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Minnesota Legislature

Office of the Revisor of Statutes

HF 2251

3rd Engrossment - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:01am

KEY: stricken = removed, old language.
underscored = added, new language.

Current Version - 3rd Engrossment

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A bill for an act
relating to government finance; providing federal stimulus oversight funding for
certain state agencies; conforming Minnesota law to the requirements necessary
to receive federal stimulus money for medical assistance; modifying Hennepin
County's 2009 nonfederal share of medical assistance costs to comply with
federal requirements to receive enhanced FMAP; authorizing eligibility for
sparsity revenue for the Deer River School District; adjusting higher education
limits on tuition increases; modifying funding for the Minnesota State Colleges
and Universities; appropriating money; amending Laws 2009, chapter 95, article
1, sections 1; 4; 5, subdivision 4.

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

Section 1. new text begin SUMMARY OF APPROPRIATIONS.
new text end

new text begin The amount shown in this section summarizes direct appropriations, by fund, made
in this act.
new text end

new text begin 2009
new text end
new text begin General
new text end
new text begin $
new text end
new text begin 1,084,000
new text end

Sec. 2. new text beginAPPROPRIATIONS.
new text end

new text begin The sums shown in the column marked "Appropriations" are appropriated to the
agencies and for the purposes specified in this act. The appropriations are from the general
fund. The figure "2009" used in this act means that the appropriations listed under it are
available for the fiscal year ending June 30, 2009.
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 2009
new text end

Sec. 3. new text beginFINANCE
new text end

new text begin $
new text end
new text begin 700,000
new text end

new text begin Federal Stimulus Money Reporting and
Oversight
new text end

new text begin This appropriation is to provide for staff,
computers, professional and technical
services, and other operating expenses
necessary to comply with the reporting,
monitoring, and financial control and
transparency requirements of the American
Recovery and Reinvestment Act (ARRA)
of 2009. This appropriation may be used to
cover costs incurred by other state agencies
and financial partners working in cooperation
with the commissioner of finance to comply
with the ARRA transparency requirements,
including local units of government,
higher education institutions, and nonprofit
organizations. This appropriation must not
be used to support the costs of administering
specific programs funded by the ARRA. This
is a onetime appropriation and is available
until June 30, 2011.
new text end

Sec. 4. new text beginSTATE AUDITOR
new text end

new text begin $
new text end
new text begin 384,000
new text end

new text begin Federal Stimulus Money Reporting and
Oversight
new text end

new text begin This appropriation is to provide temporary
funding for staff, computers, and other
operating expenses necessary to conduct
special investigations and other oversight
related to ensuring compliance with the
reporting, monitoring, and financial control
and transparency requirements of the
American Recovery and Reinvestment
Act (ARRA) of 2009. This is a onetime
appropriation and is available until June 30,
2011.
new text end

Sec. 5. new text beginLOCAL SHARE PAYMENT MODIFICATION REQUIRED FOR ARRA
COMPLIANCE.
new text end

new text begin Effective retroactively from October 1, 2008, through June 30, 2009, the state shall
reduce Hennepin County's monthly contribution to the nonfederal share of medical
assistance costs to the percentage required on September 1, 2008, to meet federal
requirements for enhanced federal match under the American Reinvestment and Recovery
Act of 2009. Notwithstanding the requirements of Minnesota Statutes 2008, section
256B.19, subdivision 1c, paragraph (d), for the period beginning October 1, 2008, to
June 30, 2009, Hennepin County's monthly payment under that provision is reduced to
$434,688.
new text end

Sec. 6. new text beginCAPITATION PAYMENTS.
new text end

new text begin Effective retroactively from October 1, 2008, through December 31, 2010,
and notwithstanding the requirements of Minnesota Statutes 2008, section 256B.19,
subdivision 1c, paragraph (c), the commissioner of human services shall increase
capitation payments made to the Metropolitan Health Plan under Minnesota Statutes 2008,
section 256B.69, by $6,800,000. The increased amount includes federal matching funds.
new text end

Sec. 7. new text beginCOUNTY CD SHARE OF MA COSTS FOR ARRA COMPLIANCE.
new text end

new text begin Notwithstanding the provisions of Minnesota Statutes 2008, chapter 254B, for
chemical dependency services provided during the period October 1, 2008, to June
30, 2009, and reimbursed by medical assistance at the enhanced federal matching rate
provided under the American Recovery and Reinvestment Act of 2009, the county share is
30 percent of the nonfederal share.
new text end

Sec. 8. new text beginDEER RIVER SCHOOL CLOSING.
new text end

new text begin Independent School District No. 317, Deer River, is eligible for sparsity revenue
calculated under Minnesota Statutes, section 126C.10, subdivision 8a, for fiscal years
2010 and later if the board has adopted the required written resolution at any time prior
to the start of the 2009-2010 school year.
new text end

Sec. 9.

Laws 2009, chapter 95, article 1, section 1, is amended to read:


Section 1. SUMMARY OF APPROPRIATIONS.

Subdivision 1.

Summary By Fund.

The amounts shown in this subdivision
summarize direct appropriations, by fund, made in this article.

SUMMARY BY FUND
2010
2011
Total
General
$
deleted text begin 1,426,422,000
deleted text end new text begin 1,426,639,000
new text end
$
deleted text begin 1,532,467,000
deleted text end new text begin 1,532,170,000
new text end
$
2,958,889,000
Health Care Access
2,157,000
2,157,000
4,314,000
Federal
137,943,000
0
137,943,000
State Government Special
Revenue
93,000
17,000
110,000
Total
$
deleted text begin 1,566,615,000 deleted text end new text begin
1,566,832,000
new text end
$
deleted text begin 1,534,641,000 deleted text end new text begin
1,534,344,000
new text end
$
3,101,256,000

Subd. 2.

Summary By Agency - All Funds.

The amounts shown in this subdivision
summarize direct appropriations, by agency, made in this article.

SUMMARY BY AGENCY - ALL FUNDS
2010
2011
Total
Minnesota Office of Higher
Education
$
187,753,000
$
187,547,000
$
375,300,000
Mayo Medical Foundation
1,300,000
1,351,000
2,651,000
Board of Trustees of the
Minnesota State Colleges and
Universities
deleted text begin 677,845,000
deleted text end new text begin 678,062,000
new text end
deleted text begin 666,258,000
deleted text end new text begin 665,961,000
new text end
1,344,103,000
Board of Regents of the
University of Minnesota
699,624,000
679,468,000
1,379,092,000
Board of Dentistry
93,000
17,000
110,000
Total
$
deleted text begin 1,566,615,000 deleted text end new text begin
1,566,832,000
new text end
$
deleted text begin 1,534,641,000 deleted text end new text begin
1,534,344,000
new text end
$
3,101,256,000

Sec. 10.

Laws 2009, chapter 95, article 1, section 4, is amended to read:


Sec. 4. BOARD OF TRUSTEES OF THE
MINNESOTA STATE COLLEGES AND
UNIVERSITIES

Subdivision 1.

Total Appropriation

$
deleted text begin 677,845,000 deleted text end new text begin
678,062,000
new text end
$
deleted text begin 666,258,000 deleted text end new text begin
665,961,000
new text end
Appropriations by Fund
2010
2011
General
deleted text begin 613,952,000
deleted text end new text begin 614,169,000
new text end
deleted text begin 666,258,000
deleted text end new text begin 665,961,000
new text end
Federal
63,893,000
0

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

Subd. 2.

American Recovery and Reinvestment
Act of 2009

63,893,000
0

(a) This appropriation is from the fiscal
stabilization account in the federal fund and
may be used for modernization, renovation,
or repair of facilities that are primarily used
for instruction, research, or student housing
but may not be used for maintenance of
systems, equipment, or facilities. Amounts
in this subdivision must not be allocated
to modernization, renovation, or repair of
stadiums or other facilities primarily used
for athletic contests or exhibitions or other
events for which admission is charged to the
general public and must not be allocated to
any facility used for sectarian instruction or
religious worship or in which a substantial
portion of the functions of the facilities are
subsumed in a religious mission. No amount
from this appropriation may be allocated to
increase endowment funds.

(b) Appropriations under this subdivision
must be used as a bridge for budget
reductions in the biennium ending June 30,
2013. These appropriations may be used
for, but are not limited to the following
purposes: education and general expenses;
to retain faculty and staff jobs; to provide
severance and for early retirement incentives;
to mitigate the rising costs of attendance
through minimizing tuition increases; and
for the support of student employment
opportunities.

(c) The legislature intends that the
tuition increase for a Minnesota resident
undergraduate student in the Minnesota State
Colleges and Universities, must not exceed
five percent per year for the biennium ending
June 30, 2011. Federal stimulus money
under this subdivision must be used to buy
down the tuition increase new text beginin fiscal year 2010
new text endto no more than three percent deleted text beginper yeardeleted text end for a
net increase of deleted text beginsixdeleted text end new text begineight new text endpercent.

(d) An additional $15,273,000 is appropriated
in fiscal year 2009 from the fiscal stabilization
account in the federal fund.

Subd. 3.

Central Office and Shared Services
Unit

47,328,000
47,328,000

For the Office of the Chancellor and the
Shared Services Division.

Subd. 4.

Operations and Maintenance

deleted text begin 561,824,000
deleted text end new text begin 562,041,000
new text end
deleted text begin 614,130,000
deleted text end new text begin 613,833,000
new text end

(a) It is the intention of the legislature to
increase the amount of funding distributed
to colleges and universities through the
allocation model to provide direct support of
instruction and related functions necessary
to protect the core mission of educating
students.

(b) The Board of Trustees shall submit
expenditure reduction plans by March 15,
2010, to the committees of the legislature
with responsibility for higher education
finance to achieve the 2012-2013 base
established in this section at the central
office and at each institution. The plan
submitted by the board must be based on
plans developed at each institution detailing
reductions to achieve lower base allocations
at that institution. Each plan must focus on
protecting direct instruction.

(c) For the biennium ending June 30,
2011, expenditures under this subdivision
must not exceed $40,000,000 for
technology initiatives, including technology
infrastructure improvements.

(d) deleted text begin$40,000 each year is for the Cook
County Higher Education Board to provide
educational programs and academic support
services.
deleted text end

deleted text begin (e)deleted text end $1,000,000 each year is for the Northeast
Minnesota Higher Education District and
high schools in its area. Students from area
high schools may also access the facilities
and faculty of the Northeast Minnesota
Higher Education District for state-of-the-art
technical education opportunities, including
MnSCU's 2+2 Pathways initiative.

deleted text begin (f)deleted text end new text begin(e) new text end$225,000 each year is to enhance
eFolio Minnesota and for a center to
provide on-site and Internet-based support
and technical assistance to users of the
state's eFolio Minnesota system to promote
workforce and economic development and
to enable access to workforce information
generated through the eFolio Minnesota
system.

deleted text begin (g)deleted text end new text begin(f) new text endFor fiscal years 2012 and 2013 the
base for operations and maintenance is
$602,759,000 each year.

Subd. 5.

Learning Network of Minnesota

4,800,000
4,800,000

Subd. 6.

System Improvements

To increase efficiencies and equity for
faculty and staff, the Board of Trustees is
encouraged to place a priority on identifying
and implementing measures to improve
the human resources system used by the
Minnesota State Colleges and Universities.
One of the goals of improving the human
resources system is to provide seamless
information on faculty and employees to
facilitate transfers between institutions.

Sec. 11.

Laws 2009, chapter 95, article 1, section 5, subdivision 4, is amended to read:


Subd. 4.

American Recovery and Reinvestment
Act of 2009

74,050,000
0

(a) This appropriation is from the fiscal
stabilization account in the federal fund and
may be used for modernization, renovation,
or repair of facilities that are primarily used
for instruction, research, or student housing
but may not be used for maintenance of
systems, equipment, or facilities. Amounts
in this subdivision must not be allocated
to modernization, renovation, or repair of
stadiums or other facilities primarily used
for athletic contests or exhibitions or other
events for which admission is charged to the
general public and must not be allocated to
any facility used for sectarian instruction or
religious worship or in which a substantial
portion of the functions of the facilities are
subsumed in a religious mission. No amount
from this appropriation may be allocated to
increase endowment funds.

(b) Appropriations under this subdivision
must be used as a bridge for budget
reductions in the biennium ending June 30,
2013. These appropriations may be used
for, but are not limited to the following
purposes: education and general expenses;
to retain faculty and staff jobs; to provide
severance and for early retirement incentives;
to mitigate the rising costs of attendance
through minimizing tuition increases; and
for the support of student employment
opportunities.

(c) The legislature intends that the net
tuition increase for a Minnesota resident
undergraduate student at the University of
Minnesota must not exceed $300 deleted text beginper year
for the biennium ending June 30,
deleted text endnew text begin in fiscal
year 2010 and $450 in fiscal year
new text end 2011.
Appropriations of federal stimulus money
under this subdivision must be used toward
accomplishing this goal.

(d) An additional $15,273,000 is appropriated
in fiscal year 2009 from the stabilization
account in the federal fund.

Sec. 12. new text beginEFFECTIVE DATE.
new text end

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