	or executive secretaries, who are not required to be in the unclassified service. Boards 
139.28 	not requiring full-time executive directors or executive secretaries may employ them on 
139.29 	a part-time basis. To the extent practicable, the sharing of part-time executive directors 
139.30 	or executive secretaries by boards being serviced by the same department is encouraged. 
139.31 	Persons providing services to those boards not listed in this subdivision, except executive 
139.32 	directors or executive secretaries of the boards and employees of the attorney general, are 
139.33 	classified civil service employees of the department servicing the board. To the extent 
139.34 	practicable, the commissioner shall ensure that staff services are shared by the boards 
139.35 	being serviced by the department. If necessary, a board may hire part-time, temporary 
139.36 	employees to administer and grade examinations.

140.1 	Sec. 23. Minnesota Statutes 2008, section 216B.1612, subdivision 2, is amended to 
140.2 	read:
140.3 		Subd. 2.Definitions. (a) The terms used in this section have the meanings given 
140.4 	them in this subdivision.
140.5 	(b) "C-BED tariff" or "tariff" means a community-based energy development tariff.
140.6 	(c) "Qualifying owner" means:
140.7 	(1) a Minnesota resident;
140.8 	(2) a limited liability  company that is organized under chapter 322B and that is made 
140.9 	up of members who are Minnesota residents;
140.10 	(3) a Minnesota nonprofit organization organized under chapter 317A;
140.11 	(4) a Minnesota cooperative association organized under chapter 308A or 308B, 
140.12 	including a rural electric cooperative association or a generation and transmission 
140.13 	cooperative on behalf of and at the request of a member distribution utility;
140.14 	(5) a Minnesota political subdivision or local government including, but not limited 
140.15 	to, a municipal electric utility, or a municipal power agency on behalf of and at the request 
140.16 	of a member distribution utility, the office of the commissioner of Iron Range resources 
140.17 	and rehabilitation, a county, statutory or home rule charter city, town, school district, or 
140.18 	public or private higher education institution or any other local or regional governmental 
140.19 	organization such as a board, commission, or association; or
140.20 	(6) a tribal council.
140.21 	(d) "Net present value rate" means a rate equal to the net present value of the 
140.22 	nominal payments to a project divided by the total expected energy production of the 
140.23 	project over the life of its power purchase agreement.
140.24 	(e) "Standard reliability criteria" means:
140.25 	(1) can be safely integrated into and operated within the utility's grid without causing 
140.26 	any adverse or unsafe consequences; and
140.27 	(2) is consistent with the utility's resource needs as identified in its most recent 
140.28 	resource plan submitted under section 216B.2422.
140.29 	(f) "Renewable" refers to a technology listed in section 216B.1691, subdivision 1, 
140.30 	paragraph (a).
140.31 	(g) "Community-based energy development project" or "C-BED project" means a 
140.32 	new renewable energy project that either as a stand-alone project or part of a partnership 
140.33 	under subdivision 8:
140.34 	(1) has no single qualifying owner owning more than 15 percent of a C-BED wind 
140.35 	energy project unless: (i) the C-BED wind energy project consists of only one or two 
141.1 	turbines; or (ii) the qualifying owner is a public entity listed under paragraph (c), clause 
141.2 	(5), that is not a municipal utility;
141.3 	(2) demonstrates that at least 51 percent of the gross revenues from a power 
141.4 	purchase agreement over the life of the project will flow to qualifying owners and other 
141.5 	local entities; and
141.6 	(3) has a resolution of support adopted by the county board of each county in which 
141.7 	the project is to be located, or in the case of a project located within the boundaries of a 
141.8 	reservation, the tribal council for that reservation.

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

141.10 	Sec. 24. Minnesota Statutes 2008, section 298.2213, subdivision 5, is amended to read:
141.11 		Subd. 5.Advisory committees. Before submission to the board of a proposal for a 
141.12 	project for expenditure of money appropriated under this section, the commissioner of Iron 
141.13 	Range resources and rehabilitation shall appoint a technical advisory committee consisting 
141.14 	of at least seven persons who are knowledgeable in areas related to the objectives of 
141.15 	the proposal. If the project involves investment in a scientific research proposal, at 
141.16 	least four of the committee members must be knowledgeable in the specific scientific 
141.17 	research area relating to the project. Members of the committees must be compensated as 
141.18 	provided in section 15.059, subdivision 3. The board shall not act on a proposal until it 
141.19 	has received the evaluation and recommendations of the technical advisory committee. 
141.20 	Notwithstanding section 15.059, the committees do not expire.

141.21 	Sec. 25. Minnesota Statutes 2008, section 298.2214, subdivision 1, is amended to read:
141.22 		Subdivision 1.Creation of committee; purpose. A committee is created to 
141.23 	advise the commissioner of Iron Range resources and rehabilitation on providing higher 
141.24 	education programs in the taconite assistance area defined in section 273.1341. The 
141.25 	committee is subject to section 15.059 but does not expire.  

141.26 	Sec. 26. Minnesota Statutes 2008, section 298.297, is amended to read:
141.27 	298.297 ADVISORY COMMITTEES.
141.28 	Before submission of a project to the board, the commissioner of Iron Range 
141.29 	resources and rehabilitation shall appoint a technical advisory committee consisting of 
141.30 	one or more persons who are knowledgeable in areas related to the objectives of the 
141.31 	proposal. Members of the committees shall be compensated as provided in section 15.059, 
141.32 	subdivision 3. The board shall not act on a proposal until it has received the evaluation 
142.1 	and recommendations of the technical advisory committee or until 15 days have elapsed 
142.2 	since the proposal was transmitted to the advisory committee, whichever occurs first. 
142.3 	Notwithstanding section 15.059, the committees do not expire.

142.4 	Sec. 27. Laws 1998, chapter 404, section 23, subdivision 6, as amended by Laws 2002, 
142.5 	chapter 220, article 10, section 35, subdivision 6, is amended to read:

142.6	Subd. 6.St. Paul RiverCentre Arena
 				65,000,000
	
142.7 	This appropriation is from the general fund 
142.8 	to the commissioner of finance for a loan to 
142.9 	the city of St. Paul to demolish the existing 
142.10 	St. Paul RiverCentre Arena and to design, 
142.11 	construct, furnish, and equip a new arena. 
142.12 	This appropriation is not available until the 
142.13 	lessee to whom the city has leased the arena 
142.14 	has agreed to make rental or other payments 
142.15 	to the city under the terms set forth in this 
142.16 	subdivision. The loan is repayable solely 
142.17 	from and secured by the payments made 
142.18 	to the city by the lessee. The loan is not a 
142.19 	public debt and the full faith, credit, and 
142.20 	taxing powers of the city are not pledged for 
142.21 	its repayment.
142.22 	(a) $48,000,000$15,250,000 of the loan 
142.23 	must be repaid to the commissioner, without 
142.24 	interest, within 2012 years from the date 
142.25 	of substantial completion of the arena in 
142.26 	accordance with the following schedule:
142.27 	(1) no repayments are due in the first two 
142.28 	years from the date of substantial completion;
142.29 	(2) in each of the years three to five, the 
142.30 	lessee must pay $1,250,000;
142.31 	(3) in each of the years six to ten, the lessee 
142.32 	must pay $1,500,000; and
143.1 	(4) in each of the years 11 to 13 12, the lessee 
143.2 	must pay $2,000,000;.
143.3 	(5) in year 14, the lessee must pay 
143.4 	$3,000,000;
143.5 	(6) in year 15, the lessee must pay 
143.6 	$4,000,000; and
143.7 	(7) in each of the years 16 to 20, the lessee 
143.8 	must pay $4,750,000.
143.9 	(b) The commissioner must deposit the 
143.10 	repayments in the state treasury and credit 
143.11 	them to the general fund.
143.12 	(c) The loan may not be made until the 
143.13 	commissioner has entered into an agreement 
143.14 	with the city of St. Paul identifying the rental 
143.15 	or other payments that will be made and 
143.16 	establishing the dates on and the amounts 
143.17 	in which the payments will be made to the 
143.18 	city and by the city to the commissioner. The 
143.19 	payments may include operating revenues 
143.20 	and additional payments to be made by the 
143.21 	lessee under agreements to be negotiated 
143.22 	between the commissioner, the city, and the 
143.23 	lessee. Those agreements may include, but 
143.24 	are not limited to, an agreement whereby the 
143.25 	lessee pledges to provide each year a letter 
143.26 	of credit sufficient to guarantee the payment 
143.27 	of the amount due for the next succeeding 
143.28 	year; an agreement whereby the lessee 
143.29 	agrees to maintain a net worth, certified each 
143.30 	year by a financial institution or accounting 
143.31 	firm satisfactory to the commissioner, that 
143.32 	is greater than the balance due under the 
143.33 	payment schedule in paragraph (a); and any 
143.34 	other agreements the commissioner may 
143.35 	deem necessary to ensure that the payments 
144.1 	are made as scheduled. Payments made by 
144.2 	the lessee under the lease in amounts equal to 
144.3 	the amount of the loan forgiven after year 12 
144.4 	must be used solely by the city to pay for or 
144.5 	finance the design, acquisition, construction, 
144.6 	and equipping of a public facility to be 
144.7 	located within the block 39/arena tax 
144.8 	increment district.
144.9 	(d) The agreements must provide that the 
144.10 	failure of the lessee to make a payment due 
144.11 	to the city under the agreement is an event 
144.12 	of default under the lease between the city 
144.13 	and the lessee and that the state is entitled to 
144.14 	enforce the remedies of the lessor under the 
144.15 	lease in the event of default. Those remedies 
144.16 	must include, but need not be limited to, the 
144.17 	obligation of the lessee to pay the balance due 
144.18 	for the remainder of the payment schedule 
144.19 	in the event the lessee ceases to operate a 
144.20 	National Hockey League team in the arena.
144.21 	(e) By January 1, 1999, the commissioner 
144.22 	shall report to the chair of the senate 
144.23 	committee on state government finance 
144.24 	and the chair of the house committee on 
144.25 	ways and means the terms of an agreement 
144.26 	between the lessee and the amateur sports 
144.27 	commission whereby the lessee agrees to 
144.28 	make the facilities of the arena available to 
144.29 	the commission on terms satisfactory to the 
144.30 	commission for amateur sports activities 
144.31 	consistent with the purposes of Minnesota 
144.32 	Statutes, chapter 240A, each year during the 
144.33 	time the loan is outstanding. The amateur 
144.34 	sports commission must negotiate in good 
144.35 	faith and may be required to pay no more 
144.36 	than actual out-of-pocket expenses for the 
145.1 	time it uses the arena. The agreement may 
145.2 	not become effective before February 1, 
145.3 	1999. During any calendar year after 1999 
145.4 	that an agreement under this paragraph is 
145.5 	not in effect and a payment is due under 
145.6 	the schedule, the lessee must pay to the 
145.7 	commissioner a penalty of $750,000 for that 
145.8 	year. If the amateur sports commission has 
145.9 	not negotiated in good faith, no penalty is 
145.10 	due.

145.11 	EFFECTIVE DATE; LOCAL APPROVAL. This section is effective the day after 
145.12 	the Saint Paul city council and its chief clerical officer comply with Minnesota Statutes, 
145.13 	section 645.021, subdivisions 2 and 3.

145.14 	Sec. 28. TRANSFER OF AUTHORITY AND STAFF.
 145.15 		Subdivision 1.Transfer of authority. (a) The responsibilities of the Board of 
145.16 	Barber and Cosmetologist Examiners covered in Minnesota Statutes 2008, sections 
145.17 	154.001 to 154.26, are transferred under Minnesota Statutes, section 15.039, to the Board 
145.18 	of Barber Examiners.
145.19 	(b) The responsibilities of the Board of Barber and Cosmetologist Examiners 
145.20 	covered in Minnesota Statutes 2008, sections 154.40 to 154.54, are transferred under 
145.21 	Minnesota Statutes, section 15.039, to the Board of Cosmetologist Examiners.
145.22 		Subd. 2.Rulemaking. Rulemaking authority pursuant to Minnesota Statutes 
145.23 	2008, sections 154.001 to 154.26, of the Board of Barber and Cosmetologist Examiners 
145.24 	is transferred to the Board of Barber Examiners. Rulemaking authority pursuant to 
145.25 	Minnesota Statutes 2008, sections 154.40 to 154.54, of the Board of Barber and 
145.26 	Cosmetologist Examiners is transferred to the Board of Cosmetologist Examiners. All 
145.27 	rules adopted by the Board of Barber and Cosmetologist Examiners in Minnesota Rules, 
145.28 	chapter 2100, remain in effect and shall be enforced until amended or repealed according 
145.29 	to law by the Board of Barber Examiners. All rules adopted by the Board of Barber 
145.30 	and Cosmetologist Examiners in Minnesota Rules, chapters 2105 and 2110, remain in 
145.31 	effect and shall be enforced until amended or repealed according to law by the Board of 
145.32 	Cosmetologist Examiners.
145.33 		Subd. 3.Transfer of board members. The board members serving in unexpired 
145.34 	terms appointed to the Board of Barber and Cosmetologist Examiners pursuant to 
145.35 	Minnesota Statutes 2008, section 154.001, paragraph (b), shall be appointed to serve the 
146.1 	remainder of their terms as members of the Board of Barber Examiners, notwithstanding 
146.2 	the requirements of Minnesota Statutes, section 154.001, subdivision 2. The board 
146.3 	members serving in unexpired terms appointed to the Board of Barber and Cosmetologist 
146.4 	Examiners pursuant to Minnesota Statutes 2008, section 154.001, paragraph (c), shall be 
146.5 	appointed to serve the remainder of their terms as members of the Board of Cosmetologist 
146.6 	Examiners, notwithstanding the requirements of Minnesota Statutes, section 155A.20.
146.7 		Subd. 4.Transfer of staff. (a) The staff of the Board of Barber and Cosmetologist 
146.8 	Examiners is transferred to the Board of Barber Examiners and the Board of Cosmetologist 
146.9 	Examiners under Minnesota Statutes, section 15.039, according to the requirements of 
146.10 	paragraph (b). In addition to any other protection, no employee shall suffer job loss, 
146.11 	have a salary reduced, or have employment benefits reduced as a result of the transfer 
146.12 	of authority from the Board of Barber and Cosmetologist Examiners recommended or 
146.13 	mandated by this section. No action taken after January 1, 2010, shall be considered a 
146.14 	result of the transfer of authority for the purposes of this section.
146.15 	(b) On or before June 1, 2009, the Board of Barber and Cosmetologist Examiners 
146.16 	must designate to which board each employee will transfer to under paragraph (a), and the 
146.17 	board must notify each affected employee of the designation in writing.
146.18 		Subd. 5.Exemption from hiring freeze. Notwithstanding any law, policy, or 
146.19 	executive order that restricts the hiring of new employees or institutes a hiring freeze, the 
146.20 	Board of Barber Examiners and the Board of Cosmetologist Examiners may hire staff 
146.21 	necessary to accomplish their statutory duties. This exemption expires on December 
146.22 	31, 2009.

146.23 	EFFECTIVE DATE. This section is effective July 1, 2009, except that the 
146.24 	requirements of subdivision 4, paragraph (b), are effective the day following final 
146.25 	enactment.

146.26 	Sec. 29. REVISOR'S INSTRUCTION.
 146.27 	(a) The revisor of statutes shall delete "Board of Barber and Cosmetologist 
146.28 	Examiners" and substitute "board" or "Board of Barber Examiners," as appropriate, 
146.29 	wherever it appears in Minnesota Statutes, sections 154.001 to 154.26, and Minnesota 
146.30 	Rules, chapter 2100.
146.31 	(b) The revisor of statutes shall delete "Board of Barber and Cosmetologist 
146.32 	Examiners" and substitute "board" or "Board of Cosmetologist Examiners," as appropriate, 
146.33 	wherever it appears in Minnesota Statutes, sections 154.40 to 154.54, and Minnesota 
146.34 	Rules, chapters 2105 and 2110.
147.1 	(c) The revisor of statutes shall renumber each section of Minnesota Statutes listed 
147.2 	in column A with the number listed in column B. The revisor shall also make necessary 
147.3 	cross-reference changes in Minnesota Statutes and Minnesota Rules consistent with the 
147.4 	renumbering.

147.5	Column A
	Column B
	
147.6	154.40
	155A.21
	
147.7	154.41
	155A.22
	
147.8	154.42
	155A.23
	
147.9	154.43
	155A.24
	
147.10	154.44
	155A.25
	
147.11	154.45
	155A.26
	
147.12	154.46
	155A.27
	
147.13	154.465
	155A.28
	
147.14	154.47
	155A.29
	
147.15	154.48
	155A.30
	
147.16	154.49
	155A.31
	
147.17	154.50
	155A.32
	
147.18	154.51
	155A.33
	
147.19	154.52
	155A.34
	
147.20	154.53
	155A.35
	
147.21	154.54
	155A.36

147.22 	Sec. 30.  REPEALER.
 147.23 	Minnesota Statutes 2008, section 176.135, subdivision 1b, is repealed.

147.24 	ARTICLE 7
147.25 	IRON RANGE RESOURCES

147.26 	Section 1. Minnesota Statutes 2008, section 116J.424, is amended to read:
147.27 	116J.424 IRON RANGE RESOURCES AND REHABILITATION BOARD 
147.28 	CONTRIBUTION.
147.29 	The commissioner of the Iron Range Resources and Rehabilitation Board with 
147.30 	approval of the board by at least seven Iron Range Resources and Rehabilitation Board 
147.31 	members, shall provide an equal match for any loan or equity investment made for a 
147.32 	facility located in the tax relief area defined in section 273.134, paragraph (b), by the 
147.33 	Minnesota minerals 21st century fund created by section 116J.423. The match may be 
147.34 	in the form of a loan or equity investment, notwithstanding whether the fund makes a 
147.35 	loan or equity investment. The state shall not acquire an equity interest because of an 
147.36 	equity investment or loan by the board and the board at its sole discretion shall decide 
148.1 	what interest it acquires in a project. The commissioner of employment and economic 
148.2 	development may require a commitment from the board to make the match prior to 
148.3 	disbursing money from the fund. 

148.4 	Sec. 2. [298.217] IRON RANGE RESOURCES AND REHABILITATION; 
148.5 	EARLY SEPARATION INCENTIVE PROGRAM AUTHORIZATION.
148.6 	(a) Notwithstanding any law to the contrary, the commissioner of Iron Range 
148.7 	resources and rehabilitation, in consultation with the commissioner of management and 
148.8 	budget, may offer a targeted early separation incentive program for employees of the 
148.9 	commissioner who have attained the age of 60 years or who have received credit for at 
148.10 	least 30 years of allowable service under the provisions of chapter 352.
148.11 	(b) The early separation incentive program may include one or more of the following:
148.12 	(1) employer-paid postseparation health, medical, and dental insurance until age 
148.13 	65; and
148.14 	(2) cash incentives that may, but are not required to be, used to purchase additional 
148.15 	years of service credit through the Minnesota State Retirement System, to the extent that 
148.16 	the purchases are otherwise authorized by law.
148.17 	(c) The commissioner of Iron Range resources and rehabilitation shall establish 
148.18 	eligibility requirements for employees to receive an incentive.
148.19 	(d) The commissioner of Iron Range resources and rehabilitation, consistent with the 
148.20 	established program provisions under paragraph (b), and with the eligibility requirements 
148.21 	under paragraph (c), may designate specific programs or employees as eligible to be 
148.22 	offered the incentive program.
148.23 	(e) Acceptance of the offered incentive must be voluntary on the part of the 
148.24 	employee and must be in writing. The incentive may only be offered at the sole discretion 
148.25 	of the commissioner of Iron Range resources and rehabilitation.
148.26 	(f) The cost of the incentive is payable solely by funds made available to the 
148.27 	commissioner of Iron Range resources and rehabilitation by law, but only on prior approval 
148.28 	of the expenditures by a majority of the Iron Range Resources and Rehabilitation Board.
148.29 	(g) This section and section 298.218 are repealed June 30, 2011.

148.30 	Sec. 3. [298.218] APPLICATION OF OTHER LAWS.
148.31 	Unilateral implementation of section 298.217 by the commissioner of Iron Range 
148.32 	resources and rehabilitation is not an unfair labor practice under chapter 179A.

148.33 	Sec. 4. Minnesota Statutes 2008, section 298.22, subdivision 2, is amended to read:
149.1 		Subd. 2.Iron Range Resources and Rehabilitation Board. There is hereby 
149.2 	created the Iron Range Resources and Rehabilitation Board, consisting of 13 members, 
149.3 	five of whom are state senators appointed by the Subcommittee on Committees of the 
149.4 	Rules Committee of the senate, and five of whom are representatives, appointed by the 
149.5 	speaker of the house. The remaining members shall be appointed one each by the senate 
149.6 	majority leader, the speaker of the house, and the governor and must be nonlegislators 
149.7 	who reside in a taconite assistance area as defined in section 273.1341. The members shall 
149.8 	be appointed in January of every odd-numbered year, except that the initial nonlegislator 
149.9 	members shall be appointed by July 1, 1999, and shall serve until January of the next 
149.10 	odd-numbered year. Vacancies on the board shall be filled in the same manner as the 
149.11 	original members were chosen. At least a majority of the legislative members of the board 
149.12 	shall be elected from state senatorial or legislative districts in which over 50 percent 
149.13 	of the residents reside within a taconite assistance area as defined in section 273.1341. 
149.14 	All expenditures and projects made by the commissioner of Iron Range resources and 
149.15 	rehabilitation shall be consistent with the priorities established in subdivision 8 and shall 
149.16 	first be submitted to the Iron Range Resources and Rehabilitation Board for approval of 
149.17 	expenditures and projects for rehabilitation purposes as provided by this section, and 
149.18 	the method, manner, and time of payment of all funds proposed to be disbursed, by a 
149.19 	majority of the board of expenditures and projects for rehabilitation purposes as provided 
149.20 	by this section, and the method, manner, and time of payment of all funds proposed to be 
149.21 	disbursed shall be first approved or disapproved by the board at least seven Iron Range 
149.22 	Resources and Rehabilitation Board members. The board shall biennially make its report 
149.23 	to the governor and the legislature on or before November 15 of each even-numbered 
149.24 	year. The expenses of the board shall be paid by the state from the funds raised pursuant to 
149.25 	this section. Members of the board who are legislators may be reimbursed for expenses 
149.26 	in the manner provided in sections 3.099, subdivision 1, and 3.101, and may receive per 
149.27 	diem payments during the interims between legislative sessions in the manner provided 
149.28 	in section 3.099, subdivision 1. Members of the board who are not legislators may 
149.29 	receive per diem payments and be reimbursed for expenses at the lowest rate provided 
149.30 	for legislative members.

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

149.32 	Sec. 5. Minnesota Statutes 2008, section 298.22, subdivision 5a, is amended to read:
149.33 		Subd. 5a. Forest trust. The commissioner, upon the affirmative vote of a majority 
149.34 	of the members of the board, of at least seven Iron Range Resources and Rehabilitation 
149.35 	Board members, may purchase forest lands in the taconite assistance area defined in under 
150.1 	section 273.1341 with funds specifically authorized for the purchase. The acquired forest 
150.2 	lands must be held in trust for the benefit of the citizens of the taconite assistance area 
150.3 	as the Iron Range Miners' Memorial Forest. The forest trust lands shall be managed and 
150.4 	developed for recreation and economic development purposes. The commissioner, upon 
150.5 	the affirmative vote of a majority of the members of the board, of at least seven Iron Range 
150.6 	Resources and Rehabilitation Board members, may sell forest lands purchased under this 
150.7 	subdivision if the board finds that the sale advances the purposes of the trust. Proceeds 
150.8 	derived from the management or sale of the lands and from the sale of timber or removal 
150.9 	of gravel or other minerals from these forest lands shall be deposited into an Iron Range 
150.10 	Miners' Memorial Forest account that is established within the state financial accounts. 
150.11 	Funds may be expended from the account upon approval of a majority of the members 
150.12 	of the board by at least seven Iron Range Resources and Rehabilitation Board members,
150.13 	to purchase, manage, administer, convey interests in, and improve the forest lands. By 
150.14 	majority an affirmative vote of the members of the board, of at least seven Iron Range 
150.15 	Resources and Rehabilitation Board members, money in the Iron Range Miners' Memorial 
150.16 	Forest account may be transferred into the corpus of the Douglas J. Johnson economic 
150.17 	protection trust fund established under sections 298.291 to 298.294. The property acquired 
150.18 	under the authority granted by this subdivision and income derived from the property or 
150.19 	the operation or management of the property are exempt from taxation by the state or its 
150.20 	political subdivisions while held by the forest trust. 

150.21 	Sec. 6. Minnesota Statutes 2008, section 298.22, subdivision 6, is amended to read:
150.22 		Subd. 6.Private entity participation. The board may acquire an equity interest in 
150.23 	any project for which it provides funding. The commissioner may establish, participate in 
150.24 	the management of, and dispose of the assets of charitable foundations, nonprofit limited 
150.25 	liability companies, and nonprofit corporations associated with any project for which it 
150.26 	provides funding, including specifically, but without limitation, a corporation within the 
150.27 	meaning of section 317A.011, subdivision 6. 

150.28 	Sec. 7. Minnesota Statutes 2008, section 298.22, subdivision 7, is amended to read:
150.29 		Subd. 7.Project area development authority. (a) In addition to the other powers 
150.30 	granted in this section and other law and notwithstanding any limitations contained in 
150.31 	subdivision 5, the commissioner, for purposes of fostering economic development and 
150.32 	tourism within the Giants Ridge Recreation Area or the Ironworld Discovery Center area, 
150.33 	may spend any money made available to the agency under section 298.28 to acquire real 
150.34 	or personal property or interests therein by gift, purchase, or lease and may convey by 
151.1 	lease, sale, or other means of conveyance or commitment any or all property interests 
151.2 	owned or administered by the commissioner within such areas. 
151.3 	(b) In furtherance of development of the Giants Ridge Recreation Area or the 
151.4 	Ironworld Discovery Center area, the commissioner may establish and participate in 
151.5 	charitable foundations, nonprofit limited liability companies, and nonprofit corporations, 
151.6 	including a corporation within the meaning of section 317A.011, subdivision 6. 
151.7 	(c) The term "Giants Ridge recreation area" refers to an economic development 
151.8 	project area established by the commissioner in furtherance of the powers delegated in this 
151.9 	section within St. Louis County in the western following portions of the town of White and 
151.10 	in the eastern portion of the westerly, adjacent, unorganized township. city of Biwabik:
151.11 	Township 59 North, Range 15 West, Sections 7, 8, 17-20 and 29-32;
151.12 	Township 59 North, Range 16 West, Sections 12, 13, 24, 25, and 36;
151.13 	Township 58 North, Range 16 West, Section 1; and
151.14 	Township 58 North, Range 15 West, Sections 5 and 6.
151.15 	(d) The term "Ironworld Discovery Center area" refers to means an economic 
151.16 	development and tourism promotion project area established by the commissioner in 
151.17 	furtherance of the powers delegated in this section within St. Louis County in the south 
151.18 	portion of the town of Balkan.

151.19 	Sec. 8. Minnesota Statutes 2008, section 298.22, subdivision 8, is amended to read:
151.20 		Subd. 8.Spending priority. In making or approving any expenditures on programs 
151.21 	or projects, the commissioner and the board shall give the highest priority to programs 
151.22 	and projects that target relief to those areas of the taconite assistance area as defined in 
151.23 	section 273.1341, that have the largest percentages of job losses and population losses 
151.24 	directly attributable to the economic downturn in the taconite industry since the 1980s. 
151.25 	The commissioner and the board shall compare the 1980 population and employment 
151.26 	figures with the 2000 population and employment figures, and shall specifically consider 
151.27 	the job losses in 2000 and 2001 resulting from the closure of LTV Steel Mining Company, 
151.28 	in making or approving expenditures consistent with this subdivision, as well as the areas 
151.29 	of residence of persons who suffered job loss for which relief is to be targeted under this 
151.30 	subdivision. The commissioner may lease, for a term not exceeding 50 years and upon 
151.31 	the terms determined by the commissioner and approved by the board at least seven Iron 
151.32 	Range Resources and Rehabilitation Board members, surface and mineral interests owned 
151.33 	or acquired by the state of Minnesota acting by and through the office of the commissioner 
151.34 	of Iron Range resources and rehabilitation within those portions of the taconite assistance 
151.35 	area affected by the closure of the LTV Steel Mining Company facility near Hoyt Lakes. 
152.1 	The payments and royalties from these leases must be deposited into the fund established 
152.2 	in section 298.292. This subdivision supersedes any other conflicting provisions of law 
152.3 	and does not preclude the commissioner and the board from making expenditures for 
152.4 	programs and projects in other areas. 

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

152.6 	Sec. 9. Minnesota Statutes 2008, section 298.22, subdivision 10, is amended to read:
152.7 		Subd. 10.Sale or privatization of functions. The commissioner of Iron Range 
152.8 	resources and rehabilitation may not sell or privatize the Ironworld Discovery Center or 
152.9 	Giants Ridge Golf and Ski Resort without prior approval by a majority vote of the board at 
152.10 	least seven Iron Range Resources and Rehabilitation Board members.

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

152.12 	Sec. 10. Minnesota Statutes 2008, section 298.22, subdivision 11, is amended to read:
152.13 		Subd. 11.Budgeting. The commissioner of Iron Range resources and rehabilitation 
152.14 	shall annually prepare a budget for operational expenditures, programs, and projects, and 
152.15 	submit it to the Iron Range Resources and Rehabilitation Board and the governor for 
152.16 	approval. After the budget is approved by the board at least seven Iron Range Resources 
152.17 	and Rehabilitation Board members and the governor, the commissioner may spend money 
152.18 	in accordance with the approved budget.

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

152.20 	Sec. 11. Minnesota Statutes 2008, section 298.221, is amended to read:
152.21 	298.221 RECEIPTS FROM CONTRACTS; APPROPRIATION.
152.22 	(a) Except as provided in paragraph (c), all money paid to the state of Minnesota 
152.23 	pursuant to the terms of any contract entered into by the state under authority of section 
152.24 	298.22 and any fees which may, in the discretion of the commissioner of Iron Range 
152.25 	resources and rehabilitation, be charged in connection with any project pursuant to that 
152.26 	section as amended, shall be deposited in the state treasury to the credit of the Iron Range 
152.27 	Resources and Rehabilitation Board account in the special revenue fund and are hereby 
152.28 	appropriated for the purposes of section 298.22.  
152.29 	(b) Notwithstanding section 16A.013, merchandise may be accepted by the 
152.30 	commissioner of the Iron Range Resources and Rehabilitation Board for payment of 
152.31 	advertising contracts if the commissioner determines that the merchandise can be used 
153.1 	for special event prizes or mementos at facilities operated by the board. Nothing in this 
153.2 	paragraph authorizes the commissioner or a member of the board to receive merchandise 
153.3 	for personal use.  
153.4 	(c) All fees charged by the commissioner in connection with public use of the 
153.5 	state-owned ski and golf facilities at the Giants Ridge Recreation Area and all other 
153.6 	revenues derived by the commissioner from the operation or lease of those facilities 
153.7 	and from the lease, sale, or other disposition of undeveloped lands at the Giants Ridge 
153.8 	Recreation Area must be deposited into an Iron Range Resources and Rehabilitation 
153.9 	Board account that is created within the state enterprise fund. All funds deposited in the 
153.10 	enterprise fund account are appropriated to the commissioner to be expended, subject 
153.11 	to approval of a majority of the board, by at least seven Iron Range Resources and 
153.12 	Rehabilitation Board members, as follows:
153.13 	(1) to pay costs associated with the construction, equipping, operation, repair, or 
153.14 	improvement of the Giants Ridge Recreation Area facilities or lands;
153.15 	(2) to pay principal, interest and associated bond issuance, reserve, and servicing 
153.16 	costs associated with the financing of the facilities; and
153.17 	(3) to pay the costs of any other project authorized under section 298.22.  

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

153.19 	Sec. 12. Minnesota Statutes 2008, section 298.2211, subdivision 3, is amended to read:
153.20 		Subd. 3.Project approval. All projects authorized by this section shall be 
153.21 	submitted by the commissioner to the Iron Range Resources and Rehabilitation Board, 
153.22 	which shall recommend approval or disapproval or modification of the projects for 
153.23 	approval by at least seven Iron Range Resources and Rehabilitation Board members. 
153.24 	Prior to the commencement of a project involving the exercise by the commissioner of 
153.25 	any authority of sections 469.174 to 469.179, the governing body of each municipality in 
153.26 	which any part of the project is located and the county board of any county containing 
153.27 	portions of the project not located in an incorporated area shall by majority vote approve 
153.28 	or disapprove the project. Any project, as so approved by the board at least seven Iron 
153.29 	Range Resources and Rehabilitation Board members and the applicable governing bodies, 
153.30 	if any, together with detailed information concerning the project, its costs, the sources of 
153.31 	its funding, and the amount of any bonded indebtedness to be incurred in connection 
153.32 	with the project, shall be transmitted to the governor, who shall approve, disapprove, or 
153.33 	return the proposal for additional consideration within 30 days of receipt. No project 
153.34 	authorized under this section shall be undertaken, and no obligations shall be issued and 
154.1 	no tax increments shall be expended for a project authorized under this section until the 
154.2 	project has been approved by the governor.  

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

154.4 	Sec. 13. Minnesota Statutes 2008, section 298.2213, subdivision 4, is amended to read:
154.5 		Subd. 4.Project approval. The board and commissioner shall by August 1 each 
154.6 	year prepare a list of projects to be funded from the money appropriated in this section 
154.7 	with necessary supporting information including descriptions of the projects, plans, and 
154.8 	cost estimates. A project must not be approved by the board unless it finds that:
154.9 	(1) the project will materially assist, directly or indirectly, the creation of additional 
154.10 	long-term employment opportunities;
154.11 	(2) the prospective benefits of the expenditure exceed the anticipated costs; and
154.12 	(3) in the case of assistance to private enterprise, the project will serve a sound 
154.13 	business purpose.
154.14 	 Each project must be approved by a majority of the at least seven Iron Range 
154.15 	Resources and Rehabilitation Board members and the commissioner of Iron Range 
154.16 	resources and rehabilitation. The list of projects must be submitted to the governor, 
154.17 	who shall, by November 15 of each year, approve, disapprove, or return for further 
154.18 	consideration, each project. The money for a project may be spent only upon approval of 
154.19 	the project by the governor. The board may submit supplemental projects for approval at 
154.20 	any time.

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

154.22 	Sec. 14. Minnesota Statutes 2008, section 298.2214, is amended by adding a 
154.23 	subdivision to read:
154.24 		Subd. 6.Per diem. Members of the committee may be reimbursed for expenses 
154.25 	in the manner provided in section 298.22, subdivision 2.

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

154.27 	Sec. 15. Minnesota Statutes 2008, section 298.223, is amended to read:
154.28 	298.223 TACONITE AREA ENVIRONMENTAL PROTECTION FUND.
154.29 		Subdivision 1.Creation; purposes. A fund called the taconite environmental 
154.30 	protection fund is created for the purpose of reclaiming, restoring and enhancing those 
154.31 	areas of northeast Minnesota located within the taconite assistance area defined in section 
155.1 	273.1341, that are adversely affected by the environmentally damaging operations 
155.2 	involved in mining taconite and iron ore and producing iron ore concentrate and for the 
155.3 	purpose of promoting the economic development of northeast Minnesota. The taconite 
155.4 	environmental protection fund shall be used for the following purposes:
155.5 	(a) (1) to initiate investigations into matters the Iron Range Resources and 
155.6 	Rehabilitation Board determines are in need of study and which will determine the 
155.7 	environmental problems requiring remedial action;
155.8 	(b) (2) reclamation, restoration, or reforestation of mine lands not otherwise 
155.9 	provided for by state law;
155.10 	(c) (3) local economic development projects but only if those projects are approved 
155.11 	by the board, at least seven Iron Range Resources and Rehabilitation Board members,
155.12 	and public works, including construction of sewer and water systems located within the 
155.13 	taconite assistance area defined in section 273.1341;
155.14 	(d) (4) monitoring of mineral industry related health problems among mining 
155.15 	employees.;
155.16 	(5) local public works projects under section 298.227, paragraph (c); and
155.17 	(6) local public works projects as provided under this clause. The following amounts 
155.18 	shall be distributed in 2009 based upon the taxable tonnage of production in 2008:
155.19 	(i) .4651 cents per ton to the city of Aurora for street repair and renovation;
155.20 	(ii) .4264 cent per ton to the city of Biwabik for street and utility infrastructure 
155.21 	improvements to the south side industrial site;
155.22 	(iii) .6460 cent per ton to the city of Buhl for street repair;
155.23 	(iv) 1.0336 cents per ton to the city of Hoyt Lakes for public utility improvements;
155.24 	(v) 1.1628 cents per ton to the city of Eveleth for water and sewer infrastructure 
155.25 	upgrades;
155.26 	(vi) 1.0336 cents per ton to the city of Gilbert for water and sewer infrastructure 
155.27 	upgrades;
155.28 	(vii) .7752 cent per ton to the city of Mountain Iron for water and sewer 
155.29 	infrastructure;
155.30 	(viii) 1.2920 cents per ton to the city of Virginia for utility upgrades and accessibility 
155.31 	modifications for the miners' memorial;
155.32 	(ix) .6460 cent per ton to the town of White for Highway 135 road upgrades;
155.33 	(x) 1.9380 cents per ton to the city of Hibbing for public infrastructure projects;
155.34 	(xi) 1.1628 cents per ton to the city of Chisholm for water and sewer repair;
155.35 	(xii) .6460 cent per ton to the town of Balkan for community center repairs;
155.36 	(xiii) .9044 cent per ton to the city of Babbitt for city garage construction;
156.1 	(xiv) .5168 cent per ton to the city of Cook for replacement of a water tower;
156.2 	(xv) .5168 cent per ton to the city of Ely for reconstruction of 2cnd Avenue West;
156.3 	(xvi) .6460 cent per ton to the city of Tower for water infrastructure upgrades;
156.4 	(xvii) .1292 cent per ton to the city of Orr for water infrastructure upgrades;
156.5 	(xviii) .1292 cent per ton to the city of Silver Bay for emergency cleanup;
156.6 	(xvix) .3230 cent per ton to Lake County for trail construction;
156.7 	(xx) .1292 cent per ton to Cook County for construction of tennis courts in Grand 
156.8 	Marais;
156.9 	(xxi) .3101 cent per ton to the city of Two Harbors for water infrastructure 
156.10 	improvements;
156.11 	(xxii) .1938 cent per ton for land acquisition for phase one of Cook Airport project;
156.12 	(xxiii) 1.0336 cents per ton to the city of Coleraine for water and sewer 
156.13 	improvements along Gayley Avenue;
156.14 	(xxiv) .3876 cent per ton to the city of Marble for construction of a city 
156.15 	administration facility;
156.16 	(xxv) .1292 cent per ton to the city of Calumet for repairs at city hall and the 
156.17 	community center;
156.18 	(xxvi) .6460 cent per ton to the city of Nashwauk for electrical infrastructure 
156.19 	upgrades;
156.20 	(xxvii) 1.0336 cents per ton to the city of Keewatin for water and sewer upgrades 
156.21 	along Depot Street;
156.22 	(xxviii) .2584 cent per ton to the city of Aitkin for water, sewer, street, and gutter 
156.23 	improvements;
156.24 	(xxix) 1.1628 cents per ton to the city of Grand Rapids for water and sewer 
156.25 	infrastructure upgrades at Pokegema Golf Course and Park Place;
156.26 	(xxx) .1809 cent per ton to the city of Grand Rapids for water and sewer upgrades 
156.27 	for 1st Avenue from River Road to 3rd Street SE; and
156.28 	(xxxi) .9044 cent per ton to the city of Cohasset for upgrades to the railroad crossing 
156.29 	at Highway 2 and County Road 62.
156.30 		Subd. 2.Administration. (a) The taconite area environmental protection fund shall 
156.31 	be administered by the commissioner of the Iron Range Resources and Rehabilitation 
156.32 	Board. The commissioner shall by September 1 of each year submit to the board a list 
156.33 	of projects to be funded from the taconite area environmental protection fund, with such 
156.34 	supporting information including description of the projects, plans, and cost estimates as 
156.35 	may be necessary. 
157.1 	(b) Each year no less than one-half of the amounts deposited into the taconite 
157.2 	environmental protection fund must be used for public works projects, including 
157.3 	construction of sewer and water systems, as specified under subdivision 1, paragraph (c)
157.4 	clause (3). The Iron Range Resources and Rehabilitation Board with a majority vote of 
157.5 	the members, approval by at least seven Iron Range Resources and Rehabilitation Board 
157.6 	members, may waive the requirements of this paragraph. 
157.7 	(c) Upon approval by a majority of the members of the Iron Range Resources and 
157.8 	Rehabilitation Board, at least seven Iron Range Resources and Rehabilitation Board 
157.9 	members, the list of projects approved under this subdivision shall be submitted to the 
157.10 	governor by November 1 of each year. By December 1 of each year, the governor shall 
157.11 	approve or disapprove, or return for further consideration, each project. Funds for a project 
157.12 	may be expended only upon approval of the project by the board at least seven Iron Range 
157.13 	Resources and Rehabilitation Board members, and the governor. The commissioner may 
157.14 	submit supplemental projects to the board and governor for approval at any time.
157.15 		Subd. 3.Appropriation. There is annually appropriated to the commissioner of Iron 
157.16 	Range resources and rehabilitation taconite area environmental protection funds necessary 
157.17 	to carry out approved projects and programs and the funds necessary for administration of 
157.18 	this section. Annual administrative costs, not including detailed engineering expenses for 
157.19 	the projects, shall not exceed five percent of the amount annually expended from the fund.
157.20 	Funds for the purposes of this section are provided by section 298.28, subdivision 
157.21 	11, relating to the taconite area environmental protection fund. 

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

157.23 	Sec. 16. Minnesota Statutes 2008, section 298.227, is amended to read:
157.24 	298.227 TACONITE ECONOMIC DEVELOPMENT FUND.
157.25 	(a) An amount equal to that distributed pursuant to each taconite producer's taxable 
157.26 	production and qualifying sales under section 298.28, subdivision 9a, shall be held by 
157.27 	the Iron Range Resources and Rehabilitation Board in a separate taconite economic 
157.28 	development fund for each taconite and direct reduced ore producer. Money from the 
157.29 	fund for each producer shall be released by the commissioner after review by a joint 
157.30 	committee consisting of an equal number of representatives of the salaried employees and 
157.31 	the nonsalaried production and maintenance employees of that producer. The District 11 
157.32 	director of the United States Steelworkers of America, on advice of each local employee 
157.33 	president, shall select the employee members. In nonorganized operations, the employee 
157.34 	committee shall be elected by the nonsalaried production and maintenance employees. 
158.1 	The review must be completed no later than six months after the producer presents a 
158.2 	proposal for expenditure of the funds to the committee. The funds held pursuant to this 
158.3 	section may be released only for workforce development and associated public facility 
158.4 	improvement, or for acquisition of plant and stationary mining equipment and facilities 
158.5 	for the producer or for research and development in Minnesota on new mining, or 
158.6 	taconite, iron, or steel production technology, but only if the producer provides a matching 
158.7 	expenditure to be used for the same purpose of at least 50 percent of the distribution based 
158.8 	on 14.7 cents per ton beginning with distributions in 2002. Effective for proposals for 
158.9 	expenditures of money from the fund beginning May 26, 2007, the commissioner may 
158.10 	not release the funds before the next scheduled meeting of the board. If the board rejects
158.11 	a proposed expenditure is not approved by at least seven Iron Range Resources and 
158.12 	Rehabilitation Board members, the funds must be deposited in the Taconite Environmental 
158.13 	Protection Fund under sections 298.222 to 298.225. If a producer uses money which has 
158.14 	been released from the fund prior to May 26, 2007 to procure haulage trucks, mobile 
158.15 	equipment, or mining shovels, and the producer removes the piece of equipment from the 
158.16 	taconite tax relief area defined in section 273.134 within ten years from the date of receipt 
158.17 	of the money from the fund, a portion of the money granted from the fund must be repaid 
158.18 	to the taconite economic development fund. The portion of the money to be repaid is 100 
158.19 	percent of the grant if the equipment is removed from the taconite tax relief area within 12 
158.20 	months after receipt of the money from the fund, declining by ten percent for each of the 
158.21 	subsequent nine years during which the equipment remains within the taconite tax relief 
158.22 	area. If a taconite production facility is sold after operations at the facility had ceased, any 
158.23 	money remaining in the fund for the former producer may be released to the purchaser of 
158.24 	the facility on the terms otherwise applicable to the former producer under this section. If 
158.25 	a producer fails to provide matching funds for a proposed expenditure within six months 
158.26 	after the commissioner approves release of the funds, the funds are available for release to 
158.27 	another producer in proportion to the distribution provided and under the conditions of 
158.28 	this section. Any portion of the fund which is not released by the commissioner within 
158.29 	one year of its deposit in the fund shall be divided between the taconite environmental 
158.30 	protection fund created in section 298.223 and the Douglas J. Johnson economic protection 
158.31 	trust fund created in section 298.292 for placement in their respective special accounts. 
158.32 	Two-thirds of the unreleased funds shall be distributed to the taconite environmental 
158.33 	protection fund and one-third to the Douglas J. Johnson economic protection trust fund. 
158.34 	(b)(i) Notwithstanding the requirements of paragraph (a), setting the amount of 
158.35 	distributions and the review process, an amount equal to ten cents per taxable ton of 
158.36 	production in 2007, for distribution in 2008 only, that would otherwise be distributed 
159.1 	under paragraph (a), may be used for a loan for the cost of construction of a biomass 
159.2 	energy facility. This amount must be deducted from the distribution under paragraph (a) 
159.3 	for which a matching expenditure by the producer is not required. The granting of the loan 
159.4 	is subject to approval by the Iron Range Resources and Rehabilitation Board at least seven 
159.5 	Iron Range Resources and Rehabilitation Board members; interest must be payable on the 
159.6 	loan at the rate prescribed in section 298.2213, subdivision 3. (ii) Repayments of the loan 
159.7 	and interest must be deposited in the northeast Minnesota economic development taconite 
159.8 	environment protection fund established in section 298.2213 under sections 298.222 to 
159.9 	298.225. If a loan is not made under this paragraph by July 1, 2009, the amount that 
159.10 	had been made available for the loan under this paragraph must be transferred to the 
159.11 	northeast Minnesota economic developmenttaconite environment protection fund under 
159.12 	sections 298.222 to 298.225. (iii) Money distributed in 2008 to the fund established 
159.13 	under this section that exceeds ten cents per ton is available to qualifying producers under 
159.14 	paragraph (a) on a pro rata basis.
159.15 	If 2008 H.F. No. 1812 is enacted and includes a provision that amends this section 
159.16 	in a manner that is different from the amendment in this section, the amendment in this 
159.17 	section supersedes the amendment in 2008 H.F. No. 1812, notwithstanding section 645.26.
159.18 	(c) Repayment or transfer of money to the taconite environmental protection fund 
159.19 	under paragraph (b), item (ii), must be allocated by the Iron Range Resources and 
159.20 	Rehabilitation Board for public works projects in house legislative districts in the same 
159.21 	proportion as taxable tonnage of production in 2007 in each house legislative district, for 
159.22 	distribution in 2008, bears to total taxable tonnage of production in 2007, for distribution 
159.23 	in 2008. Not withstanding any other law to the contrary, expenditures under this paragraph 
159.24 	do not require approval by the governor. For purposes of this paragraph, "house legislative 
159.25 	districts" means the legislative districts in existence on the effective date of this section.

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

159.27 	Sec. 17. Minnesota Statutes 2008, section 298.28, subdivision 9d, is amended to read:
159.28 		Subd. 9d. Iron Range higher education account. Five cents per taxable ton must 
159.29 	be allocated to the Iron Range Resources and Rehabilitation Board to be deposited in 
159.30 	an Iron Range higher education account that is hereby created, to be used for higher 
159.31 	education programs conducted at educational institutions in the taconite assistance area 
159.32 	defined in section 273.1341. The Iron Range Higher Education committee under section 
159.33 	298.2214, and the Iron Range Resources and Rehabilitation Board by an affirmative vote 
159.34 	of at least seven Iron Range Resources and Rehabilitation Board members, must approve 
159.35 	all expenditures from the account. 

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

160.2 	Sec. 18. Minnesota Statutes 2008, section 298.292, subdivision 2, is amended to read:
160.3 		Subd. 2. Use of money. Money in the Douglas J. Johnson economic protection trust 
160.4 	fund may be used for the following purposes: 
160.5 	(1) to provide loans, loan guarantees, interest buy-downs and other forms of 
160.6 	participation with private sources of financing, but a loan to a private enterprise shall be 
160.7 	for a principal amount not to exceed one-half of the cost of the project for which financing 
160.8 	is sought, and the rate of interest on a loan to a private enterprise shall be no less than the 
160.9 	lesser of eight percent or an interest rate three percentage points less than a full faith 
160.10 	and credit obligation of the United States government of comparable maturity, at the 
160.11 	time that the loan is approved; 
160.12 	(2) to fund reserve accounts established to secure the payment when due of the 
160.13 	principal of and interest on bonds issued pursuant to section 298.2211; 
160.14 	(3) to pay in periodic payments or in a lump-sum payment any or all of the interest 
160.15 	on bonds issued pursuant to chapter 474 for the purpose of constructing, converting, 
160.16 	or retrofitting heating facilities in connection with district heating systems or systems 
160.17 	utilizing alternative energy sources; 
160.18 	(4) to invest in a venture capital fund or enterprise that will provide capital to other 
160.19 	entities that are engaging in, or that will engage in, projects or programs that have the 
160.20 	purposes set forth in subdivision 1. No investments may be made in a venture capital fund 
160.21 	or enterprise unless at least two other unrelated investors make investments of at least 
160.22 	$500,000 in the venture capital fund or enterprise, and the investment by the Douglas 
160.23 	J. Johnson economic protection trust fund may not exceed the amount of the largest 
160.24 	investment by an unrelated investor in the venture capital fund or enterprise. For purposes 
160.25 	of this subdivision, an "unrelated investor" is a person or entity that is not related to 
160.26 	the entity in which the investment is made or to any individual who owns more than 40 
160.27 	percent of the value of the entity, in any of the following relationships: spouse, parent, 
160.28 	child, sibling, employee, or owner of an interest in the entity that exceeds ten percent of 
160.29 	the value of all interests in it. For purposes of determining the limitations under this 
160.30 	clause, the amount of investments made by an investor other than the Douglas J. Johnson 
160.31 	economic protection trust fund is the sum of all investments made in the venture capital 
160.32 	fund or enterprise during the period beginning one year before the date of the investment 
160.33 	by the Douglas J. Johnson economic protection trust fund; and 
160.34 	(5) to purchase forest land in the taconite assistance area defined in section 273.1341 
160.35 	to be held and managed as a public trust for the benefit of the area for the purposes 
161.1 	authorized in section 298.22, subdivision 5a. Property purchased under this section may 
161.2 	be sold by the commissioner upon approval by a majority vote of the board by at least 
161.3 	seven Iron Range Resources and Rehabilitation Board members. The net proceeds must 
161.4 	be deposited in the trust fund for the purposes and uses of this section.
161.5 	Money from the trust fund shall be expended only in or for the benefit of the taconite 
161.6 	assistance area defined in section 273.1341. 

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

161.8 	Sec. 19. [298.2931] TRANSFER OF FUNDS.
161.9 	The amount deposited in the Douglas J. Johnson Economic Protection Trust Fund 
161.10 	in 2009 in repayment of a loan for the Mesabi Nugget, LLC project at Silver Bay shall 
161.11 	be transferred to the taconite environmental protection fund and deposited in a special 
161.12 	account to be used as provided under section 298.223, subdivision 1, clause (6).

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

161.14 	Sec. 20. Minnesota Statutes 2008, section 298.294, is amended to read:
161.15 	298.294 INVESTMENT OF FUND.
161.16 	(a) The trust fund established by section 298.292 shall be invested pursuant to law 
161.17 	by the State Board of Investment and the net interest, dividends, and other earnings arising 
161.18 	from the investments shall be transferred, except as provided in paragraph (b), on the first 
161.19 	day of each month to the trust and shall be included and become part of the trust fund. 
161.20 	The amounts transferred, including the interest, dividends, and other earnings earned 
161.21 	prior to July 13, 1982, together with the additional amount of $10,000,000 for fiscal year 
161.22 	1983, which is appropriated April 21, 1983, are appropriated from the trust fund to the 
161.23 	commissioner of Iron Range resources and rehabilitation for deposit in a separate account 
161.24 	for expenditure for the purposes set forth in section 298.292. Amounts appropriated 
161.25 	pursuant to this section shall not cancel but shall remain available unless expended.  
161.26 	(b) For fiscal years 2010 and 2011 only, $1,000,000 of the net interest, dividends, 
161.27 	and other earnings under paragraph (a) shall be transferred to a special account. Funds in 
161.28 	the special account are available for loans or grants to businesses, with priority given to 
161.29 	businesses with 25 or fewer employees. Funds may be used for wage subsidies of up to $5 
161.30 	per hour or other activities that will create additional jobs in the taconite assistance area 
161.31 	under section 273.1341. Expenditures from the special account must be approved by at 
161.32 	least seven Iron Range Resources and Rehabilitation Board members.
162.1 	(c) To qualify for a grant or loan, a business must be currently operating and have 
162.2 	been operating for one year immediately prior to its application for a loan or grant, and its 
162.3 	corporate headquarters must be located in the taconite assistance area.

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

162.5 	Sec. 21. Minnesota Statutes 2008, section 298.296, subdivision 2, is amended to read:
162.6 		Subd. 2. Expenditure of funds. (a) Before January 1, 2028, funds may be expended 
162.7 	on projects and for administration of the trust fund only from the net interest, earnings, 
162.8 	and dividends arising from the investment of the trust at any time, including net interest, 
162.9 	earnings, and dividends that have arisen prior to July 13, 1982, plus $10,000,000 made 
162.10 	available for use in fiscal year 1983, except that any amount required to be paid out of the 
162.11 	trust fund to provide the property tax relief specified in Laws 1977, chapter 423, article 
162.12 	X, section 4, and to make school bond payments and payments to recipients of taconite 
162.13 	production tax proceeds pursuant to section 298.225, may be taken from the corpus of 
162.14 	the trust. 
162.15 	(b) Additionally, upon recommendation by the board, up to $13,000,000 from the 
162.16 	corpus of the trust may be made available for use as provided in subdivision 4, and up to 
162.17 	$10,000,000 from the corpus of the trust may be made available for use as provided in 
162.18 	section 298.2961. 
162.19 	(c) Additionally, an amount equal to 20 percent of the value of the corpus of the trust 
162.20 	on May 18, 2002, not including the funds authorized in paragraph (b), plus the amounts 
162.21 	made available under section 298.28, subdivision 4, and Laws 2002, chapter 377, article 
162.22 	8, section 17, may be expended on projects. Funds may be expended for projects under 
162.23 	this paragraph only if the project: 
162.24 	(1) is for the purposes established under section 298.292, subdivision 1, clause 
162.25 	(1) or (2); and 
162.26 	(2) is approved by the board upon an affirmative vote of at least ten of its members. 
162.27 	No money made available under this paragraph or paragraph (d) can be used for 
162.28 	administrative or operating expenses of the Iron Range Resources and Rehabilitation 
162.29 	Board or expenses relating to any facilities owned or operated by the board on May 18, 
162.30 	2002. 
162.31 	(d) Upon recommendation by a unanimous vote of all members of the board, 
162.32 	amounts in addition to those authorized under paragraphs (a), (b), and (c) may be 
162.33 	expended on projects described in section 298.292, subdivision 1. 
163.1 	(e) Annual administrative costs, not including detailed engineering expenses for the 
163.2 	projects, shall not exceed five percent of the net interest, dividends, and earnings arising 
163.3 	from the trust in the preceding fiscal year. 
163.4 	(f) Principal and interest received in repayment of loans made pursuant to this 
163.5 	section, and earnings on other investments made under section 298.292, subdivision 2, 
163.6 	clause (4), shall be deposited in the state treasury and credited to the trust. These receipts 
163.7 	are appropriated to the board for the purposes of sections 298.291 to 298.298. 
163.8 	(g) Additionally, notwithstanding section 298.293, upon the affirmative vote 
163.9 	of a majority of the members of the board, of at least seven Iron Range Resources and 
163.10 	Rehabilitation Board members, money from the corpus of the trust may be expanded to 
163.11 	purchase forest lands within the taconite assistance area as provided in sections 298.22, 
163.12 	subdivision 5a, and 298.292, subdivision 2, clause (5). 

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

163.14 	Sec. 22. Minnesota Statutes 2008, section 298.2961, is amended to read:
163.15 	298.2961 PRODUCER GRANTS.
163.16 		Subdivision 1.Appropriation. (a) $10,000,000 is appropriated from the Douglas 
163.17 	J. Johnson economic protection trust fund to a special account in the taconite area 
163.18 	environmental protection fund for grants to producers on a project-by-project basis as 
163.19 	provided in this section.
163.20 	(b) The proceeds of the tax designated under section 298.28, subdivision 9b, are 
163.21 	appropriated for grants to producers on a project-by-project basis as provided in this 
163.22 	section.  
163.23 		Subd. 2.Projects; approval. (a) Projects funded must be for:
163.24 	(1) environmentally unique reclamation projects; or
163.25 	(2) pit or plant repairs, expansions, or modernizations other than for a value added 
163.26 	iron products plant.
163.27 	(b) To be proposed by the board, a project must be approved by at least eight Iron 
163.28 	Range Resources and Rehabilitation Board members. The money for a project may 
163.29 	be spent only upon approval of the project by the governor. The board may submit 
163.30 	supplemental projects for approval at any time.
163.31 	(c) The board may require that it receive an equity percentage in any project to 
163.32 	which it contributes under this section.
163.33 		Subd. 3.Redistribution. (a) If a taconite production facility is sold after operations 
163.34 	at the facility had ceased, any money remaining in the taconite environmental fund for the 
164.1 	former producer may be released to the purchaser of the facility on the terms otherwise 
164.2 	applicable to the former producer under this section.
164.3 	(b) Any portion of the taconite environmental fund that is not released by the 
164.4 	commissioner within three years of its deposit in the taconite environmental fund shall be 
164.5 	divided between the taconite environmental protection fund created in section 298.223
164.6 	and the Douglas J. Johnson economic protection trust fund created in section 298.292 for 
164.7 	placement in their respective special accounts. Two-thirds of the unreleased funds must be 
164.8 	distributed to the taconite environmental protection fund and one-third to the Douglas J. 
164.9 	Johnson economic protection trust fund.  
164.10 		Subd. 4. Grant and loan fund. (a) A fund is established to receive distributions 
164.11 	under section 298.28, subdivision 9b, and to make grants or loans as provided in this 
164.12 	subdivision. Any grant or loan made under this subdivision must be approved by a majority 
164.13 	of the members of the Iron Range Resources and Rehabilitation Board, at least seven Iron 
164.14 	Range Resources and Rehabilitation Board members, established under section 298.22. 
164.15 	(b) Distributions received in calendar year 2005 are allocated to the city of Virginia 
164.16 	for improvements and repairs to the city's steam heating system. 
164.17 	(c) Distributions received in calendar year 2006 are allocated to a project of the 
164.18 	public utilities commissions of the cities of Hibbing and Virginia to convert their electrical 
164.19 	generating plants to the use of biomass products, such as wood. 
164.20 	(d) Distributions received in calendar year 2007 must be paid to the city of Tower to 
164.21 	be used for the East Two Rivers project in or near the city of Tower. 
164.22 	(e) For distributions received in 2008, the first $2,000,000 of the 2008 distribution 
164.23 	must be paid to St. Louis County for deposit in its county road and bridge fund to be 
164.24 	used for relocation of St. Louis County Road 715, commonly referred to as Pike River 
164.25 	Road. The remainder of the 2008 distribution must be paid to St. Louis County for a 
164.26 	grant to the city of Virginia for connecting sewer and water lines to the St. Louis County 
164.27 	maintenance garage on Highway 135, further extending the lines to interconnect with the 
164.28 	city of Gilbert's sewer and water lines. All distributions received in 2009 and subsequent 
164.29 	years are allocated for projects under section 298.223, subdivision 1. 
164.30 		Subd. 5. Public works and local economic development fund. For distributions in 
164.31 	2007 only, a special fund is established to receive 38.4 cents per ton that otherwise would 
164.32 	be allocated under section 298.28, subdivision 6. The following amounts are allocated to 
164.33 	St. Louis County acting as the fiscal agent for the recipients for the specific purposes: 
164.34 	(1) 13.4 cents per ton for the Central Iron Range Sanitary Sewer District for 
164.35 	construction of a combined wastewater facility and notwithstanding section 298.28, 
165.1 	subdivision 11, paragraph (a), or any other law, interest accrued on this money while held 
165.2 	by St. Louis County shall also be distributed to the recipient; 
165.3 	(2) six cents per ton to the city of Eveleth to redesign and design and construct 
165.4 	improvements to renovate its water treatment facility; 
165.5 	(3) one cent per ton for the East Range Joint Powers Board to acquire land for and to 
165.6 	design a central wastewater collection and treatment system; 
165.7 	(4) 0.5 cents per ton to the city of Hoyt Lakes to repair Leeds Road; 
165.8 	(5) 0.7 cents per ton to the city of Virginia to extend Eighth Street South; 
165.9 	(6) 0.7 cents per ton to the city of Mountain Iron to repair Hoover Road; 
165.10 	(7) 0.9 cents per ton to the city of Gilbert for alley repairs between Michigan and 
165.11 	Indiana Avenues and for repayment of a loan to the Minnesota Department of Employment 
165.12 	and Economic Development; 
165.13 	(8) 0.4 cents per ton to the city of Keewatin for a new city well; 
165.14 	(9) 0.3 cents per ton to the city of Grand Rapids for planning for a fire and hazardous 
165.15 	materials center; 
165.16 	(10) 0.9 cents per ton to Aitkin County Growth for an economic development 
165.17 	project for peat harvesting; 
165.18 	(11) 0.4 cents per ton to the city of Nashwauk to develop a comprehensive city plan; 
165.19 	(12) 0.4 cents per ton to the city of Taconite for development of a city comprehensive 
165.20 	plan; 
165.21 	(13) 0.3 cents per ton to the city of Marble for water and sewer infrastructure; 
165.22 	(14) 0.8 cents per ton to Aitkin County for improvements to the Long Lake 
165.23 	Environmental Learning Center; 
165.24 	(15) 0.3 cents per ton to the city of Coleraine for the Coleraine Technology Center; 
165.25 	(16) 0.5 cents per ton to the Economic Development Authority of the city of Grand 
165.26 	Rapids for planning for the North Central Research and Technology Laboratory; 
165.27 	(17) 0.6 cents per ton to the city of Bovey for sewer and water extension; 
165.28 	(18) 0.3 cents per ton to the city of Calumet for infrastructure improvements; and 
165.29 	(19) ten cents per ton to the commissioner of Iron Range Resources and 
165.30 	Rehabilitation for deposit in a Highway 1 Corridor Account established by the 
165.31 	commissioner, to be distributed by the commissioner to any of the cities of Babbitt, Cook, 
165.32 	Ely, or Tower, for economic development projects approved by the Iron Range Resources 
165.33 	and Rehabilitation Board at least seven Iron Range Resources and Rehabilitation Board 
165.34 	members; notwithstanding section 298.28, subdivision 11, paragraph (a), or any other law, 
165.35 	interest accrued on this money while held by St. Louis County or the commissioner 
165.36 	shall also be distributed to the recipient. 
166.1 		Subd. 6.Renewable energy. For distributions in 2009 only, a special account is 
166.2 	established in the taconite environmental protection fund to receive 15.5 cents per ton that 
166.3 	otherwise would be allocated under section 298.28, subdivision 6. The funds are available 
166.4 	for cooperative projects between the Iron Range Resources and Rehabilitation Board and 
166.5 	local governments for renewable energy initiatives.

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

166.7 	ARTICLE 8
166.8 	HOUSING FINANCE AGENCY

166.9 	Section 1. Minnesota Statutes 2008, section 327C.03, is amended by adding a 
166.10 	subdivision to read:
166.11 		Subd. 6.Payment to the Minnesota manufactured home relocation trust fund.
 166.12 	In the event a park owner has been assessed under section 327C.095, subdivision 12, 
166.13 	paragraph (c), the park owner may collect the $12 annual payment required by section 
166.14 	327C.095, subdivision 12, for participation in the relocation trust fund, as a lump sum 
166.15 	or, along with monthly lot rent, a fee of no more than $1 per month to cover the cost of 
166.16 	participating in the relocation trust fund. The $1 fee must be separately itemized and 
166.17 	clearly labeled "Minnesota manufactured home relocation trust fund."

166.18 	Sec. 2. Minnesota Statutes 2008, section 327C.095, subdivision 12, is amended to read:
166.19 		Subd. 12.Payment to the Minnesota manufactured home relocation trust fund.
 166.20 	(a) If a manufactured home owner is required to move due to the conversion of all or a 
166.21 	portion of a manufactured home park to another use, the closure of a park, or cessation 
166.22 	of use of the land as a manufactured home park, the manufactured park owner shall, 
166.23 	upon the change in use, pay to the commissioner of finance for deposit in the Minnesota 
166.24 	manufactured home relocation trust fund under section 462A.35, the lesser amount of the 
166.25 	actual costs of moving or purchasing the manufactured home approved by the neutral 
166.26 	third party and paid by the Minnesota Housing Finance Agency under subdivision 13, 
166.27 	paragraph (a) or (e), or $3,250 for each single section manufactured home, and $6,000 for 
166.28 	each multisection manufactured home, for which a manufactured home owner has made 
166.29 	application for payment of relocation costs under subdivision 13, paragraph (c). The 
166.30 	manufactured home park owner shall make payments required under this section to the 
166.31 	Minnesota manufactured home relocation trust fund within 60 days of receipt of invoice 
166.32 	from the neutral third party.
167.1 	(b) A manufactured home park owner is not required to make the payment prescribed 
167.2 	under paragraph (a), nor is a manufactured home owner entitled to compensation under 
167.3 	subdivision 13, paragraph (a) or (e), if:
167.4 	(1) the manufactured home park owner relocates the manufactured home owner to 
167.5 	another space in the manufactured home park or to another manufactured home park at 
167.6 	the park owner's expense;
167.7 	(2) the manufactured home owner is vacating the premises and has informed the 
167.8 	manufactured home park owner or manager of this prior to the mailing date of the closure 
167.9 	statement under subdivision 1;
167.10 	(3) a manufactured home owner has abandoned the manufactured home, or the 
167.11 	manufactured home owner is not current on the monthly lot rental, personal property 
167.12 	taxes, or has failed to pay the annual $12 payments to the Minnesota manufactured home 
167.13 	relocation trust fund when due; 
167.14 	(4) the manufactured home owner has a pending eviction action for nonpayment of 
167.15 	lot rental amount under section 327C.09, which was filed against the manufactured home 
167.16 	owner prior to the mailing date of the closure statement under subdivision 1, and the writ 
167.17 	of recovery has been ordered by the district court;
167.18 	(5) the conversion of all or a portion of a manufactured home park to another use, 
167.19 	the closure of a park, or cessation of use of the land as a manufactured home park is the 
167.20 	result of a taking or exercise of the power of eminent domain by a governmental entity 
167.21 	or public utility; or
167.22 	(6) the owner of the manufactured home is not a resident of the manufactured home 
167.23 	park, as defined in section 327C.01, subdivision 9, or the owner of the manufactured home 
167.24 	is a resident, but came to reside in the manufactured home park after the mailing date of 
167.25 	the closure statement under subdivision 1.
167.26 	(c) Owners of manufactured homes who rent lots in a manufactured home park shall 
167.27 	make annual payments to the park owner, to be deposited in the Minnesota manufactured 
167.28 	home relocation trust fund under section 462A.35, in the amount of $12 per year, per 
167.29 	manufactured home, payable on August 15 of each year. On or before July 15 of each 
167.30 	year, the commissioner of finance shall prepare and post on the department's Web site a 
167.31 	generic invoice and cover letter explaining the purpose of the Minnesota manufactured 
167.32 	home relocation trust fund, the obligation of each manufactured home owner to make an 
167.33 	annual $12 payment into the fund, the due date, and the need to pay to the park owner for 
167.34 	collection, and a warning, in 14-point font, that if the annual payments are not made when 
167.35 	due, the manufactured home owner will not be eligible for compensation from the fund if 
167.36 	the manufactured home park closes. The park owner shall receive, record, and commingle 
168.1 	the payments and forward the payments to the commissioner of finance by September 15 
168.2 	of each year, with a summary by the park owner, certifying the name, address, and payment 
168.3 	amount of each remitter, and noting the names and address of manufactured home owners 
168.4 	who did not pay the $12 annual payment, sent to both the commissioner of finance and the 
168.5 	commissioner of the Minnesota Housing Finance Agency. The commissioner of finance 
168.6 	shall deposit the payments in the Minnesota manufactured home relocation trust fund.
168.7 	The commissioner of finance shall annually assess each manufactured home park owner 
168.8 	by mail the total amount of $12 for each licensed lot in their park, payable on or before 
168.9 	September 15 of each year. The commissioner of finance shall deposit the payments in the 
168.10 	Minnesota manufactured home relocation trust fund. On or before July 15 of each year, 
168.11 	the commissioner of finance shall prepare and distribute to park owners a letter explaining 
168.12 	the collection, an invoice for all licensed lots, and a sample form for the park owners to 
168.13 	collect information on which park residents have been accounted for. The park owner may 
168.14 	recoup the cost of the $12 assessment as a lump sum or as a monthly fee of no more than 
168.15 	$1 collected from park residents together with monthly lot rent as provided in section 
168.16 	327C.03, subdivision 6. Park owners may adjust payment for lots in their park that are 
168.17 	vacant or otherwise not eligible for contribution to the trust fund under section 327C.095, 
168.18 	subdivision 12, paragraph (b), and deduct from the assessment, accordingly.
168.19 	(d) This subdivision and subdivision 13, paragraph (c), clause (5), are enforceable by 
168.20 	the neutral third party, on behalf of the Minnesota Housing Finance Agency, or by action 
168.21 	in a court of appropriate jurisdiction. The court may award a prevailing party reasonable 
168.22 	attorney fees, court costs, and disbursements.

168.23 	Sec. 3. Minnesota Statutes 2008, section 327C.095, subdivision 13, is amended to read:
168.24 		Subd. 13.Change in use, relocation expenses; payments by park owner. (a) 
168.25 	If a manufactured home owner is required to relocate due to the conversion of all or a 
168.26 	portion of a manufactured home park to another use, the closure of a manufactured home 
168.27 	park, or cessation of use of the land as a manufactured home park under subdivision 
168.28 	1, and the manufactured home owner complies with the requirements of this section, 
168.29 	the manufactured home owner is entitled to payment from the Minnesota manufactured 
168.30 	home relocation trust fund equal to the manufactured home owner's actual relocation 
168.31 	costs for relocating the manufactured home to a new location within a 25-mile radius 
168.32 	of the park that is being closed, up to a maximum of $4,000 for a single-section and 
168.33 	$8,000 for a multisection manufactured home. The actual relocation costs must include 
168.34 	the reasonable cost of taking down, moving, and setting up the manufactured home, 
168.35 	including equipment rental, utility connection and disconnection charges, minor repairs, 
169.1 	modifications necessary for transportation of the home, necessary moving permits and 
169.2 	insurance, moving costs for any appurtenances, which meet applicable local, state, and 
169.3 	federal building and construction codes.
169.4 	(b) A manufactured home owner is not entitled to compensation under paragraph (a) 
169.5 	if the manufactured home park owner is not required to make a payment to the Minnesota 
169.6 	manufactured home relocation trust fund under subdivision 12, paragraph (b).
169.7 	(c) Except as provided in paragraph (e), in order to obtain payment from the 
169.8 	Minnesota manufactured home relocation trust fund, the manufactured home owner shall 
169.9 	submit to the neutral third party and the Minnesota Housing Finance Agency, with a copy 
169.10 	to the park owner, an application for payment, which includes:
169.11 	(1) a copy of the closure statement under subdivision 1;
169.12 	(2) a copy of the contract with a moving or towing contractor, which includes the 
169.13 	relocation costs for relocating the manufactured home;
169.14 	(3) a statement with supporting materials of any additional relocation costs as 
169.15 	outlined in subdivision 1;
169.16 	(4) a statement certifying that none of the exceptions to receipt of compensation 
169.17 	under subdivision 12, paragraph (b), apply to the manufactured home owner;
169.18 	(5) a statement from the manufactured park owner that the lot rental is current 
169.19 	and that the annual $12 payments to the Minnesota manufactured home relocation trust 
169.20 	fund have been paid when due; and
169.21 	(6) a statement from the county where the manufactured home is located certifying 
169.22 	that personal property taxes for the manufactured home are paid through the end of that 
169.23 	year.
169.24 	(d) If the neutral third party has acted reasonably and does not approve or deny 
169.25 	payment within 45 days after receipt of the information set forth in paragraph (c), the 
169.26 	payment is deemed approved. Upon approval and request by the neutral third party, 
169.27 	the Minnesota Housing Finance Agency shall issue two checks in equal amount for 50 
169.28 	percent of the contract price payable to the mover and towing contractor for relocating 
169.29 	the manufactured home in the amount of the actual relocation cost, plus a check to the 
169.30 	home owner for additional certified costs associated with third-party vendors, that were 
169.31 	necessary in relocating the manufactured home. The moving or towing contractor shall 
169.32 	receive 50 percent upon execution of the contract and 50 percent upon completion of 
169.33 	the relocation and approval by the manufactured home owner. The moving or towing 
169.34 	contractor may not apply the funds to any other purpose other than relocation of the 
169.35 	manufactured home as provided in the contract. A copy of the approval must be forwarded 
170.1 	by the neutral third party to the park owner with an invoice for payment of the amount 
170.2 	specified in subdivision 12, paragraph (a).
170.3 	(e) In lieu of collecting a relocation payment from the Minnesota manufactured 
170.4 	home relocation trust fund under paragraph (a), the manufactured home owner may collect 
170.5 	an amount from the fund after reasonable efforts to relocate the manufactured home 
170.6 	have failed due to the age or condition of the manufactured home, or because there are 
170.7 	no manufactured home parks willing or able to accept the manufactured home within a 
170.8 	25-mile radius. A manufactured home owner may tender title of the manufactured home 
170.9 	in the manufactured home park to the manufactured home park owner, and collect an 
170.10 	amount to be determined by an independent appraisal. The appraiser must be agreed to 
170.11 	by both the manufactured home park owner and the manufactured home owner. The 
170.12 	amount that may be reimbursed under the fund is a maximum of $5,000 for a single 
170.13 	section and $9,000 for a multisection manufactured home. The manufactured home 
170.14 	owner shall deliver to the manufactured home park owner the current certificate of title 
170.15 	to the manufactured home duly endorsed by the owner of record, and valid releases of 
170.16 	all liens shown on the certificate of title, and a statement from the county where the 
170.17 	manufactured home is located evidencing that the personal property taxes have been paid. 
170.18 	The manufactured home owner's application for funds under this paragraph must include a 
170.19 	document certifying that the manufactured home cannot be relocated, that the lot rental is 
170.20 	current, that the annual $12 payments to the Minnesota manufactured home relocation 
170.21 	trust fund have been paid when due, that the manufactured home owner has chosen to 
170.22 	tender title under this section, and that the park owner agrees to make a payment to the 
170.23 	commissioner of finance in the amount established in subdivision 12, paragraph (a), less 
170.24 	any documented costs submitted to the neutral third party, required for demolition and 
170.25 	removal of the home, and any debris or refuse left on the lot, not to exceed $1,000. The 
170.26 	manufactured home owner must also provide a copy of the certificate of title endorsed by 
170.27 	the owner of record, and certify to the neutral third party, with a copy to the park owner, 
170.28 	that none of the exceptions to receipt of compensation under subdivision 12, paragraph 
170.29 	(b), clauses (1) to (6), apply to the manufactured home owner, and that the home owner 
170.30 	will vacate the home within 60 days after receipt of payment or the date of park closure, 
170.31 	whichever is earlier, provided that the monthly lot rent is kept current. 
170.32 	(f) The Minnesota Housing Finance Agency must make a determination of the 
170.33 	amount of payment a manufactured home owner would have been entitled to under a local 
170.34 	ordinance in effect on May 26, 2007. Notwithstanding paragraph (a), the manufactured 
170.35 	home owner's compensation for relocation costs from the fund under section 462A.35, is 
170.36 	the greater of the amount provided under this subdivision, or the amount under the local 
171.1 	ordinance in effect on May 26, 2007, that is applicable to the manufactured home owner. 
171.2 	Nothing in this paragraph is intended to increase the liability of the park owner.
171.3 	(g) Neither the neutral third party nor the Minnesota Housing Finance Agency shall 
171.4 	be liable to any person for recovery if the funds in the Minnesota manufactured home 
171.5 	relocation trust fund are insufficient to pay the amounts claimed. The Minnesota Housing 
171.6 	Finance Agency shall keep a record of the time and date of its approval of payment to a 
171.7 	claimant.
171.8 	(h) The agency shall report to the chairs of the senate Finance Committee and 
171.9 	house of representatives Ways and Means Committee by January 15 of each year on 
171.10 	the Minnesota manufactured home relocation trust fund, including the account balance, 
171.11 	payments to claimants, the amount of any advances to the fund, and the amount of any 
171.12 	insufficiencies encountered during the previous calendar year, and any administrative 
171.13 	charges or expenses deducted from the trust fund balance. If sufficient funds become 
171.14 	available, the Minnesota Housing Finance Agency shall pay the manufactured home 
171.15 	owner whose unpaid claim is the earliest by time and date of approval.

171.16 	Sec. 4. Minnesota Statutes 2008, section 462A.05, subdivision 14, is amended to read:
171.17 		Subd. 14.Rehabilitation loans. It may agree to purchase, make, or otherwise 
171.18 	participate in the making, and may enter into commitments for the purchase, making, or 
171.19 	participation in the making, of eligible loans for rehabilitation, with terms and conditions 
171.20 	as the agency deems advisable, to persons and families of low and moderate income, and 
171.21 	to owners of existing residential housing for occupancy by such persons and families, 
171.22 	for the rehabilitation of existing residential housing owned by them. The loans may be 
171.23 	insured or uninsured and may be made with security, or may be unsecured, as the agency 
171.24 	deems advisable. The loans may be in addition to or in combination with long-term 
171.25 	eligible mortgage loans under subdivision 3. They may be made in amounts sufficient 
171.26 	to refinance existing indebtedness secured by the property, if refinancing is determined 
171.27 	by the agency to be necessary to permit the owner to meet the owner's housing cost 
171.28 	without expending an unreasonable portion of the owner's income thereon. No loan for 
171.29 	rehabilitation shall be made unless the agency determines that the loan will be used 
171.30 	primarily to make the housing more desirable to live in, to increase the market value of the 
171.31 	housing, for compliance with state, county or municipal building, housing maintenance, 
171.32 	fire, health or similar codes and standards applicable to housing, or to accomplish energy 
171.33 	conservation related improvements. In unincorporated areas and municipalities not 
171.34 	having codes and standards, the agency may, solely for the purpose of administering 
171.35 	the provisions of this chapter, establish codes and standards. Except for accessibility 
172.1 	improvements under this subdivision and subdivisions 14a and 24, clause (1), no secured 
172.2 	loan for rehabilitation of any owner-occupied property shall be made in an amount which, 
172.3 	with all other existing indebtedness secured by the property, would exceed 110 percent 
172.4 	of its market value, as determined by the agency. No loan under this subdivision for the 
172.5 	rehabilitation of owner-occupied housing shall be denied solely because the loan will not 
172.6 	be used for placing the owner-occupied residential housing in full compliance with all 
172.7 	state, county, or municipal building, housing maintenance, fire, health, or similar codes 
172.8 	and standards applicable to housing. Rehabilitation loans shall be made only when the 
172.9 	agency determines that financing is not otherwise available, in whole or in part, from 
172.10 	private lenders upon equivalent terms and conditions. Accessibility rehabilitation loans 
172.11 	authorized under this subdivision may be made to eligible persons and families without 
172.12 	limitations relating to the maximum incomes of the borrowers if:
172.13 	(1) the borrower or a member of the borrower's family requires a level of care 
172.14 	provided in a hospital, skilled nursing facility, or intermediate care facility for persons 
172.15 	with developmental disabilities;
172.16 	(2) home care is appropriate; and
172.17 	(3) the improvement will enable the borrower or a member of the borrower's family 
172.18 	to reside in the housing.
172.19 	The agency may waive any requirement that the housing units in a residential housing 
172.20 	development be rented to persons of low and moderate income if the development consists 
172.21 	of four or less dwelling units, one of which is occupied by the owner.

172.22 	Sec. 5. Minnesota Statutes 2008, section 462A.05, subdivision 14a, is amended to read:
172.23 		Subd. 14a.Rehabilitation loans; existing owner occupied residential housing.
 172.24 	It may make loans to persons and families of low and moderate income to rehabilitate 
172.25 	or to assist in rehabilitating existing residential housing owned and occupied by those 
172.26 	persons or families. No loan shall be made unless the agency determines that the loan 
172.27 	will be used primarily for rehabilitation work necessary for health or safety, essential 
172.28 	accessibility improvements, or to improve the energy efficiency of the dwelling. No 
172.29 	loan for rehabilitation of owner occupied residential housing shall be denied solely 
172.30 	because the loan will not be used for placing the residential housing in full compliance 
172.31 	with all state, county or municipal building, housing maintenance, fire, health or similar 
172.32 	codes and standards applicable to housing. The amount of any loan shall not exceed the 
172.33 	lesser of (a) a maximum loan amount determined under rules adopted by the agency 
172.34 	not to exceed $20,000 $27,000, or (b) the actual cost of the work performed, or (c) that 
172.35 	portion of the cost of rehabilitation which the agency determines cannot otherwise be 
173.1 	paid by the person or family without the expenditure of an unreasonable portion of the 
173.2 	income of the person or family. Loans made in whole or in part with federal funds may 
173.3 	exceed the maximum loan amount to the extent necessary to comply with federal lead 
173.4 	abatement requirements prescribed by the funding source. In making loans, the agency 
173.5 	shall determine the circumstances under which and the terms and conditions under which 
173.6 	all or any portion of the loan will be repaid and shall determine the appropriate security 
173.7 	for the repayment of the loan. Loans pursuant to this subdivision may be made with 
173.8 	or without interest or periodic payments.

173.9 	Sec. 6. Minnesota Statutes 2008, section 469.201, subdivision 2, is amended to read:
173.10 		Subd. 2.City. "City" means a city of the first class as defined in section 410.01
173.11 	and, a city of the second class that is designated as an economically depressed area by 
173.12 	the United States Department of Commerce, and a statutory or home rule charter city, 
173.13 	town, or township. For each city, a port authority, housing and redevelopment authority, 
173.14 	or other agency or instrumentality, the jurisdiction of which is the territory of the city, is 
173.15 	included within the meaning of city.

173.16 	Sec. 7. Minnesota Statutes 2008, section 469.201, subdivision 4, is amended to read:
173.17 		Subd. 4.City matching money. (a) "City matching money" means the money of a 
173.18 	city specified in a targeted revitalization program. The sources of city matching money 
173.19 	may include:
173.20 	(1) money from the general fund or a special fund of a city used to implement a 
173.21 	targeted revitalization program;
173.22 	(2) money paid or repaid to a city from the proceeds of a grant that a city has 
173.23 	received from the federal government, a profit or nonprofit corporation, or another entity 
173.24 	or individual, that is to be used to implement a targeted revitalization program;
173.25 	(3) tax increments received by a city under sections 469.174 to 469.179 or other law, 
173.26 	if eligible, to be spent in the targeted neighborhood community;
173.27 	(4) the greater of the fair market value or the cost to the city of acquiring land, 
173.28 	buildings, equipment, or other real or personal property that a city contributes, grants, 
173.29 	leases, or loans to a profit or nonprofit corporation or other entity or individual, in 
173.30 	connection with the implementation of a targeted revitalization program;
173.31 	(5) city money to be used to acquire, install, reinstall, repair, or improve the 
173.32 	infrastructure facilities of a targeted neighborhood community;
174.1 	(6) money contributed by a city to pay issuance costs, fund bond reserves, or to 
174.2 	otherwise provide financial support for revenue bonds or obligations issued by a city for a 
174.3 	project or program related to the implementation of a targeted revitalization program;
174.4 	(7) money derived from fees received by a city in connection with its community 
174.5 	development activities that are to be used in implementing a targeted revitalization 
174.6 	program;
174.7 	(8) money derived from the apportionment to the city under section 162.14 or by 
174.8 	special law, and expended in a targeted neighborhood community for an activity related to 
174.9 	the targeted revitalization program;
174.10 	(9) administrative expenses of the city that are incurred in connection with the 
174.11 	planning, implementation, or reporting requirements of sections 469.201 to 469.207.
174.12 	(b) City matching money does not include:
174.13 	(1) city money used to provide a service or to exercise a function that is ordinarily 
174.14 	provided throughout the city, unless an increased level of the service or function is 
174.15 	to be provided in a targeted neighborhood community in accordance with a targeted 
174.16 	revitalization program;
174.17 	(2) the proceeds of bonds issued by the city under chapter 462C or 469 and payable 
174.18 	solely from repayments made by one or more nongovernmental persons in consideration 
174.19 	for the financing provided by the bonds; or
174.20 	(3) money given by the state to fund any part of the targeted revitalization program.

174.21 	Sec. 8. Minnesota Statutes 2008, section 469.201, subdivision 6, is amended to read:
174.22 		Subd. 6.Housing activities. "Housing activities" include any work or undertaking 
174.23 	to provide housing and related services and amenities primarily for persons and families of 
174.24 	low or moderate income. This work or undertaking may include the planning of buildings 
174.25 	and improvements; the acquisition of real property, which may be needed immediately
174.26 	to address vacancies, foreclosures, and preservation of housing now  or in the future for 
174.27 	housing purposes and the; demolition of any existing improvements; activities to address 
174.28 	lead abatement, energy efficiencies, or other activities related to the health of a building; 
174.29 	and the construction, reconstruction, alteration, and repair of new and existing buildings. 
174.30 	Housing activities also include the provision of a housing rehabilitation and energy 
174.31 	improvement loan and grant program with respect to any residential property located 
174.32 	within the targeted neighborhood community, the cost of relocation relating to acquiring 
174.33 	property for housing activities, and programs authorized by chapter 462C.

174.34 	Sec. 9. Minnesota Statutes 2008, section 469.201, subdivision 7, is amended to read:
175.1 		Subd. 7.Lost unit. "Lost unit" means a rental housing unit that has been vacant 
175.2 	for more than six months or has been condemned for code violations,  that is lost as a 
175.3 	result of revitalization activities because it is demolished, converted to an owner-occupied 
175.4 	unit that is not a cooperative, or converted to a nonresidential use, or because the gross 
175.5 	rent to be charged exceeds 125 percent of the gross rent charged for the unit six months 
175.6 	before the start of rehabilitation.

175.7 	Sec. 10. Minnesota Statutes 2008, section 469.201, subdivision 10, is amended to read:
175.8 		Subd. 10.Targeted neighborhoodcommunity. "Targeted neighborhood
175.9 	community" means an area including one or more census tracts, as determined and 
175.10 	measured by the Bureau of Census of the United States Department of Commerce, that 
175.11 	a city council determines in a resolution adopted under section 469.202, subdivision 1, 
175.12 	meets the criteria of section 469.202, subdivision 2, and any additional area designated 
175.13 	under section 469.202, subdivision 3.

175.14 	Sec. 11. Minnesota Statutes 2008, section 469.201, subdivision 11, is amended to read:
175.15 		Subd. 11.Targeted neighborhood community money. "Targeted neighborhood
175.16 	community money" means the money designated in the targeted  revitalization program to 
175.17 	be used to implement the targeted  revitalization program.

175.18 	Sec. 12. Minnesota Statutes 2008, section 469.201, subdivision 12, is amended to read:
175.19 		Subd. 12.Targeted neighborhood community revitalization and financing 
175.20 	program. "Targeted neighborhood community revitalization and financing program," 
175.21 	"revitalization program," or "program" means the targeted neighborhood community
175.22 	revitalization and financing program adopted in accordance with section 469.203.

175.23 	Sec. 13. Minnesota Statutes 2008, section 469.202, is amended to read:
175.24 	469.202 DESIGNATION OF TARGETED NEIGHBORHOODS
175.25 	COMMUNITIES.
175.26 		Subdivision 1.City authority. A city may by resolution designate a targeted 
175.27 	neighborhoods community within its borders after adopting detailed findings that the 
175.28 	designated neighborhoods communities meet the eligibility requirements in subdivision 2 
175.29 	or 3.
175.30 		Subd. 2.Eligibility requirements for targeted neighborhoods communities. An 
175.31 	area within a city is eligible for designation as a targeted neighborhood community if the 
175.32 	area meets two three of the following three four criteria:
176.1 	(a) The area had an unemployment rate that was twice the unemployment rate for 
176.2 	the Minneapolis and Saint Paul standard metropolitan statistical area as determined by 
176.3 	the most recent federal decennial census.
176.4 	(b) The median household income in the area was no more than half 80 percent of 
176.5 	 the median household income for the Minneapolis and Saint Paul standard metropolitan 
176.6 	statistical area as determined by the most recent federal decennial census.
176.7 	(c) The area is characterized by residential dwelling units in need of substantial 
176.8 	rehabilitation. An area qualifies under this paragraph if 25 percent or more of the 
176.9 	residential dwelling units are in substandard condition as determined by the city, or if 70 
176.10 	percent or more of the residential dwelling units in the area were built before 1940 1960 as 
176.11 	determined by the most recent federal decennial census.
176.12 	(d) The area is characterized by having a disproportionate number of vacant 
176.13 	residential buildings and mortgage foreclosures. An area qualifies under this paragraph 
176.14 	if it has either:
176.15 	(1) a foreclosure rate of at least 1.5 percent in 2008; or
176.16 	(2) a foreclosure rate in 2008 in the city or in a zip code area of the city that is at 
176.17 	least 50 percent higher than the average foreclosure rate in the metropolitan area, as 
176.18 	defined in section 473.121, subdivision 2. For purposes of this paragraph, "foreclosure 
176.19 	rate" means the number of foreclosures, as indicated by sheriff sales records, divided by 
176.20 	the number of households in the city in 2007.
176.21 		Subd. 3.Additional area eligible for inclusion in targeted neighborhood
176.22 	community. (a) A city may add to the area designated as a targeted neighborhood
176.23 	community under subdivision 2 additional area extending up to four contiguous city 
176.24 	blocks in all directions from the designated targeted neighborhood community. For the 
176.25 	purpose of this subdivision, "city block" has the meaning determined by the city; or
176.26 	(b) The city may enlarge the targeted neighborhood community to include portions 
176.27 	of a census tract that is contiguous to a targeted neighborhood community, provided that 
176.28 	the city council first determines the additional area satisfies two three of the three four
176.29 	criteria in subdivision 2.

176.30 	Sec. 14. Minnesota Statutes 2008, section 469.203, subdivision 1, is amended to read:
176.31 		Subdivision 1.Requirements. For each targeted neighborhood community for 
176.32 	which a city requests state financial assistance under section 469.204, the city must 
176.33 	prepare a comprehensive revitalization and financing program that includes the following:
176.34 	(1) the revitalization objectives of the city for the targeted neighborhood community;
177.1 	(2) the specific activities or means by which the city intends to pursue and implement 
177.2 	the revitalization objectives;
177.3 	(3) the extent to which the activities identified in clause (2) will benefit low- 
177.4 	and moderate-income families, will alleviate the blighted condition of the targeted 
177.5 	neighborhood community, or will otherwise assist in the revitalization of the targeted 
177.6 	neighborhood community;
177.7 	(4) a statement of the intended outcomes to be achieved by implementation of the 
177.8 	targeted revitalization program, how the outcomes will be measured both qualitatively and 
177.9 	quantitatively, and the estimated time over which they will occur; and
177.10 	(5) a financing program and budget that identifies the financial resources necessary 
177.11 	to implement the targeted revitalization program, including:
177.12 	(i) the estimated total cost to implement the targeted revitalization program;
177.13 	(ii) the estimated cost to implement each activity in the revitalization program 
177.14 	identified in clause (2);
177.15 	(iii) the estimated amount of financial resources that will be available from all 
177.16 	sources other than from the appropriation available under section 469.204 to implement 
177.17 	the revitalization program, including the amount of private investment expected to result 
177.18 	from the use of public money in the targeted neighborhood community;
177.19 	(iv) the estimated amount of the appropriation available under section 469.204 that 
177.20 	will be necessary to implement the targeted revitalization program;
177.21 	(v) a description of the activities identified in the targeted revitalization program for 
177.22 	which the state appropriation will be committed or spent; and
177.23 	(vi) a statement of how the city intends to meet the requirement for a financial 
177.24 	contribution from city matching money in accordance with section 469.204, subdivision 3.

177.25 	Sec. 15. Minnesota Statutes 2008, section 469.203, subdivision 2, is amended to read:
177.26 		Subd. 2.Targeted neighborhood community participation in preparing 
177.27 	revitalization program. A city requesting state financial assistance under section 
177.28 	469.204 shall adopt follow a process to involve the residents of targeted neighborhoods
177.29 	communities in the development, drafting, and implementation of the targeted 
177.30 	revitalization program. The process shall include the use of a citizen participation 
177.31 	process established by the city. A description of the process must be included in the 
177.32 	program. The process to involve residents of the targeted neighborhood community
177.33 	must include at least one public hearing. The city of Minneapolis shall establish the 
177.34 	community-based process as outlined in subdivision 3. The city of St. Paul shall use 
177.35 	the same community-based process the city used in planning, developing, drafting, and 
178.1 	implementing the revitalization program required under Laws 1987, chapter 386, article 6, 
178.2 	section 6. The city of Duluth shall use the same citizen participation process the city used 
178.3 	in planning, developing, and implementing the federal funded community development 
178.4 	program meeting in the targeted community.

178.5 	Sec. 16. Minnesota Statutes 2008, section 469.203, subdivision 4, is amended to read:
178.6 		Subd. 4.City approval of program. (a) Before or after adoption of a revitalization 
178.7 	program under paragraph (b), the city must submit a preliminary program to the 
178.8 	commissioner and the Minnesota Housing Finance Agency for their comments. The city 
178.9 	may not adopt the revitalization program until comments have been received from the 
178.10 	state agencies or 30 days have elapsed without response after the program was sent to 
178.11 	them. Comments received by the city from the state agencies within the 30-day period 30 
178.12 	days after submission of the preliminary program must be responded to in writing by the 
178.13 	city before adoption of the program by the city.
178.14 	(b) The city may adopt a targeted revitalization program only after holding a public 
178.15 	hearing after the program has been prepared. Notice of the hearing must be provided in a 
178.16 	newspaper of general circulation in the city and in the most widely circulated community 
178.17 	newspaper in the targeted neighborhoods not less than ten days nor more than 30 days 
178.18 	before the date of the hearing subject to any local public notification requirements 
178.19 	and consistent with citizen participation process established for identifying targeted 
178.20 	communities.
178.21 	(c) A certification by the city that a targeted revitalization program has been 
178.22 	approved by the city council for the targeted neighborhood community must be provided 
178.23 	to the commissioner together with a copy of the program. A copy of the program must 
178.24 	also be provided to the Minnesota Housing Finance Agency and the commissioner of 
178.25 	employment and economic development.
178.26 	(d) A targeted revitalization program for the city may be modified at any time by 
178.27 	the city council after a public hearing, notice of which is published in a newspaper of 
178.28 	general circulation in the city and in the targeted neighborhood at least ten days nor 
178.29 	more than 30 days before the date of the hearing. If the city council determines that the 
178.30 	proposed modification is a significant modification to the program originally certified 
178.31 	under paragraph (c), the city council shall implement the targeted revitalization program 
178.32 	approval and certification process of this subdivision for the proposed modification.

178.33 	Sec. 17. Minnesota Statutes 2008, section 469.204, subdivision 1, is amended to read:
179.1 		Subdivision 1.Payment of state money. Upon receipt from a city of a certification 
179.2 	that a revitalization program has been adopted or modified, the commissioner shall, within 
179.3 	30 days, pay to the city the amount of state money identified as necessary to implement 
179.4 	the revitalization program or program modification. State money may be paid to the 
179.5 	city only to the extent that the appropriation limit for the city specified in subdivision 2 
179.6 	is not exceeded. Once the state money has been paid to the city, it becomes targeted 
179.7 	neighborhoodcommunity money for use by the city in accordance with an adopted 
179.8 	revitalization program and subject only to the restrictions on its use in sections 469.201 to 
179.9 	469.207.

179.10 	Sec. 18. Minnesota Statutes 2008, section 469.204, is amended by adding a subdivision 
179.11 	to read:
179.12 		Subd. 4.Revolving fund. A targeted community revitalization revolving fund 
179.13 	is established in the state treasury. The fund consists of all money appropriated to the 
179.14 	commissioner for the purposes of sections 469.201 to 469.207 and all proceeds received 
179.15 	by the commissioner as the result of housing activities related to a targeted community 
179.16 	revitalization program.

179.17 	Sec. 19. Minnesota Statutes 2008, section 469.205, is amended to read:
179.18 	469.205 CITY POWERS; USES OF TARGETED NEIGHBORHOOD
179.19 	COMMUNITY MONEY.
179.20 		Subdivision 1.Consolidation of existing powers in targeted neighborhoods
179.21 	communities. A city may exercise any of its corporate powers within a targeted 
179.22 	neighborhood community. Those powers shall include, but not be limited to, all of 
179.23 	the powers enumerated and granted to any city by chapters 462C, 469, and 474A. For 
179.24 	the purposes of sections 469.048 to 469.068, a targeted neighborhood community is 
179.25 	considered an industrial development district. A city may exercise the powers of sections 
179.26 	469.048 to 469.068 in conjunction with, and in addition to, exercising the powers granted 
179.27 	by sections 469.001 to 469.047 and chapter 462C, in order to promote and assist housing 
179.28 	construction and rehabilitation within a targeted neighborhood community. For the 
179.29 	purposes of section 462C.02, subdivision 9, a targeted neighborhood community is 
179.30 	considered a "targeted area."
179.31 		Subd. 2.Grants and loans. In addition to the authority granted by other law, a city 
179.32 	may make grants, loans, and other forms of public assistance to individuals, for-profit and 
179.33 	nonprofit corporations, and other organizations to implement a targeted revitalization 
180.1 	program. The public assistance must contain the terms the city considers proper to 
180.2 	implement a targeted revitalization program.
180.3 		Subd. 3.Eligible uses of targeted neighborhood community money. The city may 
180.4 	spend targeted neighborhood community money for any purpose authorized by subdivision 
180.5 	1 or 2, except that an amount equal to at least 50 percent of the state payment under section 
180.6 	469.204 made to the city must be used for housing activities. Use of target neighborhood
180.7 	targeted community money must be authorized in a targeted revitalization program.

180.8 	Sec. 20. Minnesota Statutes 2008, section 469.207, subdivision 2, is amended to read:
180.9 		Subd. 2.Annual report. A city that begins to implement a revitalization program 
180.10 	in a calendar year must, by March 1 of the succeeding calendar year, provide a detailed 
180.11 	report on the revitalization program or programs being implemented in the city. The report 
180.12 	must describe the status of the program implementation and analyze whether the intended 
180.13 	outcomes identified in section 469.203, subdivision 1, clause (4), are being achieved. The 
180.14 	report must include at least the following:
180.15 	(1) the number of housing units, including lost units, removed, created, lost, 
180.16 	replaced, relocated, and assisted as a result of the program. The level of rent of the units 
180.17 	and the income of the households affected must be included in the report;
180.18 	(2) the number and type of commercial establishments removed, created, and 
180.19 	assisted as a result of a revitalization program. The report must include information 
180.20 	regarding the number of new jobs created by category, whether the jobs are full time or 
180.21 	part time, and the salary or wage levels of both new and expanded jobs in the affected 
180.22 	commercial establishments;
180.23 	(3) a description of a statement of the cost of the public improvement projects that 
180.24 	are part of the program and the number of jobs created for each $20,000 of money spent 
180.25 	on commercial projects and applicable public improvement projects;
180.26 	(4) the increase in the tax capacity for the city as a result of the assistance to 
180.27 	commercial and housing assistance; and
180.28 	(5) the amount of private investment that is a result of the use of public money 
180.29 	in a targeted neighborhood community.
180.30 	The report must be submitted to the commissioner, the Minnesota housing finance 
180.31 	agency, and the legislative audit commission, and must be available to the public.

180.32 	Sec. 21. Minnesota Statutes 2008, section 580.07, is amended to read:
180.33 	580.07 POSTPONEMENT. 
181.1 		Subdivision 1.Postponement by mortgagee. The sale may be postponed, from 
181.2 	time to time, by the party conducting the foreclosure, by inserting a notice of the 
181.3 	postponement, as soon as practicable, in the newspaper in which the original advertisement 
181.4 	was published, at the expense of the party requesting the postponement. The notice shall 
181.5 	be published only once. 
181.6 		Subd. 2.Postponement by mortgagor or owner. (a) If all or a part of the property 
181.7 	to be sold is classified as homestead under section 273.124 and contains one to four 
181.8 	dwelling units, the mortgagor or owner may postpone the sale to the first date that is not 
181.9 	a Saturday, Sunday, or legal holiday and is five months after the originally scheduled 
181.10 	date of sale in the manner provided in this subdivision. To postpone a foreclosure sale 
181.11 	pursuant to this subdivision, at any time after the first publication of the notice of mortgage 
181.12 	foreclosure sale under section 580.03 but at least 15 days prior to the scheduled sale date 
181.13 	specified in that notice, the mortgagor shall: (1) execute a sworn affidavit in the form set 
181.14 	forth in subdivision 3, (2) record the affidavit in the office of each county recorder and 
181.15 	registrar of titles where the mortgage was recorded, and (3) file with the sheriff conducting 
181.16 	the sale and deliver to the attorney foreclosing the mortgage, a copy of the recorded 
181.17 	affidavit, showing the date and office in which the affidavit was recorded. Recording of 
181.18 	the affidavit and postponement of the foreclosure sale pursuant to this subdivision shall 
181.19 	automatically reduce the mortgagor's redemption period under section 580.23 to five 
181.20 	weeks. The postponement of a foreclosure sale pursuant to this subdivision does not 
181.21 	require any change in the contents of the notice of sale, service of the notice of sale if the 
181.22 	occupant was served with the notice of sale prior to postponement under this subdivision, 
181.23 	or publication of the notice of sale if publication was commenced prior to postponement 
181.24 	under this subdivision, notwithstanding the service and publication time periods specified 
181.25 	in section 580.03, but the sheriff's certificate of sale shall indicate the actual date of the 
181.26 	foreclosure sale and the actual length of the mortgagor's redemption period. No notice 
181.27 	of postponement need be published. An affidavit complying with subdivision 3 shall be 
181.28 	prima facie evidence of the facts stated therein, and shall be entitled to be recorded. The 
181.29 	right to postpone a foreclosure sale pursuant to this subdivision may be exercised only 
181.30 	once, regardless whether the mortgagor reinstates the mortgage prior to the postponed 
181.31 	mortgage foreclosure sale.
181.32 	(b) If the automatic stay under United States Code, title 11, section 362, applies 
181.33 	to the mortgage foreclosure after a mortgagor or owner requests postponement of the 
181.34 	sheriff's sale under this section, then when the automatic stay is no longer applicable, the 
181.35 	mortgagor's or owner's election to shorten the redemption period to five weeks under this 
181.36 	section remains applicable to the mortgage foreclosure.
182.1 		Subd. 3.Affidavit form. The affidavit referred to in subdivision 2 shall be in 
182.2 	substantially the following form and shall contain all of the following information.
182.3 	STATE OF ______________
182.4 	COUNTY OF ______________
182.5 	________________________________________ (whether one or more, "Owner"), 
182.6 	being first duly sworn on oath, states as follows:
182.7 	1. (He is) (She is) (They are) the owner(s) or mortgagor(s) of the real property (the 
182.8 	"Property") situated in __________ (Name of) County, Minnesota, legally described in the 
182.9 	attached published Notice of Mortgage Foreclosure Sale (the "Notice"), and make this 
182.10 	affidavit for the purpose of postponing the foreclosure sale of the Property pursuant to 
182.11 	Minnesota Statutes, section 580.07, subdivision 2, for five months from the date scheduled 
182.12 	in the attached Notice.
182.13 	2. The Property is classified as homestead under Minnesota Statutes, section 
182.14 	273.124, is occupied by Owner as a homestead, and is improved with not more than 
182.15 	four dwelling units.
182.16 	3. Owner has elected to shorten Owner's redemption period from any foreclosure 
182.17 	sale of the Property to five weeks in exchange for the postponement of the foreclosure 
182.18 	sale for five months.
182.19 	___________________________________________ (signature(s) of owner)
182.20 	Signed and sworn to (or affirmed) before me on .......... (date) by ................ (name(s) 
182.21 	of person(s) making statement).
182.22 	___________________________________________ (signature of notary public)
182.23 	Notary Public

182.24 	EFFECTIVE DATE. This section is effective one month after the date of final 
182.25 	enactment, and applies to foreclosure sales scheduled to occur on or after said effective 
182.26 	date.

182.27 	Sec. 22. CONSTRUCTION MITIGATION PILOT PROGRAM.
182.28 		Subdivision 1.Purpose. The purpose of the construction mitigation grant program 
182.29 	is to mitigate the impacts of transportation construction on local small businesses, to 
182.30 	promote the retention of jobs in transportation construction areas, and to provide outreach 
182.31 	to the public and small businesses to minimize interruption to local commerce. The 
182.32 	Department of Transportation, Department of Employment and Economic Development, 
182.33 	and local government units shall work together to ensure that the recommendations 
183.1 	of the Department of Transportation's 2009 report to the legislature on transportation 
183.2 	construction impacts and any statutory changes resulting from the report recommendations 
183.3 	are applied when implementing the grant program.
183.4 		Subd. 2.Establishment. The commissioner of employment and economic 
183.5 	development shall develop and implement a construction mitigation grant program to 
183.6 	make grants available to local government units to mitigate the impacts of transportation 
183.7 	construction on local small businesses.
183.8 		Subd. 3.Definitions. For purposes of this section: 
183.9 	(1) "applicant" means a local government unit; 
183.10 	(2) "commissioner" means the commissioner of the Department of Employment and 
183.11 	Economic Development;
183.12 	(3) "eligible transportation project entirely or partially funded by state or federal 
183.13 	funds" means a project that will affect one or more small businesses as a result of 
183.14 	transportation work because the work is anticipated to impair road access for a minimum 
183.15 	period of one month;
183.16 	(4) "local government unit" means a county, statutory or home rule charter city, 
183.17 	town, special district, or other political subdivision;
183.18 	(5) "project" has the meaning given it in Minnesota Statutes, section 161.2415; and
183.19 	(6) "small business" means a business that employs ten or fewer employees and is 
183.20 	located in an area that is adjacent to an eligible project.
183.21 		Subd. 4.Applications. A grant applicant shall prepare and submit to the 
183.22 	commissioner a written proposal detailing a construction mitigation plan and strategies 
183.23 	on how the applicant will implement the plan to meet the purpose of the grant program 
183.24 	as provided in subdivision 1. An applicant shall identify any nonstate funding sources 
183.25 	available to match state funds distributed under subdivision 5.
183.26 		Subd. 5.Fund distribution. In distributing funds, the commissioner shall consider 
183.27 	the types of businesses affected by the eligible transportation project and shall balance 
183.28 	funding between eligible transportation projects within the seven-county metropolitan area 
183.29 	and eligible transportation projects outside of the seven-county metropolitan area.
183.30 		Subd. 6.Expiration. This section expires on July 1, 2011.

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

183.32 	Sec. 23.  REPEALER.
 183.33 	Minnesota Statutes 2008, sections 469.203, subdivision 3; and 469.204, subdivisions 
183.34 	2 and 3, are repealed.

184.1 	ARTICLE 9
184.2 	MINNESOTA HERITAGE

184.3 	Section 1. Minnesota Statutes 2008, section 129D.13, subdivision 1, is amended to 
184.4 	read:
184.5 		Subdivision 1.Distribution. The commissioner shall distribute the money provided 
184.6 	by sections 129D.11 to 129D.13. Twice Annually the commissioner shall make block 
184.7 	grants which shall be distributed in equal amounts to public stations for operational costs. 
184.8 	The commissioner shall allocate money appropriated for the purposes of sections 129D.11
184.9 	to 129D.13 in such a manner that each eligible public station receives a block grant. In 
184.10 	addition, the commissioner shall make matching grants to public stations. Matching grants 
184.11 	shall be used for operational costs and shall be allocated using the procedure developed 
184.12 	for distribution of state money under this section for grants made in fiscal year 1979. No 
184.13 	station's matching grant in any fiscal year shall exceed the amount of Minnesota-based 
184.14 	contributions received by that station in the previous fiscal year. Grants made pursuant to 
184.15 	this subdivision may only be given to those federally licensed stations that are certified as 
184.16 	eligible for community service grants through the Corporation for Public Broadcasting. 
184.17 	Grant funds not expended by a station during the first year of the biennium do not cancel 
184.18 	and may be carried over into the second fiscal year.

184.19 	Sec. 2. Minnesota Statutes 2008, section 129D.13, subdivision 2, is amended to read:
184.20 		Subd. 2.Exclusions from contribution amount. In calculating the amount of 
184.21 	contributions received by a public station pursuant to subdivision 1, there shall be 
184.22 	excluded: contributions, whether monetary or in kind, from the Corporation for Public 
184.23 	Broadcasting; tax generated funds, including payments by public or private elementary 
184.24 	and secondary schools; that portion of any foundation or corporation donation in excess 
184.25 	of $500 $2,500 from any one contributor in a calendar the previous station fiscal year; 
184.26 	contributions from any source if made for the purpose of capital expenditures; and 
184.27 	contributions from all sources based outside the state.

184.28 	Sec. 3. Minnesota Statutes 2008, section 129D.13, subdivision 3, is amended to read:
184.29 		Subd. 3.Report. Each educational station receiving a grant shall annually report 
184.30 	by July 1 annually by August 1 to the commissioner the purposes for which the money 
184.31 	was used in the past fiscal year and the anticipated use of the money in the next fiscal year. 
184.32 	The report shall be certified by an independent auditor or a certified public accountant.
184.33 	This report shall be submitted along with a new grant request submission. If the report 
185.1 	is not submitted by September 1, the commissioner may withhold from the educational 
185.2 	station 45 percent of the amount to which it was entitled based upon the contribution of 
185.3 	the previous fiscal year, and may redistribute that money to other educational stations.

185.4 	Sec. 4. Minnesota Statutes 2008, section 129D.14, subdivision 4, is amended to read:
185.5 		Subd. 4.Application. To be eligible for a grant under this section, a licensee 
185.6 	shall submit an application to the commissioner within the deadline prescribed by the 
185.7 	commissioner according to state grant policies. Each noncommercial radio station 
185.8 	receiving a grant shall report annually within the deadline prescribed by August 1 to the 
185.9 	commissioner the purposes for which the money was used in the past fiscal year and the 
185.10 	anticipated use of the money for the next fiscal year. This report shall be submitted along 
185.11 	with a new grant request submission. If the application and report are not submitted within 
185.12 	the deadline prescribed by the commissioner, the grant may be redistributed to the other 
185.13 	noncommercial radio stations eligible for a grant under this section.

185.14 	Sec. 5. Minnesota Statutes 2008, section 129D.14, subdivision 5, is amended to read:
185.15 		Subd. 5.State community service block grants. (a) The commissioner shall 
185.16 	determine eligibility for block grants and the allocation of block grant money on the basis 
185.17 	of audited financial records of the station to receive the block grant funds for the station's 
185.18 	fiscal year preceding the year in which the grant is made, as well as on the basis of the 
185.19 	other requirements set forth in this section. The commissioner shall annually distribute 
185.20 	block grants equally to all stations that comply with the eligibility requirements and for 
185.21 	which a licensee applies for a block grant. Grant funds not expended by a station during 
185.22 	the first year of the biennium do not cancel and may be carried over into the second fiscal 
185.23 	year. The commissioner may promulgate rules to implement this section.
185.24 	(b) A station may use grant money under this section for any radio station expenses.

185.25 	Sec. 6. Minnesota Statutes 2008, section 129D.14, subdivision 6, is amended to read:
185.26 		Subd. 6.Audit. A station that receives a grant under this section shall have an 
185.27 	audit of its financial records made by an independent auditor or Corporation for Public 
185.28 	Broadcasting accepted audit at the end of for the fiscal year for which it received the grant. 
185.29 	The audit shall include a review of station promotion, operation, and management and an 
185.30 	analysis of the station's use of the grant money. A copy of the most recent audit shall be 
185.31 	filed with the commissioner. If neither is available, The commissioner may accept a letter 
185.32 	of negative assurance from an independent auditor or a certified public accountant.

186.1 	Sec. 7. Minnesota Statutes 2008, section 129D.155, is amended to read:
186.2 	129D.155 REPAYMENT OF FUNDS.
186.3 	State funds distributed to public television or noncommercial radio stations and used 
186.4 	to purchase equipment assets must be repaid to the state, without interest, if the assets 
186.5 	purchased with these funds are sold within five years or otherwise converted to a person 
186.6 	other than a nonprofit or municipal corporation. The amount due to the state shall be the 
186.7 	net amount realized from the sale of the assets, but shall not exceed the amount of state 
186.8 	funds advanced for the purchase of the asset. Public television and noncommercial radio 
186.9 	stations receiving state funds must report biennially to the legislature on the location and 
186.10 	usage of assets purchased with state funds.

186.11 	Sec. 8. COLOCATION REPORT.
 186.12 	The Management Analysis Division of the Department of Finance must study and 
186.13 	report to the legislature by January 15, 2010, on possible colocation of the offices of the 
186.14 	Council on Black Minnesotans, the Council on Affairs of Chicano/Latino People, the 
186.15 	Council on Asian-Pacific Minnesotans, and the metropolitan area office of the Indian 
186.16 	Affairs Council. The report must include analysis of potential cost savings, when those 
186.17 	savings could be realized, and the effect of potential colocation on operations of the 
186.18 	councils.

186.19 	Sec. 9. REVISOR'S INSTRUCTION.
 186.20 	In Minnesota Statutes, the revisor of statutes shall change the term "commission" to 
186.21 	"center" wherever the term appears as part of or in reference to "Minnesota Humanities 
186.22 	Commission."

186.23 	Sec. 10.  REPEALER.
 186.24 	Minnesota Statutes 2008, section 129D.13, subdivision 4, is repealed.