HF 1049

1st Engrossment - 87th Legislature (2011 - 2012) Posted on 03/28/2011 12:07pm

A bill for an act
relating to economic development; modifying certain economic development,
fees, and licensing provisions; modifying certain occupational continuing
education requirements; clarifying and modifying regulation of medical gas
system and manufactured home provisions; requiring reports; appropriating
money for jobs, economic development, and housing purposes; amending
Minnesota Statutes 2010, sections 116J.035, by adding a subdivision; 116J.8737,
subdivisions 1, 2, 4; 116L.3625; 116L.62; 154.06; 154.065, subdivision 2;
154.08; 154.11, subdivision 1; 154.12; 181.723, subdivision 5; 182.6553,
subdivision 6; 268.18, subdivisions 2, 2b; 268.199; 298.17; 326B.04, subdivision
2; 326B.091; 326B.098; 326B.13, subdivision 8; 326B.148, subdivision 1;
326B.42, subdivisions 8, 9, 10, by adding subdivisions; 326B.435, subdivision
2; 326B.438; 326B.46, subdivisions 1a, 1b, 2, 3; 326B.47, subdivisions 1, 3;
326B.49, subdivision 1; 326B.56, subdivision 1; 326B.58; 326B.82, subdivisions
2, 3, 7, 9; 326B.821, subdivisions 1, 5, 5a, 6, 7, 8, 9, 10, 11, 12, 15, 16, 18, 19,
20, 22, 23; 326B.865; 326B.89, subdivisions 6, 8; 327.32, subdivisions 1a, 1b,
1e, 1f, 7; 327.33, subdivision 2; 327C.095, subdivision 12; 341.321; Laws 2009,
chapter 78, article 1, section 18; proposing coding for new law in Minnesota
Statutes, chapter 326B; repealing Minnesota Statutes 2010, sections 326B.82,
subdivisions 4, 6; 326B.821, subdivision 3.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

JOBS, ECONOMIC DEVELOPMENT, AND HOUSING APPROPRIATIONS

Section 1. new text begin JOBS, ECONOMIC DEVELOPMENT, AND HOUSING APPROPRIATIONS. new text end

new text begin The amounts shown in this section summarize direct appropriations, by fund, made
in this article.
new text end

		new text begin 2012 new text end		new text begin 2013 new text end		new text begin Total new text end
new text begin General new text end	new text begin $ new text end	new text begin 80,090,000 new text end	new text begin $ new text end	new text begin 77,758,000 new text end	new text begin $ new text end	new text begin 157,848,000 new text end
new text begin Workforce Development new text end		new text begin 14,151,000 new text end		new text begin 14,151,000 new text end		new text begin 28,302,000 new text end
new text begin Remediation new text end		new text begin 700,000 new text end		new text begin 700,000 new text end		new text begin 1,400,000 new text end
new text begin Workers' Compensation new text end		new text begin 22,574,000 new text end		new text begin 22,574,000 new text end		new text begin 45,148,000 new text end
new text begin Total new text end	new text begin $ new text end	new text begin 117,515,000 new text end	new text begin $ new text end	new text begin 115,183,000 new text end	new text begin $ new text end	new text begin 232,698,000 new text end

Sec. 2. new text begin JOBS, ECONOMIC DEVELOPMENT, AND HOUSING. new text end

new text begin The sums shown in the columns marked "Appropriations" are appropriated to the
agencies and for the purposes specified in this article. The appropriations are from the
general fund, or another named fund, and are available for the fiscal years indicated
for each purpose. The figures "2012" and "2013" used in this article mean that the
appropriations listed under them are available for the fiscal year ending June 30, 2012, or
June 30, 2013, respectively. "The first year" is fiscal year 2012. "The second year" is fiscal
year 2013. "The biennium" is fiscal years 2012 and 2013.
new text end

			new text begin APPROPRIATIONS new text end
			new text begin Available for the Year new text end
			new text begin Ending June 30 new text end
				new text begin 2012 new text end		new text begin 2013 new text end

Sec. 3. new text begin DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 53,044,000 new text end

new text begin $ new text end

new text begin 50,819,000 new text end

new text begin Appropriations by Fund new text end
	new text begin 2012 new text end	new text begin 2013 new text end
new text begin General new text end	new text begin 38,850,000 new text end	new text begin 36,625,000 new text end
new text begin Remediation new text end	new text begin 700,000 new text end	new text begin 700,000 new text end
new text begin Workforce Development new text end	new text begin 13,494,000 new text end	new text begin 13,494,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Business and Community Development new text end

new text begin 9,166,000 new text end

new text begin 6,941,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 8,186,000 new text end	new text begin 5,961,000 new text end
new text begin Remediation new text end	new text begin 700,000 new text end	new text begin 700,000 new text end
new text begin Workforce Development new text end	new text begin 280,000 new text end	new text begin 280,000 new text end

new text begin (a) $700,000 the first year and $700,000 the
second year are from the remediation fund for
contaminated site cleanup and development
grants under Minnesota Statutes, section
116J.554. This appropriation is available
until expended.
new text end

new text begin (b) $970,000 the first year and $970,000 the
second year are from the general fund for
contaminated site cleanup and development
grants under Minnesota Statutes, section
116J.554.
new text end

new text begin (c) $1,086,000 the first year and $1,086,000
the second year are from the general fund for
the Minnesota Trade Office.
new text end

new text begin (d) $150,000 each year is from the general
fund for a grant to WomenVenture for
women's business development programs
and for programs that encourage and assist
women to enter nontraditional careers in the
trades; manual and technical occupations;
science, technology, engineering, and
mathematics-related occupations; and green
jobs. This appropriation may be matched
dollar for dollar with any resources available
from the federal government for these
purposes with priority given to initiatives
that have a goal of increasing by at least ten
percent the number of women in occupations
where women currently comprise less than
25 percent of the workforce.
new text end

new text begin (e) $75,000 each year is from the general
fund and $40,000 each year is from the
workforce development fund for a grant to
the Metropolitan Economic Development
Association for continuing minority business
development programs in the metropolitan
area. This appropriation must be used for the
sole purpose of providing free or reduced
fee business consulting services to minority
entrepreneurs and contractors.
new text end

new text begin (f)(1) $425,000 the first year is a onetime
appropriation from the general fund for a
grant to BioBusiness Alliance of Minnesota
for bioscience business development
programs to promote and position the state
as a global leader in bioscience business
activities. These funds may be used to create,
recruit, retain, and expand biobusiness
activity in Minnesota; implement the
destination 2025 statewide plan; update
a statewide assessment of the bioscience
industry and the competitive position of
Minnesota-based bioscience businesses
relative to other states and other nations;
and develop and implement business and
scenario-planning models to create, recruit,
retain, and expand biobusiness activity in
Minnesota.
new text end

new text begin (2) The BioBusiness Alliance must report
each year by February 15 to the committees
of the house of representatives and the senate
having jurisdiction over bioscience industry
activity in Minnesota on the use of funds;
the number of bioscience businesses and
jobs created, recruited, retained, or expanded
in the state since the last reporting period;
the competitive position of the biobusiness
industry; and utilization rates and results of
the business and scenario-planning models
and outcomes resulting from utilization of
the business and scenario-planning models.
new text end

new text begin (g) $50,000 the first year is from the general
fund for a grant to the Minnesota Inventors
Congress, of which at least $5,000 must be
used for youth inventors. This is a onetime
appropriation.
new text end

new text begin (h)(1) $90,000 each year is from the
workforce development fund for a grant
under Minnesota Statutes, section 116J.421,
to the Rural Policy and Development
Center at St. Peter, Minnesota. The grant
shall be used for research and policy
analysis on emerging economic and social
issues in rural Minnesota, to serve as a
policy resource center for rural Minnesota
communities, to encourage collaboration
across higher education institutions, to
provide interdisciplinary team approaches
to research and problem-solving in rural
communities, and to administer overall
operations of the center.
new text end

new text begin (2) The grant shall be provided upon the
condition that each state-appropriated
dollar be matched with a nonstate dollar.
Acceptable matching funds are nonstate
contributions that the center has received and
have not been used to match previous state
grants. Any funds not spent the first year are
available the second year.
new text end

new text begin (i)(1) $150,000 each year is appropriated
from the workforce development fund for
grants of $50,000 to eligible organizations
each year to assist in the development of
entrepreneurs and small businesses. Each
state grant dollar must be matched with $1
of nonstate funds. Any balance in the first
year does not cancel but is available in the
second year.
new text end

new text begin (2) Three grants must be awarded to
continue or to develop a program. One
grant must be awarded to the Riverbend
Center for Entrepreneurial Facilitation
in Blue Earth County, and two to other
organizations serving Faribault and Martin
Counties. Grant recipients must report to the
commissioner by February 1 of each year
that the organization receives a grant with the
number of customers served; the number of
businesses started, stabilized, or expanded;
the number of jobs created and retained; and
business success rates. The commissioner
must report to the house of representatives
and senate committees with jurisdiction
over economic development finance on the
effectiveness of these programs for assisting
in the development of entrepreneurs and
small businesses.
new text end

new text begin (j) $1,000,000 the first year is from the
general fund for the Minnesota Investment
Fund under Minnesota Statutes, section
116J.8731. The appropriation is available
until spent. This is a onetime appropriation
and is not added to the agency's base.
new text end

new text begin (k) $750,000 the first year is from the general
fund for the redevelopment account under
Minnesota Statutes, section 116J.571. This
is a onetime appropriation and is available
until spent.
new text end

new text begin Subd. 3. new text end new text begin Workforce Development new text end

new text begin 43,020,000 new text end

new text begin 43,020,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 29,806,000 new text end	new text begin 29,806,000 new text end
new text begin Workforce Development new text end	new text begin 13,214,000 new text end	new text begin 13,214,000 new text end

new text begin (a) $3,728,000 each year is from the general
fund for the Minnesota job skills partnership
program under Minnesota Statutes, sections
116L.01 to 116L.17. If the appropriation for
either year is insufficient, the appropriation
for the other year is available. This
appropriation is available until spent.
new text end

new text begin (b) $10,800,000 each year is from the general
fund for the state's vocational rehabilitation
program under Minnesota Statutes, chapter
268A.
new text end

new text begin (c) $5,928,000 each year is from the general
fund for the state services for the blind
activities.
new text end

new text begin (d) $2,150,000 each year is from the general
fund for grants to centers for independent
living under Minnesota Statutes, section
268A.11.
new text end

new text begin (e) $315,000 each year is from the general
fund and $105,000 each year is from the
workforce development fund for a grant
under Minnesota Statutes, section 116J.8747,
to Twin Cities RISE! to provide training to
hard-to-train individuals. Funds unexpended
in the first year are available for expenditure
in the second year.
new text end

new text begin (f) $100,000 each year is from the general
fund for a grant to Northern Connections
in Perham to implement and operate a
workforce program that provides one-stop
supportive services to individuals as they
transition into the workforce.
new text end

new text begin (g) $5,091,000 each year is from the general
fund and $6,527,000 each year is from the
workforce development fund for extended
employment services for persons with severe
disabilities or related conditions under
Minnesota Statutes, section 268A.15. Of
the general fund appropriation, $125,000
each year is to supplement funds paid for
wage incentives for the community support
fund established in Minnesota Rules, part
3300.2045.
new text end

new text begin (h) $1,479,000 each year is from the general
fund for grants to programs that provide
employment support services to persons with
mental illness under Minnesota Statutes,
sections 268A.13 and 268A.14. Grants
may be used for special projects for young
people with mental illness transitioning from
school to work and people with serious
mental illness receiving services through
a mental health court or civil commitment
court. Special projects must demonstrate
interagency collaboration.
new text end

new text begin (i) $135,000 each year is from the general
fund and $163,000 each year is from the
workforce development fund for a grant
under Minnesota Statutes, section 268A.03,
to Rise, Inc. for the Minnesota Employment
Center for People Who are Deaf or Hard of
Hearing. Money not expended the first year
is available the second year.
new text end

new text begin (j) $80,000 each year is from the general fund
and $160,000 each year is from the workforce
development fund for a grant to Lifetrack
Resources for its immigrant and refugee
collaborative program, including those
related to job-seeking skills and workplace
orientation, intensive job development,
functional work English, and on-site job
coaching. This appropriation may also be
used in Rochester.
new text end

new text begin (k) $1,100,000 each year is from the
workforce development fund for the
Opportunities Industrialization Center
programs. The OIC state council must
not be colocated with the Department of
Employment and Economic Development.
new text end

new text begin (l) $2,450,000 the first year is a onetime
appropriation from the workforce
development fund for the Minnesota youth
program under Minnesota Statutes, sections
116L.56 and 116L.561.
new text end

new text begin (m) $630,000 the first year is a onetime
appropriation from the workforce
development fund for grants for the
Minneapolis summer youth employment
program. The commissioner shall establish
criteria for awarding the grant.
new text end

new text begin Of this appropriation, 25 percent is for a grant
to the Minneapolis learn-to-earn summer
youth employment program.
new text end

new text begin (n) $750,000 the first year is a onetime
appropriation from the workforce
development fund for a grant to the
Minnesota Alliance of Boys and Girls
Clubs to administer a statewide project
of youth jobs skills development. This
project, which may have career guidance
components, including health and life skills,
is to encourage, train, and assist youth in
job-seeking skills, workplace orientation,
and job-site knowledge through coaching.
This grant requires a 25 percent match
from nonstate resources. The Alliance may
work collaboratively with the Minneapolis
Park Board for summer youth employment
programming.
new text end

new text begin (o) $391,000 the first year is a onetime
appropriation from the workforce
development fund for grants to fund summer
youth employment in St. Paul. The
commissioner shall establish criteria for
awarding the grant.
new text end

new text begin (p) $700,000 the first year is a onetime
appropriation from the workforce
development fund for the youthbuild
program under Minnesota Statutes, sections
116L.361 to 116L.366.
new text end

new text begin (q) $238,000 the first year is a onetime
appropriation from the workforce
development fund for grants to provide
interpreters for a regional transition program
that specializes in providing culturally
appropriate transition services leading to
employment for deaf, hard-of-hearing, and
deafblind students.
new text end

new text begin (r) $5,159,000 the second year is from
the workforce development fund for the
youth workforce development competitive
grant pilot program. The commissioner
shall develop and implement a competitive
grant program to provide workforce
training services to youth in Minnesota.
Of this amount, up to five percent is for
administering and monitoring this program.
The commissioner shall report by October
15, 2011, to the standing committees of the
senate and house of representatives having
jurisdiction over workforce development
issues on program parameters and criteria
developed for the competitive grants under
this paragraph. This appropriation is added
to the agency's base.
new text end

new text begin Subd. 4. new text end new text begin State-Funded Administration new text end

new text begin 858,000 new text end

new text begin 858,000 new text end

Sec. 4. new text begin HOUSING FINANCE AGENCY new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 36,251,000 new text end

new text begin $ new text end

new text begin 36,251,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin This appropriation is for transfer to the
housing development fund for the programs
specified. Except as otherwise indicated, this
transfer is part of the agency's permanent
budget base.
new text end

new text begin Subd. 2. new text end new text begin Challenge Program new text end

new text begin 7,059,000 new text end

new text begin 7,059,000 new text end

new text begin For the economic development and housing
challenge program under Minnesota
Statutes, section 462A.33. Of this amount,
$1,208,000 each year shall be made available
during the first eight months of the fiscal
year exclusively for housing projects for
American Indians. Any funds not committed
to housing projects for American Indians in
the first eight months of the fiscal year shall
be available for any eligible activity under
Minnesota Statutes, section 462A.33.
new text end

new text begin Subd. 3. new text end new text begin Housing Trust Fund new text end

new text begin 8,305,000 new text end

new text begin 8,305,000 new text end

new text begin For deposit in the housing trust fund account,
for the purposes provided under Minnesota
Statutes, section 462A.201.
new text end

new text begin Subd. 4. new text end new text begin Rental Assistance for Mentally Ill new text end

new text begin 2,638,000 new text end

new text begin 2,638,000 new text end

new text begin For the rental housing assistance program for
persons with a mental illness or families with
an adult member with a mental illness under
Minnesota Statutes, section 462A.2097.
new text end

new text begin Subd. 5. new text end new text begin Family Homeless Prevention new text end

new text begin 7,465,000 new text end

new text begin 7,465,000 new text end

new text begin For the family homeless prevention and
assistance programs under Minnesota
Statutes, section 462A.204.
new text end

new text begin Subd. 6. new text end new text begin Home Ownership Assistance Fund new text end

new text begin 797,000 new text end

new text begin 797,000 new text end

new text begin For the home ownership assistance program
under Minnesota Statutes, section 462A.21,
subdivision 8. The annual interest rate on
loans provided under Minnesota Statutes,
section 462A.21, subdivision 8, must equal
two percent.
new text end

new text begin Subd. 7. new text end new text begin Affordable Rental Investment Fund new text end

new text begin 6,813,000 new text end

new text begin 6,813,000 new text end

new text begin (a) For the affordable rental investment fund
program under Minnesota Statutes, section
462A.21, subdivision 8b. The appropriation
is to finance the acquisition, rehabilitation,
and debt restructuring of federally assisted
rental property and for making equity
take-out loans under Minnesota Statutes,
section 462A.05, subdivision 39.
new text end

new text begin (b) The owner of federally assisted rental
property must agree to participate in
the applicable federally assisted housing
program and to extend any existing
low-income affordability restrictions on the
housing for the maximum term permitted.
The owner must also enter into an agreement
that gives local units of government,
housing and redevelopment authorities,
and nonprofit housing organizations the
right of first refusal if the rental property
is offered for sale. Priority must be given
among comparable federally assisted rental
properties to properties with the longest
remaining term under an agreement for
federal assistance. Priority must also be
given among comparable rental housing
developments to developments that are or
will be owned by local government units, a
housing and redevelopment authority, or a
nonprofit housing organization.
new text end

new text begin (c) The appropriation also may be used to
finance the acquisition, rehabilitation, and
debt restructuring of existing supportive
housing properties. For purposes of this
subdivision, "supportive housing" means
affordable rental housing with links to
services necessary for individuals, youth, and
families with children to maintain housing
stability.
new text end

new text begin Subd. 8. new text end new text begin Housing Rehabilitation new text end

new text begin 2,449,000 new text end

new text begin 2,449,000 new text end

new text begin For the housing rehabilitation program
under Minnesota Statutes, section 462A.05,
subdivision 14, for rental housing
developments.
new text end

new text begin Subd. 9. new text end new text begin Homeownership Education, Counseling, and Training new text end

new text begin 600,000 new text end

new text begin 600,000 new text end

new text begin For the homeownership education,
counseling, and training program under
Minnesota Statutes, section 462A.209.
Notwithstanding Minnesota Statutes, section
462A.209, subdivision 7, paragraph (b),
more than one-half of the funds awarded
for foreclosure prevention and assistance
activities may be used for mortgage or
financial counseling services.
new text end

new text begin Subd. 10. new text end new text begin Capacity-Building Grants new text end

new text begin 125,000 new text end

new text begin 125,000 new text end

new text begin For nonprofit capacity-building grants
under Minnesota Statutes, section 462A.21,
subdivision 3b.
new text end

Sec. 5. new text begin DEPARTMENT OF LABOR AND INDUSTRY new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 22,328,000 new text end

new text begin $ new text end

new text begin 22,328,000 new text end

new text begin Appropriations by Fund new text end
	new text begin 2012 new text end	new text begin 2013 new text end
new text begin General new text end	new text begin 800,000 new text end	new text begin 800,000 new text end
new text begin Workers' Compensation new text end	new text begin 20,871,000 new text end	new text begin 20,871,000 new text end
new text begin Workforce Development new text end	new text begin 657,000 new text end	new text begin 657,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Workers' Compensation new text end

new text begin 14,832,000 new text end

new text begin 14,832,000 new text end

new text begin This appropriation is from the workers'
compensation fund.
new text end

new text begin $200,000 each year is for grants to the
Vinland Center for rehabilitation services.
Grants shall be distributed as the department
refers injured workers to the Vinland Center
for rehabilitation services.
new text end

new text begin Subd. 3. new text end new text begin Labor Standards and Apprenticeship new text end

new text begin 1,457,000 new text end

new text begin 1,457,000 new text end

new text begin Appropriations by Fund new text end
new text begin General new text end	new text begin 800,000 new text end	new text begin 800,000 new text end
new text begin Workforce Development new text end	new text begin 657,000 new text end	new text begin 657,000 new text end

new text begin $657,000 each year is appropriated from
the workforce development fund for the
apprenticeship program under Minnesota
Statutes, chapter 178.
new text end

new text begin Subd. 4. new text end new text begin General Support new text end

new text begin 6,039,000 new text end

new text begin 6,039,000 new text end

new text begin This appropriation is from the workers'
compensation fund.
new text end

Sec. 6. new text begin BUREAU OF MEDIATION SERVICES new text end

new text begin Subdivision 1. new text end new text begin Total Appropriation new text end

new text begin $ new text end

new text begin 1,525,000 new text end

new text begin $ new text end

new text begin 1,525,000 new text end

new text begin The amounts that may be spent for each
purpose are specified in the following
subdivisions.
new text end

new text begin Subd. 2. new text end new text begin Mediation Services new text end

new text begin 1,471,000 new text end

new text begin 1,471,000 new text end

new text begin Subd. 3. new text end new text begin Labor Management Cooperation Grants new text end

new text begin 54,000 new text end

new text begin 54,000 new text end

new text begin $54,000 each year is for grants to area labor
management committees. Grants may be
awarded for a 12-month period beginning
July 1 each year. Any unencumbered balance
remaining at the end of the first year does not
cancel but is available for the second year.
new text end

Sec. 7. new text begin WORKERS' COMPENSATION COURT OF APPEALS new text end

new text begin $ new text end

new text begin 1,703,000 new text end

new text begin $ new text end

new text begin 1,703,000 new text end

new text begin This appropriation is from the workers'
compensation fund.
new text end

Sec. 8. new text begin BOARD OF ACCOUNTANCY new text end

new text begin $ new text end

new text begin 480,000 new text end

new text begin $ new text end

new text begin 480,000 new text end

Sec. 9. new text begin BOARD OF ARCHITECTURE, ENGINEERING, LAND SURVEYING, LANDSCAPE ARCHITECTURE, GEOSCIENCE, AND INTERIOR DESIGN new text end

new text begin $ new text end

new text begin 774,000 new text end

new text begin $ new text end

new text begin 774,000 new text end

Sec. 10. new text begin BOARD OF COSMETOLOGIST EXAMINERS new text end

new text begin $ new text end

new text begin 1,046,000 new text end

new text begin $ new text end

new text begin 1,046,000 new text end

Sec. 11. new text begin BOARD OF BARBER EXAMINERS new text end

new text begin $ new text end

new text begin 257,000 new text end

new text begin $ new text end

new text begin 257,000 new text end

Sec. 12. new text begin MINNESOTA SCIENCE AND TECHNOLOGY AUTHORITY new text end

new text begin $ new text end

new text begin 107,000 new text end

new text begin $ new text end

new text begin 0 new text end

new text begin This is a onetime appropriation.
new text end

Sec. 13. new text begin TRANSFERS new text end

new text begin Prior to June 30, 2012, the commissioner
of iron range resources shall transfer
$60,000,000 from the Douglas J. Johnson
Economic Protection Trust to the general
fund. This is a onetime transfer.
new text end

new text begin The unexpended balance, estimated to
be $1,575,000, of funds collected for
unemployment insurance state administration
under Minnesota Statutes, section 268.18,
subdivision 2, is transferred to the general
fund.
new text end

ARTICLE 2

ECONOMIC DEVELOPMENT AND MISCELLANEOUS PROVISIONS

Section 1.

Minnesota Statutes 2010, section 116J.035, is amended by adding a
subdivision to read:

new text begin Subd. 7. new text end

new text begin Monitoring pass-through grant recipients. new text end

new text begin The commissioner shall
monitor the activities and outcomes of programs and services funded by legislative
appropriations and administered by the department on a pass-through basis. Unless
amounts are otherwise appropriated for administrative costs, the commissioner may
retain up to five percent of the amount appropriated to the department for grants to
pass-through entities. Amounts retained are deposited to a special revenue account and
are appropriated to the commissioner for costs incurred in administering and monitoring
the pass-through grants.
new text end

Sec. 2.

Minnesota Statutes 2010, section 116J.8737, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For the purposes of this section, the following terms
have the meanings given.

(b) "Qualified small business" means a business that has been certified by the
commissioner under subdivision 2.

(c) "Qualified investor" means an investor who has been certified by the
commissioner under subdivision 3.

(d) "Qualified fund" means a pooled angel investment network fund that has been
certified by the commissioner under subdivision 4.

(e) "Qualified investment" means a cash investment in a qualified small business
of a minimum of:

(1) $10,000 in a calendar year by a qualified investor; or

(2) $30,000 in a calendar year by a qualified fund.

A qualified investment must be made in exchange for common stock, a partnership
or membership interest, preferred stock, debt with mandatory conversion to equity, or an
equivalent ownership interest as determined by the commissioner.

(f) "Family" means a family member within the meaning of the Internal Revenue
Code, section 267(c)(4).

(g) "Pass-through entity" means a corporation that for the applicable taxable year is
treated as an S corporation or a general partnership, limited partnership, limited liability
partnership, trust, or limited liability company and which for the applicable taxable year is
not taxed as a corporation under chapter 290.

new text begin (h) "Intern" means a student of an accredited institution of higher education, or a
former student who has graduated in the past six months from an accredited institution
of higher education, who is employed by a qualified small business in a nonpermanent
position for a duration of nine months or less that provides training and experience in the
primary business activity of the business.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from January 1, 2011.
new text end

Sec. 3.

Minnesota Statutes 2010, section 116J.8737, subdivision 2, is amended to read:

Subd. 2.

Certification of qualified small businesses.

(a) Businesses may apply
to the commissioner for certification as a qualified small business for a calendar year.
The application must be in the form and be made under the procedures specified by the
commissioner, accompanied by an application fee of $150. Application fees are deposited
in the small business investment tax credit administration account in the special revenue
fund. The application for certification for 2010 must be made available on the department's
Web site by August 1, 2010. Applications for subsequent years' certification must be made
available on the department's Web site by November 1 of the preceding year.

(b) Within 30 days of receiving an application for certification under this subdivision,
the commissioner must either certify the business as satisfying the conditions required of a
qualified small business, request additional information from the business, or reject the
application for certification. If the commissioner requests additional information from the
business, the commissioner must either certify the business or reject the application within
30 days of receiving the additional information. If the commissioner neither certifies the
business nor rejects the application within 30 days of receiving the original application or
within 30 days of receiving the additional information requested, whichever is later, then
the application is deemed rejected, and the commissioner must refund the $150 application
fee. A business that applies for certification and is rejected may reapply.

(c) To receive certification, a business must satisfy all of the following conditions:

(1) the business has its headquarters in Minnesota;

(2) at least 51 percent of the business's employees are employed in Minnesota, and
51 percent of the business's total payroll is paid or incurred in the state;

(3) the business is engaged in, or is committed to engage in, innovation in Minnesota
in one of the following as its primary business activity:

(i) using proprietary technology to add value to a product, process, or service in a
qualified high-technology field;

(ii) researching or developing a proprietary product, process, or service in a qualified
high-technology field; or

(iii) researching, developing, or producing a new proprietary technology for use in
the fields of agriculture, tourism, forestry, mining, manufacturing, or transportation;

(4) other than the activities specifically listed in clause (3), the business is not
engaged in real estate development, insurance, banking, lending, lobbying, political
consulting, information technology consulting, wholesale or retail trade, leisure,
hospitality, transportation, construction, ethanol production from corn, or professional
services provided by attorneys, accountants, business consultants, physicians, or health
care consultants;

(5) the business has fewer than 25 employees;

(6) the business must pay its employees annual wages of at least 175 percent of the
federal poverty guideline for the year for a family of four new text begin and must pay its interns annual
wages of at least 175 percent of the federal minimum wage used for federally covered
employers new text end , except that this requirement must be reduced proportionately for employees
new text begin and interns new text end who work less than full-time, and does not apply to an executive, officer, or
member of the board of the business, or to any employee who owns, controls, or holds
power to vote more than 20 percent of the outstanding securities of the business;

(7) the business has not been in operation for more than ten years;

(8) the business has not previously received private equity investments of more
than deleted text begin $2,000,000 deleted text end new text begin $4,000,000 new text end ; and

(9) the business is not an entity disqualified under section 80A.50, paragraph (b),
clause (3).

(d) In applying the limit under paragraph (c), clause (5), the employees in all
members of the unitary business, as defined in section 290.17, subdivision 4, must be
included.

(e) In order for a qualified investment in a business to be eligible for tax credits, the
business must have applied for and received certification for the calendar year in which
the investment was made prior to the date on which the qualified investment was made.

(f) The commissioner must maintain a list of businesses certified under this
subdivision for the calendar year and make the list accessible to the public on the
department's Web site.

(g) For purposes of this subdivision, the following terms have the meanings given:

(1) "qualified high-technology field" includes aerospace, agricultural processing,
renewable energy, energy efficiency and conservation, environmental engineering, food
technology, cellulosic ethanol, information technology, materials science technology,
nanotechnology, telecommunications, biotechnology, medical device products,
pharmaceuticals, diagnostics, biologicals, chemistry, veterinary science, and similar
fields; and

(2) "proprietary technology" means the technical innovations that are unique and
legally owned or licensed by a business and includes, without limitation, those innovations
that are patented, patent pending, a subject of trade secrets, or copyrighted.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from January 1, 2011.
new text end

Sec. 4.

Minnesota Statutes 2010, section 116J.8737, subdivision 4, is amended to read:

Subd. 4.

Certification of qualified funds.

(a) A pass-through entity may apply to
the commissioner for certification as a qualified fund for a calendar year. The application
must be in the form and be made under the procedures specified by the commissioner,
accompanied by an application fee of $1,000. Application fees are deposited in the small
business investment tax credit administration account in the special revenue fund. The
application for certification for 2010 of qualified funds must be made available on the
department's Web site by August 1, 2010. Applications for subsequent years' certification
must be made available by November 1 of the preceding year.

(b) Within 30 days of receiving an application for certification under this subdivision,
the commissioner must either certify the fund as satisfying the conditions required of a
qualified fund, request additional information from the fund, or reject the application
for certification. If the commissioner requests additional information from the fund,
the commissioner must either certify the fund or reject the application within 30 days
of receiving the additional information. If the commissioner neither certifies the fund
nor rejects the application within 30 days of receiving the original application or within
30 days of receiving the additional information requested, whichever is later, then the
application is deemed rejected, and the commissioner must refund the $1,000 application
fee. A fund that applies for certification and is rejected may reapply.

(c) To receive certification, a fund must:

(1) invest or intend to invest in qualified small businesses;

(2) be organized as a pass-through entity; and

(3) have at least three separate investors, deleted text begin all deleted text end of whom new text begin at least three whose investment
is made in the certified business and who seek a tax credit allocation new text end satisfy the conditions
in subdivision 3, paragraph (c).

(d) Investments in the fund may consist of equity investments or notes that pay
interest or other fixed amounts, or any combination of both.

(e) In order for a qualified investment in a qualified small business to be eligible for
tax credits, a qualified fund that makes the investment must have applied for and received
certification for the calendar year prior to making the qualified investment.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective retroactively from January 1, 2011.
new text end

Sec. 5.

Minnesota Statutes 2010, section 116L.3625, is amended to read:

116L.3625 ADMINISTRATIVE COSTS.

The commissioner may use up to five percent of the biennial appropriation for
Youthbuild deleted text begin from the general fund deleted text end to pay costs incurred by the department in administering
Youthbuild during the biennium.

Sec. 6.

Minnesota Statutes 2010, section 116L.62, is amended to read:

116L.62 DISTRIBUTION AND USE OF STATE MONEY.

The commissioner shall distribute the money appropriated for:

(a) comprehensive job training and related services or job opportunities programs
for economically disadvantaged, unemployed, and underemployed individuals, including
persons of limited English speaking ability, through opportunities industrialization
centers; and

(b) the establishment and operation in Minnesota of these centers.

new text begin The commissioner may use up to five percent of the appropriation for opportunities
industrialization center programs to pay costs incurred by the department in administering
the programs.
new text end

Comprehensive job training and related services include: recruitment, counseling,
remediation, motivational prejob training, vocational training, job development, job
placement, and other appropriate services enabling individuals to secure and retain
employment at their maximum capacity.

Sec. 7.

Minnesota Statutes 2010, section 154.06, is amended to read:

154.06 WHO MAY RECEIVE CERTIFICATES OF REGISTRATION AS A
REGISTERED APPRENTICE.

new text begin Subdivision 1. new text end

new text begin Qualifications; duration or registration. new text end

new text begin (a) new text end A person is qualified
to receive a certificate of registration as a registered apprentice:

(1) who has completed at least ten grades of an approved school;

(2) who has graduated from a barber school approved by the board; and

(3) who has passed an examination conducted by the board to determine fitness to
practice as a registered apprentice.

new text begin (b) new text end An applicant for a certificate of registration to practice as an apprentice who fails
to pass the examination conducted by the board is required to complete a further course
of study of at least 500 hours, of not more than eight hours in any one working day,
in a barber school approved by the board.

new text begin (c) new text end A certificate of registration of an apprentice shall be valid for four years from the
date the certificate of registration is issued by the board and shall not be renewed. During
the four-year period the certificate of registration shall remain in full force and effect only
if the apprentice complies with all the provisions of sections 154.001, 154.002, 154.003,
154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26, including the payment of
an annual fee, and the rules of the board.

new text begin Subd. 2. new text end

new text begin Limited extension of registration. new text end

new text begin (a) new text end If a registered apprentice, during
the term in which the certificate of registration is in effect, enters full-time active duty in
the armed forces of the United States of America, the expiration date of the certificate
of registration shall be extended by a period of time equal to the period or periods of
active duty.

new text begin (b) The expiration date of a certificate issued to a person while incarcerated shall be
extended once so that it expires four years from the date of first release from a correctional
facility after the person becomes a registered apprentice. This paragraph applies when a
person graduates from a barber school approved by the board and is issued a certificate of
registration while incarcerated by the Department of Corrections or the Federal Bureau
of Prisons.
new text end

Sec. 8.

Minnesota Statutes 2010, section 154.065, subdivision 2, is amended to read:

Subd. 2.

Qualifications.

A person is qualified to receive a certificate of registration
as an instructor of barbering who:

(1) is a graduate from an approved high school, or its equivalent, as determined by
examination by the Department of Education;

(2) has deleted text begin qualified for a teacher's or instructor's vocational certificate; deleted text end new text begin successfully
completed instructor barber training from a board-approved program of not less than
40 clock hours, or completed a college or university program resulting in a technical
or vocational education certificate or its equivalent, issued by an accredited college or
university and approved by the board;
new text end

(3) new text begin is currently a registered barber in this state and new text end has at least three years experience
as a registered barber in this state, or its equivalent as determined by the board; and

(4) has passed an examination conducted by the board to determine fitness to
instruct in barbering.

deleted text begin A certificate of registration under this section is provisional until a teacher's or
instructor's vocational certificate has been issued by the Department of Education. A
provisional certificate of registration is valid for 30 days and is not renewable.
deleted text end

Sec. 9.

Minnesota Statutes 2010, section 154.08, is amended to read:

154.08 APPLICATION; FEE.

Each applicant for an examination shall:

(1) make application to the Board of Barber Examiners on blank forms prepared and
furnished by it, the application to contain proof under the applicant's oath of the particular
qualifications new text begin and identity new text end of the applicant;

(2) deleted text begin furnish to the board two five-inch x three-inch signed photographs of the
applicant, one to accompany the application and one to be returned to the applicant,
to be presented to the board when the applicant appears for examination; deleted text end new text begin present a
government-issued picture identification as proof of identity when the applicant appears
for examination; new text end and

(3) pay to the board the required fee.

Sec. 10.

Minnesota Statutes 2010, section 154.11, subdivision 1, is amended to read:

Subdivision 1.

Examination of nonresidents.

A person who meets all of the
requirements for barber registration in sections 154.001, 154.002, 154.003, 154.01 to
154.161, 154.19 to 154.21, and 154.24 to 154.26 and either has a license, certificate
of registration, or an equivalent as a practicing barber or instructor of barbering from
another state or country which in the discretion of the board has substantially the same
requirements for registering barbers and instructors of barbering as required by sections
154.001, 154.002, 154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26 or
can prove by sworn affidavits practice as a barber or instructor of barbering in another
state or country for at least five years immediately prior to making application in this state,
shall, upon payment of the required fee, be issued a certificate of registration without
examination deleted text begin , provided that the other state or country grants the same privileges to holders
of Minnesota certificates of registration deleted text end .

Sec. 11.

Minnesota Statutes 2010, section 154.12, is amended to read:

154.12 EXAMINATION OF NONRESIDENT APPRENTICES.

A person who meets all of the requirements for registration as a barber in sections
154.001, 154.002, 154.003, 154.01 to 154.161, 154.19 to 154.21, and 154.24 to 154.26 and
who has a license, a certificate of registration, or its equivalent as an apprentice in a state
or country which in the discretion of the board has substantially the same requirements for
registration as an apprentice as is provided by sections 154.001, 154.002, 154.003, 154.01
to 154.161, 154.19 to 154.21, and 154.24 to 154.26, shall, upon payment of the required
fee, be issued a certificate of registration without examination deleted text begin , provided that the other state
or country grants the same privileges to holders of Minnesota certificates of registration deleted text end .

Sec. 12.

Minnesota Statutes 2010, section 268.18, subdivision 2, is amended to read:

Subd. 2.

Overpayment because of fraud.

(a) Any applicant who receives
unemployment benefits by knowingly misrepresenting, misstating, or failing to disclose
any material fact, or who makes a false statement or representation without a good faith
belief as to the correctness of the statement or representation, has committed fraud. After
the discovery of facts indicating fraud, the commissioner must make a determination
that the applicant obtained unemployment benefits by fraud and that the applicant must
promptly repay the unemployment benefits to the trust fund. In addition, the commissioner
must assess a penalty equal to 40 percent of the amount fraudulently obtained. This
penalty is in addition to penalties under section 268.182.

(b) Unless the applicant files an appeal within 20 calendar days after the sending
of the determination of overpayment by fraud to the applicant by mail or electronic
transmission, the determination is final. Proceedings on the appeal are conducted in
accordance with section 268.105.

(c) If the applicant fails to repay the unemployment benefits, penalty, and interest
assessed, the total due may be collected by the methods allowed under state and federal
law. A determination of overpayment by fraud must state the methods of collection the
commissioner may use to recover the overpayment. Money received in repayment of
fraudulently obtained unemployment benefits, penalties, and interest is first applied to the
unemployment benefits overpaid, then to the penalty amount due, then to any interest due.
deleted text begin 62.5 percent of the deleted text end Payments made toward the penalty are credited to the contingent
account deleted text begin and 37.5 percent credited to the administration account deleted text end .

(d) If an applicant has been overpaid unemployment benefits under the law of
another state because of fraud and that state certifies that the applicant is liable to repay
the unemployment benefits and requests the commissioner to recover the overpayment,
the commissioner may offset from future unemployment benefits otherwise payable the
amount of overpayment.

(e) Unemployment benefits paid for weeks more than four years before the date of a
determination of overpayment by fraud issued under this subdivision are not considered
overpaid unemployment benefits.

Sec. 13.

Minnesota Statutes 2010, section 268.18, subdivision 2b, is amended to read:

Subd. 2b.

Interest.

(a) On any unemployment benefits fraudulently obtained, and
any penalty amounts assessed under subdivision 2, the commissioner must assess interest
at the rate of 1-1/2 percent per month on any amount that remains unpaid beginning
30 calendar days after the date of the determination of overpayment by fraud. A
determination of overpayment by fraud must state that interest will be assessed.

(b) If the determination did not state that interest will be assessed, interest is assessed
beginning 30 calendar days after notification, by mail or electronic transmission, to the
applicant that interest is now assessed.

(c) Interest payments under this section are credited to the deleted text begin administration deleted text end new text begin contingent new text end
account.

Sec. 14.

Minnesota Statutes 2010, section 268.199, is amended to read:

268.199 CONTINGENT ACCOUNT.

(a) There is created in the state treasury a special account, to be known as the
contingent account deleted text begin , that does not lapse nor revert to any other fund or account deleted text end . This
account consists of all money collected under this chapter that is required to be placed
in this account and any interest earned on the account. deleted text begin All money in this account is
appropriated and available for administration of the Minnesota unemployment insurance
program unless otherwise appropriated by session law.
deleted text end

(b) All money in this account must be deposited, administered, and disbursed in the
same manner and under the same conditions and requirements as is provided by law for
the other special accounts in the state treasury.

new text begin (c) Beginning in fiscal year 2012 and each fiscal year thereafter, all money in the
account shall be transferred to the general fund before the closing of the fiscal year.
new text end

Sec. 15.

Minnesota Statutes 2010, section 298.17, is amended to read:

298.17 OCCUPATION TAXES TO BE APPORTIONED.

All occupation taxes paid by persons, copartnerships, companies, joint stock
companies, corporations, and associations, however or for whatever purpose organized,
engaged in the business of mining or producing iron ore or other ores, when collected
shall be apportioned and distributed in accordance with the Constitution of the state of
Minnesota, article X, section 3, in the manner following: 90 percent shall be deposited
in the state treasury and credited to the general fund of which four-ninths shall be used
for the support of elementary and secondary schools; and ten percent of the proceeds of
the tax imposed by this section shall be deposited in the state treasury and credited to the
general fund for the general support of the university. deleted text begin Of the moneys apportioned to the
general fund by this section there is annually appropriated and credited to the Iron Range
Resources and Rehabilitation Board account in the special revenue fund an amount equal
to that which would have been generated by a 1.5 cent tax imposed by section 298.24 on
each taxable ton produced in the preceding calendar year, to be expended for the purposes
of section 298.22. The money appropriated pursuant to this section shall be used (1)
to provide environmental development grants to local governments located within any
county in region 3 as defined in governor's executive order number 60, issued on June
12, 1970, which does not contain a municipality qualifying pursuant to section 273.134,
paragraph (b), or (2) to provide economic development loans or grants to businesses
located within any such county, provided that the county board or an advisory group
appointed by the county board to provide recommendations on economic development
shall make recommendations to the Iron Range Resources and Rehabilitation Board
regarding the loans. Payment to the Iron Range Resources and Rehabilitation Board
account shall be made by May 15 annually. deleted text end

deleted text begin Of the money allocated to Koochiching County, one-third must be paid to the
Koochiching County Economic Development Commission.
deleted text end

Sec. 16.

Minnesota Statutes 2010, section 341.321, is amended to read:

341.321 FEE SCHEDULE.

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

(1) referees, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(2) promoters, $400 for each initial license and each renewal;

(3) judges and knockdown judges, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(4) trainers, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(5) ring announcers, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(6) seconds, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(7) timekeepers, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(8) combatants, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal;

(9) managers, deleted text begin $25 deleted text end new text begin $45 new text end for each initial license and each renewal; and

(10) ringside physicians, deleted text begin $25 deleted text end new text begin $45 new text end 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 deleted text begin combatant deleted text end new text begin professional new text end license on the
same day the combative sporting event is held shall pay a new text begin late new text end fee of $100 new text begin plus the original
license fee of $45 new text end at the time the application is submitted.

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

(1) referees, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal;

(2) promoters, deleted text begin $100 deleted text end new text begin $400 new text end for each initial license and each renewal;

(3) judges and knockdown judges, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal;

(4) trainers, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal;

(5) ring announcers, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal;

(6) seconds, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal;

(7) timekeepers, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal;

(8) combatant, deleted text begin $10 deleted text end new text begin $25 new text end for each initial license and each renewal;

(9) managers, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal; and

(10) ringside physicians, deleted text begin $10 deleted text end new text begin $45 new text end for each initial license and each renewal.

(c) The commission shall establish a contest fee for each combative sport contest.
The new text begin professional combative sport new text end contest fee is $1,500 per event or not more than four
percent of the gross ticket sales new text begin , whichever is greater, new text end as determined by the commission
when the combative sport contest is scheduled, except that the amateur combative sport
contest fee shall be deleted text begin $150 deleted text end new text begin $500 or not more than four percent of the gross ticket sales,
whichever is greater new text end . The commission shall consider the size and type of venue when
establishing a contest fee. The commission may establish the maximum number of
complimentary tickets allowed for each event by rule. deleted text begin An deleted text end new text begin A professional or new text end amateur
combative sport contest fee is nonrefundable.

(d) All fees and penalties collected by the commission must be deposited in the
commission account in the special revenue fund.

Sec. 17.

Laws 2009, chapter 78, article 1, section 18, is amended to read:

Sec. 18. COMBATIVE SPORTS COMMISSION

$

80,000

$

80,000

This is a onetime appropriation. deleted text begin The
Combative Sports Commission expires on
July 1, 2011, unless the commissioner of
finance determines that the commission's
projected expenditures for the fiscal biennium
ending June 30, 2013, will not exceed the
commission's projected revenues for the
fiscal biennium ending June 30, 2013, from
fees and penalties authorized in Minnesota
Statutes 2008, chapter 341.
deleted text end

ARTICLE 3

LABOR AND INDUSTRY

Section 1.

Minnesota Statutes 2010, section 181.723, subdivision 5, is amended to read:

Subd. 5.

Application.

To obtain an independent contractor exemption certificate,
the individual must submit, in the manner prescribed by the commissioner, a complete
application and the certificate fee required under subdivision 14.

(a) A complete application must include all of the following information:

(1) the individual's full name;

(2) the individual's residence address and telephone number;

(3) the individual's business name, address, and telephone number;

(4) the services for which the individual is seeking an independent contractor
exemption certificate;

(5) the individual's Social Security number;

(6) the individual's or the individual's business federal employer identification
number, if a number has been issued to the individual or the individual's business;

(7) any information or documentation that the commissioner requires by rule that
will assist the department in determining whether to grant or deny the individual's
application; and

(8) the individual's sworn statement that the individual meets all of the following
conditions:

(i) maintains a separate business with the individual's own office, equipment,
materials, and other facilities;

(ii) holds or has applied for a federal employer identification number or has filed
business or self-employment income tax returns with the federal Internal Revenue Service
if the person has performed services in the previous year for which the individual is
seeking the independent contractor exemption certificate;

(iii) operates under contracts to perform specific services for specific amounts of
money and under which the individual controls the means of performing the services;

(iv) incurs the main expenses related to the service that the individual performs
under contract;

(v) is responsible for the satisfactory completion of services that the individual
contracts to perform and is liable for a failure to complete the service;

(vi) receives compensation for service performed under a contract on a commission
or per-job or competitive bid basis and not on any other basis;

(vii) may realize a profit or suffer a loss under contracts to perform service;

(viii) has continuing or recurring business liabilities or obligations; and

(ix) the success or failure of the individual's business depends on the relationship of
business receipts to expenditures.

(b) Individuals who are applying for or renewing a residential building contractor or
residential remodeler license under sections 326B.197, 326B.802, 326B.805, 326B.81,
326B.815, 326B.821 to 326B.86, 326B.87 to 326B.885, and 327B.041, and any rules
promulgated pursuant thereto, may simultaneously apply for or renew an independent
contractor exemption certificate. The commissioner shall create an application form
that allows for the simultaneous application for both a residential building contractor
or residential remodeler license and an independent contractor exemption certificate.
If individuals simultaneously apply for or renew a residential building contractor or
residential remodeler license and an independent contractor exemption certificate using
the form created by the commissioner, individuals shall only be required to provide, in
addition to the information required by section 326B.83 and rules promulgated pursuant
thereto, the sworn statement required by paragraph (a), clause (8), and any additional
information required by this subdivision that is not also required by section 326B.83
and any rules promulgated thereto. deleted text begin When individuals submit a simultaneous application
on the form created by the commissioner for both a residential building contractor or
residential remodeler license and an independent contractor exemption certificate, the
application fee shall be $150. deleted text end An independent contractor exemption certificate that is in
effect before March 1, 2009, shall remain in effect until March 1, 2013, unless revoked by
the commissioner or canceled by the individual.

(c) Within 30 days of receiving a complete application and the certificate fee, the
commissioner must either grant or deny the application. The commissioner may deny
an application for an independent contractor exemption certificate if the individual has
not submitted a complete application and certificate fee or if the individual does not
meet all of the conditions for holding the independent contractor exemption certificate.
The commissioner may revoke an independent contractor exemption certificate if the
commissioner determines that the individual no longer meets all of the conditions for
holding the independent contractor exemption certificate, commits any of the actions
set out in subdivision 7, or fails to cooperate with a department investigation into the
continued validity of the individual's certificate. Once issued, an independent contractor
exemption certificate remains in effect for four years unless:

(1) revoked by the commissioner; or

(2) canceled by the individual.

(d) If the department denies an individual's original or renewal application for
an independent contractor exemption certificate or revokes an independent contractor
exemption certificate, the commissioner shall issue to the individual an order denying or
revoking the certificate. The commissioner may issue an administrative penalty order to
an individual or person who commits any of the actions set out in subdivision 7. new text begin The
commissioner may file and enforce the unpaid portion of a penalty as a judgment in
district court without further notice or additional proceedings.
new text end

(e) An individual or person to whom the commissioner issues an order under
paragraph (d) shall have 30 days after service of the order to request a hearing. The
request for hearing must be in writing and must be served on or faxed to the commissioner
at the address or facsimile number specified in the order by the 30th day after service of
the order. If the individual does not request a hearing or if the individual's request for a
hearing is not served on or faxed to the commissioner by the 30th day after service of the
order, the order shall become a final order of the commissioner and will not be subject to
review by any court or agency. The date on which a request for hearing is served by mail
shall be the postmark date on the envelope in which the request for hearing is mailed. If
the individual serves or faxes a timely request for hearing, the hearing shall be a contested
case hearing and shall be held in accordance with chapter 14.

Sec. 2.

Minnesota Statutes 2010, section 182.6553, subdivision 6, is amended to read:

Subd. 6.

Enforcement.

This section shall be enforced by the commissioner under
deleted text begin section deleted text end new text begin sections 182.66 and new text end 182.661. A violation of this section is subject to the penalties
provided under section 182.666.

Sec. 3.

Minnesota Statutes 2010, section 326B.04, subdivision 2, is amended to read:

Subd. 2.

Deposits.

Unless otherwise specifically designated by law: (1) all money
collected under sections 144.122, paragraph (f); 181.723; new text begin 326B.092 to 326B.096;
new text end 326B.101 to 326B.194; 326B.197; 326B.32 to 326B.399; 326B.43 to 326B.49; 326B.52
to 326B.59; 326B.802 to 326B.885; 326B.90 to 326B.998; 327.31 to 327.36; and
327B.01 to 327B.12, except penalties, is credited to the construction code fund; (2) all
fees collected under deleted text begin section 45.23 deleted text end new text begin sections 326B.098 to 326B.099 new text end in connection with
continuing education for deleted text begin residential contractors, residential remodelers, and residential
roofers deleted text end new text begin any license, registration, or certificate issued pursuant to this chapter new text end are credited
to the construction code fund; and (3) all penalties assessed under the sections set forth
in clauses (1) and (2) and all penalties assessed under sections 144.99 to 144.993 in
connection with any violation of sections 326B.43 to 326B.49 or 326B.52 to 326B.59 or
the rules adopted under those sections are credited to the assigned risk safety account
established by section 79.253.

Sec. 4.

Minnesota Statutes 2010, section 326B.091, is amended to read:

326B.091 DEFINITIONS.

Subdivision 1.

Applicability.

For purposes of sections 326B.091 to deleted text begin 326B.098 deleted text end new text begin
326B.099 new text end , the terms defined in this section have the meanings given them.

Subd. 2.

Applicant.

"Applicant" means a person who has submitted to the
department an application for deleted text begin a deleted text end new text begin an initial or renewal new text end license.

Subd. 3.

License.

"License" means any registration, certification, or other form
of approval authorized by this chapter 326B and chapter 327B to be issued by the
commissioner or department as a condition of doing business or conducting a trade,
profession, or occupation in Minnesota. License includes specifically but not exclusively
an authorization issued by the commissioner or department: to perform electrical work,
plumbing or water conditioning work, high pressure piping work, or residential building
work of a residential contractor, residential remodeler, or residential roofer; to install
manufactured housing; to serve as a building official; or to operate a boiler or boat.

Subd. 4.

Licensee.

"Licensee" means the person named on the license as the person
authorized to do business or conduct the trade, profession, or occupation in Minnesota.

Subd. 5.

Notification date.

"Notification date" means the date of the written
notification from the department to an applicant that the applicant is qualified to take the
examination required for licensure.

new text begin Subd. 5b. new text end

new text begin Qualifying individual. new text end

new text begin "Qualifying individual" means the individual
responsible for obtaining continuing education on behalf of a residential building
contractor, residential remodeler, or residential roofer licensed pursuant to sections
326B.801 to 326B.885.
new text end

Subd. 6.

Renewal deadline.

"Renewal deadline," when used with respect to a
license, means 30 days before the date that the license expires.

Sec. 5.

Minnesota Statutes 2010, section 326B.098, is amended to read:

326B.098 CONTINUING EDUCATION.

Subdivision 1.

deleted text begin Applicability deleted text end new text begin Department seminars new text end .

This section applies to
seminars offered by the department for the purpose of deleted text begin allowing deleted text end new text begin enabling new text end licensees to meet
continuing education requirements for license renewal.

Subd. 2.

Rescheduling.

An individual who is registered with the department to
attend a seminar may reschedule one time only, to attend the same seminar on a date
within one year after the date of the seminar the individual was registered to attend.

Subd. 3.

Fees nonrefundable.

All seminar fees paid to the department are
nonrefundable except for any overpayment of fees new text begin or if the department cancels the seminar new text end .

Sec. 6.

new text begin [326B.0981] CONTINUING EDUCATION; NONDEPARTMENT
SEMINARS.
new text end

new text begin This section applies to seminars that are offered by an entity other than the
department for the purpose of enabling licensees to meet continuing education
requirements for license renewal.
new text end

Sec. 7.

Minnesota Statutes 2010, section 326B.13, subdivision 8, is amended to read:

Subd. 8.

Effective date of rules.

A rule to adopt or amend the State Building Code
is effective 180 days after deleted text begin the filing of the rule with the secretary of state under section
14.16 or 14.26 deleted text end new text begin publication of the rule's notice of adoption in the State Register new text end . The rule
may provide for a later effective date. The rule may provide for an earlier effective date
if the commissioner or board proposing the rule finds that an earlier effective date is
necessary to protect public health and safety after considering, among other things, the
need for time for training of individuals to comply with and enforce the rule.

Sec. 8.

Minnesota Statutes 2010, section 326B.148, subdivision 1, is amended to read:

Subdivision 1.

Computation.

To defray the costs of administering sections
326B.101 to 326B.194, a surcharge is imposed on all permits issued by municipalities in
connection with the construction of or addition or alteration to buildings and equipment or
appurtenances after June 30, 1971. The commissioner may use any surplus in surcharge
receipts to award grants for code research and development and education.

If the fee for the permit issued is fixed in amount the surcharge is equivalent to
one-half mill (.0005) of the fee or 50 cents, except that effective July 1, 2010, until June
30, deleted text begin 2011 deleted text end new text begin 2013 new text end , the permit surcharge is equivalent to one-half mill (.0005) of the fee or $5,
whichever amount is greater. For all other permits, the surcharge is as follows:

(1) if the valuation of the structure, addition, or alteration is $1,000,000 or less, the
surcharge is equivalent to one-half mill (.0005) of the valuation of the structure, addition,
or alteration;

(2) if the valuation is greater than $1,000,000, the surcharge is $500 plus two-fifths
mill (.0004) of the value between $1,000,000 and $2,000,000;

(3) if the valuation is greater than $2,000,000, the surcharge is $900 plus three-tenths
mill (.0003) of the value between $2,000,000 and $3,000,000;

(4) if the valuation is greater than $3,000,000, the surcharge is $1,200 plus one-fifth
mill (.0002) of the value between $3,000,000 and $4,000,000;

(5) if the valuation is greater than $4,000,000, the surcharge is $1,400 plus one-tenth
mill (.0001) of the value between $4,000,000 and $5,000,000; and

(6) if the valuation exceeds $5,000,000, the surcharge is $1,500 plus one-twentieth
mill (.00005) of the value that exceeds $5,000,000.

Sec. 9.

Minnesota Statutes 2010, section 326B.42, is amended by adding a subdivision
to read:

new text begin Subd. 1b. new text end

new text begin Backflow prevention rebuilder. new text end

new text begin A "backflow prevention rebuilder" is an
individual who is qualified by training prescribed by the Plumbing Board and possesses
a master or journeyman plumber's license to engage in the testing, maintenance, and
rebuilding of reduced pressure zone type backflow prevention assemblies as regulated by
the plumbing code.
new text end

Sec. 10.

Minnesota Statutes 2010, section 326B.42, is amended by adding a
subdivision to read:

new text begin Subd. 1c. new text end

new text begin Backflow prevention tester. new text end

new text begin A "backflow prevention tester" is an
individual who is qualified by training prescribed by the Plumbing Board to engage in
the testing of reduced pressure zone type backflow prevention assemblies as regulated by
the plumbing code.
new text end

Sec. 11.

Minnesota Statutes 2010, section 326B.42, subdivision 8, is amended to read:

Subd. 8.

Plumbing contractor.

"Plumbing contractor" means a licensed contractor
whose responsible deleted text begin licensed plumber deleted text end new text begin individual new text end is a licensed master plumber.

Sec. 12.

Minnesota Statutes 2010, section 326B.42, subdivision 9, is amended to read:

Subd. 9.

Responsible deleted text begin licensed plumber deleted text end new text begin individual new text end .

A contractor's "responsible
deleted text begin licensed plumber deleted text end new text begin individual new text end " means the licensed master plumber or licensed restricted
master plumber designated in writing by the contractor in the contractor's license
application, or in another manner acceptable to the commissioner, as the individual
responsible for the contractor's compliance with sections 326B.41 to 326B.49, all rules
adopted under these sections and sections 326B.50 to 326B.59, and all orders issued
under section 326B.082.

Sec. 13.

Minnesota Statutes 2010, section 326B.42, subdivision 10, is amended to read:

Subd. 10.

Restricted plumbing contractor.

"Restricted plumbing contractor"
means a licensed contractor whose responsible deleted text begin licensed plumber deleted text end new text begin individual new text end is a licensed
restricted master plumber.

Sec. 14.

Minnesota Statutes 2010, section 326B.435, subdivision 2, is amended to read:

Subd. 2.

Powers; duties; administrative support.

(a) The board shall have the
power to:

(1) elect its chair, vice-chair, and secretary;

(2) adopt bylaws that specify the duties of its officers, the meeting dates of the board,
and containing such other provisions as may be useful and necessary for the efficient
conduct of the business of the board;

(3) adopt the plumbing code that must be followed in this state and any plumbing
code amendments thereto. The plumbing code shall include the minimum standards
described in sections 326B.43, subdivision 1, and 326B.52, subdivision 1. The board
shall adopt the plumbing code and any amendments thereto pursuant to chapter 14 and
as provided in subdivision 6, paragraphs (b), (c), and (d);

(4) review requests for final interpretations and issue final interpretations as provided
in section 326B.127, subdivision 5;

(5) adopt rules that regulate the licensure new text begin , certification, new text end or registration of plumbing
contractors, journeymen, unlicensed individuals, master plumbers, restricted master
plumbers, restricted journeymen, new text begin restricted plumbing contractors, backflow prevention
rebuilders and testers, new text end water conditioning contractors, and water conditioning installers,
and other persons engaged in the design, installation, and alteration of plumbing systems
or engaged in or working at the business of water conditioning installation or service, new text begin or
engaged in or working at the business of medical gas system installation, maintenance, or
repair, new text end except for those individuals licensed under section 326.02, subdivisions 2 and 3.
The board shall adopt these rules pursuant to chapter 14 and as provided in subdivision
6, paragraphs (e) and (f);

(6) adopt rules that regulate continuing education for individuals licensed as master
plumbers, journeyman plumbers, restricted master plumbers, restricted journeyman
plumbers, water conditioning contractors, and water conditioning installers new text begin , and for
individuals certified under sections 326B.437 and 326B.438 new text end . new text begin new text end The board shall adopt these
rules pursuant to chapter 14 and as provided in subdivision 6, paragraphs (e) and (f);

(7) refer complaints or other communications to the commissioner, whether oral or
written, as provided in subdivision 8, that allege or imply a violation of a statute, rule, or
order that the commissioner has the authority to enforce pertaining to code compliance,
licensure, or an offering to perform or performance of unlicensed plumbing services;

(8) approve per diem and expenses deemed necessary for its members as provided in
subdivision 3;

(9) approve license reciprocity agreements;

(10) select from its members individuals to serve on any other state advisory council,
board, or committee; and

(11) recommend the fees for licenses new text begin , registrations, new text end and certifications.

Except for the powers granted to the Plumbing Board, the Board of Electricity, and the
Board of High Pressure Piping Systems, the commissioner of labor and industry shall
administer and enforce the provisions of this chapter and any rules promulgated pursuant
thereto.

(b) The board shall comply with section 15.0597, subdivisions 2 and 4.

(c) The commissioner shall coordinate the board's rulemaking and recommendations
with the recommendations and rulemaking conducted by the other boards created pursuant
to this chapter. The commissioner shall provide staff support to the board. The support
includes professional, legal, technical, and clerical staff necessary to perform rulemaking
and other duties assigned to the board. The commissioner of labor and industry shall
supply necessary office space and supplies to assist the board in its duties.

Sec. 15.

new text begin [326B.437] REDUCED PRESSURE BACKFLOW PREVENTION
REBUILDERS AND TESTERS.
new text end

new text begin (a) No person shall perform or offer to perform the installation, maintenance, repair,
replacement, or rebuilding of reduced pressure zone backflow prevention assemblies
unless the person obtains a plumbing contractor's license. An individual shall not engage
in the testing, maintenance, repair, or rebuilding of reduced pressure zone backflow
prevention assemblies, as regulated by the Plumbing Code, unless the individual is
certified by the commissioner as a backflow prevention rebuilder.
new text end

new text begin (b) An individual shall not engage in testing of a reduced pressure zone backflow
prevention assembly, as regulated by the Plumbing Code, unless the individual possesses a
backflow prevention rebuilder certificate or is certified by the commissioner as a backflow
prevention tester.
new text end

new text begin (c) Certificates are issued for an initial period of two years and must be renewed
every two years thereafter for as long as the certificate holder installs, maintains, repairs,
rebuilds, or tests reduced pressure zone backflow prevention assemblies. For purposes
of calculating fees under section 326B.092, an initial or renewed backflow prevention
rebuilder or tester certificate shall be considered an entry level license.
new text end

new text begin (d) The Plumbing Board shall adopt expedited rules under section 14.389 that are
related to the certification of backflow prevention rebuilders and backflow prevention
testers. Section 326B.13, subdivision 8, does not apply to these rules. Notwithstanding the
18-month limitation under section 14.125, this authority expires on December 31, 2014.
new text end

new text begin (e) The department shall recognize certification programs that are a minimum of 16
contact hours and include the passage of an examination. The examination must consist of
a practical and a written component. This paragraph expires when the Plumbing Board
adopts rules under paragraph (d).
new text end

Sec. 16.

Minnesota Statutes 2010, section 326B.438, is amended to read:

326B.438 MEDICAL GAS SYSTEMS.

Subdivision 1.

Definitions.

(a) For the purposes of this section, the terms defined in
this subdivision have the meanings given them.

(b) "Medical gas" means medical gas as defined under the National Fire Protection
Association NFPA 99C Standard on Gas and Vacuum Systems.

(c) "Medical gas system" means a level 1, 2, or 3 piped medical gas and vacuum
system as defined under the National Fire Protection Association NFPA 99C Standard on
Gas and Vacuum Systems.

Subd. 2.

License and certification required.

deleted text begin A deleted text end new text begin No new text end person new text begin shall perform or offer
to perform the installation, maintenance, or repair of medical gas systems unless the
person obtains a contractor's license. new text end new text begin An individual new text end shall not engage in the installation,
maintenance, or repair of a medical gas system unless the deleted text begin person deleted text end new text begin individual new text end possesses
a current Minnesota master or journeyman plumber's license and is certified by the
commissioner under rules adopted by the Minnesota Plumbing Board. The certification
must be renewed deleted text begin annually deleted text end new text begin biennially new text end for as long as the certificate holder engages in the
installation, maintenance, or repair of medical gas deleted text begin and vacuum deleted text end systems. deleted text begin If a medical gas
and vacuum system certificate is not renewed within 12 months after its expiration the
medical gas and vacuum certificate is permanently forfeited.
deleted text end

Subd. 3.

Exemptions.

(a) deleted text begin A person deleted text end new text begin An individual new text end who on August 1, 2010, holds
a valid certificate authorized by the American Society of Sanitary Engineering (ASSE)
in accordance with standards recommended by the National Fire Protection Association
under NFPA 99C is exempt from the requirements of subdivision 2. This exemption
applies only if the deleted text begin person deleted text end new text begin individual new text end maintains a valid certification authorized by the ASSE.

(b) deleted text begin A person deleted text end new text begin An individual new text end who on August 1, 2010, possesses a current Minnesota
master or journeyman plumber's license and a valid certificate authorized by the ASSE
in accordance with standards recommended by the National Fire Protection Association
under NFPA 99C is exempt from the requirements of subdivision 2 and may install,
maintain, and repair a medical gas system. This exemption applies only if deleted text begin a person deleted text end new text begin an
individual new text end maintains a valid Minnesota master or journeyman plumber's license and valid
certification authorized by the ASSE.

Subd. 4.

Fees.

deleted text begin The deleted text end deleted text begin fee for a medical gas certificate deleted text end new text begin For the purpose of calculating
fees under section 326B.092, an initial or renewed medical gas certificate new text end issued by the
commissioner according to subdivision 2 deleted text begin is $30 per year deleted text end new text begin shall be considered a journeyman
level license new text end .

Sec. 17.

Minnesota Statutes 2010, section 326B.46, subdivision 1a, is amended to read:

Subd. 1a.

Exemptions from licensing.

(a) An individual without a contractor
license may do plumbing work on the individual's residence in accordance with
subdivision 1, paragraph (a).

(b) An individual who is an employee working on the maintenance and repair of
plumbing equipment, apparatus, or facilities owned or leased by the individual's employer
and which is within the limits of property owned or leased, and operated or maintained by
the individual's employer, shall not be required to maintain a contractor license as long
as the employer has on file with the commissioner a current certificate of responsible
deleted text begin person. deleted text end deleted text begin The certificate must be signed by the responsible deleted text end new text begin individual. The responsible
individual must be a new text end master plumber or, in an area of the state that is not a city or town
with a population of more than 5,000 according to the last federal census, new text begin a new text end restricted
master plumber deleted text begin , deleted text end new text begin . The certificate must be signed by the responsible individual new text end and must
state that the person signing the certificate is responsible for ensuring that the maintenance
and repair work performed by the employer's employees deleted text begin comply deleted text end new text begin complies new text end with sections
326B.41 to 326B.49, all rules adopted under those sections and sections 326B.50 to
326B.59, and all orders issued under section 326B.082. The employer must pay a filing
fee to file a certificate of responsible deleted text begin person deleted text end new text begin individual new text end with the commissioner. The
certificate shall expire two years from the date of filing. In order to maintain a current
certificate of responsible deleted text begin person deleted text end new text begin individual new text end , the employer must resubmit a certificate of
responsible deleted text begin person deleted text end new text begin individual new text end , with a filing fee, no later than two years from the date of the
previous submittal. The filing of the certificate of responsible deleted text begin person deleted text end new text begin individual new text end does not
exempt any employee of the employer from the requirements of this chapter regarding
individual licensing as a plumber or registration as a plumber's apprentice.

(c) If a contractor employs a licensed plumber, the licensed plumber does not need a
separate contractor license to perform plumbing work on behalf of the employer within
the scope of the licensed plumber's license.

new text begin (d) A person may perform and offer to perform building sewer or water service
installation without a contractor's license if the person is in compliance with the bond and
insurance requirements of subdivision 2.
new text end

Sec. 18.

Minnesota Statutes 2010, section 326B.46, subdivision 1b, is amended to read:

Subd. 1b.

Employment of master plumber or restricted master plumber.

(a)
Each contractor must designate a responsible licensed plumber, who shall be responsible
for the performance of all plumbing work in accordance with sections 326B.41 to
326B.49, all rules adopted under these sections and sections 326B.50 to 326B.59, and all
orders issued under section 326B.082. A plumbing contractor's responsible deleted text begin licensed
plumber deleted text end new text begin individual new text end must be a master plumber. A restricted plumbing contractor's
responsible deleted text begin licensed plumber deleted text end new text begin individual new text end must be a master plumber or a restricted master
plumber. A plumbing contractor license authorizes the contractor to offer to perform
and, through licensed and registered individuals, to perform plumbing work in all areas
of the state. A restricted plumbing contractor license authorizes the contractor to offer
to perform and, through licensed and registered individuals, to perform plumbing work
in all areas of the state except in cities and towns with a population of more than 5,000
according to the last federal census.

(b) If the contractor is an individual or sole proprietorship, the responsible licensed
deleted text begin plumber deleted text end new text begin individual new text end must be the individual, proprietor, or managing employee. If the
contractor is a partnership, the responsible licensed deleted text begin plumber deleted text end new text begin individual new text end must be a general
partner or managing employee. If the contractor is a limited liability company, the
responsible licensed deleted text begin plumber deleted text end new text begin individual new text end must be a chief manager or managing employee.
If the contractor is a corporation, the responsible licensed deleted text begin plumber deleted text end new text begin individual new text end must be
an officer or managing employee. If the responsible licensed deleted text begin plumber deleted text end new text begin individual new text end is a
managing employee, the responsible licensed deleted text begin plumber deleted text end new text begin individual new text end must be actively engaged
in performing plumbing work on behalf of the contractor, and cannot be employed in any
capacity as a plumber for any other contractor. An individual may be the responsible
licensed deleted text begin plumber deleted text end new text begin individual new text end for only one contractor.

(c) All applications and renewals for contractor licenses shall include a verified
statement that the applicant or licensee has complied with this subdivision.

Sec. 19.

Minnesota Statutes 2010, section 326B.46, subdivision 2, is amended to read:

Subd. 2.

Bond; insurance.

deleted text begin As a condition of licensing, each contractor deleted text end new text begin (a) The
bond and insurance requirements of paragraphs (b) and (c) apply to each person who
performs or offers to perform plumbing work within the state, including any person who
offers to perform or performs sewer or water service installation without a contractor's
license. If the person performs or offers to perform any plumbing work other than sewer
or water service installation, then the person must meet the requirements of paragraphs
(b) and (c) as a condition of holding a contractor's license.
new text end

new text begin (b) Each person who performs or offers to perform plumbing work within the state new text end
shall give and maintain bond to the state in the amount of at least $25,000 for (1) all
plumbing work entered into within the state or (2) all plumbing work and subsurface
sewage treatment work entered into within the state. If the bond is for both plumbing work
and subsurface sewage treatment work, the bond must comply with the requirements of
this section and section 115.56, subdivision 2, paragraph (e). The bond shall be for the
benefit of persons injured or suffering financial loss by reason of failure to comply with the
requirements of the State Plumbing Code and, if the bond is for both plumbing work and
subsurface sewage treatment work, financial loss by reason of failure to comply with the
requirements of sections 115.55 and 115.56. The bond shall be filed with the commissioner
and shall be written by a corporate surety licensed to do business in the state.

deleted text begin In addition, as a condition of licensing, each contractor deleted text end new text begin (c) Each person who
performs or offers to perform plumbing work within the state new text end shall have and maintain in
effect public liability insurance, including products liability insurance with limits of at
least $50,000 per person and $100,000 per occurrence and property damage insurance
with limits of at least $10,000. The insurance shall be written by an insurer licensed to
do business in the state of Minnesota deleted text begin and deleted text end new text begin . new text end Each deleted text begin licensed master plumber deleted text end new text begin person who
performs or offers to perform plumbing work within the state new text end shall maintain on file
with the commissioner a certificate evidencing the insurance. In the event of a policy
cancellation, the insurer shall send written notice to the commissioner at the same time
that a cancellation request is received from or a notice is sent to the insured.

Sec. 20.

Minnesota Statutes 2010, section 326B.46, subdivision 3, is amended to read:

Subd. 3.

Bond and insurance exemption.

If a deleted text begin master plumber or restricted
master plumber deleted text end new text begin person new text end who is in compliance with the bond and insurance requirements
of subdivision 2, employs a licensed plumber deleted text begin , the deleted text end new text begin or an individual who has completed
pipe-laying training as prescribed by the commissioner, that new text end employee deleted text begin plumber deleted text end shall not be
required to meet the bond and insurance requirements of subdivision 2. An individual who
is an employee working on the maintenance and repair of plumbing equipment, apparatus,
or facilities owned or leased by the individual's employer and which is within the limits of
property owned or leased, and operated or maintained by the individual's employer, shall
not be required to meet the bond and insurance requirements of subdivision 2.

Sec. 21.

Minnesota Statutes 2010, section 326B.47, subdivision 1, is amended to read:

Subdivision 1.

Registration; supervision; records.

(a) All unlicensed individuals,
other than plumber's apprentices new text begin and individuals who have completed pipe-laying training
as prescribed by the commissioner new text end , must be registered under subdivision 3.

(b) A plumber's apprentice or registered unlicensed individual is authorized to
assist in the installation of plumbing only while under the direct supervision of a master,
restricted master, journeyman, or restricted journeyman plumber. The master, restricted
master, journeyman, or restricted journeyman plumber is responsible for ensuring that all
plumbing work performed by the plumber's apprentice or registered unlicensed individual
complies with the plumbing code. The supervising master, restricted master, journeyman,
or restricted journeyman must be licensed and must be employed by the same employer
as the plumber's apprentice new text begin or registered unlicensed individual new text end . Licensed individuals
shall not permit plumber's apprentices new text begin or registered unlicensed individuals new text end to perform
plumbing work except under the direct supervision of an individual actually licensed to
perform such work. Plumber's apprentices new text begin and registered unlicensed individuals new text end shall not
supervise the performance of plumbing work or make assignments of plumbing work
to unlicensed individuals.

(c) Contractors employing plumber's apprentices new text begin or registered unlicensed individuals
new text end to perform plumbing work shall maintain records establishing compliance with this
subdivision that shall identify all plumber's apprentices new text begin and registered unlicensed
individuals new text end performing plumbing work, and shall permit the department to examine and
copy all such records.

Sec. 22.

Minnesota Statutes 2010, section 326B.47, subdivision 3, is amended to read:

Subd. 3.

Registration, rules, applications, renewals, and fees.

An unlicensed
individual may register by completing and submitting to the commissioner an application
form provided by the commissioner, with all fees required by section 326B.092. A
completed application form must state the date the individual began training, the
individual's age, schooling, previous experience, and employer, and other information
required by the commissioner. The new text begin Plumbing new text end Board may prescribe rules, not inconsistent
with this section, for the registration of unlicensed individuals. Applications for initial
registration may be submitted at any time. Registration must be renewed annually and
shall be for the period from July 1 of each year to June 30 of the following year.

Sec. 23.

Minnesota Statutes 2010, section 326B.49, subdivision 1, is amended to read:

Subdivision 1.

Application, examination, and license fees.

(a) Applications for
master and journeyman plumber's licenses shall be made to the commissioner, with
all fees required by section 326B.092. Unless the applicant is entitled to a renewal,
the applicant shall be licensed by the commissioner only after passing a satisfactory
examination developed and administered by the commissioner, based upon rules adopted
by the Plumbing Board, showing fitness.

(b) All initial journeyman plumber's licenses shall be effective for more than one
calendar year and shall expire on December 31 of the year after the year in which the
application is made. All master plumber's licenses shall expire on December 31 of each
even-numbered year after issuance or renewal. The commissioner shall in a manner
determined by the commissioner, without the need for any rulemaking under chapter 14,
phase in the renewal of master and journeyman plumber's licenses from one year to two
years. By June 30, 2011, all renewed master and journeyman plumber's licenses shall be
two-year licenses.

(c) Applications for contractor licenses shall be made to the commissioner, with all
fees required by section 326B.092. All contractor licenses shall expire on December 31 of
each odd-numbered year after issuance or renewal.

(d) For purposes of calculating license fees and renewal license fees required under
section 326B.092:

(1) the following licenses shall be considered business licenses: plumbing contractor
and restricted plumbing contractor;

(2) the following licenses shall be considered master licenses: master plumber and
restricted master plumber;

(3) the following licenses shall be considered journeyman licenses: journeyman
plumber and restricted journeyman plumber; and

(4) the registration of a plumber's apprentice under section 326B.47, subdivision 3,
shall be considered an entry level license.

(e) For each filing of a certificate of responsible deleted text begin person deleted text end new text begin individual new text end by an employer,
the fee is $100.

new text begin (f) The commissioner shall charge each person giving bond under section 326B.46,
subdivision 2, paragraph (b), a biennial bond filing fee of $100, unless the person is a
licensed contractor.
new text end

Sec. 24.

Minnesota Statutes 2010, section 326B.56, subdivision 1, is amended to read:

Subdivision 1.

Bonds.

(a) As a condition of licensing, each water conditioning
contractor shall give and maintain a bond to the state as described in paragraph (b).
No applicant for a water conditioning contractor deleted text begin or installer deleted text end license who maintains the
bond under paragraph (b) shall be otherwise required to meet the bond requirements of
any political subdivision.

(b) Each bond given to the state under this subdivision shall be in the total sum of
$3,000 conditioned upon the faithful and lawful performance of all water conditioning
installation or servicing done within the state. The bond shall be for the benefit of
persons suffering injuries or damages due to the work. The bond shall be filed with the
commissioner and shall be written by a corporate surety licensed to do business in this
state. The bond must remain in effect at all times while the application is pending and
while the license is in effect.

Sec. 25.

Minnesota Statutes 2010, section 326B.58, is amended to read:

326B.58 FEES; RENEWAL.

(a) Each initial water conditioning master and water conditioning journeyman
license shall be effective for more than one calendar year and shall expire on December 31
of the year after the year in which the application is made.

(b) The commissioner shall in a manner determined by the commissioner, without
the need for any rulemaking under chapter 14, phase in the renewal of water conditioning
master and journeyman licenses from one year to two years. By June 30, 2011, all
renewed water conditioning contractor deleted text begin and installer deleted text end licenses shall be two-year licenses.
The Plumbing Board may by rule prescribe for the expiration and renewal of licenses.

(c) All water conditioning contractor licenses shall expire on December 31 of the
year after issuance or renewal.

(d) For purposes of calculating license fees and renewal fees required under section
326B.092:

(1) a water conditioning journeyman license shall be considered a journeyman
license;

(2) a water conditioning master license shall be considered a master license; and

(3) a water conditioning contractor license shall be considered a business license.

Sec. 26.

Minnesota Statutes 2010, section 326B.82, subdivision 2, is amended to read:

Subd. 2.

Appropriate and related knowledge.

"Appropriate and related
knowledge" means facts, information, or principles that are clearly relevant to the deleted text begin licensee
deleted text end deleted text begin in performing deleted text end new text begin licensee's new text end responsibilities under a license issued by the commissioner.
These facts, information, or principles must convey substantive and procedural knowledge
as it relates to postlicensing issues and must be relevant to the technical aspects of a
deleted text begin particular area of continuing education deleted text end new text begin regulated industry new text end .

Sec. 27.

Minnesota Statutes 2010, section 326B.82, subdivision 3, is amended to read:

Subd. 3.

Classroom hour.

"Classroom hour" means deleted text begin a 50-minute hour deleted text end new text begin 50 minutes of
educational content new text end .

Sec. 28.

Minnesota Statutes 2010, section 326B.82, subdivision 7, is amended to read:

Subd. 7.

Medical hardship.

"Medical hardship" deleted text begin includes deleted text end new text begin means new text end a documented
physical disability or medical condition.

Sec. 29.

Minnesota Statutes 2010, section 326B.82, subdivision 9, is amended to read:

Subd. 9.

Regulated deleted text begin industries deleted text end new text begin industry new text end .

"Regulated deleted text begin industries deleted text end new text begin industry new text end " means
deleted text begin residential contracting, residential remodeling, or residential roofing. Each of these is a
regulated industry deleted text end new text begin any business, trade, profession, or occupation that requires a license
issued under this chapter or chapter 327B as a condition of doing business in Minnesota new text end .

Sec. 30.

Minnesota Statutes 2010, section 326B.821, subdivision 1, is amended to read:

Subdivision 1.

Purpose.

The purpose of this section is to establish standards
for residential building contractor continuing education. deleted text begin The standards must include
requirements for continuing education in the implementation of energy codes or energy
conservation measures applicable to residential buildings.
deleted text end

Sec. 31.

Minnesota Statutes 2010, section 326B.821, subdivision 5, is amended to read:

Subd. 5.

Content.

(a) Continuing education consists of approved courses that
impart appropriate and related knowledge in the deleted text begin residential construction industry deleted text end new text begin regulated
industries new text end pursuant to deleted text begin sections 326B.802 to 326B.885 deleted text end new text begin this chapter new text end and other deleted text begin relevant deleted text end new text begin
applicable new text end federal and state laws, rules, and regulations. Courses may include relevant
materials that are included in licensing exams subject to the limitations imposed in
subdivision 11. The burden of demonstrating that courses impart appropriate and related
knowledge is upon the person seeking approval or credit.

(b) Except as required for Internet continuing education, course examinations will
not be required for continuing education courses deleted text begin unless they are required by the sponsor deleted text end .

(c) deleted text begin Textbooks are not required to be used for continuing education courses. deleted text end If
textbooks are not used new text begin as part of the course new text end , the sponsor must provide students with a
syllabus containing deleted text begin , at a minimum, deleted text end the course title, the times and dates of the course
offering, the name, address, deleted text begin and deleted text end telephone number of the course sponsor deleted text begin and deleted text end new text begin , new text end the name
and affiliation of the instructor, and a detailed outline of the subject materials to be
covered. Any written or printed material given to students must be of readable quality and
contain accurate and current information.

(d) Upon completion of an approved course, licensees shall earn one hour of
continuing education credit for each new text begin classroom new text end hour approved by the commissioner. deleted text begin One
credit hour of continuing education is equivalent to 50 minutes of educational content. deleted text end
Each continuing education course must be attended in its entirety in order to receive credit
for the number of approved hours. Courses may be approved for full or partial credit,
and for more than one regulated industry.

new text begin (e) new text end Continuing education credit in an approved course shall be awarded to presenting
instructors on the basis of one credit for each hour deleted text begin of preparation for the duration deleted text end of the
initial presentation. Continuing education deleted text begin credit may not be earned if the licensee has
previously obtained credit for the same course as a licensee or as an instructor within the
three years immediately prior deleted text end new text begin credits for completion of an approved course may only be
used once for renewal of a specific license new text end .

deleted text begin (e) deleted text end new text begin (f) new text end Courses will be approved using the following guidelines:

(1) course content must demonstrate significant intellectual or practical content and
deal with matters directly related to the practice deleted text begin of residential construction deleted text end new text begin in the regulated
industry new text end , workforce safety, or the business of running a deleted text begin residential construction deleted text end company new text begin
in the regulated industry new text end . Courses may also address the professional responsibility or
ethical obligations of deleted text begin residential contractors to homeowners and suppliers deleted text end new text begin a licensee
related to work in the regulated industry new text end ;

(2) the following courses may be deleted text begin automatically deleted text end approved if they are specifically
designed for the deleted text begin residential construction deleted text end new text begin regulated new text end industry and are in compliance with
paragraph deleted text begin (f) deleted text end new text begin (g) new text end :

(i) courses approved by the Minnesota Board of Continuing Legal Education; or

(ii) courses approved by the International Code Council, National Association of
Home Building, or other nationally recognized professional organization of the deleted text begin residential
construction deleted text end new text begin regulated new text end industry; and

(3) courses must be presented and attended in a suitable classroom or construction
setting, except for Internet education courses which must meet the requirements of
subdivision 5a. Courses presented via video recording, simultaneous broadcast, or
teleconference may be approved provided the sponsor is available at all times during the
presentation, except for Internet education courses which must meet the requirements
of subdivision 5a.

deleted text begin (f) deleted text end new text begin (g) new text end The following courses will not be approved for credit:

(1) courses designed solely to prepare students for a license examination;

(2) courses in mechanical office skills, including typing, speed reading, or other
machines or equipment. Computer courses are allowed, if appropriate and related to the
deleted text begin residential construction deleted text end new text begin regulated new text end industry;

(3) courses in sales promotion, including meetings held in conjunction with the
general business of the licensee;

(4) courses in motivation, salesmanship, psychology, or personal time management;

(5) courses that are primarily intended to impart knowledge of specific products of
specific companies, if the use of the product or products relates to the sales promotion
or marketing of one or more of the products discussed; or

(6) courses new text begin where any of the educational content of the course is the State Building
Code new text end that include code provisions that have not been adopted into the State Building
Code unless the course materials clarify deleted text begin whether or not deleted text end new text begin that new text end the code provisions have
been officially adopted into a future version of the State Building Code and the effective
date of enforcement deleted text begin , if applicable deleted text end .

Sec. 32.

Minnesota Statutes 2010, section 326B.821, subdivision 5a, is amended to
read:

Subd. 5a.

Internet continuing education.

(a) new text begin Minnesota state colleges and
universities that are accredited to provide Internet education by the Higher Learning
Commission are exempt from the requirements of this subdivision.
new text end

new text begin (b) new text end The design and delivery of an Internet continuing education course must be
approved by the International Distance Education Certification Center (IDECC) before
the course is submitted for the commissioner's approval. The IDECC approval must
accompany the course submitted.

deleted text begin (b) deleted text end new text begin (c) new text end An Internet continuing education course must:

(1) specify the minimum computer system requirements;

(2) provide encryption that ensures that all personal information, including the
student's name, address, and credit card number, cannot be read as it passes across the
Internet;

(3) include technology to guarantee seat time;

(4) include a high level of interactivity;

(5) include graphics that reinforce the content;

(6) include the ability for the student to contact an instructor or course sponsor
within a reasonable amount of time;

(7) include the ability for the student to get technical support within a reasonable
amount of time;

(8) include a statement that the student's information will not be sold or distributed
to any third party without prior written consent of the student. Taking the course does not
constitute consent;

(9) be available 24 hours a day, seven days a week, excluding minimal downtime
for updating and administration, except that this provision does not apply to live courses
taught by an actual instructor and delivered over the Internet;

(10) provide viewing access to the online course at all times to the commissioner,
excluding minimal downtime for updating and administration;

(11) include a process to authenticate the student's identity;

(12) inform the student and the commissioner how long after its purchase a course
will be accessible;

(13) inform the student that license education credit will not be awarded for taking
the course after it loses its status as an approved course;

(14) provide clear instructions on how to navigate through the course;

(15) provide automatic bookmarking at any point in the course;

(16) provide questions after each unit or chapter that must be answered before the
student can proceed to the next unit or chapter;

(17) include a reinforcement response when a quiz question is answered correctly;

(18) include a response when a quiz question is answered incorrectly;

(19) include a final examination in which the student must correctly answer 70
percent of the questions;

(20) allow the student to go back and review any unit at any time, except during the
final examination;

(21) provide a course evaluation at the end of the course. At a minimum, the
evaluation must ask the student to report any difficulties caused by the online education
delivery method;

(22) provide a completion certificate when the course and exam have been completed
and the provider has verified the completion. Electronic certificates are sufficient new text begin and shall
include the name of the provider, date and location of the course, educational program
identification that was provided by the department, hours of instruction or continuing
education hours, and licensee's or attendee's name and license, certification, or registration
number or the last four digits of the licensee's or attendee's Social Security number new text end ; and

(23) allow the commissioner the ability to electronically review the class to
determine if credit can be approved.

deleted text begin (c) deleted text end new text begin (d) new text end The final examination must be either an encrypted online examination or a
paper examination that is monitored by a proctor who certifies that the student took the
examination.

Sec. 33.

Minnesota Statutes 2010, section 326B.821, subdivision 6, is amended to read:

Subd. 6.

Course approval.

(a) Courses must be approved by the commissioner
in advance and will be approved on the basis of the applicant's compliance with the
provisions of this section relating to continuing education in the regulated industries. The
commissioner shall make the final determination as to the approval and assignment of
credit hours for courses. Courses must be at least one hour in length.

Licensees requesting credit for continuing education courses that have not been
previously approved new text begin by the commissioner new text end shall, on a form prescribed by the commissioner,
submit an application for approval of continuing education credit accompanied by a
nonrefundable fee of $20 for each course to be reviewed. To be approved, courses must be
in compliance with the provisions of this section governing the types of courses that will
and will not be approved.

Approval will not be granted for time spent on meals or other unrelated activities.
Breaks may not be accumulated in order to dismiss the class early. Classes shall not be
offered by a provider to any one student for longer than eight hours in one day, excluding
meal breaks.

(b) Application for course approval must be submitted new text begin on a form approved by the
commissioner at least new text end 30 days before the course offering.

(c) Approval must be granted for a subsequent offering of identical continuing
education courses without requiring a new application if a notice of the subsequent
offering is filed with the commissioner at least 30 days in advance of the date the course is
to be held. The commissioner shall deny future offerings of courses if they are found not
to be in compliance with the laws relating to course approval.

Sec. 34.

Minnesota Statutes 2010, section 326B.821, subdivision 7, is amended to read:

Subd. 7.

Courses open to all.

All course offerings must be open to any interested
individuals. Access may be restricted by the sponsor based on class size only. Courses
deleted text begin must deleted text end new text begin shall new text end not be approved if attendance is restricted to any particular group of people,
except for company-sponsored courses allowed by applicable law.

Sec. 35.

Minnesota Statutes 2010, section 326B.821, subdivision 8, is amended to read:

Subd. 8.

Course sponsor.

(a) Each course of study shall have at least one sponsor,
approved by the commissioner, who is responsible for supervising the program and
ensuring compliance with all relevant law. Sponsors may engage an additional approved
sponsor in order to assist the sponsor or to act as a substitute for the sponsor deleted text begin in the event
of an emergency or illness deleted text end .

(b) Sponsors must submit an application and sworn statement stating they agree to
abide by the requirements of this section and any other applicable statute or rule pertaining
to deleted text begin residential construction deleted text end continuing education new text begin in the regulated industry new text end .

(c) A sponsor may also be an instructor.

(d) Failure to comply with deleted text begin requirements deleted text end new text begin paragraph (b) new text end may result in loss of sponsor
approval for up to two years in accordance with section 326B.082.

Sec. 36.

Minnesota Statutes 2010, section 326B.821, subdivision 9, is amended to read:

Subd. 9.

Responsibilities.

A sponsor is responsible for:

(1) ensuring compliance with all laws and rules relating to continuing educational
offerings governed by the commissioner;

(2) ensuring that students are provided with current and accurate information relating
to the laws and rules governing deleted text begin their licensed activity deleted text end new text begin the regulated industry new text end ;

(3) supervising and evaluating courses and instructors. Supervision includes
ensuring that all areas of the curriculum are addressed without redundancy and that
continuity is present throughout the entire course;

(4) ensuring that instructors are qualified to teach the course offering;

(5) furnishing the commissioner, upon request, with copies of course deleted text begin and instructor deleted text end
evaluations deleted text begin and deleted text end new text begin . Evaluations must be completed by students at the time the course is
offered;
new text end

new text begin (6) furnishing the commissioner, upon request, with copies of the new text end qualifications of
instructors deleted text begin . Evaluations must be completed by students at the time the course is offered
and by sponsors within five days after the course offering deleted text end ;

deleted text begin (6) deleted text end new text begin (7) new text end investigating complaints related to course offerings or instructors. A copy
of the written complaint must be sent to the commissioner within ten days of receipt of
the complaint and a copy of the complaint resolution must be sent not more than ten
days after resolution is reached;

deleted text begin (7) deleted text end new text begin (8) new text end maintaining accurate records relating to course offerings, instructors, tests
taken by students if required, and student attendance for a period of three years from the
date on which the course was completed. These records must be made available to the
commissioner upon request. In the event the sponsor ceases operations before termination
of the sponsor application, the sponsor must provide to the commissioner digital copies of
all course and attendance records of courses held for the previous three years;

deleted text begin (8) deleted text end new text begin (9) new text end attending workshops or instructional programs as reasonably required by
the commissioner;

deleted text begin (9) deleted text end new text begin (10) new text end providing course completion certificates within ten days of, but not before,
completion of the entire course. new text begin A sponsor may require payment of the course tuition as a
condition of receiving the course completion certificate. new text end Course completion certificates
must be completed in their entirety deleted text begin . Course completion certificates must deleted text end new text begin and shall new text end contain
the following new text begin :
new text end

new text begin (i) the new text end statement: "If you have any comments about this course offering, please mail
them to the Minnesota Department of Labor and Industry." new text begin ;
new text end

new text begin (ii) new text end the current address of the department deleted text begin must be included. A sponsor may deleted text end deleted text begin require
payment of the course tuition as a condition for receiving the course completion certificate deleted text end new text begin ,
name of the provider, date and location of the course, educational program identification
provided by the department, and hours of instruction or continuing education hours; and
new text end

new text begin (iii) the licensee's or attendee's name and license, certificate, or registration number
or the last four digits of the licensee's or attendee's Social Security number new text end ; and

deleted text begin (10) deleted text end new text begin (11) new text end notifying the commissioner in writing within ten days of any change in the
information in an application for approval on file with the commissioner.

Sec. 37.

Minnesota Statutes 2010, section 326B.821, subdivision 10, is amended to
read:

Subd. 10.

Instructors.

(a) Each continuing education course shall have an instructor
who is qualified by education, training, or experience to ensure competent instruction.
Failure to have only qualified instructors teach at an approved course offering will result in
loss of course approval. Sponsors are responsible to ensure that an instructor is qualified
to teach the course offering.

(b) Qualified continuing education instructors must have one of the following
qualifications:

(1) four years' practical experience in the subject area being taught;

(2) a college or graduate degree in the subject area being taught;

(3) direct experience in the development of laws, rules, or regulations related to the
deleted text begin residential construction deleted text end new text begin regulated new text end industry; or

(4) demonstrated expertise in the subject area being taught. new text begin Instructors providing
instruction related to electricity, plumbing, or high pressure piping systems must comply
with all applicable continuing education rules adopted by the Board of Electricity, the
Plumbing Board, or the Board of High Pressure Piping Systems.
new text end

(c) deleted text begin Approved deleted text end new text begin Qualified continuing education new text end instructors are responsible for:

(1) compliance with all laws and rules relating to continuing education;

(2) providing students with current and accurate information;

(3) maintaining an atmosphere conducive to learning in the classroom;

(4) verifying attendance of students, and certifying course completion;

(5) providing assistance to students and responding to questions relating to course
materials; and

(6) attending the workshops or instructional programs that are required by the
commissioner.

Sec. 38.

Minnesota Statutes 2010, section 326B.821, subdivision 11, is amended to
read:

Subd. 11.

Prohibited practices for sponsors and instructors.

(a) In connection
with an approved continuing education course, sponsors and instructors shall not:

(1) recommend deleted text begin or deleted text end new text begin , new text end promote new text begin , or disparage new text end the new text begin specific new text end services new text begin , products, processes,
procedures, new text end or practices of a particular deleted text begin business deleted text end new text begin person in the regulated industry new text end ;

(2) encourage or recruit deleted text begin individuals deleted text end new text begin students new text end to engage the services of, or become
associated with, a particular business;

(3) use materials for the sole purpose of promoting a particular business;

(4) require students to participate in other programs or services offered by an
instructor or sponsor;

(5) attempt, either directly or indirectly, to discover questions or answers on an
examination for a license;

(6) disseminate to any other person specific questions, problems, or information
known or believed to be included in licensing examinations;

(7) misrepresent any information submitted to the commissioner;

(8) fail to new text begin reasonably new text end cover, or ensure coverage of, all points, issues, and concepts
contained in the course outline approved by the commissioner during the approved
instruction; or

(9) issue inaccurate course completion certificates.

(b) Sponsors shall notify the commissioner within ten days of a felony or gross
misdemeanor conviction or of disciplinary action taken against an occupational or
professional license held by the sponsor or an instructor teaching an approved course. The
deleted text begin notification deleted text end new text begin conviction or disciplinary action new text end shall be grounds for the commissioner to
withdraw the approval of the sponsor and to disallow the use of the sponsor or instructor.

Sec. 39.

Minnesota Statutes 2010, section 326B.821, subdivision 12, is amended to
read:

Subd. 12.

deleted text begin Fees deleted text end new text begin Course tuition new text end .

deleted text begin Fees deleted text end new text begin Tuition new text end for an approved course of study
and related materials must be clearly identified to students. In the event that a course is
canceled for any reason, all deleted text begin fees deleted text end new text begin tuition new text end must be returned within 15 days from the date of
cancellation. In the event that a course is postponed for any reason, students shall be given
the choice of attending the course at a later date or having their deleted text begin fees deleted text end new text begin tuition new text end refunded in
full within 15 days from the date of postponement. If a student is unable to attend a course
or cancels the registration in a course, sponsor policies regarding refunds shall govern.

Sec. 40.

Minnesota Statutes 2010, section 326B.821, subdivision 15, is amended to
read:

Subd. 15.

Advertising courses.

(a) Paragraphs (b) to (g) govern the advertising
of continuing education courses.

(b) Advertising must be truthful and not deceptive or misleading. Courses may
not be advertised as approved for continuing education credit unless approval has been
granted in writing by the commissioner.

(c) Once a course is approved, all advertisement, pamphlet, circular, or other similar
materials pertaining to an approved course circulated or distributed in this state, must
prominently display the following statement:

"This course has been approved by the Minnesota Department of Labor and Industry
for ....... (approved number of hours) hours for deleted text begin residential contractor deleted text end new text begin ....... (regulated
industry) new text end continuing education."

(d) Advertising of approved courses must be clearly distinguishable from the
advertisement of other nonapproved courses and services.

(e) Continuing education courses may not be advertised before approval unless the
course is described in any advertising as "approval pending." The sponsor must verbally
notify deleted text begin licensees deleted text end new text begin students new text end before commencement of the course if the course has been
denied credit, has not been approved for credit, or has only been approved for partial
credit by the commissioner.

(f) The number of hours for which a course has been approved must be prominently
displayed on an advertisement for the course. If the course offering is longer than the
number of hours of credit to be given, it must be clear that credit is not earned for the
entire course.

(g) The course approval number must not be included in any advertisement.

Sec. 41.

Minnesota Statutes 2010, section 326B.821, subdivision 16, is amended to
read:

Subd. 16.

Notice to students.

At the beginning of each approved offering, the
following notice must be handed out in printed form or must be read to students:

"This educational offering is recognized by the Minnesota Department of Labor and
Industry as satisfying ....... (insert number of hours approved) hours of credit toward
deleted text begin residential contractor deleted text end new text begin (insert regulated industry) new text end continuing education requirements."

Sec. 42.

Minnesota Statutes 2010, section 326B.821, subdivision 18, is amended to
read:

Subd. 18.

Falsification of reports new text begin or certificates new text end .

A licensee, its deleted text begin qualified person deleted text end new text begin
qualifying individual new text end , or an applicant found to have falsified an education report new text begin or
certificate new text end to the commissioner shall be considered to have violated the laws relating to
the new text begin regulated new text end industry for which the person has a license and shall be subject to deleted text begin censure,
limitation, condition, suspension, or revocation of the license or denial of the application
for licensure deleted text end new text begin the enforcement provisions of section 326B.082 new text end .

The commissioner reserves the right to audit a licensee's continuing education
records.

Sec. 43.

Minnesota Statutes 2010, section 326B.821, subdivision 19, is amended to
read:

Subd. 19.

Waivers and extensions.

deleted text begin If a licensee provides documentation to the
commissioner that the licensee or its qualifying person is unable, and will continue to be
unable, to attend actual classroom course work because of a physical disability, medical
condition, or similar reason, attendance at continuing education courses shall be waived
for a period not to exceed one year. The commissioner shall require that the licensee or
its qualifying person satisfactorily complete a self-study program to include reading a
sufficient number of textbooks, or listening to a sufficient number of tapes, related deleted text end deleted text begin to the
residential building contractor industry, as would be necessary for the licensee to satisfy
continuing educational credit hour needs. The commissioner shall award the licensee
credit hours for a self-study program by determining how many credit hours would
be granted to a classroom course involving the same material and giving the licensee
the same number of credit hours under this section. The licensee may apply each year
for a new waiver upon the same terms and conditions as were necessary to secure the
original waiver, and must demonstrate that in subsequent years, the licensee was unable to
complete actual classroom course work. The commissioner may request documentation
of the condition upon which the request for waiver is based as is necessary to satisfy
the commissioner of the existence of the condition and that the condition does preclude
attendance at continuing education courses.
deleted text end

Upon written proof demonstrating a medical hardship, the commissioner shall
extend, for up to 90 days, the time period during which the continuing education must be
successfully completed. deleted text begin Loss of income from either attendance at courses or cancellation
of a license is not a bona fide financial hardship. deleted text end Requests for extensions must be
submitted to the commissioner in writing no later than 60 days before the education is
due and must include an explanation with verification of the hardship, plus verification of
enrollment at an approved course of study on or before the extension period expires.

Sec. 44.

Minnesota Statutes 2010, section 326B.821, subdivision 20, is amended to
read:

Subd. 20.

Reporting requirements.

deleted text begin Required deleted text end Continuing education new text begin credits new text end must
be reported new text begin by the sponsor new text end in a manner prescribed by the commissioner. Licensees are
responsible for maintaining copies of course completion certificates.

Sec. 45.

Minnesota Statutes 2010, section 326B.821, subdivision 22, is amended to
read:

Subd. 22.

Continuing education approval.

Continuing education courses must be
approved in advance by the commissioner of labor and industry. deleted text begin "Sponsor" means any
person or entity offering approved education.
deleted text end

Sec. 46.

Minnesota Statutes 2010, section 326B.821, subdivision 23, is amended to
read:

Subd. 23.

Continuing education fees.

The following fees shall be paid to the
commissioner:

(1) initial course approval, $20 for each hour or fraction of one hour of continuing
education course approval sought. Initial course approval expires on the last day of the
deleted text begin 24th deleted text end new text begin 36th new text end month after the course is approved;

deleted text begin (2) renewal of course approval, $20 per course. Renewal of course approval expires
on the last day of the 24th month after the course is renewed;
deleted text end

deleted text begin (3) deleted text end new text begin (2) new text end initial sponsor approval, $100. Initial sponsor approval expires on the last
day of the 24th month after the sponsor is approved; and

deleted text begin (4) deleted text end new text begin (3) new text end renewal of sponsor approval, deleted text begin $20 deleted text end new text begin $100 new text end . Renewal of sponsor approval expires
on the last day of the 24th month after the sponsor is renewed.

Sec. 47.

Minnesota Statutes 2010, section 326B.865, is amended to read:

326B.865 SIGN CONTRACTOR; BOND.

(a) A sign contractor may post a compliance bond with the commissioner,
conditioned that the sign contractor shall faithfully perform duties and comply with laws,
ordinances, rules, and contracts entered into for the installation of signs. The bond must
be renewed biennially and maintained for so long as determined by the commissioner.
The aggregate liability of the surety on the bond to any and all persons, regardless of the
number of claims made against the bond, may not exceed the annual amount of the bond.
The bond may be canceled as to future liability by the surety upon 30 days' written notice
mailed to the commissioner by United States mail.

(b) The amount of the bond shall be $8,000. The bond may be drawn upon only by a
local unit of government that requires sign contractors to post a compliance bond. The
bond is in lieu of any compliance bond required by a local unit of government.

(c) For purposes of this section, "sign" means a device, structure, fixture, or
placard using graphics, symbols, or written copy that is erected on the premises of an
establishment including the name of the establishment or identifying the merchandise,
services, activities, or entertainment available on the premises.

new text begin (d) Each person giving bond under this section shall pay a biennial bond filing fee of
$100 to the commissioner of labor and industry.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2012.
new text end

Sec. 48.

Minnesota Statutes 2010, section 326B.89, subdivision 6, is amended to read:

Subd. 6.

Verified application.

To be eligible for compensation from the fund, an
owner or lessee shall serve on the commissioner a verified application for compensation
on a form approved by the commissioner. The application shall verify the following
information:

(1) the specific grounds upon which the owner or lessee seeks to recover from
the fund:

(2) that the owner or the lessee has obtained a final judgment in a court of competent
jurisdiction against a licensee licensed under section 326B.83;

(3) that the final judgment was obtained against the licensee on the grounds
of fraudulent, deceptive, or dishonest practices, conversion of funds, or failure of
performance that arose directly out of a contract directly between the licensee and the
homeowner or lessee that was entered into prior to the cause of action and that occurred
when the licensee was licensed and performing any of the special skills enumerated under
section 326B.802, subdivision 15;

(4) the amount of the owner's or the lessee's actual and direct out-of-pocket loss on
the owner's residential real estate, on residential real estate leased by the lessee, or on new
residential real estate that has never been occupied or that was occupied by the licensee
for less than one year prior to purchase by the owner;

(5) that the residential real estate is located in Minnesota;

(6) that the owner or the lessee is not the spouse of the licensee or the personal
representative of the licensee;

(7) the amount of the final judgment, any amount paid in satisfaction of the final
judgment, and the amount owing on the final judgment as of the date of the verified
application;

(8) that the owner or lessee has diligently pursued remedies against all the judgment
debtors and all other persons liable to the judgment debtor in the contract for which the
owner or lessee seeks recovery from the fund; and

(9) that the verified application is being served within two years after the judgment
became final.

The verified application must include documents evidencing the amount of the
owner's or the lessee's actual and direct out-of-pocket loss. The owner's and the lessee's
actual and direct out-of-pocket loss shall not include new text begin any new text end attorney fees, litigation costs
or fees, interest on the loss, and interest on the final judgment obtained as a result of the
loss new text begin or any costs not directly related to the value difference between what was contracted
for and what was provided new text end . Any amount paid in satisfaction of the final judgment shall
be applied to the owner's or lessee's actual and direct out-of-pocket loss. An owner or
lessee may serve a verified application regardless of whether the final judgment has been
discharged by a bankruptcy court. A judgment issued by a court is final if all proceedings
on the judgment have either been pursued and concluded or been forgone, including all
reviews and appeals. For purposes of this section, owners who are joint tenants or tenants
in common are deemed to be a single owner. For purposes of this section, owners and
lessees eligible for payment of compensation from the fund shall not include government
agencies, political subdivisions, financial institutions, and any other entity that purchases,
guarantees, or insures a loan secured by real estate.

Sec. 49.

Minnesota Statutes 2010, section 326B.89, subdivision 8, is amended to read:

Subd. 8.

Administrative hearing.

If an owner or a lessee timely serves a request
for hearing under subdivision 7, the commissioner shall request that an administrative law
judge be assigned and that a hearing be conducted under the contested case provisions of
chapter 14 within 45 days after the commissioner received the request for hearing, unless
the parties agree to a later date. The commissioner must notify the owner or lessee of the
time and place of the hearing at least 15 days before the hearing. Upon petition of the
commissioner, the administrative law judge shall continue the hearing up to 60 days and
upon a showing of good cause may continue the hearing for such additional period as the
administrative law judge deems appropriate.

At the hearing the owner or the lessee shall have the burden of proving by substantial
evidence under subdivision 6, clauses (1) to (8). Whenever an applicant's judgment
is by default, stipulation, or consent, or whenever the action against the licensee was
defended by a trustee in bankruptcy, the applicant shall have the burden of proving the
cause of action for fraudulent, deceptive, or dishonest practices, conversion of funds, or
failure of performance. Otherwise, the judgment shall create a rebuttable presumption
of the fraudulent, deceptive, or dishonest practices, conversion of funds, or failure of
performance. This presumption affects the burden of producing evidence.

The administrative law judge shall issue findings of fact, conclusions of law, and
order. If the administrative law judge finds that compensation should be paid to the owner
or the lessee, the administrative law judge shall order the commissioner to make payment
from the fund of the amount it finds to be payable pursuant to the provisions of and in
accordance with the limitations contained in this section. The order of the administrative
law judge shall constitute the final decision of the agency in the contested case. new text begin The
commissioner or the owner or lessee may seek new text end judicial review of the administrative law
judge's findings of fact, conclusions of law, and order deleted text begin shall be deleted text end in accordance with sections
14.63 to 14.69.

Sec. 50.

Minnesota Statutes 2010, section 327.32, subdivision 1a, is amended to read:

Subd. 1a.

Requirement; used manufactured homes.

No person shall sell or
offer for sale in this state any used manufactured home manufactured after June 14,
1976, or install for occupancy any used manufactured home manufactured after June
14, 1976, unless the used manufactured home complies with the Notice of Compliance
Form as provided in this subdivision. If manufactured after June 14, 1976, the home
must bear a label as required by the secretary. The Notice of Compliance Form shall be
signed by the seller and purchaser indicating which party is responsible for either making
or paying for any necessary corrections prior to the sale and transferring ownership of
the manufactured home.

The Notice of Compliance Form shall be substantially in the following form:

"Notice of Compliance Form as required in Minnesota Statutes,
section 327.32, subdivision 1

This notice must be completed and signed by the purchaser(s) and the seller(s) of the
used manufactured home described in the purchase agreement and on the bottom of this
notice before the parties transfer ownership of a used manufactured home constructed
after June 14, 1976.

Electric ranges and clothes dryers must have required four-conductor cords and plugs. new text begin For
the purpose of complying with the requirements of section 327B.06, a licensed retailer or
limited retailer shall retain at least one copy of the form required under this subdivision.
new text end

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

Solid fuel-burning fireplaces or stoves must be listed for use in manufactured homes, Code
of Federal Regulations, title 24, section 3280.709 (g), and installed correctly in accordance
with their listing or standards (i.e., chimney, doors, hearth, combustion, or intake, etc.,
Code of Federal Regulations, title 24, section 3280.709 (g)).

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

Gas water heaters and furnaces must be listed for manufactured home use, Code of Federal
Regulations, title 24, section 3280.709 (a) and (d)(1) and (2), and installed correctly, in
accordance with their listing or standards.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

Smoke alarms are required to be installed and operational in accordance with Code of
Federal Regulations, title 24, section 3280.208.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

Carbon monoxide alarms or CO detectors that are approved and operational are required
to be installed within ten feet of each room lawfully used for sleeping purposes.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

Egress windows are required in every bedroom with at least one operable window with
a net clear opening of 20 inches wide and 24 inches high, five square feet in area, with
the bottom of windows opening no more than 36 inches above the floor. Locks, latches,
operating handles, tabs, or other operational devices shall not be located more than 54
inches above the finished floor.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

The furnace compartment of the home is required to have interior finish with a flame
spread rating not exceeding 25 deleted text begin feet deleted text end , as specified in the 1976 United States Department of
Housing and Urban Development Code governing manufactured housing construction.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

The water heater enclosure in this home is required to have interior finish with a flame
spread rating not exceeding 25 feet, as specified in the 1976 United States Department of
Housing and Urban Development Code governing manufactured housing construction.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

The home complies with the snowload and heat zone requirements for the state of
Minnesota as indicated by the data plate.

Complies ..........	Correction required ..........
Initialed by Responsible Party: Buyer ..........	Seller ..........

The parties to this agreement have initialed all required sections and agree by their
signature to complete any necessary corrections prior to the sale or transfer of ownership
of the home described below as listed in the purchase agreement. The state of Minnesota
or a local building official has the authority to inspect the home in the manner described in
Minnesota Statutes, section 327.33, prior to or after the sale to ensure compliance was
properly executed as provided under the Manufactured Home Building Code.

Signature of Purchaser(s) of Home
..............................date..............................	..............................date..............................
...................................................................	...................................................................
Print name as appears on purchase agreement	Print name as appears on purchase agreement
Signature of Seller(s) of Home
..............................date..............................	..............................date..............................
...................................................................	...................................................................
Print name and license number, if applicable	Print name and license number, if applicable
(Street address of home at time of sale)
................................................................................................................................
(City/State/Zip).......................................................................................................
Name of manufacturer of home............................................................................
Model and year.....................................................................................................
Serial number........................................................................................................"

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 51.

Minnesota Statutes 2010, section 327.32, subdivision 1b, is amended to read:

Subd. 1b.

Alternative design plan.

An alternative frost-free design slab new text begin for a new
or used manufactured home new text end that is submitted to the new text begin local building official, third-party
inspector, or the new text end department, stamped by a licensed professional engineer or architect deleted text begin , and
is deleted text end new text begin as being new text end in compliance with either the federal installation standards in effect at the date
of manufacture new text begin , the manufacturer's installation manual, new text end or the Minnesota State Building
Code, when applicable, shall be issued a permit deleted text begin by the department deleted text end within ten days new text begin of
being received by the approving authority new text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 52.

Minnesota Statutes 2010, section 327.32, subdivision 1e, is amended to read:

Subd. 1e.

Reinstallation requirements for deleted text begin single-section deleted text end used manufactured
homes.

(a) All deleted text begin single-section deleted text end used manufactured homes reinstalled less than 24 months
from the date of installation by the first purchaser must be reinstalled in compliance with
subdivision 1c. All deleted text begin single-section deleted text end used manufactured homes reinstalled more than 24
months from the date of installation by the first purchaser may be reinstalled without
a frost-protected foundation if the home is reinstalled in compliance with Minnesota
Rules, chapter 1350, for above frost-line installations and the notice requirement of
subdivision 1f is complied with by the seller and the purchaser of the deleted text begin single-section deleted text end used
manufactured home.

(b) The installer shall affix an installation seal issued by the department to the
outside of the home as required by the Minnesota State Building Code. The certificate
of installation issued by the installer of record shall clearly state that the home has been
reinstalled with an above frost-line foundation. Fees for inspection of a reinstallation and
for issuance of reinstallation seals shall follow the requirements of sections 326B.802
to 326B.885. Fees for review of plans, specifications, and on-site inspections shall be
those as specified in section 326B.153, subdivision 1, paragraph (c). Whenever an
installation certificate for an above frost-line installation is issued to a deleted text begin single-section deleted text end used
manufactured home being listed for sale, the purchase agreement must disclose that the
home is installed on a nonfrost-protected foundation and recommend that the purchaser
have the home inspected to determine the effects of frost on the home.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 53.

Minnesota Statutes 2010, section 327.32, subdivision 1f, is amended to read:

Subd. 1f.

Notice requirement.

The seller of the deleted text begin single-section deleted text end used manufactured
home being reinstalled under subdivision 1e shall provide the following notice to the
purchaser and secure signatures of all parties to the purchase agreement on or before
signing a purchase agreement prior to submitting an application for an installation
certificate. Whenever a current owner of a manufactured home reinstalls the manufactured
home under subdivision 1e, the current owner is not required to comply with the notice
requirement under this subdivision. The notice shall be in at least 14-point font, except the
heading, "WHICH MAY VOID WARRANTY," must be in capital letters, in 20-point font.
The notice must be printed on a separate sheet of paper in a color different than the paper
on which the purchase agreement is printed. The notice becomes a part of the purchase
agreement and shall be substantially in the following form:

"Notice of Reinstalling of a deleted text begin Single-Section deleted text end Used Manufactured Home Above Frost-Line;

WHICH MAY VOID WARRANTY

It is recommended that the deleted text begin single-section deleted text end used manufactured home being reinstalled
follow the instructions in the manufacturer's installation manual. By signing this notice,
the purchaser(s) are acknowledging they have elected to use footings placed above the
local frost line in accordance with the Minnesota State Building Code.

The seller has explained the differences between the manufacturer's installation
instructions and the installation system selected by the purchaser(s) with respect to
possible effects of frost on the manufactured home.

The purchaser(s) acknowledge by signing this notice that there is no manufacturer's
original warranty remaining on the home and recognize that any other extended or ancillary
warranty could be adversely affected if any applicable warranty stipulates that the home
be installed in accordance with the manufacturer's installation manual to remain effective.

After the reinstallation of the manufactured home, it is highly recommended that the
purchaser(s) have a licensed manufactured home installer recheck the home's installation
for any releveling needs or anchoring system adjustments each freeze-thaw cycle.

The purchaser(s) of the used manufactured home described below that is being reinstalled
acknowledge they have read this notice and have been advised to contact the manufacturer
of the home and/or the Department of Labor and Industry if they desire additional
information before signing this notice. It is the intent of this notice to inform the
purchaser(s) that the purchaser(s) elected not to use a frost-protected foundation system
for the reinstallation of the manufactured home as originally required by the home's
installation manual.

Plain language notice.

I understand that because this home will be installed with footings placed above the
local frost line, this home may be subject to adverse effects from frost heave that may
damage this home. Purchaser(s) initials: .......

I understand that the installation of this home with footings placed above the local
frost line could affect my ability to obtain a mortgage or mortgage insurance on this
home. Purchaser(s) initials: .......

I understand that the installation of this home with footings placed above the local
frost line could void my warranty on the home if any warranty is still in place on this
home. Purchaser(s) initials: .......

Signature of Purchaser(s)
..............................date..............................	..............................date..............................
...................................................................	...................................................................
Print name	Print name
(Street address of location where manufactured home is being reinstalled)
..............................................................................................................................
(City/State/Zip)....................................................................................................
Name of manufacturer of home.........................................................................
Model and year...................................................................................................
Serial number.....................................................................................................

Name of licensed installer and license number or homeowner responsible for the
installation of the home as described above.

Installer name:...................................................................................................

License number:................................................................................................"

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 54.

Minnesota Statutes 2010, section 327.32, subdivision 7, is amended to read:

Subd. 7.

Enforcement.

All jurisdictions enforcing the State Building Code, in
accordance with sections 326B.101 to 326B.151, shall undertake or provide for the
administration and enforcement of the manufactured home installation rules promulgated
by the commissioner. new text begin Municipalities which have adopted the State Building Code may
provide installation inspection and plan review services in noncode areas of the state.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 55.

Minnesota Statutes 2010, section 327.33, subdivision 2, is amended to read:

Subd. 2.

Fees.

The commissioner shall by rule establish reasonable fees for seals,
installation seals and inspections which are sufficient to cover all costs incurred in the
administration of sections 327.31 to 327.35. The commissioner shall also establish by
rule a monitoring inspection fee in an amount that will comply with the secretary's fee
distribution program. This monitoring inspection fee shall be an amount paid by the
manufacturer for each manufactured home produced in Minnesota. The monitoring
inspection fee shall be paid by the manufacturer to the secretary. The rules of the
fee distribution program require the secretary to distribute the fees collected from all
manufactured home manufacturers among states approved and conditionally approved
based on the number of new manufactured homes whose first location after leaving the
manufacturer is on the premises of a distributor, dealer or purchaser in that state. new text begin Fees
for inspections in areas that have not adopted the State Building Code must be equal to
the fees for inspections in code areas of the state. Third party vendors may charge their
usual and normal charge for inspections.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 56.

Minnesota Statutes 2010, section 327C.095, subdivision 12, is amended to
read:

Subd. 12.

Payment to the Minnesota manufactured home relocation trust fund.

(a) If a manufactured home owner is required to move due to the conversion of all or a
portion of a manufactured home park to another use, the closure of a park, or cessation of
use of the land as a manufactured home park, the manufactured park owner shall, upon
the change in use, pay to the commissioner of management and budget for deposit in the
Minnesota manufactured home relocation trust fund under section 462A.35, the lesser
amount of the actual costs of moving or purchasing the manufactured home approved
by the neutral third party and paid by the Minnesota Housing Finance Agency under
subdivision 13, paragraph (a) or (e), or $3,250 for each single section manufactured
home, and $6,000 for each multisection manufactured home, for which a manufactured
home owner has made application for payment of relocation costs under subdivision 13,
paragraph (c). The manufactured home park owner shall make payments required under
this section to the Minnesota manufactured home relocation trust fund within 60 days of
receipt of invoice from the neutral third party.

(b) A manufactured home park owner is not required to make the payment prescribed
under paragraph (a), nor is a manufactured home owner entitled to compensation under
subdivision 13, paragraph (a) or (e), if:

(1) the manufactured home park owner relocates the manufactured home owner to
another space in the manufactured home park or to another manufactured home park at
the park owner's expense;

(2) the manufactured home owner is vacating the premises and has informed the
manufactured home park owner or manager of this prior to the mailing date of the closure
statement under subdivision 1;

(3) a manufactured home owner has abandoned the manufactured home, or the
manufactured home owner is not current on the monthly lot rental, personal property taxes;

(4) the manufactured home owner has a pending eviction action for nonpayment of
lot rental amount under section 327C.09, which was filed against the manufactured home
owner prior to the mailing date of the closure statement under subdivision 1, and the writ
of recovery has been ordered by the district court;

(5) the conversion of all or a portion of a manufactured home park to another use,
the closure of a park, or cessation of use of the land as a manufactured home park is the
result of a taking or exercise of the power of eminent domain by a governmental entity
or public utility; or

(6) the owner of the manufactured home is not a resident of the manufactured home
park, as defined in section 327C.01, subdivision 9, or the owner of the manufactured home
is a resident, but came to reside in the manufactured home park after the mailing date of
the closure statement under subdivision 1.

(c) new text begin If the unencumbered fund balance in the manufactured home relocation trust fund
is less than $1,000,000 as of June 30 of each year, new text end the commissioner of management and
budget shall deleted text begin annually deleted text end assess each manufactured home park owner by mail the total amount
of $12 for each licensed lot in their park, payable on or before September 15 of deleted text begin each deleted text end new text begin that new text end
year. The commissioner of management and budget shall deposit deleted text begin the deleted text end new text begin any new text end payments in the
Minnesota manufactured home relocation trust fund. On or before July 15 of each year,
the commissioner of management and budget shall prepare and distribute to park owners a
letter explaining new text begin whether funds are being collected for that year, information about new text end the
collection, an invoice for all licensed lots, and a sample form for the park owners to
collect information on which park residents have been accounted for. new text begin If assessed under
this paragraph, new text end the park owner may recoup the cost of the $12 assessment as a lump
sum or as a monthly fee of no more than $1 collected from park residents together with
monthly lot rent as provided in section 327C.03, subdivision 6. Park owners may adjust
payment for lots in their park that are vacant or otherwise not eligible for contribution to
the trust fund under section 327C.095, subdivision 12, paragraph (b), and deduct from the
assessment accordingly.

(d) This subdivision and subdivision 13, paragraph (c), clause (5), are enforceable by
the neutral third party, on behalf of the Minnesota Housing Finance Agency, or by action
in a court of appropriate jurisdiction. The court may award a prevailing party reasonable
attorney fees, court costs, and disbursements.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 57. new text begin REVISOR'S INSTRUCTION.
new text end

new text begin The revisor of statutes shall renumber each section of Minnesota Statutes listed in
column A with the number listed in column B. The revisor shall also make necessary
cross-reference changes consistent with the renumbering.
new text end

	new text begin Column A new text end	new text begin Column B new text end
	new text begin 326B.82, subd. 2 new text end	new text begin 326B.091, subd. 2a new text end
	new text begin 326B.82, subd. 3 new text end	new text begin 326B.091, subd. 2b new text end
	new text begin 326b.82, subd. 5 new text end	new text begin 326B.091, subd. 2c new text end
	new text begin 326B.82, subd. 7 new text end	new text begin 326B.091, subd. 4a new text end
	new text begin 326B.82, subd. 8 new text end	new text begin 326B.091, subd. 5a new text end
	new text begin 326B.82, subd. 9 new text end	new text begin 326B.091, subd. 5c new text end
	new text begin 326B.82, subd. 10 new text end	new text begin 326B.091, subd. 7 new text end
	new text begin 326B.821, subd. 4 new text end	new text begin 326B.0981, subd. 17 new text end
	new text begin 326B.821, subd. 5 new text end	new text begin 326B.0981, subd. 3 new text end
	new text begin 326B.821, subd. 5a new text end	new text begin 326B.0981, subd. 4 new text end
	new text begin 326B.821, subd. 6 new text end	new text begin 326B.0981, subd. 5 new text end
	new text begin 326B.821, subd. 7 new text end	new text begin 326B.0981, subd. 6 new text end
	new text begin 326B.821, subd. 8 new text end	new text begin 326B.099, subd. 1 new text end
	new text begin 326B.821, subd. 9 new text end	new text begin 326B.099, subd. 2 new text end
	new text begin 326B.821, subd. 10 new text end	new text begin 326B.099, subd. 3 new text end
	new text begin 326B.821, subd. 11 new text end	new text begin 326B.099, subd. 4 new text end
	new text begin 326B.821, subd. 12 new text end	new text begin 326B.0981, subd. 7 new text end
	new text begin 326B.821, subd. 13 new text end	new text begin 326B.0981, subd. 8 new text end
	new text begin 326B.821, subd. 14 new text end	new text begin 326B.0981, subd. 9 new text end
	new text begin 326B.821, subd. 15 new text end	new text begin 326B.0981, subd. 10 new text end
	new text begin 326B.821, subd. 16 new text end	new text begin 326B.0981, subd. 11 new text end
	new text begin 326B.821, subd. 17 new text end	new text begin 326B.099, subd. 5 new text end
	new text begin 326B.821, subd. 18 new text end	new text begin 326B.0981, subd. 12 new text end
	new text begin 326B.821, subd. 19 new text end	new text begin 326B.0981, subd. 13 new text end
	new text begin 326B.821, subd. 20 new text end	new text begin 326B.0981, subd. 14 new text end
	new text begin 326B.821, subd. 22 new text end	new text begin 326B.0981, subd. 2 new text end
	new text begin 326B.821, subd. 23 new text end	new text begin 326B.0981, subd. 15 new text end
	new text begin 326B.821, subd. 24 new text end	new text begin 326B.0981, subd. 16 new text end

Sec. 58. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2010, sections 326B.82, subdivisions 4 and 6; and 326B.821,
subdivision 3, new text end new text begin are repealed.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2012.
new text end