1.1 	A bill for an act
1.2 	relating to state government; proposing the governor's budget for jobs and 
1.3 	economic development; increasing certain fees; streamlining construction 
1.4 	inspections; creating the Minnesota job creation fund; expanding the Minnesota 
1.5 	Trade Offices; creating STEP grants; reducing the unemployment insurance 
1.6 	tax; creating the transportation economic development assistance program; 
1.7 	repealing the Minnesota Science and Technology Authority; requiring reports; 
1.8 	appropriating money to various departments, agencies, and boards;amending 
1.9 	Minnesota Statutes 2012, sections 116J.8731, subdivisions 2, 3; 326B.184, 
1.10 	subdivisions 1, 2, by adding a subdivision; 326B.37, by adding a subdivision; 
1.11 	326B.49, subdivisions 2, 3; 341.321; proposing coding for new law in Minnesota 
1.12 	Statutes, chapter 116J; repealing Minnesota Statutes 2012, sections 116W.01; 
1.13 	116W.02; 116W.03; 116W.035; 116W.04; 116W.05; 116W.06; 116W.20; 
1.14 	116W.21; 116W.23; 116W.24; 116W.25; 116W.26; 116W.27; 116W.28; 116W.29; 
1.15 	116W.30; 116W.31; 116W.32; 116W.33; 116W.34; Minnesota Rules, part 
1.16 	1307.0032.
1.17 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.18 	ARTICLE 1
1.19 	APPROPRIATIONS

1.20	Section 1. JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS.
 	
1.21 	The amounts shown in this section summarize direct appropriations, by fund, made 
1.22 	in this article.

1.23			2014
		2015
		Total
	
1.24	General
	$
	149,962,000
	$
	136,916,000
	$
	286,878,000
	
1.25	Workforce Development
		17,451,000
		17,451,000
		34,902,000
	
1.26	Remediation
		700,000
		700,000
		1,400,000
	
1.27	Workers' Compensation 
		22,784,000
		22,574,000
		45,358,000
	
1.28	Total
	$
	190,897,000
	$
	177,641,000
	$
	368,538,000

2.1	Sec. 2. JOBS AND ECONOMIC DEVELOPMENT.
 	
2.2 	The sums shown in the columns marked "Appropriations" are appropriated to the 
2.3 	agencies and for the purposes specified in this article. The appropriations are from the 
2.4 	general fund, or another named fund, and are available for the fiscal years indicated 
2.5 	for each purpose. The figures "2014" and "2015" used in this article mean that the 
2.6 	appropriations listed under them are available for the fiscal year ending June 30, 2014, or 
2.7 	June 30, 2015, respectively. "The first year" is fiscal year 2014. "The second year" is fiscal 
2.8 	year 2015. "The biennium" is fiscal years 2014 and 2015.

2.9				APPROPRIATIONS
	
2.10				Available for the Year
	
2.11				Ending June 30
	
2.12					2014
		2015

2.13
2.14	Sec. 3. DEPARTMENT OF EMPLOYMENT 
AND ECONOMIC DEVELOPMENT

2.15	Subdivision 1.Total Appropriation
 	$
	84,440,000
	$
	84,440,000

2.16	Appropriations by Fund
	
2.17		2014
	2015
	
2.18	General
	67,318,000
	67,318,000
	
2.19	Remediation
	700,000
	700,000
	
2.20
2.21	Workforce 
Development
	16,422,000
	16,422,000
	
2.22 	The amounts that may be spent for each 
2.23 	purpose are specified in the following 
2.24 	subdivisions.

2.25
2.26	Subd. 2.Business and Community 
Development
 		38,481,000
		38,481,000

2.27	Appropriations by Fund
	
2.28	General
	37,442,000
	37,442,000
	
2.29	Remediation
	700,000
	700,000
	
2.30
2.31	Workforce 
Development
	339,000
	339,000
	
2.32 	(a) $15,000,000 each year is for the 
2.33 	Minnesota Investment Fund under 
2.34 	Minnesota Statutes, section 116J.8731. This 
2.35 	appropriation is available until spent.
3.1 	(b) $12,500,000 each year is for the 
3.2 	Minnesota job creation fund under Minnesota 
3.3 	Statutes, section 116J.8748. Of this amount, 
3.4 	the commissioner of employment and 
3.5 	economic development may use up to three 
3.6 	percent for administrative expenses. This 
3.7 	appropriation is available until spent.
3.8 	(c) $1,272,000 the first year and $1,272,000 
3.9 	the second year are from the general fund for 
3.10 	contaminated site cleanup and development 
3.11 	grants under Minnesota Statutes, sections 
3.12 	116J.551 to 116J.558.
3.13 	(d) $700,000 the first year and $700,000 the 
3.14 	second year are from the remediation fund for 
3.15 	contaminated site cleanup and development 
3.16 	grants under Minnesota Statutes, sections 
3.17 	116J.551 to 116J.558. This appropriation is 
3.18 	available until expended.
3.19 	(e) $757,000 the first year and $757,000 
3.20 	the second year are from the general 
3.21 	fund and $339,000 the first year and 
3.22 	$339,000 the second year are from the 
3.23 	workforce development fund for the business 
3.24 	development competitive grant program.
3.25 	(f) $4,195,000 each year is from the general 
3.26 	fund for the Minnesota job skills partnership 
3.27 	program under Minnesota Statutes, sections 
3.28 	116L.01 to 116L.17. If the appropriation for 
3.29 	either year is insufficient, the appropriation 
3.30 	for the other year is available. This 
3.31 	appropriation is available until spent.

3.32	Subd. 3.Workforce Development
 		10,083,000
		10,083,000

4.1	Appropriations by Fund
	
4.2	General
	830,000
	830,000
	
4.3
4.4	Workforce 
Development
	9,253,000
	9,253,000
	
4.5 	(a) $830,000 each year from the general fund 
4.6 	and $1,905,000 each year from the workforce 
4.7 	development fund is for the adult workforce 
4.8 	development competitive grant program.
4.9 	(b) $3,500,000 each year is from the 
4.10 	workforce development fund for the 
4.11 	Minnesota youth program under Minnesota 
4.12 	Statutes, sections 116L.56 and 116L.561.
4.13 	(c) $1,000,000 each year is from the 
4.14 	workforce development fund for the 
4.15 	youthbuild program under Minnesota 
4.16 	Statutes, sections 116L.361 to 116L.366.
4.17 	(d) $2,848,000 each year is from the 
4.18 	workforce development fund for the youth 
4.19 	workforce development competitive grant 
4.20 	program.

4.21	Subd. 4.General Support Services
 		1,018,000
		1,018,000

4.22	Subd. 5.Minnesota Trade Office
 		2,242,000
		2,242,000
	
4.23 	(a) $300,000 in fiscal year 2014 and $300,000 
4.24 	in fiscal year 2015 are for the STEP grants in 
4.25 	Minnesota Statutes, section 116J.979.
4.26 	(b) $180,000 in fiscal year 2014 and 
4.27 	$180,000 in fiscal year 2015 are for the Invest 
4.28 	Minnesota marketing initiative in Minnesota 
4.29 	Statutes, section 116J.9801. Notwithstanding 
4.30 	any other law, this provision does not expire.

4.31	Subd. 6.Vocational Rehabilitation
 		26,691,000
		26,691,000

5.1	Appropriations by Fund
	
5.2	General
	19,861,000
	19,861,000
	
5.3
5.4	Workforce 
Development
	6,830,000
	6,830,000
	
5.5 	(a) $10,800,000 each year is from the general 
5.6 	fund for the state's vocational rehabilitation 
5.7 	program under Minnesota Statutes, chapter 
5.8 	268A.
5.9 	(b) $2,261,000 each year is from the general 
5.10 	fund for grants to centers for independent 
5.11 	living under Minnesota Statutes, section 
5.12 	268A.11.
5.13 	(c) $5,245,000 each year from the general 
5.14 	fund and $6,830,000 each year from the 
5.15 	workforce development fund is for extended 
5.16 	employment services for persons with severe 
5.17 	disabilities under Minnesota Statutes, section 
5.18 	268A.16.
5.19 	(d) $1,555,000 each year is from the general 
5.20 	fund for grants to programs that provide 
5.21 	employment support services to persons with 
5.22 	mental illness under Minnesota Statutes, 
5.23 	sections 268A.13 and 268A.14.

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

5.25	Sec. 4. HOUSING FINANCE AGENCY

5.26	Subdivision 1.Total Appropriation
 	$
	51,048,000
	$
	38,048,000
	
5.27 	The amounts that may be spent for each 
5.28 	purpose are specified in the following 
5.29 	subdivisions.
5.30 	This appropriation is for transfer to the 
5.31 	housing development fund for the programs 
5.32 	specified in this section. Except as otherwise 
5.33 	indicated, this transfer is part of the agency's 
5.34 	permanent budget base.

6.1	Subd. 2.Challenge Program
 		16,955,000
		6,955,000
	
6.2 	(a) This appropriation is for the economic 
6.3 	development and housing challenge program 
6.4 	under Minnesota Statutes, section 462A.33. 
6.5 	Of this amount, $1,208,000 each year shall 
6.6 	be made available during the first 11 months 
6.7 	of the fiscal year exclusively for housing 
6.8 	projects for American Indians. Any funds not 
6.9 	committed to housing projects for American 
6.10 	Indians in the first 11 months of the fiscal year 
6.11 	shall be available for any eligible activity 
6.12 	under Minnesota Statues, section 462A.33.
6.13 	(b) Of this amount, $10,000,000 is a onetime 
6.14 	appropriation and is targeted for housing in 
6.15 	communities and regions that have:
6.16 	(1)(i) low housing vacancy rates; and
6.17 	(ii) cooperatively developed a plan that 
6.18 	identifies current and future housing needs; 
6.19 	and
6.20 	(2)(i) experienced job growth since 2005 and 
6.21 	have at least 2,000 jobs within the commuter 
6.22 	shed;
6.23 	(ii) evidence of anticipated job expansion; or
6.24 	(iii) a significant portion of area employees 
6.25 	who commute more than 30 miles between 
6.26 	their residence and their employment.
6.27 	(c) Preference must be given among 
6.28 	comparable housing proposals to proposals 
6.29 	that include a meaningful contribution from 
6.30 	area employers that reduces the need for 
6.31 	deferred loan or grant funds from state 
6.32 	resources.
6.33 	(d) The base funding for this program in the 
6.34 	2016-2017 biennium is $6,955,000 each year.

7.1	Subd. 3.Housing Trust Fund
 		12,555,000
		9,555,000
	
7.2 	(a) This appropriation is for deposit in the 
7.3 	housing trust fund account created under 
7.4 	Minnesota Statutes, section 462A.201, and 
7.5 	may be used for the purposes provided in 
7.6 	that section.
7.7 	(b) Of this amount, $2,000,000 is a onetime 
7.8 	appropriation for temporary rental assistance 
7.9 	for families with school-age children who 
7.10 	have changed school or home at least 
7.11 	once in the last school year. The agency, 
7.12 	in consultation with the Department of 
7.13 	Education, may establish additional targeting 
7.14 	criteria.
7.15 	(c) Of this amount, $1,000,000 is a onetime 
7.16 	appropriation for temporary rental assistance 
7.17 	for adults who are in the process of being 
7.18 	released from state correctional facilities 
7.19 	or on supervised release in the community 
7.20 	who are homeless or at risk of becoming 
7.21 	homeless. The agency, in consultation with 
7.22 	the Department of Corrections, may establish 
7.23 	additional targeting criteria to identify 
7.24 	those adults most at risk of reentering state 
7.25 	correctional facilities.
7.26 	(d) The base funding for this program in fiscal 
7.27 	years 2016 and 2017 is $9,555,000 each year.

7.28	Subd. 4.Rental Assistance for Mentally Ill
 		2,638,000
		2,638,000
	
7.29 	This appropriation is for the rental housing 
7.30 	assistance program under Minnesota 
7.31 	Statutes, section 462A.2097.

7.32	Subd. 5.Family Homeless Prevention
 		7,465,000
		7,465,000
	
8.1 	This appropriation is for the family homeless 
8.2 	prevention and assistance programs under 
8.3 	Minnesota Statutes, section 462A.204.

8.4	Subd. 6.Home Ownership Assistance Fund
 		797,000
		797,000
	
8.5 	This appropriation is for the home ownership 
8.6 	assistance program under Minnesota 
8.7 	Statutes, section 462A.21, subdivision 8.

8.8	Subd. 7.Affordable Rental Investment Fund
 		4,218,834
		4,218,834
	
8.9 	(a) This appropriation is for the affordable 
8.10 	rental investment fund program under 
8.11 	Minnesota Statutes, section 462A.21, 
8.12 	subdivision 8b, to finance the acquisition, 
8.13 	rehabilitation, and debt restructuring of 
8.14 	federally assisted rental property and for 
8.15 	making equity takeout loans under Minnesota 
8.16 	Statutes, section 462A.05, subdivision 39.
8.17 	(b) The owner of federally assisted rental 
8.18 	property must agree to participate in 
8.19 	the applicable federally assisted housing 
8.20 	program and to extend any existing 
8.21 	low-income affordability restrictions on the 
8.22 	housing for the maximum term permitted. 
8.23 	The owner must also enter into an agreement 
8.24 	that gives local units of government, 
8.25 	housing and redevelopment authorities, 
8.26 	and nonprofit housing organizations the 
8.27 	right of first refusal if the rental property 
8.28 	is offered for sale. Priority must be given 
8.29 	among comparable federally assisted rental 
8.30 	properties to properties with the longest 
8.31 	remaining term under an agreement for 
8.32 	federal assistance. Priority must also be 
8.33 	given among comparable rental housing 
8.34 	developments to developments that are or 
8.35 	will be owned by local government units, a 
9.1 	housing and redevelopment authority, or a 
9.2 	nonprofit housing organization.
9.3 	(c) The appropriation also may be used to 
9.4 	finance the acquisition, rehabilitation, and 
9.5 	debt restructuring of existing supportive 
9.6 	housing properties. For purposes of this 
9.7 	subdivision, "supportive housing" means 
9.8 	affordable rental housing with links to 
9.9 	services necessary for individuals, youth, and 
9.10 	families with children to maintain housing 
9.11 	stability.
9.12 	(d) The base funding for the affordable rental 
9.13 	investment fund program under Minnesota 
9.14 	Statutes, section 462A.21, subdivision 8b, 
9.15 	in fiscal years 2016 and 2017, is $8,996,000 
9.16 	each year.

9.17	Subd. 8.Housing Rehabilitation
 		5,543,166
		5,543,166
	
9.18 	This appropriation is for the housing 
9.19 	rehabilitation program under Minnesota 
9.20 	Statutes, section 462A.05, subdivision 14.

9.21
9.22	Subd. 9.Homeownership Education, 
Counseling, and Training
 		751,000
		751,000
	
9.23 	This appropriation is for the homeownership 
9.24 	education, counseling, and training program 
9.25 	under Minnesota Statutes, section 462A.209.

9.26	Subd. 10.Capacity-Building Grants
 		125,000
		125,000
	
9.27 	This appropriation is for nonprofit 
9.28 	capacity-building grants under Minnesota 
9.29 	Statutes, section 462A.21, subdivision 3b.

9.30
9.31	Sec. 5. DEPARTMENT OF LABOR AND 
INDUSTRY

9.32	Subdivision 1.Total Appropriation
 	$
	22,866,000
	$
	22,866,000

9.33	Appropriations by Fund
	
9.34		2014
	2015
	
10.1	General
	966,000
	966,000
	
10.2
10.3	Workers' 
Compensation
	20,871,000
	20,871,000
	
10.4
10.5	Workforce 
Development
	1,029,000
	1,029,000
	
10.6 	The amounts that may be spent for each 
10.7 	purpose are specified in the following 
10.8 	subdivisions.

10.9	Subd. 2.Workers' Compensation
 		10,678,000
		10,678,000
	
10.10 	This appropriation is from the workers' 
10.11 	compensation fund.
10.12 	$200,000 each year is for grants to the 
10.13 	Vinland Center for rehabilitation services. 
10.14 	Grants shall be distributed as the department 
10.15 	refers injured workers to the Vinland Center 
10.16 	for rehabilitation services.

10.17	Subd. 3.Labor Standards and Apprenticeship
 		1,995,000
		1,995,000

10.18	Appropriations by Fund
	
10.19	General
	966,000
	966,000
	
10.20
10.21	Workforce 
Development
	1,029,000
	1,029,000
	
10.22 	(a) $816,000 each year is from the 
10.23 	general fund for the labor standards and 
10.24 	apprenticeship program.
10.25 	(b) $150,000 each year is from the general 
10.26 	fund for a child labor initiative for expanding 
10.27 	education and outreach to high schools and 
10.28 	targeted industries to ensure minors entering 
10.29 	the workforce are safe.
10.30 	(c) $879,000 each year is appropriated from 
10.31 	the workforce development fund for the 
10.32 	apprenticeship program under Minnesota 
10.33 	Statutes, chapter 178, and includes $100,000 
10.34 	for labor education and advancement 
10.35 	program grants and to expand and promote 
11.1 	registered apprenticeship training in 
11.2 	nonconstruction trade programs.
11.3 	(d) $150,000 each year is appropriated 
11.4 	from the workforce development fund for 
11.5 	prevailing wage enforcement.

11.6	Subd. 4.Workplace Safety
 		4,154,000
		4,154,000
	
11.7 	This appropriation is from the workers' 
11.8 	compensation fund.

11.9	Subd. 5.General Support
 		6,039,000
		6,039,000
	
11.10 	This appropriation is from the workers' 
11.11 	compensation fund.

11.12	Sec. 6. EXPLORE MINNESOTA TOURISM
 	$
	16,225,000
	$
	16,225,000
	
11.13 	(a) Of this amount, $12,000 each year is for a 
11.14 	grant to the Upper Minnesota Film Office.
11.15 	(b)(1) To develop maximum private sector 
11.16 	involvement in tourism, $500,000 in fiscal 
11.17 	year 2014 and $500,000 in fiscal year 2015 
11.18 	must be matched by Explore Minnesota 
11.19 	Tourism from nonstate sources. Each $1 of 
11.20 	state incentive must be matched with $6 of 
11.21 	private sector funding. Cash match is defined 
11.22 	as revenue to the state or documented cash 
11.23 	expenditures directly expended to support 
11.24 	Explore Minnesota Tourism programs. Up 
11.25 	to one-half of the private sector contribution 
11.26 	may be in-kind or soft match. The incentive 
11.27 	in fiscal year 2014 shall be based on fiscal 
11.28 	year 2013 private sector contributions. The 
11.29 	incentive in fiscal year 2015 shall be based on 
11.30 	fiscal year 2014 private sector contributions. 
11.31 	This incentive is ongoing.
11.32 	(2) Funding for the marketing grants is 
11.33 	available either year of the biennium. 
12.1 	Unexpended grant funds from the first year 
12.2 	are available in the second year.
12.3 	(3) Unexpended money from the general 
12.4 	fund appropriations made under this section 
12.5 	does not cancel but must be placed in a 
12.6 	special marketing account for use by Explore 
12.7 	Minnesota Tourism for additional marketing 
12.8 	activities.
12.9 	(c) $325,000 in fiscal year 2014 and $325,000 
12.10 	in fiscal year 2015 are for the Minnesota 
12.11 	Film and TV Board. The appropriation in 
12.12 	each year is available only upon receipt by 
12.13 	the board of $1 in matching contributions 
12.14 	of money or in-kind contributions from 
12.15 	nonstate sources for every $3 provided by 
12.16 	this appropriation, except that each year up 
12.17 	$50,000 is available on July 1 even if the 
12.18 	required matching contribution has not been 
12.19 	received by that date.

12.20
12.21	Sec. 7. DEPARTMENT OF 
TRANSPORTATION
 	$
	10,000,000
	$
	10,000,000
	
12.22 	This appropriation is for the transportation 
12.23 	economic development program under 
12.24 	Minnesota Statutes, section 116J.4365.

12.25
12.26	Sec. 8. BUREAU OF MEDIATION 
SERVICES
 	$
	1,848,000
	$
	1,802,000
	
12.27 	(a) $68,000 each year is for grants to area 
12.28 	labor management committees. Grants may 
12.29 	be awarded for a 12-month period beginning 
12.30 	July 1 each year. Any unencumbered balance 
12.31 	remaining at the end of the first year does not 
12.32 	cancel but is available for the second year.
12.33 	(b) $100,000 in fiscal year 2014 is 
12.34 	appropriated from the general fund to the 
13.1 	Bureau of Mediation Services for transfer 
13.2 	to the Office of Enterprise Technology to 
13.3 	develop a new business management system 
13.4 	for case and document management. This is 
13.5 	a onetime appropriation and is available for 
13.6 	spending until June 30, 2015. Any ongoing 
13.7 	information technology support or costs for 
13.8 	this application will be incorporated into the 
13.9 	service level agreement and will be paid to 
13.10 	the Office of Enterprise Technology by the 
13.11 	Bureau of Mediation Services under the rates 
13.12 	and mechanism specified in that agreement. 
13.13 	Of this amount, $25,000 each year is added 
13.14 	to the Bureau of Mediation Services base 
13.15 	budget to cover the information technology 
13.16 	support costs for this application.

13.17	Sec. 9. BOARD OF ACCOUNTANCY
 	$
	480,000
	$
	480,000

13.18
13.19
13.20
13.21	Sec. 10. BOARD OF ARCHITECTURE, 
ENGINEERING, LAND SURVEYING, 
LANDSCAPE ARCHITECTURE, 
GEOSCIENCE, AND INTERIOR DESIGN
 	$
	774,000
	$
	774,000

13.22
13.23	Sec. 11. BOARD OF COSMETOLOGIST 
EXAMINERS
 	$
	1,046,000
	$
	1,046,000

13.24	Sec. 12. BOARD OF BARBER EXAMINERS
 	$
	257,000
	$
	257,000

13.25
13.26	Sec. 13. WORKERS' COMPENSATION 
COURT OF APPEALS
 	$
	1,913,000
	$
	1,703,000
	
13.27 	This appropriation is from the workers' 
13.28 	compensation fund.
13.29 	Of this appropriation, $110,000 is a 
13.30 	onetime appropriation and is available for 
13.31 	spending until June 30, 2015. $110,000 in 
13.32 	fiscal year 2014 is appropriated from the 
13.33 	workers' compensation fund to the Workers' 
14.1 	Compensation Court of Appeals for transfer 
14.2 	to the Office of Enterprise Technology to 
14.3 	develop a paperless case management system 
14.4 	and to ensure that services and hardware 
14.5 	are accessible and compatible with systems 
14.6 	with which the Workers' Compensation 
14.7 	Court of Appeals must interact. This is a 
14.8 	onetime appropriation and is available for 
14.9 	spending until June 30, 2015. Any ongoing 
14.10 	information technology support or costs for 
14.11 	this application will be incorporated into the 
14.12 	service level agreement and will be paid to 
14.13 	the Office of Enterprise Technology by the 
14.14 	Workers' Compensation Court of Appeals 
14.15 	under the rates and mechanism specified in 
14.16 	that agreement.

14.17 	ARTICLE 2
14.18 	DEPARTMENT OF LABOR AND INDUSTRY

14.19 	Section 1. Minnesota Statutes 2012, section 326B.184, subdivision 1, is amended to 
14.20 	read:
14.21 		Subdivision 1.Permits. No person may construct, install, alter, repair, or remove 
14.22 	an elevator without first filing an application for a permit with the department or a 
14.23 	municipality authorized by subdivision 4 to inspect elevators. A permit issued by the 
14.24 	department is valid for work commenced within 12 months of application and completed 
14.25 	within two years of application. Where no work is commenced within 12 months of 
14.26 	application, an applicant may cancel the permit and request a refund of inspection fees.

14.27 	Sec. 2. Minnesota Statutes 2012, section 326B.184, is amended by adding a 
14.28 	subdivision to read:
14.29 		Subd. 1a.Department permit and inspection fees. (a) The department permit and 
14.30 	inspection fees to construct, install, alter, repair, or remove an elevator are as follows:
14.31 	(1) the permit fee is $100;
14.32 	(2) the inspection fee is 0.015 of the total cost of the permitted work for labor and 
14.33 	materials, including related electrical and mechanical equipment. The inspection fee 
14.34 	covers two inspections. The inspection fee for additional inspections is $80 per hour;
15.1 	(3) when inspections scheduled by the permit submitter are not able to be completed 
15.2 	because the work is not complete, a fee equal to two hours at the hourly rate of $80 must 
15.3 	be paid by the permit submitter; and
15.4 	(4) when the owner or permit holder requests inspections be performed outside of 
15.5 	normal work hours or on weekends or holidays, an hourly rate of $120 in addition to 
15.6 	the inspection fee must be paid.
15.7 	(b) The department fees for inspection of existing elevators when requested by the 
15.8 	elevator owner or as a result of an accident resulting in personal injury are at an hourly rate 
15.9 	of $80 during normal work hours or $120 outside of normal work hours or on weekends or 
15.10 	holidays, with a one-hour minimum.

15.11 	Sec. 3. Minnesota Statutes 2012, section 326B.184, subdivision 2, is amended to read:
15.12 		Subd. 2. Operating permits and fees; periodic inspections. (a) No person may 
15.13 	operate an elevator without first obtaining an annual operating permit from the department 
15.14 	or a municipality authorized by subdivision 4 to issue annual operating permits. A $100 
15.15 	annual operating permit fee must be paid to the department for each annual operating 
15.16 	permit issued by the department, except that the original annual operating permit must 
15.17 	be included in the permit fee for the initial installation of the elevator. Annual operating 
15.18 	permits must be issued at 12-month intervals from the date of the initial annual operating 
15.19 	permit. For each subsequent year, an owner must be granted an annual operating permit 
15.20 	for the elevator upon the owner's or owner's agent's submission of a form prescribed by 
15.21 	the commissioner and payment of the $100 fee. Each form must include the location of 
15.22 	the elevator, the results of any periodic test required by the code, and any other criteria 
15.23 	established by rule. An annual operating permit may be revoked by the commissioner upon 
15.24 	an audit of the periodic testing results submitted with the application or a failure to comply 
15.25 	with elevator code requirements, inspections, or any other law related to elevators. Except 
15.26 	for an initial operating permit fee, hand-powered manlifts and electric endless belt manlifts,
15.27 	and vertical reciprocating conveyors are not subject to a subsequent operating permit fee.
15.28 	(b) All elevators are subject to periodic inspections by the department or a 
15.29 	municipality authorized by subdivision 4 to perform periodic inspections, except that 
15.30 	hand-powered manlifts and electric endless belt manlifts are exempt from periodic 
15.31 	inspections. Periodic inspections by the department shall be performed at the following 
15.32 	intervals:
15.33 	(1) a special purpose personnel elevator is subject to inspection not more than once 
15.34 	every five years;
16.1 	(2) an elevator located within a house of worship that does not have attached school 
16.2 	facilities is subject to inspection not more than once every three years; and
16.3 	(3) all other elevators are subject to inspection not more than once each year.

16.4 	Sec. 4. Minnesota Statutes 2012, section 326B.37, is amended by adding a subdivision 
16.5 	to read:
16.6 		Subd. 15.Utility interconnected wind generation installations. (a) Fees 
16.7 	associated with utility interconnected generation installations consisting of one or more 
16.8 	generator sources interconnected with a utility power system and not supplying other 
16.9 	premises loads are calculated according to paragraph (b) or (c).
16.10 	(b) The inspection fee is calculated according to subdivisions 2, 3, 4, and 6, 
16.11 	paragraphs (d), (f), (j), and (k). A fee must be included for the generators and utility 
16.12 	interconnect feeders, but not for a utility service.
16.13 	(c) There is a plan review fee and inspection fee for the entire electrical installation. 
16.14 	The plan review fee is based on the valuation of the electrical installation related to one of 
16.15 	the generator systems that is part of the overall installation, not to include the supporting 
16.16 	tower or other nonelectrical equipment or structures, calculated according to section 
16.17 	326B.153, subdivision 2. The inspection fee is $80 for each individual tower, including 
16.18 	any voltage matching transformers located at the tower, and the fee for the feeders 
16.19 	interconnecting the individual towers to the utility power system is calculated according to 
16.20 	subdivisions 4 and 6, paragraph (k).

16.21 	Sec. 5. Minnesota Statutes 2012, section 326B.49, subdivision 2, is amended to read:
16.22 		Subd. 2.Fees for plan reviews and audits. Plumbing system plans and 
16.23 	specifications that are submitted to the commissioner for review shall be accompanied by 
16.24 	the appropriate plan examination fees. If the commissioner determines, upon review of 
16.25 	the plans, that inadequate fees were paid, the necessary additional fees shall be paid prior 
16.26 	to plan approval. The commissioner shall charge the following fees for plan reviews and 
16.27 	audits of plumbing installations for public, commercial, and industrial buildings:
16.28 	(1) systems with both water distribution and drain, waste, and vent systems and 
16.29 	having:
16.30 	(i) 25 or fewer drainage fixture units, $150;
16.31 	(ii) 26 to 50 drainage fixture units, $250;
16.32 	(iii) 51 to 150 drainage fixture units, $350;
16.33 	(iv) 151 to 249 drainage fixture units, $500;
17.1 	(v) 250 or more drainage fixture units, $3 per drainage fixture unit to a maximum 
17.2 	of $4,000; and
17.3 	(vi) interceptors, separators, or catch basins, $70 per interceptor, separator, or catch 
17.4 	basin design;
17.5 	(2) building sewer service only, $150;
17.6 	(3) building water service only, $150;
17.7 	(4) building water distribution system only, no drainage system, $5 per supply 
17.8 	fixture unit or $150, whichever is greater;
17.9 	(5) storm drainage system, a minimum fee of $150 or:
17.10 	(i) $50 per drain opening, up to a maximum of $500; and
17.11 	(ii) $70 per interceptor, separator, or catch basin design;
17.12 	(6) manufactured home park or campground, one to 25 sites, $300;
17.13 	(7) manufactured home park or campground, 26 to 50 sites, $350;
17.14 	(8) manufactured home park or campground, 51 to 125 sites, $400;
17.15 	(9) manufactured home park or campground, more than 125 sites, $500; and
17.16 	(10) accelerated review, double the regular fee, one-half to be refunded if no 
17.17 	response from the commissioner within 15 business days; and
17.18 	(11) (10) revision to previously reviewed or incomplete plans:
17.19 	(i) review of plans for which the commissioner has issued two or more requests for 
17.20 	additional information, per review, $100 or ten percent of the original fee, whichever 
17.21 	is greater;
17.22 	(ii) proposer-requested revision with no increase in project scope, $50 or ten percent 
17.23 	of original fee, whichever is greater; and
17.24 	(iii) proposer-requested revision with an increase in project scope, $50 plus the 
17.25 	difference between the original project fee and the revised project fee.

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

17.27 	Sec. 6. Minnesota Statutes 2012, section 326B.49, subdivision 3, is amended to read:
17.28 		Subd. 3.Inspection Permits; fees. The commissioner shall charge the following 
17.29 	fees for inspections under sections 326B.42 to 326B.49:

17.30	Residential inspection fee (each visit)
		$
	50
		
17.31	Public, Commercial, and Industrial Inspections
		Inspection Fee
		
17.32	25 or fewer drainage fixture units
		$
	300
		
17.33	26 to 50 drainage fixture units
		$
	900
		
17.34	51 to 150 drainage fixture units
		$
	1,200
		
17.35	151 to 249 drainage fixture units
		$
	1,500
		
18.1	250 or more drainage fixture units
		$
	1,800
		
18.2	Callback fee (each visit)
		$
	100
		
18.3 	(a) The permit fee is $100.
18.4 	(b) The residential inspection fee is $50 for each inspection trip.
18.5 	(c) The public, commercial, and industrial inspection fees are as follows:
18.6 	(1) for systems with water distribution, drain, waste, and vent system connection:
18.7 	(i) $25 for each fixture, permanently connected appliance, floor drain, or other 
18.8 	appurtenance;
18.9 	(ii) $25 for each water conditioning, water treatment, or water filtration system;
18.10 	(iii) $25 for each interceptor, separator, catch basin, or manhole;
18.11 	(2) roof drains, $25 for each drain;
18.12 	(3) building sewer service only, $100;
18.13 	(4) building water service only, $100;
18.14 	(5) building water distribution system only, no drainage system, $5 for each fixture 
18.15 	supplied;
18.16 	(6) storm drainage system, a minimum fee of $25 for each drain opening, interceptor, 
18.17 	separator, or catch basin;
18.18 	(7) manufactured home park or campground, $25 for each site;
18.19 	(8) reinspection fee to verify corrections, regardless of the total fee submitted, $100 
18.20 	for each reinspection; and
18.21 	(9) each $100 in fees paid covers one inspection trip.
18.22 	(d) In addition to the fees in paragraph (c), the fee submitter must pay an hourly rate of 
18.23 	$80 during regular business hours, or $120 when inspections are requested to be performed 
18.24 	outside of normal work hours or on weekends and holidays, with a two-hour minimum 
18.25 	where the fee submitter requests inspections of installations as systems are being installed.
18.26 	(e) The fee submitter must pay a fee equal to two hours at the hourly rate of $80 
18.27 	when inspections scheduled by the submitter are not able to be completed because the 
18.28 	work is not complete.

18.29 	Sec. 7. Minnesota Statutes 2012, section 341.321, is amended to read:
18.30 	341.321 FEE SCHEDULE.
18.31 	(a) The fee schedule for professional licenses issued by the commissioner is as 
18.32 	follows:
18.33 	(1) referees, $45 $80 for each initial license and each renewal;
18.34 	(2) promoters, $400 $700 for each initial license and each renewal;
18.35 	(3) judges and knockdown judges, $45 $80 for each initial license and each renewal;
19.1 	(4) trainers, $45 $80 for each initial license and each renewal;
19.2 	(5) ring announcers, $45 $80 for each initial license and each renewal;
19.3 	(6) seconds, $45 $80 for each initial license and each renewal;
19.4 	(7) timekeepers, $45 $80 for each initial license and each renewal;
19.5 	(8) combatants, $45 $120 for each initial license and each renewal;
19.6 	(9) managers, $45 $80 for each initial license and each renewal; and
19.7 	(10) ringside physicians, $45 $80 for each initial license and each renewal.
19.8 	In addition to the license fee and the late filing penalty fee in section 341.32, subdivision 
19.9 	2, if applicable, an individual who applies for a professional license on the same day the 
19.10 	combative sporting event is held shall pay a late fee of $100 plus the original license fee of 
19.11 	$45 $120 at the time the application is submitted.
19.12 	(b) The fee schedule for amateur licenses issued by the commissioner is as follows:
19.13 	(1) referees, $45 $80 for each initial license and each renewal;
19.14 	(2) promoters, $400 $700 for each initial license and each renewal;
19.15 	(3) judges and knockdown judges, $45 $80 for each initial license and each renewal;
19.16 	(4) trainers, $45 $80 for each initial license and each renewal;
19.17 	(5) ring announcers, $45 $80 for each initial license and each renewal;
19.18 	(6) seconds, $45 $80 for each initial license and each renewal;
19.19 	(7) timekeepers, $45 $80 for each initial license and each renewal;
19.20 	(8) combatant, $25 $60 for each initial license and each renewal;
19.21 	(9) managers, $45 $80 for each initial license and each renewal; and
19.22 	(10) ringside physicians, $45 $80 for each initial license and each renewal.
19.23 	(c) The commissioner shall establish a contest fee for each combative sport contest. 
19.24 	The professional combative sport contest fee is $1,500 per event or not more than four 
19.25 	percent of the gross ticket sales, whichever is greater, as determined by the commissioner 
19.26 	when the combative sport contest is scheduled, except that the amateur combative sport 
19.27 	contest fee shall be $500 $1,500 or not more than four percent of the gross ticket sales, 
19.28 	whichever is greater. The commissioner shall consider the size and type of venue when 
19.29 	establishing a contest fee. The commissioner may establish the maximum number 
19.30 	of complimentary tickets allowed for each event by rule. A professional or amateur 
19.31 	combative sport contest fee is nonrefundable.
19.32 	(d) All fees and penalties collected by the commissioner must be deposited in the 
19.33 	commissioner account in the special revenue fund.

19.34 	Sec. 8.  REPEALER.
 19.35 	Minnesota Rules, part 1307.0032, is repealed.

20.1 	ARTICLE 3
20.2 	DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT

20.3 	Section 1. Minnesota Statutes 2012, section 116J.8731, subdivision 2, is amended to 
20.4 	read:
20.5 		Subd. 2.Administration. The commissioner shall administer the fund as part of 
20.6 	the Small Cities Development Block Grant Program. Funds shall be made available to 
20.7 	local communities and recognized Indian tribal governments in accordance with the rules 
20.8 	adopted for economic development grants in the small cities community development 
20.9 	block grant program, except that all units of general purpose local government are eligible 
20.10 	applicants for Minnesota investment funds. The commissioner may provide forgivable 
20.11 	loans directly to a private enterprise and not require a local community or recognized 
20.12 	Indian tribal government application other than a resolution supporting the assistance.
20.13 	 The commissioner may also make funds available within the department for eligible 
20.14 	expenditures under subdivision 3, clause (2). A home rule charter or statutory city, county, 
20.15 	or town may loan or grant money received from repayment of funds awarded under 
20.16 	this section to a regional development commission, other regional entity, or statewide 
20.17 	community capital fund as determined by the commissioner, to capitalize or to provide the 
20.18 	local match required for capitalization of a regional or statewide revolving loan fund.

20.19 	Sec. 2. Minnesota Statutes 2012, section 116J.8731, subdivision 3, is amended to read:
20.20 		Subd. 3.Eligible expenditures. The money appropriated for this section may 
20.21 	be used to:
20.22 	(1) fund loans or grants for infrastructure, loans, loan guarantees, interest buy-downs, 
20.23 	and other forms of participation with private sources of financing, provided that a loan to 
20.24 	a private enterprise must be for a principal amount not to exceed one-half of the cost of 
20.25 	the project for which financing is sought;
20.26 	(2) fund strategic investments in renewable energy market development, such as 
20.27 	low interest loans for renewable energy equipment manufacturing, training grants to 
20.28 	support renewable energy workforce, development of a renewable energy supply chain 
20.29 	that represents and strengthens the industry throughout the state, and external marketing 
20.30 	to garner more national and international investment into Minnesota's renewable sector. 
20.31 	Expenditures in external marketing for renewable energy market development are not 
20.32 	subject to the limitations in clause (1); and
20.33 	(3) provide private entrepreneurs with training, other technical assistance, and 
20.34 	financial assistance, as provided in the small cities development block grant program.

21.1 	Sec. 3. [116J.8748] MINNESOTA JOB CREATION FUND.
21.2 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms 
21.3 	have the meanings given.
21.4 	(b) "Agreement" or "business subsidy agreement" means a business subsidy 
21.5 	agreement under section 116J.994 that must include, but is not limited to: specification 
21.6 	of the duration of the agreement, job goals and a timeline for achieving those goals over 
21.7 	the duration of the agreement, construction and other investment goals and a timeline for 
21.8 	achieving those goals over the duration of the agreement, and the value of benefits the 
21.9 	firm may receive following achievement of construction and employment goals. The local 
21.10 	government and business must report to the commissioner on the business performance 
21.11 	using the forms developed by the commissioner. 
21.12 	(c) "Business" means an individual, corporation, partnership, limited liability 
21.13 	company, association, or other entity.
21.14 	(d) "Capital investment" means money that is expended for the purpose of building 
21.15 	or improving real fixed property where employees under paragraphs (g) and (h) are or will 
21.16 	be employed and also includes construction materials, services, and supplies.
21.17 	(e) "Commissioner" means the commissioner of employment and economic 
21.18 	development.
21.19 	(f) "Minnesota job creation fund business" means a business that is designated 
21.20 	by the commissioner under subdivision 3.
21.21 	(g) "New full-time employee" means an employee who:
21.22 	(1) begins work at a Minnesota job creation fund business facility noted in a business 
21.23 	subsidy agreement and following the execution of the agreement; and
21.24 	(2) has expected work hours of at least 2,080 hours annually.
21.25 	(h) "Retained job" means a full-time position:
21.26 	(1) that existed at the facility prior to the execution of the agreement; and
21.27 	(2) has expected work hours of at least 2,080 hours annually.
21.28 	(i) "Wages" has the meaning given in section 290.92, subdivision 1, clause (1).
21.29 		Subd. 2.Application. (a) In order to qualify for designation as a Minnesota job 
21.30 	creation fund business under subdivision 3, a business must submit an application to the 
21.31 	local government entity where the facility is or will be located.
21.32 	(b) A local government must submit the business application along with other 
21.33 	application materials to the commissioner for approval.
21.34 	(c) The applications required under paragraphs (a) and (b) must be in the form and 
21.35 	be made under the procedures specified by the commissioner. 
22.1 		Subd. 3.Minnesota job creation fund business designation; requirements. (a) 
22.2 	To receive designation as a Minnesota job creation fund business, a business must satisfy 
22.3 	all of the following conditions:
22.4 	(1) the business is or will be engaged in, within Minnesota, one of the following 
22.5 	as its primary business activity:
22.6 	(i) manufacturing;
22.7 	(ii) warehousing;
22.8 	(iii) distribution;
22.9 	(iv) information technology;
22.10 	(v) finance;
22.11 	(vi) insurance; or
22.12 	(vii) professional or technical services;
22.13 	(2) the business must not be primarily engaged in lobbying; gambling; entertainment; 
22.14 	professional sports; political consulting; leisure; hospitality; or professional services 
22.15 	provided by attorneys, accountants, business consultants, physicians, or health care 
22.16 	consultants; or primarily engaged in making retail sales to purchasers who are physically 
22.17 	present at the business's location; 
22.18 	(3) the business must enter into a binding construction and job creation business 
22.19 	subsidy agreement with the commissioner to expend at least $500,000 in capital 
22.20 	investment in a construction project that includes a new, expanded, or remodeled facility 
22.21 	within one year following designation as a Minnesota job creation fund business and:
22.22 	(i) create at least ten new full-time employee positions within two years of the 
22.23 	benefit date following the designation as a Minnesota job creation fund business; or
22.24 	(ii) expend at least $25,000,000 in capital investment and retain at least 200 
22.25 	employees;
22.26 	(4) positions or employees moved or relocated from another Minnesota location 
22.27 	of the Minnesota job creation fund business must not be included in any calculation or 
22.28 	determination of job creation or new positions under this paragraph; and
22.29 	(5) a Minnesota job creation fund business must not terminate, lay off, or reduce 
22.30 	the working hours of an employee for the purpose of hiring an individual to satisfy job 
22.31 	creation goals under this subdivision.
22.32 	(b) Prior to approving the proposed designation of a business under this subdivision, 
22.33 	the commissioner shall consider the following:
22.34 	(1) the economic outlook of the industry in which the business engages;
22.35 	(2) the projected sales of the business that will be generated from outside the state 
22.36 	of Minnesota;
23.1 	(3) how the business will build on existing regional, national, and international 
23.2 	strengths to diversify the state's economy;
23.3 	(4) whether the business activity would occur without financial assistance;
23.4 	(5) whether the business is unable to expand at an existing Minnesota operation 
23.5 	due to facility or land limitations;
23.6 	(6) whether the business has viable location options outside Minnesota;
23.7 	(7) the effect of financial assistance on industry competitors in Minnesota;
23.8 	(8) financial contributions to the project made by local governments; and
23.9 	(9) any other criteria the commissioner deems necessary.
23.10 	(c) Upon receiving notification of local approval under subdivision 2, the 
23.11 	commissioner shall review the determination by the local government and consider the 
23.12 	conditions listed in paragraphs (a) and (b), to determine whether it is in the best interests of 
23.13 	the state and local area to designate a business as a Minnesota job creation fund business. 
23.14 	(d) If the commissioner designates a business as a Minnesota job creation fund 
23.15 	business, the business subsidy agreement shall include the performance outcome 
23.16 	commitments and the expected financial value of any Minnesota job creation fund benefits.
23.17 	(e) The commissioner may amend an agreement once, upon request of a local 
23.18 	government on behalf of a business, only if the performance is expected to exceed 
23.19 	thresholds stated in the original agreement.
23.20 	(f) A business may apply to be designated as a Minnesota job creation fund business 
23.21 	at the same location more than once only if all goals under a previous Minnesota job 
23.22 	creation fund agreement had been met and the agreement was completed.
23.23 		Subd. 4.Certification; benefits. (a) The commissioner may certify a Minnesota job 
23.24 	creation fund business as eligible to receive a specific value of benefit under paragraphs 
23.25 	(b) and (c) when the business has achieved its job creation and construction goals noted in 
23.26 	its agreement under subdivision 3.
23.27 	(b) A qualified Minnesota job creation fund business may be certified eligible for the 
23.28 	benefits in this paragraph for up to five years as determined by the commissioner when 
23.29 	considering the best interests of the state and local area. The eligibility for the following 
23.30 	benefits begins the date the commissioner certifies the business as a qualified Minnesota 
23.31 	job creation fund business under this subdivision:
23.32 	(1) up to five percent rebate on capital investment on qualifying purchases as 
23.33 	provided in subdivision 5 with the total rebate for a project not to exceed $500,000;
23.34 	(2) an award of up to $500,000 based on full-time job creation and wages paid as 
23.35 	provided in subdivision 6 with the total award not to exceed $500,000;
24.1 	(3) up to $1,000,000 in capital investment rebates and $1,000,000 in job creation 
24.2 	awards are allowable for projects that have at least $25,000,000 in capital investment and 
24.3 	200 new employees; and
24.4 	(4) up to $1,000,000 in capital investment rebates are allowable for projects that 
24.5 	have at least $25,000,000 in capital investment and 200 retained employees.
24.6 	(c) The job creation award may be provided in multiple years as long as the qualified 
24.7 	Minnesota job creation fund business continues to meet the job creation goals provided 
24.8 	for in its agreement under subdivision 3 and the total award does not exceed $500,000 
24.9 	except as provided under paragraph (b), clauses (3) and (4).
24.10 	(d) No rebates or award may be provided until the Minnesota job creation fund 
24.11 	business has at least $500,000 in capital investment in the project and at least ten full-time 
24.12 	jobs have been created and maintained for at least one year or the retained employees, as 
24.13 	provided in paragraph (b), clause (4), remain for at least one year. The agreement may 
24.14 	require additional performance outcomes that need to be achieved before rebates and 
24.15 	awards are provided. If fewer retained jobs are maintained, the capital investment award 
24.16 	shall be reduced on a proportionate basis.
24.17 	(e) The forms needed to be submitted to document performance by the Minnesota 
24.18 	job creation fund business must be in the form and be made under the procedures specified 
24.19 	by the commissioner. The forms shall include documentation and certification by the 
24.20 	business that it is in compliance with the business subsidy agreement, sections 116L.66, 
24.21 	116J.871, and other provisions as specified by the commissioner.
24.22 	(f) Minnesota job creation fund businesses must pay each new full-time employee 
24.23 	added pursuant to the agreement total compensation, including benefits not mandated by 
24.24 	law, that on an annualized basis is equal to at least 110 percent of the federal poverty 
24.25 	level for a family of four.
24.26 		Subd. 5.Capital investment rebate. (a) A qualified Minnesota job creation fund 
24.27 	business is eligible for a rebate on the purchase and use of construction materials, services, 
24.28 	and supplies used for or consumed in the construction project as described in the goals 
24.29 	under the agreement provided under subdivision 1, paragraph (a).
24.30 	(b) The rebate under this subdivision applies regardless of whether the purchases are 
24.31 	made by the qualified Minnesota job creation fund business or a contractor hired to perform 
24.32 	work or provide services at the qualified Minnesota job creation fund business location.
24.33 	(c) Minnesota job creation fund businesses seeking the rebate for capital investment 
24.34 	provided under subdivision 4 must submit forms and applications to the Department of 
24.35 	Employment and Economic Development as prescribed by the commissioner of each 
24.36 	department.
25.1 		Subd. 6.Job creation award. (a) A qualified Minnesota job creation fund business 
25.2 	is eligible for an annual award for each new job created and maintained by the business 
25.3 	using the following schedule: $1,000 for each job position paying annual wages at least 
25.4 	$26,000 but less than $35,000; $2,000 for each job position paying at least $35,000 but 
25.5 	less than $45,000; and $3,000 for each job position paying at least $45,000; and as noted 
25.6 	in the goals under the agreement provided under subdivision 1.
25.7 	(b) The job creation award schedule must be adjusted annually using the percentage 
25.8 	increase in the federal poverty level for a family of four.
25.9 	(c) Minnesota job creation fund businesses seeking an award credit provided under 
25.10 	subdivision 4 must submit forms and applications to the Department of Employment and 
25.11 	Economic Development as prescribed by the commissioner.
25.12 		Subd. 7.Rules. The procedures and operations used by the commissioner are 
25.13 	exempt from the rulemaking provisions of chapter 14.

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

25.15 	Sec. 4. [116J.978] MINNESOTA TRADE OFFICES IN FOREIGN MARKETS.
25.16 		Subdivision 1.Establishment. The commissioner of employment and economic 
25.17 	development shall, by July 1, 2014, establish three new Minnesota Trade Offices in key 
25.18 	foreign markets selected by the commissioner for their potential to increase Minnesota 
25.19 	exports and attract foreign direct investment.
25.20 		Subd. 2.Duties. The duties of each office may include, with regard to their 
25.21 	respective market areas, the duties stated in section 116J.966.
25.22 		Subd. 3.Discretionary powers. Each office may:
25.23 	(1) apply for, accept, and disburse grants and other aids from the federal government 
25.24 	and other public or private sources;
25.25 	(2) sponsor and conduct conferences and studies, collect and disseminate 
25.26 	information, and issue reports relating to trade with and foreign direct investment in 
25.27 	Minnesota companies; and
25.28 	(3) establish a Web site in furtherance of its duties.
25.29 		Subd. 4.Staff. Each office may employ staff necessary to carry out the office's 
25.30 	duties under subdivision 2.
25.31 		Subd. 5.Accountability. (a) The commissioner shall establish a performance 
25.32 	rating system for each office and create specific annual goals for the offices to meet. The 
25.33 	commissioner shall monitor activities of the office, including, but not limited to, the number 
25.34 	of inquires and projects received and completed; meetings arranged between Minnesota 
25.35 	companies and potential investors, distributors, or customers; and agreements signed.
26.1 	(b) The commissioner shall submit a report to the chairs and ranking minority 
26.2 	members of the committees and divisions in the senate and house of representatives with 
26.3 	primary jurisdiction over economic development by February 15 of each odd-numbered 
26.4 	year. The report shall include the performance ratings of each office and shall specify 
26.5 	for each office the number of inquiries and projects received and completed; meetings 
26.6 	arranged between Minnesota companies and potential investors, distributors, or customers; 
26.7 	and agreements signed.

26.8 	Sec. 5. [116J.979] MINNESOTA STEP GRANTS.
26.9 		Subdivision 1.Establishment. The commissioner of employment and economic 
26.10 	development shall create a State Trade and Export Promotion grants program, hereafter 
26.11 	STEP grants, to provide financial and technical assistance to eligible Minnesota small 
26.12 	businesses with an active interest in exporting products or services to foreign markets.
26.13 		Subd. 2.Grants. Recipients may apply, on an application devised by the 
26.14 	commissioner, for up to $7,500 in reimbursement for approved export-development 
26.15 	activities, including, but not limited to:
26.16 	(1) participation in trade missions;
26.17 	(2) export training;
26.18 	(3) exhibition at trade shows or industry-specific events;
26.19 	(4) translation of marketing materials;
26.20 	(5) development of foreign language Web sites, Gold Key, or other business 
26.21 	matchmaking services;
26.22 	(6) company-specific international sales activities; and
26.23 	(7) testing and certification required to sell products in foreign markets.

26.24 	Sec. 6. [116J.9801] INVEST MINNESOTA.
26.25 	The commissioner shall establish the Invest Minnesota marketing initiative. This 
26.26 	initiative must focus on branding the state's economic development initiatives and 
26.27 	promoting Minnesota business opportunities. The initiative may include measures to 
26.28 	communicate the benefits of doing business in Minnesota to companies considering 
26.29 	relocating, establishing a United States presence, or expanding.

26.30 	Sec. 7. UNEMPLOYMENT INSURANCE EMPLOYER TAX REDUCTION.
 26.31 	(a) Notwithstanding Minnesota Statutes, section 268.051, subdivision 2, if, on 
26.32 	September 30, 2013, the balance in the Minnesota Unemployment Trust Fund is more than 
26.33 	$800,000,000, the base tax rate for calendar year 2014 is 0.1 percent and there will be no 
27.1 	additional assessment assigned. If, on September 30, 2014, the balance in the Minnesota 
27.2 	Unemployment Trust Fund is more than $900,000,000, the base tax rate for calendar year 
27.3 	2015 is 0.1 percent and there will be no additional assessment assigned.
27.4 	(b) This section expires December 31, 2015.

27.5 	ARTICLE 4
27.6 	DEPARTMENT OF TRANSPORTATION

27.7 	Section 1. [116J.4365] TRANSPORTATION ECONOMIC DEVELOPMENT 
27.8 	ASSISTANCE PROGRAM.
27.9 		Subdivision 1.Program established. (a) The commissioners of transportation and 
27.10 	employment and economic development shall develop and implement a transportation 
27.11 	economic development assistance program as provided in this section, for providing 
27.12 	financial assistance on a geographically balanced basis through competitive grants 
27.13 	for projects in all modes of transportation that provide measurable local, regional, or 
27.14 	statewide economic benefit.
27.15 	(b) The commissioners of transportation and employment and economic 
27.16 	development may provide financial assistance for a transportation project at their 
27.17 	discretion, subject to the requirements of this section.
27.18 		Subd. 2.Transportation economic development account. (a) A transportation 
27.19 	economic development account is established in the special revenue fund under the 
27.20 	budgetary jurisdiction of the senate and house of representatives committees having 
27.21 	jurisdiction over transportation finance. The account consists of funds donated, allotted, 
27.22 	transferred, or otherwise provided to the account.
27.23 	(b) Money in the account may be expended only as appropriated by law.
27.24 	(c) Notwithstanding paragraph (a), the account may not contain money transferred 
27.25 	or otherwise provided from the trunk highway fund.
27.26 		Subd. 3.Program administration. In implementing the transportation economic 
27.27 	development assistance program, the commissioners of transportation and employment 
27.28 	and economic development shall make reasonable efforts to (1) publicize each solicitation 
27.29 	for applications among all eligible recipients, and (2) provide technical and informational 
27.30 	assistance in creating and submitting applications.
27.31 		Subd. 4.Economic impact performance measures. The commissioner of 
27.32 	employment and economic development shall develop economic impact performance 
27.33 	measures to analyze projects for which financial assistance under this section is being 
27.34 	applied for or has been previously provided.
28.1 		Subd. 5.Financial assistance; criteria. The commissioners of transportation and 
28.2 	employment and economic development shall establish criteria for evaluating projects 
28.3 	for financial assistance under this section. At a minimum, the criteria must provide an 
28.4 	objective method to prioritize and select projects on the basis of:
28.5 	(1) the extent to which the project provides measurable economic benefit;
28.6 	(2) consistency with relevant state and local transportation plans;
28.7 	(3) the availability and commitment of funding or in-kind assistance for the project 
28.8 	from nonpublic sources;
28.9 	(4) the need for the project as part of the overall transportation system;
28.10 	(5) the extent to which completion of the project will improve the movement of 
28.11 	people and freight; and
28.12 	(6) geographic balance as required under subdivision 7, paragraph (b).
28.13 		Subd. 6.Financial assistance; project evaluation process. (a) Following the 
28.14 	criteria established under subdivision 4, the commissioner of employment and economic 
28.15 	development shall (1) evaluate proposed projects, and (2) certify those that may receive 
28.16 	financial assistance.
28.17 	(b) As part of the project evaluation process, the commissioner of transportation 
28.18 	shall certify that a project constitutes an eligible and appropriate transportation project.
28.19 		Subd. 7.Financial assistance; awards. (a) The financial assistance awarded by the 
28.20 	commissioners of transportation and employment and economic development may not 
28.21 	exceed 70 percent of a project's total costs.
28.22 	(b) The commissioners of transportation and employment and economic development 
28.23 	shall ensure that financial assistance is provided in a manner that is balanced throughout 
28.24 	the state, including with respect to (1) the number of projects receiving funding in a 
28.25 	particular geographic location or region of the state, and (2) the total amount of financial 
28.26 	assistance provided for projects in a particular geographic location or region of the state.
28.27 		Subd. 8.Legislative report. (a) By February 1 of each odd-numbered year, the 
28.28 	commissioner of transportation, with assistance from the commissioner of employment 
28.29 	and economic development, shall submit a report on the transportation economic 
28.30 	development assistance program to the chairs and ranking minority members of the 
28.31 	house of representatives and senate committees with jurisdiction over transportation 
28.32 	policy and finance.
28.33 	(b) At a minimum, the report must:
28.34 	(1) summarize the requirements and implementation of the transportation economic 
28.35 	development assistance program established in this section;
29.1 	(2) review the criteria and economic impact performance measures used for 
29.2 	evaluation, prioritization, and selection of projects;
29.3 	(3) provide a brief overview of each project that received financial assistance under 
29.4 	the program, which must at a minimum identify:
29.5 	(i) basic project characteristics, such as funding recipient, geographic location, 
29.6 	and type of transportation modes served;
29.7 	(ii) sources and respective amounts of project funding; and
29.8 	(iii) the degree of economic benefit anticipated or observed, following the economic 
29.9 	impact performance measures established under subdivision 4;
29.10 	(4) identify the allocation of funds, including but not limited to a breakdown of total 
29.11 	project funds by transportation mode, the amount expended for administrative costs, and 
29.12 	the amount transferred to the transportation economic development assistance account;
29.13 	(5) evaluate the overall economic impact of the program consistent with the 
29.14 	accountability measurement requirements under section 116J.997; and
29.15 	(6) provide recommendations for any legislative changes related to the program.

29.16 	ARTICLE 5
29.17 	REPEAL MINNESOTA SCIENCE AND TECHNOLOGY AUTHORITY

29.18 	Section 1.  REPEALER.
 29.19 	Minnesota Statutes 2012, sections 116W.01; 116W.02; 116W.03; 116W.035; 
29.20 	116W.04; 116W.05; 116W.06; 116W.20; 116W.21; 116W.23; 116W.24; 116W.25; 
29.21 	116W.26; 116W.27; 116W.28; 116W.29; 116W.30; 116W.31; 116W.32; 116W.33; and 
29.22 	116W.34, are repealed.