SF 888

CCR--SF0888A - 89th Legislature (2015 - 2016)

Posted on 05/18/2015 05:15 p.m.

1.1CONFERENCE COMMITTEE REPORT ON S.F. No. 888 1.2A bill for an act 1.3relating to the operation of state government; appropriating money for the 1.4legislature, governor's office, state auditor, attorney general, secretary of state, 1.5certain agencies, boards, councils, retirement funds, military affairs and veterans 1.6affairs, and senate building; cancellation of certain appropriations; transferring 1.7money to the budget reserve; allowing prepay for certain software and information 1.8technology hosting services; limiting a fee or fine increase to ten percent in a 1.9biennium; providing reimbursement for reasonable accommodation; modifying 1.10grant agreement provisions; making changes to guaranteed energy-savings 1.11program, small business requirements, and targeted group businesses; changing 1.12certain requirements for the practice of cosmetology; assessing certain costs 1.13for Office of Administrative Hearings; changing a rehabilitation or renovation 1.14grant from the Minnesota Amateur Sports Commission; changing or establishing 1.15certain fees; limiting fire sprinkler requirement in certain dwellings; modifying 1.16certain filing requirements for corporations; modifying provisions for 1.17accountants; requiring a licensee of the residential trades to give an option to 1.18install fire sprinklers; modifying debt service provision for the legislative parking 1.19garage; requiring the same room numbers on signage in the Capitol to identify 1.20legacy rooms; providing in-lieu of rent evaluation; prohibiting state funds, tax 1.21expenditures, or state indebtedness to fund a major league soccer stadium; making 1.22changes to provisions for military and veterans affairs; changing provisions 1.23covering pari-mutuel horse racing; modifying provisions for cigarette and tobacco 1.24license; providing civil penalties; requiring reports;amending Minnesota Statutes 1.252014, sections 3.8843, subdivision 5; 16A.065; 16A.1283; 16B.97, subdivision 1.261; 16B.98, subdivisions 1, 11; 16C.144; 16C.16, subdivision 2, by adding a 1.27subdivision; 16C.19; 155A.21; 155A.23, subdivision 8, by adding subdivisions; 1.28155A.24, subdivision 2; 155A.25, subdivisions 1a, 5, by adding subdivisions; 1.29155A.27, subdivisions 1, 2, 5a; 155A.271; 155A.29, subdivisions 1, 2, by adding 1.30a subdivision; 155A.30, subdivisions 5, 10; 161.1419, subdivision 8; 190.16, by 1.31adding a subdivision; 190.19, subdivisions 2a, 3; 192.26, by adding a subdivision; 1.32192.38, subdivision 1; 192.501, by adding a subdivision; 197.133; 198.03, 1.33subdivisions 2, 3; 211B.37; 240.01, subdivision 22, by adding subdivisions; 1.34240.011; 240.03; 240.08, subdivisions 2, 4, 5; 240.10; 240.13, subdivisions 5, 1.356; 240.135; 240.15, subdivisions 1, 6; 240.16, subdivision 1; 240.22; 240.23; 1.36240A.09; 270C.722, subdivision 1; 270C.728, by adding a subdivision; 272.484; 1.37297F.01, subdivision 14; 297F.03, subdivisions 5, 6; 297F.04, subdivision 1; 1.38297F.13, subdivision 4; 297F.19, by adding a subdivision; 297F.20, by adding 1.39subdivisions; 297F.21, subdivision 1; 299F.011, by adding a subdivision; 303.19; 1.40304A.301, subdivisions 1, 5, 6, by adding a subdivision; 326A.01, subdivisions 1.412, 12, 13a, 15, 16; 326A.02, subdivisions 3, 5; 326A.05, subdivisions 1, 3; 1.42326A.08, subdivision 7; 326A.10; 326B.809; 336A.09, subdivision 1; 364.09; 1.43461.12, subdivision 8; Laws 2013, chapter 142, article 1, section 10; Laws 2014, 2.1chapter 287, section 25; proposing coding for new law in Minnesota Statutes, 2.2chapters 3; 16B; 297F; repealing Minnesota Statutes 2014, sections 155A.23, 2.3subdivision 6; 197.131; 197.132; 240.01, subdivisions 12, 23; 297F.185. 2.4May 18, 2015 2.5The Honorable Sandra L. Pappas 2.6President of the Senate 2.7The Honorable Kurt L. Daudt 2.8Speaker of the House of Representatives 2.9We, the undersigned conferees for S.F. No. 888 report that we have agreed upon the 2.10items in dispute and recommend as follows: 2.11That the House and Senate recede from their amendments and that S.F. No. 888 2.12be further amended as follows: 2.13Delete everything after the enacting clause and insert: 2.14"ARTICLE 1 2.15STATE GOVERNMENT APPROPRIATIONS 2.16 Section 1. new text begin STATE GOVERNMENT APPROPRIATIONS. new text end 2.17     new text begin The sums shown in the columns marked "Appropriations" are appropriated to the new text end 2.18 new text begin agencies and for the purposes specified in this article. The appropriations are from the new text end 2.19 new text begin general fund, or another named fund, and are available for the fiscal years indicated new text end 2.20 new text begin for each purpose. The figures "2016" and "2017" used in this article mean that the new text end 2.21 new text begin appropriations listed under them are available for the fiscal year ending June 30, 2016, or new text end 2.22 new text begin June 30, 2017, respectively. "The first year" is fiscal year 2016. "The second year" is fiscal new text end 2.23 new text begin year 2017. "The biennium" is fiscal years 2016 and 2017. new text end 2.24 new text begin APPROPRIATIONS new text end 2.25 new text begin Available for the Year new text end 2.26 new text begin Ending June 30 new text end 2.27 new text begin 2016 new text end new text begin 2017 new text end 2.28 Sec. 2. new text begin LEGISLATURE new text end 2.29 2.30 new text begin Subdivision 1. new text end new text begin Total new text end new text begin Appropriation new text end new text begin $ new text end new text begin 76,304,000 new text end new text begin 82,132,000 new text end 2.31 new text begin Appropriations by Fund new text end 2.32 new text begin 2016 new text end new text begin 2017 new text end 2.33 new text begin General new text end new text begin 76,176,000 new text end new text begin 82,004,000 new text end 2.34 new text begin Health Care Access new text end new text begin 128,000 new text end new text begin 128,000 new text end 2.35 new text begin The amounts that may be spent for each new text end 2.36 new text begin purpose are specified in the following new text end 2.37 new text begin subdivisions. new text end 3.1 new text begin The appropriations in this section may new text end 3.2 new text begin be used for any purpose relating to the new text end 3.3 new text begin functions of the entities receiving the new text end 3.4 new text begin appropriations, including but not limited new text end 3.5 new text begin to member and employee compensation new text end 3.6 new text begin and expenses, supplies, payments required new text end 3.7 new text begin under lease agreements for real property, and new text end 3.8 new text begin other expenses associated with legislative new text end 3.9 new text begin sessions, interim activities, public hearings new text end 3.10 new text begin and other public outreach activities, and new text end 3.11 new text begin related activities. The Senate Committee new text end 3.12 new text begin on Rules and Administration for the Senate, new text end 3.13 new text begin the House of Representatives Committee new text end 3.14 new text begin on Rules and Legislative Administration new text end 3.15 new text begin for the House of Representatives, and the new text end 3.16 new text begin Legislative Coordinating Commission for new text end 3.17 new text begin entities under its control must each adopt a new text end 3.18 new text begin budget approving use of these appropriations new text end 3.19 new text begin for specific purposes. The budget must new text end 3.20 new text begin approve use of specific amounts for employee new text end 3.21 new text begin compensation, member compensation, rental new text end 3.22 new text begin payments under a lease, and other categories new text end 3.23 new text begin determined by the rules committees and new text end 3.24 new text begin the Legislative Coordinating Commission. new text end 3.25 new text begin The budget must be adopted after this new text end 3.26 new text begin appropriation is enacted. new text end 3.27 new text begin Subd. 2. new text end new text begin Senate new text end new text begin 27,962,000 new text end new text begin 32,286,000 new text end 3.28 new text begin The base for fiscal year 2018 is $32,299,000 new text end 3.29 new text begin and for fiscal year 2019 is $32,105,000. new text end 3.30 new text begin Subd. 3. new text end new text begin House of Representatives new text end new text begin 31,439,000 new text end new text begin 32,383,000 new text end 3.31 new text begin During the biennium ending June 30, 2017, new text end 3.32 new text begin any revenues received by the house of new text end 3.33 new text begin representatives from voluntary donations new text end 3.34 new text begin to support broadcast or print media are new text end 3.35 new text begin appropriated to the house of representatives. new text end 4.1 new text begin Subd. 4. new text end new text begin Legislative Coordinating Commission new text end new text begin 16,903,000 new text end new text begin 17,463,000 new text end 4.2 new text begin Appropriations by Fund new text end 4.3 new text begin General new text end new text begin 16,775,000 new text end new text begin 17,335,000 new text end 4.4 new text begin Health Care Access new text end new text begin 128,000 new text end new text begin 128,000 new text end 4.5 new text begin $6,564,000 each year from the general fund new text end 4.6 new text begin is to the Office of the Legislative Auditor. new text end 4.7 new text begin The auditor is requested to conduct a special new text end 4.8 new text begin review of the Department of Veterans Affairs new text end 4.9 new text begin financial management of Minnesota veterans new text end 4.10 new text begin homes. This review should include an new text end 4.11 new text begin examination of the department's: new text end 4.12 new text begin (1) management of increasing compensation new text end 4.13 new text begin costs, including any projected increases in new text end 4.14 new text begin staffing levels; new text end 4.15 new text begin (2) use of reserve funds in the special revenue new text end 4.16 new text begin fund to manage shortfalls in funding; new text end 4.17 new text begin (3) implementation of federal Centers for new text end 4.18 new text begin Medicare and Medicaid Services certification new text end 4.19 new text begin requirements, and the ability to accurately new text end 4.20 new text begin forecast and obtain federal reimbursements; new text end 4.21 new text begin (4) operation of the adult day care program new text end 4.22 new text begin at the Minneapolis campus; and new text end 4.23 new text begin (5) management of facilities operating costs, new text end 4.24 new text begin including plans to address the needs of aging new text end 4.25 new text begin facilities. new text end 4.26 new text begin $380,000 in fiscal year 2017 is for the new text end 4.27 new text begin revisor's administrative rules system. This is new text end 4.28 new text begin a onetime appropriation. new text end 4.29 new text begin $297,000 the first year and $298,000 the new text end 4.30 new text begin second year is for the Office of the Revisor of new text end 4.31 new text begin Statutes to maintain and improve information new text end 4.32 new text begin technology services. new text end 5.1 new text begin $35,000 in fiscal year 2016 and $35,000 in new text end 5.2 new text begin fiscal year 2017 are to provide support to the new text end 5.3 new text begin Legislative Commission on Data Practices new text end 5.4 new text begin established under Minnesota Statutes, section new text end 5.5 new text begin 3.8843. This is a onetime appropriation. new text end 5.6 new text begin From its funds, $10,000 each year is for new text end 5.7 new text begin purposes of the legislators' forum, through new text end 5.8 new text begin which Minnesota legislators meet with new text end 5.9 new text begin counterparts from South Dakota, North new text end 5.10 new text begin Dakota, and Manitoba to discuss issues of new text end 5.11 new text begin mutual concern. new text end 5.12 5.13 Sec. 3. new text begin GOVERNOR AND LIEUTENANT new text end new text begin GOVERNOR new text end new text begin $ new text end new text begin 3,615,000 new text end new text begin $ new text end new text begin 3,616,000 new text end 5.14 new text begin (a) This appropriation is to fund the Office of new text end 5.15 new text begin the Governor and Lieutenant Governor. new text end 5.16 new text begin (b) Up to $19,000 the first year and up to new text end 5.17 new text begin $19,000 the second year are for necessary new text end 5.18 new text begin expenses in the normal performance of new text end 5.19 new text begin the Governor's and Lieutenant Governor's new text end 5.20 new text begin duties for which no other reimbursement is new text end 5.21 new text begin provided. new text end 5.22 new text begin (c) By September 1 of each year, the new text end 5.23 new text begin commissioner of management and budget new text end 5.24 new text begin shall report to the chairs and ranking minority new text end 5.25 new text begin members of the senate State Departments new text end 5.26 new text begin and Veterans Affairs Budget Division and the new text end 5.27 new text begin house of representatives State Government new text end 5.28 new text begin Finance Committee any personnel costs new text end 5.29 new text begin incurred by the Offices of the Governor and new text end 5.30 new text begin Lieutenant Governor that were supported new text end 5.31 new text begin by appropriations to other agencies during new text end 5.32 new text begin the previous fiscal year. The Office of the new text end 5.33 new text begin Governor shall inform the chairs and ranking new text end 6.1 new text begin minority members of the committees before new text end 6.2 new text begin initiating any interagency agreements. new text end 6.3 Sec. 4. new text begin STATE AUDITOR new text end new text begin $ new text end new text begin 2,185,000 new text end new text begin $ new text end new text begin 2,231,000 new text end 6.4 Sec. 5. new text begin ATTORNEY GENERAL new text end new text begin $ new text end new text begin 24,343,000 new text end new text begin $ new text end new text begin 24,343,000 new text end 6.5 new text begin Appropriations by Fund new text end 6.6 new text begin 2016 new text end new text begin 2017 new text end 6.7 new text begin General new text end new text begin 22,125,000 new text end new text begin 22,125,000 new text end 6.8 6.9 new text begin State Government new text end new text begin Special Revenue new text end new text begin 1,823,000 new text end new text begin 1,823,000 new text end 6.10 new text begin Environmental new text end new text begin 145,000 new text end new text begin 145,000 new text end 6.11 new text begin Remediation new text end new text begin 250,000 new text end new text begin 250,000 new text end 6.12 Sec. 6. new text begin SECRETARY OF STATE new text end new text begin $ new text end new text begin 6,631,000 new text end new text begin $ new text end new text begin 6,631,000 new text end 6.13 new text begin Any funds available in the account new text end 6.14 new text begin established in Minnesota Statutes, section new text end 6.15 new text begin 5.30, pursuant to the Help America Vote Act, new text end 6.16 new text begin are appropriated for the purposes and uses new text end 6.17 new text begin authorized by federal law. new text end 6.18 6.19 Sec. 7. new text begin CAMPAIGN FINANCE AND PUBLIC new text end new text begin DISCLOSURE BOARD new text end new text begin $ new text end new text begin 1,164,000 new text end new text begin $ new text end new text begin 1,028,000 new text end 6.20 new text begin Campaign Finance and Public Disclosure new text end 6.21 new text begin Board Web Site Redevelopment Project. new text end 6.22 new text begin $150,000 in fiscal year 2016 is appropriated new text end 6.23 new text begin to the Campaign Finance and Public new text end 6.24 new text begin Disclosure Board to complete redevelopment new text end 6.25 new text begin of its Web site. This appropriation is new text end 6.26 new text begin available until June 30, 2017. By January 15, new text end 6.27 new text begin 2016, the director of the Campaign Finance new text end 6.28 new text begin and Public Disclosure Board shall report to new text end 6.29 new text begin the chairs and ranking minority members of new text end 6.30 new text begin the senate State Departments and Veterans new text end 6.31 new text begin Affairs Budget Division and the house of new text end 6.32 new text begin representatives State Government Finance new text end 6.33 new text begin Committee on the status of the Web site new text end 6.34 new text begin redevelopment project. The report shall new text end 7.1 new text begin include a budget detailing total dollars to be new text end 7.2 new text begin spent, completion date of the project, and new text end 7.3 new text begin dollars expended to date. new text end 7.4 Sec. 8. new text begin INVESTMENT BOARD new text end new text begin $ new text end new text begin 139,000 new text end new text begin $ new text end new text begin 139,000 new text end 7.5 Sec. 9. new text begin ADMINISTRATIVE HEARINGS new text end new text begin $ new text end new text begin 7,630,000 new text end new text begin $ new text end new text begin 7,633,000 new text end 7.6 new text begin Appropriations by Fund new text end 7.7 new text begin 2016 new text end new text begin 2017 new text end 7.8 new text begin General new text end new text begin 380,000 new text end new text begin 383,000 new text end 7.9 7.10 new text begin Workers' new text end new text begin Compensation new text end new text begin 7,250,000 new text end new text begin 7,250,000 new text end 7.11 new text begin Campaign Violations Hearings. new text end new text begin $115,000 new text end 7.12 new text begin in fiscal year 2016 and $115,000 in fiscal year new text end 7.13 new text begin 2017 are appropriated from the general fund new text end 7.14 new text begin for the cost of considering complaints filed new text end 7.15 new text begin under Minnesota Statutes, section 211B.32. new text end 7.16 new text begin These amounts may be used in either year new text end 7.17 new text begin of the biennium. new text end 7.18 new text begin $6,000 in fiscal year 2016 and $6,000 in new text end 7.19 new text begin fiscal year 2017 are appropriated from the new text end 7.20 new text begin general fund to the Office of Administrative new text end 7.21 new text begin Hearings for the cost of considering data new text end 7.22 new text begin practices complaints filed under Minnesota new text end 7.23 new text begin Statutes, section 13.085. These amounts may new text end 7.24 new text begin be used in either year of the biennium. new text end 7.25 Sec. 10. new text begin MN.IT SERVICES new text end new text begin $ new text end new text begin 2,526,000 new text end new text begin $ new text end new text begin 2,622,000 new text end 7.26 new text begin The commissioner of management and new text end 7.27 new text begin budget is authorized to provide cash flow new text end 7.28 new text begin assistance of up to $110,000,000 from the new text end 7.29 new text begin special revenue fund or other statutory new text end 7.30 new text begin general funds as defined in Minnesota new text end 7.31 new text begin Statutes, section 16A.671, subdivision new text end 7.32 new text begin 3, paragraph (a), to the Office of MN.IT new text end 7.33 new text begin Services for the purpose of managing new text end 8.1 new text begin revenue and expenditure differences during new text end 8.2 new text begin the initial phases of IT consolidation. These new text end 8.3 new text begin funds shall be repaid with interest by the end new text end 8.4 new text begin of the fiscal year 2017 closing period. new text end 8.5 new text begin During the biennium ending June 30, 2017, new text end 8.6 new text begin MN.IT Services must not charge fees to a new text end 8.7 new text begin public noncommercial educational television new text end 8.8 new text begin broadcast station eligible for funding under new text end 8.9 new text begin Minnesota Statutes, chapter 129D, for new text end 8.10 new text begin access to the state broadcast infrastructure. new text end 8.11 new text begin If the access fees not charged to public new text end 8.12 new text begin noncommercial educational television new text end 8.13 new text begin broadcast stations total more than $400,000 new text end 8.14 new text begin for the biennium, the office may charge for new text end 8.15 new text begin access fees in excess of these amounts. new text end 8.16 Sec. 11. new text begin ADMINISTRATION new text end 8.17 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 24,397,000 new text end new text begin $ new text end new text begin 22,346,000 new text end 8.18 new text begin The amounts that may be spent for each new text end 8.19 new text begin purpose are specified in the following new text end 8.20 new text begin subdivisions. new text end 8.21 new text begin Subd. 2. new text end new text begin Government and Citizen Services new text end new text begin 9,465,000 new text end new text begin 8,600,000 new text end 8.22 new text begin $74,000 the first year and $74,000 the second new text end 8.23 new text begin year are for the Council on Developmental new text end 8.24 new text begin Disabilities. new text end 8.25 new text begin $735,000 the first year and $65,000 the new text end 8.26 new text begin second year are to conduct a disparity study new text end 8.27 new text begin required under Minnesota Statutes, section new text end 8.28 new text begin 16C.16, subdivision 5. This is a onetime new text end 8.29 new text begin appropriation. new text end 8.30 new text begin $200,000 in fiscal year 2016 and $200,000 new text end 8.31 new text begin in fiscal year 2017 are credited to the new text end 8.32 new text begin accommodation account established in new text end 8.33 new text begin Minnesota Statutes, section 16B.4805. new text end 9.1 new text begin In fiscal year 2016, the commissioner of new text end 9.2 new text begin administration may use five percent of new text end 9.3 new text begin the appropriation for fiscal year 2016 for new text end 9.4 new text begin developing policies and procedures to new text end 9.5 new text begin implement the reimbursement program new text end 9.6 new text begin established in Minnesota Statutes, section new text end 9.7 new text begin 16B.4805, and for educating qualifying new text end 9.8 new text begin agencies about the availability of and new text end 9.9 new text begin process for receiving reimbursement for new text end 9.10 new text begin accommodation expenses. new text end 9.11 new text begin Subd. 3. new text end new text begin Strategic Management Services new text end new text begin 1,975,000 new text end new text begin 2,009,000 new text end 9.12 new text begin Subd. 4. new text end new text begin Fiscal Agent new text end new text begin 12,957,000 new text end new text begin 11,737,000 new text end 9.13 new text begin The appropriations under this section are to new text end 9.14 new text begin the commissioner of administration for the new text end 9.15 new text begin purposes specified. new text end 9.16 new text begin In-Lieu of Rent. new text end new text begin $8,158,000 the first year new text end 9.17 new text begin and $8,158,000 the second year are for new text end 9.18 new text begin space costs of the legislature and veterans new text end 9.19 new text begin organizations, ceremonial space, and new text end 9.20 new text begin statutorily free space. In-lieu of rent may be new text end 9.21 new text begin used for rent loss and relocation expenses new text end 9.22 new text begin related to the Capitol restoration in the fiscal new text end 9.23 new text begin year 2014-2015 biennium and fiscal year new text end 9.24 new text begin 2016-2017 biennium. new text end 9.25 new text begin Relocation Expenses. new text end new text begin $1,380,000 the first new text end 9.26 new text begin year and $960,000 the second year are for new text end 9.27 new text begin rent loss and relocation expenses related new text end 9.28 new text begin to the Capitol renovation project. This is a new text end 9.29 new text begin onetime appropriation. new text end 9.30 new text begin Public Broadcasting. new text end new text begin (a) $1,550,000 the new text end 9.31 new text begin first year and $1,550,000 the second year are new text end 9.32 new text begin for matching grants for public television. new text end 9.33 new text begin (b) $550,000 the first year and $250,000 new text end 9.34 new text begin the second year are for public television new text end 10.1 new text begin equipment grants under Minnesota Statutes, new text end 10.2 new text begin section 129D.13. new text end 10.3 new text begin (c) The commissioner of administration new text end 10.4 new text begin must consider the recommendations of the new text end 10.5 new text begin Minnesota Public Television Association new text end 10.6 new text begin before allocating the amount appropriated new text end 10.7 new text begin in paragraphs (a) and (b) for equipment or new text end 10.8 new text begin matching grants. new text end 10.9 new text begin (d) $592,000 the first year and $392,000 the new text end 10.10 new text begin second year are for community service grants new text end 10.11 new text begin to public educational radio stations. This new text end 10.12 new text begin appropriation may be used to disseminate new text end 10.13 new text begin emergency information in foreign languages. new text end 10.14 new text begin (e) $167,000 the first year and $117,000 new text end 10.15 new text begin the second year are for equipment grants new text end 10.16 new text begin to public educational radio stations. This new text end 10.17 new text begin appropriation may be used for the repair, new text end 10.18 new text begin rental, and purchase of equipment including new text end 10.19 new text begin equipment under $500. new text end 10.20 new text begin (f) $560,000 the first year and $310,000 new text end 10.21 new text begin the second year are for equipment grants new text end 10.22 new text begin to Minnesota Public Radio, Inc., including new text end 10.23 new text begin upgrades to Minnesota's Emergency Alert new text end 10.24 new text begin and AMBER Alert Systems. new text end 10.25 new text begin (g) The appropriations in paragraphs (d), new text end 10.26 new text begin (e), and (f), may not be used for indirect new text end 10.27 new text begin costs claimed by an institution or governing new text end 10.28 new text begin body. The commissioner of administration new text end 10.29 new text begin must consider the recommendations of new text end 10.30 new text begin the Minnesota Public Educational Radio new text end 10.31 new text begin Stations before awarding grants under new text end 10.32 new text begin Minnesota Statutes, section 129D.14, using new text end 10.33 new text begin the appropriations in paragraphs (d), (e), and new text end 10.34 new text begin (f). No grantee is eligible for a grant unless new text end 10.35 new text begin they are a member of the Association of new text end 11.1 new text begin Minnesota Public Educational Radio Stations new text end 11.2 new text begin on or before July 1, 2015. new text end 11.3 new text begin (h) Any unencumbered balance remaining new text end 11.4 new text begin the first year for grants to public television or new text end 11.5 new text begin radio stations does not cancel and is available new text end 11.6 new text begin for the second year. new text end 11.7 11.8 11.9 Sec. 12. new text begin CAPITOL AREA new text end new text begin ARCHITECTURAL AND PLANNING new text end new text begin BOARD new text end new text begin $ new text end new text begin 340,000 new text end new text begin $ new text end new text begin 345,000 new text end 11.10 11.11 Sec. 13. new text begin MINNESOTA MANAGEMENT AND new text end new text begin BUDGET new text end new text begin $ new text end new text begin 22,398,000 new text end new text begin $ new text end new text begin 23,691,000 new text end 11.12 new text begin $1,000,000 in fiscal year 2016 and new text end 11.13 new text begin $2,000,000 in fiscal year 2017 are to maintain new text end 11.14 new text begin and upgrade statewide business systems, new text end 11.15 new text begin including, but not limited to, the statewide new text end 11.16 new text begin accounting system, the human resource and new text end 11.17 new text begin payroll system, the employment application new text end 11.18 new text begin system, the enterprise learning management new text end 11.19 new text begin system, the budget planning and analysis new text end 11.20 new text begin system, the fiscal note tracking system, and new text end 11.21 new text begin capital budget system. new text end 11.22 new text begin $121,000 the first year and $122,000 the new text end 11.23 new text begin second year are to develop and implement new text end 11.24 new text begin a return on taxpayer investment (ROTI) new text end 11.25 new text begin methodology using the Pew-MacArthur new text end 11.26 new text begin Results First framework to evaluate new text end 11.27 new text begin corrections and human services programs new text end 11.28 new text begin administered and funded by state and new text end 11.29 new text begin county governments. The commissioner new text end 11.30 new text begin shall engage and work with staff from new text end 11.31 new text begin Pew-MacArthur Results First, and shall new text end 11.32 new text begin consult with representatives of other state new text end 11.33 new text begin agencies, counties, legislative staff, the new text end 11.34 new text begin commissioners of corrections and human new text end 11.35 new text begin services, and other commissioners of state new text end 12.1 new text begin agencies and stakeholders to implement the new text end 12.2 new text begin established methodology. The commissioner new text end 12.3 new text begin of management and budget shall report new text end 12.4 new text begin on implementation progress and make new text end 12.5 new text begin recommendations to the governor and new text end 12.6 new text begin legislature by January 31, 2017. new text end 12.7 new text begin The commissioner must report to the chairs new text end 12.8 new text begin and ranking minority members of the new text end 12.9 new text begin House of Representatives State Government new text end 12.10 new text begin Finance Committee and the Senate State new text end 12.11 new text begin Departments and Veterans Budget Division new text end 12.12 new text begin by July 15, 2015, on the gainsharing program new text end 12.13 new text begin in Minnesota Statutes, Section 16A.90. The new text end 12.14 new text begin report must include information on how the new text end 12.15 new text begin commissioner has promoted the program new text end 12.16 new text begin to state employees, results achieved under new text end 12.17 new text begin the program, and recommendations for any new text end 12.18 new text begin legislative changes needed to make the new text end 12.19 new text begin program more effective. new text end 12.20 Sec. 14. new text begin REVENUE new text end 12.21 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 144,438,000 new text end new text begin $ new text end new text begin 146,112,000 new text end 12.22 new text begin Appropriations by Fund new text end 12.23 new text begin 2016 new text end new text begin 2017 new text end 12.24 new text begin General new text end new text begin 140,203,000 new text end new text begin 141,877,000 new text end 12.25 new text begin Health Care Access new text end new text begin 1,749,000 new text end new text begin 1,749,000 new text end 12.26 12.27 new text begin Highway User Tax new text end new text begin Distribution new text end new text begin 2,183,000 new text end new text begin 2,183,000 new text end 12.28 new text begin Environmental new text end new text begin 303,000 new text end new text begin 303,000 new text end 12.29 new text begin Subd. 2. new text end new text begin Tax System Management new text end new text begin 115,822,000 new text end new text begin 117,496,000 new text end 12.30 new text begin Appropriations by Fund new text end 12.31 new text begin General new text end new text begin 111,587,000 new text end new text begin 113,261,000 new text end 12.32 new text begin Health Care Access new text end new text begin 1,749,000 new text end new text begin 1,749,000 new text end 12.33 12.34 new text begin Highway User Tax new text end new text begin Distribution new text end new text begin 2,183,000 new text end new text begin 2,183,000 new text end 12.35 new text begin Environmental new text end new text begin 303,000 new text end new text begin 303,000 new text end 13.1 new text begin Appropriation; Taxpayer Assistance. new text end 13.2 new text begin (a) $400,000 each year from the general new text end 13.3 new text begin fund is for grants to one or more nonprofit new text end 13.4 new text begin organizations, qualifying under section new text end 13.5 new text begin 501(c)(3) of the Internal Revenue Code of new text end 13.6 new text begin 1986, to coordinate, facilitate, encourage, and new text end 13.7 new text begin aid in the provision of taxpayer assistance new text end 13.8 new text begin services. The unencumbered balance in the new text end 13.9 new text begin first year does not cancel but is available for new text end 13.10 new text begin the second year. new text end 13.11 new text begin (b) For purposes of this section, "taxpayer new text end 13.12 new text begin assistance services" means accounting new text end 13.13 new text begin and tax preparation services provided by new text end 13.14 new text begin volunteers to low-income, elderly, and new text end 13.15 new text begin disadvantaged Minnesota residents to help new text end 13.16 new text begin them file federal and state income tax returns new text end 13.17 new text begin and Minnesota property tax refund claims new text end 13.18 new text begin and to provide personal representation before new text end 13.19 new text begin the Department of Revenue and Internal new text end 13.20 new text begin Revenue Service. new text end 13.21 new text begin Subd. 3. new text end new text begin Debt Collection Management new text end new text begin 28,616,000 new text end new text begin 28,616,000 new text end 13.22 Sec. 15. new text begin GAMBLING CONTROL new text end new text begin $ new text end new text begin 3,260,000 new text end new text begin $ new text end new text begin 3,324,000 new text end 13.23 new text begin These appropriations are from the lawful new text end 13.24 new text begin gambling regulation account in the special new text end 13.25 new text begin revenue fund. new text end 13.26 Sec. 16. new text begin RACING COMMISSION new text end new text begin $ new text end new text begin 1,168,000 new text end new text begin $ new text end new text begin 1,153,000 new text end 13.27 new text begin Appropriations by Fund new text end 13.28 new text begin 2016 new text end new text begin 2017 new text end 13.29 new text begin General new text end new text begin 269,000 new text end new text begin 72,000 new text end 13.30 new text begin Special Revenue new text end new text begin 899,000 new text end new text begin 1,081,000 new text end 13.31 new text begin The general fund appropriation is for fiscal new text end 13.32 new text begin years 2016 and 2017 only. new text end 14.1 new text begin The special revenue fund appropriations are new text end 14.2 new text begin from the racing and card playing regulation new text end 14.3 new text begin accounts. The base for the special revenue new text end 14.4 new text begin fund appropriation is $972,000 in fiscal year new text end 14.5 new text begin 2018 and $971,000 in fiscal year 2019. new text end 14.6 new text begin The Racing Commission is directed to work new text end 14.7 new text begin in consultation with the racing industry new text end 14.8 new text begin to propose permanent dedicated funding new text end 14.9 new text begin changes to fully support the operations of new text end 14.10 new text begin the commission to ensure that racing is new text end 14.11 new text begin conducted in the public interest. These new text end 14.12 new text begin changes shall be reported to the Office of the new text end 14.13 new text begin Governor and to the majority and minority new text end 14.14 new text begin leaders of the relevant finance and policy new text end 14.15 new text begin legislative committees by November 1, 2015. new text end 14.16 Sec. 17. new text begin STATE LOTTERY new text end 14.17 new text begin Notwithstanding Minnesota Statutes, section new text end 14.18 new text begin , subdivision 3, the operating budget new text end 14.19 new text begin must not exceed $31,000,000 in fiscal year new text end 14.20 new text begin 2016 and $31,000,000 in fiscal year 2017. new text end 14.21 Sec. 18. new text begin AMATEUR SPORTS COMMISSION new text end new text begin $ new text end new text begin 300,000 new text end new text begin $ new text end new text begin 300,000 new text end 14.22 14.23 Sec. 19. new text begin COUNCIL ON BLACK new text end new text begin MINNESOTANS new text end new text begin $ new text end new text begin 396,000 new text end new text begin $ new text end new text begin 401,000 new text end 14.24 14.25 Sec. 20. new text begin COUNCIL ON ASIAN-PACIFIC new text end new text begin MINNESOTANS new text end new text begin $ new text end new text begin 359,000 new text end new text begin $ new text end new text begin 364,000 new text end 14.26 14.27 Sec. 21. new text begin COUNCIL ON AFFAIRS OF new text end new text begin CHICANO/LATINO PEOPLE new text end new text begin $ new text end new text begin 381,000 new text end new text begin $ new text end new text begin 386,000 new text end 14.28 Sec. 22. new text begin INDIAN AFFAIRS COUNCIL new text end new text begin $ new text end new text begin 569,000 new text end new text begin $ new text end new text begin 576,000 new text end 14.29 14.30 Sec. 23. new text begin MINNESOTA HISTORICAL new text end new text begin SOCIETY new text end 14.31 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 22,022,000 new text end new text begin $ new text end new text begin 22,193,000 new text end 15.1 new text begin The amounts that may be spent for each new text end 15.2 new text begin purpose are specified in the following new text end 15.3 new text begin subdivisions. new text end 15.4 new text begin Subd. 2. new text end new text begin Operations and Programs new text end new text begin 21,576,000 new text end new text begin 21,822,000 new text end 15.5 new text begin Notwithstanding Minnesota Statutes, section new text end 15.6 new text begin 138.668, the Minnesota Historical Society new text end 15.7 new text begin may not charge a fee for its general tours at new text end 15.8 new text begin the Capitol, but may charge fees for special new text end 15.9 new text begin programs other than general tours. new text end 15.10 new text begin Subd. 3. new text end new text begin Fiscal Agent new text end 15.11 new text begin (a) Minnesota International Center new text end new text begin 39,000 new text end new text begin 39,000 new text end 15.12 new text begin (b) Minnesota Air National Guard Museum new text end new text begin 17,000 new text end new text begin 17,000 new text end 15.13 new text begin (c) Minnesota Military Museum new text end new text begin 100,000 new text end new text begin 100,000 new text end 15.14 new text begin $50,000 in fiscal year 2016 and $50,000 in new text end 15.15 new text begin fiscal year 2017 are for an archivist position. new text end 15.16 new text begin This is a onetime appropriation and available new text end 15.17 new text begin until June 30, 2017. new text end 15.18 new text begin (d) Farmamerica new text end new text begin 190,000 new text end new text begin 115,000 new text end 15.19 new text begin $75,000 in fiscal year 2016 is for a grant new text end 15.20 new text begin to Farmamerica, the Minnesota agriculture new text end 15.21 new text begin interpretive center, for capital improvements. new text end 15.22 new text begin (e) Hockey Hall of Fame new text end new text begin 100,000 new text end new text begin 100,000 new text end 15.23 new text begin Balances Forward. new text end new text begin Any unencumbered new text end 15.24 new text begin balance remaining in this subdivision the first new text end 15.25 new text begin year does not cancel but is available for the new text end 15.26 new text begin second year of the biennium. new text end 15.27 Sec. 24. new text begin BOARD OF THE ARTS new text end 15.28 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 7,522,000 new text end new text begin $ new text end new text begin 7,530,000 new text end 15.29 new text begin The amounts that may be spent for each new text end 15.30 new text begin purpose are specified in the following new text end 15.31 new text begin subdivisions. new text end 16.1 new text begin Subd. 2. new text end new text begin Operations and Services new text end new text begin 583,000 new text end new text begin 591,000 new text end 16.2 new text begin Subd. 3. new text end new text begin Grants Program new text end new text begin 4,800,000 new text end new text begin 4,800,000 new text end 16.3 new text begin Subd. 4. new text end new text begin Regional Arts Councils new text end new text begin 2,139,000 new text end new text begin 2,139,000 new text end 16.4 new text begin Unencumbered Balance Available. new text end new text begin Any new text end 16.5 new text begin unencumbered balance remaining in this new text end 16.6 new text begin section the first year does not cancel, but is new text end 16.7 new text begin available for the second year of the biennium. new text end 16.8 new text begin Projects located in Minnesota; travel new text end 16.9 new text begin restriction. new text end new text begin Money appropriated in this new text end 16.10 new text begin section and distributed as grants may only new text end 16.11 new text begin be spent on projects located in Minnesota. new text end 16.12 new text begin A recipient of a grant funded by an new text end 16.13 new text begin appropriation in this section must not use new text end 16.14 new text begin more than ten percent of the total grant for new text end 16.15 new text begin costs related to travel outside the state of new text end 16.16 new text begin Minnesota. new text end 16.17 16.18 Sec. 25. new text begin MINNESOTA HUMANITIES new text end new text begin CENTER new text end new text begin $ new text end new text begin 675,000 new text end new text begin $ new text end new text begin 675,000 new text end 16.19 new text begin $325,000 in fiscal year 2016 and $325,000 in new text end 16.20 new text begin fiscal year 2017 are for the healthy eating, new text end 16.21 new text begin here at home program under Minnesota new text end 16.22 new text begin Statutes, section 138.912. No more than new text end 16.23 new text begin three percent of the appropriation may be new text end 16.24 new text begin used for the nonprofit administration of the new text end 16.25 new text begin grant program under Minnesota Statutes, new text end 16.26 new text begin section 138.912. new text end 16.27 Sec. 26. new text begin BOARD OF ACCOUNTANCY new text end new text begin $ new text end new text begin 639,000 new text end new text begin $ new text end new text begin 641,000 new text end 16.28 16.29 16.30 16.31 Sec. 27. new text begin BOARD OF ARCHITECTURE new text end new text begin ENGINEERING, LAND SURVEYING, new text end new text begin LANDSCAPE ARCHITECTURE, new text end new text begin GEOSCIENCE, AND INTERIOR DESIGN new text end new text begin $ new text end new text begin 784,000 new text end new text begin $ new text end new text begin 794,000 new text end 16.32 16.33 Sec. 28. new text begin BOARD OF COSMETOLOGIST new text end new text begin EXAMINERS new text end new text begin $ new text end new text begin 2,565,000 new text end new text begin $ new text end new text begin 2,584,000 new text end 17.1 Sec. 29. new text begin BOARD OF BARBER EXAMINERS new text end new text begin $ new text end new text begin 321,000 new text end new text begin $ new text end new text begin 325,000 new text end 17.2 17.3 Sec. 30. new text begin GENERAL CONTINGENT new text end new text begin ACCOUNTS new text end new text begin $ new text end new text begin 1,000,000 new text end new text begin $ new text end new text begin 500,000 new text end 17.4 new text begin Appropriations by Fund new text end 17.5 new text begin 2016 new text end new text begin 2017 new text end 17.6 new text begin General new text end new text begin 500,000 new text end new text begin -0- new text end 17.7 17.8 new text begin State Government new text end new text begin Special Revenue new text end new text begin 400,000 new text end new text begin 400,000 new text end 17.9 17.10 new text begin Workers' new text end new text begin Compensation new text end new text begin 100,000 new text end new text begin 100,000 new text end 17.11 new text begin (a) The appropriations in this section new text end 17.12 new text begin may only be spent with the approval of new text end 17.13 new text begin the governor after consultation with the new text end 17.14 new text begin Legislative Advisory Commission pursuant new text end 17.15 new text begin to Minnesota Statutes, section 3.30. new text end 17.16 new text begin (b) If an appropriation in this section for new text end 17.17 new text begin either year is insufficient, the appropriation new text end 17.18 new text begin for the other year is available for it. new text end 17.19 new text begin (c) If a contingent account appropriation new text end 17.20 new text begin is made in one fiscal year, it should be new text end 17.21 new text begin considered a biennial appropriation. new text end 17.22 Sec. 31. new text begin TORT CLAIMS new text end new text begin $ new text end new text begin 161,000 new text end new text begin $ new text end new text begin 161,000 new text end 17.23 new text begin These appropriations are to be spent by the new text end 17.24 new text begin commissioner of management and budget new text end 17.25 new text begin according to Minnesota Statutes, section new text end 17.26 new text begin 3.736, subdivision 7. If the appropriation for new text end 17.27 new text begin either year is insufficient, the appropriation new text end 17.28 new text begin for the other year is available for it. new text end 17.29 17.30 Sec. 32. new text begin MINNESOTA STATE RETIREMENT new text end new text begin SYSTEM new text end 17.31 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 6,552,000 new text end new text begin $ new text end new text begin 8,936,000 new text end 18.1 new text begin The amounts that may be spent for each new text end 18.2 new text begin purpose are specified in the following new text end 18.3 new text begin subdivisions. new text end 18.4 18.5 new text begin Subd. 2. new text end new text begin Combined Legislators and new text end new text begin Constitutional Officers Retirement Plan new text end 18.6 new text begin Under Minnesota Statutes, sections 3A.03, new text end 18.7 new text begin subdivision 2; 3A.04, subdivisions 3 and 4; new text end 18.8 new text begin and 3A.115. new text end 18.9 new text begin If an appropriation in this section for either new text end 18.10 new text begin year is insufficient, the appropriation for the new text end 18.11 new text begin other year is available for it. new text end 18.12 18.13 Sec. 33. new text begin PUBLIC EMPLOYEES new text end new text begin RETIREMENT ASSOCIATION new text end new text begin $ new text end new text begin 6,000,000 new text end new text begin $ new text end new text begin 6,000,000 new text end 18.14 new text begin Notwithstanding Minnesota Statutes, section new text end 18.15 new text begin 353.505, the state payments to the Public new text end 18.16 new text begin Employees Retirement Association on behalf new text end 18.17 new text begin of the former MERF division account are new text end 18.18 new text begin $6,000,000 on September 15, 2015 and new text end 18.19 new text begin $6,000,000 on September 15, 2016. new text end 18.20 18.21 Sec. 34. new text begin TEACHERS RETIREMENT new text end new text begin ASSOCIATION new text end new text begin $ new text end new text begin 29,831,000 new text end new text begin $ new text end new text begin 29,831,000 new text end 18.22 new text begin The amounts estimated to be needed are as new text end 18.23 new text begin follows: new text end 18.24 new text begin Special Direct State Aid. new text end new text begin $27,331,000 the new text end 18.25 new text begin first year and $27,331,000 the second year new text end 18.26 new text begin are for special direct state aid authorized new text end 18.27 new text begin under Minnesota Statutes, section 354.436. new text end 18.28 new text begin Special Direct State Matching Aid. new text end 18.29 new text begin $2,500,000 the first year and $2,500,000 new text end 18.30 new text begin the second year are for special direct state new text end 18.31 new text begin matching aid authorized under Minnesota new text end 18.32 new text begin Statutes, section 354.435. new text end 19.1 19.2 Sec. 35. new text begin ST. PAUL TEACHERS new text end new text begin RETIREMENT FUND new text end new text begin $ new text end new text begin 9,827,000 new text end new text begin $ new text end new text begin 9,827,000 new text end 19.3 new text begin The amounts estimated to be needed for new text end 19.4 new text begin special direct state aid to the first class new text end 19.5 new text begin city teachers retirement fund association new text end 19.6 new text begin authorized under Minnesota Statutes, section new text end 19.7 new text begin , subdivisions 3a and 3c. new text end 19.8 Sec. 36. new text begin MILITARY AFFAIRS new text end 19.9 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 19,368,000 new text end new text begin $ new text end new text begin 19,368,000 new text end 19.10 new text begin The amounts that may be spent for each new text end 19.11 new text begin purpose are specified in the following new text end 19.12 new text begin subdivisions. new text end 19.13 new text begin Subd. 2. new text end new text begin Maintenance of Training Facilities new text end new text begin 9,661,000 new text end new text begin 9,661,000 new text end 19.14 new text begin Subd. 3. new text end new text begin General Support new text end new text begin 2,819,000 new text end new text begin 2,819,000 new text end 19.15 new text begin Subd. 4. new text end new text begin Enlistment Incentives new text end new text begin 6,888,000 new text end new text begin 6,888,000 new text end 19.16 new text begin Appropriation Availability. new text end new text begin If new text end 19.17 new text begin appropriations for either year of the biennium new text end 19.18 new text begin are insufficient, the appropriation from the new text end 19.19 new text begin other year is available. The appropriations new text end 19.20 new text begin for enlistment incentives are available until new text end 19.21 new text begin expended. new text end 19.22 new text begin Transfer Authority. new text end new text begin Of the funds carried new text end 19.23 new text begin forward from fiscal year 2015 to fiscal new text end 19.24 new text begin year 2016, in the enlistment incentives new text end 19.25 new text begin appropriation, $10,000,000 in fiscal year new text end 19.26 new text begin 2016 may be transferred to the maintenance new text end 19.27 new text begin of training facilities appropriation to new text end 19.28 new text begin address significant maintenance backlog new text end 19.29 new text begin to the department's military training and new text end 19.30 new text begin community centers. This is a onetime new text end 19.31 new text begin transfer and is available until June 30, 2019. new text end 19.32 Sec. 37. new text begin VETERANS AFFAIRS new text end 20.1 new text begin Subdivision 1. new text end new text begin Total Appropriation new text end new text begin $ new text end new text begin 69,106,000 new text end new text begin $ new text end new text begin 73,679,000 new text end 20.2 new text begin The amounts that may be spent for each new text end 20.3 new text begin purpose are specified in the following new text end 20.4 new text begin subdivisions. new text end 20.5 new text begin Subd. 2. new text end new text begin Veterans Programs and Services new text end new text begin 16,393,000 new text end new text begin 16,461,000 new text end 20.6 new text begin $44,000 for a transfer to the Department new text end 20.7 new text begin of Education to implement the expedited new text end 20.8 new text begin and temporary licensing provisions of new text end 20.9 new text begin Minnesota Statutes, section 197.4552. This new text end 20.10 new text begin appropriation is available until June 30, 2017. new text end 20.11 new text begin Veterans Service Organizations. new text end new text begin $353,000 new text end 20.12 new text begin each year is for grants to the following new text end 20.13 new text begin congressionally chartered veterans service new text end 20.14 new text begin organizations, as designated by the new text end 20.15 new text begin commissioner: Disabled American Veterans, new text end 20.16 new text begin Military Order of the Purple Heart, the new text end 20.17 new text begin American Legion, Veterans of Foreign Wars, new text end 20.18 new text begin Vietnam Veterans of America, AMVETS, new text end 20.19 new text begin and Paralyzed Veterans of America. This new text end 20.20 new text begin funding must be allocated in direct proportion new text end 20.21 new text begin to the funding currently being provided by new text end 20.22 new text begin the commissioner to these organizations. new text end 20.23 new text begin Minnesota Assistance Council for new text end 20.24 new text begin Veterans. new text end new text begin $750,000 each year is for a grant new text end 20.25 new text begin to the Minnesota Assistance Council for new text end 20.26 new text begin Veterans to provide assistance throughout new text end 20.27 new text begin Minnesota to veterans and their families who new text end 20.28 new text begin are homeless or in danger of homelessness, new text end 20.29 new text begin including assistance with the following: new text end 20.30 new text begin (1) utilities; new text end 20.31 new text begin (2) employment; and new text end 20.32 new text begin (3) legal issues. new text end 21.1 new text begin The assistance authorized under this new text end 21.2 new text begin paragraph must be made only to veterans who new text end 21.3 new text begin have resided in Minnesota for 30 days prior new text end 21.4 new text begin to application for assistance and according new text end 21.5 new text begin to other guidelines established by the new text end 21.6 new text begin commissioner. In order to avoid duplication new text end 21.7 new text begin of services, the commissioner must ensure new text end 21.8 new text begin that this assistance is coordinated with all new text end 21.9 new text begin other available programs for veterans. new text end 21.10 new text begin Honor Guards. new text end new text begin $200,000 each year is for new text end 21.11 new text begin compensation for honor guards at the funerals new text end 21.12 new text begin of veterans under Minnesota Statutes, section new text end 21.13 new text begin 197.231. new text end 21.14 new text begin Minnesota GI Bill. new text end new text begin $200,000 each year is new text end 21.15 new text begin for the costs of administering the Minnesota new text end 21.16 new text begin GI Bill postsecondary educational benefits, new text end 21.17 new text begin on-the-job training, and apprenticeship new text end 21.18 new text begin program under Minnesota Statutes, section new text end 21.19 new text begin 197.791. Of this amount, $100,000 is for new text end 21.20 new text begin transfer to the Office of Higher Education. new text end 21.21 new text begin Gold Star Program. new text end new text begin $100,000 each year new text end 21.22 new text begin is for administering the Gold Star Program new text end 21.23 new text begin for surviving family members of deceased new text end 21.24 new text begin veterans. new text end 21.25 new text begin County Veterans Service Office. new text end 21.26 new text begin $1,100,000 each year is for funding the new text end 21.27 new text begin County Veterans Service Office grant new text end 21.28 new text begin program under Minnesota Statutes, section new text end 21.29 new text begin 197.608. new text end 21.30 new text begin Subd. 3. new text end new text begin Veterans Homes new text end new text begin 52,713,000 new text end new text begin 57,218,000 new text end 21.31 new text begin Veterans Homes Special Revenue Account. new text end 21.32 new text begin The general fund appropriations made to the new text end 21.33 new text begin department may be transferred to a veterans new text end 21.34 new text begin homes special revenue account in the special new text end 22.1 new text begin revenue fund in the same manner as other new text end 22.2 new text begin receipts are deposited according to Minnesota new text end 22.3 new text begin Statutes, section 198.34, and are appropriated new text end 22.4 new text begin to the department for the operation of new text end 22.5 new text begin veterans homes facilities and programs. new text end 22.6 new text begin Maximize Federal Reimbursements. new text end 22.7 new text begin The department will seek opportunities new text end 22.8 new text begin to maximize federal reimbursements of new text end 22.9 new text begin Medicare-eligible expenses and will provide new text end 22.10 new text begin annual reports to the commissioner of new text end 22.11 new text begin management and budget on the federal new text end 22.12 new text begin Medicare reimbursements received. new text end 22.13 new text begin Contingent upon future federal Medicare new text end 22.14 new text begin receipts, reductions to the homes' general new text end 22.15 new text begin fund appropriation may be made. new text end 22.16 22.17 Sec. 38. new text begin APPROPRIATION new text end new text begin CANCELLATIONS new text end 22.18 new text begin All unspent funds, estimated to be $44,000, new text end 22.19 new text begin to implement the expedited and temporary new text end 22.20 new text begin licensing provisions of Minnesota Statutes, new text end 22.21 new text begin section 197.4552, under Laws 2014, chapter new text end 22.22 new text begin 312, article 4, section 2, subdivision 8, are new text end 22.23 new text begin canceled to the general fund on June 30, 2015. new text end 22.24 new text begin All unspent funds, estimated to be $150,000, new text end 22.25 new text begin from the Web site redevelopment project new text end 22.26 new text begin appropriation under Laws 2013, chapter new text end 22.27 new text begin 142, article 1, section 7, are canceled to the new text end 22.28 new text begin general fund on June 30, 2015. new text end 22.29ARTICLE 2 22.30STATE GOVERNMENT OPERATIONS 22.31    Section 1. Minnesota Statutes 2014, section 3.8843, subdivision 5, is amended to read: 22.32    Subd. 5. Staff. Legislative staff must provide administrative and research assistance 22.33to the commission. new text begin The Legislative Coordinating Commission may, if funding is available, new text end 22.34 new text begin appoint staff to provide research assistance. new text end 23.1    Sec. 2. new text begin [3.9735] EVALUATION OF ECONOMIC DEVELOPMENT INCENTIVE new text end 23.2 new text begin PROGRAMS. new text end 23.3     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin For purposes of this section, the terms defined in this new text end 23.4 new text begin section have the meanings given them. new text end 23.5 new text begin (a) "General incentive" means a state program, statutory provision, or tax expenditure, new text end 23.6 new text begin including tax credits, tax exemptions, tax deductions, grants, or loans, that is intended to new text end 23.7 new text begin encourage businesses to locate, expand, invest, or remain in Minnesota or to hire or retain new text end 23.8 new text begin employees in Minnesota. To be a general incentive, a state program, statutory provision, new text end 23.9 new text begin or tax expenditure must be funded by an appropriation from the general fund, and be new text end 23.10 new text begin available to multiple entities, projects, or associated projects or include eligibility criteria new text end 23.11 new text begin with the intent that it will be available to multiple entities, projects, or associated projects. new text end 23.12 new text begin (b) "Exclusive incentive" means a state program, statutory provision, tax new text end 23.13 new text begin expenditure, or section of a general incentive, including tax credits, tax exemptions, tax new text end 23.14 new text begin deductions, grants, or loans, that is intended to encourage a single specific entity, project, new text end 23.15 new text begin or associated projects to locate, expand, invest, or remain in Minnesota or to hire or retain new text end 23.16 new text begin employees in Minnesota. new text end 23.17     new text begin Subd. 2. new text end new text begin Selection of general incentives for review; schedule for evaluation; new text end 23.18 new text begin report. new text end new text begin Annually, the legislative auditor shall submit to the Legislative Audit Commission new text end 23.19 new text begin a list of three to five general incentives proposed for review. In selecting general new text end 23.20 new text begin incentives to include on this list, the legislative auditor may consider what the incentive new text end 23.21 new text begin will cost state and local governments in actual spending and foregone revenue currently or new text end 23.22 new text begin projected into the future, the legislature's need for information about a general incentive new text end 23.23 new text begin that has an upcoming expiration date, and the legislature's need for regular information on new text end 23.24 new text begin the results of all major general incentives. Annually, the Legislative Audit Commission new text end 23.25 new text begin will select at least one general incentive for the legislative auditor's evaluation. The new text end 23.26 new text begin legislative auditor will evaluate the selected general incentive or incentives, prepared new text end 23.27 new text begin according to the evaluation plan established under subdivision 4, and submit a written new text end 23.28 new text begin report to the Legislative Audit Commission. new text end 23.29     new text begin Subd. 3. new text end new text begin Exclusive incentive schedule. new text end new text begin The legislative auditor's schedule shall new text end 23.30 new text begin ensure that at least once every four years the legislative auditor will complete an analysis new text end 23.31 new text begin of best practices for exclusive incentives. new text end 23.32     new text begin Subd. 4. new text end new text begin Evaluation plans. new text end new text begin By February 1, 2016, the Legislative Audit Commission new text end 23.33 new text begin shall establish evaluation plans that identify elements that the legislative auditor must new text end 23.34 new text begin include in evaluations of a general incentive and an exclusive incentive. The Legislative new text end 23.35 new text begin Audit Commission may modify the evaluation plans as needed. new text end 24.1    Sec. 3. new text begin [6.481] COUNTY AUDITS. new text end 24.2     new text begin Subdivision 1. new text end new text begin Powers and duties. new text end new text begin All the powers and duties conferred and imposed new text end 24.3 new text begin upon the state auditor shall be exercised and performed by the state auditor in respect to new text end 24.4 new text begin the offices, institutions, public property, and improvements of several counties of the new text end 24.5 new text begin state. The state auditor may visit, without previous notice, each county and examine all new text end 24.6 new text begin accounts and records relating to the receipt and disbursement of the public funds and the new text end 24.7 new text begin custody of the public funds and other property. The state auditor shall prescribe and install new text end 24.8 new text begin systems of accounts and financial reports that shall be uniform, so far as practicable, for new text end 24.9 new text begin the same class of offices. new text end 24.10     new text begin Subd. 2. new text end new text begin Annual audit required. new text end new text begin A county must have an annual financial audit. new text end 24.11 new text begin A county may choose to have the audit performed by the state auditor, or may choose to new text end 24.12 new text begin have the audit performed by a CPA firm meeting the requirements of section 326A.05. new text end 24.13 new text begin The state auditor or a CPA firm may accept the records and audit of the Department of new text end 24.14 new text begin Human Services instead of examining county human service funds, if the audit of the new text end 24.15 new text begin Department of Human Services has been made within any period covered by the auditor's new text end 24.16 new text begin audit of other county records. new text end 24.17     new text begin Subd. 3. new text end new text begin CPA firm audit. new text end new text begin A county audit performed by a CPA firm must meet new text end 24.18 new text begin the standards and be in the form required by the state auditor. The state auditor may new text end 24.19 new text begin require additional information from the CPA firm if the state auditor determines that is new text end 24.20 new text begin in the public interest, but the state auditor must accept the audit unless the state auditor new text end 24.21 new text begin determines it does not meet recognized industry auditing standards or is not in the form new text end 24.22 new text begin required by the state auditor. The state auditor may make additional examinations as the new text end 24.23 new text begin auditor determines to be in the public interest. new text end 24.24     new text begin Subd. 4. new text end new text begin Audit availability; data. new text end new text begin A copy of the annual audit by the state auditor or new text end 24.25 new text begin by a CPA firm must be available for public inspection in the Office of the State Auditor and new text end 24.26 new text begin in the Office of the County Auditor. If an audit is performed by a CPA firm, data relating new text end 24.27 new text begin to the audit are subject to the same data classifications that apply under section 6.715. A new text end 24.28 new text begin CPA firm conducting a county audit must provide access to data relating to the audit and is new text end 24.29 new text begin liable for unlawful disclosure of the data as if it were a government entity under chapter 13. new text end 24.30     new text begin Subd. 5. new text end new text begin Reporting. new text end new text begin If an audit conducted by the state auditor or a CPA firm new text end 24.31 new text begin discloses malfeasance, misfeasance, or nonfeasance, the auditor must report this to the new text end 24.32 new text begin county attorney, who shall institute civil and criminal proceedings as the law and the new text end 24.33 new text begin protection of the public interests requires. new text end 24.34     new text begin Subd. 6. new text end new text begin Payments to state auditor. new text end new text begin A county audited by the state auditor must new text end 24.35 new text begin pay the state auditor for the costs and expenses of the audit. If the state auditor makes new text end 24.36 new text begin additional examinations of a county whose audit is performed by a CPA firm, the county new text end 25.1 new text begin must pay the auditor for the cost of these examinations. Payments must be deposited in new text end 25.2 new text begin the state auditor enterprise fund. new text end 25.3     new text begin Subd. 7. new text end new text begin Procedures for change of auditor. new text end new text begin A county that plans to change to or new text end 25.4 new text begin from the state auditor and a CPA firm must notify the state auditor of this change by new text end 25.5 new text begin August 1 of an even-numbered year. Upon this notice, the following calendar year will be new text end 25.6 new text begin the first year's records that will be subject to an audit by the new entity. A county that new text end 25.7 new text begin changes to or from the state auditor must have two annual audits done by the new entity. new text end 25.8 new text begin EFFECTIVE DATE. new text end new text begin This section is effective August 1, 2016. new text end 25.9    Sec. 4. Minnesota Statutes 2014, section 10.43, is amended to read: 25.1010.43 TELEPHONE USE; APPROVAL. 25.11 new text begin (a) new text end Each representative, senator, constitutional officer, judge, and head of a state 25.12department or agency shall sign the person's monthly long-distance telephone bills paid 25.13by the state as evidence of the person's approval of each bill. new text begin This signature requirement new text end 25.14 new text begin does not apply to a month in which the person's long-distance phone bill paid by the new text end 25.15 new text begin state is less than $5. new text end 25.16 new text begin (b) Even if the monthly long-distance phone bill paid by the state for a person new text end 25.17 new text begin subject to this section is less than $5, the person is responsible for paying that portion of new text end 25.18 new text begin the bill that does not relate to state business. As provided in section 10.46, long-distance new text end 25.19 new text begin telephone bills paid by the state are public data, regardless of the amount of the bills. new text end 25.20 new text begin EFFECTIVE DATE. new text end new text begin This section is effective for telephone bills for usage on or new text end 25.21 new text begin after July 1, 2015. new text end 25.22    Sec. 5. new text begin [15.0145] ETHNIC COUNCILS. new text end 25.23     new text begin Subdivision 1. new text end new text begin Three ethnic councils; creation. new text end new text begin (a) The Minnesota Council on new text end 25.24 new text begin Latino Affairs includes public members with an ethnic heritage from Mexico, any of the new text end 25.25 new text begin countries in Central or South America, Cuba, the Dominican Republic, or Puerto Rico. new text end 25.26 new text begin (b) The Council for Minnesotans of African Heritage includes public members of new text end 25.27 new text begin black African ancestry. new text end 25.28 new text begin (c) The Council on Asian-Pacific Minnesotans includes public members with an new text end 25.29 new text begin ethnic heritage from any of the countries east of, and including, Afghanistan or the new text end 25.30 new text begin Pacific Islands. new text end 25.31     new text begin Subd. 2. new text end new text begin Membership. new text end new text begin (a) Each council has 15 voting members. Eleven members new text end 25.32 new text begin of each council are public members appointed by the governor. Four members of each new text end 25.33 new text begin council are legislators. new text end 26.1 new text begin (b) The governor shall appoint 11 members of each council as follows: new text end 26.2 new text begin (1) the Minnesota Council on Latino Affairs must include one member representing new text end 26.3 new text begin each of the state's congressional districts and three members appointed at-large. The new text end 26.4 new text begin council must include at least five women. The governor must attempt to ensure that new text end 26.5 new text begin the demographic composition of council members accurately reflects the demographic new text end 26.6 new text begin composition of Minnesota's Latino community, including recent immigrants, as new text end 26.7 new text begin determined by the state demographer; new text end 26.8 new text begin (2) the Council for Minnesotans of African Heritage must include members who are new text end 26.9 new text begin broadly representative of the African heritage community of the state. The council must new text end 26.10 new text begin include at least five women. At least three members must be first or second generation new text end 26.11 new text begin African immigrants, who generally reflect the demographic composition of these African new text end 26.12 new text begin immigrants, as determined by the state demographer; and new text end 26.13 new text begin (3) the Council on Asian-Pacific Minnesotans must include one member from each new text end 26.14 new text begin of the five ancestries with the state's highest percentages of Asian-Pacific populations, new text end 26.15 new text begin as determined by the state demographer. The other six members must be broadly new text end 26.16 new text begin representative of the rest of the Asian-Pacific population, with no more than one council new text end 26.17 new text begin member from any one ancestry. The council must include at least five women. For new text end 26.18 new text begin purposes of this clause, ancestry refers to heritage that is commonly accepted in Minnesota new text end 26.19 new text begin as a unique population. new text end 26.20 new text begin (c) Four legislators are voting members of each council. The speaker of the house new text end 26.21 new text begin and the house minority leader shall each appoint one member to each council. The new text end 26.22 new text begin Subcommittee on Committees of the senate Committee on Rules and Administration shall new text end 26.23 new text begin appoint one member of the majority caucus and one member of the minority caucus to new text end 26.24 new text begin each council. new text end 26.25 new text begin (d) The governor may appoint a commissioner of a state agency or a designee of that new text end 26.26 new text begin commissioner to serve as an ex-officio, nonvoting member of a council. new text end 26.27     new text begin Subd. 3. new text end new text begin Appointments; terms; removal. new text end new text begin (a) In making appointments to a council, new text end 26.28 new text begin the governor shall consider an appointee's proven dedication and commitment to the new text end 26.29 new text begin council's community and any expertise possessed by the appointee that might be beneficial new text end 26.30 new text begin to the council, such as experience in public policy, legal affairs, social work, business, new text end 26.31 new text begin or management. The executive director of a council and legislative members may offer new text end 26.32 new text begin advice to the governor on applicants seeking appointment. new text end 26.33 new text begin (b) Terms, compensation, and filling of vacancies for members appointed by the new text end 26.34 new text begin governor are as provided in section 15.059. Removal of members appointed by the new text end 26.35 new text begin governor is governed by section 15.059, except that: (1) a member who missed more than new text end 26.36 new text begin half of the council meetings convened during a 12-month period automatically is removed new text end 27.1 new text begin from the council; and (2) a member appointed by the governor may be removed by a vote new text end 27.2 new text begin of three of the four legislative members of the council. The chair of a council shall inform new text end 27.3 new text begin the governor of the need for the governor to fill a vacancy on the council. Legislative new text end 27.4 new text begin members serve at the pleasure of their appointing authority. new text end 27.5 new text begin (c) A member appointed by the governor may serve no more than a total of eight new text end 27.6 new text begin years on a council. A legislator may serve no more than eight consecutive years or 12 new text end 27.7 new text begin nonconsecutive years on any one council. new text end 27.8     new text begin Subd. 4. new text end new text begin Training; executive committee; meetings; support. new text end new text begin (a) A member new text end 27.9 new text begin appointed by the governor must attend orientation training within the first six months of new text end 27.10 new text begin service for each term. The commissioner of administration must arrange for the training new text end 27.11 new text begin to include but not be limited to the legislative process, government data practices, open new text end 27.12 new text begin meeting law, Robert's Rules of Order, fiscal management, and human resources. The new text end 27.13 new text begin governor must remove a member who does not complete the training. new text end 27.14 new text begin (b) Each council shall annually elect from among the members appointed by the new text end 27.15 new text begin governor a chair and other officers it deems necessary. These officers and one legislative new text end 27.16 new text begin member selected by the council shall serve as the executive committee of the council. new text end 27.17 new text begin (c) Forty percent of voting members of a council constitutes a quorum. A quorum is new text end 27.18 new text begin required to conduct council business. A council member may not vote on any action if the new text end 27.19 new text begin member has a conflict of interest under section 10A.07. new text end 27.20 new text begin (d) Each council shall receive administrative support from the commissioner of new text end 27.21 new text begin administration under section 16B.371. The council may contract in its own name but may new text end 27.22 new text begin not accept or receive a loan or incur indebtedness except as otherwise provided by law. new text end 27.23 new text begin Contracts must be approved by a majority of the members of the council and executed by new text end 27.24 new text begin the chair and the executive director. The council may apply for, receive, and expend in new text end 27.25 new text begin its own name grants and gifts of money consistent with the powers and duties specified new text end 27.26 new text begin in this section. new text end 27.27 new text begin (e) The attorney general shall provide legal services to the councils on behalf of the new text end 27.28 new text begin state on all matters relating to the councils, including matters relating to the state as the new text end 27.29 new text begin employer of the executive directors of the council, and other council staff. new text end 27.30     new text begin Subd. 5. new text end new text begin Executive director; staff. new text end new text begin (a) The Legislative Coordinating Commission new text end 27.31 new text begin must appoint an executive director for each council. The executive director must be new text end 27.32 new text begin experienced in administrative activities and familiar with the challenges and needs of new text end 27.33 new text begin the ethnic council's larger community. The executive director serves in the unclassified new text end 27.34 new text begin service at the pleasure of the Legislative Coordinating Commission. new text end 28.1 new text begin (b) The Legislative Coordinating Commission must establish a process for recruiting new text end 28.2 new text begin and selecting applicants for the executive director positions. This process must include new text end 28.3 new text begin consultation and collaboration with the applicable council. new text end 28.4 new text begin (c) The executive director and applicable council members must work together in new text end 28.5 new text begin fulfilling council duties. The executive director must consult with the commissioners of new text end 28.6 new text begin administration and management and budget to ensure appropriate financial, purchasing, new text end 28.7 new text begin human resources, and other services for operation of the council. The executive director new text end 28.8 new text begin must appoint and supervise the work of other staff necessary to carry out the duties of the new text end 28.9 new text begin council. The executive director and other council staff are executive branch employees. new text end 28.10     new text begin Subd. 6. new text end new text begin Duties of council. new text end new text begin (a) A council must work for the implementation new text end 28.11 new text begin of economic, social, legal, and political equality for its constituency. The council shall new text end 28.12 new text begin work with the legislature and governor to carry out this work by performing the duties new text end 28.13 new text begin in this section. new text end 28.14 new text begin (b) A council shall advise the governor and the legislature on issues confronting the new text end 28.15 new text begin constituency of the council. This may include, but is not limited to, presenting the results new text end 28.16 new text begin of surveys, studies, and community forums to the appropriate executive departments new text end 28.17 new text begin and legislative committees. new text end 28.18 new text begin (c) A council shall advise the governor and the legislature of administrative new text end 28.19 new text begin and legislative changes needed to improve the economic and social condition of the new text end 28.20 new text begin constituency of the council. This may include but is not limited to working with legislators new text end 28.21 new text begin to develop legislation to address these issues and to work for passage of the legislation. new text end 28.22 new text begin This may also include making recommendations regarding the state's affirmative action new text end 28.23 new text begin program and the state's targeted group small business program, or working with state new text end 28.24 new text begin agencies and organizations to develop business opportunities and promote economic new text end 28.25 new text begin development for the constituency of the council. new text end 28.26 new text begin (d) A council shall advise the governor and the legislature of the implications new text end 28.27 new text begin and effect of proposed administrative and legislative changes on the constituency of new text end 28.28 new text begin the council. This may include but is not limited to tracking legislation, testifying as new text end 28.29 new text begin appropriate, and meeting with executive departments and legislators. new text end 28.30 new text begin (e) A council shall serve as a liaison between state government and organizations that new text end 28.31 new text begin serve the constituency of the council. This may include but is not limited to working with new text end 28.32 new text begin these organizations to carry out the duties in paragraphs (a) to (d), and working with these new text end 28.33 new text begin organizations to develop informational programs or publications to involve and empower new text end 28.34 new text begin the constituency in seeking improvement in their economic and social conditions. new text end 28.35 new text begin (f) A council shall perform or contract for the performance of studies designed new text end 28.36 new text begin to suggest solutions to the problems of the constituency of the council in the areas of new text end 29.1 new text begin education, employment, human rights, health, housing, social welfare, and other related new text end 29.2 new text begin areas. new text end 29.3 new text begin (g) In carrying out duties under this subdivision, councils may act to advise on issues new text end 29.4 new text begin that affect the shared constituencies of more than one council. new text end 29.5     new text begin Subd. 7. new text end new text begin Duties of council members. new text end new text begin A council member shall: new text end 29.6 new text begin (1) attend and participate in scheduled meetings and be prepared by reviewing new text end 29.7 new text begin meeting notes; new text end 29.8 new text begin (2) maintain and build communication with the community represented; new text end 29.9 new text begin (3) collaborate with the council and executive director in carrying out the council's new text end 29.10 new text begin duties; and new text end 29.11 new text begin (4) participate in activities the council or executive director deem appropriate and new text end 29.12 new text begin necessary to facilitate the goals and duties of the council. new text end 29.13     new text begin Subd. 8. new text end new text begin Reports. new text end new text begin A council must report on the measurable outcomes achieved in new text end 29.14 new text begin the council's current strategic plan to meet its statutory duties, along with the specific new text end 29.15 new text begin objectives and outcome measures proposed for the following year. The council must new text end 29.16 new text begin submit the report by January 15 each year to the chairs of the committees in the house of new text end 29.17 new text begin representatives and the senate with primary jurisdiction over state government operations. new text end 29.18 new text begin Each report must cover the calendar year of the year before the report is submitted. The new text end 29.19 new text begin specific objectives and outcome measures for the following current year must focus on new text end 29.20 new text begin three or four achievable objectives, action steps, and measurable outcomes for which new text end 29.21 new text begin the council will be held accountable. The strategic plan may include other items that new text end 29.22 new text begin support the statutory purposes of the council but should not distract from the primary new text end 29.23 new text begin statutory proposals presented. The funding request of each council, after approval by the new text end 29.24 new text begin Legislative Coordinating Commission, must also be presented by February 1 in each new text end 29.25 new text begin odd-numbered year. new text end 29.26    Sec. 6. Minnesota Statutes 2014, section 16A.065, is amended to read: 29.2716A.065 PREPAY SOFTWARE, SUBSCRIPTIONS, UNITED STATES 29.28DOCUMENTS. 29.29Notwithstanding section 16A.41, subdivision 1, the commissioner may allow an 29.30agency to make advance deposits or payments for software or software maintenance 29.31services for state-owned or leased electronic data processing equipment, new text begin for information new text end 29.32 new text begin technology hosting services, new text end for sole source maintenance agreements where it is not 29.33cost-effective to pay in arrears, for exhibit booth space or boat slip rental when required 29.34by the renter to guarantee the availability of space, for registration fees where advance 29.35payment is required or advance payment discount is provided, and for newspaper, 30.1magazine, and other subscription fees customarily paid for in advance. The commissioner 30.2may also allow advance deposits by any department with the Library of Congress and 30.3federal Supervisor of Documents for items to be purchased from those federal agencies. 30.4    Sec. 7. Minnesota Statutes 2014, section 16A.152, subdivision 8, is amended to read: 30.5    Subd. 8. Report on budget reserve percentage. (a) The commissioner of 30.6management and budget shall develop and annually review a methodology for evaluating 30.7the adequacy of the budget reserve based on the volatility of Minnesota's general fund 30.8tax structure. The review must take into consideration relevant statistical and economic 30.9literature. After completing the review, the commissioner may revise the methodology 30.10if necessary. The commissioner must use the methodology to annually estimate the 30.11percentage of the current biennium's general fund nondedicated revenues recommended 30.12as a budget reserve. 30.13    (b) By January 15 new text begin September 30 new text end of each year, the commissioner shall report 30.14the percentage of the current biennium's general fund nondedicated revenue that is 30.15recommended as a budget reserve to the chairs and ranking minority members of the 30.16legislative committees with jurisdiction over the Department of Management and Budget 30.17 new text begin senate committee on finance, the house of representatives committee on ways and means, new text end 30.18 new text begin and the senate and house of representatives committees on taxes new text end . The report must also 30.19specify: 30.20    (1) whether the commissioner revised the recommendation as a result of significant 30.21changes in the mix of general fund taxes or the base of one or more general fund taxes; 30.22    (2) whether the commissioner revised the recommendation as a result of a revision 30.23to the methodology; and 30.24    (3) any additional appropriate information. 30.25 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2015. new text end 30.26    Sec. 8. new text begin [16B.4805] ACCOMMODATION REIMBURSEMENT. new text end 30.27     new text begin Subdivision 1. new text end new text begin Definitions. new text end new text begin "Reasonable accommodation" as used in this section new text end 30.28 new text begin has the meaning given in section 363A.08. "State agency" as used in this section has the new text end 30.29 new text begin meaning given in section 16A.011, subdivision 12. "Reasonable accommodations eligible new text end 30.30 new text begin for reimbursement" means: new text end 30.31 new text begin (1) reasonable accommodations provided to applicants for employment; new text end 30.32 new text begin (2) reasonable accommodations for employees for services that will need to be new text end 30.33 new text begin provided on a periodic or ongoing basis; or new text end 31.1 new text begin (3) reasonable accommodations that involve onetime expenses that total more than new text end 31.2 new text begin $1,000 for an employee in a fiscal year. new text end 31.3     new text begin Subd. 2. new text end new text begin Reimbursement for making reasonable accommodation. new text end new text begin The new text end 31.4 new text begin commissioner of administration shall reimburse state agencies for expenses incurred in new text end 31.5 new text begin making reasonable accommodations eligible for reimbursement for agency employees and new text end 31.6 new text begin applicants for employment to the extent that funds are available in the accommodation new text end 31.7 new text begin account established under subdivision 3 for this purpose. new text end 31.8     new text begin Subd. 3. new text end new text begin Accommodation account established. new text end new text begin The accommodation account new text end 31.9 new text begin is created as an account in the special revenue fund for reimbursing state agencies for new text end 31.10 new text begin expenses incurred in providing reasonable accommodation eligible for reimbursement for new text end 31.11 new text begin agency employees and applicants for agency employment. new text end 31.12     new text begin Subd. 4. new text end new text begin Administration costs. new text end new text begin The commissioner may use up to 15 percent of the new text end 31.13 new text begin biennial appropriation for administration of this section. new text end 31.14     new text begin Subd. 5. new text end new text begin Notification. new text end new text begin By August 1, 2015, or within 30 days of final enactment, new text end 31.15 new text begin whichever is later, and each year thereafter by June 30, the commissioner of administration new text end 31.16 new text begin must notify state agencies that reimbursement for expenses incurred to make reasonable new text end 31.17 new text begin accommodation eligible for reimbursement for agency employees and applicants for new text end 31.18 new text begin agency employment is available under this section. new text end 31.19     new text begin Subd. 6. new text end new text begin Report. new text end new text begin By January 31 of each year, the commissioner of administration new text end 31.20 new text begin must report to the chairs and ranking minority members of the house of representatives and new text end 31.21 new text begin the senate committees with jurisdiction over state government finance on the use of the new text end 31.22 new text begin central accommodation account during the prior calendar year. The report must include: new text end 31.23 new text begin (1) the number and type of accommodations requested; new text end 31.24 new text begin (2) the cost of accommodations requested; new text end 31.25 new text begin (3) the state agencies from which the requests were made; new text end 31.26 new text begin (4) the number of requests made for employees and the number of requests for new text end 31.27 new text begin applicants for employment; new text end 31.28 new text begin (5) the number and type of accommodations that were not provided; new text end 31.29 new text begin (6) any remaining balance left in the account; new text end 31.30 new text begin (7) if the account was depleted, the date on which funds were exhausted and the new text end 31.31 new text begin number, type, and cost of accommodations that were not reimbursed to state agencies; and new text end 31.32 new text begin (8) a description of how the account was promoted to state agencies. new text end 31.33 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2015. Reimbursement is new text end 31.34 new text begin available for accommodation expenses incurred after June 30, 2015. new text end 31.35    Sec. 9. Minnesota Statutes 2014, section 16B.97, subdivision 1, is amended to read: 32.1    Subdivision 1. Grant agreement. (a) A grant agreement is a written instrument or 32.2electronic document defining a legal relationship between a granting agency and a grantee 32.3when the principal purpose of the relationship is to transfer cash or something of value 32.4to the recipient to support a public purpose authorized by law instead of acquiring by 32.5professional or technical contract, purchase, lease, or barter property or services for the 32.6direct benefit or use of the granting agency. 32.7    (b) This section does not apply to new text begin general obligation grants as defined by section new text end 32.8 new text begin 16A.695 and new text end capital project grants to political subdivisions as defined by section 16A.86. 32.9    Sec. 10. Minnesota Statutes 2014, section 16B.98, subdivision 1, is amended to read: 32.10    Subdivision 1. Limitation. new text begin (a) new text end As a condition of receiving a grant from 32.11an appropriation of state funds, the recipient of the grant must agree to minimize 32.12administrative costs. The granting agency is responsible for negotiating appropriate limits 32.13to these costs so that the state derives the optimum benefit for grant funding. 32.14 new text begin (b) This section does not apply to general obligation grants as defined by section new text end 32.15 new text begin 16A.695 and also capital project grants to political subdivisions as defined by section new text end 32.16 new text begin 16A.86. new text end 32.17    Sec. 11. Minnesota Statutes 2014, section 16B.98, subdivision 11, is amended to read: 32.18    Subd. 11. Encumbrance exception. Notwithstanding subdivision 5, paragraph (a), 32.19clause (2), or section 16C.05, subdivision 2, paragraph (a), clause (3), agencies may 32.20permit a specifically named, legislatively appropriated, noncompetitive grant recipient to 32.21incur eligible expenses based on an agreed upon work plan and budget for up to 60 days 32.22prior to an encumbrance being established in the accounting system. For a grant funded 32.23in whole or in part with state general obligation bond proceeds, an agency may permit 32.24incurring of expenses under this subdivision only with prior approval of the commissioner 32.25of management and budget. 32.26    Sec. 12. Minnesota Statutes 2014, section 16C.144, is amended to read: 32.2716C.144 GUARANTEED ENERGY-SAVINGS PROGRAM. 32.28    Subdivision 1. Definitions. The following definitions apply to this section. 32.29(a) "Utility" means electricity, natural gas, or other energy resource, water, and 32.30wastewater. 32.31(b) "Utility cost savings" means the difference between the utility costs after 32.32installation of the utility cost-savings measures pursuant to the guaranteed energy-savings 32.33agreement and the baseline utility costs after baseline adjustments have been made. 33.1(c) "Baseline" means the preagreement utilities, operations, and maintenance costs. 33.2(d) "Utility cost-savings measure" means a measure that produces utility cost savings 33.3or operation and maintenance cost savings. 33.4(e) "Operation and maintenance cost savings" means a measurable difference 33.5between operation and maintenance costs after the installation of the utility cost-savings 33.6measures pursuant to the guaranteed energy-savings agreement and the baseline operation 33.7and maintenance costs after inflation adjustments have been made. Operation and 33.8maintenance costs savings shall not include savings from in-house staff labor. 33.9(f) "Guaranteed energy-savings agreement" means an agreement for the installation 33.10of one or more utility cost-savings measures that includes the qualified provider's 33.11guarantee as required under subdivision 2. 33.12(g) "Baseline adjustments" means adjusting the utility cost-savings baselines 33.13annually for changes in the following variables: 33.14(1) utility rates; 33.15(2) number of days in the utility billing cycle; 33.16(3) square footage of the facility; 33.17(4) operational schedule of the facility; 33.18(5) facility temperature set points; 33.19(6) weather; and 33.20(7) amount of equipment or lighting utilized in the facility. 33.21(h) "Inflation adjustment" means adjusting the operation and maintenance 33.22cost-savings baseline annually for inflation. 33.23(i) "Lease purchase agreement new text begin Project financing new text end " means an agreement new text begin any type of new text end 33.24 new text begin financing including but not limited to lease, lease purchase, installment agreements, or new text end 33.25 new text begin bonds issued by an entity, other than the state, with authority to issue bonds, new text end obligating the 33.26state to make regular lease payments to satisfy the lease costs of the utility cost-savings 33.27measures until the final payment, after which time the utility cost-savings measures 33.28become the sole property of the state of Minnesota. 33.29(j) "Qualified provider" means a person or business experienced in the design, 33.30implementation, and installation of utility cost-savings measures. 33.31(k) "Engineering report" means a report prepared by a professional engineer licensed 33.32by the state of Minnesota summarizing estimates of all costs of installations, modifications, 33.33or remodeling, including costs of design, engineering, installation, maintenance, repairs, 33.34and estimates of the amounts by which utility and operation and maintenance costs will be 33.35reduced. 34.1(l) "Capital cost avoidance" means money expended by a state agency to pay for 34.2utility cost-savings measures with a guaranteed savings agreement so long as the measures 34.3that are being implemented to achieve the utility, operation, and maintenance cost savings 34.4are a significant portion of an overall project as determined by the commissioner. 34.5(m) "Guaranteed energy-savings program guidelines" means policies, procedures, 34.6and requirements of guaranteed savings agreements established by the Department of 34.7Administration. 34.8    Subd. 2. Guaranteed energy-savings agreement. The commissioner may enter 34.9into a guaranteed energy-savings agreement with a qualified provider if: 34.10(1) the qualified provider is selected through a competitive process in accordance 34.11with the guaranteed energy-savings program guidelines within the Department of 34.12Administration; 34.13(2) the qualified provider agrees to submit an engineering report prior to the 34.14execution of the guaranteed energy-savings agreement. The cost of the engineering report 34.15may be considered as part of the implementation costs if the commissioner enters into a 34.16guaranteed energy-savings agreement with the provider; 34.17(3) the term of the guaranteed energy-savings agreement shall not exceed 25 years 34.18from the date of final installation; 34.19(4) the commissioner finds that the amount it new text begin the state new text end would spend new text begin , less the amount new text end 34.20 new text begin contributed for capital cost avoidance, new text end on the utility cost-savings measures recommended 34.21in the engineering report will not exceed the amount to be saved in utility operation and 34.22maintenance costs over 25 years from the date of implementation of utility cost-savings 34.23measures; 34.24(5) the qualified provider provides a written guarantee that the annual utility, 34.25operation, and maintenance cost savings during the term of the guaranteed energy-savings 34.26agreement will meet or exceed the annual payments due under a lease purchase agreement 34.27 new text begin the project financing new text end . The qualified provider shall reimburse the state for any shortfall of 34.28guaranteed utility, operation, and maintenance cost savings; and 34.29(6) the qualified provider gives a sufficient bond in accordance with section 34.30574.26 to the commissioner for the faithful implementation and installation of the utility 34.31cost-savings measures. 34.32    Subd. 3. Lease purchase agreement new text begin Project financing new text end . The commissioner 34.33may enter into a lease purchase agreement new text begin project financing new text end with any party for the 34.34implementation of utility cost-savings measures in accordance with the guaranteed 34.35energy-savings agreement. The implementation costs of the utility cost-savings measures 34.36recommended in the engineering report shall not exceed the amount to be saved in utility 35.1and operation and maintenance costs over the term of the lease purchase agreement. The 35.2term of the lease purchase agreement new text begin project financing new text end shall not exceed 25 years from 35.3the date of final installation. The lease new text begin project financing new text end is assignable in accordance with 35.4terms approved by the commissioner of management and budget. 35.5    Subd. 4. Use of capital cost avoidance. The affected state agency may contribute 35.6funds for capital cost avoidance for guaranteed energy-savings agreements. Use of capital 35.7cost avoidance is subject to the guaranteed energy-savings program guidelines within the 35.8Department of Administration. 35.9    Subd. 5. Independent report. For each guaranteed energy-savings agreement 35.10entered into, the commissioner of administration shall contract with an independent third 35.11party to evaluate the cost-effectiveness of each utility cost-savings measure implemented 35.12to ensure that such measures were the least-cost measures available. For the purposes of 35.13this section, "independent third party" means an entity not affiliated with the qualified 35.14provider, that is not involved in creating or providing conservation project services to that 35.15provider, and that has expertise (or access to expertise) in energy-savings practices. 35.16    Sec. 13. Minnesota Statutes 2014, section 16C.16, subdivision 2, is amended to read: 35.17    Subd. 2. Small business. The commissioner shall adopt rules defining new text begin the size new text end 35.18 new text begin standards for new text end "small business" new text begin found in Code of Federal Relations, title 49, section new text end 35.19 new text begin 26.65, new text end for purposes of sections 16C.16 to 16C.21, 137.31, 137.35, 161.321, and 473.142. 35.20The definition must include only businesses with their new text begin , provided that the business has new text end 35.21 new text begin its new text end principal place of business in Minnesota. The definition must establish different 35.22size standards for various types of businesses. In establishing these standards, the 35.23commissioner must consider the differences among industries caused by the size of the 35.24market for goods or services and the relative size and market share of the competitors 35.25operating in those markets. 35.26    Sec. 14. Minnesota Statutes 2014, section 16C.16, subdivision 6a, is amended to read: 35.27    Subd. 6a. Veteran-owned small businesses. (a) Except when mandated by the 35.28federal government as a condition of receiving federal funds, the commissioner shall 35.29award up to a six percent preference, but no less than the percentage awarded to any 35.30other group under this section, in the amount bid on state procurement to certified small 35.31businesses that are majority-owned and operated by veterans. 35.32(b) The purpose of this designation is to facilitate the transition of veterans from 35.33military to civilian life, and to help compensate veterans for their sacrifices, including but 36.1not limited to their sacrifice of health and time, to the state and nation during their military 36.2service, as well as to enhance economic development within Minnesota. 36.3 new text begin (c) Before the commissioner certifies that a small business is majority-owned and new text end 36.4 new text begin operated by a veteran, the commissioner of veterans affairs must verify that the owner of new text end 36.5 new text begin the small business is a veteran, as defined in section 197.447. new text end 36.6    Sec. 15. Minnesota Statutes 2014, section 16C.16, is amended by adding a subdivision 36.7to read: 36.8     new text begin Subd. 13. new text end new text begin State-funded projects. new text end new text begin (a) Notwithstanding section 16C.001, this new text end 36.9 new text begin subdivision applies to contracts for state-funded capital improvement projects in excess of new text end 36.10 new text begin $100,000 that are issued by organizations not subject to the small business requirements of new text end 36.11 new text begin this section, including municipalities as defined in section 466.01, subdivision 1. new text end 36.12 new text begin (b) Organizations administering contracts described in paragraph (a) shall promote new text end 36.13 new text begin the use of targeted group businesses designated under this section and take steps to remove new text end 36.14 new text begin barriers to equitable participation of targeted group businesses. new text end 36.15 new text begin (c) Organizations shall cooperate with the commissioner's efforts to monitor and new text end 36.16 new text begin measure compliance with this subdivision in the performance of state-funded contracts. new text end 36.17    Sec. 16. Minnesota Statutes 2014, section 16C.19, is amended to read: 36.1816C.19 ELIGIBILITY; RULES. 36.19(a) A small business wishing to participate in the programs under section 16C.16, 36.20subdivisions 4 to 7, must be certified by the commissioner. The commissioner shall adopt 36.21by rule standards and procedures for certifying that small targeted group businesses, 36.22small businesses located in economically disadvantaged areas, and veteran-owned small 36.23businesses are eligible to participate under the requirements of sections 16C.16 to 16C.21. 36.24The commissioner shall adopt by rule standards and procedures for hearing appeals and 36.25grievances and other rules necessary to carry out the duties set forth in sections 16C.16 36.26to 16C.21. 36.27(b) The commissioner may make rules which exclude or limit the participation of 36.28nonmanufacturing business, including third-party lessors, brokers, franchises, jobbers, 36.29manufacturers' representatives, and others from eligibility under sections 16C.16 to 16C.21. 36.30(c) The commissioner may make rules that set time limits and other eligibility limits 36.31on business participation in programs under sections 16C.16 to 16C.21. 36.32(d) Notwithstanding paragraph (c) new text begin (a) new text end , for purposes of sections 16C.16 to 16C.21, a 36.33veteran-owned small business, the principal place of business of which is in Minnesota, 36.34is certified if new text begin : new text end 37.1 new text begin (1) new text end it has been verified by the United States Department of Veterans Affairs as 37.2being either a veteran-owned small business or a service-disabled veteran-owned small 37.3business, in accordance with Public Law 109-461 and Code of Federal Regulations, title 37.438, part 74. new text begin ; or new text end 37.5 new text begin (2) the veteran-owned small business supplies the commissioner with proof that the new text end 37.6 new text begin small business is majority-owned and operated by: new text end 37.7 new text begin (i) a veteran as defined in section 197.447; or new text end 37.8 new text begin (ii) a veteran with a service-connected disability, as determined at any time by the new text end 37.9 new text begin United States Department of Veterans Affairs. new text end 37.10(e) Until rules are adopted pursuant to paragraph (a) for the purpose of certifying 37.11veteran-owned small businesses, the provisions of Minnesota Rules, part 1230.1700, may 37.12be read to include veteran-owned small businesses. In addition to the documentation 37.13required in Minnesota Rules, part 1230.1700, the veteran owner must have been 37.14discharged under honorable conditions from active service, as indicated by the veteran 37.15owner's most current United States Department of Defense form DD-214. 37.16 new text begin (f) Notwithstanding paragraph (a), for purposes of sections 16C.16 to 16C.21, a new text end 37.17 new text begin minority- or woman-owned small business, the principal place of business of which is new text end 37.18 new text begin in Minnesota, is certified if it has been certified by the Minnesota unified certification new text end 37.19 new text begin program under the provisions of Code of Federal Regulations, title 49, part 26. new text end 37.20 new text begin (g) The commissioner may adopt rules to implement the programs under section new text end 37.21 new text begin 16C.16, subdivisions 4 to 7, using the expedited rulemaking process in section 14.389. new text end 37.22    Sec. 17. new text begin [138.912] HEALTHY EATING, HERE AT HOME. new text end 37.23     new text begin Subdivision 1. new text end new text begin Establishment. new text end new text begin The healthy eating, here at home program is new text end 37.24 new text begin established to provide incentives for low-income Minnesotans to use federal Supplemental new text end 37.25 new text begin Nutrition Assistance Program (SNAP) benefits for healthy purchases at Minnesota-based new text end 37.26 new text begin farmers' markets. new text end 37.27     new text begin Subd. 2. new text end new text begin Definitions. new text end new text begin (a) The definitions in this subdivision apply to this section. new text end 37.28 new text begin (b) "Healthy eating, here at home" means a program administered by the Minnesota new text end 37.29 new text begin Humanities Center to provide incentives for low-income Minnesotans to use SNAP new text end 37.30 new text begin benefits for healthy purchases at Minnesota-based farmers' markets. new text end 37.31 new text begin (c) "Healthy purchases" means SNAP-eligible foods. new text end 37.32 new text begin (d) "Minnesota-based farmers' market" means a physical market as defined in section new text end 37.33 new text begin 28A.151, subdivision 1, paragraph (b), and also includes mobile markets. new text end 37.34 new text begin (e) "Voucher" means a physical or electronic credit. new text end 38.1 new text begin (f) "Eligible household" means an individual or family that is determined to be a new text end 38.2 new text begin recipient of SNAP. new text end 38.3     new text begin Subd. 3. new text end new text begin Grants. new text end new text begin The Minnesota Humanities Center shall allocate grant funds to new text end 38.4 new text begin nonprofit organizations that work with Minnesota-based farmers' markets to provide up new text end 38.5 new text begin to $10 vouchers to SNAP participants who use electronic benefits transfer (EBT) cards new text end 38.6 new text begin for healthy purchases. Funds may also be provided for vouchers distributed through new text end 38.7 new text begin nonprofit organizations engaged in healthy cooking and food education outreach to new text end 38.8 new text begin eligible households for use at farmers' markets. Funds appropriated under this section may new text end 38.9 new text begin not be used for healthy cooking classes or food education outreach. When awarding new text end 38.10 new text begin grants, the Minnesota Humanities Center must consider how the nonprofit organizations new text end 38.11 new text begin will achieve geographic balance, including specific efforts to reach eligible households new text end 38.12 new text begin across the state, and the organizations' capacity to manage the programming and outreach. new text end 38.13     new text begin Subd. 4. new text end new text begin Household eligibility; participation. new text end new text begin To be eligible for a healthy eating, new text end 38.14 new text begin here at home voucher, an eligible household must meet the Minnesota SNAP eligibility new text end 38.15 new text begin requirements under section 256D.051. new text end 38.16     new text begin Subd. 5. new text end new text begin Permissible uses; information provided. new text end new text begin An eligible household may use new text end 38.17 new text begin the voucher toward healthy purchases at Minnesota-based farmers' markets. Every eligible new text end 38.18 new text begin household that receives a voucher must be informed of the allowable uses of the voucher. new text end 38.19     new text begin Subd. 6. new text end new text begin Program reporting. new text end new text begin The nonprofit organizations that receive grant funds new text end 38.20 new text begin must report annually to the Minnesota Humanities Center with information regarding the new text end 38.21 new text begin operation of the program, including the number of vouchers issued and the number of new text end 38.22 new text begin people served. To the extent practicable, the nonprofit organizations must report on the new text end 38.23 new text begin usage of the vouchers and evaluate the program's effectiveness. new text end 38.24     new text begin Subd. 7. new text end new text begin Grocery inclusion. new text end new text begin The commissioner of human services must submit a new text end 38.25 new text begin waiver request to the federal United States Department of Agriculture seeking approval new text end 38.26 new text begin for the inclusion of Minnesota grocery stores in this program so that SNAP participants new text end 38.27 new text begin may use the vouchers for healthy produce at grocery stores. Grocery store participation is new text end 38.28 new text begin voluntary and a grocery store's associated administrative costs will not be reimbursed. new text end 38.29    Sec. 18. Minnesota Statutes 2014, section 148.57, is amended by adding a subdivision 38.30to read: 38.31     new text begin Subd. 5. new text end new text begin Expedited and temporary licensing for former and current members new text end 38.32 new text begin of the military. new text end new text begin (a) Applicants seeking licensure according to this subdivision must be: new text end 38.33 new text begin (1) an active duty military member; new text end 38.34 new text begin (2) the spouse of an active duty military member; or new text end 39.1 new text begin (3) a veteran who has left service in the two years preceding the date of license new text end 39.2 new text begin application, and has confirmation of an honorable or general discharge status. new text end 39.3 new text begin (b) A qualified applicant under this subdivision must provide evidence of: new text end 39.4 new text begin (1) a current valid license, certificate, or permit in another state without history of new text end 39.5 new text begin disciplinary action by a regulatory authority in the other state; and new text end 39.6 new text begin (2) a current criminal background study without a criminal conviction that is new text end 39.7 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 39.8 new text begin (c) A temporary license issued under this subdivision is effective for six months new text end 39.9 new text begin from the initial temporary licensure date. new text end 39.10 new text begin (d) During the temporary license period, the individual shall complete the licensed new text end 39.11 new text begin optometrist application for licensure. new text end 39.12 new text begin (e) In order to remain licensed after the expiration of the temporary license, an new text end 39.13 new text begin individual must meet the requirements in section 148.57, subdivisions 1 and 2. new text end 39.14    Sec. 19. Minnesota Statutes 2014, section 148.624, subdivision 5, is amended to read: 39.15    Subd. 5. new text begin Expedited and new text end temporary new text begin licensing for former and current members new text end 39.16 new text begin of the new text end military permit. The board shall issue a temporary permit to members of the 39.17military in accordance with section . new text begin (a) Applicants seeking licensure according new text end 39.18 new text begin to this subdivision must be: new text end 39.19 new text begin (1) an active duty military member; new text end 39.20 new text begin (2) the spouse of an active duty military member; or new text end 39.21 new text begin (3) a veteran who has left service in the two years preceding the date of license new text end 39.22 new text begin application, and has confirmation of an honorable or general discharge status. new text end 39.23 new text begin (b) A qualified applicant under this subdivision must provide evidence of: new text end 39.24 new text begin (1) a current valid license in another state without history of disciplinary action by a new text end 39.25 new text begin regulatory authority in the other state; and new text end 39.26 new text begin (2) a current criminal background study without a criminal conviction that is new text end 39.27 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 39.28 new text begin (c) A temporary license issued under this subdivision is effective for six months new text end 39.29 new text begin from the initial temporary licensure date. new text end 39.30 new text begin (d) During the temporary license period, the individual shall complete the licensed new text end 39.31 new text begin dietitian or nutritionist application for licensure. new text end 39.32 new text begin (e) In order to remain licensed after the expiration of the temporary license, an new text end 39.33 new text begin individual must meet the full licensure requirements. new text end 39.34 new text begin (f) new text end The fee for the temporary permit new text begin license new text end is $250. 40.1    Sec. 20. Minnesota Statutes 2014, section 148B.33, is amended by adding a 40.2subdivision to read: 40.3     new text begin Subd. 3. new text end new text begin Expedited and temporary licensing for former and current members new text end 40.4 new text begin of the military. new text end new text begin (a) Applicants seeking licensure according to this subdivision must be: new text end 40.5 new text begin (1) an active duty military member; new text end 40.6 new text begin (2) the spouse of an active duty military member; or new text end 40.7 new text begin (3) a veteran who has left service in the two years preceding the date of license new text end 40.8 new text begin application, and has confirmation of an honorable or general discharge status. new text end 40.9 new text begin (b) A qualified applicant under this subdivision must provide evidence of: new text end 40.10 new text begin (1) a current valid license, certificate, or permit in another state without history of new text end 40.11 new text begin disciplinary action by a regulatory authority in the other state; and new text end 40.12 new text begin (2) a current criminal background study without a criminal conviction that is new text end 40.13 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 40.14 new text begin (c) A temporary license issued under this subdivision is effective for six months new text end 40.15 new text begin from the initial temporary licensure date. new text end 40.16 new text begin (d) During the temporary license period, the individual shall complete the licensed new text end 40.17 new text begin marriage and family therapist application for licensure. new text end 40.18 new text begin (e) In order to remain licensed after the expiration of the temporary license, an new text end 40.19 new text begin individual must meet the requirements in subdivisions 1 and 2. new text end 40.20    Sec. 21. Minnesota Statutes 2014, section 148B.53, is amended by adding a 40.21subdivision to read: 40.22     new text begin Subd. 1a. new text end new text begin Expedited and temporary licensing for former and current members new text end 40.23 new text begin of the military. new text end new text begin (a) Applicants seeking licensure according to this subdivision must be: new text end 40.24 new text begin (1) an active duty military member; new text end 40.25 new text begin (2) the spouse of an active duty military member; or new text end 40.26 new text begin (3) a veteran who has left service in the two years preceding the date of license new text end 40.27 new text begin application, and has confirmation of an honorable or general discharge status. new text end 40.28 new text begin (b) A qualified applicant under this subdivision must provide evidence of: new text end 40.29 new text begin (1) a current valid license, certificate, or permit in another state without history of new text end 40.30 new text begin disciplinary action by a regulatory authority in the other state; and new text end 40.31 new text begin (2) a current criminal background study without a criminal conviction that is new text end 40.32 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 40.33 new text begin (c) A temporary license issued under this subdivision is effective for one year from new text end 40.34 new text begin the initial licensure date. new text end 41.1 new text begin (d) During the temporary license period, the individual shall complete the licensed new text end 41.2 new text begin professional counselor application for licensure. new text end 41.3 new text begin (e) In order to remain licensed after the expiration of the temporary license, an new text end 41.4 new text begin individual must meet the requirements in subdivision 1, paragraphs (a) and (b). new text end 41.5    Sec. 22. Minnesota Statutes 2014, section 148B.5301, is amended by adding a 41.6subdivision to read: 41.7     new text begin Subd. 4a. new text end new text begin Expedited and temporary licensing for former and current members new text end 41.8 new text begin of the military. new text end new text begin (a) Applicants seeking licensure according to this subdivision must be: new text end 41.9 new text begin (1) an active duty military member; new text end 41.10 new text begin (2) the spouse of an active duty military member; or new text end 41.11 new text begin (3) a veteran who has left service in the two years preceding the date of license new text end 41.12 new text begin application, and has confirmation of an honorable or general discharge status. new text end 41.13 new text begin (b) A qualified applicant under paragraph (a) must provide evidence of: new text end 41.14 new text begin (1) a current valid license, certificate, or permit in another state without history of new text end 41.15 new text begin disciplinary action by a regulatory authority in the other state; and new text end 41.16 new text begin (2) a current criminal background study without a criminal conviction that is new text end 41.17 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 41.18 new text begin (c) A temporary license issued under this subdivision is effective for one year from new text end 41.19 new text begin the initial licensure date. new text end 41.20 new text begin (d) During the temporary license period, the individual shall complete the licensed new text end 41.21 new text begin professional clinical counselor application for licensure. new text end 41.22 new text begin (e) In order to remain licensed after the expiration of the temporary license, an new text end 41.23 new text begin individual must meet the requirements in subdivisions 1 and 2. new text end 41.24    Sec. 23. Minnesota Statutes 2014, section 148F.025, is amended by adding a 41.25subdivision to read: 41.26     new text begin Subd. 5. new text end new text begin Expedited and temporary licensing for former and current members new text end 41.27 new text begin of the military. new text end new text begin (a) Applicants seeking licensure according to this subdivision must be: new text end 41.28 new text begin (1) an active duty military member; new text end 41.29 new text begin (2) the spouse of an active duty military member; or new text end 41.30 new text begin (3) a veteran who has left service in the two years preceding the date of license new text end 41.31 new text begin application, and has confirmation of an honorable or general discharge status. new text end 41.32 new text begin (b) Applicants are required to comply with subdivisions 1 and 4. new text end 41.33 new text begin (c) A qualified applicant under paragraph (a) must provide evidence of: new text end 42.1 new text begin (1) a current valid license, certificate, or permit in another state without history of new text end 42.2 new text begin disciplinary action by a regulatory authority in the other state; and new text end 42.3 new text begin (2) a current criminal background study without a criminal conviction that is new text end 42.4 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 42.5 new text begin (d) A temporary license issued under this subdivision is effective for two years from new text end 42.6 new text begin the initial licensure date. new text end 42.7 new text begin (e) During the temporary license period, the individual shall complete the application new text end 42.8 new text begin for licensure required in subdivision 1. new text end 42.9 new text begin (f) In order to remain licensed after the expiration of the temporary license, an new text end 42.10 new text begin individual must meet the requirements in subdivisions 2 and 3. new text end 42.11    Sec. 24. Minnesota Statutes 2014, section 153.16, subdivision 1, is amended to read: 42.12    Subdivision 1. License requirements. The board shall issue a license to practice 42.13podiatric medicine to a person who meets the following requirements: 42.14(a) The applicant for a license shall file a written notarized application on forms 42.15provided by the board, showing to the board's satisfaction that the applicant is of good 42.16moral character and satisfies the requirements of this section. 42.17(b) The applicant shall present evidence satisfactory to the board of being a graduate 42.18of a podiatric medical school approved by the board based upon its faculty, curriculum, 42.19facilities, accreditation by a recognized national accrediting organization approved by the 42.20board, and other relevant factors. 42.21(c) The applicant must have received a passing score on each part of the national board 42.22examinations, parts one and two, prepared and graded by the National Board of Podiatric 42.23Medical Examiners. The passing score for each part of the national board examinations, 42.24parts one and two, is as defined by the National Board of Podiatric Medical Examiners. 42.25(d) Applicants graduating after 1986 from a podiatric medical school shall present 42.26evidence of successful completion of a residency program approved by a national 42.27accrediting podiatric medicine organization. 42.28(e) The applicant shall appear in person before the board or its designated 42.29representative to show that the applicant satisfies the requirements of this section, 42.30including knowledge of laws, rules, and ethics pertaining to the practice of podiatric 42.31medicine. The board may establish as internal operating procedures the procedures or 42.32requirements for the applicant's personal presentation. new text begin Upon completion of all other new text end 42.33 new text begin application requirements, a doctor of podiatric medicine applying for a temporary military new text end 42.34 new text begin license has six months in which to comply with this subdivision. new text end 43.1(f) The applicant shall pay a fee established by the board by rule. The fee shall 43.2not be refunded. 43.3(g) The applicant must not have engaged in conduct warranting disciplinary action 43.4against a licensee. If the applicant does not satisfy the requirements of this paragraph, 43.5the board may refuse to issue a license unless it determines that the public will be 43.6protected through issuance of a license with conditions and limitations the board considers 43.7appropriate. 43.8(h) Upon payment of a fee as the board may require, an applicant who fails to pass 43.9an examination and is refused a license is entitled to reexamination within one year of 43.10the board's refusal to issue the license. No more than two reexaminations are allowed 43.11without a new application for a license. 43.12    Sec. 25. Minnesota Statutes 2014, section 153.16, subdivision 4, is amended to read: 43.13    Subd. 4. Temporary military permit new text begin license new text end . The board shall establish a temporary 43.14permit in accordance with section . The fee for the temporary military permit is 43.15$250. new text begin (a) The board shall issue an expedited license to practice podiatric medicine to an new text end 43.16 new text begin applicant who meets the following requirements: new text end 43.17 new text begin (1) is an active duty military member; new text end 43.18 new text begin (2) is the spouse of an active duty military member; or new text end 43.19 new text begin (3) is a veteran who has left service in the two years preceding the date of license new text end 43.20 new text begin application, and has confirmation of an honorable or general discharge status. new text end 43.21 new text begin (b) A qualified applicant under this subdivision must provide evidence of: new text end 43.22 new text begin (1) a current, valid license in another state without history of disciplinary action by a new text end 43.23 new text begin regulatory authority in the other state; and new text end 43.24 new text begin (2) a current criminal background study without a criminal conviction that is new text end 43.25 new text begin determined by the board to adversely affect the applicant's ability to become licensed. new text end 43.26 new text begin (c) The board shall issue a license for up to six months to a doctor of podiatric new text end 43.27 new text begin medicine eligible for licensure under this subdivision. Doctors of podiatric medicine new text end 43.28 new text begin licensed in another state who have complied with all other requirements may receive a new text end 43.29 new text begin temporary license valid for up to six months. No extension is available. new text end 43.30 new text begin (d) A temporary license issued under this subdivision permits a qualified individual new text end 43.31 new text begin to perform podiatric medicine for a limited length of time as determined by the licensing new text end 43.32 new text begin board. During the temporary license period, the individual shall complete the full new text end 43.33 new text begin application procedure and be approved as required by applicable law. new text end 43.34 new text begin (e) The fee for the temporary military license is $250. new text end 44.1    Sec. 26. Minnesota Statutes 2014, section 154.003, is amended to read: 44.2154.003 FEES. 44.3    (a) The fees collected, as required in this chapter, chapter 214, and the rules of the 44.4board, shall be paid to the board. The board shall deposit the fees in the general fund 44.5in the state treasury. 44.6    (b) The board shall charge the following fees: 44.7    (1) examination and certificate, registered barber, $85; 44.8(2) retake of written examination, registered barber, $10; 44.9    (3) examination and certificate, apprentice, $80; 44.10(4) retake of written examination, apprentice, $10; 44.11    (5) examination, instructor, $180; 44.12    (6) certificate, instructor, $65; 44.13    (7) temporary teacher or apprentice permit, $80; 44.14    (8) new text begin temporary registered barber, military, $85; new text end 44.15 new text begin (9) temporary barber instructor, military, $180; new text end 44.16 new text begin (10) temporary apprentice barber, military, $80; new text end 44.17     new text begin (11) new text end renewal of registration, registered barber, $80; 44.18    (9) new text begin (12) new text end renewal of registration, apprentice, $70; 44.19    (10) new text begin (13) new text end renewal of registration, instructor, $80; 44.20    (11) new text begin (14) new text end renewal of temporary teacher permit, $65; 44.21    (12) new text begin (15) new text end student permit, $45; 44.22(13) new text begin (16) new text end renewal of student permit, $25; 44.23    (14) new text begin (17) new text end initial shop registration, $85; 44.24    (15) new text begin (18) new text end initial school registration, $1,030; 44.25    (16) new text begin (19) new text end renewal shop registration, $85; 44.26    (17) new text begin (20) new text end renewal school registration, $280; 44.27    (18) new text begin (21) new text end restoration of registered barber registration, $95; 44.28    (19) new text begin (22) new text end restoration of apprentice registration, $90; 44.29    (20) new text begin (23) new text end restoration of shop registration, $105; 44.30    (21) new text begin (24) new text end change of ownership or location, $55; 44.31    (22) new text begin (25) new text end duplicate registration, $40; 44.32    (23) new text begin (26) new text end home study course, $75; 44.33(24) new text begin (27) new text end letter of registration verification, $25; and 44.34(25) new text begin (28) new text end reinspection, $100. 44.35    Sec. 27. Minnesota Statutes 2014, section 154.11, subdivision 3, is amended to read: 45.1    Subd. 3. Temporary military license new text begin permits new text end . new text begin (a) In accordance with section new text end 45.2 new text begin 197.4552, new text end the board shall establish new text begin issue new text end a temporary license new text begin : new text end 45.3     new text begin (1) permit new text end for new text begin apprentice new text end barbers and master new text begin ; new text end 45.4     new text begin (2) certificate for registered new text end barbers new text begin ; new text end and a temporary permit for apprentices in 45.5accordance with section . The fee for a temporary license under this subdivision 45.6for a master barber is $85. The fee for a temporary license under this subdivision for a 45.7barber is $180. The fee for a temporary permit under this subdivision for an apprentice is 45.8$80. 45.9     new text begin (3) certificate for registered barber instructors. new text end 45.10     new text begin (b) Fees for temporary military permits and certificates of registration under this new text end 45.11 new text begin subdivision are listed under section 154.003. new text end 45.12     new text begin (c) Permits or certificates of registration issued under this subdivision are valid new text end 45.13 new text begin for one year from the date of issuance, after which the individual must complete a full new text end 45.14 new text begin application as required by section 197.4552. new text end 45.15    Sec. 28. Minnesota Statutes 2014, section 155A.21, is amended to read: 45.16155A.21 POLICY. 45.17The legislature finds that the health and safety of the people of the state are served 45.18by the licensing of the practice of cosmetology because of new text begin infection control and new text end the use 45.19of chemicals new text begin , implements new text end , apparatus, and other appliances requiring special skills and 45.20education. 45.21To this end, the public will best be served by vesting these responsibilities in the 45.22Board of Cosmetologist Examiners. 45.23    Sec. 29. Minnesota Statutes 2014, section 155A.23, subdivision 8, is amended to read: 45.24    Subd. 8. Manager. A "manager" is any person who conducts, operates, or manages 45.25a cosmetology school or salon and who also instructs in or new text begin is a cosmetologist, esthetician, new text end 45.26 new text begin advanced practice esthetician, or nail technician practitioner, and who has a manager new text end 45.27 new text begin license and new text end provides any services new text begin under that license new text end , as defined in subdivision 3. A school 45.28manager must maintain an active salon manager's license. 45.29    Sec. 30. Minnesota Statutes 2014, section 155A.23, is amended by adding a 45.30subdivision to read: 45.31     new text begin Subd. 8a. new text end new text begin Mobile salon. new text end new text begin A "mobile salon" is a salon that is operated in a mobile new text end 45.32 new text begin vehicle or mobile structure for exclusive use to offer personal services, as defined in new text end 45.33 new text begin subdivision 3. new text end 46.1 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2017. new text end 46.2    Sec. 31. Minnesota Statutes 2014, section 155A.23, is amended by adding a 46.3subdivision to read: 46.4     new text begin Subd. 14. new text end new text begin Advanced practice esthetician. new text end new text begin An "advanced practice esthetician" is a new text end 46.5 new text begin person who for compensation performs personal services for the cosmetic care of the skin, new text end 46.6 new text begin including the use of mechanical or electrical skin care apparatuses or appliances that are new text end 46.7 new text begin used on the epidermal layer of the skin. new text end 46.8 new text begin EFFECTIVE DATE. new text end new text begin This section is effective August 1, 2015, except that a license new text end 46.9 new text begin for an advanced practice esthetician must not be issued prior to January 1, 2018. new text end 46.10    Sec. 32. Minnesota Statutes 2014, section 155A.23, is amended by adding a 46.11subdivision to read: 46.12     new text begin Subd. 15. new text end new text begin Designated licensed salon manager. new text end new text begin A "designated licensed salon new text end 46.13 new text begin manager" is a manager designated by a salon owner and registered with the board, who is new text end 46.14 new text begin responsible with the salon owner for salon and practitioner compliance. new text end 46.15    Sec. 33. Minnesota Statutes 2014, section 155A.23, is amended by adding a 46.16subdivision to read: 46.17     new text begin Subd. 16. new text end new text begin School manager. new text end new text begin A "school manager" is a cosmetologist who is a salon new text end 46.18 new text begin manager and who has a school manager license. A school manager must maintain an new text end 46.19 new text begin active salon manager's license. new text end 46.20    Sec. 34. Minnesota Statutes 2014, section 155A.23, is amended by adding a 46.21subdivision to read: 46.22     new text begin Subd. 17. new text end new text begin Designated school manager. new text end new text begin A "designated school manager" is a school new text end 46.23 new text begin manager who is designated by the school owner and registered with the board, who is new text end 46.24 new text begin responsible with the school owner for school and instructor compliance. new text end 46.25    Sec. 35. Minnesota Statutes 2014, section 155A.23, is amended by adding a 46.26subdivision to read: 46.27     new text begin Subd. 18. new text end new text begin Practitioner. new text end new text begin A "practitioner" is any person licensed in the practice of new text end 46.28 new text begin cosmetology, esthiology, or nail technology services. new text end 46.29    Sec. 36. Minnesota Statutes 2014, section 155A.24, subdivision 2, is amended to read: 47.1    Subd. 2. Hiring and assignment of employees. The board has the authority to hire 47.2qualified personnel in the classified service to assist in administering the law, including 47.3those for the testing and licensing of applicants and the continuing inspections required. 47.4All staff must receive periodic training to improve and maintain customer service skills new text begin , new text end 47.5 new text begin conducting inspections, and complaint investigations new text end . 47.6    Sec. 37. Minnesota Statutes 2014, section 155A.25, subdivision 1a, is amended to read: 47.7    Subd. 1a. Schedule. new text begin (a) new text end The fee schedule for licensees new text begin fees and penalties new text end is as 47.8follows: new text begin provided in this subdivision new text end new text begin . new text end 47.9(a) new text begin (b) new text end Three-year license fees new text begin are as follows new text end : 47.10(1) cosmetologist, nail technician, or esthetician new text begin $195 initial practitioner, manager, new text end 47.11 new text begin or instructor license, divided as follows new text end : 47.12(i) $90 new text begin $155 new text end for each initial license and a $40 nonrefundable initial license 47.13application fee, for a total of $130; and 47.14(ii) $60 for each renewal and a $15 nonrefundable renewal application fee, for a total 47.15of $75 new text begin $40 for each initial license application fee new text end ; 47.16(2) instructor or manager new text begin $115 renewal of practitioner license, divided as follows new text end : 47.17(i) $120 new text begin $100 new text end for each initial new text begin renewal new text end license and a $40 nonrefundable initial license 47.18application fee, for a total of $160; and 47.19(ii) $90 new text begin $15 new text end for each renewal and a $15 nonrefundable renewal application fee, 47.20for a total of $105; 47.21(3) new text begin $145 renewal of manager or instructor license, divided as follows: new text end 47.22 new text begin (i) $130 for each renewal license; and new text end 47.23 new text begin (ii) $15 for each renewal application fee; new text end 47.24 new text begin (4) new text end new text begin $350 initial new text end salon new text begin license, divided as follows new text end : 47.25(i) $130 new text begin $250 new text end for each initial license and a $100 nonrefundable initial license 47.26application fee, for a total of $230; and 47.27(ii) $100 for each renewal and a $50 nonrefundable renewal new text begin initial license new text end 47.28application fee, for a total of $150; and 47.29(4) school new text begin (5) $225 renewal of salon license, divided as follows new text end : 47.30(i) $1,500 new text begin $175 new text end for each initial license and a $1,000 nonrefundable initial license 47.31application fee, for a total of $2,500 new text begin renewal new text end ; and 47.32(ii) $1,500 new text begin $50 new text end for each renewal and a $500 nonrefundable renewal application 47.33fee, for a total of $2,000 new text begin ; new text end 47.34 new text begin (6) $4,000 initial school license, divided as follows: new text end 47.35 new text begin (i) $3,000 for each initial license; and new text end 48.1 new text begin (ii) $1,000 for each initial license application fee; and new text end 48.2 new text begin (7) $2,500 renewal of school license, divided as follows: new text end 48.3 new text begin (i) $2,000 for each renewal; and new text end 48.4 new text begin (ii) $500 for each renewal application fee new text end . 48.5(b) new text begin (c) new text end Penalties new text begin may be assessed in amounts up to the following new text end : 48.6(1) reinspection fee, variable new text begin $150 new text end ; 48.7(2) manager and owner with lapsed practitioner found on inspection, $150 each; 48.8(3) lapsed practitioner or instructor found on inspection, $200; 48.9(4) lapsed salon found on inspection, $500; 48.10(5) lapsed school found on inspection, $1,000; 48.11(6) failure to display current license, $100; 48.12(7) failure to dispose of single-use equipment, implements, or materials as provided 48.13under section 155A.355, subdivision 1, $500; 48.14(8) use of prohibited razor-type callus shavers, rasps, or graters under section 48.15155A.355, subdivision 2 , $500; 48.16(9) performing nail or cosmetology services in esthetician salon, or performing 48.17esthetician or cosmetology services in a nail salon, $500; 48.18(10) owner and manager allowing an operator to work as an independent contractor, 48.19$200; 48.20(11) operator working as an independent contractor, $100; 48.21(12) refusal or failure to cooperate with an inspection, $500; 48.22(13) expired cosmetologist, nail technician, esthetician, manager, school manager, 48.23and instructor license new text begin practitioner late renewal fee new text end , $45; and 48.24(14) expired salon or school license new text begin late renewal fee new text end , $50. 48.25(c) new text begin (d) new text end Administrative fees new text begin are as follows new text end : 48.26(1) certificate of identification, $20 new text begin homebound service permit, $50 three-year fee new text end ; 48.27(2) name change, $20; 48.28(3) letter of license verification new text begin certification of licensure new text end , $30 new text begin each new text end ; 48.29(4) duplicate license, $20; 48.30(5) processing fee, $10; 48.31(6) special event permit, $75 per year; and 48.32(7) new text begin (6) new text end registration of hair braiders, $20 per year new text begin ; new text end 48.33 new text begin (7) $100 for each temporary military license for a cosmetologist, nail technician, new text end 48.34 new text begin esthetician, or advanced practice esthetician one-year fee; new text end 48.35 new text begin (8) expedited initial individual license, $150; new text end 48.36 new text begin (9) expedited initial salon license, $300; new text end 49.1 new text begin (10) instructor continuing education provider approval, $150 each year; and new text end 49.2 new text begin (11) practitioner continuing education provider approval, $150 each year new text end . 49.3    Sec. 38. Minnesota Statutes 2014, section 155A.25, subdivision 5, is amended to read: 49.4    Subd. 5. Board must approve or deny application; timeline. Within 15 working 49.5days of receiving a complete application and the required fees for an initial or renewal 49.6 new text begin to apply for or renew an new text end individual or salon license new text begin that is not an expedited license or a new text end 49.7 new text begin military license new text end , the board must (1) either grant or deny the application new text begin issue the license new text end , 49.8(2) issue new text begin deny new text end the license or new text begin and new text end notify the applicant of the denial, or (3) issue a temporary 49.9license to an applicant for whom no record exists regarding: (i) a complaint filed with the 49.10board against the applicant; or (ii) a negative action by the board against the applicant new text begin if new text end 49.11 new text begin the conditions in subdivision 6 are met, notify the applicant that the board must conduct new text end 49.12 new text begin additional review new text end . 49.13    Sec. 39. Minnesota Statutes 2014, section 155A.25, is amended by adding a 49.14subdivision to read: 49.15     new text begin Subd. 6. new text end new text begin Additional review for certain licenses. new text end new text begin If an application contains new text end 49.16 new text begin discrepancies, the applicant is the subject of a complaint investigation, or the applicant new text end 49.17 new text begin has pending disciplinary actions before the board, the board will comply with the time new text end 49.18 new text begin limits prescribed in section 15.992 to process the application. new text end 49.19    Sec. 40. Minnesota Statutes 2014, section 155A.25, is amended by adding a 49.20subdivision to read: 49.21     new text begin Subd. 7. new text end new text begin Temporary military license or expedited license. new text end new text begin Within five business new text end 49.22 new text begin days of receiving a completed application and the required fees for an individual or salon new text end 49.23 new text begin license that meets requirements for an expedited license or a temporary military license, new text end 49.24 new text begin the board must (1) issue the license, (2) deny the license and notify the applicant of the new text end 49.25 new text begin denial, or (3) notify the applicant that the board must conduct additional review if the new text end 49.26 new text begin application meets the conditions in subdivision 8. new text end 49.27 new text begin EFFECTIVE DATE. new text end new text begin This section is effective August 1, 2015, except that an new text end 49.28 new text begin expedited license must not be issued prior to January 1, 2016. new text end 49.29    Sec. 41. Minnesota Statutes 2014, section 155A.25, is amended by adding a 49.30subdivision to read: 49.31     new text begin Subd. 8. new text end new text begin Additional review for certain temporary military license or expedited new text end 49.32 new text begin license. new text end new text begin If an application under subdivision 7 contains discrepancies, the applicant is the new text end 50.1 new text begin subject of a complaint investigation, or the applicant has pending disciplinary actions new text end 50.2 new text begin before the board, the board will process the application according to the time limits in new text end 50.3 new text begin section 15.992. new text end 50.4    Sec. 42. Minnesota Statutes 2014, section 155A.27, subdivision 1, is amended to read: 50.5    Subdivision 1. Licensing. Individual licensing shall be required for persons seeking 50.6 new text begin A person must hold an individual license new text end to practice in the state as a cosmetologist, 50.7esthetician, nail technician, new text begin advanced practice esthetician, new text end manager, or instructor. 50.8    Sec. 43. Minnesota Statutes 2014, section 155A.27, subdivision 2, is amended to read: 50.9    Subd. 2. Qualifications. Qualifications for licensing in each classification shall 50.10be determined by the board and established by rule, and shall include educational 50.11and experiential prerequisites. The rules shall require a demonstrated knowledge of 50.12procedures necessary to protect the health new text begin and safety new text end of the practitioner and the consumer 50.13of cosmetology services, including but not limited to chemical applications new text begin infection new text end 50.14 new text begin control, use of implements, apparatuses and other appliances, and the use of chemicals new text end . 50.15    Sec. 44. Minnesota Statutes 2014, section 155A.27, subdivision 5a, is amended to read: 50.16    Subd. 5a. Temporary military license. The board shall establish temporary 50.17licenses for a cosmetologist, nail technician, and esthetician in accordance with section 50.18197.4552 . The fee for a temporary license under this subdivision for a cosmetologist, nail 50.19technician, or esthetician is $100. 50.20    Sec. 45. Minnesota Statutes 2014, section 155A.271, is amended to read: 50.21155A.271 CONTINUING EDUCATION REQUIREMENTS. 50.22    Subdivision 1. Continuing education requirements. new text begin (a) new text end Effective August 1, 2014, 50.23to qualify for license renewal under this chapter as an individual cosmetologist, nail 50.24technician, esthetician, new text begin advanced practice esthetician, new text end or salon manager, the applicant 50.25must attest to the completion of four hours of continuing education credits from an 50.26accredited school or a professional association of cosmetology during the three years 50.27prior to the applicant's renewal date. One credit hour of the requirement must include 50.28instruction pertaining to state laws and rules governing the practice of cosmetology. Three 50.29credit hours must include instruction pertaining to health, safety, and sanitation matters 50.30consistent with the United States Department of Labor's Occupational Safety and Health 50.31Administration standards applicable to the practice of cosmetology, or other applicable 50.32federal health, sanitation, and safety standards, and must be regularly updated so as to 51.1incorporate newly developed standards and accepted professional best practices. Credit 51.2hours earned are valid for three years and may be applied simultaneously to all individual 51.3licenses held by a licensee under this chapter. This subdivision does not apply to 51.4instructors or inactive licenses. 51.5 new text begin (b) Effective August 1, 2017, in addition to the hours of continuing education credits new text end 51.6 new text begin required under paragraph (a), to qualify for license renewal under this chapter as an new text end 51.7 new text begin individual cosmetologist, nail technician, esthetician, advanced practice esthetician, or new text end 51.8 new text begin salon manager, the applicant must also attest to the completion of one four-hour continuing new text end 51.9 new text begin education course from a continuing education provider based on any or all of the following: new text end 51.10 new text begin (1) product chemistry and chemistry interaction; new text end 51.11 new text begin (2) proper use of machines and instruments; new text end 51.12 new text begin (3) business management and human relations; or new text end 51.13 new text begin (4) techniques relevant to the type of license held. new text end 51.14 new text begin Credits must be completed during the three years prior to the applicant's renewal date and new text end 51.15 new text begin may be applied simultaneously to other individual licenses held as applicable, except new text end 51.16 new text begin that credits completed under this paragraph must not duplicate credits completed under new text end 51.17 new text begin paragraph (a). new text end 51.18 new text begin (c) Paragraphs (a) and (b) do not apply to an instructor license, a school manager new text end 51.19 new text begin license, or an inactive license. new text end 51.20     new text begin Subd. 1a. new text end new text begin Product sales or marketing prohibited. new text end new text begin The marketing or sale of new text end 51.21 new text begin any product is prohibited during a continuing education class receiving credit under new text end 51.22 new text begin subdivision 1. new text end 51.23    Subd. 2. Schools and professional associations new text begin Continuing education providers new text end . 51.24    (a) Only a board-licensed school of cosmetology, a postsecondary institution as defined in 51.25section 136A.103, paragraph (a), or a board-recognized professional association new text begin organized new text end 51.26 new text begin under chapter 317A new text end may offer continuing education curriculum for credit under this 51.27section. new text begin subdivision 1, paragraph (a). Continuing education curriculum under subdivision new text end 51.28 new text begin 1, paragraph (b), may be offered by a: new text end 51.29     new text begin (1) board-licensed school of cosmetology; new text end 51.30     new text begin (2) board-recognized professional association organized under chapter 317A; or new text end 51.31     new text begin (3) board-licensed salon. new text end 51.32    The school and professional association may offer online and independent study 51.33options to achieve maximum involvement of licensees and is new text begin . Continuing education new text end 51.34 new text begin providers are new text end encouraged to offer classes available in foreign language formats. 51.35    (b) Board recognition new text begin authorization new text end of a professional association new text begin continuing new text end 51.36 new text begin education provider under paragraph (a) new text end is valid for three years new text begin one calendar year new text end and is 52.1contingent upon submission and preapproval of the general curriculum new text begin lesson plan or new text end 52.2 new text begin plans with learning objectives for the class new text end to be offered new text begin and the payment of the application new text end 52.3 new text begin fee in section 155A.25, subdivision 1a, paragraph (d), clause (11) new text end . The board may revoke 52.4recognition new text begin authorization of a continuing education provider new text end at any time for just cause new text begin and new text end 52.5 new text begin the board may demand return of documents required under subdivision 3 new text end . The professional 52.6association offering continuing education must be organized under chapter 317A. 52.7    Subd. 3. Proof of credits. The school or professional association new text begin continuing new text end 52.8 new text begin education provider new text end shall provide to licensees who attend a class a receipt to prove 52.9completion of the class. Licensees shall retain proof of their continuing education credits 52.10for one year beyond the credit's expiration. The school or professional association 52.11 new text begin continuing education provider new text end shall retain documentation of all licensees successfully 52.12completing a class and the licensee's credit hours for five years. 52.13    Subd. 4. Audit. The board shall conduct random audits of active licensees 52.14periodically to ensure compliance with continuing education requirements. To initiate 52.15an audit, the board shall notify an active licensee of the audit and request proof of 52.16credits earned during a specified period. The licensee must provide the requested proof 52.17to the board within 30 days of an audit notice. The board may request that a school or 52.18professional association verify a licensee's credits. The school or professional association 52.19 new text begin continuing education provider new text end must furnish verification, or a written statement that the 52.20credits are not verified, within 15 days of the board's request for verification. If the board 52.21determines that a licensee has failed to provide proof of necessary credits earned during 52.22the specified time, the board may revoke the individual's license and may deem the 52.23individual a lapsed practitioner subject to penalty under section 155A.25 or 155A.36. 52.24 new text begin EFFECTIVE DATE. new text end new text begin Subdivision 1 is effective August 1, 2017. Subdivision 1a is new text end 52.25 new text begin effective the day following final enactment. Subdivisions 2 to 4 are effective July 1, 2015. new text end 52.26    Sec. 46. Minnesota Statutes 2014, section 155A.29, subdivision 1, is amended to read: 52.27    Subdivision 1. Licensing. Any new text begin A new text end person who offers new text begin must not offer new text end cosmetology 52.28services for compensation in this state shall be (1) licensed as a salon if not employed by 52.29another licensed salon or (2) employed as an esthetician or cosmetologist in connection 52.30with medical care in relation to esthiology in the office of a licensed physician new text begin unless the new text end 52.31 new text begin services are provided by a licensee in a licensed salon or as otherwise provided in this new text end 52.32 new text begin section. Each salon must be licensed as a cosmetology salon, a nail salon, esthetician new text end 52.33 new text begin salon, or advanced practice esthetician salon. A salon may hold more than one type of new text end 52.34 new text begin salon license new text end . 53.1    Sec. 47. Minnesota Statutes 2014, section 155A.29, subdivision 2, is amended to read: 53.2    Subd. 2. Requirements. (a) The conditions and process by which a salon is licensed 53.3shall be established by the board by rule. In addition to those requirements, no license 53.4shall be issued unless the board first determines that the conditions in clauses (1) to (5) 53.5have been satisfied: 53.6(1) compliance with all local and state laws, particularly relating to matters of 53.7sanitation, health, and safety; 53.8(2) the employment of a manager, as defined in section 155A.23, subdivision 8; 53.9(3) if applicable, evidence of compliance with new text begin workers' compensation new text end section 53.10176.182 ; and 53.11(4) evidence of continued professional liability insurance coverage of at least 53.12$25,000 for each claim and $50,000 total coverage for each policy year for each operator. 53.13(b) A licensed esthetician or nail technician who complies with the health, safety, 53.14sanitation, inspection, and insurance rules promulgated by the board to operate a salon 53.15solely for the performance of those personal services defined in section 155A.23, 53.16subdivision 5 , in the case of an esthetician, or subdivision 7, in the case of a nail technician. 53.17    Sec. 48. Minnesota Statutes 2014, section 155A.29, is amended by adding a 53.18subdivision to read: 53.19     new text begin Subd. 2a. new text end new text begin Requirements for mobile salon. new text end new text begin In addition to complying with the new text end 53.20 new text begin requirements for a salon in subdivision 2, the holder of a salon license for a mobile salon new text end 53.21 new text begin must: new text end 53.22 new text begin (1) maintain a permanent business address; and new text end 53.23 new text begin (2) notify the board of the locations and schedule of operation of a mobile salon. new text end 53.24 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2017. new text end 53.25    Sec. 49. Minnesota Statutes 2014, section 155A.30, subdivision 5, is amended to read: 53.26    Subd. 5. Conditions precedent to issuance. A license must not be issued unless the 53.27board first determines that the applicant has met the requirements in clauses (1) to (8). new text begin : new text end 53.28(1) the applicant must have a sound financial condition with sufficient resources 53.29available to meet the school's financial obligations; to refund all tuition and other charges, 53.30within a reasonable period of time, in the event of dissolution of the school or in the event 53.31of any justifiable claims for refund against the school; to provide adequate service to its 53.32students and prospective students; and to maintain proper use and support of the school. new text begin ; new text end 54.1(2) the applicant must have satisfactory training facilities with sufficient tools and 54.2equipment and the necessary number of work stations to adequately train the students 54.3currently enrolled, and those proposed to be enrolled. new text begin ; new text end 54.4(3) the applicant must employ a sufficient number of qualified instructors trained by 54.5experience and education to give the training contemplated. new text begin ; new text end 54.6(4) the premises and conditions under which the students work and study must be 54.7sanitary, healthful, and safe according to modern standards. new text begin ; new text end 54.8(5) each occupational course or program of instruction or study must be of such 54.9quality and content as to provide education and training which new text begin that new text end will adequately prepare 54.10enrolled students for testing, licensing, and entry level positions as a cosmetologist, 54.11esthetician, or nail technician. new text begin ; new text end 54.12(6) the school must have coverage by professional liability insurance of at least 54.13$25,000 per incident and an accumulation of $150,000 for each premium year. new text begin ; new text end 54.14(7) the applicant shall provide evidence of the school's compliance with section 54.15176.182 . new text begin ; new text end 54.16(8) the applicant, except the state and its political subdivisions as described in 54.17section 471.617, subdivision 1, shall file with the board a continuous corporate surety 54.18bond in the amount of $10,000, conditioned upon the faithful performance of all contracts 54.19and agreements with students made by the applicant. The bond shall run to the state of 54.20Minnesota and to any person who may have a cause of action against the applicant arising 54.21at any time after the bond is filed and before it is canceled for breach of any contract or 54.22agreement made by the applicant with any student. The aggregate liability of the surety for 54.23all breaches of the conditions of the bond shall not exceed $10,000. The surety of the bond 54.24may cancel it upon giving 60 days' notice in writing to the board and shall be relieved of 54.25liability for any breach of condition occurring after the effective date of cancellation new text begin ; and new text end 54.26 new text begin (9) the applicant must, at all times during the term of the license, employ a new text end 54.27 new text begin designated licensed school manager who maintains a cosmetology salon manager license new text end . 54.28    Sec. 50. Minnesota Statutes 2014, section 155A.30, subdivision 10, is amended to read: 54.29    Subd. 10. Discrimination prohibited. No new text begin Each new text end school, duly approved under 54.30sections to , shall refuse to teach any student, otherwise qualified, on 54.31account of race, sex, creed, color, citizenship, national origin, or sexual preference new text begin must new text end 54.32 new text begin comply with the Minnesota Human Rights Act under chapter 363A new text end . 54.33    Sec. 51. Minnesota Statutes 2014, section 161.1419, subdivision 8, is amended to read: 54.34    Subd. 8. Expiration. The commission expires on June 30, 2016 new text begin 2020 new text end . 55.1    Sec. 52. Minnesota Statutes 2014, section 211B.37, is amended to read: 55.2211B.37 COSTS ASSESSED. 55.3Except as otherwise provided in section 211B.36, subdivision 3, the chief 55.4administrative law judge shall assess the cost of considering complaints filed under section 55.5211B.32 as provided in this section. Costs of complaints relating to a statewide ballot 55.6question or an election for a statewide or legislative office must be assessed against the 55.7appropriation from the general fund to the general account of the state elections campaign 55.8account in section 10A.31, subdivision 4 new text begin paid from appropriations to the Office of new text end 55.9 new text begin Administrative Hearings for this purpose new text end . Costs of complaints relating to any other ballot 55.10question or elective office must be paid from appropriations to the office for this purpose. 55.11    Sec. 53. Minnesota Statutes 2014, section 272.484, is amended to read: 55.12272.484 FEES. 55.13The fee for filing and indexing each notice of lien or certificate or notice affecting 55.14the lien is: 55.15(1) for a lien, certificate of discharge or subordination, and for all other notices, 55.16including a certificate of release or nonattachment filed with the secretary of state, the fee 55.17provided by section 336.9-525, except that the filing fee charged to the district directors 55.18of internal revenue for filing a federal tax lien is $15 for up to two debtor names and 55.19$15 for each additional name; new text begin and new text end 55.20(2) for a lien, certificate of discharge or subordination, and for all other notices, 55.21including a certificate of release or nonattachment filed with the county recorder, the fee 55.22for filing a real estate mortgage in the county where filed. 55.23The officer shall bill the district directors of internal revenue or other appropriate 55.24federal officials on a monthly basis for fees for documents filed by them. 55.25    Sec. 54. Minnesota Statutes 2014, section 303.19, is amended to read: 55.26303.19 REINSTATEMENT. 55.27    Subdivision 1. Application new text begin Required filing new text end . Any foreign corporation whose 55.28certificate of authority to do business in this state shall have been revoked or canceled may 55.29file new text begin reinstate that authority by filing an annual renewal and the fee required by subdivision new text end 55.30 new text begin 2 new text end with the secretary of state an application for reinstatement. Such application shall be 55.31on forms prescribed by the secretary of state, shall contain all the matters required to be 55.32set forth in an original application for a certificate of authority, and such other pertinent 55.33information as may be required by the secretary of state. new text begin If any of the information in the new text end 56.1 new text begin original application for authority has changed, the foreign corporation must also file an new text end 56.2 new text begin amended certificate setting forth the currently accurate information, with the fee required new text end 56.3 new text begin by section 303.21, subdivision 3. new text end 56.4    Subd. 2. Fee. If the certificate of authority was revoked by the secretary of state 56.5pursuant to section 303.17, the corporation shall pay to the commissioner of management 56.6and budget $250 before it may be reinstated. 56.7If the certificate of authority was canceled new text begin or new text end by a judgment pursuant to section 56.8303.18 , the corporation shall pay to the commissioner of management and budget $500 56.9before it may be reinstated. 56.10    Subd. 3. Certificate of reinstatement. Upon the filing of the application and upon 56.11payment of all penalties, fees and charges required by law, not including an initial license 56.12fee or additional license fees to the extent that they have previously been paid by the 56.13corporation new text begin the fees imposed by this section new text end , the secretary of state shall reinstate the 56.14license of the corporation. 56.15    Sec. 55. Minnesota Statutes 2014, section 304A.301, subdivision 1, is amended to read: 56.16    Subdivision 1. Report required. No later than 90 days after the conclusion of 56.17each calendar year new text begin Before each April 1 new text end , a public benefit corporation must deliver to the 56.18secretary of state for filing an annual benefit report covering the 12-month period ending 56.19on December 31 of that new text begin the previous new text end year and pay a fee of $35 to the secretary of state. 56.20The annual benefit report must state the name of the public benefit corporation, be signed 56.21by the public benefit corporation's chief executive officer not more than 30 days before the 56.22report is delivered to the secretary of state for filing, and must be current when signed. 56.23    Sec. 56. Minnesota Statutes 2014, section 304A.301, subdivision 5, is amended to read: 56.24    Subd. 5. Failure to file an annual benefit report. If a public benefit corporation 56.25fails to file an new text begin , before April 1 of any calendar year, the new text end annual benefit report in accordance 56.26with this section within 90 days of the date on which an annual benefit report is due 56.27 new text begin required by this section new text end , the secretary of state shall revoke the corporation's status as a 56.28public benefit corporation under this chapter and must notify the public benefit corporation 56.29of the revocation using the information provided by the corporation pursuant to section 56.305.002 or 5.34 or provided in the articles. 56.31    Sec. 57. Minnesota Statutes 2014, section 304A.301, subdivision 6, is amended to read: 56.32    Subd. 6. Effects of revocation; reinstatement. (a) A public benefit corporation 56.33that has lost its public benefit corporation status for failure to timely file an annual benefit 57.1report new text begin or by terminating that status pursuant to section 304A.103 new text end is not entitled to the 57.2benefits afforded to a public benefit corporation under this chapter as of the date of 57.3revocation new text begin or termination and must amend the articles of incorporation to reflect a name new text end 57.4 new text begin compliant with section 302A.115, but which does not include the corporate designation new text end 57.5 new text begin provided for in section 304A.101, subdivision 2 new text end . 57.6(b) Within 30 days of issuance of revocation of public benefit corporation status by 57.7the secretary of state, filing a renewal complying with this section and a $500 fee with 57.8the secretary of state will reinstate the corporation as a public benefit corporation under 57.9this chapter as of the date of revocation. 57.10    Sec. 58. Minnesota Statutes 2014, section 304A.301, is amended by adding a 57.11subdivision to read: 57.12     new text begin Subd. 8. new text end new text begin Failure to change corporate name. new text end new text begin The duration of a corporation that has new text end 57.13 new text begin had public benefit status terminated or revoked and which fails to change the corporate new text end 57.14 new text begin name as provided in subdivision 6 expires automatically 30 days after termination or new text end 57.15 new text begin revocation of the public benefit corporation status. new text end 57.16    Sec. 59. Minnesota Statutes 2014, section 326A.01, subdivision 2, is amended to read: 57.17    Subd. 2. Attest. "Attest" means to provide new text begin providing any of new text end the following financial 57.18statement services: 57.19(1) an audit or other engagement performed in accordance with the Statements on 57.20Auditing Standards (SAS); 57.21(2) a review of a financial statement performed in accordance with the Statements on 57.22Standards for Accounting and Review Services (SSARS); 57.23(3) an examination of prospective financial information performed in accordance 57.24with the Statements on Standards for Attestation Engagements (SSAE); and 57.25(4) any new text begin an new text end engagement performed in accordance with auditing and related new text begin the new text end 57.26standards of the Public Company Accounting Oversight Board new text begin (PCAOB); and new text end 57.27 new text begin (5) an examination, review, or agreed-upon procedures engagement performed in new text end 57.28 new text begin accordance with SSAE, other than an examination described in clause (3) new text end . 57.29    Sec. 60. Minnesota Statutes 2014, section 326A.01, subdivision 12, is amended to read: 57.30    Subd. 12. Peer review. "Peer review" means an independent study, appraisal, or 57.31review of one or more aspects of the professional work of a licensee new text begin or CPA firm new text end that 57.32issues attest or compilation reports, or the professional work of a person registered under 58.1section 326A.06, paragraph (b), by persons who are not affiliated with the licensee new text begin or new text end 58.2 new text begin CPA firm new text end being reviewed. 58.3    Sec. 61. Minnesota Statutes 2014, section 326A.01, subdivision 13a, is amended to read: 58.4    Subd. 13a. Principal place of business. "Principal place of business" means the 58.5office location designated by the licensee for purposes of substantial equivalency and 58.6reciprocity in this state and in other states. 58.7    Sec. 62. Minnesota Statutes 2014, section 326A.01, subdivision 15, is amended to read: 58.8    Subd. 15. Report. "Report," when used with reference to financial statements new text begin an new text end 58.9 new text begin attest or compilation service new text end , means an opinion, report, or other form of language that 58.10states or implies assurance as to the reliability of any new text begin the attested information or compiled new text end 58.11financial statements and that also includes or is accompanied by a statement or implication 58.12that the person or firm issuing it has special knowledge or competence in accounting or 58.13auditing. Such a statement or implication of special knowledge or competence may arise 58.14from use by the issuer of the report of names or titles indicating that the person or firm is an 58.15accountant or auditor, or from the language of the report itself. The term "report" includes 58.16any form of language that disclaims an opinion when the form of language is conventionally 58.17understood to imply any positive assurance as to the reliability of the new text begin attested information new text end 58.18 new text begin or compiled new text end financial statements referred to or special competence on the part of the person 58.19or firm issuing the language. It includes any other form of language that is conventionally 58.20understood to imply such assurance or such special knowledge or competence. 58.21    Sec. 63. Minnesota Statutes 2014, section 326A.01, subdivision 16, is amended to read: 58.22    Subd. 16. State. "State" means any state of the United States, the District of 58.23Columbia, Puerto Rico, the U.S. Virgin Islands, new text begin the Commonwealth of the Northern new text end 58.24 new text begin Mariana Islands, new text end and Guam; except that "this state" means the state of Minnesota. 58.25    Sec. 64. Minnesota Statutes 2014, section 326A.02, subdivision 3, is amended to read: 58.26    Subd. 3. Officers; proceedings. The board shall elect one of its number new text begin members new text end 58.27as chair, another as vice-chair, and another as secretary and treasurer. The officers shall 58.28hold their respective offices for a term of one year and until their successors are elected. 58.29The affirmative vote of a majority of the qualified members of the board, or a majority of 58.30a quorum of the board at any meeting duly called, is considered the action of the board. 58.31The board shall meet at such times and places as may be fixed by the board. Meetings 58.32of the board are subject to chapter 13D. A majority of the board members then in office 59.1constitutes a quorum at any meeting duly called. The board shall retain or arrange for the 59.2retention of all applications and all documents under oath that are filed with the board and 59.3also records of its proceedings, and it shall maintain a registry of the names and addresses 59.4of all licensees and registrants under this chapter. In any proceeding in court, civil or 59.5criminal, arising out of or founded upon any provision of this chapter, copies of records of 59.6the proceeding certified as true copies by the board chair or executive director shall be 59.7admissible in evidence as tending to prove the contents of the records. 59.8    Sec. 65. Minnesota Statutes 2014, section 326A.02, subdivision 5, is amended to read: 59.9    Subd. 5. Rules. The board may adopt rules governing its administration and 59.10enforcement of this chapter and the conduct of licensees and persons registered under 59.11section 326A.06, paragraph (b), including: 59.12(1) rules governing the board's meetings and the conduct of its business; 59.13(2) rules of procedure governing the conduct of investigations and hearings and 59.14discipline by the board; 59.15(3) rules specifying the educational and experience qualifications required for the 59.16issuance of certificates and the continuing professional education required for renewal 59.17of certificates; 59.18(4) rules of professional conduct directed to controlling the quality and probity 59.19of services by licensees, and dealing among other things with independence, integrity, 59.20and objectivity; competence and technical standards; and responsibilities to the public 59.21and to clients; 59.22(5) rules governing the professional standards applicable to licensees including 59.23adoption of the standards specified in section 326A.01, subdivision 2, and as developed 59.24for general application by recognized national accountancy organizations such as the 59.25American Institute of Certified Public Accountants or the Public Company Accounting 59.26Oversight Board; 59.27 new text begin (6) rules that incorporate by reference the standards for attesting listed in section new text end 59.28 new text begin 326A.01, subdivision 2, that are consistent with the standards of general applicability new text end 59.29 new text begin recognized by national accountancy organizations, including the American Institute of new text end 59.30 new text begin Certified Public Accountants and the Public Company Accounting Oversight Board; new text end 59.31(6) new text begin (7) new text end rules governing the manner and circumstances of use of the titles "certified 59.32public accountant," "CPA," "registered accounting practitioner," and "RAP"; 59.33(7) new text begin (8) new text end rules regarding peer review that may be required to be performed under 59.34provisions of this chapter; 59.35(8) new text begin (9) new text end rules on substantial equivalence to implement section 326A.14; 60.1(9) new text begin (10) new text end rules regarding the conduct of the certified public accountant examination; 60.2(10) new text begin (11) new text end rules regarding the issuance and renewals of certificates, permits, and 60.3registrations; 60.4(11) new text begin (12) new text end rules regarding transition provisions to implement this chapter; 60.5(12) new text begin (13) new text end rules specifying the educational and experience qualifications for 60.6registration, rules of professional conduct, rules regarding peer review, rules governing 60.7standards for providing services, and rules regarding the conduct and content of 60.8examination for those persons registered under section 326A.06, paragraph (b); 60.9(13) new text begin (14) new text end rules regarding fees for examinations, certificate issuance and renewal, 60.10firm permits, registrations under section 326A.06, paragraph (b), notifications made under 60.11section 326A.14, and late processing fees; and 60.12(14) new text begin (15) new text end upon any change to this chapter, if the board determines a change in 60.13Minnesota Rules is required, the board may initiate the expedited process under section 60.1414.389 up to one year after the effective date of the change to this chapter. 60.15    Sec. 66. Minnesota Statutes 2014, section 326A.05, subdivision 1, is amended to read: 60.16    Subdivision 1. General. The board shall grant or renew permits to practice as 60.17a CPA firm to entities that make application and demonstrate their qualifications in 60.18accordance with this section. 60.19(a) The following must hold a permit issued under this section: 60.20(1) any firm with an office in this state performing attest services as defined in 60.21section 326A.01, subdivision 2; 60.22(2) to the extent required by section 326A.10, paragraph (k), any firm with an office 60.23in this state performing compilation services as defined in section 326A.01, subdivision 6; 60.24(3) any firm with an office in this state that uses the title "CPA" or "CPA firm"; or 60.25(4) any firm that does not have an office in this state but performs attest services 60.26as described in section 326A.01, subdivision 2, paragraph (1), (3), or (4), for a client 60.27having its headquarters in this state. 60.28(b) A firm possessing a valid permit from another state which does not have an office 60.29in this state may perform services described in section 326A.01, subdivision 2, clause (2) 60.30 new text begin or (5) new text end , or subdivision 6, for a client having its headquarters in this state and may use the 60.31title "CPA" or "CPA firm" without a permit issued under this section only if: 60.32(1) it has the qualifications described in subdivision 3, paragraph (b); 60.33(2) as a condition to the renewal of the firm's permit issued by the other state, that 60.34state requires a peer review which contains the requirements equivalent to subdivision 8, 60.35paragraphs (a) and (e); and 61.1(3) it performs the services through an individual who has been granted practice 61.2privileges under section 326A.14. 61.3(c) A firm possessing a valid permit from another state that does not have an office 61.4in this state and which is not subject to the requirements of paragraph (a), clause (4), or 61.5(b), may perform other professional services while using the title "CPA" or "CPA firm" in 61.6this state without a permit issued under this section only if the firm: 61.7(1) has the qualifications described in subdivision 3, paragraph (b); 61.8(2) performs the services through an individual who has been granted practice 61.9privileges under section 326A.14; and 61.10(3) can lawfully perform the services in the state where the individuals with practice 61.11privileges have their principal place of business. 61.12    Sec. 67. Minnesota Statutes 2014, section 326A.05, subdivision 3, is amended to read: 61.13    Subd. 3. Qualifications. (a) An applicant for initial issuance or renewal of a permit 61.14to practice under this section shall comply with the requirements in this subdivision. 61.15(b) Notwithstanding chapter 319B or any other provision of law, a simple majority 61.16of the ownership of the firm, in terms of financial interests and voting rights of all partners, 61.17officers, shareholders, members, or managers, must belong to holders of certificates who 61.18are licensed in some state, and the partners, officers, shareholders, members, or managers, 61.19whose principal place of business is in this state, and who perform professional services in 61.20this state, must hold valid certificates issued under section 326A.04 or the corresponding 61.21provision of prior law. Although firms may include nonlicensee owners, the firm and 61.22its ownership must comply with rules adopted by the board. The firm shall register all 61.23nonlicensee owners with the state board as set forth by rule. An individual who has been 61.24granted practice privileges under section 326A.14 and who performs services for which 61.25a firm permit is required under section 326A.14, subdivision 1, paragraph (d), is not 61.26required to obtain a certificate from the board under section 326A.04. 61.27(c) A CPA firm may include nonlicensee owners provided that: 61.28(1) the firm designates a licensee of this state, or in the case of a firm that must 61.29have a permit according to section 326A.14, subdivision 1, paragraph (d), a licensee of 61.30another state who meets the requirements in section 326A.14, subdivision 1, paragraph 61.31(a) or (b), who is responsible for the proper registration of the firm and identifies that 61.32individual to the board; 61.33(2) all nonlicensee owners are persons of good moral character and are active 61.34individual participants in the CPA firm or affiliated entities; and 61.35(3) the firm complies with other requirements imposed by the board in rule. 62.1(d) An individual licensee and any individual granted practice privileges under 62.2section 326A.14 who is responsible for supervising attest or compilation services and 62.3signs or authorizes someone to sign the accountant's report on the financial statements 62.4on behalf of the firm, shall meet the competency requirements set out in the professional 62.5standards for such services. 62.6(e) An individual licensee and any individual granted practice privileges under section 62.7326A.14 who signs or authorizes someone to sign the accountants' report on the financial 62.8statements on behalf of the firm shall meet the competency requirement of paragraph (d). 62.9    Sec. 68. Minnesota Statutes 2014, section 326A.08, subdivision 7, is amended to read: 62.10    Subd. 7. Violation; penalties; costs of proceeding. (a) The board may impose 62.11a civil penalty not to exceed $2,000 new text begin $5,000 new text end per violation upon a person or a firm that 62.12violates an order, statute, or rule that the board has issued or is empowered to enforce. 62.13(b) The board may, in addition, impose a fee to reimburse the board for all or 62.14part of the cost of the proceedings, including reasonable investigative costs, resulting 62.15in disciplinary or corrective action authorized by this section, the imposition of civil 62.16penalties, or the issuance of a cease and desist order. The fee may be imposed when the 62.17board shows that the position of the person or firm that violates a statute, rule, or order 62.18that the board has issued or is empowered to enforce is not substantially justified, unless 62.19special circumstances make an award unjust, notwithstanding the provisions of Minnesota 62.20Rules, part 1400.8401. The costs include, but are not limited to, the amount paid by the 62.21board for services from the office of administrative hearings, attorney and reasonable 62.22investigative fees, court reporters, witnesses, reproduction of records, board members' per 62.23diem compensation, board staff time, and expense incurred by board members and staff. 62.24    Sec. 69. Minnesota Statutes 2014, section 326A.10, is amended to read: 62.25326A.10 UNLAWFUL ACTS. 62.26(a) Only a licensee and individuals who have been granted practice privileges 62.27under section 326A.14 may issue a report on financial statements of any person, firm, 62.28organization, or governmental unit that results from providing attest services, or offer to 62.29render or render any attest service. Only a certified public accountant, an individual who 62.30has been granted practice privileges under section 326A.14, a CPA firm, or, to the extent 62.31permitted by board rule, a person registered under section 326A.06, paragraph (b), may 62.32issue a report on financial statements of any person, firm, organization, or governmental 62.33unit that results from providing compilation services or offer to render or render any 62.34compilation service. These restrictions do not prohibit any act of a public official or 63.1public employee in the performance of that person's duties or prohibit the performance 63.2by any nonlicensee of other services involving the use of accounting skills, including 63.3the preparation of tax returns, management advisory services, and the preparation of 63.4financial statements without the issuance of reports on them. Nonlicensees may prepare 63.5financial statements and issue nonattest transmittals or information on them which do not 63.6purport to be in compliance with the Statements on Standards for Accounting and Review 63.7Services (SSARS). Nonlicensees registered under section 326A.06, paragraph (b), may, 63.8to the extent permitted by board rule, prepare financial statements and issue nonattest 63.9transmittals or information on them. 63.10(b) Licensees and individuals who have been granted practice privileges under 63.11section 326A.14 performing attest or compilation services must provide those services in 63.12accordance with professional standards. To the extent permitted by board rule, registered 63.13accounting practitioners performing compilation services must provide those services in 63.14accordance with standards specified in board rule. 63.15(c) A person who does not hold a valid certificate issued under section 326A.04 63.16or a practice privilege granted under section 326A.14 shall not use or assume the title 63.17"certified public accountant," the abbreviation "CPA," or any other title, designation, 63.18words, letters, abbreviation, sign, card, or device tending to indicate that the person is a 63.19certified public accountant. 63.20(d) A firm shall not provide attest services or assume or use the title "certified public 63.21accountants," the abbreviation "CPA's," or any other title, designation, words, letters, 63.22abbreviation, sign, card, or device tending to indicate that the firm is a CPA firm unless 63.23(1) the firm has complied with section 326A.05, and (2) ownership of the firm is in 63.24accordance with this chapter and rules adopted by the board. 63.25(e) A person or firm that does not hold a valid certificate or permit issued under 63.26section 326A.04 or 326A.05 or has not otherwise complied with section 326A.04 or 63.27326A.05 as required in this chapter shall not assume or use the title "certified accountant," 63.28"chartered accountant," "enrolled accountant," "licensed accountant," "registered 63.29accountant," "accredited accountant," "accounting practitioner," "public accountant," 63.30"licensed public accountant," or any other title or designation likely to be confused 63.31with the title "certified public accountant," or use any of the abbreviations "CA," "LA," 63.32"RA," "AA," "PA," "AP," "LPA," or similar abbreviation likely to be confused with the 63.33abbreviation "CPA." The title "enrolled agent" or "EA" may only be used by individuals 63.34so designated by the Internal Revenue Service. 63.35(f) Persons registered under section 326A.06, paragraph (b), may use the title 63.36"registered accounting practitioner" or the abbreviation "RAP." A person who does not 64.1hold a valid registration under section 326A.06, paragraph (b), shall not assume or use 64.2such title or abbreviation. 64.3(g) Except to the extent permitted in paragraph (a), nonlicensees may not use 64.4language in any statement relating to the financial affairs of a person or entity that is 64.5conventionally used by licensees in reports on financial statements new text begin or on an attest service new text end . 64.6In this regard, the board shall issue by rule safe harbor language that nonlicensees may 64.7use in connection with such financial information. A person or firm that does not hold a 64.8valid certificate or permit, or a registration issued under section 326A.04, 326A.05, or 64.9326A.06, paragraph (b) , or has not otherwise complied with section 326A.04 or 326A.05 64.10as required in this chapter shall not assume or use any title or designation that includes the 64.11word "accountant" or "accounting" in connection with any other language, including the 64.12language of a report, that implies that the person or firm holds such a certificate, permit, 64.13or registration or has special competence as an accountant. A person or firm that does 64.14not hold a valid certificate or permit issued under section 326A.04 or 326A.05 or has not 64.15otherwise complied with section 326A.04 or 326A.05 as required in this chapter shall not 64.16assume or use any title or designation that includes the word "auditor" in connection with 64.17any other language, including the language of a report, that implies that the person or firm 64.18holds such a certificate or permit or has special competence as an auditor. However, 64.19this paragraph does not prohibit any officer, partner, member, manager, or employee of 64.20any firm or organization from affixing that person's own signature to any statement in 64.21reference to the financial affairs of such firm or organization with any wording designating 64.22the position, title, or office that the person holds, nor prohibit any act of a public official or 64.23employee in the performance of the person's duties as such. 64.24(h)(1) No person holding a certificate or registration or firm holding a permit under 64.25this chapter shall use a professional or firm name or designation that is misleading about 64.26the legal form of the firm, or about the persons who are partners, officers, members, 64.27managers, or shareholders of the firm, or about any other matter. However, names of one 64.28or more former partners, members, managers, or shareholders may be included in the 64.29name of a firm or its successor. 64.30(2) A common brand name or network name part, including common initials, used 64.31by a CPA firm in its name, is not misleading if the firm is a network firm as defined in 64.32the American Institute of Certified Public Accountants (AICPA) Code of Professional 64.33Conduct in effect July 1, 2011, and when offering or rendering services that require 64.34independence under AICPA standards, the firm must comply with the AICPA code's 64.35applicable standards on independence. 65.1(i) Paragraphs (a) to (h) do not apply to a person or firm holding a certification, 65.2designation, degree, or license granted in a foreign country entitling the holder to engage 65.3in the practice of public accountancy or its equivalent in that country, if: 65.4(1) the activities of the person or firm in this state are limited to the provision of 65.5professional services to persons or firms who are residents of, governments of, or business 65.6entities of the country in which the person holds the entitlement; 65.7(2) the person or firm performs no attest or compilation services and issues no 65.8reports with respect to the financial statements new text begin information new text end of any other persons, firms, or 65.9governmental units in this state; and 65.10(3) the person or firm does not use in this state any title or designation other than 65.11the one under which the person practices in the foreign country, followed by a translation 65.12of the title or designation into English, if it is in a different language, and by the name 65.13of the country. 65.14(j) No holder of a certificate issued under section 326A.04 may perform attest services 65.15through any business form that does not hold a valid permit issued under section 326A.05. 65.16(k) No individual licensee may issue a report in standard form upon a compilation 65.17of financial information through any form of business that does not hold a valid permit 65.18issued under section 326A.05, unless the report discloses the name of the business through 65.19which the individual is issuing the report, and the individual: 65.20(1) signs the compilation report identifying the individual as a certified public 65.21accountant; 65.22(2) meets the competency requirement provided in applicable standards; and 65.23(3) undergoes no less frequently than once every three years, a peer review 65.24conducted in a manner specified by the board in rule, and the review includes verification 65.25that the individual has met the competency requirements set out in professional standards 65.26for such services. 65.27(l) No person registered under section 326A.06, paragraph (b), may issue a report 65.28in standard form upon a compilation of financial information unless the board by rule 65.29permits the report and the person: 65.30(1) signs the compilation report identifying the individual as a registered accounting 65.31practitioner; 65.32(2) meets the competency requirements in board rule; and 65.33(3) undergoes no less frequently than once every three years a peer review conducted 65.34in a manner specified by the board in rule, and the review includes verification that the 65.35individual has met the competency requirements in board rule. 66.1(m) Nothing in this section prohibits a practicing attorney or firm of attorneys from 66.2preparing or presenting records or documents customarily prepared by an attorney or firm 66.3of attorneys in connection with the attorney's professional work in the practice of law. 66.4(n) The board shall adopt rules that place limitations on receipt by a licensee or a 66.5person who holds a registration under section 326A.06, paragraph (b), of: 66.6(1) contingent fees for professional services performed; and 66.7(2) commissions or referral fees for recommending or referring to a client any 66.8product or service. 66.9(o) Anything in this section to the contrary notwithstanding, it shall not be a violation 66.10of this section for a firm not holding a valid permit under section 326A.05 and not having 66.11an office in this state to provide its professional services in this state so long as it complies 66.12with the applicable requirements of section 326A.05, subdivision 1. 66.13    Sec. 70. Minnesota Statutes 2014, section 336A.09, subdivision 1, is amended to read: 66.14    Subdivision 1. Procedure. (a) Oral new text begin Online new text end and written inquiries regarding 66.15information provided by the filing of effective financing statements or lien notices may 66.16be made at any filing office new text begin submitted to the secretary of state new text end during regular business 66.17hours new text begin or, if submitted online, at any time new text end . 66.18(b) A filing office receiving an oral or written inquiry shall, upon request new text begin The new text end 66.19 new text begin secretary of state must, upon receiving an inquiry new text end , provide an oral or facsimile new text begin a prompt new text end 66.20response to the inquiry. 66.21(c) A filing office new text begin The secretary of state new text end shall maintain a record of inquiries made 66.22under this section including: 66.23(1) the date of the inquiry; 66.24(2) the name of the debtor inquired about; and 66.25(3) identification of the person making the request for inquiry. 66.26    Sec. 71. Minnesota Statutes 2014, section 349.16, subdivision 6a, is amended to read: 66.27    Subd. 6a. Monthly regulatory fee. An organization must pay a monthly regulatory 66.28fee of 0.1 new text begin 0.125 new text end percent of the organization's gross receipts from lawful gambling 66.29conducted each month. The fee must be reported and paid on a monthly basis in a format 66.30as determined by the commissioner of revenue, and remitted to the commissioner of 66.31revenue with the organization's monthly tax return. All monthly regulatory fees received 66.32by the commissioner of revenue under this subdivision must be deposited in the lawful 66.33gambling regulation account in the special revenue fund according to section 349.151. 67.1Failure to pay the monthly regulatory fees in a timely manner may result in disciplinary 67.2action by the board. 67.3 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2015. new text end 67.4    Sec. 72. Minnesota Statutes 2014, section 349.161, subdivision 4, is amended to read: 67.5    Subd. 4. Fees. (a) The annual fee for a distributor's license is $6,000 new text begin $7,000 new text end . 67.6(b) The annual fee for a distributor salesperson license is $100 new text begin $150 new text end . 67.7 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment new text end 67.8 new text begin and applies to distributor and distributor salesperson licenses with an effective date new text end 67.9 new text begin of July 1, 2015, or later. new text end 67.10    Sec. 73. Minnesota Statutes 2014, section 349.163, subdivision 2, is amended to read: 67.11    Subd. 2. License; fee. The annual fee for a manufacturer's license is $9,000 new text begin $10,000 new text end . 67.12 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment new text end 67.13 new text begin and applies to manufacturer licenses with an effective date of July 1, 2015, or later. new text end 67.14    Sec. 74. Minnesota Statutes 2014, section 349.163, subdivision 6, is amended to read: 67.15    Subd. 6. Samples of gambling equipment. (a) The board shall require each 67.16licensed manufacturer to submit to the board one or more samples of each item of 67.17gambling equipment manufactured for use or resale in this state. For purposes of this 67.18subdivision, a manufacturer is also required to submit the applicable version of any 67.19software necessary to operate electronic devices and related systems. 67.20(b) The board shall inspect and test all the equipment, including software and 67.21software upgrades, it deems necessary to determine the equipment's compliance with law 67.22and board rules. Samples required under this subdivision must be approved by the board 67.23before the equipment being sampled is shipped into or sold for use or resale in this state. 67.24The board shall impose a fee of $25 new text begin $30 new text end for each item of gambling equipment that the 67.25manufacturer submits for approval or for which the manufacturer requests approval. The 67.26board shall impose a fee of $100 new text begin $125 new text end for each sample of gambling equipment that it tests. 67.27(c) The board may require samples of gambling equipment to be tested by an 67.28independent testing laboratory prior to submission to the board for approval. All costs 67.29of testing by an independent testing laboratory must be borne by the manufacturer. An 67.30independent testing laboratory used by a manufacturer to test samples of gambling 67.31equipment must be approved by the board before the equipment is submitted to the 67.32laboratory for testing. 68.1(d) The board may request the assistance of the commissioner of public safety and 68.2the director of the State Lottery in performing the tests. 68.3 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment new text end 68.4 new text begin and applies to games submitted for approval on July 1, 2015, or later. new text end 68.5    Sec. 75. Minnesota Statutes 2014, section 349.166, subdivision 2, is amended to read: 68.6    Subd. 2. Exemptions. (a) Lawful gambling, with the exception of linked bingo 68.7games, may be conducted by an organization without a license and without complying 68.8with sections 349.168, subdivisions 1 and 2; 349.17, subdivision 4; 349.18, subdivision 1; 68.9and 349.19 if: 68.10(1) the organization conducts lawful gambling on five or fewer days in a calendar year; 68.11(2) the organization does not award more than $50,000 in prizes for lawful gambling 68.12in a calendar year; 68.13(3) the organization submits a board-prescribed application and pays a fee of $50 68.14 new text begin $100 new text end to the board for each gambling occasion, and receives an exempt permit number 68.15from the board. If the application is postmarked or received less than 30 days before the 68.16gambling occasion, the fee is $100 new text begin $150 new text end for that application. The application must include 68.17the date and location of the occasion, the types of lawful gambling to be conducted, and 68.18the prizes to be awarded; 68.19(4) the organization notifies the local government unit 30 days before the lawful 68.20gambling occasion, or 60 days for an occasion held in a city of the first class; 68.21(5) the organization purchases all gambling equipment and supplies from a licensed 68.22distributor; and 68.23(6) the organization reports to the board, on a single-page form prescribed by the 68.24board, within 30 days of each gambling occasion, the gross receipts, prizes, expenses, 68.25expenditures of net profits from the occasion, and the identification of the licensed 68.26distributor from whom all gambling equipment was purchased. 68.27(b) If the organization fails to file a timely report as required by paragraph (a), clause 68.28(6), the board shall not issue any authorization, license, or permit to the organization to 68.29conduct lawful gambling on an exempt, excluded, or licensed basis until the report has 68.30been filed and the organization may be subject to penalty as determined by the board. The 68.31board may refuse to issue any authorization, license, or permit if a report or application is 68.32determined to be incomplete or knowingly contains false or inaccurate information. 68.33(c) Merchandise prizes must be valued at their fair market value. 68.34(d) Organizations that qualify to conduct exempt raffles under paragraph (a), are 68.35exempt from section 349.173, paragraph (b), clause (2), if the raffle tickets are sold 69.1only in combination with an organization's membership or a ticket for an organization's 69.2membership dinner and are not included with any other raffle conducted under the exempt 69.3permit. 69.4(e) Unused pull-tab and tipboard deals must be returned to the distributor within 69.5seven working days after the end of the lawful gambling occasion. The distributor must 69.6accept and pay a refund for all returns of unopened and undamaged deals returned under 69.7this paragraph. 69.8(f) The organization must maintain all required records of exempt gambling activity 69.9for 3-1/2 years. 69.10 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment new text end 69.11 new text begin and applies to all permits with an effective date of July 1, 2015, or later. new text end 69.12    Sec. 76. new text begin [383B.83] LIMITS ON RAILROAD CONDEMNATION POWERS new text end 69.13 new text begin OVER CERTAIN GOVERNMENTAL PROPERTY INTERESTS. new text end 69.14 new text begin Notwithstanding anything to the contrary in chapter 117, sections 222.26, 222.27, new text end 69.15 new text begin 222.36, or any other law, the powers of a railroad corporation or a railroad company new text end 69.16 new text begin or a railroad interest acting as a public service corporation or a common carrier do not new text end 69.17 new text begin include the power to exercise eminent domain over a property interest owned by Hennepin new text end 69.18 new text begin County, the Hennepin County Housing and Redevelopment Authority, or the Hennepin new text end 69.19 new text begin County Regional Railroad Authority if such governmental power, by resolution of its new text end 69.20 new text begin governing board, determines based on findings that the public safety or access of first new text end 69.21 new text begin responders would be detrimentally affected by the exercise. new text end 69.22 new text begin EFFECTIVE DATE. new text end new text begin This section is effective retroactively from March 2, 2015, new text end 69.23 new text begin and applies to any eminent domain action to acquire any property interest of any of the new text end 69.24 new text begin named entities. new text end 69.25    Sec. 77. Laws 2013, chapter 142, article 1, section 10, is amended to read: 69.26 69.27 Sec. 10. OFFICE OF ENTERPRISE TECHNOLOGY new text begin MN.IT SERVICES new text end $2,431,000$2,431,00069.28During the biennium ending June 30, 2015, 69.29the Office of Enterprise Technology new text begin MN.IT new text end 69.30 new text begin Services new text end must not charge fees to a public 69.31noncommercial educational television 69.32broadcast station eligible for funding under 69.33Minnesota Statutes, chapter 129D, for 70.1access to the state broadcast infrastructure. 70.2If the access fees not charged to public 70.3noncommercial educational television 70.4broadcast stations total more than $400,000 70.5for the biennium, the office may charge for 70.6access fees in excess of these amounts. 70.7The commissioner of Minnesota management 70.8and budget is authorized to provide cash 70.9flow assistance of up to $110,000,000 from 70.10the special revenue fund or other statutory 70.11general funds as defined in Minnesota 70.12Statutes, section 16A.671, subdivision 3, 70.13paragraph (a), to the Office of Enterprise 70.14Technology new text begin MN.IT Services new text end for the purpose 70.15of managing revenue and expenditure 70.16differences during the initial phases of IT 70.17consolidation. These funds shall be repaid 70.18with interest by June 30, 2015 new text begin the end of the new text end 70.19 new text begin fiscal year 2015 closing period new text end . 70.20 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 70.21    Sec. 78. Laws 2014, chapter 287, section 25, is amended to read: 70.22    Sec. 25. PARKING RAMP; REQUIRED USER FINANCING. 70.23 new text begin The amount equivalent to new text end debt service on the design and construction costs allocated 70.24to the parking garage to be located on the block bounded by Sherburne Avenue on the north, 70.25Park Street on the west, University Avenue on the south, and North Capitol Boulevard on 70.26the east must be user-financed from new text begin must be transferred from new text end parking fees collected and 70.27deposited into the state parking account and credited to the debt service account for the 70.28Legislative Office Facility. new text begin to the general fund to offset any direct appropriations made to new text end 70.29 new text begin the senate for debt service payments for the legislative parking garage. new text end 70.30    Sec. 79. new text begin CAPITOL ROOM NUMBERS. new text end 70.31 new text begin After the Capitol renovation has been completed, the commissioner of administration new text end 70.32 new text begin must use the same room numbers on signage to identify legacy rooms that were used to new text end 70.33 new text begin identify the rooms before the Capitol renovation. For purposes of this section, "Capitol new text end 71.1 new text begin renovation" means the construction project for which funds were appropriated in Laws new text end 71.2 new text begin 2013, chapter 136, section 3; "legacy rooms" means any room in the Capitol after Capitol new text end 71.3 new text begin renovation that has dimensions and a location that are substantially similar to a room new text end 71.4 new text begin within the Capitol that existed before renovation; and "signage" means any posting on any new text end 71.5 new text begin surface in the Capitol building. new text end 71.6    Sec. 80. new text begin IN-LIEU OF RENT EVALUATION. new text end 71.7 new text begin (a) The commissioner of administration must evaluate and provide recommendations new text end 71.8 new text begin regarding the base appropriation to the Department of Administration for an in-lieu of rent new text end 71.9 new text begin payment for space costs of the legislature and veterans organizations, vending operators, new text end 71.10 new text begin ceremonial space, and statutorily free space in the Capitol building and in other buildings new text end 71.11 new text begin on the Capitol grounds under the custodial control of the Department of Administration. new text end 71.12 new text begin (b) By January 15, 2017, the commissioner must report to the chairs and new text end 71.13 new text begin ranking minority members of the committees and divisions in the senate and the new text end 71.14 new text begin house of representatives with jurisdiction over the appropriation to the Department of new text end 71.15 new text begin Administration for the in-lieu of rent payment. The report must: new text end 71.16 new text begin (1) identify the amount and quality of space that will be occupied by the senate, the new text end 71.17 new text begin house of representatives, and veterans organizations, ceremonial space, and statutorily free new text end 71.18 new text begin space, in fiscal years 2018 and 2019, including a comparison to the amount and quality of new text end 71.19 new text begin space occupied by the same tenants in fiscal year 2013; new text end 71.20 new text begin (2) evaluate and justify the expense components included and assumptions made in new text end 71.21 new text begin determining lease rates and make comparisons to market rates; and new text end 71.22 new text begin (3) evaluate whether the base funding for fiscal years 2018 and 2019 for the in-lieu new text end 71.23 new text begin of rent appropriation is justified, and if not, recommend an increase or decrease. new text end 71.24 new text begin (c) In conducting the evaluation and preparing the report, the commissioner must new text end 71.25 new text begin consult with the secretary of the senate, the chief clerk of the house of representatives, the new text end 71.26 new text begin commissioner of employment and economic development on behalf of the services for the new text end 71.27 new text begin blind, and the commissioner of veterans affairs on behalf of veterans organizations that use new text end 71.28 new text begin space for which the Department of Administration receives an in-lieu of rent appropriation. new text end 71.29    Sec. 81. new text begin RULEMAKING. new text end 71.30 new text begin (a) The Board of Cosmetologist Examiners shall adopt rules governing the licensure, new text end 71.31 new text begin operation, and inspection of mobile salons, including facility requirements; safety and new text end 71.32 new text begin infection control requirements; a process for a salon licensee to notify the board of the new text end 71.33 new text begin mobile salon's location and times of operation; requirements for supplying and disposing new text end 71.34 new text begin of water and waste products; and the scope of personal services to be provided in mobile new text end 72.1 new text begin salons. The rules must prohibit mobile salons from violating reasonable municipal new text end 72.2 new text begin restrictions on time and place of operation of a mobile salon within its jurisdiction, new text end 72.3 new text begin and shall establish penalties, up to and including revocation of a license, for repeated new text end 72.4 new text begin violations of municipal laws. new text end 72.5 new text begin (b) The Board of Cosmetologist Examiners shall adopt rules governing the advanced new text end 72.6 new text begin practice esthetician license, including the educational and training requirements, scope of new text end 72.7 new text begin practice, and the conditions and process of issuing and renewing the license. new text end 72.8 new text begin EFFECTIVE DATE. new text end new text begin Paragraph (a) of this section is effective the day following new text end 72.9 new text begin final enactment. Paragraph (b) of this section is effective January 1, 2016, and expires new text end 72.10 new text begin January 1, 2019. new text end 72.11    Sec. 82. new text begin POLITICAL CONTRIBUTION CREDIT. new text end 72.12 new text begin Notwithstanding the provisions of Minnesota Statutes, section 290.06, subdivision new text end 72.13 new text begin 23, or any other law to the contrary, the political contribution refund does not apply to new text end 72.14 new text begin contributions made after June 30, 2015, and before July 1, 2017. new text end 72.15    Sec. 83. new text begin STATE AGENCY TECHNOLOGY PROJECTS. new text end 72.16 new text begin Any appropriation in this chapter for information technology project services and new text end 72.17 new text begin support is subject to Minnesota Statutes, section 16E.0466. If an agency needs ongoing new text end 72.18 new text begin information technology services as a result of the services and support paid for with an new text end 72.19 new text begin appropriation in this chapter, the agency must enter into an agreement with the Office of new text end 72.20 new text begin MN.IT Services to provide those services. The agreement must require the agency to pay new text end 72.21 new text begin the Office of MN.IT Services under rates and mechanisms specified in the agreement. new text end 72.22    Sec. 84. new text begin EXAMINATION OF COUNTY RECORDS; REPORT. new text end 72.23 new text begin Consistent with the authority granted under Minnesota Statutes, section 3.971, new text end 72.24 new text begin the Office of the Legislative Auditor shall report on the efficiency of the examinations new text end 72.25 new text begin conducted by the state auditor under Minnesota Statutes, section 6.48. The report must be new text end 72.26 new text begin forwarded to the house of representatives and senate chairs of legislative committees with new text end 72.27 new text begin jurisdiction over state government finance by January 15, 2016. new text end 72.28    Sec. 85. new text begin REPORT ON AGENCY CHIEF INFORMATION OFFICERS. new text end 72.29 new text begin The chief information officer of MN.IT must report to the legislature by January 15, new text end 72.30 new text begin 2016, on reduction in the number of chief information officers (CIOs) in state agencies. new text end 72.31 new text begin The report must include the number of CIOs on July 1, 2015, the number on January new text end 72.32 new text begin 15, 2016, and plans to reduce that number. new text end 73.1    Sec. 86. new text begin TRANSITION. new text end 73.2 new text begin (a) Members of an ethnic council specified in new Minnesota Statutes, section new text end 73.3 new text begin 15.0145, on July 1, 2015, continue to serve on the council until the end of their current new text end 73.4 new text begin term. However, if a member of a council has served eight years or more on the council new text end 73.5 new text begin at any time before December 31, 2015, the term of that member expires December 31, new text end 73.6 new text begin 2015. If a council has more members on July 1, 2015, than is provided for by Minnesota new text end 73.7 new text begin Statutes, section 15.0145, positions on the council shall not be filled until the expiration of new text end 73.8 new text begin a term results in fewer members on the council than provided for in Minnesota Statutes, new text end 73.9 new text begin section 15.0145. Membership qualifications newly specified in Minnesota Statutes, section new text end 73.10 new text begin 15.0145, must be complied with as soon as possible when terms of current members expire. new text end 73.11 new text begin (b) The Legislative Coordinating Commission must appoint an executive director new text end 73.12 new text begin for each council no later than November 15, 2015. The authority of the Legislative new text end 73.13 new text begin Coordinating Commission to recruit and select persons to serve as executive directors new text end 73.14 new text begin is effective the day following final enactment. An incumbent executive director of a new text end 73.15 new text begin council may apply to be appointed by the Legislative Coordinating Commission but, if new text end 73.16 new text begin not selected, the employment of the incumbent ends when the Legislative Coordinating new text end 73.17 new text begin Commission appoints a new executive director, or on another date determined by the new text end 73.18 new text begin Legislative Coordinating Commission. Other council staff are transferred to employment new text end 73.19 new text begin with the reformulated councils specified in Minnesota Statutes, section 15.0145. new text end 73.20 new text begin (c) Minnesota Statutes, section 15.039, subdivisions 1 to 6, apply to the ethnic new text end 73.21 new text begin councils that are reformulated in this act. new text end 73.22    Sec. 87. new text begin REVISOR'S INSTRUCTION. new text end 73.23     new text begin Subdivision 1. new text end new text begin Cosmetology. new text end new text begin The revisor of statutes shall change the word new text end 73.24 new text begin "sanitation" to "infection control" and the word "lapsed" to "expired" wherever they new text end 73.25 new text begin appear in Minnesota Statutes, chapter 155A, or Minnesota Rules, chapter 2105 or 2110. new text end 73.26     new text begin Subd. 2. new text end new text begin County audits. new text end new text begin In the next and subsequent edition of Minnesota Statutes, new text end 73.27 new text begin the Revisor of Statutes shall substitute a reference to section 6.481 for each reference new text end 73.28 new text begin to section 6.48. new text end 73.29     new text begin Subd. 3. new text end new text begin Ethnic councils. new text end new text begin (a) In the next and subsequent editions of Minnesota new text end 73.30 new text begin Statutes, the revisor of statutes shall substitute the names of councils as follows in each new text end 73.31 new text begin place where the names occur: new text end 73.32 new text begin (1) Council for Minnesotans of African Heritage, in place of Council on Black new text end 73.33 new text begin Minnesotans; and new text end 73.34 new text begin (2) Minnesota Council on Latino Affairs, in place of Council on Affairs of new text end 73.35 new text begin Chicano/Latino People. new text end 74.1 new text begin (b) The revisor of statutes shall change cross-references to sections 3.9223, 3.9225, new text end 74.2 new text begin and 3.9226, with Minnesota Statutes, section 15.0145, and make changes necessary to new text end 74.3 new text begin correct punctuation, grammar, or sentence structure. new text end 74.4 new text begin EFFECTIVE DATE. new text end new text begin Subdivision 2 is effective August 1, 2016. new text end 74.5    Sec. 88. new text begin REPEALER. new text end 74.6 new text begin (a) new text end new text begin Minnesota Statutes 2014, sections 3.9223; 3.9225; and 3.9226, subdivisions 1, new text end 74.7 new text begin 2, 3, 4, 5, 6, and 7, new text end new text begin are repealed. new text end 74.8 new text begin (b) new text end new text begin Minnesota Statutes 2014, sections 6.48; and 375.23, new text end new text begin are repealed. new text end 74.9 new text begin (c) new text end new text begin Minnesota Statutes 2014, section 155A.23, subdivision 6, new text end new text begin is repealed. new text end 74.10ARTICLE 3 74.11MILITARY AND VETERANS AFFAIRS 74.12    Section 1. Minnesota Statutes 2014, section 190.19, subdivision 2a, is amended to read: 74.13    Subd. 2a. Uses; veterans. new text begin (a) new text end Money appropriated to the Department of Veterans 74.14Affairs from the Minnesota "Support Our Troops" account may be used for: 74.15    (1) grants to veterans service organizations; 74.16    (2) outreach to underserved veterans; 74.17(3) providing services and programs for veterans and their families; and 74.18(4) transfers to the vehicle services account for Gold Star license plates under 74.19section 168.1253. new text begin ; new text end 74.20 new text begin (5) grants of up to $100,000 to any organization approved by the commissioner of new text end 74.21 new text begin veterans affairs for the purpose of supporting and improving the lives of veterans and new text end 74.22 new text begin their families; and new text end 74.23 new text begin (6) grants to an eligible foundation. new text end 74.24 new text begin (b) For purposes of this subdivision, "eligible foundation" includes any organization new text end 74.25 new text begin that: new text end 74.26 new text begin (1) is a tax-exempt organization under section 501(c) of the Internal Revenue new text end 74.27 new text begin Code; and new text end 74.28 new text begin (2) is a nonprofit corporation under chapter 317A and the organization's articles of new text end 74.29 new text begin incorporation specify that a purpose of the organization includes (i) providing assistance new text end 74.30 new text begin to veterans and their families or (ii) enhancing the lives of veterans and their families. new text end 74.31    Sec. 2. Minnesota Statutes 2014, section 190.19, subdivision 3, is amended to read: 74.32    Subd. 3. Annual report. The adjutant general new text begin and commissioner of veterans affairs new text end 74.33must report by February 1, 2007, and each year thereafter, to the chairs and ranking minority 75.1members of the legislative committees and divisions with jurisdiction over military and 75.2veterans' affairs on the number, amounts, and use of grants made by the adjutant general 75.3 new text begin each agency new text end from the Minnesota "Support Our Troops" account in the previous year. 75.4    Sec. 3. Minnesota Statutes 2014, section 192.38, subdivision 1, is amended to read: 75.5    Subdivision 1. Temporary emergency relief. If any officer or enlisted member 75.6of the military forces is wounded or otherwise disabled, dies from disease contracted or 75.7injuries received, or is killed while in state active service as defined in section 190.05, 75.8subdivision 5a , the officer or member, or in the case of death the officer's or member's 75.9dependent spouse, child, or parent, may be provided with immediate temporary relief as 75.10necessary in cases of severe hardship, in an amount to be determined by the adjutant general 75.11and approved by the governor new text begin or a death gratuity payment equal to the amount allowed for new text end 75.12 new text begin service members in a federal active service status new text end . All payments under this subdivision 75.13shall be made from appropriations for the maintenance of the state military forces 75.14 new text begin emergency services new text end . The adjutant general shall notify the Department of Management and 75.15Budget of any payments made pursuant to this subdivision and the amount of it shall be 75.16subtracted from any award made by the Department of Management and Budget. 75.17    Sec. 4. Minnesota Statutes 2014, section 192.501, is amended by adding a subdivision 75.18to read: 75.19     new text begin Subd. 1d. new text end new text begin Reclassification bonus program. new text end new text begin (a) The adjutant general must establish new text end 75.20 new text begin a program to provide a bonus to eligible members of the Minnesota National Guard who new text end 75.21 new text begin complete training that results in the award of a new military occupational specialty or new text end 75.22 new text begin Air Force specialty code in specialties that are identified by the adjutant general to be new text end 75.23 new text begin necessary for the enhanced readiness of the Minnesota National Guard. new text end 75.24 new text begin (b) Eligibility for the bonus is limited to a member of the National Guard who: new text end 75.25 new text begin (1) is serving satisfactorily as determined by the adjutant general; new text end 75.26 new text begin (2) has 16 or fewer years of services creditable for retirement; and new text end 75.27 new text begin (3) undergoes military training deemed by the adjutant general as sufficiently new text end 75.28 new text begin important to the readiness of the National Guard or a unit of the National Guard to warrant new text end 75.29 new text begin the payment of a bonus in an amount to generally encourage the member's participation new text end 75.30 new text begin in the training. new text end 75.31 new text begin The adjutant general may, within the limitations of this paragraph and other applicable new text end 75.32 new text begin laws, determine additional eligibility criteria for the bonus, and must specify all of the new text end 75.33 new text begin criteria in regulations and publish changes as necessary. new text end 76.1 new text begin (c) The bonus payments must be made on a schedule that is determined and new text end 76.2 new text begin published in department regulations by the adjutant general. new text end 76.3 new text begin (d) If a member fails to complete a term of reenlistment or an obligated term of new text end 76.4 new text begin commissioned service for which a bonus was paid, the adjutant general may seek to new text end 76.5 new text begin recoup a prorated amount of the bonus as determined by the adjutant general. new text end 76.6    Sec. 5. Minnesota Statutes 2014, section 197.133, is amended to read: 76.7197.133 DISPOSAL OF PROPERTY AND EXPIRATION OF BOARD OF 76.8GOVERNORS. 76.9 new text begin (a) new text end If a majority of the board determines that the disposal of the new text begin Big Island Veterans new text end 76.10camp or a portion of the camp is in the best interests of Minnesota veterans, or if the camp 76.11is not used solely as a camp for and by disabled and other veterans and their families and 76.12operated and maintained in compliance with all state, federal, and local laws, the board 76.13may dispose of the property at market value as provided in this section. Before disposing 76.14of the property, the board shall give notice by certified mail to the commissioner of 76.15veterans affairs of its decision to dispose of the property. The commissioner shall publish 76.16the notice in the State Register. Interested governmental agencies have until the end of the 76.17next legislative session after the notice to appropriate money to purchase the property. 76.18 new text begin (b) new text end Proceeds realized from the disposal of the property and any assets on hand at 76.19the time of the disposal of the property, must be placed in an irrevocable trust to be used 76.20for the initiation or maintenance of veterans programs in the state of Minnesota. Trustees 76.21must be appointed in the same manner as provided for under new text begin Minnesota Statutes 2014, new text end 76.22section 197.131. The trustees shall consult with the commissioner of veterans affairs to 76.23determine the needs of Minnesota veterans and provide the commissioner with an annual 76.24written report on the trust. The commissioner must approve all expenditures from the 76.25trust. A certified audit of all assets, expenditures, and property must be conducted prior 76.26to any disposition of any assets under the control of the board. Any board member who 76.27would benefit directly or indirectly financially from the sale of this property must be 76.28removed by the board and a successor appointed as provided by new text begin Minnesota Statutes 2014, new text end 76.29section 197.131. Upon final disposition of all assets to the trust, the board must disband. 76.30Should the assets of the trust be exhausted, the trust must be terminated. 76.31 new text begin (c) The trustees appointed under paragraph (b) shall have the exclusive authority new text end 76.32 new text begin to remove a trustee of the trust established under paragraph (b). A trustee may be new text end 76.33 new text begin removed at any time without cause upon a majority vote of the trustees with consent new text end 76.34 new text begin of the commissioner of veterans affairs. new text end 77.1 new text begin (d) A vacancy in a trusteeship of the trust established under paragraph (b) must new text end 77.2 new text begin be filled for the remainder of the unexpired term in the same manner as the original new text end 77.3 new text begin appointment. new text end 77.4    Sec. 6. Minnesota Statutes 2014, section 197.46, is amended to read: 77.5197.46 VETERANS PREFERENCE ACT; REMOVAL FORBIDDEN; RIGHT 77.6OF MANDAMUS. 77.7 new text begin (a) new text end Any person whose rights may be in any way prejudiced contrary to any of the 77.8provisions of this section, shall be entitled to a writ of mandamus to remedy the wrong. 77.9No person holding a position by appointment or employment in the several counties, 77.10cities, towns, school districts and all other political subdivisions in the state, who is a 77.11veteran separated from the military service under honorable conditions, shall be removed 77.12from such position or employment except for incompetency or misconduct shown after a 77.13hearing, upon due notice, upon stated charges, in writing. 77.14 new text begin (b) new text end Any veteran who has been notified of the intent to discharge the veteran from an 77.15appointed position or employment pursuant to this section shall be notified in writing of 77.16such intent to discharge and of the veteran's right to request a hearing within 60 days of 77.17receipt of the notice of intent to discharge. The failure of a veteran to request a hearing 77.18within the provided 60-day period shall constitute a waiver of the right to a hearing. Such 77.19failure shall also waive all other available legal remedies for reinstatement. 77.20Request for a hearing concerning such a discharge shall be made in writing and 77.21submitted by mail or personal service to the employment office of the concerned employer 77.22or other appropriate office or person. new text begin If the veteran requests a hearing under this section, new text end 77.23 new text begin such written request must also contain the veteran's election to be heard by a civil service new text end 77.24 new text begin board or commission, a merit authority, or a three-person panel as defined in paragraph new text end 77.25 new text begin (c). If the veteran fails to identify the veteran's election, the governmental subdivision new text end 77.26 new text begin may select the hearing body. new text end 77.27 new text begin (c) new text end In all governmental subdivisions having an established civil service board or 77.28commission, or merit system authority, such hearing for removal or discharge shall be 77.29held before such civil service board or commission or merit system authority. Where no 77.30such civil service board or commission or merit system authority exists, such hearing 77.31shall be held by a board of three persons appointed as follows: one by the governmental 77.32subdivision, one by the veteran, and the third by the two so selected. In the event that 77.33the hearing is authorized to be held before a three-person board, the governmental 77.34subdivision's notice of intent to discharge shall state that the veteran must respond within 77.3560 days of receipt of the notice of intent to discharge, and provide in writing to the 78.1governmental subdivision the name, United States mailing address, and telephone number 78.2of the veteran's selected representative for the three-person board. The failure of a veteran 78.3to submit the name, address, and telephone number of the veteran's selected representative 78.4to the governmental subdivision by mail or by personal service within the provided 78.5notice's 60-day period, shall constitute a waiver of the veteran's right to the hearing and all 78.6other legal remedies available for reinstatement of the veteran's employment position. In 78.7the event the two persons selected by the veteran and governmental subdivision do not 78.8appoint the third person within ten days after the appointment of the last of the two, 78.9then the judge of the district court of the county wherein the proceeding is pending, or 78.10if there be more than one judge in said county then any judge in chambers, shall have 78.11jurisdiction to appoint, and upon application of either or both of the two so selected shall 78.12appoint, the third person to the board and the person so appointed by the judge with the 78.13two first selected shall constitute the board. 78.14 new text begin (d) new text end Either the veteran or the governmental subdivision may appeal from the decision 78.15of the board upon the charges to the district court by causing written notice of appeal, 78.16stating the grounds thereof, to be served upon the other party within 15 days after notice of 78.17the decision and by filing the original notice of appeal with proof of service thereof in the 78.18office of the court administrator of the district court within ten days after service thereof. 78.19Nothing in section 197.455 or this section shall be construed to apply to the position of 78.20private secretary, superintendent of schools, or one chief deputy of any elected official 78.21or head of a department, or to any person holding a strictly confidential relation to the 78.22appointing officer. Nothing in this section shall be construed to apply to the position of 78.23teacher. The burden of establishing such relationship shall be upon the appointing officer 78.24in all proceedings and actions relating thereto. 78.25 new text begin (e) For disputes heard by a civil service board, the political subdivisions shall new text end 78.26 new text begin bear all costs associated with the hearing but not including attorney fees for attorneys new text end 78.27 new text begin representing the veteran. For disputes heard by a three-person panel, all parties shall bear new text end 78.28 new text begin equally all costs associated with the hearing, but not including attorney fees for attorneys new text end 78.29 new text begin representing the veteran. If the veteran prevails in a dispute heard by a civil service board new text end 78.30 new text begin or a three-person panel and the hearing reverses all aspects of discharge, the governmental new text end 78.31 new text begin subdivision shall pay the veteran's reasonable attorney fees. new text end 78.32 new text begin (f) new text end All officers, boards, commissions, and employees shall conform to, comply with, 78.33and aid in all proper ways in carrying into effect the provisions of section 197.455 and this 78.34section notwithstanding any laws, charter provisions, ordinances or rules to the contrary. 78.35Any willful violation of such sections by officers, officials, or employees is a misdemeanor. 79.1 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment new text end 79.2 new text begin and applies to all notices of intent to discharge issued on or after that date. new text end 79.3    Sec. 7. new text begin [197.987] HONOR AND REMEMBER FLAG. new text end 79.4     new text begin Subdivision 1. new text end new text begin Legislative findings. new text end new text begin The legislature of the state of Minnesota finds new text end 79.5 new text begin and determines that: new text end 79.6 new text begin (1) since the Revolutionary War, more than 1,000,000 members of the United States new text end 79.7 new text begin armed forces have paid the ultimate price by sacrificing their lives in active military new text end 79.8 new text begin service for the United States of America; new text end 79.9 new text begin (2) the contribution made by those fallen members of the armed forces is deserving new text end 79.10 new text begin of state and national recognition; and new text end 79.11 new text begin (3) the Honor and Remember Flag is an appropriate symbol that acknowledges the new text end 79.12 new text begin selfless sacrifice of those members of the United States armed forces. new text end 79.13     new text begin Subd. 2. new text end new text begin Designation. new text end new text begin The Honor and Remember Flag described in subdivision new text end 79.14 new text begin 3 is designated as the symbol of our state's concern and commitment to honoring and new text end 79.15 new text begin remembering the lives of all members of the United States armed forces who have lost new text end 79.16 new text begin their lives in the line of duty while serving honorably in active military service in the new text end 79.17 new text begin United States armed forces or of a service-connected cause due to or aggravated by that new text end 79.18 new text begin service, as determined by the United States Department of Defense or the United States new text end 79.19 new text begin Department of Veterans Affairs. This designation is contingent on the flag being available new text end 79.20 new text begin for purchase at a reasonable price. new text end 79.21     new text begin Subd. 3. new text end new text begin Description. new text end new text begin The Honor and Remember Flag shall conform substantially new text end 79.22 new text begin to the following description: The Honor and Remember Flag is the same standard new text end 79.23 new text begin proportions as the flag of the United States of America. Its design contains a red field that new text end 79.24 new text begin occupies the top three-quarters and a white field that occupies the bottom quarter of the new text end 79.25 new text begin flag. In the center of the red field is a five-pointed, gold star with the top point located new text end 79.26 new text begin near the top of the red field and the two bottom points extending about one-quarter of the new text end 79.27 new text begin way into the white field. The gold star has a white border surrounded by a blue border. new text end 79.28 new text begin Between the two bottom points of the star is a tri-folded American flag displaying the blue new text end 79.29 new text begin field and some stars, which is the configuration of the American flag presented to the new text end 79.30 new text begin family of the deceased at a military memorial service. At the top of the tri-folded flag, new text end 79.31 new text begin extending into the center of the gold star, is a stylized, three-part flame, with one blue part new text end 79.32 new text begin and two red parts. In the white field below the tri-folded flag, the words "Honor and new text end 79.33 new text begin Remember" are centered. The Honor and Remember Flag is protected by U. S. copyright, new text end 79.34 new text begin registration number VA0001670661, owned by Honor and Remember, Inc. new text end 80.1     new text begin Subd. 4. new text end new text begin Suggested days for flag display. new text end new text begin (a) The chief administrator of each new text end 80.2 new text begin governmental building or facility within this state, as defined in paragraph (b), is new text end 80.3 new text begin encouraged to display the Honor and Remember Flag on the following days each year: new text end 80.4 new text begin (1) Armed Forces Day, the third Saturday in May; new text end 80.5 new text begin (2) Flag Day, June 14; new text end 80.6 new text begin (3) July 2nd and July 3rd, in remembrance of the 262 soldiers of the 1st Regiment new text end 80.7 new text begin Minnesota Volunteer Infantry who, at the Battle of Gettysburg during the American Civil new text end 80.8 new text begin War, fought so gallantly and successfully to repulse two major Confederate attacks on the new text end 80.9 new text begin main Union line, suffering over 80 percent casualties, thereby turning the battle and the new text end 80.10 new text begin war and helping to preserve the Union itself at that pivotal moment in our nation's history; new text end 80.11 new text begin (4) July 4th, Independence Day; new text end 80.12 new text begin (5) the third Friday of September, National POW/MIA Recognition Day; new text end 80.13 new text begin (6) November 11, Veterans Day; new text end 80.14 new text begin (7) July 27, Korean War Armistice Day; new text end 80.15 new text begin (8) March 29, Vietnam Veterans Day; and new text end 80.16 new text begin (9) any day on which the United States flag is displayed at a governmental building new text end 80.17 new text begin or facility within this state. new text end 80.18 new text begin (b) For purposes of this section, "governmental building or facility within this state" new text end 80.19 new text begin means the following locations: new text end 80.20 new text begin (1) the Minnesota State Capitol, the Office of the Governor and each other Minnesota new text end 80.21 new text begin constitutional office, the chambers of the Minnesota Senate and the Minnesota House of new text end 80.22 new text begin Representatives, the Minnesota Judicial Center and each Minnesota District Court House, new text end 80.23 new text begin any official state of Minnesota veterans memorial, Minnesota veterans home, Minnesota new text end 80.24 new text begin veterans cemetery, state veterans service centers, and state veterans community-based new text end 80.25 new text begin outreach centers; and new text end 80.26 new text begin (2) any appropriate local government building or facility, as determined by the new text end 80.27 new text begin governing body of that local government. new text end 80.28     new text begin Subd. 5. new text end new text begin Limitation. new text end new text begin This section may not be construed or interpreted to require new text end 80.29 new text begin any employee to report to work solely for the purpose of providing for the display of the new text end 80.30 new text begin Honor and Remember Flag or any other flag. new text end 80.31     new text begin Subd. 6. new text end new text begin Implementation. new text end new text begin If a governmental building or facility within this state new text end 80.32 new text begin opts to display the Honor and Remember Flag, the chief administrator of that facility shall new text end 80.33 new text begin prescribe procedures necessary for the display. new text end 80.34     new text begin Subd. 7. new text end new text begin Flag donation. new text end new text begin Notwithstanding sections 10A.071 and 471.895, any new text end 80.35 new text begin named public office or public official may accept a donation of one or more Honor and new text end 80.36 new text begin Remember Flags for the purpose of this section. new text end 81.1 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 81.2    Sec. 8. Minnesota Statutes 2014, section 198.01, is amended to read: 81.3198.01 VETERANS HOME; ELIGIBILITY OF VETERANS. 81.4The Minnesota veterans homes shall provide nursing care and related health 81.5and social services for veterans and their spouses who meet eligibility and admission 81.6requirements of the Minnesota veterans homes. new text begin The commissioner may not close a new text end 81.7 new text begin veterans home unless closure of the home is specifically authorized or required by a law new text end 81.8 new text begin enacted after July 1, 2015. new text end The word "veteran" as used in this section has the meaning 81.9provided in section 197.447. 81.10    Sec. 9. new text begin REPEALER. new text end 81.11 new text begin Minnesota Statutes 2014, sections 197.131; and 197.132, new text end new text begin are repealed. new text end 81.12ARTICLE 4 81.13PARI-MUTUEL HORSE RACING 81.14    Section 1. Minnesota Statutes 2014, section 240.01, subdivision 22, is amended to read: 81.15    Subd. 22. Racing season. "Racing season" means that portion of the calendar 81.16year starting at the beginning of the day of the first live horse race conducted by the 81.17licensee and concluding at the end of the day of the last live horse race conducted by 81.18the licensee in any year. 81.19For purposes of this chapter, the racing season begins before the first Saturday in 81.20May and continues for not less than 25 consecutive weeks. 81.21 new text begin EFFECTIVE DATE. new text end new text begin This section is effective January 1, 2016. new text end 81.22    Sec. 2. Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision 81.23to read: 81.24     new text begin Subd. 28. new text end new text begin Takeout. new text end new text begin "Takeout" means the total amount of money, excluding new text end 81.25 new text begin breakage, withheld from each pari-mutuel pool, as authorized by statute or rule. new text end 81.26    Sec. 3. Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision 81.27to read: 81.28     new text begin Subd. 29. new text end new text begin Handle new text end new text begin "Handle" means the aggregate of all pari-mutuel pools, excluding new text end 81.29 new text begin refundable wagers or cancellations. new text end 82.1    Sec. 4. Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision 82.2to read: 82.3     new text begin Subd. 30. new text end new text begin Mixed meet. new text end new text begin "Mixed meet" means a racing day or series of racing days new text end 82.4 new text begin on which the racing of more than one breed of horse occurs. new text end 82.5    Sec. 5. Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision 82.6to read: 82.7     new text begin Subd. 31. new text end new text begin Banked. new text end new text begin "Banked" means any game of chance that is played with the new text end 82.8 new text begin house as a participant in the game, where the house takes on all players, collects from all new text end 82.9 new text begin losers, and pays all winners, and the house can win. new text end 82.10    Sec. 6. Minnesota Statutes 2014, section 240.01, is amended by adding a subdivision 82.11to read: 82.12     new text begin Subd. 32. new text end new text begin Steward. new text end new text begin A "steward" means an official described in section 240.16. The new text end 82.13 new text begin term steward includes the terms "judge," "chief steward," and "presiding judge," and new text end 82.14 new text begin applies to stewards and judges of the commission or a class B licensee, but not to other new text end 82.15 new text begin racing officials, such as paddock or placement judges, who are employees or agents of new text end 82.16 new text begin a class B licensee. new text end 82.17    Sec. 7. Minnesota Statutes 2014, section 240.011, is amended to read: 82.18240.011 APPOINTMENT OF DIRECTOR. 82.19The governor shall appoint the director of the Minnesota Racing Commission, 82.20who serves in the unclassified service at the governor's pleasure. The director must be 82.21a person qualified by experience in the administration and regulation of pari-mutuel 82.22racing new text begin and training to possess the skills necessary new text end to discharge the duties of the director. 82.23The governor must select a director from a list of one or more names submitted by the 82.24Minnesota Racing Commission. 82.25    Sec. 8. Minnesota Statutes 2014, section 240.03, is amended to read: 82.26240.03 COMMISSION POWERS AND DUTIES. 82.27The commission has the following powers and duties: 82.28(1) to regulate horse racing in Minnesota to ensure that it is conducted in the public 82.29interest; 82.30(2) to issue licenses as provided in this chapter; 82.31(3) to enforce all laws and rules governing horse racing; 82.32(4) to collect and distribute all taxes provided for in this chapter; 83.1(5) to conduct necessary investigations and inquiries and new text begin to issue subpoenas to new text end 83.2compel new text begin the attendance of witnesses and new text end the submission of information, documents, and 83.3records new text begin , and other evidence new text end it deems necessary to carry out its duties; 83.4(6) to supervise the conduct of pari-mutuel betting on horse racing; 83.5(7) to employ and supervise personnel under this chapter; 83.6(8) to determine the number of racing days to be held in the state and at each 83.7licensed racetrack; 83.8(9) to take all necessary steps to ensure the integrity of racing in Minnesota; and 83.9(10) to impose fees on the racing and card playing industries sufficient to recover the 83.10operating costs of the commission with the approval of the legislature according to section 83.1116A.1283 . Notwithstanding section 16A.1283, when the legislature is not in session, the 83.12commissioner of management and budget may grant interim approval for any new fees 83.13or adjustments to existing fees that are not statutorily specified, until such time as the 83.14legislature reconvenes and acts upon the new fees or adjustments. As part of its biennial 83.15budget request, the commission must propose changes to its fees that will be sufficient to 83.16recover the operating costs of the commission. 83.17    Sec. 9. Minnesota Statutes 2014, section 240.08, subdivision 2, is amended to read: 83.18    Subd. 2. Application. new text begin (a) new text end An application for a class C license must be on a form 83.19the commission prescribes and must be accompanied by an affidavit of qualification 83.20that the applicant: 83.21(a) new text begin (1) new text end is not in default in the payment of an obligation or debt to the state under 83.22Laws 1983, chapter 214; 83.23(b) new text begin (2) new text end does not have a felony conviction of record in a state or federal court and 83.24does not have a state or federal felony charge pending; 83.25(c) new text begin (3) new text end is not and never has been connected with or engaged in an illegal business; 83.26(d) new text begin (4) new text end has never been found guilty of fraud or misrepresentation in connection 83.27with racing or breeding; 83.28(e) new text begin (5) new text end has never been found guilty of a violation of law or rule relating to horse 83.29racing, pari-mutuel betting or any other form of gambling which is a serious violation 83.30as defined by the commission's rules; and 83.31(f) new text begin (6) new text end has never new text begin been found to have new text end knowingly violated a rule or new text begin an new text end order of the 83.32commission or a law new text begin or rule new text end of Minnesota new text begin or another jurisdiction new text end relating to new text begin horse new text end racing new text begin , new text end 83.33 new text begin pari-mutuel betting, or any other form of gambling new text end . 83.34 new text begin (b) new text end The application must also contain an irrevocable consent statement, to be signed 83.35by the applicant, which states that suits and actions relating to the subject matter of the 84.1application or acts or omissions arising from it may be commenced against the applicant in 84.2any court of competent jurisdiction in this state by the service on the secretary of state of 84.3any summons, process, or pleading authorized by the laws of this state. If any summons, 84.4process, or pleading is served upon the secretary of state, it must be by duplicate copies. 84.5One copy must be retained in the Office of the Secretary of State and the other copy must 84.6be forwarded immediately by certified mail to the address of the applicant, as shown by 84.7the records of the commission. 84.8    Sec. 10. Minnesota Statutes 2014, section 240.08, subdivision 4, is amended to read: 84.9    Subd. 4. License issuance and renewal. If the commission determines that 84.10the applicant is qualified for the occupation for which licensing is sought and will 84.11not adversely affect the public health, welfare, and safety or the integrity of racing in 84.12Minnesota, it may issue a class C license to the applicant. If it makes a similar finding for 84.13a renewal of a class C license it may renew the license. Class C licenses are effective for 84.14one year. new text begin until December 31 of the calendar year for which they are issued. Certain types new text end 84.15 new text begin of class C licenses, to be determined by the commission, are effective until December 31 new text end 84.16 new text begin of the third calendar year for which they have been issued. new text end 84.17 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2015. new text end 84.18    Sec. 11. Minnesota Statutes 2014, section 240.08, subdivision 5, is amended to read: 84.19    Subd. 5. Revocation and suspension. new text begin (a) new text end The commission may revoke a class C 84.20license for a violation of law or rule which in the commission's opinion adversely affects 84.21the integrity of horse racing in Minnesota, new text begin the public health, welfare, or safety, new text end or for an 84.22intentional false statement made in a license application. 84.23The commission may suspend a class C license for up to one year for a violation of 84.24law, order or rule. 84.25The commission may delegate to its designated agents the authority to impose 84.26suspensions of class C licenses, and the new text begin revocation or new text end suspension new text begin of a class C license new text end may 84.27be appealed to the commission according to its rules. 84.28 new text begin (b) new text end A license revocation or suspension for more than 90 days is a contested case 84.29under sections 14.57 to 14.69 of the Administrative Procedure Act and is in addition to 84.30criminal penalties imposed for a violation of law or rule. The commission may summarily 84.31suspend a license for more than 90 days prior to a contested case hearing where it is 84.32necessary to ensure the integrity of racing new text begin or to protect the public health, welfare, or safety new text end . 84.33A contested case hearing must be held within 20 new text begin 30 new text end days of the summary suspension and 84.34the administrative law judge's report must be issued within 20 new text begin 30 new text end days from the close of 85.1the hearing record. In all cases involving summary suspension the commission must issue 85.2its final decision within 30 days from receipt of the report of the administrative law judge 85.3and subsequent exceptions and argument under section 14.61. 85.4    Sec. 12. Minnesota Statutes 2014, section 240.10, is amended to read: 85.5240.10 LICENSE FEES. 85.6The fee for a class A license is $253,000 per year and must be remitted on July 1. 85.7The fee for a class B license is $500 for each assigned racing day and $100 for each day 85.8on which simulcasting is authorized and must be remitted on July 1. Included herein are 85.9all days assigned to be conducted after January 1, 2003. The fee for a class D license is 85.10$50 for each assigned racing day on which racing is actually conducted. Fees imposed on 85.11class D licenses must be paid to the commission at a time and in a manner as provided by 85.12rule of the commission. 85.13The commission shall by rule establish an annual license fee for each occupation it 85.14licenses under section 240.08 but no annual fee for a class C license may exceed $100. 85.15 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2015. new text end 85.16    Sec. 13. Minnesota Statutes 2014, section 240.13, subdivision 5, is amended to read: 85.17    Subd. 5. Purses. (a) From the amounts deducted from all pari-mutuel pools by a 85.18licensee, an amount equal to not less than the following percentages of all money in all 85.19pools must be set aside by the licensee and used for purses for races conducted by the 85.20licensee, provided that a licensee may agree by contract with an organization representing 85.21a majority of the horsepersons racing the breed involved to set aside amounts in addition 85.22to the following percentages new text begin , if the contract is in writing and filed with the commission new text end : 85.23(1) for live races conducted at a class A facility, and for races that are part of full 85.24racing card simulcasting that takes place within the time period of the live races, 8.4 85.25percent new text begin of handle new text end ; 85.26(2) for simulcasts conducted during the racing season other than as provided for in 85.27clause (1), 50 percent of the takeout remaining after deduction for taxes on pari-mutuel 85.28pools, payment to the breeders fund, and payment to the sending out-of-state racetrack for 85.29receipt of the signal; and 85.30(3) new text begin (2) new text end for simulcasts conducted outside of the racing season, 25 new text begin any day a class A new text end 85.31 new text begin facility is licensed, not less than 37 new text end percent of the takeout remaining after deduction for the 85.32state pari-mutuel tax, payment to the breeders fund, new text begin and new text end payment to the sending out-of-state 85.33racetrack for receipt of the signal and, before January 1, 2005, a further deduction of 86.1eight percent of all money in all pools. In the event that wagering on simulcasts outside 86.2of the racing season exceeds $125 million in any calendar year, the amount set aside for 86.3purses by this formula is increased to 30 percent on amounts between $125,000,000 and 86.4$150,000,000 wagered; 40 percent on amounts between $150,000,000 and $175,000,000 86.5wagered; and 50 percent on amounts in excess of $175,000,000 wagered. In lieu of 86.6the eight percent deduction, A deduction as agreed to between the licensee and the 86.7horsepersons' organization representing the majority of horsepersons racing at the licensee's 86.8class A facility during the preceding 12 months, is allowed after December 31, 2004. 86.9The commission may by rule provide for the administration and enforcement of 86.10this subdivision. The deductions for payment to the sending out-of-state racetrack must 86.11be actual, except that when there exists any overlap of ownership, control, or interest 86.12between the sending out-of-state racetrack and the receiving licensee, the deduction 86.13must not be greater than three percent unless agreed to between the licensee and the 86.14horsepersons' organization representing the majority of horsepersons racing the breed 86.15racing the majority of races during the existing racing meeting or, if outside of the racing 86.16season, during the most recent racing meeting. 86.17In lieu of the amount the licensee must pay to the commission for deposit in the 86.18Minnesota breeders fund under section 240.15, subdivision 1, The licensee shall pay new text begin to the new text end 86.19 new text begin commission for deposit in the Minnesota breeders fund new text end 5-1/2 percent of the takeout from 86.20all pari-mutuel pools generated by wagering at the licensee's facility on full racing card 86.21simulcasts of races not conducted in this state. 86.22(b) From the money set aside for purses, the licensee shall pay to the horseperson's 86.23organization representing the majority of the horsepersons racing the breed involved 86.24and contracting with the licensee with respect to purses and the conduct of the racing 86.25meetings and providing representation new text begin to its members new text end , new text begin an amount as may be determined new text end 86.26 new text begin by agreement by the licensee and the horsepersons' organization sufficient to provide new text end 86.27benevolent programs, benefits, and services for horsepersons and their on-track employees, 86.28an amount, sufficient to perform these services, as may be determined by agreement by 86.29the licensee and the horseperson's organization. The amount paid may be deducted only 86.30from the money set aside for purses to be paid in races for the breed represented by the 86.31horseperson's organization. With respect to racing meetings where more than one breed 86.32is racing, the licensee may contract independently with the horseperson's organization 86.33representing each breed racing. 86.34(c) Notwithstanding sections 325D.49 to 325D.66, a horseperson's organization 86.35representing the majority of the horsepersons racing a breed at a meeting, and the members 86.36thereof, may agree to withhold horses during a meeting. 87.1(d) Money set aside for purses from wagering, during the racing season, on 87.2simulcasts must be used for purses for live races conducted at the licensee's class A facility 87.3during the same racing season, over and above the 8.4 percent purse requirement or any 87.4higher requirement to which the parties agree, for races conducted in this state. Money 87.5set aside for purses from wagering, outside of the racing season, on simulcasts must be 87.6for purses for live races conducted at the licensee's class A facility during the next racing 87.7season, over and above the 8.4 percent purse requirement or any higher requirement to 87.8which the parties agree, for races conducted in this state. 87.9(e) new text begin (d) new text end Money set aside for purses from wagering on simulcasts must be used for 87.10purses for live races involving the same breed involved in the simulcast except that money 87.11set aside for purses and payments to the breeders fund from wagering on full racing card 87.12simulcasts of races not conducted in this state, occurring during a live mixed meet, must 87.13be allotted to the purses and breeders fund for each breed participating in the mixed meet 87.14 new text begin as agreed upon by the breed organizations participating in the live mixed meet. The new text end 87.15 new text begin agreement shall be in writing and filed with the commission prior to the first day of the live new text end 87.16 new text begin mixed meet. In the absence of a written agreement filed with the commission, the money new text end 87.17 new text begin set aside for purses and payments to the breeders fund from wagering on simulcasts, new text end 87.18 new text begin occurring during a live mixed meet, shall be allotted to each breed participating in the live new text end 87.19 new text begin mixed meet new text end in the same proportion that the number of live races run by each breed bears 87.20to the total number of live races conducted during the period of the mixed meet. 87.21(f) new text begin (e) new text end The allocation of money set aside for purses to particular racing meets may be 87.22adjusted, relative to overpayments and underpayments, by contract between the licensee 87.23and the horsepersons' organization representing the majority of horsepersons racing the 87.24breed involved at the licensee's facility. 87.25(g) new text begin (f) new text end Subject to the provisions of this chapter, money set aside from pari-mutuel 87.26pools for purses must be for the breed involved in the race that generated the pool, except 87.27that if the breed involved in the race generating the pari-mutuel pool is not racing in the 87.28current racing meeting, or has not raced within the preceding 12 months at the licensee's 87.29class A facility, money set aside for purses may be distributed proportionately to those 87.30breeds that have run during the preceding 12 months or paid to the commission and 87.31used for purses or to promote racing for the breed involved in the race generating the 87.32pari-mutuel pool, or both, in a manner prescribed by the commission. 87.33(h) new text begin (g) new text end This subdivision does not apply to a class D licensee. 87.34 new text begin EFFECTIVE DATE. new text end new text begin This section is effective January 1, 2016. new text end 87.35    Sec. 14. Minnesota Statutes 2014, section 240.13, subdivision 6, is amended to read: 88.1    Subd. 6. Simulcasting. (a) The commission may permit an authorized licensee to 88.2conduct simulcasting at the licensee's facility on any day authorized by the commission. 88.3All simulcasts must comply with the Interstate Horse Racing Act of 1978, United States 88.4Code, title 15, sections 3001 to 3007. 88.5(b) The commission may not authorize any day for simulcasting at a class A facility 88.6during the racing season, and a licensee may not be allowed to transmit out-of-state 88.7telecasts of races the licensee conducts, unless the licensee has obtained the approval of 88.8the horsepersons' organization representing the majority of the horsepersons racing the 88.9breed involved at the licensed racetrack during the preceding 12 months. In the case of 88.10a class A facility licensed under section 240.06, subdivision 5a, the approval applicable 88.11to the first year of the racetrack's operation may be obtained from the horsepersons' 88.12organization that represents the majority of horsepersons who will race the breed involved 88.13at the licensed racetrack during the first year of the racetrack's operation. 88.14(c) The licensee may pay fees and costs to an entity transmitting a telecast of a 88.15race to the licensee for purposes of conducting pari-mutuel wagering on the race. The 88.16licensee may deduct fees and costs related to the receipt of televised transmissions from a 88.17pari-mutuel pool on the televised race, provided that one-half of any amount recouped in 88.18this manner must be added to the amounts required to be set aside for purses. 88.19(d) With the approval of the commission and subject to the provisions of this 88.20subdivision, a licensee may transmit telecasts of races it conducts, for wagering purposes, 88.21to locations outside the state, and the commission may allow this to be done on a 88.22commingled pool basis. 88.23(e) Except as otherwise provided in this section, simulcasting may be conducted on a 88.24separate new text begin commingled new text end pool basis or, with the approval of the commission, on a commingled 88.25 new text begin separate new text end pool basis. All provisions of law governing pari-mutuel betting apply to 88.26simulcasting except as otherwise provided in this subdivision or in the commission's 88.27rules. If pools are commingled, wagering at the licensed facility must be on equipment 88.28electronically linked with the equipment at the licensee's class A facility or with the 88.29sending racetrack via the totalizator computer at the licensee's class A facility. Subject to 88.30the approval of the commission, the types of betting, takeout, and distribution of winnings 88.31on commingled pari-mutuel pools are those in effect at the sending racetrack. Breakage 88.32for pari-mutuel pools on a televised race must be calculated in accordance with the law or 88.33rules governing the sending racetrack for these pools, and must be distributed in a manner 88.34agreed to between the licensee and the sending racetrack. Notwithstanding subdivision 7 88.35and section 240.15, subdivision 5, the commission may approve procedures governing the 88.36definition and disposition of unclaimed tickets that are consistent with the law and rules 89.1governing unclaimed tickets at the sending racetrack. For the purposes of this section, 89.2"sending racetrack" is either the racetrack outside of this state where the horse race is 89.3conducted or, with the consent of the racetrack, an alternative facility that serves as the 89.4racetrack for the purpose of commingling pools. 89.5(f) Except as otherwise provided in section 240.06, subdivision 5b, paragraph (2), 89.6if there is more than one class B licensee conducting racing within the seven-county 89.7metropolitan area, simulcasting may be conducted only on races run by a breed that ran at 89.8the licensee's class A facility within the 12 months preceding the event. 89.9    Sec. 15. Minnesota Statutes 2014, section 240.135, is amended to read: 89.10240.135 CARD CLUB REVENUE. 89.11(a) From the amounts received from charges authorized under section 240.30, 89.12subdivision 4 , the licensee shall set aside the amounts specified in this section to be 89.13used for purse payments. These amounts are in addition to the breeders fund and purse 89.14requirements set forth elsewhere in this chapter. 89.15(1) For amounts between zero and $6,000,000, the licensee shall set aside new text begin not less new text end 89.16 new text begin than new text end ten percent to be used as purses. 89.17(2) For amounts in excess of $6,000,000, the licensee shall set aside new text begin not less than new text end 89.1814 percent to be used as purses. 89.19(b) From all amounts set aside under paragraph (a), the licensee shall set aside 89.20ten percent to be deposited in the breeders fund. The licensee and the horseperson's 89.21organization representing the majority of horsepersons who have raced at the racetrack 89.22during the preceding 12 months may negotiate percentages different from those stated in 89.23this section if the agreement is in writing and filed with the Racing Commission. 89.24(c) It is the intent of the legislature that the proceeds of the card playing activities 89.25authorized by this chapter be used to improve the horse racing industry by improving purses. 89.26 new text begin The licensee and the horseperson's organization representing the majority of horsepersons new text end 89.27 new text begin who have raced at the racetrack during the preceding 12 months may negotiate percentages new text end 89.28 new text begin that exceed those stated in this section if the agreement is in writing and filed with the new text end 89.29 new text begin commission. new text end The commission shall annually review the financial details of card playing 89.30activities and determine if the present use of card playing proceeds is consistent with the 89.31policy established by this paragraph. If the commission determines that the use of the 89.32proceeds does not comply with the policy set forth herein, then the commission shall direct 89.33the parties to make the changes necessary to ensure compliance. If these changes require 89.34legislation, the commission shall make the appropriate recommendations to the legislature. 90.1    Sec. 16. Minnesota Statutes 2014, section 240.15, subdivision 1, is amended to read: 90.2    Subdivision 1. Taxes imposed. (a) There is imposed a tax at the rate of six percent 90.3of the amount in excess of $12,000,000 annually withheld from all pari-mutuel pools by 90.4the licensee, including breakage and amounts withheld under section 240.13, subdivision 90.54 . For the purpose of this subdivision, "annually" is the period from July 1 to June 30 of 90.6the next year. 90.7In addition to the above tax, the licensee must designate and pay to the commission 90.8a tax of one percent of the total amount bet on each racing day new text begin handle for live races new text end 90.9 new text begin conducted at a class A facility new text end , for deposit in the Minnesota breeders fund. 90.10The taxes imposed by this clause must be paid from the amounts permitted to be 90.11withheld by a licensee under section 240.13, subdivision 4. 90.12(b) The commission may impose an admissions tax of not more than ten cents on 90.13each paid admission at a licensed racetrack on a racing day if: 90.14(1) the tax is requested by a local unit of government within whose borders the 90.15track is located; 90.16(2) a public hearing is held on the request; and 90.17(3) the commission finds that the local unit of government requesting the tax is in 90.18need of its revenue to meet extraordinary expenses caused by the racetrack. 90.19    Sec. 17. Minnesota Statutes 2014, section 240.15, subdivision 6, is amended to read: 90.20    Subd. 6. Disposition of proceeds; account. The commission shall distribute all 90.21money received under this section, and all money received from license fees and fines it 90.22collects, according to this subdivision. All money designated for deposit in the Minnesota 90.23breeders fund must be paid into that fund for distribution under section 240.18 except that 90.24all money generated by full racing card simulcasts must be distributed as provided in 90.25section 240.18, subdivisions 2, paragraph (d), clauses (1), (2), and (3); and 3. Revenue 90.26from an admissions tax imposed under subdivision 1 must be paid to the local unit of 90.27government at whose request it was imposed, at times and in a manner the commission 90.28determines. Taxes received under this section and fines collected under section 240.22 90.29must be paid to the commissioner of management and budget for deposit in the general 90.30fund. All revenues from licenses and other fees imposed by the commission must be 90.31deposited in the state treasury and credited to a racing and card playing regulation account 90.32in the special revenue fund. Receipts in this account are available for the operations of the 90.33commission up to the amount authorized in biennial appropriations from the legislature. 90.34    Sec. 18. Minnesota Statutes 2014, section 240.16, subdivision 1, is amended to read: 91.1    Subdivision 1. Powers and duties. All horse races run at a licensed racetrack must 91.2be presided over by a board of three stewards, who must be appointees of the commission or 91.3persons approved by it. The commission shall designate one steward as chair. At least two 91.4stewards for all races either shall be employees of the commission who shall serve in the 91.5unclassified service, or shall be under contract with the commission to serve as stewards. 91.6The commission may delegate the following duties and powers to a board of stewards: 91.7(a) to ensure that races are run in accordance with the commission's rules; 91.8(b) to supervise the conduct of racing to ensure the integrity of the sport; 91.9(c) to settle disputes arising from the running of horse races, and to certify official 91.10results; 91.11(d) to impose on licensees, for violation of law or commission rules, fines not 91.12exceeding $2,000 new text begin $5,000 new text end and license suspensions not exceeding 90 days; 91.13(e) to recommend to the commission where warranted penalties in excess of those 91.14in clause (d); 91.15(f) to otherwise enforce the laws and rules of racing; and 91.16(g) to perform other duties and have other powers assigned by the commission. 91.17    Sec. 19. Minnesota Statutes 2014, section 240.22, is amended to read: 91.18240.22 FINES. 91.19 new text begin (a) new text end The commission shall by rule establish a graduated schedule of civil fines for 91.20violations of laws related to horse racing or of the commission's rules. The schedule 91.21must include minimum and maximum fines for each violation and be based on and 91.22reflect the culpability, frequency and severity of the violator's actions. The commission 91.23may impose a fine from this schedule on a licensee for a violation of those rules or laws 91.24relating to horse racing. The fine is in addition to any criminal penalty imposed for the 91.25same violation. Fines imposed by the commission must be paid to the commission and 91.26 new text begin except as provided in paragraph (b), new text end forwarded to the commissioner of management and 91.27budget for deposit in the general fund. A fine in excess of $2,000 new text begin $5,000 new text end is a contested 91.28case under the Administrative Procedure Act. 91.29 new text begin (b) If the commission is the prevailing party in a contested case proceeding, the new text end 91.30 new text begin commission may recover, from amounts to be forwarded under paragraph (a), reasonable new text end 91.31 new text begin attorney fees and costs associated with the contested case. new text end 91.32 new text begin EFFECTIVE DATE. new text end new text begin This section is effective July 1, 2016. new text end 91.33    Sec. 20. Minnesota Statutes 2014, section 240.23, is amended to read: 92.1240.23 RULEMAKING AUTHORITY. 92.2The commission has the authority, in addition to all other rulemaking authority 92.3granted elsewhere in this chapter to promulgate rules governing: 92.4(a) the conduct of horse races held at licensed racetracks in Minnesota, including but 92.5not limited to the rules of racing, standards of entry, operation of claiming races, filing and 92.6handling of objections, carrying of weights, and declaration of official results; 92.7(b) wire new text begin wired and wireless new text end communications between the premises of a licensed 92.8racetrack and any place outside the premises; 92.9(c) information on horse races which is sold on the premises of a licensed racetrack; 92.10(d) liability insurance which it may require of all class A, class B, and class D 92.11licensees; 92.12(e) the auditing of the books and records of a licensee by an auditor employed 92.13or appointed by the commission; 92.14(f) emergency action plans maintained by licensed racetracks and their periodic 92.15review; 92.16(g) safety, security, and sanitation of stabling facilities at licensed racetracks; 92.17(h) entry fees and other funds received by a licensee in the course of conducting 92.18racing which the commission determines must be placed in escrow accounts; 92.19(i) affirmative action in employment and contracting by class A, class B, and class D 92.20licensees; and 92.21 new text begin (j) procedures for the sampling and testing of any horse that is eligible to race in new text end 92.22 new text begin Minnesota for substances or practices that are prohibited by law or rule; and new text end 92.23(j) new text begin (k) new text end any other aspect of horse racing or pari-mutuel betting which in its opinion 92.24affects the integrity of racing or the public health, welfare, or safety. 92.25Rules of the commission are subject to chapter 14, the Administrative Procedure Act. 92.26 new text begin EFFECTIVE DATE. new text end new text begin This section is effective the day following final enactment. new text end 92.27    Sec. 21. Minnesota Statutes 2014, section 364.09, is amended to read: 92.28364.09 EXCEPTIONS. 92.29(a) This chapter does not apply to the licensing process for peace officers; to law 92.30enforcement agencies as defined in section 626.84, subdivision 1, paragraph (f); to fire 92.31protection agencies; to eligibility for a private detective or protective agent license; to the 92.32licensing and background study process under chapters 245A and 245C; new text begin to the licensing new text end 92.33 new text begin and background investigation process under chapter 240; new text end to eligibility for school bus 92.34driver endorsements; to eligibility for special transportation service endorsements; to 93.1eligibility for a commercial driver training instructor license, which is governed by section 93.2171.35 and rules adopted under that section; to emergency medical services personnel, or 93.3to the licensing by political subdivisions of taxicab drivers, if the applicant for the license 93.4has been discharged from sentence for a conviction within the ten years immediately 93.5preceding application of a violation of any of the following: 93.6(1) sections 609.185 to 609.2114, 609.221 to 609.223, 609.342 to 609.3451, or 93.7617.23 , subdivision 2 or 3; or Minnesota Statutes 2012, section 609.21; 93.8(2) any provision of chapter 152 that is punishable by a maximum sentence of 93.915 years or more; or 93.10(3) a violation of chapter 169 or 169A involving driving under the influence, leaving 93.11the scene of an accident, or reckless or careless driving. 93.12This chapter also shall not apply to eligibility for juvenile corrections employment, where 93.13the offense involved child physical or sexual abuse or criminal sexual conduct. 93.14(b) This chapter does not apply to a school district or to eligibility for a license 93.15issued or renewed by the Board of Teaching or the commissioner of education. 93.16(c) Nothing in this section precludes the Minnesota Police and Peace Officers 93.17Training Board or the state fire marshal from recommending policies set forth in this 93.18chapter to the attorney general for adoption in the attorney general's discretion to apply to 93.19law enforcement or fire protection agencies. 93.20(d) This chapter does not apply to a license to practice medicine that has been denied 93.21or revoked by the Board of Medical Practice pursuant to section 147.091, subdivision 1a. 93.22(e) This chapter does not apply to any person who has been denied a license to 93.23practice chiropractic or whose license to practice chiropractic has been revoked by the 93.24board in accordance with section 148.10, subdivision 7. 93.25(f) This chapter does not apply to any license, registration, or permit that has 93.26been denied or revoked by the Board of Nursing in accordance with section 148.261, 93.27subdivision 1a. 93.28(g) This chapter does not supersede a requirement under law to conduct a criminal 93.29history background investigation or consider criminal history records in hiring for 93.30particular types of employment. 93.31    Sec. 22. new text begin REVISOR'S INSTRUCTION. new text end 93.32 new text begin (a) The revisor of statutes shall renumber the subdivisions in Minnesota Statutes, new text end 93.33 new text begin section 240.01, to put the definitions contained in that section in alphabetical order. new text end 93.34 new text begin (b) The revisor of statutes shall correct any cross-references in Minnesota Statutes new text end 93.35 new text begin and Minnesota Rules as a result of the renumbering in paragraph (a). new text end 94.1    Sec. 23. new text begin REPEALER. new text end 94.2 new text begin Minnesota Statutes 2014, section 240.01, subdivisions 12 and 23, new text end new text begin are repealed. new text end " 94.3Delete the title and insert: 94.4"A bill for an act 94.5relating to the operation of state government; appropriating money for the 94.6legislature, governor's office, state auditor, attorney general, secretary of state, 94.7certain agencies, boards, councils, retirement funds, military affairs, and veterans 94.8affairs; cancellation of certain appropriations; requiring general incentive 94.9proposals for review by the legislative auditor; allowing counties to elect to have 94.10an audit conducted by a CPA firm; changing the signature requirement for phone 94.11records of certain public officials; creating three ethnic councils; allowing prepay 94.12for certain software and information technology hosting services; changing 94.13provisions on report on budget reserve percentage; providing reimbursement for 94.14reasonable accommodation; modifying grant agreement provisions; making 94.15changes to guaranteed energy-savings program, small business requirements, 94.16and veteran-owned small businesses; establishing healthy eating, here at home 94.17program; establishing expedited and temporary licensing for former and current 94.18members of the military for certain occupations; changing certain provisions 94.19governing cosmetology; assessing certain costs for Office of Administrative 94.20Hearings; requirements for reinstatement of a foreign corporation; making 94.21changes to provisions governing public benefit corporations; modifying 94.22provisions for accountants; changing certain requirements for corporations; 94.23modifying gambling provisions; limiting railroad condemnation powers in 94.24certain interests; modifying debt service provision for legislative parking garage; 94.25requiring some room numbers on signage in the Capitol to identify legacy 94.26rooms; providing in-lieu of rent evaluation; allowing board of cosmetology to 94.27adopt rules; specifying political contribution credit; specifying state agency 94.28technology projects; requiring the legislative auditor to evaluate the efficacy 94.29of the state auditor's examinations; requiring a report on reduction of chief 94.30information officers in state agencies; making changes to provisions governing 94.31military and veterans affairs; changing provisions governing pari-mutuel horse 94.32racing; setting certain fees; requiring reports;amending Minnesota Statutes 2014, 94.33sections 3.8843, subdivision 5; 10.43; 16A.065; 16A.152, subdivision 8; 16B.97, 94.34subdivision 1; 16B.98, subdivisions 1, 11; 16C.144; 16C.16, subdivisions 94.352, 6a, by adding a subdivision; 16C.19; 148.57, by adding a subdivision; 94.36148.624, subdivision 5; 148B.33, by adding a subdivision; 148B.53, by adding 94.37a subdivision; 148B.5301, by adding a subdivision; 148F.025, by adding a 94.38subdivision; 153.16, subdivisions 1, 4; 154.003; 154.11, subdivision 3; 155A.21; 94.39155A.23, subdivision 8, by adding subdivisions; 155A.24, subdivision 2; 94.40155A.25, subdivisions 1a, 5, by adding subdivisions; 155A.27, subdivisions 1, 2, 94.415a; 155A.271; 155A.29, subdivisions 1, 2, by adding a subdivision; 155A.30, 94.42subdivisions 5, 10; 161.1419, subdivision 8; 190.19, subdivisions 2a, 3; 192.38, 94.43subdivision 1; 192.501, by adding a subdivision; 197.133; 197.46; 198.01; 94.44211B.37; 240.01, subdivision 22, by adding subdivisions; 240.011; 240.03; 94.45240.08, subdivisions 2, 4, 5; 240.10; 240.13, subdivisions 5, 6; 240.135; 240.15, 94.46subdivisions 1, 6; 240.16, subdivision 1; 240.22; 240.23; 272.484; 303.19; 94.47304A.301, subdivisions 1, 5, 6, by adding a subdivision; 326A.01, subdivisions 94.482, 12, 13a, 15, 16; 326A.02, subdivisions 3, 5; 326A.05, subdivisions 1, 3; 94.49326A.08, subdivision 7; 326A.10; 336A.09, subdivision 1; 349.16, subdivision 94.506a; 349.161, subdivision 4; 349.163, subdivisions 2, 6; 349.166, subdivision 2; 94.51364.09; Laws 2013, chapter 142, article 1, section 10; Laws 2014, chapter 287, 94.52section 25; proposing coding for new law in Minnesota Statutes, chapters 3; 6; 94.5315; 16B; 138; 197; 383B; repealing Minnesota Statutes 2014, sections 3.9223; 94.543.9225; 3.9226, subdivisions 1, 2, 3, 4, 5, 6, 7; 6.48; 155A.23, subdivision 6; 94.55197.131; 197.132; 240.01, subdivisions 12, 23; 375.23." 95.1 We request the adoption of this report and repassage of the bill. 95.2 Senate Conferees: 95.3 ..... ..... 95.4 Tom Saxhaug Sandra L. Pappas 95.5 ..... ..... 95.6 Jim Carlson Melissa H. Wiklund 95.7 ..... 95.8 James P. Metzen 95.9 House Conferees: 95.10 ..... ..... 95.11 Sarah Anderson Tony Albright 95.12 ..... ..... 95.13 Tim O'Driscoll Bob Loonan 95.14 ..... 95.15 Carolyn Laine