1.1 	A bill for an act
1.2 	relating to state government; appropriating money for activities relating to economic 
1.3 	development, labor and industry, energy, and commerce; making policy and 
1.4 	technical changes; requiring reports; authorizing rulemaking; providing civil and 
1.5 	criminal penalties;amending Minnesota Statutes 2020, sections 13.43, subdivision 
1.6 	6; 13.719, by adding a subdivision; 16B.32, subdivisions 1, 1a; 16C.137, 
1.7 	subdivision 1; 45.0135, subdivisions 2a, 2b; 45.25, subdivisions 12, 13, by adding 
1.8 	subdivisions; 45.31, subdivisions 2, 3; 46.131, subdivisions 2, 4, 11; 47.08; 47.16, 
1.9 	subdivisions 1, 2; 47.172, subdivision 2; 47.28, subdivision 3; 47.30, subdivision 
1.10 	5; 48A.15, subdivision 1; 53.03, subdivisions 1, 5; 53C.02; 55.10, subdivision 1; 
1.11 	56.02; 60A.033, subdivisions 8, 9, by adding subdivisions; 60A.954, subdivision 
1.12 	1; 61A.02, by adding a subdivision; 62Q.56, subdivision 1a; 62Q.733, subdivision 
1.13 	1; 62Q.735, subdivisions 1, 5; 62Q.76, by adding a subdivision; 62Q.78, by adding 
1.14 	a subdivision; 62Q.79, by adding a subdivision; 65B.84, subdivisions 1, 2; 72A.20, 
1.15 	by adding a subdivision; 72A.2031, subdivisions 8, 10, by adding subdivisions; 
1.16 	72A.2032, subdivisions 4, 6, 7, 8, by adding subdivisions; 72A.2033; 72A.2034; 
1.17 	72A.2035, subdivision 1; 72A.2036; 80A.61; 80C.05, subdivision 2; 80C.08, 
1.18 	subdivision 1; 80G.01, subdivision 3, by adding a subdivision; 80G.02, subdivisions 
1.19 	1, 4; 80G.03, subdivision 2; 80G.04, subdivision 1; 80G.05, subdivision 1; 80G.06, 
1.20 	subdivision 2; 80G.07, subdivision 1; 82B.03, by adding a subdivision; 82B.19, 
1.21 	by adding a subdivision; 82C.17, subdivision 2; 116C.779, subdivision 1; 116J.55, 
1.22 	subdivision 5; 116J.552, subdivision 6; 116J.8747; 116J.8770; 116J.993, 
1.23 	subdivision 3; 116L.04, subdivision 1a; 116L.17, subdivision 1; 116L.98, 
1.24 	subdivisions 2, 3; 126C.43, subdivision 2; 160.08, subdivision 7; 168.27, by adding 
1.25 	a subdivision; 175.16, subdivision 1; 177.26; 177.27, subdivisions 2, 4, 7; 178.01; 
1.26 	178.011, subdivision 7; 178.03, subdivision 1; 178.11; 179.86, subdivisions 1, 3, 
1.27 	by adding subdivisions; 179A.041, by adding a subdivision; 181.032; 181.14, 
1.28 	subdivision 1; 181.635, subdivisions 1, 2, 3, 4, 6; 181.85, subdivisions 2, 4; 181.86, 
1.29 	subdivision 1; 181.87, subdivisions 2, 3, 7; 181.88; 181.89, subdivision 2, by 
1.30 	adding a subdivision; 181.942, subdivision 1; 181.9435, subdivision 1; 181.9436; 
1.31 	182.666, subdivisions 1, 2, 3, 4, 5, by adding a subdivision; 216B.16, subdivision 
1.32 	13; 216B.1611, by adding a subdivision; 216B.1641; 216B.1645, subdivision 2; 
1.33 	216B.1691, subdivision 9; 216B.17, subdivision 1; 216B.2422, subdivisions 1, 3, 
1.34 	5, 7, by adding subdivisions; 216B.2425, subdivision 8; 216B.243, subdivision 8; 
1.35 	216B.50, subdivision 1; 216C.264, subdivision 5, by adding a subdivision; 
1.36 	216C.435, subdivision 8; 216C.436, subdivision 2, by adding a subdivision; 
1.37 	216E.01, subdivision 9a; 216E.03, subdivisions 1, 5, 7, 10, 11; 216E.04, subdivision 
1.38 	2; 216F.04; 239.761, subdivisions 3, 4; 239.791, subdivision 2a; 256J.561, by 
2.1 	adding a subdivision; 256J.95, subdivisions 3, 11; 268.085, subdivision 7; 268.19, 
2.2 	subdivision 1; 296A.01, subdivision 23; 325E.21, subdivisions 2, 5, 6, by adding 
2.3 	subdivisions; 326B.103, subdivision 13, by adding subdivisions; 326B.106, 
2.4 	subdivisions 1, 4, by adding a subdivision; 326B.145; 326B.153, by adding a 
2.5 	subdivision; 326B.163, subdivision 5, by adding a subdivision; 326B.164, 
2.6 	subdivision 13; 326B.36, subdivision 7; 332.33, subdivision 3, by adding a 
2.7 	subdivision; 336.9-510; 336.9-516; 341.21, subdivisions 2a, 2c, 7; 341.221; 341.25; 
2.8 	341.28; 341.30, subdivision 4; 341.32, subdivision 2; 341.321; 341.33; 341.355; 
2.9 	515B.3-102; 549.30, subdivisions 3, 6, 15, 19, by adding subdivisions; 549.31; 
2.10 	549.32; 549.34; 609.5316, subdivision 3; Minnesota Statutes 2021 Supplement, 
2.11 	sections 16C.135, subdivision 3; 62J.26, subdivision 2; 80G.06, subdivision 1; 
2.12 	80G.11; 82B.25, subdivision 2; 116C.7792; 116J.8749; 116J.9924, subdivision 4; 
2.13 	216C.375, subdivision 1; 256P.01, subdivision 3; 325E.21, subdivision 1b; 
2.14 	326B.092, subdivision 7; 326B.153, subdivision 1; Laws 2021, First Special 
2.15 	Session chapter 10, article 1, sections 2, subdivision 2; 5; Laws 2021, First Special 
2.16 	Session chapter 14, article 11, section 42; proposing coding for new law in 
2.17 	Minnesota Statutes, chapters 13; 45; 58B; 62Q; 116C; 116J; 177; 179; 181; 182; 
2.18 	214; 216B; 216C; 268; 325F; 332; 336; 341; 500; 549; proposing coding for new 
2.19 	law as Minnesota Statutes, chapter 268B; repealing Minnesota Statutes 2020, 
2.20 	sections 16B.323, subdivisions 1, 2; 16B.326; 45.25, subdivisions 2a, 14; 60A.033, 
2.21 	subdivision 3; 72A.2031, subdivisions 3, 9, 11; 72A.2032, subdivisions 1, 2, 3, 5; 
2.22 	181.9413; 216B.16, subdivision 10; 268.085, subdivision 8; Minnesota Statutes 
2.23 	2021 Supplement, section 116J.9924, subdivision 6; Laws 2017, chapter 5, section 
2.24 	1.
2.25 	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

2.26 	ARTICLE 1
2.27 	ECONOMIC DEVELOPMENT APPROPRIATIONS

2.28	Section 1. APPROPRIATIONS.
 	
2.29 	The sums shown in the columns under "Appropriations" are added to the appropriations 
2.30 	in Laws 2021, First Special Session chapter 10, or other law to the specified agencies. The 
2.31 	appropriations are from the general fund, or another named fund, and are available for the 
2.32 	fiscal years indicated for each purpose. The figures "2022" and "2023" used in this article 
2.33 	mean that the appropriations listed under them are available for the fiscal year ending June 
2.34 	30, 2022, or June 30, 2023, respectively. Appropriations for the fiscal year ending June 30, 
2.35 	2022, are effective the day following final enactment. If an appropriation in this act is 
2.36 	enacted more than once during the 2022 regular session, the appropriation is to be given 
2.37 	effect only once.

2.38				APPROPRIATIONS
	
2.39				Available for the Year
	
2.40				Ending June 30
	
2.41					2022
		2023

2.42
2.43	Sec. 2. DEPARTMENT OF EMPLOYMENT 
AND ECONOMIC DEVELOPMENT

3.1	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	217,097,000

3.2	Appropriations by Fund
	
3.3		2022
	2023
	
3.4	General Fund
	-0-
	191,347,000
	
3.5
3.6	Workforce 
Development
	-0-
	25,750,000
	
3.7 	The amounts that may be spent for each 
3.8 	purpose are specified in the following 
3.9 	subdivisions.

3.10	Subd. 2.Business and Community Development
 		-0-
		134,300,000
	
3.11 	(a) $20,000,000 in fiscal year 2023 is for the 
3.12 	Main Street Economic Revitalization Program 
3.13 	under Minnesota Statutes, section 116J.8749. 
3.14 	This is a onetime appropriation and is 
3.15 	available until June 30, 2025.
3.16 	(b) $45,000,000 in fiscal year 2023 is for 
3.17 	deposit in the spark small business loan 
3.18 	program account under Minnesota Statutes, 
3.19 	section 116J.9926. Of this amount, 
3.20 	$10,000,000 is for loans to community 
3.21 	businesses as defined in Minnesota Statutes, 
3.22 	section 116J.8751. Beginning in fiscal year 
3.23 	2024, the base amount is $3,000,000.
3.24 	(c) $20,000,000 in fiscal year 2023 is for 
3.25 	deposit in the emerging developer fund 
3.26 	account in the special revenue fund. Of this 
3.27 	amount, up to five percent is for the 
3.28 	administration and monitoring of the emerging 
3.29 	developer fund program under Minnesota 
3.30 	Statutes, section 116J.9926. Beginning in 
3.31 	fiscal year 2024, the base amount is 
3.32 	$1,000,000.
4.1 	(d) $7,500,000 in fiscal year 2023 is for the 
4.2 	Canadian border counties economic relief 
4.3 	program. This is a onetime appropriation.
4.4 	(e) $35,000,000 in fiscal year 2023 is for the 
4.5 	small business recovery grant program. This 
4.6 	is a onetime appropriation and is available 
4.7 	until June 30, 2024.
4.8 	(f) $800,000 in fiscal year 2023 is for a grant 
4.9 	to Enterprise Minnesota, Inc., for the small 
4.10 	business growth acceleration program under 
4.11 	Minnesota Statutes, section 116O.115. This 
4.12 	is a onetime appropriation.
4.13 	(g) $1,000,000 in fiscal year 2023 is for Join 
4.14 	Us Minnesota campaign to market the state of 
4.15 	Minnesota to businesses and potential workers. 
4.16 	This appropriation is available until June 30, 
4.17 	2024. Of this amount, up to five percent is for 
4.18 	administration and monitoring of the program. 
4.19 	Beginning in fiscal year 2024, the base amount 
4.20 	is $500,000.
4.21 	(h) $2,000,000 in fiscal year 2023 is for a 
4.22 	grant to the Center for Economic Inclusion for 
4.23 	strategic, data-informed investments in job 
4.24 	creation strategies that respond to the needs 
4.25 	of underserved populations statewide. Of this 
4.26 	amount, up to ten percent may be used for the 
4.27 	center's technical assistance and administrative 
4.28 	costs. This is a onetime appropriation.
4.29 	(i)(1) $1,000,000 in fiscal year 2023 is for a 
4.30 	grant to the Coalition of Asian American 
4.31 	Leaders to address employment and economic 
4.32 	disparities for Asian Minnesotan communities 
4.33 	in response to the COVID-19 pandemic and 
4.34 	incidents of bias by conducting and 
5.1 	disseminating research and by providing 
5.2 	grants, outreach, and technical assistance to 
5.3 	Asian Minnesotan individuals, small 
5.4 	businesses, and nonprofit organizations to 
5.5 	navigate state programs and grants related to 
5.6 	COVID-19 pandemic health and economic 
5.7 	recovery challenges. This is a onetime 
5.8 	appropriation and is available until December 
5.9 	31, 2024.
5.10 	(2) The Coalition of Asian American Leaders 
5.11 	must issue a report on the outcomes of the 
5.12 	grant to the commissioner of employment and 
5.13 	economic development by December 15, 2024.
5.14 	(j) $2,000,000 in fiscal year 2023 is for a grant 
5.15 	to Women's Foundation of Minnesota to invest 
5.16 	in economic structures that educate, mobilize, 
5.17 	and equip Black women with the necessary 
5.18 	tools to build, retain, and strengthen the 
5.19 	capacity to build generational wealth. This is 
5.20 	a onetime appropriation.

5.21	Subd. 3.Employment and Training Programs
 		-0-
		52,450,000

5.22	Appropriations by Fund
	
5.23	General Fund
	-0-
	26,700,000
	
5.24
5.25	Workforce 
Development Fund
	-0-
	25,750,000
	
5.26 	(a) $1,000,000 in fiscal year 2023 is for grants 
5.27 	to organizations providing support services to 
5.28 	new Americans in order to facilitate successful 
5.29 	community integration and entry into the 
5.30 	workforce. Services may include case 
5.31 	management, job training and employment 
5.32 	services, education programs, and legal 
5.33 	services. Of this amount:
5.34 	(1) $325,000 is for a grant to the International 
5.35 	Institute of Minnesota;
6.1 	(2) $325,000 is for a grant to the Minnesota 
6.2 	Council of Churches;
6.3 	(3) $223,000 is for a grant to Arrive 
6.4 	Ministries; and
6.5 	(4) $127,000 is for a grant to Catholic 
6.6 	Charities of the Diocese of Winona, Inc.
6.7 	This is a onetime appropriation.
6.8 	(b) $750,000 in fiscal year 2023 is from the 
6.9 	workforce development fund for a grant to the 
6.10 	Minneapolis Park and Recreation Board's Teen 
6.11 	Teamworks youth employment and training 
6.12 	programs. This is a onetime appropriation and 
6.13 	is available until spent.
6.14 	(c)(1) $20,000,000 in fiscal year 2023 is from 
6.15 	the workforce development fund for grants to 
6.16 	Minnesota's 16 local workforce development 
6.17 	boards for strategies identified in local 
6.18 	Workforce Innovation and Opportunity Act 
6.19 	plans to address Minnesota's current workforce 
6.20 	shortages by supporting training for 
6.21 	unemployed and underemployed Minnesotans 
6.22 	and the earning of industry-recognized 
6.23 	credentials to equip workers with in-demand 
6.24 	skills. Allowable uses of money include but 
6.25 	are not limited to helping job seekers prepare 
6.26 	for and find jobs, providing services to 
6.27 	employers, supporting CareerForce locations, 
6.28 	and conducting marketing and outreach for 
6.29 	CareerForce services. Grant money must not 
6.30 	be used for administrative costs. Grants shall 
6.31 	be distributed consistent with the distribution 
6.32 	and utilization of money under federal 
6.33 	legislation regarding job training and related 
7.1 	services. This is a onetime appropriation and 
7.2 	is available until expended.
7.3 	(2) By January 15 of each year that grant 
7.4 	money is used, beginning in 2023, all grant 
7.5 	recipients shall submit a report to the 
7.6 	governor's Workforce Development Board 
7.7 	that details the use of grant money, including 
7.8 	the number of businesses, job seekers, and 
7.9 	other stakeholders served.
7.10 	(d) $5,000,000 in fiscal year 2023 is from the 
7.11 	workforce development fund for a youth 
7.12 	technology competitive training grant program 
7.13 	to prepare people who are Black, Indigenous, 
7.14 	people of color, or women to meet the growing 
7.15 	labor needs in Minnesota's technology 
7.16 	industry. This is a onetime appropriation and 
7.17 	money is available until June 30, 2024. Of this 
7.18 	amount, up to five percent is for administration 
7.19 	and monitoring of the program. Grant money 
7.20 	must be used to:
7.21 	(1) provide career education, wraparound 
7.22 	support services, and job skills training for 
7.23 	high school aged youth in the technology 
7.24 	industry;
7.25 	(2) increase the number of summer internship 
7.26 	opportunities in the technology industry;
7.27 	(3) support outreach activities to businesses 
7.28 	and create pathways for employment and 
7.29 	internships for youth in the technology 
7.30 	industry; and
7.31 	(4) increase the number of young adults 
7.32 	employed in the technology industry and 
7.33 	ensure that they reflect Minnesota's diverse 
7.34 	workforce.
8.1 	Programs and services supported by grant 
8.2 	money must give priority to individuals and 
8.3 	groups that are economically disadvantaged 
8.4 	or historically underrepresented in the 
8.5 	technology industry, including but not limited 
8.6 	to women, veterans, and members of minority 
8.7 	and immigrant groups.
8.8 	(e) $470,000 in fiscal year 2023 is for 
8.9 	activities associated with the Office for New 
8.10 	Americans in Minnesota Statutes, section 
8.11 	116J.4231. Beginning in fiscal year 2024, the 
8.12 	base amount is $500,000.
8.13 	(f) $25,230,000 in fiscal year 2023 is for the 
8.14 	targeted community capital project grant 
8.15 	program under Minnesota Statutes, section 
8.16 	116J.9924. This is a onetime appropriation.

8.17	Subd. 4.Paid Family and Medical Leave
 		-0-
		30,347,000
	
8.18 	(a) $30,347,000 in fiscal year 2023 is for 
8.19 	purposes of Minnesota Statutes, chapter 268B. 
8.20 	This is a onetime appropriation.
8.21 	(b) The base for the family and medical benefit 
8.22 	insurance account in the special revenue fund 
8.23 	is $37,215,000 in fiscal year 2024 and 
8.24 	$453,290,000 in fiscal year 2025.

8.25
8.26	Sec. 3. DEPARTMENT OF LABOR AND 
INDUSTRY
 	$
	-0-
	$
	536,000
	
8.27 	(a) $536,000 in fiscal year 2023 is for 
8.28 	purposes of Minnesota Statutes, chapter 268B. 
8.29 	This is a onetime appropriation.
8.30 	(b) The base for the family and medical benefit 
8.31 	insurance account in the special revenue fund 
8.32 	is $436,000 in fiscal year 2024 and $559,000 
8.33 	in fiscal year 2025.

9.1
9.2	Sec. 4. DEPARTMENT OF HUMAN 
SERVICES
 	$
	-0-
	$
	1,066,000
	
9.3 	$1,066,000 in fiscal year 2023 is for purposes 
9.4 	of Minnesota Statutes, chapter 268B. The base 
9.5 	for this appropriation is $0 in fiscal year 2024 
9.6 	and $214,000 in fiscal year 2025.

9.7	Sec. 5. MANAGEMENT AND BUDGET
 	$
	-0-
	$
	-0-
	
9.8 	For purposes of Minnesota Statutes, chapter 
9.9 	268B, the general fund base is $1,967,000 in 
9.10 	fiscal year 2024 and $4,103,000 in fiscal year 
9.11 	2025.

9.12
9.13	Sec. 6. LEGISLATIVE COORDINATING 
COMMISSION
 	$
	-0-
	$
	22,000
	
9.14 	$22,000 in fiscal year 2023 is for purposes of 
9.15 	Minnesota Statutes, chapter 268B. The base 
9.16 	for this appropriation is $73,000 in fiscal year 
9.17 	2024 and $141,000 in fiscal year 2025.

9.18	Sec. 7. SUPREME COURT
 	$
	-0-
	$
	15,000
	
9.19 	$15,000 in fiscal year 2023 is for purposes of 
9.20 	Minnesota Statutes, chapter 268B. The base 
9.21 	for this appropriation is $15,000 in fiscal year 
9.22 	2024 and $492,000 in fiscal year 2025.

9.23	Sec. 8. UNIVERSITY OF MINNESOTA
 	$
	-0-
	$
	-0-
	
9.24 	For purposes of Minnesota Statutes, chapter 
9.25 	268B, the general fund base is $1,686,000 in 
9.26 	fiscal year 2025.

9.27	Sec. 9. DEPARTMENT OF EDUCATION
 	$
	-0-
	$
	161,743,000
	
9.28 	$161,743,000 in fiscal year 2023 is for 
9.29 	purposes of reimbursement to educational 
9.30 	institutions as provided under Minnesota 
9.31 	Statutes, section 268.193. This is a onetime 
9.32 	appropriation and is available until expended. 
9.33 	This appropriation is subject to the 
10.1 	requirements under Minnesota Statutes, 
10.2 	section 268.193.

10.3 	Sec. 10. FAMILY AND MEDICAL BENEFITS; TRANSFER.
 10.4 	$31,986,000 in fiscal year 2024 is transferred from the family and medical benefit 
10.5 	insurance account in the special revenue fund to the general fund. This is a onetime transfer.

10.6 	Sec. 11. DUPLICATE APPROPRIATIONS GIVEN EFFECT ONCE.
 10.7 	If an appropriation in this act is enacted more than once during the 2022 regular session, 
10.8 	the appropriation is to be given effect only once.

10.9 	Sec. 12. Laws 2021, First Special Session chapter 10, article 1, section 2, subdivision 2, 
10.10 	is amended to read:

10.1210.11
	Subd. 2.Business and Community Development
 		208,015,000
		44,741,000
58,741,000

10.13	Appropriations by Fund
	
10.1510.14
	General
	205,215,000
	41,941,000
55,941,000
	
10.16	Remediation
	700,000
	700,000
	
10.17
10.18	Workforce 
Development
	2,100,000
	2,100,000
	
10.19 	(a) $1,787,000 each year is for the greater 
10.20 	Minnesota business development public 
10.21 	infrastructure grant program under Minnesota 
10.22 	Statutes, section 116J.431. This appropriation 
10.23 	is available until June 30, 2025.
10.24 	(b) $8,425,000 in the first year and $1,425,000
10.25 	$6,425,000 in the second year are for the 
10.26 	small business partnership grant program 
10.27 	formerly known as the business development 
10.28 	competitive grant program. Of this amount, 
10.29 	up to five percent is for administration and 
10.30 	monitoring of the business development 
10.31 	competitive grant program and $7,000,000 in 
10.32 	the first year is and $5,000,000 in the second 
10.33 	year are for technical assistance to small 
11.1 	businesses. Funding for technical assistance 
11.2 	to small businesses in the second year shall 
11.3 	be divided proportionately between program 
11.4 	grantees from the first year. Except for awards 
11.5 	for technical assistance for small businesses, 
11.6 	all grant awards shall be for two consecutive 
11.7 	years. Grants and shall be awarded in the first 
11.8 	year. The small business partnership grant 
11.9 	program shall also provide business 
11.10 	development assistance and services to 
11.11 	commercial cooperatives, employee-owned 
11.12 	businesses, and commercial land trusts. 
11.13 	Beginning in fiscal year 2024, the base amount 
11.14 	is $4,925,000 of which $1,500,000 is for 
11.15 	technical assistance to small businesses 
11.16 	participating in the spark small business loan 
11.17 	program under Minnesota Statutes, section 
11.18 	116J.8751.
11.19 	(c) $1,772,000 each year is for contaminated 
11.20 	site cleanup and development grants under 
11.21 	Minnesota Statutes, sections 116J.551 to 
11.22 	116J.558. This appropriation is available until 
11.23 	expended.
11.24 	(d) $700,000 each year is from the remediation 
11.25 	fund for contaminated site cleanup and 
11.26 	development grants under Minnesota Statutes, 
11.27 	sections 116J.551 to 116J.558. This 
11.28 	appropriation is available until expended.
11.29 	(e) $139,000 each year is for the Center for 
11.30 	Rural Policy and Development.
11.31 	(f) $25,000 each year is for the administration 
11.32 	of state aid for the Destination Medical Center 
11.33 	under Minnesota Statutes, sections 469.40 to 
11.34 	469.47.
12.1 	(g) $875,000 each year is for the host 
12.2 	community economic development program 
12.3 	established in Minnesota Statutes, section 
12.4 	116J.548.
12.5 	(h)(1) $2,500,000 each year is the first year 
12.6 	and $6,500,000 the second year are for grants 
12.7 	to local communities to increase the number 
12.8 	of quality child care providers to support 
12.9 	economic development. This appropriation is 
12.10 	available through June 30, 2023. Fifty percent 
12.11 	of grant funds must go to communities located 
12.12 	outside the seven-county metropolitan area as 
12.13 	defined in Minnesota Statutes, section 
12.14 	473.121, subdivision 2. In fiscal year 2024 
12.15 	and beyond, the base amount is $1,500,000.
12.16 	(2) Grant recipients must obtain a 50 percent 
12.17 	nonstate match to grant funds in either cash 
12.18 	or in-kind contribution, unless the 
12.19 	commissioner waives the requirement. Grant 
12.20 	funds available under this subdivision must 
12.21 	be used to implement projects to reduce the 
12.22 	child care shortage in the state, including but 
12.23 	not limited to funding for child care business 
12.24 	start-ups or expansion, training, facility 
12.25 	modifications, direct subsidies or incentives 
12.26 	to retain employees, or improvements required 
12.27 	for licensing, and assistance with licensing 
12.28 	and other regulatory requirements. In awarding 
12.29 	grants, the commissioner must give priority 
12.30 	to communities that have demonstrated a 
12.31 	shortage of child care providers.
12.32 	(3) Within one year of receiving grant funds, 
12.33 	grant recipients must report to the 
12.34 	commissioner on the outcomes of the grant 
12.35 	program, including but not limited to the 
13.1 	number of new providers, the number of 
13.2 	additional child care provider jobs created, the 
13.3 	number of additional child care slots, and the 
13.4 	amount of cash and in-kind local funds 
13.5 	invested. Within one month of all grant 
13.6 	recipients reporting on program outcomes, the 
13.7 	commissioner must report the grant recipients' 
13.8 	outcomes to the chairs and ranking members 
13.9 	of the legislative committees with jurisdiction 
13.10 	over early learning and child care and 
13.11 	economic development.
13.12 	(i) $1,500,000 each year is for a grant to the 
13.13 	Minnesota Initiative Foundations. This 
13.14 	appropriation is available until June 30, 2025. 
13.15 	In fiscal year 2024 and beyond, the base 
13.16 	amount is $1,000,000. The Minnesota 
13.17 	Initiative Foundations must use grant funds 
13.18 	under this section to:
13.19 	(1) facilitate planning processes for rural 
13.20 	communities resulting in a community solution 
13.21 	action plan that guides decision making to 
13.22 	sustain and increase the supply of quality child 
13.23 	care in the region to support economic 
13.24 	development;
13.25 	(2) engage the private sector to invest local 
13.26 	resources to support the community solution 
13.27 	action plan and ensure quality child care is a 
13.28 	vital component of additional regional 
13.29 	economic development planning processes;
13.30 	(3) provide locally based training and technical 
13.31 	assistance to rural child care business owners 
13.32 	individually or through a learning cohort. 
13.33 	Access to financial and business development 
13.34 	assistance must prepare child care businesses 
13.35 	for quality engagement and improvement by 
14.1 	stabilizing operations, leveraging funding from 
14.2 	other sources, and fostering business acumen 
14.3 	that allows child care businesses to plan for 
14.4 	and afford the cost of providing quality child 
14.5 	care; and
14.6 	(4) recruit child care programs to participate 
14.7 	in quality rating and improvement 
14.8 	measurement programs. The Minnesota 
14.9 	Initiative Foundations must work with local 
14.10 	partners to provide low-cost training, 
14.11 	professional development opportunities, and 
14.12 	continuing education curricula. The Minnesota 
14.13 	Initiative Foundations must fund, through local 
14.14 	partners, an enhanced level of coaching to 
14.15 	rural child care providers to obtain a quality 
14.16 	rating through measurement programs.
14.17 	The Minnesota Initiative Foundations are 
14.18 	authorized to subgrant their allocation to 
14.19 	partner organizations who are assisting in their 
14.20 	child care work.
14.21 	(j) $8,000,000 each year is for the Minnesota 
14.22 	job creation fund under Minnesota Statutes, 
14.23 	section 116J.8748. Of this amount, the 
14.24 	commissioner of employment and economic 
14.25 	development may use up to three percent for 
14.26 	administrative expenses. This appropriation 
14.27 	is available until expended.
14.28 	(k) $10,029,000 the first year and $10,028,000 
14.29 	the second year are for the Minnesota 
14.30 	investment fund under Minnesota Statutes, 
14.31 	section 116J.8731. Of this amount, the 
14.32 	commissioner of employment and economic 
14.33 	development may use up to three percent for 
14.34 	administration and monitoring of the program. 
14.35 	In fiscal year 2024 and beyond, the base 
15.1 	amount is $12,370,000. This appropriation is 
15.2 	available until expended. Notwithstanding 
15.3 	Minnesota Statutes, section 116J.8731, money 
15.4 	appropriated to the commissioner for the 
15.5 	Minnesota investment fund may be used for 
15.6 	the redevelopment program under Minnesota 
15.7 	Statutes, sections 116J.575 and 116J.5761, at 
15.8 	the discretion of the commissioner. Grants 
15.9 	under this paragraph are not subject to the 
15.10 	grant amount limitation under Minnesota 
15.11 	Statutes, section 116J.8731.
15.12 	(l) $0 each $5,000,000 in the second year is 
15.13 	for the redevelopment program under 
15.14 	Minnesota Statutes, sections 116J.575
15.15 	116J.571 and 116J.5761. This appropriation 
15.16 	is available until spent. In fiscal year 2024 and 
15.17 	beyond, the base amount is $2,246,000
15.18 	$3,496,000.
15.19 	(2) For funding in fiscal year 2023, the 
15.20 	commissioner shall prioritize applications 
15.21 	from development authorities located in 
15.22 	low-income areas, defined as:
15.23 	(i) a census tract that has a poverty rate of at 
15.24 	least 20 percent, as reported by the United 
15.25 	States Bureau of the Census in the most recent 
15.26 	American Community Survey;
15.27 	(ii) a qualified census tract, as defined under 
15.28 	United States Code, title 26, section 42; or
15.29 	(iii) a census tract, city, township, or county 
15.30 	in which ten percent of the population have 
15.31 	an annual income of 200 percent or less of the 
15.32 	federal poverty level.
15.33 	(3) Notwithstanding any other law to the 
15.34 	contrary, no local matching funds are required 
16.1 	from development authorities located in 
16.2 	low-income areas in fiscal year 2023 and state 
16.3 	funds may be used for 100 percent of the cost 
16.4 	of the projects.
16.5 	(m) $1,000,000 each year is for the Minnesota 
16.6 	emerging entrepreneur loan program under 
16.7 	Minnesota Statutes, section 116M.18. Funds 
16.8 	available under this paragraph are for transfer 
16.9 	into the emerging entrepreneur program 
16.10 	special revenue fund account created under 
16.11 	Minnesota Statutes, chapter 116M, and are 
16.12 	available until expended. Of this amount, up 
16.13 	to four percent is for administration and 
16.14 	monitoring of the program.
16.15 	(n) $325,000 each year is for the Minnesota 
16.16 	Film and TV Board. The appropriation in each 
16.17 	year is available only upon receipt by the 
16.18 	board of $1 in matching contributions of 
16.19 	money or in-kind contributions from nonstate 
16.20 	sources for every $3 provided by this 
16.21 	appropriation, except that each year up to 
16.22 	$50,000 is available on July 1 even if the 
16.23 	required matching contribution has not been 
16.24 	received by that date.
16.25 	(o) $12,000 each year is for a grant to the 
16.26 	Upper Minnesota Film Office.
16.27 	(p) $500,000 each year is for a grant to the 
16.28 	Minnesota Film and TV Board for the film 
16.29 	production jobs program under Minnesota 
16.30 	Statutes, section 116U.26. This appropriation 
16.31 	is available until June 30, 2025.
16.32 	(q) $4,195,000 each year is for the Minnesota 
16.33 	job skills partnership program under 
16.34 	Minnesota Statutes, sections 116L.01 to 
17.1 	116L.17. If the appropriation for either year 
17.2 	is insufficient, the appropriation for the other 
17.3 	year is available. This appropriation is 
17.4 	available until expended.
17.5 	(r) $1,350,000 each year from the workforce 
17.6 	development fund is for jobs training grants 
17.7 	under Minnesota Statutes, section 116L.41.
17.8 	(s) $2,500,000 each year is for Launch 
17.9 	Minnesota. This appropriation is available 
17.10 	until June 30, 2025. The base in fiscal year 
17.11 	2026 is $0. Of this amount:
17.12 	(1) $1,500,000 each year is for innovation 
17.13 	grants to eligible Minnesota entrepreneurs or 
17.14 	start-up businesses to assist with their 
17.15 	operating needs;
17.16 	(2) $500,000 each year is for administration 
17.17 	of Launch Minnesota; and
17.18 	(3) $500,000 each year is for grantee activities 
17.19 	at Launch Minnesota.
17.20 	(t) $1,148,000 the first year is for a grant to 
17.21 	the Northeast Entrepreneur Fund, a small 
17.22 	business administration microlender and 
17.23 	community development financial institution 
17.24 	operating in northern Minnesota. Grant funds 
17.25 	must be used as capital for accessing 
17.26 	additional federal lending for small businesses 
17.27 	impacted by COVID-19 and must be returned 
17.28 	to the commissioner for deposit in the general 
17.29 	fund if the Northeast Entrepreneur Fund fails 
17.30 	to secure such federal funds before January 1, 
17.31 	2022.
17.32 	(u) $80,000,000 the first year is for the Main 
17.33 	Street Economic Revitalization Loan Program. 
17.34 	Of this amount, up to $300,000 is for the 
18.1 	commissioner's administration and monitoring 
18.2 	of the program. This appropriation is available 
18.3 	until June 30, 2025.
18.4 	(v) $70,000,000 the first year is for the Main 
18.5 	Street COVID-19 Relief Grant Program. Of 
18.6 	this amount, up to:
18.7 	(1) $34,950,000 is for grants to the Minnesota 
18.8 	Initiative Foundations to serve businesses 
18.9 	outside of the metropolitan area as defined in 
18.10 	Minnesota Statutes, section 473.121, 
18.11 	subdivision 2;
18.12 	(2) $34,950,000 is for grants to partner 
18.13 	organizations to serve businesses inside the 
18.14 	metropolitan area as defined in Minnesota 
18.15 	Statutes, section 473.121, subdivision 2; and
18.16 	(3) $100,000 is for the commissioner's 
18.17 	administration and monitoring of the program.
18.18 	(w) $250,000 each year is for the publication, 
18.19 	dissemination, and use of labor market 
18.20 	information under Minnesota Statutes, section 
18.21 	116J.401.
18.22 	(x) $500,000 each year is for the airport 
18.23 	infrastructure renewal (AIR) grant program 
18.24 	under Minnesota Statutes, section 116J.439. 
18.25 	In awarding grants with this appropriation, the 
18.26 	commissioner must prioritize eligible 
18.27 	applicants that did not receive a grant pursuant 
18.28 	to the appropriation in Laws 2019, First 
18.29 	Special Session chapter 7, article 1, section 2, 
18.30 	subdivision 2, paragraph (q).
18.31 	(y) $750,000 each year is from the workforce 
18.32 	development fund for grants to the 
18.33 	Neighborhood Development Center for small 
18.34 	business programs, including:
19.1 	(1) training, lending, and business services;
19.2 	(2) model outreach and training in greater 
19.3 	Minnesota; and
19.4 	(3) development of new business incubators.
19.5 	This is a onetime appropriation.
19.6 	(z) $5,000,000 in the first year is for a grant 
19.7 	to Lake of the Woods County for the 
19.8 	forgivable loan program for remote 
19.9 	recreational businesses. This appropriation is 
19.10 	available until April 1, 2022.

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

19.12 	Sec. 13. Laws 2021, First Special Session chapter 14, article 11, section 42, is amended 
19.13 	to read:
19.14 	Sec. 42. APPROPRIATION; MEAT PROCESSING BUSINESSES IN 
19.15 	REDEVELOPMENT AREA.
 19.16 	Of an appropriation in fiscal year 2022 for the targeted community capital project grant 
19.17 	program under Minnesota Statutes, section 116J.9924, the commissioner of employment 
19.18 	and economic development must grant $6,000,000 for one or more grants to any business 
19.19 	engaged in the meat processing industry and currently conducting operations in a building 
19.20 	or buildings constructed on or before January 1, 1947, and located in a city of the second 
19.21 	class that was designated as a redevelopment area by the United States Department of 
19.22 	Commerce under the Public Works and Economic Development Act of 1965, Public Law 
19.23 	89-136, title IV, section 401(a)(4). This appropriation includes: site acquisition costs; 
19.24 	relocation costs; predesign; design; sewer, water, and stormwater infrastructure; site 
19.25 	preparation; engineering; and the cost of improvements to real property locally zoned to 
19.26 	allow a meat processing land use that are incurred by any qualified business under this 
19.27 	section. A grantee under this section must work in consultation with a local government 
19.28 	unit with jurisdiction over the area where the property is located on activities funded by the 
19.29 	grant. This is a onetime appropriation. A grant issued under this section is not subject to 
19.30 	the grant requirements under Minnesota Statutes, section 116J.9924. to the city of South 
19.31 	St. Paul for economic development, redevelopment, and job creation and retention programs 
20.1 	and projects. This grant is not subject to the requirements under Minnesota Statutes, chapter 
20.2 	116J.

20.3 	Sec. 14. CANCELLATION AND APPROPRIATION.
 20.4 	(a) All unspent money, estimated to be $889,000, appropriated under Laws 2015, First 
20.5 	Special Session chapter 1, article 1, section 2, subdivision 2, paragraphs (k) and (l), is 
20.6 	canceled to the general fund.
20.7 	(b) All money canceled under paragraph (a) is appropriated in fiscal year 2023 to the 
20.8 	commissioner of employment and economic development for the targeted community capital 
20.9 	project grant program under Minnesota Statutes, section 116J.9924. This is a onetime 
20.10 	appropriation.

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

20.12 	ARTICLE 2
20.13 	ECONOMIC DEVELOPMENT POLICY

20.14 	Section 1. [116J.015] REVIEW OF REPORT MANDATES.
20.15 	The commissioner of employment and economic development shall annually create a 
20.16 	list of reports that were mandated by law at least three years prior to the date of the list and 
20.17 	that no longer serve a useful purpose. This list, along with suggested legislation for 
20.18 	eliminating the listed reports, shall be submitted no later than January 15 each year, beginning 
20.19 	in 2023, to the legislative committees with jurisdiction over employment and economic 
20.20 	development for the consideration of the legislature.

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

20.22 	Sec. 2. [116J.4231] OFFICE OF NEW AMERICANS.
20.23 		Subdivision 1.Office established; purpose. (a) The Office of New Americans is 
20.24 	established within the Department of Employment and Economic Development. The governor 
20.25 	must appoint an executive director who serves in the unclassified service. The executive 
20.26 	director must hire a program manager and an office assistant, as well as any staff necessary 
20.27 	to carry out the office's duties under subdivision 2.
20.28 	(b) The purpose of the office is to serve immigrants and refugees in Minnesota by:
20.29 	(1) addressing challenges that face immigrants and refugees in Minnesota, and creating 
20.30 	access in economic development and workforce programs and services;
21.1 	(2) providing interstate agency coordination, policy reviews, and guidance that assist in 
21.2 	creating access to immigrants and refugees.
21.3 		Subd. 2.Duties. (a) The office has the duty to:
21.4 	(1) create and implement a statewide strategy to support immigrant and refugee integration 
21.5 	into Minnesota communities;
21.6 	(2) address the state's workforce needs by connecting employers and job seekers within 
21.7 	the immigrant and refugee community;
21.8 	(3) identify strategies to reduce employment barriers for immigrants and refugees;
21.9 	(4) ensure equitable opportunities and access to services within state government for 
21.10 	immigrants and refugees;
21.11 	(5) work with state agencies and community and foundation partners to undertake studies 
21.12 	and research and analyze economic and demographic trends to better understand and serve 
21.13 	the state's immigrant and refugee communities;
21.14 	(6) coordinate and establish best practices for language access initiatives to all state 
21.15 	agencies;
21.16 	(7) convene stakeholders and make policy recommendations to the governor on issues 
21.17 	impacting immigrants and refugees;
21.18 	(8) promulgate rules necessary to implement and effectuate this section;
21.19 	(9) provide an annual report, as required by subdivision 3;
21.20 	(10) perform any other activities consistent with the office's purpose.
21.21 		Subd. 3.Reporting. (a) Beginning January 15, 2024, and each year thereafter, the Office 
21.22 	of New Americans shall report to the legislative committees with jurisdiction over the 
21.23 	office's activities during the previous year.
21.24 	(b) The report shall contain, at a minimum:
21.25 	(1) a summary of the office's activities;
21.26 	(2) suggested policies, incentives, and legislation designed to accelerate the achievement 
21.27 	of the duties under subdivision 2;
21.28 	(3) any proposed legislative and policy initiatives;
21.29 	(4) the amount and types of grants awarded under subdivision 6; and
22.1 	(5) any other information deemed necessary and requested by the legislative committees 
22.2 	with jurisdiction over the office.
22.3 	(c) The report may be submitted electronically and is subject to section 3.195, subdivision 
22.4 	1.
22.5 		Subd. 4.Interdepartmental Coordinating Council on Immigrant and Refugee 
22.6 	Affairs. (a) An interdepartmental Coordinating Council on Immigrant and Refugee Affairs 
22.7 	is established to advise the Office of New Americans.
22.8 	(b) The purpose of the council is to identify and establish ways in which state departments 
22.9 	and agencies can work together to deliver state programs and services effectively and 
22.10 	efficiently to Minnesota's immigrant and refugee populations. The council shall implement 
22.11 	policies, procedures, and programs requested by the governor through the state departments 
22.12 	and offices.
22.13 	(c) The council shall be chaired by the executive director of the Office of New Americans 
22.14 	and shall be comprised of the commissioners, department directors, or designees, from the 
22.15 	following state departments and offices:
22.16 	(1) the governor's office;
22.17 	(2) the Department of Administration;
22.18 	(3) the Department of Employment and Economic Development;
22.19 	(4) the Department of Human Services;
22.20 	(5) the Department of Human Services Resettlement Program Office;
22.21 	(6) the Department of Labor and Industry;
22.22 	(7) the Department of Health;
22.23 	(8) the Department of Education;
22.24 	(9) the Office of Higher Education;
22.25 	(10) the Department of Public Safety;
22.26 	(11) the Department of Corrections; and
22.27 	(12) the Office of New Americans.
22.28 	(d) Each department or office serving as a member of the council shall designate one 
22.29 	staff member as an immigrant and refugee services liaison. The liaisons' responsibilities 
22.30 	shall include:
23.1 	(1) preparation and dissemination of information and services available to immigrants 
23.2 	and refugees;
23.3 	(2) interfacing with the Office of New Americans on issues that impact immigrants and 
23.4 	refugees and their communities; and
23.5 	(3) where applicable, serving as the point of contact for immigrants and refugees accessing 
23.6 	resources both within the department and with boards charged with oversight of a profession.
23.7 		Subd. 5.No right of action. Nothing in this section shall be construed to create any 
23.8 	right or benefit, substantive or procedural, enforceable at law or in equity by any party 
23.9 	against the state; its departments, agencies, or entities; its officers, employees, or agents; 
23.10 	or any other person.
23.11 		Subd. 6.Grants. Within the limits of available appropriations, the office may apply for 
23.12 	grants for interested state agencies, community partners, and stakeholders under this section 
23.13 	to carry out the duties under subdivision 2.

23.14 	Sec. 3. Minnesota Statutes 2020, section 116J.552, subdivision 6, is amended to read:
23.15 		Subd. 6.Municipality. "Municipality" means the statutory or home rule charter city, 
23.16 	town, federally recognized Tribe, or, in the case of unorganized territory, the county in 
23.17 	which the site is located.

23.18 	Sec. 4. Minnesota Statutes 2020, section 116J.8747, is amended to read:
23.19 	116J.8747 JOB TRAINING PROGRAM GRANT.
23.20 		Subdivision 1.Grant allowed. The commissioner may provide a grant to a qualified 
23.21 	job training program from money appropriated for the purposes of this section as follows:
23.22 	(1) an $11,000 placement grant paid to a job training program upon placement in 
23.23 	employment of a qualified graduate of the program; and
23.24 	(2) an $11,000 retention grant paid to a job training program upon retention in 
23.25 	employment of a qualified graduate of the program for at least one year.
23.26 	(1) up to ten percent of the appropriation may be allocated for administrative expenses 
23.27 	by the program;
23.28 	(2) up to 20 percent of the appropriation may be allocated for direct service expenses 
23.29 	by the program;
24.1 	(3) a placement grant paid to a job training program upon placement in employment of 
24.2 	a qualified graduate of the job training program as follows:
24.3 	(i) $2,500 for placement in part-time employment (20 hours a week or more) of at least 
24.4 	150 percent of the state minimum wage hourly;
24.5 	(ii) $2,500 for placement in full-time employment (32 hours a week or more) at the state 
24.6 	minimum wage but below 150 percent of the state minimum wage hourly; and
24.7 	(iii) $5,000 for placement in full-time employment (32 hours a week or more) of at least 
24.8 	150 percent of the state minimum wage hourly; and
24.9 	(4) a retention grant paid to a job training program upon retention in employment of a 
24.10 	qualified graduate of the job training program for at least one year as follows:
24.11 	(i) $5,000 for one year of retained part-time employment (20 hours a week or more) of 
24.12 	at least 150 percent of the state minimum wage;
24.13 	(ii) $5,000 for one year of retained full-time employment (32 hours a week or more) at 
24.14 	the state minimum wage but below 150 percent of the state minimum wage; and
24.15 	(iii) $10,000 for one year of retained full-time employment (32 hours a week or more) 
24.16 	of at least 150 percent of the state minimum wage hourly.
24.17 		Subd. 2.Qualified job training program. To qualify for grants under this section, a 
24.18 	job training program must satisfy the following requirements:
24.19 	(1) the program must be operated by a nonprofit corporation that qualifies under section 
24.20 	501(c)(3) of the Internal Revenue Code;
24.21 	(2) the program may spend up to $5,500 in total training per participant;
24.22 	(3) the program must provide education and training in:
24.23 	(i) basic skills, such as reading, writing, financial literacy, digital literacy, mathematics, 
24.24 	and communications;
24.25 	(ii) long-term plans for success including participant coaching for two years after 
24.26 	placement;
24.27 	(iii) soft skills, including skills critical to success on the job; and
24.28 	(iv) access to internships, technology training, personal and emotional intelligence skill 
24.29 	development, and other support services;
25.1 	(4) the program may provide income supplements not to exceed $2,000 per participant
25.2 	support services, when needed, to participants for housing, counseling, tuition, and other 
25.3 	basic needs;
25.4 	(5) individuals served by the program must be 18 years of age or older as of the date of 
25.5 	enrollment, and have household income in the six months immediately before entering the 
25.6 	program that is 200 percent or less of the federal poverty guideline for Minnesota, based 
25.7 	on family size; and
25.8 	(6) the program must be certified by the commissioner of employment and economic 
25.9 	development, or the commissioner's designee, as meeting the requirements of this subdivision.
25.10 		Subd. 3.Graduation and retention grant Employment requirements. For purposes 
25.11 	of a placement grant under this section, a qualified graduate is a graduate of a job training 
25.12 	program qualifying under subdivision 2 who is placed in a job in Minnesota that pays at 
25.13 	least the current state minimum wage. To qualify for a retention grant under this section for 
25.14 	a retention fee, a job in which the graduate is retained must pay at least the current state 
25.15 	minimum wage. (a) For employment to qualify under subdivision 1, the employment must 
25.16 	be permanent, unsubsidized, private or public sector employment, eligible for unemployment 
25.17 	insurance under section 268.035, or otherwise eligible for unemployment insurance under 
25.18 	section 268.035 if hours were above 32 per week.
25.19 	(b) Programs are limited to one placement and one retention payment for a qualified 
25.20 	graduate in a performance program within the two years following a placement or retention 
25.21 	payment made under this section.
25.22 		Subd. 4.Duties of program. (a) A program certified by the commissioner under 
25.23 	subdivision 2 must comply with the requirements of this subdivision.
25.24 	(b) A program must maintain and provide upon request records for each qualified graduate 
25.25 	in compliance with state record retention requirements. The records must include information 
25.26 	sufficient to verify the graduate's eligibility under this section, identify the employer, and 
25.27 	describe the job including its compensation rate and, benefits, and average hours per week.
25.28 	(c) A program is subject to the reporting requirements under section 116L.98.

25.29 	Sec. 5. Minnesota Statutes 2021 Supplement, section 116J.8749, is amended to read:
25.30 	116J.8749 MAIN STREET ECONOMIC REVITALIZATION PROGRAM.
25.31 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
25.32 	the meanings given.
26.1 	(b) "Borrower" means an eligible recipient receiving a loan guaranteed or capitalized 
26.2 	under this section.
26.3 	(c) "Capitalized loan" means a loan for which the state provides up to 20 percent of the 
26.4 	loan funding with the state funds payment subordinate in the event of default.
26.5 	(c) (d) "Commissioner" means the commissioner of employment and economic 
26.6 	development.
26.7 	(d) (e) "Eligible project" means the development, redevelopment, demolition, site 
26.8 	preparation, predesign, design, engineering, repair, or renovation of real property or capital 
26.9 	improvements. Eligible projects must be designed to address the greatest economic 
26.10 	development and redevelopment needs that have arisen in the community surrounding that 
26.11 	real property since March 15, 2020. Eligible project includes but is not limited to the 
26.12 	construction of buildings, infrastructure, and related site amenities, landscaping, or 
26.13 	street-scaping. Eligible project does not include the purchase of real estate or business 
26.14 	operations or business operating expenses, such as inventory, wages, or working capital.
26.15 	(e) (f) "Eligible recipient" means a:
26.16 	(1) business;
26.17 	(2) nonprofit organization; or
26.18 	(3) developer
26.19 	that is seeking funding to complete an eligible project. Eligible recipient does not include 
26.20 	a partner organization or a local unit of government.
26.21 	(f) (g) "Guaranteed loan" means a loan guaranteed by the state for 80 percent of the loan 
26.22 	amount for a maximum period of 15 years from the origination of the loan.
26.23 	(g) (h) "Leveraged grant" means a grant that is matched by the eligible recipient's 
26.24 	commitment to the eligible project of nonstate funds at a level of 200 percent of the grant 
26.25 	amount. The nonstate match may include but is not limited to funds contributed by a partner 
26.26 	organization and insurance proceeds.
26.27 	(h) (i) "Loan guarantee trust fund" means a dedicated account established under this 
26.28 	section for the purpose of compensation for defaulted loan guarantees.
26.29 	(j) "Low-income area" means a census tract that has a poverty rate of at least 20 percent 
26.30 	as reported in the most recently completed decennial census published by the United States 
26.31 	Bureau of the Census.
26.32 	(i) (k) "Partner organizations" or "partners" means:
27.1 	(1) foundations engaged in economic development;
27.2 	(2) community development financial institutions; and
27.3 	(3) community development corporations.
27.4 	(j) (l) "Program" means the Main Street Economic Revitalization Program under this 
27.5 	section.
27.6 	(k) (m) "Subordinated loan" means a loan secured by a lien that is lower in priority than 
27.7 	one or more specified other liens.
27.8 		Subd. 2.Establishment. The commissioner shall establish the Main Street Economic 
27.9 	Revitalization Program to make grants to partner organizations to fund leveraged grants, 
27.10 	capitalized loans, and guaranteed loans to specific named eligible recipients for eligible 
27.11 	projects that are designed to address the greatest economic development and redevelopment 
27.12 	needs that have arisen in the surrounding community since March 15, 2020.
27.13 		Subd. 3.Grants to partner organizations. (a) The commissioner shall make grants to 
27.14 	partner organizations to provide leveraged grants, capitalized loans, and guaranteed loans 
27.15 	to eligible recipients using criteria, forms, applications, and reporting requirements developed 
27.16 	by the commissioner.
27.17 	(b) To be eligible for a grant, a partner organization must:
27.18 	(1) outline a plan to provide leveraged grants, capitalized loans, and guaranteed loans 
27.19 	to eligible recipients for specific eligible projects that represent the greatest economic 
27.20 	development and redevelopment needs in the surrounding community. This plan must 
27.21 	include an analysis of the economic impact of the eligible projects the partner organization 
27.22 	proposes to make these investments in;
27.23 	(2) establish a process of ensuring there are no conflicts of interest in determining awards 
27.24 	under the program; and
27.25 	(3) demonstrate that the partner organization has raised funds for the specific purposes 
27.26 	of this program to commit to the proposed eligible projects or will do so within the 15-month 
27.27 	period following the encumbrance of funds. Existing assets and state or federal funds may 
27.28 	not be used to meet this requirement.
27.29 	(c) Grants shall be made in up to three rounds:
27.30 	(1) a first round with an application date before September 1, 2021, during which no 
27.31 	more than 50 percent of available funds will be granted;
28.1 	(2) a second round with an application date after September 1, 2021, but before March 
28.2 	1, 2022; and
28.3 	(3) a third round with an application date after June 30, 2023, if any funds remain after 
28.4 	the first two rounds.
28.5 	A partner may apply in multiple rounds for projects that were not funded in earlier rounds 
28.6 	or for new projects.
28.7 	(d) Up to four percent of a grant under this subdivision may be used by the partner 
28.8 	organization for administration and monitoring of the program.
28.9 		Subd. 4.Award criteria. In awarding grants under this section, the commissioner shall 
28.10 	give funding preference to applications that:
28.11 	(1) have the greatest regional economic impact under subdivision 3, paragraph (b), clause 
28.12 	(1), particularly with regard to increasing the local tax base; and
28.13 	(2) have the greatest portion of the estimated cost of the eligible projects met through 
28.14 	nonstate funds.
28.15 		Subd. 5.Leveraged grants to eligible recipients. (a) A leveraged grant to an eligible 
28.16 	recipient shall be for no more than $750,000.
28.17 	(b) A leveraged grant may be used to finance no more than 30 percent of an eligible 
28.18 	project.
28.19 	(c) An eligible project must have secured commitments for all required matching funds 
28.20 	and all required development approvals before a leveraged grant may be distributed.
28.21 	(d) The commissioner may waive the matching fund requirement for projects located 
28.22 	in low-income areas.
28.23 		Subd. 6.Capitalized and guaranteed loans to eligible recipients. (a) A capitalized or 
28.24 	guaranteed loan to an eligible recipient must:
28.25 	(1) be for no more than $2,000,000; and
28.26 	(2) be for a term of no more than 15 years; and.
28.27 	(3)(b) All capitalized loans shall comply with the terms under subdivision 6a and all 
28.28 	guaranteed loans shall comply with the terms under subdivision 7.
28.29 	(b) (c) An eligible project must have all required development approvals before a 
28.30 	capitalized or guaranteed loan may be distributed.
29.1 	(d) Upon origination of a capitalized loan, the commissioner shall authorize disbursement 
29.2 	of up to 20 percent of the loan amount to the partner organization.
29.3 	(c) (e) Upon origination of a guaranteed loan, the commissioner must reserve ten percent 
29.4 	of the loan amount into the loan guarantee trust fund created under subdivision 8.
29.5 	(d) (f) No capitalized or guaranteed loan may be made to an eligible recipient after 
29.6 	December 31, 2024.
29.7 		Subd. 6a.Required terms for capitalized loans. For a capitalized loan under the 
29.8 	program:
29.9 	(1) principal and interest payments made by the borrower under the terms of the loan 
29.10 	shall be allocated first to the nonstate portion of the loan and second to the state portion of 
29.11 	the loan;
29.12 	(2) the partner organization shall not accelerate repayment of the loan or exercise other 
29.13 	remedies if the borrower defaults, unless:
29.14 	(i) the borrower fails to make a required payment of principal or interest within 60 days 
29.15 	of the due date; or
29.16 	(ii) the commissioner consents in writing;
29.17 	(3) the partner organization must timely prepare and deliver to the commissioner, annually 
29.18 	by the date specified in the loan agreement, an audited or reviewed financial statement for 
29.19 	the loan, prepared by a certified public accountant according to generally accepted accounting 
29.20 	principles, if available, and documentation that the borrower used the loan proceeds solely 
29.21 	for an eligible project;
29.22 	(4) the commissioner shall have access to loan documents at any time subsequent to the 
29.23 	loan documents being submitted to the partner organization;
29.24 	(5) the partner organization must maintain adequate records and documents concerning 
29.25 	the loan so that the commissioner may determine the borrower's financial condition and 
29.26 	compliance with program requirements;
29.27 	(6) the state portion of the loan may be subordinate to other loans made by lenders in 
29.28 	the overall financing package; and
29.29 	(7) repayments of the state portion of the loan may be retained by the partner organization 
29.30 	for capitalizing additional redevelopment projects.
29.31 		Subd. 7.Required terms for guaranteed loans. For a guaranteed loan under the 
29.32 	program:
30.1 	(1) principal and interest payments made by the borrower under the terms of the loan 
30.2 	are to reduce the guaranteed and nonguaranteed portion of the loan on a proportionate basis. 
30.3 	The nonguaranteed portion shall not receive preferential treatment over the guaranteed 
30.4 	portion;
30.5 	(2) the partner organization shall not accelerate repayment of the loan or exercise other 
30.6 	remedies if the borrower defaults, unless:
30.7 	(i) the borrower fails to make a required payment of principal or interest within 60 days 
30.8 	of the due date; or
30.9 	(ii) the commissioner consents in writing;
30.10 	(3) in the event of a default, the partner organization may not make a demand for payment 
30.11 	pursuant to the guarantee unless the commissioner agrees in writing that the default has 
30.12 	materially affected the rights or security of the parties;
30.13 	(4) the partner organization must timely prepare and deliver to the commissioner, annually 
30.14 	by the date specified in the loan guarantee, an audited or reviewed financial statement for 
30.15 	the loan, prepared by a certified public accountant according to generally accepted accounting 
30.16 	principles, if available, and documentation that the borrower used the loan proceeds solely 
30.17 	for an eligible project;
30.18 	(5) the commissioner shall have access to loan documents at any time subsequent to the 
30.19 	loan documents being submitted to the partner organization;
30.20 	(6) the partner organization must maintain adequate records and documents concerning 
30.21 	the loan so that the commissioner may determine the borrower's financial condition and 
30.22 	compliance with program requirements;
30.23 	(7) orderly liquidation of collateral securing the loan must be provided for in the event 
30.24 	of default, pursuant to the loan guarantee; and
30.25 	(8) the guaranteed portion of the loan may be subordinate to other loans made by lenders 
30.26 	in the overall financing package.
30.27 		Subd. 8.Loan guarantee trust fund established. A loan guarantee trust fund account 
30.28 	in the special revenue fund is created in the state treasury to pay for defaulted loan guarantees. 
30.29 	The commissioner shall administer this account. The day that this section expires, all 
30.30 	remaining funds in the account are canceled to the general fund.
30.31 		Subd. 9.Statewide program. In proportion to eligible demand, leveraged grants, 
30.32 	capitalized loans, and guaranteed loans under this section shall be made so that an 
31.1 	approximately equal dollar amount of leveraged grants, capitalized loans, and guaranteed 
31.2 	loans are made to businesses in the metropolitan area as in the nonmetropolitan area, not 
31.3 	to exceed 65 percent in any one area. After June 30, 2023, the department may allow 
31.4 	leveraged grants, capitalized loans, and guaranteed loans to be made anywhere in the state 
31.5 	without regard to geographic area.
31.6 		Subd. 10.Exemptions. All grants and grant-making processes under this section are 
31.7 	exempt from Minnesota Statutes, sections 16A.15, subdivision 3; 16B.97; and 16B.98, 
31.8 	subdivisions 5, 7, and 8. The commissioner must audit the use of funds under this section 
31.9 	in accordance with standard accounting practices. The exemptions under this subdivision 
31.10 	expire on December 31, 2023.
31.11 		Subd. 11.Reports. (a) By January 31, 2022, and annually until December 31, 2026, 
31.12 	after which biennial reporting will be permitted after the commissioner consults with the 
31.13 	legislature, partner organizations participating in the program must provide a report to the 
31.14 	commissioner that includes descriptions of the eligible projects supported by the program, 
31.15 	the type and amount of support provided, any economic development gains attributable to 
31.16 	the support, and an explanation of administrative expenses.
31.17 	(b) By February 15, 2022, and annually until December 31, 2026, after which biennial 
31.18 	reporting will be permitted after the commissioner consults with the legislature, the 
31.19 	commissioner must report to the legislative committees in the house of representatives and 
31.20 	senate with jurisdiction over economic development about funding provided under this 
31.21 	program based on the information received under paragraph (a) and about the performance 
31.22 	of the loan guarantee trust fund.
31.23 		Subd. 12.Expiration. This section expires December 31, 2036.

31.24 	EFFECTIVE DATE. This section is effective retroactively from July 1, 2021.

31.25 	Sec. 6. [116J.8751] SPARK SMALL BUSINESS LOAN PROGRAM.
31.26 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
31.27 	the meanings given.
31.28 	(b) "Account" means the spark small business loan program account created under 
31.29 	subdivision 5.
31.30 	(c) "Commissioner" means the commissioner of employment and economic development.
31.31 	(d) "Community business" means a cooperative, an employee-owned business, or a 
31.32 	commercial land trust that is at least 51 percent owned by individuals from targeted groups.
32.1 	(e) "Immigrant" means a lawful permanent resident who has been in the United States 
32.2 	for a maximum of seven years at the time of application.
32.3 	(f) "Partner organization" means a community development financial institution or 
32.4 	nonprofit corporation.
32.5 	(g) "Program" means the spark small business loan program established under this 
32.6 	section.
32.7 	(h) "Targeted groups" means people who are Black, Indigenous, People of Color, 
32.8 	immigrants, low income, women, veterans, or people with disabilities.
32.9 		Subd. 2.Establishment. The spark small business loan program is established to award 
32.10 	grants to partner organizations to fund loans statewide to businesses that employ the 
32.11 	equivalent of 50 full-time workers or less, to encourage private investment, provide jobs, 
32.12 	create and strengthen business enterprises, and promote economic development.
32.13 		Subd. 3.Grants to partner organizations. (a) The commissioner shall award grants to 
32.14 	partner organizations through a competitive grant process where applicants apply using a 
32.15 	form designed by the commissioner. In evaluating applications, the commissioner must 
32.16 	consider, among other things, whether the applicant:
32.17 	(1) has a board of directors that includes citizens experienced in business and community 
32.18 	development and creating jobs;
32.19 	(2) has the technical skills to analyze projects;
32.20 	(3) is familiar with other available public and private funding sources and economic 
32.21 	development programs;
32.22 	(4) can initiate and implement economic development projects;
32.23 	(5) can establish and administer a revolving loan account or has operated a revolving 
32.24 	loan account; and
32.25 	(6) can work with job referral networks.
32.26 	(b) The commissioner shall ensure that, to the extent there is sufficient eligible demand, 
32.27 	loans are made to businesses inside and outside the metropolitan area, as defined in section 
32.28 	473.121, subdivision 2, in a manner approximating each region's proportion of the state 
32.29 	population. After March 31 of each fiscal year, the commissioner may allow loans to be 
32.30 	made anywhere in the state without regard to geographic area.
32.31 	(c) Partner organizations that receive grants under this subdivision may use up to ten 
32.32 	percent of the award for administrative expenses, including providing specialized technical 
33.1 	and legal assistance, either directly or through partnership with nonprofit organizations, to 
33.2 	businesses eligible to apply for loans under this program.
33.3 	(d) The commissioner shall review existing agreements with partner organizations every 
33.4 	five years and may renew or terminate the agreement based on that review. In making the 
33.5 	review, the commissioner shall consider, among other criteria, the criteria in paragraph (a).
33.6 		Subd. 4.Loans to businesses. (a) A partner organization that receives a grant under 
33.7 	subdivision 3 shall establish a plan for making loans to businesses. The plan requires approval 
33.8 	by the commissioner.
33.9 	(b) Under the plan:
33.10 	(1) the partner organization shall establish a commissioner-certified revolving loan fund 
33.11 	for the purpose of making loans to businesses;
33.12 	(2) loans shall be for projects that are unlikely to be undertaken unless a loan is received 
33.13 	under the program;
33.14 	(3) a partner organization may not make a loan to a project in which it has an ownership 
33.15 	interest;
33.16 	(4) the state contribution to each loan shall be no less than $5,000 and no more than:
33.17 	(i) $35,000 if the loan is for a retail development project;
33.18 	(ii) $600,000 if the loan is for a community business; and
33.19 	(iii) $150,000 for all other loans;
33.20 	(5) the interest rate on a loan shall not be higher than the Wall Street Journal prime rate 
33.21 	and may be zero;
33.22 	(6) loans shall be for a maximum term of seven years;
33.23 	(7) the partner organization may charge a loan origination fee of no more than one 
33.24 	percent of the loan value and may retain that origination fee;
33.25 	(8) a loan application given preliminary approval by the partner organization must be 
33.26 	forwarded to the commissioner for final approval;
33.27 	(9) repayments may be deferred for up to one year if justified by the project proposed 
33.28 	and approved by the commissioner;
33.29 	(10) all repayments of interest on loans shall be deposited in the partner organization's 
33.30 	revolving loan fund for use in making further loans consistent with this section;
34.1 	(11) all repayments of loan principal must be paid to the commissioner for deposit in 
34.2 	the spark small business loan program account; and
34.3 	(12) up to ten percent of a loan's principal amount may be forgiven if the commissioner 
34.4 	approves and the borrower has met lender criteria, including being current with all payments.
34.5 		Subd. 5.Creation of account. A spark small business loan program account is created 
34.6 	in the special revenue fund in the state treasury. Money in the account is appropriated to 
34.7 	the commissioner for the grants under this section. Annually, the commissioner may use 
34.8 	an amount equal to no more than four percent of the value of grants made in the previous 
34.9 	year for the administrative costs of the program. In fiscal year 2023, the commissioner may 
34.10 	use $500,000 for administration. Notwithstanding section 16A.28, money deposited in the 
34.11 	account from any source is available until expended.
34.12 		Subd. 6.Reporting requirements. (a) A partner organization that receives a grant shall:
34.13 	(1) submit an annual report to the commissioner by February 15 of each year, beginning 
34.14 	in 2024, that includes a description of businesses supported by the program, an account of 
34.15 	loans made during the calendar year, the program's impact on business enterprises and job 
34.16 	creation, the source and amount of money collected and distributed by the program, the 
34.17 	program's assets and liabilities, and an explanation of administrative expenses; and
34.18 	(2) provide for an independent annual audit to be performed in accordance with generally 
34.19 	accepted accounting practices and auditing standards and submit a copy of each annual 
34.20 	audit report to the commissioner.
34.21 	(b) By March 1 of each year, beginning in 2024, the commissioner shall submit a report 
34.22 	to the chairs and ranking minority members of the legislative committees with jurisdiction 
34.23 	over economic development on program outcomes, including copies of all reports and audits 
34.24 	received under paragraph (a).

34.25 	Sec. 7. Minnesota Statutes 2020, section 116J.8770, is amended to read:
34.26 	116J.8770 EQUITY INVESTMENTS.
34.27 	The commissioner may invest funds from the capital access account to make equity 
34.28 	investments in community development early stage and venture capital funds for the purpose 
34.29 	of providing capital for small and emerging businesses. The community development early 
34.30 	stage and venture capital fund must have experience in equity investments with small 
34.31 	businesses and the ability to raise private capital.

35.1 	Sec. 8. Minnesota Statutes 2021 Supplement, section 116J.9924, subdivision 4, is amended 
35.2 	to read:
35.3 		Subd. 4.Grant amount; project phasing. (a) The commissioner shall award grants in 
35.4 	an amount not to exceed $1,500,000 $3,000,000 per grant.
35.5 	(b) A grant awarded under this section must be no less than the amount required to 
35.6 	complete one or more phases of the project, less any nonstate funds already committed for 
35.7 	such activities.

35.8 	Sec. 9. [116J.9926] EMERGING DEVELOPER FUND PROGRAM.
35.9 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
35.10 	the meanings given.
35.11 	(b) "Commissioner" means the commissioner of employment and economic development.
35.12 	(c) "Disadvantaged community" means a community where the median household 
35.13 	income is less than 80 percent of the area median income.
35.14 	(d) "Eligible project" means a project that is based in Minnesota and meets one or more 
35.15 	of the following criteria:
35.16 	(1) it will stimulate community stabilization or revitalization;
35.17 	(2) it will be located within a census tract identified as a disadvantaged community or 
35.18 	low-income community;
35.19 	(3) it will directly benefit residents of a low-income household;
35.20 	(4) it will increase the supply and improve the condition of affordable housing and 
35.21 	homeownership;
35.22 	(5) it will support the growth needs of new and existing community-based enterprises 
35.23 	that promote economic stability or improve the supply or quality of job opportunities; or
35.24 	(6) it will promote wealth creation, including by being a project in a neighborhood 
35.25 	traditionally not served by real estate developers.
35.26 	(e) "Emerging developer" means a developer who:
35.27 	(1) has limited access to loans from traditional financial institutions; or
35.28 	(2) is a new or smaller developer who has engaged in educational training in real estate 
35.29 	development; and
35.30 	(3) is either a:
36.1 	(i) minority as defined in section 116M.14, subdivision 6;
36.2 	(ii) woman;
36.3 	(iii) person with a disability, as defined in section 116M.14, subdivision 9; or
36.4 	(iv) low-income person.
36.5 	(f) "Low-income person" means a person who:
36.6 	(1) has a household income at or below 200 percent of the federal poverty level; or
36.7 	(2) has a family income that does not exceed 60 percent of the area median income as 
36.8 	determined by the United States Department of Housing and Urban Development.
36.9 	(g) "Partner organization" means a community development financial institution or a 
36.10 	similarly qualified nonprofit corporation, as determined by the commissioner.
36.11 	(h) "Program" means the emerging developer fund program created under this section.
36.12 		Subd. 2.Establishment. The commissioner shall establish an emerging developer fund 
36.13 	program to make grants to partner organizations to make loans to emerging developers for 
36.14 	eligible projects to transform neighborhoods statewide and promote economic development 
36.15 	and the creation and retention of jobs in Minnesota. The program must also reduce racial 
36.16 	and socioeconomic disparities by growing the financial capacity of emerging developers.
36.17 		Subd. 3.Grants to partner organizations. (a) The commissioner shall design a 
36.18 	competitive process to award grants to partner organizations to make loans to emerging 
36.19 	developers under subdivision 4.
36.20 	(b) A partner organization may use up to ten percent of grant funds for the administrative 
36.21 	costs of the program.
36.22 		Subd. 4.Loans to emerging developers. (a) Through the program, partner organizations 
36.23 	shall offer emerging developers predevelopment, construction, and bridge loans for eligible 
36.24 	projects according to a plan submitted to and approved by the commissioner.
36.25 	(b) Predevelopment loans must be for no more than $50,000. All other types of loans 
36.26 	must be for no more than $500,000.
36.27 	(c) Loans must be for a term set by the partner organization and approved by the 
36.28 	commissioner of no less than six months and no more than five years, depending on the use 
36.29 	of loan proceeds.
37.1 	(d) Loans must be for zero interest or an interest rate of no more than the Wall Street 
37.2 	Journal prime rate, as determined by the partner organization and approved by the 
37.3 	commissioner based on the individual project risk and type of loan sought.
37.4 	(e) Loans must have flexible collateral requirements compared to traditional loans, but 
37.5 	may require a personal guaranty from the emerging developer and may be largely unsecured 
37.6 	when the appraised value of the real estate is low.
37.7 	(f) Loans must have no prepayment penalties and are expected to be repaid from 
37.8 	permanent financing or a conventional loan, once that is secured.
37.9 	(g) Loans must have the ability to bridge many types of receivables, such as tax credits, 
37.10 	grants, developer fees, and other forms of long-term financing.
37.11 	(h) At the partner organization's request and the commissioner's discretion, an emerging 
37.12 	developer may be required to work with an experienced developer or professional services 
37.13 	consultant who can offer expertise and advice throughout the development of the project.
37.14 	(i) All loan repayments must be paid into the emerging developer fund account created 
37.15 	in this section to fund additional loans.
37.16 		Subd. 5.Eligible expenses. (a) The following are eligible expenses for a predevelopment 
37.17 	loan under the program:
37.18 	(1) earnest money or purchase deposit;
37.19 	(2) building inspection fees and environmental reviews;
37.20 	(3) appraisal and surveying;
37.21 	(4) design and tax credit application fees;
37.22 	(5) title and recording fees;
37.23 	(6) site preparation, demolition, and stabilization;
37.24 	(7) interim maintenance and project overhead;
37.25 	(8) property taxes and insurance;
37.26 	(9) construction bonds or letters of credit;
37.27 	(10) market and feasibility studies; and
37.28 	(11) professional fees.
37.29 	(b) The following are eligible expenses for a construction or bridge loan under the 
37.30 	program:
38.1 	(1) land or building acquisition;
38.2 	(2) construction-related expenses;
38.3 	(3) developer and contractor fees;
38.4 	(4) site preparation and demolition;
38.5 	(5) financing fees, including title and recording;
38.6 	(6) professional fees;
38.7 	(7) carrying costs;
38.8 	(8) construction period interest;
38.9 	(9) project reserves; and
38.10 	(10) leasehold improvements and equipment purchase.
38.11 		Subd. 6.Emerging developer fund account. An emerging developer fund account is 
38.12 	created in the special revenue fund in the state treasury. Money in the account is appropriated 
38.13 	to the commissioner for grants to partner organizations to make loans under this section.
38.14 		Subd. 7.Reports to the legislature. (a) By January 15 of each year, beginning in 2024, 
38.15 	each partner organization shall submit a report to the commissioner on the use of program 
38.16 	funds and program outcomes.
38.17 	(b) By February 15 of each year, beginning in 2024, the commissioner shall submit a 
38.18 	report to the chairs of the house of representatives and senate committees with jurisdiction 
38.19 	over economic development on the use of program funds and program outcomes.

38.20 	Sec. 10. Minnesota Statutes 2020, section 116J.993, subdivision 3, is amended to read:
38.21 		Subd. 3.Business subsidy. "Business subsidy" or "subsidy" means a state or local 
38.22 	government agency grant, contribution of personal property, real property, infrastructure, 
38.23 	the principal amount of a loan at rates below those commercially available to the recipient, 
38.24 	any reduction or deferral of any tax or any fee, any guarantee of any payment under any 
38.25 	loan, lease, or other obligation, or any preferential use of government facilities given to a 
38.26 	business.
38.27 	The following forms of financial assistance are not a business subsidy:
38.28 	(1) a business subsidy of less than $150,000;
38.29 	(2) assistance that is generally available to all businesses or to a general class of similar 
38.30 	businesses, such as a line of business, size, location, or similar general criteria;
39.1 	(3) public improvements to buildings or lands owned by the state or local government 
39.2 	that serve a public purpose and do not principally benefit a single business or defined group 
39.3 	of businesses at the time the improvements are made;
39.4 	(4) redevelopment property polluted by contaminants as defined in section 116J.552, 
39.5 	subdivision 3;
39.6 	(5) assistance provided for the sole purpose of renovating old or decaying building stock 
39.7 	or bringing it up to code and assistance provided for designated historic preservation districts, 
39.8 	provided that the assistance is equal to or less than 50 percent of the total cost;
39.9 	(6) assistance to provide job readiness and training services if the sole purpose of the 
39.10 	assistance is to provide those services;
39.11 	(7) assistance for housing;
39.12 	(8) assistance for pollution control or abatement, including assistance for a tax increment 
39.13 	financing hazardous substance subdistrict as defined under section 469.174, subdivision 
39.14 	23;
39.15 	(9) assistance for energy conservation;
39.16 	(10) tax reductions resulting from conformity with federal tax law;
39.17 	(11) workers' compensation and unemployment insurance;
39.18 	(12) benefits derived from regulation;
39.19 	(13) indirect benefits derived from assistance to educational institutions;
39.20 	(14) funds from bonds allocated under chapter 474A, bonds issued to refund outstanding 
39.21 	bonds, and bonds issued for the benefit of an organization described in section 501(c)(3) 
39.22 	of the Internal Revenue Code of 1986, as amended through December 31, 1999;
39.23 	(15) assistance for a collaboration between a Minnesota higher education institution and 
39.24 	a business;
39.25 	(16) assistance for a tax increment financing soils condition district as defined under 
39.26 	section 469.174, subdivision 19;
39.27 	(17) redevelopment when the recipient's investment in the purchase of the site and in 
39.28 	site preparation is 70 percent or more of the assessor's current year's estimated market value;
39.29 	(18) general changes in tax increment financing law and other general tax law changes 
39.30 	of a principally technical nature;
40.1 	(19) federal assistance until the assistance has been repaid to, and reinvested by, the 
40.2 	state or local government agency;
40.3 	(20) funds from dock and wharf bonds issued by a seaway port authority;
40.4 	(21) business loans and loan guarantees of $150,000 or less;
40.5 	(22) federal loan funds provided through the United States Department of Commerce, 
40.6 	Economic Development Administration, Department of the Treasury; and
40.7 	(23) property tax abatements granted under section 469.1813 to property that is subject 
40.8 	to valuation under Minnesota Rules, chapter 8100.

40.9 	Sec. 11. Minnesota Statutes 2020, section 116L.04, subdivision 1a, is amended to read:
40.10 		Subd. 1a.Pathways program. The pathways program may provide grants-in-aid for 
40.11 	developing programs which assist in the transition of persons from welfare to work and 
40.12 	assist individuals at or below 200 percent of the federal poverty guidelines. The program 
40.13 	is to be operated by the board. The board shall consult and coordinate with program 
40.14 	administrators at the Department of Employment and Economic Development to design 
40.15 	and provide services for temporary assistance for needy families recipients.
40.16 	Pathways grants-in-aid may be awarded to educational or other nonprofit training 
40.17 	institutions or to workforce development intermediaries for education and training programs 
40.18 	and services supporting education and training programs that serve eligible recipients.
40.19 	Preference shall be given to projects that:
40.20 	(1) provide employment with benefits paid to employees;
40.21 	(2) provide employment where there are defined career paths for trainees;
40.22 	(3) pilot the development of an educational pathway that can be used on a continuing 
40.23 	basis for transitioning persons from welfare to work; and
40.24 	(4) demonstrate the active participation of Department of Employment and Economic 
40.25 	Development workforce centers, Minnesota State College and University institutions and 
40.26 	other educational institutions, and local welfare agencies.
40.27 	Pathways projects must demonstrate the active involvement and financial commitment 
40.28 	of private participating business. Pathways projects must be matched with cash or in-kind 
40.29 	contributions on at least a one-half-to-one ratio by participating private business.
40.30 	A single grant to any one institution shall not exceed $400,000. A portion of a grant may 
40.31 	be used for preemployment training.

41.1 	Sec. 12. Minnesota Statutes 2020, section 116L.17, subdivision 1, is amended to read:
41.2 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
41.3 	the meanings given them in this subdivision.
41.4 	(b) "Commissioner" means the commissioner of employment and economic development.
41.5 	(c) "Dislocated worker" means an individual who is a resident of Minnesota at the time 
41.6 	employment ceased or was working in the state at the time employment ceased and:
41.7 	(1) has been permanently separated or has received a notice of permanent separation 
41.8 	from public or private sector employment and is eligible for or has exhausted entitlement 
41.9 	to unemployment benefits, and is unlikely to return to the previous industry or occupation;
41.10 	(2) has been long-term unemployed and has limited opportunities for employment or 
41.11 	reemployment in the same or a similar occupation in the area in which the individual resides, 
41.12 	including older individuals who may have substantial barriers to employment by reason of 
41.13 	age;
41.14 	(3) has been terminated or has received a notice of termination of employment as a result 
41.15 	of a plant closing or a substantial layoff at a plant, facility, or enterprise;
41.16 	(4) has been self-employed, including farmers and ranchers, and is unemployed as a 
41.17 	result of general economic conditions in the community in which the individual resides or 
41.18 	because of natural disasters;
41.19 	(5) is a veteran as defined by section 197.447, has been discharged or released from 
41.20 	active duty under honorable conditions within the last 36 months, and (i) is unemployed or 
41.21 	(ii) is employed in a job verified to be below the skill level and earning capacity of the 
41.22 	veteran;
41.23 	(6) is an individual determined by the United States Department of Labor to be covered 
41.24 	by trade adjustment assistance under United States Code, title 19, sections 2271 to 2331, 
41.25 	as amended; or
41.26 	(7) is a displaced homemaker. A "displaced homemaker" is an individual who has spent 
41.27 	a substantial number of years in the home providing homemaking service and (i) has been 
41.28 	dependent upon the financial support of another; and now due to divorce, separation, death, 
41.29 	or disability of that person, must now find employment to self support; or (ii) derived the 
41.30 	substantial share of support from public assistance on account of dependents in the home 
41.31 	and no longer receives such support. To be eligible under this clause, the support must have 
41.32 	ceased while the worker resided in Minnesota.
42.1 	For the purposes of this section, "dislocated worker" does not include an individual who 
42.2 	was an employee, at the time employment ceased, of a political committee, political fund, 
42.3 	principal campaign committee, or party unit, as those terms are used in chapter 10A, or an 
42.4 	organization required to file with the federal elections commission.
42.5 	(d) "Eligible organization" means a state or local government unit, nonprofit organization, 
42.6 	community action agency, business organization or association, or labor organization.
42.7 	(e) "Plant closing" means the announced or actual permanent shutdown of a single site 
42.8 	of employment, or one or more facilities or operating units within a single site of 
42.9 	employment.
42.10 	(f) "Substantial layoff" means a permanent reduction in the workforce, which is not a 
42.11 	result of a plant closing, and which results in an employment loss at a single site of 
42.12 	employment during any 30-day period for at least 50 employees excluding those employees 
42.13 	that work less than 20 hours per week.

42.14 	Sec. 13. Minnesota Statutes 2020, section 116L.98, subdivision 2, is amended to read:
42.15 		Subd. 2.Definitions. (a) For the purposes of this section, the terms defined in this 
42.16 	subdivision have the meanings given.
42.17 	(b) "Credential" means postsecondary degrees, diplomas, licenses, and certificates 
42.18 	awarded in recognition of an individual's attainment of measurable technical or occupational 
42.19 	skills necessary to obtain employment or advance with an occupation. This definition does 
42.20 	not include certificates awarded by workforce investment boards or work-readiness 
42.21 	certificates.
42.22 	(c) "Exit" means to have not received service under a workforce program for 90 
42.23 	consecutive calendar days. The exit date is the last date of service.
42.24 	(d) "Net impact" means the use of matched control groups and regression analysis to 
42.25 	estimate the impacts attributable to program participation net of other factors, including 
42.26 	observable personal characteristics and economic conditions.
42.27 	(e) "Pre-enrollment" means the period of time before an individual was enrolled in a 
42.28 	workforce program.

42.29 	Sec. 14. Minnesota Statutes 2020, section 116L.98, subdivision 3, is amended to read:
42.30 		Subd. 3.Uniform outcome report card; reporting by commissioner. (a) By December 
42.31 	31 of each even-numbered year, the commissioner must report to the chairs and ranking 
43.1 	minority members of the committees of the house of representatives and the senate having 
43.2 	jurisdiction over economic development and workforce policy and finance the following 
43.3 	information separately for each of the previous two fiscal or calendar years, for each program 
43.4 	subject to the requirements of subdivision 1:
43.5 	(1) the total number of participants enrolled;
43.6 	(2) the median pre-enrollment wages based on participant wages for the second through 
43.7 	the fifth calendar quarters immediately preceding the quarter of enrollment excluding those 
43.8 	with zero income;
43.9 	(3) the total number of participants with zero income in the second through fifth calendar 
43.10 	quarters immediately preceding the quarter of enrollment;
43.11 	(4) the total number of participants enrolled in training;
43.12 	(5) the total number of participants enrolled in training by occupational group;
43.13 	(6) the total number of participants that exited the program and the average enrollment 
43.14 	duration of participants that have exited the program during the year;
43.15 	(7) the total number of exited participants who completed training;
43.16 	(8) the total number of exited participants who attained a credential;
43.17 	(9) the total number of participants employed during three consecutive quarters 
43.18 	immediately following the quarter of exit, by industry;
43.19 	(10) the median wages of participants employed during three consecutive quarters 
43.20 	immediately following the quarter of exit;
43.21 	(11) the total number of participants employed during eight consecutive quarters 
43.22 	immediately following the quarter of exit, by industry; and
43.23 	(12) the median wages of participants employed during eight consecutive quarters 
43.24 	immediately following the quarter of exit;.
43.25 	(13) the total cost of the program;
43.26 	(14) the total cost of the program per participant;
43.27 	(15) the cost per credential received by a participant; and
43.28 	(16) the administrative cost of the program.
44.1 	(b) The report to the legislature must contain participant information by education level, 
44.2 	race and ethnicity, gender, and geography, and a comparison of exited participants who 
44.3 	completed training and those who did not.
44.4 	(c) The requirements of this section apply to programs administered directly by the 
44.5 	commissioner or administered by other organizations under a grant made by the department.

44.6 	Sec. 15. CANADIAN BORDER COUNTIES ECONOMIC RELIEF PROGRAM.
 44.7 		Subdivision 1.Relief program established. The Northland Foundation and the Northwest 
44.8 	Minnesota Foundation must develop and implement a Canadian border counties economic 
44.9 	relief program to assist businesses adversely affected by the 2021 closure of the Boundary 
44.10 	Waters Canoe Area Wilderness or the closures of the Canadian border since 2020.
44.11 		Subd. 2.Available relief. (a) The economic relief program established under this section 
44.12 	may include grants provided in this section to the extent that funds are available. Before 
44.13 	awarding grants to the Northland Foundation and the Northwest Minnesota Foundation for 
44.14 	the relief program under this section:
44.15 	(1) the Northland Foundation and the Northwest Minnesota Foundation must develop 
44.16 	criteria, procedures, and requirements for:
44.17 	(i) determining eligibility for assistance;
44.18 	(ii) evaluating applications for assistance;
44.19 	(iii) awarding assistance; and
44.20 	(iv) administering the grant program authorized under this section;
44.21 	(2) the Northland Foundation and the Northwest Minnesota Foundation must submit 
44.22 	criteria, procedures, and requirements developed under clause (1) to the commissioner of 
44.23 	employment and economic development for review; and
44.24 	(3) the commissioner must approve the criteria, procedures, and requirements submitted 
44.25 	under clause (2).
44.26 	(b) The maximum grant to a business under this section is $50,000 per business.
44.27 		Subd. 3.Qualification requirements. To qualify for assistance under this section, a 
44.28 	business must:
44.29 	(1) be located within a county that shares a border with Canada;
44.30 	(2) document a reduction of at least 20 percent in gross receipts in 2021 compared to 
44.31 	2019; and
45.1 	(3) provide a written explanation for how the 2021 closure of the Boundary Waters 
45.2 	Canoe Area Wilderness or the closures of the Canadian border since 2020 resulted in the 
45.3 	reduction in gross receipts documented under clause (2).
45.4 		Subd. 4.Monitoring. (a) The Northland Foundation and the Northwest Minnesota 
45.5 	Foundation must establish performance measures, including but not limited to the following 
45.6 	components:
45.7 	(1) the number of grants awarded and award amounts for each grant;
45.8 	(2) the number of jobs created or retained as a result of the assistance, including 
45.9 	information on the wages and benefit levels, the status of the jobs as full time or part time, 
45.10 	and the status of the jobs as temporary or permanent;
45.11 	(3) the amount of business activity and changes in gross revenues of the grant recipient 
45.12 	as a result of the assistance; and
45.13 	(4) the new tax revenue generated as a result of the assistance.
45.14 	(b) The commissioner of employment and economic development must monitor the 
45.15 	Northland Foundation's and the Northwest Minnesota Foundation's compliance with this 
45.16 	section and the performance measures developed under paragraph (a).
45.17 	(c) The Northland Foundation and the Northwest Minnesota Foundation must comply 
45.18 	with all requests made by the commissioner under this section.
45.19 		Subd. 5.Business subsidy requirements. Minnesota Statutes, sections 116J.993 to 
45.20 	116J.995, do not apply to assistance under this section. Businesses in receipt of assistance 
45.21 	under this section must provide for job creation and retention goals and wage and benefit 
45.22 	goals.
45.23 		Subd. 6.Administrative costs. The commissioner of employment and economic 
45.24 	development may use up to three percent of the appropriation made for this section for 
45.25 	administrative expenses of the department.

45.26 	EFFECTIVE DATE. This section is effective July 1, 2022, and expires June 30, 2023.

45.27 	Sec. 16. SMALL BUSINESS RECOVERY GRANT PROGRAM.
 45.28 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
45.29 	the meanings given.
46.1 	(b) "Business" means both for-profit businesses and nonprofit organizations that earn 
46.2 	revenue in ways similar to businesses, including but not limited to ticket sales and 
46.3 	membership fees.
46.4 	(c) "Commissioner" means the commissioner of employment and economic development.
46.5 	(d) "Partner organization" or "partner" means the Minnesota Initiative Foundations and 
46.6 	nonprofit corporations on the certified lenders list that the commissioner determines to be 
46.7 	qualified to provide grants to businesses under this section.
46.8 	(e) "Program" means the small business recovery grant program under this section.
46.9 		Subd. 2.Establishment. The commissioner shall establish the small business recovery 
46.10 	grant program to make grants to partner organizations to provide grants to businesses that 
46.11 	have been directly or indirectly impacted by the COVID-19 pandemic and other economic 
46.12 	challenges.
46.13 		Subd. 3.Grants to partner organizations. (a) The commissioner shall make grants to 
46.14 	partner organizations to provide grants to businesses under subdivision 4 using criteria, 
46.15 	forms, applications, and reporting requirements developed by the commissioner.
46.16 	(b) The commissioner must, to the degree practical, grant an equal amount of money to 
46.17 	partner organizations serving the seven-county metropolitan area, as defined under Minnesota 
46.18 	Statutes, section 473.121, subdivision 2, as the commissioner grants to organizations serving 
46.19 	greater Minnesota.
46.20 	(c) Up to four percent of a grant under this subdivision may be used by the partner 
46.21 	organization for administration and monitoring of the program.
46.22 	(d) Any money not spent by partner organizations by December 31, 2023, must be 
46.23 	returned to the commissioner and canceled back to the general fund.
46.24 		Subd. 4.Grants to businesses. (a) Partners shall make grants to businesses using criteria, 
46.25 	forms, applications, and reporting requirements developed by the commissioner.
46.26 	(b) To be eligible for a grant under this subdivision, a business must:
46.27 	(1) have primary business operations located in Minnesota;
46.28 	(2) be at least 50 percent owned by a resident of Minnesota;
46.29 	(3) employ the equivalent of 50 full-time workers or less;
46.30 	(4) be able to demonstrate financial hardship during 2021 or 2022;
46.31 	(5) include as part of the application a business plan for continued operation; and
47.1 	(6) primarily do business in one or more of the industries listed under subdivision 5.
47.2 	(c) Grants under this subdivision shall be awarded by randomized selection process after 
47.3 	applications are collected over a period of no more than ten calendar days.
47.4 	(d) Grants under this subdivision must be for up to $25,000 per business.
47.5 	(e) No business may receive more than one grant under this section.
47.6 	(f) Grant money must be used for working capital to support payroll expenses, rent or 
47.7 	mortgage payments, utility bills, and other similar expenses that occur or have occurred 
47.8 	since January 1, 2022, in the regular course of business, but not to refinance debt that existed 
47.9 	at the time of the governor's COVID-19 peacetime emergency declaration.
47.10 		Subd. 5.Eligible industries. To be eligible for a grant under subdivision 4, a business 
47.11 	must primarily do business in one or more of the following industries:
47.12 	(1) serving food or beverages, such as restaurants, cafes, bars, breweries, wineries, and 
47.13 	distilleries;
47.14 	(2) personal services, such as hair care, nail care, skin care, or massage;
47.15 	(3) indoor entertainment, such as a business providing arcade games, escape rooms, or 
47.16 	indoor trampoline parks;
47.17 	(4) indoor fitness and recreational sports centers, such as gyms, fitness studios, indoor 
47.18 	ice rinks, and indoor swimming pools;
47.19 	(5) wellness and recreation, such as the teaching of yoga, dance, or martial arts;
47.20 	(6) catering services;
47.21 	(7) temporary lodging, such as hotels and motels; or
47.22 	(8) performance venues.
47.23 		Subd. 6.Distribution of awards. Of grant funds awarded under subdivision 4, a 
47.24 	minimum of:
47.25 	(1) $5,000,000 must be awarded to businesses that employ the equivalent of six full-time 
47.26 	workers or less;
47.27 	(2) $3,500,000 must be awarded to minority business enterprises, as defined in Minnesota 
47.28 	Statutes, section 116M.14, subdivision 5;
47.29 	(3) $1,000,000 must be awarded to businesses that are majority owned and operated by 
47.30 	veterans as defined in Minnesota Statutes, section 197.447; and
48.1 	(4) $1,000,000 must be awarded to businesses that are majority owned and operated by 
48.2 	women.
48.3 		Subd. 7.Exemptions. All grants and grant-making processes under this section are 
48.4 	exempt from Minnesota Statutes, sections 16A.15, subdivision 3; 16B.97; and 16B.98, 
48.5 	subdivisions 5, 7, and 8. The commissioner must audit the use of grant money under this 
48.6 	section in accordance with standard accounting practices. This subdivision expires on 
48.7 	December 31, 2023.
48.8 		Subd. 8.Reports. (a) By January 31, 2024, partner organizations participating in the 
48.9 	program must provide a report to the commissioner that includes descriptions of the 
48.10 	businesses supported by the program, the amounts granted, and an explanation of 
48.11 	administrative expenses.
48.12 	(b) By February 15, 2024, the commissioner must report to the legislative committees 
48.13 	in the house of representatives and senate with jurisdiction over economic development 
48.14 	about grants made under this section based on the information received under paragraph 
48.15 	(a).

48.16 	Sec. 17. ENCUMBRANCE EXCEPTION.
 48.17 	Notwithstanding Minnesota Statutes, section 16B.98, subdivision 5, paragraph (a), clause 
48.18 	(2), or 16C.05, subdivision 2, paragraph (a), clause (3), the commissioner of employment 
48.19 	and economic development may permit grant recipients of the Minnesota investment fund 
48.20 	program under Minnesota Statutes, section 116J.8731; the job creation fund program under 
48.21 	Minnesota Statutes, section 116J.8748; and the border-to-border broadband program under 
48.22 	Minnesota Statutes, section 116J.395, to incur eligible expenses based on an agreed upon 
48.23 	work plan and budget for up to 90 days prior to an encumbrance being established in the 
48.24 	accounting system.

48.25 	EFFECTIVE DATE. This section is effective the day following final enactment and 
48.26 	expires on June 30, 2025.

48.27 	Sec. 18. REPEALER.
 48.28 	Minnesota Statutes 2021 Supplement, section 116J.9924, subdivision 6, is repealed.

49.1 	ARTICLE 3
49.2 	FAMILY AND MEDICAL BENEFITS

49.3 	Section 1. Minnesota Statutes 2020, section 13.719, is amended by adding a subdivision 
49.4 	to read:
49.5 		Subd. 7.Family and medical insurance data. (a) For the purposes of this subdivision, 
49.6 	the terms used have the meanings given them in section 268B.01.
49.7 	(b) Data on applicants, family members, or employers under chapter 268B are private 
49.8 	or nonpublic data, provided that the department may share data collected from applicants 
49.9 	with employers or health care providers to the extent necessary to meet the requirements 
49.10 	of chapter 268B or other applicable law.
49.11 	(c) The department and the Department of Labor and Industry may share data classified 
49.12 	under paragraph (b) to the extent necessary to meet the requirements of chapter 268B or 
49.13 	the Department of Labor and Industry's enforcement authority over chapter 268B, as provided 
49.14 	in section 177.27.

49.15 	Sec. 2. Minnesota Statutes 2020, section 177.27, subdivision 4, is amended to read:
49.16 		Subd. 4.Compliance orders. The commissioner may issue an order requiring an 
49.17 	employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 
49.18 	181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275, 
49.19 	subdivision 2a, 181.722, 181.79, and 181.939 to 181.943, 268B.09, subdivisions 1 to 6, and 
49.20 	268B.14, subdivision 3, or with any rule promulgated under section 177.28. The 
49.21 	commissioner shall issue an order requiring an employer to comply with sections 177.41 
49.22 	to 177.435 if the violation is repeated. For purposes of this subdivision only, a violation is 
49.23 	repeated if at any time during the two years that preceded the date of violation, the 
49.24 	commissioner issued an order to the employer for violation of sections 177.41 to 177.435 
49.25 	and the order is final or the commissioner and the employer have entered into a settlement 
49.26 	agreement that required the employer to pay back wages that were required by sections 
49.27 	177.41 to 177.435. The department shall serve the order upon the employer or the employer's 
49.28 	authorized representative in person or by certified mail at the employer's place of business. 
49.29 	An employer who wishes to contest the order must file written notice of objection to the 
49.30 	order with the commissioner within 15 calendar days after being served with the order. A 
49.31 	contested case proceeding must then be held in accordance with sections 14.57 to 14.69. 
49.32 	If, within 15 calendar days after being served with the order, the employer fails to file a 
50.1 	written notice of objection with the commissioner, the order becomes a final order of the 
50.2 	commissioner.

50.3 	Sec. 3. Minnesota Statutes 2020, section 181.032, is amended to read:
50.4 	181.032 REQUIRED STATEMENT OF EARNINGS BY EMPLOYER; NOTICE 
50.5 	TO EMPLOYEE.
50.6 	(a) At the end of each pay period, the employer shall provide each employee an earnings 
50.7 	statement, either in writing or by electronic means, covering that pay period. An employer 
50.8 	who chooses to provide an earnings statement by electronic means must provide employee 
50.9 	access to an employer-owned computer during an employee's regular working hours to 
50.10 	review and print earnings statements, and must make statements available for review or 
50.11 	printing for a period of three years.
50.12 	(b) The earnings statement may be in any form determined by the employer but must 
50.13 	include:
50.14 	(1) the name of the employee;
50.15 	(2) the rate or rates of pay and basis thereof, including whether the employee is paid by 
50.16 	hour, shift, day, week, salary, piece, commission, or other method;
50.17 	(3) allowances, if any, claimed pursuant to permitted meals and lodging;
50.18 	(4) the total number of hours worked by the employee unless exempt from chapter 177;
50.19 	(5) the total amount of gross pay earned by the employee during that period;
50.20 	(6) a list of deductions made from the employee's pay;
50.21 	(7) any amount deducted by the employer under section 268B.14, subdivision 3, and 
50.22 	the amount paid by the employer based on the employee's wages under section 268B.14, 
50.23 	subdivision 1;
50.24 	(7) (8) the net amount of pay after all deductions are made;
50.25 	(8) (9) the date on which the pay period ends;
50.26 	(9) (10) the legal name of the employer and the operating name of the employer if 
50.27 	different from the legal name;
50.28 	(10) (11) the physical address of the employer's main office or principal place of business, 
50.29 	and a mailing address if different; and
50.30 	(11) (12) the telephone number of the employer.
51.1 	(c) An employer must provide earnings statements to an employee in writing, rather 
51.2 	than by electronic means, if the employer has received at least 24 hours notice from an 
51.3 	employee that the employee would like to receive earnings statements in written form. Once 
51.4 	an employer has received notice from an employee that the employee would like to receive 
51.5 	earnings statements in written form, the employer must comply with that request on an 
51.6 	ongoing basis.
51.7 	(d) At the start of employment, an employer shall provide each employee a written notice 
51.8 	containing the following information:
51.9 	(1) the rate or rates of pay and basis thereof, including whether the employee is paid by 
51.10 	the hour, shift, day, week, salary, piece, commission, or other method, and the specific 
51.11 	application of any additional rates;
51.12 	(2) allowances, if any, claimed pursuant to permitted meals and lodging;
51.13 	(3) paid vacation, sick time, or other paid time-off accruals and terms of use;
51.14 	(4) the employee's employment status and whether the employee is exempt from minimum 
51.15 	wage, overtime, and other provisions of chapter 177, and on what basis;
51.16 	(5) a list of deductions that may be made from the employee's pay;
51.17 	(6) the number of days in the pay period, the regularly scheduled pay day, and the pay 
51.18 	day on which the employee will receive the first payment of wages earned;
51.19 	(7) the legal name of the employer and the operating name of the employer if different 
51.20 	from the legal name;
51.21 	(8) the physical address of the employer's main office or principal place of business, and 
51.22 	a mailing address if different; and
51.23 	(9) the telephone number of the employer.
51.24 	(e) The employer must keep a copy of the notice under paragraph (d) signed by each 
51.25 	employee acknowledging receipt of the notice. The notice must be provided to each employee 
51.26 	in English. The English version of the notice must include text provided by the commissioner 
51.27 	that informs employees that they may request, by indicating on the form, the notice be 
51.28 	provided in a particular language. If requested, the employer shall provide the notice in the 
51.29 	language requested by the employee. The commissioner shall make available to employers 
51.30 	the text to be included in the English version of the notice required by this section and assist 
51.31 	employers with translation of the notice in the languages requested by their employees.
52.1 	(f) An employer must provide the employee any written changes to the information 
52.2 	contained in the notice under paragraph (d) prior to the date the changes take effect.

52.3 	Sec. 4. Minnesota Statutes 2020, section 268.19, subdivision 1, is amended to read:
52.4 		Subdivision 1.Use of data. (a) Except as provided by this section, data gathered from 
52.5 	any person under the administration of the Minnesota Unemployment Insurance Law are 
52.6 	private data on individuals or nonpublic data not on individuals as defined in section 13.02, 
52.7 	subdivisions 9 and 12, and may not be disclosed except according to a district court order 
52.8 	or section 13.05. A subpoena is not considered a district court order. These data may be 
52.9 	disseminated to and used by the following agencies without the consent of the subject of 
52.10 	the data:
52.11 	(1) state and federal agencies specifically authorized access to the data by state or federal 
52.12 	law;
52.13 	(2) any agency of any other state or any federal agency charged with the administration 
52.14 	of an unemployment insurance program;
52.15 	(3) any agency responsible for the maintenance of a system of public employment offices 
52.16 	for the purpose of assisting individuals in obtaining employment;
52.17 	(4) the public authority responsible for child support in Minnesota or any other state in 
52.18 	accordance with section 256.978;
52.19 	(5) human rights agencies within Minnesota that have enforcement powers;
52.20 	(6) the Department of Revenue to the extent necessary for its duties under Minnesota 
52.21 	laws;
52.22 	(7) public and private agencies responsible for administering publicly financed assistance 
52.23 	programs for the purpose of monitoring the eligibility of the program's recipients;
52.24 	(8) the Department of Labor and Industry and the Commerce Fraud Bureau in the 
52.25 	Department of Commerce for uses consistent with the administration of their duties under 
52.26 	Minnesota law;
52.27 	(9) the Department of Human Services and the Office of Inspector General and its agents 
52.28 	within the Department of Human Services, including county fraud investigators, for 
52.29 	investigations related to recipient or provider fraud and employees of providers when the 
52.30 	provider is suspected of committing public assistance fraud;
52.31 	(10) local and state welfare agencies for monitoring the eligibility of the data subject 
52.32 	for assistance programs, or for any employment or training program administered by those 
53.1 	agencies, whether alone, in combination with another welfare agency, or in conjunction 
53.2 	with the department or to monitor and evaluate the statewide Minnesota family investment 
53.3 	program by providing data on recipients and former recipients of Supplemental Nutrition 
53.4 	Assistance Program (SNAP) benefits, cash assistance under chapter 256, 256D, 256J, or 
53.5 	256K, child care assistance under chapter 119B, or medical programs under chapter 256B 
53.6 	or 256L or formerly codified under chapter 256D;
53.7 	(11) local and state welfare agencies for the purpose of identifying employment, wages, 
53.8 	and other information to assist in the collection of an overpayment debt in an assistance 
53.9 	program;
53.10 	(12) local, state, and federal law enforcement agencies for the purpose of ascertaining 
53.11 	the last known address and employment location of an individual who is the subject of a 
53.12 	criminal investigation;
53.13 	(13) the United States Immigration and Customs Enforcement has access to data on 
53.14 	specific individuals and specific employers provided the specific individual or specific 
53.15 	employer is the subject of an investigation by that agency;
53.16 	(14) the Department of Health for the purposes of epidemiologic investigations;
53.17 	(15) the Department of Corrections for the purposes of case planning and internal research 
53.18 	for preprobation, probation, and postprobation employment tracking of offenders sentenced 
53.19 	to probation and preconfinement and postconfinement employment tracking of committed 
53.20 	offenders;
53.21 	(16) the state auditor to the extent necessary to conduct audits of job opportunity building 
53.22 	zones as required under section 469.3201; and
53.23 	(17) the Office of Higher Education for purposes of supporting program improvement, 
53.24 	system evaluation, and research initiatives including the Statewide Longitudinal Education 
53.25 	Data System.; and
53.26 	(18) the Family and Medical Benefits Division of the Department of Employment and 
53.27 	Economic Development to be used as necessary to administer chapter 268B.
53.28 	(b) Data on individuals and employers that are collected, maintained, or used by the 
53.29 	department in an investigation under section 268.182 are confidential as to data on individuals 
53.30 	and protected nonpublic data not on individuals as defined in section 13.02, subdivisions 3 
53.31 	and 13, and must not be disclosed except under statute or district court order or to a party 
53.32 	named in a criminal proceeding, administrative or judicial, for preparation of a defense.
54.1 	(c) Data gathered by the department in the administration of the Minnesota unemployment 
54.2 	insurance program must not be made the subject or the basis for any suit in any civil 
54.3 	proceedings, administrative or judicial, unless the action is initiated by the department.

54.4 	Sec. 5. [268B.01] DEFINITIONS.
54.5 		Subdivision 1.Scope. For the purposes of this chapter, the terms defined in this section 
54.6 	have the meanings given.
54.7 		Subd. 2.Applicant. "Applicant" means an individual applying for leave with benefits 
54.8 	under this chapter.
54.9 		Subd. 3.Applicant's average weekly wage. "Applicant's average weekly wage" means 
54.10 	an amount equal to the applicant's high quarter wage credits divided by 13.
54.11 		Subd. 4.Base period. (a) "Base period," unless otherwise provided in this subdivision, 
54.12 	means the most recent four completed calendar quarters before the effective date of an 
54.13 	applicant's application for family or medical leave benefits if the application has an effective 
54.14 	date occurring after the month following the most recent completed calendar quarter. The 
54.15 	base period under this paragraph is as follows:

54.16
54.17
54.18	If the application for family or medical leave 
benefits is effective on or between these 
dates:
	The base period is the prior:
	
54.19	February 1 to March 31
	January 1 to December 31
	
54.20	May 1 to June 30
	April 1 to March 31
	
54.21	August 1 to September 30
	July 1 to June 30
	
54.22	November 1 to December 31
	October 1 to September 30
	
54.23 	(b) If an application for family or medical leave benefits has an effective date that is 
54.24 	during the month following the most recent completed calendar quarter, then the base period 
54.25 	is the first four of the most recent five completed calendar quarters before the effective date 
54.26 	of an applicant's application for family or medical leave benefits. The base period under 
54.27 	this paragraph is as follows:

54.28
54.29
54.30	If the application for family or medical leave 
benefits is effective on or between these 
dates:
	The base period is the prior:
	
54.31	January 1 to January 31
	October 1 to September 30
	
54.32	April 1 to April 30
	January 1 to December 31
	
54.33	July 1 to July 31
	April 1 to March 31
	
54.34	October 1 to October 31
	July 1 to June 30
	
55.1 	(c) Regardless of paragraph (a), a base period of the first four of the most recent five 
55.2 	completed calendar quarters must be used if the applicant would have more wage credits 
55.3 	under that base period than under a base period of the four most recent completed calendar 
55.4 	quarters.
55.5 	(d) If the applicant has insufficient wage credits to establish a benefit account under a 
55.6 	base period of the four most recent completed calendar quarters, or a base period of the first 
55.7 	four of the most recent five completed calendar quarters, but during either base period the 
55.8 	applicant received workers' compensation for temporary disability under chapter 176 or a 
55.9 	similar federal law or similar law of another state, or if the applicant whose own serious 
55.10 	illness caused a loss of work for which the applicant received compensation for loss of 
55.11 	wages from some other source, the applicant may request a base period as follows:
55.12 	(1) if an applicant was compensated for a loss of work of seven to 13 weeks during a 
55.13 	base period referred to in paragraph (a) or (b), then the base period is the first four of the 
55.14 	most recent six completed calendar quarters before the effective date of the application for 
55.15 	family or medical leave benefits;
55.16 	(2) if an applicant was compensated for a loss of work of 14 to 26 weeks during a base 
55.17 	period referred to in paragraph (a) or (b), then the base period is the first four of the most 
55.18 	recent seven completed calendar quarters before the effective date of the application for 
55.19 	family or medical leave benefits;
55.20 	(3) if an applicant was compensated for a loss of work of 27 to 39 weeks during a base 
55.21 	period referred to in paragraph (a) or (b), then the base period is the first four of the most 
55.22 	recent eight completed calendar quarters before the effective date of the application for 
55.23 	family or medical leave benefits; and
55.24 	(4) if an applicant was compensated for a loss of work of 40 to 52 weeks during a base 
55.25 	period referred to in paragraph (a) or (b), then the base period is the first four of the most 
55.26 	recent nine completed calendar quarters before the effective date of the application for 
55.27 	family or medical leave benefits.
55.28 		Subd. 5.Benefit. "Benefit" or "benefits" means monetary payments under this chapter 
55.29 	associated with qualifying bonding, family care, pregnancy, serious health condition, 
55.30 	qualifying exigency, or safety leave events, unless otherwise indicated by context.
55.31 		Subd. 6.Benefit account. "Benefit account" means a benefit account established under 
55.32 	section 268B.04.
56.1 		Subd. 7.Benefit year. "Benefit year" means the period of 52 calendar weeks beginning 
56.2 	the date a benefit account under section 268B.04 is effective. For a benefit account established 
56.3 	effective any January 1, April 1, July 1, or October 1, the benefit year will be a period of 
56.4 	53 calendar weeks.
56.5 		Subd. 8.Bonding. "Bonding" means time spent by an applicant who is a biological, 
56.6 	adoptive, or foster parent with a biological, adopted, or foster child in conjunction with the 
56.7 	child's birth, adoption, or placement.
56.8 		Subd. 9.Calendar day. "Calendar day" or "day" means a fixed 24-hour period 
56.9 	corresponding to a single calendar date.
56.10 		Subd. 10.Calendar quarter. "Calendar quarter" means the period of three consecutive 
56.11 	calendar months ending on March 31, June 30, September 30, or December 31.
56.12 		Subd. 11.Calendar week. "Calendar week" has the same meaning as "week" under 
56.13 	subdivision 46.
56.14 		Subd. 12.Commissioner. "Commissioner" means the commissioner of employment 
56.15 	and economic development, unless otherwise indicated by context.
56.16 		Subd. 13.Covered employment. (a) "Covered employment" means performing services 
56.17 	of whatever nature, unlimited by the relationship of master and servant as known to the 
56.18 	common law, or any other legal relationship performed for wages or under any contract 
56.19 	calling for the performance of services, written or oral, express or implied.
56.20 	(b) "Employment" includes an individual's entire service performed within or without 
56.21 	or both within and without this state, if:
56.22 	(1) the service is localized in this state; or
56.23 	(2) the service is not localized in any state, but some of the service is performed in this 
56.24 	state and:
56.25 	(i) the base of operations of the employee is in the state, or if there is no base of 
56.26 	operations, then the place from which such service is directed or controlled is in this state; 
56.27 	or
56.28 	(ii) the base of operations or place from which such service is directed or controlled is 
56.29 	not in any state in which some part of the service is performed, but the individual's residence 
56.30 	is in this state.
56.31 	(c) "Covered employment" does not include:
56.32 	(1) a self-employed individual; or
57.1 	(2) an independent contractor.
57.2 		Subd. 14.Department. "Department" means the Department of Employment and 
57.3 	Economic Development, unless otherwise indicated by context.
57.4 		Subd. 15.Employee. (a) "Employee" means an individual who is in the employment of 
57.5 	an employer.
57.6 	(b) Employee does not include employees of the United States of America.
57.7 		Subd. 16.Employer. (a) "Employer" means:
57.8 	(1) any person, type of organization, or entity, including any partnership, association, 
57.9 	trust, estate, joint stock company, insurance company, limited liability company, or 
57.10 	corporation, whether domestic or foreign, or the receiver, trustee in bankruptcy, trustee, or 
57.11 	the legal representative of a deceased person, having any individual in covered employment;
57.12 	(2) the state, statewide system, and state agencies; and
57.13 	(3) any local government entity, including but not limited to a county, city, town, school 
57.14 	district, municipal corporation, quasimunicipal corporation, or other political subdivision. 
57.15 	An employer also includes charter schools.
57.16 	(b) Employer does not include:
57.17 	(1) the United States of America; or
57.18 	(2) a self-employed individual who has elected and been approved for coverage under 
57.19 	section 268B.11 with regard to the self-employed individual's own coverage and benefits.
57.20 		Subd. 17.Estimated self-employment income. "Estimated self-employment income" 
57.21 	means a self-employed individual's average net earnings from self-employment in the two 
57.22 	most recent taxable years. For a self-employed individual who had net earnings from 
57.23 	self-employment in only one of the years, the individual's estimated self-employment income 
57.24 	equals the individual's net earnings from self-employment in the year in which the individual 
57.25 	had net earnings from self-employment.
57.26 		Subd. 18.Family and medical benefit insurance account. "Family and medical benefit 
57.27 	insurance account" means the family and medical benefit insurance account in the special 
57.28 	revenue fund in the state treasury under section 268B.02.
57.29 		Subd. 19.Family and medical benefit insurance enforcement account. "Family and 
57.30 	medical benefit insurance enforcement account" means the family and medical benefit 
57.31 	insurance enforcement account in the state treasury under section 268B.185.
58.1 		Subd. 20.Family benefit program. "Family benefit program" means the program 
58.2 	administered under this chapter for the collection of premiums and payment of benefits 
58.3 	related to family care, bonding, safety leave, and leave related to a qualifying exigency.
58.4 		Subd. 21.Family care. "Family care" means an applicant caring for a family member 
58.5 	with a serious health condition or caring for a family member who is a covered service 
58.6 	member.
58.7 		Subd. 22.Family member. (a) "Family member" means, with respect to an employee:
58.8 	(1) a spouse, including a domestic partner in a civil union or other registered domestic 
58.9 	partnership recognized by the state, and a spouse's parent;
58.10 	(2) a child and a child's spouse;
58.11 	(3) a parent and a parent's spouse;
58.12 	(4) a sibling and a sibling's spouse;
58.13 	(5) a grandparent, a grandchild, or a spouse of a grandparent or grandchild; and
58.14 	(6) any other individual who is related by blood or affinity and whose association with 
58.15 	the employee is equivalent of a family relationship. For the purposes of this clause, with 
58.16 	respect to an employee, this includes but is not limited to:
58.17 	(i) a child of a sibling of the employee;
58.18 	(ii) a sibling of the parents of the employee;
58.19 	(iii) a child-in-law, a parent-in-law, a sibling-in-law, and a grandparent-in-law; and
58.20 	(iv) an individual who has resided at the same address as the employee for at least one 
58.21 	year as of the first day of leave under this chapter.
58.22 	(b) For the purposes of this chapter, a child includes a stepchild; biological, adopted, or 
58.23 	foster child of the employee; or a child for whom the employee is standing in loco parentis.
58.24 	(c) For the purposes of this chapter, a grandchild includes a step-grandchild or biological, 
58.25 	adopted, or foster grandchild of the employee.
58.26 		Subd. 23.Health care provider. "Health care provider" means:
58.27 	(1) an individual who is licensed, certified, or otherwise authorized under law to practice 
58.28 	in the individual's scope of practice as a physician, osteopath, surgeon, or advanced practice 
58.29 	registered nurse; or
59.1 	(2) any other individual determined by the commissioner by rule, in accordance with 
59.2 	the rulemaking procedures in the Administrative Procedure Act, to be capable of providing 
59.3 	health care services.
59.4 		Subd. 24.High quarter. "High quarter" means the calendar quarter in an applicant's 
59.5 	base period with the highest amount of wage credits.
59.6 		Subd. 25.Incapacity. "Incapacity" means inability to perform regular work, attend 
59.7 	school, or fully perform other regular daily activities due to a serious health condition, 
59.8 	treatment therefore, or recovery therefrom.
59.9 		Subd. 26.Independent contractor. (a) If there is an existing specific test or definition 
59.10 	for independent contractor in Minnesota statute or rule applicable to an occupation or sector 
59.11 	as of the date of enactment of this chapter, that test or definition shall apply to that occupation 
59.12 	or sector for purposes of this chapter. If there is not an existing test or definition as described, 
59.13 	the definition for independent contractor shall be as provided in this subdivision.
59.14 	(b) An individual is an independent contractor and not an employee of the person for 
59.15 	whom the individual is performing services in the course of the person's trade, business, 
59.16 	profession, or occupation only if:
59.17 	(1) the individual maintains a separate business with the individual's own office, 
59.18 	equipment, materials, and other facilities;
59.19 	(2) the individual:
59.20 	(i) holds or has applied for a federal employer identification number; or
59.21 	(ii) has filed business or self-employment income tax returns with the federal Internal 
59.22 	Revenue Service if the individual has performed services in the previous year;
59.23 	(3) the individual is operating under contract to perform the specific services for the 
59.24 	person for specific amounts of money and under which the individual controls the means 
59.25 	of performing the services;
59.26 	(4) the individual is incurring the main expenses related to the services that the individual 
59.27 	is performing for the person under the contract;
59.28 	(5) the individual is responsible for the satisfactory completion of the services that the 
59.29 	individual has contracted to perform for the person and is liable for a failure to complete 
59.30 	the services;
60.1 	(6) the individual receives compensation from the person for the services performed 
60.2 	under the contract on a commission or per-job or competitive bid basis and not on any other 
60.3 	basis;
60.4 	(7) the individual may realize a profit or suffer a loss under the contract to perform 
60.5 	services for the person;
60.6 	(8) the individual has continuing or recurring business liabilities or obligations; and
60.7 	(9) the success or failure of the individual's business depends on the relationship of 
60.8 	business receipts to expenditures.
60.9 	(c) For the purposes of this chapter, an insurance producer, as defined in section 60K.31, 
60.10 	subdivision 6, is an independent contractor of an insurance company, as defined in section 
60.11 	60A.02, subdivision 4, unless the insurance producer and insurance company agree otherwise.
60.12 		Subd. 27.Inpatient care. "Inpatient care" means an overnight stay in a hospital, hospice, 
60.13 	or residential medical care facility, including any period of incapacity, or any subsequent 
60.14 	treatment in connection with such inpatient care.
60.15 		Subd. 28.Maximum weekly benefit amount. "Maximum weekly benefit amount" 
60.16 	means the state's average weekly wage as calculated under section 268.035, subdivision 23.
60.17 		Subd. 29.Medical benefit program. "Medical benefit program" means the program 
60.18 	administered under this chapter for the collection of premiums and payment of benefits 
60.19 	related to an applicant's serious health condition or pregnancy.
60.20 		Subd. 30.Net earnings from self-employment. "Net earnings from self-employment" 
60.21 	has the meaning given in section 1402 of the Internal Revenue Code, as defined in section 
60.22 	290.01, subdivision 31.
60.23 		Subd. 31.Pregnancy. "Pregnancy" means prenatal care or incapacity due to pregnancy 
60.24 	or recovery from childbirth, still birth, miscarriage, or related health conditions.
60.25 		Subd. 32.Qualifying exigency. (a) "Qualifying exigency" means a need arising out of 
60.26 	a military member's active duty service or notice of an impending call or order to active 
60.27 	duty in the United States armed forces, including providing for the care or other needs of 
60.28 	the family member's child or other dependent, making financial or legal arrangements for 
60.29 	the family member, attending counseling, attending military events or ceremonies, spending 
60.30 	time with the family member during a rest and recuperation leave or following return from 
60.31 	deployment, or making arrangements following the death of the military member.
61.1 	(b) For the purposes of this chapter, a "military member" means a current or former 
61.2 	member of the United States armed forces, including a member of the National Guard or 
61.3 	reserves, who, except for a deceased military member, is a resident of the state and is a 
61.4 	family member of the employee taking leave related to the qualifying exigency.
61.5 		Subd. 33.Safety leave. "Safety leave" means leave from work because of domestic 
61.6 	abuse, sexual assault, or stalking of the employee or employee's family member, provided 
61.7 	the leave is to:
61.8 	(1) seek medical attention related to the physical or psychological injury or disability 
61.9 	caused by domestic abuse, sexual assault, or stalking;
61.10 	(2) obtain services from a victim services organization;
61.11 	(3) obtain psychological or other counseling;
61.12 	(4) seek relocation due to the domestic abuse, sexual assault, or stalking; or
61.13 	(5) seek legal advice or take legal action, including preparing for or participating in any 
61.14 	civil or criminal legal proceeding related to, or resulting from, the domestic abuse, sexual 
61.15 	assault, or stalking.
61.16 		Subd. 34.Self-employed individual. "Self-employed individual" means a resident of 
61.17 	the state who, in one of the two taxable years preceding the current calendar year, derived 
61.18 	at least $10,000 in net earnings from self-employment from an entity other than an S 
61.19 	corporation for the performance of services in this state.
61.20 		Subd. 35.Self-employment premium base. "Self-employment premium base" means 
61.21 	the lesser of:
61.22 	(1) a self-employed individual's estimated self-employment income for the calendar year 
61.23 	plus the individual's self-employment wages in the calendar year; or
61.24 	(2) the maximum earnings subject to the FICA Old-Age, Survivors, and Disability 
61.25 	Insurance tax in the taxable year.
61.26 		Subd. 36.Self-employment wages. "Self-employment wages" means the amount of 
61.27 	wages that a self-employed individual earned in the calendar year from an entity from which 
61.28 	the individual also received net earnings from self-employment.
61.29 		Subd. 37.Serious health condition. (a) "Serious health condition" means a physical or 
61.30 	mental illness, injury, impairment, condition, or substance use disorder that involves:
61.31 	(1) at-home care or inpatient care in a hospital, hospice, or residential medical care 
61.32 	facility, including any period of incapacity; or
62.1 	(2) continuing treatment or supervision by a health care provider which includes any 
62.2 	one or more of the following:
62.3 	(i) a period of incapacity of more than three consecutive, full calendar days, and any 
62.4 	subsequent treatment or period of incapacity relating to the same condition, that also involves:
62.5 	(A) treatment two or more times by a health care provider or by a provider of health 
62.6 	care services under orders of, or on referral by, a health care provider; or
62.7 	(B) treatment by a health care provider on at least one occasion that results in a regimen 
62.8 	of continuing treatment under the supervision of the health care provider;
62.9 	(ii) a period of incapacity due to pregnancy, or for prenatal care;
62.10 	(iii) a period of incapacity or treatment for a chronic health condition that:
62.11 	(A) requires periodic visits, defined as at least twice a year, for treatment by a health 
62.12 	care provider or under orders of, or on referral by, a health care provider;
62.13 	(B) continues over an extended period of time, including recurring episodes of a single 
62.14 	underlying condition; and
62.15 	(C) may cause episodic rather than continuing periods of incapacity;
62.16 	(iv) a period of incapacity which is permanent or long term due to a condition for which 
62.17 	treatment may not be effective. The employee or family member must be under the continuing 
62.18 	supervision of, but need not be receiving active treatment by, a health care provider; or
62.19 	(v) a period of absence to receive multiple treatments, including any period of recovery 
62.20 	from the treatments, by a health care provider or by a provider of health care services under 
62.21 	orders of, or on referral by, a health care provider, for:
62.22 	(A) restorative surgery after an accident or other injury; or
62.23 	(B) a condition that would likely result in a period of incapacity of more than three 
62.24 	consecutive, full calendar days in the absence of medical intervention or treatment.
62.25 	(b) For the purposes of paragraph (a), clauses (1) and (2), treatment by a health care 
62.26 	provider means an in-person visit or telemedicine visit with a health care provider, or by a 
62.27 	provider of health care services under orders of, or on referral by, a health care provider.
62.28 	(c) For the purposes of paragraph (a), treatment includes but is not limited to examinations 
62.29 	to determine if a serious health condition exists and evaluations of the condition.
62.30 	(d) Absences attributable to incapacity under paragraph (a), clause (2), item (ii) or (iii), 
62.31 	qualify for leave under this chapter even if the employee or the family member does not 
63.1 	receive treatment from a health care provider during the absence, and even if the absence 
63.2 	does not last more than three consecutive, full calendar days.
63.3 		Subd. 38.State's average weekly wage. "State's average weekly wage" means the 
63.4 	weekly wage calculated under section 268.035, subdivision 23.
63.5 		Subd. 39.Supplemental benefit payment. (a) "Supplemental benefit payment" means:
63.6 	(1) a payment made by an employer to an employee as salary continuation or as paid 
63.7 	time off. Such a payment must be in addition to any family or medical leave benefits the 
63.8 	employee is receiving under this chapter; and
63.9 	(2) a payment offered by an employer to an employee who is taking leave under this 
63.10 	chapter to supplement the family or medical leave benefits the employee is receiving.
63.11 	(b) Employers may, but are not required to, designate certain benefits including but not 
63.12 	limited to salary continuation, vacation leave, sick leave, or other paid time off as a 
63.13 	supplemental benefit payment.
63.14 	(c) Nothing in this chapter requires an employee to receive supplemental benefit 
63.15 	payments.
63.16 		Subd. 40.Taxable year. "Taxable year" has the meaning given in section 290.01, 
63.17 	subdivision 9.
63.18 		Subd. 41.Taxable wages. "Taxable wages" means those wages paid to an employee in 
63.19 	covered employment each calendar year up to an amount equal to the maximum wages 
63.20 	subject to premium in a calendar year, which is equal to the maximum earnings in that year 
63.21 	subject to the FICA Old-Age, Survivors, and Disability Insurance tax rounded to the nearest 
63.22 	$1,000.
63.23 		Subd. 42.Typical workweek hours. "Typical workweek hours" means:
63.24 	(1) for an hourly employee, the average number of hours worked per week by an 
63.25 	employee within the high quarter during the base year; or
63.26 	(2) 40 hours for a salaried employee, regardless of the number of hours the salaried 
63.27 	employee typically works.
63.28 		Subd. 43.Wage credits. "Wage credits" means the amount of wages paid within an 
63.29 	applicant's base period for covered employment, as defined in subdivision 13.
63.30 		Subd. 44.Wage detail report. "Wage detail report" means the report on each employee 
63.31 	in covered employment required from an employer on a calendar quarter basis under section 
63.32 	268B.12.
64.1 		Subd. 45.Wages. (a) "Wages" means all compensation for employment, including 
64.2 	commissions; bonuses, awards, and prizes; severance payments; standby pay; vacation and 
64.3 	holiday pay; back pay as of the date of payment; tips and gratuities paid to an employee by 
64.4 	a customer of an employer and accounted for by the employee to the employer; sickness 
64.5 	and accident disability payments, except as otherwise provided in this subdivision; and the 
64.6 	cash value of housing, utilities, meals, exchanges of services, and any other goods and 
64.7 	services provided to compensate an employee, except:
64.8 	(1) the amount of any payment made to, or on behalf of, an employee under a plan 
64.9 	established by an employer that makes provision for employees generally or for a class or 
64.10 	classes of employees, including any amount paid by an employer for insurance or annuities, 
64.11 	or into a plan, to provide for a payment, on account of (i) retirement, (ii) medical and 
64.12 	hospitalization expenses in connection with sickness or accident disability, or (iii) death;
64.13 	(2) the payment by an employer of the tax imposed upon an employee under United 
64.14 	States Code, title 26, section 3101 of the Federal Insurance Contribution Act, with respect 
64.15 	to compensation paid to an employee for domestic employment in a private household of 
64.16 	the employer or for agricultural employment;
64.17 	(3) any payment made to, or on behalf of, an employee or beneficiary (i) from or to a 
64.18 	trust described in United States Code, title 26, section 401(a) of the federal Internal Revenue 
64.19 	Code, that is exempt from tax under section 501(a) at the time of the payment unless the 
64.20 	payment is made to an employee of the trust as compensation for services as an employee 
64.21 	and not as a beneficiary of the trust, or (ii) under or to an annuity plan that, at the time of 
64.22 	the payment, is a plan described in section 403(a);
64.23 	(4) the value of any special discount or markdown allowed to an employee on goods 
64.24 	purchased from or services supplied by the employer where the purchases are optional and 
64.25 	do not constitute regular or systematic payment for services;
64.26 	(5) customary and reasonable directors' fees paid to individuals who are not otherwise 
64.27 	employed by the corporation of which they are directors;
64.28 	(6) the payment to employees for reimbursement of meal expenses when employees are 
64.29 	required to perform work after their regular hours;
64.30 	(7) the payment into a trust or plan for purposes of providing legal or dental services if 
64.31 	provided for all employees generally or for a class or classes of employees;
64.32 	(8) the value of parking facilities provided or paid for by an employer, in whole or in 
64.33 	part, if provided for all employees generally or for a class or classes of employees;
65.1 	(9) royalties to an owner of a franchise, license, copyright, patent, oil, mineral, or other 
65.2 	right;
65.3 	(10) advances or reimbursements for traveling or other ordinary and necessary expenses 
65.4 	incurred or reasonably expected to be incurred in the business of the employer. Traveling 
65.5 	and other reimbursed expenses must be identified either by making separate payments or 
65.6 	by specifically indicating the separate amounts where both wages and expense allowances 
65.7 	are combined in a single payment;
65.8 	(11) residual payments to radio, television, and similar artists that accrue after the 
65.9 	production of television commercials, musical jingles, spot announcements, radio 
65.10 	transcriptions, film soundtracks, and similar activities;
65.11 	(12) the income to a former employee resulting from the exercise of a nonqualified stock 
65.12 	option;
65.13 	(13) supplemental unemployment benefit payments under a plan established by an 
65.14 	employer, if the payment is not wages under the Federal Unemployment Tax Act. The 
65.15 	payments are wages unless made solely for the supplementing of weekly state or federal 
65.16 	unemployment benefits. Supplemental unemployment benefit payments may not be assigned, 
65.17 	nor may any consideration be required from the applicant, other than a release of claims in 
65.18 	order to be excluded from wages;
65.19 	(14) sickness or accident disability payments made by the employer after the expiration 
65.20 	of six calendar months following the last calendar month that the individual worked for the 
65.21 	employer;
65.22 	(15) disability payments made under the provisions of any workers' compensation law;
65.23 	(16) sickness or accident disability payments made by a third-party payer such as an 
65.24 	insurance company; or
65.25 	(17) payments made into a trust fund, or for the purchase of insurance or an annuity, to 
65.26 	provide for sickness or accident disability payments to employees under a plan or system 
65.27 	established by the employer that provides for the employer's employees generally or for a 
65.28 	class or classes of employees.
65.29 	(b) Nothing in this subdivision excludes from the term "wages" any payment made under 
65.30 	any type of salary reduction agreement, including payments made under a cash or deferred 
65.31 	arrangement and cafeteria plan, as defined in United States Code, title 26, sections 401(k) 
65.32 	and 125 of the federal Internal Revenue Code, to the extent that the employee has the option 
65.33 	to receive the payment in cash.
66.1 	(c) Wages includes the total payment to the operator and supplier of a vehicle or other 
66.2 	equipment where the payment combines compensation for personal services as well as 
66.3 	compensation for the cost of operating and hiring the equipment in a single payment. This 
66.4 	paragraph does not apply if:
66.5 	(1) there is a preexisting written agreement providing for allocation of specific amounts; 
66.6 	or
66.7 	(2) at the time of each payment there is a written acknowledgment indicating the separate 
66.8 	allocated amounts.
66.9 	(d) Wages includes payments made for services as a caretaker. Unless there is a contract 
66.10 	or other proof to the contrary, compensation is considered as being equally received by a 
66.11 	married couple where the employer makes payment to only one spouse, or by all tenants of 
66.12 	a household who perform services where two or more individuals share the same dwelling 
66.13 	and the employer makes payment to only one individual.
66.14 	(e) Wages includes payments made for services by a migrant family. Where services 
66.15 	are performed by a married couple or a family and an employer makes payment to only one 
66.16 	individual, each worker is considered as having received an equal share of the compensation 
66.17 	unless there is a contract or other proof to the contrary.
66.18 	(f) Wages includes advances or draws against future earnings, when paid, unless the 
66.19 	payments are designated as a loan or return of capital on the books and records of the 
66.20 	employer at the time of payment.
66.21 	(g) Wages includes payments made by a subchapter "S" corporation, as organized under 
66.22 	the Internal Revenue Code, to or on behalf of officers and shareholders that are reasonable 
66.23 	compensation for services performed for the corporation.
66.24 	For a subchapter "S" corporation, wages does not include:
66.25 	(1) a loan for business purposes to an officer or shareholder evidenced by a promissory 
66.26 	note signed by an officer before the payment of the loan proceeds and recorded on the books 
66.27 	and records of the corporation as a loan to an officer or shareholder;
66.28 	(2) a repayment of a loan or payment of interest on a loan made by an officer to the 
66.29 	corporation and recorded on the books and records of the corporation as a liability;
66.30 	(3) a reimbursement of reasonable corporation expenses incurred by an officer and 
66.31 	documented by a written expense voucher and recorded on the books and records of the 
66.32 	corporation as corporate expenses; and
67.1 	(4) a reasonable lease or rental payment to an officer who owns property that is leased 
67.2 	or rented to the corporation.
67.3 		Subd. 46.Wages paid. (a) "Wages paid" means the amount of wages:
67.4 	(1) that have been actually paid; or
67.5 	(2) that have been credited to or set apart so that payment and disposition is under the 
67.6 	control of the employee.
67.7 	(b) Wage payments delayed beyond the regularly scheduled pay date are wages paid on 
67.8 	the missed pay date. Back pay is wages paid on the date of actual payment. Any wages 
67.9 	earned but not paid with no scheduled date of payment are wages paid on the last day of 
67.10 	employment.
67.11 	(c) Wages paid does not include wages earned but not paid except as provided for in 
67.12 	this subdivision.
67.13 		Subd. 47.Week. "Week" means calendar week ending at midnight Saturday.
67.14 		Subd. 48.Weekly benefit amount. "Weekly benefit amount" means the amount of 
67.15 	family and medical leave benefits computed under section 268B.04.

67.16 	Sec. 6. [268B.02] FAMILY AND MEDICAL BENEFIT INSURANCE PROGRAM 
67.17 	CREATION.
67.18 		Subdivision 1.Creation. A family and medical benefit insurance program is created to 
67.19 	be administered by the commissioner according to the terms of this chapter.
67.20 		Subd. 2.Creation of division. A Family and Medical Benefit Insurance Division is 
67.21 	created within the department under the authority of the commissioner. The commissioner 
67.22 	shall appoint a director of the division. The division shall administer and operate the benefit 
67.23 	program under this chapter.
67.24 		Subd. 3.Rulemaking. The commissioner shall adopt rules to implement the provisions 
67.25 	of this chapter.
67.26 		Subd. 4.Account creation; appropriation. The family and medical benefit insurance 
67.27 	account is created in the special revenue fund in the state treasury. Money in this account 
67.28 	is appropriated to the commissioner to pay benefits under and to administer this chapter, 
67.29 	including outreach required under section 268B.18.
67.30 		Subd. 5.Information technology services and equipment. The department is exempt 
67.31 	from the provisions of section 16E.016 for the purposes of this chapter.

68.1 	Sec. 7. [268B.03] PAYMENT OF BENEFITS.
68.2 		Subdivision 1.Requirements. The commissioner must pay benefits from the family 
68.3 	and medical benefit insurance account as provided under this chapter to an applicant who 
68.4 	has met each of the following requirements:
68.5 	(1) the applicant has filed an application for benefits and established a benefit account 
68.6 	in accordance with section 268B.04;
68.7 	(2) the applicant has met all of the ongoing eligibility requirements under section 
68.8 	268B.06;
68.9 	(3) the applicant does not have an outstanding overpayment of family or medical leave 
68.10 	benefits, including any penalties or interest;
68.11 	(4) the applicant has not been held ineligible for benefits under section 268.07, subdivision 
68.12 	2; and
68.13 	(5) the applicant is not employed exclusively by a private plan employer and has wage 
68.14 	credits during the base year attributable to employers covered under the state family and 
68.15 	medical leave program.
68.16 		Subd. 2.Benefits paid from state funds. Benefits are paid from state funds and are not 
68.17 	considered paid from any special insurance plan, nor as paid by an employer. An application 
68.18 	for family or medical leave benefits is not considered a claim against an employer but is 
68.19 	considered a request for benefits from the family and medical benefit insurance account. 
68.20 	The commissioner has the responsibility for the proper payment of benefits regardless of 
68.21 	the level of interest or participation by an applicant or an employer in any determination or 
68.22 	appeal. An applicant's entitlement to benefits must be determined based upon that information 
68.23 	available without regard to a burden of proof. Any agreement between an applicant and an 
68.24 	employer is not binding on the commissioner in determining an applicant's entitlement. 
68.25 	There is no presumption of entitlement or nonentitlement to benefits.

68.26 	Sec. 8. [268B.04] BENEFIT ACCOUNT; BENEFITS.
68.27 		Subdivision 1.Application for benefits; determination of benefit account. (a) An 
68.28 	application for benefits may be filed in person, by mail, or by electronic transmission as the 
68.29 	commissioner may require. The applicant must include certification supporting a request 
68.30 	for leave under this chapter. The applicant must meet eligibility requirements at the time 
68.31 	the application is filed and must provide all requested information in the manner required. 
68.32 	If the applicant does not meet eligibility at the time of the application or fails to provide all 
69.1 	requested information, the communication is not an application for family and medical leave 
69.2 	benefits.
69.3 	(b) The commissioner must examine each application for benefits to determine the base 
69.4 	period and the benefit year, and based upon all the covered employment in the base period 
69.5 	the commissioner must determine the weekly benefit amount available, if any, and the 
69.6 	maximum amount of benefits available, if any. The determination, which is a document 
69.7 	separate and distinct from a document titled a determination of eligibility or determination 
69.8 	of ineligibility, must be titled determination of benefit account. A determination of benefit 
69.9 	account must be sent to the applicant and all base period employers, by mail or electronic 
69.10 	transmission.
69.11 	(c) If a base period employer did not provide wage detail information for the applicant 
69.12 	as required under section 268B.12, the commissioner may accept an applicant certification 
69.13 	of wage credits, based upon the applicant's records, and issue a determination of benefit 
69.14 	account.
69.15 	(d) The commissioner may, at any time within 24 months from the establishment of a 
69.16 	benefit account, reconsider any determination of benefit account and make an amended 
69.17 	determination if the commissioner finds that the wage credits listed in the determination 
69.18 	were incorrect for any reason. An amended determination of benefit account must be 
69.19 	promptly sent to the applicant and all base period employers, by mail or electronic 
69.20 	transmission. This paragraph does not apply to documents titled determinations of eligibility 
69.21 	or determinations of ineligibility issued.
69.22 	(e) If an amended determination of benefit account reduces the weekly benefit amount 
69.23 	or maximum amount of benefits available, any benefits that have been paid greater than the 
69.24 	applicant was entitled is an overpayment of benefits. A determination or amended 
69.25 	determination issued under this section that results in an overpayment of benefits must set 
69.26 	out the amount of the overpayment and the requirement that the overpaid benefits must be 
69.27 	repaid according to section 268B.185.
69.28 		Subd. 2.Benefit account requirements. (a) Unless paragraph (b) applies, to establish 
69.29 	a benefit account, an applicant must have wage credits of at least 5.3 percent of the state's 
69.30 	average annual wage rounded down to the next lower $100.
69.31 	(b) To establish a new benefit account following the expiration of the benefit year on a 
69.32 	prior benefit account, an applicant must have performed actual work in subsequent covered 
69.33 	employment and have been paid wages in one or more completed calendar quarters that 
69.34 	started after the effective date of the prior benefit account. The wages paid for that 
70.1 	employment must be at least enough to meet the requirements of paragraph (a). A benefit 
70.2 	account under this paragraph must not be established effective earlier than the Sunday 
70.3 	following the end of the most recent completed calendar quarter in which the requirements 
70.4 	of paragraph (a) were met. An applicant must not establish a second benefit account as a 
70.5 	result of one loss of employment.
70.6 		Subd. 3.Weekly benefit amount; maximum amount of benefits available; prorated 
70.7 	amount. (a) Subject to the maximum weekly benefit amount, an applicant's weekly benefit 
70.8 	is calculated by adding the amounts obtained by applying the following percentage to an 
70.9 	applicant's average typical workweek and weekly wage during the high quarter of the base 
70.10 	period:
70.11 	(1) 90 percent of wages that do not exceed 50 percent of the state's average weekly wage; 
70.12 	plus
70.13 	(2) 66 percent of wages that exceed 50 percent of the state's average weekly wage but 
70.14 	not 100 percent; plus
70.15 	(3) 55 percent of wages that exceed 100 percent of the state's average weekly wage.
70.16 	(b) The state's average weekly wage is the average wage as calculated under section 
70.17 	268.035, subdivision 23, at the time a benefit amount is first determined.
70.18 	(c) The maximum weekly benefit amount is the state's average weekly wage as calculated 
70.19 	under section 268.035, subdivision 23.
70.20 	(d) The state's maximum weekly benefit amount, computed in accordance with section 
70.21 	268.035, subdivision 23, applies to a benefit account established effective on or after the 
70.22 	last Sunday in October. Once established, an applicant's weekly benefit amount is not 
70.23 	affected by the last Sunday in October change in the state's maximum weekly benefit amount.
70.24 	(e) For an employee receiving family or medical leave, a weekly benefit amount is 
70.25 	prorated when:
70.26 	(1) the employee works hours for wages; or
70.27 	(2) the employee uses paid sick leave, paid vacation leave, or other paid time off that is 
70.28 	not considered a supplemental benefit payment as defined in section 268B.01, subdivision 
70.29 	37.
70.30 		Subd. 4.Timing of payment. Except as otherwise provided for in this chapter, benefits 
70.31 	must be paid weekly.
71.1 		Subd. 5.Maximum length of benefits. (a) Except as provided in paragraph (b), in a 
71.2 	single benefit year, an applicant may receive up to 12 weeks of benefits under this chapter 
71.3 	related to the applicant's serious health condition or pregnancy and up to 12 weeks of benefits 
71.4 	under this chapter for bonding, safety leave, or family care.
71.5 	(b) An applicant may receive up to 12 weeks of benefits in a single benefit year for leave 
71.6 	related to one or more qualifying exigencies.
71.7 		Subd. 6.Minimum period for which benefits payable. Except for a claim for benefits 
71.8 	for bonding leave, any claim for benefits must be based on a single qualifying event of at 
71.9 	least seven calendar days. Benefits may be paid for a minimum duration of eight consecutive 
71.10 	hours in a week. If an employee on leave claims eight hours at any point during a week, the 
71.11 	minimum duration is satisfied.
71.12 		Subd. 7.Right of appeal. (a) A determination or amended determination of benefit 
71.13 	account is final unless an appeal is filed by the applicant within 30 calendar days after the 
71.14 	sending of the determination or amended determination, or within 60 calendar days, if an 
71.15 	applicant establishes good cause for not appealing within 30 days. For the purposes of this 
71.16 	paragraph, "good cause" means a reason that would have prevented an applicant from acting 
71.17 	with due diligence in appealing within 30 days and includes any illness, disability, or 
71.18 	linguistic and literacy limitation of the applicant, along with other relevant factors. If an 
71.19 	applicant claims good cause for a late appeal, the applicant must be granted a hearing on 
71.20 	the issue of timeliness. This hearing can be held at the same time as a hearing on the merits 
71.21 	of the appeal. Proceedings on the appeal are conducted in accordance with section 268B.08.
71.22 	(b) Any applicant may appeal from a determination or amended determination of benefit 
71.23 	account on the issue of whether services performed constitute employment, whether the 
71.24 	employment is covered employment, and whether money paid constitutes wages.
71.25 		Subd. 8.Limitations on applications and benefit accounts. (a) An application for 
71.26 	family or medical leave benefits is effective the Sunday of the calendar week that the 
71.27 	application was filed. An application for benefits may be backdated one calendar week 
71.28 	before the Sunday of the week the application was actually filed if the applicant requests 
71.29 	the backdating within seven calendar days of the date the application is filed. An application 
71.30 	may be backdated only if the applicant was eligible for the benefit during the period of the 
71.31 	backdating. If an individual attempted to file an application for benefits, but was prevented 
71.32 	from filing an application by the department, the application is effective the Sunday of the 
71.33 	calendar week the individual first attempted to file an application.
72.1 	(b) A benefit account established under subdivision 2 is effective the date the application 
72.2 	for benefits was effective.
72.3 	(c) A benefit account, once established, may later be withdrawn if:
72.4 	(1) the applicant has not been paid any benefits on that benefit account; and
72.5 	(2) a new application for benefits is filed and a new benefit account is established at the 
72.6 	time of the withdrawal.
72.7 	A benefit account may be withdrawn after the expiration of the benefit year, and the 
72.8 	new work requirements of subdivision 2, paragraph (b), do not apply if the applicant was 
72.9 	not paid any benefits on the benefit account that is being withdrawn.
72.10 	A determination or amended determination of eligibility or ineligibility issued under 
72.11 	section 268B.07 that was sent before the withdrawal of the benefit account, remains in effect 
72.12 	and is not voided by the withdrawal of the benefit account.

72.13 	Sec. 9. [268B.05] CONTINUED REQUEST FOR BENEFITS.
72.14 	A continued request for family or medical leave benefits is a certification by an applicant, 
72.15 	done on a weekly basis, that the applicant is unable to perform usual work due to a qualifying 
72.16 	event and meets the ongoing eligibility requirements for benefits under section 268B.06. A 
72.17 	continued request must include information on possible issues of ineligibility.

72.18 	Sec. 10. [268B.06] ELIGIBILITY REQUIREMENTS; PAYMENTS THAT AFFECT 
72.19 	BENEFITS.
72.20 		Subdivision 1.Eligibility conditions. (a) An applicant may be eligible to receive family 
72.21 	or medical leave benefits for any week if:
72.22 	(1) the applicant has filed a continued request for benefits for that week under section 
72.23 	268B.05;
72.24 	(2) the week for which benefits are requested is in the applicant's benefit year;
72.25 	(3) the applicant was unable to perform regular work due to a serious health condition, 
72.26 	a qualifying exigency, safety leave, family care, bonding, pregnancy, or recovery from 
72.27 	pregnancy for the period required under subdivision 2;
72.28 	(4) the applicant has sufficient wage credits from an employer or employers as defined 
72.29 	in section 268B.01, subdivision 41, to establish a benefit account under section 268B.04; 
72.30 	and
73.1 	(5) an applicant requesting benefits under this chapter must fulfill certification 
73.2 	requirements under subdivision 3.
73.3 	(b) A self-employed individual or independent contractor who has elected and been 
73.4 	approved for coverage under section 268B.11 need not fulfill the requirement of paragraph 
73.5 	(a), clause (4).
73.6 		Subd. 2.Seven-day qualifying event. (a) The period for which an applicant is seeking 
73.7 	benefits must be or have been based on a single event of at least seven calendar days' duration 
73.8 	related to pregnancy, recovery from pregnancy, family care, a qualifying exigency, safety 
73.9 	leave, or the applicant's serious health condition. The days need not be consecutive.
73.10 	(b) Benefits related to bonding need not meet the seven-day qualifying event requirement.
73.11 	(c) The commissioner shall use the rulemaking authority under section 268B.02, 
73.12 	subdivision 3, to adopt rules regarding what serious health conditions and other events are 
73.13 	prospectively presumed to constitute seven-day qualifying events under this chapter.
73.14 		Subd. 3.Certification. (a) Certification for an applicant taking leave related to the 
73.15 	applicant's serious health condition shall be sufficient if the certification states the date on 
73.16 	which the serious health condition began, the probable duration of the condition, and the 
73.17 	appropriate medical facts within the knowledge of the health care provider as required by 
73.18 	the commissioner.
73.19 	(b) Certification for an applicant taking leave to care for a family member with a serious 
73.20 	health condition shall be sufficient if the certification states the date on which the serious 
73.21 	health condition commenced, the probable duration of the condition, the appropriate medical 
73.22 	facts within the knowledge of the health care provider as required by the commissioner, a 
73.23 	statement that the family member requires care, and an estimate of the amount of time that 
73.24 	the family member will require care.
73.25 	(c) Certification for an applicant taking leave related to pregnancy shall be sufficient if 
73.26 	the certification states the expected due date and recovery period based on appropriate 
73.27 	medical facts within the knowledge of the health care provider.
73.28 	(d) Certification for an applicant taking bonding leave because of the birth of the 
73.29 	applicant's child shall be sufficient if the certification includes either the child's birth 
73.30 	certificate or a document issued by the health care provider of the child or the health care 
73.31 	provider of the person who gave birth, stating the child's birth date.
73.32 	(e) Certification for an applicant taking bonding leave because of the placement of a 
73.33 	child with the applicant for adoption or foster care shall be sufficient if the applicant provides 
74.1 	a document issued by the health care provider of the child, an adoption or foster care agency 
74.2 	involved in the placement, or by other individuals as determined by the commissioner that 
74.3 	confirms the placement and the date of placement. To the extent that the status of an applicant 
74.4 	as an adoptive or foster parent changes while an application for benefits is pending, or while 
74.5 	the covered individual is receiving benefits, the applicant must notify the department of 
74.6 	such change in status in writing.
74.7 	(f) Certification for an applicant taking leave because of a qualifying exigency shall be 
74.8 	sufficient if the certification includes:
74.9 	(1) a copy of the family member's active-duty orders;
74.10 	(2) other documentation issued by the United States armed forces; or
74.11 	(3) other documentation permitted by the commissioner.
74.12 	(g) Certification for an applicant taking safety leave is sufficient if the certification 
74.13 	includes a court record or documentation signed by a volunteer or employee of a victim's 
74.14 	services organization, an attorney, a police officer, or an antiviolence counselor. The 
74.15 	commissioner must not require disclosure of details relating to an applicant's or applicant's 
74.16 	family member's domestic abuse, sexual assault, or stalking.
74.17 	(h) Certifications under paragraphs (a) to (e) must be reviewed and signed by a health 
74.18 	care provider with knowledge of the qualifying event associated with the leave.
74.19 	(i) For a leave taken on an intermittent or reduced-schedule basis, based on a serious 
74.20 	health condition of an applicant or applicant's family member, the certification under this 
74.21 	subdivision must include an explanation of how such leave would be medically beneficial 
74.22 	to the individual with the serious health condition.
74.23 		Subd. 4.Not eligible. An applicant is ineligible for family or medical leave benefits for 
74.24 	any portion of a typical workweek:
74.25 	(1) that occurs before the effective date of a benefit account;
74.26 	(2) that the applicant has an outstanding misrepresentation overpayment balance under 
74.27 	section 268B.185, subdivision 5, including any penalties and interest;
74.28 	(3) that the applicant fails or refuses to provide information on an issue of ineligibility 
74.29 	required under section 268B.07, subdivision 2; or
74.30 	(4) for which the applicant worked for pay.
74.31 		Subd. 5.Vacation, sick leave, and supplemental benefit payments. (a) An applicant 
74.32 	is not eligible to receive benefits for any portion of a typical workweek the applicant is 
75.1 	receiving, has received, or will receive vacation pay, sick pay, or personal time off pay, also 
75.2 	known as "PTO."
75.3 	(b) Paragraph (a) does not apply:
75.4 	(1) upon a permanent separation from employment;
75.5 	(2) to payments from a vacation fund administered by a union or a third party not under 
75.6 	the control of the employer; or
75.7 	(3) to supplemental benefit payments, as defined in section 268B.01, subdivision 37.
75.8 	(c) Payments under this subdivision are applied to the period immediately following the 
75.9 	later of the date of separation from employment or the date the applicant first becomes 
75.10 	aware that the employer will be making a payment. The date the payment is actually made 
75.11 	or received, or that an applicant must agree to a release of claims, does not affect the 
75.12 	application of this subdivision.
75.13 		Subd. 6.Workers' compensation and disability insurance offset. (a) An applicant is 
75.14 	not eligible to receive benefits for any portion of a week in which the applicant is receiving 
75.15 	or has received compensation for loss of wages equal to or in excess of the applicant's 
75.16 	weekly family or medical leave benefit amount under:
75.17 	(1) the workers' compensation law of this state;
75.18 	(2) the workers' compensation law of any other state or similar federal law; or
75.19 	(3) any insurance or trust fund paid in whole or in part by an employer.
75.20 	(b) This subdivision does not apply to an applicant who has a claim pending for loss of 
75.21 	wages under paragraph (a). If the applicant later receives compensation as a result of the 
75.22 	pending claim, the applicant is subject to paragraph (a) and the family or medical leave 
75.23 	benefits paid are overpaid benefits under section 268B.185.
75.24 	(c) If the amount of compensation described under paragraph (a) for any week is less 
75.25 	than the applicant's weekly family or medical leave benefit amount, benefits requested for 
75.26 	that week are reduced by the amount of that compensation payment.
75.27 		Subd. 7.Separation, severance, or bonus payments. (a) An applicant is not eligible 
75.28 	to receive benefits for any week the applicant is receiving, has received, or will receive 
75.29 	separation pay, severance pay, bonus pay, or any other payments paid by an employer 
75.30 	because of, upon, or after separation from employment. This subdivision applies if the 
75.31 	payment is:
75.32 	(1) considered wages under section 268B.01, subdivision 43; or
76.1 	(2) subject to the Federal Insurance Contributions Act (FICA) tax imposed to fund Social 
76.2 	Security and Medicare.
76.3 	(b) Payments under this subdivision are applied to the period immediately following the 
76.4 	later of the date of separation from employment or the date the applicant first becomes 
76.5 	aware that the employer will be making a payment. The date the payment is actually made 
76.6 	or received, or that an applicant must agree to a release of claims, does not affect the 
76.7 	application of this paragraph.
76.8 	(c) This subdivision does not apply to vacation pay, sick pay, personal time off pay, or 
76.9 	supplemental benefit payment under subdivision 4.
76.10 	(d) This subdivision applies to all the weeks of payment.
76.11 	(e) Under this subdivision, if the payment with respect to a week is equal to or more 
76.12 	than the applicant's weekly benefit amount, the applicant is ineligible for benefits for that 
76.13 	week. If the payment with respect to a week is less than the applicant's weekly benefit 
76.14 	amount, benefits are reduced by the amount of the payment.
76.15 		Subd. 8.Social Security disability benefits. (a) An applicant who is receiving, has 
76.16 	received, or has filed for primary Social Security disability benefits for any week is ineligible 
76.17 	for benefits for that week, unless:
76.18 	(1) the Social Security Administration approved the collecting of primary Social Security 
76.19 	disability benefits each month the applicant was employed during the base period; or
76.20 	(2) the applicant provides a statement from an appropriate health care professional who 
76.21 	is aware of the applicant's Social Security disability claim and the basis for that claim, 
76.22 	certifying that the applicant is available for suitable employment.
76.23 	(b) If an applicant meets the requirements of paragraph (a), clause (1), there is no 
76.24 	deduction from the applicant's weekly benefit amount for any Social Security disability 
76.25 	benefits.
76.26 	(c) If an applicant meets the requirements of paragraph (a), clause (2), there must be 
76.27 	deducted from the applicant's weekly benefit amount 50 percent of the weekly equivalent 
76.28 	of the primary Social Security disability benefits the applicant is receiving, has received, 
76.29 	or has filed for, with respect to that week.
76.30 	If the Social Security Administration determines that the applicant is not entitled to receive 
76.31 	primary Social Security disability benefits for any week the applicant has applied for those 
76.32 	benefits, this paragraph does not apply to that week.
77.1 	(d) Information from the Social Security Administration is conclusive, absent specific 
77.2 	evidence showing that the information was erroneous.

77.3 	Sec. 11. [268B.07] DETERMINATION ON ISSUES OF ELIGIBILITY.
77.4 		Subdivision 1.Employer notification. (a) Upon a determination that an applicant is 
77.5 	entitled to benefits, the commissioner must promptly send a notification to each current 
77.6 	employer of the applicant, if any, in accordance with paragraph (b).
77.7 	(b) The notification under paragraph (a) must include, at a minimum:
77.8 	(1) the name of the applicant;
77.9 	(2) that the applicant has applied for and received benefits;
77.10 	(3) the week the benefits commence;
77.11 	(4) the weekly benefit amount payable; and
77.12 	(5) the maximum duration of benefits.
77.13 		Subd. 2.Determination. (a) The commissioner must determine any issue of ineligibility 
77.14 	raised by information required from an applicant and send to the applicant and any current 
77.15 	base period employer, by mail or electronic transmission, a document titled a determination 
77.16 	of eligibility or a determination of ineligibility, as is appropriate, within two weeks.
77.17 	(b) If an applicant obtained benefits through misrepresentation, the department is 
77.18 	authorized to issue a determination of ineligibility within 48 months of the establishment 
77.19 	of the benefit account.
77.20 	(c) If the department has filed an intervention in a worker's compensation matter under 
77.21 	section 176.361, the department is authorized to issue a determination of ineligibility within 
77.22 	48 months of the establishment of the benefit account.
77.23 	(d) A determination of eligibility or determination of ineligibility is final unless an appeal 
77.24 	is filed by the applicant within 20 calendar days after sending. The determination must 
77.25 	contain a prominent statement indicating the consequences of not appealing. Proceedings 
77.26 	on the appeal are conducted in accordance with section 268B.08.
77.27 	(e) An issue of ineligibility required to be determined under this section includes any 
77.28 	question regarding the denial or allowing of benefits under this chapter.
77.29 		Subd. 3.Amended determination. Unless an appeal has been filed, the commissioner, 
77.30 	on the commissioner's own motion, may reconsider a determination of eligibility or 
77.31 	determination of ineligibility that has not become final and issue an amended determination. 
78.1 	Any amended determination must be sent to the applicant and any employer in the current 
78.2 	base period by mail or electronic transmission. Any amended determination is final unless 
78.3 	an appeal is filed by the applicant within 30 calendar days after sending, or within 60 calendar 
78.4 	days, if the applicant establishes good cause for not appealing within 30 days. For the 
78.5 	purposes of this paragraph, "good cause" means a reason that would have prevented an 
78.6 	applicant from acting with due diligence in appealing within 30 days and includes any 
78.7 	illness, disability, or linguistic and literacy limitation of the applicant, along with other 
78.8 	relevant factors. If an applicant claims good cause for a late appeal, the applicant must be 
78.9 	granted a hearing on the issue of timeliness. This hearing can be held at the same time as a 
78.10 	hearing on the merits of the appeal. Proceedings on the appeal are conducted in accordance 
78.11 	with section 268B.08.
78.12 		Subd. 4.Benefit payment. If a determination or amended determination allows benefits 
78.13 	to an applicant, the family or medical leave benefits must be paid regardless of any appeal 
78.14 	period or any appeal having been filed.
78.15 		Subd. 5.Overpayment. A determination or amended determination that holds an 
78.16 	applicant ineligible for benefits for periods an applicant has been paid benefits is an 
78.17 	overpayment of those family or medical leave benefits. A determination or amended 
78.18 	determination issued under this section that results in an overpayment of benefits must set 
78.19 	out the amount of the overpayment and the requirement that the overpaid benefits must be 
78.20 	repaid according to section 268B.185.

78.21 	Sec. 12. [268B.08] APPEAL PROCESS.
78.22 		Subdivision 1.Hearing. (a) The commissioner shall designate a chief benefit judge.
78.23 	(b) Upon a timely appeal to a determination having been filed or upon a referral for 
78.24 	direct hearing, the chief benefit judge must set a time and date for a de novo due-process 
78.25 	hearing and send notice to an applicant and an employer, by mail or electronic transmission, 
78.26 	not less than ten calendar days before the date of the hearing.
78.27 	(c) The commissioner may adopt rules on procedures for hearings. The rules need not 
78.28 	conform to common law or statutory rules of evidence and other technical rules of procedure.
78.29 	(d) The chief benefit judge has discretion regarding the method by which the hearing is 
78.30 	conducted.
78.31 		Subd. 2.Decision. (a) After the conclusion of the hearing, upon the evidence obtained, 
78.32 	the benefit judge must serve by mail or electronic transmission to all parties the decision, 
78.33 	reasons for the decision, and written findings of fact.
79.1 	(b) Decisions of a benefit judge are not precedential.
79.2 		Subd. 3.Request for reconsideration. Any party, or the commissioner, may, within 
79.3 	30 calendar days after service of the benefit judge's decision, file a request for reconsideration 
79.4 	asking the judge to reconsider that decision.
79.5 		Subd. 4.Appeal to court of appeals. Any final determination on a request for 
79.6 	reconsideration may be appealed by any party directly to the Minnesota Court of Appeals.
79.7 		Subd. 5.Benefit judges. (a) Only employees of the department who are attorneys licensed 
79.8 	to practice law in Minnesota may serve as a chief benefit judge, senior benefit judges who 
79.9 	are supervisors, or benefit judges.
79.10 	(b) The chief benefit judge must assign a benefit judge to conduct a hearing and may 
79.11 	transfer to another benefit judge any proceedings pending before another benefit judge.

79.12 	Sec. 13. [268B.085] LEAVE.
79.13 		Subdivision 1.Right to leave. Ninety calendar days from the date of hire, an employee 
79.14 	has a right to leave from employment for any day, or portion of a day, for which the employee 
79.15 	would be eligible for benefits under this chapter, regardless of whether the employee actually 
79.16 	applied for benefits and regardless of whether the employee is covered under a private plan 
79.17 	or the public program under this chapter.
79.18 		Subd. 2.Notice to employer. (a) If the need for leave is foreseeable, an employee must 
79.19 	provide the employer at least 30 days' advance notice before leave under this chapter is to 
79.20 	begin. If 30 days' notice is not practicable because of a lack of knowledge of approximately 
79.21 	when leave will be required to begin, a change in circumstances, or a medical emergency, 
79.22 	notice must be given as soon as practicable. Whether leave is to be continuous or is to be 
79.23 	taken intermittently or on a reduced-schedule basis, notice need only be given one time, but 
79.24 	the employee must advise the employer as soon as practicable if dates of scheduled leave 
79.25 	change or are extended, or were initially unknown. In those cases where the employee is 
79.26 	required to provide at least 30 days' notice of foreseeable leave and does not do so, the 
79.27 	employee must explain the reasons why notice was not practicable upon request from the 
79.28 	employer.
79.29 	(b) "As soon as practicable" means as soon as both possible and practical, taking into 
79.30 	account all of the facts and circumstances in the individual case. When an employee becomes 
79.31 	aware of a need for leave under this chapter less than 30 days in advance, it should be 
79.32 	practicable for the employee to provide notice of the need for leave either the same day or 
79.33 	the next day, unless the need for leave is based on a medical emergency. In all cases, 
80.1 	however, the determination of when an employee could practicably provide notice must 
80.2 	take into account the individual facts and circumstances.
80.3 	(c) An employee shall provide at least oral, telephone, or text message notice sufficient 
80.4 	to make the employer aware that the employee needs leave allowed under this chapter and 
80.5 	the anticipated timing and duration of the leave. An employer may require an employee 
80.6 	giving notice of leave to include a certification for the leave as described in section 268B.06, 
80.7 	subdivision 3. Such certification, if required by an employer, is timely when the employee 
80.8 	delivers it as soon as practicable given the circumstances requiring the need for leave, and 
80.9 	the required contents of the certification.
80.10 	(d) An employer may require an employee to comply with the employer's usual and 
80.11 	customary notice and procedural requirements for requesting leave, absent unusual 
80.12 	circumstances or other circumstances caused by the reason for the employee's need for 
80.13 	leave. Leave under this chapter must not be delayed or denied where an employer's usual 
80.14 	and customary notice or procedural requirements require notice to be given sooner than set 
80.15 	forth in this subdivision.
80.16 	(e) If an employer has failed to provide notice to the employee as required under section 
80.17 	268B.26, paragraph (a), (b), or (e), the employee is not required to comply with the notice 
80.18 	requirements of this subdivision.
80.19 		Subd. 3.Bonding leave. Bonding leave taken under this chapter begins at a time requested 
80.20 	by the employee. Bonding leave must begin within 12 months of the birth, adoption, or 
80.21 	placement of a foster child, except that, in the case where the child must remain in the 
80.22 	hospital longer than the mother, the leave must begin within 12 months after the child leaves 
80.23 	the hospital.
80.24 		Subd. 4.Intermittent or reduced-leave schedule. (a) Leave under this chapter, based 
80.25 	on a serious health condition, may be taken intermittently or on a reduced-leave schedule 
80.26 	if such leave is reasonable and appropriate to the needs of the individual with the serious 
80.27 	health condition. For all other leaves under this chapter, leave may be taken intermittently 
80.28 	or on a reduced-leave schedule. Intermittent leave is leave taken in separate blocks of time 
80.29 	due to a single, seven-day qualifying event. A reduced-leave schedule is a leave schedule 
80.30 	that reduces an employee's usual number of working hours per workweek or hours per 
80.31 	workday.
80.32 	(b) Leave taken intermittently or on a reduced-schedule basis counts toward the 
80.33 	maximums described in section 268B.04, subdivision 5.

81.1 	Sec. 14. [268B.09] EMPLOYMENT PROTECTIONS.
81.2 		Subdivision 1.Retaliation prohibited. An employer must not retaliate against an 
81.3 	employee for requesting or obtaining benefits, or for exercising any other right under this 
81.4 	chapter.
81.5 		Subd. 2.Interference prohibited. An employer must not obstruct or impede an 
81.6 	application for leave or benefits or the exercise of any other right under this chapter.
81.7 		Subd. 3.Waiver of rights void. Any agreement to waive, release, or commute rights 
81.8 	to benefits or any other right under this chapter is void.
81.9 		Subd. 4.No assignment of benefits. Any assignment, pledge, or encumbrance of benefits 
81.10 	is void. Benefits are exempt from levy, execution, attachment, or any other remedy provided 
81.11 	for the collection of debt. Any waiver of this subdivision is void.
81.12 		Subd. 5.Continued insurance. During any leave for which an employee is entitled to 
81.13 	benefits under this chapter, the employer must maintain coverage under any group insurance 
81.14 	policy, group subscriber contract, or health care plan for the employee and any dependents 
81.15 	as if the employee was not on leave, provided, however, that the employee must continue 
81.16 	to pay any employee share of the cost of such benefits.
81.17 		Subd. 6.Employee right to reinstatement. (a) On return from leave under this chapter, 
81.18 	an employee is entitled to be returned to the same position the employee held when leave 
81.19 	commenced or to an equivalent position with equivalent benefits, pay, and other terms and 
81.20 	conditions of employment. An employee is entitled to reinstatement even if the employee 
81.21 	has been replaced or the employee's position has been restructured to accommodate the 
81.22 	employee's absence.
81.23 	(b)(1) An equivalent position is one that is virtually identical to the employee's former 
81.24 	position in terms of pay, benefits, and working conditions, including privileges, prerequisites, 
81.25 	and status. It must involve the same or substantially similar duties and responsibilities, 
81.26 	which must entail substantially equivalent skill, effort, responsibility, and authority.
81.27 	(2) If an employee is no longer qualified for the position because of the employee's 
81.28 	inability to attend a necessary course, renew a license, fly a minimum number of hours, or 
81.29 	similar condition, as a result of the leave, the employee must be given a reasonable 
81.30 	opportunity to fulfill those conditions upon return from leave.
81.31 	(c)(1) An employee is entitled to any unconditional pay increases which may have 
81.32 	occurred during the leave period, such as cost of living increases. Pay increases conditioned 
81.33 	upon seniority, length of service, or work performed must be granted in accordance with 
82.1 	the employer's policy or practice with respect to other employees on an equivalent leave 
82.2 	status for a reason that does not qualify for leave under this chapter. An employee is entitled 
82.3 	to be restored to a position with the same or equivalent pay premiums, such as a shift 
82.4 	differential. If an employee departed from a position averaging ten hours of overtime, and 
82.5 	corresponding overtime pay, each week an employee is ordinarily entitled to such a position 
82.6 	on return from leave under this chapter.
82.7 	(2) Equivalent pay includes any bonus or payment, whether it is discretionary or 
82.8 	nondiscretionary, made to employees consistent with clause (1). If a bonus or other payment 
82.9 	is based on the achievement of a specified goal such as hours worked, products sold, or 
82.10 	perfect attendance, and the employee has not met the goal due to leave under this chapter, 
82.11 	the payment may be denied, unless otherwise paid to employees on an equivalent leave 
82.12 	status for a reason that does not qualify for leave under this chapter.
82.13 	(d) Benefits under this section include all benefits provided or made available to 
82.14 	employees by an employer, including group life insurance, health insurance, disability 
82.15 	insurance, sick leave, annual leave, educational benefits, and pensions, regardless of whether 
82.16 	benefits are provided by a practice or written policy of an employer through an employee 
82.17 	benefit plan as defined in section 3(3) of United States Code, title 29, section 1002(3).
82.18 	(1) At the end of an employee's leave under this chapter, benefits must be resumed in 
82.19 	the same manner and at the same levels as provided when the leave began, and subject to 
82.20 	any changes in benefit levels that may have taken place during the period of leave affecting 
82.21 	the entire workforce, unless otherwise elected by the employee. Upon return from a leave 
82.22 	under this chapter, an employee must not be required to requalify for any benefits the 
82.23 	employee enjoyed before leave began, including family or dependent coverages.
82.24 	(2) An employee may, but is not entitled to, accrue any additional benefits or seniority 
82.25 	during a leave under this chapter. Benefits accrued at the time leave began must be available 
82.26 	to an employee upon return from leave.
82.27 	(3) With respect to pension and other retirement plans, leave under this chapter must 
82.28 	not be treated as or counted toward a break in service for purposes of vesting and eligibility 
82.29 	to participate. If the plan requires an employee to be employed on a specific date in order 
82.30 	to be credited with a year of service for vesting, contributions, or participation purposes, 
82.31 	an employee on leave under this chapter must be treated as employed on that date. Periods 
82.32 	of leave under this chapter need not be treated as credited service for purposes of benefit 
82.33 	accrual, vesting, and eligibility to participate.
83.1 	(4) Employees on leave under this chapter must be treated as if they continued to work 
83.2 	for purposes of changes to benefit plans. Employees on leave under this chapter are entitled 
83.3 	to changes in benefit plans, except those which may be dependent upon seniority or accrual 
83.4 	during the leave period, immediately upon return from leave or to the same extent they 
83.5 	would have qualified if no leave had been taken.
83.6 	(e) An equivalent position must have substantially similar duties, conditions, 
83.7 	responsibilities, privileges, and status as the employee's original position.
83.8 	(1) The employee must be reinstated to the same or a geographically proximate worksite 
83.9 	from where the employee had previously been employed. If the employee's original worksite 
83.10 	has been closed, the employee is entitled to the same rights as if the employee had not been 
83.11 	on leave when the worksite closed.
83.12 	(2) The employee is ordinarily entitled to return to the same shift or the same or an 
83.13 	equivalent work schedule.
83.14 	(3) The employee must have the same or an equivalent opportunity for bonuses, 
83.15 	profit-sharing, and other similar discretionary and nondiscretionary payments.
83.16 	(4) This chapter does not prohibit an employer from accommodating an employee's 
83.17 	request to be restored to a different shift, schedule, or position which better suits the 
83.18 	employee's personal needs on return from leave, or to offer a promotion to a better position. 
83.19 	However, an employee must not be induced by the employer to accept a different position 
83.20 	against the employee's wishes.
83.21 	(f) The requirement that an employee be restored to the same or equivalent job with the 
83.22 	same or equivalent pay, benefits, and terms and conditions of employment does not extend 
83.23 	to de minimis, intangible, or unmeasurable aspects of the job.
83.24 		Subd. 7.Limitations on an employee's right to reinstatement. An employee has no 
83.25 	greater right to reinstatement or to other benefits and conditions of employment than if the 
83.26 	employee had been continuously employed during the period of leave under this chapter. 
83.27 	An employer must be able to show that an employee would not otherwise have been 
83.28 	employed at the time reinstatement is requested in order to deny restoration to employment.
83.29 	(1) If an employee is laid off during the course of taking a leave under this chapter and 
83.30 	employment is terminated, the employer's responsibility to continue the leave, maintain 
83.31 	group health plan benefits, and restore the employee cease at the time the employee is laid 
83.32 	off, provided the employer has no continuing obligations under a collective bargaining 
83.33 	agreement or otherwise. An employer has the burden of proving that an employee would 
84.1 	have been laid off during the period of leave under this chapter and, therefore, would not 
84.2 	be entitled to restoration to a job slated for layoff when the employee's original position 
84.3 	would not meet the requirements of an equivalent position.
84.4 	(2) If a shift has been eliminated or overtime has been decreased, an employee would 
84.5 	not be entitled to return to work that shift or the original overtime hours upon restoration. 
84.6 	However, if a position on, for example, a night shift has been filled by another employee, 
84.7 	the employee is entitled to return to the same shift on which employed before taking leave 
84.8 	under this chapter.
84.9 	(3) If an employee was hired for a specific term or only to perform work on a discrete 
84.10 	project, the employer has no obligation to restore the employee if the employment term or 
84.11 	project is over and the employer would not otherwise have continued to employ the employee.
84.12 		Subd. 8.Remedies. (a) In addition to any other remedies available to an employee in 
84.13 	law or equity, an employer who violates the provisions of this section is liable to any 
84.14 	employee affected for:
84.15 	(1) damages equal to the amount of:
84.16 	(i) any wages, salary, employment benefits, or other compensation denied or lost to such 
84.17 	employee by reason of the violation, or, in cases in which wages, salary, employment 
84.18 	benefits, or other compensation have not been denied or lost to the employee, any actual 
84.19 	monetary losses sustained by the employee as a direct result of the violation; and
84.20 	(ii) reasonable interest on the amount described in item (i); and
84.21 	(2) such equitable relief as may be appropriate, including employment, reinstatement, 
84.22 	and promotion.
84.23 	(b) An action to recover damages or equitable relief prescribed in paragraph (a) may be 
84.24 	maintained against any employer in any federal or state court of competent jurisdiction by 
84.25 	any one or more employees for and on behalf of:
84.26 	(1) the employees; or
84.27 	(2) the employees and other employees similarly situated.
84.28 	(c) The court in an action under this section must, in addition to any judgment awarded 
84.29 	to the plaintiff or plaintiffs, allow reasonable attorney fees, reasonable expert witness fees, 
84.30 	and other costs of the action to be paid by the defendant.
85.1 	(d) Nothing in this section shall be construed to allow an employee to recover damages 
85.2 	from an employer for the denial of benefits under this chapter by the department, unless the 
85.3 	employer unlawfully interfered with the application for benefits under subdivision 2.

85.4 	Sec. 15. [268B.10] SUBSTITUTION OF A PRIVATE PLAN.
85.5 		Subdivision 1.Application for substitution. Employers may apply to the commissioner 
85.6 	for approval to meet their obligations under this chapter through the substitution of a private 
85.7 	plan that provides paid family, paid medical, or paid family and medical benefits. In order 
85.8 	to be approved as meeting an employer's obligations under this chapter, a private plan must 
85.9 	confer all of the same rights, protections, and benefits provided to employees under this 
85.10 	chapter, including but not limited to benefits under section 268B.04 and employment 
85.11 	protections under section 268B.09. An employee covered by a private plan under this section 
85.12 	retains all applicable rights and remedies under section 268B.09.
85.13 		Subd. 2.Private plan requirements; medical benefit program. (a) The commissioner 
85.14 	must approve an application for private provision of the medical benefit program if the 
85.15 	commissioner determines:
85.16 	(1) all of the employees of the employer are to be covered under the provisions of the 
85.17 	employer plan;
85.18 	(2) eligibility requirements for benefits and leave are no more restrictive than as provided 
85.19 	under this chapter;
85.20 	(3) the weekly benefits payable under the private plan for any week are at least equal to 
85.21 	the weekly benefit amount payable under this chapter, taking into consideration any coverage 
85.22 	with respect to concurrent employment by another employer;
85.23 	(4) the total number of weeks for which benefits are payable under the private plan is 
85.24 	at least equal to the total number of weeks for which benefits would have been payable 
85.25 	under this chapter;
85.26 	(5) no greater amount is required to be paid by employees toward the cost of benefits 
85.27 	under the employer plan than by this chapter;
85.28 	(6) wage replacement benefits are stated in the plan separately and distinctly from other 
85.29 	benefits;
85.30 	(7) the private plan will provide benefits and leave for any serious health condition or 
85.31 	pregnancy for which benefits are payable, and leave provided, under this chapter;
86.1 	(8) the private plan will impose no additional condition or restriction on the use of 
86.2 	medical benefits beyond those explicitly authorized by this chapter or regulations 
86.3 	promulgated pursuant to this chapter;
86.4 	(9) the private plan will allow any employee covered under the private plan who is 
86.5 	eligible to receive medical benefits under this chapter to receive medical benefits under the 
86.6 	employer plan; and
86.7 	(10) coverage will continue under the private plan while an employee remains employed 
86.8 	by the employer.
86.9 	(b) Notwithstanding paragraph (a), a private plan may provide shorter durations of leave 
86.10 	and benefit eligibility if the total dollar value of wage replacement benefits under the private 
86.11 	plan for an employee for any particular qualifying event meets or exceeds what the total 
86.12 	dollar value would be under the public family and medical benefit program.
86.13 		Subd. 3.Private plan requirements; family benefit program. (a) The commissioner 
86.14 	must approve an application for private provision of the family benefit program if the 
86.15 	commissioner determines:
86.16 	(1) all of the employees of the employer are to be covered under the provisions of the 
86.17 	employer plan;
86.18 	(2) eligibility requirements for benefits and leave are no more restrictive than as provided 
86.19 	under this chapter;
86.20 	(3) the weekly benefits payable under the private plan for any week are at least equal to 
86.21 	the weekly benefit amount payable under this chapter, taking into consideration any coverage 
86.22 	with respect to concurrent employment by another employer;
86.23 	(4) the total number of weeks for which benefits are payable under the private plan is 
86.24 	at least equal to the total number of weeks for which benefits would have been payable 
86.25 	under this chapter;
86.26 	(5) no greater amount is required to be paid by employees toward the cost of benefits 
86.27 	under the employer plan than by this chapter;
86.28 	(6) wage replacement benefits are stated in the plan separately and distinctly from other 
86.29 	benefits;
86.30 	(7) the private plan will provide benefits and leave for any care for a family member 
86.31 	with a serious health condition, bonding with a child, qualifying exigency, or safety leave 
86.32 	event for which benefits are payable, and leave provided, under this chapter;
87.1 	(8) the private plan will impose no additional condition or restriction on the use of family 
87.2 	benefits beyond those explicitly authorized by this chapter or regulations promulgated 
87.3 	pursuant to this chapter;
87.4 	(9) the private plan will allow any employee covered under the private plan who is 
87.5 	eligible to receive medical benefits under this chapter to receive medical benefits under the 
87.6 	employer plan; and
87.7 	(10) coverage will continue under the private plan while an employee remains employed 
87.8 	by the employer.
87.9 	(b) Notwithstanding paragraph (a), a private plan may provide shorter durations of leave 
87.10 	and benefit eligibility if the total dollar value of wage replacement benefits under the private 
87.11 	plan for an employee for any particular qualifying event meets or exceeds what the total 
87.12 	dollar value would be under the public family and medical benefit program.
87.13 		Subd. 4.Use of private insurance products. Nothing in this section prohibits an 
87.14 	employer from meeting the requirements of a private plan through a private insurance 
87.15 	product. If the employer plan involves a private insurance product, that insurance product 
87.16 	must conform to any applicable law or rule.
87.17 		Subd. 5.Private plan approval and oversight fee. An employer with an approved 
87.18 	private plan is not required to pay premiums established under section 268B.14. An employer 
87.19 	with an approved private plan is responsible for a private plan approval and oversight fee 
87.20 	equal to $250 for employers with fewer than 50 employees, $500 for employers with 50 to 
87.21 	499 employees, and $1,000 for employers with 500 or more employees. The employer must 
87.22 	pay this fee (1) upon initial application for private plan approval, and (2) any time the 
87.23 	employer applies to amend the private plan. The commissioner must review and report on 
87.24 	the adequacy of this fee to cover private plan administrative costs annually beginning 
87.25 	December 1, 2024, as part of the annual report established in section 268B.24.
87.26 		Subd. 6.Plan duration. A private plan under this section must be in effect for a period 
87.27 	of at least one year and, thereafter, continuously unless the commissioner finds that the 
87.28 	employer has given notice of withdrawal from the plan in a manner specified by the 
87.29 	commissioner in this section or rule. The plan may be withdrawn by the employer within 
87.30 	30 days of the effective date of any law increasing the benefit amounts or within 30 days 
87.31 	of the date of any change in the rate of premiums. If the plan is not withdrawn, it must be 
87.32 	amended to conform to provide the increased benefit amount or change in the rate of the 
87.33 	employee's premium on the date of the increase or change.
88.1 		Subd. 7.Appeals. An employer may appeal any adverse action regarding that employer's 
88.2 	private plan to the commissioner, in a manner specified by the commissioner.
88.3 		Subd. 8.Employees no longer covered. (a) An employee is no longer covered by an 
88.4 	approved private plan if a leave under this chapter occurs after the employment relationship 
88.5 	with the private plan employer ends, or if the commissioner revokes the approval of the 
88.6 	private plan.
88.7 	(b) An employee no longer covered by an approved private plan is, if otherwise eligible, 
88.8 	immediately entitled to benefits under this chapter to the same extent as though there had 
88.9 	been no approval of the private plan.
88.10 		Subd. 9.Posting of notice regarding private plan. An employer with a private plan 
88.11 	must provide a notice prepared by or approved by the commissioner regarding the private 
88.12 	plan consistent with section 268B.26.
88.13 		Subd. 10.Amendment. (a) The commissioner must approve any amendment to a private 
88.14 	plan adjusting the provisions thereof, if the commissioner determines:
88.15 	(1) that the plan, as amended, will conform to the standards set forth in this chapter; and
88.16 	(2) that notice of the amendment has been delivered to all affected employees at least 
88.17 	ten days before the submission of the amendment.
88.18 	(b) Any amendments approved under this subdivision are effective on the date of the 
88.19 	commissioner's approval, unless the commissioner and the employer agree on a later date.
88.20 		Subd. 11.Successor employer. A private plan in effect at the time a successor acquires 
88.21 	the employer organization, trade, or business, or substantially all the assets thereof, or a 
88.22 	distinct and severable portion of the organization, trade, or business, and continues its 
88.23 	operation without substantial reduction of personnel resulting from the acquisition, must 
88.24 	continue the approved private plan and must not withdraw the plan without a specific request 
88.25 	for withdrawal in a manner and at a time specified by the commissioner. A successor may 
88.26 	terminate a private plan with notice to the commissioner and within 90 days from the date 
88.27 	of the acquisition.
88.28 		Subd. 12.Revocation of approval by commissioner. (a) The commissioner may 
88.29 	terminate any private plan if the commissioner determines the employer:
88.30 	(1) failed to pay benefits;
88.31 	(2) failed to pay benefits in a timely manner, consistent with the requirements of this 
88.32 	chapter;
89.1 	(3) failed to submit reports as required by this chapter or rule adopted under this chapter; 
89.2 	or
89.3 	(4) otherwise failed to comply with this chapter or rule adopted under this chapter.
89.4 	(b) The commissioner must give notice of the intention to terminate a plan to the employer 
89.5 	at least ten days before taking any final action. The notice must state the effective date and 
89.6 	the reason for the termination.
89.7 	(c) The employer may, within ten days from mailing or personal service of the notice, 
89.8 	file an appeal to the commissioner in the time, manner, method, and procedure provided by 
89.9 	the commissioner under subdivision 7.
89.10 	(d) The payment of benefits must not be delayed during an employer's appeal of the 
89.11 	revocation of approval of a private plan.
89.12 	(e) If the commissioner revokes approval of an employer's private plan, that employer 
89.13 	is ineligible to apply for approval of another private plan for a period of three years, beginning 
89.14 	on the date of revocation.
89.15 		Subd. 13. Employer penalties. (a) The commissioner may assess the following monetary 
89.16 	penalties against an employer with an approved private plan found to have violated this 
89.17 	chapter:
89.18 	(1) $1,000 for the first violation; and
89.19 	(2) $2,000 for the second, and each successive violation.
89.20 	(b) The commissioner must waive collection of any penalty if the employer corrects the 
89.21 	violation within 30 days of receiving a notice of the violation and the notice is for a first 
89.22 	violation.
89.23 	(c) The commissioner may waive collection of any penalty if the commissioner determines 
89.24 	the violation to be an inadvertent error by the employer.
89.25 	(d) Monetary penalties collected under this section shall be deposited in the family and 
89.26 	medical benefit insurance account.
89.27 	(e) Assessment of penalties under this subdivision may be appealed as provided by the 
89.28 	commissioner under subdivision 7.
89.29 		Subd. 14.Reports, information, and records. Employers with an approved private 
89.30 	plan must maintain all reports, information, and records as relating to the private plan and 
89.31 	claims for a period of six years from creation and provide to the commissioner upon request.
90.1 		Subd. 15.Audit and investigation. The commissioner may investigate and audit plans 
90.2 	approved under this section both before and after the plans are approved.

90.3 	Sec. 16. [268B.11] SELF-EMPLOYED AND INDEPENDENT CONTRACTOR 
90.4 	ELECTION OF COVERAGE.
90.5 		Subdivision 1.Election of coverage. (a) A self-employed individual or independent 
90.6 	contractor may file with the commissioner by electronic transmission in a format prescribed 
90.7 	by the commissioner an application to be entitled to benefits under this chapter for a period 
90.8 	not less than 104 consecutive calendar weeks. Upon the approval of the commissioner, sent 
90.9 	by United States mail or electronic transmission, the individual is entitled to benefits under 
90.10 	this chapter beginning the calendar quarter after the date of approval or beginning in a later 
90.11 	calendar quarter if requested by the self-employed individual or independent contractor. 
90.12 	The individual ceases to be entitled to benefits as of the first day of January of any calendar 
90.13 	year only if, at least 30 calendar days before the first day of January, the individual has filed 
90.14 	with the commissioner by electronic transmission in a format prescribed by the commissioner 
90.15 	a notice to that effect.
90.16 	(b) The commissioner may terminate any application approved under this section with 
90.17 	30 calendar days' notice sent by United States mail or electronic transmission if the 
90.18 	self-employed individual is delinquent on any premiums due under this chapter. If an 
90.19 	approved application is terminated in this manner during the first 104 consecutive calendar 
90.20 	weeks of election, the self-employed individual remains obligated to pay the premium under 
90.21 	subdivision 3 for the remainder of that 104-week period.
90.22 		Subd. 2.Application. A self-employed individual who applies for coverage under this 
90.23 	section must provide the commissioner with (1) the amount of the individual's net earnings 
90.24 	from self-employment, if any, from the two most recent taxable years and all tax documents 
90.25 	necessary to prove the accuracy of the amounts reported, and (2) any other documentation 
90.26 	the commissioner requires. A self-employed individual who is covered under this chapter 
90.27 	must annually provide the commissioner with the amount of the individual's net earnings 
90.28 	from self-employment within 30 days of filing a federal income tax return.
90.29 		Subd. 3.Premium. A self-employed individual who elects to receive coverage under 
90.30 	this chapter must annually pay a premium equal to one-half the percentage in section 
90.31 	268B.14, subdivision 5, clause (1), times the lesser of:
90.32 	(1) the individual's self-employment premium base; or
91.1 	(2) the maximum earnings subject to the FICA Old-Age, Survivors, and Disability 
91.2 	Insurance tax.
91.3 		Subd. 4.Benefits. Notwithstanding anything to the contrary, a self-employed individual 
91.4 	who has applied to and been approved for coverage by the commissioner under this section 
91.5 	is entitled to benefits on the same basis as an employee under this chapter, except that a 
91.6 	self-employed individual's weekly benefit amount under section 268B.04, subdivision 1, 
91.7 	must be calculated as a percentage of the self-employed individual's self-employment 
91.8 	premium base, rather than wages.

91.9 	Sec. 17. [268B.12] WAGE REPORTING.
91.10 		Subdivision 1.Wage detail report. (a) Each employer must submit, under the employer 
91.11 	premium account described in section 268B.13,  a quarterly wage detail report by electronic 
91.12 	transmission, in a format prescribed by the commissioner. The report must include for each 
91.13 	employee in covered employment during the calendar quarter, the employee's name, Social 
91.14 	Security number, the total wages paid to the employee, and total number of paid hours 
91.15 	worked. For employees exempt from the definition of employee in section 177.23, 
91.16 	subdivision 7, clause (6), the employer must report 40 hours worked for each week any 
91.17 	duties were performed by a full-time employee and must report a reasonable estimate of 
91.18 	the hours worked for each week duties were performed by a part-time employee. In addition, 
91.19 	the wage detail report must include the number of employees employed during the payroll 
91.20 	period that includes the 12th day of each calendar month and, if required by the 
91.21 	commissioner, the report must be broken down by business location and separate business 
91.22 	unit. The report is due and must be received by the commissioner on or before the last day 
91.23 	of the month following the end of the calendar quarter. The commissioner may delay the 
91.24 	due date on a specific calendar quarter in the event the department is unable to accept wage 
91.25 	detail reports electronically.
91.26 	(b) The employer may report the wages paid to the next lower whole dollar amount.
91.27 	(c) An employer need not include the name of the employee or other required information 
91.28 	on the wage detail report if disclosure is specifically exempted from being reported by 
91.29 	federal law.
91.30 	(d) A wage detail report must be submitted for each calendar quarter even though no 
91.31 	wages were paid, unless the business has been terminated.
91.32 		Subd. 2.Electronic transmission of report required. Each employer must submit the 
91.33 	quarterly wage detail report by electronic transmission in a format prescribed by the 
92.1 	commissioner. The commissioner has the discretion to accept wage detail reports that are 
92.2 	submitted by any other means or the commissioner may return the report submitted by other 
92.3 	than electronic transmission to the employer, and reports returned are considered as not 
92.4 	submitted and the late fees under subdivision 3 may be imposed.
92.5 		Subd. 3.Failure to timely file report; late fees. (a) Any employer that fails to submit 
92.6 	the quarterly wage detail report when due must pay a late fee of $10 per employee, computed 
92.7 	based upon the highest of:
92.8 	(1) the number of employees reported on the last wage detail report submitted;
92.9 	(2) the number of employees reported in the corresponding quarter of the prior calendar 
92.10 	year; or
92.11 	(3) if no wage detail report has ever been submitted, the number of employees listed at 
92.12 	the time of employer registration.
92.13 	The late fee is canceled if the wage detail report is received within 30 calendar days after 
92.14 	a demand for the report is sent to the employer by mail or electronic transmission. A late 
92.15 	fee assessed an employer may not be canceled more than twice each 12 months. The amount 
92.16 	of the late fee assessed may not be less than $250.
92.17 	(b) If the wage detail report is not received in a manner and format prescribed by the 
92.18 	commissioner within 30 calendar days after demand is sent under paragraph (a), the late 
92.19 	fee assessed under paragraph (a) doubles and a renewed demand notice and notice of the 
92.20 	increased late fee will be sent to the employer by mail or electronic transmission.
92.21 	(c) Late fees due under this subdivision may be canceled, in whole or in part, under 
92.22 	section 268B.16.
92.23 		Subd. 4.Missing or erroneous information. (a) Any employer that submits the wage 
92.24 	detail report, but fails to include all required employee information or enters erroneous 
92.25 	information, is subject to an administrative service fee of $25 for each employee for whom 
92.26 	the information is partially missing or erroneous.
92.27 	(b) Any employer that submits the wage detail report, but fails to include an employee, 
92.28 	is subject to an administrative service fee equal to two percent of the total wages for each 
92.29 	employee for whom the information is completely missing.
92.30 		Subd. 5.Fees. The fees provided for in subdivisions 3 and 4 are in addition to interest 
92.31 	and other penalties imposed by this chapter and are collected in the same manner as 
92.32 	delinquent taxes and credited to the family and medical benefit insurance account.

93.1 	Sec. 18. [268B.13] EMPLOYER PREMIUM ACCOUNTS.
93.2 	The commissioner must maintain a premium account for each employer. The 
93.3 	commissioner must assess the premium account for all the premiums due under section 
93.4 	268B.14, and credit the family and medical benefit insurance account with all premiums 
93.5 	paid.

93.6 	Sec. 19. [268B.14] PREMIUMS.
93.7 		Subdivision 1.Payments. (a) Family and medical leave premiums accrue and become 
93.8 	payable by each employer for each calendar year on the taxable wages that the employer 
93.9 	paid to employees in covered employment.
93.10 	Each employer must pay premiums quarterly, at the premium rate defined under this 
93.11 	section, on the taxable wages paid to each employee. The commissioner must compute the 
93.12 	premium due from the wage detail report required under section 268B.12 and notify the 
93.13 	employer of the premium due. The premiums must be paid to the family and medical benefit 
93.14 	insurance account and must be received by the department on or before the last day of the 
93.15 	month following the end of the calendar quarter.
93.16 	(b) If for any reason the wages on the wage detail report under section 268B.12 are 
93.17 	adjusted for any quarter, the commissioner must recompute the premiums due for that quarter 
93.18 	and assess the employer for any amount due or credit the employer as appropriate.
93.19 		Subd. 2.Payments by electronic payment required. (a) Every employer must make 
93.20 	any payments due under this chapter by electronic payment.
93.21 	(b) All third-party processors, paying on behalf of a client company, must make any 
93.22 	payments due under this chapter by electronic payment.
93.23 	(c) Regardless of paragraph (a) or (b), the commissioner has the discretion to accept 
93.24 	payment by other means.
93.25 		Subd. 3.Employee charge back. Notwithstanding section 177.24, subdivision 4, or 
93.26 	181.06, subdivision 1, employers and covered business entities may deduct up to 50 percent 
93.27 	of annual premiums paid under this section from employee wages. Such deductions for any 
93.28 	given employee must be in equal proportion to the premiums paid based on the wages of 
93.29 	that employee, and all employees of an employer must be subject to the same percentage 
93.30 	deduction. Deductions under this section must not cause an employee's wage, after the 
93.31 	deduction, to fall below the rate required to be paid to the worker by law, including any 
93.32 	applicable statute, regulation, rule, ordinance, government resolution or policy, contract, or 
93.33 	other legal authority, whichever rate of pay is greater.
94.1 		Subd. 4.Wages and payments subject to premium. The maximum wages subject to 
94.2 	premium in a calendar year is equal to the maximum earnings in that year subject to the 
94.3 	FICA Old-Age, Survivors, and Disability Insurance tax.
94.4 		Subd. 5.Annual premium rates. The employer premium rates for the calendar year 
94.5 	beginning January 1, 2024, shall be as follows:
94.6 	(1) for employers participating in both family and medical benefit programs, 0.6 percent;
94.7 	(2) for an employer participating in only the medical benefit program and with an 
94.8 	approved private plan for the family benefit program, 0.486 percent; and
94.9 	(3) for an employer participating in only the family benefit program and with an approved 
94.10 	private plan for the medical benefit program, 0.114 percent.
94.11 		Subd. 6.Premium rate adjustments. (a) Beginning January 1, 2026, and each calendar 
94.12 	year thereafter, the commissioner must adjust the annual premium rates using the formula 
94.13 	in paragraph (b).
94.14 	(b) To calculate the employer rates for a calendar year, the commissioner must:
94.15 	(1) multiply 1.45 times the amount disbursed from the family and medical benefit 
94.16 	insurance account for the 52-week period ending September 30 of the prior year;
94.17 	(2) subtract the amount in the family and medical benefit insurance account on that 
94.18 	September 30 from the resulting figure;
94.19 	(3) divide the resulting figure by twice the total wages in covered employment of 
94.20 	employees of employers without approved private plans under section 268B.10 for either 
94.21 	the family or medical benefit program. For employers with an approved private plan for 
94.22 	either the medical benefit program or the family benefit program, but not both, count only 
94.23 	the proportion of wages in covered employment associated with the program for which the 
94.24 	employer does not have an approved private plan; and
94.25 	(4) round the resulting figure down to the nearest one-hundredth of one percent.
94.26 	(c) The commissioner must apportion the premium rate between the family and medical 
94.27 	benefit programs based on the relative proportion of expenditures for each program during 
94.28 	the preceding year.
94.29 		Subd. 7.Deposit of premiums. All premiums collected under this section must be 
94.30 	deposited into the family and medical benefit insurance account.
95.1 		Subd. 8.Nonpayment of premiums by employer. The failure of an employer to pay 
95.2 	premiums does not impact the right of an employee to benefits, or any other right, under 
95.3 	this chapter.

95.4 	Sec. 20. [268B.145] INCOME TAX WITHHOLDING.
95.5 	If the Internal Revenue Service determines that benefits are subject to federal income 
95.6 	tax, and an applicant elects to have federal income tax deducted and withheld from the 
95.7 	applicant's benefits, the commissioner must deduct and withhold the amount specified in 
95.8 	the Internal Revenue Code in a manner consistent with state law.

95.9 	Sec. 21. [268B.15] COLLECTION OF PREMIUMS.
95.10 		Subdivision 1.Amount computed presumed correct. Any amount due from an 
95.11 	employer, as computed by the commissioner, is presumed to be correctly determined and 
95.12 	assessed, and the burden is upon the employer to show its incorrectness. A statement by the 
95.13 	commissioner of the amount due is admissible in evidence in any court or administrative 
95.14 	proceeding and is prima facie evidence of the facts in the statement.
95.15 		Subd. 2.Priority of payments. (a) Any payment received from an employer must be 
95.16 	applied in the following order:
95.17 	(1) family and medical leave premiums under this chapter; then
95.18 	(2) interest on past due premiums; then
95.19 	(3) penalties, late fees, administrative service fees, and costs.
95.20 	(b) Paragraph (a) is the priority used for all payments received from an employer, 
95.21 	regardless of how the employer may designate the payment to be applied, except when:
95.22 	(1) there is an outstanding lien and the employer designates that the payment made 
95.23 	should be applied to satisfy the lien;
95.24 	(2) the payment is specifically designated by the employer to be applied to an outstanding 
95.25 	overpayment of benefits of an applicant;
95.26 	(3) a court or administrative order directs that the payment be applied to a specific 
95.27 	obligation;
95.28 	(4) a preexisting payment plan provides for the application of payment; or
95.29 	(5) the commissioner, under the compromise authority of section 268B.16, agrees to 
95.30 	apply the payment to a different priority.
96.1 		Subd. 3.Estimating the premium due. Only if an employer fails to make all necessary 
96.2 	records available for an audit under section 268B.21 and the commissioner has reason to 
96.3 	believe the employer has not reported all the required wages on the quarterly wage detail 
96.4 	reports, may the commissioner then estimate the amount of premium due and assess the 
96.5 	employer the estimated amount due.
96.6 		Subd. 4.Costs. (a) Any employer and any applicant subject to section 268B.185, 
96.7 	subdivision 2, that fails to pay any amount when due under this chapter is liable for any 
96.8 	filing fees, recording fees, sheriff fees, costs incurred by referral to any public or private 
96.9 	collection agency, or litigation costs, including attorney fees, incurred in the collection of 
96.10 	the amounts due.
96.11 	(b) If any tendered payment of any amount due is not honored when presented to a 
96.12 	financial institution for payment, any costs assessed the department by the financial institution 
96.13 	and a fee of $25 must be assessed to the person.
96.14 	(c) Costs and fees collected under this subdivision are credited to the enforcement account 
96.15 	under section 268B.185, subdivision 3.
96.16 		Subd. 5.Interest on amounts past due. If any amounts due from an employer under 
96.17 	this chapter are not received on the date due, the commissioner must assess interest on any 
96.18 	amount that remains unpaid. Interest is assessed at the rate of one percent per month or any 
96.19 	part of a month. Interest is not assessed on unpaid interest. Interest collected under this 
96.20 	subdivision is credited to the account.
96.21 		Subd. 6.Interest on judgments. Regardless of section 549.09, if a judgment is entered 
96.22 	upon any past due amounts from an employer under this chapter, the unpaid judgment bears 
96.23 	interest at the rate specified in subdivision 5 until the date of payment.
96.24 		Subd. 7.Credit adjustments; refunds. (a) If an employer makes an application for a 
96.25 	credit adjustment of any amount paid under this chapter within four years of the date that 
96.26 	the payment was due, in a manner and format prescribed by the commissioner, and the 
96.27 	commissioner determines that the payment or any portion thereof was erroneous, the 
96.28 	commissioner must make an adjustment and issue a credit without interest. If a credit cannot 
96.29 	be used, the commissioner must refund, without interest, the amount erroneously paid. The 
96.30 	commissioner, on the commissioner's own motion, may make a credit adjustment or refund 
96.31 	under this subdivision.
96.32 	(b) Any refund returned to the commissioner is considered unclaimed property under 
96.33 	chapter 345.
97.1 	(c) If a credit adjustment or refund is denied in whole or in part, a determination of denial 
97.2 	must be sent to the employer by mail or electronic transmission. The determination of denial 
97.3 	is final unless an employer files an appeal within 20 calendar days after sending. Proceedings 
97.4 	on the appeal are conducted in accordance with section 268B.08.
97.5 	(d) If an employer receives a credit adjustment or refund under this section, the employer 
97.6 	must determine the amount of any overpayment attributable to a deduction from employee 
97.7 	wages under section 268B.14, subdivision 3, and return any amount erroneously deducted 
97.8 	to each affected employee.
97.9 		Subd. 8.Priorities under legal dissolutions or distributions. In the event of any 
97.10 	distribution of an employer's assets according to an order of any court, including any 
97.11 	receivership, assignment for benefit of creditors, adjudicated insolvency, or similar 
97.12 	proceeding, premiums then or thereafter due must be paid in full before all other claims 
97.13 	except claims for wages of not more than $1,000 per former employee, earned within six 
97.14 	months of the commencement of the proceedings. In the event of an employer's adjudication 
97.15 	in bankruptcy under federal law, premiums then or thereafter due are entitled to the priority 
97.16 	provided in that law for taxes due in any state.

97.17 	Sec. 22. [268B.155] CHILD SUPPORT DEDUCTION FROM BENEFITS.
97.18 		Subdivision 1.Definitions. As used in this section:
97.19 	(1) "child support agency" means the public agency responsible for child support 
97.20 	enforcement, including federally approved comprehensive Tribal IV-D programs; and
97.21 	(2) "child support obligations" means obligations that are being enforced by a child 
97.22 	support agency in accordance with a plan described in United States Code, title 42, sections 
97.23 	454 and 455 of the Social Security Act that has been approved by the secretary of health 
97.24 	and human services under part D of title IV of the Social Security Act. This does not include 
97.25 	any type of spousal maintenance or foster care payments.
97.26 		Subd. 2.Notice upon application. In an application for family or medical leave benefits, 
97.27 	the applicant must disclose if child support obligations are owed and, if so, in what state 
97.28 	and county. If child support obligations are owed, the commissioner must, if the applicant 
97.29 	establishes a benefit account, notify the child support agency.
97.30 		Subd. 3.Withholding of benefit. The commissioner must deduct and withhold from 
97.31 	any family or medical leave benefits payable to an applicant who owes child support 
97.32 	obligations:
97.33 	(1) the amount required under a proper order of a court or administrative agency; or
98.1 	(2) if clause (1) is not applicable, the amount determined under an agreement under 
98.2 	United States Code, title 42, section 454 (20)(B)(i), of the Social Security Act; or
98.3 	(3) if clause (1) or (2) is not applicable, the amount specified by the applicant.
98.4 		Subd. 4.Payment. Any amount deducted and withheld must be paid to the child support 
98.5 	agency, must for all purposes be treated as if it were paid to the applicant as family or 
98.6 	medical leave benefits and paid by the applicant to the child support agency in satisfaction 
98.7 	of the applicant's child support obligations.
98.8 		Subd. 5.Payment of costs. The child support agency must pay the costs incurred by 
98.9 	the commissioner in the implementation and administration of this section and sections 
98.10 	518A.50 and 518A.53.

98.11 	Sec. 23. [268B.16] COMPROMISE.
98.12 	(a) The commissioner may compromise in whole or in part any action, determination, 
98.13 	or decision that affects only an employer and not an applicant. This paragraph applies if it 
98.14 	is determined by a court of law, or a confession of judgment, that an applicant, while 
98.15 	employed, wrongfully took from the employer $500 or more in money or property.
98.16 	(b) The commissioner may at any time compromise any premium or reimbursement due 
98.17 	from an employer under this chapter.
98.18 	(c) Any compromise involving an amount over $10,000 must be authorized by an attorney 
98.19 	licensed to practice law in Minnesota who is an employee of the department designated by 
98.20 	the commissioner for that purpose.
98.21 	(d) Any compromise must be in the best interest of the state of Minnesota.

98.22 	Sec. 24. [268B.17] ADMINISTRATIVE COSTS.
98.23 	From January 1, 2024, through December 31, 2024, the commissioner may spend up to 
98.24 	seven percent of premiums collected under section 268B.15 for administration of this chapter. 
98.25 	Beginning January 1, 2025, and each calendar year thereafter, the commissioner may spend 
98.26 	up to seven percent of projected benefit payments for that calendar year for the administration 
98.27 	of this chapter. The department may enter into interagency agreements with the Department 
98.28 	of Labor and Industry, including agreements to transfer funds, subject to the limit in this 
98.29 	section, for the Department of Labor and Industry to fulfill its enforcement authority of this 
98.30 	chapter.

99.1 	Sec. 25. [268B.18] PUBLIC OUTREACH.
99.2 	Beginning January 1, 2024, the commissioner must use at least 0.5 percent of revenue 
99.3 	collected under this chapter for the purpose of outreach, education, and technical assistance 
99.4 	for employees, employers, and self-employed individuals eligible to elect coverage under 
99.5 	section 268B.11. The department may enter into interagency agreements with the Department 
99.6 	of Labor and Industry, including agreements to transfer funds, subject to the limit in section 
99.7 	268B.17, to accomplish the requirements of this section. At least one-half of the amount 
99.8 	spent under this section must be used for grants to community-based groups.

99.9 	Sec. 26. [268B.185] BENEFIT OVERPAYMENTS.
99.10 		Subdivision 1.Repaying an overpayment. (a) Any applicant who (1) because of a 
99.11 	determination or amended determination issued under this chapter, or (2) because of a 
99.12 	benefit law judge's decision under section 268B.08, has received any family or medical 
99.13 	leave benefits that the applicant was held not entitled to, is overpaid the benefits and must 
99.14 	promptly repay the benefits to the family and medical benefit insurance account.
99.15 	(b) If the applicant fails to repay the benefits overpaid, including any penalty and interest 
99.16 	assessed under subdivisions 2 and 4, the total due may be collected by the methods allowed 
99.17 	under state and federal law.
99.18 		Subd. 2.Overpayment because of misrepresentation. (a) An applicant has committed 
99.19 	misrepresentation if the applicant is overpaid benefits by making a false statement or 
99.20 	representation without a good faith belief as to the correctness of the statement or 
99.21 	representation.
99.22 	(b) After the discovery of facts indicating misrepresentation, the commissioner must 
99.23 	issue a determination of overpayment penalty assessing a penalty equal to 20 percent of the 
99.24 	amount overpaid. This penalty is in addition to penalties under section 268B.19.
99.25 	(c) Unless the applicant files an appeal within 30 calendar days after the sending of a 
99.26 	determination of overpayment penalty to the applicant by mail or electronic transmission, 
99.27 	or within 60 calendar days, if the applicant establishes good cause for not appealing within 
99.28 	30 days, the determination is final. For the purposes of this paragraph, "good cause" means 
99.29 	a reason that would have prevented an applicant from acting with due diligence in appealing 
99.30 	within 30 days and includes any illness, disability, or linguistic and literacy limitation of 
99.31 	the applicant, along with other relevant factors. If an applicant claims good cause for a late 
99.32 	appeal, the applicant must be granted a hearing on the issue of timeliness. This hearing can 
100.1 	be held at the same time as a hearing on the merits of the appeal. Proceedings on the appeal 
100.2 	are conducted in accordance with section 268B.08.
100.3 	(d) A determination of overpayment penalty must state the methods of collection the 
100.4 	commissioner may use to recover the overpayment, penalty, and interest assessed. Money 
100.5 	received in repayment of overpaid benefits, penalties, and interest is first applied to the 
100.6 	benefits overpaid, second to the penalty amount due, and third to any interest due.
100.7 	(e) The department is authorized to issue a determination of overpayment penalty under 
100.8 	this subdivision within 48 months of the establishment of the benefit account upon which 
100.9 	the benefits were obtained through misrepresentation.
100.10 		Subd. 3.Family and medical benefit insurance enforcement account created. The 
100.11 	family and medical benefit insurance enforcement account is created in the state treasury. 
100.12 	Any penalties and interest collected under this section shall be deposited into the account 
100.13 	under this subdivision and shall be used only for the purposes of administering and enforcing 
100.14 	this chapter. Only the commissioner may authorize expenditures from the account under 
100.15 	this subdivision.
100.16 		Subd. 4.Interest. For any family and medical leave benefits obtained by 
100.17 	misrepresentation, and any penalty amounts assessed under subdivision 2, the commissioner 
100.18 	must assess interest on any amount that remains unpaid beginning 30 calendar days after 
100.19 	the date of a determination of overpayment penalty. Interest is assessed at the rate of one 
100.20 	percent per month or any part of a month. A determination of overpayment penalty must 
100.21 	state that interest will be assessed. Interest is not assessed on unpaid interest. Interest collected 
100.22 	under this subdivision is credited to the family and medical benefit insurance enforcement 
100.23 	account.
100.24 		Subd. 5.Offset of benefits. The commissioner may offset from any future family and 
100.25 	medical leave benefits otherwise payable the amount of a nonmisrepresentation overpayment. 
100.26 	Except when the nonmisrepresentation overpayment resulted because the applicant failed 
100.27 	to report deductible earnings or deductible or benefit delaying payments, no single offset 
100.28 	may exceed 50 percent of the amount of the payment from which the offset is made.
100.29 		Subd. 6.Cancellation of overpayments. (a) If family and medical leave benefits overpaid 
100.30 	for reasons other than misrepresentation are not repaid or offset from subsequent benefits 
100.31 	within six years after the date of the determination or decision holding the applicant overpaid, 
100.32 	the commissioner must cancel the overpayment balance, and no administrative or legal 
100.33 	proceedings may be used to enforce collection of those amounts.
101.1 	(b) If family and medical leave benefits overpaid because of misrepresentation including 
101.2 	penalties and interest are not repaid within ten years after the date of the determination of 
101.3 	overpayment penalty, the commissioner must cancel the overpayment balance and any 
101.4 	penalties and interest due, and no administrative or legal proceeding may be used to enforce 
101.5 	collection of those amounts.
101.6 	(c) The commissioner may cancel at any time any overpayment, including penalties and 
101.7 	interest that the commissioner determines is uncollectible because of death or bankruptcy.
101.8 		Subd. 7.Court fees; collection fees. (a) If the department is required to pay any court 
101.9 	fees in an attempt to enforce collection of overpaid family and medical leave benefits, 
101.10 	penalties, or interest, the amount of the court fees may be added to the total amount due.
101.11 	(b) If an applicant who has been overpaid family and medical leave benefits because of 
101.12 	misrepresentation seeks to have any portion of the debt discharged under the federal 
101.13 	bankruptcy code, and the department files an objection in bankruptcy court to the discharge, 
101.14 	the cost of any court fees may be added to the debt if the bankruptcy court does not discharge 
101.15 	the debt.
101.16 	(c) If the Internal Revenue Service assesses the department a fee for offsetting from a 
101.17 	federal tax refund the amount of any overpayment, including penalties and interest, the 
101.18 	amount of the fee may be added to the total amount due. The offset amount must be put in 
101.19 	the family and medical benefit insurance enforcement account and that amount credited to 
101.20 	the total amount due from the applicant.
101.21 		Subd. 8.Collection of overpayments. (a) The commissioner has discretion regarding 
101.22 	the recovery of any overpayment for reasons other than misrepresentation. Regardless of 
101.23 	any law to the contrary, the commissioner is not required to refer any overpayment for 
101.24 	reasons other than misrepresentation to a public or private collection agency, including 
101.25 	agencies of this state.
101.26 	(b) Amounts overpaid for reasons other than misrepresentation are not considered a 
101.27 	"debt" to the state of Minnesota for purposes of any reporting requirements to the 
101.28 	commissioner of management and budget.
101.29 	(c) A pending appeal under section 268B.08 does not suspend the assessment of interest, 
101.30 	penalties, or collection of an overpayment.
101.31 	(d) Section 16A.626 applies to the repayment by an applicant of any overpayment, 
101.32 	penalty, or interest.

102.1 	Sec. 27. [268B.19] APPLICANT ADMINISTRATIVE PENALTIES.
102.2 	(a) Any applicant who makes a false statement or representation without a good faith 
102.3 	belief as to the correctness of the statement or representation in order to obtain or in an 
102.4 	attempt to obtain benefits may be assessed, in addition to any other penalties, an 
102.5 	administrative penalty of being ineligible for benefits for 13 to 104 weeks.
102.6 	(b) A determination of ineligibility setting out the weeks the applicant is ineligible must 
102.7 	be sent to the applicant by mail or electronic transmission. The department is authorized to 
102.8 	issue a determination of ineligibility under this subdivision within 48 months of the 
102.9 	establishment of the benefit account upon which the benefits were obtained, or attempted 
102.10 	to be obtained. Unless an appeal is filed within 20 calendar days of sending, the determination 
102.11 	is final. Proceedings on the appeal are conducted in accordance with section 268B.08.

102.12 	Sec. 28. [268B.20] EMPLOYER MISCONDUCT; PENALTY.
102.13 	(a) The commissioner must penalize an employer if that employer or any employee, 
102.14 	officer, or agent of that employer is in collusion with any applicant for the purpose of 
102.15 	assisting the applicant in receiving benefits fraudulently. The penalty is $500 or the amount 
102.16 	of benefits determined to be overpaid, whichever is greater.
102.17 	(b) The commissioner must penalize an employer if that employer or any employee, 
102.18 	officer, or agent of that employer:
102.19 	(1) made a false statement or representation knowing it to be false;
102.20 	(2) made a false statement or representation without a good-faith belief as to the 
102.21 	correctness of the statement or representation; or
102.22 	(3) knowingly failed to disclose a material fact.
102.23 	(c) The penalty is the greater of $500 or 50 percent of the following resulting from the 
102.24 	employer's action:
102.25 	(1) the amount of any overpaid benefits to an applicant;
102.26 	(2) the amount of benefits not paid to an applicant that would otherwise have been paid; 
102.27 	or
102.28 	(3) the amount of any payment required from the employer under this chapter that was 
102.29 	not paid.
102.30 	(d) Penalties must be paid within 30 calendar days of issuance of the determination of 
102.31 	penalty and credited to the family and medical benefit insurance account.
103.1 	(e) The determination of penalty is final unless the employer files an appeal within 30 
103.2 	calendar days after the sending of the determination of penalty to the employer by United 
103.3 	States mail or electronic transmission.

103.4 	Sec. 29. [268B.21] RECORDS; AUDITS.
103.5 		Subdivision 1.Employer records; audits. (a) Each employer must keep true and accurate 
103.6 	records on individuals performing services for the employer, containing the information 
103.7 	the commissioner may require under this chapter. The records must be kept for a period of 
103.8 	not less than four years in addition to the current calendar year.
103.9 	(b) For the purpose of administering this chapter, the commissioner has the power to 
103.10 	audit, examine, or cause to be supplied or copied, any books, correspondence, papers, 
103.11 	records, or memoranda that are the property of, or in the possession of, an employer or any 
103.12 	other person at any reasonable time and as often as may be necessary. Subpoenas may be 
103.13 	issued under section 268B.22 as necessary, for an audit.
103.14 	(c) An employer or other person that refuses to allow an audit of its records by the 
103.15 	department or that fails to make all necessary records available for audit in the state upon 
103.16 	request of the commissioner may be assessed an administrative penalty of $500. The penalty 
103.17 	collected is credited to the family and medical benefit insurance account.
103.18 	(d) An employer, or other person, that fails to provide a weekly breakdown of money 
103.19 	earned by an applicant upon request of the commissioner, information necessary for the 
103.20 	detection of applicant misrepresentation under section 268B.185, subdivision 2, may be 
103.21 	assessed an administrative penalty of $100. Any notice requesting a weekly breakdown 
103.22 	must clearly state that a $100 penalty may be assessed for failure to provide the information. 
103.23 	The penalty collected is credited to the family and medical benefit insurance account.
103.24 		Subd. 2.Department records; destruction. (a) The commissioner may make summaries, 
103.25 	compilations, duplications, or reproductions of any records pertaining to this chapter that 
103.26 	the commissioner considers advisable for the preservation of the information.
103.27 	(b) Regardless of any law to the contrary, the commissioner may destroy any records 
103.28 	that are no longer necessary for the administration of this chapter. In addition, the 
103.29 	commissioner may destroy any record from which the information has been electronically 
103.30 	captured and stored.

104.1 	Sec. 30. [268B.22] SUBPOENAS; OATHS.
104.2 	(a) The commissioner or benefit judge has authority to administer oaths and affirmations, 
104.3 	take depositions, certify to official acts, and issue subpoenas to compel the attendance of 
104.4 	individuals and the production of documents and other personal property necessary in 
104.5 	connection with the administration of this chapter.
104.6 	(b) Individuals subpoenaed, other than applicants or officers and employees of an 
104.7 	employer that is the subject of the inquiry, are paid witness fees the same as witness fees 
104.8 	in civil actions in district court. The fees need not be paid in advance.
104.9 	(c) The subpoena is enforceable through the district court in Ramsey County.

104.10 	Sec. 31. [268B.23] LIEN; LEVY; SETOFF; AND CIVIL ACTION.
104.11 		Subdivision 1.Lien. (a) Any amount due under this chapter, from an applicant or an 
104.12 	employer, becomes a lien upon all the property, within this state, both real and personal, of 
104.13 	the person liable, from the date of assessment. For the purposes of this section, "date of 
104.14 	assessment" means the date the obligation was due.
104.15 	(b) The lien is not enforceable against any purchaser, mortgagee, pledgee, holder of a 
104.16 	Uniform Commercial Code security interest, mechanic's lien, or judgment lien creditor, 
104.17 	until a notice of lien has been filed with the county recorder of the county where the property 
104.18 	is situated, or in the case of personal property belonging to a nonresident person in the Office 
104.19 	of the Secretary of State. When the notice of lien is filed with the county recorder, the fee 
104.20 	for filing and indexing is as provided in sections 272.483 and 272.484.
104.21 	(c) Notices of liens, lien renewals, and lien releases, in a form prescribed by the 
104.22 	commissioner, may be filed with the county recorder or the secretary of state by mail, 
104.23 	personal delivery, or electronic transmission into the computerized filing system of the 
104.24 	secretary of state. The secretary of state must, on any notice filed with that office, transmit 
104.25 	the notice electronically to the appropriate county recorder. The filing officer, whether the 
104.26 	county recorder or the secretary of state, must endorse and index a printout of the notice as 
104.27 	if the notice had been mailed or delivered.
104.28 	(d) County recorders and the secretary of state must enter information on lien notices, 
104.29 	renewals, and releases into the central database of the secretary of state. For notices filed 
104.30 	electronically with the county recorders, the date and time of receipt of the notice and county 
104.31 	recorder's file number, and for notices filed electronically with the secretary of state, the 
104.32 	secretary of state's recording information, must be entered into the central database before 
104.33 	the close of the working day following the day of the original data entry by the commissioner.
105.1 	(e) The lien imposed on personal property, even though properly filed, is not enforceable 
105.2 	against a purchaser of tangible personal property purchased at retail or personal property 
105.3 	listed as exempt in sections 550.37, 550.38, and 550.39.
105.4 	(f) A notice of lien filed has priority over any security interest arising under chapter 336, 
105.5 	article 9, that is perfected prior in time to the lien imposed by this subdivision, but only if:
105.6 	(1) the perfected security interest secures property not in existence at the time the notice 
105.7 	of lien is filed; and
105.8 	(2) the property comes into existence after the 45th calendar day following the day the 
105.9 	notice of lien is filed, or after the secured party has actual notice or knowledge of the lien 
105.10 	filing, whichever is earlier.
105.11 	(g) The lien is enforceable from the time the lien arises and for ten years from the date 
105.12 	of filing the notice of lien. A notice of lien may be renewed before expiration for an additional 
105.13 	ten years.
105.14 	(h) The lien is enforceable by levy under subdivision 2 or by judgment lien foreclosure 
105.15 	under chapter 550.
105.16 	(i) The lien may be imposed upon property defined as homestead property in chapter 
105.17 	510 but may be enforced only upon the sale, transfer, or conveyance of the homestead 
105.18 	property.
105.19 	(j) The commissioner may sell and assign to a third party the commissioner's right of 
105.20 	redemption in specific real property for liens filed under this subdivision. The assignee is 
105.21 	limited to the same rights of redemption as the commissioner, except that in a bankruptcy 
105.22 	proceeding, the assignee does not obtain the commissioner's priority. Any proceeds from 
105.23 	the sale of the right of redemption are credited to the family and medical benefit insurance 
105.24 	account.
105.25 		Subd. 2.Levy. (a) If any amount due under this chapter, from an applicant or an employer, 
105.26 	is not paid when due, the amount may be collected by the commissioner by direct levy upon 
105.27 	all property and rights of property of the person liable for the amount due except property 
105.28 	exempt from execution under section 550.37. For the purposes of this section, "levy" includes 
105.29 	the power of distraint and seizure by any means.
105.30 	(b) In addition to a direct levy, the commissioner may issue a warrant to the sheriff of 
105.31 	any county who must proceed within 60 calendar days to levy upon the property or rights 
105.32 	to property of the delinquent person within the county, except property exempt under section 
105.33 	550.37. The sheriff must sell that property necessary to satisfy the total amount due, together 
106.1 	with the commissioner's and sheriff's costs. The sales are governed by the law applicable 
106.2 	to sales of like property on execution of a judgment.
106.3 	(c) Notice and demand for payment of the total amount due must be mailed to the 
106.4 	delinquent person at least ten calendar days before action being taken under paragraphs (a) 
106.5 	and (b).
106.6 	(d) If the commissioner has reason to believe that collection of the amount due is in 
106.7 	jeopardy, notice and demand for immediate payment may be made. If the total amount due 
106.8 	is not paid, the commissioner may proceed to collect by direct levy or issue a warrant without 
106.9 	regard to the ten calendar day period.
106.10 	(e) In executing the levy, the commissioner must have all of the powers provided in 
106.11 	chapter 550 or any other law that provides for execution against property in this state. The 
106.12 	sale of property levied upon and the time and manner of redemption is as provided in chapter 
106.13 	550. The seal of the court is not required. The levy may be made whether or not the 
106.14 	commissioner has commenced a legal action for collection.
106.15 	(f) Where any assessment has been made by the commissioner, the property seized for 
106.16 	collection of the total amount due must not be sold until any determination of liability has 
106.17 	become final. No sale may be made unless a portion of the amount due remains unpaid for 
106.18 	a period of more than 30 calendar days after the determination of liability becomes final. 
106.19 	Seized property may be sold at any time if:
106.20 	(1) the delinquent person consents in writing to the sale; or
106.21 	(2) the commissioner determines that the property is perishable or may become greatly 
106.22 	reduced in price or value by keeping, or that the property cannot be kept without great 
106.23 	expense.
106.24 	(g) Where a levy has been made to collect the amount due and the property seized is 
106.25 	properly included in a formal proceeding commenced under sections 524.3-401 to 524.3-505 
106.26 	and maintained under full supervision of the court, the property may not be sold until the 
106.27 	probate proceedings are completed or until the court orders.
106.28 	(h) The property seized must be returned if the owner:
106.29 	(1) gives a surety bond equal to the appraised value of the owner's interest in the property, 
106.30 	as determined by the commissioner; or
106.31 	(2) deposits with the commissioner security in a form and amount the commissioner 
106.32 	considers necessary to insure payment of the liability.
107.1 	(i) If a levy or sale would irreparably injure rights in property that the court determines 
107.2 	superior to rights of the state, the court may grant an injunction to prohibit the enforcement 
107.3 	of the levy or to prohibit the sale.
107.4 	(j) Any person who fails or refuses to surrender without reasonable cause any property 
107.5 	or rights to property subject to levy is personally liable in an amount equal to the value of 
107.6 	the property or rights not so surrendered, but not exceeding the amount due.
107.7 	(k) If the commissioner has seized the property of any individual, that individual may, 
107.8 	upon giving 48 hours notice to the commissioner and to the court, bring a claim for equitable 
107.9 	relief before the district court for the release of the property upon terms and conditions the 
107.10 	court considers equitable.
107.11 	(l) Any person in control or possession of property or rights to property upon which a 
107.12 	levy has been made who surrenders the property or rights to property, or who pays the 
107.13 	amount due is discharged from any obligation or liability to the person liable for the amount 
107.14 	due with respect to the property or rights to property.
107.15 	(m) The notice of any levy may be served personally or by mail.
107.16 	(n) The commissioner may release the levy upon all or part of the property or rights to 
107.17 	property levied upon if the commissioner determines that the release will facilitate the 
107.18 	collection of the liability, but the release does not prevent any subsequent levy. If the 
107.19 	commissioner determines that property has been wrongfully levied upon, the commissioner 
107.20 	must return:
107.21 	(1) the specific property levied upon, at any time; or
107.22 	(2) an amount of money equal to the amount of money levied upon, at any time before 
107.23 	the expiration of nine months from the date of levy.
107.24 	(o) Regardless of section 52.12, a levy upon a person's funds on deposit in a financial 
107.25 	institution located in this state, has priority over any unexercised right of setoff of the 
107.26 	financial institution to apply the levied funds toward the balance of an outstanding loan or 
107.27 	loans owed by the person to the financial institution. A claim by the financial institution 
107.28 	that it exercised its right to setoff before the levy must be substantiated by evidence of the 
107.29 	date of the setoff, and verified by an affidavit from a corporate officer of the financial 
107.30 	institution. For purposes of determining the priority of any levy under this subdivision, the 
107.31 	levy is treated as if it were an execution under chapter 550.
107.32 		Subd. 3.Right of setoff. (a) Upon certification by the commissioner to the commissioner 
107.33 	of management and budget, or to any state agency that disburses its own funds, that a person, 
108.1 	applicant, or employer has a liability under this chapter, and that the state has purchased 
108.2 	personal services, supplies, contract services, or property from that person, the commissioner 
108.3 	of management and budget or the state agency must set off and pay to the commissioner an 
108.4 	amount sufficient to satisfy the unpaid liability from funds appropriated for payment of the 
108.5 	obligation of the state otherwise due the person. No amount may be set off from any funds 
108.6 	exempt under section 550.37 or funds due an individual who receives assistance under 
108.7 	chapter 256.
108.8 	(b) All funds, whether general or dedicated, are subject to setoff.
108.9 	(c) Regardless of any law to the contrary, the commissioner has first priority to setoff 
108.10 	from any funds otherwise due from the department to a delinquent person.
108.11 		Subd. 4.Collection by civil action. (a) Any amount due under this chapter, from an 
108.12 	applicant or employer, may be collected by civil action in the name of the state of Minnesota. 
108.13 	Civil actions brought under this subdivision must be heard as provided under section 16D.14. 
108.14 	In any action, judgment must be entered in default for the relief demanded in the complaint 
108.15 	without proof, together with costs and disbursements, upon the filing of an affidavit of 
108.16 	default.
108.17 	(b) Any person that is not a resident of this state and any resident person removed from 
108.18 	this state, is considered to appoint the secretary of state as its agent for the acceptance of 
108.19 	process in any civil action. The commissioner must file process with the secretary of state, 
108.20 	together with a payment of a fee of $15 and that service is considered sufficient service and 
108.21 	has the same force and validity as if served personally within this state. Notice of the service 
108.22 	of process, together with a copy of the process, must be sent by certified mail to the person's 
108.23 	last known address. An affidavit of compliance with this subdivision, and a copy of the 
108.24 	notice of service must be appended to the original of the process and filed in the court.
108.25 	(c) No court filing fees, docketing fees, or release of judgment fees may be assessed 
108.26 	against the state for actions under this subdivision.
108.27 		Subd. 5.Injunction forbidden. No injunction or other legal action to prevent the 
108.28 	determination, assessment, or collection of any amounts due under this chapter, from an 
108.29 	applicant or employer, are allowed.

108.30 	Sec. 32. [268B.24] CONCILIATION SERVICES.
108.31 	The Department of Labor and Industry may offer conciliation services to employers and 
108.32 	employees to resolve disputes concerning alleged violations of employment protections 
108.33 	identified in section 268B.09.

109.1 	Sec. 33. [268B.25] ANNUAL REPORTS.
109.2 	(a) Beginning on or before December 1, 2024, the commissioner must annually report 
109.3 	to the Department of Management and Budget and the house of representatives and senate 
109.4 	committee chairs with jurisdiction over this chapter on program administrative expenditures 
109.5 	and revenue collection for the prior fiscal year, including but not limited to:
109.6 	(1) total revenue raised through premium collection;
109.7 	(2) the number of self-employed individuals or independent contractors electing coverage 
109.8 	under section 268B.11 and amount of associated revenue;
109.9 	(3) the number of covered business entities paying premiums under this chapter and 
109.10 	associated revenue;
109.11 	(4) administrative expenditures including transfers to other state agencies expended in 
109.12 	the administration of the chapter;
109.13 	(5) summary of contracted services expended in the administration of this chapter;
109.14 	(6) grant amounts and recipients under sections 268B.29 and 268B.18;
109.15 	(7) an accounting of required outreach expenditures;
109.16 	(8) summary of private plan approvals including the number of employers and employees 
109.17 	covered under private plans; and
109.18 	(9) adequacy and use of the private plan approval and oversight fee.
109.19 	(b) Beginning on or before December 1, 2025, the commissioner must annually publish 
109.20 	a publicly available report providing the following information for the previous fiscal year:
109.21 	(1) total eligible claims;
109.22 	(2) the number and percentage of claims attributable to each category of benefit;
109.23 	(3) claimant demographics by age, gender, average weekly wage, occupation, and the 
109.24 	type of leave taken;
109.25 	(4) the percentage of claims denied and the reasons therefor, including but not limited 
109.26 	to insufficient information and ineligibility and the reason therefor;
109.27 	(5) average weekly benefit amount paid for all claims and by category of benefit;
109.28 	(6) changes in the benefits paid compared to previous fiscal years;
109.29 	(7) processing times for initial claims processing, initial determinations, and final 
109.30 	decisions;
110.1 	(8) average duration for cases completed; and
110.2 	(9) the number of cases remaining open at the close of such year.

110.3 	Sec. 34. [268B.26] NOTICE REQUIREMENTS.
110.4 	(a) Each employer must post in a conspicuous place on each of its premises a workplace 
110.5 	notice prepared or approved by the commissioner providing notice of benefits available 
110.6 	under this chapter. The required workplace notice must be in English and each language 
110.7 	other than English which is the primary language of five or more employees or independent 
110.8 	contractors of that workplace, if such notice is available from the department.
110.9 	(b) Each employer must issue to each employee not more than 30 days from the beginning 
110.10 	date of the employee's employment, or 30 days before premium collection begins, whichever 
110.11 	is later, the following written information provided or approved by the department in the 
110.12 	primary language of the employee:
110.13 	(1) an explanation of the availability of family and medical leave benefits provided under 
110.14 	this chapter, including rights to reinstatement and continuation of health insurance;
110.15 	(2) the amount of premium deductions made by the employer under this chapter;
110.16 	(3) the employer's premium amount and obligations under this chapter;
110.17 	(4) the name and mailing address of the employer;
110.18 	(5) the identification number assigned to the employer by the department;
110.19 	(6) instructions on how to file a claim for family and medical leave benefits;
110.20 	(7) the mailing address, e-mail address, and telephone number of the department; and
110.21 	(8) any other information required by the department.
110.22 	Delivery is made when an employee provides written acknowledgment of receipt of the 
110.23 	information, or signs a statement indicating the employee's refusal to sign such 
110.24 	acknowledgment.
110.25 	(c) Each employer shall provide to each independent contractor with whom it contracts, 
110.26 	at the time such contract is made or, for existing contracts, within 30 days of the effective 
110.27 	date of this section, the following written information provided or approved by the department 
110.28 	in the self-employed individual's primary language:
110.29 	(1) the address and telephone number of the department; and
110.30 	(2) any other information required by the department.
111.1 	(d) An employer that fails to comply with this subdivision may be issued, for a first 
111.2 	violation, a civil penalty of $50 per employee and per independent contractor with whom 
111.3 	it has contracted, and for each subsequent violation, a civil penalty of $300 per employee 
111.4 	or self-employed individual with whom it has contracted. The employer shall have the 
111.5 	burden of demonstrating compliance with this section.
111.6 	(e) Employer notice to an employee under this section may be provided in paper or 
111.7 	electronic format. For notice provided in electronic format only, the employer must provide 
111.8 	employee access to an employer-owned computer during an employee's regular working 
111.9 	hours to review and print required notices.

111.10 	Sec. 35. [268B.27] RELATIONSHIP TO OTHER LEAVE; CONSTRUCTION.
111.11 		Subdivision 1.Concurrent leave. An employer may require leave taken under this 
111.12 	chapter to run concurrently with leave taken for the same purpose under section 181.941 
111.13 	or the Family and Medical Leave Act, United States Code, title 29, sections 2601 to 2654, 
111.14 	as amended.
111.15 		Subd. 2.Construction. Nothing in this chapter shall be construed to:
111.16 	(1) allow an employer to compel an employee to exhaust accumulated sick, vacation, 
111.17 	or personal time before or while taking leave under this chapter;
111.18 	(2) except as provided under section 268B.01, subdivision 37, prohibit an employer 
111.19 	from providing additional benefits, including but not limited to covering the portion of 
111.20 	earnings not provided under this chapter during periods of leave covered under this chapter; 
111.21 	or
111.22 	(3) limit the parties to a collective bargaining agreement from bargaining and agreeing 
111.23 	with respect to leave benefits and related procedures and employee protections that meet 
111.24 	or exceed, and do not otherwise conflict with, the minimum standards and requirements in 
111.25 	this chapter.

111.26 	Sec. 36. [268B.28] SEVERABLE.
111.27 	If the United States Department of Labor or a court of competent jurisdiction determines 
111.28 	that any provision of the family and medical benefit insurance program under this chapter 
111.29 	is not in conformity with, or is inconsistent with, the requirements of federal law, the 
111.30 	provision has no force or effect. If only a portion of the provision, or the application to any 
111.31 	person or circumstances, is determined not in conformity, or determined inconsistent, the 
112.1 	remainder of the provision and the application of the provision to other persons or 
112.2 	circumstances are not affected.

112.3 	Sec. 37. [268B.29] SMALL BUSINESS ASSISTANCE GRANTS.
112.4 	(a) Employers with 50 or fewer employees may apply to the department for grants under 
112.5 	this section.
112.6 	(b) The commissioner may approve a grant of up to $3,000 if the employer hires a 
112.7 	temporary worker to replace an employee on family or medical leave for a period of seven 
112.8 	days or more.
112.9 	(c) For an employee's family or medical leave, the commissioner may approve a grant 
112.10 	of up to $1,000 as reimbursement for significant additional wage-related costs due to the 
112.11 	employee's leave.
112.12 	(d) To be eligible for consideration for a grant under this section, the employer must 
112.13 	provide the department written documentation showing the temporary worker hired or 
112.14 	significant wage-related costs incurred are due to an employee's use of leave under this 
112.15 	chapter.
112.16 	(e) The grants under this section may be funded from the family and medical benefit 
112.17 	insurance account.
112.18 	(f) For the purposes of this section, the commissioner shall average the number of 
112.19 	employees reported by an employer over the last four completed calendar quarters to 
112.20 	determine the size of the employer.
112.21 	(g) An employer who has an approved private plan is not eligible to receive a grant under 
112.22 	this section.
112.23 	(h) The commissioner may award grants under this section only up to a maximum of 
112.24 	$5,000,000 per calendar year.

112.25 	Sec. 38. EFFECTIVE DATES.
 112.26 	(a) Sections 1, 4, 5, 6, and 36 are effective July 1, 2022.
112.27 	(b) Section 15 is effective July 1, 2023.
112.28 	(c) Section 34 is effective December 1, 2023.
112.29 	(d) Sections 2, 3, 16 to 19, 21, 23 to 25, 28 to 31, and 33 are effective January 1, 2024.
112.30 	(e) Sections 7 to 14, 20, 22, 26 to 27, 32, 35, and 37 are effective January 1, 2025.

113.1 	ARTICLE 4
113.2 	FAMILY AND MEDICAL LEAVE BENEFIT AS EARNINGS

113.3 	Section 1. Minnesota Statutes 2020, section 256J.561, is amended by adding a subdivision 
113.4 	to read:
113.5 		Subd. 4.Parents receiving family and medical leave benefits. A parent who meets 
113.6 	the criteria under subdivision 2 and who receives benefits under chapter 268B is not required 
113.7 	to participate in employment services.

113.8 	Sec. 2. Minnesota Statutes 2020, section 256J.95, subdivision 3, is amended to read:
113.9 		Subd. 3.Eligibility for diversionary work program. (a) Except for the categories of 
113.10 	family units listed in clauses (1) to (8), all family units who apply for cash benefits and who 
113.11 	meet MFIP eligibility as required in sections 256J.11 to 256J.15 are eligible and must 
113.12 	participate in the diversionary work program. Family units or individuals that are not eligible 
113.13 	for the diversionary work program include:
113.14 	(1) child only cases;
113.15 	(2) single-parent family units that include a child under 12 months of age. A parent is 
113.16 	eligible for this exception once in a parent's lifetime;
113.17 	(3) family units with a minor parent without a high school diploma or its equivalent;
113.18 	(4) family units with an 18- or 19-year-old caregiver without a high school diploma or 
113.19 	its equivalent who chooses to have an employment plan with an education option;
113.20 	(5) family units with a caregiver who received DWP benefits within the 12 months prior 
113.21 	to the month the family applied for DWP, except as provided in paragraph (c);
113.22 	(6) family units with a caregiver who received MFIP within the 12 months prior to the 
113.23 	month the family applied for DWP;
113.24 	(7) family units with a caregiver who received 60 or more months of TANF assistance; 
113.25 	and
113.26 	(8) family units with a caregiver who is disqualified from the work participation cash 
113.27 	benefit program, DWP, or MFIP due to fraud.; and
113.28 	(9) single-parent family units where a parent is receiving family and medical leave 
113.29 	benefits under chapter 268B.
114.1 	(b) A two-parent family must participate in DWP unless both caregivers meet the criteria 
114.2 	for an exception under paragraph (a), clauses (1) through (5), or the family unit includes a 
114.3 	parent who meets the criteria in paragraph (a), clause (6), (7), or (8).
114.4 	(c) Once DWP eligibility is determined, the four months run consecutively. If a participant 
114.5 	leaves the program for any reason and reapplies during the four-month period, the county 
114.6 	must redetermine eligibility for DWP.

114.7 	Sec. 3. Minnesota Statutes 2020, section 256J.95, subdivision 11, is amended to read:
114.8 		Subd. 11.Universal participation required. (a) All DWP caregivers, except caregivers 
114.9 	who meet the criteria in paragraph (d), are required to participate in DWP employment 
114.10 	services. Except as specified in paragraphs (b) and (c), employment plans under DWP must, 
114.11 	at a minimum, meet the requirements in section 256J.55, subdivision 1.
114.12 	(b) A caregiver who is a member of a two-parent family that is required to participate 
114.13 	in DWP who would otherwise be ineligible for DWP under subdivision 3 may be allowed 
114.14 	to develop an employment plan under section 256J.521, subdivision 2, that may contain 
114.15 	alternate activities and reduced hours.
114.16 	(c) A participant who is a victim of family violence shall be allowed to develop an 
114.17 	employment plan under section 256J.521, subdivision 3. A claim of family violence must 
114.18 	be documented by the applicant or participant by providing a sworn statement which is 
114.19 	supported by collateral documentation in section 256J.545, paragraph (b).
114.20 	(d) One parent in a two-parent family unit that has a natural born child under 12 months 
114.21 	of age is not required to have an employment plan until the child reaches 12 months of age 
114.22 	unless the family unit has already used the exclusion under section 256J.561, subdivision 
114.23 	3, or the previously allowed child under age one exemption under section 256J.56, paragraph 
114.24 	(a), clause (5). if that parent:
114.25 	(1) receives family and medical leave benefits under chapter 268B; or
114.26 	(2) has a natural born child under 12 months of age until the child reaches 12 months 
114.27 	of age unless the family unit has already used the exclusion under section 256J.561, 
114.28 	subdivision 3, or the previously allowed child under age one exemption under section 
114.29 	256J.56, paragraph (a), clause (5).
114.30 	(e) The provision in paragraph (d) ends the first full month after the child reaches 12 
114.31 	months of age. This provision is allowable only once in a caregiver's lifetime. In a two-parent 
114.32 	household, only one parent shall be allowed to use this category.
115.1 	(f) The participant and job counselor must meet in the month after the month the child 
115.2 	reaches 12 months of age to revise the participant's employment plan. The employment plan 
115.3 	for a family unit that has a child under 12 months of age that has already used the exclusion 
115.4 	in section 256J.561 must be tailored to recognize the caregiving needs of the parent.

115.5 	Sec. 4. Minnesota Statutes 2021 Supplement, section 256P.01, subdivision 3, is amended 
115.6 	to read:
115.7 		Subd. 3.Earned income. "Earned income" means income earned through the receipt 
115.8 	of wages, salary, commissions, bonuses, tips, gratuities, profit from employment activities, 
115.9 	net profit from self-employment activities, payments made by an employer for regularly 
115.10 	accrued vacation or sick leave, severance pay based on accrued leave time, benefits paid 
115.11 	under chapter 268B, royalties, honoraria, or other profit from activity that results from the 
115.12 	client's work, effort, or labor for purposes other than student financial assistance, 
115.13 	rehabilitation programs, student training programs, or service programs such as AmeriCorps. 
115.14 	The income must be in return for, or as a result of, legal activity.

115.15 	Sec. 5. EFFECTIVE DATES.
 115.16 	Sections 1 to 4 are effective January 1, 2025.

115.17 	ARTICLE 5
115.18 	UNEMPLOYMENT INSURANCE FOR HOURLY SCHOOL WORKERS AND USE 
115.19 	OF DATA

115.20 	Section 1. Minnesota Statutes 2020, section 126C.43, subdivision 2, is amended to read:
115.21 		Subd. 2.Payment to unemployment insurance program trust fund by state and 
115.22 	political subdivisions. (a) A district may levy the amount necessary (1) to pay the district's 
115.23 	obligations under section 268.052, subdivision 1, and (2) to pay for job placement services 
115.24 	offered to employees who may become eligible for benefits pursuant to section 268.085 for 
115.25 	the fiscal year the levy is certified.
115.26 	(b) Districts with a balance remaining in their reserve for reemployment as of June 30, 
115.27 	2003, may not expend the reserved funds for future reemployment expenditures. Each year 
115.28 	a levy reduction must be made to return these funds to taxpayers. The amount of the levy 
115.29 	reduction must be equal to the lesser of: (1) the remaining reserved balance for reemployment, 
115.30 	or (2) the amount of the district's current levy under paragraph (a).
115.31 	(c) The amount in paragraph (a) must be reduced by any amount received by the district 
115.32 	from the account established under section 268.193.

116.1 	Sec. 2. Minnesota Statutes 2020, section 268.085, subdivision 7, is amended to read:
116.2 		Subd. 7.School employees; between terms denial. (a) Wage credits from employment 
116.3 	with an educational institution or institutions may not be used for unemployment benefit 
116.4 	purposes for any week during the period between two successive academic years or terms 
116.5 	if:
116.6 	(1) the applicant had employment for an educational institution or institutions in the 
116.7 	prior academic year or term; and
116.8 	(2) there is a reasonable assurance that the applicant will have employment for an 
116.9 	educational institution or institutions in the following academic year or term.
116.10 	This paragraph applies to a vacation period or holiday recess if the applicant was 
116.11 	employed immediately before the vacation period or holiday recess, and there is a reasonable 
116.12 	assurance that the applicant will be employed immediately following the vacation period 
116.13 	or holiday recess. This paragraph also applies to the period between two regular but not 
116.14 	successive terms if there is an agreement for that schedule between the applicant and the 
116.15 	educational institution.
116.16 	This paragraph does not apply if the subsequent employment is substantially less 
116.17 	favorable than the employment of the prior academic year or term, or the employment prior 
116.18 	to the vacation period or holiday recess.
116.19 	(b) Paragraph (a) does not apply to:
116.20 	(1) an applicant who, at the end of the prior academic year or term, had an agreement 
116.21 	for a definite period of employment between academic years or terms in other than an 
116.22 	instructional, research, or principal administrative capacity and the educational institution 
116.23 	or institutions failed to provide that employment.; or
116.24 	(2) an applicant in a position for which no license is required by the Professional Educator 
116.25 	Licensing and Standards Board or the Board of School Administrators whose last employment 
116.26 	was with an employer defined in section 123A.55 or 123A.24, subdivision 2.
116.27 	(c) If unemployment benefits are denied to any applicant under paragraph (a) who was 
116.28 	employed in the prior academic year or term in other than an instructional, research, or 
116.29 	principal administrative capacity and who was not offered an opportunity to perform the 
116.30 	employment in the following academic year or term, the applicant is entitled to retroactive 
116.31 	unemployment benefits for each week during the period between academic years or terms 
116.32 	that the applicant filed a timely continued request for unemployment benefits, but 
116.33 	unemployment benefits were denied solely because of paragraph (a).
117.1 	(d) This subdivision applies to employment with an educational service agency if the 
117.2 	applicant performed the services at an educational institution or institutions. "Educational 
117.3 	service agency" means a governmental entity established and operated for the purpose of 
117.4 	providing services to one or more educational institutions.
117.5 	(e) This subdivision applies to employment with Minnesota, a political subdivision, or 
117.6 	a nonprofit organization, if the services are provided to or on behalf of an educational 
117.7 	institution or institutions.
117.8 	(f) Paragraph (a) applies beginning the Sunday of the week that there is a reasonable 
117.9 	assurance of employment.
117.10 	(g) Employment and a reasonable assurance with multiple education institutions must 
117.11 	be aggregated for purposes of application of this subdivision.
117.12 	(h) If all of the applicant's employment with any educational institution or institutions 
117.13 	during the prior academic year or term consisted of on-call employment, and the applicant 
117.14 	has a reasonable assurance of any on-call employment with any educational institution or 
117.15 	institutions for the following academic year or term, it is not considered substantially less 
117.16 	favorable employment.
117.17 	(i) A "reasonable assurance" may be written, oral, implied, or established by custom or 
117.18 	practice.
117.19 	(j) An "educational institution" is a school, college, university, or other educational entity 
117.20 	operated by Minnesota, a political subdivision or instrumentality thereof, or a nonprofit 
117.21 	organization.
117.22 	(k) An "instructional, research, or principal administrative capacity" does not include 
117.23 	an educational assistant.

117.24 	Sec. 3. Minnesota Statutes 2020, section 268.19, subdivision 1, is amended to read:
117.25 		Subdivision 1.Use of data. (a) Except as provided by this section, data gathered from 
117.26 	any person under the administration of the Minnesota Unemployment Insurance Law are 
117.27 	private data on individuals or nonpublic data not on individuals as defined in section 13.02, 
117.28 	subdivisions 9 and 12, and may not be disclosed except according to a district court order 
117.29 	or section 13.05. A subpoena is not considered a district court order. These data may be 
117.30 	disseminated to and used by the following agencies without the consent of the subject of 
117.31 	the data:
118.1 	(1) state and federal agencies specifically authorized access to the data by state or federal 
118.2 	law;
118.3 	(2) any agency of any other state or any federal agency charged with the administration 
118.4 	of an unemployment insurance program;
118.5 	(3) any agency responsible for the maintenance of a system of public employment offices 
118.6 	for the purpose of assisting individuals in obtaining employment;
118.7 	(4) the public authority responsible for child support in Minnesota or any other state in 
118.8 	accordance with section 256.978;
118.9 	(5) human rights agencies within Minnesota that have enforcement powers;
118.10 	(6) the Department of Revenue to the extent necessary for its duties under Minnesota 
118.11 	laws;
118.12 	(7) public and private agencies responsible for administering publicly financed assistance 
118.13 	programs for the purpose of monitoring the eligibility of the program's recipients;
118.14 	(8) the Department of Labor and Industry and the Commerce Fraud Bureau in the 
118.15 	Department of Commerce for uses consistent with the administration of their duties under 
118.16 	Minnesota law;
118.17 	(9) the Department of Human Services and the Office of Inspector General and its agents 
118.18 	within the Department of Human Services, including county fraud investigators, for 
118.19 	investigations related to recipient or provider fraud and employees of providers when the 
118.20 	provider is suspected of committing public assistance fraud;
118.21 	(10) local and state welfare agencies for monitoring the eligibility of the data subject 
118.22 	for assistance programs, or for any employment or training program administered by those 
118.23 	agencies, whether alone, in combination with another welfare agency, or in conjunction 
118.24 	with the department or to monitor and evaluate the statewide Minnesota family investment 
118.25 	program and other cash assistance programs, the Supplemental Nutrition Assistance Program, 
118.26 	and the Supplemental Nutrition Assistance Program Employment and Training program by 
118.27 	providing data on recipients and former recipients of Supplemental Nutrition Assistance 
118.28 	Program (SNAP) benefits, cash assistance under chapter 256, 256D, 256J, or 256K, child 
118.29 	care assistance under chapter 119B, or medical programs under chapter 256B or 256L or 
118.30 	formerly codified under chapter 256D;
118.31 	(11) local and state welfare agencies for the purpose of identifying employment, wages, 
118.32 	and other information to assist in the collection of an overpayment debt in an assistance 
118.33 	program;
119.1 	(12) local, state, and federal law enforcement agencies for the purpose of ascertaining 
119.2 	the last known address and employment location of an individual who is the subject of a 
119.3 	criminal investigation;
119.4 	(13) the United States Immigration and Customs Enforcement has access to data on 
119.5 	specific individuals and specific employers provided the specific individual or specific 
119.6 	employer is the subject of an investigation by that agency;
119.7 	(14) the Department of Health for the purposes of epidemiologic investigations;
119.8 	(15) the Department of Corrections for the purposes of case planning and internal research 
119.9 	for preprobation, probation, and postprobation employment tracking of offenders sentenced 
119.10 	to probation and preconfinement and postconfinement employment tracking of committed 
119.11 	offenders;
119.12 	(16) the state auditor to the extent necessary to conduct audits of job opportunity building 
119.13 	zones as required under section 469.3201; and
119.14 	(17) the Office of Higher Education for purposes of supporting program improvement, 
119.15 	system evaluation, and research initiatives including the Statewide Longitudinal Education 
119.16 	Data System.;
119.17 	(18) the Department of Education for the purposes of reimbursement under section 
119.18 	268.193; and
119.19 	(19) the attorney general for the purpose of conducting an investigation pursuant to 
119.20 	section 177.45 or 181.1721.
119.21 	(b) Data on individuals and employers that are collected, maintained, or used by the 
119.22 	department in an investigation under section 268.182 are confidential as to data on individuals 
119.23 	and protected nonpublic data not on individuals as defined in section 13.02, subdivisions 3 
119.24 	and 13, and must not be disclosed except under statute or district court order or to a party 
119.25 	named in a criminal proceeding, administrative or judicial, for preparation of a defense.
119.26 	(c) Data gathered by the department in the administration of the Minnesota unemployment 
119.27 	insurance program must not be made the subject or the basis for any suit in any civil 
119.28 	proceedings, administrative or judicial, unless the action is initiated by the department.

119.29 	Sec. 4. [268.193] SCHOOL REIMBURSEMENT ACCOUNT.
119.30 		Subdivision 1.Definitions. For the purposes of this section only, the following terms 
119.31 	have the meanings given:
119.32 	(1) "educational institution" means a:
120.1 	(i) school district;
120.2 	(ii) charter school; or
120.3 	(iii) school cooperative, as defined in section 123A.24, subdivision 2; and
120.4 	(2) "qualifying unemployment benefits" means unemployment benefits charged to an 
120.5 	educational institution under section 268.047 for an applicant who is in a position for which 
120.6 	no license is required by the Professional Educator Licensing and Standards Board or the 
120.7 	Board of School Administrators, and whose last employment was with an employer defined 
120.8 	in section 123A.55 or 123A.24, subdivision 2.
120.9 		Subd. 2.School reimbursement account. (a) There is created in the special revenue 
120.10 	fund an account to be known as the "school reimbursement account," that does not lapse 
120.11 	nor revert to any other fund or account. This account consists of all money appropriated for 
120.12 	the purposes of this section, unless otherwise appropriated by session law. Funds appropriated 
120.13 	for the purposes of reimbursement under this section must be transferred to the school 
120.14 	reimbursement account in the special revenue fund.
120.15 	(b) Money in the account is appropriated to the commissioner of education to reimburse 
120.16 	educational institutions for payments of qualifying unemployment benefits as provided 
120.17 	under subdivision 3.
120.18 	(c) The commissioner of education may spend up to one percent of the amount 
120.19 	appropriated to the school reimbursement account for costs associated with administering 
120.20 	and monitoring payments under this section.
120.21 		Subd. 3.Reimbursement administered. (a) The commissioner of employment and 
120.22 	economic development shall compute and certify the total qualifying unemployment benefit 
120.23 	payments credited to the reimbursable account of an educational institution under section 
120.24 	268.045 each calendar quarter, and share and transmit that certified amount to the 
120.25 	commissioner of education for the purpose of reimbursement under this subdivision.
120.26 	(b) The commissioner of education shall issue payment of the reimbursement amounts 
120.27 	certified under paragraph (a) to each educational institution on or before the last day of the 
120.28 	month following the end of the next calendar quarter, as provided under this subdivision.
120.29 	(c) The commissioner of education shall use money deposited in the school 
120.30 	reimbursement account to reimburse educational institutions for the qualifying unemployment 
120.31 	benefits certified under this subdivision.
121.1 	(d) If the certified reimbursement amounts under this subdivision exceed the money 
121.2 	available in the school reimbursement account, reimbursement amounts shall be dispersed 
121.3 	to educational institutions on a pro rata basis.

121.4 	Sec. 5. REPEALER.
 121.5 	Minnesota Statutes 2020, section 268.085, subdivision 8, is repealed.

121.6 	Sec. 6. EFFECTIVE DATE.
 121.7 	Sections 1 to 5 are effective September 1, 2022.

121.8 	ARTICLE 6
121.9 	LABOR AND INDUSTRY APPROPRIATIONS

121.10	Section 1. APPROPRIATIONS.
 	
121.11 	The sums shown in the columns under "Appropriations" are added to the appropriations 
121.12 	in Laws 2021, First Special Session chapter 10, or other law to the specified agencies. The 
121.13 	appropriations are from the general fund, or another named fund, and are available for the 
121.14 	fiscal years indicated for each purpose. The figures "2022" and "2023" used in this article 
121.15 	mean that the appropriations listed under them are available for the fiscal year ending June 
121.16 	30, 2022, or June 30, 2023, respectively. Appropriations for the fiscal year ending June 30, 
121.17 	2022, are effective the day following final enactment.

121.18				APPROPRIATIONS
	
121.19				Available for the Year
	
121.20				Ending June 30
	
121.21					2022
		2023

121.22
121.23	Sec. 2. DEPARTMENT OF LABOR AND 
INDUSTRY

121.24	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	10,332,000

121.25	Appropriations by Fund
	
121.26		2022
	2023
	
121.27	General
	-0-
	7,117,000
	
121.28
121.29	Workers' 
Compensation
	-0-
	82,000
	
121.30
121.31	Workforce 
Development
	-0-
	3,133,000

122.1	Subd. 2.Labor Standards and Apprenticeship
 		-0-
		5,996,000

122.2	Appropriations by Fund
	
122.3		2022
	2023
	
122.4	General Fund
	-0-
	2,863,000
	
122.5
122.6	Workforce 
Development
	-0-
	3,133,000
	
122.7 	(a) $1,059,000 in fiscal year 2023 is from the 
122.8 	workforce development fund for labor 
122.9 	education and advancement program grants 
122.10 	under Minnesota Statutes, section 178.11, to 
122.11 	expand and promote registered apprenticeship 
122.12 	training for people of color, Indigenous 
122.13 	people, and women. Of this amount:
122.14 	(1) $159,000 is available for program 
122.15 	administration; and
122.16 	(2) at least $500,000 must be awarded to 
122.17 	community-based organizations.
122.18 	(b) $316,000 is from the workforce 
122.19 	development fund for administration of the 
122.20 	apprenticeship program under Minnesota 
122.21 	Statutes, chapter 178.
122.22 	(c) $1,758,000 in fiscal year 2023 is from the 
122.23 	workforce development fund for prevailing 
122.24 	wage education and compliance.
122.25 	(d) $196,000 in fiscal year 2023 is to expand 
122.26 	and strengthen fair labor standards for 
122.27 	agricultural and food processing workers. In 
122.28 	fiscal year 2024 and beyond, the base is 
122.29 	$146,000.
122.30 	(e) $500,000 in fiscal year 2023 is for the 
122.31 	loggers safety grant program under Laws 
122.32 	2021, First Special Session chapter 10, article 
122.33 	3, section 21. This is a onetime appropriation.
123.1 	(f) $200,000 in fiscal year 2023 is to establish 
123.2 	a Veterans Liaison Coordinator position in the 
123.3 	Registered Apprenticeship Division. The 
123.4 	position is responsible for collaborating with 
123.5 	Minnesota stakeholders and state and federal 
123.6 	agencies to: promote and increase veterans in 
123.7 	the trades; support initiatives for veterans 
123.8 	seeking a living wage and sustainable 
123.9 	employment; and increase awareness of 
123.10 	registered apprenticeship opportunities in 
123.11 	Minnesota. Of this amount, up to $150,000 is 
123.12 	for salary and benefits for the position, and 
123.13 	$50,000 is for administrative support services, 
123.14 	marketing, and paid communications. The 
123.15 	base for this appropriation is $180,000 in fiscal 
123.16 	year 2024 and $160,000 in fiscal year 2025.
123.17 	(g) $1,367,000 in fiscal year 2023 is for 
123.18 	enforcement and other duties regarding earned 
123.19 	sick and safe time under Minnesota Statutes, 
123.20 	sections 181.9445 to 181.9448, and chapter 
123.21 	177. In fiscal year 2024, the base for this 
123.22 	appropriation is $2,018,000. In fiscal year 
123.23 	2025, the base for this appropriation is 
123.24 	$1,708,000.
123.25 	(h) $300,000 in fiscal year 2023 is for earned 
123.26 	sick and safe time grants to community 
123.27 	organizations under Minnesota Statutes, 
123.28 	section 177.50, subdivision 4. In fiscal year 
123.29 	2024, the base for this appropriation is 
123.30 	$300,000. In fiscal year 2025, the base for this 
123.31 	appropriation is $0.
123.32 	(i) $300,000 in fiscal year 2023 is for a grant 
123.33 	to Building Strong Communities, Inc., for a 
123.34 	statewide apprenticeship readiness program 
123.35 	to prepare women, BIPOC community 
124.1 	members, and veterans to enter the building 
124.2 	and construction trades. This is a onetime 
124.3 	appropriation.

124.4	Subd. 3.Workforce Development Initiatives
 		-0-
		747,000
	
124.5 	(a) $500,000 in fiscal year 2023 is for youth 
124.6 	skills training grants under Minnesota Statutes, 
124.7 	section 175.46.
124.8 	(b) $247,000 in fiscal year 2023 is for 
124.9 	administration of the youth skills training 
124.10 	grants under Minnesota Statutes, section 
124.11 	175.46. In fiscal year 2024, the base for this 
124.12 	appropriation is $258,000. In fiscal year 2025, 
124.13 	the base for this appropriation is $270,000.

124.14	Subd. 4.Combative Sports
 		-0-
		150,000

124.15	Subd. 5.Transfer to Construction Code Fund
 		-0-
		2,850,000
	
124.16 	$2,850,000 in fiscal year 2023 is for transfer 
124.17 	to the construction code fund under Minnesota 
124.18 	Statutes, section 326B.04, subdivision 1. In 
124.19 	fiscal year 2024, the base for this appropriation 
124.20 	is $4,477,000. In fiscal year 2025, the base for 
124.21 	this appropriation is $0.

124.22	Subd. 6.Agricultural Worker Wellness
 		-0-
		507,000
	
124.23 	(a) $255,000 in fiscal year 2023 is for the 
124.24 	ombudsperson for the safety, health, and 
124.25 	well-being of agricultural and food processing 
124.26 	workers under Minnesota Statutes, section 
124.27 	179.911.
124.28 	(b) $252,000 in fiscal year 2023 is for the 
124.29 	agricultural worker wellness committee under 
124.30 	Minnesota Statutes, section 179.912.

124.31	Subd. 7.Warehouse Distribution Worker Safety
 		-0-
		82,000
	
124.32 	$82,000 in fiscal year 2023 is from the 
124.33 	workers' compensation fund for enforcement 
125.1 	and other duties regarding warehouse 
125.2 	distribution workers safety under Minnesota 
125.3 	Statutes, section 182.6526. In fiscal year 2024 
125.4 	and beyond, the base is $56,000 each year.

125.5
125.6	Sec. 3. WORKERS' COMPENSATION COURT 
OF APPEALS
 	$
	-0-
	$
	300,000
	
125.7 	(a) This appropriation is from the workers' 
125.8 	compensation fund. Of this amount, $100,000 
125.9 	is for rulemaking. This appropriation is 
125.10 	onetime.
125.11 	(b) In fiscal years 2024 and 2025, $200,000 
125.12 	is added to the agency's base.

125.13	Sec. 4. BUREAU OF MEDIATION SERVICES
 	$
	-0-
	$
	400,000
	
125.14 	This appropriation is for purposes of the 
125.15 	Public Employment Relations Board under 
125.16 	Minnesota Statutes, section 179A.041. In 
125.17 	fiscal years 2024 and 2025, the base is 
125.18 	$525,000.

125.19
125.20	Sec. 5. MINNESOTA MANAGEMENT AND 
BUDGET
 	$
	-0-
	$
	54,000
	
125.21 	(a) $3,000 in fiscal year 2023 is for printing 
125.22 	costs associated with earned sick and safe 
125.23 	time. This is a onetime appropriation.
125.24 	(b) $51,000 in fiscal year 2023 is to allocate 
125.25 	money to executive branch state agencies, 
125.26 	boards, and commissions to offset the cost of 
125.27 	earned sick and safe time leave required under 
125.28 	Minnesota Statutes, sections 181.9445 to 
125.29 	181.9448. The commissioner of management 
125.30 	and budget must determine an allocation of 
125.31 	the amount appropriated for each executive 
125.32 	branch state agency, board, and commission. 
125.33 	In fiscal year 2024 and beyond, the base for 
125.34 	this appropriation is $102,000.

126.1	Sec. 6. HOUSE OF REPRESENTATIVES
 	$
	-0-
	$
	18,000
	
126.2 	$18,000 in fiscal year 2023 is for modifying 
126.3 	the timecard and human resources systems as 
126.4 	necessary to comply with earned sick and safe 
126.5 	time requirements under Minnesota Statutes, 
126.6 	sections 181.9445 to 181.9448. This is a 
126.7 	onetime appropriation.

126.8	Sec. 7. SUPREME COURT
 	$
	-0-
	$
	1,000
	
126.9 	$1,000 in fiscal year 2023 is for purposes of 
126.10 	earned sick and safe time under Minnesota 
126.11 	Statutes, sections 181.9445 to 181.9448. In 
126.12 	fiscal year 2024, the base for this appropriation 
126.13 	is $492,000. In fiscal year 2025, the base for 
126.14 	this appropriation is $459,000.

126.15 	Sec. 8. Laws 2021, First Special Session chapter 10, article 1, section 5, is amended to 
126.16 	read:

126.17	Sec. 5. BUREAU OF MEDIATION SERVICES
 	$
	2,370,000
	$
	2,415,000
	
126.18 	(a) $125,000 each year is for purposes of the 
126.19 	Public Employment Relations Board under 
126.20 	Minnesota Statutes, section 179A.041. This 
126.21 	is a onetime appropriation.
126.22 	(b) $68,000 each year is for grants to area 
126.23 	labor management committees. Grants may 
126.24 	be awarded for a 12-month period beginning 
126.25 	July 1 each year. Any unencumbered balance 
126.26 	remaining at the end of the first year does not 
126.27 	cancel but is available for the second year.
126.28 	(c) (b) $47,000 each year is for rulemaking, 
126.29 	staffing, and other costs associated with peace 
126.30 	officer grievance procedures.

127.1 	Sec. 9. DUPLICATE APPROPRIATIONS GIVEN EFFECT ONCE.
 127.2 	If an appropriation in this act is enacted more than once during the 2022 regular session, 
127.3 	the appropriation is to be given effect only once.

127.4 	ARTICLE 7
127.5 	LABOR AND INDUSTRY POLICY AND TECHNICAL

127.6 	Section 1. Minnesota Statutes 2020, section 175.16, subdivision 1, is amended to read:
127.7 		Subdivision 1.Established. The Department of Labor and Industry shall consist of the 
127.8 	following divisions: Division of Workers' Compensation, Division of Construction Codes 
127.9 	and Licensing, Division of Occupational Safety and Health, Division of Statistics, Division 
127.10 	of Labor Standards, and Division of Apprenticeship, and such other divisions as the 
127.11 	commissioner of the Department of Labor and Industry may deem necessary and establish. 
127.12 	Each division of the department and persons in charge thereof shall be subject to the 
127.13 	supervision of the commissioner of the Department of Labor and Industry and, in addition 
127.14 	to such duties as are or may be imposed on them by statute, shall perform such other duties 
127.15 	as may be assigned to them by the commissioner. Notwithstanding any other law to the 
127.16 	contrary, the commissioner is the administrator and supervisor of all of the department's 
127.17 	dispute resolution functions and personnel and may delegate authority to compensation 
127.18 	judges and others to make determinations under sections 176.106, 176.238, and 176.239
127.19 	and to approve settlement of claims under section 176.521.

127.20 	Sec. 2. Minnesota Statutes 2020, section 177.26, is amended to read:
127.21 	177.26 DIVISION OF LABOR STANDARDS.
127.22 		Subdivision 1.Creation. The Division of Labor Standards and Apprenticeship in the 
127.23 	Department of Labor and Industry is supervised and controlled by the commissioner of 
127.24 	labor and industry.
127.25 		Subd. 2.Powers and duties. The Division of Labor Standards and Apprenticeship shall 
127.26 	administer this chapter and chapters 178, 181, 181A, and 184.
127.27 		Subd. 3.Employees; transfer from Division of Women and Children. All persons 
127.28 	employed by the department in the Division of Women and Children are transferred to the 
127.29 	Division of Labor Standards. A transferred person does not lose rights acquired by reason 
127.30 	of employment at the time of transfer.

128.1 	Sec. 3. Minnesota Statutes 2020, section 177.27, subdivision 4, is amended to read:
128.2 		Subd. 4.Compliance orders. The commissioner may issue an order requiring an 
128.3 	employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 
128.4 	181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275, 
128.5 	subdivision 2a, 181.722, 181.79, and 181.939 to 181.943, or 181.991, and with any rule 
128.6 	promulgated under section 177.28. The commissioner shall issue an order requiring an 
128.7 	employer to comply with sections 177.41 to 177.435 if the violation is repeated. For purposes 
128.8 	of this subdivision only, a violation is repeated if at any time during the two years that 
128.9 	preceded the date of violation, the commissioner issued an order to the employer for violation 
128.10 	of sections 177.41 to 177.435 and the order is final or the commissioner and the employer 
128.11 	have entered into a settlement agreement that required the employer to pay back wages that 
128.12 	were required by sections 177.41 to 177.435. The department shall serve the order upon the 
128.13 	employer or the employer's authorized representative in person or by certified mail at the 
128.14 	employer's place of business. An employer who wishes to contest the order must file written 
128.15 	notice of objection to the order with the commissioner within 15 calendar days after being 
128.16 	served with the order. A contested case proceeding must then be held in accordance with 
128.17 	sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the 
128.18 	employer fails to file a written notice of objection with the commissioner, the order becomes 
128.19 	a final order of the commissioner.

128.20 	EFFECTIVE DATE. This section is effective the day following final enactment and 
128.21 	applies to franchise agreements entered into or amended on or after that date.

128.22 	Sec. 4. Minnesota Statutes 2020, section 178.01, is amended to read:
128.23 	178.01 PURPOSES.
128.24 	The purposes of this chapter are: to open to all people regardless of race, sex, creed, 
128.25 	color or national origin, the opportunity to obtain training and on-the-job learning that will 
128.26 	equip them for profitable employment and citizenship; to establish as a means to this end, 
128.27 	a program of voluntary apprenticeship under approved apprenticeship agreements providing 
128.28 	facilities for their training and guidance in the arts, skills, and crafts of industry and trade 
128.29 	or occupation, with concurrent, supplementary instruction in related subjects; to promote 
128.30 	apprenticeship opportunities under conditions providing adequate training and on-the-job 
128.31 	learning and reasonable earnings; to relate the supply of skilled workers to employment 
128.32 	demands; to establish standards for apprentice training; to establish an Apprenticeship Board 
128.33 	and apprenticeship committees to assist in effectuating the purposes of this chapter; to 
128.34 	provide for a Division of Labor Standards and Apprenticeship within the Department of 
129.1 	Labor and Industry; to provide for reports to the legislature regarding the status of apprentice 
129.2 	training in the state; to establish a procedure for the determination of apprenticeship 
129.3 	agreement controversies; and to accomplish related ends.

129.4 	Sec. 5. Minnesota Statutes 2020, section 178.011, subdivision 7, is amended to read:
129.5 		Subd. 7.Division. "Division" means the department's Labor Standards and Apprenticeship 
129.6 	Division, established under sections 175.16 and 178.03, and the State Apprenticeship Agency 
129.7 	as defined in Code of Federal Regulations, title 29, part 29, section 29.2.

129.8 	Sec. 6. Minnesota Statutes 2020, section 178.03, subdivision 1, is amended to read:
129.9 		Subdivision 1.Establishment of division. There is established a Division of Labor 
129.10 	Standards and Apprenticeship in the Department of Labor and Industry. This division shall 
129.11 	be administered by a director, and be under the supervision of the commissioner.

129.12 	Sec. 7. Minnesota Statutes 2020, section 178.11, is amended to read:
129.13 	178.11 LABOR EDUCATION ADVANCEMENT GRANT PROGRAM.
129.14 	The commissioner shall establish the labor education advancement grant program for 
129.15 	the purpose of facilitating the participation or retention of minorities people of color, 
129.16 	Indigenous people, and women in apprenticeable trades and occupations registered 
129.17 	apprenticeship programs. The commissioner shall award grants to community-based and 
129.18 	nonprofit organizations and Minnesota Tribal governments as defined in section 10.65,
129.19 	serving the targeted populations on a competitive request-for-proposal basis. Interested 
129.20 	organizations shall apply for the grants in a form prescribed by the commissioner. As part 
129.21 	of the application process, applicants must provide a statement of need for the grant, a 
129.22 	description of the targeted population and apprenticeship opportunities, a description of 
129.23 	activities to be funded by the grant, evidence supporting the ability to deliver services, 
129.24 	information related to coordinating grant activities with other employment and learning 
129.25 	programs, identification of matching funds, a budget, and performance objectives. Each 
129.26 	submitted application shall be evaluated for completeness and effectiveness of the proposed 
129.27 	grant activity.

129.28 	Sec. 8. Minnesota Statutes 2020, section 181.9435, subdivision 1, is amended to read:
129.29 		Subdivision 1.Investigation. The Division of Labor Standards and Apprenticeship shall 
129.30 	receive complaints of employees against employers relating to sections 181.172, paragraph 
129.31 	(a) or (d), and 181.939 to 181.9436 and investigate informally whether an employer may 
130.1 	be in violation of sections 181.172, paragraph (a) or (d), and 181.939 to 181.9436. The 
130.2 	division shall attempt to resolve employee complaints by informing employees and employers 
130.3 	of the provisions of the law and directing employers to comply with the law. For complaints 
130.4 	related to section 181.939, the division must contact the employer within two business days 
130.5 	and investigate the complaint within ten days of receipt of the complaint.

130.6 	Sec. 9. Minnesota Statutes 2020, section 181.9436, is amended to read:
130.7 	181.9436 POSTING OF LAW.
130.8 	The Division of Labor Standards and Apprenticeship shall develop, with the assistance 
130.9 	of interested business and community organizations, an educational poster stating employees' 
130.10 	rights under sections 181.940 to 181.9436. The department shall make the poster available, 
130.11 	upon request, to employers for posting on the employer's premises.

130.12 	Sec. 10. [181.988] COVENANTS NOT TO COMPETE VOID IN EMPLOYMENT 
130.13 	AGREEMENTS; SUBSTANTIVE PROTECTIONS OF MINNESOTA LAW APPLY.
130.14 		Subdivision 1.Definitions. (a) "Covenant not to compete" means an agreement between 
130.15 	an employee and employer that restricts the employee, after termination of the employment, 
130.16 	from performing:
130.17 	(1) work for another employer for a specified period of time;
130.18 	(2) work in a specified geographical area; or
130.19 	(3) work for another employer in a capacity that is similar to the employee's work for 
130.20 	the employer that is party to the agreement.
130.21 	(b) "Employer" means any individual, partnership, association, corporation, business 
130.22 	trust, or any person or group of persons acting directly or indirectly in the interest of an 
130.23 	employer in relation to an employee.
130.24 		Subd. 2.Covenants not to compete void and unenforceable. (a) Subject to the exception 
130.25 	in paragraph (b), any covenant not to compete contained in a contract or agreement is void 
130.26 	and unenforceable.
130.27 	(b) Notwithstanding paragraph (a), a covenant not to compete between an employer and 
130.28 	employee is valid and enforceable if:
130.29 	(1) the employee earned an annual salary from the employer at least equal to the median 
130.30 	family income for a four-person family in Minnesota, as determined by the United States 
131.1 	Census Bureau, for the most recent year available at the time of the employee's termination; 
131.2 	and
131.3 	(2) the employer agrees to pay the employee on a pro rata basis during the entirety of 
131.4 	the restricted period of the covenant not to compete at least 50 percent of the employee's 
131.5 	highest annualized base salary paid by the employer within the two years preceding the 
131.6 	employee's separation from employment.
131.7 	(c) Nothing in this subdivision shall be construed to render void or unenforceable any 
131.8 	other provisions in a contract or agreement containing a void or unenforceable covenant 
131.9 	not to compete.
131.10 	(d) In addition to injunctive relief and any other remedies available, a court may award 
131.11 	an employee who is enforcing rights under this section reasonable attorney fees.
131.12 		Subd. 3.Choice of law; venue. (a) An employer must not require an employee who 
131.13 	primarily resides and works in Minnesota, as a condition of employment, to agree to a 
131.14 	provision in an agreement or contract that would do either of the following:
131.15 	(1) require the employee to adjudicate outside of Minnesota a claim arising in Minnesota; 
131.16 	or
131.17 	(2) deprive the employee of the substantive protection of Minnesota law with respect to 
131.18 	a controversy arising in Minnesota.
131.19 	(b) Any provision of a contract or agreement that violates paragraph (a) is voidable at 
131.20 	any time by the employee and if a provision is rendered void at the request of the employee, 
131.21 	the matter shall be adjudicated in Minnesota and Minnesota law shall govern the dispute.
131.22 	(c) In addition to injunctive relief and any other remedies available, a court may award 
131.23 	an employee who is enforcing rights under this section reasonable attorney fees.
131.24 	(d) For purposes of this section, adjudication includes litigation and arbitration.
131.25 	(e) This subdivision shall not apply to a contract with an employee who is in fact 
131.26 	individually represented by legal counsel in negotiating the terms of an agreement to 
131.27 	designate either the venue or forum in which a controversy arising from the employment 
131.28 	contract may be adjudicated or the choice of law to be applied.
131.29 		Subd. 4.Severability. If any provision of this section is found to be unconstitutional 
131.30 	and void, the remaining provisions of this section are valid.

131.31 	EFFECTIVE DATE. This section is effective the day following final enactment and 
131.32 	applies to contracts and agreements entered into on or after that date.

132.1 	Sec. 11. [181.991] RESTRICTIVE FRANCHISE AGREEMENTS PROHIBITED.
132.2 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
132.3 	the meanings given them.
132.4 	(b) "Employee" means an individual employed by an employer and includes independent 
132.5 	contractors.
132.6 	(c) "Employer" has the meaning given in section 177.23, subdivision 6.
132.7 	(d) "Franchise," "franchisee," and "franchisor" have the meanings given in section 
132.8 	80C.01, subdivisions 4 to 6.
132.9 		Subd. 2.Prohibition on restrictive franchise agreements. (a) No franchisor may 
132.10 	restrict, restrain, or prohibit in any way a franchisee from soliciting or hiring an employee 
132.11 	of a franchisee of the same franchisor.
132.12 	(b) No franchisor may restrict, restrain, or prohibit in any way a franchisee from soliciting 
132.13 	or hiring an employee of the franchisor.
132.14 		Subd. 3.Franchise agreement amendment. Notwithstanding any law to the contrary, 
132.15 	no later than one year from the effective date of this section, franchisors shall amend existing 
132.16 	franchise agreements to remove any restrictive employment provision that violates 
132.17 	subdivision 2.
132.18 		Subd. 4.Civil action; penalties. (a) An employee alleging a violation of this section 
132.19 	may bring a civil action for damages and injunctive relief against the employer.
132.20 	(b) If the court finds that a franchisor has violated this section, the court shall enter 
132.21 	judgment, grant injunctive relief as deemed appropriate, and award the employee plaintiff 
132.22 	the greater of:
132.23 	(1) the actual damages incurred by the plaintiff, plus any injunctive relief, costs, and 
132.24 	reasonable attorney fees; or
132.25 	(2) a $5,000 penalty.
132.26 	(c) If no civil action is commenced, the commissioner of labor and industry shall assess 
132.27 	a $5,000 per employee penalty for violations of this section. This assessment is in addition 
132.28 	to the commissioner's authority under section 177.27, subdivisions 4 and 7. Any penalty 
132.29 	assessed under this subdivision shall be awarded to the employee plaintiff and not to the 
132.30 	commissioner or the department.
132.31 		Subd. 5.Severability. If any provision of this section is found to be unconstitutional 
132.32 	and void, the remaining provisions of this section are valid.

133.1 	EFFECTIVE DATE. This section is effective the day following final enactment and 
133.2 	applies to franchise agreements entered into or amended on or after that date.

133.3 	Sec. 12. Minnesota Statutes 2021 Supplement, section 326B.092, subdivision 7, is amended 
133.4 	to read:
133.5 		Subd. 7.License fees and license renewal fees. (a) The license fee for each license is 
133.6 	the base license fee plus any applicable board fee, continuing education fee, and contractor 
133.7 	recovery fund fee and additional assessment, as set forth in this subdivision.
133.8 	(b) For purposes of this section, "license duration" means the number of years for which 
133.9 	the license is issued except that if the initial license is not issued for a whole number of 
133.10 	years, the license duration shall be rounded up to the next whole number.
133.11 	(c) If there is a continuing education requirement for renewal of the license, then a 
133.12 	continuing education fee must be included in the renewal license fee. The continuing 
133.13 	education fee for all license classifications is $5.
133.14 	(d) The base license fee shall depend on whether the license is classified as an entry 
133.15 	level, master, journeyworker, or business license, and on the license duration. The base 
133.16 	license fee shall be:

133.17		License Classification
	License Duration
		
133.18			1 year
	2 years
	
133.19		Entry level
	$10
	$20
	
133.20		Journeyworker
	$20
	$40
	
133.21		Master
	$40
	$80
	
133.22		Business
		$180
	
133.23 	(e) If the license is issued under sections 326B.31 to 326B.59 or 326B.90 to 326B.925, 
133.24 	then a board fee must be included in the license fee and the renewal license fee. The board 
133.25 	fee for all license classifications shall be: $4 if the license duration is one year; and $8 if 
133.26 	the license duration is two years.
133.27 	(f) If the application is for the renewal of a license issued under sections 326B.802 to 
133.28 	326B.885, then the contractor recovery fund fee required under section 326B.89, subdivision 
133.29 	3, and any additional assessment required under section 326B.89, subdivision 16, must be 
133.30 	included in the license renewal fee.
133.31 	(g) Notwithstanding the fee amounts described in paragraphs (d) to (f), for the period 
133.32 	October 1, 2021, through September June 30, 2023 2022, the following fees apply:

134.1		License Classification
	License Duration
		
134.2			1 year
	2 years
	
134.3		Entry level
	$10
	$20
	
134.4		Journeyworker
	$15
	$30
	
134.5		Master
	$30
	$60
	
134.6		Business
		$120
	
134.7 	(h) For the period of July 1, 2022, through June 30, 2024, no fees described in paragraphs 
134.8 	(c) to (e) shall apply, except as described in paragraph (i).
134.9 	(i) Notwithstanding the fee amounts described in paragraphs (d) to (f), for the period of 
134.10 	October 1, 2021, through September 30, 2023, the base license fee for business licenses 
134.11 	shall be $120.

134.12 	Sec. 13. Minnesota Statutes 2020, section 326B.103, subdivision 13, is amended to read:
134.13 		Subd. 13.State licensed facility. "State licensed facility" means a building and its 
134.14 	grounds that are licensed by the state as a hospital, nursing home, supervised living facility, 
134.15 	free-standing outpatient surgical center, correctional facility, boarding care home, or
134.16 	residential hospice, or assisted living facility, including assisted living facility with dementia 
134.17 	care.

134.18 	Sec. 14. Minnesota Statutes 2020, section 326B.106, subdivision 1, is amended to read:
134.19 		Subdivision 1.Adoption of code. (a) Subject to paragraphs (c) and (d) and sections 
134.20 	326B.101 to 326B.194, the commissioner shall by rule and in consultation with the 
134.21 	Construction Codes Advisory Council establish a code of standards for the construction, 
134.22 	reconstruction, alteration, and repair of buildings, governing matters of structural materials, 
134.23 	design and construction, fire protection, health, sanitation, and safety, including design and 
134.24 	construction standards regarding heat loss control, illumination, and climate control. The 
134.25 	code must also include duties and responsibilities for code administration, including 
134.26 	procedures for administrative action, penalties, and suspension and revocation of certification. 
134.27 	The code must conform insofar as practicable to model building codes generally accepted 
134.28 	and in use throughout the United States, including a code for building conservation. In the 
134.29 	preparation of the code, consideration must be given to the existing statewide specialty 
134.30 	codes presently in use in the state. Model codes with necessary modifications and statewide 
134.31 	specialty codes may be adopted by reference. The code must be based on the application 
134.32 	of scientific principles, approved tests, and professional judgment. To the extent possible, 
134.33 	the code must be adopted in terms of desired results instead of the means of achieving those 
135.1 	results, avoiding wherever possible the incorporation of specifications of particular methods 
135.2 	or materials. To that end the code must encourage the use of new methods and new materials. 
135.3 	Except as otherwise provided in sections 326B.101 to 326B.194, the commissioner shall 
135.4 	administer and enforce the provisions of those sections.
135.5 	(b) The commissioner shall develop rules addressing the plan review fee assessed to 
135.6 	similar buildings without significant modifications including provisions for use of building 
135.7 	systems as specified in the industrial/modular program specified in section 326B.194. 
135.8 	Additional plan review fees associated with similar plans must be based on costs 
135.9 	commensurate with the direct and indirect costs of the service.
135.10 	(c) Beginning with the 2018 edition of the model building codes and every six years 
135.11 	thereafter, the commissioner shall review the new model building codes and adopt the model 
135.12 	codes as amended for use in Minnesota, within two years of the published edition date. The 
135.13 	commissioner may adopt amendments to the building codes prior to the adoption of the 
135.14 	new building codes to advance construction methods, technology, or materials, or, where 
135.15 	necessary to protect the health, safety, and welfare of the public, or to improve the efficiency 
135.16 	or the use of a building.
135.17 	(d) Notwithstanding paragraph (c), the commissioner shall act on each new model 
135.18 	residential energy code and the new model commercial energy code in accordance with 
135.19 	federal law for which the United States Department of Energy has issued an affirmative 
135.20 	determination in compliance with United States Code, title 42, section 6833. The 
135.21 	commissioner shall act on the new model commercial energy code by adopting each new 
135.22 	published edition and amending it as necessary to achieve a minimum of eight percent 
135.23 	energy efficiency. The commissioner may adopt amendments prior to adoption of the new 
135.24 	energy codes, as amended for use in Minnesota, to advance construction methods, technology, 
135.25 	or materials, or, where necessary to protect the health, safety, and welfare of the public, or 
135.26 	to improve the efficiency or use of a building.

135.27 	Sec. 15. Minnesota Statutes 2020, section 326B.106, subdivision 4, is amended to read:
135.28 		Subd. 4.Special requirements. (a) Space for commuter vans. The code must require 
135.29 	that any parking ramp or other parking facility constructed in accordance with the code 
135.30 	include an appropriate number of spaces suitable for the parking of motor vehicles having 
135.31 	a capacity of seven to 16 persons and which are principally used to provide prearranged 
135.32 	commuter transportation of employees to or from their place of employment or to or from 
135.33 	a transit stop authorized by a local transit authority.
136.1 	(b) Smoke detection devices. The code must require that all dwellings, lodging houses, 
136.2 	apartment houses, and hotels as defined in section 299F.362 comply with the provisions of 
136.3 	section 299F.362.
136.4 	(c) Doors in nursing homes and hospitals. The State Building Code may not require 
136.5 	that each door entering a sleeping or patient's room from a corridor in a nursing home or 
136.6 	hospital with an approved complete standard automatic fire extinguishing system be 
136.7 	constructed or maintained as self-closing or automatically closing.
136.8 	(d) Child care facilities in churches; ground level exit. A licensed day care center 
136.9 	serving fewer than 30 preschool age persons and which is located in a belowground space 
136.10 	in a church building is exempt from the State Building Code requirement for a ground level 
136.11 	exit when the center has more than two stairways to the ground level and its exit.
136.12 	(e) Family and group family day care. Until the legislature enacts legislation specifying 
136.13 	appropriate standards, the definition of dwellings constructed in accordance with the 
136.14 	International Residential Code as adopted as part of the State Building Code applies to 
136.15 	family and group family day care homes licensed by the Department of Human Services 
136.16 	under Minnesota Rules, chapter 9502.
136.17 	(f) Enclosed stairways. No provision of the code or any appendix chapter of the code 
136.18 	may require stairways of existing multiple dwelling buildings of two stories or less to be 
136.19 	enclosed.
136.20 	(g) Double cylinder dead bolt locks. No provision of the code or appendix chapter of 
136.21 	the code may prohibit double cylinder dead bolt locks in existing single-family homes, 
136.22 	townhouses, and first floor duplexes used exclusively as a residential dwelling. Any 
136.23 	recommendation or promotion of double cylinder dead bolt locks must include a warning 
136.24 	about their potential fire danger and procedures to minimize the danger.
136.25 	(h) Relocated residential buildings. A residential building relocated within or into a 
136.26 	political subdivision of the state need not comply with the State Energy Code or section 
136.27 	326B.439 provided that, where available, an energy audit is conducted on the relocated 
136.28 	building.
136.29 	(i) Automatic garage door opening systems. The code must require all residential 
136.30 	buildings as defined in section 325F.82 to comply with the provisions of sections 325F.82 
136.31 	and 325F.83.
136.32 	(j) Exterior wood decks, patios, and balconies. The code must permit the decking 
136.33 	surface and upper portions of exterior wood decks, patios, and balconies to be constructed 
137.1 	of (1) heartwood from species of wood having natural resistance to decay or termites, 
137.2 	including redwood and cedars, (2) grades of lumber which contain sapwood from species 
137.3 	of wood having natural resistance to decay or termites, including redwood and cedars, or 
137.4 	(3) treated wood. The species and grades of wood products used to construct the decking 
137.5 	surface and upper portions of exterior decks, patios, and balconies must be made available 
137.6 	to the building official on request before final construction approval.
137.7 	(k) Bioprocess piping and equipment. No permit fee for bioprocess piping may be 
137.8 	imposed by municipalities under the State Building Code, except as required under section 
137.9 	326B.92 subdivision 1. Permits for bioprocess piping shall be according to section 326B.92 
137.10 	administered by the Department of Labor and Industry. All data regarding the material 
137.11 	production processes, including the bioprocess system's structural design and layout, are 
137.12 	nonpublic data as provided by section 13.7911.
137.13 	(l) Use of ungraded lumber. The code must allow the use of ungraded lumber in 
137.14 	geographic areas of the state where the code did not generally apply as of April 1, 2008, to 
137.15 	the same extent that ungraded lumber could be used in that area before April 1, 2008.
137.16 	(m) Window cleaning safety.The code must require the installation of dedicated 
137.17 	anchorages for the purpose of suspended window cleaning on (1) new buildings four stories 
137.18 	or greater; and (2) buildings four stories or greater, only on those areas undergoing 
137.19 	reconstruction, alteration, or repair that includes the exposure of primary structural 
137.20 	components of the roof. The commissioner shall adopt rules, using the expedited rulemaking 
137.21 	process in section 14.389 requiring window cleaning safety features that comply with a 
137.22 	nationally recognized standard as part of the State Building Code. Window cleaning safety 
137.23 	features shall be provided for all windows on:
137.24 	(1) new buildings where determined by the code; and
137.25 	(2) existing buildings undergoing alterations where both of the following conditions are 
137.26 	met:
137.27 	(i) the windows do not currently have safe window cleaning features; and
137.28 	(ii) the proposed work area being altered can include provisions for safe window cleaning.
137.29 	The commissioner may waive all or a portion of the requirements of this paragraph 
137.30 	related to reconstruction, alteration, or repair, if the installation of dedicated anchorages 
137.31 	would not result in significant safety improvements due to limits on the size of the project, 
137.32 	or other factors as determined by the commissioner.

138.1 	Sec. 16. Minnesota Statutes 2020, section 326B.145, is amended to read:
138.2 	326B.145 ANNUAL REPORT.
138.3 	(a) Each municipality shall annually report by June 30 to the department, in a format 
138.4 	prescribed by the department, all construction and development-related fees collected by 
138.5 	the municipality from developers, builders, and subcontractors if the cumulative fees collected 
138.6 	exceeded $5,000 $7,000 in the reporting year, except that, for reports due June 30, 2009, 
138.7 	to June 30, 2013, the reporting threshold is $10,000.
138.8 	(b) The report must include:
138.9 	(1) the number and valuation of units for which fees were paid;
138.10 	(2) the amount of building permit fees, plan review fees, administrative fees, engineering 
138.11 	fees, infrastructure fees, and other construction and development-related fees; and
138.12 	(3) the expenses associated with the municipal activities for which fees were collected.
138.13 	(c) A municipality that fails to report to the department in accordance with this section 
138.14 	is subject to the remedies provided by section 326B.082.

138.15 	Sec. 17. Minnesota Statutes 2021 Supplement, section 326B.153, subdivision 1, is amended 
138.16 	to read:
138.17 		Subdivision 1.Building permits. (a) Fees for building permits submitted as required 
138.18 	in section 326B.107 include:
138.19 	(1) the fee as set forth in the fee schedule in paragraph (b) or as adopted by a municipality; 
138.20 	and
138.21 	(2) the surcharge required by section 326B.148.
138.22 	(b) The total valuation and fee schedule is:
138.23 	(1) $1 to $500, $29.50 $21;
138.24 	(2) $501 to $2,000, $28 $21 for the first $500 plus $3.70 $2.75 for each additional $100 
138.25 	or fraction thereof, to and including $2,000;
138.26 	(3) $2,001 to $25,000, $83.50 $62.25 for the first $2,000 plus $16.55 $12.50 for each 
138.27 	additional $1,000 or fraction thereof, to and including $25,000;
138.28 	(4) $25,001 to $50,000, $464.15 $349.75 for the first $25,000 plus $12 $9 for each 
138.29 	additional $1,000 or fraction thereof, to and including $50,000;
139.1 	(5) $50,001 to $100,000, $764.15 $574.75 for the first $50,000 plus $8.45 $6.25 for 
139.2 	each additional $1,000 or fraction thereof, to and including $100,000;
139.3 	(6) $100,001 to $500,000, $1,186.65 $887.25 for the first $100,000 plus $6.75 $5 for 
139.4 	each additional $1,000 or fraction thereof, to and including $500,000;
139.5 	(7) $500,001 to $1,000,000, $3,886.65 $2,887.25 for the first $500,000 plus $5.50 $4.25
139.6 	for each additional $1,000 or fraction thereof, to and including $1,000,000; and
139.7 	(8) $1,000,001 and up, $6,636.65 $5,012.25 for the first $1,000,000 plus $4.50 $2.75
139.8 	for each additional $1,000 or fraction thereof.
139.9 	(c) Other inspections and fees are:
139.10 	(1) inspections outside of normal business hours (minimum charge two hours), $63.25 
139.11 	per hour;
139.12 	(2) reinspection fees, $63.25 per hour;
139.13 	(3) inspections for which no fee is specifically indicated (minimum charge one-half 
139.14 	hour), $63.25 per hour; and
139.15 	(4) additional plan review required by changes, additions, or revisions to approved plans 
139.16 	(minimum charge one-half hour), $63.25 per hour.
139.17 	(d) If the actual hourly cost to the jurisdiction under paragraph (c) is greater than $63.25, 
139.18 	then the greater rate shall be paid. Hourly cost includes supervision, overhead, equipment, 
139.19 	hourly wages, and fringe benefits of the employees involved.

139.20 	EFFECTIVE DATE. This section is effective retroactively from October 1, 2021, and 
139.21 	the amendments to it expire October 1, 2023.

139.22 	Sec. 18. Minnesota Statutes 2020, section 326B.153, is amended by adding a subdivision 
139.23 	to read:
139.24 		Subd. 5.Valuation. The commissioner shall establish a cost per square foot valuation 
139.25 	of new one-family and two-family, townhouse, and accessory utility buildings for the purpose 
139.26 	of setting building permit fees by municipalities.

139.27 	Sec. 19. Minnesota Statutes 2020, section 326B.163, subdivision 5, is amended to read:
139.28 		Subd. 5.Elevator. As used in this chapter, "elevator" means moving walks and vertical 
139.29 	transportation devices such as escalators, passenger elevators, freight elevators, dumbwaiters, 
139.30 	hand-powered elevators, endless belt lifts, and wheelchair platform lifts. Elevator does not 
140.1 	include external temporary material lifts or temporary construction personnel elevators at 
140.2 	sites of construction of new or remodeled buildings.

140.3 	Sec. 20. Minnesota Statutes 2020, section 326B.163, is amended by adding a subdivision 
140.4 	to read:
140.5 		Subd. 5a.Platform lift. As used in this chapter, "platform lift" means a powered hoisting 
140.6 	and lowering device designed to transport mobility-impaired persons on a guided platform.

140.7 	Sec. 21. Minnesota Statutes 2020, section 326B.164, subdivision 13, is amended to read:
140.8 		Subd. 13.Exemption from licensing. (a) Employees of a licensed elevator contractor 
140.9 	or licensed limited elevator contractor are not required to hold or obtain a license under this 
140.10 	section or be provided with direct supervision by a licensed master elevator constructor, 
140.11 	licensed limited master elevator constructor, licensed elevator constructor, or licensed limited 
140.12 	elevator constructor to install, maintain, or repair platform lifts and stairway chairlifts. 
140.13 	Unlicensed employees performing elevator work under this exemption must comply with 
140.14 	subdivision 5. This exemption does not include the installation, maintenance, repair, or 
140.15 	replacement of electrical wiring for elevator equipment.
140.16 	(b) Contractors and individuals shall not be required to hold or obtain a license under 
140.17 	this section when performing work on:
140.18 	(1) conveyors, including vertical reciprocating conveyors;
140.19 	(2) platform lifts not covered under section 326B.163, subdivision 5a; or
140.20 	(3) dock levelers.

140.21 	Sec. 22. Minnesota Statutes 2020, section 326B.36, subdivision 7, is amended to read:
140.22 		Subd. 7.Exemptions from inspections. Installations, materials, or equipment shall not 
140.23 	be subject to inspection under sections 326B.31 to 326B.399:
140.24 	(1) when owned or leased, operated and maintained by any employer whose maintenance 
140.25 	electricians are exempt from licensing under sections 326B.31 to 326B.399, while performing 
140.26 	electrical maintenance work only as defined by rule;
140.27 	(2) when owned or leased, and operated and maintained by any electrical, 
140.28 	communications, or railway utility, cable communications company as defined in section 
140.29 	238.02, or telephone company as defined under section 237.01, in the exercise of its utility, 
140.30 	antenna, or telephone function; and
141.1 	(i) are used exclusively for the generations, transformation, distribution, transmission, 
141.2 	load control, or metering of electric current, or the operation of railway signals, or the 
141.3 	transmission of intelligence, and do not have as a principal function the consumption or use 
141.4 	of electric current by or for the benefit of any person other than such utility, cable 
141.5 	communications company, or telephone company; and
141.6 	(ii) are generally accessible only to employees of such utility, cable communications 
141.7 	company, or telephone company or persons acting under its control or direction; and
141.8 	(iii) are not on the load side of the service point or point of entrance for communication 
141.9 	systems, except for replacement or repair of load management equipment located on the 
141.10 	exterior of a building for an electric utility other than a public utility as defined in section 
141.11 	216B.02, subdivision 4, before December 31, 2027, by a Class A electrical contractor 
141.12 	licensed under section 326B.33;
141.13 	(3) when used in the street lighting operations of an electrical utility;
141.14 	(4) when used as outdoor area lights which are owned and operated by an electrical 
141.15 	utility and which are connected directly to its distribution system and located upon the 
141.16 	utility's distribution poles, and which are generally accessible only to employees of such 
141.17 	utility or persons acting under its control or direction;
141.18 	(5) when the installation, material, and equipment are in facilities subject to the 
141.19 	jurisdiction of the federal Mine Safety and Health Act; or
141.20 	(6) when the installation, material, and equipment is part of an elevator installation for 
141.21 	which the elevator contractor, licensed under section 326B.164, is required to obtain a permit 
141.22 	from the authority having jurisdiction as provided by section 326B.184, and the inspection 
141.23 	has been or will be performed by an elevator inspector certified and licensed by the 
141.24 	department. This exemption shall apply only to installations, material, and equipment 
141.25 	permitted or required to be connected on the load side of the disconnecting means required 
141.26 	for elevator equipment under National Electrical Code Article 620, and elevator 
141.27 	communications and alarm systems within the machine room, car, hoistway, or elevator 
141.28 	lobby.

141.29 	Sec. 23. LAWS CHAPTER 32 EFFECTIVE DATE.
 141.30 	Notwithstanding any other law to the contrary, Laws 2022, chapter 32, articles 1 and 2, 
141.31 	sections 1 to 12, are effective the day following final enactment, and Laws 2022, chapter 
141.32 	32, article 1, section 1, applies to appointments made on or after that date.

142.1 	ARTICLE 8
142.2 	OSHA PENALTY CONFORMANCE

142.3 	Section 1. Minnesota Statutes 2020, section 182.666, subdivision 1, is amended to read:
142.4 		Subdivision 1.Willful or repeated violations. Any employer who willfully or repeatedly 
142.5 	violates the requirements of section 182.653, or any standard, rule, or order adopted under 
142.6 	the authority of the commissioner as provided in this chapter, may be assessed a fine not to 
142.7 	exceed $70,000 $145,027 for each violation. The minimum fine for a willful violation is 
142.8 	$5,000 $10,360.

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

142.10 	Sec. 2. Minnesota Statutes 2020, section 182.666, subdivision 2, is amended to read:
142.11 		Subd. 2.Serious violations. Any employer who has received a citation for a serious 
142.12 	violation of its duties under section 182.653, or any standard, rule, or order adopted under 
142.13 	the authority of the commissioner as provided in this chapter, shall be assessed a fine not 
142.14 	to exceed $7,000 $14,502 for each violation. If a serious violation under section 182.653, 
142.15 	subdivision 2, causes or contributes to the death of an employee, the employer shall be 
142.16 	assessed a fine of up to $25,000 for each violation.

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

142.18 	Sec. 3. Minnesota Statutes 2020, section 182.666, subdivision 3, is amended to read:
142.19 		Subd. 3.Nonserious violations. Any employer who has received a citation for a violation 
142.20 	of its duties under section 182.653, subdivisions 2 to 4, where the violation is specifically 
142.21 	determined not to be of a serious nature as provided in section 182.651, subdivision 12, 
142.22 	may be assessed a fine of up to $7,000 $14,502 for each violation.

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

142.24 	Sec. 4. Minnesota Statutes 2020, section 182.666, subdivision 4, is amended to read:
142.25 		Subd. 4.Failure to correct a violation. Any employer who fails to correct a violation 
142.26 	for which a citation has been issued under section 182.66 within the period permitted for 
142.27 	its correction, which period shall not begin to run until the date of the final order of the 
142.28 	commissioner in the case of any review proceedings under this chapter initiated by the 
142.29 	employer in good faith and not solely for delay or avoidance of penalties, may be assessed 
142.30 	a fine of not more than $7,000 $14,502 for each day during which the failure or violation 
142.31 	continues.

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

143.2 	Sec. 5. Minnesota Statutes 2020, section 182.666, subdivision 5, is amended to read:
143.3 		Subd. 5.Posting violations. Any employer who violates any of the posting requirements, 
143.4 	as prescribed under this chapter, except those prescribed under section 182.661, subdivision 
143.5 	3a, shall be assessed a fine of up to $7,000 $14,502 for each violation.

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

143.7 	Sec. 6. Minnesota Statutes 2020, section 182.666, is amended by adding a subdivision to 
143.8 	read:
143.9 		Subd. 6a.Increases for inflation. (a) Each year, beginning in 2022, the commissioner 
143.10 	shall determine the percentage change in the Minneapolis-St. Paul-Bloomington, MN-WI, 
143.11 	Consumer Price Index for All Urban Consumers (CPI-U) from the month of October in the 
143.12 	preceding calendar year to the month of October in the current calendar year.
143.13 	(b) The commissioner shall increase the fines in subdivisions 1 through 5, except for 
143.14 	the fine for a serious violation under section 182.653, subdivision 2, that causes or contributes 
143.15 	to the death of an employee, by the percentage change determined by the commissioner 
143.16 	under paragraph (a), if the percentage change is greater than zero. The fines shall be increased 
143.17 	to the nearest one dollar.
143.18 	(c) If the percentage change determined by the commissioner under paragraph (a) is not 
143.19 	greater than zero, the commissioner shall not change any of the fines in subdivisions 1 
143.20 	through 5.
143.21 	(d) A fine increased under this subdivision takes effect on the next January 15 after the 
143.22 	commissioner determines the percentage change under paragraph (a) and applies to all fines 
143.23 	assessed on or after the next January 15.
143.24 	(e) No later than December 1 of each year, the commissioner shall give notice in the 
143.25 	State Register of any increase to the fines in subdivisions 1 through 5.

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

144.1 	ARTICLE 9
144.2 	FAIR LABOR STANDARDS FOR AGRICULTURAL AND FOOD PROCESSING 
144.3 	WORKERS

144.4 	Section 1. Minnesota Statutes 2020, section 177.27, subdivision 4, is amended to read:
144.5 		Subd. 4.Compliance orders. The commissioner may issue an order requiring an 
144.6 	employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 
144.7 	181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275, 
144.8 	subdivision 2a, 181.722, 181.79, 181.86 to 181.88, and 181.939 to 181.943, or with any 
144.9 	rule promulgated under section 177.28. The commissioner shall issue an order requiring an 
144.10 	employer to comply with sections 177.41 to 177.435 if the violation is repeated. For purposes 
144.11 	of this subdivision only, a violation is repeated if at any time during the two years that 
144.12 	preceded the date of violation, the commissioner issued an order to the employer for violation 
144.13 	of sections 177.41 to 177.435 and the order is final or the commissioner and the employer 
144.14 	have entered into a settlement agreement that required the employer to pay back wages that 
144.15 	were required by sections 177.41 to 177.435. The department shall serve the order upon the 
144.16 	employer or the employer's authorized representative in person or by certified mail at the 
144.17 	employer's place of business. An employer who wishes to contest the order must file written 
144.18 	notice of objection to the order with the commissioner within 15 calendar days after being 
144.19 	served with the order. A contested case proceeding must then be held in accordance with 
144.20 	sections 14.57 to 14.69. If, within 15 calendar days after being served with the order, the 
144.21 	employer fails to file a written notice of objection with the commissioner, the order becomes 
144.22 	a final order of the commissioner.

144.23 	Sec. 2. Minnesota Statutes 2020, section 179.86, subdivision 1, is amended to read:
144.24 		Subdivision 1.Definition. For the purpose of this section, "employer" means an employer 
144.25 	in the meatpacking or poultry processing industry.

144.26 	Sec. 3. Minnesota Statutes 2020, section 179.86, subdivision 3, is amended to read:
144.27 		Subd. 3.Information provided to employee by employer. (a) At the start of 
144.28 	employment, an employer must provide an explanation in an employee's native language 
144.29 	of the employee's rights and duties as an employee either both person to person or and
144.30 	through written materials that, at a minimum, include:
144.31 	(1) a complete description of the salary and benefits plans as they relate to the employee;
144.32 	(2) a job description for the employee's position;
145.1 	(3) a description of leave policies;
145.2 	(4) a description of the work hours and work hours policy; and
145.3 	(5) a description of the occupational hazards known to exist for the position.; and
145.4 	(6) the name of the employer's workers' compensation insurance carrier, the carrier's 
145.5 	phone number, and the insurance policy number.
145.6 	(b) The explanation must also include information on the following employee rights as 
145.7 	protected by state or federal law and a description of where additional information about 
145.8 	those rights may be obtained:
145.9 	(1) the right to organize and bargain collectively and refrain from organizing and 
145.10 	bargaining collectively;
145.11 	(2) the right to a safe workplace; and
145.12 	(3) the right to be free from discrimination.; and
145.13 	(4) the right to workers' compensation insurance coverage.
145.14 	(c) The requirements under this subdivision are in addition to the requirements under 
145.15 	section 181.032.

145.16 	Sec. 4. Minnesota Statutes 2020, section 179.86, is amended by adding a subdivision to 
145.17 	read:
145.18 		Subd. 5.Civil action. An employee injured by a violation of this section has a cause of 
145.19 	action for damages for the greater of $1,000 per violation or twice the employee's actual 
145.20 	damages, plus costs and reasonable attorney fees. A damage award shall be the greater of 
145.21 	$1,400 or three times actual damages for an employee injured by an intentional violation 
145.22 	of this section.

145.23 	Sec. 5. Minnesota Statutes 2020, section 179.86, is amended by adding a subdivision to 
145.24 	read:
145.25 		Subd. 6.Fine. The commissioner of labor and industry shall fine an employer not less 
145.26 	than $400 or more than $1,000 for each violation of subdivision 3.

145.27 	Sec. 6. Minnesota Statutes 2020, section 181.14, subdivision 1, is amended to read:
145.28 		Subdivision 1.Prompt payment required. (a) When any such employee quits or resigns 
145.29 	employment, the wages or commissions earned and unpaid at the time the employee quits 
145.30 	or resigns shall be paid in full not later than the first regularly scheduled payday following 
146.1 	the employee's final day of employment, unless an employee is subject to a collective 
146.2 	bargaining agreement with a different provision. Wages are earned and unpaid if the 
146.3 	employee was not paid for all time worked at the employee's regular rate of pay or at the 
146.4 	rate required by law, including any applicable statute, regulation, rule, ordinance, government 
146.5 	resolution or policy, contract, or other legal authority, whichever rate of pay is greater. If 
146.6 	the first regularly scheduled payday is less than five calendar days following the employee's 
146.7 	final day of employment, full payment may be delayed until the second regularly scheduled 
146.8 	payday but shall not exceed a total of 20 calendar days following the employee's final day 
146.9 	of employment.
146.10 	(b) Notwithstanding the provisions of paragraph (a), in the case of migrant workers, as 
146.11 	defined in section 181.85, the wages or commissions earned and unpaid at the time the 
146.12 	employee quits or resigns shall become due and payable within five three days thereafter.

146.13 	Sec. 7. Minnesota Statutes 2020, section 181.635, subdivision 1, is amended to read:
146.14 		Subdivision 1.Definitions. The definitions in this subdivision apply to this section.
146.15 	(a) "Employer" means a person who employs another to perform a service for hire. 
146.16 	Employer includes any agent or attorney of an employer who, for money or other valuable 
146.17 	consideration paid or promised to be paid, performs any recruiting.
146.18 	(b) "Person" means a corporation, partnership, limited liability company, limited liability 
146.19 	partnership, association, individual, or group of persons.
146.20 	(c) "Recruits" means to induce an individual, directly or through an agent, to relocate 
146.21 	to Minnesota or within Minnesota to work in food processing by an offer of employment
146.22 	or of the possibility of employment.
146.23 	(d) "Food processing" means canning, packing, or otherwise processing poultry or meat 
146.24 	for consumption.
146.25 	(e) "Terms and conditions of employment" means the following:
146.26 	(1) nature of the work to be performed;
146.27 	(2) wage rate, nature and amount of deductions for tools, clothing, supplies, or other 
146.28 	items;
146.29 	(3) anticipated hours of work per week, including overtime;
146.30 	(4) anticipated slowdown or shutdown or if hours of work per week vary more than 25 
146.31 	percent from clause (3);
147.1 	(5) duration of the work;
147.2 	(6) workers' compensation coverage and name, address, and telephone number of insurer 
147.3 	and Department of Labor and Industry;
147.4 	(7) employee benefits available, including any health plans, sick leave, or paid vacation;
147.5 	(8) transportation and relocation arrangements with allocation of costs between employer 
147.6 	and employee;
147.7 	(9) availability and description of housing and any costs to employee associated with 
147.8 	housing; and
147.9 	(10) any other item of value offered, and allocation of costs of item between employer 
147.10 	and employee.

147.11 	Sec. 8. Minnesota Statutes 2020, section 181.635, subdivision 2, is amended to read:
147.12 		Subd. 2.Recruiting; required disclosure. (a) An employer shall provide written 
147.13 	disclosure of the terms and conditions of employment to a person at the time it recruits the 
147.14 	person to relocate to work in the food processing industry. The disclosure requirement does 
147.15 	not apply to an exempt employee as defined in United States Code, title 29, section 213(a)(1). 
147.16 	The disclosure must be written in English and Spanish, or another language if the person's 
147.17 	preferred language is not Spanish, dated and signed by the employer and the person recruited, 
147.18 	and maintained by the employer for two three years. A copy of the signed and completed 
147.19 	disclosure must be delivered immediately to the recruited person. The disclosure may not 
147.20 	be construed as an employment contract.
147.21 	(b) The requirements under this subdivision are in addition to the requirements under 
147.22 	section 181.032.

147.23 	Sec. 9. Minnesota Statutes 2020, section 181.635, subdivision 3, is amended to read:
147.24 		Subd. 3.Civil action. A person injured by a violation of this section has a cause of action 
147.25 	for damages for the greater of $500 $1,000 per violation or twice their actual damages, plus 
147.26 	costs and reasonable attorney's fees. A damage award shall be the greater of $750 $1,400
147.27 	or three times actual damages for a person injured by an intentional violation of this section.

147.28 	Sec. 10. Minnesota Statutes 2020, section 181.635, subdivision 4, is amended to read:
147.29 		Subd. 4.Fine. The Department of Labor and Industry shall fine an employer not less 
147.30 	than $200 $400 or more than $500 $1,000 for each violation of this section.

148.1 	Sec. 11. Minnesota Statutes 2020, section 181.635, subdivision 6, is amended to read:
148.2 		Subd. 6.Standard disclosure form. The Department of Labor and Industry shall provide 
148.3 	a standard form for use at the employer's option in making the disclosure required in 
148.4 	subdivision 2. The form shall be available in English and Spanish and additional languages 
148.5 	upon request.

148.6 	Sec. 12. Minnesota Statutes 2020, section 181.85, subdivision 2, is amended to read:
148.7 		Subd. 2.Agricultural labor. "Agricultural labor" means field labor associated with the 
148.8 	cultivation and harvest of fruits and vegetables and work performed in processing fruits and 
148.9 	vegetables for market, as well as labor performed in agriculture as defined in Minnesota 
148.10 	Rules, part 5200.0260.

148.11 	Sec. 13. Minnesota Statutes 2020, section 181.85, subdivision 4, is amended to read:
148.12 		Subd. 4.Employer. "Employer" means a processor of fruits or vegetables an individual, 
148.13 	partnership, association, corporation, business trust, or any person or group of persons that 
148.14 	employs, either directly or indirectly through a recruiter, more than 30 migrant workers per 
148.15 	day for more than seven days in any calendar year.

148.16 	Sec. 14. Minnesota Statutes 2020, section 181.86, subdivision 1, is amended to read:
148.17 		Subdivision 1.Terms. (a) An employer that recruits a migrant worker shall provide the 
148.18 	migrant worker, at the time the worker is recruited, with a written employment statement 
148.19 	which shall state clearly and plainly, in English and Spanish, or another language if the 
148.20 	worker's preferred language is not Spanish:
148.21 	(1) the date on which and the place at which the statement was completed and provided 
148.22 	to the migrant worker;
148.23 	(2) the name and permanent address of the migrant worker, of the employer, and of the 
148.24 	recruiter who recruited the migrant worker;
148.25 	(3) the date on which the migrant worker is to arrive at the place of employment, the 
148.26 	date on which employment is to begin, the approximate hours of employment, and the 
148.27 	minimum period of employment;
148.28 	(4) the crops and the operations on which the migrant worker will be employed;
148.29 	(5) the wage rates to be paid;
148.30 	(6) the payment terms, as provided in section 181.87;
149.1 	(7) any deduction to be made from wages; and
149.2 	(8) whether housing will be provided.; and
149.3 	(9) the name of the employer's workers' compensation insurance carrier, the carrier's 
149.4 	phone number, and the insurance policy number.
149.5 	(b) The requirements under this subdivision are in addition to the requirements under 
149.6 	section 181.032.

149.7 	Sec. 15. Minnesota Statutes 2020, section 181.87, subdivision 2, is amended to read:
149.8 		Subd. 2.Biweekly pay. The employer shall pay wages due to the migrant worker at 
149.9 	least every two weeks, except on termination, when the employer shall pay within three 
149.10 	days unless payment is required sooner pursuant to section 181.13.

149.11 	Sec. 16. Minnesota Statutes 2020, section 181.87, subdivision 3, is amended to read:
149.12 		Subd. 3.Guaranteed hours. The employer shall guarantee to each recruited migrant 
149.13 	worker a minimum of 70 hours pay for work in any two successive weeks and, should the 
149.14 	pay for hours actually offered by the employer and worked by the migrant worker provide 
149.15 	a sum of pay less than the minimum guarantee, the employer shall pay the migrant worker 
149.16 	the difference within three days after the scheduled payday for the pay period involved. 
149.17 	Payment for the guaranteed hours shall be at the hourly wage rate, if any, specified in the 
149.18 	employment statement, or the federal or state minimum wage, whichever is higher highest. 
149.19 	Any pay in addition to the hourly wage rate specified in the employment statement shall be 
149.20 	applied against the guarantee. This guarantee applies for the minimum period of employment 
149.21 	specified in the employment statement beginning with the date on which employment is to 
149.22 	begin as specified in the employment statement. The date on which employment is to begin 
149.23 	may be changed by the employer by written, telephonic, or telegraphic notice to the migrant 
149.24 	worker, at the worker's last known address, no later than ten days prior to the previously 
149.25 	stated beginning date. The migrant worker shall contact the recruiter to obtain the latest 
149.26 	information regarding the date upon which employment is to begin no later than five days 
149.27 	prior to the previously stated beginning date. This guarantee shall be reduced, when there 
149.28 	is no work available for a period of seven or more consecutive days during any two-week 
149.29 	period subsequent to the commencement of work, by five hours pay for each such day, 
149.30 	when the unavailability of work is caused by climatic conditions or an act of God, provided 
149.31 	that the employer pays the migrant worker, on the normal payday, the sum of $5 $16 for 
149.32 	each such day.

150.1 	Sec. 17. Minnesota Statutes 2020, section 181.87, subdivision 7, is amended to read:
150.2 		Subd. 7.Statement itemizing deductions from wages. The employer shall provide a 
150.3 	written statement at the time wages are paid clearly itemizing each deduction from wages.
150.4 	The written statement shall also comply with all other requirements for an earnings statement 
150.5 	in section 181.032.

150.6 	Sec. 18. Minnesota Statutes 2020, section 181.88, is amended to read:
150.7 	181.88 RECORD KEEPING.
150.8 	Every employer subject to the provisions of sections 181.85 to 181.90 shall maintain 
150.9 	complete and accurate records of the names of, the daily hours worked by, the rate of pay 
150.10 	for and the wages paid each pay period to for every individual migrant worker recruited by 
150.11 	that employer, as required by section 177.30 and shall preserve the records also maintain 
150.12 	the employment statements required under section 181.86 for a period of at least three years.

150.13 	Sec. 19. Minnesota Statutes 2020, section 181.89, subdivision 2, is amended to read:
150.14 		Subd. 2.Judgment; damages. If the court finds that any defendant has violated the 
150.15 	provisions of sections 181.86 to 181.88, the court shall enter judgment for the actual damages 
150.16 	incurred by the plaintiff or the appropriate penalty as provided by this subdivision, whichever 
150.17 	is greater. The court may also award court costs and a reasonable attorney's fee. The penalties 
150.18 	shall be as follows:
150.19 	(1) whenever the court finds that an employer has violated the record-keeping 
150.20 	requirements of section 181.88, $50 $200;
150.21 	(2) whenever the court finds that an employer has recruited a migrant worker without 
150.22 	providing a written employment statement as provided in section 181.86, subdivision 1, 
150.23 	$250 $800;
150.24 	(3) whenever the court finds that an employer has recruited a migrant worker after having 
150.25 	provided a written employment statement, but finds that the employment statement fails to 
150.26 	comply with the requirement of section 181.86, subdivision 1 or section 181.87, $250 $800;
150.27 	(4) whenever the court finds that an employer has failed to comply with the terms of an 
150.28 	employment statement which the employer has provided to a migrant worker or has failed 
150.29 	to comply with any payment term required by section 181.87, $500 $1,600;
150.30 	(5) whenever the court finds that an employer has failed to pay wages to a migrant worker 
150.31 	within a time period set forth in section 181.87, subdivision 2 or 3, $500 $1,600; and
151.1 	(6) whenever penalties are awarded, they shall be awarded severally in favor of each 
151.2 	migrant worker plaintiff and against each defendant found liable.

151.3 	Sec. 20. Minnesota Statutes 2020, section 181.89, is amended by adding a subdivision to 
151.4 	read:
151.5 		Subd. 3.Enforcement. In addition to any other remedies available, the commissioner 
151.6 	may assess the penalties in subdivision 2 and provide the penalty to the migrant worker 
151.7 	aggrieved by the employer's noncompliance.

151.8 	ARTICLE 10
151.9 	COMBATIVE SPORTS

151.10 	Section 1. Minnesota Statutes 2020, section 341.21, subdivision 2a, is amended to read:
151.11 		Subd. 2a.Combatant. "Combatant" means an individual who employs the act of attack 
151.12 	and defense as a professional boxer, professional or amateur tough person, martial artist,
151.13 	or professional or amateur mixed martial artist while engaged in a combative sport.

151.14 	Sec. 2. Minnesota Statutes 2020, section 341.21, subdivision 2c, is amended to read:
151.15 		Subd. 2c.Combative sports contest. "Combative sports contest" means a professional 
151.16 	boxing, a professional or amateur tough person, or a professional or amateur martial art 
151.17 	contest or mixed martial arts contest, bout, competition, match, or exhibition.

151.18 	Sec. 3. Minnesota Statutes 2020, section 341.21, subdivision 7, is amended to read:
151.19 		Subd. 7.Tough person contest. "Tough person contest," including contests marketed 
151.20 	as tough man or tough woman contests, means a contest of two-minute rounds consisting 
151.21 	of not more than four rounds between two or more individuals who use their hands, or their 
151.22 	feet, or both in any manner. Tough person contest includes kickboxing and other recognized 
151.23 	martial art contest. boxing match or similar contest where each combatant wears headgear 
151.24 	and gloves that weigh at least 12 ounces.

151.25 	Sec. 4. Minnesota Statutes 2020, section 341.221, is amended to read:
151.26 	341.221 ADVISORY COUNCIL.
151.27 	(a) The commissioner must appoint a Combative Sports Advisory Council to advise the 
151.28 	commissioner on the administration of duties under this chapter.
152.1 	(b) The council shall have nine five members appointed by the commissioner. One 
152.2 	member must be a retired judge of the Minnesota District Court, Minnesota Court of Appeals, 
152.3 	Minnesota Supreme Court, the United States District Court for the District of Minnesota, 
152.4 	or the Eighth Circuit Court of Appeals. At least four All five members must have knowledge 
152.5 	of the boxing combative sports industry. At least four members must have knowledge of 
152.6 	the mixed martial arts industry. The commissioner shall make serious efforts to appoint 
152.7 	qualified women to serve on the council.
152.8 	(c) Council members shall serve terms of four years with the terms ending on the first 
152.9 	Monday in January.
152.10 	(d) (c) The council shall annually elect from its membership a chair.
152.11 	(e) (d) Meetings shall be convened by the commissioner, or by the chair with the approval 
152.12 	of the commissioner.
152.13 	(f) The commissioner shall designate two of the members to serve until the first Monday 
152.14 	in January 2013; two members to serve until the first Monday in January 2014; two members 
152.15 	to serve until the first Monday in January 2015; and three members to serve until the first 
152.16 	Monday in January 2016.
152.17 	(e) Appointments to the council and the terms of council members shall be governed by 
152.18 	sections 15.059 and 15.0597.
152.19 	(g) (f) Removal of members, filling of vacancies, and compensation of members shall 
152.20 	be as provided in section 15.059.
152.21 	(g) Meetings convened for the purpose of advising the commissioner on issues related 
152.22 	to a challenge filed under section 341.345 are exempt from the open meeting requirements 
152.23 	of chapter 13D.

152.24 	Sec. 5. Minnesota Statutes 2020, section 341.25, is amended to read:
152.25 	341.25 RULES.
152.26 	(a) The commissioner may adopt rules that include standards for the physical examination 
152.27 	and condition of combatants and referees.
152.28 	(b) The commissioner may adopt other rules necessary to carry out the purposes of this 
152.29 	chapter, including, but not limited to, the conduct of all combative sport contests and their 
152.30 	manner, supervision, time, and place.
152.31 	(c) The commissioner must adopt unified rules for mixed martial arts contests.
153.1 	(d) The commissioner may adopt the rules of the Association of Boxing Commissions, 
153.2 	with amendments.
153.3 	(e) The most recent version of the Unified Rules of Mixed Martial Arts, as promulgated 
153.4 	by the Association of Boxing Commissions and amended August 2, 2016, are incorporated 
153.5 	by reference and made a part of this chapter except as qualified by this chapter and Minnesota 
153.6 	Rules, chapter 2202. In the event of a conflict between this chapter and the Unified Rules, 
153.7 	this chapter must govern.
153.8 	(f) The most recent version of the Unified Rules of Boxing, as promulgated by the 
153.9 	Association of Boxing Commissions, are incorporated by reference and made a part of this 
153.10 	chapter except as modified by this chapter and Minnesota Rules, chapter 2201. In the event 
153.11 	of a conflict between this chapter and the Unified Rules, this chapter must govern.

153.12 	Sec. 6. Minnesota Statutes 2020, section 341.28, is amended to read:
153.13 	341.28 REGULATION OF COMBATIVE SPORT CONTESTS.
153.14 		Subdivision 1.Regulatory authority; combative sports. All combative sport contests 
153.15 	within this state must be conducted according to the requirements of this chapter.
153.16 		Subd. 1a.Regulatory authority; professional boxing contests. All professional boxing 
153.17 	contests are subject to this chapter. Every combatant in a boxing contest shall wear padded 
153.18 	gloves that weigh at least eight ounces. Officials at all boxing contests must be licensed 
153.19 	under this chapter.
153.20 		Subd. 2.Regulatory authority; tough person contests. All professional and amateur 
153.21 	tough person contests are subject to this chapter. All tough person contests are subject to 
153.22 	Association of Boxing Commissions rules the most recent version of the Unified Rules of 
153.23 	Boxing, as promulgated by the Association of Boxing Commissions. Every contestant in a 
153.24 	tough person contest shall have a physical examination prior to their bouts. Every contestant 
153.25 	in a tough person contest shall wear headgear and padded gloves that weigh at least 12 
153.26 	ounces. All tough person bouts are limited to two-minute rounds and a maximum of four 
153.27 	total rounds. Officials at all tough person contests shall be licensed under this chapter.
153.28 		Subd. 3.Regulatory authority; mixed martial arts contests; similar sporting 
153.29 	events. All professional and amateur mixed martial arts contests, martial arts contests except 
153.30 	amateur contests regulated by the Minnesota State High School League (MSHSL), recognized 
153.31 	martial arts studios and schools in Minnesota, and recognized national martial arts 
153.32 	organizations holding contests between students, ultimate fight contests, and similar sporting 
154.1 	events are subject to this chapter and all officials at these events must be licensed under this 
154.2 	chapter.
154.3 		Subd. 4.Regulatory authority; martial arts and amateur boxing. (a) Unless this 
154.4 	chapter specifically states otherwise, contests or exhibitions for martial arts and amateur 
154.5 	boxing are exempt from the requirements of this chapter and officials at these events are 
154.6 	not required to be licensed under this chapter.
154.7 	(b) All martial arts and amateur boxing contests must be regulated by the Thai Boxing 
154.8 	Association, International Sports Karate Association, World Kickboxing Association, United 
154.9 	States Muay Thai Association, United States Muay Thai Federation, World Association of 
154.10 	Kickboxing Organizations, International Kickboxing Federation, USA Boxing, or an 
154.11 	organization that governs interscholastic athletics under subdivision 5.
154.12 	(c) Any regulatory body overseeing a martial arts or amateur boxing event must submit 
154.13 	bout results to the commissioner within 72 hours after the event. If the regulatory body 
154.14 	issues suspensions, it must submit to the commissioner, within 72 hours after the event, a 
154.15 	list of any suspensions resulting from the event.
154.16 		Subd. 5.Regulatory authority; certain students. Amateur martial arts and amateur 
154.17 	boxing contests regulated by the Minnesota State High School League, National Collegiate 
154.18 	Athletic Association, National Junior Collegiate Athletic Association, National Association 
154.19 	of Intercollegiate Athletics, or any similar organization that governs interscholastic athletics 
154.20 	are not subject to this chapter and officials at these events are not required to be licensed 
154.21 	under this chapter.

154.22 	Sec. 7. Minnesota Statutes 2020, section 341.30, subdivision 4, is amended to read:
154.23 		Subd. 4.Prelicensure requirements. (a) Before the commissioner issues a promoter's 
154.24 	license to an individual, corporation, or other business entity, the applicant shall, a minimum 
154.25 	of six weeks before the combative sport contest is scheduled to occur, complete a licensing 
154.26 	application on the Office of Combative Sports website or on forms furnished or approved
154.27 	prescribed by the commissioner and shall:
154.28 	(1) provide the commissioner with a copy of any agreement between a combatant and 
154.29 	the applicant that binds the applicant to pay the combatant a certain fixed fee or percentage 
154.30 	of the gate receipts;
154.31 	(2) (1) show on the licensing application the owner or owners of the applicant entity and 
154.32 	the percentage of interest held by each owner holding a 25 percent or more interest in the 
154.33 	applicant;
155.1 	(3) (2) provide the commissioner with a copy of the latest financial statement of the 
155.2 	applicant;
155.3 	(4) provide the commissioner with a copy or other proof acceptable to the commissioner 
155.4 	of the insurance contract or policy required by this chapter;
155.5 	(5) (3) provide proof, where applicable, of authorization to do business in the state of 
155.6 	Minnesota; and
155.7 	(6) (4) deposit with the commissioner a cash bond or surety bond in an amount set by 
155.8 	the commissioner, which must not be less than $10,000. The bond shall be executed in favor 
155.9 	of this state and shall be conditioned on the faithful performance by the promoter of the 
155.10 	promoter's obligations under this chapter and the rules adopted under it.
155.11 	(b) Before the commissioner issues a license to a combatant, the applicant shall:
155.12 	(1) submit to the commissioner the results of a current medical examination examinations
155.13 	on forms furnished or approved prescribed by the commissioner. The medical examination 
155.14 	must include an ophthalmological and neurological examination, and documentation of test 
155.15 	results for HBV, HCV, and HIV, and any other blood test as the commissioner by rule may 
155.16 	require. The ophthalmological examination must be designed to detect any retinal defects 
155.17 	or other damage or condition of the eye that could be aggravated by combative sports. The 
155.18 	neurological examination must include an electroencephalogram or medically superior test 
155.19 	if the combatant has been knocked unconscious in a previous contest. The commissioner 
155.20 	may also order an electroencephalogram or other appropriate neurological or physical 
155.21 	examination before any contest if it determines that the examination is desirable to protect 
155.22 	the health of the combatant. The commissioner shall not issue a license to an applicant 
155.23 	submitting positive test results for HBV, HCV, or HIV; that state that the combatant is 
155.24 	cleared to participate in a combative sport contest. The applicant must undergo and submit 
155.25 	the results of the following medical examinations, which do not exempt a combatant from 
155.26 	the requirements set forth in section 341.33:
155.27 	(i) a physical examination performed by a licensed medical doctor, doctor of osteopathic 
155.28 	medicine, advance practice nurse practitioner, or a physician assistant. Physical examinations 
155.29 	are valid for one year from the date of the exam;
155.30 	(ii) an ophthalmological examination performed by an ophthalmologist or optometrist 
155.31 	that includes dilation designed to detect any retinal defects or other damage or a condition 
155.32 	of the eye that could be aggravated by combative sports. Ophthalmological examinations 
155.33 	are valid for one year from the date of the exam;
156.1 	(iii) blood work results for HBsAg (Hepatitis B surface antigen), HCV (Hepatitis C 
156.2 	antibody), and HIV. Blood work results are good for one year from the date blood was 
156.3 	drawn. The commissioner shall not issue a license to an applicant submitting positive test 
156.4 	results for HBsAg, HCV, or HIV; and
156.5 	(iv) other appropriate neurological or physical examinations before any contest, if the 
156.6 	commissioner determines that the examination is desirable to protect the health of the 
156.7 	combatant.
156.8 	(2) complete a licensing application on the Office of Combative Sports website or on 
156.9 	forms furnished or approved by the commissioner; and
156.10 	(3) provide proof that the applicant is 18 years of age. Acceptable proof is a photo driver's 
156.11 	license, state photo identification card, passport, or birth certificate combined with additional 
156.12 	photo identification.
156.13 	(c) Before the commissioner issues a license to a referee, judge, or timekeeper, the 
156.14 	applicant must submit proof of qualifications that may include certified training from the 
156.15 	Association of Boxing Commissions, licensure with other regulatory bodies, three 
156.16 	professional references, or a log of bouts worked.
156.17 	(d) Before the commissioner issues a license to a ringside physician, the applicant must 
156.18 	submit proof that they are licensed to practice medicine in the state of Minnesota and in 
156.19 	good standing.

156.20 	Sec. 8. Minnesota Statutes 2020, section 341.32, subdivision 2, is amended to read:
156.21 		Subd. 2.Expiration and application. Licenses expire annually on December 31 June 
156.22 	30. A license may be applied for each year by filing an application for licensure and satisfying 
156.23 	all licensure requirements established in section 341.30, and submitting payment of the 
156.24 	license fees established in section 341.321. An application for a license and renewal of a 
156.25 	license must be on a form provided by the commissioner. Any license received or renewed 
156.26 	in the year 2022 shall be valid until June 30, 2023.

156.27 	Sec. 9. Minnesota Statutes 2020, section 341.321, is amended to read:
156.28 	341.321 FEE SCHEDULE.
156.29 	(a) The fee schedule for professional and amateur licenses issued by the commissioner 
156.30 	is as follows:
156.31 	(1) referees, $25;
157.1 	(2) promoters, $700;
157.2 	(3) judges and knockdown judges, $25;
157.3 	(4) trainers and seconds, $80;
157.4 	(5) timekeepers, $25;
157.5 	(6) professional combatants, $70;
157.6 	(7) amateur combatants, $50; and
157.7 	(8) ringside physicians, $25.
157.8 	License fees for promoters are due at least six weeks prior to the combative sport contest.
157.9 	All other license fees shall be paid no later than the weigh-in prior to the contest. No license 
157.10 	may be issued until all prelicensure requirements outlined in section 341.30 are satisfied 
157.11 	and fees are paid.
157.12 	(b) The commissioner shall establish a contest fee for each combative sport contest and 
157.13 	shall consider the size and type of venue when establishing a contest fee. The A promoter 
157.14 	or event organizer of an event regulated by the Department of Labor and Industry must pay, 
157.15 	per event, a combative sport contest fee is of $1,500 per event or not more than four percent 
157.16 	of the gross ticket sales, whichever is greater, as determined by the commissioner when the 
157.17 	combative sport contest is scheduled. The fee must be paid as follows:
157.18 	(c) A professional or amateur combative sport contest fee is nonrefundable and shall be 
157.19 	paid as follows:
157.20 	(1) $500 at the time is due when the combative sport contest is scheduled; and
157.21 	(2) $1,000 is due at the weigh-in prior to the contest.;
157.22 	(3) if four percent of the gross ticket sales is greater than $1,500, the balance is due to 
157.23 	the commissioner within 14 days of the completed contest; and
157.24 	(4) the face value of all complimentary tickets distributed for an event, to the extent they 
157.25 	exceed 15 percent of total event attendance, count toward gross tickets sales for the purposes 
157.26 	of determining a combative sport contest fee.
157.27 	If four percent of the gross ticket sales is greater than $1,500, the balance is due to the 
157.28 	commissioner within seven days of the completed contest.
157.29 	(d) The commissioner may establish the maximum number of complimentary tickets 
157.30 	allowed for each event by rule.
158.1 	(e) (c) All fees and penalties collected by the commissioner must be deposited in the 
158.2 	commissioner account in the special revenue fund.

158.3 	Sec. 10. [341.322] PAYMENT SCHEDULE.
158.4 	The commissioner may establish a schedule of fees to be paid by a promoter to referees, 
158.5 	judges and knockdown judges, timekeepers, and ringside physicians.

158.6 	Sec. 11. [341.323] EVENT APPROVAL.
158.7 		Subdivision 1.Preapproval documentation. Before the commissioner approves a 
158.8 	combative sport contest, the promoter shall:
158.9 	(1) provide the commissioner, at least six weeks before the combative sport contest is 
158.10 	scheduled to occur, information about the time, date, and location of the contest;
158.11 	(2) provide the commissioner, at least 72 hours before the combative sport contest is 
158.12 	scheduled to occur, with a copy of any agreement between a combatant and the promoter 
158.13 	that binds the promoter to pay the combatant a certain fixed fee or percentage of the gate 
158.14 	receipts;
158.15 	(3) provide the commissioner, at least 72 hours before the combative sport contest is 
158.16 	scheduled to occur, with a copy or other proof acceptable to the commissioner of the 
158.17 	insurance contract or policy required by this chapter; and
158.18 	(4) provide the commissioner, at least 72 hours before the combative sport contest is 
158.19 	scheduled to occur, proof acceptable to the commissioner that the promoter will provide, 
158.20 	at the cost of the promoter, at least one uniformed security guard or uniformed off-duty 
158.21 	member of law enforcement to provide security at any event regulated by the Department 
158.22 	of Labor and Industry. The commissioner may require a promoter to take additional security 
158.23 	measures to ensure the safety of participants and spectators at an event.
158.24 		Subd. 2.Proper licensure. Before the commissioner approves a combative sport contest, 
158.25 	the commissioner must ensure that the promoter is properly licensed under this chapter. 
158.26 	The promoter must maintain proper licensure from the time the promoter schedules a 
158.27 	combative sport contest through the date of the contest.
158.28 		Subd. 3.Discretion. Nothing in this section limits the commissioner's discretion in 
158.29 	deciding whether to approve a combative sport contest or event.

159.1 	Sec. 12. [341.324] AMBULANCE.
159.2 	A promoter must ensure, at the cost of the promoter, that an ambulance and two 
159.3 	emergency medical technicians are on the premises during a combative sport contest.

159.4 	Sec. 13. Minnesota Statutes 2020, section 341.33, is amended to read:
159.5 	341.33 PHYSICAL EXAMINATION REQUIRED; FEES.
159.6 		Subdivision 1.Examination by physician. All combatants must be examined by a 
159.7 	physician licensed by this state within 36 hours before entering the ring, and the examining 
159.8 	physician shall immediately file with the commissioner a written report of the examination. 
159.9 	Each female combatant shall take and submit a negative pregnancy test as part of the 
159.10 	examination. The physician's examination may report on the condition of the combatant's 
159.11 	heart and general physical and general neurological condition. The physician's report may 
159.12 	record the condition of the combatant's nervous system and brain as required by the 
159.13 	commissioner. The physician may prohibit the combatant from entering the ring if, in the 
159.14 	physician's professional opinion, it is in the best interest of the combatant's health. The cost 
159.15 	of the examination is payable by the promoter conducting the contest or exhibition.
159.16 		Subd. 2.Attendance of physician. A promoter holding or sponsoring a combative sport 
159.17 	contest shall have in attendance a physician licensed by this the state of Minnesota. The 
159.18 	commissioner may establish a schedule of fees to be paid to each attending physician by 
159.19 	the promoter holding or sponsoring the contest.

159.20 	Sec. 14. [341.345] CHALLENGING THE OUTCOME OF A COMBATIVE SPORT 
159.21 	CONTEST.
159.22 		Subdivision 1.Challenge. (a) If a combatant disagrees with the outcome of a combative 
159.23 	sport contest regulated by the Department of Labor and Industry in which the combatant 
159.24 	participated, the combatant may challenge the outcome.
159.25 	(b) If a third party makes a challenge on behalf of a combatant, the third party must 
159.26 	provide written confirmation that they are authorized to make the challenge on behalf of 
159.27 	the combatant. The written confirmation must contain the combatant's signature and must 
159.28 	be submitted with the challenge.
159.29 		Subd. 2.Form. A challenge must be submitted on a form prescribed by the commissioner, 
159.30 	set forth all relevant facts and the basis for the challenge, and state what remedy is being 
159.31 	sought. A combatant may submit photos, videos, documents, or any other evidence the 
160.1 	combatant would like the commissioner to consider in connection to the challenge. A 
160.2 	combatant may challenge the outcome of a contest only if it is alleged that:
160.3 	(1) the referee made an incorrect call or missed a rule violation that directly affected the 
160.4 	outcome of the contest;
160.5 	(2) there was collusion amongst officials to affect the outcome of the contest; or
160.6 	(3) scores were miscalculated.
160.7 		Subd. 3.Timing. (a) A challenge must be submitted within ten days of the contest.
160.8 	(b) For purposes of this subdivision, the day of the contest shall not count toward the 
160.9 	ten-day period. If the tenth day falls on a Saturday, Sunday, or legal holiday, then a combatant 
160.10 	shall have until the next day that is not a Saturday, Sunday, or legal holiday to submit a 
160.11 	challenge.
160.12 	(c) The challenge must be submitted to the commissioner at the address, fax number, or 
160.13 	e-mail address designated on the commissioner's website. The date on which a challenge 
160.14 	is submitted by mail shall be the postmark date on the envelope in which the challenge is 
160.15 	mailed. If the challenge is faxed or e-mailed, it must be received by the commissioner by 
160.16 	4:30 p.m. central time on the day the challenge is due.
160.17 		Subd. 4.Opponent's response. If the requirements of subdivisions 1 to 3 are met, the 
160.18 	commissioner shall send a complete copy of the challenge documents, along with any 
160.19 	supporting materials submitted, to the opposing combatant by mail, fax, or e-mail. The 
160.20 	opposing combatant shall have 14 days from the date the commissioner sends the challenge 
160.21 	and supporting materials to submit a response to the commissioner. Additional response 
160.22 	time is not added when the commissioner sends the challenge to the opposing combatant 
160.23 	by mail. The opposing combatant may submit photos, videos, documents, or any other 
160.24 	evidence the opposing combatant would like the commissioner to consider in connection 
160.25 	to the challenge. The response must be submitted to the commissioner at the address, fax 
160.26 	number, or e-mail address designated on the commissioner's website. The date on which a 
160.27 	response is submitted by mail shall be the postmark date on the envelope in which the 
160.28 	response is mailed. If the response is faxed or e-mailed, it must be received by the 
160.29 	commissioner by 4:30 p.m. central time on the day the response is due.
160.30 		Subd. 5.Licensed official review. The commissioner may, if the commissioner 
160.31 	determines it would be helpful in resolving the issues raised in the challenge, send a complete 
160.32 	copy of the challenge or response, along with any supporting materials submitted, to any 
161.1 	licensed official involved in the combative sport contest at issue by mail, fax, or e-mail and 
161.2 	request their views on the issues raised in the challenge.
161.3 		Subd. 6.Order. The commissioner shall issue an order on the challenge within 60 days 
161.4 	after receiving the opposing combatant's response. If the opposing combatant does not 
161.5 	submit a response, the commissioner shall issue an order on the challenge within 75 days 
161.6 	after receiving the challenge.
161.7 		Subd. 7.Nonacceptance. If the requirements of subdivisions 1 to 3 are not met, the 
161.8 	commissioner must not accept the challenge and may send correspondence to the person 
161.9 	who submitted the challenge stating the reasons for nonacceptance of the challenge. A 
161.10 	combatant has no further appeal rights if the combatant's challenge is not accepted by the 
161.11 	commissioner.
161.12 		Subd. 8.Administrative hearing. After the commissioner issues an order under 
161.13 	subdivision 6, each combatant, under section 326B.082, subdivision 8, has 30 days after 
161.14 	service of the order to submit a request for hearing before an administrative law judge.

161.15 	Sec. 15. Minnesota Statutes 2020, section 341.355, is amended to read:
161.16 	341.355 CIVIL PENALTIES.
161.17 	When the commissioner finds that a person has violated one or more provisions of any 
161.18 	statute, rule, or order that the commissioner is empowered to regulate, enforce, or issue, the 
161.19 	commissioner may impose, for each violation, a civil penalty of up to $10,000 for each 
161.20 	violation, or a civil penalty that deprives the person of any economic advantage gained by 
161.21 	the violation, or both. The commissioner may also impose these penalties against a person 
161.22 	who has violated section 341.28, subdivision 4, paragraph (b) or (c).

161.23 	ARTICLE 11
161.24 	PUBLIC EMPLOYMENT RELATIONS BOARD

161.25 	Section 1. Minnesota Statutes 2020, section 13.43, subdivision 6, is amended to read:
161.26 		Subd. 6.Access by labor organizations, Bureau of Mediation Services, Public 
161.27 	Employment Relations Board. Personnel data may be disseminated to labor organizations 
161.28 	and the Public Employment Relations Board to the extent that the responsible authority 
161.29 	determines that the dissemination is necessary to conduct elections, notify employees of 
161.30 	fair share fee assessments, and implement the provisions of chapters 179 and 179A. Personnel 
161.31 	data shall be disseminated to labor organizations, the Public Employment Relations Board,
161.32 	and to the Bureau of Mediation Services to the extent the dissemination is ordered or 
162.1 	authorized by the commissioner of the Bureau of Mediation Services or the Public 
162.2 	Employment Relations Board or its designee.

162.3 	Sec. 2. [13.7909] PUBLIC EMPLOYMENT RELATIONS BOARD DATA.
162.4 		Subdivision 1.Definition. For purposes of this section, "board" means the Public 
162.5 	Employment Relations Board.
162.6 		Subd. 2.Nonpublic data. (a) Except as provided in this subdivision, all data maintained 
162.7 	by the board about a charge or complaint of unfair labor practices and appeals of 
162.8 	determinations of the commissioner under section 179A.12, subdivision 11, are classified 
162.9 	as protected nonpublic data or confidential data, and become public when admitted into 
162.10 	evidence at a hearing conducted pursuant to section 179A.13. The data may be subject to 
162.11 	a protective order as determined by the board or a hearing officer.
162.12 	(b) Notwithstanding sections 13.43 and 181.932, the following data are public:
162.13 	(1) the filing date of unfair labor practice charges;
162.14 	(2) the status of unfair labor practice charges as an original or amended charge;
162.15 	(3) the names and job classifications of charging parties and charged parties;
162.16 	(4) the provisions of law alleged to have been violated in unfair labor practice charges;
162.17 	(5) the complaint issued by the board and all data in the complaint;
162.18 	(6) the full and complete record of an evidentiary hearing before a hearing officer, 
162.19 	including the hearing transcript, exhibits admitted into evidence, and posthearing briefs, 
162.20 	unless subject to a protective order;
162.21 	(7) recommended decisions and orders of hearing officers pursuant to section 179A.13, 
162.22 	subdivision 1, paragraph (i);
162.23 	(8) exceptions to the hearing officer's recommended decision and order filed with the 
162.24 	board pursuant to section 179A.13, subdivision 1, paragraph (k);
162.25 	(9) briefs filed with the board; and
162.26 	(10) decisions and orders issued by the board.
162.27 	(c) Notwithstanding paragraph (a), individuals have access to their own statements 
162.28 	provided to the board under paragraph (a).
163.1 	(d) The board may make any data classified as protected nonpublic or confidential 
163.2 	pursuant to this subdivision accessible to any person or party if the access will aid the 
163.3 	implementation of chapters 179 and 179A or ensure due process protection of the parties.

163.4 	Sec. 3. Minnesota Statutes 2020, section 179A.041, is amended by adding a subdivision 
163.5 	to read:
163.6 		Subd. 10.Open meetings. Chapter 13D does not apply to meetings of the board when 
163.7 	it is deliberating on the merits of unfair labor practice charges under sections 179.11, 179.12, 
163.8 	and 179A.13; reviewing a recommended decision and order of a hearing officer under 
163.9 	section 179A.13; or reviewing decisions of the commissioner of the Bureau of Mediation 
163.10 	Services relating to unfair labor practices under section 179A.12, subdivision 11.

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

163.12 	Sec. 4. PUBLIC EMPLOYMENT RELATIONS BOARD.
 163.13 	Notwithstanding any other law to the contrary, Laws 2014, chapter 211, sections 1 to 3 
163.14 	and 6 to 11, as amended by Laws 2015, First Special Session chapter 1, article 7, section 
163.15 	1; Laws 2016, chapter 189, article 7, section 42; Laws 2017, chapter 94, article 12, section 
163.16 	1; and Laws 2021, First Special Session chapter 10, article 3, section 19, are effective the 
163.17 	day following final enactment and apply to any claims brought on or after that date. From 
163.18 	July 1, 2021, until the day following final enactment, the district court of the county in 
163.19 	which the practice is alleged to have occurred retains jurisdiction over any action by any 
163.20 	employee, employer, employee or employer organization, exclusive representative, or any 
163.21 	other person or organization aggrieved by an unfair labor practice as defined in Minnesota 
163.22 	Statutes, section 179A.13.

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

163.24 	ARTICLE 12
163.25 	REFINERY SAFETY

163.26 	Section 1. Minnesota Statutes 2020, section 177.27, subdivision 4, is amended to read:
163.27 		Subd. 4.Compliance orders. The commissioner may issue an order requiring an 
163.28 	employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 
163.29 	181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275, 
163.30 	subdivision 2a, 181.722, 181.79, and 181.939 to 181.943, and 181.987, or with any rule 
163.31 	promulgated under section 177.28. The commissioner shall issue an order requiring an 
164.1 	employer to comply with sections 177.41 to 177.435 or 181.987 if the violation is repeated. 
164.2 	For purposes of this subdivision only, a violation is repeated if at any time during the two 
164.3 	years that preceded the date of violation, the commissioner issued an order to the employer 
164.4 	for violation of sections 177.41 to 177.435 or 181.987and the order is final or the 
164.5 	commissioner and the employer have entered into a settlement agreement that required the 
164.6 	employer to pay back wages that were required by sections 177.41 to 177.435. The 
164.7 	department shall serve the order upon the employer or the employer's authorized 
164.8 	representative in person or by certified mail at the employer's place of business. An employer 
164.9 	who wishes to contest the order must file written notice of objection to the order with the 
164.10 	commissioner within 15 calendar days after being served with the order. A contested case 
164.11 	proceeding must then be held in accordance with sections 14.57 to 14.69. If, within 15 
164.12 	calendar days after being served with the order, the employer fails to file a written notice 
164.13 	of objection with the commissioner, the order becomes a final order of the commissioner.

164.14 	EFFECTIVE DATE. This section is effective October 15, 2022.

164.15 	Sec. 2. [181.987] USE OF SKILLED AND TRAINED CONTRACTOR 
164.16 	WORKFORCES AT PETROLEUM REFINERIES.
164.17 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
164.18 	the meanings given.
164.19 	(b) "Contractor" means a vendor that enters into or seeks to enter into a contract with 
164.20 	an owner or operator of a petroleum refinery to perform construction, alteration, demolition, 
164.21 	installation, repair, maintenance, or hazardous material handling work at the site of the 
164.22 	petroleum refinery. Contractor includes all contractors or subcontractors of any tier 
164.23 	performing work as described in this paragraph at the site of the petroleum refinery. 
164.24 	Contractor does not include employees of the owner or operator of a petroleum refinery.
164.25 	(c) "Registered apprenticeship program" means an apprenticeship program providing 
164.26 	each trainee with combined classroom and on-the-job training under the direct and close 
164.27 	supervision of a highly skilled worker in an occupation recognized as an apprenticeable 
164.28 	occupation registered with the Department of Labor and Industry under chapter 178 or with 
164.29 	the United States Department of Labor Office of Apprenticeship or a recognized state 
164.30 	apprenticeship agency under Code of Federal Regulations, title 29, parts 29 and 30.
164.31 	(d) "Skilled and trained workforce" means a workforce in which employees of the 
164.32 	contractor or subcontractor of any tier working at the site of the petroleum refinery meet 
164.33 	one of the following criteria:
165.1 	(1) are currently registered as apprentices in a registered apprenticeship program in the 
165.2 	applicable trade;
165.3 	(2) have graduated from a registered apprenticeship program in the applicable trade; or
165.4 	(3) have completed all of the classroom training and work hour requirements needed to 
165.5 	graduate from the registered apprenticeship program their employer participates in.
165.6 	(e) A contractor's workforce must meet the requirements of paragraph (d) according to 
165.7 	the following schedule:
165.8 	(1) 65 percent of the contractor's workforce by October 15, 2022;
165.9 	(2) 75 percent of the contractor's workforce by October 15, 2023; and
165.10 	(3) 85 percent of the contractor's workforce by October 15, 2024.
165.11 	(f) "Petroleum refinery" means a facility engaged in producing gasoline, kerosene, 
165.12 	distillate fuel oils, residual fuel oils, lubricants, or other products through distillation of 
165.13 	petroleum or through redistillation, cracking, or reforming of unfinished petroleum 
165.14 	derivatives.
165.15 	(g) "Apprenticeable occupation" means any trade, form of employment, or occupation 
165.16 	approved for apprenticeship by the United States secretary of labor or the commissioner of 
165.17 	labor and industry.
165.18 	(h) "Original equipment manufacturer" or "OEM" means an organization that 
165.19 	manufactures or fabricates equipment for sale directly to purchasers or other resellers.
165.20 		Subd. 2.Use of contractors by owner, operator; requirement. (a) An owner or operator 
165.21 	of a petroleum refinery shall, when contracting with contractors for the performance of 
165.22 	construction, alteration, demolition, installation, repair, maintenance, or hazardous material 
165.23 	handling work at the site of the petroleum refinery, require that the contractors performing 
165.24 	that work, and any subcontractors of any tier, use a skilled and trained workforce when 
165.25 	performing all work at the site of the petroleum refinery.
165.26 	(b) The requirement under this subdivision applies only when each contractor and 
165.27 	subcontractor of any tier is performing work at the site of the petroleum refinery.
165.28 	(c) This subdivision does not apply to contractors or subcontractors hired to perform 
165.29 	OEM work necessary to comply with equipment warranty requirements.
165.30 		Subd. 3.Penalties. The Division of Labor Standards shall receive complaints of violations 
165.31 	of this section. The commissioner of labor and industry shall fine an owner, operator, 
165.32 	contractor, or subcontractor of any tier not less than $5,000 nor more than $10,000 for each 
166.1 	violation of the requirements in this section. Each shift on which a violation of this section 
166.2 	occurs shall be considered a separate violation. This penalty is in addition to any penalties 
166.3 	provided under section 177.27, subdivision 7. In determining the amount of a civil penalty 
166.4 	under this subdivision, the appropriateness of the penalty to the size of the violator's business 
166.5 	and the gravity of the violation shall be considered.
166.6 		Subd. 4.Civil actions. A person injured by a violation of this section may bring a civil 
166.7 	action for damages against an owner or operator of a petroleum refinery. The court may 
166.8 	award to a prevailing plaintiff under this subdivision damages, attorney fees, costs, 
166.9 	disbursements, and any other appropriate relief as otherwise provided by law.

166.10 	EFFECTIVE DATE. This section is effective October 15, 2022.

166.11 	ARTICLE 13
166.12 	AGRICULTURAL WORKER WELLNESS

166.13 	Section 1. [179.911] OMBUDSPERSON FOR THE SAFETY, HEALTH, AND 
166.14 	WELL-BEING OF AGRICULTURAL AND FOOD PROCESSING WORKERS.
166.15 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
166.16 	the meanings given.
166.17 	(b) "Agricultural work" is defined broadly to include but is not limited to farming in all 
166.18 	its branches including dairy work; field production, cultivation, growing, and harvesting of 
166.19 	any agricultural or horticultural commodity; and raising livestock, bees, fur-bearing animals, 
166.20 	and poultry.
166.21 	(c) "Food processing" has the meaning given in section 181.635, subdivision 1, paragraph 
166.22 	(d). For the purposes of this section and section 179.912, food processing also includes 
166.23 	meatpacking and poultry processing.
166.24 		Subd. 2.Appointment. The governor shall appoint an ombudsperson for the safety, 
166.25 	health, and well-being of agricultural and food processing workers. The ombudsperson shall 
166.26 	serve in the unclassified service to assist agricultural and food processing workers with 
166.27 	housing, workplace safety, fair labor standards, and other challenges. The ombudsperson 
166.28 	must be selected without regard to the person's political affiliation. The ombudsperson shall 
166.29 	serve a term of four years, which may be renewed, and may be removed prior to the end of 
166.30 	the term for just cause.
166.31 		Subd. 3.Qualifications. The ombudsperson must be highly competent and qualified to 
166.32 	analyze questions of law, administration, and public policy regarding the safety, health, and 
167.1 	well-being of agricultural and food processing workers. The ombudsperson must have 
167.2 	knowledge and experience in the fields of workplace safety, housing, and fair labor standards. 
167.3 	The ombudsperson must be familiar with governmental entities and their roles, interpretation 
167.4 	of laws and regulations, record keeping, report writing, public speaking, and management. 
167.5 	In addition, the ombudsperson must have experience working with agricultural and food 
167.6 	processing workers and must be knowledgeable about the needs and experiences of those 
167.7 	communities. No individual may serve as the ombudsperson for the safety, health, and 
167.8 	well-being of agricultural and food processing workers while running for or holding any 
167.9 	other public office. The ombudsperson must speak fluently in a language in addition to 
167.10 	English that is commonly used by agricultural and food processing workers.
167.11 		Subd. 4.Duties. (a) The ombudsperson's duties shall include but are not limited to the 
167.12 	following:
167.13 	(1) creating and collecting educational materials in relevant languages to orient 
167.14 	agricultural and food processing workers about their rights under Minnesota laws and rules 
167.15 	and state services available to them;
167.16 	(2) outreach to agricultural and food processing stakeholders, including workers and 
167.17 	employers, to inform them of the services of the office in order to support workers in 
167.18 	navigating their concerns;
167.19 	(3) acting as a member of the Minnesota Migrant Services Consortium and having a 
167.20 	formal relationship with any other relevant and appropriate state committees, work groups, 
167.21 	or task forces engaged in work related to agricultural and food processing workers;
167.22 	(4) coordinating across state agencies to develop strategies to better assist agricultural 
167.23 	and food processing workers;
167.24 	(5) providing recommendations to state agencies for coordinated communication strategies 
167.25 	to promote workplace safety, adequate housing, fair labor standards, and other issues for 
167.26 	agricultural and food processing workers;
167.27 	(6) offering accessible methods of contact, including telephone, text, and virtual 
167.28 	communication platforms, to answer questions, receive complaints, and discuss agency 
167.29 	actions with agricultural stakeholders; and
167.30 	(7) addressing complaints and requests for assistance related to workplace safety, housing, 
167.31 	labor standards, and other concerns by supporting agricultural stakeholders in navigating 
167.32 	regulatory authorities.
168.1 	(b) The ombudsperson must report to the commissioner annually by December 31 on 
168.2 	the services provided by the ombudsperson to agricultural and food processing workers, 
168.3 	including the number of stakeholders served and the activities of the ombudsperson in 
168.4 	carrying out the duties under this section. The commissioner shall determine the form of 
168.5 	the report and may specify additional reporting requirements.
168.6 		Subd. 5.Complaints. The ombudsperson may receive a complaint from any source 
168.7 	concerning an action of an agency, facility, or program. After completing a review, the 
168.8 	ombudsperson shall inform the complainant, agency, facility, or program.
168.9 		Subd. 6.Access to records. (a) The ombudsperson or designee, excluding volunteers, 
168.10 	has access to any data of a state agency necessary for the discharge of the ombudsperson's 
168.11 	duties, including records classified as confidential data on individuals or private data on 
168.12 	individuals under chapter 13 or any other law. The ombudsperson's data request must relate 
168.13 	to a specific case and is subject to section 13.03, subdivision 4. If the data concerns an 
168.14 	individual, the ombudsperson or designee shall first obtain the individual's consent. If the 
168.15 	individual is unable to consent and has no parent or legal guardian, the ombudsperson's or 
168.16 	designee's access to the data is authorized by this section.
168.17 	(b) The ombudsperson and designee must adhere to chapter 13 and must not disseminate 
168.18 	any private or confidential data on individuals unless specifically authorized by state, local, 
168.19 	or federal law or pursuant to a court order.
168.20 		Subd. 7.Staff support. The ombudsperson may appoint and compensate out of available 
168.21 	funds a confidential secretary in the unclassified service as authorized by law. The 
168.22 	ombudsperson and the ombudsperson's full-time staff are members of the Minnesota State 
168.23 	Retirement Association. The ombudsperson may delegate to staff members any authority 
168.24 	or duties of the office, except the duty to provide reports to the governor, commissioner, or 
168.25 	legislature.
168.26 		Subd. 8.Independence of action. In carrying out the duties under this section, the 
168.27 	ombudsperson may provide testimony to the legislature, make periodic reports to the 
168.28 	legislature, and address areas of concern to agricultural and food processing workers.
168.29 		Subd. 9.Civil actions. The ombudsperson and designees are not civilly liable for any 
168.30 	action taken under this section if the action was taken in good faith, was within the scope 
168.31 	of the ombudsperson's authority, and did not constitute willful or reckless misconduct.
168.32 		Subd. 10.Posting. (a) The commissioners of labor and industry, employment and 
168.33 	economic development, health, administration, and human rights shall post on their 
168.34 	departments' websites the mailing address, e-mail address, and telephone number for the 
169.1 	ombudsperson's office. The commissioners shall provide agricultural stakeholders with the 
169.2 	mailing address, e-mail address, and telephone number of the ombudsperson's office upon 
169.3 	request. Departmental programs or contractors providing services to agricultural stakeholders 
169.4 	must provide those stakeholders with the mailing address, e-mail address, and telephone 
169.5 	number of the ombudsperson's office upon request.
169.6 	(b) The ombudsperson must approve all postings and notices required by the departments 
169.7 	and counties under this subdivision.

169.8 	Sec. 2. [179.912] AGRICULTURAL WORKER WELLNESS COMMITTEE.
169.9 		Subdivision 1.Agricultural Worker Wellness Committee established. The Agricultural 
169.10 	Worker Wellness Committee is established to carry out the work of the committee established 
169.11 	by the governor's Executive Order No. 21-14. The commissioner of labor and industry shall 
169.12 	hire two full-time equivalent staff to support the committee.
169.13 		Subd. 2.Definitions. For the purposes of this section:
169.14 	(1) "food processing" and "agricultural work" have the meanings given under section 
169.15 	179.911, subdivision 1; and
169.16 	(2) "musculoskeletal disorders" includes carpal tunnel syndrome, tendinitis, rotator cuff 
169.17 	injuries, trigger finger, epicondylitis, muscle strains, and lower back injuries.
169.18 		Subd. 3.Membership. (a) The committee shall consist of up to 21 voting members who 
169.19 	shall serve three-year terms including, at a minimum:
169.20 	(1) the commissioners of labor and industry, employment and economic development, 
169.21 	agriculture, health, and housing finance, or their designees; and
169.22 	(2) the following members appointed by the governor:
169.23 	(i) one representative from the Migrant Services Consortium;
169.24 	(ii) three representatives of agricultural employers;
169.25 	(iii) three at-large representatives from geographic regions of the state dependent on the 
169.26 	agricultural sector;
169.27 	(iv) three representatives of community-based organizations with expertise in agricultural 
169.28 	workers and communities;
169.29 	(v) three union representatives; and
169.30 	(vi) three representatives of local public health.
170.1 	(b) Other commissioners or their designees not named in paragraph (a), clause (1), may 
170.2 	serve on the board as nonvoting members.
170.3 		Subd. 4.Membership terms; compensation. (a) The governor shall make initial 
170.4 	appointments to the board by October 1, 2022. Initial appointees shall serve staggered terms 
170.5 	of three years or as determined by the secretary of state.
170.6 	(b) Members shall be compensated as provided in section 15.0575, subdivision 3.
170.7 		Subd. 5.Chairs; other officers. The commissioners of agriculture and labor and industry 
170.8 	or their designees shall serve as co-chairs of the committee. The committee may elect other 
170.9 	officers as necessary from its members.
170.10 		Subd. 6.Committee responsibilities. The committee shall:
170.11 	(1) analyze and recommend policies to address housing, workplace safety, including the 
170.12 	reduction and prevention of musculoskeletal disorders, and fair labor issues faced by migrant, 
170.13 	food processing, and meatpacking agricultural workers;
170.14 	(2) serve as an ongoing forum for the stakeholder groups represented on the committee 
170.15 	and coordinate state, local, and private partners' collaborative work to maintain a healthy 
170.16 	and equitable agricultural and food processing industry which is foundational to Minnesota's 
170.17 	economy; and
170.18 	(3) coordinate and support pandemic response and public health and safety initiatives, 
170.19 	including ergonomic hazard and risk prevention, as they affect agricultural and food 
170.20 	processing workers in upcoming growing, harvesting, and processing seasons.
170.21 		Subd. 7.Central inventory of reports and analyses on agricultural and food 
170.22 	processing workers. Within available appropriations and in collaboration with stakeholders, 
170.23 	the committee shall work to establish a central inventory of data reports and analyses 
170.24 	regarding agricultural and food processing workers, including demographic information 
170.25 	and definitions of agricultural and food processing workers to help policymakers in state 
170.26 	and local government agencies, stakeholders, and the public to understand the population 
170.27 	needs and assets and to advance state and local initiatives.
170.28 		Subd. 8.Report to legislature and governor. The committee shall present to the 
170.29 	governor and chairs and ranking minority members of the legislative committees with 
170.30 	jurisdiction over labor and agriculture an annual work plan and report regarding its 
170.31 	accomplishments. Measurements of success must include tracking:
170.32 	(1) stakeholder engagement;
171.1 	(2) efficient and effective response to a pandemic or other disruptions of growing, 
171.2 	harvesting, and processing seasons;
171.3 	(3) increased coordination among governmental, employer, and advocacy organizations 
171.4 	connected to the agricultural and food processing industry; and
171.5 	(4) advancement of recommendations that strengthen the industry, including but not 
171.6 	limited to procedures to identify and eliminate ergonomic hazards and contributing risk 
171.7 	factors.

171.8 	ARTICLE 14
171.9 	EARNED SICK AND SAFE TIME

171.10 	Section 1. Minnesota Statutes 2020, section 181.942, subdivision 1, is amended to read:
171.11 		Subdivision 1.Comparable position. (a) An employee returning from a leave of absence 
171.12 	under section 181.941 is entitled to return to employment in the employee's former position 
171.13 	or in a position of comparable duties, number of hours, and pay. An employee returning 
171.14 	from a leave of absence longer than one month must notify a supervisor at least two weeks 
171.15 	prior to return from leave. An employee returning from a leave under section 181.9412 or 
171.16 	181.9413 sections 181.9445 to 181.9448 is entitled to return to employment in the employee's 
171.17 	former position.
171.18 	(b) If, during a leave under sections 181.940 to 181.944, the employer experiences a 
171.19 	layoff and the employee would have lost a position had the employee not been on leave, 
171.20 	pursuant to the good faith operation of a bona fide layoff and recall system, including a 
171.21 	system under a collective bargaining agreement, the employee is not entitled to reinstatement 
171.22 	in the former or comparable position. In such circumstances, the employee retains all rights 
171.23 	under the layoff and recall system, including a system under a collective bargaining 
171.24 	agreement, as if the employee had not taken the leave.

171.25 	Sec. 2. [181.9445] DEFINITIONS.
171.26 		Subdivision 1.Definitions. For the purposes of section 177.50 and sections 181.9445 
171.27 	to 181.9447, the terms defined in this section have the meanings given them.
171.28 		Subd. 2.Commissioner. "Commissioner" means the commissioner of labor and industry 
171.29 	or authorized designee or representative.
171.30 		Subd. 3.Domestic abuse. "Domestic abuse" has the meaning given in section 518B.01.
172.1 		Subd. 4.Earned sick and safe time. "Earned sick and safe time" means leave, including 
172.2 	paid time off and other paid leave systems, that is paid at the same hourly rate as an employee 
172.3 	earns from employment that may be used for the same purposes and under the same 
172.4 	conditions as provided under section 181.9447.
172.5 		Subd. 5.Employee. "Employee" means any person who is employed by an employer, 
172.6 	including temporary and part-time employees, who performs work for at least 80 hours in 
172.7 	a year for that employer in Minnesota. Employee does not include:
172.8 	(1) an independent contractor; or
172.9 	(2) an individual employed by an air carrier as a flight deck or cabin crew member who 
172.10 	is subject to United States Code, title 45, sections 181 to 188, and who is provided with 
172.11 	paid leave equal to or exceeding the amounts in section 181.9446.
172.12 		Subd. 6.Employer. "Employer" means a person who has one or more employees. 
172.13 	Employer includes an individual, a corporation, a partnership, an association, a business 
172.14 	trust, a nonprofit organization, a group of persons, a state, county, town, city, school district, 
172.15 	or other governmental subdivision. In the event that a temporary employee is supplied by 
172.16 	a staffing agency, absent a contractual agreement stating otherwise, that individual shall be 
172.17 	an employee of the staffing agency for all purposes of section 177.50 and sections 181.9445 
172.18 	to 181.9448.
172.19 		Subd. 7.Family member. "Family member" means:
172.20 	(1) an employee's:
172.21 	(i) child, foster child, adult child, legal ward, or child for whom the employee is legal 
172.22 	guardian;
172.23 	(ii) spouse or registered domestic partner;
172.24 	(iii) sibling, stepsibling, or foster sibling;
172.25 	(iv) parent or stepparent;
172.26 	(v) grandchild, foster grandchild, or stepgrandchild; or
172.27 	(vi) grandparent or stepgrandparent;
172.28 	(2) any of the family members listed in clause (1) of a spouse or registered domestic 
172.29 	partner;
172.30 	(3) any individual related by blood or affinity whose close association with the employee 
172.31 	is the equivalent of a family relationship; and
173.1 	(4) up to one individual annually designated by the employee.
173.2 		Subd. 8.Health care professional. "Health care professional" means any person licensed 
173.3 	under federal or state law to provide medical or emergency services, including doctors, 
173.4 	physician assistants, nurses, and emergency room personnel.
173.5 		Subd. 9.Prevailing wage rate. "Prevailing wage rate" has the meaning given in section 
173.6 	177.42 and as calculated by the Department of Labor and Industry.
173.7 		Subd. 10.Retaliatory personnel action. "Retaliatory personnel action" means:
173.8 	(1) any form of intimidation, threat, reprisal, harassment, discrimination, or adverse 
173.9 	employment action, including discipline, discharge, suspension, transfer, or reassignment 
173.10 	to a lesser position in terms of job classification, job security, or other condition of 
173.11 	employment; reduction in pay or hours or denial of additional hours; the accumulation of 
173.12 	points under an attendance point system; informing another employer that the person has 
173.13 	engaged in activities protected by this chapter; or reporting or threatening to report the actual 
173.14 	or suspected citizenship or immigration status of an employee, former employee, or family 
173.15 	member of an employee to a federal, state, or local agency; and
173.16 	(2) interference with or punishment for participating in any manner in an investigation, 
173.17 	proceeding, or hearing under this chapter.
173.18 		Subd. 11.Sexual assault. "Sexual assault" means an act that constitutes a violation 
173.19 	under sections 609.342 to 609.3453 or 609.352.
173.20 		Subd. 12.Stalking. "Stalking" has the meaning given in section 609.749.
173.21 		Subd. 13.Year. "Year" means a regular and consecutive 12-month period, as determined 
173.22 	by an employer and clearly communicated to each employee of that employer.

173.23 	Sec. 3. [181.9446] ACCRUAL OF EARNED SICK AND SAFE TIME.
173.24 	(a) An employee accrues a minimum of one hour of earned sick and safe time for every 
173.25 	30 hours worked up to a maximum of 48 hours of earned sick and safe time in a year. 
173.26 	Employees may not accrue more than 48 hours of earned sick and safe time in a year unless 
173.27 	the employer agrees to a higher amount.
173.28 	(b) Employers must permit an employee to carry over accrued but unused sick and safe 
173.29 	time into the following year. The total amount of accrued but unused earned sick and safe 
173.30 	time for an employee must not exceed 80 hours at any time, unless an employer agrees to 
173.31 	a higher amount.
174.1 	(c) Employees who are exempt from overtime requirements under United States Code, 
174.2 	title 29, section 213(a)(1), as amended through the effective date of this section, are deemed 
174.3 	to work 40 hours in each workweek for purposes of accruing earned sick and safe time, 
174.4 	except that an employee whose normal workweek is less than 40 hours will accrue earned 
174.5 	sick and safe time based on the normal workweek.
174.6 	(d) Earned sick and safe time under this section begins to accrue at the commencement 
174.7 	of employment of the employee.
174.8 	(e) Employees may use accrued earned sick and safe time beginning 90 calendar days 
174.9 	after the day their employment commenced. After 90 days from the day employment 
174.10 	commenced, employees may use earned sick and safe time as it is accrued. The 
174.11 	90-calendar-day period under this paragraph includes both days worked and days not worked.

174.12 	Sec. 4. [181.9447] USE OF EARNED SICK AND SAFE TIME.
174.13 		Subdivision 1.Eligible use. An employee may use accrued earned sick and safe time 
174.14 	for:
174.15 	(1) an employee's:
174.16 	(i) mental or physical illness, injury, or other health condition;
174.17 	(ii) need for medical diagnosis, care, or treatment of a mental or physical illness, injury, 
174.18 	or health condition; or
174.19 	(iii) need for preventive medical or health care;
174.20 	(2) care of a family member:
174.21 	(i) with a mental or physical illness, injury, or other health condition;
174.22 	(ii) who needs medical diagnosis, care, or treatment of a mental or physical illness, 
174.23 	injury, or other health condition; or
174.24 	(iii) who needs preventive medical or health care;
174.25 	(3) absence due to domestic abuse, sexual assault, or stalking of the employee or 
174.26 	employee's family member, provided the absence is to:
174.27 	(i) seek medical attention related to physical or psychological injury or disability caused 
174.28 	by domestic abuse, sexual assault, or stalking;
174.29 	(ii) obtain services from a victim services organization;
174.30 	(iii) obtain psychological or other counseling;
175.1 	(iv) seek relocation due to domestic abuse, sexual assault, or stalking; or
175.2 	(v) seek legal advice or take legal action, including preparing for or participating in any 
175.3 	civil or criminal legal proceeding related to or resulting from domestic abuse, sexual assault, 
175.4 	or stalking;
175.5 	(4) closure of the employee's place of business due to weather or other public emergency 
175.6 	or an employee's need to care for a family member whose school or place of care has been 
175.7 	closed due to weather or other public emergency; and
175.8 	(5) when it has been determined by the health authorities having jurisdiction or by a 
175.9 	health care professional that the presence of the employee or family member of the employee 
175.10 	in the community would jeopardize the health of others because of the exposure of the 
175.11 	employee or family member of the employee to a communicable disease, whether or not 
175.12 	the employee or family member has actually contracted the communicable disease.
175.13 		Subd. 2.Notice. An employer may require notice of the need for use of earned sick and 
175.14 	safe time as provided in this paragraph. If the need for use is foreseeable, an employer may 
175.15 	require advance notice of the intention to use earned sick and safe time but must not require 
175.16 	more than seven days' advance notice. If the need is unforeseeable, an employer may require 
175.17 	an employee to give notice of the need for earned sick and safe time as soon as practicable.
175.18 		Subd. 3.Documentation. When an employee uses earned sick and safe time for more 
175.19 	than three consecutive days, an employer may require reasonable documentation that the 
175.20 	earned sick and safe time is covered by subdivision 1. For earned sick and safe time under 
175.21 	subdivision 1, clauses (1) and (2), reasonable documentation may include a signed statement 
175.22 	by a health care professional indicating the need for use of earned sick and safe time. For 
175.23 	earned sick and safe time under subdivision 1, clause (3), an employer must accept a court 
175.24 	record or documentation signed by a volunteer or employee of a victims services organization, 
175.25 	an attorney, a police officer, or an antiviolence counselor as reasonable documentation. An 
175.26 	employer must not require disclosure of details relating to domestic abuse, sexual assault, 
175.27 	or stalking or the details of an employee's or an employee's family member's medical 
175.28 	condition as related to an employee's request to use earned sick and safe time under this 
175.29 	section.
175.30 		Subd. 4.Replacement worker. An employer may not require, as a condition of an 
175.31 	employee using earned sick and safe time, that the employee seek or find a replacement 
175.32 	worker to cover the hours the employee uses as earned sick and safe time.
176.1 		Subd. 5.Increment of time used. Earned sick and safe time may be used in the smallest 
176.2 	increment of time tracked by the employer's payroll system, provided such increment is not 
176.3 	more than four hours.
176.4 		Subd. 6.Retaliation prohibited. An employer shall not take retaliatory personnel action 
176.5 	against an employee because the employee has requested earned sick and safe time, used 
176.6 	earned sick and safe time, requested a statement of accrued sick and safe time, or made a 
176.7 	complaint or filed an action to enforce a right to earned sick and safe time under this section.
176.8 		Subd. 7.Reinstatement to comparable position after leave. An employee returning 
176.9 	from a leave under this section is entitled to return to employment in a comparable position. 
176.10 	If, during a leave under this section, the employer experiences a layoff and the employee 
176.11 	would have lost a position had the employee not been on leave, pursuant to the good faith 
176.12 	operation of a bona fide layoff and recall system, including a system under a collective 
176.13 	bargaining agreement, the employee is not entitled to reinstatement in the former or 
176.14 	comparable position. In such circumstances, the employee retains all rights under the layoff 
176.15 	and recall system, including a system under a collective bargaining agreement, as if the 
176.16 	employee had not taken the leave.
176.17 		Subd. 8.Pay and benefits after leave. An employee returning from a leave under this 
176.18 	section is entitled to return to employment at the same rate of pay the employee had been 
176.19 	receiving when the leave commenced, plus any automatic adjustments in the employee's 
176.20 	pay scale that occurred during the leave period. The employee returning from a leave is 
176.21 	entitled to retain all accrued preleave benefits of employment and seniority as if there had 
176.22 	been no interruption in service, provided that nothing under this section prevents the accrual 
176.23 	of benefits or seniority during the leave pursuant to a collective bargaining or other agreement 
176.24 	between the employer and employees.
176.25 		Subd. 9.Part-time return from leave. An employee, by agreement with the employer, 
176.26 	may return to work part time during the leave period without forfeiting the right to return 
176.27 	to employment at the end of the leave, as provided under this section.
176.28 		Subd. 10.Notice and posting by employer. (a) Employers must give notice to all 
176.29 	employees that they are entitled to earned sick and safe time, including the amount of earned 
176.30 	sick and safe time, the accrual year for the employee, and the terms of its use under this 
176.31 	section; that retaliation against employees who request or use earned sick and safe time is 
176.32 	prohibited; and that each employee has the right to file a complaint or bring a civil action 
176.33 	if earned sick and safe time is denied by the employer or the employee is retaliated against 
176.34 	for requesting or using earned sick and safe time.
177.1 	(b) Employers must supply employees with a notice in English and other appropriate 
177.2 	languages that contains the information required in paragraph (a) at commencement of 
177.3 	employment or the effective date of this section, whichever is later.
177.4 	(c) The means used by the employer must be at least as effective as the following options 
177.5 	for providing notice:
177.6 	(1) posting a copy of the notice at each location where employees perform work and 
177.7 	where the notice must be readily observed and easily reviewed by all employees performing 
177.8 	work; or
177.9 	(2) providing a paper or electronic copy of the notice to employees.
177.10 	The notice must contain all information required under paragraph (a). The commissioner 
177.11 	shall create and make available to employers a poster and a model notice that contains the 
177.12 	information required under paragraph (a) for their use in complying with this section.
177.13 	(d) An employer that provides an employee handbook to its employees must include in 
177.14 	the handbook notice of employee rights and remedies under this section.
177.15 		Subd. 11.Required statement to employee. (a) Upon request of the employee, the 
177.16 	employer must provide, in writing or electronically, current information stating the 
177.17 	employee's amount of:
177.18 	(1) earned sick and safe time available to the employee; and
177.19 	(2) used earned sick and safe time.
177.20 	(b) Employers may choose a reasonable system for providing the information in paragraph 
177.21 	(a), including but not limited to listing information on each pay stub or developing an online 
177.22 	system where employees can access their own information.
177.23 		Subd. 12.Employer records. (a) Employers shall retain accurate records documenting 
177.24 	hours worked by employees and earned sick and safe time taken and comply with all 
177.25 	requirements under section 177.30.
177.26 	(b) An employer must allow an employee to inspect records required by this section and 
177.27 	relating to that employee at a reasonable time and place.
177.28 		Subd. 13.Confidentiality and nondisclosure. (a) If, in conjunction with this section, 
177.29 	an employer possesses:
177.30 	(1) health or medical information regarding an employee or an employee's family 
177.31 	member;
178.1 	(2) information pertaining to domestic abuse, sexual assault, or stalking;
178.2 	(3) information that the employee has requested or obtained leave under this section; or
178.3 	(4) any written or oral statement, documentation, record, or corroborating evidence 
178.4 	provided by the employee or an employee's family member, the employer must treat such 
178.5 	information as confidential.
178.6 	Information given by an employee may only be disclosed by an employer if the disclosure 
178.7 	is requested or consented to by the employee, when ordered by a court or administrative 
178.8 	agency, or when otherwise required by federal or state law.
178.9 	(b) Records and documents relating to medical certifications, recertifications, or medical 
178.10 	histories of employees or family members of employees created for purposes of section 
178.11 	177.50 or sections 181.9445 to 181.9448 must be maintained as confidential medical records 
178.12 	separate from the usual personnel files. At the request of the employee, the employer must 
178.13 	destroy or return the records required by sections 181.9445 to 181.9448 that are older than 
178.14 	three years prior to the current calendar year.
178.15 	(c) Employers may not discriminate against any employee based on records created for 
178.16 	the purposes of section 177.50 or sections 181.9445 to 181.9448.

178.17 	Sec. 5. [181.9448] EFFECT ON OTHER LAW OR POLICY.
178.18 		Subdivision 1.No effect on more generous sick and safe time policies. (a) Nothing 
178.19 	in sections 181.9445 to 181.9448 shall be construed to discourage employers from adopting 
178.20 	or retaining earned sick and safe time policies that meet or exceed, and do not otherwise 
178.21 	conflict with, the minimum standards and requirements provided in sections 181.9445 to 
178.22 	181.9447.
178.23 	(b) Nothing in sections 181.9445 to 181.9447 shall be construed to limit the right of 
178.24 	parties to a collective bargaining agreement to bargain and agree with respect to earned sick 
178.25 	and safe time policies or to diminish the obligation of an employer to comply with any 
178.26 	contract, collective bargaining agreement, or any employment benefit program or plan that 
178.27 	meets or exceeds, and does not otherwise conflict with, the minimum standards and 
178.28 	requirements provided in this section.
178.29 	(c) Employers who provide earned sick and safe time to their employees under a paid 
178.30 	time off policy or other paid leave policy that meets or exceeds, and does not otherwise 
178.31 	conflict with, the minimum standards and requirements provided in sections 181.9445 to 
178.32 	181.9448 are not required to provide additional earned sick and safe time.
179.1 	(d) An employer may opt to satisfy the requirements of sections 181.9445 to 181.9448 
179.2 	for construction industry employees by:
179.3 	(1) paying at least the prevailing wage rate as defined by section 177.42 and as calculated 
179.4 	by the Department of Labor and Industry; or
179.5 	(2) paying at least the required rate established in a registered apprenticeship agreement 
179.6 	for apprentices registered with the Department of Labor and Industry.
179.7 	An employer electing this option is deemed to be in compliance with sections 181.9445 to 
179.8 	181.9448 for construction industry employees who receive either at least the prevailing 
179.9 	wage rate or the rate required in the applicable apprenticeship agreement regardless of 
179.10 	whether the employees are working on private or public projects.
179.11 	(e) Sections 181.9445 to 181.9448 do not prohibit an employer from establishing a policy 
179.12 	whereby employees may donate unused accrued sick and safe time to another employee.
179.13 	(f) Sections 181.9445 to 181.9448 do not prohibit an employer from advancing sick and 
179.14 	safe time to an employee before accrual by the employee.
179.15 		Subd. 2.Termination; separation; transfer. Sections 181.9445 to 181.9448 do not 
179.16 	require financial or other reimbursement to an employee from an employer upon the 
179.17 	employee's termination, resignation, retirement, or other separation from employment for 
179.18 	accrued earned sick and safe time that has not been used. If an employee is transferred to 
179.19 	a separate division, entity, or location, but remains employed by the same employer, the 
179.20 	employee is entitled to all earned sick and safe time accrued at the prior division, entity, or 
179.21 	location and is entitled to use all earned sick and safe time as provided in sections 181.9445 
179.22 	to 181.9448. When there is a separation from employment and the employee is rehired 
179.23 	within 180 days of separation by the same employer, previously accrued earned sick and 
179.24 	safe time that had not been used must be reinstated. An employee is entitled to use accrued 
179.25 	earned sick and safe time and accrue additional earned sick and safe time at the 
179.26 	commencement of reemployment.
179.27 		Subd. 3.Employer succession. (a) When a different employer succeeds or takes the 
179.28 	place of an existing employer, all employees of the original employer who remain employed 
179.29 	by the successor employer are entitled to all earned sick and safe time accrued but not used 
179.30 	when employed by the original employer, and are entitled to use all earned sick and safe 
179.31 	time previously accrued but not used.
179.32 	(b) If, at the time of transfer of the business, employees are terminated by the original 
179.33 	employer and hired within 30 days by the successor employer following the transfer, those 
180.1 	employees are entitled to all earned sick and safe time accrued but not used when employed 
180.2 	by the original employer, and are entitled to use all earned sick and safe time previously 
180.3 	accrued but not used.

180.4 	Sec. 6. REPEALER.
 180.5 	Minnesota Statutes 2020, section 181.9413, is repealed.

180.6 	Sec. 7. EFFECTIVE DATE.
 180.7 	This article is effective 180 days following final enactment.

180.8 	ARTICLE 15
180.9 	EARNED SICK AND SAFE TIME ENFORCEMENT

180.10 	Section 1. Minnesota Statutes 2020, section 177.27, subdivision 2, is amended to read:
180.11 		Subd. 2.Submission of records; penalty. The commissioner may require the employer 
180.12 	of employees working in the state to submit to the commissioner photocopies, certified 
180.13 	copies, or, if necessary, the originals of employment records which the commissioner deems 
180.14 	necessary or appropriate. The records which may be required include full and correct 
180.15 	statements in writing, including sworn statements by the employer, containing information 
180.16 	relating to wages, hours, names, addresses, and any other information pertaining to the 
180.17 	employer's employees and the conditions of their employment as the commissioner deems 
180.18 	necessary or appropriate.
180.19 	The commissioner may require the records to be submitted by certified mail delivery 
180.20 	or, if necessary, by personal delivery by the employer or a representative of the employer, 
180.21 	as authorized by the employer in writing.
180.22 	The commissioner may fine the employer up to $1,000 $10,000 for each failure to submit 
180.23 	or deliver records as required by this section, and up to $5,000 for each repeated failure. 
180.24 	This penalty is in addition to any penalties provided under section 177.32, subdivision 1. 
180.25 	In determining the amount of a civil penalty under this subdivision, the appropriateness of 
180.26 	such penalty to the size of the employer's business and the gravity of the violation shall be 
180.27 	considered.

180.28 	Sec. 2. Minnesota Statutes 2020, section 177.27, subdivision 4, is amended to read:
180.29 		Subd. 4.Compliance orders. The commissioner may issue an order requiring an 
180.30 	employer to comply with sections 177.21 to 177.435, 181.02, 181.03, 181.031, 181.032, 
181.1 	181.101, 181.11, 181.13, 181.14, 181.145, 181.15, 181.172, paragraph (a) or (d), 181.275, 
181.2 	subdivision 2a, 181.722, 181.79, and181.939 to 181.943, and 181.9445 to 181.9448, or 
181.3 	with any rule promulgated under section 177.28. The commissioner shall issue an order 
181.4 	requiring an employer to comply with sections 177.41 to 177.435 if the violation is repeated. 
181.5 	For purposes of this subdivision only, a violation is repeated if at any time during the two 
181.6 	years that preceded the date of violation, the commissioner issued an order to the employer 
181.7 	for violation of sections 177.41 to 177.435 and the order is final or the commissioner and 
181.8 	the employer have entered into a settlement agreement that required the employer to pay 
181.9 	back wages that were required by sections 177.41 to 177.435. The department shall serve 
181.10 	the order upon the employer or the employer's authorized representative in person or by 
181.11 	certified mail at the employer's place of business. An employer who wishes to contest the 
181.12 	order must file written notice of objection to the order with the commissioner within 15 
181.13 	calendar days after being served with the order. A contested case proceeding must then be 
181.14 	held in accordance with sections 14.57 to 14.69. If, within 15 calendar days after being 
181.15 	served with the order, the employer fails to file a written notice of objection with the 
181.16 	commissioner, the order becomes a final order of the commissioner.

181.17 	Sec. 3. Minnesota Statutes 2020, section 177.27, subdivision 7, is amended to read:
181.18 		Subd. 7.Employer liability. If an employer is found by the commissioner to have 
181.19 	violated a section identified in subdivision 4, or any rule adopted under section 177.28, and 
181.20 	the commissioner issues an order to comply, the commissioner shall order the employer to 
181.21 	cease and desist from engaging in the violative practice and to take such affirmative steps 
181.22 	that in the judgment of the commissioner will effectuate the purposes of the section or rule 
181.23 	violated. The commissioner shall order the employer to pay to the aggrieved parties back 
181.24 	pay, gratuities, and compensatory damages, less any amount actually paid to the employee 
181.25 	by the employer, and for an additional equal amount as liquidated damages. Any employer 
181.26 	who is found by the commissioner to have repeatedly or willfully violated a section or 
181.27 	sections identified in subdivision 4 shall be subject to a civil penalty of up to $1,000  $10,000 
181.28 	for each violation for each employee. In determining the amount of a civil penalty under 
181.29 	this subdivision, the appropriateness of such penalty to the size of the employer's business 
181.30 	and the gravity of the violation shall be considered. In addition, the commissioner may order 
181.31 	the employer to reimburse the department and the attorney general for all appropriate 
181.32 	litigation and hearing costs expended in preparation for and in conducting the contested 
181.33 	case proceeding, unless payment of costs would impose extreme financial hardship on the 
181.34 	employer. If the employer is able to establish extreme financial hardship, then the 
181.35 	commissioner may order the employer to pay a percentage of the total costs that will not 
182.1 	cause extreme financial hardship. Costs include but are not limited to the costs of services 
182.2 	rendered by the attorney general, private attorneys if engaged by the department, 
182.3 	administrative law judges, court reporters, and expert witnesses as well as the cost of 
182.4 	transcripts. Interest shall accrue on, and be added to, the unpaid balance of a commissioner's 
182.5 	order from the date the order is signed by the commissioner until it is paid, at an annual rate 
182.6 	provided in section 549.09, subdivision 1, paragraph (c). The commissioner may establish 
182.7 	escrow accounts for purposes of distributing damages.

182.8 	Sec. 4. [177.50] EARNED SICK AND SAFE TIME ENFORCEMENT.
182.9 		Subdivision 1.Definitions. The definitions in section 181.9445 apply to this section.
182.10 		Subd. 2.Rulemaking authority. The commissioner may adopt rules to carry out the 
182.11 	purposes of this section and sections 181.9445 to 181.9448.
182.12 		Subd. 3.Individual remedies. In addition to any other remedies provided by law, a 
182.13 	person injured by a violation of sections 181.9445 to 181.9448 may bring a civil action to 
182.14 	recover general and special damages, along with costs, fees, and reasonable attorney fees, 
182.15 	and may receive injunctive and other equitable relief as determined by a court. An action 
182.16 	to recover damages under this subdivision must be commenced within three years of the 
182.17 	violation of sections 181.9445 to 181.9448 that caused the injury to the employee.
182.18 		Subd. 4.Grants to community organizations. The commissioner may make grants to 
182.19 	community organizations for the purpose of outreach to and education for employees 
182.20 	regarding their rights under sections 181.9445 to 181.9448. The community-based 
182.21 	organizations must be selected based on their experience, capacity, and relationships in 
182.22 	high-violation industries. The work under such a grant may include the creation and 
182.23 	administration of a statewide worker hotline.
182.24 		Subd. 5.Report to legislature. (a) The commissioner must submit an annual report to 
182.25 	the legislature, including to the chairs and ranking minority members of any relevant 
182.26 	legislative committee. The report must include but is not limited to:
182.27 	(1) a list of all violations of sections 181.9445 to 181.9448, including the employer 
182.28 	involved, and the nature of any violations; and
182.29 	(2) an analysis of noncompliance with sections 181.9445 to 181.9448, including any 
182.30 	patterns by employer, industry, or county.
182.31 	(b) A report under this section must not include an employee's name or other identifying 
182.32 	information, any health or medical information regarding an employee or an employee's 
183.1 	family member, or any information pertaining to domestic abuse, sexual assault, or stalking 
183.2 	of an employee or an employee's family member.
183.3 		Subd. 6.Contract for labor or services. It is the responsibility of all employers to not 
183.4 	enter into any contract or agreement for labor or services where the employer has any actual 
183.5 	knowledge or knowledge arising from familiarity with the normal facts and circumstances 
183.6 	of the business activity engaged in, or has any additional facts or information that, taken 
183.7 	together, would make a reasonably prudent person undertake to inquire whether, taken 
183.8 	together, the contractor is not complying or has failed to comply with this section. For 
183.9 	purposes of this subdivision, "actual knowledge" means information obtained by the employer 
183.10 	that the contractor has violated this section within the past two years and has failed to present 
183.11 	the employer with credible evidence that such noncompliance has been cured going forward.

183.12 	EFFECTIVE DATE. This section is effective 180 days after final enactment.

183.13 	ARTICLE 16
183.14 	WAREHOUSE DISTRIBUTION WORKER SAFETY

183.15 	Section 1. [182.6526] WAREHOUSE DISTRIBUTION WORKER SAFETY.
183.16 		Subdivision 1.Definitions. (a) The terms defined in this subdivision have the meanings 
183.17 	given them.
183.18 	(b) "Commissioner" means the commissioner of labor and industry.
183.19 	(c) "Employee" means a nonexempt employee who works at a warehouse distribution 
183.20 	center.
183.21 	(d) "Employee work speed data" means information an employer collects, stores, analyzes, 
183.22 	or interprets relating to an individual employee's or group of employees' pace of work, 
183.23 	including but not limited to quantities of tasks performed, quantities of items or materials 
183.24 	handled or produced, rates or speeds of tasks performed, measurements or metrics of 
183.25 	employee performance in relation to a quota, and time categorized as performing tasks or 
183.26 	not performing tasks.
183.27 	(e) "Employer" means a person who directly or indirectly, or through an agent or any 
183.28 	other person, including through the services of a third-party employer, temporary service, 
183.29 	or staffing agency or similar entity, employs or exercises control over the wages, hours, or 
183.30 	working conditions of 250 or more employees at a single warehouse distribution center or 
183.31 	1,000 or more employees at one or more warehouse distribution centers in the state. For 
183.32 	purposes of this paragraph, all employees of an employer's unitary business, as that term is 
184.1 	defined in section 290.17, subdivision 4, shall be counted in determining the number of 
184.2 	employees employed at a single warehouse distribution center or at one or more warehouse 
184.3 	distribution centers in the state.
184.4 	(f) "Warehouse distribution center" means an establishment as defined by any of the 
184.5 	following North American Industry Classification System (NAICS) codes:
184.6 	(1) 493110 for General Warehousing and Storage;
184.7 	(2) 423 for Merchant Wholesalers, Durable Goods;
184.8 	(3) 424 for Merchant Wholesalers, Nondurable Goods;
184.9 	(4) 454110 for Electronic Shopping and Mail-Order Houses; and
184.10 	(5) 492110 for Couriers and Express Delivery Services.
184.11 	(g) "Quota" means a work standard under which:
184.12 	(1) an employee or group of employees is assigned or required to perform at a specified 
184.13 	productivity speed, or perform a quantified number of tasks, or handle or produce a quantified 
184.14 	amount of material, or perform without a certain number of errors or defects, as measured 
184.15 	at the individual or group level within a defined time period; or
184.16 	(2) an employee's actions are categorized between time performing tasks and not 
184.17 	performing tasks, and the employee's failure to complete a task performance standard or 
184.18 	recommendation may have an adverse impact on the employee's continued employment.
184.19 		Subd. 2.Notice required. (a) Each employer shall provide to each employee a written 
184.20 	description of each quota to which the employee is subject and how it is measured, including 
184.21 	the quantified number of tasks to be performed or materials to be produced or handled or 
184.22 	the limit on time categorized as not performing tasks, within the defined time period, and 
184.23 	any potential adverse employment action that could result from failure to meet the quota.
184.24 	(b) The written description must be understandable in plain language and in the 
184.25 	employee's language of preference.
184.26 	(c) The written description must be provided:
184.27 	(1) upon hire or within 30 days of the effective date of this section; and
184.28 	(2) no fewer than two working days prior to the effective date of any modification of 
184.29 	existing quotas.
184.30 	(d) An employer shall not take adverse employment action against an employee for 
184.31 	failure to meet a quota that has not been disclosed to the employee.
185.1 		Subd. 3.Breaks. An employee shall not be required to meet a quota that prevents 
185.2 	compliance with meal or rest or prayer periods, use of restroom facilities, including 
185.3 	reasonable travel time to and from restroom facilities as provided under section 177.253, 
185.4 	subdivision 1, or occupational health and safety standards under this chapter or Minnesota 
185.5 	Rules, chapter 5205. An employer shall not take adverse employment action against an 
185.6 	employee for failure to meet a quota that does not allow a worker to comply with meal or 
185.7 	rest or prayer periods, or occupational health and safety standards under this chapter.
185.8 		Subd. 4.Work speed data. (a) Employees have the right to request orally or in writing 
185.9 	from any supervisor, and the employer shall provide within 72 hours, a written description 
185.10 	of each quota to which the employee is subject and a copy of the most recent 90 days of the 
185.11 	employee's own personal work speed data. The written description of each quota must meet 
185.12 	the requirements of subdivision 2, paragraph (b), and the employee work speed data must 
185.13 	be provided in a manner understandable to the employee. An employee can make a request 
185.14 	under this paragraph no more than four times per year.
185.15 	(b) If an employer disciplines an employee for failure to meet a quota, the employer 
185.16 	must, at the time of discipline, provide the employee with a written copy of the most recent 
185.17 	90 days of the employee's own personal work speed data. If an employer dismisses an 
185.18 	employee for any reason, they must, at the time of firing, provide the employee with a 
185.19 	written copy of the most recent 90 days of the employee's own personal work speed data. 
185.20 	An employer shall not retaliate against an employee for requesting data under this 
185.21 	subdivision.
185.22 		Subd. 5.High rates of injury. If a particular work site or employer is found to have an 
185.23 	employee incidence rate in a given year, based on data reported to the federal Occupational 
185.24 	Safety and Health Administration, of at least 30 percent higher than that year's average 
185.25 	incidence rate for the relevant NAICS code's nonfatal occupational injuries and illnesses 
185.26 	by industry and case types, released by the United States Bureau of Labor Statistics, the 
185.27 	commissioner shall open an investigation of violations under this section. The employer 
185.28 	must also hold its safety committee meetings as provided under section 182.676 monthly 
185.29 	until, for two consecutive years, the work site or employer does not have an employee 
185.30 	incidence rate 30 percent higher than the average yearly incidence rate for the relevant 
185.31 	NAICS code.
185.32 		Subd. 6.Enforcement. (a) Subdivision 2, paragraphs (a) to (c), subdivision 4, and 
185.33 	subdivision 5 shall be enforced by the commissioner under sections 182.66, 182.661, and 
185.34 	182.669. A violation of this section is subject to the penalties provided under sections 
185.35 	182.666 and 182.669.
186.1 	(b) A current or former employee aggrieved by a violation of this section may bring a 
186.2 	civil cause of action for damages and injunctive relief to obtain compliance with this section, 
186.3 	may receive other equitable relief as determined by a court, including reinstatement with 
186.4 	back pay, and may, upon prevailing in the action, recover costs and reasonable attorney 
186.5 	fees in that action. A cause of action under this section must be commenced within one year 
186.6 	of the date of injury.
186.7 	(c) Nothing in this section shall be construed to prevent local enforcement of occupational 
186.8 	health and safety standards that are more restrictive than this section.

186.9 	Sec. 2. SEVERABILITY.
 186.10 	If any provision of this act or the application thereof to any person or circumstance is 
186.11 	held invalid, the invalidity does not affect other provisions or applications of the act which 
186.12 	can be given effect without the invalid provision or application.

186.13 	ARTICLE 17
186.14 	COMMERCE APPROPRIATIONS

186.15	Section 1. APPROPRIATIONS.
 	
186.16 	The sums shown in the columns marked "Appropriations" are appropriated to the agencies 
186.17 	and for the purposes specified in this article. The appropriations are from the general fund, 
186.18 	or another named fund, and are available for the fiscal years indicated for each purpose. 
186.19 	The figures "2022" and "2023" used in this article mean that the appropriations listed under 
186.20 	them are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively.

186.21				APPROPRIATIONS
	
186.22				Available for the Year
	
186.23				Ending June 30
	
186.24					2022
		2023

186.25	Sec. 2.  DEPARTMENT OF COMMERCE
 	$
	-0-
	$
	66,341,000
	
186.26 	(a) $4,000,000 in fiscal year 2023 is for 
186.27 	deposit in the solar on public buildings grant 
186.28 	program account for the grant program 
186.29 	described in Minnesota Statutes, section 
186.30 	216C.377. This appropriation may not be used 
186.31 	to provide grants to public buildings located 
186.32 	within the electric service area of the electric 
186.33 	utility subject to Minnesota Statutes, section 
187.1 	116C.779. This is a onetime appropriation and 
187.2 	remains available until June 30, 2025.
187.3 	(b) $30,000,000 in fiscal year 2023 is to 
187.4 	provide grants to community action agencies 
187.5 	and other agencies to weatherize residences 
187.6 	and to install preweatherization measures in 
187.7 	residential buildings occupied by eligible 
187.8 	low-income households, as provided under 
187.9 	Minnesota Statutes, sections 216B.2403, 
187.10 	subdivision 5; 216B.241, subdivision 7; and 
187.11 	216C.264. Of this amount:
187.12 	(1) up to ten percent may be used to 
187.13 	supplement utility spending on 
187.14 	preweatherization measures as part of a 
187.15 	low-income conservation program; and
187.16 	(2) up to ten percent may be used to:
187.17 	(i) recruit and train energy auditors and 
187.18 	installers of weatherization assistance services; 
187.19 	and
187.20 	(ii) provide financial incentives to contractors 
187.21 	and workers who install weatherization 
187.22 	assistance services.
187.23 	The base in fiscal year 2024 is $15,000,000 
187.24 	and the base in fiscal year 2025 is 
187.25 	$15,000,000.
187.26 	For the purposes of this paragraph:
187.27 	(A) "low-income conservation program" 
187.28 	means a utility program that offers energy 
187.29 	conservation services to low-income 
187.30 	households as part of the utility's energy 
187.31 	conservation and optimization plan under 
187.32 	Minnesota Statutes, section 216B.2403, 
187.33 	subdivision 5, or 216B.241, subdivision 7;
188.1 	(B) "preweatherization measure" has the 
188.2 	meaning given in Minnesota Statutes, section 
188.3 	216B.2402, subdivision 20;
188.4 	(C) "weatherization assistance program" 
188.5 	means the federal program described in Code 
188.6 	of Federal Regulations, title 10, part 440 et 
188.7 	seq., designed to assist low-income households 
188.8 	to reduce energy use in a cost-effective 
188.9 	manner; and
188.10 	(D) "weatherization assistance services" means 
188.11 	the energy conservation measures installed in 
188.12 	households under the weatherization assistance 
188.13 	program and under utility low-income 
188.14 	conservation programs.
188.15 	(c) $2,195,000 in fiscal year 2023 is for 
188.16 	residential electric panel upgrade grants under 
188.17 	Minnesota Statutes, section 216C.45, and to 
188.18 	pay the reasonable costs incurred by the 
188.19 	department to administer Minnesota Statutes, 
188.20 	section 216C.45. This is a onetime 
188.21 	appropriation and is available until June 30, 
188.22 	2025.
188.23 	(d) $500,000 in fiscal year 2023 is to award 
188.24 	grants to auto dealers to seek certification from 
188.25 	electric vehicle manufacturers to sell electric 
188.26 	vehicles under Minnesota Statutes, section 
188.27 	216C.402. This is a onetime appropriation and 
188.28 	is available until June 30, 2025.
188.29 	(e) $3,000,000 in fiscal year 2023 is for grants 
188.30 	under the solar for schools program 
188.31 	established in Minnesota Statutes, section 
188.32 	216C.375. This is a onetime appropriation and 
188.33 	is available until June 30, 2025.
189.1 	(f) $10,000,000 in fiscal year 2023 is for 
189.2 	deposit in the state competitiveness account 
189.3 	established in Minnesota Statutes, section 
189.4 	216C.391, to leverage federal formula and 
189.5 	competitive funds for energy-related 
189.6 	infrastructure and clean energy investments 
189.7 	in Minnesota. This is a onetime appropriation 
189.8 	and is available until June 30, 2034.
189.9 	(g) $5,000,000 in fiscal year 2023 is for grants 
189.10 	from the energy alley start-up fund established 
189.11 	in Minnesota Statutes, section 216C.46, to 
189.12 	businesses developing decarbonization 
189.13 	technologies. This is a onetime appropriation 
189.14 	and is available until June 30, 2025.
189.15 	(h) $500,000 in fiscal year 2023 is to install a 
189.16 	network of electric vehicle charging stations 
189.17 	in public parking facilities in county 
189.18 	government centers. This is a onetime 
189.19 	appropriation and is available until June 30, 
189.20 	2025.
189.21 	(i) $531,000 in fiscal year 2023 is to develop 
189.22 	an energy benchmarking program under which 
189.23 	building owners report the energy use of 
189.24 	certain types of buildings under Minnesota 
189.25 	Statutes, section 216C.331. This is a onetime 
189.26 	appropriation and is available until June 30, 
189.27 	2024.
189.28 	(j) $109,000 in fiscal year 2023 is for 
189.29 	participation in customer disputes before the 
189.30 	Minnesota Public Utilities Commission under 
189.31 	the consumer dispute process established in 
189.32 	Minnesota Statutes, section 216B.172.
190.1 	(k) $35,000 in fiscal year 2023 is to participate 
190.2 	in the participant compensation process under 
190.3 	Minnesota Statutes, section 216B.631.
190.4 	(l) $10,000,000 in fiscal year 2023 is for a 
190.5 	grant to the Minnesota Innovation Finance 
190.6 	Authority for organizational start-up costs and 
190.7 	for the purposes of Minnesota Statutes, section 
190.8 	216C.441. The commissioner of commerce is 
190.9 	the fiscal agent for the grant and shall establish 
190.10 	reporting requirements with respect to 
190.11 	activities and expenditures of the authority. 
190.12 	This is a onetime appropriation and is 
190.13 	available until June 30, 2025.
190.14 	(m) $141,000 in fiscal year 2023 is for 
190.15 	participation in proceedings of the Minnesota 
190.16 	Public Utilities Commission regarding energy 
190.17 	storage systems under Minnesota Statutes, 
190.18 	sections 216B.1616 and 216C.378.
190.19 	(n) $70,000 in fiscal year 2023 is for 
190.20 	participation in Minnesota Public Utilities 
190.21 	Commission proceedings regarding utility 
190.22 	transportation electrification plans under 
190.23 	Minnesota Statutes, section 216B.1615.
190.24 	(o) $225,000 in fiscal year 2023 is for 
190.25 	participation in proceedings of the Minnesota 
190.26 	Public Utilities Commission regarding the 
190.27 	issuance of extraordinary event natural gas 
190.28 	utility bonds under Minnesota Statutes, 
190.29 	sections 216B.491 to 216B.499.
190.30 	(p) $35,000 in fiscal year 2023 is for 
190.31 	participation in proceedings of the Minnesota 
190.32 	Public Utilities Commission regarding utility 
190.33 	programs to deploy electric school buses under 
190.34 	Minnesota Statutes, section 216B.1617.

191.1	Sec. 3. PUBLIC UTILITIES COMMISSION
 	$
	-0-
	$
	637,000
	
191.2 	(a) $234,000 in fiscal year 2023 is to 
191.3 	administer the customer dispute process 
191.4 	established in Minnesota Statutes, section 
191.5 	216B.172. The base for this appropriation in 
191.6 	fiscal year 2024 and thereafter is $228,000.
191.7 	(b) $32,000 in fiscal year 2023 is to administer 
191.8 	the participant compensation process under 
191.9 	Minnesota Statutes, section 216B.631.
191.10 	(c) $135,000 in fiscal year 2023 is for 
191.11 	commission proceedings regarding energy 
191.12 	storage systems under Minnesota Statutes, 
191.13 	sections 216B.1616 and 216C.378.
191.14 	(d) $32,000 is for the commission's review of 
191.15 	utility transportation electrification plans under 
191.16 	Minnesota Statutes, section 216B.1615.
191.17 	(e) $32,000 is for the commission's review of 
191.18 	utility electric school bus deployment 
191.19 	programs under Minnesota Statutes, section 
191.20 	216B.1617.
191.21 	(f) $172,000 is for the commission's 
191.22 	contracting with consultants with expertise in 
191.23 	securitized utilities customer-backed bond 
191.24 	financing under Minnesota Statutes, section 
191.25 	216B.494.

191.26
191.27	Sec. 4. DEPARTMENT OF EMPLOYMENT 
AND ECONOMIC DEVELOPMENT
 	$
	-0-
	$
	2,500,000
	
191.28 	(a) $500,000 in fiscal year 2023 is to the 
191.29 	commissioner of employment and economic 
191.30 	development for a grant to Unidos MN 
191.31 	Education Fund and the New Justice Project 
191.32 	MN to address employment and economic 
191.33 	disparities for people of color, immigrant 
191.34 	communities, and low-income unemployed or 
192.1 	underemployed individuals. The money must 
192.2 	be used to support preapprenticeship and 
192.3 	workforce training, career development, 
192.4 	worker rights training, employment placement 
192.5 	and entrepreneurship support, related support 
192.6 	services, and the development of transferable 
192.7 	skills in high-demand fields related to 
192.8 	construction, clean energy, and energy 
192.9 	efficiency. Of this amount, 50 percent is for a 
192.10 	grant to Unidos MN Education Fund and 50 
192.11 	percent is for a grant to the New Justice 
192.12 	Project MN. This is a onetime appropriation 
192.13 	and is available until June 30, 2025.
192.14 	(b) $2,000,000 in fiscal year 2023 is to the 
192.15 	commissioner of employment and economic 
192.16 	development for the community energy 
192.17 	transition grant program under Minnesota 
192.18 	Statutes, section 116J.55. This is a onetime 
192.19 	appropriation and is available until June 30, 
192.20 	2025.

192.21	Sec. 5. POLLUTION CONTROL AGENCY
 	$
	-0-
	$
	3,300,000
	
192.22 	(a) $300,000 in fiscal year 2023 is to the 
192.23 	commissioner of the Pollution Control Agency 
192.24 	for a report describing potential strategies to 
192.25 	reduce statewide greenhouse gas emissions in 
192.26 	order to comply with the state's greenhouse 
192.27 	gas emissions reduction goals established in 
192.28 	Minnesota Statutes, section 216H.02, 
192.29 	subdivision 1, and the 2030 emissions 
192.30 	reduction goal established by the United States 
192.31 	under the United Nations Framework 
192.32 	Convention on Climate Change, also known 
192.33 	as the Paris Agreement. This is a onetime 
192.34 	appropriation and is available until June 30, 
192.35 	2024.
193.1 	(b) $3,000,000 in fiscal year 2023 is to the 
193.2 	commissioner of the Pollution Control Agency 
193.3 	to award grants to political subdivisions to 
193.4 	encourage the formation of organizations and 
193.5 	plans to reduce contributions to and mitigate 
193.6 	the impacts of climate change. This is a 
193.7 	onetime appropriation and is available until 
193.8 	June 30, 2024.

193.9193.10
	Sec. 6. DEPARTMENT OF NATURAL 
RESOURCES
 	$
	-0-
	$
	4,100,000
	
193.11 	$4,100,000 in fiscal year 2023 is to the 
193.12 	commissioner of natural resources for funding 
193.13 	the installation of electric vehicle charging 
193.14 	stations in public parking facilities located in 
193.15 	state and regional parks. This is a onetime 
193.16 	appropriation and is available until June 30, 
193.17 	2025.

193.18
193.19	Sec. 7. DEPARTMENT OF 
TRANSPORTATION
 	$
	-0-
	$
	2,181,000
	
193.20 	(a) Notwithstanding any other law to the 
193.21 	contrary, including any law prohibiting the 
193.22 	servicing of vehicles or the conduct of private 
193.23 	business on the right-of-way of a trunk 
193.24 	highway, $2,100,000 in fiscal year 2023 is to 
193.25 	the commissioner of transportation for funding 
193.26 	the installation of electric vehicle charging 
193.27 	stations at highway safety rest areas. The 
193.28 	charging stations may be free or fee-based. 
193.29 	This is a onetime appropriation and is 
193.30 	available until June 30, 2025.
193.31 	(b) $81,000 in fiscal year 2023 is to the 
193.32 	commissioner of transportation for 
193.33 	administrative work on the Buy Clean Task 
193.34 	Force to advise the commissioner of 
193.35 	administration on developing environmental 
194.1 	standards for state purchases of asphalt paving 
194.2 	materials. This is a onetime appropriation and 
194.3 	is available until June 30, 2024.

194.4
194.5	Sec. 8. DEPARTMENT OF LABOR AND 
INDUSTRY
 	$
	-0-
	$
	279,000
	
194.6 	(a) $133,000 in fiscal year 2023 is to the 
194.7 	commissioner of labor and industry for 
194.8 	modifying the State Building Code to address 
194.9 	needs for electric vehicle charging in parking 
194.10 	facilities in new commercial and multifamily 
194.11 	buildings that provide on-site parking, as 
194.12 	described in Minnesota Statutes, section 
194.13 	326B.103. This is a onetime appropriation and 
194.14 	is available until June 30, 2024.
194.15 	(b) $146,000 in fiscal year 2023 is to the 
194.16 	commissioner of labor and industry to 
194.17 	implement new commercial energy codes, as 
194.18 	described in Minnesota Statutes, section 
194.19 	326B.106, subdivision 1. This is a onetime 
194.20 	appropriation and is available until June 30, 
194.21 	2025.

194.22
194.23	Sec. 9. DEPARTMENT OF 
ADMINISTRATION
 	$
	-0-
	$
	914,000
	
194.24 	(a) $314,000 in fiscal year 2023 is to the 
194.25 	commissioner of administration to staff a task 
194.26 	force to advise the commissioner on 
194.27 	developing environmental standards for the 
194.28 	state's procurement of certain building 
194.29 	materials. This is a onetime appropriation and 
194.30 	is available until June 30, 2024.
194.31 	(b) $600,000 in fiscal year 2023 is for the 
194.32 	commissioner of administration to contract 
194.33 	with the Board of Regents of the University 
194.34 	of Minnesota for a grant to the Institute on the 
194.35 	Environment to conduct research examining 
195.1 	how projections of future weather trends may 
195.2 	exacerbate conditions such as drought, 
195.3 	elevated temperatures, and flooding that:
195.4 	(1) can be integrated into the design and 
195.5 	evaluation of buildings constructed by the state 
195.6 	of Minnesota and local units of government 
195.7 	so as to:
195.8 	(i) reduce energy costs by deploying 
195.9 	cost-effective energy efficiency measures, 
195.10 	innovative construction materials and 
195.11 	techniques, and renewable energy sources; 
195.12 	and
195.13 	(ii) prevent and minimize damage to buildings 
195.14 	caused by extreme weather conditions, 
195.15 	including but not limited to increased 
195.16 	frequency of intense precipitation events and 
195.17 	tornadoes, flooding, and elevated 
195.18 	temperatures; and
195.19 	(2) may weaken the ability of natural systems 
195.20 	to mitigate those conditions to the point where 
195.21 	human intervention in the form of building or 
195.22 	redesigning the scale and operation of 
195.23 	infrastructure is required to address those 
195.24 	conditions in order to:
195.25 	(i) maintain and increase the amount and 
195.26 	quality of food and wood production;
195.27 	(ii) reduce fire risk on forested land;
195.28 	(iii) maintain and enhance water quality; and
195.29 	(iv) maintain and enhance natural habitats.
195.30 	The contract must provide that, no later than 
195.31 	February 1, 2025, the director of the Institute 
195.32 	on the Environment, or the director's designee, 
195.33 	submit a written report to the chairs and 
196.1 	ranking minority members of the legislative 
196.2 	committees with primary jurisdiction over 
196.3 	environment policy and capital investment 
196.4 	summarizing the findings and 
196.5 	recommendations of the research, including 
196.6 	any recommendations for policy changes or 
196.7 	other legislation. This is a onetime 
196.8 	appropriation and is available until June 30, 
196.9 	2024.

196.10	Sec. 10. UNIVERSITY OF MINNESOTA
 	$
	-0-
	$
	1,000,000
	
196.11 	$1,000,000 in fiscal year 2023 is to the Board 
196.12 	of Regents of the University of Minnesota for 
196.13 	a program in the University of Minnesota 
196.14 	Extension Service that will enhance the 
196.15 	capacity of the state's agricultural sector, land 
196.16 	and resource managers, and communities to 
196.17 	plan for and adapt to weather extremes like 
196.18 	droughts and floods. This appropriation shall 
196.19 	be used to support existing extension service 
196.20 	staff members and to hire additional staff 
196.21 	members for a program with broad geographic 
196.22 	reach throughout the state. The program shall:
196.23 	(1) identify, develop, implement, and evaluate 
196.24 	educational programs that increase the 
196.25 	capacity of Minnesota's agricultural sector, 
196.26 	land and resource managers, and communities 
196.27 	to adapt and be prepared for projected physical 
196.28 	changes in temperature, precipitation, and 
196.29 	other weather parameters that affect crops, 
196.30 	lands, horticulture, pests, and wildlife in ways 
196.31 	that present challenges to the state's 
196.32 	agricultural sector and the communities that 
196.33 	depend on it; and
196.34 	(2) communicate and interpret the latest 
196.35 	research on critical weather trends and the 
197.1 	science behind them to further prepare 
197.2 	extension service staff throughout the state to 
197.3 	educate the agricultural sector, land and 
197.4 	resource managers, and community members 
197.5 	at the local level regarding technical 
197.6 	information on water resource management, 
197.7 	agriculture and forestry, engineering and 
197.8 	infrastructure design, and emergency 
197.9 	management that is necessary for the 
197.10 	development of strategies to mitigate the 
197.11 	effects of extreme weather change. This is a 
197.12 	onetime appropriation and is available until 
197.13 	June 30, 2025.

197.14 	ARTICLE 18
197.15 	RENEWABLE DEVELOPMENT ACCOUNT APPROPRIATIONS

197.16	Section 1. APPROPRIATIONS.
 	
197.17 	(a) The sums shown in the columns marked "Appropriations" are appropriated to the 
197.18 	agencies and for the purposes specified in this article. Notwithstanding Minnesota Statutes, 
197.19 	section 116C.779, subdivision 1, paragraph (j), the appropriations are from the renewable 
197.20 	development account in the special revenue fund established in Minnesota Statutes, section 
197.21 	116C.779, subdivision 1, and are available for the fiscal years indicated for each purpose. 
197.22 	The figures "2022" and "2023" used in this article mean that the appropriations listed under 
197.23 	them are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively.
197.24 	(b) If an appropriation in this article is enacted more than once in the 2022 regular or 
197.25 	special legislative session, the appropriation must be given effect only once.

197.26				APPROPRIATIONS
	
197.27				Available for the Year
	
197.28				Ending June 30
	
197.29					2022
		2023

197.30	Sec. 2. DEPARTMENT OF COMMERCE
 	$
	-0-
	$
	42,221,000
	
197.31 	(a) $5,000,000 in fiscal year 2023 is to operate 
197.32 	the grants for renewable integration and 
197.33 	demonstration program under Minnesota 
197.34 	Statutes, section 216C.47, to award grants to 
198.1 	businesses to develop decarbonization 
198.2 	technologies for commercialization.
198.3 	(b) $4,000,000 in fiscal year 2023 is to 
198.4 	implement a program that awards grants to 
198.5 	upgrade electrical panels in single-family and 
198.6 	multifamily residences under Minnesota 
198.7 	Statutes, section 216C.45. This is a onetime 
198.8 	appropriation and is available until June 30, 
198.9 	2025.
198.10 	(c) $3,000,000 in fiscal year 2023 is for 
198.11 	deposit in a contingency fund for disbursement 
198.12 	to the owner of a solar energy generating 
198.13 	system installed on land on the former Ford 
198.14 	Motor Company in St. Paul known as Area C. 
198.15 	Disbursement under this paragraph must occur 
198.16 	only if the Pollution Control Agency requires 
198.17 	actions to be taken to remediate contaminated 
198.18 	land at the site that requires the solar energy 
198.19 	generating system to be removed while 
198.20 	remediation takes place, as provided in 
198.21 	Minnesota Statutes, section 116C.7793. This 
198.22 	is a onetime appropriation.
198.23 	(d) $6,500,000 in fiscal year 2023 is for a 
198.24 	grant to the Independent School District No. 
198.25 	11, Anoka-Hennepin, to construct a 
198.26 	geothermal energy system at the Sorteberg 
198.27 	Early Childhood Center that uses the constant 
198.28 	temperature of the earth, in conjunction with 
198.29 	a heat pump, new HVAC system, and new 
198.30 	boilers, to provide space heating and cooling 
198.31 	to the building. This is a onetime appropriation 
198.32 	and is available until December 31, 2025.
198.33 	(e) The base for fiscal year 2024 is $531,000 
198.34 	to implement an energy benchmarking 
198.35 	program under which building owners report 
199.1 	certain types of buildings' annual energy use 
199.2 	under Minnesota Statutes, section 216C.331. 
199.3 	The base in fiscal year 2025 and thereafter is 
199.4 	$431,000.
199.5 	(f) $500,000 in fiscal year 2023 is to install a 
199.6 	network of electric vehicle charging stations 
199.7 	in public parking facilities located in county 
199.8 	government centers. This is a onetime 
199.9 	appropriation and is available until June 30, 
199.10 	2025. This appropriation may be expended 
199.11 	only in county government centers located 
199.12 	within the electric service area of the public 
199.13 	utility subject to Minnesota Statutes, section 
199.14 	116C.779.
199.15 	(g) $5,000,000 in fiscal year 2023 is to be 
199.16 	withheld by the public utility subject to 
199.17 	Minnesota Statutes, section 116C.779, from 
199.18 	deposit in the renewable development account, 
199.19 	as provided in Minnesota Statutes, section 
199.20 	116C.7792, for a financial incentive to install 
199.21 	solar energy generating systems under 
199.22 	Minnesota Statutes, section 116C.7792. The 
199.23 	amount to be withheld for this purpose in 
199.24 	fiscal year 2024 is $5,000,000 and in fiscal 
199.25 	year 2025 is $10,000,000.
199.26 	(h) $4,000,000 in fiscal year 2023 is for a 
199.27 	financial incentive for the installation of 
199.28 	energy storage systems under Minnesota 
199.29 	Statutes, section 216C.378.
199.30 	(i) $4,000,000 in fiscal year 2023 is for the 
199.31 	solar on public buildings grant program 
199.32 	described under Minnesota Statutes, section 
199.33 	216C.377. The appropriation must be used to 
199.34 	provide grants to public buildings located 
199.35 	within the electric service area of the electric 
200.1 	utility subject to Minnesota Statutes, section 
200.2 	116C.779. The base in fiscal year 2024 and 
200.3 	thereafter is $2,000,000.
200.4 	(j) $10,000,000 in fiscal year 2023 is for 
200.5 	deposit in the state competitiveness account 
200.6 	established in Minnesota Statutes, section 
200.7 	216C.391, to leverage federal formula and 
200.8 	competitive funds for energy-related 
200.9 	infrastructure and clean energy investments 
200.10 	in Minnesota. This appropriation must be used 
200.11 	to obtain federal funds that benefit Minnesota 
200.12 	ratepayers receiving electric service from the 
200.13 	utility that owns a nuclear-powered electric 
200.14 	generating plant in Minnesota, the Prairie 
200.15 	Island Indian community, or Prairie Island 
200.16 	Indian community members. This is a onetime 
200.17 	appropriation and is available until June 30, 
200.18 	2034.
200.19 	(k) $221,000 in fiscal year 2023 is for 
200.20 	participation in proceedings of the Minnesota 
200.21 	Public Utilities Commission regarding energy 
200.22 	storage systems under Minnesota Statutes, 
200.23 	sections 216B.1616 and 216C.378.

200.24	Sec. 3. METROPOLITAN COUNCIL
 	$
	-0-
	$
	3,000,000
	
200.25 	$3,000,000 in fiscal year 2023 is for the 
200.26 	Metropolitan Council to purchase buses that 
200.27 	operate solely on electric propulsion provided 
200.28 	by electric motors and rechargeable on-board 
200.29 	batteries. This is a onetime appropriation and 
200.30 	is available until June 30, 2025.

201.1 	ARTICLE 19
201.2 	ENERGY CONSERVATION

201.3 	Section 1. Minnesota Statutes 2020, section 216C.264, is amended by adding a subdivision 
201.4 	to read:
201.5 		Subd. 1a.State supplementary weatherization grants account. (a) A state 
201.6 	supplementary weatherization grants account is established as a separate account in the 
201.7 	special revenue fund in the state treasury. The commissioner must credit appropriations and 
201.8 	transfers to the account. Earnings, such as interest, dividends, and any other earnings arising 
201.9 	from assets of the account, must be credited to the account. Money remaining in the account 
201.10 	at the end of a fiscal year does not cancel to the general fund, but remains in the account 
201.11 	until expended. The commissioner must manage the account.
201.12 	(b) Money in the account is appropriated to the commissioner for the purposes of 
201.13 	subdivision 5.

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

201.15 	Sec. 2. Minnesota Statutes 2020, section 216C.264, subdivision 5, is amended to read:
201.16 		Subd. 5.Grant allocation. (a) The commissioner must distribute supplementary state 
201.17 	grants in a manner consistent with the goal of producing the maximum number of weatherized 
201.18 	units. Supplementary state grants are provided primarily for the payment ofmay be used 
201.19 	for the following purposes:
201.20 	(1) to address physical deficiencies in a residence that increase heat loss, including 
201.21 	deficiencies that prohibit the residence from being eligible to receive federal weatherization 
201.22 	assistance;
201.23 	(2) to install preweatherization measures, as defined in section 216B.2402, subdivision 
201.24 	20, established by the commissioner under section 216B.241, subdivision 7, paragraph (g);
201.25 	(3) to increase the number of weatherized residences;
201.26 	(4) to conduct outreach activities to make income-eligible households aware of the 
201.27 	weatherization services available to income-eligible households, to assist applicants to fill 
201.28 	out applications for weatherization assistance, and to provide translation services where 
201.29 	necessary;
201.30 	(5) to enable projects in multifamily buildings to proceed even if projects cannot comply 
201.31 	with the federal requirement that projects must be completed within the same federal fiscal 
201.32 	year in which the project begins;
202.1 	(6) to address shortages of workers trained to provide weatherization services, including 
202.2 	expanding training opportunities in existing and new training programs;
202.3 	(7) to support the operation of the weatherization training program under section 
202.4 	216C.2641;
202.5 	(8) to pay additional labor costs for the federal weatherization program,; and
202.6 	(9) as an incentive for the increased production of weatherized units.
202.7 	(b) Criteria for the allocation of state grants to local agencies include existing local 
202.8 	agency production levels, emergency needs, and the potential for maintaining or increasing 
202.9 	acceptable levels of production in the area.
202.10 	(c) An eligible local agency may receive advance funding for 90 days' production, but 
202.11 	thereafter must receive grants solely on the basis of program criteria.

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

202.13 	Sec. 3. [216C.2641] WEATHERIZATION TRAINING GRANT PROGRAM.
202.14 		Subdivision 1.Establishment. The commissioner of commerce must establish a 
202.15 	weatherization training grant program to award grants to train workers for careers in the 
202.16 	weatherization industry.
202.17 		Subd. 2.Grants. (a) The commissioner must award grants through a competitive grant 
202.18 	process.
202.19 	(b) An eligible entity under paragraph (c) seeking a grant under this section must submit 
202.20 	a written application to the commissioner, using a form developed by the commissioner.
202.21 	(c) Grants may be awarded under this section only to:
202.22 	(1) a nonprofit organization exempt from taxation under section 501(c)(3) of the United 
202.23 	States Internal Revenue Code;
202.24 	(2) a labor organization, as defined in section 179.01, subdivision 6; or
202.25 	(3) a job training center or educational institution that the commissioner of commerce 
202.26 	determines has the ability to train workers for weatherization careers.
202.27 	(d) Grant funds must be used to pay costs associated with training workers for careers 
202.28 	in the weatherization industry, including related supplies, materials, instruction, and 
202.29 	infrastructure.
203.1 	(e) When awarding grants under this section, the commissioner must give priority to 
203.2 	applications that provide the highest quality training to prepare trainees for weatherization 
203.3 	employment opportunities that meet technical standards and certifications developed by the 
203.4 	Building Performance Institute, Inc. or the Standard Work Specifications developed by the 
203.5 	United States Department of Energy for the federal Weatherization Assistance Program.
203.6 		Subd. 3.Reports. By January 15, 2024, and each January 15 thereafter, the commissioner 
203.7 	must submit a report to the chairs and ranking minority members of the senate and house 
203.8 	of representatives committees with jurisdiction over energy policy that details the use of 
203.9 	grant funds under this section, including data on the number of trainees trained and the 
203.10 	career progress of trainees supported by prior grants.

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

203.12 	Sec. 4. [216C.331] ENERGY BENCHMARKING.
203.13 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
203.14 	the meanings given.
203.15 	(b) "Benchmark" means to electronically input into a benchmarking tool the total energy 
203.16 	use data and other descriptive information about a building that is required by a benchmarking 
203.17 	tool.
203.18 	(c) "Benchmarking information" means data related to a building's energy use generated 
203.19 	by a benchmarking tool and other information about the building's physical and operational 
203.20 	characteristics. Benchmarking information includes but is not limited to the building's:
203.21 	(1) address;
203.22 	(2) owner and, if applicable, the building manager responsible for operating the building's 
203.23 	physical systems;
203.24 	(3) total floor area, expressed in square feet;
203.25 	(4) energy use intensity;
203.26 	(5) greenhouse gas emissions; and
203.27 	(6) energy performance score comparing the building's energy use with that of similar 
203.28 	buildings.
203.29 	(d) "Benchmarking tool" means the United States Environmental Protection Agency's 
203.30 	Energy Star Portfolio Manager tool or an equivalent tool determined by the commissioner.
204.1 	(e) "Covered property" means a building whose total floor area is equal to or greater 
204.2 	than 50,000 square feet. Covered property does not include:
204.3 	(1) a residential property containing fewer than five dwelling units;
204.4 	(2) a property classified as mining or manufacturing under the North American Industrial 
204.5 	Classification System (NAICS); or
204.6 	(3) other property types that do not meet the purposes of this section, as determined by 
204.7 	the commissioner.
204.8 	(f) "Energy" means electricity, natural gas, steam, or another product used to (1) provide 
204.9 	heating, cooling, lighting, or water heating, or (2) power other end uses in a building.
204.10 	(g) "Energy audit" has the meaning given in section 216C.435, subdivision 4.
204.11 	(h) "Energy intensity" means the total annual energy consumed in a building divided by 
204.12 	the building's total floor area.
204.13 	(i) "Energy performance score" means a numerical value from one to 100 that the Energy 
204.14 	Star Portfolio Manager tool calculates to rate a building's energy efficiency against that of 
204.15 	comparable buildings nationwide.
204.16 	(j) "Energy Star Portfolio Manager" means an interactive resource management tool 
204.17 	developed by the United States Environmental Protection Agency that (1) enables the 
204.18 	periodic entry of a building's energy use data and other descriptive information about a 
204.19 	building, and (2) rates a building's energy efficiency against that of comparable buildings 
204.20 	nationwide.
204.21 	(k) "Financial distress" means a covered property that, at the time benchmarking is 
204.22 	conducted:
204.23 	(1) is the subject of a qualified tax lien sale or public auction due to property tax 
204.24 	arrearages;
204.25 	(2) is controlled by a court-appointed receiver based on financial distress;
204.26 	(3) is owned by a financial institution through default by the borrower;
204.27 	(4) has been acquired by deed in lieu of foreclosure; or
204.28 	(5) has a senior mortgage that is subject to a notice of default.
204.29 	(l) "Owner" means (1) an individual or entity that possesses title to a covered property, 
204.30 	or (2) an agent authorized to act on behalf of the covered property owner.
205.1 	(m) "Total floor area" means the sum of gross square footage inside a building's envelope, 
205.2 	measured between the outside exterior walls of the building. Total floor area includes covered 
205.3 	parking structures.
205.4 		Subd. 2.Establishment. A building energy benchmarking program is established in the 
205.5 	department. The purpose of the program is to:
205.6 	(1) make a building's owners, tenants, and potential tenants aware of (i) the building's 
205.7 	energy consumption levels and patterns, and (ii) how the building's energy use compares 
205.8 	with that of similar buildings nationwide; and
205.9 	(2) enhance the likelihood that owners adopt energy conservation measures in the owners' 
205.10 	buildings as a way to reduce energy use, operating costs, and greenhouse gas emissions.
205.11 		Subd. 3.Classification of covered properties. For the purposes of this section, a covered 
205.12 	property is classified as follows:

205.13	Class
	Total Floor Area (sq. ft.)
	
205.14	1
	150,000 or more
	
205.15	2
	100,000 to 149,999
	
205.16	3
	75,000 to 99,999
	
205.17	4
	50,000 to 74,999
	
205.18 		Subd. 4.Benchmarking requirement. (a) In conformity with the schedule in subdivision 
205.19 	6, an owner must annually benchmark all covered property owned as of December 31 during 
205.20 	the previous calendar year. Energy use data must be compiled by:
205.21 	(1) obtaining the data from the utility providing the energy; or
205.22 	(2) reading a master meter.
205.23 	(b) Before entering information in a benchmarking tool, an owner must run all automated 
205.24 	data quality assurance functions available within the benchmarking tool and must correct 
205.25 	all missing or incorrect data identified.
205.26 	(c) An owner who becomes aware that any information entered into a benchmarking 
205.27 	tool is inaccurate or incomplete must amend the information in the benchmarking tool within 
205.28 	30 days of the date the owner learned of the inaccuracy.
205.29 		Subd. 5.Exemption. (a) The commissioner may exempt an owner from the requirements 
205.30 	of subdivision 4 for a covered property if the owner provides evidence satisfying the 
205.31 	commissioner that the covered property:
205.32 	(1) is presently experiencing financial distress;
206.1 	(2) has been less than 50 percent occupied during the previous calendar year;
206.2 	(3) does not have a certificate of occupancy or temporary certificate of occupancy for 
206.3 	the full previous calendar year;
206.4 	(4) was issued a demolition permit during the previous calendar year that remains current;
206.5 	(5) received no energy services for at least 30 days during the previous calendar year; 
206.6 	or
206.7 	(6) is participating in a benchmarking program operated by a city or other political 
206.8 	subdivision that the commissioner determines is equivalent to the benchmarking program 
206.9 	established in this section.
206.10 	(b) An exemption granted under this subdivision applies only to a single calendar year. 
206.11 	An owner must reapply to the commissioner each year an extension is sought.
206.12 	(c) Within 30 days of the date an owner makes a request under this paragraph, each 
206.13 	tenant of a covered property subject to this section must provide the owner with any 
206.14 	information regarding energy use of the tenant's rental unit that the property owner cannot 
206.15 	otherwise obtain and that is needed by the owner to comply with this section. The tenant 
206.16 	must provide the information required under this paragraph in a format approved by the 
206.17 	commissioner.
206.18 		Subd. 6.Benchmarking schedule. An owner must annually benchmark each covered 
206.19 	property for the previous calendar year according to the following schedule:
206.20 	(1) all Class 1 properties by June 1, 2023, and by every June 1 thereafter;
206.21 	(2) all Class 2 properties by June 1, 2024, and by every June 1 thereafter;
206.22 	(3) all Class 3 properties by June 1, 2025, and by every June 1 thereafter; and
206.23 	(4) all Class 4 properties by June 1, 2026, and by every June 1 thereafter.
206.24 		Subd. 7.Energy audit. (a) The commissioner must notify in writing an owner of a 
206.25 	building whose energy performance score is 25 or lower or whose calculated energy intensity 
206.26 	is among the highest 25 percent compared to similar building types within the building's 
206.27 	class, as determined by the commissioner, that, except as provided in paragraph (c), the 
206.28 	owner is required to contract for an energy audit of the building no later than one year after 
206.29 	the notice is issued, unless the commissioner extends the deadline.
206.30 	(b) The commissioner must award a grant to an owner who completes an energy audit 
206.31 	after receiving notice under this subdivision. The grant amount must be the lower of $2,000 
207.1 	or 50 percent of the cost of the audit. An owner must not receive more than one grant under 
207.2 	this subdivision.
207.3 	(c) If a building owner that receives notice under this subdivision submits evidence to 
207.4 	the commissioner's satisfaction that an energy audit of the building that is the subject of the 
207.5 	notice was conducted within the previous five years, the owner is exempt from the 
207.6 	requirement to conduct an energy audit.
207.7 		Subd. 8.Data collection and management. (a) The commissioner must:
207.8 	(1) collect benchmarking information generated by a benchmarking tool and other related 
207.9 	information for each covered property;
207.10 	(2) provide technical assistance to owners entering data into a benchmarking tool; and
207.11 	(3) collaborate with utilities regarding the provision of energy use information to owners 
207.12 	and tenants to enable owners to comply with this section.
207.13 	(b) A utility must comply with a request from the commissioner to provide to the 
207.14 	commissioner or to an owner energy use information that is needed to effectively operate 
207.15 	the energy benchmarking program.
207.16 	(c) The commissioner must:
207.17 	(1) rank benchmarked covered properties in each property class from highest to lowest 
207.18 	performance score, or, if a performance score is unavailable for a covered property, from 
207.19 	lowest to highest energy use intensity;
207.20 	(2) divide covered properties in each property class into four quartiles based on the 
207.21 	applicable measure in clause (1);
207.22 	(3) assign four stars to each covered property in the quartile of each property class with 
207.23 	the highest performance scores or lowest energy use intensities, as applicable;
207.24 	(4) assign three stars to each covered property in the quartile of each property class with 
207.25 	the second highest performance scores or second lowest energy use intensities, as applicable;
207.26 	(5) assign two stars to each covered property in the quartile of each property class with 
207.27 	the third highest performance scores or third lowest energy use intensities, as applicable;
207.28 	(6) assign one star to each covered property in the quartile of each property class with 
207.29 	the lowest performance scores or highest energy use intensities, as applicable; and
207.30 	(7) serve notice in writing to each owner identifying the number of stars assigned the 
207.31 	commissioner to each of the owner's covered properties.
208.1 		Subd. 9.Data disclosure to public. (a) The commissioner must post on the department's 
208.2 	website and update annually the following information for the previous calendar year:
208.3 	(1) annual summary statistics on energy use for all covered properties in Minnesota;
208.4 	(2) annual summary statistics on energy use for all covered properties, aggregated by 
208.5 	(i) covered property class, as defined in subdivision 3, (ii) city, and (iii) county;
208.6 	(3) the percentage of covered properties in each building class listed in subdivision 3 
208.7 	that are in compliance with the benchmarking requirements under subdivisions 4 to 6; and
208.8 	(4) for each covered property, at a minimum, the total energy use, energy use per square 
208.9 	foot of total floor area, annual greenhouse gas emissions, and an energy performance score, 
208.10 	if available.
208.11 	(b) The commissioner must post the information required under this subdivision for each 
208.12 	class of covered property beginning one year after the date the initial benchmarking 
208.13 	submission is made by the owner under the schedule in subdivision 6.
208.14 		Subd. 10.Building performance disclosure to potential tenants. An owner must, on 
208.15 	any application provided to a potential tenant seeking to rent a unit in a covered property, 
208.16 	include the following language in a 12-point or larger font on the first page of the application: 
208.17 	"This building has received a [insert number of stars assigned to the building by the 
208.18 	commissioner under subdivision 8, paragraph (c)] star rating of the building's energy 
208.19 	efficiency from the Minnesota Department of Commerce, where four stars represents the 
208.20 	most energy efficient buildings and one star represents the least energy efficient buildings."
208.21 		Subd. 11.Notifications. (a) By March 1 each year, the commissioner must notify the 
208.22 	owner of each covered property required to benchmark for the previous calendar year of 
208.23 	the requirement to benchmark by June 1 of that year.
208.24 	(b) By July 15 each year, the commissioner must notify the owner of each covered 
208.25 	property required to benchmark for the previous calendar year that failed to benchmark that 
208.26 	the owner has 30 days to comply with the benchmarking requirement.
208.27 		Subd. 12.Program implementation. The commissioner may contract with an 
208.28 	independent third party to implement any or all of the duties the commissioner is required 
208.29 	to perform under subdivisions 2 to 10.
208.30 		Subd. 13.Enforcement. If the commissioner determines that an owner has failed to 
208.31 	benchmark in a timely, complete, and accurate fashion as required under this section, the 
208.32 	commissioner may impose on the owner a civil fine of up to $1,000. Each day that the owner 
208.33 	fails to benchmark to the satisfaction of the commissioner for each covered property owned 
209.1 	by the owner may be deemed a separate offense and the commissioner may impose a separate 
209.2 	civil penalty.
209.3 		Subd. 14.Rules. The commissioner is authorized to adopt rules under chapter 14 to 
209.4 	implement this section.

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

209.6 	Sec. 5. Minnesota Statutes 2020, section 326B.106, subdivision 1, is amended to read:
209.7 		Subdivision 1.Adoption of code. (a) Subject to paragraphs (c) and (d) and sections 
209.8 	326B.101 to 326B.194, the commissioner shall by rule and in consultation with the 
209.9 	Construction Codes Advisory Council establish a code of standards for the construction, 
209.10 	reconstruction, alteration, and repair of buildings, governing matters of structural materials, 
209.11 	design and construction, fire protection, health, sanitation, and safety, including design and 
209.12 	construction standards regarding heat loss control, illumination, and climate control. The 
209.13 	code must also include duties and responsibilities for code administration, including 
209.14 	procedures for administrative action, penalties, and suspension and revocation of certification. 
209.15 	The code must conform insofar as practicable to model building codes generally accepted 
209.16 	and in use throughout the United States, including a code for building conservation. In the 
209.17 	preparation of the code, consideration must be given to the existing statewide specialty 
209.18 	codes presently in use in the state. Model codes with necessary modifications and statewide 
209.19 	specialty codes may be adopted by reference. The code must be based on the application 
209.20 	of scientific principles, approved tests, and professional judgment. To the extent possible, 
209.21 	the code must be adopted in terms of desired results instead of the means of achieving those 
209.22 	results, avoiding wherever possible the incorporation of specifications of particular methods 
209.23 	or materials. To that end the code must encourage the use of new methods and new materials. 
209.24 	Except as otherwise provided in sections 326B.101 to 326B.194, the commissioner shall 
209.25 	administer and enforce the provisions of those sections.
209.26 	(b) The commissioner shall develop rules addressing the plan review fee assessed to 
209.27 	similar buildings without significant modifications including provisions for use of building 
209.28 	systems as specified in the industrial/modular program specified in section 326B.194. 
209.29 	Additional plan review fees associated with similar plans must be based on costs 
209.30 	commensurate with the direct and indirect costs of the service.
209.31 	(c) Beginning with the 2018 edition of the model building codes and every six years 
209.32 	thereafter, the commissioner shall review the new model building codes and adopt the model 
209.33 	codes as amended for use in Minnesota, within two years of the published edition date. The 
209.34 	commissioner may adopt amendments to the building codes prior to the adoption of the 
210.1 	new building codes to advance construction methods, technology, or materials, or, where 
210.2 	necessary to protect the health, safety, and welfare of the public, or to improve the efficiency 
210.3 	or the use of a building.
210.4 	(d) Notwithstanding paragraph (c), the commissioner shall act on each new model 
210.5 	residential energy code and the new model commercial energy code in accordance with 
210.6 	federal law for which the United States Department of Energy has issued an affirmative 
210.7 	determination in compliance with United States Code, title 42, section 6833. A municipality 
210.8 	may adopt the most recently published new model commercial energy code ASHRAE 90.1 
210.9 	until a more energy efficient code is adopted by the commissioner. A municipality may not 
210.10 	amend or otherwise change any provisions of the most recent ASHRAE 90.1 standard, 
210.11 	except that a municipality is required to adopt amendments to the previous version of 
210.12 	ASHRAE 90.1 in the current commercial energy code adopted by the commissioner. The 
210.13 	commissioner may adopt amendments prior to adoption of the new energy codes, as amended 
210.14 	for use in Minnesota, to advance construction methods, technology, or materials, or, where 
210.15 	necessary to protect the health, safety, and welfare of the public, or to improve the efficiency 
210.16 	or use of a building. The commissioner of commerce may include energy code support 
210.17 	measures in the technical guidance developed under section 216B.241, subdivision 1d.

210.18 	ARTICLE 20
210.19 	COMMISSION PROCEEDINGS

210.20 	Section 1. Minnesota Statutes 2020, section 216B.17, subdivision 1, is amended to read:
210.21 		Subdivision 1.Investigation. On its the commission's own motion or upon a complaint 
210.22 	made against any public utility, by the governing body of any political subdivision, by 
210.23 	another public utility, by the department, or by any 50 consumers of the a particular utility, 
210.24 	or by a complainant under section 216B.172 that any of the rates, tolls, tariffs, charges, or 
210.25 	schedules or any joint rate or any regulation, measurement, practice, act, or omission affecting 
210.26 	or relating to the production, transmission, delivery, or furnishing of natural gas or electricity 
210.27 	or any service in connection therewith is in any respect unreasonable, insufficient, or unjustly 
210.28 	discriminatory, or that any service is inadequate or cannot be obtained, the commission 
210.29 	shall proceed, with notice, to make such investigation as it may deem necessary. The 
210.30 	commission may dismiss any complaint without a hearing if in its opinion a hearing is not 
210.31 	in the public interest.

210.32 	EFFECTIVE DATE. This section is effective the day following final enactment and 
210.33 	applies to any complaint filed with the commission on or after that date.

211.1 	Sec. 2. [216B.172] CONSUMER DISPUTES.
211.2 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
211.3 	the meanings given.
211.4 	(b) "Appeal" means a request filed with the commission by a complainant to review and 
211.5 	make a final decision regarding the resolution of the complainant's complaint by the consumer 
211.6 	affairs office.
211.7 	(c) "Complainant" means an individual residential customer of a public utility who has 
211.8 	filed a complaint with the consumer affairs office.
211.9 	(d) "Complaint" means an allegation submitted to the consumer affairs office by a 
211.10 	complainant that a public utility's action or practice regarding billing or terms and conditions 
211.11 	of service:
211.12 	(1) violates a statute, rule, tariff, service contract, or other provision of law;
211.13 	(2) is unreasonable; or
211.14 	(3) has harmed or, if not addressed, will harm a complainant.
211.15 	Complaint does not include an objection to or a request to modify a natural gas or electricity 
211.16 	rate contained in a tariff that has been approved by the commission. A complaint under this 
211.17 	section is an informal complaint under Minnesota Rules, chapter 7829.
211.18 	(e) "Consumer affairs office" means the staff unit of the commission that is organized 
211.19 	to receive and respond to complaints.
211.20 	(f) "Informal proceeding" has the meaning given in Minnesota Rules, part 7829.0100, 
211.21 	subpart 8.
211.22 	(g) "Public assistance" has the meaning given in section 550.37, subdivision 14.
211.23 	(h) "Public utility" has the meaning given in section 216B.02, subdivision 4.
211.24 		Subd. 2.Complaint resolution procedure. A complainant must first attempt to resolve 
211.25 	a dispute with a public utility by filing a complaint with the consumer affairs office. The 
211.26 	consumer affairs office must (1) notify the complainant of the resolution of the complaint, 
211.27 	(2) provide written notice of the complainant's right to appeal the resolution to the 
211.28 	commission, and (3) provide steps the complainant may take to appeal the resolution. Upon 
211.29 	request, the consumer affairs office must provide to the complainant a written notice 
211.30 	containing the substance of and basis for the resolution.
212.1 		Subd. 3.Appeal; final commission decision. (a) If a complainant is not satisfied with 
212.2 	the resolution of a complaint by the consumer affairs office, the complainant may file an 
212.3 	appeal with the commission requesting the commission to make a final decision on the 
212.4 	complaint. The commission's response to an appeal filed under this subdivision must comply 
212.5 	with the notice requirements under section 216B.17, subdivisions 2 to 5.
212.6 	(b) Upon the commission's receipt of an appeal filed under paragraph (a), the chair of 
212.7 	the commission or a subcommittee delegated under section 216A.03, subdivision 8, to 
212.8 	review the resolution of the complaint must decide whether the complaint should be:
212.9 	(1) dismissed because there is no reasonable basis on which to proceed;
212.10 	(2) resolved through an informal commission proceeding; or
212.11 	(3) referred to the Office of Administrative Hearings for a contested case proceeding 
212.12 	under chapter 14.
212.13 	A decision made under this paragraph must be provided in writing to the complainant and 
212.14 	the public utility.
212.15 	(c) If the commission decides that the complaint should be resolved through an informal 
212.16 	commission proceeding or referred to the Office of Administrative Hearings for a contested 
212.17 	case proceeding, the executive secretary must issue a procedural schedule and any notices 
212.18 	or orders required to initiate a contested case proceeding under chapter 14.
212.19 	(d) The commission's dismissal of an appeal request or a decision rendered after 
212.20 	conducting an informal proceeding is a final decision constituting an order or determination 
212.21 	of the commission.
212.22 		Subd. 4.Judicial review. Notwithstanding section 216B.27, a complainant may seek 
212.23 	judicial review in district court of an adverse final decision under subdivision 3, paragraph 
212.24 	(b), clause (1) or (2). Judicial review of the commission's decision in a contested case referred 
212.25 	under subdivision 3, paragraph (b), clause (3), is governed by chapter 14.
212.26 		Subd. 5.Right to service during pendency of dispute. A public utility must continue 
212.27 	or promptly restore service to a complainant during the pendency of an administrative or 
212.28 	judicial procedure pursued by a complainant under this section, provided that the 
212.29 	complainant:
212.30 	(1) agrees to enter into a payment agreement under section 216B.098, subdivision 3;
212.31 	(2) posts the full disputed payment in escrow;
212.32 	(3) demonstrates receipt of public assistance or eligibility for legal aid services; or
213.1 	(4) demonstrates the complainant's household income is at or below 50 percent of state 
213.2 	median income.
213.3 		Subd. 6.Rulemaking authority. The commission may adopt rules to carry out the 
213.4 	purposes of this section.

213.5 	EFFECTIVE DATE. This section is effective the day following final enactment and 
213.6 	applies to any complaint filed with the commission on or after that date.

213.7 	Sec. 3. Minnesota Statutes 2020, section 216B.2422, is amended by adding a subdivision 
213.8 	to read:
213.9 		Subd. 8.Transmission planning in advance of generation retirement. A utility must 
213.10 	identify in a resource plan each nonrenewable energy facility on the utility's system that 
213.11 	has a depreciation term, probable service life, or operating license term that ends within 15 
213.12 	years of the resource plan filing date. For each nonrenewable energy facility identified, the 
213.13 	utility must include in the resource plan an initial plan to: (1) replace the nonrenewable 
213.14 	energy facility; and (2) upgrade any transmission or other grid capabilities needed to support 
213.15 	the retirement of that nonrenewable energy facility.

213.16 	EFFECTIVE DATE. This section is effective the day following final enactment and 
213.17 	applies to an integrated resource plan filed with the commission on or after that date.

213.18 	Sec. 4. [216B.491] DEFINITIONS.
213.19 		Subdivision 1.Scope. For the purposes of sections 216B.491 to 216B.499, the terms 
213.20 	defined in this subdivision have the meanings given.
213.21 		Subd. 2.Ancillary agreement. "Ancillary agreement" means any bond, insurance policy, 
213.22 	letter of credit, reserve account, surety bond, interest rate lock or swap arrangement, liquidity 
213.23 	or credit support arrangement, or other financial arrangement entered into in connection 
213.24 	with extraordinary event bonds that is designed to promote the credit quality and 
213.25 	marketability of extraordinary event bonds or to mitigate the risk of an increase in interest 
213.26 	rates.
213.27 		Subd. 3.Assignee. "Assignee" means any person to which an interest in extraordinary 
213.28 	event property is sold, assigned, transferred, or conveyed, other than as security, and any 
213.29 	successor to or subsequent assignee of the person.
213.30 		Subd. 4.Bondholder. "Bondholder" means any holder or owner of extraordinary event 
213.31 	bonds.
214.1 		Subd. 5.Customer. "Customer" means a person who takes natural gas service from a 
214.2 	natural gas utility for consumption of natural gas in Minnesota.
214.3 		Subd. 6.Extraordinary event. (a) "Extraordinary event" means an event arising from 
214.4 	unforeseen circumstances and of sufficient magnitude, as determined by the commission:
214.5 	(1) to impose significant costs on customers; and
214.6 	(2) for which the issuance of extraordinary event bonds in response to the event meets 
214.7 	the conditions of section 216B.492, subdivision 2, as determined by the commission.
214.8 	(b) Extraordinary event includes but is not limited to a storm event or other natural 
214.9 	disaster, an act of God, war, terrorism, sabotage or vandalism, a cybersecurity attack, or a 
214.10 	temporary significant increase in the wholesale price of natural gas.
214.11 		Subd. 7.Extraordinary event activity. "Extraordinary event activity" means an activity 
214.12 	undertaken by or on behalf of a utility to restore or maintain the utility's ability to provide 
214.13 	natural gas service following one or more extraordinary events, including but not limited 
214.14 	to activities related to mobilization, staging, construction, reconstruction, replacement, or 
214.15 	repair of natural gas transmission, distribution, storage, or general facilities.
214.16 		Subd. 8.Extraordinary event bonds. "Extraordinary event bonds" means low-cost 
214.17 	corporate securities, including but not limited to senior secured bonds, debentures, notes, 
214.18 	certificates of participation, certificates of beneficial interest, certificates of ownership, or 
214.19 	other evidences of indebtedness or ownership that have a scheduled maturity of no longer 
214.20 	than 30 years and a final legal maturity date that is not later than 32 years from the issue 
214.21 	date, that are rated AA or Aa2 or better by a major independent credit rating agency at the 
214.22 	time of issuance, and that are issued by a utility or an assignee under a financing order.
214.23 		Subd. 9.Extraordinary event charge. "Extraordinary event charge" means a 
214.24 	nonbypassable charge that:
214.25 	(1) is imposed on all customer bills by a utility that is the subject of a financing order 
214.26 	or the utility's successors or assignees;
214.27 	(2) is separate from the utility's base rates; and
214.28 	(3) provides a source of revenue solely to repay, finance, or refinance extraordinary 
214.29 	event costs.
214.30 		Subd. 10.Extraordinary event costs. "Extraordinary event costs":
214.31 	(1) means all incremental costs of extraordinary event activities that are approved by 
214.32 	the commission in a financing order issued under section 216B.492 as being:
215.1 	(i) necessary to enable the utility to restore or maintain natural gas service to customers 
215.2 	after the utility experiences an extraordinary event; and
215.3 	(ii) prudent and reasonable;
215.4 	(2) includes costs to repurchase equity or retire any indebtedness relating to extraordinary 
215.5 	event activities;
215.6 	(3) shall be net of applicable insurance proceeds, tax benefits, and any other amounts 
215.7 	intended to reimburse the utility for extraordinary event activities, including government 
215.8 	grants or aid of any kind;
215.9 	(4) do not include any monetary penalty, fine, or forfeiture assessed against a utility by 
215.10 	a government agency or court under a federal or state environmental statute, rule, or 
215.11 	regulation; and
215.12 	(5) must be adjusted to reflect:
215.13 	(i) the difference, as determined by the commission, between extraordinary event costs 
215.14 	that the utility expects to incur and actual, reasonable, and prudent costs incurred; or
215.15 	(ii) a more fair or reasonable allocation of extraordinary event costs to customers over 
215.16 	time, as expressed in a commission order.
215.17 		Subd. 11.Extraordinary event property. "Extraordinary event property" means:
215.18 	(1) all rights and interests of a utility or the utility's successor or assignee under a 
215.19 	financing order for the right to impose, bill, collect, receive, and obtain periodic adjustments 
215.20 	to extraordinary event charges authorized under a financing order issued by the commission; 
215.21 	and
215.22 	(2) all revenue, collections, claims, rights to payments, payments, money, or proceeds 
215.23 	arising from the rights and interests specified in clause (1), regardless of whether any are 
215.24 	commingled with other revenue, collections, rights to payment, payments, money, or 
215.25 	proceeds.
215.26 		Subd. 12.Extraordinary event revenue. "Extraordinary event revenue" means revenue, 
215.27 	receipts, collections, payments, money, claims, or other proceeds arising from extraordinary 
215.28 	event property.
215.29 		Subd. 13.Financing costs. "Financing costs" means:
215.30 	(1) principal, interest, and redemption premiums that are payable on extraordinary event 
215.31 	bonds;
216.1 	(2) payments required under an ancillary agreement and amounts required to fund or 
216.2 	replenish a reserve account or other accounts established under the terms of any indenture, 
216.3 	ancillary agreement, or other financing document pertaining to the bonds;
216.4 	(3) other demonstrable costs related to issuing, supporting, repaying, refunding, and 
216.5 	servicing the bonds, including but not limited to servicing fees, accounting and auditing 
216.6 	fees, trustee fees, legal fees, consulting fees, financial adviser fees, administrative fees, 
216.7 	placement and underwriting fees, capitalized interest, rating agency fees, stock exchange 
216.8 	listing and compliance fees, security registration fees, filing fees, information technology 
216.9 	programming costs, and any other demonstrable costs necessary to otherwise ensure and 
216.10 	guarantee the timely payment of the bonds or other amounts or charges payable in connection 
216.11 	with the bonds;
216.12 	(4) taxes and license fees imposed on the revenue generated from collecting an 
216.13 	extraordinary event charge;
216.14 	(5) state and local taxes, including franchise, sales and use, and other taxes or similar 
216.15 	charges, including but not limited to regulatory assessment fees, whether paid, payable, or 
216.16 	accrued; and
216.17 	(6) costs incurred by the commission to hire and compensate additional temporary staff 
216.18 	needed to perform the commission's responsibilities under this section and, in accordance 
216.19 	with section 216B.494, to engage specialized counsel and expert consultants experienced 
216.20 	in securitized utility ratepayer-backed bond financing similar to extraordinary event bonds.
216.21 		Subd. 14.Financing order. "Financing order" means an order issued by the commission 
216.22 	under section 216B.492 that authorizes an applicant to:
216.23 	(1) issue extraordinary event bonds in one or more series;
216.24 	(2) impose, charge, and collect extraordinary event charges; and
216.25 	(3) create extraordinary event property.
216.26 		Subd. 15.Financing party. "Financing party" means a holder of extraordinary event 
216.27 	bonds and a trustee, a collateral agent, a party under an ancillary agreement, or any other 
216.28 	person acting for the benefit of extraordinary event bondholders.
216.29 		Subd. 16.Natural gas facility. "Natural gas facility" means natural gas pipelines, 
216.30 	including distribution lines, underground storage areas, liquefied natural gas facilities, 
216.31 	propane storage tanks, and other facilities the commission determines are used and useful 
216.32 	to provide natural gas service to retail and transportation customers in Minnesota.
217.1 		Subd. 17.Nonbypassable. "Nonbypassable" means that the payment of an extraordinary 
217.2 	event charge required to repay bonds and related costs may not be avoided by any retail 
217.3 	customer located within a utility service area.
217.4 		Subd. 18.Pretax costs. "Pretax costs" means costs incurred by a utility and approved 
217.5 	by the commission, including but not limited to:
217.6 	(1) unrecovered capitalized costs of replaced natural gas facilities damaged or destroyed 
217.7 	by a storm event;
217.8 	(2) costs to decommission and restore the site of a natural gas facility damaged or 
217.9 	destroyed by an extraordinary event;
217.10 	(3) other applicable capital and operating costs, accrued carrying charges, deferred 
217.11 	expenses, reductions for applicable insurance, and salvage proceeds; and
217.12 	(4) costs to retire any existing indebtedness, fees, costs, and expenses to modify existing 
217.13 	debt agreements, or for waivers or consents related to existing debt agreements.
217.14 		Subd. 19.Storm event. "Storm event" means a tornado, derecho, ice or snow storm, 
217.15 	flood, earthquake, or other significant weather or natural disaster that causes substantial 
217.16 	damage to a utility's infrastructure.
217.17 		Subd. 20.Successor. "Successor" means a legal entity that succeeds by operation of law 
217.18 	to the rights and obligations of another legal entity as a result of bankruptcy, reorganization, 
217.19 	restructuring, other insolvency proceeding, merger, acquisition, consolidation, or sale or 
217.20 	transfer of assets.
217.21 		Subd. 21.Utility. "Utility" means a public utility, as defined in section 216B.02, 
217.22 	subdivision 4, that provides natural gas service to Minnesota customers. Utility includes 
217.23 	the utility's successors or assignees.

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

217.25 	Sec. 5. [216B.492] FINANCING ORDER.
217.26 		Subdivision 1.Application. (a) A utility may file an application with the commission 
217.27 	for the issuance of a financing order to enable the utility to recover extraordinary event costs 
217.28 	through the issuance of extraordinary event bonds under this section.
217.29 	(b) The application must include the following information, as applicable:
217.30 	(1) a description of each natural gas facility to be repaired or replaced;
218.1 	(2) the undepreciated value remaining in the natural gas facility whose repair or 
218.2 	replacement is proposed to be financed through the issuance of bonds under sections 
218.3 	216B.491 to 216B.499, and the method used to calculate the amount;
218.4 	(3) the estimated amount of costs imposed on customers resulting from an extraordinary 
218.5 	event that involves no physical damage to natural gas facilities;
218.6 	(4) the estimated savings or estimated mitigation of rate impacts to utility customers if 
218.7 	the financing order is issued as requested in the application, calculated by comparing the 
218.8 	costs to customers that are expected to result from implementing the financing order and 
218.9 	the estimated costs associated with implementing traditional utility financing mechanisms 
218.10 	with respect to the same undepreciated balance, expressed in net present value terms;
218.11 	(5) a description of (i) the nonbypassable extraordinary event charge utility customers 
218.12 	would be required to pay in order to fully recover financing costs, and (ii) the method and 
218.13 	assumptions used to calculate the amount;
218.14 	(6) a proposed methodology to allocate the revenue requirement for the extraordinary 
218.15 	event charge among the utility's customer classes;
218.16 	(7) a description of a proposed adjustment mechanism to be implemented when necessary 
218.17 	to correct any overcollection or undercollection of extraordinary event charges, in order to 
218.18 	complete payment of scheduled principal and interest on extraordinary event bonds and 
218.19 	other financing costs in a timely fashion;
218.20 	(8) a memorandum with supporting exhibits, from a securities firm that is experienced 
218.21 	in the marketing of bonds and that is approved by the commissioner of management and 
218.22 	budget, indicating the proposed issuance satisfies the current published AA or Aa2 or higher 
218.23 	rating or equivalent rating criteria of at least one nationally recognized securities rating 
218.24 	organization for issuances similar to the proposed extraordinary event bonds;
218.25 	(9) an estimate of the timing of the issuance and the term of the extraordinary event 
218.26 	bonds, or series of bonds, provided that the scheduled final maturity for each bond issuance 
218.27 	does not exceed 30 years;
218.28 	(10) identification of plans to sell, assign, transfer, or convey, other than as a security, 
218.29 	interest in extraordinary event property, including identification of an assignee, and 
218.30 	demonstration that the assignee is a financing entity wholly owned, directly or indirectly, 
218.31 	by the utility;
218.32 	(11) identification of ancillary agreements that may be necessary or appropriate;
219.1 	(12) one or more alternative financing scenarios in addition to the preferred scenario 
219.2 	contained in the application;
219.3 	(13) the extent of damage to the utility's infrastructure caused by an extraordinary event 
219.4 	and the estimated costs to repair or replace the damaged infrastructure;
219.5 	(14) a schedule of the proposed repairs to and replacement of damaged infrastructure;
219.6 	(15) a description of the steps taken to provide customers interim natural gas service 
219.7 	while the damaged infrastructure is being repaired or replaced; and
219.8 	(16) a description of the impacts on the utility's current workforce resulting from 
219.9 	implementing an infrastructure repair or replacement plan following an extraordinary event.
219.10 		Subd. 2.Findings. After providing notice and holding a public hearing on an application 
219.11 	filed under subdivision 1, the commission may issue a financing order if the commission 
219.12 	finds that:
219.13 	(1) the extraordinary event costs described in the application are reasonable;
219.14 	(2) the proposed issuance of extraordinary event bonds and the imposition and collection 
219.15 	of extraordinary event charges:
219.16 	(i) are just and reasonable;
219.17 	(ii) are consistent with the public interest;
219.18 	(iii) constitute a prudent and reasonable mechanism to finance the extraordinary event 
219.19 	costs; and
219.20 	(iv) provide tangible and quantifiable benefits to customers that exceed the benefits that 
219.21 	would have been achieved absent the issuance of extraordinary event bonds; and
219.22 	(3) the proposed structuring, marketing, and pricing of the extraordinary event bonds:
219.23 	(i) significantly lower overall costs to customers or significantly mitigate rate impacts 
219.24 	to customers relative to traditional methods of financing; and
219.25 	(ii) achieve significant customer savings or significant mitigation of rate impacts to 
219.26 	customers, as determined by the commission in a financing order, consistent with market 
219.27 	conditions at the time of sale and the terms of the financing order.
219.28 		Subd. 3.Contents. (a) A financing order issued under this section must:
219.29 	(1) determine the maximum amount of extraordinary event costs that may be financed 
219.30 	from proceeds of extraordinary event bonds issued pursuant to the financing order;
220.1 	(2) describe the proposed customer billing mechanism for extraordinary event charges 
220.2 	and include a finding that the mechanism is just and reasonable;
220.3 	(3) describe the financing costs that may be recovered through extraordinary event 
220.4 	charges and the period over which the costs may be recovered, which must end no earlier 
220.5 	than the date of final legal maturity of the extraordinary event bonds;
220.6 	(4) describe the extraordinary event property that is created and that may be used to pay, 
220.7 	and secure the payment of, the extraordinary event bonds and financing costs authorized in 
220.8 	the financing order;
220.9 	(5) authorize the utility to finance extraordinary event costs through the issuance of one 
220.10 	or more series of extraordinary event bonds. A utility is not required to secure a separate 
220.11 	financing order for each issuance of extraordinary event bonds or for each scheduled phase 
220.12 	of the replacement of natural gas facilities approved in the financing order;
220.13 	(6) include a formula-based mechanism that must be used to make expeditious periodic 
220.14 	adjustments to the extraordinary event charge authorized by the financing order that are 
220.15 	necessary to correct for any overcollection or undercollection, or to otherwise guarantee 
220.16 	the timely payment of extraordinary event bonds, financing costs, and other required amounts 
220.17 	and charges payable in connection with extraordinary event bonds;
220.18 	(7) specify the degree of flexibility afforded to the utility in establishing the terms and 
220.19 	conditions of the extraordinary event bonds, including but not limited to repayment schedules, 
220.20 	expected interest rates, and other financing costs;
220.21 	(8) specify that the extraordinary event bonds must be issued as soon as feasible following 
220.22 	issuance of the financing order;
220.23 	(9) require the utility, at the same time as extraordinary event charges are initially 
220.24 	collected and independent of the schedule to close and decommission any natural gas facility 
220.25 	replaced as the result of an extraordinary event, to remove the natural gas facility from the 
220.26 	utility's rate base and commensurately reduce the utility's base rates;
220.27 	(10) specify a future ratemaking process to reconcile any difference between the projected 
220.28 	pretax costs included in the amount financed by extraordinary event bonds and the final 
220.29 	actual pretax costs incurred by the utility to retire or replace the natural gas facility;
220.30 	(11) specify information regarding bond issuance and repayments, financing costs, 
220.31 	energy transaction charges, extraordinary event property, and related matters that the natural 
220.32 	gas utility is required to provide to the commission on a schedule determined by the 
220.33 	commission;
221.1 	(12) allow and may require the creation of a utility's extraordinary event property to be 
221.2 	conditioned on, and occur simultaneously with, the sale or other transfer of the extraordinary 
221.3 	event property to an assignee and the pledge of the extraordinary event property to secure 
221.4 	the extraordinary event bonds;
221.5 	(13) ensure that the structuring, marketing, and pricing of extraordinary event bonds 
221.6 	result in reasonable securitization bond charges and significant customer savings or rate 
221.7 	impact mitigation, consistent with market conditions and the terms of the financing order; 
221.8 	and
221.9 	(14) specify that a utility financing the replacement of one or more natural gas facilities 
221.10 	after the natural gas facilities subject to the finance order are removed from the utility's rate 
221.11 	base is prohibited from:
221.12 	(i) operating the natural gas facilities; or
221.13 	(ii) selling the natural gas facilities to another entity to be operated as natural gas facilities.
221.14 	(b) A financing order issued under this section may:
221.15 	(1) include conditions different from those requested in the application that the 
221.16 	commission determines are necessary to:
221.17 	(i) promote the public interest; and
221.18 	(ii) maximize the financial benefits or minimize the financial risks of the transaction to 
221.19 	customers and to directly impacted Minnesota workers and communities; and
221.20 	(2) specify the selection of one or more underwriters of the extraordinary event bonds.
221.21 		Subd. 4.Duration; irrevocability; subsequent order. (a) A financing order remains 
221.22 	in effect until the extraordinary event bonds issued under the financing order and all financing 
221.23 	costs related to the bonds have been paid in full.
221.24 	(b) A financing order remains in effect and unabated notwithstanding the bankruptcy, 
221.25 	reorganization, or insolvency of the utility to which the financing order applies or any 
221.26 	affiliate, successor, or assignee of the utility to which the financing order applies.
221.27 	(c) Subject to judicial review under section 216B.52, a financing order is irrevocable 
221.28 	and is not reviewable by a future commission. The commission may not reduce, impair, 
221.29 	postpone, or terminate extraordinary event charges approved in a financing order, or impair 
221.30 	extraordinary event property or the collection or recovery of extraordinary event revenue.
221.31 	(d) Notwithstanding paragraph (c), the commission may, on the commission's own 
221.32 	motion or at the request of a utility or any other person, commence a proceeding and issue 
222.1 	a subsequent financing order that provides for refinancing, retiring, or refunding extraordinary 
222.2 	event bonds issued under the original financing order if:
222.3 	(1) the commission makes all of the findings specified in subdivision 2 with respect to 
222.4 	the subsequent financing order; and
222.5 	(2) the modification contained in the subsequent financing order does not in any way 
222.6 	impair the covenants and terms of the extraordinary event bonds being refinanced, retired, 
222.7 	or refunded.
222.8 		Subd. 5.Effect on commission jurisdiction. (a) Except as provided in paragraph (b), 
222.9 	the commission, in exercising the powers and carrying out the duties under this section, is 
222.10 	prohibited from:
222.11 	(1) considering extraordinary event bonds issued under this section to be debt of the 
222.12 	utility other than for income tax purposes, unless it is necessary to consider the extraordinary 
222.13 	event bonds to be debt in order to achieve consistency with prevailing utility debt rating 
222.14 	methodologies;
222.15 	(2) considering the extraordinary event charges paid under the financing order to be 
222.16 	revenue of the utility;
222.17 	(3) considering the extraordinary event or financing costs specified in the financing 
222.18 	order to be the regulated costs or assets of the utility; or
222.19 	(4) determining that any prudent action taken by a utility that is consistent with the 
222.20 	financing order is unjust or unreasonable.
222.21 	(b) Nothing in this subdivision:
222.22 	(1) affects the authority of the commission to apply or modify any billing mechanism 
222.23 	designed to recover extraordinary event charges;
222.24 	(2) prevents or precludes the commission from (i) investigating a utility's compliance 
222.25 	with the terms and conditions of a financing order, and (ii) requiring compliance with the 
222.26 	financing order; or
222.27 	(3) prevents or precludes the commission from imposing regulatory sanctions against a 
222.28 	utility for failure to comply with the terms and conditions of a financing order or the 
222.29 	requirements of this section.
222.30 	(c) The commission is prohibited from refusing to allow a utility to recover any costs 
222.31 	associated with the replacement of natural gas facilities solely because the utility has elected 
223.1 	to finance the natural gas facility replacement through a financing mechanism other than 
223.2 	extraordinary event bonds.

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

223.4 	Sec. 6. [216B.493] POSTORDER COMMISSION DUTIES.
223.5 		Subdivision 1.Financing cost review. Within 120 days after the date extraordinary 
223.6 	event bonds are issued, a utility subject to a financing order must file with the commission 
223.7 	the actual initial and ongoing financing costs, the final structure and pricing of the 
223.8 	extraordinary event bonds, and the actual extraordinary event charge. The commission must 
223.9 	review the prudence of the natural gas utility's actions to determine whether the actual 
223.10 	financing costs were the lowest that could reasonably be achieved given the terms of the 
223.11 	financing order and market conditions prevailing at the time of the bond's issuance.
223.12 		Subd. 2.Enforcement. If the commission determines that a utility's actions under this 
223.13 	section are not prudent or are inconsistent with the financing order, the commission may 
223.14 	apply any remedies available, provided that any remedy applied may not directly or indirectly 
223.15 	impair the security for the extraordinary event bonds.

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

223.17 	Sec. 7. [216B.494] USE OF OUTSIDE EXPERTS.
223.18 	(a) In carrying out the duties under this section, the commission may:
223.19 	(1) contract with outside consultants and counsel experienced in securitized utility 
223.20 	customer-backed bond financing similar to extraordinary event bonds; and
223.21 	(2) hire and compensate additional temporary staff as needed.
223.22 	Expenses incurred by the commission under this paragraph must be treated as financing 
223.23 	costs and included in the extraordinary event charge. The costs incurred under clause (1) 
223.24 	are not an obligation of the state and are assigned solely to the transaction.
223.25 	(b) A utility presented with a written request from the commission for reimbursement 
223.26 	of the commission's expenses incurred under paragraph (a), accompanied by a detailed 
223.27 	account of those expenses, must remit full payment of the expenses to the commission 
223.28 	within 30 days of receiving the request.
223.29 	(c) If a utility's application for a financing order is denied or withdrawn for any reason 
223.30 	and extraordinary event bonds are not issued, the commission's costs to retain expert 
224.1 	consultants under this section must be paid by the applicant utility and are deemed to be 
224.2 	prudent deferred expenses eligible for recovery in the utility's future rates.

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

224.4 	Sec. 8. [216B.495] EXTRAORDINARY EVENT CHARGE; BILLING TREATMENT.
224.5 	(a) A utility that obtains a financing order and causes extraordinary event bonds to be 
224.6 	issued must:
224.7 	(1) include on each customer's monthly natural gas bill:
224.8 	(i) a statement that a portion of the charges represents extraordinary event charges 
224.9 	approved in a financing order;
224.10 	(ii) the amount and rate of the extraordinary event charge as a separate line item titled 
224.11 	"extraordinary event charge"; and
224.12 	(iii) if extraordinary event property has been transferred to an assignee, a statement that 
224.13 	the assignee is the owner of the rights to extraordinary event charges and that the utility or 
224.14 	other entity, if applicable, is acting as a collection agent or servicer for the assignee; and
224.15 	(2) file annually with the commission:
224.16 	(i) a calculation of the impact of financing the retirement or replacement of natural gas 
224.17 	facilities on customer rates, itemized by customer class; and
224.18 	(ii) evidence demonstrating that extraordinary event revenues are applied solely to the 
224.19 	repayment of extraordinary event bonds and other financing costs.
224.20 	(b) Extraordinary event charges are nonbypassable and must be paid by all existing and 
224.21 	future customers receiving service from the utility or the utility's successors or assignees 
224.22 	under commission-approved rate schedules or special contracts.
224.23 	(c) A utility's failure to comply with this section does not invalidate, impair, or affect 
224.24 	any financing order, extraordinary event property, extraordinary event charge, or 
224.25 	extraordinary event bonds, but does subject the utility to penalties under applicable 
224.26 	commission rules.

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

224.28 	Sec. 9. [216B.496] EXTRAORDINARY EVENT PROPERTY.
224.29 		Subdivision 1.General. (a) Extraordinary event property is an existing present property 
224.30 	right or interest in a property right, even though the imposition and collection of extraordinary 
225.1 	event charges depend on the utility collecting extraordinary event charges and on future 
225.2 	natural gas consumption. The property right or interest exists regardless of whether the 
225.3 	revenues or proceeds arising from the extraordinary event property have been billed, have 
225.4 	accrued, or have been collected.
225.5 	(b) Extraordinary event property exists until all extraordinary event bonds issued under 
225.6 	a financing order are paid in full and all financing costs and other costs of the extraordinary 
225.7 	event bonds have been recovered in full.
225.8 	(c) All or any portion of extraordinary event property described in a financing order 
225.9 	issued to a utility may be transferred, sold, conveyed, or assigned to a successor or assignee 
225.10 	that is wholly owned, directly or indirectly, by the utility and is created for the limited 
225.11 	purpose of acquiring, owning, or administering extraordinary event property or issuing 
225.12 	extraordinary event bonds authorized by the financing order. All or any portion of 
225.13 	extraordinary event property may be pledged to secure extraordinary event bonds issued 
225.14 	under a financing order, amounts payable to financing parties and to counterparties under 
225.15 	any ancillary agreements, and other financing costs. Each transfer, sale, conveyance, 
225.16 	assignment, or pledge by a utility or an affiliate of extraordinary event property is a 
225.17 	transaction in the ordinary course of business.
225.18 	(d) If a utility defaults on any required payment of charges arising from extraordinary 
225.19 	event property described in a financing order, a court, upon petition by an interested party 
225.20 	and without limiting any other remedies available to the petitioner, must order the 
225.21 	sequestration and payment of the revenues arising from the extraordinary event property to 
225.22 	the financing parties.
225.23 	(e) The interest of a transferee, purchaser, acquirer, assignee, or pledgee in extraordinary 
225.24 	event property specified in a financing order issued to a utility, and in the revenue and 
225.25 	collections arising from the property, is not subject to setoff, counterclaim, surcharge, or 
225.26 	defense by the utility or any other person, or in connection with the reorganization, 
225.27 	bankruptcy, or other insolvency of the utility or any other entity.
225.28 	(f) A successor to a utility, whether resulting from a reorganization, bankruptcy, or other 
225.29 	insolvency proceeding; merger or acquisition; sale; other business combination; transfer by 
225.30 	operation of law; utility restructuring; or otherwise, must perform and satisfy all obligations 
225.31 	of, and has the same duties and rights under, a financing order as the utility to which the 
225.32 	financing order applies. A successor to a utility must perform the duties and exercise the 
225.33 	rights in the same manner and to the same extent as the utility, including collecting and 
226.1 	paying to any person entitled to receive revenues, collections, payments, or proceeds of 
226.2 	extraordinary event property.
226.3 		Subd. 2.Security interests in extraordinary event property. (a) The creation, 
226.4 	perfection, and enforcement of any security interest in extraordinary event property to secure 
226.5 	the repayment of the principal and interest on extraordinary event bonds, amounts payable 
226.6 	under any ancillary agreement, and other financing costs are governed solely by this section.
226.7 	(b) A security interest in extraordinary event property is created, valid, and binding 
226.8 	when:
226.9 	(1) the financing order that describes the extraordinary event property is issued;
226.10 	(2) a security agreement is executed and delivered; and
226.11 	(3) value is received for the extraordinary event bonds.
226.12 	(c) Once a security interest in extraordinary event property is created, the security interest 
226.13 	attaches without any physical delivery of collateral or any other act. The lien of the security 
226.14 	interest is valid, binding, and perfected against all parties having claims of any kind in tort, 
226.15 	contract, or otherwise against the person granting the security interest, regardless of whether 
226.16 	the parties have notice of the lien, upon the filing of a financing statement with the secretary 
226.17 	of state.
226.18 	(d) The description or indication of extraordinary event property in a transfer or security 
226.19 	agreement and a financing statement is sufficient only if the description or indication refers 
226.20 	to this section and the financing order creating the extraordinary event property.
226.21 	(e) A security interest in extraordinary event property is a continuously perfected security 
226.22 	interest and has priority over any other lien, created by operation of law or otherwise, which 
226.23 	may subsequently attach to the extraordinary event property unless the holder of the security 
226.24 	interest has agreed otherwise in writing.
226.25 	(f) The priority of a security interest in extraordinary event property is not affected by 
226.26 	the commingling of extraordinary event property or extraordinary event revenue with other 
226.27 	money. An assignee, bondholder, or financing party has a perfected security interest in the 
226.28 	amount of all extraordinary event property or extraordinary event revenue that is pledged 
226.29 	to pay extraordinary event bonds, even if the extraordinary event property or extraordinary 
226.30 	event revenue is deposited in a cash or deposit account of the utility in which the 
226.31 	extraordinary event revenue is commingled with other money. Any other security interest 
226.32 	that applies to the other money does not apply to the extraordinary event revenue.
227.1 	(g) Neither a subsequent commission order amending a financing order under section 
227.2 	216B.492, subdivision 4, nor application of an adjustment mechanism authorized by a 
227.3 	financing order under section 216B.492, subdivision 3, affects the validity, perfection, or 
227.4 	priority of a security interest in or transfer of extraordinary event property.
227.5 	(h) A valid and enforceable security interest in extraordinary event property is perfected 
227.6 	only when the security interest has attached and when a financing order has been filed with 
227.7 	the secretary of state in accordance with procedures established by the secretary of state. 
227.8 	The financing order must name the pledgor of the extraordinary event property as debtor 
227.9 	and identify the property.
227.10 		Subd. 3.Sales of extraordinary event property. (a) A sale, assignment, or transfer of 
227.11 	extraordinary event property is an absolute transfer and true sale of, and not a pledge of or 
227.12 	secured transaction relating to, the seller's right, title, and interest in, to, and under the 
227.13 	extraordinary event property if the documents governing the transaction expressly state that 
227.14 	the transaction is a sale or other absolute transfer. A transfer of an interest in extraordinary 
227.15 	event property may be created when:
227.16 	(1) the financing order creating and describing the extraordinary event property is 
227.17 	effective;
227.18 	(2) the documents evidencing the transfer of the extraordinary event property are executed 
227.19 	and delivered to the assignee; and
227.20 	(3) value is received.
227.21 	(b) A transfer of an interest in extraordinary event property must be filed with the 
227.22 	secretary of state against all third persons and perfected under sections 336.3-301 to 
227.23 	336.3-312, including any judicial lien or other lien creditors or any claims of the seller or 
227.24 	creditors of the seller, other than creditors holding a prior security interest, ownership 
227.25 	interest, or assignment in the extraordinary event property previously perfected under this 
227.26 	subdivision or subdivision 2.
227.27 	(c) The characterization of a sale, assignment, or transfer as an absolute transfer and 
227.28 	true sale, and the corresponding characterization of the property interest of the assignee, is 
227.29 	not affected or impaired by:
227.30 	(1) commingling of extraordinary event revenue with other money;
227.31 	(2) the retention by the seller of:
227.32 	(i) a partial or residual interest, including an equity interest, in the extraordinary event 
227.33 	property, whether direct or indirect, or whether subordinate or otherwise; or
228.1 	(ii) the right to recover costs associated with taxes, franchise fees, or license fees imposed 
228.2 	on the collection of extraordinary event revenue;
228.3 	(3) any recourse that the purchaser may have against the seller;
228.4 	(4) any indemnification rights, obligations, or repurchase rights made or provided by 
228.5 	the seller;
228.6 	(5) an obligation of the seller to collect extraordinary event revenues on behalf of an 
228.7 	assignee;
228.8 	(6) the treatment of the sale, assignment, or transfer for tax, financial reporting, or other 
228.9 	purposes;
228.10 	(7) any subsequent financing order amending a financing order under section 216B.492, 
228.11 	subdivision 4, paragraph (d); or
228.12 	(8) any application of an adjustment mechanism under section 216B.492, subdivision 
228.13 	3, paragraph (a), clause (6).

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

228.15 	Sec. 10. [216B.497] EXTRAORDINARY EVENT BONDS.
228.16 	(a) Banks, trust companies, savings and loan associations, insurance companies, executors, 
228.17 	administrators, guardians, trustees, and other fiduciaries may legally invest any money 
228.18 	within the individual's or entity's control in extraordinary event bonds.
228.19 	(b) Extraordinary event bonds issued under a financing order are not debt of or a pledge 
228.20 	of the faith and credit or taxing power of the state, any agency of the state, or any political 
228.21 	subdivision. Holders of extraordinary event bonds may not have taxes levied by the state 
228.22 	or a political subdivision in order to pay the principal or interest on extraordinary event 
228.23 	bonds. The issuance of extraordinary event bonds does not directly, indirectly, or contingently 
228.24 	obligate the state or a political subdivision to levy any tax or make any appropriation to pay 
228.25 	principal or interest on the extraordinary event bonds.
228.26 	(c) The state pledges to and agrees with holders of extraordinary event bonds, any 
228.27 	assignee, and any financing parties that the state will not:
228.28 	(1) take or permit any action that impairs the value of extraordinary event property; or
228.29 	(2) reduce, alter, or impair extraordinary event charges that are imposed, collected, and 
228.30 	remitted for the benefit of holders of extraordinary event bonds, any assignee, and any 
228.31 	financing parties until any principal, interest, and redemption premium payable on 
229.1 	extraordinary event bonds, all financing costs, and all amounts to be paid to an assignee or 
229.2 	financing party under an ancillary agreement are paid in full.
229.3 	(d) A person who issues extraordinary event bonds may include the pledge specified in 
229.4 	paragraph (c) in the extraordinary event bonds, ancillary agreements, and documentation 
229.5 	related to the issuance and marketing of the extraordinary event bonds.

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

229.7 	Sec. 11. [216B.498] ASSIGNEE OF FINANCING PARTY NOT SUBJECT TO 
229.8 	COMMISSION REGULATION.
229.9 	An assignee or financing party that is not already regulated by the commission does not 
229.10 	become subject to commission regulation solely as a result of engaging in any transaction 
229.11 	authorized by or described in sections 216B.491 to 216B.499.

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

229.13 	Sec. 12. [216B.499] EFFECT ON OTHER LAWS.
229.14 	(a) If any provision of sections 216B.491 to 216B.499 conflicts with any other law 
229.15 	regarding the attachment, assignment, perfection, effect of perfection, or priority of any 
229.16 	security interest in or transfer of extraordinary event property, sections 216B.491 to 216B.499 
229.17 	govern.
229.18 	(b) Nothing in this section precludes a utility for which the commission has initially 
229.19 	issued a financing order from applying to the commission for:
229.20 	(1) a subsequent financing order amending the financing order under section 216B.492, 
229.21 	subdivision 4, paragraph (d); or
229.22 	(2) approval to issue extraordinary event bonds to refund all or a portion of an outstanding 
229.23 	series of extraordinary event bonds.

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

229.25 	Sec. 13. Minnesota Statutes 2020, section 216B.50, subdivision 1, is amended to read:
229.26 		Subdivision 1.Commission approval required. No public utility shall sell, acquire, 
229.27 	lease, or rent any plant as an operating unit or system in this state for a total consideration 
229.28 	in excess of $100,000 $1,000,000, or merge or consolidate with another public utility or 
229.29 	transmission company operating in this state, without first being authorized so to do by the 
229.30 	commission. Upon the filing of an application for the approval and consent of the 
230.1 	commission, the commission shall investigate, with or without public hearing. The 
230.2 	commission shall hold a public hearing, upon such notice as the commission may require. 
230.3 	If the commission finds that the proposed action is consistent with the public interest, it 
230.4 	shall give its consent and approval by order in writing. In reaching its determination, the 
230.5 	commission shall take into consideration the reasonable value of the property, plant, or 
230.6 	securities to be acquired or disposed of, or merged and consolidated.
230.7 	This section does not apply to the purchase of property to replace or add to the plant of 
230.8 	the public utility by construction.

230.9 	Sec. 14. [216B.631] COMPENSATION FOR PARTICIPANTS IN PROCEEDINGS.
230.10 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
230.11 	the meanings given.
230.12 	(b) "Participant" means a person who:
230.13 	(1) meets the requirements of subdivision 2;
230.14 	(2) either (i) files comments or appears in a commission proceeding concerning one or 
230.15 	more public utilities, excluding public hearings held in contested cases and commission 
230.16 	proceedings conducted to receive general public comments; or (ii) is permitted by the 
230.17 	commission to intervene in a commission proceeding concerning one or more public utilities; 
230.18 	and
230.19 	(3) files a request for compensation under this section.
230.20 	(c) "Party" means a person who files comments or appears in a commission proceeding, 
230.21 	other than public hearings, concerning one or more public utilities.
230.22 	(d) "Proceeding" means an undertaking of the commission in which the commission 
230.23 	seeks to resolve an issue affecting one or more public utilities and which results in a 
230.24 	commission order.
230.25 	(e) "Public utility" has the meaning given in section 216B.02, subdivision 4.
230.26 		Subd. 2.Participants; eligibility. The following participants are eligible to receive 
230.27 	compensation under this section:
230.28 	(1) a nonprofit organization that is:
230.29 	(i) exempt from taxation under section 501(c)(3) of the United States Internal Revenue 
230.30 	Code;
230.31 	(ii) incorporated or organized in Minnesota;
231.1 	(iii) governed under chapter 317A or section 322C.1101; and
231.2 	(iv) determined by the commission under subdivision 3, paragraph (c), to suffer financial 
231.3 	hardship if not compensated for the nonprofit organization's participation in the applicable 
231.4 	proceeding;
231.5 	(2) a Tribal government of a federally recognized Indian Tribe that is located in 
231.6 	Minnesota; or
231.7 	(3) a Minnesota resident, except that an individual who owns a for-profit business that 
231.8 	has earned revenue from a Minnesota utility in the past two years is not eligible for 
231.9 	compensation.
231.10 		Subd. 3.Compensation; conditions. (a) The commission may order a public utility to 
231.11 	compensate all or part of a participant's reasonable costs to participate in a proceeding before 
231.12 	the commission if the commission finds:
231.13 	(1) that the participant has materially assisted the commission's deliberation; and
231.14 	(2) if the participant is a nonprofit organization, that the participant would suffer financial 
231.15 	hardship if the nonprofit organization's participation in the proceeding was not compensated.
231.16 	(b) When determining whether a participant has materially assisted the commission's 
231.17 	deliberation, the commission must find that:
231.18 	(1) the participant made a unique contribution to the record and represented an interest 
231.19 	that would not otherwise have been adequately represented;
231.20 	(2) the evidence or arguments presented or the positions taken by the participant were 
231.21 	an important factor in producing a fair decision;
231.22 	(3) the participant's position promoted a public purpose or policy;
231.23 	(4) the evidence presented, arguments made, issues raised, or positions taken by the 
231.24 	participant would not otherwise have been part of the record;
231.25 	(5) the participant was active in any stakeholder process included in the proceeding; and
231.26 	(6) the proceeding resulted in a commission order that adopted, in whole or in part, a 
231.27 	position advocated by the participant.
231.28 	(c) When determining whether a nonprofit participant has demonstrated that a lack of 
231.29 	compensation would present financial hardship, the commission must find that the nonprofit 
231.30 	participant:
232.1 	(1) incorporated or organized within three years of the date the applicable proceeding 
232.2 	began;
232.3 	(2) has payroll expenses below $750,000; or
232.4 	(3) has secured less than $100,000 in current year funding dedicated to participation in 
232.5 	commission proceedings, not including any participant compensation awarded under this 
232.6 	section.
232.7 	(d) When reviewing a compensation request, the commission must consider whether 
232.8 	the costs presented in the participant's claim are reasonable.
232.9 		Subd. 4.Compensation; amount. (a) Compensation must not exceed $50,000 for a 
232.10 	single participant in any proceeding, except that:
232.11 	(1) if a proceeding extends longer than 12 months, a participant may request compensation 
232.12 	of up to $50,000 for costs incurred in each calendar year; and
232.13 	(2) in a general rate case proceeding under section 216B.16 or an integrated resource 
232.14 	plan proceeding under section 216B.2422, the maximum single participant compensation 
232.15 	per proceeding under this section must not exceed $75,000.
232.16 	(b) A single participant must not be granted more than $200,000 under this section in a 
232.17 	single calendar year.
232.18 	(c) Compensation requests from joint participants must be presented as a single request.
232.19 	(d) Notwithstanding paragraphs (a) and (b), the commission must not, in any calendar 
232.20 	year, require a single public utility to pay aggregate compensation under this section that 
232.21 	exceeds the following amounts:
232.22 	(1) $100,000, for a public utility with up to $300,000,000 annual gross operating revenue 
232.23 	in Minnesota;
232.24 	(2) $275,000, for a public utility with at least $300,000,000 but less than $900,000,000 
232.25 	annual gross operating revenue in Minnesota;
232.26 	(3) $375,000, for a public utility with at least $900,000,000 but less than $2,000,000,000 
232.27 	annual gross operating revenue in Minnesota; and
232.28 	(4) $1,250,000, for a public utility with $2,000,000,000 or more annual gross operating 
232.29 	revenue in Minnesota.
233.1 	(e) When requests for compensation from any public utility approach the limits established 
233.2 	in paragraph (d), the commission may prioritize requests from participants that received 
233.3 	less than $150,000 in total compensation during the previous two years.
233.4 		Subd. 5.Compensation; process. (a) A participant seeking compensation must file a 
233.5 	request and an affidavit of service with the commission, and serve a copy of the request on 
233.6 	each party to the proceeding. The request must be filed no more than 30 days after the later 
233.7 	of: (1) the expiration of the period within which a petition for rehearing, amendment, 
233.8 	vacation, reconsideration, or reargument must be filed; or (2) the date the commission issues 
233.9 	an order following rehearing, amendment, vacation, reconsideration, or reargument.
233.10 	(b) A compensation request must include:
233.11 	(1) the name and address of the participant or nonprofit organization the participant is 
233.12 	representing;
233.13 	(2) evidence of the organization's nonprofit, tax-exempt status, if applicable;
233.14 	(3) the name and docket number of the proceeding for which compensation is requested;
233.15 	(4) for a nonprofit participant, evidence supporting the nonprofit's eligibility for 
233.16 	compensation under the financial hardship test under subdivision 3, paragraph (c);
233.17 	(5) amounts of compensation awarded to the participant under this section during the 
233.18 	current year and any pending requests for compensation, itemized by docket;
233.19 	(6) an itemization of the participant's costs, including (i) hours worked and associated 
233.20 	hourly rates for each individual contributing to the participation, not including overhead 
233.21 	costs; (ii) participant revenues dedicated for the proceeding; and (iii) the total compensation 
233.22 	request; and
233.23 	(7) a narrative describing the unique contribution made to the proceeding by the 
233.24 	participant.
233.25 	(c) A participant must comply with reasonable requests for information by the commission 
233.26 	and other parties or participants. A participant must reply to information requests within 
233.27 	ten calendar days of the date the request is received, unless doing so would place an extreme 
233.28 	hardship upon the replying participant. The replying participant must provide a copy of the 
233.29 	information to any other participant or interested person upon request. Disputes regarding 
233.30 	information requests may be resolved by the commission.
233.31 	(d) A party objecting to a request for compensation must, within 30 days after service 
233.32 	of the request for compensation, file a response and an affidavit of service with the 
234.1 	commission. A copy of the response must be served on the requesting participant and all 
234.2 	other parties to the proceeding.
234.3 	(e) The requesting participant may file a reply with the commission within 15 days after 
234.4 	the date a response is filed under paragraph (d). A copy of the reply and an affidavit of 
234.5 	service must be served on all other parties to the proceeding.
234.6 	(f) If additional costs are incurred by a participant as a result of additional proceedings 
234.7 	following the commission's initial order, the participant may file an amended request within 
234.8 	30 days after the date the commission issues an amended order. Paragraphs (b) to (e) apply 
234.9 	to an amended request.
234.10 	(g) The commission must issue a decision on participant compensation within 120 days 
234.11 	of the date a request for compensation is filed by a participant.
234.12 	(h) The commission may extend the deadlines in paragraphs (d), (e), and (g) for up to 
234.13 	30 days upon the request of a participant or on the commission's own initiative.
234.14 	(i) A participant may request reconsideration of the commission's compensation decision 
234.15 	within 30 days of the decision date.
234.16 		Subd. 6.Compensation; orders. (a) If the commission issues an order requiring payment 
234.17 	of participant compensation, the public utility that was the subject of the proceeding must 
234.18 	pay the full compensation to the participant and file proof of payment with the commission 
234.19 	within 30 days after the later of: (1) the expiration of the period within which a petition for 
234.20 	reconsideration of the commission's compensation decision must be filed; or (2) the date 
234.21 	the commission issues an order following reconsideration of the commission's order on 
234.22 	participant compensation.
234.23 	(b) If the commission issues an order requiring payment of participant compensation in 
234.24 	a proceeding involving multiple public utilities, the commission must apportion costs among 
234.25 	the public utilities in proportion to each public utility's annual revenue.
234.26 	(c) The commission may issue orders necessary to allow a public utility to recover the 
234.27 	costs of participant compensation on a timely basis.
234.28 		Subd. 7.Report. By July 1, 2025, the commission must report to the chairs and ranking 
234.29 	minority members of the senate and house of representatives committees with primary 
234.30 	jurisdiction over energy policy on the operation of this section, including but not limited 
234.31 	to:
234.32 	(1) the amount of compensation paid each year by each utility;
235.1 	(2) each recipient of compensation, the commission dockets in which compensation was 
235.2 	awarded, and the compensation amounts; and
235.3 	(3) the impact resulting from the commission's adoption of positions advocated by 
235.4 	compensated participants.

235.5 	EFFECTIVE DATE. This section is effective the day following final enactment and 
235.6 	applies to any proceeding in which the commission has not issued a final order as of that 
235.7 	date.

235.8 	Sec. 15. Minnesota Statutes 2020, section 216E.03, subdivision 11, is amended to read:
235.9 		Subd. 11.Department of Commerce to provide technical expertise and other 
235.10 	assistance. (a) The commissioner of the Department of Commerce shall consult with other 
235.11 	state agencies and provide technical expertise and other assistance to the commission or to 
235.12 	individual members of the commission for activities and proceedings under this chapter 
235.13 	and chapters 216F and 216G. This assistance shall include the sharing of power plant siting 
235.14 	and routing staff and other resources as necessary. The commissioner shall periodically 
235.15 	report to the commission concerning the Department of Commerce's costs of providing 
235.16 	assistance. The report shall conform to the schedule and include the required contents 
235.17 	specified by the commission. The commission shall include the costs of the assistance in 
235.18 	assessments for activities and proceedings under those sections and reimburse the special 
235.19 	revenue fund for those costs. If either the commissioner or the commission deems it 
235.20 	necessary, the department and the commission shall enter into an interagency agreement 
235.21 	establishing terms and conditions for the provision of assistance and sharing of resources 
235.22 	under this subdivision.
235.23 	(b) Notwithstanding the requirements of section 216B.33, the commissioner may take 
235.24 	any action required or requested by the commission related to the environmental review 
235.25 	requirements under chapter 216E or 216F immediately following a hearing and vote by the 
235.26 	commission, prior to issuing a written order, finding, authorization, or certificate.

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

235.28 	Sec. 16. Minnesota Statutes 2020, section 216E.04, subdivision 2, is amended to read:
235.29 		Subd. 2.Applicable projects. The requirements and procedures in this section apply to 
235.30 	the following projects:
235.31 	(1) large electric power generating plants with a capacity of less than 80 megawatts;
235.32 	(2) large electric power generating plants that are fueled by natural gas;
236.1 	(3) high-voltage transmission lines of between 100 and 200 kilovolts;
236.2 	(4) high-voltage transmission lines in excess of 200 kilovolts and less than five 30 miles 
236.3 	in length in Minnesota;
236.4 	(5) high-voltage transmission lines in excess of 200 kilovolts if at least 80 percent of 
236.5 	the distance of the line in Minnesota will be located along existing high-voltage transmission 
236.6 	line right-of-way;
236.7 	(6) a high-voltage transmission line service extension to a single customer between 200 
236.8 	and 300 kilovolts and less than ten miles in length;
236.9 	(7) a high-voltage transmission line rerouting to serve the demand of a single customer 
236.10 	when the rerouted line will be located at least 80 percent on property owned or controlled 
236.11 	by the customer or the owner of the transmission line; and
236.12 	(8) large electric power generating plants that are powered by solar energy.

236.13 	EFFECTIVE DATE. This section is effective the day following final enactment and 
236.14 	applies to a high-voltage transmission line in excess of 200 kilovolts whose owner has filed 
236.15 	an application for a route permit with the Public Utilities Commission on or after that date.

236.16 	Sec. 17. REPEALER.
 236.17 	Minnesota Statutes 2020, section 216B.16, subdivision 10, is repealed.

236.18 	ARTICLE 21
236.19 	ENERGY STORAGE

236.20 	Section 1. Minnesota Statutes 2020, section 216B.1611, is amended by adding a subdivision 
236.21 	to read:
236.22 		Subd. 5.Energy storage; capacity; treatment. This subdivision applies to a public 
236.23 	utility, as defined in section 216B.02, subdivision 4. For the purpose of interconnecting a 
236.24 	distributed generation facility that operates in conjunction with an energy storage system, 
236.25 	as defined in section 216B.2422, subdivision 1, paragraph (f), the system capacity must be 
236.26 	calculated as the alternating current capacity of the distributed generation facility alone, 
236.27 	provided that the energy storage system is connected to the distributed generating facility:
236.28 	(1) by direct current; or
236.29 	(2) by alternating current and is configured to limit the maximum export of electricity 
236.30 	beyond the common point of coupling with the utility to an amount no greater than the 
236.31 	capacity of the distributed generation facility.

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

237.2 	Sec. 2. [216B.1616] VALUE OF ON-SITE ENERGY STORAGE.
237.3 	No later than September 15, 2022, the commission must initiate a docket designed to 
237.4 	determine fair compensation paid to customer-owners of on-site energy storage systems, 
237.5 	as defined in section 216B.2422, subdivision 1, paragraph (f), for voluntarily discharging 
237.6 	stored energy and capacity during periods of peak electricity demand or at other times as 
237.7 	dispatched or requested by a public utility, as defined in section 216B.02, subdivision 4.

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

237.9 	Sec. 3. Minnesota Statutes 2020, section 216B.2422, subdivision 7, is amended to read:
237.10 		Subd. 7.Energy storage systems assessment. (a) Each public utility required to file a 
237.11 	resource plan under subdivision 2 must include in the filing an assessment of energy storage 
237.12 	systems that analyzes how the deployment of energy storage systems contributes to:
237.13 	(1) meeting identified generation and capacity needs; and
237.14 	(2) evaluating ancillary services.
237.15 	(b) The assessment must:
237.16 	(1) employ appropriate modeling methods to enable the analysis required in paragraph 
237.17 	(a).; and
237.18 	(2) address how energy storage systems may contribute to achieving the goals under 
237.19 	subdivision 4, clause (1).

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

237.21 	Sec. 4. Minnesota Statutes 2020, section 216B.2425, subdivision 8, is amended to read:
237.22 		Subd. 8.Distribution study for distributed generation. Each entity subject to this 
237.23 	section that is operating under a multiyear rate plan approved under section 216B.16, 
237.24 	subdivision 19, shall conduct a distribution study to identify interconnection points on its 
237.25 	distribution system for small-scale distributed generation resources and shall identify 
237.26 	necessary distribution upgrades, including the deployment of energy storage systems, as 
237.27 	defined in section 216B.2422, subdivision 1, paragraph (f), to support the continued 
237.28 	development of distributed generation resources, and shall include the study in its report 
237.29 	required under subdivision 2.

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

238.1 	Sec. 5. [216C.378] STORAGE REWARDS INCENTIVE PROGRAM.
238.2 	(a) The electric utility subject to section 116C.779 must develop and operate a program 
238.3 	to provide a lump-sum grant to customers to reduce the cost of purchasing and installing 
238.4 	an on-site energy storage system, as defined in section 216B.2422, subdivision 1, paragraph 
238.5 	(f). The utility subject to this section must file a plan with the commissioner to operate the 
238.6 	program no later than October 1, 2022. The utility may not operate the program until the 
238.7 	program is approved by the commissioner. Any change to an operating program must be 
238.8 	approved by the commissioner.
238.9 	(b) To be eligible to receive a grant under this section, an energy storage system must:
238.10 	(1) have a capacity no greater than 50 kilowatt hours; and
238.11 	(2) be located within the electric service area of the utility subject to this section.
238.12 	(c) An owner of an energy storage system is eligible to receive a grant under this section 
238.13 	if:
238.14 	(1) a solar energy generating system is operating at the same site as the proposed energy 
238.15 	storage system; or
238.16 	(2) the owner has filed an application with the utility subject to this section to interconnect 
238.17 	a solar energy generating system at the same site as the proposed energy storage system.
238.18 	(d) The commissioner must annually review and may adjust the amount of grants awarded 
238.19 	under this section, but must not increase the amount over that awarded in previous years 
238.20 	unless the commissioner demonstrates in writing that an upward adjustment is warranted 
238.21 	by market conditions.
238.22 	(e) A customer who receives a grant under this section is eligible to receive financial 
238.23 	assistance under programs operated by the state or the utility for the solar energy generating 
238.24 	system operating in conjunction with the energy storage system.
238.25 	(f) For the purposes of this section, "solar energy generating system" has the meaning 
238.26 	given in section 216E.01, subdivision 9a.

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

239.1 	ARTICLE 22
239.2 	RENEWABLE ENERGY

239.3 	Section 1. Minnesota Statutes 2020, section 16B.32, subdivision 1, is amended to read:
239.4 		Subdivision 1.Alternative energy sources. Plans prepared by the commissioner for a 
239.5 	new building or for a renovation of 50 percent or more of an existing building or its energy 
239.6 	systems must include designs which use active and passive solar energy systems, earth 
239.7 	sheltered construction, and other alternative energy sources where feasible. (a) If 
239.8 	incorporating cost-effective energy efficiency measures into the design, materials, and 
239.9 	operations of a building or major building renovation subject to section 16B.325 is not 
239.10 	sufficient to meet Sustainable Building 2030 energy performance standards required under 
239.11 	section 216B.241, subdivision 9, cost-effective renewable energy sources or solar thermal 
239.12 	energy systems, or both, must be deployed to achieve the standards.
239.13 	(b) The commissioners of administration and commerce must review compliance of 
239.14 	building designs and plans subject to this section with Sustainable Building 2030 performance 
239.15 	standards developed under section 216B.241, subdivision 9, and must make recommendations 
239.16 	to the legislature as necessary to ensure that the performance standards are met.
239.17 	(c) For the purposes of this section:
239.18 	(1) "energy efficiency" has the meaning given in section 216B.241, subdivision 1, 
239.19 	paragraph (f);
239.20 	(2) "renewable energy" has the meaning given in section 216B.2422, subdivision 1, 
239.21 	paragraph (c), and includes hydrogen generated from wind, solar, or hydroelectric; and
239.22 	(3) "solar thermal energy systems" has the meaning given to "qualifying solar thermal 
239.23 	project" in section 216B.2411, subdivision 2, paragraph (e).

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

239.25 	Sec. 2. Minnesota Statutes 2020, section 16B.32, subdivision 1a, is amended to read:
239.26 		Subd. 1a.Onsite energy generation from renewable sources. A state agency that 
239.27 	prepares a predesign for a new building must consider meeting at least two percent of the 
239.28 	energy needs of the building from renewable sources located on the building site. For 
239.29 	purposes of this subdivision, "renewable sources" are limited to wind and the sun. The 
239.30 	predesign must include an explicit cost and price analysis of complying with the two-percent 
239.31 	requirement compared with the present and future costs of energy supplied by a public 
239.32 	utility from a location away from the building site and the present and future costs of 
240.1 	controlling carbon emissions. If the analysis concludes that the building should not meet at 
240.2 	least two percent of its energy needs from renewable sources located on the building site, 
240.3 	the analysis must provide explicit reasons why not. The building may not receive further 
240.4 	state appropriations for design or construction unless at least two percent of its energy needs 
240.5 	are designed to be met from renewable sources, unless the commissioner finds that the 
240.6 	reasons given by the agency for not meeting the two-percent requirement were supported 
240.7 	by evidence in the record. The total aggregate nameplate capacity of all renewable energy 
240.8 	sources utilized to meet Sustainable Building 2030 standards in a state-owned building or 
240.9 	facility, including any subscription to a community solar garden under section 216B.1641, 
240.10 	must not exceed 120 percent of the state-owned building's or facility's average annual electric 
240.11 	energy consumption.

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

240.13 	Sec. 3. Minnesota Statutes 2021 Supplement, section 116C.7792, is amended to read:
240.14 	116C.7792 SOLAR ENERGY PRODUCTION INCENTIVE PROGRAM.
240.15 	(a) The utility subject to section 116C.779 shall operate a program to provide solar 
240.16 	energy production incentives for solar energy systems of no more than a total aggregate 
240.17 	nameplate capacity of 40 kilowatts alternating current per premise. The owner of a solar 
240.18 	energy system installed before June 1, 2018, is eligible to receive a production incentive 
240.19 	under this section for any additional solar energy systems constructed at the same customer 
240.20 	location, provided that the aggregate capacity of all systems at the customer location does 
240.21 	not exceed 40 kilowatts.
240.22 	(b) The program is funded by money withheld from transfer to the renewable development 
240.23 	account under section 116C.779, subdivision 1, paragraphs (b) and (e). Program funds must 
240.24 	be placed in a separate account for the purpose of the solar energy production incentive 
240.25 	program operated by the utility and not for any other program or purpose.
240.26 	(c) Funds allocated to the solar energy production incentive program in 2019 and 2020 
240.27 	remain available to the solar energy production incentive program.
240.28 	(d) The following amounts are allocated to the solar energy production incentive program:
240.29 	(1) $10,000,000 in 2021;
240.30 	(2) $10,000,000 in 2022;
240.31 	(3) $5,000,000 $10,000,000 in 2023; and
240.32 	(4) $5,000,000 $10,000,000 in 2024; and
241.1 	(5) $10,000,000 in 2025.
241.2 	(e) Funds allocated to the solar energy production incentive program that have not been 
241.3 	committed to a specific project at the end of a program year remain available to the solar 
241.4 	energy production incentive program.
241.5 	(f) Any unspent amount remaining on January 1, 2025 2027, must be transferred to the 
241.6 	renewable development account.
241.7 	(g) A solar energy system receiving a production incentive under this section must be 
241.8 	sized to less than 120 percent of the customer's on-site annual energy consumption when 
241.9 	combined with other distributed generation resources and subscriptions provided under 
241.10 	section 216B.1641 associated with the premise. The production incentive must be paid for 
241.11 	ten years commencing with the commissioning of the system.
241.12 	(h) The utility must file a plan to operate the program with the commissioner of 
241.13 	commerce. The utility may not operate the program until it is approved by the commissioner. 
241.14 	A change to the program to include projects up to a nameplate capacity of 40 kilowatts or 
241.15 	less does not require the utility to file a plan with the commissioner. Any plan approved by 
241.16 	the commissioner of commerce must not provide an increased incentive scale over prior 
241.17 	years unless the commissioner demonstrates that changes in the market for solar energy 
241.18 	facilities require an increase.
241.19 	(i) Contractors and subcontractors installing a solar energy generating system awarded 
241.20 	financial assistance under this section must comply with sections 177.41 to 177.43 with 
241.21 	respect to the installation.

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

241.23 	Sec. 4. [116C.7793] SOLAR ENERGY; CONTINGENCY ACCOUNT.
241.24 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
241.25 	the meanings given.
241.26 	(b) "Agency" means the Pollution Control Agency.
241.27 	(c) "Area C" means the site located west of Mississippi River Boulevard in St. Paul that 
241.28 	served as an industrial waste dump for the former Ford Twin Cities Assembly Plant.
241.29 	(d) "Corrective action determination" means a decision by the agency regarding actions 
241.30 	to be taken to remediate contaminated soil and groundwater at Area C.
241.31 	(e) "Owner" means the owner of a solar energy generating system planned to be deployed 
241.32 	at Area C.
242.1 	(f) "Solar energy generating system" has the meaning given in section 216E.01, 
242.2 	subdivision 9a.
242.3 		Subd. 2.Account established. The Area C contingency account is established as a 
242.4 	separate account in the special revenue fund in the state treasury. Transfers and appropriations 
242.5 	to the account, and any earnings or dividends accruing to assets in the account, must be 
242.6 	credited to the account. The commissioner must serve as fiscal agent and must manage the 
242.7 	account.
242.8 		Subd. 3.Distribution of funds; conditions. Money from the account may be distributed 
242.9 	by the commissioner to the owner of a solar energy generating system planned to be deployed 
242.10 	on Area C under the following conditions:
242.11 	(1) the agency issues a corrective action determination after the owner has begun to 
242.12 	design or construct the project, and the nature of the corrective action determination requires 
242.13 	the project to be redesigned or construction to be interrupted or altered; or
242.14 	(2) the agency issues a corrective action determination whose work plan requires 
242.15 	temporary cessation or partial or complete removal of the solar energy generating system 
242.16 	after the solar energy generating system has become operational.
242.17 		Subd. 4.Distribution of funds; process. (a) The owner may file a request for distribution 
242.18 	of funds from the commissioner if either of the conditions in subdivision 3 occur. The filing 
242.19 	must describe (1) the nature of the impact of the agency's work plan that results in economic 
242.20 	losses to the owner, and (2) a reasonable estimate of the amount of the economic losses.
242.21 	(b) The owner must provide the commissioner with information the commissioner 
242.22 	determines to be necessary to assist in reviewing the filing required under this subdivision.
242.23 	(c) The commissioner must review the owner's filing within 60 days of submission and 
242.24 	must approve a request the commissioner determines is reasonable.
242.25 		Subd. 5.Expenditures. Money distributed by the commissioner to the owner under this 
242.26 	section may be used by the owner only to pay for:
242.27 	(1) removal, storage, and transportation costs incurred for equipment removed, and any 
242.28 	costs to reinstall equipment;
242.29 	(2) costs of redesign or new equipment made necessary by the activities under the 
242.30 	agency's work plan;
243.1 	(3) lost revenues resulting from the inability of the solar energy generating system to 
243.2 	generate sufficient electricity to fulfill the terms of the power purchase agreement between 
243.3 	the owner and the purchaser of electricity generated by the solar energy generating system;
243.4 	(4) other damages incurred under the power purchase agreement resulting from the 
243.5 	cessation of operations made necessary by the activities of the agency's work plan; and
243.6 	(5) the cost of energy required to replace the energy that would have been generated by 
243.7 	the solar energy generating system and purchased under the power purchase agreement.

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

243.9 	Sec. 5. Minnesota Statutes 2020, section 216B.1641, is amended to read:
243.10 	216B.1641 COMMUNITY SOLAR GARDEN.
243.11 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
243.12 	the meanings given.
243.13 	(b) "Subscribed energy" means electricity generated by the community solar garden that 
243.14 	is attributable to a subscriber's subscription.
243.15 	(c) "Subscriber" means a retail customer who owns one or more subscriptions of a 
243.16 	community solar garden interconnected with the retail customer's utility.
243.17 	(d) "Subscription" means a contract between a subscriber and the owner of a solar garden.
243.18 		Subd. 2.Solar garden; project requirements. (a) The public utility subject to section 
243.19 	116C.779 shall file by September 30, 2013, a plan with the commission to operate a 
243.20 	community solar garden program which shall begin operations within 90 days after 
243.21 	commission approval of the plan. Other public utilities may file an application at their 
243.22 	election. The community solar garden program must be designed to offset the energy use 
243.23 	of not less than five subscribers in each community solar garden facility of which no single 
243.24 	subscriber has more than a 40 percent interest. The owner of the community solar garden 
243.25 	may be a public utility or any other entity or organization that contracts to sell the output 
243.26 	from the community solar garden to the utility under section 216B.164. There shall be no 
243.27 	limitation on the number or cumulative generating capacity of community solar garden 
243.28 	facilities other than the limitations imposed under section 216B.164, subdivision 4c, or 
243.29 	other limitations provided in law or regulations.
243.30 	(b) A solar garden is a facility that generates electricity by means of a ground-mounted 
243.31 	or roof-mounted solar photovoltaic device whereby subscribers receive a bill credit for the 
243.32 	electricity generated in proportion to the size of their subscription. The solar garden must 
244.1 	have a nameplate capacity of no more than one megawatt three megawatts. Each subscription 
244.2 	shall be sized to represent at least 200 watts of the community solar garden's generating 
244.3 	capacity and to supply, when combined with other distributed generation resources serving 
244.4 	the premises, no more than 120 percent of the average annual consumption of electricity 
244.5 	by each subscriber at the premises to which the subscription is attributed.
244.6 	(c) The solar generation facility must be located in the service territory of the public 
244.7 	utility filing the plan. Subscribers must be retail customers of the public utility and, unless 
244.8 	the facility has a minimum setback of 100 feet from the nearest residential property, must 
244.9 	be located in the same county or a county contiguous to where the facility is located.
244.10 	(d) The public utility must purchase from the community solar garden all energy generated 
244.11 	by the solar garden. Unless specified elsewhere in this section, the purchase shall be at the 
244.12 	most recent three-year average of the rate calculated under section 216B.164, subdivision 
244.13 	10, or, until that rate for the public utility has been approved by the commission, the 
244.14 	applicable retail rate. A solar garden is eligible for any incentive programs offered under 
244.15 	section 116C.7792. A subscriber's portion of the purchase shall be provided by a credit on 
244.16 	the subscriber's bill.
244.17 		Subd. 3.Solar garden plan; requirements; nonutility status. (e) (a) The commission 
244.18 	may approve, disapprove, or modify a community solar garden program plan. Any plan 
244.19 	approved by the commission must:
244.20 	(1) reasonably allow for the creation, financing, and accessibility of community solar 
244.21 	gardens;
244.22 	(2) establish uniform standards, fees, and processes for the interconnection of community 
244.23 	solar garden facilities that allow the utility to recover reasonable interconnection costs for 
244.24 	each community solar garden;
244.25 	(3) not apply different requirements to utility and nonutility community solar garden 
244.26 	facilities;
244.27 	(4) be consistent with the public interest;
244.28 	(5) identify the information that must be provided to potential subscribers to ensure fair 
244.29 	disclosure of future costs and benefits of subscriptions;
244.30 	(6) include a program implementation schedule;
244.31 	(7) identify all proposed rules, fees, and charges; and
244.32 	(8) identify the means by which the program will be promoted.;
245.1 	(9) require that residential subscribers have a right to cancel a community solar garden 
245.2 	subscription within three business days, as provided under section 325G.07;
245.3 	(10) require that the following information is provided by the solar garden owner in 
245.4 	writing to any prospective subscriber asked to make a prepayment to the solar garden owner 
245.5 	prior to the delivery of subscribed energy by the solar garden:
245.6 	(i) an estimate of the annual generation of subscribed energy, based on the methodology 
245.7 	approved by the commission; and
245.8 	(ii) an estimate of the length of time required to fully recover a subscriber's prepayments 
245.9 	made to the owner of the solar garden prior to the delivery of subscribed energy, calculated 
245.10 	using the formula developed by the commission under paragraph (d); and
245.11 	(11) require new residential subscription agreements that require a prepayment to allow 
245.12 	the subscriber to, on commercially reasonable terms, (i) transfer the subscription to other 
245.13 	new or current subscribers, or (ii) cancel the subscription; and
245.14 	(12) require an owner of a solar garden to submit a report that meets the requirements 
245.15 	of section 216C.51, subdivisions 3 and 4, each year the solar garden is in operation.
245.16 	(f) (b) Notwithstanding any other law, neither the manager of nor the subscribers to a 
245.17 	community solar garden facility shall be considered a utility solely as a result of their 
245.18 	participation in the community solar garden facility.
245.19 	(g) (c) Within 180 days of commission approval of a plan under this section, a utility 
245.20 	shall begin crediting subscriber accounts for each community solar garden facility in its 
245.21 	service territory, and shall file with the commissioner of commerce a description of its 
245.22 	crediting system.
245.23 	(h) For the purposes of this section, the following terms have the meanings given:
245.24 	(1) "subscriber" means a retail customer of a utility who owns one or more subscriptions 
245.25 	of a community solar garden facility interconnected with that utility; and
245.26 	(2) "subscription" means a contract between a subscriber and the owner of a solar garden.
245.27 		Subd. 4.Community access project; eligibility. (a) An owner of a community solar 
245.28 	garden may apply to the utility to be designated as a community access project at any time:
245.29 	(1) before the owner makes an initial payment under an interconnection agreement 
245.30 	entered into with a public utility; or
245.31 	(2) if the owner made an initial payment under an interconnection agreement between 
245.32 	January 1, 2021, and the effective date of this act, before commercial operation begins.
246.1 	(b) The utility must designate a solar garden as a community access project if the owner 
246.2 	of a solar garden commits in writing to meet the following conditions:
246.3 	(1) at least 50 percent of the solar garden's generating capacity is subscribed by residential 
246.4 	customers;
246.5 	(2) the contract between the owner of the solar garden and the public utility that purchases 
246.6 	the garden's electricity, and any agreement between the utility or owner of the solar garden 
246.7 	and subscribers, states that the owner of the solar garden does not discriminate against or 
246.8 	screen subscribers based on income or credit score and that any customer of a utility with 
246.9 	a community solar garden plan approved by the commission under subdivision 3 is eligible 
246.10 	to become a subscriber;
246.11 	(3) the solar garden is operated by an entity that maintains a physical address in Minnesota 
246.12 	and has designated a contact person in Minnesota who responds to subscriber inquiries; and
246.13 	(4) the agreement between the owner of the solar garden and subscribers states that the 
246.14 	owner must adequately publicize and convene at least one meeting annually to provide an 
246.15 	opportunity for subscribers to pose questions to the manager or owner.
246.16 		Subd. 5.Community access project; financial arrangements. (a) If a solar garden is 
246.17 	approved by the utility as a community access project:
246.18 	(1) the public utility purchasing the electricity generated by the community access project 
246.19 	may charge the owner of the community access project no more than one cent per watt 
246.20 	alternating current based on the solar garden's generating capacity for any refundable deposit 
246.21 	the utility requires of a solar garden during the application process;
246.22 	(2) notwithstanding subdivision 2, paragraph (d), the public utility must purchase all 
246.23 	energy generated by the community access project at the retail rate; and
246.24 	(3) all renewable energy credits generated by the community access project belong to 
246.25 	subscribers unless the owner of the solar garden:
246.26 	(i) contracts to:
246.27 	(A) sell the credits to a third party; or
246.28 	(B) sell or transfer the credits to the utility; and
246.29 	(ii) discloses a sale or transfer to subscribers at the time the subscribers enter into a 
246.30 	subscription.
246.31 	(b) If at any time after commercial operation begins a solar garden approved by the 
246.32 	utility as a community access project fails to meet the conditions under subdivision 4, the 
247.1 	solar garden (1) is no longer subject to the provisions of this subdivision and subdivision 
247.2 	6, and (2) must operate under the program rules established by the commission for a solar 
247.3 	garden that does not qualify as a community access project.
247.4 	(c) An owner of a solar garden whose designation as a community access project is 
247.5 	revoked under this subdivision may reapply to the commission at any time to have the 
247.6 	designation as a community access project reinstated under subdivision 4.
247.7 		Subd. 6.Community access project; reporting. The owner of a community access 
247.8 	project must include the following information in an annual report to the community access 
247.9 	project subscribers and the utility:
247.10 	(1) a description of the process by which subscribers can provide input to solar garden 
247.11 	policy and decision making;
247.12 	(2) the amount of revenues received by the solar garden in the previous year that were 
247.13 	allocated to categories that include but are not limited to operating costs, debt service, profits 
247.14 	distributed to subscribers, and profits distributed to others; and
247.15 	(3) an estimate of the proportion of low- and moderate-income subscribers, and a 
247.16 	description of one or more of the following methods used to make the estimate:
247.17 	(i) evidence provided by a subscriber that the subscriber or a member of the subscriber's 
247.18 	household receives assistance from any of the following sources:
247.19 	(A) the federal Low-Income Home Energy Assistance Program;
247.20 	(B) federal Section 8 housing assistance;
247.21 	(C) medical assistance;
247.22 	(D) the federal Supplemental Nutrition Assistance Program; or
247.23 	(E) the federal National School Lunch Program;
247.24 	(ii) characterization of the census tract where the subscriber resides as low- or 
247.25 	moderate-income by the Federal Financial Institutions Examination Council; or
247.26 	(iii) other methods approved by the commission.
247.27 		Subd. 7.Commission order. Within 180 days of the effective date of this section, the 
247.28 	commission must issue an order addressing the requirements of this section.

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

248.1 	Sec. 6. Minnesota Statutes 2020, section 216B.243, subdivision 8, is amended to read:
248.2 		Subd. 8.Exemptions. (a) This section does not apply to:
248.3 	(1) cogeneration or small power production facilities as defined in the Federal Power 
248.4 	Act, United States Code, title 16, section 796, paragraph (17), subparagraph (A), and 
248.5 	paragraph (18), subparagraph (A), and having a combined capacity at a single site of less 
248.6 	than 80,000 kilowatts; plants or facilities for the production of ethanol or fuel alcohol; or 
248.7 	any case where the commission has determined after being advised by the attorney general 
248.8 	that its application has been preempted by federal law;
248.9 	(2) a high-voltage transmission line proposed primarily to distribute electricity to serve 
248.10 	the demand of a single customer at a single location, unless the applicant opts to request 
248.11 	that the commission determine need under this section or section 216B.2425;
248.12 	(3) the upgrade to a higher voltage of an existing transmission line that serves the demand 
248.13 	of a single customer that primarily uses existing rights-of-way, unless the applicant opts to 
248.14 	request that the commission determine need under this section or section 216B.2425;
248.15 	(4) a high-voltage transmission line of one mile or less required to connect a new or 
248.16 	upgraded substation to an existing, new, or upgraded high-voltage transmission line;
248.17 	(5) conversion of the fuel source of an existing electric generating plant to using natural 
248.18 	gas;
248.19 	(6) the modification of an existing electric generating plant to increase efficiency, as 
248.20 	long as the capacity of the plant is not increased more than ten percent or more than 100 
248.21 	megawatts, whichever is greater;
248.22 	(7) a large wind energy conversion system, as defined in section 216F.01, subdivision 
248.23 	2, or a solar electric generation facility energy generating system, as defined in section 
248.24 	216E.01, subdivision 9a, if the system or facility is owned and operated by an independent 
248.25 	power producer and the electric output of the system or facility:
248.26 	(i) is not sold to an entity that provides retail service in Minnesota or wholesale electric 
248.27 	service to another entity in Minnesota other than an entity that is a federally recognized 
248.28 	regional transmission organization or independent system operator; or
248.29 	(ii) is sold to an entity that provides retail service in Minnesota or wholesale electric 
248.30 	service to another entity in Minnesota other than an entity that is a federally recognized 
248.31 	regional transmission organization or independent system operator, provided that the system 
248.32 	represents solar or wind capacity that the entity purchasing the system's electric output was 
249.1 	ordered by the commission to develop in the entity's most recent integrated resource plan 
249.2 	approved under section 216B.2422; or
249.3 	(8) a large wind energy conversion system, as defined in section 216F.01, subdivision 
249.4 	2, or a solar energy generating system that is a large energy facility, as defined in section 
249.5 	216B.2421, subdivision 2, engaging in a repowering project that:
249.6 	(i) will not result in the facility system exceeding the nameplate capacity under its most 
249.7 	recent interconnection agreement; or
249.8 	(ii) will result in the facility system exceeding the nameplate capacity under its most 
249.9 	recent interconnection agreement, provided that the Midcontinent Independent System 
249.10 	Operator has provided a signed generator interconnection agreement that reflects the expected 
249.11 	net power increase.
249.12 	(b) For the purpose of this subdivision, "repowering project" means:
249.13 	(1) modifying a large wind energy conversion system or a solar energy generating system 
249.14 	that is a large energy facility to increase its efficiency without increasing its nameplate 
249.15 	capacity;
249.16 	(2) replacing turbines in a large wind energy conversion system without increasing the 
249.17 	nameplate capacity of the system; or
249.18 	(3) increasing the nameplate capacity of a large wind energy conversion system.

249.19 	EFFECTIVE DATE. This section is effective the day following final enactment and 
249.20 	applies to a large wind energy conversion system or a solar energy generating system whose 
249.21 	owner has filed an application for a certificate of need with the Public Utilities Commission 
249.22 	on or after that date.

249.23 	Sec. 7. Minnesota Statutes 2021 Supplement, section 216C.375, subdivision 1, is amended 
249.24 	to read:
249.25 		Subdivision 1.Definitions. (a) For the purposes of this section and section 216C.376, 
249.26 	the following terms have the meanings given them.
249.27 	(b) "Developer" means an entity that installs a solar energy system on a school building 
249.28 	that has been awarded a grant under this section.
249.29 	(c) "Photovoltaic device" has the meaning given in section 216C.06, subdivision 16.
250.1 	(d) "School" means: (1) a school that operates as part of an independent or special school 
250.2 	district; (2) a Tribal contract school; or (2) (3) a state college or university that is under the 
250.3 	jurisdiction of the Board of Trustees of the Minnesota State Colleges and Universities.
250.4 	(e) "School district" means an independent or special school district.
250.5 	(f) "Solar energy system" means photovoltaic or solar thermal devices.
250.6 	(g) "Solar thermal" has the meaning given to "qualifying solar thermal project" in section 
250.7 	216B.2411, subdivision 2, paragraph (d).
250.8 	(h) "State colleges and universities" has the meaning given in section 136F.01, subdivision 
250.9 	4.

250.10 	Sec. 8. [216C.377] SOLAR GRANT PROGRAM; PUBLIC BUILDINGS.
250.11 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
250.12 	the meanings given.
250.13 	(b) "Developer" means an entity that applies for a grant on behalf of a public building 
250.14 	under this section to install a solar energy generating system on the public building.
250.15 	(c) "Local unit of government" means a county, statutory or home rule charter city, town, 
250.16 	or other local government jurisdiction, excluding a school district eligible to receive financial 
250.17 	assistance under section 216C.375 or 216C.376.
250.18 	(d) "Municipal electric utility" means a utility that provides electric service to retail 
250.19 	customers in Minnesota and is governed by a city council or a local utilities commission.
250.20 	(e) "Public building" means a building owned and operated by a local unit of government.
250.21 	(f) "Solar energy generating system" has the meaning given in section 216E.01, 
250.22 	subdivision 9a.
250.23 	(g) "Utility" means a public utility, as defined in section 216B.02, subdivision 4, that 
250.24 	provides electric service, or a municipal electric utility.
250.25 		Subd. 2.Establishment; purpose. A solar on public buildings grant program is 
250.26 	established in the Department of Commerce. The purpose of the program is to provide grants 
250.27 	to stimulate the installation of solar energy generating systems on public buildings.
250.28 		Subd. 3.Establishment of account. A solar on public buildings grant program account 
250.29 	is established in the special revenue fund. Money received from the general fund and the 
250.30 	renewable development account established in section 116C.779, subdivision 1, must be 
250.31 	transferred to the commissioner of commerce and credited to the account. Earnings, including 
251.1 	interest, dividends, and any other earnings arising from the assets of the account, must be 
251.2 	credited to the account. Earnings remaining in the account at the end of a fiscal year do not 
251.3 	cancel to the general fund or renewable development account but remain in the account 
251.4 	until expended. The commissioner must manage the account.
251.5 		Subd. 4.Expenditures. Money in the account must be used only:
251.6 	(1) for grant awards made under this section; and
251.7 	(2) to pay the reasonable costs incurred by the department to administer this section.
251.8 		Subd. 5.Eligible applicants. Only a local unit of government or a municipal electric 
251.9 	utility may apply for or be awarded a grant under this section.
251.10 		Subd. 6.Eligible system. (a) A grant may be awarded under this section only if the solar 
251.11 	energy system that is the subject of the grant:
251.12 	(1) is installed on or adjacent to a public building that consumes the electricity generated 
251.13 	by the solar energy generating system, on property within the service territory of the utility 
251.14 	currently providing electric service to the public building; and
251.15 	(2) has a capacity that does not exceed the lesser of 40 kilowatts or 120 percent of the 
251.16 	average annual electricity consumption of the public building, measured over the most 
251.17 	recent three calendar years, at which the solar energy generating system is installed.
251.18 	(b) A public building that receives a rebate or other financial incentive under section 
251.19 	216B.241 for a solar energy system is eligible for a grant under this section for the same 
251.20 	solar energy generating system.
251.21 	(c) Before filing an application for a grant under this section, a local unit of government 
251.22 	or public building that is served by a municipal electric utility must inform the municipal 
251.23 	electric utility of the local unit of government's or public building's intention to do so. A 
251.24 	municipal electric utility may, under an agreement with a local unit of government, own 
251.25 	and operate a solar energy generating system awarded a grant under this section on behalf 
251.26 	of and for the benefit of the local unit of government.
251.27 		Subd. 7.Application process. (a) The commissioner must issue a request for proposals 
251.28 	to utilities, local units of government, and developers who may wish to apply for a grant 
251.29 	under this section on behalf of a public building.
251.30 	(b) A utility or developer must submit an application to the commissioner on behalf of 
251.31 	a public building on a form prescribed by the commissioner. The form must include, at a 
251.32 	minimum, the following information:
252.1 	(1) the capacity of the proposed solar energy system and the amount of electricity that 
252.2 	is expected to be generated;
252.3 	(2) the current energy demand of the public building on which the solar energy generating 
252.4 	system is to be installed, information regarding any distributed energy resource that currently 
252.5 	provides electricity to the public building, and the size of the public building's subscription 
252.6 	to a community solar garden, if applicable;
252.7 	(3) information sufficient to estimate the energy and monetary savings that are projected 
252.8 	to result from installation of the solar energy generating system over the system's useful 
252.9 	life;
252.10 	(4) the total cost to purchase and install the solar energy system and the solar energy 
252.11 	system's lifecycle cost, including removal and disposal at the end of the system's life; and
252.12 	(5) a copy of the proposed contract agreement between the local unit of government and 
252.13 	the public utility or developer that includes provisions addressing the responsibility to 
252.14 	maintain, remove, and dispose of the solar energy system.
252.15 	(c) The commissioner must administer an open application process under this section 
252.16 	at least twice annually.
252.17 	(d) The commissioner must develop administrative procedures governing the application 
252.18 	and grant award process under this section.
252.19 		Subd. 8.Energy conservation review. At the commissioner's request, a local unit of 
252.20 	government awarded a grant under this section must provide the commissioner with 
252.21 	information regarding energy conservation measures implemented at the public building at 
252.22 	which the solar energy generating system is to be installed. The commissioner may make 
252.23 	recommendations to the local unit of government regarding cost-effective conservation 
252.24 	measures the local unit of government can implement and may provide technical assistance 
252.25 	and direct the local unit of government to available financial assistance programs.
252.26 		Subd. 9.Technical assistance. The commissioner must provide technical assistance to 
252.27 	local units of government to develop and execute projects under this section.
252.28 		Subd. 10.Grant payments. A grant awarded under this section must be used only to 
252.29 	pay the necessary and reasonable costs associated with purchasing and installing a solar 
252.30 	energy system.
252.31 		Subd. 11.Installation. Contractors and subcontractors installing a solar energy generating 
252.32 	system funded by a grant awarded under this section must comply with sections 177.41 to 
252.33 	177.43 with respect to the installation.
253.1 		Subd. 12.Reporting. Beginning January 15, 2023, and each year thereafter until January 
253.2 	15, 2026, the commissioner must report to the chairs and ranking minority members of the 
253.3 	legislative committees with jurisdiction over energy finance and policy regarding (1) grants 
253.4 	and amounts awarded to local units of government under this section during the previous 
253.5 	year, and (2) any remaining balance available in the account established under this section.

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

253.7 	Sec. 9. Minnesota Statutes 2020, section 216E.01, subdivision 9a, is amended to read:
253.8 		Subd. 9a.Solar energy generating system. "Solar energy generating system" means a 
253.9 	set of devices whose primary purpose is to produce electricity by means of any combination 
253.10 	of collecting, transferring, or converting solar-generated energy, and may include 
253.11 	transmission lines designed for and capable of operating at 100 kilovolts or less that 
253.12 	interconnect a solar energy generating system with a high-voltage transmission line.

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

253.14 	Sec. 10. Minnesota Statutes 2020, section 216E.03, subdivision 5, is amended to read:
253.15 		Subd. 5.Environmental review. (a) The commissioner of the Department of Commerce 
253.16 	shall prepare for the commission an environmental impact statement on each proposed large 
253.17 	electric power generating plant or high-voltage transmission line for which a complete 
253.18 	application has been submitted. The commissioner shall not consider whether or not the 
253.19 	project is needed. No other state environmental review documents shall be required. The 
253.20 	commissioner shall study and evaluate any site or route proposed by an applicant and any 
253.21 	other site, other than a site for a solar energy generating system, or route the commission 
253.22 	deems necessary that was proposed in a manner consistent with rules concerning the form, 
253.23 	content, and timeliness of proposals for alternate sites or routes.
253.24 	(b) For a cogeneration facility as defined in section 216H.01, subdivision 1a, that is a 
253.25 	large electric power generating plant and is not proposed by a utility, the commissioner 
253.26 	must make a finding in the environmental impact statement whether the project is likely to 
253.27 	result in a net reduction of carbon dioxide emissions, considering both the utility providing 
253.28 	electric service to the proposed cogeneration facility and any reduction in carbon dioxide 
253.29 	emissions as a result of increased efficiency from the production of thermal energy on the 
253.30 	part of the customer operating or owning the proposed cogeneration facility.

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

254.1 	Sec. 11. [500.216] LIMITS ON CERTAIN RESIDENTIAL SOLAR ENERGY 
254.2 	SYSTEMS PROHIBITED.
254.3 		Subdivision 1.Definitions. (a) The definitions in this subdivision apply to this section.
254.4 	(b) "Private entity" means a homeowners association, community association, or other 
254.5 	association that is subject to a homeowners association document.
254.6 	(c) "Homeowners association document" means a document containing the declaration, 
254.7 	articles of incorporation, bylaws, or rules and regulations of:
254.8 	(1) a common interest community, as defined in section 515B.1-103, regardless of 
254.9 	whether the common interest community is subject to chapter 515B; and
254.10 	(2) a residential community that is not a common interest community.
254.11 	(d) "Solar energy system" has the meaning given in section 216C.06, subdivision 17.
254.12 		Subd. 2.General rule.  A private entity must not prohibit or refuse to permit installation, 
254.13 	maintenance, or use of a roof-mounted solar energy system by the owner of a single-family 
254.14 	dwelling, notwithstanding any covenant, restriction, or condition contained in a deed, security 
254.15 	instrument, homeowners association document, or any other instrument affecting the transfer, 
254.16 	sale of, or an interest in real property, except as provided in this section.
254.17 		Subd. 3.Applicability. This section applies to single-family detached dwellings whose 
254.18 	owner is the sole owner of the entire building in which the dwelling is located and who is 
254.19 	solely responsible to maintain, repair, replace, and insure the entire building.
254.20 		Subd. 4.Allowable conditions. (a) This section does not prohibit a private entity from 
254.21 	requiring that:
254.22 	(1) a licensed contractor install a solar energy system;
254.23 	(2) a roof-mounted solar energy system not extend above the peak of a pitched roof or 
254.24 	beyond the edge of the roof;
254.25 	(3) the owner or installer of a solar energy system indemnify or reimburse the private 
254.26 	entity or the private entity's members for loss or damage caused by the installation, 
254.27 	maintenance, use, repair, or removal of a solar energy system;
254.28 	(4) the owner and each successive owner of a solar energy system list the private entity 
254.29 	as a certificate holder on the homeowner's insurance policy; or
255.1 	(5) the owner and each successive owner of a solar energy system be responsible for 
255.2 	removing the system if reasonably necessary to repair, maintain, or replace common elements 
255.3 	or limited common elements, as defined in section 515B.1-103.
255.4 	(b) A private entity may impose other reasonable restrictions on the installation, 
255.5 	maintenance, or use of solar energy systems, provided that those restrictions do not decrease 
255.6 	the projected generation of energy by a solar energy system by more than 20 percent or 
255.7 	increase the solar energy system's cost by more than (1) 20 percent for a solar water heater, 
255.8 	or (2) $2,000 for a solar photovoltaic system, compared with the generation of energy and 
255.9 	the cost of labor and materials certified by the designer or installer of the solar energy system 
255.10 	as originally proposed without the restrictions. A private entity may obtain an alternative 
255.11 	bid and design from a solar energy system designer or installer for the purposes of this 
255.12 	paragraph.
255.13 	(c) A solar energy system must meet applicable standards and requirements imposed by 
255.14 	the state and by governmental units, as defined in section 462.384.
255.15 	(d) A solar energy system for heating water must be certified by the Solar Rating 
255.16 	Certification Corporation or an equivalent certification agency. A solar energy system for 
255.17 	producing electricity must meet all applicable safety and performance standards established 
255.18 	by the National Electrical Code, the Institute of Electrical and Electronics Engineers, and 
255.19 	accredited testing laboratories, including but not limited to Underwriters Laboratories and, 
255.20 	where applicable, Public Utilities Commission rules regarding safety and reliability.
255.21 	(e) If approval by a private entity is required to install or use a solar energy system, the 
255.22 	application for approval (1) must be processed and approved in the same manner as an 
255.23 	application for approval of an architectural modification to the property, and (2) must not 
255.24 	be willfully avoided or delayed.
255.25 	(f) An application for approval must be made in writing and must contain certification 
255.26 	that the applicant meets any conditions required by a private entity under this subdivision. 
255.27 	An application must include a copy of the interconnection application submitted to the 
255.28 	applicable electric utility.
255.29 	(g) A private entity shall approve or deny an application in writing. If an application is 
255.30 	not denied in writing within 60 days from the date the application is received, the application 
255.31 	is deemed approved unless the delay is the result of a reasonable request for additional 
255.32 	information. If a private entity receives an incomplete application that the private entity 
255.33 	determines prevents a decision to approve or disapprove the application, a new 60-day limit 
255.34 	begins only if the private entity sends written notice to the applicant, within 15 business 
256.1 	days of the date the incomplete application is received, informing the applicant what 
256.2 	additional information is required.

256.3 	Sec. 12. PHOTOVOLTAIC DEMAND CREDIT RIDER.
 256.4 	By October 1, 2022, an investor-owned utility that has not already done so must submit 
256.5 	to the Public Utilities Commission a photovoltaic demand credit rider that reimburses all 
256.6 	demand-metered customers with solar photovoltaic systems greater than 40 kilowatts 
256.7 	alternating current for the demand charge overbilling that occurs. The utility may submit 
256.8 	to the commission multiple options to calculate reimbursement for demand charge overbilling. 
256.9 	At least one submission must use a capacity value stack methodology. The commission is 
256.10 	prohibited from approving a photovoltaic demand credit rider unless the rider allows 
256.11 	stand-alone photovoltaic systems and photovoltaic systems coupled with storage. The 
256.12 	commission must approve the photovoltaic demand credit rider by June 30, 2023.

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

256.14 	Sec. 13. REPEALER.
 256.15 	Minnesota Statutes 2020, sections 16B.323, subdivisions 1 and 2; and 16B.326, are 
256.16 	repealed.

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

256.18 	ARTICLE 23
256.19 	ELECTRIC VEHICLES

256.20 	Section 1. Minnesota Statutes 2021 Supplement, section 16C.135, subdivision 3, is amended 
256.21 	to read:
256.22 		Subd. 3.Vehicle purchases. (a) Consistent with section 16C.137, subdivision 1, when 
256.23 	purchasing a motor vehicle for the enterprise fleet or for use by an agency, the commissioner 
256.24 	or the agency shall purchase a motor vehicle that is capable of being powered by cleaner 
256.25 	fuels, or a motor vehicle powered by electricity or by a combination of electricity and liquid 
256.26 	fuel, if the total life-cycle cost of ownership is less than or comparable to that of other 
256.27 	vehicles and if the vehicle is capable the motor vehicle in conformity with the following 
256.28 	vehicle preference hierarchy, with clause (1) representing the top of the hierarchy:
256.29 	(1) an electric vehicle;
256.30 	(2) a hybrid electric vehicle;
257.1 	(3) a vehicle capable of being powered by cleaner fuels; and
257.2 	(4) a vehicle powered by gasoline or diesel fuel.
257.3 	(b) The commissioner or agency may only reject a vehicle type that is higher on the 
257.4 	vehicle preference hierarchy if:
257.5 	(1) the vehicle type is incapable of carrying out the purpose for which it is purchased.; 
257.6 	or
257.7 	(2) the total life-cycle cost of ownership of a vehicle type that is higher on the vehicle 
257.8 	preference hierarchy is more than ten percent higher than the next lower vehicle type or the 
257.9 	vehicle preference hierarchy.

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

257.11 	Sec. 2. Minnesota Statutes 2020, section 16C.137, subdivision 1, is amended to read:
257.12 		Subdivision 1.Goals and actions.  Each state department must, whenever legally, 
257.13 	technically, and economically feasible, subject to the specific needs of the department and 
257.14 	responsible management of agency finances:
257.15 	(1) ensure that all new on-road vehicles purchased, excluding emergency and law 
257.16 	enforcement vehicles:, are purchased in conformity with the hierarchy of preferences 
257.17 	established in section 16C.135, subdivision 3;
257.18 	(i) use "cleaner fuels" as that term is defined in section 16C.135, subdivision 1;
257.19 	(ii) have fuel efficiency ratings that exceed 30 miles per gallon for city usage or 35 miles 
257.20 	per gallon for highway usage, including but not limited to hybrid electric cars and 
257.21 	hydrogen-powered vehicles; or
257.22 	(iii) are powered solely by electricity;
257.23 	(2) increase its use of renewable transportation fuels, including ethanol, biodiesel, and 
257.24 	hydrogen from agricultural products; and
257.25 	(3) increase its use of web-based Internet applications and other electronic information 
257.26 	technologies to enhance the access to and delivery of government information and services 
257.27 	to the public, and reduce the reliance on the department's fleet for the delivery of such 
257.28 	information and services.

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

258.1 	Sec. 3. Minnesota Statutes 2020, section 160.08, subdivision 7, is amended to read:
258.2 		Subd. 7.No commercial establishment within right-of-way; exceptions. No 
258.3 	commercial establishment, including but not limited to automotive service stations, for 
258.4 	serving motor vehicle users shall be constructed or located within the right-of-way of, or 
258.5 	on publicly owned or publicly leased land acquired or used for or in connection with, a 
258.6 	controlled-access highway;, except that:
258.7 	(1) structures may be built within safety rest and travel information center areas;
258.8 	(2) space within state-owned buildings in those areas may be leased for the purpose of 
258.9 	providing information to travelers through advertising as provided in section 160.276;
258.10 	(3) advertising signs may be erected within the right-of-way of interstate or 
258.11 	controlled-access trunk highways by franchise agreements under section 160.80;
258.12 	(4) vending machines may be placed in rest areas, travel information centers, or weigh 
258.13 	stations constructed or located within trunk highway rights-of-way; and
258.14 	(5) acknowledgment signs may be erected under sections 160.272 and 160.2735.; and
258.15 	(6) electric vehicle charging stations may be installed, operated, and maintained in safety 
258.16 	rest areas.

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

258.18 	Sec. 4. Minnesota Statutes 2020, section 168.27, is amended by adding a subdivision to 
258.19 	read:
258.20 		Subd. 2a.Dealer training; electric vehicles. (a) A new motor vehicle dealer licensed 
258.21 	under this chapter that operates under an agreement or franchise from a manufacturer and 
258.22 	sells electric vehicles must maintain at least one employee who is certified as having 
258.23 	completed a training course offered by a Minnesota motor vehicle dealership association 
258.24 	that addresses at least the following elements:
258.25 	(1) fundamentals of electric vehicles;
258.26 	(2) electric vehicle charging options and costs;
258.27 	(3) publicly available electric vehicle incentives;
258.28 	(4) projected maintenance and fueling costs for electric vehicles;
258.29 	(5) reduced tailpipe emissions, including greenhouse gas emissions, produced by electric 
258.30 	vehicles;
259.1 	(6) the impacts of Minnesota's cold climate on electric vehicle operation; and
259.2 	(7) best practices to sell electric vehicles.
259.3 	(b) For the purposes of this section, "electric vehicle" has the meaning given in section 
259.4 	169.011, subdivision 26a, paragraphs (a) and (b), clause (3).

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

259.6 	Sec. 5. [216B.1615] ELECTRIC VEHICLE DEPLOYMENT PROGRAM.
259.7 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
259.8 	the meanings given.
259.9 	(b) "Battery exchange station" means a physical location deploying equipment that 
259.10 	enables a used electric vehicle battery to be removed and exchanged for a fresh electric 
259.11 	vehicle battery.
259.12 	(c) "Electric vehicle" means any device or contrivance that transports persons or property 
259.13 	and is capable of being powered by an electric motor drawing current from rechargeable 
259.14 	storage batteries, fuel cells, or other portable sources of electricity. Electric vehicle includes 
259.15 	but is not limited to:
259.16 	(1) an electric vehicle, as defined in section 169.011, subdivision 26a;
259.17 	(2) an electric-assisted bicycle, as defined in section 169.011, subdivision 27;
259.18 	(3) an off-road vehicle, as defined in section 84.797, subdivision 7;
259.19 	(4) a motorboat, as defined in section 86B.005, subdivision 9; or
259.20 	(5) an aircraft, as defined in section 360.013, subdivision 37.
259.21 	(d) "Electric vehicle charging station" means a physical location deploying equipment 
259.22 	that:
259.23 	(1) transfers electricity to an electric vehicle battery;
259.24 	(2) dispenses hydrogen into an electric vehicle powered by a fuel cell;
259.25 	(3) exchanges electric vehicle batteries; or
259.26 	(4) provides other equipment used to charge or fuel electric vehicles.
259.27 	(e) "Electric vehicle infrastructure" means electric vehicle charging stations and any 
259.28 	associated machinery, equipment, and infrastructure necessary for a public utility to supply 
259.29 	electricity or hydrogen to an electric vehicle charging station and to support electric vehicle 
259.30 	operation.
260.1 	(f) "Fuel cell" means a cell that converts the chemical energy of hydrogen directly into 
260.2 	electricity through electrochemical reactions.
260.3 	(g) "Government entity" means the state, a state agency, or a political subdivision, as 
260.4 	defined in section 13.02, subdivision 11.
260.5 	(h) "Public utility" has the meaning given in section 216B.02, subdivision 4.
260.6 		Subd. 2.Transportation electrification plan; contents. (a) By June 1, 2023, and at 
260.7 	least every three years thereafter, a public utility must file a transportation electrification 
260.8 	plan with the commission that is designed to (1) maximize the overall benefits of electric 
260.9 	vehicles and other electrified transportation while minimizing overall costs, and (2) promote 
260.10 	the:
260.11 	(i) purchase of electric vehicles by the public utility's customers; and
260.12 	(ii) deployment of electric vehicle infrastructure in the public utility's service territory.
260.13 	(b) A transportation electrification plan may include but is not limited to the following 
260.14 	elements:
260.15 	(1) programs to educate and increase the awareness and benefits of electric vehicles and 
260.16 	electric vehicle charging equipment among individuals, electric vehicle dealers, single-family 
260.17 	and multifamily housing developers and property management companies, building owners 
260.18 	and tenants, vehicle service stations, vehicle fleet owners and managers, and other potential 
260.19 	users of electric vehicles;
260.20 	(2) utility investments and incentives the utility provides and offers to support 
260.21 	transportation electrification across all customer classes, including but not limited to 
260.22 	investments and incentives to facilitate:
260.23 	(i) the deployment of electric vehicles for personal and commercial use; customer- and 
260.24 	utility-owned electric vehicle charging stations; electric vehicle infrastructure to support 
260.25 	light-duty, medium-duty, and heavy-duty vehicle electrification; and other electric utility 
260.26 	infrastructure;
260.27 	(ii) widespread access to publicly available electric vehicle charging stations; and
260.28 	(iii) the electrification of public transit and vehicle fleets owned or operated by a 
260.29 	government entity;
260.30 	(3) research and demonstration projects to increase access to electricity as a transportation 
260.31 	fuel, minimize the system costs of electric transportation, and inform future transportation 
260.32 	electrification plans;
261.1 	(4) rate structures or programs that encourage electric vehicle charging that optimizes 
261.2 	electric grid operation, including time-varying rates and charging optimization programs;
261.3 	(5) programs to increase access to the benefits of electricity as a transportation fuel for 
261.4 	low- or moderate-income customers and communities and in neighborhoods most affected 
261.5 	by transportation-related air emissions; and
261.6 	(6) proposals to expedite commission consideration of program adjustments requested 
261.7 	during the term of an approved transportation electrification plan.
261.8 	(c) If funding is limited, a public utility must give priority under this section to 
261.9 	investments in communities whose governing body has enacted a resolution or goal 
261.10 	supporting electric vehicle adoption. A public utility must cooperate with local communities 
261.11 	to identify suitable locations, consistent with a community's local development plans, where 
261.12 	electric vehicle infrastructure may be strategically deployed.
261.13 		Subd. 3.Transportation electrification plan; review and implementation. The 
261.14 	commission may approve, modify, or reject a transportation electrification plan. When 
261.15 	reviewing a transportation electrification plan, the commission must consider whether the 
261.16 	programs, investments, and expenditures as a whole are reasonably expected to:
261.17 	(1) improve the operation of the electric grid;
261.18 	(2) increase access to the use of electricity as a transportation fuel for all customers, 
261.19 	including those in low- or moderate-income communities, rural communities, and 
261.20 	communities most affected by emissions from the transportation sector;
261.21 	(3) increase access to publicly available electric vehicle charging and destination charging 
261.22 	for all types of electric vehicles;
261.23 	(4) support the electrification of medium-duty and heavy-duty vehicles and associated 
261.24 	charging infrastructure;
261.25 	(5) reduce statewide greenhouse gas emissions, as defined in section 216H.01, and 
261.26 	emissions of other air pollutants that impair the environment and public health;
261.27 	(6) stimulate private capital investment and the creation of skilled jobs;
261.28 	(7) educate the public about the benefits of electric vehicles and related infrastructure; 
261.29 	and
261.30 	(8) be transparent and incorporate reasonable public reporting of program activities, 
261.31 	consistent with existing technology and data capabilities, to inform program design and 
261.32 	commission policy with respect to electric vehicles.
262.1 		Subd. 4.Cost recovery. (a) Notwithstanding any other provision of this chapter, the 
262.2 	commission may approve, with respect to any prudent and reasonable investments made or 
262.3 	expenses incurred by a public utility to administer and implement a transportation 
262.4 	electrification plan approved under subdivision 3:
262.5 	(1) a rider or other tariff mechanism to automatically adjust charges annually;
262.6 	(2) performance-based incentives;
262.7 	(3) placing the investment, including rebates, in the public utility's rate base and allowing 
262.8 	the public utility to earn a rate of return on the investment at:
262.9 	(i) the public utility's average weighted cost of capital, including the rate of return on 
262.10 	equity, approved by the commission in the public utility's most recent general rate case; or
262.11 	(ii) another rate determined by the commission; or
262.12 	(4) any other recovery mechanism that the commission determines is fair, reasonable, 
262.13 	and supports the objectives of this section.
262.14 	(b) Notwithstanding section 216B.16, subdivision 8, paragraph (a), clause (3), the 
262.15 	commission must approve recovery costs for expenses reasonably incurred by a public 
262.16 	utility to provide public advertisement as part of a transportation electrification plan approved 
262.17 	by the commission under subdivision 3.

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

262.19 	Sec. 6. [216B.1617] ELECTRIC SCHOOL BUS DEPLOYMENT PROGRAM.
262.20 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
262.21 	the meanings given.
262.22 	(b) "Battery exchange station" means a physical location where equipment is deployed 
262.23 	that enables a used electric vehicle battery to be exchanged for a fully charged battery.
262.24 	(c) "Electric school bus" means an electric vehicle that is a school bus.
262.25 	(d) "Electric vehicle" has the meaning given in section 169.011, subdivision 26a.
262.26 	(e) "Electric vehicle charging station" means a physical location deploying equipment 
262.27 	that provides electricity to charge a battery in an electric vehicle.
262.28 	(f) "Electric vehicle infrastructure" means electric vehicle charging stations and battery 
262.29 	exchange stations, and includes any infrastructure necessary to make electricity from a 
262.30 	public utility's electric distribution system available to electric vehicle charging stations or 
262.31 	battery exchange stations.
263.1 	(g) "Poor air quality" means: (1) ambient air levels that air monitoring data reveals 
263.2 	approach or exceed state or federal air quality standards or chronic health inhalation risk 
263.3 	benchmarks for total suspended particulates, particulate matter less than ten microns wide 
263.4 	(PM-10), particulate matter less than 2.5 microns wide (PM-2.5), sulfur dioxide, or nitrogen 
263.5 	dioxide; or (2) levels of asthma among children that significantly exceed the statewide 
263.6 	average.
263.7 	(h) "School bus" has the meaning given in section 169.011, subdivision 71.
263.8 		Subd. 2.Program. (a) A public utility may file with the commission a program to 
263.9 	promote deployment of electric school buses.
263.10 	(b) The program may include but is not limited to the following elements:
263.11 	(1) a school district may purchase one or more electric school buses;
263.12 	(2) the public utility may provide a rebate to the school district for the incremental cost 
263.13 	the school district incurs to purchase one or more electric school buses when compared with 
263.14 	fossil-fuel-powered school buses;
263.15 	(3) at the request of a school district, the public utility may deploy on the school district's 
263.16 	real property electric vehicle infrastructure required to charge electric school buses;
263.17 	(4) for any electric school bus purchased by a school district with a rebate provided by 
263.18 	the public utility, the school district must enter into a contract with the public utility under 
263.19 	which the school district:
263.20 	(i) accepts any and all liability for operating the electric school bus;
263.21 	(ii) accepts responsibility to maintain and repair the electric school bus; and
263.22 	(iii) must allow the public utility an option to own the electric school bus's battery at the 
263.23 	time the battery is retired from the electric school bus; and
263.24 	(5) in collaboration with a school district, prioritize the deployment of electric school 
263.25 	buses in areas of the school district that suffer from poor air quality.
263.26 		Subd. 3.Program review and implementation. The commission must approve, modify, 
263.27 	or reject a proposal for a program filed under this section within 180 days of the date the 
263.28 	proposal is received. The commission's approval, modification, or rejection must be based 
263.29 	on the proposal's likelihood to, through prudent and reasonable utility investments:
263.30 	(1) accelerate deployment of electric school buses in the public utility's service territory, 
263.31 	particularly in areas with poor air quality; and
264.1 	(2) reduce emissions of greenhouse gases and particulates compared to 
264.2 	fossil-fuel-powered school buses.
264.3 		Subd. 4.Cost recovery. (a) Any prudent and reasonable investment made by a public 
264.4 	utility on electric vehicle infrastructure installed on a school district's real property may be 
264.5 	placed in the public utility's rate base and earn a rate of return, as determined by the 
264.6 	commission.
264.7 	(b) Notwithstanding any other provision of this chapter, the commission may approve 
264.8 	a tariff mechanism to automatically adjust annual charges for prudent and reasonable 
264.9 	investments made by a public utility to implement and administer a program approved by 
264.10 	the commission under subdivision 3.

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

264.12 	Sec. 7. [216C.402] GRANT PROGRAM; MANUFACTURERS' CERTIFICATION 
264.13 	OF AUTO DEALERS TO SELL ELECTRIC VEHICLES.
264.14 		Subdivision 1.Establishment. A grant program is established in the Department of 
264.15 	Commerce to award grants to dealers to offset the costs to obtain the necessary training and 
264.16 	equipment that is required by electric vehicle manufacturers in order to certify a dealer to 
264.17 	sell electric vehicles produced by the manufacturer.
264.18 		Subd. 2.Application. An application for a grant under this section must be made to the 
264.19 	commissioner on a form developed by the commissioner. The commissioner must develop 
264.20 	administrative procedures and processes to review applications and award grants under this 
264.21 	section.
264.22 		Subd. 3.Eligible applicants. An applicant for a grant awarded under this section must 
264.23 	be a dealer of new motor vehicles licensed under chapter 168 operating under a franchise 
264.24 	from a manufacturer of electric vehicles.
264.25 		Subd. 4.Eligible expenditures. Appropriations made to support the activities of this 
264.26 	section must be used only to reimburse:
264.27 	(1) a dealer for the reasonable costs to obtain training and certification for the dealer's 
264.28 	employees from the electric vehicle manufacturer that awarded the franchise to the dealer;
264.29 	(2) a dealer for the reasonable costs to purchase and install equipment to service and 
264.30 	repair electric vehicles, as required by the electric vehicle manufacturer that awarded the 
264.31 	franchise to the dealer; and
264.32 	(3) the department for the reasonable costs incurred to administer this section.
265.1 		Subd. 5.Limitation. A grant awarded under this section to a single dealer must not 
265.2 	exceed $40,000.

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

265.4 	Sec. 8. Minnesota Statutes 2020, section 326B.103, is amended by adding a subdivision 
265.5 	to read:
265.6 		Subd. 6a.Electric vehicle capable space. "Electric vehicle capable space" means a 
265.7 	designated automobile parking space that has electrical infrastructure, including but not 
265.8 	limited to raceways, cables, electrical capacity, and panelboard or other electrical distribution 
265.9 	space, necessary to install an electric vehicle charging station.

265.10 	Sec. 9. Minnesota Statutes 2020, section 326B.103, is amended by adding a subdivision 
265.11 	to read:
265.12 		Subd. 6b.Electric vehicle charging station. "Electric vehicle charging station" means 
265.13 	a designated automobile parking space that has a dedicated connection for charging an 
265.14 	electric vehicle.

265.15 	Sec. 10. Minnesota Statutes 2020, section 326B.103, is amended by adding a subdivision 
265.16 	to read:
265.17 		Subd. 6c.Electric vehicle ready space. "Electric vehicle ready space" means a designated 
265.18 	automobile parking space that has a branch circuit capable of supporting the installation of 
265.19 	an electric vehicle charging station.

265.20 	Sec. 11. Minnesota Statutes 2020, section 326B.103, is amended by adding a subdivision 
265.21 	to read:
265.22 		Subd. 10a.Parking facilities. "Parking facilities" includes parking lots, garages, ramps, 
265.23 	or decks.

265.24 	Sec. 12. Minnesota Statutes 2020, section 326B.106, is amended by adding a subdivision 
265.25 	to read:
265.26 		Subd. 16.Electric vehicle charging. The code shall require a minimum number of 
265.27 	electric vehicle-ready spaces, electric vehicle capable spaces, and electric vehicle charging 
265.28 	stations either within or adjacent to new commercial and multifamily structures that provide 
265.29 	on-site parking facilities. Residential structures with fewer than four dwelling units are 
265.30 	exempt from this subdivision.

266.1 	Sec. 13. ELECTRIC VEHICLE CHARGING STATIONS; INSTALLATIONS IN 
266.2 	STATE AND REGIONAL PARKS.
 266.3 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
266.4 	the meanings given.
266.5 	(b) "DC fast charger" means electric vehicle charging station equipment that transfers 
266.6 	direct current electricity directly to an electric vehicle's battery.
266.7 	(c) "Electric vehicle" has the meaning given in Minnesota Statutes, section 169.011, 
266.8 	subdivision 26a.
266.9 	(d) "Electric vehicle charging station" means infrastructure that connects an electric 
266.10 	vehicle to a Level 2 or DC fast charger to recharge the electric vehicle's batteries.
266.11 	(e) "Level 2 charger" means electric vehicle charging station equipment that transfers 
266.12 	208- to 240-volt alternating current electricity to a device in an electric vehicle that converts 
266.13 	alternating current to direct current to recharge an electric vehicle battery.
266.14 		Subd. 2.Program. The commissioner of natural resources, in consultation with the 
266.15 	commissioners of the Pollution Control Agency, administration, and commerce, must 
266.16 	develop and fund the installation of a network of electric vehicle charging stations in 
266.17 	Minnesota state parks. The commissioners must issue a request for proposals to entities that 
266.18 	have experience installing, owning, operating, and maintaining electric vehicle charging 
266.19 	stations. The request for proposal must establish technical specifications that electric vehicle 
266.20 	charging stations are required to meet and must request responders to address:
266.21 	(1) the optimal number and location of charging stations installed in a given state park;
266.22 	(2) alternative arrangements that may be made to allocate responsibility for electric 
266.23 	vehicle charging station (i) ownership, operation, and maintenance, and (ii) billing 
266.24 	procedures; and
266.25 	(3) any other issues deemed relevant by the commissioners.

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

266.27 	Sec. 14. ELECTRIC VEHICLE CHARGING STATIONS; INSTALLATIONS AT 
266.28 	COUNTY GOVERNMENT CENTERS.
 266.29 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
266.30 	the meanings given.
267.1 	(b) "DC fast charger" means electric vehicle charging station equipment that transfers 
267.2 	direct current electricity directly to an electric vehicle's battery.
267.3 	(c) "Electric vehicle" has the meaning given in Minnesota Statutes, section 169.011, 
267.4 	subdivision 26a.
267.5 	(d) "Electric vehicle charging station" means infrastructure that connects an electric 
267.6 	vehicle to a Level 2 or DC fast charger to recharge the electric vehicle's batteries.
267.7 	(e) "Level 2 charger" means electric vehicle charging station equipment that transfers 
267.8 	208- to 240-volt alternating current electricity to a device in an electric vehicle that converts 
267.9 	alternating current to direct current to recharge an electric vehicle battery.
267.10 		Subd. 2.Program. The commissioner of commerce must develop and fund the installation 
267.11 	of a network of electric vehicle charging stations in public parking facilities at county 
267.12 	government centers located in Minnesota. The commissioner must issue a request for 
267.13 	proposals to entities that have experience installing, owning, operating, and maintaining 
267.14 	electric vehicle charging stations. The request for proposal must establish technical 
267.15 	specifications that electric vehicle charging stations are required to meet and must request 
267.16 	responders to address:
267.17 	(1) the optimal number and location of charging stations installed at each county 
267.18 	government center;
267.19 	(2) alternative arrangements that may be made to allocate responsibility for electric 
267.20 	vehicle charging station (i) ownership, operation, and maintenance, and (ii) billing 
267.21 	procedures;
267.22 	(3) software used to allow payment for electricity consumed at the charging stations; 
267.23 	and
267.24 	(4) any other issues deemed relevant by the commissioner.
267.25 		Subd. 3.County role. (a) A county has a right of first refusal with respect to ownership 
267.26 	of electric vehicle charging stations receiving funding under this section and installed at the 
267.27 	county government center.
267.28 	(b) A county may enter into agreements to (1) wholly or partially own, operate, or 
267.29 	maintain an electric vehicle charging system receiving funding under this section and 
267.30 	installed at the county government center, or (2) receive reports on the electric vehicle 
267.31 	charging system operations.
268.1 	(c) A county must authorize and approve the installation and location of an electric 
268.2 	vehicle charging station at a county government center under this section.

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

268.4 	ARTICLE 24
268.5 	RENEWABLE ECONOMIC DEVELOPMENT

268.6 	Section 1. Minnesota Statutes 2020, section 116C.779, subdivision 1, is amended to read:
268.7 		Subdivision 1.Renewable development account. (a) The renewable development 
268.8 	account is established as a separate account in the special revenue fund in the state treasury. 
268.9 	Appropriations and transfers to the account shall be credited to the account. Earnings, such 
268.10 	as interest, dividends, and any other earnings arising from assets of the account, shall be 
268.11 	credited to the account. Funds remaining in the account at the end of a fiscal year are not 
268.12 	canceled to the general fund but remain in the account until expended. The account shall 
268.13 	be administered by the commissioner of management and budget as provided under this 
268.14 	section.
268.15 	(b) On July 1, 2017, the public utility that owns the Prairie Island nuclear generating 
268.16 	plant must transfer all funds in the renewable development account previously established 
268.17 	under this subdivision and managed by the public utility to the renewable development 
268.18 	account established in paragraph (a). Funds awarded to grantees in previous grant cycles 
268.19 	that have not yet been expended and unencumbered funds required to be paid in calendar 
268.20 	year 2017 under paragraphs (f) and (g), and sections 116C.7792 and 216C.41, are not subject 
268.21 	to transfer under this paragraph.
268.22 	(c) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing 
268.23 	each January 15 thereafter, the public utility that owns the Prairie Island nuclear generating 
268.24 	plant must transfer to the renewable development account $500,000 each year for each dry 
268.25 	cask containing spent fuel that is located at the Prairie Island power plant for each year the 
268.26 	plant is in operation, and $7,500,000 each year the plant is not in operation if ordered by 
268.27 	the commission pursuant to paragraph (i). The fund transfer must be made if nuclear waste 
268.28 	is stored in a dry cask at the independent spent-fuel storage facility at Prairie Island for any 
268.29 	part of a year.
268.30 	(d) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing 
268.31 	each January 15 thereafter, the public utility that owns the Monticello nuclear generating 
268.32 	plant must transfer to the renewable development account $350,000 each year for each dry 
268.33 	cask containing spent fuel that is located at the Monticello nuclear power plant for each 
269.1 	year the plant is in operation, and $5,250,000 each year the plant is not in operation if ordered 
269.2 	by the commission pursuant to paragraph (i). The fund transfer must be made if nuclear 
269.3 	waste is stored in a dry cask at the independent spent-fuel storage facility at Monticello for 
269.4 	any part of a year.
269.5 	(e) Each year, the public utility shall withhold from the funds transferred to the renewable 
269.6 	development account under paragraphs (c) and (d) the amount necessary to pay its obligations 
269.7 	under paragraphs (f) and (g), and sections 116C.7792 and 216C.41, for that calendar year.
269.8 	(f) If the commission approves a new or amended power purchase agreement, the 
269.9 	termination of a power purchase agreement, or the purchase and closure of a facility under 
269.10 	section 216B.2424, subdivision 9, with an entity that uses poultry litter to generate electricity, 
269.11 	the public utility subject to this section shall enter into a contract with the city in which the 
269.12 	poultry litter plant is located to provide grants to the city for the purposes of economic 
269.13 	development on the following schedule: $4,000,000 in fiscal year 2018; $6,500,000 each 
269.14 	fiscal year in 2019 and 2020; and $3,000,000 in fiscal year 2021. The grants shall be paid 
269.15 	by the public utility from funds withheld from the transfer to the renewable development 
269.16 	account, as provided in paragraphs (b) and (e).
269.17 	(g) If the commission approves a new or amended power purchase agreement, or the 
269.18 	termination of a power purchase agreement under section 216B.2424, subdivision 9, with 
269.19 	an entity owned or controlled, directly or indirectly, by two municipal utilities located north 
269.20 	of Constitutional Route No. 8, that was previously used to meet the biomass mandate in 
269.21 	section 216B.2424, the public utility that owns a nuclear generating plant shall enter into a 
269.22 	grant contract with such entity to provide $6,800,000 per year for five years, commencing 
269.23 	30 days after the commission approves the new or amended power purchase agreement, or 
269.24 	the termination of the power purchase agreement, and on each June 1 thereafter through 
269.25 	2021, to assist the transition required by the new, amended, or terminated power purchase 
269.26 	agreement. The grant shall be paid by the public utility from funds withheld from the transfer 
269.27 	to the renewable development account as provided in paragraphs (b) and (e).
269.28 	(h) The collective amount paid under the grant contracts awarded under paragraphs (f) 
269.29 	and (g) is limited to the amount deposited into the renewable development account, and its 
269.30 	predecessor, the renewable development account, established under this section, that was 
269.31 	not required to be deposited into the account under Laws 1994, chapter 641, article 1, section 
269.32 	10.
269.33 	(i) After discontinuation of operation of the Prairie Island nuclear plant or the Monticello 
269.34 	nuclear plant and each year spent nuclear fuel is stored in dry cask at the discontinued 
270.1 	facility, the commission shall require the public utility to pay $7,500,000 for the discontinued 
270.2 	Prairie Island facility and $5,250,000 for the discontinued Monticello facility for any year 
270.3 	in which the commission finds, by the preponderance of the evidence, that the public utility 
270.4 	did not make a good faith effort to remove the spent nuclear fuel stored at the facility to a 
270.5 	permanent or interim storage site out of the state. This determination shall be made at least 
270.6 	every two years.
270.7 	(j) Funds in the account may be expended only for any of the following purposes:
270.8 	(1) to stimulate research and development of renewable electric energy technologies;
270.9 	(2) to encourage grid modernization, including, but not limited to, projects that implement 
270.10 	electricity storage, load control, and smart meter technology; and
270.11 	(3) to stimulate other innovative energy projects that reduce demand and increase system 
270.12 	efficiency and flexibility.
270.13 	Expenditures from the fund must benefit Minnesota ratepayers receiving electric service 
270.14 	from the utility that owns a nuclear-powered electric generating plant in this state or the 
270.15 	Prairie Island Indian community or its members.
270.16 	The utility that owns a nuclear generating plant is eligible to apply for grants under this 
270.17 	subdivision.
270.18 	(k) For the purposes of paragraph (j), the following terms have the meanings given:
270.19 	(1) "renewable" has the meaning given in section 216B.2422, subdivision 1, paragraph 
270.20 	(c), clauses (1), (2), (4), and (5); and
270.21 	(2) "grid modernization" means:
270.22 	(i) enhancing the reliability of the electrical grid;
270.23 	(ii) improving the security of the electrical grid against cyberthreats and physical threats; 
270.24 	and
270.25 	(iii) increasing energy conservation opportunities by facilitating communication between 
270.26 	the utility and its customers through the use of two-way meters, control technologies, energy 
270.27 	storage and microgrids, technologies to enable demand response, and other innovative 
270.28 	technologies.
270.29 	(l) A renewable development account advisory group that includes, among others, 
270.30 	representatives of the public utility and its ratepayers, and includes at least one representative 
270.31 	of the Prairie Island Indian community appointed by that community's tribal council, shall 
270.32 	develop recommendations on account expenditures. The advisory group must design a 
271.1 	request for proposal and evaluate projects submitted in response to a request for proposals. 
271.2 	The advisory group must utilize an independent third-party expert to evaluate proposals 
271.3 	submitted in response to a request for proposal, including all proposals made by the public 
271.4 	utility. A request for proposal for research and development under paragraph (j), clause (1), 
271.5 	may be limited to or include a request to higher education institutions located in Minnesota 
271.6 	for multiple projects authorized under paragraph (j), clause (1). The request for multiple 
271.7 	projects may include a provision that exempts the projects from the third-party expert review 
271.8 	and instead provides for project evaluation and selection by a merit peer review grant system. 
271.9 	In the process of determining request for proposal scope and subject and in evaluating 
271.10 	responses to request for proposals, the advisory group must strongly consider, where 
271.11 	reasonable, potential benefit to Minnesota citizens and businesses and the utility's ratepayers.
271.12 	(m) The advisory group shall submit funding recommendations to the public utility, 
271.13 	which has full and sole authority to determine which expenditures shall be submitted by 
271.14 	the advisory group to the legislature. The commission may approve proposed expenditures, 
271.15 	may disapprove proposed expenditures that it finds not to be in compliance with this 
271.16 	subdivision or otherwise not in the public interest, and may, if agreed to by the public utility, 
271.17 	modify proposed expenditures. The commission shall, by order, submit its funding 
271.18 	recommendations to the legislature as provided under paragraph (n).
271.19 	(n) The commission shall present its recommended appropriations from the account to 
271.20 	the senate and house of representatives committees with jurisdiction over energy policy and 
271.21 	finance annually by February 15. Expenditures from the account must be appropriated by 
271.22 	law. In enacting appropriations from the account, the legislature:
271.23 	(1) may approve or disapprove, but may not modify, the amount of an appropriation for 
271.24 	a project recommended by the commission; and
271.25 	(2) may not appropriate money for a project the commission has not recommended 
271.26 	funding.
271.27 	(o) A request for proposal for renewable energy generation projects must, when feasible 
271.28 	and reasonable, give preference to projects that are most cost-effective for a particular energy 
271.29 	source.
271.30 	(p) The advisory group must annually, by February 15, report to the chairs and ranking 
271.31 	minority members of the legislative committees with jurisdiction over energy policy on 
271.32 	projects funded by the account for the prior year and all previous years. The report must, 
271.33 	to the extent possible and reasonable, itemize the actual and projected financial benefit to 
271.34 	the public utility's ratepayers of each project.
272.1 	(q) By February 1, 2018, and each February 1 thereafter, the commissioner of 
272.2 	management and budget shall submit a written report regarding the availability of funds in 
272.3 	and obligations of the account to the chairs and ranking minority members of the senate 
272.4 	and house committees with jurisdiction over energy policy and finance, the public utility, 
272.5 	and the advisory group.
272.6 	(r) A project receiving funds from the account must produce a written final report that 
272.7 	includes sufficient detail for technical readers and a clearly written summary for nontechnical 
272.8 	readers. The report must include an evaluation of the project's financial, environmental, and 
272.9 	other benefits to the state and the public utility's ratepayers.
272.10 	(s) Final reports, any mid-project status reports, and renewable development account 
272.11 	financial reports must be posted online on a public website designated by the commissioner 
272.12 	of commerce.
272.13 	(t) All final reports must acknowledge that the project was made possible in whole or 
272.14 	part by the Minnesota renewable development account, noting that the account is financed 
272.15 	by the public utility's ratepayers.
272.16 	(u) Of the amount in the renewable development account, priority must be given to 
272.17 	making the payments required under section 216C.417.
272.18 	(v) A construction project funded from an appropriation made under this section must 
272.19 	comply with sections 177.41 to 177.43.

272.20 	EFFECTIVE DATE. This section is effective the day following final enactment and 
272.21 	applies to appropriations made on or after that date.

272.22 	Sec. 2. Minnesota Statutes 2020, section 116J.55, subdivision 5, is amended to read:
272.23 		Subd. 5.Grant awards; limitations. (a) The commissioner must award grants under 
272.24 	this section to eligible communities through a competitive grant process.
272.25 	(b) (a) A grant awarded to an eligible community under this section must not exceed 
272.26 	$500,000 in any calendar year. The commissioner may accept grant applications on an 
272.27 	ongoing or rolling basis.
272.28 	(c) (b) Grants funded with revenues from the renewable development account established 
272.29 	in section 116C.779 must be awarded to an eligible community located within the retail 
272.30 	electric service territory of the public utility that is subject to section 116C.779 or to an 
272.31 	eligible community in which an electric generating plant owned by that public utility is 
272.32 	located.

273.1 	Sec. 3. Minnesota Statutes 2020, section 216B.16, subdivision 13, is amended to read:
273.2 		Subd. 13.Economic and community development. The commission may allow a 
273.3 	public utility to recover from ratepayers the reasonable expenses incurred (1) for economic 
273.4 	and community development, and (2) to employ local workers, as defined in section 
273.5 	216B.2422, subdivision 1, to construct and maintain generation facilities that supply power 
273.6 	to the utility's customers.

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

273.8 	Sec. 4. Minnesota Statutes 2020, section 216B.1645, subdivision 2, is amended to read:
273.9 		Subd. 2.Cost recovery. The expenses incurred by the utility over the duration of the 
273.10 	approved contract or useful life of the investment and, expenditures made pursuant to section 
273.11 	116C.779shall be, and the expenses incurred to employ local workers to construct and 
273.12 	maintain generation facilities that supply power to the utility's customers are recoverable 
273.13 	from the ratepayers of the utility,(1) to the extent they the expenses or expenditures are not 
273.14 	offset by utility revenues attributable to the contracts, investments, or expenditures, and (2) 
273.15 	if the expenses or expenditures are deemed reasonable by the commission. Upon petition 
273.16 	by a public utility, the commission shall approve or approve as modified a rate schedule 
273.17 	providing for the automatic adjustment of charges to recover the expenses or costs approved 
273.18 	by the commission under subdivision 1, which, in the case of transmission expenditures, 
273.19 	are limited to the portion of actual transmission costs that are directly allocable to the need 
273.20 	to transmit power from the renewable sources of energy. The commission may not approve 
273.21 	recovery of the costs for that portion of the power generated from sources governed by this 
273.22 	section that the utility sells into the wholesale market.

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

273.24 	Sec. 5. Minnesota Statutes 2020, section 216B.1691, subdivision 9, is amended to read:
273.25 		Subd. 9.Local benefits. The commission shall take all reasonable actions within its the 
273.26 	commission's statutory authority to ensure this section is implemented to maximize benefits 
273.27 	to Minnesota citizens and local workers, as defined in section 216B.2422, subdivision 1, 
273.28 	balancing factors such as local ownership of or participation in energy production,; local 
273.29 	job impacts, as defined in section 216B.2422, subdivision 1; development and ownership 
273.30 	of eligible energy technology facilities by independent power producers,; Minnesota utility 
273.31 	ownership of eligible energy technology facilities,; the costs of energy generation to satisfy 
273.32 	the renewable standard,; and the reliability of electric service to Minnesotans.

274.1 	Sec. 6. Minnesota Statutes 2020, section 216B.2422, subdivision 1, is amended to read:
274.2 		Subdivision 1.Definitions. (a) For purposes of this section, the terms defined in this 
274.3 	subdivision have the meanings given them.
274.4 	(b) "Utility" means an entity with the capability of generating 100,000 kilowatts or more 
274.5 	of electric power and serving, either directly or indirectly, the needs of 10,000 retail 
274.6 	customers in Minnesota. Utility does not include federal power agencies.
274.7 	(c) "Renewable energy" means electricity generated through use of any of the following 
274.8 	resources:
274.9 	(1) wind;
274.10 	(2) solar;
274.11 	(3) geothermal;
274.12 	(4) hydro;
274.13 	(5) trees or other vegetation;
274.14 	(6) landfill gas; or
274.15 	(7) predominantly organic components of wastewater effluent, sludge, or related 
274.16 	by-products from publicly owned treatment works, but not including incineration of 
274.17 	wastewater sludge.
274.18 	(d) "Resource plan" means a set of resource options that a utility could use to meet the 
274.19 	service needs of its customers over a forecast period, including an explanation of the supply 
274.20 	and demand circumstances under which, and the extent to which, each resource option 
274.21 	would be used to meet those service needs. These resource options include using, 
274.22 	refurbishing, and constructing utility plant and equipment, buying power generated by other 
274.23 	entities, controlling customer loads, and implementing customer energy conservation.
274.24 	(e) "Refurbish" means to rebuild or substantially modify an existing electricity generating 
274.25 	resource of 30 megawatts or greater.
274.26 	(f) "Energy storage system" means a commercially available technology that:
274.27 	(1) uses mechanical, chemical, or thermal processes to:
274.28 	(i) store energy, including energy generated from renewable resources and energy that 
274.29 	would otherwise be wasted, and deliver the stored energy for use at a later time; or
274.30 	(ii) store thermal energy for direct use for heating or cooling at a later time in a manner 
274.31 	that reduces the demand for electricity at the later time;
275.1 	(2) is composed of stationary equipment;
275.2 	(3) if being used for electric grid benefits, is operationally visible and capable of being 
275.3 	controlled by the distribution or transmission entity managing it, to enable and optimize the 
275.4 	safe and reliable operation of the electric system; and
275.5 	(4) achieves any of the following:
275.6 	(i) reduces peak or electrical demand;
275.7 	(ii) defers the need or substitutes for an investment in electric generation, transmission, 
275.8 	or distribution assets;
275.9 	(iii) improves the reliable operation of the electrical transmission or distribution systems, 
275.10 	while ensuring transmission or distribution needs are not created; or
275.11 	(iv) lowers customer costs by storing energy when the cost of generating or purchasing 
275.12 	it is low and delivering it to customers when the costs are high.
275.13 	(g) "Local job impacts" means the impacts of a certificate of need, a power purchase 
275.14 	agreement, or commission approval of a new or refurbished energy facility on the availability 
275.15 	of construction employment opportunities to local workers.
275.16 	(h) "Local workers" means workers who (1) are employed to construct and maintain 
275.17 	energy infrastructure; and (2) are Minnesota residents, are residents of the utility's service 
275.18 	territory, or permanently reside within 150 miles of a proposed new or refurbished energy 
275.19 	facility.

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

275.21 	Sec. 7. Minnesota Statutes 2020, section 216B.2422, is amended by adding a subdivision 
275.22 	to read:
275.23 		Subd. 4a.Preference for local job creation. As part of a resource plan filing, a utility 
275.24 	must report on associated local job impacts and the steps the utility and the utility's energy 
275.25 	suppliers and contractors are taking to maximize the availability of construction employment 
275.26 	opportunities for local workers. The commission must consider local job impacts and give 
275.27 	preference to proposals that maximize the creation of construction employment opportunities 
275.28 	for local workers, consistent with the public interest, when evaluating any utility proposal 
275.29 	that involves the selection or construction of facilities used to generate or deliver energy to 
275.30 	serve the utility's customers, including but not limited to an integrated resource plan, a 
275.31 	certificate of need, a power purchase agreement, or commission approval of a new or 
275.32 	refurbished electric generation facility. The commission must, to the maximum extent 
276.1 	possible, prioritize the hiring of workers from communities hosting retiring electric generation 
276.2 	facilities, including workers previously employed at the retiring facilities.

276.3 	EFFECTIVE DATE. This section is effective the day following final enactment and 
276.4 	applies to an integrated resource plan filed with the commission on or after that date.

276.5 	Sec. 8. Minnesota Statutes 2020, section 216B.2422, subdivision 5, is amended to read:
276.6 		Subd. 5.Bidding; exemption from certificate of need proceeding. (a) A utility may 
276.7 	select resources to meet its projected energy demand through a bidding process approved 
276.8 	or established by the commission. A utility shall use the environmental cost estimates 
276.9 	determined under subdivision 3 in and consider local job impacts when evaluating bids 
276.10 	submitted in a process established under this subdivision.
276.11 	(b) Notwithstanding any other provision of this section, if an electric power generating 
276.12 	plant, as described in section 216B.2421, subdivision 2, clause (1), is selected in a bidding 
276.13 	process approved or established by the commission, a certificate of need proceeding under 
276.14 	section 216B.243 is not required.
276.15 	(c) A certificate of need proceeding is also not required for an electric power generating 
276.16 	plant that has been selected in a bidding process approved or established by the commission, 
276.17 	or such other selection process approved by the commission, to satisfy, in whole or in part, 
276.18 	the wind power mandate of section 216B.2423 or the biomass mandate of section 216B.2424.

276.19 	EFFECTIVE DATE. This section is effective the day following final enactment and 
276.20 	applies to an integrated resource plan filed with the commission on or after that date.

276.21 	Sec. 9. Minnesota Statutes 2020, section 216C.435, subdivision 8, is amended to read:
276.22 		Subd. 8.Qualifying commercial real property. "Qualifying commercial real property" 
276.23 	means a multifamily residential dwelling, or a commercial or industrial building, or farmland, 
276.24 	as defined in section 216C.436, subdivision 1b, that the implementing entity has determined, 
276.25 	after review of an energy audit or, renewable energy system feasibility study, or agronomic 
276.26 	assessment, as defined in section 216C.436, subdivision 1b, can be benefited by benefit 
276.27 	from the installation of cost-effective energy improvements or land and water improvements, 
276.28 	as defined in section 216C.436, subdivision 1b. Qualifying commercial real property includes 
276.29 	new construction.

277.1 	Sec. 10. Minnesota Statutes 2020, section 216C.436, is amended by adding a subdivision 
277.2 	to read:
277.3 		Subd. 1b.Definitions. (a) For the purposes of this section, the following terms have the 
277.4 	meanings given.
277.5 	(b) "Agronomic assessment" means a study by an independent third party that assesses 
277.6 	the environmental impacts of proposed land and water improvements on farmland.
277.7 	(c) "Farmland" means land classified as 2a, 2b, or 2c for property tax purposes under 
277.8 	section 273.13, subdivision 23.
277.9 	(d) "Land and water improvement" means:
277.10 	(1) an improvement to farmland that is permanent, results in improved agricultural 
277.11 	profitability or resiliency, and reduces the environmental impact of agricultural production; 
277.12 	or
277.13 	(2) water conservation and quality measures, which include permanently affixed 
277.14 	equipment, appliances, or improvements that reduce a property's water consumption or that 
277.15 	enable water to be managed more efficiently.
277.16 	Land and water improvement does not include drainage.
277.17 	(e) "Resiliency" means the ability of farmland to maintain and enhance profitability, 
277.18 	soil health, and water quality.

277.19 	Sec. 11. Minnesota Statutes 2020, section 216C.436, subdivision 2, is amended to read:
277.20 		Subd. 2.Program requirements. A commercial PACE loan program must:
277.21 	(1) impose requirements and conditions on financing arrangements to ensure timely 
277.22 	repayment;
277.23 	(2) require an energy audit or, renewable energy system feasibility study, or agronomic 
277.24 	or soil health assessment to be conducted on the qualifying commercial real property and 
277.25 	reviewed by the implementing entity prior to approval of the financing;
277.26 	(3) require the inspection of all installations and a performance verification of at least 
277.27 	ten percent of the cost-effective energy improvements or land and water improvements
277.28 	financed by the program;
277.29 	(4) not prohibit the financing of all cost-effective energy improvements or land and 
277.30 	water improvements not otherwise prohibited by this section;
278.1 	(5) require that all cost-effective energy improvements or land and water improvements
278.2 	be made to a qualifying commercial real property prior to, or in conjunction with, an 
278.3 	applicant's repayment of financing for cost-effective energy improvements or land and water 
278.4 	improvements for that property;
278.5 	(6) have cost-effective energy improvements or land and water improvements financed 
278.6 	by the program performed by a licensed contractor as required by chapter 326B or other 
278.7 	law or ordinance;
278.8 	(7) require disclosures to borrowers by the implementing entity of the risks involved in 
278.9 	borrowing, including the risk of foreclosure if a tax delinquency results from a default;
278.10 	(8) provide financing only to those who demonstrate an ability to repay;
278.11 	(9) not provide financing for a qualifying commercial real property in which the owner 
278.12 	is not current on mortgage or real property tax payments;
278.13 	(10) require a petition to the implementing entity by all owners of the qualifying 
278.14 	commercial real property requesting collections of repayments as a special assessment under 
278.15 	section 429.101;
278.16 	(11) provide that payments and assessments are not accelerated due to a default and that 
278.17 	a tax delinquency exists only for assessments not paid when due; and
278.18 	(12) require that liability for special assessments related to the financing runs with the 
278.19 	qualifying commercial real property.; and
278.20 	(13) prior to financing any improvements to or imposing any assessment upon qualifying 
278.21 	commercial real property, require notice to and written consent from the mortgage lender 
278.22 	of any mortgage encumbering or otherwise secured by the qualifying commercial real 
278.23 	property.

278.24 	Sec. 12. [216C.441] MINNESOTA INNOVATION FINANCE AUTHORITY.
278.25 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
278.26 	the meanings given.
278.27 	(b) "Advisory task force" means the Minnesota Innovation Finance Authority advisory 
278.28 	task force.
278.29 	(c) "Authority" means the Minnesota Innovation Finance Authority.
278.30 	(d) "Clean energy project" has the meaning given to "qualified project" in paragraph 
278.31 	(k), clauses (1) to (4).
279.1 	(e) "Credit enhancement" means a pool of capital set aside to cover potential losses on 
279.2 	loans made by private lenders. Credit enhancement includes but is not limited to loan loss 
279.3 	reserves and loan guarantees.
279.4 	(f) "Energy storage system" has the meaning given in section 216B.2422, subdivision 
279.5 	1, paragraph (f).
279.6 	(g) "Fuel cell" means a cell that converts the chemical energy of hydrogen directly into 
279.7 	electricity through electrochemical reactions.
279.8 	(h) "Greenhouse gas emissions" has the meaning given to "statewide greenhouse gas 
279.9 	emissions" in section 216H.01, subdivision 2.
279.10 	(i) "Loan loss reserve" means a pool of capital set aside to reimburse a private lender if 
279.11 	a customer defaults on a loan, up to an agreed-upon percentage of loans originated by the 
279.12 	private lender.
279.13 	(j) "Microgrid system" means an electrical grid that (1) serves a discrete geographical 
279.14 	area from distributed energy resources, and (2) can operate independently from the central 
279.15 	electric grid on a temporary basis.
279.16 	(k) "Qualified project" means a project, technology, product, service, or measure 
279.17 	predominantly focused on clean energy, electrification, or energy or climate resilience as 
279.18 	follows:
279.19 	(1) a project, technology, product, service, or measure that:
279.20 	(i) results in the reduction of energy use while providing the same level of service or 
279.21 	output obtained before the project, technology, product, service, function, or measure was 
279.22 	applied;
279.23 	(ii) shifts the use of electricity by retail customers in response to changes in the price of 
279.24 	electricity that vary over time or provides other incentives designed to shift electricity 
279.25 	demand from times when market prices are high or when system reliability is jeopardized; 
279.26 	or
279.27 	(iii) significantly reduces greenhouse gas emissions relative to greenhouse gas emissions 
279.28 	produced before the project is implemented, excluding projects that generate power from 
279.29 	the combustion of fossil fuels;
279.30 	(2) the development, construction, deployment, alteration, or repair of any:
279.31 	(i) project, technology, product, service, or measure that generates electric power from 
279.32 	renewable energy; or
280.1 	(ii) distributed generation system, energy storage system, smart grid technology, microgrid 
280.2 	system, fuel cell system, or combined heat and power system;
280.3 	(3) the installation, construction, or use of end-use electric technology that replaces 
280.4 	existing fossil-fuel-based technology;
280.5 	(4) a project, technology, product, service, or measure that supports the development 
280.6 	and deployment of electric vehicle charging stations and associated infrastructure;
280.7 	(5) a project that reduces net greenhouse gas emissions or improves climate resiliency, 
280.8 	including but not limited to reforestation, afforestation, forestry management, and 
280.9 	regenerative agriculture;
280.10 	(6) the construction or enhancement of infrastructure that is planned, designed, and 
280.11 	operated in a manner that anticipates, prepares for, and adapts to current and projected 
280.12 	changing climate conditions so that the infrastructure withstands, responds to, and more 
280.13 	readily recovers from disruptions caused by the current and projected changing climate 
280.14 	conditions; and
280.15 	(7) the development, construction, deployment, alteration, or repair of any project, 
280.16 	technology, product, service, or measure that: (i) reduces water use while providing the 
280.17 	same or better level and quality of service or output that was obtained before implementing 
280.18 	the water-saving approach; or (ii) protects, restores, or preserves the quality of groundwater 
280.19 	and surface waters, including but not limited to actions that further the purposes of the Clean 
280.20 	Water Legacy Act, as provided in section 114D.10, subdivision 1.
280.21 	(l) "Regenerative agriculture" means farming methods that reduce agriculture's 
280.22 	contribution to climate change by increasing the soil's ability to absorb atmospheric carbon 
280.23 	and convert the atmospheric carbon to soil carbon.
280.24 	(m) "Renewable energy" has the meaning given in section 216B.2422 and includes fuel 
280.25 	cells generated from renewable energy.
280.26 	(n) "Smart grid" means a digital technology that (1) allows for two-way communication 
280.27 	between a utility and the utility's customers, and (2) enables the utility to control power 
280.28 	flow and load in real time.
280.29 		Subd. 2.Establishment; purpose. (a) By September 1, 2022, the department must 
280.30 	establish and convene a Minnesota Innovation Finance Authority Advisory Task Force.
280.31 	(b) By February 1, 2023, the Minnesota Innovation Finance Authority Advisory Task 
280.32 	Force convened by the department must establish the Minnesota innovation finance authority 
280.33 	as a nonprofit corporation, including the development of the nonprofit board under chapter 
281.1 	317A, and must seek designation as a charitable tax-exempt organization under section 
281.2 	501(c)(3) of the Internal Revenue Code of 1986, as amended. The advisory task force must 
281.3 	engage independent legal counsel with relevant experience in nonprofit corporate law to 
281.4 	help establish the nonprofit corporation. The nonprofit corporation must be governed by a 
281.5 	board of directors.
281.6 	(c) The authority must establish bylaws, subject to the prior approval by the 
281.7 	commissioner.
281.8 	(d) The initial board of directors must include at least a majority of the members of the 
281.9 	advisory task force established under subdivision 5.
281.10 	(e) When incorporated, the authority must serve as an independent, nonprofit corporation 
281.11 	for public benefit whose purpose is to (1) promote investments in qualified clean energy, 
281.12 	efficiency, electrification, and other climate-mitigation-related projects, and (2) accelerate 
281.13 	the deployment of qualified projects by reducing the up-front and total cost of adoption. 
281.14 	The authority may achieve the purposes under this paragraph by leveraging public sources 
281.15 	and additional private sources of capital through the strategic deployment of public money 
281.16 	in the form of loans, credit enhancements, and other financing mechanisms, along with 
281.17 	strategies that stimulate demand.
281.18 	(f) The authority must:
281.19 	(1) identify underserved markets for qualified projects in Minnesota, develop programs 
281.20 	to overcome market impediments, and provide access to financing to serve the projects and 
281.21 	underserved markets;
281.22 	(2) except in cases of projects within identified disadvantaged communities, as determined 
281.23 	by the commissioner, that may limit an investment, strategically prioritize money to leverage 
281.24 	private investment in qualified projects, achieving a high ratio of private to public money 
281.25 	invested through funding mechanisms that support, enhance, and complement private 
281.26 	investment;
281.27 	(3) coordinate with existing government- and utility-based programs to ensure (i) the 
281.28 	most effective use of the authority's resources, (ii) that financing terms and conditions 
281.29 	offered are well-suited to qualified projects, (iii) coordination of communication with respect 
281.30 	to all financing options under this section and other state and utility programs, and (iv) the 
281.31 	authority's activities add to and complement the efforts of state and utility partners;
281.32 	(4) serve as an informational resource for contractors interested in installing qualified 
281.33 	projects by forming partnerships with and educating contractors regarding the authority's 
282.1 	financing programs and coordinating multiple contractors on projects that install multiple 
282.2 	qualifying technologies;
282.3 	(5) develop innovative and inclusive marketing strategies to stimulate project owner 
282.4 	interest in targeted underserved markets;
282.5 	(6) serve as a financial resource to reduce the up-front and total costs to borrowers;
282.6 	(7) prioritize projects that maximize greenhouse gas emission reductions or address 
282.7 	disparities in access to clean energy projects for underserved communities;
282.8 	(8) ensure that workers employed by contractors and subcontractors performing 
282.9 	construction work on projects over $100,000, financed all or in part by the authority, are 
282.10 	paid wages not less than the prevailing wage on similar construction projects in the applicable 
282.11 	locality;
282.12 	(9) develop rules, policies, and procedures specifying borrower eligibility and other 
282.13 	terms and conditions for financial support offered by the fund that must be met before 
282.14 	financing support is provided for any qualified clean energy project;
282.15 	(10) develop and administer (i) policies to collect reasonable fees for authority services, 
282.16 	and (ii) risk management activities that are sufficient to support ongoing authority activities;
282.17 	(11) subject to review by the department, develop and adopt a work plan to accomplish 
282.18 	all of the activities required of the authority and update the work plan on an annual basis;
282.19 	(12) develop consumer protection standards governing the authority's investments to 
282.20 	ensure the authority and partners provide financial support in a responsible and transparent 
282.21 	manner that is in the financial interest of participating project owners and serves the defined 
282.22 	underserved markets and disadvantaged communities; or
282.23 	(13) establish and maintain an online and mobile-access portal that provides access to 
282.24 	all authority programs and financial products, including rates, terms, and conditions of all 
282.25 	financing support programs, unless disclosure of the information constitutes a trade secret 
282.26 	or confidential commercial or financial information.
282.27 		Subd. 3.Additional department responsibilities. In addition to the responsibilities 
282.28 	listed in this chapter, the department must:
282.29 	(1) review consumer protection standards established by the authority; and
282.30 	(2) provide standard state oversight to money appropriated under this section.
282.31 		Subd. 4.Additional authorized activities. The authority is authorized to:
283.1 	(1) engage in any activities of a Minnesota nonprofit corporation operating under chapter 
283.2 	317A;
283.3 	(2) develop and employ financing methods to support qualified projects, including:
283.4 	(i) credit enhancement mechanisms that reduce financial risk for private lenders by 
283.5 	providing assurance that a limited portion of a loan is assumed by the fund via a loan loss 
283.6 	reserve, loan guarantee, or other mechanism;
283.7 	(ii) co-investment, where the fund invests directly in a clean energy project by providing 
283.8 	senior or subordinated debt, equity, or other mechanisms in conjunction with a private 
283.9 	financier's investment; and
283.10 	(iii) serving as an aggregator of many small and geographically dispersed qualified 
283.11 	projects, where the authority may provide direct lending, investment, or other financial 
283.12 	support in order to diversify risk; and
283.13 	(3) seek to qualify as a community development financial institution under United States 
283.14 	Code, title 12, section 4702, in which case the authority must be treated as a qualified 
283.15 	community development entity for the purposes of sections 45D and 1400(m) of the Internal 
283.16 	Revenue Code.
283.17 		Subd. 5.Advisory task force; membership. (a) The Minnesota Innovation Finance 
283.18 	Authority Advisory Task Force is established and consists of 15 members as follows:
283.19 	(1) the commissioner of commerce or the commissioner's designee, who serves as chair 
283.20 	of the advisory task force;
283.21 	(2) the commissioner of employment and economic development or the commissioner's 
283.22 	designee;
283.23 	(3) the commissioner of the Pollution Control Agency or the commissioner's designee;
283.24 	(4) the commissioner of agriculture or the commissioner's designee;
283.25 	(5) two additional members appointed by the governor;
283.26 	(6) two additional members appointed by the speaker of the house;
283.27 	(7) two additional members appointed by the president of the senate; and
283.28 	(8) five members that have extensive life or work experience within economically 
283.29 	disadvantaged communities that the authority aims to serve, appointed by the governor and 
283.30 	the commissioners identified in clauses (1) to (4).
284.1 	(b) The members appointed to the advisory task force under paragraph (a), clauses (6) 
284.2 	and (7), must have expertise in matters relating to energy conservation, clean energy, 
284.3 	economic development, banking, law, finance, or other matters relevant to the work of the 
284.4 	advisory task force.
284.5 	(c) When appointing a member to the advisory task force, consideration must be given 
284.6 	to whether the advisory task force members collectively reflect the geographical and ethnic 
284.7 	diversity of Minnesota.
284.8 	(d) Members of the advisory task force must abide by the conflict of interest provisions 
284.9 	in section 43A.38.
284.10 	(e) In order to ensure participation, the commissioner may provide a nominal grant to 
284.11 	any advisory task force member that demonstrates financial need in order to participate.
284.12 		Subd. 6.Report; audit. Beginning February 1, 2024, the authority must annually submit 
284.13 	a comprehensive report on the authority's activities for the previous fiscal year to the governor 
284.14 	and the chairs and ranking minority members of the legislative committees with primary 
284.15 	jurisdiction over energy policy. The report must contain, at a minimum, information on:
284.16 	(1) the amount of authority capital invested, itemized by project type;
284.17 	(2) the amount of private capital leveraged as a result of authority investments, itemized 
284.18 	by project type;
284.19 	(3) the number of qualified projects supported, itemized by project type and location 
284.20 	within Minnesota;
284.21 	(4) the estimated number of jobs created and tax revenue generated as a result of the 
284.22 	authority's activities;
284.23 	(5) the number of clean energy projects financed in low- and moderate-income 
284.24 	households; and
284.25 	(6) the authority's financial statements.

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

284.27 	Sec. 13. [216C.46] ENERGY ALLEY START-UP FUND.
284.28 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
284.29 	the meanings given.
285.1 	(b) "Decarbonization technology" means a technology whose implementation results in 
285.2 	a reduction in statewide greenhouse gas emissions, as defined in section 216H.01, subdivision 
285.3 	2.
285.4 	(c) "Emerging energy technology" means carbon-reducing energy technologies, systems, 
285.5 	or practices that are not yet at the commercialization stage.
285.6 	(d) "Qualified equity business" means a minority-, women-, or veteran-owned business, 
285.7 	as the terms are defined in section 116J.8737.
285.8 	(e) "Qualified greater Minnesota business" means a business that is certified by the 
285.9 	commissioner as a qualified small business and as a qualified greater Minnesota business 
285.10 	under section 116J.8737, subdivision 2.
285.11 		Subd. 2.Establishment; purpose. An energy alley start-up fund account is established 
285.12 	in the Department of Commerce to provide loans and grants to qualified businesses to:
285.13 	(1) promote the start-up, expansion, and attraction of emerging energy technologies and 
285.14 	businesses within Minnesota; and
285.15 	(2) stimulate other innovative decarbonization technology projects that are capable of 
285.16 	being developed at a large scale.
285.17 		Subd. 3.Account established. An energy alley start-up fund account is established in 
285.18 	the special revenue fund in the state treasury. Earnings, including interest, dividends, and 
285.19 	any other earnings arising from assets of the account, must be credited to the account. 
285.20 	Nonstate money obtained by the commissioner for the purposes of this section must be 
285.21 	credited to the account. The commissioner must manage the account. Money in the account 
285.22 	is appropriated to the commissioner for the purposes of this section and must be expended 
285.23 	only as provided in this section.
285.24 		Subd. 4.Nonstate contributions; influence prohibited. (a) The commissioner must 
285.25 	ensure any nonstate money deposited in the account, and the sources of nonstate money, 
285.26 	have no influence over (1) awarding grants or loans, or (2) other activities conducted under 
285.27 	this section.
285.28 	(b) The commissioner may retain no more than three percent annually of money credited 
285.29 	to the account for the department's administrative expenses.
285.30 		Subd. 5.Allocation of funds. Money in the account must be allocated as follows:
285.31 	(1) at least 50 percent to qualified greater Minnesota businesses or qualified equity 
285.32 	businesses;
286.1 	(2) up to 65 percent to establish a low-interest loan fund and loan loss reserve;
286.2 	(3) at least 35 percent to provide grants under this section.
286.3 		Subd. 6.Loans. (a) Loan recipients must repay loan amounts awarded under this section 
286.4 	by the end of the loan term. Loan repayment amounts must be credited to the account. The 
286.5 	department may use up to ten percent of the low-interest land funds or 6.5 percent of total 
286.6 	money available, whichever is greater, under this section to: (1) establish a loan loss reserve 
286.7 	in order to leverage additional investments; (2) ensure funding for emerging, innovative 
286.8 	energy products; and (3) ensure accessibility by small businesses.
286.9 	(b) No loans may be awarded under this section after June 30, 2025.
286.10 		Subd. 7.Application process. (a) An application for a grant or loan under this section 
286.11 	must be made to the commissioner on a form developed by the commissioner.
286.12 	(b) An application made under this section must be evaluated by the investment committee 
286.13 	established under subdivision 10.
286.14 	(c) The commissioner must develop administrative procedures necessary to implement 
286.15 	this section.
286.16 		Subd. 8.Grant awards; limitations. (a) The commissioner must award grants under 
286.17 	this section to eligible applicants through a competitive process.
286.18 	(b) An eligible entity must be (1) located in Minnesota, or (2) able to demonstrate how 
286.19 	the grant directly and significantly benefits Minnesotans in a manner that meets criteria 
286.20 	established by the commissioner.
286.21 		Subd. 9.Technical advisory committee; membership. (a) The commissioner must 
286.22 	establish and appoint members to the technical advisory committee to assist in the 
286.23 	development of criteria governing the award of grants under this section. The technical 
286.24 	advisory committee must have expertise in energy research and development, energy 
286.25 	conservation, clean energy technology development, economic development, or energy 
286.26 	project financing.
286.27 	(b) The commissioner must appoint members to the technical advisory committee who 
286.28 	collectively reflect the geographic and ethnic diversity of Minnesota.
286.29 	(c) Members of the technical advisory committee must comply with the conflicts of 
286.30 	interest provisions under section 43A.38.
286.31 		Subd. 10.Investment committee; duties; membership. (a) The commissioner, in 
286.32 	consultation with the commissioner of employment and economic development, must 
287.1 	establish and appoint members to an investment committee to review and recommend 
287.2 	applications for grant and loan awards under this section.
287.3 	(b) The investment committee must consist of seven members with expertise and 
287.4 	experience in investments and finance. The commissioner or the commissioner's designee, 
287.5 	and the commissioner of employment and economic development or the commissioner of 
287.6 	employment and economic development's designee, must serve as members of the investment 
287.7 	committee. The commissioner or the commissioner's designee serves as chair of the 
287.8 	investment committee.
287.9 	(c) The commissioner must appoint members of the investment committee who 
287.10 	collectively reflect the geographic and ethnic diversity of Minnesota.
287.11 	(d) Members of the investment committee must comply with the conflicts of interest 
287.12 	provisions under section 43A.38. Entities represented by members of the investment 
287.13 	committee are ineligible to receive grants under this section.
287.14 		Subd. 11.Annual report; audit. On or before February 15, 2024, and by February 15 
287.15 	each year thereafter, the commissioner must report on the activities of the fund for the 
287.16 	preceding calendar year to the chairs and ranking minority members of the senate and house 
287.17 	of representatives committees with jurisdiction over energy finance and policy and economic 
287.18 	development finance. The report must include but is not limited to information specifying:
287.19 	(1) the number of applications for funding received;
287.20 	(2) the number of applications selected for grants and loans;
287.21 	(3) the total amount of grants and loans issued in the previous year and to date, itemized 
287.22 	by project type; and
287.23 	(4) a complete operating and financial statement covering the fund's operations for the 
287.24 	preceding year.

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

287.26 	Sec. 14. [216C.47] GRANTS FOR RENEWABLE INTEGRATION AND 
287.27 	DEMONSTRATION.
287.28 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
287.29 	the meanings given.
287.30 	(b) "Grid modernization" means:
287.31 	(1) enhancing electric grid service quality and reliability;
288.1 	(2) improving the security of the electric grid and critical infrastructure against 
288.2 	cyberthreats and physical threats; and
288.3 	(3) increasing energy conservation opportunities by facilitating communication between 
288.4 	the utility and the utility's customers through the use of two-way meters, control technologies, 
288.5 	energy storage and microgrids, technologies that enable demand flexibility, and other 
288.6 	innovative technologies.
288.7 	(c) "Renewable energy" has the meaning given in section 216B.2422, subdivision 1, 
288.8 	paragraph (c).
288.9 		Subd. 2.Establishment; purpose. A grants for renewable integration and demonstration 
288.10 	program is established in the department. The purpose of the program is to provide grants 
288.11 	for projects to:
288.12 	(1) stimulate research, deployment, and grid integration of renewable electric energy 
288.13 	technologies;
288.14 	(2) encourage grid modernization, including but not limited to projects that implement 
288.15 	electricity storage, generation control, load control, and smart meter technology; and
288.16 	(3) stimulate other innovative energy projects that (i) reduce demand, and (ii) increase 
288.17 	system efficiency and flexibility to benefit customers of the utility that owns nuclear 
288.18 	generating units in Minnesota.
288.19 		Subd. 3.Program account. A grants for renewable integration and demonstration 
288.20 	program account is established as a separate account in the special revenue fund in the state 
288.21 	treasury.
288.22 		Subd. 4.Expenditures. Money in the account may be used only:
288.23 	(1) for grant awards made under this section;
288.24 	(2) for costs to procure technical evaluation services; and
288.25 	(3) to pay reasonable costs incurred by the department to administer this section.
288.26 		Subd. 5.Eligibility. The commissioner must determine whether a project is eligible for 
288.27 	a grant under this section. When evaluating a project for approval, the commissioner must 
288.28 	consider:
288.29 	(1) diversity, equity, and inclusion;
288.30 	(2) greenhouse gas emissions;
288.31 	(3) resiliency value;
289.1 	(4) grid security;
289.2 	(5) jobs and economic development; and
289.3 	(6) other potential benefits to Minnesota citizens and businesses, ratepayers receiving 
289.4 	electric service from the utility that owns a nuclear-powered electric generating plant in 
289.5 	Minnesota, the Prairie Island Indian community, or Prairie Island Indian community 
289.6 	members.
289.7 		Subd. 6.Reporting. (a) A project that receives money from a grant approved under this 
289.8 	section must produce a written final report that includes sufficient detail for technical readers 
289.9 	and a clearly written summary for nontechnical readers. The report must include an evaluation 
289.10 	of the project's financial, environmental, and other benefits to Minnesota and the public 
289.11 	utility's ratepayers.
289.12 	(b) Final reports, any project status reports, and grants for renewable integration and 
289.13 	demonstration program balances must be posted on a public website designated by the 
289.14 	commissioner.
289.15 	(c) All final reports must acknowledge that the project was made possible in whole or 
289.16 	part by the Minnesota renewable development account, noting that the account is financed 
289.17 	by the public utility's ratepayers.
289.18 	(d) By February 15 each year, the commissioner must report to the chairs and ranking 
289.19 	minority members of the legislative committees with primary jurisdiction over energy 
289.20 	regarding: (1) grants issued under this section during the previous calendar year; and (2) 
289.21 	any remaining balance available under this section.
289.22 		Subd. 7.Gifts; grants; donations. The program may accept gifts and grants on behalf 
289.23 	of the state that constitute donations to the state. Money received under this subdivision is 
289.24 	appropriated to the commissioner of commerce to support the program under this section.

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

289.26 	Sec. 15. Minnesota Statutes 2020, section 216E.03, subdivision 7, is amended to read:
289.27 		Subd. 7.Considerations in designating sites and routes. (a) The commission's site 
289.28 	and route permit determinations must be guided by the state's goals to conserve resources, 
289.29 	minimize environmental impacts, minimize human settlement and other land use conflicts, 
289.30 	and ensure the state's electric energy security through efficient, cost-effective power supply 
289.31 	and electric transmission infrastructure.
290.1 	(b) To facilitate the study, research, evaluation, and designation of sites and routes, the 
290.2 	commission shall be guided by, but not limited to, the following considerations:
290.3 	(1) evaluation of research and investigations relating to the effects on land, water and 
290.4 	air resources of large electric power generating plants and high-voltage transmission lines 
290.5 	and the effects of water and air discharges and electric and magnetic fields resulting from 
290.6 	such facilities on public health and welfare, vegetation, animals, materials and aesthetic 
290.7 	values, including baseline studies, predictive modeling, and evaluation of new or improved 
290.8 	methods for minimizing adverse impacts of water and air discharges and other matters 
290.9 	pertaining to the effects of power plants on the water and air environment;
290.10 	(2) environmental evaluation of sites and routes proposed for future development and 
290.11 	expansion and their relationship to the land, water, air and human resources of the state;
290.12 	(3) evaluation of the effects of new electric power generation and transmission 
290.13 	technologies and systems related to power plants designed to minimize adverse environmental 
290.14 	effects;
290.15 	(4) evaluation of the potential for beneficial uses of waste energy from proposed large 
290.16 	electric power generating plants;
290.17 	(5) analysis of the direct and indirect economic impact of proposed sites and routes 
290.18 	including, but not limited to, productive agricultural land lost or impaired;
290.19 	(6) evaluation of adverse direct and indirect environmental effects that cannot be avoided 
290.20 	should the proposed site and route be accepted;
290.21 	(7) evaluation of alternatives to the applicant's proposed site or route proposed pursuant 
290.22 	to subdivisions 1 and 2;
290.23 	(8) evaluation of potential routes that would use or parallel existing railroad and highway 
290.24 	rights-of-way;
290.25 	(9) evaluation of governmental survey lines and other natural division lines of agricultural 
290.26 	land so as to minimize interference with agricultural operations;
290.27 	(10) evaluation of the future needs for additional high-voltage transmission lines in the 
290.28 	same general area as any proposed route, and the advisability of ordering the construction 
290.29 	of structures capable of expansion in transmission capacity through multiple circuiting or 
290.30 	design modifications;
290.31 	(11) evaluation of irreversible and irretrievable commitments of resources should the 
290.32 	proposed site or route be approved; and
291.1 	(12) when appropriate, consideration of problems raised by other state and federal 
291.2 	agencies and local entities.;
291.3 	(13) evaluation of the benefits of the proposed facility with respect to protecting and 
291.4 	enhancing environmental quality, and to the reliability of state and regional energy supplies;
291.5 	(14) evaluation of the proposed facility's impact on socioeconomic factors; and
291.6 	(15) evaluation of the proposed facility's employment and economic impacts in the 
291.7 	vicinity of the facility site and throughout the state, including the quantity and quality of 
291.8 	construction and permanent jobs and the jobs' compensation levels. The commission must 
291.9 	consider a facility's local employment and economic impacts, and may reject or place 
291.10 	conditions on a site or route permit based on the factors under this clause.
291.11 	(c) If the commission's rules are substantially similar to existing regulations of a federal 
291.12 	agency to which the utility in the state is subject, the federal regulations must be applied by 
291.13 	the commission.
291.14 	(d) No site or route shall be designated which violates state agency rules.
291.15 	(e) The commission must make specific findings that it has considered locating a route 
291.16 	for a high-voltage transmission line on an existing high-voltage transmission route and the 
291.17 	use of parallel existing highway right-of-way and, to the extent those are not used for the 
291.18 	route, the commission must state the reasons.

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

291.20 	Sec. 16. Minnesota Statutes 2020, section 216E.03, subdivision 10, is amended to read:
291.21 		Subd. 10.Final decision. (a) No site permit shall be issued in violation of the site 
291.22 	selection standards and criteria established in this section and in rules adopted by the 
291.23 	commission. When the commission designates a site, it shall issue a site permit to the 
291.24 	applicant with any appropriate conditions. The commission shall publish a notice of its 
291.25 	decision in the State Register within 30 days of issuance of the site permit.
291.26 	(b) No route permit shall be issued in violation of the route selection standards and 
291.27 	criteria established in this section and in rules adopted by the commission. When the 
291.28 	commission designates a route, it shall issue a permit for the construction of a high-voltage 
291.29 	transmission line specifying the design, routing, right-of-way preparation, and facility 
291.30 	construction it deems necessary, and with any other appropriate conditions. The commission 
291.31 	may order the construction of high-voltage transmission line facilities that are capable of 
291.32 	expansion in transmission capacity through multiple circuiting or design modifications. The 
292.1 	commission shall publish a notice of its decision in the State Register within 30 days of 
292.2 	issuance of the permit.
292.3 	(c) No site permit may be issued under this chapter for a large electric power generating 
292.4 	plant, including the modification of a site permit for a repowering project, as defined in 
292.5 	section 216B.243, subdivision 8, paragraph (b), unless the applicant certifies to the 
292.6 	commission in writing that all employees who perform construction work on the large 
292.7 	electric power generating plant, including the employees of contractors and subcontractors, 
292.8 	are paid no less than the prevailing wage, as defined in section 177.42.

292.9 	EFFECTIVE DATE. This section is effective the day following final enactment and 
292.10 	applies to a site permit, or the modification of a site permit for a repowering project, whose 
292.11 	application is filed with the commission on or after that date.

292.12 	Sec. 17. Minnesota Statutes 2020, section 216F.04, is amended to read:
292.13 	216F.04 SITE PERMIT.
292.14 	(a) No person may construct an LWECS without a site permit issued by the Public 
292.15 	Utilities Commission.
292.16 	(b) Any person seeking to construct an LWECS shall submit an application to the 
292.17 	commission for a site permit in accordance with this chapter and any rules adopted by the 
292.18 	commission. The permitted site need not be contiguous land.
292.19 	(c) The commission shall make a final decision on an application for a site permit for 
292.20 	an LWECS within 180 days after acceptance of a complete application by the commission. 
292.21 	The commission may extend this deadline for cause.
292.22 	(d) The commission may place conditions in a permit and may deny, modify, suspend, 
292.23 	or revoke a permit.
292.24 	(e) No site permit may be issued for an LWECS with a combined nameplate capacity 
292.25 	of 25,000 kilowatts or more under this chapter, including the modification of a site permit 
292.26 	for a repowering project, as defined in section 216B.243, subdivision 8, paragraph (b), 
292.27 	unless the applicant certifies in writing to the commission that all employees who perform 
292.28 	construction work on the LWECS, including the employees of contractors and subcontractors, 
292.29 	are paid no less than the prevailing wage, as defined in section 177.42.

292.30 	EFFECTIVE DATE. This section is effective the day following final enactment and 
292.31 	applies to a site permit, or the modification of a site permit for a repowering project, whose 
292.32 	application is filed with the commission on or after that date.

293.1 	ARTICLE 25
293.2 	GREENHOUSE GAS EMISSIONS

293.3 	Section 1. Minnesota Statutes 2020, section 216B.2422, subdivision 3, is amended to read:
293.4 		Subd. 3.Environmental costs. (a) The commission shall, to the extent practicable using 
293.5 	the best available scientific and economic information and data, quantify and establish a 
293.6 	range of environmental costs associated with each method of electricity generation. The 
293.7 	commission must (1) adopt and apply the interim cost of greenhouse gas emissions valuations 
293.8 	presented in Technical Support Document: Social Cost of Carbon, Methane, and Nitrous 
293.9 	Oxide Interim Estimates, released by the federal government in February 2021, adopting 
293.10 	the 300-year time horizon and the full range of discount rates from 2.5 to five percent, with 
293.11 	three percent as the central estimate; and (2) update the parameters as necessary to conform 
293.12 	with updates released by the federal Interagency Working Group on the Social Cost of 
293.13 	Greenhouse Gases, or the working group's successors, that are above the February 2021 
293.14 	interim valuations.
293.15 	(b) When evaluating and selecting resource options in all proceedings before the 
293.16 	commission, including but not limited to proceedings regarding power purchase agreements, 
293.17 	resource plans, and certificates of need, a utility shall must use the values established by 
293.18 	the commission in conjunction with other external factors, including socioeconomic costs, 
293.19 	when evaluating and selecting resource options in all proceedings before the commission, 
293.20 	including resource plan and certificate of need proceedings. under this subdivision to quantify 
293.21 	and monetize greenhouse gas and other emissions from the full lifecycle of fuels used for 
293.22 	in-state or imported electricity generation, including extraction, processing, transport, and 
293.23 	combustion.
293.24 	(c) When evaluating resource options, the commission must include and consider the 
293.25 	environmental cost values adopted under this subdivision. When considering the costs of a 
293.26 	nonrenewable energy facility under this section, the commission must consider only nonzero 
293.27 	values for the environmental costs analyzed under this subdivision, including both the low 
293.28 	and high values of any cost range adopted by the commission.
293.29 	(b) The commission shall establish interim environmental cost values associated with 
293.30 	each method of electricity generation by March 1, 1994. These values expire on the date 
293.31 	the commission establishes environmental cost values under paragraph (a).

293.32 	EFFECTIVE DATE. This section is effective August 1, 2022, and applies to dockets 
293.33 	initiated at the Public Utilities Commission on or after that date.

294.1 	Sec. 2. BUY CLEAN TASK FORCE.
 294.2 	(a) No later than June 30, 2022, the commissioners of administration and transportation 
294.3 	must establish an environmental standards procurement task force to examine issues 
294.4 	surrounding the implementation of a program requiring vendors of certain construction 
294.5 	materials purchased by the state to:
294.6 	(1) submit environmental product declarations that assess the lifecycle environmental 
294.7 	impacts of the construction materials to state officials as part of the procurement process; 
294.8 	and
294.9 	(2) meet standards established by the commissioner of administration that limit 
294.10 	greenhouse gas emissions impacts of the construction materials.
294.11 	(b) The task force must examine, at a minimum, the following issues:
294.12 	(1) which construction materials should be subject to the program requirements;
294.13 	(2) what factors should be considered in establishing greenhouse gas emissions standards;
294.14 	(3) a schedule to develop standards for specific materials and incorporate the standards 
294.15 	into the purchasing process;
294.16 	(4) the development and use of financial incentives to reward vendors for developing 
294.17 	products whose greenhouse gas emissions are below the standards;
294.18 	(5) the provision of grants to defer a vendor's cost to obtain environmental product 
294.19 	declarations;
294.20 	(6) how the issues in clauses (1) to (5) are addressed by existing programs in other states 
294.21 	and countries; and
294.22 	(7) any other issues the task force deems relevant.
294.23 	(c) The advisory committee must include two members of the house of representatives 
294.24 	appointed by the speaker of the house of representatives and two members of the senate 
294.25 	appointed by the senate majority leader. The commissioners of administration and 
294.26 	transportation must appoint additional members of the advisory committee, who must include 
294.27 	but may not be limited to representatives of:
294.28 	(1) the Departments of Administration and Transportation;
294.29 	(2) the Center for Sustainable Building Research at the University of Minnesota;
294.30 	(3) manufacturers of eligible materials;
294.31 	(4) suppliers of eligible materials;
295.1 	(5) building and transportation construction firms;
295.2 	(6) organized labor in the construction trades;
295.3 	(7) organized labor representing materials manufacturing workers; and
295.4 	(8) environmental advocacy organizations.
295.5 	(d) The Department of Administration must provide meeting space and serve as staff to 
295.6 	the advisory committee.
295.7 	(e) The commissioner of administration, or the commissioner's designee, shall serve as 
295.8 	chair of the advisory committee. The advisory committee must meet at least four times 
295.9 	annually and must convene additional meetings at the call of the chair.
295.10 	(f) The commissioner of administration must summarize the findings and 
295.11 	recommendations of the task force in a report submitted to the chairs and ranking minority 
295.12 	members of the senate and house of representatives committees with primary jurisdiction 
295.13 	over state government, transportation, and energy no later than January 1, 2023.
295.14 	(g) The advisory committee is subject to section 15.059, subdivision 6.
295.15 	(h) For the purposes of this section, "environmental product declaration" means a 
295.16 	supply-chain-specific type III environmental product declaration that:
295.17 	(1) contains a lifecycle assessment of the environmental impacts of manufacturing a 
295.18 	specific product by a specific firm, including the impacts of extracting and producing the 
295.19 	raw materials and components that compose the product;
295.20 	(2) is verified and registered by a third party; and
295.21 	(3) meets the ISO 14025 standard developed and maintained by the International 
295.22 	Organization for Standardization (ISO).

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

295.24 	Sec. 3. LOCAL CLIMATE ACTION GRANT PROGRAM.
 295.25 		Subdivision 1.Definitions. For the purpose of this section, the following terms have 
295.26 	the meanings given:
295.27 	(1) "climate change" means a change in global or regional climate patterns associated 
295.28 	with increased levels of greenhouse gas emissions entering the atmosphere largely as a 
295.29 	result of human activity;
295.30 	(2) "commissioner" means the commissioner of the Pollution Control Agency;
296.1 	(3) "greenhouse gas emission" means an emission of carbon dioxide, methane, nitrous 
296.2 	oxide, chlorofluorocarbons, hydrofluorocarbons, sulfur hexafluoride, and other gases that 
296.3 	trap heat in the atmosphere; and
296.4 	(4) "political subdivision" means a county, home rule charter or statutory city, town, or 
296.5 	school district.
296.6 		Subd. 2.Establishment. The commissioner must establish a local climate action grant 
296.7 	program in the Pollution Control Agency. The purpose of the program is to provide grants 
296.8 	to encourage political subdivisions to address climate change by developing and 
296.9 	implementing plans of action or creating new organizations and institutions to devise policies 
296.10 	and programs that:
296.11 	(1) seek to mitigate the impacts of climate change on the political subdivision; or
296.12 	(2) reduce the political subdivision's contributions to the causes of climate change.
296.13 		Subd. 3.Application. (a) Application for a grant under this section must be made to the 
296.14 	commissioner on a form developed by the commissioner. The commissioner must develop 
296.15 	procedures to (1) solicit and review applications, and (2) award grants under this section.
296.16 	(b) Eligible applicants for a grant under this section must be located in or conduct the 
296.17 	preponderance of the applicant's work in the locality where the grant activities are to take 
296.18 	place. Eligible applicants include political subdivisions, organizations that are exempt from 
296.19 	taxation under section 501(c)(3) of the Internal Revenue Code, and educational institutions.
296.20 		Subd. 4.Awarding grants. When awarding grants under this section, the commissioner 
296.21 	must give preference to proposals that seek to involve a broad array of community residents, 
296.22 	organizations, and institutions in the political subdivision's efforts to address climate change.
296.23 		Subd. 5.Grant amounts. (a) A grant awarded under this section must not exceed 
296.24 	$50,000.
296.25 	(b) A grant awarded under this section for activities taking place at a county-wide level 
296.26 	or in a city or town with a population that exceeds 20,000 must be matched 100 percent 
296.27 	with local funding.
296.28 	(c) A grant awarded under this section for activities taking place in a city or town with 
296.29 	a population that is less than 20,000 or in a school district must be matched a minimum of 
296.30 	five percent with local funding or equivalent in-kind services.
296.31 		Subd. 6.Eligible expenditures. Appropriations made to support the activities of this 
296.32 	section may be used only to:
297.1 	(1) provide grants under this section; and
297.2 	(2) reimburse the reasonable expenses incurred by the Pollution Control Agency to 
297.3 	administer the grant program.

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

297.5 	ARTICLE 26
297.6 	MISCELLANEOUS

297.7 	Section 1. Minnesota Statutes 2020, section 116C.779, subdivision 1, is amended to read:
297.8 		Subdivision 1.Renewable development account. (a) The renewable development 
297.9 	account is established as a separate account in the special revenue fund in the state treasury. 
297.10 	Appropriations and transfers to the account shall be credited to the account. Earnings, such 
297.11 	as interest, dividends, and any other earnings arising from assets of the account, shall be 
297.12 	credited to the account. Funds remaining in the account at the end of a fiscal year are not 
297.13 	canceled to the general fund but remain in the account until expended. The account shall 
297.14 	be administered by the commissioner of management and budget as provided under this 
297.15 	section.
297.16 	(b) On July 1, 2017, the public utility that owns the Prairie Island nuclear generating 
297.17 	plant must transfer all funds in the renewable development account previously established 
297.18 	under this subdivision and managed by the public utility to the renewable development 
297.19 	account established in paragraph (a). Funds awarded to grantees in previous grant cycles 
297.20 	that have not yet been expended and unencumbered funds required to be paid in calendar 
297.21 	year 2017 under paragraphs (f) and (g), and sections 116C.7792 and 216C.41, are not subject 
297.22 	to transfer under this paragraph.
297.23 	(c) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing 
297.24 	each January 15 thereafter, the public utility that owns the Prairie Island nuclear generating 
297.25 	plant must transfer to the renewable development account $500,000 each year for each dry 
297.26 	cask containing spent fuel that is located at the Prairie Island power plant for each year the 
297.27 	plant is in operation, and $7,500,000 each year the plant is not in operation if ordered by 
297.28 	the commission pursuant to paragraph (i). The fund transfer must be made if nuclear waste 
297.29 	is stored in a dry cask at the independent spent-fuel storage facility at Prairie Island for any 
297.30 	part of a year.
297.31 	(d) Except as provided in subdivision 1a, beginning January 15, 2018, and continuing 
297.32 	each January 15 thereafter, the public utility that owns the Monticello nuclear generating 
297.33 	plant must transfer to the renewable development account $350,000 each year for each dry 
298.1 	cask containing spent fuel that is located at the Monticello nuclear power plant for each 
298.2 	year the plant is in operation, and $5,250,000 each year the plant is not in operation if ordered 
298.3 	by the commission pursuant to paragraph (i). The fund transfer must be made if nuclear 
298.4 	waste is stored in a dry cask at the independent spent-fuel storage facility at Monticello for 
298.5 	any part of a year.
298.6 	(e) Each year, the public utility shall withhold from the funds transferred to the renewable 
298.7 	development account under paragraphs (c) and (d) the amount necessary to pay its obligations 
298.8 	under paragraphs (f) and (g), and sections 116C.7792 and 216C.41, for that calendar year.
298.9 	(f) If the commission approves a new or amended power purchase agreement, the 
298.10 	termination of a power purchase agreement, or the purchase and closure of a facility under 
298.11 	section 216B.2424, subdivision 9, with an entity that uses poultry litter to generate electricity, 
298.12 	the public utility subject to this section shall enter into a contract with the city in which the 
298.13 	poultry litter plant is located to provide grants to the city for the purposes of economic 
298.14 	development on the following schedule: $4,000,000 in fiscal year 2018; $6,500,000 each 
298.15 	fiscal year in 2019 and 2020; and $3,000,000 in fiscal year 2021. The grants shall be paid 
298.16 	by the public utility from funds withheld from the transfer to the renewable development 
298.17 	account, as provided in paragraphs (b) and (e).
298.18 	(g) If the commission approves a new or amended power purchase agreement, or the 
298.19 	termination of a power purchase agreement under section 216B.2424, subdivision 9, with 
298.20 	an entity owned or controlled, directly or indirectly, by two municipal utilities located north 
298.21 	of Constitutional Route No. 8, that was previously used to meet the biomass mandate in 
298.22 	section 216B.2424, the public utility that owns a nuclear generating plant shall enter into a 
298.23 	grant contract with such entity to provide $6,800,000 per year for five years, commencing 
298.24 	30 days after the commission approves the new or amended power purchase agreement, or 
298.25 	the termination of the power purchase agreement, and on each June 1 thereafter through 
298.26 	2021, to assist the transition required by the new, amended, or terminated power purchase 
298.27 	agreement. The grant shall be paid by the public utility from funds withheld from the transfer 
298.28 	to the renewable development account as provided in paragraphs (b) and (e).
298.29 	(h) The collective amount paid under the grant contracts awarded under paragraphs (f) 
298.30 	and (g) is limited to the amount deposited into the renewable development account, and its 
298.31 	predecessor, the renewable development account, established under this section, that was 
298.32 	not required to be deposited into the account under Laws 1994, chapter 641, article 1, section 
298.33 	10.
299.1 	(i) After discontinuation of operation of the Prairie Island nuclear plant or the Monticello 
299.2 	nuclear plant and each year spent nuclear fuel is stored in dry cask at the discontinued 
299.3 	facility, the commission shall require the public utility to pay $7,500,000 for the discontinued 
299.4 	Prairie Island facility and $5,250,000 for the discontinued Monticello facility for any year 
299.5 	in which the commission finds, by the preponderance of the evidence, that the public utility 
299.6 	did not make a good faith effort to remove the spent nuclear fuel stored at the facility to a 
299.7 	permanent or interim storage site out of the state. This determination shall be made at least 
299.8 	every two years.
299.9 	(j) Funds in the account may be expended only for any of the following purposes:
299.10 	(1) to stimulate research and development of renewable electric energy technologies;
299.11 	(2) to encourage grid modernization, including, but not limited to, projects that implement 
299.12 	electricity storage, load control, and smart meter technology; and
299.13 	(3) to stimulate other innovative energy projects that reduce demand and increase system 
299.14 	efficiency and flexibility.
299.15 	Expenditures from the fund must benefit Minnesota ratepayers receiving electric service 
299.16 	from the utility that owns a nuclear-powered electric generating plant in this state or the 
299.17 	Prairie Island Indian community or its members.
299.18 	The utility that owns a nuclear generating plant is eligible to apply for grants under this 
299.19 	subdivision.
299.20 	(k) For the purposes of paragraph (j), the following terms have the meanings given:
299.21 	(1) "renewable" has the meaning given in section 216B.2422, subdivision 1, paragraph 
299.22 	(c), clauses (1), (2), (4), and (5); and
299.23 	(2) "grid modernization" means:
299.24 	(i) enhancing the reliability of the electrical grid;
299.25 	(ii) improving the security of the electrical grid against cyberthreats and physical threats; 
299.26 	and
299.27 	(iii) increasing energy conservation opportunities by facilitating communication between 
299.28 	the utility and its customers through the use of two-way meters, control technologies, energy 
299.29 	storage and microgrids, technologies to enable demand response, and other innovative 
299.30 	technologies.
299.31 	(l) A renewable development account advisory group that includes, among others, 
299.32 	representatives of the public utility and its ratepayers, and includes at least one representative 
300.1 	of the Prairie Island Indian community appointed by that community's Tribal council, shall 
300.2 	develop recommendations on account expenditures. The advisory group must design a 
300.3 	request for proposal and evaluate projects submitted in response to a request for proposals. 
300.4 	The advisory group must utilize an independent third-party expert to evaluate proposals 
300.5 	submitted in response to a request for proposal, including all proposals made by the public 
300.6 	utility. A request for proposal for research and development under paragraph (j), clause (1), 
300.7 	may be limited to or include a request to higher education institutions located in Minnesota 
300.8 	for multiple projects authorized under paragraph (j), clause (1). The request for multiple 
300.9 	projects may include a provision that exempts the projects from the third-party expert review 
300.10 	and instead provides for project evaluation and selection by a merit peer review grant system. 
300.11 	In the process of determining request for proposal scope and subject and in evaluating 
300.12 	responses to request for proposals, the advisory group must strongly consider, where 
300.13 	reasonable,:
300.14 	(1) potential benefit to Minnesota citizens and businesses and the utility's ratepayers.; 
300.15 	and
300.16 	(2) the proposer's commitment to increasing the diversity of the proposer's workforce 
300.17 	and vendors.
300.18 	(m) The advisory group shall submit funding recommendations to the public utility, 
300.19 	which has full and sole authority to determine which expenditures shall be submitted by 
300.20 	the advisory group to the legislature. The commission may approve proposed expenditures, 
300.21 	may disapprove proposed expenditures that it finds not to be in compliance with this 
300.22 	subdivision or otherwise not in the public interest, and may, if agreed to by the public utility, 
300.23 	modify proposed expenditures. The commission shall, by order, submit its funding 
300.24 	recommendations to the legislature as provided under paragraph (n).
300.25 	(n) The commission shall present its recommended appropriations from the account to 
300.26 	the senate and house of representatives committees with jurisdiction over energy policy and 
300.27 	finance annually by February 15 following any year in which the commission has acted on 
300.28 	recommendations submitted by the advisory group and the public utility. Expenditures from 
300.29 	the account must be appropriated by law. In enacting appropriations from the account, the 
300.30 	legislature:
300.31 	(1) may approve or disapprove, but may not modify, the amount of an appropriation for 
300.32 	a project recommended by the commission; and
300.33 	(2) may not appropriate money for a project the commission has not recommended 
300.34 	funding.
301.1 	(o) A request for proposal for renewable energy generation projects must, when feasible 
301.2 	and reasonable, give preference to projects that are most cost-effective for a particular energy 
301.3 	source.
301.4 	(p) The advisory group must annually, by February 15, report to the chairs and ranking 
301.5 	minority members of the legislative committees with jurisdiction over energy policy on 
301.6 	projects funded by the account for the prior year and all previous years. The report must, 
301.7 	to the extent possible and reasonable, itemize the actual and projected financial benefit to 
301.8 	the public utility's ratepayers of each project.
301.9 	(q) By February 1, 2018, and each February 1 thereafter, the commissioner of 
301.10 	management and budget shall submit a written report regarding the availability of funds in 
301.11 	and obligations of the account to the chairs and ranking minority members of the senate 
301.12 	and house committees with jurisdiction over energy policy and finance, the public utility, 
301.13 	and the advisory group.
301.14 	(r) A project receiving funds from the account must produce a written final report that 
301.15 	includes sufficient detail for technical readers and a clearly written summary for nontechnical 
301.16 	readers. The report must include an evaluation of the project's financial, environmental, and 
301.17 	other benefits to the state and the public utility's ratepayers. A project receiving money from 
301.18 	the account must submit a report that meets the requirements of section 216C.51, subdivisions 
301.19 	3 and 4, each year the project funded by the account is in progress.
301.20 	(s) Final reports, any mid-project status reports, and renewable development account 
301.21 	financial reports must be posted online on a public website designated by the commissioner 
301.22 	of commerce.
301.23 	(t) All final reports must acknowledge that the project was made possible in whole or 
301.24 	part by the Minnesota renewable development account, noting that the account is financed 
301.25 	by the public utility's ratepayers.
301.26 	(u) Of the amount in the renewable development account, priority must be given to 
301.27 	making the payments required under section 216C.417.

301.28 	Sec. 2. [216C.391] MINNESOTA STATE COMPETITIVENESS FUND.
301.29 		Subdivision 1.Establishment; purpose. (a) A state competitiveness fund account is 
301.30 	created in the special revenue fund of the state treasury. The commissioner must credit to 
301.31 	the account appropriations and transfers to the account. Earnings, such as interest, dividends, 
301.32 	and any other earnings arising from assets of the account, must be credited to the account. 
302.1 	Money remaining in the account at the end of a fiscal year does not cancel to the general 
302.2 	fund but remains in the account until expended. The commissioner must manage the account.
302.3 	(b) The money in the account must be used to:
302.4 	(1) meet requirements to match federal funds awarded to the state by the United States 
302.5 	Department of Energy or another federal entity;
302.6 	(2) increase Minnesota's ability to successfully compete for federal funds;
302.7 	(3) assist eligible entities to access available federal funds; or
302.8 	(4) pay the reasonable costs incurred by the department to:
302.9 	(i) pursue and administer energy-related federal funds; and
302.10 	(ii) assist eligible grantees in the pursuit and management of energy-related federal 
302.11 	funds.
302.12 	(c) State matching grants may be awarded to eligible entities, as defined by the federal 
302.13 	fund source, with priority given in the following order:
302.14 	(1) federal formula funds directed to the state that require a match;
302.15 	(2) federal formula or competitive funds in which a state match allows disadvantaged 
302.16 	communities, utilities, or businesses to be competitive in the pursuit of funding; and
302.17 	(3) all other competitive or formula grant opportunities in which matching state funds 
302.18 	enhance or enable federal dollars to be leveraged.
302.19 	(d) By August 1, 2022, the department must establish and convene a Minnesota State 
302.20 	Competitiveness Fund Advisory Task Force.
302.21 	(e) By October 1, 2022, the advisory task force must develop administrative procedures 
302.22 	governing the determination of state grants so that the grant money is prioritized, to the 
302.23 	extent practicable, in an equitable manner.
302.24 		Subd. 2.Advisory task force; membership. (a) The Minnesota State Competitiveness 
302.25 	Fund Advisory Task Force is established and consists of 13 members as follows:
302.26 	(1) the commissioner of commerce or the commissioner's designee, who serves as a 
302.27 	nonvoting chair of the advisory task force;
302.28 	(2) the chair of the house of representatives committee having jurisdiction over energy 
302.29 	finance and policy or the chair's designee;
303.1 	(3) the chair of the senate committee having jurisdiction over energy finance and policy 
303.2 	or the chair's designee;
303.3 	(4) the chair of the Public Utilities Commission or the chair's designee, as a nonvoting 
303.4 	member; and
303.5 	(5) nine members determined by the commissioner and chairs that represent the following 
303.6 	interests and entities:
303.7 	(i) two members representing Minnesota utilities;
303.8 	(ii) one member representing labor;
303.9 	(iii) two members representing energy justice, rural, low-income, or historically 
303.10 	disadvantaged communities;
303.11 	(iv) one member representing clean energy businesses;
303.12 	(v) one member representing manufacturing;
303.13 	(vi) one member representing higher education; and
303.14 	(vii) one member with policy or implementation expertise on workforce development 
303.15 	for displaced energy workers or persons from low-income or environmental justice 
303.16 	communities.
303.17 	(b) A voting member serving on the Minnesota State Competitiveness Fund Advisory 
303.18 	Task Force and the voting member's respective organization are ineligible from receiving 
303.19 	state matching funds authorized under this section. A nominal stipend may be provided 
303.20 	from grant funds to participating members who would otherwise be unable to attend.
303.21 		Subd. 3.Report; audit. Beginning February 15, 2024, and each year thereafter until 
303.22 	February 15, 2035, the commissioner must report to the chairs and ranking minority members 
303.23 	of the legislative committees with jurisdiction over energy finance and policy regarding: 
303.24 	(1) grants and amounts awarded under this section during the previous year; and (2) the 
303.25 	remaining balance available under this section and any additional funding opportunities 
303.26 	that require additional funding beyond the remaining balance.

303.27 	Sec. 3. [216C.45] RESIDENTIAL ELECTRIC PANEL UPGRADE GRANTS; PILOT 
303.28 	PROGRAM.
303.29 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
303.30 	the meanings given.
304.1 	(b) "Contractor" means a person licensed under section 326B.33 to perform work required 
304.2 	under this section, or the licensed person's employer.
304.3 	(c) "Electric panel" means a panel, including any subpanels, that consists of a main 
304.4 	circuit breaker that regulates several other circuit breakers to prevent overloading and 
304.5 	distributes electricity throughout a building.
304.6 	(d) "Income eligible" means:
304.7 	(1) a single-family residence whose residents received assistance from the federal 
304.8 	Low-Income Home Energy Assistance Program during the most recent program year or 
304.9 	who the commissioner determines are eligible to receive assistance under the federal 
304.10 	Low-Income Home Energy Assistance Program; or
304.11 	(2) a multifamily building in which at least 66 percent of the units are occupied by 
304.12 	households whose income is 60 percent or less of the state median individual or household 
304.13 	income, as applicable.
304.14 	(e) "Multifamily building" means a building that contains two or more units.
304.15 	(f) "Phase I" means the phase of the program established in this section that begins when 
304.16 	the first grant application is received by the department and ends the later of one year after 
304.17 	the date the first grant application is received or when 40 percent of funds appropriated to 
304.18 	the program have been expended.
304.19 	(g) "Phase II" means the phase of the program established in this section that begins 
304.20 	when Phase I terminates and ends when the appropriation made under article 1, section 2, 
304.21 	subdivision 2, paragraph (d), is exhausted.
304.22 	(h) "Single-family residence" means a building that contains one unit or a manufactured 
304.23 	home, as defined in section 327.31, subdivision 6.
304.24 	(i) "Unit" means a residential living space occupied by an individual or a household.
304.25 	(j) "Upgrade" means:
304.26 	(1) for a single-family residence:
304.27 	(i) the installation of equipment or devices required to bring an electrical panel to a total 
304.28 	rating of not less than 200 amperes; and
304.29 	(ii) the repair or replacement of the wiring attached to the equipment or devices in item 
304.30 	(i) to ensure safe operation; or
304.31 	(2) for a multifamily building:
305.1 	(i) the installation of equipment or devices required to bring an electrical panel to a rating 
305.2 	that allows for full electrification of the building, as described in National Electrical Code 
305.3 	Section 220; and
305.4 	(ii) the repair or replacement of the wiring attached to the equipment or devices in item 
305.5 	(i) to ensure safe operation.
305.6 		Subd. 2.Program establishment. A residential electric panel upgrade grant program 
305.7 	is established as a pilot program in the department to provide financial assistance to owners 
305.8 	of single-family residences and multifamily buildings to upgrade a residence's electric panel.
305.9 		Subd. 3.Application process. An applicant seeking a grant under this section must 
305.10 	submit an application to the commissioner on a form developed by the commissioner. The 
305.11 	commissioner must develop administrative procedures to govern how eligibility is 
305.12 	determined, applications are reviewed, and grants are awarded. The commissioner is the 
305.13 	fiscal agent for the grant program and is responsible for reviewing applications and awarding 
305.14 	grants under this section. The commissioner may contract with a third party to conduct some 
305.15 	or all of the pilot program's operations.
305.16 		Subd. 4.Eligibility. (a) In Phase I, an owner of a single-family residence that is 
305.17 	income-eligible is eligible to receive a grant under this section.
305.18 	(b) In Phase I, an owner of a multifamily building that is income-eligible is eligible to 
305.19 	receive a grant under this section.
305.20 	(c) In Phase II, all owners of single-family residences and multifamily buildings are 
305.21 	eligible to receive a grant under this section, regardless of the income of the occupants of 
305.22 	the building.
305.23 		Subd. 5.Grant awards. (a) A grant may be awarded under this section to:
305.24 	(1) an owner of a single-family residence or multifamily building;
305.25 	(2) a contractor performing an upgrade, provided that the contractor submits to the 
305.26 	commissioner written consent from the owner of the single-family residence or multifamily 
305.27 	building receiving the upgrade to receive a grant on behalf of the owner; or
305.28 	(3) a third party, provided that the third party submits to the commissioner written consent 
305.29 	from the owner of the single-family residence or multifamily building receiving the upgrade 
305.30 	to receive a grant on behalf of the owner.
306.1 	(b) At the discretion of the commissioner, a grant may be awarded for a single-family 
306.2 	home or multifamily building that is not income eligible under this section to reimburse the 
306.3 	cost of an upgrade that has previously been installed.
306.4 		Subd. 6.Grant amount. (a) A grant issued under this section must be used only to pay 
306.5 	the full equipment and installation costs of an upgrade made by an owner, subject to the 
306.6 	limits established in this subdivision.
306.7 	(b) The maximum grant amount under this section that may be awarded per single-family 
306.8 	residence that is:
306.9 	(1) income eligible is $10,000; and
306.10 	(2) not income eligible is $1,000.
306.11 	(c) The grant amount under this section that may be awarded per multifamily building 
306.12 	that is:
306.13 	(1) income eligible is the sum of (i) $9,500, plus (ii) $500 multiplied by the number of 
306.14 	units containing a separate electric panel that received an upgrade in the multifamily building, 
306.15 	not to exceed $50,000 per multifamily building; and
306.16 	(2) not income eligible is the sum of (i) $1,000, plus (ii) $500 multiplied by the number 
306.17 	of units containing a separate electric panel that received an upgrade in the multifamily 
306.18 	building, not to exceed $10,000 per multifamily building.
306.19 		Subd. 7.Limitation. No more than one grant may be awarded to an owner under this 
306.20 	section for work conducted at the same single-family residence or multifamily building.
306.21 		Subd. 8.Outreach. The department must publicize the availability of grants under this 
306.22 	section to, at a minimum:
306.23 	(1) income-eligible households;
306.24 	(2) community action agencies and other public and private nonprofit organizations that 
306.25 	provide weatherization and other energy services to income-eligible households; and
306.26 	(3) multifamily property owners and property managers.
306.27 		Subd. 9.Report. (a) No later than 120 days after the date each of Phases I and II of the 
306.28 	pilot program ends, the department must submit a report to the chairs and ranking minority 
306.29 	members of the legislative committees with primary jurisdiction over climate and energy 
306.30 	policy.
307.1 	(b) The report must summarize program outcomes and must report separately, at a 
307.2 	minimum:
307.3 	(1) the number of units in multifamily buildings and the number of single-family 
307.4 	residences whose owners received grants;
307.5 	(2) the median income of the households in multifamily buildings and in single-family 
307.6 	residences whose owners received grants; and
307.7 	(3) the average amount of grants awarded in multifamily buildings and in single-family 
307.8 	residences.

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

307.10 	Sec. 4. [216C.51] UTILITY DIVERSITY REPORTING.
307.11 		Subdivision 1.Policy. It is the policy of the state of Minnesota to encourage each utility 
307.12 	that serves Minnesota residents to focus on and improve the diversity of the utility's 
307.13 	workforce and suppliers.
307.14 		Subd. 2.Definitions. (a) For the purposes of this section, the following terms have the 
307.15 	meanings given.
307.16 	(b) "Certification" means official recognition by a governmental unit that a business is 
307.17 	a preferred vendor as a result of the characteristics of the business owner or owners or the 
307.18 	location of the business.
307.19 	(c) "Utility" has the meaning given in section 216C.06, subdivision 18.
307.20 		Subd. 3.Annual report. (a) Beginning March 15, 2023, and each March 15 thereafter, 
307.21 	each utility authorized to do business in Minnesota must file an annual diversity report to 
307.22 	the commissioner on:
307.23 	(1) the utility's goals and efforts to increase diversity in the workplace, including current 
307.24 	workforce representation numbers and percentages; and
307.25 	(2) all procurement goals and actual spending for female-owned, minority-owned, 
307.26 	veteran-owned, and small business enterprises during the previous calendar year.
307.27 	(b) The goals under paragraph (a), clause (2), must be expressed as a percentage of the 
307.28 	total work performed by the utility submitting the report. The actual spending for 
307.29 	female-owned, minority-owned, veteran-owned, and small business enterprises must also 
307.30 	be expressed as a percentage of the total work performed by the utility submitting the report.
308.1 		Subd. 4.Report elements. Each utility required to report under this section must include 
308.2 	the following in the annual report:
308.3 	(1) an explanation of the plan to increase diversity in the utility's workforce and suppliers 
308.4 	during the next year;
308.5 	(2) an explanation of the plan to increase the goals;
308.6 	(3) an explanation of the challenges faced to increase workforce and supplier diversity, 
308.7 	including suggestions regarding actions the department could take to help identify potential 
308.8 	employees and vendors;
308.9 	(4) a list of the certifications the company recognizes;
308.10 	(5) a point of contact for a potential employee or vendor that wishes to work for or do 
308.11 	business with the utility; and
308.12 	(6) a list of successful actions taken to increase workforce and supplier diversity, in 
308.13 	order to encourage other companies to emulate best practices.
308.14 		Subd. 5.State data. Each annual report must include as much state-specific data as 
308.15 	possible. If a utility does not submit state-specific data, the utility must include any relevant 
308.16 	national data the utility possesses, explain why the utility could not submit state-specific 
308.17 	data, and explain how the utility intends to include state-specific data in future reports, if 
308.18 	possible.
308.19 		Subd. 6.Publication; retention. The department must publish an annual report on the 
308.20 	department's website and must maintain each annual report for at least five years.

308.21 	Sec. 5. Minnesota Statutes 2020, section 216E.03, subdivision 1, is amended to read:
308.22 		Subdivision 1.Site permit. No person may construct a large electric power generating 
308.23 	plant without a site permit from the commission. A large electric generating plant may be 
308.24 	constructed only on a site approved by the commission. The commission must incorporate 
308.25 	into one proceeding the route selection for a high-voltage transmission line that is directly 
308.26 	associated with and necessary to interconnect the large electric generating plant to the 
308.27 	transmission system and whose need is certified under section 216B.243.

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

309.1 	Sec. 6. DECOMMISSIONING AND DEMOLITION PLAN FOR COAL-FIRED 
309.2 	PLANT.
 309.3 	As a part of the next resource plan filing under Minnesota Statutes, section 216B.2422, 
309.4 	subdivision 2, but no later than December 31, 2025, the public utility that owns an electric 
309.5 	generation facility that is powered by coal, scheduled for retirement in 2028, and located 
309.6 	within the St. Croix National Scenic Riverway must provide, to the extent known, the public 
309.7 	utility's plan and detailed timeline to decommission and demolish the electric generation 
309.8 	facility and remediate pollution at the electric generation facility site. The public utility 
309.9 	must also provide a copy of the plan and timeline to the governing body of the municipality 
309.10 	where the electric generation facility is located on the same date the plan and timeline are 
309.11 	submitted to the Public Utilities Commission. If a resource plan is not filed or required 
309.12 	before December 31, 2025, the plan and timeline must be submitted to the Public Utilities 
309.13 	Commission and the municipality as a separate filing by December 31, 2025.

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

309.15 	Sec. 7. TRIBAL ADVOCACY COUNCIL ON ENERGY; DEPARTMENT OF 
309.16 	COMMERCE SUPPORT.
 309.17 	(a) The Department of Commerce must provide technical support and subject matter 
309.18 	expertise to help facilitate efforts taken by the 11 federally recognized Indian Tribes in 
309.19 	Minnesota to establish and operate a Tribal advocacy council on energy.
309.20 	(b) When requested by a Tribal advocacy council on energy, the Department of Commerce 
309.21 	must assist the council to:
309.22 	(1) assess and evaluate common Tribal energy issues, including:
309.23 	(i) identifying and prioritizing energy issues;
309.24 	(ii) facilitating idea sharing among the Tribes to generate solutions to energy issues; and
309.25 	(iii) assisting decision making with respect to resolving energy issues;
309.26 	(2) develop new statewide energy policies or proposed legislation, including:
309.27 	(i) organizing stakeholder meetings;
309.28 	(ii) gathering input and other relevant information;
309.29 	(iii) assisting with policy proposal development, evaluation, and decision making; and
309.30 	(iv) helping facilitate actions taken to submit, and obtain approval for or have enacted, 
309.31 	policies or legislation approved by the council;
310.1 	(3) make efforts to raise awareness of and provide educational opportunities with respect 
310.2 	to Tribal energy issues among Tribal members by:
310.3 	(i) identifying information resources;
310.4 	(ii) gathering feedback on issues and topics the council identifies as areas of interest; 
310.5 	and
310.6 	(iii) identifying topics for and helping to facilitate educational forums; and
310.7 	(4) identify, evaluate, disseminate, and implement successful energy-related practices.
310.8 	(c) Nothing in this section requires or otherwise obligates the 11 federally recognized 
310.9 	Indian Tribes in Minnesota to establish a Tribal advocacy council on energy, nor does it 
310.10 	require or obligate a federally recognized Indian Tribe in Minnesota to participate in or 
310.11 	implement a decision or support an effort made by a Tribal advocacy council on energy.
310.12 	(d) Any support provided by the Department of Commerce to a Tribal advocacy council 
310.13 	on energy under this section must be provided only upon request of the council and is limited 
310.14 	to issues and areas where the Department of Commerce's expertise and assistance is 
310.15 	requested.

310.16 	Sec. 8. REPEALER.
 310.17 	Laws 2017, chapter 5, section 1, is repealed.

310.18 	ARTICLE 27
310.19 	SUPPLEMENTAL APPROPRIATIONS

310.20	Section 1. APPROPRIATIONS.
 	
310.21 	The sums shown in the columns marked "Appropriations" are appropriated to the agencies 
310.22 	and for the purposes specified in this article. The appropriations are from the general fund, 
310.23 	or another named fund, and are available for the fiscal years indicated for each purpose. 
310.24 	The figures "2022" and "2023" used in this article mean that the appropriations listed under 
310.25 	them are available for the fiscal year ending June 30, 2022, or June 30, 2023, respectively. 
310.26 	"The first year" is fiscal year 2022. "The second year" is fiscal year 2023. "The biennium" 
310.27 	is fiscal years 2022 and 2023. If an appropriation in this act is enacted more than once in 
310.28 	the 2022 legislative session, the appropriation must be given effect only once. Appropriations 
310.29 	for the fiscal year ending June 30, 2022, are effective the day following final enactment. 
310.30 	The appropriations made under this article supplement, and do not supersede or replace, 
310.31 	the appropriations made under Laws 2021, First Special Session chapter 4, article 1.

311.1				APPROPRIATIONS
	
311.2				Available for the Year
	
311.3				Ending June 30
	
311.4					2022
		2023

311.5	Sec. 2. DEPARTMENT OF COMMERCE

311.6	Subdivision 1.Total Appropriation
 	$
	-0-
	$
	6,134,000

311.7	Appropriations by Fund
	
311.8		2022
	2023
	
311.9	General
	-0-
	5,634,000
	
311.10	Special Revenue
	-0-
	500,000
	
311.11 	The amounts that may be spent for each 
311.12 	purpose are specified in the following 
311.13 	subdivisions.

311.14	Subd. 2.Administrative Services
 		-0-
		392,000
	
311.15 	$301,000 in fiscal year 2023 is for the senior 
311.16 	fraud prevention program.
311.17 	$91,000 in fiscal year 2023 is for the licensing 
311.18 	disqualification and preliminary application 
311.19 	requirements under Minnesota Statutes, 
311.20 	section 214.035.

311.21	Subd. 3.Financial Services
 		-0-
		533,000
	
311.22 	$300,000 in fiscal year 2023 is for additional 
311.23 	securities staff. The base for this appropriation 
311.24 	is $281,000 in fiscal year 2024 and $281,000 
311.25 	in fiscal year 2025.
311.26 	$233,000 in fiscal year 2023 is to establish 
311.27 	and operate a student loan advocate under 
311.28 	Minnesota Statutes, section 58B.011. The base 
311.29 	for this appropriation is $203,000 in fiscal year 
311.30 	2024 and $203,000 in fiscal year 2025.

311.31	Subd. 4.Insurance
 		-0-
		633,000
	
311.32 	$108,000 in fiscal year 2023 is for a study and 
311.33 	report on disparities in geographic rating areas 
311.34 	in individual and small group market health 
312.1 	insurance under article 3, section 34. This is 
312.2 	a onetime appropriation.
312.3 	$525,000 in fiscal year 2023 is for additional 
312.4 	staff in the insurance division. The additional 
312.5 	staff must focus on property- and 
312.6 	casualty-related insurance products.

312.7	Subd. 5.Enforcement
 		-0-
		4,576,000
	
312.8 	$4,076,000 in fiscal year 2023 is for the 
312.9 	automobile theft prevention program under 
312.10 	Minnesota Statutes, section 65B.84. This is a 
312.11 	onetime appropriation.
312.12 	$500,000 in fiscal year 2023 is appropriated 
312.13 	from the auto theft prevention account in the 
312.14 	special revenue fund to the commissioner of 
312.15 	commerce to reimburse law enforcement 
312.16 	agencies for investigation and enforcement 
312.17 	activities to combat automobile theft. This 
312.18 	appropriation does not cancel and remains 
312.19 	available until expended. This is a onetime 
312.20 	appropriation.

312.21	Sec. 3. BOARD OF ACCOUNTANCY
 	$
	-0-
	$
	6,000
	
312.22 	Licensing Disqualifications; Preliminary 
312.23 	Applications.
312.24 	$6,000 in fiscal year 2023 is to the Board of 
312.25 	Accountancy for the licensing disqualification 
312.26 	and preliminary application requirements 
312.27 	under Minnesota Statutes, section 214.035. 
312.28 	This is a onetime appropriation.

312.29	Sec. 4. ATTORNEY GENERAL
 	$
	-0-
	$
	24,000
	
312.30 	Licensing Disqualifications; Preliminary 
312.31 	Applications.
312.32 	$24,000 in fiscal year 2023 is to the attorney 
312.33 	general for the licensing disqualification and 
313.1 	preliminary application requirements under 
313.2 	Minnesota Statutes, section 214.035.

313.3
313.4	Sec. 5. PROFESSIONAL EDUCATOR 
LICENSING AND STANDARDS BOARD
 	$
	-0-
	$
	514,000
	
313.5 	Licensing Disqualifications; Preliminary 
313.6 	Applications.
313.7 	$514,000 in fiscal year 2023 is to the 
313.8 	Professional Educator Licensing and Standards 
313.9 	Board for the licensing disqualification and 
313.10 	preliminary application requirements under 
313.11 	Minnesota Statutes, section 214.035. The base 
313.12 	for this appropriation is $142,000 in fiscal year 
313.13 	2024 and $142,000 in fiscal year 2025.

313.14	Sec. 6. DEPARTMENT OF REVENUE
 	$
	-0-
	$
	19,000
	
313.15 	Licensing Disqualifications; Preliminary 
313.16 	Applications.
313.17 	$19,000 in fiscal year 2023 is to the 
313.18 	Department of Revenue for the licensing 
313.19 	disqualification and preliminary application 
313.20 	requirements under Minnesota Statutes, 
313.21 	section 214.035. The base for this 
313.22 	appropriation is $3,000 in fiscal year 2024 and 
313.23 	$3,000 in fiscal year 2025.

313.24	Sec. 7. GAMBLING CONTROL BOARD
 	$
	-0-
	$
	3,000
	
313.25 	Licensing Disqualifications; Preliminary 
313.26 	Applications.
313.27 	$3,000 in fiscal year 2023 is from the lawful 
313.28 	gambling regulation account in the special 
313.29 	revenue fund to the Gambling Control Board 
313.30 	for the licensing disqualification and 
313.31 	preliminary application requirements under 
313.32 	Minnesota Statutes, section 214.035.

313.33	Sec. 8. DEPARTMENT OF EDUCATION
 	$
	-0-
	$
	22,000
	
314.1 	Licensing Disqualifications; Preliminary 
314.2 	Applications.
314.3 	$22,000 in fiscal year 2023 is to the 
314.4 	Department of Education for the licensing 
314.5 	disqualification and preliminary application 
314.6 	requirements under Minnesota Statutes, 
314.7 	section 214.035.

314.8 	Sec. 9. COMMERCE FRAUD BUREAU; TRANSFER.
 314.9 	$870,000 in fiscal year 2023 is transferred from the general fund to the insurance fraud 
314.10 	prevention account for five additional peace officers in the Commerce Fraud Bureau. The 
314.11 	base for this transfer is $811,000 in fiscal year 2024 and $811,000 in fiscal year 2025.

314.12 	ARTICLE 28
314.13 	COMMERCE POLICY

314.14 	Section 1. Minnesota Statutes 2020, section 45.0135, subdivision 2a, is amended to read:
314.15 		Subd. 2a.Authorization. (a) The commissioner may appoint peace officers, as defined 
314.16 	in section 626.84, subdivision 1, paragraph (c), and establish a law enforcement agency, as 
314.17 	defined in section 626.84, subdivision 1, paragraph (f), known as the Commerce Fraud 
314.18 	Bureau, to conduct investigations, and to make arrests under sections 629.30 and 629.34. 
314.19 	The primary jurisdiction of the law enforcement agency is limited to offenses related to 
314.20 	insurance fraudwith a nexus to insurance-related crimes or financial crimes.
314.21 	(b) Upon request and at the commissioner's discretion, the Commerce Fraud Bureau 
314.22 	may respond to a law enforcement agency's request to exercise law enforcement duties in 
314.23 	cooperation with the law enforcement agency that has jurisdiction over the particular matter.
314.24 	(c) The Commerce Fraud Bureau must allocate at least 70 percent of its work to 
314.25 	insurance-related crimes.

314.26 	Sec. 2. Minnesota Statutes 2020, section 45.0135, subdivision 2b, is amended to read:
314.27 		Subd. 2b.Duties. The Commerce Fraud Bureau shall:
314.28 	(1) review notices and reports of insurance fraud within the Commerce Fraud Bureau's 
314.29 	primary jurisdiction submitted by authorized insurers, their employees, and agents or 
314.30 	producers;
315.1 	(2) respond to notifications or complaints of suspected insurance fraud within the 
315.2 	Commerce Fraud Bureau's primary jurisdiction generated by other law enforcement agencies, 
315.3 	state or federal governmental units, or any other person;
315.4 	(3) initiate inquiries and conduct investigations when the bureau has reason to believe 
315.5 	that insurance fraud an offense within the Commerce Fraud Bureau's primary jurisdiction
315.6 	has been or is being committed; and
315.7 	(4) report incidents of alleged insurance fraud crimes disclosed by its the Commerce 
315.8 	Fraud Bureau's investigations to appropriate law enforcement agencies, including, but not 
315.9 	limited to, the attorney general, county attorneys, or any other appropriate law enforcement 
315.10 	or regulatory agency, and shall assemble evidence, prepare charges, and otherwise assist 
315.11 	any law enforcement authority having jurisdiction.

315.12 	Sec. 3. Minnesota Statutes 2020, section 45.25, is amended by adding a subdivision to 
315.13 	read:
315.14 		Subd. 9a.Live course. "Live course" means any learning experience that is actively led 
315.15 	by an instructor, either online or in a classroom setting, that offers person-to-person, real-time 
315.16 	feedback. A live course offered online must:
315.17 	(1) specify the minimum system requirements;
315.18 	(2) provide encryption that ensures that all personal information, including the student's 
315.19 	name, address, and credit card number, cannot be read as it passes across the Internet;
315.20 	(3) include technology to guarantee seat time;
315.21 	(4) include the ability for the student to get technical support within a reasonable amount 
315.22 	of time;
315.23 	(5) include a statement that the student's information will not be sold or distributed to 
315.24 	any third party without the prior written consent of the student. Taking the course does not 
315.25 	constitute consent; and
315.26 	(6) include a process to authenticate the student's identity.

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

316.3 	Sec. 5. Minnesota Statutes 2020, section 45.25, subdivision 12, is amended to read:
316.4 		Subd. 12.Proctor. (a) "Proctor" means a disinterested third party with no conflict of 
316.5 	interest person who (1) verifies a student's identity, and (2) processes an affidavit testifying 
316.6 	that the student received no outside assistance with the course or examination.
316.7 	(b) A proctor must be 18 years of age or older. A proctor must not have a financial or 
316.8 	other conflict of interest with respect to a student's successful completion of the course or 
316.9 	the examination. A proctor must not be:
316.10 	(1) a relative of the student;
316.11 	(2) the student's supervisor at work;
316.12 	(3) a person the student supervises at work; or
316.13 	(4) a student who is completing the same course.

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

316.19 	Sec. 7. [45.301] ON-DEMAND CONTINUING EDUCATION; REQUIREMENTS.
316.20 		Subdivision 1.On-demand course requirements. An on-demand continuing education 
316.21 	course offered online must:
316.22 	(1) specify the minimum system requirements;
316.23 	(2) provide encryption that ensures that all personal information, including the student's 
316.24 	name, address, and credit card number, cannot be read as it passes across the Internet;
316.25 	(3) include technology to guarantee seat time;
316.26 	(4) include a high level of interactivity;
316.27 	(5) include graphics that reinforce the content;
316.28 	(6) include the ability for the student to contact an instructor within a reasonable amount 
316.29 	of time;
317.1 	(7) include the ability for the student to get technical support within a reasonable amount 
317.2 	of time;
317.3 	(8) include a statement that the student's information will not be sold or distributed to 
317.4 	any third party without prior written consent of the student. Taking the course does not 
317.5 	constitute consent;
317.6 	(9) be available 24 hours a day, seven days a week, excluding minimal down time for 
317.7 	updating and administration;
317.8 	(10) provide viewing access to the online course at all times to the commissioner, 
317.9 	excluding minimal down time for updating and administration;
317.10 	(11) include a process to authenticate the student's identity;
317.11 	(12) inform the student and the commissioner how long a course is accessible after the 
317.12 	course is purchased;
317.13 	(13) inform the student that license education credit is not awarded for taking the course 
317.14 	after the course loses status as an approved course;
317.15 	(14) provide clear instructions on how to navigate through the course;
317.16 	(15) provide automatic bookmarking at any point in the course;
317.17 	(16) provide questions after each unit or chapter that must be answered before the student 
317.18 	can proceed to the next unit or chapter;
317.19 	(17) include a reinforcement response when a quiz question is answered correctly;
317.20 	(18) include a response when a quiz question is answered incorrectly;
317.21 	(19) include a final examination;
317.22 	(20) allow the student to return to and review any unit at any time, except during the 
317.23 	final examination;
317.24 	(21) provide a course evaluation at the end of the course. At a minimum, the evaluation 
317.25 	must ask the student to report any difficulties caused by the online education delivery 
317.26 	method; and
317.27 	(22) provide a completion certificate when the course and exam have been completed 
317.28 	and the provider has verified the completion. An electronic certificate is sufficient.
317.29 		Subd. 2.Final examination. The final examination must be either an encrypted online 
317.30 	examination or a paper examination that is monitored by a proctor who certifies that the 
318.1 	student took the examination. The student must not be allowed to review the course content 
318.2 	once the examination has begun.

318.3 	Sec. 8. Minnesota Statutes 2020, section 45.31, subdivision 2, is amended to read:
318.4 		Subd. 2.Approval. (a) The commissioner must approve as a coordinator a person 
318.5 	meeting one or more of the following criteria: at least three years of full-time experience 
318.6 	in the administration of an education program during the five-year period immediately 
318.7 	before the date of application, or a degree in education plus two years experience during 
318.8 	the immediately preceding five-year period in one of the regulated industries for which 
318.9 	courses are being approved, or a minimum of five years experience within the previous six 
318.10 	years in the regulated industry for which courses are held. A person applying for approval 
318.11 	as a course coordinator must:
318.12 	(1) be qualified or have experience in the applicable subject matter of courses offered 
318.13 	by the education provider or have experience administering an education program; and
318.14 	(2) make available upon request such records and data required by the commissioner to 
318.15 	administer the provisions and further the purposes of this chapter.
318.16 	(b) Coordinator approval may not be transferred to an individual who has not already 
318.17 	been approved as an additional coordinator for the applicable license type for the providership 
318.18 	in question. An individual must be approved as a coordinator by the commissioner before 
318.19 	acting on behalf of an approved education provider.

318.20 	Sec. 9. Minnesota Statutes 2020, section 45.31, subdivision 3, is amended to read:
318.21 		Subd. 3.Responsibilities. A coordinator An education provider is responsible for:
318.22 	(1) assuring compliance with all laws and rules relating to educational offerings governed 
318.23 	by the commissioner;
318.24 	(2) assuring that students are provided with current and accurate information relating to 
318.25 	the laws and rules governing their licensed activity;
318.26 	(3) supervising and evaluating courses and instructors. Supervision includes assuring, 
318.27 	especially when a course will be taught by more than one instructor, that all areas of the 
318.28 	curriculum are addressed without redundancy and that continuity is present throughout the 
318.29 	entire course;
318.30 	(4) ensuring that instructors are qualified to teach the course offering;
319.1 	(5) furnishing the commissioner, upon request, with copies of course and instructor 
319.2 	evaluations and qualifications of instructors. Evaluations must be completed by students 
319.3 	and coordinators;
319.4 	(6) investigating complaints related to course offerings and instructors and forwarding 
319.5 	a copy of the written complaints to the Department of Commerce;
319.6 	(7) maintaining accurate records relating to course offerings, instructors, tests taken by 
319.7 	students, and student attendance for a period of three years from the date on which the 
319.8 	course was completed. These records must be made available to the commissioner upon 
319.9 	request. In the event that an education provider ceases operation for any reason, the 
319.10 	coordinator is responsible for maintaining the records or providing a custodian for the 
319.11 	records acceptable to the commissioner. The coordinator must notify the commissioner of 
319.12 	the name and address of that person. In order to be acceptable to the commissioner, custodians 
319.13 	must agree to make copies of acknowledgments available to students at a reasonable fee. 
319.14 	Under no circumstances will the commissioner act as custodian of the records;
319.15 	(8) ensuring that the coordinator is available to instructors and students throughout course 
319.16 	offerings and providing to the students and instructor the name of the coordinator and a 
319.17 	telephone number at which the coordinator can be reached;
319.18 	(9) attending workshops or instructional programs as reasonably required by the 
319.19 	commissioner;
319.20 	(10) providing course completion certificates within ten days of, but not before, 
319.21 	completion of the entire course. Course completion certificates must be completed in their 
319.22 	entirety. It is not necessary to provide a written course completion certificate if the course 
319.23 	completion certificate has been electronically delivered to the department or its designated 
319.24 	licensing contractor. A coordinator may require payment of the course tuition as a condition 
319.25 	for receiving the course completion certificate;
319.26 	(11) notifying the commissioner immediately of any change in an application for the 
319.27 	course, coordinator, or instructor approval application; and
319.28 	(12) in conjunction with the instructor, assuring and certifying attendance of students 
319.29 	enrolled in courses.

319.30 	Sec. 10. Minnesota Statutes 2020, section 46.131, subdivision 2, is amended to read:
319.31 		Subd. 2.Assessment authority. Each bank, trust company, savings bank, savings 
319.32 	association, regulated lender, industrial loan and thrift company, credit union, motor vehicle 
319.33 	sales finance company, debt management services provider, debt settlement services provider, 
320.1 	insurance premium finance company, and residential PACE administrator, as defined in 
320.2 	section 216C.435, subdivision 10a, financial institution governed by chapters 46 to 59A, 
320.3 	216C, and 332 to 332B that is organized under the laws of this state or required to be 
320.4 	administered by the commissioner of commerce shall pay into the state treasury its 
320.5 	proportionate share of the cost of maintaining the Department of Commerce. This subdivision 
320.6 	does not apply to student loan servicers or collection agencies.

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

320.14 	Sec. 12. Minnesota Statutes 2020, section 46.131, subdivision 11, is amended to read:
320.15 		Subd. 11.Financial institutions account; appropriation. (a) The financial institutions 
320.16 	account is created as a separate account in the special revenue fund. Earnings, including 
320.17 	interest, dividends, and any other earnings arising from account assets, must be credited to 
320.18 	the account.
320.19 	(b) The account consists of funds received from assessments under subdivision 7, 
320.20 	examination fees under subdivision 8, and funds received pursuant to subdivision 10 and 
320.21 	the following provisions: sections 46.04; 46.041; 46.048, subdivision 1; 47.101; 47.54, 
320.22 	subdivision 1; 47.60, subdivision 3; 47.62, subdivision 4; 48.61, subdivision 7, paragraph 
320.23 	(b); 49.36, subdivision 1; 52.203;53B.09; 53B.11, subdivision 1; 53C.02; 56.02; 58.10;
320.24 	58A.045, subdivision 2; and 59A.03;216C.437, subdivision 12; 332A.04; and 332B.04.
320.25 	(c) Funds in the account are annually appropriated to the commissioner of commerce 
320.26 	for activities under this section.

320.27 	Sec. 13. Minnesota Statutes 2020, section 47.08, is amended to read:
320.28 	47.08 ARTICLES OF INCORPORATION FILED WITH COMMISSIONER.
320.29 	All persons proposing to incorporate and organize any financial institution, whether 
320.30 	defined or described as such by the laws of the state, shall, before doing any business in the 
320.31 	state as a corporation, and before filing their articles of incorporation with the secretary of 
321.1 	state or with any other officer with whom the law requires such articles to be filed or 
321.2 	recorded, file a copy of such the proposed articles of incorporation with the commissioner 
321.3 	of commerce.

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

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

321.20 	Sec. 16. Minnesota Statutes 2020, section 47.172, subdivision 2, is amended to read:
321.21 		Subd. 2.Effect. The certificate to be filed to accomplish a restated certificate of 
321.22 	incorporation must be entitled "restated certificate of incorporation of (name of financial 
321.23 	corporation)" and must contain a statement that the restated certificate supersedes and takes 
321.24 	the place of the existing certificate of incorporation and all amendments to it. The restated 
321.25 	certificate of incorporation when executed, filed and recorded in the manner prescribed for 
321.26 	certificate of amendment supersedes and takes the place of an existing certificate of 
321.27 	incorporation and amendments to it. The secretary of state upon request must certify the 
321.28 	restated certificate of incorporation.

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

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

322.13 	Sec. 19. Minnesota Statutes 2020, section 48A.15, subdivision 1, is amended to read:
322.14 		Subdivision 1.Authorization. (a) A trust company organized under the laws of this 
322.15 	state or a state bank and trust may, after completing the notification procedure required by 
322.16 	this subdivision, establish and maintain a trust service office at any office in this state or of 
322.17 	any other state or national bank. A state bank may, after completing the notification procedure 
322.18 	required by this subdivision, permit a trust company organized under the laws of this state 
322.19 	or a state bank and trust or a national bank in this state that is authorized to exercise trust 
322.20 	powers to establish and maintain a trust service office at any of its banking offices.
322.21 	(b) The trust company or state bank and trust and a state bank at which a trust service 
322.22 	office is to be established according to this section shall jointly file, on forms provided by 
322.23 	the commissioner, a notification of intent to establish a trust service office. The notification 
322.24 	must be accompanied by a filing fee of $100 payable to the commissioner, to be deposited 
322.25 	in the general fund of the state financial institutions account under section 46.131, subdivision 
322.26 	11. No trust service office shall be established according to this section if disallowed by 
322.27 	order of the commissioner within 30 days of the filing of a complete and acceptable 
322.28 	notification of intent to establish a trust service office. An order of the commissioner to 
322.29 	disallow the establishment of a trust service office under this section is subject to judicial 
322.30 	review under sections 14.63 to 14.69.

323.1 	Sec. 20. Minnesota Statutes 2020, section 53.03, subdivision 1, is amended to read:
323.2 		Subdivision 1.Application, fee, notice. Any corporation hereafter organized as an 
323.3 	industrial loan and thrift company, shall, after compliance with the requirements set forth 
323.4 	in sections 53.01 and 53.02, file a written application with the Department of Commerce 
323.5 	for a certificate of authorization. A corporation that will not sell or issue thrift certificates 
323.6 	for investment as permitted by this chapter need not comply with subdivision 2b. The 
323.7 	application must be in the form prescribed by the Department of Commerce. The application 
323.8 	must be made in the name of the corporation, executed and acknowledged by an officer 
323.9 	designated by the board of directors of the corporation, requesting a certificate authorizing 
323.10 	the corporation to transact business as an industrial loan and thrift company, at the place 
323.11 	and in the name stated in the application. At the time of filing the application the applicant 
323.12 	shall pay $1,500 filing fee if the corporation will not sell or issue thrift certificates for 
323.13 	investment, and a filing fee of $8,000 if the corporation will sell or issue thrift certificates 
323.14 	for investment. The fees must be turned over by the commissioner to the commissioner of 
323.15 	management and budget and credited to the general fund collected by the commissioner 
323.16 	and deposited in the financial institutions account under section 46.131, subdivision 11. 
323.17 	The applicant shall also submit a copy of the bylaws of the corporation, its articles of 
323.18 	incorporation and all amendments thereto at that time. An application for powers under 
323.19 	subdivision 2b must also require that a notice of the filing of the application must be 
323.20 	published once within 30 days of the receipt of the form prescribed by the Department of 
323.21 	Commerce, at the expense of the applicant, in a qualified newspaper published in the 
323.22 	municipality in which the proposed industrial loan and thrift company is to be located, or, 
323.23 	if there be none, in a qualified newspaper likely to give notice in the municipality in which 
323.24 	the company is proposed to be located. If the Department of Commerce receives a written 
323.25 	objection to the application from any person within 15 days of the notice having been fully 
323.26 	published, the commissioner shall proceed in the same manner as required under section 
323.27 	46.041, subdivisions 3 and 4, relating to state banks.

323.28 	Sec. 21. Minnesota Statutes 2020, section 53.03, subdivision 5, is amended to read:
323.29 		Subd. 5.Place of business. Not more than one place of business may be maintained 
323.30 	under any certificate of authorization issued subsequent to the enactment of Laws 1943, 
323.31 	chapter 67, pursuant to the provisions of this chapter, but the Department of Commerce 
323.32 	may issue more than one certificate of authorization to the same corporation upon compliance 
323.33 	with all the provisions of this chapter governing an original issuance of a certificate of 
323.34 	authorization. To the extent that previously filed applicable information remains unchanged, 
323.35 	the applicant need not refile this information, unless requested. The filing fee for a branch 
324.1 	application shall be $500 and the investigation fee $250. An industrial loan and thrift 
324.2 	corporation with deposit liabilities may change one or more of its locations upon the written 
324.3 	approval of the commissioner of commerce. A fee of $100 must accompany each application 
324.4 	to the commissioner for approval to change the location of an established office. An industrial 
324.5 	loan and thrift corporation that does not sell and issue thrift certificates for investment may 
324.6 	change one or more locations by giving 30 days' written notice to the Department of 
324.7 	Commerce which shall promptly amend the certificate of authorization accordingly. No 
324.8 	change in place of business of a company to a location outside of its current trade area or 
324.9 	more than 25 miles from its present location, whichever distance is greater, shall be permitted 
324.10 	under the same certificate unless all of the applicable requirements of this section have been 
324.11 	met. All money collected by the commissioner under this chapter must be deposited into 
324.12 	the financial institutions account under section 46.131, subdivision 11.

324.13 	Sec. 22. Minnesota Statutes 2020, section 53C.02, is amended to read:
324.14 	53C.02 SALES FINANCE COMPANY; LICENSE, FEES, REFUND.
324.15 	(a) No person shall engage in the business of a sales finance company in this state without 
324.16 	a license therefor as provided in sections 53C.01 to 53C.14 provided, however, that no bank, 
324.17 	trust company, savings bank, savings association, or credit union, whether state or federally 
324.18 	chartered, industrial loan and thrift company, or licensee under the Minnesota Regulated 
324.19 	Loan Act authorized to do business in this state shall be required to obtain a license under 
324.20 	sections 53C.01 to 53C.14.
324.21 	(b) The application for a license shall be in writing, under oath and in the form prescribed 
324.22 	by the commissioner. The application shall contain the name of the applicant; date of 
324.23 	incorporation, if incorporated; the address where the business is or is to be conducted and 
324.24 	similar information as to any branch office of the applicant; the name and resident address 
324.25 	of the owner or partners, or, if a corporation or association, of the directors, trustees and 
324.26 	principal officers, and other pertinent information the commissioner requires.
324.27 	(c) The licensee fee for the fiscal year beginning July 1 and ending June 30 of the 
324.28 	following year, or any part thereof shall be the sum of $250 for the principal place of business 
324.29 	of the licensee, and the sum of $125 for each branch of the licensee. Any licensee who 
324.30 	proves to the satisfaction of the commissioner, by affidavit or other proof satisfactory to 
324.31 	the commissioner, that during the 12 calendar months of the immediately preceding fiscal 
324.32 	year, for which the license has been paid that the licensee has not held retail installment 
324.33 	contracts exceeding $15,000 in amount, shall be entitled to a refund of that portion of each 
324.34 	license fee paid in excess of $25. The commissioner shall certify to the commissioner of 
325.1 	management and budget that the licensee is entitled to a refund, and payment thereof of the 
325.2 	refund shall be made by the commissioner of management and budget. The amount necessary 
325.3 	to pay for the refundment of the license fee is appropriated out of the general fund from the 
325.4 	financial institutions account under section 46.131, subdivision 11. All license fees received 
325.5 	by the commissioner under sections 53C.01 to 53C.14 shall be deposited with the 
325.6 	commissioner of management and budget.
325.7 	(d) Each license shall specify the location of the office or branch and must be 
325.8 	conspicuously displayed there. In case the location be changed, the commissioner shall 
325.9 	endorse the change of location on the license.
325.10 	(e) Upon the filing of such application, and the payment of the fee, the commissioner 
325.11 	shall issue a license to the applicant to engage in the business of a sales finance company 
325.12 	under and in accordance with the provisions of sections 53C.01 to 53C.14 for a period which 
325.13 	shall expire the last day of June next following the date of its issuance. The license shall 
325.14 	not be transferable or assignable. No licensee shall transact any business provided for by 
325.15 	sections 53C.01 to 53C.14 under any other name.
325.16 	(f) Section 58A.04, subdivisions 2 and 3, apply to this section.

325.17 	Sec. 23. Minnesota Statutes 2020, section 55.10, subdivision 1, is amended to read:
325.18 		Subdivision 1.Permitting access, removal, or delivery. When a safe deposit box shall 
325.19 	have been hired from any licensed safe deposit company in the name of two or more persons, 
325.20 	including husband and wife a married couple, with the right of access being given to either, 
325.21 	or with access to either or the survivor or survivors of the person, or property is held for 
325.22 	safekeeping by any licensed safe deposit company for two or more persons, including 
325.23 	husband and wife a married couple, with the right of delivery being given to either, or with 
325.24 	the right of delivery to either of the survivor or survivors of these persons, any one or more 
325.25 	of these persons, whether the other or others be living or not, shall have the right of access 
325.26 	to the safe deposit box and the right to remove all, or any part, of the contents thereof, or 
325.27 	to have delivered to all or any one of them, or any part of the valuable personal property so 
325.28 	held for safekeeping; and, in case of this access, removal, or delivery, the safe deposit 
325.29 	company shall be exempt from any liability for permitting the access, removal, or delivery.

326.1 	Sec. 24. Minnesota Statutes 2020, section 56.02, is amended to read:
326.2 	56.02 APPLICATION FEE.
326.3 	(a) Application for license shall be in writing, under oath, and in the form prescribed by 
326.4 	the commissioner, and contain the name and the address, both of the residence and place 
326.5 	of business, of the applicant and, if the applicant is a copartnership or association, of every 
326.6 	member thereof, and if a corporation, of each officer and director thereof; also the county 
326.7 	and municipality, with street and number, if any, where the business is to be conducted, and 
326.8 	such further information as the commissioner may require. The applicant at the time of 
326.9 	making application, shall pay to the commissioner the sum of $500 as a fee for investigating 
326.10 	the application, and the additional sum of $250 as an annual license fee for a period 
326.11 	terminating on the last day of the current calendar year. In addition to the annual license 
326.12 	fee, every licensee hereunder shall pay to the commissioner the actual costs of each 
326.13 	examination, as provided for in section 56.10. All moneys money collected by the 
326.14 	commissioner under this chapter shall be turned over to the commissioner of management 
326.15 	and budget and credited by the commissioner of management and budget to the general 
326.16 	fund of the state deposited in the financial institutions account under section 46.131, 
326.17 	subdivision 11.
326.18 	(b) Every applicant shall also prove, in form satisfactory to the commissioner, that the 
326.19 	applicant has available for the operation of the business at the location specified in the 
326.20 	application, liquid assets of at least $50,000.
326.21 	(c) Section 58A.04, subdivisions 2 and 3, apply to this section.

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

326.29 	Sec. 26. Minnesota Statutes 2020, section 60A.033, subdivision 9, is amended to read:
326.30 		Subd. 9.Completion of examination. An examination under section 60A.031 must not 
326.31 	exceed 18 months from the date the commissioner receives the insurance company's first 
326.32 	submission pursuant to a scheduling order, unless:
327.1 	(1) the commissioner determines that there has been a material lack of cooperation by 
327.2 	the insurance company and advises the company in writing of the specific instances 
327.3 	demonstrating a lack of cooperation;
327.4 	(2) the examination is a multistate examination; or
327.5 	(3) the commissioner determines that additional time is necessary to complete the 
327.6 	examination and the commissioner notifies the insurance company in writing of the reasons 
327.7 	why the examination requires additional time.

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

327.16 	Sec. 28. Minnesota Statutes 2020, section 60A.033, is amended by adding a subdivision 
327.17 	to read:
327.18 		Subd. 12.Report to the legislature. Each year by February 1, the commissioner must 
327.19 	report the following information to the chairs and ranking minority members of the house 
327.20 	of representatives and senate committees having jurisdiction over commerce:
327.21 	(1) a listing of the number of pending market conduct exams and the year the exams 
327.22 	were commenced;
327.23 	(2) the number of exams closed during the prior year and the current total of costs charged 
327.24 	to the companies for each exam;
327.25 	(3) whether the exam is being conducted, in whole or in part, by third-party examiners; 
327.26 	and
327.27 	(4) other information that the chairs or ranking minority members may reasonably 
327.28 	request, subject to the limitations of section 60A.031, subdivision 4, paragraph (f).

328.1 	Sec. 29. Minnesota Statutes 2020, section 60A.954, subdivision 1, is amended to read:
328.2 		Subdivision 1.Establishment. An insurer shall institute, implement, and maintain an 
328.3 	antifraud plan. For the purpose of this section, the term insurer does not include reinsurers, 
328.4 	the Workers' Compensation Reinsurance Association, self-insurers, and excess insurers. 
328.5 	Within 30 days after instituting or materially modifying an antifraud plan, the insurer shall 
328.6 	notify the commissioner in writing. The notice must include the name of the person 
328.7 	responsible for administering the plan. An antifraud plan shall establish procedures to:
328.8 	(1) prevent insurance fraud, including: internal fraud involving the insurer's officers, 
328.9 	employees, or agents; fraud resulting from misrepresentations on applications for insurance; 
328.10 	and claims fraud;
328.11 	(2) report insurance fraud to appropriate law enforcement authorities; and
328.12 	(3) cooperate with the prosecution of insurance fraud cases.

328.13 	Sec. 30. Minnesota Statutes 2020, section 65B.84, subdivision 1, is amended to read:
328.14 		Subdivision 1.Program described; commissioner's duties; appropriation. (a) The 
328.15 	commissioner of commerce shall:
328.16 	(1) develop and sponsor the implementation of statewide plans, programs, and strategies 
328.17 	to combat automobile theft, improve the administration of the automobile theft laws, and 
328.18 	provide a forum for identification of critical problems for those persons dealing with 
328.19 	automobile theft;
328.20 	(2) coordinate the development, adoption, and implementation of plans, programs, and 
328.21 	strategies relating to interagency and intergovernmental cooperation with respect to 
328.22 	automobile theft enforcement;
328.23 	(3) annually audit the plans and programs that have been funded in whole or in part to 
328.24 	evaluate the effectiveness of the plans and programs and withdraw funding should the 
328.25 	commissioner determine that a plan or program is ineffective or is no longer in need of 
328.26 	further financial support from the fund;
328.27 	(4) develop a plan of operation including:
328.28 	(i) an assessment of the scope of the problem of automobile theft, including areas of the 
328.29 	state where the problem is greatest;
328.30 	(ii) an analysis of various methods of combating the problem of automobile theft;
328.31 	(iii) a plan for providing financial support to combat automobile theft;
329.1 	(iv) a plan for eliminating car hijacking; and
329.2 	(v) an estimate of the funds required to implement the plan; and
329.3 	(5) distribute money, in consultation with the commissioner of public safety, pursuant 
329.4 	to subdivision 3 from the automobile theft prevention special revenue account for automobile 
329.5 	theft prevention activities, including:
329.6 	(i) paying the administrative costs of the program;
329.7 	(ii) providing financial support to the State Patrol and local law enforcement agencies 
329.8 	for automobile theft enforcement teams;
329.9 	(iii) providing financial support to state or local law enforcement agencies for programs 
329.10 	designed to reduce the incidence of automobile theft and for improved equipment and 
329.11 	techniques for responding to automobile thefts;
329.12 	(iv) providing financial support to local prosecutors for programs designed to reduce 
329.13 	the incidence of automobile theft;
329.14 	(v) providing financial support to judicial agencies for programs designed to reduce the 
329.15 	incidence of automobile theft;
329.16 	(vi) providing financial support for neighborhood or community organizations or business 
329.17 	organizations for programs designed to reduce the incidence of automobile theft and to 
329.18 	educate people about the common methods of automobile theft, the models of automobiles 
329.19 	most likely to be stolen, and the times and places automobile theft is most likely to occur; 
329.20 	and
329.21 	(vii) providing financial support for automobile theft educational and training programs 
329.22 	for state and local law enforcement officials, driver and vehicle services exam and inspections 
329.23 	staff, and members of the judiciary.
329.24 	(b) The commissioner may not spend in any fiscal year more than ten 7.5 percent of the 
329.25 	money in the fund for the program's administrative and operating costs. The commissioner 
329.26 	is annually appropriated and must distribute the amount of the proceeds credited to the 
329.27 	automobile theft prevention special revenue account each year, less the transfer of $1,300,000 
329.28 	each year to the insurance fraud prevention account described in section 297I.11, subdivision 
329.29 	2.
329.30 	(c) At the end of each fiscal year, the commissioner may transfer any unobligated balances 
329.31 	in the auto theft prevention account to the insurance fraud prevention account under section 
329.32 	45.0135, subdivision 6.

330.1 	Sec. 31. Minnesota Statutes 2020, section 65B.84, subdivision 2, is amended to read:
330.2 		Subd. 2.Annual report. By January 15 of September 30 each year, the commissioner 
330.3 	shall report to the governor and the chairs and ranking minority members of the house of 
330.4 	representatives and senate committees having jurisdiction over the Departments of Commerce 
330.5 	and Public Safety on the activities and expenditures in the preceding year.

330.6 	Sec. 32. Minnesota Statutes 2020, section 80A.61, is amended to read:
330.7 	80A.61 SECTION 406; REGISTRATION BY BROKER-DEALER, AGENT, 
330.8 	FUNDING PORTAL, INVESTMENT ADVISER, AND INVESTMENT ADVISER 
330.9 	REPRESENTATIVE.
330.10 	(a) Application for initial registration by broker-dealer, agent, investment adviser, 
330.11 	or investment adviser representative. A person shall register as a broker-dealer, agent, 
330.12 	investment adviser, or investment adviser representative by filing an application and a 
330.13 	consent to service of process complying with section 80A.88, and paying the fee specified 
330.14 	in section 80A.65 and any reasonable fees charged by the designee of the administrator for 
330.15 	processing the filing. The application must contain:
330.16 	(1) the information or record required for the filing of a uniform application; and
330.17 	(2) upon request by the administrator, any other financial or other information or record 
330.18 	that the administrator determines is appropriate.
330.19 	(b) Amendment. If the information or record contained in an application filed under 
330.20 	subsection (a) is or becomes inaccurate or incomplete in a material respect, the registrant 
330.21 	shall promptly file a correcting amendment.
330.22 	(c) Effectiveness of registration. If an order is not in effect and a proceeding is not 
330.23 	pending under section 80A.67, registration becomes effective at noon on the 45th day after 
330.24 	a completed application is filed, unless the registration is denied. A rule adopted or order 
330.25 	issued under this chapter may set an earlier effective date or may defer the effective date 
330.26 	until noon on the 45th day after the filing of any amendment completing the application.
330.27 	(d) Registration renewal. A registration is effective until midnight on December 31 of 
330.28 	the year for which the application for registration is filed. Unless an order is in effect under 
330.29 	section 80A.67, a registration may be automatically renewed each year by filing such records 
330.30 	as are required by rule adopted or order issued under this chapter, by paying the fee specified 
330.31 	in section 80A.65, and by paying costs charged by the designee of the administrator for 
330.32 	processing the filings.
331.1 	(e) Additional conditions or waivers. A rule adopted or order issued under this chapter 
331.2 	may impose such other conditions, not inconsistent with the National Securities Markets 
331.3 	Improvement Act of 1996. An order issued under this chapter may waive, in whole or in 
331.4 	part, specific requirements in connection with registration as are in the public interest and 
331.5 	for the protection of investors.
331.6 	(f) Funding portal registration. A funding portal that has its principal place of business 
331.7 	in the state of Minnesota shall register with the state of Minnesota by filing with the 
331.8 	administrator a copy of the information or record required for the filing of an application 
331.9 	for registration as a funding portal in the manner established by the Securities and Exchange 
331.10 	Commission and/or the Financial Institutions Regulatory Authority (FINRA), along with 
331.11 	any rule adopted or order issued, and any amendments thereto.
331.12 	(g) Application for investment adviser representative registration.
331.13 	(1) The application for initial registration as an investment adviser representative pursuant 
331.14 	to section 80A.58 is made by completing Form U-4 (Uniform Application for Securities 
331.15 	Industry Registration or Transfer) in accordance with the form instructions and by filing 
331.16 	the form U-4 with the IARD. The application for initial registration must also include the 
331.17 	following:
331.18 	(i) proof of compliance by the investment adviser representative with the examination 
331.19 	requirements of:
331.20 	(A) the Uniform Investment Adviser Law Examination (Series 65); or
331.21 	(B) the General Securities Representative Examination (Series 7) and the Uniform 
331.22 	Combined State Law Examination (Series 66);
331.23 	(ii) any other information the administrator may reasonably require.
331.24 	(2) The application for the annual renewal registration as an investment adviser 
331.25 	representative shall be filed with the IARD.
331.26 	(3)(i) The investment adviser representative is under a continuing obligation to update 
331.27 	information required by Form U-4 as changes occur;
331.28 	(ii) An investment adviser representative and the investment adviser must file promptly 
331.29 	with the IARD any amendments to the representative's Form U-4; and
331.30 	(iii) An amendment will be considered to be filed promptly if the amendment is filed 
331.31 	within 30 days of the event that requires the filing of the amendment.
332.1 	(4) An application for initial or renewal of registration is not considered filed for purposes 
332.2 	of section 80A.58 until the required fee and all required submissions have been received 
332.3 	by the administrator.
332.4 	(5) The application for withdrawal of registration as an investment adviser representative 
332.5 	pursuant to section 80A.58 shall be completed by following the instructions on Form U-5 
332.6 	(Uniform Termination Notice for Securities Industry Registration) and filed upon Form U-5 
332.7 	with the IARD.

332.8 	Sec. 33. Minnesota Statutes 2020, section 80C.05, subdivision 2, is amended to read:
332.9 		Subd. 2.Commissioner's powers. The commissioner shall have power to place such 
332.10 	conditions, limitations, and restrictions on any registration as may be necessary to carry out 
332.11 	the purposes of sections 80C.01 to 80C.22. Upon compliance with the provisions of sections 
332.12 	80C.01 to 80C.22 and other requirements of the commissioner, and if the commissioner 
332.13 	finds no ground for denial of the registration, the commissioner shall register the franchise. 
332.14 	Registration shall be by entry in a book called Register of Franchises, which entry shall 
332.15 	show the franchise registered and for whom registered, and shall specify the conditions, 
332.16 	limitations, and restrictions upon such registration, if any, or shall make proper reference 
332.17 	to a formal order of the commissioner on file showing such conditions, limitations, and 
332.18 	restrictions. The registration shall become effective upon issuance by the commissioner of 
332.19 	an order for registration.

332.20 	Sec. 34. Minnesota Statutes 2020, section 80C.08, subdivision 1, is amended to read:
332.21 		Subdivision 1.Filing; fee. Within 120 days after the fiscal year end of the registrant, 
332.22 	the registrant shall A registration is effective for 12 months from the date the commissioner's 
332.23 	order is issued. A registrant must file a report in the form prescribed by rule of the 
332.24 	commissioner before the end of the registration effective period. A fee of $200 shall 
332.25 	accompany the annual report.

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

332.28 	Sec. 35. Minnesota Statutes 2020, section 80G.01, subdivision 3, is amended to read:
332.29 		Subd. 3.Dealer. (a) Subject to the exceptions in paragraph (b), a "dealer" means any 
332.30 	person who buys, sells, solicits, or markets bullion products or investments in bullion 
332.31 	products to consumers and: conducts Minnesota transactions.
332.32 	(1) is incorporated, registered, domiciled, or otherwise located in this state;
333.1 	(2) has a dealer representative located in this state; or
333.2 	(3) does business with a consumer at a location in this state, or delivers or ships a bullion 
333.3 	product or makes a payment to a consumer at an address in this state, unless the transaction 
333.4 	occurs when the consumer is at a business location outside of this state.
333.5 	(b) A dealer does not include any of the following persons:
333.6 	(1) a person who engages only in wholesale bullion product transactions with other 
333.7 	persons who engage only in wholesale bullion product transactions or with dealers who buy 
333.8 	or sell at retail and are properly registered under this chapter;
333.9 	(2) a person who engages only in transactions at occasional garage or yard sales held at 
333.10 	the seller's residence, farm auctions held at the seller's residence, or estate sales held at the 
333.11 	decedent's residence;
333.12 	(3) a person who is properly registered pursuant to chapter 80A, or the federal Securities 
333.13 	Exchange Act of 1934 and rules promulgated thereunder as a securities broker dealer or 
333.14 	broker dealer agent;
333.15 	(4) an auctioneer who auctions bullion products on behalf of an owner, if the auctioneer 
333.16 	does not take title or ownership of the bullion products, or the operator of an Internet website 
333.17 	that allows users to offer the sale of bullion products through that website, does not set the 
333.18 	price, is not the seller of record, and does not take possession of any bullion products to be 
333.19 	offered; or
333.20 	(5) a person who engages only in transactions at no more than 12 trade shows per year 
333.21 	in this state where the consumer is present and the transaction is made at the trade show; 
333.22 	or
333.23 	(6) (5) a federally or state-chartered bank, bank and trust, savings bank, savings 
333.24 	association, or credit union or any operating subsidiary of them.

333.25 	Sec. 36. Minnesota Statutes 2020, section 80G.01, is amended by adding a subdivision to 
333.26 	read:
333.27 		Subd. 5a.Minnesota transaction. "Minnesota transaction" means a bullion product 
333.28 	transaction conducted:
333.29 	(1) by a dealer that is incorporated, registered, domiciled, or otherwise located in 
333.30 	Minnesota;
333.31 	(2) by a dealer representative at a location in Minnesota;
334.1 	(3) between a dealer and a consumer who lives in Minnesota; or
334.2 	(4) between a dealer and a Minnesota consumer when the transaction involves:
334.3 	(i) delivering or shipping a bullion product to an address in Minnesota;
334.4 	(ii) delivering to or shipping from a precious metal depository on behalf of a Minnesota 
334.5 	resident; or
334.6 	(iii) making payment to a consumer or receiving a payment from a consumer at an 
334.7 	address in Minnesota, unless the transaction occurs when the consumer is at a business 
334.8 	location outside of Minnesota.

334.9 	Sec. 37. Minnesota Statutes 2020, section 80G.02, subdivision 1, is amended to read:
334.10 		Subdivision 1.Registration required.  It is unlawful for a dealer or dealer representative 
334.11 	to solicit, market, buy, sell, or deliver bullion products or investments in bullion products 
334.12 	to a consumer conduct a Minnesota transaction without being registered by the commissioner 
334.13 	as provided for in this chapter. A dealer must submit an application to register itself and 
334.14 	each of its dealer representatives within 45 days of reaching $25,000 in the aggregate of 
334.15 	bullion product transactions with consumers Minnesota transactions between July 1 and 
334.16 	June 30 of any year, as determined by the transactions' sale or purchase prices. Once a dealer 
334.17 	is required to register itself and its dealer representatives, the dealer must thereafter renew 
334.18 	its registration and the registration of each of its dealer representatives in accordance with 
334.19 	this chapter, regardless of the aggregate annual amount of transactions, unless the person 
334.20 	ceases to be a dealer. A dealer representative may not buy, sell, solicit, or market bullion 
334.21 	products or investments in bullion products on behalf of a dealer unless the dealer is properly 
334.22 	registered with the commissioner under this section.

334.23 	Sec. 38. Minnesota Statutes 2020, section 80G.02, subdivision 4, is amended to read:
334.24 		Subd. 4.Notice of change in registration information. A registered dealer must provide 
334.25 	the commissioner written notice of a change in the dealer's name, assumed names, doing 
334.26 	business as names, business addresses, including all business addresses at which it or its 
334.27 	dealer representatives conduct business, owners, e-mail addresses, website domain names, 
334.28 	or primary telephone number used by it or its dealer representatives to buy, sell, solicit, or 
334.29 	market to consumers bullion products or investments in bullion products no later than 30 
334.30 	days after the change occurs.

335.1 	Sec. 39. Minnesota Statutes 2020, section 80G.03, subdivision 2, is amended to read:
335.2 		Subd. 2. Dealer responsibility for actions of dealer representatives. The commissioner 
335.3 	may take action against a dealer for any violations of this chapter by its dealer representatives 
335.4 	conducting activities Minnesota transactions on behalf of or at the direction of the dealer. 
335.5 	The commissioner may also take action against the dealer representative.

335.6 	Sec. 40. Minnesota Statutes 2020, section 80G.04, subdivision 1, is amended to read:
335.7 		Subdivision 1. Dealer registration precluded. The commissioner must deny an 
335.8 	application for registration or renewal of a dealer, or revoke such registration, if the bullion 
335.9 	coin product dealer or its owners or officers have within the last ten years been convicted 
335.10 	in any court of any financial crime or other crime involving fraud or theft.

335.11 	Sec. 41. Minnesota Statutes 2020, section 80G.05, subdivision 1, is amended to read:
335.12 		Subdivision 1.Screening process required. Each registered dealer must establish 
335.13 	procedures to screen each of its owners and officers and each of its dealer representatives 
335.14 	prior to submitting the application to the commissioner for initial registration and at each 
335.15 	renewal. The results of such screenings shall be kept on file by the dealer and, if requested 
335.16 	by the commissioner, provided to the commissioner as part of the initial registration and all 
335.17 	renewal registrations.

335.18 	Sec. 42. Minnesota Statutes 2021 Supplement, section 80G.06, subdivision 1, is amended 
335.19 	to read:
335.20 		Subdivision 1.Surety bond requirement. (a) Every dealer shall maintain a current, 
335.21 	valid surety bond issued by a surety company admitted to do business in Minnesota in an 
335.22 	amount based on the Minnesota transactions conducted with Minnesota consumers (purchases 
335.23 	from and sales to consumers at retail) during the 12-month period prior to registration, or 
335.24 	renewal, whichever is applicable.
335.25 	(b) The amount of the surety bond shall be as specified in the table below:

335.26
335.27	Transaction Amount in Preceding 
12-month Period
	Surety Bond Required
	
335.28	$0 $25,000 to $200,000
	$25,000
	
335.29	$200,000.01 to $500,000
	$50,000
	
335.30	$500,000.01 to $1,000,000
	$100,000
	
335.31	$1,000,000.01 to $2,000,000
	$150,000
	
335.32	Over $2,000,000
	$200,000

336.1 	Sec. 43. Minnesota Statutes 2020, section 80G.06, subdivision 2, is amended to read:
336.2 		Subd. 2.Action on bond permitted. A consumer involved in a Minnesota transaction 
336.3 	who is injured in money or property by a dealer's or dealer representative's failure to provide 
336.4 	bullion products that the consumer has paid for or failure to remit money or goods owed to 
336.5 	the consumer in connection with the consumer's sale of bullion products comply with this 
336.6 	chapter may file a claim with the surety and if the claim is not paid, is authorized to bring 
336.7 	an action based on the bond and recover against the surety. The commissioner or attorney 
336.8 	general may also file a claim and bring an action on the bond and recover against the surety 
336.9 	on behalf of a consumer so injured.

336.10 	Sec. 44. Minnesota Statutes 2020, section 80G.07, subdivision 1, is amended to read:
336.11 		Subdivision 1.Sales practices. No When conducting a Minnesota transaction, a dealer 
336.12 	or dealer representative shall must not:
336.13 	(1) prior to a transaction regarding bullion products, or concurrent with the delivery 
336.14 	thereof, fail to provide to the consumer an invoice, which, in a clear and conspicuous manner, 
336.15 	discloses the dealer's registration number, the Department of Commerce's e-mail address 
336.16 	and telephone number, the sale or purchase price, the quantity of the bullion products, and 
336.17 	specifically identifies and describes the bullion products, as well as their precious metal 
336.18 	content, but only if it differs from the precious metal content specified by a government 
336.19 	mint issuing the product and struck on the product, or if the product is not issued by a 
336.20 	government mint;
336.21 	(2) fail to investigate any consumer complaint and retain records of all consumer 
336.22 	complaints, the results of its investigations, and the dealer's response and resolution of the 
336.23 	complaint;
336.24 	(3) fail to deliver by common carrier bullion products to a consumer within the time 
336.25 	agreed upon with the consumer or, if no such agreement exists, within 30 days after the 
336.26 	consumer has paid for the bullion products;
336.27 	(4) fail to pay a consumer for purchased bullion products within the time agreed upon 
336.28 	with the consumer or, if no such agreement exists, within 30 days after the consumer has 
336.29 	provided the bullion products;
336.30 	(5) misrepresent the delivery date of bullion products or payment for bullion products, 
336.31 	or the dealer or representative's professional qualifications, affiliations, or registration;
337.1 	(6) misrepresent any material aspect of a bullion product, including its performance, 
337.2 	efficacy, nature, investment value, central characteristics, liquidity, earnings potential, or 
337.3 	profitability;
337.4 	(7) misrepresent the manner in which any bullion products a consumer provides will be 
337.5 	stored or otherwise handled once received;
337.6 	(8) renegotiate the terms of a sale or purchase after receiving a consumer's payment or 
337.7 	bullion products without first obtaining the consumer's agreement to renegotiate and offering 
337.8 	the consumer the option to have the payment fully refunded or the entirety of the bullion 
337.9 	products returned;
337.10 	(9) fail to respond within three business days to a consumer inquiry about the delivery 
337.11 	status of bullion products that the consumer has paid for but not yet received or the status 
337.12 	of a payment for bullion products that the consumer has already provided;
337.13 	(10) telephone or solicit a consumer, or sell or provide the consumer's name to any other 
337.14 	dealer or dealer representative, after the consumer requests not to be contacted;
337.15 	(11) violate a subpoena or order of the commissioner or a court;
337.16 	(12) make any communication to a potential buyer or seller of bullion products that 
337.17 	misrepresents the relationship, if any, between the dealer or dealer representative and any 
337.18 	government agency or mint;
337.19 	(13) improperly withhold, misappropriate, or convert any money or properties received 
337.20 	in the course of buying, selling, soliciting, or marketing bullion products or investments in 
337.21 	bullion products to consumers;
337.22 	(14) misrepresent the terms of an actual or proposed purchase or sale of bullion products 
337.23 	or investment in bullion products to a consumer; or
337.24 	(15) violate any other federal, state, or local law or rule related to selling, purchasing, 
337.25 	soliciting, or marketing of bullion products, investments in bullion products, or precious 
337.26 	metals, or any federal, state, or local law related to fraudulent, coercive, or dishonest 
337.27 	practices, or federal, state, or local law related to taxation or labor standards.

337.28 	Sec. 45. Minnesota Statutes 2021 Supplement, section 80G.11, is amended to read:
337.29 	80G.11 NOTIFICATION TO COMMISSIONER.
337.30 	A registered dealer must notify the commissioner of any dealer representative termination 
337.31 	within ten days of the termination if the termination is based in whole or in part on a violation 
337.32 	of this chapter.

338.1 	Sec. 46. Minnesota Statutes 2020, section 82B.03, is amended by adding a subdivision to 
338.2 	read:
338.3 		Subd. 4.Minimum damage acquisition report. A real estate appraiser may provide a 
338.4 	minimum damage acquisition report for purposes of section 117.036. When providing a 
338.5 	minimum damage acquisition report, a real estate appraiser is not engaged in real estate 
338.6 	appraisal activity and is not subject to this chapter.

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

338.8 	Sec. 47. Minnesota Statutes 2020, section 82B.19, is amended by adding a subdivision to 
338.9 	read:
338.10 		Subd. 5.Out-of-state continuing education credit. (a) For purposes of this subdivision, 
338.11 	the following terms have the meanings given:
338.12 	(1) "asynchronous educational offering" has the meaning given in the most recent version 
338.13 	of the Real Property Appraiser Qualification Criteria, as established by the Appraiser 
338.14 	Qualifications Board; and
338.15 	(2) "synchronous educational offering" has the meaning given in the most recent version 
338.16 	of the Real Property Appraiser Qualification Criteria, as established by the Appraiser 
338.17 	Qualifications Board, and includes an educational process based on live or real-time 
338.18 	instruction where there is no geographic separation of instructor and student.
338.19 	(b) Notwithstanding section 45.30, subdivisions 1 and 6, a real estate appraiser may 
338.20 	submit, in a form prescribed by the commissioner, an application for continuing education 
338.21 	credit for a synchronous educational offering that has not been submitted for prior approval 
338.22 	in Minnesota. The commissioner must grant a real estate appraiser continuing education 
338.23 	credit if:
338.24 	(1) the application is submitted on or before August 1 of the year in which the real estate 
338.25 	appraiser license is due for renewal;
338.26 	(2) the synchronous educational offering has been approved for continuing education 
338.27 	credit by the regulator of real estate appraisers in at least one other state or United States 
338.28 	territory; and
338.29 	(3) an application is submitted by the real estate appraiser to the commissioner within 
338.30 	30 days of successful completion of the synchronous education offering.
338.31 	(c) The application must include a certificate of successful completion from the 
338.32 	synchronous education offering provider. The commissioner must grant a real estate appraiser 
339.1 	the same number of continuing education credits for the successful completion of the 
339.2 	synchronous educational offering as was approved for the offering by the out-of-state real 
339.3 	estate appraiser regulatory authority. The commissioner must grant a real estate appraiser 
339.4 	continuing education credit within 60 days of the submission of the completed application 
339.5 	for out-of-state continuing education credit.
339.6 	(d) The commissioner may charge a fee to a real estate appraiser, in an amount determined 
339.7 	by the commissioner, to submit an application under this subdivision.
339.8 	(e) This subdivision does not apply to asynchronous educational offerings.

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

339.10 	Sec. 48. Minnesota Statutes 2021 Supplement, section 82B.25, subdivision 2, is amended 
339.11 	to read:
339.12 		Subd. 2.Education. Within two years of receiving a license under this chapter and as 
339.13 	required by the Appraiser Qualifications Board, A real property appraiser shall provide to 
339.14 	the commissioner evidence of satisfactory completion of a continuing education course on 
339.15 	the valuation bias of real property. An appraiser licensed after September 1, 2021, must 
339.16 	complete the course required by this section prior to the appraiser's first license renewal.

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

339.18 	Sec. 49. Minnesota Statutes 2020, section 82C.17, subdivision 2, is amended to read:
339.19 		Subd. 2.Evidence. (a) An appraisal management company can evidence that the fees 
339.20 	paid to an appraiser were reasonable and customary through:
339.21 	(1) objective third-party information, including, but not limited to, government agency 
339.22 	fee schedules or academic studies. An academic study used must exclude appraisal 
339.23 	assignments ordered by an appraisal management company. The commissioner may establish 
339.24 	a fee scheduled for use by an appraisal management company; or
339.25 	(2) reviewing each of the following factors and making adjustments to recent fees paid 
339.26 	for appraisal services performed in the market area:
339.27 	(i) the type of property appraised;
339.28 	(ii) the scope of the appraisal work;
339.29 	(iii) the time in which the appraisal service must be performed;
339.30 	(iv) appraiser qualifications;
340.1 	(v) appraiser experience and professional record; and
340.2 	(vi) appraiser work quality.
340.3 	(b) The fees paid for a complex appraisal assignment shall reflect the increased time, 
340.4 	difficulty, and scope of work required.
340.5 	(c) An appraisal management company shall maintain written documentation describing 
340.6 	and substantiating all methods and information used to determine the customary and 
340.7 	reasonable fees required by this section.

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

340.9 	Sec. 50. [214.035] LICENSING DISQUALIFICATIONS; PRELIMINARY 
340.10 	APPLICATIONS; REPORTS.
340.11 		Subdivision 1.Definitions. (a) For purposes of this section, the following terms have 
340.12 	the meanings given.
340.13 	(b) "Conviction" has the meaning given in section 609.02, subdivision 5.
340.14 	(c) "Criminal record" means a record of an arrest, prosecution, criminal proceeding, or 
340.15 	conviction.
340.16 	(d) "State licensor" or "licensor" means a state agency or examining and licensing board 
340.17 	that issues an occupational or professional license, registration, or certificate and considers 
340.18 	before issuing the license, registration, or certificate any criminal record or conviction of 
340.19 	an applicant that may make an applicant ineligible to receive the license, registration, or 
340.20 	certificate.
340.21 		Subd. 2.Scope. (a) This section does not apply to a license, registration, or certificate 
340.22 	issued by a state licensor if the license, registration, or certificate does not require an applicant 
340.23 	to report to the state licensor as part of the application process the applicant's criminal record 
340.24 	or does not require an applicant to obtain a criminal background check or study as part of 
340.25 	the application process to obtain the license, registration, or certificate.
340.26 	(b) This section does not apply to a license, registration, or certificate issued by the 
340.27 	Department of Health, Department of Human Services, or any health-related licensing board, 
340.28 	as defined in section 214.01, subdivision 2.
340.29 	(c) The preliminary application process described under this section may only be utilized 
340.30 	by an individual who has a criminal record.
341.1 		Subd. 3.Preliminary applications. (a) Notwithstanding any law to the contrary, all 
341.2 	state licensors shall permit an individual to submit a preliminary application for a 
341.3 	determination pursuant to this section as to whether a criminal record or conviction that 
341.4 	may be considered by the state licensor under state law would make the individual ineligible 
341.5 	to receive an occupational or professional license, registration, or certificate issued by the 
341.6 	state licensor.
341.7 	(b) An applicant shall submit a preliminary application and any other supporting 
341.8 	documents to the appropriate state licensor in a form and manner approved by the licensor. 
341.9 	The state licensor may require that the applicant provide information about the applicant's 
341.10 	criminal record in the form and manner approved by the licensor.
341.11 	(c) A state licensor may charge a fee to cover any expenses incurred in connection with 
341.12 	processing a preliminary application, provided the fee does not exceed the actual cost to 
341.13 	the state licensor of processing the application or the initial fee for the applicable license, 
341.14 	registration, or certificate. If the applicant subsequently applies for the license, registration, 
341.15 	or certificate, the amount of the preliminary application fee paid by the applicant must be 
341.16 	credited toward the applicant's initial fee for the license, registration, or certificate. An 
341.17 	applicant may request a waiver of this fee. A fee collected under this paragraph for the 
341.18 	expenses incurred by the state licensor shall be deposited in the fund in the state treasury 
341.19 	in which the state licensor deposits fees collected for issuing occupational or professional 
341.20 	licenses, registrations, or certificates. If the state licensor does not collect a fee for issuing 
341.21 	occupational or professional licenses, registrations, or certificates, any fee collected under 
341.22 	this paragraph shall be deposited pursuant to section 214.06, subdivision 1.
341.23 	(d) Upon receipt of a completed preliminary application and any necessary supporting 
341.24 	documents, the state licensor must determine under state law whether a criminal record or 
341.25 	conviction that may be considered under state law would make the applicant ineligible to 
341.26 	receive a professional or occupational license, registration, or certificate from the licensor. 
341.27 	The state licensor must issue a written decision within 60 days of receiving a completed 
341.28 	preliminary application. If the state licensor determines that a criminal record or conviction 
341.29 	would make the applicant ineligible to receive a professional or occupational license, 
341.30 	registration, or certificate, the written decision must:
341.31 	(1) state all reasons the professional or occupational license, registration, or certificate 
341.32 	would be denied, including the standard used to make the decision;
341.33 	(2) notify the applicant of the right to appeal the decision or seek reconsideration of the 
341.34 	results of a background check or background study, if applicable; and
342.1 	(3) inform the applicant of any action or additional steps the applicant could take to 
342.2 	qualify for a professional or occupational license, registration, or certificate.
342.3 	(e) If a state licensor determines that no criminal records or convictions would make the 
342.4 	applicant ineligible to receive a professional or occupational license, registration, or 
342.5 	certificate, that decision is binding on the licensor unless the decision is clearly erroneous 
342.6 	under state law or:
342.7 	(1) the applicant is convicted of a crime or commits any other disqualifying act that may 
342.8 	be considered by the state licensor under state law after submission of the preliminary 
342.9 	application;
342.10 	(2) the applicant provided incomplete information in the preliminary application;
342.11 	(3) the applicant provided inaccurate or fraudulent information in the preliminary 
342.12 	application; or
342.13 	(4) changes to state law were enacted after the date the decision was issued, making the 
342.14 	applicant ineligible under state law to receive a license, registration, or certificate.
342.15 	(f) Nothing in this section precludes a licensor from issuing a license, registration, or 
342.16 	certificate to an applicant that includes limitations or conditions on the license, registration, 
342.17 	or certificate based on a criminal conviction or alleged misconduct of the applicant.
342.18 	(g) By August 1 of each year, each state licensor shall submit to the commissioner of 
342.19 	management and budget the number of applicants who submitted preliminary applications 
342.20 	to the licensor in accordance with this section and the number of applicants who subsequently 
342.21 	applied for a license, registration, or certificate for the previous fiscal year. The state licensor 
342.22 	shall also submit the total amount of initial application fees that were not paid by these 
342.23 	applicants pursuant to paragraph (c), or, if the licensor does not collect a fee for issuing a 
342.24 	license, registration, or certificate, the cost of processing the preliminary application fee 
342.25 	that was not covered pursuant to paragraph (c). Each fiscal year, an amount necessary to 
342.26 	pay each state licensor the rest of each initial application fee or the rest of the cost of 
342.27 	processing each preliminary application if an initial application fee was not collected by 
342.28 	the licensor is appropriated from the general fund to the appropriate state licensor.
342.29 	(h) This section does not apply to a state licensor that does not require an applicant to 
342.30 	provide a criminal record, complete a background check, or complete a background study.
342.31 		Subd. 4.Reports. (a) By January 15 of each year, every state licensor shall report to the 
342.32 	Department of Employment and Economic Development on:
343.1 	(1) the number of individuals who applied for a professional or occupational license, 
343.2 	registration, or certificate from the licensor;
343.3 	(2) the number of individuals described in clause (1) who were found to be ineligible 
343.4 	due to a criminal record or conviction;
343.5 	(3) the number of individuals who submitted a preliminary application under this section; 
343.6 	and
343.7 	(4) the number of individuals described in clause (3) who were found to be ineligible 
343.8 	due to a criminal record or conviction.
343.9 	(b) On or before February 15 of each year, the commissioner of employment and 
343.10 	economic development shall compile the reports received under paragraph (a) and provide 
343.11 	the compiled reports to the chairs and ranking minority members of the house of 
343.12 	representatives and senate committees and divisions with jurisdiction over employment. 
343.13 	The commissioner of employment and economic development must make the report readily 
343.14 	available on the department's public website.

343.15 	Sec. 51. Minnesota Statutes 2020, section 239.761, subdivision 3, is amended to read:
343.16 		Subd. 3.Gasoline. (a) Gasoline that is not blended with biofuel must not be contaminated 
343.17 	with water or other impurities and must comply with ASTM specification D4814-11b. 
343.18 	Gasoline that is not blended with biofuel must also comply with the volatility requirements 
343.19 	in Code of Federal Regulations, title 40, part 80 1090.
343.20 	(b) After gasoline is sold, transferred, or otherwise removed from a refinery or terminal, 
343.21 	a person responsible for the product:
343.22 	(1) may blend the gasoline with agriculturally derived ethanol as provided in subdivision 
343.23 	4;
343.24 	(2) shall not blend the gasoline with any oxygenate other than biofuel;
343.25 	(3) shall not blend the gasoline with other petroleum products that are not gasoline or 
343.26 	biofuel;
343.27 	(4) shall not blend the gasoline with products commonly and commercially known as 
343.28 	casinghead gasoline, absorption gasoline, condensation gasoline, drip gasoline, or natural 
343.29 	gasoline; and
343.30 	(5) may blend the gasoline with a detergent additive, an antiknock additive, or an additive 
343.31 	designed to replace tetra-ethyl lead, that is registered by the EPA.

344.1 	Sec. 52. Minnesota Statutes 2020, section 239.761, subdivision 4, is amended to read:
344.2 		Subd. 4.Gasoline blended with ethanol; general. (a) Gasoline may be blended with 
344.3 	agriculturally derived, denatured ethanol that complies with the requirements of subdivision 
344.4 	5.
344.5 	(b) A gasoline-ethanol blend must:
344.6 	(1) comply with the volatility requirements in Code of Federal Regulations, title 40, part 
344.7 	80 1090;
344.8 	(2) comply with ASTM specification D4814-11b, or the gasoline base stock from which 
344.9 	a gasoline-ethanol blend was produced must comply with ASTM specification D4814-11b; 
344.10 	and
344.11 	(3) not be blended with casinghead gasoline, absorption gasoline, condensation gasoline, 
344.12 	drip gasoline, or natural gasoline after the gasoline-ethanol blend has been sold, transferred, 
344.13 	or otherwise removed from a refinery or terminal.

344.14 	Sec. 53. Minnesota Statutes 2020, section 239.791, subdivision 2a, is amended to read:
344.15 		Subd. 2a.Federal Clean Air Act waivers; conditions. (a) Before a waiver granted by 
344.16 	the United States Environmental Protection Agency under United States Code, title 42, 
344.17 	section 7545, may alter the minimum content level required by subdivision 1, paragraph 
344.18 	(a), clause (1), item (ii), the waiver must:
344.19 	(1) apply to all gasoline-powered motor vehicles irrespective of model year; and
344.20 	(2) allow for special regulatory treatment of Reid vapor pressure under Code of Federal 
344.21 	Regulations, title 40, section 80.27 part 1090.215, paragraph (d) (b), for blends of gasoline 
344.22 	and ethanol up to the maximum percent of denatured ethanol by volume authorized under 
344.23 	the waiver.
344.24 	(b) The minimum biofuel requirement in subdivision 1, paragraph (a), clause (1), item 
344.25 	(ii), shall, upon the grant of the federal waiver, be effective the day after the commissioner 
344.26 	of commerce publishes notice in the State Register. In making this determination, the 
344.27 	commissioner shall consider the amount of time required by refiners, retailers, pipeline and 
344.28 	distribution terminal companies, and other fuel suppliers, acting expeditiously, to make the 
344.29 	operational and logistical changes required to supply fuel in compliance with the minimum 
344.30 	biofuel requirement.

345.1 	Sec. 54. Minnesota Statutes 2020, section 296A.01, subdivision 23, is amended to read:
345.2 		Subd. 23.Gasoline. (a) "Gasoline" means:
345.3 	(1) all products commonly or commercially known or sold as gasoline regardless of 
345.4 	their classification or uses, except casinghead gasoline, absorption gasoline, condensation 
345.5 	gasoline, drip gasoline, or natural gasoline that under the requirements of section 239.761, 
345.6 	subdivision 3, must not be blended with gasoline that has been sold, transferred, or otherwise 
345.7 	removed from a refinery or terminal; and
345.8 	(2) any liquid prepared, advertised, offered for sale or sold for use as, or commonly and 
345.9 	commercially used as, a fuel in spark-ignition, internal combustion engines, and that when 
345.10 	tested by the Weights and Measures Division meets the specifications in ASTM specification 
345.11 	D4814-11b.
345.12 	(b) Gasoline that is not blended with ethanol must not be contaminated with water or 
345.13 	other impurities and must comply with both ASTM specification D4814-11b and the volatility 
345.14 	requirements in Code of Federal Regulations, title 40, part 80 1090.
345.15 	(c) After gasoline is sold, transferred, or otherwise removed from a refinery or terminal, 
345.16 	a person responsible for the product:
345.17 	(1) may blend the gasoline with agriculturally derived ethanol, as provided in subdivision 
345.18 	24;
345.19 	(2) must not blend the gasoline with any oxygenate other than denatured, agriculturally 
345.20 	derived ethanol;
345.21 	(3) must not blend the gasoline with other petroleum products that are not gasoline or 
345.22 	denatured, agriculturally derived ethanol;
345.23 	(4) must not blend the gasoline with products commonly and commercially known as 
345.24 	casinghead gasoline, absorption gasoline, condensation gasoline, drip gasoline, or natural 
345.25 	gasoline; and
345.26 	(5) may blend the gasoline with a detergent additive, an antiknock additive, or an additive 
345.27 	designed to replace tetra-ethyl lead, that is registered by the EPA.

345.28 	Sec. 55. Minnesota Statutes 2020, section 332.33, subdivision 3, is amended to read:
345.29 		Subd. 3.Term. Licenses issued or renewed and registrations received by the 
345.30 	commissioner of commerce under sections 332.31 to 332.44 shall expire on June 30. Each 
345.31 	collection agency license shall plainly state the name and business address of the licensee, 
345.32 	and shall be posted in a conspicuous place in the office where the business is transacted. 
346.1 	The fee for each collection agency license is $500, and renewal is $400. The fee for each 
346.2 	collector registration and renewal is $10, which entitles the individual collector to work at 
346.3 	a licensee's business location or in another location as provided under subdivision 5b. An 
346.4 	additional branch license is not required for a location used under subdivision 5b. A collection 
346.5 	agency licensee who desires to carry on business in more than one place shall procure a 
346.6 	license for each place where the business is to be conducted.

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

346.8 	Sec. 56. Minnesota Statutes 2020, section 332.33, is amended by adding a subdivision to 
346.9 	read:
346.10 		Subd. 5b.Work from home. An employee of a licensed collection agency may work 
346.11 	from a location other than the licensee's business location if the licensee and employee 
346.12 	comply with all requirements under this section that would apply if the employee were 
346.13 	working at the business location.

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

346.15 	Sec. 57. Minnesota Statutes 2020, section 336.9-510, is amended to read:
346.16 	336.9-510 EFFECTIVENESS OF FILED RECORD.
346.17 	(a) Filed record effective if authorized. A filed record is effective only to the extent 
346.18 	that it was filed by a person that may file it under section 336.9-509 or by the filing office 
346.19 	under section 336.9-5135.
346.20 	(b) Authorization by one secured party of record. A record authorized by one secured 
346.21 	party of record does not affect the financing statement with respect to another secured party 
346.22 	of record.
346.23 	(c) Continuation statement not timely filed. A continuation statement that is not filed 
346.24 	within the six-month period prescribed by section 336.9-515(d) is ineffective.

346.25 	Sec. 58. [336.9-5135] TERMINATION OF WRONGFULLY FILED FINANCING 
346.26 	STATEMENT; REINSTATEMENT.
346.27 	(a) Intent to harass. "Intent to harass" means that from the totality of the information 
346.28 	provided in the record, it appears obvious to the filing office that there is no valid basis for 
346.29 	the filing of the record.
346.30 	(b) Affidavit of wrongful filing. A person identified as the debtor in a filed financing 
346.31 	statement may deliver to the filing office a notarized affidavit that identifies the financing 
347.1 	statement by file number, indicates the person's mailing address, and states that the person 
347.2 	believes the filed record identifying the person as the debtor was not authorized to be filed 
347.3 	and was communicated or caused to be communicated to the office with the intent to harass 
347.4 	or defraud the person identified as the debtor. The office may reject an affidavit that is 
347.5 	incomplete or that the office believes was delivered with the intent to harass or defraud the 
347.6 	secured party. The secretary of state must provide a form of affidavit for use under this 
347.7 	section.
347.8 	(c) Termination statement by filing office. If an affidavit is delivered to the filing 
347.9 	office under subsection (b) and is not rejected under subsection (b), the office must promptly 
347.10 	file a termination statement with respect to the financing statement identified in the affidavit. 
347.11 	The termination statement must identify by its file number the initial financing statement 
347.12 	it relates to and must indicate that it was filed pursuant to this section. A termination 
347.13 	statement filed under this subsection is not effective until 20 days after the date it is filed.
347.14 	(d) No fee charged or refunded. The filing office must not charge a fee to file an 
347.15 	affidavit under subsection (b) or a termination statement under subsection (c). The office 
347.16 	must not return any fee paid to file the financing statement identified in the affidavit, whether 
347.17 	or not the financing statement is reinstated under subsection (g).
347.18 	(e) Notice of termination statement. Within two business days of the date a filing office 
347.19 	files a termination statement under subsection (c), it must send to the secured party of record 
347.20 	for the financing statement the termination statement relates to a notice stating the termination 
347.21 	statement has been filed and becomes effective 20 days after the date the termination 
347.22 	statement was filed. The notice must be sent by certified mail, return receipt requested, to 
347.23 	the address provided for the secured party of record in the financing statement, with a copy 
347.24 	sent by e-mail to the e-mail address provided by the secured party of record, if any.
347.25 	(f) Administrative review; action for reinstatement. If a secured party believes in 
347.26 	good faith the filed record identified in an affidavit and delivered to the filing office under 
347.27 	subsection (b) was authorized to be filed and was not communicated or caused to be 
347.28 	communicated to the filing office with the intent to harass or defraud, the secured party may 
347.29 	do the following:
347.30 	(1) before the termination statement takes effect, request that the filing office conduct 
347.31 	an expedited review of the filed record and any documentation provided by the secured 
347.32 	party. The filing office may, as a result of the review, remove from the record the termination 
347.33 	statement the filing office filed under subsection (c) before the termination statement takes 
347.34 	effect; or
348.1 	(2) at any time, commence an action against the filing office seeking reinstatement of 
348.2 	the financing statement the filed record relates to. The action must be commenced before 
348.3 	the expiration of six months after the date the termination statement was filed under 
348.4 	subsection (c) becomes effective. If the person identified as the debtor is not named as a 
348.5 	defendant in the action, the secured party must send a copy of the complaint to the person 
348.6 	identified as the debtor at the address indicated in the affidavit. The exclusive venue for the 
348.7 	action is the district court for the county where the filing office in which the financing 
348.8 	statement was filed is located. The action must be considered by the court on an expedited 
348.9 	basis.
348.10 	(g) Office to file notice of action for reinstatement. Within ten days after the date the 
348.11 	filing office is served with process in an action under subsection (f), the filing office must 
348.12 	file in the central filing system a notice indicating the action has been commenced. The 
348.13 	notice must indicate the file number of the initial financing statement it relates to.
348.14 	(h) Action for reinstatement successful. In an action under subsection (f), if the court 
348.15 	determines the financing statement was authorized to be filed and was not communicated 
348.16 	or caused to be communicated to the filing office with the intent to harass or defraud the 
348.17 	person identified as the debtor, the court must order that the financing statement is reinstated. 
348.18 	If a reinstatement order is issued by the court, the filing office must promptly file a record 
348.19 	that identifies by its file number the initial financing statement the record relates to and 
348.20 	indicates the financing statement has been reinstated.
348.21 	(i) Effect of reinstatement. Upon the filing of a record reinstating a financing statement 
348.22 	under subsection (h), the effectiveness of the financing statement is reinstated and the 
348.23 	financing statement is considered to never have been terminated under this section. A 
348.24 	continuation statement filed under section 336.9-515(d) after the effective date of a 
348.25 	termination statement filed under subsection (c) becomes effective if the financing statement 
348.26 	is reinstated.
348.27 	(j) Liability for wrongful filing. In an action under subsection (f), if the court determines 
348.28 	the filed record identified in an affidavit delivered to the filing office under subsection (b) 
348.29 	was not authorized to be filed and was communicated or caused to be communicated to the 
348.30 	filing office with the intent to harass or defraud the person identified as the debtor, the filing 
348.31 	office and the person identified as the debtor may recover from the secured party that filed 
348.32 	the action the costs and expenses, including reasonable attorney fees, that the filing office 
348.33 	and the person identified as the debtor incurred in the action. The recovery is under this 
348.34 	subsection in addition to any recovery the person identified as the debtor is entitled to under 
348.35 	section 336.9-625.

349.1 	Sec. 59. Minnesota Statutes 2020, section 336.9-516, is amended to read:
349.2 	336.9-516 WHAT CONSTITUTES FILING; EFFECTIVENESS OF FILING.
349.3 	(a) What constitutes filing. Except as otherwise provided in subsection (b), 
349.4 	communication of a record to a filing office and tender of the filing fee or acceptance of 
349.5 	the record by the filing office constitutes filing.
349.6 	(b) Refusal to accept record; filing does not occur. Filing does not occur with respect 
349.7 	to a record that a filing office refuses to accept because:
349.8 	(1) the record is not communicated by a method or medium of communication authorized 
349.9 	by the filing office. For purposes of filing office authorization, transmission of records using 
349.10 	the Extensible Markup Language (XML) format is authorized by the filing office after the 
349.11 	later of July 1, 2007, or the determination of the secretary of state that the central filing 
349.12 	system is capable of receiving and processing these records;
349.13 	(2) an amount equal to or greater than the applicable filing fee is not tendered;
349.14 	(3) the filing office is unable to index the record because:
349.15 	(A) in the case of an initial financing statement, the record does not provide a name for 
349.16 	the debtor;
349.17 	(B) in the case of an amendment or information statement, the record:
349.18 	(i) does not identify the initial financing statement as required by section 336.9-512 or 
349.19 	336.9-518, as applicable; or
349.20 	(ii) identifies an initial financing statement whose effectiveness has lapsed under section 
349.21 	336.9-515;
349.22 	(C) in the case of an initial financing statement that provides the name of a debtor 
349.23 	identified as an individual or an amendment that provides a name of a debtor identified as 
349.24 	an individual which was not previously provided in the financing statement to which the 
349.25 	record relates, the record does not identify the debtor's surname; or
349.26 	(D) in the case of a record filed or recorded in the filing office described in section 
349.27 	336.9-501 (a)(1), the record does not provide a sufficient description of the real property 
349.28 	to which it relates;
349.29 	(4) in the case of an initial financing statement or an amendment that adds a secured 
349.30 	party of record, the record does not provide a name and mailing address for the secured 
349.31 	party of record;
350.1 	(5) in the case of an initial financing statement or an amendment that provides a name 
350.2 	of a debtor which was not previously provided in the financing statement to which the 
350.3 	amendment relates, the record does not:
350.4 	(A) provide a mailing address for the debtor; or
350.5 	(B) indicate whether the name provided as the name of the debtor is the name of an 
350.6 	individual or an organization;
350.7 	(6) in the case of an assignment reflected in an initial financing statement under section 
350.8 	336.9-514 (a) or an amendment filed under section 336.9-514 (b), the record does not provide 
350.9 	a name and mailing address for the assignee; or
350.10 	(7) in the case of a continuation statement, the record is not filed within the six-month 
350.11 	period prescribed by section 336.9-515 (d).; or
350.12 	(8) in the case of an initial financing statement or an amendment that provides a name 
350.13 	of a debtor not previously provided in the financing statement to which the amendment 
350.14 	relates, the office reasonably believes the record was communicated or caused to be 
350.15 	communicated (i) with the intent to harass or defraud the person identified as the debtor, or 
350.16 	(ii) for another unlawful purpose. The office has no duty to form a belief as to whether a 
350.17 	record was communicated or caused to be communicated with the intent to harass or defraud 
350.18 	the person identified as the debtor or for another unlawful purpose, and has no duty to 
350.19 	investigate or ascertain facts relevant to whether the intent or purpose was present. The 
350.20 	secretary of state is not required to return an image of a filing rejected under this clause.
350.21 	(c) Rules applicable to subsection (b). For purposes of subsection (b):
350.22 	(1) a record does not provide information if the filing office is unable to read or decipher 
350.23 	the information; and
350.24 	(2) a record that does not indicate that it is an amendment or identify an initial financing 
350.25 	statement to which it relates, as required by section 336.9-512, 336.9-514, or 336.9-518, is 
350.26 	an initial financing statement.
350.27 	(d) Refusal to accept record; record effective as filed record. A record that is 
350.28 	communicated to the filing office with tender of the filing fee, but which the filing office 
350.29 	refuses to accept for a reason other than one set forth in subsection (b), is effective as a filed 
350.30 	record except as against a purchaser of the collateral which gives value in reasonable reliance 
350.31 	upon the absence of the record from the files.
350.32 	(e) Effectiveness of record; purchaser in good faith. A record that the filing office 
350.33 	initially refuses to accept under subsection (b)(8) but later accepts after receiving additional 
351.1 	information is effective as if the office had not initially refused to accept the record, except 
351.2 	as against a purchaser of the collateral that gives value in reasonable reliance upon the 
351.3 	absence of the record from the files.

351.4 	Sec. 60. Minnesota Statutes 2020, section 515B.3-102, is amended to read:
351.5 	515B.3-102 POWERS OF UNIT OWNERS' ASSOCIATION.
351.6 	(a) Except as provided in subsections (b), (c), (d), and (e), (f), (g), and (h) and subject 
351.7 	to the provisions of the declaration or bylaws, the association shall have the power to:
351.8 	(1) adopt, amend and revoke rules and regulations not inconsistent with the articles of 
351.9 	incorporation, bylaws and declaration, as follows: (i) regulating the use of the common 
351.10 	elements; (ii) regulating the use of the units, and conduct of unit occupants, which may 
351.11 	jeopardize the health, safety or welfare of other occupants, which involves noise or other 
351.12 	disturbing activity, or which may damage the common elements or other units; (iii) regulating 
351.13 	or prohibiting animals; (iv) regulating changes in the appearance of the common elements 
351.14 	and conduct which may damage the common interest community; (v) regulating the exterior 
351.15 	appearance of the common interest community, including, for example, balconies and patios, 
351.16 	window treatments, and signs and other displays, regardless of whether inside a unit; (vi) 
351.17 	implementing the articles of incorporation, declaration and bylaws, and exercising the 
351.18 	powers granted by this section; and (vii) otherwise facilitating the operation of the common 
351.19 	interest community;
351.20 	(2) adopt and amend budgets for revenues, expenditures and reserves, and levy and 
351.21 	collect assessments for common expenses from unit owners;
351.22 	(3) hire and discharge managing agents and other employees, agents, and independent 
351.23 	contractors;
351.24 	(4) institute, defend, or intervene in litigation or administrative proceedings (i) in its 
351.25 	own name on behalf of itself or two or more unit owners on matters affecting the common 
351.26 	elements or other matters affecting the common interest community or, (ii) with the consent 
351.27 	of the owners of the affected units on matters affecting only those units;
351.28 	(5) make contracts and incur liabilities;
351.29 	(6) regulate the use, maintenance, repair, replacement, and modification of the common 
351.30 	elements and the units;
351.31 	(7) cause improvements to be made as a part of the common elements, and, in the case 
351.32 	of a cooperative, the units;
352.1 	(8) acquire, hold, encumber, and convey in its own name any right, title, or interest to 
352.2 	real estate or personal property, but (i) common elements in a condominium or planned 
352.3 	community may be conveyed or subjected to a security interest only pursuant to section 
352.4 	515B.3-112, or (ii) part of a cooperative may be conveyed, or all or part of a cooperative 
352.5 	may be subjected to a security interest, only pursuant to section 515B.3-112;
352.6 	(9) grant or amend easements for public utilities, public rights-of-way or other public 
352.7 	purposes, and cable television or other communications, through, over or under the common 
352.8 	elements; grant or amend easements, leases, or licenses to unit owners for purposes authorized 
352.9 	by the declaration; and, subject to approval by a vote of unit owners other than declarant 
352.10 	or its affiliates, grant or amend other easements, leases, and licenses through, over or under 
352.11 	the common elements;
352.12 	(10) impose and receive any payments, fees, or charges for the use, rental, or operation 
352.13 	of the common elements, other than limited common elements, and for services provided 
352.14 	to unit owners;
352.15 	(11) impose interest and late charges for late payment of assessments and, after notice 
352.16 	and an opportunity to be heard before the board or a committee appointed by it, levy 
352.17 	reasonable fines for violations of the declaration, bylaws, and rules and regulations of the 
352.18 	association;
352.19 	(12) impose reasonable charges for the review, preparation and recordation of 
352.20 	amendments to the declaration, resale certificates required by section 515B.4-107, statements 
352.21 	of unpaid assessments, or furnishing copies of association records;
352.22 	(13) provide for the indemnification of its officers and directors, and maintain directors' 
352.23 	and officers' liability insurance;
352.24 	(14) provide for reasonable procedures governing the conduct of meetings and election 
352.25 	of directors;
352.26 	(15) exercise any other powers conferred by law, or by the declaration, articles of 
352.27 	incorporation or bylaws; and
352.28 	(16) exercise any other powers necessary and proper for the governance and operation 
352.29 	of the association.
352.30 	(b) Notwithstanding subsection (a) the declaration or bylaws may not impose limitations 
352.31 	on the power of the association to deal with the declarant which are more restrictive than 
352.32 	the limitations imposed on the power of the association to deal with other persons.
353.1 	(c) An association levying a fine pursuant to subsection (a)(11), or an assessment pursuant 
353.2 	to section 515B.3-115(g) or 515B.3-1151(g), must provide written notice to a unit owner 
353.3 	that:
353.4 	(1) if applicable, indicates the amount, date, and reason for the levy;
353.5 	(2) identifies the violation for which a fine is being levied and the specific section of 
353.6 	the declaration, bylaws, or rules and regulations allegedly violated;
353.7 	(3) states that all unpaid fines and assessments are liens which, if not satisfied, could 
353.8 	lead to foreclosure of the unit;
353.9 	(4) describes the right of the unit owner to be heard by the board or a committee appointed 
353.10 	by the board;
353.11 	(5) states that if the assessment, fees, charges, or fine is not paid, the amount owed may 
353.12 	increase as a result of the imposition of attorney fees and other costs of collection; and
353.13 	(6) informs the unit owner that homeownership assistance is available from, and includes 
353.14 	the contact information for, the Minnesota Homeownership Center.
353.15 	(d) No further collection or enforcement action may be taken by the association for the 
353.16 	15-day period following delivery of the notice required under paragraph (c).
353.17 	(e) No attorney fees are chargeable or may be collected from a unit owner who disputes 
353.18 	the levy or assessment and prevails at a hearing held by the board or a committee appointed 
353.19 	by the board.
353.20 	(c) (f) Notwithstanding subsection (a), powers exercised under this section must comply 
353.21 	with section 500.215.
353.22 	(d) (g) Notwithstanding subsection (a)(4) or any other provision of this chapter, the 
353.23 	association, before instituting litigation or arbitration involving construction defect claims 
353.24 	against a development party, shall:
353.25 	(1) mail or deliver written notice of the anticipated commencement of the action to each 
353.26 	unit owner at the addresses, if any, established for notices to owners in the declaration and, 
353.27 	if the declaration does not state how notices are to be given to owners, to the owner's last 
353.28 	known address. The notice shall specify the nature of the construction defect claims to be 
353.29 	alleged, the relief sought, and the manner in which the association proposes to fund the cost 
353.30 	of pursuing the construction defect claims; and
353.31 	(2) obtain the approval of owners of units to which a majority of the total votes in the 
353.32 	association are allocated. Votes allocated to units owned by the declarant, an affiliate of the 
354.1 	declarant, or a mortgagee who obtained ownership of the unit through a foreclosure sale 
354.2 	are excluded. The association may obtain the required approval by a vote at an annual or 
354.3 	special meeting of the members or, if authorized by the statute under which the association 
354.4 	is created and taken in compliance with that statute, by a vote of the members taken by 
354.5 	electronic means or mailed ballots. If the association holds a meeting and voting by electronic 
354.6 	means or mailed ballots is authorized by that statute, the association shall also provide for 
354.7 	voting by those methods. Section 515B.3-110(c) applies to votes taken by electronic means 
354.8 	or mailed ballots, except that the votes must be used in combination with the vote taken at 
354.9 	a meeting and are not in lieu of holding a meeting, if a meeting is held, and are considered 
354.10 	for purposes of determining whether a quorum was present. Proxies may not be used for a 
354.11 	vote taken under this paragraph unless the unit owner executes the proxy after receipt of 
354.12 	the notice required under subsection (d) (g)(1) and the proxy expressly references this notice.
354.13 	(e) (h) The association may intervene in a litigation or arbitration involving a construction 
354.14 	defect claim or assert a construction defect claim as a counterclaim, crossclaim, or third-party 
354.15 	claim before complying with subsections (d) (g)(1) and (d) (g)(2) but the association's 
354.16 	complaint in an intervention, counterclaim, crossclaim, or third-party claim shall be dismissed 
354.17 	without prejudice unless the association has complied with the requirements of subsection 
354.18 	(d) (g) within 90 days of the association's commencement of the complaint in an intervention 
354.19 	or the assertion of the counterclaim, crossclaim, or third-party claim.

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

354.21 	Sec. 61. Minnesota Statutes 2020, section 549.30, subdivision 3, is amended to read:
354.22 		Subd. 3.Applicable law. "Applicable law" means: (1) the laws of the United States; (2) 
354.23 	the laws of this state, including principles of equity applied in the courts of this state; and 
354.24 	(3) the laws of any other jurisdiction: (i) which is the domicile of the payee or any other 
354.25 	interested party; (ii) under whose laws a structured settlement agreement was approved by 
354.26 	a court or responsible administrative authority; or (iii) in whose courts a settled claim was 
354.27 	pending when the parties entered into a structured settlement agreement.

354.28 	Sec. 62. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to 
354.29 	read:
354.30 		Subd. 3a.Assignee. "Assignee" means a person acquiring or proposing to acquire 
354.31 	structured settlement payment rights from a transferee.

355.1 	Sec. 63. Minnesota Statutes 2020, section 549.30, is amended by adding a subdivision to 
355.2 	read:
355.3 		Subd. 5a.Effective equivalent annual interest rate. "Effective equivalent annual 
355.4 	interest rate" means the annualized rate of interest on the net advance amount, calculated 
355.5 	by treating the transferred settlement payments as if the transferred settlement payments 
355.6 	were installment payments on a loan, with each payment applied first to the accrued unpaid 
355.7 	interest and then to the principal.

355.8 	Sec. 64. Minnesota Statutes 2020, section 549.30, subdivision 6, is amended to read:
355.9 		Subd. 6.Independent professional advice. "Independent professional advice" means 
355.10 	advice of an attorney, certified public accountant, actuary, financial adviser, or other licensed 
355.11 	professional adviser: (1) who is engaged by a payee to render advice concerning the legal, 
355.12 	tax, and financial implications of a transfer of structured settlement payment rights; (2) to 
355.13 	whom the payee is not referred directly or indirectly and who is not in any manner affiliated 
355.14 	with or compensated by the transferee of the transfer; and (3) whose compensation for 
355.15 	providing the advice is not affected by whether a transfer occurs or does not occur.

355.16 	Sec. 65. Minnesota Statutes 2020, section 549.30, subdivision 15, is amended to read:
355.17 		Subd. 15.Structured settlement payment rights. "Structured settlement payment 
355.18 	rights" means rights to receive periodic payments, including lump-sum payments, under a 
355.19 	structured settlement, whether from the settlement obligor or the annuity issuer, where: (1) 
355.20 	the payee or any other interested party is domiciled in the state; (2) the structured settlement 
355.21 	agreement was approved by a court or responsible administrative authority in the state; or 
355.22 	(3) the settled claim was pending before the courts of this state when the parties entered 
355.23 	into the structured settlement agreement.

355.24 	Sec. 66. Minnesota Statutes 2020, section 549.30, subdivision 19, is amended to read:
355.25 		Subd. 19.Transferee. "Transferee" means a person who is receiving or will receive
355.26 	acquiring or proposing to acquire structured settlement payment rights resulting from a 
355.27 	transfer.

356.1 	Sec. 67. Minnesota Statutes 2020, section 549.31, is amended to read:
356.2 	549.31 CONDITIONS TO TRANSFERS OF STRUCTURED SETTLEMENT 
356.3 	PAYMENT RIGHTS AND STRUCTURED SETTLEMENT AGREEMENTS.
356.4 		Subdivision 1.Generally. No direct or indirect transfer of structured settlement payment 
356.5 	rights is effective and no structured settlement obligor or annuity issuer is required to make 
356.6 	a payment directly or indirectly to a transferee of structured settlement payment rights unless 
356.7 	the transfer has been authorized in advance in a final order of a court of competent jurisdiction 
356.8 	or responsible administrative authority, based on the court's or responsible administrative 
356.9 	authority's written express findings, after notice and hearing, that:
356.10 	(a) the transfer complies with the requirements of sections 549.31 to 549.34 and will 
356.11 	not contravene other applicable law;
356.12 	(b) not less than ten days before the date on which the payee first incurred an obligation 
356.13 	with respect to the transfer, the transferee has provided to the payee, an attorney representing 
356.14 	the payee or advising the payee, or any other professional known to be advising the payee
356.15 	a disclosure statement in bold type, no smaller than 14 points, specifying:
356.16 	(1) the amounts and due dates of the structured settlement payments to be transferred;
356.17 	(2) the aggregate amount of the payments;
356.18 	(3) the discounted present value of the payments, together with the discount rate used 
356.19 	in determining the discounted present value;
356.20 	(4) the gross amount payable to the payee in exchange for the payments;
356.21 	(5) an itemized listing of all brokers' commissions, service charges, application fees, 
356.22 	processing fees, closing costs, filing fees, referral fees, administrative fees, legal fees, notary 
356.23 	fees, and other commissions, fees, costs, expenses, and any other charges payable by the 
356.24 	payee or deductible from the gross amount otherwise payable to the payee, and verification 
356.25 	that the total fees and charges do not exceed two percent of the total compensation payable 
356.26 	to the payee;
356.27 	(6) the net amount payable to the payee after deduction of all commissions, fees, costs, 
356.28 	expenses, and charges described in clause (5);
356.29 	(7) the quotient, expressed as a percentage, obtained by dividing the net payment amount 
356.30 	by the discounted present value of the payments; and
357.1 	(8) the amount of any penalty and the aggregate amount of any liquidated damages, 
357.2 	including penalties, payable by the payee in the event of a breach of the transfer agreement 
357.3 	by the payee;
357.4 	(9) the effective equivalent annual interest rate, disclosed in the following form: "Based 
357.5 	on the net amount that you will receive from us and the amounts and timing of the structured 
357.6 	settlement payments you are transferring to us, in effect you will be paying us at an interest 
357.7 	rate of ....... % per year"; and
357.8 	(10) that the payee is advised to obtain independent professional advice about the transfer, 
357.9 	disclosed in the following form: "Before agreeing to sell any of your payment rights, you 
357.10 	should seek guidance from an attorney, accountant, actuary, financial adviser, or tax or 
357.11 	other licensed professional adviser who is not associated with the buyer. It is illegal for the 
357.12 	buyer to refer you to anyone for this advice and for anyone associated with or paid for by 
357.13 	the buyer to give you advice.";
357.14 	(c) based on the files, records, disclosures, and evidence presented at the hearing, the 
357.15 	payee court has established that the financial terms of the proposed transfer are fair and 
357.16 	reasonable and the proposed transfer is in the best interests of the payee and the payee's 
357.17 	dependents;, after considering:
357.18 	(1) the payee's age, legal knowledge, and apparent maturity level, and any other relevant 
357.19 	factors and the stated purpose of the transfer;
357.20 	(2) whether the payee has the capacity to fully understand the financial terms and 
357.21 	implications of the transfer agreement;
357.22 	(3) whether the payee is employed or employable;
357.23 	(4) the payee's ability to meet (i) ongoing and known future living expenses, including 
357.24 	medical expenses, and (ii) the current and future financial obligations of the payee and the 
357.25 	payee's dependents, including child support and spousal maintenance;
357.26 	(5) whether the payee completed previous transactions involving the payee's structured 
357.27 	settlement payments, and the timing, size, stated purpose, and actual use of the proceeds;
357.28 	(6) the impact of the proposed transfer on current or future eligibility of the payee or 
357.29 	the payee's dependents for public benefits; and
357.30 	(7) any other factors or facts the court determines are relevant and should be considered;
357.31 	(d) the payee has or has not received independent professional advice regarding the 
357.32 	legal, tax, and financial implications of the transfer;
358.1 	(e) the transferee has given written notice of the transferee's name, address, and taxpayer 
358.2 	identification number to the annuity issuer and the structured settlement obligor and has 
358.3 	filed a copy of the notice with the court or responsible administrative authority; and
358.4 	(f) that the transfer agreement provides that any disputes between the parties will be 
358.5 	governed, interpreted, construed, and enforced in accordance with the laws of this state and 
358.6 	that the domicile state of the payee is the proper place of venue to bring any cause of action 
358.7 	in district court arising out of a breach of the agreement. The transfer agreement must also 
358.8 	provide that the parties agree to the jurisdiction of any court of competent jurisdiction located 
358.9 	in this state and that no predispute arbitration is required by the agreement.
358.10 	If the transfer would contravene the terms of the structured settlement, upon the filing 
358.11 	of a written objection by any interested party and after considering the objection and any 
358.12 	response to it, the court or responsible administrative authority may grant, deny, or impose 
358.13 	conditions upon the proposed transfer as the court or responsible administrative authority 
358.14 	deems just and proper under the facts and circumstances in accordance with established 
358.15 	principles of law. Any order approving a transfer must require that the transferee indemnify 
358.16 	the annuity issuer and the structured settlement obligor for any liability including reasonable 
358.17 	costs and attorney fees arising from compliance by the issuer or obligor with the order of 
358.18 	the court or responsible administrative authority.
358.19 		Subd. 1a.Appointment of evaluator. The court may, in its discretion in any case, 
358.20 	appoint an attorney to make an independent assessment and advise the court whether the 
358.21 	financial terms of the proposed transfer agreement are fair and reasonable, and whether the 
358.22 	transfer is in the best interests of the payee and the payee's dependents. The evaluator must 
358.23 	present the findings of the evaluation to the court at or prior to a hearing on the application. 
358.24 	All costs and reasonable fees for the evaluator shall be borne by the transferee.
358.25 		Subd. 1b.Obligations of annuity issuers and structured settlement obligors; liability 
358.26 	of transferees. (a) The annuity issuer and the structured settlement obligor may rely on the 
358.27 	court order approving the transfer of structured settlement payment rights in redirecting 
358.28 	periodic payments and, as to all parties except the transferee or an assignee, be discharged 
358.29 	and released from any and all liability for the redirected payments. The failure of any party 
358.30 	to the transfer to comply with sections 549.30 to 549.34 or with the court order approving 
358.31 	the transfer has no effect on the discharge and release.
358.32 	(b) The transferee is liable to the structured settlement obligor and annuity issuer:
359.1 	(1) if the transfer contravenes the terms of the structured settlement, and for any taxes 
359.2 	incurred by the structured settlement obligor or annuity issuer resulting from the transfer; 
359.3 	or
359.4 	(2) for any other liabilities or costs, including reasonable attorney fees, arising from 
359.5 	compliance by the annuity issuer or the structured settlement obligor with the court order 
359.6 	approving the transfer, or from the failure of any party to the transfer to comply with sections 
359.7 	549.30 to 549.34.
359.8 	(c) Compliance with the requirements in sections 549.30 to 549.34 regarding any transfer 
359.9 	of structured settlement payment rights is solely the responsibility of the transferee, and 
359.10 	neither the annuity issuer nor the structured settlement obligor bears any responsibility for, 
359.11 	or any liability arising from, the failure to comply with the requirements or failure to fulfill 
359.12 	the conditions of the transfer.
359.13 	(d) Neither the annuity issuer nor the structured settlement obligor is required to divide 
359.14 	any periodic payment between the payee and any transferee or assignee or between two or 
359.15 	more transferees or assignees.
359.16 		Subd. 2.Unenforceable confessions of judgment. A provision in a transfer agreement 
359.17 	giving a transferee power to confess judgment against a payee is unenforceable to the extent 
359.18 	the amount of the judgment would exceed the amount paid by the transferee to the payee, 
359.19 	less any payments received from the structured settlement obligor or the payee.
359.20 		Subd. 3.Initial disclosure of structured settlement terms. In negotiating a structured 
359.21 	settlement of claims brought by or on behalf of a claimant who is domiciled in this state, 
359.22 	the structured settlement obligor shall disclose in writing to the claimant or the claimant's 
359.23 	legal representative all of the following information that is not otherwise specified in the 
359.24 	structured settlement agreement:
359.25 	(1) the amounts and due dates of the periodic payments to be made under the structured 
359.26 	settlement agreement. In the case of payments that will be subject to periodic percentage 
359.27 	increases, the amounts of future payments may be disclosed by identifying the base payment 
359.28 	amount, the amount and timing of scheduled increases, and the manner in which increases 
359.29 	will be compounded;
359.30 	(2) the amount of the premium payable to the annuity issuer;
359.31 	(3) the discounted present value of all periodic payments that are not life-contingent, 
359.32 	together with the discount rate used in determining the discounted present value;
360.1 	(4) the nature and amount of any cost that may be deducted from any of the periodic 
360.2 	payments;
360.3 	(5) where applicable, that any transfer of the periodic payments is prohibited by the 
360.4 	terms of the structured settlement and may otherwise be prohibited or restricted under 
360.5 	applicable law; and
360.6 	(6) that any transfer of the periodic payments by the claimant may subject the claimant 
360.7 	to serious adverse tax consequences.

360.8 	Sec. 68. [549.315] DISCOUNT RATE.
360.9 	The discount rate used in determining the net amount payable to the payee under the 
360.10 	transfer agreement may not exceed an annual percentage rate of prime plus five percentage 
360.11 	points calculated as if the net amount payable to the payee was the principal of a consumer 
360.12 	loan made by the transferee to the payee, and if the structured settlement payments to be 
360.13 	transferred to the transferee were the payee's payments of principal plus interest on such 
360.14 	loan. For purposes of this subdivision, the prime rate shall be as reported by the Federal 
360.15 	Reserve Statistical Release H.15 on the first Monday of the month in which the transfer 
360.16 	agreement is signed by both the payee and the transferee, except when the transfer agreement 
360.17 	is signed prior to the first Monday of that month then the prime rate shall be as reported by 
360.18 	the Federal Reserve Statistical Release H.15 on the first Monday of the preceding month.

360.19 	Sec. 69. Minnesota Statutes 2020, section 549.32, is amended to read:
360.20 	549.32 JURISDICTION APPLICATION; PROCEDURE FOR APPROVAL OF 
360.21 	TRANSFERS.
360.22 		Subdivision 1.Jurisdiction; venue. The district court has nonexclusive jurisdiction 
360.23 	over (a) An application for authorization under section 549.31 of a transfer of structured 
360.24 	settlement payment rights must be filed in the district court in the county in which the payee 
360.25 	resides.
360.26 	(b) The payee must appear in person at the hearing unless the court determines that good 
360.27 	cause exists to excuse the payee from appearing in person.
360.28 		Subd. 2.Notice. Not less than 20 days before the scheduled hearing on an application 
360.29 	for authorization of a transfer of structured settlement payment rights under section 549.31, 
360.30 	the transferee shall file with the court or responsible administrative authority and serve on: 
360.31 	any other government authority that previously approved the structured settlement; and all 
361.1 	interested parties, a notice of the proposed transfer and the application for its authorization. 
361.2 	The notice must include:
361.3 	(1) a copy of the transferee's application to the court or responsible administrative 
361.4 	authority, which must contain the payee's name and age;
361.5 	(2) a copy of the transfer agreement;
361.6 	(3) a copy of the disclosure statement required under section 549.31, subdivision 1, 
361.7 	paragraph (b), and proof that the disclosure statement has been delivered to the payee, to 
361.8 	an attorney representing or advising the payee, and to any other professional known to be 
361.9 	advising the payee;
361.10 	(4) notification that an interested party is entitled to support, oppose, or otherwise respond 
361.11 	to the transferee's application, either in person or by counsel, by submitting written comments 
361.12 	to the court or responsible administrative authority or by participating in the hearing;
361.13 	(5) notification of the time and place of the hearing and notification of the manner in 
361.14 	which and the time by which written responses to the application must be filed, in order to 
361.15 	be considered by the court or responsible administrative authority. Written responses to the 
361.16 	application must be filed within 15 days after service of the transferee's notice; and
361.17 	(6) notification of the date and judicial district court, and details of any prior application 
361.18 	for transfer filed by the transferee, an affiliate or assignee of the transferee, or any other 
361.19 	transferee relating to a prior proposed transfer with the payee, including whether the prior 
361.20 	application was granted or denied. If any prior application was granted, the notice shall 
361.21 	provide the amount and due dates of any structured settlement payments that were transferred, 
361.22 	the aggregate amount of the payments, the discounted present value of the payments, and 
361.23 	the gross amount that was payable to the payee in exchange for the payments.

361.24 	Sec. 70. [549.325] PROHIBITED PRACTICES.
361.25 		Subdivision 1.Prohibitions. No transferee shall:
361.26 	(1) represent the payee;
361.27 	(2) intervene in a pending structured settlement transfer proceeding, if the transferee is 
361.28 	not a party to such proceeding or an interested party relative to the proposed transfer that 
361.29 	is the subject of the pending structured settlement transfer proceeding;
361.30 	(3) offer or provide any gift, loan, extension of credit, or advance as an inducement to 
361.31 	enter into a transfer agreement or pay a fee to any person to refer a potential payee to the 
361.32 	transferee or any affiliate of the transferee;
362.1 	(4) communicate with a payee or a person associated with the payee with excessive 
362.2 	frequency, at unusual hours, or in any other manner as reasonably may be expected to abuse 
362.3 	or harass the payee in connection with a proposed transfer;
362.4 	(5) solicit a prospective payee through the conveyance of a document in any way 
362.5 	resembling a check or other form of payment;
362.6 	(6) provide in a transfer agreement or related document that gives to the transferee the 
362.7 	first choice or option to purchase any remaining structured settlement rights belonging to 
362.8 	the payee; or
362.9 	(7) solicit or petition for a transfer of a structured settlement from a minor or a parent 
362.10 	or guardian of a minor.
362.11 		Subd. 2.Enforcement. A violation of this section is a deceptive practice in violation of 
362.12 	section 325F.69.

362.13 	Sec. 71. Minnesota Statutes 2020, section 549.34, is amended to read:
362.14 	549.34 CONSTRUCTION.
362.15 	(a) Nothing contained in sections 549.30 to 549.34 may be construed to authorize the 
362.16 	transfer of workers' compensation payment rights in contravention of applicable law or to 
362.17 	give effect to the transfer of workers' compensation payment rights that is invalid under 
362.18 	applicable law.
362.19 	(b) No transfer of structured settlement payment rights shall extend to any payments 
362.20 	that are life contingent unless, prior to the date on which the payee signs the transfer 
362.21 	agreement, the transferee has established and has agreed to maintain procedures reasonably 
362.22 	satisfactory to the annuity issuer and the structured settlement obligor for:
362.23 	(1) periodically confirming the payee's survival; and
362.24 	(2) giving the annuity issuer and the structured settlement obligor prompt written notice 
362.25 	in the event of the payee's death.

362.26 	Sec. 72. REVISOR INSTRUCTION.
 362.27 	(a) The revisor of statutes shall change the term "self-study course" to "on-demand 
362.28 	course" wherever it appears in Minnesota Statutes, chapter 45. The revisor shall also make 
362.29 	grammatical changes related to the change in term.
363.1 	(b) The revisor of statutes shall change the term "classroom course" to "live course" 
363.2 	wherever it appears in Minnesota Statutes, chapter 45. The revisor shall also make 
363.3 	grammatical changes related to the change in term.

363.4 	Sec. 73. REPEALER.
 363.5 	(a) Minnesota Statutes 2020, section 45.25, subdivisions 2a and 14, are repealed.
363.6 	(b) Minnesota Statutes 2020, section 60A.033, subdivision 3, is repealed.

363.7 	ARTICLE 29
363.8 	INSURANCE

363.9 	Section 1. Minnesota Statutes 2020, section 61A.02, is amended by adding a subdivision 
363.10 	to read:
363.11 		Subd. 7.Regulatory flexibility. (a) Notwithstanding any other requirement of this 
363.12 	section, the commissioner may authorize long-term care insurance to be sold as part of or 
363.13 	in conjunction with life insurance, if the proposed policy:
363.14 	(1) is not permitted under current law;
363.15 	(2) represents an innovative and reasonable approach to provide both life insurance and 
363.16 	long-term care insurance;
363.17 	(3) provides reasonable coverage; and
363.18 	(4) is in the best interest of insureds.
363.19 	(b) The insurer filing for authorization under this section must demonstrate that the 
363.20 	proposed policy satisfies the requirements of paragraph (a).

363.21 	Sec. 2. Minnesota Statutes 2021 Supplement, section 62J.26, subdivision 2, is amended 
363.22 	to read:
363.23 		Subd. 2.Evaluation process and content. (a) The commissioner, in consultation with 
363.24 	the commissioners of health and management and budget, must evaluate all mandated health 
363.25 	benefit proposals as provided under subdivision 3.
363.26 	(b) The purpose of the evaluation is to provide the legislature with a complete and timely 
363.27 	analysis of all ramifications of any mandated health benefit proposal. The evaluation must 
363.28 	include, in addition to other relevant information, the following to the extent applicable:
364.1 	(1) scientific and medical information on the mandated health benefit proposal, on the 
364.2 	potential for harm or benefit to the patient, and on the comparative benefit or harm from 
364.3 	alternative forms of treatment, and must include the results of at least one professionally 
364.4 	accepted and controlled trial comparing the medical consequences of the proposed therapy, 
364.5 	alternative therapy, and no therapy;
364.6 	(2) public health, economic, and fiscal impacts of the mandated health benefit proposal 
364.7 	on persons receiving health services in Minnesota, on the relative cost-effectiveness of the 
364.8 	proposal, and on the health care system in general;
364.9 	(3) the extent to which the treatment, service, equipment, or drug is generally utilized 
364.10 	by a significant portion of the population;
364.11 	(4) the extent to which insurance coverage for the mandated health benefit proposal is 
364.12 	already generally available;
364.13 	(5) the extent to which the mandated health benefit proposal, by health plan category, 
364.14 	would apply to the benefits offered to the health plan's enrollees;
364.15 	(6) the extent to which the mandated health benefit proposal will increase or decrease 
364.16 	the cost of the treatment, service, equipment, or drug;
364.17 	(7) the extent to which the mandated health benefit proposal may increase enrollee 
364.18 	premiums; and
364.19 	(8) if the proposal applies to a qualified health plan as defined in section 62A.011, 
364.20 	subdivision 7, the cost to the state to defray the cost of the mandated health benefit proposal 
364.21 	using commercial market reimbursement rates in accordance with Code of Federal 
364.22 	Regulations, title 45, section 155.70.
364.23 	(c) The commissioner shall consider actuarial analysis done by health plan companies 
364.24 	and any other proponent or opponent of the mandated health benefit proposal in determining 
364.25 	the cost of the proposal.
364.26 	(d) The commissioner must summarize the nature and quality of available information 
364.27 	on these issues, and, if possible, must provide preliminary information to the public. The 
364.28 	commissioner may conduct research on these issues or may determine that existing research 
364.29 	is sufficient to meet the informational needs of the legislature. The commissioner may seek 
364.30 	the assistance and advice of researchers, community leaders, or other persons or organizations 
364.31 	with relevant expertise.
364.32 	(e) The commissioner shall not make public any information submitted under this section 
364.33 	if that information is trade secret information under section 13.37, subdivision 1, paragraph 
365.1 	(b). Trade secret information submitted by a health plan company or other proponent or 
365.2 	opponent of the mandated health benefit proposal must be clearly and specifically identified 
365.3 	as trade secret information. If the commissioner disagrees with the classification of the 
365.4 	information as trade secret, the commissioner must notify in writing the health plan company 
365.5 	or other proponent or opponent of the mandated health benefit proposal that the information 
365.6 	will be made public at least 30 days prior to the information being made public.
365.7 	(f) When requesting information from a health plan company or other proponent or 
365.8 	opponent of the mandated health benefit proposal pursuant to this section, the commissioner 
365.9 	must provide at least 60 days' notice.

365.10 	Sec. 3. Minnesota Statutes 2020, section 62Q.56, subdivision 1a, is amended to read:
365.11 		Subd. 1a.Change in health care provider; nonrenewal termination not for cause. (a) 
365.12 	If the contract termination was not for cause a nonrenewal and the contract was terminated 
365.13 	by the health plan company, the health plan company must provide the terminated provider 
365.14 	and all enrollees being treated by that provider with notification of the enrollees' rights to 
365.15 	continuity of care with the terminated provider.
365.16 	(b) The health plan company must provide, upon request, authorization to receive services 
365.17 	that are otherwise covered under the terms of the health plan through the enrollee's current 
365.18 	provider:
365.19 	(1) for up to 120 days if the enrollee is engaged in a current course of treatment for one 
365.20 	or more of the following conditions:
365.21 	(i) an acute condition;
365.22 	(ii) a life-threatening mental or physical illness;
365.23 	(iii) pregnancy beyond the first trimester of pregnancy;
365.24 	(iv) a physical or mental disability defined as an inability to engage in one or more major 
365.25 	life activities, provided that the disability has lasted or can be expected to last for at least 
365.26 	one year, or can be expected to result in death; or
365.27 	(v) a disabling or chronic condition that is in an acute phase; or
365.28 	(2) for the rest of the enrollee's life if a physician, advanced practice registered nurse, 
365.29 	or physician assistant certifies that the enrollee has an expected lifetime of 180 days or less.
365.30 	For all requests for authorization to receive services under this paragraph, the health plan 
365.31 	company must grant the request unless the enrollee does not meet the criteria provided in 
365.32 	this paragraph.
366.1 	(c) The health plan company shall prepare a written plan that provides a process for 
366.2 	coverage determinations regarding continuity of care of up to 120 days for enrollees who 
366.3 	request continuity of care with their former provider, if the enrollee:
366.4 	(1) is receiving culturally appropriate services and the health plan company does not 
366.5 	have a provider in its preferred provider network with special expertise in the delivery of 
366.6 	those culturally appropriate services within the time and distance requirements of section 
366.7 	62D.124, subdivision 1; or
366.8 	(2) does not speak English and the health plan company does not have a provider in its 
366.9 	preferred provider network who can communicate with the enrollee, either directly or through 
366.10 	an interpreter, within the time and distance requirements of section 62D.124, subdivision 
366.11 	1.
366.12 	The written plan must explain the criteria that will be used to determine whether a need for 
366.13 	continuity of care exists and how it will be provided.

366.14 	Sec. 4. Minnesota Statutes 2020, section 62Q.733, subdivision 1, is amended to read:
366.15 		Subdivision 1.Applicability. For purposes of sections 62Q.732 to 62Q.739 62Q.7391, 
366.16 	the following definitions apply.

366.17 	Sec. 5. Minnesota Statutes 2020, section 62Q.735, subdivision 1, is amended to read:
366.18 		Subdivision 1.Contract disclosure. (a) Before requiring a health care provider to sign 
366.19 	a contract, a health plan company shall give to the provider a complete copy of the proposed 
366.20 	contract, including:
366.21 	(1) all attachments and exhibits;
366.22 	(2) operating manuals;
366.23 	(3) a general description of the health plan company's health service coding guidelines 
366.24 	and requirement for procedures and diagnoses with modifiers, and multiple procedures; and
366.25 	(4) all guidelines and treatment parameters incorporated or referenced in the contract.
366.26 	(b) The health plan company shall make available to the provider the fee schedule or a 
366.27 	method or process that allows the provider to determine the fee schedule for each health 
366.28 	care service to be provided under the contract.
366.29 	(c) Notwithstanding paragraph (b), a health plan company that is a dental plan 
366.30 	organization, as defined in section 62Q.76, shall disclose information related to the individual 
366.31 	contracted provider's expected reimbursement from the dental plan organization. Nothing 
367.1 	in this section requires a dental plan organization to disclose the plan's aggregate maximum 
367.2 	allowable fee table used to determine other providers' fees. The contracted provider must 
367.3 	not release this information in any way that would violate any state or federal antitrust law.

367.4 	Sec. 6. Minnesota Statutes 2020, section 62Q.735, subdivision 5, is amended to read:
367.5 		Subd. 5.Fee schedules. (a) A health plan company shall provide, upon request, any 
367.6 	additional fees or fee schedules relevant to the particular provider's practice beyond those 
367.7 	provided with the renewal documents for the next contract year to all participating providers, 
367.8 	excluding claims paid under the pharmacy benefit. Health plan companies may fulfill the 
367.9 	requirements of this section by making the full fee schedules available through a secure 
367.10 	web portal for contracted providers.
367.11 	(b) A dental organization may satisfy paragraph (a) by complying with section 62Q.735, 
367.12 	subdivision 1, paragraph (c).

367.13 	Sec. 7. [62Q.7391] HEALTH CARE PROVIDER CONTRACT TERMINATION.
367.14 		Subdivision 1.Termination for cause. (a) A contract between a health care provider 
367.15 	and a health plan company may be terminated by the health plan company for cause only 
367.16 	if the contract includes an appeal process for the provider to appeal the termination. The 
367.17 	health plan company must provide the provider with written notice of termination that 
367.18 	includes:
367.19 	(1) the reasons for the termination;
367.20 	(2) the date upon which the termination is effective; and
367.21 	(3) a statement that the provider has the right to appeal the termination decision and a 
367.22 	description of the appeal process available to the provider to request an appeal.
367.23 	(b) The process must permit the provider with the opportunity to request an appeal and 
367.24 	present any relevant documents and arguments against termination. The process must also 
367.25 	include (1) an internal review, and (2) an external review that occurs if the internal review 
367.26 	upholds the decision to terminate. The external review must be conducted by an independent 
367.27 	external review entity agreed to by the provider. The decision of the external review entity 
367.28 	is final. If the external review entity determines that the reason for termination is not 
367.29 	supported the provider's contract with the health plan company must be reinstated.
367.30 	(c) A health plan company regulated by the commissioner of commerce must submit to 
367.31 	the commissioner of commerce for approval the appeal process required under this 
367.32 	subdivision. A health plan company regulated by the commissioner of health must submit 
368.1 	to the commissioner of health for approval the appeal process required under this subdivision. 
368.2 	If the health plan company fails to submit the process or the appeal process is not approved, 
368.3 	the commissioner of commerce or commissioner of health, as appropriate, may take 
368.4 	regulatory action against the health plan company.
368.5 		Subd. 2.Termination not for cause. A health plan company is prohibited from 
368.6 	terminating a contract with a health care provider without cause.

368.7 	Sec. 8. Minnesota Statutes 2020, section 62Q.76, is amended by adding a subdivision to 
368.8 	read:
368.9 		Subd. 9.Third party. "Third party" means a person or entity that enters into a contract 
368.10 	with a dental organization or with another third party to gain access to the dental care services 
368.11 	or contractual discounts under a dental provider contract. Third party does not include an 
368.12 	enrollee of a dental organization or an employer or other group for whom the dental 
368.13 	organization provides administrative services.

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

368.16 	Sec. 9. Minnesota Statutes 2020, section 62Q.78, is amended by adding a subdivision to 
368.17 	read:
368.18 		Subd. 7.Network leasing. (a) A dental organization may grant a third party access to 
368.19 	a dental provider contract, or a provider's dental care services or contractual discounts 
368.20 	provided pursuant to a dental provider contract, if at the time the dental provider contract 
368.21 	is entered into or renewed the dental organization allows a dentist to choose not to participate 
368.22 	in third-party access to the dental provider contract, without any penalty to the dentist. The 
368.23 	third-party access provision of the dental provider contract must be clearly identified. A 
368.24 	dental organization must not grant a third party access to the dental provider contract of any 
368.25 	dentist who does not participate in third-party access to the dental provider contract.
368.26 	(b) Notwithstanding paragraph (a), if a dental organization exists solely for the purpose 
368.27 	of recruiting dentists for dental provider contracts that establish a network to be leased to 
368.28 	third parties, the dentist waives the right to choose whether to participate in third-party 
368.29 	access.
368.30 	(c) A dental organization may grant a third party access to a dental provider contract, 
368.31 	or a dentist's dental care services or contractual discounts under a dental provider contract, 
368.32 	if the following requirements are met:
369.1 	(1) the dental organization lists all third parties that may have access to the dental provider 
369.2 	contract on the dental organization's website, which must be updated at least once every 90 
369.3 	days;
369.4 	(2) the dental provider contract states that the dental organization may enter into an 
369.5 	agreement with a third party that would allow the third party to obtain the dental 
369.6 	organization's rights and responsibilities as if the third party were the dental organization, 
369.7 	and the dentist chose to participate in third-party access at the time the dental provider 
369.8 	contract was entered into; and
369.9 	(3) the third party accessing the dental provider contract agrees to comply with all 
369.10 	applicable terms of the dental provider contract.
369.11 	(d) A dentist is not bound by and is not required to perform dental care services under 
369.12 	a dental provider contract granted to a third party in violation of this section.
369.13 	(e) This subdivision does not apply when:
369.14 	(1) the dental provider contract is for dental services provided under a public health plan 
369.15 	program, including but not limited to medical assistance, MinnesotaCare, Medicaid, or 
369.16 	Medicare Advantage; or
369.17 	(2) access to a dental provider contract is granted to a dental organization, an entity 
369.18 	operating in accordance with the same brand licensee program as the dental organization 
369.19 	or other entity, or to an entity that is an affiliate of the dental organization, provided the 
369.20 	entity agrees to substantially similar terms and conditions of the originating dental provider 
369.21 	contract between the dental organization and the dentist or dental clinic. A list of the dental 
369.22 	organization's affiliates must be posted on the dental organization's website.

369.23 	Sec. 10. Minnesota Statutes 2020, section 62Q.79, is amended by adding a subdivision to 
369.24 	read:
369.25 		Subd. 7.Method of payments. A dental provider contract must include a method of 
369.26 	payment for dental care services in which no fees associated with the method of payment, 
369.27 	including credit card fees and fees related to payment in the form of digital or virtual 
369.28 	currency, are incurred by the dentist or dental clinic. Any fees that may be incurred from a 
369.29 	payment must be disclosed to a dentist prior to entering into or renewing a dental provider 
369.30 	contract. For purposes of this section, fees related to a provider's electronic claims processing 
369.31 	vendor, financial institution, or other vendor used by a provider to facilitate the submission 
369.32 	of claims are excluded.

370.1 	Sec. 11. Minnesota Statutes 2020, section 72A.20, is amended by adding a subdivision to 
370.2 	read:
370.3 		Subd. 41.Discrimination based on status as a living organ or bone marrow donor 
370.4 	prohibited. A life insurance, long-term care insurance, or disability insurance carrier is 
370.5 	prohibited from declining or limiting coverage of an insured or otherwise discriminating in 
370.6 	the premium rating, offering, issuance, cancellation, amount of coverage, or any other 
370.7 	condition based solely upon the status of an insured as a living organ or bone marrow donor 
370.8 	and without additional actuarial risks.

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

370.11 	Sec. 12. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
370.12 	to read:
370.13 		Subd. 3a.Cash compensation. "Cash compensation" means any discount, concession 
370.14 	fee, service fee, commission, sales charge, loan, override, or cash benefit received by an 
370.15 	insurance producer from an insurer, intermediary, or consumer in connection with 
370.16 	recommending or selling an annuity.

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

370.18 	Sec. 13. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
370.19 	to read:
370.20 		Subd. 3b.Consumer profile information. "Consumer profile information" means 
370.21 	information that is reasonably appropriate to determine whether a recommendation addresses 
370.22 	the consumer's financial situation, insurance needs, and financial objectives, including at a 
370.23 	minimum the following:
370.24 	(1) age;
370.25 	(2) annual income and anticipated material changes in annual income;
370.26 	(3) financial situation and needs, including debts and other obligations, and anticipated 
370.27 	material changes in financial situation and needs;
370.28 	(4) financial experience;
370.29 	(5) insurance needs;
370.30 	(6) financial objectives;
371.1 	(7) intended use of the annuity;
371.2 	(8) financial time horizon;
371.3 	(9)  existing assets or financial products, including investment, annuity, and insurance 
371.4 	holdings, and anticipated material changes in existing assets;
371.5 	(10) liquidity needs and anticipated material changes in liquidity needs;
371.6 	(11) liquid net worth and anticipated material changes in liquid net worth;
371.7 	(12) risk tolerance, including but not limited to willingness to accept nonguaranteed 
371.8 	elements in the annuity;
371.9 	(13) financial resources used to fund the annuity;
371.10 	(14) tax status; and
371.11 	(15) whether or not the consumer has a reverse mortgage.

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

371.13 	Sec. 14. Minnesota Statutes 2020, section 72A.2031, subdivision 8, is amended to read:
371.14 		Subd. 8.Insurance producer. "Insurance producer" means a person required to be 
371.15 	licensed under the laws of this state to sell, solicit, or negotiate insurance, including annuities.
371.16 	For purposes of sections 72A.203 to 72A.2036, insurance producer includes an insurer 
371.17 	where no insurance producer is involved.

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

371.19 	Sec. 15. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
371.20 	to read:
371.21 		Subd. 8a.Intermediary. "Intermediary" means an entity contracted directly with an 
371.22 	insurer or with another entity contracted with an insurer to facilitate the sale of the insurer's 
371.23 	annuities by insurance producers.

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

371.25 	Sec. 16. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
371.26 	to read:
371.27 		Subd. 8b.Material conflict of interest. "Material conflict of interest" means a financial 
371.28 	interest of the insurance producer in the  sale of an annuity that a reasonable person would 
371.29 	expect to influence the impartiality of a recommendation. The payment of compensation, 
372.1 	including both cash and noncash compensation, does not in and of itself constitute a material 
372.2 	conflict of interest.

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

372.4 	Sec. 17. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
372.5 	to read:
372.6 		Subd. 8c.Noncash compensation. "Noncash compensation" means any form of 
372.7 	compensation that is not cash compensation, including but not limited to health insurance, 
372.8 	office rent, office support, and retirement benefits.

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

372.10 	Sec. 18. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
372.11 	to read:
372.12 		Subd. 8d.Nonguaranteed elements. "Nonguaranteed elements" means the premiums 
372.13 	and credited interest rates, including any bonus, benefits, values, dividends, noninterest-based 
372.14 	credits, charges, or elements of formulas used to determine any of the elements in this 
372.15 	subdivision, that are subject to company discretion and are not guaranteed at issue. An 
372.16 	element is considered nonguaranteed if any of the underlying nonguaranteed elements are 
372.17 	used in the element's calculation.

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

372.19 	Sec. 19. Minnesota Statutes 2020, section 72A.2031, is amended by adding a subdivision 
372.20 	to read:
372.21 		Subd. 8e.Recommendation. "Recommendation" means advice provided by an insurance 
372.22 	producer to an individual consumer that was intended to result or does result in a purchase, 
372.23 	exchange, or replacement of an annuity in accordance with the advice rendered. 
372.24 	Recommendation does not include a general communication to the public, generalized 
372.25 	customer services, assistance or administrative support, general educational information 
372.26 	and tools, prospectuses, or other product and sales material.

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

372.28 	Sec. 20. Minnesota Statutes 2020, section 72A.2031, subdivision 10, is amended to read:
372.29 		Subd. 10.Replacement. "Replacement" means a transaction in which a new policy or 
372.30 	contract annuity is to be purchased, and it is known or should be known to the proposing 
373.1 	insurance producer, or the proposing insurer, whether or not there is an insurance producer
373.2 	is involved, that by reason of the transaction, an existing annuity or other insurance policy 
373.3 	or contract has been or is to be any of the following:
373.4 	(1) lapsed, forfeited, surrendered or partially surrendered, assigned to the replacing 
373.5 	insurer, or otherwise terminated;
373.6 	(2) converted to reduced paid-up insurance, continued as extended term insurance, or 
373.7 	otherwise reduced in value by the use of nonforfeiture benefits or other policy values;
373.8 	(3) amended so as to effect either a reduction in benefits or in the term for which coverage 
373.9 	would otherwise remain in force or for which benefits would be paid;
373.10 	(4) reissued with any reduction in cash value; or
373.11 	(5) used in a financed purchase.

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

373.13 	Sec. 21. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
373.14 	to read:
373.15 		Subd. 1a.Best interest obligations. An insurance producer, when recommending an 
373.16 	annuity, shall act in the best interest of the consumer under the circumstances known at the 
373.17 	time the recommendation is made. An insurance producer shall not place the insurance 
373.18 	producer's or the insurer's financial interest ahead of the consumer's interest. An insurance 
373.19 	producer has acted in the best interest of the consumer if the insurance producer has satisfied 
373.20 	obligations regarding care, disclosure, conflict of interest, and documentation specified in 
373.21 	subdivisions 1b, 1c, 1d, and 1e.

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

373.23 	Sec. 22. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
373.24 	to read:
373.25 		Subd. 1b.Care obligation. (a) The insurance producer, in making a recommendation, 
373.26 	shall exercise reasonable diligence, care, and skill to:
373.27 	(1) know the consumer's financial situation, insurance needs, and financial objectives;
373.28 	(2) understand the available recommendation options after making a reasonable inquiry 
373.29 	into the options available to the insurance producer;
374.1 	(3) have a reasonable basis to believe the recommended option effectively addresses the 
374.2 	consumer's financial situation, insurance needs, and financial objectives over the life of the 
374.3 	product, as evaluated in light of the consumer profile information; and
374.4 	(4) communicate the basis or rationale supporting the recommendation.
374.5 	(b) The requirements under paragraph (a) include making reasonable efforts to obtain 
374.6 	consumer profile information from the consumer prior to recommending an annuity.
374.7 	(c) Paragraph (a) requires an insurance producer to consider the types of products the 
374.8 	insurance producer is authorized and licensed to recommend or sell that address the 
374.9 	consumer's financial situation, insurance needs, and financial objectives.  This paragraph 
374.10 	does not require an insurance producer to analyze or consider (1) any products outside the 
374.11 	insurance producer's authority and license, or (2) other possible alternative products or 
374.12 	strategies available in the market at the time of the recommendation. Insurance producers 
374.13 	shall be held to standards applicable to insurance producers with similar authority and 
374.14 	licensure.
374.15 	(d) This subdivision does not create a fiduciary obligation or relationship and only creates 
374.16 	a statutory obligation under sections 72A.203 to 72A.2036.
374.17 	(e) The consumer profile information; characteristics of the insurer; and product costs, 
374.18 	rates, benefits, and features are the factors generally relevant in determining whether an 
374.19 	annuity effectively addresses the consumer's financial situation, insurance needs, and financial 
374.20 	objectives. The level of importance of each factor under paragraph (a) may vary depending 
374.21 	on the facts and circumstances of a particular case. Each factor must not be considered in 
374.22 	isolation.
374.23 	(f) The requirements under paragraph (a)  include having a reasonable basis to believe 
374.24 	the consumer benefits from certain features of the annuity, including but not limited to 
374.25 	annuitization, death or living benefit, or other insurance-related features.
374.26 	(g) Paragraph (a) applies to the particular annuity as a whole and the underlying 
374.27 	subaccounts to which funds are allocated at the time of the purchase or exchange of an 
374.28 	annuity, riders, and similar product enhancements, if any.
374.29 	(h) Paragraph (a) does not require that the annuity with the lowest onetime or 
374.30 	multiple-occurrence compensation structure must be recommended.
374.31 	(i) Paragraph (a) does not require the insurance producer to assume ongoing monitoring 
374.32 	obligations. An ongoing monitoring obligation may be separately owed under the terms of 
375.1 	a fiduciary, consulting, investment advising, or financial planning agreement between the 
375.2 	consumer and the insurance producer.
375.3 	(j) When an annuity is being exchanged or replaced, the insurance producer shall consider 
375.4 	the whole transaction, which includes considering whether:
375.5 	(1) the consumer incurs a surrender charge; is subject to the commencement of a new 
375.6 	surrender period; loses existing benefits such as death, living, or other contractual benefits; 
375.7 	or is subject to increased fees, investment advisory fees, or charges for riders and similar 
375.8 	product enhancements;
375.9 	(2) the replacing product substantially benefits the consumer in comparison to the replaced 
375.10 	product over the life of the product; and
375.11 	(3) the consumer had another annuity exchange or replacement and, in particular, an 
375.12 	annuity exchange or replacement within the preceding 60 months.
375.13 	(k) If a person is 65 years of age or older, neither an insurance producer nor an insurer 
375.14 	shall recommend replacing or exchanging an annuity that requires the insured to pay a 
375.15 	surrender charge for the annuity being replaced or exchanged if the replacement or exchange 
375.16 	does not confer a substantial financial benefit over the life of the annuity to the consumer, 
375.17 	so that a reasonable person would believe the purchase is unnecessary.
375.18 	(l) Nothing in sections 72A.203 to 72A.2036 requires an insurance producer to obtain 
375.19 	any license other than an insurance producer license with the appropriate line of authority 
375.20 	to sell, solicit, or negotiate insurance in Minnesota, including but not limited to any securities 
375.21 	license in order to fulfill the duties and obligations contained in sections 72A.203 to 
375.22 	72A.2036, provided that the insurance producer does not give advice or provide services 
375.23 	that are subject to other securities law or engage in any other activity requiring other 
375.24 	professional licenses.

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

375.26 	Sec. 23. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
375.27 	to read:
375.28 		Subd. 1c.Disclosure obligation. (a) Prior to recommending and selling an annuity, the 
375.29 	insurance producer shall prominently disclose to the consumer the information required 
375.30 	under this paragraph on a form prescribed by the commissioner. The form prescribed by 
375.31 	the commissioner must contain:
376.1 	(1) a description of (i) the scope and terms of the relationship with the consumer, and 
376.2 	(ii) the role of the insurance producer in the transaction;
376.3 	(2) an affirmative statement indicating whether the insurance producer is licensed and 
376.4 	authorized to sell the following products:
376.5 	(i) fixed annuities;
376.6 	(ii) fixed indexed annuities;
376.7 	(iii) variable annuities;
376.8 	(iv) life insurance;
376.9 	(v) mutual funds;
376.10 	(vi) stocks and bonds; and
376.11 	(vii) certificates of deposit;
376.12 	(3) an affirmative statement describing the insurers that the insurance producer is 
376.13 	authorized, contracted, appointed, or otherwise able to sell insurance products for, using 
376.14 	the following descriptions:
376.15 	(i) from one insurer;
376.16 	(ii) from two or more insurers; or
376.17 	(iii) from two or more insurers, although primarily contracted with one insurer;
376.18 	(4) a description of the sources and types of cash and noncash compensation received 
376.19 	by the insurance producer, including whether the insurance producer is (i) compensated for 
376.20 	the sale of a recommended annuity by commission as part of a premium, or (ii) receives 
376.21 	other remuneration from the insurer, intermediary, or other insurance producer or by fee as 
376.22 	a result of a contract for advice or consulting service; and
376.23 	(5) a notice of the consumer's right to request additional information regarding cash 
376.24 	compensation.
376.25 	(b) Upon request of the consumer or the consumer's designated representative, the 
376.26 	insurance producer shall disclose:
376.27 	(1) a reasonable estimate of the amount of cash compensation received by the insurance 
376.28 	producer, which may be stated as a range of amounts or percentages; and
377.1 	(2) whether the cash compensation is a onetime or multiple-occurrence amount and, if 
377.2 	a multiple-occurrence amount, the frequency and amount of the occurrence, which may be 
377.3 	stated as a range of amounts or percentages.
377.4 	(c) Prior to or at the time an annuity is recommended or sold, the insurance producer 
377.5 	shall have a reasonable basis to believe the consumer has been reasonably informed of 
377.6 	various features of the annuity, including the potential surrender period and surrender charge; 
377.7 	potential tax penalty if the consumer sells, exchanges, surrenders, redeems, or annuitizes 
377.8 	the annuity; mortality and expense fees; investment advisory fees; annual fees; potential 
377.9 	charges for and features of riders or other options of the annuity; limitations on interest 
377.10 	returns; potential changes in nonguaranteed elements of the annuity; insurance and investment 
377.11 	components; and market risk.

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

377.13 	Sec. 24. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
377.14 	to read:
377.15 		Subd. 1d.Conflict of interest obligation. An insurance producer shall identify and 
377.16 	avoid or reasonably manage and disclose material conflicts of interest, including a material 
377.17 	conflict of interest related to an ownership interest.

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

377.19 	Sec. 25. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
377.20 	to read:
377.21 		Subd. 1e.Documentation obligation. An insurance producer shall, at the time of 
377.22 	recommendation or sale:
377.23 	(1) make a written record of any recommendation and the basis for the recommendation, 
377.24 	subject to sections 72A.203 to 72A.2036;
377.25 	(2) obtain a signed statement, on a form prescribed by the commissioner, that includes:
377.26 	(i) a customer's refusal to provide the consumer profile information, if any; and
377.27 	(ii) a customer's understanding of the ramifications of not providing the customer's 
377.28 	consumer profile information or providing insufficient consumer profile information; and
377.29 	(3) a consumer-signed statement, on a form prescribed by the commissioner, that 
377.30 	acknowledges the annuity transaction is not recommended if the customer decides to enter 
377.31 	into an annuity transaction that is not based on the insurance producer's recommendation.

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

378.2 	Sec. 26. Minnesota Statutes 2020, section 72A.2032, is amended by adding a subdivision 
378.3 	to read:
378.4 		Subd. 1f.Application of best interest obligation. Any requirement applicable to an 
378.5 	insurance producer under this section applies to every insurance producer who (1) exercises 
378.6 	control or influence in making a recommendation, and (2) has received direct compensation 
378.7 	as a result of the recommendation or sale, regardless of whether the insurance producer had 
378.8 	any direct contact with the consumer. Providing or delivering marketing or educational 
378.9 	materials, product wholesaling or other back office product support, and general supervision 
378.10 	of an insurance producer do not, in and of themselves, constitute material control or influence.

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

378.12 	Sec. 27. Minnesota Statutes 2020, section 72A.2032, subdivision 4, is amended to read:
378.13 		Subd. 4.Exception Transactions not based on recommendation. (a) Except as provided 
378.14 	under paragraph (b), an insurance producer, or an insurer, does not have any obligation to 
378.15 	a consumer under subdivision 1 or 3 1a related to an annuity transaction if:
378.16 	(1) no recommendation is made;
378.17 	(1) (2) a recommendation was made and was later found to have been prepared based 
378.18 	on materially inaccurate information provided by the consumer; or
378.19 	(2) (3) a consumer refuses to provide relevant suitability consumer profile information 
378.20 	and the annuity transaction is not recommended.; or
378.21 	(4) a consumer decides to enter into an annuity transaction that is not based on a 
378.22 	recommendation made by the insurance producer.
378.23 	(b) An insurer's issuance of an annuity subject to paragraph (a) shall be reasonable under 
378.24 	all the circumstances actually known, or which after reasonable inquiry should be known
378.25 	to the insurer or the insurance producer, at the time the annuity is issued.

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

378.27 	Sec. 28. Minnesota Statutes 2020, section 72A.2032, subdivision 6, is amended to read:
378.28 		Subd. 6.Supervision systemInsurer duties. (a) Except as permitted under subdivision 
378.29 	4, an insurer shall not issue an annuity recommended to a consumer unless there is a 
378.30 	reasonable basis to believe the annuity effectively addresses the particular consumer's 
379.1 	financial situation, insurance needs, and financial objectives based on the consumer's 
379.2 	consumer profile information.
379.3 	(a) (b) An insurer shall establish and maintain a supervision system that is reasonably 
379.4 	designed to achieve the insurer's and its insurance producers' compliance with sections 
379.5 	72A.203 to 72A.2036, including, but not limited to, all of the following:
379.6 	(1) the insurer shall establish and maintain reasonable procedures to inform its insurance 
379.7 	producers of the requirements of sections 72A.203 to 72A.2036 and shall incorporate the 
379.8 	requirements of sections 72A.203 to 72A.2036 into relevant insurance producer training 
379.9 	programs and manuals;
379.10 	(2) the insurer shall establish and maintain standards for insurance producer product 
379.11 	training and shall establish and maintain reasonable procedures to require its insurance 
379.12 	producers to comply with the requirements of section 72A.2033;
379.13 	(3) the insurer shall provide product-specific training and training materials which explain 
379.14 	all material features of its annuity products to its insurance producers;
379.15 	(4) the insurer shall establish and maintain procedures for the review of each 
379.16 	recommendation before issuance of an annuity that are designed to ensure that there is a 
379.17 	reasonable basis to determine that a recommendation is suitable the recommended annuity 
379.18 	effectively addresses the particular consumer's financial situation, insurance needs, and 
379.19 	financial objectives. The review procedures shall apply a screening system for the purpose 
379.20 	of identifying selected transactions for additional review and may be accomplished 
379.21 	electronically or through other reasonable means including, but not limited to, physical 
379.22 	review. The electronic or other system shall be designed to require an elevated individual 
379.23 	review for those transactions involving consumers 65 years of age or older on the basis of 
379.24 	the review procedure's thresholds for liquidity, liquid net worth, income, and anticipated 
379.25 	material changes in their financial situation and needs and the elevated review shall be 
379.26 	conducted by a natural person or persons;
379.27 	(5) the insurer shall establish and maintain reasonable procedures to detect 
379.28 	recommendations that are not suitable in compliance with subdivisions 1a to 1f, 4, 7, and 
379.29 	8. This may include, but is not limited to, confirmation of consumer suitability the consumer's 
379.30 	profile information, systematic customer surveys, insurance producer and consumer 
379.31 	interviews, confirmation letters, insurance producer attestations, and programs of internal 
379.32 	monitoring. Nothing in this clause prevents an insurer from complying with this clause by 
379.33 	applying sampling procedures, or by confirming suitability consumer profile information 
380.1 	or other required information under this subdivision after issuance or delivery of the annuity; 
380.2 	and
380.3 	(6) the insurer shall establish and maintain reasonable procedures to assess, prior to or 
380.4 	upon issuance or delivery of an annuity, whether an insurance producer has provided to the 
380.5 	consumer the information required under this subdivision;
380.6 	(7) the insurer shall establish and maintain reasonable procedures to identify and address 
380.7 	suspicious consumer refusals to provide consumer profile information;
380.8 	(8) the insurer shall establish and maintain  reasonable procedures to identify and eliminate 
380.9 	any sales contests, sales quotas, bonuses, and noncash compensation that are based on the 
380.10 	sales of specific annuities within a limited period of time. This clause does not prohibit the 
380.11 	receipt of health insurance, office rent, office support, retirement benefits, or other employee 
380.12 	benefits, as long as the benefits are not based on the volume of sales of a specific annuity 
380.13 	within a limited period of time; and
380.14 	(6)(9) the insurer shall annually provide a written report to senior management, including 
380.15 	to the senior manager responsible for audit functions, which details a review, with appropriate 
380.16 	testing, reasonably designed to determine the effectiveness of the supervision system, the 
380.17 	exceptions found, and corrective action taken or recommended, if any.
380.18 	(b)(1) (c)(1) Nothing in this subdivision restricts an insurer from contracting for 
380.19 	performance of a function, including maintenance of procedures, required under paragraph 
380.20 	(a) (b). An insurer is responsible for taking appropriate corrective action and may be subject 
380.21 	to sanctions and penalties pursuant to section 72A.2034 regardless of whether the insurer 
380.22 	contracts for performance of a function and regardless of the insurer's compliance with 
380.23 	subdivision 2 clause (2), and an insurer is responsible for the compliance of an insurance 
380.24 	producer with the provisions of sections 72A.203 to 72A.2036 regardless of whether the 
380.25 	insurer contracts for performance of a function required under this paragraph; and
380.26 	(2) an insurer's supervision system under paragraph (a) (b) must include supervision of 
380.27 	contractual performance under this clause. This includes, but is not limited to, the following:
380.28 	(i) monitoring and, as appropriate, conducting audits to assure that the contracted function 
380.29 	is properly performed; and
380.30 	(ii) annually obtaining a certification from a senior manager who has responsibility for 
380.31 	the contracted function that the manager has a reasonable basis to represent, and does 
380.32 	represent, that the function is properly performed.
381.1 	(c) (d) An insurer is not required to include in its system of supervision an insurance 
381.2 	producer's recommendations to consumers of products other than the annuities offered by 
381.3 	the insurer, or consideration of or comparison to options available to the insurance producer 
381.4 	or compensation relating to the options other than annuities or other products offered by 
381.5 	the insurer.

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

381.7 	Sec. 29. Minnesota Statutes 2020, section 72A.2032, subdivision 7, is amended to read:
381.8 		Subd. 7.Undue influence Prohibited practices. An insurance producer or insurer shall 
381.9 	not dissuade, or attempt to dissuade, a consumer from:
381.10 	(1) providing suitability consumer profile information to the insurance producer or 
381.11 	insurer and truthfully responding to an insurer's request for confirmation of suitability
381.12 	consumer profile information;
381.13 	(2) filing a complaint; or
381.14 	(3) cooperating with the investigation of a complaint.

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

381.16 	Sec. 30. Minnesota Statutes 2020, section 72A.2032, subdivision 8, is amended to read:
381.17 		Subd. 8.FINRA Comparable standards; compliance. (a) Recommendations and sales 
381.18 	of annuities made by broker-dealers in compliance with comparable standards satisfy the 
381.19 	requirements under sections 72A.203 to 72A.2036, so long as:. This subdivision applies to 
381.20 	recommendations and sales of annuities made by financial professionals in compliance with 
381.21 	business rules, controls, and procedures that satisfy a comparable standard even if the 
381.22 	standard would not otherwise apply to the product or recommendation at issue. Nothing in 
381.23 	this subdivision limits the commissioner's ability to investigate and enforce sections 72A.203 
381.24 	to 72A.2036.
381.25 	(1) those sales comply with FINRA requirements pertaining to suitability and supervision 
381.26 	of annuity transactions; and
381.27 	(2) a registered principal reviews and approves the transaction based on review criteria 
381.28 	that include consideration of the customer's age, income, liquidity needs, and financial 
381.29 	situation.
382.1 	(b) The insurer remains responsible for the suitability of every transaction and must take 
382.2 	reasonably appropriate corrective action for any consumer harmed by violation of law and 
382.3 	is subject to the penalty provisions described in section 72A.2034, subdivision 1.
382.4 	(c) (b) For paragraph (a) to apply, an insurer shall:
382.5 	(1) monitor the FINRA member broker-dealer relevant conduct of the financial 
382.6 	professional seeking to rely on paragraph (a) or the entity responsible for supervising the 
382.7 	financial professional, including the financial professional's broker-dealer or an investment 
382.8 	adviser registered under federal or state securities law using information collected in the 
382.9 	normal course of the insurer's business; and
382.10 	(2) provide to the FINRA member broker-dealer entity responsible for supervising the 
382.11 	financial professional seeking to rely on paragraph (a), including the financial professional's 
382.12 	broker-dealer or investment adviser registered under federal or state securities law,
382.13 	information and reports that are reasonably appropriate to assist the FINRA member 
382.14 	broker-dealer the entity to maintain its supervision system.
382.15 	(d) Nothing in this subdivision limits: (c) For purposes of this subdivision, "financial 
382.16 	professional" means an insurance producer that is regulated and acting as:
382.17 	(1) the responsibilities of the insurer to monitor the broker-dealer as provided in this 
382.18 	subdivision; and a broker-dealer registered under federal or state securities law or a registered 
382.19 	representative of a broker-dealer;
382.20 	(2) the commissioner of commerce's ability to enforce the provisions of sections 72A.203
382.21 	to 72A.2036 with respect to sales made in compliance with FINRA requirements and federal 
382.22 	law. an investment adviser registered under federal or state securities law, or an investment 
382.23 	adviser representative associated with the federal or state registered investment adviser; or
382.24 	(3) a plan fiduciary under the Employee Retirement Income Security Act of 1974 
382.25 	(ERISA), United States Code, title 29, section 1001; Code of Federal Regulations, title 29, 
382.26 	part 2510.3-21; fiduciary under the Internal Revenue Code, section 4975(e)(3); or any 
382.27 	amendments or successor statutes.
382.28 	(d) For purposes of this subdivision, "comparable standards" means:
382.29 	(1) with respect to broker-dealers and registered representatives of broker-dealers, 
382.30 	applicable United States Securities and Exchange Commission and FINRA rules pertaining 
382.31 	to best interest obligations and supervision of annuity recommendations and sales, including 
382.32 	but not limited to regulation best interest and any amendments or successor regulations;
383.1 	(2) with respect to investment advisers registered under federal or state securities law 
383.2 	or investment adviser representatives, the fiduciary duties and all other requirements imposed 
383.3 	on the investment advisers or investment adviser representatives by contract or under the 
383.4 	Investment Advisers Act of 1940 or applicable state securities law, including but not limited 
383.5 	to Form ADV and interpretations; and
383.6 	(3) with respect to plan fiduciaries or fiduciaries, the duties, obligations, prohibitions, 
383.7 	and all other requirements attendant to status under ERISA or the Internal Revenue Code 
383.8 	and any amendments or successor statutes.

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

383.10 	Sec. 31. Minnesota Statutes 2020, section 72A.2033, is amended to read:
383.11 	72A.2033 INSURANCE PRODUCER TRAINING.
383.12 		Subdivision 1.Requirement. An insurance producer shall not solicit the sale of an 
383.13 	annuity product unless the insurance producer has adequate knowledge of the product to 
383.14 	recommend the annuity and the insurance producer is in compliance with the insurer's 
383.15 	standards for product training. An insurance producer may rely on insurer-provided 
383.16 	product-specific training standards and materials to comply with this subdivision section.
383.17 		Subd. 2.Initial training. (a) An insurance producer who is otherwise entitled to engage 
383.18 	in the sale of annuity products shall complete a onetime four-credit training course approved 
383.19 	by the commissioner and provided by a continuing education provider approved by the 
383.20 	commissioner prior to commencing the transaction of annuities.
383.21 	Insurance producers who hold a life insurance line of authority on June 1, 2013 December 
383.22 	31, 2022, and who desire to sell annuities shall complete the requirements of this subdivision 
383.23 	no later than six months after January 1, 2014 2023. Individuals who obtain a life insurance 
383.24 	line of authority on or after January 1, 2014 2023, may not engage in the sale of annuities 
383.25 	until the annuity training course required under this subdivision has been completed.
383.26 	(b) The length of the training required under this subdivision must be four continuing 
383.27 	education hours.
383.28 	(c) The training required under this subdivision must include information on the following 
383.29 	topics:
383.30 	(1) the types of annuities and various classifications of annuities;
383.31 	(2) identification of the parties to an annuity;
383.32 	(3) how fixed, variable, and indexed annuity contract provisions affect consumers;
384.1 	(4) the application of income taxation of qualified and nonqualified annuities;
384.2 	(5) the primary uses of annuities;
384.3 	(6) appropriate and lawful standards of conduct, sales practices, replacement, and 
384.4 	disclosure requirements, and suitability information and whether an annuity is suitable for 
384.5 	a consumer; and
384.6 	(7) the recognition of indicators that a prospective insured may lack the short-term 
384.7 	memory or judgment to knowingly purchase an insurance product.
384.8 	(d) Providers of courses intended to comply with this subdivision shall cover all topics 
384.9 	listed in the prescribed outline and shall not present any marketing information or provide 
384.10 	training on sales techniques or provide specific information about a particular insurer's 
384.11 	products.
384.12 	(e) A provider of an annuity training course intended to comply with this subdivision 
384.13 	must be an approved continuing education provider in this state and comply with the 
384.14 	requirements applicable to insurance producer continuing education courses.
384.15 	(f) An insurance producer licensed by December 31, 2022, who holds a life insurance 
384.16 	line of authority and has previously completed the training in subdivision 2, paragraph (a), 
384.17 	shall, by July 1, 2023, complete either:
384.18 	(1) a new four-credit training course approved by the Department of Commerce after 
384.19 	July 1, 2022; or
384.20 	(2) an additional onetime one-credit training course approved by the Department of 
384.21 	Commerce by July 1, 2022, and provided by a Department of Commerce-approved education 
384.22 	provider on appropriate sales practices and replacement and disclosure requirements under 
384.23 	sections 72A.203 to 72A.2036.
384.24 	(f) Annuity training courses may be conducted and completed by classroom or self-study 
384.25 	methods in accordance with chapter 45. In order to assist compliance with this section, all 
384.26 	courses approved by the commissioner for the purposes of this section shall be given the 
384.27 	course title "Annuity Suitability and Disclosure Best Interest Standards of Conduct for 
384.28 	Annuity Sales." Only courses satisfying the requirements of this section shall use this course 
384.29 	title after JuneJuly 1, 2013 2023.
384.30 	(g) Providers of annuity training shall comply with the course completion reporting 
384.31 	requirements of chapter 45.
385.1 	(h) The satisfaction of the training requirements of another state that are substantially 
385.2 	similar to the provisions of this subdivision satisfies the training requirements of this 
385.3 	subdivision in this state, but does not satisfy any of the continuing education requirements 
385.4 	of chapter 60K unless the training requirements of the other state are satisfied through one 
385.5 	or more continuing education courses approved by the commissioner.
385.6 	(i) The satisfaction of the components of the training requirements of any course or 
385.7 	courses with components substantially similar to the provisions of this subdivision satisfy 
385.8 	the training requirements of this subdivision.
385.9 	(i)(j) An insurer shall verify that an insurance producer has completed the annuity 
385.10 	training course required under this subdivision before allowing the insurance producer to 
385.11 	sell an annuity product for that insurer. An insurer may satisfy its responsibility under this 
385.12 	subdivision by obtaining certificates of completion of the training course or obtaining reports 
385.13 	provided by commissioner-sponsored database systems, vendors, or from a reasonably 
385.14 	reliable commercial database vendor that has a reporting arrangement with approved 
385.15 	insurance education providers. If such data collection and reporting arrangements are not 
385.16 	in place, an insurer must maintain records verifying that the producer has completed the 
385.17 	annuity training course required under this subdivision and make the records available to 
385.18 	the commissioner upon request.

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

385.20 	Sec. 32. Minnesota Statutes 2020, section 72A.2034, is amended to read:
385.21 	72A.2034 PENALTIES.
385.22 		Subdivision 1.Imposition; mitigation; enforcement. (a) An insurer is responsible for 
385.23 	compliance with sections 72A.203 to 72A.2036. If a violation occurs, either because of the 
385.24 	action or inaction of the insurer or its insurance producer, the commissioner may order, in 
385.25 	addition to any available penalties, remedies, or administrative actions:
385.26 	(1) an insurer to take reasonably appropriate corrective action, including but not limited 
385.27 	to canceling a transaction action, for any consumer harmed by a failure to comply with 
385.28 	sections 72A.203 to 72A.2036 by the insurer's insurer, an entity contracted to perform the 
385.29 	insurer supervisory duties, or by its the insurer's insurance producer's, violation of sections 
385.30 	72A.203 to 72A.2036 producer;
385.31 	(2) a general agency, independent agency, or the insurance producer to take reasonably 
385.32 	appropriate corrective action for any consumer harmed by the insurance producer's violation 
385.33 	of sections 72A.203 to 72A.2036; and
386.1 	(3) appropriate penalties and sanctions.
386.2 	(b) Nothing in sections 72A.203 to 72A.2036 shall affect any obligation of an insurer 
386.3 	for the acts of its insurance producers, or any consumer remedy or any cause of action that 
386.4 	is otherwise provided for under applicable federal or state law, including without limitation 
386.5 	chapter 60K.
386.6 		Subd. 2.Aggravation or mitigation. Any applicable penalty for a violation of sections 
386.7 	72A.203 to 72A.2036 may be increased or decreased upon consideration of any aggravating 
386.8 	or mitigating circumstances, including if corrective action for the consumer was taken 
386.9 	promptly after a violation was discovered, or if the violation was not part of a pattern or 
386.10 	practice. The authority to enforce compliance with sections 72A.203 to 72A.2036 is vested 
386.11 	exclusively with the commissioner.

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

386.13 	Sec. 33. Minnesota Statutes 2020, section 72A.2035, subdivision 1, is amended to read:
386.14 		Subdivision 1.Duration. Insurers and insurance producers shall maintain or be able to 
386.15 	make available to the commissioner records of the information collected from the consumer; 
386.16 	disclosures made to the consumer, including summaries of oral disclosures; and other 
386.17 	information used in making the recommendations that were the basis for insurance 
386.18 	transactions for ten years after the insurance transaction is completed by the insurer. An 
386.19 	insurer is permitted, but shall not be required, to maintain documentation on behalf of an 
386.20 	insurance producer.

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

386.22 	Sec. 34. Minnesota Statutes 2020, section 72A.2036, is amended to read:
386.23 	72A.2036 RELATIONSHIP TO OTHER LAWS; ENFORCEMENT.
386.24 	(a) Nothing in sections 72A.203 to 72A.2036shall be interpreted to: limits the 
386.25 	commissioner's authority to make any investigation or take any action under chapter 45 or 
386.26 	other applicable law with respect to any insurer, insurance producer, broker-dealer, third-party 
386.27 	contractor, or other entity engaged in any activity involving the sale of an annuity that is 
386.28 	subject to sections 72A.203 to 72A.2036.
386.29 	(1) change, alter, or modify any of the obligations, duties, or responsibilities of insurers 
386.30 	or insurance producers, pursuant to any orders of the commissioner or consent decrees in 
386.31 	effect as of June 1, 2013; or
387.1 	(2) limit the commissioner's authority to make any investigation or take any action under 
387.2 	chapter 45 or other applicable state law with respect to any insurer, insurance producer, 
387.3 	broker-dealer, third-party contractor, or other entity engaged in any activity involving the 
387.4 	sale of an annuity that is subject to sections 72A.203 to 72A.2036.
387.5 	(b) In addition to any other penalties provided by the laws of this state, a violation of 
387.6 	sections 72A.203 to 72A.2036 shall be considered a violation of section 72A.20.

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

387.8 	Sec. 35. STUDY AND REPORT ON DISPARITIES BETWEEN GEOGRAPHIC 
387.9 	RATING AREAS IN INDIVIDUAL AND SMALL GROUP MARKET HEALTH 
387.10 	INSURANCE RATES.
 387.11 		Subdivision 1.Study and recommendations. (a) The commissioner of commerce must 
387.12 	(1) study disparities between Minnesota's nine geographic rating areas in individual and 
387.13 	small group market health insurance rates, and (2) recommend ways to reduce or eliminate 
387.14 	rate disparities between the geographic rating areas and provide stability for the individual 
387.15 	and small group health insurance markets in Minnesota.
387.16 	(b) As part of the study, the commissioner of commerce must:
387.17 	(1) identify the factors that cause higher individual and small group market health 
387.18 	insurance rates in certain geographic rating areas, and determine the extent to which each 
387.19 	identified factor contributes to the higher rates;
387.20 	(2) identify the impact of referral centers on individual and small group market health 
387.21 	insurance rates in southeastern Minnesota, and identify ways to reduce the rate disparity 
387.22 	between southeastern Minnesota and the metropolitan area, taking into consideration the 
387.23 	patterns of referral center usage by patients in those regions;
387.24 	(3) determine the extent to which individuals and small employers located in a geographic 
387.25 	rating area with higher health insurance rates than surrounding geographic rating areas have 
387.26 	obtained health insurance in a lower-cost geographic rating area, identify the strategies that 
387.27 	individuals and small employers use to obtain health insurance in a lower-cost geographic 
387.28 	rating area, and measure the effects of this practice on the rates of the individuals and small 
387.29 	employers remaining in the geographic rating area with higher health insurance rates; and
387.30 	(4) develop proposals to redraw the boundaries of Minnesota's geographic rating areas 
387.31 	and calculate the effect each proposal would have on rates in each of the proposed rating 
387.32 	areas. The commissioner of commerce must examine at least three options for redrawing 
387.33 	the boundaries of Minnesota's geographic rating areas, at least one of which must reduce 
388.1 	the number of geographic rating areas and at least one which must be based on the first 
388.2 	three digits of area zip codes. The commissioner must not take into consideration the 
388.3 	requirements of Minnesota Statutes, section 62A.65, subdivision 3, paragraph (b), clause 
388.4 	(2), when developing the proposals required by this section. All options for redrawing 
388.5 	Minnesota's geographic rating areas considered by the commissioner of commerce must be 
388.6 	designed:
388.7 	(i) to reduce or eliminate rate disparities between geographic rating areas and provide 
388.8 	for stability of the individual and small group health insurance markets in Minnesota;
388.9 	(ii) after considering the composition of existing provider networks and referral patterns 
388.10 	in regions of Minnesota; and
388.11 	(iii) in compliance with the requirements for geographic rating areas in Code of Federal 
388.12 	Regulations, title 45, section 147.102(b), and other applicable federal law and guidance.
388.13 	(c) Health carriers that cover Minnesota residents, health systems that provide care to 
388.14 	Minnesota residents, and the commissioner of health must cooperate with any request for 
388.15 	information from the commissioner of commerce that the commissioner of commerce 
388.16 	determines is necessary to conduct the study.
388.17 	(d) The commissioner of commerce may recommend one or more proposals to redraw 
388.18 	Minnesota's geographic rating areas if the commissioner of commerce determines that the 
388.19 	proposal would reduce or eliminate individual and small group market health insurance rate 
388.20 	disparities between the geographic rating areas and provide stability for the individual and 
388.21 	small group health insurance markets in Minnesota.
388.22 		Subd. 2.Contract. The commissioner of commerce may contract with another entity 
388.23 	for technical assistance in conducting the study and developing recommendations under 
388.24 	subdivision 1.
388.25 		Subd. 3.Report. The commissioner of commerce must complete the study and 
388.26 	recommendations by January 1, 2023, and submit a report on the study and recommendations 
388.27 	by January 1, 2023, to the chairs and ranking minority members of the legislative committees 
388.28 	with jurisdiction over health care and health insurance.

388.29 	Sec. 36. REPEALER.
 388.30 	Minnesota Statutes 2020, sections 72A.2031, subdivisions 3, 9, and 11; and 72A.2032, 
388.31 	subdivisions 1, 2, 3, and 5, are repealed.

389.1 	ARTICLE 30
389.2 	CONSUMER PROTECTION

389.3 	Section 1. [58B.011] STUDENT LOAN ADVOCATE.
389.4 		Subdivision 1.Designation of a student loan advocate. The commissioner of commerce 
389.5 	must designate a student loan advocate within the Department of Commerce to provide 
389.6 	timely assistance to borrowers and to effectuate this chapter.
389.7 		Subd. 2.Duties. The student loan advocate has the following duties:
389.8 	(1) receive, review, and attempt to resolve complaints from borrowers, including but 
389.9 	not limited to attempts to resolve borrower complaints in collaboration with institutions of 
389.10 	higher education, student loan servicers, and any other participants in student loan lending;
389.11 	(2) compile and analyze data on borrower complaints received under clause (1);
389.12 	(3) help borrowers understand the rights and responsibilities under the terms of student 
389.13 	loans;
389.14 	(4) provide information to the public, state agencies, legislators, and relevant stakeholders 
389.15 	regarding the problems and concerns of borrowers;
389.16 	(5) make recommendations to resolve the problems of borrowers;
389.17 	(6) analyze and monitor the development and implementation of federal, state, and local 
389.18 	laws, regulations, and policies relating to borrowers, and recommend any changes deemed 
389.19 	necessary;
389.20 	(7) review the complete student loan history for any borrower who has provided written 
389.21 	consent to conduct the review;
389.22 	(8) increase public awareness that the advocate is available to assist in resolving the 
389.23 	student loan servicing concerns of potential and actual borrowers, institutions of higher 
389.24 	education, student loan servicers, and any other participant in student loan lending; and
389.25 	(9) take other actions as necessary to fulfill the duties of the advocate, as provided under 
389.26 	this section.
389.27 		Subd. 3.Student loan education course. The advocate must establish and maintain a 
389.28 	borrower education course. The course must include educational presentations and materials 
389.29 	regarding important topics in student loans, including but not limited to:
389.30 	(1) the meaning of important terminology used in student lending;
389.31 	(2) documentation requirements;
390.1 	(3) monthly payment obligations;
390.2 	(4) income-based repayment options;
390.3 	(5) the availability of state and federal loan forgiveness programs; and
390.4 	(6) disclosure requirements.
390.5 		Subd. 4.Reporting. By January 15 of each odd-numbered year, the advocate must report 
390.6 	to the legislative committees with jurisdiction over commerce and higher education. The 
390.7 	report must describe (1) the advocate's implementation of this section, (2) the outcomes 
390.8 	achieved by the advocate during the previous two years, and (3) any recommendations to 
390.9 	improve the regulation of student loan servicers.

390.10 	Sec. 2. Minnesota Statutes 2020, section 65B.84, subdivision 1, is amended to read:
390.11 		Subdivision 1.Program described; commissioner's duties; appropriation. (a) The 
390.12 	commissioner of commerce shall:
390.13 	(1) develop and sponsor the implementation of statewide plans, programs, and strategies 
390.14 	to combat automobile theft, improve the administration of the automobile theft laws, and 
390.15 	provide a forum for identification of critical problems for those persons dealing with 
390.16 	automobile theft;
390.17 	(2) coordinate the development, adoption, and implementation of plans, programs, and 
390.18 	strategies relating to interagency and intergovernmental cooperation with respect to 
390.19 	automobile theft enforcement;
390.20 	(3) annually audit the plans and programs that have been funded in whole or in part to 
390.21 	evaluate the effectiveness of the plans and programs and withdraw funding should the 
390.22 	commissioner determine that a plan or program is ineffective or is no longer in need of 
390.23 	further financial support from the fund;
390.24 	(4) develop a plan of operation including:
390.25 	(i) an assessment of the scope of the problem of automobile theft, including areas of the 
390.26 	state where the problem is greatest;
390.27 	(ii) an analysis of various methods of combating the problem of automobile theft;
390.28 	(iii) a plan for providing financial support to combat automobile theft;
390.29 	(iv) a plan for eliminating car hijacking; and
390.30 	(v) an estimate of the funds required to implement the plan; and
391.1 	(5) distribute money, in consultation with the commissioner of public safety, pursuant 
391.2 	to subdivision 3 from the automobile theft prevention special revenue account for automobile 
391.3 	theft prevention activities, including:
391.4 	(i) paying the administrative costs of the program;
391.5 	(ii) providing financial support to the State Patrol and local law enforcement agencies 
391.6 	for automobile theft enforcement teams;
391.7 	(iii) providing financial support to state or local law enforcement agencies for programs 
391.8 	designed to reduce the incidence of automobile theft and for improved equipment and 
391.9 	techniques for responding to automobile thefts;
391.10 	(iv) providing financial support to local prosecutors for programs designed to reduce 
391.11 	the incidence of automobile theft;
391.12 	(v) providing financial support to judicial agencies for programs designed to reduce the 
391.13 	incidence of automobile theft;
391.14 	(vi) providing financial support for neighborhood or community organizations or business 
391.15 	organizations for programs designed to reduce the incidence of automobile theft and to 
391.16 	educate people about the common methods of automobile theft, the models of automobiles 
391.17 	most likely to be stolen, and the times and places automobile theft is most likely to occur; 
391.18 	and
391.19 	(vii) providing financial support for automobile theft educational and training programs 
391.20 	for state and local law enforcement officials, driver and vehicle services exam and inspections 
391.21 	staff, and members of the judiciary.
391.22 	(b) The commissioner may not spend in any fiscal year more than ten percent of the 
391.23 	money in the fund for the program's administrative and operating costs. The commissioner 
391.24 	is annually appropriated and must distribute the amount of the proceeds credited to the 
391.25 	automobile theft prevention special revenue account each year, less the transfer of $1,300,000 
391.26 	each year to the insurance fraud prevention account described in section 297I.11, subdivision 
391.27 	2.
391.28 	(c) At the end of each fiscal year, the commissioner may transfer any unobligated balances 
391.29 	in the auto theft prevention account to the insurance fraud prevention account under section 
391.30 	45.0135, subdivision 6.
391.31 	(d) The commissioner must establish a library of equipment to combat automobile-related 
391.32 	theft offenses. The equipment must be available to all law enforcement agencies upon 
391.33 	request to support law enforcement agency efforts to combat automobile theft.

392.1 	Sec. 3. Minnesota Statutes 2021 Supplement, section 325E.21, subdivision 1b, is amended 
392.2 	to read:
392.3 		Subd. 1b.Purchase or acquisition record required. (a) Any person who purchases or 
392.4 	receives a catalytic converter must comply with this section.
392.5 	(b) Every scrap metal dealer, including an agent, employee, or representative of the 
392.6 	dealer, shall create a permanent record written in English, using an electronic record program 
392.7 	at the time of each purchase or acquisition of scrap metal. The record must include:
392.8 	(1) a complete and accurate account or description, including the weight if customarily 
392.9 	purchased by weight, of the scrap metal purchased or acquired;
392.10 	(2) the date, time, and place of the receipt of the scrap metal purchased or acquired and 
392.11 	a unique transaction identifier;
392.12 	(3) a photocopy or electronic scan of the seller's proof of identification including the 
392.13 	identification number;
392.14 	(4) the amount paid and the number of the check or electronic transfer used to purchase 
392.15 	the scrap metal;
392.16 	(5) the license plate number and description of the vehicle used by the person when 
392.17 	delivering the scrap metal, including the vehicle make and model, and any identifying marks 
392.18 	on the vehicle, such as a business name, decals, or markings, if applicable;
392.19 	(6) a statement signed by the seller, under penalty of perjury as provided in section 
392.20 	609.48, attesting that the scrap metal is not stolen and is free of any liens or encumbrances 
392.21 	and the seller has the right to sell it;
392.22 	(7) a copy of the receipt, which must include at least the following information: the name 
392.23 	and address of the dealer, the date and time the scrap metal was received by the dealer, an 
392.24 	accurate description of the scrap metal, and the amount paid for the scrap metal;
392.25 	(8) in order to purchase a detached catalytic converter, the vehicle identification number 
392.26 	of the car it was removed from or as an alternative any numbers, bar codes, stickers, or other 
392.27 	unique markings that resultwhether resulting from the pilot project created under subdivision 
392.28 	2b or some other source. The alternative number must be under a numbering system that 
392.29 	can be immediately linked to the vehicle identification number by law enforcement; and
392.30 	(9) the name of the person who removed the catalytic converter identity, or identifier, 
392.31 	of the employee completing the transaction.
393.1 	(c)(b) The record, as well as the scrap metal purchased or received, shall at all reasonable 
393.2 	times be open to the inspection of any properly identified law enforcement officer.
393.3 	(d) (c) Except for the purchase of detached catalytic converters, no record is required 
393.4 	for property purchased from merchants, manufacturers, salvage pools, insurance companies, 
393.5 	rental car companies, financial institutions, charities, dealers licensed under section 168.27, 
393.6 	or wholesale dealers, having an established place of business, or of any goods purchased at 
393.7 	open sale from any bankrupt stock, but a receipt as required under paragraph (b), clause 
393.8 	(7), shall be obtained and kept by the person, which must be shown upon demand to any 
393.9 	properly identified law enforcement officer.
393.10 	(e) (d) The dealer must provide a copy of the receipt required under paragraph (b), clause 
393.11 	(7), to the seller in every transaction.
393.12 	(f) (e) Law enforcement agencies in the jurisdiction where a dealer is located may conduct 
393.13 	regular and routine inspections to ensure compliance, refer violations to the city or county 
393.14 	attorney for criminal prosecution, and notify the registrar of motor vehicles.
393.15 	(g) (f) Except as otherwise provided in this section, a scrap metal dealer or the dealer's 
393.16 	agent, employee, or representative may not disclose personal information concerning a 
393.17 	customer without the customer's consent unless the disclosure is required by law or made 
393.18 	in response to a request from a law enforcement agency. A scrap metal dealer must implement 
393.19 	reasonable safeguards to protect the security of the personal information and prevent 
393.20 	unauthorized access to or disclosure of the information. For purposes of this paragraph, 
393.21 	"personal information" is any individually identifiable information gathered in connection 
393.22 	with a record under paragraph (a).

393.23 	Sec. 4. Minnesota Statutes 2020, section 325E.21, subdivision 2, is amended to read:
393.24 		Subd. 2.Retention required. Records required to be maintained by subdivision
393.25 	subdivisions 1a or, 1b, 11, 12, and 13, shall be retained by the scrap metal dealer for a period 
393.26 	of three years.

393.27 	Sec. 5. Minnesota Statutes 2020, section 325E.21, subdivision 5, is amended to read:
393.28 		Subd. 5.Training. Each scrap metal dealer shall review the educational materials 
393.29 	provided by the superintendent of the Bureau of Criminal Apprehension under section 
393.30 	299C.25 and ensure that all employees do so as well. A scrap metal dealer engaged in the 
393.31 	purchase of used catalytic converters shall ensure employees handling catalytic converter 
394.1 	transactions are specifically trained and familiar with the additional requirements for catalytic 
394.2 	converters.

394.3 	Sec. 6. Minnesota Statutes 2020, section 325E.21, subdivision 6, is amended to read:
394.4 		Subd. 6.Criminal penalty. (a) A scrap metal dealer, or the agent, employee, or 
394.5 	representative of the dealer, who intentionally violates a provision of this section, except 
394.6 	for subdivisions 11 to 13, is guilty of a misdemeanor.
394.7 	(b) A person who violates subdivisions 11 to 13 is guilty of a:
394.8 	(1) misdemeanor for possession or purchase of one catalytic converter; and
394.9 	(2) gross misdemeanor for possession or purchase of two or more catalytic converters.

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

394.12 	Sec. 7. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision to 
394.13 	read:
394.14 		Subd. 11.Prohibition on possessing catalytic converters; exception. (a) It is unlawful 
394.15 	for a person who is not a registered scrap metal dealer to possess a used catalytic converter 
394.16 	that is not attached to a motor vehicle except when:
394.17 	(1) the converter is marked with (i) the date the converter was removed from the vehicle, 
394.18 	and (ii) the identification number of the vehicle from which the converter was removed or 
394.19 	an alternative number to the vehicle identification number from the vehicle from which the 
394.20 	converter was removed; or
394.21 	(2) the converter has been EPA certified for reuse as a replacement part.
394.22 	(b) If an alternative number to the vehicle identification number is used, it must be under 
394.23 	a numbering system that can be immediately linked to the vehicle identification number by 
394.24 	law enforcement. The marking of the alternative number may be made in any permanent 
394.25 	manner, including but not limited to an engraving or use of permanent ink. The marking 
394.26 	must clearly and legibly indicate (1) the date the converter was removed; and (2) the (i) 
394.27 	vehicle identification number, or (ii) alternative number and the method by which law 
394.28 	enforcement can link the converter to the vehicle identification number.

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

395.1 	Sec. 8. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision to 
395.2 	read:
395.3 		Subd. 12.Prohibition. It is unlawful for a person who is not a registered scrap metal 
395.4 	dealer to purchase a used catalytic converter that is not EPA certified for reuse as a 
395.5 	replacement part, except when the catalytic converter is attached to a motor vehicle. A used 
395.6 	catalytic converter that is EPA certified for reuse as a replacement part may be sold to a 
395.7 	person or business for reuse as a replacement part for a motor vehicle when the requirements 
395.8 	of subdivision 11 are met.

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

395.11 	Sec. 9. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision to 
395.12 	read:
395.13 		Subd. 13.Purchase of catalytic converters. A scrap metal dealer is prohibited from 
395.14 	processing, selling, or removing a catalytic converter from the dealer's premises for at least 
395.15 	seven days after the catalytic converter acquisition by the scrap metal dealer.

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

395.18 	Sec. 10. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision 
395.19 	to read:
395.20 		Subd. 14.New and used motor vehicles. Dealers, as defined in section 168.002, 
395.21 	subdivision 6, and dealers in used motor vehicles must mark the catalytic converters of all 
395.22 	motor vehicles held for sale with unique identification numbers using labels, engraving, 
395.23 	theft deterrence paint, or other methods that permanently mark the catalytic converter without 
395.24 	damaging its function. The commissioner shall advise dealers and dealers in used motor 
395.25 	vehicles of the best method to accomplish permanently marking the catalytic converter.

395.26 	Sec. 11. Minnesota Statutes 2020, section 325E.21, is amended by adding a subdivision 
395.27 	to read:
395.28 		Subd. 15.Audits. The commissioner may conduct periodic audits on scrap metal dealers 
395.29 	to ensure compliance with the catalytic converter theft prevention requirements of this 
395.30 	section.

396.1 	Sec. 12. [325F.6945] UNLAWFUL SOCIAL MEDIA ACTIVITIES.
396.2 		Subdivision 1.Definitions. (a) For the purposes of this section, the following terms have 
396.3 	the meanings given.
396.4 	(b) "Account holder" means a person who accesses a social media account through a 
396.5 	social media platform.
396.6 	(c) "Social media algorithm" means the software used by social media platforms to (1) 
396.7 	prioritize content, and (2) direct the prioritized content to the account holder.
396.8 	(d) "Social media platform" means an electronic medium, including a browser-based or 
396.9 	application-based interactive computer service, telephone network, or data network, that 
396.10 	allows users to create, share, and view user-generated content. Social media platform does 
396.11 	not include Internet search providers, Internet service providers, or e-mail. Social media 
396.12 	platform does not include a communication service, including audio and video 
396.13 	communication technology, provided by a business to their employees and clients for use 
396.14 	in the course of business activities and not as part of a publicly accessible platform.
396.15 	(e) "User-generated content" means any content created or shared by an account holder, 
396.16 	including without limitation written posts, photographs, graphics, video recordings, or audio 
396.17 	recordings.
396.18 		Subd. 2.Prohibitions; social media algorithm. (a) A social media platform with more 
396.19 	than 1,000,000 account holders operating in Minnesota is prohibited from using a social 
396.20 	media algorithm to target user-generated content at an account holder under the age of 18 
396.21 	and who is located in Minnesota, except as provided in subdivision 3. Nothing in this section 
396.22 	prohibits a social media platform from allowing content to appear in a chronological manner 
396.23 	for an account holder under the age of 18.
396.24 	(b) The social media platform is liable to an individual account holder who received 
396.25 	user-generated content through a social media algorithm while the individual account holder 
396.26 	was under the age of 18 and was using the individual account holder's own account, if the 
396.27 	social media platform knew or had reason to know that the individual account holder was 
396.28 	under the age of 18 and located in Minnesota. A social media platform subject to this 
396.29 	paragraph is liable to the account holder for (1) any general or special damages, (2) a statutory 
396.30 	penalty of $1,000 for each violation of this section, provided that no individual account 
396.31 	holder may recover more than $100,000 in statutory penalties under this subdivision in any 
396.32 	calendar year, and (3) any other penalties available under law.
397.1 		Subd. 3.Exceptions. (a) An algorithm, software, or device that acts as a parental control, 
397.2 	or an internal control used by the social media platform that is intended to control the ability 
397.3 	of a minor to access content, or is used to filter content for age-appropriate or banned 
397.4 	material, is exempt from this section.
397.5 	(b) User-generated content that is created by a federal, state, or local government or by 
397.6 	a public or private school, college, or university, including software and applications used 
397.7 	by a public or private school, college, or university that are created and used for educational 
397.8 	purposes, is exempt from this section.

397.9 	Sec. 13. [332.365] CREDIT COUNSELING ORGANIZATIONS; DEBTORS.
397.10 		Subdivision 1.Duties of commissioner. (a) On or before July 1, 2023, the commissioner 
397.11 	must develop and maintain a document that includes the contact information for nonprofit 
397.12 	organizations domiciled in Minnesota that provide credit counseling services to debtors. 
397.13 	Credit counseling services include but are not limited to (1) helping a debtor understand 
397.14 	the debtor's rights and responsibilities, and (2) working with debtors, creditors, and collection 
397.15 	agencies to satisfy debts. The document must include contact information for organizations 
397.16 	that provide credit counseling services in languages other than English to individuals whose 
397.17 	primary language is a language other than English. The document must include the following 
397.18 	statement in English, Spanish, Somali, Hmong, Vietnamese, and Chinese:
397.19 	"There are resources available to help manage your debt. The following Minnesota 
397.20 	organizations offer debt and credit counseling services. The Department of Commerce does 
397.21 	not control or guarantee any of the services provided by these organizations. This list is not 
397.22 	a referral to, or endorsement or recommendation of, any organization or the organization's 
397.23 	services."
397.24 	(b) The document must be no more than one 8-1/2 by 11-inch sheet of paper. The 
397.25 	commissioner must maintain the document and make it publicly available on the department's 
397.26 	website in a printable format.
397.27 	(c) Beginning September 1, 2024, the commissioner may update the document no more 
397.28 	than once per year and must notify all licensed collection agencies after an update occurs. 
397.29 	A collection agency has 120 days from the date the collection agency receives notice of an 
397.30 	update to the document from the commissioner to apply the changes to the document.
397.31 		Subd. 2.Duties of collection agency. Beginning September 1, 2023, a collection agency 
397.32 	must include the document described in subdivision 1 with the initial written communication 
398.1 	sent to a debtor if the initial communication is performed via United States mail, e-mail, or 
398.2 	text message.

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

398.4 	Sec. 14. Minnesota Statutes 2020, section 609.5316, subdivision 3, is amended to read:
398.5 		Subd. 3.Weapons, telephone cloning paraphernalia, automated sales suppression 
398.6 	devices, catalytic converters, and bullet-resistant vests. Weapons used are contraband 
398.7 	and must be summarily forfeited to the appropriate agency upon conviction of the weapon's 
398.8 	owner or possessor for a controlled substance crime; for any offense of this chapter or 
398.9 	chapter 624, or for a violation of an order for protection under section 518B.01, subdivision 
398.10 	14. Bullet-resistant vests, as defined in section 609.486, worn or possessed during the 
398.11 	commission or attempted commission of a crime are contraband and must be summarily 
398.12 	forfeited to the appropriate agency upon conviction of the owner or possessor for a controlled 
398.13 	substance crime or for any offense of this chapter. Telephone cloning paraphernalia used 
398.14 	in a violation of section 609.894, and automated sales suppression devices, phantom-ware, 
398.15 	and other devices containing an automated sales suppression or phantom-ware device or 
398.16 	software used in violation of section 289A.63, subdivision 12, are contraband and must be 
398.17 	summarily forfeited to the appropriate agency upon a conviction. A catalytic converter 
398.18 	possessed in violation of section 325E.21 is contraband and must be summarily forfeited 
398.19 	to the appropriate agency upon a conviction.

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

APPENDIX 

Repealed Minnesota Statutes: UES4091-1 

16B.323 SOLAR ENERGY IN STATE BUILDINGS.Subdivision 1.Definitions. 
(a) For purposes of this section, the following terms have the meanings given. 

(b) "Major renovation" means a substantial addition to an existing building, or a substantial change to the interior configuration or the energy system of an existing building. 

(c) "Solar energy system" means photovoltaic devices alone or installed in conjunction with a solar thermal system. 

(d) "Photovoltaic device " has the meaning given in section 216C.06, subdivision 16. 

(e) "Solar thermal system" has the meaning given "qualifying solar thermal project" in section 216B.2411, subdivision 2, paragraph (e). 

(f) "State building" means a building whose construction or renovation is paid wholly or in part by the state from the bond proceeds fund. 

Subd. 2.Solar energy system. 
(a) As provided in paragraphs (b) and (c), a project for the construction or major renovation of a state building, after the completion of a cost-benefit analysis, may include installation of solar energy systems of up to 300 kilowatts capacity on, adjacent, or in proximity to the state building. 

(b) The capacity of a solar energy system must be less than 300 kilowatts to the extent necessary to match the electrical load of the building, or the capacity must be no more than necessary to keep the costs for the installation below the five percent maximum set by paragraph (c). 

(c) The cost of the solar energy system must not exceed five percent of the appropriations from the bond proceeds fund for the construction or renovation of the state building. Purchase and installation of a solar thermal system may account for no more than 25 percent of the cost of a solar energy system installation. 

(d) A project subject to this section is ineligible to receive a rebate for the installation of a solar energy system under section 116C.7791 or from any utility. 

16B.326 HEATING AND COOLING SYSTEMS; STATE-FUNDED BUILDINGS.
The commissioner must review project proposer's study for geothermal and solar thermal applications as possible uses for heating or cooling for all building projects subject to a predesign review under section 16B.335 that receive any state funding for replacement of heating or cooling systems. When practicable, geothermal and solar thermal heating and cooling systems must be considered when designing, planning, or letting bids for necessary replacement or initial installation of cooling or heating systems in new or existing buildings that are constructed or maintained with state funds. The predesign review must include a written plan for compliance with this section from a project proposer. 

For the purposes of this section, "solar thermal" means a flat plate or evacuated tube with a fixed orientation that collects the sun's radiant energy and transfers it to a storage medium for distribution as energy for heating and cooling. 

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. 

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. 

116J.9924 TARGETED COMMUNITY CAPITAL PROJECT GRANT PROGRAM.Subd. 6.Applicability of other laws. 
The provisions of chapter 16A that apply to general fund appropriations for capital projects also apply to grants under this section. Money granted under this section is available until the project is completed or abandoned subject to section 16A.642. 

181.9413 SICK LEAVE BENEFITS; CARE OF RELATIVES.
(a) An employee may use personal sick leave benefits provided by the employer for absences due to an illness of or injury to the employee's child, as defined in section 181.940, subdivision 4, adult child, spouse, sibling, parent, mother-in-law, father-in-law, grandchild, grandparent, or stepparent, for reasonable periods of time as the employee's attendance may be necessary, on the same terms upon which the employee is able to use sick leave benefits for the employee's own illness or injury. This section applies only to personal sick leave benefits payable to the employee from the employer's general assets. 

(b) An employee may use sick leave as allowed under this section for safety leave, whether or not the employee's employer allows use of sick leave for that purpose for such reasonable periods of time as may be necessary. Safety leave may be used for assistance to the employee or assistance to the relatives described in paragraph (a). For the purpose of this section, "safety leave" is leave for the purpose of providing or receiving assistance because of sexual assault, domestic abuse, or harassment or stalking. For the purpose of this paragraph: 

(1) "domestic abuse" has the meaning given in section 518B.01; 

(2) "sexual assault" means an act that constitutes a violation under sections 609.342 to 609.3453 or 609.352; and 

(3) "harass" and "stalking" have the meanings given in section 609.749. 

(c) An employer may limit the use of safety leave as described in paragraph (b) or personal sick leave benefits provided by the employer for absences due to an illness of or injury to the employee's adult child, spouse, sibling, parent, mother-in-law, father-in-law, grandchild, grandparent, or stepparent to no less than 160 hours in any 12-month period. This paragraph does not apply to absences due to the illness or injury of a child, as defined in section 181.940, subdivision 4. 

(d) For purposes of this section, "personal sick leave benefits" means time accrued and available to an employee to be used as a result of absence from work due to personal illness or injury, but does not include short-term or long-term disability or other salary continuation benefits. 

(e) For the purpose of this section, "child" includes a stepchild and a biological, adopted, and foster child. 

(f) For the purpose of this section, "grandchild" includes a step-grandchild, and a biological, adopted, and foster grandchild. 

(g) This section does not prevent an employer from providing greater sick leave benefits than are provided for under this section. 

(h) An employer shall not retaliate against an employee for requesting or obtaining a leave of absence under this section. 

216B.16 RATE CHANGE; PROCEDURE; HEARING.Subd. 10.Intervenor compensation. 
(a) A nonprofit organization or an individual granted formal intervenor status by the commission is eligible to receive compensation. 

(b) The commission may order a utility to compensate all or part of an eligible intervenor's reasonable costs of participation in a general rate case that comes before the commission when the commission finds that the intervenor has materially assisted the commission's deliberation and when a lack of compensation would present financial hardship to the intervenor. Compensation may not exceed $50,000 for a single intervenor in any proceeding. For the purpose of this subdivision, "materially assisted" means that the intervenor's participation and presentation was useful and seriously considered, or otherwise substantially contributed to the commission's deliberations in the proceeding. 

(c) In determining whether an intervenor has materially assisted the commission's deliberation, the commission must consider, among other factors, whether: 

(1) the intervenor represented an interest that would not otherwise have been adequately represented; 

(2) the evidence or arguments presented or the positions taken by the intervenor were an important factor in producing a fair decision; 

(3) the intervenor's position promoted a public purpose or policy; 

(4) the evidence presented, arguments made, issues raised, or positions taken by the intervenor would not have been a part of the record without the intervenor's participation; and 

(5) the administrative law judge or the commission adopted, in whole or in part, a position advocated by the intervenor. 

(d) In determining whether the absence of compensation would present financial hardship to the intervenor, the commission must consider: 

(1) whether the costs presented in the intervenor's claim reflect reasonable fees for attorneys and expert witnesses and other reasonable costs; and 

(2) the ratio between the costs of intervention and the intervenor's unrestricted funds. 

(e) An intervenor seeking compensation must file a request and an affidavit of service with the commission, and serve a copy of the request on each party to the proceeding. The request must be filed 30 days after the later of (1) the expiration of the period within which a petition for rehearing, amendment, vacation, reconsideration, or reargument must be filed or (2) the date the commission issues an order following rehearing, amendment, vacation, reconsideration, or reargument. 

(f) The compensation request must include: 

(1) the name and address of the intervenor or representative of the nonprofit organization the intervenor is representing; 

(2) proof of the organization's nonprofit, tax-exempt status; 

(3) the name and docket number of the proceeding for which compensation is requested; 

(4) a list of actual annual revenues and expenses of the organization the intervenor is representing for the preceding year and projected revenues, revenue sources, and expenses for the current year; 

(5) the organization's balance sheet for the preceding year and a current monthly balance sheet; 

(6) an itemization of intervenor costs and the total compensation request; and 

(7) a narrative explaining why additional organizational funds cannot be devoted to the intervention. 

(g) Within 30 days after service of the request for compensation, a party may file a response, together with an affidavit of service, with the commission. A copy of the response must be served on the intervenor and all other parties to the proceeding. 

(h) Within 15 days after the response is filed, the intervenor may file a reply with the commission. A copy of the reply and an affidavit of service must be served on all other parties to the proceeding. 

(i) If additional costs are incurred as a result of additional proceedings following the commission's initial order, the intervenor may file an amended request within 30 days after the commission issues an amended order. Paragraphs (e) to (h) apply to an amended request. 

(j) The commission must issue a decision on intervenor compensation within 60 days of a filing by an intervenor. 

(k) A party may request reconsideration of the commission's compensation decision within 30 days of the decision. 

(l) If the commission issues an order requiring payment of intervenor compensation, the utility that was the subject of the proceeding must pay the compensation to the intervenor, and file with the commission proof of payment, within 30 days after the later of (1) the expiration of the period within which a petition for reconsideration of the commission's compensation decision must be filed or (2) the date the commission issues an order following reconsideration of its order on intervenor compensation. 

268.085 ELIGIBILITY REQUIREMENTS; PAYMENTS THAT AFFECT BENEFITS.Subd. 8.Services for school contractors. 
(a) Wage credits from an employer are subject to subdivision 7, if: 

(1) the employment was provided under a contract between the employer and an elementary or secondary school; and 

(2) the contract was for services that the elementary or secondary school could have had performed by its employees. 

(b) Wage credits from an employer are not subject to subdivision 7 if: 

(1) those wage credits were earned by an employee of a private employer performing work under a contract between the employer and an elementary or secondary school; and 

(2) the employment was related to food services provided to the school by the employer. 

Repealed Minnesota Session Laws: UES4091-1 

Laws 2017, chapter 5, section 1
Section 1. NATURAL GAS COMBINED CYCLE ELECTRIC GENERATION PLANT. 
(a) Notwithstanding Minnesota Statutes, section 216B.243 and Minnesota Statutes, chapter 216E, a public utility may, at its sole discretion, construct, own, and operate a natural gas combined cycle electric generation plant as the utility proposed to the Public Utilities Commission in docket number E-002/RP-15-21, or as revised by the utility and approved by the Public Utilities Commission in the latest resource plan filed after the effective date of this section, provided that the plant is located on property in Sherburne County, Minnesota, already owned by the public utility, and will be constructed after January 1, 2018.  

(b) Reasonable and prudently incurred costs and investments by a public utility under this section may be recovered pursuant to the provisions of Minnesota Statutes, section 216B.16. 

(c) No less than 20 months prior to the start of construction, a public utility intending to construct a plant under this section shall file with the commission an evaluation of the utility's forecasted costs prepared by an independent evaluator and may ask the commission to establish a sliding scale rate of return mechanism for this capital investment to provide an incentive for the utility to complete the project at or under the forecasted costs.