<a id="pl.1.3"></a><var>1.3</var>provisions; modifying certain notice provisions; imposing criminal penalties;<br/>
<a id="pl.1.4"></a><var>1.4</var>amending Minnesota Statutes 2008, sections 178.01; 178.03, subdivisions 3, <br/>
<a id="pl.1.5"></a><var>1.5</var>4; 178.06; 178.08; 178.11; 326B.04, subdivision 2; 326B.127, subdivision 3; <br/>
<a id="pl.1.6"></a><var>1.6</var>326B.13, subdivisions 3, 4, 5, 6; 326B.133, subdivision 5; 326B.139; 326B.142; <br/>
<a id="pl.1.7"></a><var>1.7</var>326B.148, subdivisions 2, 3; 326B.191; 326B.31, subdivision 28; 326B.33, <br/>
<a id="pl.1.8"></a><var>1.8</var>subdivision 17; 326B.42, subdivisions 2, 6; 326B.435, subdivision 2; 326B.47; <br/>
<a id="pl.1.9"></a><var>1.9</var>326B.84; 326B.89, subdivisions 1, 5, 6, 7, 8, 10, 13, by adding subdivisions; <br/>
<a id="pl.1.10"></a><var>1.10</var>326B.921, subdivision 3; Minnesota Statutes 2009 Supplement, sections 14.14, <br/>
<a id="pl.1.11"></a><var>1.11</var>subdivision 1a; 326B.145; repealing Minnesota Statutes 2008, sections 299G.11; <br/>
<a id="pl.1.12"></a><var>1.12</var>299G.13, subdivisions 1, 6, 9, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, <br/>
<a id="pl.1.13"></a><var>1.13</var>28; 299G.14; 299G.15; 299G.16; 299G.17; 299G.18; 326B.115; 326B.37, <br/>
<a id="pl.1.14"></a><var>1.14</var>subdivision 13; Minnesota Rules, parts 5200.0020; 5200.0050; 5200.0080, <br/>
<a id="pl.1.15"></a><var>1.15</var>subparts 2, 3, 4, 4a, 4b, 6, 7, 8.<br/>
<a id="pl.1.16"></a><var>1.16</var>BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:<br/>
<br/>
<a id="bill.0.1.0"></a><a id="pl.1.17"></a><var>1.17</var>    Section 1. Minnesota Statutes 2009 Supplement, section 14.14, subdivision 1a, is <br/>
<a id="pl.1.18"></a><var>1.18</var>amended to read:<br/>
<a id="pl.1.19"></a><var>1.19</var>    Subd. 1a. <b>Notice of rule hearing.</b> (a) Each agency shall maintain a list of all <br/>
<a id="pl.1.20"></a><var>1.20</var>persons who have registered their name and United States mail or electronic mail address <br/>
<a id="pl.1.21"></a><var>1.21</var>with the agency for the purpose of receiving notice of rule proceedings. Persons may <br/>
<a id="pl.1.22"></a><var>1.22</var>register to receive notice of rule proceedings by submitting to the agency:<br/>
<a id="pl.1.23"></a><var>1.23</var>(1) their electronic mail address; or<br/>
<a id="pl.1.24"></a><var>1.24</var>(2) their name and United States mail address.<br/>
<a id="pl.1.25"></a><var>1.25</var>The agency may inquire as to whether those persons on the list wish to maintain their <br/>
<a id="pl.1.26"></a><var>1.26</var>names remain on it and may remove names persons for which whom there is a negative <br/>
<a id="pl.1.27"></a><var>1.27</var>reply or no reply within 60 days. The agency shall, at least 30 days before the date set for <br/>
<a id="pl.1.28"></a><var>1.28</var>the hearing, give notice of its intention to adopt rules by United States mail or electronic <br/>
<a id="pl.2.1"></a><var>2.1</var>mail to all persons on its list, and by publication in the State Register. The mailed notice <br/>
<a id="pl.2.2"></a><var>2.2</var>must include either a copy of the proposed rule or an easily readable and understandable <br/>
<a id="pl.2.3"></a><var>2.3</var>description of its nature and effect and an announcement that a free copy of the proposed <br/>
<a id="pl.2.4"></a><var>2.4</var>rule is available on request from the agency. In addition, each agency shall make <br/>
<a id="pl.2.5"></a><var>2.5</var>reasonable efforts to notify persons or classes of persons who may be significantly affected <br/>
<a id="pl.2.6"></a><var>2.6</var>by the rule being proposed by giving notice of its intention in newsletters, newspapers, <br/>
<a id="pl.2.7"></a><var>2.7</var>or other publications, or through other means of communication. The notice in the State <br/>
<a id="pl.2.8"></a><var>2.8</var>Register must include the proposed rule or an amended rule in the form required by the <br/>
<a id="pl.2.9"></a><var>2.9</var>revisor under section 
         <statute_ref>14.07</statute_ref>, together with an easily readable and understandable summary <br/>
<a id="pl.2.10"></a><var>2.10</var>of the overall nature and effect of the proposed rule, a citation to the most specific <br/>
<a id="pl.2.11"></a><var>2.11</var>statutory authority for the proposed rule, a statement of the place, date, and time of the <br/>
<a id="pl.2.12"></a><var>2.12</var>public hearing, a statement that persons may register with the agency for the purpose of <br/>
<a id="pl.2.13"></a><var>2.13</var>receiving notice of rule proceedings and notice that the agency intends to adopt a rule and <br/>
<a id="pl.2.14"></a><var>2.14</var>other information required by law or rule. When an entire rule is proposed to be repealed, <br/>
<a id="pl.2.15"></a><var>2.15</var>the agency need only publish that fact, along with an easily readable and understandable <br/>
<a id="pl.2.16"></a><var>2.16</var>summary of the overall nature of the rules proposed for repeal, and a citation to the rule <br/>
<a id="pl.2.17"></a><var>2.17</var>to be repealed. <br/>
<a id="pl.2.18"></a><var>2.18</var>(b) The chief administrative law judge may authorize an agency to omit from the <br/>
<a id="pl.2.19"></a><var>2.19</var>notice of rule hearing the text of any proposed rule, the publication of which would be <br/>
<a id="pl.2.20"></a><var>2.20</var>unduly cumbersome, expensive, or otherwise inexpedient if:<br/>
<a id="pl.2.21"></a><var>2.21</var>(1) knowledge of the rule is likely to be important to only a small class of persons;<br/>
<a id="pl.2.22"></a><var>2.22</var>(2) the notice of rule hearing states that a free copy of the entire rule is available <br/>
<a id="pl.2.23"></a><var>2.23</var>upon request to the agency; and<br/>
<a id="pl.2.24"></a><var>2.24</var>(3) the notice of rule hearing states in detail the specific subject matter of the omitted <br/>
<a id="pl.2.25"></a><var>2.25</var>rule, cites the statutory authority for the proposed rule, and details the proposed rule's <br/>
<a id="pl.2.26"></a><var>2.26</var>purpose and motivation.<br/>
<br/>
<a id="bill.0.2.0"></a><a id="pl.2.27"></a><var>2.27</var>    Sec. 2. Minnesota Statutes 2008, section 178.01, is amended to read:<br/>
<a id="pl.2.28"></a><var>2.28</var><b>178.01 PURPOSES.</b><br/>
<a id="pl.2.29"></a><var>2.29</var>    The purposes of this chapter are: to open to young people regardless of race, sex, <br/>
<a id="pl.2.30"></a><var>2.30</var>creed, color or national origin, the opportunity to obtain training and on-the-job learning <br/>
<a id="pl.2.31"></a><var>2.31</var>that will equip them for profitable employment and citizenship; to establish as a means to <br/>
<a id="pl.2.32"></a><var>2.32</var>this end, a program of voluntary apprenticeship under approved apprentice agreements <br/>
<a id="pl.2.33"></a><var>2.33</var>providing facilities for their training and guidance in the arts, skills, and crafts of industry <br/>
<a id="pl.2.34"></a><var>2.34</var>and trade, with concurrent, supplementary instruction in related subjects; to promote <br/>
<a id="pl.2.35"></a><var>2.35</var>employment apprenticeship opportunities under conditions providing adequate training <br/>
<a id="pl.3.1"></a><var>3.1</var>and on-the-job learning and reasonable earnings; to relate the supply of skilled workers <br/>
<a id="pl.3.2"></a><var>3.2</var>to employment demands; to establish standards for apprentice training; to establish an <br/>
<a id="pl.3.3"></a><var>3.3</var>Apprenticeship Board and apprenticeship committees to assist in effectuating the purposes <br/>
<a id="pl.3.4"></a><var>3.4</var>of this chapter; to provide for a Division of Labor Standards and Apprenticeship within <br/>
<a id="pl.3.5"></a><var>3.5</var>the Department of Labor and Industry; to provide for reports to the legislature regarding <br/>
<a id="pl.3.6"></a><var>3.6</var>the status of apprentice training in the state; to establish a procedure for the determination <br/>
<a id="pl.3.7"></a><var>3.7</var>of apprentice agreement controversies; and to accomplish related ends.<br/>
<br/>
<a id="bill.0.3.0"></a><a id="pl.3.8"></a><var>3.8</var>    Sec. 3. Minnesota Statutes 2008, section 178.03, subdivision 3, is amended to read:<br/>
<a id="pl.3.9"></a><var>3.9</var>    Subd. 3. <b>Duties and functions.</b> The director, under the supervision of the <br/>
<a id="pl.3.10"></a><var>3.10</var>commissioner, and with the advice and consultation of the Apprenticeship Board, is <br/>
<a id="pl.3.11"></a><var>3.11</var>authorized: to administer the provisions of this chapter; to promote apprenticeship and <br/>
<a id="pl.3.12"></a><var>3.12</var>other forms of on-the-job training learning; to establish, in cooperation and consultation <br/>
<a id="pl.3.13"></a><var>3.13</var>with the Apprenticeship Board and with the apprenticeship committees, conditions <br/>
<a id="pl.3.14"></a><var>3.14</var>and, training, and learning standards for the approval of apprenticeship programs <br/>
<a id="pl.3.15"></a><var>3.15</var>and agreements, which conditions and standards shall in no case be lower than those <br/>
<a id="pl.3.16"></a><var>3.16</var>prescribed by this chapter established under Code of Federal Regulations, title 29, part <br/>
<a id="pl.3.17"></a><var>3.17</var>29; to promote equal employment opportunity in apprenticeship and other on-the-job <br/>
<a id="pl.3.18"></a><var>3.18</var>training learning and to establish a Minnesota plan for equal employment opportunity in <br/>
<a id="pl.3.19"></a><var>3.19</var>apprenticeship which shall be consistent with standards established under Code of Federal <br/>
<a id="pl.3.20"></a><var>3.20</var>Regulations, title 29, part 30, as amended; to issue certificates of registration to sponsors <br/>
<a id="pl.3.21"></a><var>3.21</var>of approved apprenticeship programs; to act as secretary of the Apprenticeship Board; <br/>
<a id="pl.3.22"></a><var>3.22</var>to approve, if of the opinion that approval is for the best interest of the apprentice, any <br/>
<a id="pl.3.23"></a><var>3.23</var>apprenticeship agreement which meets the standards established hereunder; to terminate <br/>
<a id="pl.3.24"></a><var>3.24</var>any apprenticeship agreement in accordance with the provisions of such agreement; to <br/>
<a id="pl.3.25"></a><var>3.25</var>keep a record of apprenticeship agreements and their disposition; to issue certificates of <br/>
<a id="pl.3.26"></a><var>3.26</var>completion of apprenticeship; and to perform such other duties as the commissioner deems <br/>
<a id="pl.3.27"></a><var>3.27</var>necessary to carry out the intent of this chapter; provided, that the administration and <br/>
<a id="pl.3.28"></a><var>3.28</var>supervision of supplementary instruction in related subjects for apprentices; coordination <br/>
<a id="pl.3.29"></a><var>3.29</var>of instruction on a concurrent basis with job experiences, and the selection and training <br/>
<a id="pl.3.30"></a><var>3.30</var>of teachers and coordinators for such instruction shall be the function of state and local <br/>
<a id="pl.3.31"></a><var>3.31</var>boards responsible for vocational education. The director shall have the authority to make <br/>
<a id="pl.3.32"></a><var>3.32</var>wage determinations applicable to the graduated schedule of wages and journeyman <br/>
<a id="pl.3.33"></a><var>3.33</var>wage rate for apprenticeship agreements, giving consideration to the existing wage rates <br/>
<a id="pl.3.34"></a><var>3.34</var>prevailing throughout the state, except that no wage determination by the director shall <br/>
<a id="pl.3.35"></a><var>3.35</var>alter an existing wage provision for apprentices or journeymen that is contained in a <br/>
<a id="pl.4.1"></a><var>4.1</var>bargaining agreement in effect between an employer and an organization of employees, <br/>
<a id="pl.4.2"></a><var>4.2</var>nor shall the director make any determination for the beginning rate for an apprentice that <br/>
<a id="pl.4.3"></a><var>4.3</var>is below the wage minimum established by federal or state law.<br/>
<br/>
<a id="bill.0.4.0"></a><a id="pl.4.4"></a><var>4.4</var>    Sec. 4. Minnesota Statutes 2008, section 178.03, subdivision 4, is amended to read:<br/>
<a id="pl.4.5"></a><var>4.5</var>    Subd. 4. <b>Reciprocity approval.</b> The director, if requested by a sponsoring entity, <br/>
<a id="pl.4.6"></a><var>4.6</var>shall grant reciprocity approval to apprenticeship programs of employers and unions <br/>
<a id="pl.4.7"></a><var>4.7</var>who jointly form a sponsoring entity on a multistate basis in other than the building <br/>
<a id="pl.4.8"></a><var>4.8</var>construction industry if such programs are in conformity with this chapter and have been <br/>
<a id="pl.4.9"></a><var>4.9</var>registered in compliance with Code of Federal Regulations, title 29, part 29, by a state <br/>
<a id="pl.4.10"></a><var>4.10</var>apprenticeship council recognized by or registered with the Bureau of Apprenticeship and <br/>
<a id="pl.4.11"></a><var>4.11</var>Training, United States Department of Labor, when such approval is necessary for federal <br/>
<a id="pl.4.12"></a><var>4.12</var>purposes under Code of Federal Regulations, title 29, section 29.12(a) 29.13(a).<br/>
<br/>
<a id="bill.0.5.0"></a><a id="pl.4.13"></a><var>4.13</var>    Sec. 5. Minnesota Statutes 2008, section 178.06, is amended to read:<br/>
<a id="pl.4.14"></a><var>4.14</var><b>178.06 APPRENTICE.</b><br/>
<a id="pl.4.15"></a><var>4.15</var>The term "apprentice," as used herein, means a person at least 16 years of age who <br/>
<a id="pl.4.16"></a><var>4.16</var>has entered into a written agreement, hereinafter called an apprentice agreement, with a <br/>
<a id="pl.4.17"></a><var>4.17</var>committee, an employer, an association of employers, or an organization of employees, <br/>
<a id="pl.4.18"></a><var>4.18</var>which apprentice agreement provides for:<br/>
<a id="pl.4.19"></a><var>4.19</var>(1) a time-based approach involving not less than 2,000 hours or one year of <br/>
<a id="pl.4.20"></a><var>4.20</var>reasonably continuous employment for such person and for participation in an approved <br/>
<a id="pl.4.21"></a><var>4.21</var>program of training on-the-job learning through employment and through concurrent, <br/>
<a id="pl.4.22"></a><var>4.22</var>supplementary education in related subjects.;<br/>
<a id="pl.4.23"></a><var>4.23</var>(2) a competency-based approach involving successful demonstration of acquired <br/>
<a id="pl.4.24"></a><var>4.24</var>skills and knowledge by an apprentice plus on-the-job learning; or<br/>
<a id="pl.4.25"></a><var>4.25</var>(3) a hybrid approach involving the completion of a specified minimum number of <br/>
<a id="pl.4.26"></a><var>4.26</var>hours plus the successful demonstration of competency.<br/>
<a id="pl.4.27"></a><var>4.27</var>    Whenever a minimum age exceeding 16 years is prescribed by federal or state law <br/>
<a id="pl.4.28"></a><var>4.28</var>to apply to workers in certain hazardous occupations, the minimum age so prescribed <br/>
<a id="pl.4.29"></a><var>4.29</var>shall be applicable to apprentices.<br/>
<br/>
<a id="bill.0.6.0"></a><a id="pl.4.30"></a><var>4.30</var>    Sec. 6. Minnesota Statutes 2008, section 178.08, is amended to read:<br/>
<a id="pl.4.31"></a><var>4.31</var><b>178.08 DIRECTOR TO APPROVE APPRENTICE AGREEMENTS.</b><br/>
<a id="pl.4.32"></a><var>4.32</var>Every apprentice agreement is subject to approval by the director and shall be signed <br/>
<a id="pl.4.33"></a><var>4.33</var>by the committee, the employer, an association of employers, or an organization of <br/>
<a id="pl.5.1"></a><var>5.1</var>employees, and by the apprentice, and if the apprentice is a minor, by a parent or legal <br/>
<a id="pl.5.2"></a><var>5.2</var>guardian. When a minor enters into an apprentice agreement under this chapter for a <br/>
<a id="pl.5.3"></a><var>5.3</var>period of training learning extending into majority the apprentice agreement shall likewise <br/>
<a id="pl.5.4"></a><var>5.4</var>be binding for such a period as may be covered during the apprentice's majority.<br/>
<br/>
<a id="bill.0.7.0"></a><a id="pl.5.5"></a><var>5.5</var>    Sec. 7. Minnesota Statutes 2008, section 178.11, is amended to read:<br/>
<a id="pl.5.6"></a><var>5.6</var><b>178.11 LABOR EDUCATION ADVANCEMENT GRANT PROGRAM.</b><br/>
<a id="pl.5.7"></a><var>5.7</var>The commissioner shall establish the labor education advancement grant program <br/>
<a id="pl.5.8"></a><var>5.8</var>for the purpose of facilitating the participation of minorities and women in apprenticeable <br/>
<a id="pl.5.9"></a><var>5.9</var>trades and occupations. The commissioner shall award grants to community-based <br/>
<a id="pl.5.10"></a><var>5.10</var>organizations serving the targeted populations on a competitive request-for-proposal <br/>
<a id="pl.5.11"></a><var>5.11</var>basis. Interested organizations shall apply for the grants in a form prescribed by the <br/>
<a id="pl.5.12"></a><var>5.12</var>commissioner. As part of the application process, applicants must provide a statement <br/>
<a id="pl.5.13"></a><var>5.13</var>of need for the grant, a description of the targeted population and apprenticeship <br/>
<a id="pl.5.14"></a><var>5.14</var>opportunities, a description of activities to be funded by the grant, evidence supporting <br/>
<a id="pl.5.15"></a><var>5.15</var>the ability to deliver services, information related to coordinating grant activities with <br/>
<a id="pl.5.16"></a><var>5.16</var>other employment and training learning programs, identification of matching funds, a <br/>
<a id="pl.5.17"></a><var>5.17</var>budget, and performance objectives. Each submitted application shall be evaluated for <br/>
<a id="pl.5.18"></a><var>5.18</var>completeness and effectiveness of the proposed grant activity.<br/>
<br/>
<a id="bill.0.8.0"></a><a id="pl.5.19"></a><var>5.19</var>    Sec. 8. Minnesota Statutes 2008, section 326B.04, subdivision 2, is amended to read:<br/>
<a id="pl.5.20"></a><var>5.20</var>    Subd. 2. <b>Deposits.</b> All remaining balances as of June 30, 2007, in the state <br/>
<a id="pl.5.21"></a><var>5.21</var>government special revenue fund and special revenue fund accounts maintained for <br/>
<a id="pl.5.22"></a><var>5.22</var>the Building Codes and Standards Division, Board of Electricity, and plumbing and <br/>
<a id="pl.5.23"></a><var>5.23</var>engineering unit are transferred to the construction code fund. Unless otherwise <br/>
<a id="pl.5.24"></a><var>5.24</var>specifically designated by law: (1) all money collected under sections 
         <statute_ref>144.122</statute_ref>, paragraph <br/>
<a id="pl.5.25"></a><var>5.25</var>(f); 
         <statute_ref>181.723</statute_ref>; 
         <statute_ref>326B.101</statute_ref> to 
         <statute_ref>326B.194</statute_ref>; 
         <statute_ref>326B.197</statute_ref>; 
         <statute_ref>326B.32</statute_ref> to 
         <statute_ref>326B.399</statute_ref>; 
         <statute_ref>326B.43</statute_ref> to <br/>
<statute_ref><a id="pl.5.26"></a><var>5.26</var>326B.49
         </statute_ref>; 
         <statute_ref>326B.52</statute_ref> to 
         <statute_ref>326B.59</statute_ref>; 
         <statute_ref>326B.802</statute_ref> to 
         <statute_ref>326B.885</statute_ref>; 
         <statute_ref>326B.90</statute_ref> to 
         <statute_ref>326B.998</statute_ref>; 
         <statute_ref>327.31</statute_ref> to <br/>
<statute_ref><a id="pl.5.27"></a><var>5.27</var>327.36
         </statute_ref>; and 
         <statute_ref>327B.01</statute_ref> to 
         <statute_ref>327B.12</statute_ref>, except penalties, is credited to the construction code <br/>
<a id="pl.5.28"></a><var>5.28</var>fund; (2) all fees collected under section 
         <statute_ref>45.23</statute_ref> in connection with continuing education <br/>
<a id="pl.5.29"></a><var>5.29</var>for residential contractors, residential remodelers, and residential roofers are credited to <br/>
<a id="pl.5.30"></a><var>5.30</var>the construction code fund; and (3) all penalties assessed under the sections set forth <br/>
<a id="pl.5.31"></a><var>5.31</var>in clauses (1) and (2) and all penalties assessed under sections 
         <statute_ref>144.99</statute_ref> to 
         <statute_ref>144.993</statute_ref> in <br/>
<a id="pl.5.32"></a><var>5.32</var>connection with any violation of sections 
         <statute_ref>326B.43</statute_ref> to 
         <statute_ref>326B.49</statute_ref> or 
         <statute_ref>326B.52</statute_ref> to 
         <statute_ref>326B.59</statute_ref> or <br/>
<a id="pl.5.33"></a><var>5.33</var>the rules adopted under those sections are credited to the assigned risk safety account <br/>
<a id="pl.5.34"></a><var>5.34</var>established by section 
         <statute_ref>79.253</statute_ref>.<br/>
<br/>
<a id="bill.0.9.0"></a><a id="pl.6.1"></a><var>6.1</var>    Sec. 9. Minnesota Statutes 2008, section 326B.127, subdivision 3, is amended to read:<br/>
<a id="pl.6.2"></a><var>6.2</var>    Subd. 3. <b>Powers and duties.</b> The state building official may, with the approval of <br/>
<a id="pl.6.3"></a><var>6.3</var>the commissioner, employ personnel necessary to carry out the inspector's function under <br/>
<a id="pl.6.4"></a><var>6.4</var>sections 
         <statute_ref>326B.101</statute_ref> to 
         <statute_ref>326B.194</statute_ref>. The state building official shall distribute without charge <br/>
<a id="pl.6.5"></a><var>6.5</var>a printed or electronic version of the code to each municipality within the state. A printed <br/>
<a id="pl.6.6"></a><var>6.6</var>or electronic version of the code shall be made available to municipalities and interested <br/>
<a id="pl.6.7"></a><var>6.7</var>parties for a fee prescribed by the commissioner. The state building official shall perform <br/>
<a id="pl.6.8"></a><var>6.8</var>other duties in administering the code assigned by the commissioner. <br/>
<br/>
<a id="bill.0.10.0"></a><a id="pl.6.9"></a><var>6.9</var>    Sec. 10. Minnesota Statutes 2008, section 326B.13, subdivision 3, is amended to read:<br/>
<a id="pl.6.10"></a><var>6.10</var>    Subd. 3. <b>Filing.</b> The commissioner shall file one copy of the complete code with the <br/>
<a id="pl.6.11"></a><var>6.11</var>secretary of state, except that All standards referred to in any model or statewide specialty <br/>
<a id="pl.6.12"></a><var>6.12</var>code or any of the modifications of a code need not be filed with the secretary of state. All <br/>
<a id="pl.6.13"></a><var>6.13</var>standards referred to in that are incorporated by reference into the code must be kept on <br/>
<a id="pl.6.14"></a><var>6.14</var>file and available for inspection in the office of the commissioner.<br/>
<br/>
<a id="bill.0.11.0"></a><a id="pl.6.15"></a><var>6.15</var>    Sec. 11. Minnesota Statutes 2008, section 326B.13, subdivision 4, is amended to read:<br/>
<a id="pl.6.16"></a><var>6.16</var>    Subd. 4. <b>Hearings</b><b> Consultation with commissioner required</b><b>.</b> The commissioner <br/>
<a id="pl.6.17"></a><var>6.17</var>shall hold all state hearings and make all determinations regarding any subject matter dealt <br/>
<a id="pl.6.18"></a><var>6.18</var>with in the code including those in which another state agency proposes to adopt or amend <br/>
<a id="pl.6.19"></a><var>6.19</var>rules which are incorporated by reference into the code or whenever the commissioner <br/>
<a id="pl.6.20"></a><var>6.20</var>proposes to incorporate those rules into the State Building Code. In no event may a state <br/>
<a id="pl.6.21"></a><var>6.21</var>agency subsequently authorized to adopt rules involving State Building Code subject <br/>
<a id="pl.6.22"></a><var>6.22</var>matter proceed to adopt the rules without prior consultation with the commissioner.<br/>
<br/>
<a id="bill.0.12.0"></a><a id="pl.6.23"></a><var>6.23</var>    Sec. 12. Minnesota Statutes 2008, section 326B.13, subdivision 5, is amended to read:<br/>
<a id="pl.6.24"></a><var>6.24</var>    Subd. 5. <b>Proposed amendments</b><b>; hearings</b><b>.</b> Any interested person may propose <br/>
<a id="pl.6.25"></a><var>6.25</var>amendments to the code which may be either applicable to all municipalities or, where it <br/>
<a id="pl.6.26"></a><var>6.26</var>is alleged and established that geological conditions exist within a municipality which <br/>
<a id="pl.6.27"></a><var>6.27</var>are not generally found within other municipalities, amendments may be restricted in <br/>
<a id="pl.6.28"></a><var>6.28</var>application to that municipality. Notice of public hearings on proposed amendments shall <br/>
<a id="pl.6.29"></a><var>6.29</var>be given to the governing bodies of all municipalities in addition to those persons entitled <br/>
<a id="pl.6.30"></a><var>6.30</var>to notice under the Administrative Procedure Act.<br/>
<br/>
<a id="bill.0.13.0"></a><a id="pl.6.31"></a><var>6.31</var>    Sec. 13. Minnesota Statutes 2008, section 326B.13, subdivision 6, is amended to read:<br/>
<a id="pl.7.1"></a><var>7.1</var>    Subd. 6. <b>Adoption.</b> The commissioner shall approve any proposed amendments <br/>
<a id="pl.7.2"></a><var>7.2</var>deemed by the commissioner to be reasonable in conformity with the policy and purpose <br/>
<a id="pl.7.3"></a><var>7.3</var>of the code and justified under the particular circumstances involved. Upon adoption, <br/>
<a id="pl.7.4"></a><var>7.4</var>a copy of each amendment must be distributed to the governing bodies of all affected <br/>
<a id="pl.7.5"></a><var>7.5</var>municipalities. The commissioner shall make an electronic version of amendments to the <br/>
<a id="pl.7.6"></a><var>7.6</var>code available to municipalities. Upon request, a municipality may receive a paper copy <br/>
<a id="pl.7.7"></a><var>7.7</var>of amendments to the code available for a fee prescribed by the commissioner.<br/>
<br/>
<a id="bill.0.14.0"></a><a id="pl.7.8"></a><var>7.8</var>    Sec. 14. Minnesota Statutes 2008, section 326B.133, subdivision 5, is amended to read:<br/>
<a id="pl.7.9"></a><var>7.9</var>    Subd. 5.  <b>Grounds.</b> In addition to the grounds set forth in section 
<statute_ref>326B.082, <br/>
<a id="pl.7.10"></a><var>7.10</var>subdivision 11
</statute_ref>, The commissioner may deny, suspend, limit, place conditions on, or <br/>
<a id="pl.7.11"></a><var>7.11</var>revoke a certificate, or may censure use any enforcement provision in section 326B.082 <br/>
<a id="pl.7.12"></a><var>7.12</var>against an applicant or individual holding a certificate, if the applicant or individual: <br/>
<a id="pl.7.13"></a><var>7.13</var>    (1) violates a provision of sections 
         <statute_ref>326B.101</statute_ref> to 
         <statute_ref>326B.194</statute_ref> or a rule adopted under <br/>
<a id="pl.7.14"></a><var>7.14</var>those sections; or <br/>
<a id="pl.7.15"></a><var>7.15</var>    (2) engages in fraud, deceit, or misrepresentation while performing the duties of a <br/>
<a id="pl.7.16"></a><var>7.16</var>certified building official.<br/>
<a id="pl.7.17"></a><var>7.17</var>     Nothing in this subdivision limits or otherwise affects the authority of a municipality <br/>
<a id="pl.7.18"></a><var>7.18</var>to dismiss or suspend a building official at its discretion, except as otherwise provided <br/>
<a id="pl.7.19"></a><var>7.19</var>for by law. <br/>
<br/>
<a id="bill.0.15.0"></a><a id="pl.7.20"></a><var>7.20</var>    Sec. 15. Minnesota Statutes 2008, section 326B.139, is amended to read:<br/>
<a id="pl.7.21"></a><var>7.21</var><b>326B.139 APPEALS.</b><br/>
<a id="pl.7.22"></a><var>7.22</var>A person aggrieved by the final decision of any municipality local or state <br/>
<a id="pl.7.23"></a><var>7.23</var>level board of appeals as to the application of the code, including any rules adopted <br/>
<a id="pl.7.24"></a><var>7.24</var>under sections 
         <statute_ref>471.465</statute_ref> to 
         <statute_ref>471.469</statute_ref>, may, within 180 days of the decision, appeal to <br/>
<a id="pl.7.25"></a><var>7.25</var>the commissioner. Appellant shall submit a nonrefundable fee of $70, payable to the <br/>
<a id="pl.7.26"></a><var>7.26</var>commissioner, with the request for appeal. An appeal must be heard as a contested case <br/>
<a id="pl.7.27"></a><var>7.27</var>under chapter 14. The commissioner shall submit written findings to the parties. The party <br/>
<a id="pl.7.28"></a><var>7.28</var>not prevailing shall pay the costs of the contested case hearing, including fees charged by <br/>
<a id="pl.7.29"></a><var>7.29</var>the Office of Administrative Hearings and the expense of transcript preparation. Costs <br/>
<a id="pl.7.30"></a><var>7.30</var>under this section do not include attorney fees. Any person aggrieved by a ruling of <br/>
<a id="pl.7.31"></a><var>7.31</var>the commissioner may appeal in accordance with chapter 14. For the purpose of this <br/>
<a id="pl.7.32"></a><var>7.32</var>section "any person aggrieved" includes the Council on Disability. No fee or costs shall be <br/>
<a id="pl.7.33"></a><var>7.33</var>required when the council on disability is the appellant. <br/>
<br/>
<a id="bill.0.16.0"></a><a id="pl.8.1"></a><var>8.1</var>    Sec. 16. Minnesota Statutes 2008, section 326B.142, is amended to read:<br/>
<a id="pl.8.2"></a><var>8.2</var><b>326B.142 CERTAIN </b><b>PERMITS</b><b> CERTIFICATES</b><b>.</b><br/>
<a id="pl.8.3"></a><var>8.3</var>Building permits or certificates of occupancy validly issued before July 1, 1972, <br/>
<a id="pl.8.4"></a><var>8.4</var>regarding buildings or structures being constructed or altered according to the permits or <br/>
<a id="pl.8.5"></a><var>8.5</var>certificates, are valid after that date. The construction may be completed according to the <br/>
<a id="pl.8.6"></a><var>8.6</var>building permit, unless the building official determines that life or property is in jeopardy.<br/>
<br/>
<a id="bill.0.17.0"></a><a id="pl.8.7"></a><var>8.7</var>    Sec. 17. Minnesota Statutes 2009 Supplement, section 326B.145, is amended to read:<br/>
<a id="pl.8.8"></a><var>8.8</var><b>326B.145 ANNUAL REPORT.</b><br/>
<a id="pl.8.9"></a><var>8.9</var> Each municipality shall annually report by June 30 to the department, in a format <br/>
<a id="pl.8.10"></a><var>8.10</var>prescribed by the department, all construction and development-related fees collected by <br/>
<a id="pl.8.11"></a><var>8.11</var>the municipality from developers, builders, and subcontractors if the cumulative fees <br/>
<a id="pl.8.12"></a><var>8.12</var>collected exceeded $5,000 in the reporting year, except that, for reports due June 30, 2009, <br/>
<a id="pl.8.13"></a><var>8.13</var>to June 30, 2013, the reporting threshold is $10,000. The report must include:<br/>
<a id="pl.8.14"></a><var>8.14</var>(1) the number and valuation of units for which fees were paid;<br/>
<a id="pl.8.15"></a><var>8.15</var>(2) the amount of building permit fees, plan review fees, administrative fees, <br/>
<a id="pl.8.16"></a><var>8.16</var>engineering fees, infrastructure fees, and other construction and development-related <br/>
<a id="pl.8.17"></a><var>8.17</var>fees; and<br/>
<a id="pl.8.18"></a><var>8.18</var>(3) the expenses associated with the municipal activities for which fees were <br/>
<a id="pl.8.19"></a><var>8.19</var>collected.<br/>
<a id="pl.8.20"></a><var>8.20</var>A municipality that fails to report to the department in accordance with this section <br/>
<a id="pl.8.21"></a><var>8.21</var>is subject to the remedies provided by section 326B.082.<br/>
<br/>
<a id="bill.0.18.0"></a><a id="pl.8.22"></a><var>8.22</var>    Sec. 18. Minnesota Statutes 2008, section 326B.148, subdivision 2, is amended to read:<br/>
<a id="pl.8.23"></a><var>8.23</var>    Subd. 2. <b>Collection and reports.</b> All permit surcharges must be collected by each <br/>
<a id="pl.8.24"></a><var>8.24</var>municipality and a portion of them remitted to the state. Each municipality having a <br/>
<a id="pl.8.25"></a><var>8.25</var>population greater than 20,000 people shall prepare and submit to the commissioner once <br/>
<a id="pl.8.26"></a><var>8.26</var>a month a report of fees and surcharges on fees collected during the previous month but <br/>
<a id="pl.8.27"></a><var>8.27</var>shall retain the greater of two percent or that amount collected up to $25 to apply against <br/>
<a id="pl.8.28"></a><var>8.28</var>the administrative expenses the municipality incurs in collecting the surcharges. All other <br/>
<a id="pl.8.29"></a><var>8.29</var>municipalities shall submit the report and surcharges on fees once a quarter but shall <br/>
<a id="pl.8.30"></a><var>8.30</var>retain the greater of four percent or that amount collected up to $25 to apply against the <br/>
<a id="pl.8.31"></a><var>8.31</var>administrative expenses the municipalities incur in collecting the surcharges. The report, <br/>
<a id="pl.8.32"></a><var>8.32</var>which must be in a form prescribed by the commissioner, must be submitted together with <br/>
<a id="pl.8.33"></a><var>8.33</var>a remittance covering the surcharges collected by the 15th day following the month or <br/>
<a id="pl.8.34"></a><var>8.34</var>quarter in which the surcharges are collected. <br/>
<a id="pl.9.1"></a><var>9.1</var>A municipality that fails to report or submit the required remittance to the <br/>
<a id="pl.9.2"></a><var>9.2</var>department in accordance with this subdivision is subject to the remedies provided by <br/>
<a id="pl.9.3"></a><var>9.3</var>section 326B.082.<br/>
<br/>
<a id="bill.0.19.0"></a><a id="pl.9.4"></a><var>9.4</var>    Sec. 19. Minnesota Statutes 2008, section 326B.148, subdivision 3, is amended to read:<br/>
<a id="pl.9.5"></a><var>9.5</var>    Subd. 3. <b>Revenue to equal costs.</b> Revenue received from the surcharge imposed <br/>
<a id="pl.9.6"></a><var>9.6</var>in subdivision 1 should approximately equal the cost, including the overhead cost, <br/>
<a id="pl.9.7"></a><var>9.7</var>of administering sections 
         <statute_ref>326B.101</statute_ref> to 
         <statute_ref>326B.194</statute_ref>. By November 30 each year, the <br/>
<a id="pl.9.8"></a><var>9.8</var>commissioner must report to the commissioner of management and budget and to the <br/>
<a id="pl.9.9"></a><var>9.9</var>legislature on changes in the surcharge imposed in subdivision 1 needed to comply <br/>
<a id="pl.9.10"></a><var>9.10</var>with this policy. In making this report, the commissioner must assume that the services <br/>
<a id="pl.9.11"></a><var>9.11</var>associated with administering sections 
<statute_ref>326B.101</statute_ref> to 
<statute_ref>326B.194</statute_ref> will continue to be provided <br/>
<a id="pl.9.12"></a><var>9.12</var>at the same level provided during the fiscal year in which the report is made. <br/>
<br/>
<a id="bill.0.20.0"></a><a id="pl.9.13"></a><var>9.13</var>    Sec. 20. Minnesota Statutes 2008, section 326B.191, is amended to read:<br/>
<a id="pl.9.14"></a><var>9.14</var><b>326B.191 CONFLICT OF LAWS.</b><br/>
<a id="pl.9.15"></a><var>9.15</var>Nothing in sections 
         <statute_ref>326B.163</statute_ref> to 
         <statute_ref>326B.191</statute_ref> supersedes the Minnesota Electrical <br/>
<a id="pl.9.16"></a><var>9.16</var>Act in this chapter 326. <br/>
<br/>
<a id="bill.0.21.0"></a><a id="pl.9.17"></a><var>9.17</var>    Sec. 21. Minnesota Statutes 2008, section 326B.31, subdivision 28, is amended to read:<br/>
<a id="pl.9.18"></a><var>9.18</var>    Subd. 28. <b>Responsible licensed individual.</b> A contractor's "responsible licensed <br/>
<a id="pl.9.19"></a><var>9.19</var>individual" means the licensed Class A master electrician, Class B master electrician, <br/>
<a id="pl.9.20"></a><var>9.20</var>master elevator constructor, or power limited technician designated in writing by the <br/>
<a id="pl.9.21"></a><var>9.21</var>contractor in the contractor's license application, or in another manner acceptable to the <br/>
<a id="pl.9.22"></a><var>9.22</var>commissioner, as the individual responsible for the contractor's compliance with sections <br/>
<statute_ref><a id="pl.9.23"></a><var>9.23</var>326B.31
         </statute_ref> to 
         <statute_ref>326B.399</statute_ref> and, all rules and orders adopted or issued under these sections, and <br/>
<a id="pl.9.24"></a><var>9.24</var>all orders issued under section 326B.082. The terms "licensed responsible individual" and <br/>
<a id="pl.9.25"></a><var>9.25</var>"licensed responsible master electrician or power limited technician" are synonymous.<br/>
<br/>
<a id="bill.0.22.0"></a><a id="pl.9.26"></a><var>9.26</var>    Sec. 22. Minnesota Statutes 2008, section 326B.33, subdivision 17, is amended to read:<br/>
<a id="pl.9.27"></a><var>9.27</var>    Subd. 17. <b>Employment of master electrician or power limited technician.</b><br/>
<a id="pl.9.28"></a><var>9.28</var>    (a) Each contractor must designate a responsible master electrician or power limited <br/>
<a id="pl.9.29"></a><var>9.29</var>technician, who shall be responsible for the performance of all electrical work in <br/>
<a id="pl.9.30"></a><var>9.30</var>accordance with the requirements of sections 
         <statute_ref>326B.31</statute_ref> to 
         <statute_ref>326B.399</statute_ref> or any rule or order, <br/>
<a id="pl.9.31"></a><var>9.31</var>all rules adopted or issued under these sections, and all orders issued under section <br/>
<a id="pl.9.32"></a><var>9.32</var>326B.082. The classes of work that a licensed contractor is authorized to perform shall <br/>
<a id="pl.10.1"></a><var>10.1</var>be limited to the classes of work that the responsible master electrician or power limited <br/>
<a id="pl.10.2"></a><var>10.2</var>electrician is licensed to perform. <br/>
<a id="pl.10.3"></a><var>10.3</var>    (b) When a contractor's license is held by an individual, sole proprietorship, <br/>
<a id="pl.10.4"></a><var>10.4</var>partnership, limited liability company, or corporation and the individual, proprietor, one <br/>
<a id="pl.10.5"></a><var>10.5</var>of the partners, one of the members, or an officer of the corporation, respectively, is not <br/>
<a id="pl.10.6"></a><var>10.6</var>the responsible master electrician or power limited technician, all requests for inspection <br/>
<a id="pl.10.7"></a><var>10.7</var>shall be signed by the responsible master electrician or power limited technician. If the <br/>
<a id="pl.10.8"></a><var>10.8</var>contractor is an individual or a sole proprietorship, the responsible licensed individual <br/>
<a id="pl.10.9"></a><var>10.9</var>must be the individual, proprietor, or managing employee. If the contractor is a <br/>
<a id="pl.10.10"></a><var>10.10</var>partnership, the responsible licensed individual must be a general partner or managing <br/>
<a id="pl.10.11"></a><var>10.11</var>employee. If the licensed contractor is a limited liability company, the responsible <br/>
<a id="pl.10.12"></a><var>10.12</var>licensed individual must be a chief manager or managing employee. If the contractor <br/>
<a id="pl.10.13"></a><var>10.13</var>is a corporation, the responsible licensed individual must be an officer or managing <br/>
<a id="pl.10.14"></a><var>10.14</var>employee. If the responsible licensed individual is a managing employee, the responsible <br/>
<a id="pl.10.15"></a><var>10.15</var>licensed individual must be actively engaged in performing electrical work on behalf of <br/>
<a id="pl.10.16"></a><var>10.16</var>the contractor, and cannot be employed in any capacity as an electrician or technician by <br/>
<a id="pl.10.17"></a><var>10.17</var>any other contractor or employer designated in subdivision 21. An individual may be the <br/>
<a id="pl.10.18"></a><var>10.18</var>responsible licensed individual for only one contractor or employer.<br/>
<a id="pl.10.19"></a><var>10.19</var>    (c) All applications and renewals for contractor licenses shall include a verified <br/>
<a id="pl.10.20"></a><var>10.20</var>statement that the applicant or licensee has complied with this subdivision.<br/>
<br/>
<a id="bill.0.23.0"></a><a id="pl.10.21"></a><var>10.21</var>    Sec. 23. Minnesota Statutes 2008, section 326B.42, subdivision 2, is amended to read:<br/>
<a id="pl.10.22"></a><var>10.22</var>    Subd. 2. <b>Direct supervision.</b> The term "direct supervision," with respect to direct <br/>
<a id="pl.10.23"></a><var>10.23</var>supervision of a plumber's apprentice or registered unlicensed individual by a master, <br/>
<a id="pl.10.24"></a><var>10.24</var>restricted master, journeyman, or restricted journeyman plumber, means that:<br/>
<a id="pl.10.25"></a><var>10.25</var>    (1) at all times while the plumber's apprentice or registered unlicensed individual is <br/>
<a id="pl.10.26"></a><var>10.26</var>performing plumbing work, the supervising plumber is present at the location where the <br/>
<a id="pl.10.27"></a><var>10.27</var>plumber's apprentice or registered unlicensed individual is working;<br/>
<a id="pl.10.28"></a><var>10.28</var>    (2) the supervising plumber is physically present and immediately available to the <br/>
<a id="pl.10.29"></a><var>10.29</var>plumber's apprentice or registered unlicensed individual at all times for assistance and <br/>
<a id="pl.10.30"></a><var>10.30</var>direction;<br/>
<a id="pl.10.31"></a><var>10.31</var>    (3) any form of electronic supervision does not meet the requirement of physically <br/>
<a id="pl.10.32"></a><var>10.32</var>present;<br/>
<a id="pl.10.33"></a><var>10.33</var>    (4) the supervising plumber actually reviews the plumbing work performed by <br/>
<a id="pl.10.34"></a><var>10.34</var>the plumber's apprentice or registered unlicensed individual before the plumbing is <br/>
<a id="pl.10.35"></a><var>10.35</var>operated; and<br/>
<a id="pl.11.1"></a><var>11.1</var>    (5) the supervising plumber is able to and does determine that all plumbing work <br/>
<a id="pl.11.2"></a><var>11.2</var>performed by the plumber's apprentice or registered unlicensed individual is performed in <br/>
<a id="pl.11.3"></a><var>11.3</var>compliance with the plumbing code.<br/>
<br/>
<a id="bill.0.24.0"></a><a id="pl.11.4"></a><var>11.4</var>    Sec. 24. Minnesota Statutes 2008, section 326B.42, subdivision 6, is amended to read:<br/>
<a id="pl.11.5"></a><var>11.5</var>    Subd. 6.  <b>Plumber's apprentice.</b> A "plumber's apprentice" is any individual, other <br/>
<a id="pl.11.6"></a><var>11.6</var>than a master, restricted master, journeyman, or restricted journeyman plumber who, as <br/>
<a id="pl.11.7"></a><var>11.7</var>a principal occupation, is engaged in working as an employee of a plumbing contractor <br/>
<a id="pl.11.8"></a><var>11.8</var>under the direct supervision of a master, restricted master, journeyman, or restricted <br/>
<a id="pl.11.9"></a><var>11.9</var>journeyman plumber and is learning and assisting in the installation of plumbing who is <br/>
<a id="pl.11.10"></a><var>11.10</var>employed in the practical installation of plumbing under an apprenticeship agreement <br/>
<a id="pl.11.11"></a><var>11.11</var>approved by the department under Minnesota Rules, part 5200.0340. <br/>
<br/>
<a id="bill.0.25.0"></a><a id="pl.11.12"></a><var>11.12</var>    Sec. 25. Minnesota Statutes 2008, section 326B.435, subdivision 2, is amended to read:<br/>
<a id="pl.11.13"></a><var>11.13</var>    Subd. 2. <b>Powers; duties; administrative support.</b> (a) The board shall have the <br/>
<a id="pl.11.14"></a><var>11.14</var>power to:<br/>
<a id="pl.11.15"></a><var>11.15</var>    (1) elect its chair, vice-chair, and secretary;<br/>
<a id="pl.11.16"></a><var>11.16</var>    (2) adopt bylaws that specify the duties of its officers, the meeting dates of the board, <br/>
<a id="pl.11.17"></a><var>11.17</var>and containing such other provisions as may be useful and necessary for the efficient <br/>
<a id="pl.11.18"></a><var>11.18</var>conduct of the business of the board;<br/>
<a id="pl.11.19"></a><var>11.19</var>    (3) adopt the plumbing code that must be followed in this state and any plumbing <br/>
<a id="pl.11.20"></a><var>11.20</var>code amendments thereto. The board shall adopt the plumbing code and any amendments <br/>
<a id="pl.11.21"></a><var>11.21</var>thereto pursuant to chapter 14 and as provided in subdivision 6, paragraphs (b), (c), and (d);<br/>
<a id="pl.11.22"></a><var>11.22</var>    (4) review requests for final interpretations and issue final interpretations as provided <br/>
<a id="pl.11.23"></a><var>11.23</var>in section 
         <statute_ref>326B.127, subdivision 5</statute_ref>;<br/>
<a id="pl.11.24"></a><var>11.24</var>    (5) except for rules regulating continuing education, adopt rules that regulate the <br/>
<a id="pl.11.25"></a><var>11.25</var>licensure or registration of plumbing contractors, journeymen, apprentices unlicensed <br/>
<a id="pl.11.26"></a><var>11.26</var>individuals, master plumbers, restricted master plumbers, and restricted journeymen and <br/>
<a id="pl.11.27"></a><var>11.27</var>other persons engaged in the design, installation, and alteration of plumbing systems, <br/>
<a id="pl.11.28"></a><var>11.28</var>except for those individuals licensed under section 
         <statute_ref>326.02, subdivisions 2</statute_ref> and 3. The <br/>
<a id="pl.11.29"></a><var>11.29</var>board shall adopt these rules pursuant to chapter 14 and as provided in subdivision <br/>
<a id="pl.11.30"></a><var>11.30</var>6, paragraphs (e) and (f);<br/>
<a id="pl.11.31"></a><var>11.31</var>    (6) advise the commissioner regarding educational requirements for plumbing <br/>
<a id="pl.11.32"></a><var>11.32</var>inspectors;<br/>
<a id="pl.11.33"></a><var>11.33</var>    (7) refer complaints or other communications to the commissioner, whether oral or <br/>
<a id="pl.11.34"></a><var>11.34</var>written, as provided in subdivision 8, that allege or imply a violation of a statute, rule, or <br/>
<a id="pl.12.1"></a><var>12.1</var>order that the commissioner has the authority to enforce pertaining to code compliance, <br/>
<a id="pl.12.2"></a><var>12.2</var>licensure, or an offering to perform or performance of unlicensed plumbing services;<br/>
<a id="pl.12.3"></a><var>12.3</var>    (8) approve per diem and expenses deemed necessary for its members as provided in <br/>
<a id="pl.12.4"></a><var>12.4</var>subdivision 3;<br/>
<a id="pl.12.5"></a><var>12.5</var>    (9) approve license reciprocity agreements;<br/>
<a id="pl.12.6"></a><var>12.6</var>    (10) select from its members individuals to serve on any other state advisory council, <br/>
<a id="pl.12.7"></a><var>12.7</var>board, or committee; and<br/>
<a id="pl.12.8"></a><var>12.8</var>    (11) recommend the fees for licenses and certifications.<br/>
<a id="pl.12.9"></a><var>12.9</var>Except for the powers granted to the Plumbing Board, the Board of Electricity, and the <br/>
<a id="pl.12.10"></a><var>12.10</var>Board of High Pressure Piping Systems, the commissioner of labor and industry shall <br/>
<a id="pl.12.11"></a><var>12.11</var>administer and enforce the provisions of this chapter and any rules promulgated pursuant <br/>
<a id="pl.12.12"></a><var>12.12</var>thereto.<br/>
<a id="pl.12.13"></a><var>12.13</var>    (b) The board shall comply with section 
         <statute_ref>15.0597, subdivisions 2</statute_ref> and 4.<br/>
<a id="pl.12.14"></a><var>12.14</var>    (c) The commissioner shall coordinate the board's rulemaking and recommendations <br/>
<a id="pl.12.15"></a><var>12.15</var>with the recommendations and rulemaking conducted by the other boards created pursuant <br/>
<a id="pl.12.16"></a><var>12.16</var>to this chapter. The commissioner shall provide staff support to the board. The support <br/>
<a id="pl.12.17"></a><var>12.17</var>includes professional, legal, technical, and clerical staff necessary to perform rulemaking <br/>
<a id="pl.12.18"></a><var>12.18</var>and other duties assigned to the board. The commissioner of labor and industry shall <br/>
<a id="pl.12.19"></a><var>12.19</var>supply necessary office space and supplies to assist the board in its duties.<br/>
<br/>
<a id="bill.0.26.0"></a><a id="pl.12.20"></a><var>12.20</var>    Sec. 26. Minnesota Statutes 2008, section 326B.47, is amended to read:<br/>
<a id="pl.12.21"></a><var>12.21</var><b>326B.47 </b><b>PLUMBER'S APPRENTICES</b><b> UNLICENSED INDIVIDUALS</b><b>.</b><br/>
<a id="pl.12.22"></a><var>12.22</var>    Subdivision 1. <b>Registration.</b>  All unlicensed individuals, other than plumber's <br/>
<a id="pl.12.23"></a><var>12.23</var>apprentices, must be registered under subdivision 3. To be a registered plumber's <br/>
<a id="pl.12.24"></a><var>12.24</var>apprentice, an individual must either:<br/>
<a id="pl.12.25"></a><var>12.25</var>    (1) be an individual employed in the trade of plumbing under an apprenticeship <br/>
<a id="pl.12.26"></a><var>12.26</var>agreement approved by the department under Minnesota Rules, part 5200.0300; or<br/>
<a id="pl.12.27"></a><var>12.27</var>    (2) be an unlicensed individual registered with the commissioner under subdivision <br/>
<a id="pl.12.28"></a><var>12.28</var>3. A plumber's apprentice or registered unlicensed individual is authorized to assist <br/>
<a id="pl.12.29"></a><var>12.29</var>in the installation of plumbing only while under the direct supervision of a master, <br/>
<a id="pl.12.30"></a><var>12.30</var>restricted master, journeyman, or restricted journeyman plumber. The master, restricted <br/>
<a id="pl.12.31"></a><var>12.31</var>master, journeyman, or restricted journeyman plumber is responsible for ensuring that all <br/>
<a id="pl.12.32"></a><var>12.32</var>plumbing work performed by the plumber's apprentice or registered unlicensed individual <br/>
<a id="pl.12.33"></a><var>12.33</var>complies with the plumbing code. <br/>
<a id="pl.12.34"></a><var>12.34</var>    Subd. 2. <b>Journeyman exam.</b> A plumber's apprentice or registered unlicensed <br/>
<a id="pl.12.35"></a><var>12.35</var>individual who has completed four years of practical plumbing experience is eligible to <br/>
<a id="pl.13.1"></a><var>13.1</var>take the journeyman plumbing examination. Up to 24 months of practical plumbing <br/>
<a id="pl.13.2"></a><var>13.2</var>experience prior to becoming a plumber's apprentice or registered unlicensed individual <br/>
<a id="pl.13.3"></a><var>13.3</var>may be applied to the four-year experience requirement. However, none of this practical <br/>
<a id="pl.13.4"></a><var>13.4</var>plumbing experience may be applied if the individual did not have any practical plumbing <br/>
<a id="pl.13.5"></a><var>13.5</var>experience in the 12-month period immediately prior to becoming a plumber's apprentice <br/>
<a id="pl.13.6"></a><var>13.6</var>or registered unlicensed individual. The Plumbing Board may adopt rules to evaluate <br/>
<a id="pl.13.7"></a><var>13.7</var>whether the individual's past practical plumbing experience is applicable in preparing for <br/>
<a id="pl.13.8"></a><var>13.8</var>the journeyman's examination. If two years after completing the training the individual <br/>
<a id="pl.13.9"></a><var>13.9</var>has not taken the examination, the four years of experience shall be forfeited.<br/>
<a id="pl.13.10"></a><var>13.10</var>    The commissioner may allow an extension of the two-year period for taking the <br/>
<a id="pl.13.11"></a><var>13.11</var>exam for cases of hardship or other appropriate circumstances.<br/>
<a id="pl.13.12"></a><var>13.12</var>    Subd. 3. <b>Registration, rules, applications, renewals, and fees.</b>  An unlicensed <br/>
<a id="pl.13.13"></a><var>13.13</var>individual may register by completing and submitting to the commissioner a registration <br/>
<a id="pl.13.14"></a><var>13.14</var>form provided by the commissioner. A completed registration form must state the date <br/>
<a id="pl.13.15"></a><var>13.15</var>the individual began training, the individual's age, schooling, previous experience, and <br/>
<a id="pl.13.16"></a><var>13.16</var>employer, and other information required by the commissioner. The board may prescribe <br/>
<a id="pl.13.17"></a><var>13.17</var>rules, not inconsistent with this section, for the registration of unlicensed individuals. Each <br/>
<a id="pl.13.18"></a><var>13.18</var>applicant for initial registration as a plumber's apprentice registered unlicensed individual <br/>
<a id="pl.13.19"></a><var>13.19</var>shall pay the department an application fee of $25. Applications for initial registration <br/>
<a id="pl.13.20"></a><var>13.20</var>may be submitted at any time. Registration must be renewed annually and shall be for the <br/>
<a id="pl.13.21"></a><var>13.21</var>period from July 1 of each year to June 30 of the following year. Applications for renewal <br/>
<a id="pl.13.22"></a><var>13.22</var>registration must be received by the commissioner by June 30 of each registration period <br/>
<a id="pl.13.23"></a><var>13.23</var>on forms provided by the commissioner, and must be accompanied by a fee of $25. An <br/>
<a id="pl.13.24"></a><var>13.24</var>application for renewal registration received on or after July 1 in any year but no more <br/>
<a id="pl.13.25"></a><var>13.25</var>than three months after expiration of the previously issued registration must pay the past <br/>
<a id="pl.13.26"></a><var>13.26</var>due renewal fee plus a late fee of $25. No applications for renewal registration will be <br/>
<a id="pl.13.27"></a><var>13.27</var>accepted more than three months after expiration of the previously issued registration.<br/>
<br/>
<a id="bill.0.27.0"></a><a id="pl.13.28"></a><var>13.28</var>    Sec. 27. Minnesota Statutes 2008, section 326B.84, is amended to read:<br/>
<a id="pl.13.29"></a><var>13.29</var><b>326B.84 GROUNDS FOR </b><b>LICENSE</b><b> SANCTIONS.</b><br/>
<a id="pl.13.30"></a><var>13.30</var>    In addition to the grounds set forth in section 
<statute_ref>326B.082, subdivision 11</statute_ref>, The <br/>
<a id="pl.13.31"></a><var>13.31</var>commissioner may deny, suspend, limit, place conditions on, or revoke a license or <br/>
<a id="pl.13.32"></a><var>13.32</var>certificate of exemption, or may censure the person holding the use any enforcement <br/>
<a id="pl.13.33"></a><var>13.33</var>provision in section 326B.082 against an applicant for or holder of a license or certificate <br/>
<a id="pl.13.34"></a><var>13.34</var>of exemption, if the applicant, licensee, certificate of exemption holder, qualifying person, <br/>
<a id="pl.14.1"></a><var>14.1</var>or affiliate of an owner, officer, member, managing employee, or affiliate of the applicant, <br/>
<a id="pl.14.2"></a><var>14.2</var>licensee, or certificate of exemption holder, or other agent owner: <br/>
<a id="pl.14.3"></a><var>14.3</var>    (1) has filed an application for licensure or a certificate of exemption which is <br/>
<a id="pl.14.4"></a><var>14.4</var>incomplete in any material respect or contains any statement which, in light of the <br/>
<a id="pl.14.5"></a><var>14.5</var>circumstances under which it is made, is false or misleading with respect to any material <br/>
<a id="pl.14.6"></a><var>14.6</var>fact; <br/>
<a id="pl.14.7"></a><var>14.7</var>    (2) has engaged in a fraudulent, deceptive, or dishonest practice; <br/>
<a id="pl.14.8"></a><var>14.8</var>    (3) is permanently or temporarily enjoined by any court of competent jurisdiction <br/>
<a id="pl.14.9"></a><var>14.9</var>from engaging in or continuing any conduct or practice involving any aspect of the <br/>
<a id="pl.14.10"></a><var>14.10</var>business; <br/>
<a id="pl.14.11"></a><var>14.11</var>    (4) has failed to reasonably supervise employees, agents, subcontractors, or <br/>
<a id="pl.14.12"></a><var>14.12</var>salespersons, or has performed negligently or in breach of contract, so as to cause injury <br/>
<a id="pl.14.13"></a><var>14.13</var>or harm to the public; <br/>
<a id="pl.14.14"></a><var>14.14</var>    (5) has violated or failed to comply with any provision of sections 
         <statute_ref>326B.802</statute_ref> to <br/>
<statute_ref><a id="pl.14.15"></a><var>14.15</var>326B.885
         </statute_ref>, any rule or order under sections 
         <statute_ref>326B.802</statute_ref> to 
         <statute_ref>326B.885</statute_ref>, or any other law, rule, <br/>
<a id="pl.14.16"></a><var>14.16</var>or order related to the duties and responsibilities entrusted to the commissioner; <br/>
<a id="pl.14.17"></a><var>14.17</var>    (6) has been convicted of a violation of the State Building Code or has refused to <br/>
<a id="pl.14.18"></a><var>14.18</var>comply with a notice of violation or stop order issued by a certified building official, or in <br/>
<a id="pl.14.19"></a><var>14.19</var>local jurisdictions that have not adopted the State Building Code has refused to correct a <br/>
<a id="pl.14.20"></a><var>14.20</var>violation of the State Building Code when the violation has been documented or a notice <br/>
<a id="pl.14.21"></a><var>14.21</var>of violation or stop order issued by a certified building official has been received; <br/>
<a id="pl.14.22"></a><var>14.22</var>    (7) has failed to use the proceeds of any payment made to the licensee for the <br/>
<a id="pl.14.23"></a><var>14.23</var>construction of, or any improvement to, residential real estate, as defined in section <br/>
<statute_ref><a id="pl.14.24"></a><var>14.24</var>326B.802, subdivision 13
         </statute_ref>, for the payment of labor, skill, material, and machinery <br/>
<a id="pl.14.25"></a><var>14.25</var>contributed to the construction or improvement, knowing that the cost of any labor <br/>
<a id="pl.14.26"></a><var>14.26</var>performed, or skill, material, or machinery furnished for the improvement remains unpaid; <br/>
<a id="pl.14.27"></a><var>14.27</var>    (8) has not furnished to the person making payment either a valid lien waiver as to <br/>
<a id="pl.14.28"></a><var>14.28</var>any unpaid labor performed, or skill, material, or machinery furnished for an improvement, <br/>
<a id="pl.14.29"></a><var>14.29</var>or a payment bond in the basic amount of the contract price for the improvement <br/>
<a id="pl.14.30"></a><var>14.30</var>conditioned for the prompt payment to any person or persons entitled to payment; <br/>
<a id="pl.14.31"></a><var>14.31</var>    (9) has engaged in an act or practice that results in compensation to an aggrieved <br/>
<a id="pl.14.32"></a><var>14.32</var>owner or lessee from the contractor recovery fund pursuant to section 
         <statute_ref>326B.89</statute_ref>, unless: <br/>
<a id="pl.14.33"></a><var>14.33</var>    (i) the applicant or licensee has repaid the fund twice the amount paid from the fund, <br/>
<a id="pl.14.34"></a><var>14.34</var>plus interest at the rate of 12 percent per year; and <br/>
<a id="pl.14.35"></a><var>14.35</var>    (ii) the applicant or licensee has obtained a surety bond in the amount of at least <br/>
<a id="pl.14.36"></a><var>14.36</var>$40,000, issued by an insurer authorized to transact business in this state; <br/>
<a id="pl.15.1"></a><var>15.1</var>    (10) has engaged in bad faith, unreasonable delays, or frivolous claims in defense <br/>
<a id="pl.15.2"></a><var>15.2</var>of a civil lawsuit or arbitration arising out of their activities as a licensee or certificate <br/>
<a id="pl.15.3"></a><var>15.3</var>of exemption holder under this chapter; <br/>
<a id="pl.15.4"></a><var>15.4</var>    (11) has had a judgment entered against them for failure to make payments to <br/>
<a id="pl.15.5"></a><var>15.5</var>employees, subcontractors, or suppliers, that the licensee has failed to satisfy and all <br/>
<a id="pl.15.6"></a><var>15.6</var>appeals of the judgment have been exhausted or the period for appeal has expired; <br/>
<a id="pl.15.7"></a><var>15.7</var>    (12) if unlicensed, has obtained a building permit by the fraudulent use of a fictitious <br/>
<a id="pl.15.8"></a><var>15.8</var>license number or the license number of another, or, if licensed, has knowingly allowed <br/>
<a id="pl.15.9"></a><var>15.9</var>an unlicensed person to use the licensee's license number for the purpose of fraudulently <br/>
<a id="pl.15.10"></a><var>15.10</var>obtaining a building permit; or has applied for or obtained a building permit for an <br/>
<a id="pl.15.11"></a><var>15.11</var>unlicensed person; <br/>
<a id="pl.15.12"></a><var>15.12</var>    (13) has made use of a forged mechanic's lien waiver under chapter 514; <br/>
<a id="pl.15.13"></a><var>15.13</var>    (14) has provided false, misleading, or incomplete information to the commissioner <br/>
<a id="pl.15.14"></a><var>15.14</var>or has refused to allow a reasonable inspection of records or premises; <br/>
<a id="pl.15.15"></a><var>15.15</var>    (15) has engaged in an act or practice whether or not the act or practice directly <br/>
<a id="pl.15.16"></a><var>15.16</var>involves the business for which the person is licensed, that demonstrates that the applicant <br/>
<a id="pl.15.17"></a><var>15.17</var>or licensee is untrustworthy, financially irresponsible, or otherwise incompetent or <br/>
<a id="pl.15.18"></a><var>15.18</var>unqualified to act under the license granted by the commissioner; or <br/>
<a id="pl.15.19"></a><var>15.19</var>    (16) has failed to comply with requests for information, documents, or other requests <br/>
<a id="pl.15.20"></a><var>15.20</var>from the department within the time specified in the request or, if no time is specified, <br/>
<a id="pl.15.21"></a><var>15.21</var>within 30 days of the mailing of the request by the department. <br/>
<br/>
<a id="bill.0.28.0"></a><a id="pl.15.22"></a><var>15.22</var>    Sec. 28. Minnesota Statutes 2008, section 326B.89, subdivision 1, is amended to read:<br/>
<a id="pl.15.23"></a><var>15.23</var>    Subdivision 1. <b>Definitions.</b> (a) For the purposes of this section, the following terms <br/>
<a id="pl.15.24"></a><var>15.24</var>have the meanings given them.<br/>
<a id="pl.15.25"></a><var>15.25</var>    (b) "Gross annual receipts" means the total amount derived from residential <br/>
<a id="pl.15.26"></a><var>15.26</var>contracting or residential remodeling activities, regardless of where the activities are <br/>
<a id="pl.15.27"></a><var>15.27</var>performed, and must not be reduced by costs of goods sold, expenses, losses, or any <br/>
<a id="pl.15.28"></a><var>15.28</var>other amount.<br/>
<a id="pl.15.29"></a><var>15.29</var>    (c) "Licensee" means a person licensed as a residential contractor or residential <br/>
<a id="pl.15.30"></a><var>15.30</var>remodeler.<br/>
<a id="pl.15.31"></a><var>15.31</var>    (d) "Residential real estate" means a new or existing building constructed for <br/>
<a id="pl.15.32"></a><var>15.32</var>habitation by one to four families, and includes detached garages.<br/>
<a id="pl.15.33"></a><var>15.33</var>    (e) "Fund" means the contractor recovery fund.<br/>
<a id="pl.15.34"></a><var>15.34</var>(f) "Owner" when used in connection with real property, means a person who has <br/>
<a id="pl.15.35"></a><var>15.35</var>any legal or equitable interest in real property and includes a condominium or townhome <br/>
<a id="pl.16.1"></a><var>16.1</var>association that owns common property located in a condominium building or townhome <br/>
<a id="pl.16.2"></a><var>16.2</var>building or an associated detached garage. Owner does not include any real estate <br/>
<a id="pl.16.3"></a><var>16.3</var>developer.<br/>
<br/>
<a id="bill.0.29.0"></a><a id="pl.16.4"></a><var>16.4</var>    Sec. 29. Minnesota Statutes 2008, section 326B.89, subdivision 5, is amended to read:<br/>
<a id="pl.16.5"></a><var>16.5</var>    Subd. 5.  <b>Payment limitations.</b> Except as otherwise provided in this section, The <br/>
<a id="pl.16.6"></a><var>16.6</var>commissioner shall not pay compensation from the fund to an owner or a lessee in an <br/>
<a id="pl.16.7"></a><var>16.7</var>amount greater than $75,000 per licensee. Except as otherwise provided in this section, <br/>
<a id="pl.16.8"></a><var>16.8</var>The commissioner shall not pay compensation from the fund to owners and lessees in an <br/>
<a id="pl.16.9"></a><var>16.9</var>amount that totals more than $150,000 per licensee. The commissioner shall not pay <br/>
<a id="pl.16.10"></a><var>16.10</var>compensation from the fund for a final judgment based on a cause of action that arose <br/>
<a id="pl.16.11"></a><var>16.11</var>before the commissioner's receipt of the licensee's fee required by subdivision 3. The <br/>
<a id="pl.16.12"></a><var>16.12</var>commissioner shall only pay compensation from the fund for a final judgment that is <br/>
<a id="pl.16.13"></a><var>16.13</var>based on a contract directly between the licensee and the homeowner or lessee that was <br/>
<a id="pl.16.14"></a><var>16.14</var>entered into prior to the cause of action and that requires licensure as a residential building <br/>
<a id="pl.16.15"></a><var>16.15</var>contractor or residential remodeler. <br/>
<br/>
<a id="bill.0.30.0"></a><a id="pl.16.16"></a><var>16.16</var>    Sec. 30. Minnesota Statutes 2008, section 326B.89, subdivision 6, is amended to read:<br/>
<a id="pl.16.17"></a><var>16.17</var>    Subd. 6.  <b>Verified application.</b> To be eligible for compensation from the fund, an <br/>
<a id="pl.16.18"></a><var>16.18</var>owner or lessee shall serve on the commissioner a verified application for compensation <br/>
<a id="pl.16.19"></a><var>16.19</var>on a form approved by the commissioner. The application shall verify the following <br/>
<a id="pl.16.20"></a><var>16.20</var>information: <br/>
<a id="pl.16.21"></a><var>16.21</var>    (1) the specific grounds upon which the owner or lessee seeks to recover from <br/>
<a id="pl.16.22"></a><var>16.22</var>the fund: <br/>
<a id="pl.16.23"></a><var>16.23</var>    (2) that the owner or the lessee has obtained a final judgment in a court of competent <br/>
<a id="pl.16.24"></a><var>16.24</var>jurisdiction against a licensee licensed under section 
         <statute_ref>326B.803</statute_ref> 326B.83; <br/>
<a id="pl.16.25"></a><var>16.25</var>    (3) that the final judgment was obtained against the licensee on the grounds <br/>
<a id="pl.16.26"></a><var>16.26</var>of fraudulent, deceptive, or dishonest practices, conversion of funds, or failure of <br/>
<a id="pl.16.27"></a><var>16.27</var>performance that arose directly out of a contract directly between the licensee and the <br/>
<a id="pl.16.28"></a><var>16.28</var>homeowner or lessee that was entered into prior to the cause of action and that occurred <br/>
<a id="pl.16.29"></a><var>16.29</var>when the licensee was licensed and performing any of the special skills enumerated under <br/>
<a id="pl.16.30"></a><var>16.30</var>section 
         <statute_ref>326B.802, subdivision 15</statute_ref>; <br/>
<a id="pl.16.31"></a><var>16.31</var>    (4) the amount of the owner's or the lessee's actual and direct out-of-pocket loss on <br/>
<a id="pl.16.32"></a><var>16.32</var>the owner's residential real estate, on residential real estate leased by the lessee, or on new <br/>
<a id="pl.16.33"></a><var>16.33</var>residential real estate that has never been occupied or that was occupied by the licensee <br/>
<a id="pl.16.34"></a><var>16.34</var>for less than one year prior to purchase by the owner; <br/>
<a id="pl.17.1"></a><var>17.1</var>    (5) that the residential real estate is located in Minnesota; <br/>
<a id="pl.17.2"></a><var>17.2</var>    (6) that the owner or the lessee is not the spouse of the licensee or the personal <br/>
<a id="pl.17.3"></a><var>17.3</var>representative of the licensee; <br/>
<a id="pl.17.4"></a><var>17.4</var>    (7) the amount of the final judgment, any amount paid in satisfaction of the final <br/>
<a id="pl.17.5"></a><var>17.5</var>judgment, and the amount owing on the final judgment as of the date of the verified <br/>
<a id="pl.17.6"></a><var>17.6</var>application; <br/>
<a id="pl.17.7"></a><var>17.7</var>    (8) that the owner or lessee has diligently pursued remedies against all the judgment <br/>
<a id="pl.17.8"></a><var>17.8</var>debtors and all other persons liable to the judgment debtor in the contract for which the <br/>
<a id="pl.17.9"></a><var>17.9</var>owner or lessee seeks recovery from the fund; and <br/>
<a id="pl.17.10"></a><var>17.10</var>    (9) that the verified application is being served within two years after the judgment <br/>
<a id="pl.17.11"></a><var>17.11</var>became final. <br/>
<a id="pl.17.12"></a><var>17.12</var>    The verified application must include documents evidencing the amount of the <br/>
<a id="pl.17.13"></a><var>17.13</var>owner's or the lessee's actual and direct out-of-pocket loss. The owner's and the lessee's <br/>
<a id="pl.17.14"></a><var>17.14</var>actual and direct out-of-pocket loss shall not include attorney fees, litigation costs or fees, <br/>
<a id="pl.17.15"></a><var>17.15</var>interest on the loss, and interest on the final judgment obtained as a result of the loss. Any <br/>
<a id="pl.17.16"></a><var>17.16</var>amount paid in satisfaction of the final judgment shall be applied to the owner's or lessee's <br/>
<a id="pl.17.17"></a><var>17.17</var>actual and direct out-of-pocket loss. An owner or lessee may serve a verified application <br/>
<a id="pl.17.18"></a><var>17.18</var>regardless of whether the final judgment has been discharged by a bankruptcy court. A <br/>
<a id="pl.17.19"></a><var>17.19</var>judgment issued by a court is final if all proceedings on the judgment have either been <br/>
<a id="pl.17.20"></a><var>17.20</var>pursued and concluded or been forgone, including all reviews and appeals. For purposes <br/>
<a id="pl.17.21"></a><var>17.21</var>of this section, owners who are joint tenants or tenants in common are deemed to be a <br/>
<a id="pl.17.22"></a><var>17.22</var>single owner. For purposes of this section, owners and lessees eligible for payment of <br/>
<a id="pl.17.23"></a><var>17.23</var>compensation from the fund shall not include government agencies, political subdivisions, <br/>
<a id="pl.17.24"></a><var>17.24</var>financial institutions, and any other entity that purchases, guarantees, or insures a loan <br/>
<a id="pl.17.25"></a><var>17.25</var>secured by real estate. <br/>
<br/>
<a id="bill.0.31.0"></a><a id="pl.17.26"></a><var>17.26</var>    Sec. 31. Minnesota Statutes 2008, section 326B.89, subdivision 7, is amended to read:<br/>
<a id="pl.17.27"></a><var>17.27</var>    Subd. 7. <b>Commissioner review.</b> The commissioner shall within 120 days after <br/>
<a id="pl.17.28"></a><var>17.28</var>receipt of the complete verified application:<br/>
<a id="pl.17.29"></a><var>17.29</var>    (1) enter into an agreement with an owner or a lessee that resolves the verified <br/>
<a id="pl.17.30"></a><var>17.30</var>application for compensation from the fund; or<br/>
<a id="pl.17.31"></a><var>17.31</var>    (2) issue an order to the owner or the lessee accepting, modifying, or denying the <br/>
<a id="pl.17.32"></a><var>17.32</var>verified application for compensation from the fund.<br/>
<a id="pl.17.33"></a><var>17.33</var>    Upon receipt of an order issued under clause (2), the owner or the lessee shall have <br/>
<a id="pl.17.34"></a><var>17.34</var>30 days to serve upon the commissioner a written request for a hearing. If the owner or <br/>
<a id="pl.17.35"></a><var>17.35</var>the lessee does not serve upon the commissioner a timely written request for hearing, the <br/>
<a id="pl.18.1"></a><var>18.1</var>order issued under clause (2) shall become a final order of the commissioner that may not <br/>
<a id="pl.18.2"></a><var>18.2</var>be reviewed by any court or agency. The commissioner shall order compensation from <br/>
<a id="pl.18.3"></a><var>18.3</var>the fund only if the owner or the lessee has filed a verified application that complies with <br/>
<a id="pl.18.4"></a><var>18.4</var>subdivision 6 and if the commissioner determines based on review of the application that <br/>
<a id="pl.18.5"></a><var>18.5</var>compensation should be paid from the fund. The commissioner shall not be bound by any <br/>
<a id="pl.18.6"></a><var>18.6</var>prior settlement, compromise, or stipulation between the owner or the lessee and the <br/>
<a id="pl.18.7"></a><var>18.7</var>licensee.<br/>
<br/>
<a id="bill.0.32.0"></a><a id="pl.18.8"></a><var>18.8</var>    Sec. 32. Minnesota Statutes 2008, section 326B.89, subdivision 8, is amended to read:<br/>
<a id="pl.18.9"></a><var>18.9</var>    Subd. 8. <b>Administrative hearing.</b> If an owner or a lessee timely serves a request <br/>
<a id="pl.18.10"></a><var>18.10</var>for hearing under subdivision 7, the commissioner shall request that an administrative law <br/>
<a id="pl.18.11"></a><var>18.11</var>judge be assigned and that a hearing be conducted under the contested case provisions <br/>
<a id="pl.18.12"></a><var>18.12</var>of chapter 14 within 30 45 days after the service of the request for hearing upon the <br/>
<a id="pl.18.13"></a><var>18.13</var>commissioner received the request for hearing, unless the parties agree to a later date. The <br/>
<a id="pl.18.14"></a><var>18.14</var>commissioner must notify the owner or lessee of the time and place of the hearing at least <br/>
<a id="pl.18.15"></a><var>18.15</var>15 days before the hearing. Upon petition of the commissioner, the administrative law <br/>
<a id="pl.18.16"></a><var>18.16</var>judge shall continue the hearing up to 60 days and upon a showing of good cause may <br/>
<a id="pl.18.17"></a><var>18.17</var>continue the hearing for such additional period as the administrative law judge deems <br/>
<a id="pl.18.18"></a><var>18.18</var>appropriate. <br/>
<a id="pl.18.19"></a><var>18.19</var>At the hearing the owner or the lessee shall have the burden of proving by substantial <br/>
<a id="pl.18.20"></a><var>18.20</var>evidence under subdivision 6, clauses (1) to (8). Whenever an applicant's judgment is by <br/>
<a id="pl.18.21"></a><var>18.21</var>default, stipulation, or consent, or whenever the action against the licensee was defended <br/>
<a id="pl.18.22"></a><var>18.22</var>by a trustee in bankruptcy, the applicant shall have the burden of proving the cause <br/>
<a id="pl.18.23"></a><var>18.23</var>of action for fraudulent, deceptive, or dishonest practices, or conversion of trust funds. <br/>
<a id="pl.18.24"></a><var>18.24</var>Otherwise, the judgment shall create a rebuttable presumption of the fraudulent, deceptive, <br/>
<a id="pl.18.25"></a><var>18.25</var>or dishonest practices, or conversion of trust funds. This presumption is a presumption <br/>
<a id="pl.18.26"></a><var>18.26</var>affecting the burden of producing evidence.<br/>
<a id="pl.18.27"></a><var>18.27</var>The administrative law judge shall issue findings of fact, conclusions of law, and <br/>
<a id="pl.18.28"></a><var>18.28</var>order. If the administrative law judge finds that compensation should be paid to the owner <br/>
<a id="pl.18.29"></a><var>18.29</var>or the lessee, the administrative law judge shall order the commissioner to make payment <br/>
<a id="pl.18.30"></a><var>18.30</var>from the fund of the amount it finds to be payable pursuant to the provisions of and in <br/>
<a id="pl.18.31"></a><var>18.31</var>accordance with the limitations contained in this section. The order of the administrative <br/>
<a id="pl.18.32"></a><var>18.32</var>law judge shall constitute the final decision of the agency in the contested case. Judicial <br/>
<a id="pl.18.33"></a><var>18.33</var>review of the administrative law judge's findings of fact, conclusions of law, and order <br/>
<a id="pl.18.34"></a><var>18.34</var>shall be in accordance with sections 
         <statute_ref>14.63</statute_ref> to 
         <statute_ref>14.69</statute_ref>.<br/>
<br/>
<a id="bill.0.33.0"></a><a id="pl.19.1"></a><var>19.1</var>    Sec. 33. Minnesota Statutes 2008, section 326B.89, subdivision 10, is amended to read:<br/>
<a id="pl.19.2"></a><var>19.2</var>    Subd. 10. <b>Right of subrogation.</b> Notwithstanding subdivisions 1 to 9 and 11 to 16, <br/>
<a id="pl.19.3"></a><var>19.3</var>the commissioner shall not pay compensation from the fund to an owner or lessee unless <br/>
<a id="pl.19.4"></a><var>19.4</var>and until the owner or lessee executes an assignment to the commissioner of all rights, <br/>
<a id="pl.19.5"></a><var>19.5</var>title, and interest in the final judgment in the amount of the compensation to be paid under <br/>
<a id="pl.19.6"></a><var>19.6</var>an agreement under subdivision 7, clause (1), or a final order issued under subdivision <br/>
<a id="pl.19.7"></a><var>19.7</var>7, clause (2), or subdivision 8. If the commissioner pays compensation from the fund to <br/>
<a id="pl.19.8"></a><var>19.8</var>an owner or a lessee pursuant to an agreement under subdivision 7, clause (1), or a final <br/>
<a id="pl.19.9"></a><var>19.9</var>order issued under subdivision 7, clause (2), or subdivision 8, then the commissioner <br/>
<a id="pl.19.10"></a><var>19.10</var>shall be subrogated to all of the rights, title, and interest in the owner's or lessee's final <br/>
<a id="pl.19.11"></a><var>19.11</var>judgment in the amount of compensation paid from the fund and the owner or the lessee <br/>
<a id="pl.19.12"></a><var>19.12</var>shall assign to the commissioner all rights, title, and interest in the final judgment in <br/>
<a id="pl.19.13"></a><var>19.13</var>the amount of compensation paid. The commissioner shall deposit in the fund money <br/>
<a id="pl.19.14"></a><var>19.14</var>recovered under this subdivision.<br/>
<br/>
<a id="bill.0.34.0"></a><a id="pl.19.15"></a><var>19.15</var>    Sec. 34. Minnesota Statutes 2008, section 326B.89, subdivision 13, is amended to read:<br/>
<a id="pl.19.16"></a><var>19.16</var>    Subd. 13. <b>Condominiums or townhouses.</b> (a) For purposes of this section, the <br/>
<a id="pl.19.17"></a><var>19.17</var>owner or the lessee of a condominium or townhouse any of the following types of real <br/>
<a id="pl.19.18"></a><var>19.18</var>estate is considered an owner or a lessee of residential property real estate regardless of <br/>
<a id="pl.19.19"></a><var>19.19</var>the number of residential units per building.:<br/>
<a id="pl.19.20"></a><var>19.20</var>(1) a condominium;<br/>
<a id="pl.19.21"></a><var>19.21</var>(2) a townhouse;<br/>
<a id="pl.19.22"></a><var>19.22</var>(3) common property in the condominium building or townhouse building in which <br/>
<a id="pl.19.23"></a><var>19.23</var>residents live; or<br/>
<a id="pl.19.24"></a><var>19.24</var>(4) a garage solely for use by one or more residents of a condominium building <br/>
<a id="pl.19.25"></a><var>19.25</var>or townhouse building.<br/>
<a id="pl.19.26"></a><var>19.26</var>    (b) For purposes of this subdivision, "common property" means common areas and <br/>
<a id="pl.19.27"></a><var>19.27</var>facilities as defined in chapter 515, common element as defined in chapter 515A, and <br/>
<a id="pl.19.28"></a><var>19.28</var>common elements as defined in chapter 515B.<br/>
<br/>
<a id="bill.0.35.0"></a><a id="pl.19.29"></a><var>19.29</var>    Sec. 35. Minnesota Statutes 2008, section 326B.89, is amended by adding a <br/>
<a id="pl.19.30"></a><var>19.30</var>subdivision to read:<br/>
<a id="pl.19.31"></a><var>19.31</var>    Subd. 17. <b>Felony.</b> An individual who knowingly makes a false material statement, <br/>
<a id="pl.19.32"></a><var>19.32</var>representation, or certification in; omits material information from; or alters or conceals <br/>
<a id="pl.19.33"></a><var>19.33</var>any information in the application described in subdivision 6 or any document filed with <br/>
<a id="pl.19.34"></a><var>19.34</var>the commissioner in connection with an application for compensation from the fund is <br/>
<a id="pl.20.1"></a><var>20.1</var>guilty of a felony and, upon conviction, may be sentenced to imprisonment for not more <br/>
<a id="pl.20.2"></a><var>20.2</var>than five years or to payment of a fine of not more than $10,000 or both.<br/>
<br/>
<a id="bill.0.36.0"></a><a id="pl.20.3"></a><var>20.3</var>    Sec. 36. Minnesota Statutes 2008, section 326B.89, is amended by adding a <br/>
<a id="pl.20.4"></a><var>20.4</var>subdivision to read:<br/>
<a id="pl.20.5"></a><var>20.5</var>    Subd. 18. <b>Recovery of payments.</b> If the commissioner pays compensation from the <br/>
<a id="pl.20.6"></a><var>20.6</var>fund on the basis of any false or misleading information provided to the commissioner <br/>
<a id="pl.20.7"></a><var>20.7</var>in connection with the application for compensation, then, upon the application of the <br/>
<a id="pl.20.8"></a><var>20.8</var>commissioner, a district court shall order the owner or lessee to repay to the fund all <br/>
<a id="pl.20.9"></a><var>20.9</var>such compensation paid from the fund. In addition, the state may be allowed an amount <br/>
<a id="pl.20.10"></a><var>20.10</var>determined by the court to be the reasonable value of all or part of the litigation expenses, <br/>
<a id="pl.20.11"></a><var>20.11</var>including attorney fees, incurred by the state. The commissioner shall deposit in the fund <br/>
<a id="pl.20.12"></a><var>20.12</var>money recovered under this subdivision.<br/>
<br/>
<a id="bill.0.37.0"></a><a id="pl.20.13"></a><var>20.13</var>    Sec. 37. Minnesota Statutes 2008, section 326B.89, is amended by adding a <br/>
<a id="pl.20.14"></a><var>20.14</var>subdivision to read:<br/>
<a id="pl.20.15"></a><var>20.15</var>    Subd. 19. <b>Payment of penalty.</b> If an owner or lessee violates section 326B.084 in <br/>
<a id="pl.20.16"></a><var>20.16</var>connection with an application for compensation from the fund, and if the commissioner <br/>
<a id="pl.20.17"></a><var>20.17</var>issues to the owner or lessee an administrative order under section 326B.082, subdivision <br/>
<a id="pl.20.18"></a><var>20.18</var>7, for that violation of section 326B.084, then the commissioner shall deposit in the fund <br/>
<a id="pl.20.19"></a><var>20.19</var>all penalties paid pursuant to the administrative order.<br/>
<br/>
<a id="bill.0.38.0"></a><a id="pl.20.20"></a><var>20.20</var>    Sec. 38. Minnesota Statutes 2008, section 326B.921, subdivision 3, is amended to read:<br/>
<a id="pl.20.21"></a><var>20.21</var>    Subd. 3.  <b>Registration requirement.</b> All unlicensed individuals, other than pipefitter <br/>
<a id="pl.20.22"></a><var>20.22</var>apprentices, must be registered under subdivision 4. No licensed high pressure piping <br/>
<a id="pl.20.23"></a><var>20.23</var>business shall employ an unlicensed individual to assist in the practical construction and <br/>
<a id="pl.20.24"></a><var>20.24</var>installation of high pressure piping and appurtenances unless the unlicensed individual is <br/>
<a id="pl.20.25"></a><var>20.25</var>registered with the department. A pipefitter apprentice or registered unlicensed individual <br/>
<a id="pl.20.26"></a><var>20.26</var>employed by a high pressure piping business may assist in the practical construction and <br/>
<a id="pl.20.27"></a><var>20.27</var>installation of high pressure piping and appurtenances only while under direct supervision <br/>
<a id="pl.20.28"></a><var>20.28</var>of a licensed contracting high pressure pipefitter or licensed journeyman high pressure <br/>
<a id="pl.20.29"></a><var>20.29</var>pipefitter employed by the same high pressure piping business. The licensed contracting <br/>
<a id="pl.20.30"></a><var>20.30</var>high pressure pipefitter or licensed journeyman high pressure pipefitter shall supervise no <br/>
<a id="pl.20.31"></a><var>20.31</var>more than two pipefitter apprentices or registered unlicensed individuals. The licensed <br/>
<a id="pl.20.32"></a><var>20.32</var>contracting high pressure pipefitter or journeyman high pressure pipefitter is responsible <br/>
<a id="pl.21.1"></a><var>21.1</var>for ensuring that all high pressure piping work performed by the pipefitter apprentice or <br/>
<a id="pl.21.2"></a><var>21.2</var>registered unlicensed individual complies with Minnesota Statutes and Minnesota Rules. <br/>
<a id="pl.21.3"></a><var>21.3</var>    The board shall make recommendations by October 1, 2008, to the chairs of <br/>
<a id="pl.21.4"></a><var>21.4</var>the standing committees of the senate and house of representatives having jurisdiction <br/>
<a id="pl.21.5"></a><var>21.5</var>over high pressure piping regulation on the ratio of licensed contracting high pressure <br/>
<a id="pl.21.6"></a><var>21.6</var>pipefitters or licensed journeyman high pressure pipefitters to pipefitter apprentices or <br/>
<a id="pl.21.7"></a><var>21.7</var>registered unlicensed individuals for purposes of supervision.<br/>
<br/>
<a id="bill.0.39.0"></a><a id="pl.21.8"></a><var>21.8</var>    Sec. 39. <b> REPEALER.</b><br/>
<a id="pl.21.9"></a><var>21.9</var>Minnesota Statutes 2008, sections 299G.11; 299G.13, subdivisions 1, 6, 9, 16, 17, <br/>
<a id="pl.21.10"></a><var>21.10</var>18, 19, 20, 21, 22, 23, 24, 25, 26, 27, and 28; 299G.14; 299G.15; 299G.16; 299G.17; <br/>
<a id="pl.21.11"></a><var>21.11</var>299G.18; 326B.115; and 326B.37, subdivision 13, are repealed.<br/>
<a id="pl.21.12"></a><var>21.12</var>Minnesota Rules, parts 5200.0020; 5200.0050; and 5200.0080, subparts 2, 3, 4, <br/>
<a id="pl.21.13"></a><var>21.13</var>4a, 4b, 6, 7, and 8, are repealed.<br/>
<br/>
<a id="bill.0.40.0"></a><a id="pl.21.14"></a><var>21.14</var>    Sec. 40. <b>EFFECTIVE DATE.</b><br/>
<a id="pl.21.15"></a><var>21.15</var>Sections 1 to 39 are effective the day following final enactment.<br/>