relating to state government; appropriating money for jobs and economic
development; modifying labor and industry; employment, economic
development, and workforce development; unemployment insurance;
miscellaneous provisions; commerce and consumer protection; utility regulation;
energy and solar energy regulations; creating various renewable energy
incentives; imposing penalties; increasing fees; requiring reports; authorizing
rulemaking; appropriating money to various state boards, agencies, and
departments;amending Minnesota Statutes 2012, sections 16B.122, subdivision
2; 16C.144, subdivision 2; 45.0135, subdivision 6; 60A.14, subdivision 1;
65B.84, subdivision 1; 116J.70, subdivision 2a; 116J.8731, subdivisions 2,
3, 8, 9; 116L.17, subdivision 4, by adding a subdivision; 116U.26; 136F.37;
154.001, by adding a subdivision; 154.003; 154.02; 154.05; 154.06; 154.065,
subdivision 2; 154.07, subdivision 1; 154.08; 154.09; 154.10, subdivision 1;
154.11, subdivision 1; 154.12; 154.14; 154.15, subdivision 2; 154.26; 155A.23,
subdivisions 3, 8, 11; 155A.25, subdivisions 1a, 4; 155A.27, subdivisions 4,
7, 10; 155A.29, subdivision 2; 155A.30, by adding a subdivision; 177.27,
subdivision 4; 216B.16, subdivision 7b; 216B.1635; 216B.164, subdivisions 2, 3,
4, 6, by adding subdivisions; 216B.1691, subdivision 2e, by adding a subdivision;
216B.1692, subdivisions 1, 8, by adding a subdivision; 216B.1695, subdivision
5, by adding a subdivision; 216B.2401; 216B.241, subdivisions 1, 1e, by adding
a subdivision; 216B.2411, subdivision 3; 216C.05; 216C.435, subdivision 8,
by adding a subdivision; 216C.436, subdivisions 2, 7, 8; 239.101, subdivision
3; 245.4712, subdivision 1; 268.051, subdivision 5; 268.07, subdivision 3b;
268.125, subdivisions 1, 3, 4, 5; 268.136, subdivisions 1, 2, 3, 4, 5, by adding
a subdivision; 268.23; 268A.13; 268A.14, subdivision 1; 298.22, subdivision
1; 298.28, subdivision 9c; 326.02, subdivision 5; 326A.04, subdivisions 2, 3, 5,
7; 326A.10; 326B.081, subdivision 3; 326B.082, subdivision 11; 326B.093,
subdivision 4; 326B.101; 326B.103, subdivision 11; 326B.121, subdivision 1;
326B.163, by adding subdivisions; 326B.184, subdivisions 1, 2, by adding a
subdivision; 326B.187; 326B.31, by adding a subdivision; 326B.33, subdivisions
19, 21; 326B.36, subdivision 7; 326B.37, by adding a subdivision; 326B.43,
subdivision 2; 326B.49, subdivisions 2, 3; 326B.89, subdivision 1; 327B.04,
subdivision 4; 341.21, subdivision 3a; 341.221; 341.27; 341.29; 341.30,
subdivision 4; 341.32, subdivision 2; 341.321; 429.101, subdivision 2; 462.358,
subdivision 2b; 462A.37, subdivision 1; 507.235, subdivision 2; 559.211,
subdivision 2; Laws 2005, chapter 97, article 10, section 3; Laws 2006, chapter
269, section 2, as amended; Laws 2011, First Special Session chapter 2, article 2,
section 3, subdivision 4; Laws 2012, chapter 201, article 1, section 3; proposing
coding for new law in Minnesota Statutes, chapters 3; 116C; 116J; 116L; 154;
155A; 161; 179; 216B; 216C; 268; 326B; 383D; 559; proposing coding for
new law as Minnesota Statutes, chapter 80G; repealing Minnesota Statutes
2012, sections 116W.01; 116W.02; 116W.03; 116W.035; 116W.04; 116W.05;
116W.06; 116W.20; 116W.21; 116W.23; 116W.24; 116W.25; 116W.26; 116W.27;
116W.28; 116W.29; 116W.30; 116W.31; 116W.32; 116W.33; 116W.34; 155A.25,
subdivision 1; 216B.1637; 237.012, subdivision 3; 326A.03, subdivisions 2, 5, 8;
326B.31, subdivisions 18, 19, 22; 326B.978, subdivision 4; 507.235, subdivision
4; Minnesota Rules, parts 1105.0600; 1105.2550; 1105.2700; 1307.0032;
3800.3520, subpart 5, items C, D; 3800.3602, subpart 2, item B.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
2.15 The amounts shown in this section summarize direct appropriations, by fund, made
2.16in this article.
|Section 1. JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS.
|Petroleum Tank Release
2.26 The sums shown in the columns marked "Appropriations" are appropriated to the
2.27agencies and for the purposes specified in this article. The appropriations are from the
2.28general fund, or another named fund, and are available for the fiscal years indicated
2.29for each purpose. The figures "2014" and "2015" used in this article mean that the
2.30appropriations listed under them are available for the fiscal year ending June 30, 2014, or
2.31June 30, 2015, respectively. "The first year" is fiscal year 2014. "The second year" is fiscal
2.32year 2015. "The biennium" is fiscal years 2014 and 2015.
|Sec. 2. JOBS AND ECONOMIC DEVELOPMENT.
||Available for the Year
||Ending June 30
|Sec. 3. DEPARTMENT OF EMPLOYMENT
AND ECONOMIC DEVELOPMENT
|Subdivision 1.Total Appropriation
3.8The amounts that may be spent for each
3.9purpose are specified in the following
|Appropriations by Fund
|Subd. 2.Business and Community
3.16(a)(1) $15,000,000 each year is for
3.17the Minnesota investment fund under
3.18Minnesota Statutes, section 116J.8731. This
3.19appropriation is available until spent.
3.20(2) Of the amount available under clause
3.21(1), up to $3,000,000 in fiscal year 2014
3.22is for a loan to facilitate initial investment
3.23in the purchase and operation of a
3.24biopharmaceutical manufacturing facility.
3.25This loan is not subject to the loan limitations
3.26under Minnesota Statutes, section 116J.8731,
3.27and shall be forgiven by the commissioner
3.28of employment and economic development
3.29upon verification of meeting performance
3.30goals. Purchases related to and for the
3.31purposes of this loan award must be made
3.32between January 1, 2013, and June 30, 2015.
3.33The amount under this clause is available
3.35(3) Of the amount available under clause (1),
3.36up to $2,000,000 is available for subsequent
4.1investment in the biopharmaceutical facility
4.2project in clause (2). The amount under this
4.3clause is available until expended. Loan
4.4thresholds under clause (2) must be achieved
4.5and maintained to receive funding. Loans
4.6are not subject to the loan limitations under
4.7Minnesota Statutes, section 116J.8731, and
4.8shall be forgiven by the commissioner of
4.9employment and economic development
4.10upon verification of meeting performance
4.11goals. Purchases related to and for the
4.12purposes of loan awards must be made during
4.13the biennium the loan was received.
4.14(4) Notwithstanding any law to the contrary,
4.15the biopharmaceutical manufacturing facility
4.16in this paragraph shall be deemed eligible
4.17for the Minnesota job creation fund under
4.18Minnesota Statutes, section 116J.8748,
4.19by having at least $25,000,000 in capital
4.20investment and 190 retained employees.
4.21(5) For purposes of clauses (1) to (4),
4.22"biopharmaceutical" and "biologics" are
4.23interchangeable and mean medical drugs
4.24or medicinal preparations produced using
4.25technology that uses biological systems,
4.26living organisms, or derivatives of living
4.27organisms, to make or modify products or
4.28processes for specific use. The medical drugs
4.29or medicinal preparations include but are not
4.30limited to proteins, antibodies, nucleic acids,
4.32(b) $12,000,000 each year is for the
4.33Minnesota job creation fund under Minnesota
4.34Statutes, section 116J.8748. Of this amount,
4.35the commissioner of employment and
5.1economic development may use up to three
5.2percent for administrative expenses. This
5.3appropriation is available until spent. The
5.4base funding for this program shall be
5.5$12,500,000 each year in the fiscal year
5.7(c) $1,272,000 each year is from the
5.8general fund for contaminated site cleanup
5.9and development grants under Minnesota
5.10Statutes, sections 116J.551 to 116J.558. This
5.11appropriation is available until expended.
5.12(d) $700,000 each year is from the
5.13remediation fund for contaminated site
5.14cleanup and development grants under
5.15Minnesota Statutes, sections 116J.551 to
5.16116J.558. This appropriation is available
5.18(e) $1,425,000 the first year and $1,425,000
5.19the second year are from the general fund for
5.20the business development competitive grant
5.21program. Of this amount, up to five percent
5.22is for administration and monitoring of the
5.23business development competitive grant
5.24program. All grant awards shall be for two
5.25consecutive years. Grants shall be awarded
5.26in the first year.
5.27(f) $4,195,000 each year is from the general
5.28fund for the Minnesota job skills partnership
5.29program under Minnesota Statutes, sections
5.30116L.01 to 116L.17. If the appropriation for
5.31either year is insufficient, the appropriation
5.32for the other year is available. This
5.33appropriation is available until spent.
5.34(g) $6,000,000 the first year is from the
5.35general fund for the redevelopment program
6.1under Minnesota Statutes, section 116J.571.
6.2This is a onetime appropriation and is
6.3available until spent.
6.4(h) $12,000 each year is from the general
6.5fund for a grant to the Upper Minnesota Film
6.7(i) $325,000 each year is from the general
6.8fund for the Minnesota Film and TV Board.
6.9The appropriation in each year is available
6.10only upon receipt by the board of $1 in
6.11matching contributions of money or in-kind
6.12contributions from nonstate sources for every
6.13$3 provided by this appropriation, except that
6.14each year up to $50,000 is available on July
6.151 even if the required matching contribution
6.16has not been received by that date.
6.17(j) $100,000 each year is for a grant to the
6.18Northern Lights International Music Festival.
6.19(k) $5,000,000 each year is from the general
6.20fund for a grant to the Minnesota Film
6.21and TV Board for the film production jobs
6.22program under Minnesota Statutes, section
6.23116U.26. This appropriation is available
6.24until expended. The base funding for this
6.25program shall be $1,500,000 each year in the
6.26fiscal year 2016-2017 biennium.
6.27(l) $375,000 each year is from the general
6.28fund for a grant to Enterprise Minnesota, Inc.,
6.29for the small business growth acceleration
6.30program under Minnesota Statutes, section
6.31116O.115. This is a onetime appropriation.
6.32(m) $160,000 each year is from the general
6.33fund for a grant to develop and implement
6.34a southern and southwestern Minnesota
6.35initiative foundation collaborative pilot
7.1project. Funds available under this paragraph
7.2must be used to support and develop
7.3entrepreneurs in diverse populations in
7.4southern and southwestern Minnesota. This
7.5is a onetime appropriation and is available
7.7(n) $100,000 each year is from the general
7.8fund for the Center for Rural Policy
7.9and Development. This is a onetime
7.11(o) $250,000 each year is from the general
7.12fund for the Broadband Development Office.
7.13(p) $250,000 the first year is from the
7.14general fund for a onetime grant to the St.
7.15Paul Planning and Economic Development
7.16Department for neighborhood stabilization
7.17use in NSP3.
7.18(q) $1,235,000 the first year is from the
7.19general fund for a onetime grant to a city
7.20of the second class that is designated as an
7.21economically depressed area by the United
7.22States Department of Commerce. The
7.23appropriation is for economic development,
7.24redevelopment, and job creation programs
7.25and projects. This appropriation is available
7.27(r) $875,000 each year is from the general
7.28fund for the Host Community Economic
7.29Development Program established in
7.30Minnesota Statutes, section 116J.548.
7.31(s) $750,000 the first year is from the general
7.32fund for a onetime grant to the city of Morris
7.33for loans or grants to agricultural processing
7.34facilities for energy efficiency improvements.
7.35Funds available under this section shall be
8.1used to increase conservation and promote
8.2energy efficiency through retrofitting existing
8.3systems and installing new systems to
8.4recover waste heat from industrial processes
8.5and reuse energy. This appropriation is not
8.6available until the commissioner determines
8.7that at least $1,250,000 is committed to
8.8the project from nonpublic sources. This
8.9appropriation is available until expended.
|Appropriations by Fund
|Subd. 3.Workforce Development
8.15(a) $1,039,000 each year from the general
8.16fund and $2,244,000 each year from the
8.17workforce development fund are for the adult
8.18workforce development competitive grant
8.19program. Of this amount, up to five percent
8.20is for administration and monitoring of the
8.21adult workforce development competitive
8.22grant program. All grant awards shall be
8.23for two consecutive years. Grants shall be
8.24awarded in the first year.
8.25(b) $3,500,000 each year is from the
8.26workforce development fund for the
8.27Minnesota youth program under Minnesota
8.28Statutes, sections 116L.56 and 116L.561.
8.29(c) $1,000,000 each year is from the
8.30workforce development fund and $250,000
8.31each year is from the general fund for
8.32the youthbuild program under Minnesota
8.33Statutes, sections 116L.361 to 116L.366. Of
8.34this appropriation and notwithstanding any
8.35law to the contrary, $250,000 each year is for
8.36the Little Earth youthbuild program and is
9.1available until expended. The appropriation
9.2from the general fund and the appropriation to
9.3Little Earth youthbuild program are onetime.
9.4(d) $200,000 each year is from the workforce
9.5development fund for a grant to Minnesota
9.6Diversified Industries, Inc., to provide
9.7progressive development and employment
9.8opportunities for people with disabilities.
9.9(e) $2,848,000 each year is from the
9.10workforce development fund for the youth
9.11workforce development competitive grant
9.12program. Of this amount, up to five percent
9.13is for administration and monitoring of the
9.14youth workforce development competitive
9.15grant program. All grant awards shall be
9.16for two consecutive years. Grants shall be
9.17awarded in the first year.
9.18(f) $1,500,000 each year is from the
9.19workforce development fund for a grant
9.20to FastTRAC - Minnesota Adult Careers
9.21Pathways Program. Up to ten percent
9.22of this appropriation may be used to
9.23provide leadership, oversight, and technical
9.24assistance services for low-skilled,
9.26(g) $987,000 in fiscal year 2014 is a onetime
9.27appropriation from the general fund for
9.28the pilot customized training program for
9.29manufacturing industries under article 3. Of
9.31(1) $240,000 is for the commissioner for
9.32coordination, oversight, and reporting
9.33responsibilities related to the customized
10.1(2) $187,000 is for a grant to Alexandria
10.2Technical College for the customized training
10.4(3) $380,000 is for a grant to Century College
10.5for the purposes of this paragraph;
10.6(4) $90,000 is for Hennepin Technical
10.7College for the purposes of this paragraph;
10.9(5) $90,000 is for Central Lakes College for
10.10the purposes of this paragraph.
10.11(h) $425,000 the first year and $425,000
10.12the second year are from the workforce
10.13development fund for a grant to the
10.14Minnesota High Tech Association to support
10.15SciTechsperience, a program that supports
10.16science, technology, engineering, and math
10.17(STEM) internship opportunities for two-
10.18and four-year college and university students
10.19in their field of study. The internship
10.20opportunities must match students with
10.21paid internships within STEM disciplines
10.22at small, for-profit companies located in the
10.23seven-county metropolitan area, with fewer
10.24than 150 total employees, or at small or
10.25medium, for-profit companies located outside
10.26of the seven-county metropolitan area, with
10.27fewer than 250 total employees. At least 100
10.28students must be matched in the first year
10.29and at least 125 students must be matched in
10.30the second year. Selected hiring companies
10.31shall receive from the grant 50 percent of the
10.32wages paid to the intern, capped at $2,500
10.33per intern. The program must work toward
10.34increasing the participation among women
10.35or other underserved populations. This is a
11.1onetime appropriation and is available until
11.3(i) $500,000 each year is from the workforce
11.4development fund for the Opportunities
11.5Industrialization Center programs. This
11.6appropriation shall be divided equally among
11.7the eligible centers.
11.8(j) $450,000 the first year is from the
11.9workforce development fund for the
11.10foreign-trained health care professionals
11.11grant program modeled after the pilot
11.12program conducted under Laws 2006,
11.13chapter 282, article 11, section 2, subdivision
11.1412, to encourage state licensure of
11.15foreign-trained health care professionals,
11.16including: physicians, with preference given
11.17to primary care physicians who commit
11.18to practicing for at least five years after
11.19licensure in underserved areas of the state;
11.20nurses; dentists; pharmacists; mental health
11.21professionals; and other allied health care
11.22professionals. The commissioner must
11.23collaborate with health-related licensing
11.24boards and Minnesota workforce centers to
11.25award grants to foreign-trained health care
11.26professionals sufficient to cover the actual
11.27costs of taking a course to prepare health
11.28care professionals for required licensing
11.29examinations and the fee for the state
11.30licensing examinations. When awarding
11.31grants, the commissioner must consider the
11.33(1) whether the recipient's training involves
11.34a medical specialty that is in high demand in
11.35one or more communities in the state;
12.1(2) whether the recipient commits to
12.2practicing in a designated rural area or an
12.3underserved urban community, as defined in
12.4Minnesota Statutes, section 144.1501;
12.5(3) whether the recipient's language skills
12.6provide an opportunity for needed health care
12.7access for underserved Minnesotans; and
12.8(4) any additional criteria established
12.9by the commissioner. This is a onetime
12.10appropriation and is available until expended.
12.11(k) $68,000 the first year from the workforce
12.12development fund is for a grant to Olmsted
12.13County for employment supports and
12.14independent living services to county
12.15residents diagnosed with high-functioning
12.16autism, Asperger's syndrome, nonverbal
12.17learning disorders, and pervasive
12.18development disorder, not otherwise
12.19specified, and for education, outreach,
12.20and support services to area employers
12.21to encourage the hiring and promotion
12.22of workers with high-functioning autism,
12.23Asperger's syndrome, nonverbal learning
12.24disorders, and pervasive development
12.25disorder, not otherwise specified. This is a
12.26onetime appropriation and is available until
12.28(l) $750,000 each year is from the workforce
12.29development fund for a grant to the
12.30Minnesota Alliance of Boys and Girls
12.31Clubs to administer a statewide project
12.32of youth jobs skills development. This
12.33project, which may have career guidance
12.34components, including health and life skills,
12.35is to encourage, train, and assist youth in
13.1job-seeking skills, workplace orientation,
13.2and job-site knowledge through coaching.
13.3This grant requires a 25 percent match from
13.5(m) $500,000 the first year and $500,000 the
13.6second year are appropriated from the general
13.7fund for the publication, dissemination,
13.8and use of labor market information under
13.9Minnesota Statutes, section 116J.4011, and
13.10for pilot programs in the workforce service
13.11areas specified in this act, to combine career
13.12and higher education advising.
13.13(n) $125,000 each year is from the workforce
13.14development fund for a grant to Big
13.15Brothers, Big Sisters of the Greater Twin
13.16Cities for workforce readiness, employment
13.17exploration, and skills development for
13.18youth ages 12 to 21. The grant must serve
13.19youth in the Twin Cities, Central Minnesota
13.20and Southern Minnesota Big Brothers, Big
|Appropriations by Fund
13.23$150,000 each year is from the general fund
13.24for the cost-of-living study required under
13.25Minnesota Statutes, section 116J.013.
|Subd. 4.General Support Services
13.27(a) $330,000 in fiscal year 2014 and $300,000
13.28in fiscal year 2015 are for the STEP grants
13.29in Minnesota Statutes, section 116J.979. Of
13.30the fiscal year 2014 appropriation, $30,000
13.31is for establishing trade, export, and cultural
13.32exchange relations between the state of
13.33Minnesota and east African nations.
14.1(b) $180,000 in fiscal year 2014 and
14.2$180,000 in fiscal year 2015 are for the Invest
14.3Minnesota marketing initiative in Minnesota
14.4Statutes, section 116J.9801. Notwithstanding
14.5any other law, this provision does not expire.
14.6(c) $270,000 each year is from the general
14.7fund for the expansion of Minnesota Trade
14.8Offices under Minnesota Statutes, section
14.10(d) $50,000 each year is from the general
14.11fund for the trade policy advisory group
14.12under Minnesota Statutes, section 116J.9661.
14.13(e) The commissioner of employment and
14.14economic development, in consultation
14.15with the commissioner of agriculture, shall
14.16identify and increase export opportunities for
14.17Minnesota agricultural products.
|Subd. 5.Minnesota Trade Office
|Subd. 6.Vocational Rehabilitation
14.23(a) $10,800,000 each year is from the general
14.24fund for the state's vocational rehabilitation
14.25program under Minnesota Statutes, chapter
14.27(b) $2,261,000 each year is from the general
14.28fund for grants to centers for independent
14.29living under Minnesota Statutes, section
14.31(c) $5,745,000 each year from the general
14.32fund and $6,830,000 each year from the
14.33workforce development fund is for extended
14.34employment services for persons with
14.35severe disabilities under Minnesota Statutes,
15.1section 268A.15. The allocation of extended
15.2employment funds to Courage Center from
15.3July 1, 2012 to June 30, 2013 must be
15.4contracted to Allina Health systems from
15.5July 1, 2013 to June 30, 2014 to provide
15.6extended employment services in accordance
15.7with Minnesota Rules, parts 3300.2005 to
15.9(d) $2,055,000 each year is from the general
15.10fund for grants to programs that provide
15.11employment support services to persons with
15.12mental illness under Minnesota Statutes,
15.13sections 268A.13 and 268A.14. The base
15.14appropriation for this program is $1,555,000
15.15each year in the fiscal year 2016-2017
|Appropriations by Fund
|Subd. 7.Services for the Blind
|Sec. 4. HOUSING FINANCE AGENCY
15.20The amounts that may be spent for each
15.21purpose are specified in the following
15.23Unless otherwise specified, this appropriation
15.24is for transfer to the housing development
15.25fund for the programs specified in this
15.26section. Except as otherwise indicated, this
15.27transfer is part of the agency's permanent
|Subdivision 1.Total Appropriation
15.30(a) This appropriation is for the economic
15.31development and housing challenge program
15.32under Minnesota Statutes, section 462A.33.
15.33The agency must continue to strengthen its
15.34efforts to address the disparity rate between
16.1white households and indigenous American
16.2Indians and communities of color. Of this
16.3amount, $1,208,000 each year shall be made
16.4available during the first 11 months of the
16.5fiscal year exclusively for housing projects
16.6for American Indians. Any funds not
16.7committed to housing projects for American
16.8Indians in the first 11 months of the fiscal year
16.9shall be available for any eligible activity
16.10under Minnesota Statues, section 462A.33.
16.11(b) Of this amount, $10,000,000 is a onetime
16.12appropriation and is targeted for housing in
16.13communities and regions that have:
16.14(1)(i) low housing vacancy rates; and
16.15(ii) cooperatively developed a plan that
16.16identifies current and future housing needs;
16.18(2)(i) experienced job growth since 2005 and
16.19have at least 2,000 jobs within the commuter
16.21(ii) evidence of anticipated job expansion; or
16.22(iii) a significant portion of area employees
16.23who commute more than 30 miles between
16.24their residence and their employment.
16.25(c) Priority shall be given to programs and
16.26projects that are land trust programs and
16.27programs that work in coordination with a
16.28land trust program.
16.29(d) The base funding for this program in the
16.302016-2017 biennium is $12,925,000 each
|Subd. 2.Challenge Program
16.33(a) This appropriation is for deposit in the
16.34housing trust fund account created under
17.1Minnesota Statutes, section 462A.201, and
17.2may be used for the purposes provided in
17.3that section. To the extent that these funds
17.4are used for the acquisition of housing, the
17.5agency shall give priority among comparable
17.6projects to projects that focus on creating
17.7safe and stable housing for homeless youth
17.8or projects that provide housing to trafficked
17.9women and children.
17.10(b) $2,000,000 in the first year is a onetime
17.11appropriation for temporary rental assistance
17.12for families with school-age children who
17.13have changed school or home at least
17.14once in the last school year. The agency,
17.15in consultation with the Department of
17.16Education, may establish additional targeting
17.18(c) Of this amount, $500,000 the first year
17.19is a onetime appropriation for temporary
17.20rental assistance for adults who are in
17.21the process of being released from state
17.22correctional facilities or on supervised
17.23release in the community who are homeless
17.24or at risk of becoming homeless. The
17.25agency, in consultation with the Department
17.26of Corrections, may establish additional
17.27targeting criteria to identify those adults
17.28most at risk of reentering state correctional
17.30(d) Of this amount, $500,000 the first year
17.31is a onetime appropriation for a grant to the
17.32nonprofit organization selected to administer
17.33the state demonstration project for high-risk
17.34adults established under Laws 2007, chapter
17.3554, article 1, section 19.
18.1(e) The base funding for this program in
18.2fiscal years 2016 and 2017 is $11,471,000
|Subd. 3.Housing Trust Fund
18.5This appropriation is for the rental housing
18.6assistance program under Minnesota
18.7Statutes, section 462A.2097.
|Subd. 4.Rental Assistance for Mentally Ill
18.9This appropriation is for the family homeless
18.10prevention and assistance programs under
18.11Minnesota Statutes, section 462A.204.
18.12The base funding for this program in the
18.132016-2017 biennium is $8,519,000 each year.
|Subd. 5.Family Homeless Prevention
18.15This appropriation is for the home ownership
18.16assistance program under Minnesota
18.17Statutes, section 462A.21, subdivision 8.
18.18The agency shall continue to strengthen
18.19its efforts to address the disparity gap in
18.20the homeownership rate between white
18.21households and indigenous American Indians
18.22and communities of color.
18.23The base funding for this program in fiscal
18.24years 2016 and 2017 is $885,000 each year.
|Subd. 6.Home Ownership Assistance Fund
18.26(a) This appropriation is for the affordable
18.27rental investment fund program under
18.28Minnesota Statutes, section 462A.21,
18.29subdivision 8b, to finance the acquisition,
18.30rehabilitation, and debt restructuring of
18.31federally assisted rental property and
18.32for making equity take-out loans under
18.33Minnesota Statutes, section 462A.05,
19.1(b) The owner of federally assisted rental
19.2property must agree to participate in
19.3the applicable federally assisted housing
19.4program and to extend any existing
19.5low-income affordability restrictions on the
19.6housing for the maximum term permitted.
19.7The owner must also enter into an agreement
19.8that gives local units of government,
19.9housing and redevelopment authorities,
19.10and nonprofit housing organizations the
19.11right of first refusal if the rental property
19.12is offered for sale. Priority must be given
19.13among comparable federally assisted rental
19.14properties to properties with the longest
19.15remaining term under an agreement for
19.16federal assistance. Priority must also be
19.17given among comparable rental housing
19.18developments to developments that are or
19.19will be owned by local government units, a
19.20housing and redevelopment authority, or a
19.21nonprofit housing organization.
19.22(c) The appropriation also may be used to
19.23finance the acquisition, rehabilitation, and
19.24debt restructuring of existing supportive
19.25housing properties. For purposes of this
19.26subdivision, "supportive housing" means
19.27affordable rental housing with links to
19.28services necessary for individuals, youth, and
19.29families with children to maintain housing
|Subd. 7.Affordable Rental Investment Fund
19.32This appropriation is for housing assistance
19.33for the rehabilitation of single-family homes
19.34under the housing rehabilitation program
20.1under Minnesota Statutes, section 462A.05,
|Subd. 8.Housing Rehabilitation
20.5This appropriation is for the homeownership
20.6education, counseling, and training program
20.7under Minnesota Statutes, section 462A.209.
20.8Priority may be given to funding programs
20.9that are aimed at culturally specific groups
20.10who are providing services to members of
20.12The base funding for this program in fiscal
20.13years 2016 and 2017 is $857,000 each year.
|Subd. 9.Homeownership Education,
Counseling, and Training
20.15This appropriation is for nonprofit capacity
20.16building grants under Minnesota Statutes,
20.17section 462A.21, subdivision 3b.
|Subd. 10.Capacity Building Grants
20.19(a) This appropriation is for the grants in
20.20paragraphs (b) to (d) and is available until
20.21expended. This appropriation is added to the
20.23(b) $70,000 each year is for a grant to Open
20.24Access Connection to provide free voice mail
20.25services for homeless and low-income people
20.26so that they have a reliable and consistent
20.27communication tool to aid in their search
20.28for affordable housing and their search for
20.29and maintenance of jobs so that they have
20.30income to maintain affordable housing. This
20.31service is provided in the metropolitan area
20.32and through a toll-free number in greater
21.1(c) $200,000 each year is for a grant to
21.2HOME Line for the tenant's rights advocacy
21.3and services program.
21.4(d) $175,000 each year is for a grant to the
21.5Voice of East African Women Organization
21.6to provide safe housing for victims of
21.7domestic abuse and trafficking. The program
21.8shall provide shelter to East African women
21.9and children in Minnesota and other victims
21.10of domestic violence. This appropriation is
21.11available in either year.
21.13This appropriation is for the rental housing
21.14rehabilitation loan program under Minnesota
21.15Statutes, section 462A.05, subdivision 14.
21.16The base funding for this program in fiscal
21.17years 2016 and 2017 is $3,743,000 each year.
|Subd. 12.Rental Rehabilitation
21.19(a) The remaining balance of appropriations
21.20in Laws 2012, First Special Session chapter
21.211, article 1, section 7, for the economic
21.22development and housing challenge program
21.23that is unobligated to loans to homeowners
21.24or rental property owners as of June 30,
21.252013, estimated to be $3,000,000 is canceled
21.26to the general fund. By August 1, 2013,
21.27the commissioner of the Housing Finance
21.28Agency shall provide the commissioner of
21.29management and budget with the information
21.30necessary to determine the amount that is
21.31uncommitted and available for transfer.
21.32(b) The amount canceled to the general fund
21.33under paragraph (a) is appropriated to the
21.34Housing Finance Agency from the general
21.35fund for transfer to the housing development
22.1fund for the rehabilitation loan program
22.2under Minnesota Statutes, section 462A.05,
22.3subdivision 14. Until August 1, 2014,
22.4priority in the use of these funds shall be
22.5given to assistance for eligible homeowners
22.6residing in the area included in DR-4069
22.7whose homes were damaged as a result of
22.8the storms and flooding that occurred June
22.914 to June 21, 2012.
|Subd. 13.Transfers and Appropriations
22.11To develop maximum private sector
22.12involvement in tourism, $500,000 in fiscal
22.13year 2014 and $500,000 in fiscal year 2015
22.14must be matched by Explore Minnesota
22.15Tourism from nonstate sources. Each $1 of
22.16state incentive must be matched with $6 of
22.17private sector funding. Cash match is defined
22.18as revenue to the state or documented cash
22.19expenditures directly expended to support
22.20Explore Minnesota Tourism programs. Up
22.21to one-half of the private sector contribution
22.22may be in-kind or soft match. The incentive
22.23in fiscal year 2014 shall be based on fiscal
22.24year 2013 private sector contributions. The
22.25incentive in fiscal year 2015 shall be based on
22.26fiscal year 2014 private sector contributions.
22.27This incentive is ongoing.
22.28Funding for the marketing grants is available
22.29either year of the biennium. Unexpended
22.30grant funds from the first year are available
22.31in the second year.
|Sec. 5. EXPLORE MINNESOTA TOURISM
|Sec. 6. DEPARTMENT OF LABOR AND
|Subdivision 1.Total Appropriation
23.8The amounts that may be spent for each
23.9purpose are specified in the following
|Appropriations by Fund
23.12This appropriation is from the workers'
23.14$200,000 each year is for grants to the
23.15Vinland Center for rehabilitation services.
23.16Grants shall be distributed as the department
23.17refers injured workers to the Vinland Center
23.18for rehabilitation services.
|Subd. 2.Workers' Compensation
|Subd. 3.Labor Standards and Apprenticeship
23.24(a) $816,000 each year is from the
23.25general fund for the labor standards and
23.27(b) $150,000 each year is from the general
23.28fund for a child labor initiative for expanding
23.29education and outreach to high schools and
23.30targeted industries to ensure minors entering
23.31the workforce are safe.
23.32(c) $879,000 each year is appropriated from
23.33the workforce development fund for the
23.34apprenticeship program under Minnesota
23.35Statutes, chapter 178, and includes
23.36$100,000 each year for labor education and
24.1advancement program grants and to expand
24.2and promote registered apprenticeship
24.3training in nonconstruction trade programs.
24.4(d) $150,000 each year is appropriated
24.5from the workforce development fund for
24.6prevailing wage enforcement.
24.7(e) $70,000 each year is from the general
24.8fund for implementing and administering a
24.9minimum wage inflation adjustment. This
24.10appropriation is available only if a law is
24.11enacted in 2013 that includes an automatic
24.12inflation adjustment to the state minimum
24.13wage. The availability of this appropriation
24.14is effective in the same fiscal year that the
24.15inflation adjustment is first effective.
24.16(f) $100,000 each year is from the general
24.17fund for wage enforcement.
|Appropriations by Fund
24.19This appropriation is from the workers'
|Subd. 4.Workplace Safety
24.22This appropriation is from the workers'
|Subd. 5.General Support
24.26(a) $68,000 each year is for grants to area
24.27labor management committees. Grants may
24.28be awarded for a 12-month period beginning
24.29July 1 each year. Any unencumbered balance
24.30remaining at the end of the first year does not
24.31cancel but is available for the second year.
24.32(b) $100,000 in fiscal year 2014 is
24.33appropriated from the general fund to the
25.1Bureau of Mediation Services for transfer
25.2to the Office of Enterprise Technology to
25.3develop a new business management system
25.4for case and document management. This is
25.5a onetime appropriation and is available for
25.6spending until June 30, 2015. Any ongoing
25.7information technology support or costs for
25.8this application will be incorporated into the
25.9service level agreement and will be paid to
25.10the Office of Enterprise Technology by the
25.11Bureau of Mediation Services under the rates
25.12and mechanism specified in that agreement.
25.13Of this amount, $25,000 each year is added
25.14to the Bureau of Mediation Services base
25.15budget to cover the information technology
25.16support costs for this application.
25.17(c) $256,000 each year is from the general
25.18fund for the Office of Collaboration and
25.19Dispute Resolution under Minnesota
25.20Statutes, section 179.90. Of this amount,
25.21$160,000 each year is for grants under
25.22Minnesota Statutes, section 179.91, and
25.23$96,000 each year is for intergovernmental
25.24and public policy collaboration and operation
25.25of the office.
25.26(d) The bureau's general fund base
25.27is $2,058,000 in fiscal year 2016 and
25.28$2,058,000 in fiscal year 2017.
|Sec. 7. BUREAU OF MEDIATION
|Sec. 8. BOARD OF ACCOUNTANCY
|Sec. 9. BOARD OF ARCHITECTURE,
ENGINEERING, LAND SURVEYING,
GEOSCIENCE, AND INTERIOR DESIGN
|Sec. 10. BOARD OF COSMETOLOGIST
|Sec. 11. BOARD OF BARBER EXAMINERS
26.4This appropriation is from the workers'
26.6Of this appropriation, $210,000 is a
26.7onetime appropriation and is available for
26.8spending until June 30, 2015. $100,000 in
26.9fiscal year 2014 is appropriated from the
26.10workers' compensation fund to the Workers'
26.11Compensation Court of Appeals for transfer
26.12to the Office of Enterprise Technology to
26.13develop a paperless case management system
26.14and to ensure that services and hardware
26.15are accessible and compatible with systems
26.16with which the Workers' Compensation
26.17Court of Appeals must interact. This is a
26.18onetime appropriation and is available for
26.19spending until June 30, 2015. Any ongoing
26.20information technology support or costs for
26.21this application will be incorporated into the
26.22service level agreement and will be paid to
26.23the Office of Enterprise Technology by the
26.24Workers' Compensation Court of Appeals
26.25under the rates and mechanism specified in
|Sec. 12. WORKERS' COMPENSATION
COURT OF APPEALS
|Sec. 13. DEPARTMENT OF COMMERCE
|Subdivision 1.Total Appropriation
27.1The amounts that may be spent for each
27.2purpose are specified in the following
|Appropriations by Fund
27.5$142,000 each year is for the regulation of
27.6mortgage originators and servicers under
27.7Minnesota Statutes, chapters 58 and 58A.
|Subd. 2.Financial Institutions
27.10This appropriation is from the petroleum
|Subd. 3.Petroleum Tank Release
27.13$375,000 each year is for additional
27.14compliance efforts with unclaimed property.
27.15The commissioner may issue contracts for
27.17$25,000 each year is for newspaper
27.18advertising directed at persons who own or
27.19may own unclaimed property. By June 30
27.20of each year, the commissioner shall submit
27.21a report to the house and senate committees
27.22with jurisdiction over the department of the
27.23results of the newspaper advertisements
27.24in returning property to the owners. This
27.25appropriation for newspaper advertising and
27.26the requirement of a report is for fiscal years
27.272014 and 2015 only.
27.28$100,000 each year is for the support of
27.30Fees for the Weights and Measures Unit are
27.31increased by 30 percent during fiscal year
27.322014. All fees are deposited to the general
27.33fund as nondedicated revenue.
|Subd. 4.Administrative Services
28.4$940,000 in fiscal year 2014 and $1,240,000
28.5in fiscal year 2015 are appropriated to the
28.6commissioner from the telecommunication
28.7access fund for the following transfers. This
28.8appropriation is added to the department's
28.10(1) $500,000 in fiscal year 2014 and $800,000
28.11in fiscal year 2015 to the commissioner of
28.12human services to supplement the ongoing
28.13operational expenses of the Commission
28.14of Deaf, DeafBlind, and Hard-of-Hearing
28.16(2) $290,000 in fiscal year 2014 and $290,000
28.17in fiscal year 2015 to the chief information
28.18officer for the purpose of coordinating
28.19technology accessibility and usability; and
28.20(3) $150,000 in fiscal year 2014 and
28.21$150,000 in fiscal year 2015 to the
28.22Legislative Coordinating Commission for
28.23captioning of legislative coverage.
|Appropriations by Fund
28.29Of the general fund amount, $646,000 in
28.30fiscal year 2014 and $642,000 in fiscal
28.31year 2015 is to establish the regulation of
28.32gold bullion dealers. This appropriation is
28.33only available if a law is enacted in 2013
28.34to establish the regulation of gold bullion
|Appropriations by Fund
29.2$2,000,000 the first year is for the
29.3weatherization assistance program. This is a
29.4onetime appropriation and is available until
29.5June 30, 2015.
29.6$150,000 each year is for grants to
29.7providers of low-income weatherization
29.8services to install renewable energy
29.9equipment in households that are eligible for
29.10weatherization assistance under Minnesota's
29.11weatherization assistance program state
29.12plan as provided for in Minnesota Statutes,
29.14The general fund base budget for energy
29.15resources is $3,424,000 in fiscal year 2016
29.16and $3,415,000 in fiscal year 2017.
|Subd. 7.Energy Resources
|Appropriations by Fund
29.23The general fund base for the Public Utilities
29.24Commission is $6,241,000 in fiscal year
29.252016 and $6,205,000 in fiscal year 2017.
|Sec. 14. PUBLIC UTILITIES COMMISSION
Sec. 15. TRANSFERS.
29.27(a) The deposits in each year of the biennium into the contingent account created
29.28under Minnesota Statutes, section 268.199, estimated to be $7,500,000 each year, shall be
29.29transferred before the closing of each fiscal year to the general fund.
29.30(b) By June 30, 2014, the commissioner of management and budget shall transfer
29.31$10,000,000 in assets of the workers' compensation assigned risk plan created under
29.32Minnesota Statutes, section 79.252, to the general fund.
Section 1. Minnesota Statutes 2012, section 116J.70, subdivision 2a, is amended to read:
Subd. 2a. License; exceptions.
"Business license" or "license" does not include
(1) any occupational license or registration issued by a licensing board listed in
or any occupational registration issued by the commissioner of health
pursuant to section
(2) any license issued by a county, home rule charter city, statutory city, township, or
other political subdivision;
(3) any license required to practice the following occupation regulated by the
(i) abstracters regulated pursuant to chapter 386;
(ii) accountants regulated pursuant to chapter 326A;
(iii) adjusters regulated pursuant to chapter 72B;
(iv) architects regulated pursuant to chapter 326;
(v) assessors regulated pursuant to chapter 270;
(vi) athletic trainers regulated pursuant to chapter 148;
(vii) attorneys regulated pursuant to chapter 481;
(viii) auctioneers regulated pursuant to chapter 330;
(ix) barbers and cosmetologists regulated pursuant to chapter 154;
(x) boiler operators regulated pursuant to chapter
(xi) chiropractors regulated pursuant to chapter 148;
(xii) collection agencies regulated pursuant to chapter 332;
(xiii) dentists, registered dental assistants, and dental hygienists regulated pursuant
to chapter 150A;
(xiv) detectives regulated pursuant to chapter 326;
(xv) electricians regulated pursuant to chapter
(xvi) mortuary science practitioners regulated pursuant to chapter 149A;
(xvii) engineers regulated pursuant to chapter 326;
(xviii) insurance brokers and salespersons regulated pursuant to chapter 60A;
(xix) certified interior designers regulated pursuant to chapter 326;
(xx) midwives regulated pursuant to chapter 147D;
(xxi) nursing home administrators regulated pursuant to chapter 144A;
(xxii) optometrists regulated pursuant to chapter 148;
(xxiii) osteopathic physicians regulated pursuant to chapter 147;
(xxiv) pharmacists regulated pursuant to chapter 151;
(xxv) physical therapists regulated pursuant to chapter 148;
(xxvi) physician assistants regulated pursuant to chapter 147A;
(xxvii) physicians and surgeons regulated pursuant to chapter 147;
(xxviii) plumbers regulated pursuant to chapter
(xxix) podiatrists regulated pursuant to chapter 153;
(xxx) practical nurses regulated pursuant to chapter 148;
(xxxi) professional fund-raisers regulated pursuant to chapter 309;
(xxxii) psychologists regulated pursuant to chapter 148;
(xxxiii) real estate brokers, salespersons, and others regulated pursuant to chapters
82 and 83;
(xxxiv) registered nurses regulated pursuant to chapter 148;
(xxxv) securities brokers, dealers, agents, and investment advisers regulated
pursuant to chapter 80A;
(xxxvi) steamfitters regulated pursuant to chapter
(xxxvii) teachers and supervisory and support personnel regulated pursuant to
(xxxviii) veterinarians regulated pursuant to chapter 156;
(xxxix) water conditioning contractors and installers regulated pursuant to chapter
(xl) water well contractors regulated pursuant to chapter 103I;
(xli) water and waste treatment operators regulated pursuant to chapter 115;
(xlii) motor carriers regulated pursuant to chapter 221;
(xliii) professional firms regulated under chapter 319B;
(xliv) real estate appraisers regulated pursuant to chapter 82B;
(xlv) residential building contractors, residential remodelers, residential roofers,
manufactured home installers, and specialty contractors regulated pursuant to chapter
(xlvi) licensed professional counselors regulated pursuant to chapter 148B;
(4) any driver's license required pursuant to chapter 171;
(5) any aircraft license required pursuant to chapter 360;
(6) any watercraft license required pursuant to chapter 86B;
(7) any license, permit, registration, certification, or other approval pertaining to a
regulatory or management program related to the protection, conservation, or use of or
interference with the resources of land, air, or water, which is required to be obtained
from a state agency or instrumentality; and
(8) any pollution control rule or standard established by the Pollution Control
Agency or any health rule or standard established by the commissioner of health or any
licensing rule or standard established by the commissioner of human services.
Sec. 2. Minnesota Statutes 2012, section 177.27, subdivision 4, is amended to read:
Subd. 4. Compliance orders.
The commissioner may issue an order requiring
an employer to comply with sections
181.15, 181.275, subdivision
, or with any rule promulgated under section
commissioner shall issue an order requiring an employer to comply with sections
if the violation is repeated. For purposes of this subdivision only, a violation
is repeated if at any time during the two years that preceded the date of violation, the
commissioner issued an order to the employer for violation of sections
and the order is final or the commissioner and the employer have entered into a settlement
agreement that required the employer to pay back wages that were required by sections
. The department shall serve the order upon the employer or the
employer's authorized representative in person or by certified mail at the employer's place
of business. An employer who wishes to contest the order must file written notice of
objection to the order with the commissioner within 15 calendar days after being served
with the order. A contested case proceeding must then be held in accordance with sections
. If, within 15 calendar days after being served with the order, the employer
fails to file a written notice of objection with the commissioner, the order becomes a
final order of the commissioner.
Sec. 3. Minnesota Statutes 2012, section 326.02, subdivision 5, is amended to read:
Subd. 5. Limitation.
The provisions of sections
shall not apply
to the preparation of plans and specifications for the erection, enlargement, or alteration
of any building or other structure by any person, for that person's exclusive occupancy
or use, unless such occupancy or use involves the public health or safety or the health
or safety of the employees of said person, or of the buildings listed in section
, nor to any detailed or shop plans required to be furnished by a contractor
to a registered engineer, landscape architect, architect, or certified interior designer,
nor to any standardized manufactured product, nor to any construction superintendent
supervising the execution of work designed by an architect, landscape architect, engineer,
or certified interior designer licensed or certified in accordance with section
to the planning for and supervision of the construction and installation of work by an
electrical or elevator
contractor or master plumber as defined in and licensed pursuant to
chapter 326B, where such work is within the scope of such licensed activity and not
within the practice of professional engineering, or architecture, or where the person does
not claim to be a certified interior designer as defined in subdivision 2, 3, or 4b.
Sec. 4. Minnesota Statutes 2012, section 326B.081, subdivision 3, is amended to read:
Subd. 3. Applicable law.
"Applicable law" means the provisions of sections
this chapter, and chapter 341,
and all rules,
orders, stipulation agreements, settlements, compliance agreements, licenses, registrations,
certificates, and permits adopted, issued, or enforced by the department under sections
33.12181.723, 325E.66, 327.31
this chapter, or chapter 341
Sec. 5. Minnesota Statutes 2012, section 326B.082, subdivision 11, is amended to read:
Subd. 11. Licensing orders; grounds; reapplication.
(a) The commissioner may
deny an application for a permit, license, registration, or certificate if the applicant does
not meet or fails to maintain the minimum qualifications for holding the permit, license,
registration, or certificate, or has any unresolved violations or unpaid fees or monetary
penalties related to the activity for which the permit, license, registration, or certificate has
been applied for or was issued.
(b) The commissioner may deny, suspend, limit, place conditions on, or revoke a
person's permit, license, registration, or certificate, or censure the person holding the
permit, license, registration, or certificate, if the commissioner finds that the person:
(1) committed one or more violations of the applicable law;
(2) submitted false or misleading information to the state in connection with
activities for which the permit, license, registration, or certificate was issued, or in
connection with the application for the permit, license, registration, or certificate;
(3) allowed the alteration or use of the person's own permit, license, registration,
or certificate by another person;
(4) within the previous five years, was convicted of a crime in connection with
activities for which the permit, license, registration, or certificate was issued;
(5) violated: (i)
a final administrative order issued under subdivision 7
stop order issued under subdivision 10,
injunctive relief issued under subdivision 9,
33.33or (iv) a consent order or final order of the commissioner
(6) failed to cooperate with a commissioner's request to give testimony, to produce
documents, things, apparatus, devices, equipment, or materials, or to access property
under subdivision 2;
(7) retaliated in any manner against any employee or person who is questioned by,
cooperates with, or provides information to the commissioner or an employee or agent
authorized by the commissioner who seeks access to property or things under subdivision 2;
(8) engaged in any fraudulent, deceptive, or dishonest act or practice; or
(9) performed work in connection with the permit, license, registration, or
certificate or conducted the person's affairs in a manner that demonstrates incompetence,
untrustworthiness, or financial irresponsibility.
(c) If the commissioner revokes or denies a person's permit, license, registration,
or certificate under paragraph (b), the person is prohibited from reapplying for the same
type of permit, license, registration, or certificate for at least two years after the effective
date of the revocation or denial. The commissioner may, as a condition of reapplication,
require the person to obtain a bond or comply with additional reasonable conditions the
commissioner considers necessary to protect the public.
(d) If a permit, license, registration, or certificate expires, or is surrendered,
withdrawn, or terminated, or otherwise becomes ineffective, the commissioner may
institute a proceeding under this subdivision within two years after the permit, license,
registration, or certificate was last effective and enter a revocation or suspension order as
of the last date on which the permit, license, registration, or certificate was in effect.
Sec. 6. Minnesota Statutes 2012, section 326B.093, subdivision 4, is amended to read:
Subd. 4. Examination results.
If the applicant receives a passing score on the
examination and meets all other requirements for licensure, the commissioner must
approve the application and notify the applicant of the approval within 60 days of the
date of the passing score. The applicant must, within
days after the notification
of approval, pay the license fee. Upon receipt of the license fee, the commissioner must
issue the license. If the applicant does not pay the license fee within
the notification of approval, the commissioner will rescind the approval and must deny
the application. If the applicant does not receive a passing score on the examination,
the commissioner must deny the application. If the application is denied because of the
applicant's failure to receive a passing score on the examination, then the applicant cannot
submit a new application for the license until at least 30 days after the notification of denial.
Sec. 7. Minnesota Statutes 2012, section 326B.101, is amended to read:
35.2326B.101 POLICY AND PURPOSE.
The State Building Code governs the construction, reconstruction, alteration,
repair, and use
of buildings and other structures to which the code is applicable. The
commissioner shall administer and amend a state code of building construction which will
provide basic and uniform performance standards, establish reasonable safeguards for
health, safety, welfare, comfort, and security of the residents of this state and provide for
the use of modern methods, devices, materials, and techniques which will in part tend to
lower construction costs. The construction of buildings should be permitted at the least
possible cost consistent with recognized standards of health and safety.
Sec. 8. Minnesota Statutes 2012, section 326B.103, subdivision 11, is amended to read:
Subd. 11. Public building.
"Public building" means a building and its grounds the
cost of which is paid for by the state or a state agency regardless of its cost, and a school
district building project or charter school building project
the cost of which is $100,000
Sec. 9. Minnesota Statutes 2012, section 326B.121, subdivision 1, is amended to read:
Subdivision 1. Application.
(a) The State Building Code is the standard that applies
statewide for the construction, reconstruction, alteration,
repair, and use
and other structures of the type governed by the code.
(b) The State Building Code supersedes the building code of any municipality.
(c) The State Building Code does not apply to agricultural buildings except:
(1) with respect to state inspections required or rulemaking authorized by sections
216C.19, subdivision 9
(2) translucent panels or other skylights without raised curbs shall be supported to
have equivalent load-bearing capacity as the surrounding roof.
Sec. 10. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
35.28 Subd. 9. Direct supervision. "Direct supervision" means:
35.29(1) an unlicensed individual is being directly supervised by an individual licensed
35.30to perform the elevator work being supervised during the entire time the unlicensed
35.31individual is performing elevator work;
36.1(2) the licensed individual is physically present at the location where the unlicensed
36.2individual is performing elevator work and immediately available to the unlicensed
36.3individual at all times for assistance and direction;
36.4(3) the licensed individual shall review the elevator work performed by the
36.5unlicensed individual before the elevator work is operated; and
36.6(4) the licensed individual is able to and does determine that all elevator work
36.7performed by the unlicensed individual is performed in compliance with the elevator code.
Sec. 11. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
36.10 Subd. 10. Elevator contractor. "Elevator contractor" means a licensed contractor
36.11whose responsible licensed individual is a master elevator constructor. An elevator
36.12contractor license does not itself qualify its holder to perform or supervise elevator work
36.13authorized by holding a personal license issued by the commissioner.
Sec. 12. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
36.16 Subd. 11. Limited elevator contractor. "Limited elevator contractor" means a
36.17licensed contractor whose responsible licensed individual is a limited master elevator
36.18constructor. A limited elevator contractor or its employees may only install, test, or alter
36.19residential elevators, platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited
36.20use or limited application elevator equipment, conveyors, and special purpose personnel
Sec. 13. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
36.24 Subd. 11a. Limited elevator work. "Limited elevator work" means the installing,
36.25maintaining, altering, repairing, testing, planning, or laying out of residential elevators,
36.26platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited use or limited
36.27application elevator equipment, conveyors, and special purpose personnel elevators
36.28as covered by Minnesota Rules, chapters 1307 and 1315. Limited elevator work also
36.29includes electrical wiring on the load side of the elevator equipment disconnect and the
36.30decommissioning of elevator equipment to enable safe removal.
Sec. 14. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
37.1 Subd. 12. Elevator work. "Elevator work" means the installing, maintaining,
37.2altering, repairing, testing, planning, or laying out of elevator apparatus or equipment as
37.3covered by Minnesota Rules, chapters 1307 and 1315. Elevator work also includes the
37.4disconnection of electrical wiring on the load side of the elevator equipment disconnect
37.5and the decommissioning of elevator equipment to enable safe removal.
Sec. 15. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
37.8 Subd. 13. Master elevator constructor. "Master elevator constructor" means
37.9an individual having the necessary qualifications, training, experience, and technical
37.10knowledge to properly plan, lay out, supervise, and perform the installation, maintenance,
37.11altering, testing, wiring, and repair of apparatus and equipment for elevators, including
37.12electrical wiring on the load side of the elevator equipment disconnect and who is licensed
37.13as a master elevator constructor by the commissioner.
Sec. 16. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
37.16 Subd. 14. Limited master elevator constructor. "Limited master elevator
37.17constructor" means an individual having the necessary qualifications, training, experience,
37.18and technical knowledge to properly plan, lay out, supervise, and perform the testing,
37.19altering, installation, maintenance, and repair of wiring, apparatus, and equipment for
37.20residential elevators, platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited
37.21use or limited application elevator equipment, conveyors, and special purpose personnel
37.22elevators, including wiring on the load side of the elevator equipment disconnect and who
37.23is licensed as a limited master elevator constructor by the commissioner.
Sec. 17. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
37.26 Subd. 14a. Limited journeyman elevator constructor. "Limited journeyman
37.27elevator constructor" means an individual having the necessary qualifications, training,
37.28experience, and technical knowledge to install, maintain, alter, test, and repair apparatus
37.29and equipment for residential elevators, platform lifts, stairway chairlifts, dumbwaiters,
37.30material lifts, limited use or limited application elevator equipment, conveyors, and
37.31special purpose personnel elevators, including electrical wiring on the load side of the
37.32elevator equipment disconnect and who is licensed as a limited journeyman elevator
37.33constructor by the commissioner.
Sec. 18. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
38.3 Subd. 15. Journeyman elevator constructor. "Journeyman elevator constructor"
38.4means an individual having the necessary qualifications, training, experience, and
38.5technical knowledge to install, maintain, alter, test, and repair apparatus and equipment for
38.6elevators, including electrical wiring on the load side of the elevator equipment disconnect
38.7and who is licensed as a journeyman elevator constructor by the commissioner.
Sec. 19. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
38.10 Subd. 16. Registered unlicensed elevator constructor. "Registered unlicensed
38.11elevator constructor" means an individual who has registered with the department but is
38.12not licensed by the commissioner to perform elevator work.
Sec. 20. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
38.15 Subd. 17. Residential dwelling. "Residential dwelling" is a single dwelling unit
38.16that is contained in a one-family, two-family, or multifamily dwelling. A residential
38.17dwelling also includes outdoor space at a one-family dwelling.
Sec. 21. Minnesota Statutes 2012, section 326B.163, is amended by adding a
subdivision to read:
38.20 Subd. 18. Responsible licensed individual. "Responsible licensed individual"
38.21means an individual licensed as a master elevator constructor or limited master elevator
38.22constructor who is identified as the responsible licensed individual on an elevator
38.23contractor license application.
Sec. 22. [326B.164] LICENSES.
38.25 Subdivision 1. Master elevator constructor. (a) Except as otherwise provided by
38.26law, no individual shall perform or supervise elevator work, unless:
38.27(1) the individual is licensed by the commissioner as a master elevator constructor;
38.29(2) the elevator work is for a licensed elevator contractor and the individual is an
38.30employee, partner, or officer of, or is the licensed contractor.
38.31(b) An applicant for a master elevator constructor license shall:
39.1(1) have at least one year of experience, acceptable to the commissioner, as a
39.2licensed journeyman elevator constructor; or
39.3(2) have at least six years' experience, acceptable to the commissioner, in planning
39.4for, laying out, supervising, and installing apparatus, equipment, and wiring for elevators.
39.5(c) Individuals licensed as master elevator constructors under section 326B.33,
39.6subdivision 11, as of December 31, 2013, shall not be required to pass an examination
39.7under this section but, effective January 1, 2014, shall be subject to the requirements of
39.8sections 326B.163 to 326B.191.
39.9(d) Except for the initial license term, as a condition of license renewal, master
39.10elevator constructors must attain a minimum of 16 hours of continuing education credit
39.11approved by the commissioner every renewal period. Not less than 12 hours shall be based
39.12on the Minnesota Elevator Code or elevator technology, and not less than four hours shall
39.13be based on the National Electrical Code.
39.14 Subd. 2. Limited master elevator constructor. (a) Except as otherwise provided
39.15by law, no individual shall perform or supervise elevator work on residential elevators,
39.16platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited use or limited
39.17application elevator equipment, conveyors, and special purpose personnel elevators, unless:
39.18(1) the individual is licensed by the commissioner as a limited master elevator
39.20(2) the elevator work is for a limited elevator contractor and the individual is an
39.21employee, partner, or officer of, or is the licensed contractor.
39.22(b) An applicant for a limited master elevator constructor license shall have at
39.23least three years of experience, acceptable to the commissioner, in installing apparatus,
39.24equipment, and wiring for elevators.
39.25(c) Except for the initial license term, as a condition of license renewal, limited
39.26master elevator constructors must attain a minimum of eight hours of continuing education
39.27credit approved by the commissioner every renewal period. Not less than six hours shall
39.28be based on the Minnesota Elevator Code or elevator technology, and not less than two
39.29hours on the National Electrical Code.
39.30 Subd. 3. Journeyman elevator constructor. (a) Except as otherwise provided
39.31by law, no individual shall perform and supervise elevator work except for planning or
39.32laying out of elevator work, unless:
39.33(1) the individual is licensed by the commissioner as a journeyman elevator
39.35(2) the elevator work is for an elevator contractor, and the individual is an employee,
39.36partner, or officer of the licensed elevator contractor.
40.1(b) An applicant for a journeyman elevator constructor license shall have completed
40.2a four-year elevator mechanics apprenticeship registered with the United States
40.3Department of Labor or worked at least 9,000 hours in five consecutive years for a
40.4licensed elevator contractor, acceptable to the commissioner, installing, maintaining,
40.5modernizing, testing, wiring, and repairing elevators.
40.6(c) Individuals licensed as journeyman elevator constructors under section 326B.33,
40.7subdivision 8, as of December 31, 2013, shall not be required to pass an examination
40.8under this section but, effective January 1, 2014, shall be subject to the requirements of
40.9sections 326B.163 to 326B.191.
40.10(d) As a condition of license renewal, journeyman elevator constructors must attain
40.11a minimum of 16 hours of continuing education credit approved by the commissioner
40.12every renewal period. Not less than 12 hours shall be based on the Minnesota Elevator
40.13Code or elevator technology, and not less than four hours shall be based on the National
40.15 Subd. 3a. Limited journeyman elevator constructor. (a) Except as otherwise
40.16provided by law, no individual shall perform or supervise elevator work on residential
40.17elevators, platform lifts, stairway chairlifts, dumbwaiters, material lifts, limited use
40.18or limited application elevator equipment, conveyors, and special purpose personnel
40.19elevators, except for planning or laying out of elevator work, unless:
40.20(1) the individual is licensed by the commissioner as a limited journeyman elevator
40.22(2) the elevator work is for a limited elevator contractor or an elevator contractor,
40.23and the individual is an employee, partner, or officer of the licensed limited elevator
40.24contractor or licensed elevator contractor.
40.25(b) An applicant for a limited journeyman elevator constructor license shall have
40.26at least two years of experience, acceptable to the commissioner, in installing apparatus,
40.27equipment, and wiring for elevators.
40.28(c) Except for the initial license term, as a condition of license renewal, limited
40.29journeyman elevator constructors must attain a minimum of eight hours of continuing
40.30education credit approved by the commissioner every renewal period. Not less than six
40.31hours shall be based on the Minnesota Elevator Code or elevator technology, and not less
40.32than two hours on the National Electrical Code.
40.33 Subd. 4. Registered unlicensed elevator constructor. (a) An unlicensed individual
40.34shall not perform elevator work, unless the individual has first registered with the
40.35department as an unlicensed elevator constructor. Except as allowed by subdivision 12, a
40.36registered unlicensed elevator constructor shall not perform elevator work unless the work
41.1is performed under the direct supervision of an individual actually licensed to perform
41.2such work. The licensed elevator constructor and the registered unlicensed elevator
41.3constructor must be employed by the same employer. Unlicensed individuals shall not
41.4supervise the performance of elevator work or make assignments of elevator work to
41.5unlicensed individuals. Licensed elevator constructors shall provide direct supervision for
41.6no more than two registered unlicensed elevator constructors.
41.7(b) Notwithstanding any other provision of this section, no individual other than a
41.8master elevator constructor or limited master elevator constructor shall plan or lay out
41.9elevator wiring, apparatus, or equipment.
41.10(c) Contractors employing registered unlicensed elevator constructors performing
41.11elevator work shall maintain records establishing compliance with this subdivision that
41.12shall identify all unlicensed individuals performing elevator work and shall permit the
41.13department to examine and copy all such records.
41.14(d) When a licensed elevator constructor supervises the elevator work of an
41.15unlicensed individual, the licensed elevator constructor is responsible for ensuring that the
41.16elevator work complies with this section and the Minnesota Elevator Code.
41.17(e) A registered unlicensed elevator constructor with a minimum of one year
41.18experience may perform the following maintenance tasks for elevator equipment without
41.19being provided with direct supervision: oiling, cleaning, greasing, painting, relamping,
41.20and replacing of escalator and moving walk comb teeth.
41.21 Subd. 5. Registration of unlicensed individuals. (a) Unlicensed individuals
41.22performing elevator work for a contractor shall register with the department in the manner
41.23prescribed by the commissioner. Experience credit for elevator work performed in
41.24Minnesota after January 1, 2009, by an applicant for a license identified in this section
41.25shall not be granted where the applicant has not registered with the department or is
41.26not licensed by the department.
41.27(b) As a condition of renewal of registration, unlicensed individuals shall attain a
41.28minimum of two hours of continuing education credit, approved by the commissioner,
41.29every renewal period. The continuing education course shall be based on the Minnesota
41.30Elevator Code or elevator technology.
41.31(c) Individuals registered under section 326B.33, subdivision 13, whose registration
41.32expires after July 31, 2013, shall be subject to the registration requirements of this
41.33subdivision and the requirements of sections 326B.163 to 326B.191.
41.34 Subd. 6. Contractor's license required. (a) No individual, other than an employee,
41.35partner, or officer of a licensed contractor, as defined by section 326B.163, subdivision
41.3610, shall perform or offer to perform elevator work with or without compensation, unless
42.1the individual obtains a contractor's license. A contractor's license does not of itself
42.2qualify its holder to perform or supervise the elevator work authorized by holding any
42.3class of personal license.
42.4(b) Companies licensed under section 326B.33, subdivision 14, as of July 31, 2013,
42.5shall not be required to comply with this subdivision.
42.6 Subd. 7. Bond required. As a condition of licensing, each contractor shall give
42.7and maintain bond to the state in the sum of $25,000, conditioned upon the faithful and
42.8lawful performance of all work contracted for or performed by the contractor within the
42.9state of Minnesota, and such bond shall be for the benefit of persons injured or suffering
42.10financial loss by reason of failure of such performance. The bond shall be filed with
42.11the commissioner and shall be in lieu of all other license bonds to any other political
42.12subdivision. The bond shall be written by a corporate surety licensed to do business
42.13in the state of Minnesota.
42.14 Subd. 8. Insurance required. Each elevator contractor shall have and maintain
42.15in effect general liability insurance, which includes premises and operations insurance
42.16and products and completed operations insurance, with limits of at least $100,000 per
42.17occurrence, $300,000 aggregate limit for bodily injury, and property damage insurance
42.18with limits of at least $50,000, or a policy with a single limit for bodily injury and property
42.19damage of $300,000 per occurrence and $300,000 aggregate limits. The insurance shall be
42.20written by an insurer licensed to do business in the state of Minnesota, and each contractor
42.21shall maintain on file with the commissioner a certificate evidencing such insurance. In the
42.22event of a policy cancellation, the insurer shall send written notice to the commissioner at
42.23the same time that a cancellation request is received from or a notice is sent to the insured.
42.24 Subd. 9. Employment of responsible individual. (a) Each elevator contractor
42.25must designate a responsible master elevator constructor or limited master elevator
42.26constructor who shall be the responsible individual for the performance of all elevator
42.27work in accordance with the requirements of sections 326B.163 to 326B.191, all rules
42.28adopted under these sections, and all orders issued under section 326B.082. The classes of
42.29work that a licensed contractor is authorized to perform shall be limited to the classes of
42.30work that the responsible individual is allowed to perform.
42.31(b) When a contractor's license is held by an individual, sole proprietorship,
42.32partnership, limited liability company, or corporation, and the individual, proprietor, one
42.33of the partners, one of the members, or an officer of the corporation, respectively, is not the
42.34responsible master elevator constructor or limited master elevator constructor, all elevator
42.35permits shall be submitted by the responsible master elevator constructor or limited
42.36master elevator constructor. If the contractor is an individual or a sole proprietorship,
43.1the responsible master or limited master elevator constructor must be the individual,
43.2proprietor, or managing employee. If the contractor is a partnership, the responsible
43.3master or limited master elevator constructor must be a general partner or managing
43.4employee. If the licensed contractor is a limited liability company, the responsible master
43.5or limited master elevator constructor must be a chief manager or managing employee.
43.6If the contractor is a corporation, the responsible master or limited master elevator
43.7constructor must be an officer or managing employee. If the responsible master or limited
43.8master elevator constructor is a managing employee, the responsible individual must be
43.9actively engaged in performing elevator work on behalf of the contractor and cannot be
43.10employed in any capacity performing elevator work for any other elevator contractor or
43.11employer. An individual may be the responsible individual for only one contractor.
43.12(c) All applications and renewals for contractor licenses shall include a verified
43.13statement that the applicant and responsible individual are in compliance with this
43.15 Subd. 10. Examination. In addition to the other requirements described in this
43.16section and sections 326B.091 to 326B.098, as a precondition to issuance of a personal
43.17license, each applicant must pass a written or oral examination developed and administered
43.18by the commissioner to ensure the competence of each applicant for license. An oral
43.19examination shall be administered only to an applicant who furnishes a written statement
43.20from a certified teacher or other professional, trained in the area of reading disabilities,
43.21stating that the applicant has a specific reading disability that would prevent the applicant
43.22from performing satisfactorily on a written test. The oral examination shall be structured
43.23so that an applicant who passes the examination will not impair the applicant's own safety
43.24or that of others while acting as a licensed individual.
43.25 Subd. 11. License, registration, and renewal fees; expiration. (a) Unless revoked
43.26or suspended under this chapter, all licenses issued or renewed under this section expire on
43.27the following schedule:
43.28(1) master licenses expire March 1 of each odd-numbered year after issuance or
43.30(2) elevator contractor licenses expire March 1 of each even-numbered year after
43.31issuance or renewal;
43.32(3) journeyman elevator constructor licenses expire two years from the date of
43.33original issuance and every two years thereafter; and
43.34(4) registrations of unlicensed individuals expire one year from the date of original
43.35issuance and every year thereafter.
44.1(b) For purposes of calculating license fees and renewal license fees required under
44.3(1) the registration of an unlicensed individual under subdivision 5 shall be
44.4considered an entry-level license;
44.5(2) the journeyman elevator constructor and the limited journeyman elevator
44.6constructor shall be considered a journeyman license;
44.7(3) the master elevator constructor and limited master elevator constructor licenses
44.8shall be considered master licenses; and
44.9(4) an elevator contractor license shall be considered a business license.
44.10 Subd. 12. Exemption from licensing. Employees of a licensed elevator contractor
44.11or licensed limited elevator contractor are not required to hold or obtain a license
44.12under this section or be provided with direct supervision by a licensed master elevator
44.13constructor, licensed limited master elevator constructor, licensed elevator constructor,
44.14or licensed limited elevator constructor to install, maintain, or repair platform lifts and
44.15stairway chairlifts. Unlicensed employees performing elevator work under this exemption
44.16must comply with subdivision 5. This exemption does not include the installation,
44.17maintenance, repair, or replacement of electrical wiring for elevator equipment.
44.18 Subd. 13. Reciprocity. (a) The commissioner may enter into reciprocity agreements
44.19for personal licenses with another state and issue a personal license without requiring the
44.20applicant to pass an examination provided the applicant:
44.21(1) submits an application under this section;
44.22(2) pays the application and examination fee and license fee required under section
44.24(3) holds a valid comparable license in the state participating in the agreement.
44.25(b) Reciprocity agreements are subject to the following:
44.26(1) the parties to the agreement must administer a statewide licensing program that
44.27includes examination and qualifying experience or training comparable to Minnesota's;
44.28(2) the experience and training requirements under which an individual applicant
44.29qualified for examination in the qualifying state must be deemed equal to or greater than
44.30required for an applicant making application in Minnesota at the time the applicant
44.31acquired the license in the qualifying state;
44.32(3) the applicant must have acquired the license in the qualifying state through an
44.33examination deemed equivalent to the same class of license examination in Minnesota.
44.34A lesser class of license may be granted where the applicant has acquired a greater
44.35class of license in the qualifying state, and the applicant otherwise meets the conditions
44.36of this subdivision;
45.1(4) at the time of application, the applicant must hold a valid license in the qualifying
45.2state and have held the license continuously for at least one year before making application
45.4(5) an applicant is not eligible for a license under this subdivision if the applicant has
45.5failed the same or greater class of license examination in Minnesota, or if the applicant's
45.6license of the same or greater class has been revoked or suspended; and
45.7(6) an applicant who has failed to renew a personal license for two years or more
45.8after its expiration is not eligible for a license under this subdivision.
Sec. 23. Minnesota Statutes 2012, section 326B.184, subdivision 1, is amended to read:
Subdivision 1. Permits.
No person may construct, install, alter, repair,
an elevator without first filing an application for a permit with the department or a
municipality authorized by subdivision 4 to inspect elevators. A permit issued by the
45.13department is valid for work commenced within 12 months of application and completed
45.14within two years of application. Where no work is commenced within 12 months of
45.15application, an applicant may cancel the permit and request a refund of inspection fees.
Sec. 24. Minnesota Statutes 2012, section 326B.184, is amended by adding a
subdivision to read:
45.18 Subd. 1a. Department permit and inspection fees. (a) The department permit and
45.19inspection fees to construct, install, alter, repair, or remove an elevator are as follows:
45.20(1) the permit fee is $100;
45.21(2) the inspection fee is 0.015 of the total cost of the permitted work for labor and
45.22materials, including related electrical and mechanical equipment. The inspection fee
45.23covers two inspections. The inspection fee for additional inspections is $80 per hour;
45.24(3) when inspections scheduled by the permit submitter are not able to be completed
45.25because the work is not complete, a fee equal to two hours at the hourly rate of $80 must
45.26be paid by the permit submitter; and
45.27(4) when the owner or permit holder requests inspections be performed outside of
45.28normal work hours or on weekends or holidays, an hourly rate of $120 in addition to
45.29the inspection fee must be paid.
45.30(b) The department fees for inspection of existing elevators when requested by the
45.31elevator owner or as a result of an accident resulting in personal injury are at an hourly rate
45.32of $80 during normal work hours or $120 outside of normal work hours or on weekends or
45.33holidays, with a one-hour minimum.
45.34EFFECTIVE DATE.This section is effective January 1, 2014.
Sec. 25. Minnesota Statutes 2012, section 326B.184, subdivision 2, is amended to read:
Subd. 2. Operating permits and fees; periodic inspections.
(a) No person may
operate an elevator without first obtaining an annual operating permit from the department
or a municipality authorized by subdivision 4 to issue annual operating permits. A $100
annual operating permit fee must be paid to the department for each annual operating
permit issued by the department, except that the original annual operating permit must
be included in the permit fee for the initial installation of the elevator. Annual operating
permits must be issued at 12-month intervals from the date of the initial annual operating
permit. For each subsequent year, an owner must be granted an annual operating permit
for the elevator upon the owner's or owner's agent's submission of a form prescribed by
the commissioner and payment of the $100 fee. Each form must include the location of
the elevator, the results of any periodic test required by the code, and any other criteria
established by rule. An annual operating permit may be revoked by the commissioner upon
an audit of the periodic testing results submitted with the application or a failure to comply
with elevator code requirements, inspections, or any other law related to elevators. Except
for an initial operating permit fee, hand-powered manlifts and electric endless belt manlifts,
46.17 and vertical reciprocating conveyors
are not subject to a subsequent operating permit fee.
(b) All elevators are subject to periodic inspections by the department or a
municipality authorized by subdivision 4 to perform periodic inspections, except that
hand-powered manlifts and electric endless belt manlifts are exempt from periodic
inspections. Periodic inspections by the department shall be performed at the following
(1) a special purpose personnel elevator is subject to inspection not more than once
every five years;
(2) an elevator located within a house of worship that does not have attached school
facilities is subject to inspection not more than once every three years; and
(3) all other elevators are subject to inspection not more than once each year.
Sec. 26. Minnesota Statutes 2012, section 326B.187, is amended to read:
The commissioner may adopt rules for the following purposes:
(1) to establish minimum qualifications for elevator inspectors that must include
possession of a current elevator constructor
license issued by the department
and proof of successful completion of the national elevator industry education program
examination or equivalent experience;
(2) to establish minimum qualifications for limited elevator inspectors;
(3) to establish criteria for the qualifications of elevator contractors;
(4) to establish elevator standards under sections
, subdivisions 1 and 3,
(5) to establish procedures for appeals of decisions of the commissioner under
chapter 14 and procedures allowing the commissioner, before issuing a decision, to seek
advice from the elevator trade, building owners or managers, and others knowledgeable in
the installation, construction, and repair of elevators; and
(6) to establish requirements for the registration of all elevators.
Sec. 27. Minnesota Statutes 2012, section 326B.31, is amended by adding a
subdivision to read:
47.11 Subd. 26a. Request for inspection. "Request for inspection" means the application
47.12for and issuance of a permit for an electrical installation that is required to be inspected
47.13under section 326B.36.
Sec. 28. Minnesota Statutes 2012, section 326B.33, subdivision 19, is amended to read:
Subd. 19. License, registration, and renewal fees; expiration.
revoked or suspended under this chapter, all licenses issued or renewed under this section
expire on the date specified in this subdivision. Master licenses expire March 1 of each
odd-numbered year after issuance or renewal. Electrical contractor licenses expire March
1 of each even-numbered year after issuance or renewal. Technology system contractor
and satellite system contractor licenses expire August 1 of each even-numbered year after
issuance or renewal. All other personal licenses expire two years from the date of original
issuance and every two years thereafter. Registrations of unlicensed individuals expire
one year from the date of original issuance and every year thereafter.
(b) For purposes of calculating license fees and renewal license fees required under
(1) the registration of an unlicensed individual under subdivision 12 shall be
considered an entry level license;
(2) the following licenses shall be considered journeyman licenses: Class A
journeyman electrician, Class B journeyman electrician, Class A installer, Class B
lineman, maintenance electrician, satellite system installer,
and power limited technician;
(3) the following licenses shall be considered master licenses: Class A master
Class B master electrician
, and master elevator constructor
(4) the following licenses shall be considered business licenses: Class A electrical
contractor, Class B electrical contractor,
satellite system contractor,
and technology systems contractor.
(c) For each filing of a certificate of responsible person by an employer, the fee is
Sec. 29. Minnesota Statutes 2012, section 326B.33, subdivision 21, is amended to read:
Subd. 21. Exemptions from licensing.
(a) An individual who is a maintenance
electrician is not required to hold or obtain a license under sections
(1) the individual is engaged in the maintenance and repair of electrical equipment,
apparatus, and facilities that are owned or leased by the individual's employer and that are
located within the limits of property operated, maintained, and either owned or leased by
the individual's employer;
(2) the individual is supervised by:
(i) the responsible master electrician for a contractor who has contracted with the
individual's employer to provide services for which a contractor's license is required; or
(ii) a licensed master electrician, a licensed maintenance electrician, an electrical
engineer, or, if the maintenance and repair work is limited to technology circuits or
systems work, a licensed power limited technician; and
(3) the individual's employer has on file with the commissioner a current certificate
of responsible person, signed by the responsible master electrician of the contractor, the
licensed master electrician, the licensed maintenance electrician, the electrical engineer, or
the licensed power limited technician, and stating that the person signing the certificate
is responsible for ensuring that the maintenance and repair work performed by the
employer's employees complies with the Minnesota Electrical Act and the rules adopted
under that act. The employer must pay a filing fee to file a certificate of responsible person
with the commissioner. The certificate shall expire two years from the date of filing. In
order to maintain a current certificate of responsible person, the employer must resubmit a
certificate of responsible person, with a filing fee, no later than two years from the date
of the previous submittal.
(b) Employees of a licensed electrical or technology systems contractor or other
employer where provided with supervision by a master electrician in accordance with
subdivision 1, or power limited technician in accordance with subdivision 7, paragraph
(a), clause (1), are not required to hold a license under sections
for the planning, laying out, installing, altering, and repairing of technology circuits or
systems except planning, laying out, or installing:
(1) in other than residential dwellings, class 2 or class 3 remote control circuits that
control circuits or systems other than class 2 or class 3, except circuits that interconnect
these systems through communication, alarm, and security systems are exempted from
(2) class 2 or class 3 circuits in electrical cabinets, enclosures, or devices containing
physically unprotected circuits other than class 2 or class 3; or
(3) technology circuits or systems in hazardous classified locations as covered by
chapter 5 of the National Electrical Code.
(c) Companies and their employees that plan, lay out, install, alter, or repair class
2 and class 3 remote control wiring associated with plug or cord and plug connected
appliances other than security or fire alarm systems installed in a residential dwelling are
not required to hold a license under sections
(d) Heating, ventilating, air conditioning, and refrigeration contractors and their
employees are not required to hold or obtain a license under sections
when performing heating, ventilating, air conditioning, or refrigeration work as described
(e) Employees of any electrical, communications, or railway utility, cable
communications company as defined in section
, or a telephone company as defined
or its employees, or of any independent contractor performing work
on behalf of any such utility, cable communications company, or telephone company, shall
not be required to hold a license under sections
(1) while performing work on installations, materials, or equipment which are owned
or leased, and operated and maintained by such utility, cable communications company, or
telephone company in the exercise of its utility, antenna, or telephone function, and which
(i) are used exclusively for the generation, transformation, distribution, transmission,
or metering of electric current, or the operation of railway signals, or the transmission
of intelligence and do not have as a principal function the consumption or use of electric
current or provided service by or for the benefit of any person other than such utility, cable
communications company, or telephone company, and
(ii) are generally accessible only to employees of such utility, cable communications
company, or telephone company or persons acting under its control or direction, and
(iii) are not on the load side of the service point or point of entrance for
(2) while performing work on installations, materials, or equipment which are a part
of the street lighting operations of such utility; or
(3) while installing or performing work on outdoor area lights which are directly
connected to a utility's distribution system and located upon the utility's distribution poles,
and which are generally accessible only to employees of such utility or persons acting
under its control or direction.
(f) An owner shall not be required to hold or obtain a license under sections
50.7(g) Companies and their employees licensed under section 326B.164 shall not be
50.8required to hold or obtain a license under sections 326B.31 to 326B.399 while performing
Sec. 30. Minnesota Statutes 2012, section 326B.36, subdivision 7, is amended to read:
Subd. 7. Exemptions from inspections.
Installations, materials, or equipment shall
not be subject to inspection under sections
(1) when owned or leased, operated and maintained by any employer whose
maintenance electricians are exempt from licensing under sections
while performing electrical maintenance work only as defined by rule;
(2) when owned or leased, and operated and maintained by any electrical,
communications, or railway utility, cable communications company as defined in section
, or telephone company as defined under section
, in the exercise of its
utility, antenna, or telephone function; and
(i) are used exclusively for the generations, transformation, distribution,
transmission, or metering of electric current, or the operation of railway signals, or the
transmission of intelligence, and do not have as a principal function the consumption or
use of electric current by or for the benefit of any person other than such utility, cable
communications company, or telephone company; and
(ii) are generally accessible only to employees of such utility, cable communications
company, or telephone company or persons acting under its control or direction; and
(iii) are not on the load side of the service point or point of entrance for
(3) when used in the street lighting operations of an electrical utility;
(4) when used as outdoor area lights which are owned and operated by an electrical
utility and which are connected directly to its distribution system and located upon the
utility's distribution poles, and which are generally accessible only to employees of such
utility or persons acting under its control or direction;
(5) when the installation, material, and equipment are in facilities subject to the
jurisdiction of the federal Mine Safety and Health Act; or
(6) when the installation, material, and equipment is part of an elevator installation
for which the elevator contractor, licensed under section
, is required to
obtain a permit from the authority having jurisdiction as provided by section
and the inspection has been or will be performed by an elevator inspector certified and
licensed by the department. This exemption shall apply only to installations, material, and
equipment permitted or required to be connected on the load side of the disconnecting
means required for elevator equipment under National Electrical Code Article 620, and
elevator communications and alarm systems within the machine room, car, hoistway, or
Sec. 31. Minnesota Statutes 2012, section 326B.37, is amended by adding a
subdivision to read:
51.12 Subd. 15. Utility interconnected wind generation installations. (a) Fees
51.13associated with utility interconnected generation installations consisting of one or more
51.14generator sources interconnected with a utility power system and not supplying other
51.15premises loads are calculated according to paragraph (b) or (c).
51.16(b) The inspection fee is calculated according to subdivisions 2, 3, 4, and 6,
51.17paragraphs (d), (f), (j), and (k). A fee must be included for the generators and utility
51.18interconnect feeders, but not for a utility service.
51.19(c) There is a plan review fee and an inspection fee for the entire electrical
51.20installation. The plan review fee is based on the valuation of the electrical installation
51.21related to one of the generator systems that is part of the overall installation, not to include
51.22the supporting tower or other nonelectrical equipment or structures, calculated according
51.23to section 326B.153, subdivision 2. The inspection fee is $80 for each individual tower,
51.24including any voltage matching transformers located at the tower, and the fee for the
51.25feeders interconnecting the individual towers to the utility power system is calculated
51.26according to subdivisions 4 and 6, paragraph (k).
Sec. 32. Minnesota Statutes 2012, section 326B.43, subdivision 2, is amended to read:
Subd. 2. Agreement with municipality.
The commissioner may enter into an
agreement with a municipality, in which the municipality agrees to perform plan and
specification reviews required to be performed by the commissioner under Minnesota
Rules, part 4715.3130, if:
(a) the municipality has adopted:
(1) the plumbing code;
(2) an ordinance that requires plumbing plans and specifications to be submitted to,
reviewed, and approved by the municipality, except as provided in paragraph (n);
(3) an ordinance that authorizes the municipality to perform inspections required by
the plumbing code; and
(4) an ordinance that authorizes the municipality to enforce the plumbing code in its
entirety, except as provided in paragraph (p);
(b) the municipality agrees to review plumbing plans and specifications for all
construction for which the plumbing code requires the review of plumbing plans and
specifications, except as provided in paragraph (n);
(c) the municipality agrees that, when it reviews plumbing plans and specifications
under paragraph (b), the review will:
(1) reflect the degree to which the plans and specifications affect the public health
and conform to the provisions of the plumbing code;
(2) ensure that there is no physical connection between water supply systems that
are safe for domestic use and those that are unsafe for domestic use; and
(3) ensure that there is no apparatus through which unsafe water may be discharged
or drawn into a safe water supply system;
(d) the municipality agrees to perform all inspections required by the plumbing
code in connection with projects for which the municipality reviews plumbing plans and
specifications under paragraph (b);
(e) the commissioner determines that the individuals who will conduct the inspections
and the plumbing plan and specification reviews for the municipality do not have any
conflict of interest in conducting the inspections and the plan and specification reviews;
(f) individuals who will conduct the plumbing plan and specification reviews for
the municipality are:
(1) licensed master plumbers;
(2) licensed professional engineers; or
(3) individuals who are working under the supervision of a licensed professional
engineer or licensed master plumber and who are licensed master or journeyman plumbers
or hold a postsecondary degree in engineering;
(g) individuals who will conduct the plumbing plan and specification reviews for
the municipality have passed a competency assessment required by the commissioner to
assess the individual's competency at reviewing plumbing plans and specifications;
(h) individuals who will conduct the plumbing inspections for the municipality
are licensed master or journeyman plumbers, or inspectors meeting the competency
requirements established in rules adopted under section
(i) the municipality agrees to enforce in its entirety the plumbing code on all
projects, except as provided in paragraph (p);
(j) the municipality agrees to keep official records of all documents received,
including plans, specifications, surveys, and plot plans, and of all plan reviews, permits
and certificates issued, reports of inspections, and notices issued in connection with
plumbing inspections and the review of plumbing plans and specifications;
(k) the municipality agrees to maintain the records described in paragraph (j) in the
official records of the municipality for the period required for the retention of public
records under section
, and shall make these records readily available for review at
the request of the commissioner;
(l) the municipality and the commissioner agree that if at any time during the
agreement the municipality does not have in effect the plumbing code or any of ordinances
described in paragraph (a), or if the commissioner determines that the municipality is not
properly administering and enforcing the plumbing code or is otherwise not complying
with the agreement:
(1) the commissioner may, effective 14 days after the municipality's receipt of
written notice, terminate the agreement;
(2) the municipality may challenge the termination in a contested case before the
commissioner pursuant to the Administrative Procedure Act; and
(3) while any challenge is pending under clause (2), the commissioner shall perform
plan and specification reviews within the municipality under Minnesota Rules, part
(m) the municipality and the commissioner agree that the municipality may terminate
the agreement with or without cause on 90 days' written notice to the commissioner;
(n) the municipality and the commissioner agree that the municipality shall forward
to the state for review all plumbing plans and specifications for the following types of
projects within the municipality:
hospitals, nursing homes, supervised living facilities licensed for eight or
53.29 more individuals, and similar health-care-related facilities regulated by the Minnesota
53.30 Department of Health state-licensed facilities as defined in section 326B.103, subdivision
buildings owned by the federal or state government public buildings as defined
53.33in section 326B.103, subdivision 11
(3) projects of a special nature for which department review is requested by either
the municipality or the state;
(o) where the municipality forwards to the state for review plumbing plans and
specifications, as provided in paragraph (n), the municipality shall not collect any fee for
plan review, and the commissioner shall collect all applicable fees for plan review; and
(p) no municipality shall revoke, suspend, or place restrictions on any plumbing
license issued by the state.
Sec. 33. Minnesota Statutes 2012, section 326B.49, subdivision 2, is amended to read:
Subd. 2. Fees for plan reviews and audits.
Plumbing system plans and
specifications that are submitted to the commissioner for review shall be accompanied by
the appropriate plan examination fees. If the commissioner determines, upon review of
the plans, that inadequate fees were paid, the necessary additional fees shall be paid prior
to plan approval. The commissioner shall charge the following fees for plan reviews and
audits of plumbing installations for public, commercial, and industrial buildings:
(1) systems with both water distribution and drain, waste, and vent systems and
(i) 25 or fewer drainage fixture units, $150;
(ii) 26 to 50 drainage fixture units, $250;
(iii) 51 to 150 drainage fixture units, $350;
(iv) 151 to 249 drainage fixture units, $500;
(v) 250 or more drainage fixture units, $3 per drainage fixture unit to a maximum
of $4,000; and
(vi) interceptors, separators, or catch basins, $70 per interceptor, separator, or catch
(2) building sewer service only, $150;
(3) building water service only, $150;
(4) building water distribution system only, no drainage system, $5 per supply
fixture unit or $150, whichever is greater;
(5) storm drainage system, a minimum fee of $150 or:
(i) $50 per drain opening, up to a maximum of $500; and
(ii) $70 per interceptor, separator, or catch basin design;
(6) manufactured home park or campground, one to 25 sites, $300;
(7) manufactured home park or campground, 26 to 50 sites, $350;
(8) manufactured home park or campground, 51 to 125 sites, $400;
(9) manufactured home park or campground, more than 125 sites, $500; and
(10) accelerated review, double the regular fee, one-half to be refunded if no
54.35 response from the commissioner within 15 business days; and
55.1 (11) (10)
revision to previously reviewed or incomplete plans:
(i) review of plans for which the commissioner has issued two or more requests for
additional information, per review, $100 or ten percent of the original fee, whichever
(ii) proposer-requested revision with no increase in project scope, $50 or ten percent
of original fee, whichever is greater; and
(iii) proposer-requested revision with an increase in project scope, $50 plus the
difference between the original project fee and the revised project fee.
55.9EFFECTIVE DATE.This section is effective January 1, 2014.
Sec. 34. Minnesota Statutes 2012, section 326B.49, subdivision 3, is amended to read:
Inspection Permits; fees. The commissioner shall charge the following
55.12 fees for inspections under sections
55.21(a) Before commencement of a plumbing installation to be inspected by the
55.22commissioner, the plumbing contractor or registered plumbing employer performing the
55.23plumbing work must submit to the commissioner an application for a permit and the
55.24permit and inspection fees in paragraphs (b) to (f).
55.25(b) The permit fee is $100.
55.26(c) The residential inspection fee is $50 for each inspection trip.
55.27(d) The public, commercial, and industrial inspection fees are as follows:
55.28(1) for systems with water distribution, drain, waste, and vent system connection:
55.29(i) $25 for each fixture, permanently connected appliance, floor drain, or other
55.31 (ii) $25 for each water conditioning, water treatment, or water filtration system; and
55.32(iii) $25 for each interceptor, separator, catch basin, or manhole;
55.33(2) roof drains, $25 for each drain;
55.34(3) building sewer service only, $100;
55.35(4) building water service only, $100;
56.1(5) building water distribution system only, no drainage system, $5 for each fixture
56.3(6) storm drainage system, a minimum fee of $25 for each drain opening, interceptor,
56.4separator, or catch basin;
56.5(7) manufactured home park or campground, $25 for each site;
56.6(8) reinspection fee to verify corrections, regardless of the total fee submitted, $100
56.7for each reinspection; and
56.8(9) each $100 in fees paid covers one inspection trip.
56.9(e) In addition to the fees in paragraph (c), the fee submitter must pay an hourly rate of
56.10$80 during regular business hours, or $120 when inspections are requested to be performed
56.11outside of normal work hours or on weekends and holidays, with a two-hour minimum
56.12where the fee submitter requests inspections of installations as systems are being installed.
56.13(f) The fee submitter must pay a fee equal to two hours at the hourly rate of $80
56.14when inspections scheduled by the submitter are not able to be completed because the
56.15work is not complete.
|Residential inspection fee (each visit)
|Public, Commercial, and Industrial Inspections
|25 or fewer drainage fixture units
|26 to 50 drainage fixture units
|51 to 150 drainage fixture units
|151 to 249 drainage fixture units
|250 or more drainage fixture units
|Callback fee (each visit)
Sec. 35. Minnesota Statutes 2012, section 326B.89, subdivision 1, is amended to read:
Subdivision 1. Definitions.
(a) For the purposes of this section, the following terms
have the meanings given them.
(b) "Gross annual receipts" means the total amount derived from residential
contracting or residential remodeling activities, regardless of where the activities are
performed, and must not be reduced by costs of goods sold, expenses, losses, or any
(c) "Licensee" means a person licensed as a residential contractor or residential
(d) "Residential real estate" means a new or existing building constructed for
habitation by one to four families, and includes detached garages.
(e) "Fund" means the contractor recovery fund.
(f) "Owner" when used in connection with real property, means a person who has
any legal or equitable interest in real property and includes a condominium or townhome
association that owns common property located in a condominium building or townhome
building or an associated detached garage. Owner does not include any real estate
developer or any owner using, or intending to use, the property for a business purpose and
56.33not as owner-occupied residential real estate
Sec. 36. Minnesota Statutes 2012, section 327B.04, subdivision 4, is amended to read:
Subd. 4. License prerequisites.
No application shall be granted nor license issued
until the applicant proves to the commissioner that:
(a) the applicant has a permanent, established place of business at each licensed
location. An "established place of business" means a permanent enclosed building other
than a residence, or a commercial office space, either owned by the applicant or leased by
the applicant for a term of at least one year, located in an area where zoning regulations
allow commercial activity, and where the books, records and files necessary to conduct
the business are kept and maintained. The owner of a licensed manufactured home park
who resides in or adjacent to the park may use the residence as the established place of
business required by this subdivision, unless prohibited by local zoning ordinance.
If a license is granted, the licensee may use unimproved lots and premises for sale,
storage, and display of manufactured homes, if the licensee first notifies the commissioner
(b) if the applicant desires to sell, solicit or advertise the sale of new manufactured
homes, it has a bona fide contract or franchise in effect with a manufacturer or distributor
of the new manufactured home it proposes to deal in;
(c) the applicant has secured: (1) a surety bond in the amount of $20,000 for each
agency and each subagency location that bears the applicant's name and the name under
which the applicant will be licensed and do business in this state. Each bond is for the
protection of consumer customers, and must be executed by the applicant as principal and
issued by a surety company admitted to do business in this state. Each bond shall be
exclusively for the purpose of reimbursing consumer customers and shall be conditioned
upon the faithful compliance by the applicant with all of the laws and rules of this state
pertaining to the applicant's business as a dealer or manufacturer, including sections
, and upon the applicant's faithful performance of all its
legal obligations to consumer customers; and (2) a certificate of liability insurance in
the amount of $1,000,000 that provides aggregate coverage for the agency and each
subagency location. In the event of a policy cancellation, the insurer shall send written
notice to the commissioner at the same time that a cancellation request is received from
or a notice is sent to the insured;
(d) the applicant has established a trust account as required by section
, unless the applicant states in writing its intention to limit its business to
selling, offering for sale, soliciting or advertising the sale of new manufactured homes; and
(e) the applicant has provided evidence of having had at least two years' prior
experience in the sale of manufactured homes, working for a licensed dealer. The
57.36applicant does not have to satisfy the two-year prior experience requirement if:
58.1(1) the applicant sells or brokers used manufactured homes as permitted under
58.2section 327B.01, subdivision 7; or
58.3 (2) the applicant:
58.4 (i) has met all other licensing requirements;
58.5 (ii) is the owner of a manufactured home park; and
58.6 (iii) is selling new manufactured homes installed in the manufactured home park
58.7that the applicant owns.
Sec. 37. Minnesota Statutes 2012, section 341.21, subdivision 3a, is amended to read:
Subd. 3a. Commissioner.
"Commissioner" means the commissioner of labor
and industry or a duly designated representative of the commissioner who is either an
58.11employee of the Department of Labor and Industry or a person working under contract
58.12with the department
Sec. 38. Minnesota Statutes 2012, section 341.221, is amended to read:
58.14341.221 ADVISORY COUNCIL.
(a) The commissioner must appoint a Combative Sports Advisory Council to advise
the commissioner on the administration of duties under this chapter.
(b) The council shall have nine members appointed by the commissioner. One
member must be a retired judge of the Minnesota District Court, Minnesota Court of
Appeals, Minnesota Supreme Court, the United States District Court for the District of
Minnesota, or the Eighth Circuit Court of Appeals. At least four members must have
knowledge of the boxing industry. At least four members must have knowledge of the
mixed martial arts industry. The commissioner shall make serious efforts to appoint
qualified women to serve on the council.
(c) Council members shall serve terms of four years with the terms ending on the
first Monday in January.
(d) The council shall annually elect from its membership a chair.
The commissioner shall convene the first meeting of the council by July 1, 2012.
58.28 The council shall elect a chair at its first meeting. Thereafter,
Meetings shall be convened
by the commissioner, or by the chair with the approval of the commissioner.
For the first appointments to the council, the commissioner shall appoint the
58.31 members currently serving on the Combative Sports Commission established under
341.22 , to the council.
The commissioner shall designate two of the members to
serve until the first Monday in January 2013; two members to serve until the first Monday
in January 2014; two members to serve until the first Monday in January 2015; and three
members to serve until the first Monday in January 2016.
(g) Removal of members, filling of vacancies, and compensation of members shall
be as provided in section
Sec. 39. Minnesota Statutes 2012, section 341.27, is amended to read:
59.6341.27 COMMISSIONER DUTIES.
The commissioner shall:
(1) issue, deny, renew, suspend, or revoke licenses;
(2) make and maintain records of its acts and proceedings including the issuance,
denial, renewal, suspension, or revocation of licenses;
(3) keep public records of the council open to inspection at all reasonable times;
(4) develop rules to be implemented under this chapter;
(5) conform to the rules adopted under this chapter;
(6) develop policies and procedures for regulating boxing and
mixed martial arts;
(7) immediately suspend an individual license for a medical condition, including but
not limited to a medical condition resulting from an injury sustained during a match, bout,
or contest that has been confirmed by the ringside physician. The medical suspension must
be lifted after the commissioner receives written information from a physician licensed in
the home state of the licensee indicating that the combatant may resume competition, and
any other information that the commissioner may by rule require. Medical suspensions
are not subject to section
214.10 . 326B.082 or the contested case procedures provided
59.22in sections 14.57 to 14.69; and
59.23 (8) immediately suspend an individual combatant license for a mandatory rest period,
59.24which must commence at the conclusion of every combative sports contest in which the
59.25license holder competes and does not receive a medical suspension. A rest suspension
59.26must automatically lift after seven calendar days from the date the combative sports
59.27contest passed without notice or additional proceedings. Rest suspensions are not subject
59.28to section 326B.082 or the contested case procedures provided in sections 14.57 to 14.69.
Sec. 40. Minnesota Statutes 2012, section 341.29, is amended to read:
59.30341.29 JURISDICTION OF COMMISSIONER.
The commissioner shall:
(1) have sole direction, supervision, regulation, control, and jurisdiction over all
combative sport contests that are held within this state unless a contest is exempt from the
application of this chapter under federal law;
(2) have sole control, authority, and jurisdiction over all licenses required by this
(3) grant a license to an applicant if, in the judgment of the commissioner, the
financial responsibility, experience, character, and general fitness of the applicant are
consistent with the public interest, convenience, or necessity and the best interests of
combative sports and conforms with this chapter and the commissioner's rules
60.7 (4) deny, suspend, or revoke a license using the enforcement provisions of section
Sec. 41. Minnesota Statutes 2012, section 341.30, subdivision 4, is amended to read:
Subd. 4. Prelicensure requirements.
(a) Before the commissioner issues a license
to a promoter, corporation, or other business entity, the applicant shall:
(1) provide the commissioner with a copy of any agreement between a combatant
and the applicant that binds the applicant to pay the combatant a certain fixed fee or
percentage of the gate receipts;
(2) show on the application the owner or owners of the applicant entity and the
percentage of interest held by each owner holding a 25 percent or more interest in the
(3) provide the commissioner with a copy of the latest financial statement of the
(4) provide the commissioner with a copy or other proof acceptable to the
commissioner of the insurance contract or policy required by this chapter.
(b) Before the commissioner issues a license to a promoter, the applicant shall
deposit with the commissioner a cash bond or surety bond in an amount set by the
commissioner, which must not be less than $10,000
. The bond shall be executed in favor
of this state and shall be conditioned on the faithful performance by the promoter of the
promoter's obligations under this chapter and the rules adopted under it. An applicant for a
license as a promoter and licensed promoters
shall submit an application for each event
minimum of six weeks before the combative sport contest is scheduled to occur.
(c) Before the commissioner issues a license to a combatant, the applicant shall
submit to the commissioner:
60.31 (1) a mixed martial arts combatant national identification number or federal boxing
60.32identification number that is unique to the applicant, or both; and
the results of a current medical examination on forms furnished or approved
by the commissioner. The medical examination must include an ophthalmological and
neurological examination, and documentation of test results for HBV, HCV, and HIV, and
any other blood test as the commissioner by rule may require. The ophthalmological
examination must be designed to detect any retinal defects or other damage or condition
of the eye that could be aggravated by combative sports. The neurological examination
must include an electroencephalogram or medically superior test if the combatant has
been knocked unconscious in a previous contest. The commissioner may also order an
electroencephalogram or other appropriate neurological or physical examination before
any contest if it determines that the examination is desirable to protect the health of the
combatant. The commissioner shall not issue a license to an applicant submitting positive
test results for HBV, HCV, or HIV.
Sec. 42. Minnesota Statutes 2012, section 341.32, subdivision 2, is amended to read:
Subd. 2. Expiration and renewal.
A license issued after July 1, 2007, is valid for
61.12 one year from the date it is issued and Licenses expire annually on December 31, and
be renewed by filing an application for renewal with the commissioner and payment of the
license fees established in section
. An application for a license and renewal of a
license must be on a form provided by the commissioner. There is a 30-day grace period
during which a license may be renewed if a late filing penalty fee equal to the license fee
is submitted with the regular license fee. A licensee that files late shall not conduct any
activity regulated by this chapter until the commissioner has renewed the license. If the
licensee fails to apply to the commissioner within the 30-day grace period, the licensee
must apply for a new license under subdivision 1.
Sec. 43. Minnesota Statutes 2012, section 341.321, is amended to read:
61.22341.321 FEE SCHEDULE.
(a) The fee schedule for professional licenses issued by the commissioner is as
for each initial license and each renewal;
for each initial license and each renewal;
(3) judges and knockdown judges,
for each initial license and each renewal;
for each initial license and each renewal;
(5) ring announcers,
for each initial license and each renewal;
for each initial license and each renewal;
for each initial license and each renewal;
for each initial license and each renewal;
for each initial license and each renewal; and
(10) ringside physicians,
for each initial license and each renewal.
In addition to the license fee and the late filing penalty fee in section
, if applicable, an individual who applies for a professional license on the same day the
combative sporting event is held shall pay a late fee of $100 plus the original license fee of
at the time the application is submitted.
(b) The fee schedule for amateur licenses issued by the commissioner is as follows:
for each initial license and each renewal;
for each initial license and each renewal;
(3) judges and knockdown judges,
for each initial license and each renewal;
for each initial license and each renewal;
(5) ring announcers,
for each initial license and each renewal;
for each initial license and each renewal;
for each initial license and each renewal;
for each initial license and each renewal;
for each initial license and each renewal; and
(10) ringside physicians,
for each initial license and each renewal.
(c) The commissioner shall establish a contest fee for each combative sport contest.
The professional combative sport contest fee is $1,500 per event or not more than four
percent of the gross ticket sales, whichever is greater, as determined by the commissioner
when the combative sport contest is scheduled,
the amateur combative sport
contest fee shall be
or not more than four percent of the gross ticket sales,
whichever is greater. The commissioner shall consider the size and type of venue when
establishing a contest fee. The commissioner may establish the maximum number
of complimentary tickets allowed for each event by rule. A professional or amateur
combative sport contest fee is nonrefundable.
(d) All fees and penalties collected by the commissioner must be deposited in the
commissioner account in the special revenue fund.
Sec. 44. REPEALER.
62.28(a) Minnesota Statutes 2012, sections 326B.31, subdivisions 18, 19, and 22; and
62.29326B.978, subdivision 4, are repealed.
62.30(b) Minnesota Rules, part 1307.0032, is repealed effective December 31, 2013.
62.31(c) Minnesota Rules, parts 3800.3520, subpart 5, items C and D; and 3800.3602,
62.32subpart 2, item B, subitems (5) and (6), are repealed.
63.2EMPLOYMENT, ECONOMIC DEVELOPMENT, AND
Section 1. [116J.013] COST-OF-LIVING STUDY; ANNUAL REPORT.
63.5(a) The commissioner shall conduct an annual cost-of-living study in Minnesota.
63.6The study shall include:
63.7(1) a calculation of the statewide basic needs cost of living, adjusted for family size;
63.8(2) a calculation of the basic needs cost of living, adjusted for family size, for each
63.10(3) an analysis of statewide and county cost-of-living data, employment data, and
63.11job vacancy data; and
63.12(4) recommendations to aid in the assessment of employment and economic
63.13development planning needs throughout the state.
63.14(b) The commissioner shall report on the cost-of-living study and recommendations
63.15by February 1 of each year to the governor and to the chairs of the standing committees
63.16of the house of representatives and the senate having jurisdiction over employment and
63.17economic development issues.
Sec. 2. [116J.4011] LABOR MARKET INFORMATION DATA PRODUCTION
63.20(a) As part of the commissioner's obligation under section 116J.401, the
63.21commissioner must, in collaboration with the Office of Higher Education and local
63.22workforce councils, produce and publish labor market analysis describing the alignment
63.23between employer requirements and workforce qualifications.
63.24(b) The analysis must include a description of job trends that supports career choice
63.25and job seeking including:
63.26(1) measures of current job growth, projected future job growth, and current job
63.28(2) a breakdown of these measures, whenever feasible, by industry, occupation,
63.29statewide and substate region, by educational requirement, state employee retirement
63.30trends, and by racial trends;
63.31(3) a description of industry- or occupation-based credentials and minimum
63.32educational standards necessary for successful employment in each area; and
63.33(4) a designation of areas of opportunity based on high growth, high vacancy, and
63.34high pay conditions.
64.1(c) The analysis must include a description of workforce supply and quality,
64.3(1) a description of the current educational attainment of the workforce and its
64.4distribution across industries, occupations, and regions;
64.5(2) the number and distribution of recent graduates of and current enrollees in
64.6postsecondary institutions by academic concentration or major and by credential type; and
64.7(3) the completion rate, employment outcome, and average debt for recent
64.8postsecondary graduates by program of study, institution type, and credential.
64.9(d) The analysis must be reviewed on a regular basis by representatives from the
64.10business and postsecondary sectors, and any feedback should be incorporated into data
64.11collection and presentation where feasible. This feedback may also include surveys of
64.12employers on their skill, credential, and other workforce requirements when necessary.
64.13(e) Analysis, data, and reports required by this section must be easily accessible, easily
64.14readable, and prominently presented on the Department of Employment and Economic
64.15Development Web site and Web sites of workforce centers. Information on job vacancies
64.16and areas of potential employment opportunities should link to educational or credential
64.17requirements, appropriate training or educational offerings, prevailing wages, and other
64.18indicators of market conditions deemed important to career choosers and job seekers.
Sec. 3. [116J.548] HOST COMMUNITY ECONOMIC DEVELOPMENT
64.21 Subdivision 1. Creation of account. A host community economic development
64.22grant program is created in the Department of Employment and Economic Development.
64.23Grants awarded under this section may only be spent for capital costs of an eligible project.
64.24 Subd. 2. Definitions. For purposes of this section:
64.25(1) "Capital costs" means expenditures for the acquisition and betterment of public
64.26lands and buildings, and for other publicly owned capital improvements. Capital costs
64.27also include expenditures for predesign, design, engineering, and similar activities for
64.28specifically identified eligible projects.
64.29(2) "Eligible project" means a development or redevelopment project that will
64.30generate economic development within a host community.
64.31(3) "Economic development" means job creation, an increase in the tax base, the
64.32capacity of the eligible project to attract private investment, and other objective criteria
64.33established by the commissioner that demonstrate a public benefit to the host community.
64.34(4) "Host community" means a city located within the seven-county metropolitan
64.35area, as defined in section 473.121, subdivision 2, that is the site of a waste disposal
65.1facility that meets the standards in section 473.849, that accepts unprocessed mixed
65.2municipal solid waste generated in the metropolitan area.
65.3 Subd. 3. Application. Host communities may apply for a grant under this section
65.4on a form and in a manner prescribed by the commissioner. In awarding grants under
65.5this section, the commissioner shall give priority to eligible projects that, based on a
65.6cost-benefit analysis, provide the highest return on public investment. The commissioner
65.7must allocate available money between host communities as evenly as practicable.
65.8 Subd. 4. No match required. Notwithstanding section 16A.86 or any other law to
65.9the contrary, the state share of a project covered by this section shall cover 100 percent of
65.10the total cost of the project.
65.11 Subd. 5. Report. The commissioner must report to committees of the legislature
65.12with jurisdiction over economic development by February 15 of each year on grants
65.13awarded under this section.
65.14EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2012, section 116J.8731, subdivision 2, is amended to read:
Subd. 2. Administration. Except as otherwise provided in this section,
commissioner shall administer the fund as part of the Small Cities Development Block
funds shall be made available to local communities and recognized
Indian tribal governments in accordance with the rules adopted for economic development
grants in the small cities community development block grant program
, except that.
All units of general purpose local government are eligible applicants for Minnesota
investment funds. The commissioner may provide forgivable loans directly to a private
65.23enterprise and not require a local community or recognized Indian tribal government
65.24application other than a resolution supporting the assistance. Eligible applicants for the
65.25state-funded portion of the fund also include development authorities as defined in section
65.26116J.552, subdivision 4, provided that the governing body of the municipality approves,
65.27by resolution, the application of the development authority.
The commissioner may also
make funds available within the department for eligible expenditures under subdivision 3,
clause (2). A home rule charter or statutory city, county, or town may loan or grant money
received from repayment of funds awarded under this section to a regional development
commission, other regional entity, or statewide community capital fund as determined by
the commissioner, to capitalize or to provide the local match required for capitalization of
a regional or statewide revolving loan fund.
Sec. 5. Minnesota Statutes 2012, section 116J.8731, subdivision 3, is amended to read:
Subd. 3. Eligible expenditures.
The money appropriated for this section may
be used to:
(1) fund loans or
grants for infrastructure, loans, loan guarantees, interest buy-downs,
and other forms of participation with private sources of financing, provided that a loan to
a private enterprise must be for a principal amount not to exceed one-half of the cost of
the project for which financing is sought;
(2) fund strategic investments in renewable energy market development, such as
low interest loans for renewable energy equipment manufacturing, training grants to
support renewable energy workforce, development of a renewable energy supply chain
that represents and strengthens the industry throughout the state, and external marketing
to garner more national and international investment into Minnesota's renewable sector.
Expenditures in external marketing for renewable energy market development are not
subject to the limitations in clause (1); and
(3) provide private entrepreneurs with training, other technical assistance, and
financial assistance, as provided in the small cities development block grant program.
Sec. 6. Minnesota Statutes 2012, section 116J.8731, subdivision 8, is amended to read:
Subd. 8. Disaster contingency account; repayments.
There is created a Minnesota
investment fund disaster contingency account in the special revenue fund. Repayment of
loan amounts to the local government unit or development authority
under this section
shall be forwarded to the commissioner and deposited in the disaster contingency account
in the Minnesota investment fund to be appropriated by law for future disaster relief.
Sec. 7. Minnesota Statutes 2012, section 116J.8731, subdivision 9, is amended to read:
Subd. 9. Requirements for assistance. (a)
All awards under section
subject to the
requirements in this subdivision
(a) Eligible applicants include the following:
66.26(b) Eligible applicants are subject to the following requirements:
(1) Applicants may be any business or nonprofit organization in the area included
in the disaster declaration that was directly and adversely affected by the disaster. This
includes: businesses, cooperatives, utilities, industrial, commercial, retail, and nonprofit
organizations, including those nonprofits that provide residential, health care, child care,
social, or other services on behalf of the Department of Human Services to residents
included in the disaster area.
(2) Business applicants must be organized as a proprietorship, partnership, LLC, or
(3) Applicants must have been in operation before the date of the disaster.
(b) Eligible activities. (c)
Loan funds may be used to assist businesses only in their
recovery efforts but are not available to provide relief from economic losses.
(c) Eligible costs. (d)
Eligible costs may include the following: repair of buildings,
leasehold improvements, fixtures and/or equipment, loss of inventory, and cleanup costs.
Ineligible activities include all of the following
Any applicants not meeting the eligibility requirements
outlined in this subdivision are ineligible to receive recovery loan funds.
Funds may not be used for lending or investment operations,
land speculation, or any activity deemed illegal by federal, state, or local law or ordinance.
Ineligible costs include but are not limited to: economic injury
losses, relocation, management fees, financing costs, franchise fees, debt consolidation,
moving costs, refinancing debt existing prior to the date of the disaster, and operating costs.
(1) Application process.
All parties seeking recovery loan funds must file an
application with the local unit of government or development authority
. Small Business
Administration (SBA) application forms may be used. Applications must be transmitted
in the form and manner prescribed by the commissioner.
(f) Application information. (g)
Only completed applications will be reviewed for
consideration. Submittal of the following information constitutes a complete application:
(1) Minnesota investment fund recovery loan fund application;
(2) business SBA disaster application, if applicable;
(3) regional development organization or responsible local government application,
(4) administrative contact;
(5) business release for local government to review SBA damage assessment/loss
verification, if applicable;
(6) proof of loss statement from insurer;
(7) construction cost estimates;
(8) invoices for work completed;
(9) quotes for equipment;
(10) proposed security;
(11) company historical financial statements for the 24 months immediately prior to
the application date;
(12) credit check release;
(13) number of jobs to be retained;
(14) wages paid;
(15) amount of loan request;
(16) documentation of damages incurred;
(17) property taxes paid and current;
(18) judgments, liens, agreements, consent decrees, stipulations for settlements, or
other such actions which would prevent the applicant from participating in any program
administered by the responsible local, state, or regional government;
(19) compliance with all applicable local ordinances and plans;
(20) documentation through financial and tax records that the business was a viable
operating entity at the time of the flood;
(21) business tax identification number; and
(22) other documentation as requested.
Incomplete applications will be assigned pending status and the applicant
will be informed in writing of the missing documentation.
(h) Determination of eligibility. (i)
Applicant eligibility will be determined using
criteria enumerated in paragraph
. A credit check for the company and each of its
principal owners may be conducted. An owner's encumbrance report will be completed
by the Recorder's Office.
A grant recipient is eligible for assistance provided under this section only after the
recipient has claimed all applicable private insurance and the recipient has utilized all other
sources of applicable assistance available under the act appropriating funding for the grant.
Sec. 8. [116J.8748] MINNESOTA JOB CREATION FUND.
68.23 Subdivision 1. Definitions. (a) For purposes of this section, the following terms
68.24have the meanings given.
68.25(b) "Agreement" or "business subsidy agreement" means a business subsidy
68.26agreement under section 116J.994 that must include, but is not limited to: specification
68.27of the duration of the agreement, job goals and a timeline for achieving those goals over
68.28the duration of the agreement, construction and other investment goals and a timeline for
68.29achieving those goals over the duration of the agreement, and the value of benefits the
68.30firm may receive following achievement of capital investment and employment goals.
68.31The local government and business must report to the commissioner on the business
68.32performance using the forms developed by the commissioner.
68.33(c) "Business" means an individual, corporation, partnership, limited liability
68.34company, association, or other entity.
69.1(d) "Capital investment" means money that is expended for the purpose of building
69.2or improving real fixed property where employees under paragraphs (g) and (h) are or
69.3will be employed and also includes construction materials, services, and supplies, and the
69.4purchase and installation of equipment and machinery as provided under subdivision 4,
69.5paragraph (b), clause (5).
69.6(e) "Commissioner" means the commissioner of employment and economic
69.8(f) "Minnesota job creation fund business" means a business that is designated
69.9by the commissioner under subdivision 3.
69.10(g) "New full-time employee" means an employee who:
69.11(1) begins work at a Minnesota job creation fund business facility noted in a business
69.12subsidy agreement and following the designation as a job creation fund business; and
69.13(2) has expected work hours of at least 2,080 hours annually.
69.14(h) "Retained job" means a full-time position:
69.15(1) that existed at the facility prior to the designation as a job creation fund business;
69.17(2) has expected work hours of at least 2,080 hours annually.
69.18(i) "Wages" has the meaning given in section 290.92, subdivision 1, clause (1).
69.19 Subd. 2. Application. (a) In order to qualify for designation as a Minnesota job
69.20creation fund business under subdivision 3, a business must submit an application to the
69.21local government entity where the facility is or will be located.
69.22(b) A local government must submit the business application along with other
69.23application materials to the commissioner for approval.
69.24(c) The applications required under paragraphs (a) and (b) must be in the form and
69.25be made under the procedures specified by the commissioner.
69.26 Subd. 3. Minnesota job creation fund business designation; requirements. (a)
69.27To receive designation as a Minnesota job creation fund business, a business must satisfy
69.28all of the following conditions:
69.29(1) the business is or will be engaged in, within Minnesota, one of the following
69.30as its primary business activity:
69.34(iv) information technology;
69.36(vi) insurance; or
70.1(vii) professional or technical services;
70.2(2) the business must not be primarily engaged in lobbying; gambling; entertainment;
70.3professional sports; political consulting; leisure; hospitality; or professional services
70.4provided by attorneys, accountants, business consultants, physicians, or health care
70.5consultants, or primarily engaged in making retail sales to purchasers who are physically
70.6present at the business's location;
70.7(3) the business must enter into a binding construction and job creation business
70.8subsidy agreement with the commissioner to expend at least $500,000 in capital investment
70.9in a capital investment project that includes a new, expanded, or remodeled facility within
70.10one year following designation as a Minnesota job creation fund business and:
70.11(i) create at least ten new full-time employee positions within two years of the
70.12benefit date following the designation as a Minnesota job creation fund business; or
70.13(ii) expend at least $25,000,000, which may include the installation and purchase
70.14of machinery and equipment, in capital investment and retain at least 200 employees for
70.15projects located in the metropolitan area as defined in section 200.02, subdivision 24, and
70.1675 employees for projects located outside the metropolitan area;
70.17(4) positions or employees moved or relocated from another Minnesota location
70.18of the Minnesota job creation fund business must not be included in any calculation or
70.19determination of job creation or new positions under this paragraph; and
70.20(5) a Minnesota job creation fund business must not terminate, lay off, or reduce
70.21the working hours of an employee for the purpose of hiring an individual to satisfy job
70.22creation goals under this subdivision.
70.23(b) Prior to approving the proposed designation of a business under this subdivision,
70.24the commissioner shall consider the following:
70.25(1) the economic outlook of the industry in which the business engages;
70.26(2) the projected sales of the business that will be generated from outside the state
70.28(3) how the business will build on existing regional, national, and international
70.29strengths to diversify the state's economy;
70.30(4) whether the business activity would occur without financial assistance;
70.31(5) whether the business is unable to expand at an existing Minnesota operation
70.32due to facility or land limitations;
70.33(6) whether the business has viable location options outside Minnesota;
70.34(7) the effect of financial assistance on industry competitors in Minnesota;
70.35(8) financial contributions to the project made by local governments; and
70.36(9) any other criteria the commissioner deems necessary.
71.1(c) Upon receiving notification of local approval under subdivision 2, the
71.2commissioner shall review the determination by the local government and consider the
71.3conditions listed in paragraphs (a) and (b) to determine whether it is in the best interests of
71.4the state and local area to designate a business as a Minnesota job creation fund business.
71.5(d) If the commissioner designates a business as a Minnesota job creation fund
71.6business, the business subsidy agreement shall include the performance outcome
71.7commitments and the expected financial value of any Minnesota job creation fund benefits.
71.8(e) The commissioner may amend an agreement once, upon request of a local
71.9government on behalf of a business, only if the performance is expected to exceed
71.10thresholds stated in the original agreement.
71.11(f) A business may apply to be designated as a Minnesota job creation fund business
71.12at the same location more than once only if all goals under a previous Minnesota job
71.13creation fund agreement have been met and the agreement is completed.
71.14 Subd. 4. Certification; benefits. (a) The commissioner may certify a Minnesota job
71.15creation fund business as eligible to receive a specific value of benefit under paragraphs
71.16(b) and (c) when the business has achieved its job creation and capital investment goals
71.17noted in its agreement under subdivision 3.
71.18(b) A qualified Minnesota job creation fund business may be certified eligible for the
71.19benefits in this paragraph for up to five years for projects located in the metropolitan area
71.20as defined in section 200.02, subdivision 24, and seven years for projects located outside
71.21the metropolitan area, as determined by the commissioner when considering the best
71.22interests of the state and local area. The eligibility for the following benefits begins the
71.23date the commissioner certifies the business as a qualified Minnesota job creation fund
71.24business under this subdivision:
71.25(1) up to five percent rebate for projects located in the metropolitan area as
71.26defined in section 200.02, subdivision 24, and 7.5 percent for projects located outside
71.27the metropolitan area, on capital investment on qualifying purchases as provided in
71.28subdivision 5 with the total rebate for a project not to exceed $500,000;
71.29(2) an award of up to $500,000 based on full-time job creation and wages paid as
71.30provided in subdivision 6 with the total award not to exceed $500,000;
71.31(3) up to $1,000,000 in capital investment rebates and $1,000,000 in job creation
71.32awards are allowable for projects that have at least $25,000,000 in capital investment
71.33and 200 new employees;
71.34(4) up to $1,000,000 in capital investment rebates are allowable for projects that
71.35have at least $25,000,000 in capital investment and 200 retained employees for projects
72.1located in the metropolitan area as defined in section 200.02, subdivision 24, and 75
72.2employees for projects located outside the metropolitan area; and
72.3(5) for clauses (3) and (4) only, the capital investment expenditure requirements may
72.4include the installation and purchases of machinery and equipment. These expenditures
72.5are not eligible for the capital investment rebate provided under subdivision 5.
72.6(c) The job creation award may be provided in multiple years as long as the qualified
72.7Minnesota job creation fund business continues to meet the job creation goals provided
72.8for in its agreement under subdivision 3 and the total award does not exceed $500,000
72.9except as provided under paragraph (b), clauses (3) and (4).
72.10(d) No rebates or award may be provided until the Minnesota job creation fund
72.11business has at least $500,000 in capital investment in the project and at least ten full-time
72.12jobs have been created and maintained for at least one year or the retained employees, as
72.13provided in paragraph (b), clause (4), remain for at least one year. The agreement may
72.14require additional performance outcomes that need to be achieved before rebates and
72.15awards are provided. If fewer retained jobs are maintained, but still above the minimum
72.16under this subdivision, the capital investment award shall be reduced on a proportionate
72.18(e) The forms needed to be submitted to document performance by the Minnesota
72.19job creation fund business must be in the form and be made under the procedures specified
72.20by the commissioner. The forms shall include documentation and certification by the
72.21business that it is in compliance with the business subsidy agreement, sections 116J.871
72.22and 116L.66, and other provisions as specified by the commissioner.
72.23(f) Minnesota job creation fund businesses must pay each new full-time employee
72.24added pursuant to the agreement total compensation, including benefits not mandated by
72.25law, that on an annualized basis is equal to at least 110 percent of the federal poverty
72.26level for a family of four.
72.27(g) A Minnesota job creation fund business must demonstrate reasonable progress on
72.28its capital investment expenditures within six months following designation as a Minnesota
72.29job creation fund business to ensure that the capital investment goal in the agreement
72.30under subdivision 1 will be met. Businesses not making reasonable progress will not be
72.31eligible for benefits under the submitted application and will need to work with the local
72.32government unit to resubmit a new application and request to be a Minnesota job creation
72.33fund business. Notwithstanding the goals noted in its agreement under subdivision 1, this
72.34action shall not be considered a default of the business subsidy agreement.
72.35 Subd. 5. Capital investment rebate. (a) A qualified Minnesota job creation fund
72.36business is eligible for a rebate on the purchase and use of construction materials, services,
73.1and supplies used for or consumed in the construction project as described in the goals
73.2under the agreement provided under subdivision 1, paragraph (b).
73.3(b) The rebate under this subdivision applies regardless of whether the purchases are
73.4made by the qualified Minnesota job creation fund business or a contractor hired to perform
73.5work or provide services at the qualified Minnesota job creation fund business location.
73.6(c) Minnesota job creation fund businesses seeking the rebate for capital investment
73.7provided under subdivision 4 must submit forms and applications to the Department of
73.8Employment and Economic Development as prescribed by the commissioner of each
73.10 Subd. 6. Job creation award. (a) A qualified Minnesota job creation fund business
73.11is eligible for an annual award for each new job created and maintained by the business
73.12using the following schedule: $1,000 for each job position paying annual wages at least
73.13$26,000 but less than $35,000; $2,000 for each job position paying at least $35,000 but
73.14less than $45,000; and $3,000 for each job position paying at least $45,000; and as noted
73.15in the goals under the agreement provided under subdivision 1.
73.16(b) The job creation award schedule must be adjusted annually using the percentage
73.17increase in the federal poverty level for a family of four.
73.18(c) Minnesota job creation fund businesses seeking an award credit provided under
73.19subdivision 4 must submit forms and applications to the Department of Employment and
73.20Economic Development as prescribed by the commissioner.
73.21 Subd. 7. Rulemaking. (a) If the commissioner's policies, procedures, or other
73.22statements are rules, as defined in section 14.02, subdivision 4, the requirements in either
73.23paragraph (b) or (c) apply, as applicable.
73.24(b) Effective upon enactment until January 1, 2015:
73.25(1) the commissioner shall publish notice of proposed rules in the State Register
73.26after complying with section 14.07, subdivision 2;
73.27(2) interested parties have 21 days to comment on the proposed rules. The
73.28commissioner must consider comments it receives. After the commissioner has considered
73.29all comments and has complied with section 14.07, subdivision 2, the commissioner shall
73.30publish notice of the final rule in the State Register;
73.31(3) if the adopted rules are the same as the proposed rules, the notice shall state that
73.32the rules have been adopted as proposed and shall cite the prior publication. If the adopted
73.33rules differ from the proposed rules, the portions of the adopted rules that differ from the
73.34proposed rules shall be included in the notice of adoption, together with a citation to the
73.35prior State Register that contained the notice of the proposed rules; and
74.1(4) rules published in the State Register before January 1, 2014, take effect upon
74.2publication of the notice. Rules published in the State Register on and after January 1,
74.32014, take effect 30 days after publication of the notice.
74.4(c) Beginning January 1, 2015, the commissioner may adopt rules to implement any
74.5provisions in this section using the expedited rulemaking process in section 14.389.
74.6(d) The notice of proposed rules required in paragraph (b) must provide information
74.7as to where the public may obtain a copy of the rules. The commissioner shall post the
74.8proposed rules on the department Web site at the same time the notice is published in
74.9the State Register.
74.10EFFECTIVE DATE.This section is effective January 1, 2014.
Sec. 9. [116J.9661] TRADE POLICY ADVISORY COUNCIL.
74.12 Subdivision 1. Establishment. The Trade Policy Advisory Council is established to
74.13advise and assist the governor and the legislature regarding United States trade agreements.
74.14 Subd. 2. Membership. (a) The Trade Policy Advisory Council shall have 15
74.15members, as follows:
74.16(1) the commissioner of employment and economic development or designee;
74.17(2) the commissioner of agriculture or designee;
74.18(3) the commissioner of administration or designee;
74.19(4) two senators, including one appointed by the Subcommittee on Committees of
74.20the Committee on Rules and Administration, and one appointed by the minority leader;
74.21(5) two members of the house of representatives, including one member appointed
74.22by the speaker of the house and one member appointed by the minority leader; and
74.23(6) eight members appointed by the governor. The governor's appointees shall
74.24represent specified interests, including organized labor, environmental interests, family
74.25farmers, business and industry, and international trade and development.
74.26(b) The Trade Policy Advisory Council may invite representatives from other state
74.27agencies, industries, trade and labor organizations, nongovernmental organizations, and
74.28local governments to join the council as nonvoting ex officio members.
74.29(c) Except for initial appointments, the appointing authorities shall make
74.30appointments by the first Monday in January of each odd-numbered year.
74.31 Subd. 3. Term. Except for the initial appointees, members of the Trade Policy
74.32Advisory Council shall serve for a term of two years and may be reappointed. Members
74.33shall serve until their successors have been appointed.
75.1 Subd. 4. Administration. The commissioner of employment and economic
75.2development or the commissioner's designee shall provide meeting space and
75.3administrative services for the council.
75.4 Subd. 5. Initial appointments and first meeting. The appointing authorities shall
75.5appoint the first members of the council by January 15, 2014. The first appointees shall
75.6serve until the first Monday in January 2015. The commissioner of the Department of
75.7Employment and Economic Development shall convene the first meeting by February 15,
75.82014, and shall act as chair until the council elects a chair at its first meeting.
75.9 Subd. 6. Chair. The members shall elect a chair from the legislative members
75.10of the advisory council.
75.11 Subd. 7. No compensation. Public members of the advisory council serve without
75.12compensation or payment of expenses.
75.13 Subd. 8. Duties. The Trade Policy Advisory Council shall:
75.14(1) advise the governor and the legislature on matters relating to United States
75.16(2) assess the potential impact of federal trade agreements on the state's economy;
75.17(3) advise the governor and the legislature of the group's findings and make
75.18recommendations, including any draft legislation necessary to implement the
75.19recommendations, to the governor and the legislature;
75.20(4) determine, on a case-by-case basis, the impact of a specific federal trade
75.21agreement by requesting input from state agencies, seeking expert advice, convening
75.22public hearings, and taking other reasonable and appropriate actions;
75.23(5) request information from the Office of the United States Trade Representative
75.24necessary to conduct an appropriate review of government procurement agreements or
75.25other trade issues; and
75.26(6) receive information obtained by the United States Trade Representative's single
75.27point of contact for Minnesota.
75.28 Subd. 9. Meeting. The Trade Policy Advisory Council shall meet at least once
75.29per fiscal year.
75.30 Subd. 10. Sunset. The council shall sunset January 1, 2020.
Sec. 10. [116J.978] MINNESOTA TRADE OFFICES IN FOREIGN MARKETS.
75.32(a) The commissioner of employment and economic development shall establish
75.33three new Minnesota Trade Offices in key foreign markets selected for their potential to
75.34increase Minnesota exports and attract foreign direct investment.
76.1(b) The commissioner shall establish a performance rating system for the new offices
76.2established under this section and create specific annual goals for the offices to meet. The
76.3commissioner shall monitor activities of the office, including, but not limited to, the number
76.4of inquiries and projects received and completed, meetings arranged between Minnesota
76.5companies and potential investors, distributors, or customers, and agreements signed.
Sec. 11. [116J.979] MINNESOTA STEP GRANTS.
76.7 Subdivision 1. Establishment. The commissioner of employment and economic
76.8development shall create a State Trade and Export Promotion grants program, hereafter
76.9STEP grants, to provide financial and technical assistance to eligible Minnesota small
76.10businesses with an active interest in exporting products or services to foreign markets.
76.11 Subd. 2. Grants. Recipients may apply, on an application devised by the
76.12commissioner, for up to $7,500 in reimbursement for approved export-development
76.13activities, including, but not limited to:
76.14(1) participation in trade missions;
76.15(2) export training;
76.16(3) exhibition at trade shows or industry-specific events;
76.17(4) translation of marketing materials;
76.18(5) development of foreign language Web sites, Gold Key, or other business
76.20(6) company-specific international sales activities; and
76.21(7) testing and certification required to sell products in foreign markets.
Sec. 12. [116J.9801] INVEST MINNESOTA.
76.23The commissioner shall establish the Invest Minnesota marketing initiative. This
76.24initiative must focus on branding the state's economic development initiatives and
76.25promoting Minnesota business opportunities. The initiative may include measures to
76.26communicate the benefits of doing business in Minnesota to companies considering
76.27relocating, establishing a United States presence, or expanding.
Sec. 13. [116J.998] OFFICE OF BROADBAND DEVELOPMENT.
76.29 Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
76.30have the meanings given them.
76.31(b) "Broadband" or "broadband service" means any service providing advanced
76.32telecommunications capability and Internet access with transmission speeds that, at a
76.33minimum, meet the Federal Communications Commission definition for broadband.
77.1(c) "Local unit of government" has the meaning given in section 116G.03,
77.3(d) "Office" means the Office of Broadband Development established in subdivision
77.42, paragraph (a).
77.5 Subd. 2. Office established; purpose. (a) An Office of Broadband Development is
77.6established within the Department of Employment and Economic Development and shall
77.7remain in existence until the commissioner certifies that the state has met the broadband
77.8goals established in section 237.012. The director shall be appointed by the governor and
77.9shall serve in the unclassified service. The director must be qualified by experience and
77.10training in broadband. The office may employ staff necessary to carry out the office's
77.11duties under subdivision 4.
77.12(b) The purpose of the office is to encourage, foster, develop, and improve broadband
77.13within the state in order to:
77.14(1) drive job creation, promote innovation, and expand markets for Minnesota
77.16(2) serve the ongoing and growing needs of Minnesota's education systems, health
77.17care system, public safety system, industries and businesses, governmental operations,
77.18and citizens; and
77.19(3) improve accessibility for underserved communities and populations.
77.20 Subd. 3. Organization. The office shall consist of a director of the Office of
77.21Broadband Development, as well as any staff necessary to carry out the office's duties
77.22under subdivision 4.
77.23 Subd. 4. Duties. (a) The office shall have the power and duty to:
77.24(1) serve as the central broadband planning body for the state of Minnesota;
77.25(2) coordinate with state, regional, local, and private entities to develop, to the
77.26maximum extent practicable, a uniform statewide broadband access and usage policy;
77.27(3) develop, recommend, and implement a statewide plan to encourage cost-effective
77.28broadband access, and to make recommendations for increased usage, particularly in
77.29rural and other underserved areas;
77.30(4) coordinate efforts, in consultation and cooperation with the commissioner of
77.31commerce, local units of government, and private entities, to meet the state's broadband
77.32goals in section 237.012;
77.33(5) develop, coordinate, and implement the state's broadband infrastructure
77.34development program under section 116J.999;
78.1(6) provide consultation services to local units of government or other project
78.2sponsors in connection with the planning, acquisition, improvement, construction, or
78.3development of any broadband deployment project;
78.4(7) encourage public-private partnerships to increase deployment and adoption
78.5of broadband services and applications, including recommending funding options and
78.6possible incentives to encourage investment in broadband expansion;
78.7(8) monitor the broadband development efforts of other states and nations in areas
78.8such as business, education, public safety, and health;
78.9(9) consult with the commissioner of commerce to monitor broadband-related
78.10activities at the federal level, including regulatory and policy changes and the potential
78.11impact on broadband deployment and sustainability in the state;
78.12(10) serve as an information clearinghouse for federal programs providing financial
78.13assistance to institutions located in rural areas seeking to obtain access to high-speed
78.14broadband service, and use this information as an outreach tool to make institutions
78.15located in rural areas that are unserved or underserved with respect to broadband service
78.16aware of the existence of federal assistance;
78.17(11) provide logistical and administrative support for the Governor's Broadband
78.19(12) provide an annual report, as required by subdivision 5;
78.20(13) coordinate an ongoing collaborative effort of stakeholders to evaluate and
78.21address security, vulnerability, and redundancy issues in order to ensure the reliability of
78.22broadband networks; and
78.23(14) perform any other activities consistent with the office's purpose.
78.24(b) In carrying out its duties under this subdivision, the Office of Broadband
78.25Development shall have no authority to regulate or compel action on the part of any
78.26provider of broadband service.
78.27 Subd. 5. Reporting. (a) Beginning January 15, 2014, and each year thereafter,
78.28the Office of Broadband Development shall report to the legislative committees with
78.29jurisdiction over broadband policy and finance on the office's activities during the previous
78.31(b) The report shall contain, at a minimum:
78.32(1) an analysis of the current availability and use of broadband, including average
78.33broadband speeds, within the state;
78.34(2) information gathered from schools, libraries, hospitals, and public safety facilities
78.35across the state, determining the actual speed and capacity of broadband currently in use
78.36and the need, if any, for increases in speed and capacity to meet current or anticipated needs;
79.1(3) an analysis of incumbent broadband infrastructure within the state and its ability
79.2to spur economic development;
79.3(4) an analysis of the degree to which new, additional, or improved broadband
79.4infrastructure would spur economic development in the state;
79.5(5) a summary of the office's activities in coordinating broadband infrastructure
79.6development under section 116J.999;
79.7(6) suggested policies, incentives, and legislation designed to accelerate the
79.8achievement of the goals under section 237.012, subdivisions 1 and 2;
79.9(7) any proposed legislative and policy initiatives; and
79.10(8) any other information requested by the legislative committees with jurisdiction
79.11over broadband policy and finance, or that the office deems necessary.
79.12(c) The report may be submitted electronically and is subject to section 3.195,
79.14EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 14. [116J.999] COORDINATION OF BROADBAND INFRASTRUCTURE
79.17 Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
79.18have the meanings given them.
79.19(b) "Broadband" or "broadband service" has the meaning given in section 116J.998,
79.20subdivision 1, paragraph (b).
79.21(c) "Broadband conduit" means a conduit, pipe, innerduct, or microduct for fiber
79.22optic or other cables that support broadband and wireless facilities for broadband service.
79.23(d) "Local unit of government" has the meaning given in section 116G.03,
79.25(e) "Office" means the Office of Broadband Development established in section
79.27 Subd. 2. Broadband infrastructure development. (a) The office shall, in
79.28collaboration with the Department of Transportation and private entities, encourage and
79.29coordinate "dig once" efforts for the planning, relocation, installation, or improvement of
79.30broadband conduit within the right-of-way in conjunction with any current or planned
79.31construction, including, but not limited to, trunk highways and bridges. To the extent
79.32necessary, the office shall, in collaboration with the Department of Transportation,
79.33evaluate engineering and design standards, procedures and criteria for contracts or lease
79.34agreements with private entities, and pricing requirements, and provide for allocation
79.35of risk, costs, and any revenue generated.
80.1(b) The office shall, in collaboration with other state departments and agencies as the
80.2office deems necessary, develop a strategy to facilitate the timely and efficient deployment
80.3of broadband conduit or other broadband facilities on state-owned lands and buildings.
80.4(c) To the extent practicable, the office shall encourage and assist local units of
80.5government to adopt and implement policies similar to those under paragraphs (a) and (b)
80.6for construction or other improvements to county state-aid highways, municipal state-aid
80.7roads, and any other rights-of-way under the local unit of government's jurisdiction, and to
80.8other lands or buildings owned by the local unit of government.
80.9(d) Special consideration must be paid to projects under this subdivision that will
80.10likely improve access to broadband by rural or underserved communities.
80.11 Subd. 3. Reporting. As part of its annual report under section 116J.998, subdivision
80.125, the office shall report on activities taken under this section, including, but not limited to,
80.13the number of current and planned projects using the "dig once" approach, any gains in
80.14broadband speed or access associated with the project, and any costs or cost savings to
80.15the state, private entity, or end user of broadband services.
80.16 Subd. 4. No right of action. Nothing in this section shall be construed to create
80.17any right or benefit, substantive or procedural, enforceable at law or in equity by any
80.18party against the state of Minnesota; its departments, agencies, or entities; its officers,
80.19employees, or agents; or any other person.
80.20EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 15. [116L.191] WORKFORCE CENTER; CREDENTIAL ASSISTANCE.
80.22(a) The commissioner shall provide at local workforce centers services that
80.23assist individuals in identifying and obtaining industry-recognized credentials for jobs,
80.24particularly jobs in high demand. The workforce centers must consult and cooperate
80.25with training institutions, particularly postsecondary institutions, to identify credential
80.26programs to individuals.
80.27(b) Each workforce center shall provide information under section 116J.4011,
80.28paragraph (b), clause (3), linked as a shortcut from the desktop of each workforce center
80.29computer and available in hard copy. Prominent signs should be posted in workforce
80.30centers directing individuals to where they can find a list of top job vacancies and related
Sec. 16. Minnesota Statutes 2012, section 116U.26, is amended to read:
80.33116U.26 FILM PRODUCTION JOBS PROGRAM.
(a) The film production jobs program is created. The program shall be operated
by the Minnesota Film and TV Board with administrative oversight and control by the
administration employment and economic development
. The program
shall make payment to producers of feature films, national television or Internet programs,
documentaries, music videos, and commercials that directly create new film jobs in
Minnesota. To be eligible for a payment, a producer must submit documentation to the
Minnesota Film and TV Board of expenditures for production costs incurred in Minnesota
that are directly attributable to the production in Minnesota of a film product.
The Minnesota Film and TV Board shall make recommendations to the
administration employment and economic development
payment, but the commissioner has the authority to make the final determination on
payments. The commissioner's determination must be based on proper documentation of
eligible production costs submitted for payments. No more than five percent of the funds
appropriated for the program in any year may be expended for administration, including
81.15costs for independent audits and financial reviews of projects
(b) For the purposes of this section:
(1) "production costs" means the cost of the following:
(i) a story and scenario to be used for a film;
(ii) salaries of talent, management, and labor, including payments to personal
services corporations for the services of a performing artist;
(iii) set construction and operations, wardrobe, accessories, and related services;
(iv) photography, sound synchronization, lighting, and related services;
(v) editing and related services;
(vi) rental of facilities and equipment;
(vii) other direct costs of producing the film in accordance with generally accepted
entertainment industry practice;
81.27(viii) above-the-line talent fees for nonresident talent; or
81.28(ix) costs incurred during postproduction; and
(2) "film" means a feature film, television or Internet
show, pilot, program, series,
documentary, music video, or television commercial, whether on film, video, or digital
media. Film does not include news, current events, public programming, or a program
that includes weather or market reports; a talk show; a production with respect to a
questionnaire or contest; a sports event or sports activity; a gala presentation or awards
show; a finished production that solicits funds; or a production for which the production
company is required under United States Code, title 18, section 2257, to maintain records
with respect to a performer portrayed in a single-media or multimedia program.
(c) Notwithstanding any other law to the contrary, the Minnesota Film and TV Board
may make reimbursements of: (1) up to
production costs for films that
locate production outside the metropolitan area, as defined in section
2, or that incur
production costs in excess of $5,000,000 a minimum Minnesota expenditure
in the metropolitan area within a 12-month period; or (2) up to
production costs for films that incur less than $1,000,000 in Minnesota
of $5,000,000 or less
in the metropolitan area within a 12-month period.
82.8EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 17. Minnesota Statutes 2012, section 136F.37, is amended to read:
82.10136F.37 JOB PLACEMENT IMPACT ON PROGRAM REVIEW;
82.11INFORMATION TO STUDENTS.
82.12 Subdivision 1. Colleges; technical occupational program.
The board must
assess labor market data when conducting college program reviews. Colleges must
provide prospective students with the job placement rate for graduates of technical and
occupational programs offered at the colleges.
82.16 Subd. 2. DEED labor market survey; MnSCU usage and disclosure. The data
82.17assessed under subdivision 1 must include labor market data compiled by the Department
82.18of Employment and Economic Development under section 116J.4011. The board and its
82.19colleges and universities must use this market data when deciding upon course and program
82.20offerings. The board must provide a link to this labor market data on its Internet portal.
82.21EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 18. [161.462] FIBER COLLABORATION DATABASE.
82.23 Subdivision 1. Purpose. The purpose of the fiber collaboration database is
82.24to provide broadband providers with advance notice of upcoming Department of
82.25Transportation construction projects so that they may notify the department of their
82.26interest in installing broadband infrastructure within the right-of-way during construction
82.27in order to minimize installation costs.
82.28 Subd. 2. Database. (a) The Department of Transportation shall post on its Web site,
82.29and update annually, the list of upcoming construction projects contained in its statewide
82.30transportation improvement program, including, for each project:
82.31(1) the geographical location where construction will occur;
82.32(2) the estimated start and end dates of construction; and
82.33(3) a description of the nature of the construction project.
83.1(b) The commissioner shall post the information required in paragraph (a) as far in
83.2advance of the beginning of construction as is feasible.
83.3(c) The department's Web site must allow a provider of broadband service to register
83.4to receive from the department electronic information on proposed construction projects
83.5added to the database in specific geographical areas of the state as soon as it is updated.
83.6EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 19. Minnesota Statutes 2012, section 245.4712, subdivision 1, is amended to read:
Subdivision 1. Availability of community support services.
(a) County boards
must provide or contract for sufficient community support services within the county to
meet the needs of adults with serious and persistent mental illness who are residents of the
county. Adults may be required to pay a fee according to section
. The community
support services program must be designed to improve the ability of adults with serious
and persistent mental illness to:
work in a regular or supported work environment find and maintain competitive
(2) handle basic activities of daily living;
(3) participate in leisure time activities;
(4) set goals and plans; and
(5) obtain and maintain appropriate living arrangements.
The community support services program must also be designed to reduce the
need for and use of more intensive, costly, or restrictive placements both in number of
admissions and length of stay.
(b) Community support services are those services that are supportive in nature and
not necessarily treatment oriented, and include:
(1) conducting outreach activities such as home visits, health and wellness checks,
and problem solving;
(2) connecting people to resources to meet their basic needs;
(3) finding, securing, and supporting people in their housing;
(4) attaining and maintaining health insurance benefits;
(5) assisting with job applications, finding and maintaining employment, and
securing a stable financial situation;
(6) fostering social support, including support groups, mentoring, peer support, and
other efforts to prevent isolation and promote recovery; and
(7) educating about mental illness, treatment, and recovery.
(c) Community support services shall use all available funding streams. The county
shall maintain the level of expenditures for this program, as required under section
. County boards must continue to provide funds for those services not covered
by other funding streams and to maintain an infrastructure to carry out these services. The
84.5county is encouraged to fund evidence-based practices such as Individual Placement and
84.6Supported Employment and Illness Management and Recovery.
(d) The commissioner shall collect data on community support services programs,
including, but not limited to, demographic information such as age, sex, race, the number
of people served, and information related to housing, employment, hospitalization,
symptoms, and satisfaction with services.
Sec. 20. Minnesota Statutes 2012, section 268A.13, is amended to read:
84.12268A.13 EMPLOYMENT SUPPORT SERVICES FOR PERSONS WITH
The commissioner of employment and economic development, in cooperation
with the commissioner of human services, shall develop a statewide program of grants
as outlined in section
to provide services for persons with mental illness who
84.17want to work
in supported employment. Projects funded under this section must: (1)
assist persons with mental illness in obtaining and retaining competitive
community placements for clients client preferences
; (3) ensure
interagency collaboration at the local level between vocational rehabilitation field offices,
county service agencies, community support programs operating under the authority of
, and community rehabilitation providers, in assisting clients; (4) ensure
84.23services are integrated with mental health treatment; (5) provide benefits counseling;
84.24(6) conduct rapid job search;
involve clients in the planning, development,
oversight, and delivery of support services. Project funds may not be used to provide
services in segregated settings such as the center-based employment subprograms as
defined in section
The commissioner of employment and economic development, in consultation
with the commissioner of human services, shall develop a request for proposals which is
consistent with the requirements of this section and section
and which specifies
the types of services that must be provided by grantees. Priority for funding shall be given
with experience in developing innovative employment support services
84.33 for persons with mental illness carrying out evidence-based practices
. Each applicant for
funds under this section shall submit an evaluation protocol as part of the grant application.
Sec. 21. Minnesota Statutes 2012, section 268A.14, subdivision 1, is amended to read:
Subdivision 1. Employment support services and programs.
of employment and economic development, in cooperation with the commissioner of
human services, shall operate a statewide system to reimburse providers for employment
support services for persons with mental illness. The system shall be operated to support
employment programs and services where:
(1) services provided are readily accessible to all persons with mental illness who
85.8want to work, including rapid competitive job search,
so they can make progress toward
(2) services provided are made an integral part of all mental health
rehabilitation programs for persons with mental illness to ensure that they have the ability
and opportunity to consider a variety of work options;
(3) programs help persons with mental illness form long-range plans for employment
that fit their skills and abilities by ensuring that ongoing time-unlimited
management, placement, and career planning services are available;
(4) services provided give persons with mental illness the information needed
to make informed choices about employment expectations and options, including
information on the types of employment available in the local community, the types of
employment services available, the impact of employment on eligibility for governmental
benefits, and career options;
(5) programs assess whether persons with mental illness being serviced are satisfied
with the services and outcomes. Satisfaction assessments shall address at least whether
persons like their jobs, whether quality of life is improved, whether potential for
advancement exists, and whether there are adequate support services in place;
(6) programs encourage persons with mental illness being served to be involved in
employment support services issues by allowing them to participate in the development of
individual rehabilitation plans and to serve on boards, committees, task forces, and review
bodies that shape employment services policies and that award grants, and by encouraging
and helping them to establish and participate in self-help and consumer advocacy groups;
(7) programs encourage employers to expand employment opportunities for
persons with mental illness and, to maximize the hiring of persons with mental illness,
educate employers about the needs and abilities of persons with mental illness and the
requirements of the Americans with Disabilities Act;
(8) programs encourage persons with mental illness, vocational rehabilitation
professionals, and mental health professionals to learn more about current work incentive
provisions in governmental benefits programs;
(9) programs establish and maintain linkages with a wide range of other programs
and services, including educational programs, housing programs, economic assistance
services, community support services, and clinical services to ensure that persons with
mental illness can obtain and maintain employment;
(10) programs participate in ongoing training across agencies and service delivery
systems so that providers in human services systems understand their respective roles,
rules, and responsibilities and understand the options that exist for providing employment
and community support services to persons with mental illness; and
(11) programs work with local communities to expand system capacity to provide
access to employment services to all persons with mental illness who want them.
Sec. 22. [383D.412] DAKOTA COUNTY COMMUNITY DEVELOPMENT
86.12AGENCY; MINNESOTA INVESTMENT FUND.
86.13 Subdivision 1. Treatment. As long as the conditions set forth in subdivision 2 are met
86.14and notwithstanding the provisions of section 116J.8731, the Dakota County Community
86.15Development Agency will be treated as if it were a general purpose local governmental unit
86.16and may apply for and receive state-funded money from the Minnesota investment fund.
86.17 Subd. 2. Conditions precedent. Conditions precedent to the treatment of the
86.18Dakota County Community Development Agency as a general purpose local governmental
86.19unit as described in subdivision 1 are:
86.20(a) the board of commissioners of Dakota County shall have adopted a resolution
86.21approving such treatment of the Dakota County Community Development Agency, and
86.22such resolution shall be in full force and effect and shall not have been revoked by
86.23Dakota County; and
86.24(b) the members of the board of commissioners of Dakota County shall be the same
86.25persons as the members of the board of commissioners of the Dakota County Community
Sec. 23. EMPLOYMENT SUPPORT AND INDEPENDENT LIVING SERVICES
86.28FOR INDIVIDUALS WITH HIGH-FUNCTIONING AUTISM, ASPERGER'S
86.29SYNDROME, NONVERBAL LEARNING DISORDERS, AND PERVASIVE
86.30DEVELOPMENT DISORDER, NOT OTHERWISE SPECIFIED; PILOT
86.32 Subdivision 1. Definitions. (a) For the purposes of this section, the following terms
86.33have the meanings given them.
87.1(b) "Communication" means the ability to effectively give and receive information
87.2through spoken words, writing, speaking, listening, or other means of communication,
87.3including but not limited to nonverbal expressions, gestures, or other adaptive methods.
87.4(c) "Functional areas" means communication, interpersonal skills, mobility, self-care,
87.5self-direction, preemployment skills, work tolerance, and independent living skills.
87.6(d) "Independent living assessment" means an active, performance-based skill
87.7assessment in the functional areas of communication, interpersonal skills, mobility,
87.8self-care, self-direction, preemployment skills, and independent living skills, that provides
87.9an analysis of the individual's ability to independently achieve certain skills and which
87.10is performed through direct observation.
87.11(e) "Interpersonal skills" means the ability to establish and maintain personal,
87.12family, work, and community relationships.
87.13(f) "Mobility" means the physical and psychological ability to move about from
87.14place to place, including travel to and from destinations in the community for activities
87.15of daily living, training, or work.
87.16(g) "Natural supports" means the process of assisting an employer to expand its
87.17capacity for training, supervising, and supporting workers with disabilities.
87.18(h) "Ongoing employment support services" means any of the following services:
87.19(1) facilitation of natural supports at the work site;
87.20(2) disability awareness training for the worker, the worker's employer, supervisor,
87.22(3) services necessary to increase the worker's inclusion at the work site;
87.23(4) job skills training at the work site;
87.24(5) regular observation or supervision of the worker;
87.25(6) coordination of support services;
87.26(7) job-related safety training;
87.27(8) job-related advocacy skills training to advance employment;
87.28(9) training in independent living skills and support including self-advocacy, money
87.29management and organization, grooming and personal care, communication, interpersonal
87.30skills, problem solving, orientation and mobility, and using public transportation or
87.32(10) follow-up services necessary to reinforce and stabilize employment, including
87.33regular contact with the worker's employer, supervisor or coworkers, parents, family
87.34members, advocates, legal representatives, other suitable professionals, and informed
87.36(11) training in job seeking skills; and
88.1(12) internships or career planning to assist the individual's advancement in
88.3(i) "Preemployment skills" means the abilities and skills to successfully apply for,
88.4secure, and maintain competitive employment.
88.5(j) "Self-care" means skills needed to manage one's self or living environment,
88.6including but not limited to money management, personal health care, personal hygiene,
88.7and safety needs, including medication management.
88.8(k) "Self-direction" means the ability to plan, initiate, organize, or carry out
88.9goal-directed activities or solve problems related to self-care, socialization, recreation, and
88.11(l) "Severe impairment to employment" means limitations experienced by persons
88.12diagnosed with high-functioning autism, Asperger's syndrome, nonverbal learning
88.13disorders, or pervasive development disorder, not otherwise specified, due to an extended
88.14history of unemployment or underemployment; limited education, training, or job skills;
88.15and physical, intellectual, or emotional characteristics that seriously impair the individual's
88.16ability to obtain and retain permanent employment.
88.17(m) "Work tolerance" means the ability to effectively and efficiently perform jobs
88.18with various levels of sensory and environmental components including scent, noise,
88.19visual stimuli, physical space, and psychological demands.
88.20 Subd. 2. Employment support plan and outcomes. An individual participating in
88.21the program under this section must develop an employment support plan that includes:
88.22(1) employment goals;
88.23(2) ongoing support services;
88.24(3) program outcomes that focus on competitive employment in the community; and
88.25(4) ongoing independent living services and employment supports necessary for the
88.26individual to secure, maintain, and advance in employment that best fits the individual's
88.27strengths and career goals.
Sec. 24. CUSTOMIZED TRAINING PILOT PROGRAM FOR SKILLED
88.30 Subdivision 1. Program. The commissioner of employment and economic
88.31development in consultation with the commissioner of labor and industry shall collaborate
88.32with Minnesota State Colleges and Universities (MnSCU) institutions and employers,
88.33to develop a customized training program for skilled manufacturing industries that
88.34integrates academic instruction and job-related learning in the workplace and MnSCU
88.35institutions. The commissioner shall actively recruit participants in a customized training
89.1program for skilled manufacturing industries from the following groups: secondary and
89.2postsecondary school systems; individuals with disabilities; dislocated workers; retired
89.3and disabled veterans; individuals enrolled in MFIP under Minnesota Statutes, chapter
89.4256J; minorities; previously incarcerated individuals; individuals residing in labor surplus
89.5areas as defined by the United States Department of Labor; and any other disadvantaged
89.6group as determined by the commissioner.
89.7 Subd. 2. Definitions. (a) For the purposes of this section, the terms defined in this
89.8subdivision have the meanings given them.
89.9(b) "Commissioner" means the commissioner of employment and economic
89.11(c) "Employer" means a skilled manufacturing industry employer within the state
89.12who enters into the agreements with MnSCU institutions and the commissioner under
89.13subdivisions 3 to 5.
89.14(d) "MnSCU institution" means Alexandria Technical and Community College,
89.15Century College, Hennepin Technical College, and Central Lakes College.
89.16(e) "Participant" means an employee who enters into a customized training program
89.17for skilled manufacturing industries participation agreement under subdivision 4.
89.18(f) "Related instruction" means classroom instruction or technical or vocational
89.19training required to perform the duties of the skilled manufacturing job.
89.20(g) "Skilled manufacturing" means occupations in manufacturing industry sectors 31
89.21to 33 as defined by the North American Industry Classification System (NAICS).
89.22 Subd. 3. Skilled manufacturing customized training program employer
89.23agreement. (a) The commissioner, employer, and MnSCU institution shall enter into a
89.24skilled manufacturing customized training program employer agreement that is specific to
89.25the identified skilled manufacturing training needs of an employer.
89.26(b) The agreement must contain the following:
89.27(1) the name of the employer;
89.28(2) a statement showing the number of hours to be spent by a participant in work and
89.29the number of hours to be spent, if any, in concurrent, supplementary instruction in related
89.30subjects. The maximum number of hours of work per week, not including time spent in
89.31related instruction, for any participant shall not exceed either the number prescribed by
89.32law or the customary regular number of hours per week for the employees of the employer.
89.33A participant may be allowed to work overtime provided that the overtime work does not
89.34conflict with supplementary instruction course attendance. All time spent by the participant
89.35in excess of the number of hours of work per week as specified in the skilled manufacturing
89.36customized training program participation agreement shall be considered overtime;
90.1(3) the hourly wage to be paid to the participant and requirements for reporting to
90.2the commissioner on actual wages paid to the participant;
90.3(4) an explanation of how the employer agreement or participant agreement may
90.5(5) a statement setting forth a schedule of the processes in the occupation in which
90.6the participant is to be trained and the approximate time to be spent at each process;
90.7(6) a statement by the MnSCU institution and the employer describing the related
90.8instruction that will be offered, if any, under subdivision 5, paragraph (c); and
90.9(7) any other provision the commissioner deems necessary to carry out the purposes
90.10of this section.
90.11(c) The commissioner may periodically review the adherence to the terms of the
90.12customized training program employer agreement. If the commissioner determines that
90.13an employer or employee has failed to comply with the terms of the agreement, the
90.14commissioner shall terminate the agreement. An employer must report to the commissioner
90.15any change in status for the participant within 30 days of the change in status.
90.16 Subd. 4. Skilled manufacturing customized training program participation
90.17agreement. (a) The commissioner, the prospective participant, and the employer shall
90.18enter into a skilled manufacturing customized training program participation agreement
90.19that is specific to the training to be provided to the participant.
90.20(b) The participation agreement must contain the following:
90.21(1) the name of the employer;
90.22(2) the name of the participant;
90.23(3) a statement setting forth a schedule of the processes of the occupation in which
90.24the participant is to be trained and the approximate time to be spent at each process;
90.25(4) a description of any related instruction;
90.26(5) a statement showing the number of hours to be spent by a participant in work and
90.27the number of hours to be spent, if any, in concurrent, supplementary instruction in related
90.28subjects. The maximum number of hours of work per week, not including time spent in
90.29related instruction, for any participant shall not exceed either the number prescribed
90.30by law or the customary regular number of hours per week for the employees of the
90.31employer. A participant may be allowed to work overtime provided that the overtime
90.32work does not conflict with supplementary instruction course attendance. All time spent
90.33by the participant in excess of the number of hours of work per week as specified in the
90.34customized training program participation agreement shall be considered overtime;
90.35(6) the hourly wage to be paid to the participant; and
90.36(7) an explanation of how the parties may terminate the participation agreement.
91.1(c) The commissioner may periodically review the adherence to the terms of the
91.2customized training program participation agreement. If the commissioner determines
91.3that an employer or participant has failed to comply with the terms of the agreement, the
91.4commissioner shall terminate the agreement. An employer must report to the commissioner
91.5any change in status for the participant within 30 days of the change in status.
91.6 Subd. 5. MnSCU instruction. (a) MnSCU institutions shall collaborate with
91.7an employer to provide related instruction which the employer deems necessary to
91.8instruct participants of a skilled manufacturing customized training program. The related
91.9instruction provided must be, for the purposes of this section, career-level, as negotiated
91.10by the commissioner and the MnSCU institution. The related instruction may be for credit
91.11or noncredit, and credit earned may be transferable to a degree program, as determined by
91.12the MnSCU institution.
91.13(b) The commissioner, in conjunction with the MnSCU institution, shall issue a
91.14certificate of completion to a participant who completes all required components of the
91.15skilled manufacturing customized training program participation agreement.
91.16(c) As part of the skilled manufacturing customized training program, an employer
91.17shall collaborate with a MnSCU institution for any related instruction required to perform
91.18the skilled manufacturing job. The agreement shall include:
91.19(1) a detailed explanation of the related instruction; and
91.20(2) the number of hours of related instruction needed to receive a certificate of
Sec. 25. SKILLED MANUFACTURING REPORTS.
91.23(a) The commissioner of employment and economic development shall study the
91.24training needs of skilled manufacturing industry employers in the state and report study
91.25findings and recommendations to the standing committees of the house of representatives
91.26and the senate having jurisdiction over employment and workforce development by
91.27March 1, 2014.
91.28(b) The commissioner of employment and economic development shall coordinate
91.29and monitor customized training programs for skilled manufacturing industries at Century
91.30College, Alexandria Technical and Community College, Hennepin Technical College, and
91.31Central Lakes College. By January 15, 2015, the commissioner, in conjunction with
91.32each MnSCU institution listed in this section, shall report to the standing committees
91.33of the house of representatives and the senate having jurisdiction over employment
91.34and workforce development. The report must address the progress and success of the
91.35implementation of a customized training program for skilled manufacturing industries
92.1at each MnSCU institution. The report must give recommendations on where a skilled
92.2manufacturing customized training program should next be implemented, taking into
92.3consideration all current and potential skilled manufacturing training providers available.
Sec. 26. STATE BROADBAND STRATEGY; REPORT.
92.5The Office of Broadband Development shall conduct research and produce a report
92.6recommending a set of programs and strategies the state can pursue to promote the
92.7improvement, more efficient and effective use, and expansion of broadband services in
92.8ways that will have the greatest impact on the state's economic development, by which is
92.9meant enhancing the ability of Minnesota citizens and businesses to develop their skills,
92.10to expand businesses to new markets, develop new products, reach more customers, and
92.11lower costs. While the state's broadband goals in Minnesota Statutes, section 237.012,
92.12address the universal provision of greater broadband access and speed statewide, this report
92.13must consider broadband as an economic development tool and must examine and analyze:
92.14(1) how the state can best use its limited resources to adopt strategies and make
92.15investments to improve the use of broadband services by subgroups of broadband users,
92.16including mobile broadband users, that promise to deliver the greatest economic impact
92.17per dollar of state investment;
92.18(2) roles the state can play in addition to financial assistance for broadband
92.19infrastructure, including supporting education and training for Minnesotans to enable
92.20them to use broadband more effectively; and
92.21(3) strategies and opportunities for state investment to leverage additional amounts
92.22of private capital and financial assistance from the federal government in order to achieve
92.24By January 15, 2014, the office shall submit the report to the chairs and ranking minority
92.25members of the senate and house of representatives committees with jurisdiction over
92.27EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 27. PILOT PROGRAMS; COMBINING CAREER AND HIGHER
92.30The workforce council in each of the workforce service areas of Hennepin/Carver,
92.31Northeast Minnesota, Stearns/Benton, and rural Minnesota CEP must with at least one
92.32public school district in its service area, cooperate in operating a program to assist high
92.33school students in selecting careers of interest to a student and a postsecondary path to
93.1prepare for that career. The local workforce council shall individually advise a student on
93.2jobs in high demand in areas of interest to a student. Advising must include information
93.3on various career paths and associated jobs, the salary profile of those jobs, and the
93.4credentials and other training desired by employers for those jobs. A district may assist
93.5the local workforce council by, among other activities:
93.6(1) describing to the local workforce council what kind of vocational exploration the
93.7student already received;
93.8(2) identifying opportunities for the council to assist students by providing office
93.9space at school to meet with students, access to assemblies and other groups for testing
93.10and career exploration, access to teachers through in-service and in other manners, to
93.11support students to use a pilot program; and
93.12(3) working with students after testing and advising by the local workforce council.
Sec. 28. REPEALER.
93.14Minnesota Statutes 2012, section 237.012, subdivision 3, is repealed.
Section 1. Minnesota Statutes 2012, section 116L.17, subdivision 4, is amended to read:
Subd. 4. Use of funds.
Funds granted by the board under this section may be used
for any combination of the following, except as otherwise provided in this section:
(1) employment transition services such as developing readjustment plans for
individuals; outreach and intake; early readjustment; job or career counseling; testing;
orientation; assessment of skills and aptitudes; provision of occupational and labor market
information; job placement assistance; job search; job development; prelayoff assistance;
programs provided in cooperation with employers or labor
organizations to provide early intervention in the event of plant closings or substantial
layoffs; and entrepreneurial training and business consulting;
(2) support services, including assistance to help the participant relocate to employ
existing skills; out-of-area job search assistance; family care assistance, including child
care; commuting assistance; emergency housing and rental assistance; counseling
assistance, including personal and financial; health care; emergency health assistance;
emergency financial assistance; work-related tools and clothing; and other appropriate
support services that enable a person to participate in an employment and training program
with the goal of reemployment;
(3) specific, short-term training to help the participant enhance current skills
in a similar occupation or industry; entrepreneurial training, customized training, or
on-the-job training; basic and remedial education to enhance current skills; and literacy
and work-related English training for non-English speakers; and
(4) long-term training in a new occupation or industry, including occupational skills
training or customized training in an accredited program recognized by one or more
relevant industries. Long-term training shall only be provided to dislocated workers
whose skills are obsolete and who have no other transferable skills likely to result in
employment at a comparable wage rate. Training shall only be provided for occupations or
industries with reasonable expectations of job availability based on the service provider's
thorough assessment of local labor market information where the individual currently
resides or is willing to relocate. This clause shall not restrict training in personal services
or other such industries.
Sec. 2. Minnesota Statutes 2012, section 116L.17, is amended by adding a subdivision
94.16 Subd. 11. Converting layoffs into Minnesota businesses (CLIMB). Converting
94.17layoffs into Minnesota businesses (CLIMB) is created to assist dislocated workers in
94.18starting or growing a business. CLIMB must offer entrepreneurial training, business
94.19consulting, and technical assistance to dislocated workers seeking to start or grow a
94.20business. The commissioner, in cooperation with local workforce councils, must provide
94.21the assistance in this subdivision by:
94.22(1) encouraging closer ties between the Small Business Development Center
94.23network, Small Business Development Center training providers, and workforce centers,
94.24as well as other dislocated worker program service providers; and
94.25(2) eliminating grantee performance data disincentives that would otherwise prevent
94.26enrollment of dislocated workers in entrepreneurship-related training.
Sec. 3. Minnesota Statutes 2012, section 268.051, subdivision 5, is amended to read:
Subd. 5. Tax rate for new employers.
(a) Each new taxpaying employer that does
not qualify for an experience rating under subdivision 3, except new employers in a high
experience rating industry, must be assigned, for a calendar year, a tax rate the higher of
(1) one percent, or (2) the tax rate computed, to the nearest 1/100 of a percent, by dividing
the total amount of unemployment benefits paid all applicants during the 48 calendar
months ending on June 30 of the prior calendar year by the total taxable wages of all
taxpaying employers during the same period, plus the applicable base tax rate and any
additional assessments under subdivision 2, paragraph (c).
(b) Each new taxpaying employer in a high experience rating industry that does not
qualify for an experience rating under subdivision 3, must be assigned, for a calendar year,
a tax rate the higher of (1) that assigned under paragraph (a), or (2) the tax rate, computed
to the nearest 1/100 of a percent, by dividing the total amount of unemployment benefits
paid to all applicants from high experience rating industry employers during the 48
calendar months ending on June 30 of the prior calendar year by the total taxable wages
of all high experience rating industry employers during the same period, to a maximum
provided for under subdivision 3, paragraph (b), plus the applicable base tax rate and any
additional assessments under subdivision 2, paragraph (c).
(c) An employer is considered to be in a high experience rating industry if:
(1) the employer is engaged in residential, commercial, or industrial construction,
including general contractors;
(2) the employer is engaged in sand, gravel, or limestone mining;
(3) the employer is engaged in the manufacturing of concrete, concrete products,
or asphalt; or
(4) the employer is engaged in road building, repair, or resurfacing, including bridge
and tunnels and residential and commercial driveways and parking lots.
(d) Regardless of any law to the contrary, a taxpaying employer must be assigned a
tax rate under this subdivision if
registers for a tax account under section
268.042 and for each of
95.23 the five calendar quarters after registering files a "no wages paid" report on wage detail
95.24 under section
268.044 ; or had no taxable wages during the experience rating period under
95.26 (2) the employer has filed 14 consecutive quarterly "no wages paid" reports on
95.27 wage detail under section
(e) The commissioner must send to the new employer, by mail or electronic
transmission, a determination of tax rate. An employer may appeal the determination of
tax rate in accordance with the procedures in subdivision 6, paragraph (c).
95.31EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2012, section 268.07, subdivision 3b, is amended to read:
Subd. 3b. Limitations on applications and benefit accounts.
(a) An application for
unemployment benefits is effective the Sunday of the calendar week that the application
was filed. An application for unemployment benefits may be backdated one calendar week
before the Sunday of the week the application was actually filed if the applicant requests
the backdating at the time the application is filed. An application may be backdated only if
had no employment was unemployed
during the period of the backdating.
If an individual attempted to file an application for unemployment benefits, but was
prevented from filing an application by the department, the application is effective the
Sunday of the calendar week the individual first attempted to file an application.
(b) A benefit account established under subdivision 2 is effective the date the
application for unemployment benefits was effective.
(c) A benefit account, once established, may later be withdrawn only if:
(1) the applicant has not been paid any unemployment benefits on that benefit
(2) a new application for unemployment benefits is filed and a new benefit account is
established at the time of the withdrawal.
A determination or amended determination of eligibility or ineligibility issued under
, that was sent before the withdrawal of the benefit account, remains in
effect and is not voided by the withdrawal of the benefit account.
(d) An application for unemployment benefits is not allowed before the Sunday
following the expiration of the benefit year on a prior benefit account. Except as allowed
under paragraph (c), an applicant may establish only one benefit account each 52 calendar
Sec. 5. Minnesota Statutes 2012, section 268.125, subdivision 1, is amended to read:
Subdivision 1. Additional unemployment benefits; when available.
unemployment benefits are available if:
(1) MS 2008 [Expired, 2008 c 300 s 15]
(2)(i) at a facility that had 100 or more employees, the employer reduced operations,
resulting within a one-month period in the layoff of 50 percent or more of the facility's
work force, including reductions caused as a result of a major natural disaster declared by
(ii) the employer has no expressed plan to resume operations that would lead to the
reemployment of those employees in the immediate future; and
(iii) the seasonally adjusted unemployment rate in the county that the facility is
located was ten percent or more during the month of the reduction or any of the three
months before or after the month of the reduction; or
97.1 (3) the applicant stopped working because of a lockout. The term "lockout" has the
97.2meaning given in section 179.01, subdivision 9
. This clause does not apply to professional
97.3athletes who are locked out by a professional sports team.
97.4EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 6. Minnesota Statutes 2012, section 268.125, subdivision 3, is amended to read:
Subd. 3. Eligibility conditions. (a)
An applicant is eligible to receive additional
unemployment benefits for any week during the applicant's benefit year if:
(1) for any week during which benefits are available under subdivision 1, clause (1):
97.9 (i) the applicant resides in a county that meets the requirements of subdivision 1,
97.10 clause (1), and resided in that county each week that regular unemployment benefits
97.11 were paid;
97.12 (ii) the applicant was not paid unemployment benefits for any week in the 12 months
97.13 before the effective date of the applicant's benefit account;
97.14 (iii) the applicant meets the same eligibility requirements that are required for
97.15 regular unemployment benefits under section
268.069 ; and
97.16 (iv) MS 2008 [Expired, 2008 c 300 s 17]
97.17 (2) (1)
the applicant was laid off from employment as a result of a reduction under
subdivision 1, clause (2), or was laid off because of lack of work from that employer
during the three-month period before, or the three-month period after, the month of the
reduction under subdivision 1, clause (2);
the applicant meets the same eligibility requirements that are required for
regular unemployment benefits under section
the applicant has exhausted regular unemployment benefits under section
, is not entitled to receive extended unemployment benefits under section
and is not entitled to receive unemployment benefits under any other state or federal law
for that week; and
a majority of the applicant's wage credits were from the employer that had a
reduction in operations under subdivision 1, clause (2).
97.29(b) An applicant who stopped working because of a lockout is eligible to receive
97.30additional unemployment benefits for any week if:
97.31(1) the applicant meets the eligibility requirements under section 268.069;
97.32(2) the applicant has exhausted regular unemployment benefits under section 268.07
97.33or the law of another state;
97.34(3) the applicant is not eligible for extended unemployment benefits or
97.35unemployment benefits under any federal law; and
98.1(4) the lockout is in active progress.
98.2Section 268.085, subdivision 1, clause (2), does not apply to this paragraph.
98.3EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 7. Minnesota Statutes 2012, section 268.125, subdivision 4, is amended to read:
Subd. 4. Weekly unemployment benefit amount.
An applicant's weekly additional
unemployment benefit amount is the same as the applicant's weekly regular
during the current benefit year
98.8EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 8. Minnesota Statutes 2012, section 268.125, subdivision 5, is amended to read:
Subd. 5. Maximum amount of unemployment benefits. (a) For an applicant
98.11who qualifies for additional unemployment benefits under subdivision 1, clause (2),
maximum amount of additional unemployment benefits available in the applicant's benefit
year is one-half of the applicant's maximum amount of regular unemployment benefits
available under section
268.07, subdivision 2
. Extended unemployment benefits paid and
unemployment benefits paid under any federal law other than regular unemployment
benefits must be deducted from the maximum amount of additional unemployment
98.18(b) For an applicant who qualifies for additional unemployment benefits under
98.19subdivision 1, clause (3), the applicant may receive additional unemployment benefits for
98.20up to 26 weeks so long as the lockout is in active progress.
98.21EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 9. [268.133] UNEMPLOYMENT BENEFITS WHILE IN
98.24Unemployment benefits are available to dislocated workers participating in the
98.25converting layoffs into Minnesota businesses (CLIMB) program under section 116L.17,
98.26subdivision 11. Applicants participating in CLIMB are considered in reemployment
98.27assistance training under section 268.035, subdivision 21c. All requirements under section
98.28268.069, subdivision 1, must be met, except the commissioner may waive:
98.29(1) the deductible earnings provisions in section 268.085, subdivision 5; and
98.30(2) the 32 hours of work limitation in section 268.085, subdivision 2, clause (6). A
98.31maximum of 500 applicants may receive a waiver at any given time.
Sec. 10. Minnesota Statutes 2012, section 268.136, subdivision 1, is amended to read:
Subdivision 1. Shared work
agreement plan requirements. (a)
may submit a proposed shared work plan for an employee group to the commissioner
for approval in a manner and format set by the commissioner. The proposed
99.5 shared work plan
(1) a certified statement that the normal weekly hours of work of all of the proposed
participating employees were full time or regular part time
but are now reduced, or will be
reduced, with a corresponding reduction in pay, in order to prevent layoffs;
(2) the name and Social Security number of each participating employee;
(3) the number of layoffs that would have occurred absent the employer's ability to
99.11participate in a shared work plan;
a certified statement
of when that
each participating employee was first hired by
, which must be
at least one year before the proposed
agreement shared work
is submitted and is not a seasonal, temporary, or intermittent worker
the hours of work each participating employee will work each week for
the duration of the
agreement shared work plan
, which must be at least
20 50 percent
99.17of the normal weekly
no more than
32 hours per week 90 percent of the
99.18normal weekly hours
, except that the
may provide for a uniform vacation
shutdown of up to two weeks;
99.20(6) a certified statement that any health benefits and pension benefits provided by
99.21the employer to participating employees will continue to be provided under the same
99.22terms and conditions as though the participating employees' hours of work each week had
99.23not been reduced;
99.24(7) a certified statement that the terms and implementation of the shared work plan is
99.25consistent with the employer's obligations under state and federal law;
99.26(8) an acknowledgement that the employer understands that unemployment benefits
99.27paid under a shared work plan will be used in computing the future tax rate of a taxpaying
99.28employer or charged to the reimbursable account of a nonprofit or government employer;
the proposed duration of the
agreement shared work plan
, which must be
at least two months and not more than one year, although
an agreement a plan
extended for up to an additional year upon approval of the commissioner;
a starting date beginning on a Sunday at least 15 calendar days after the date
agreement shared work plan
is submitted; and
a signature of an owner or officer of the employer who is listed as an owner
or officer on the employer's account under section
(b) An agreement may not be approved for an employer that:
100.1 (1) has any unemployment tax or reimbursements, including any interest, fees,
100.2 or penalties, due but unpaid; or
100.3 (2) has the maximum experience rating provided for under section
100.4 subdivision 3.
Sec. 11. Minnesota Statutes 2012, section 268.136, subdivision 2, is amended to read:
Agreement Approval by commissioner.
(a) The commissioner must
promptly review a proposed
agreement shared work plan
and notify the employer, by mail
or electronic transmission, within 15 days of receipt, whether the proposal satisfies the
requirements of this section and has been approved
. If the proposal does not comply
with this section, the commissioner must specifically state why the proposal is not in
compliance. If a proposed
agreement complies with this section shared work plan has
, it must be implemented according to its terms.
(b) The commissioner may
reject an agreement not approve a proposed shared work
if the commissioner has cause to believe the proposal
is not was
of other than
preventing layoffs due to lack of work.
100.16(c) The commissioner may not approve a proposed shared work plan if the employer
100.17has any unemployment tax or reimbursements, including any interest, fees, or penalties,
100.18due but unpaid.
100.19(d) A shared work plan that has been approved by the commissioner is considered
100.20a contract that is binding on the employer and the department. This contract may be
100.21canceled or modified under subdivision 5.
Sec. 12. Minnesota Statutes 2012, section 268.136, is amended by adding a subdivision
100.24 Subd. 2a. Notice to participating employee. The employer must provide written
100.25notification to each participating employee that the employer has submitted a proposed
100.26shared work plan. The notification must be provided to the employee no later than the
100.27time the commissioner notifies the employer that a proposed shared work plan has been
100.28approved. The notification must inform the employee of the proposed terms of the
100.29shared work plan along with notice to the employee of the employee's right to apply for
Sec. 13. Minnesota Statutes 2012, section 268.136, subdivision 3, is amended to read:
Subd. 3. Applicant requirements.
(a) An applicant, in order to be paid
unemployment benefits under this section, must meet all of the requirements under section
101.1268.069, subdivision 1
. The following provisions of section 268.085
do not apply to an
under this section in an approved shared work plan
provision of section
268.085 , under
(2) the restriction under
6 2, clause (6)
, if the applicant
works exactly 32 hours in a week;
(3) the requirement of being available for suitable employment under subdivision 1,
101.7clause (4), but only if the applicant is (i) available for the normal hours of work per week
101.8with the shared work employer, or (ii) is in a training program when not working
(4) the requirement of actively seeking suitable employment under subdivision
101.101, clause (5)
(b) An applicant is ineligible for unemployment benefits under this section for
any week, if
the applicant works more than 32 hours in a week in employment with one or
101.15 (2) the applicant works more hours in a week for the shared work employer than
101.16 the reduced weekly hours provided for in the agreement.
Sec. 14. Minnesota Statutes 2012, section 268.136, subdivision 4, is amended to read:
Subd. 4. Amount of unemployment benefits available. (a)
The weekly benefit
amount and maximum amount of unemployment benefits available are computed
according to section
, except that
an applicant is paid the amount of benefits
a reduced amount in direct proportion to the reduction in hours set out in the
101.22shared work plan
from the lesser of (1) 40 hours per week; or (2)
the normal weekly hours.
101.23(b) Regardless of paragraph (a), if the applicant works more hours or less hours in a
101.24week for the shared work employer than provided for in the shared work plan, the amount
101.25of unemployment benefits available is in direct proportion to the reduction in hours
101.26actually worked from the lesser of (1) 40 hours per week; or (2) the normal weekly hours.
Sec. 15. Minnesota Statutes 2012, section 268.136, subdivision 5, is amended to read:
Subd. 5. Cancellation; modification.
(a) An employer may cancel
an agreement a
101.29shared work plan
at any time upon seven calendar days' notice to the commissioner in a
manner and format prescribed by the commissioner. The cancellation must be signed by
an owner or officer of the employer.
101.32(b) An employer may request that the commissioner allow modification of the shared
101.33work plan as to the hours of work each participating employee will work each week. The
101.34request must be sent in a manner and form prescribed by the commissioner. The request
102.1must be signed by an owner or officer of the employer. The commissioner must notify the
102.2employer as soon as possible if the modification is allowed.
An employer that cancels
an agreement or requests modification of a shared
must provide written notice to each participating employee
in the group
cancellation or requested modification
at the time notice is sent to the commissioner.
If an employer cancels
an agreement a shared work plan
before the expiration
date provided for in subdivision 1, a new
agreement shared work plan
may not be
102.8 into with approved for
that employer under this section for at least 60 calendar days.
The commissioner may immediately cancel any
agreement shared work plan
if the commissioner determines the
was based upon false information or
is in breach has failed to adhere to the terms
contract shared work plan
The commissioner must immediately send written notice of cancellation to the employer.
An employer that receives notice of cancellation
by the commissioner
written notice to each participating
employer in the group employee
of the cancellation.
Sec. 16. Minnesota Statutes 2012, section 268.23, is amended to read:
In the event that If
the United States Department of Labor or a court of competent
determines that any provision of the Minnesota Unemployment Insurance
, or any other provision of Minnesota Statutes relating to the unemployment insurance
is not in conformity with, or is inconsistent with,
the requirements of federal
law, the provision has no force or effect
If only a portion of the provision, or
the application to any person or circumstances, is
not in conformity,
102.23 or determined inconsistent,
the remainder of the provision and the application of the
provision to other persons or circumstances are not affected.
Sec. 17. Laws 2012, chapter 201, article 1, section 3, the effective date, is amended to
This section is effective July 1, 2012, except the amendments
to paragraph (d) are effective for penalties
on or after July 1, 2013.
102.29EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 18. UNEMPLOYMENT INSURANCE EMPLOYER TAX REDUCTION.
102.31(a) Notwithstanding Minnesota Statutes, section 268.051, subdivision 2, if, on
102.32September 30, 2013, the balance in the Minnesota Unemployment Trust Fund is more than
103.1$800,000,000, the base tax rate for calendar year 2014 is 0.1 percent, and there will be no
103.2additional assessment assigned. If, on September 30, 2014, the balance in the Minnesota
103.3Unemployment Trust Fund is more than $900,000,000, the base tax rate for calendar year
103.42015 is 0.1 percent, and there will be no additional assessment assigned.
103.5(b) This section expires December 31, 2015.
Sec. 19. COMMISSIONER AUTHORIZED TO REQUEST SHARED WORK
103.8The commissioner of employment and economic development is authorized to
103.9request federal funding for Minnesota's shared work unemployment benefit program
103.10under Minnesota Statutes, section 268.136. Federal funding is available under the Middle
103.11Class Tax Relief and Job Creation Act of 2012, Public Law 112-96. Federal funding
103.12provided under that act for the shared work program must be immediately deposited in
103.13the Minnesota Unemployment Insurance Trust Fund. The exception under Minnesota
103.14Statutes, section 268.047, subdivision 2, clause (10), does not apply to the federal money.
103.15EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 20. EFFECTIVE DATE.
103.17Unless otherwise specified, this article is effective for shared work plans approved
103.18on or after July 1, 2013.
Section 1. Minnesota Statutes 2012, section 16B.122, subdivision 2, is amended to read:
Subd. 2. Purchases; printing.
(a) Whenever practicable, a public entity shall:
(1) purchase uncoated office paper and printing paper;
(2) purchase recycled content paper with at least ten percent postconsumer material
(3) purchase paper which has not been dyed with colors, excluding pastel colors;
(4) purchase recycled content paper that is manufactured using little or no chlorine
bleach or chlorine derivatives;
(5) use no more than two colored inks, standard or processed, except in formats
where they are necessary to convey meaning;
(6) use reusable binding materials or staples and bind documents by methods that do
not use glue;
(7) use soy-based inks;
(8) produce reports, publications, and periodicals that are readily recyclable within
the state resource recovery program; and
104.4(9) purchase paper which has been made on a paper machine located in Minnesota
(b) Paragraph (a), clause (1), does not apply to coated paper that is made with at
least 50 percent postconsumer material.
(c) A public entity shall print documents on both sides of the paper where commonly
accepted publishing practices allow.
(d) Notwithstanding paragraph (a), clause (2), and section
, copier paper
purchased by a state agency must contain at least ten percent postconsumer material by
Sec. 2. Minnesota Statutes 2012, section 154.001, is amended by adding a subdivision
104.14 Subd. 4. Comprehensive examination. "Comprehensive examination" means all
104.15parts of a test administered by the board, including but not limited to written, oral, and
Sec. 3. Minnesota Statutes 2012, section 154.003, is amended to read:
(a) The fees collected, as required in this chapter, chapter 214, and the rules of the
board, shall be paid to the board. The board shall deposit the fees in the general fund
in the state treasury.
(b) The board shall charge the following fees:
(1) examination and certificate, registered barber, $85;
104.24(2) retake of written examination, registered barber, $10;
examination and certificate, apprentice, $80;
104.26(4) retake of written examination, apprentice, $10;
examination, instructor, $180;
certificate, instructor, $65;
temporary teacher or apprentice permit, $80;
renewal of license, registered barber, $80;
renewal of license, apprentice, $70;
renewal of license, instructor, $80;
renewal of temporary teacher permit, $65;
student permit, $45;
105.1(13) renewal of student permit, $25;
initial shop registration, $85;
initial school registration, $1,030;
renewal shop registration, $85;
renewal school registration, $280;
restoration of registered barber license, $95;
restoration of apprentice license, $90;
restoration of shop registration, $105;
change of ownership or location, $55;
duplicate license, $40;
105.11 (20) (23)
home study course,
105.12(24) letter of license verification, $25; and
105.13(25) reinspection, $100
Sec. 4. Minnesota Statutes 2012, section 154.02, is amended to read:
105.15154.02 WHAT CONSTITUTES BARBERING.
Any one or any combination of the following practices when done upon the head
and neck for cosmetic purposes and not for the treatment of disease or physical or mental
ailments and when done for payment directly or indirectly or without payment for the
public generally constitutes the practice of barbering within the meaning of sections
to shave the face or neck
, trim the beard, cut or bob the hair of any person of either sex
for compensation or other reward received by the person performing such service or any
other person; to give facial and scalp massage or treatments with oils, creams, lotions,
or other preparations either by hand or mechanical appliances; to singe, shampoo the
hair, or apply hair tonics; or to apply cosmetic preparations, antiseptics, powders, oils,
clays, or lotions to hair,
scalp, face, or neck.
Sec. 5. Minnesota Statutes 2012, section 154.05, is amended to read:
105.28154.05 WHO MAY RECEIVE CERTIFICATES OF REGISTRATION AS A
A person is qualified to receive a certificate of registration as a registered barber:
(1) who is qualified under the provisions of section
(2) who has practiced as a registered apprentice for a period of 12 months under the
immediate personal supervision of a registered barber; and
(3) who has passed an examination conducted by the board to determine fitness to
applicant for a certificate of registration to practice as a registered
barber who fails to pass the comprehensive
examination conducted by the board and
106.5who fails to pass a onetime retake of the written examination,
shall continue to practice
as an apprentice for an additional
two months 300 hours
again entitled to
106.7 take eligible to retake
for a registered barber as many
106.8times as necessary to pass
Sec. 6. Minnesota Statutes 2012, section 154.06, is amended to read:
106.10154.06 WHO MAY RECEIVE CERTIFICATES OF REGISTRATION AS A
A person is qualified to receive a certificate of registration as a registered apprentice:
(1) who has completed at least ten grades of an approved school;
(2) who has graduated from a barber school approved by
the a barber
106.15the previous four years
(3) who has passed an examination conducted by the board to determine fitness to
practice as a registered apprentice. An applicant who graduated from a barber school
106.18approved by a barber board more than four years prior to application is required to
106.19complete a further course of study of at least 500 hours.
An applicant for
a an initial
certificate of registration to practice as an apprentice,
who fails to pass the comprehensive
examination conducted by the board, and who fails to
106.22pass a onetime retake of the written examination,
is required to complete a further course
of study of at least 500 hours, of not more than eight hours in any one working day, in a
barber school approved by the board before being eligible to retake the comprehensive
106.25examination as many times as necessary to pass
A certificate of registration of an apprentice shall be valid for four years
106.27 date the certificate of registration is issued by the board
and shall not be renewed for a fifth
. During the four-year period the certificate of registration shall remain in full force
and effect only if the apprentice complies with all the provisions of sections
the payment of an annual fee, and the rules of the board.
If a registered apprentice, during the term in which the certificate of registration is in
effect, enters full-time active duty in the armed forces of the United States of America,
the expiration date of the certificate of registration shall be extended by a period of time
equal to the period or periods of active duty.
107.1If a registered apprentice graduates from a barber school approved by the board and
107.2is issued a certificate of registration while incarcerated by the Department of Corrections
107.3of the Federal Bureau of Prisons, the expiration date of the certificate of registration shall
107.4be extended one time so that it expires four years from the date of first release from a
Sec. 7. Minnesota Statutes 2012, section 154.065, subdivision 2, is amended to read:
Subd. 2. Qualifications.
A person is qualified to receive a certificate of registration
as an instructor of barbering who:
(1) is a graduate
an approved high school, or its equivalent, as determined
by examination by the Department of Education;
qualified for a teacher's or instructor's vocational certificate; successfully
107.12completed vocational instructor training from a board-approved program or accredited
107.13college or university program that includes the following courses or their equivalents as
107.14determined by the board:
107.15(i) introduction to career and technical education training;
107.16(ii) philosophy and practice of career and technical education;
107.17(iii) course development for career and technical education;
107.18(iv) instructional methods for career and technical education; and
107.19(v) human relations;
(3) is currently a registered barber and
has at least three years experience as a
registered barber in this state, or its equivalent as determined by the board; and
(4) has passed an examination conducted by the board to determine fitness to
instruct in barbering.
A certificate of registration under this section is provisional until a teacher's or
107.25 instructor's vocational certificate has been issued by the Department of Education. A
107.26 provisional certificate of registration is valid for 30 days and is not renewable.
Sec. 8. Minnesota Statutes 2012, section 154.07, subdivision 1, is amended to read:
Subdivision 1. Admission requirements; course of instruction.
No barber school
shall be approved by the board unless it requires, as a prerequisite to admission, ten grades
of an approved school or its equivalent, as determined by an examination conducted by
the commissioner of education, which shall issue a certificate that the student has passed
the required examination, and unless it requires, as a prerequisite to graduation, a course
of instruction of at least 1,500 hours, of not more than eight hours in any one working day.
The course of instruction must include the following subjects: scientific fundamentals
for barbering; hygiene; practical study of the hair, skin, muscles, and nerves; structure of
the head, face, and neck; elementary chemistry relating to sterilization and antiseptics;
diseases of the skin, hair, and glands; massaging and manipulating the muscles of the face
and neck; haircutting; shaving; trimming the beard; bleaching, tinting and dyeing the hair;
and the chemical waving and
straightening of hair.
Sec. 9. Minnesota Statutes 2012, section 154.08, is amended to read:
108.7154.08 APPLICATION; FEE.
Each applicant for an examination shall:
(1) make application to the Board of Barber Examiners on blank forms prepared and
furnished by it, the application to contain proof under the applicant's oath of the particular
qualifications and identity
of the applicant;
furnish to the board two five-inch x three-inch signed photographs of the
108.13 applicant, one to accompany the application and one to be returned to the applicant,
108.14 to be presented to the board when the applicant appears for examination provide all
108.15documentation required in support of the application
(3) pay to the board the required fee; and
108.17(4) present a government-issued photo identification as proof of identity upon
108.18application and when the applicant appears for examination
Sec. 10. Minnesota Statutes 2012, section 154.09, is amended to read:
108.20154.09 EXAMINATIONS, CONDUCT AND SCOPE.
The board shall conduct examinations of applicants for certificates of registration to
practice as barbers and apprentices not more than six times each year, at such time and
place as the board may determine. Additional written examinations may be scheduled
108.24by the board and conducted by board staff as designated by the board. The proprietor
108.25of a barber school must file
shall be filed
with the board
by the proprietor
108.26 of a barber school that of hours completed by
students applying to take the apprentice
have completed. Students must complete
1,500 hours in a barber school
registered with approved by
The examination of applicants for certificates of registration as barbers and
apprentices shall include
a practical demonstration and a written and oral test
108.31 embrace. The examination must cover
the subjects usually taught in barber schools
registered with the board.
Sec. 11. Minnesota Statutes 2012, section 154.10, subdivision 1, is amended to read:
Subdivision 1. Application.
Each applicant for an initial certificate of registration
shall make application to the board on forms prepared and furnished by the board with
proof under oath of the particular qualifications and identity
of each applicant. This
application shall be accompanied by a fee prescribed by law or the rules of the board to
defray the expenses of making investigation and for the examination of such applicant.
Sec. 12. Minnesota Statutes 2012, section 154.11, subdivision 1, is amended to read:
Subdivision 1. Examination of nonresidents.
A person who meets all of the
requirements for barber registration in sections
and either has a license, certificate
of registration, or an equivalent as a practicing barber or instructor of barbering from
another state or country which in the discretion of the board has substantially the same
requirements for registering barbers and instructors of barbering as required by sections
can prove by sworn affidavits practice as a barber or instructor of barbering in another
state or country for at least five years immediately prior to making application in this state,
shall, upon payment of the required fee, be issued a certificate of registration without
, provided that the other state or country grants the same privileges to holders
109.18 of Minnesota certificates of registration
Sec. 13. Minnesota Statutes 2012, section 154.12, is amended to read:
109.20154.12 EXAMINATION OF NONRESIDENT APPRENTICES.
A person who meets all of the requirements for registration as a barber in sections
who has a license, a certificate of registration, or its equivalent as an apprentice in a state
or country which in the discretion of the board has substantially the same requirements for
registration as an apprentice as is provided by sections
, shall, upon payment of the required
fee, be issued a certificate of registration without examination
, provided that the other state
109.28 or country grants the same privileges to holders of Minnesota certificates of registration
Sec. 14. Minnesota Statutes 2012, section 154.14, is amended to read:
109.30154.14 CERTIFICATES OF REGISTRATION AND TEMPORARY PERMITS
109.31TO BE DISPLAYED.
Every holder of a certificate of registration as a registered barber or registered
apprentice or temporary apprentice permit shall display
it the certificate or permit, with a
110.1photograph of the certificate or permit holder that meets the same standards as required for
110.2a United States passport,
in a conspicuous place adjacent to or near the chair where work
is performed. Every holder of a certificate of registration as an instructor of barbering or
as a barber school, of
a temporary permit as an instructor of barbering
, shall display the
110.5certificate or permit, with a photograph of the certificate or permit holder that meets the
110.6same standards as required for a United States passport, in a conspicuous place accessible
110.7to the public. Every holder of a certificate of registration as a barber school
and of a shop
registration card shall display it in a conspicuous place accessible to the public.
Sec. 15. Minnesota Statutes 2012, section 154.15, subdivision 2, is amended to read:
Subd. 2. Effect of failure to renew.
A registered barber or a registered apprentice
who has not renewed a certificate of registration may be reinstated within
one year four
of such failure to renew without examination upon the payment of the required
restoration fee for each year the certificate is lapsed
. A registered instructor of barbering
who has not renewed a certificate of registration may be reinstated within
of such failure to renew without examination upon payment of the required restoration fee
110.16 for each year the certificate is lapsed
. All registered barbers and registered apprentices
who allow their certificates of registration to lapse for more than
one year four years
be required to reexamine before being issued a certificate of registration. All registered
instructors of barbering who allow their certificates of registration to lapse for more
years shall be required to reexamine before being issued a certificate of
registration. A barber shop owner who has not renewed the barber shop certificate for more
110.22than one year may reinstate the barber shop registration upon payment of the restoration
110.23fee for each year the shop card was lapsed. If lapsed or unlicensed status is discovered by
110.24the barber inspector during inspection, penalties under section 154.162 shall apply.
Sec. 16. [154.162] ADMINISTRATIVE PENALTIES.
110.26The board shall impose and collect the following penalties:
110.27(1) missing or lapsed shop registration discovered upon inspection; penalty imposed
110.28on shop owner: $500;
110.29(2) unlicensed or unregistered apprentice or registered barber, first occurrence
110.30discovered upon inspection; penalty imposed on shop owner and unlicensed or
110.31unregistered individual: $500; and
110.32(3) unlicensed or unregistered apprentice or registered barber, second occurrence
110.33discovered upon inspection; penalty imposed on shop owner and unlicensed or
110.34unregistered individual: $1,000.
Sec. 17. Minnesota Statutes 2012, section 154.26, is amended to read:
MAY REGULATE HOURS; REGULATION
The governing body of any city of this state may regulate by ordinance the opening
and closing hours of barber shops within its municipal limits in addition to all other
111.6applicable local regulations
Sec. 18. [154.27] MISREPRESENTATION.
111.8No person shall represent themselves to the public, solicit business, advertise as a
111.9licensed barber or as operating a licensed barber shop, use the title or designation of barber
111.10or barber shop, engage in any other act or practice that would create the impression to
111.11members of the public that the person is a licensed barber or is operating a licensed barber
111.12shop unless the person holds the appropriate license under this chapter. Violation of this
111.13section is a petty misdemeanor.
Sec. 19. [154.28] SYMBOLS; BARBER POLE.
111.15No person shall place a barber pole in a location that would create or tend to create
111.16the impression to the public that the business is a barber shop unless the operator holds a
111.17valid license under this chapter. For the purposes of this section, "barber pole" means a
111.18red and white or red, white, and blue striped vertical cylinder commonly recognized as a
111.19barber pole. Violation of this section is a petty misdemeanor.
Sec. 20. Minnesota Statutes 2012, section 155A.23, subdivision 3, is amended to read:
Subd. 3. Cosmetology.
"Cosmetology" is the practice of personal services, for
compensation, for the cosmetic care of the hair, nails, and skin. These services include
cleaning, conditioning, shaping, reinforcing, coloring and enhancing the body surface in
the areas of the head, scalp, face, arms, hands, legs,
feet, and trunk of the body,
where these services are performed by a barber under sections
Sec. 21. Minnesota Statutes 2012, section 155A.23, subdivision 8, is amended to read:
Subd. 8. Manager.
A "manager" is any person who conducts, operates, or manages a
cosmetology school or salon and who also instructs in or provides any services, as defined
in subdivision 3. A school manager must maintain an active salon manager's license.
Sec. 22. Minnesota Statutes 2012, section 155A.23, subdivision 11, is amended to read:
Subd. 11. Instructor.
An "instructor" is any person employed by a school to prepare
and present the theoretical and practical education of cosmetology to persons who seek to
practice cosmetology. An instructor must maintain an active operator or manager's license
112.4in the area in which the instructor holds an instructor's license.
Sec. 23. Minnesota Statutes 2012, section 155A.25, subdivision 1a, is amended to read:
Subd. 1a. Schedule.
The fee schedule for licensees is as follows
for licenses issued
112.7 after June 30, 2010, and prior to July 1, 2013
(a) Three-year license fees:
manicurist nail technician
, or esthetician:
(i) $90 for each initial license and a $40 nonrefundable initial license application fee,
for a total of $130; and
(ii) $60 for each renewal and a $15 nonrefundable renewal application fee, for
a total of $75;
(2) instructor or manager:
(i) $120 for each initial license and a $40 nonrefundable initial license application
fee, for a total of $160; and
(ii) $90 for each renewal and a $15 nonrefundable renewal application fee, for a
total of $105;
(i) $130 for each initial license and a $100 nonrefundable initial license application
fee, for a total of $230; and
(ii) $100 for each renewal and a $50 nonrefundable renewal application fee, for a
total of $150; and
(i) $1,500 for each initial license and a $1,000 nonrefundable initial license
application fee, for a total of $2,500; and
(ii) $1,500 for each renewal and a $500 nonrefundable renewal application fee,
for a total of $2,000.
(1) reinspection fee, variable;
(2) manager and owner with lapsed practitioner found on inspection
, $150 each;
112.32(3) lapsed practitioner or instructor found on inspection, $200;
112.33(4) lapsed salon found on inspection, $500;
112.34(5) lapsed school found on inspection, $1,000;
112.35(6) failure to display current license, $100;
113.1(7) failure to dispose of single-use equipment, implements, or materials as provided
113.2under section 155A.355, subdivision 1, $500;
113.3(8) use of prohibited razor-type callus shavers, rasps, or graters under section
113.4155A.355, subdivision 2, $500;
113.5(9) performing manicuring or cosmetology services in esthetician salon, or
113.6performing esthetician or cosmetology services in manicure salon, $500;
113.7(10) owner and manager allowing an operator to work as an independent contractor,
113.9(11) operator working as an independent contractor, $100;
113.10(12) refusal or failure to cooperate with an inspection, $500;
expired cosmetologist, manicurist, esthetician, manager, school manager,
and instructor license, $45; and
expired salon or school license, $50.
(c) Administrative fees:
(1) certificate of identification, $20;
(2) name change, $20;
(3) letter of license verification, $30;
(4) duplicate license, $20;
(5) processing fee, $10;
(6) special event permit, $75 per year; and
(7) registration of hair braiders, $20 per year.
Sec. 24. Minnesota Statutes 2012, section 155A.25, subdivision 4, is amended to read:
Subd. 4. License expiration date.
The board shall, in a manner determined by the
board and without the need for rulemaking under chapter 14, phase in changes to initial
and renewal license expiration dates so that by January 1, 2014:
(1) individual licenses expire on the last day of the licensee's birth month of the
year due; and
(2) salon and school
licenses expire on the last day of the month of initial licensure
of the year due.
Sec. 25. Minnesota Statutes 2012, section 155A.27, subdivision 4, is amended to read:
Subd. 4. Testing. All theory, practical, and Minnesota law and rule testing must
113.32be done by a board-approved provider.
Appropriate standardized tests shall be used and
shall include subject matter relative to the application of Minnesota law. In every case,
the primary consideration shall be to safeguard the health and safety of consumers by
determining the competency of the applicants to provide the services indicated.
Sec. 26. Minnesota Statutes 2012, section 155A.27, subdivision 7, is amended to read:
Subd. 7. Renewals.
Renewal of license shall be for a period of three years
under conditions and process established by rule and subject to continuing education
114.6requirements of section 155A.271
Sec. 27. Minnesota Statutes 2012, section 155A.27, subdivision 10, is amended to read:
Subd. 10. Nonresident licenses. (a)
A nonresident cosmetologist, manicurist, or
esthetician may be licensed in Minnesota if the individual has completed cosmetology
school in a state or country with the same or greater school hour requirements, has an
active license in that state or country, and has passed a board-approved theory and
the Minnesota-specific written operator examination for
cosmetologist, manicurist, or esthetician. If a test is used to verify the qualifications of
trained cosmetologists, the test should be translated into the nonresident's native language
within the limits of available resources. Licenses shall not be issued under this subdivision
for managers or instructors.
114.17(b) If an individual has less than the required number of school hours, the individual
114.18must have had a current active license in another state or country for at least three
114.19years and have passed a board-approved theory and practice-based examination, or
114.20the Minnesota-specific written operator examination for cosmetologist, manicurist, or
114.21esthetician. If a test is used to verify the qualifications of trained cosmetologists, the test
114.22should be translated into the nonresident's native language within the limits of available
114.23resources. Licenses must not be issued under this subdivision for managers or instructors.
114.24(c) Applicants claiming training and experience in a foreign country shall supply
114.25official English-language translations of all required documents from a board-approved
Sec. 28. [155A.271] CONTINUING EDUCATION REQUIREMENTS.
114.28 Subdivision 1. Continuing education requirements. Effective August 1, 2014,
114.29to qualify for license renewal under this chapter as an individual cosmetologist, nail
114.30technician, esthetician, or salon manager, the applicant must attest to the completion of
114.31four hours of continuing education credits from an accredited school or a professional
114.32association of cosmetology during the three years prior to the applicant's renewal
114.33date. One credit hour of the requirement must include instruction pertaining to state
115.1laws and rules governing the practice of cosmetology. Three credit hours must include
115.2instruction pertaining to health, safety, and sanitation matters consistent with the United
115.3States Department of Labor's Occupational Safety and Health Administration standards
115.4applicable to the practice of cosmetology, or other applicable federal health, sanitation,
115.5and safety standards, and must be regularly updated so as to incorporate newly developed
115.6standards and accepted professional best practices. Credit hours earned are valid for three
115.7years and may be applied simultaneously to all individual licenses held by a licensee under
115.8this chapter. This subdivision does not apply to instructors or inactive licenses.
115.9 Subd. 2. Schools and professional associations. Only a board-licensed school of
115.10cosmetology, a postsecondary institution as defined in section 136A.103, paragraph (a), or
115.11a board-recognized professional association may offer continuing education curriculum
115.12for credit under this section. The school and professional association may offer online
115.13and independent study options to achieve maximum involvement of licensees and is
115.14encouraged to offer classes available in foreign language formats.
115.15 Subd. 3. Proof of credits. The school or professional association shall provide
115.16to licensees who attend a class a receipt to prove completion of the class. Licensees
115.17shall retain proof of their continuing education credits for one year beyond the credit's
115.18expiration. The school or professional association shall retain documentation of all
115.19licensees successfully completing a class and the licensee's credit hours for five years.
115.20 Subd. 4. Audit. The board shall conduct random audits of active licensees
115.21periodically to ensure compliance with continuing education requirements. To initiate
115.22an audit, the board shall notify an active licensee of the audit and request proof of
115.23credits earned during a specified period. The licensee must provide the requested proof
115.24to the board within 30 days of an audit notice. The board may request that a school or
115.25professional association verify a licensee's credits. The school or professional association
115.26must furnish verification, or a written statement that the credits are not verified, within
115.2715 days of the board's request for verification. If the board determines that a licensee has
115.28failed to provide proof of necessary credits earned during the specified time, the board
115.29may revoke the individual's license and may deem the individual a lapsed practitioner
115.30subject to penalty under section 155A.25 or 155A.36.
Sec. 29. Minnesota Statutes 2012, section 155A.29, subdivision 2, is amended to read:
Subd. 2. Requirements.
(a) The conditions and process by which a salon is licensed
shall be established by the board by rule. In addition to those requirements, no license
shall be issued unless the board first determines that the conditions in clauses (1) to (5)
have been satisfied:
(1) compliance with all local and state laws, particularly relating to matters of
sanitation, health, and safety;
(2) the employment of a manager, as defined in section
155A.23, subdivision 8
(3) inspection and licensing prior to the commencing of business;
116.5 (4) (3)
if applicable, evidence of compliance with section
evidence of continued professional liability insurance coverage of at least
$25,000 for each claim and $50,000 total coverage for each policy year for each operator.
(b) A licensed esthetician or manicurist who complies with the health, safety,
sanitation, inspection, and insurance rules promulgated by the board to operate a salon
solely for the performance of those personal services defined in section
, in the case of an esthetician, or subdivision 7, in the case of a manicurist.
Sec. 30. Minnesota Statutes 2012, section 155A.30, is amended by adding a
subdivision to read:
116.14 Subd. 11. Instruction requirements. (a) Instruction may be offered for no more
116.15than ten hours per day per student.
116.16(b) Instruction must be given within a licensed school building. Online instruction is
116.17permitted for board-approved theory-based classes. Practice-based classes must not be
Sec. 31. [155A.355] PROHIBITED USES.
116.20 Subdivision 1. Single-use equipment and materials. Single-use equipment,
116.21implements, or materials that are made or constructed of paper, wood, or other porous
116.22materials must only be used for one application or client service. Presence of used articles
116.23in the work area is prima facie evidence of reuse. Failure to dispose of the materials in this
116.24subdivision is punishable by penalty under section 155A.25, subdivision 1a, paragraph
116.25(b), clause (7).
116.26 Subd. 2. Skin-cutting equipment. Razor-type callus shavers, rasps, or graters
116.27designed and intended to cut growths of skin such as corns and calluses, including but not
116.28limited to credo blades, are prohibited. Presence of these articles in the work area is prima
116.29facie evidence of use and is punishable by penalty in section 155A.25, subdivision 1a,
116.30paragraph (b), clause (8).
116.31 Subd. 3. Substances. Licensees must not use any of the following substances or
116.32products in performing cosmetology services:
116.33(1) methyl methacrylate liquid monomers, also known as MMA; and
116.34(2) fumigants, including but not limited to formalin tablets or formalin liquids.
Sec. 32. [179.90] OFFICE OF COLLABORATION AND DISPUTE
117.3The commissioner of mediation services shall establish an Office of Collaboration
117.4and Dispute Resolution within the bureau. The office must:
117.5(1) promote the broad use of community mediation in the state, ensuring that all areas
117.6of the state have access to services by providing grants to private nonprofits entities certified
117.7by the state court administrator under chapter 494 that assist in resolution of disputes;
117.8(2) assist state agencies, offices of the executive, legislative, and judicial branches,
117.9and units of local government in improving collaboration and dispute resolution;
117.10(3) support collaboration and dispute resolution in the public and private sector by
117.11providing technical assistance and information on best practices and new developments in
117.12dispute resolution options;
117.13(4) educate the public and governmental entities on dispute resolution options; and
117.14(5) promote and utilize collaborative dispute resolution models and processes based
117.15on documented best practices including, but not limited to, the Minnesota Solutions model:
117.16(i) establishing criteria and procedures for identification and assessment of dispute
117.18(ii) designating projects and appointing impartial convenors by the commissioner
117.19or the commissioner's designee;
117.20(iii) forming multidisciplinary conflict resolution teams; and
117.21(iv) utilizing collaborative techniques, processes, and standards through facilitated
117.22meetings until consensus among parties is reached in resolving a dispute.
Sec. 33. [179.91] GRANTS.
117.24 Subdivision 1. Authority. The commissioner of mediation services shall to the
117.25extent funds are appropriated for this purpose, make grants to private nonprofit community
117.26mediation entities certified by the state court administrator under chapter 494 that assist
117.27in resolution of disputes. The commissioner shall establish a grant review committee to
117.28assist in the review of grant applications and the allocation of grants under this section.
117.29 Subd. 2. Eligibility. To be eligible for a grant under this section, a nonprofit
117.30organization must meet the requirements of section 494.05, subdivision 1, clauses (1),
117.31(2), (4), and (5).
117.32 Subd. 3. Conditions and exclusions. A nonprofit entity receiving a grant must
117.33agree to comply with guidelines adopted by the state court administrator under section
117.34494.015, subdivision 1. Sections 16B.97 and 16B.98 and policies adopted under those
118.1sections apply to grants under this section. The exclusions in section 494.03 apply to
118.2grants under this section.
118.3 Subd. 4. Reporting. Grantees must report data required under chapter 494 to
118.4evaluate quality and outcomes.
Sec. 34. Minnesota Statutes 2012, section 298.22, subdivision 1, is amended to read:
Subdivision 1. The office of the commissioner of Iron Range resources and
(1) The office of the commissioner of Iron Range resources and
rehabilitation is created as an agency in the executive branch of state government. The
governor shall appoint the commissioner of Iron Range resources and rehabilitation under
(2) The commissioner may hold other positions or appointments that are not
incompatible with duties as commissioner of Iron Range resources and rehabilitation. The
commissioner may appoint a deputy commissioner. All expenses of the commissioner,
including the payment of staff and other assistance as may be necessary, must be paid
out of the amounts appropriated by section
or otherwise made available by law
to the commissioner. Notwithstanding chapters 16A, 16B, and 16C, the commissioner
118.17may utilize contracting options available under section 471.345 when the commissioner
118.18determines it is in the best interest of the agency. The agency is not subject to sections
118.1916E.016 and 16C.05.
(3) When the commissioner determines that distress and unemployment exists or
may exist in the future in any county by reason of the removal of natural resources or
a possibly limited use of natural resources in the future and any resulting decrease in
employment, the commissioner may use whatever amounts of the appropriation made to
the commissioner of revenue in section
that are determined to be necessary and
proper in the development of the remaining resources of the county and in the vocational
training and rehabilitation of its residents, except that the amount needed to cover cost
overruns awarded to a contractor by an arbitrator in relation to a contract awarded by
the commissioner or in effect after July 1, 1985, is appropriated from the general fund.
For the purposes of this section, "development of remaining resources" includes, but is
not limited to, the promotion of tourism.
Sec. 35. Minnesota Statutes 2012, section 298.28, subdivision 9c, is amended to read:
Temporary Distribution; city of Eveleth.
0.20 cent per taxable ton
must be paid to the city of Eveleth for distribution in
2007 through 2011 only 2013
, to be used for the support of the Hockey Hall of Fame, provided that it
continues to operate in that city, and provided that the city of Eveleth certifies to the St.
Louis County auditor that it has received donations for the support of the Hockey Hall of
professional hockey organizations or
in an amount at least equal
119.4 to the amount of the distribution under this subdivision
. If the Hockey Hall of Fame
ceases to operate in the city of Eveleth prior to receipt of the distribution in
year, and the governing body of the city determines that it is unlikely to resume operation
there within a six-month period, the distribution under this subdivision shall be made to
the Iron Range Resources and Rehabilitation Board.
If the amount of the distribution
119.9 authorized under this subdivision exceeds the total amount of donations for the support of
119.10 the Hockey Hall of Fame during the 12-month period ending 30 days before the date of
119.11 the distribution, the amount by which 0.20 cent per ton exceeds the donations shall be
119.12 distributed to the Iron Range Resources and Rehabilitation Board.
Sec. 36. Minnesota Statutes 2012, section 326A.04, subdivision 2, is amended to read:
Subd. 2. Timing.
(a) Certificates must be initially issued and renewed
for periods of
119.15 not more than three years annually
but in any event must expire on December 31 in the year
prescribed by the board by rule. Applications for certificates must be made in the form, and
in the case of applications for renewal between the dates, specified by the board in rule.
The board shall grant or deny an application no later than 90 days after the application is
filed in proper form. If the applicant seeks the opportunity to show that issuance or renewal
of a certificate was mistakenly denied, or if the board is unable to determine whether it
should be granted or denied, the board may issue to the applicant a provisional certificate
that expires 90 days after its issuance, or when the board determines whether or not to
issue or renew the certificate for which application was made, whichever occurs first.
(b) Certificate holders who do not provide professional services and do not use the
certified public accountant designation in any manner are not required to renew their
certificates provided they have notified the board as provided in board rule and comply
with the requirements for nonrenewal as specified in board rule.
(c) Applications for renewal of a certificate that are complete and timely filed with
the board and are not granted or denied by the board before January 1 are renewed on a
provisional basis as of January 1 and for 90 days thereafter, or until the board grants or
denies the renewal of the certificate, whichever occurs first, provided the licensee meets
the requirements in this chapter and rules adopted by the board.
119.33EFFECTIVE DATE.This section is effective for licenses issued or renewed after
119.34January 1, 2014.
Sec. 37. Minnesota Statutes 2012, section 326A.04, subdivision 3, is amended to read:
Subd. 3. Residents of other states.
(a) With regard to an applicant who must
obtain a certificate in this state because the applicant does not qualify under the substantial
equivalency standard in section
326A.14, subdivision 1
, the board shall issue a certificate
to a holder of a certificate, license, or permit issued by another state upon a showing that:
(1) the applicant passed the examination required for issuance of a certificate in
(2) the applicant had four years of experience of the type described in section
120.9326A.03, subdivision 6
, paragraph (b)
, if application is made on or after July 1, 2006,
120.10 or section
326A.03, subdivision 8 , if application is made before July 1, 2006
; or the
applicant meets equivalent requirements prescribed by the board by rule, after passing
the examination upon which the applicant's certificate was based and within the ten years
immediately preceding the application;
(3) if the applicant's certificate, license, or permit was issued more than four years
prior to the application for issuance of an initial certificate under this subdivision, that the
applicant has fulfilled the requirements of continuing professional education that would
have been applicable under subdivision 4; and
(4) the applicant has met the qualifications prescribed by the board by rule.
(b) A certificate holder licensed by another state who establishes a principal place
of business in this state shall request the issuance of a certificate from the board prior to
establishing the principal place of business. The board shall issue a certificate to the person
if the person's individual certified public accountant qualifications, upon verification, are
substantially equivalent to the certified public accountant licensure requirements of this
chapter or the person meets equivalent requirements as the board prescribes by rule.
Residents of this state who provide professional services in this state at an office location
in this state shall be considered to have their principal place of business in this state.
Sec. 38. Minnesota Statutes 2012, section 326A.04, subdivision 5, is amended to read:
Subd. 5. Fee. (a)
The board shall charge a fee for each application for initial
issuance or renewal of a certificate under this section as provided in paragraph (b)
120.30(b) The board shall charge the following fees:
120.31(1) initial issuance of certificate, $150;
120.32(2) renewal of certificate with an active status, $100 per year;
120.33(3) initial CPA firm permits, except for sole practitioners, $100;
120.34(4) renewal of CPA firm permits, except for sole practitioners and those firms
120.35specified in clause (17), $35 per year;
121.1(5) initial issuance and renewal of CPA firm permits for sole practitioners, except for
121.2those firms specified in clause (17), $35 per year;
121.3(6) annual late processing delinquency fee for permit, certificate, or registration
121.4renewal applications not received prior to expiration date, $50;
121.5(7) copies of records, per page, 25 cents;
121.6(8) registration of noncertificate holders, nonlicensees, and nonregistrants in
121.7connection with renewal of firm permits, $45 per year;
121.8(9) applications for reinstatement, $20;
121.9(10) initial registration of a registered accounting practitioner, $50;
121.10(11) initial registered accounting practitioner firm permits, $100;
121.11(12) renewal of registered accounting practitioner firm permits, except for sole
121.12practitioners, $100 per year;
121.13(13) renewal of registered accounting practitioner firm permits for sole practitioners,
121.14$35 per year;
121.15(14) CPA examination application, $40;
121.16(15) CPA examination, fee determined by third-party examination administrator;
121.17(16) renewal of certificates with an inactive status, $25 per year; and
121.18(17) renewal of CPA firm permits for firms that have one or more offices located in
121.19another state, $68 per year.
Sec. 39. Minnesota Statutes 2012, section 326A.04, subdivision 7, is amended to read:
Subd. 7. Certificates issued by foreign countries.
The board shall issue a
certificate to a holder of a generally equivalent foreign country designation, provided that:
(1) the foreign authority that granted the designation makes similar provision to
allow a person who holds a valid certificate issued by this state to obtain the foreign
authority's comparable designation;
(2) the foreign designation:
(i) was duly issued by a foreign authority that regulates the practice of public
accountancy and the foreign designation has not expired or been revoked or suspended;
(ii) entitles the holder to issue reports upon financial statements; and
(iii) was issued upon the basis of educational, examination, and experience
requirements established by the foreign authority or by law; and
(3) the applicant:
(i) received the designation, based on educational and examination standards
generally equivalent to those in effect in this state, at the time the foreign designation
(ii) has, within the ten years immediately preceding the application, completed an
experience requirement that is generally equivalent to the requirement in section
, paragraph (b),
if application is made on or after July 1, 2006, or section
122.4 326A.03, subdivision 8 , if application is made before July 1, 2006,
in the jurisdiction that
granted the foreign designation; completed four years of professional experience in this
state; or met equivalent requirements prescribed by the board by rule; and
(iii) passed a uniform qualifying examination in national standards and an
examination on the laws, regulations, and code of ethical conduct in effect in this state
as the board prescribes by rule.
Sec. 40. Minnesota Statutes 2012, section 326A.10, is amended to read:
122.11326A.10 UNLAWFUL ACTS.
(a) Only a licensee and individuals who have been granted practice privileges
may issue a report on financial statements of any person, firm,
organization, or governmental unit that results from providing attest services, or offer to
render or render any attest service. Only a certified public accountant, an individual who
has been granted practice privileges under section
, a CPA firm, or, to the extent
permitted by board rule, a person registered under section
326A.06, paragraph (b)
issue a report on financial statements of any person, firm, organization, or governmental
unit that results from providing compilation services or offer to render or render any
compilation service. These restrictions do not prohibit any act of a public official or
public employee in the performance of that person's duties or prohibit the performance
by any nonlicensee of other services involving the use of accounting skills, including
the preparation of tax returns, management advisory services, and the preparation of
financial statements without the issuance of reports on them. Nonlicensees may prepare
financial statements and issue nonattest transmittals or information on them which do not
purport to be in compliance with the Statements on Standards for Accounting and Review
Services (SSARS). Nonlicensees registered under section
326A.06, paragraph (b)
to the extent permitted by board rule, prepare financial statements and issue nonattest
transmittals or information on them.
(b) Licensees and individuals who have been granted practice privileges under
performing attest or compilation services must provide those services in
accordance with professional standards. To the extent permitted by board rule, registered
accounting practitioners performing compilation services must provide those services in
accordance with standards specified in board rule.
(c) A person who does not hold a valid certificate issued under section
or a practice privilege granted under section
shall not use or assume the title
"certified public accountant," the abbreviation "CPA," or any other title, designation,
words, letters, abbreviation, sign, card, or device tending to indicate that the person is a
certified public accountant.
(d) A firm shall not provide attest services or assume or use the title "certified public
accountants," the abbreviation "CPA's," or any other title, designation, words, letters,
abbreviation, sign, card, or device tending to indicate that the firm is a CPA firm unless
(1) the firm has complied with section
, and (2) ownership of the firm is in
accordance with this chapter and rules adopted by the board.
(e) A person or firm that does not hold a valid certificate or permit issued under
or has not otherwise complied with section
as required in this chapter shall not assume or use the title "certified accountant,"
"chartered accountant," "enrolled accountant," "licensed accountant," "registered
accountant," "accredited accountant," "accounting practitioner," "public accountant,"
"licensed public accountant," or any other title or designation likely to be confused
with the title "certified public accountant," or use any of the abbreviations "CA," "LA,"
"RA," "AA," "PA," "AP," "LPA," or similar abbreviation likely to be confused with the
abbreviation "CPA." The title "enrolled agent" or "EA" may only be used by individuals
so designated by the Internal Revenue Service.
(f) Persons registered under section
326A.06, paragraph (b)
, may use the title
"registered accounting practitioner" or the abbreviation "RAP." A person who does not
hold a valid registration under section
326A.06, paragraph (b)
, shall not assume or use
such title or abbreviation.
(g) Except to the extent permitted in paragraph (a), nonlicensees may not use
language in any statement relating to the financial affairs of a person or entity that is
conventionally used by licensees in reports on financial statements. In this regard, the
board shall issue by rule safe harbor language that nonlicensees may use in connection
with such financial information. A person or firm that does not hold a valid certificate or
permit, or a registration issued under section
, or has not otherwise complied with section
as required in this
chapter shall not assume or use any title or designation that includes the word "accountant"
or "accounting" in connection with any other language, including the language of a report,
that implies that the person or firm holds such a certificate, permit, or registration or has
special competence as an accountant. A person or firm that does not hold a valid certificate
or permit issued under section
or has not otherwise complied with
as required in this chapter shall not assume or use any title
or designation that includes the word "auditor" in connection with any other language,
including the language of a report, that implies that the person or firm holds such a
certificate or permit or has special competence as an auditor. However, this paragraph
does not prohibit any officer, partner, member, manager, or employee of any firm or
organization from affixing that person's own signature to any statement in reference to the
financial affairs of such firm or organization with any wording designating the position,
title, or office that the person holds, nor prohibit any act of a public official or employee in
the performance of the person's duties as such.
No person holding a certificate or registration or firm holding a permit under
this chapter shall use a professional or firm name or designation that is misleading about
the legal form of the firm, or about the persons who are partners, officers, members,
managers, or shareholders of the firm, or about any other matter. However, names of one
or more former partners, members, managers, or shareholders may be included in the
name of a firm or its successor.
124.16(2) A common brand name or network name part, including common initials, used
124.17by a CPA firm in its name, is not misleading if the firm is a network firm as defined in
124.18the American Institute of Certified Public Accountants (AICPA) Code of Professional
124.19Conduct in effect July 1, 2011, and when offering or rendering services that require
124.20independence under AICPA standards, the firm must comply with the AICPA code's
124.21applicable standards on independence.
(i) Paragraphs (a) to (h) do not apply to a person or firm holding a certification,
designation, degree, or license granted in a foreign country entitling the holder to engage
in the practice of public accountancy or its equivalent in that country, if:
(1) the activities of the person or firm in this state are limited to the provision of
professional services to persons or firms who are residents of, governments of, or business
entities of the country in which the person holds the entitlement;
(2) the person or firm performs no attest or compilation services and issues no reports
with respect to the financial statements of any other persons, firms, or governmental
units in this state; and
(3) the person or firm does not use in this state any title or designation other than
the one under which the person practices in the foreign country, followed by a translation
of the title or designation into English, if it is in a different language, and by the name
of the country.
(j) No holder of a certificate issued under section
may perform attest services
through any business form that does not hold a valid permit issued under section
(k) No individual licensee may issue a report in standard form upon a compilation
of financial information through any form of business that does not hold a valid permit
issued under section
, unless the report discloses the name of the business through
which the individual is issuing the report, and the individual:
(1) signs the compilation report identifying the individual as a certified public
(2) meets the competency requirement provided in applicable standards; and
(3) undergoes no less frequently than once every three years, a peer review
conducted in a manner specified by the board in rule, and the review includes verification
that the individual has met the competency requirements set out in professional standards
for such services.
(l) No person registered under section
326A.06, paragraph (b)
, may issue a report
in standard form upon a compilation of financial information unless the board by rule
permits the report and the person:
(1) signs the compilation report identifying the individual as a registered accounting
(2) meets the competency requirements in board rule; and
(3) undergoes no less frequently than once every three years a peer review conducted
in a manner specified by the board in rule, and the review includes verification that the
individual has met the competency requirements in board rule.
(m) Nothing in this section prohibits a practicing attorney or firm of attorneys from
preparing or presenting records or documents customarily prepared by an attorney or firm
of attorneys in connection with the attorney's professional work in the practice of law.
(n) The board shall adopt rules that place limitations on receipt by a licensee or a
person who holds a registration under section
, paragraph (b), of:
(1) contingent fees for professional services performed; and
(2) commissions or referral fees for recommending or referring to a client any
product or service.
(o) Anything in this section to the contrary notwithstanding, it shall not be a violation
of this section for a firm not holding a valid permit under section
and not having
an office in this state to provide its professional services in this state so long as it complies
with the applicable requirements of section
326A.05, subdivision 1
Sec. 41. Minnesota Statutes 2012, section 462.358, subdivision 2b, is amended to read:
Subd. 2b. Dedication.
(a) The regulations may require that a reasonable portion of
the buildable land, as defined by municipal ordinance, of any proposed subdivision be
dedicated to the public or preserved for public use as streets, roads, sewers, electric,
gas, and water facilities, storm water drainage and holding areas or ponds and similar
utilities and improvements, parks, recreational facilities as defined in section
playgrounds, trails, wetlands, or open space. The requirement must be imposed by
ordinance or under the procedures established in section
, subdivision 4a.
(b) If a municipality adopts the ordinance or proceeds under section
subdivision 4a, as required by paragraph (a), the municipality must adopt a capital
improvement budget and have a parks and open space plan or have a parks, trails, and
open space component in its comprehensive plan subject to the terms and conditions in
this paragraph and paragraphs (c) to (i).
(c) The municipality may choose to accept a cash fee as set by ordinance from the
applicant for some or all of the new lots created in the subdivision, based on the average
fair market value of the unplatted land for which park fees have not already been paid that
is, no later than at the time of final approval or under the city's adopted comprehensive
plan, to be served by municipal sanitary sewer and water service or community septic and
private well as authorized by state law. For purposes of redevelopment on developed
land, the municipality may choose to accept a cash fee based on fair market value of the
land no later than the time of final approval. "Fair market value" means the value of the
126.19land as determined by the municipality annually based on tax valuation or other relevant
126.20data. If the municipality's calculation of valuation is objected to by the applicant, then
126.21the value shall be as negotiated between the municipality and the applicant, or based on
126.22the market value as determined by the municipality based on an independent appraisal of
126.23land in a same or similar land use category.
(d) In establishing the portion to be dedicated or preserved or the cash fee, the
regulations shall give due consideration to the open space, recreational, or common areas
and facilities open to the public that the applicant proposes to reserve for the subdivision.
(e) The municipality must reasonably determine that it will need to acquire that
portion of land for the purposes stated in this subdivision as a result of approval of the
(f) Cash payments received must be placed by the municipality in a special fund to
be used only for the purposes for which the money was obtained.
(g) Cash payments received must be used only for the acquisition and development
or improvement of parks, recreational facilities, playgrounds, trails, wetlands, or open
space based on the approved park systems plan. Cash payments must not be used for
ongoing operation or maintenance of parks, recreational facilities, playgrounds, trails,
wetlands, or open space.
(h) The municipality must not deny the approval of a subdivision based solely on
an inadequate supply of parks, open spaces, trails, or recreational facilities within the
(i) Previously subdivided property from which a park dedication has been received,
being resubdivided with the same number of lots, is exempt from park dedication
requirements. If, as a result of resubdividing the property, the number of lots is increased,
then the park dedication or per-lot cash fee must apply only to the net increase of lots.
Sec. 42. Minnesota Statutes 2012, section 462A.37, subdivision 1, is amended to read:
Subdivision 1. Definitions.
(a) For purposes of this section, the following terms
have the meanings given.
(b) "Abandoned property" has the meaning given in section
117.025, subdivision 5
(c) "Community land trust" means an entity that meets the requirements of section
127.13462A.31, subdivisions 1
(d) "Debt service" means the amount payable in any fiscal year of principal,
premium, if any, and interest on housing infrastructure bonds and the fees, charges, and
expenses related to the bonds.
(e) "Foreclosed property" means residential property where foreclosure proceedings
have been initiated or have been completed and title transferred or where title is transferred
in lieu of foreclosure.
(f) "Housing infrastructure bonds" means bonds issued by the agency under this
chapter that are qualified 501(c)(3) bonds, within the meaning of Section 145(a) of the
Internal Revenue Code, finance qualified residential rental projects within the meaning of
127.23Section 142(d) of the Internal Revenue Code,
or are tax-exempt bonds that are not private
activity bonds, within the meaning of Section 141(a) of the Internal Revenue Code, for the
purpose of financing or refinancing affordable housing authorized under this chapter.
(g) "Internal Revenue Code" means the Internal Revenue Code of 1986, as amended.
(h) "Supportive housing" means housing that is not time-limited and provides or
coordinates with linkages to services necessary for residents to maintain housing stability
and maximize opportunities for education and employment.
127.30EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 43. Laws 2006, chapter 269, section 2, as amended by Laws 2008, chapter 331,
section 11, and Laws 2008, chapter 366, article 17, section 5, is amended to read:
Sec. 2. DEDICATION FEE.
The Minneapolis Park and Recreation Board and the Minneapolis City Council
exercise the powers conferred under Minnesota Statutes, section
128.3 with respect to requiring require
that a reasonable portion of land be dedicated to the
a dedication fee
on in conjunction with the construction permit
new housing units and new commercial and industrial development in the
city, wherever located, for public parks, playgrounds, recreational facilities, wetlands,
trails, or open space. The dedication of land or dedication fee must be imposed by an
ordinance jointly enacted by the park board and the city council. The cash fee may be set
128.9at a flat fee rate per net new residential unit.
The ordinance may exclude senior housing
and affordable housing from paying the fee or the dedication of land. The provisions of
Minnesota Statutes, section
462.358, subdivisions 2b
, paragraph (b), and 2c, apply to the
and use of the dedication of land or the dedication fee.
128.13EFFECTIVE DATE.This section is effective the day after the Minneapolis City
128.14Council and the Minneapolis Park and Recreation Board and their chief clerical officers
128.15timely complete their compliance with Minnesota Statutes, section 645.021, subdivisions
128.162 and 3, and applies to joint dedication fee ordinances adopted or amended by the city
128.17of Minneapolis and the Minneapolis Park and Recreation Board before, on, or after that
128.18date, provided that no dedication of land or collection of park dedication fees can be
128.19effective until after December 31, 2013.
Sec. 44. CITY OF ST. PAUL DEDICATION FEE.
128.21The city of St. Paul may require that a reasonable portion of land be dedicated to the
128.22public or impose a dedication fee in conjunction with the construction permit required for
128.23new housing units and new commercial and industrial development in the city, wherever
128.24located, for public parks, playgrounds, recreational facilities, wetlands, trails, or open
128.25space. The dedication of land or dedication fee must be imposed by an ordinance enacted
128.26by the city council. The cash fee may be set at a flat fee rate per net new residential
128.27unit. The ordinance may exclude senior housing and affordable housing from paying the
128.28fee or the dedication of land. The provisions of Minnesota Statutes, section 462.358,
128.29subdivisions 2b, paragraph (b); and 2c, apply to the application and use of the dedication
128.30of land or the dedication fee.
128.31EFFECTIVE DATE.This section is effective January 1, 2014, and applies to
128.32dedication fee ordinances adopted or amended by the city of St. Paul before, on, or after
Sec. 45. GOOD CAUSE EXEMPTION.
129.2The Board of Cosmetology may amend Minnesota Rules so that they conform
129.3with this article. The Board of Cosmetology may use the good cause exemption under
129.4Minnesota Statutes, section 14.388, subdivision 1, clause (3), in adopting the amendment,
129.5and Minnesota Statutes, section 14.386, does not apply, except as it relates to Minnesota
129.6Statutes, section 14.388.
Sec. 46. 2013 DISTRIBUTION ONLY.
129.8For the 2013 distribution, a special fund is established to receive 38.7 cents per ton of
129.9any excess of the balance remaining after distribution of amounts required under Minnesota
129.10Statutes, section 298.28, subdivision 6. The following amounts are allocated to St. Louis
129.11County acting as the fiscal agent for the recipients for the following specific purposes:
129.12(1) 5.1 cents per ton to the city of Hibbing for improvements to the city's water
129.14(2) 4.3 cents per ton to the city of Mountain Iron for the cost of moving utilities
129.15required as a result of actions undertaken by United States Steel Corporation;
129.16(3) 2.5 cents per ton to the city of Biwabik for improvements to the city's water supply
129.17system, payable upon agreement with ArcelorMittal to satisfy water permit conditions;
129.18(4) 2.5 cents per ton to the city of Tower for the Tower Marina;
129.19(5) 2.4 cents per ton to the city of Grand Rapids for an eco-friendly heat transfer
129.20system to replace aging effluent lines and for parking lot repaving;
129.21(6) 2.4 cents per ton to the city of Two Harbors for wastewater treatment plant
129.23(7) 0.9 cents per ton to the city of Ely for the sanitary sewer replacement project;
129.24(8) 0.6 cents per ton to the town of Crystal Bay for debt service of the Claire Nelson
129.25Intermodal Transportation Center;
129.26(9) 0.5 cents per ton to the Greenway Joint Recreation Board for the Coleraine
129.27hockey arena renovations;
129.28(10) 1.2 cents per ton for the West Range Regional Fire Hall and Training Center
129.29to merge the existing fire services of Coleraine, Bovey, Taconite Marble, Calumet, and
129.31(11) 2.5 cents per ton to the city of Hibbing for the Memorial Building;
129.32(12) 0.7 cents per ton to the city of Chisholm for public works infrastructure;
129.33(13) 1.8 cents per ton to the Crane Lake Water and Sanitary District for sanitary
129.35(14) 2.5 cents per ton for the city of Buhl for the roof on the Mesabi Academy;
130.1(15) 1.2 cents per ton to the city of Gilbert for the New Jersey/Ohio Avenue project;
130.2(16) 1.5 cents per ton to the city of Cook for street improvements, business park
130.3infrastructure, and a maintenance garage;
130.4(17) 0.5 cents per ton to the city of Cook for a water line project;
130.5(18) 1.8 cents per ton to the city of Eveleth to be used for Jones Street reconstruction
130.6and the city auditorium;
130.7(19) 0.5 cents for the city of Keewatin for an electrical substation and water line
130.9(20) 3.3 cents for the city of Virginia for Fourth Street North infrastructure and
130.10Franklin Park improvement.
130.11EFFECTIVE DATE.This section is effective for the 2013 distribution, and all
130.12payments must be made separately and within ten days of the date of the August 2013
Sec. 47. ST. PAUL RIVERCENTRE ARENA.
130.15Notwithstanding Laws 1998, chapter 404, section 23, subdivision 6, as amended
130.16by Laws 2002, chapter 220, Article 10, section 35, the repayment amounts due from the
130.17city of St. Paul in fiscal years 2014 and 2015 shall be reduced by $500,000 each year. No
130.18repayments are required from the city of St. Paul from fiscal years 2016 through 2021.
130.19Amounts scheduled to be repaid in fiscal years 2016 through 2021 must be used solely
130.20to pay for or finance design, construction, or equipment to make arena improvements
130.21according to a project list mutually agreed to between the lessee and the city of St. Paul's
Sec. 48. WHISKEY ROAD IMPROVEMENTS.
130.24The money held by St. Louis County for the Whiskey Road improvement project
130.25shall accrue interest at the current market rate and must be used for improvements to
130.26the road near the city of Biwabik.
Sec. 49. REVISOR'S INSTRUCTION.
130.28(a) The revisor of statutes shall change the term "manicurist" to "nail technician"
130.29wherever it appears in Minnesota Rules and Statutes.
130.30(b) The revisor of statutes shall change the term "licensed" to "registered" and
130.31"license" to "registration" wherever it appears in Minnesota Statutes, chapter 154, or
130.32applicable Minnesota Rules.
Sec. 50. REPEALER.
131.2(a) Minnesota Statutes 2012, sections 116W.01; 116W.02; 116W.03; 116W.035;
131.3116W.04; 116W.05; 116W.06; 116W.20; 116W.21; 116W.23; 116W.24; 116W.25;
131.4116W.26; 116W.27; 116W.28; 116W.29; 116W.30; 116W.31; 116W.32; 116W.33;
131.5116W.34; 155A.25, subdivision 1; and 326A.03, subdivisions 2, 5, and 8, are repealed.
131.6(b) Minnesota Rules, parts 1105.0600; 1105.2550; and 1105.2700, are repealed.
131.8COMMERCE AND CONSUMER PROTECTION POLICY
Section 1. Minnesota Statutes 2012, section 45.0135, subdivision 6, is amended to read:
Subd. 6. Insurance fraud prevention account.
The insurance fraud prevention
account is created in the state treasury. Money received from assessments under
subdivision 7 and transferred from the automobile theft prevention account in section
131.1365B.84, subdivision 1,
is deposited in the account. Money in this fund is appropriated
to the commissioner of commerce for the purposes specified in this section and sections
Sec. 2. Minnesota Statutes 2012, section 60A.14, subdivision 1, is amended to read:
Subdivision 1. Fees other than examination fees.
In addition to the fees and
charges provided for examinations, the following fees must be paid to the commissioner
for deposit in the general fund:
(a) by township mutual fire insurance companies;
(1) for filing certificate of incorporation $25 and amendments thereto, $10;
(2) for filing annual statements, $15;
(3) for each annual certificate of authority, $15;
(4) for filing bylaws $25 and amendments thereto, $10;
(b) by other domestic and foreign companies including fraternals and reciprocal
(1) for filing an application for an initial certification of authority to be admitted
to transact business in this state, $1,500;
(2) for filing certified copy of certificate of articles of incorporation, $100;
(3) for filing annual statement, $225;
(4) for filing certified copy of amendment to certificate or articles of incorporation,
(5) for filing bylaws, $75 or amendments thereto, $75;
(6) for each company's certificate of authority, $575, annually;
(c) the following general fees apply:
(1) for each certificate, including certified copy of certificate of authority, renewal,
valuation of life policies, corporate condition or qualification, $25;
(2) for each copy of paper on file in the commissioner's office 50 cents per page,
and $2.50 for certifying the same;
(3) for license to procure insurance in unadmitted foreign companies, $575;
(4) for valuing the policies of life insurance companies, one cent per $1,000 of
insurance so valued, provided that the fee shall not exceed $13,000 per year for any
company. The commissioner may, in lieu of a valuation of the policies of any foreign life
insurance company admitted, or applying for admission, to do business in this state, accept
a certificate of valuation from the company's own actuary or from the commissioner of
insurance of the state or territory in which the company is domiciled;
(5) for receiving and filing certificates of policies by the company's actuary, or by
the commissioner of insurance of any other state or territory, $50;
(6) for each appointment of an agent filed with the commissioner,
(7) for filing forms, rates, and compliance certifications under section
per filing, or $125 per filing when submitted via electronic filing system. Filing fees
may be paid on a quarterly basis in response to an invoice. Billing and payment may
be made electronically;
(8) for annual renewal of surplus lines insurer license, $300.
The commissioner shall adopt rules to define filings that are subject to a fee.
Sec. 3. Minnesota Statutes 2012, section 65B.84, subdivision 1, is amended to read:
Subdivision 1. Program described; commissioner's duties; appropriation.
The commissioner of commerce shall:
(1) develop and sponsor the implementation of statewide plans, programs, and
strategies to combat automobile theft, improve the administration of the automobile theft
laws, and provide a forum for identification of critical problems for those persons dealing
with automobile theft;
(2) coordinate the development, adoption, and implementation of plans, programs,
and strategies relating to interagency and intergovernmental cooperation with respect
to automobile theft enforcement;
(3) annually audit the plans and programs that have been funded in whole or in part
to evaluate the effectiveness of the plans and programs and withdraw funding should the
commissioner determine that a plan or program is ineffective or is no longer in need
of further financial support from the fund;
(4) develop a plan of operation including:
(i) an assessment of the scope of the problem of automobile theft, including areas
of the state where the problem is greatest;
(ii) an analysis of various methods of combating the problem of automobile theft;
(iii) a plan for providing financial support to combat automobile theft;
(iv) a plan for eliminating car hijacking; and
(v) an estimate of the funds required to implement the plan; and
(5) distribute money, in consultation with the commissioner of public safety,
pursuant to subdivision 3 from the automobile theft prevention special revenue account
for automobile theft prevention activities, including:
(i) paying the administrative costs of the program;
(ii) providing financial support to the State Patrol and local law enforcement
agencies for automobile theft enforcement teams;
(iii) providing financial support to state or local law enforcement agencies for
programs designed to reduce the incidence of automobile theft and for improved
equipment and techniques for responding to automobile thefts;
(iv) providing financial support to local prosecutors for programs designed to reduce
the incidence of automobile theft;
(v) providing financial support to judicial agencies for programs designed to reduce
the incidence of automobile theft;
(vi) providing financial support for neighborhood or community organizations or
business organizations for programs designed to reduce the incidence of automobile
theft and to educate people about the common methods of automobile theft, the models
of automobiles most likely to be stolen, and the times and places automobile theft is
most likely to occur; and
(vii) providing financial support for automobile theft educational and training
programs for state and local law enforcement officials, driver and vehicle services exam
and inspections staff, and members of the judiciary.
(b) The commissioner may not spend in any fiscal year more than ten percent of the
money in the fund for the program's administrative and operating costs. The commissioner
is annually appropriated and must distribute the amount of the proceeds credited to
the automobile theft prevention special revenue account each year, less the transfer of
$1,300,000 each year to the general fund described in section
168A.40, subdivision 4
133.34(c) At the end of each fiscal year, the commissioner may transfer any unobligated
133.35balances in the auto theft prevention account to the insurance fraud prevention account
133.36under section 45.0135, subdivision 6.
Sec. 4. [80G.01] REGISTRATION.
134.2(a) The fee for each registration under this chapter shall be as follows:
134.3(1) bullion coin dealers, $25; and
134.4(2) coin dealer representatives, $10.
134.5(b) The commissioner, based on the cost of processing registrations, may adjust the
134.6registration fee on an annual basis as needed.
Sec. 5. Minnesota Statutes 2012, section 239.101, subdivision 3, is amended to read:
Subd. 3. Petroleum inspection fee; appropriation, uses.
(a) An inspection fee
is imposed (1) on petroleum products when received by the first licensed distributor,
and (2) on petroleum products received and held for sale or use by any person when the
petroleum products have not previously been received by a licensed distributor. The
petroleum inspection fee is $1 for every 1,000 gallons received. The commissioner of
revenue shall collect the fee. The revenue from
cents of the fee is appropriated to
the commissioner of commerce for the cost of operations of the Division of Weights and
Measures, petroleum supply monitoring, and to make grants to providers of low-income
weatherization services to install renewable energy equipment in households that are
eligible for weatherization assistance under Minnesota's weatherization assistance
program state plan. The remainder of the fee must be deposited in the general fund.
(b) The commissioner of revenue shall credit a person for inspection fees previously
paid in error or for any material exported or sold for export from the state upon filing of a
report as prescribed by the commissioner of revenue.
(c) The commissioner of revenue may collect the inspection fee along with any
taxes due under chapter 296A.
Sec. 6. Minnesota Statutes 2012, section 507.235, subdivision 2, is amended to read:
Subd. 2. Penalty for failure to file.
(a) A vendee who fails to record a contract for
deed, as required by subdivision 1, is subject to a civil penalty, payable under subdivision
5, equal to two percent of the principal amount of the contract debt, unless the vendee
134.28has not received a copy of the contract for deed in recordable form, as required under
. Payments of the penalty shall be deposited in the general fund of the
county. The penalty may be enforced as a lien against the vendee's interest in the property.
(b) A person receiving an assignment of a vendee's interest in a contract for deed
who fails to record the assignment as required by subdivision 1 is subject to a civil penalty,
payable under subdivision 5, equal to two percent of the original principal amount of the
contract debt. Payments of the penalty must be deposited in the general fund of the county.
The penalty may be enforced as a lien against the vendee's interest in the property.
Sec. 7. [559.201] DEFINITIONS.
135.4 Subdivision 1. Application. The definitions in this section apply to section 559.202.
135.5 Subd. 2. Business day. "Business day" means any day other than a Saturday,
135.6Sunday, or holiday as defined in section 645.44, subdivision 5.
135.7 Subd. 3. Family farm security loan. "Family farm security loan" has the meaning
135.8given in Minnesota Statutes 2008, section 41.52, subdivision 5.
135.9 Subd. 4. Multiple seller. "Multiple seller" means a person that has acted as a seller
135.10in four or more contracts for deed involving residential real property during the 12-month
135.11period that precedes either: (1) the date on which the purchaser executes a purchase
135.12agreement under section 559.202; or (2) if there is no purchase agreement, the date on
135.13which the purchaser executes a contract for deed under section 559.202. A contract for
135.14deed transaction that is exempt under section 559.202, subdivision 2, is a contract for deed
135.15for the purposes of determining whether a seller is a multiple seller.
135.16 Subd. 5. Person. "Person" means a natural person, partnership, corporation, limited
135.17liability company, association, trust, or other legal entity, however organized.
135.18 Subd. 6. Purchase agreement. "Purchase agreement" means a purchase agreement
135.19for a contract for deed, an earnest money contract, or an executed option contemplating
135.20that, at closing, the seller and the purchaser will enter into a contract for deed.
135.21 Subd. 7. Purchaser. "Purchaser" means a natural person who enters into a contract
135.22for deed to purchase residential real property. Purchaser includes all purchasers who enter
135.23into the same contract for deed to purchase residential real property.
135.24 Subd. 8. Residential real property. "Residential real property" means real property
135.25consisting of one to four family dwelling units, one of which the purchaser intends to
135.26occupy as the purchaser's principal place of residence. Residential real property does
135.27not include property subject to a family farm security loan or a transaction subject to
135.28sections 583.20 to 583.32.
Sec. 8. [559.202] CONTRACTS FOR DEED INVOLVING RESIDENTIAL
135.31 Subdivision 1. Notice required. (a) In addition to the disclosures required under
135.32sections 513.52 to 513.60, a multiple seller must deliver the notice specified under
135.33subdivision 3 to a prospective purchaser as provided under this subdivision.
136.1(b) If there is a purchase agreement, the notice must be affixed to the front of
136.2the purchase agreement. A contract for deed for which notice is required under this
136.3subdivision may not be executed for five business days following the execution of the
136.4purchase agreement and delivery of the notice and instructions for cancellation.
136.5(c) If there is no purchase agreement, a multiple seller must deliver the notice in a
136.6document separate from any other document or writing to a prospective purchaser no less
136.7than five business days before the prospective purchaser executes the contract for deed.
136.8(d) The notice must be:
136.9(1) written in at least 12-point type; and
136.10(2) signed and dated by the purchaser.
136.11(e) If a dispute arises concerning whether or when the notice required by this
136.12subdivision was provided to the purchaser, there is a rebuttable presumption that the notice
136.13was not provided unless the original executed contract for deed contains the following
136.14statement, initialed by the purchaser: "By initialing here ....... purchaser acknowledges
136.15receipt at least five business days before signing this contract for deed of the disclosure
136.16statement entitled "Important Information About Contracts for Deed" required by
136.17Minnesota Statutes, section 559.202, subdivision 3."
136.18 Subd. 2. Exception. This section does not apply if the purchaser is represented
136.19throughout the transaction by either:
136.20(1) a person licensed to practice law in this state; or
136.21(2) a person licensed as a real estate broker or salesperson under chapter 82,
136.22provided that the representation does not create a dual agency, as that term is defined
136.23in section 82.55, subdivision 6.
136.24 Subd. 3. Content of the notice. The notice must contain the following verbatim
136.26"IMPORTANT INFORMATION ABOUT CONTRACTS FOR DEED
136.27Know What You Are Getting Into
136.28(1) A contract for deed is a complex legal agreement. You are NOT a tenant. Mortgage
136.29foreclosure laws don't apply.
136.30(2) You should know ALL of your obligations and rights before you sign a purchase
136.31agreement or contract for deed.
136.32(3) You (seller must circle one):
137.1(4) After some time, you may need to make a large lump sum payment (called a "balloon
137.2payment"). Know when it is due and how much it will be. You'll probably need to get a
137.3new mortgage, another financial arrangement, or pay for the balance in cash at that time.
137.4(5) If you miss just a single payment or can't make the balloon payment, the seller can
137.5cancel your contract. You will likely lose all the money you have already paid. You will
137.6likely lose your ability to purchase the home. The seller can begin an eviction action
137.7against you in just a few months.
137.8(6) Within four months of signing the contract for deed, you must "record" it in the office
137.9of the county recorder or registrar of titles in the county in which the property is located.
137.10If you do not do so, you could face a fine.
137.11Key Things Highly Recommended Before You Sign
137.12(1) Get advice from a lawyer or the Minnesota Home Ownership Center at 1-866-462-6466
137.13or go to www.hocmn.org. To find a lawyer through the Minnesota State Bar Association,
137.14go to www.mnfindalawyer.com.
137.15(2) Get an independent, professional appraisal of the property to learn what it is worth.
137.16(3) Get an independent, professional inspection of the property.
137.17(4) Buy title insurance or ask a real estate lawyer for a "title opinion."
137.18(5) Check with the city or county to find out if there are inspection reports or unpaid
137.20(6) Check with a title company or the county where the property is located to find out if
137.21there is a mortgage or other lien on the property and if the property taxes have been paid.
137.22(7) Ensure that your interest rate does not exceed the maximum allowed by law by calling
137.23the Department of Commerce at 651-297-7053 to get a recorded message for the current
137.24month's maximum rate.
137.25If You Are Entering into a Purchase Agreement
137.26(1) If you haven't already signed the contract for deed, you can cancel the purchase
137.27agreement (and get all your money back) if you do so within five business days after
137.28getting this notice.
137.29(2) To cancel the purchase agreement, you must follow the provisions of Minnesota
137.30Statutes, section 559.217, subdivision 4. Ask a lawyer for help."
137.31 Subd. 4. Right to cancel purchase agreement. (a) A prospective purchaser may
137.32cancel a purchase agreement within five business days after actually receiving the notice
138.1required under subdivision 1 if a multiple seller fails to timely deliver the notice, provided
138.2that the contract for deed has not been executed by all parties.
138.3(b) A prospective purchaser may cancel the purchase agreement in accordance with
138.4the provisions of section 559.217, subdivision 4.
138.5(c) In the event of cancellation, the multiple seller may not impose a penalty and must
138.6promptly refund all payments made by the prospective purchaser prior to cancellation.
138.7 Subd. 5. Remedies for failure to timely deliver notices. (a) Notwithstanding
138.8any contrary provision in the purchase agreement or contract for deed, a purchaser has
138.9a private right of action against a multiple seller who fails to timely deliver the notice
138.10required under subdivision 1. The multiple seller is liable to the purchaser for:
138.11(1) the greater of actual damages or statutory damages of $2,500; and
138.12(2) reasonable attorney fees and court costs.
138.13(b) A multiple seller who knowingly fails to timely deliver the notice required
138.14under subdivision 1 is liable to the purchaser for triple the actual or statutory damages
138.15available under paragraph (a), whichever is greater, provided that the purchaser must elect
138.16the remedy provided under either paragraph (a) or this paragraph and may not recover
138.17damages under both paragraphs.
138.18(c) The rights and remedies provided in this subdivision are cumulative to, and not
138.19a limitation of, any other rights and remedies provided under law. An action brought
138.20pursuant to this subdivision must be commenced within four years from the date of the
138.22 Subd. 6. Effects of violation. A violation of this section has no effect on the
138.23validity of the contract.
138.24 Subd. 7. Duty of multiple seller to account. Upon reasonable request by the
138.25purchaser and no more than once every 12-month period, a multiple seller must provide an
138.26accounting of all payments made pursuant to the contract for deed, the amount of interest
138.27paid, and the amount remaining to satisfy the principal balance under the contract.
138.28 Subd. 8. No waiver. The provisions of this section may not be waived.
138.29EFFECTIVE DATE.This section is effective August 1, 2013, and applies to
138.30transactions in which the contract for deed and the purchase agreement for the contract
138.31for deed, if any, were both executed on or after that date.
|have to pay homeowner's insurance.
|have to pay property taxes.
|have to make and pay for some or all of the repairs or
maintenance, as described in the contract for deed.
Sec. 9. Minnesota Statutes 2012, section 559.211, subdivision 2, is amended to read:
Subd. 2. Remedies additional.
The remedies provided in this section are in
addition to and do not limit other rights or remedies available to purchasers or vendors of
real estate. Subject to the provisions of sections 559.213 and 559.217, subdivision 7, this
139.1section shall not be construed to bar a court from determining the validity, effectiveness,
139.2or consequences of proceeding under section 559.21 or 559.217, or granting other relief in
139.3connection therewith, by reason of the failure of a purchaser to seek or obtain relief under
139.4this section prior to the purported effective date of the termination of the contract.
Sec. 10. Laws 2011, First Special Session chapter 2, article 2, section 3, subdivision 4,
is amended to read:
|Subd. 4.Administrative Services
$375,000 each year is for additional
compliance efforts with unclaimed property.
The commissioner may issue contracts
for these services.
This additional amount
139.12 shall be added to the base budget for fiscal
139.13 years 2014 and 2015 only. The enhanced
139.14 unclaimed property compliance program
139.15 shall sunset June 30, 2015.
Sec. 11. SOLAR PHOTOVOLTAIC MODULES.
139.17No solar photovoltaic module may be installed that is financed directly or indirectly,
139.18wholly or in part, with money appropriated in this act, unless the solar photovoltaic
139.19module is made in Minnesota as defined in Minnesota Statutes, section 16B.323,
139.20subdivision 1, paragraph (b).
Sec. 12. INFORMATION ON COUNSELING AGENCIES.
139.22The commissioner of commerce shall consult with interested stakeholders in
139.23studying the possibility of providing on its Internet Web site a link, including contact
139.24information, for each of the counseling certification entities identified in Minnesota
139.25Statutes, section 58.13, subdivision 1, where a list of certified counselors and counseling
139.26agencies, including designations for nonprofit organizations, is available.
Sec. 13. REPEALER.
139.28Minnesota Statutes 2012, section 507.235, subdivision 4, is repealed effective the
139.29day following final enactment.
Section 1. Minnesota Statutes 2012, section 216B.16, subdivision 7b, is amended to
Subd. 7b. Transmission cost adjustment.
(a) Notwithstanding any other provision
of this chapter, the commission may approve a tariff mechanism for the automatic annual
adjustment of charges for the Minnesota jurisdictional costs net of associated revenues
(i) new transmission facilities that have been separately filed and reviewed and
approved by the commission under section
or are certified as a priority project
or deemed to be a priority transmission project under section
(ii) new transmission facilities approved by the regulatory commission of the state
140.12in which the new transmission facilities are to be constructed, to the extent approval
140.13is required by the laws of that state, and determined by the Midcontinent Independent
140.14System Operator to benefit the utility or integrated transmission system; and
charges incurred by a utility under a federally approved tariff
from other transmission owners' regionally planned transmission projects that have been
determined by the
Independent System Operator to benefit the
, as provided for under a federally approved tariff or integrated transmission system
(b) Upon filing by a public utility or utilities providing transmission service, the
commission may approve, reject, or modify, after notice and comment, a tariff that:
(1) allows the utility to recover on a timely basis the costs net of revenues of
facilities approved under section
or certified or deemed to be certified under
or exempt from the requirements of section
(2) allows the utility to recover
by a utility under a federally
that accrue from other transmission owners' regionally planned
transmission projects that have been determined by the
System Operator to benefit the utility
, as provided for under a federally approved tariff
140.28 or integrated transmission system
. These charges must be reduced or offset by revenues
received by the utility and by amounts the utility charges to other regional transmission
owners, to the extent those revenues and charges have not been otherwise offset;
(3) allows the utility to recover on a timely basis the costs net of revenues of facilities
140.32approved by the regulatory commission of the state in which the new transmission
140.33facilities are to be constructed and determined by the Midcontinent Independent System
140.34Operator to benefit the utility or integrated transmission system;
allows a return on investment at the level approved in the utility's last general
rate case, unless a different return is found to be consistent with the public interest;
provides a current return on construction work in progress, provided that
recovery from Minnesota retail customers for the allowance for funds used during
construction is not sought through any other mechanism;
allows for recovery of other expenses if shown to promote a least-cost project
option or is otherwise in the public interest;
allocates project costs appropriately between wholesale and retail customers;
provides a mechanism for recovery above cost, if necessary to improve the
overall economics of the project or projects or is otherwise in the public interest; and
terminates recovery once costs have been fully recovered or have otherwise
been reflected in the utility's general rates.
(c) A public utility may file annual rate adjustments to be applied to customer bills
paid under the tariff approved in paragraph (b). In its filing, the public utility shall provide:
(1) a description of and context for the facilities included for recovery;
(2) a schedule for implementation of applicable projects;
(3) the utility's costs for these projects;
(4) a description of the utility's efforts to ensure the lowest costs to ratepayers for
the project; and
(5) calculations to establish that the rate adjustment is consistent with the terms
of the tariff established in paragraph (b).
(d) Upon receiving a filing for a rate adjustment pursuant to the tariff established in
paragraph (b), the commission shall approve the annual rate adjustments provided that,
after notice and comment, the costs included for recovery through the tariff were or are
expected to be prudently incurred and achieve transmission system improvements at the
lowest feasible and prudent cost to ratepayers.
Sec. 2. Minnesota Statutes 2012, section 216B.1635, is amended to read:
141.28216B.1635 RECOVERY OF GAS UTILITY INFRASTRUCTURE COSTS.
Subdivision 1. Definitions.
(a) "Gas utility" means a public utility as defined in
216B.02, subdivision 4
, that furnishes natural gas service to retail customers.
(b) "Gas utility infrastructure costs" or "GUIC" means costs incurred in
(1) do not serve to increase revenues by directly connecting the infrastructure
replacement to new customers;
(2) are in service but were not included in the gas utility's rate base in its most recent
general rate case
; and, or are planned to be in service during the period covered by the
142.3report submitted under subdivision 2, but in no case longer than the one year forecast
142.4period in the report; and
replace or modify existing infrastructure if the replacement or modification does
142.6 not constitute a betterment, unless the betterment is required by a political subdivision,
142.7 as evidenced by specific documentation from the government entity requiring the
142.8 replacement or modification of infrastructure do not constitute a betterment, unless the
142.9betterment is based on requirements by a political subdivision or a federal or state agency,
142.10as evidenced by specific documentation, an order, or other similar requirement from the
142.11government entity requiring the replacement or modification of infrastructure
(c) "Gas utility projects" means
replacement of natural gas facilities located in the public right-of-way required
by the construction or improvement of a highway, road, street, public building, or other
public work by or on behalf of the United States, the state of Minnesota, or a political
142.17(2) replacement or modification of existing natural gas facilities, including surveys,
142.18assessments, reassessment, and other work necessary to determine the need for replacement
142.19or modification of existing infrastructure that is required by a federal or state agency.
Subd. 2. Gas infrastructure filing.
(a) The commission may approve a gas utility's
142.21 petition for a rate schedule A public utility submitting a petition
under this section
. A gas utility may must submit to the commission,
142.23the department, and interested parties a gas infrastructure project plan report and a
the commission to recover a rate of return, income taxes on the rate of return, incremental
142.25 property taxes, plus incremental depreciation expense associated with GUIC for rate
142.26recovery of only incremental costs associated with projects under subdivision 1, paragraph
142.27(c). The report and petition must be made at least 150 days in advance of implementation
142.28of the rate schedule, provided that the rate schedule will not be implemented until the
142.29petition is approved by the commission pursuant to subdivision 5. The report must be
142.30for a forecast period of one year
(b) The filing is subject to the following:
142.32 (1) A gas utility may submit a filing under this section no more than once per year.
142.33 (2) A gas utility must file sufficient information to satisfy the commission regarding
142.34 the proposed GUIC or be subject to denial by the commission. The information includes,
142.35 but is not limited to:
143.1 (i) the government entity ordering the gas utility project and the purpose for which
143.2 the project is undertaken;
143.3 (ii) the location, description, and costs associated with the project;
143.4 (iii) a description of the costs, and salvage value, if any, associated with the existing
143.5 infrastructure replaced or modified as a result of the project;
143.6 (iv) the proposed rate design and an explanation of why the proposed rate design
143.7 is in the public interest;
143.8 (v) the magnitude and timing of any known future gas utility projects that the utility
143.9 may seek to recover under this section;
143.10 (vi) the magnitude of GUIC in relation to the gas utility's base revenue as approved
143.11 by the commission in the gas utility's most recent general rate case, exclusive of gas
143.12 purchase costs and transportation charges;
143.13 (vii) the magnitude of GUIC in relation to the gas utility's capital expenditures since
143.14 its most recent general rate case;
143.15 (viii) the amount of time since the utility last filed a general rate case and the utility's
143.16 reasons for seeking recovery outside of a general rate case; and
143.17 (ix) documentation supporting the calculation of the GUIC.
143.18 Subd. 3. Gas infrastructure project plan report. The gas infrastructure project
143.19plan report required to be filed under subdivision 2 shall include all pertinent information
143.20and supporting data on each proposed project including, but not limited to, project
143.21description and scope, estimated project costs, and project in-service date.
143.22 Subd. 4. Cost recovery petition for utility's facilities. Notwithstanding any other
143.23provision of this chapter, the commission may approve a rate schedule for the automatic
143.24annual adjustment of charges for gas utility infrastructure costs net of revenues under
143.25this section, including a rate of return, income taxes on the rate of return, incremental
143.26property taxes, incremental depreciation expense, and any incremental operation and
143.27maintenance costs. A gas utility's petition for approval of a rate schedule to recover
143.28gas utility infrastructure costs outside of a general rate case under section 216B.16, is
143.29subject to the following:
143.30(1) a gas utility may submit a filing under this section no more than once per year; and
143.31(2) a gas utility must file sufficient information to satisfy the commission regarding
143.32the proposed GUIC. The information includes, but is not limited to:
143.33(i) the information required to be included in the gas infrastructure project plan
143.34report under subdivision 3;
143.35(ii) the government entity ordering or requiring the gas utility project and the
143.36purpose for which the project is undertaken;
144.1(iii) a description of the estimated costs and salvage value, if any, associated with the
144.2existing infrastructure replaced or modified as a result of the project;
144.3(iv) a comparison of the utility's estimated costs included in the gas infrastructure
144.4project plan and the actual costs incurred, including a description of the utility's efforts to
144.5ensure the costs of the facilities are reasonable and prudently incurred;
144.6(v) calculations to establish that the rate adjustment is consistent with the terms
144.7of the rate schedule, including the proposed rate design and an explanation of why the
144.8proposed rate design is in the public interest;
144.9(vi) the magnitude and timing of any known future gas utility projects that the
144.10utility may seek to recover under this section;
144.11(vii) the magnitude of GUIC in relation to the gas utility's base revenue as approved
144.12by the commission in the gas utility's most recent general rate case, exclusive of gas
144.13purchase costs and transportation charges;
144.14(viii) the magnitude of GUIC in relation to the gas utility's capital expenditures
144.15since its most recent general rate case; and
144.16(ix) the amount of time since the utility last filed a general rate case and the utility's
144.17reasons for seeking recovery outside of a general rate case.
144.18 Subd. 5. Commission action. Upon receiving a gas utility report and petition for
144.19cost recovery under subdivision 2 and assessment and verification under subdivision 4, the
144.20commission may approve the annual GUIC rate adjustments provided that, after notice
144.21and comment, the costs included for recovery through the rate schedule are prudently
144.22incurred and achieve gas facility improvements at the lowest reasonable and prudent
144.23cost to ratepayers.
144.24 Subd. 6. Rate of return. The return on investment for the rate adjustment shall be
144.25at the level approved by the commission in the public utility's last general rate case, unless
144.26the commission determines that a different rate of return is in the public interest.
. Commission authority; rules.
The commission may issue orders and
adopt rules necessary to implement and administer this section.
144.29EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 3. Minnesota Statutes 2012, section 216B.1691, subdivision 2e, is amended to read:
Subd. 2e. Rate impact of standard compliance; report.
Each electric utility must
submit to the commission and the legislative committees with primary jurisdiction over
energy policy a report containing an estimation of the rate impact of activities of the
electric utility necessary to comply with this section. In consultation with the Department
144.35of Commerce, the commission shall determine a uniform reporting system to ensure that
145.1individual utility reports are consistent and comparable, and shall, by order, require each
145.2electric utility subject to this section to use that reporting system.
The rate impact estimate
must be for wholesale rates and, if the electric utility makes retail sales, the estimate
shall also be for the impact on the electric utility's retail rates. Those activities include,
without limitation, energy purchases, generation facility acquisition and construction, and
transmission improvements. An initial report must be submitted within 150 days of May
28, 2011. After the initial report, a report must be updated and submitted as part of each
integrated resource plan or plan modification filed by the electric utility under section
. The reporting obligation of an electric utility under this subdivision expires
December 31, 2025, for an electric utility subject to subdivision 2a, paragraph (a), and
December 31, 2020, for an electric utility subject to subdivision 2a, paragraph (b).
Sec. 4. Minnesota Statutes 2012, section 216B.1692, subdivision 1, is amended to read:
Subdivision 1. Qualifying projects. (a)
Projects that may be approved for the
emissions reduction-rate rider allowed in this section must:
(1) be installed on existing large electric generating power plants, as defined in
216B.2421, subdivision 2, clause (1)
, that are located in the state and that are
currently not subject to emissions limitations for new power plants under the federal Clean
Air Act, United States Code, title 42, section 7401 et seq.;
(2) not increase the capacity of the existing electric generating power plant more
than ten percent or more than 100 megawatts, whichever is greater; and
(3) result in the existing plant either:
(i) complying with applicable new source review standards under the federal Clean
Air Act; or
(ii) emitting air contaminants at levels substantially lower than allowed for new
facilities by the applicable new source performance standards under the federal Clean
Air Act; or
(iii) reducing emissions from current levels at a unit to the lowest cost-effective level
when, due to the age or condition of the generating unit, the public utility demonstrates
that it would not be cost-effective to reduce emissions to the levels in item (i) or (ii).
145.30(b) Notwithstanding paragraph (a), a project may be approved for the emission
145.31reduction rate rider allowed in this section if the project is to be installed on existing
145.32large electric generating power plants, as defined in section 216B.2421, subdivision 2,
145.33clause (1), that are located outside the state and are needed to comply with state or federal
145.34air quality standards, but only if the project has received an advance determination of
145.35prudence from the commission under section 216B.1695.
146.1EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 5. Minnesota Statutes 2012, section 216B.1692, is amended by adding a
subdivision to read:
146.4 Subd. 1a. Exemption. Subdivisions 2, 4, and 5, paragraph (c), clause (1), do not
146.5apply to projects qualifying under subdivision 1, paragraph (b).
146.6EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 6. Minnesota Statutes 2012, section 216B.1692, subdivision 8, is amended to read:
Subd. 8. Sunset.
This section is effective until December 31,
applies to plans, projects, and riders approved before that date and modifications made to
them after that date.
Sec. 7. Minnesota Statutes 2012, section 216B.1695, subdivision 5, is amended to read:
Subd. 5. Cost recovery.
The utility may begin recovery of costs that have been
incurred by the utility in connection with implementation of the project in the next rate
case following an advance determination of prudence or in a rider approved under section
. The commission shall review the costs incurred by the utility for the project.
The utility must show that the project costs are reasonable and necessary, and demonstrate
its efforts to ensure the lowest reasonable project costs. Notwithstanding the commission's
prior determination of prudence, it may accept, modify, or reject any of the project costs.
The commission may determine whether to require an allowance for funds used during
146.21EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 8. Minnesota Statutes 2012, section 216B.1695, is amended by adding a
subdivision to read:
146.24 Subd. 5a. Rate of return. The return on investment in the rider shall be at the
146.25level approved by the commission in the public utility's last general rate case, unless the
146.26commission determines that a different rate of return is in the public interest.
146.27EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 9. Laws 2005, chapter 97, article 10, section 3, is amended to read:
Sec. 3. SUNSET.
Sections 1 and 2 shall expire on June 30,
Section 1. Minnesota Statutes 2012, section 216C.435, is amended by adding a
subdivision to read:
147.5 Subd. 3a. Cost-effective energy improvements. "Cost-effective energy
147.6improvements" mean energy improvements that have been identified in an energy audit
147.7or renewable energy system feasibility study as repaying their purchase and installation
147.8costs in 20 years or less, based on the amount of future energy saved and estimated future
147.10EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 2. Minnesota Statutes 2012, section 216C.435, subdivision 8, is amended to read:
Subd. 8. Qualifying real property.
"Qualifying real property" means a
single-family or multifamily residential dwelling, or a commercial or industrial building,
that the implementing entity has determined, after review of an energy audit or renewable
energy system feasibility study, can be benefited by installation of cost-effective
147.17EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 3. Minnesota Statutes 2012, section 216C.436, subdivision 2, is amended to read:
Subd. 2. Program requirements.
A financing program must:
(1) impose requirements and conditions on financing arrangements to ensure timely
(2) require an energy audit or renewable energy system feasibility study to be
conducted on the qualifying real property and reviewed by the implementing entity prior
to approval of the financing;
(3) require the inspection of all installations and a performance verification of at
least ten percent of the energy improvements financed by the program;
(4) not prohibit the financing of all cost-effective energy improvements not otherwise
147.28prohibited by this section;
require that all cost-effective energy improvements be made to a qualifying
real property prior to, or in conjunction with, an applicant's repayment of financing for
energy improvements for that property;
have energy improvements financed by the program performed by licensed
contractors as required by chapter 326B or other law or ordinance;
require disclosures to borrowers by the implementing entity of the risks
involved in borrowing, including the risk of foreclosure if a tax delinquency results from
provide financing only to those who demonstrate an ability to repay;
not provide financing for a qualifying real property in which the owner is not
current on mortgage or real property tax payments;
require a petition to the implementing entity by all owners of the qualifying
real property requesting collections of repayments as a special assessment under section
provide that payments and assessments are not accelerated due to a default
and that a tax delinquency exists only for assessments not paid when due; and
require that liability for special assessments related to the financing runs
with the qualifying real property.
148.16EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 4. Minnesota Statutes 2012, section 216C.436, subdivision 7, is amended to read:
Subd. 7. Repayment.
An implementing entity that finances an energy improvement
under this section must:
(1) secure payment with a lien against the
qualifying real property; and
(2) collect repayments as a special assessment as provided for in section
or by charter, provided that special assessments may be made payable in up to 20 equal
If the implementing entity is an authority, the local government that authorized
the authority to act as implementing entity shall impose and collect special assessments
necessary to pay debt service on bonds issued by the implementing entity under subdivision
8, and shall transfer all collections of the assessments upon receipt to the authority.
148.28EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 5. Minnesota Statutes 2012, section 216C.436, subdivision 8, is amended to read:
Subd. 8. Bond issuance; repayment.
(a) An implementing entity may issue
revenue bonds as provided in chapter 475 for the purposes of this section, provided the
148.32revenue bond must not be payable more than 20 years from the date of issuance
(b) The bonds must be payable as to both principal and interest solely from the
revenues from the assessments established in subdivision 7.
(c) No holder of bonds issued under this subdivision may compel any exercise of the
taxing power of the implementing entity that issued the bonds to pay principal or interest
on the bonds, and if the implementing entity is an authority, no holder of the bonds may
compel any exercise of the taxing power of the local government. Bonds issued under
this subdivision are not a debt or obligation of the issuer or any local government that
issued them, nor is the payment of the bonds enforceable out of any money other than the
revenue pledged to the payment of the bonds.
149.10EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 6. Minnesota Statutes 2012, section 429.101, subdivision 2, is amended to read:
Subd. 2. Procedure for assessment.
Any special assessment levied under
subdivision 1 shall be payable in a single installment, or by up to ten equal annual
installments as the council may provide, except that a special assessment made under an
149.15energy improvements financing program under subdivision 1, paragraph (c), may be
149.16repayable in up to 20 equal installments
this exception these exceptions
shall apply to assessments made under this section.
149.18EFFECTIVE DATE.This section is effective the day following final enactment.
Section 1. Minnesota Statutes 2012, section 216B.164, subdivision 2, is amended to
Subd. 2. Applicability.
This section as well as any rules promulgated by the
commission to implement this section or the Public Utility Regulatory Policies Act
of 1978, Public Law 95-617, Statutes at Large, volume 92, page 3117, and the Federal
Energy Regulatory Commission regulations thereunder, Code of Federal Regulations,
title 18, part 292, shall, unless otherwise provided in this section,
apply to all Minnesota
electric utilities, including cooperative electric associations and municipal electric utilities.
Sec. 2. Minnesota Statutes 2012, section 216B.164, is amended by adding a
subdivision to read:
149.31 Subd. 2a. Definitions. (a) For the purposes of this section, the following terms
149.32have the meanings given them:
150.1(b) "Aggregated meter" means a meter located on the premises of a customer's
150.2owned or leased property that is contiguous with property containing the customer's
150.4(c) "Capacity" means the number of megawatts alternating current (AC) at the point
150.5of interconnection between a distributed generation facility and a utility's electric system.
150.6(d) "Cogeneration" means a combined process whereby electrical and useful thermal
150.7energy are produced simultaneously.
150.8(e) "Contiguous property" means property owned or leased by the customer sharing
150.9a common border, without regard to interruptions in contiguity caused by easements,
150.10public thoroughfares, transportation rights-of-way, or utility rights-of-way.
150.11(f) "Customer" means the person who is named on the utility electric bill for the
150.13(g) "Designated meter" means a meter that is physically attached to the customer's
150.14facility that the customer-generator designates as the first meter to which net metered
150.15credits are to be applied as the primary meter for billing purposes when the customer is
150.16serviced by more than one meter.
150.17(h) "Distributed generation" means a facility that:
150.18(1) has a capacity of ten megawatts or less;
150.19(2) is interconnected with a utility's distribution system, over which the commission
150.20has jurisdiction; and
150.21(3) generates electricity from natural gas, renewable fuel, or a similarly clean fuel,
150.22and may include waste heat, cogeneration, or fuel cell technology.
150.23(i) "High-efficiency distributed generation" means a distributed energy facility
150.24that has a minimum efficiency of 40 percent, as calculated under section 272.0211,
150.26(j) "Net metered facility" means an electric generation facility constructed for the
150.27purpose of offsetting energy use through the use of renewable energy or high-efficiency
150.28distributed generation sources.
150.29(k) "Renewable energy" has the meaning given in section 216B.2411, subdivision 2.
150.30(l) "Standby charge" means a charge imposed by an electric utility upon a distributed
150.31generation facility for the recovery of costs for the provision of standby services, as
150.32provided for in a utility's tariffs approved by the commission, necessary to make electricity
150.33service available to the distributed generation facility.
Sec. 3. Minnesota Statutes 2012, section 216B.164, subdivision 3, is amended to read:
Subd. 3. Purchases; small facilities.
(a) This paragraph applies to cooperative
151.2electric associations and municipal utilities.
For a qualifying facility having less than
40-kilowatt capacity, the customer shall be billed for the net energy supplied by the utility
according to the applicable rate schedule for sales to that class of customer. In the case
of net input into the utility system by a qualifying facility having less than 40-kilowatt
capacity, compensation to the customer shall be at a per kilowatt-hour rate determined
(c) or (d)
(b) This paragraph applies to public utilities. For a qualifying facility having less
151.9than 1,000-kilowatt capacity, the customer shall be billed for the net energy supplied by
151.10the utility according to the applicable rate schedule for sales to that class of customer. In
151.11the case of net input into the utility system by a qualifying facility having: (1) more than
151.1240-kilowatt but less than 1,000-kilowatt capacity, compensation to the customer shall be
151.13at a per kilowatt-hour rate determined under paragraph (c); or (2) less than 40-kilowatt
151.14capacity, compensation to the customer shall be at a per-kilowatt rate determined under
In setting rates, the commission shall consider the fixed distribution costs to the
utility not otherwise accounted for in the basic monthly charge and shall ensure that the
costs charged to the qualifying facility are not discriminatory in relation to the costs
charged to other customers of the utility. The commission shall set the rates for net
input into the utility system based on avoided costs as defined in the Code of Federal
Regulations, title 18, section 292.101, paragraph (b)(6), the factors listed in Code of
Federal Regulations, title 18, section 292.304, and all other relevant factors.
Notwithstanding any provision in this chapter to the contrary, a qualifying
facility having less than 40-kilowatt capacity may elect that the compensation for net input
by the qualifying facility into the utility system shall be at the average retail utility energy
rate. "Average retail utility energy rate" is defined as the average of the retail energy rates,
exclusive of special rates based on income, age, or energy conservation, according to the
applicable rate schedule of the utility for sales to that class of customer.
If the qualifying facility or net metered facility
is interconnected with a
nongenerating utility which has a sole source contract with a municipal power agency
or a generation and transmission utility, the nongenerating utility may elect to treat its
purchase of any net input under this subdivision as being made on behalf of its supplier
and shall be reimbursed by its supplier for any additional costs incurred in making the
purchase. Qualifying facilities or net metered facilities
having less than
capacity if interconnected to a public utility, or less than 40-kilowatt
152.1capacity if interconnected to a cooperative electric association or municipal utility
the customer's option, elect to be governed by the provisions of subdivision 4.
Sec. 4. Minnesota Statutes 2012, section 216B.164, is amended by adding a
subdivision to read:
152.5 Subd. 3a. Net metered facility. (a) Except for customers receiving a value of
152.6solar rate under subdivision 10, a customer with a net metered facility having more than
152.740-kilowatt and less than 1,000-kilowatt capacity that is interconnected to a public utility
152.8may elect to be compensated for the customer's net input into the utility system in the form
152.9of a kilowatt-hour credit on the customer's energy bill carried forward and applied to
152.10subsequent energy bills. Any net input supplied by the customer into the utility system
152.11that exceeds energy supplied to the customer by the utility during a calendar year must be
152.12compensated at the applicable rate.
152.13(b) A public utility may not impose a standby charge on a net metered or qualifying
152.15(1) of 100 kilowatts or less capacity; or
152.16(2) of more than 100 kilowatts capacity, except in accordance with an order of the
152.17commission establishing the allowable costs to be recovered through standby charges.
Sec. 5. Minnesota Statutes 2012, section 216B.164, subdivision 4, is amended to read:
Subd. 4. Purchases; wheeling; costs.
(a) Except as otherwise provided in paragraph
(c), this subdivision shall apply to all qualifying facilities having 40-kilowatt capacity or
more as well as qualifying facilities as defined in subdivision 3 and net metered facilities
152.22under subdivision 3a, if interconnected to a cooperative electric association or municipal
152.23utility, or 1,000-kilowatt capacity or more if interconnected to a public utility,
to be governed by its provisions.
(b) The utility to which the qualifying facility is interconnected shall purchase all
energy and capacity made available by the qualifying facility. The qualifying facility shall
be paid the utility's full avoided capacity and energy costs as negotiated by the parties, as
set by the commission, or as determined through competitive bidding approved by the
commission. The full avoided capacity and energy costs to be paid a qualifying facility
that generates electric power by means of a renewable energy source are the utility's least
cost renewable energy facility or the bid of a competing supplier of a least cost renewable
energy facility, whichever is lower, unless the commission's resource plan order, under
216B.2422, subdivision 2
, provides that the use of a renewable resource to meet
the identified capacity need is not in the public interest.
(c) For all qualifying facilities having 30-kilowatt capacity or more, the utility
shall, at the qualifying facility's or the utility's request, provide wheeling or exchange
agreements wherever practicable to sell the qualifying facility's output to any other
Minnesota utility having generation expansion anticipated or planned for the ensuing ten
years. The commission shall establish the methods and procedures to insure that except
for reasonable wheeling charges and line losses, the qualifying facility receives the full
avoided energy and capacity costs of the utility ultimately receiving the output.
(d) The commission shall set rates for electricity generated by renewable energy.
Sec. 6. Minnesota Statutes 2012, section 216B.164, is amended by adding a
subdivision to read:
153.11 Subd. 4a. Aggregation of meters. (a) For the purpose of measuring electricity
153.12under subdivisions 3 and 3a, a public utility must aggregate for billing purposes a
153.13customer's designated meter with one or more aggregated meters if a customer requests
153.14that it do so. To qualify for aggregation under this subdivision, a meter must be owned by
153.15the customer requesting the aggregation, must be located on contiguous property owned
153.16by the customer requesting the aggregation, and the total of all aggregated meters must be
153.17subject to the size limitation in this section.
153.18(b) A public utility must comply with a request by a customer-generator to aggregate
153.19additional meters within 90 days. The specific meters must be identified at the time of the
153.20request. In the event that more than one meter is identified, the customer must designate
153.21the rank order for the aggregated meters to which the net metered credits are to be applied.
153.22At least 60 days prior to the beginning of the next annual billing period, a customer may
153.23amend the rank order of the aggregated meters, subject to this subdivision.
153.24(c) The aggregation of meters applies only to charges that use kilowatt-hours as the
153.25billing determinant. All other charges applicable to each meter account shall be billed to
153.27(d) A public utility will first apply the kilowatt-hour credit to the charges for the
153.28designated meter and then to the charges for the aggregated meters in the rank order
153.29specified by the customer. If the net metered facility supplies more electricity to the
153.30public utility than the energy usage recorded by the customer-generator's designated and
153.31aggregated meters during a monthly billing period, the public utility shall apply credits to
153.32the customer's next monthly bill for the excess kilowatt-hours.
153.33(e) With the commission's prior approval, a public utility may charge the
153.34customer-generator requesting to aggregate meters a reasonable fee to cover the
154.1administrative costs incurred in implementing the costs of this subdivision, pursuant to
154.2a tariff approved by the commission for a public utility.
Sec. 7. Minnesota Statutes 2012, section 216B.164, is amended by adding a
subdivision to read:
154.5 Subd. 4b. Limiting cumulative generation. The commission may limit the
154.6cumulative generation of net metered facilities under subdivisions 3 and 3a. A public
154.7utility may request the commission to limit the cumulative generation of net metered
154.8facilities under subdivisions 3 and 3a upon a showing that such generation has reached
154.9four percent of the public utility's annual retail electricity sales. The commission may limit
154.10additional net metering obligations under this subdivision only after providing notice and
154.11opportunity for public comment. In determining whether to limit additional net metering
154.12obligations under this subdivision, the commission shall consider:
154.13(1) the environmental and other public policy benefits of net metered facilities;
154.14(2) the impact of net metered facilities on electricity rates for customers without
154.15net metered systems;
154.16(3) the effects of net metering on the reliability of the electric system;
154.17(4) technical advances or technical concerns; and
154.18(5) other statutory obligations imposed on the commission or on a utility.
154.19The commission may limit additional net metering obligations under clauses (2) to (4) only
154.20if it determines that additional net metering obligations would cause significant rate impact,
154.21require significant measures to address reliability, or raise significant technical issues.
Sec. 8. Minnesota Statutes 2012, section 216B.164, is amended by adding a
subdivision to read:
154.24 Subd. 4c. Individual system capacity limits. (a) A public utility that provides retail
154.25electric service may require customers with a facility of 40-kilowatt capacity or more
154.26and participating in net metering and net billing to limit the total generation capacity of
154.27individual distributed generation systems by either:
154.28(1) for wind generation systems, limiting the total generation system capacity kilowatt
154.29alternating current to 120 percent of the customer's on-site maximum electric demand; or
154.30(2) for solar photovoltaic and other distributed generation limiting the total
154.31generation system annual energy production kilowatt hours alternating current to 120
154.32percent of the customer's on-site annual electric energy consumption.
154.33(b) Limits under paragraph (a) must be based on standard 15-minute intervals,
154.34measured during the previous 12 calendar months, or on a reasonable estimate of the
155.1average monthly maximum demand or average annual consumption if the customer has
155.3(i) less than 12 calendar months of actual electric usage; or
155.4(ii) no demand metering available.
Sec. 9. Minnesota Statutes 2012, section 216B.164, subdivision 6, is amended to read:
Subd. 6. Rules and uniform contract.
(a) The commission shall promulgate rules
to implement the provisions of this section. The commission shall also establish a uniform
statewide form of contract for use between utilities and a net metered or
having less than
capacity if interconnected to a public utility
155.10or less than 40-kilowatt capacity if interconnected to a cooperative electric association
155.11or municipal utility
(b) The commission shall require the qualifying facility to provide the utility with
reasonable access to the premises and equipment of the qualifying facility if the particular
configuration of the qualifying facility precludes disconnection or testing of the qualifying
facility from the utility side of the interconnection with the utility remaining responsible
for its personnel.
(c) The uniform statewide form of contract shall be applied to all new and existing
interconnections established between a utility and a net metered or
having less than 40-kilowatt capacity, except that existing contracts may remain in force
written notice of election that the uniform statewide contract form applies is given by
155.21 either party to the other, with the notice being of the shortest time period permitted under
155.22 the existing contract for termination of the existing contract by either party, but not less
155.23 than ten nor longer than 30 days terminated by mutual agreement between both parties
Sec. 10. Minnesota Statutes 2012, section 216B.164, is amended by adding a
subdivision to read:
155.26 Subd. 10. Alternative tariff; compensation for resource value. (a) A public utility
155.27may apply for commission approval for an alternative tariff that compensates customers
155.28through a bill credit mechanism for the value to the utility, its customers, and society for
155.29operating distributed solar photovoltaic resources interconnected to the utility system and
155.30operated by customers primarily for meeting their own energy needs.
155.31(b) If approved, the alternative tariff shall apply to customers' interconnections
155.32occurring after the date of approval. The alternative tariff is in lieu of the applicable
155.33rate under subdivisions 3 and 3a.
156.1(c) The commission shall after notice and opportunity for public comment approve
156.2the alternative tariff provided the utility has demonstrated the alternative tariff:
156.3(1) appropriately applies the methodology established by the department and
156.4approved by the commission under this subdivision;
156.5(2) includes a mechanism to allow recovery of the cost to serve customers receiving
156.6the alternative tariff rate;
156.7(3) charges the customer for all electricity consumed by the customer at the
156.8applicable rate schedule for sales to that class of customer;
156.9(4) credits the customer for all electricity generated by the solar photovoltaic device
156.10at the distributed solar value rate established under this subdivision;
156.11(5) applies the charges and credits in clauses (3) and (4) to a monthly bill that
156.12includes a provision so that the unused portion of the credit in any month or billing period
156.13shall be carried forward and credited against all charges. In the event that the customer
156.14has a positive balance after the 12-month cycle ending on the last day in February, that
156.15balance will be eliminated and the credit cycle will restart the following billing period
156.16beginning on March 1;
156.17(6) complies with the size limits specified in subdivision 3a;
156.18(7) complies with the interconnection requirements under section 216B.1611; and
156.19(8) complies with the standby charge requirements in subdivision 3a, paragraph (b).
156.20(d) A utility must provide to the customer the meter and any other equipment needed
156.21to provide service under the alternative tariff.
156.22(e) The department must establish the distributed solar value methodology in
156.23paragraph (c), clause (1), no later than January 31, 2014. The department must submit
156.24the methodology to the commission for approval. The commission must approve, modify
156.25with the consent of the department, or disapprove the methodology within 60 days of its
156.26submission. When developing the distributed solar value methodology, the department
156.27shall consult stakeholders with experience and expertise in power systems, solar
156.28energy, and electric utility ratemaking regarding the proposed methodology, underlying
156.29assumptions, and preliminary data.
156.30(f) The distributed solar value methodology established by the department must,
156.31at a minimum, account for the value of energy and its delivery, generation capacity,
156.32transmission capacity, transmission and distribution line losses, and environmental
156.33value. The department may, based on known and measurable evidence of the cost or
156.34benefit of solar operation to the utility, incorporate other values into the methodology,
156.35including credit for locally manufactured or assembled energy systems, systems installed
156.36at high-value locations on the distribution grid, or other factors.
157.1(g) The credit for distributed solar value applied to alternative tariffs approved
157.2under this section shall represent the present value of the future revenue streams of the
157.3value components identified in paragraph (f).
157.4(h) The utility shall recalculate the alternative tariff on an annual cycle, and shall file
157.5the recalculated alternative tariff with the commission for approval.
157.6(i) Renewable energy credits for solar energy credited under this subdivision belong
157.7to the electric utility providing the credit.
157.8(j) The commission may not authorize a utility to charge an alternative tariff rate
157.9that is lower than the utility's applicable retail rate until three years after the commission
157.10approves an alternative tariff for the utility.
157.11(k) A utility must enter into a contract with an owner of a solar photovoltaic device
157.12receiving an alternative tariff rate under this section that has a term of at least 20 years,
157.13unless a shorter term is agreed to by the parties.
157.14(l) An owner of a solar photovoltaic device receiving an alternative tariff rate
157.15under this section must be paid the same rate per kilowatt-hour generated each year for
157.16the term of the contract.
Section 1. [116C.7792] SOLAR ENERGY INCENTIVE PROGRAM.
157.20The utility subject to section 116C.779 shall operate a program to provide solar
157.21energy production incentives for solar energy systems of no more than a total nameplate
157.22capacity of 20 kilowatts direct current. The program shall be operated for five consecutive
157.23calendar years commencing in 2014. $5,000,000 shall be allocated for each of the five
157.24years from the renewable development account established in section 116C.779 to a
157.25separate account for the purpose of the solar production incentive program. The solar
157.26system must be sized to less than 120 percent of the customer's on-site annual energy
157.27consumption. The production incentive must be paid for ten years commencing with
157.28the commissioning of the system. The utility must file a plan to operate the program
157.29with the commissioner of commerce. The utility may not operate the program until it is
157.30approved by the commissioner.
Sec. 2. [216B.1641] COMMUNITY SOLAR GARDEN.
157.32(a) The public utility subject to section 116C.779 shall file by September 30, 2013, a
157.33plan with the commission to operate a community solar garden program which shall begin
157.34operations within 90 days after commission approval of the plan. Other public utilities
158.1may file an application at their election. The community solar garden program must be
158.2designed to offset the energy use of not less than five subscribers in each community
158.3solar garden facility of which no single subscriber has more than a 40 percent interest.
158.4The owner of the community solar garden may be a public utility or any other entity or
158.5organization that contracts to sell the output from the community solar garden to the
158.6utility under section 216B.164. There shall be no limitation on the number or cumulative
158.7generating capacity of community solar garden facilities other than the limitations imposed
158.8under section 216B.164, subdivision 4c or other limitations provided in law or regulations.
158.9(b) A solar garden is a facility that generates electricity by means of a ground
158.10mounted or roof mounted solar photovoltaic device whereby subscribers receive a bill
158.11credit for the electricity generated in proportion to the size of their subscription. The solar
158.12garden must have a nameplate capacity of no more than one megawatt. Each subscription
158.13shall be sized to represent at least 200 watts of the community solar garden's generating
158.14capacity and to supply, when combined with other distributed generation resources serving
158.15the premises, no more than 120 percent of the average annual consumption of electricity
158.16by each subscriber at the premises to which the subscription is attributed.
158.17(c) The solar generation facility must be located in the service territory of the public
158.18utility filing the plan. Subscribers must be retail customers of the public utility located in
158.19the same county or a county contiguous to where the facility is located.
158.20(d) The public utility must purchase from the community solar garden all energy
158.21generated by the solar garden. The purchase shall be at the rate calculated under section
158.22216B.164, subdivision 10, or, until that rate for the public utility has been approved by
158.23the commission, the applicable retail rate. A solar garden is eligible for any incentive
158.24programs offered under either section 116C.7792 or section 216C.415. A subscriber's
158.25portion of the purchase shall be provided by a credit on the subscriber's bill.
158.26(e) The commission may approve, disapprove, or modify a community solar garden
158.27program. Any plan approved by the commission must:
158.28(1) reasonably allow for the creation, financing, and accessibility of community
158.30(2) establish uniform standards, fees, and processes for the interconnection
158.31of community solar garden facilities that allow the utility to recover reasonable
158.32interconnection costs for each community solar garden;
158.33(3) not apply different requirements to utility and non-utility community solar
158.35(4) be consistent with the public interest;
159.1(5) identify the information that must be provided to potential subscribers to ensure
159.2fair disclosure of future costs and benefits of subscriptions;
159.3(6) include a program implementation schedule;
159.4(7) identify all proposed rules, fees, and charges; and
159.5(8) identify the means by which the program will be promoted.
159.6(f) Notwithstanding any other law, neither the manager of nor the subscribers to a
159.7community solar garden facility shall be considered a utility solely as a result of their
159.8participation in the community solar garden facility.
159.9(g) Within 180 days of commission approval of a plan under this section, a utility
159.10shall begin crediting subscriber accounts for each community solar garden facility in
159.11its service territory, and shall file with the commissioner of commerce a description of
159.12its crediting system.
159.13(h) For the purposes of this section, the following terms have the meanings given:
159.14(1) "subscriber" means a retail customer of a utility who owns one or more
159.15subscriptions of a community solar garden facility interconnected with that utility; and
159.16(2) "subscription" means a contract between a subscriber and the owner of a solar
Sec. 3. Minnesota Statutes 2012, section 216B.1691, is amended by adding a
subdivision to read:
159.20 Subd. 2f. Solar energy standard. (a) In addition to the requirements of subdivisions
159.212a and 2b, each public utility shall generate or procure sufficient electricity generated
159.22by solar energy to serve its retail electricity customers in Minnesota so that by the end
159.23of 2020, at least 1.5 percent of the utility's total retail electric sales to retail customers in
159.24Minnesota is generated by solar energy. At least ten percent of the 1.5 percent goal must
159.25be met by solar energy generated by or procured from solar photovoltaic devices with a
159.26nameplate capacity of 20 kilowatts or less.
159.27(b) The solar energy standard established in this subdivision is subject to all the
159.28provisions of this section governing a utility's standard obligation under subdivision 2a .
159.29(c) It is an energy goal of the state of Minnesota that by 2030, ten percent of the
159.30retail electric sales in Minnesota be generated by solar energy.
159.31(d) For the purposes of calculating the total retail electric sales of a public utility
159.32under this subdivision, there shall be excluded retail electric sales to customers that are:
159.33(1) an iron mining extraction and processing facility, including a scram mining
159.34facility as defined in Minnesota Rules, part 6130.0100, subpart 16; or
160.1(2) a paper mill, wood products manufacturer, sawmill, or oriented strand board
160.3Those customers may not have included in the rates charged to them by the public
160.4utility any costs of satisfying the solar standard specified by this subdivision.
160.5(e) A public utility may not use energy used to satisfy the solar energy standard
160.6under this subdivision to satisfy its standard obligation under subdivision 2a. A public
160.7utility may not use energy used to satisfy the standard obligation under subdivision 2a to
160.8satisfy the solar standard under this subdivision.
160.9(f) Notwithstanding any law to the contrary, a solar renewable energy credit
160.10associated with a solar photovoltaic device installed and generating electricity in
160.11Minnesota after the effective date of this act but before 2020 may be used to meet the solar
160.12energy standard established under this subdivision.
160.13(g) Beginning July 1, 2014, and each July 1 through 2020, each public utility shall
160.14file a report with the commission reporting its progress in achieving the solar energy
160.15standard established under this subdivision.
Sec. 4. Minnesota Statutes 2012, section 216B.2411, subdivision 3, is amended to read:
Subd. 3. Other provisions.
(a) Electricity generated by a facility constructed with
funds provided under this section and using an eligible renewable energy source may be
counted toward the renewable energy objectives in section
, subject to the
provisions of that section, except as provided in paragraph (c)
(b) Two or more entities may pool resources under this section to provide assistance
jointly to proposed eligible renewable energy projects. The entities shall negotiate and
agree among themselves for allocation of benefits associated with a project, such as the
ability to count energy generated by a project toward a utility's renewable energy objectives
216B.1691, except as provided in paragraph (c)
. The entities shall provide a
summary of the allocation of benefits to the commissioner. A utility may spend funds under
this section for projects in Minnesota that are outside the service territory of the utility.
160.28(c) Electricity generated by a solar photovoltaic device constructed with funds
160.29provided under this section may be counted toward a public utility's solar energy standard
160.30under section 216B.1691, subdivision 2f.
Section 1. [216C.411] DEFINITIONS.
161.1For the purposes of sections 216C.411 to 216C.415, the following terms have the
161.3(a) "Made in Minnesota" means the manufacture in this state of solar photovoltaic
161.5(1) at a manufacturing facility located in Minnesota that is registered and authorized
161.6to manufacture and apply the UL 1703 certification mark to solar photovoltaic modules by
161.7Underwriters Laboratory (UL), CSA International, Intertek, or an equivalent UL-approved
161.8independent certification agency;
161.9(2) that bear UL 1703 certification marks from UL, CSA International, Intertek, or
161.10an equivalent UL-approved independent certification agency, which must be physically
161.11applied to the modules at a manufacturing facility described in clause (1); and
161.12(3) that are manufactured in Minnesota:
161.13(i) by manufacturing processes that must include tabbing, stringing, and lamination;
161.15(ii) by interconnecting low-voltage direct current photovoltaic elements that produce
161.16the final useful photovoltaic output of the modules.
161.17A solar photovoltaic module that is manufactured by attaching microinverters, direct
161.18current optimizers, or other power electronics to a laminate or solar photovoltaic
161.19module that has received UL 1703 certification marks outside Minnesota from UL, CSA
161.20International, Intertek, or an equivalent UL-approved independent certification agency is
161.21not "Made in Minnesota" under this paragraph.
161.22 (b) "Solar photovoltaic module" has the meaning given in section 116C.7791,
161.23subdivision 1, paragraph (e).
161.24EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 2. [216C.412] "MADE IN MINNESOTA" SOLAR ENERGY PRODUCTION
161.27 Subdivision 1. Account established; account management. A "Made in
161.28Minnesota" solar energy production incentive account is established as a separate account
161.29in the special revenue fund in the state treasury. Earnings, such as interest, dividends,
161.30and any other earnings arising from account assets, must be credited to the account.
161.31Funds remaining in the account at the end of a fiscal year do not cancel to the general
161.32fund but remain in the account. There is annually appropriated from the account to the
161.33commissioner of commerce money sufficient to make the incentive payments under section
161.34216C.415, the transfers under 216C.416, and to administer sections 216C.412 to 216C.415.
162.1 Subd. 2. Payments from public utilities. (a) Beginning January 1, 2014, and
162.2each January 1 thereafter, through 2023, for a total of ten years, each electric public
162.3utility subject to section 216B.241 must annually pay to the commissioner of commerce
162.4five percent of the minimum amount it is required to spend on energy conservation
162.5improvements under section 216B.241, subdivision 1a. Payments under this subdivision
162.6must be included in the calculation of whether a utility's other spending on generation
162.7exceeds the limits authorized for spending on generation under section 216B.2411,
162.8subdivision 1, for investments proposed for commissioner of commerce approval after
162.9July 1, 2013. The limits on spending in section 216B.2411 do not limit or apply to
162.10payments required by this subdivision. Payments made under this paragraph count
162.11towards satisfying expenditure obligations of a public utility under section 216B.241,
162.12subdivision 1a. The commissioner shall, upon receipt of the funds, deposit them in the
162.13account established in subdivision 1. A public utility subject to this paragraph must be
162.14credited energy-savings for the purpose of satisfying its energy savings requirement under
162.15section 216B.241, subdivision 1c, based on its payment to the commissioner.
162.16(b) Notwithstanding section 116C.779, subdivision 1, paragraph (g), beginning
162.17January 1, 2014, and continuing through January 1, 2023, for a total of ten years, the
162.18public utility that manages the account under section 116C.779 must annually pay from
162.19that account to the commissioner an amount that, when added to the total amount paid to
162.20the commissioner of commerce under paragraph (a), totals $15,000,000 annually. The
162.21commissioner shall, upon receipt of the payment, deposit it in the account established in
162.23EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 3. [216C.413] "MADE IN MINNESOTA" SOLAR ENERGY PRODUCTION
162.26 Subdivision 1. Application. A manufacturer of solar photovoltaic modules seeking
162.27to qualify those modules as eligible to receive the "Made in Minnesota" solar energy
162.28production incentive must submit an application to the commissioner of commerce on a
162.29form prescribed by the commissioner. The application must contain:
162.30(1) a technical description of the solar photovoltaic module and the processes used
162.31to manufacture it, excluding proprietary details;
162.32(2) documentation that the solar photovoltaic module meets all the required
162.33applicable parts of the "Made in Minnesota" definition in section 216C.411, including
162.34evidence of the UL 1703 right to mark for all solar photovoltaic modules seeking to
162.35qualify as "Made in Minnesota";
163.1(3) any additional nonproprietary information requested by the commissioner
163.2of commerce; and
163.3(4) certification signed by the chief executive officer of the manufacturing company
163.4attesting to the truthfulness of the contents of the application and supporting materials
163.5under penalty of perjury.
163.6 Subd. 2. Certification. If the commissioner determines that a manufacturer's solar
163.7photovoltaic module meets the definition of "Made in Minnesota" in section 216C.411, the
163.8commissioner shall issue the manufacturer a "Made in Minnesota" certificate containing
163.9the name and model numbers of the certified solar photovoltaic modules and the date of
163.10certification. The commissioner must issue or deny the issuance of a certificate within 90
163.11days of receipt of a completed application. A copy of the certificate must be provided to
163.12each purchaser of the solar photovoltaic module.
163.13 Subd. 3. Revocation of certification. The commissioner may revoke a certification
163.14of a module as "Made in Minnesota" if the commissioner finds that the module no longer
163.15meets the requirements to be certified. The revocation does not affect incentive payments
163.16awarded prior to the revocation.
163.17EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 4. [216C.414] "MADE IN MINNESOTA" SOLAR ENERGY PRODUCTION
163.20 Subdivision 1. Setting incentive. Within 90 days of a module being certified as
163.21"Made in Minnesota" the commissioner of commerce shall set a solar energy production
163.22incentive amount for that solar photovoltaic module for the purpose of the incentive
163.23payment under section 216C.415. The incentive is a performance-based financial
163.24incentive expressed as a per kilowatt-hour amount. The amount shall be used for incentive
163.25applications approved in the year to which the incentive amount is applicable for the
163.26ten-year duration of the incentive payments. An incentive amount must be calculated for
163.27each module for each calendar year, through 2023.
163.28 Subd. 2. Criteria for determining incentive amount. (a) The commissioner shall
163.29set the incentive payment amount by determining the average amount of incentive payment
163.30required to allow an average owner of installed solar photovoltaic modules a reasonable
163.31return on their investment. In setting the incentive amount the commissioner shall consider:
163.32(1) an estimate of the installed cost per kilowatt-direct current, based on the cost data
163.33supplied by the manufacturer in the application submitted under section 216C.413, and an
163.34estimate of the average installation cost based on a representative sample of Minnesota
163.35solar photovoltaic installed projects;
164.1(2) the average insolation rate in Minnesota;
164.2(3) an estimate of the decline in the generation efficiency of the solar photovoltaic
164.3modules over time;
164.4(4) the rate paid by public utilities to owners of solar photovoltaic modules under
164.5section 216B.164 or other law;
164.6(5) applicable federal tax incentives for installing solar photovoltaic modules; and
164.7(6) the estimated levelized cost per kilowatt-hour generated.
164.8(b) The commissioner shall annually, for incentive applications received in a year,
164.9revise each incentive amount based on the factors in paragraph (a), clauses (1) to (6),
164.10general market conditions, and the availability of other incentives. In no case shall the
164.11"Made in Minnesota" incentive amount result in the "Made in Minnesota" incentives paid
164.12exceeding 40 percent, net of average applicable taxes on the ten-year incentive payments,
164.13of the average historic installation cost per kilowatt. The commissioner may exceed the 40
164.14percent cap if the commissioner determines it is necessary to fully expend funds available
164.15for incentive payments in a particular year.
164.16 Subd. 3. Metering of production. A public utility must, at the expense of a customer,
164.17provide a meter to measure the production of a solar photovoltaic module system that is
164.18approved to receive incentive payments. The public utility must furnish the commissioner
164.19with information sufficient for the commissioner to determine the incentive payment. The
164.20information must be provided on a calendar year basis by no later than March 1. The
164.21commissioner shall provide a public utility with forms to use to provide the production
164.22information. A customer must attest to the accuracy of the production information.
164.23 Subd. 4. Payment due date. Payments must be made no later than July 1 following
164.24the year of production.
164.25 Subd. 5. Renewable energy credits. Renewable energy credits associated with
164.26energy provided to a public utility for which an incentive payment is made belong to
Sec. 5. [216C.415] "MADE IN MINNESOTA" SOLAR ENERGY PRODUCTION
164.30 Subdivision 1. Incentive payment. Incentive payments may be made under this
164.31section only to an owner of grid-connected solar photovoltaic modules with a total
164.32nameplate capacity below 40 kilowatts direct current who:
164.33(1) has submitted to the commissioner, on a form established by the commissioner,
164.34an application to receive the incentive that has been approved by the commissioner;
165.1(2) has received a "Made in Minnesota" certificate under section 216C.413 for
165.2the module; and
165.3(3) has installed on residential or commercial property solar photovoltaic modules
165.4that are generating electricity and has received a "Made in Minnesota" certificate under
165.6 Subd. 2. Application process. Applications for an incentive payment must be
165.7received by the commissioner between January 1 and February 28. The commissioner
165.8shall by a random method approve the number of applications the commissioner
165.9reasonably determines will exhaust the funds available for payment for the ten-year period
165.10of incentive payments. Applications for residential and commercial installations shall be
165.11separately randomly approved.
165.12 Subd. 3. Commissioner approval of incentive application. The commissioner
165.13must approve an application for an incentive for an owner to be eligible for incentive
165.14payments. The commissioner must not approve an application in a calendar year if the
165.15commissioner determines there will not be sufficient funding available to pay an incentive
165.16to the applicant for any portion of the ten-year duration of payment. The commissioner
165.17shall annually establish a cap on the cumulative capacity for a program year based on
165.18funds available and historic average installation costs. Receipt of an incentive is not
165.19an entitlement and payment need only be made from available funds in the "Made in
165.20Minnesota" solar production incentive account.
165.21 Subd. 4. Eligibility window; payment duration. (a) Payments may be made under
165.22this section only for electricity generated from new solar photovoltaic module installations
165.23that are commissioned between January 1, 2014, and December 31, 2023.
165.24(b) The payment eligibility window of the incentive begins and runs consecutively
165.25from the date the solar system is commissioned.
165.26(c) An owner of solar photovoltaic modules may receive payments under this
165.27section for a particular module for a period of ten years provided that sufficient funds are
165.28available in the account.
165.29(d) No payment may be made under this section for electricity generated after
165.30December 31, 2033.
165.31(e) An owner of solar photovoltaic modules may not first begin to receive payments
165.32under this section after December 31, 2024.
165.33 Subd. 5. Allocation of payments. (a) If there are sufficient applications,
165.34approximately 50 percent of the incentive payment shall be for owners of eligible solar
165.35photovoltaic modules installed on residential property, and approximately 50 percent shall
165.36be for owners of eligible solar photovoltaic modules installed on commercial property.
166.1(b) The commissioner shall endeavor to distribute incentives paid under this section
166.2to owners of solar photovoltaic modules installed in a manner so that the amount of
166.3payments received in an area of the state reasonably approximates the amount of payments
166.4made by a utility serving that area.
166.5(c) For purposes of this subdivision:
166.6(1) "residential property" means residential real estate that is occupied and used as a
166.7homestead by its owner or by a renter and includes "multifamily housing development"
166.8as defined in section 462C.02, subdivision 5, except that residential property on which
166.9solar photovoltaic modules (i) whose capacity exceeds 10 kilowatts is installed; or (ii)
166.10connected to a utility's distribution system and whose electricity is purchased by several
166.11residents, each of whom own a share of the electricity generated, shall be deemed
166.12commercial property; and
166.13(2) "commercial property" means real property on which is located a business,
166.14government, or nonprofit establishment.
166.15 Subd. 6. Limitation. An owner receiving an incentive payment under this section
166.16may not receive a rebate under section 116C.7791 for the same solar photovoltaic modules.
166.17EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 6. [216C.416] SOLAR THERMAL REBATES.
166.19 Subdivision 1. Rebate program created. The commissioner of commerce shall
166.20operate a program to provide rebates for the installation of "Made in Minnesota" solar
166.21thermal systems in the state. "Solar thermal system" means a flat plate or evacuated tube
166.22that meets the requirements of section 216C.25 with a fixed orientation that collects the
166.23sun's radiant energy and transfers it to a storage medium for distribution as energy to heat
166.24or cool air or water. A solar thermal system is "Made in Minnesota" if components of the
166.25system are manufactured in Minnesota and the solar thermal system is certified by the
166.26Solar Rating and Certification Corporation. The solar thermal system may be installed in
166.27residential and commercial facilities for, among other purposes, hot water, space heating,
166.28or pool heating purposes.
166.29 Subd. 2. Account; funding. (a) The solar thermal system rebate account is created
166.30as a separate account in the special revenue fund in the state treasury. Earnings, such as
166.31interest, dividends, and any other earnings arising from account assets, must be credited to
166.32the account. Funds in the account are appropriated to the commissioner of commerce for the
166.33purpose of making the rebate payments under this section and administering this section.
167.1(b) Beginning January 1, 2014, and each January 1 thereafter to January 1, 2023, the
167.2commissioner of commerce shall annually transfer $250,000 from the account created in
167.3section 216C.412, for deposit in the account created in this subdivision.
167.4(c) To the extent there are sufficient applications, the commissioner shall annually
167.5spend for rebates under this section from 2014 to 2023, for a total of ten years,
167.6approximately $250,000 per year. If sufficient applications are not received to spend the
167.7money available for rebates in a year under this section, the unspent money must be
167.8returned to the account from which it was transferred, provided that funds available for
167.92014 applications shall remain available for 2015 applications.
167.10 Subd. 3. Individual incentives. The maximum rebate for a single family residential
167.11dwelling installation is the lesser of 25 percent of the installed cost of a complete system or
167.12$2,500. The maximum rebate for a multiple family residential dwelling installation is the
167.13lesser of 25 percent of the installed cost of a complete system or $5,000. The maximum
167.14rebate for a commercial installation is the lesser of 25 percent of the installation cost of
167.15the complete system or $25,000. The system must be installed by a factory authorized
167.16installer. The commissioner shall allocate approximately 50 percent of the rebates in each
167.17year to solar thermal hot water and 50 percent to solar thermal air projects if sufficient
167.18applications are made for each.
167.19 Subd. 4. Application process. Applications for incentives must be made to the
167.20commissioner of commerce on forms provided by the commissioner. The commissioner
167.21shall use a random process for the selection of recipients of incentives except to the extent
167.22necessary to allocate rebates as required by this section.
167.23EFFECTIVE DATE.This section is effective the day following final enactment.
167.25ENERGY POLICY DEVELOPMENT
Section 1. [3.8852] PLANNING STRATEGY FOR SUSTAINABLE ENERGY
167.28(a) The Legislative Energy Commission, in consultation with the commissioner of
167.29commerce and other state agencies, shall develop a framework for the state of Minnesota to
167.30transition to a renewable energy economy that ends Minnesota's contribution to greenhouse
167.31gases from burning fossil fuels within the next few decades. The framework and strategy
167.32should aim to make Minnesota the first state in the nation to use only renewable energy.
167.33(b) In developing the framework for this transition, the commission must consult
167.34with stakeholders, including, but not limited to, representatives from cooperative,
168.1municipal, and investor-owned utilities, natural resources and environmental advocacy
168.2groups, labor and industry, and technical and scientific experts to examine the challenges
168.3and opportunities involved to develop a strategy and timeline to protect the environment
168.4and create jobs. The timeline must establish goals and strategies to reach the state's
168.5renewable energy standards and prepare for the steps beyond reaching those standards. The
168.6Department of Commerce, Division of Energy Resources shall provide technical support.
168.7(c) The commission and its stakeholders must consider the following in creating
168.9(1) the economic and environmental costs of continued reliance on fossil fuels;
168.10(2) the creation of jobs and industry in the state that result from moving ahead of
168.11other states in transitioning to a sustainable energy economy;
168.12(3) the appropriate energy efficiency and renewable energy investments in
168.13Minnesota to reduce the economic losses to the Minnesota economy from importation
168.14of fossil fuels; and
168.15(4) the new technologies for energy efficiency, storage, transmission, and renewable
168.16generation needed to reliably meet the demand for energy.
168.17(d) The framework shall be modified as needed to take advantage of new
168.18technological developments to facilitate ending fossil fuel use in power generation,
168.19heating and cooling, industry, and transportation.
168.20(e) The commission shall report to the legislative committees and divisions with
168.21jurisdiction over energy policy by January 15, 2014, and annually thereafter, on progress
168.22towards achieving the framework goals.
Sec. 2. Minnesota Statutes 2012, section 216B.2401, is amended to read:
CONSERVATION SAVINGS POLICY GOAL.
168.25 The legislature finds that energy savings are an energy resource, and that
168.26cost-effective energy savings are preferred over all other energy resources. The legislature
168.27further finds that cost-effective energy savings should be procured systematically and
168.28aggressively in order to reduce utility costs for businesses and residents, improve the
168.29competitiveness and profitability of businesses, create more energy-related jobs, reduce the
168.30economic burden of fuel imports, and reduce pollution and emissions that cause climate
it is the energy policy of the state of Minnesota to achieve annual
energy savings equal to at least
1.5 percent of annual retail energy sales of electricity and
energy conservation improvement programs
and rate design,
and indirectly through energy efficiency achieved by energy consumers
168.35without direct utility involvement,
energy codes and appliance standards, programs
designed to transform the market or change consumer behavior, energy savings resulting
from efficiency improvements to the utility infrastructure and system, and other efforts to
promote energy efficiency and energy conservation.
Sec. 3. Minnesota Statutes 2012, section 216C.05, is amended to read:
169.5216C.05 FINDINGS AND PURPOSE.
Subdivision 1. Energy planning.
The legislature finds and declares that continued
growth in demand for energy will cause severe social and economic dislocations, and that
the state has a vital interest in providing for: increased efficiency in energy consumption,
the development and use of renewable energy resources wherever possible, and the
creation of an effective energy forecasting, planning, and education program.
The legislature further finds and declares that the protection of life, safety, and
financial security for citizens during an energy crisis is of paramount importance.
Therefore, the legislature finds that it is in the public interest to review, analyze, and
encourage those energy programs that will minimize the need for annual increases in fossil
fuel consumption by 1990 and the need for additional electrical generating plants, and
provide for an optimum combination of energy sources and energy conservation
with environmental protection and the protection of citizens.
The legislature intends to monitor, through energy policy planning and
implementation, the transition from historic growth in energy demand to a period when
demand for traditional fuels becomes stable and the supply of renewable energy resources
is readily available and adequately utilized.
169.22The legislature further finds that for economic growth, environmental improvement,
169.23and protection of citizens, it is in the public interest to encourage those energy programs
169.24that will provide an optimum combination of energy resources, including energy savings.
169.25Therefore, the legislature, through its committees, must monitor and evaluate
169.26progress towards greater reliance on cost-effective energy efficiency and renewable
169.27energy and lesser dependence on fossil fuels in order to reduce the economic burden
169.28of fuel imports, diversify utility-owned and consumer-owned energy resources, reduce
169.29utility costs for businesses and residents, improve the competitiveness and profitability of
169.30Minnesota businesses, create more energy-related jobs that contribute to the Minnesota
169.31economy, and reduce pollution and emissions that cause climate change.
Subd. 2. Energy policy goals.
It is the energy policy of the state of Minnesota that:
169.33(1) annual energy savings equal to at least 1.5 percent of annual retail energy sales of
169.34electricity and natural gas be achieved through cost-effective energy efficiency;
the per capita use of fossil fuel as an energy input be reduced by 15 percent
by the year 2015, through increased reliance on energy efficiency and renewable energy
25 percent of the total energy used in the state be derived from renewable
energy resources by the year 2025.
Sec. 4. INTEGRATION AND TRANSMISSION STUDY FOR FUTURE
170.7RENEWABLE ENERGY STANDARD.
170.8(a) The commission shall order all Minnesota electric utilities, as defined in
170.9Minnesota Statutes, section 216B.1691, subdivision 1, paragraph (b), and all transmission
170.10companies, as defined in Minnesota Statutes, section 216B.02, to conduct an engineering
170.11study of the impacts on reliability and costs of, and to study and develop plans for the
170.12transmission network enhancements necessary to support, increasing the renewable energy
170.13standard established in Minnesota Statutes, section 216B.1691, subdivision 2a, to 40
170.14percent by 2030, and to higher proportions thereafter, while maintaining system reliability.
170.15(b) The Minnesota electric utilities and transmission companies must complete the
170.16study work under the direction of the commissioner of commerce. Prior to the start of the
170.17study, the commissioner, in consultation with Minnesota electric utilities and transmission
170.18companies, shall appoint a technical review committee consisting of up to 15 individuals
170.19with experience and expertise in electric transmission system engineering, electric power
170.20systems operations, and renewable energy generation technology to review the study's
170.21proposed methods and assumptions, ongoing work, and preliminary results.
170.22(c) As part of the planning process, the Minnesota electric utilities and transmission
170.23companies must incorporate and build upon the analyses that have previously been done
170.24or that are in progress including but not limited to the 2006 Minnesota Wind Integration
170.25Study and ongoing work to address geographically dispersed development plans, the
170.262007 Minnesota Transmission for Renewable Energy Standard Study, the 2008 and 2009
170.27Statewide Studies of Dispersed Renewable Generation, the 2009 Minnesota RES Update,
170.28Corridor, and Capacity Validation Studies, the 2010 Regional Generation Outlet Study,
170.29the 2011 Multi Value Project Portfolio Study, and recent and ongoing Midcontinent
170.30Independent System Operator transmission expansion planning work. The utilities and
170.31transmission companies shall collaborate with the Midcontinent Independent System
170.32Operator to optimize and integrate, to the extent possible, Minnesota's transmission plans
170.33with other regional considerations and to encourage the Midcontinent Independent System
170.34Operator to incorporate Minnesota's planning work into its transmission expansion future
171.1(d) The study must be completed and submitted to the Minnesota Public Utilities
171.2Commission by November 1, 2014. The report shall include a description of the analyses
171.3that have been conducted and the results, including:
171.4(1) a conceptual plan for transmission necessary for generation interconnection and
171.5delivery and for access to regional geographic diversity and regional supply and demand
171.6side flexibility; and
171.7(2) identification and development of potential solutions to any critical issues
171.8encountered to support increasing the renewable energy standard to 40 percent by 2030,
171.9and to higher proportions thereafter, while maintaining system reliability.
Sec. 5. VALUE OF ON-SITE ENERGY STORAGE STUDY.
171.11(a) The commissioner of commerce shall contract with an independent consultant
171.12selected through a request for proposal process to produce a report analyzing the potential
171.13costs and benefits of installing utility-managed, grid-connected energy storage devices in
171.14residential and commercial buildings in this state. The study must:
171.15(1) estimate the potential value of on-site energy storage devices as a
171.16load-management tool to reduce costs for individual customers and for the utility, including
171.17but not limited to reductions in energy, particularly peaking, costs, and capacity costs;
171.18(2) examine the interaction of energy storage devices with on-site solar photovoltaic
171.20(3) analyze existing barriers to the installation of on-site energy storage devices by
171.21utilities, and examine strategies and design potential economic incentives to overcome
171.23(b) The commissioner of commerce shall assess an amount necessary under
171.24Minnesota Statutes, section 216B.241, subdivision 1e, in addition to the assessment
171.25already authorized under that subdivision, for the purpose of completing the study
171.26described in this section.
171.27 (c) By January 1, 2014, the commissioner of commerce shall submit the study to
171.28the chairs and ranking minority members of the legislative committees with jurisdiction
171.29over energy policy and finance.
Sec. 6. VALUE OF SOLAR THERMAL STUDY.
171.31(a) The commissioner of commerce shall contract with an independent consultant
171.32selected through a request for proposal process to produce a report analyzing the potential
171.33costs and benefits of expanding the installation of solar thermal projects, as defined in
171.34Minnesota Statutes, section 216B.2411, subdivision 2, in residential and commercial
172.1buildings in this state. The study must examine the potential for solar thermal projects
172.2to reduce heating and cooling costs for individual customers and to reduce costs at the
172.3utility level as well. The study must also analyze existing barriers to the installation of
172.4on-site energy storage devices by utilities and examine strategies and design potential
172.5economic incentives to overcome those barriers. By January 1, 2014, the commissioner
172.6of commerce shall submit the study to the chairs and ranking minority members of the
172.7legislative committees with jurisdiction over energy policy and finance.
172.8(b) The commissioner of commerce shall assess an amount necessary under
172.9Minnesota Statutes, section 216B.241, subdivision 1e, in addition to the assessment
172.10already authorized under that subdivision, for the purpose of completing the study
172.11described in this section.
Sec. 7. SCOPING FOR RENEWABLE ENERGY STUDY.
172.13(a) The commissioner of commerce, in consultation with the Legislative Energy
172.14Commission, shall develop the scope for a Minnesota energy future study on how
172.15Minnesota can achieve a sustainable energy system that does not rely on the burning
172.16of fossil fuels.
172.17(b) The study must include energy use in the electrical, transportation, thermal and
172.18industrial sectors of the state economy. The study shall evaluate options for different
172.19mixes of renewable energy, efficiency, energy storage, and new technologies that can
172.20best transform each sector of energy use to become fully sustainable and no longer rely
172.21on fossil fuels in a cost-effective manner.
172.22(c) The study must analyze both costs and benefits. The study must include at least
172.23the following considerations: system reliability, utility rates, energy prices, jobs, economic
172.24development, public health, and environmental quality. Calculation of costs and benefits
172.25must be based on full cost, life-cycle accounting methods that include the benefits of
172.26avoided externalities. The study must be designed to develop appropriate timelines and
172.27accommodate modifications that will occur as new technologies and efficiencies develop.
172.28(d) In developing the scope, the commissioner shall engage stakeholders concerning
172.29the study's parameters and assumptions. The commissioner must report the results of
172.30the scoping process to the Legislative Energy Commission by January 1, 2014. The
172.31commissioner may assess up to $100,000 under Minnesota Statutes, section 216B.62, to
172.32scope and develop this energy study proposal.
172.33EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 8. DEPARTMENT OF COMMERCE; DIVISION OF ENERGY
173.3(a) The Division of Energy Resources of the Department of Commerce must conduct
173.4public meetings with stakeholders and members of the public and shall produce a report
173.5on findings and legislative recommendations to accomplish the following purposes:
173.6(1) clarify statewide energy-savings policies and utility energy-savings goals;
173.7(2) maximize long-term cost-effective energy savings and minimize energy waste;
173.8(3) maximize carbon reductions and economic benefits by increasing the efficiency
173.9of all sectors of the state's energy system;
173.10(4) minimize total utility costs and rate impacts for ratepayers in all sectors;
173.11(5) determine appropriate funding sources for nonconservation projects and
173.12programs, cogeneration, and combined heat and power projects;
173.13(6) determine the appropriate consideration in the integrated resource planning and
173.14certificate of need processes of the requirements to meet the state's energy conservation
173.15and renewable energy goals; and
173.16(7) provide the utility the appropriate incentives to meet the state's energy
173.17conservation and renewable energy goals.
173.18(b) The report must be submitted by January 15, 2014, to the chairs and ranking
173.19minority members of the committees of the legislature with primary jurisdiction over
173.21(c) The division must provide public notice of the meetings.
173.22EFFECTIVE DATE.This section is effective the day following final enactment.
Section 1. Minnesota Statutes 2012, section 16C.144, subdivision 2, is amended to read:
Subd. 2. Guaranteed energy-savings agreement.
The commissioner may enter
into a guaranteed energy-savings agreement with a qualified provider if:
(1) the qualified provider is selected through a competitive process in accordance
with the guaranteed energy-savings program guidelines within the Department of
(2) the qualified provider agrees to submit an engineering report prior to the
execution of the guaranteed energy-savings agreement. The cost of the engineering report
may be considered as part of the implementation costs if the commissioner enters into a
guaranteed energy-savings agreement with the provider;
(3) the term of the guaranteed energy-savings agreement shall not exceed
years from the date of final installation;
(4) the commissioner finds that the amount it would spend on the utility cost-savings
measures recommended in the engineering report will not exceed the amount to be
saved in utility operation and maintenance costs over
years from the date of
implementation of utility cost-savings measures;
(5) the qualified provider provides a written guarantee that the annual utility,
operation, and maintenance cost savings during the term of the guaranteed energy-savings
agreement will meet or exceed the annual payments due under a lease purchase agreement.
The qualified provider shall reimburse the state for any shortfall of guaranteed utility,
operation, and maintenance cost savings; and
(6) the qualified provider gives a sufficient bond in accordance with section
to the commissioner for the faithful implementation and installation of the utility
Sec. 2. Minnesota Statutes 2012, section 216B.241, subdivision 1, is amended to read:
Subdivision 1. Definitions.
For purposes of this section and section
, the terms defined in this subdivision have the meanings given them.
(a) "Commission" means the Public Utilities Commission.
(b) "Commissioner" means the commissioner of commerce.
(c) "Department" means the Department of Commerce.
(d) "Energy conservation" means demand-side management of energy supplies
resulting in a net reduction in energy use. Load management that reduces overall energy
use is energy conservation.
(e) "Energy conservation improvement" means a project that results in energy
efficiency or energy conservation. Energy conservation improvement may include waste
recovery that is recovered and
converted into electricity,
but does not include electric
utility infrastructure projects approved by the commission under section
174.28 Energy conservation improvement also includes waste heat recovered and used as thermal
(f) "Energy efficiency" means measures or programs, including energy conservation
measures or programs, that target consumer behavior, equipment, processes, or devices
designed to produce either an absolute decrease in consumption of electric energy or natural
gas or a decrease in consumption of electric energy or natural gas on a per unit of production
basis without a reduction in the quality or level of service provided to the energy consumer.
(g) "Gross annual retail energy sales" means annual electric sales to all retail
customers in a utility's or association's Minnesota service territory or natural gas
throughput to all retail customers, including natural gas transportation customers, on a
utility's distribution system in Minnesota. For purposes of this section, gross annual
retail energy sales exclude:
(1) gas sales to:
(i) a large energy facility;
(ii) a large customer facility whose natural gas utility has been exempted by the
commissioner under subdivision 1a, paragraph (b), with respect to natural gas sales made
to the large customer facility; and
(iii) a commercial gas customer facility whose natural gas utility has been exempted
by the commissioner under subdivision 1a, paragraph (c), with respect to natural gas sales
made to the commercial gas customer facility; and
(2) electric sales to a large customer facility whose electric utility has been exempted
by the commissioner under subdivision 1a, paragraph (b), with respect to electric sales
made to the large customer facility.
(h) "Investments and expenses of a public utility" includes the investments
and expenses incurred by a public utility in connection with an energy conservation
improvement, including but not limited to:
(1) the differential in interest cost between the market rate and the rate charged on a
no-interest or below-market interest loan made by a public utility to a customer for the
purchase or installation of an energy conservation improvement;
(2) the difference between the utility's cost of purchase or installation of energy
conservation improvements and any price charged by a public utility to a customer for
(i) "Large customer facility" means all buildings, structures, equipment, and
installations at a single site that collectively (1) impose a peak electrical demand on an
electric utility's system of not less than 20,000 kilowatts, measured in the same way as the
utility that serves the customer facility measures electrical demand for billing purposes or
(2) consume not less than 500 million cubic feet of natural gas annually. In calculating
peak electrical demand, a large customer facility may include demand offset by on-site
cogeneration facilities and, if engaged in mineral extraction, may aggregate peak energy
demand from the large customer facility's mining and processing operations.
(j) "Large energy facility" has the meaning given it in section
subdivision 2, clause (1).
(k) "Load management" means an activity, service, or technology to change the
timing or the efficiency of a customer's use of energy that allows a utility or a customer to
respond to wholesale market fluctuations or to reduce peak demand for energy or capacity.
(l) "Low-income programs" means energy conservation improvement programs that
directly serve the needs of low-income persons, including low-income renters.
(m) "Qualifying utility" means a utility that supplies the energy to a customer that
enables the customer to qualify as a large customer facility.
176.8(n) "Waste heat recovered and used as thermal energy" means capturing heat energy
176.9that would otherwise be exhausted or dissipated to the environment from machinery,
176.10buildings, or industrial processes and productively using such recovered thermal energy
176.11where it was captured or distributing it as thermal energy to other locations where it is
176.12used to reduce demand side consumption of natural gas, electric energy, or both.
"Waste heat recovery converted into electricity" means an energy recovery
process that converts otherwise lost energy from the heat of exhaust stacks or pipes used
for engines or manufacturing or industrial processes, or the reduction of high pressure
in water or gas pipelines.
Sec. 3. Minnesota Statutes 2012, section 216B.241, subdivision 1e, is amended to read:
Subd. 1e. Applied research and development grants.
(a) The commissioner
may, by order, approve and make grants for applied research and development projects
of general applicability that identify new technologies or strategies to maximize energy
savings, improve the effectiveness of energy conservation programs, or document
the carbon dioxide reductions from energy conservation programs. When approving
projects, the commissioner shall consider proposals and comments from utilities and
other interested parties. The commissioner may assess up to $3,600,000 annually for the
purposes of this subdivision. The assessments must be deposited in the state treasury
and credited to the energy and conservation account created under subdivision 2a. An
assessment made under this subdivision is not subject to the cap on assessments provided
, or any other law.
(b) The commissioner, as part of the assessment authorized under paragraph (a),
shall annually assess and grant up to $500,000 for the purpose of subdivision 9.
176.31(c) The commissioner, as part of the assessment authorized under paragraph (a),
176.32each state fiscal year shall assess $500,000 for a grant to the partnership created by section
176.33216C.385, subdivision 2. The grant must be used to exercise the powers and perform the
176.34duties specified in section 216C.385, subdivision 3.
177.1(d) By February 15 annually, the commissioner shall report to the chairs and ranking
177.2minority members of the committees of the legislature with primary jurisdiction over
177.3energy policy and energy finance on the assessments made under this subdivision for the
177.4previous calendar year and the use of the assessment. The report must clearly describe the
177.5activities supported by the assessment and the parties that engaged in those activities.
177.6EFFECTIVE DATE.Paragraph (c) is effective for assessments for state fiscal
177.7years commencing on or after July 1, 2013.
Sec. 4. Minnesota Statutes 2012, section 216B.241, is amended by adding a
subdivision to read:
177.10 Subd. 10. Waste heat recovery; thermal energy distribution. Demand side
177.11natural gas or electric energy displaced by use of waste heat recovered and used as thermal
177.12energy, including the recovered thermal energy from a cogeneration or combined heat and
177.13power facility, is eligible to be counted towards a utility's natural gas or electric energy
177.14savings goals, subject to department approval.
Sec. 5. SEVERABILITY.
177.16If any provision of this act is found to be unconstitutional and void, the remaining
177.17provisions of this act are valid.
177.18EFFECTIVE DATE.This section is effective the day following final enactment.
Sec. 6. REPEALER.
177.20Minnesota Statutes 2012, section 216B.1637, is repealed.