1.1 	A bill for an act
1.2 	relating to commerce; establishing a supplemental budget for commerce activities; 
1.3 	modifying and adding provisions governing commerce, licensee continuing 
1.4 	education, financial institutions, weights and measures, insurance, and consumer 
1.5 	protection; modifying civil procedures; requiring reports; making technical changes; 
1.6 	appropriating and transferring money;amending Minnesota Statutes 2020, sections 
1.7 	45.0135, subdivisions 2a, 2b; 45.25, subdivisions 12, 13, by adding subdivisions; 
1.8 	45.31, subdivisions 2, 3; 46.131, subdivisions 2, 4, 11; 47.08; 47.16, subdivisions 
1.9 	1, 2; 47.172, subdivision 2; 47.28, subdivision 3; 47.30, subdivision 5; 48A.15, 
1.10 	subdivision 1; 53.03, subdivisions 1, 5; 53C.02; 55.10, subdivision 1; 56.02; 
1.11 	60A.033, subdivisions 8, 9, by adding subdivisions; 60A.952, subdivision 2; 
1.12 	60A.953; 60A.954, subdivision 1; 61A.02, by adding a subdivision; 62Q.733, 
1.13 	subdivision 1; 62Q.735, subdivisions 1, 5; 62Q.76, by adding a subdivision; 62Q.78, 
1.14 	by adding a subdivision; 62Q.79, by adding a subdivision; 65B.84, subdivisions 
1.15 	1, 2; 72A.20, by adding a subdivision; 72A.2031, subdivisions 8, 10, by adding 
1.16 	subdivisions; 72A.2032, subdivisions 4, 6, 7, 8, by adding subdivisions; 72A.2033; 
1.17 	72A.2034; 72A.2035, subdivision 1; 72A.2036; 80A.61; 80C.05, subdivision 2; 
1.18 	80C.08, subdivision 1; 80G.01, subdivision 3, by adding a subdivision; 80G.02, 
1.19 	subdivisions 1, 4; 80G.03, subdivision 2; 80G.04, subdivision 1; 80G.05, 
1.20 	subdivision 1; 80G.06, subdivision 2; 80G.07, subdivision 1; 82B.03, by adding 
1.21 	a subdivision; 82B.19, by adding a subdivision; 82C.17, subdivision 2; 239.761, 
1.22 	subdivisions 3, 4; 239.791, subdivision 2a; 296A.01, subdivision 23; 325E.21, by 
1.23 	adding subdivisions; 332.33, subdivision 3, by adding a subdivision; 336.9-510; 
1.24 	336.9-516; 515B.3-102; 549.30, subdivisions 3, 6, 15, 19, by adding subdivisions; 
1.25 	549.31; 549.32; 549.34; 609.5316, subdivision 3; Minnesota Statutes 2021 
1.26 	Supplement, sections 62J.26, subdivision 2; 80G.06, subdivision 1; 80G.11; 82B.25, 
1.27 	subdivision 2; proposing coding for new law in Minnesota Statutes, chapters 45; 
1.28 	58B; 62Q; 214; 325F; 332; 336; 549; repealing Minnesota Statutes 2020, sections 
1.29 	45.25, subdivisions 2a, 14; 60A.033, subdivision 3; 62Q.56, subdivision 1a; 
1.30 	72A.2031, subdivisions 3, 9, 11; 72A.2032, subdivisions 1, 2, 3, 5.
1.31 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.32 	ARTICLE 1
1.33 	SUPPLEMENTAL APPROPRIATIONS

1.34	Section 1. APPROPRIATIONS.
 	
2.1 	The sums shown in the columns marked "Appropriations" are appropriated to the agencies 
2.2 	and for the purposes specified in this article. The appropriations are from the general fund, 
2.3 	or another named fund, and are available for the fiscal years indicated for each purpose. 
2.4 	The figures "2022" and "2023" used in this article mean that the appropriations listed under 
2.5 	them are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively. 
2.6 	"The first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The biennium" 
2.7 	is fiscal years 2022 and 2023. If an appropriation in this act is enacted more than once in 
2.8 	the 2022 legislative session, the appropriation must be given effect only once. Appropriations 
2.9 	for the fiscal year ending June 30, 2022, are effective the day following final enactment. 
2.10 	The appropriations made under this article supplement, and do not supersede or replace, 
2.11 	the appropriations made under Laws 2021, First Special Session chapter 4, article 1.

2.12				APPROPRIATIONS
	
2.13				Available for the Year
	
2.14				Ending June 30
	
2.15					2022
		2023

2.16	Sec. 2. DEPARTMENT OF COMMERCE

2.17	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	6,153,000

2.18	Appropriations by Fund
	
2.19		2022
	2023
	
2.20	General
	-0-
	5,653,000
	
2.21	Special Revenue
	-0-
	500,000
	
2.22 	The amounts that may be spent for each 
2.23 	purpose are specified in the following 
2.24 	subdivisions.

2.25	Subd. 2.Administrative Services
 		-0-
		392,000
	
2.26 	$301,000 in fiscal year 2023 is for the senior 
2.27 	fraud prevention program.
2.28 	$91,000 in fiscal year 2023 is for the licensing 
2.29 	disqualification and preliminary application 
2.30 	requirements under article 2, section 52.

2.31	Subd. 3.Financial Services
 		-0-
		533,000
	
2.32 	$300,000 in fiscal year 2023 is for additional 
2.33 	securities staff.
3.1 	$233,000 in fiscal year 2023 is to establish 
3.2 	and operate a student loan advocate under 
3.3 	Minnesota Statutes, section 58B.011. The base 
3.4 	for this appropriation is $233,000 in fiscal year 
3.5 	2024 and $233,000 in fiscal year 2025.

3.6	Subd. 4.Insurance
 		-0-
		633,000
	
3.7 	$108,000 in fiscal year 2023 is for a study and 
3.8 	report on disparities in geographic rating areas 
3.9 	in individual and small group market health 
3.10 	insurance under article 3, section 34. This is 
3.11 	a onetime appropriation.
3.12 	$525,000 in fiscal year 2023 is for additional 
3.13 	staff in the insurance division. The additional 
3.14 	staff must focus on property- and 
3.15 	casualty-related insurance products.

3.16	Subd. 5.Enforcement
 		-0-
		4,595,000
	
3.17 	$4,095,000 in fiscal year 2023 is for the 
3.18 	automobile theft prevention program under 
3.19 	Minnesota Statutes, section 65B.84. This is a 
3.20 	onetime appropriation.
3.21 	$500,000 in fiscal year 2023 is appropriated 
3.22 	from the auto theft prevention account in the 
3.23 	special revenue fund to the commissioner of 
3.24 	commerce to reimburse law enforcement 
3.25 	agencies for investigation and enforcement 
3.26 	activities to combat automobile theft. This 
3.27 	appropriation does not cancel and remains 
3.28 	available until expended. This is a onetime 
3.29 	appropriation.

3.30	Sec. 3. BOARD OF ACCOUNTANCY
 	$
	-0-
	$
	6,000
	
3.31 	Licensing Disqualifications; Preliminary 
3.32 	Applications.
4.1 	$6,000 in fiscal year 2023 is to the Board of 
4.2 	Accountancy for the licensing disqualification 
4.3 	and preliminary application requirements 
4.4 	under article 2, section 52. This is a onetime 
4.5 	appropriation.

4.6	Sec. 4. ATTORNEY GENERAL
 	$
	-0-
	$
	27,000
	
4.7 	Licensing Disqualifications; Preliminary 
4.8 	Applications.
4.9 	$27,000 in fiscal year 2023 is to the attorney 
4.10 	general for the licensing disqualification and 
4.11 	preliminary application requirements under 
4.12 	article 2, section 52.

4.13
4.14	Sec. 5. PROFESSIONAL EDUCATOR 
LICENSING AND STANDARDS BOARD
 	$
	-0-
	$
	514,000
	
4.15 	Licensing Disqualifications; Preliminary 
4.16 	Applications.
4.17 	$514,000 in fiscal year 2023 is to the 
4.18 	Professional Educator Licensing and Standards 
4.19 	Board for the licensing disqualification and 
4.20 	preliminary application requirements under 
4.21 	article 2, section 52. The base for this 
4.22 	appropriation is $142,000 in fiscal year 2024 
4.23 	and $142,000 in fiscal year 2025.

4.24	Sec. 6. DEPARTMENT OF REVENUE
 	$
	-0-
	$
	19,000
	
4.25 	Licensing Disqualifications; Preliminary 
4.26 	Applications.
4.27 	$19,000 in fiscal year 2023 is to the 
4.28 	Department of Revenue for the licensing 
4.29 	disqualification and preliminary application 
4.30 	requirements under article 2, section 52. The 
4.31 	base for this appropriation is $3,000 in fiscal 
4.32 	year 2024 and $3,000 in fiscal year 2025.

4.33	Sec. 7. GAMBLING CONTROL BOARD
 	$
	-0-
	$
	3,000
	
5.1 	Licensing Disqualifications; Preliminary 
5.2 	Applications.
5.3 	$3,000 in fiscal year 2023 is from the lawful 
5.4 	gambling regulation account in the special 
5.5 	revenue fund to the Gambling Control Board 
5.6 	for the licensing disqualification and 
5.7 	preliminary application requirements under 
5.8 	article 2, section 52.

5.9 	Sec. 8. COMMERCE FRAUD BUREAU; TRANSFER.
 5.10 	$870,000 in fiscal year 2023 is transferred from the general fund to the insurance fraud 
5.11 	prevention account for five additional peace officers in the Commerce Fraud Bureau. The 
5.12 	base for this transfer is $811,000 in fiscal year 2024 and $811,000 in fiscal year 2025.

5.13 	ARTICLE 2
5.14 	COMMERCE POLICY

5.15 	Section 1. Minnesota Statutes 2020, section 45.0135, subdivision 2a, is amended to read:
5.16 		Subd. 2a.Authorization. (a) The commissioner may appoint peace officers, as defined 
5.17 	in section 626.84, subdivision 1, paragraph (c), and establish a law enforcement agency, as 
5.18 	defined in section 626.84, subdivision 1, paragraph (f), known as the Commerce Fraud 
5.19 	Bureau, to conduct investigations, and to make arrests under sections 629.30 and 629.34. 
5.20 	The primary jurisdiction of the law enforcement agency is limited to offenses related to 
5.21 	insurance fraudwith a nexus to insurance-related crimes or financial crimes.
5.22 	(b) Upon request and at the commissioner's discretion, the Commerce Fraud Bureau 
5.23 	may respond to a law enforcement agency's request to exercise law enforcement duties in 
5.24 	cooperation with the law enforcement agency that has jurisdiction over the particular matter.
5.25 	(c) The Commerce Fraud Bureau must allocate at least 70 percent of its work to 
5.26 	insurance-related crimes.

5.27 	Sec. 2. Minnesota Statutes 2020, section 45.0135, subdivision 2b, is amended to read:
5.28 		Subd. 2b.Duties. The Commerce Fraud Bureau shall:
5.29 	(1) review notices and reports of insurance fraud within the Commerce Fraud Bureau's 
5.30 	primary jurisdiction submitted by authorized insurers, their employees, and agents or 
5.31 	producers;
6.1 	(2) respond to notifications or complaints of suspected insurance fraud within the 
6.2 	Commerce Fraud Bureau's primary jurisdiction generated by other law enforcement agencies, 
6.3 	state or federal governmental units, or any other person;
6.4 	(3) initiate inquiries and conduct investigations when the bureau has reason to believe 
6.5 	that insurance fraud an offense within the Commerce Fraud Bureau's primary jurisdiction
6.6 	has been or is being committed; and
6.7 	(4) report incidents of alleged insurance fraud crimes disclosed by its the Commerce 
6.8 	Fraud Bureau's investigations to appropriate law enforcement agencies, including, but not 
6.9 	limited to, the attorney general, county attorneys, or any other appropriate law enforcement 
6.10 	or regulatory agency, and shall assemble evidence, prepare charges, and otherwise assist 
6.11 	any law enforcement authority having jurisdiction.

6.12 	Sec. 3. Minnesota Statutes 2020, section 45.25, is amended by adding a subdivision to 
6.13 	read:
6.14 		Subd. 9a.Live course. "Live course" means any learning experience that is actively led 
6.15 	by an instructor, either online or in a classroom setting, that offers person-to-person, real-time 
6.16 	feedback. A live course offered online must:
6.17 	(1) specify the minimum system requirements;
6.18 	(2) provide encryption that ensures that all personal information, including the student's 
6.19 	name, address, and credit card number, cannot be read as it passes across the Internet;
6.20 	(3) include technology to guarantee seat time;
6.21 	(4) include the ability for the student to get technical support within a reasonable amount 
6.22 	of time;
6.23 	(5) include a statement that the student's information will not be sold or distributed to 
6.24 	any third party without the prior written consent of the student. Taking the course does not 
6.25 	constitute consent; and
6.26 	(6) include a process to authenticate the student's identity.

6.27 	Sec. 4. Minnesota Statutes 2020, section 45.25, is amended by adding a subdivision to 
6.28 	read:
6.29 		Subd. 9b.On-demand course. "On-demand course" means an online learning experience 
6.30 	that enables a student to review learning material at a time and location that is convenient 
6.31 	for the student. On-demand course includes but is not limited to asynchronous online courses, 
7.1 	text-based courses, and other courses not offered live that include prerecorded videos, class 
7.2 	recordings, documents, or other learning activities.

7.3 	Sec. 5. Minnesota Statutes 2020, section 45.25, subdivision 12, is amended to read:
7.4 		Subd. 12.Proctor. (a) "Proctor" means a disinterested third party with no conflict of 
7.5 	interest person who (1) verifies a student's identity, and (2) processes an affidavit testifying 
7.6 	that the student received no outside assistance with the course or examination.
7.7 	(b) A proctor must be 18 years of age or older. A proctor must not have a financial or 
7.8 	other conflict of interest with respect to a student's successful completion of the course or 
7.9 	the examination. A proctor must not be:
7.10 	(1) a relative of the student;
7.11 	(2) the student's supervisor at work;
7.12 	(3) a person the student supervises at work; or
7.13 	(4) a student who is completing the same course.

7.14 	Sec. 6. Minnesota Statutes 2020, section 45.25, subdivision 13, is amended to read:
7.15 		Subd. 13.Professional designation. "Professional designation" means a written, 
7.16 	proctored, and graded examination, the passage of which leads to a bona fide an 
7.17 	industry-recognized professional designation used by licensees a licensee after completing 
7.18 	a series of courses and passing a graded, proctored examination.

7.19 	Sec. 7. [45.301] ON-DEMAND CONTINUING EDUCATION; REQUIREMENTS.
7.20 		Subdivision 1.On-demand course requirements. An on-demand continuing education 
7.21 	course offered online must:
7.22 	(1) specify the minimum system requirements;
7.23 	(2) provide encryption that ensures that all personal information, including the student's 
7.24 	name, address, and credit card number, cannot be read as it passes across the Internet;
7.25 	(3) include technology to guarantee seat time;
7.26 	(4) include a high level of interactivity;
7.27 	(5) include graphics that reinforce the content;
7.28 	(6) include the ability for the student to contact an instructor within a reasonable amount 
7.29 	of time;
8.1 	(7) include the ability for the student to get technical support within a reasonable amount 
8.2 	of time;
8.3 	(8) include a statement that the student's information will not be sold or distributed to 
8.4 	any third party without prior written consent of the student. Taking the course does not 
8.5 	constitute consent;
8.6 	(9) be available 24 hours a day, seven days a week, excluding minimal down time for 
8.7 	updating and administration;
8.8 	(10) provide viewing access to the online course at all times to the commissioner, 
8.9 	excluding minimal down time for updating and administration;
8.10 	(11) include a process to authenticate the student's identity;
8.11 	(12) inform the student and the commissioner how long a course is accessible after the 
8.12 	course is purchased;
8.13 	(13) inform the student that license education credit is not awarded for taking the course 
8.14 	after the course loses status as an approved course;
8.15 	(14) provide clear instructions on how to navigate through the course;
8.16 	(15) provide automatic bookmarking at any point in the course;
8.17 	(16) provide questions after each unit or chapter that must be answered before the student 
8.18 	can proceed to the next unit or chapter;
8.19 	(17) include a reinforcement response when a quiz question is answered correctly;
8.20 	(18) include a response when a quiz question is answered incorrectly;
8.21 	(19) include a final examination;
8.22 	(20) allow the student to return to and review any unit at any time, except during the 
8.23 	final examination;
8.24 	(21) provide a course evaluation at the end of the course. At a minimum, the evaluation 
8.25 	must ask the student to report any difficulties caused by the online education delivery 
8.26 	method; and
8.27 	(22) provide a completion certificate when the course and exam have been completed 
8.28 	and the provider has verified the completion. An electronic certificate is sufficient.
8.29 		Subd. 2.Final examination. The final examination must be either an encrypted online 
8.30 	examination or a paper examination that is monitored by a proctor who certifies that the 
9.1 	student took the examination. The student must not be allowed to review the course content 
9.2 	once the examination has begun.

9.3 	Sec. 8. Minnesota Statutes 2020, section 45.31, subdivision 2, is amended to read:
9.4 		Subd. 2.Approval. (a) The commissioner must approve as a coordinator a person 
9.5 	meeting one or more of the following criteria: at least three years of full-time experience 
9.6 	in the administration of an education program during the five-year period immediately 
9.7 	before the date of application, or a degree in education plus two years experience during 
9.8 	the immediately preceding five-year period in one of the regulated industries for which 
9.9 	courses are being approved, or a minimum of five years experience within the previous six 
9.10 	years in the regulated industry for which courses are held. A person applying for approval 
9.11 	as a course coordinator must:
9.12 	(1) be qualified or have experience in the applicable subject matter of courses offered 
9.13 	by the education provider or have experience administering an education program; and
9.14 	(2) make available upon request such records and data required by the commissioner to 
9.15 	administer the provisions and further the purposes of this chapter.
9.16 	(b) Coordinator approval may not be transferred to an individual who has not already 
9.17 	been approved as an additional coordinator for the applicable license type for the providership 
9.18 	in question. An individual must be approved as a coordinator by the commissioner before 
9.19 	acting on behalf of an approved education provider.

9.20 	Sec. 9. Minnesota Statutes 2020, section 45.31, subdivision 3, is amended to read:
9.21 		Subd. 3.Responsibilities. A coordinator An education provider is responsible for:
9.22 	(1) assuring compliance with all laws and rules relating to educational offerings governed 
9.23 	by the commissioner;
9.24 	(2) assuring that students are provided with current and accurate information relating to 
9.25 	the laws and rules governing their licensed activity;
9.26 	(3) supervising and evaluating courses and instructors. Supervision includes assuring, 
9.27 	especially when a course will be taught by more than one instructor, that all areas of the 
9.28 	curriculum are addressed without redundancy and that continuity is present throughout the 
9.29 	entire course;
9.30 	(4) ensuring that instructors are qualified to teach the course offering;
10.1 	(5) furnishing the commissioner, upon request, with copies of course and instructor 
10.2 	evaluations and qualifications of instructors. Evaluations must be completed by students 
10.3 	and coordinators;
10.4 	(6) investigating complaints related to course offerings and instructors and forwarding 
10.5 	a copy of the written complaints to the Department of Commerce;
10.6 	(7) maintaining accurate records relating to course offerings, instructors, tests taken by 
10.7 	students, and student attendance for a period of three years from the date on which the 
10.8 	course was completed. These records must be made available to the commissioner upon 
10.9 	request. In the event that an education provider ceases operation for any reason, the 
10.10 	coordinator is responsible for maintaining the records or providing a custodian for the 
10.11 	records acceptable to the commissioner. The coordinator must notify the commissioner of 
10.12 	the name and address of that person. In order to be acceptable to the commissioner, custodians 
10.13 	must agree to make copies of acknowledgments available to students at a reasonable fee. 
10.14 	Under no circumstances will the commissioner act as custodian of the records;
10.15 	(8) ensuring that the coordinator is available to instructors and students throughout course 
10.16 	offerings and providing to the students and instructor the name of the coordinator and a 
10.17 	telephone number at which the coordinator can be reached;
10.18 	(9) attending workshops or instructional programs as reasonably required by the 
10.19 	commissioner;
10.20 	(10) providing course completion certificates within ten days of, but not before, 
10.21 	completion of the entire course. Course completion certificates must be completed in their 
10.22 	entirety. It is not necessary to provide a written course completion certificate if the course 
10.23 	completion certificate has been electronically delivered to the department or its designated 
10.24 	licensing contractor. A coordinator may require payment of the course tuition as a condition 
10.25 	for receiving the course completion certificate;
10.26 	(11) notifying the commissioner immediately of any change in an application for the 
10.27 	course, coordinator, or instructor approval application; and
10.28 	(12) in conjunction with the instructor, assuring and certifying attendance of students 
10.29 	enrolled in courses.

10.30 	Sec. 10. Minnesota Statutes 2020, section 46.131, subdivision 2, is amended to read:
10.31 		Subd. 2.Assessment authority. Each bank, trust company, savings bank, savings 
10.32 	association, regulated lender, industrial loan and thrift company, credit union, motor vehicle 
10.33 	sales finance company, debt management services provider, debt settlement services provider, 
11.1 	insurance premium finance company, and residential PACE administrator, as defined in 
11.2 	section 216C.435, subdivision 10a, financial institution governed by chapters 46 to 59A, 
11.3 	216C, and 332 to 332B that is organized under the laws of this state or required to be 
11.4 	administered by the commissioner of commerce shall pay into the state treasury its 
11.5 	proportionate share of the cost of maintaining the Department of Commerce. This subdivision 
11.6 	does not apply to student loan servicers or collection agencies.

11.7 	Sec. 11. Minnesota Statutes 2020, section 46.131, subdivision 4, is amended to read:
11.8 		Subd. 4.General assessment basis. (a) Assessments shall be made by the commissioner 
11.9 	against each institution within the industry on an equitable basis, according to the total assets
11.10 	or business volume of each institution as of the end of the previous calendar year.
11.11 	(b) Assessments against residential PACE administrators, as defined in section 216C.435, 
11.12 	subdivision 10a, must be made by the commissioner according to the total business volume 
11.13 	as of the end of the previous calendar year.

11.14 	Sec. 12. Minnesota Statutes 2020, section 46.131, subdivision 11, is amended to read:
11.15 		Subd. 11.Financial institutions account; appropriation. (a) The financial institutions 
11.16 	account is created as a separate account in the special revenue fund. Earnings, including 
11.17 	interest, dividends, and any other earnings arising from account assets, must be credited to 
11.18 	the account.
11.19 	(b) The account consists of funds received from assessments under subdivision 7, 
11.20 	examination fees under subdivision 8, and funds received pursuant to subdivision 10 and 
11.21 	the following provisions: sections 46.04; 46.041; 46.048, subdivision 1; 47.101; 47.54, 
11.22 	subdivision 1; 47.60, subdivision 3; 47.62, subdivision 4; 48.61, subdivision 7, paragraph 
11.23 	(b); 49.36, subdivision 1; 52.203;53B.09; 53B.11, subdivision 1; 53C.02; 56.02; 58.10;
11.24 	58A.045, subdivision 2; and 59A.03;216C.437, subdivision 12; 332A.04; and 332B.04.
11.25 	(c) Funds in the account are annually appropriated to the commissioner of commerce 
11.26 	for activities under this section.

11.27 	Sec. 13. Minnesota Statutes 2020, section 47.08, is amended to read:
11.28 	47.08 ARTICLES OF INCORPORATION FILED WITH COMMISSIONER.
11.29 	All persons proposing to incorporate and organize any financial institution, whether 
11.30 	defined or described as such by the laws of the state, shall, before doing any business in the 
11.31 	state as a corporation, and before filing their articles of incorporation with the secretary of 
12.1 	state or with any other officer with whom the law requires such articles to be filed or 
12.2 	recorded, file a copy of such the proposed articles of incorporation with the commissioner 
12.3 	of commerce.

12.4 	Sec. 14. Minnesota Statutes 2020, section 47.16, subdivision 1, is amended to read:
12.5 		Subdivision 1.Filing. The certificate of a corporation must be filed for record with the 
12.6 	secretary of state commissioner of commerce. If the secretary of state commissioner of 
12.7 	commerce finds that it conforms to law and that the required fee has been paid, the secretary 
12.8 	of state commissioner of commerce must record it and certify that fact on it. The secretary 
12.9 	of state may not accept a certificate for filing unless the certificate also contains the 
12.10 	endorsement of the commissioner of commerce.

12.11 	Sec. 15. Minnesota Statutes 2020, section 47.16, subdivision 2, is amended to read:
12.12 		Subd. 2.Certificate of authority. If the commissioner of commerce is satisfied that the 
12.13 	corporation has been organized for legitimate purposes, and under such conditions as to 
12.14 	merit and have public confidence, and that all provisions of law applicable to every branch 
12.15 	of business in which, by the terms of its certificate, it is authorized to engage, have been 
12.16 	complied with, the commissioner shall so certify. When the original certificate and the
12.17 	certificate of incorporation from the secretary of state is filed with the commissioner of 
12.18 	commerce, the commissioner shall, within 60 days thereafter, execute and deliver to it a 
12.19 	certificate of authority.

12.20 	Sec. 16. Minnesota Statutes 2020, section 47.172, subdivision 2, is amended to read:
12.21 		Subd. 2.Effect. The certificate to be filed to accomplish a restated certificate of 
12.22 	incorporation must be entitled "restated certificate of incorporation of (name of financial 
12.23 	corporation)" and must contain a statement that the restated certificate supersedes and takes 
12.24 	the place of the existing certificate of incorporation and all amendments to it. The restated 
12.25 	certificate of incorporation when executed, filed and recorded in the manner prescribed for 
12.26 	certificate of amendment supersedes and takes the place of an existing certificate of 
12.27 	incorporation and amendments to it. The secretary of state upon request must certify the 
12.28 	restated certificate of incorporation.

12.29 	Sec. 17. Minnesota Statutes 2020, section 47.28, subdivision 3, is amended to read:
12.30 		Subd. 3.Recording. Upon receipt of the fees required for filing and recording amended 
12.31 	articles of incorporation of savings banks, the secretary of state commissioner of commerce
13.1 	shall record the amended articles of incorporation and certify that fact thereon, whereupon 
13.2 	the conversion of such savings bank into a savings association shall become final and 
13.3 	complete and thereafter said corporation shall have the powers and be subject to the duties 
13.4 	and obligations prescribed by the laws of this state applicable to savings associations.

13.5 	Sec. 18. Minnesota Statutes 2020, section 47.30, subdivision 5, is amended to read:
13.6 		Subd. 5.Recording. Upon receipt of the fees required for filing and recording amended 
13.7 	articles of incorporation of savings associations, the secretary of state commissioner of 
13.8 	commerce shall record the amended articles of incorporation and certify that fact thereon, 
13.9 	whereupon the conversion of such savings association into a savings bank shall become 
13.10 	final and complete and thereafter the signers of said amended articles and their successors 
13.11 	shall be a corporation, and have the powers and be subject to the duties and obligations 
13.12 	prescribed by the laws of this state applicable to savings banks.

13.13 	Sec. 19. Minnesota Statutes 2020, section 48A.15, subdivision 1, is amended to read:
13.14 		Subdivision 1.Authorization. (a) A trust company organized under the laws of this 
13.15 	state or a state bank and trust may, after completing the notification procedure required by 
13.16 	this subdivision, establish and maintain a trust service office at any office in this state or of 
13.17 	any other state or national bank. A state bank may, after completing the notification procedure 
13.18 	required by this subdivision, permit a trust company organized under the laws of this state 
13.19 	or a state bank and trust or a national bank in this state that is authorized to exercise trust 
13.20 	powers to establish and maintain a trust service office at any of its banking offices.
13.21 	(b) The trust company or state bank and trust and a state bank at which a trust service 
13.22 	office is to be established according to this section shall jointly file, on forms provided by 
13.23 	the commissioner, a notification of intent to establish a trust service office. The notification 
13.24 	must be accompanied by a filing fee of $100 payable to the commissioner, to be deposited 
13.25 	in the general fund of the state financial institutions account under section 46.131, subdivision 
13.26 	11. No trust service office shall be established according to this section if disallowed by 
13.27 	order of the commissioner within 30 days of the filing of a complete and acceptable 
13.28 	notification of intent to establish a trust service office. An order of the commissioner to 
13.29 	disallow the establishment of a trust service office under this section is subject to judicial 
13.30 	review under sections 14.63 to 14.69.

14.1 	Sec. 20. Minnesota Statutes 2020, section 53.03, subdivision 1, is amended to read:
14.2 		Subdivision 1.Application, fee, notice. Any corporation hereafter organized as an 
14.3 	industrial loan and thrift company, shall, after compliance with the requirements set forth 
14.4 	in sections 53.01 and 53.02, file a written application with the Department of Commerce 
14.5 	for a certificate of authorization. A corporation that will not sell or issue thrift certificates 
14.6 	for investment as permitted by this chapter need not comply with subdivision 2b. The 
14.7 	application must be in the form prescribed by the Department of Commerce. The application 
14.8 	must be made in the name of the corporation, executed and acknowledged by an officer 
14.9 	designated by the board of directors of the corporation, requesting a certificate authorizing 
14.10 	the corporation to transact business as an industrial loan and thrift company, at the place 
14.11 	and in the name stated in the application. At the time of filing the application the applicant 
14.12 	shall pay $1,500 filing fee if the corporation will not sell or issue thrift certificates for 
14.13 	investment, and a filing fee of $8,000 if the corporation will sell or issue thrift certificates 
14.14 	for investment. The fees must be turned over by the commissioner to the commissioner of 
14.15 	management and budget and credited to the general fund collected by the commissioner 
14.16 	and deposited in the financial institutions account under section 46.131, subdivision 11. 
14.17 	The applicant shall also submit a copy of the bylaws of the corporation, its articles of 
14.18 	incorporation and all amendments thereto at that time. An application for powers under 
14.19 	subdivision 2b must also require that a notice of the filing of the application must be 
14.20 	published once within 30 days of the receipt of the form prescribed by the Department of 
14.21 	Commerce, at the expense of the applicant, in a qualified newspaper published in the 
14.22 	municipality in which the proposed industrial loan and thrift company is to be located, or, 
14.23 	if there be none, in a qualified newspaper likely to give notice in the municipality in which 
14.24 	the company is proposed to be located. If the Department of Commerce receives a written 
14.25 	objection to the application from any person within 15 days of the notice having been fully 
14.26 	published, the commissioner shall proceed in the same manner as required under section 
14.27 	46.041, subdivisions 3 and 4, relating to state banks.

14.28 	Sec. 21. Minnesota Statutes 2020, section 53.03, subdivision 5, is amended to read:
14.29 		Subd. 5.Place of business. Not more than one place of business may be maintained 
14.30 	under any certificate of authorization issued subsequent to the enactment of Laws 1943, 
14.31 	chapter 67, pursuant to the provisions of this chapter, but the Department of Commerce 
14.32 	may issue more than one certificate of authorization to the same corporation upon compliance 
14.33 	with all the provisions of this chapter governing an original issuance of a certificate of 
14.34 	authorization. To the extent that previously filed applicable information remains unchanged, 
14.35 	the applicant need not refile this information, unless requested. The filing fee for a branch 
15.1 	application shall be $500 and the investigation fee $250. An industrial loan and thrift 
15.2 	corporation with deposit liabilities may change one or more of its locations upon the written 
15.3 	approval of the commissioner of commerce. A fee of $100 must accompany each application 
15.4 	to the commissioner for approval to change the location of an established office. An industrial 
15.5 	loan and thrift corporation that does not sell and issue thrift certificates for investment may 
15.6 	change one or more locations by giving 30 days' written notice to the Department of 
15.7 	Commerce which shall promptly amend the certificate of authorization accordingly. No 
15.8 	change in place of business of a company to a location outside of its current trade area or 
15.9 	more than 25 miles from its present location, whichever distance is greater, shall be permitted 
15.10 	under the same certificate unless all of the applicable requirements of this section have been 
15.11 	met. All money collected by the commissioner under this chapter must be deposited into 
15.12 	the financial institutions account under section 46.131, subdivision 11.

15.13 	Sec. 22. Minnesota Statutes 2020, section 53C.02, is amended to read:
15.14 	53C.02 SALES FINANCE COMPANY; LICENSE, FEES, REFUND.
15.15 	(a) No person shall engage in the business of a sales finance company in this state without 
15.16 	a license therefor as provided in sections 53C.01 to 53C.14 provided, however, that no bank, 
15.17 	trust company, savings bank, savings association, or credit union, whether state or federally 
15.18 	chartered, industrial loan and thrift company, or licensee under the Minnesota Regulated 
15.19 	Loan Act authorized to do business in this state shall be required to obtain a license under 
15.20 	sections 53C.01 to 53C.14.
15.21 	(b) The application for a license shall be in writing, under oath and in the form prescribed 
15.22 	by the commissioner. The application shall contain the name of the applicant; date of 
15.23 	incorporation, if incorporated; the address where the business is or is to be conducted and 
15.24 	similar information as to any branch office of the applicant; the name and resident address 
15.25 	of the owner or partners, or, if a corporation or association, of the directors, trustees and 
15.26 	principal officers, and other pertinent information the commissioner requires.
15.27 	(c) The licensee fee for the fiscal year beginning July 1 and ending June 30 of the 
15.28 	following year, or any part thereof shall be the sum of $250 for the principal place of business 
15.29 	of the licensee, and the sum of $125 for each branch of the licensee. Any licensee who 
15.30 	proves to the satisfaction of the commissioner, by affidavit or other proof satisfactory to 
15.31 	the commissioner, that during the 12 calendar months of the immediately preceding fiscal 
15.32 	year, for which the license has been paid that the licensee has not held retail installment 
15.33 	contracts exceeding $15,000 in amount, shall be entitled to a refund of that portion of each 
15.34 	license fee paid in excess of $25. The commissioner shall certify to the commissioner of 
16.1 	management and budget that the licensee is entitled to a refund, and payment thereof of the 
16.2 	refund shall be made by the commissioner of management and budget. The amount necessary 
16.3 	to pay for the refundment of the license fee is appropriated out of the general fund from the 
16.4 	financial institutions account under section 46.131, subdivision 11. All license fees received 
16.5 	by the commissioner under sections 53C.01 to 53C.14 shall be deposited with the 
16.6 	commissioner of management and budget.
16.7 	(d) Each license shall specify the location of the office or branch and must be 
16.8 	conspicuously displayed there. In case the location be changed, the commissioner shall 
16.9 	endorse the change of location on the license.
16.10 	(e) Upon the filing of such application, and the payment of the fee, the commissioner 
16.11 	shall issue a license to the applicant to engage in the business of a sales finance company 
16.12 	under and in accordance with the provisions of sections 53C.01 to 53C.14 for a period which 
16.13 	shall expire the last day of June next following the date of its issuance. The license shall 
16.14 	not be transferable or assignable. No licensee shall transact any business provided for by 
16.15 	sections 53C.01 to 53C.14 under any other name.
16.16 	(f) Section 58A.04, subdivisions 2 and 3, apply to this section.

16.17 	Sec. 23. Minnesota Statutes 2020, section 55.10, subdivision 1, is amended to read:
16.18 		Subdivision 1.Permitting access, removal, or delivery. When a safe deposit box shall 
16.19 	have been hired from any licensed safe deposit company in the name of two or more persons, 
16.20 	including husband and wife a married couple, with the right of access being given to either, 
16.21 	or with access to either or the survivor or survivors of the person, or property is held for 
16.22 	safekeeping by any licensed safe deposit company for two or more persons, including 
16.23 	husband and wife a married couple, with the right of delivery being given to either, or with 
16.24 	the right of delivery to either of the survivor or survivors of these persons, any one or more 
16.25 	of these persons, whether the other or others be living or not, shall have the right of access 
16.26 	to the safe deposit box and the right to remove all, or any part, of the contents thereof, or 
16.27 	to have delivered to all or any one of them, or any part of the valuable personal property so 
16.28 	held for safekeeping; and, in case of this access, removal, or delivery, the safe deposit 
16.29 	company shall be exempt from any liability for permitting the access, removal, or delivery.

17.1 	Sec. 24. Minnesota Statutes 2020, section 56.02, is amended to read:
17.2 	56.02 APPLICATION FEE.
17.3 	(a) Application for license shall be in writing, under oath, and in the form prescribed by 
17.4 	the commissioner, and contain the name and the address, both of the residence and place 
17.5 	of business, of the applicant and, if the applicant is a copartnership or association, of every 
17.6 	member thereof, and if a corporation, of each officer and director thereof; also the county 
17.7 	and municipality, with street and number, if any, where the business is to be conducted, and 
17.8 	such further information as the commissioner may require. The applicant at the time of 
17.9 	making application, shall pay to the commissioner the sum of $500 as a fee for investigating 
17.10 	the application, and the additional sum of $250 as an annual license fee for a period 
17.11 	terminating on the last day of the current calendar year. In addition to the annual license 
17.12 	fee, every licensee hereunder shall pay to the commissioner the actual costs of each 
17.13 	examination, as provided for in section 56.10. All moneys money collected by the 
17.14 	commissioner under this chapter shall be turned over to the commissioner of management 
17.15 	and budget and credited by the commissioner of management and budget to the general 
17.16 	fund of the state deposited in the financial institutions account under section 46.131, 
17.17 	subdivision 11.
17.18 	(b) Every applicant shall also prove, in form satisfactory to the commissioner, that the 
17.19 	applicant has available for the operation of the business at the location specified in the 
17.20 	application, liquid assets of at least $50,000.
17.21 	(c) Section 58A.04, subdivisions 2 and 3, apply to this section.

17.22 	Sec. 25. Minnesota Statutes 2020, section 60A.033, subdivision 8, is amended to read:
17.23 		Subd. 8.Costs. All bills for examination costs being charged to an insurance company 
17.24 	pursuant to subdivision 5 or section 60A.031, subdivision 3, paragraph (c), must:
17.25 	(1) be itemized and, with respect to examiner billings, contain activity detail on a quarterly 
17.26 	hourly basis by an individual examiner and disclose the applicable hourly billing rates, 
17.27 	together with per-charge detail for related travel or other expenses; and
17.28 	(2) provide a due date no less than 30 60 days from receipt of the bill.

17.29 	Sec. 26. Minnesota Statutes 2020, section 60A.033, subdivision 9, is amended to read:
17.30 		Subd. 9.Completion of examination. An examination under section 60A.031 must not 
17.31 	exceed 18 months from the date the commissioner receives the insurance company's first 
17.32 	submission pursuant to a scheduling order, unless:
18.1 	(1) the commissioner determines that there has been a material lack of cooperation by 
18.2 	the insurance company and advises the company in writing of the specific instances 
18.3 	demonstrating a lack of cooperation;
18.4 	(2) the examination is a multistate examination; or
18.5 	(3) the commissioner determines that additional time is necessary to complete the 
18.6 	examination and the commissioner notifies the insurance company in writing of the reasons 
18.7 	why the examination requires additional time.

18.8 	Sec. 27. Minnesota Statutes 2020, section 60A.033, is amended by adding a subdivision 
18.9 	to read:
18.10 		Subd. 11.Informal disposition. (a) The commissioner must make an attempt to 
18.11 	informally resolve any alleged violations of law identified during the examination or  
18.12 	investigation. An attempt to informally resolve a violation may consist of a consent order, 
18.13 	nonpublic letter of reprimand, or other informal resolution or disposition.
18.14 	(b) The terms of a consent order or other informal disposition that prescribes compliance 
18.15 	requirements must be consistent with the requirements of Minnesota law.

18.16 	Sec. 28. Minnesota Statutes 2020, section 60A.033, is amended by adding a subdivision 
18.17 	to read:
18.18 		Subd. 12.Report to the legislature. Each year by February 1, the commissioner must 
18.19 	report the following information to the chairs and ranking minority members of the house 
18.20 	of representatives and senate committees having jurisdiction over commerce:
18.21 	(1) a listing of the number of pending market conduct exams and the year the exams 
18.22 	were commenced;
18.23 	(2) the number of exams closed during the prior year and the current total of costs charged 
18.24 	to the companies for each exam;
18.25 	(3) whether the exam is being conducted, in whole or in part, by third-party examiners; 
18.26 	and
18.27 	(4) other information that the chairs or ranking minority members may reasonably 
18.28 	request, subject to the limitations of section 60A.031, subdivision 4, paragraph (f).

19.1 	Sec. 29. Minnesota Statutes 2020, section 60A.952, subdivision 2, is amended to read:
19.2 		Subd. 2.Notice to and cooperation with the Commerce Fraud Bureau. Any insurer 
19.3 	or insurance professional that has reasonable belief that an act of insurance fraud will be, 
19.4 	is being, or has been committed, shall may furnish and disclose all relevant information to 
19.5 	the Commerce Fraud Bureau or to any authorized person and cooperate fully with any 
19.6 	investigation conducted by the Commerce Fraud Bureau. Any person that has a reasonable 
19.7 	belief that an act of insurance fraud will be, is being, or has been committed, or any person 
19.8 	who collects, reviews, or analyzes information concerning insurance fraud may furnish and 
19.9 	disclose any information in its possession concerning the act to the Commerce Fraud Bureau, 
19.10 	any authorized person, or to an authorized representative of an insurer that requests the 
19.11 	information for the purpose of detecting, prosecuting, or preventing insurance fraud. The 
19.12 	insurer may also release relevant information to any person authorized to receive the 
19.13 	information under section 72A.502, subdivision 2. If disclosure is made to an authorized 
19.14 	person other than the Commerce Fraud Bureau, a copy of the disclosure must be sent to the 
19.15 	Commerce Fraud Bureau.

19.16 	Sec. 30. Minnesota Statutes 2020, section 60A.953, is amended to read:
19.17 	60A.953 ENFORCEMENT; REFUSAL TO COOPERATE WITH AN 
19.18 	INVESTIGATION.
19.19 	The intentional failure to provide relevant information as required by section 60A.952, 
19.20 	subdivision 1, or to provide notification of insurance fraud as required by section 60A.952, 
19.21 	subdivision 2, is punishable as a misdemeanor. It is unlawful for any person to knowingly 
19.22 	or intentionally interfere with the enforcement of the provisions of sections 60A.951 to 
19.23 	60A.956 or investigation of suspected or actual violations of sections 60A.951 to 60A.956
19.24 	and is punishable as a misdemeanor.

19.25 	Sec. 31. Minnesota Statutes 2020, section 60A.954, subdivision 1, is amended to read:
19.26 		Subdivision 1.Establishment. An insurer shall institute, implement, and maintain an 
19.27 	antifraud plan. For the purpose of this section, the term insurer does not include reinsurers, 
19.28 	the Workers' Compensation Reinsurance Association, self-insurers, and excess insurers. 
19.29 	Within 30 days after instituting or materially modifying an antifraud plan, the insurer shall 
19.30 	notify the commissioner in writing. The notice must include the name of the person 
19.31 	responsible for administering the plan. An antifraud plan shall establish procedures to:
20.1 	(1) prevent insurance fraud, including: internal fraud involving the insurer's officers, 
20.2 	employees, or agents; fraud resulting from misrepresentations on applications for insurance; 
20.3 	and claims fraud;
20.4 	(2) report insurance fraud to appropriate law enforcement authorities; and
20.5 	(3) cooperate with the prosecution of insurance fraud cases.

20.6 	Sec. 32. Minnesota Statutes 2020, section 65B.84, subdivision 1, is amended to read:
20.7 		Subdivision 1.Program described; commissioner's duties; appropriation. (a) The 
20.8 	commissioner of commerce shall:
20.9 	(1) develop and sponsor the implementation of statewide plans, programs, and strategies 
20.10 	to combat automobile theft, improve the administration of the automobile theft laws, and 
20.11 	provide a forum for identification of critical problems for those persons dealing with 
20.12 	automobile theft;
20.13 	(2) coordinate the development, adoption, and implementation of plans, programs, and 
20.14 	strategies relating to interagency and intergovernmental cooperation with respect to 
20.15 	automobile theft enforcement;
20.16 	(3) annually audit the plans and programs that have been funded in whole or in part to 
20.17 	evaluate the effectiveness of the plans and programs and withdraw funding should the 
20.18 	commissioner determine that a plan or program is ineffective or is no longer in need of 
20.19 	further financial support from the fund;
20.20 	(4) develop a plan of operation including:
20.21 	(i) an assessment of the scope of the problem of automobile theft, including areas of the 
20.22 	state where the problem is greatest;
20.23 	(ii) an analysis of various methods of combating the problem of automobile theft;
20.24 	(iii) a plan for providing financial support to combat automobile theft;
20.25 	(iv) a plan for eliminating car hijacking; and
20.26 	(v) an estimate of the funds required to implement the plan; and
20.27 	(5) distribute money, in consultation with the commissioner of public safety, pursuant 
20.28 	to subdivision 3 from the automobile theft prevention special revenue account for automobile 
20.29 	theft prevention activities, including:
20.30 	(i) paying the administrative costs of the program;
21.1 	(ii) providing financial support to the State Patrol and local law enforcement agencies 
21.2 	for automobile theft enforcement teams;
21.3 	(iii) providing financial support to state or local law enforcement agencies for programs 
21.4 	designed to reduce the incidence of automobile theft and for improved equipment and 
21.5 	techniques for responding to automobile thefts;
21.6 	(iv) providing financial support to local prosecutors for programs designed to reduce 
21.7 	the incidence of automobile theft;
21.8 	(v) providing financial support to judicial agencies for programs designed to reduce the 
21.9 	incidence of automobile theft;
21.10 	(vi) providing financial support for neighborhood or community organizations or business 
21.11 	organizations for programs designed to reduce the incidence of automobile theft and to 
21.12 	educate people about the common methods of automobile theft, the models of automobiles 
21.13 	most likely to be stolen, and the times and places automobile theft is most likely to occur; 
21.14 	and
21.15 	(vii) providing financial support for automobile theft educational and training programs 
21.16 	for state and local law enforcement officials, driver and vehicle services exam and inspections 
21.17 	staff, and members of the judiciary.
21.18 	(b) The commissioner may not spend in any fiscal year more than ten 7.5 percent of the 
21.19 	money in the fund for the program's administrative and operating costs. The commissioner 
21.20 	is annually appropriated and must distribute the amount of the proceeds credited to the 
21.21 	automobile theft prevention special revenue account each year, less the transfer of $1,300,000 
21.22 	each year to the insurance fraud prevention account described in section 297I.11, subdivision 
21.23 	2.
21.24 	(c) At the end of each fiscal year, the commissioner may transfer any unobligated balances 
21.25 	in the auto theft prevention account to the insurance fraud prevention account under section 
21.26 	45.0135, subdivision 6.

21.27 	Sec. 33. Minnesota Statutes 2020, section 65B.84, subdivision 2, is amended to read:
21.28 		Subd. 2.Annual report. By January 15 of September 30 each year, the commissioner 
21.29 	shall report to the governor and the chairs and ranking minority members of the house of 
21.30 	representatives and senate committees having jurisdiction over the Departments of Commerce 
21.31 	and Public Safety on the activities and expenditures in the preceding year.

22.1 	Sec. 34. Minnesota Statutes 2020, section 80A.61, is amended to read:
22.2 	80A.61 SECTION 406; REGISTRATION BY BROKER-DEALER, AGENT, 
22.3 	FUNDING PORTAL, INVESTMENT ADVISER, AND INVESTMENT ADVISER 
22.4 	REPRESENTATIVE.
22.5 	(a) Application for initial registration by broker-dealer, agent, investment adviser, 
22.6 	or investment adviser representative. A person shall register as a broker-dealer, agent, 
22.7 	investment adviser, or investment adviser representative by filing an application and a 
22.8 	consent to service of process complying with section 80A.88, and paying the fee specified 
22.9 	in section 80A.65 and any reasonable fees charged by the designee of the administrator for 
22.10 	processing the filing. The application must contain:
22.11 	(1) the information or record required for the filing of a uniform application; and
22.12 	(2) upon request by the administrator, any other financial or other information or record 
22.13 	that the administrator determines is appropriate.
22.14 	(b) Amendment. If the information or record contained in an application filed under 
22.15 	subsection (a) is or becomes inaccurate or incomplete in a material respect, the registrant 
22.16 	shall promptly file a correcting amendment.
22.17 	(c) Effectiveness of registration. If an order is not in effect and a proceeding is not 
22.18 	pending under section 80A.67, registration becomes effective at noon on the 45th day after 
22.19 	a completed application is filed, unless the registration is denied. A rule adopted or order 
22.20 	issued under this chapter may set an earlier effective date or may defer the effective date 
22.21 	until noon on the 45th day after the filing of any amendment completing the application.
22.22 	(d) Registration renewal. A registration is effective until midnight on December 31 of 
22.23 	the year for which the application for registration is filed. Unless an order is in effect under 
22.24 	section 80A.67, a registration may be automatically renewed each year by filing such records 
22.25 	as are required by rule adopted or order issued under this chapter, by paying the fee specified 
22.26 	in section 80A.65, and by paying costs charged by the designee of the administrator for 
22.27 	processing the filings.
22.28 	(e) Additional conditions or waivers. A rule adopted or order issued under this chapter 
22.29 	may impose such other conditions, not inconsistent with the National Securities Markets 
22.30 	Improvement Act of 1996. An order issued under this chapter may waive, in whole or in 
22.31 	part, specific requirements in connection with registration as are in the public interest and 
22.32 	for the protection of investors.
23.1 	(f) Funding portal registration. A funding portal that has its principal place of business 
23.2 	in the state of Minnesota shall register with the state of Minnesota by filing with the 
23.3 	administrator a copy of the information or record required for the filing of an application 
23.4 	for registration as a funding portal in the manner established by the Securities and Exchange 
23.5 	Commission and/or the Financial Institutions Regulatory Authority (FINRA), along with 
23.6 	any rule adopted or order issued, and any amendments thereto.
23.7 	(g) Application for investment adviser representative registration.
23.8 	(1) The application for initial registration as an investment adviser representative pursuant 
23.9 	to section 80A.58 is made by completing Form U-4 (Uniform Application for Securities 
23.10 	Industry Registration or Transfer) in accordance with the form instructions and by filing 
23.11 	the form U-4 with the IARD. The application for initial registration must also include the 
23.12 	following:
23.13 	(i) proof of compliance by the investment adviser representative with the examination 
23.14 	requirements of:
23.15 	(A) the Uniform Investment Adviser Law Examination (Series 65); or
23.16 	(B) the General Securities Representative Examination (Series 7) and the Uniform 
23.17 	Combined State Law Examination (Series 66);
23.18 	(ii) any other information the administrator may reasonably require.
23.19 	(2) The application for the annual renewal registration as an investment adviser 
23.20 	representative shall be filed with the IARD.
23.21 	(3)(i) The investment adviser representative is under a continuing obligation to update 
23.22 	information required by Form U-4 as changes occur;
23.23 	(ii) An investment adviser representative and the investment adviser must file promptly 
23.24 	with the IARD any amendments to the representative's Form U-4; and
23.25 	(iii) An amendment will be considered to be filed promptly if the amendment is filed 
23.26 	within 30 days of the event that requires the filing of the amendment.
23.27 	(4) An application for initial or renewal of registration is not considered filed for purposes 
23.28 	of section 80A.58 until the required fee and all required submissions have been received 
23.29 	by the administrator.
23.30 	(5) The application for withdrawal of registration as an investment adviser representative 
23.31 	pursuant to section 80A.58 shall be completed by following the instructions on Form U-5 
24.1 	(Uniform Termination Notice for Securities Industry Registration) and filed upon Form U-5 
24.2 	with the IARD.

24.3 	Sec. 35. Minnesota Statutes 2020, section 80C.05, subdivision 2, is amended to read:
24.4 		Subd. 2.Commissioner's powers. The commissioner shall have power to place such 
24.5 	conditions, limitations, and restrictions on any registration as may be necessary to carry out 
24.6 	the purposes of sections 80C.01 to 80C.22. Upon compliance with the provisions of sections 
24.7 	80C.01 to 80C.22 and other requirements of the commissioner, and if the commissioner 
24.8 	finds no ground for denial of the registration, the commissioner shall register the franchise. 
24.9 	Registration shall be by entry in a book called Register of Franchises, which entry shall 
24.10 	show the franchise registered and for whom registered, and shall specify the conditions, 
24.11 	limitations, and restrictions upon such registration, if any, or shall make proper reference 
24.12 	to a formal order of the commissioner on file showing such conditions, limitations, and 
24.13 	restrictions. The registration shall become effective upon issuance by the commissioner of 
24.14 	an order for registration.

24.15 	Sec. 36. Minnesota Statutes 2020, section 80C.08, subdivision 1, is amended to read:
24.16 		Subdivision 1.Filing; fee. Within 120 days after the fiscal year end of the registrant, 
24.17 	the registrant shall A registration is effective for 12 months from the date the commissioner's 
24.18 	order is issued. A registrant must file a report in the form prescribed by rule of the 
24.19 	commissioner before the end of the registration effective period. A fee of $200 shall 
24.20 	accompany the annual report.

24.21 	EFFECTIVE DATE; APPLICABILITY. This section is effective January 1, 2023, 
24.22 	and applies to initial registrations filed on or after that date.

24.23 	Sec. 37. Minnesota Statutes 2020, section 80G.01, subdivision 3, is amended to read:
24.24 		Subd. 3.Dealer. (a) Subject to the exceptions in paragraph (b), a "dealer" means any 
24.25 	person who buys, sells, solicits, or markets bullion products or investments in bullion 
24.26 	products to consumers and: conducts Minnesota transactions.
24.27 	(1) is incorporated, registered, domiciled, or otherwise located in this state;
24.28 	(2) has a dealer representative located in this state; or
24.29 	(3) does business with a consumer at a location in this state, or delivers or ships a bullion 
24.30 	product or makes a payment to a consumer at an address in this state, unless the transaction 
24.31 	occurs when the consumer is at a business location outside of this state.
25.1 	(b) A dealer does not include any of the following persons:
25.2 	(1) a person who engages only in wholesale bullion product transactions with other 
25.3 	persons who engage only in wholesale bullion product transactions or with dealers who buy 
25.4 	or sell at retail and are properly registered under this chapter;
25.5 	(2) a person who engages only in transactions at occasional garage or yard sales held at 
25.6 	the seller's residence, farm auctions held at the seller's residence, or estate sales held at the 
25.7 	decedent's residence;
25.8 	(3) a person who is properly registered pursuant to chapter 80A, or the federal Securities 
25.9 	Exchange Act of 1934 and rules promulgated thereunder as a securities broker dealer or 
25.10 	broker dealer agent;
25.11 	(4) an auctioneer who auctions bullion products on behalf of an owner, if the auctioneer 
25.12 	does not take title or ownership of the bullion products, or the operator of an Internet website 
25.13 	that allows users to offer the sale of bullion products through that website, does not set the 
25.14 	price, is not the seller of record, and does not take possession of any bullion products to be 
25.15 	offered; or
25.16 	(5) a person who engages only in transactions at no more than 12 trade shows per year 
25.17 	in this state where the consumer is present and the transaction is made at the trade show; 
25.18 	or
25.19 	(6) (5) a federally or state-chartered bank, bank and trust, savings bank, savings 
25.20 	association, or credit union or any operating subsidiary of them.

25.21 	Sec. 38. Minnesota Statutes 2020, section 80G.01, is amended by adding a subdivision to 
25.22 	read:
25.23 		Subd. 5a.Minnesota transaction. "Minnesota transaction" means a bullion product 
25.24 	transaction conducted:
25.25 	(1) by a dealer that is incorporated, registered, domiciled, or otherwise located in 
25.26 	Minnesota;
25.27 	(2) by a dealer representative at a location in Minnesota;
25.28 	(3) between a dealer and a consumer who lives in Minnesota; or
25.29 	(4) between a dealer and a Minnesota consumer when the transaction involves:
25.30 	(i) delivering or shipping a bullion product to an address in Minnesota;
26.1 	(ii) delivering to or shipping from a precious metal depository on behalf of a Minnesota 
26.2 	resident; or
26.3 	(iii) making payment to a consumer or receiving a payment from a consumer at an 
26.4 	address in Minnesota, unless the transaction occurs when the consumer is at a business 
26.5 	location outside of Minnesota.

26.6 	Sec. 39. Minnesota Statutes 2020, section 80G.02, subdivision 1, is amended to read:
26.7 		Subdivision 1.Registration required.  It is unlawful for a dealer or dealer representative 
26.8 	to solicit, market, buy, sell, or deliver bullion products or investments in bullion products 
26.9 	to a consumer conduct a Minnesota transaction without being registered by the commissioner 
26.10 	as provided for in this chapter. A dealer must submit an application to register itself and 
26.11 	each of its dealer representatives within 45 days of reaching $25,000 in the aggregate of 
26.12 	bullion product transactions with consumers Minnesota transactions between July 1 and 
26.13 	June 30 of any year, as determined by the transactions' sale or purchase prices. Once a dealer 
26.14 	is required to register itself and its dealer representatives, the dealer must thereafter renew 
26.15 	its registration and the registration of each of its dealer representatives in accordance with 
26.16 	this chapter, regardless of the aggregate annual amount of transactions, unless the person 
26.17 	ceases to be a dealer. A dealer representative may not buy, sell, solicit, or market bullion 
26.18 	products or investments in bullion products on behalf of a dealer unless the dealer is properly 
26.19 	registered with the commissioner under this section.

26.20 	Sec. 40. Minnesota Statutes 2020, section 80G.02, subdivision 4, is amended to read:
26.21 		Subd. 4.Notice of change in registration information. A registered dealer must provide 
26.22 	the commissioner written notice of a change in the dealer's name, assumed names, doing 
26.23 	business as names, business addresses, including all business addresses at which it or its 
26.24 	dealer representatives conduct business, owners, e-mail addresses, website domain names, 
26.25 	or primary telephone number used by it or its dealer representatives to buy, sell, solicit, or 
26.26 	market to consumers bullion products or investments in bullion products no later than 30 
26.27 	days after the change occurs.

26.28 	Sec. 41. Minnesota Statutes 2020, section 80G.03, subdivision 2, is amended to read:
26.29 		Subd. 2. Dealer responsibility for actions of dealer representatives. The commissioner 
26.30 	may take action against a dealer for any violations of this chapter by its dealer representatives 
26.31 	conducting activities Minnesota transactions on behalf of or at the direction of the dealer. 
26.32 	The commissioner may also take action against the dealer representative.

27.1 	Sec. 42. Minnesota Statutes 2020, section 80G.04, subdivision 1, is amended to read:
27.2 		Subdivision 1. Dealer registration precluded. The commissioner must deny an 
27.3 	application for registration or renewal of a dealer, or revoke such registration, if the bullion 
27.4 	coin product dealer or its owners or officers have within the last ten years been convicted 
27.5 	in any court of any financial crime or other crime involving fraud or theft.

27.6 	Sec. 43. Minnesota Statutes 2020, section 80G.05, subdivision 1, is amended to read:
27.7 		Subdivision 1.Screening process required. Each registered dealer must establish 
27.8 	procedures to screen each of its owners and officers and each of its dealer representatives 
27.9 	prior to submitting the application to the commissioner for initial registration and at each 
27.10 	renewal. The results of such screenings shall be kept on file by the dealer and, if requested 
27.11 	by the commissioner, provided to the commissioner as part of the initial registration and all 
27.12 	renewal registrations.

27.13 	Sec. 44. Minnesota Statutes 2021 Supplement, section 80G.06, subdivision 1, is amended 
27.14 	to read:
27.15 		Subdivision 1.Surety bond requirement. (a) Every dealer shall maintain a current, 
27.16 	valid surety bond issued by a surety company admitted to do business in Minnesota in an 
27.17 	amount based on the Minnesota transactions conducted with Minnesota consumers (purchases 
27.18 	from and sales to consumers at retail) during the 12-month period prior to registration, or 
27.19 	renewal, whichever is applicable.
27.20 	(b) The amount of the surety bond shall be as specified in the table below:

27.21
27.22	Transaction Amount in Preceding 
12-month Period
	Surety Bond Required
	
27.23	$0 $25,000 to $200,000
	$25,000
	
27.24	$200,000.01 to $500,000
	$50,000
	
27.25	$500,000.01 to $1,000,000
	$100,000
	
27.26	$1,000,000.01 to $2,000,000
	$150,000
	
27.27	Over $2,000,000
	$200,000

27.28 	Sec. 45. Minnesota Statutes 2020, section 80G.06, subdivision 2, is amended to read:
27.29 		Subd. 2.Action on bond permitted. A consumer involved in a Minnesota transaction 
27.30 	who is injured in money or property by a dealer's or dealer representative's failure to provide 
27.31 	bullion products that the consumer has paid for or failure to remit money or goods owed to 
27.32 	the consumer in connection with the consumer's sale of bullion products comply with this 
28.1 	chapter may file a claim with the surety and if the claim is not paid, is authorized to bring 
28.2 	an action based on the bond and recover against the surety. The commissioner or attorney 
28.3 	general may also file a claim and bring an action on the bond and recover against the surety 
28.4 	on behalf of a consumer so injured.

28.5 	Sec. 46. Minnesota Statutes 2020, section 80G.07, subdivision 1, is amended to read:
28.6 		Subdivision 1.Sales practices. No When conducting a Minnesota transaction, a dealer 
28.7 	or dealer representative shall must not:
28.8 	(1) prior to a transaction regarding bullion products, or concurrent with the delivery 
28.9 	thereof, fail to provide to the consumer an invoice, which, in a clear and conspicuous manner, 
28.10 	discloses the dealer's registration number, the Department of Commerce's e-mail address 
28.11 	and telephone number, the sale or purchase price, the quantity of the bullion products, and 
28.12 	specifically identifies and describes the bullion products, as well as their precious metal 
28.13 	content, but only if it differs from the precious metal content specified by a government 
28.14 	mint issuing the product and struck on the product, or if the product is not issued by a 
28.15 	government mint;
28.16 	(2) fail to investigate any consumer complaint and retain records of all consumer 
28.17 	complaints, the results of its investigations, and the dealer's response and resolution of the 
28.18 	complaint;
28.19 	(3) fail to deliver by common carrier bullion products to a consumer within the time 
28.20 	agreed upon with the consumer or, if no such agreement exists, within 30 days after the 
28.21 	consumer has paid for the bullion products;
28.22 	(4) fail to pay a consumer for purchased bullion products within the time agreed upon 
28.23 	with the consumer or, if no such agreement exists, within 30 days after the consumer has 
28.24 	provided the bullion products;
28.25 	(5) misrepresent the delivery date of bullion products or payment for bullion products, 
28.26 	or the dealer or representative's professional qualifications, affiliations, or registration;
28.27 	(6) misrepresent any material aspect of a bullion product, including its performance, 
28.28 	efficacy, nature, investment value, central characteristics, liquidity, earnings potential, or 
28.29 	profitability;
28.30 	(7) misrepresent the manner in which any bullion products a consumer provides will be 
28.31 	stored or otherwise handled once received;
29.1 	(8) renegotiate the terms of a sale or purchase after receiving a consumer's payment or 
29.2 	bullion products without first obtaining the consumer's agreement to renegotiate and offering 
29.3 	the consumer the option to have the payment fully refunded or the entirety of the bullion 
29.4 	products returned;
29.5 	(9) fail to respond within three business days to a consumer inquiry about the delivery 
29.6 	status of bullion products that the consumer has paid for but not yet received or the status 
29.7 	of a payment for bullion products that the consumer has already provided;
29.8 	(10) telephone or solicit a consumer, or sell or provide the consumer's name to any other 
29.9 	dealer or dealer representative, after the consumer requests not to be contacted;
29.10 	(11) violate a subpoena or order of the commissioner or a court;
29.11 	(12) make any communication to a potential buyer or seller of bullion products that 
29.12 	misrepresents the relationship, if any, between the dealer or dealer representative and any 
29.13 	government agency or mint;
29.14 	(13) improperly withhold, misappropriate, or convert any money or properties received 
29.15 	in the course of buying, selling, soliciting, or marketing bullion products or investments in 
29.16 	bullion products to consumers;
29.17 	(14) misrepresent the terms of an actual or proposed purchase or sale of bullion products 
29.18 	or investment in bullion products to a consumer; or
29.19 	(15) violate any other federal, state, or local law or rule related to selling, purchasing, 
29.20 	soliciting, or marketing of bullion products, investments in bullion products, or precious 
29.21 	metals, or any federal, state, or local law related to fraudulent, coercive, or dishonest 
29.22 	practices, or federal, state, or local law related to taxation or labor standards.

29.23 	Sec. 47. Minnesota Statutes 2021 Supplement, section 80G.11, is amended to read:
29.24 	80G.11 NOTIFICATION TO COMMISSIONER.
29.25 	A registered dealer must notify the commissioner of any dealer representative termination 
29.26 	within ten days of the termination if the termination is based in whole or in part on a violation 
29.27 	of this chapter.

29.28 	Sec. 48. Minnesota Statutes 2020, section 82B.03, is amended by adding a subdivision to 
29.29 	read:
29.30 		Subd. 4.Minimum damage acquisition report. A real estate appraiser may provide a 
29.31 	minimum damage acquisition report for purposes of section 117.036. When providing a 
30.1 	minimum damage acquisition report, a real estate appraiser is not engaged in real estate 
30.2 	appraisal activity and is not subject to this chapter.

30.3 	EFFECTIVE DATE. This section is effective September 1, 2022.

30.4 	Sec. 49. Minnesota Statutes 2020, section 82B.19, is amended by adding a subdivision to 
30.5 	read:
30.6 		Subd. 5.Out-of-state continuing education credit. (a) For purposes of this subdivision, 
30.7 	the following terms have the meanings given:
30.8 	(1) "asynchronous educational offering" has the meaning given in the most recent version 
30.9 	of the Real Property Appraiser Qualification Criteria, as established by the Appraiser 
30.10 	Qualifications Board; and
30.11 	(2) "synchronous educational offering" has the meaning given in the most recent version 
30.12 	of the Real Property Appraiser Qualification Criteria, as established by the Appraiser 
30.13 	Qualifications Board, and includes an educational process based on live or real-time 
30.14 	instruction where there is no geographic separation of instructor and student.
30.15 	(b) Notwithstanding section 45.30, subdivisions 1 and 6, a real estate appraiser may 
30.16 	submit, in a form prescribed by the commissioner, an application for continuing education 
30.17 	credit for a synchronous educational offering that has not been submitted for prior approval 
30.18 	in Minnesota. The commissioner must grant a real estate appraiser continuing education 
30.19 	credit if:
30.20 	(1) the application is submitted on or before August 1 of the year in which the real estate 
30.21 	appraiser license is due for renewal;
30.22 	(2) the synchronous educational offering has been approved for continuing education 
30.23 	credit by the regulator of real estate appraisers in at least one other state or United States 
30.24 	territory; and
30.25 	(3) an application is submitted by the real estate appraiser to the commissioner within 
30.26 	30 days of successful completion of the synchronous education offering.
30.27 	(c) The application must include a certificate of successful completion from the 
30.28 	synchronous education offering provider. The commissioner must grant a real estate appraiser 
30.29 	the same number of continuing education credits for the successful completion of the 
30.30 	synchronous educational offering as was approved for the offering by the out-of-state real 
30.31 	estate appraiser regulatory authority. The commissioner must grant a real estate appraiser 
31.1 	continuing education credit within 60 days of the submission of the completed application 
31.2 	for out-of-state continuing education credit.
31.3 	(d) The commissioner may charge a fee to a real estate appraiser, in an amount determined 
31.4 	by the commissioner, to submit an application under this subdivision.
31.5 	(e) This subdivision does not apply to asynchronous educational offerings.

31.6 	EFFECTIVE DATE. This section is effective September 1, 2022.

31.7 	Sec. 50. Minnesota Statutes 2021 Supplement, section 82B.25, subdivision 2, is amended 
31.8 	to read:
31.9 		Subd. 2.Education. Within two years of receiving a license under this chapter and as 
31.10 	required by the Appraiser Qualifications Board, A real property appraiser shall provide to 
31.11 	the commissioner evidence of satisfactory completion of a continuing education course on 
31.12 	the valuation bias of real property. An appraiser licensed after September 1, 2021, must 
31.13 	complete the course required by this section prior to the appraiser's first license renewal.

31.14 	EFFECTIVE DATE. This section is effective September 1, 2022.

31.15 	Sec. 51. Minnesota Statutes 2020, section 82C.17, subdivision 2, is amended to read:
31.16 		Subd. 2.Evidence. (a) An appraisal management company can evidence that the fees 
31.17 	paid to an appraiser were reasonable and customary through:
31.18 	(1) objective third-party information, including, but not limited to, government agency 
31.19 	fee schedules or academic studies. An academic study used must exclude appraisal 
31.20 	assignments ordered by an appraisal management company. The commissioner may establish 
31.21 	a fee scheduled for use by an appraisal management company; or
31.22 	(2) reviewing each of the following factors and making adjustments to recent fees paid 
31.23 	for appraisal services performed in the market area:
31.24 	(i) the type of property appraised;
31.25 	(ii) the scope of the appraisal work;
31.26 	(iii) the time in which the appraisal service must be performed;
31.27 	(iv) appraiser qualifications;
31.28 	(v) appraiser experience and professional record; and
31.29 	(vi) appraiser work quality.
32.1 	(b) The fees paid for a complex appraisal assignment shall reflect the increased time, 
32.2 	difficulty, and scope of work required.
32.3 	(c) An appraisal management company shall maintain written documentation describing 
32.4 	and substantiating all methods and information used to determine the customary and 
32.5 	reasonable fees required by this section.

32.6 	EFFECTIVE DATE. This section is effective September 1, 2022.

32.7 	Sec. 52. [214.035] LICENSING DISQUALIFICATIONS; PRELIMINARY 
32.8 	APPLICATIONS; REPORTS.
32.9 		Subdivision 1.Definition. As used in this section, "state licensor" or "licensor" means 
32.10 	any state agency or examining and licensing board that issues occupational or professional 
32.11 	licenses, registrations, or certificates. State licensor or licensor does not include the 
32.12 	Department of Health, Department of Human Services, or any health-related licensing board, 
32.13 	as defined in section 214.01, subdivision 2.
32.14 		Subd. 2.Preliminary applications. (a) Notwithstanding any law to the contrary, all 
32.15 	state licensors shall permit a person to submit a preliminary application for a determination 
32.16 	pursuant to this section as to whether a criminal conviction or any other record of alleged 
32.17 	misconduct that may be considered by the state licensor under state law would make the 
32.18 	person ineligible to receive an occupational or professional license, registration, or certificate 
32.19 	issued by the state licensor.
32.20 	(b) An applicant shall submit a preliminary application and any other supporting 
32.21 	documents to the appropriate state licensor in a form and manner approved by the licensor. 
32.22 	The state licensor may require that the applicant provide a copy of the applicant's criminal 
32.23 	record or complete a background check or background study if required by statute in the 
32.24 	form and manner approved by the licensor to obtain a professional or occupational license, 
32.25 	registration, or certificate from the licensor.
32.26 	(c) A state licensor may charge a fee to cover any expenses incurred in connection with 
32.27 	processing a preliminary application, provided the fee does not exceed the actual cost to 
32.28 	the state licensor of processing the application or the initial fee for the applicable license, 
32.29 	registration, or certificate. If the applicant subsequently applies for the license, registration, 
32.30 	or certificate, the amount of the preliminary application fee paid by the applicant must be 
32.31 	credited toward the applicant's initial fee for the license, registration, or certificate. An 
32.32 	applicant may request a waiver of this fee. A fee collected under this paragraph for the 
32.33 	expenses incurred by the state licensor shall be deposited in the fund in the state treasury 
33.1 	in which the state licensor deposits fees collected for issuing occupational or professional 
33.2 	licenses, registrations, or certificates. If the state licensor does not collect a fee for issuing 
33.3 	occupational or professional licenses, registrations, or certificates, any fee collected under 
33.4 	this paragraph shall be deposited pursuant to section 214.06, subdivision 1.
33.5 	(d) Upon receipt of a completed preliminary application and any necessary supporting 
33.6 	documents, the state licensor must determine under state law whether a criminal conviction 
33.7 	or other record of alleged misconduct that may be considered under state law would make 
33.8 	the applicant ineligible to receive a professional or occupational license, registration, or 
33.9 	certificate from the licensor. The state licensor must issue a written decision within 60 days 
33.10 	of receiving a completed preliminary application. If the state licensor determines that a 
33.11 	criminal conviction or other record of alleged misconduct would make the applicant ineligible 
33.12 	to receive a professional or occupational license, registration, or certificate, the written 
33.13 	decision must:
33.14 	(1) state all reasons the professional or occupational license, registration, or certificate 
33.15 	would be denied, including the standard used to make the decision;
33.16 	(2) notify the applicant of the right to appeal the decision or seek reconsideration of the 
33.17 	results of a background check or background study, if applicable; and
33.18 	(3) inform the applicant of any action or additional steps the applicant could take to 
33.19 	qualify for a professional or occupational license, registration, or certificate.
33.20 	(e) If a state licensor determines that no criminal convictions or other records of alleged 
33.21 	misconduct would make the applicant ineligible to receive a professional or occupational 
33.22 	license, registration, or certificate, that decision is binding on the licensor unless the decision 
33.23 	is clearly erroneous under state law or the applicant:
33.24 	(1) is convicted of a crime or commits any other disqualifying act that may be considered 
33.25 	by the state licensor under state law after submission of the preliminary application;
33.26 	(2) provided incomplete information in the preliminary application; or
33.27 	(3) provided inaccurate or fraudulent information in the preliminary application.
33.28 	(f) This section does not apply to a state licensor that does not require an applicant to 
33.29 	provide a criminal record, complete a background check, or complete a background study.
33.30 		Subd. 3.Reports. (a) By January 15 of each year, every state licensor shall report to the 
33.31 	Department of Employment and Economic Development on:
34.1 	(1) the number of individuals who applied for a professional or occupational license, 
34.2 	registration, or certificate from the licensor;
34.3 	(2) the number of individuals described in clause (1) who were found to be ineligible 
34.4 	due to a criminal conviction or other record of alleged misconduct;
34.5 	(3) the number of individuals who submitted a preliminary application under this section; 
34.6 	and
34.7 	(4) the number of individuals described in clause (3) who were found to be ineligible 
34.8 	due to a criminal conviction or other record of alleged misconduct.
34.9 	(b) On or before February 15 of each year, the commissioner of employment and 
34.10 	economic development shall compile the reports received under paragraph (a) and provide 
34.11 	the compiled reports to the chairs and ranking minority members of the house of 
34.12 	representatives and senate committees and divisions with jurisdiction over employment. 
34.13 	The commissioner of employment and economic development must make the report readily 
34.14 	available on the department's public website.

34.15 	Sec. 53. Minnesota Statutes 2020, section 239.761, subdivision 3, is amended to read:
34.16 		Subd. 3.Gasoline. (a) Gasoline that is not blended with biofuel must not be contaminated 
34.17 	with water or other impurities and must comply with ASTM specification D4814-11b. 
34.18 	Gasoline that is not blended with biofuel must also comply with the volatility requirements 
34.19 	in Code of Federal Regulations, title 40, part 80 1090.
34.20 	(b) After gasoline is sold, transferred, or otherwise removed from a refinery or terminal, 
34.21 	a person responsible for the product:
34.22 	(1) may blend the gasoline with agriculturally derived ethanol as provided in subdivision 
34.23 	4;
34.24 	(2) shall not blend the gasoline with any oxygenate other than biofuel;
34.25 	(3) shall not blend the gasoline with other petroleum products that are not gasoline or 
34.26 	biofuel;
34.27 	(4) shall not blend the gasoline with products commonly and commercially known as 
34.28 	casinghead gasoline, absorption gasoline, condensation gasoline, drip gasoline, or natural 
34.29 	gasoline; and
34.30 	(5) may blend the gasoline with a detergent additive, an antiknock additive, or an additive 
34.31 	designed to replace tetra-ethyl lead, that is registered by the EPA.

35.1 	Sec. 54. Minnesota Statutes 2020, section 239.761, subdivision 4, is amended to read:
35.2 		Subd. 4.Gasoline blended with ethanol; general. (a) Gasoline may be blended with 
35.3 	agriculturally derived, denatured ethanol that complies with the requirements of subdivision 
35.4 	5.
35.5 	(b) A gasoline-ethanol blend must:
35.6 	(1) comply with the volatility requirements in Code of Federal Regulations, title 40, part 
35.7 	80 1090;
35.8 	(2) comply with ASTM specification D4814-11b, or the gasoline base stock from which 
35.9 	a gasoline-ethanol blend was produced must comply with ASTM specification D4814-11b; 
35.10 	and
35.11 	(3) not be blended with casinghead gasoline, absorption gasoline, condensation gasoline, 
35.12 	drip gasoline, or natural gasoline after the gasoline-ethanol blend has been sold, transferred, 
35.13 	or otherwise removed from a refinery or terminal.

35.14 	Sec. 55. Minnesota Statutes 2020, section 239.791, subdivision 2a, is amended to read:
35.15 		Subd. 2a.Federal Clean Air Act waivers; conditions. (a) Before a waiver granted by 
35.16 	the United States Environmental Protection Agency under United States Code, title 42, 
35.17 	section 7545, may alter the minimum content level required by subdivision 1, paragraph 
35.18 	(a), clause (1), item (ii), the waiver must:
35.19 	(1) apply to all gasoline-powered motor vehicles irrespective of model year; and
35.20 	(2) allow for special regulatory treatment of Reid vapor pressure under Code of Federal 
35.21 	Regulations, title 40, section 80.27 part 1090.215, paragraph (d) (b), for blends of gasoline 
35.22 	and ethanol up to the maximum percent of denatured ethanol by volume authorized under 
35.23 	the waiver.
35.24 	(b) The minimum biofuel requirement in subdivision 1, paragraph (a), clause (1), item 
35.25 	(ii), shall, upon the grant of the federal waiver, be effective the day after the commissioner 
35.26 	of commerce publishes notice in the State Register. In making this determination, the 
35.27 	commissioner shall consider the amount of time required by refiners, retailers, pipeline and 
35.28 	distribution terminal companies, and other fuel suppliers, acting expeditiously, to make the 
35.29 	operational and logistical changes required to supply fuel in compliance with the minimum 
35.30 	biofuel requirement.

36.1 	Sec. 56. Minnesota Statutes 2020, section 296A.01, subdivision 23, is amended to read:
36.2 		Subd. 23.Gasoline. (a) "Gasoline" means:
36.3 	(1) all products commonly or commercially known or sold as gasoline regardless of 
36.4 	their classification or uses, except casinghead gasoline, absorption gasoline, condensation 
36.5 	gasoline, drip gasoline, or natural gasoline that under the requirements of section 239.761, 
36.6 	subdivision 3, must not be blended with gasoline that has been sold, transferred, or otherwise 
36.7 	removed from a refinery or terminal; and
36.8 	(2) any liquid prepared, advertised, offered for sale or sold for use as, or commonly and 
36.9 	commercially used as, a fuel in spark-ignition, internal combustion engines, and that when 
36.10 	tested by the Weights and Measures Division meets the specifications in ASTM specification 
36.11 	D4814-11b.
36.12 	(b) Gasoline that is not blended with ethanol must not be contaminated with water or 
36.13 	other impurities and must comply with both ASTM specification D4814-11b and the volatility 
36.14 	requirements in Code of Federal Regulations, title 40, part 80 1090.
36.15 	(c) After gasoline is sold, transferred, or otherwise removed from a refinery or terminal, 
36.16 	a person responsible for the product:
36.17 	(1) may blend the gasoline with agriculturally derived ethanol, as provided in subdivision 
36.18 	24;
36.19 	(2) must not blend the gasoline with any oxygenate other than denatured, agriculturally 
36.20 	derived ethanol;
36.21 	(3) must not blend the gasoline with other petroleum products that are not gasoline or 
36.22 	denatured, agriculturally derived ethanol;
36.23 	(4) must not blend the gasoline with products commonly and commercially known as 
36.24 	casinghead gasoline, absorption gasoline, condensation gasoline, drip gasoline, or natural 
36.25 	gasoline; and
36.26 	(5) may blend the gasoline with a detergent additive, an antiknock additive, or an additive 
36.27 	designed to replace tetra-ethyl lead, that is registered by the EPA.

36.28 	Sec. 57. Minnesota Statutes 2020, section 332.33, subdivision 3, is amended to read:
36.29 		Subd. 3.Term. Licenses issued or renewed and registrations received by the 
36.30 	commissioner of commerce under sections 332.31 to 332.44 shall expire on June 30. Each 
36.31 	collection agency license shall plainly state the name and business address of the licensee, 
36.32 	and shall be posted in a conspicuous place in the office where the business is transacted. 
37.1 	The fee for each collection agency license is $500, and renewal is $400. The fee for each 
37.2 	collector registration and renewal is $10, which entitles the individual collector to work at 
37.3 	a licensee's business location or in another location as provided under subdivision 5b. An 
37.4 	additional branch license is not required for a location used under subdivision 5b. A collection 
37.5 	agency licensee who desires to carry on business in more than one place shall procure a 
37.6 	license for each place where the business is to be conducted.

37.7 	EFFECTIVE DATE. This section is effective June 1, 2022.

37.8 	Sec. 58. Minnesota Statutes 2020, section 332.33, is amended by adding a subdivision to 
37.9 	read:
37.10 		Subd. 5b.Work from home. An employee of a licensed collection agency may work 
37.11 	from a location other than the licensee's business location if the licensee and employee 
37.12 	comply with all requirements under this section that would apply if the employee were 
37.13 	working at the business location.

37.14 	EFFECTIVE DATE. This section is effective June 1, 2022.

37.15 	Sec. 59. Minnesota Statutes 2020, section 336.9-510, is amended to read:
37.16 	336.9-510 EFFECTIVENESS OF FILED RECORD.
37.17 	(a) Filed record effective if authorized. A filed record is effective only to the extent 
37.18 	that it was filed by a person that may file it under section 336.9-509 or by the filing office 
37.19 	under section 336.9-5135.
37.20 	(b) Authorization by one secured party of record. A record authorized by one secured 
37.21 	party of record does not affect the financing statement with respect to another secured party 
37.22 	of record.
37.23 	(c) Continuation statement not timely filed. A continuation statement that is not filed 
37.24 	within the six-month period prescribed by section 336.9-515(d) is ineffective.

37.25 	Sec. 60. [336.9-5135] TERMINATION OF WRONGFULLY FILED FINANCING 
37.26 	STATEMENT; REINSTATEMENT.
37.27 	(a) Intent to harass. "Intent to harass" means that from the totality of the information 
37.28 	provided in the record, it appears obvious to the filing office that there is no valid basis for 
37.29 	the filing of the record.
37.30 	(b) Affidavit of wrongful filing. A person identified as the debtor in a filed financing 
37.31 	statement may deliver to the filing office a notarized affidavit that identifies the financing 
38.1 	statement by file number, indicates the person's mailing address, and states that the person 
38.2 	believes the filed record identifying the person as the debtor was not authorized to be filed 
38.3 	and was communicated or caused to be communicated to the office with the intent to harass 
38.4 	or defraud the person identified as the debtor. The office may reject an affidavit that is 
38.5 	incomplete or that the office believes was delivered with the intent to harass or defraud the 
38.6 	secured party. The secretary of state must provide a form of affidavit for use under this 
38.7 	section.
38.8 	(c) Termination statement by filing office. If an affidavit is delivered to the filing 
38.9 	office under subsection (b) and is not rejected under subsection (b), the office must promptly 
38.10 	file a termination statement with respect to the financing statement identified in the affidavit. 
38.11 	The termination statement must identify by its file number the initial financing statement 
38.12 	it relates to and must indicate that it was filed pursuant to this section. A termination 
38.13 	statement filed under this subsection is not effective until 20 days after the date it is filed.
38.14 	(d) No fee charged or refunded. The filing office must not charge a fee to file an 
38.15 	affidavit under subsection (b) or a termination statement under subsection (c). The office 
38.16 	must not return any fee paid to file the financing statement identified in the affidavit, whether 
38.17 	or not the financing statement is reinstated under subsection (g).
38.18 	(e) Notice of termination statement. Within two business days of the date a filing office 
38.19 	files a termination statement under subsection (c), it must send to the secured party of record 
38.20 	for the financing statement the termination statement relates to a notice stating the termination 
38.21 	statement has been filed and becomes effective 20 days after the date the termination 
38.22 	statement was filed. The notice must be sent by certified mail, return receipt requested, to 
38.23 	the address provided for the secured party of record in the financing statement, with a copy 
38.24 	sent by e-mail to the e-mail address provided by the secured party of record, if any.
38.25 	(f) Administrative review; action for reinstatement. If a secured party believes in 
38.26 	good faith the filed record identified in an affidavit and delivered to the filing office under 
38.27 	subsection (b) was authorized to be filed and was not communicated or caused to be 
38.28 	communicated to the filing office with the intent to harass or defraud, the secured party may 
38.29 	do the following:
38.30 	(1) before the termination statement takes effect, request that the filing office conduct 
38.31 	an expedited review of the filed record and any documentation provided by the secured 
38.32 	party. The filing office may, as a result of the review, remove from the record the termination 
38.33 	statement the filing office filed under subsection (c) before the termination statement takes 
38.34 	effect; or
39.1 	(2) at any time, commence an action against the filing office seeking reinstatement of 
39.2 	the financing statement the filed record relates to. The action must be commenced before 
39.3 	the expiration of six months after the date the termination statement was filed under 
39.4 	subsection (c) becomes effective. If the person identified as the debtor is not named as a 
39.5 	defendant in the action, the secured party must send a copy of the complaint to the person 
39.6 	identified as the debtor at the address indicated in the affidavit. The exclusive venue for the 
39.7 	action is the district court for the county where the filing office in which the financing 
39.8 	statement was filed is located. The action must be considered by the court on an expedited 
39.9 	basis.
39.10 	(g) Office to file notice of action for reinstatement. Within ten days after the date the 
39.11 	filing office is served with process in an action under subsection (f), the filing office must 
39.12 	file in the central filing system a notice indicating the action has been commenced. The 
39.13 	notice must indicate the file number of the initial financing statement it relates to.
39.14 	(h) Action for reinstatement successful. In an action under subsection (f), if the court 
39.15 	determines the financing statement was authorized to be filed and was not communicated 
39.16 	or caused to be communicated to the filing office with the intent to harass or defraud the 
39.17 	person identified as the debtor, the court must order that the financing statement is reinstated. 
39.18 	If a reinstatement order is issued by the court, the filing office must promptly file a record 
39.19 	that identifies by its file number the initial financing statement the record relates to and 
39.20 	indicates the financing statement has been reinstated.
39.21 	(i) Effect of reinstatement. Upon the filing of a record reinstating a financing statement 
39.22 	under subsection (h), the effectiveness of the financing statement is reinstated and the 
39.23 	financing statement is considered to never have been terminated under this section. A 
39.24 	continuation statement filed under section 336.9-515(d) after the effective date of a 
39.25 	termination statement filed under subsection (c) becomes effective if the financing statement 
39.26 	is reinstated.
39.27 	(j) Liability for wrongful filing. In an action under subsection (f), if the court determines 
39.28 	the filed record identified in an affidavit delivered to the filing office under subsection (b) 
39.29 	was not authorized to be filed and was communicated or caused to be communicated to the 
39.30 	filing office with the intent to harass or defraud the person identified as the debtor, the filing 
39.31 	office and the person identified as the debtor may recover from the secured party that filed 
39.32 	the action the costs and expenses, including reasonable attorney fees, that the filing office 
39.33 	and the person identified as the debtor incurred in the action. The recovery is under this 
39.34 	subsection in addition to any recovery the person identified as the debtor is entitled to under 
39.35 	section 336.9-625.

40.1 	Sec. 61. Minnesota Statutes 2020, section 336.9-516, is amended to read:
40.2 	336.9-516 WHAT CONSTITUTES FILING; EFFECTIVENESS OF FILING.
40.3 	(a) What constitutes filing. Except as otherwise provided in subsection (b), 
40.4 	communication of a record to a filing office and tender of the filing fee or acceptance of 
40.5 	the record by the filing office constitutes filing.
40.6 	(b) Refusal to accept record; filing does not occur. Filing does not occur with respect 
40.7 	to a record that a filing office refuses to accept because:
40.8 	(1) the record is not communicated by a method or medium of communication authorized 
40.9 	by the filing office. For purposes of filing office authorization, transmission of records using 
40.10 	the Extensible Markup Language (XML) format is authorized by the filing office after the 
40.11 	later of July 1, 2007, or the determination of the secretary of state that the central filing 
40.12 	system is capable of receiving and processing these records;
40.13 	(2) an amount equal to or greater than the applicable filing fee is not tendered;
40.14 	(3) the filing office is unable to index the record because:
40.15 	(A) in the case of an initial financing statement, the record does not provide a name for 
40.16 	the debtor;
40.17 	(B) in the case of an amendment or information statement, the record:
40.18 	(i) does not identify the initial financing statement as required by section 336.9-512 or 
40.19 	336.9-518, as applicable; or
40.20 	(ii) identifies an initial financing statement whose effectiveness has lapsed under section 
40.21 	336.9-515;
40.22 	(C) in the case of an initial financing statement that provides the name of a debtor 
40.23 	identified as an individual or an amendment that provides a name of a debtor identified as 
40.24 	an individual which was not previously provided in the financing statement to which the 
40.25 	record relates, the record does not identify the debtor's surname; or
40.26 	(D) in the case of a record filed or recorded in the filing office described in section 
40.27 	336.9-501 (a)(1), the record does not provide a sufficient description of the real property 
40.28 	to which it relates;
40.29 	(4) in the case of an initial financing statement or an amendment that adds a secured 
40.30 	party of record, the record does not provide a name and mailing address for the secured 
40.31 	party of record;
41.1 	(5) in the case of an initial financing statement or an amendment that provides a name 
41.2 	of a debtor which was not previously provided in the financing statement to which the 
41.3 	amendment relates, the record does not:
41.4 	(A) provide a mailing address for the debtor; or
41.5 	(B) indicate whether the name provided as the name of the debtor is the name of an 
41.6 	individual or an organization;
41.7 	(6) in the case of an assignment reflected in an initial financing statement under section 
41.8 	336.9-514 (a) or an amendment filed under section 336.9-514 (b), the record does not provide 
41.9 	a name and mailing address for the assignee; or
41.10 	(7) in the case of a continuation statement, the record is not filed within the six-month 
41.11 	period prescribed by section 336.9-515 (d).; or
41.12 	(8) in the case of an initial financing statement or an amendment that provides a name 
41.13 	of a debtor not previously provided in the financing statement to which the amendment 
41.14 	relates, the office reasonably believes the record was communicated or caused to be 
41.15 	communicated (i) with the intent to harass or defraud the person identified as the debtor, or 
41.16 	(ii) for another unlawful purpose. The office has no duty to form a belief as to whether a 
41.17 	record was communicated or caused to be communicated with the intent to harass or defraud 
41.18 	the person identified as the debtor or for another unlawful purpose, and has no duty to 
41.19 	investigate or ascertain facts relevant to whether the intent or purpose was present. The 
41.20 	secretary of state is not required to return an image of a filing rejected under this clause.
41.21 	(c) Rules applicable to subsection (b). For purposes of subsection (b):
41.22 	(1) a record does not provide information if the filing office is unable to read or decipher 
41.23 	the information; and
41.24 	(2) a record that does not indicate that it is an amendment or identify an initial financing 
41.25 	statement to which it relates, as required by section 336.9-512, 336.9-514, or 336.9-518, is 
41.26 	an initial financing statement.
41.27 	(d) Refusal to accept record; record effective as filed record. A record that is 
41.28 	communicated to the filing office with tender of the filing fee, but which the filing office 
41.29 	refuses to accept for a reason other than one set forth in subsection (b), is effective as a filed 
41.30 	record except as against a purchaser of the collateral which gives value in reasonable reliance 
41.31 	upon the absence of the record from the files.
41.32 	(e) Effectiveness of record; purchaser in good faith. A record that the filing office 
41.33 	initially refuses to accept under subsection (b)(8) but later accepts after receiving additional 
42.1 	information is effective as if the office had not initially refused to accept the record, except 
42.2 	as against a purchaser of the collateral that gives value in reasonable reliance upon the 
42.3 	absence of the record from the files.

42.4 	Sec. 62. Minnesota Statutes 2020, section 515B.3-102, is amended to read:
42.5 	515B.3-102 POWERS OF UNIT OWNERS' ASSOCIATION.
42.6 	(a) Except as provided in subsections (b), (c), (d), and (e), (f), (g), and (h) and subject 
42.7 	to the provisions of the declaration or bylaws, the association shall have the power to:
42.8 	(1) adopt, amend and revoke rules and regulations not inconsistent with the articles of 
42.9 	incorporation, bylaws and declaration, as follows: (i) regulating the use of the common 
42.10 	elements; (ii) regulating the use of the units, and conduct of unit occupants, which may 
42.11 	jeopardize the health, safety or welfare of other occupants, which involves noise or other 
42.12 	disturbing activity, or which may damage the common elements or other units; (iii) regulating 
42.13 	or prohibiting animals; (iv) regulating changes in the appearance of the common elements 
42.14 	and conduct which may damage the common interest community; (v) regulating the exterior 
42.15 	appearance of the common interest community, including, for example, balconies and patios, 
42.16 	window treatments, and signs and other displays, regardless of whether inside a unit; (vi) 
42.17 	implementing the articles of incorporation, declaration and bylaws, and exercising the 
42.18 	powers granted by this section; and (vii) otherwise facilitating the operation of the common 
42.19 	interest community;
42.20 	(2) adopt and amend budgets for revenues, expenditures and reserves, and levy and 
42.21 	collect assessments for common expenses from unit owners;
42.22 	(3) hire and discharge managing agents and other employees, agents, and independent 
42.23 	contractors;
42.24 	(4) institute, defend, or intervene in litigation or administrative proceedings (i) in its 
42.25 	own name on behalf of itself or two or more unit owners on matters affecting the common 
42.26 	elements or other matters affecting the common interest community or, (ii) with the consent 
42.27 	of the owners of the affected units on matters affecting only those units;
42.28 	(5) make contracts and incur liabilities;
42.29 	(6) regulate the use, maintenance, repair, replacement, and modification of the common 
42.30 	elements and the units;
42.31 	(7) cause improvements to be made as a part of the common elements, and, in the case 
42.32 	of a cooperative, the units;
43.1 	(8) acquire, hold, encumber, and convey in its own name any right, title, or interest to 
43.2 	real estate or personal property, but (i) common elements in a condominium or planned 
43.3 	community may be conveyed or subjected to a security interest only pursuant to section 
43.4 	515B.3-112, or (ii) part of a cooperative may be conveyed, or all or part of a cooperative 
43.5 	may be subjected to a security interest, only pursuant to section 515B.3-112;
43.6 	(9) grant or amend easements for public utilities, public rights-of-way or other public 
43.7 	purposes, and cable television or other communications, through, over or under the common 
43.8 	elements; grant or amend easements, leases, or licenses to unit owners for purposes authorized 
43.9 	by the declaration; and, subject to approval by a vote of unit owners other than declarant 
43.10 	or its affiliates, grant or amend other easements, leases, and licenses through, over or under 
43.11 	the common elements;
43.12 	(10) impose and receive any payments, fees, or charges for the use, rental, or operation 
43.13 	of the common elements, other than limited common elements, and for services provided 
43.14 	to unit owners;
43.15 	(11) impose interest and late charges for late payment of assessments and, after notice 
43.16 	and an opportunity to be heard before the board or a committee appointed by it, levy 
43.17 	reasonable fines for violations of the declaration, bylaws, and rules and regulations of the 
43.18 	association;
43.19 	(12) impose reasonable charges for the review, preparation and recordation of 
43.20 	amendments to the declaration, resale certificates required by section 515B.4-107, statements 
43.21 	of unpaid assessments, or furnishing copies of association records;
43.22 	(13) provide for the indemnification of its officers and directors, and maintain directors' 
43.23 	and officers' liability insurance;
43.24 	(14) provide for reasonable procedures governing the conduct of meetings and election 
43.25 	of directors;
43.26 	(15) exercise any other powers conferred by law, or by the declaration, articles of 
43.27 	incorporation or bylaws; and
43.28 	(16) exercise any other powers necessary and proper for the governance and operation 
43.29 	of the association.
43.30 	(b) Notwithstanding subsection (a) the declaration or bylaws may not impose limitations 
43.31 	on the power of the association to deal with the declarant which are more restrictive than 
43.32 	the limitations imposed on the power of the association to deal with other persons.
44.1 	(c) An association levying a fine pursuant to subsection (a)(11), or an assessment pursuant 
44.2 	to section 515B.3-115(g) or 515B.3-1151(g), must provide written notice to a unit owner 
44.3 	that:
44.4 	(1) if applicable, indicates the amount, date, and reason for the levy;
44.5 	(2) identifies the violation for which a fine is being levied and the specific section of 
44.6 	the declaration, bylaws, or rules and regulations allegedly violated;
44.7 	(3) states that all unpaid fines and assessments are liens which, if not satisfied, could 
44.8 	lead to foreclosure of the unit;
44.9 	(4) describes the right of the unit owner to be heard by the board or a committee appointed 
44.10 	by the board;
44.11 	(5) states that if the assessment, fees, charges, or fine is not paid, the amount owed may 
44.12 	increase as a result of the imposition of attorney fees and other costs of collection; and
44.13 	(6) informs the unit owner that homeownership assistance is available from, and includes 
44.14 	the contact information for, the Minnesota Homeownership Center.
44.15 	(d) No further collection or enforcement action may be taken by the association for the 
44.16 	15-day period following delivery of the notice required under paragraph (c).
44.17 	(e) No attorney fees are chargeable or may be collected from a unit owner who disputes 
44.18 	the levy or assessment and prevails at a hearing held by the board or a committee appointed 
44.19 	by the board.
44.20 	(c) (f) Notwithstanding subsection (a), powers exercised under this section must comply 
44.21 	with section 500.215.
44.22 	(d) (g) Notwithstanding subsection (a)(4) or any other provision of this chapter, the 
44.23 	association, before instituting litigation or arbitration involving construction defect claims 
44.24 	against a development party, shall:
44.25 	(1) mail or deliver written notice of the anticipated commencement of the action to each 
44.26 	unit owner at the addresses, if any, established for notices to owners in the declaration and, 
44.27 	if the declaration does not state how notices are to be given to owners, to the owner's last 
44.28 	known address. The notice shall specify the nature of the construction defect claims to be 
44.29 	alleged, the relief sought, and the manner in which the association proposes to fund the cost 
44.30 	of pursuing the construction defect claims; and
44.31 	(2) obtain the approval of owners of units to which a majority of the total votes in the 
44.32 	association are allocated. Votes allocated to units owned by the declarant, an affiliate of the 
45.1 	declarant, or a mortgagee who obtained ownership of the unit through a foreclosure sale 
45.2 	are excluded. The association may obtain the required approval by a vote at an annual or 
45.3 	special meeting of the members or, if authorized by the statute under which the association 
45.4 	is created and taken in compliance with that statute, by a vote of the members taken by 
45.5 	electronic means or mailed ballots. If the association holds a meeting and voting by electronic 
45.6 	means or mailed ballots is authorized by that statute, the association shall also provide for 
45.7 	voting by those methods. Section 515B.3-110(c) applies to votes taken by electronic means 
45.8 	or mailed ballots, except that the votes must be used in combination with the vote taken at 
45.9 	a meeting and are not in lieu of holding a meeting, if a meeting is held, and are considered 
45.10 	for purposes of determining whether a quorum was present. Proxies may not be used for a 
45.11 	vote taken under this paragraph unless the unit owner executes the proxy after receipt of 
45.12 	the notice required under subsection (d) (g)(1) and the proxy expressly references this notice.
45.13 	(e) (h) The association may intervene in a litigation or arbitration involving a construction 
45.14 	defect claim or assert a construction defect claim as a counterclaim, crossclaim, or third-party 
45.15 	claim before complying with subsections (d) (g)(1) and (d) (g)(2) but the association's 
45.16 	complaint in an intervention, counterclaim, crossclaim, or third-party claim shall be dismissed 
45.17 	without prejudice unless the association has complied with the requirements of subsection 
45.18 	(d) (g) within 90 days of the association's commencement of the complaint in an intervention 
45.19 	or the assertion of the counterclaim, crossclaim, or third-party claim.

45.20 	EFFECTIVE DATE. This section is effective January 1, 2023.

45.21 	Sec. 63. Minnesota Statutes 2020, section 549.30, subdivision 3, is amended to read:
45.22 		Subd. 3.Applicable law. "Applicable law" means: (1) the laws of the United States; (2) 
45.23 	the laws of this state, including principles of equity applied in the courts of this state; and 
45.24 	(3) the laws of any other jurisdiction: (i) which is the domicile of the payee or any other 
45.25 	interested party; (ii) under whose laws a structured settlement agreement was approved by 
45.26 	a court or responsible administrative authority; or (iii) in whose courts a settled claim was 
45.27 	pending when the parties entered into a structured settlement agreement.

45.28 	Sec. 64. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to 
45.29 	read:
45.30 		Subd. 3a.Assignee. "Assignee" means a person acquiring or proposing to acquire 
45.31 	structured settlement payment rights from a transferee.

46.1 	Sec. 65. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to 
46.2 	read:
46.3 		Subd. 5a.Effective equivalent annual interest rate. "Effective equivalent annual 
46.4 	interest rate" means the annualized rate of interest on the net advance amount, calculated 
46.5 	by treating the transferred settlement payments as if the transferred settlement payments 
46.6 	were installment payments on a loan, with each payment applied first to the accrued unpaid 
46.7 	interest and then to the principal.

46.8 	Sec. 66. Minnesota Statutes 2020, section 549.30, subdivision 6, is amended to read:
46.9 		Subd. 6.Independent professional advice. "Independent professional advice" means 
46.10 	advice of an attorney, certified public accountant, actuary, financial adviser, or other licensed 
46.11 	professional adviser: (1) who is engaged by a payee to render advice concerning the legal, 
46.12 	tax, and financial implications of a transfer of structured settlement payment rights; (2) to 
46.13 	whom the payee is not referred directly or indirectly and who is not in any manner affiliated 
46.14 	with or compensated by the transferee of the transfer; and (3) whose compensation for 
46.15 	providing the advice is not affected by whether a transfer occurs or does not occur.

46.16 	Sec. 67. Minnesota Statutes 2020, section 549.30, subdivision 15, is amended to read:
46.17 		Subd. 15.Structured settlement payment rights. "Structured settlement payment 
46.18 	rights" means rights to receive periodic payments, including lump-sum payments, under a 
46.19 	structured settlement, whether from the settlement obligor or the annuity issuer, where: (1) 
46.20 	the payee or any other interested party is domiciled in the state; (2) the structured settlement 
46.21 	agreement was approved by a court or responsible administrative authority in the state; or 
46.22 	(3) the settled claim was pending before the courts of this state when the parties entered 
46.23 	into the structured settlement agreement.

46.24 	Sec. 68. Minnesota Statutes 2020, section 549.30, subdivision 19, is amended to read:
46.25 		Subd. 19.Transferee. "Transferee" means a person who is receiving or will receive
46.26 	acquiring or proposing to acquire structured settlement payment rights resulting from a 
46.27 	transfer.

47.1 	Sec. 69. Minnesota Statutes 2020, section 549.31, is amended to read:
47.2 	549.31 CONDITIONS TO TRANSFERS OF STRUCTURED SETTLEMENT 
47.3 	PAYMENT RIGHTS AND STRUCTURED SETTLEMENT AGREEMENTS.
47.4 		Subdivision 1.Generally. No direct or indirect transfer of structured settlement payment 
47.5 	rights is effective and no structured settlement obligor or annuity issuer is required to make 
47.6 	a payment directly or indirectly to a transferee of structured settlement payment rights unless 
47.7 	the transfer has been authorized in advance in a final order of a court of competent jurisdiction 
47.8 	or responsible administrative authority, based on the court's or responsible administrative 
47.9 	authority's written express findings, after notice and hearing, that:
47.10 	(a) the transfer complies with the requirements of sections 549.31 to 549.34 and will 
47.11 	not contravene other applicable law;
47.12 	(b) not less than ten days before the date on which the payee first incurred an obligation 
47.13 	with respect to the transfer, the transferee has provided to the payee, an attorney representing 
47.14 	the payee or advising the payee, or any other professional known to be advising the payee
47.15 	a disclosure statement in bold type, no smaller than 14 points, specifying:
47.16 	(1) the amounts and due dates of the structured settlement payments to be transferred;
47.17 	(2) the aggregate amount of the payments;
47.18 	(3) the discounted present value of the payments, together with the discount rate used 
47.19 	in determining the discounted present value;
47.20 	(4) the gross amount payable to the payee in exchange for the payments;
47.21 	(5) an itemized listing of all brokers' commissions, service charges, application fees, 
47.22 	processing fees, closing costs, filing fees, referral fees, administrative fees, legal fees, notary 
47.23 	fees, and other commissions, fees, costs, expenses, and any other charges payable by the 
47.24 	payee or deductible from the gross amount otherwise payable to the payee, and verification 
47.25 	that the total fees and charges do not exceed two percent of the total compensation payable 
47.26 	to the payee;
47.27 	(6) the net amount payable to the payee after deduction of all commissions, fees, costs, 
47.28 	expenses, and charges described in clause (5);
47.29 	(7) the quotient, expressed as a percentage, obtained by dividing the net payment amount 
47.30 	by the discounted present value of the payments; and
48.1 	(8) the amount of any penalty and the aggregate amount of any liquidated damages, 
48.2 	including penalties, payable by the payee in the event of a breach of the transfer agreement 
48.3 	by the payee;
48.4 	(9) the effective equivalent annual interest rate, disclosed in the following form: "Based 
48.5 	on the net amount that you will receive from us and the amounts and timing of the structured 
48.6 	settlement payments you are transferring to us, in effect you will be paying us at an interest 
48.7 	rate of ....... % per year"; and
48.8 	(10) that the payee is advised to obtain independent professional advice about the transfer, 
48.9 	disclosed in the following form: "Before agreeing to sell any of your payment rights, you 
48.10 	should seek guidance from an attorney, accountant, actuary, financial adviser, or tax or 
48.11 	other licensed professional adviser who is not associated with the buyer. It is illegal for the 
48.12 	buyer to refer you to anyone for this advice and for anyone associated with or paid for by 
48.13 	the buyer to give you advice.";
48.14 	(c) based on the files, records, disclosures, and evidence presented at the hearing, the 
48.15 	payee court has established that the financial terms of the proposed transfer are fair and 
48.16 	reasonable and the proposed transfer is in the best interests of the payee and the payee's 
48.17 	dependents;, after considering:
48.18 	(1) the payee's age, legal knowledge, and apparent maturity level, and any other relevant 
48.19 	factors and the stated purpose of the transfer;
48.20 	(2) whether the payee has the capacity to fully understand the financial terms and 
48.21 	implications of the transfer agreement;
48.22 	(3) whether the payee is employed or employable;
48.23 	(4) the payee's ability to meet (i) ongoing and known future living expenses, including 
48.24 	medical expenses, and (ii) the current and future financial obligations of the payee and the 
48.25 	payee's dependents, including child support and spousal maintenance;
48.26 	(5) whether the payee completed previous transactions involving the payee's structured 
48.27 	settlement payments, and the timing, size, stated purpose, and actual use of the proceeds;
48.28 	(6) the impact of the proposed transfer on current or future eligibility of the payee or 
48.29 	the payee's dependents for public benefits; and
48.30 	(7) any other factors or facts the court determines are relevant and should be considered;
48.31 	(d) the payee has or has not received independent professional advice regarding the 
48.32 	legal, tax, and financial implications of the transfer;
49.1 	(e) the transferee has given written notice of the transferee's name, address, and taxpayer 
49.2 	identification number to the annuity issuer and the structured settlement obligor and has 
49.3 	filed a copy of the notice with the court or responsible administrative authority; and
49.4 	(f) that the transfer agreement provides that any disputes between the parties will be 
49.5 	governed, interpreted, construed, and enforced in accordance with the laws of this state and 
49.6 	that the domicile state of the payee is the proper place of venue to bring any cause of action 
49.7 	in district court arising out of a breach of the agreement. The transfer agreement must also 
49.8 	provide that the parties agree to the jurisdiction of any court of competent jurisdiction located 
49.9 	in this state and that no predispute arbitration is required by the agreement.
49.10 	If the transfer would contravene the terms of the structured settlement, upon the filing 
49.11 	of a written objection by any interested party and after considering the objection and any 
49.12 	response to it, the court or responsible administrative authority may grant, deny, or impose 
49.13 	conditions upon the proposed transfer as the court or responsible administrative authority 
49.14 	deems just and proper under the facts and circumstances in accordance with established 
49.15 	principles of law. Any order approving a transfer must require that the transferee indemnify 
49.16 	the annuity issuer and the structured settlement obligor for any liability including reasonable 
49.17 	costs and attorney fees arising from compliance by the issuer or obligor with the order of 
49.18 	the court or responsible administrative authority.
49.19 		Subd. 1a.Appointment of evaluator. The court may, in its discretion in any case, 
49.20 	appoint an attorney to make an independent assessment and advise the court whether the 
49.21 	financial terms of the proposed transfer agreement are fair and reasonable, and whether the 
49.22 	transfer is in the best interests of the payee and the payee's dependents. The evaluator must 
49.23 	present the findings of the evaluation to the court at or prior to a hearing on the application. 
49.24 	All costs and reasonable fees for the evaluator shall be borne by the transferee.
49.25 		Subd. 1b.Obligations of annuity issuers and structured settlement obligors; liability 
49.26 	of transferees. (a) The annuity issuer and the structured settlement obligor may rely on the 
49.27 	court order approving the transfer of structured settlement payment rights in redirecting 
49.28 	periodic payments and, as to all parties except the transferee or an assignee, be discharged 
49.29 	and released from any and all liability for the redirected payments. The failure of any party 
49.30 	to the transfer to comply with sections 549.30 to 549.34 or with the court order approving 
49.31 	the transfer has no effect on the discharge and release.
49.32 	(b) The transferee is liable to the structured settlement obligor and annuity issuer:
50.1 	(1) if the transfer contravenes the terms of the structured settlement, and for any taxes 
50.2 	incurred by the structured settlement obligor or annuity issuer resulting from the transfer; 
50.3 	or
50.4 	(2) for any other liabilities or costs, including reasonable attorney fees, arising from 
50.5 	compliance by the annuity issuer or the structured settlement obligor with the court order 
50.6 	approving the transfer, or from the failure of any party to the transfer to comply with sections 
50.7 	549.30 to 549.34.
50.8 	(c) Compliance with the requirements in sections 549.30 to 549.34 regarding any transfer 
50.9 	of structured settlement payment rights is solely the responsibility of the transferee, and 
50.10 	neither the annuity issuer nor the structured settlement obligor bears any responsibility for, 
50.11 	or any liability arising from, the failure to comply with the requirements or failure to fulfill 
50.12 	the conditions of the transfer.
50.13 	(d) Neither the annuity issuer nor the structured settlement obligor is required to divide 
50.14 	any periodic payment between the payee and any transferee or assignee or between two or 
50.15 	more transferees or assignees.
50.16 		Subd. 2.Unenforceable confessions of judgment. A provision in a transfer agreement 
50.17 	giving a transferee power to confess judgment against a payee is unenforceable to the extent 
50.18 	the amount of the judgment would exceed the amount paid by the transferee to the payee, 
50.19 	less any payments received from the structured settlement obligor or the payee.
50.20 		Subd. 3.Initial disclosure of structured settlement terms. In negotiating a structured 
50.21 	settlement of claims brought by or on behalf of a claimant who is domiciled in this state, 
50.22 	the structured settlement obligor shall disclose in writing to the claimant or the claimant's 
50.23 	legal representative all of the following information that is not otherwise specified in the 
50.24 	structured settlement agreement:
50.25 	(1) the amounts and due dates of the periodic payments to be made under the structured 
50.26 	settlement agreement. In the case of payments that will be subject to periodic percentage 
50.27 	increases, the amounts of future payments may be disclosed by identifying the base payment 
50.28 	amount, the amount and timing of scheduled increases, and the manner in which increases 
50.29 	will be compounded;
50.30 	(2) the amount of the premium payable to the annuity issuer;
50.31 	(3) the discounted present value of all periodic payments that are not life-contingent, 
50.32 	together with the discount rate used in determining the discounted present value;
51.1 	(4) the nature and amount of any cost that may be deducted from any of the periodic 
51.2 	payments;
51.3 	(5) where applicable, that any transfer of the periodic payments is prohibited by the 
51.4 	terms of the structured settlement and may otherwise be prohibited or restricted under 
51.5 	applicable law; and
51.6 	(6) that any transfer of the periodic payments by the claimant may subject the claimant 
51.7 	to serious adverse tax consequences.

51.8 	Sec. 70. [549.315] DISCOUNT RATE.
51.9 	The discount rate used in determining the net amount payable to the payee under the 
51.10 	transfer agreement may not exceed an annual percentage rate of prime plus five percentage 
51.11 	points calculated as if the net amount payable to the payee was the principal of a consumer 
51.12 	loan made by the transferee to the payee, and if the structured settlement payments to be 
51.13 	transferred to the transferee were the payee's payments of principal plus interest on such 
51.14 	loan. For purposes of this subdivision, the prime rate shall be as reported by the Federal 
51.15 	Reserve Statistical Release H.15 on the first Monday of the month in which the transfer 
51.16 	agreement is signed by both the payee and the transferee, except when the transfer agreement 
51.17 	is signed prior to the first Monday of that month then the prime rate shall be as reported by 
51.18 	the Federal Reserve Statistical Release H.15 on the first Monday of the preceding month.

51.19 	Sec. 71. Minnesota Statutes 2020, section 549.32, is amended to read:
51.20 	549.32 JURISDICTION APPLICATION; PROCEDURE FOR APPROVAL OF 
51.21 	TRANSFERS.
51.22 		Subdivision 1.Jurisdiction; venue. The district court has nonexclusive jurisdiction 
51.23 	over (a) An application for authorization under section 549.31 of a transfer of structured 
51.24 	settlement payment rights must be filed in the district court in the county in which the payee 
51.25 	resides.
51.26 	(b) The payee must appear in person at the hearing unless the court determines that good 
51.27 	cause exists to excuse the payee from appearing in person.
51.28 		Subd. 2.Notice. Not less than 20 days before the scheduled hearing on an application 
51.29 	for authorization of a transfer of structured settlement payment rights under section 549.31, 
51.30 	the transferee shall file with the court or responsible administrative authority and serve on: 
51.31 	any other government authority that previously approved the structured settlement; and all 
52.1 	interested parties, a notice of the proposed transfer and the application for its authorization. 
52.2 	The notice must include:
52.3 	(1) a copy of the transferee's application to the court or responsible administrative 
52.4 	authority, which must contain the payee's name and age;
52.5 	(2) a copy of the transfer agreement;
52.6 	(3) a copy of the disclosure statement required under section 549.31, subdivision 1, 
52.7 	paragraph (b), and proof that the disclosure statement has been delivered to the payee, to 
52.8 	an attorney representing or advising the payee, and to any other professional known to be 
52.9 	advising the payee;
52.10 	(4) notification that an interested party is entitled to support, oppose, or otherwise respond 
52.11 	to the transferee's application, either in person or by counsel, by submitting written comments 
52.12 	to the court or responsible administrative authority or by participating in the hearing;
52.13 	(5) notification of the time and place of the hearing and notification of the manner in 
52.14 	which and the time by which written responses to the application must be filed, in order to 
52.15 	be considered by the court or responsible administrative authority. Written responses to the 
52.16 	application must be filed within 15 days after service of the transferee's notice; and
52.17 	(6) notification of the date and judicial district court, and details of any prior application 
52.18 	for transfer filed by the transferee, an affiliate or assignee of the transferee, or any other 
52.19 	transferee relating to a prior proposed transfer with the payee, including whether the prior 
52.20 	application was granted or denied. If any prior application was granted, the notice shall 
52.21 	provide the amount and due dates of any structured settlement payments that were transferred, 
52.22 	the aggregate amount of the payments, the discounted present value of the payments, and 
52.23 	the gross amount that was payable to the payee in exchange for the payments.

52.24 	Sec. 72. [549.325] PROHIBITED PRACTICES.
52.25 		Subdivision 1.Prohibitions. No transferee shall:
52.26 	(1) represent the payee;
52.27 	(2) intervene in a pending structured settlement transfer proceeding, if the transferee is 
52.28 	not a party to such proceeding or an interested party relative to the proposed transfer that 
52.29 	is the subject of the pending structured settlement transfer proceeding;
52.30 	(3) offer or provide any gift, loan, extension of credit, or advance as an inducement to 
52.31 	enter into a transfer agreement or pay a fee to any person to refer a potential payee to the 
52.32 	transferee or any affiliate of the transferee;
53.1 	(4) communicate with a payee or a person associated with the payee with excessive 
53.2 	frequency, at unusual hours, or in any other manner as reasonably may be expected to abuse 
53.3 	or harass the payee in connection with a proposed transfer;
53.4 	(5) solicit a prospective payee through the conveyance of a document in any way 
53.5 	resembling a check or other form of payment;
53.6 	(6) provide in a transfer agreement or related document that gives to the transferee the 
53.7 	first choice or option to purchase any remaining structured settlement rights belonging to 
53.8 	the payee; or
53.9 	(7) solicit or petition for a transfer of a structured settlement from a minor or a parent 
53.10 	or guardian of a minor.
53.11 		Subd. 2.Enforcement. A violation of this section is a deceptive practice in violation of 
53.12 	section 325F.69.

53.13 	Sec. 73. Minnesota Statutes 2020, section 549.34, is amended to read:
53.14 	549.34 CONSTRUCTION.
53.15 	(a) Nothing contained in sections 549.30 to 549.34 may be construed to authorize the 
53.16 	transfer of workers' compensation payment rights in contravention of applicable law or to 
53.17 	give effect to the transfer of workers' compensation payment rights that is invalid under 
53.18 	applicable law.
53.19 	(b) No transfer of structured settlement payment rights shall extend to any payments 
53.20 	that are life contingent unless, prior to the date on which the payee signs the transfer 
53.21 	agreement, the transferee has established and has agreed to maintain procedures reasonably 
53.22 	satisfactory to the annuity issuer and the structured settlement obligor for:
53.23 	(1) periodically confirming the payee's survival; and
53.24 	(2) giving the annuity issuer and the structured settlement obligor prompt written notice 
53.25 	in the event of the payee's death.

53.26 	Sec. 74. REVISOR INSTRUCTION.
 53.27 	(a) The revisor of statutes shall change the term "self-study course" to "on-demand 
53.28 	course" wherever it appears in Minnesota Statutes, chapter 45. The revisor shall also make 
53.29 	grammatical changes related to the change in term.
54.1 	(b) The revisor of statutes shall change the term "classroom course" to "live course" 
54.2 	wherever it appears in Minnesota Statutes, chapter 45. The revisor shall also make 
54.3 	grammatical changes related to the change in term.

54.4 	Sec. 75. REPEALER.
 54.5 	(a) Minnesota Statutes 2020, section 45.25, subdivisions 2a and 14, are repealed.
54.6 	(b) Minnesota Statutes 2020, section 60A.033, subdivision 3, is repealed.

54.7 	ARTICLE 3
54.8 	INSURANCE

54.9 	Section 1. Minnesota Statutes 2020, section 61A.02, is amended by adding a subdivision 
54.10 	to read:
54.11 		Subd. 7.Regulatory flexibility. (a) Notwithstanding any other requirement of this 
54.12 	section, the commissioner may authorize long-term care insurance to be sold as part of or 
54.13 	in conjunction with life insurance, if the proposed policy:
54.14 	(1) is not permitted under current law;
54.15 	(2) represents an innovative and reasonable approach to provide both life insurance and 
54.16 	long-term care insurance;
54.17 	(3) provides reasonable coverage; and
54.18 	(4) is in the best interest of insureds.
54.19 	(b) The insurer filing for authorization under this section must demonstrate that the 
54.20 	proposed policy satisfies the requirements of paragraph (a).

54.21 	Sec. 2. Minnesota Statutes 2021 Supplement, section 62J.26, subdivision 2, is amended 
54.22 	to read:
54.23 		Subd. 2.Evaluation process and content. (a) The commissioner, in consultation with 
54.24 	the commissioners of health and management and budget, must evaluate all mandated health 
54.25 	benefit proposals as provided under subdivision 3.
54.26 	(b) The purpose of the evaluation is to provide the legislature with a complete and timely 
54.27 	analysis of all ramifications of any mandated health benefit proposal. The evaluation must 
54.28 	include, in addition to other relevant information, the following to the extent applicable:
55.1 	(1) scientific and medical information on the mandated health benefit proposal, on the 
55.2 	potential for harm or benefit to the patient, and on the comparative benefit or harm from 
55.3 	alternative forms of treatment, and must include the results of at least one professionally 
55.4 	accepted and controlled trial comparing the medical consequences of the proposed therapy, 
55.5 	alternative therapy, and no therapy;
55.6 	(2) public health, economic, and fiscal impacts of the mandated health benefit proposal 
55.7 	on persons receiving health services in Minnesota, on the relative cost-effectiveness of the 
55.8 	proposal, and on the health care system in general;
55.9 	(3) the extent to which the treatment, service, equipment, or drug is generally utilized 
55.10 	by a significant portion of the population;
55.11 	(4) the extent to which insurance coverage for the mandated health benefit proposal is 
55.12 	already generally available;
55.13 	(5) the extent to which the mandated health benefit proposal, by health plan category, 
55.14 	would apply to the benefits offered to the health plan's enrollees;
55.15 	(6) the extent to which the mandated health benefit proposal will increase or decrease 
55.16 	the cost of the treatment, service, equipment, or drug;
55.17 	(7) the extent to which the mandated health benefit proposal may increase enrollee 
55.18 	premiums; and
55.19 	(8) if the proposal applies to a qualified health plan as defined in section 62A.011, 
55.20 	subdivision 7, the cost to the state to defray the cost of the mandated health benefit proposal 
55.21 	using commercial market reimbursement rates in accordance with Code of Federal 
55.22 	Regulations, title 45, section 155.70.
55.23 	(c) The commissioner shall consider actuarial analysis done by health plan companies 
55.24 	and any other proponent or opponent of the mandated health benefit proposal in determining 
55.25 	the cost of the proposal.
55.26 	(d) The commissioner must summarize the nature and quality of available information 
55.27 	on these issues, and, if possible, must provide preliminary information to the public. The 
55.28 	commissioner may conduct research on these issues or may determine that existing research 
55.29 	is sufficient to meet the informational needs of the legislature. The commissioner may seek 
55.30 	the assistance and advice of researchers, community leaders, or other persons or organizations 
55.31 	with relevant expertise.
55.32 	(e) The commissioner shall not make public any information submitted under this section 
55.33 	if that information is trade secret information under section 13.37, subdivision 1, paragraph 
56.1 	(b). Trade secret information submitted by a health plan company or other proponent or 
56.2 	opponent of the mandated health benefit proposal must be clearly and specifically identified 
56.3 	as trade secret information. If the commissioner disagrees with the classification of the 
56.4 	information as trade secret, the commissioner must notify in writing the health plan company 
56.5 	or other proponent or opponent of the mandated health benefit proposal that the information 
56.6 	will be made public at least 30 days prior to the information being made public.
56.7 	(f) When requesting information from a health plan company or other proponent or 
56.8 	opponent of the mandated health benefit proposal pursuant to this section, the commissioner 
56.9 	must provide at least 60 days' notice.

56.10 	Sec. 3. Minnesota Statutes 2020, section 62Q.733, subdivision 1, is amended to read:
56.11 		Subdivision 1.Applicability. For purposes of sections 62Q.732 to 62Q.739 62Q.7391, 
56.12 	the following definitions apply.

56.13 	Sec. 4. Minnesota Statutes 2020, section 62Q.735, subdivision 1, is amended to read:
56.14 		Subdivision 1.Contract disclosure. (a) Before requiring a health care provider to sign 
56.15 	a contract, a health plan company shall give to the provider a complete copy of the proposed 
56.16 	contract, including:
56.17 	(1) all attachments and exhibits;
56.18 	(2) operating manuals;
56.19 	(3) a general description of the health plan company's health service coding guidelines 
56.20 	and requirement for procedures and diagnoses with modifiers, and multiple procedures; and
56.21 	(4) all guidelines and treatment parameters incorporated or referenced in the contract.
56.22 	(b) The health plan company shall make available to the provider the fee schedule or a 
56.23 	method or process that allows the provider to determine the fee schedule for each health 
56.24 	care service to be provided under the contract.
56.25 	(c) Notwithstanding paragraph (b), a health plan company that is a dental plan 
56.26 	organization, as defined in section 62Q.76, shall disclose information related to the individual 
56.27 	contracted provider's expected reimbursement from the dental plan organization. Nothing 
56.28 	in this section requires a dental plan organization to disclose the plan's aggregate maximum 
56.29 	allowable fee table used to determine other providers' fees. The contracted provider must 
56.30 	not release this information in any way that would violate any state or federal antitrust law.

57.1 	Sec. 5. Minnesota Statutes 2020, section 62Q.735, subdivision 5, is amended to read:
57.2 		Subd. 5.Fee schedules. (a) A health plan company shall provide, upon request, any 
57.3 	additional fees or fee schedules relevant to the particular provider's practice beyond those 
57.4 	provided with the renewal documents for the next contract year to all participating providers, 
57.5 	excluding claims paid under the pharmacy benefit. Health plan companies may fulfill the 
57.6 	requirements of this section by making the full fee schedules available through a secure 
57.7 	web portal for contracted providers.
57.8 	(b) A dental organization may satisfy paragraph (a) by complying with section 62Q.735, 
57.9 	subdivision 1, paragraph (c).

57.10 	Sec. 6. [62Q.7391] HEALTH CARE PROVIDER CONTRACT TERMINATION.
57.11 		Subdivision 1.Termination for cause. (a) A contract between a health care provider 
57.12 	and a health plan company may be terminated by the health plan company for cause only 
57.13 	if the contract includes an appeal process for the provider to appeal the termination. The 
57.14 	health plan company must provide the provider with written notice of termination that 
57.15 	includes:
57.16 	(1) the reasons for the termination;
57.17 	(2) the date upon which the termination is effective; and
57.18 	(3) a statement that the provider has the right to appeal the termination decision and a 
57.19 	description of the appeal process available to the provider to request an appeal.
57.20 	(b) The process must permit the provider with the opportunity to request an appeal and 
57.21 	present any relevant documents and arguments against termination. The process must also 
57.22 	include (1) an internal review, and (2) an external review that occurs if the internal review 
57.23 	upholds the decision to terminate. The external review must be conducted by an independent 
57.24 	external review entity agreed to by the provider. The decision of the external review entity 
57.25 	is final. If the external review entity determines that the reason for termination is not 
57.26 	supported the provider's contract with the health plan company must be reinstated.
57.27 	(c) A health plan company regulated by the commissioner of commerce must submit to 
57.28 	the commissioner of commerce for approval the appeal process required under this 
57.29 	subdivision. A health plan company regulated by the commissioner of health must submit 
57.30 	to the commissioner of health for approval the appeal process required under this subdivision. 
57.31 	If the health plan company fails to submit the process or the appeal process is not approved, 
57.32 	the commissioner of commerce or commissioner of health, as appropriate, may take 
57.33 	regulatory action against the health plan company.
58.1 		Subd. 2.Termination not for cause. A health plan company is prohibited from 
58.2 	terminating a contract with a health care provider without cause.

58.3 	Sec. 7. Minnesota Statutes 2020, section 62Q.76, is amended by adding a subdivision to 
58.4 	read:
58.5 		Subd. 9.Third party. "Third party" means a person or entity that enters into a contract 
58.6 	with a dental organization or with another third party to gain access to the dental care services 
58.7 	or contractual discounts under a dental provider contract. Third party does not include an 
58.8 	enrollee of a dental organization or an employer or other group for whom the dental 
58.9 	organization provides administrative services.

58.10 	EFFECTIVE DATE. This section is effective January 1, 2023, and applies to dental 
58.11 	plans and dental provider agreements offered, issued, or renewed on or after that date.

58.12 	Sec. 8. Minnesota Statutes 2020, section 62Q.78, is amended by adding a subdivision to 
58.13 	read:
58.14 		Subd. 7.Network leasing. (a) A dental organization may grant a third party access to 
58.15 	a dental provider contract, or a provider's dental care services or contractual discounts 
58.16 	provided pursuant to a dental provider contract, if at the time the dental provider contract 
58.17 	is entered into or renewed the dental organization allows a dentist to choose not to participate 
58.18 	in third-party access to the dental provider contract, without any penalty to the dentist. The 
58.19 	third-party access provision of the dental provider contract must be clearly identified. A 
58.20 	dental organization must not grant a third party access to the dental provider contract of any 
58.21 	dentist who does not participate in third-party access to the dental provider contract.
58.22 	(b) Notwithstanding paragraph (a), if a dental organization exists solely for the purpose 
58.23 	of recruiting dentists for dental provider contracts that establish a network to be leased to 
58.24 	third parties, the dentist waives the right to choose whether to participate in third-party 
58.25 	access.
58.26 	(c) A dental organization may grant a third party access to a dental provider contract, 
58.27 	or a dentist's dental care services or contractual discounts under a dental provider contract, 
58.28 	if the following requirements are met:
58.29 	(1) the dental organization lists all third parties that may have access to the dental provider 
58.30 	contract on the dental organization's website, which must be updated at least once every 90 
58.31 	days;
59.1 	(2) the dental provider contract states that the dental organization may enter into an 
59.2 	agreement with a third party that would allow the third party to obtain the dental 
59.3 	organization's rights and responsibilities as if the third party were the dental organization, 
59.4 	and the dentist chose to participate in third-party access at the time the dental provider 
59.5 	contract was entered into; and
59.6 	(3) the third party accessing the dental provider contract agrees to comply with all 
59.7 	applicable terms of the dental provider contract.
59.8 	(d) A dentist is not bound by and is not required to perform dental care services under 
59.9 	a dental provider contract granted to a third party in violation of this section.
59.10 	(e) This subdivision does not apply when:
59.11 	(1) the dental provider contract is for dental services provided under a public health plan 
59.12 	program, including but not limited to medical assistance, MinnesotaCare, Medicaid, or 
59.13 	Medicare Advantage; or
59.14 	(2) access to a dental provider contract is granted to a dental organization, an entity 
59.15 	operating in accordance with the same brand licensee program as the dental organization 
59.16 	or other entity, or to an entity that is an affiliate of the dental organization, provided the 
59.17 	entity agrees to substantially similar terms and conditions of the originating dental provider 
59.18 	contract between the dental organization and the dentist or dental clinic. A list of the dental 
59.19 	organization's affiliates must be posted on the dental organization's website.

59.20 	Sec. 9. Minnesota Statutes 2020, section 62Q.79, is amended by adding a subdivision to 
59.21 	read:
59.22 		Subd. 7.Method of payments. A dental provider contract must include a method of 
59.23 	payment for dental care services in which no fees associated with the method of payment, 
59.24 	including credit card fees and fees related to payment in the form of digital or virtual 
59.25 	currency, are incurred by the dentist or dental clinic. Any fees that may be incurred from a 
59.26 	payment must be disclosed to a dentist prior to entering into or renewing a dental provider 
59.27 	contract. For purposes of this section, fees related to a provider's electronic claims processing 
59.28 	vendor, financial institution, or other vendor used by a provider to facilitate the submission 
59.29 	of claims are excluded.

60.1 	Sec. 10. Minnesota Statutes 2020, section 72A.20, is amended by adding a subdivision to 
60.2 	read:
60.3 		Subd. 41.Discrimination based on status as a living organ or bone marrow donor 
60.4 	prohibited. A life insurance, long-term care insurance, or disability insurance carrier is 
60.5 	prohibited from declining or limiting coverage of an insured or otherwise discriminating in 
60.6 	the premium rating, offering, issuance, cancellation, amount of coverage, or any other 
60.7 	condition based solely upon the status of an insured as a living organ or bone marrow donor 
60.8 	and without additional actuarial risks.

60.9 	EFFECTIVE DATE. This section is effective for insurance policies issued and renewed 
60.10 	on or after August 1, 2022.

60.11 	Sec. 11. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
60.12 	to read:
60.13 		Subd. 3a.Cash compensation. "Cash compensation" means any discount, concession 
60.14 	fee, service fee, commission, sales charge, loan, override, or cash benefit received by an 
60.15 	insurance producer from an insurer, intermediary, or consumer in connection with 
60.16 	recommending or selling an annuity.

60.17 	Sec. 12. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
60.18 	to read:
60.19 		Subd. 3b.Consumer profile information. "Consumer profile information" means 
60.20 	information that is reasonably appropriate to determine whether a recommendation addresses 
60.21 	the consumer's financial situation, insurance needs, and financial objectives, including at a 
60.22 	minimum the following:
60.23 	(1) age;
60.24 	(2) annual income and anticipated material changes in annual income;
60.25 	(3) financial situation and needs, including debts and other obligations, and anticipated 
60.26 	material changes in financial situation and needs;
60.27 	(4) financial experience;
60.28 	(5) insurance needs;
60.29 	(6) financial objectives;
60.30 	(7) intended use of the annuity;
61.1 	(8) financial time horizon;
61.2 	(9)  existing assets or financial products, including investment, annuity, and insurance 
61.3 	holdings, and anticipated material changes in existing assets;
61.4 	(10) liquidity needs and anticipated material changes in liquidity needs;
61.5 	(11) liquid net worth and anticipated material changes in liquid net worth;
61.6 	(12) risk tolerance, including but not limited to willingness to accept nonguaranteed 
61.7 	elements in the annuity;
61.8 	(13) financial resources used to fund the annuity;
61.9 	(14) tax status; and
61.10 	(15) whether or not the consumer has a reverse mortgage.

61.11 	Sec. 13. Minnesota Statutes 2020, section 72A.2031, subdivision 8, is amended to read:
61.12 		Subd. 8.Insurance producer. "Insurance producer" means a person required to be 
61.13 	licensed under the laws of this state to sell, solicit, or negotiate insurance, including annuities.
61.14 	For purposes of sections 72A.203 to 72A.2036, insurance producer includes an insurer 
61.15 	where no insurance producer is involved.

61.16 	Sec. 14. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
61.17 	to read:
61.18 		Subd. 8a.Intermediary. "Intermediary" means an entity contracted directly with an 
61.19 	insurer or with another entity contracted with an insurer to facilitate the sale of the insurer's 
61.20 	annuities by insurance producers.

61.21 	Sec. 15. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
61.22 	to read:
61.23 		Subd. 8b.Material conflict of interest. "Material conflict of interest" means a financial 
61.24 	interest of the insurance producer in the  sale of an annuity that a reasonable person would 
61.25 	expect to influence the impartiality of a recommendation. The payment of compensation, 
61.26 	including both cash and noncash compensation, does not in and of itself constitute a material 
61.27 	conflict of interest.

62.1 	Sec. 16. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
62.2 	to read:
62.3 		Subd. 8c.Noncash compensation. "Noncash compensation" means any form of 
62.4 	compensation that is not cash compensation, including but not limited to health insurance, 
62.5 	office rent, office support, and retirement benefits.

62.6 	Sec. 17. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
62.7 	to read:
62.8 		Subd. 8d.Nonguaranteed elements. "Nonguaranteed elements" means the premiums 
62.9 	and credited interest rates, including any bonus, benefits, values, dividends, noninterest-based 
62.10 	credits, charges, or elements of formulas used to determine any of the elements in this 
62.11 	subdivision, that are subject to company discretion and are not guaranteed at issue. An 
62.12 	element is considered nonguaranteed if any of the underlying nonguaranteed elements are 
62.13 	used in the element's calculation.

62.14 	Sec. 18. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
62.15 	to read:
62.16 		Subd. 8e.Recommendation. "Recommendation" means advice provided by an insurance 
62.17 	producer to an individual consumer that was intended to result or does result in a purchase, 
62.18 	exchange, or replacement of an annuity in accordance with the advice rendered. 
62.19 	Recommendation does not include a general communication to the public, generalized 
62.20 	customer services, assistance or administrative support, general educational information 
62.21 	and tools, prospectuses, or other product and sales material.

62.22 	Sec. 19. Minnesota Statutes 2020, section 72A.2031, subdivision 10, is amended to read:
62.23 		Subd. 10.Replacement. "Replacement" means a transaction in which a new policy or 
62.24 	contract annuity is to be purchased, and it is known or should be known to the proposing 
62.25 	insurance producer, or the proposing insurer, whether or not there is an insurance producer
62.26 	is involved, that by reason of the transaction, an existing annuity or other insurance policy 
62.27 	or contract has been or is to be any of the following:
62.28 	(1) lapsed, forfeited, surrendered or partially surrendered, assigned to the replacing 
62.29 	insurer, or otherwise terminated;
62.30 	(2) converted to reduced paid-up insurance, continued as extended term insurance, or 
62.31 	otherwise reduced in value by the use of nonforfeiture benefits or other policy values;
63.1 	(3) amended so as to effect either a reduction in benefits or in the term for which coverage 
63.2 	would otherwise remain in force or for which benefits would be paid;
63.3 	(4) reissued with any reduction in cash value; or
63.4 	(5) used in a financed purchase.

63.5 	Sec. 20. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
63.6 	to read:
63.7 		Subd. 1a.Best interest obligations. An insurance producer, when recommending an 
63.8 	annuity, shall act in the best interest of the consumer under the circumstances known at the 
63.9 	time the recommendation is made. An insurance producer shall not place the insurance 
63.10 	producer's or the insurer's financial interest ahead of the consumer's interest. An insurance 
63.11 	producer has acted in the best interest of the consumer if the insurance producer has satisfied 
63.12 	obligations regarding care, disclosure, conflict of interest, and documentation specified in 
63.13 	subdivisions 1b, 1c, 1d, and 1e.

63.14 	Sec. 21. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
63.15 	to read:
63.16 		Subd. 1b.Care obligation. (a) The insurance producer, in making a recommendation, 
63.17 	shall exercise reasonable diligence, care, and skill to:
63.18 	(1) know the consumer's financial situation, insurance needs, and financial objectives;
63.19 	(2) understand the available recommendation options after making a reasonable inquiry 
63.20 	into the options available to the insurance producer;
63.21 	(3) have a reasonable basis to believe the recommended option effectively addresses the 
63.22 	consumer's financial situation, insurance needs, and financial objectives over the life of the 
63.23 	product, as evaluated in light of the consumer profile information; and
63.24 	(4) communicate the basis or rationale supporting the recommendation.
63.25 	(b) The requirements under paragraph (a) include making reasonable efforts to obtain 
63.26 	consumer profile information from the consumer prior to recommending an annuity.
63.27 	(c) Paragraph (a) requires an insurance producer to consider the types of products the 
63.28 	insurance producer is authorized and licensed to recommend or sell that address the 
63.29 	consumer's financial situation, insurance needs, and financial objectives.  This paragraph 
63.30 	does not require an insurance producer to analyze or consider (1) any products outside the 
63.31 	insurance producer's authority and license, or (2) other possible alternative products or 
64.1 	strategies available in the market at the time of the recommendation. Insurance producers 
64.2 	shall be held to standards applicable to insurance producers with similar authority and 
64.3 	licensure.
64.4 	(d) This subdivision does not create a fiduciary obligation or relationship and only creates 
64.5 	a statutory obligation under sections 72A.203 to 72A.2036.
64.6 	(e) The consumer profile information; characteristics of the insurer; and product costs, 
64.7 	rates, benefits, and features are the factors generally relevant in determining whether an 
64.8 	annuity effectively addresses the consumer's financial situation, insurance needs, and financial 
64.9 	objectives. The level of importance of each factor under paragraph (a) may vary depending 
64.10 	on the facts and circumstances of a particular case. Each factor must not be considered in 
64.11 	isolation.
64.12 	(f) The requirements under paragraph (a)  include having a reasonable basis to believe 
64.13 	the consumer benefits from certain features of the annuity, including but not limited to 
64.14 	annuitization, death or living benefit, or other insurance-related features.
64.15 	(g) Paragraph (a) applies to the particular annuity as a whole and the underlying 
64.16 	subaccounts to which funds are allocated at the time of the purchase or exchange of an 
64.17 	annuity, riders, and similar product enhancements, if any.
64.18 	(h) Paragraph (a) does not require that the annuity with the lowest onetime or 
64.19 	multiple-occurrence compensation structure must be recommended.
64.20 	(i) Paragraph (a) does not require the insurance producer to assume ongoing monitoring 
64.21 	obligations. An ongoing monitoring obligation may be separately owed under the terms of 
64.22 	a fiduciary, consulting, investment advising, or financial planning agreement between the 
64.23 	consumer and the insurance producer.
64.24 	(j) When an annuity is being exchanged or replaced, the insurance producer shall consider 
64.25 	the whole transaction, which includes considering whether:
64.26 	(1) the consumer incurs a surrender charge; is subject to the commencement of a new 
64.27 	surrender period; loses existing benefits such as death, living, or other contractual benefits; 
64.28 	or is subject to increased fees, investment advisory fees, or charges for riders and similar 
64.29 	product enhancements;
64.30 	(2) the replacing product substantially benefits the consumer in comparison to the replaced 
64.31 	product over the life of the product; and
64.32 	(3) the consumer had another annuity exchange or replacement and, in particular, an 
64.33 	annuity exchange or replacement within the preceding 60 months.
65.1 	(k) If a person is 65 years of age or older, neither an insurance producer nor an insurer 
65.2 	shall recommend replacing or exchanging an annuity that requires the insured to pay a 
65.3 	surrender charge for the annuity being replaced or exchanged if the replacement or exchange 
65.4 	does not confer a substantial financial benefit over the life of the annuity to the consumer, 
65.5 	so that a reasonable person would believe the purchase is unnecessary.
65.6 	(l) Nothing in sections 72A.203 to 72A.2036 requires an insurance producer to obtain 
65.7 	any license other than an insurance producer license with the appropriate line of authority 
65.8 	to sell, solicit, or negotiate insurance in Minnesota, including but not limited to any securities 
65.9 	license in order to fulfill the duties and obligations contained in sections 72A.203 to 
65.10 	72A.2036, provided that the insurance producer does not give advice or provide services 
65.11 	that are subject to other securities law or engage in any other activity requiring other 
65.12 	professional licenses.

65.13 	Sec. 22. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
65.14 	to read:
65.15 		Subd. 1c.Disclosure obligation. (a) Prior to recommending and selling an annuity, the 
65.16 	insurance producer shall prominently disclose to the consumer the information required 
65.17 	under this paragraph on a form prescribed by the commissioner. The form prescribed by 
65.18 	the commissioner must contain:
65.19 	(1) a description of (i) the scope and terms of the relationship with the consumer, and 
65.20 	(ii) the role of the insurance producer in the transaction;
65.21 	(2) an affirmative statement indicating whether the insurance producer is licensed and 
65.22 	authorized to sell the following products:
65.23 	(i) fixed annuities;
65.24 	(ii) fixed indexed annuities;
65.25 	(iii) variable annuities;
65.26 	(iv) life insurance;
65.27 	(v) mutual funds;
65.28 	(vi) stocks and bonds; and
65.29 	(vii) certificates of deposit;
66.1 	(3) an affirmative statement describing the insurers that the insurance producer is 
66.2 	authorized, contracted, appointed, or otherwise able to sell insurance products for, using 
66.3 	the following descriptions:
66.4 	(i) from one insurer;
66.5 	(ii) from two or more insurers; or
66.6 	(iii) from two or more insurers, although primarily contracted with one insurer;
66.7 	(4) a description of the sources and types of cash and noncash compensation received 
66.8 	by the insurance producer, including whether the insurance producer is (i) compensated for 
66.9 	the sale of a recommended annuity by commission as part of a premium, or (ii) receives 
66.10 	other remuneration from the insurer, intermediary, or other insurance producer or by fee as 
66.11 	a result of a contract for advice or consulting service; and
66.12 	(5) a notice of the consumer's right to request additional information regarding cash 
66.13 	compensation.
66.14 	(b) Upon request of the consumer or the consumer's designated representative, the 
66.15 	insurance producer shall disclose:
66.16 	(1) a reasonable estimate of the amount of cash compensation received by the insurance 
66.17 	producer, which may be stated as a range of amounts or percentages; and
66.18 	(2) whether the cash compensation is a onetime or multiple-occurrence amount and, if 
66.19 	a multiple-occurrence amount, the frequency and amount of the occurrence, which may be 
66.20 	stated as a range of amounts or percentages.
66.21 	(c) Prior to or at the time an annuity is recommended or sold, the insurance producer 
66.22 	shall have a reasonable basis to believe the consumer has been reasonably informed of 
66.23 	various features of the annuity, including the potential surrender period and surrender charge; 
66.24 	potential tax penalty if the consumer sells, exchanges, surrenders, redeems, or annuitizes 
66.25 	the annuity; mortality and expense fees; investment advisory fees; annual fees; potential 
66.26 	charges for and features of riders or other options of the annuity; limitations on interest 
66.27 	returns; potential changes in nonguaranteed elements of the annuity; insurance and investment 
66.28 	components; and market risk.

67.1 	Sec. 23. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
67.2 	to read:
67.3 		Subd. 1d.Conflict of interest obligation. An insurance producer shall identify and 
67.4 	avoid or reasonably manage and disclose material conflicts of interest, including a material 
67.5 	conflict of interest related to an ownership interest.

67.6 	Sec. 24. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
67.7 	to read:
67.8 		Subd. 1e.Documentation obligation. An insurance producer shall, at the time of 
67.9 	recommendation or sale:
67.10 	(1) make a written record of any recommendation and the basis for the recommendation, 
67.11 	subject to sections 72A.203 to 72A.2036;
67.12 	(2) obtain a signed statement, on a form prescribed by the commissioner, that includes:
67.13 	(i) a customer's refusal to provide the consumer profile information, if any; and
67.14 	(ii) a customer's understanding of the ramifications of not providing the customer's 
67.15 	consumer profile information or providing insufficient consumer profile information; and
67.16 	(3) a consumer-signed statement, on a form prescribed by the commissioner, that 
67.17 	acknowledges the annuity transaction is not recommended if the customer decides to enter 
67.18 	into an annuity transaction that is not based on the insurance producer's recommendation.

67.19 	Sec. 25. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
67.20 	to read:
67.21 		Subd. 1f.Application of best interest obligation. Any requirement applicable to an 
67.22 	insurance producer under this section applies to every insurance producer who (1) exercises 
67.23 	control or influence in making a recommendation, and (2) has received direct compensation 
67.24 	as a result of the recommendation or sale, regardless of whether the insurance producer had 
67.25 	any direct contact with the consumer. Providing or delivering marketing or educational 
67.26 	materials, product wholesaling or other back office product support, and general supervision 
67.27 	of an insurance producer do not, in and of themselves, constitute material control or influence.

67.28 	Sec. 26. Minnesota Statutes 2020, section 72A.2032, subdivision 4, is amended to read:
67.29 		Subd. 4.Exception Transactions not based on recommendation. (a) Except as provided 
67.30 	under paragraph (b), an insurance producer, or an insurer, does not have any obligation to 
67.31 	a consumer under subdivision 1 or 3 1a related to an annuity transaction if:
68.1 	(1) no recommendation is made;
68.2 	(1) (2) a recommendation was made and was later found to have been prepared based 
68.3 	on materially inaccurate information provided by the consumer; or
68.4 	(2) (3) a consumer refuses to provide relevant suitability consumer profile information 
68.5 	and the annuity transaction is not recommended.; or
68.6 	(4) a consumer decides to enter into an annuity transaction that is not based on a 
68.7 	recommendation made by the insurance producer.
68.8 	(b) An insurer's issuance of an annuity subject to paragraph (a) shall be reasonable under 
68.9 	all the circumstances actually known, or which after reasonable inquiry should be known
68.10 	to the insurer or the insurance producer, at the time the annuity is issued.

68.11 	Sec. 27. Minnesota Statutes 2020, section 72A.2032, subdivision 6, is amended to read:
68.12 		Subd. 6.Supervision systemInsurer duties. (a) Except as permitted under subdivision 
68.13 	4, an insurer shall not issue an annuity recommended to a consumer unless there is a 
68.14 	reasonable basis to believe the annuity effectively addresses the particular consumer's 
68.15 	financial situation, insurance needs, and financial objectives based on the consumer's 
68.16 	consumer profile information.
68.17 	(a) (b) An insurer shall establish and maintain a supervision system that is reasonably 
68.18 	designed to achieve the insurer's and its insurance producers' compliance with sections 
68.19 	72A.203 to 72A.2036, including, but not limited to, all of the following:
68.20 	(1) the insurer shall establish and maintain reasonable procedures to inform its insurance 
68.21 	producers of the requirements of sections 72A.203 to 72A.2036 and shall incorporate the 
68.22 	requirements of sections 72A.203 to 72A.2036 into relevant insurance producer training 
68.23 	programs and manuals;
68.24 	(2) the insurer shall establish and maintain standards for insurance producer product 
68.25 	training and shall establish and maintain reasonable procedures to require its insurance 
68.26 	producers to comply with the requirements of section 72A.2033;
68.27 	(3) the insurer shall provide product-specific training and training materials which explain 
68.28 	all material features of its annuity products to its insurance producers;
68.29 	(4) the insurer shall establish and maintain procedures for the review of each 
68.30 	recommendation before issuance of an annuity that are designed to ensure that there is a 
68.31 	reasonable basis to determine that a recommendation is suitable the recommended annuity 
68.32 	effectively addresses the particular consumer's financial situation, insurance needs, and 
69.1 	financial objectives. The review procedures shall apply a screening system for the purpose 
69.2 	of identifying selected transactions for additional review and may be accomplished 
69.3 	electronically or through other reasonable means including, but not limited to, physical 
69.4 	review. The electronic or other system shall be designed to require an elevated individual 
69.5 	review for those transactions involving consumers 65 years of age or older on the basis of 
69.6 	the review procedure's thresholds for liquidity, liquid net worth, income, and anticipated 
69.7 	material changes in their financial situation and needs and the elevated review shall be 
69.8 	conducted by a natural person or persons;
69.9 	(5) the insurer shall establish and maintain reasonable procedures to detect 
69.10 	recommendations that are not suitable in compliance with subdivisions 1a to 1f, 4, 7, and 
69.11 	8. This may include, but is not limited to, confirmation of consumer suitability the consumer's 
69.12 	profile information, systematic customer surveys, insurance producer and consumer 
69.13 	interviews, confirmation letters, insurance producer attestations, and programs of internal 
69.14 	monitoring. Nothing in this clause prevents an insurer from complying with this clause by 
69.15 	applying sampling procedures, or by confirming suitability consumer profile information 
69.16 	or other required information under this subdivision after issuance or delivery of the annuity; 
69.17 	and
69.18 	(6) the insurer shall establish and maintain reasonable procedures to assess, prior to or 
69.19 	upon issuance or delivery of an annuity, whether an insurance producer has provided to the 
69.20 	consumer the information required under this subdivision;
69.21 	(7) the insurer shall establish and maintain reasonable procedures to identify and address 
69.22 	suspicious consumer refusals to provide consumer profile information;
69.23 	(8) the insurer shall establish and maintain  reasonable procedures to identify and eliminate 
69.24 	any sales contests, sales quotas, bonuses, and noncash compensation that are based on the 
69.25 	sales of specific annuities within a limited period of time. This clause does not prohibit the 
69.26 	receipt of health insurance, office rent, office support, retirement benefits, or other employee 
69.27 	benefits, as long as the benefits are not based on the volume of sales of a specific annuity 
69.28 	within a limited period of time; and
69.29 	(6)(9) the insurer shall annually provide a written report to senior management, including 
69.30 	to the senior manager responsible for audit functions, which details a review, with appropriate 
69.31 	testing, reasonably designed to determine the effectiveness of the supervision system, the 
69.32 	exceptions found, and corrective action taken or recommended, if any.
69.33 	(b)(1) (c)(1) Nothing in this subdivision restricts an insurer from contracting for 
69.34 	performance of a function, including maintenance of procedures, required under paragraph 
70.1 	(a) (b). An insurer is responsible for taking appropriate corrective action and may be subject 
70.2 	to sanctions and penalties pursuant to section 72A.2034 regardless of whether the insurer 
70.3 	contracts for performance of a function and regardless of the insurer's compliance with 
70.4 	subdivision 2 clause (2), and an insurer is responsible for the compliance of an insurance 
70.5 	producer with the provisions of sections 72A.203 to 72A.2036 regardless of whether the 
70.6 	insurer contracts for performance of a function required under this paragraph; and
70.7 	(2) an insurer's supervision system under paragraph (a) (b) must include supervision of 
70.8 	contractual performance under this clause. This includes, but is not limited to, the following:
70.9 	(i) monitoring and, as appropriate, conducting audits to assure that the contracted function 
70.10 	is properly performed; and
70.11 	(ii) annually obtaining a certification from a senior manager who has responsibility for 
70.12 	the contracted function that the manager has a reasonable basis to represent, and does 
70.13 	represent, that the function is properly performed.
70.14 	(c) (d) An insurer is not required to include in its system of supervision an insurance 
70.15 	producer's recommendations to consumers of products other than the annuities offered by 
70.16 	the insurer, or consideration of or comparison to options available to the insurance producer 
70.17 	or compensation relating to the options other than annuities or other products offered by 
70.18 	the insurer.

70.19 	Sec. 28. Minnesota Statutes 2020, section 72A.2032, subdivision 7, is amended to read:
70.20 		Subd. 7.Undue influence Prohibited practices. An insurance producer or insurer shall 
70.21 	not dissuade, or attempt to dissuade, a consumer from:
70.22 	(1) providing suitability consumer profile information to the insurance producer or 
70.23 	insurer and truthfully responding to an insurer's request for confirmation of suitability
70.24 	consumer profile information;
70.25 	(2) filing a complaint; or
70.26 	(3) cooperating with the investigation of a complaint.

70.27 	Sec. 29. Minnesota Statutes 2020, section 72A.2032, subdivision 8, is amended to read:
70.28 		Subd. 8.FINRA Comparable standards; compliance. (a) Recommendations and sales 
70.29 	of annuities made by broker-dealers in compliance with comparable standards satisfy the 
70.30 	requirements under sections 72A.203 to 72A.2036, so long as:. This subdivision applies to 
70.31 	recommendations and sales of annuities made by financial professionals in compliance with 
71.1 	business rules, controls, and procedures that satisfy a comparable standard even if the 
71.2 	standard would not otherwise apply to the product or recommendation at issue. Nothing in 
71.3 	this subdivision limits the commissioner's ability to investigate and enforce sections 72A.203 
71.4 	to 72A.2036.
71.5 	(1) those sales comply with FINRA requirements pertaining to suitability and supervision 
71.6 	of annuity transactions; and
71.7 	(2) a registered principal reviews and approves the transaction based on review criteria 
71.8 	that include consideration of the customer's age, income, liquidity needs, and financial 
71.9 	situation.
71.10 	(b) The insurer remains responsible for the suitability of every transaction and must take 
71.11 	reasonably appropriate corrective action for any consumer harmed by violation of law and 
71.12 	is subject to the penalty provisions described in section 72A.2034, subdivision 1.
71.13 	(c) (b) For paragraph (a) to apply, an insurer shall:
71.14 	(1) monitor the FINRA member broker-dealer relevant conduct of the financial 
71.15 	professional seeking to rely on paragraph (a) or the entity responsible for supervising the 
71.16 	financial professional, including the financial professional's broker-dealer or an investment 
71.17 	adviser registered under federal or state securities law using information collected in the 
71.18 	normal course of the insurer's business; and
71.19 	(2) provide to the FINRA member broker-dealer entity responsible for supervising the 
71.20 	financial professional seeking to rely on paragraph (a), including the financial professional's 
71.21 	broker-dealer or investment adviser registered under federal or state securities law,
71.22 	information and reports that are reasonably appropriate to assist the FINRA member 
71.23 	broker-dealer the entity to maintain its supervision system.
71.24 	(d) Nothing in this subdivision limits: (c) For purposes of this subdivision, "financial 
71.25 	professional" means an insurance producer that is regulated and acting as:
71.26 	(1) the responsibilities of the insurer to monitor the broker-dealer as provided in this 
71.27 	subdivision; and a broker-dealer registered under federal or state securities law or a registered 
71.28 	representative of a broker-dealer;
71.29 	(2) the commissioner of commerce's ability to enforce the provisions of sections 72A.203
71.30 	to 72A.2036 with respect to sales made in compliance with FINRA requirements and federal 
71.31 	law. an investment adviser registered under federal or state securities law, or an investment 
71.32 	adviser representative associated with the federal or state registered investment adviser; or
72.1 	(3) a plan fiduciary under the Employee Retirement Income Security Act of 1974 
72.2 	(ERISA), United States Code, title 29, section 1001; Code of Federal Regulations, title 29, 
72.3 	part 2510.3-21; fiduciary under the Internal Revenue Code, section 4975(e)(3); or any 
72.4 	amendments or successor statutes.
72.5 	(d) For purposes of this subdivision, "comparable standards" means:
72.6 	(1) with respect to broker-dealers and registered representatives of broker-dealers, 
72.7 	applicable United States Securities and Exchange Commission and FINRA rules pertaining 
72.8 	to best interest obligations and supervision of annuity recommendations and sales, including 
72.9 	but not limited to regulation best interest and any amendments or successor regulations;
72.10 	(2) with respect to investment advisers registered under federal or state securities law 
72.11 	or investment adviser representatives, the fiduciary duties and all other requirements imposed 
72.12 	on the investment advisers or investment adviser representatives by contract or under the 
72.13 	Investment Advisers Act of 1940 or applicable state securities law, including but not limited 
72.14 	to Form ADV and interpretations; and
72.15 	(3) with respect to plan fiduciaries or fiduciaries, the duties, obligations, prohibitions, 
72.16 	and all other requirements attendant to status under ERISA or the Internal Revenue Code 
72.17 	and any amendments or successor statutes.

72.18 	Sec. 30. Minnesota Statutes 2020, section 72A.2033, is amended to read:
72.19 	72A.2033 INSURANCE PRODUCER TRAINING.
72.20 		Subdivision 1.Requirement. An insurance producer shall not solicit the sale of an 
72.21 	annuity product unless the insurance producer has adequate knowledge of the product to 
72.22 	recommend the annuity and the insurance producer is in compliance with the insurer's 
72.23 	standards for product training. An insurance producer may rely on insurer-provided 
72.24 	product-specific training standards and materials to comply with this subdivision section.
72.25 		Subd. 2.Initial training. (a) An insurance producer who is otherwise entitled to engage 
72.26 	in the sale of annuity products shall complete a onetime four-credit training course approved 
72.27 	by the commissioner and provided by a continuing education provider approved by the 
72.28 	commissioner prior to commencing the transaction of annuities.
72.29 	Insurance producers who hold a life insurance line of authority on June 1, 2013 December 
72.30 	31, 2022, and who desire to sell annuities shall complete the requirements of this subdivision 
72.31 	no later than six months after January 1, 2014 2023. Individuals who obtain a life insurance 
72.32 	line of authority on or after January 1, 2014 2023, may not engage in the sale of annuities 
72.33 	until the annuity training course required under this subdivision has been completed.
73.1 	(b) The length of the training required under this subdivision must be four continuing 
73.2 	education hours.
73.3 	(c) The training required under this subdivision must include information on the following 
73.4 	topics:
73.5 	(1) the types of annuities and various classifications of annuities;
73.6 	(2) identification of the parties to an annuity;
73.7 	(3) how fixed, variable, and indexed annuity contract provisions affect consumers;
73.8 	(4) the application of income taxation of qualified and nonqualified annuities;
73.9 	(5) the primary uses of annuities;
73.10 	(6) appropriate and lawful standards of conduct, sales practices, replacement, and 
73.11 	disclosure requirements, and suitability information and whether an annuity is suitable for 
73.12 	a consumer; and
73.13 	(7) the recognition of indicators that a prospective insured may lack the short-term 
73.14 	memory or judgment to knowingly purchase an insurance product.
73.15 	(d) Providers of courses intended to comply with this subdivision shall cover all topics 
73.16 	listed in the prescribed outline and shall not present any marketing information or provide 
73.17 	training on sales techniques or provide specific information about a particular insurer's 
73.18 	products.
73.19 	(e) A provider of an annuity training course intended to comply with this subdivision 
73.20 	must be an approved continuing education provider in this state and comply with the 
73.21 	requirements applicable to insurance producer continuing education courses.
73.22 	(f) An insurance producer licensed by December 31, 2022, who holds a life insurance 
73.23 	line of authority and has previously completed the training in subdivision 2, paragraph (a), 
73.24 	shall, by July 1, 2023, complete either:
73.25 	(1) a new four-credit training course approved by the Department of Commerce after 
73.26 	July 1, 2022; or
73.27 	(2) an additional onetime one-credit training course approved by the Department of 
73.28 	Commerce by July 1, 2022, and provided by a Department of Commerce-approved education 
73.29 	provider on appropriate sales practices and replacement and disclosure requirements under 
73.30 	sections 72A.203 to 72A.2036.
74.1 	(f) Annuity training courses may be conducted and completed by classroom or self-study 
74.2 	methods in accordance with chapter 45. In order to assist compliance with this section, all 
74.3 	courses approved by the commissioner for the purposes of this section shall be given the 
74.4 	course title "Annuity Suitability and Disclosure Best Interest Standards of Conduct for 
74.5 	Annuity Sales." Only courses satisfying the requirements of this section shall use this course 
74.6 	title after JuneJuly 1, 2013 2023.
74.7 	(g) Providers of annuity training shall comply with the course completion reporting 
74.8 	requirements of chapter 45.
74.9 	(h) The satisfaction of the training requirements of another state that are substantially 
74.10 	similar to the provisions of this subdivision satisfies the training requirements of this 
74.11 	subdivision in this state, but does not satisfy any of the continuing education requirements 
74.12 	of chapter 60K unless the training requirements of the other state are satisfied through one 
74.13 	or more continuing education courses approved by the commissioner.
74.14 	(i) The satisfaction of the components of the training requirements of any course or 
74.15 	courses with components substantially similar to the provisions of this subdivision satisfy 
74.16 	the training requirements of this subdivision.
74.17 	(i)(j) An insurer shall verify that an insurance producer has completed the annuity 
74.18 	training course required under this subdivision before allowing the insurance producer to 
74.19 	sell an annuity product for that insurer. An insurer may satisfy its responsibility under this 
74.20 	subdivision by obtaining certificates of completion of the training course or obtaining reports 
74.21 	provided by commissioner-sponsored database systems, vendors, or from a reasonably 
74.22 	reliable commercial database vendor that has a reporting arrangement with approved 
74.23 	insurance education providers. If such data collection and reporting arrangements are not 
74.24 	in place, an insurer must maintain records verifying that the producer has completed the 
74.25 	annuity training course required under this subdivision and make the records available to 
74.26 	the commissioner upon request.

74.27 	Sec. 31. Minnesota Statutes 2020, section 72A.2034, is amended to read:
74.28 	72A.2034 PENALTIES.
74.29 		Subdivision 1.Imposition; mitigation; enforcement. (a) An insurer is responsible for 
74.30 	compliance with sections 72A.203 to 72A.2036. If a violation occurs, either because of the 
74.31 	action or inaction of the insurer or its insurance producer, the commissioner may order, in 
74.32 	addition to any available penalties, remedies, or administrative actions:
75.1 	(1) an insurer to take reasonably appropriate corrective action, including but not limited 
75.2 	to canceling a transaction action, for any consumer harmed by a failure to comply with 
75.3 	sections 72A.203 to 72A.2036 by the insurer's insurer, an entity contracted to perform the 
75.4 	insurer supervisory duties, or by its the insurer's insurance producer's, violation of sections 
75.5 	72A.203 to 72A.2036 producer;
75.6 	(2) a general agency, independent agency, or the insurance producer to take reasonably 
75.7 	appropriate corrective action for any consumer harmed by the insurance producer's violation 
75.8 	of sections 72A.203 to 72A.2036; and
75.9 	(3) appropriate penalties and sanctions.
75.10 	(b) Nothing in sections 72A.203 to 72A.2036 shall affect any obligation of an insurer 
75.11 	for the acts of its insurance producers, or any consumer remedy or any cause of action that 
75.12 	is otherwise provided for under applicable federal or state law, including without limitation 
75.13 	chapter 60K.
75.14 		Subd. 2.Aggravation or mitigation. Any applicable penalty for a violation of sections 
75.15 	72A.203 to 72A.2036 may be increased or decreased upon consideration of any aggravating 
75.16 	or mitigating circumstances, including if corrective action for the consumer was taken 
75.17 	promptly after a violation was discovered, or if the violation was not part of a pattern or 
75.18 	practice. The authority to enforce compliance with sections 72A.203 to 72A.2036 is vested 
75.19 	exclusively with the commissioner.

75.20 	Sec. 32. Minnesota Statutes 2020, section 72A.2035, subdivision 1, is amended to read:
75.21 		Subdivision 1.Duration. Insurers and insurance producers shall maintain or be able to 
75.22 	make available to the commissioner records of the information collected from the consumer; 
75.23 	disclosures made to the consumer, including summaries of oral disclosures; and other 
75.24 	information used in making the recommendations that were the basis for insurance 
75.25 	transactions for ten years after the insurance transaction is completed by the insurer. An 
75.26 	insurer is permitted, but shall not be required, to maintain documentation on behalf of an 
75.27 	insurance producer.

75.28 	Sec. 33. Minnesota Statutes 2020, section 72A.2036, is amended to read:
75.29 	72A.2036 RELATIONSHIP TO OTHER LAWS; ENFORCEMENT.
75.30 	(a) Nothing in sections 72A.203 to 72A.2036shall be interpreted to: limits the 
75.31 	commissioner's authority to make any investigation or take any action under chapter 45 or 
75.32 	other applicable law with respect to any insurer, insurance producer, broker-dealer, third-party 
76.1 	contractor, or other entity engaged in any activity involving the sale of an annuity that is 
76.2 	subject to sections 72A.203 to 72A.2036.
76.3 	(1) change, alter, or modify any of the obligations, duties, or responsibilities of insurers 
76.4 	or insurance producers, pursuant to any orders of the commissioner or consent decrees in 
76.5 	effect as of June 1, 2013; or
76.6 	(2) limit the commissioner's authority to make any investigation or take any action under 
76.7 	chapter 45 or other applicable state law with respect to any insurer, insurance producer, 
76.8 	broker-dealer, third-party contractor, or other entity engaged in any activity involving the 
76.9 	sale of an annuity that is subject to sections 72A.203 to 72A.2036.
76.10 	(b) In addition to any other penalties provided by the laws of this state, a violation of 
76.11 	sections 72A.203 to 72A.2036 shall be considered a violation of section 72A.20.

76.12 	Sec. 34. STUDY AND REPORT ON DISPARITIES BETWEEN GEOGRAPHIC 
76.13 	RATING AREAS IN INDIVIDUAL AND SMALL GROUP MARKET HEALTH 
76.14 	INSURANCE RATES.
 76.15 		Subdivision 1.Study and recommendations. (a) The commissioner of commerce must 
76.16 	(1) study disparities between Minnesota's nine geographic rating areas in individual and 
76.17 	small group market health insurance rates, and (2) recommend ways to reduce or eliminate 
76.18 	rate disparities between the geographic rating areas and provide stability for the individual 
76.19 	and small group health insurance markets in Minnesota.
76.20 	(b) As part of the study, the commissioner of commerce must:
76.21 	(1) identify the factors that cause higher individual and small group market health 
76.22 	insurance rates in certain geographic rating areas, and determine the extent to which each 
76.23 	identified factor contributes to the higher rates;
76.24 	(2) identify the impact of referral centers on individual and small group market health 
76.25 	insurance rates in southeastern Minnesota, and identify ways to reduce the rate disparity 
76.26 	between southeastern Minnesota and the metropolitan area, taking into consideration the 
76.27 	patterns of referral center usage by patients in those regions;
76.28 	(3) determine the extent to which individuals and small employers located in a geographic 
76.29 	rating area with higher health insurance rates than surrounding geographic rating areas have 
76.30 	obtained health insurance in a lower-cost geographic rating area, identify the strategies that 
76.31 	individuals and small employers use to obtain health insurance in a lower-cost geographic 
76.32 	rating area, and measure the effects of this practice on the rates of the individuals and small 
76.33 	employers remaining in the geographic rating area with higher health insurance rates; and
77.1 	(4) develop proposals to redraw the boundaries of Minnesota's geographic rating areas 
77.2 	and calculate the effect each proposal would have on rates in each of the proposed rating 
77.3 	areas. The commissioner of commerce must examine at least three options for redrawing 
77.4 	the boundaries of Minnesota's geographic rating areas, at least one of which must reduce 
77.5 	the number of geographic rating areas and at least one which must be based on the first 
77.6 	three digits of area zip codes. The commissioner must not take into consideration the 
77.7 	requirements of Minnesota Statutes, section 62A.65, subdivision 3, paragraph (b), clause 
77.8 	(2), when developing the proposals required by this section. All options for redrawing 
77.9 	Minnesota's geographic rating areas considered by the commissioner of commerce must be 
77.10 	designed:
77.11 	(i) to reduce or eliminate rate disparities between geographic rating areas and provide 
77.12 	for stability of the individual and small group health insurance markets in Minnesota;
77.13 	(ii) after considering the composition of existing provider networks and referral patterns 
77.14 	in regions of Minnesota; and
77.15 	(iii) in compliance with the requirements for geographic rating areas in Code of Federal 
77.16 	Regulations, title 45, section 147.102(b), and other applicable federal law and guidance.
77.17 	(c) Health carriers that cover Minnesota residents, health systems that provide care to 
77.18 	Minnesota residents, and the commissioner of health must cooperate with any request for 
77.19 	information from the commissioner of commerce that the commissioner of commerce 
77.20 	determines is necessary to conduct the study.
77.21 	(d) The commissioner of commerce may recommend one or more proposals to redraw 
77.22 	Minnesota's geographic rating areas if the commissioner of commerce determines that the 
77.23 	proposal would reduce or eliminate individual and small group market health insurance rate 
77.24 	disparities between the geographic rating areas and provide stability for the individual and 
77.25 	small group health insurance markets in Minnesota.
77.26 		Subd. 2.Contract. The commissioner of commerce may contract with another entity 
77.27 	for technical assistance in conducting the study and developing recommendations under 
77.28 	subdivision 1.
77.29 		Subd. 3.Report. The commissioner of commerce must complete the study and 
77.30 	recommendations by January 1, 2023, and submit a report on the study and recommendations 
77.31 	by January 1, 2023, to the chairs and ranking minority members of the legislative committees 
77.32 	with jurisdiction over health care and health insurance.

78.1 	Sec. 35. REPEALER.
 78.2 	(a) Minnesota Statutes 2020, section 62Q.56, subdivision 1a, is repealed.
78.3 	(b) Minnesota Statutes 2020, sections 72A.2031, subdivisions 3, 9, and 11; and 72A.2032, 
78.4 	subdivisions 1, 2, 3, and 5, are repealed.

78.5 	ARTICLE 4
78.6 	CONSUMER PROTECTION

78.7 	Section 1. [58B.011] STUDENT LOAN ADVOCATE.
78.8 		Subdivision 1.Designation of a student loan advocate. The commissioner of commerce 
78.9 	must designate a student loan advocate within the Department of Commerce to provide 
78.10 	timely assistance to borrowers and to effectuate this chapter.
78.11 		Subd. 2.Duties. The student loan advocate has the following duties:
78.12 	(1) receive, review, and attempt to resolve complaints from borrowers, including but 
78.13 	not limited to attempts to resolve borrower complaints in collaboration with institutions of 
78.14 	higher education, student loan servicers, and any other participants in student loan lending;
78.15 	(2) compile and analyze data on borrower complaints received under clause (1);
78.16 	(3) help borrowers understand the rights and responsibilities under the terms of student 
78.17 	loans;
78.18 	(4) provide information to the public, state agencies, legislators, and relevant stakeholders 
78.19 	regarding the problems and concerns of borrowers;
78.20 	(5) make recommendations to resolve the problems of borrowers;
78.21 	(6) analyze and monitor the development and implementation of federal, state, and local 
78.22 	laws, regulations, and policies relating to borrowers, and recommend any changes deemed 
78.23 	necessary;
78.24 	(7) review the complete student loan history for any borrower who has provided written 
78.25 	consent to conduct the review;
78.26 	(8) increase public awareness that the advocate is available to assist in resolving the 
78.27 	student loan servicing concerns of potential and actual borrowers, institutions of higher 
78.28 	education, student loan servicers, and any other participant in student loan lending; and
78.29 	(9) take other actions as necessary to fulfill the duties of the advocate, as provided under 
78.30 	this section.
79.1 		Subd. 3.Student loan education course. The advocate must establish and maintain a 
79.2 	borrower education course. The course must include educational presentations and materials 
79.3 	regarding important topics in student loans, including but not limited to:
79.4 	(1) the meaning of important terminology used in student lending;
79.5 	(2) documentation requirements;
79.6 	(3) monthly payment obligations;
79.7 	(4) income-based repayment options;
79.8 	(5) the availability of state and federal loan forgiveness programs; and
79.9 	(6) disclosure requirements.
79.10 		Subd. 4.Reporting. By January 15 of each odd-numbered year, the advocate must report 
79.11 	to the legislative committees with jurisdiction over commerce and higher education. The 
79.12 	report must describe (1) the advocate's implementation of this section, (2) the outcomes 
79.13 	achieved by the advocate during the previous two years, and (3) any recommendations to 
79.14 	improve the regulation of student loan servicers.

79.15 	Sec. 2. Minnesota Statutes 2020, section 65B.84, subdivision 1, is amended to read:
79.16 		Subdivision 1.Program described; commissioner's duties; appropriation. (a) The 
79.17 	commissioner of commerce shall:
79.18 	(1) develop and sponsor the implementation of statewide plans, programs, and strategies 
79.19 	to combat automobile theft, improve the administration of the automobile theft laws, and 
79.20 	provide a forum for identification of critical problems for those persons dealing with 
79.21 	automobile theft;
79.22 	(2) coordinate the development, adoption, and implementation of plans, programs, and 
79.23 	strategies relating to interagency and intergovernmental cooperation with respect to 
79.24 	automobile theft enforcement;
79.25 	(3) annually audit the plans and programs that have been funded in whole or in part to 
79.26 	evaluate the effectiveness of the plans and programs and withdraw funding should the 
79.27 	commissioner determine that a plan or program is ineffective or is no longer in need of 
79.28 	further financial support from the fund;
79.29 	(4) develop a plan of operation including:
79.30 	(i) an assessment of the scope of the problem of automobile theft, including areas of the 
79.31 	state where the problem is greatest;
80.1 	(ii) an analysis of various methods of combating the problem of automobile theft;
80.2 	(iii) a plan for providing financial support to combat automobile theft;
80.3 	(iv) a plan for eliminating car hijacking; and
80.4 	(v) an estimate of the funds required to implement the plan; and
80.5 	(5) distribute money, in consultation with the commissioner of public safety, pursuant 
80.6 	to subdivision 3 from the automobile theft prevention special revenue account for automobile 
80.7 	theft prevention activities, including:
80.8 	(i) paying the administrative costs of the program;
80.9 	(ii) providing financial support to the State Patrol and local law enforcement agencies 
80.10 	for automobile theft enforcement teams;
80.11 	(iii) providing financial support to state or local law enforcement agencies for programs 
80.12 	designed to reduce the incidence of automobile theft and for improved equipment and 
80.13 	techniques for responding to automobile thefts;
80.14 	(iv) providing financial support to local prosecutors for programs designed to reduce 
80.15 	the incidence of automobile theft;
80.16 	(v) providing financial support to judicial agencies for programs designed to reduce the 
80.17 	incidence of automobile theft;
80.18 	(vi) providing financial support for neighborhood or community organizations or business 
80.19 	organizations for programs designed to reduce the incidence of automobile theft and to 
80.20 	educate people about the common methods of automobile theft, the models of automobiles 
80.21 	most likely to be stolen, and the times and places automobile theft is most likely to occur; 
80.22 	and
80.23 	(vii) providing financial support for automobile theft educational and training programs 
80.24 	for state and local law enforcement officials, driver and vehicle services exam and inspections 
80.25 	staff, and members of the judiciary.
80.26 	(b) The commissioner may not spend in any fiscal year more than ten percent of the 
80.27 	money in the fund for the program's administrative and operating costs. The commissioner 
80.28 	is annually appropriated and must distribute the amount of the proceeds credited to the 
80.29 	automobile theft prevention special revenue account each year, less the transfer of $1,300,000 
80.30 	each year to the insurance fraud prevention account described in section 297I.11, subdivision 
80.31 	2.
81.1 	(c) At the end of each fiscal year, the commissioner may transfer any unobligated balances 
81.2 	in the auto theft prevention account to the insurance fraud prevention account under section 
81.3 	45.0135, subdivision 6.
81.4 	(d) The commissioner must establish a library of equipment to combat automobile-related 
81.5 	theft offenses. The equipment must be available to all law enforcement agencies upon 
81.6 	request to support law enforcement agency efforts to combat automobile theft.

81.7 	Sec. 3. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision to 
81.8 	read:
81.9 		Subd. 11.Prohibition on possessing catalytic converters; exception. (a) It is unlawful 
81.10 	for a person who is not a registered scrap metal dealer to possess a used catalytic converter 
81.11 	that is not attached to a motor vehicle except when:
81.12 	(1) the converter is marked with (i) the date the converter was removed from the vehicle, 
81.13 	and (ii) the identification number of the vehicle from which the converter was removed or 
81.14 	an alternative number to the vehicle identification number from the vehicle from which the 
81.15 	converter was removed; or
81.16 	(2) the converter has been EPA certified for reuse as a replacement part.
81.17 	(b) If an alternative number to the vehicle identification number is used, it must be under 
81.18 	a numbering system that can be immediately linked to the vehicle identification number by 
81.19 	law enforcement. The marking of the alternative number may be made in any permanent 
81.20 	manner, including but not limited to an engraving or use of permanent ink. The marking 
81.21 	must clearly and legibly indicate (1) the date the converter was removed; and (2) the (i) 
81.22 	vehicle identification number, or (ii) alternative number and the method by which law 
81.23 	enforcement can link the converter to the vehicle identification number.

81.24 	EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes 
81.25 	committed on or after that date.

81.26 	Sec. 4. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision to 
81.27 	read:
81.28 		Subd. 12.Prohibition. It is unlawful for a person who is not a registered scrap metal 
81.29 	dealer to purchase a used catalytic converter that is not EPA certified for reuse as a 
81.30 	replacement part, except when the catalytic converter is attached to a motor vehicle. A used 
81.31 	catalytic converter that is EPA certified for reuse as a replacement part may be sold to a 
82.1 	person or business for reuse as a replacement part for a motor vehicle when the requirements 
82.2 	of subdivision 11 are met.

82.3 	EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes 
82.4 	committed on or after that date.

82.5 	Sec. 5. [325F.6945] UNLAWFUL SOCIAL MEDIA ACTIVITIES.
82.6 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
82.7 	the meanings given.
82.8 	(b) "Account holder" means a person who accesses a social media account through a 
82.9 	social media platform.
82.10 	(c) "Social media algorithm" means the software used by social media platforms to (1) 
82.11 	prioritize content, and (2) direct the prioritized content to the account holder.
82.12 	(d) "Social media platform" means an electronic medium, including a browser-based or 
82.13 	application-based interactive computer service, telephone network, or data network, that 
82.14 	allows users to create, share, and view user-generated content. Social media platform does 
82.15 	not include Internet search providers, Internet service providers, or e-mail.
82.16 	(e) "User-generated content" means any content created or shared by an account holder, 
82.17 	including without limitation written posts, photographs, graphics, video recordings, or audio 
82.18 	recordings.
82.19 		Subd. 2.Prohibitions; social media algorithm. (a) A social media platform with more 
82.20 	than 1,000,000 account holders operating in Minnesota is prohibited from using a social 
82.21 	media algorithm to target user-generated content at an account holder under the age of 18 
82.22 	and who is located in Minnesota, except as provided in subdivision 3.
82.23 	(b) The social media platform is liable to an individual account holder who received 
82.24 	user-generated content through a social media algorithm while the individual account holder 
82.25 	was under the age of 18 if the social media platform knew or had reason to know that the 
82.26 	individual account holder was under the age of 18 and located in Minnesota. A social media 
82.27 	platform subject to this paragraph is liable to the account holder for (1) any general or special 
82.28 	damages, (2) a statutory penalty of $1,000 for each violation of this section, provided that 
82.29 	no individual account holder may recover more than $100,000 in statutory penalties under 
82.30 	this subdivision in any calendar year, and (3) any other penalties available under law.
82.31 		Subd. 3.Exceptions. (a) An algorithm, software, or device that acts as a parental control, 
82.32 	or an internal control used by the social media platform that is intended to control the ability 
83.1 	of a minor to access content, or is used to filter content for age-appropriate or banned 
83.2 	material, is exempt from this section.
83.3 	(b) User-generated content that is created by a federal, state, or local government or by 
83.4 	a public or private school, college, or university, including software and applications used 
83.5 	by a public or private school, college, or university that are created and used for educational 
83.6 	purposes, is exempt from this section.

83.7 	Sec. 6. [332.365] CREDIT COUNSELING ORGANIZATIONS; DEBTORS.
83.8 		Subdivision 1.Duties of commissioner. (a) On or before July 1, 2023, the commissioner 
83.9 	must develop and maintain a document that includes the contact information for nonprofit 
83.10 	organizations domiciled in Minnesota that provide credit counseling services to debtors. 
83.11 	Credit counseling services include but are not limited to (1) helping a debtor understand 
83.12 	the debtor's rights and responsibilities, and (2) working with debtors, creditors, and collection 
83.13 	agencies to satisfy debts. The document must include contact information for organizations 
83.14 	that provide credit counseling services in languages other than English to individuals whose 
83.15 	primary language is a language other than English. The document must include the following 
83.16 	statement in English, Spanish, Somali, Hmong, Vietnamese, and Chinese:
83.17 	"There are resources available to help manage your debt. The following Minnesota 
83.18 	organizations offer debt and credit counseling services. The Department of Commerce does 
83.19 	not control or guarantee any of the services provided by these organizations. This list is not 
83.20 	a referral to, or endorsement or recommendation of, any organization or the organization's 
83.21 	services."
83.22 	(b) The document must be no more than one 8-1/2 by 11-inch sheet of paper. The 
83.23 	commissioner must maintain the document and make it publicly available on the department's 
83.24 	website in a printable format.
83.25 	(c) Beginning September 1, 2024, the commissioner may update the document no more 
83.26 	than once per year and must notify all licensed collection agencies after an update occurs. 
83.27 	A collection agency has 120 days from the date the collection agency receives notice of an 
83.28 	update to the document from the commissioner to apply the changes to the document.
83.29 		Subd. 2.Duties of collection agency. Beginning September 1, 2023, a collection agency 
83.30 	must include the document described in subdivision 1 with the initial written communication 
83.31 	sent to a debtor if the initial communication is performed via United States mail, e-mail, or 
83.32 	text message.

83.33 	EFFECTIVE DATE. This section is effective July 1, 2022.

84.1 	Sec. 7. Minnesota Statutes 2020, section 609.5316, subdivision 3, is amended to read:
84.2 		Subd. 3.Weapons, telephone cloning paraphernalia, automated sales suppression 
84.3 	devices, catalytic converters, and bullet-resistant vests. Weapons used are contraband 
84.4 	and must be summarily forfeited to the appropriate agency upon conviction of the weapon's 
84.5 	owner or possessor for a controlled substance crime; for any offense of this chapter or 
84.6 	chapter 624, or for a violation of an order for protection under section 518B.01, subdivision 
84.7 	14. Bullet-resistant vests, as defined in section 609.486, worn or possessed during the 
84.8 	commission or attempted commission of a crime are contraband and must be summarily 
84.9 	forfeited to the appropriate agency upon conviction of the owner or possessor for a controlled 
84.10 	substance crime or for any offense of this chapter. Telephone cloning paraphernalia used 
84.11 	in a violation of section 609.894, and automated sales suppression devices, phantom-ware, 
84.12 	and other devices containing an automated sales suppression or phantom-ware device or 
84.13 	software used in violation of section 289A.63, subdivision 12, are contraband and must be 
84.14 	summarily forfeited to the appropriate agency upon a conviction. A catalytic converter 
84.15 	possessed in violation of section 325E.21 is contraband and must be summarily forfeited 
84.16 	to the appropriate agency upon a conviction.

84.17 	EFFECTIVE DATE. This section is effective August 1, 2022, and applies to crimes 
84.18 	committed on or after that date.

APPENDIX 

Repealed Minnesota Statutes: H3607-1 

45.25 DEFINITIONS.Subd. 2a.Classroom course. 
"Classroom course" means an educational process based on live or real-time instruction including, but not limited to: 

(1) a course in which there is no geographic separation of instructor and learner; 

(2) a course taught live that is concurrently simulcast to remote locations and where each location is monitored by a proctor; and 

(3) a course taught live that is concurrently simulcast to individual students online and that includes a process to authenticate the student's identity and technology to guarantee seat time. 

Subd. 14.Self-study course. 
"Self-study course" means a distance learning course that is not entirely taught by the instructor live via the Internet, video, or other electronic means. 

60A.033 SCHEDULING CONFERENCE AND ORDER.Subd. 3.Exception. 
A scheduling conference and order is not required under this section if the insurance company waives its right to a scheduling conference and order. 

62Q.56 CONTINUITY OF CARE.Subd. 1a.Change in health care provider; termination not for cause. 
(a) If the contract termination was not for cause and the contract was terminated by the health plan company, the health plan company must provide the terminated provider and all enrollees being treated by that provider with notification of the enrollees' rights to continuity of care with the terminated provider. 

(b) The health plan company must provide, upon request, authorization to receive services that are otherwise covered under the terms of the health plan through the enrollee's current provider: 

(1) for up to 120 days if the enrollee is engaged in a current course of treatment for one or more of the following conditions: 

(i) an acute condition; 

(ii) a life-threatening mental or physical illness; 

(iii) pregnancy beyond the first trimester of pregnancy; 

(iv) a physical or mental disability defined as an inability to engage in one or more major life activities, provided that the disability has lasted or can be expected to last for at least one year, or can be expected to result in death; or 

(v) a disabling or chronic condition that is in an acute phase; or 

(2) for the rest of the enrollee's life if a physician, advanced practice registered nurse, or physician assistant certifies that the enrollee has an expected lifetime of 180 days or less. 

For all requests for authorization to receive services under this paragraph, the health plan company must grant the request unless the enrollee does not meet the criteria provided in this paragraph. 

(c) The health plan company shall prepare a written plan that provides a process for coverage determinations regarding continuity of care of up to 120 days for enrollees who request continuity of care with their former provider, if the enrollee: 

(1) is receiving culturally appropriate services and the health plan company does not have a provider in its preferred provider network with special expertise in the delivery of those culturally appropriate services within the time and distance requirements of section 62D.124, subdivision 1; or 

(2) does not speak English and the health plan company does not have a provider in its preferred provider network who can communicate with the enrollee, either directly or through an interpreter, within the time and distance requirements of section 62D.124, subdivision 1. 

The written plan must explain the criteria that will be used to determine whether a need for continuity of care exists and how it will be provided. 

72A.2031 DEFINITIONS.Subd. 3.Broker-dealer. 
"Broker-dealer" means a person engaged in the business of effecting transactions in securities for the account of others or for the person's own account. The term does not include: 

(1) an agent; 

(2) an issuer; 

(3) a depository institution, provided such activities are conducted in accordance with rules as may be adopted by the administrator; 

(4) an international banking institution; or 

(5) a person excluded by rule adopted or order issued under this chapter. 

Subd. 9.Registered principal. 
"Registered principal" means a person associated with a FINRA member broker-dealer, who is actively engaged in the management of the FINRA member broker-dealer investment banking or securities business, including supervision, solicitation, conduct of business, or the training of persons associated with a FINRA member broker-dealer for any of these functions. 

Subd. 11.Suitability information. 
"Suitability information" means information that is reasonably appropriate to determine the suitability of a recommendation, including but not limited to the following: 

(1) age; 

(2) annual income and anticipated material changes in annual income; 

(3) financial situation and needs, including the financial resources used for the funding of the annuity, and including anticipated material changes in financial situation and needs; 

(4) financial experience; 

(5) financial objectives; 

(6) intended use of the annuity; 

(7) financial time horizon; 

(8) existing assets, including investment and life insurance holdings and anticipated material changes in existing assets; 

(9) liquidity needs and anticipated material changes in liquidity needs; 

(10) liquid net worth and anticipated material changes in liquid net worth; 

(11) risk tolerance; 

(12) tax status; and 

(13) whether or not the consumer has a reverse mortgage. 

72A.2032 DUTIES OF INSURERS AND INSURANCE PRODUCERS.Subdivision 1.Suitability standard. 
In recommending to a consumer the purchase of an annuity or the exchange of an annuity that results in another insurance transaction or series of insurance transactions, the insurance producer, or the insurer where no producer is involved, shall have reasonable grounds for believing, after a reasonable inquiry, that the recommendation is suitable for the consumer, under the totality of the circumstances based on the facts disclosed by the consumer as to the consumer's investments and other insurance products and as to the consumer's financial situation and needs, including the consumer's suitability information, and that there is a reasonable basis to believe all of the following: 

(1) the consumer has been reasonably informed of various features of the annuity, such as the potential surrender period and surrender charge, potential tax penalty if the consumer sells, exchanges, surrenders, redeems, or annuitizes the annuity, mortality and expense fees, investment advisory fees, potential charges for and features of riders, limitations on interest returns, insurance and investment components, and market risk; 

(2) the consumer would receive a tangible net benefit from the transaction; 

(3) for the particular consumer based on the consumer's suitability information: 

(i) the particular annuity as a whole, the underlying subaccounts to which funds are allocated at the time of purchase or exchange of the annuity, and riders and similar product enhancements, if any, are suitable; and 

(ii) in the case of an exchange or replacement, the transaction as a whole is suitable taking into account, among other things, the age of the consumer; and 

(4) in the case of an exchange or replacement of an annuity, the exchange or replacement is suitable including taking into consideration all of the following: 

(i) the consumer will incur a surrender charge; be subject to the commencement of a new surrender period; lose existing benefits, such as death, living, or other contractual benefits; or be subject to increased fees, investment advisory fees, or charges for riders and similar product enhancements; 

(ii) the consumer would receive a tangible net benefit from the transaction, and in the case of a person 65 years of age or older, neither a producer nor an insurer shall recommend a replacement or exchange of an annuity that requires the insured to pay a surrender charge for the annuity being replaced or exchanged if the replacement or exchange does not confer a substantial financial benefit over the life of the annuity to the consumer so that a reasonable person would believe the purchase is unnecessary; and 

(iii) the consumer has had another annuity exchange or replacement and, in particular, an exchange or replacement within the preceding 60 months. 

Subd. 2.Obtaining suitability information. 
Before the execution of a purchase, exchange, or replacement of an annuity resulting from a recommendation, an insurance producer, or an insurer where no producer is involved, shall make reasonable efforts to obtain the consumer's suitability information, and record this information on a form, inventory, or similar record. The producer, upon request, shall provide to the consumer or the consumer's legal representative a copy of the information used in the making of the suitability determination. 

Subd. 3.Restriction on issuance of annuity. 
Except as permitted under subdivision 4, an insurer shall not issue an annuity recommended to a consumer unless there is a reasonable basis to believe the annuity is suitable based on the consumer's suitability information. 

Subd. 5.Documentation. 
An insurance producer or, where no insurance producer is involved, the responsible insurer representative shall at the time of sale: 

(1) make a record of any recommendation subject to subdivision 1; 

(2) obtain a consumer-signed statement documenting a consumer's refusal to provide suitability information, if any; and 

(3) obtain a consumer-signed statement acknowledging that an annuity transaction is not recommended if a consumer decides to enter into an annuity transaction that is not based on the insurance producer's or insurer's recommendation.