1.1 	A bill for an act
1.2 	relating to state government; appropriating money for jobs and economic 
1.3 	development, commerce and consumer protection, and housing; making 
1.4 	changes to labor and industry provisions; modifying and providing for 
1.5 	certain fees; modifying employment, economic development, and workforce 
1.6 	development provisions; making unemployment insurance changes; reducing 
1.7 	the unemployment insurance tax; establishing notice for contracts for deed 
1.8 	involving residential property; providing remedies; establishing the Office of 
1.9 	Broadband Development in the Department of Commerce and assigning it duties; 
1.10 	requiring the Department of Transportation to post a database on its Web site; 
1.11 	appropriating money to various boards, departments, and the Housing Finance 
1.12 	Agency; requiring reports;amending Minnesota Statutes 2012, sections 60A.14, 
1.13 	subdivision 1; 116J.70, subdivision 2a; 116J.8731, subdivisions 2, 3, 8, 9; 
1.14 	116L.17, subdivision 4, by adding a subdivision; 116U.26; 136F.37; 154.001, by 
1.15 	adding a subdivision; 154.003; 154.02; 154.05; 154.06; 154.065, subdivision 2; 
1.16 	154.07, subdivision 1; 154.08; 154.09; 154.10, subdivision 1; 154.11, subdivision 
1.17 	1; 154.12; 154.14; 154.15, subdivision 2; 154.26; 155A.23, subdivisions 3, 8, 11; 
1.18 	155A.25, subdivisions 1a, 4; 155A.27, subdivisions 4, 10; 155A.29, subdivision 
1.19 	2; 155A.30, by adding a subdivision; 177.27, subdivision 4; 237.012, subdivision 
1.20 	3; 239.101, subdivision 3; 245.4712, subdivision 1; 268.051, subdivision 5; 
1.21 	268.07, subdivision 3b; 268.125, subdivisions 1, 3, 4, 5; 268.136, subdivisions 
1.22 	1, 2, 3, 4, 5, by adding a subdivision; 268.199; 268.23; 268A.13; 268A.14, 
1.23 	subdivision 1; 326.02, subdivision 5; 326A.04, subdivisions 2, 3, 5, 7; 326A.10; 
1.24 	326B.081, subdivision 3; 326B.082, subdivision 11; 326B.093, subdivision 4; 
1.25 	326B.101; 326B.103, subdivision 11; 326B.121, subdivision 1; 326B.163, by 
1.26 	adding subdivisions; 326B.184, subdivisions 1, 2, by adding a subdivision; 
1.27 	326B.187; 326B.31, by adding a subdivision; 326B.33, subdivisions 19, 21; 
1.28 	326B.36, subdivision 7; 326B.37, by adding a subdivision; 326B.43, subdivision 
1.29 	2; 326B.49, subdivisions 2, 3; 326B.89, subdivision 1; 327B.04, subdivision 
1.30 	4; 341.21, subdivision 3a; 341.221; 341.27; 341.29; 341.30, subdivision 4; 
1.31 	341.32, subdivision 2; 341.321; 507.235, subdivision 2; 559.211, subdivision 
1.32 	2; Laws 2011, First Special Session chapter 2, article 2, section 3, subdivision 
1.33 	4; Laws 2012, chapter 201, article 1, section 3; proposing coding for new law 
1.34 	in Minnesota Statutes, chapters 116J; 116L; 154; 155A; 161; 179; 237; 268; 
1.35 	326B; 383D; 559; proposing coding for new law as Minnesota Statutes, chapter 
1.36 	80G; repealing Minnesota Statutes 2012, sections 116W.01; 116W.02; 116W.03; 
1.37 	116W.035; 116W.04; 116W.05; 116W.06; 116W.20; 116W.21; 116W.23; 
1.38 	116W.24; 116W.25; 116W.26; 116W.27; 116W.28; 116W.29; 116W.30; 116W.31; 
1.39 	116W.32; 116W.33; 116W.34; 155A.25, subdivision 1; 326A.03, subdivisions 
2.1 	2, 5, 8; 326B.31, subdivisions 18, 19, 22; 326B.978, subdivision 4; 507.235, 
2.2 	subdivision 4; Minnesota Rules, parts 1105.0600; 1105.2550; 1105.2700; 
2.3 	1307.0032; 3800.3520, subpart 5, items C, D; 3800.3602, subpart 2, item B.
2.4 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.5 	ARTICLE 1
2.6 	APPROPRIATIONS

2.7	Section 1. JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS.
 	
2.8 	The amounts shown in this section summarize direct appropriations, by fund, made 
2.9 	in this article.

2.10			2014
		2015
		Total
	
2.11	General
	$
	81,899,000
	$
	75,301,000
	$
	157,200,000
	
2.12	Workforce Development
		17,476,000
		17,476,000
		34,952,000
	
2.13	Remediation
		700,000
		700,000
		1,400,000
	
2.14	Workers' Compensation 
		22,784,000
		22,574,000
		45,358,000
	
2.15	Total
	$
	122,859,000
	$
	116,051,000
	$
	238,910,000

2.16	Sec. 2. JOBS AND ECONOMIC DEVELOPMENT.
 	
2.17 	The sums shown in the columns marked "Appropriations" are appropriated to the 
2.18 	agencies and for the purposes specified in this article. The appropriations are from the 
2.19 	general fund, or another named fund, and are available for the fiscal years indicated 
2.20 	for each purpose. The figures "2014" and "2015" used in this article mean that the 
2.21 	appropriations listed under them are available for the fiscal year ending June 30, 2014, or 
2.22 	June 30, 2015, respectively. "The first year" is fiscal year 2014. "The second year" is fiscal 
2.23 	year 2015. "The biennium" is fiscal years 2014 and 2015.

2.24				APPROPRIATIONS
	
2.25				Available for the Year
	
2.26				Ending June 30
	
2.27					2014
		2015

2.28
2.29	Sec. 3. DEPARTMENT OF EMPLOYMENT 
AND ECONOMIC DEVELOPMENT

2.30	Subdivision 1.Total Appropriation
 	$
	91,788,000
	$
	86,255,000

2.31	Appropriations by Fund
	
2.32		2014
	2015
	
2.33	General
	74,641,000
	69,108,000
	
2.34	Remediation
	700,000
	700,000
	
2.35
2.36	Workforce 
Development
	16,447,000
	16,447,000
	
3.1 	The amounts that may be spent for each 
3.2 	purpose are specified in the following 
3.3 	subdivisions.

3.4
3.5	Subd. 2.Business and Community 
Development
 		40,590,000
		35,610,000

3.6	Appropriations by Fund
	
3.7	General
	39,890,000
	34,910,000
	
3.8	Remediation
	700,000
	700,000
	
3.9 	(a)(1) $10,000,000 each year is for 
3.10 	the Minnesota investment fund under 
3.11 	Minnesota Statutes, section 116J.8731. 
3.12 	This appropriation is available until spent. 
3.13 	The base funding for this appropriation is 
3.14 	$13,750,000 each year in the fiscal year 
3.15 	2016-2017 biennium.
3.16 	(2) Of the amount available under clause 
3.17 	(1), up to $3,000,000 in fiscal year 2014 
3.18 	is for a loan to facilitate initial investment 
3.19 	in the purchase and operation of a 
3.20 	biopharmaceutical manufacturing facility. 
3.21 	This loan is not subject to the loan limitations 
3.22 	under Minnesota Statutes, section 116J.8731, 
3.23 	and shall be forgiven by the commissioner 
3.24 	of employment and economic development 
3.25 	upon verification of meeting performance 
3.26 	goals. Purchases related to and for the 
3.27 	purposes of this loan award must be made 
3.28 	between January 1, 2013, and June 30, 2015. 
3.29 	The amount under this clause is available 
3.30 	until expended.
3.31 	(3) Of the amount available under clause (1), 
3.32 	up to $2,000,000 is available for subsequent 
3.33 	investment in the biopharmaceutical facility 
3.34 	project in clause (2). The amount under this 
3.35 	clause is available until expended. Loan 
3.36 	thresholds under clause (2) must be achieved 
4.1 	and maintained to receive funding. Loans 
4.2 	are not subject to the loan limitations under 
4.3 	Minnesota Statutes, section 116J.8731, and 
4.4 	shall be forgiven by the commissioner of 
4.5 	employment and economic development 
4.6 	upon verification of meeting performance 
4.7 	goals. Purchases related to and for the 
4.8 	purposes of loan awards must be made during 
4.9 	the biennium the loan was received.
4.10 	(4) Notwithstanding any law to the contrary, 
4.11 	the biopharmaceutical manufacturing facility 
4.12 	in this paragraph shall be deemed eligible 
4.13 	for the Minnesota job creation fund under 
4.14 	Minnesota Statutes, section 116J.8748. 
4.15 	(5) For purposes of clauses (1) to (4), 
4.16 	"biopharmaceutical" and "biologics" are 
4.17 	interchangeable and mean medical drugs 
4.18 	or medicinal preparations produced using 
4.19 	technology that uses biological systems, 
4.20 	living organisms, or derivatives of living 
4.21 	organisms, to make or modify products or 
4.22 	processes for specific use. The medical drugs 
4.23 	or medicinal preparations include but are not 
4.24 	limited to proteins, antibodies, nucleic acids, 
4.25 	and vaccines.
4.26 	(b) $6,000,000 the first year and $12,500,000 
4.27 	the second year are for the Minnesota job 
4.28 	creation fund under Minnesota Statutes, 
4.29 	section 116J.8748. Of this amount, the 
4.30 	commissioner of employment and economic 
4.31 	development may use up to three percent for 
4.32 	administrative expenses. This appropriation 
4.33 	is available until spent.
4.34 	(c) $1,272,000 the first year and $1,272,000 
4.35 	the second year are from the general fund for 
5.1 	contaminated site cleanup and development 
5.2 	grants under Minnesota Statutes, sections 
5.3 	116J.551 to 116J.558.
5.4 	(d) $700,000 the first year and $700,000 the 
5.5 	second year are from the remediation fund for 
5.6 	contaminated site cleanup and development 
5.7 	grants under Minnesota Statutes, sections 
5.8 	116J.551 to 116J.558. This appropriation is 
5.9 	available until expended.
5.10 	(e) $1,425,000 the first year and $1,425,000 
5.11 	the second year are from the general fund for 
5.12 	the business development competitive grant 
5.13 	program. Of this amount, up to five percent 
5.14 	is for administration and monitoring of the 
5.15 	business development competitive grant 
5.16 	program. All grant awards shall be for two 
5.17 	consecutive years. Grants shall be awarded 
5.18 	in the first year.
5.19 	(f) $5,320,000 each year is from the general 
5.20 	fund for the Minnesota job skills partnership 
5.21 	program under Minnesota Statutes, sections 
5.22 	116L.01 to 116L.17. If the appropriation for 
5.23 	either year is insufficient, the appropriation 
5.24 	for the other year is available. This 
5.25 	appropriation is available until spent. 
5.26 	The general fund base for this program 
5.27 	is $4,195,000 each year in the fiscal year 
5.28 	2016-2017 biennium.
5.29 	(g) $9,580,000 the first year is from the 
5.30 	general fund for grants under Minnesota 
5.31 	Statutes, section 116J.571, for the 
5.32 	redevelopment program. This is a onetime 
5.33 	appropriation and is available until spent.
5.34 	(h) $1,900,000 the first year is from the 
5.35 	general fund for a onetime grant to the 
6.1 	Minnesota Film and TV Board for the film 
6.2 	production jobs program under Minnesota 
6.3 	Statutes, section 116U.26. This appropriation 
6.4 	is available until expended.
6.5 	(i) $375,000 each year is from the general 
6.6 	fund for a grant  to Enterprise Minnesota, Inc., 
6.7 	for the small business growth acceleration 
6.8 	program under Minnesota Statutes, section 
6.9 	116O.115. This is a onetime appropriation.
6.10 	(j) $200,000 each year is from the general 
6.11 	fund for a grant to develop and implement 
6.12 	a southern and southwestern Minnesota 
6.13 	initiative foundation collaborative pilot 
6.14 	project. Funds available under this paragraph 
6.15 	must be used to support and develop 
6.16 	entrepreneurs in diverse populations in 
6.17 	southern and southwestern Minnesota. This 
6.18 	is a onetime appropriation and is available 
6.19 	until expended. 
6.20 	(k) $100,000 each year is from the general 
6.21 	fund for the Center for Rural Policy 
6.22 	and Development. This is a onetime 
6.23 	appropriation.

6.24	Subd. 3.Workforce Development
 		14,726,000
		14,108,000

6.25	Appropriations by Fund
	
6.26	General
	5,134,000
	4,516,000
	
6.27
6.28	Workforce 
Development
	9,592,000
	9,592,000
	
6.29 	(a) $1,039,000 each year from the general 
6.30 	fund and $2,244,000 each year from the 
6.31 	workforce development fund are for the adult 
6.32 	workforce development competitive grant 
6.33 	program. Of this amount, up to five percent 
6.34 	is for administration and monitoring of the 
6.35 	adult workforce development competitive 
7.1 	grant program. All grant awards shall be 
7.2 	for two consecutive years. Grants shall be 
7.3 	awarded in the first year.
7.4 	(b) $3,500,000 each year is from the 
7.5 	workforce development fund for the 
7.6 	Minnesota youth program under Minnesota 
7.7 	Statutes, sections 116L.56 and 116L.561.
7.8 	(c) $1,000,000 each year is from the 
7.9 	workforce development fund for the 
7.10 	youthbuild program under Minnesota 
7.11 	Statutes, sections 116L.361 to 116L.366.
7.12 	(d) $570,000 each year is from the general 
7.13 	fund and $2,848,000 each year is from the 
7.14 	workforce development fund for the youth 
7.15 	workforce development competitive grant 
7.16 	program. Of this amount, up to five percent 
7.17 	is for administration and monitoring of the 
7.18 	youth workforce development competitive 
7.19 	grant program. All grant awards shall be 
7.20 	for two consecutive years. Grants shall be 
7.21 	awarded in the first year.
7.22 	(e) $2,500,000 each year is from the 
7.23 	general fund for a grant to the Minnesota 
7.24 	FastTRAC program. Up to ten percent 
7.25 	of this appropriation may be used to 
7.26 	provide leadership, oversight, and technical 
7.27 	assistance services. The base funding for this 
7.28 	program shall be $2,225,000 each year in the 
7.29 	fiscal year 2016-2017 biennium.
7.30 	(f) $507,000 the first year and $407,000 the 
7.31 	second year are from the general fund for a 
7.32 	grant to the Minnesota High Tech Association 
7.33 	to support SciTechsperience, a program that 
7.34 	supports science, technology, engineering, 
7.35 	and math (STEM) internship opportunities 
8.1 	for two- and four-year college and university 
8.2 	students in their field of study. The internship 
8.3 	opportunities must match students with 
8.4 	paid internships within STEM disciplines 
8.5 	at small, for-profit companies located in the 
8.6 	seven-county metropolitan area, with fewer 
8.7 	than 150 total employees, or at small or 
8.8 	medium, for-profit companies located outside 
8.9 	of the seven-county metropolitan area, with 
8.10 	fewer than 250 total employees. At least 125 
8.11 	students must be matched in the first year 
8.12 	and at least 175 students must be matched in 
8.13 	the second year. Selected hiring companies 
8.14 	shall receive from the grant 50 percent of the 
8.15 	wages paid to the intern, capped at $2,500 
8.16 	per intern. Of this appropriation, at least 50 
8.17 	percent of the student interns must be women 
8.18 	or other underserved populations. This is a 
8.19 	onetime appropriation and is available until 
8.20 	expended.
8.21 	(g) $450,000 the first year is from the general 
8.22 	fund for the foreign-trained health care 
8.23 	professionals grant program modeled after 
8.24 	the pilot program conducted under Laws 
8.25 	2006, chapter 282, article 11, section 2, 
8.26 	subdivision 12, to encourage state licensure 
8.27 	of foreign-trained health care professionals, 
8.28 	including: physicians, with preference given 
8.29 	to primary care physicians who commit 
8.30 	to practicing for at least five years after 
8.31 	licensure in underserved areas of the state; 
8.32 	nurses; dentists; pharmacists; mental health 
8.33 	professionals; and other allied health care 
8.34 	professionals. The commissioner must 
8.35 	collaborate with health-related licensing 
8.36 	boards and Minnesota workforce centers to 
9.1 	award grants to foreign-trained health care 
9.2 	professionals sufficient to cover the actual 
9.3 	costs of taking a course to prepare health 
9.4 	care professionals for required licensing 
9.5 	examinations and the fee for the state 
9.6 	licensing examinations. When awarding 
9.7 	grants, the commissioner must consider the 
9.8 	following factors:
9.9 	(1) whether the recipient's training involves 
9.10 	a medical specialty that is in high demand in 
9.11 	one or more communities in the state;
9.12 	(2) whether the recipient commits to 
9.13 	practicing in a designated rural area or an 
9.14 	underserved urban community, as defined in 
9.15 	Minnesota Statutes, section 144.1501;
9.16 	(3) whether the recipient's language skills 
9.17 	provide an opportunity for needed health care 
9.18 	access for underserved Minnesotans; and
9.19 	(4) any additional criteria established 
9.20 	by the commissioner. This is a onetime 
9.21 	appropriation and is available until expended.
9.22 	(h) $68,000 the first year from the general 
9.23 	fund is for a grant to Olmsted County for 
9.24 	employment supports and independent 
9.25 	living services to county residents diagnosed 
9.26 	with high-functioning autism, Asperger's 
9.27 	syndrome, nonverbal learning disorders, 
9.28 	and pervasive development disorder, not 
9.29 	otherwise specified, and for education, 
9.30 	outreach, and support services to area 
9.31 	employers to encourage the hiring and 
9.32 	promotion of workers with high-functioning 
9.33 	autism, Asperger's syndrome, nonverbal 
9.34 	learning disorders, and pervasive 
9.35 	development disorder, not otherwise 
10.1 	specified. This is a onetime appropriation 
10.2 	and is available until expended.

10.3	Subd. 4.General Support Services
 		1,509,000
		1,604,000
	
10.4 	(a) $150,000 each year is from the general 
10.5 	fund for the cost-of-living study required 
10.6 	under Minnesota Statutes, section 116J.013.
10.7 	(b) $250,000 each year is from the general 
10.8 	fund for the publication, dissemination, 
10.9 	and use of labor market information under 
10.10 	Minnesota Statutes, section 116J.4011.

10.11	Subd. 5.Minnesota Trade Office
 		2,322,000
		2,292,000
	
10.12 	(a) $330,000 in fiscal year 2014 and $300,000 
10.13 	in fiscal year 2015 are for the STEP grants 
10.14 	in Minnesota Statutes, section 116J.979. Of 
10.15 	the fiscal year 2014 appropriation, $30,000 
10.16 	is for establishing trade and export relations 
10.17 	between the state of Minnesota and east 
10.18 	African nations.
10.19 	(b) $180,000 in fiscal year 2014 and 
10.20 	$180,000 in fiscal year 2015 are for the Invest 
10.21 	Minnesota marketing initiative in Minnesota 
10.22 	Statutes, section 116J.9801. Notwithstanding 
10.23 	any other law, this provision does not expire.
10.24 	(c) $270,000 each year is from the general 
10.25 	fund for the expansion of Minnesota Trade 
10.26 	Offices under Minnesota Statutes, section 
10.27 	116J.978.
10.28 	(d) $50,000 each year is from the general 
10.29 	fund  for the trade policy advisory group 
10.30 	under Minnesota Statutes, section 116J.9661.
10.31 	(e) The commissioner of employment and 
10.32 	economic development, in consultation 
10.33 	with the commissioner of agriculture, shall 
11.1 	identify and increase export opportunities for 
11.2 	Minnesota agricultural products.

11.3	Subd. 6.Vocational Rehabilitation
 		26,716,000
		26,716,000

11.4	Appropriations by Fund
	
11.5	General
	19,861,000
	19,861,000
	
11.6
11.7	Workforce 
Development
	6,855,000
	6,855,000
	
11.8 	(a) $10,800,000 each year is from the general 
11.9 	fund for the state's vocational rehabilitation 
11.10 	program under Minnesota Statutes, chapter 
11.11 	268A.
11.12 	(b) $2,261,000 each year is from the general 
11.13 	fund for grants to centers for independent 
11.14 	living under Minnesota Statutes, section 
11.15 	268A.11.
11.16 	(c) $5,245,000 each year from the general 
11.17 	fund and $6,830,000 each year from the 
11.18 	workforce development fund are for extended 
11.19 	employment services for persons with severe 
11.20 	disabilities under Minnesota Statutes, section 
11.21 	268A.15.
11.22 	(d) $1,555,000 each year is from the general 
11.23 	fund for grants to programs that provide 
11.24 	employment support services to persons with 
11.25 	mental illness under Minnesota Statutes, 
11.26 	sections 268A.13 and 268A.14.
11.27 	(e) $25,000 each year is from the workforce 
11.28 	development fund for grants to programs 
11.29 	that provide employment support services to 
11.30 	persons with mental illness under Minnesota 
11.31 	Statutes, sections 268A.13 and 268A.14. 
11.32 	At least 50 percent of the funding must be 
11.33 	used for projects that use the evidence-based 
11.34 	practice of individual placement and 
11.35 	supports. Grants may be used for special 
12.1 	projects for young people with mental 
12.2 	illness transitioning from school to work or 
12.3 	experiencing a first psychotic episode.

12.4	Subd. 7.Services for the Blind
 		5,925,000
		5,925,000

12.5	Subd. 8.Competitive grant limitations.
 					
12.6 	An organization that receives a direct 
12.7 	appropriation under this section is not eligible 
12.8 	to participate in competitive grant programs 
12.9 	under this section during the fiscal years in 
12.10 	which the direct appropriations are received.

12.11
12.12	Sec. 4. DEPARTMENT OF LABOR AND 
INDUSTRY

12.13	Subdivision 1.Total Appropriation
 	$
	23,859,000
	$
	22,948,000

12.14	Appropriations by Fund
	
12.15		2014
	2015
	
12.16	General
	1,959,000
	1,048,000
	
12.17
12.18	Workers' 
Compensation
	20,871,000
	20,871,000
	
12.19
12.20	Workforce 
Development
	1,029,000
	1,029,000
	
12.21 	The amounts that may be spent for each 
12.22 	purpose are specified in the following 
12.23 	subdivisions.

12.24	Subd. 2.Workers' Compensation
 		10,678,000
		10,678,000
	
12.25 	This appropriation is from the workers' 
12.26 	compensation fund.
12.27 	$200,000 each year is for grants to the 
12.28 	Vinland Center for rehabilitation services. 
12.29 	Grants shall be distributed as the department 
12.30 	refers injured workers to the Vinland Center 
12.31 	for rehabilitation services.

12.32	Subd. 3.Labor Standards and Apprenticeship
 		2,988,000
		2,077,000

13.1	Appropriations by Fund
	
13.2	General
	1,959,000
	1,048,000
	
13.3
13.4	Workforce 
Development
	1,029,000
	1,029,000
	
13.5 	(a) $816,000 each year is from the 
13.6 	general fund for the labor standards and 
13.7 	apprenticeship program.
13.8 	(b) $150,000 each year is from the general 
13.9 	fund for a child labor initiative for expanding 
13.10 	education and outreach to high schools and 
13.11 	targeted industries to ensure minors entering 
13.12 	the workforce are safe.
13.13 	(c) $879,000 each year is appropriated from 
13.14 	the workforce development fund for the 
13.15 	apprenticeship program under Minnesota 
13.16 	Statutes, chapter 178, and includes $100,000 
13.17 	for labor education and advancement 
13.18 	program grants and to expand and promote 
13.19 	registered apprenticeship training in 
13.20 	nonconstruction trade programs.
13.21 	(d) $150,000 each year is appropriated 
13.22 	from the workforce development fund for 
13.23 	prevailing wage enforcement.
13.24 	(e) $70,000 in the second year is from 
13.25 	the general fund for implementing and 
13.26 	administering a minimum wage inflation 
13.27 	adjustment. This appropriation is available 
13.28 	only if a law is enacted in 2013 that includes 
13.29 	an automatic inflation adjustment to the state 
13.30 	minimum wage. The availability of this 
13.31 	appropriation is effective in the same fiscal 
13.32 	year that the inflation adjustment is first 
13.33 	effective.
13.34 	(f) $987,000 in fiscal year 2014 is 
13.35 	appropriated from the general fund to the 
14.1 	commissioner of labor and industry for 
14.2 	the purposes of the job-based education 
14.3 	and apprenticeship program (JEAP) for 
14.4 	manufacturing industries under article 2. 
14.5 	This appropriation is available until spent. 
14.6 	Of this appropriation:
14.7 	(1) $330,000 is for the commissioner of labor 
14.8 	and industry to implement JEAP; and
14.9 	(2) $657,000 is for transfer to the Board of 
14.10 	Trustees of the Minnesota State Colleges 
14.11 	and Universities for grants to administer the 
14.12 	JEAP related instruction component, to be 
14.13 	dispersed as follows:
14.14 	(i) $187,000 is for Alexandria Technical and 
14.15 	Community College's Customized Training 
14.16 	Center;
14.17 	(ii) $380,000 is for Century College;
14.18 	(iii) $45,000 is for Hennepin Technical 
14.19 	College; and
14.20 	(iv) $45,000 is for Central Lakes College.

14.21	Subd. 4.Workplace Safety
 		4,154,000
		4,154,000
	
14.22 	This appropriation is from the workers' 
14.23 	compensation fund.

14.24	Subd. 5.General Support
 		6,039,000
		6,039,000
	
14.25 	This appropriation is from the workers' 
14.26 	compensation fund.

14.27
14.28	Sec. 5. BUREAU OF MEDIATION 
SERVICES
 	$
	2,140,000
	$
	2,056,000
	
14.29 	(a) $68,000 each year is for grants to area 
14.30 	labor management committees. Grants may 
14.31 	be awarded for a 12-month period beginning 
14.32 	July 1 each year. Any unencumbered balance 
15.1 	remaining at the end of the first year does not 
15.2 	cancel but is available for the second year.
15.3 	(b) $100,000 in fiscal year 2014 is 
15.4 	appropriated from the general fund to the 
15.5 	Bureau of Mediation Services for transfer 
15.6 	to the Office of Enterprise Technology to 
15.7 	develop a new business management system 
15.8 	for case and document management. This is 
15.9 	a onetime appropriation and is available for 
15.10 	spending until June 30, 2015. Any ongoing 
15.11 	information technology support or costs for 
15.12 	this application will be incorporated into the 
15.13 	service level agreement and will be paid to 
15.14 	the Office of Enterprise Technology by the 
15.15 	Bureau of Mediation Services under the rates 
15.16 	and mechanism specified in that agreement.
15.17 	(c) $256,000 each year is from the general 
15.18 	fund for the Office of Collaboration and 
15.19 	Dispute Resolution under Minnesota 
15.20 	Statutes, section 179.90. Of this amount, 
15.21 	$160,000 each year is for grants under 
15.22 	Minnesota Statutes, section 179.91, and 
15.23 	$96,000 each year is for intergovernmental 
15.24 	and public policy collaboration and operation 
15.25 	of the office.
15.26 	(d) The bureau's general fund base 
15.27 	is $2,085,000 in fiscal year 2016 and 
15.28 	$2,089,000 in fiscal year 2017.

15.29	Sec. 6. BOARD OF ACCOUNTANCY
 	$
	708,000
	$
	624,000

15.30
15.31
15.32
15.33	Sec. 7. BOARD OF ARCHITECTURE, 
ENGINEERING, LAND SURVEYING, 
LANDSCAPE ARCHITECTURE, 
GEOSCIENCE, AND INTERIOR DESIGN
 	$
	778,000
	$
	783,000

15.34
15.35	Sec. 8. BOARD OF COSMETOLOGIST 
EXAMINERS
 	$
	1,354,000
	$
	1,361,000

16.1	Sec. 9. BOARD OF BARBER EXAMINERS
 	$
	319,000
	$
	321,000

16.2
16.3	Sec. 10. WORKERS' COMPENSATION 
COURT OF APPEALS
 	$
	1,913,000
	$
	1,703,000
	
16.4 	This appropriation is from the workers' 
16.5 	compensation fund.
16.6 	Of this appropriation, $210,000 in the first 
16.7 	year is onetime and is available for spending 
16.8 	until June 30, 2015. $110,000 in fiscal 
16.9 	year 2014 is for a onetime transfer to the 
16.10 	Office of Enterprise Technology to develop 
16.11 	a paperless case management system and 
16.12 	to ensure that services and hardware are 
16.13 	accessible and compatible with systems with 
16.14 	which the Workers' Compensation Court 
16.15 	of Appeals must interact. Any ongoing 
16.16 	information technology support or costs for 
16.17 	this application will be incorporated into the 
16.18 	service level agreement and will be paid to 
16.19 	the Office of Enterprise Technology by the 
16.20 	Workers' Compensation Court of Appeals 
16.21 	under the rates and mechanism specified in 
16.22 	that agreement.

16.23 	Sec. 11. CANCELLATION.
 16.24 	Of the appropriation to the commissioner of the department of employment and 
16.25 	economic development for the Minnesota Investment Fund in Laws 2012, First Special 
16.26 	Session chapter 1, article 1, section 5, $7,000,000 is canceled to the general fund.

16.27 	ARTICLE 2
16.28 	LABOR AND INDUSTRY

16.29 	Section 1. Minnesota Statutes 2012, section 116J.70, subdivision 2a, is amended to read:
16.30 		Subd. 2a.License; exceptions. "Business license" or "license" does not include 
16.31 	the following:
17.1 	(1) any occupational license or registration issued by a licensing board listed in 
17.2 	section 214.01 or any occupational registration issued by the commissioner of health 
17.3 	pursuant to section 214.13;
17.4 	(2) any license issued by a county, home rule charter city, statutory city, township, or 
17.5 	other political subdivision;
17.6 	(3) any license required to practice the following occupation regulated by the 
17.7 	following sections:
17.8 	(i) abstracters regulated pursuant to chapter 386;
17.9 	(ii) accountants regulated pursuant to chapter 326A;
17.10 	(iii) adjusters regulated pursuant to chapter 72B;
17.11 	(iv) architects regulated pursuant to chapter 326;
17.12 	(v) assessors regulated pursuant to chapter 270;
17.13 	(vi) athletic trainers regulated pursuant to chapter 148;
17.14 	(vii) attorneys regulated pursuant to chapter 481;
17.15 	(viii) auctioneers regulated pursuant to chapter 330;
17.16 	(ix) barbers and cosmetologists regulated pursuant to chapter 154;
17.17 	(x) boiler operators regulated pursuant to chapter 183 326B;
17.18 	(xi) chiropractors regulated pursuant to chapter 148;
17.19 	(xii) collection agencies regulated pursuant to chapter 332;
17.20 	(xiii) dentists, registered dental assistants, and dental hygienists regulated pursuant 
17.21 	to chapter 150A;
17.22 	(xiv) detectives regulated pursuant to chapter 326;
17.23 	(xv) electricians regulated pursuant to chapter 326 326B;
17.24 	(xvi) mortuary science practitioners regulated pursuant to chapter 149A;
17.25 	(xvii) engineers regulated pursuant to chapter 326;
17.26 	(xviii) insurance brokers and salespersons regulated pursuant to chapter 60A;
17.27 	(xix) certified interior designers regulated pursuant to chapter 326;
17.28 	(xx) midwives regulated pursuant to chapter 147D;
17.29 	(xxi) nursing home administrators regulated pursuant to chapter 144A;
17.30 	(xxii) optometrists regulated pursuant to chapter 148;
17.31 	(xxiii) osteopathic physicians regulated pursuant to chapter 147;
17.32 	(xxiv) pharmacists regulated pursuant to chapter 151;
17.33 	(xxv) physical therapists regulated pursuant to chapter 148;
17.34 	(xxvi) physician assistants regulated pursuant to chapter 147A;
17.35 	(xxvii) physicians and surgeons regulated pursuant to chapter 147;
17.36 	(xxviii) plumbers regulated pursuant to chapter 326 326B;
18.1 	(xxix) podiatrists regulated pursuant to chapter 153;
18.2 	(xxx) practical nurses regulated pursuant to chapter 148;
18.3 	(xxxi) professional fund-raisers regulated pursuant to chapter 309;
18.4 	(xxxii) psychologists regulated pursuant to chapter 148;
18.5 	(xxxiii) real estate brokers, salespersons, and others regulated pursuant to chapters 
18.6 	82 and 83;
18.7 	(xxxiv) registered nurses regulated pursuant to chapter 148;
18.8 	(xxxv) securities brokers, dealers, agents, and investment advisers regulated 
18.9 	pursuant to chapter 80A;
18.10 	(xxxvi) steamfitters regulated pursuant to chapter 326 326B;
18.11 	(xxxvii) teachers and supervisory and support personnel regulated pursuant to 
18.12 	chapter 125;
18.13 	(xxxviii) veterinarians regulated pursuant to chapter 156;
18.14 	(xxxix) water conditioning contractors and installers regulated pursuant to chapter 
18.15 	326 326B;
18.16 	(xl) water well contractors regulated pursuant to chapter 103I;
18.17 	(xli) water and waste treatment operators regulated pursuant to chapter 115;
18.18 	(xlii) motor carriers regulated pursuant to chapter 221;
18.19 	(xliii) professional firms regulated under chapter 319B;
18.20 	(xliv) real estate appraisers regulated pursuant to chapter 82B;
18.21 	(xlv) residential building contractors, residential remodelers, residential roofers, 
18.22 	manufactured home installers, and specialty contractors regulated pursuant to chapter 
18.23 	326 326B;
18.24 	(xlvi) licensed professional counselors regulated pursuant to chapter 148B;
18.25 	(4) any driver's license required pursuant to chapter 171;
18.26 	(5) any aircraft license required pursuant to chapter 360;
18.27 	(6) any watercraft license required pursuant to chapter 86B;
18.28 	(7) any license, permit, registration, certification, or other approval pertaining to a 
18.29 	regulatory or management program related to the protection, conservation, or use of or 
18.30 	interference with the resources of land, air, or water, which is required to be obtained 
18.31 	from a state agency or instrumentality; and
18.32 	(8) any pollution control rule or standard established by the Pollution Control 
18.33 	Agency or any health rule or standard established by the commissioner of health or any 
18.34 	licensing rule or standard established by the commissioner of human services.

18.35 	Sec. 2. Minnesota Statutes 2012, section 177.27, subdivision 4, is amended to read:
19.1 		Subd. 4.Compliance orders. The commissioner may issue an order requiring 
19.2 	an employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 
19.3 	181.032, 181.101, 181.11, 181.12, 181.13, 181.14, 181.145, 181.15, 181.275, subdivision 
19.4 	2a, 181.722, and 181.79, or with any rule promulgated under section 177.28. The 
19.5 	commissioner shall issue an order requiring an employer to comply with sections 177.41
19.6 	to 177.435 if the violation is repeated. For purposes of this subdivision only, a violation 
19.7 	is repeated if at any time during the two years that preceded the date of violation, the 
19.8 	commissioner issued an order to the employer for violation of sections 177.41 to 177.435
19.9 	and the order is final or the commissioner and the employer have entered into a settlement 
19.10 	agreement that required the employer to pay back wages that were required by sections 
19.11 	177.41 to 177.435. The department shall serve the order upon the employer or the 
19.12 	employer's authorized representative in person or by certified mail at the employer's place 
19.13 	of business. An employer who wishes to contest the order must file written notice of 
19.14 	objection to the order with the commissioner within 15 calendar days after being served 
19.15 	with the order. A contested case proceeding must then be held in accordance with sections 
19.16 	14.57 to 14.69. If, within 15 calendar days after being served with the order, the employer 
19.17 	fails to file a written notice of objection with the commissioner, the order becomes a 
19.18 	final order of the commissioner.

19.19 	Sec. 3. Minnesota Statutes 2012, section 326.02, subdivision 5, is amended to read:
19.20 		Subd. 5.Limitation. The provisions of sections 326.02 to 326.15 shall not apply 
19.21 	to the preparation of plans and specifications for the erection, enlargement, or alteration 
19.22 	of any building or other structure by any person, for that person's exclusive occupancy 
19.23 	or use, unless such occupancy or use involves the public health or safety or the health 
19.24 	or safety of the employees of said person, or of the buildings listed in section 326.03, 
19.25 	subdivision 2, nor to any detailed or shop plans required to be furnished by a contractor 
19.26 	to a registered engineer, landscape architect, architect, or certified interior designer, 
19.27 	nor to any standardized manufactured product, nor to any construction superintendent 
19.28 	supervising the execution of work designed by an architect, landscape architect, engineer, 
19.29 	or certified interior designer licensed or certified in accordance with section 326.03, nor 
19.30 	to the planning for and supervision of the construction and installation of work by an 
19.31 	electrical or elevator contractor or master plumber as defined in and licensed pursuant to 
19.32 	chapter 326B, where such work is within the scope of such licensed activity and not 
19.33 	within the practice of professional engineering, or architecture, or where the person does 
19.34 	not claim to be a certified interior designer as defined in subdivision 2, 3, or 4b.

20.1 	Sec. 4. Minnesota Statutes 2012, section 326B.081, subdivision 3, is amended to read:
20.2 		Subd. 3.Applicable law. "Applicable law" means the provisions of sections 
20.3 	181.723, 325E.66, 327.31 to 327.36, and this chapter, and chapter 341, and all rules, 
20.4 	orders, stipulation agreements, settlements, compliance agreements, licenses, registrations, 
20.5 	certificates, and permits adopted, issued, or enforced by the department under sections 
20.6 	181.723, 325E.66, 327.31 to 327.36, or this chapter, or chapter 341.

20.7 	Sec. 5. Minnesota Statutes 2012, section 326B.082, subdivision 11, is amended to read:
20.8 		Subd. 11.Licensing orders; grounds; reapplication. (a) The commissioner may 
20.9 	deny an application for a permit, license, registration, or certificate if the applicant does 
20.10 	not meet or fails to maintain the minimum qualifications for holding the permit, license, 
20.11 	registration, or certificate, or has any unresolved violations or unpaid fees or monetary 
20.12 	penalties related to the activity for which the permit, license, registration, or certificate has 
20.13 	been applied for or was issued.
20.14 	(b) The commissioner may deny, suspend, limit, place conditions on, or revoke a 
20.15 	person's permit, license, registration, or certificate, or censure the person holding the 
20.16 	permit, license, registration, or certificate, if the commissioner finds that the person:
20.17 	(1) committed one or more violations of the applicable law;
20.18 	(2) submitted false or misleading information to the state in connection with 
20.19 	activities for which the permit, license, registration, or certificate was issued, or in 
20.20 	connection with the application for the permit, license, registration, or certificate;
20.21 	(3) allowed the alteration or use of the person's own permit, license, registration, 
20.22 	or certificate by another person;
20.23 	(4) within the previous five years, was convicted of a crime in connection with 
20.24 	activities for which the permit, license, registration, or certificate was issued;
20.25 	(5) violated: (i) a final administrative order issued under subdivision 7 or, (ii) a final 
20.26 	stop order issued under subdivision 10, or (iii) injunctive relief issued under subdivision 9, 
20.27 	or (iv) a consent order or final order of the commissioner;
20.28 	(6) failed to cooperate with a commissioner's request to give testimony, to produce 
20.29 	documents, things, apparatus, devices, equipment, or materials, or to access property 
20.30 	under subdivision 2;
20.31 	(7) retaliated in any manner against any employee or person who is questioned by, 
20.32 	cooperates with, or provides information to the commissioner or an employee or agent 
20.33 	authorized by the commissioner who seeks access to property or things under subdivision 2;
20.34 	(8) engaged in any fraudulent, deceptive, or dishonest act or practice; or
21.1 	(9) performed work in connection with the permit, license, registration, or 
21.2 	certificate or conducted the person's affairs in a manner that demonstrates incompetence, 
21.3 	untrustworthiness, or financial irresponsibility.
21.4 	(c) If the commissioner revokes or denies a person's permit, license, registration, 
21.5 	or certificate under paragraph (b), the person is prohibited from reapplying for the same 
21.6 	type of permit, license, registration, or certificate for at least two years after the effective 
21.7 	date of the revocation or denial. The commissioner may, as a condition of reapplication, 
21.8 	require the person to obtain a bond or comply with additional reasonable conditions the 
21.9 	commissioner considers necessary to protect the public.
21.10 	(d) If a permit, license, registration, or certificate expires, or is surrendered, 
21.11 	withdrawn, or terminated, or otherwise becomes ineffective, the commissioner may 
21.12 	institute a proceeding under this subdivision within two years after the permit, license, 
21.13 	registration, or certificate was last effective and enter a revocation or suspension order as 
21.14 	of the last date on which the permit, license, registration, or certificate was in effect.

21.15 	Sec. 6. Minnesota Statutes 2012, section 326B.093, subdivision 4, is amended to read:
21.16 		Subd. 4.Examination results. If the applicant receives a passing score on the 
21.17 	examination and meets all other requirements for licensure, the commissioner must 
21.18 	approve the application and notify the applicant of the approval within 60 days of the 
21.19 	date of the passing score. The applicant must, within 90 180 days after the notification 
21.20 	of approval, pay the license fee. Upon receipt of the license fee, the commissioner must 
21.21 	issue the license. If the applicant does not pay the license fee within 90 180 days after 
21.22 	the notification of approval, the commissioner will rescind the approval and must deny 
21.23 	the application. If the applicant does not receive a passing score on the examination, 
21.24 	the commissioner must deny the application. If the application is denied because of the 
21.25 	applicant's failure to receive a passing score on the examination, then the applicant cannot 
21.26 	submit a new application for the license until at least 30 days after the notification of denial.

21.27 	Sec. 7. Minnesota Statutes 2012, section 326B.101, is amended to read:
21.28 	326B.101 POLICY AND PURPOSE.
21.29 	The State Building Code governs the construction, reconstruction, alteration, and
21.30 	 repair, and use of buildings and other structures to which the code is applicable. The 
21.31 	commissioner shall administer and amend a state code of building construction which will 
21.32 	provide basic and uniform performance standards, establish reasonable safeguards for 
21.33 	health, safety, welfare, comfort, and security of the residents of this state and provide for 
21.34 	the use of modern methods, devices, materials, and techniques which will in part tend to 
22.1 	lower construction costs. The construction of buildings should be permitted at the least 
22.2 	possible cost consistent with recognized standards of health and safety.

22.3 	Sec. 8. Minnesota Statutes 2012, section 326B.103, subdivision 11, is amended to read:
22.4 		Subd. 11.Public building. "Public building" means a building and its grounds the 
22.5 	cost of which is paid for by the state or a state agency regardless of its cost, and a school 
22.6 	district building project or charter school building project the cost of which is $100,000 
22.7 	or more.

22.8 	Sec. 9. Minnesota Statutes 2012, section 326B.121, subdivision 1, is amended to read:
22.9 		Subdivision 1.Application. (a) The State Building Code is the standard that applies 
22.10 	statewide for the construction, reconstruction, alteration, and repair, and use of buildings 
22.11 	and other structures of the type governed by the code.
22.12 	(b) The State Building Code supersedes the building code of any municipality.
22.13 	(c) The State Building Code does not apply to agricultural buildings except:
22.14 	(1) with respect to state inspections required or rulemaking authorized by sections 
22.15 	103F.141; 216C.19, subdivision 9; and 326B.36; and
22.16 	(2) translucent panels or other skylights without raised curbs shall be supported to 
22.17 	have equivalent load-bearing capacity as the surrounding roof.

22.18 	Sec. 10. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
22.19 	subdivision to read:
22.20 		Subd. 9.Direct supervision. "Direct supervision" means:
22.21 	(1) an unlicensed individual is being directly supervised by an individual licensed 
22.22 	to perform the elevator work being supervised during the entire time the unlicensed 
22.23 	individual is performing elevator work;
22.24 	(2) the licensed individual is physically present at the location where the unlicensed 
22.25 	individual is performing elevator work and immediately available to the unlicensed 
22.26 	individual at all times for assistance and direction;
22.27 	(3) the licensed individual shall review the elevator work performed by the 
22.28 	unlicensed individual before the elevator work is operated; and
22.29 	(4) the licensed individual is able to and does determine that all elevator work 
22.30 	performed by the unlicensed individual is performed in compliance with the elevator code.

22.31 	Sec. 11. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
22.32 	subdivision to read:
23.1 		Subd. 10.Elevator contractor. "Elevator contractor" means a licensed contractor 
23.2 	whose responsible licensed individual is a master elevator constructor. An elevator 
23.3 	contractor license does not itself qualify its holder to perform or supervise elevator work 
23.4 	authorized by holding a personal license issued by the commissioner.

23.5 	Sec. 12. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
23.6 	subdivision to read:
23.7 		Subd. 11.Limited elevator contractor.  "Limited elevator contractor" means a 
23.8 	licensed contractor whose responsible licensed individual is a limited master elevator 
23.9 	constructor. A limited elevator contractor or its employees may only install, test, or alter 
23.10 	residential elevators, platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited 
23.11 	use or limited application elevator equipment, conveyors, and special purpose personnel 
23.12 	elevators. 

23.13 	Sec. 13. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
23.14 	subdivision to read:
23.15 		Subd. 11a.Limited elevator work. "Limited elevator work" means the installing, 
23.16 	maintaining, altering, repairing, testing, planning, or laying out of residential elevators, 
23.17 	platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited use or limited 
23.18 	application elevator equipment, conveyors, and special purpose personnel elevators 
23.19 	as covered by Minnesota Rules, chapters 1307 and 1315. Limited elevator work also 
23.20 	includes electrical wiring on the load side of the elevator equipment disconnect and the 
23.21 	decommissioning of elevator equipment to enable safe removal.

23.22 	Sec. 14. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
23.23 	subdivision to read:
23.24 		Subd. 12.Elevator work. "Elevator work" means the installing, maintaining, 
23.25 	altering, repairing, testing, planning, or laying out of elevator apparatus or equipment as 
23.26 	covered by Minnesota Rules, chapters 1307 and 1315. Elevator work also includes the 
23.27 	disconnection of electrical wiring on the load side of the elevator equipment disconnect 
23.28 	and the decommissioning of elevator equipment to enable safe removal.

23.29 	Sec. 15. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
23.30 	subdivision to read:
23.31 		Subd. 13.Master elevator constructor. "Master elevator constructor" means 
23.32 	an individual having the necessary qualifications, training, experience, and technical 
24.1 	knowledge to properly plan, lay out, supervise, and perform the installation, maintenance, 
24.2 	altering, testing, wiring, and repair of apparatus and equipment for elevators, including 
24.3 	electrical wiring on the load side of the elevator equipment disconnect and who is licensed 
24.4 	as a master elevator constructor by the commissioner.

24.5 	Sec. 16. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
24.6 	subdivision to read:
24.7 		Subd. 14.Limited master elevator constructor. "Limited master elevator 
24.8 	constructor" means an individual having the necessary qualifications, training, experience, 
24.9 	and technical knowledge to properly plan, lay out, supervise, and perform the testing, 
24.10 	altering, installation, maintenance, and repair of wiring, apparatus, and equipment for 
24.11 	residential elevators, platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited 
24.12 	use or limited application elevator equipment, conveyors, and special purpose personnel 
24.13 	elevators, including wiring on the load side of the elevator equipment disconnect and who 
24.14 	is licensed as a limited master elevator constructor by the commissioner.

24.15 	Sec. 17. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
24.16 	subdivision to read:
24.17 		Subd. 14a.Limited journeyman elevator constructor. "Limited journeyman 
24.18 	elevator constructor" means an individual having the necessary qualifications, training, 
24.19 	experience, and technical knowledge to install, maintain, alter, test, and repair apparatus 
24.20 	and equipment for residential elevators, platform lifts, stairway chairlifts, dumbwaiters, 
24.21 	material lifts, limited use or limited application elevator equipment, conveyors, and 
24.22 	special purpose personnel elevators, including electrical wiring on the load side of the 
24.23 	elevator equipment disconnect and who is licensed as a limited journeyman elevator 
24.24 	constructor by the commissioner.

24.25 	Sec. 18. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
24.26 	subdivision to read:
24.27 		Subd. 15.Journeyman elevator constructor. "Journeyman elevator constructor" 
24.28 	means an individual having the necessary qualifications, training, experience, and 
24.29 	technical knowledge to install, maintain, alter, test, and repair apparatus and equipment for 
24.30 	elevators, including electrical wiring on the load side of the elevator equipment disconnect 
24.31 	and who is licensed as a journeyman elevator constructor by the commissioner.

25.1 	Sec. 19. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
25.2 	subdivision to read:
25.3 		Subd. 16.Registered unlicensed elevator constructor. "Registered unlicensed 
25.4 	elevator constructor" means an individual who has registered with the department but is 
25.5 	not licensed by the commissioner to perform elevator work.

25.6 	Sec. 20. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
25.7 	subdivision to read:
25.8 		Subd. 17.Residential dwelling. "Residential dwelling" is a single dwelling unit 
25.9 	that is contained in a one-family, two-family, or multifamily dwelling. A residential 
25.10 	dwelling also includes outdoor space at a one-family dwelling.

25.11 	Sec. 21. Minnesota Statutes 2012, section 326B.163, is amended by adding a 
25.12 	subdivision to read:
25.13 		Subd. 18.Responsible licensed individual. "Responsible licensed individual" 
25.14 	means an individual licensed as a master elevator constructor or limited master elevator 
25.15 	constructor who is identified as the responsible licensed individual on an elevator 
25.16 	contractor license application.

25.17 	Sec. 22. [326B.164] LICENSES.
25.18 		Subdivision 1.Master elevator constructor. (a) Except as otherwise provided by 
25.19 	law, no individual shall perform or supervise elevator work, unless:
25.20 	(1) the individual is licensed by the commissioner as a master elevator constructor; 
25.21 	and
25.22 	(2) the elevator work is for a licensed elevator contractor and the individual is an 
25.23 	employee, partner, or officer of, or is the licensed contractor.
25.24 	(b) An applicant for a master elevator constructor license shall:
25.25 	(1) have at least one year of experience, acceptable to the commissioner, as a 
25.26 	licensed journeyman elevator constructor; or
25.27 	(2) have at least six years' experience, acceptable to the commissioner, in planning 
25.28 	for, laying out, supervising, and installing apparatus, equipment, and wiring for elevators.
25.29 	(c) Individuals licensed as master elevator constructors under section 326B.33, 
25.30 	subdivision 11, as of December 31, 2013, shall not be required to pass an examination 
25.31 	under this section but, effective January 1, 2014, shall be subject to the requirements of 
25.32 	sections 326B.163 to 326B.191.
26.1 	(d) Except for the initial license term, as a condition of license renewal, master 
26.2 	elevator constructors must attain a minimum of 16 hours of continuing education credit 
26.3 	approved by the commissioner every renewal period. Not less than 12 hours shall be based 
26.4 	on the Minnesota Elevator Code or elevator technology, and not less than four hours shall 
26.5 	be based on the National Electrical Code.
26.6 		Subd. 2.Limited master elevator constructor. (a) Except as otherwise provided 
26.7 	by law, no individual shall perform or supervise elevator work on residential elevators, 
26.8 	platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited use or limited 
26.9 	application elevator equipment, conveyors, and special purpose personnel elevators, unless:
26.10 	(1) the individual is licensed by the commissioner as a limited master elevator 
26.11 	constructor; and
26.12 	(2) the elevator work is for a limited elevator contractor and the individual is an 
26.13 	employee, partner, or officer of, or is the licensed contractor.
26.14 	(b) An applicant for a limited master elevator constructor license shall have at 
26.15 	least three years of experience, acceptable to the commissioner, in installing apparatus, 
26.16 	equipment, and wiring for elevators.
26.17 	(c) Except for the initial license term, as a condition of license renewal, limited 
26.18 	master elevator constructors must attain a minimum of eight hours of continuing education 
26.19 	credit approved by the commissioner every renewal period. Not less than six hours shall 
26.20 	be based on the Minnesota Elevator Code or elevator technology, and not less than two 
26.21 	hours on the National Electrical Code.
26.22 		Subd. 3.Journeyman elevator constructor. (a) Except as otherwise provided 
26.23 	by law, no individual shall perform and supervise elevator work except for planning or 
26.24 	laying out of elevator work, unless:
26.25 	(1) the individual is licensed by the commissioner as a journeyman elevator 
26.26 	constructor; and
26.27 	(2) the elevator work is for an elevator contractor, and the individual is an employee, 
26.28 	partner, or officer of the licensed elevator contractor.
26.29 	(b) An applicant for a journeyman elevator constructor license shall have completed 
26.30 	a four-year elevator mechanics apprenticeship registered with the United States 
26.31 	Department of Labor or worked at least 9,000 hours in five consecutive years for a 
26.32 	licensed elevator contractor, acceptable to the commissioner, installing, maintaining, 
26.33 	modernizing, testing, wiring, and repairing elevators.
26.34 	(c) Individuals licensed as journeyman elevator constructors under section 326B.33, 
26.35 	subdivision 8, as of December 31, 2013, shall not be required to pass an examination 
27.1 	under this section but, effective January 1, 2014, shall be subject to the requirements of 
27.2 	sections 326B.163 to 326B.191.
27.3 	(d) As a condition of license renewal, journeyman elevator constructors must attain 
27.4 	a minimum of 16 hours of continuing education credit approved by the commissioner 
27.5 	every renewal period. Not less than 12 hours shall be based on the Minnesota Elevator 
27.6 	Code or elevator technology, and not less than four hours shall be based on the National 
27.7 	Electrical Code.
27.8 		Subd. 3a.Limited journeyman elevator constructor. (a) Except as otherwise 
27.9 	provided by law, no individual shall perform or supervise elevator work on residential 
27.10 	elevators, platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited use 
27.11 	or limited application elevator equipment, conveyors, and special purpose personnel 
27.12 	elevators, except for planning or laying out of elevator work, unless:
27.13 	(1) the individual is licensed by the commissioner as a limited journeyman  elevator 
27.14 	constructor; and
27.15 	(2) the elevator work is for a limited elevator contractor or an elevator contractor, 
27.16 	and the individual is an employee, partner, or officer of the licensed limited elevator 
27.17 	contractor or licensed elevator contractor.
27.18 	(b) An applicant for a limited journeyman elevator constructor license shall have 
27.19 	at least two years of experience, acceptable to the commissioner, in installing apparatus, 
27.20 	equipment, and wiring for elevators.
27.21 	(c) Except for the initial license term, as a condition of license renewal, limited 
27.22 	journeyman elevator constructors must attain a minimum of eight hours of continuing 
27.23 	education credit approved by the commissioner every renewal period.  Not less than six 
27.24 	hours shall be based on the Minnesota Elevator Code or elevator technology, and not less 
27.25 	than two hours on the National Electrical Code.
27.26 		Subd. 4.Registered unlicensed elevator constructor. (a) An unlicensed individual 
27.27 	shall not perform elevator work, unless the individual has first registered with the 
27.28 	department as an unlicensed elevator constructor. Except as allowed by subdivision 12, a 
27.29 	registered unlicensed elevator constructor shall not perform elevator work unless the work 
27.30 	is performed under the direct supervision of an individual actually licensed to perform 
27.31 	such work. The licensed elevator constructor and the registered unlicensed elevator 
27.32 	constructor must be employed by the same employer. Unlicensed individuals shall not 
27.33 	supervise the performance of elevator work or make assignments of elevator work to 
27.34 	unlicensed individuals. Licensed elevator constructors shall provide direct supervision for 
27.35 	no more than two registered unlicensed elevator constructors.
28.1 	(b) Notwithstanding any other provision of this section, no individual other than a 
28.2 	master elevator constructor or limited master elevator constructor shall plan or lay out 
28.3 	elevator wiring, apparatus, or equipment.
28.4 	(c) Contractors employing registered unlicensed elevator constructors performing 
28.5 	elevator work shall maintain records establishing compliance with this subdivision that 
28.6 	shall identify all unlicensed individuals performing elevator work and shall permit the 
28.7 	department to examine and copy all such records.
28.8 	(d) When a licensed elevator constructor supervises the elevator work of an 
28.9 	unlicensed individual, the licensed elevator constructor is responsible for ensuring that the 
28.10 	elevator work complies with this section and the Minnesota Elevator Code.
28.11 	(e) A registered unlicensed elevator constructor with a minimum of one year 
28.12 	experience may perform the following maintenance tasks for elevator equipment without 
28.13 	being provided with direct supervision: oiling, cleaning, greasing, painting, relamping, 
28.14 	and replacing of escalator and moving walk comb teeth.
28.15 		Subd. 5.Registration of unlicensed individuals. (a) Unlicensed individuals 
28.16 	performing elevator work for a contractor shall register with the department in the manner 
28.17 	prescribed by the commissioner. Experience credit for elevator work performed in 
28.18 	Minnesota after January 1, 2009, by an applicant for a license identified in this section 
28.19 	shall not be granted where the applicant has not registered with the department or is 
28.20 	not licensed by the department.
28.21 	(b) As a condition of renewal of registration, unlicensed individuals shall attain a 
28.22 	minimum of two hours of continuing education credit, approved by the commissioner, 
28.23 	every renewal period. The continuing education course shall be based on the Minnesota 
28.24 	Elevator Code or elevator technology.
28.25 	(c) Individuals registered under section 326B.33, subdivision 13, whose registration 
28.26 	expires after July 31, 2013, shall be subject to the registration requirements of this 
28.27 	subdivision and the requirements of sections 326B.163 to 326B.191.
28.28 		Subd. 6.Contractor's license required. (a) No individual, other than an employee, 
28.29 	partner, or officer of a licensed contractor, as defined by section 326B.163, subdivision 
28.30 	10, shall perform or offer to perform elevator work with or without compensation, unless 
28.31 	the individual obtains a contractor's license. A contractor's license does not of itself 
28.32 	qualify its holder to perform or supervise the elevator work authorized by holding any 
28.33 	class of personal license.
28.34 	(b) Companies licensed under section 326B.33, subdivision 14, as of July 31, 2013, 
28.35 	shall not be required to comply with this subdivision.
29.1 		Subd. 7.Bond required. As a condition of licensing, each contractor shall give 
29.2 	and maintain bond to the state in the sum of $25,000, conditioned upon the faithful and 
29.3 	lawful performance of all work contracted for or performed by the contractor within the 
29.4 	state of Minnesota, and such bond shall be for the benefit of persons injured or suffering 
29.5 	financial loss by reason of failure of such performance. The bond shall be filed with 
29.6 	the commissioner and shall be in lieu of all other license bonds to any other political 
29.7 	subdivision. The bond shall be written by a corporate surety licensed to do business 
29.8 	in the state of Minnesota.
29.9 		Subd. 8.Insurance required. Each elevator contractor shall have and maintain 
29.10 	in effect general liability insurance, which includes premises and operations insurance 
29.11 	and products and completed operations insurance, with limits of at least $100,000 per 
29.12 	occurrence, $300,000 aggregate limit for bodily injury, and property damage insurance 
29.13 	with limits of at least $50,000, or a policy with a single limit for bodily injury and property 
29.14 	damage of $300,000 per occurrence and $300,000 aggregate limits. The insurance shall be 
29.15 	written by an insurer licensed to do business in the state of Minnesota, and each contractor 
29.16 	shall maintain on file with the commissioner a certificate evidencing such insurance. In the 
29.17 	event of a policy cancellation, the insurer shall send written notice to the commissioner at 
29.18 	the same time that a cancellation request is received from or a notice is sent to the insured.
29.19 		Subd. 9.Employment of responsible individual. (a) Each elevator contractor 
29.20 	must designate a responsible master elevator constructor or limited master elevator 
29.21 	constructor who shall be the responsible individual for the performance of all elevator 
29.22 	work in accordance with the requirements of sections 326B.163 to 326B.191, all rules 
29.23 	adopted under these sections, and all orders issued under section 326B.082. The classes of 
29.24 	work that a licensed contractor is authorized to perform shall be limited to the classes of 
29.25 	work that the responsible individual is allowed to perform.
29.26 	(b) When a contractor's license is held by an individual, sole proprietorship, 
29.27 	partnership, limited liability company, or corporation, and the individual, proprietor, one 
29.28 	of the partners, one of the members, or an officer of the corporation, respectively, is not the 
29.29 	responsible master elevator constructor or limited master elevator constructor, all elevator 
29.30 	permits shall be submitted by the responsible master elevator constructor or limited 
29.31 	master elevator constructor. If the contractor is an individual or a sole proprietorship, 
29.32 	the responsible master or limited master elevator constructor must be the individual, 
29.33 	proprietor, or managing employee. If the contractor is a partnership, the responsible 
29.34 	master or limited master elevator constructor must be a general partner or managing 
29.35 	employee. If the licensed contractor is a limited liability company, the responsible master 
29.36 	or limited master elevator constructor must be a chief manager or managing employee. 
30.1 	If the contractor is a corporation, the responsible master or limited master elevator 
30.2 	constructor must be an officer or managing employee. If the responsible master or limited 
30.3 	master elevator constructor is a managing employee, the responsible individual must be 
30.4 	actively engaged in performing elevator work on behalf of the contractor and cannot be 
30.5 	employed in any capacity performing elevator work for any other elevator contractor or 
30.6 	employer. An individual may be the responsible individual for only one contractor.
30.7 	(c) All applications and renewals for contractor licenses shall include a verified 
30.8 	statement that the applicant and responsible individual are in compliance with this 
30.9 	subdivision.
30.10 		Subd. 10.Examination. In addition to the other requirements described in this 
30.11 	section and sections 326B.091 to 326B.098, as a precondition to issuance of a personal 
30.12 	license, each applicant must pass a written or oral examination developed and administered 
30.13 	by the commissioner to ensure the competence of each applicant for license. An oral 
30.14 	examination shall be administered only to an applicant who furnishes a written statement 
30.15 	from a certified teacher or other professional, trained in the area of reading disabilities, 
30.16 	stating that the applicant has a specific reading disability that would prevent the applicant 
30.17 	from performing satisfactorily on a written test. The oral examination shall be structured 
30.18 	so that an applicant who passes the examination will not impair the applicant's own safety 
30.19 	or that of others while acting as a licensed individual.
30.20 		Subd. 11.License, registration, and renewal fees; expiration. (a) Unless revoked 
30.21 	or suspended under this chapter, all licenses issued or renewed under this section expire on 
30.22 	the following schedule:
30.23 	(1) master licenses expire March 1 of each odd-numbered year after issuance or 
30.24 	renewal;
30.25 	(2) elevator contractor licenses expire March 1 of each even-numbered year after 
30.26 	issuance or renewal;
30.27 	(3) journeyman elevator constructor licenses expire two years from the date of 
30.28 	original issuance and every two years thereafter; and
30.29 	(4) registrations of unlicensed individuals expire one year from the date of original 
30.30 	issuance and every year thereafter.
30.31 	(b) For purposes of calculating license fees and renewal license fees required under 
30.32 	section 326B.092:
30.33 	(1) the registration of an unlicensed individual under subdivision 5 shall be 
30.34 	considered an entry-level license;
30.35 	(2) the journeyman elevator constructor shall be considered a journeyman license;
31.1 	(3) the master elevator constructor and limited master elevator constructor licenses 
31.2 	shall be considered master licenses; and
31.3 	(4) an elevator contractor license shall be considered a business license.
31.4 		Subd. 12.Exemption from licensing. Employees of a licensed elevator contractor 
31.5 	or licensed limited elevator contractor are not required to hold or obtain a license 
31.6 	under this section or be provided with direct supervision by a licensed master elevator 
31.7 	constructor, licensed limited master elevator constructor, licensed elevator constructor, 
31.8 	or licensed limited elevator constructor to install, maintain, or repair platform lifts and 
31.9 	stairway chairlifts. Unlicensed employees performing elevator work under this exemption 
31.10 	must comply with subdivision 5. This exemption does not include the installation, 
31.11 	maintenance, repair, or replacement of electrical wiring for elevator equipment.
31.12 		Subd. 13.Reciprocity. (a) The commissioner may enter into reciprocity agreements 
31.13 	for personal licenses with another state and issue a personal license without requiring the 
31.14 	applicant to pass an examination provided the applicant:
31.15 	(1) submits an application under this section;
31.16 	(2) pays the application and examination fee and license fee required under section 
31.17 	326B.092; and
31.18 	(3) holds a valid comparable license in the state participating in the agreement.
31.19 	(b) Reciprocity agreements are subject to the following:
31.20 	(1) the parties to the agreement must administer a statewide licensing program that 
31.21 	includes examination and qualifying experience or training comparable to Minnesota's;
31.22 	(2) the experience and training requirements under which an individual applicant 
31.23 	qualified for examination in the qualifying state must be deemed equal to or greater than 
31.24 	required for an applicant making application in Minnesota at the time the applicant 
31.25 	acquired the license in the qualifying state;
31.26 	(3) the applicant must have acquired the license in the qualifying state through an 
31.27 	examination deemed equivalent to the same class of license examination in Minnesota. 
31.28 	A lesser class of license may be granted where the applicant has acquired a greater 
31.29 	class of license in the qualifying state, and the applicant otherwise meets the conditions 
31.30 	of this subdivision;
31.31 	(4) at the time of application, the applicant must hold a valid license in the qualifying 
31.32 	state and have held the license continuously for at least one year before making application 
31.33 	in Minnesota;
31.34 	(5) an applicant is not eligible for a license under this subdivision if the applicant has 
31.35 	failed the same or greater class of license examination in Minnesota, or if the applicant's 
31.36 	license of the same or greater class has been revoked or suspended; and
32.1 	(6) an applicant who has failed to renew a personal license for two years or more 
32.2 	after its expiration is not eligible for a license under this subdivision.

32.3 	Sec. 23. Minnesota Statutes 2012, section 326B.184, subdivision 1, is amended to read:
32.4 		Subdivision 1.Permits. No person may construct, install, alter, repair, or remove 
32.5 	an elevator without first filing an application for a permit with the department or a 
32.6 	municipality authorized by subdivision 4 to inspect elevators. A permit issued by the 
32.7 	department is valid for work commenced within 12 months of application and completed 
32.8 	within two years of application. Where no work is commenced within 12 months of 
32.9 	application, an applicant may cancel the permit and request a refund of inspection fees.

32.10 	Sec. 24. Minnesota Statutes 2012, section 326B.184, is amended by adding a 
32.11 	subdivision to read:
32.12 		Subd. 1a.Department permit and inspection fees. (a) The department permit and 
32.13 	inspection fees to construct, install, alter, repair, or remove an elevator are as follows:
32.14 	(1) the permit fee is $100;
32.15 	(2) the inspection fee is 0.015 of the total cost of the permitted work for labor and 
32.16 	materials, including related electrical and mechanical equipment. The inspection fee 
32.17 	covers two inspections. The inspection fee for additional inspections is $80 per hour;
32.18 	(3) when inspections scheduled by the permit submitter are not able to be completed 
32.19 	because the work is not complete, a fee equal to two hours at the hourly rate of $80 must 
32.20 	be paid by the permit submitter; and
32.21 	(4) when the owner or permit holder requests inspections be performed outside of 
32.22 	normal work hours or on weekends or holidays, an hourly rate of $120 in addition to 
32.23 	the inspection fee must be paid.
32.24 	(b) The department fees for inspection of existing elevators when requested by the 
32.25 	elevator owner or as a result of an accident resulting in personal injury are at an hourly rate 
32.26 	of $80 during normal work hours or $120 outside of normal work hours or on weekends or 
32.27 	holidays, with a one-hour minimum.

32.28 	EFFECTIVE DATE. This section is effective January 1, 2014.

32.29 	Sec. 25. Minnesota Statutes 2012, section 326B.184, subdivision 2, is amended to read:
32.30 		Subd. 2. Operating permits and fees; periodic inspections. (a) No person may 
32.31 	operate an elevator without first obtaining an annual operating permit from the department 
32.32 	or a municipality authorized by subdivision 4 to issue annual operating permits. A $100 
32.33 	annual operating permit fee must be paid to the department for each annual operating 
33.1 	permit issued by the department, except that the original annual operating permit must 
33.2 	be included in the permit fee for the initial installation of the elevator. Annual operating 
33.3 	permits must be issued at 12-month intervals from the date of the initial annual operating 
33.4 	permit. For each subsequent year, an owner must be granted an annual operating permit 
33.5 	for the elevator upon the owner's or owner's agent's submission of a form prescribed by 
33.6 	the commissioner and payment of the $100 fee. Each form must include the location of 
33.7 	the elevator, the results of any periodic test required by the code, and any other criteria 
33.8 	established by rule. An annual operating permit may be revoked by the commissioner upon 
33.9 	an audit of the periodic testing results submitted with the application or a failure to comply 
33.10 	with elevator code requirements, inspections, or any other law related to elevators. Except 
33.11 	for an initial operating permit fee, hand-powered manlifts and electric endless belt manlifts,
33.12 	and vertical reciprocating conveyors are not subject to a subsequent operating permit fee.
33.13 	(b) All elevators are subject to periodic inspections by the department or a 
33.14 	municipality authorized by subdivision 4 to perform periodic inspections, except that 
33.15 	hand-powered manlifts and electric endless belt manlifts are exempt from periodic 
33.16 	inspections. Periodic inspections by the department shall be performed at the following 
33.17 	intervals:
33.18 	(1) a special purpose personnel elevator is subject to inspection not more than once 
33.19 	every five years;
33.20 	(2) an elevator located within a house of worship that does not have attached school 
33.21 	facilities is subject to inspection not more than once every three years; and
33.22 	(3) all other elevators are subject to inspection not more than once each year.

33.23 	Sec. 26. Minnesota Statutes 2012, section 326B.187, is amended to read:
33.24 	326B.187 RULES.
33.25 	The commissioner may adopt rules for the following purposes:
33.26 	(1) to establish minimum qualifications for elevator inspectors that must include 
33.27 	possession of a current elevator constructor electrician's license issued by the department 
33.28 	and proof of successful completion of the national elevator industry education program 
33.29 	examination or equivalent experience;
33.30 	(2) to establish minimum qualifications for limited elevator inspectors;
33.31 	(3) to establish criteria for the qualifications of elevator contractors;
33.32 	(4) to establish elevator standards under sections 326B.106, subdivisions 1 and 3, 
33.33 	and 326B.13;
33.34 	(5) to establish procedures for appeals of decisions of the commissioner under 
33.35 	chapter 14 and procedures allowing the commissioner, before issuing a decision, to seek 
34.1 	advice from the elevator trade, building owners or managers, and others knowledgeable in 
34.2 	the installation, construction, and repair of elevators; and
34.3 	(6) to establish requirements for the registration of all elevators.

34.4 	Sec. 27. Minnesota Statutes 2012, section 326B.31, is amended by adding a 
34.5 	subdivision to read:
34.6 		Subd. 26a.Request for inspection. "Request for inspection" means the application 
34.7 	for and issuance of a permit for an electrical installation that is required to be inspected 
34.8 	under section 326B.36.

34.9 	Sec. 28. Minnesota Statutes 2012, section 326B.33, subdivision 19, is amended to read:
34.10 		Subd. 19.License, registration, and renewal fees; expiration.  (a) Unless 
34.11 	revoked or suspended under this chapter, all licenses issued or renewed under this section 
34.12 	expire on the date specified in this subdivision. Master licenses expire March 1 of each 
34.13 	odd-numbered year after issuance or renewal. Electrical contractor licenses expire March 
34.14 	1 of each even-numbered year after issuance or renewal. Technology system contractor 
34.15 	and satellite system contractor licenses expire August 1 of each even-numbered year after 
34.16 	issuance or renewal. All other personal licenses expire two years from the date of original 
34.17 	issuance and every two years thereafter. Registrations of unlicensed individuals expire 
34.18 	one year from the date of original issuance and every year thereafter.
34.19 	(b) For purposes of calculating license fees and renewal license fees required under 
34.20 	section 326B.092:
34.21 	(1) the registration of an unlicensed individual under subdivision 12 shall be 
34.22 	considered an entry level license;
34.23 	(2) the following licenses shall be considered journeyman licenses: Class A 
34.24 	journeyman electrician, Class B journeyman electrician, Class A installer, Class B 
34.25 	installer, elevator constructor, lineman, maintenance electrician, satellite system installer, 
34.26 	and power limited technician;
34.27 	(3) the following licenses shall be considered master licenses: Class A master 
34.28 	electrician, and Class B master electrician, and master elevator constructor; and
34.29 	(4) the following licenses shall be considered business licenses: Class A electrical 
34.30 	contractor, Class B electrical contractor, elevator contractor, satellite system contractor, 
34.31 	and technology systems contractor.
34.32 	(c) For each filing of a certificate of responsible person by an employer, the fee is 
34.33 	$100.

35.1 	Sec. 29. Minnesota Statutes 2012, section 326B.33, subdivision 21, is amended to read:
35.2 		Subd. 21.Exemptions from licensing. (a) An individual who is a maintenance 
35.3 	electrician is not required to hold or obtain a license under sections 326B.31 to 326B.399 if:
35.4 	(1) the individual is engaged in the maintenance and repair of electrical equipment, 
35.5 	apparatus, and facilities that are owned or leased by the individual's employer and that are 
35.6 	located within the limits of property operated, maintained, and either owned or leased by 
35.7 	the individual's employer;
35.8 	(2) the individual is supervised by:
35.9 	(i) the responsible master electrician for a contractor who has contracted with the 
35.10 	individual's employer to provide services for which a contractor's license is required; or
35.11 	(ii) a licensed master electrician, a licensed maintenance electrician, an electrical 
35.12 	engineer, or, if the maintenance and repair work is limited to technology circuits or 
35.13 	systems work, a licensed power limited technician; and
35.14 	(3) the individual's employer has on file with the commissioner a current certificate 
35.15 	of responsible person, signed by the responsible master electrician of the contractor, the 
35.16 	licensed master electrician, the licensed maintenance electrician, the electrical engineer, or 
35.17 	the licensed power limited technician, and stating that the person signing the certificate 
35.18 	is responsible for ensuring that the maintenance and repair work performed by the 
35.19 	employer's employees complies with the Minnesota Electrical Act and the rules adopted 
35.20 	under that act. The employer must pay a filing fee to file a certificate of responsible person 
35.21 	with the commissioner. The certificate shall expire two years from the date of filing. In 
35.22 	order to maintain a current certificate of responsible person, the employer must resubmit a 
35.23 	certificate of responsible person, with a filing fee, no later than two years from the date 
35.24 	of the previous submittal.
35.25 	(b) Employees of a licensed electrical or technology systems contractor or other 
35.26 	employer where provided with supervision by a master electrician in accordance with 
35.27 	subdivision 1, or power limited technician in accordance with subdivision 7, paragraph 
35.28 	(a), clause (1), are not required to hold a license under sections 326B.31 to 326B.399 
35.29 	for the planning, laying out, installing, altering, and repairing of technology circuits or 
35.30 	systems except planning, laying out, or installing:
35.31 	(1) in other than residential dwellings, class 2 or class 3 remote control circuits that 
35.32 	control circuits or systems other than class 2 or class 3, except circuits that interconnect 
35.33 	these systems through communication, alarm, and security systems are exempted from 
35.34 	this paragraph;
35.35 	(2) class 2 or class 3 circuits in electrical cabinets, enclosures, or devices containing 
35.36 	physically unprotected circuits other than class 2 or class 3; or
36.1 	(3) technology circuits or systems in hazardous classified locations as covered by 
36.2 	chapter 5 of the National Electrical Code.
36.3 	(c) Companies and their employees that plan, lay out, install, alter, or repair class 
36.4 	2 and class 3 remote control wiring associated with plug or cord and plug connected 
36.5 	appliances other than security or fire alarm systems installed in a residential dwelling are 
36.6 	not required to hold a license under sections 326B.31 to 326B.399.
36.7 	(d) Heating, ventilating, air conditioning, and refrigeration contractors and their 
36.8 	employees are not required to hold or obtain a license under sections 326B.31 to 326B.399 
36.9 	when performing heating, ventilating, air conditioning, or refrigeration work as described 
36.10 	in section 326B.38.
36.11 	(e) Employees of any electrical, communications, or railway utility, cable 
36.12 	communications company as defined in section 238.02, or a telephone company as defined 
36.13 	under section 237.01 or its employees, or of any independent contractor performing work 
36.14 	on behalf of any such utility, cable communications company, or telephone company, shall 
36.15 	not be required to hold a license under sections 326B.31 to 326B.399:
36.16 	(1) while performing work on installations, materials, or equipment which are owned 
36.17 	or leased, and operated and maintained by such utility, cable communications company, or 
36.18 	telephone company in the exercise of its utility, antenna, or telephone function, and which
36.19 	(i) are used exclusively for the generation, transformation, distribution, transmission, 
36.20 	or metering of electric current, or the operation of railway signals, or the transmission 
36.21 	of intelligence and do not have as a principal function the consumption or use of electric 
36.22 	current or provided service by or for the benefit of any person other than such utility, cable 
36.23 	communications company, or telephone company, and
36.24 	(ii) are generally accessible only to employees of such utility, cable communications 
36.25 	company, or telephone company or persons acting under its control or direction, and
36.26 	(iii) are not on the load side of the service point or point of entrance for 
36.27 	communication systems;
36.28 	(2) while performing work on installations, materials, or equipment which are a part 
36.29 	of the street lighting operations of such utility; or
36.30 	(3) while installing or performing work on outdoor area lights which are directly 
36.31 	connected to a utility's distribution system and located upon the utility's distribution poles, 
36.32 	and which are generally accessible only to employees of such utility or persons acting 
36.33 	under its control or direction.
36.34 	(f) An owner shall not be required to hold or obtain a license under sections 326B.31 
36.35 	to 326B.399.
37.1 	(g) Companies and their employees licensed under section 326B.164 shall not be 
37.2 	required to hold or obtain a license under sections 326B.31 to 326B.399.

37.3 	Sec. 30. Minnesota Statutes 2012, section 326B.36, subdivision 7, is amended to read:
37.4 		Subd. 7.Exemptions from inspections. Installations, materials, or equipment shall 
37.5 	not be subject to inspection under sections 326B.31 to 326B.399:
37.6 	(1) when owned or leased, operated and maintained by any employer whose 
37.7 	maintenance electricians are exempt from licensing under sections 326B.31 to 326B.399, 
37.8 	while performing electrical maintenance work only as defined by rule;
37.9 	(2) when owned or leased, and operated and maintained by any electrical, 
37.10 	communications, or railway utility, cable communications company as defined in section 
37.11 	238.02, or telephone company as defined under section 237.01, in the exercise of its 
37.12 	utility, antenna, or telephone function; and
37.13 	(i) are used exclusively for the generations, transformation, distribution, 
37.14 	transmission, or metering of electric current, or the operation of railway signals, or the 
37.15 	transmission of intelligence, and do not have as a principal function the consumption or 
37.16 	use of electric current by or for the benefit of any person other than such utility, cable 
37.17 	communications company, or telephone company; and
37.18 	(ii) are generally accessible only to employees of such utility, cable communications 
37.19 	company, or telephone company or persons acting under its control or direction; and
37.20 	(iii) are not on the load side of the service point or point of entrance for 
37.21 	communication systems;
37.22 	(3) when used in the street lighting operations of an electrical utility;
37.23 	(4) when used as outdoor area lights which are owned and operated by an electrical 
37.24 	utility and which are connected directly to its distribution system and located upon the 
37.25 	utility's distribution poles, and which are generally accessible only to employees of such 
37.26 	utility or persons acting under its control or direction;
37.27 	(5) when the installation, material, and equipment are in facilities subject to the 
37.28 	jurisdiction of the federal Mine Safety and Health Act; or
37.29 	(6) when the installation, material, and equipment is part of an elevator installation 
37.30 	for which the elevator contractor, licensed under section 326B.33 326B.164, is required to 
37.31 	obtain a permit from the authority having jurisdiction as provided by section 326B.184, 
37.32 	and the inspection has been or will be performed by an elevator inspector certified and 
37.33 	licensed by the department. This exemption shall apply only to installations, material, and 
37.34 	equipment permitted or required to be connected on the load side of the disconnecting 
37.35 	means required for elevator equipment under National Electrical Code Article 620, and 
38.1 	elevator communications and alarm systems within the machine room, car, hoistway, or 
38.2 	elevator lobby.

38.3 	Sec. 31. Minnesota Statutes 2012, section 326B.37, is amended by adding a 
38.4 	subdivision to read:
38.5 		Subd. 15.Utility interconnected wind generation installations. (a) Fees 
38.6 	associated with utility interconnected generation installations consisting of one or more 
38.7 	generator sources interconnected with a utility power system and not supplying other 
38.8 	premises loads are calculated according to paragraph (b) or (c).
38.9 	(b) The inspection fee is calculated according to subdivisions 2, 3, 4, and 6, 
38.10 	paragraphs (d), (f), (j), and (k). A fee must be included for the generators and utility 
38.11 	interconnect feeders, but not for a utility service.
38.12 	(c) There is a plan review fee and an inspection fee for the entire electrical 
38.13 	installation. The plan review fee is based on the valuation of the electrical installation 
38.14 	related to one of the generator systems that is part of the overall installation, not to include 
38.15 	the supporting tower or other nonelectrical equipment or structures, calculated according 
38.16 	to section 326B.153, subdivision 2. The inspection fee is $80 for each individual tower, 
38.17 	including any voltage matching transformers located at the tower, and the fee for the 
38.18 	feeders interconnecting the individual towers to the utility power system is calculated 
38.19 	according to subdivisions 4 and 6, paragraph (k).

38.20 	Sec. 32. Minnesota Statutes 2012, section 326B.43, subdivision 2, is amended to read:
38.21 		Subd. 2.Agreement with municipality. The commissioner may enter into an 
38.22 	agreement with a municipality, in which the municipality agrees to perform plan and 
38.23 	specification reviews required to be performed by the commissioner under Minnesota 
38.24 	Rules, part 4715.3130, if:
38.25 	(a) the municipality has adopted:
38.26 	(1) the plumbing code;
38.27 	(2) an ordinance that requires plumbing plans and specifications to be submitted to, 
38.28 	reviewed, and approved by the municipality, except as provided in paragraph (n);
38.29 	(3) an ordinance that authorizes the municipality to perform inspections required by 
38.30 	the plumbing code; and
38.31 	(4) an ordinance that authorizes the municipality to enforce the plumbing code in its 
38.32 	entirety, except as provided in paragraph (p);
39.1 	(b) the municipality agrees to review plumbing plans and specifications for all 
39.2 	construction for which the plumbing code requires the review of plumbing plans and 
39.3 	specifications, except as provided in paragraph (n);
39.4 	(c) the municipality agrees that, when it reviews plumbing plans and specifications 
39.5 	under paragraph (b), the review will:
39.6 	(1) reflect the degree to which the plans and specifications affect the public health 
39.7 	and conform to the provisions of the plumbing code;
39.8 	(2) ensure that there is no physical connection between water supply systems that 
39.9 	are safe for domestic use and those that are unsafe for domestic use; and
39.10 	(3) ensure that there is no apparatus through which unsafe water may be discharged 
39.11 	or drawn into a safe water supply system;
39.12 	(d) the municipality agrees to perform all inspections required by the plumbing 
39.13 	code in connection with projects for which the municipality reviews plumbing plans and 
39.14 	specifications under paragraph (b);
39.15 	(e) the commissioner determines that the individuals who will conduct the inspections 
39.16 	and the plumbing plan and specification reviews for the municipality do not have any 
39.17 	conflict of interest in conducting the inspections and the plan and specification reviews;
39.18 	(f) individuals who will conduct the plumbing plan and specification reviews for 
39.19 	the municipality are:
39.20 	(1) licensed master plumbers;
39.21 	(2) licensed professional engineers; or
39.22 	(3) individuals who are working under the supervision of a licensed professional 
39.23 	engineer or licensed master plumber and who are licensed master or journeyman plumbers 
39.24 	or hold a postsecondary degree in engineering;
39.25 	(g) individuals who will conduct the plumbing plan and specification reviews for 
39.26 	the municipality have passed a competency assessment required by the commissioner to 
39.27 	assess the individual's competency at reviewing plumbing plans and specifications;
39.28 	(h) individuals who will conduct the plumbing inspections for the municipality 
39.29 	are licensed master or journeyman plumbers, or inspectors meeting the competency 
39.30 	requirements established in rules adopted under section 326B.135;
39.31 	(i) the municipality agrees to enforce in its entirety the plumbing code on all 
39.32 	projects, except as provided in paragraph (p);
39.33 	(j) the municipality agrees to keep official records of all documents received, 
39.34 	including plans, specifications, surveys, and plot plans, and of all plan reviews, permits 
39.35 	and certificates issued, reports of inspections, and notices issued in connection with 
39.36 	plumbing inspections and the review of plumbing plans and specifications;
40.1 	(k) the municipality agrees to maintain the records described in paragraph (j) in the 
40.2 	official records of the municipality for the period required for the retention of public 
40.3 	records under section 138.17, and shall make these records readily available for review at 
40.4 	the request of the commissioner;
40.5 	(l) the municipality and the commissioner agree that if at any time during the 
40.6 	agreement the municipality does not have in effect the plumbing code or any of ordinances 
40.7 	described in paragraph (a), or if the commissioner determines that the municipality is not 
40.8 	properly administering and enforcing the plumbing code or is otherwise not complying 
40.9 	with the agreement:
40.10 	(1) the commissioner may, effective 14 days after the municipality's receipt of 
40.11 	written notice, terminate the agreement;
40.12 	(2) the municipality may challenge the termination in a contested case before the 
40.13 	commissioner pursuant to the Administrative Procedure Act; and
40.14 	(3) while any challenge is pending under clause (2), the commissioner shall perform 
40.15 	plan and specification reviews within the municipality under Minnesota Rules, part 
40.16 	4715.3130;
40.17 	(m) the municipality and the commissioner agree that the municipality may terminate 
40.18 	the agreement with or without cause on 90 days' written notice to the commissioner;
40.19 	(n) the municipality and the commissioner agree that the municipality shall forward 
40.20 	to the state for review all plumbing plans and specifications for the following types of 
40.21 	projects within the municipality:
40.22 	(1) hospitals, nursing homes, supervised living facilities licensed for eight or 
40.23 	more individuals, and similar health-care-related facilities regulated by the Minnesota 
40.24 	Department of Health state-licensed facilities as defined in section 326B.103, subdivision 
40.25 	13;
40.26 	(2) buildings owned by the federal or state government public buildings as defined 
40.27 	in section 326B.103, subdivision 11; and
40.28 	(3) projects of a special nature for which department review is requested by either 
40.29 	the municipality or the state;
40.30 	(o) where the municipality forwards to the state for review plumbing plans and 
40.31 	specifications, as provided in paragraph (n), the municipality shall not collect any fee for 
40.32 	plan review, and the commissioner shall collect all applicable fees for plan review; and
40.33 	(p) no municipality shall revoke, suspend, or place restrictions on any plumbing 
40.34 	license issued by the state.

40.35 	Sec. 33. Minnesota Statutes 2012, section 326B.49, subdivision 2, is amended to read:
41.1 		Subd. 2.Fees for plan reviews and audits. Plumbing system plans and 
41.2 	specifications that are submitted to the commissioner for review shall be accompanied by 
41.3 	the appropriate plan examination fees. If the commissioner determines, upon review of 
41.4 	the plans, that inadequate fees were paid, the necessary additional fees shall be paid prior 
41.5 	to plan approval. The commissioner shall charge the following fees for plan reviews and 
41.6 	audits of plumbing installations for public, commercial, and industrial buildings:
41.7 	(1) systems with both water distribution and drain, waste, and vent systems and 
41.8 	having:
41.9 	(i) 25 or fewer drainage fixture units, $150;
41.10 	(ii) 26 to 50 drainage fixture units, $250;
41.11 	(iii) 51 to 150 drainage fixture units, $350;
41.12 	(iv) 151 to 249 drainage fixture units, $500;
41.13 	(v) 250 or more drainage fixture units, $3 per drainage fixture unit to a maximum 
41.14 	of $4,000; and
41.15 	(vi) interceptors, separators, or catch basins, $70 per interceptor, separator, or catch 
41.16 	basin design;
41.17 	(2) building sewer service only, $150;
41.18 	(3) building water service only, $150;
41.19 	(4) building water distribution system only, no drainage system, $5 per supply 
41.20 	fixture unit or $150, whichever is greater;
41.21 	(5) storm drainage system, a minimum fee of $150 or:
41.22 	(i) $50 per drain opening, up to a maximum of $500; and
41.23 	(ii) $70 per interceptor, separator, or catch basin design;
41.24 	(6) manufactured home park or campground, one to 25 sites, $300;
41.25 	(7) manufactured home park or campground, 26 to 50 sites, $350;
41.26 	(8) manufactured home park or campground, 51 to 125 sites, $400;
41.27 	(9) manufactured home park or campground, more than 125 sites, $500; and
41.28 	(10) accelerated review, double the regular fee, one-half to be refunded if no 
41.29 	response from the commissioner within 15 business days; and
41.30 	(11) (10) revision to previously reviewed or incomplete plans:
41.31 	(i) review of plans for which the commissioner has issued two or more requests for 
41.32 	additional information, per review, $100 or ten percent of the original fee, whichever 
41.33 	is greater;
41.34 	(ii) proposer-requested revision with no increase in project scope, $50 or ten percent 
41.35 	of original fee, whichever is greater; and
42.1 	(iii) proposer-requested revision with an increase in project scope, $50 plus the 
42.2 	difference between the original project fee and the revised project fee.

42.3 	EFFECTIVE DATE. This section is effective January 1, 2014.

42.4 	Sec. 34. Minnesota Statutes 2012, section 326B.49, subdivision 3, is amended to read:
42.5 		Subd. 3.Inspection Permits; fees. The commissioner shall charge the following 
42.6 	fees for inspections under sections 326B.42 to 326B.49:

42.7	Residential inspection fee (each visit)
		$
	50
		
42.8	Public, Commercial, and Industrial Inspections
		Inspection Fee
		
42.9	25 or fewer drainage fixture units
		$
	300
		
42.10	26 to 50 drainage fixture units
		$
	900
		
42.11	51 to 150 drainage fixture units
		$
	1,200
		
42.12	151 to 249 drainage fixture units
		$
	1,500
		
42.13	250 or more drainage fixture units
		$
	1,800
		
42.14	Callback fee (each visit)
		$
	100
		
42.15 	(a) Before commencement of a plumbing installation to be inspected by the 
42.16 	commissioner, the plumbing contractor or registered plumbing employer performing the 
42.17 	plumbing work must submit to the commissioner an application for a permit and the 
42.18 	permit and inspection fees in paragraphs (b) to (f).
42.19 	(b) The permit fee is $100.
42.20 	(c) The residential inspection fee is $50 for each inspection trip.
42.21 	(d) The public, commercial, and industrial inspection fees are as follows:
42.22 	(1) for systems with water distribution, drain, waste, and vent system connection:
42.23 	(i) $25 for each fixture, permanently connected appliance, floor drain, or other 
42.24 	appurtenance;
42.25 	(ii) $25 for each water conditioning, water treatment, or water filtration system; and
42.26 	(iii) $25 for each interceptor, separator, catch basin, or manhole;
42.27 	(2) roof drains, $25 for each drain;
42.28 	(3) building sewer service only, $100;
42.29 	(4) building water service only, $100;
42.30 	(5) building water distribution system only, no drainage system, $5 for each fixture 
42.31 	supplied;
42.32 	(6) storm drainage system, a minimum fee of $25 for each drain opening, interceptor, 
42.33 	separator, or catch basin;
42.34 	(7) manufactured home park or campground, $25 for each site;
42.35 	(8) reinspection fee to verify corrections, regardless of the total fee submitted, $100 
42.36 	for each reinspection; and
43.1 	(9) each $100 in fees paid covers one inspection trip.
43.2 	(e) In addition to the fees in paragraph (c), the fee submitter must pay an hourly rate of 
43.3 	$80 during regular business hours, or $120 when inspections are requested to be performed 
43.4 	outside of normal work hours or on weekends and holidays, with a two-hour minimum 
43.5 	where the fee submitter requests inspections of installations as systems are being installed.
43.6 	(f) The fee submitter must pay a fee equal to two hours at the hourly rate of $80 
43.7 	when inspections scheduled by the submitter are not able to be completed because the 
43.8 	work is not complete.

43.9 	Sec. 35. Minnesota Statutes 2012, section 326B.89, subdivision 1, is amended to read:
43.10 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms 
43.11 	have the meanings given them.
43.12 	(b) "Gross annual receipts" means the total amount derived from residential 
43.13 	contracting or residential remodeling activities, regardless of where the activities are 
43.14 	performed, and must not be reduced by costs of goods sold, expenses, losses, or any 
43.15 	other amount.
43.16 	(c) "Licensee" means a person licensed as a residential contractor or residential 
43.17 	remodeler.
43.18 	(d) "Residential real estate" means a new or existing building constructed for 
43.19 	habitation by one to four families, and includes detached garages.
43.20 	(e) "Fund" means the contractor recovery fund.
43.21 	(f) "Owner" when used in connection with real property, means a person who has 
43.22 	any legal or equitable interest in real property and includes a condominium or townhome 
43.23 	association that owns common property located in a condominium building or townhome 
43.24 	building or an associated detached garage. Owner does not include any real estate 
43.25 	developer or any owner using, or intending to use, the property for a business purpose and 
43.26 	not as owner-occupied residential real estate.

43.27 	Sec. 36. Minnesota Statutes 2012, section 327B.04, subdivision 4, is amended to read:
43.28 		Subd. 4.License prerequisites. No application shall be granted nor license issued 
43.29 	until the applicant proves to the commissioner that:
43.30 	(a) the applicant has a permanent, established place of business at each licensed 
43.31 	location. An "established place of business" means a permanent enclosed building other 
43.32 	than a residence, or a commercial office space, either owned by the applicant or leased by 
43.33 	the applicant for a term of at least one year, located in an area where zoning regulations 
43.34 	allow commercial activity, and where the books, records and files necessary to conduct 
44.1 	the business are kept and maintained. The owner of a licensed manufactured home park 
44.2 	who resides in or adjacent to the park may use the residence as the established place of 
44.3 	business required by this subdivision, unless prohibited by local zoning ordinance.
44.4 	If a license is granted, the licensee may use unimproved lots and premises for sale, 
44.5 	storage, and display of manufactured homes, if the licensee first notifies the commissioner 
44.6 	in writing;
44.7 	(b) if the applicant desires to sell, solicit or advertise the sale of new manufactured 
44.8 	homes, it has a bona fide contract or franchise in effect with a manufacturer or distributor 
44.9 	of the new manufactured home it proposes to deal in;
44.10 	(c) the applicant has secured: (1) a surety bond in the amount of $20,000 for each 
44.11 	agency and each subagency location that bears the applicant's name and the name under 
44.12 	which the applicant will be licensed and do business in this state. Each bond is for the 
44.13 	protection of consumer customers, and must be executed by the applicant as principal and 
44.14 	issued by a surety company admitted to do business in this state. Each bond shall be 
44.15 	exclusively for the purpose of reimbursing consumer customers and shall be conditioned 
44.16 	upon the faithful compliance by the applicant with all of the laws and rules of this state 
44.17 	pertaining to the applicant's business as a dealer or manufacturer, including sections 
44.18 	325D.44, 325F.67 and 325F.69, and upon the applicant's faithful performance of all its 
44.19 	legal obligations to consumer customers; and (2) a certificate of liability insurance in 
44.20 	the amount of $1,000,000 that provides aggregate coverage for the agency and each 
44.21 	subagency location. In the event of a policy cancellation, the insurer shall send written 
44.22 	notice to the commissioner at the same time that a cancellation request is received from 
44.23 	or a notice is sent to the insured;
44.24 	(d) the applicant has established a trust account as required by section 327B.08, 
44.25 	subdivision 3, unless the applicant states in writing its intention to limit its business to 
44.26 	selling, offering for sale, soliciting or advertising the sale of new manufactured homes; and
44.27 	(e) the applicant has provided evidence of having had at least two years' prior 
44.28 	experience in the sale of manufactured homes, working for a licensed dealer. The 
44.29 	applicant does not have to satisfy the two-year prior experience requirement if:
44.30 	(1) the applicant sells or brokers used manufactured homes as permitted under 
44.31 	section 327B.01, subdivision 7; or
44.32 	(2) the applicant:
44.33 	(i) has met all other licensing requirements;
44.34 	(ii) is the owner of a manufactured home park; and
44.35 	(iii) is selling new manufactured homes installed in the manufactured home park 
44.36 	that the applicant owns.

45.1 	Sec. 37. Minnesota Statutes 2012, section 341.21, subdivision 3a, is amended to read:
45.2 		Subd. 3a.Commissioner. "Commissioner" means the commissioner of labor 
45.3 	and industry or a duly designated representative of the commissioner who is either an 
45.4 	employee of the Department of Labor and Industry or a person working under contract 
45.5 	with the department.

45.6 	Sec. 38. Minnesota Statutes 2012, section 341.221, is amended to read:
45.7 	341.221 ADVISORY COUNCIL.
45.8 	(a) The commissioner must appoint a Combative Sports Advisory Council to advise 
45.9 	the commissioner on the administration of duties under this chapter.
45.10 	(b) The council shall have nine members appointed by the commissioner. One 
45.11 	member must be a retired judge of the Minnesota District Court, Minnesota Court of 
45.12 	Appeals, Minnesota Supreme Court, the United States District Court for the District of 
45.13 	Minnesota, or the Eighth Circuit Court of Appeals. At least four members must have 
45.14 	knowledge of the boxing industry. At least four members must have knowledge of the 
45.15 	mixed martial arts industry. The commissioner shall make serious efforts to appoint 
45.16 	qualified women to serve on the council.
45.17 	(c) Council members shall serve terms of four years with the terms ending on the 
45.18 	first Monday in January.
45.19 	(d) The council shall annually elect from its membership a chair.
45.20 	(e) The commissioner shall convene the first meeting of the council by July 1, 2012. 
45.21 	The council shall elect a chair at its first meeting. Thereafter, Meetings shall be convened 
45.22 	by the commissioner, or by the chair with the approval of the commissioner.
45.23 	(f) For the first appointments to the council, the commissioner shall appoint the 
45.24 	members currently serving on the Combative Sports Commission established under 
45.25 	section 341.22, to the council. The commissioner shall designate two of the members to 
45.26 	serve until the first Monday in January 2013; two members to serve until the first Monday 
45.27 	in January 2014; two members to serve until the first Monday in January 2015; and three 
45.28 	members to serve until the first Monday in January 2016.
45.29 	(g) Removal of members, filling of vacancies, and compensation of members shall 
45.30 	be as provided in section 15.059.

45.31 	Sec. 39. Minnesota Statutes 2012, section 341.27, is amended to read:
45.32 	341.27 COMMISSIONER DUTIES.
45.33 	The commissioner shall:
45.34 	(1) issue, deny, renew, suspend, or revoke licenses;
46.1 	(2) make and maintain records of its acts and proceedings including the issuance, 
46.2 	denial, renewal, suspension, or revocation of licenses;
46.3 	(3) keep public records of the council open to inspection at all reasonable times;
46.4 	(4) develop rules to be implemented under this chapter;
46.5 	(5) conform to the rules adopted under this chapter;
46.6 	(6) develop policies and procedures for regulating boxing and mixed martial arts; and
46.7 	(7) immediately suspend an individual license for a medical condition, including but 
46.8 	not limited to a medical condition resulting from an injury sustained during a match, bout, 
46.9 	or contest that has been confirmed by the ringside physician. The medical suspension must 
46.10 	be lifted after the commissioner receives written information from a physician licensed in 
46.11 	the home state of the licensee indicating that the combatant may resume competition, and 
46.12 	any other information that the commissioner may by rule require. Medical suspensions 
46.13 	are not subject to section 214.10.  326B.082 or the contested case procedures provided 
46.14 	in sections 14.57 to 14.69; and
46.15 	(8) immediately suspend an individual combatant license for a mandatory rest period, 
46.16 	which must commence at the conclusion of every combative sports contest in which the 
46.17 	license holder competes and does not receive a medical suspension. A rest suspension 
46.18 	must automatically lift after seven calendar days from the date the combative sports 
46.19 	contest passed without notice or additional proceedings. Rest suspensions are not subject 
46.20 	to section 326B.082 or the contested case procedures provided in sections 14.57 to 14.69.

46.21 	Sec. 40. Minnesota Statutes 2012, section 341.29, is amended to read:
46.22 	341.29 JURISDICTION OF COMMISSIONER.
46.23 	The commissioner shall:
46.24 	(1) have sole direction, supervision, regulation, control, and jurisdiction over all 
46.25 	combative sport contests that are held within this state unless a contest is exempt from the 
46.26 	application of this chapter under federal law;
46.27 	(2) have sole control, authority, and jurisdiction over all licenses required by this 
46.28 	chapter; and
46.29 	(3) grant a license to an applicant if, in the judgment of the commissioner, the 
46.30 	financial responsibility, experience, character, and general fitness of the applicant are 
46.31 	consistent with the public interest, convenience, or necessity and the best interests of 
46.32 	combative sports and conforms with this chapter and the commissioner's rules.; and
46.33 	(4) deny, suspend, or revoke a license using the enforcement provisions of section 
46.34 	326B.082.

47.1 	Sec. 41. Minnesota Statutes 2012, section 341.30, subdivision 4, is amended to read:
47.2 		Subd. 4.Prelicensure requirements. (a) Before the commissioner issues a license 
47.3 	to a promoter, corporation, or other business entity, the applicant shall:
47.4 	(1) provide the commissioner with a copy of any agreement between a combatant 
47.5 	and the applicant that binds the applicant to pay the combatant a certain fixed fee or 
47.6 	percentage of the gate receipts;
47.7 	(2) show on the application the owner or owners of the applicant entity and the 
47.8 	percentage of interest held by each owner holding a 25 percent or more interest in the 
47.9 	applicant;
47.10 	(3) provide the commissioner with a copy of the latest financial statement of the 
47.11 	entity; and
47.12 	(4) provide the commissioner with a copy or other proof acceptable to the 
47.13 	commissioner of the insurance contract or policy required by this chapter.
47.14 	(b) Before the commissioner issues a license to a promoter, the applicant shall 
47.15 	deposit with the commissioner a cash bond or surety bond in an amount set by the 
47.16 	commissioner, which must not be less than $10,000. The bond shall be executed in favor 
47.17 	of this state and shall be conditioned on the faithful performance by the promoter of the 
47.18 	promoter's obligations under this chapter and the rules adopted under it. An applicant for a 
47.19 	license as a promoter and licensed promoters shall submit an application for each event a 
47.20 	minimum of six weeks before the combative sport contest is scheduled to occur.
47.21 	(c) Before the commissioner issues a license to a combatant, the applicant shall 
47.22 	submit to the commissioner:
47.23 	(1) a mixed martial arts combatant national identification number or federal boxing 
47.24 	identification number that is unique to the applicant, or both; and
47.25 	(2) the results of a current medical examination on forms furnished or approved 
47.26 	by the commissioner. The medical examination must include an ophthalmological and 
47.27 	neurological examination, and documentation of test results for HBV, HCV, and HIV, and 
47.28 	any other blood test as the commissioner by rule may require. The ophthalmological 
47.29 	examination must be designed to detect any retinal defects or other damage or condition 
47.30 	of the eye that could be aggravated by combative sports. The neurological examination 
47.31 	must include an electroencephalogram or medically superior test if the combatant has 
47.32 	been knocked unconscious in a previous contest. The commissioner may also order an 
47.33 	electroencephalogram or other appropriate neurological or physical examination before 
47.34 	any contest if it determines that the examination is desirable to protect the health of the 
47.35 	combatant. The commissioner shall not issue a license to an applicant submitting positive 
47.36 	test results for HBV, HCV, or HIV.

48.1 	Sec. 42. Minnesota Statutes 2012, section 341.32, subdivision 2, is amended to read:
48.2 		Subd. 2.Expiration and renewal. A license issued after July 1, 2007, is valid for 
48.3 	one year from the date it is issued and Licenses expire annually on December 31, and may 
48.4 	be renewed by filing an application for renewal with the commissioner and payment of the 
48.5 	license fees established in section 341.321. An application for a license and renewal of a 
48.6 	license must be on a form provided by the commissioner. There is a 30-day grace period 
48.7 	during which a license may be renewed if a late filing penalty fee equal to the license fee 
48.8 	is submitted with the regular license fee. A licensee that files late shall not conduct any 
48.9 	activity regulated by this chapter until the commissioner has renewed the license. If the 
48.10 	licensee fails to apply to the commissioner within the 30-day grace period, the licensee 
48.11 	must apply for a new license under subdivision 1.

48.12 	Sec. 43. Minnesota Statutes 2012, section 341.321, is amended to read:
48.13 	341.321 FEE SCHEDULE.
48.14 	(a) The fee schedule for professional licenses issued by the commissioner is as 
48.15 	follows:
48.16 	(1) referees, $45 $80 for each initial license and each renewal;
48.17 	(2) promoters, $400 $700 for each initial license and each renewal;
48.18 	(3) judges and knockdown judges, $45 $80 for each initial license and each renewal;
48.19 	(4) trainers, $45 $80 for each initial license and each renewal;
48.20 	(5) ring announcers, $45 $80 for each initial license and each renewal;
48.21 	(6) seconds, $45 $80 for each initial license and each renewal;
48.22 	(7) timekeepers, $45 $80 for each initial license and each renewal;
48.23 	(8) combatants, $45 $120 for each initial license and each renewal;
48.24 	(9) managers, $45 $80 for each initial license and each renewal; and
48.25 	(10) ringside physicians, $45 $80 for each initial license and each renewal.
48.26 	In addition to the license fee and the late filing penalty fee in section 341.32, subdivision 
48.27 	2, if applicable, an individual who applies for a professional license on the same day the 
48.28 	combative sporting event is held shall pay a late fee of $100 plus the original license fee of 
48.29 	$45 $120 at the time the application is submitted.
48.30 	(b) The fee schedule for amateur licenses issued by the commissioner is as follows:
48.31 	(1) referees, $45 $80 for each initial license and each renewal;
48.32 	(2) promoters, $400 $700 for each initial license and each renewal;
48.33 	(3) judges and knockdown judges, $45 $80 for each initial license and each renewal;
48.34 	(4) trainers, $45 $80 for each initial license and each renewal;
48.35 	(5) ring announcers, $45 $80 for each initial license and each renewal;
49.1 	(6) seconds, $45 $80 for each initial license and each renewal;
49.2 	(7) timekeepers, $45 $80 for each initial license and each renewal;
49.3 	(8) combatant, $25 $60 for each initial license and each renewal;
49.4 	(9) managers, $45 $80 for each initial license and each renewal; and
49.5 	(10) ringside physicians, $45 $80 for each initial license and each renewal.
49.6 	(c) The commissioner shall establish a contest fee for each combative sport contest. 
49.7 	The professional combative sport contest fee is $1,500 per event or not more than four 
49.8 	percent of the gross ticket sales, whichever is greater, as determined by the commissioner 
49.9 	when the combative sport contest is scheduled, except that the amateur combative sport 
49.10 	contest fee shall be $500 $1,500 or not more than four percent of the gross ticket sales, 
49.11 	whichever is greater. The commissioner shall consider the size and type of venue when 
49.12 	establishing a contest fee. The commissioner may establish the maximum number 
49.13 	of complimentary tickets allowed for each event by rule. A professional or amateur 
49.14 	combative sport contest fee is nonrefundable.
49.15 	(d) All fees and penalties collected by the commissioner must be deposited in the 
49.16 	commissioner account in the special revenue fund.

49.17 	Sec. 44. JOB-BASED EDUCATION AND APPRENTICESHIP PROGRAM 
49.18 	(JEAP) FOR MANUFACTURING INDUSTRIES.
 49.19 		Subdivision 1.Creation. The commissioner of labor and industry, in collaboration 
49.20 	with the Board of Trustees of the Minnesota State Colleges and Universities (MnSCU) 
49.21 	and employers, shall develop JEAP for manufacturing industries that integrates academic 
49.22 	instruction and job-related learning in the workplace and through MnSCU institutions. 
49.23 	The commissioner shall actively recruit participants in JEAP, through the Web-based hub 
49.24 	created in subdivision 4 and other means, from the following groups: secondary and 
49.25 	postsecondary school systems; individuals with disabilities; dislocated workers; retired 
49.26 	and disabled veterans; individuals enrolled in MFIP under Minnesota Statutes, chapter 
49.27 	256J; minorities; previously incarcerated individuals; individuals residing in labor surplus 
49.28 	areas as defined by the United States Department of Labor; and any other disadvantaged 
49.29 	group as determined by the commissioner.
49.30 		Subd. 2.Definitions. (a) For the purposes of this section, the terms defined in this 
49.31 	subdivision have the meanings given them.
49.32 	(b) "Board of Trustees of the Minnesota State Colleges and Universities" has the 
49.33 	meaning given in Minnesota Statutes, section 136F.01.
49.34 	(c) "Commissioner" means the commissioner of labor and industry.
50.1 	(d) "Employer" means a skilled manufacturing employer within the state who enters 
50.2 	into the agreements with MnSCU and the commissioner of labor under subdivisions 4 to 6.
50.3 	(e) "Hub" or "the hub" means the Web-based listing of skilled manufacturing jobs 
50.4 	under subdivision 3.
50.5 	(f) "MnSCU institution" means the local college or university providing instruction 
50.6 	to the participant.
50.7 	(g) "Participant" means an employee who:
50.8 	(1) enters into a JEAP participation agreement under subdivision 6; and
50.9 	(2) is successfully admitted to a MnSCU institution, if applicable.
50.10 	(h) "Related instruction" means classroom instruction or technical or vocational 
50.11 	training required to perform the duties of the skilled manufacturing job.
50.12 	(i) "Skilled manufacturing" means occupations in manufacturing industry sectors 31 
50.13 	to 33 as defined by the North American Industry Classification System (NAICS).
50.14 		Subd. 3.Job-seekers hub. (a) The commissioner shall develop a centralized 
50.15 	Web-based skilled manufacturing job-seekers hub that matches the needs of employers 
50.16 	with job seekers.
50.17 	(b) An employer may advertise a JEAP or other job opportunity on the hub if the 
50.18 	employer:
50.19 	(1) collaborates with a MnSCU institution to assist with the development of any 
50.20 	necessary classroom instruction or technical or vocational training that may be required to 
50.21 	perform the duties of the skilled manufacturing job;
50.22 	(2) collaborates with the commissioner of labor and industry to create a JEAP under 
50.23 	subdivision 4;
50.24 	(3) abides by the terms of the JEAP employer agreement under subdivision 4; and
50.25 	(4) employs the participant under the terms of a JEAP participation agreement under 
50.26 	subdivision 5 for the duration of the modified apprenticeship program and, assuming 
50.27 	successful completion, makes reasonable efforts to continue to employ the participant as a 
50.28 	regular employee.
50.29 	(c) Job seekers seeking skilled manufacturing jobs advertised on the hub agree to 
50.30 	abide by the terms of the JEAP participation agreement under subdivision 5.
50.31 	(d) The Board of Trustees of MnSCU and MnSCU institutions shall provide 
50.32 	information for the hub describing the related instruction component of JEAP through 
50.33 	data exchange.
50.34 		Subd. 4.JEAP employer agreement. (a) The commissioner, eligible employer, 
50.35 	and MnSCU institution shall enter into a JEAP employer agreement that is specific to the 
50.36 	identified manufacturing training needs of an employer.
51.1 	(b) The agreement must contain the following:
51.2 	(1) the name of the employer;
51.3 	(2) a statement showing the number of hours to be spent by a participant in work and 
51.4 	the number of hours to be spent, if any, in concurrent, supplementary instruction in related 
51.5 	subjects. The maximum number of hours of work per week, not including time spent in 
51.6 	related instruction, for any participant shall not exceed either the number prescribed by 
51.7 	law or the customary regular number of hours per week for the employees of the company 
51.8 	by which the participant is employed. A participant may be allowed to work overtime 
51.9 	provided that the overtime work does not conflict with supplementary instruction course 
51.10 	attendance. All time spent by the participant in excess of the number of hours of work per 
51.11 	week as specified in the JEAP participation agreement shall be considered overtime;
51.12 	(3) a statement showing the schedule of wages that a participant will earn, including 
51.13 	a probationary period, if any;
51.14 	(4) an explanation of how the employer agreement or participant agreement may 
51.15 	be terminated;
51.16 	(5) a statement setting forth a schedule of the processes in the occupation in which 
51.17 	the participant is to be trained and the approximate time to be spent at each process;
51.18 	(6) a statement by the MnSCU institution and the employer describing the related 
51.19 	instruction that will be offered, if any, under subdivision 6, paragraph (c); and
51.20 	(7) any other provision the commissioner deems necessary to carry out the purposes 
51.21 	of this section.
51.22 		Subd. 5.JEAP participation agreement. (a) The commissioner, the prospective 
51.23 	participant, and the employer shall enter into a JEAP participation agreement that is 
51.24 	specific to the manufacturing training to be provided to the participant.
51.25 	(b) The participation agreement must contain the following:
51.26 	(1) the name of the employer;
51.27 	(2) the name of the participant;
51.28 	(3) a statement setting forth a schedule of the processes of the occupation in which 
51.29 	the participant is to be trained and the approximate time to be spent at each process;
51.30 	(4) a description of any related instruction;
51.31 	(5) a statement showing the number of hours to be spent by a participant in work and 
51.32 	the number of hours to be spent, if any, in concurrent, supplementary instruction in related 
51.33 	subjects. The maximum number of hours of work per week, not including time spent in 
51.34 	related instruction, for any participant shall not exceed either the number prescribed by 
51.35 	law or the customary regular number of hours per week for the employees of the company 
51.36 	by which the participant is employed. A participant may be allowed to work overtime 
52.1 	provided that the overtime work does not conflict with supplementary instruction course 
52.2 	attendance. All time spent by the participant in excess of the number of hours of work per 
52.3 	week as specified in the JEAP participation agreement shall be considered overtime;
52.4 	(6) a statement showing the schedule of wages that a participant will earn, including 
52.5 	a probationary period, if any; and
52.6 	(7) an explanation of how the parties may terminate the participation agreement.
52.7 	(c) If a JEAP participation agreement meets the requirements of Minnesota 
52.8 	Statutes, section 178.07, the commissioner may approve the participation agreement 
52.9 	as an apprenticeship agreement.
52.10 	(d) The commissioner may periodically review the adherence to the terms of 
52.11 	the JEAP participation agreement. If the commissioner determines that an employer 
52.12 	or participant has failed to comply with the terms of a participation agreement, the 
52.13 	commissioner shall terminate the participation agreement.
52.14 		Subd. 6.MnSCU instruction. (a) MnSCU institutions shall collaborate with 
52.15 	employers to provide related instruction which the employer deems necessary to instruct 
52.16 	participants of JEAP. The related instruction provided must be, for the purposes of this 
52.17 	section, career-level, as negotiated by the commissioner and the MnSCU institution. The 
52.18 	related instruction may be for credit or noncredit, and credit earned may be transferable to 
52.19 	a degree program, as determined by the MnSCU institution.
52.20 	(b) The commissioner, in conjunction with the MnSCU institution, shall issue a 
52.21 	certificate of completion to a participant who completes all required components of the 
52.22 	JEAP participation agreement.
52.23 	(c) As part of the JEAP, an employer shall collaborate with a MnSCU institution for 
52.24 	any related instruction required to perform the skilled manufacturing job. The employer 
52.25 	agreement shall include:
52.26 	(1) a detailed explanation of the related instruction; and
52.27 	(2) the number of hours of related instruction needed to receive a certificate of 
52.28 	completion.
52.29 	(d) Before entering into a JEAP participation agreement under subdivision 6, a 
52.30 	prospective participant must enroll in the MnSCU institution at which the required 
52.31 	instruction will occur. Acceptance into JEAP does not guarantee enrollment as a 
52.32 	degree-seeking student in good standing at a MnSCU institution. The MnSCU institution 
52.33 	may modify admission procedures and requirements for participants applying for JEAP 
52.34 	under this section.
52.35 		Subd. 7.Expiration. JEAP does not expire unless jointly agreed to by both the 
52.36 	Board of Trustees of MnSCU and the commissioner.

53.1 	Sec. 45. IMPLEMENTATION; REPORT.
 53.2 	The commissioner shall implement JEAP for manufacturing industries under 
53.3 	Minnesota Statutes, section 178A.10, at Century College, Alexandria Technical and 
53.4 	Community College, Hennepin Technical College, and Central Lakes College. By January 
53.5 	15, 2015, the commissioner and the Board of Trustees of MnSCU, in conjunction with 
53.6 	each MnSCU institution listed in this section, shall report to the legislative committees 
53.7 	with jurisdiction over jobs. The report must address the progress and success of the 
53.8 	implementation of JEAP at each individual MnSCU institution listed in this section. The 
53.9 	report must give recommendations on where JEAP should next be implemented, taking 
53.10 	into consideration all current and potential manufacturing training providers available.

53.11 	Sec. 46.  REPEALER.
 53.12 	(a) Minnesota Statutes 2012, sections 326B.31, subdivisions 18, 19, and 22; and 
53.13 	326B.978, subdivision 4, are repealed.
53.14 	(b) Minnesota Rules, parts 1307.0032; 3800.3520, subpart 5, items C and D; and 
53.15 	3800.3602, subpart 2, item B, subitems (5) and (6), are repealed.

53.16 	ARTICLE 3
53.17 	EMPLOYMENT, ECONOMIC DEVELOPMENT, AND 
53.18 	WORKFORCE DEVELOPMENT

53.19 	Section 1. [116J.013] COST-OF-LIVING STUDY; ANNUAL REPORT.
53.20 	(a) The commissioner shall conduct an annual cost-of-living study in Minnesota. 
53.21 	The study shall include:
53.22 	(1) a calculation of the statewide basic needs cost of living, adjusted for family size;
53.23 	(2) a calculation of the basic needs cost of living, adjusted for family size, for each 
53.24 	county;
53.25 	(3) an analysis of statewide and county cost-of-living data, employment data, and 
53.26 	job vacancy data; and
53.27 	(4) recommendations to aid in the assessment of employment and economic 
53.28 	development planning needs throughout the state.
53.29 	(b) The commissioner shall report on the cost-of-living study and recommendations 
53.30 	by February 1 of each year to the governor and to the chairs of the standing committees 
53.31 	of the house of representatives and the senate having jurisdiction over employment and 
53.32 	economic development issues.

54.1 	Sec. 2. [116J.4011] LABOR MARKET INFORMATION DATA PRODUCTION 
54.2 	REQUIREMENT.
54.3 	(a) As part of the commissioner's obligation under section 116J.401, the 
54.4 	commissioner must, in collaboration with the Office of Higher Education and local 
54.5 	workforce center boards, publish labor market analysis supply and demand reports, 
54.6 	statewide and by region. The supply and demand reports must:
54.7 	(1) identify the state and regional industry sectors and occupations with the highest 
54.8 	current and projected job growth;
54.9 	(2) identify top job vacancies by state and regional industry sectors and occupations;
54.10 	(3) provide information on the education attainment of the current state and regional 
54.11 	workforce;
54.12 	(4) identify the expected number of graduates in industry-recognized credential and 
54.13 	degree programs by career field;
54.14 	(5) identify the completion rate and average debt per student of industry-recognized 
54.15 	credential and degree programs by career field;
54.16 	(6) identify higher education institutions offering industry-recognized credential and 
54.17 	degree programs in high job-growth career fields;
54.18 	(7) make projections on future state and regional job growth by education level; and 
54.19 	(8) utilize employer surveys to identify the credentials and skills needed for 
54.20 	employment in high job-growth occupations.
54.21 	(b) The statewide report and regional reports shall each present side-by-side 
54.22 	comparisons of:
54.23 	(1) new job growth and total job openings by education level compared with 
54.24 	educational attainment levels of current workforce;
54.25 	(2) current and projected top high-growth, high-pay industries by number of new 
54.26 	jobs and median salaries compared with top annual graduates by major or credential; and
54.27 	(3) top job vacancies requiring some postsecondary credential. Each of these 
54.28 	vacancies should be directly linked to information about what credentials are required, 
54.29 	where in the state and region those credentials can be obtained, the completion and 
54.30 	credential attainment rate of each of those credential programs, the average debt per 
54.31 	student who attains each credential, and median wages for the job vacancy.
54.32 	(c) Reports required by this section must be regularly reviewed by regional 
54.33 	employers and educators to ensure accuracy.
54.34 	(d) Reports required by this section must be easily accessible, easily readable, and 
54.35 	prominently presented on the Department of Employment and Economic Development 
54.36 	Web site and Web sites of workforce centers.

55.1 	Sec. 3. Minnesota Statutes 2012, section 116J.8731, subdivision 2, is amended to read:
55.2 		Subd. 2.Administration.  Except as otherwise provided in this section, the 
55.3 	commissioner shall administer the fund as part of the Small Cities Development Block 
55.4 	Grant Program. and funds shall be made available to local communities and recognized 
55.5 	Indian tribal governments in accordance with the rules adopted for economic development 
55.6 	grants in the small cities community development block grant program, except that.
55.7 	 All units of general purpose local government are eligible applicants for Minnesota 
55.8 	investment funds. The commissioner may provide forgivable loans directly to a private 
55.9 	enterprise and not require a local community or recognized Indian tribal government 
55.10 	application other than a resolution supporting the assistance. Eligible applicants for the 
55.11 	state-funded portion of the fund also include development authorities as defined in section 
55.12 	116J.552, subdivision 4, provided that the governing body of the municipality approves, 
55.13 	by resolution, the application of the development authority. The commissioner may also 
55.14 	make funds available within the department for eligible expenditures under subdivision 3, 
55.15 	clause (2). A home rule charter or statutory city, county, or town may loan or grant money 
55.16 	received from repayment of funds awarded under this section to a regional development 
55.17 	commission, other regional entity, or statewide community capital fund as determined by 
55.18 	the commissioner, to capitalize or to provide the local match required for capitalization of 
55.19 	a regional or statewide revolving loan fund.

55.20 	Sec. 4. Minnesota Statutes 2012, section 116J.8731, subdivision 3, is amended to read:
55.21 		Subd. 3.Eligible expenditures. The money appropriated for this section may 
55.22 	be used to:
55.23 	(1) fund loans or grants for infrastructure, loans, loan guarantees, interest buy-downs, 
55.24 	and other forms of participation with private sources of financing, provided that a loan to 
55.25 	a private enterprise must be for a principal amount not to exceed one-half of the cost of 
55.26 	the project for which financing is sought;
55.27 	(2) fund strategic investments in renewable energy market development, such as 
55.28 	low interest loans for renewable energy equipment manufacturing, training grants to 
55.29 	support renewable energy workforce, development of a renewable energy supply chain 
55.30 	that represents and strengthens the industry throughout the state, and external marketing 
55.31 	to garner more national and international investment into Minnesota's renewable sector. 
55.32 	Expenditures in external marketing for renewable energy market development are not 
55.33 	subject to the limitations in clause (1); and
55.34 	(3) provide private entrepreneurs with training, other technical assistance, and 
55.35 	financial assistance, as provided in the small cities development block grant program.

56.1 	Sec. 5. Minnesota Statutes 2012, section 116J.8731, subdivision 8, is amended to read:
56.2 		Subd. 8.Disaster contingency account; repayments. There is created a Minnesota 
56.3 	investment fund disaster contingency account in the special revenue fund. Repayment of 
56.4 	loan amounts to the local government unit or development authority under this section 
56.5 	shall be forwarded to the commissioner and deposited in the disaster contingency account 
56.6 	in the Minnesota investment fund to be appropriated by law for future disaster relief.

56.7 	Sec. 6. Minnesota Statutes 2012, section 116J.8731, subdivision 9, is amended to read:
56.8 		Subd. 9.Requirements for assistance. (a) All awards under section 12A.07 are 
56.9 	subject to the following requirements in this subdivision.
56.10 	(a) Eligible applicants include the following:
56.11 	(b) Eligible applicants are subject to the following requirements:
56.12 	(1) Applicants may be any business or nonprofit organization in the area included 
56.13 	in the disaster declaration that was directly and adversely affected by the disaster. This 
56.14 	includes: businesses, cooperatives, utilities, industrial, commercial, retail, and nonprofit 
56.15 	organizations, including those nonprofits that provide residential, health care, child care, 
56.16 	social, or other services on behalf of the Department of Human Services to residents 
56.17 	included in the disaster area.
56.18 	(2) Business applicants must be organized as a proprietorship, partnership, LLC, or 
56.19 	a corporation.
56.20 	(3) Applicants must have been in operation before the date of the disaster.
56.21 	(b) Eligible activities. (c) Loan funds may be used to assist businesses only in their 
56.22 	recovery efforts but are not available to provide relief from economic losses.
56.23 	(c) Eligible costs. (d) Eligible costs may include the following: repair of buildings, 
56.24 	leasehold improvements, fixtures and/or equipment, loss of inventory, and cleanup costs.
56.25 	(d) (e) Ineligible activities include all of the following:
56.26 	(1) Ineligible applicants. Any applicants not meeting the eligibility requirements 
56.27 	outlined in this subdivision are ineligible to receive recovery loan funds.
56.28 	(2) Ineligible activities. Funds may not be used for lending or investment operations, 
56.29 	land speculation, or any activity deemed illegal by federal, state, or local law or ordinance.
56.30 	(3) Ineligible costs. Ineligible costs include but are not limited to: economic injury 
56.31 	losses, relocation, management fees, financing costs, franchise fees, debt consolidation, 
56.32 	moving costs, refinancing debt existing prior to the date of the disaster, and operating costs.
56.33 	(e) (f) Loan application:
56.34 	(1) Application process. All parties seeking recovery loan funds must file an 
56.35 	application with the local unit of government or development authority. Small Business 
57.1 	Administration (SBA) application forms may be used. Applications must be transmitted 
57.2 	in the form and manner prescribed by the commissioner.
57.3 	(f) Application information. (g) Only completed applications will be reviewed for 
57.4 	consideration. Submittal of the following information constitutes a complete application:
57.5 	(1) Minnesota investment fund recovery loan fund application;
57.6 	(2) business SBA disaster application, if applicable;
57.7 	(3) regional development organization or responsible local government application, 
57.8 	if applicable;
57.9 	(4) administrative contact;
57.10 	(5) business release for local government to review SBA damage assessment/loss 
57.11 	verification, if applicable;
57.12 	(6) proof of loss statement from insurer;
57.13 	(7) construction cost estimates;
57.14 	(8) invoices for work completed;
57.15 	(9) quotes for equipment;
57.16 	(10) proposed security;
57.17 	(11) company historical financial statements for the 24 months immediately prior to 
57.18 	the application date;
57.19 	(12) credit check release;
57.20 	(13) number of jobs to be retained;
57.21 	(14) wages paid;
57.22 	(15) amount of loan request;
57.23 	(16) documentation of damages incurred;
57.24 	(17) property taxes paid and current;
57.25 	(18) judgments, liens, agreements, consent decrees, stipulations for settlements, or 
57.26 	other such actions which would prevent the applicant from participating in any program 
57.27 	administered by the responsible local, state, or regional government;
57.28 	(19) compliance with all applicable local ordinances and plans;
57.29 	(20) documentation through financial and tax records that the business was a viable 
57.30 	operating entity at the time of the flood;
57.31 	(21) business tax identification number; and
57.32 	(22) other documentation as requested.
57.33 	(g) (h) Incomplete applications will be assigned pending status and the applicant 
57.34 	will be informed in writing of the missing documentation.
57.35 	(h) Determination of eligibility. (i) Applicant eligibility will be determined using 
57.36 	criteria enumerated in paragraph (a) (b). A credit check for the company and each of its 
58.1 	principal owners may be conducted. An owner's encumbrance report will be completed 
58.2 	by the Recorder's Office.
58.3 	(j) A grant recipient is eligible for assistance provided under this section only after the 
58.4 	recipient has claimed all applicable private insurance and the recipient has utilized all other 
58.5 	sources of applicable assistance available under the act appropriating funding for the grant.

58.6 	Sec. 7. [116J.8748] MINNESOTA JOB CREATION FUND.
58.7 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms 
58.8 	have the meanings given them.
58.9 	(b) "Agreement" or "business subsidy agreement" means a business subsidy 
58.10 	agreement under section 116J.994 that must include, but is not limited to: specification 
58.11 	of the duration of the agreement, job goals and a timeline for achieving those goals over 
58.12 	the duration of the agreement, construction and other investment goals and a timeline for 
58.13 	achieving those goals over the duration of the agreement, and the value of benefits the 
58.14 	firm may receive following achievement of construction and employment goals. The local 
58.15 	government and business must report to the commissioner on the business performance 
58.16 	using the forms developed by the commissioner. 
58.17 	(c) "Business" means an individual, corporation, partnership, limited liability 
58.18 	company, association, or other entity.
58.19 	(d) "Capital investment" means money that is expended for the purpose of building 
58.20 	or improving real fixed property where employees under paragraphs (g) and (h) are or will 
58.21 	be employed and also includes construction materials, services, and supplies.
58.22 	(e) "Commissioner" means the commissioner of employment and economic 
58.23 	development.
58.24 	(f) "Minnesota job creation fund business" means a business that is designated 
58.25 	by the commissioner under subdivision 3.
58.26 	(g) "New full-time employee" means an employee who:
58.27 	(1) begins work at a Minnesota job creation fund business facility noted in a business 
58.28 	subsidy agreement and following the designation as a job creation fund business; and
58.29 	(2) has expected work hours of at least 2,080 hours annually.
58.30 	(h) "Retained job" means a full-time position:
58.31 	(1) that existed at the facility prior to the designation as a job creation fund business; 
58.32 	and
58.33 	(2) has expected work hours of at least 2,080 hours annually.
58.34 	(i) "Wages" has the meaning given in section 290.92, subdivision 1, clause (1).
59.1 		Subd. 2.Application. (a) In order to qualify for designation as a Minnesota job 
59.2 	creation fund business under subdivision 3, a business must submit an application to the 
59.3 	local government entity where the facility is or will be located.
59.4 	(b) A local government must submit the business application along with other 
59.5 	application materials to the commissioner for approval.
59.6 	(c) The applications required under paragraphs (a) and (b) must be in the form and 
59.7 	be made under the procedures specified by the commissioner. 
59.8 		Subd. 3.Minnesota job creation fund business designation; requirements. (a) 
59.9 	To receive designation as a Minnesota job creation fund business, a business must satisfy 
59.10 	all of the following conditions:
59.11 	(1) the business is or will be engaged in, within Minnesota, one of the following 
59.12 	as its primary business activity:
59.13 	(i) manufacturing;
59.14 	(ii) warehousing;
59.15 	(iii) distribution;
59.16 	(iv) information technology;
59.17 	(v) finance;
59.18 	(vi) insurance; or
59.19 	(vii) professional or technical services;
59.20 	(2) the business must not be primarily engaged in lobbying, gambling, entertainment, 
59.21 	professional sports, political consulting, leisure, hospitality, or professional services 
59.22 	provided by attorneys, accountants, business consultants, physicians, or health care 
59.23 	consultants, or primarily engaged in making retail sales to purchasers who are physically 
59.24 	present at the business's location; 
59.25 	(3) the business must enter into a binding construction and job creation business 
59.26 	subsidy agreement with the commissioner to expend at least $500,000 in capital 
59.27 	investment in a construction project that includes a new, expanded, or remodeled facility 
59.28 	within one year following designation as a Minnesota job creation fund business and:
59.29 	(i) create at least ten new full-time employee positions within two years of the 
59.30 	benefit date following the designation as a Minnesota job creation fund business; or
59.31 	(ii) expend at least $25,000,000 in capital investment and retain at least 50 employees;
59.32 	(4) positions or employees moved or relocated from another Minnesota location 
59.33 	of the Minnesota job creation fund business must not be included in any calculation or 
59.34 	determination of job creation or new positions under this paragraph; and
60.1 	(5) a Minnesota job creation fund business must not terminate, lay off, or reduce 
60.2 	the working hours of an employee for the purpose of hiring an individual to satisfy job 
60.3 	creation goals under this subdivision.
60.4 	(b) Prior to approving the proposed designation of a business under this subdivision, 
60.5 	the commissioner shall consider the following:
60.6 	(1) the economic outlook of the industry in which the business engages;
60.7 	(2) the projected sales of the business that will be generated from outside the state 
60.8 	of Minnesota;
60.9 	(3) how the business will build on existing regional, national, and international 
60.10 	strengths to diversify the state's economy;
60.11 	(4) whether the business activity would occur without financial assistance;
60.12 	(5) whether the business is unable to expand at an existing Minnesota operation 
60.13 	due to facility or land limitations;
60.14 	(6) whether the business has viable location options outside Minnesota;
60.15 	(7) the effect of financial assistance on industry competitors in Minnesota;
60.16 	(8) financial contributions to the project made by local governments; and
60.17 	(9) any other criteria the commissioner deems necessary.
60.18 	(c) Upon receiving notification of local approval under subdivision 2, the 
60.19 	commissioner shall review the determination by the local government and consider the 
60.20 	conditions listed in paragraphs (a) and (b) to determine whether it is in the best interests of 
60.21 	the state and local area to designate a business as a Minnesota job creation fund business. 
60.22 	(d) If the commissioner designates a business as a Minnesota job creation fund 
60.23 	business, the business subsidy agreement shall include the performance outcome 
60.24 	commitments and the expected financial value of any Minnesota job creation fund benefits.
60.25 	(e) The commissioner may amend an agreement once, upon request of a local 
60.26 	government on behalf of a business, only if the performance is expected to exceed 
60.27 	thresholds stated in the original agreement.
60.28 	(f) A business may apply to be designated as a Minnesota job creation fund business 
60.29 	at the same location more than once only if all goals under a previous Minnesota job 
60.30 	creation fund agreement have been met and the agreement is completed.
60.31 		Subd. 4.Certification; benefits. (a) The commissioner may certify a Minnesota job 
60.32 	creation fund business as eligible to receive a specific value of benefit under paragraphs 
60.33 	(b) and (c) when the business has achieved its job creation and construction goals noted in 
60.34 	its agreement under subdivision 3.
60.35 	(b) A qualified Minnesota job creation fund business may be certified eligible for the 
60.36 	benefits in this paragraph for up to five years for projects located in the metropolitan area 
61.1 	as defined in section 200.02, subdivision 24, and seven years for projects located outside 
61.2 	the metropolitan area, as determined by the commissioner when considering the best 
61.3 	interests of the state and local area. The eligibility for the following benefits begins the 
61.4 	date the commissioner certifies the business as a qualified Minnesota job creation fund 
61.5 	business under this subdivision:
61.6 	(1) up to five percent rebate for projects located in the metropolitan area as 
61.7 	defined in section 200.02, subdivision 24, and 7.5 percent for projects located outside 
61.8 	the metropolitan area, on capital investment on qualifying purchases as provided in 
61.9 	subdivision 5 with the total rebate for a project not to exceed $500,000;
61.10 	(2) an award of up to $500,000 based on full-time job creation and wages paid as 
61.11 	provided in subdivision 6 with the total award not to exceed $500,000;
61.12 	(3) up to $1,000,000 in capital investment rebates and $1,000,000 in job creation 
61.13 	awards for projects that have at least $25,000,000 in capital investment and 200 new 
61.14 	employees; and
61.15 	(4) up to $1,000,000 in capital investment rebates for projects that have at least 
61.16 	$25,000,000 in capital investment and 50 retained employees.
61.17 	(c) The job creation award may be provided in multiple years as long as the qualified 
61.18 	Minnesota job creation fund business continues to meet the job creation goals provided 
61.19 	for in its agreement under subdivision 3 and the total award does not exceed $500,000 
61.20 	except as provided under paragraph (b), clauses (3) and (4).
61.21 	(d) No rebates or award may be provided until the Minnesota job creation fund 
61.22 	business has at least $500,000 in capital investment in the project and at least ten full-time 
61.23 	jobs have been created and maintained for at least one year or the retained employees, as 
61.24 	provided in paragraph (b), clause (4), remain for at least one year. The agreement may 
61.25 	require additional performance outcomes that need to be achieved before rebates and 
61.26 	awards are provided. If fewer retained jobs are maintained, but still above the minimum 
61.27 	under this subdivision, the capital investment award shall be reduced on a proportionate 
61.28 	basis.
61.29 	(e) The forms needed to be submitted to document performance by the Minnesota 
61.30 	job creation fund business must be in the form and be made under the procedures specified 
61.31 	by the commissioner. The forms shall include documentation and certification by the 
61.32 	business that it is in compliance with the business subsidy agreement, sections 116J.871 
61.33 	and 116L.66, and other provisions as specified by the commissioner.
61.34 	(f) Minnesota job creation fund businesses must pay each new full-time employee 
61.35 	added pursuant to the agreement total compensation, including benefits not mandated by 
62.1 	law, that on an annualized basis is equal to at least 110 percent of the federal poverty 
62.2 	level for a family of four.
62.3 	(g) A Minnesota job creation fund business must demonstrate reasonable progress 
62.4 	on its capital investment expenditures within six months following designation as a 
62.5 	Minnesota job creation fund business to ensure that the capital investment goal in the 
62.6 	agreement under subdivision 1 will be met. The commissioner may determine that 
62.7 	a business not making reasonable progress will not be eligible for benefits under the 
62.8 	submitted application and will need to work with the local government unit to submit a 
62.9 	new application and request to be a Minnesota job creation fund business. Notwithstanding 
62.10 	any six-month goals noted in its agreement under subdivision 1, this action shall not be 
62.11 	considered a default of the business subsidy agreement.
62.12 		Subd. 5.Capital investment rebate. (a) A qualified Minnesota job creation fund 
62.13 	business is eligible for a rebate on the purchase and use of construction materials, services, 
62.14 	and supplies used for or consumed in the construction project as described in the goals 
62.15 	under the agreement provided under subdivision 1, paragraph (b).
62.16 	(b) The rebate under this subdivision applies regardless of whether the purchases are 
62.17 	made by the qualified Minnesota job creation fund business or a contractor hired to perform 
62.18 	work or provide services at the qualified Minnesota job creation fund business location.
62.19 	(c) Minnesota job creation fund businesses seeking the rebate for capital investment 
62.20 	provided under subdivision 4 must submit forms and applications to the Department of 
62.21 	Employment and Economic Development as prescribed by the commissioner of each 
62.22 	department.
62.23 		Subd. 6.Job creation award. (a) A qualified Minnesota job creation fund business 
62.24 	is eligible for an annual award for each new job created and maintained by the business 
62.25 	using the following schedule: $1,000 for each job position paying annual wages at least 
62.26 	$26,000 but less than $35,000; $2,000 for each job position paying at least $35,000 but 
62.27 	less than $45,000; and $3,000 for each job position paying at least $45,000; and as noted 
62.28 	in the goals under the agreement provided under subdivision 1.
62.29 	(b) The job creation award schedule must be adjusted annually using the percentage 
62.30 	increase in the federal poverty level for a family of four.
62.31 	(c) Minnesota job creation fund businesses seeking an award credit provided under 
62.32 	subdivision 4 must submit forms and applications to the Department of Employment and 
62.33 	Economic Development as prescribed by the commissioner.

62.34 	EFFECTIVE DATE. This section is effective January 1, 2014.

62.35 	Sec. 8. [116J.9661] TRADE POLICY ADVISORY GROUP.
63.1 		Subdivision 1.Establishment. A trade policy advisory group is established to 
63.2 	advise and assist the governor and the legislature regarding government procurement 
63.3 	agreements of United States trade agreements.
63.4 		Subd. 2.Membership. (a) The trade policy advisory group shall be appointed by 
63.5 	the governor and comprised of 12 members as follows:
63.6 	(1) two representatives of organized labor;
63.7 	(2) a representative of an organization representing environmental interests;
63.8 	(3) a representative of organizations representing family farmers;
63.9 	(4) two representatives from business and industry;
63.10 	(5) a representative of a nonprofit organization focused on international trade and 
63.11 	development;
63.12 	(6) the commissioner of employment and economic development or the 
63.13 	commissioner's designee;
63.14 	(7) two senators, including one member from the majority party and one member 
63.15 	from the minority party, appointed by the Subcommittee on Committees of the Committee 
63.16 	on Rules and Administration of the senate; and
63.17 	(8) two members of the house of representatives, including one member appointed 
63.18 	by the speaker of the house and one member appointed by the minority leader.
63.19 	(b) Members of the trade policy advisory group shall serve for a term of two years 
63.20 	and may be reappointed. Members shall serve until their successors have been appointed.
63.21 	(c) The trade policy advisory group may invite representatives from other state 
63.22 	agencies, industries, trade and labor organizations, nongovernmental organizations, and 
63.23 	local governments to join the group as nonvoting ex officio members.
63.24 		Subd. 3.Administration. (a) The commissioner of employment and economic 
63.25 	development or the commissioner's designee shall:
63.26 	(1) coordinate with the other appointing authorities to designate their representatives; 
63.27 	and
63.28 	(2) provide meeting space and administrative services for the group.
63.29 	(b) The members shall elect a chair from the legislative members of the working 
63.30 	group. The chair will assume responsibility for convening future meetings of the group.
63.31 	(c) Public members of the advisory group serve without compensation or payment of 
63.32 	expenses.
63.33 		Subd. 4.Duties. The trade policy advisory group shall:
63.34 	(1) serve as an advisory group to the governor and the legislature on matters relating 
63.35 	to government procurement agreements of United States trade agreements;
64.1 	(2) assess the potential impact of government procurement agreements on the state's 
64.2 	economy;
64.3 	(3) advise the governor and the legislature of the group's findings and make 
64.4 	recommendations, including any draft legislation necessary to implement the 
64.5 	recommendations, to the governor and the legislature;
64.6 	(4) determine, on a case-by-case basis, the impact of a specific government 
64.7 	procurement agreement by requesting input from state agencies, seeking expert advice, 
64.8 	convening public hearings, and taking other reasonable and appropriate actions;
64.9 	(5) provide advice on other issues related to trade agreements other than government 
64.10 	procurement agreements when specifically requested by the governor or the legislature;
64.11 	(6) request information from the Office of the United States Trade Representative 
64.12 	necessary to conduct an appropriate review of government procurement agreements or 
64.13 	other trade issues as directed by the governor or the legislature; and
64.14 	(7) receive information obtained by the United States Trade Representative's single 
64.15 	point of contact for Minnesota.
64.16 		Subd. 5.Report. The trade policy advisory group shall issue a report to the 
64.17 	legislature with its findings and recommendations no less than once per fiscal year.

64.18 	Sec. 9. [116J.978] MINNESOTA TRADE OFFICES IN FOREIGN MARKETS.
64.19 	(a) The commissioner of employment and economic development shall establish 
64.20 	three new Minnesota Trade Offices in key foreign markets selected for their potential to 
64.21 	increase Minnesota exports and attract foreign direct investment.
64.22 	(b) The commissioner shall establish a performance rating system for the new offices 
64.23 	established under this section and create specific annual goals for the offices to meet. The 
64.24 	commissioner shall monitor activities of the office, including, but not limited to, the number 
64.25 	of inquiries and projects received and completed, meetings arranged between Minnesota 
64.26 	companies and potential investors, distributors, or customers, and agreements signed.

64.27 	Sec. 10. [116J.979] MINNESOTA STEP GRANTS.
64.28 		Subdivision 1.Establishment. The commissioner of employment and economic 
64.29 	development shall create a State Trade and Export Promotion grants program, hereafter 
64.30 	STEP grants, to provide financial and technical assistance to eligible Minnesota small 
64.31 	businesses with an active interest in exporting products or services to foreign markets.
64.32 		Subd. 2.Grants. Recipients may apply, on an application devised by the 
64.33 	commissioner, for up to $7,500 in reimbursement for approved export-development 
64.34 	activities, including, but not limited to:
65.1 	(1) participation in trade missions;
65.2 	(2) export training;
65.3 	(3) exhibition at trade shows or industry-specific events;
65.4 	(4) translation of marketing materials;
65.5 	(5) development of foreign language Web sites, Gold Key, or other business 
65.6 	matchmaking services;
65.7 	(6) company-specific international sales activities; and
65.8 	(7) testing and certification required to sell products in foreign markets.

65.9 	Sec. 11. [116J.9801] INVEST MINNESOTA.
65.10 	The commissioner shall establish the Invest Minnesota marketing initiative. This 
65.11 	initiative must focus on branding the state's economic development initiatives and 
65.12 	promoting Minnesota business opportunities. The initiative may include measures to 
65.13 	communicate the benefits of doing business in Minnesota to companies considering 
65.14 	relocating, establishing a United States presence, or expanding.

65.15 	Sec. 12. [116L.191] WORKFORCE CENTER; CREDENTIAL ASSISTANCE.
65.16 	(a) The commissioner shall provide at local workforce centers services that 
65.17 	assist individuals in identifying and obtaining industry-recognized credentials for jobs, 
65.18 	particularly jobs in high demand. The workforce centers must consult and cooperate 
65.19 	with training institutions, particularly postsecondary institutions, to identify credential 
65.20 	programs to individuals.
65.21 	(b) Each workforce center shall provide information under section 116J.4011, 
65.22 	paragraph (b), clause (3), linked as a shortcut from the desktop of each workforce center 
65.23 	computer and available in hard copy. Prominent signs should be posted in workforce 
65.24 	centers directing individuals to where they can find a list of top job vacancies and related 
65.25 	credential information.

65.26 	Sec. 13. Minnesota Statutes 2012, section 116U.26, is amended to read:
65.27 	116U.26 FILM PRODUCTION JOBS PROGRAM.
65.28 	(a) The film production jobs program is created. The program shall be operated 
65.29 	by the Minnesota Film and TV Board with administrative oversight and control by the 
65.30 	commissioner of administration employment and economic development. The program 
65.31 	shall make payment to producers of feature films, national television or Internet programs, 
65.32 	documentaries, music videos, and commercials that directly create new film jobs in 
65.33 	Minnesota. To be eligible for a payment, a producer must submit documentation to the 
66.1 	Minnesota Film and TV Board of expenditures for production costs incurred in Minnesota 
66.2 	that are directly attributable to the production in Minnesota of a film product.
66.3 	The Minnesota Film and TV Board shall make recommendations to the 
66.4 	commissioner of administrationemployment and economic development about program 
66.5 	payment, but the commissioner has the authority to make the final determination on 
66.6 	payments. The commissioner's determination must be based on proper documentation of 
66.7 	eligible production costs submitted for payments. No more than five percent of the funds 
66.8 	appropriated for the program in any year may be expended for administration, including 
66.9 	costs for independent audits and financial reviews of projects.
66.10 	(b) For the purposes of this section:
66.11 	(1) "production costs" means the cost of the following:
66.12 	(i) a story and scenario to be used for a film;
66.13 	(ii) salaries of talent, management, and labor, including payments to personal 
66.14 	services corporations for the services of a performing artist;
66.15 	(iii) set construction and operations, wardrobe, accessories, and related services;
66.16 	(iv) photography, sound synchronization, lighting, and related services;
66.17 	(v) editing and related services;
66.18 	(vi) rental of facilities and equipment; or
66.19 	(vii) other direct costs of producing the film in accordance with generally accepted 
66.20 	entertainment industry practice; and
66.21 	(viii) above-the-line talent fees for nonresident talent; or
66.22 	(ix) costs incurred during postproduction; and
66.23 	(2) "film" means a feature film, television or Internet show,pilot, program, series, 
66.24 	documentary, music video, or television commercial, whether on film, video, or digital 
66.25 	media. Film does not include news, current events, public programming, or a program 
66.26 	that includes weather or market reports; a talk show; a production with respect to a 
66.27 	questionnaire or contest; a sports event or sports activity; a gala presentation or awards 
66.28 	show; a finished production that solicits funds; or a production for which the production 
66.29 	company is required under United States Code, title 18, section 2257, to maintain records 
66.30 	with respect to a performer portrayed in a single-media or multimedia program.
66.31 	(c) Notwithstanding any other law to the contrary, the Minnesota Film and TV Board 
66.32 	may make reimbursements of: (1) up to 2025 percent of film production costs for films that 
66.33 	locate production outside the metropolitan area, as defined in section 473.121, subdivision 
66.34 	2, or that incur production costs in excess of $5,000,000 in the metropolitan area within a 
66.35 	12-month period; or (2) up to 1520 percent of film production costs for films that incur 
66.36 	production costs of $5,000,000 or less in the metropolitan area within a 12-month period.

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

67.2 	Sec. 14. Minnesota Statutes 2012, section 136F.37, is amended to read:
67.3 	136F.37 JOB PLACEMENT IMPACT ON PROGRAM REVIEW; 
67.4 	INFORMATION TO STUDENTS.
67.5 		Subdivision 1.Colleges; technical occupational program. The board must 
67.6 	assess labor market data when conducting college program reviews. Colleges must 
67.7 	provide prospective students with the job placement rate for graduates of technical and 
67.8 	occupational programs offered at the colleges.
67.9 		Subd. 2.DEED labor market survey; MnSCU usage and disclosure. The data 
67.10 	assessed under subdivision 1 must include labor market data compiled by the Department 
67.11 	of Employment and Economic Development under section 116J.4011. The board and its 
67.12 	colleges and universities must use this market data when deciding upon course and program 
67.13 	offerings. The board must provide a link to this labor market data on its Internet portal.

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

67.15 	Sec. 15. Minnesota Statutes 2012, section 245.4712, subdivision 1, is amended to read:
67.16 		Subdivision 1.Availability of community support services. (a) County boards 
67.17 	must provide or contract for sufficient community support services within the county to 
67.18 	meet the needs of adults with serious and persistent mental illness who are residents of the 
67.19 	county. Adults may be required to pay a fee according to section 245.481. The community 
67.20 	support services program must be designed to improve the ability of adults with serious 
67.21 	and persistent mental illness to:
67.22 	(1) work in a regular or supported work environment find and maintain competitive 
67.23 	employment;
67.24 	(2) handle basic activities of daily living;
67.25 	(3) participate in leisure time activities;
67.26 	(4) set goals and plans; and
67.27 	(5) obtain and maintain appropriate living arrangements.
67.28 	The community support services program must also be designed to reduce the 
67.29 	need for and use of more intensive, costly, or restrictive placements both in number of 
67.30 	admissions and length of stay.
67.31 	(b) Community support services are those services that are supportive in nature and 
67.32 	not necessarily treatment oriented, and include:
68.1 	(1) conducting outreach activities such as home visits, health and wellness checks, 
68.2 	and problem solving;
68.3 	(2) connecting people to resources to meet their basic needs;
68.4 	(3) finding, securing, and supporting people in their housing;
68.5 	(4) attaining and maintaining health insurance benefits;
68.6 	(5) assisting with job applications, finding and maintaining employment, and 
68.7 	securing a stable financial situation;
68.8 	(6) fostering social support, including support groups, mentoring, peer support, and 
68.9 	other efforts to prevent isolation and promote recovery; and
68.10 	(7) educating about mental illness, treatment, and recovery.
68.11 	(c) Community support services shall use all available funding streams. The county 
68.12 	shall maintain the level of expenditures for this program, as required under section 
68.13 	245.4835. County boards must continue to provide funds for those services not covered 
68.14 	by other funding streams and to maintain an infrastructure to carry out these services. The 
68.15 	county is encouraged to fund evidence-based practices such as individual placement and 
68.16 	support supported employment and illness management and recovery.
68.17 	(d) The commissioner shall collect data on community support services programs, 
68.18 	including, but not limited to, demographic information such as age, sex, race, the number 
68.19 	of people served, and information related to housing, employment, hospitalization, 
68.20 	symptoms, and satisfaction with services.

68.21 	Sec. 16. Minnesota Statutes 2012, section 268A.13, is amended to read:
68.22 	268A.13 EMPLOYMENT SUPPORT SERVICES FOR PERSONS WITH 
68.23 	MENTAL ILLNESS.
68.24 	The commissioner of employment and economic development, in cooperation 
68.25 	with the commissioner of human services, shall develop a statewide program of grants 
68.26 	as outlined in section 268A.14 to provide services for persons with mental illness who 
68.27 	want to work in supported employment. Projects funded under this section must: (1) 
68.28 	assist persons with mental illness in obtaining and retaining competitive employment; (2) 
68.29 	emphasize individual community placements for clients client preferences; (3) ensure 
68.30 	interagency collaboration at the local level between vocational rehabilitation field offices, 
68.31 	county service agencies, community support programs operating under the authority of 
68.32 	section 245.4712, and community rehabilitation providers, in assisting clients; (4) ensure 
68.33 	services are integrated with mental health treatment; (5) provide benefits counseling; 
68.34 	(6) conduct rapid job search; and (4)(7) involve clients in the planning, development, 
68.35 	oversight, and delivery of support services. Project funds may not be used to provide 
69.1 	services in segregated settings such as the center-based employment subprograms as 
69.2 	defined in section 268A.01.
69.3 	The commissioner of employment and economic development, in consultation 
69.4 	with the commissioner of human services, shall develop a request for proposals which is 
69.5 	consistent with the requirements of this section and section 268A.14 and which specifies 
69.6 	the types of services that must be provided by grantees. Priority for funding shall be given 
69.7 	to organizations with experience in developing innovative employment support services 
69.8 	for persons with mental illness carrying out evidence-based practices. Each applicant for 
69.9 	funds under this section shall submit an evaluation protocol as part of the grant application.

69.10 	Sec. 17. Minnesota Statutes 2012, section 268A.14, subdivision 1, is amended to read:
69.11 		Subdivision 1.Employment support services and programs. The commissioner 
69.12 	of employment and economic development, in cooperation with the commissioner of 
69.13 	human services, shall operate a statewide system to reimburse providers for employment 
69.14 	support services for persons with mental illness. The system shall be operated to support 
69.15 	employment programs and services where:
69.16 	(1) services provided are readily accessible to all persons with mental illness who 
69.17 	want to work, including rapid competitive job search, so they can make progress toward 
69.18 	economic self-sufficiency;
69.19 	(2) services provided are made an integral part of all mental health treatment and 
69.20 	rehabilitation programs for persons with mental illness to ensure that they have the ability 
69.21 	and opportunity to consider a variety of work options;
69.22 	(3) programs help persons with mental illness form long-range plans for employment 
69.23 	that fit their skills and abilities by ensuring that ongoing time-unlimited support, crisis 
69.24 	management, placement, and career planning services are available;
69.25 	(4) services provided give persons with mental illness the information needed 
69.26 	to make informed choices about employment expectations and options, including 
69.27 	information on the types of employment available in the local community, the types of 
69.28 	employment services available, the impact of employment on eligibility for governmental 
69.29 	benefits, and career options;
69.30 	(5) programs assess whether persons with mental illness being serviced are satisfied 
69.31 	with the services and outcomes. Satisfaction assessments shall address at least whether 
69.32 	persons like their jobs, whether quality of life is improved, whether potential for 
69.33 	advancement exists, and whether there are adequate support services in place;
69.34 	(6) programs encourage persons with mental illness being served to be involved in 
69.35 	employment support services issues by allowing them to participate in the development of 
70.1 	individual rehabilitation plans and to serve on boards, committees, task forces, and review 
70.2 	bodies that shape employment services policies and that award grants, and by encouraging 
70.3 	and helping them to establish and participate in self-help and consumer advocacy groups;
70.4 	(7) programs encourage employers to expand employment opportunities for 
70.5 	persons with mental illness and, to maximize the hiring of persons with mental illness, 
70.6 	educate employers about the needs and abilities of persons with mental illness and the 
70.7 	requirements of the Americans with Disabilities Act;
70.8 	(8) programs encourage persons with mental illness, vocational rehabilitation 
70.9 	professionals, and mental health professionals to learn more about current work incentive 
70.10 	provisions in governmental benefits programs;
70.11 	(9) programs establish and maintain linkages with a wide range of other programs 
70.12 	and services, including educational programs, housing programs, economic assistance 
70.13 	services, community support services, and clinical services to ensure that persons with 
70.14 	mental illness can obtain and maintain employment;
70.15 	(10) programs participate in ongoing training across agencies and service delivery 
70.16 	systems so that providers in human services systems understand their respective roles, 
70.17 	rules, and responsibilities and understand the options that exist for providing employment 
70.18 	and community support services to persons with mental illness; and
70.19 	(11) programs work with local communities to expand system capacity to provide 
70.20 	access to employment services to all persons with mental illness who want them.

70.21 	Sec. 18. [383D.412] DAKOTA COUNTY COMMUNITY DEVELOPMENT 
70.22 	AGENCY; MINNESOTA INVESTMENT FUND.
70.23 		Subdivision 1.Treatment. As long as the conditions set forth in subdivision 2 are met 
70.24 	and notwithstanding the provisions of section 116J.8731, the Dakota County Community 
70.25 	Development Agency will be treated as if it were a general purpose local governmental unit 
70.26 	and may apply for and receive state-funded money from the Minnesota investment fund. 
70.27 		Subd. 2.Conditions precedent.  Conditions precedent to the treatment of the 
70.28 	Dakota County Community Development Agency as a general purpose local governmental 
70.29 	unit as described in subdivision 1 are:
70.30 	(a) the board of commissioners of Dakota County shall have adopted a resolution 
70.31 	approving such treatment of the Dakota County Community Development Agency, and 
70.32 	such resolution shall be in full force and effect and shall not have been revoked by 
70.33 	Dakota County; and
71.1 	(b) the members of the board of commissioners of Dakota County shall be the same 
71.2 	persons as the members of the board of commissioners of the Dakota County Community 
71.3 	Development Agency.

71.4 	Sec. 19. EMPLOYMENT SUPPORT AND INDEPENDENT LIVING SERVICES 
71.5 	FOR INDIVIDUALS WITH HIGH-FUNCTIONING AUTISM, ASPERGER'S 
71.6 	SYNDROME, NONVERBAL LEARNING DISORDERS, AND PERVASIVE 
71.7 	DEVELOPMENT DISORDER, NOT OTHERWISE SPECIFIED; PILOT 
71.8 	PROGRAM.
 71.9 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms 
71.10 	have the meanings given them.
71.11 	(b) "Communication" means the ability to effectively give and receive information 
71.12 	through spoken words, writing, speaking, listening, or other means of communication, 
71.13 	including but not limited to nonverbal expressions, gestures, or other adaptive methods.
71.14 	(c) "Functional areas" means communication, interpersonal skills, mobility, self-care, 
71.15 	self-direction, preemployment skills, work tolerance, and independent living skills.
71.16 	(d) "Independent living assessment" means an active, performance-based skill 
71.17 	assessment in the functional areas of communication, interpersonal skills, mobility, 
71.18 	self-care, self-direction, preemployment skills, and independent living skills, that provides 
71.19 	an analysis of the individual's ability to independently achieve certain skills and which 
71.20 	is performed through direct observation.
71.21 	(e) "Interpersonal skills" means the ability to establish and maintain personal, 
71.22 	family, work, and community relationships.
71.23 	(f) "Mobility" means the physical and psychological ability to move about from 
71.24 	place to place, including travel to and from destinations in the community for activities 
71.25 	of daily living, training, or work.
71.26 	(g) "Natural supports" means the process of assisting an employer to expand its 
71.27 	capacity for training, supervising, and supporting workers with disabilities.
71.28 	(h) "Ongoing employment support services" means any of the following services:
71.29 	(1) facilitation of natural supports at the work site;
71.30 	(2) disability awareness training for the worker, the worker's employer, supervisor, 
71.31 	or coworkers;
71.32 	(3) services necessary to increase the worker's inclusion at the work site;
71.33 	(4) job skills training at the work site;
71.34 	(5) regular observation or supervision of the worker; 
71.35 	(6) coordination of support services; 
72.1 	(7) job-related safety training; 
72.2 	(8) job-related advocacy skills training to advance employment;
72.3 	(9) training in independent living skills and support including self-advocacy, money 
72.4 	management and organization, grooming and personal care, communication, interpersonal 
72.5 	skills, problem solving, orientation and mobility, and using public transportation or 
72.6 	driver's training;
72.7 	(10) follow-up services necessary to reinforce and stabilize employment, including 
72.8 	regular contact with the worker's employer, supervisor or coworkers, parents, family 
72.9 	members, advocates, legal representatives, other suitable professionals, and informed 
72.10 	advisors;
72.11 	(11) training in job seeking skills; and
72.12 	(12) internships or career planning to assist the individual's advancement in 
72.13 	meaningful employment.
72.14 	(i) "Preemployment skills" means the abilities and skills to successfully apply for, 
72.15 	secure, and maintain competitive employment.
72.16 	(j) "Self-care" means skills needed to manage one's self or living environment, 
72.17 	including but not limited to money management, personal health care, personal hygiene, 
72.18 	and safety needs, including medication management.
72.19 	(k) "Self-direction" means the ability to plan, initiate, organize, or carry out 
72.20 	goal-directed activities or solve problems related to self-care, socialization, recreation, and 
72.21 	working independently.
72.22 	(l) "Severe impairment to employment" means limitations experienced by persons 
72.23 	diagnosed with high-functioning autism, Asperger's syndrome, nonverbal learning 
72.24 	disorders, or pervasive development disorder, not otherwise specified, due to an extended 
72.25 	history of unemployment or underemployment; limited education, training, or job skills; 
72.26 	and physical, intellectual, or emotional characteristics that seriously impair the individual's 
72.27 	ability to obtain and retain permanent employment.
72.28 	(m) "Work tolerance" means the ability to effectively and efficiently perform jobs 
72.29 	with various levels of sensory and environmental components including scent, noise, 
72.30 	visual stimuli, physical space, and psychological demands.
72.31 		Subd. 2.Employment support plan and outcomes. An individual participating in 
72.32 	the program under this section must develop an employment support plan that includes:
72.33 	(1) employment goals;
72.34 	(2) ongoing support services;
72.35 	(3) program outcomes that focus on competitive employment in the community; and
73.1 	(4) ongoing independent living services and employment supports necessary for the 
73.2 	individual to secure, maintain, and advance in employment that best fits the individual's 
73.3 	strengths and career goals.

73.4 	ARTICLE 4
73.5 	UNEMPLOYMENT INSURANCE

73.6 	Section 1. Minnesota Statutes 2012, section 116L.17, subdivision 4, is amended to read:
73.7 		Subd. 4.Use of funds. Funds granted by the board under this section may be used 
73.8 	for any combination of the following, except as otherwise provided in this section:
73.9 	(1) employment transition services such as developing readjustment plans for 
73.10 	individuals; outreach and intake; early readjustment; job or career counseling; testing; 
73.11 	orientation; assessment of skills and aptitudes; provision of occupational and labor market 
73.12 	information; job placement assistance; job search; job development; prelayoff assistance; 
73.13 	relocation assistance; and programs provided in cooperation with employers or labor 
73.14 	organizations to provide early intervention in the event of plant closings or substantial 
73.15 	layoffs; and entrepreneurial training and business consulting;
73.16 	(2) support services, including assistance to help the participant relocate to employ 
73.17 	existing skills; out-of-area job search assistance; family care assistance, including child 
73.18 	care; commuting assistance; emergency housing and rental assistance; counseling 
73.19 	assistance, including personal and financial; health care; emergency health assistance; 
73.20 	emergency financial assistance; work-related tools and clothing; and other appropriate 
73.21 	support services that enable a person to participate in an employment and training program 
73.22 	with the goal of reemployment;
73.23 	(3) specific, short-term training to help the participant enhance current skills 
73.24 	in a similar occupation or industry; entrepreneurial training, customized training, or 
73.25 	on-the-job training; basic and remedial education to enhance current skills; and literacy 
73.26 	and work-related English training for non-English speakers; and
73.27 	(4) long-term training in a new occupation or industry, including occupational skills 
73.28 	training or customized training in an accredited program recognized by one or more 
73.29 	relevant industries. Long-term training shall only be provided to dislocated workers 
73.30 	whose skills are obsolete and who have no other transferable skills likely to result in 
73.31 	employment at a comparable wage rate. Training shall only be provided for occupations or 
73.32 	industries with reasonable expectations of job availability based on the service provider's 
73.33 	thorough assessment of local labor market information where the individual currently 
73.34 	resides or is willing to relocate. This clause shall not restrict training in personal services 
73.35 	or other such industries.

74.1 	Sec. 2. Minnesota Statutes 2012, section 116L.17, is amended by adding a subdivision 
74.2 	to read:
74.3 		Subd. 11.Converting layoffs into Minnesota businesses (CLIMB). Converting 
74.4 	layoffs into Minnesota businesses (CLIMB) is created to assist dislocated workers in 
74.5 	starting or growing a business. CLIMB must offer entrepreneurial training, business 
74.6 	consulting, and technical assistance to dislocated workers seeking to start or grow a 
74.7 	business. The commissioner, in cooperation with local workforce councils, must provide 
74.8 	the assistance in this subdivision by:
74.9 	(1) encouraging closer ties between the Small Business Development Center 
74.10 	network, Small Business Development Center training providers, and workforce centers, 
74.11 	as well as other dislocated worker program service providers; and
74.12 	(2) eliminating grantee performance data disincentives that would otherwise prevent 
74.13 	enrollment of dislocated workers in entrepreneurship-related training.

74.14 	Sec. 3. Minnesota Statutes 2012, section 268.051, subdivision 5, is amended to read:
74.15 		Subd. 5.Tax rate for new employers. (a) Each new taxpaying employer that does 
74.16 	not qualify for an experience rating under subdivision 3, except new employers in a high 
74.17 	experience rating industry, must be assigned, for a calendar year, a tax rate the higher of 
74.18 	(1) one percent, or (2) the tax rate computed, to the nearest 1/100 of a percent, by dividing 
74.19 	the total amount of unemployment benefits paid all applicants during the 48 calendar 
74.20 	months ending on June 30 of the prior calendar year by the total taxable wages of all 
74.21 	taxpaying employers during the same period, plus the applicable base tax rate and any 
74.22 	additional assessments under subdivision 2, paragraph (c).
74.23 	(b) Each new taxpaying employer in a high experience rating industry that does not 
74.24 	qualify for an experience rating under subdivision 3, must be assigned, for a calendar year, 
74.25 	a tax rate the higher of (1) that assigned under paragraph (a), or (2) the tax rate, computed 
74.26 	to the nearest 1/100 of a percent, by dividing the total amount of unemployment benefits 
74.27 	paid to all applicants from high experience rating industry employers during the 48 
74.28 	calendar months ending on June 30 of the prior calendar year by the total taxable wages 
74.29 	of all high experience rating industry employers during the same period, to a maximum 
74.30 	provided for under subdivision 3, paragraph (b), plus the applicable base tax rate and any 
74.31 	additional assessments under subdivision 2, paragraph (c).
74.32 	(c) An employer is considered to be in a high experience rating industry if:
74.33 	(1) the employer is engaged in residential, commercial, or industrial construction, 
74.34 	including general contractors;
74.35 	(2) the employer is engaged in sand, gravel, or limestone mining;
75.1 	(3) the employer is engaged in the manufacturing of concrete, concrete products, 
75.2 	or asphalt; or
75.3 	(4) the employer is engaged in road building, repair, or resurfacing, including bridge 
75.4 	and tunnels and residential and commercial driveways and parking lots.
75.5 	(d) Regardless of any law to the contrary, a taxpaying employer must be assigned a 
75.6 	tax rate under this subdivision if:
75.7 	(1) the employer registers for a tax account under section 268.042 and for each of 
75.8 	the five calendar quarters after registering files a "no wages paid" report on wage detail 
75.9 	under section 268.044; or had no taxable wages during the experience rating period under 
75.10 	subdivision 3.
75.11 	(2) the employer has filed 14 consecutive quarterly "no wages paid" reports on 
75.12 	wage detail under section 268.044.
75.13 	(e) The commissioner must send to the new employer, by mail or electronic 
75.14 	transmission, a determination of tax rate. An employer may appeal the determination of 
75.15 	tax rate in accordance with the procedures in subdivision 6, paragraph (c).

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

75.17 	Sec. 4. Minnesota Statutes 2012, section 268.07, subdivision 3b, is amended to read:
75.18 		Subd. 3b.Limitations on applications and benefit accounts. (a) An application for 
75.19 	unemployment benefits is effective the Sunday of the calendar week that the application 
75.20 	was filed. An application for unemployment benefits may be backdated one calendar week 
75.21 	before the Sunday of the week the application was actually filed if the applicant requests 
75.22 	the backdating at the time the application is filed. An application may be backdated only if 
75.23 	the applicant had no employment was unemployed during the period of the backdating. 
75.24 	If an individual attempted to file an application for unemployment benefits, but was 
75.25 	prevented from filing an application by the department, the application is effective the 
75.26 	Sunday of the calendar week the individual first attempted to file an application.
75.27 	(b) A benefit account established under subdivision 2 is effective the date the 
75.28 	application for unemployment benefits was effective.
75.29 	(c) A benefit account, once established, may later be withdrawn only if:
75.30 	(1) the applicant has not been paid any unemployment benefits on that benefit 
75.31 	account; and
75.32 	(2) a new application for unemployment benefits is filed and a new benefit account is 
75.33 	established at the time of the withdrawal.
76.1 	A determination or amended determination of eligibility or ineligibility issued under 
76.2 	section 268.101, that was sent before the withdrawal of the benefit account, remains in 
76.3 	effect and is not voided by the withdrawal of the benefit account.
76.4 	(d) An application for unemployment benefits is not allowed before the Sunday 
76.5 	following the expiration of the benefit year on a prior benefit account. Except as allowed 
76.6 	under paragraph (c), an applicant may establish only one benefit account each 52 calendar 
76.7 	weeks.

76.8 	Sec. 5. Minnesota Statutes 2012, section 268.125, subdivision 1, is amended to read:
76.9 		Subdivision 1.Additional unemployment benefits; when available. Additional 
76.10 	unemployment benefits are available if:
76.11 	(1) MS 2008 [Expired, 2008 c 300 s 15]
76.12 	(2)(i) at a facility that had 100 or more employees, the employer reduced operations, 
76.13 	resulting within a one-month period in the layoff of 50 percent or more of the facility's 
76.14 	work force, including reductions caused as a result of a major natural disaster declared by 
76.15 	the president;
76.16 	(ii) the employer has no expressed plan to resume operations that would lead to the 
76.17 	reemployment of those employees in the immediate future; and
76.18 	(iii) the seasonally adjusted unemployment rate in the county that the facility is 
76.19 	located was ten percent or more during the month of the reduction or any of the three 
76.20 	months before or after the month of the reduction; or
76.21 	(3) the applicant stopped working because of a lockout. The term "lockout" has the 
76.22 	meaning given in section 179.01, subdivision 9. This clause does not apply to professional 
76.23 	athletes who are locked out by a professional sports team. This clause does not apply to 
76.24 	individuals whose total compensation was in excess of $150,000 in the previous year.

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

76.26 	Sec. 6. Minnesota Statutes 2012, section 268.125, subdivision 3, is amended to read:
76.27 		Subd. 3.Eligibility conditions. (a) An applicant is eligible to receive additional 
76.28 	unemployment benefits for any week during the applicant's benefit year if:
76.29 	(1) for any week during which benefits are available under subdivision 1, clause (1):
76.30 	(i) the applicant resides in a county that meets the requirements of subdivision 1, 
76.31 	clause (1), and resided in that county each week that regular unemployment benefits 
76.32 	were paid;
76.33 	(ii) the applicant was not paid unemployment benefits for any week in the 12 months 
76.34 	before the effective date of the applicant's benefit account;
77.1 	(iii) the applicant meets the same eligibility requirements that are required for 
77.2 	regular unemployment benefits under section 268.069; and
77.3 	(iv) MS 2008 [Expired, 2008 c 300 s 17]
77.4 	(2) (1)  the applicant was laid off from employment as a result of a reduction under 
77.5 	subdivision 1, clause (2), or was laid off because of lack of work from that employer 
77.6 	during the three-month period before, or the three-month period after, the month of the 
77.7 	reduction under subdivision 1, clause (2);
77.8 	(3) (2) the applicant meets the same eligibility requirements that are required for 
77.9 	regular unemployment benefits under section 268.069;
77.10 	(4) (3) the applicant has exhausted regular unemployment benefits under section 
77.11 	268.07, is not entitled to receive extended unemployment benefits under section 268.115, 
77.12 	and is not entitled to receive unemployment benefits under any other state or federal law 
77.13 	for that week; and
77.14 	(5) (4) a majority of the applicant's wage credits were from the employer that had a 
77.15 	reduction in operations under subdivision 1, clause (2).
77.16 	(b) An applicant who stopped working because of a lockout is eligible to receive 
77.17 	additional unemployment benefits for any week if:
77.18 	(1) the applicant meets the eligibility requirements under section 268.069;
77.19 	(2) the applicant has exhausted regular unemployment benefits under section 268.07 
77.20 	or the law of another state;
77.21 	(3) the applicant is not eligible for extended unemployment benefits or 
77.22 	unemployment benefits under any federal law; and
77.23 	(4) the lockout is in active progress.
77.24 	Section 268.085, subdivision 1, clause (2), does not apply to this paragraph.

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

77.26 	Sec. 7. Minnesota Statutes 2012, section 268.125, subdivision 4, is amended to read:
77.27 		Subd. 4.Weekly unemployment benefit amount. An applicant's weekly additional 
77.28 	unemployment benefit amount is the same as the applicant's weekly regular unemployment 
77.29 	benefit amount during the current benefit year under section 268.07.

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

77.31 	Sec. 8. Minnesota Statutes 2012, section 268.125, subdivision 5, is amended to read:
77.32 		Subd. 5.Maximum amount of unemployment benefits. (a) For an applicant 
77.33 	who qualifies for additional unemployment benefits under subdivision 1, clause (2), the 
78.1 	maximum amount of additional unemployment benefits available in the applicant's benefit 
78.2 	year is one-half of the applicant's maximum amount of regular unemployment benefits 
78.3 	available under section 268.07, subdivision 2. Extended unemployment benefits paid and 
78.4 	unemployment benefits paid under any federal law other than regular unemployment 
78.5 	benefits must be deducted from the maximum amount of additional unemployment 
78.6 	benefits available.
78.7 	(b) For an applicant who qualifies for additional unemployment benefits under 
78.8 	subdivision 1, clause (3), the applicant may receive additional unemployment benefits for 
78.9 	up to 156 weeks so long as the lockout is in active progress.

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

78.11 	Sec. 9. [268.133] UNEMPLOYMENT BENEFITS WHILE IN 
78.12 	ENTREPRENEURIAL TRAINING.
78.13 	Unemployment benefits are available to dislocated workers participating in the 
78.14 	converting layoffs into Minnesota businesses (CLIMB) program under section 116L.17, 
78.15 	subdivision 11. Applicants participating in CLIMB are considered in reemployment 
78.16 	assistance training under section 268.035, subdivision 21c. All requirements under section 
78.17 	268.069, subdivision 1, must be met, except the commissioner may waive:
78.18 	(1) the earnings deductible provisions in section 268.085, subdivision 5; and
78.19 	(2) the 32 hours of work limitation in section 268.085, subdivision 2, clause (6). A 
78.20 	maximum of 500 applicants may receive a waiver at any given time.

78.21 	Sec. 10. Minnesota Statutes 2012, section 268.136, subdivision 1, is amended to read:
78.22 		Subdivision 1.Shared work agreement plan requirements. (a) An employer 
78.23 	may submit a proposed shared work plan for an employee group to the commissioner 
78.24 	for approval in a manner and format set by the commissioner. The proposed agreement
78.25 	 shared work plan must include:
78.26 	(1) a certified statement that the normal weekly hours of work of all of the proposed 
78.27 	participating employees were full time or regular part time but are now reduced, or will be 
78.28 	reduced, with a corresponding reduction in pay, in order to prevent layoffs;
78.29 	(2) the name and Social Security number of each participating employee;
78.30 	(3) the number of layoffs that would have occurred absent the employer's ability to 
78.31 	participate in a shared work plan;
78.32 	(4) a certified statement of when that each participating employee was first hired by 
78.33 	the employer, which must be at least one year before the proposed agreement shared work 
78.34 	plan is submitted and is not a seasonal, temporary, or intermittent worker;
79.1 	(4) (5) the hours of work each participating employee will work each week for the 
79.2 	duration of the agreement shared work plan, which must be at least 20 one-half the normal 
79.3 	weekly hours and but no more than 32 hours per week, except that the agreement plan
79.4 	 may provide for a uniform vacation shutdown of up to two weeks;
79.5 	(6) a certified statement that any health benefits and pension benefits provided by 
79.6 	the employer to participating employees will continue to be provided under the same 
79.7 	terms and conditions as though the participating employees' hours of work each week had 
79.8 	not been reduced;
79.9 	(7) a certified statement that the terms and implementation of the shared work plan is 
79.10 	consistent with the employer's obligations under state and federal law;
79.11 	(8) an acknowledgement that the employer understands that unemployment benefits 
79.12 	paid under a shared work plan will be used in computing the future tax rate of a taxpaying 
79.13 	employer or charged to the reimbursable account of a nonprofit or government employer;
79.14 	(5) (9) the proposed duration of the agreement shared work plan, which must be 
79.15 	at least two months and not more than one year, although an agreement a plan may be 
79.16 	extended for up to an additional year upon approval of the commissioner;
79.17 	(6) (10) a starting date beginning on a Sunday at least 15 calendar days after the date 
79.18 	the proposed agreement shared work plan is submitted; and
79.19 	(7) (11) a signature of an owner or officer of the employer who is listed as an owner 
79.20 	or officer on the employer's account under section 268.045.
79.21 	(b) An agreement may not be approved for an employer that:
79.22 	(1) has any unemployment tax or reimbursements, including any interest, fees, 
79.23 	or penalties, due but unpaid; or
79.24 	(2) has the maximum experience rating provided for under section 268.051, 
79.25 	subdivision 3.

79.26 	Sec. 11. Minnesota Statutes 2012, section 268.136, subdivision 2, is amended to read:
79.27 		Subd. 2.Agreement Approval by commissioner. (a) The commissioner must 
79.28 	promptly review a proposed agreement shared work plan and notify the employer, by mail 
79.29 	or electronic transmission, within 15 days of receipt, whether the proposal satisfies the 
79.30 	requirements of this section and has been approved. If the proposal does not comply 
79.31 	with this section, the commissioner must specifically state why the proposal is not in 
79.32 	compliance. If a proposed agreement complies with this section shared work plan has 
79.33 	been approved, it must be implemented according to its terms.
80.1 	(b) The commissioner may reject an agreementnot approve a proposed shared work 
80.2 	plan if the commissioner has cause to believe the proposal is not was submitted for the a
80.3 	 purpose of other than preventing layoffs due to lack of work.
80.4 	(c) The commissioner may not approve a proposed shared work plan if the employer 
80.5 	has any unemployment tax or reimbursements, including any interest, fees, or penalties, 
80.6 	due but unpaid.
80.7 	(d) A shared work plan that has been approved by the commissioner is considered 
80.8 	a contract that is binding on the employer and the department. This contract may be 
80.9 	canceled or modified under subdivision 5.

80.10 	Sec. 12. Minnesota Statutes 2012, section 268.136, is amended by adding a subdivision 
80.11 	to read:
80.12 		Subd. 2a.Notice to participating employee. The employer must provide written 
80.13 	notification to each participating employee that the employer has submitted a proposed 
80.14 	shared work plan. The notification must be provided to the employee no later than the 
80.15 	time the commissioner notifies the employer that a proposed shared work plan has been 
80.16 	approved. The notification must inform the employee of the proposed terms of the 
80.17 	shared work plan along with notice to the employee of the employee's right to apply for 
80.18 	unemployment benefits.

80.19 	Sec. 13. Minnesota Statutes 2012, section 268.136, subdivision 3, is amended to read:
80.20 		Subd. 3.Applicant requirements. (a) An applicant, in order to be paid 
80.21 	unemployment benefits under this section, must meet all of the requirements under section 
80.22 	268.069, subdivision 1. The following provisions of section 268.085 do not apply to an 
80.23 	applicant under this section in an approved shared work plan:
80.24 	(1) the deductible earnings provision of section 268.085,under subdivision 5;
80.25 	(2) the restriction under section 268.085, subdivision 6 2, clause (6), if the applicant 
80.26 	works exactly 32 hours in a week;
80.27 	(3) the requirement of being available for suitable employment under subdivision 1, 
80.28 	clause (4), but only if the applicant is (i) available for the normal hours of work per week 
80.29 	with the shared work employer, or (ii) is in a training program when not working; and
80.30 	(4) the requirement of actively seeking suitable employment under subdivision 
80.31 	1, clause (5).
80.32 	(b) An applicant is ineligible for unemployment benefits under this section for 
80.33 	any week, if:
81.1 	(1) the applicant works more than 32 hours in a week in employment with one or 
81.2 	more employer; or.
81.3 	(2) the applicant works more hours in a week for the shared work employer than 
81.4 	the reduced weekly hours provided for in the agreement.

81.5 	Sec. 14. Minnesota Statutes 2012, section 268.136, subdivision 4, is amended to read:
81.6 		Subd. 4.Amount of unemployment benefits available. (a) The weekly benefit 
81.7 	amount and maximum amount of unemployment benefits available are computed 
81.8 	according to section 268.07, except that an applicant is paid the amount of benefits 
81.9 	available is a reduced amount in direct proportion to the reduction in hours set out in the 
81.10 	shared work plan from the normal weekly hours.
81.11 	(b) Regardless of paragraph (a), if the applicant works more hours in a week for the 
81.12 	shared work employer than the reduced weekly hours provided for in the shared work 
81.13 	plan, the amount of unemployment benefits available is a reduced amount in direct 
81.14 	proportion to the reduction in hours actually worked from the normal weekly hours.
81.15 	(c) If an applicant works fewer hours in a week for the shared work employer than 
81.16 	set out in the shared work plan, the amount of unemployment benefits are available in 
81.17 	accordance with paragraph (a).

81.18 	Sec. 15. Minnesota Statutes 2012, section 268.136, subdivision 5, is amended to read:
81.19 		Subd. 5.Cancellation; modification. (a) An employer may cancel an agreement a 
81.20 	shared work plan at any time upon seven calendar days' notice to the commissioner in a 
81.21 	manner and format prescribed by the commissioner. The cancellation must be signed by 
81.22 	an owner or officer of the employer.
81.23 	(b) An employer may request that the commissioner allow modification of the shared 
81.24 	work plan as to the hours of work each participating employee will work each week. The 
81.25 	request must be sent in a manner and form prescribed by the commissioner. The request 
81.26 	must be signed by an owner or officer of the employer. The commissioner must notify the 
81.27 	employer as soon as possible if the modification is allowed.
81.28 	(b) (c) An employer that cancels an agreement or requests modification of a shared 
81.29 	work plan must provide written notice to each participating employee in the group of the 
81.30 	cancellation or requested modification at the time notice is sent to the commissioner.
81.31 	(c) (d) If an employer cancels an agreement a shared work plan before the expiration 
81.32 	date provided for in subdivision 1, a new agreement shared work plan may not be entered 
81.33 	into with approved for that employer under this section for at least 60 calendar days.
82.1 	(d) (e) The commissioner may immediately cancel any agreement shared work plan
82.2 	 if the commissioner determines the agreement plan was based upon false information or 
82.3 	the employer is in breach has failed to adhere to the terms of the contract shared work plan. 
82.4 	The commissioner must immediately send written notice of cancellation to the employer. 
82.5 	An employer that receives notice of cancellation by the commissioner must provide 
82.6 	written notice to each participating employer in the group employee of the cancellation.

82.7 	Sec. 16. Minnesota Statutes 2012, section 268.199, is amended to read:
82.8 	268.199 CONTINGENT ACCOUNT.
82.9 	(a) There is created in the state treasury a special account, to be known as the 
82.10 	contingent account, that does not lapse nor revert to any other fund or account. This 
82.11 	account consists of all money collected under this chapter that is required to be placed 
82.12 	in this account and any interest earned on the account. All money in this account is 
82.13 	appropriated and available for administration of the Minnesota unemployment insurance 
82.14 	program unless otherwise appropriated by session law. The money deposited in the 
82.15 	account is transferred to the general fund.
82.16 	(b) All money in this account must be deposited, administered, and disbursed in the 
82.17 	same manner and under the same conditions and requirements as is provided by law for 
82.18 	the other special accounts in the state treasury.

82.19 	EFFECTIVE DATE. This section is effective July 1, 2013.

82.20 	Sec. 17. Minnesota Statutes 2012, section 268.23, is amended to read:
82.21 	268.23 SEVERABLE.
82.22 	In the event that If the United States Department of Labor determines that any 
82.23 	provision of the Minnesota Unemployment Insurance Law, or any other provision of 
82.24 	Minnesota Statutes relating to the unemployment insurance program, is not in conformity 
82.25 	with, or is inconsistent with, the requirements of federal law, the provision has no force 
82.26 	or effect; but. If only a portion of the provision, or the application to any person or 
82.27 	circumstances, is held determined not in conformity, or determined inconsistent, the 
82.28 	remainder of the provision and the application of the provision to other persons or 
82.29 	circumstances are not affected.

82.30 	Sec. 18. Laws 2012, chapter 201, article 1, section 3, the effective date, is amended to 
82.31 	read:

83.1 	EFFECTIVE DATE. This section is effective July 1, 2012, except the amendments 
83.2 	to paragraph (d) are effective for penalties imposed credited on or after July 1, 2013.

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

83.4 	Sec. 19. UNEMPLOYMENT INSURANCE EMPLOYER TAX REDUCTION.
 83.5 	(a) Notwithstanding Minnesota Statutes, section 268.051, subdivision 2, if, on 
83.6 	September 30, 2013, the balance in the Minnesota Unemployment Trust Fund is more than 
83.7 	$800,000,000, the base tax rate for calendar year 2014 is 0.1 percent, and there will be no 
83.8 	additional assessment assigned. If, on September 30, 2014, the balance in the Minnesota 
83.9 	Unemployment Trust Fund is more than $900,000,000, the base tax rate for calendar year 
83.10 	2015 is 0.1 percent, and there will be no additional assessment assigned.
83.11 	(b) This section expires December 31, 2015.

83.12 	Sec. 20. COMMISSIONER AUTHORIZED TO REQUEST SHARED WORK 
83.13 	FUNDS.
 83.14 	The commissioner of employment and economic development is authorized to 
83.15 	request federal funding for Minnesota's shared work unemployment benefit program 
83.16 	under Minnesota Statutes, section 268.136. Federal funding is available under the Middle 
83.17 	Class Tax Relief and Job Creation Act of 2012, Public Law 112-96. Federal funding 
83.18 	provided under that act for the shared work program must be immediately deposited in 
83.19 	the Minnesota Unemployment Insurance Trust Fund. The exception under Minnesota 
83.20 	Statutes, section 268.047, subdivision 2, clause (10), does not apply to the federal money.

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

83.22 	ARTICLE 5
83.23 	MISCELLANEOUS

83.24 	Section 1. Minnesota Statutes 2012, section 154.001, is amended by adding a 
83.25 	subdivision to read:
83.26 		Subd. 4.Comprehensive examination. "Comprehensive examination" means all 
83.27 	parts of a test administered by the board, including but not limited to written, oral, and 
83.28 	practical components.

83.29 	Sec. 2. Minnesota Statutes 2012, section 154.003, is amended to read:
83.30 	154.003 FEES.
84.1 	(a) The fees collected, as required in this chapter, chapter 214, and the rules of the 
84.2 	board, shall be paid to the board. The board shall deposit the fees in the general fund 
84.3 	in the state treasury.
84.4 	(b) The board shall charge the following fees:
84.5 	(1) examination and certificate, registered barber, $85;
84.6 	(2) retake of written examination, registered barber, $10;
84.7 	(2) (3) examination and certificate, apprentice, $80;
84.8 	(4) retake of written examination, apprentice, $10;
84.9 	(3) (5) examination, instructor, $180;
84.10 	(4) (6) certificate, instructor, $65;
84.11 	(5) (7) temporary teacher or apprentice permit, $80;
84.12 	(6) (8) renewal of license, registered barber, $80;
84.13 	(7) (9) renewal of license, apprentice, $70;
84.14 	(8) (10) renewal of license, instructor, $80;
84.15 	(9) (11) renewal of temporary teacher permit, $65;
84.16 	(10) (12) student permit, $45;
84.17 	(13) renewal of student permit, $25;
84.18 	(11) (14) initial shop registration, $85;
84.19 	(12) (15) initial school registration, $1,030;
84.20 	(13) (16) renewal shop registration, $85;
84.21 	(14) (17) renewal school registration, $280;
84.22 	(15) (18) restoration of registered barber license, $95;
84.23 	(16) (19) restoration of apprentice license, $90;
84.24 	(17) (20) restoration of shop registration, $105;
84.25 	(18) (21) change of ownership or location, $55;
84.26 	(19) (22) duplicate license, $40; and
84.27 	(20) (23) home study course, $95 $75;
84.28 	(24) letter of license verification, $25; and
84.29 	(25) reinspection, $100.

84.30 	Sec. 3. Minnesota Statutes 2012, section 154.02, is amended to read:
84.31 	154.02 WHAT CONSTITUTES BARBERING.
84.32 	Any one or any combination of the following practices when done upon the head 
84.33 	and neck for cosmetic purposes and not for the treatment of disease or physical or mental 
84.34 	ailments and when done for payment directly or indirectly or without payment for the 
84.35 	public generally constitutes the practice of barbering within the meaning of sections 
85.1 	154.001, 154.002, 154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26: 
85.2 	to shave the face or neck, trim the beard, cut or bob the hair of any person of either sex 
85.3 	for compensation or other reward received by the person performing such service or any 
85.4 	other person; to give facial and scalp massage or treatments with oils, creams, lotions, 
85.5 	or other preparations either by hand or mechanical appliances; to singe, shampoo the 
85.6 	hair, or apply hair tonics; or to apply cosmetic preparations, antiseptics, powders, oils, 
85.7 	clays, or lotions to hair, scalp, face, or neck.

85.8 	Sec. 4. Minnesota Statutes 2012, section 154.05, is amended to read:
85.9 	154.05 WHO MAY RECEIVE CERTIFICATES OF REGISTRATION AS A 
85.10 	REGISTERED BARBER.
85.11 	A person is qualified to receive a certificate of registration as a registered barber:
85.12 	(1) who is qualified under the provisions of section 154.06;
85.13 	(2) who has practiced as a registered apprentice for a period of 12 months under the 
85.14 	immediate personal supervision of a registered barber; and
85.15 	(3) who has passed an examination conducted by the board to determine fitness to 
85.16 	practice barbering.
85.17 	An apprentice applicant for a certificate of registration to practice as a registered 
85.18 	barber who fails to pass the comprehensive examination conducted by the board and 
85.19 	who fails to pass a onetime retake of the written examination, shall continue to practice 
85.20 	as an apprentice for an additional two months 300 hours before being again entitled to 
85.21 	take eligible to retake the comprehensive examination for a registered barber as many 
85.22 	times as necessary to pass.

85.23 	Sec. 5. Minnesota Statutes 2012, section 154.06, is amended to read:
85.24 	154.06 WHO MAY RECEIVE CERTIFICATES OF REGISTRATION AS A 
85.25 	REGISTERED APPRENTICE.
85.26 	A person is qualified to receive a certificate of registration as a registered apprentice:
85.27 	(1) who has completed at least ten grades of an approved school;
85.28 	(2) who has graduated from a barber school approved by the a barber board within 
85.29 	the previous four years; and
85.30 	(3) who has passed an examination conducted by the board to determine fitness to 
85.31 	practice as a registered apprentice. An applicant who graduated from a barber school 
85.32 	approved by a barber board more than four years prior to application is required to 
85.33 	complete a further course of study of at least 500 hours.
86.1 	An applicant for a an initial certificate of registration to practice as an apprentice,
86.2 	 who fails to pass the comprehensive examination conducted by the board, and who fails to 
86.3 	pass a onetime retake of the written examination,  is required to complete a further course 
86.4 	of study of at least 500 hours, of not more than eight hours in any one working day, in a 
86.5 	barber school approved by the board before being eligible to retake the comprehensive 
86.6 	examination as many times as necessary to pass.
86.7 	A certificate of registration of an apprentice shall be valid for four years from the 
86.8 	date the certificate of registration is issued by the board and shall not be renewed for a fifth 
86.9 	year. During the four-year period the certificate of registration shall remain in full force 
86.10 	and effect only if the apprentice complies with all the provisions of sections 154.001, 
86.11 	154.002, 154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26, including 
86.12 	the payment of an annual fee, and the rules of the board.
86.13 	If a registered apprentice, during the term in which the certificate of registration is in 
86.14 	effect, enters full-time active duty in the armed forces of the United States of America, 
86.15 	the expiration date of the certificate of registration shall be extended by a period of time 
86.16 	equal to the period or periods of active duty.
86.17 	If a registered apprentice graduates from a barber school approved by the board and 
86.18 	is issued a certificate of registration while incarcerated by the Department of Corrections 
86.19 	of the Federal Bureau of Prisons, the expiration date of the certificate of registration shall 
86.20 	be extended one time so that it expires four years from the date of first release from a 
86.21 	correctional facility.

86.22 	Sec. 6. Minnesota Statutes 2012, section 154.065, subdivision 2, is amended to read:
86.23 		Subd. 2.Qualifications. A person is qualified to receive a certificate of registration 
86.24 	as an instructor of barbering who:
86.25 	(1) is a graduate from of an approved high school, or its equivalent, as determined 
86.26 	by examination by the Department of Education;
86.27 	(2) has qualified for a teacher's or instructor's vocational certificate; successfully 
86.28 	completed vocational instructor training from a board-approved program or accredited 
86.29 	college or university program that includes the following courses or their equivalents as 
86.30 	determined by the board:
86.31 	(i) introduction to career and technical education training;
86.32 	(ii) philosophy and practice of career and technical education;
86.33 	(iii) course development for career and technical education;
86.34 	(iv) instructional methods for career and technical education; and
86.35 	(v) human relations;
87.1 	(3) is currently a registered barber and has at least three years experience as a 
87.2 	registered barber in this state, or its equivalent as determined by the board; and
87.3 	(4) has passed an examination conducted by the board to determine fitness to 
87.4 	instruct in barbering.
87.5 	A certificate of registration under this section is provisional until a teacher's or 
87.6 	instructor's vocational certificate has been issued by the Department of Education. A 
87.7 	provisional certificate of registration is valid for 30 days and is not renewable.

87.8 	Sec. 7. Minnesota Statutes 2012, section 154.07, subdivision 1, is amended to read:
87.9 		Subdivision 1.Admission requirements; course of instruction. No barber school 
87.10 	shall be approved by the board unless it requires, as a prerequisite to admission, ten grades 
87.11 	of an approved school or its equivalent, as determined by an examination conducted by 
87.12 	the commissioner of education, which shall issue a certificate that the student has passed 
87.13 	the required examination, and unless it requires, as a prerequisite to graduation, a course 
87.14 	of instruction of at least 1,500 hours, of not more than eight hours in any one working day. 
87.15 	The course of instruction must include the following subjects: scientific fundamentals 
87.16 	for barbering; hygiene; practical study of the hair, skin, muscles, and nerves; structure of 
87.17 	the head, face, and neck; elementary chemistry relating to sterilization and antiseptics; 
87.18 	diseases of the skin, hair, and glands; massaging and manipulating the muscles of the face 
87.19 	and neck; haircutting; shaving; trimming the beard; bleaching, tinting and dyeing the hair; 
87.20 	and the chemical waving and straightening of hair.

87.21 	Sec. 8. Minnesota Statutes 2012, section 154.08, is amended to read:
87.22 	154.08 APPLICATION; FEE.
87.23 	Each applicant for an examination shall:
87.24 	(1) make application to the Board of Barber Examiners on blank forms prepared and 
87.25 	furnished by it, the application to contain proof under the applicant's oath of the particular 
87.26 	qualifications and identity of the applicant;
87.27 	(2) furnish to the board two five-inch x three-inch signed photographs of the 
87.28 	applicant, one to accompany the application and one to be returned to the applicant, 
87.29 	to be presented to the board when the applicant appears for examination provide all 
87.30 	documentation required in support of the application; and
87.31 	(3) pay to the board the required fee; and
87.32 	(4) present a government-issued photo identification as proof of identity upon 
87.33 	application and when the applicant appears for examination.

88.1 	Sec. 9. Minnesota Statutes 2012, section 154.09, is amended to read:
88.2 	154.09 EXAMINATIONS, CONDUCT AND SCOPE.
88.3 	The board shall conduct examinations of applicants for certificates of registration to 
88.4 	practice as barbers and apprentices not more than six times each year, at such time and 
88.5 	place as the board may determine. Additional written examinations may be scheduled 
88.6 	by the board and conducted by board staff as designated by the board. The proprietor 
88.7 	of a barber school must file an affidavit shall be filed with the board by the proprietor 
88.8 	of a barber school that of hours completed by students applying to take the apprentice 
88.9 	examination have completed. Students must complete 1,500 hours in a barber school 
88.10 	registered with approved by the board.
88.11 	The examination of applicants for certificates of registration as barbers and 
88.12 	apprentices shall include both a practical demonstration and a written and oral test and 
88.13 	embrace. The examination must cover the subjects usually taught in barber schools 
88.14 	registered with the board.

88.15 	Sec. 10. Minnesota Statutes 2012, section 154.10, subdivision 1, is amended to read:
88.16 		Subdivision 1.Application. Each applicant for an initial certificate of registration 
88.17 	shall make application to the board on forms prepared and furnished by the board with 
88.18 	proof under oath of the particular qualifications and identity of each applicant. This 
88.19 	application shall be accompanied by a fee prescribed by law or the rules of the board to 
88.20 	defray the expenses of making investigation and for the examination of such applicant.

88.21 	Sec. 11. Minnesota Statutes 2012, section 154.11, subdivision 1, is amended to read:
88.22 		Subdivision 1.Examination of nonresidents. A person who meets all of the 
88.23 	requirements for barber registration in sections 154.001, 154.002, 154.003, 154.01 to 
88.24 	154.161, 154.19 to 154.21, and 154.24 to 154.26 and either has a license, certificate 
88.25 	of registration, or an equivalent as a practicing barber or instructor of barbering from 
88.26 	another state or country which in the discretion of the board has substantially the same 
88.27 	requirements for registering barbers and instructors of barbering as required by sections 
88.28 	154.001, 154.002, 154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26 or 
88.29 	can prove by sworn affidavits practice as a barber or instructor of barbering in another 
88.30 	state or country for at least five years immediately prior to making application in this state, 
88.31 	shall, upon payment of the required fee, be issued a certificate of registration without 
88.32 	examination, provided that the other state or country grants the same privileges to holders 
88.33 	of Minnesota certificates of registration.

89.1 	Sec. 12. Minnesota Statutes 2012, section 154.12, is amended to read:
89.2 	154.12 EXAMINATION OF NONRESIDENT APPRENTICES.
89.3 	A person who meets all of the requirements for registration as a barber in sections 
89.4 	154.001, 154.002, 154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26 and 
89.5 	who has a license, a certificate of registration, or its equivalent as an apprentice in a state 
89.6 	or country which in the discretion of the board has substantially the same requirements for 
89.7 	registration as an apprentice as is provided by sections 154.001, 154.002, 154.003, 154.01
89.8 	to 154.161, 154.19 to 154.21, and 154.24 to 154.26, shall, upon payment of the required 
89.9 	fee, be issued a certificate of registration without examination, provided that the other state 
89.10 	or country grants the same privileges to holders of Minnesota certificates of registration.

89.11 	Sec. 13. Minnesota Statutes 2012, section 154.14, is amended to read:
89.12 	154.14 CERTIFICATES OF REGISTRATION AND TEMPORARY PERMITS 
89.13 	TO BE DISPLAYED.
89.14 	Every holder of a certificate of registration as a registered barber or registered 
89.15 	apprentice or temporary apprentice permit shall display it the certificate or permit, with a 
89.16 	photograph of the certificate or permit holder that meets the same standards as required for 
89.17 	a United States passport, in a conspicuous place adjacent to or near the chair where work 
89.18 	is performed. Every holder of a certificate of registration as an instructor of barbering or 
89.19 	as a barber school, of a temporary permit as an instructor of barbering, shall display the 
89.20 	certificate or permit, with a photograph of the certificate or permit holder that meets the 
89.21 	same standards as required for a United States passport, in a conspicuous place accessible 
89.22 	to the public. Every holder of a certificate of registration as a barber school  and of a shop 
89.23 	registration card shall display it in a conspicuous place accessible to the public.

89.24 	Sec. 14. Minnesota Statutes 2012, section 154.15, subdivision 2, is amended to read:
89.25 		Subd. 2.Effect of failure to renew. A registered barber or a registered apprentice 
89.26 	who has not renewed a certificate of registration may be reinstated within one year four 
89.27 	years of such failure to renew without examination upon the payment of the required 
89.28 	restoration fee for each year the certificate is lapsed. A registered instructor of barbering 
89.29 	who has not renewed a certificate of registration may be reinstated within three four years 
89.30 	of such failure to renew without examination upon payment of the required restoration fee
89.31 	 for each year the certificate is lapsed. All registered barbers and registered apprentices 
89.32 	who allow their certificates of registration to lapse for more than one year four years shall 
89.33 	be required to reexamine before being issued a certificate of registration. All registered 
89.34 	instructors of barbering who allow their certificates of registration to lapse for more 
90.1 	than three four years shall be required to reexamine before being issued a certificate of 
90.2 	registration. A barber shop owner who has not renewed the barber shop certificate for more 
90.3 	than one year may reinstate the barber shop registration upon payment of the restoration 
90.4 	fee for each year the shop card was lapsed. If lapsed or unlicensed status is discovered by 
90.5 	the barber inspector during inspection, penalties under section 154.162 shall apply.

90.6 	Sec. 15. [154.162] ADMINISTRATIVE PENALTIES.
90.7 	The board shall impose and collect the following penalties:
90.8 	(1) missing or lapsed shop registration discovered upon inspection; penalty imposed 
90.9 	on shop owner: $500;
90.10 	(2) unlicensed or unregistered apprentice or registered barber, first occurrence 
90.11 	discovered upon inspection; penalty imposed on shop owner and unlicensed or 
90.12 	unregistered individual: $500; and
90.13 	(3) unlicensed or unregistered apprentice or registered barber, second occurrence 
90.14 	discovered upon inspection; penalty imposed on shop owner and unlicensed or 
90.15 	unregistered individual: $1,000.

90.16 	Sec. 16. Minnesota Statutes 2012, section 154.26, is amended to read:
90.17 	154.26 MUNICIPALITIES MAY REGULATE HOURS; REGULATION 
90.18 	AUTHORIZED.
90.19 	The governing body of any city of this state may regulate by ordinance the opening 
90.20 	and closing hours of barber shops within its municipal limits in addition to all other 
90.21 	applicable local regulations.

90.22 	Sec. 17. [154.27] MISREPRESENTATION.
90.23 	No person shall represent themselves to the public, solicit business, advertise as a 
90.24 	licensed barber or as operating a licensed barber shop, use the title or designation of barber 
90.25 	or barber shop, or engage in any other act or practice that would create the impression to 
90.26 	members of the public that the person is a licensed barber or is operating a licensed barber 
90.27 	shop unless the person holds the appropriate license under this chapter.

90.28 	Sec. 18. [154.28] SYMBOLS; BARBER POLE.
90.29 	No person shall place a barber pole in a location that would create or tend to create 
90.30 	the impression to the public that the business is a barber shop unless the operator holds a 
90.31 	valid license under this chapter. For the purposes of this section, "barber pole" means a 
91.1 	red and white or red, white, and blue striped vertical cylinder commonly recognized as 
91.2 	a barber pole.

91.3 	Sec. 19. Minnesota Statutes 2012, section 155A.23, subdivision 3, is amended to read:
91.4 		Subd. 3.Cosmetology. "Cosmetology" is the practice of personal services, for 
91.5 	compensation, for the cosmetic care of the hair, nails, and skin. These services include 
91.6 	cleaning, conditioning, shaping, reinforcing, coloring and enhancing the body surface in 
91.7 	the areas of the head, scalp, face, arms, hands, legs, and feet, and trunk of the body, except 
91.8 	where these services are performed by a barber under sections 154.001, 154.002, 154.003, 
91.9 	154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26.

91.10 	Sec. 20. Minnesota Statutes 2012, section 155A.23, subdivision 8, is amended to read:
91.11 		Subd. 8.Manager. A "manager" is any person who conducts, operates, or manages a 
91.12 	cosmetology school or salon and who also instructs in or provides any services, as defined 
91.13 	in subdivision 3. A school manager must maintain an active salon manager's license.

91.14 	Sec. 21. Minnesota Statutes 2012, section 155A.23, subdivision 11, is amended to read:
91.15 		Subd. 11.Instructor. An "instructor" is any person employed by a school to prepare 
91.16 	and present the theoretical and practical education of cosmetology to persons who seek to 
91.17 	practice cosmetology. An instructor must maintain an active operator or manager's license 
91.18 	in the area in which the instructor holds an instructor's license.

91.19 	Sec. 22. Minnesota Statutes 2012, section 155A.25, subdivision 1a, is amended to read:
91.20 		Subd. 1a.Schedule. The fee schedule for licensees is as follows for licenses issued 
91.21 	after June 30, 2010, and prior to July 1, 2013:
91.22 	(a) Three-year license fees:
91.23 	(1) cosmetologist,  nail technician manicurist, or esthetician:
91.24 	(i) $90 for each initial license and a $40 nonrefundable initial license application fee, 
91.25 	for a total of $130; and
91.26 	(ii) $60 for each renewal and a $15 nonrefundable renewal application fee, for 
91.27 	a total of $75;
91.28 	(2) instructor or manager:
91.29 	(i) $120 for each initial license and a $40 nonrefundable initial license application 
91.30 	fee, for a total of $160; and
91.31 	(ii) $90 for each renewal and a $15 nonrefundable renewal application fee, for a 
91.32 	total of $105;
92.1 	(3) salon:
92.2 	(i) $130 for each initial license and a $100 nonrefundable initial license application 
92.3 	fee, for a total of $230; and
92.4 	(ii) $100 for each renewal and a $50 nonrefundable renewal application fee, for a 
92.5 	total of $150; and
92.6 	(4) school:
92.7 	(i) $1,500 for each initial license and a $1,000 nonrefundable initial license 
92.8 	application fee, for a total of $2,500; and
92.9 	(ii) $1,500 for each renewal and a $500 nonrefundable renewal application fee, 
92.10 	for a total of $2,000.
92.11 	(b) Penalties:
92.12 	(1) reinspection fee, variable;
92.13 	(2) manager and owner with lapsed practitioner found on inspection, $150 each;
92.14 	(3) lapsed practitioner or instructor found on inspection, $200;
92.15 	(4) lapsed salon found on inspection, $500;
92.16 	(5) lapsed school found on inspection, $1,000;
92.17 	(6) failure to display current license, $100;
92.18 	(7) failure to dispose of single-use equipment, implements, or materials as provided 
92.19 	under section 155A.355, paragraph (a), $500;
92.20 	(8) use of prohibited razor-type callus shavers, rasps, or graters under section 
92.21 	155A.355, $500;
92.22 	(9) performing manicuring or cosmetology services in esthetician salon, or 
92.23 	performing esthetician or cosmetology services in manicure salon, $500;
92.24 	(10) owner and manager allowing an operator to work as an independent contractor, 
92.25 	$200;
92.26 	(11) operator working as an independent contractor, $100;
92.27 	(12) refusal or failure to cooperate with an inspection, $500;
92.28 	(3) (13) expired cosmetologist, manicurist, esthetician, manager, school manager, 
92.29 	and instructor license, $45; and
92.30 	(4) (14) expired salon or school license, $50.
92.31 	(c) Administrative fees:
92.32 	(1) certificate of identification, $20;
92.33 	(2) name change, $20;
92.34 	(3) letter of license verification, $30;
92.35 	(4) duplicate license, $20;
92.36 	(5) processing fee, $10;
93.1 	(6) special event permit, $75 per year; and
93.2 	(7) registration of hair braiders, $20 per year.

93.3 	Sec. 23. Minnesota Statutes 2012, section 155A.25, subdivision 4, is amended to read:
93.4 		Subd. 4.License expiration date. The board shall, in a manner determined by the 
93.5 	board and without the need for rulemaking under chapter 14, phase in changes to initial 
93.6 	and renewal license expiration dates so that by January 1, 2014:
93.7 	(1) individual licenses expire on the last day of the licensee's birth month of the 
93.8 	year due; and
93.9 	(2) salon and school licenses expire on the last day of the month of initial licensure 
93.10 	of the year due.

93.11 	Sec. 24. Minnesota Statutes 2012, section 155A.27, subdivision 4, is amended to read:
93.12 		Subd. 4.Testing. All theory, practical, and Minnesota law and rule testing must 
93.13 	be done by a board-approved provider. Appropriate standardized tests shall be used and 
93.14 	shall include subject matter relative to the application of Minnesota law. In every case, 
93.15 	the primary consideration shall be to safeguard the health and safety of consumers by 
93.16 	determining the competency of the applicants to provide the services indicated.

93.17 	Sec. 25. Minnesota Statutes 2012, section 155A.27, subdivision 10, is amended to read:
93.18 		Subd. 10.Nonresident licenses. (a) A nonresident cosmetologist, manicurist, or 
93.19 	esthetician may be licensed in Minnesota if the individual has completed cosmetology 
93.20 	school in a state or country with the same or greater school hour requirements, has an 
93.21 	active license in that state or country, and has passed a board-approved theory and 
93.22 	practice-based examination, the Minnesota-specific written operator examination for 
93.23 	cosmetologist, manicurist, or esthetician. If a test is used to verify the qualifications of 
93.24 	trained cosmetologists, the test should be translated into the nonresident's native language 
93.25 	within the limits of available resources. Licenses shall not be issued under this subdivision 
93.26 	for managers or instructors.
93.27 	(b) If an individual has less than the required number of school hours, the individual 
93.28 	must have had a current active license in another state or country for at least three 
93.29 	years and have passed a board-approved theory and practice-based examination, or 
93.30 	the Minnesota-specific written operator examination for cosmetologist, manicurist, or 
93.31 	esthetician. If a test is used to verify the qualifications of trained cosmetologists, the test 
93.32 	should be translated into the nonresident's native language within the limits of available 
93.33 	resources. Licenses must not be issued under this subdivision for managers or instructors.
94.1 	(c) Applicants claiming training and experience in a foreign country shall supply 
94.2 	official English-language translations of all required documents from a board-approved 
94.3 	source.

94.4 	Sec. 26. Minnesota Statutes 2012, section 155A.29, subdivision 2, is amended to read:
94.5 		Subd. 2.Requirements. (a) The conditions and process by which a salon is licensed 
94.6 	shall be established by the board by rule. In addition to those requirements, no license 
94.7 	shall be issued unless the board first determines that the conditions in clauses (1) to (5) 
94.8 	have been satisfied:
94.9 	(1) compliance with all local and state laws, particularly relating to matters of 
94.10 	sanitation, health, and safety;
94.11 	(2) the employment of a manager, as defined in section 155A.23, subdivision 8;
94.12 	(3) inspection and licensing prior to the commencing of business;
94.13 	(4) (3) if applicable, evidence of compliance with section 176.182; and
94.14 	(5) (4) evidence of continued professional liability insurance coverage of at least 
94.15 	$25,000 for each claim and $50,000 total coverage for each policy year for each operator.
94.16 	(b) A licensed esthetician or manicurist who complies with the health, safety, 
94.17 	sanitation, inspection, and insurance rules promulgated by the board to operate a salon 
94.18 	solely for the performance of those personal services defined in section 155A.23, 
94.19 	subdivision 5, in the case of an esthetician, or subdivision 7, in the case of a manicurist.

94.20 	Sec. 27. Minnesota Statutes 2012, section 155A.30, is amended by adding a 
94.21 	subdivision to read:
94.22 		Subd. 11.Instruction requirements. (a) Instruction may be offered for no more 
94.23 	than ten hours per day per student.
94.24 	(b) Instruction must be given within a licensed school building. Online instruction is 
94.25 	permitted for board-approved theory-based classes. Practice-based classes must not be 
94.26 	given online.

94.27 	Sec. 28. [155A.355] PROHIBITED USES.
94.28 	(a) Single-use equipment, implements, or materials that are made or constructed of 
94.29 	paper, wood, or other porous materials must only be used for one application or client 
94.30 	service. Presence of used articles in the work area is prima facie evidence of reuse. 
94.31 	Failure to dispose of the materials in this paragraph is punishable by penalty under section 
94.32 	155A.25, subdivision 1a, paragraph (b), clause (7).
95.1 	(b) Razor-type callus shavers, rasps, or graters designed and intended to cut growths 
95.2 	of skin such as corns and calluses, including but not limited to credo blades, are prohibited. 
95.3 	Presence of these articles in the work area is prima facie evidence of use and may be 
95.4 	punishable by penalty in section 155A.25, subdivision 1a, paragraph (b), clause (8);
95.5 	(c) Licensees must not use any of the following substances or products in performing 
95.6 	cosmetology services:
95.7 	(1) methyl methacrylate liquid monomers, also known as MMA; and
95.8 	(2) fumigants, including but not limited to formalin tablets or formalin liquids.

95.9 	Sec. 29. [179.90] OFFICE OF COLLABORATION AND DISPUTE 
95.10 	RESOLUTION.
95.11 	The commissioner of mediation services shall establish an Office of Collaboration 
95.12 	and Dispute Resolution within the bureau. The office must:
95.13 	(1) promote the broad use of community mediation in the state, ensuring that all areas 
95.14 	of the state have access to services by providing grants to private nonprofits entities certified 
95.15 	by the state court administrator under chapter 494 that assist in resolution of disputes;
95.16 	(2) assist state agencies, offices of the executive, legislative, and judicial branches, 
95.17 	and units of local government in improving collaboration and dispute resolution;
95.18 	(3) support collaboration and dispute resolution in the public and private sector by 
95.19 	providing technical assistance and information on best practices and new developments in 
95.20 	dispute resolution options; 
95.21 	(4) educate the public and governmental entities on dispute resolution options; and
95.22 	(5) promote and utilize collaborative dispute resolution models and processes based 
95.23 	on documented best practices including, but not limited to, the Minnesota Solutions model:
95.24 	(i) establishing criteria and procedures for identification and assessment of dispute 
95.25 	resolution projects;
95.26 	(ii) designating projects and appointing impartial convenors by the commissioner 
95.27 	or the commissioner's designee;
95.28 	(iii) forming multidisciplinary conflict resolution teams; and
95.29 	(iv) utilizing collaborative techniques, processes, and standards through facilitated 
95.30 	meetings until consensus among parties is reached in resolving a dispute.

95.31 	Sec. 30. [179.91] GRANTS.
95.32 		Subdivision 1.Authority. The commissioner of mediation services shall to the 
95.33 	extent funds are appropriated for this purpose, make grants to private nonprofit community 
95.34 	mediation entities certified by the state court administrator under chapter 494 that assist 
96.1 	in resolution of disputes. The commissioner shall establish a grant review committee to 
96.2 	assist in the review of grant applications and the allocation of grants under this section.
96.3 		Subd. 2.Eligibility.  To be eligible for a grant under this section, a nonprofit 
96.4 	organization must meet the requirements of section 494.05, subdivision 1, clauses (1), 
96.5 	(2), (4), and (5).
96.6 		Subd. 3.Conditions and exclusions.  A nonprofit entity receiving a grant must 
96.7 	agree to comply with guidelines adopted by the state court administrator under section 
96.8 	494.015, subdivision 1. Sections 16B.97 and 16B.98 and policies adopted under those 
96.9 	sections apply to grants under this section. The exclusions in section 494.03 apply to 
96.10 	grants under this section.
96.11 		Subd. 4.Reporting.  Grantees must report data required under chapter 494 to 
96.12 	evaluate quality and outcomes.

96.13 	Sec. 31. Minnesota Statutes 2012, section 326A.04, subdivision 2, is amended to read:
96.14 		Subd. 2.Timing. (a) Certificates must be initially issued and renewed for periods of 
96.15 	not more than three years annually but in any event must expire on December 31 in the year 
96.16 	prescribed by the board by rule. Applications for certificates must be made in the form, and 
96.17 	in the case of applications for renewal between the dates, specified by the board in rule. 
96.18 	The board shall grant or deny an application no later than 90 days after the application is 
96.19 	filed in proper form. If the applicant seeks the opportunity to show that issuance or renewal 
96.20 	of a certificate was mistakenly denied, or if the board is unable to determine whether it 
96.21 	should be granted or denied, the board may issue to the applicant a provisional certificate 
96.22 	that expires 90 days after its issuance, or when the board determines whether or not to 
96.23 	issue or renew the certificate for which application was made, whichever occurs first.
96.24 	(b) Certificate holders who do not provide professional services and do not use the 
96.25 	certified public accountant designation in any manner are not required to renew their 
96.26 	certificates provided they have notified the board as provided in board rule and comply 
96.27 	with the requirements for nonrenewal as specified in board rule.
96.28 	(c) Applications for renewal of a certificate that are complete and timely filed with 
96.29 	the board and are not granted or denied by the board before January 1 are renewed on a 
96.30 	provisional basis as of January 1 and for 90 days thereafter, or until the board grants or 
96.31 	denies the renewal of the certificate, whichever occurs first, provided the licensee meets 
96.32 	the requirements in this chapter and rules adopted by the board.

96.33 	EFFECTIVE DATE. This section is effective for licenses issued or renewed after 
96.34 	January 1, 2014.

97.1 	Sec. 32. Minnesota Statutes 2012, section 326A.04, subdivision 3, is amended to read:
97.2 		Subd. 3.Residents of other states. (a) With regard to an applicant who must 
97.3 	obtain a certificate in this state because the applicant does not qualify under the substantial 
97.4 	equivalency standard in section 326A.14, subdivision 1, the board shall issue a certificate 
97.5 	to a holder of a certificate, license, or permit issued by another state upon a showing that:
97.6 	(1) the applicant passed the examination required for issuance of a certificate in 
97.7 	this state;
97.8 	(2) the applicant had four years of experience of the type described in section 
97.9 	326A.03, subdivision 6, paragraph (b), if application is made on or after July 1, 2006, 
97.10 	or section 326A.03, subdivision 8, if application is made before July 1, 2006; or the 
97.11 	applicant meets equivalent requirements prescribed by the board by rule, after passing 
97.12 	the examination upon which the applicant's certificate was based and within the ten years 
97.13 	immediately preceding the application;
97.14 	(3) if the applicant's certificate, license, or permit was issued more than four years 
97.15 	prior to the application for issuance of an initial certificate under this subdivision, that the 
97.16 	applicant has fulfilled the requirements of continuing professional education that would 
97.17 	have been applicable under subdivision 4; and
97.18 	(4) the applicant has met the qualifications prescribed by the board by rule.
97.19 	(b) A certificate holder licensed by another state who establishes a principal place 
97.20 	of business in this state shall request the issuance of a certificate from the board prior to 
97.21 	establishing the principal place of business. The board shall issue a certificate to the person 
97.22 	if the person's individual certified public accountant qualifications, upon verification, are 
97.23 	substantially equivalent to the certified public accountant licensure requirements of this 
97.24 	chapter or the person meets equivalent requirements as the board prescribes by rule. 
97.25 	Residents of this state who provide professional services in this state at an office location 
97.26 	in this state shall be considered to have their principal place of business in this state.

97.27 	Sec. 33. Minnesota Statutes 2012, section 326A.04, subdivision 5, is amended to read:
97.28 		Subd. 5.Fee. (a) The board shall charge a fee for each application for initial 
97.29 	issuance or renewal of a certificate under this section as provided in paragraph (b).
97.30 	(b) The board shall charge the following fees:
97.31 	(1) initial issuance of certificate, $150;
97.32 	(2) renewal of certificate with an active status, $100 per year;
97.33 	(3) initial CPA firm permits, except for sole practitioners, $100;
97.34 	(4) renewal of CPA firm permits, except for sole practitioners and those firms 
97.35 	specified in clause (17), $35 per year;
98.1 	(5) initial issuance and renewal of CPA firm permits for sole practitioners, except for 
98.2 	those firms specified in clause (17), $35 per year;
98.3 	(6) annual late processing delinquency fee for permit, certificate, or registration 
98.4 	renewal applications not received prior to expiration date, $50;
98.5 	(7) copies of records, per page, 25 cents;
98.6 	(8) registration of noncertificate holders, nonlicensees, and nonregistrants in 
98.7 	connection with renewal of firm permits, $45 per year;
98.8 	(9) applications for reinstatement, $20;
98.9 	(10) initial registration of a registered accounting practitioner, $50;
98.10 	(11) initial registered accounting practitioner firm permits, $100;
98.11 	(12) renewal of registered accounting practitioner firm permits, except for sole 
98.12 	practitioners, $100 per year;
98.13 	(13) renewal of registered accounting practitioner firm permits for sole practitioners, 
98.14 	$35 per year;
98.15 	(14) CPA examination application, $40;
98.16 	(15) CPA examination, fee determined by third-party examination administrator;
98.17 	(16) renewal of certificates with an inactive status, $25 per year; and
98.18 	(17) renewal of CPA firm permits for firms that have one or more offices located in 
98.19 	another state, $68 per year.

98.20 	Sec. 34. Minnesota Statutes 2012, section 326A.04, subdivision 7, is amended to read:
98.21 		Subd. 7.Certificates issued by foreign countries. The board shall issue a 
98.22 	certificate to a holder of a generally equivalent foreign country designation, provided that:
98.23 	(1) the foreign authority that granted the designation makes similar provision to 
98.24 	allow a person who holds a valid certificate issued by this state to obtain the foreign 
98.25 	authority's comparable designation;
98.26 	(2) the foreign designation:
98.27 	(i) was duly issued by a foreign authority that regulates the practice of public 
98.28 	accountancy and the foreign designation has not expired or been revoked or suspended;
98.29 	(ii) entitles the holder to issue reports upon financial statements; and
98.30 	(iii) was issued upon the basis of educational, examination, and experience 
98.31 	requirements established by the foreign authority or by law; and
98.32 	(3) the applicant:
98.33 	(i) received the designation, based on educational and examination standards 
98.34 	generally equivalent to those in effect in this state, at the time the foreign designation 
98.35 	was granted;
99.1 	(ii) has, within the ten years immediately preceding the application, completed an 
99.2 	experience requirement that is generally equivalent to the requirement in section 326A.03, 
99.3 	subdivision 6, paragraph (b), if application is made on or after July 1, 2006, or section 
99.4 	326A.03, subdivision 8, if application is made before July 1, 2006, in the jurisdiction that 
99.5 	granted the foreign designation; completed four years of professional experience in this 
99.6 	state; or met equivalent requirements prescribed by the board by rule; and
99.7 	(iii) passed a uniform qualifying examination in national standards and an 
99.8 	examination on the laws, regulations, and code of ethical conduct in effect in this state 
99.9 	as the board prescribes by rule.

99.10 	Sec. 35. Minnesota Statutes 2012, section 326A.10, is amended to read:
99.11 	326A.10 UNLAWFUL ACTS.
99.12 	(a) Only a licensee and individuals who have been granted practice privileges 
99.13 	under section 326A.14 may issue a report on financial statements of any person, firm, 
99.14 	organization, or governmental unit that results from providing attest services, or offer to 
99.15 	render or render any attest service. Only a certified public accountant, an individual who 
99.16 	has been granted practice privileges under section 326A.14, a CPA firm, or, to the extent 
99.17 	permitted by board rule, a person registered under section 326A.06, paragraph (b), may 
99.18 	issue a report on financial statements of any person, firm, organization, or governmental 
99.19 	unit that results from providing compilation services or offer to render or render any 
99.20 	compilation service. These restrictions do not prohibit any act of a public official or 
99.21 	public employee in the performance of that person's duties or prohibit the performance 
99.22 	by any nonlicensee of other services involving the use of accounting skills, including 
99.23 	the preparation of tax returns, management advisory services, and the preparation of 
99.24 	financial statements without the issuance of reports on them. Nonlicensees may prepare 
99.25 	financial statements and issue nonattest transmittals or information on them which do not 
99.26 	purport to be in compliance with the Statements on Standards for Accounting and Review 
99.27 	Services (SSARS). Nonlicensees registered under section 326A.06, paragraph (b), may, 
99.28 	to the extent permitted by board rule, prepare financial statements and issue nonattest 
99.29 	transmittals or information on them.
99.30 	(b) Licensees and individuals who have been granted practice privileges under 
99.31 	section 326A.14 performing attest or compilation services must provide those services in 
99.32 	accordance with professional standards. To the extent permitted by board rule, registered 
99.33 	accounting practitioners performing compilation services must provide those services in 
99.34 	accordance with standards specified in board rule.
100.1 	(c) A person who does not hold a valid certificate issued under section 326A.04 
100.2 	or a practice privilege granted under section 326A.14 shall not use or assume the title 
100.3 	"certified public accountant," the abbreviation "CPA," or any other title, designation, 
100.4 	words, letters, abbreviation, sign, card, or device tending to indicate that the person is a 
100.5 	certified public accountant.
100.6 	(d) A firm shall not provide attest services or assume or use the title "certified public 
100.7 	accountants," the abbreviation "CPA's," or any other title, designation, words, letters, 
100.8 	abbreviation, sign, card, or device tending to indicate that the firm is a CPA firm unless 
100.9 	(1) the firm has complied with section 326A.05, and (2) ownership of the firm is in 
100.10 	accordance with this chapter and rules adopted by the board.
100.11 	(e) A person or firm that does not hold a valid certificate or permit issued under 
100.12 	section 326A.04 or 326A.05 or has not otherwise complied with section 326A.04 or 
100.13 	326A.05 as required in this chapter shall not assume or use the title "certified accountant," 
100.14 	"chartered accountant," "enrolled accountant," "licensed accountant," "registered 
100.15 	accountant," "accredited accountant," "accounting practitioner," "public accountant," 
100.16 	"licensed public accountant," or any other title or designation likely to be confused 
100.17 	with the title "certified public accountant," or use any of the abbreviations "CA," "LA," 
100.18 	"RA," "AA," "PA," "AP," "LPA," or similar abbreviation likely to be confused with the 
100.19 	abbreviation "CPA." The title "enrolled agent" or "EA" may only be used by individuals 
100.20 	so designated by the Internal Revenue Service.
100.21 	(f) Persons registered under section 326A.06, paragraph (b), may use the title 
100.22 	"registered accounting practitioner" or the abbreviation "RAP." A person who does not 
100.23 	hold a valid registration under section 326A.06, paragraph (b), shall not assume or use 
100.24 	such title or abbreviation.
100.25 	(g) Except to the extent permitted in paragraph (a), nonlicensees may not use 
100.26 	language in any statement relating to the financial affairs of a person or entity that is 
100.27 	conventionally used by licensees in reports on financial statements. In this regard, the 
100.28 	board shall issue by rule safe harbor language that nonlicensees may use in connection 
100.29 	with such financial information. A person or firm that does not hold a valid certificate or 
100.30 	permit, or a registration issued under section 326A.04, 326A.05, or 326A.06, paragraph 
100.31 	(b), or has not otherwise complied with section 326A.04 or 326A.05 as required in this 
100.32 	chapter shall not assume or use any title or designation that includes the word "accountant" 
100.33 	or "accounting" in connection with any other language, including the language of a report, 
100.34 	that implies that the person or firm holds such a certificate, permit, or registration or has 
100.35 	special competence as an accountant. A person or firm that does not hold a valid certificate 
100.36 	or permit issued under section 326A.04 or 326A.05 or has not otherwise complied with 
101.1 	section 326A.04 or 326A.05 as required in this chapter shall not assume or use any title 
101.2 	or designation that includes the word "auditor" in connection with any other language, 
101.3 	including the language of a report, that implies that the person or firm holds such a 
101.4 	certificate or permit or has special competence as an auditor. However, this paragraph 
101.5 	does not prohibit any officer, partner, member, manager, or employee of any firm or 
101.6 	organization from affixing that person's own signature to any statement in reference to the 
101.7 	financial affairs of such firm or organization with any wording designating the position, 
101.8 	title, or office that the person holds, nor prohibit any act of a public official or employee in 
101.9 	the performance of the person's duties as such.
101.10 	(h)(1) No person holding a certificate or registration or firm holding a permit under 
101.11 	this chapter shall use a professional or firm name or designation that is misleading about 
101.12 	the legal form of the firm, or about the persons who are partners, officers, members, 
101.13 	managers, or shareholders of the firm, or about any other matter. However, names of one 
101.14 	or more former partners, members, managers, or shareholders may be included in the 
101.15 	name of a firm or its successor.
101.16 	(2) A common brand name or network name part, including common initials, used 
101.17 	by a CPA firm in its name, is not misleading if the firm is a network firm as defined in 
101.18 	the American Institute of Certified Public Accountants (AICPA) Code of Professional 
101.19 	Conduct in effect July 1, 2011, and when offering or rendering services that require 
101.20 	independence under AICPA standards, the firm must comply with the AICPA code's 
101.21 	applicable standards on independence.
101.22 	(i) Paragraphs (a) to (h) do not apply to a person or firm holding a certification, 
101.23 	designation, degree, or license granted in a foreign country entitling the holder to engage 
101.24 	in the practice of public accountancy or its equivalent in that country, if:
101.25 	(1) the activities of the person or firm in this state are limited to the provision of 
101.26 	professional services to persons or firms who are residents of, governments of, or business 
101.27 	entities of the country in which the person holds the entitlement;
101.28 	(2) the person or firm performs no attest or compilation services and issues no reports 
101.29 	with respect to the financial statements of any other persons, firms, or governmental 
101.30 	units in this state; and
101.31 	(3) the person or firm does not use in this state any title or designation other than 
101.32 	the one under which the person practices in the foreign country, followed by a translation 
101.33 	of the title or designation into English, if it is in a different language, and by the name 
101.34 	of the country.
101.35 	(j) No holder of a certificate issued under section 326A.04 may perform attest services 
101.36 	through any business form that does not hold a valid permit issued under section 326A.05.
102.1 	(k) No individual licensee may issue a report in standard form upon a compilation 
102.2 	of financial information through any form of business that does not hold a valid permit 
102.3 	issued under section 326A.05, unless the report discloses the name of the business through 
102.4 	which the individual is issuing the report, and the individual:
102.5 	(1) signs the compilation report identifying the individual as a certified public 
102.6 	accountant;
102.7 	(2) meets the competency requirement provided in applicable standards; and
102.8 	(3) undergoes no less frequently than once every three years, a peer review 
102.9 	conducted in a manner specified by the board in rule, and the review includes verification 
102.10 	that the individual has met the competency requirements set out in professional standards 
102.11 	for such services.
102.12 	(l) No person registered under section 326A.06, paragraph (b), may issue a report 
102.13 	in standard form upon a compilation of financial information unless the board by rule 
102.14 	permits the report and the person:
102.15 	(1) signs the compilation report identifying the individual as a registered accounting 
102.16 	practitioner;
102.17 	(2) meets the competency requirements in board rule; and
102.18 	(3) undergoes no less frequently than once every three years a peer review conducted 
102.19 	in a manner specified by the board in rule, and the review includes verification that the 
102.20 	individual has met the competency requirements in board rule.
102.21 	(m) Nothing in this section prohibits a practicing attorney or firm of attorneys from 
102.22 	preparing or presenting records or documents customarily prepared by an attorney or firm 
102.23 	of attorneys in connection with the attorney's professional work in the practice of law.
102.24 	(n) The board shall adopt rules that place limitations on receipt by a licensee or a 
102.25 	person who holds a registration under section 326A.06, paragraph (b), of:
102.26 	(1) contingent fees for professional services performed; and
102.27 	(2) commissions or referral fees for recommending or referring to a client any 
102.28 	product or service.
102.29 	(o) Anything in this section to the contrary notwithstanding, it shall not be a violation 
102.30 	of this section for a firm not holding a valid permit under section 326A.05 and not having 
102.31 	an office in this state to provide its professional services in this state so long as it complies 
102.32 	with the applicable requirements of section 326A.05, subdivision 1.

102.33 	Sec. 36. REVISOR'S INSTRUCTION.
 102.34 	(a) The revisor of statutes shall change the term "manicurist" to "nail technician" 
102.35 	wherever it appears in Minnesota Rules and Statutes.
103.1 	(b) The revisor of statutes shall change the term "licensed" to "registered" and 
103.2 	"license" to "registration" wherever it appears in Minnesota Statutes, chapter 154, or 
103.3 	applicable Minnesota Rules.

103.4 	Sec. 37.  REPEALER.
 103.5 	(a) Minnesota Statutes 2012, sections 116W.01; 116W.02; 116W.03; 116W.035; 
103.6 	116W.04; 116W.05; 116W.06; 116W.20; 116W.21; 116W.23; 116W.24; 116W.25; 
103.7 	116W.26; 116W.27; 116W.28; 116W.29; 116W.30; 116W.31; 116W.32; 116W.33; 
103.8 	116W.34; 155A.25, subdivision 1; and 326A.03, subdivisions 2, 5, and 8, are repealed.
103.9 	(b) Minnesota Rules, parts 1105.0600; 1105.2550; and 1105.2700, are repealed.

103.10 	ARTICLE 6
103.11 	COMMERCE AND CONSUMER PROTECTION APPROPRIATIONS

103.12	Section 1.  SUMMARY OF APPROPRIATIONS.
 	
103.13 	The amounts shown in this section summarize direct appropriations, by fund, made 
103.14 	in this article.

103.15			2014
		2015
		Total
	
103.16	General
	$
	44,608,000
	$
	44,868,000
	$
	89,476,000
	
103.17	Special Revenue
		4,898,000
		4,940,000
		9,838,000
	
103.18	Petroleum Tank
		1,052,000
		1,052,000
		2,104,000
	
103.19	Workers' Compensation
		751,000
		751,000
		1,502,000
	
103.20	Lottery Prize Fund
		225,000
		225,000
		450,000
	
103.21	Total
	$
	51,534,000
	$
	51,836,000
	$
	103,370,000

103.22	Sec. 2. COMMERCE AND CONSUMER PROTECTION APPROPRIATIONS.
 	
103.23 	The sums shown in the columns marked "Appropriations" are appropriated to the 
103.24 	agencies and for the purposes specified in this article. The appropriations are from the 
103.25 	general fund, or another named fund, and are available for the fiscal years indicated 
103.26 	for each purpose. The figures "2014" and "2015" used in this article mean that the 
103.27 	appropriations listed under them are available for the fiscal year ending June 30, 2014, or 
103.28 	June 30, 2015, respectively. "The first year" is fiscal year 2014. "The second year" is fiscal 
103.29 	year 2015. "The biennium" is fiscal years 2014 and 2015.

103.30				APPROPRIATIONS
	
103.31				Available for the Year
	
103.32				Ending June 30
	
103.33					2014
		2015

104.1	Sec. 3. DEPARTMENT OF COMMERCE

104.2	Subdivision 1.Total Appropriation
 	$
	26,126,000
	$
	26,048,000

104.3	Appropriations by Fund
	
104.4		2014
	2015
	
104.5	General
	24,323,000
	24,245,000
	
104.6	Petroleum Tank
	1,052,000
	1,052,000
	
104.7
104.8	Workers' 
Compensation
	751,000
	751,000
	
104.9 	The amounts that may be spent for each 
104.10 	purpose are specified in the following 
104.11 	subdivisions.

104.12	Subd. 2.Financial Institutions
 		4,885,000
		4,885,000
	
104.13 	$142,000 each year is for the regulation of 
104.14 	mortgage originators and servicers under 
104.15 	Minnesota Statutes, chapters 58 and 58A.

104.16
104.17	Subd. 3.Petroleum Tank Release 
Compensation Board
 		1,052,000
		1,052,000
	
104.18 	This appropriation is from the petroleum 
104.19 	tank fund.

104.20	Subd. 4.Administrative Services
 		6,689,000
		6,865,000
	
104.21 	$375,000 each year is for additional 
104.22 	compliance efforts with unclaimed property. 
104.23 	The commissioner may issue contracts for 
104.24 	these services.
104.25 	$25,000 each year is for newspaper 
104.26 	advertising directed at persons who own or 
104.27 	may own unclaimed property. By June 30 
104.28 	of each year, the commissioner shall submit 
104.29 	a report to the house and senate committees 
104.30 	with jurisdiction over the department of the 
104.31 	results of the newspaper advertisements 
104.32 	in returning property to the owners. This 
104.33 	appropriation for newspaper advertising and 
104.34 	the requirement of a report is for fiscal years 
104.35 	2014 and 2015 only.
105.1 	Fees for the Weights and Measures Unit are 
105.2 	increased by 30 percent during fiscal year 
105.3 	2014. All fees are deposited to the general 
105.4 	fund as nondedicated revenue.
105.5 	Base adjustment. $174,000 in fiscal year 
105.6 	2014 and $350,000 in fiscal year 2015 is 
105.7 	added to the base.

105.8	Subd. 5.Telecommunications
 		1,509,000
		1,259,000
	
105.9 	$500,000 in fiscal year 2014 and $250,000 
105.10 	in fiscal year 2015 are for the Broadband 
105.11 	Development Office. $250,000 of the 
105.12 	appropriation for fiscal year 2014 is a onetime 
105.13 	appropriation for grants to low-payment-rate 
105.14 	nursing facilities for information technology 
105.15 	or telecommunications equipment upgrades.
105.16 	The following transfer is from the 
105.17 	telecommunications access Minnesota 
105.18 	fund. $500,000 the first year and $800,000 
105.19 	the second year and each year thereafter 
105.20 	are for transfer to the commissioner of 
105.21 	human services to supplement the ongoing 
105.22 	operational expenses of the Commission 
105.23 	of Deaf, DeafBlind, and Hard-of-Hearing 
105.24 	Minnesotans.

105.25	Subd. 6.Enforcement
 		4,824,000
		4,820,000

105.26	Appropriations by Fund
	
105.27	General
	4,626,000
	4,622,000
	
105.28
105.29	Workers' 
Compensation
	198,000
	198,000
	
105.30 	Of the general fund amount, $646,000 in 
105.31 	fiscal year 2014 and $642,000 in fiscal year 
105.32 	2015 is to establish the regulation of gold 
105.33 	bullion dealers.

105.34	Subd. 7.Energy Resources
 		3,252,000
		3,252,000

106.1	Subd. 8.Insurance
 		3,915,000
		3,915,000

106.2	Appropriations by Fund
	
106.3	General
	3,362,000
	3,362,000
	
106.4
106.5	Workers' 
Compensation
	553,000
	553,000

106.6	Sec. 4. PUBLIC UTILITIES COMMISSION
 	$
	6,226,000
	$
	6,277,000
	
106.7 	Base adjustment. $48,000 in fiscal year 
106.8 	2014 and $99,000 in fiscal year 2015 is 
106.9 	added to the base.

106.10	Sec. 5. GAMBLING CONTROL
 	$
	3,989,000
	$
	4,021,000
	
106.11 	These appropriations are from the lawful 
106.12 	gambling regulation account in the special 
106.13 	revenue fund.
106.14 	Base adjustment. $30,000 in fiscal year 
106.15 	2014 and $62,000 in fiscal year 2015 is 
106.16 	added to the base.

106.17	Sec. 6. RACING COMMISSION
 	$
	909,000
	$
	919,000
	
106.18 	These appropriations are from the racing 
106.19 	and card playing regulation accounts in the 
106.20 	special revenue fund.
106.21 	Base adjustment. $10,000 in fiscal year 
106.22 	2014 and $20,000 in fiscal year 2015 is 
106.23 	added to the base.

106.24	Sec. 7. STATE LOTTERY
 					
106.25 	Notwithstanding Minnesota Statutes, section 
106.26 	349A.10, subdivision 3, the operating budget 
106.27 	must not exceed $30,500,000 in fiscal year 
106.28 	2014 and $30,500,000 in fiscal year 2015.

106.29	Sec. 8. EXPLORE MINNESOTA TOURISM
 	$
	14,059,000
	$
	14,096,000
	
107.1 	(a) Of this amount, $12,000 each year is for a 
107.2 	grant to the Upper Minnesota Film Office.
107.3 	(b)(1) To develop maximum private sector 
107.4 	involvement in tourism, $500,000 in fiscal 
107.5 	year 2014 and $500,000 in fiscal year 2015 
107.6 	must be matched by Explore Minnesota 
107.7 	Tourism from nonstate sources. Each $1 of 
107.8 	state incentive must be matched with $6 of 
107.9 	private sector funding. Cash match is defined 
107.10 	as revenue to the state or documented cash 
107.11 	expenditures directly expended to support 
107.12 	Explore Minnesota Tourism programs. Up 
107.13 	to one-half of the private sector contribution 
107.14 	may be in-kind or soft match. The incentive 
107.15 	in fiscal year 2014 shall be based on fiscal 
107.16 	year 2013 private sector contributions. The 
107.17 	incentive in fiscal year 2015 shall be based on 
107.18 	fiscal year 2014 private sector contributions. 
107.19 	This incentive is ongoing.
107.20 	(2) Funding for the marketing grants is 
107.21 	available either year of the biennium. 
107.22 	Unexpended grant funds from the first year 
107.23 	are available in the second year.
107.24 	(3) Unexpended money from the general 
107.25 	fund appropriations made under this section 
107.26 	does not cancel but must be placed in a 
107.27 	special marketing account for use by Explore 
107.28 	Minnesota Tourism for additional marketing 
107.29 	activities.
107.30 	(c) $325,000 in fiscal year 2014 and $325,000 
107.31 	in fiscal year 2015 are for the Minnesota 
107.32 	Film and TV Board. The appropriation in 
107.33 	each year is available only upon receipt by 
107.34 	the board of $1 in matching contributions 
107.35 	of money or in-kind contributions from 
108.1 	nonstate sources for every $3 provided by 
108.2 	this appropriation, except that each year up 
108.3 	to $50,000 is available on July 1 even if the 
108.4 	required matching contribution has not been 
108.5 	received by that date.
108.6 	(d) Base adjustment. $34,000 in fiscal 
108.7 	year 2014 and $71,000 in fiscal year 2015 
108.8 	is added to the base.

108.9 	Sec. 9. PROBLEM GAMBLING APPROPRIATION.
 108.10 	$225,000 in fiscal year 2014 and $225,000 in fiscal year 2015 are appropriated 
108.11 	from the lottery prize fund to the commissioner of human services for a grant to the 
108.12 	state affiliate recognized by the National Council on Problem Gambling. The affiliate 
108.13 	must provide services to increase public awareness of problem gambling, education, 
108.14 	and training for individuals and organizations providing effective treatment services to 
108.15 	problem gamblers and their families, and research relating to problem gambling. These 
108.16 	services must be complementary to and not duplicative of the services provided through 
108.17 	the problem gambling program administered by the commissioner of human services. 
108.18 	This is a onetime appropriation.

108.19 	ARTICLE 7
108.20 	COMMERCE AND CONSUMER PROTECTION POLICY

108.21 	Section 1. Minnesota Statutes 2012, section 60A.14, subdivision 1, is amended to read:
108.22 		Subdivision 1.Fees other than examination fees. In addition to the fees and 
108.23 	charges provided for examinations, the following fees must be paid to the commissioner 
108.24 	for deposit in the general fund:
108.25 	(a) by township mutual fire insurance companies;
108.26 	(1) for filing certificate of incorporation $25 and amendments thereto, $10;
108.27 	(2) for filing annual statements, $15;
108.28 	(3) for each annual certificate of authority, $15;
108.29 	(4) for filing bylaws $25 and amendments thereto, $10;
108.30 	(b) by other domestic and foreign companies including fraternals and reciprocal 
108.31 	exchanges;
108.32 	(1) for filing an application for an initial certification of authority to be admitted 
108.33 	to transact business in this state, $1,500;
109.1 	(2) for filing certified copy of certificate of articles of incorporation, $100;
109.2 	(3) for filing annual statement, $225;
109.3 	(4) for filing certified copy of amendment to certificate or articles of incorporation, 
109.4 	$100;
109.5 	(5) for filing bylaws, $75 or amendments thereto, $75;
109.6 	(6) for each company's certificate of authority, $575, annually;
109.7 	(c) the following general fees apply:
109.8 	(1) for each certificate, including certified copy of certificate of authority, renewal, 
109.9 	valuation of life policies, corporate condition or qualification, $25;
109.10 	(2) for each copy of paper on file in the commissioner's office 50 cents per page, 
109.11 	and $2.50 for certifying the same;
109.12 	(3) for license to procure insurance in unadmitted foreign companies, $575;
109.13 	(4) for valuing the policies of life insurance companies, one cent per $1,000 of 
109.14 	insurance so valued, provided that the fee shall not exceed $13,000 per year for any 
109.15 	company. The commissioner may, in lieu of a valuation of the policies of any foreign life 
109.16 	insurance company admitted, or applying for admission, to do business in this state, accept 
109.17 	a certificate of valuation from the company's own actuary or from the commissioner of 
109.18 	insurance of the state or territory in which the company is domiciled;
109.19 	(5) for receiving and filing certificates of policies by the company's actuary, or by 
109.20 	the commissioner of insurance of any other state or territory, $50;
109.21 	(6) for each appointment of an agent filed with the commissioner, $10 $30;
109.22 	(7) for filing forms, rates, and compliance certifications under section 60A.315, $140 
109.23 	per filing, or $125 per filing when submitted via electronic filing system. Filing fees 
109.24 	may be paid on a quarterly basis in response to an invoice. Billing and payment may 
109.25 	be made electronically;
109.26 	(8) for annual renewal of surplus lines insurer license, $300.
109.27 	The commissioner shall adopt rules to define filings that are subject to a fee.

109.28 	Sec. 2. [80G.01] REGISTRATION.
109.29 	(a) The fee for each registration under this chapter shall be as follows:
109.30 	(1) bullion coin dealers, $25; and
109.31 	(2) coin dealer representatives, $10.
109.32 	(b) The commissioner, based on the cost of processing registrations, may adjust the 
109.33 	registration fee on an annual basis as needed.

109.34 	Sec. 3. [161.462] FIBER COLLABORATION DATABASE.
110.1 		Subdivision 1.Purpose. The purpose of the fiber collaboration database is 
110.2 	to provide broadband providers with advance notice of upcoming Department of 
110.3 	Transportation construction projects, so that they may notify the department of their 
110.4 	interest in installing broadband infrastructure within the right-of-way during construction 
110.5 	in order to minimize installation costs.
110.6 		Subd. 2.Database. (a) The Department of Transportation shall post on its Web site, 
110.7 	and update annually, the list of upcoming construction projects contained in its statewide 
110.8 	transportation improvement program, including, for each project:
110.9 	(1) the geographical location where construction will occur;
110.10 	(2) the estimated start and end dates of construction; and
110.11 	(3) a description of the nature of the construction project.
110.12 	(b) The department shall post this information as far in advance of the beginning of 
110.13 	construction as is feasible.
110.14 	(c) The department's Web site shall allow a provider of broadband service to register 
110.15 	to receive from the department electronic information on proposed construction projects 
110.16 	added to the database in specific geographical areas of the state as soon as it is updated.

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

110.18 	Sec. 4. Minnesota Statutes 2012, section 237.012, subdivision 3, is amended to read:
110.19 		Subd. 3.Annual reports. The commissioner of commerce must annually by 
110.20 	February 10 report on the achievement of the goals under subdivisions 1 and 2 to the chairs 
110.21 	and ranking minority members of the legislative committees with primary jurisdiction 
110.22 	over telecommunication issues. The report must also suggest policies, incentives, and 
110.23 	legislation designed to accelerate the achievement of the goals. The report on goals under 
110.24 	subdivision 1 must be made through 2015.

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

110.26 	Sec. 5. [237.85] OFFICE OF BROADBAND DEVELOPMENT.
110.27 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms 
110.28 	have the meanings given them.
110.29 	(b) "Broadband" or "broadband service" means any service providing advanced 
110.30 	telecommunications capability and Internet access with transmission speeds that, at a 
110.31 	minimum, meet the Federal Communications Commission definition for broadband.
110.32 	(c) "Local unit of government" has the meaning given in section 116G.03, 
110.33 	subdivision 3.
111.1 	(d) "Office" means the Office of Broadband Development established in subdivision 
111.2 	2, paragraph (a).
111.3 		Subd. 2.Office established; purpose. (a) An Office of Broadband Development is 
111.4 	established within the Department of Commerce.
111.5 	(b) The purpose of the office is to encourage, foster, develop, and improve broadband 
111.6 	within the state in order to:
111.7 	(1) drive job creation, promote innovation, and expand markets for Minnesota 
111.8 	businesses;
111.9 	(2) serve the ongoing and growing needs of Minnesota's education systems, health 
111.10 	care system, public safety system, industries and businesses, governmental operations, 
111.11 	and citizens; and
111.12 	(3) improve accessibility for underserved communities and populations.
111.13 		Subd. 3.Organization. The office shall consist of a director of the Office of 
111.14 	Broadband Development, as well as any staff necessary to carry out the office's duties 
111.15 	under subdivision 4.
111.16 		Subd. 4.Duties. The office shall have the power and duty to:
111.17 	(1) serve as the central broadband planning body for the state of Minnesota;
111.18 	(2) coordinate with state, regional, local, and private entities to develop, to the 
111.19 	maximum extent practicable, a uniform statewide broadband access and usage policy;
111.20 	(3) develop, recommend, and implement a statewide plan to encourage cost-effective 
111.21 	broadband access, and to make recommendations for increased usage, particularly in 
111.22 	rural and other underserved areas;
111.23 	(4) coordinate efforts, in consultation and cooperation with the commissioner of 
111.24 	commerce, local units of government, and private entities, to meet the state's broadband 
111.25 	goals in section 237.012;
111.26 	(5) develop, coordinate, and implement the state's broadband infrastructure 
111.27 	development program under section 237.90;
111.28 	(6) provide consultation services to local units of government or other project 
111.29 	sponsors in connection with the planning, acquisition, improvement, construction, or 
111.30 	development of any broadband deployment project;
111.31 	(7) encourage public-private partnerships to increase deployment and adoption 
111.32 	of broadband services and applications, including recommending funding options and 
111.33 	possible incentives to encourage investment in broadband expansion;
111.34 	(8) monitor the broadband development efforts of other states and nations in areas 
111.35 	such as business, education, public safety, and health;
112.1 	(9) monitor broadband-related activities at the federal level, including regulatory and 
112.2 	policy changes and the potential impact on broadband deployment and sustainability in 
112.3 	the state;
112.4 	(10) serve as an information clearinghouse for federal programs providing financial 
112.5 	assistance to institutions located in rural areas seeking to obtain access to high speed 
112.6 	broadband service, and use this information as an outreach tool to make institutions 
112.7 	located in rural areas that are unserved or underserved with respect to broadband service 
112.8 	aware of the existence of federal assistance;
112.9 	(11) coordinate an ongoing collaborative effort of stakeholders to evaluate and 
112.10 	address security, vulnerability, and redundancy issues important to ensure the reliability 
112.11 	of broadband networks;
112.12 	(12) provide an annual report, as required by subdivision 5; and
112.13 	(13) perform any other activities consistent with the office's purpose.
112.14 		Subd. 5.Reporting. (a) Beginning on January 15, 2014, and each year thereafter, 
112.15 	the Office of Broadband Development shall report to the legislative committees having 
112.16 	jurisdiction over telecommunications policy and finance on the office's activities during 
112.17 	the previous year.
112.18 	(b) The report shall contain, at a minimum:
112.19 	(1) an analysis of the current availability and use of broadband, including average 
112.20 	broadband speeds, within the state;
112.21 	(2) information gathered from schools, libraries, hospitals, and public safety 
112.22 	facilities across the state, determining the actual speed and capacity of broadband currently 
112.23 	in use and the need, if any, for increases in speed and capacity to meet basic needs;
112.24 	(3) an analysis of incumbent broadband infrastructure within the state and its ability 
112.25 	to spur economic development;
112.26 	(4) an analysis of the degree to which new, additional, or improved broadband 
112.27 	infrastructure would spur economic development in the state;
112.28 	(5) a summary of the office's activities in coordinating broadband infrastructure 
112.29 	development under section 237.90;
112.30 	(6) any proposed legislative and policy initiatives; and
112.31 	(7) any other information requested by the legislative committees having jurisdiction 
112.32 	over telecommunications policy and finance, or that the office deems necessary.
112.33 	(c) The report may be submitted electronically and is subject to section 3.195, 
112.34 	subdivision 1.

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

113.1 	Sec. 6. [237.90] COORDINATION OF BROADBAND INFRASTRUCTURE 
113.2 	DEVELOPMENT.
113.3 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms 
113.4 	have the meanings given them.
113.5 	(b) "Broadband" or "broadband service" has the meaning given in section 237.85, 
113.6 	subdivision 1, paragraph (b).
113.7 	(c) "Broadband conduit" means a conduit, pipe, innerduct, or microduct for fiber 
113.8 	optic or other cables that support broadband and wireless facilities for broadband service.
113.9 	(d) "Local unit of government" has the meaning given in section 116G.03, 
113.10 	subdivision 3.
113.11 	(e) "Office" means the Office of Broadband Development established in section 
113.12 	237.85.
113.13 		Subd. 2.Broadband infrastructure development. (a) The office shall, in 
113.14 	collaboration with the Department of Transportation and private entities, encourage and 
113.15 	coordinate "dig once" efforts for the planning, relocation, installation, or improvement of 
113.16 	broadband conduit within the right-of-way in conjunction with any current or planned 
113.17 	construction, including, but not limited to, trunk highways and bridges. To the extent 
113.18 	necessary, the office shall, in collaboration with the Department of Transportation, 
113.19 	evaluate engineering and design standards, procedures and criteria for contracts or lease 
113.20 	agreements with private entities, and pricing requirements, and provide for allocation 
113.21 	of risk, costs, and any revenue generated.
113.22 	(b) The office shall, in collaboration with other state departments and agencies as the 
113.23 	office deems necessary, develop a strategy to facilitate the timely and efficient deployment 
113.24 	of broadband conduit or other broadband facilities on state-owned lands and buildings.
113.25 	(c) To the extent practicable, the office shall encourage and assist local units of 
113.26 	government to adopt and implement policies similar to those under paragraphs (a) and (b) 
113.27 	for construction or other improvements to county state-aid highways, municipal state-aid 
113.28 	roads, and any other rights-of-way under the local unit of government's jurisdiction, and to 
113.29 	other lands or buildings owned by the local unit of government.
113.30 	(d) Special consideration must be paid to projects under this subdivision that will 
113.31 	likely improve access to broadband by rural or underserved communities.
113.32 		Subd. 3.Reporting. As part of its annual report under section 237.85, subdivision 
113.33 	5, the office shall report on activities taken under this section, including, but not limited to, 
113.34 	the number of current and planned projects using the "dig once" approach, any gains in 
113.35 	broadband speed or access associated with the project, and any costs or cost savings to 
113.36 	the state, private entity, or end user of broadband services.
114.1 		Subd. 4.No right of action. Nothing in this section shall be construed to create 
114.2 	any right or benefit, substantive or procedural, enforceable at law or in equity by any 
114.3 	party against the state of Minnesota, its departments, agencies, or entities, its officers, 
114.4 	employees, or agents, or any other person.

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

114.6 	Sec. 7. Minnesota Statutes 2012, section 239.101, subdivision 3, is amended to read:
114.7 		Subd. 3.Petroleum inspection fee; appropriation, uses. (a) An inspection fee 
114.8 	is imposed (1) on petroleum products when received by the first licensed distributor, 
114.9 	and (2) on petroleum products received and held for sale or use by any person when the 
114.10 	petroleum products have not previously been received by a licensed distributor. The 
114.11 	petroleum inspection fee is $1 for every 1,000 gallons received. The commissioner of 
114.12 	revenue shall collect the fee. The revenue from 81 89 cents of the fee is appropriated to 
114.13 	the commissioner of commerce for the cost of operations of the Division of Weights and 
114.14 	Measures, petroleum supply monitoring, and to make grants to providers of low-income 
114.15 	weatherization services to install renewable energy equipment in households that are 
114.16 	eligible for weatherization assistance under Minnesota's weatherization assistance 
114.17 	program state plan. The remainder of the fee must be deposited in the general fund.
114.18 	(b) The commissioner of revenue shall credit a person for inspection fees previously 
114.19 	paid in error or for any material exported or sold for export from the state upon filing of a 
114.20 	report as prescribed by the commissioner of revenue.
114.21 	(c) The commissioner of revenue may collect the inspection fee along with any 
114.22 	taxes due under chapter 296A.

114.23 	Sec. 8. Minnesota Statutes 2012, section 507.235, subdivision 2, is amended to read:
114.24 		Subd. 2.Penalty for failure to file. (a) A vendee who fails to record a contract for 
114.25 	deed, as required by subdivision 1, is subject to a civil penalty, payable under subdivision 
114.26 	5, equal to two percent of the principal amount of the contract debt, unless the vendee 
114.27 	has not received a copy of the contract for deed in recordable form, as required under 
114.28 	subdivision 1a. Payments of the penalty shall be deposited in the general fund of the 
114.29 	county. The penalty may be enforced as a lien against the vendee's interest in the property.
114.30 	(b) A person receiving an assignment of a vendee's interest in a contract for deed 
114.31 	who fails to record the assignment as required by subdivision 1 is subject to a civil penalty, 
114.32 	payable under subdivision 5, equal to two percent of the original principal amount of the 
114.33 	contract debt. Payments of the penalty must be deposited in the general fund of the county. 
114.34 	The penalty may be enforced as a lien against the vendee's interest in the property.

115.1 	Sec. 9. [559.201] DEFINITIONS.
115.2 		Subdivision 1.Application. The definitions in this section apply to section 559.202.
115.3 		Subd. 2.Business day. "Business day" means any day other than a Saturday, 
115.4 	Sunday, or holiday as defined in section 645.44, subdivision 5.
115.5 		Subd. 3.Family farm security loan. "Family farm security loan" has the meaning 
115.6 	given in Minnesota Statutes 2008, section 41.52, subdivision 5.
115.7 		Subd. 4.Multiple seller. "Multiple seller" means a person that has acted as a seller 
115.8 	in four or more contracts for deed involving residential real property during the 12-month 
115.9 	period that precedes either: (1) the date on which the purchaser executes a purchase 
115.10 	agreement under section 559.202; or (2) if there is no purchase agreement, the date on 
115.11 	which the purchaser executes a contract for deed under section 559.202. A contract for 
115.12 	deed transaction that is exempt under section 559.202, subdivision 2, is a contract for deed 
115.13 	for the purposes of determining whether a seller is a multiple seller.
115.14 		Subd. 5.Person. "Person" means a natural person, partnership, corporation, limited 
115.15 	liability company, association, trust, or other legal entity, however organized.
115.16 		Subd. 6.Purchase agreement. "Purchase agreement" means a purchase agreement 
115.17 	for a contract for deed, an earnest money contract, or an executed option contemplating 
115.18 	that, at closing, the seller and the purchaser will enter into a contract for deed.
115.19 		Subd. 7.Purchaser. "Purchaser" means a natural person who enters into a contract 
115.20 	for deed to purchase residential real property. Purchaser includes all purchasers who enter 
115.21 	into the same contract for deed to purchase residential real property.
115.22 		Subd. 8.Residential real property. "Residential real property" means real property 
115.23 	consisting of one to four family dwelling units, one of which the purchaser intends to 
115.24 	occupy as the purchaser's principal place of residence. Residential real property does 
115.25 	not include property subject to a family farm security loan or a transaction subject to 
115.26 	sections 583.20 to 583.32. 

115.27 	Sec. 10. [559.202] CONTRACTS FOR DEED INVOLVING RESIDENTIAL 
115.28 	PROPERTY.
115.29 		Subdivision 1.Notice required. (a) In addition to the disclosures required under 
115.30 	sections 513.52 to 513.60, a multiple seller must deliver the notice specified under 
115.31 	subdivision 3 to a prospective purchaser as provided under this subdivision.
115.32 	(b) If there is a purchase agreement, the notice must be affixed to the front of 
115.33 	the purchase agreement. A contract for deed for which notice is required under this 
115.34 	subdivision may not be executed for five business days following the execution of the 
115.35 	purchase agreement and delivery of the notice and instructions for cancellation.
116.1 	(c) If there is no purchase agreement, a multiple seller must deliver the notice in a 
116.2 	document separate from any other document or writing to a prospective purchaser no less 
116.3 	than five business days before the prospective purchaser executes the contract for deed.
116.4 	(d) The notice must be:
116.5 	(1) written in at least 12-point type; and
116.6 	(2) signed and dated by the purchaser.
116.7 	(e) If a dispute arises concerning whether or when the notice required by this 
116.8 	subdivision was provided to the purchaser, there is a rebuttable presumption that the notice 
116.9 	was not provided unless the original executed contract for deed contains the following 
116.10 	statement, initialed by the purchaser: "By initialing here ....... purchaser acknowledges 
116.11 	receipt at least five business days before signing this contract for deed of the disclosure 
116.12 	statement entitled "Important Information About Contracts for Deed" required by 
116.13 	Minnesota Statutes, section 559.202, subdivision 3." 
116.14 		Subd. 2.Exception. This section does not apply if the purchaser is represented 
116.15 	throughout the transaction by either:
116.16 	(1) a person licensed to practice law in this state; or 
116.17 	(2) a person licensed as a real estate broker or salesperson under chapter 82, 
116.18 	provided that the representation does not create a dual agency, as that term is defined 
116.19 	in section 82.55, subdivision 6.
116.20 		Subd. 3.Content of the notice. The notice must contain the following verbatim 
116.21 	language:
116.22 	"IMPORTANT INFORMATION ABOUT CONTRACTS FOR DEED
116.23 	Know What You Are Getting Into
116.24 	(1) A contract for deed is a complex legal agreement. You are NOT a tenant. Mortgage 
116.25 	foreclosure laws don't apply.
116.26 	(2) You should know ALL of your obligations and rights before you sign a purchase 
116.27 	agreement or contract for deed.
116.28 	(3) You (seller must circle one):

116.29	(a)
	DO
	DO NOT
	have to pay homeowner's insurance.
	
116.30	(b)
	DO
	DO NOT
	have to pay property taxes.
	
116.31
116.32	(c)
	DO
	DO NOT
	have to make and pay for some or all of the repairs or 
maintenance, as described in the contract for deed.
	
116.33 	(4) After some time, you may need to make a large lump sum payment (called a "balloon 
116.34 	payment"). Know when it is due and how much it will be. You'll probably need to get a 
116.35 	new mortgage, another financial arrangement, or pay for the balance in cash at that time.
117.1 	(5) If you miss just a single payment or can't make the balloon payment, the seller can 
117.2 	cancel your contract. You will likely lose all the money you have already paid. You will 
117.3 	likely lose your ability to purchase the home. The seller can begin an eviction action 
117.4 	against you in just a few months.
117.5 	(6) Within four months of signing the contract for deed, you must "record" it in the office 
117.6 	of the county recorder or registrar of titles in the county in which the property is located. 
117.7 	If you do not do so, you could face a fine.
117.8 	Key Things Highly Recommended Before You Sign
117.9 	(1) Get advice from a lawyer or the Minnesota Home Ownership Center at 
117.10 	1-866-462-6466. To find a lawyer through the Minnesota State Bar Association, go to 
117.11 	www.mnfindalawyer.com.
117.12 	(2) Get an independent, professional appraisal of the property to learn what it is worth.
117.13 	(3) Get an independent, professional inspection of the property.
117.14 	(4) Buy title insurance or ask a real estate lawyer for a "title opinion."
117.15 	(5) Check with the city or county to find out if there are inspection reports or unpaid 
117.16 	utility bills.
117.17 	(6) Check with a title company or the county where the property is located to find out if 
117.18 	there is a mortgage or other lien on the property and if the property taxes have been paid.
117.19 	If You Are Entering into a Purchase Agreement
117.20 	(1) If you haven't already signed the contract for deed, you can cancel the purchase 
117.21 	agreement (and get all your money back) if you do so within five business days after 
117.22 	getting this notice. 
117.23 	(2) To cancel the purchase agreement, you must follow the provisions of Minnesota 
117.24 	Statutes, section 559.217, subdivision 4. Ask a lawyer for help."
117.25 		Subd. 4.Right to cancel purchase agreement. (a) A prospective purchaser may 
117.26 	cancel a purchase agreement within five business days after actually receiving the notice 
117.27 	required under subdivision 1 if a multiple seller fails to timely deliver the notice, provided 
117.28 	that the contract for deed has not been executed by all parties.
117.29 	(b) A prospective purchaser may cancel the purchase agreement in accordance with 
117.30 	the provisions of section 559.217, subdivision 4.
117.31 	(c) In the event of cancellation, the multiple seller may not impose a penalty and  must 
117.32 	promptly refund all payments made by the prospective purchaser prior to cancellation.
118.1 		Subd. 5.Remedies for failure to timely deliver notices. (a) Notwithstanding 
118.2 	any contrary provision in the purchase agreement or contract for deed, a purchaser has 
118.3 	a private right of action against a multiple seller who fails to timely deliver the notice 
118.4 	required under subdivision 1. The multiple seller is liable to the purchaser for:
118.5 	(1) the greater of actual damages or statutory damages of $2,500; and
118.6 	(2) reasonable attorney fees and court costs.
118.7 	(b) A multiple seller who knowingly fails to timely deliver the notice required 
118.8 	under subdivision 1 is liable to the purchaser for triple the actual or statutory damages 
118.9 	available under paragraph (a), whichever is greater, provided that the purchaser must elect 
118.10 	the remedy provided under either paragraph (a) or this paragraph and may not recover 
118.11 	damages under both paragraphs.
118.12 	(c) The rights and remedies provided in this subdivision are cumulative to, and not 
118.13 	a limitation of, any other rights and remedies provided under law. An action brought 
118.14 	pursuant to this subdivision must be commenced within four years from the date of the 
118.15 	alleged violation.
118.16 		Subd. 6.Effects of violation. A violation of this section has no effect on the 
118.17 	validity of the contract.
118.18 		Subd. 7.Duty of multiple seller to account. Upon reasonable request by the 
118.19 	purchaser and no more than once every 12-month period, a multiple seller must provide an 
118.20 	accounting of all payments made pursuant to the contract for deed, the amount of interest 
118.21 	paid, and the amount remaining to satisfy the principal balance under the contract.
118.22 		Subd. 8.No waiver. The provisions of this section may not be waived.

118.23 	EFFECTIVE DATE. This section is effective August 1, 2013, and applies to 
118.24 	transactions in which the contract for deed and the purchase agreement for the contract 
118.25 	for deed, if any, were both executed on or after that date.

118.26 	Sec. 11. Minnesota Statutes 2012, section 559.211, subdivision 2, is amended to read:
118.27 		Subd. 2.Remedies additional. The remedies provided in this section are in 
118.28 	addition to and do not limit other rights or remedies available to purchasers or vendors of 
118.29 	real estate. Subject to the provisions of sections 559.213 and 559.217, subdivision 7, this 
118.30 	section shall not be construed to bar a court from determining the validity, effectiveness, 
118.31 	or consequences of proceeding under section 559.21 or 559.217, or granting other relief in 
118.32 	connection therewith, by reason of the failure of a purchaser to seek or obtain relief under 
118.33 	this section prior to the purported effective date of the termination of the contract.

119.1 	Sec. 12. Laws 2011, First Special Session chapter 2, article 2, section 3, subdivision 4, 
119.2 	is amended to read:

119.3	Subd. 4.Administrative Services
 		4,247,000
		4,247,000
	
119.4 	$375,000 each year is for additional 
119.5 	compliance efforts with unclaimed property. 
119.6 	The commissioner may issue contracts 
119.7 	for these services. This additional amount 
119.8 	shall be added to the base budget for fiscal 
119.9 	years 2014 and 2015 only. The enhanced 
119.10 	unclaimed property compliance program 
119.11 	shall sunset June 30, 2015.

119.12 	Sec. 13. STATE BROADBAND STRATEGY; REPORT.
 119.13 	The Office of Broadband Development shall conduct research and produce a report 
119.14 	recommending a set of programs and strategies the state can pursue to promote the 
119.15 	improvement, more efficient and effective use, and expansion of broadband services in 
119.16 	ways that will have the greatest impact on the state's economic development, by which is 
119.17 	meant enhancing the ability of Minnesota citizens and businesses to develop their skills, 
119.18 	to expand businesses to new markets, develop new products, reach more customers, and 
119.19 	lower costs. While the state's broadband goals in section 237.012 address the universal 
119.20 	provision of greater broadband access and speed statewide, this report must consider 
119.21 	broadband as an economic development tool and must examine and analyze:
119.22 	(1) how the state can best use its limited resources to adopt strategies and make 
119.23 	investments to improve the use of broadband services by subgroups of broadband users, 
119.24 	including mobile broadband users, that promise to deliver the greatest economic impact 
119.25 	per dollar of state investment;
119.26 	(2) roles the state can play in addition to financial assistance for broadband 
119.27 	infrastructure, including supporting education and training for Minnesotans to enable 
119.28 	them to use broadband more effectively; and
119.29 	(3) strategies and opportunities for state investment to leverage additional amounts 
119.30 	of private capital and financial assistance from the federal government in order to achieve 
119.31 	these goals.
119.32 	By January 15, 2014, the office shall submit the report to the chairs and ranking minority 
119.33 	members of the senate and house committees with jurisdiction over telecommunications 
119.34 	issues.

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

120.2 	Sec. 14.  REPEALER.
 120.3 	Minnesota Statutes 2012, section 507.235, subdivision 4, is repealed effective the 
120.4 	day following final enactment.

120.5 	ARTICLE 8
120.6 	HOUSING FINANCE

120.7 	Section 1. HOUSING FINANCE AGENCY.
 120.8 	The sums shown in the columns marked "APPROPRIATIONS" are appropriated 
120.9 	to the agencies and for the purposes specified in this act. The appropriations are from 
120.10 	the general fund, or another named fund, and are available for the fiscal years indicated 
120.11 	for each purpose. The figures "2014" and "2015" used in this article mean that the 
120.12 	appropriations listed under them are available for the fiscal year ending June 30, 2014, or 
120.13 	June 30, 2015, respectively. "The first year" is fiscal year 2014. "The second year" is fiscal 
120.14 	year 2015. "The biennium" is fiscal years 2014 and 2015.

120.15				APPROPRIATIONS
	
120.16				Available for the Year
	
120.17				Ending June 30
	
120.18					2014
		2015

120.19	Sec. 2. APPROPRIATIONS.

120.20	Subdivision 1.Total Appropriation
 	$
	50,048,000
	$
	48,048,000
	
120.21 	The amounts that may be spent for each 
120.22 	purpose are specified in the following 
120.23 	subdivisions.
120.24 	Unless otherwise specified, this appropriation 
120.25 	is for transfer to the housing development 
120.26 	fund for the programs specified in this 
120.27 	section. Except as otherwise indicated, this 
120.28 	transfer is part of the agency's permanent 
120.29 	budget base.

120.30	Subd. 2.Challenge Program
 		10,227,000
		10,227,000
	
120.31 	(a) This appropriation is for the economic 
120.32 	development and housing challenge program 
121.1 	under Minnesota Statutes, section 462A.33. 
121.2 	Priority shall be given to funding programs 
121.3 	that are aimed at closing the disparity gap 
121.4 	in affordable homeownership and rental 
121.5 	housing for indigenous American Indians 
121.6 	and communities of color. Of this amount, 
121.7 	$1,208,000 each year shall be made available 
121.8 	during the first 11 months of the fiscal 
121.9 	year exclusively for housing projects for 
121.10 	American Indians. Any funds not committed 
121.11 	to housing projects for American Indians in 
121.12 	the first 11 months of the fiscal year shall 
121.13 	be available for any eligible activity under 
121.14 	Minnesota Statues, section 462A.33.
121.15 	(b) Priority shall be given to programs that:
121.16 	(1) focus on creating safe and stable housing 
121.17 	for homeless youth;
121.18 	(2) provide housing and services to trafficked 
121.19 	women and children;
121.20 	(3) are land trust programs and programs 
121.21 	that work in coordination with a land trust 
121.22 	program; or
121.23 	(4) provide housing for communities and 
121.24 	regions that have: (i) low vacancy rates, a 
121.25 	plan that identifies current and future housing 
121.26 	needs, experienced job growth since 2005, 
121.27 	and at least 2,000 jobs within the commuter 
121.28 	shed; or (ii) communities and regions that: 
121.29 	have evidence of anticipated job expansion 
121.30 	or a significant portion of area employees 
121.31 	who commute more than 30 miles between 
121.32 	their residence and employment, and where 
121.33 	area employers are willing to provide a 
121.34 	meaningful contribution that reduces the 
122.1 	need for deferred loan or grant funds from 
122.2 	state sources.
122.3 	(c) The base funding for this program in the 
122.4 	2016-2017 biennium is $10,805,000 each 
122.5 	year.

122.6	Subd. 3.Housing Trust Fund
 		 12,105,000
		10,605,000
	
122.7 	(a) This appropriation is for deposit in the 
122.8 	housing trust fund account created under 
122.9 	Minnesota Statutes, section 462A.201, and 
122.10 	may be used for the purposes provided in that 
122.11 	section. Priority shall be given to funding 
122.12 	programs that are aimed at closing the 
122.13 	disparity gap in rental housing for indigenous 
122.14 	American Indians and communities of 
122.15 	color and culturally specific groups who 
122.16 	are providing services to members of their 
122.17 	communities.
122.18 	(b) $1,500,000 in the first year is for 
122.19 	temporary rental assistance for families 
122.20 	with school-age children who have changed 
122.21 	school or home at least once in the last 
122.22 	school year. The agency, in consultation 
122.23 	with the Department of Education, may 
122.24 	establish additional targeting criteria. The 
122.25 	base funding for this initiative is $1,500,000 
122.26 	in fiscal year 2016.
122.27 	(c) The base funding for the housing trust 
122.28 	fund program is $12,291,000 in fiscal year 
122.29 	2016 and $10,791,000 in fiscal year 2017.

122.30	Subd. 4.Rental Assistance for the Mentally Ill
 		2,638,000
		2,638,000
	
122.31 	This appropriation is for the rental housing 
122.32 	assistance program under Minnesota 
122.33 	Statutes, section 462A.2097.

122.34	Subd. 5.Family Homeless Prevention
 		8,043,000
		8,043,000
	
123.1 	This appropriation is for the family homeless 
123.2 	prevention and assistance programs under 
123.3 	Minnesota Statutes, section 462A.204.
123.4 	The base funding for this program in fiscal 
123.5 	years 2016 and 2017 is $8,145,000 each year.

123.6	Subd. 6.Home Ownership Assistance Fund
 		845,000
		845,000
	
123.7 	This appropriation is for the home ownership 
123.8 	assistance program under Minnesota 
123.9 	Statutes, section 462A.21, subdivision 8. 
123.10 	Priority shall be given to funding programs 
123.11 	that are aimed at closing the disparity gap in 
123.12 	affordable homeownership for indigenous 
123.13 	American Indians and communities of color. 
123.14 	The base funding for this program in fiscal 
123.15 	years 2016 and 2017 is $854,000 each year.

123.16	Subd. 7.Affordable Rental Investment Fund
 		4,200,000
		4,200,000
	
123.17 	(a) This appropriation is for the affordable 
123.18 	rental investment fund program under 
123.19 	Minnesota Statutes, section 462A.21, 
123.20 	subdivision 8b, to finance the acquisition, 
123.21 	rehabilitation, and debt restructuring of 
123.22 	federally assisted rental property and 
123.23 	for making equity take-out loans under 
123.24 	Minnesota Statutes, section 462A.05, 
123.25 	subdivision 39.
123.26 	(b) The owner of federally assisted rental 
123.27 	property must agree to participate in 
123.28 	the applicable federally assisted housing 
123.29 	program and to extend any existing 
123.30 	low-income affordability restrictions on the 
123.31 	housing for the maximum term permitted. 
123.32 	The owner must also enter into an agreement 
123.33 	that gives local units of government, 
123.34 	housing and redevelopment authorities, 
124.1 	and nonprofit housing organizations the 
124.2 	right of first refusal if the rental property 
124.3 	is offered for sale. Priority must be given 
124.4 	among comparable federally assisted rental 
124.5 	properties to properties with the longest 
124.6 	remaining term under an agreement for 
124.7 	federal assistance. Priority must also be 
124.8 	given among comparable rental housing 
124.9 	developments to developments that are or 
124.10 	will be owned by local government units, a 
124.11 	housing and redevelopment authority, or a 
124.12 	nonprofit housing organization.
124.13 	(c) The appropriation also may be used to 
124.14 	finance the acquisition, rehabilitation, and 
124.15 	debt restructuring of existing supportive 
124.16 	housing properties. For purposes of this 
124.17 	subdivision, "supportive housing" means 
124.18 	affordable rental housing with links to 
124.19 	services necessary for individuals, youth, and 
124.20 	families with children to maintain housing 
124.21 	stability.

124.22	Subd. 8.Housing Rehabilitation
 		6,094,000
		6,094,000
	
124.23 	This appropriation is for the housing 
124.24 	rehabilitation program under Minnesota 
124.25 	Statutes, section 462A.05, subdivision 14. 
124.26 	Of this amount, $3,344,000 each year is for 
124.27 	the rehabilitation of rental properties, and 
124.28 	$2,750,000 each year is for the rehabilitation 
124.29 	of owner-occupied homes.
124.30 	The base funding for this program in fiscal 
124.31 	years 2016 and 2017 is $6,188,000 each 
124.32 	year. Of this amount, $3,438,000 each year 
124.33 	is for the rehabilitation of rental housing and 
124.34 	$2,750,000 each year is for the rehabilitation 
124.35 	of owner-occupied housing.

125.1
125.2	Subd. 9.Homeownership Education, 
Counseling, and Training
 		809,000
		809,000
	
125.3 	This appropriation is for the homeownership 
125.4 	education, counseling, and training program 
125.5 	under Minnesota Statutes, section 462A.209. 
125.6 	Priority may be given to funding programs 
125.7 	that are aimed at culturally specific groups 
125.8 	who are providing services to members of 
125.9 	their communities.
125.10 	The base funding for this program in fiscal 
125.11 	years 2016 and 2017 is $819,000 each year.

125.12	Subd. 10.Capacity Building Grants
 		242,000
		242,000
	
125.13 	This appropriation is for nonprofit capacity 
125.14 	building grants under Minnesota Statutes, 
125.15 	section 462A.21, subdivision 3b. 
125.16 	The base funding for this program in fiscal 
125.17 	years 2016 and 2017 is $263,000 each year.

125.18	Subd. 11.Grants
 		445,000
		445,000
	
125.19 	(a) This appropriation is for the grants in 
125.20 	paragraphs (b) to (d) and is available until 
125.21 	expended. This appropriation is added to the 
125.22 	agency's base.
125.23 	(b) $70,000 each year is for a grant to Open 
125.24 	Access Connection to provide free voice mail 
125.25 	services for homeless and low-income people 
125.26 	so that they have a reliable and consistent 
125.27 	communication tool to aid in their search 
125.28 	for affordable housing and their search for 
125.29 	and maintenance of jobs so that they have 
125.30 	income to maintain affordable housing. This 
125.31 	service is provided in the metropolitan area 
125.32 	and through a toll-free number in greater 
125.33 	Minnesota.
126.1 	(c) $200,000 each year is for a grant to 
126.2 	HOME Line for the tenant's rights advocacy 
126.3 	and services program.
126.4 	(d) $175,000 each year is for a grant to an East 
126.5 	African women's organization to promote the 
126.6 	health and safety of East African women and 
126.7 	children in Minnesota and provide services to 
126.8 	East African women, who are first-generation 
126.9 	immigrants from East African countries, and 
126.10 	their children. The program must provide 
126.11 	safe housing for victims of domestic abuse 
126.12 	and trafficking as well as assistance accessing 
126.13 	the health care system. The program must 
126.14 	provide educational resources to prevent 
126.15 	the exploitation of East African women 
126.16 	and children in Minnesota. The program 
126.17 	shall provide shelter services and health 
126.18 	and human rights education to promote 
126.19 	empowerment and provide culturally 
126.20 	appropriate services to East African women 
126.21 	and children in Minnesota and other victims 
126.22 	of domestic violence.

126.23	Subd. 12.Transfers
 		 4,400,000
		3,900,000
	
126.24 	(a) The appropriations in this subdivision are 
126.25 	not for transfer to the housing development 
126.26 	fund. These appropriations are for transfer 
126.27 	to the commissioner of human services for 
126.28 	the purposes specified. The appropriations 
126.29 	are added to the Minnesota Housing Finance 
126.30 	Agency's fiscal year 2016 and fiscal year 
126.31 	2017 base budget.
126.32 	(b) $900,000 each year is for the long-term 
126.33 	homeless supportive services fund under 
126.34 	Minnesota Statutes, section 256K.26.
127.1 	(c) $250,000 each year is for the transitional 
127.2 	housing programs under Minnesota Statutes, 
127.3 	section 256E.33.
127.4 	(d) $250,000 each year is for emergency 
127.5 	services grants under Minnesota Statutes, 
127.6 	section 256E.36.
127.7 	(e) $1,500,000 each year is to provide 
127.8 	housing and services to homeless youth 
127.9 	under Minnesota Statutes, section 256K.45.
127.10 	(f) $1,000,000 each year is to develop and 
127.11 	provide housing and shelters to prevent the 
127.12 	sexual exploitation of women and children 
127.13 	and assist trafficked women and children.
127.14 	(g) $500,000 in the first year is a onetime 
127.15 	appropriation for a grant for housing 
127.16 	subsidies to the nonprofit organizations 
127.17 	selected to administer the demonstration 
127.18 	project for high-risk adults under Laws 2007, 
127.19 	chapter 54, article 1, section 19, to help 
127.20 	complete the project.