Engrossments
Introduction		Posted on 02/12/2015

Section 1.

Minnesota Statutes 2014, section 17.102, subdivision 4, is amended to read:

Subd. 4.

Minnesota grown account.

The Minnesota grown account is established
as an account in the agricultural fund. License fee receipts deleted text begin and penaltiesdeleted text end collected under
this section must be deposited in the agricultural fund and credited to the Minnesota grown
account. The money in the account is continuously appropriated to the commissioner
for the direct costs of implementing the Minnesota grown program.new text begin Penalties must be
deposited in the compliance assistance account in the special revenue fund.
new text end

Sec. 2.

Minnesota Statutes 2014, section 17.102, subdivision 4a, is amended to read:

Subd. 4a.

Funding sources.

The Minnesota grown account shall consist of
license fees, deleted text begin penalties,deleted text end advertising revenue, revenue from the development and sale of
promotional materials, gifts, and appropriations.

Sec. 3.

Minnesota Statutes 2014, section 17A.11, is amended to read:

17A.11 FEES FOR LIVESTOCK WEIGHING.

The commissioner shall prescribe the fee necessary to cover the cost of state
weighing, to be assessed and collected from the seller in the manner the commissioner
may prescribe. The fee assessed must be the same, and the manner of collection of the
fee must be uniform at all facilities. At any location where state weighing is performed
in accordance with this chapter and the total annual fees collected are insufficient to
pay the cost of the weighing, the annual deficit shall be assessed and collected in the
manner the commissioner may prescribe. Additional money arising from the weighing
of animals by the commissioner, which has been collected and retained by any person,
shall be paid on demand to the commissioner. new text begin Except for penalty revenue, new text end all money
collected by the commissioner shall be deposited in the agricultural fund and credited to
the livestock weighing account. Money in the account is appropriated to the commissioner
to carry out the duties of section 17A.10 and for activities and duties required under
chapter 31B.new text begin Penalties must be deposited in the compliance assistance account in the
special revenue fund.
new text end

Sec. 4.

Minnesota Statutes 2014, section 18B.05, is amended to read:

18B.05 PESTICIDE REGULATORY ACCOUNT.

Subdivision 1.

Establishment.

A pesticide regulatory account is established in the
agricultural fund. Feesdeleted text begin ,deleted text end new text begin and new text end assessmentsdeleted text begin , and penaltiesdeleted text end collected under this chapter must
be deposited in the agricultural fund and credited to the pesticide regulatory account.
Money in the account, including interest, is appropriated to the commissioner for the
administration and enforcement of this chapter.new text begin Penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 5.

Minnesota Statutes 2014, section 18C.131, is amended to read:

18C.131 FERTILIZER INSPECTION ACCOUNT.

A fertilizer inspection account is established in the state treasury. The fees collected
under this chapter and interest attributable to money in the account must be deposited in
the state treasury and credited to the fertilizer inspection account in the agricultural fund.
Money in the account, including interest earned, is appropriated to the commissioner for
the administration and enforcement of this chapter.new text begin Penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 6.

Minnesota Statutes 2014, section 18D.323, is amended to read:

18D.323 CREDITING OF PENALTIES, FEES, AND COSTS.

Except for new text begin penalties and new text end money repaid to the agricultural chemical response
and reimbursement account under section 18E.04, subdivision 6, deleted text begin penalties,deleted text end cost
reimbursements, fees, and other moneys collected under this chapter must be deposited
into the state treasury and credited to the appropriate pesticide or fertilizer regulatory
account.new text begin Penalties must be deposited in the compliance assistance account in the special
revenue fund.
new text end

Sec. 7.

Minnesota Statutes 2014, section 18G.10, subdivision 2, is amended to read:

Subd. 2.

Disposition and use of money received.

All fees deleted text begin and penaltiesdeleted text end collected
under this chapter and interest attributable to the money in the account must be deposited
in the state treasury and credited to the nursery and phytosanitary account in the
agricultural fund. Money in the account, including interest earned, is appropriated to the
commissioner for the administration and enforcement of this chapter.new text begin Penalties must be
deposited in the compliance assistance account in the special revenue fund.
new text end

Sec. 8.

Minnesota Statutes 2014, section 18H.17, is amended to read:

18H.17 NURSERY AND PHYTOSANITARY ACCOUNT.

A nursery and phytosanitary account is established in the state treasury. The fees
deleted text begin and penaltiesdeleted text end collected under this chapter and interest attributable to money in the account
must be deposited in the state treasury and credited to the nursery and phytosanitary
account in the agricultural fund. Money in the account, including interest earned, is
annually appropriated to the commissioner for the administration and enforcement for
this chapter.new text begin Penalties must be deposited in the compliance assistance account in the
special revenue fund.
new text end

Sec. 9.

Minnesota Statutes 2014, section 18J.09, is amended to read:

18J.09 CREDITING OF PENALTIES, FEES, AND COSTS.

deleted text begin Penalties,deleted text end Cost reimbursements, fees, and other money collected under this chapter
must be deposited into the state treasury and credited to the appropriate nursery and
phytosanitary or seed account.new text begin Penalties must be deposited in the compliance assistance
account in the special revenue fund.
new text end

Sec. 10.

Minnesota Statutes 2014, section 21.115, is amended to read:

21.115 FEES; SEED POTATO INSPECTION ACCOUNT.

The commissioner shall fix the fees for all inspections and certifications in such
amounts as from time to time may be found necessary to pay the expenses of carrying
out and enforcing the purposes of sections 21.111 to 21.122, with a reasonable reserve,
and shall require the same to be paid before such inspections or certifications are made.
All moneys collected as fees deleted text begin or as penalties for violations of any of the provisions of
suchdeleted text end new text begin under these new text end sections shall be paid into the agricultural fund deleted text begin anddeleted text end new text begin ,new text end credited to the
seed potato inspection account deleted text begin of the commissioner, which account is hereby createddeleted text end new text begin ,new text end
and appropriated new text begin to the commissioner new text end for deleted text begin carrying out thedeleted text end purposes of sections 21.111
to 21.122. Interest, if any, received on deposits of these moneys shall be credited to the
account, and there shall be paid into this fund any sum provided by the legislature for the
purpose of carrying out the provisions of such sections.new text begin Penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 11.

Minnesota Statutes 2014, section 21.92, is amended to read:

21.92 SEED INSPECTION ACCOUNT.

There is established in the agricultural fund an account known as the seed inspection
account. Fees deleted text begin and penaltiesdeleted text end collected by the commissioner under sections 21.80 to 21.92
and interest attributable to money in the account shall be deposited into this account.
Money in the account, including interest earned, is appropriated to the commissioner
for the administration and enforcement of sections 21.80 to 21.92.new text begin Penalties must be
deposited in the compliance assistance account in the special revenue fund.
new text end

Sec. 12.

Minnesota Statutes 2014, section 25.39, subdivision 4, is amended to read:

Subd. 4.

Commercial feed inspection account.

A commercial feed inspection
account is established in the agricultural fund. Fees deleted text begin and penaltiesdeleted text end collected under
this chapter and interest attributable to money in the account must be deposited in
the agricultural fund and credited to the commercial feed inspection account. Money
in the account, including interest earned, is appropriated to the commissioner for the
administration and enforcement of this chapter.new text begin Penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 13.

Minnesota Statutes 2014, section 27.041, subdivision 3, is amended to read:

Subd. 3.

Account; appropriation.

A wholesale produce dealers account is created in
the agricultural fund. All feesdeleted text begin ,deleted text end new text begin and new text end chargesdeleted text begin , and penaltiesdeleted text end collected under sections 27.01 to
27.069 and 27.11 to 27.19, including interest attributable to that money, must be deposited
in the wholesale produce dealers account. Money in the account is appropriated to the
commissioner for the purposes of sections 27.01 to 27.069 and 27.11 to 27.19.new text begin Penalties
must be deposited in the compliance assistance account in the special revenue fund.
new text end

Sec. 14.

Minnesota Statutes 2014, section 32.21, subdivision 4, is amended to read:

Subd. 4.

Penalties.

(a) A person, other than a milk producer, who violates this
section is guilty of a misdemeanor or subject to a civil penalty up to $1,000.

(b) A milk producer may not change milk plants within 30 days, without permission
of the commissioner, after receiving notification from the commissioner under paragraph
(c) or (d) that the milk producer has violated this section.

(c) A milk producer who violates subdivision 3, clause (1), (2), (3), (4), or (5), is
subject to clauses (1) to (3) of this paragraph.

(1) Upon notification of the first violation in a 12-month period, the producer must
meet with the qualified dairy sanitarian to initiate corrective action within 30 days.

(2) Upon the second violation within a 12-month period, the producer is subject to
a civil penalty of $300. The commissioner shall notify the producer by certified mail
stating the penalty is payable in 30 days, the consequences of failure to pay the penalty,
and the consequences of future violations.

(3) Upon the third violation within a 12-month period, the producer is subject to
an additional civil penalty of $300 and possible revocation of the producer's permit or
certification. The commissioner shall notify the producer by certified mail that all civil
penalties owed must be paid within 30 days and that the commissioner is initiating
administrative procedures to revoke the producer's permit or certification to sell milk
for at least 30 days.

(d) The producer's shipment of milk must be immediately suspended if the producer
is identified as an individual source of milk containing residues causing a bulk load of
milk to test positive in violation of subdivision 3, clause (6) or (7). The Grade A or
manufacturing grade permit must be converted to temporary status for not more than
30 days and shipment may resume only after subsequent milk has been sampled by
the commissioner or the commissioner's agent and found to contain no residues above
established tolerances or safe levels.

The Grade A or manufacturing grade permit may be restored if the producer
completes the "Milk and Dairy Beef Residue Prevention Protocol" with a licensed
veterinarian, displays the signed certificate in the milkhouse, and sends verification to the
commissioner within the 30-day temporary permit status period. If the producer does
not comply within the temporary permit status period, the Grade A or manufacturing
grade permit must be suspended. A milk producer whose milk supply is in violation of
subdivision 3, clause (6) or (7), and has caused a bulk load to test positive is subject to
clauses (1) to (3) of this paragraph.

(1) For the first violation in a 12-month period, the penalty is the value of all milk on
the contaminated load plus any costs associated with the disposition of the contaminated
load. Future pickups are prohibited until subsequent testing reveals the milk is free of
drug residue. A farm inspection must be completed by a qualified dairy sanitarian and
the producer to determine the cause of the residue and actions required to prevent future
violations.

(2) For the second violation in a 12-month period, the penalty is the value of all
milk on the contaminated load plus any costs associated with the disposition of the
contaminated load. Future pickups are prohibited until subsequent testing reveals the milk
is free of drug residue. A farm inspection must be completed by a qualified dairy sanitarian
to determine the cause of the residue and actions required to prevent future violations.

(3) For the third or subsequent violation in a 12-month period, the penalty is the value
of all milk on the contaminated load plus any costs associated with the disposition of the
contaminated load. Future pickups are prohibited until subsequent testing reveals the milk
is free of drug residue. The commissioner or the commissioner's agent shall also notify the
producer by certified mail that the commissioner is initiating administrative procedures to
revoke the producer's permit or certification to sell milk for a minimum of 30 days.

(4) If a bulk load of milk tests negative for residues and there is a positive producer
sample on the load, no civil penalties may be assessed to the producer. The plant must
report the positive result within 24 hours and reject further milk shipments from that
producer until the producer's milk tests negative. A farm inspection must be completed
by a qualified dairy sanitarian to determine the cause of the residue and actions required
to prevent future violations. The department shall suspend the producer's permit and
count the violation on the producer's record. The Grade A or manufacturing grade permit
must be converted to temporary status for not more than 30 days during which time the
producer must review the "Milk and Dairy Beef Residue Prevention Protocol" with a
licensed veterinarian, display the signed certificate in the milkhouse, and send verification
to the commissioner. If these conditions are met, the Grade A or manufacturing grade
permit must be reinstated. If the producer does not comply within the temporary permit
status period, the Grade A or manufacturing grade permit must be suspended.

(e) A milk producer that has been certified as completing the "Milk and Dairy Beef
Residue Prevention Protocol" within 12 months of the first violation of subdivision 3,
clause (7), need only review the cause of the violation with a field service representative
within three days to maintain Grade A or manufacturing grade permit and shipping status
if all other requirements of this section are met.

(f) Civil penalties collected under this section must be deposited in the deleted text begin milk
inspection services account established in this chapterdeleted text end new text begin compliance assistance account in
the special revenue fundnew text end .

Sec. 15.

Minnesota Statutes 2014, section 34.07, is amended to read:

34.07 BEVERAGE INSPECTION ACCOUNT; APPROPRIATION.

A beverage inspection account is created in the agricultural fund. All fees deleted text begin and
finesdeleted text end collected under this chapter shall be credited to the beverage inspection account.
Money in the account is appropriated to the commissioner for inspection and supervision
under this chapter.new text begin Penalties must be deposited in the compliance assistance account in
the special revenue fund.
new text end

Sec. 16.

Minnesota Statutes 2014, section 62J.536, subdivision 2b, is amended to read:

Subd. 2b.

Compliance and investigations.

(a) The commissioner of health shall,
to the extent practicable, seek the cooperation of health care providers, health care
clearinghouses, and group purchasers in obtaining compliance with this section and may
provide technical assistance to health care providers, health care clearinghouses, and
group purchasers.

(b) A person who believes a health care provider, health care clearinghouse, or group
purchaser is not complying with the requirements of this section may file a complaint with
the commissioner of health. Complaints filed under this section must meet the following
requirements:

(1) A complaint must be filed in writing, either on paper or electronically.

(2) A complaint must name the person that is the subject of the complaint and
describe the acts or omissions believed to be in violation of this section.

(3) A complaint must be filed within 180 days of when the complainant knew or
should have known that the act or omission complained of occurred.

(4) The commissioner may prescribe additional procedures for the filing of
complaints as required to satisfy the requirements of this section.

(c) The commissioner of health may investigate complaints filed under this
section. The investigation may include a review of the pertinent policies, procedures,
or practices of the health care provider, health care clearinghouse, or group purchaser
and of the circumstances regarding any alleged violation. At the time of initial written
communication with the health care provider, health care clearinghouse, or group
purchaser about the complaint, the commissioner of health shall describe the acts or
omissions that are the basis of the complaint. The commissioner may conduct compliance
reviews to determine whether health care providers, health care clearinghouses, and group
purchasers are complying with this section.

(d) Health care providers, health care clearinghouses, and group purchasers must
cooperate with the commissioner of health if the commissioner undertakes an investigation
or compliance review of the policies, procedures, or practices of the health care provider,
health care clearinghouse, or group purchaser to determine compliance with this section.
This cooperation includes, but is not limited to:

(1) A health care provider, health care clearinghouse, or group purchaser must permit
access by the commissioner of health during normal business hours to its facilities, books,
records, accounts, and other sources of information that are pertinent to ascertaining
compliance with this section.

(2) If any information required of a health care provider, health care clearinghouse,
or group purchaser under this section is in the exclusive possession of any other agency,
institution, or person and the other agency, institution, or person fails or refuses to furnish
the information, the health care provider, health care clearinghouse, or group purchaser
must so certify and set forth what efforts it has made to obtain the information.

(3) Any individually identifiable health information obtained by the commissioner
of health in connection with an investigation or compliance review under this section
may not be used or disclosed by the commissioner of health, except as necessary for
ascertaining or enforcing compliance with this section.

(e) If an investigation of a complaint indicates noncompliance, the commissioner
of health shall attempt to reach a resolution of the matter by informal means. Informal
means may include demonstrated compliance or a completed corrective action plan or
other agreement. If the matter is resolved by informal means, the commissioner of health
shall so inform the health care provider, health care clearinghouse, or group purchaser
and, if the matter arose from a complaint, the complainant, in writing. If the matter is not
resolved by informal means, the commissioner of health shall:

(1) inform the health care provider, health care clearinghouse, or group purchaser
and provide an opportunity for the health care provider, health care clearinghouse, or group
purchaser to submit written evidence of any mitigating factors or other considerations.
The health care provider, health care clearinghouse, or group purchaser must submit
any such evidence to the commissioner of health within 30 calendar days of receipt of
the notification; and

(2) inform the health care provider, health care clearinghouse, or group purchaser,
through a notice of proposed determination according to paragraph (i), that the
commissioner of health finds that a civil money penalty should be imposed.

(f) If, after an investigation or a compliance review, the commissioner of health
determines that further action is not warranted, the commissioner of health shall so inform
the health care provider, health care clearinghouse, or group purchaser and, if the matter
arose from a complaint, the complainant, in writing.

(g) A health care provider, health care clearinghouse, or group purchaser may not
threaten, intimidate, coerce, harass, discriminate against, or take any other retaliatory
action against any individual or other person for:

(1) filing of a complaint under this section;

(2) testifying, assisting, or participating in an investigation, compliance review,
proceeding, or contested case proceeding under this section; or

(3) opposing any act or practice made unlawful by this section, provided the
individual or person has a good faith belief that the practice opposed is unlawful, and
the manner of opposition is reasonable and does not involve an unauthorized disclosure
of a patient's health information.

(h) The commissioner of health may impose a civil money penalty on a health care
provider, health care clearinghouse, or group purchaser if the commissioner of health
determines that the health care provider, health care clearinghouse, or group purchaser
has violated this section. If the commissioner of health determines that more than one
health care provider, health care clearinghouse, or group purchaser was responsible for
a violation, the commissioner of health may impose a civil money penalty against each
health care provider, health care clearinghouse, or group purchaser. The amount of a civil
money penalty shall be determined as follows:

(1) The amount of a civil money penalty shall be up to $100 for each violation, but
not exceed $25,000 for identical violations during a calendar year.

(2) In the case of continuing violation of this section, a separate violation occurs
each business day that the health care provider, health care clearinghouse, or group
purchaser is in violation of this section.

(3) In determining the amount of any civil money penalty, the commissioner of health
may consider as aggravating or mitigating factors, as appropriate, any of the following:

(i) the nature of the violation, in light of the purpose of the goals of this section;

(ii) the time period during which the violation occurred;

(iii) whether the violation hindered or facilitated an individual's ability to obtain
health care;

(iv) whether the violation resulted in financial harm;

(v) whether the violation was intentional;

(vi) whether the violation was beyond the direct control of the health care provider,
health care clearinghouse, or group purchaser;

(vii) any history of prior compliance with the provisions of this section, including
violations;

(viii) whether and to what extent the provider, health care clearinghouse, or group
purchaser has attempted to correct previous violations;

(ix) how the health care provider, health care clearinghouse, or group purchaser
has responded to technical assistance from the commissioner of health provided in the
context of a compliance effort; or

(x) the financial condition of the health care provider, health care clearinghouse,
or group purchaser including, but not limited to, whether the health care provider, health
care clearinghouse, or group purchaser had financial difficulties that affected its ability to
comply or whether the imposition of a civil money penalty would jeopardize the ability
of the health care provider, health care clearinghouse, or group purchaser to continue to
provide, or to pay for, health care.

(i) If a penalty is proposed according to this section, the commissioner of health
must deliver, or send by certified mail with return receipt requested, to the respondent
written notice of the commissioner of health's intent to impose a penalty. This notice
of proposed determination must include:

(1) a reference to the statutory basis for the penalty;

(2) a description of the findings of fact regarding the violations with respect to
which the penalty is proposed;

(3) the amount of the proposed penalty;

(4) any circumstances described in paragraph (i) that were considered in determining
the amount of the proposed penalty;

(5) instructions for responding to the notice, including a statement of the respondent's
right to a contested case proceeding and a statement that failure to request a contested case
proceeding within 30 calendar days permits the imposition of the proposed penalty; and

(6) the address to which the contested case proceeding request must be sent.

(j) A health care provider, health care clearinghouse, or group purchaser may contest
whether the finding of facts constitute a violation of this section, according to a contested
case proceeding as set forth in sections 14.57 to 14.62, subject to appeal according to
sections 14.63 to 14.68.

(k) Any data collected by the commissioner of health as part of an active
investigation or active compliance review under this section are classified as protected
nonpublic data pursuant to section 13.02, subdivision 13, in the case of data not on
individuals and confidential pursuant to section 13.02, subdivision 3, in the case of data
on individuals. Data describing the final disposition of an investigation or compliance
review are classified as public.

(l) Civil money penalties imposed and collected under this subdivision shall be
deposited deleted text begin into a revolving fund and are appropriated to the commissioner of health for
the purposes of this subdivision, including the provision of technical assistancedeleted text end new text begin in the
compliance assistance account in the special revenue fundnew text end .

Sec. 17.

Minnesota Statutes 2014, section 79A.06, subdivision 4, is amended to read:

Subd. 4.

Failure to submit reports or information; penalty.

Failure to submit
reports to the commissioner as required by this chapter may result in the assessment of a
penalty which shall not exceed $3,000 for each month or fraction thereof the report is past
due. Failure to submit reports required by statute within 60 days from the due date without
written consent of the commissioner shall result in the revocation of the certificate to
self-insure. Penalties shall be deposited in the deleted text begin self-insurers' securitydeleted text end new text begin compliance assistance
account in the special revenue new text end fund.

Sec. 18.

Minnesota Statutes 2014, section 84.7741, subdivision 10, is amended to read:

Subd. 10.

Disposition of forfeited vehicle.

(a) If the vehicle is administratively
forfeited under subdivision 8, or if the court finds under subdivision 9 that the vehicle is
subject to forfeiture under subdivisions 6 and 7, the appropriate agency shall:

(1) sell the vehicle and distribute the proceeds under paragraph (b); or

(2) keep the vehicle for official use. If the agency keeps a forfeited off-highway
vehicle for official use, the agency shall make reasonable efforts to ensure that the
off-highway vehicle is available for use by the agency's officers who participate in
off-highway vehicle enforcement or education programs.

(b) The proceeds from the sale of forfeited vehicles, after payment of seizure,
towing, storage, forfeiture, and sale expenses and satisfaction of valid liens against the
property, must be distributed as follows:

(1) 70 percent of the proceeds must be forwarded to the appropriate agencynew text begin . If the
agency is local, this amount isnew text end for deposit as a supplement to the deleted text begin state ordeleted text end local agency's
operating fund or similar fund for use in purchasing equipment for off-highway vehicle
enforcement, training, and educationnew text begin . If the agency is a state agency, this amount must be
deposited in the compliance assistance account in the special revenue fundnew text end ; and

(2) 30 percent of the money or proceeds must be forwarded to the prosecuting
authority that handled the forfeiture for deposit as a supplement to its operating fund or
similar fund for prosecutorial purposes.

(c) If a vehicle is sold under paragraph (a), the appropriate agency shall not sell
the vehicle to: (1) an officer or employee of the agency that seized the property or to a
person related to the officer or employee by blood or marriage; or (2) the prosecuting
authority or any individual working in the same office or a person related to the authority
or individual by blood or marriage.

(d) Sales of forfeited vehicles under this section must be conducted in a
commercially reasonable manner.

(e) If a vehicle is forfeited administratively under this section and no demand for
judicial determination is made, the appropriate agency shall provide the prosecuting
authority with a copy of the forfeiture or evidence receipt, the notice of seizure and intent
to forfeit, a statement of probable cause for forfeiture of the property, and a description of
the property and its estimated value. Upon review and certification by the prosecuting
authority that (1) the appropriate agency provided a receipt in accordance with subdivision
2, paragraph (c), (2) the appropriate agency served notice in accordance with subdivision 8,
and (3) probable cause for forfeiture exists based on the officer's statement, the appropriate
agency may dispose of the property in any of the ways listed in this subdivision.

Sec. 19.

Minnesota Statutes 2014, section 84D.15, subdivision 2, is amended to read:

Subd. 2.

Receipts.

Money received from surcharges on watercraft licenses under
section 86B.415, subdivision 7, deleted text begin civil penalties under section 84D.13,deleted text end and service provider
permits under section 84D.108, shall be deposited in the invasive species account. Each
year, the commissioner of management and budget shall transfer from the game and
fish fund to the invasive species account, the annual surcharge collected on nonresident
fishing licenses under section 97A.475, subdivision 7, paragraph (b). Each fiscal year,
the commissioner of management and budget shall transfer $750,000 from the water
recreation account under section 86B.706 to the invasive species account.new text begin Civil penalties
collected under section 84D.13 shall be deposited in the compliance assistance account in
the special revenue fund.
new text end

Sec. 20.

Minnesota Statutes 2014, section 103B.101, subdivision 12, is amended to read:

Subd. 12.

Authority to issue penalty orders.

(a) The board may issue an order
requiring violations to be corrected and administratively assessing monetary penalties of
up to $10,000 per violation for violations of this chapter and chapters 103C, 103D, 103E,
103F, and 103G, any rules adopted under those chapters, and any standards, limitations, or
conditions established by the board.

(b) Administrative penalties issued under paragraph (a) may be appealed according
to section 116.072, if the recipient of the penalty requests a hearing by notifying the
commissioner in writing within 30 days after receipt of the order. For the purposes of this
section, the terms "commissioner" and "agency" as used in section 116.072 mean the
board. If a hearing is not requested within the 30-day period, the order becomes a final
order not subject to further review.

(c) Administrative penalty orders issued under paragraph (a) may be enforced
under section 116.072, subdivision 9. Penalty amounts must be remitted within 30 days
of issuance of the ordernew text begin and must be deposited in the compliance assistance account in
the special revenue fundnew text end .

Sec. 21.

Minnesota Statutes 2014, section 103G.27, subdivision 1, is amended to read:

Subdivision 1.

Account established; sources.

The water management account
is created in the natural resources fund in the state treasury. Revenues collected from
permit application fees, water use fees, field inspection fees, deleted text begin penalties,deleted text end and other receipts
according to sections 103G.271 and 103G.301 shall be deposited in the account. Interest
earned on money in the account accrues to the account.new text begin Penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 22.

Minnesota Statutes 2014, section 115E.11, is amended to read:

115E.11 DISPOSITION OF PENALTIES.

Penalties collected for violations of this chapter or section 115.061 that are related to
discharges or threatened discharges of petroleum must be deposited in the state treasury
and credited to the deleted text begin petroleum tank release cleanupdeleted text end new text begin compliance assistance account in
the special revenuenew text end fund.

Sec. 23.

Minnesota Statutes 2014, section 144.386, subdivision 1, is amended to read:

Subdivision 1.

Basic fine.

A person who violates a rule of the commissioner, fails
to comply with the terms of a variance or exemption, or fails to request a variance or
exemption by the date specified in the notice from the commissioner, may be fined up to
$1,000 for each day the offense continues, in a civil action brought by the commissioner in
district court. All fines shall be deposited in the deleted text begin generaldeleted text end new text begin compliance assistance account in
the special revenuenew text end fund of the state treasury.

Sec. 24.

Minnesota Statutes 2014, section 144.7022, subdivision 4, is amended to read:

Subd. 4.

Penalty.

If the commissioner determines that the violation has been
corrected or an acceptable corrective plan has been developed, the penalty may be
forgiven, except where there are repeated or serious violations. The commissioner may
issue an order with a penalty that will not be forgiven after corrective action is taken.
Unless there is a request for review of the order under subdivision 6 before the penalty is
due, the penalty is due and payable:

(1) on the 31st calendar day after the order was received, if the voluntary, nonprofit
reporting organization fails to provide information to the commissioner showing that the
violation has been corrected or that appropriate steps have been taken toward correcting
the violation;

(2) on the 20th day after the voluntary, nonprofit reporting organization receives the
commissioner's determination that the information provided is not sufficient to show that
either the violation has been corrected or that appropriate steps have been taken toward
correcting the violation; or

(3) on the 31st day after the order was received where the penalty is for repeated
or serious violations and according to the order issued, the penalty will not be forgiven
after corrective action is taken.

All penalties due under this section are payable to the commissioner of management
and budget, state of Minnesota, and shall be deposited in the deleted text begin generaldeleted text end new text begin compliance assistance
account in the special revenuenew text end fund.

Sec. 25.

Minnesota Statutes 2014, section 144.99, subdivision 4, is amended to read:

Subd. 4.

Administrative penalty orders.

(a) The commissioner may issue an
order requiring violations to be corrected and administratively assessing monetary
penalties for violations of the statutes, rules, and other actions listed in subdivision 1. The
procedures in section 144.991 must be followed when issuing administrative penalty
orders. Except in the case of repeated or serious violations, the penalty assessed in the
order must be forgiven if the person who is subject to the order demonstrates in writing
to the commissioner before the 31st day after receiving the order that the person has
corrected the violation or has developed a corrective plan acceptable to the commissioner.
The maximum amount of an administrative penalty order is $10,000 for each violator for
all violations by that violator identified in an inspection or review of compliance.

(b) Notwithstanding paragraph (a), the commissioner may issue to a large public
water supply, serving a population of more than 10,000 persons, an administrative penalty
order imposing a penalty of at least $1,000 per day per violation, not to exceed $10,000
for each violation of sections 144.381 to 144.385 and rules adopted thereunder.

(c) Notwithstanding paragraph (a), the commissioner may issue to a certified lead
firm or person performing regulated lead work, an administrative penalty order imposing a
penalty of at least $5,000 per violation per day, not to exceed $10,000 for each violation of
sections 144.9501 to 144.9512 and rules adopted thereunder. All revenue collected from
monetary penalties in this section shall be deposited in the state treasury and credited
to the deleted text begin state government special revenuedeleted text end new text begin compliance assistance account in the special
revenuenew text end fund.

Sec. 26.

Minnesota Statutes 2014, section 144A.472, subdivision 7, is amended to read:

Subd. 7.

Fees; application, change of ownership, and renewal.

(a) An initial
applicant seeking temporary home care licensure must submit the following application
fee to the commissioner along with a completed application:

(1) for a basic home care provider, $2,100; or

(2) for a comprehensive home care provider, $4,200.

(b) A home care provider who is filing a change of ownership as required under
subdivision 5 must submit the following application fee to the commissioner, along with
the documentation required for the change of ownership:

(1) for a basic home care provider, $2,100; or

(2) for a comprehensive home care provider, $4,200.

(c) A home care provider who is seeking to renew the provider's license shall pay a
fee to the commissioner based on revenues derived from the provision of home care
services during the calendar year prior to the year in which the application is submitted,
according to the following schedule:

License Renewal Fee

Provider Annual Revenue	Fee
greater than $1,500,000	$6,625
greater than $1,275,000 and no more than $1,500,000	$5,797
greater than $1,100,000 and no more than $1,275,000	$4,969
greater than $950,000 and no more than $1,100,000	$4,141
greater than $850,000 and no more than $950,000	$3,727
greater than $750,000 and no more than $850,000	$3,313
greater than $650,000 and no more than $750,000	$2,898
greater than $550,000 and no more than $650,000	$2,485
greater than $450,000 and no more than $550,000	$2,070
greater than $350,000 and no more than $450,000	$1,656
greater than $250,000 and no more than $350,000	$1,242
greater than $100,000 and no more than $250,000	$828
greater than $50,000 and no more than $100,000	$500
greater than $25,000 and no more than $50,000	$400
no more than $25,000	$200

(d) If requested, the home care provider shall provide the commissioner information
to verify the provider's annual revenues or other information as needed, including copies
of documents submitted to the Department of Revenue.

(e) At each annual renewal, a home care provider may elect to pay the highest
renewal fee for its license category, and not provide annual revenue information to the
commissioner.

(f) A temporary license or license applicant, or temporary licensee or licensee that
knowingly provides the commissioner incorrect revenue amounts for the purpose of
paying a lower license fee, shall be subject to a civil penalty in the amount of double the
fee the provider should have paid.

(g) Fees deleted text begin and penaltiesdeleted text end collected under this section shall be deposited in the state
treasury and credited to the state government special revenue fund.new text begin Penalties shall be
deposited in the compliance assistance account in the special revenue fund.
new text end

(h) The license renewal fee schedule in this subdivision is effective July 1, 2016.

Sec. 27.

Minnesota Statutes 2014, section 144A.484, subdivision 8, is amended to read:

Subd. 8.

Fees; home and community-based services designation.

(a) The
initial fee for a home and community-based services designation is $155. A home care
provider renewing the home and community-based services designation must pay an
annual nonrefundable fee, in addition to the annual home care license fee, according to the
following schedule and based on revenues from the home and community-based services
that require licensure under chapter 245D during the calendar year immediately preceding
the year in which the license fee is paid:

Provider Annual Revenue from HCBS	HCBS Designation
greater than $1,500,000	$320
greater than $1,275,000 and no more than $1,500,000	$300
greater than $1,100,000 and no more than $1,275,000	$280
greater than $950,000 and no more than $1,100,000	$260
greater than $850,000 and no more than $950,000	$240
greater than $750,000 and no more than $850,000	$220
greater than $650,000 and no more than $750,000	$200
greater than $550,000 and no more than $650,000	$180
greater than $450,000 and no more than $550,000	$160
greater than $350,000 and no more than $450,000	$140
greater than $250,000 and no more than $350,000	$120
greater than $100,000 and no more than $250,000	$100
greater than $50,000 and no more than $100,000	$80
greater than $25,000 and no more than $50,000	$60
no more than $25,000	$40

(b) Fees deleted text begin and penaltiesdeleted text end collected under this section shall be deposited in the state
treasury and credited to the state government special revenue fund.new text begin Penalties shall be
deposited in the compliance assistance account in the special revenue fund.
new text end

Sec. 28.

Minnesota Statutes 2014, section 144E.31, subdivision 3, is amended to read:

Subd. 3.

Fine.

(a) The board may order a fine concurrently with the issuance of a
correction order, or after the licensee or education program has not corrected the violation
within the time specified in the correction order.

(b) A licensee or education program that is ordered to pay a fine shall be notified
of the order by certified mail. The notice shall be mailed to the address shown on the
application or the last known address of the licensee or education program. The notice
shall state the reasons the fine was ordered and shall inform the licensee or training
program of the right to a contested case hearing under chapter 14.

(c) A licensee or education program may appeal the order to pay a fine by notifying
the board by certified mail within 15 calendar days after receiving the order. A timely
appeal shall stay payment of the fine until the board issues a final order.

(d) A licensee or education program shall pay the fine assessed on or before the
payment date specified in the board's order. If a licensee or education program fails to
fully comply with the order, the board shall suspend the license or cancel approval until
there is full compliance with the order.

(e) Fines shall be assessed as follows:

(1) $150 for violation of section 144E.123;

(2) $400 for violation of sections 144E.06, 144E.07, 144E.101, 144E.103, 144E.121,
144E.125, 144E.265, 144E.285, and 144E.305;

(3) $750 for violation of rules adopted under section 144E.16, subdivision 4, clause
(8); and

(4) $50 for violation of all other sections under this chapter or rules adopted under
this chapter that are not specifically enumerated in clauses (1) to (3).

(f) Fines collected by the board shall be deposited deleted text begin as nondedicated receipts in the
generaldeleted text end new text begin in the compliance assistance account in the special revenuenew text end fund.

Sec. 29.

Minnesota Statutes 2014, section 153A.17, is amended to read:

153A.17 EXPENSES; FEES.

(a) The expenses for administering the certification requirements, including
the complaint handling system for hearing aid dispensers in sections 153A.14 and
153A.15, and the Consumer Information Center under section 153A.18, must be paid
from initial application and examination feesdeleted text begin ,deleted text end new text begin andnew text end renewal feesdeleted text begin , penalties, and finesdeleted text end .
The commissioner shall only use fees collected under this section for the purposes of
administering this chapter. The legislature must not transfer money generated by deleted text begin thesedeleted text end fees
from the state government special revenue fund to the general fund. Surcharges collected
by the commissioner of health under section 16E.22 are not subject to this paragraph.

(b) The fees are as follows:

(1) the initial and annual renewal certification application fee is $600;

(2) the initial examination fee for the written portion is $500, and for each time it
is taken, thereafter;

(3) the initial examination fee for the practical portion is $1,200, and $600 for each
time it is taken, thereafter; for individuals meeting the requirements of section 148.515,
subdivision 2, the fee for the practical portion of the hearing instrument dispensing
examination is $250 each time it is taken;

(4) the trainee application fee is $200;

(5) the penalty fee for late submission of a renewal application is $200; and

(6) the fee for verification of certification to other jurisdictions or entities is $25.

(c) The commissioner may prorate the certification fee for new applicants based on
the number of quarters remaining in the annual certification period.

(d) All fees are nonrefundable. All feesdeleted text begin , penalties, and finesdeleted text end received must be
deposited in the state government special revenue fund.new text begin All penalties and fines must be
deposited in the compliance assistance account in the special revenue fund.
new text end

(e) Beginning July 1, 2009, until June 30, 2016, a surcharge of $100 shall be paid
at the time of initial certification application or renewal to recover the commissioner's
accumulated direct expenditures for administering the requirements of this chapter.

Sec. 30.

Minnesota Statutes 2014, section 168.27, subdivision 19a, is amended to read:

Subd. 19a.

Injunction.

(a) The commissioner in the name of the state or a county
attorney in the name of a county may institute a civil action in district court for an
injunction prohibiting a violation of, and for civil penalties not to exceed $1,000 for each
violation of, subdivision 2, 3, 3a, 4, 5a, 6, 7, or 7a, or section 168A.1501, 168A.153, or
325E.21. Filing fees for bringing an action under this section are waived.

(b) Upon a finding that a preponderance of evidence demonstrates that the defendant
has violated subdivision 2, 3, 3a, 4, 5a, 6, 7, or 7a, or section 168A.1501, 168A.153, or
325E.21, the court may enjoin future violations and may award civil penalties as authorized
by this subdivision. It is not a defense to an action that the plaintiff may have adequate
remedies at law or that the plaintiff has not shown irreparable harm. Service of process
must be as in any other civil suit, except that where a defendant in the action is a natural
person or firm residing outside the state, or is a foreign corporation, service of process may
also be made by personal service outside the state; in the manner provided by section 5.25;
or as the court may direct. Process is valid if it satisfies the requirements of due process of
law, whether or not the defendant is doing business in Minnesota regularly or habitually.

(c) In determining the civil penalty amount and whether to order injunctive relief
under paragraph (b), the court shall consider:

(1) the number of current violations;

(2) the gravity of the current violations, including but not limited to the harm
caused by the violations;

(3) the culpability of the defendant as established by evidence of intent, willfulness,
or negligence;

(4) the economic benefit, if any, gained by the person allowing or committing the
current violations;

(5) the history of past violations, including the similarity of previous violations and
the current violation, the time elapsed since previous violations, the number of previous
violations, and the response of the person to previous violations; and

(6) any other factors as justice may require.

(d) If a court grants injunctive relief under paragraph (b), the court shall consider
the factors in paragraph (c) in determining the requirements to include in an injunction.
A court issuing an injunction under this section shall have the discretion to fashion
an injunction that is reasonably intended to prevent a violator from committing future
violations. Such authority shall include, but is not limited to, issuing an order for a period
of 12 months which:

(1) requires a defendant to wait up to 15 days before scrapping, dismantling, selling,
or otherwise disposing of any vehicle that the defendant has acquired without first having
received proof of ownership in compliance with section 168A.1501, subdivision 7, 8, or
9; or

(2) prohibits a defendant from acquiring, scrapping, dismantling, selling, or
otherwise disposing of any vehicle without first having received proof of ownership in
compliance with section 168A.1501, subdivision 7, 8, or 9.

(e) A court issuing an injunction under this section shall not require the posting of
any bond or other security.

(f) In an action brought under this section by a county attorney, all civil penalties
collected under this section shall be deposited into the general fund of the county. In an
action brought under this section by the attorney general or the commissioner, all civil
penalties collected shall be deposited into the deleted text begin generaldeleted text end new text begin compliance assistance account
in the special revenuenew text end fund of the state.

(g) Nothing in this subdivision limits the rights or remedies which are otherwise
available to a person under common law or other statutes of this state.

Sec. 31.

Minnesota Statutes 2014, section 169.999, subdivision 5, is amended to read:

Subd. 5.

Fines; disbursement.

(a) A person who commits an administrative
violation under subdivision 1 must pay a fine of $60.

(b) Except as provided in paragraph (c), two-thirds of a fine collected under this
section must be credited to the general revenue fund of the local unit of government that
employs the peace officer who issued the citation and one-third must be transferred to the
commissioner of management and budget to be deposited in the state deleted text begin generaldeleted text end new text begin compliance
assistance account in the special revenuenew text end fund. A local unit of government receiving fine
proceeds under this section must use at least one-half of the funds for law enforcement
purposes. The funds must be used to supplement but not supplant any existing law
enforcement funding.

(c) For fines collected under this section from administrative citations issued by
state patrol troopers, one-third must be credited to the general fund of the local unit of
government or entity that collects the fine and provides a hearing officer and two-thirds
must be transferred to the commissioner of management and budget to be deposited in the
state deleted text begin generaldeleted text end new text begin compliance assistance account in the special revenuenew text end fund.

Sec. 32.

Minnesota Statutes 2014, section 176.102, subdivision 3a, is amended to read:

Subd. 3a.

Disciplinary actions.

The panel has authority to discipline qualified
rehabilitation consultants and vendors and may impose a penalty of up to $3,000 per
violation, payable to the commissioner for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin
compliance assistance account in the special revenue fundnew text end , and may suspend or revoke
certification. Complaints against registered qualified rehabilitation consultants and
vendors shall be made to the commissioner who may investigate complaints. If the
investigation indicates a violation of this chapter or rules adopted under this chapter, the
commissioner may initiate a contested case proceeding under the provisions of chapter
14. In these cases, the rehabilitation review panel shall make the final decision following
receipt of the report of an administrative law judge. The decision of the panel is appealable
to the Workers' Compensation Court of Appeals in the manner provided by section
176.421. The panel shall continuously study rehabilitation services and delivery, develop
and recommend rehabilitation rules to the commissioner, and assist the commissioner in
accomplishing public education.

The commissioner may appoint alternates for one-year terms to serve as a member
when a member is unavailable. The number of alternates shall not exceed one labor
member, one employer or insurer member, and one member representing a licensed or
registered health care provider, chiropractic, or rehabilitation.

Sec. 33.

Minnesota Statutes 2014, section 176.103, subdivision 3, is amended to read:

Subd. 3.

Medical Services Review Board; selection; powers.

(a) There is created
a Medical Services Review Board composed of the commissioner or the commissioner's
designee as an ex officio member, two persons representing chiropractic, one person
representing hospitals, one physical therapist, one registered nurse, one occupational
therapist, and six physicians representing different specialties which the commissioner
determines are the most frequently utilized by injured employees. The board shall also
have one person representing employees, and one person representing employers or
insurers. The members shall be appointed by the commissioner and shall be governed by
section 15.0575. Terms of the board's members may be renewed. The board may appoint
from its members whatever subcommittees it deems appropriate. Notwithstanding section
15.059, this board does not expire unless the board no longer fulfills the purpose for which
the board was established, the board has not met in the last 18 months, or the board does
not comply with the registration requirements of section 15.0599, subdivision 3.

The commissioner may appoint alternates for one-year terms to serve as a member when a
member is unavailable. The number of alternates shall not exceed one chiropractor, one
physical therapist, one registered nurse, one hospital representative, three physicians, one
employee representative, one employer or insurer representative, and one occupational
therapist.

(b) The board shall review clinical results for adequacy and recommend to the
commissioner scales for disabilities and apportionment.

(c) The board shall review and recommend to the commissioner rates for individual
clinical procedures and aggregate costs. The board shall assist the commissioner in
accomplishing public education.

(d) In evaluating the clinical consequences of the services provided to an employee
by a clinical health care provider, the board shall consider the following factors in the
priority listed:

(1) the clinical effectiveness of the treatment;

(2) the clinical cost of the treatment; and

(3) the length of time of treatment.

(e) The board shall advise the commissioner on the adoption of rules regarding all
aspects of medical care and services provided to injured employees.

(f) The Medical Services Review Board may upon petition from the commissioner
and after hearing, issue a warning, a penalty of $200 per violation, a restriction on
providing treatment that requires preauthorization by the board, commissioner, or
compensation judge for a plan of treatment, disqualify, or suspend a provider from
receiving payment for services rendered under this chapter if a provider has violated any
part of this chapter or rule adopted under this chapter, or where there has been a pattern of,
or an egregious case of, inappropriate, unnecessary, or excessive treatment by a provider.
Any penalties collected under this subdivision shall be payable to the commissioner for
deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special
revenue fundnew text end . The hearings are initiated by the commissioner under the contested case
procedures of chapter 14. The board shall make the final decision following receipt of the
recommendation of the administrative law judge. The board's decision is appealable to the
Workers' Compensation Court of Appeals in the manner provided by section 176.421.

(g) The board may adopt rules of procedure. The rules may be joint rules with
the rehabilitation review panel.

(h) Except where the board is making a decision in a contested case matter under
paragraph (b), the board may conduct a meeting of its members by telephone or other
electronic means so long as the following conditions are met:

(1) all members of the board participating in the meeting, wherever their physical
location, can hear one another and can hear all discussion and testimony;

(2) members of the public present at the regular meeting location of the board can
hear clearly all discussion and testimony and all votes of members of the board and, if
needed, receive those services required by sections 15.44 and 15.441;

(3) at least one member of the board is physically present at the regular meeting
location; and

(4) all votes are conducted by roll call, so each member's vote on each issue can be
identified and recorded.

(i) Each member of the board participating in a meeting by telephone or other
electronic means is considered present at the meeting for purposes of determining a
quorum and participating in all proceedings.

(j) If telephone or other electronic means are used to conduct a regular, special, or
emergency meeting, the board, to the extent practical, shall allow a person to monitor the
meeting electronically from a remote location. The board or the Department of Labor
and Industry may require the person making such a connection to pay for documented
costs that the board or the Department of Labor and Industry incurs as a result of the
additional connection.

(k) If telephone or other electronic means are used to conduct a regular, special, or
emergency meeting, the board shall provide notice of the regular meeting location, of the
fact that some members may participate by telephone or other electronic means, and that a
person may monitor the meeting electronically from a remote location. The timing and
method of providing notice is governed by section 13D.04.

Sec. 34.

Minnesota Statutes 2014, section 176.129, subdivision 10, is amended to read:

Subd. 10.

Penalty.

Sums paid to the commissioner pursuant to this section shall be
in the manner prescribed by the commissioner. The commissioner may impose a penalty
payable to the commissioner for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance
assistance account in the special revenue fund new text end of up to 15 percent of the amount due
under this section but not less than $1,000 in the event payment is not made or reports are
not submitted in the manner prescribed.

Sec. 35.

Minnesota Statutes 2014, section 176.130, subdivision 8, is amended to read:

Subd. 8.

Penalties; wood mills.

If the assessment provided for in this chapter is
not paid on or before February 15 of the year when due and payable, the commissioner
may impose penalties as provided in section 176.129, subdivision 10, payable to the
commissioner for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance
account in the special revenue fundnew text end .

Sec. 36.

Minnesota Statutes 2014, section 176.130, subdivision 9, is amended to read:

Subd. 9.

False reports.

Any person or entity that, for the purpose of evading
payment of the assessment or avoiding the reimbursement, or any part of it, makes a false
report under this section shall pay to the commissioner for deposit in the deleted text begin assigned risk
safety accountdeleted text end new text begin compliance assistance account in the special revenue fundnew text end , in addition
to the assessment, a penalty of 75 percent of the amount of the assessment. A person
who knowingly makes or signs a false report, or who knowingly submits other false
information, is guilty of a misdemeanor.

Sec. 37.

Minnesota Statutes 2014, section 176.1351, subdivision 5, is amended to read:

Subd. 5.

Revocation, suspension, and refusal to certify; penalties and
enforcement.

(a) The commissioner shall refuse to certify or shall revoke or suspend the
certification of a managed care plan if the commissioner finds that the plan for providing
medical or health care services fails to meet the requirements of this section, or service
under the plan is not being provided in accordance with the terms of a certified plan.

(b) In lieu of or in addition to suspension or revocation under paragraph (a), the
commissioner may, for any noncompliance with the managed care plan as certified or any
violation of a statute or rule applicable to a managed care plan, assess an administrative
penalty payable to the commissioner for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin
compliance assistance account in the special revenue fundnew text end in an amount up to $25,000
for each violation or incidence of noncompliance. The commissioner may adopt rules
necessary to implement this subdivision. In determining the level of an administrative
penalty, the commissioner shall consider the following factors:

(1) the number of workers affected or potentially affected by the violation or
noncompliance;

(2) the effect or potential effect of the violation or noncompliance on workers' health,
access to health services, or workers' compensation benefits;

(3) the effect or potential effect of the violation or noncompliance on workers'
understanding of their rights and obligations under the workers' compensation law and
rules;

(4) whether the violation or noncompliance is an isolated incident or part of a
pattern of violations; and

(5) the potential or actual economic benefits derived by the managed care plan or a
participating provider by virtue of the violation or noncompliance.

The commissioner shall give written notice to the managed care plan of the penalty
assessment and the reasons for the penalty. The managed care plan has 30 days from the
date the penalty notice is issued within which to file a written request for an administrative
hearing and review of the commissioner's determination pursuant to section 176.85,
subdivision 1.

(c) If the commissioner, for any reason, has cause to believe that a managed care plan
has or may violate a statute or rule or a provision of the managed care plan as certified,
the commissioner may, before commencing action under paragraph (a) or (b), call a
conference with the managed care plan and other persons who may be involved in the
suspected violation or noncompliance for the purpose of ascertaining the facts relating to
the suspected violation or noncompliance and arriving at an adequate and effective means
of correcting or preventing the violation or noncompliance. The commissioner may enter
into stipulated consent agreements with the managed care plan for corrective or preventive
action or the amount of the penalty to be paid. Proceedings under this paragraph shall not
be governed by any formal procedural requirements, and may be conducted in a manner
the commissioner deems appropriate under the circumstances.

(d) The commissioner may issue an order directing a managed care plan or a
representative of a managed care plan to cease and desist from engaging in any act or
practice that is not in compliance with the managed care plan as certified, or that it is in
violation of an applicable statute or rule. Within 30 days of service of the order, the
managed care plan may request review of the cease and desist order by an administrative
law judge pursuant to chapter 14. The decision of the administrative law judge shall
include findings of fact, conclusions of law and appropriate orders, which shall be the final
decision of the commissioner. In the event of noncompliance with a cease and desist
order, the commissioner may institute a proceeding in district court to obtain injunctive or
other appropriate relief.

(e) A managed care plan, participating health care provider, or an employer or
insurer that receives services from the managed care plan, shall cooperate fully with an
investigation by the commissioner. For purposes of this section, cooperation includes, but
is not limited to, attending a conference called by the commissioner under paragraph (c),
responding fully and promptly to any questions relating to the subject of the investigation,
and providing copies of records, reports, logs, data, and other information requested by the
commissioner to assist in the investigation.

(f) Any person acting on behalf of a managed care plan who knowingly submits
false information in any report required to be filed by a managed care plan is guilty of a
misdemeanor.

Sec. 38.

Minnesota Statutes 2014, section 176.138, is amended to read:

176.138 MEDICAL DATA; ACCESS.

(a) Notwithstanding any other state laws related to the privacy of medical data or
any private agreements to the contrary, the release in writing, by telephone discussion, or
otherwise of medical data related to a current claim for compensation under this chapter
to the employee, employer, or insurer who are parties to the claim, or to the Department
of Labor and Industry, shall not require prior approval of any party to the claim. This
section does not preclude the release of medical data under section 175.10 or 176.231,
subdivision 9. Requests for pertinent data shall be made, and the date of discussions
with medical providers about medical data shall be confirmed, in writing to the person
or organization that collected or currently possesses the data. Written medical data that
exists at the time the request is made shall be provided by the collector or possessor within
seven working days of receiving the request. Nonwritten medical data may be provided,
but is not required to be provided, by the collector or possessor. In all cases of a request
for the data or discussion with a medical provider about the data, except when it is the
employee who is making the request, the employee shall be sent written notification of the
request by the party requesting the data at the same time the request is made or a written
confirmation of the discussion. This data shall be treated as private data by the party who
requests or receives the data and the party receiving the data shall provide the employee or
the employee's attorney with a copy of all data requested by the requester.

(b) Medical data which is not directly related to a current injury or disability shall
not be released without prior authorization of the employee.

(c) The commissioner may impose a penalty of up to $600 payable to the
commissioner for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance
account in the special revenue fund new text end against a party who does not timely release data as
required in this section. A party who does not treat this data as private pursuant to this
section is guilty of a misdemeanor. This paragraph applies only to written medical data
which exists at the time the request is made.

(d) Workers' compensation insurers and self-insured employers may, for the sole
purpose of identifying duplicate billings submitted to more than one insurer, disclose to
health insurers, including all insurers writing insurance described in section 60A.06,
subdivision 1, clause (5)(a), nonprofit health service plan corporations subject to chapter
62C, health maintenance organizations subject to chapter 62D, and joint self-insurance
employee health plans subject to chapter 62H, computerized information about dates,
coded items, and charges for medical treatment of employees and other medical billing
information submitted to them by an employee, employer, health care provider, or other
insurer in connection with a current claim for compensation under this chapter, without
prior approval of any party to the claim. The data may not be used by the health insurer
for any other purpose whatsoever and must be destroyed after verification that there has
been no duplicative billing. Any person who is the subject of the data which is used in
a manner not allowed by this paragraph has a cause of action for actual damages and
punitive damages for a minimum of $5,000.

(e) Medical data collected, stored, used, or disseminated by or filed with the
commissioner in connection with a claim for workers' compensation benefits governed by
this chapter does not constitute genetic information for the purposes of section 13.386.

Sec. 39.

Minnesota Statutes 2014, section 176.139, subdivision 2, is amended to read:

Subd. 2.

Failure to post; penalty.

The commissioner may assess a penalty of $500
against the employer payable to the commissioner for deposit in the deleted text begin assigned risk safety
accountdeleted text end new text begin compliance assistance account in the special revenue fundnew text end if, after notice from the
commissioner, the employer violates the posting requirement of this section.

Sec. 40.

Minnesota Statutes 2014, section 176.181, subdivision 3, is amended to read:

Subd. 3.

Failure to insure, penalty.

(a) The commissioner, having reason to
believe that an employer is in violation of subdivision 2, may issue an order directing the
employer to comply with subdivision 2, to refrain from employing any person at any time
without complying with subdivision 2, and to pay a penalty of up to $1,000 per employee
per week during which the employer was not in compliance.

(b) An employer shall have ten working days to contest such an order by filing a
written objection with the commissioner, stating in detail its reasons for objecting. If the
commissioner does not receive an objection within ten working days, the commissioner's
order shall constitute a final order not subject to further review, and violation of that
order shall be enforceable by way of civil contempt proceedings in district court. If the
commissioner does receive a timely objection, the commissioner shall refer the matter to
the Office of Administrative Hearings for an expedited hearing before a compensation
judge. The compensation judge shall issue a decision either affirming, reversing, or
modifying the commissioner's order within ten days of the close of the hearing. If the
compensation judge affirms the commissioner's order, the compensation judge may order
the employer to pay an additional penalty if the employer continued to employ persons
without complying with subdivision 2 while the proceedings were pending.

(c) All penalties assessed under this subdivision shall be payable to the commissioner
for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special
revenue fundnew text end . Penalties assessed under this section shall constitute a lien for government
services pursuant to section 514.67, on all the employer's property and shall be subject to
the Revenue Recapture Act in chapter 270A.

(d) For purposes of this subdivision, the term "employer" includes any owners or
officers of a corporation who direct and control the activities of employees.

Sec. 41.

Minnesota Statutes 2014, section 176.182, is amended to read:

176.182 BUSINESS LICENSES OR PERMITS; COVERAGE REQUIRED.

Every state or local licensing agency shall withhold the issuance or renewal of a
license or permit to operate a business in Minnesota until the applicant presents acceptable
evidence of compliance with the workers' compensation insurance coverage requirement
of section 176.181, subdivision 2, by providing the name of the insurance company, the
policy number, and dates of coverage or the permit to self-insure. The commissioner shall
assess a penalty to the employer of $2,000 payable to the commissioner for deposit in the
deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special revenue fundnew text end , if
the information is not reported or is falsely reported.

Neither the state nor any governmental subdivision of the state shall enter into any
contract for the doing of any public work before receiving from all other contracting
parties acceptable evidence of compliance with the workers' compensation insurance
coverage requirement of section 176.181, subdivision 2.

This section shall not be construed to create any liability on the part of the state or any
governmental subdivision to pay workers' compensation benefits or to indemnify the special
compensation fund, an employer, or insurer who pays workers' compensation benefits.

Sec. 42.

Minnesota Statutes 2014, section 176.185, subdivision 5a, is amended to read:

Subd. 5a.

Penalty for improper withholding.

An employer who violates
subdivision 5 after notice from the commissioner is subject to a penalty of 400 percent of
the amount withheld from or charged the employee. The penalty shall be imposed by the
commissioner. Forty percent of this penalty is payable to the commissioner for deposit in
the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special revenue fund
new text end and 60 percent is payable to the employee.

Sec. 43.

Minnesota Statutes 2014, section 176.194, subdivision 4, is amended to read:

Subd. 4.

Penalties.

The penalties for violations of subdivision 3, clauses (1)
through (6) and (9), are as follows:

	1st through 5th violation of each paragraph		written warning
	6th through 10th violation of each paragraph		$3,000 per violation in excess of five
	11 or more violations of each paragraph		$6,000 per violation in excess of ten

For violations of subdivision 3, clauses (7) and (8), the penalties are:

	1st through 5th violation of each paragraph		$3,000 per violation
	6 or more violations of each paragraph		$6,000 per violation in excess of five

The penalties under this section may be imposed in addition to other penalties under
this chapter that might apply for the same violation. The penalties under this section are
assessed by the commissioner and are payable to the commissioner for deposit in the
deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special revenue fundnew text end .
A party may object to the penalty and request a formal hearing under section 176.85. If
an entity has more than 30 violations within any 12-month period, in addition to the
monetary penalties provided, the commissioner may refer the matter to the commissioner
of commerce with recommendation for suspension or revocation of the entity's (a) license
to write workers' compensation insurance; (b) license to administer claims on behalf of a
self-insured, the assigned risk plan, or the Minnesota Insurance Guaranty Association; (c)
authority to self-insure; or (d) license to adjust claims. The commissioner of commerce
shall follow the procedures specified in section 176.195.

Sec. 44.

Minnesota Statutes 2014, section 176.221, subdivision 3, is amended to read:

Subd. 3.

Penalty.

If the employer or insurer does not begin payment of
compensation within the time limit prescribed under subdivision 1 or 8, the commissioner
may assess a penalty, payable to the commissioner for deposit in the deleted text begin assigned risk safety
accountdeleted text end new text begin compliance assistance account in the special revenue fundnew text end , which shall be a
percentage of the amount of compensation to which the employee is entitled to receive up
to the date compensation payment is made.

The amount of penalty shall be determined as follows:

Number of days late			Penalty

	1 - 15	30	percent of compensation due, not to exceed $500,
	16 - 30	55	percent of compensation due, not to exceed $1,500,
	31 - 60	80	percent of compensation due, not to exceed $3,500,
	61 or more	105	percent of compensation due, not to exceed $5,000.

The penalty under this section is in addition to any penalty otherwise provided
by statute.

Sec. 45.

Minnesota Statutes 2014, section 176.221, subdivision 3a, is amended to read:

Subd. 3a.

Penalty.

In lieu of any other penalty under this section, the commissioner
may assess a penalty of up to $2,000 payable to the commissioner for deposit in the
deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special revenue fund
new text end for each instance in which an employer or insurer does not pay benefits or file a notice of
denial of liability within the time limits prescribed under this section.

Sec. 46.

Minnesota Statutes 2014, section 176.225, subdivision 5, is amended to read:

Subd. 5.

Penalty.

Where the employer is guilty of inexcusable delay in making
payments, the payments which are found to be delayed shall be increased by 25 percent.
Withholding amounts unquestionably due because the injured employee refuses to execute
a release of the employee's right to claim further benefits will be regarded as inexcusable
delay in the making of compensation payments. If any sum ordered by the department
to be paid is not paid when due, and no appeal of the order is made, the sum shall bear
interest at the rate of 12 percent per annum. Any penalties paid pursuant to this sectionnew text begin
must be deposited in the compliance assistance account in the special revenue fund andnew text end
shall not be considered as a loss or expense item for purposes of a petition for a rate
increase made pursuant to chapter 79.

Sec. 47.

Minnesota Statutes 2014, section 176.231, subdivision 10, is amended to read:

Subd. 10.

Failure to file required report, penalty.

If an employer, qualified
rehabilitation consultant or rehabilitation vendor, insurer, physician, chiropractor, or other
health provider fails to file with the commissioner any report required by this chapter in
the manner and within the time limitations prescribed, or otherwise fails to provide a
report required by this chapter in the manner provided by this chapter, the commissioner
may impose a penalty of up to $500 for each failure.

The imposition of a penalty may be appealed to a compensation judge within 30
days of notice of the penalty.

Penalties collected by the state under this subdivision shall be payable to the
commissioner for deposit into the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance
account in the special revenue fundnew text end .

Sec. 48.

Minnesota Statutes 2014, section 176.238, subdivision 10, is amended to read:

Subd. 10.

Fines; violation.

An employer who violates requirements set forth in this
section or section 176.239 is subject to a fine of up to $1,000 for each violation payable to
the commissioner for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance
account in the special revenue fundnew text end .

Sec. 49.

Minnesota Statutes 2014, section 176.84, subdivision 2, is amended to read:

Subd. 2.

Penalty.

The commissioner or compensation judge may impose a penalty
of $500 for each violation of subdivision 1. This penalty is payable to the commissioner
for deposit in the deleted text begin assigned risk safety accountdeleted text end new text begin compliance assistance account in the special
revenue fundnew text end .

Sec. 50.

Minnesota Statutes 2014, section 182.666, subdivision 7, is amended to read:

Subd. 7.

Payment of fines; unpaid fines.

Fines imposed under this chapter shall be
paid to the commissioner for deposit in the deleted text begin special compensationdeleted text end new text begin compliance assistance
account in the special revenuenew text end fund and may be recoverednew text begin , subject to appropriation,new text end in a
civil action in the name of the department brought in the district court of the county where
the violation is alleged to have occurred or the district court where the commissioner has an
office. Unpaid fines shall be increased to 125 percent of the original assessed amount if not
paid within 60 days after the fine becomes a final order. After that 60 days, unpaid fines shall
accrue an additional penalty of ten percent per month compounded monthly until the fine
is paid in full or until the fine has accrued to 300 percent of the original assessed amount.

Sec. 51.

Minnesota Statutes 2014, section 239.785, subdivision 6, is amended to read:

Subd. 6.

Liquefied petroleum gas account.

A liquefied petroleum gas account in
the special revenue fund is established in the state treasury. Fees deleted text begin and penaltiesdeleted text end collected
under this section must be deposited in the state treasury and credited to the liquefied
petroleum gas account. Money in that account, including interest earned, is appropriated
to the commissioner of commerce for programs to improve the energy efficiency of
residential liquefied petroleum gas heating equipment in low-income households, and,
when necessary, to provide weatherization services to the homes.new text begin Penalties must be
deposited in the compliance assistance account in the special revenue fund.
new text end

Sec. 52.

Minnesota Statutes 2014, section 245A.10, subdivision 4, is amended to read:

Subd. 4.

License or certification fee for certain programs.

(a) Child care centers
shall pay an annual nonrefundable license fee based on the following schedule:

	Licensed Capacity	Child Care Center License Fee
	1 to 24 persons	$200
	25 to 49 persons	$300
	50 to 74 persons	$400
	75 to 99 persons	$500
	100 to 124 persons	$600
	125 to 149 persons	$700
	150 to 174 persons	$800
	175 to 199 persons	$900
	200 to 224 persons	$1,000
	225 or more persons	$1,100

(b)(1) A program licensed to provide one or more of the home and community-based
services and supports identified under chapter 245D to persons with disabilities or age
65 and older, shall pay an annual nonrefundable license fee based on revenues derived
from the provision of services that would require licensure under chapter 245D during the
calendar year immediately preceding the year in which the license fee is paid, according to
the following schedule:

License Holder Annual Revenue		License Fee
less than or equal to $10,000		$200
greater than $10,000 but less than or equal to $25,000		$300
greater than $25,000 but less than or equal to $50,000		$400
greater than $50,000 but less than or equal to $100,000		$500
greater than $100,000 but less than or equal to $150,000		$600
greater than $150,000 but less than or equal to $200,000		$800
greater than $200,000 but less than or equal to $250,000		$1,000
greater than $250,000 but less than or equal to $300,000		$1,200
greater than $300,000 but less than or equal to $350,000		$1,400
greater than $350,000 but less than or equal to $400,000		$1,600
greater than $400,000 but less than or equal to $450,000		$1,800
greater than $450,000 but less than or equal to $500,000		$2,000
greater than $500,000 but less than or equal to $600,000		$2,250
greater than $600,000 but less than or equal to $700,000		$2,500
greater than $700,000 but less than or equal to $800,000		$2,750
greater than $800,000 but less than or equal to $900,000		$3,000
greater than $900,000 but less than or equal to $1,000,000		$3,250
greater than $1,000,000 but less than or equal to $1,250,000		$3,500
greater than $1,250,000 but less than or equal to $1,500,000		$3,750
greater than $1,500,000 but less than or equal to $1,750,000		$4,000
greater than $1,750,000 but less than or equal to $2,000,000		$4,250
greater than $2,000,000 but less than or equal to $2,500,000		$4,500
greater than $2,500,000 but less than or equal to $3,000,000		$4,750
greater than $3,000,000 but less than or equal to $3,500,000		$5,000
greater than $3,500,000 but less than or equal to $4,000,000		$5,500
greater than $4,000,000 but less than or equal to $4,500,000		$6,000
greater than $4,500,000 but less than or equal to $5,000,000		$6,500
greater than $5,000,000 but less than or equal to $7,500,000		$7,000
greater than $7,500,000 but less than or equal to $10,000,000		$8,500
greater than $10,000,000 but less than or equal to $12,500,000		$10,000
greater than $12,500,000 but less than or equal to $15,000,000		$14,000
greater than $15,000,000		$18,000

(2) If requested, the license holder shall provide the commissioner information to
verify the license holder's annual revenues or other information as needed, including
copies of documents submitted to the Department of Revenue.

(3) At each annual renewal, a license holder may elect to pay the highest renewal
fee, and not provide annual revenue information to the commissioner.

(4) A license holder that knowingly provides the commissioner incorrect revenue
amounts for the purpose of paying a lower license fee shall be subject to a civil penalty
in the amount of double the fee the provider should have paid.new text begin The commissioner shall
deposit civil penalties in the compliance assistance account in the special revenue fund.
new text end

(5) Notwithstanding clause (1), a license holder providing services under one or
more licenses under chapter 245B that are in effect on May 15, 2013, shall pay an annual
license fee for calendar years 2014, 2015, and 2016, equal to the total license fees paid
by the license holder for all licenses held under chapter 245B for calendar year 2013.
For calendar year 2017 and thereafter, the license holder shall pay an annual license fee
according to clause (1).

(c) A chemical dependency treatment program licensed under Minnesota Rules,
parts 9530.6405 to 9530.6505, to provide chemical dependency treatment shall pay an
annual nonrefundable license fee based on the following schedule:

	Licensed Capacity	License Fee
	1 to 24 persons	$600
	25 to 49 persons	$800
	50 to 74 persons	$1,000
	75 to 99 persons	$1,200
	100 or more persons	$1,400

(d) A chemical dependency program licensed under Minnesota Rules, parts
9530.6510 to 9530.6590, to provide detoxification services shall pay an annual
nonrefundable license fee based on the following schedule:

	Licensed Capacity	License Fee
	1 to 24 persons	$760
	25 to 49 persons	$960
	50 or more persons	$1,160

(e) Except for child foster care, a residential facility licensed under Minnesota Rules,
chapter 2960, to serve children shall pay an annual nonrefundable license fee based on
the following schedule:

	Licensed Capacity	License Fee
	1 to 24 persons	$1,000
	25 to 49 persons	$1,100
	50 to 74 persons	$1,200
	75 to 99 persons	$1,300
	100 or more persons	$1,400

(f) A residential facility licensed under Minnesota Rules, parts 9520.0500 to
9520.0670, to serve persons with mental illness shall pay an annual nonrefundable license
fee based on the following schedule:

	Licensed Capacity	License Fee
	1 to 24 persons	$2,525
	25 or more persons	$2,725

(g) A residential facility licensed under Minnesota Rules, parts 9570.2000 to
9570.3400, to serve persons with physical disabilities shall pay an annual nonrefundable
license fee based on the following schedule:

	Licensed Capacity	License Fee
	1 to 24 persons	$450
	25 to 49 persons	$650
	50 to 74 persons	$850
	75 to 99 persons	$1,050
	100 or more persons	$1,250

(h) A program licensed to provide independent living assistance for youth under
section 245A.22 shall pay an annual nonrefundable license fee of $1,500.

(i) A private agency licensed to provide foster care and adoption services under
Minnesota Rules, parts 9545.0755 to 9545.0845, shall pay an annual nonrefundable
license fee of $875.

(j) A program licensed as an adult day care center licensed under Minnesota Rules,
parts 9555.9600 to 9555.9730, shall pay an annual nonrefundable license fee based on
the following schedule:

	Licensed Capacity	License Fee
	1 to 24 persons	$500
	25 to 49 persons	$700
	50 to 74 persons	$900
	75 to 99 persons	$1,100
	100 or more persons	$1,300

(k) A program licensed to provide treatment services to persons with sexual
psychopathic personalities or sexually dangerous persons under Minnesota Rules, parts
9515.3000 to 9515.3110, shall pay an annual nonrefundable license fee of $20,000.

(l) A mental health center or mental health clinic requesting certification for
purposes of insurance and subscriber contract reimbursement under Minnesota Rules,
parts 9520.0750 to 9520.0870, shall pay a certification fee of $1,550 per year. If the
mental health center or mental health clinic provides services at a primary location with
satellite facilities, the satellite facilities shall be certified with the primary location without
an additional charge.

Sec. 53.

Minnesota Statutes 2014, section 297F.21, subdivision 3, is amended to read:

Subd. 3.

Inventory; judicial determination; appeal; disposition of seized
property.

(a) Within ten days after the seizure of any alleged contraband, the person
making the seizure shall serve by certified mail an inventory of the property seized on the
person from whom the seizure was made, if known, and on any person known or believed
to have any right, title, interest, or lien in the property, at the last known address, and file
a copy with the commissioner. The notice must include an explanation of the right to
demand a judicial forfeiture determination.

(b) Within 60 days after the date of service of the inventory, which is the date of
mailing, the person from whom the property was seized or any person claiming an interest
in the property may file a demand for a judicial determination of the question as to whether
the property was lawfully subject to seizure and forfeiture. The demand must be in the
form of a civil complaint and must be filed with the court administrator in the county in
which the seizure occurred, together with proof of service of a copy of the complaint
on the commissioner of revenue, and the standard filing fee for civil actions unless the
petitioner has the right to sue in forma pauperis under section 563.01. If the value of the
seized property is $10,000 or less, the claimant may file an action in conciliation court for
recovery of the property. If the value of the seized property is less than $500, the claimant
does not have to pay the conciliation court filing fee.

(c) The complaint must be captioned in the name of the claimant as plaintiff and
the seized property as defendant, and must state with specificity the grounds on which
the claimant alleges the property was improperly seized and the plaintiff's interest in the
property seized. No responsive pleading is required of the commissioner, and no court
fees may be charged for the commissioner's appearance in the matter. The proceedings
are governed by the Rules of Civil Procedure. Notwithstanding any law to the contrary,
an action for the return of property seized under this section may not be maintained by
or on behalf of any person who has been served with an inventory unless the person has
complied with this subdivision. The court shall decide whether the alleged contraband is
contraband, as defined in subdivision 1. The court shall hear the action without a jury and
shall try and determine the issues of fact and law involved.

(d) When a judgment of forfeiture is entered, unless the judgment is stayed pending
an appeal, the commissioner:

(1) may authorize the forfeited property to be used for the purpose of enforcing a
criminal provision of state or federal law;

(2) shall cause forfeited cigarette packages or tobacco products not used under
clause (1) to be destroyed and products used under clause (1) to be destroyed upon the
completion of use; and

(3) may cause the forfeited property, other than forfeited cigarette packages or
tobacco products, to be sold at public auction as provided by law.

The person making a sale, after deducting the expense of keeping the property, the
fee for seizure, and the costs of the sale, shall pay all liens according to their priority, which
are established as being bona fide and as existing without the lienor having any notice or
knowledge that the property was being used or was intended to be used for or in connection
with the violation. The balance of the proceeds must be paid 75 percent to the deleted text begin Department
of Revenue for deposit as a supplement to its operating fund or similar fund for official usedeleted text end new text begin
compliance assistance account in the special revenue fundnew text end , and 25 percent to the county
attorney or other prosecuting agency that handled the court proceeding, if there is one, for
deposit as a supplement to its operating fund or similar fund for prosecutorial purposes. If
there is no prosecuting authority involved in the forfeiture, the 25 percent of the proceeds
otherwise designated for the prosecuting authority must be deposited into the general fund.

(e) If no demand for judicial determination is made, the property seized is considered
forfeited to the state by operation of law and may be disposed of by the commissioner as
provided in the case of a judgment of forfeiture.

Sec. 54.

Minnesota Statutes 2014, section 297G.20, subdivision 4, is amended to read:

Subd. 4.

Inventory; judicial determination; appeal; disposition of seized
property.

(a) Within ten days after the seizure of alleged contraband, the person making
the seizure shall serve by certified mail an inventory of the property seized on the person
from whom the property was seized, if known, and on any person known or believed to
have any right, title, interest, or lien in the property, at the last known address, and file a
copy with both the commissioners of revenue and public safety. The notice must include
an explanation of the right to demand a judicial forfeiture determination.

(b) Within 60 days after the date of service of the inventory, which is the date of
mailing, the person from whom the property was seized or any person claiming an interest
in the property may file a demand for judicial determination of whether the property was
lawfully subject to seizure and forfeiture. The demand must be in the form of a civil
complaint and must be filed with the court administrator in the county in which the seizure
occurred, together with proof of service of a copy of the complaint on the commissioner of
revenue or public safety, and the standard filing fee for civil actions unless the petitioner
has the right to sue in forma pauperis under section 563.01. If the value of the seized
property or vehicle is $10,000 or less, the claimant may file an action in conciliation court
for recovery of the property. If the value of the seized property is less than $500, the
claimant does not have to pay the conciliation court filing fee.

(c) The complaint must be captioned in the name of the claimant as plaintiff and
the seized property as defendant, and must state with specificity the grounds on which
the claimant alleges the property was improperly seized and the plaintiff's interest in the
property seized. No responsive pleading is required of the commissioner of revenue or
public safety and no court fees may be charged for either commissioner's appearance in the
matter. The proceedings are governed by the Rules of Civil Procedure. Notwithstanding
any law to the contrary, an action for the return of property seized under this section may
not be maintained by or on behalf of any person who has been served with an inventory
unless the person has complied with this subdivision. The court shall hear the action
without a jury and determine the issues of fact and law involved.

(d) If a judgment of forfeiture is entered, the seizing authority may, unless the
judgment is stayed pending an appeal, either:

(1) cause the forfeited property, other than a vehicle, to be destroyed; or

(2) cause it to be sold at a public auction as provided by law.

The person making a sale, after deducting the expense of keeping the property, the
fee for seizure, and the costs of the sale, shall pay all liens according to their priority, which
are established as being bona fide and as existing without the lienor having any notice or
knowledge that the property was being used or was intended to be used for or in connection
with the violation. The balance of the proceeds must be paid 75 percent to the deleted text begin seizing
authority for deposit as a supplement to its operating fund or similar fund for official usedeleted text end new text begin
compliance assistance account in the special revenue fundnew text end , and 25 percent to the county
attorney or other prosecuting agency that handled the court proceeding, if there is one, for
deposit as a supplement to its operating fund or similar fund for prosecutorial purposes. If
there is no prosecuting authority involved in the forfeiture, the 25 percent of the proceeds
otherwise designated for the prosecuting authority must be deposited into the general fund.

(e) If no demand is made, the property seized is considered forfeited to the seizing
authority by operation of law and may be disposed of by the seizing authority as provided
for a judgment of forfeiture.

Sec. 55.

Minnesota Statutes 2014, section 297I.05, subdivision 5, is amended to read:

Subd. 5.

Health maintenance organizations, nonprofit health service plan
corporations, and community integrated service networks.

(a) A tax is imposed on
health maintenance organizations, community integrated service networks, and nonprofit
health care service plan corporations. The rate of tax is equal to one percent of gross
premiums less return premiums on all direct business received by the organization, network,
or corporation or its agents in Minnesota, in cash or otherwise, in the calendar year.

(b) The commissioner shall deposit all revenues, including deleted text begin penalties anddeleted text end interest,
collected under this chapter from health maintenance organizations, community integrated
service networks, and nonprofit health service plan corporations in the health care access
fund. new text begin Penalties must be deposited in the compliance assistance account in the special
revenue fund. new text end Refunds of overpayments of tax imposed by this subdivision must be paid
from the health care access fund. There is annually appropriated from the health care
access fund to the commissioner the amount necessary to make any refunds of the tax
imposed under this subdivision.

Sec. 56.

Minnesota Statutes 2014, section 299A.80, subdivision 8, is amended to read:

Subd. 8.

Education and compliance account; money allocated.

An education and
compliance account is created for the deposit of administrative penalty order receipts. Of
the funds deposited in this account, $5,000 each year is appropriated to the commissioner
for education and compliance activities related to the regulated parties affected by this
chapter. At the end of each biennium, all money not expended lapses to the deleted text begin generaldeleted text end new text begin
compliance assistance account in the special revenuenew text end fund.

Sec. 57.

Minnesota Statutes 2014, section 299F.098, is amended to read:

299F.098 PENALTIES.

(a) An employer who violates a provision of sections 299F.091 to 299F.099 or a rule
or order adopted or made under the authority of those sections, that is determined by rule
not to be a violation of a serious nature, may be assessed a fine not to exceed $1,000.

(b) An employer who violates a provision of sections 299F.091 to 299F.099 or a rule
or order adopted or made under the authority of those sections, that is determined by rule
to be of a serious nature, must be assessed a fine not to exceed $1,000 for each violation.

(c) An employer who is convicted of knowingly making a false statement,
representation, or certification in an application, record, report, plan, or other document
filed or required to be maintained under sections 299F.091 to 299F.099 is guilty of a
gross misdemeanor.

(d) An employer who is convicted of willfully or repeatedly violating the
requirements of sections 299F.091 to 299F.099 or a rule or order adopted or made under
those sections is guilty of a gross misdemeanor.

(e) The penalties provided by this section may be imposed in a criminal action in the
name of the state brought in the district court of the county in which the violation is alleged
to have occurred or the district court where the commissioner has an office. Fines imposed
under sections 299F.091 to 299F.099 must be paid to the commissioner of public safety
and deposited in the deleted text begin generaldeleted text end new text begin compliance assistance account in the special revenuenew text end fund.

(f) No employer may be convicted for violating sections 299F.091 to 299F.099 or a
rule or order made or issued under those sections unless the employer was notified of the
violation in writing and given a reasonable time to comply.

Sec. 58.

Minnesota Statutes 2014, section 299M.10, is amended to read:

299M.10 deleted text begin MONEYdeleted text end new text begin FEESnew text end CREDITED TO GENERAL FUND.

The fees deleted text begin and penaltiesdeleted text end collected under this chapter, except as provided in section
299M.07, must be deposited in the state treasury and credited to the general fund. Money
received by the State Fire Marshal Division in the form of gifts, grants, reimbursements, or
appropriation from any source for the administration of this chapter must also be deposited
in the state treasury and credited to the general fund.new text begin Penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 59.

Minnesota Statutes 2014, section 325G.28, subdivision 1, is amended to read:

Subdivision 1.

Attorney general enforcement authority.

The attorney general
shall investigate violations of sections 325G.23 to 325G.28. When the attorney general
possesses information providing reasonable ground to believe that any person has violated
or is about to violate any provision of sections 325G.23 to 325G.28, or that any club is
insolvent the attorney general shall be entitled on behalf of the state (a) to sue for and
have injunctive relief in any court of competent jurisdiction against any such violation or
threatened violation without abridging the penalties provided by law; (b) to sue for and
recover for the state, from any person who is found to have violated any provision of
sections 325G.23 to 325G.28, a civil penalty, in an amount to be determined by the court,
not in excess of $25,000; and in case the club has failed to maintain the bond required
by sections 325G.23 to 325G.28, or is insolvent or in imminent danger of insolvency, to
sue for and have an order appointing a receiver to wind up its affairs. All civil penalties
recovered under this subdivision shall be deposited in the deleted text begin generaldeleted text end new text begin compliance assistance
account in the special revenuenew text end fund of the state treasury.

Sec. 60.

Minnesota Statutes 2014, section 341.321, is amended to read:

341.321 FEE SCHEDULE.

(a) The fee schedule for professional licenses issued by the commissioner is as
follows:

(1) referees, $80 for each initial license and each renewal;

(2) promoters, $700 for each initial license and each renewal;

(3) judges and knockdown judges, $80 for each initial license and each renewal;

(4) trainers, $80 for each initial license and each renewal;

(5) ring announcers, $80 for each initial license and each renewal;

(6) seconds, $80 for each initial license and each renewal;

(7) timekeepers, $80 for each initial license and each renewal;

(8) combatants, $100 for each initial license and each renewal;

(9) managers, $80 for each initial license and each renewal; and

(10) ringside physicians, $80 for each initial license and each renewal.

In addition to the license fee and the late filing penalty fee in section 341.32, subdivision
2, 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
$120 at the time the application is submitted.

(b) The fee schedule for amateur licenses issued by the commissioner is as follows:

(1) referees, $80 for each initial license and each renewal;

(2) promoters, $700 for each initial license and each renewal;

(3) judges and knockdown judges, $80 for each initial license and each renewal;

(4) trainers, $80 for each initial license and each renewal;

(5) ring announcers, $80 for each initial license and each renewal;

(6) seconds, $80 for each initial license and each renewal;

(7) timekeepers, $80 for each initial license and each renewal;

(8) combatant, $60 for each initial license and each renewal;

(9) managers, $80 for each initial license and each renewal; and

(10) ringside physicians, $80 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 $1,500 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 deleted text begin and penaltiesdeleted text end collected by the commissioner must be deposited in the
commissioner account in the special revenue fund.new text begin All penalties must be deposited in the
compliance assistance account in the special revenue fund.
new text end

Sec. 61.

Minnesota Statutes 2014, section 349.151, subdivision 4, is amended to read:

Subd. 4.

Powers and duties.

(a) The board has the following powers and duties:

(1) to regulate lawful gambling to ensure it is conducted in the public interest;

(2) to issue licenses to organizations and gambling managers, and to issue licenses
and renewals to distributors, distributor salespersons, manufacturers, and linked bingo
game providers;

(3) to collect and deposit fees due under this chapter;

(4) to receive reports required by this chapter and inspect all premises, records,
books, and other documents of organizations, distributors, manufacturers, and linked
bingo game providers to insure compliance with all applicable laws and rules;

(5) to make rules authorized by this chapter;

(6) to register gambling equipment and issue registration stamps;

(7) to provide by rule for the mandatory posting by organizations conducting lawful
gambling of rules of play and the odds and/or house percentage on each form of lawful
gambling;

(8) to report annually to the governor and legislature on its activities and on
recommended changes in the laws governing gambling;

(9) to report annually to the governor and legislature a financial summary for each
licensed organization identifying the gross receipts, prizes paid, allowable expenses,
lawful purpose expenditures including charitable contributions and all taxes and fees as
per section 349.12, subdivision 25, paragraph (a), clauses (8) and (18), and the percentage
of annual gross profit used for lawful purposes;

(10) to impose civil penalties of not more than $1,000 per violation on organizations,
distributors, distributor salespersons, manufacturers, linked bingo game providers, and
gambling managers for violating or failing to comply with any provision of this chapter,
chapter 297E, or any rule or order of the board;

(11) to issue premises permits to organizations licensed to conduct lawful gambling;

(12) to delegate to the director the authority to issue or deny license and premises
permit applications and renewals under criteria established by the board;

(13) to delegate to the director the authority to approve or deny fund loss requests,
contribution of gambling funds to another licensed organization, and property expenditure
requests under criteria established by the board;

(14) to suspend or revoke licenses and premises permits of organizations,
distributors, distributor salespersons, manufacturers, linked bingo game providers, or
gambling managers as provided in this chapter;

(15) to approve or deny requests from licensees for:

(i) waivers from fee requirements as provided in section 349.16, subdivision 6; and

(ii) variances from Gambling Control Board rules under section 14.055; and

(16) to register employees of organizations licensed to conduct lawful gambling;

(17) to require fingerprints from persons determined by board rule to be subject to
fingerprinting;

(18) to delegate to a compliance review group of the board the authority to investigate
alleged violations, issue consent orders, and initiate contested cases on behalf of the board;

(19) to order organizations, distributors, distributor salespersons, manufacturers,
linked bingo game providers, and gambling managers to take corrective actions; and

(20) to take all necessary steps to ensure the integrity of and public confidence
in lawful gambling.

(b) The board, or director if authorized to act on behalf of the board, may by citation
assess any organization, distributor, distributor salesperson, manufacturer, linked bingo
game provider, or gambling manager a civil penalty of not more than $1,000 per violation
for a failure to comply with any provision of this chapter, chapter 297E, or any rule adopted
or order issued by the board. Any organization, distributor, distributor salesperson,
gambling manager, linked bingo game provider, or manufacturer assessed a civil penalty
under this paragraph may request a hearing before the board. Appeals of citations imposing
a civil penalty are not subject to the provisions of the Administrative Procedure Act.

(c) All penalties received by the board must be deposited in the deleted text begin generaldeleted text end new text begin compliance
assistance account in the special revenuenew text end fund.

(d) All fees imposed by the board under sections 349.16 to 349.167 must be
deposited in the state treasury and credited to a lawful gambling regulation account in the
special revenue fund. Receipts in this account are available for the operations of the board
up to the amount authorized in biennial appropriations from the legislature.

HF 769

Bill Text Versions

Current Version - as introduced

ARTICLE 1

COMPLIANCE ASSISTANCE; PENALTY REVENUE GENERALLY

Section 1.

new text begin [16A.1284] COMPLIANCE ASSISTANCE ACCOUNT; PENALTY REVENUE; APPROPRIATION. new text end

new text begin Subdivision 1. new text end

new text begin Creation. new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin Subd. 3. new text end

new text begin Deposit of certain penalty revenue required. new text end

new text begin Subd. 4. new text end

new text begin Appropriation; transfer. new text end

Sec. 2.

new text begin [116J.671] COMPLIANCE ASSISTANCE GRANT PROGRAM. new text end

new text begin Subdivision 1. new text end

new text begin Eligibility. new text end

new text begin Subd. 2. new text end

new text begin Process; limitation. new text end

new text begin Subd. 3. new text end

new text begin Ineligible violations. new text end

ARTICLE 2

PENALTY REVENUE DISPOSITION

Section 1.

Subd. 4.

Minnesota grown account.

Sec. 2.

Subd. 4a.

Funding sources.

Sec. 3.

17A.11 FEES FOR LIVESTOCK WEIGHING.

Sec. 4.

18B.05 PESTICIDE REGULATORY ACCOUNT.

Subdivision 1.

Establishment.

Sec. 5.

18C.131 FERTILIZER INSPECTION ACCOUNT.

Sec. 6.

18D.323 CREDITING OF PENALTIES, FEES, AND COSTS.

Sec. 7.

Subd. 2.

Disposition and use of money received.

Sec. 8.

18H.17 NURSERY AND PHYTOSANITARY ACCOUNT.

Sec. 9.

18J.09 CREDITING OF PENALTIES, FEES, AND COSTS.

Sec. 10.

21.115 FEES; SEED POTATO INSPECTION ACCOUNT.

Sec. 11.

21.92 SEED INSPECTION ACCOUNT.

Sec. 12.

Subd. 4.

Commercial feed inspection account.

Sec. 13.

Subd. 3.

Account; appropriation.

Sec. 14.

Subd. 4.

Penalties.

Sec. 15.

34.07 BEVERAGE INSPECTION ACCOUNT; APPROPRIATION.

Sec. 16.

Subd. 2b.

Compliance and investigations.

Sec. 17.

Subd. 4.

Failure to submit reports or information; penalty.

Sec. 18.

Subd. 10.

Disposition of forfeited vehicle.

Sec. 19.

Subd. 2.

Receipts.

Sec. 20.

Subd. 12.

Authority to issue penalty orders.

Sec. 21.

Subdivision 1.

new text begin [16A.1284] COMPLIANCE ASSISTANCE ACCOUNT; PENALTY
REVENUE; APPROPRIATION.
new text end

new text begin [116J.671] COMPLIANCE ASSISTANCE GRANT PROGRAM.
new text end

Revocation, suspension, and refusal to certify; penalties and
enforcement.