5th Engrossment - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am
1.1 A bill for an act 1.2 relating to state government; appropriating money for 1.3 jobs and economic development, environment, natural 1.4 resources, agriculture, criminal justice, state 1.5 government, health, and human services; modifying term 1.6 limit provisions for the rehabilitation advisory 1.7 council for the blind; modifying a match requirement 1.8 for the Judy Garland museum; exempting certain 1.9 individuals from certain unemployment insurance 1.10 additional benefits requirements; authorizing certain 1.11 school food service workers to use wage credits earned 1.12 for benefit purposes; exempting the jobs skills 1.13 partnership board from certain state contracting 1.14 requirements; modifying certain fees; providing for 1.15 the expiration of securities filings; providing for a 1.16 refund of certain excess securities fees; authorizing 1.17 the rural policy and development center board to 1.18 appoint additional members; authorizing the job skills 1.19 partnership board to make certain grants; authorizing 1.20 the Minnesota state colleges and universities board to 1.21 make certain investments; increasing certain 1.22 penalties; providing certain rights to next of kin of 1.23 a deceased employee; extending the expiration date of 1.24 the legislative electric energy task force; modifying 1.25 provisions relating to renewable energy incentive 1.26 payments; setting a goal for the department of 1.27 economic security; increasing grant limits; modifying 1.28 unemployment benefit eligibility; modifying a 1.29 dislocated worker grant provision; codifying 1.30 electrical inspection fee provisions; extending sunset 1.31 date for board of boxing; transferring boxing 1.32 regulation to the board of health; authorizing a 1.33 study; modifying unclaimed property provisions; 1.34 extending the time a grant is available; canceling 1.35 certain appropriations; reducing appropriations to the 1.36 department of commerce; modifying agricultural 1.37 licensing fees; changing certain agricultural chemical 1.38 reimbursement and ethanol producer payment provisions; 1.39 modifying provisions relating to rural finance 1.40 authority; creating the agroforestry loan program; 1.41 creating certain recreation areas; modifying natural 1.42 resources funding formulas; modifying state trail and 1.43 park provisions; modifying drainage authority funding 1.44 sources; modifying storage tank provisions; modifying 1.45 certain resource recovery facility provisions; 1.46 modifying provisions relating to state land transfers; 2.1 creating an agricultural land set-aside program; 2.2 increasing criminal penalty fines; requiring a study 2.3 on issues related to providing shelter for victims of 2.4 domestic violence; authorizing local road authorities 2.5 to provide by ordinance for designation of pedestrian 2.6 safety crossings on highways under certain 2.7 circumstances; establishing a capitol complex 2.8 oversight committee consisting of legislative and 2.9 executive agency members to plan and oversee security 2.10 in the capitol complex area; requiring the Minnesota 2.11 safety council to enhance its crosswalk safety 2.12 awareness program; authorizing the council to make 2.13 grants to local units of government for enhancing 2.14 enforcement of pedestrian safety laws; establishing a 2.15 joint domestic abuse prosecution unit to be 2.16 administered by the Ramsey county attorney's office 2.17 and St. Paul city attorney office; establishing a 2.18 grant program for peace officer education to combat 2.19 juvenile prostitution; requiring the commissioner of 2.20 public safety to develop an automobile theft 2.21 prevention program; requiring the commissioner of 2.22 corrections to develop a uniform method to calculate 2.23 per diem cost of incarcerating offenders at state 2.24 adult correctional facilities; adopting a formula that 2.25 requires counties and the state to share costs of 2.26 confinement at Minnesota correctional facility-Red 2.27 Wing; authorizing the commissioner of corrections to 2.28 make juvenile residential treatment grants; requiring 2.29 placement of juveniles at Red Wing if admission 2.30 criteria are met unless the court finds the safety of 2.31 the child or community can best be met in an 2.32 out-of-state facility; requiring mandatory commitment 2.33 to the commissioner of corrections of certain 2.34 juveniles who have refused or failed to complete sex 2.35 offender or chemical treatment programs; authorizing 2.36 conveyance of state land for regional jail programs; 2.37 modifying provisions relating to state government 2.38 operations; reducing the Minnesota comprehensive 2.39 health association's operating deficit assessment; 2.40 allowing a hospital construction project in Beltrami 2.41 county; allowing exceptions to the nursing home 2.42 moratorium; removing the reimbursement prohibition for 2.43 marriage and family therapists under medical 2.44 assistance; expanding the senior drug program; 2.45 requiring information on prescription drug patient 2.46 assistance; changing long-term care provisions; 2.47 increasing rates for nursing facilities and other 2.48 providers; changing provisions governing public 2.49 assistance programs; providing for immigration status 2.50 verification and requiring a report to the Immigration 2.51 and Naturalization Service on undocumented aliens; 2.52 making changes to the distribution and treatment of 2.53 child support in public assistance programs; 2.54 establishing a local interventions for 2.55 self-sufficiency grant program; establishing a 2.56 supportive housing pilot project; establishing a 2.57 nontraditional career assistance and training program; 2.58 establishing an at-risk youth out-of-wedlock pregnancy 2.59 prevention program; extending public assistance 2.60 eligibility for certain groups; authorizing county 2.61 pilot projects for families on public assistance; 2.62 making technical corrections; amending Minnesota 2.63 Statutes 1998, sections 16A.11, subdivision 3; 2.64 16A.126, subdivision 2; 16B.052; 16B.48, subdivision 2.65 4; 16B.485; 16C.05, subdivision 3; 16E.04, by adding a 2.66 subdivision; 17.4988, subdivision 2; 17A.03, 2.67 subdivision 5; 18E.04, subdivision 4; 41A.09, 2.68 subdivision 3a; 41B.03, subdivisions 1 and 2; 41B.039, 2.69 subdivision 2; 41B.04, subdivision 8; 41B.042, 2.70 subdivision 4; 41B.043, subdivision 2; 41B.045, 2.71 subdivision 2; 60H.03, by adding a subdivision; 3.1 80A.122, by adding a subdivision; 80A.28, subdivision 3.2 1; 85.015, by adding a subdivision; 85.34, subdivision 3.3 1, and by adding subdivisions; 97A.055, subdivision 2; 3.4 103E.011, by adding a subdivision; 116L.04, 3.5 subdivision 1; 125A.74, subdivisions 1 and 2; 144.551, 3.6 subdivision 1; 144A.071, subdivision 4a, and by adding 3.7 a subdivision; 148B.32, subdivision 1; 168A.40, 3.8 subdivisions 3 and 4; 169.21, subdivisions 2 and 3; 3.9 169.89, subdivision 2; 181A.12, subdivision 1; 3.10 182.661, subdivision 1; 182.666, subdivision 2, and by 3.11 adding a subdivision; 216C.41, subdivision 3; 242.41; 3.12 242.43; 242.44; 252.28, by adding a subdivision; 3.13 256.01, by adding a subdivision; 256.741, by adding a 3.14 subdivision; 256.955, subdivisions 1, 2, and by adding 3.15 subdivisions; 256.9751; 256B.0625, by adding a 3.16 subdivision; 256B.431, by adding subdivisions; 3.17 256B.434, by adding a subdivision; 256B.501, by adding 3.18 a subdivision; 256B.69, subdivision 5d; 256J.32, by 3.19 adding a subdivision; 256J.45, subdivision 3; 256J.47, 3.20 subdivision 1; 256J.49, subdivision 13; 256J.50, 3.21 subdivisions 5 and 7; 256L.05, subdivision 5; 268.362, 3.22 subdivision 2; 297A.44, subdivision 1; 345.31, by 3.23 adding a subdivision; 345.39, subdivision 1; 383B.235, 3.24 by adding a subdivision; 422A.101, subdivision 3; 3.25 609.02, subdivisions 3 and 4a; 609.03; 609.033; 3.26 609.0331; 609.0332, subdivision 1; and 609.034; 3.27 Minnesota Statutes 1999 Supplement, sections 16A.103, 3.28 subdivision 1; 16A.129, subdivision 3; 62J.535, 3.29 subdivision 2; 116.073, subdivision 1; 116J.421, 3.30 subdivision 2; 119B.011, subdivision 15; 144.395, by 3.31 adding a subdivision; 144.396, subdivisions 11 and 12; 3.32 242.192; 256.01, subdivision 2; 256.019; 256.955, 3.33 subdivisions 4, 8, and 9; 256B.057, subdivision 3; 3.34 256B.0916, subdivision 1; 256B.094, subdivision 6; 3.35 256B.431, subdivisions 17 and 28; 256B.69, 3.36 subdivisions 5b and 5c; 256D.03, subdivision 4; 3.37 256D.053, subdivision 1; 256J.08, subdivision 86; 3.38 256J.21, subdivision 2; 256J.33, subdivision 4; 3.39 256J.34, subdivisions 1 and 4; 256J.37, subdivision 9; 3.40 256J.52, subdivisions 3 and 5; 256J.56; 268.085, 3.41 subdivision 4; 268.98, subdivision 3; and 326.105; 3.42 Laws 1997, chapter 200, article 1, section 5, 3.43 subdivision 3; chapter 203, article 9, section 21, as 3.44 amended; chapter 225, article 4, section 4, as 3.45 amended; Laws 1998, chapter 389, article 16, section 3.46 31, subdivision 2, as amended; chapter 404, section 7, 3.47 subdivision 23, as amended; Laws 1999, chapter 216, 3.48 article 1, sections 7, subdivision 6; 9; 14; and 18; 3.49 chapter 223, article 1, section 6, subdivision 1; 3.50 article 2, section 81, as amended; chapter 231, 3.51 sections 2, subdivision 2; 6, as amended; 11, 3.52 subdivision 3; and 14; chapter 245, article 1, section 3.53 2, subdivisions 5 and 8; article 4, section 121; and 3.54 article 10, section 10; and chapter 250, article 1, 3.55 sections 11; 12, subdivision 8; 14, subdivision 3; and 3.56 18; proposing coding for new law in Minnesota 3.57 Statutes, chapters 16A; 41B; 116L; 136F; 144; 169; 3.58 182; 241; 242; 256J; 256K; 260B; 268; 299A; 299E; 326; 3.59 and 345; repealing Minnesota Statutes 1998, section 3.60 168A.40, subdivision 1; Minnesota Statutes 1999 3.61 Supplement, sections 144.396, subdivision 13; and 3.62 168A.40, subdivision 2; Laws 1997, chapter 203, 3.63 article 7, section 27; and Laws 1999, chapter 250, 3.64 article 1, section 15, subdivision 4; and Minnesota 3.65 Rules, part 3800.3810. 3.66 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 3.67 ARTICLE 1 3.68 JOBS AND ECONOMIC DEVELOPMENT APPROPRIATIONS 4.1 Section 1. [ECONOMIC DEVELOPMENT; APPROPRIATIONS.] 4.2 The sums shown in the columns marked "APPROPRIATIONS" are 4.3 appropriated from the general fund, or another named fund, to 4.4 the agencies and for the purposes specified in this article, to 4.5 be available for the fiscal years indicated for each purpose. 4.6 The figures "2000" and "2001," where used in this article, mean 4.7 that the appropriation or appropriations listed under them are 4.8 available for the year ending June 30, 2000, or June 30, 2001, 4.9 respectively. The term "first year" means the fiscal year 4.10 ending June 30, 2000, and "second year" means the fiscal year 4.11 ending June 30, 2001. 4.12 SUMMARY BY FUND 4.13 2000 2001 TOTAL 4.14 General $ 737,000 $ 3,476,000 $ 4,213,000 4.15 TANF -0- 500,000 500,000 4.16 Workforce Development 4.17 Fund -0- 1,827,000 1,827,000 4.18 Workers' Compensation 4.19 Fund -0- 90,000 90,000 4.20 TOTAL $ 737,000 $5,893,000 $6,630,000 4.21 APPROPRIATIONS 4.22 Available for the Year 4.23 Ending June 30 4.24 2000 2001 4.25 Sec. 2. TRADE AND ECONOMIC 4.26 DEVELOPMENT -0- 2,771,000 4.27 This appropriation is for the purposes 4.28 stated in this section, and is added to 4.29 the appropriation in Laws 1999, chapter 4.30 223, article 1, section 2. 4.31 (a) Labor Force Assessments 4.32 -0- 750,000 4.33 This appropriation is for grants to 4.34 local or regional economic development 4.35 agencies to support the development and 4.36 use of labor force assessments that 4.37 will allow the agencies to recognize 4.38 areas in which the skill sets or 4.39 education of the available workforce 4.40 are underused. Projects are eligible 4.41 for grants of up to 60 percent of the 4.42 total project costs. The commissioner 4.43 shall develop criteria for these grants 4.44 that will maximize their effectiveness 4.45 in assisting local economic development 4.46 efforts. The criteria shall give a 4.47 preference to projects that have the 4.48 support and involvement of multiple 5.1 economic development agencies across a 5.2 geographic region where appropriate, 5.3 provided that the size of the area 5.4 covered by a project does not interfere 5.5 with the usefulness of the information 5.6 generated. This is a one-time 5.7 appropriation and is not added to the 5.8 agency's budget base. 5.9 (b) Catalyst Grants 5.10 -0- 1,000,000 5.11 This appropriation is for catalyst 5.12 grants to local governments and 5.13 recognized Indian tribal governments to 5.14 expand Internet access in areas of 5.15 rural Minnesota that are otherwise 5.16 unlikely to receive access through 5.17 existing technology. Catalyst grants 5.18 are for capital expenditures related to 5.19 providing Internet access to residences 5.20 and businesses using either traditional 5.21 fiber optic cable or wireless 5.22 technology. Eligible capital 5.23 expenditures include equipment and 5.24 construction costs, but do not include 5.25 the costs of planning, engineering, or 5.26 preliminary design. The commissioner 5.27 shall award catalyst grants according 5.28 to a competitive grant process and 5.29 shall create criteria for the award of 5.30 grants. These criteria shall include a 5.31 preference for projects that will 5.32 provide both business and residential 5.33 Internet access, provided that a 5.34 project is presumed to provide business 5.35 access only if it will enable access of 5.36 at least 512 kilobytes per second. The 5.37 maximum catalyst grant for any project 5.38 is $250,000 or 25 percent of the 5.39 eligible capital expenditures, 5.40 whichever is less. This is a one-time 5.41 appropriation and is not added to the 5.42 agency's budget base. 5.43 (c) Tourism Loan Account 5.44 -0- 1,021,000 5.45 This appropriation is for transfer to 5.46 the tourism loan account established 5.47 under Minnesota Statutes, section 5.48 116J.617, subdivision 5, for the 5.49 tourism loan program under Minnesota 5.50 Statutes, section 116J.617. This is a 5.51 one-time appropriation and shall be 5.52 targeted to northern Minnesota. 5.53 (d) Cancellation 5.54 Of the unspent and unencumbered 5.55 portions of the appropriations in Laws 5.56 1997, chapter 200, article 1, section 5.57 2, subdivision 2, for the pathways 5.58 program under Minnesota Statutes, 5.59 section 116L.04, subdivision 1a, 5.60 $800,000 is canceled and returned to 5.61 the general fund. 5.62 EFFECTIVE DATE: This paragraph is effective the day 6.1 following final enactment. 6.2 Sec. 3. MINNESOTA TECHNOLOGY -0- 200,000 6.3 This appropriation is for the 6.4 e-Business Institute. This is a 6.5 one-time appropriation and is not added 6.6 to the agency's budget base. 6.7 Sec. 4. HOUSING FINANCE AGENCY -0- 500,000 6.8 This appropriation is for the family 6.9 homeless prevention and assistance 6.10 program under Minnesota Statutes, 6.11 section 462A.204, and is available 6.12 until June 30, 2001. This 6.13 appropriation is from the state's 6.14 federal TANF block grant under title I 6.15 of Public Law Number 104-193 to the 6.16 commissioner of human services, to 6.17 reimburse the housing development fund 6.18 for assistance under this program for 6.19 families receiving TANF assistance 6.20 under the MFIP program. The 6.21 commissioner of human services shall 6.22 make quarterly reimbursements to the 6.23 housing development fund. The 6.24 commissioner of human services shall 6.25 not make any reimbursement which the 6.26 commissioner determines would be 6.27 subject to a penalty under Code of 6.28 Federal Regulations, section 262.1. 6.29 This is a one-time appropriation. 6.30 Sec. 5. BOARD OF ARCHITECTURE, 6.31 ENGINEERING, LAND SURVEYING, LANDSCAPE 6.32 LANDSCAPE ARCHITECTURE, AND 6.33 INTERIOR DESIGN -0- 130,000 6.34 This appropriation is for enforcement 6.35 activities of the board. 6.36 Sec. 6. BOARD OF BOXING -0- 65,000 6.37 This amount is added to the 6.38 appropriation in Laws 1999, chapter 6.39 223, article 1, section 10. 6.40 Sec. 7. DEPARTMENT OF ECONOMIC 6.41 SECURITY 1,037,000 1,977,000 6.42 (a) Youthbuild 6.43 Of this amount, $200,000 in the first 6.44 year is a one-time appropriation for 6.45 grants to existing Youthbuild programs 6.46 that have experienced a loss of federal 6.47 funds and are unable to fulfill their 6.48 missions under Minnesota Statutes, 6.49 sections 268.361 to 268.366. 6.50 (b) Alien Labor Certification 6.51 Of this amount, $150,000 the second 6.52 year is a one-time appropriation for 6.53 alien labor certification, and is 6.54 available as matching funds are 6.55 provided on at least a 6.56 dollar-for-dollar basis from nonstate 6.57 sources. 7.1 (c) Displaced Homemaker Programs 7.2 Of this amount, $1,827,000 the second 7.3 year is an appropriation from the 7.4 workforce development fund for 7.5 displaced homemaker programs under 7.6 Minnesota Statutes, section 268.96. 7.7 The general fund appropriation of 7.8 $1,827,000 for displaced homemaker 7.9 programs in fiscal year 2001 in Laws 7.10 1999, chapter 223, article 1, section 7.11 4, subdivision 4, is canceled and 7.12 returned to the general fund. The 7.13 services, locations, and operations of 7.14 the displaced homemaker programs shall 7.15 not be changed because of the change of 7.16 appropriation fund source by this 7.17 paragraph. The workforce development 7.18 fund shall be the ongoing funding 7.19 source for displaced homemaker programs 7.20 under Minnesota Statutes, section 7.21 268.96. 7.22 (d) Summer Youth Employment 7.23 $837,000 in the first year is for 7.24 summer youth employment programs. This 7.25 is a one-time appropriation and is not 7.26 added to the agency's budget base. 7.27 This appropriation is available 7.28 immediately. 7.29 Sec. 8. Laws 1997, chapter 200, article 1, section 5, 7.30 subdivision 3, is amended to read: 7.31 Subd. 3. State Services for the Blind 7.32 3,735,000 3,816,000 7.33 This appropriation may be supplemented 7.34 by funds provided by the Friends of the 7.35 Communication Center, for support of 7.36 Services for the Blind's Communication 7.37 Center, which serves all blind and 7.38 visually handicapped Minnesotans. The 7.39 commissioner shall report to the 7.40 legislature on a biennial basis the 7.41 funds provided by the Friends of the 7.42 Communication Center. 7.43 The commissioner may not require 7.44 employees to participate in intensive 7.45 blindness sensitivity training in which 7.46 the employees are blindfolded or 7.47 otherwise simulate blindness, unless 7.48 the employee is a manager or counselor; 7.49 except that the commissioner may 7.50 require the training for up to 14 7.51 employees who are not managers or 7.52 counselors but have direct contact with 7.53 blind clients seeking services, and up 7.54 to four employees at the store located 7.55 at the state services for the blind. 7.56 A person may not serve more than
a7.57 total ofsix consecutive years as a 7.58 member of the rehabilitation advisory 7.59 council for the blind or its 7.60 predecessor, the council for the 7.61 blind. Service prior to the effective8.1 date of this section is included in the8.2 six-year limit, except that a person8.3 currently serving on the rehabilitation8.4 advisory council for the blind may8.5 serve out the person's current term and8.6 serve one additional termAfter six 8.7 consecutive years of service, a person 8.8 may not be reappointed to the council 8.9 until a period of one year has elapsed. 8.10 Sec. 9. Laws 1999, chapter 223, article 1, section 6, 8.11 subdivision 1, is amended to read 8.12 Subdivision 1. Total 8.13 Appropriation 18,927,000 17,460,0008.14 18,627,000 16,760,000 8.15 Summary by Fund 8.16 General 17,245,000 15,831,0008.17 16,945,000 15,131,000 8.18 Petro Cleanup 1,015,000 1,045,000 8.19 Workers' 8.20 Compensation 567,000 584,000 8.21 Special Revenue 100,000 -0- 8.22 The amounts that may be spent from this 8.23 appropriation for each program are 8.24 specified in the following 8.25 subdivisions, except that with respect 8.26 to general fund appropriations, the 8.27 commissioner must reduce the amounts 8.28 spent from the amounts specified by a 8.29 total of $300,000 in the first year and 8.30 $700,000 in the second year. The 8.31 general fund base for the department 8.32 shall be $14,853,000 in fiscal year 8.33 2002 and $14,877,000 in fiscal year 8.34 2003. 8.35 EFFECTIVE DATE: This section is effective the day 8.36 following final enactment. 8.37 Sec. 10. MINNESOTA HISTORICAL 8.38 SOCIETY -0- 850,000 8.39 $850,000 in the second year is for 8.40 salary adjustments. 8.41 Sec. 11. DEPARTMENT OF 8.42 FINANCE -0- 10,000 8.43 This appropriation is for up to $10,000 8.44 for the commissioner of finance to 8.45 consult with the commissioner of 8.46 employee relations and the Minnesota 8.47 Historical Society to consider the 8.48 causes of ongoing shortfalls in the 8.49 salary and benefit accounts at the 8.50 Minnesota Historical Society, and to 8.51 compare the salaries and benefits at 8.52 agencies in other states that have 8.53 comparable missions. The commissioner 8.54 shall report findings, including 8.55 recommendations, to the legislature by 8.56 December 31, 2000. This is a one-time 8.57 appropriation and is not added to the 9.1 agency's budget base. 9.2 Sec. 12. DEPARTMENT OF LABOR 9.3 AND INDUSTRY -0- 90,000 9.4 This appropriation is from the workers' 9.5 compensation fund for the workplace 9.6 services division to administer article 9.7 2, sections 11 to 14. This amount is 9.8 added to the appropriation in Laws 9.9 1999, chapter 223, article 1, section 9.10 11, subdivision 3. 9.11 Sec. 13. [JUDY GARLAND MUSEUM.] 9.12 Notwithstanding Laws 1997, chapter 200, article 1, section 9.13 2, subdivision 2, the match required for the appropriation for 9.14 an agreement under that law with the Judy Garland Children's 9.15 Museum and the department of trade and economic development is 9.16 an equal match of $200,000. 9.17 Sec. 14. [UPPER RED LAKE BUSINESS LOAN PROGRAM.] 9.18 The appropriation to the commissioner of trade and economic 9.19 development in Laws 1999, chapter 223, article 1, section 2, 9.20 subdivision 4, for the Upper Red Lake business loan program is 9.21 available until January 31, 2001, and applications for grants 9.22 under that program may be accepted until that date. 9.23 EFFECTIVE DATE: This section is effective the day 9.24 following final enactment. 9.25 Sec. 15. [ADVANTAGE MINNESOTA.] 9.26 The appropriation to the commissioner of trade and economic 9.27 development in Laws 1999, chapter 223, article 1, section 2, 9.28 subdivision 2, for a grant to Advantage Minnesota is available 9.29 and may be matched until June 30, 2001. 9.30 EFFECTIVE DATE: This section is effective the day following 9.31 final enactment. 9.32 Sec. 16. [JOBS SKILLS PARTNERSHIP BOARD.] 9.33 (a) The appropriation by Laws 1999, chapter 223, article 1, 9.34 section 2, subdivision 2, to the department of trade and 9.35 economic development from the workforce development fund for the 9.36 jobs skills partnership board for the pathways program does not 9.37 cancel and is available until expended. If the appropriation 9.38 for either year is insufficient, the appropriation for the other 9.39 year is available. 10.1 (b) The appropriation by Laws 1999, chapter 223, article 1, 10.2 section 2, subdivision 2, to the department of trade and 10.3 economic development from the state's federal TANF block grant 10.4 under Title 1 of Public Law Number 104-193 to the commissioner 10.5 of human services, to be transferred to the commissioner of 10.6 trade and economic development for the pathways program under 10.7 Minnesota Statutes, section 116L.04, subdivision 1a, does not 10.8 cancel and is available until expended. If the appropriation 10.9 for either year is insufficient, the appropriation for the other 10.10 year is available. 10.11 (c) The appropriation by Laws 1999, chapter 245, article 1, 10.12 section 2, subdivision 10, to the commissioner of health and 10.13 human services from the state's federal TANF block grant under 10.14 Title 1 of Public Law Number 104-193, to increase employment and 10.15 training services grants for MFIP of which $750,000 is to be 10.16 transferred to the jobs skills partnership board for the health 10.17 care and human services worker training and retention program, 10.18 does not cancel and is available until expended. If the 10.19 appropriation for either year is insufficient, the appropriation 10.20 for the other year is available. 10.21 Sec. 17. [WORKFORCE CENTER LOCATIONS.] 10.22 The commissioner of the department of administration shall 10.23 assist the commissioner of economic security and the board of 10.24 trustees of the Minnesota state colleges and universities system 10.25 to develop and report to the legislature by January 15, 2001, on 10.26 a ten-year plan for the possible location of workforce centers 10.27 or affiliate locations on Minnesota college and university 10.28 campuses where appropriate. 10.29 The plan must identify space requirements, current 10.30 workforce center lease expiration dates, and the campuses that 10.31 can immediately accommodate workforce centers, and recommend 10.32 timelines for colocating workforce centers with Minnesota state 10.33 colleges and universities system facilities. 10.34 If additional space would be required to accommodate the 10.35 workforce center, the plan must outline alternative capital 10.36 financing mechanisms, including private build-lease. 11.1 EFFECTIVE DATE: This section is effective the day 11.2 following final enactment. 11.3 Sec. 18. [UNEMPLOYMENT INSURANCE; FOOD SERVICES.] 11.4 Notwithstanding the provisions of Minnesota Statutes, 11.5 section 268.085, subdivision 8, wage credits from an employer 11.6 are not subject to the provisions of Minnesota Statutes, section 11.7 268.085, subdivision 7, if those wage credits were earned during 11.8 the school year by an employee of a private employer performing 11.9 work pursuant to a contract between the employer and an 11.10 elementary or secondary school and the employment was related to 11.11 food services provided to the school by the employer. This 11.12 section expires December 31, 2001. 11.13 Sec. 19. [EXEMPTION FROM ADDITIONAL BENEFITS REQUIREMENTS; 11.14 HENNEPIN PAPER.] 11.15 Notwithstanding Minnesota Statutes, section 268.125, an 11.16 applicant is eligible to receive additional benefits for any 11.17 week under Minnesota Statutes, section 268.125, if: 11.18 (1) the applicant was laid off due to lack of work from the 11.19 Hennepin Paper Company in Morrison county; 11.20 (2) the applicant is a member of a group certified on May 11.21 4, 1999, under the North American Free Trade Agreement or the 11.22 Trade Adjustment Act as having been impacted by foreign imports; 11.23 (3) the applicant has exhausted all rights to regular 11.24 benefits under Minnesota Statutes, section 268.07, and does not 11.25 qualify for a new benefit account under Minnesota Statutes, 11.26 section 268.07, and is not entitled to receive unemployment 11.27 benefits under any other state or federal law; 11.28 (4) the applicant is presently attending training or is on 11.29 vacation from training pursuant to the North American Free Trade 11.30 Agreement or the Trade Adjustment Act; 11.31 (5) the applicant has filed a continued request for 11.32 benefits under Minnesota Statutes, section 268.086, for the 11.33 week; 11.34 (6) a majority of the applicant's wage credits were from 11.35 the Hennepin Paper Company; 11.36 (7) the applicant is not subject to a disqualification 12.1 under Minnesota Statutes, section 268.095; and 12.2 (8) the applicant meets the eligibility requirements under 12.3 Minnesota Statutes, section 268.085, except for subdivision 1, 12.4 clause (2). 12.5 The disqualification provisions under Minnesota Statutes, 12.6 section 268.095, apply to this section. 12.7 The applicant's weekly additional benefit amount shall be 12.8 the same as the applicant's weekly benefit amount under 12.9 Minnesota Statutes, section 268.07. 12.10 The maximum amount of the additional benefits available 12.11 shall be 26 times the applicant's weekly benefit amount under 12.12 Minnesota Statutes, section 268.07. 12.13 Additional benefits under this section are payable from the 12.14 fund. 12.15 This section expires January 1, 2001. 12.16 Sec. 20. [EXEMPTION FROM ADDITIONAL BENEFITS REQUIREMENTS; 12.17 EVTAC MINING.] 12.18 Notwithstanding Minnesota Statutes, section 268.125, 12.19 subdivisions 1, and 3, clauses (1) and (5), an applicant is 12.20 eligible to receive additional benefits under Minnesota 12.21 Statutes, section 268.125, effective the week following the week 12.22 in which the applicant exhausted regular benefits if: 12.23 (1) the applicant was laid off due to lack of work from the 12.24 Evtac Mining Company in St. Louis county between the months of 12.25 June and August of 1999; and 12.26 (2) the commissioner of economic security finds that the 12.27 applicant satisfies the conditions of Minnesota Statutes, 12.28 section 268.125, subdivision 3, clauses (2) to (4). 12.29 This section does not apply to any applicant who, with 12.30 respect to any period prior to September 1, 2000, receives, or 12.31 has an agreement to receive, a retirement pension financed in 12.32 whole or in part by the Evtac Mining Company. 12.33 Sec. 21. [EFFECTIVE DATE.] 12.34 Sections 19 and 20 and any appropriation and related rider 12.35 for fiscal year 2000 are effective the day following final 12.36 enactment. 13.1 ARTICLE 2 13.2 JOBS AND ECONOMIC DEVELOPMENT POLICY PROVISIONS 13.3 Section 1. Minnesota Statutes 1998, section 16C.05, 13.4 subdivision 3, is amended to read: 13.5 Subd. 3. [EXCEPTION.] The requirements of subdivision 2 do 13.6 not apply to contracts of the department of economic security 13.7 distributing state and federal funds for the purpose of 13.8 subcontracting the provision of program services to eligible 13.9 recipients. For these contracts, the commissioner of economic 13.10 security is authorized to directly enter into agency contracts 13.11 and encumber available funds. For contracts distributing state 13.12 or federal funds pursuant to the federal Economic Dislocation 13.13 and Worker Adjustment Assistance Act, United States Code, title 13.14 29, section 1651 et seq., or sections 268.9771, 268.978, 13.15 268.9781, and 268.9782, the commissioner of economic security is 13.16 authorized to directly enter into agency contracts with approval 13.17 of the workforce development council and encumber available 13.18 funds to ensure a rapid response to the needs of dislocated 13.19 workers. The commissioner of economic security shall adopt 13.20 internal procedures to administer and monitor funds distributed 13.21 under these contracts. This exception also applies to any 13.22 contracts entered into by the commissioner of children, 13.23 families, and learning and the jobs skills partnership board 13.24 that were previously entered into by the commissioner of 13.25 economic security. 13.26 Sec. 2. Minnesota Statutes 1998, section 60H.03, is 13.27 amended by adding a subdivision to read: 13.28 Subd. 4. [TERM AND FEES.] The term of a managing general 13.29 agent license issued under this section and the license fees 13.30 imposed are the same as those applicable to a licensed insurance 13.31 agent under chapter 60K. 13.32 Sec. 3. Minnesota Statutes 1998, section 80A.122, is 13.33 amended by adding a subdivision to read: 13.34 Subd. 4a. [EXPIRATION.] (a) A filing made in connection 13.35 with the securities of an open-end investment company under 13.36 subdivision 1 expires the next June 30 unless renewed. To renew 14.1 a notice filing, an issuer shall: 14.2 (1) before expiration of a current notice filing, file with 14.3 the commissioner the documents specified by the commissioner 14.4 under subdivision 1, clause (2), together with any fees required 14.5 by section 80A.28, subdivision 1, paragraph (c); and 14.6 (2) no later than September 1 following expiration, file a 14.7 sales report for the prior fiscal year with the commissioner 14.8 specifying: 14.9 (i) the registered sales; 14.10 (ii) the actual sales; and 14.11 (iii) the balance that could be sold without an additional 14.12 filing under section 80A.28, subdivision 1, paragraph (c). 14.13 (b) No portion of the unsold balance of shares indicated on 14.14 the issuer's sales report may be lawfully sold in this state in 14.15 connection with a renewed notice filing until fees have been 14.16 paid to renew the shares. 14.17 Sec. 4. Minnesota Statutes 1998, section 80A.28, 14.18 subdivision 1, is amended to read: 14.19 Subdivision 1. (a) There shall be a filing fee of $100 for 14.20 every application for registration or notice filing. There 14.21 shall be an additional fee of one-tenth of one percent of the 14.22 maximum aggregate offering price at which the securities are to 14.23 be offered in this state, and the maximum combined fees shall 14.24 not exceed $300. 14.25 (b) When an application for registration is withdrawn 14.26 before the effective date or a preeffective stop order is 14.27 entered under section 80A.13, subdivision 1, all but the $100 14.28 filing fee shall be returned. If an application to register 14.29 securities is denied, the total of all fees received shall be 14.30 retained. 14.31 (c) Where a filing is made in connection with a federal 14.32 covered security under section 18(b)(2) of the Securities Act of 14.33 1933, there is a fee of $100 for every initial filing. If the 14.34 filing is made in connection with redeemable securities issued 14.35 by an open end management company or unit investment trust, as 14.36 defined in the Investment Company Act of 1940, there is an 15.1 additional annual fee of 1/20 of one percent of the maximum 15.2 aggregate offering price at which the securities are to be 15.3 offered in this state during the notice filing period. The fee 15.4 must be paid at the time of the initial filing and thereafter in 15.5 connection with each renewal no later than July 1 of each year 15.6 and must be sufficient to cover the shares the issuer expects to 15.7 sell in this state over the next 12 months. If during a current 15.8 notice filing the issuer determines it is likely to sell shares 15.9 in excess of the shares for which fees have been paid to the 15.10 commissioner, the issuer shall submit an amended notice filing 15.11 to the commissioner under section 80A.122, subdivision 1, clause 15.12 (3), together with a fee of 1/20 of one percent of the maximum 15.13 aggregate offering price of the additional shares. Shares for 15.14 which a fee has been paid, but which have not been sold at the 15.15 time of expiration of the notice filing, may not be sold unless 15.16 an additional fee to cover the shares has been paid to the 15.17 commissioner as provided in this section and section 80A.122, 15.18 subdivision 4a. If the filing is made in connection with 15.19 redeemable securities issued by such a company or trust, there 15.20 is no maximum fee for securities filings made according to this 15.21 paragraph. If the filing is made in connection with any other 15.22 federal covered security under Section 18(b)(2) of the 15.23 Securities Act of 1933, there is an additional fee of one-tenth 15.24 of one percent of the maximum aggregate offering price at which 15.25 the securities are to be offered in this state, and the combined 15.26 fees shall not exceed $300. Beginning with fiscal year 2001 and 15.27 continuing each fiscal year thereafter, as of the last day of 15.28 each fiscal year, the commissioner shall determine the total 15.29 amount of all fees that were collected under this paragraph in 15.30 connection with any filings made for that fiscal year for 15.31 securities of an open-end investment company on behalf of a 15.32 security that is a federal covered security pursuant to section 15.33 18(b)(2) of the Securities Act of 1933. To the extent the total 15.34 fees collected by the commissioner in connection with these 15.35 filings exceed $25,000,000 in a fiscal year, the commissioner 15.36 shall refund, on a pro rata basis, to all persons who paid any 16.1 fees for that fiscal year, the amount of fees collected by the 16.2 commissioner in excess of $25,000,000. No individual refund is 16.3 required of amounts of $100 or less for a fiscal year. 16.4 Sec. 5. Minnesota Statutes 1999 Supplement, section 16.5 116J.421, subdivision 2, is amended to read: 16.6 Subd. 2. [GOVERNANCE.] The center is governed by a board 16.7 of directors appointed to six-year terms by the governor 16.8 comprised of: 16.9 (1) a representative from each of the two largest statewide 16.10 general farm organizations; 16.11 (2) a representative from a regional initiative 16.12 organization selected under section 116J.415, subdivision 3; 16.13 (3) the president of Mankato State University; 16.14 (4) a representative from the general public residing in a 16.15 town of less than 5,000 located outside of the metropolitan 16.16 area; 16.17 (5) a member of the house of representatives appointed by 16.18 the speaker of the house and a member of the senate appointed by 16.19 the subcommittee on committees of the senate committee on rules 16.20 and administration appointed for two-year terms; 16.21 (6) three representatives from business, including one 16.22 representing rural manufacturing and one rural retail and 16.23 service business; 16.24 (7) three representatives from private foundations with a 16.25 demonstrated commitment to rural issues; 16.26 (8) one representative from a rural county government; and 16.27 (9) one representative from a rural regional government. 16.28 The board shall appoint one additional member to the board 16.29 of directors who shall represent the general public. 16.30 If the board concludes at any time that the composition of 16.31 the board does not adequately reflect the ethnic and gender 16.32 diversity of rural Minnesota, the board may appoint up to four 16.33 additional members in order to better reflect this diversity. 16.34 Members appointed by the board under this paragraph shall serve 16.35 six-year terms. The board may not appoint additional members 16.36 such that the board would have a total of more than 20 members. 17.1 Sec. 6. Minnesota Statutes 1998, section 116L.04, 17.2 subdivision 1, is amended to read: 17.3 Subdivision 1. [PARTNERSHIP PROGRAM.] (a) The partnership 17.4 program may provide grants-in-aid to educational or other 17.5 nonprofit trainingeducational institutions using the following 17.6 guidelines: 17.7 (1) the educational or other nonprofit educational 17.8 institution is a provider of training within the state in either 17.9 the public or private sector; 17.10 (2) the program involves skills training that is an area of 17.11 employment need; and 17.12 (3) preference will be given to educational or other 17.13 nonprofit training institutions which serve economically 17.14 disadvantaged people, minorities, or those who are victims of 17.15 economic dislocation and to businesses located in rural areas. 17.16 (b) A single grant to any one institution shall not exceed 17.17 $400,000. 17.18 Sec. 7. [116L.16] [DISTANCE-WORK GRANTS.] 17.19 The job skills partnership board may make grants-in-aid for 17.20 distance-work projects. The purpose of the grants is to promote 17.21 distance-work projects involving technology in rural areas and 17.22 may include a consortium of organizations partnering in the 17.23 development of rural technology industry. Grants may be used to 17.24 identify and train rural workers in technology and provide rural 17.25 workers with physical connections to telecommunications 17.26 infrastructure, where necessary, in order to be self-employed or 17.27 employed from their homes or satellite offices. Grants must be 17.28 made according to Minnesota Statutes, sections 116L.02 and 17.29 116L.04, except that: 17.30 (1) the business match may include, but is not limited to, 17.31 additional management or technology staff costs; start-up 17.32 equipment costs such as telecommunications infrastructure, 17.33 additional software, or computer upgrades; consulting fees for 17.34 implementation of distance-work policies or identification and 17.35 skill assessment of potential employees; and the joint financial 17.36 contribution of two or more businesses acting as a consortium; 18.1 (2) cash or in-kind contributions by partnering 18.2 organizations may be used as a match; 18.3 (3) eligible grantees may be educational or nonprofit 18.4 educational training organizations; and 18.5 (4) grants-in-aid may be packaged with loans under 18.6 Minnesota Statutes, section 116L.06, subdivision 6. 18.7 The board shall, to the extent there are sufficient 18.8 applications, make grant awards to as many parts of the state as 18.9 possible. Subject to the requirement for geographic 18.10 distribution of grants, preference shall be given to grant 18.11 applications that provide the most cost-effective training 18.12 proposals, that provide the best prospects for high-paying jobs 18.13 with high retention rates, or that are from more economically 18.14 distressed rural areas or communities. 18.15 Grantees must meet reporting and evaluation requirements 18.16 established by the board. 18.17 Sec. 8. [136F.77] [EQUITY INVESTMENTS.] 18.18 Subdivision 1. [POWERS OF BOARD.] The board may acquire an 18.19 interest in a product or a private business entity for the 18.20 purpose of developing and providing educational materials and 18.21 related programs or services to further the mission of the 18.22 Minnesota state colleges and universities and foster the 18.23 economic growth of the state. The board may enter into joint 18.24 venture agreements with private corporations to develop 18.25 educational materials and related programs or services. Any 18.26 proceeds from the investments or ventures are appropriated to 18.27 the board. The state is not liable for any obligations or 18.28 liabilities that arise from investments under this section. The 18.29 board must report annually by September 1 to the legislature 18.30 regarding its earnings from partnerships and the disposition of 18.31 those earnings. 18.32 Subd. 2. [CONSULTATION REQUIRED.] Prior to entering into a 18.33 joint venture agreement under this section, the board shall 18.34 consult with appropriate exclusive bargaining representatives 18.35 and must address topics such as employee protections, 18.36 instructional services, information availability, and reporting 19.1 conflicts of interest. 19.2 Subd. 3. [NO ABROGATION.] Nothing in this section shall 19.3 abrogate the provisions of sections 43A.047 and 136F.581. 19.4 Sec. 9. [144.994] [PROFESSIONAL BOXING REGULATION.] 19.5 Subdivision 1. [GENERALLY.] The commissioner of health 19.6 shall regulate professional boxing matches in Minnesota. For 19.7 the purposes of this section, "professional boxing matches" 19.8 means boxing contests held in Minnesota between individuals for 19.9 financial compensation, but does not include boxing contests 19.10 regulated by an amateur sports organization. 19.11 Subd. 2. [COMPLIANCE WITH FEDERAL LAW.] The commissioner 19.12 shall act as Minnesota's state boxing commission for the 19.13 purposes of the Professional Boxing Safety Act, United States 19.14 Code, title 15, sections 6301 to 6313, and shall ensure that 19.15 safety standards, registration procedures, and other regulations 19.16 required by federal law are sufficient to protect the health and 19.17 safety of boxers. 19.18 Subd. 3. [LIMITATION.] The commissioner shall not impose 19.19 regulations substantially more stringent than necessary to 19.20 protect boxers' health and safety and to fully comply with 19.21 federal requirements. 19.22 EFFECTIVE DATE: This section is effective July 1, 2001. 19.23 Sec. 10. Minnesota Statutes 1998, section 181A.12, 19.24 subdivision 1, is amended to read: 19.25 Subdivision 1. [FINES; PENALTY.] Any employer who hinders 19.26 or delays the department or its authorized representative in the 19.27 performance of its duties under sections 181A.01 to 181A.12 or 19.28 refuses to admit the commissioner or an authorized 19.29 representative to any place of employment or refuses to make 19.30 certificates or lists available as required by sections 181A.01 19.31 to 181A.12, or otherwise violates any provisions of sections 19.32 181A.01 to 181A.12 or any rules issued pursuant thereto shall be 19.33 assessed a fine to be paid to the commissioner for deposit in 19.34 the general fund. The fine may be recovered in a civil action 19.35 in the name of the department brought in the district court of 19.36 the county where the violation is alleged to have occurred or 20.1 the district court where the commissioner has an office. Fines 20.2 are in the amounts as follows: 20.3 (a) employment of minors under the age of 14 20.4 (each employee) $ 5020.5 $ 500 20.6 (b) employment of minors under the age of 16 20.7 during school hours while school is in session 20.8 (each employee) 5020.9 500 20.10 (c) employment of minors under the age of 16 20.11 before 7:00 a.m. (each employee) 5020.12 500 20.13 (d) employment of minors under the age of 16 20.14 after 9:00 p.m. (each employee) 5020.15 500 20.16 (e) employment of a high school student under 20.17 the age of 18 in violation of section 181A.04, 20.18 subdivision 6 (each employee) 10020.19 1,000 20.20 (f) employment of minors under the age of 16 20.21 over eight hours a day (each employee) 5020.22 500 20.23 (g) employment of minors under the age of 16 20.24 over 40 hours a week (each employee) 5020.25 500 20.26 (h) employment of minors under the age of 18 20.27 in occupations hazardous or 20.28 detrimental to their well-being as defined 20.29 by rule (each employee) 10020.30 1,000 20.31 (i) employment of minors under the age of 16 20.32 in occupations hazardous or 20.33 detrimental to their well-being as defined 20.34 by rule (each employee) 10020.35 1,000 20.36 (j) minors under the age of 18 injured in 21.1 hazardous employment (each employee) 50021.2 5,000 21.3 (k) minors employed without proof of age 21.4 (each employee) 2521.5 250 21.6 An employer who refuses to make certificates or lists 21.7 available as required by sections 181A.01 to 181A.12 shall be 21.8 assessed a $500 fine. 21.9 EFFECTIVE DATE: This section is effective October 1, 2000. 21.10 Sec. 11. [182.6545] [RIGHTS OF NEXT OF KIN UPON DEATH.] 21.11 In the case of a death of an employee, the department shall 21.12 make reasonable efforts to locate the employee's next of kin and 21.13 shall mail to them copies of the following: 21.14 (1) citations and notification of penalty; 21.15 (2) notices of hearings; 21.16 (3) complaints and answers; 21.17 (4) settlement agreements; 21.18 (5) orders and decisions; and 21.19 (6) notices of appeals. 21.20 In addition, the next of kin shall have the right to 21.21 request a consultation with the department regarding citations 21.22 and notification of penalties issued as a result of the 21.23 investigation of the employee's death. For the purposes of this 21.24 section, "next of kin" refers to the nearest proper relative as 21.25 that term is defined by section 253B.03, subdivision 6, 21.26 paragraph (c). 21.27 Sec. 12. Minnesota Statutes 1998, section 182.661, 21.28 subdivision 1, is amended to read: 21.29 Subdivision 1. If, after an inspection or investigation, 21.30 the commissioner issues a citation under section 182.66, the 21.31 commissioner shall notify the employer by certified mail of the 21.32 penalty, if any, proposed to be assessed under section 182.666 21.33 and that the employer has 20 calendar days within which to file 21.34 a notice of contest and certification of service, on a form 21.35 provided by the commissioner, indicating that the employer 21.36 wishes to contest the citation, type of violation, proposed 22.1 assessment of penalty, or the period of time fixed in the 22.2 citation given for correction of violation. A copy of the 22.3 citation and the proposed assessment of penalty shall also be 22.4 mailed to the authorized employee representative andincluding, 22.5 in the case of the death of an employee, tothe next of kin if22.6 requested. If within 20 calendar days from the receipt of the 22.7 penalty notice issued by the commissioner the employer fails to 22.8 file the notice of contest, and no notice of contest is filed by 22.9 any employee or authorized representative of employees under 22.10 subdivision 3 within such time, the citation and assessment, as 22.11 proposed, shall be deemed a final order of the commissioner and 22.12 not subject to review by any court or agency. 22.13 Sec. 13. Minnesota Statutes 1998, section 182.666, 22.14 subdivision 2, is amended to read: 22.15 Subd. 2. Any employer who has received a citation for a 22.16 serious violation of its duties under section 182.653, or any 22.17 standard, rule, or order adopted under the authority of the 22.18 commissioner as provided in this chapter, shall be assessed a 22.19 fine not to exceed $7,000 for each violation. If the violation22.20 causes or contributes to the cause of the death of an employee,22.21 the employer shall be assessed a fine of up to $25,000.22.22 Sec. 14. Minnesota Statutes 1998, section 182.666, is 22.23 amended by adding a subdivision to read: 22.24 Subd. 2a. Notwithstanding any other provision of this 22.25 section, if any (1) serious, willful, or repeated violation 22.26 other than a violation of section 182.653, subdivision 2; or (2) 22.27 any failure to correct a violation pursuant to subdivision 4 22.28 causes or contributes to the death of an employee, the minimum 22.29 total nonnegotiable fine which shall be assessed for all 22.30 citations connected to the death of an employee is $50,000 if 22.31 there is a willful or repeated violation or $25,000 if there is 22.32 no willful or repeated violation. 22.33 Sec. 15. Minnesota Statutes 1998, section 216C.41, 22.34 subdivision 3, is amended to read: 22.35 Subd. 3. [ELIGIBILITY WINDOW.] Payments may be made under 22.36 this section only for electricity generated: 23.1 (a) from a qualified hydroelectric facility that is 23.2 operational and generating electricity before January 1December 23.3 31, 2001; or 23.4 (b) from a qualified wind energy conversion facility that 23.5 is operational and generating electricity before January 1, 2005. 23.6 Sec. 16. [268.028] [ALIEN LABOR CERTIFICATION; PERFORMANCE 23.7 STANDARDS.] 23.8 The department of economic security shall have as a goal to 23.9 process completed applications for certification for permanent 23.10 alien laborers within 60 days of receipt of the completed 23.11 application. 23.12 Sec. 17. Minnesota Statutes 1999 Supplement, section 23.13 268.085, subdivision 4, is amended to read: 23.14 Subd. 4. [SOCIAL SECURITY BENEFITS.] (a) Any applicant 23.15 aged 62 or over shall be required to state when filing an 23.16 application for benefits and when filing continued requests for 23.17 benefits whether the applicant is receiving, has filed for, or 23.18 intends to file for, primary social security old age or 23.19 disability benefits for any week during the benefit year. 23.20 (b) There shall be deducted from an applicant's weekly 23.21 benefit amount 50 percent of the weekly equivalent of the 23.22 primary social security old age or disability benefit the 23.23 applicant has received, has filed for, or intends to file for, 23.24 with respect to that week. 23.25 (c) Notwithstanding paragraph (b), an applicant shall be 23.26 ineligible for benefits for any week with respect to which the 23.27 applicant is receiving, has received, or has filed for primary 23.28 social security disability benefits. 23.29 This paragraph shall not apply if the Social Security 23.30 Administration approved the collecting of primary social 23.31 security disability benefits each month the applicant was 23.32 employed during the base period. 23.33 (d) Information from the Social Security Administration 23.34 shall be considered conclusive, absent specific evidence showing 23.35 that the information was erroneous. 23.36 (e) Any applicant who receives primary social security old 24.1 age or disability benefits for periods that the applicant has 24.2 been paid reemployment compensation benefits shall be considered 24.3 overpaid those reemployment compensation benefits under section 24.4 268.18, subdivision 1. 24.5 EFFECTIVE DATE: This section is effective the day 24.6 following final enactment and is retroactive to August 1, 1999. 24.7 Sec. 18. Minnesota Statutes 1998, section 268.362, 24.8 subdivision 2, is amended to read: 24.9 Subd. 2. [GRANT APPLICATIONS; AWARDS.] Interested eligible 24.10 organizations must apply to the commissioner for the grants. 24.11 The advisory committee must review the applications and provide 24.12 to the commissioner a list of recommended eligible organizations 24.13 that the advisory committee determines meet the requirements for 24.14 receiving a grant. The total grant award for any program may 24.15 not exceed $80,000$150,000 per year. In awarding grants, the 24.16 advisory committee and the commissioner must give priority to: 24.17 (1) continuing and expanding effective programs by 24.18 providing grant money to organizations that are operating or 24.19 have operated a successful program that meets the program 24.20 purposes under section 268.364; and 24.21 (2) distributing programs throughout the state through 24.22 start-up grants for programs in areas that are not served by an 24.23 existing program. 24.24 To receive a grant under this section, the eligible 24.25 organization must match the grant money with at least an equal 24.26 amount of nonstate money. The commissioner must verify that the 24.27 eligible organization has matched the grant money. Nothing in 24.28 this subdivision shall prevent an eligible organization from 24.29 applying for and receiving grants for more than one program. A 24.30 grant received by an eligible organization from the federal 24.31 Youthbuild Project under United States Code, title 42, section 24.32 5091, is nonstate money and may be used to meet the state match 24.33 requirement. State grant money awarded under this section may 24.34 be used by grantee organizations for match requirements of a 24.35 federal Youthbuild Project. 24.36 Sec. 19. Minnesota Statutes 1999 Supplement, section 25.1 268.98, subdivision 3, is amended to read: 25.2 Subd. 3. [COST LIMITATIONS.] (a) For purposes of sections 25.3 268.9781 and 268.9782, funds allocated to a grantee are subject 25.4 to the following limitations: 25.5 (1) a maximum of 15 percent for administration in a worker 25.6 adjustment services plan and ten percent in a dislocation event 25.7 services grant; 25.8 (2) a minimum of 50 percent for provision of training 25.9 assistance; 25.10 (3) no more than ten percent statewide may be allocated25.11 annuallya maximum of 15 percent may be allocated for support 25.12 services, as defined in section 268.975, subdivision 13; except, 25.13 that if the commissioner finds it essential for a specific grant 25.14 or plan the maximum that may be allocated for support services 25.15 is 20 percent; and 25.16 (4) the balance used for provision of basic readjustment 25.17 assistance. 25.18 (b) A waiver of the cost limitation on providing training 25.19 assistance may be requested. The waiver may not permit less 25.20 than 30 percent of the funds be spent on training assistance. 25.21 (c) The commissioner shall prescribe the form and manner 25.22 for submission of an application for a waiver under paragraph 25.23 (b). Criteria for granting a waiver shall be established by the 25.24 commissioner in consultation with the workforce development 25.25 council. 25.26 Sec. 20. Minnesota Statutes 1999 Supplement, section 25.27 326.105, is amended to read: 25.28 326.105 [FEES.] 25.29 The fee for licensure or renewal of licensure as an 25.30 architect, professional engineer, land surveyor, landscape 25.31 architect, or geoscience professional is $104$120 per biennium. 25.32 The fee for certification as a certified interior designer or 25.33 for renewal of the certificate is $104$120 per biennium. The 25.34 fee for an architect applying for original certification as a 25.35 certified interior designer is $50 per biennium. The initial 25.36 license or certification fee for all professions is $104$120. 26.1 The renewal fee shall be paid biennially on or before June 30 of 26.2 each even-numbered year. The renewal fee, when paid by mail, is 26.3 not timely paid unless it is postmarked on or before June 30 of 26.4 each even-numbered year. The application fee is $25 for 26.5 in-training applicants and $75 for professional license 26.6 applicants. 26.7 The fee for monitoring licensing examinations for 26.8 applicants is $25, payable by the applicant. 26.9 Sec. 21. [326.2441] [INSPECTION FEE SCHEDULE.] 26.10 Subdivision 1. [SCHEDULE.] State electrical inspection 26.11 fees shall be paid according to subdivisions 2 to 13. 26.12 Subd. 2. [FEE FOR EACH SEPARATE INSPECTION.] The minimum 26.13 fee for each separate inspection of an installation, 26.14 replacement, alteration, or repair is $20. 26.15 Subd. 3. [FEE FOR SERVICES, GENERATORS, OTHER POWER SUPPLY 26.16 SOURCES, OR FEEDERS TO SEPARATE STRUCTURES.] The inspection fee 26.17 for the installation, addition, alteration, or repair of each 26.18 service, change of service, temporary service, generator, other 26.19 power supply source, or feeder to a separate structure is: 26.20 (1) 0 ampere to and including 400 ampere capacity, $25; 26.21 (2) 401 ampere to and including 800 ampere capacity, $50; 26.22 and 26.23 (3) ampere capacity above 800, $75. 26.24 Where multiple disconnects are grouped at a single location 26.25 and are supplied by a single set of supply conductors the 26.26 cumulative rating of the overcurrent devices shall be used to 26.27 determine the supply ampere capacity. 26.28 Subd. 4. [FEE FOR CIRCUITS, FEEDERS, FEEDER TAPS, OR SETS 26.29 OF TRANSFORMER SECONDARY CONDUCTORS.] The inspection fee for the 26.30 installation, addition, alteration, or repair of each circuit, 26.31 feeder, feeder tap, or set of transformer secondary conductors, 26.32 including the equipment served, is: 26.33 (1) 0 ampere to and including 200 ampere capacity, $5; and 26.34 (2) ampere capacity above 200, $10. 26.35 Subd. 5. [LIMITATIONS TO FEES OF SUBDIVISIONS 3 AND 26.36 4.] (a) The fee for a one-family dwelling and each dwelling unit 27.1 of a two-family dwelling with a supply of up to 500 amperes 27.2 where a combination of ten or more sources of supply, feeders, 27.3 or circuits are installed, added, altered, repaired, or extended 27.4 is $80. This fee applies to each separate installation for new 27.5 dwellings and additions, alterations, or repairs to existing 27.6 dwellings and includes not more than two inspections. The fee 27.7 for additional inspections or other installations is that 27.8 specified in subdivisions 2 to 4. The installer may submit fees 27.9 for additional inspections when filing the request for 27.10 electrical inspection. 27.11 (b) The fee for each dwelling unit of a multifamily 27.12 dwelling with three to 12 dwelling units is $50 and the fee for 27.13 each additional dwelling unit is $25. These fees include only 27.14 inspection of the wiring within individual dwelling units and 27.15 the final feeder to that unit. This limitation is subject to 27.16 the following conditions: 27.17 (1) the multifamily dwelling is provided with common 27.18 service equipment and each dwelling unit is supplied by a 27.19 separate feeder. The fee for multifamily dwelling services or 27.20 other power source supplies and all other circuits is that 27.21 specified in subdivisions 2 to 4; and 27.22 (2) this limitation applies only to new installations for 27.23 multifamily dwellings where the majority of the individual 27.24 dwelling units are available for inspection during each 27.25 inspection trip. 27.26 (c) A separate request for electrical inspection form must 27.27 be filed for each dwelling unit that is supplied with an 27.28 individual set of service entrance conductors. These fees are 27.29 the one-family dwelling rate specified in paragraph (a). 27.30 Subd. 6. [ADDITIONS TO FEES OF SUBDIVISIONS 3 TO 5.] (a) 27.31 The fee for the electrical supply for each manufactured home 27.32 park lot is $25. This fee includes the service or feeder 27.33 conductors up to and including the service equipment or 27.34 disconnecting means. The fee for feeders and circuits that 27.35 extend from the service or disconnecting means is that specified 27.36 in subdivision 4. 28.1 (b) The fee for each recreational vehicle site electrical 28.2 supply equipment is $5. The fee for recreational vehicle park 28.3 services, feeders, and circuits is that specified in 28.4 subdivisions 3 and 4. 28.5 (c) The fee for each street, parking lot, or outdoor area 28.6 lighting standard is $1, and the fee for each traffic signal 28.7 standard is $5. Circuits originating within the standard or 28.8 traffic signal controller shall not be used when computing the 28.9 fee. 28.10 (d) The fee for transformers for light, heat, and power is 28.11 $10 for transformers rated up to ten kilovolt-amperes and $20 28.12 for transformers rated in excess of ten kilovolt-amperes. 28.13 (e) The fee for transformers and electronic power supplies 28.14 for electric signs and outline lighting is $5 per unit. 28.15 (f) The fee for alarm, communication, remote control, and 28.16 signaling circuits or systems, and circuits of less than 50 28.17 volts, is 50 cents for each system device or apparatus. 28.18 (g) The fee for each separate inspection of the bonding for 28.19 a swimming pool, spa, fountain, an equipotential plane for an 28.20 agricultural confinement area, or similar installation shall be 28.21 $20. Bonding conductors and connections require an inspection 28.22 before being concealed. 28.23 (h) The fee for all wiring installed on center pivot 28.24 irrigation booms is $40. 28.25 (i) The fee for retrofit modifications to existing lighting 28.26 fixtures is 25 cents per lighting fixture. 28.27 Subd. 7. [INVESTIGATION FEES: WORK WITHOUT A REQUEST FOR 28.28 ELECTRICAL INSPECTION.] (a) Whenever any work for which a 28.29 request for electrical inspection is required by the board has 28.30 begun without the request for electrical inspection form being 28.31 filed with the board, a special investigation shall be made 28.32 before a request for electrical inspection form is accepted by 28.33 the board. 28.34 (b) An investigation fee, in addition to the full fee 28.35 required by subdivisions 1 to 6, shall be paid before an 28.36 inspection is made. The investigation fee is two times the 29.1 hourly rate specified in subdivision 10 or the inspection fee 29.2 required by subdivisions 1 to 6, whichever is greater, not to 29.3 exceed $1,000. The payment of the investigation fee does not 29.4 exempt any person from compliance with all other provisions of 29.5 the board rules or statutes nor from any penalty prescribed by 29.6 law. 29.7 Subd. 8. [REINSPECTION FEE.] When reinspection is 29.8 necessary to determine whether unsafe conditions have been 29.9 corrected and the conditions are not the subject of an appeal 29.10 pending before the board or any court, a reinspection fee of $20 29.11 may be assessed in writing by the inspector. 29.12 Subd. 9. [SUPPLEMENTAL FEE.] When inspections scheduled by 29.13 the installer are preempted, obstructed, prevented, or otherwise 29.14 not able to be completed as scheduled due to circumstances 29.15 beyond the control of the inspector, a supplemental inspection 29.16 fee of $20 may be assessed in writing by the inspector. 29.17 Subd. 10. [SPECIAL INSPECTION.] For inspections not 29.18 covered in this section, or for requested special inspections or 29.19 services, the fee shall be $30 per hour, including travel time, 29.20 plus 31 cents per mile traveled, plus the reasonable cost of 29.21 equipment or material consumed. This provision is applicable to 29.22 inspection of empty conduits and other jobs as may be determined 29.23 by the board. This fee may also be assessed when installations 29.24 are not accessible by roadway and require alternate forms of 29.25 transportation. 29.26 Subd. 11. [INSPECTION OF TRANSITORY PROJECTS.] (a) For 29.27 inspection of transitory projects including, but not limited to, 29.28 festivals, fairs, carnivals, circuses, shows, production sites, 29.29 and portable road construction plants, the inspection procedures 29.30 and fees are as specified in paragraphs (b) to (i). 29.31 (b) The fee for inspection of each generator or other 29.32 source of supply is that specified in subdivision 3. A like fee 29.33 is required at each engagement or setup. 29.34 (c) In addition to the fee for generators or other sources 29.35 of supply, there must be an inspection of all installed feeders, 29.36 circuits, and equipment at each engagement or setup at the 30.1 hourly rate specified in subdivision 10, with a two-hour minimum. 30.2 (d) An owner, operator, or appointed representative of a 30.3 transitory enterprise including, but not limited to, festivals, 30.4 fairs, carnivals, circuses, production companies, shows, 30.5 portable road construction plants, and similar enterprises shall 30.6 notify the board of its itinerary or schedule and make 30.7 application for initial inspection a minimum of 14 days before 30.8 its first engagement or setup. An owner, operator, or appointed 30.9 representative of a transitory enterprise who fails to notify 30.10 the board 14 days before its first engagement or setup may be 30.11 subject to the investigation fees specified in subdivision 7. 30.12 The owner, operator, or appointed representative shall request 30.13 inspection and pay the inspection fee for each subsequent 30.14 engagement or setup at the time of the initial inspection. For 30.15 subsequent engagements or setups not listed on the itinerary or 30.16 schedule submitted to the board and where the board is not 30.17 notified at least 48 hours in advance, a charge of $100 may be 30.18 made in addition to all required fees. 30.19 (e) Amusement rides, devices, concessions, attractions, or 30.20 other units must be inspected at their first appearance of the 30.21 year. The inspection fee is $20 per unit with a supply of up to 30.22 60 amperes and $30 per unit with a supply above 60 amperes. 30.23 (f) An additional fee at the hourly rate specified in 30.24 subdivision 10 must be charged for additional time spent by each 30.25 inspector if equipment is not ready or available for inspection 30.26 at the time and date specified on the application for initial 30.27 inspection or the request for electrical inspection form. 30.28 (g) In addition to the fees specified in paragraphs (a) and 30.29 (b), a fee of two hours at the hourly rate specified in 30.30 subdivision 10 must be charged for inspections required to be 30.31 performed on Saturdays, Sundays, holidays, or after regular 30.32 business hours. 30.33 (h) The fee for reinspection of corrections or supplemental 30.34 inspections where an additional trip is necessary may be 30.35 assessed as specified in subdivision 8. 30.36 (i) The board may retain the inspection fee when an owner, 31.1 operator, or appointed representative of a transitory enterprise 31.2 fails to notify the board at least 48 hours in advance of a 31.3 scheduled inspection that is canceled. 31.4 Subd. 12. [HANDLING FEE.] The handling fee to pay the cost 31.5 of printing and handling of the form requesting an inspection is 31.6 $1. 31.7 Subd. 13. [NATIONAL ELECTRICAL CODE USED FOR 31.8 INTERPRETATION OF PROVISIONS.] For purposes of interpretation of 31.9 this section and Minnesota Rules, chapter 3800, the most 31.10 recently adopted edition of the National Electrical Code shall 31.11 be prima facie evidence of the definitions, interpretations, and 31.12 scope of words and terms used. 31.13 Sec. 22. Minnesota Statutes 1998, section 345.31, is 31.14 amended by adding a subdivision to read: 31.15 Subd. 6a. [MONEY ORDER.] "Money order" includes an express 31.16 money order and a personal money order, on which the remitter is 31.17 the purchaser. The term does not include a bank order or any 31.18 other instrument sold by a financial organization if the seller 31.19 has obtained the name and address of the payee. 31.20 EFFECTIVE DATE: This section is effective July 1, 2001. 31.21 Sec. 23. [345.321] [DORMANCY CHARGE FOR MONEY ORDERS.] 31.22 Notwithstanding any law to the contrary, a holder may 31.23 annually deduct, from a money order presumed abandoned, a charge 31.24 imposed by reason of the owner's failure to claim the property 31.25 within a specified time. The holder may deduct the charge only 31.26 if: (1) there is a valid and enforceable written contract 31.27 between the holder and the owner under which the holder may 31.28 impose the charge; (2) the holder regularly imposes the charge; 31.29 and (3) the charge is not regularly reversed or otherwise 31.30 canceled. The total amount of the deduction is limited to an 31.31 amount that is not unconscionable. 31.32 EFFECTIVE DATE: This section is effective July 1, 2001. 31.33 Sec. 24. Minnesota Statutes 1998, section 345.39, 31.34 subdivision 1, is amended to read: 31.35 Subdivision 1. [PRESUMED ABANDONMENT.] All intangible 31.36 personal property, not otherwise covered by sections 345.31 to 32.1 345.60, including any income or increment thereon, but excluding 32.2 any charges that may lawfully be withheld, that is held or owing 32.3 in this state in the ordinary course of the holder's business 32.4 and has remained unclaimed by the owner for more than three 32.5 years after it became payable or distributable is presumed 32.6 abandoned. Property covered by this section includes, but is 32.7 not limited to: (a) unclaimed worker's compensation; (b) 32.8 deposits or payments for repair or purchase of goods or 32.9 services; (c) credit checks or memos, or customer overpayments; 32.10 (d) unidentified remittances, unrefunded overcharges; (e) unpaid 32.11 claims, unpaid accounts payable or unpaid commissions; (f) 32.12 unpaid mineral proceeds, royalties or vendor checks; and (g) 32.13 credit balances, accounts receivable and miscellaneous 32.14 outstanding checks. This section does not include money orders. 32.15 "Intangible property" does not include gift certificates, gift 32.16 cards, or layaway accounts issued or maintained by any person in 32.17 the business of selling tangible property or services at retail 32.18 and such items shall not be subject to this section. 32.19 EFFECTIVE DATE: This section is effective July 1, 2001. 32.20 Sec. 25. Laws 1999, chapter 223, article 2, section 81, as 32.21 amended by Laws 1999, chapter 249, section 12, is amended to 32.22 read: 32.23 Sec. 81. [EFFECTIVE DATES.] 32.24 Section 48 is effective March 1, 2000. 32.25 Sections 59, 61, 62, 64, 65, and 79 are effective the day 32.26 following final enactment. 32.27 Section 67 is effective June 30, 1999. 32.28 Section 80, paragraph (a), is effective July 1, 1999. 32.29 Section 80, paragraphsparagraph (b) and (c), areis 32.30 effective July 1, 2000. 32.31 Section 80, paragraph (c), is effective July 1, 2001. 32.32 EFFECTIVE DATE: This section is effective the day 32.33 following final enactment. 32.34 Sec. 26. [ASSUMPTION OF RESPONSIBILITIES BY COMMISSIONER 32.35 OF HEALTH.] 32.36 The commissioner of health shall consult with appropriate 33.1 knowledgeable individuals on an ongoing basis regarding the 33.2 development and enforcement of boxing regulations. 33.3 Responsibility for the regulation of professional boxing is 33.4 transferred to the commissioner of health as of July 1, 2001, 33.5 pursuant to Minnesota Statutes, section 15.039, except that 33.6 Minnesota Statutes, section 15.039, subdivision 7, shall not 33.7 apply to this transfer of responsibilities. 33.8 EFFECTIVE DATE: This section is effective the day 33.9 following final enactment. 33.10 Sec. 27. [INFORMATION TO BE PROVIDED.] 33.11 The commissioner of labor and industry shall by September 33.12 1, 2000, complete a diligent and concerted effort to provide an 33.13 informational brochure to every employer in Minnesota who is 33.14 subject to the provisions of Minnesota Statutes, chapter 181A. 33.15 The brochure shall describe the requirements of Minnesota 33.16 Statutes, chapter 181A, shall describe the effects of section 33.17 10, and shall provide a telephone number that employers may call 33.18 for additional information regarding compliance with Minnesota 33.19 Statutes, chapter 181A. 33.20 EFFECTIVE DATE: This section is effective the day 33.21 following final enactment. 33.22 Sec. 28. [INSTRUCTION TO REVISOR.] 33.23 The revisor shall change references in Minnesota Rules from 33.24 Minnesota Rules, part 3800.3810, to Minnesota Statutes, section 33.25 326.2441. 33.26 Sec. 29. [REPEALER.] 33.27 Minnesota Rules, part 3800.3810, is repealed. 33.28 ARTICLE 3 33.29 ENVIRONMENT, NATURAL RESOURCES, AND AGRICULTURE 33.30 Section 1. [APPROPRIATIONS.] 33.31 The sums shown in the columns marked "APPROPRIATIONS" are 33.32 appropriated from the general fund, or any other fund named, to 33.33 the agencies and for the purposes specified in this article, to 33.34 be available for the fiscal years indicated for each purpose. 33.35 The figures "2000" and "2001" mean that the appropriation or 33.36 appropriations listed under them are available for the fiscal 34.1 year ending June 30, 2000, or June 30, 2001, respectively, and 34.2 if an earlier appropriation was made for that purpose for that 34.3 year, the appropriation in this article is added to it. 34.4 APPROPRIATIONS 34.5 Available for the Year 34.6 Ending June 30 34.7 2000 2001 34.8 Sec. 2. POLLUTION CONTROL AGENCY 307,000 -0- 34.9 $306,000 is to administer the 34.10 wastewater infrastructure fund. This 34.11 is a one-time appropriation and is 34.12 available until June 30, 2001. 34.13 The agency must allocate $104,000 of 34.14 the appropriation in Laws 1999, chapter 34.15 231, section 2, for WIF construction 34.16 program administration. 34.17 $1,000 is appropriated from the general 34.18 fund in fiscal year 2000 for the air 34.19 quality permitting process required to 34.20 allow an existing resource recovery 34.21 facility in Hennepin county to operate 34.22 at its maximum yearly capacity as 34.23 provided in section 30. This is a 34.24 one-time appropriation and is available 34.25 until June 30, 2001. This amount shall 34.26 be reimbursed by the applicant for the 34.27 permit. 34.28 $865,000 from the balance in the 34.29 environmental fund shall be canceled to 34.30 the general fund by June 30, 2001. 34.31 Sec. 3. BOARD OF WATER 34.32 AND SOIL RESOURCES 2,650,000 400,000 34.33 $400,000 in fiscal year 2001 is for 34.34 professional and technical services to 34.35 replace wetlands under Minnesota 34.36 Statutes, section 103G.222, subdivision 34.37 1. This is a one-time appropriation. 34.38 $2,650,000 in fiscal year 2000 is for 34.39 the purposes of sections 40 to 43. 34.40 This is a one-time appropriation and 34.41 remains available until expended. 34.42 Administrative costs may not exceed ten 34.43 percent of the appropriation. 34.44 Sec. 4. NATURAL RESOURCES 5,414,000 -0- 34.45 $3,955,000 in fiscal year 2000 is for 34.46 the settlement of legal costs incurred 34.47 by the Mille Lacs Band, St. Croix Band, 34.48 Bad River Band, Red Cliff Band, Lac du 34.49 Flambeau Band, Sokaogon Chippewa 34.50 Community, and the Lac Courte Oreilles 34.51 Band related to the 1837 Treaty 34.52 litigation. 34.53 The money necessary for the interest 34.54 payment on the settlement of legal 34.55 costs in the 1837 Treaty litigation is 34.56 appropriated in fiscal year 2000. The 34.57 amount of the interest payment shall be 35.1 determined by applying an interest 35.2 amount of $614.30 for each day 35.3 beginning December 10, 1999, through 35.4 the day of payment of the legal costs. 35.5 $1,459,000 in fiscal year 2000 is for 35.6 grants to Lake, Cook, and St. Louis 35.7 counties for emergency communications 35.8 equipment, emergency response 35.9 equipment, and emergency planning and 35.10 training to respond to a major 35.11 wildfire. Of this amount, $227,000 is 35.12 for a grant to Lake county, $430,000 is 35.13 for a grant to Cook county, and 35.14 $802,000 is for a grant to St. Louis 35.15 county. St. Louis county must use a 35.16 portion of the grant to purchase a NOAA 35.17 warning system that can be used by all 35.18 of the counties receiving grants under 35.19 this section. This appropriation is 35.20 available until June 30, 2001. 35.21 The commissioner may use up to 50 35.22 percent of a snowmobile maintenance and 35.23 grooming grant under Minnesota 35.24 Statutes, section 84.83, that was 35.25 available as of December 31, 1999, to 35.26 reimburse the intended recipient for 35.27 the actual cost of snowmobile trail 35.28 grooming equipment. The costs must be 35.29 incurred in fiscal year 2000 and 35.30 recipients seeking reimbursement under 35.31 this paragraph must provide acceptable 35.32 documentation of the costs to the 35.33 commissioner. All applications for 35.34 reimbursement under this paragraph must 35.35 be received no later than September 1, 35.36 2000. 35.37 Sec. 5. AGRICULTURE 870,000 869,000 35.38 $120,000 in fiscal year 2000 and 35.39 $374,000 in fiscal year 2001 are for 35.40 expansion of the state meat inspection 35.41 program. If the appropriation for 35.42 either year is insufficient, the 35.43 appropriation for the other year is 35.44 available. 35.45 $200,000 in fiscal year 2001 is for 35.46 grants to one or more cooperative 35.47 associations organized under Minnesota 35.48 Statutes, chapter 308A, primarily for 35.49 the purpose of facilitating the 35.50 production and marketing of short 35.51 rotation woody crops. The grants must 35.52 be matched by $1 of nonstate money for 35.53 each dollar. This is a one-time 35.54 appropriation and remains available 35.55 until expended. 35.56 $150,000 in fiscal year 2001 is for a 35.57 grant to the Center for Farm Financial 35.58 Management at the University of 35.59 Minnesota for purposes of a 35.60 comprehensive effort to develop 35.61 software and training materials to help 35.62 farmers improve their profitability 35.63 through sophisticated business 35.64 planning. The software and training 35.65 will complement existing FINPACK farm 36.1 management tools. No later than March 36.2 1, 2001, the center must report to the 36.3 agriculture policy and finance 36.4 committees of the senate and the house 36.5 of representatives on the software 36.6 development program. This is a 36.7 one-time appropriation and is available 36.8 until March 31, 2001. 36.9 $300,000 in fiscal year 2000 is to 36.10 establish an agricultural water quality 36.11 and quantity management, research, 36.12 demonstration, and education program. 36.13 Of this appropriation, $150,000 is for 36.14 projects at the Lamberton site and 36.15 $150,000 is for projects at the Waseca 36.16 site. The commissioner may contract 36.17 with the University of Minnesota or 36.18 other parties for the implementation of 36.19 parts of the program. This 36.20 appropriation is available until spent 36.21 and is a one-time appropriation. 36.22 $150,000 in fiscal year 2000 is for the 36.23 farm advocates program. This is a 36.24 one-time appropriation and is available 36.25 until June 30, 2001. 36.26 $170,000 in fiscal year 2001 is to 36.27 expand the concept of the Minnesota 36.28 grown pilot program under Laws 1998, 36.29 chapter 401, section 6. This is a 36.30 one-time appropriation. 36.31 $300,000 in fiscal year 2000 is for 36.32 grants to organizations participating 36.33 in the farm wrap network and the rural 36.34 help network. The grants may be used 36.35 for outreach services, legal and 36.36 accounting services, and informal 36.37 mediation support for farmers. This is 36.38 a one-time appropriation and is 36.39 available until June 30, 2001. 36.40 The appropriation for fiscal year 2001 36.41 in Laws 1999, chapter 231, section 11, 36.42 subdivision 2, for the dairy producers 36.43 board is canceled. 36.44 Sec. 6. BOARD OF ANIMAL HEALTH 245,000 -0- 36.45 $245,000 is for continued efforts to 36.46 control pseudorabies in swine. This 36.47 appropriation may be used to cover the 36.48 costs of pseudorabies monitoring, 36.49 vaccines, blood tests, and laboratory 36.50 fees. This is a one-time 36.51 appropriation, is in addition to the 36.52 appropriation in Laws 1999, chapter 45, 36.53 section 1, and is available until June 36.54 30, 2001. 36.55 Sec. 7. MINNESOTA RESOURCES 36.56 The availability of the appropriation 36.57 for the following project is extended 36.58 to June 30, 2002: Laws 1997, chapter 36.59 216, section 15, subdivision 4, 36.60 paragraph (c), clause (3), local 36.61 initiatives grants program. $250,000 36.62 is to provide matching funds for an 37.1 ISTEA grant and to provide acquisition 37.2 and engineering costs for a proposed 37.3 trail between the city of Pelican 37.4 Rapids and Maplewood state park. 37.5 The availability of the appropriation 37.6 for the following project is extended 37.7 to June 30, 2001: Laws 1997, chapter 37.8 216, section 15, subdivision 4, 37.9 paragraph (b), metropolitan regional 37.10 park system, for the portion related to 37.11 Hyland-Bush-Anderson Lake Park Reserve 37.12 development. 37.13 Sec. 8. Minnesota Statutes 1998, section 17.4988, 37.14 subdivision 2, is amended to read: 37.15 Subd. 2. [AQUATIC FARMING LICENSE.] (a) The annual fee for 37.16 an aquatic farming license is $275$70. 37.17 (b) The aquatic farming license may contain endorsements 37.18 for the rights and privileges of the following licenses under 37.19 the game and fish laws. The endorsement must be made upon 37.20 payment of the license fee prescribed in section 97A.475 for the 37.21 following licenses: 37.22 (1) minnow dealer license; 37.23 (2) minnow retailer license for sale of minnows as bait; 37.24 (3) minnow exporting license; 37.25 (4) aquatic farm vehicle endorsement, which includes a 37.26 minnow dealer vehicle license, a minnow retailer vehicle 37.27 license, an exporting minnow vehicle license, and a fish vendor 37.28 license; 37.29 (5) sucker egg taking license; and 37.30 (6) game fish packers license. 37.31 Sec. 9. Minnesota Statutes 1998, section 17A.03, 37.32 subdivision 5, is amended to read: 37.33 Subd. 5. [LIVESTOCK.] "Livestock" means cattle, sheep, 37.34 swine, horses intended for slaughter, mules, farmed cervidae, as 37.35 defined in section 17.451, subdivision 2, llamas, as defined in 37.36 section 17.455, subdivision 2, ratitae, as defined in section 37.37 17.453, subdivision 3, buffalo, and goats. 37.38 Sec. 10. Minnesota Statutes 1998, section 18E.04, 37.39 subdivision 4, is amended to read: 37.40 Subd. 4. [REIMBURSEMENT PAYMENTS.] (a) The board shall pay 37.41 a person that is eligible for reimbursement or payment under 38.1 subdivisions 1, 2, and 3 from the agricultural chemical response 38.2 and reimbursement account for: 38.3 (1) 90 percent of the total reasonable and necessary 38.4 corrective action costs greater than $1,000 and less than or 38.5 equal to $100,000; and38.6 (2) 100 percent of the total reasonable and necessary 38.7 corrective action costs greater than $100,000 but less than or 38.8 equal to $200,000; 38.9 (3) 80 percent of the total reasonable and necessary 38.10 corrective action costs greater than $200,000 but less than or 38.11 equal to $300,000; and 38.12 (4) 60 percent of the total reasonable and necessary 38.13 corrective action costs greater than $300,000 but less than or 38.14 equal to $350,000. 38.15 (b) A reimbursement or payment may not be made until the 38.16 board has determined that the costs are reasonable and are for a 38.17 reimbursement of the costs that were actually incurred. 38.18 (c) The board may make periodic payments or reimbursements 38.19 as corrective action costs are incurred upon receipt of invoices 38.20 for the corrective action costs. 38.21 (d) Money in the agricultural chemical response and 38.22 reimbursement account is appropriated to the commissioner to 38.23 make payments and reimbursements directed by the board under 38.24 this subdivision. 38.25 (e) The board may not make reimbursement greater than the 38.26 maximum allowed under paragraph (a) for all incidents on a 38.27 single site which: 38.28 (1) were not reported at the time of release but were 38.29 discovered and reported after July 1, 1989; and 38.30 (2) may have occurred prior to July 1, 1989, as determined 38.31 by the commissioner. 38.32 (f) The board may only reimburse an eligible person for 38.33 separate incidents within a single site if the commissioner 38.34 determines that each incident is completely separate and 38.35 distinct in respect of location within the single site or time 38.36 of occurrence. 39.1 Sec. 11. Minnesota Statutes 1998, section 41A.09, 39.2 subdivision 3a, is amended to read: 39.3 Subd. 3a. [PAYMENTS.] (a) The commissioner of agriculture 39.4 shall make cash payments to producers of ethanol, anhydrous 39.5 alcohol, and wet alcohol located in the state. These payments 39.6 shall apply only to ethanol, anhydrous alcohol, and wet alcohol 39.7 fermented in the state and produced at plants that have begun 39.8 production by June 30, 2000. For the purpose of this 39.9 subdivision, an entity that holds a controlling interest in more 39.10 than one ethanol plant is considered a single producer. The 39.11 amount of the payment for each producer's annual production is: 39.12 (1) except as provided in paragraph (b), for each gallon of 39.13 ethanol or anhydrous alcohol produced on or before June 30, 39.14 2000, or ten years after the start of production, whichever is 39.15 later, 20 cents per gallon; and 39.16 (2) for each gallon produced of wet alcohol on or before 39.17 June 30, 2000, or ten years after the start of production, 39.18 whichever is later, a payment in cents per gallon calculated by 39.19 the formula "alcohol purity in percent divided by five," and 39.20 rounded to the nearest cent per gallon, but not less than 11 39.21 cents per gallon. 39.22 The producer payments for anhydrous alcohol and wet alcohol 39.23 under this section may be paid to either the original producer 39.24 of anhydrous alcohol or wet alcohol or the secondary processor, 39.25 at the option of the original producer, but not to both. 39.26 No payments shall be made for production that occurs after 39.27 June 30, 2010. 39.28 (b) If the level of production at an ethanol plant 39.29 increases due to an increase in the production capacity of the 39.30 plant and the increased production begins by June 30, 2000, the 39.31 payment under paragraph (a), clause (1), applies to the 39.32 additional increment of production until ten years after the 39.33 increased production began. Once a plant's production capacity 39.34 reaches 15,000,000 gallons per year, no additional increment 39.35 will qualify for the payment. 39.36 (c) The commissioner shall make payments to producers of 40.1 ethanol or wet alcohol in the amount of 1.5 cents for each 40.2 kilowatt hour of electricity generated using closed-loop biomass 40.3 in a cogeneration facility at an ethanol plant located in the 40.4 state. Payments under this paragraph shall be made only for 40.5 electricity generated at cogeneration facilities that begin 40.6 operation by June 30, 2000. The payments apply to electricity 40.7 generated on or before the date ten years after the producer 40.8 first qualifies for payment under this paragraph. Total 40.9 payments under this paragraph in any fiscal year may not exceed 40.10 $750,000. For the purposes of this paragraph: 40.11 (1) "closed-loop biomass" means any organic material from a 40.12 plant that is planted for the purpose of being used to generate 40.13 electricity or for multiple purposes that include being used to 40.14 generate electricity; and 40.15 (2) "cogeneration" means the combined generation of: 40.16 (i) electrical or mechanical power; and 40.17 (ii) steam or forms of useful energy, such as heat, that 40.18 are used for industrial, commercial, heating, or cooling 40.19 purposes. 40.20 (d) Except for new production capacity approved under40.21 paragraph (i), clause (1), the totalPayments under paragraphs 40.22 (a) and (b) to all producers may not 40.23 exceed $34,000,000$37,000,000 in a fiscal year. Total payments 40.24 under paragraphs (a) and (b) to a producer in a fiscal year may 40.25 not exceed $3,000,000. 40.26 (e) By the last day of October, January, April, and July, 40.27 each producer shall file a claim for payment for ethanol, 40.28 anhydrous alcohol, and wet alcohol production during the 40.29 preceding three calendar months. A producer with more than one 40.30 plant shall file a separate claim for each plant. A producer40.31 shall file a separate claim for the original production capacity40.32 of each plant and for each additional increment of production40.33 that qualifies under paragraph (b).A producer that files a 40.34 claim under this subdivision shall include a statement of the 40.35 producer's total ethanol, anhydrous alcohol, and wet alcohol 40.36 production in Minnesota during the quarter covered by the claim, 41.1 including anhydrous alcohol and wet alcohol produced or received 41.2 from an outside source. A producer shall file a separate claim 41.3 for any amount claimed under paragraph (c). For each claim and 41.4 statement of total ethanol, anhydrous alcohol, and wet alcohol 41.5 production filed under this subdivision, the volume of ethanol, 41.6 anhydrous alcohol, and wet alcohol production or amounts of 41.7 electricity generated using closed-loop biomass must be examined 41.8 by an independent certified public accountant in accordance with 41.9 standards established by the American Institute of Certified 41.10 Public Accountants. 41.11 (f) Payments shall be made November 15, February 15, May 41.12 15, and August 15. A separate payment shall be made for each 41.13 claim filed. Except as provided in paragraph (j), the total 41.14 quarterly payment to a producer under this paragraph, excluding 41.15 amounts paid under paragraph (c), may not exceed 41.16 $750,000. Except for new production capacity approved under41.17 paragraph (i), clause (1), if the total amount for which all41.18 other producers are eligible in a quarter under paragraphs (a)41.19 and (b) exceeds $8,500,000, the commissioner shall make payments41.20 for production capacity that is subject to this restriction in41.21 the order in which the portion of production capacity covered by41.22 each claim went into production.41.23 (g) If the total amount for which all producers are 41.24 eligible in a quarter under paragraph (c) exceeds the amount 41.25 available for payments, the commissioner shall make payments in 41.26 the order in which the plants covered by the claims began 41.27 generating electricity using closed-loop biomass. 41.28 (h) After July 1, 1997, new production capacity is only 41.29 eligible for payment under this subdivision if the commissioner 41.30 receives: 41.31 (1) an application for approval of the new production 41.32 capacity; 41.33 (2) an appropriate letter of long-term financial commitment 41.34 for construction of the new production capacity; and 41.35 (3) copies of all necessary permits for construction of the 41.36 new production capacity. 42.1 The commissioner may approve new production capacity based 42.2 on the order in which the applications are received. 42.3 (i) After April 22, 1998, the commissioner may only42.4 approve: (1) up to 12,000,000 gallons of new production42.5 capacity at one plant that has not previously received approval42.6 or payment for any production capacity; or (2) new production42.7 capacity at existing plants not to exceed planned expansions42.8 reported to the commissioner by February 1997.The commissioner 42.9 may not approve any new production capacity after July 1, 1998, 42.10 except that a producer with an approved production capacity of 42.11 at least 12,000,000 gallons per year but less than 15,000,000 42.12 gallons per year prior to July 1, 1998, is approved for 42.13 15,000,000 gallons of production capacity. 42.14 (j) Notwithstanding the quarterly payment limits of 42.15 paragraph (f), the commissioner shall make an additional payment 42.16 in the eighth quarter of each fiscal biennium to ethanol 42.17 producers for the lesser of: (1) 20 cents per gallon of 42.18 production in the eighth quarter of the biennium that is greater 42.19 than 3,750,000 gallons; or (2) the total amount of payments lost 42.20 during the first seven quarters of the biennium due to plant 42.21 outages, repair, or major maintenance. Total payments to an 42.22 ethanol producer in a fiscal biennium, including any payment 42.23 under this paragraph, must not exceed the total amount the 42.24 producer is eligible to receive based on the producer's approved 42.25 production capacity. The provisions of this paragraph apply 42.26 only to production losses that occur in quarters beginning after 42.27 December 31, 1999. 42.28 (k) For the purposes of this subdivision "new production 42.29 capacity" means annual ethanol production capacity that was not 42.30 allowed under a permit issued by the pollution control agency 42.31 prior to July 1, 1997, or for which construction did not begin 42.32 prior to July 1, 1997. 42.33 Sec. 12. Minnesota Statutes 1998, section 41B.03, 42.34 subdivision 1, is amended to read: 42.35 Subdivision 1. [ELIGIBILITY GENERALLY.] To be eligible for 42.36 a program in sections 41B.01 to 41B.23: 43.1 (1) a borrower must be a resident of Minnesota or a 43.2 domestic family farm corporation, as defined in section 500.24, 43.3 subdivision 2; and 43.4 (2) the borrower or one of the borrowers must be the 43.5 principal operator of the farm or, for a prospective homestead 43.6 redemption borrower, must have at one time been the principal 43.7 operator of a farm ; and43.8 (3) the borrower must not receive assistance under sections43.9 41B.01 to 41B.23 exceeding an aggregate of $100,000 in loans43.10 during the borrower's lifetime. 43.11 Sec. 13. Minnesota Statutes 1998, section 41B.03, 43.12 subdivision 2, is amended to read: 43.13 Subd. 2. [ELIGIBILITY FOR RESTRUCTURED LOAN.] In addition 43.14 to the eligibility requirements of subdivision 1, a prospective 43.15 borrower for a restructured loan must: 43.16 (1) have received at least 50 percent of average annual 43.17 gross income from farming for the past three years or, for 43.18 homesteaded property, received at least 40 percent of average 43.19 gross income from farming in the past three years, and farming 43.20 must be the principal occupation of the borrower; 43.21 (2) have a debt-to-asset ratio equal to or greater than 50 43.22 percent and in determining this ratio, the assets must be valued 43.23 at their current market value; 43.24 (3) have projected annual expenses, including operating 43.25 expenses, family living, and interest expenses after the 43.26 restructuring, that do not exceed 95 percent of the borrower's 43.27 projected annual income considering prior production history and 43.28 projected prices for farm production, except that the authority 43.29 may reduce the 95 percent requirement if it finds that other 43.30 significant factors in the loan application support the making 43.31 of the loan; and43.32 (4) demonstrate substantial difficulty in meeting projected 43.33 annual expenses without restructuring the loan; and 43.34 (5) must have a total net worth, including assets and 43.35 liabilities of the borrower's spouse and dependents, of less 43.36 than $400,000 in 1999 and an amount in subsequent years which is 44.1 adjusted for inflation by multiplying $400,000 by the cumulative 44.2 inflation rate as determined by the United States All-Items 44.3 Consumer Price Index. 44.4 Sec. 14. Minnesota Statutes 1998, section 41B.039, 44.5 subdivision 2, is amended to read: 44.6 Subd. 2. [STATE PARTICIPATION.] The state may participate 44.7 in a new real estate loan with an eligible lender to a beginning 44.8 farmer to the extent of 45 percent of the principal amount of 44.9 the loan or $100,000$125,000, whichever is less. The interest 44.10 rates and repayment terms of the authority's participation 44.11 interest may be different than the interest rates and repayment 44.12 terms of the lender's retained portion of the loan. 44.13 Sec. 15. Minnesota Statutes 1998, section 41B.04, 44.14 subdivision 8, is amended to read: 44.15 Subd. 8. [STATE'S PARTICIPATION.] With respect to loans 44.16 that are eligible for restructuring under sections 41B.01 to 44.17 41B.23 and upon acceptance by the authority, the authority shall 44.18 enter into a participation agreement or other financial 44.19 arrangement whereby it shall participate in a restructured loan 44.20 to the extent of 45 percent of the primary principal or 44.21 $100,000$150,000, whichever is less. The authority's portion 44.22 of the loan must be protected during the authority's 44.23 participation by the first mortgage held by the eligible lender 44.24 to the extent of its participation in the loan. 44.25 Sec. 16. Minnesota Statutes 1998, section 41B.042, 44.26 subdivision 4, is amended to read: 44.27 Subd. 4. [PARTICIPATION LIMIT; INTEREST.] The authority 44.28 may participate in new seller-sponsored loans to the extent of 44.29 45 percent of the principal amount of the loan or 44.30 $100,000$125,000, whichever is less. The interest rates and 44.31 repayment terms of the authority's participation interest may be 44.32 different than the interest rates and repayment terms of the 44.33 seller's retained portion of the loan. 44.34 Sec. 17. Minnesota Statutes 1998, section 41B.043, 44.35 subdivision 2, is amended to read: 44.36 Subd. 2. [SPECIFICATIONS.] No direct loan may exceed 45.1 $35,000 or $100,000$125,000 for a loan participation or be made 45.2 to refinance an existing debt. Each direct loan and 45.3 participation must be secured by a mortgage on real property and 45.4 such other security as the authority may require. 45.5 Sec. 18. Minnesota Statutes 1998, section 41B.045, 45.6 subdivision 2, is amended to read: 45.7 Subd. 2. [LOAN PARTICIPATION.] The authority may 45.8 participate in a livestock expansion loan with an eligible 45.9 lender to a livestock farmer who meets the requirements of 45.10 section 41B.03, subdivision 1, clauses (1) and (2), and who are 45.11 actively engaged in a livestock operation. A prospective 45.12 borrower must have a total net worth, including assets and 45.13 liabilities of the borrower's spouse and dependents, of less 45.14 than $400,000 in 1999 and an amount in subsequent years which is 45.15 adjusted for inflation by multiplying $400,000 by the cumulative 45.16 inflation rate as determined by the United States All-Items 45.17 Consumer Price Index. 45.18 Participation is limited to 45 percent of the principal 45.19 amount of the loan or $250,000, whichever is less. The interest 45.20 rates and repayment terms of the authority's participation 45.21 interest may be different from the interest rates and repayment 45.22 terms of the lender's retained portion of the loan. Loans under 45.23 this program must not be included in the lifetime limitation 45.24 calculated under section 41B.03, subdivision 1. 45.25 Sec. 19. [41B.048] [AGROFORESTRY LOAN PROGRAM.] 45.26 Subdivision 1. [PURPOSE.] The purpose of the agroforestry 45.27 loan program is to provide low interest financing to farmers 45.28 during the growing period required to convert agricultural land 45.29 to agroforestry. 45.30 Subd. 2. [ESTABLISHMENT.] The authority shall establish 45.31 and implement an agroforestry loan program to help finance the 45.32 production of short rotation woody crops. The authority may 45.33 contract with a fiscal agent to provide an efficient delivery 45.34 system for this program. 45.35 Subd. 3. [RULES.] The authority may adopt rules necessary 45.36 for administration of the program established under subdivision 46.1 2. 46.2 Subd. 4. [DEFINITIONS.] (a) The definitions in this 46.3 subdivision apply to this section. 46.4 (b) "Fiscal agent" means any lending institution or other 46.5 organization of a for-profit or nonprofit nature that is in good 46.6 standing with the state of Minnesota that has the appropriate 46.7 business structure and trained personnel suitable to providing 46.8 efficient disbursement of loan funds and the servicing and 46.9 collection of loans over an extended period of time. 46.10 (c) "Growing cycle" means the number of years from planting 46.11 to harvest. 46.12 (d) "Harvest" means the day that the crop arrives at the 46.13 scale of the buyer of the crop. 46.14 (e) "Short rotation woody crops" or "crop" means hybrid 46.15 poplar and other woody plants that are harvested for their fiber 46.16 within 15 years of planting. 46.17 Subd. 5. [ELIGIBILITY.] To be eligible for this program a 46.18 borrower must: 46.19 (1) be a resident of Minnesota or any entity eligible to 46.20 own farm land under section 500.24; 46.21 (2) be or plan to become a grower of short rotation woody 46.22 crops on agricultural land that is suitable for the profitable 46.23 production of short rotation woody crops; 46.24 (3) be a member of a producer-owned cooperative that will 46.25 contract to market the short rotation woody crop to be planted 46.26 by the borrower; 46.27 (4) demonstrate an ability to repay the loan; 46.28 (5) not receive assistance under this program for more than 46.29 $150,000 in the producer's lifetime; 46.30 (6) agree to work with appropriate local, state, and 46.31 federal agencies, and the marketing cooperative, to develop an 46.32 acceptable establishment and maintenance plan; 46.33 (7) agree not to plant short-rotation woody crops within 46.34 one-quarter of a mile of state or federally protected prairie; 46.35 and 46.36 (8) meet any other requirements the authority may impose by 47.1 administrative procedure or by rule. 47.2 Subd. 6. [LOANS.] (a) The authority may disburse loans 47.3 through a fiscal agent to farmers and agricultural landowners 47.4 who are eligible under subdivision 5. The total accumulative 47.5 loan principal must not exceed $75,000 per loan. 47.6 (b) The fiscal agent may impose a loan origination fee in 47.7 the amount of one percent of the total approved loan. This fee 47.8 is to be paid by the borrower to the fiscal agent at the time of 47.9 loan closing. 47.10 (c) The loan may be disbursed over a period not to exceed 47.11 12 years. 47.12 (d) A borrower may receive loans, depending on the 47.13 availability of funds, for planted areas up to 160 acres for up 47.14 to: 47.15 (1) the total amount necessary for establishment of the 47.16 crop; 47.17 (2) the total amount of maintenance costs, including weed 47.18 control, during the first three years; and 47.19 (3) 70 percent of the estimated value of one year's growth 47.20 of the crop for years four through 12. 47.21 (e) Security for the loan must be the crop, a personal note 47.22 executed by the borrower, an interest in the land upon which the 47.23 crop is growing, and whatever other security is required by the 47.24 fiscal agent or the authority. All recording fees must be paid 47.25 by the borrower. 47.26 (f) The authority may prescribe forms and establish an 47.27 application process for applicants to apply for a loan. 47.28 (g) The authority may impose a reasonable nonrefundable 47.29 application fee for each application for a loan under this 47.30 program. The application fee is initially $50. Application 47.31 fees received by the authority must be deposited in the 47.32 agroforestry loan program revolving fund established in 47.33 subdivision 7. 47.34 (h) Loans under the program must be made using money in the 47.35 agroforestry loan program revolving fund established in 47.36 subdivision 7. 48.1 (i) The interest payable on loans made by the authority for 48.2 the agroforestry loan program must, if funded by revenue bond 48.3 proceeds, be at a rate not less than the rate on the revenue 48.4 bonds, and may be established at a higher rate necessary to pay 48.5 costs associated with the issuance of the revenue bonds and a 48.6 proportionate share of the cost of administering the program. 48.7 The interest payable on loans for the agroforestry loan program 48.8 funded from sources other than revenue bond proceeds must be at 48.9 a rate determined by the authority. 48.10 (j) Loan principal balance outstanding plus all assessed 48.11 interest must be repaid within 120 days of harvest, but no later 48.12 than 15 years from planting. 48.13 Subd. 7. [REVOLVING FUND.] There is established in the 48.14 state treasury an agroforestry loan program revolving fund that 48.15 is eligible to receive appropriations or the proceeds of bond 48.16 sales. All repayments of financial assistance granted under 48.17 subdivision 2, including principal and interest, must be 48.18 deposited into this fund. Interest earned on money in the fund 48.19 accrues to the fund, and money in the fund is appropriated to 48.20 the commissioner for purposes of the agroforestry loan program, 48.21 including costs incurred by the authority to establish and 48.22 administer the program. 48.23 Subd. 8. [REVENUE BONDS.] The authority may issue revenue 48.24 bonds to finance the agroforestry loan program in accordance 48.25 with sections 41B.08 to 41B.15, 41B.17, and 41B.18. Bonds may 48.26 be refunded by the issuance of refunding bonds in the manner 48.27 authorized by chapter 475. 48.28 Sec. 20. [BIG BOG STATE RECREATION AREA.] 48.29 Subdivision 1. [85.013] [Subd. 2c.] [BIG BOG STATE 48.30 RECREATION AREA, BELTRAMI COUNTY.] Big Bog state recreation area 48.31 is established in Beltrami county. 48.32 Subd. 2. [PURPOSE.] The Big Bog state recreation area is 48.33 created to expand and diversify regional recreational 48.34 opportunities and to enrich the cultural, biological, and 48.35 historical opportunities for visitors to an area of the state 48.36 that has suffered severe economic distress. The Big Bog 49.1 recreational area will also enhance public appreciation and 49.2 provide for the long-term protection of a unique ecosystem. 49.3 Subd. 3. [BOUNDARIES.] The following described lands are 49.4 located within the boundaries of Big Bog state recreation area, 49.5 all in Beltrami county: 49.6 (1) Government Lots 1, 2, and 3 of Section 8, Township 154 49.7 North, Range 30 West, EXCEPT a tract in Government Lot 3 49.8 beginning 100 feet North of the South boundary of Government Lot 49.9 3 on the east right-of-way line of State Trunk Highway 72; 49.10 thence northerly 200 feet along said trunk highway; thence East 49.11 to the westerly right-of-way line of old Trunk Highway 72; 49.12 thence southerly 200 feet along said right-of-way line; thence 49.13 westerly to the point of beginning; 49.14 (2) all of Sections 25, 26, and 27; the east Half, the 49.15 Northwest Quarter, and the North Half of the Southwest Quarter 49.16 of Section 34; the North Half and the Southwest Quarter of 49.17 Section 35; the North Half, the East Half of the Southwest 49.18 Quarter, the Southwest Quarter of the Southwest Quarter, the 49.19 West Half of the Southeast Quarter, and the Southeast Quarter of 49.20 the Southeast Quarter of Section 36, all in Township 156 North, 49.21 Range 31 West; and 49.22 (3) all of Sections 1 and 2; the East Half of Section 3; 49.23 the East Half, the Southeast Quarter of the Northwest Quarter, 49.24 the East Half of the Southwest Quarter, and the Southwest 49.25 Quarter of the Southwest Quarter of Section 10; and all of 49.26 Sections 11, 12, 13, 14, and 15, all in Township 155 North, 49.27 Range 31 West. 49.28 Subd. 4. [ADMINISTRATION.] The commissioner of natural 49.29 resources shall administer the area according to Minnesota 49.30 Statutes, section 86A.05, subdivision 3, subject to existing 49.31 rules and regulations for state recreation areas. 49.32 Subd. 5. [CONTINUED LEASE OF LAND IN BIG BOG STATE 49.33 RECREATION AREA.] Notwithstanding Minnesota Statutes, sections 49.34 85.011, 85.013, 85.053, and 86A.05, the commissioner of natural 49.35 resources may continue to lease, upon the terms and conditions 49.36 as the commissioner may prescribe and in the form approved by 50.1 the attorney general, land within the Big Bog state recreation 50.2 area that is included in lease number 144-15-109 to Waskish 50.3 township. 50.4 Sec. 21. [RED RIVER STATE RECREATION AREA.] 50.5 Subdivision 1. [85.013] [Subd. 20a.] [RED RIVER STATE 50.6 RECREATION AREA, POLK COUNTY.] The Red River state recreation 50.7 area is established in Polk county. 50.8 Subd. 2. [BOUNDARIES.] The following described lands are 50.9 located within the boundaries of the Red River state recreation 50.10 area, all in Polk county: 50.11 (1) Lots 3 to 14 of Block 2 including streets and alleys 50.12 adjacent thereto in Riverside Addition; 50.13 (2) Block 1 including streets and alleys adjacent thereto 50.14 in Surprenant's Addition; 50.15 (3) Lots 1 to 24 including streets and alleys adjacent 50.16 thereto in Grigg's Addition; 50.17 (4) Lots 2, 4, 6, 8, 10, and 12 of Block 1, Block 3, Lots 1 50.18 to 10 of Block 4, and Lots 1 to 12 in Blocks A and B including 50.19 streets and alleys adjacent thereto in Grand Forks East; 50.20 (5) Lots 1 to 5 of Block 1 and Blocks 2 to 14 including 50.21 streets and alleys adjacent thereto in Lake Park Addition; 50.22 (6) Lots 1 to 7 and Lots 19 to 24 of Block 2 including 50.23 streets and alleys adjacent thereto in E.B. Frederick's 50.24 Addition; 50.25 (7) Lots 1 to 3 of Block 1 and Blocks 2, 3, and 4 including 50.26 streets and alleys adjacent thereto in Budge's First Addition; 50.27 (8) Lots 1 to 4 of Block 1 including streets and alleys 50.28 adjacent thereto in River Heights 1st Addition; 50.29 (9) Blocks 1 and 2 including streets and alleys adjacent 50.30 thereto in Thompson's Addition; 50.31 (10) Lots 1 to 12 of Block 1, Lots 4 to 12 of Block 2, 50.32 Block 3, and Lots 1 to 4 of Block 4 in Edwards Outlots and 50.33 Outlots 4 to 8 including streets and alleys adjacent thereto in 50.34 Auditor's Plat of Outlots; 50.35 (11) Auditor's Plat of Mrs. Hines' Outlot; 50.36 (12) Lots 6, 8, 10, 12, 14, 16, 18, 20, 22, and 24 of Block 51.1 3 and Lots 1 to 8 of Block 2 including streets and alleys 51.2 adjacent thereto in the Original Townsite of East Grand Forks; 51.3 (13) Blocks 1 to 8 including streets and alleys adjacent 51.4 thereto in Woodland Addition; 51.5 (14) Lots 1, 3, 5, 7, 9, 11, 13, 15, 17, 19, 21, and 23 of 51.6 Block 31 and Blocks 32 to 38 including streets and alleys 51.7 adjacent thereto in Traill's Addition; 51.8 (15) Blocks 2 to 16 including streets and alleys adjacent 51.9 thereto in Elm Grove; 51.10 (16) Block 1, Lots 1 to 11 of Block 2, and Lots 1 to 11 of 51.11 Block 3 including streets and alleys adjacent thereto in O'Leary 51.12 and Ryan's Addition to Elm Grove; 51.13 (17) Lots 6 to 10 of Block 1, Lots 8 to 35 of Block 2, 51.14 Blocks 3, 4, and 5 including streets and alleys adjacent thereto 51.15 in Folson Park Addition; 51.16 (18) Lots 1 to 6 of Block 1 in Jerome's Addition; 51.17 (19) Lots 1 to 4 of Block 3 in Prestige Addition; 51.18 (20) Lots 1 to 14 of Block 1 in Riverview Addition; 51.19 (21) Lots 6 to 16 of Block 3 in Riverview 3rd Addition; 51.20 (22) Lots 1 to 4 of Block 1 in Riverview 4th Addition; 51.21 (23) Lots 1 and 2 of Block 1 in Riverview 5th Addition; 51.22 (24) Lots 1 to 9 of Block 1 and Outlot A in Riverview 6th 51.23 Addition; 51.24 (25) Lots 1 to 18 of Block 1 and Lots 1 to 5 of Block 2 51.25 including streets and alleys adjacent thereto in Timberline 2nd 51.26 Addition; 51.27 (26) Lots 14 to 16 of Block 1 including streets and alleys 51.28 adjacent thereto in Timberline Addition; 51.29 (27) Lots 19 and 20 including streets and alleys adjacent 51.30 thereto in Murphy's Outlots; 51.31 (28) Lots 1 to 10 of Block 1 including streets and alleys 51.32 thereto in Croy's 2nd Addition; 51.33 (29) Lots 1 to 6 of Block 1 including the streets and 51.34 alleys adjacent thereto in Point of Woods 2nd Addition; 51.35 (30) Lots 1 to 6 of Block 1 including the streets and 51.36 alleys adjacent thereto in Point of Woods Addition; 52.1 (31) the unplatted portions of Government Lots 1, 2, and 3 52.2 of Section 35, Township 152 North, Range 50 West; 52.3 (32) all of Government Lot 7, the unplatted portion of 52.4 Government Lot 9, and that part of Government Lots 6 and 8 and 52.5 the Southeast Quarter of the Southeast Quarter lying 52.6 southwesterly of the southwesterly right-of-way line of the 52.7 Burlington Northern and Santa Fe Railroad of Section 1, Township 52.8 151 North, Range 50 West; 52.9 (33) the unplatted portions of Government Lots 2, 3, 4, 5, 52.10 and 6 of Section 2, Township 151 North, Range 50 West; 52.11 (34) all of Government Lots 1 and 2 of Section 11, Township 52.12 151 North, Range 50 West; 52.13 (35) all of Government Lots 1, 7, and 11, the unplatted 52.14 portions of Government Lots 3, 5, 9, and 10, and the Northeast 52.15 Quarter of the Northwest Quarter of Section 12, Township 151 52.16 North, Range 50; 52.17 (36) all of Government Lots 1 and 2, the Southwest Quarter 52.18 of the Northwest Quarter, and the Northwest Quarter of the 52.19 Southwest Quarter of Section 13, Township 151 North, Range 50 52.20 West; 52.21 (37) all of Government Lots 1, 2, 3, and 4 of Section 14; 52.22 Township 151 North, Range 50 West; 52.23 (38) that part of Government Lot 7 lying southwesterly of 52.24 the southwesterly right-of-way line of the Burlington Northern 52.25 and Santa Fe Railroad of Section 6, Township 151 North, Range 49 52.26 West; and 52.27 (39) all of Government Lots 2, 6, 7, and 9, the Northwest 52.28 Quarter of the Northeast Quarter, the Northeast Quarter of the 52.29 Northeast Quarter, the unplatted portions of Government Lots 3 52.30 and 5, and that part of Government Lot 1 and the Northeast 52.31 Quarter of the Northwest Quarter lying southwesterly of the 52.32 southwesterly right-of-way line of the Burlington Northern and 52.33 Santa Fe Railroad of Section 7, Township 151 North, Range 49 52.34 West. 52.35 Subd. 3. [ADMINISTRATION.] The commissioner of natural 52.36 resources shall administer the area according to Minnesota 53.1 Statutes, section 86A.05, subdivision 3, subject to existing 53.2 rules and regulations for state recreation areas. The 53.3 commissioner shall appoint a citizens' oversight committee to 53.4 assist with developing and managing the area. The committee 53.5 shall serve without compensation and is exempt from Minnesota 53.6 Statutes, section 15.059. 53.7 Sec. 22. Minnesota Statutes 1998, section 85.015, is 53.8 amended by adding a subdivision to read: 53.9 Subd. 8a. [MILL TOWNS TRAIL.] (a) The trail shall 53.10 originate at a point commonly known as Faribault Junction in 53.11 Rice county, the termination point of the Sakatah Singing Hills 53.12 Trail, and shall extend through the towns of Faribault, Dundas, 53.13 Northfield, Waterford, and Randolph, to the termination point of 53.14 the Cannon Valley Trail in Cannon Falls. The trail may be 53.15 located within the Cannon river wild, scenic, and recreational 53.16 land use district. 53.17 (b) The trail shall be developed primarily for riding and 53.18 hiking. Motorized vehicles, except snowmobiles, are prohibited 53.19 from the trail. 53.20 Sec. 23. Minnesota Statutes 1998, section 85.34, 53.21 subdivision 1, is amended to read: 53.22 Subdivision 1. The commissioner of natural resources with 53.23 the approval of the Executive Council may lease for purposes of 53.24 restoration, preservation, historical, recreational, 53.25 educational, and commercial use and development, that portion of 53.26 Fort Snelling state park known as the upper bluff consisting of 53.27 officer's row and, area J, the polo grounds, the adjacent golf 53.28 course, and residential, storage and serviceall buildings and 53.29 improvements located thereon, all lying within an area bounded 53.30 by Minneapolis-St. Paul International Airport, trunk highway53.31 highways numbered 5 and 55 , Taylor avenue, Minnehaha avenue, and 53.32 Bloomington Road. The lease or leases shall be in a form 53.33 approved by the attorney general and for a term of not to exceed 53.34 99 years. The lease or leases may provide for the provision of 53.35 capital improvements or other performance by the tenant or 53.36 tenants in lieu of all or some of the payments of rent that 54.1 would otherwise be required. 54.2 Sec. 24. Minnesota Statutes 1998, section 85.34, is 54.3 amended by adding a subdivision to read: 54.4 Subd. 4. All receipts derived from the leasing or 54.5 operation of the property described in subdivision 1 shall be 54.6 deposited in the state treasury and be credited to the state 54.7 parks working capital account designated in section 85.22, 54.8 subdivision 1. Receipts and expenses from the leasing or 54.9 operation of the property described in subdivision 1 shall be 54.10 tracked separately within the account. Money in the account 54.11 derived from the leasing or operation of the property described 54.12 in subdivision 1 is annually appropriated for the payment of 54.13 expenses attributable to the leasing and operation of the 54.14 property described in subdivision 1, included but not limited to 54.15 the maintenance, repair, and rehabilitation of historic 54.16 buildings and landscapes. Any excess receipts in this account 54.17 are annually appropriated for historic preservation purposes 54.18 within state parks. 54.19 Sec. 25. Minnesota Statutes 1998, section 85.34, is 54.20 amended by adding a subdivision to read: 54.21 Subd. 5. The commissioner of natural resources may provide 54.22 an exception, in whole or in part, to the rules for use of state 54.23 parks and other recreational areas for property leased pursuant 54.24 to subdivision 1. The exception may be provided by 54.25 commissioner's order and shall be effective for the term of the 54.26 lease or such lesser period of time specified by the 54.27 commissioner. 54.28 Sec. 26. Minnesota Statutes 1998, section 97A.055, 54.29 subdivision 2, is amended to read: 54.30 Subd. 2. [RECEIPTS.] The state treasurer shall credit to 54.31 the game and fish fund all money received under the game and 54.32 fish laws including receipts from: 54.33 (1) licenses issued; 54.34 (2) fines and forfeited bail; 54.35 (3) sales of contraband, wild animals, and other property 54.36 under the control of the division; 55.1 (4) fees from advanced education courses for hunters and 55.2 trappers; 55.3 (5) reimbursements of expenditures by the division; and55.4 (6) contributions to the division; and 55.5 (7) revenue credited to the game and fish fund under 55.6 section 297A.44, subdivision 1, paragraph (e), clause (1). 55.7 Sec. 27. Minnesota Statutes 1998, section 103E.011, is 55.8 amended by adding a subdivision to read: 55.9 Subd. 5. [USE OF EXTERNAL SOURCES OF 55.10 FUNDING.] Notwithstanding other provisions of this chapter, a 55.11 drainage authority may accept and use funds from sources other 55.12 than, or in addition to, those derived from assessments based on 55.13 the benefits of the drainage system for the purposes of wetland 55.14 preservation or restoration or creation of water quality 55.15 improvements or flood control. The sources of funding 55.16 authorized under this subdivision may also be used outside the 55.17 benefited area but must be within the watershed of the drainage 55.18 system. 55.19 Sec. 28. Minnesota Statutes 1999 Supplement, section 55.20 116.073, subdivision 1, is amended to read: 55.21 Subdivision 1. [AUTHORITY TO ISSUE.] (a) Pollution control 55.22 agency staff designated by the commissioner and department of 55.23 natural resources conservation officers may issue citations to a 55.24 person who: 55.25 (1) disposes of solid waste as defined in section 116.06, 55.26 subdivision 22, at a location not authorized by law for the 55.27 disposal of solid waste without permission of the owner of the 55.28 property; 55.29 (2) fails to report or recover oil or hazardous substance55.30 discharges as required under section 115.061; or 55.31 (3) fails to take discharge preventive or preparedness 55.32 measures required under chapter 115E. 55.33 (b) In addition, pollution control agency staff designated 55.34 by the commissioner may issue citations to owners and operators 55.35 of facilities dispensing petroleum products who violate sections 55.36 116.46 to 116.50 and Minnesota Rules, chapters 7150 and 7151 and 56.1 parts 7001.4200 to 7001.4300. The citations for violation of56.2 sections 116.46 to 116.50 and Minnesota Rules, chapter 7150, may56.3 be issued only after the owners and operators have had a 90-day56.4 period to correct all the violations stated in a letter issued56.5 previously by pollution control agency staff.A citation issued 56.6 under this subdivision must include a requirement that the 56.7 person cited remove and properly dispose of or otherwise manage 56.8 the waste or discharged oil or hazardous substance, reimburse 56.9 any government agency that has disposed of the waste or 56.10 discharged oil or hazardous substance and contaminated debris 56.11 for the reasonable costs of disposal, or correct any underground56.12 storage tank violations. 56.13 (c) Until June 1, 2004, citations for violation of sections 56.14 115E.045 and 116.46 to 116.50 and Minnesota Rules, chapters 7150 56.15 and 7151, may be issued only after the owners and operators have 56.16 had a 90-day period to correct violations stated in writing by 56.17 pollution control agency staff, unless there is a discharge 56.18 associated with the violation or the violation is of Minnesota 56.19 Rules, part 7151.6400, subpart 1, item B, or 7151.6500. 56.20 Sec. 29. Minnesota Statutes 1998, section 297A.44, 56.21 subdivision 1, is amended to read: 56.22 Subdivision 1. (a) Except as provided in paragraphs (b) to 56.23 (d)(f), all revenues, including interest and penalties, derived 56.24 from the excise and use taxes imposed by sections 297A.01 to 56.25 297A.44 shall be deposited by the commissioner in the state 56.26 treasury and credited to the general fund. 56.27 (b) All excise and use taxes derived from sales and use of 56.28 property and services purchased for the construction and 56.29 operation of an agricultural resource project, from and after 56.30 the date on which a conditional commitment for a loan guaranty 56.31 for the project is made pursuant to section 41A.04, subdivision 56.32 3, shall be deposited in the Minnesota agricultural and economic 56.33 account in the special revenue fund. The commissioner of 56.34 finance shall certify to the commissioner the date on which the 56.35 project received the conditional commitment. The amount 56.36 deposited in the loan guaranty account shall be reduced by any 57.1 refunds and by the costs incurred by the department of revenue 57.2 to administer and enforce the assessment and collection of the 57.3 taxes. 57.4 (c) All revenues, including interest and penalties, derived 57.5 from the excise and use taxes imposed on sales and purchases 57.6 included in section 297A.01, subdivision 3, paragraphs (d) and 57.7 (k), clauses (1) and (2), must be deposited by the commissioner 57.8 in the state treasury, and credited as follows: 57.9 (1) first to the general obligation special tax bond debt 57.10 service account in each fiscal year the amount required by 57.11 section 16A.661, subdivision 3, paragraph (b); and 57.12 (2) after the requirements of clause (1) have been met, the 57.13 balance must be credited to the general fund. 57.14 (d) The revenues, including interest and penalties, 57.15 collected under section 297A.135, subdivision 5, shall be 57.16 deposited by the commissioner in the state treasury and credited 57.17 to the general fund. By July 15 of each year the commissioner 57.18 shall transfer to the highway user tax distribution fund an 57.19 amount equal to the excess fees collected under section 57.20 297A.135, subdivision 5, for the previous calendar year. 57.21 (e) For fiscal year 2001, 97 percent, and for fiscal year 57.22 2002 and thereafter, 87 percent of the revenues, including 57.23 interest and penalties, transmitted to the commissioner under 57.24 section 297A.259, must be deposited by the commissioner in the 57.25 state treasury as follows: 57.26 (1) 50 percent of the receipts must be deposited in the 57.27 heritage enhancement account in the game and fish fund, and may 57.28 be spent only on activities that improve, enhance, or protect 57.29 fish and wildlife resources, including conservation, 57.30 restoration, and enhancement of land, water, and other natural 57.31 resources of the state; 57.32 (2) 22.5 percent of the receipts must be deposited in the 57.33 natural resources fund, and may be spent only for state parks 57.34 and trails; 57.35 (3) 22.5 percent of the receipts must be deposited in the 57.36 natural resources fund, and may be spent only on metropolitan 58.1 park and trail grants; 58.2 (4) three percent of the receipts must be deposited in the 58.3 natural resources fund, and may be spent only on local trail 58.4 grants; and 58.5 (5) two percent of the receipts must be deposited in the 58.6 natural resources fund, and may be spent only for the Minnesota 58.7 zoological garden, the Como park zoo and conservatory, and the 58.8 Duluth zoo. 58.9 (f) The revenue dedicated under paragraph (e) may not be 58.10 used as a substitute for traditional sources of funding for the 58.11 purposes specified, but the dedicated revenue shall supplement 58.12 traditional sources of funding for those purposes. Land 58.13 acquired with money deposited in the game and fish fund under 58.14 paragraph (e) must be open to public hunting and fishing during 58.15 the open season. At least 87 percent of the money deposited in 58.16 the game and fish fund for improvement, enhancement, or 58.17 protection of fish and wildlife resources under paragraph (e) 58.18 must be allocated for field operations. 58.19 Sec. 30. Minnesota Statutes 1998, section 383B.235, is 58.20 amended by adding a subdivision to read: 58.21 Subd. 3. [EXISTING FACILITY MAY USE 58.22 CAPACITY.] Notwithstanding subdivisions 1 and 2, an existing 58.23 resource recovery facility may reclaim, burn, use, process, or 58.24 dispose of mixed municipal solid waste to the full extent of its 58.25 maximum yearly capacity as of January 1, 2000. The facility 58.26 must continue to comply with all federal and state environmental 58.27 laws and regulations and must obtain a conditional use permit 58.28 from the municipality where the facility is located. 58.29 Sec. 31. Laws 1998, chapter 389, article 16, section 31, 58.30 subdivision 2, as amended by Laws 1999, chapter 180, section 1, 58.31 is amended to read: 58.32 Subd. 2. [EXCHANGE OF COUNTY LAKESHORE LAND FOR LEASED 58.33 LAKESHORE LOTS.] (a) For the purposes of this section: 58.34 (1) "county land" includes, but is not limited to, 58.35 tax-forfeited land administered by any county; 58.36 (2) "leased lakeshore lots" means lands leased by the 59.1 state, including lots for which leases have been canceled, 59.2 pursuant to Minnesota Statutes, section 92.46, subdivision 1; 59.3 and 59.4 (3) "plan for exchange" means a listing of parcels proposed 59.5 for exchange with legal descriptions, county estimates of 59.6 values, and maps and acreage for each parcel. By July 1, 1999, 59.7 counties shall include exchange plans for all lakeshore lease 59.8 lots that are in substantial compliance with official controls. 59.9 The plan shall also include a timeline that provides for the 59.10 completion of the exchange of all remaining lakeshore lease lots 59.11 by December 31, 2000. 59.12 (b) By July 1, 1999, a county board with leased lakeshore 59.13 lots must petition the land exchange board with a plan for an 59.14 exchange of county land for leased lakeshore lots in the county 59.15 that are not listed by the commissioner pursuant to subdivision 59.16 1. Notwithstanding Minnesota Statutes, section 94.342, the land 59.17 proposed for the exchange must be land bordering on or adjacent 59.18 to meandered or other public waters. A county board proposing 59.19 an exchange under this section may include tax-forfeited land 59.20 administered by another county in the proposal with the consent 59.21 of that county board. 59.22 (c) In determining the value of the leased lakeshore lots 59.23 for purposes of the exchange, the land exchange board must 59.24 review an appraisal of each lot prepared by an appraiser 59.25 licensed by the commissioner of commerce. The selection of the 59.26 appraiser must be agreed to by the commissioner of natural 59.27 resources and the county board of the county containing the 59.28 leased lakeshore lot. The commissioner of natural resources 59.29 must pay the costs of appraisal and may recover these costs as 59.30 provided in this section. The commissioner must submit 59.31 appraisals under this paragraph to the land exchange board by 59.32 June 1, 1999. 59.33 (d) The land exchange board must determine whether the land 59.34 offered for exchange by a county under this section is lakeshore 59.35 of substantially equal value to the leased lakeshore lots 59.36 included in the county's petition. In making this 60.1 determination, the land exchange board must review an appraisal 60.2 of the land offered for exchange prepared by an appraiser 60.3 licensed by the commissioner of commerce. The selection of the 60.4 appraiser must be agreed to by the commissioner of natural 60.5 resources and the county board of the county containing the 60.6 leased lakeshore lots. The county must pay the costs of this 60.7 appraisal and may recover those costs as provided in this 60.8 section. 60.9 (e) Before the proposed exchange may be submitted to the 60.10 land exchange board, the commissioner of natural resources must 60.11 ensure that, whenever possible, state lands are added to the 60.12 leased lakeshore lots when necessary to provide conformance with 60.13 zoning official controls. The lands added to the leased 60.14 lakeshore lots must be included in the appraised value of the 60.15 lots. If the commissioner is unable to add the necessary land 60.16 to a lot, the lot shall be treated as if purchased at the time 60.17 the state first leased the site, for the purposes of local 60.18 zoning and other ordinances at the time of sale of the lot by 60.19 the county. 60.20 (f) Additional state or county lands, including state 60.21 riparian land leased for a commercial use, may be added to the 60.22 exchanges if mutually agreed upon by the commissioner and the 60.23 affected county board to meet county zoning standards or other 60.24 regulatory needs for the lots, for use of the land by the county 60.25 or state, or to avoid leaving unmanageable parcels of land in 60.26 state or county ownership after an exchange, or to dispose of 60.27 state commercial riparian leases. The additional county land 60.28 may include nonriparian land, if the land is adjacent to county 60.29 land exchanged under this section and is beneficial to or 60.30 enhances the value of the school trust land. Notwithstanding 60.31 Minnesota Statutes, chapter 282, or any other law to the 60.32 contrary, a county board may sell all or part of any additional 60.33 land to an owner of a lakeshore lot sold by the county under 60.34 this section, or sold by the state at a lakeshore lot sale, or 60.35 to the lessee of a commercial lease. 60.36 (g) In the event that commercial leased state land is 61.1 proposed for exchange, the state and county must submit to the 61.2 land exchange board prior to exchanges, without regard to the 61.3 dates provided in this section, the reports, appraisals, and 61.4 plan for exchange required by this section. The county is not 61.5 required to sell the commercially leased lands it receives from 61.6 the state within the times stated in this section. 61.7 (h) The land exchange board must determine whether the lots 61.8 are of substantially equal value and may approve the exchange, 61.9 notwithstanding the requirements of Minnesota Statutes, sections 61.10 94.342 to 94.347, relating to the approval process. If the 61.11 board approves the exchange, the commissioner must exchange the 61.12 leased lakeshore lots for the county lands, together with any 61.13 additional state land provided for under this section, subject 61.14 to the requirements of the Minnesota Constitution, article XI, 61.15 section 10, relating to the reservation of mineral and water 61.16 power rights. 61.17 (i) The deeds between the state and counties for land 61.18 exchanges under this section are exempt from the deed tax 61.19 imposed by Minnesota Statutes, section 287.21. 61.20 (j) The deeds issued by the state and counties for the land 61.21 exchanges and sales to a lessee made pursuant to this section 61.22 are exempt from the requirements imposed for well disclosure by 61.23 Minnesota Statutes, section 103I.235, well sealing by Minnesota 61.24 Statutes, section 103I.311, and individual sewage treatment 61.25 system disclosure by Minnesota Statutes, section 115.55, 61.26 subdivision 6. 61.27 Sec. 32. Laws 1998, chapter 404, section 7, subdivision 61.28 23, as amended by Laws 1999, chapter 231, section 194, and Laws 61.29 1999, chapter 240, article 1, section 20, is amended to read: 61.30 Subd. 23. Metro Regional Trails 5,000,000 61.31 For grants to the metropolitan council 61.32 for acquisition and development of a 61.33 capital nature of trail connections in 61.34 the metropolitan area as specified in 61.35 this subdivision. The purpose of the 61.36 grants is to improve trails in the 61.37 metropolitan park and open space system 61.38 and connect them with existing state 61.39 and regional trails. Priority shall be 61.40 given to matching funds for an ISTEA 61.41 grant. 62.1 The funds shall be allocated by the 62.2 council as follows: 62.3 (1) $1,050,000 is allocated to Ramsey 62.4 county as follows: 62.5 (i) $400,000 to complete six miles of 62.6 trails between the Burlington Northern 62.7 Regional Trail and Bald Eagle-Otter 62.8 Lake Regional Park; 62.9 (ii) $150,000 to complete a one-mile 62.10 connection between Birch Lake and the 62.11 Lake Tamarack segment of Bald 62.12 Eagle-Otter Lake Regional Park; 62.13 (iii) $500,000 to acquire real property 62.14 and design and construct or renovate 62.15 recreation facilities along the 62.16 Mississippi River in cooperation with 62.17 the city of St. Paul; 62.18 (2) $1,050,000 is allocated to the city 62.19 of St. Paul as follows: 62.20 (i) $250,000 to construct a bridge over 62.21 Lexington Parkway in Como Regional 62.22 Park; and 62.23 (ii) $800,000 to enhance amenities for 62.24 the trailhead at the Lilydale-Harriet 62.25 Island Regional Park pavilion; 62.26 (3) $1,400,000 is allocated to Anoka 62.27 county to construct: 62.28 (i) a pedestrian tunnel under Highway 62.29 65 on the Rice Creek West Regional 62.30 Trail in the city of Fridley; and62.31 (ii) restrooms, trailhead, signs, and 62.32 amenities at the trailhead to the Rice 62.33 Creek West Regional Trail; and 62.34 (iii) a pedestrian bridge on the 62.35 Mississippi River Regional Trail 62.36 crossing over Mississippi Street in the 62.37 city of Fridley; and 62.38 (4) $1,500,000 is allocated to the 62.39 suburban Hennepin regional park 62.40 district as follows: 62.41 (i) $1,000,000 to connect North 62.42 Hennepin Regional Trail to Luce Line 62.43 State Trail and Medicine Lake; and 62.44 (ii) $500,000 is for the cost of 62.45 development and acquisition of the 62.46 Southwest regional trail in the city of 62.47 St. Louis Park. The trail must connect 62.48 the Minneapolis regional trail system 62.49 at Cedar Lake park to the Hennepin 62.50 parks regional trail system at the 62.51 Hopkins trail head. 62.52 Sec. 33. Laws 1999, chapter 231, section 2, subdivision 2, 62.53 is amended to read: 62.54 Subd. 2. Protection of the Water 63.1 15,984,000 16,008,000 63.2 Summary by Fund 63.3 General 13,074,000 13,283,00012,983,000 63.4 State Government 63.5 Special Revenue 44,000 45,000 63.6 Environmental 2,616,000 2,680,0002,980,000 63.7 Petroleum tank 250,000 -0- 63.8 $2,348,000 the first year and 63.9 $2,348,000 the second year are for 63.10 grants to local units of government for 63.11 the clean water partnership program. 63.12 The amount of this appropriation above 63.13 the base is for Phase II implementation 63.14 projects. Any unencumbered balance 63.15 remaining in the first year does not 63.16 cancel and is available for the second 63.17 year of the biennium. 63.18 $1,470,000 the first year and 63.19 $1,841,000 the second year are for 63.20 grants for county administration of the 63.21 feedlot permit program. These amounts 63.22 are transferred to the board of water 63.23 and soil resources for disbursement in 63.24 accordance with Minnesota Statutes, 63.25 section 103B.3369, in cooperation with 63.26 the pollution control agency. Grants 63.27 must be matched with a combination of 63.28 local cash and/or in-kind 63.29 contributions. Counties receiving 63.30 these grants shall submit an annual 63.31 report to the pollution control agency 63.32 regarding activities conducted under 63.33 the grant, expenditures made, and local 63.34 match contributions. First priority 63.35 for funding shall be given to counties 63.36 that have requested and received 63.37 delegation from the pollution control 63.38 agency for processing of animal feedlot 63.39 permit applications under Minnesota 63.40 Statutes, section 116.07, subdivision 63.41 7. Delegated counties shall be 63.42 eligible to receive a grant of either: 63.43 $50 multiplied by the number of 63.44 livestock or poultry farms with sales 63.45 greater than $10,000, as reported in 63.46 the 1997 Census of Agriculture, 63.47 published by the United States Bureau 63.48 of Census; or $80 multiplied by the 63.49 number of feedlots with greater than 63.50 ten animal units as determined by a 63.51 level 2 or level 3 feedlot inventory 63.52 conducted in accordance with the 63.53 Feedlot Inventory Guidebook published 63.54 by the board of water and soil 63.55 resources, dated June 1991. To receive 63.56 the additional funding that is based on 63.57 the county feedlot inventory, the 63.58 county shall submit a copy of the 63.59 inventory to the pollution control 63.60 agency. Any remaining money is for 63.61 distribution to all counties on a 63.62 competitive basis through the challenge 63.63 grant process for the conducting of 63.64 feedlot inventories, development of 64.1 delegated county feedlot programs, and 64.2 for information and education or 64.3 technical assistance efforts to reduce 64.4 feedlot-related pollution hazards. Any 64.5 money remaining after the first year is 64.6 available for the second year. 64.7 $94,000 the first year and $97,000 the 64.8 second year are for compliance 64.9 activities and air quality monitoring 64.10 to address hydrogen sulfide emissions 64.11 from animal feedlots. The air quality 64.12 monitoring must include the use of 64.13 portable survey instruments. 64.14 $1,043,000 the first year and 64.15 $1,048,000 the second year are for 64.16 water monitoring activities. 64.17 $320,000 the first year and $322,000 64.18 the second year are for community 64.19 technical assistance and education, 64.20 including grants and technical 64.21 assistance to communities for local and 64.22 basin-wide water quality protection. 64.23 $201,000 the first year and $202,000 64.24 the second year are for individual 64.25 sewage treatment system (ISTS) 64.26 administration. Of this amount, $86,000 64.27 in each year is transferred to the 64.28 board of water and soil resources for 64.29 assistance to local units of government 64.30 through competitive grant programs for 64.31 ISTS program development. 64.32 $200,000 in each year is for individual 64.33 sewage treatment system grants. Any 64.34 unexpended balance in the first year 64.35 does not cancel, but is available in 64.36 the second year. 64.37 $250,000 the first year and $500,000 64.38 the second year are for studies to 64.39 determine total maximum daily load 64.40 allocations to improve water quality. 64.41 $300,000 eachthe first year isfrom 64.42 the general fund and $300,000 the 64.43 second year from the environmental fund 64.44 are for continuing research on 64.45 malformed frogs. This is a one-time 64.46 appropriation. 64.47 $126,000 is for administration of the 64.48 wastewater infrastructure fund (WIF) 64.49 construction program. This is a 64.50 one-time appropriation. 64.51 $250,000 the first year, 64.52 notwithstanding Minnesota Statutes, 64.53 section 115C.08, subdivision 4, is from 64.54 the petroleum tank release fund for the 64.55 following purposes: (1) to purchase 64.56 and distribute emergency spill response 64.57 equipment, such as spill containment 64.58 booms, sorbent pads, and installation 64.59 tools, along the Mississippi river 64.60 upstream of drinking water intakes at 64.61 the locations designated by the agency 64.62 in consultation with the Mississippi 65.1 River Defense Network; (2) to purchase 65.2 mobile trailers to contain the 65.3 equipment in clause (1) so that rapid 65.4 deployment can occur; and (3) to 65.5 conduct spill response training for 65.6 those groups of responders receiving 65.7 the spill response equipment described 65.8 in clause (1). The agency shall 65.9 develop and administer protocol for the 65.10 use of the equipment among all 65.11 potential users, including private 65.12 contract firms, public response 65.13 agencies, and units of government. Any 65.14 money remaining after the first year is 65.15 available for the second year. This is 65.16 a one-time appropriation. 65.17 $100,000 for the biennium is for a 65.18 grant to the city of Garrison for the 65.19 Garrison, Kathio, West Mille Lacs Lake 65.20 Sanitary District for the cost of 65.21 environmental studies, planning, and 65.22 legal assistance for sewage treatment 65.23 purposes. This is a one-time 65.24 appropriation. 65.25 Until July 1, 2001, the agency shall 65.26 not approve additional fees on animal 65.27 feedlot operations. 65.28 Sec. 34. Laws 1999, chapter 231, section 6, as amended by 65.29 Laws 1999, chapter 249, section 10, is amended to read: 65.30 Sec. 6. BOARD OF WATER AND 65.31 SOIL RESOURCES 18,896,000 18,228,000 65.32 $5,480,000 the first year and 65.33 $5,480,000 the second year are for 65.34 natural resources block grants to local 65.35 governments. Of this amount, $50,000 65.36 each year is for a grant to the North 65.37 Shore Management Board, $35,000 each 65.38 year is for a grant to the St. Louis 65.39 River Board, $100,000 each year is for 65.40 a grant to the Minnesota River Basin 65.41 Joint Powers Board, and $27,000 each 65.42 year is for a grant to the Southeast 65.43 Minnesota Resources Board. 65.44 The board shall reduce the amount of 65.45 the natural resource block grant to a 65.46 county by an amount equal to any 65.47 reduction in the county's general 65.48 services allocation to a soil and water 65.49 conservation district from the county's 65.50 1998 allocation. 65.51 Grants must be matched with a 65.52 combination of local cash or in-kind 65.53 contributions. The base grant portion 65.54 related to water planning must be 65.55 matched by an amount that would be 65.56 raised by a levy under Minnesota 65.57 Statutes, section 103B.3369. 65.58 $3,867,000 the first year and 65.59 $3,867,000 the second year are for 65.60 grants to soil and water conservation 65.61 districts for general purposes, 65.62 nonpoint engineering, and for 66.1 implementation of the RIM conservation 66.2 reserve program. Upon approval of the 66.3 board, expenditures may be made from 66.4 these appropriations for supplies and 66.5 services benefiting soil and water 66.6 conservation districts. 66.7 $4,120,000 the first year and 66.8 $4,120,000 the second year are for 66.9 grants to soil and water conservation 66.10 districts for cost-sharing contracts 66.11 for erosion control and water quality 66.12 management. Of this amount, $32,000 66.13 the first year isand up to $90,000 the 66.14 second year are for a grantgrants to 66.15 the Blue Earth county soil and water 66.16 conservation districts for stream bank 66.17 stabilization on the LeSueur river 66.18 within the city limits of St. Clair; 66.19 and at least $1,500,000 the first year 66.20 and $1,500,000 the second year are for 66.21 state cost-share grants for66.22 cost-sharing contractsfor water 66.23 quality management on feedlots. 66.24 Priority must be given to feedlot66.25 operators who have received notices of66.26 violation and for feedlots in counties66.27 that are conducting or have completed a66.28 level 2 or level 3 feedlot inventory.66.29 This appropriation is available until 66.30 expended. If the appropriation in 66.31 either year is insufficient, the 66.32 appropriation in the other year is 66.33 available for it. 66.34 $100,000 the first year and $100,000 66.35 the second year are for a grant to the 66.36 Red river basin board to develop a Red 66.37 river basin water management plan and 66.38 to coordinate water management 66.39 activities in the states and provinces 66.40 bordering the Red river. This 66.41 appropriation is only available to the 66.42 extent it is matched by a proportionate 66.43 amount in United States currency from 66.44 the states of North Dakota and South 66.45 Dakota and the province of Manitoba. 66.46 The unencumbered balance in the first 66.47 year does not cancel but is available 66.48 for the second year. This is a 66.49 one-time appropriation. 66.50 $189,000 the first year and $189,000 66.51 the second year are for grants to 66.52 watershed districts and other local 66.53 units of government in the southern 66.54 Minnesota river basin study area 2 for 66.55 floodplain management. If the 66.56 appropriation in either year is 66.57 insufficient, the appropriation in the 66.58 other year is available for it. 66.59 $1,203,000 the first year and $450,000 66.60 the second year are for the 66.61 administrative costs of easement and 66.62 grant programs. 66.63 Any unencumbered balance in the board's 66.64 program of grants does not cancel at 66.65 the end of the first year and is 66.66 available for the second year for the 67.1 same grant program. If the 67.2 appropriation in either year is 67.3 insufficient, the appropriation for the 67.4 other year is available for it. 67.5 Sec. 35. Laws 1999, chapter 231, section 11, subdivision 67.6 3, is amended to read: 67.7 Subd. 3. Agricultural Marketing and Development 67.8 6,521,000 5,410,000 67.9 Notwithstanding Minnesota Statutes, 67.10 section 41A.09, subdivision 3a, the 67.11 total payments from the ethanol 67.12 development account to all producers 67.13 may not exceed $68,447,000$72,106,000 67.14 for the biennium ending June 30, 2001. 67.15 If, prior to the end of the biennium, 67.16 the total amount for which all 67.17 producers are eligible in a quarter67.18 exceeds the amount available for67.19 paymentsremaining in the 67.20 appropriation, the commissioner shall 67.21 make the payments for the quarter in 67.22 which the shortfall occurs on a pro 67.23 rata basis. In fiscal year 2000, the 67.24 commissioner shall first reimburse 67.25 producers for eligible unpaid claims 67.26 accumulated through June 30, 1999. 67.27 $500,000 the first year is appropriated 67.28 to the rural finance authority for 67.29 making a loan under Minnesota Statutes, 67.30 section 41B.044. Principal and 67.31 interest payments on the loan must be 67.32 deposited in the ethanol development67.33 account for producer payments under67.34 Minnesota Statutes, section67.35 41B.09general fund. 67.36 By July 15, 1999, the commissioner 67.37 shall transfer the unencumbered cash 67.38 balance in the ethanol development fund 67.39 established in Minnesota Statutes, 67.40 section 41B.044, to the general fund. 67.41 $200,000 the first year is for a grant 67.42 from the commissioner to the Minnesota 67.43 Turkey Growers Association for 67.44 assistance to an entity that constructs 67.45 a facility that uses poultry litter as 67.46 a fuel for the generation of 67.47 electricity. This amount must be 67.48 matched by $1 of nonstate money for 67.49 each dollar of state money. This is a 67.50 one-time appropriation. 67.51 $50,000 the first year is for the 67.52 commissioner, in consultation with the 67.53 commissioner of economic development, 67.54 to conduct a study of the need for a 67.55 commercial shipping port at which 67.56 agricultural cooperatives or individual 67.57 farmers would have access to port 67.58 facilities. This is a one-time 67.59 appropriation. 67.60 $71,000 the first year and $71,000 the 67.61 second year are for transfer to the 68.1 Minnesota grown matching account and 68.2 may be used as grants for Minnesota 68.3 grown promotion under Minnesota 68.4 Statutes, section 17.109. 68.5 $100,000 the first year is for a grant 68.6 to the University of Minnesota 68.7 extension service for its farm safety 68.8 and health program. This is a one-time 68.9 appropriation. 68.10 $225,000 the first year and $75,000 the 68.11 second year are for grants to the 68.12 Minnesota agricultural education 68.13 leadership council for the planning and 68.14 implementation of initiatives enhancing 68.15 and expanding agricultural education in 68.16 rural and urban areas of the state. 68.17 Funds not used in the first year are 68.18 available for the second year. This is 68.19 a one-time appropriation. 68.20 $480,000 the first year and $420,000 68.21 the second year are to the commissioner 68.22 of agriculture for programs to 68.23 aggressively promote, develop, expand, 68.24 and enhance the marketing of 68.25 agricultural products from Minnesota 68.26 producers and processors. The 68.27 commissioner must enter into 68.28 collaborative efforts with the 68.29 department of trade and economic 68.30 development, the world trade center 68.31 corporation, and other public or 68.32 private entities knowledgeable in 68.33 market identification and development. 68.34 The commissioner may also contract with 68.35 or make grants to public or private 68.36 organizations involved in efforts to 68.37 enhance communication between producers 68.38 and markets and organizations that 68.39 identify, develop, and promote the 68.40 marketing of Minnesota agricultural 68.41 crops, livestock, and produce in local, 68.42 regional, national, and international 68.43 marketplaces. Grants may be provided 68.44 to appropriate organizations including 68.45 those functioning as marketing clubs, 68.46 to a cooperative known as Minnesota 68.47 Marketplace, and to recognized 68.48 associations of producers or processors 68.49 of organic foods or Minnesota grown 68.50 specialty crops. Beginning October 15, 68.51 1999, and 15 days after the close of 68.52 each calendar quarter thereafter, the 68.53 commissioner shall provide to the 68.54 senate and house committees with 68.55 jurisdiction over agriculture policy 68.56 and funding interim reports of the 68.57 progress toward accomplishing the goals 68.58 of this item. The commissioner shall 68.59 deliver a final report on March 1, 68.60 2001. If the appropriation for either 68.61 year is insufficient, the appropriation 68.62 for the other year is available. This 68.63 is a one-time appropriation that 68.64 remains available until expended. 68.65 $60,000 the second year is for grants 68.66 to farmers for demonstration projects 68.67 involving sustainable agriculture. If 69.1 a project cost is more than $25,000, 69.2 the amount above $25,000 must be 69.3 matched at the rate of one state dollar 69.4 for each dollar of nonstate money. 69.5 Priorities must be given for projects 69.6 involving multiple parties. Up to 69.7 $20,000 each year may be used for 69.8 dissemination of information about the 69.9 demonstration grant projects. If the 69.10 appropriation for either year is 69.11 insufficient, the appropriation for the 69.12 other is available. 69.13 $160,000 each year is for value-added 69.14 agricultural product processing and 69.15 marketing grants under Minnesota 69.16 Statutes, section 17.101, subdivision 5. 69.17 $450,000 the first year and $300,000 69.18 the second year are for continued 69.19 research of solutions and alternatives 69.20 for manure management and odor 69.21 control. This is a one-time 69.22 appropriation. 69.23 $50,000 the first year and $50,000 the 69.24 second year are for annual cost-share 69.25 payments to resident farmers for the 69.26 costs of organic certification. The 69.27 annual cost-share payments per farmer 69.28 shall be two-thirds of the cost of the 69.29 certification or $200, whichever is 69.30 less. A certified farmer is eligible 69.31 to receive annual certification 69.32 cost-share payments for up to five 69.33 years. $15,000 each year is for 69.34 organic market and program 69.35 development. This appropriation is 69.36 available until expended. 69.37 $30,000 the first year is to assess 69.38 producer production contracts under 69.39 section 205. This appropriation is 69.40 available until June 30, 2001. 69.41 Sec. 36. Laws 1999, chapter 231, section 14, is amended to 69.42 read: 69.43 Sec. 14. AGRICULTURAL UTILIZATION 69.44 RESEARCH INSTITUTE 3,830,000 4,330,000 69.45 Summary by Fund 69.46 General 3,630,000 4,130,000 69.47 Special RevenueAgricultural 200,000 200,000 69.48 The agricultural utilization research 69.49 institute must collaborate with the 69.50 commissioner of agriculture on issues 69.51 of market development and technology 69.52 transfer. 69.53 $200,000 the first year and $200,000 69.54 the second year are for hybrid tree 69.55 management research and development of 69.56 an implementation plan for establishing 69.57 hybrid tree plantations in the state. 69.58 This appropriation is available to the 69.59 extent matched by $2 of nonstate 70.1 contributions, either cash or in kind, 70.2 for each $1 of state money. 70.3 Sec. 37. [AGRICULTURAL STORAGE TANK REMOVAL; 70.4 REIMBURSEMENT.] 70.5 Subdivision 1. [DEFINITION.] As used in this section, 70.6 "agricultural storage tank" means an underground petroleum 70.7 storage tank with a capacity of more than 1,100 gallons that has 70.8 been registered with the pollution control agency by January 1, 70.9 2000, and is located on a farm where the contents of the tank 70.10 are used by the tank owner or operator predominantly for farming 70.11 purposes and are not commercially distributed. 70.12 Subd. 2. [REIMBURSEMENT.] Notwithstanding Minnesota 70.13 Statutes, section 115C.09, subdivision 1, paragraph (b), clause 70.14 (1), and pursuant to the remaining provisions of Minnesota 70.15 Statutes, chapter 115C, the petroleum tank release compensation 70.16 board shall reimburse an owner or operator of an agricultural 70.17 storage tank for 90 percent of the total reimbursable cost of 70.18 removal project costs incurred for the tank prior to January 1, 70.19 2001, including, but not limited to, tank removal, closure in 70.20 place, backfill, resurfacing, and utility restoration costs, 70.21 regardless of whether a release has occurred at the site. 70.22 Notwithstanding Minnesota Statutes, section 115C.09, subdivision 70.23 3, the board may not reimburse an eligible applicant under this 70.24 section for more than $7,500 of costs per tank. 70.25 Sec. 38. [SMALL GASOLINE STORAGE TANK REMOVAL; 70.26 REIMBURSEMENT.] 70.27 Until June 30, 2001, the petroleum tank release 70.28 compensation board may reimburse a tank owner from the petroleum 70.29 tank release cleanup fund for 95 percent of the costs identified 70.30 in Minnesota Statutes 1998, section 115C.09, subdivision 3f, 70.31 paragraph (c), if the tank owner: 70.32 (1) owned two locations in the state, and no locations in 70.33 any other state, where motor fuel was dispensed to the public 70.34 into motor vehicles, watercraft, or aircraft and dispensed motor 70.35 fuel at that location; 70.36 (2) operated the tanks simultaneously for six months or 71.1 less in 1995; and 71.2 (3) dispensed less than 200,000 gallons at both locations. 71.3 Sec. 39. [MINNEAPOLIS LEASE.] 71.4 A lease to the Minneapolis park and recreation board 71.5 entered into prior to or after the effective date of this 71.6 section pursuant to Laws 1999, chapter 231, section 5, 71.7 subdivision 5, shall be subject to Minnesota Statutes, section 71.8 85.34, except as provided in this section. The approval of the 71.9 executive council shall not be required for the lease or the 71.10 issuance of a liquor license. Only the operating costs, as 71.11 defined in the lease, to be paid by the Minneapolis park and 71.12 recreation board to the state shall be credited to the state 71.13 parks working capital account. All base rent and percentage of 71.14 gross sales to be paid by the Minneapolis park and recreation 71.15 board to the state shall be credited to the general fund. A 71.16 lease of any portion of officer's row or area J may include a 71.17 charge to be paid by the tenant for repayment of a portion of 71.18 the costs incurred by the Minneapolis park and recreation board 71.19 for the installation of a new water line on the upper bluff. 71.20 The total amount to be repaid to the Minneapolis park and 71.21 recreation board by tenants of officer's row and area J shall 71.22 not exceed $450,000. 71.23 Sec. 40. [DEFINITIONS.] 71.24 Subdivision 1. [APPLICABILITY.] For the purposes of 71.25 sections 40 to 43, the terms in this section have the meanings 71.26 given. 71.27 Subd. 2. [AGRICULTURAL LAND.] "Agricultural land" means 71.28 land that is: 71.29 (1) composed of class I, II, or III land as identified in 71.30 the land capability classification system of the United States 71.31 Department of Agriculture; or 71.32 (2) similar to land described under a land classification 71.33 system selected by the board of water and soil resources. 71.34 Subd. 3. [BOARD.] "Board" means the board of water and 71.35 soil resources. 71.36 Subd. 4. [SHORT ROTATION WOODY CROPS.] "Short rotation 72.1 woody crops" means hybrid poplar and other woody plants that are 72.2 harvested for their fiber within 15 years of planting. 72.3 Subd. 5. [WINDBREAK.] "Windbreak" means a strip or belt of 72.4 trees, shrubs, or grass barriers designed and located to reduce 72.5 snow deposition on highways, improve wildlife habitat or control 72.6 soil erosion. 72.7 Sec. 41. [ELIGIBILITY TERMS.] 72.8 (a) Agricultural land eligible for the board's program 72.9 under section 42 must not exceed 160 acres for individual 72.10 landowners. 72.11 (b) Agricultural land eligible for payment in fiscal year 72.12 2000 must have been in a county under presidential disaster 72.13 declaration in either 1998 or 1999. In fiscal years 2001 and 72.14 thereafter, payment is available for eligible agricultural land 72.15 in any county under a presidential disaster declaration related 72.16 to agriculture. 72.17 (c) Eligible land may be set aside for payment under 72.18 section 42 for a period of three years. 72.19 (d) At least five percent of an individual's acreage set 72.20 aside for payments under this program must be planted with short 72.21 rotation woody crops or windbreaks. Short rotation woody crops 72.22 and windbreaks may not be planted within one-quarter of a mile 72.23 of a state or federally protected prairie. Plantings on each 72.24 acre may be consistent with an organic farming plan developed 72.25 under the supervision of an approved organic certification 72.26 organization and must be in compliance with a conservation plan 72.27 approved by the local soil and water conservation district and 72.28 seeded to a vegetative cover at the earliest practicable time. 72.29 (e) Land enrolled in the federal conservation reserve 72.30 program under Public Law Number 99-198, as amended, is not 72.31 eligible for enrollment under sections 40 to 43. 72.32 Sec. 42. [PAYMENTS.] 72.33 To the extent appropriated money is available for this 72.34 purpose, annual payments for eligible land under section 41 that 72.35 is set aside by the board must be based on the soil rental rates 72.36 established under the federal conservation reserve program 73.1 contained in Public Law Number 99-198. An additional annual 73.2 payment of $5 per acre may be paid for acreage maintenance. 73.3 Payments for conservation plan implementation must be 73.4 consistent with Minnesota Statutes, section 103C.501. 73.5 Sec. 43. [ADMINISTRATION.] 73.6 The land payment program in sections 41 and 42 must be 73.7 administered by soil and water conservation districts under 73.8 guidelines and grants by the board. 73.9 Sec. 44. [REPEALER.] 73.10 Section 20 of H.F. No. 3046 of the 2000 regular session, if 73.11 enacted, is repealed. 73.12 Sec. 45. [EFFECTIVE DATE.] 73.13 Section 10 is effective the day following final enactment 73.14 and applies to claims for corrective action costs incurred after 73.15 that date. Sections 11 and 35 are effective retroactive to July 73.16 1, 1999. The remainder of this article is effective the day 73.17 following final enactment. 73.18 ARTICLE 4 73.19 APPROPRIATIONS 73.20 Section 1. [CRIMINAL JUSTICE APPROPRIATIONS.] 73.21 The sums shown in the columns marked "APPROPRIATIONS" are 73.22 appropriated from the general fund, or another fund named, to 73.23 the agencies and for the purposes specified in this article, to 73.24 be available for the fiscal years indicated for each purpose. 73.25 The figures "2000" and "2001" where used in this article, mean 73.26 that the appropriation or appropriations listed under them are 73.27 available for the year ending June 30, 2000, or June 30, 2001, 73.28 respectively. 73.29 APPROPRIATIONS 73.30 Available for the Year 73.31 Ending June 30 73.32 2000 2001 73.33 Sec. 2. SUPREME COURT -0- 4,000 73.34 $4,000 is a one-time appropriation to 73.35 conduct a one-half day judicial seminar 73.36 on parenting plans. 73.37 Sec. 3. COURT OF APPEALS -0- 200,000 73.38 $200,000 is to restore legal/judicial 73.39 support services. 74.1 Sec. 4. DISTRICT COURT -0- 2,879,000 74.2 $2,670,000 is to reduce judge unit 74.3 vacancies and restore judicial branch 74.4 infrastructure funding. The salaries 74.5 for judges that may be paid from this 74.6 appropriation are only those approved 74.7 by Laws 1997, Second Special Session 74.8 chapter 3, section 16. 74.9 $130,000 is a one-time appropriation to 74.10 continue the community court in the 74.11 second judicial district. 74.12 $79,000 is a one-time appropriation for 74.13 extraordinary prosecution costs in 74.14 Carlton county. 74.15 Sec. 5. PUBLIC SAFETY 74.16 Subdivision 1. Total 74.17 Appropriation 3,813,000 2,711,000 74.18 Summary by Fund 74.19 General 3,813,000 825,000 74.20 Special Revenue -0- 1,886,000 74.21 The amounts that may be spent from this 74.22 appropriation for each program are 74.23 specified in the following subdivisions. 74.24 Subd. 2. Driver and Vehicle 74.25 Services 74.26 -0- 20,000 74.27 $20,000 is a one-time appropriation for 74.28 costs related to the recodification of 74.29 the driving while impaired laws, if 74.30 S.F. No. 2677 is enacted. 74.31 Subd. 3. Emergency Management 74.32 3,813,000 -0- 74.33 $3,813,000 is for the state match of 74.34 federal disaster assistance money under 74.35 Minnesota Statutes, section 12.221. 74.36 This appropriation is available to fund 74.37 state obligations incurred through the 74.38 receipt of federal disaster assistance 74.39 grants and is added to the 74.40 appropriation in Laws 1999, chapter 74.41 216, article 1, section 7, subdivision 74.42 2. 74.43 Subd. 4. Criminal Apprehension 74.44 -0- 225,000 74.45 $200,000 is a one-time appropriation 74.46 for overtime costs. 74.47 $25,000 is a one-time appropriation to 74.48 develop and conduct the court security 74.49 training program described in article 74.50 5, section 10. 74.51 Subd. 5. Law Enforcement and 75.1 Community Grants 75.2 Summary by Fund 75.3 General -0- 430,000 75.4 Special Revenue -0- 1,886,000 75.5 $150,000 is a one-time appropriation 75.6 for juvenile prostitution law 75.7 enforcement and officer training grants 75.8 under Minnesota Statutes, section 75.9 299A.71. 75.10 $250,000 is a one-time appropriation 75.11 for a grant to the Ramsey county 75.12 attorney's office to establish and fund 75.13 the joint domestic abuse prosecution 75.14 unit described in article 6, section 10. 75.15 $30,000 is a one-time appropriation for 75.16 grants under Minnesota Statutes, 75.17 section 299A.62, to local law 75.18 enforcement agencies or regional jails 75.19 for the purchase of dogs trained to 75.20 detect or locate controlled substances 75.21 by scent. Grants are limited to one 75.22 dog per agency. Local law enforcement 75.23 agencies that previously received a 75.24 grant under Laws 1999, chapter 216, 75.25 article 1, section 7, subdivision 6, 75.26 are ineligible for a grant. 75.27 $1,886,000 is for the automobile theft 75.28 prevention program described in 75.29 Minnesota Statutes, section 299A.75. 75.30 This is a one-time appropriation from 75.31 the automobile theft prevention account 75.32 in the special revenue fund. The 75.33 commissioner may not spend any money 75.34 the commissioner receives from 75.35 surcharges in fiscal year 2001, in 75.36 excess of this appropriation unless the 75.37 legislature approves of the spending. 75.38 Subd. 6. Drug Policy and 75.39 Violence Prevention 75.40 -0- 150,000 75.41 $150,000 is a one-time appropriation 75.42 for distribution as matching funds to 75.43 counties participating in 75.44 multijurisdictional narcotics task 75.45 forces that receive federal Byrne grant 75.46 funds. These matching funds are 75.47 available statewide to any county 75.48 currently participating in a task 75.49 force, any county seeking to join an 75.50 existing task force, and any county 75.51 starting its own task force. These 75.52 matching funds may be used to enhance 75.53 enforcement of drug laws by training 75.54 and educating law enforcement personnel 75.55 and other interested members of the 75.56 community. 75.57 Sec. 6. CENTER FOR 75.58 CRIME VICTIM SERVICES -0- 1,240,000 75.59 $1,200,000 is a one-time appropriation 76.1 for per diem payments for battered 76.2 women shelter facilities incurred 76.3 during the administrative transfer of 76.4 responsibility for these payments from 76.5 the department of human services to the 76.6 department of public safety. Any 76.7 portion of this appropriation that is 76.8 not expended for payments incurred 76.9 before July 1, 2000, may be transferred 76.10 to the department's fiscal year 2001 76.11 appropriation for the per diem 76.12 program. The department of public 76.13 safety's liability for battered women 76.14 shelter per diem payments that are 76.15 incurred through June 30, 2000, and are 76.16 not paid by the department of human 76.17 services extends only to this 76.18 appropriation. The department shall 76.19 process payments in the order in which 76.20 they are received until this 76.21 appropriation is completely expended. 76.22 No part of the department's fiscal year 76.23 2001 per diem program appropriation or 76.24 any other funding may be used for 76.25 program expenses incurred before July 76.26 1, 2000. 76.27 $40,000 is a one-time appropriation for 76.28 a grant to the center for applied 76.29 research and policy analysis at 76.30 Metropolitan state university for the 76.31 domestic violence shelter study 76.32 described in article 6, section 11. 76.33 Sec. 7. CORRECTIONS -0- 2,250,000 76.34 $1,750,000 is a one-time appropriation 76.35 for a grant or grants to counties, 76.36 groups of counties, or a county or 76.37 group of counties and a tribal 76.38 government, for up to 30 percent of the 76.39 construction cost of adult regional 76.40 detention facilities. 76.41 $500,000 is a one-time appropriation 76.42 for predesign of a joint headquarters 76.43 building for the department of 76.44 corrections and the department of 76.45 public safety. 76.46 The commissioner shall predesign a 76.47 vocational building at Minnesota 76.48 correctional facility-St. Cloud. 76.49 The fiscal year 2001 general fund 76.50 appropriation for juvenile residential 76.51 treatment grants in Laws 1999, chapter 76.52 216, article 1, section 13, subdivision 76.53 4, is reduced by $1,942,000. This is a 76.54 one-time reduction. 76.55 Sec. 8. AUTOMOBILE THEFT PREVENTION 76.56 BOARD 76.57 The fiscal year 2000 transfer from the 76.58 automobile theft prevention account in 76.59 the special revenue fund to the 76.60 commissioner of public safety in Laws 76.61 1999, chapter 216, article 1, section 76.62 18, is reduced by $100,000. 77.1 By June 30, 2000, the commissioner of 77.2 finance shall transfer the available 77.3 unencumbered balance from the 77.4 automobile theft prevention account in 77.5 the special revenue fund to the general 77.6 fund. Minnesota Statutes, section 77.7 168A.40, subdivision 4, does not apply 77.8 to money transferred to the general 77.9 fund under this paragraph. 77.10 Sec. 9. SENTENCING 77.11 GUIDELINES COMMISSION -0- 20,000 77.12 $20,000 is a one-time appropriation for 77.13 salary increases. 77.14 Sec. 10. MINNESOTA SAFETY 77.15 COUNCIL -0- 200,000 77.16 $200,000 is a one-time appropriation 77.17 for the crosswalk safety awareness 77.18 program described in article 6, section 77.19 9. 77.20 Sec. 11. UNIVERSITY OF -0- 20,000 77.21 MINNESOTA 77.22 $20,000 is a one-time appropriation to 77.23 cover the cost of updating the parent 77.24 education curriculum. 77.25 Sec. 12. Laws 1999, chapter 216, article 1, section 7, 77.26 subdivision 6, is amended to read: 77.27 Subd. 6. Law Enforcement and Community Grants 77.28 10,290,000 7,583,000 77.29 $1,000,000 the first year is for grants 77.30 to pay the costs of developing or 77.31 implementing a criminal justice 77.32 information integration plan as 77.33 described in Minnesota Statutes, 77.34 section 299C.65, subdivision 6 or 7. 77.35 The commissioner shall make a minimum 77.36 of two grants from this appropriation. 77.37 This is a one-time appropriation. 77.38 The commissioner of public safety shall 77.39 consider using a portion of federal 77.40 Byrne grant funds for costs related to 77.41 developing or implementing a criminal 77.42 justice information system integration 77.43 plan as described in Minnesota 77.44 Statutes, section 299C.65, subdivision 77.45 6 or 7. 77.46 $400,000 the first year is for a grant 77.47 to the city of Marshall to construct, 77.48 furnish, and equip a regional emergency 77.49 response training center. The balance, 77.50 if any, does not cancel but is 77.51 available for the fiscal year ending 77.52 June 30, 2001. 77.53 $10,000 the first year is for the 77.54 commissioner of public safety to 77.55 reconvene the task force that developed 77.56 the statewide master plan for fire and 77.57 law enforcement training facilities 78.1 under Laws 1998, chapter 404, section 78.2 21, subdivision 3, for the purpose of 78.3 developing specific recommendations 78.4 concerning the siting, financing and 78.5 use of these training facilities. The 78.6 commissioner's report shall include 78.7 detailed recommendations concerning the 78.8 following issues: 78.9 (1) the specific cities, counties, or 78.10 regions of the state where training 78.11 facilities should be located; 78.12 (2) the reasons why a training facility 78.13 should be sited in the recommended 78.14 location, including a description of 78.15 the public safety training needs in 78.16 that part of the state; 78.17 (3) the extent to which neighboring 78.18 cities and counties should be required 78.19 to collaborate in funding and operating 78.20 the recommended training facilities; 78.21 (4) an appropriate amount for a local 78.22 funding match (up to 50 percent) for 78.23 cities and counties using the training 78.24 facility to contribute in money or 78.25 other resources to build, expand, or 78.26 operate the facility; 78.27 (5) the feasibility of providing 78.28 training at one or more of the 78.29 recommended facilities for both law 78.30 enforcement and fire safety personnel; 78.31 (6) whether the regional or statewide 78.32 need for increased public safety 78.33 training resources can be met through 78.34 the expansion of existing training 78.35 facilities rather than the creation of 78.36 new facilities and, if so, which 78.37 facilities should be expanded; and 78.38 (7) any other issues the task force 78.39 deems relevant. 78.40 By January 15, 2000, the commissioner 78.41 shall submit the report to the chairs 78.42 and ranking minority members of the 78.43 house and senate committees and 78.44 divisions with jurisdiction over 78.45 capital investment issues and criminal 78.46 justice funding and policy. 78.47 $746,000 the first year and $766,000 78.48 the second year are for personnel and 78.49 administrative costs for the criminal 78.50 gang oversight council and strike force 78.51 described in Minnesota Statutes, 78.52 section 299A.64. 78.53 $1,171,000 the first year and 78.54 $2,412,000 are for the grants 78.55 authorized under Minnesota Statutes, 78.56 section 299A.66, subdivisions 1 and 2. 78.57 Of this appropriation, $1,595,000 each 78.58 year shall be included in the 2002-2003 78.59 biennial base budget. 78.60 By January 15, 2000, the criminal gang 79.1 oversight council shall submit a report 79.2 to the chairs and ranking minority 79.3 members of the senate and house 79.4 committees and divisions with 79.5 jurisdiction over criminal justice 79.6 funding and policy describing the 79.7 following: 79.8 (1) the types of crimes on which the 79.9 oversight council and strike force have 79.10 primarily focused their investigative 79.11 efforts since their inception; 79.12 (2) a detailed accounting of how the 79.13 oversight council and strike force have 79.14 spent all funds and donations they have 79.15 received since their inception, 79.16 including donations of goods and 79.17 services; 79.18 (3) the extent to which the activities 79.19 of the oversight council and strike 79.20 force overlap or duplicate the 79.21 activities of the fugitive task force 79.22 or the activities of any federal, 79.23 state, or local task forces that 79.24 investigate interjurisdictional 79.25 criminal activity; and 79.26 (4) the long-term goals that the 79.27 criminal gang oversight council and 79.28 strike force hope to achieve. 79.29 The commissioner of public safety shall 79.30 consider using a portion of federal 79.31 Byrne grant funds for criminal gang 79.32 prevention and intervention activities 79.33 to (1) help gang members separate 79.34 themselves, or remain separated, from 79.35 gangs; and (2) prevent individuals from 79.36 becoming affiliated with gangs. 79.37 $50,000 the first year is for a grant 79.38 to the Minnesota Safety Council to 79.39 continue the crosswalk safety awareness 79.40 campaign. The Minnesota Safety Council 79.41 shall work with the department of 79.42 transportation to develop a long range 79.43 plan to continue the crosswalk safety 79.44 awareness campaign. 79.45 $500,000 the first year is for grants 79.46 under Minnesota Statutes, section 79.47 299A.62, subdivision 1. These grants 79.48 shall be distributed as provided in 79.49 Minnesota Statutes, section 299A.62, 79.50 subdivision 2. This is a one-time 79.51 appropriation. 79.52 Up to $30,000 of the appropriation for 79.53 grants under Minnesota Statutes, 79.54 section 299A.62, is for grants to 79.55 requesting local law enforcement 79.56 agencies to purchase dogs trained to 79.57 detect or locate controlled substances 79.58 by scent. Grants are limited to one 79.59 dog per county. 79.60 $50,000 the first year and $50,000 the 79.61 second year are for grants to the 79.62 northwest Hennepin human services 80.1 council to administer the northwest 80.2 community law enforcement project, to 80.3 be available until June 30, 2001. This 80.4 is a one-time appropriation. 80.5 $30,000 the first year is to assist 80.6 volunteer ambulance services, licensed 80.7 under Minnesota Statutes, chapter 144E, 80.8 in purchasing automatic external 80.9 defibrillators. Ambulance services are 80.10 eligible for a grant under this 80.11 provision if they do not already 80.12 possess an automatic external 80.13 defibrillator and if they provide a 25 80.14 percent match in nonstate funds. This 80.15 is a one-time appropriation. 80.16 $50,000 the first year and $50,000 the 80.17 second year are for grants under 80.18 Minnesota Statutes, section 119A.31, 80.19 subdivision 1, clause (12), to 80.20 organizations that focus on 80.21 intervention and prevention of teenage 80.22 prostitution. 80.23 The commissioner of public safety shall 80.24 administer a program to distribute tire 80.25 deflators to local or state law 80.26 enforcement agencies selected by the 80.27 commissioner of public safety and to80.28 distribute or otherwise make available80.29 a computer-controlled driving simulator80.30 to local or state law enforcement80.31 agencies or POST-certified skills80.32 programs selected by the commissioner80.33 of public safety. 80.34 Before any decisions are made on which 80.35 law enforcement agencies will receive 80.36 tire deflators or the driving80.37 simulator, a committee consisting of a 80.38 representative from the Minnesota 80.39 chiefs of police association, a 80.40 representative from the Minnesota 80.41 sheriffs association, a representative 80.42 from the state patrol, and a 80.43 representative from the Minnesota 80.44 police and peace officers association 80.45 shall evaluate the applications. The 80.46 commissioner shall consult with the 80.47 committee concerning its evaluation and 80.48 recommendations on distribution 80.49 proposals prior to making a final 80.50 decision on distribution. 80.51 Law enforcement agencies that receive 80.52 tire deflators under this section 80.53 must: (i) provide any necessary 80.54 training to their employees concerning 80.55 use of the tire deflators; (ii) compile 80.56 statistics on use of the tire deflators 80.57 and the results; (iii) provide a 80.58 one-to-one match in nonstate funds; and 80.59 (iv) report this information to the 80.60 commissioner as required. 80.61 Law enforcement agencies or80.62 POST-certified skills programs that80.63 receive a computer-controlled driving80.64 simulator under this section must:81.1 (1) provide necessary training to their81.2 employees in emergency vehicle81.3 operations and in the conduct of police81.4 pursuits;81.5 (2) provide a five-year plan for81.6 maintaining the hardware necessary to81.7 operate the driving simulator;81.8 (3) provide a five-year plan to update81.9 software necessary to operate the81.10 driving simulator;81.11 (4) provide a plan to make the driving81.12 simulator available at a reasonable81.13 cost and with reasonable availability81.14 to other law enforcement agencies to81.15 train their officers; and81.16 (5) provide an estimate of the81.17 availability of the driving simulator81.18 for use by other law enforcement81.19 agencies.81.20 By January 15, 2001, the commissioner 81.21 shall report to the chairs and ranking 81.22 minority members of the house and 81.23 senate committees and divisions having 81.24 jurisdiction over criminal justice 81.25 matters on the tire deflators and the81.26 driving simulator distributed under81.27 this section. 81.28 $285,000 the first year is for a 81.29 one-time grant to the city of 81.30 Minneapolis to implement a coordinated 81.31 criminal justice system response to the 81.32 CODEFOR (Computer Optimized 81.33 Development-Focus on Results) law 81.34 enforcement strategy. This 81.35 appropriation is available until 81.36 expended. 81.37 $795,000 the first year is for a 81.38 one-time grant to Hennepin county to 81.39 implement a coordinated criminal 81.40 justice system response to the CODEFOR 81.41 (Computer Optimized Development-Focus 81.42 on Results) law enforcement strategy. 81.43 This appropriation is available until 81.44 expended. 81.45 $420,000 the first year is for a 81.46 one-time grant to the fourth judicial 81.47 district public defender's office to 81.48 accommodate the CODEFOR (Computer 81.49 Optimized Development-Focus on Results) 81.50 law enforcement strategy. This 81.51 appropriation is available until 81.52 expended. 81.53 $150,000 the first year and $150,000 81.54 the second year are for weed and seed 81.55 grants under Minnesota Statutes, 81.56 section 299A.63. Money not expended 81.57 the first year is available for grants 81.58 during the second year. This is a 81.59 one-time appropriation. 81.60 $200,000 each year is a one-time 81.61 appropriation for a grant to the center 82.1 for reducing rural violence to continue 82.2 the technical assistance and related 82.3 rural violence prevention services the 82.4 center offers to rural communities. 82.5 $500,000 the first year and $500,000 82.6 the second year are to operate the 82.7 weekend camp program at Camp Ripley 82.8 described in Laws 1997, chapter 239, 82.9 article 1, section 12, subdivision 3, 82.10 as amended by Laws 1998, chapter 367, 82.11 article 10, section 13. The powers and 82.12 duties of the department of corrections 82.13 with respect to the weekend program are 82.14 transferred to the department of public 82.15 safety under Minnesota Statutes, 82.16 section 15.039. The commissioner shall 82.17 attempt to expand the program to serve 82.18 500 juveniles per year within this 82.19 appropriation. 82.20 An additional $125,000 the first year 82.21 and $125,000 the second year are for 82.22 the weekend camp program at Camp Ripley. 82.23 $500,000 the first year and $500,000 82.24 the second year are for Asian-American 82.25 juvenile crime intervention and 82.26 prevention grants under Minnesota 82.27 Statutes, section 256.486. The powers 82.28 and duties of the department of human 82.29 services, with respect to that program, 82.30 are transferred to the department of 82.31 public safety under Minnesota Statutes, 82.32 section 15.039. This is a one-time 82.33 appropriation. 82.34 Sec. 13. Laws 1999, chapter 216, article 1, section 18, is 82.35 amended to read: 82.36 Sec. 18. AUTOMOBILE THEFT PREVENTION 82.37 BOARD 2,277,000 1,886,00082.38 -0- 82.39 This appropriation is from the 82.40 automobile theft prevention account in 82.41 the special revenue fund. 82.42 Of this appropriation, up to $400,000 82.43 the first year is transferred to the 82.44 commissioner of public safety for the 82.45 purchase and distribution of tire 82.46 deflators to local or state law 82.47 enforcement agencies and for the82.48 purchase of a computer-controlled82.49 driving simulator. Any amount not 82.50 spent by the commissioner of public 82.51 safety for this purpose shall be 82.52 returned to the automobile theft 82.53 prevention account in the special 82.54 revenue fund and may be used for other 82.55 automobile theft prevention activities. 82.56 The automobile theft prevention board 82.57 may not spend any money it receives 82.58 from surcharges in the fiscal year 82.59 2000-2001 biennium, unless the 82.60 legislature approves the spending. 82.61 The executive director of the 83.1 automobile theft prevention board may 83.2 not sit on the automobile theft 83.3 prevention board. 83.4 Sec. 14. Laws 1999, chapter 216, article 1, section 14, is 83.5 amended to read: 83.6 Sec. 14. CORRECTIONS OMBUDSMAN 470,000 400,000310,000 83.7 If the reduction in the base level 83.8 funding causes a reduction in the 83.9 number of employees, then the 83.10 commissioner of corrections and 83.11 commissioner of public safety shall 83.12 make reasonable efforts to transfer the 83.13 affected employees to positions within 83.14 the department of corrections or 83.15 department of public safety. 83.16 Sec. 15. Laws 1999, chapter 216, article 1, section 9, is 83.17 amended to read: 83.18 Sec. 9. CRIME VICTIM 83.19 OMBUDSMAN 404,000 389,000379,000 83.20 $20,000 the first year is for the crime 83.21 victims case management system. 83.22 ARTICLE 5 83.23 COURTS 83.24 Section 1. Minnesota Statutes 1998, section 169.89, 83.25 subdivision 2, is amended to read: 83.26 Subd. 2. [PETTY MISDEMEANOR PENALTY; NO JURY TRIAL.] A 83.27 person charged with a petty misdemeanor is not entitled to a 83.28 jury trial but shall be tried by a judge without a jury. If 83.29 convicted, the person is not subject to imprisonment but shall 83.30 be punished by a fine of not more than $200$300. 83.31 Sec. 2. Minnesota Statutes 1998, section 609.02, 83.32 subdivision 3, is amended to read: 83.33 Subd. 3. [MISDEMEANOR.] "Misdemeanor" means a crime for 83.34 which a sentence of not more than 90 days or a fine of not more 83.35 than $700$1,000, or both, may be imposed. 83.36 Sec. 3. Minnesota Statutes 1998, section 609.02, 83.37 subdivision 4a, is amended to read: 83.38 Subd. 4a. [PETTY MISDEMEANOR.] "Petty misdemeanor" means a 83.39 petty offense which is prohibited by statute, which does not 83.40 constitute a crime and for which a sentence of a fine of not 83.41 more than $200$300 may be imposed. 83.42 Sec. 4. Minnesota Statutes 1998, section 609.03, is 84.1 amended to read: 84.2 609.03 [PUNISHMENT WHEN NOT OTHERWISE FIXED.] 84.3 If a person is convicted of a crime for which no punishment 84.4 is otherwise provided the person may be sentenced as follows: 84.5 (1) If the crime is a felony, to imprisonment for not more 84.6 than five years or to payment of a fine of not more than 84.7 $10,000, or both; or 84.8 (2) If the crime is a gross misdemeanor, to imprisonment 84.9 for not more than one year or to payment of a fine of not more 84.10 than $3,000, or both; or 84.11 (3) If the crime is a misdemeanor, to imprisonment for not 84.12 more than 90 days or to payment of a fine of not more than 84.13 $700$1,000, or both; or 84.14 (4) If the crime is other than a misdemeanor and a fine is 84.15 imposed but the amount is not specified, to payment of a fine of 84.16 not more than $1,000, or to imprisonment for a specified term of 84.17 not more than six months if the fine is not paid. 84.18 Sec. 5. Minnesota Statutes 1998, section 609.033, is 84.19 amended to read: 84.20 609.033 [INCREASED MAXIMUM PENALTIES FOR MISDEMEANORS.] 84.21 Any law of this state which provides for a maximum fine of 84.22 $500$700 as a penalty for a violationmisdemeanor shall, on or 84.23 after August 1, 19832000, be deemed to provide for a maximum 84.24 fine of $700$1,000. 84.25 Sec. 6. Minnesota Statutes 1998, section 609.0331, is 84.26 amended to read: 84.27 609.0331 [INCREASED MAXIMUM PENALTIES FOR PETTY 84.28 MISDEMEANORS.] 84.29 A law of this state that provides, on or after August 1, 84.30 19872000, for a maximum penalty of $100$200 for a petty 84.31 misdemeanor is considered to provide for a maximum fine 84.32 of $200$300. 84.33 Sec. 7. Minnesota Statutes 1998, section 609.0332, 84.34 subdivision 1, is amended to read: 84.35 Subdivision 1. [INCREASED FINE.] From August 1, 19872000, 84.36 if a state law or municipal charter sets a limit of $100$200 or 85.1 less on the fines that a statutory or home rule charter city, 85.2 town, county, or other political subdivision may prescribe for 85.3 an ordinance violation that is defined as a petty misdemeanor, 85.4 that law or charter is considered to provide that the political 85.5 subdivision has the power to prescribe a maximum fine of $20085.6 $300 for the petty misdemeanor violation. 85.7 Sec. 8. Minnesota Statutes 1998, section 609.034, is 85.8 amended to read: 85.9 609.034 [INCREASED MAXIMUM PENALTY FOR ORDINANCE 85.10 VIOLATIONS.] 85.11 Any law of this state or municipal charter which limits the 85.12 power of any statutory or home rule charter city, town, county, 85.13 or other political subdivision to prescribe a maximum fine of 85.14 $500$700 or less for an ordinance shall on or after August 1, 85.15 19832000, be deemed to provide that the statutory or home rule 85.16 charter city, town, county, or other political subdivision has 85.17 the power to prescribe a maximum fine of $700$1,000. 85.18 Sec. 9. [AUTOMATED VICTIM NOTIFICATION SYSTEM.] 85.19 All courts and state and local correctional facilities 85.20 shall consider implementing an automated victim notification 85.21 system. The commissioner of public safety, in cooperation with 85.22 the commissioners of children, families, and learning; 85.23 corrections; and economic security; shall provide financial 85.24 assistance to implement these systems. The commissioners shall 85.25 determine the extent of the financial assistance and the manner 85.26 in which it will be provided. Participating local governments 85.27 shall provide a cash or in-kind match as determined by the 85.28 commissioner of public safety. 85.29 Sec. 10. [COURT SECURITY TRAINING PROGRAM.] 85.30 The superintendent of the bureau of criminal apprehension 85.31 shall develop and implement a training program for court and law 85.32 enforcement personnel. The training program must: 85.33 (1) include methods to increase security within court 85.34 houses and surrounding property; 85.35 (2) focus on protecting judges, court employees, members of 85.36 the public, and participants in the legal process; and 86.1 (3) allow individuals who receive it to, in turn, 86.2 effectively train others. 86.3 Sec. 11. [EFFECTIVE DATE.] 86.4 Sections 1 to 8 are effective August 1, 2000, and apply to 86.5 violations committed on or after that date. 86.6 ARTICLE 6 86.7 PUBLIC SAFETY 86.8 Section 1. Minnesota Statutes 1998, section 168A.40, 86.9 subdivision 3, is amended to read: 86.10 Subd. 3. [SURCHARGE.] Each insurer engaged in the writing 86.11 of policies of automobile insurance shall collect a surcharge, 86.12 at the rate of 50 cents per vehicle for every six months of 86.13 coverage, on each policy of automobile insurance providing 86.14 comprehensive insurance coverage issued or renewed in this 86.15 state. The surcharge may not be considered premium for any 86.16 purpose, including the computation of premium tax or agents' 86.17 commissions. The amount of the surcharge must be separately 86.18 stated on either a billing or policy declaration sent to an 86.19 insured. Insurers shall remit the revenue derived from this 86.20 surcharge at least quarterly to the boardcommissioner of public 86.21 safety for purposes of the automobile theft prevention 86.22 program described in section 299A.75. For purposes of this 86.23 subdivision, "policy of automobile insurance" has the meaning 86.24 given it in section 65B.14, covering only the following types of 86.25 vehicles as defined in section 168.011: 86.26 (1) a passenger automobile; 86.27 (2) a pick-up truck; 86.28 (3) a van but not commuter vans as defined in section 86.29 168.126; or 86.30 (4) a motorcycle, 86.31 except that no vehicle with a gross vehicle weight in 86.32 excess of 10,000 pounds is included within this definition. 86.33 Sec. 2. Minnesota Statutes 1998, section 168A.40, 86.34 subdivision 4, is amended to read: 86.35 Subd. 4. [AUTOMOBILE THEFT PREVENTION ACCOUNT.] A special 86.36 revenue account is created in the state treasury to be credited 87.1 with the proceeds of the surcharge imposed under subdivision 3. 87.2 Revenue in the account may be used only for the automobile theft 87.3 prevention program described in section 299A.75. The board may87.4 not spend in any fiscal year more than ten percent of the money87.5 in the fund for its administrative and operating costs.87.6 Sec. 3. Minnesota Statutes 1998, section 169.21, 87.7 subdivision 2, is amended to read: 87.8 Subd. 2. [RIGHTS IN ABSENCE OF SIGNAL.] (a) Where 87.9 traffic-control signals are not in place or in operation, the 87.10 driver of a vehicle shall stop to yield the right-of-way to a 87.11 pedestrian crossing the roadway within a marked crosswalk or 87.12 within any crosswalkat an intersection butwith no marked 87.13 crosswalk. The driver must remain stopped until the pedestrian 87.14 has passed the lane in which the vehicle is stopped. No 87.15 pedestrian shall suddenly leave a curb or other place of safety 87.16 and walk or run into the path of a vehicle which is so close 87.17 that it is impossible for the driver to yield. This provision 87.18 shall not apply under the conditions as otherwise provided in 87.19 this subdivision. 87.20 (b) When any vehicle is stopped at a marked crosswalk or at 87.21 any unmarked crosswalk atan intersection with no marked 87.22 crosswalk to permit a pedestrian to cross the roadway, the 87.23 driver of any other vehicle approaching from the rear shall not 87.24 overtake and pass the stopped vehicle. 87.25 (c) It is unlawful for any person to drive a motor vehicle 87.26 through a column of school children crossing a street or highway 87.27 or past a member of a school safety patrol or adult crossing 87.28 guard, while the member of the school safety patrol or adult 87.29 crossing guard is directing the movement of children across a 87.30 street or highway and while the school safety patrol member or 87.31 adult crossing guard is holding an official signal in the stop 87.32 position. A peace officer may arrest the driver of a motor 87.33 vehicle if the peace officer has probable cause to believe that 87.34 the driver has operated the vehicle in violation of this 87.35 paragraph within the past four hours. 87.36 (d) A person who violates this subdivision is guilty of a 88.1 misdemeanor and may be sentenced to imprisonment for not more 88.2 than 90 days or to payment of a fine of not more than $700, or 88.3 both. A person who violates this subdivision a second or 88.4 subsequent time within one year of a previous conviction under 88.5 this subdivision is guilty of a gross misdemeanor and may be 88.6 sentenced to imprisonment for not more than one year or to 88.7 payment of a fine of not more than $3,000, or both. 88.8 Sec. 4. Minnesota Statutes 1998, section 169.21, 88.9 subdivision 3, is amended to read: 88.10 Subd. 3. [CROSSING BETWEEN INTERSECTIONS.] Every 88.11 pedestrian crossing a roadway at any point other than within a 88.12 marked crosswalk or within an unmarked crosswalkat an 88.13 intersection with no marked crosswalk shall yield the 88.14 right-of-way to all vehicles upon the roadway. 88.15 Any pedestrian crossing a roadway at a point where a 88.16 pedestrian tunnel or overhead pedestrian crossing has been 88.17 provided shall yield the right-of-way to all vehicles upon the 88.18 roadway. 88.19 Between adjacent intersections at which traffic-control 88.20 signals are in operation pedestrians shall not cross at any 88.21 place except in a marked crosswalk. 88.22 Notwithstanding the other provisions of this section every 88.23 driver of a vehicle shall: (a) exercise due care to avoid 88.24 colliding with any bicycle or pedestrian upon any roadway and 88.25 (b) give an audible signal when necessary and exercise proper 88.26 precaution upon observing any child or any obviously confused or 88.27 incapacitated person upon a roadway. 88.28 Sec. 5. [169.2151] [PEDESTRIAN SAFETY CROSSINGS.] 88.29 A local road authority may provide by ordinance for the 88.30 designation of pedestrian safety crossings on highways under the 88.31 road authority's jurisdiction where pedestrian safety 88.32 considerations require extra time for pedestrian crossing in 88.33 addition to the time recommended under the Minnesota manual of 88.34 uniform traffic control devices for pedestrian signals. The 88.35 ordinance may provide for timing of pedestrian signals for such 88.36 crossings, consistent with the recommendations of the uniform 89.1 manual for pedestrian signal timing at senior citizen and 89.2 handicapped pedestrian crossings. Cities other than cities of 89.3 the first class may designate a pedestrian safety crossing only 89.4 with the approval of the road authority having jurisdiction over 89.5 the crossing. The authority of local road authorities to 89.6 determine pedestrian signal timing under this section is in 89.7 addition to any other control exercised by local road 89.8 authorities over the timing of pedestrian signals. 89.9 Sec. 6. [299A.71] [JUVENILE PROSTITUTION LAW ENFORCEMENT 89.10 AND OFFICER TRAINING GRANTS.] 89.11 Subdivision 1. [ESTABLISHMENT.] A grant program is 89.12 established for enhanced law enforcement efforts and peace 89.13 officer education and training to combat juvenile prostitution. 89.14 The goal of the grants is to provide peace officers with the 89.15 knowledge and skills to recognize individuals who sexually 89.16 exploit youth, charge and prosecute these individuals for 89.17 promotion and solicitation of prostitution, and effectively 89.18 communicate with the victims of juvenile prostitution. 89.19 Subd. 2. [ELIGIBILITY.] The commissioner of public safety 89.20 shall make juvenile prostitution prevention grants to local law 89.21 enforcement agencies to provide enhanced efforts targeted to 89.22 juvenile prostitution and training and staff development 89.23 relating to the prevention of juvenile prostitution. The law 89.24 enforcement agency must utilize all of the grant funding 89.25 received for efforts to combat juvenile prostitution. 89.26 Subd. 3. [GRANT APPLICATION.] A local law enforcement 89.27 agency must submit an application to the commissioner of public 89.28 safety in the form and manner the commissioner establishes. 89.29 Sec. 7. [299A.75] [AUTOMOBILE THEFT PREVENTION PROGRAM.] 89.30 Subdivision 1. [PROGRAM DESCRIBED.] (a) The commissioner 89.31 of public safety shall: 89.32 (1) develop and sponsor the implementation of statewide 89.33 plans, programs, and strategies to combat automobile theft, 89.34 improve the administration of the automobile theft laws, and 89.35 provide a forum for identification of critical problems for 89.36 those persons dealing with automobile theft; 90.1 (2) coordinate the development, adoption, and 90.2 implementation of plans, programs, and strategies relating to 90.3 interagency and intergovernmental cooperation with respect to 90.4 automobile theft enforcement; 90.5 (3) annually audit the plans and programs that have been 90.6 funded in whole or in part to evaluate the effectiveness of the 90.7 plans and programs and withdraw funding should the commissioner 90.8 determine that a plan or program is ineffective or is no longer 90.9 in need of further financial support from the fund; 90.10 (4) develop a plan of operation including an assessment of 90.11 the scope of the problem of automobile theft, including areas of 90.12 the state where the problem is greatest; an analysis of various 90.13 methods of combating the problem of automobile theft; a plan for 90.14 providing financial support to combat automobile theft; a plan 90.15 for eliminating car hijacking; and an estimate of the funds 90.16 required to implement the plan; and 90.17 (5) distribute money from the automobile theft prevention 90.18 special revenue account for automobile theft prevention 90.19 activities, including: 90.20 (i) paying the administrative costs of the program; 90.21 (ii) providing financial support to the state patrol and 90.22 local law enforcement agencies for automobile theft enforcement 90.23 teams; 90.24 (iii) providing financial support to state or local law 90.25 enforcement agencies for programs designed to reduce the 90.26 incidence of automobile theft and for improved equipment and 90.27 techniques for responding to automobile thefts; 90.28 (iv) providing financial support to local prosecutors for 90.29 programs designed to reduce the incidence of automobile theft; 90.30 (v) providing financial support to judicial agencies for 90.31 programs designed to reduce the incidence of automobile theft; 90.32 (vi) providing financial support for neighborhood or 90.33 community organizations or business organizations for programs 90.34 designed to reduce the incidence of automobile theft; 90.35 (vii) providing financial support for automobile theft 90.36 educational and training programs for state and local law 91.1 enforcement officials, driver and vehicle services exam and 91.2 inspections staff, and members of the judiciary; and 91.3 (viii) conducting educational programs designed to inform 91.4 automobile owners of methods of preventing automobile theft and 91.5 to provide equipment, for experimental purposes, to enable 91.6 automobile owners to prevent automobile theft. 91.7 (b) The commissioner may not spend in any fiscal year more 91.8 than ten percent of the money in the fund for the program's 91.9 administrative and operating costs. 91.10 Subd. 2. [ANNUAL REPORT.] By January 15 of each year, the 91.11 commissioner shall report to the governor and legislature on the 91.12 activities and expenditures in the preceding year. 91.13 Sec. 8. [299E.03] [CAPITOL COMPLEX SECURITY OVERSIGHT 91.14 COMMITTEE.] 91.15 Subdivision 1. [MEMBERSHIP.] (a) The capitol complex 91.16 security oversight committee consists of the following 91.17 individuals or their designees: 91.18 (1) the senate majority leader; 91.19 (2) the speaker of the house of representatives; 91.20 (3) the chief justice of the supreme court; 91.21 (4) the chair of the senate committee or division having 91.22 jurisdiction over criminal justice funding; 91.23 (5) the chair of the house of representatives committee or 91.24 division having jurisdiction over criminal justice funding; 91.25 (6) the commissioner of public safety; 91.26 (7) the commissioner of administration; 91.27 (8) the senate sergeant at arms; 91.28 (9) the house of representatives' sergeant at arms; 91.29 (10) the chief of the St. Paul police department; 91.30 (11) the president of a statewide association representing 91.31 government relations professionals; 91.32 (12) the director of the capitol complex security division; 91.33 and 91.34 (13) the chief supervisor of the state patrol. 91.35 (b) The committee may elect a chair from among its members. 91.36 Subd. 2. [DUTIES.] The oversight committee shall: 92.1 (1) develop both a short-term and a long-term plan relating 92.2 to the provision of security in the capitol complex and in other 92.3 state-owned or leased buildings and property, including 92.4 providing necessary security to the following: legislators, 92.5 constitutional officers, members of the judiciary, commissioners 92.6 of state agencies, state employees, visiting dignitaries, and 92.7 members of the public; 92.8 (2) develop guidelines that may be used to evaluate the 92.9 methods by which this security is provided; 92.10 (3) evaluate the budget for providing this security and 92.11 make annual budgetary recommendations to the legislature; and 92.12 (4) provide oversight to the entity providing capitol area 92.13 security and annually report to the legislature on the entity's 92.14 effectiveness. 92.15 The plans described in clause (1) must consider potential 92.16 shifting needs for security and the impact of new security 92.17 technology. 92.18 Subd. 3. [EXPIRATION AND COMPENSATION.] Notwithstanding 92.19 section 15.059, the oversight committee does not expire. 92.20 Committee members may not receive compensation for serving, but 92.21 may receive expense reimbursements as provided in section 15.059. 92.22 Sec. 9. [CROSSWALK SAFETY AWARENESS PROGRAM.] 92.23 The Minnesota safety council shall continue its crosswalk 92.24 safety awareness program by: 92.25 (1) developing and distributing crosswalk safety education 92.26 campaign materials; 92.27 (2) creating and placing advertisements in mass media 92.28 throughout the state; and 92.29 (3) making grants to local units of government and law 92.30 enforcement agencies for: 92.31 (i) implementing pedestrian safety awareness activities; 92.32 (ii) providing increased signage and crosswalk markings and 92.33 evaluating their effect on highway safety; and 92.34 (iii) enhancing enforcement of pedestrian safety laws. 92.35 Sec. 10. [JOINT DOMESTIC ABUSE PROSECUTION UNIT.] 92.36 Subdivision 1. [ESTABLISHMENT.] A pilot project is 93.1 established to develop a joint domestic abuse prosecution unit 93.2 administered by the Ramsey county attorney's office and the St. 93.3 Paul city attorney's office. The unit has authority to 93.4 prosecute misdemeanors, gross misdemeanors, and felonies. The 93.5 unit shall also coordinate efforts with child protection 93.6 attorneys. The unit may include four cross-deputized assistant 93.7 city attorneys and assistant county attorneys. A victim/witness 93.8 advocate, a law clerk, and a legal secretary may provide support. 93.9 Subd. 2. [GOALS.] The goals of this pilot project are to: 93.10 (1) recognize children as both victims and witnesses in 93.11 domestic abuse situations; 93.12 (2) recognize and respect the interests of children in the 93.13 prosecution of domestic abuse; and 93.14 (3) reduce the exposure to domestic violence for both adult 93.15 and child victims. 93.16 Subd. 3. [REPORT.] The Ramsey county attorney's office and 93.17 the St. Paul city attorney's office shall report to the chairs 93.18 and ranking minority members of the senate and house committees 93.19 and divisions having jurisdiction over criminal justice policy 93.20 and funding on the pilot project. The report may include the 93.21 number and types of cases referred, the number of cases charged, 93.22 the outcome of cases, and other relevant outcome measures. A 93.23 progress report is due January 15, 2001, and a final report is 93.24 due January 15, 2002. 93.25 Subd. 4. [SHARING OF PILOT PROJECT RESULTS.] The Ramsey 93.26 county attorney's office and the St. Paul city attorney's office 93.27 shall share the results of the pilot project with the state and 93.28 other counties and cities. 93.29 Sec. 11. [DOMESTIC VIOLENCE SHELTER STUDY.] 93.30 By March 15, 2001, the center for applied research and 93.31 policy analysis at Metropolitan State University, in cooperation 93.32 with the Minnesota center for crime victim services and the 93.33 department of public safety, shall study and make 93.34 recommendations to the chairs and ranking minority members of 93.35 the senate and house committees and divisions having 93.36 jurisdiction over criminal justice funding on issues related to 94.1 providing shelter for victims of domestic violence. The study 94.2 must estimate the relative impact of the following, as it 94.3 relates to providing shelter for victims of domestic violence: 94.4 (1) the incidence of domestic violence; 94.5 (2) law enforcement practices in response to domestic 94.6 violence; 94.7 (3) the number of victims seeking shelter and whether 94.8 adequate shelter space exists, and trends regarding this; 94.9 (4) the number of victims who have children also needing 94.10 shelter; 94.11 (5) the financial status of domestic violence victims; 94.12 (6) the necessary length of stay in shelters; and 94.13 (7) opportunities for victims to leave shelters. 94.14 In studying these issues, the center shall analyze costs and 94.15 demand for shelters in other states having programs comparable 94.16 to Minnesota's. 94.17 Sec. 12. [REVISOR INSTRUCTION.] 94.18 In the next edition of Minnesota Statutes, the revisor 94.19 shall eliminate all references to the automobile theft 94.20 prevention board and correct all cross references to statutes 94.21 repealed in section 13. 94.22 Sec. 13. [REPEALER.] 94.23 Minnesota Statutes 1998, section 168A.40, subdivision 1, 94.24 and Minnesota Statutes 1999 Supplement, section 168A.40, 94.25 subdivision 2, are repealed. 94.26 Sec. 14. [EFFECTIVE DATE.] 94.27 Sections 3 to 5 are effective September 1, 2000. 94.28 ARTICLE 7 94.29 CORRECTIONS 94.30 Section 1. [241.018] [PER DIEM CALCULATION.] 94.31 (a) The commissioner of corrections shall develop a uniform 94.32 method to calculate the average department wide per diem cost of 94.33 incarcerating offenders at state adult correctional facilities. 94.34 In addition to other costs currently factored into the per diem, 94.35 it must include an appropriate percentage of capitol costs for 94.36 all adult correctional facilities and 65 percent of the 95.1 department's management services budget. 95.2 (b) The commissioner also shall use this method of 95.3 calculating per diem costs for offenders in each state adult 95.4 correctional facility. When calculating the per diem cost of 95.5 incarcerating offenders at a particular facility, the 95.6 commissioner shall include an appropriate percentage of capital 95.7 costs for the facility and an appropriate prorated amount, given 95.8 the facility's population, of 65 percent of the department's 95.9 management services budget. 95.10 (c) The commissioner shall ensure that these new per diem 95.11 methods are used in all future instances in which per diem 95.12 charges are reported. 95.13 (d) The commissioner shall report information related to 95.14 these per diems to the chairs and ranking minority members of 95.15 the senate and house committees and divisions having 95.16 jurisdiction over criminal justice funding by January 15, 2001. 95.17 Sec. 2. Minnesota Statutes 1999 Supplement, section 95.18 242.192, is amended to read: 95.19 242.192 [CHARGES TO COUNTIES.] 95.20 (a) Until June 30, 2001, the commissioner shall charge 95.21 counties or other appropriate jurisdictions for65 percent of 95.22 the actualper diem cost of confinement, excluding educational 95.23 costs and nonbillable service, of juveniles at the Minnesota 95.24 correctional facility-Red Wing and of juvenile females committed 95.25 to the commissioner of corrections. This charge applies to 95.26 juveniles committed to the commissioner of corrections and 95.27 juveniles admitted to the Minnesota correctional facility-Red 95.28 Wing under established admissions criteria. This charge applies 95.29 to both counties that participate in the Community Corrections 95.30 Act and those that do not. The commissioner shall annually95.31 determine costs, making necessary adjustments to reflect the95.32 actual costs of confinementthe per diem cost of confinement 95.33 based on projected population, pricing incentives, market 95.34 conditions, and the requirement that expense and revenue balance 95.35 out over a period of two years. All money received under this 95.36 section must be deposited in the state treasury and credited to 96.1 the general fund. 96.2 (b) Until June 30, 2001, the department of corrections 96.3 shall be responsible for 35 percent of the per diem cost of 96.4 confinement described in this section. 96.5 Sec. 3. [242.193] [JUVENILE RESIDENTIAL TREATMENT GRANTS.] 96.6 Subdivision 1. [GRANTS.] Within the limits of available 96.7 appropriations, the commissioner of corrections shall make 96.8 juvenile residential treatment grants to counties to defray the 96.9 cost of juvenile residential treatment. The commissioner shall 96.10 distribute 80 percent of the money appropriated for these 96.11 purposes to noncommunity corrections counties and 20 percent to 96.12 Community Corrections Act counties. The commissioner shall 96.13 distribute the money according to the formula contained in 96.14 section 401.10. 96.15 Subd. 2. [REPORT.] By January 15 of each year, each county 96.16 that received a grant shall submit a report to the commissioner 96.17 describing the purposes for which the grants were used. By 96.18 March 15 of each year, the commissioner shall summarize this 96.19 information and report it to the chairs and ranking minority 96.20 members of the senate and house of representatives committees 96.21 and divisions having jurisdiction over criminal justice funding. 96.22 Sec. 4. Minnesota Statutes 1998, section 242.41, is 96.23 amended to read: 96.24 242.41 [THE MINNESOTA CORRECTIONAL FACILITY-RED WING.] 96.25 There is established the Minnesota correctional 96.26 facility-Red Wing at Red Wing, Minnesota, in which may be placed 96.27 persons committed to the commissioner of corrections by the 96.28 courts of this state who, in the opinion of the commissioner,96.29 may benefit from the programs available thereator admitted 96.30 consistent with established admissions criteria. When reviewing 96.31 placement requests from counties, the commissioner shall take 96.32 into consideration the purpose of the Minnesota correctional 96.33 facility-Red Wing which is to educate and provide treatment for 96.34 serious and chronic juvenile offenders for which the county has 96.35 exhausted local resources. The general control and management 96.36 of the facility shall be under the commissioner of corrections. 97.1 Sec. 5. Minnesota Statutes 1998, section 242.43, is 97.2 amended to read: 97.3 242.43 [COMMISSIONER, DUTIES.] 97.4 The commissioner of corrections shall receive, clothe, 97.5 maintain, and instruct , at the expense of the state,all 97.6 children duly committed to the corrections department and placed 97.7 in a state correctional facility for juveniles and keep them in 97.8 custody until placed on probation, paroled, or discharged. The 97.9 commissioner may place any of these children in suitable foster 97.10 care facilities or cause them to be instructed in such trades or 97.11 employment as in the commissioner's judgment will be most 97.12 conducive to their reformation and tend to the future benefit 97.13 and advantage of these children. The commissioner may discharge 97.14 any child so committed, or may recall to the facility at any 97.15 time any child paroled, placed on probation, or transferred; 97.16 and, upon recall, may resume the care and control thereof. The 97.17 discharge of a child by the commissioner shall be a complete 97.18 release from all penalties and disabilities created by reason of 97.19 the commitment. 97.20 Upon the parole or discharge of any inmate of any state 97.21 juvenile correctional facility, the commissioner of corrections 97.22 may pay to each inmate released an amount of money not exceeding 97.23 the sum of $10. All payments shall be made from the current 97.24 expense fund of the facility. 97.25 Sec. 6. Minnesota Statutes 1998, section 242.44, is 97.26 amended to read: 97.27 242.44 [PUPILS.] 97.28 The commissioner of corrections, so far as the 97.29 accommodations of the correctional facilities and other means at 97.30 the commissioner's disposal will permit, shallmay receive and97.31 keep until they reach 19 years of age, or until placed in homes,97.32 or discharged, all persons committed to the commissioner's care97.33 and custody by a juvenile courtjuvenile delinquents and 97.34 juvenile offenders serving a juvenile disposition under section 97.35 260B.130, subdivision 4. The commissioner's housing of these 97.36 individuals must be consistent with federal and state law, 98.1 including established admissions criteria for Minnesota 98.2 correctional facility-Red Wing. The commissioner may place 98.3 these youths at employment, may provide education suitable to 98.4 their years and capacity, and may place them in suitable homes. 98.5 Under rules prescribed by the commissioner, when deemed best for 98.6 these youths, theypersons committed to the commissioner's care 98.7 and custody by a juvenile court may be paroled or discharged 98.8 from the facility by the commissioner. All pupils in the 98.9 facility shall be clothed, instructed, and maintained at the98.10 expense of the stateby the commissioner of corrections. 98.11 Sec. 7. [260B.199] [PLACEMENT OF JUVENILE OFFENDERS AT 98.12 MINNESOTA CORRECTIONAL FACILITY-RED WING.] 98.13 Subdivision 1. [WHEN COURT MUST CONSIDER; PROHIBITION ON 98.14 PLACEMENT AT OUT-OF-STATE FACILITY.] The admissions criteria for 98.15 the Minnesota correctional facility-Red Wing shall include a 98.16 requirement that the county of referral must have considered all 98.17 appropriate local or regional placements and have exhausted 98.18 potential in-state placements in the geographic region. The 98.19 court must state on the record that this effort was made and 98.20 placements rejected before ordering a placement or commitment to 98.21 the Minnesota correctional facility-Red Wing. Before a court 98.22 orders a disposition under section 260B.198 or 260B.130, 98.23 subdivision 4, for a child, the court shall determine whether 98.24 the child meets the established admissions criteria for the 98.25 Minnesota correctional facility-Red Wing. If the child meets 98.26 the admissions criteria, the court shall place the child at the 98.27 facility and may not place the child in an out-of-state 98.28 facility, unless the court makes a finding on the record that 98.29 the safety of the child or the safety of the community can be 98.30 best met by placement in an out-of-state facility or that the 98.31 out-of-state facility is located closer to the child's home. 98.32 Subd. 2. [REPORT REQUIRED.] (a) A court that places a 98.33 child in an out-of-state facility shall report the following 98.34 information to the sentencing guidelines commission: 98.35 (1) the out-of-state facility the child was placed at and 98.36 the reasons for this placement; 99.1 (2) the in-state facilities at which placement was 99.2 considered; 99.3 (3) the reasons for not choosing an in-state facility; 99.4 (4) the reasons why the child did not meet the established 99.5 admissions criteria for the Minnesota correctional facility-Red 99.6 Wing, if applicable; and 99.7 (5) if the child met the admissions criteria, the reasons 99.8 why the safety of the child or the safety of the community could 99.9 not be met at the Minnesota correctional facility-Red Wing. 99.10 (b) By February 15 of each year, the commission shall 99.11 forward a summary of the reports received from courts under this 99.12 subdivision for the preceding year to the chairs and ranking 99.13 minority members of the senate and house of representatives 99.14 committees and divisions having jurisdiction over criminal 99.15 justice policy and funding. 99.16 Sec. 8. [260B.201] [MANDATORY COMMITMENT TO COMMISSIONER 99.17 OF CORRECTIONS.] 99.18 Subdivision 1. [DEFINITIONS.] (a) As used in this section, 99.19 the following terms have the meanings given them. 99.20 (b) "Chemical dependency treatment" means a comprehensive 99.21 set of planned and organized services, therapeutic experiences, 99.22 and interventions that are intended to improve the prognosis, 99.23 function, or outcome of patients by reducing the risk of the use 99.24 of alcohol, drugs, or other mind-altering substances and assist 99.25 the patient to adjust to, and deal more effectively with, life 99.26 situations. 99.27 (c) An offender has "failed or refused to successfully 99.28 complete" treatment when based on factors within the offender's 99.29 control, the offender is not able to substantially achieve the 99.30 program's goals and the program's director determines that based 99.31 on the offender's prior placement or treatment history, further 99.32 participation in the program would not result in its successful 99.33 completion. 99.34 (d) "Probation" has the meaning given in section 609.02, 99.35 subdivision 15. 99.36 (e) "Sex offender treatment" means a comprehensive set of 100.1 planned and organized services, therapeutic experiences, and 100.2 interventions that are intended to improve the prognosis, 100.3 function, or outcome of patients by reducing the risk of sexual 100.4 reoffense and other aggressive behavior and assist the patient 100.5 to adjust to, and deal more effectively with, life situations. 100.6 Subd. 2. [WHEN COMMITMENT REQUIRED.] (a) A court having 100.7 jurisdiction over a child shall commit the child to the custody 100.8 of the commissioner of corrections or place the child at the 100.9 Minnesota correctional facility-Red Wing if the child: 100.10 (1) was previously adjudicated delinquent or convicted as 100.11 an extended jurisdiction juvenile for an offense for which 100.12 registration under section 243.166 was required; 100.13 (2) was placed on probation for the offense and ordered to 100.14 complete a sex offender or chemical dependency treatment 100.15 program; and 100.16 (3) subsequently failed or refused to successfully complete 100.17 the program. 100.18 (b) If the child was initially convicted as an extended 100.19 jurisdiction juvenile, the court may execute the child's adult 100.20 sentence under section 260B.130, subdivision 4. Notwithstanding 100.21 paragraph (c), if the court does not do this, it shall comply 100.22 with paragraph (a). 100.23 (c) A court may place a child in an out-of-state facility 100.24 if the court makes a finding on the record that the safety of 100.25 the child or the safety of the community can be best met by 100.26 placement in an out-of-state facility or that the out-of-state 100.27 facility is located closer to the child's home. 100.28 Subd. 3. [REPORT REQUIRED.] A court ordering an 100.29 alternative placement under subdivision 2, paragraph (c), shall 100.30 report to the sentencing guidelines commission on the placement 100.31 ordered and the reasons for not committing the child to the 100.32 custody of the commissioner of corrections. If the alternative 100.33 placement is to an out-of-state facility, the report must 100.34 include specific information that the safety of the child or the 100.35 safety of the community can best be met by placement in an 100.36 out-of-state facility or that the out-of-state facility is 101.1 located closer to the child's home. By February 15 of each 101.2 year, the commission shall summarize the reports received from 101.3 courts under this paragraph for the preceding year and forward 101.4 this summary to the chairs and ranking minority members of the 101.5 senate and house of representatives committees and divisions 101.6 having jurisdiction over criminal justice policy and funding. 101.7 Sec. 9. [LEGISLATIVE INTENT.] 101.8 It is the intent of the legislature that this article 101.9 encourage courts to place juvenile offenders at the Minnesota 101.10 correctional facility-Red Wing who would otherwise be placed in 101.11 out-of-state facilities. Except as provided in section 8, it is 101.12 not the legislature's intent to discourage the placement of 101.13 juvenile offenders at non-state-operated facilities within 101.14 Minnesota. 101.15 Sec. 10. [STUDY; REPORT.] 101.16 (a) The commissioner of corrections, in consultation with 101.17 the counties, shall study the state's juvenile correctional 101.18 system as it relates to serious and chronic offenders. The 101.19 study must analyze and make proposals regarding: 101.20 (1) the role of the state and counties in providing 101.21 services; 101.22 (2) the funding of these services; 101.23 (3) the extent to which research-based best practices exist 101.24 and are accessible to counties; 101.25 (4) the method and process used to administer the juvenile 101.26 commitment and parole systems; 101.27 (5) the degree to which existing practice reflects the 101.28 legislature's intent in enacting juvenile justice laws; and 101.29 (6) other related issues deemed relevant by the 101.30 commissioner or the counties. 101.31 (b) By January 15, 2001, the commissioner shall report the 101.32 study's findings and proposals to the chairs and ranking 101.33 minority members of the senate and house of representatives 101.34 committees and divisions having jurisdiction over criminal 101.35 justice policy funding. 101.36 Sec. 11. [REPORT.] 102.1 The commissioner shall report information relating to 102.2 changes in per diem charges to counties for juveniles placed at 102.3 the Minnesota correctional facility-Red Wing and the resulting 102.4 reduction in juvenile residential treatment grants to the chairs 102.5 and ranking minority members of the senate and house committees 102.6 and divisions having jurisdiction over criminal justice funding 102.7 by January 15, 2001. This report shall specifically address any 102.8 impact on the populations at other state, public, or private 102.9 juvenile residential facilities and shall specifically include 102.10 any effect on the population of the Thistledew Camp caused by 102.11 the per diem reduction at Red Wing. The report shall also 102.12 recommend approaches, based on consultation with and input from 102.13 counties, to achieve financial stability at Minnesota 102.14 correctional facility-Red Wing. 102.15 Sec. 12. [CONVEYANCE OF STATE LAND.] 102.16 Subdivision 1. [CONVEYANCE AUTHORIZED.] Notwithstanding 102.17 Minnesota Statutes, sections 92.45, 94.09, 94.10, and 103F.335, 102.18 subdivision 3, or any other law to the contrary, the 102.19 commissioner of administration may convey all, or any part of, 102.20 the land and the state building located on the land described in 102.21 subdivision 3, to the central Minnesota regional jail joint 102.22 powers group comprised of Aitkin, Cass, Crow Wing, Morrison, 102.23 Todd, and Wadena counties, after the commissioner of human 102.24 services declares the property surplus to its needs. 102.25 Subd. 2. [FORM.] (a) The conveyance shall be in a form 102.26 approved by the attorney general. 102.27 (b) The conveyance shall restrict use of the land to county 102.28 governmental purposes under a joint powers agreement, including 102.29 regional jails and community corrections programs, and shall 102.30 provide that ownership of any portion of the land or building 102.31 that ceases to be used for such purposes shall revert to the 102.32 state of Minnesota. 102.33 Subd. 3. [LAND DESCRIPTION.] The legal description of the 102.34 land is: that part of the Southeast Quarter (SE 1/4) of the 102.35 Northeast Quarter (NE 1/4) of Section 29, Township 45 North, 102.36 Range 30 West, Crow Wing County, Minnesota, described as 103.1 follows: Building 5 and Rectangular site area, on a NW to SE 103.2 axis, where the northwest side of said area is the centerline of 103.3 Robin Road. Extending southwest, 540'-0" from the midpoint 103.4 between Building 5 and Building 7, the SW to NE dimension is 103.5 540'-0". Extending southeast, 675'-0" from the centerline of 103.6 Robin Road, the SE to NW dimension is 675'-0". Containing 8.37 103.7 acres, more or less. Subject to the right-of-way of the 103.8 Township road along the east side thereof, subject to other 103.9 easements, reservations, and restrictions of record, if any. 103.10 Including a road easement for ingress and egress from state 103.11 Highway 18 over State Avenue and Robin Road to the junction of 103.12 Meadowlark Lane. 103.13 Subd. 4. [DETERMINATION.] The commissioner of human 103.14 services has determined that the land described in subdivision 3 103.15 and the building on the land will not be needed for future 103.16 operations of the Brainerd regional human services center. The 103.17 state's land management interests would best be served by 103.18 conveying the land to the central Minnesota regional jail joint 103.19 powers group for governmental use. 103.20 ARTICLE 8 103.21 APPROPRIATIONS 103.22 Section 1. [HEALTH AND HUMAN SERVICES APPROPRIATIONS.] 103.23 The sums shown in the columns marked "APPROPRIATIONS" are 103.24 appropriated from the general fund, or any other fund named, to 103.25 the agencies and for the purposes specified in this article, to 103.26 be available for the fiscal years indicated for each purpose. 103.27 The figures "2000" and "2001" mean that the appropriation or 103.28 appropriations listed under them are available for the fiscal 103.29 year ending June 30, 2000, or June 30, 2001, respectively, and 103.30 if an earlier appropriation was made for that purpose for that 103.31 year, the appropriation in this article is added to it. Where a 103.32 dollar amount appears in parenthesis, it means a reduction of an 103.33 earlier appropriation for that purpose for that year. 103.34 SUMMARY BY FUND 103.35 APPROPRIATIONS BIENNIAL 103.36 2000 2001 TOTAL 104.1 General $ 10,328,000 $ 81,995,000 $ 92,323,000 104.2 State Government 104.3 Special Revenue 150,000 -0- 150,000 104.4 Health Care Access 104.5 Fund 1,266,000 3,401,000 4,667,000 104.6 Lottery Prize Fund -0- 248,000 248,000 104.7 TOTAL $ 11,744,000 $ 85,644,000 $ 97,388,000 104.8 APPROPRIATIONS 104.9 Available for the Year 104.10 Ending June 30 104.11 2000 2001 104.12 Sec. 2. COMMISSIONER OF 104.13 HUMAN SERVICES 104.14 Subdivision 1. Total 104.15 Appropriation $ 11,594,000 $84,604,000 104.16 Summary by Fund 104.17 General 10,328,000 80,955,000 104.18 Health Care Access 1,266,000 3,401,000 104.19 Lottery -0- 248,000 104.20 This appropriation is added to the 104.21 appropriation in Laws 1999, chapter 104.22 245, article 1, section 2. 104.23 The amounts that are added to or 104.24 reduced from the appropriation for each 104.25 program are specified in the following 104.26 subdivisions. 104.27 Subd. 2. Children's Grants 104.28 1,130,000 3,307,000 104.29 [ADOPTION ASSISTANCE/RELATIVE CUSTODY 104.30 ASSISTANCE.] Of this appropriation, 104.31 $674,000 in fiscal year 2000 and 104.32 $1,800,000 in fiscal year 2001 is for 104.33 the adoption assistance program under 104.34 Minnesota Statutes, section 259.67, and 104.35 $456,000 in fiscal year 2000 and 104.36 $912,000 in fiscal year 2001 is for the 104.37 relative custody assistance program 104.38 under Minnesota Statutes, section 104.39 257.85. This is a one-time 104.40 appropriation that shall not be added 104.41 to the base level funding for these 104.42 programs. 104.43 Subd. 3. Basic Health Care Grants 104.44 14,984,000 50,813,000 104.45 Summary by Fund 104.46 General 13,718,000 47,412,000 104.47 Health Care Access 1,266,000 3,401,000 104.48 The amounts that may be spent from this 104.49 appropriation for each purpose are as 105.1 follows: 105.2 (a) Minnesota Care Grants 105.3 Health Care Access Fund 105.4 1,266,000 3,401,000 105.5 [WELFARE TO WORK.] The commissioner is 105.6 authorized to apply for a grant from 105.7 the Robert Wood Johnson Foundation for 105.8 technical support with health care 105.9 program processes to assist families as 105.10 they move from welfare to work and 105.11 shall seek federal financial 105.12 participation. Any federal matching 105.13 funds received as a result of the grant 105.14 shall be dedicated to the commissioner 105.15 for the project funded by the grant. 105.16 All funds received shall be accounted 105.17 for in a special revenue fund account. 105.18 (b) MA Basic Health Care Grants- 105.19 Families and Children 105.20 General 22,751,000 23,328,000 105.21 [ADVANCE CAPITATION PAYMENTS.] The 105.22 commissioner shall provide an advance 105.23 of up to $500,000 in June of 2001 and 105.24 June of 2002, not to exceed the total 105.25 monthly per capita payment due for 105.26 services provided in June, to 105.27 county-based purchasing sites operating 105.28 under Minnesota Statutes, section 105.29 256B.692. These advances shall be 105.30 recovered from the following month's 105.31 per capita payments. Notwithstanding 105.32 section 6, this paragraph expires on 105.33 August 1, 2002. 105.34 (c) MA Basic Health Care Grants - 105.35 Elderly and Disabled 105.36 General (3,730,000) 14,071,000 105.37 [SPECIAL TRANSPORTATION.] Of the 105.38 general fund appropriation for the 105.39 fiscal year beginning July 1, 2000, 105.40 $436,000 for medical assistance and 105.41 $8,000 for general assistance medical 105.42 care is for the commissioner to 105.43 increase mileage reimbursement for 105.44 special transportation under Minnesota 105.45 Statutes, section 256B.0625, 105.46 subdivision 17, by ten cents per mile 105.47 for services rendered from July 1, 105.48 2000, to June 30, 2001. 105.49 (d) General Assistance Medical Care 105.50 General (5,303,000) 10,013,000 105.51 (e) Health Care Nonentitlement Grants 105.52 -0- -0- 105.53 Subd. 4. State-Operated Services 105.54 -0- (1,495,000) 105.55 [STATE-OPERATED SERVICES BASE 106.1 REDUCTION.] The general fund base level 106.2 appropriation for state operated 106.3 services programs and activities shall 106.4 be reduced by $1,495,000 for fiscal 106.5 year 2001. 106.6 The amounts that may be spent from this 106.7 appropriation for each purpose are as 106.8 follows: 106.9 (a) RTC Facilities 106.10 -0- (1,495,000) 106.11 Subd. 5. Continuing Care and 106.12 Community Support Grants 106.13 (35,029,000) 6,611,000 106.14 Summary by Fund 106.15 General (35,029,000) 6,363,000 106.16 Lottery -0- 248,000 106.17 The amounts that may be spent from this 106.18 appropriation for each purpose are as 106.19 follows: 106.20 (a) Community Services Block Grants 106.21 -0- 901,000 106.22 (b) Aging Adult Service Grants 106.23 -0- 207,000 106.24 [EPILEPSY.] Of the general fund 106.25 appropriation, $7,000 in fiscal year 106.26 2001 is to the commissioner to provide 106.27 a three percent reimbursement increase 106.28 to living skills training programs for 106.29 persons with intractable epilepsy who 106.30 need assistance in the transition to 106.31 independent living. 106.32 [HOME SHARE PROGRAM.] Base level 106.33 funding for the home share program 106.34 established under Minnesota Statutes, 106.35 section 256.973, for fiscal year 2002 106.36 shall be $175,000. Notwithstanding 106.37 section 6, this paragraph expires on 106.38 June 30, 2002. 106.39 (c) Deaf and Hard-of-Hearing 106.40 Services Grants 106.41 -0- 21,000 106.42 (d) Mental Health Grants 106.43 General -0- 1,830,000 106.44 Lottery -0- 248,000 106.45 [SERVICES FOR FARMERS.] Of the 106.46 appropriation from the general fund for 106.47 the fiscal year beginning July 1, 2000, 106.48 $400,000 is to the commissioner for the 106.49 following purposes: 107.1 (1) $250,000 is to be transferred to 107.2 the commissioner of agriculture for 107.3 grants to organizations participating 107.4 in the farm wrap network and the rural 107.5 help network. The grants may be used 107.6 for mental health services and 107.7 emergency services for farmers. 107.8 (2) $150,000 is to be transferred to 107.9 the board of trustees of the Minnesota 107.10 state colleges and universities for 107.11 mental health counseling support to 107.12 farm families and business operators 107.13 through the farm business management 107.14 program at Central Lakes college and 107.15 Ridgewater college. 107.16 [COMPULSIVE GAMBLING TREATMENT.] For 107.17 the fiscal year beginning July 1, 2000, 107.18 $248,000 is appropriated from the 107.19 lottery prize fund to the commissioner 107.20 for the compulsive gambling treatment 107.21 program. Of this appropriation, 107.22 $143,000 is for a grant to gamblers 107.23 intervention services in Duluth to be 107.24 spent as follows: 107.25 (1) $100,000 is to establish an 107.26 outpatient gambling treatment program 107.27 in Brainerd; and 107.28 (2) $43,000 is to make treatment center 107.29 building improvements to accommodate 107.30 expanded group services. 107.31 $75,000 is for a grant to the Minnesota 107.32 arrowhead region gambling treatment 107.33 alliance to provide extended outreach 107.34 and family counseling through its 107.35 Virginia center. 107.36 The remaining $30,000 is for a grant to 107.37 gamblers choice in Minneapolis to make 107.38 treatment center building improvements 107.39 to accommodate expanded group services. 107.40 These are one-time appropriations and 107.41 shall not become part of base-level 107.42 funding for the 2002-2003 biennium. 107.43 (e) Developmental Disabilities 107.44 Support Grants 107.45 -0- 204,000 107.46 (f) Medical Assistance Long-Term 107.47 Care Waivers and Home Care 107.48 (12,385,000) 2,797,000 107.49 (g) Medical Assistance Long-Term 107.50 Care Facilities 107.51 (20,790,000) (3,405,000) 107.52 (h) Alternative Care Grants 107.53 -0- 1,633,000 107.54 (i) Group Residential Housing 108.1 (1,854,000) (295,000) 108.2 (j) Chemical Dependency 108.3 Entitlement Grants 108.4 -0- 2,470,000 108.5 Subd. 6. Economic Support Grants 108.6 30,509,000 25,368,000 108.7 The amounts that may be spent from this 108.8 appropriation for each purpose are as 108.9 follows: 108.10 [ASSISTANCE TO FAMILIES GRANTS TANF 108.11 FORECAST ADJUSTMENT.] The federal 108.12 Temporary Assistance to Needy Families 108.13 (TANF) block grant fund appropriated to 108.14 the commissioner of human services in 108.15 Laws 1999, chapter 245, article 1, 108.16 section 2, subdivision 10, for MFIP 108.17 cash grants are reduced by $37,513,000 108.18 in fiscal year 2000 and $30,217,000 in 108.19 fiscal year 2001. 108.20 [FEDERAL TANF FUNDS.] (1) In addition 108.21 to the Federal Temporary Assistance for 108.22 Needy Families (TANF) block grant funds 108.23 appropriated to the commissioner of 108.24 human services in Laws 1999, chapter 108.25 245, article 1, section 2, subdivision 108.26 10, federal TANF funds are appropriated 108.27 to the commissioner in amounts up to 108.28 $20,000,000 in fiscal year 2000 and 108.29 $80,440,000 in fiscal year 2001. In 108.30 addition to these funds, the 108.31 commissioner may draw or transfer any 108.32 other appropriations of federal TANF 108.33 funds or transfers of federal TANF 108.34 funds that are enacted into state law. 108.35 (2) Of the amounts in clause (1), 108.36 $19,680,000 in fiscal year 2001 is for 108.37 the local intervention grants program 108.38 under Minnesota Statutes, section 108.39 256J.625 and related grant programs and 108.40 shall be expended as follows: 108.41 (a) $500,000 in fiscal year 2001 is for 108.42 a grant to the Southeast Asian MFIP 108.43 services collaborative to replicate in 108.44 a second location an existing model of 108.45 an intensive intervention transitional 108.46 employment training project which 108.47 serves TANF-eligible recipients and 108.48 which moves refugee and immigrant 108.49 welfare recipients unto unsubsidized 108.50 employment and leads to economic 108.51 self-sufficiency. This is a one-time 108.52 appropriation. 108.53 (b) $500,000 in fiscal year 2001 is for 108.54 nontraditional career assistance and 108.55 training programs under Minnesota 108.56 Statutes, section 256K.30, subdivision 108.57 4. This is a one-time appropriation. 108.58 (c) $18,680,000 is for local 108.59 intervention grants for 108.60 self-sufficiency program under 109.1 Minnesota Statutes, section 256J.625. 109.2 For fiscal years 2002 and 2003 the 109.3 commissioner of finance shall ensure 109.4 that the base level funding for the 109.5 local intervention grants program is 109.6 $27,180,000 each year. 109.7 (3) Of the amounts in clause (2), 109.8 paragraph (c) for local intervention 109.9 grants, $7,000,000 in fiscal year 2001 109.10 shall be transferred to the 109.11 commissioner of health for distribution 109.12 to county boards according to the 109.13 formula in Minnesota Statutes, section 109.14 256J.625, subdivision 3, to be used by 109.15 county public health boards to serve 109.16 families with incomes at or below 200 109.17 percent of the federal poverty 109.18 guidelines, in the manner specified by 109.19 Minnesota Statutes, section 145A.16, 109.20 subdivision 3, clauses (2) through 109.21 (6). Training, evaluation and 109.22 technical assistance shall be provided 109.23 in accordance with Minnesota Statutes, 109.24 section 145A.16, subdivisions 5 to 7. 109.25 For fiscal years 2002 and 2003 the 109.26 commissioner of finance shall ensure 109.27 that the base level funding for this 109.28 activity is $7,000,000 each year. 109.29 (4) Of the amounts in clause (1), 109.30 $250,000 in fiscal year 2001 is 109.31 appropriated to the commissioner to 109.32 contract with the board of trustees of 109.33 the Minnesota state colleges and 109.34 universities to provide tuition waivers 109.35 to employees of health care and human 109.36 services providers located in the state 109.37 that are members of qualifying 109.38 consortia operating under Minnesota 109.39 Statutes, sections 116L.10 to 116L.15. 109.40 (5) Of the amounts in clause (1), 109.41 $320,000 in fiscal year 2001 is for 109.42 training job counselors about the MFIP 109.43 program. For fiscal years 2002 and 109.44 2003 the commissioner of finance shall 109.45 ensure that the base level funding for 109.46 employment services includes $320,000 109.47 each year for this activity. The 109.48 appropriations in this clause shall not 109.49 become part of the base for the 109.50 2004-2005 biennium. 109.51 (6) Of the amounts in clause (1), 109.52 $1,000,000 in fiscal year 2001 is for 109.53 out-of-wedlock pregnancy prevention 109.54 funds to serve children in 109.55 TANF-eligible families under Minnesota 109.56 Statutes, section 256K.35. For fiscal 109.57 years 2002 and 2003 the commissioner of 109.58 finance shall ensure that the base 109.59 level funding for this program is 109.60 $1,000,000 each year. The 109.61 appropriations in this clause shall not 109.62 become part of the base for the 109.63 2004-2005 biennium. 109.64 (7) Of the amounts in clause (1), 109.65 $1,000,000 in fiscal year 2001 is to 109.66 provide services to TANF-eligible 110.1 families who are participating in the 110.2 supportive housing and managed care 110.3 pilot project under Minnesota Statutes, 110.4 section 256K.25. For fiscal years 2002 110.5 and 2003 the commissioner of finance 110.6 shall ensure that the base level 110.7 funding for this project is $1,000,000 110.8 each year. The appropriations in this 110.9 clause shall not become part of the 110.10 base for this project for the 2004-2005 110.11 biennium. 110.12 [TANF TRANSFER TO SOCIAL SERVICES.] 110.13 $7,500,000 is transferred from the 110.14 state's federal TANF block grant to the 110.15 state's federal Title XX block grant in 110.16 fiscal year 2001 and in fiscal year 110.17 2002, for purposes of increasing 110.18 services for families with children 110.19 whose incomes are at or below 200 110.20 percent of the federal poverty 110.21 guidelines. Notwithstanding section 6, 110.22 this paragraph expires June 30, 2002. 110.23 [TANF MOE.] (a) In order to meet the 110.24 basic maintenance of effort (MOE) 110.25 requirements of the TANF block grant 110.26 specified under United States Code, 110.27 title 42, section 609(a)(7), the 110.28 commissioner may only report nonfederal 110.29 money expended for allowable activities 110.30 listed in the following clauses as TANF 110.31 MOE expenditures: 110.32 (1) MFIP cash and food assistance 110.33 benefits under Minnesota Statutes, 110.34 chapter 256J; 110.35 (2) the child care assistance programs 110.36 under Minnesota Statutes, sections 110.37 119B.03 and 119B.05, and county child 110.38 care administrative costs under 110.39 Minnesota Statutes, section 119B.15; 110.40 (3) state and county MFIP 110.41 administrative costs under Minnesota 110.42 Statutes, chapters 256J and 256K; 110.43 (4) state, county, and tribal MFIP 110.44 employment services under Minnesota 110.45 Statutes, chapters 256J and 256K; and 110.46 (5) expenditures made on behalf of 110.47 noncitizen MFIP recipients who qualify 110.48 for the medical assistance without 110.49 federal financial participation program 110.50 under Minnesota Statutes, section 110.51 256B.06, subdivision 4, paragraphs (d), 110.52 (e), and (j). 110.53 (b) The commissioner shall ensure that 110.54 sufficient qualified nonfederal 110.55 expenditures are made each year to meet 110.56 the state's TANF MOE requirements. For 110.57 the activities listed in paragraph (a), 110.58 clauses (2) to (6), the commissioner 110.59 may only report expenditures that are 110.60 excluded from the definition of 110.61 assistance under Code of Federal 110.62 Regulations, title 45, section 260.31. 110.63 If nonfederal expenditures for the 111.1 programs and purposes listed in 111.2 paragraph (a) are insufficient to meet 111.3 the state's TANF MOE requirements, the 111.4 commissioner shall recommend additional 111.5 allowable sources of nonfederal 111.6 expenditures to the legislature, if the 111.7 legislature is or will be in session to 111.8 take action to specify additional 111.9 sources of nonfederal expenditures for 111.10 TANF MOE before a federal penalty is 111.11 imposed. The commissioner shall 111.12 otherwise provide notice to the 111.13 legislative commission on planning and 111.14 fiscal policy under paragraph (d). 111.15 (c) If the commissioner uses authority 111.16 granted under Laws 1999, chapter 245, 111.17 article 1, section 10, or similar 111.18 authority granted by a subsequent 111.19 legislature, to meet the state's TANF 111.20 MOE requirements in a reporting period, 111.21 the commissioner shall inform the 111.22 chairs of the appropriate legislative 111.23 committees about all transfers made 111.24 under that authority for this purpose. 111.25 (d) If the commissioner determines that 111.26 nonfederal expenditures for the 111.27 programs under Minnesota Statutes, 111.28 section 256J.025, are insufficient to 111.29 meet TANF MOE expenditure requirements, 111.30 and if the legislature is not or will 111.31 not be in session to take timely action 111.32 to avoid a federal penalty, the 111.33 commissioner may report nonfederal 111.34 expenditures from other allowable 111.35 sources as TANF MOE expenditures after 111.36 the requirements of this paragraph are 111.37 met. 111.38 The commissioner may report nonfederal 111.39 expenditures in addition to those 111.40 specified under paragraph (a) as 111.41 nonfederal TANF MOE expenditures, but 111.42 only ten days after the commissioner of 111.43 finance has first submitted the 111.44 commissioner's recommendations for 111.45 additional allowable sources of 111.46 nonfederal TANF MOE expenditures to the 111.47 members of the legislative commission 111.48 on planning and fiscal policy for their 111.49 review. 111.50 (e) The commissioner of finance shall 111.51 not incorporate any changes in federal 111.52 TANF expenditures or nonfederal 111.53 expenditures for TANF MOE that may 111.54 result from reporting additional 111.55 allowable sources of nonfederal TANF 111.56 MOE expenditures under the interim 111.57 procedures in paragraph (d) into the 111.58 February or November forecasts required 111.59 under Minnesota Statutes, section 111.60 16A.103, unless the commissioner of 111.61 finance has approved the additional 111.62 sources of expenditures under paragraph 111.63 (d). 111.64 (f) The provisions of paragraphs (a) to 111.65 (e) supersede any contrary provisions 111.66 in Laws 1999, chapter 245, article 1, 112.1 section 2, subdivision 10. 112.2 (g) The provisions of Minnesota 112.3 Statutes, section 256.011, subdivision 112.4 3, which require that federal grants or 112.5 aids secured or obtained under that 112.6 subdivision be used to reduce any 112.7 direct appropriations provided by law 112.8 do not apply if the grants or aids are 112.9 federal TANF funds. 112.10 (h) Notwithstanding section 6 of this 112.11 article, paragraphs (a) to (g) expire 112.12 June 30, 2003. 112.13 (i) Paragraphs (a) to (h) are effective 112.14 the day following final enactment. 112.15 (a) Assistance to Families Grants 112.16 9,628,000 (2,305,000) 112.17 (b) Work Grants 112.18 -0- (250,000) 112.19 (c) AFDC and Other Assistance 112.20 20,000,000 30,734,000 112.21 [TRANSFERS TO MINNESOTA HOUSING FINANCE 112.22 AGENCY.] (a) By June 30, 2001, the 112.23 commissioner shall transfer $50,000,000 112.24 of the general funds appropriated under 112.25 this paragraph to the Minnesota housing 112.26 finance agency for transfer to the 112.27 housing development fund. The program 112.28 funded by this transfer shall be known 112.29 as the "Bruce F. Vento Year 2000 112.30 Affordable Housing Program." Up to 112.31 $15,000,000 may be transferred in 112.32 fiscal year 2000. 112.33 (b) Of the funds transferred in 112.34 paragraph (a), $5,000,000 in fiscal 112.35 year 2001 and $15,000,000 in fiscal 112.36 year 2002 is for a loan to Habitat for 112.37 Humanity of Minnesota, Inc. The loan 112.38 shall be an interest-free deferred 112.39 loan. The loan shall become due and 112.40 payable in the event and to the extent 112.41 that Habitat for Humanity of Minnesota, 112.42 Inc. does not invest repayments and 112.43 prepayment of mortgage loans financed 112.44 with this appropriation in new 112.45 mortgages for additional homebuyers 112.46 through Habitat for Humanity of 112.47 Minnesota, Inc. To the extent 112.48 practicable, funding must be allocated 112.49 to Habitat for Humanity chapters on the 112.50 basis of the number of MFIP households 112.51 residing within a chapter's service 112.52 area compared to the statewide total of 112.53 MFIP households and on the basis of a 112.54 chapter's capacity. 112.55 (c) Of the funds transferred in 112.56 paragraph (a), $15,000,000 in fiscal 112.57 year 2001 and $15,000,000 in fiscal 112.58 year 2002 is for the affordable rental 112.59 investment fund program under Minnesota 113.1 Statutes, section 462A.21, subdivision 113.2 8b. To the extent practicable, the 113.3 number of units financed with the 113.4 appropriation under this paragraph 113.5 within a city, county, or region shall 113.6 reflect the number of MFIP households 113.7 residing within the city, county, or 113.8 region compared to the statewide total 113.9 of MFIP households. This appropriation 113.10 must be used to finance rental housing 113.11 units that serve families: 113.12 (1) receiving MFIP benefits under 113.13 Minnesota Statutes, section 256J.01, or 113.14 its successor program; and 113.15 (2) who have lost eligibility for MFIP 113.16 due to increased income from employment 113.17 or due to the collection of child or 113.18 spousal support under part D of title 113.19 IV of the Social Security Act. 113.20 Units produced with this appropriation 113.21 must remain affordable for a 30-year 113.22 period. 113.23 In order to coordinate the availability 113.24 of housing developed with the 113.25 appropriation under this paragraph with 113.26 MFIP families in need of affordable 113.27 housing, the commissioner of the 113.28 Minnesota housing finance agency, with 113.29 the assistance of the commissioner of 113.30 human services, shall establish 113.31 cooperative relationships with county 113.32 agencies as defined in Minnesota 113.33 Statutes, section 256J.08, local 113.34 employment and training service 113.35 providers as defined in Minnesota 113.36 Statutes, section 256J.49, local social 113.37 service agencies, or other 113.38 organizations that provide assistance 113.39 to MFIP households. 113.40 The commissioner of the Minnesota 113.41 housing finance agency shall develop 113.42 strategies to promote occupancy of the 113.43 units financed by the appropriation 113.44 under this paragraph by households most 113.45 in need of subsidized housing. The 113.46 strategies shall include provisions 113.47 that encourage households to move into 113.48 homeownership or unsubsidized housing 113.49 as the household secures stable 113.50 employment and achieves 113.51 self-sufficiency. The commissioner of 113.52 the Minnesota housing finance agency 113.53 shall consult with interested parties 113.54 in developing these strategies. 113.55 (d) The commissioner of the Minnesota 113.56 housing finance agency and the 113.57 commissioner of human services shall 113.58 jointly prepare and submit a report to 113.59 the governor and the legislature on the 113.60 results of the funding provided under 113.61 this section. The report shall include: 113.62 (1) information on the number of units 113.63 produced; 114.1 (2) the household size and income of 114.2 the occupants of the units at initial 114.3 occupancy; and 114.4 (3) to the extent the information is 114.5 available, measures related to the 114.6 occupants' attachment to the workforce 114.7 and public assistance usage, and number 114.8 of occupant moves. 114.9 The report must be submitted annually 114.10 beginning January 15, 2003. 114.11 (e) Section 6, sunset of uncodified 114.12 language, does not apply to paragraphs 114.13 (a) to (d). Paragraphs (a) to (d) are 114.14 effective the day following final 114.15 enactment. 114.16 [WORKING FAMILY CREDIT.] (a) On a 114.17 regular basis, the commissioner of 114.18 revenue, with the assistance of the 114.19 commissioner of human services, shall 114.20 calculate the value of the refundable 114.21 portion of the Minnesota working family 114.22 credits provided under Minnesota 114.23 Statutes, section 290.0671, that 114.24 qualifies for federal reimbursement 114.25 from the temporary assistance to needy 114.26 families block grant. The commissioner 114.27 of revenue shall provide the 114.28 commissioner of human services with 114.29 such expenditure records and 114.30 information as are necessary to support 114.31 draws of federal funds. The 114.32 commissioner of human services shall 114.33 reimburse the commissioner of revenue 114.34 for the costs of providing the 114.35 information required by this paragraph. 114.36 (b) Federal TANF funds, as specified in 114.37 this paragraph, are appropriated to the 114.38 commissioner of human services based on 114.39 calculations under paragraph (a) of 114.40 working family tax credit expenditures 114.41 that qualify for reimbursement from the 114.42 TANF block grant for income tax refunds 114.43 payable in federal fiscal years 114.44 beginning October 1, 1999. The draws 114.45 of federal TANF funds shall be made on 114.46 a regular basis based on calculations 114.47 of credit expenditures by the 114.48 commissioner of revenue. Up to the 114.49 following amounts of federal TANF draws 114.50 are appropriated to the commissioner of 114.51 human services to deposit into the 114.52 general fund: in fiscal year 2000, 114.53 $30,957,000; and in fiscal year 2001, 114.54 $33,895,000. 114.55 (d) General Assistance 114.56 557,000 (3,134,000) 114.57 (e) Minnesota Supplemental Aid 114.58 324,000 323,000 114.59 Sec. 3. COMMISSIONER OF HEALTH 114.60 Subdivision 1. Total 115.1 Appropriation -0- 1,040,000 115.2 Summary by Fund 115.3 General -0- 1,040,000 115.4 This appropriation is added to the 115.5 appropriation in Laws 1999, chapter 115.6 245, article 1, section 3. 115.7 The amounts that may be spent from this 115.8 appropriation for each program are 115.9 specified in the following subdivisions. 115.10 Subd. 2. Health Systems 115.11 and Special Populations -0- 865,000 115.12 Summary by Fund 115.13 General -0- 865,000 115.14 [POISON INFORMATION CENTERS.] Of the 115.15 general fund appropriation for the 115.16 fiscal year beginning July 1, 2000, 115.17 $790,000 is to the commissioner for the 115.18 operation of poison information centers 115.19 authorized under Minnesota Statutes, 115.20 section 145.93. This is a one-time 115.21 appropriation. 115.22 [BASE LEVEL REDUCTION.] For fiscal 115.23 years 2002 and 2003, the base level 115.24 appropriation for Minnesota poison 115.25 information centers under Minnesota 115.26 Statutes, section 145.93 shall be 115.27 reduced by $380,000 each year. Section 115.28 6, sunset of uncodified language, does 115.29 not apply to this provision. 115.30 [FUNERAL AND PRENEED COMPLAINT 115.31 RESPONSES.] (a) Of this appropriation, 115.32 $75,000 in fiscal year 2001 is to the 115.33 commissioner for the purposes of 115.34 responding to complaints as required 115.35 under Minnesota Statutes, chapter 115.36 149A. To the extent that resources are 115.37 available, the commissioner shall also 115.38 provide information and technical 115.39 assistance to the organizations 115.40 regulated under that chapter. This 115.41 appropriation shall not become part of 115.42 base level funding for the 2002-2003 115.43 biennium. 115.44 (b) The commissioner shall make 115.45 recommendations by January 15, 2001, to 115.46 the chairs of the senate health and 115.47 family security budget division and the 115.48 house health and human services finance 115.49 committee on whether there is a need 115.50 for additional funding for ongoing 115.51 implementation of the regulatory 115.52 provisions of Minnesota Statutes, 115.53 chapter 149A, and if so, proposals for 115.54 an alternative funding source to the 115.55 general fund. 115.56 Subd. 3. Health Protection -0- 175,000 115.57 Summary by Fund 116.1 General -0- 175,000 116.2 [SEXUALLY TRANSMITTED INFECTIONS.] Of 116.3 the general fund appropriation for the 116.4 fiscal year beginning July 1, 2000, 116.5 $175,000 is to the commissioner to 116.6 expand access to free screening and 116.7 testing for sexually transmitted 116.8 infections. The appropriation must be 116.9 used in accordance with Minnesota 116.10 Statutes, section 144.065. This is a 116.11 one-time appropriation and shall not 116.12 become part of base-level funding for 116.13 the 2002-2003 biennium. 116.14 Sec. 4. HEALTH-RELATED BOARDS 116.15 Subdivision 1. Total 116.16 Appropriation 150,000 -0- 116.17 This appropriation is added to the 116.18 appropriation in Laws 1999, chapter 116.19 205, article 1, section 5. 116.20 The appropriations in this section are 116.21 from the state government special 116.22 revenue fund. 116.23 [NO SPENDING IN EXCESS OF REVENUES.] 116.24 The commissioner of finance shall not 116.25 permit the allotment, encumbrance, or 116.26 expenditure of money appropriated in 116.27 this section in excess of the 116.28 anticipated biennial revenues or 116.29 accumulated surplus revenues from fees 116.30 collected by the boards. Neither this 116.31 provision nor Minnesota Statutes, 116.32 section 214.06, applies to transfers 116.33 from the general contingent account. 116.34 Subd. 2. BOARD OF PSYCHOLOGY 150,000 -0- 116.35 [LEGAL COSTS.] Of this appropriation, 116.36 $150,000 for the fiscal year beginning 116.37 July 1, 1999, is to the board to pay 116.38 for extraordinary legal costs. This is 116.39 a one-time appropriation and shall not 116.40 become part of base-level funding for 116.41 the 2002-2003 biennium. 116.42 Sec. 5. CARRYOVER LIMITATION 116.43 None of the appropriations in articles 116.44 8 to 11 which are allowed to be carried 116.45 forward from fiscal year 2000 to fiscal 116.46 year 2001 shall become part of the base 116.47 level funding for the 2002-2003 116.48 biennial budget, unless specifically 116.49 directed by the legislature. 116.50 Sec. 6. SUNSET OF UNCODIFIED LANGUAGE 116.51 All uncodified language contained in 116.52 this article expires on June 30, 2001, 116.53 unless a different expiration date is 116.54 explicit. 116.55 Sec. 7. [EFFECTIVE DATE.] 116.56 The appropriations and reductions for fiscal year 2000 in 117.1 this article are effective the day following final enactment. 117.2 ARTICLE 9 117.3 HEALTH CARE 117.4 Section 1. Minnesota Statutes 1998, section 144.551, 117.5 subdivision 1, is amended to read: 117.6 Subdivision 1. [RESTRICTED CONSTRUCTION OR MODIFICATION.] 117.7 (a) The following construction or modification may not be 117.8 commenced: 117.9 (1) any erection, building, alteration, reconstruction, 117.10 modernization, improvement, extension, lease, or other 117.11 acquisition by or on behalf of a hospital that increases the bed 117.12 capacity of a hospital, relocates hospital beds from one 117.13 physical facility, complex, or site to another, or otherwise 117.14 results in an increase or redistribution of hospital beds within 117.15 the state; and 117.16 (2) the establishment of a new hospital. 117.17 (b) This section does not apply to: 117.18 (1) construction or relocation within a county by a 117.19 hospital, clinic, or other health care facility that is a 117.20 national referral center engaged in substantial programs of 117.21 patient care, medical research, and medical education meeting 117.22 state and national needs that receives more than 40 percent of 117.23 its patients from outside the state of Minnesota; 117.24 (2) a project for construction or modification for which a 117.25 health care facility held an approved certificate of need on May 117.26 1, 1984, regardless of the date of expiration of the 117.27 certificate; 117.28 (3) a project for which a certificate of need was denied 117.29 before July 1, 1990, if a timely appeal results in an order 117.30 reversing the denial; 117.31 (4) a project exempted from certificate of need 117.32 requirements by Laws 1981, chapter 200, section 2; 117.33 (5) a project involving consolidation of pediatric 117.34 specialty hospital services within the Minneapolis-St. Paul 117.35 metropolitan area that would not result in a net increase in the 117.36 number of pediatric specialty hospital beds among the hospitals 118.1 being consolidated; 118.2 (6) a project involving the temporary relocation of 118.3 pediatric-orthopedic hospital beds to an existing licensed 118.4 hospital that will allow for the reconstruction of a new 118.5 philanthropic, pediatric-orthopedic hospital on an existing site 118.6 and that will not result in a net increase in the number of 118.7 hospital beds. Upon completion of the reconstruction, the 118.8 licenses of both hospitals must be reinstated at the capacity 118.9 that existed on each site before the relocation; 118.10 (7) the relocation or redistribution of hospital beds 118.11 within a hospital building or identifiable complex of buildings 118.12 provided the relocation or redistribution does not result in: 118.13 (i) an increase in the overall bed capacity at that site; (ii) 118.14 relocation of hospital beds from one physical site or complex to 118.15 another; or (iii) redistribution of hospital beds within the 118.16 state or a region of the state; 118.17 (8) relocation or redistribution of hospital beds within a 118.18 hospital corporate system that involves the transfer of beds 118.19 from a closed facility site or complex to an existing site or 118.20 complex provided that: (i) no more than 50 percent of the 118.21 capacity of the closed facility is transferred; (ii) the 118.22 capacity of the site or complex to which the beds are 118.23 transferred does not increase by more than 50 percent; (iii) the 118.24 beds are not transferred outside of a federal health systems 118.25 agency boundary in place on July 1, 1983; and (iv) the 118.26 relocation or redistribution does not involve the construction 118.27 of a new hospital building; 118.28 (9) a construction project involving up to 35 new beds in a 118.29 psychiatric hospital in Rice county that primarily serves 118.30 adolescents and that receives more than 70 percent of its 118.31 patients from outside the state of Minnesota; 118.32 (10) a project to replace a hospital or hospitals with a 118.33 combined licensed capacity of 130 beds or less if: (i) the new 118.34 hospital site is located within five miles of the current site; 118.35 and (ii) the total licensed capacity of the replacement 118.36 hospital, either at the time of construction of the initial 119.1 building or as the result of future expansion, will not exceed 119.2 70 licensed hospital beds, or the combined licensed capacity of 119.3 the hospitals, whichever is less; 119.4 (11) the relocation of licensed hospital beds from an 119.5 existing state facility operated by the commissioner of human 119.6 services to a new or existing facility, building, or complex 119.7 operated by the commissioner of human services; from one 119.8 regional treatment center site to another; or from one building 119.9 or site to a new or existing building or site on the same 119.10 campus; or119.11 (12) the construction or relocation of hospital beds 119.12 operated by a hospital having a statutory obligation to provide 119.13 hospital and medical services for the indigent that does not 119.14 result in a net increase in the number of hospital beds; or 119.15 (13) a construction project involving the addition of up to 119.16 31 new beds in an existing nonfederal hospital in Beltrami 119.17 county. 119.18 Sec. 2. Minnesota Statutes 1998, section 144A.071, 119.19 subdivision 4a, is amended to read: 119.20 Subd. 4a. [EXCEPTIONS FOR REPLACEMENT BEDS.] It is in the 119.21 best interest of the state to ensure that nursing homes and 119.22 boarding care homes continue to meet the physical plant 119.23 licensing and certification requirements by permitting certain 119.24 construction projects. Facilities should be maintained in 119.25 condition to satisfy the physical and emotional needs of 119.26 residents while allowing the state to maintain control over 119.27 nursing home expenditure growth. 119.28 The commissioner of health in coordination with the 119.29 commissioner of human services, may approve the renovation, 119.30 replacement, upgrading, or relocation of a nursing home or 119.31 boarding care home, under the following conditions: 119.32 (a) to license or certify beds in a new facility 119.33 constructed to replace a facility or to make repairs in an 119.34 existing facility that was destroyed or damaged after June 30, 119.35 1987, by fire, lightning, or other hazard provided: 119.36 (i) destruction was not caused by the intentional act of or 120.1 at the direction of a controlling person of the facility; 120.2 (ii) at the time the facility was destroyed or damaged the 120.3 controlling persons of the facility maintained insurance 120.4 coverage for the type of hazard that occurred in an amount that 120.5 a reasonable person would conclude was adequate; 120.6 (iii) the net proceeds from an insurance settlement for the 120.7 damages caused by the hazard are applied to the cost of the new 120.8 facility or repairs; 120.9 (iv) the new facility is constructed on the same site as 120.10 the destroyed facility or on another site subject to the 120.11 restrictions in section 144A.073, subdivision 5; 120.12 (v) the number of licensed and certified beds in the new 120.13 facility does not exceed the number of licensed and certified 120.14 beds in the destroyed facility; and 120.15 (vi) the commissioner determines that the replacement beds 120.16 are needed to prevent an inadequate supply of beds. 120.17 Project construction costs incurred for repairs authorized under 120.18 this clause shall not be considered in the dollar threshold 120.19 amount defined in subdivision 2; 120.20 (b) to license or certify beds that are moved from one 120.21 location to another within a nursing home facility, provided the 120.22 total costs of remodeling performed in conjunction with the 120.23 relocation of beds does not exceed $750,000; 120.24 (c) to license or certify beds in a project recommended for 120.25 approval under section 144A.073; 120.26 (d) to license or certify beds that are moved from an 120.27 existing state nursing home to a different state facility, 120.28 provided there is no net increase in the number of state nursing 120.29 home beds; 120.30 (e) to certify and license as nursing home beds boarding 120.31 care beds in a certified boarding care facility if the beds meet 120.32 the standards for nursing home licensure, or in a facility that 120.33 was granted an exception to the moratorium under section 120.34 144A.073, and if the cost of any remodeling of the facility does 120.35 not exceed $750,000. If boarding care beds are licensed as 120.36 nursing home beds, the number of boarding care beds in the 121.1 facility must not increase beyond the number remaining at the 121.2 time of the upgrade in licensure. The provisions contained in 121.3 section 144A.073 regarding the upgrading of the facilities do 121.4 not apply to facilities that satisfy these requirements; 121.5 (f) to license and certify up to 40 beds transferred from 121.6 an existing facility owned and operated by the Amherst H. Wilder 121.7 Foundation in the city of St. Paul to a new unit at the same 121.8 location as the existing facility that will serve persons with 121.9 Alzheimer's disease and other related disorders. The transfer 121.10 of beds may occur gradually or in stages, provided the total 121.11 number of beds transferred does not exceed 40. At the time of 121.12 licensure and certification of a bed or beds in the new unit, 121.13 the commissioner of health shall delicense and decertify the 121.14 same number of beds in the existing facility. As a condition of 121.15 receiving a license or certification under this clause, the 121.16 facility must make a written commitment to the commissioner of 121.17 human services that it will not seek to receive an increase in 121.18 its property-related payment rate as a result of the transfers 121.19 allowed under this paragraph; 121.20 (g) to license and certify nursing home beds to replace 121.21 currently licensed and certified boarding care beds which may be 121.22 located either in a remodeled or renovated boarding care or 121.23 nursing home facility or in a remodeled, renovated, newly 121.24 constructed, or replacement nursing home facility within the 121.25 identifiable complex of health care facilities in which the 121.26 currently licensed boarding care beds are presently located, 121.27 provided that the number of boarding care beds in the facility 121.28 or complex are decreased by the number to be licensed as nursing 121.29 home beds and further provided that, if the total costs of new 121.30 construction, replacement, remodeling, or renovation exceed ten 121.31 percent of the appraised value of the facility or $200,000, 121.32 whichever is less, the facility makes a written commitment to 121.33 the commissioner of human services that it will not seek to 121.34 receive an increase in its property-related payment rate by 121.35 reason of the new construction, replacement, remodeling, or 121.36 renovation. The provisions contained in section 144A.073 122.1 regarding the upgrading of facilities do not apply to facilities 122.2 that satisfy these requirements; 122.3 (h) to license as a nursing home and certify as a nursing 122.4 facility a facility that is licensed as a boarding care facility 122.5 but not certified under the medical assistance program, but only 122.6 if the commissioner of human services certifies to the 122.7 commissioner of health that licensing the facility as a nursing 122.8 home and certifying the facility as a nursing facility will 122.9 result in a net annual savings to the state general fund of 122.10 $200,000 or more; 122.11 (i) to certify, after September 30, 1992, and prior to July 122.12 1, 1993, existing nursing home beds in a facility that was 122.13 licensed and in operation prior to January 1, 1992; 122.14 (j) to license and certify new nursing home beds to replace 122.15 beds in a facility acquired by the Minneapolis community 122.16 development agency as part of redevelopment activities in a city 122.17 of the first class, provided the new facility is located within 122.18 three miles of the site of the old facility. Operating and 122.19 property costs for the new facility must be determined and 122.20 allowed under section 256B.431 or 256B.434; 122.21 (k) to license and certify up to 20 new nursing home beds 122.22 in a community-operated hospital and attached convalescent and 122.23 nursing care facility with 40 beds on April 21, 1991, that 122.24 suspended operation of the hospital in April 1986. The 122.25 commissioner of human services shall provide the facility with 122.26 the same per diem property-related payment rate for each 122.27 additional licensed and certified bed as it will receive for its 122.28 existing 40 beds; 122.29 (l) to license or certify beds in renovation, replacement, 122.30 or upgrading projects as defined in section 144A.073, 122.31 subdivision 1, so long as the cumulative total costs of the 122.32 facility's remodeling projects do not exceed $750,000; 122.33 (m) to license and certify beds that are moved from one 122.34 location to another for the purposes of converting up to five 122.35 four-bed wards to single or double occupancy rooms in a nursing 122.36 home that, as of January 1, 1993, was county-owned and had a 123.1 licensed capacity of 115 beds; 123.2 (n) to allow a facility that on April 16, 1993, was a 123.3 106-bed licensed and certified nursing facility located in 123.4 Minneapolis to layaway all of its licensed and certified nursing 123.5 home beds. These beds may be relicensed and recertified in a 123.6 newly-constructed teaching nursing home facility affiliated with 123.7 a teaching hospital upon approval by the legislature. The 123.8 proposal must be developed in consultation with the interagency 123.9 committee on long-term care planning. The beds on layaway 123.10 status shall have the same status as voluntarily delicensed and 123.11 decertified beds, except that beds on layaway status remain 123.12 subject to the surcharge in section 256.9657. This layaway 123.13 provision expires July 1, 1998; 123.14 (o) to allow a project which will be completed in 123.15 conjunction with an approved moratorium exception project for a 123.16 nursing home in southern Cass county and which is directly 123.17 related to that portion of the facility that must be repaired, 123.18 renovated, or replaced, to correct an emergency plumbing problem 123.19 for which a state correction order has been issued and which 123.20 must be corrected by August 31, 1993; 123.21 (p) to allow a facility that on April 16, 1993, was a 123.22 368-bed licensed and certified nursing facility located in 123.23 Minneapolis to layaway, upon 30 days prior written notice to the 123.24 commissioner, up to 30 of the facility's licensed and certified 123.25 beds by converting three-bed wards to single or double 123.26 occupancy. Beds on layaway status shall have the same status as 123.27 voluntarily delicensed and decertified beds except that beds on 123.28 layaway status remain subject to the surcharge in section 123.29 256.9657, remain subject to the license application and renewal 123.30 fees under section 144A.07 and shall be subject to a $100 per 123.31 bed reactivation fee. In addition, at any time within three 123.32 years of the effective date of the layaway, the beds on layaway 123.33 status may be: 123.34 (1) relicensed and recertified upon relocation and 123.35 reactivation of some or all of the beds to an existing licensed 123.36 and certified facility or facilities located in Pine River, 124.1 Brainerd, or International Falls; provided that the total 124.2 project construction costs related to the relocation of beds 124.3 from layaway status for any facility receiving relocated beds 124.4 may not exceed the dollar threshold provided in subdivision 2 124.5 unless the construction project has been approved through the 124.6 moratorium exception process under section 144A.073; 124.7 (2) relicensed and recertified, upon reactivation of some 124.8 or all of the beds within the facility which placed the beds in 124.9 layaway status, if the commissioner has determined a need for 124.10 the reactivation of the beds on layaway status. 124.11 The property-related payment rate of a facility placing 124.12 beds on layaway status must be adjusted by the incremental 124.13 change in its rental per diem after recalculating the rental per 124.14 diem as provided in section 256B.431, subdivision 3a, paragraph 124.15 (d). The property-related payment rate for a facility 124.16 relicensing and recertifying beds from layaway status must be 124.17 adjusted by the incremental change in its rental per diem after 124.18 recalculating its rental per diem using the number of beds after 124.19 the relicensing to establish the facility's capacity day 124.20 divisor, which shall be effective the first day of the month 124.21 following the month in which the relicensing and recertification 124.22 became effective. Any beds remaining on layaway status more 124.23 than three years after the date the layaway status became 124.24 effective must be removed from layaway status and immediately 124.25 delicensed and decertified; 124.26 (q) to license and certify beds in a renovation and 124.27 remodeling project to convert 12 four-bed wards into 24 two-bed 124.28 rooms, expand space, and add improvements in a nursing home 124.29 that, as of January 1, 1994, met the following conditions: the 124.30 nursing home was located in Ramsey county; had a licensed 124.31 capacity of 154 beds; and had been ranked among the top 15 124.32 applicants by the 1993 moratorium exceptions advisory review 124.33 panel. The total project construction cost estimate for this 124.34 project must not exceed the cost estimate submitted in 124.35 connection with the 1993 moratorium exception process; 124.36 (r) to license and certify up to 117 beds that are 125.1 relocated from a licensed and certified 138-bed nursing facility 125.2 located in St. Paul to a hospital with 130 licensed hospital 125.3 beds located in South St. Paul, provided that the nursing 125.4 facility and hospital are owned by the same or a related 125.5 organization and that prior to the date the relocation is 125.6 completed the hospital ceases operation of its inpatient 125.7 hospital services at that hospital. After relocation, the 125.8 nursing facility's status under section 256B.431, subdivision 125.9 2j, shall be the same as it was prior to relocation. The 125.10 nursing facility's property-related payment rate resulting from 125.11 the project authorized in this paragraph shall become effective 125.12 no earlier than April 1, 1996. For purposes of calculating the 125.13 incremental change in the facility's rental per diem resulting 125.14 from this project, the allowable appraised value of the nursing 125.15 facility portion of the existing health care facility physical 125.16 plant prior to the renovation and relocation may not exceed 125.17 $2,490,000; 125.18 (s) to license and certify two beds in a facility to 125.19 replace beds that were voluntarily delicensed and decertified on 125.20 June 28, 1991; 125.21 (t) to allow 16 licensed and certified beds located on July 125.22 1, 1994, in a 142-bed nursing home and 21-bed boarding care home 125.23 facility in Minneapolis, notwithstanding the licensure and 125.24 certification after July 1, 1995, of the Minneapolis facility as 125.25 a 147-bed nursing home facility after completion of a 125.26 construction project approved in 1993 under section 144A.073, to 125.27 be laid away upon 30 days' prior written notice to the 125.28 commissioner. Beds on layaway status shall have the same status 125.29 as voluntarily delicensed or decertified beds except that they 125.30 shall remain subject to the surcharge in section 256.9657. The 125.31 16 beds on layaway status may be relicensed as nursing home beds 125.32 and recertified at any time within five years of the effective 125.33 date of the layaway upon relocation of some or all of the beds 125.34 to a licensed and certified facility located in Watertown, 125.35 provided that the total project construction costs related to 125.36 the relocation of beds from layaway status for the Watertown 126.1 facility may not exceed the dollar threshold provided in 126.2 subdivision 2 unless the construction project has been approved 126.3 through the moratorium exception process under section 144A.073. 126.4 The property-related payment rate of the facility placing 126.5 beds on layaway status must be adjusted by the incremental 126.6 change in its rental per diem after recalculating the rental per 126.7 diem as provided in section 256B.431, subdivision 3a, paragraph 126.8 (d). The property-related payment rate for the facility 126.9 relicensing and recertifying beds from layaway status must be 126.10 adjusted by the incremental change in its rental per diem after 126.11 recalculating its rental per diem using the number of beds after 126.12 the relicensing to establish the facility's capacity day 126.13 divisor, which shall be effective the first day of the month 126.14 following the month in which the relicensing and recertification 126.15 became effective. Any beds remaining on layaway status more 126.16 than five years after the date the layaway status became 126.17 effective must be removed from layaway status and immediately 126.18 delicensed and decertified; 126.19 (u) to license and certify beds that are moved within an 126.20 existing area of a facility or to a newly constructed addition 126.21 which is built for the purpose of eliminating three- and 126.22 four-bed rooms and adding space for dining, lounge areas, 126.23 bathing rooms, and ancillary service areas in a nursing home 126.24 that, as of January 1, 1995, was located in Fridley and had a 126.25 licensed capacity of 129 beds; 126.26 (v) to relocate 36 beds in Crow Wing county and four beds 126.27 from Hennepin county to a 160-bed facility in Crow Wing county, 126.28 provided all the affected beds are under common ownership; 126.29 (w) to license and certify a total replacement project of 126.30 up to 49 beds located in Norman county that are relocated from a 126.31 nursing home destroyed by flood and whose residents were 126.32 relocated to other nursing homes. The operating cost payment 126.33 rates for the new nursing facility shall be determined based on 126.34 the interim and settle-up payment provisions of Minnesota Rules, 126.35 part 9549.0057, and the reimbursement provisions of section 126.36 256B.431, except that subdivision 26, paragraphs (a) and (b), 127.1 shall not apply until the second rate year after the settle-up 127.2 cost report is filed. Property-related reimbursement rates 127.3 shall be determined under section 256B.431, taking into account 127.4 any federal or state flood-related loans or grants provided to 127.5 the facility; 127.6 (x) to license and certify a total replacement project of 127.7 up to 129 beds located in Polk county that are relocated from a 127.8 nursing home destroyed by flood and whose residents were 127.9 relocated to other nursing homes. The operating cost payment 127.10 rates for the new nursing facility shall be determined based on 127.11 the interim and settle-up payment provisions of Minnesota Rules, 127.12 part 9549.0057, and the reimbursement provisions of section 127.13 256B.431, except that subdivision 26, paragraphs (a) and (b), 127.14 shall not apply until the second rate year after the settle-up 127.15 cost report is filed. Property-related reimbursement rates 127.16 shall be determined under section 256B.431, taking into account 127.17 any federal or state flood-related loans or grants provided to 127.18 the facility; 127.19 (y) to license and certify beds in a renovation and 127.20 remodeling project to convert 13 three-bed wards into 13 two-bed 127.21 rooms and 13 single-bed rooms, expand space, and add 127.22 improvements in a nursing home that, as of January 1, 1994, met 127.23 the following conditions: the nursing home was located in 127.24 Ramsey county, was not owned by a hospital corporation, had a 127.25 licensed capacity of 64 beds, and had been ranked among the top 127.26 15 applicants by the 1993 moratorium exceptions advisory review 127.27 panel. The total project construction cost estimate for this 127.28 project must not exceed the cost estimate submitted in 127.29 connection with the 1993 moratorium exception process; 127.30 (z) to license and certify up to 150 nursing home beds to 127.31 replace an existing 285 bed nursing facility located in St. 127.32 Paul. The replacement project shall include both the renovation 127.33 of existing buildings and the construction of new facilities at 127.34 the existing site. The reduction in the licensed capacity of 127.35 the existing facility shall occur during the construction 127.36 project as beds are taken out of service due to the construction 128.1 process. Prior to the start of the construction process, the 128.2 facility shall provide written information to the commissioner 128.3 of health describing the process for bed reduction, plans for 128.4 the relocation of residents, and the estimated construction 128.5 schedule. The relocation of residents shall be in accordance 128.6 with the provisions of law and rule; or128.7 (aa) to allow the commissioner of human services to license 128.8 an additional 36 beds to provide residential services for the 128.9 physically handicapped under Minnesota Rules, parts 9570.2000 to 128.10 9570.3400, in a 198-bed nursing home located in Red Wing, 128.11 provided that the total number of licensed and certified beds at 128.12 the facility does not increase; 128.13 (bb) to license and certify a new facility in St. Louis 128.14 county with 44 beds constructed to replace an existing facility 128.15 in St. Louis county with 31 beds, which has resident rooms on 128.16 two separate floors and an antiquated elevator that creates 128.17 safety concerns for residents and prevents nonambulatory 128.18 residents from residing on the second floor. The project shall 128.19 include the elimination of three- and four-bed rooms; 128.20 (cc) to license and certify four beds in a 16-bed certified 128.21 boarding care home in Minneapolis to replace beds that were 128.22 voluntarily delicensed and decertified on or before March 31, 128.23 1992. The licensure and certification is conditional upon the 128.24 facility periodically assessing and adjusting its resident mix 128.25 and other factors which may contribute to a potential 128.26 institution for mental disease declaration. The commissioner of 128.27 human services shall retain the authority to audit the facility 128.28 at any time and shall require the facility to comply with any 128.29 requirements necessary to prevent an institution for mental 128.30 disease declaration, including delicensure and decertification 128.31 of beds, if necessary; or 128.32 (dd) to license and certify 72 beds in an existing facility 128.33 in Mille Lacs county with 80 beds as part of a renovation 128.34 project. The renovation must include construction of an 128.35 addition to accommodate ten residents with beginning and 128.36 midstage dementia in a self-contained living unit; creation of 129.1 three resident households where dining, activities, and support 129.2 spaces are located near resident living quarters; designation of 129.3 four beds for rehabilitation in a self-contained area; 129.4 designation of 30 private rooms; and other improvements. 129.5 Sec. 3. Minnesota Statutes 1998, section 144A.071, is 129.6 amended by adding a subdivision to read: 129.7 Subd. 4b. [LICENSED BEDS ON LAYAWAY STATUS.] A licensed 129.8 and certified nursing facility may lay away, upon prior written 129.9 notice to the commissioner of health, up to 50 percent of its 129.10 licensed and certified beds. A nursing facility may not 129.11 discharge a resident in order to lay away a bed. Notice to the 129.12 commissioner shall be given 60 days prior to the effective date 129.13 of the layaway. Beds on layaway shall have the same status as 129.14 voluntarily delicensed and decertified beds and shall not be 129.15 subject to license fees and license surcharge fees. In 129.16 addition, beds on layaway may be removed from layaway at any 129.17 time on or after one year after the effective date of layaway in 129.18 the facility of origin, with a 60-day notice to the 129.19 commissioner. A nursing facility that removes beds from layaway 129.20 may not place beds on layaway status for one year after the 129.21 effective date of the removal from layaway. The commissioner 129.22 may approve the immediate removal of beds from layaway if 129.23 necessary to provide access to those nursing home beds to 129.24 residents relocated from other nursing homes due to emergency 129.25 situations or closure. In the event approval is granted, the 129.26 one-year restriction on placing beds on layaway after a removal 129.27 of beds from layaway shall not apply. Beds may remain on 129.28 layaway for up to five years. 129.29 Sec. 4. Minnesota Statutes 1998, section 148B.32, 129.30 subdivision 1, is amended to read: 129.31 Subdivision 1. [UNLICENSED PRACTICE PROHIBITED.] After 129.32 adoption of rules by the board implementing sections 148B.29 to 129.33 148B.39, no individual shall engage in marriage and family 129.34 therapy practice unless that individual holds a valid license 129.35 issued under sections 148B.29 to 148B.39. 129.36 Marriage and family therapists may not be reimbursed under130.1 medical assistance, chapter 256B, except to the extent such care130.2 is reimbursed under section 256B.0625, subdivision 5, or when130.3 marriage and family therapists are employed by a managed care130.4 organization with a contract to provide mental health care to130.5 medical assistance enrollees, and are reimbursed through the130.6 managed care organization.130.7 Sec. 5. Minnesota Statutes 1998, section 252.28, is 130.8 amended by adding a subdivision to read: 130.9 Subd. 3b. [OLMSTED COUNTY LICENSING EXEMPTION.] (a) 130.10 Notwithstanding subdivision 3, the commissioner may license 130.11 service sites each accommodating up to five residents moving 130.12 from a 43-bed intermediate care facility for persons with mental 130.13 retardation or related conditions located in Olmsted county that 130.14 is closing under section 252.292. 130.15 (b) Notwithstanding the provisions of any other state law 130.16 or administrative rule, the rate provisions of section 256I.05, 130.17 subdivision 1, apply to the exception in this subdivision. 130.18 Sec. 6. Minnesota Statutes 1999 Supplement, section 130.19 256.01, subdivision 2, is amended to read: 130.20 Subd. 2. [SPECIFIC POWERS.] Subject to the provisions of 130.21 section 241.021, subdivision 2, the commissioner of human 130.22 services shall: 130.23 (1) Administer and supervise all forms of public assistance 130.24 provided for by state law and other welfare activities or 130.25 services as are vested in the commissioner. Administration and 130.26 supervision of human services activities or services includes, 130.27 but is not limited to, assuring timely and accurate distribution 130.28 of benefits, completeness of service, and quality program 130.29 management. In addition to administering and supervising human 130.30 services activities vested by law in the department, the 130.31 commissioner shall have the authority to: 130.32 (a) require county agency participation in training and 130.33 technical assistance programs to promote compliance with 130.34 statutes, rules, federal laws, regulations, and policies 130.35 governing human services; 130.36 (b) monitor, on an ongoing basis, the performance of county 131.1 agencies in the operation and administration of human services, 131.2 enforce compliance with statutes, rules, federal laws, 131.3 regulations, and policies governing welfare services and promote 131.4 excellence of administration and program operation; 131.5 (c) develop a quality control program or other monitoring 131.6 program to review county performance and accuracy of benefit 131.7 determinations; 131.8 (d) require county agencies to make an adjustment to the 131.9 public assistance benefits issued to any individual consistent 131.10 with federal law and regulation and state law and rule and to 131.11 issue or recover benefits as appropriate; 131.12 (e) delay or deny payment of all or part of the state and 131.13 federal share of benefits and administrative reimbursement 131.14 according to the procedures set forth in section 256.017; 131.15 (f) make contracts with and grants to public and private 131.16 agencies and organizations, both profit and nonprofit, and 131.17 individuals, using appropriated funds; and 131.18 (g) enter into contractual agreements with federally 131.19 recognized Indian tribes with a reservation in Minnesota to the 131.20 extent necessary for the tribe to operate a federally approved 131.21 family assistance program or any other program under the 131.22 supervision of the commissioner. The commissioner shall consult 131.23 with the affected county or counties in the contractual 131.24 agreement negotiations, if the county or counties wish to be 131.25 included, in order to avoid the duplication of county and tribal 131.26 assistance program services. The commissioner may establish 131.27 necessary accounts for the purposes of receiving and disbursing 131.28 funds as necessary for the operation of the programs. 131.29 (2) Inform county agencies, on a timely basis, of changes 131.30 in statute, rule, federal law, regulation, and policy necessary 131.31 to county agency administration of the programs. 131.32 (3) Administer and supervise all child welfare activities; 131.33 promote the enforcement of laws protecting handicapped, 131.34 dependent, neglected and delinquent children, and children born 131.35 to mothers who were not married to the children's fathers at the 131.36 times of the conception nor at the births of the children; 132.1 license and supervise child-caring and child-placing agencies 132.2 and institutions; supervise the care of children in boarding and 132.3 foster homes or in private institutions; and generally perform 132.4 all functions relating to the field of child welfare now vested 132.5 in the state board of control. 132.6 (4) Administer and supervise all noninstitutional service 132.7 to handicapped persons, including those who are visually 132.8 impaired, hearing impaired, or physically impaired or otherwise 132.9 handicapped. The commissioner may provide and contract for the 132.10 care and treatment of qualified indigent children in facilities 132.11 other than those located and available at state hospitals when 132.12 it is not feasible to provide the service in state hospitals. 132.13 (5) Assist and actively cooperate with other departments, 132.14 agencies and institutions, local, state, and federal, by 132.15 performing services in conformity with the purposes of Laws 132.16 1939, chapter 431. 132.17 (6) Act as the agent of and cooperate with the federal 132.18 government in matters of mutual concern relative to and in 132.19 conformity with the provisions of Laws 1939, chapter 431, 132.20 including the administration of any federal funds granted to the 132.21 state to aid in the performance of any functions of the 132.22 commissioner as specified in Laws 1939, chapter 431, and 132.23 including the promulgation of rules making uniformly available 132.24 medical care benefits to all recipients of public assistance, at 132.25 such times as the federal government increases its participation 132.26 in assistance expenditures for medical care to recipients of 132.27 public assistance, the cost thereof to be borne in the same 132.28 proportion as are grants of aid to said recipients. 132.29 (7) Establish and maintain any administrative units 132.30 reasonably necessary for the performance of administrative 132.31 functions common to all divisions of the department. 132.32 (8) Act as designated guardian of both the estate and the 132.33 person of all the wards of the state of Minnesota, whether by 132.34 operation of law or by an order of court, without any further 132.35 act or proceeding whatever, except as to persons committed as 132.36 mentally retarded. For children under the guardianship of the 133.1 commissioner whose interests would be best served by adoptive 133.2 placement, the commissioner may contract with a licensed 133.3 child-placing agency to provide adoption services. A contract 133.4 with a licensed child-placing agency must be designed to 133.5 supplement existing county efforts and may not replace existing 133.6 county programs, unless the replacement is agreed to by the 133.7 county board and the appropriate exclusive bargaining 133.8 representative or the commissioner has evidence that child 133.9 placements of the county continue to be substantially below that 133.10 of other counties. Funds encumbered and obligated under an 133.11 agreement for a specific child shall remain available until the 133.12 terms of the agreement are fulfilled or the agreement is 133.13 terminated. 133.14 (9) Act as coordinating referral and informational center 133.15 on requests for service for newly arrived immigrants coming to 133.16 Minnesota. 133.17 (10) The specific enumeration of powers and duties as 133.18 hereinabove set forth shall in no way be construed to be a 133.19 limitation upon the general transfer of powers herein contained. 133.20 (11) Establish county, regional, or statewide schedules of 133.21 maximum fees and charges which may be paid by county agencies 133.22 for medical, dental, surgical, hospital, nursing and nursing 133.23 home care and medicine and medical supplies under all programs 133.24 of medical care provided by the state and for congregate living 133.25 care under the income maintenance programs. 133.26 (12) Have the authority to conduct and administer 133.27 experimental projects to test methods and procedures of 133.28 administering assistance and services to recipients or potential 133.29 recipients of public welfare. To carry out such experimental 133.30 projects, it is further provided that the commissioner of human 133.31 services is authorized to waive the enforcement of existing 133.32 specific statutory program requirements, rules, and standards in 133.33 one or more counties. The order establishing the waiver shall 133.34 provide alternative methods and procedures of administration, 133.35 shall not be in conflict with the basic purposes, coverage, or 133.36 benefits provided by law, and in no event shall the duration of 134.1 a project exceed four years. It is further provided that no 134.2 order establishing an experimental project as authorized by the 134.3 provisions of this section shall become effective until the 134.4 following conditions have been met: 134.5 (a) The secretary of health and human services of the 134.6 United States has agreed, for the same project, to waive state 134.7 plan requirements relative to statewide uniformity. 134.8 (b) A comprehensive plan, including estimated project 134.9 costs, shall be approved by the legislative advisory commission 134.10 and filed with the commissioner of administration. 134.11 (13) According to federal requirements, establish 134.12 procedures to be followed by local welfare boards in creating 134.13 citizen advisory committees, including procedures for selection 134.14 of committee members. 134.15 (14) Allocate federal fiscal disallowances or sanctions 134.16 which are based on quality control error rates for the aid to 134.17 families with dependent children program formerly codified in 134.18 sections 256.72 to 256.87, medical assistance, or food stamp 134.19 program in the following manner: 134.20 (a) One-half of the total amount of the disallowance shall 134.21 be borne by the county boards responsible for administering the 134.22 programs. For the medical assistance and the AFDC program 134.23 formerly codified in sections 256.72 to 256.87, disallowances 134.24 shall be shared by each county board in the same proportion as 134.25 that county's expenditures for the sanctioned program are to the 134.26 total of all counties' expenditures for the AFDC program 134.27 formerly codified in sections 256.72 to 256.87, and medical 134.28 assistance programs. For the food stamp program, sanctions 134.29 shall be shared by each county board, with 50 percent of the 134.30 sanction being distributed to each county in the same proportion 134.31 as that county's administrative costs for food stamps are to the 134.32 total of all food stamp administrative costs for all counties, 134.33 and 50 percent of the sanctions being distributed to each county 134.34 in the same proportion as that county's value of food stamp 134.35 benefits issued are to the total of all benefits issued for all 134.36 counties. Each county shall pay its share of the disallowance 135.1 to the state of Minnesota. When a county fails to pay the 135.2 amount due hereunder, the commissioner may deduct the amount 135.3 from reimbursement otherwise due the county, or the attorney 135.4 general, upon the request of the commissioner, may institute 135.5 civil action to recover the amount due. 135.6 (b) Notwithstanding the provisions of paragraph (a), if the 135.7 disallowance results from knowing noncompliance by one or more 135.8 counties with a specific program instruction, and that knowing 135.9 noncompliance is a matter of official county board record, the 135.10 commissioner may require payment or recover from the county or 135.11 counties, in the manner prescribed in paragraph (a), an amount 135.12 equal to the portion of the total disallowance which resulted 135.13 from the noncompliance, and may distribute the balance of the 135.14 disallowance according to paragraph (a). 135.15 (15) Develop and implement special projects that maximize 135.16 reimbursements and result in the recovery of money to the 135.17 state. For the purpose of recovering state money, the 135.18 commissioner may enter into contracts with third parties. Any 135.19 recoveries that result from projects or contracts entered into 135.20 under this paragraph shall be deposited in the state treasury 135.21 and credited to a special account until the balance in the 135.22 account reaches $1,000,000. When the balance in the account 135.23 exceeds $1,000,000, the excess shall be transferred and credited 135.24 to the general fund. All money in the account is appropriated 135.25 to the commissioner for the purposes of this paragraph. 135.26 (16) Have the authority to make direct payments to 135.27 facilities providing shelter to women and their children 135.28 according to section 256D.05, subdivision 3. Upon the written 135.29 request of a shelter facility that has been denied payments 135.30 under section 256D.05, subdivision 3, the commissioner shall 135.31 review all relevant evidence and make a determination within 30 135.32 days of the request for review regarding issuance of direct 135.33 payments to the shelter facility. Failure to act within 30 days 135.34 shall be considered a determination not to issue direct payments. 135.35 (17) Have the authority to establish and enforce the 135.36 following county reporting requirements: 136.1 (a) The commissioner shall establish fiscal and statistical 136.2 reporting requirements necessary to account for the expenditure 136.3 of funds allocated to counties for human services programs. 136.4 When establishing financial and statistical reporting 136.5 requirements, the commissioner shall evaluate all reports, in 136.6 consultation with the counties, to determine if the reports can 136.7 be simplified or the number of reports can be reduced. 136.8 (b) The county board shall submit monthly or quarterly 136.9 reports to the department as required by the commissioner. 136.10 Monthly reports are due no later than 15 working days after the 136.11 end of the month. Quarterly reports are due no later than 30 136.12 calendar days after the end of the quarter, unless the 136.13 commissioner determines that the deadline must be shortened to 136.14 20 calendar days to avoid jeopardizing compliance with federal 136.15 deadlines or risking a loss of federal funding. Only reports 136.16 that are complete, legible, and in the required format shall be 136.17 accepted by the commissioner. 136.18 (c) If the required reports are not received by the 136.19 deadlines established in clause (b), the commissioner may delay 136.20 payments and withhold funds from the county board until the next 136.21 reporting period. When the report is needed to account for the 136.22 use of federal funds and the late report results in a reduction 136.23 in federal funding, the commissioner shall withhold from the 136.24 county boards with late reports an amount equal to the reduction 136.25 in federal funding until full federal funding is received. 136.26 (d) A county board that submits reports that are late, 136.27 illegible, incomplete, or not in the required format for two out 136.28 of three consecutive reporting periods is considered 136.29 noncompliant. When a county board is found to be noncompliant, 136.30 the commissioner shall notify the county board of the reason the 136.31 county board is considered noncompliant and request that the 136.32 county board develop a corrective action plan stating how the 136.33 county board plans to correct the problem. The corrective 136.34 action plan must be submitted to the commissioner within 45 days 136.35 after the date the county board received notice of noncompliance. 136.36 (e) The final deadline for fiscal reports or amendments to 137.1 fiscal reports is one year after the date the report was 137.2 originally due. If the commissioner does not receive a report 137.3 by the final deadline, the county board forfeits the funding 137.4 associated with the report for that reporting period and the 137.5 county board must repay any funds associated with the report 137.6 received for that reporting period. 137.7 (f) The commissioner may not delay payments, withhold 137.8 funds, or require repayment under paragraph (c) or (e) if the 137.9 county demonstrates that the commissioner failed to provide 137.10 appropriate forms, guidelines, and technical assistance to 137.11 enable the county to comply with the requirements. If the 137.12 county board disagrees with an action taken by the commissioner 137.13 under paragraph (c) or (e), the county board may appeal the 137.14 action according to sections 14.57 to 14.69. 137.15 (g) Counties subject to withholding of funds under 137.16 paragraph (c) or forfeiture or repayment of funds under 137.17 paragraph (e) shall not reduce or withhold benefits or services 137.18 to clients to cover costs incurred due to actions taken by the 137.19 commissioner under paragraph (c) or (e). 137.20 (18) Allocate federal fiscal disallowances or sanctions for 137.21 audit exceptions when federal fiscal disallowances or sanctions 137.22 are based on a statewide random sample for the foster care 137.23 program under title IV-E of the Social Security Act, United 137.24 States Code, title 42, in direct proportion to each county's 137.25 title IV-E foster care maintenance claim for that period. 137.26 (19) Be responsible for ensuring the detection, prevention, 137.27 investigation, and resolution of fraudulent activities or 137.28 behavior by applicants, recipients, and other participants in 137.29 the human services programs administered by the department. 137.30 (20) Require county agencies to identify overpayments, 137.31 establish claims, and utilize all available and cost-beneficial 137.32 methodologies to collect and recover these overpayments in the 137.33 human services programs administered by the department. 137.34 (21) Have the authority to administer a drug rebate program 137.35 for drugs purchased pursuant to the senior citizenprescription 137.36 drug program established under section 256.955 after the 138.1 beneficiary's satisfaction of any deductible established in the 138.2 program. The commissioner shall require a rebate agreement from 138.3 all manufacturers of covered drugs as defined in section 138.4 256B.0625, subdivision 13. Rebate agreements for prescription 138.5 drugs delivered on or after July 1, 2002, must include rebates 138.6 for individuals covered under the prescription drug program who 138.7 are under 65 years of age. For each drug, the amount of the 138.8 rebate shall be equal to the basic rebate as defined for 138.9 purposes of the federal rebate program in United States Code, 138.10 title 42, section 1396r-8(c)(1). This basic rebate shall be 138.11 applied to single-source and multiple-source drugs. The 138.12 manufacturers must provide full payment within 30 days of 138.13 receipt of the state invoice for the rebate within the terms and 138.14 conditions used for the federal rebate program established 138.15 pursuant to section 1927 of title XIX of the Social Security 138.16 Act. The manufacturers must provide the commissioner with any 138.17 information necessary to verify the rebate determined per drug. 138.18 The rebate program shall utilize the terms and conditions used 138.19 for the federal rebate program established pursuant to section 138.20 1927 of title XIX of the Social Security Act. 138.21 (22) Operate the department's communication systems account 138.22 established in Laws 1993, First Special Session chapter 1, 138.23 article 1, section 2, subdivision 2, to manage shared 138.24 communication costs necessary for the operation of the programs 138.25 the commissioner supervises. A communications account may also 138.26 be established for each regional treatment center which operates 138.27 communications systems. Each account must be used to manage 138.28 shared communication costs necessary for the operations of the 138.29 programs the commissioner supervises. The commissioner may 138.30 distribute the costs of operating and maintaining communication 138.31 systems to participants in a manner that reflects actual usage. 138.32 Costs may include acquisition, licensing, insurance, 138.33 maintenance, repair, staff time and other costs as determined by 138.34 the commissioner. Nonprofit organizations and state, county, 138.35 and local government agencies involved in the operation of 138.36 programs the commissioner supervises may participate in the use 139.1 of the department's communications technology and share in the 139.2 cost of operation. The commissioner may accept on behalf of the 139.3 state any gift, bequest, devise or personal property of any 139.4 kind, or money tendered to the state for any lawful purpose 139.5 pertaining to the communication activities of the department. 139.6 Any money received for this purpose must be deposited in the 139.7 department's communication systems accounts. Money collected by 139.8 the commissioner for the use of communication systems must be 139.9 deposited in the state communication systems account and is 139.10 appropriated to the commissioner for purposes of this section. 139.11 (23) Receive any federal matching money that is made 139.12 available through the medical assistance program for the 139.13 consumer satisfaction survey. Any federal money received for 139.14 the survey is appropriated to the commissioner for this 139.15 purpose. The commissioner may expend the federal money received 139.16 for the consumer satisfaction survey in either year of the 139.17 biennium. 139.18 (24) Incorporate cost reimbursement claims from First Call 139.19 Minnesota into the federal cost reimbursement claiming processes 139.20 of the department according to federal law, rule, and 139.21 regulations. Any reimbursement received is appropriated to the 139.22 commissioner and shall be disbursed to First Call Minnesota 139.23 according to normal department payment schedules. 139.24 (25) Develop recommended standards for foster care homes 139.25 that address the components of specialized therapeutic services 139.26 to be provided by foster care homes with those services. 139.27 Sec. 7. Minnesota Statutes 1998, section 256.955, 139.28 subdivision 1, is amended to read: 139.29 Subdivision 1. [ESTABLISHMENT.] The commissioner of human 139.30 services shall establish and administer a senior139.31 citizenprescription drug program. Qualified senior citizens139.32 shall be eligible for prescription drug coverage under the139.33 program beginning no later than January 1, 1999.139.34 Sec. 8. Minnesota Statutes 1998, section 256.955, 139.35 subdivision 2, is amended to read: 139.36 Subd. 2. [DEFINITIONS.] (a) For purposes of this section, 140.1 the following definitions apply. 140.2 (b) "Health plan" has the meaning provided in section 140.3 62Q.01, subdivision 3. 140.4 (c) "Health plan company" has the meaning provided in 140.5 section 62Q.01, subdivision 4. 140.6 (d) "Qualified senior citizenindividual" means an 140.7 individual age 65 or olderwho :meets the requirements described 140.8 in subdivision 2a or 2b, and: 140.9 (1) is eligible as a qualified Medicare beneficiary140.10 according to section 256B.057, subdivision 3 or 3a, or is140.11 eligible under section 256B.057, subdivision 3 or 3a, and is140.12 also eligible for medical assistance or general assistance140.13 medical care with a spenddown as defined in section 256B.056,140.14 subdivision 5. Persons who are determined eligible forwho is 140.15 not determined eligible for medical assistance according to 140.16 section 256B.0575, who areis not determined eligible for 140.17 medical assistance or general assistance medical care without a 140.18 spenddown, or who areis not enrolled in MinnesotaCare , are not140.19 eligible for this program; 140.20 (2) is not enrolled in prescription drug coverage under a 140.21 health plan; 140.22 (3) is not enrolled in prescription drug coverage under a 140.23 Medicare supplement plan, as defined in sections 62A.31 to 140.24 62A.44, or policies, contracts, or certificates that supplement 140.25 Medicare issued by health maintenance organizations or those 140.26 policies, contracts, or certificates governed by section 1833 or 140.27 1876 of the federal Social Security Act, United States Code, 140.28 title 42, section 1395, et seq., as amended; 140.29 (4) has not had coverage described in clauses (2) and (3) 140.30 for at least four months prior to application for the program; 140.31 and 140.32 (5) is a permanent resident of Minnesota as defined in 140.33 section 256L.09. 140.34 EFFECTIVE DATE: This section is effective October 1, 2000. 140.35 Sec. 9. Minnesota Statutes 1998, section 256.955, is 140.36 amended by adding a subdivision to read: 141.1 Subd. 2a. [ELIGIBILITY.] (a) An individual satisfying the 141.2 following requirements and the requirements described in 141.3 subdivision 2, paragraph (d), is eligible for the prescription 141.4 drug program: 141.5 (1) is at least 65 years of age or older; and 141.6 (2) is eligible as a qualified Medicare beneficiary 141.7 according to section 256B.057, subdivision 3 or 3a, or is 141.8 eligible under section 256B.057, subdivision 3 or 3a, and is 141.9 also eligible for medical assistance or general assistance 141.10 medical care with a spenddown as defined in section 256B.056, 141.11 subdivision 5. 141.12 EFFECTIVE DATE: This section is effective October 1, 2000. 141.13 Sec. 10. Minnesota Statutes 1998, section 256.955, is 141.14 amended by adding a subdivision to read: 141.15 Subd. 2b. [ELIGIBILITY.] (a) Effective July 1, 2002, an 141.16 individual satisfying the following requirements and the 141.17 requirements described in subdivision 2, paragraph (d), is 141.18 eligible for the prescription drug program: 141.19 (1) is under 65 years of age; and 141.20 (2) is eligible as a qualified Medicare beneficiary 141.21 according to section 256B.057, subdivision 3, or is eligible 141.22 under section 256B.057, subdivision 3, and is also eligible for 141.23 medical assistance or general assistance medical care with a 141.24 spenddown as defined in section 256B.056, subdivision 5. 141.25 Sec. 11. Minnesota Statutes 1999 Supplement, section 141.26 256.955, subdivision 4, is amended to read: 141.27 Subd. 4. [APPLICATION PROCEDURES AND COORDINATION WITH 141.28 MEDICAL ASSISTANCE.] Applications and information on the program 141.29 must be made available at county social service agencies, health 141.30 care provider offices, and agencies and organizations serving 141.31 senior citizens and persons with disabilities. Senior citizens141.32 Individuals shall submit applications and any information 141.33 specified by the commissioner as being necessary to verify 141.34 eligibility directly to the county social service agencies: 141.35 (1) beginning January 1, 1999, the county social service 141.36 agency shall determine medical assistance spenddown eligibility 142.1 of individuals who qualify for the senior citizenprescription 142.2 drug program of individuals; and 142.3 (2) program payments will be used to reduce the spenddown 142.4 obligations of individuals who are determined to be eligible for 142.5 medical assistance with a spenddown as defined in section 142.6 256B.056, subdivision 5. 142.7 SeniorsQualified individuals who are eligible for medical 142.8 assistance with a spenddown shall be financially responsible for 142.9 the deductible amount up to the satisfaction of the spenddown. 142.10 No deductible applies once the spenddown has been met. Payments 142.11 to providers for prescription drugs for persons eligible under 142.12 this subdivision shall be reduced by the deductible. 142.13 County social service agencies shall determine an 142.14 applicant's eligibility for the program within 30 days from the 142.15 date the application is received. Eligibility begins the month 142.16 after approval. 142.17 Sec. 12. Minnesota Statutes 1999 Supplement, section 142.18 256.955, subdivision 8, is amended to read: 142.19 Subd. 8. [REPORT.] The commissioner shall annually report 142.20 to the legislature on the senior citizenprescription drug 142.21 program. The report must include demographic information on 142.22 enrollees, per-prescription expenditures, total program 142.23 expenditures, hospital and nursing home costs avoided by 142.24 enrollees, any savings to medical assistance and Medicare 142.25 resulting from the provision of prescription drug coverage under 142.26 Medicare by health maintenance organizations, other public and 142.27 private options for drug assistance to the seniorcovered 142.28 population, any hardships caused by the annual deductible, and 142.29 any recommendations for changes in the seniorprescription drug 142.30 program. 142.31 Sec. 13. Minnesota Statutes 1999 Supplement, section 142.32 256.955, subdivision 9, is amended to read: 142.33 Subd. 9. [PROGRAM LIMITATION.] The commissioner shall 142.34 administer the seniorprescription drug program so that the 142.35 costs total no more than funds appropriated plus the drug rebate 142.36 proceeds. SeniorPrescription drug program rebate revenues are 143.1 appropriated to the commissioner and shall be expended to 143.2 augment funding of the seniorprescription drug program. New 143.3 enrollment shall cease if the commissioner determines that, 143.4 given current enrollment, costs of the program will exceed 143.5 appropriated funds and rebate proceeds. This section shall be143.6 repealed upon federal approval of the waiver to allow the143.7 commissioner to provide prescription drug coverage for qualified143.8 Medicare beneficiaries whose income is less than 150 percent of143.9 the federal poverty guidelines.143.10 Sec. 14. Minnesota Statutes 1998, section 256.9751, is 143.11 amended to read: 143.12 256.9751 [ CONGREGATE HOUSINGON-SITE COORDINATION (OSC) 143.13 SERVICES PROJECTS.] 143.14 Subdivision 1. [DEFINITIONS.] For the purposes of this 143.15 section, the following terms have the meanings given them. 143.16 (a) [CONGREGATE HOUSING.] "Congregate housing" means 143.17 federally or locally subsidized housing and nonsubsidized low- 143.18 and moderate-income multifamily housing units which may not have 143.19 common areas for activities and for serving food, designed for 143.20 the elderly , consisting of private apartments and common areas143.21 which can be used for activities and for serving meals. 143.22 (b) [ CONGREGATE HOUSINGON-SITE COORDINATION SERVICES 143.23 PROJECTS.] " Congregate housingOn-site coordination services 143.24 project" means a project in which services are or could be made 143.25 available to olderpersons age 55 or older who live 143.26 in subsidized housinga designated service area and which helps 143.27 delay or prevent nursing home placementthem remain 143.28 independent. To be considered a congregate housingan on-site 143.29 coordination services project, a project must have: (1) an 143.30 on-site coordinator , and; (2) a plan for assuring the 143.31 availability of one meal per day, seven days a week, for each 143.32 elderly participant in needwho needs a meal to continue to live 143.33 independently; and (3) an approved designated service area. 143.34 (c) [ON-SITE COORDINATOR.] "On-site coordinator" means a 143.35 person who works on-site in a building or buildingsdesignated 143.36 service area and who serves as a contact for older persons who 144.1 need services, support, and assistance in order to delay or144.2 prevent nursing home placementhelp them remain independent. 144.3 (d) [ CONGREGATE HOUSINGON-SITE COORDINATION SERVICES 144.4 PROJECT PARTICIPANTS OR PROJECT PARTICIPANTS.] " Congregate144.5 housingOn-site coordination services project participants" or 144.6 "project participants" means elderly persons 6055 years old or 144.7 older ,who are currently residents of ,or who are applying for144.8 residence in housing sites,planning to move into a designated 144.9 service area and who need support services to remain independent. 144.10 (e) [DESIGNATED SERVICE AREA OR DSA.] "Designated service 144.11 area" or "DSA" means the congregate housing site or sites, and 144.12 surrounding neighborhoods and communities that have a 144.13 concentration of persons age 55 or older that is higher than the 144.14 state average, in which on-site coordination services will be 144.15 provided. 144.16 Subd. 3. [GRANT PROGRAM.] The Minnesota board on aging144.17 commissioner shall establish a congregate housingan on-site 144.18 coordination services grant program whichthat is coordinated 144.19 with county government programs and services for elderly persons 144.20 and, in counties where they exist, with seniors' agenda for 144.21 independent living (SAIL) projects as defined in section 144.22 256B.0917, that will enable communities and neighborhoods to 144.23 provide on-site coordinators to serve as a contact forolder 144.24 persons who need services and support, andor need assistance to144.25 accessin accessing services, in order to delay or prevent 144.26 nursing home placement and remain independent. 144.27 Subd. 4. [USE OF GRANT FUNDS.] Grant funds shall be used 144.28 to develop and fund on-site coordinator positions. Grant funds 144.29 shall not be used to duplicate existing funds, to modify 144.30 buildings, or to purchase equipment. 144.31 Subd. 5. [GRANT ELIGIBILITY.] A public or nonprofit agency 144.32 or housing unit may apply for funds to provide a coordinator for 144.33 congregate housingon-site coordination services to an 144.34 identified population of frail elderly persons in a subsidized144.35 multiunit apartment building or buildings in a144.36 communitydesignated service area. The boardcommissioner shall 145.1 give preference to applicants that meet the requirements of this 145.2 section, and that have a common dining site in the designated 145.3 service area. A local match mayshall be required. State money 145.4 received may also be used to match federal money allocated 145.5 for congregate housingon-site coordination services. Grants 145.6 shall be awarded to urban and rural sites. 145.7 Subd. 6. [CRITERIA FOR SELECTION.] The Minnesota board on145.8 agingcommissioner shall select projects under this section 145.9 according to the following criteria: 145.10 (1) the extent to which the proposed project assists older 145.11 persons to age-in-place to prevent or delay nursing home 145.12 placement; 145.13 (2) the extent to which the proposed project identifies the 145.14 needs of project participants; 145.15 (3) the extent to which the proposed project identifies how 145.16 the on-site coordinator will help meet the needs of project 145.17 participants; 145.18 (4) the extent to which the proposed project plan assures 145.19 the availability of one meal a day, seven days a week, for each 145.20 elderly participant in need in the designated service area; 145.21 (5) the extent to which the proposed project demonstrates 145.22 involvement of participants, communities, and family members in 145.23 the project; and 145.24 (6) the extent to which the proposed project demonstrates 145.25 involvementcoordination of housing providerscommunity agencies 145.26 and public and private service agencies, including area agencies 145.27 on aging. 145.28 The commissioner shall consult with the county board of the 145.29 county in which the project would be implemented, and shall not 145.30 select any project without approval of the county board. A 145.31 designated service area with a senior dining program may be 145.32 given preference. 145.33 Subd. 7. [GRANT APPLICATIONS.] The Minnesota board on145.34 agingcommissioner shall request proposals for grants and award 145.35 grants using the criteria in subdivision 6. Grant applications 145.36 shall include: 146.1 (1) documentation of the need for congregateon-site 146.2 coordination services in the DSA so the residents can remain 146.3 independent; 146.4 (2) a description of the resources, such as social services 146.5 and health services, that will be available in the DSA community 146.6 to provide the necessary support services; 146.7 (3) a description of the target population, as defined in 146.8 subdivision 1, paragraph (d); 146.9 (4) a performance plan that includes written performance 146.10 objectives, outcomes, timelines, and the procedure the grantee 146.11 will use to document and measure success in meeting the 146.12 objectives; and 146.13 (5) letters of support from appropriate public and private 146.14 agencies and organizations, such as area agencies on aging and 146.15 county human service departments that demonstrate an intent to 146.16 work withcollaborate and coordinate with the agency requesting 146.17 a grant. 146.18 Subd. 8. [REPORT.] By January 1, 1993, the Minnesota board146.19 on aging shall submit a report to the legislature evaluating the146.20 programs. The report must document the project costs and146.21 outcomes that helped delay or prevent nursing home placement.146.22 The report must describe steps taken for quality assurance and146.23 must also include recommendations based on the project146.24 findings.The commissioner shall collect data on a quarterly 146.25 basis on the number of persons served and other factors relating 146.26 to the goals, activities, and accomplishments of the projects. 146.27 The commissioner shall provide this data in summary form to the 146.28 legislature in annual reports, due January 1, 2001, and each 146.29 January 1 thereafter. The annual reports must also include 146.30 recommendations based on project findings. 146.31 Subd. 9. [TECHNICAL ASSISTANCE.] The commissioner may 146.32 provide technical assistance to sponsors of on-site coordination 146.33 services programs or may contract or delegate the provision of 146.34 technical assistance. 146.35 Subd. 10. [OTHER AGENCIES.] The commissioner may delegate, 146.36 use, or employ any federal, state, regional, or local public or 147.1 private agency or organization, including organizations of 147.2 physically handicapped persons, upon terms the commissioner 147.3 deems necessary or desirable, to assist in the exercise of any 147.4 of the powers granted in this section. 147.5 Sec. 15. Minnesota Statutes 1999 Supplement, section 147.6 256B.057, subdivision 3, is amended to read: 147.7 Subd. 3. [QUALIFIED MEDICARE BENEFICIARIES.] A person who 147.8 is entitled to Part A Medicare benefits, whose income is equal 147.9 to or less than 100 percent of the federal poverty guidelines, 147.10 and whose assets are no more than twice the asset limit used to147.11 determine eligibility for the supplemental security income147.12 program$10,000 for a single individual and $18,000 for a 147.13 married couple or family of two or more, is eligible for medical 147.14 assistance reimbursement of Part A and Part B premiums, Part A 147.15 and Part B coinsurance and deductibles, and cost-effective 147.16 premiums for enrollment with a health maintenance organization 147.17 or a competitive medical plan under section 1876 of the Social 147.18 Security Act. Reimbursement of the Medicare coinsurance and 147.19 deductibles, when added to the amount paid by Medicare, must not 147.20 exceed the total rate the provider would have received for the 147.21 same service or services if the person were a medical assistance 147.22 recipient with Medicare coverage. Increases in benefits under 147.23 Title II of the Social Security Act shall not be counted as 147.24 income for purposes of this subdivision until the first day of 147.25 the second full month following publication of the change in the 147.26 federal poverty guidelines. 147.27 EFFECTIVE DATE: This section is effective October 1, 2000. 147.28 Sec. 16. Minnesota Statutes 1998, section 256B.0625, is 147.29 amended by adding a subdivision to read: 147.30 Subd. 41. [MENTAL HEALTH PROFESSIONAL.] Notwithstanding 147.31 Minnesota Rules, part 9505.0175, subpart 28, the definition of a 147.32 mental health professional shall include a person who is 147.33 qualified as specified in section 245.462, subdivision 18, 147.34 clause (5); or 245.4871, subdivision 27, clause (5), for the 147.35 purpose of this section and Minnesota Rules, parts 9505.0170 to 147.36 9505.0475. 148.1 Sec. 17. Minnesota Statutes 1999 Supplement, section 148.2 256B.094, subdivision 6, is amended to read: 148.3 Subd. 6. [MEDICAL ASSISTANCE REIMBURSEMENT OF CASE 148.4 MANAGEMENT SERVICES.] (a) Medical assistance reimbursement for 148.5 services under this section shall be made on a monthly basis. 148.6 Payment is based on face-to-face or telephone contacts between 148.7 the case manager and the client, client's family, primary 148.8 caregiver, legal representative, or other relevant person 148.9 identified as necessary to the development or implementation of 148.10 the goals of the individual service plan regarding the status of 148.11 the client, the individual service plan, or the goals for the 148.12 client. These contacts must meet the minimum standards in 148.13 clauses (1) and (2): 148.14 (1) there must be a face-to-face contact at least once a 148.15 month except as provided in clause (2); and 148.16 (2) for a client placed outside of the county of financial 148.17 responsibility in an excluded time facility under section 148.18 256G.02, subdivision 6, or through the Interstate Compact on the 148.19 Placement of Children, section 260.851, and the placement in 148.20 either case is more than 60 miles beyond the county boundaries, 148.21 there must be at least one contact per month and not more than 148.22 two consecutive months without a face-to-face contact. 148.23 (b) Except as provided under paragraph (c), the payment 148.24 rate is established using time study data on activities of 148.25 provider service staff and reports required under sections 148.26 245.482, 256.01, subdivision 2, paragraph (17), and 256E.08, 148.27 subdivision 8. 148.28 (c) Payments for tribes may be made according to section 148.29 256B.0625 or other relevant federally approved rate setting 148.30 methodology for child welfare targeted case management provided 148.31 by Indian health services and facilities operated by a tribe or 148.32 tribal organization. 148.33 (d) Payment for case management provided by county or 148.34 tribal social services contracted vendors shall be based on a 148.35 monthly rate negotiated by the host county or tribal social 148.36 services. The negotiated rate must not exceed the rate charged 149.1 by the vendor for the same service to other payers. If the 149.2 service is provided by a team of contracted vendors, the county 149.3 or tribal social services may negotiate a team rate with a 149.4 vendor who is a member of the team. The team shall determine 149.5 how to distribute the rate among its members. No reimbursement 149.6 received by contracted vendors shall be returned to the county 149.7 or tribal social services, except to reimburse the county or 149.8 tribal social services for advance funding provided by the 149.9 county or tribal social services to the vendor. 149.10 (e) If the service is provided by a team that includes 149.11 contracted vendors and county or tribal social services staff, 149.12 the costs for county or tribal social services staff 149.13 participation in the team shall be included in the rate for 149.14 county or tribal social services provided services. In this 149.15 case, the contracted vendor and the county or tribal social 149.16 services may each receive separate payment for services provided 149.17 by each entity in the same month. To prevent duplication of 149.18 services, each entity must document, in the recipient's file, 149.19 the need for team case management and a description of the roles 149.20 and services of the team members. 149.21 Separate payment rates may be established for different 149.22 groups of providers to maximize reimbursement as determined by 149.23 the commissioner. The payment rate will be reviewed annually 149.24 and revised periodically to be consistent with the most recent 149.25 time study and other data. Payment for services will be made 149.26 upon submission of a valid claim and verification of proper 149.27 documentation described in subdivision 7. Federal 149.28 administrative revenue earned through the time study, or under 149.29 paragraph (c), shall be distributed according to earnings, to 149.30 counties, reservations, or groups of counties or reservations 149.31 which have the same payment rate under this subdivision, and to 149.32 the group of counties or reservations which are not certified 149.33 providers under section 256F.10. The commissioner shall modify 149.34 the requirements set out in Minnesota Rules, parts 9550.0300 to 149.35 9550.0370, as necessary to accomplish this. 149.36 Sec. 18. Minnesota Statutes 1999 Supplement, section 150.1 256B.431, subdivision 17, is amended to read: 150.2 Subd. 17. [SPECIAL PROVISIONS FOR MORATORIUM EXCEPTIONS.] 150.3 (a) Notwithstanding Minnesota Rules, part 9549.0060, subpart 3, 150.4 for rate periods beginning on October 1, 1992, and for rate 150.5 years beginning after June 30, 1993, a nursing facility that (1) 150.6 has completed a construction project approved under section 150.7 144A.071, subdivision 4a, clause (m); (2) has completed a 150.8 construction project approved under section 144A.071, 150.9 subdivision 4a, and effective after June 30, 1995; or (3) has 150.10 completed a renovation, replacement, or upgrading project 150.11 approved under the moratorium exception process in section 150.12 144A.073 shall be reimbursed for costs directly identified to 150.13 that project as provided in subdivision 16 and this subdivision. 150.14 (b) Notwithstanding Minnesota Rules, part 9549.0060, 150.15 subparts 5, item A, subitems (1) and (3), and 7, item D, 150.16 allowable interest expense on debt shall include: 150.17 (1) interest expense on debt related to the cost of 150.18 purchasing or replacing depreciable equipment, excluding 150.19 vehicles, not to exceed six percent of the total historical cost 150.20 of the project; and 150.21 (2) interest expense on debt related to financing or 150.22 refinancing costs, including costs related to points, loan 150.23 origination fees, financing charges, legal fees, and title 150.24 searches; and issuance costs including bond discounts, bond 150.25 counsel, underwriter's counsel, corporate counsel, printing, and 150.26 financial forecasts. Allowable debt related to items in this 150.27 clause shall not exceed seven percent of the total historical 150.28 cost of the project. To the extent these costs are financed, 150.29 the straight-line amortization of the costs in this clause is 150.30 not an allowable cost; and 150.31 (3) interest on debt incurred for the establishment of a 150.32 debt reserve fund, net of the interest earned on the debt 150.33 reserve fund. 150.34 (c) Debt incurred for costs under paragraph (b) is not 150.35 subject to Minnesota Rules, part 9549.0060, subpart 5, item A, 150.36 subitem (5) or (6). 151.1 (d) The incremental increase in a nursing facility's rental 151.2 rate, determined under Minnesota Rules, parts 9549.0010 to 151.3 9549.0080, and this section, resulting from the acquisition of 151.4 allowable capital assets, and allowable debt and interest 151.5 expense under this subdivision shall be added to its 151.6 property-related payment rate and shall be effective on the 151.7 first day of the month following the month in which the 151.8 moratorium project was completed. 151.9 (e) Notwithstanding subdivision 3f, paragraph (a), for rate 151.10 periods beginning on October 1, 1992, and for rate years 151.11 beginning after June 30, 1993, the replacement-costs-new per bed 151.12 limit to be used in Minnesota Rules, part 9549.0060, subpart 4, 151.13 item B, for a nursing facility that has completed a renovation, 151.14 replacement, or upgrading project that has been approved under 151.15 the moratorium exception process in section 144A.073, or that 151.16 has completed an addition to or replacement of buildings, 151.17 attached fixtures, or land improvements for which the total 151.18 historical cost exceeds the lesser of $150,000 or ten percent of 151.19 the most recent appraised value, must be $47,500 per licensed 151.20 bed in multiple-bed rooms and $71,250 per licensed bed in a 151.21 single-bed room. These amounts must be adjusted annually as 151.22 specified in subdivision 3f, paragraph (a), beginning January 1, 151.23 1993. 151.24 (f) A nursing facility that completes a project identified 151.25 in this subdivision and, as of April 17, 1992, has not been 151.26 mailed a rate notice with a special appraisal for a completed 151.27 project, or completes a project after April 17, 1992, but before 151.28 September 1, 1992, may elect either to request a special 151.29 reappraisal with the corresponding adjustment to the 151.30 property-related payment rate under the laws in effect on June 151.31 30, 1992, or to submit their capital asset and debt information 151.32 after that date and obtain the property-related payment rate 151.33 adjustment under this section, but not both. 151.34 (g) For purposes of this paragraph, a total replacement 151.35 means the complete replacement of the nursing facility's 151.36 physical plant through the construction of a new physical plant 152.1 or, the transfer of the nursing facility's license from one 152.2 physical plant location to another, or a new building addition 152.3 to relocate beds from three- and four-bed wards. For total 152.4 replacement projects completed on or after July 1, 1992, the 152.5 commissioner shall compute the incremental change in the nursing 152.6 facility's rental per diem, for rate years beginning on or after 152.7 July 1, 1995, by replacing its appraised value, including the 152.8 historical capital asset costs, and the capital debt and 152.9 interest costs with the new nursing facility's allowable capital 152.10 asset costs and the related allowable capital debt and interest 152.11 costs. If the new nursing facility has decreased its licensed 152.12 capacity, the aggregate investment per bed limit in subdivision 152.13 3a, paragraph (d), shall apply. If the new nursing facility has 152.14 retained a portion of the original physical plant for nursing 152.15 facility usage, then a portion of the appraised value prior to 152.16 the replacement must be retained and included in the calculation 152.17 of the incremental change in the nursing facility's rental per 152.18 diem. For purposes of this part, the original nursing facility 152.19 means the nursing facility prior to the total replacement 152.20 project. The portion of the appraised value to be retained 152.21 shall be calculated according to clauses (1) to (3): 152.22 (1) The numerator of the allocation ratio shall be the 152.23 square footage of the area in the original physical plant which 152.24 is being retained for nursing facility usage. 152.25 (2) The denominator of the allocation ratio shall be the 152.26 total square footage of the original nursing facility physical 152.27 plant. 152.28 (3) Each component of the nursing facility's allowable 152.29 appraised value prior to the total replacement project shall be 152.30 multiplied by the allocation ratio developed by dividing clause 152.31 (1) by clause (2). 152.32 In the case of either type of total replacement as 152.33 authorized under section 144A.071 or 144A.073, the provisions of 152.34 this subdivision shall also apply. For purposes of the 152.35 moratorium exception authorized under section 144A.071, 152.36 subdivision 4a, paragraph (s), if the total replacement involves 153.1 the renovation and use of an existing health care facility 153.2 physical plant, the new allowable capital asset costs and 153.3 related debt and interest costs shall include first the 153.4 allowable capital asset costs and related debt and interest 153.5 costs of the renovation, to which shall be added the allowable 153.6 capital asset costs of the existing physical plant prior to the 153.7 renovation, and if reported by the facility, the related 153.8 allowable capital debt and interest costs. 153.9 (h) Notwithstanding Minnesota Rules, part 9549.0060, 153.10 subpart 11, item C, subitem (2), for a total replacement, as 153.11 defined in paragraph (g), authorized under section 144A.071 or 153.12 144A.073 after July 1, 1999, or any building project that is a 153.13 relocation, renovation, upgrading, or conversion authorized 153.14 under section 144A.073, after July 1, 2001, the 153.15 replacement-costs-new per bed limit shall be $74,280 per 153.16 licensed bed in multiple-bed rooms, $92,850 per licensed bed in 153.17 semiprivate rooms with a fixed partition separating the resident 153.18 beds, and $111,420 per licensed bed in single rooms. Minnesota 153.19 Rules, part 9549.0060, subpart 11, item C, subitem (2), does not 153.20 apply. These amounts must be adjusted annually as specified in 153.21 subdivision 3f, paragraph (a), beginning January 1, 2000. 153.22 (i) For a total replacement, as defined in paragraph (g), 153.23 authorized under section 144A.073 for a 96-bed nursing home in 153.24 Carlton county, the replacement-costs-new per bed limit shall be 153.25 $74,280 per licensed bed in multiple-bed rooms, $92,850 per 153.26 licensed bed in semiprivate rooms with a fixed partition 153.27 separating the resident's beds, and $111,420 per licensed bed in 153.28 a single room. Minnesota Rules, part 9549.0060, subpart 11, 153.29 item C, subitem (2), does not apply. The resulting maximum 153.30 allowable replacement-costs-new multiplied by 1.25 shall 153.31 constitute the project's dollar threshold for purposes of 153.32 application of the limit set forth in section 144A.071, 153.33 subdivision 2. The commissioner of health may waive the 153.34 requirements of section 144A.073, subdivision 3b, paragraph (b), 153.35 clause (2), on the condition that the other requirements of that 153.36 paragraph are met. 154.1 (j) For a total replacement, as defined in paragraph (g), 154.2 authorized under section 144A.073 involving a new building 154.3 addition that relocates beds from three-bed wards for an 80-bed 154.4 nursing home in Redwood county, the replacement-costs-new per 154.5 bed limit shall be $74,280 per licensed bed for multiple-bed 154.6 rooms; $92,850 per licensed bed for semiprivate rooms with a 154.7 fixed partition separating the beds; and $111,420 per licensed 154.8 bed for single rooms. These amounts shall be adjusted annually, 154.9 beginning January 1, 2001. Minnesota Rules, part 9549.0060, 154.10 subpart 11, item C, subitem (2), does not apply. The resulting 154.11 maximum allowable replacement-costs-new multiplied by 1.25 shall 154.12 constitute the project's dollar threshold for purposes of 154.13 application of the limit set forth in section 144A.071, 154.14 subdivision 2. The commissioner of health may waive the 154.15 requirements of section 144A.073, subdivision 3b, paragraph (b), 154.16 clause (2), on the condition that the other requirements of that 154.17 paragraph are met. 154.18 Sec. 19. Minnesota Statutes 1999 Supplement, section 154.19 256B.431, subdivision 28, is amended to read: 154.20 Subd. 28. [NURSING FACILITY RATE INCREASES BEGINNING JULY 154.21 1, 1999, AND JULY 1, 2000.] (a) For the rate years beginning 154.22 July 1, 1999, and July 1, 2000, the commissioner shall make 154.23 available to each nursing facility reimbursed under this section 154.24 or section 256B.434 an adjustment to the total operating payment 154.25 rate. For nursing facilities reimbursed under this section or 154.26 section 256B.434, the July 1, 2000, operating payment rate 154.27 increases provided in this subdivision shall be applied to each 154.28 facility's June 30, 2000, operating payment rate. For each 154.29 facility, total operating costs shall be separated into costs 154.30 that are compensation related and all other costs. 154.31 Compensation-related costs include salaries, payroll taxes, and 154.32 fringe benefits for all employees except management fees, the 154.33 administrator, and central office staff. 154.34 (b) For the rate year beginning July 1, 1999, the 154.35 commissioner shall make available a rate increase for 154.36 compensation-related costs of 4.843 percent and a rate increase 155.1 for all other operating costs of 3.446 percent. 155.2 (c) For the rate year beginning July 1, 2000, the 155.3 commissioner shall make available: 155.4 (1) a rate increase for compensation-related costs of 3.632 155.5 percent; 155.6 (2) an additional rate increase which must be used to 155.7 increase the per-hour pay rate of all employees except 155.8 management fees, the administrator, and central office staff by 155.9 an equal dollar amount and to pay associated costs for FICA, the 155.10 Medicare tax, workers' compensation premiums, and federal and 155.11 state unemployment insurance, to be calculated according to 155.12 clauses (i) to (iii): 155.13 (i) the commissioner shall calculate the arithmetic mean of 155.14 the eleven June 30, 2000, operating rates for each facility; 155.15 (ii) the commissioner shall construct an array of nursing 155.16 facilities from highest to lowest, according to the arithmetic 155.17 mean calculated in clause (i). A numerical rank shall be 155.18 assigned to each facility in the array. The facility with the 155.19 highest mean shall be assigned a numerical rank of one. The 155.20 facility with the lowest mean shall be assigned a numerical rank 155.21 equal to the total number of nursing facilities in the array. 155.22 All other facilities shall be assigned a numerical rank in 155.23 accordance with their position in the array; 155.24 (iii) the amount of the additional rate increase shall be 155.25 $1 plus an amount equal to $3.13 multiplied by the ratio of the 155.26 facility's numeric rank divided by the number of facilities in 155.27 the array; and 155.28 (3) a rate increase for all other operating costs of 2.585 155.29 percent. 155.30 Money received by a facility as a result of the additional 155.31 rate increase provided under clause (2) shall be used only for 155.32 wage increases implemented on or after July 1, 2000, and shall 155.33 not be used for wage increases implemented prior to that date. 155.34 (d) The payment rate adjustment for each nursing facility 155.35 must be determined under clause (1) or (2): 155.36 (1) for each nursing facility that reports salaries for 156.1 registered nurses, licensed practical nurses, aides, orderlies, 156.2 and attendants separately, the commissioner shall determine the 156.3 payment rate adjustment using the categories specified in 156.4 paragraph (a) multiplied by the rate increases specified in 156.5 paragraph (b) or (c), and then dividing the resulting amount by 156.6 the nursing facility's actual resident days. In determining the 156.7 amount of a payment rate adjustment for a nursing facility 156.8 reimbursed under section 256B.434, the commissioner shall 156.9 determine the proportions of the facility's rates that are 156.10 compensation-related costs and all other operating costs based 156.11 on the facility's most recent cost report; and 156.12 (2) for each nursing facility that does not report salaries 156.13 for registered nurses, licensed practical nurses, aides, 156.14 orderlies, and attendants separately, the payment rate 156.15 adjustment shall be computed using the facility's total 156.16 operating costs, separated into the categories specified in 156.17 paragraph (a) in proportion to the weighted average of all 156.18 facilities determined under clause (1), multiplied by the rate 156.19 increases specified in paragraph (b) or (c), and then dividing 156.20 the resulting amount by the nursing facility's actual resident 156.21 days. 156.22 (e) A nursing facility may apply for the 156.23 compensation-related payment rate adjustment calculated under 156.24 this subdivision. The application must be made to the 156.25 commissioner and contain a plan by which the nursing facility 156.26 will distribute the compensation-related portion of the payment 156.27 rate adjustment to employees of the nursing facility. For 156.28 nursing facilities in which the employees are represented by an 156.29 exclusive bargaining representative, an agreement negotiated and 156.30 agreed to by the employer and the exclusive bargaining 156.31 representative constitutes the plan. For the second rate year, 156.32 a negotiated agreement constitutes the plan only if the 156.33 agreement is finalized after the date of enactment of all rate 156.34 increases for the second rate year. The commissioner shall 156.35 review the plan to ensure that the payment rate adjustment per 156.36 diem is used as provided in paragraphs (a) to (c). To be 157.1 eligible, a facility must submit its plan for the compensation 157.2 distribution by December 31 each year. A facility may amend its 157.3 plan for the second rate year by submitting a revised plan by 157.4 December 31, 2000. If a facility's plan for compensation 157.5 distribution is effective for its employees after July 1 of the 157.6 year that the funds are available, the payment rate adjustment 157.7 per diem shall be effective the same date as its plan. 157.8 (f) A copy of the approved distribution plan must be made 157.9 available to all employees. This must be done by giving each 157.10 employee a copy or by posting it in an area of the nursing 157.11 facility to which all employees have access. If an employee 157.12 does not receive the compensation adjustment described in their 157.13 facility's approved plan and is unable to resolve the problem 157.14 with the facility's management or through the employee's union 157.15 representative, the employee may contact the commissioner at an 157.16 address or phone number provided by the commissioner and 157.17 included in the approved plan. 157.18 (g) If the reimbursement system under section 256B.435 is 157.19 not implemented until July 1, 2001, the salary adjustment per 157.20 diem authorized in subdivision 2i, paragraph (c), shall continue 157.21 until June 30, 2001. 157.22 (h) For the rate year beginning July 1, 1999, the following 157.23 nursing facilities shall be allowed a rate increase equal to 67 157.24 percent of the rate increase that would be allowed if 157.25 subdivision 26, paragraph (a), was not applied: 157.26 (1) a nursing facility in Carver county licensed for 33 157.27 nursing home beds and four boarding care beds; 157.28 (2) a nursing facility in Faribault county licensed for 159 157.29 nursing home beds on September 30, 1998; and 157.30 (3) a nursing facility in Houston county licensed for 68 157.31 nursing home beds on September 30, 1998. 157.32 (i) For the rate year beginning July 1, 1999, the following 157.33 nursing facilities shall be allowed a rate increase equal to 67 157.34 percent of the rate increase that would be allowed if 157.35 subdivision 26, paragraphs (a) and (b), were not applied: 157.36 (1) a nursing facility in Chisago county licensed for 135 158.1 nursing home beds on September 30, 1998; and 158.2 (2) a nursing facility in Murray county licensed for 62 158.3 nursing home beds on September 30, 1998. 158.4 (j) For the rate year beginning July 1, 1999, a nursing 158.5 facility in Hennepin county licensed for 134 beds on September 158.6 30, 1998, shall: 158.7 (1) have the prior year's allowable care-related per diem 158.8 increased by $3.93 and the prior year's other operating cost per 158.9 diem increased by $1.69 before adding the inflation in 158.10 subdivision 26, paragraph (d), clause (2); and 158.11 (2) be allowed a rate increase equal to 67 percent of the 158.12 rate increase that would be allowed if subdivision 26, 158.13 paragraphs (a) and (b), were not applied. 158.14 The increases provided in paragraphs (h), (i), and (j) 158.15 shall be included in the facility's total payment rates for the 158.16 purposes of determining future rates under this section or any 158.17 other section. 158.18 Sec. 20. Minnesota Statutes 1998, section 256B.431, is 158.19 amended by adding a subdivision to read: 158.20 Subd. 29. [FACILITY RATE INCREASES EFFECTIVE JULY 1, 158.21 2000.] Following the determination under subdivision 28 of the 158.22 payment rate for the rate year beginning July 1, 2000, for a 158.23 facility in Roseau county licensed for 49 beds, the facility's 158.24 operating cost per diem shall be increased by the following 158.25 amounts: 158.26 (1) case mix class A, $1.97; 158.27 (2) case mix class B, $2.11; 158.28 (3) case mix class C, $2.26; 158.29 (4) case mix class D, $2.39; 158.30 (5) case mix class E, $2.54; 158.31 (6) case mix class F, $2.55; 158.32 (7) case mix class G, $2.66; 158.33 (8) case mix class H, $2.90; 158.34 (9) case mix class I, $2.97; 158.35 (10) case mix class J, $3.10; and 158.36 (11) case mix class K, $3.36. 159.1 These increases shall be included in the facility's total 159.2 payment rates for the purpose of determining future rates under 159.3 this section or any other section. 159.4 Sec. 21. Minnesota Statutes 1998, section 256B.431, is 159.5 amended by adding a subdivision to read: 159.6 Subd. 30. [BED LAYAWAY AND DELICENSURE.] (a) For rate 159.7 years beginning on or after July 1, 2000, a nursing facility 159.8 reimbursed under this section which has placed beds on layaway 159.9 shall, for purposes of application of the downsizing incentive 159.10 in subdivision 3a, paragraph (d), and calculation of the rental 159.11 per diem, have those beds given the same effect as if the beds 159.12 had been delicensed so long as the beds remain on layaway. At 159.13 the time of a layaway, a facility may change its single bed 159.14 election for use in calculating capacity days under Minnesota 159.15 Rules, part 9549.0060, subpart 11. The property payment rate 159.16 increase shall be effective the first day of the month following 159.17 the month in which the layaway of the beds becomes effective 159.18 under section 144A.071, subdivision 4b. 159.19 (b) For rate years beginning on or after July 1, 2000, 159.20 notwithstanding any provision to the contrary under section 159.21 256B.434, a nursing facility reimbursed under that section which 159.22 has placed beds on layaway shall, for so long as the beds remain 159.23 on layaway, be allowed to: 159.24 (1) aggregate the applicable investment per bed limits 159.25 based on the number of beds licensed immediately prior to 159.26 entering the alternative payment system; 159.27 (2) retain or change the facility's single bed election for 159.28 use in calculating capacity days under Minnesota Rules, part 159.29 9549.0060, subpart 11; and 159.30 (3) establish capacity days based on the number of beds 159.31 immediately prior to the layaway and the number of beds after 159.32 the layaway. 159.33 The commissioner shall increase the facility's property payment 159.34 rate by the incremental increase in the rental per diem 159.35 resulting from the recalculation of the facility's rental per 159.36 diem applying only the changes resulting from the layaway of 160.1 beds and clauses (1), (2), and (3). If a facility reimbursed 160.2 under section 256B.434 completes a moratorium exception project 160.3 after its base year, the base year property rate shall be the 160.4 moratorium project property rate. The base year rate shall be 160.5 inflated by the factors in section 256B.434, subdivision 4, 160.6 paragraph (c). The property payment rate increase shall be 160.7 effective the first day of the month following the month in 160.8 which the layaway of the beds becomes effective. 160.9 (c) If a nursing facility removes a bed from layaway status 160.10 in accordance with section 144A.071, subdivision 4b, the 160.11 commissioner shall establish capacity days based on the number 160.12 of licensed and certified beds in the facility not on layaway 160.13 and shall reduce the nursing facility's property payment rate in 160.14 accordance with paragraph (b). 160.15 (d) For the rate years beginning on or after July 1, 2000, 160.16 notwithstanding any provision to the contrary under section 160.17 256B.434, a nursing facility reimbursed under that section, 160.18 which has delicensed beds after July 1, 2000, by giving notice 160.19 of the delicensure to the commissioner of health according to 160.20 the notice requirements in section 144A.071, subdivision 4b, 160.21 shall be allowed to: 160.22 (1) aggregate the applicable investment per bed limits 160.23 based on the number of beds licensed immediately prior to 160.24 entering the alternative payment system; 160.25 (2) retain or change the facility's single bed election for 160.26 use in calculating capacity days under Minnesota Rules, part 160.27 9549.0060, subpart 11; and 160.28 (3) establish capacity days based on the number of beds 160.29 immediately prior to the delicensure and the number of beds 160.30 after the delicensure. 160.31 The commissioner shall increase the facility's property payment 160.32 rate by the incremental increase in the rental per diem 160.33 resulting from the recalculation of the facility's rental per 160.34 diem applying only the changes resulting from the delicensure of 160.35 beds and clauses (1), (2), and (3). If a facility reimbursed 160.36 under section 256B.434 completes a moratorium exception project 161.1 after its base year, the base year property rate shall be the 161.2 moratorium project property rate. The base year rate shall be 161.3 inflated by the factors in section 256B.434, subdivision 4, 161.4 paragraph (c). The property payment rate increase shall be 161.5 effective the first day of the month following the month in 161.6 which the delicensure of the beds becomes effective. 161.7 (e) For nursing facilities reimbursed under this section or 161.8 section 256B.434, any beds placed on layaway shall not be 161.9 included in calculating facility occupancy as it pertains to 161.10 leave days defined in Minnesota Rules, part 9505.0415. 161.11 (f) For nursing facilities reimbursed under this section or 161.12 section 256B.434, the rental rate calculated after placing beds 161.13 on layaway may not be less than the rental rate prior to placing 161.14 beds on layaway. 161.15 (g) A nursing facility receiving a rate adjustment as a 161.16 result of this section shall comply with section 256B.47, 161.17 subdivision 2. 161.18 (h) A facility that does not utilize the space made 161.19 available as a result of bed layaway or delicensure under this 161.20 subdivision to reduce the number of beds per room or provide 161.21 more common space for nursing facility uses or perform other 161.22 activities related to the operation of the nursing facility 161.23 shall have its property rate increase calculated under this 161.24 subdivision reduced by the ratio of the square footage made 161.25 available that is not used for these purposes to the total 161.26 square footage made available as a result of bed layaway or 161.27 delicensure. 161.28 Sec. 22. Minnesota Statutes 1998, section 256B.434, is 161.29 amended by adding a subdivision to read: 161.30 Subd. 4b. [FACILITY RATE INCREASES EFFECTIVE JULY 1, 161.31 2000.] For the rate year beginning July 1, 2000, the nursing 161.32 facilities described in clauses (1) to (6) shall receive the 161.33 rate increases indicated. The increases under this subdivision 161.34 shall be added following the determination under section 161.35 256B.431, subdivision 28, of the payment rate for the rate year 161.36 beginning July 1, 2000, and shall be included in the facility's 162.1 total payment rates for the purposes of determining future rates 162.2 under this section or any other section: 162.3 (1) a nursing facility in Hennepin county licensed for 290 162.4 beds shall receive an operating cost per diem increase of 5.9 162.5 percent, provided that the facility delicenses, decertifies, or 162.6 places on layaway status, if that status is otherwise permitted 162.7 by law, 70 beds; 162.8 (2) a nursing facility in Goodhue county licensed for 84 162.9 beds shall receive an increase of $1.54 in each case mix payment 162.10 rate; 162.11 (3) a nursing facility located in Rochester and licensed 162.12 for 103 beds on January 1, 2000, shall receive an increase in 162.13 its case mix resident class A payment of $3.78, and an increase 162.14 in the payment rate for all other case mix classes of that 162.15 amount multiplied by the class weight for that case mix class 162.16 established in Minnesota Rules, part 9549.0058, subpart 3; 162.17 (4) a nursing facility in Wright county licensed for 154 162.18 beds shall receive an increase of $2.03 in each case mix payment 162.19 rate to be used for employee wage and benefit enhancements; 162.20 (5) a facility in Todd county licensed for 78 beds, shall 162.21 have its operating cost per diem increased by the following 162.22 amounts: 162.23 (i) case mix class A, $1.16; 162.24 (ii) case mix class B, $1.50; 162.25 (iii) case mix class C, $1.89; 162.26 (iv) case mix class D, $2.26; 162.27 (v) case mix class E, $2.63; 162.28 (vi) case mix class F, $2.65; 162.29 (vii) case mix class G, $2.96; 162.30 (viii) case mix class H, $3.55; 162.31 (ix) case mix class I, $3.76; 162.32 (x) case mix class J, $4.08; and 162.33 (xi) case mix class K, $4.76; and 162.34 (6) a nursing facility in Pine City that decertified 22 162.35 beds in calendar year 1999 shall have its property-related per 162.36 diem payment rate increased by $1.59. 163.1 Sec. 23. Minnesota Statutes 1998, section 256B.501, is 163.2 amended by adding a subdivision to read: 163.3 Subd. 13. [ICF/MR RATE INCREASES BEGINNING OCTOBER 1, 163.4 1999, AND OCTOBER 1, 2000.] (a) For the rate years beginning 163.5 October 1, 1999, and October 1, 2000, the commissioner shall 163.6 make available to each facility reimbursed under this section, 163.7 section 256B.5011, and Laws 1993, First Special Session chapter 163.8 1, article 4, section 11, an adjustment to the total operating 163.9 payment rate. For each facility, total operating costs shall be 163.10 separated into costs that are compensation related and all other 163.11 costs. "Compensation-related costs" means the facility's 163.12 allowable program operating cost category employee training 163.13 expenses and the facility's allowable salaries, payroll taxes, 163.14 and fringe benefits. The term does not include these same 163.15 salary-related costs for both administrative or central office 163.16 employees. 163.17 For the purpose of determining the adjustment to be granted 163.18 under this subdivision, the commissioner must use the most 163.19 recent cost report that has been subject to desk audit. 163.20 (b) For the rate year beginning October 1, 1999, the 163.21 commissioner shall make available a rate increase for 163.22 compensation-related costs of 4.6 percent and a rate increase 163.23 for all other operating costs of 3.2 percent. 163.24 (c) For the rate year beginning October 1, 2000, the 163.25 commissioner shall make available: 163.26 (1) a rate increase for compensation related costs of 6.5 163.27 percent, 45 percent of which shall be used to increase the 163.28 per-hour pay rate of all employees except administrative and 163.29 central office employees by an equal dollar amount and to pay 163.30 associated costs for FICA, the Medicare tax, workers' 163.31 compensation premiums, and federal and state unemployment 163.32 insurance provided that this portion of the compensation-related 163.33 increase shall be used only for wage increases implemented on or 163.34 after October 1, 2000, and shall not be used for wage increases 163.35 implemented prior to that date; and 163.36 (2) a rate increase for all other operating costs of two 164.1 percent. 164.2 (d) For each facility, the commissioner shall determine the 164.3 payment rate adjustment using the categories specified in 164.4 paragraph (a) multiplied by the rate increases specified in 164.5 paragraph (b) or (c), and then dividing the resulting amount by 164.6 the facility's actual resident days. 164.7 (e) Any facility whose payment rates are governed by 164.8 closure agreements, receivership agreements, or Minnesota Rules, 164.9 part 9553.0075, are not eligible for an adjustment otherwise 164.10 granted under this subdivision. 164.11 (f) A facility may apply for the compensation-related 164.12 payment rate adjustment calculated under this subdivision. The 164.13 application must be made to the commissioner and contain a plan 164.14 by which the facility will distribute the compensation-related 164.15 portion of the payment rate adjustment to employees of the 164.16 facility. For facilities in which the employees are represented 164.17 by an exclusive bargaining representative, an agreement 164.18 negotiated and agreed to by the employer and the exclusive 164.19 bargaining representative constitutes the plan. For the second 164.20 rate year, a negotiated agreement may constitute the plan only 164.21 if the agreement is finalized after the date of enactment of all 164.22 rate increases for the second rate year. The commissioner shall 164.23 review the plan to ensure that the payment rate adjustment per 164.24 diem is used as provided in this subdivision. To be eligible, a 164.25 facility must submit its plan for the compensation distribution 164.26 by December 31 each year. A facility may amend its plan for the 164.27 second rate year by submitting a revised plan by December 31, 164.28 2000. If a facility's plan for compensation distribution is 164.29 effective for its employees after October 1 of the year that the 164.30 funds are available, the payment rate adjustment per diem shall 164.31 be effective the same date as its plan. 164.32 (g) A copy of the approved distribution plan must be made 164.33 available to all employees. This must be done by giving each 164.34 employee a copy or by posting it in an area of the facility to 164.35 which all employees have access. If an employee does not 164.36 receive the compensation adjustment described in their 165.1 facility's approved plan and is unable to resolve the problem 165.2 with the facility's management or through the employee's union 165.3 representative, the employee may contact the commissioner at an 165.4 address or telephone number provided by the commissioner and 165.5 included in the approved plan. 165.6 Sec. 24. Minnesota Statutes 1999 Supplement, section 165.7 256B.69, subdivision 5b, is amended to read: 165.8 Subd. 5b. [PROSPECTIVE REIMBURSEMENT RATES.] (a) For 165.9 prepaid medical assistance and general assistance medical care 165.10 program contract rates set by the commissioner under subdivision 165.11 5 and effective on or after January 1, 1998, capitation rates 165.12 for nonmetropolitan counties shall on a weighted average be no 165.13 less than 88 percent of the capitation rates for metropolitan 165.14 counties, excluding Hennepin county. The commissioner shall 165.15 make a pro rata adjustment in capitation rates paid to counties 165.16 other than nonmetropolitan counties in order to make this 165.17 provision budget neutral. 165.18 (b) For prepaid medical assistance program contract rates 165.19 set by the commissioner under subdivision 5 and effective on or 165.20 after January 1, 2001, capitation rates for nonmetropolitan 165.21 counties shall, on a weighted average, be no less than 89 165.22 percent of the capitation rates for metropolitan counties, 165.23 excluding Hennepin county. 165.24 (c) This subdivision shall not affect the nongeographically 165.25 based risk adjusted rates established under section 62Q.03, 165.26 subdivision 5a, paragraph (f). 165.27 Sec. 25. Minnesota Statutes 1999 Supplement, section 165.28 256B.69, subdivision 5c, is amended to read: 165.29 Subd. 5c. [MEDICAL EDUCATION AND RESEARCH FUND.] (a) 165.30 Beginning in January 1999 and each year thereafter: 165.31 (1) the commissioner of human services shall transfer an 165.32 amount equal to the reduction in the prepaid medical assistance 165.33 and prepaid general assistance medical care payments resulting 165.34 from clause (2), excluding nursing facility and elderly waiver 165.35 payments and demonstration projects operating under subdivision 165.36 23, to the medical education and research fund established under 166.1 section 62J.692; 166.2 (2) until January 1, 2002, the county medical assistance 166.3 and general assistance medical care capitation base rate prior 166.4 to plan specific adjustments and after the regional rate 166.5 adjustments under section 256B.69, subdivision 5b, shall be 166.6 reduced 6.3 percent for Hennepin county, two percent for the 166.7 remaining metropolitan counties, and no reduction for 166.8 nonmetropolitan Minnesota counties; and after January 1, 2002, 166.9 the county medical assistance and general assistance medical 166.10 care capitation base rate prior to plan specific adjustments 166.11 shall be reduced 6.3 percent for Hennepin county, two percent 166.12 for the remaining metropolitan counties, and 1.6 percent for 166.13 nonmetropolitan Minnesota counties; and 166.14 (3) the amount calculated under clause (1) shall not be 166.15 adjusted for subsequent changes to the capitation payments for 166.16 periods already paid. 166.17 (b) This subdivision shall be effective upon approval of a 166.18 federal waiver which allows federal financial participation in 166.19 the medical education and research fund. 166.20 Sec. 26. Minnesota Statutes 1998, section 256B.69, 166.21 subdivision 5d, is amended to read: 166.22 Subd. 5d. [MODIFICATION OF PAYMENT DATES EFFECTIVE JANUARY 166.23 1, 2001.] Effective for services rendered on or after January 1, 166.24 2001, capitation payments under this section and under section 166.25 256D.03 for services provided in the month of June shall be made 166.26 no earlier than the first day after the month of service. 166.27 Sec. 27. Minnesota Statutes 1998, section 256L.05, 166.28 subdivision 5, is amended to read: 166.29 Subd. 5. [AVAILABILITY OF PRIVATE INSURANCE.] The 166.30 commissioner, in consultation with the commissioners of health 166.31 and commerce, shall provide information regarding the 166.32 availability of private health insurance coverage and the 166.33 possibility of disenrollment under section 256L.07, subdivision 166.34 1, paragraphs (b) and (c), to all: (1) families and individuals166.35 enrolled in the MinnesotaCare program whose gross family income 166.36 is equal to or more than 200225 percent of the federal poverty 167.1 guidelines; and (2) single adults and households without 167.2 children enrolled in the MinnesotaCare program whose gross 167.3 family income is equal to or more than 165 percent of the 167.4 federal poverty guidelines. This information must be provided 167.5 upon initial enrollment and annually thereafter. The 167.6 commissioner shall also include information regarding the 167.7 availability of private health insurance coverage in the notice 167.8 of ineligibility provided to persons subject to disenrollment 167.9 under section 256L.07, subdivision 1, paragraphs (b) and (c). 167.10 Sec. 28. Laws 1997, chapter 225, article 4, section 4, as 167.11 amended by Laws 1999, chapter 245, article 4, section 104, is 167.12 amended to read: 167.13 Sec. 4. [ SENIORPRESCRIPTION DRUG PROGRAM.] 167.14 The commissioner shall report to the legislature the 167.15 estimated costs of the seniorprescription drug program without167.16 funding caps. The report shall be included as part of the 167.17 November and February forecasts. 167.18 The commissioner of finance shall annually reimburse the 167.19 general fund with health care access funds for the estimated 167.20 increased costs in the QMB/SLMB program directly associated with 167.21 the seniorprescription drug program. This reimbursement shall 167.22 sunset June 30, 2001. 167.23 Sec. 29. Laws 1999, chapter 245, article 1, section 2, 167.24 subdivision 8, is amended to read: 167.25 Subd. 8. Continuing Care and 167.26 Community Support Grants 167.27 General 1,174,195,000 1,259,767,000 167.28 Lottery Prize 1,158,000 1,158,000 167.29 The amounts that may be spent from this 167.30 appropriation for each purpose are as 167.31 follows: 167.32 (a) Community Social Services 167.33 Block Grants 167.34 42,597,000 43,498,000 167.35 [CSSA TRADITIONAL APPROPRIATION.] 167.36 Notwithstanding Minnesota Statutes, 167.37 section 256E.06, subdivisions 1 and 2, 167.38 the appropriations available under that 167.39 section in fiscal years 2000 and 2001 167.40 must be distributed to each county 167.41 proportionately to the aid received by 168.1 the county in calendar year 1998. The 168.2 commissioner, in consultation with 168.3 counties, shall study the formula 168.4 limitations in subdivision 2 of that 168.5 section, and report findings and any 168.6 recommendations for revision of the 168.7 CSSA formula and its formula limitation 168.8 provisions to the legislature by 168.9 January 15, 2000. 168.10 (b) Consumer Support Grants 168.11 1,123,000 1,123,000 168.12 (c) Aging Adult Service Grants 168.13 7,965,000 7,765,000 168.14 [LIVING-AT-HOME/BLOCK NURSE PROGRAM.] 168.15 Of the general fund appropriation, 168.16 $120,000 in fiscal year 2000 and 168.17 $120,000 in fiscal year 2001 is for the 168.18 commissioner to provide funding to six 168.19 additional living-at-home/block nurse 168.20 programs. This appropriation shall 168.21 become part of the base for the 168.22 2002-2003 biennium. 168.23 [MINNESOTA SENIOR SERVICE CORPS.] Of 168.24 this appropriation, $160,000 for the 168.25 biennium is from the general fund to 168.26 the commissioner for the following 168.27 purposes: 168.28 (a) $40,000 in fiscal year 2000 and 168.29 $40,000 in fiscal year 2001 is to 168.30 increase the hourly stipend by ten 168.31 cents per hour in the foster 168.32 grandparent program, the retired and 168.33 senior volunteer program, and the 168.34 senior companion program. 168.35 (b) $40,000 in fiscal year 2000 and 168.36 $40,000 in fiscal year 2001 is for a 168.37 grant to the tri-valley opportunity 168.38 council in Crookston to expand services 168.39 in the ten-county area of northwestern 168.40 Minnesota. 168.41 (c) This appropriation shall become 168.42 part of the base for the 2002-2003 168.43 biennium. 168.44 [HEALTH INSURANCE COUNSELING.] Of this 168.45 appropriation, $100,000 in fiscal year 168.46 2000 and $100,000 in fiscal year 2001 168.47 is from the general fund to the 168.48 commissioner to transfer to the board 168.49 on aging for the purpose of awarding 168.50 health insurance counseling and 168.51 assistance grants to the area agencies 168.52 on aging providing state-funded health 168.53 insurance counseling services. Access 168.54 to health insurance counseling programs 168.55 shall be provided by the senior linkage 168.56 line service of the board on aging and 168.57 the area agencies on aging. The board 168.58 on aging shall explore opportunities 168.59 for obtaining alternative funding from 168.60 nonstate sources, including 168.61 contributions from individuals seeking 169.1 health insurance counseling services. 169.2 This is a one-time appropriation and 169.3 shall not become part of base level 169.4 funding for this activity for the 169.5 2002-2003 biennium. 169.6 (d) Deaf and Hard-of-Hearing 169.7 Services Grants 169.8 1,859,000 1,760,000 169.9 [SERVICES TO DEAF PERSONS WITH MENTAL 169.10 ILLNESS.] Of this appropriation, 169.11 $100,000 each year is to the 169.12 commissioner for a grant to a nonprofit 169.13 agency that currently serves deaf and 169.14 hard-of-hearing adults with mental 169.15 illness through residential programs 169.16 and supported housing outreach. The 169.17 grant must be used to operate a 169.18 community support program for persons 169.19 with mental illness that is 169.20 communicatively accessible for persons 169.21 who are deaf or hard-of-hearing. This 169.22 is a one-time appropriation and shall 169.23 not become part of base level funding 169.24 for this activity for the 2002-2003 169.25 biennium. 169.26 [DEAF-BLIND ORIENTATION AND MOBILITY 169.27 SERVICES.] Of this appropriation, 169.28 $120,000 for the biennium is to the 169.29 commissioner for a grant to DeafBlind 169.30 Services Minnesota to hire an 169.31 orientation and, mobility, and 169.32 deaf-blind specialist to work with 169.33 deaf-blind people and for related 169.34 costs. The specialist will provide 169.35 services to deaf-blind Minnesotans, and 169.36 training to teachers and rehabilitation 169.37 counselors, on a statewide basis. This 169.38 is a one-timeappropriation andshall 169.39 notbecome part of base level funding 169.40 for this activity for the 2002-2003 169.41 biennium. Notwithstanding section 13, 169.42 this paragraph expires on June 30, 2003. 169.43 (e) Mental Health Grants 169.44 General 45,169,000 46,528,000 169.45 Lottery Prize 1,158,000 1,158,000 169.46 [CRISIS HOUSING.] Of the general fund 169.47 appropriation, $126,000 in fiscal year 169.48 2000 and $150,000 in fiscal year 2001 169.49 is to the commissioner for the adult 169.50 mental illness crisis housing 169.51 assistance program under Minnesota 169.52 Statutes, section 245.99. This 169.53 appropriation shall become part of the 169.54 base for the 2002-2003 biennium. 169.55 [ADOLESCENT COMPULSIVE GAMBLING GRANT.] 169.56 $150,000 in fiscal year 2000 and 169.57 $150,000 in fiscal year 2001 is 169.58 appropriated from the lottery prize 169.59 fund created under Minnesota Statutes, 169.60 section 349A.10, subdivision 2, to the 169.61 commissioner for the purposes of a 169.62 grant to a compulsive gambling council 170.1 located in St. Louis county for a 170.2 statewide compulsive gambling 170.3 prevention and education project for 170.4 adolescents. 170.5 (f) Developmental Disabilities 170.6 Community Support Grants 170.7 9,323,000 10,958,000 170.8 [CRISIS INTERVENTION PROJECT.] Of this 170.9 appropriation, $40,000 in fiscal year 170.10 2000 is to the commissioner for the 170.11 action, support, and prevention project 170.12 of southeastern Minnesota. 170.13 [SILS FUNDING.] Of this appropriation, 170.14 $1,000,000 each year is for 170.15 semi-independent living services under 170.16 Minnesota Statutes, section 252.275. 170.17 This appropriation must be added to the 170.18 base level funding for this activity 170.19 for the 2002-2003 biennium. Unexpended 170.20 funds for fiscal year 2000 do not 170.21 cancel but are available to the 170.22 commissioner for this purpose in fiscal 170.23 year 2001. 170.24 [FAMILY SUPPORT GRANTS.] Of this 170.25 appropriation, $1,000,000 in fiscal 170.26 year 2000 and $2,500,000 in fiscal year 170.27 2001 is to increase the availability of 170.28 family support grants under Minnesota 170.29 Statutes, section 252.32. This 170.30 appropriation must be added to the base 170.31 level funding for this activity for the 170.32 2002-2003 biennium. Unexpended funds 170.33 for fiscal year 2000 do not cancel but 170.34 are available to the commissioner for 170.35 this purpose in fiscal year 2001. 170.36 (g) Medical Assistance Long-Term 170.37 Care Waivers and Home Care 170.38 349,052,000 414,240,000 170.39 [PROVIDER RATE INCREASES.] (a) The 170.40 commissioner shall increase 170.41 reimbursement rates by four percent the 170.42 first year of the biennium and by three170.43 5.9 percent the second year for the 170.44 providers listed in paragraph (b). The 170.45 increases shall be effective for 170.46 services rendered on or after July 1 of 170.47 each year. 170.48 (b) The rate increases described in 170.49 this section shall be provided to home 170.50 and community-based waivered services 170.51 for persons with mental retardation or 170.52 related conditions under Minnesota 170.53 Statutes, section 256B.501; home and 170.54 community-based waivered services for 170.55 the elderly under Minnesota Statutes, 170.56 section 256B.0915; waivered services 170.57 under community alternatives for 170.58 disabled individuals under Minnesota 170.59 Statutes, section 256B.49; community 170.60 alternative care waivered services 170.61 under Minnesota Statutes, section 170.62 256B.49; traumatic brain injury 171.1 waivered services under Minnesota 171.2 Statutes, section 256B.49; nursing 171.3 services and home health services under 171.4 Minnesota Statutes, section 256B.0625, 171.5 subdivision 6a; personal care services 171.6 and nursing supervision of personal 171.7 care services under Minnesota Statutes, 171.8 section 256B.0625, subdivision 19a; 171.9 private-duty nursing services under 171.10 Minnesota Statutes, section 256B.0625, 171.11 subdivision 7; day training and 171.12 habilitation services for adults with 171.13 mental retardation or related 171.14 conditions under Minnesota Statutes, 171.15 sections 252.40 to 252.46; alternative 171.16 care services under Minnesota Statutes, 171.17 section 256B.0913; adult residential 171.18 program grants under Minnesota Rules, 171.19 parts 9535.2000 to 9535.3000; adult and 171.20 family community support grants under 171.21 Minnesota Rules, parts 9535.1700 to 171.22 9535.1760; semi-independent living 171.23 services under Minnesota Statutes, 171.24 section 252.275, including SILS funding 171.25 under county social services grants 171.26 formerly funded under Minnesota 171.27 Statutes, chapter 256I; and community 171.28 support services for deaf and 171.29 hard-of-hearing adults with mental 171.30 illness who use or wish to use sign 171.31 language as their primary means of 171.32 communication. 171.33 (c) The commissioner shall increase 171.34 reimbursement rates by two percent for 171.35 the group residential housing 171.36 supplementary service rate under 171.37 Minnesota Statutes, section 256I.05, 171.38 subdivision 1a, for services rendered 171.39 on or after January 1, 2000. 171.40 (d) Providers that receive a rate 171.41 increase under this section shall use 171.42 at least 80 percent of the additional 171.43 revenue the first year to increase the 171.44 compensation paid to employees other 171.45 than the administrator and central 171.46 office staff. In the second year, 171.47 providers must use the additional 171.48 revenue as follows: 171.49 (1) at least 41 percent to increase the 171.50 compensation paid to employees other 171.51 than the administrator and central 171.52 office staff; 171.53 (2) at least 49 percent to increase the 171.54 per-hour pay rate of all employees 171.55 other than the administrator and 171.56 central office staff by an equal dollar 171.57 amount and to pay associated costs for 171.58 FICA, the Medicare tax, workers' 171.59 compensation premiums, and federal and 171.60 state unemployment insurance. For 171.61 public employees, the portion of this 171.62 increase reserved to increase the 171.63 per-hour pay rate for certain staff by 171.64 an equal dollar amount shall be 171.65 available and pay rates shall be 171.66 increased only to the extent that they 171.67 comply with laws governing public 172.1 employees collective bargaining. Money 172.2 received by a provider as a result of 172.3 the additional rate increase described 172.4 in this clause shall be used only for 172.5 wage increases implemented on or after 172.6 July 1, 2000, and shall not be used for 172.7 wage increases implemented prior to 172.8 that date; and 172.9 (3) up to ten percent for other 172.10 purposes. 172.11 (e) A copy of the provider's plan for 172.12 complying with paragraph (d) must be 172.13 made available to all employees. This 172.14 must be done by giving each employee a 172.15 copy or by posting it in an area of the 172.16 provider's operation to which all 172.17 employees have access. If an employee 172.18 does not receive the salary adjustment 172.19 described in the plan and is unable to 172.20 resolve the problem with the provider, 172.21 the employee may contact the employee's 172.22 union representative. If the employee 172.23 is not covered by a collective 172.24 bargaining agreement, the employee may 172.25 contact the commissioner at a phone 172.26 number provided by the commissioner and 172.27 included in the provider's plan. 172.28 (f) Section 13, sunset of uncodified 172.29 language, does not apply to this 172.30 provision. 172.31 [DEVELOPMENTAL DISABILITIES WAIVER 172.32 SLOTS.] Of this appropriation, 172.33 $1,746,000 in fiscal year 2000 and 172.34 $4,683,000 in fiscal year 2001 is to 172.35 increase the availability of home and 172.36 community-based waiver services for 172.37 persons with mental retardation or 172.38 related conditions. 172.39 (h) Medical Assistance Long-Term 172.40 Care Facilities 172.41 546,228,000 558,349,000 172.42 [MORATORIUM EXCEPTIONS.] Of this 172.43 appropriation, $250,000 in fiscal year 172.44 2000 and $250,000 in fiscal year 2001 172.45 is from the general fund to the 172.46 commissioner for the medical assistance 172.47 costs of moratorium exceptions approved 172.48 by the commissioner of health under 172.49 Minnesota Statutes, section 144A.073. 172.50 Unexpended money appropriated for 172.51 fiscal year 2000 shall not cancel but 172.52 shall be available for fiscal year 2001. 172.53 [NURSING FACILITY OPERATED BY THE RED 172.54 LAKE BAND OF CHIPPEWA INDIANS.] (1) The 172.55 medical assistance payment rates for 172.56 the 47-bed nursing facility operated by 172.57 the Red Lake Band of Chippewa Indians 172.58 must be calculated according to 172.59 allowable reimbursement costs under the 172.60 medical assistance program, as 172.61 specified in Minnesota Statutes, 172.62 section 246.50, and are subject to the 172.63 facility-specific Medicare upper limits. 173.1 (2) In addition, the commissioner shall 173.2 make available an operating payment 173.3 rate adjustment effective July 1, 1999, 173.4 and July 1, 2000, that is equal to the 173.5 adjustment provided under Minnesota 173.6 Statutes, section 256B.431, subdivision 173.7 28. The commissioner must use the 173.8 facility's final 1998 and 1999 Medicare 173.9 cost reports, respectively, to 173.10 calculate the adjustment. The 173.11 adjustment shall be available based on 173.12 a plan submitted and approved according 173.13 to Minnesota Statutes, section 173.14 256B.431, subdivision 28. Section 13, 173.15 sunset of uncodified language, does not 173.16 apply to this paragraph. 173.17 [COSTS RELATED TO FACILITY 173.18 CERTIFICATION.] Of this appropriation, 173.19 $168,000 is for the costs of providing 173.20 one-half the state share of medical 173.21 assistance reimbursement for 173.22 residential and day habilitation 173.23 services under article 3, section 39. 173.24 This amount is available the day 173.25 following final enactment. 173.26 (i) Alternative Care Grants 173.27 General 60,873,000 59,981,000 173.28 [ALTERNATIVE CARE TRANSFER.] Any money 173.29 allocated to the alternative care 173.30 program that is not spent for the 173.31 purposes indicated does not cancel but 173.32 shall be transferred to the medical 173.33 assistance account. 173.34 [PREADMISSION SCREENING AMOUNT.] The 173.35 preadmission screening payment to all 173.36 counties shall continue at the payment 173.37 amount in effect for fiscal year 1999. 173.38 [ALTERNATIVE CARE APPROPRIATION.] The 173.39 commissioner may expend the money 173.40 appropriated for the alternative care 173.41 program for that purpose in either year 173.42 of the biennium. 173.43 (j) Group Residential Housing 173.44 General 66,477,000 70,390,000 173.45 [GROUP RESIDENTIAL FACILITY FOR WOMEN 173.46 IN RAMSEY COUNTY.] (a) Notwithstanding 173.47 Minnesota Statutes 1998, section 173.48 256I.05, subdivision 1d, the new 23-bed 173.49 group residential facility for women in 173.50 Ramsey county, with approval by the 173.51 county agency, may negotiate a 173.52 supplementary service rate in addition 173.53 to the board and lodging rate for 173.54 facilities licensed and registered by 173.55 the Minnesota department of health 173.56 under Minnesota Statutes, section 173.57 15.17. The supplementary service rate 173.58 shall not exceed $564 per person per 173.59 month and the total rate may not exceed 173.60 $1,177 per person per month. 173.61 (b) Of the general fund appropriation, 174.1 $19,000 in fiscal year 2000 and $38,000 174.2 in fiscal year 2001 is to the 174.3 commissioner for the costs associated 174.4 with paragraph (a). This appropriation 174.5 shall become part of the base for the 174.6 2002-2003 biennium. 174.7 (k) Chemical Dependency 174.8 Entitlement Grants 174.9 General 36,751,000 38,847,000 174.10 (l) Chemical Dependency 174.11 Nonentitlement Grants 174.12 General 6,778,000 6,328,000 174.13 [CHEMICAL DEPENDENCY SERVICES.] Of this 174.14 appropriation, $450,000 in fiscal year 174.15 2000 is to the commissioner for 174.16 chemical dependency services to persons 174.17 who qualify under Minnesota Statutes, 174.18 section 254B.04, subdivision 1, 174.19 paragraph (b). 174.20 Sec. 30. Laws 1999, chapter 245, article 10, section 10, 174.21 is amended to read: 174.22 Sec. 10. [REPEALER.] 174.23 (a) Minnesota Statutes 1998, section 256.973, is 174.24 repealed effective June 30, 20012002. 174.25 (b) Laws 1997, chapter 225, article 6, section 8, is 174.26 repealed. 174.27 Sec. 31. [EMPLOYER-BASED HEALTH INSURANCE.] 174.28 Subdivision 1. [FEDERAL MATCHING FUNDS.] The commissioner 174.29 of human services shall determine requirements necessary to 174.30 obtain federal matching funds for payment of a direct subsidy 174.31 for the employee share of employer-based health care coverage 174.32 that is available to dependent children of employees with 174.33 household incomes that do not exceed 200 percent of the federal 174.34 poverty guidelines. 174.35 Subd. 2. [REPORT.] The commissioner shall report to the 174.36 legislature by January 15, 2001, on the parameters and status of 174.37 the federal requirements described in subdivision 1, after 174.38 consultation with the commissioners of health and commerce and 174.39 with representatives of large and small employers, including 174.40 rural business purchasing alliances. In the report, the 174.41 commissioner shall make recommendations on how best to provide 174.42 direct subsidies for employer-based health care coverage for 175.1 dependent children of employees with household incomes that do 175.2 not exceed 200 percent of the federal poverty guidelines. The 175.3 commissioner shall report the optimal way to meet the needs of 175.4 the dependent children in a manner that does not: (1) require 175.5 modifications to existing or future employer-based health care 175.6 coverage; or (2) create incentives for employers to utilize 175.7 publicly subsidized health care. 175.8 Sec. 32. [INFORMATION ON PRESCRIPTION DRUG PATIENT 175.9 ASSISTANCE AND COST SAVINGS PROGRAMS.] 175.10 The commissioner of human services must work with the board 175.11 of medical practice, organizations representing pharmaceutical 175.12 manufacturers, and organizations representing pharmacies, to 175.13 develop a strategy to provide information to all physicians and 175.14 pharmacists on prescription drug patient assistance programs and 175.15 cost savings opportunities offered by pharmaceutical 175.16 manufacturers. Any strategy developed must provide physicians 175.17 and pharmacists with regular updates on prescription drug 175.18 patient assistance programs and cost savings opportunities and 175.19 be implemented without cost to physicians, pharmacists, or the 175.20 state. 175.21 Sec. 33. [TASK FORCE EXTENDED; REPORT.] 175.22 The day training and habilitation task force established 175.23 under Laws 1999, chapter 152, shall be extended to June 15, 175.24 2001. The task force shall present a report recommending a new 175.25 payment rate schedule for day training and habilitation services 175.26 to the legislature by January 15, 2001. 175.27 EFFECTIVE DATE: This section is effective the day 175.28 following final enactment. 175.29 Sec. 34. [RESPITE CARE FOR FAMILY ADULT FOSTER CARE 175.30 PROVIDERS.] 175.31 The commissioner of human services, in consultation with 175.32 affected groups, including counties, family adult foster care 175.33 providers, guardians and family members, and advocacy agencies, 175.34 shall develop legislative proposals, including cost projections, 175.35 to provide 30 days of respite care per year for family adult 175.36 foster care providers. The proposals must include funding 176.1 options that rely upon federal and state funding. The 176.2 commissioner shall provide the legislative proposals and cost 176.3 projections to the chairs of the house health and human services 176.4 policy committee, the house health and human services finance 176.5 committee, the senate health and family security policy 176.6 committee, and the senate health and family security budget 176.7 division, by December 1, 2000. 176.8 Sec. 35. [MEDICAL EDUCATION DISTRIBUTION FORMULA STUDY.] 176.9 The commissioner of health shall convene a group of 176.10 stakeholders that includes representatives of teaching programs 176.11 and training sites throughout the state and members of the 176.12 medical education and research advisory committee for the 176.13 purpose of evaluating the appropriateness of the current 176.14 distribution formula and considering alternatives for allocating 176.15 the amount transferred in accordance with Minnesota Statutes, 176.16 section 256B.69, subdivision 5c. The commissioner shall report 176.17 the findings and recommendations of this group to the 176.18 legislature by January 15, 2001. 176.19 Sec. 36. [INSTRUCTION TO REVISOR.] 176.20 (a) The revisor of statutes shall change the phrase "senior 176.21 citizen drug program" wherever it appears in the next edition of 176.22 Minnesota Statutes and Minnesota Rules to "prescription drug 176.23 program." 176.24 (b) The revisor, in the next edition of Minnesota Statutes, 176.25 shall recodify section 256.9751 as section 256.9731, and make 176.26 any necessary changes in cross-references. 176.27 Sec. 37. [INCONSISTENT AMENDMENTS.] 176.28 The amendments to Minnesota Statutes, section 256B.501, 176.29 subdivision 13, in section 10 prevail over the amendments to 176.30 that section in 2000 H.F. No. 3557, if enacted. 176.31 ARTICLE 10 176.32 HUMAN SERVICES ASSISTANCE PROGRAM MODIFICATIONS 176.33 Section 1. Minnesota Statutes 1999 Supplement, section 176.34 119B.011, subdivision 15, is amended to read: 176.35 Subd. 15. [INCOME.] "Income" means earned or unearned 176.36 income received by all family members, including public 177.1 assistance cash benefits and at-home infant care subsidy 177.2 payments, unless specifically excluded and child support and 177.3 maintenance distributed to the family under section 256.741, 177.4 subdivision 15. The following are excluded from income: funds 177.5 used to pay for health insurance premiums for family members, 177.6 Supplemental Security Income, scholarships, work-study income, 177.7 and grants that cover costs or reimbursement for tuition, fees, 177.8 books, and educational supplies; student loans for tuition, 177.9 fees, books, supplies, and living expenses; state and federal 177.10 earned income tax credits; in-kind income such as food stamps, 177.11 energy assistance, foster care assistance, medical assistance, 177.12 child care assistance, and housing subsidies; earned income of 177.13 full or part-time students, who have not earned a high school 177.14 diploma or GED high school equivalency diploma including 177.15 earnings from summer employment; grant awards under the family 177.16 subsidy program; nonrecurring lump sum income only to the extent 177.17 that it is earmarked and used for the purpose for which it is 177.18 paid; and any income assigned to the public authority according 177.19 to section 256.74 or 256.741. 177.20 EFFECTIVE DATE: This section is effective January 1, 2001. 177.21 Sec. 2. Minnesota Statutes 1998, section 256.01, is 177.22 amended by adding a subdivision to read: 177.23 Subd. 18. [IMMIGRATION STATUS 177.24 VERIFICATIONS.] Notwithstanding any waiver of this requirement 177.25 by the secretary of the United States Department of Health and 177.26 Human Services, effective July 1, 2001, the commissioner shall 177.27 utilize the Systematic Alien Verification for Entitlements 177.28 (SAVE) program to conduct immigration status verifications: 177.29 (1) as required under United States Code, title 8, section 177.30 1642; 177.31 (2) for all applicants for food assistance benefits, 177.32 whether under the federal food stamp program, the MFIP or work 177.33 first program, or the Minnesota food assistance program; 177.34 (3) for all applicants for general assistance medical care, 177.35 except assistance for an emergency medical condition, for 177.36 immunization with respect to an immunizable disease, or for 178.1 testing and treatment of symptoms of a communicable disease; and 178.2 (4) for all applicants for general assistance, Minnesota 178.3 supplemental aid, MinnesotaCare, or group residential housing, 178.4 when the benefits provided by these programs would fall under 178.5 the definition of "federal public benefit" under United States 178.6 Code, title 8, section 1642, if federal funds were used to pay 178.7 for all or part of the benefits. 178.8 The commissioner shall report to the Immigration and 178.9 Naturalization Service all undocumented persons who have been 178.10 identified through application verification procedures or by the 178.11 self-admission of an applicant for assistance. Reports made 178.12 under this subdivision must comply with the requirements of 178.13 section 411A of the Social Security Act, as amended, and United 178.14 States Code, title 8, section 1644. 178.15 Sec. 3. Minnesota Statutes 1999 Supplement, section 178.16 256.019, is amended to read: 178.17 256.019 [RECOVERY OF MONEY; APPORTIONMENT.] 178.18 Subdivision 1. [RETENTION RATES.] When an assistance 178.19 recovery amount is recovered from any source for assistance178.20 givencollected and posted by a county agency under the 178.21 provisions governing public assistance programs including the178.22 aid to families with dependent children program formerly178.23 codified in sections 256.72 to 256.87, MFIP,general assistance 178.24 medical care, emergency assistance,general assistance, and 178.25 Minnesota supplemental aid, the county may keep one-half of the 178.26 recovery made by the county agency using any method other than 178.27 recoupment. For medical assistance, if the recovery is made by 178.28 a county agency using any method other than recoupment, the 178.29 county may keep one-half of the nonfederal share of the recovery. 178.30 This does not apply to recoveries from medical providers or 178.31 to recoveries begun by the department of human services' 178.32 surveillance and utilization review division, state hospital 178.33 collections unit, and the benefit recoveries division or, by the 178.34 attorney general's office, or child support collections. In the 178.35 food stamp program, the nonfederal share of recoveries in the 178.36 federal tax refundoffset program (FTROP)only will be divided 179.1 equally between the state agency and the involved county agency. 179.2 Subd. 2. [RETENTION RATES FOR AFDC AND MFIP.] (a) When an 179.3 assistance recovery amount is collected and posted by a county 179.4 agency under the provisions governing the aid to families with 179.5 dependent children program formerly codified in 1996 in sections 179.6 256.72 to 256.87 or MFIP under chapter 256J, the commissioner 179.7 shall reimburse the county agency from the proceeds of the 179.8 recovery using the applicable rate specified in paragraph (b) or 179.9 (c). 179.10 (b) For recoveries of overpayments made on or before 179.11 September 30, 1996, from the aid to families with dependent 179.12 children program including the emergency assistance program, the 179.13 commissioner shall reimburse the county agency at a rate of 179.14 one-quarter of the recovery made by any method other than 179.15 recoupment. 179.16 (c) For recoveries of overpayments made after September 30, 179.17 1996, from the aid to families with dependent children including 179.18 the emergency assistance program and programs funded in whole or 179.19 in part by the temporary assistance to needy families program 179.20 under section 256J.02, subdivision 2, and recoveries of 179.21 nonfederally funded food assistance under section 256J.11, the 179.22 commissioner shall reimburse the county agency at a rate of 179.23 one-quarter of the recovery made by any method other than 179.24 recoupment. 179.25 EFFECTIVE DATE: This section is effective January 1, 2001. 179.26 Sec. 4. Minnesota Statutes 1998, section 256.741, is 179.27 amended by adding a subdivision to read: 179.28 Subd. 15. [CHILD SUPPORT DISTRIBUTION.] The state shall 179.29 distribute current child support and maintenance received by the 179.30 state to an individual who assigns the right to that support 179.31 under subdivision 2, paragraph (a). 179.32 EFFECTIVE DATE: This section is effective January 1, 2001. 179.33 Sec. 5. Minnesota Statutes 1999 Supplement, section 179.34 256D.053, subdivision 1, is amended to read: 179.35 Subdivision 1. [PROGRAM ESTABLISHED.] The Minnesota food 179.36 assistance program is established to provide food assistance to 180.1 legal noncitizens residing in this state who are ineligible to 180.2 participate in the federal Food Stamp Program solely due to the 180.3 provisions of section 402 or 403 of Public Law Number 104-193, 180.4 as authorized by Title VII of the 1997 Emergency Supplemental 180.5 Appropriations Act, Public Law Number 105-18, and as amended by 180.6 Public Law Number 105-185. 180.7 Beginning July 1, 20002002, the Minnesota food assistance 180.8 program is limited to those noncitizens described in this 180.9 subdivision who are 50 years of age or older. 180.10 Sec. 6. Minnesota Statutes 1999 Supplement, section 180.11 256J.02, subdivision 2, is amended to read: 180.12 Subd. 2. [USE OF MONEY.] State money appropriated for 180.13 purposes of this section and TANF block grant money must be used 180.14 for: 180.15 (1) financial assistance to or on behalf of any minor child 180.16 who is a resident of this state under section 256J.12; 180.17 (2) employment and training services under this chapter or 180.18 chapter 256K; 180.19 (3) emergency financial assistance and services under 180.20 section 256J.48; 180.21 (4) diversionary assistance under section 256J.47; 180.22 (5) the health care and human services training and 180.23 retention program under chapter 116L, for costs associated with 180.24 families with children with incomes below 200 percent of the 180.25 federal poverty guidelines; 180.26 (6) the pathways program under section 116L.04, subdivision 180.27 1a; 180.28 (7) welfare-to-work extended employment services for MFIP 180.29 participants with severe impairment to employment as defined in 180.30 section 268A.15, subdivision 1a; 180.31 (8) the family homeless prevention and assistance program 180.32 under section 462A.204; 180.33 (9) the rent assistance for family stabilization 180.34 demonstration project under section 462A.205; and180.35 (10) welfare to work transportation authorized under Public 180.36 Law Number 105-178; 181.1 (11) reimbursements for the federal share of child support 181.2 collections passed through to the custodial parent; 181.3 (12) reimbursements for the working family credit under 181.4 section 290.0671; 181.5 (13) intensive ESL grants under 2000 H.F. No. 3800, article 181.6 1, if enacted; 181.7 (14) transitional housing programs under section 119A.43; 181.8 (15) programs and pilot projects under chapter 256K; and 181.9 (16) program administration under this chapter. 181.10 EFFECTIVE DATE: Clause (11) of this section is effective 181.11 January 1, 2001. 181.12 Sec. 7. Minnesota Statutes 1999 Supplement, section 181.13 256J.08, subdivision 86, is amended to read: 181.14 Subd. 86. [UNEARNED INCOME.] "Unearned income" means 181.15 income received by a person that does not meet the definition of 181.16 earned income. Unearned income includes income from a contract 181.17 for deed, interest, dividends, reemployment compensation, 181.18 disability insurance payments, veterans benefits, pension 181.19 payments, return on capital investment, insurance payments or 181.20 settlements, severance payments, child support and maintenance 181.21 payments, and payments for illness or disability whether the 181.22 premium payments are made in whole or in part by an employer or 181.23 participant. 181.24 EFFECTIVE DATE: This section is effective January 1, 2001. 181.25 Sec. 8. Minnesota Statutes 1999 Supplement, section 181.26 256J.21, subdivision 2, is amended to read: 181.27 Subd. 2. [INCOME EXCLUSIONS.] (a) The following must be 181.28 excluded in determining a family's available income: 181.29 (1) payments for basic care, difficulty of care, and 181.30 clothing allowances received for providing family foster care to 181.31 children or adults under Minnesota Rules, parts 9545.0010 to 181.32 9545.0260 and 9555.5050 to 9555.6265, and payments received and 181.33 used for care and maintenance of a third-party beneficiary who 181.34 is not a household member; 181.35 (2) reimbursements for employment training received through 181.36 the Job Training Partnership Act, United States Code, title 29, 182.1 chapter 19, sections 1501 to 1792b; 182.2 (3) reimbursement for out-of-pocket expenses incurred while 182.3 performing volunteer services, jury duty, employment, or 182.4 informal carpooling arrangements directly related to employment; 182.5 (4) all educational assistance, except the county agency 182.6 must count graduate student teaching assistantships, 182.7 fellowships, and other similar paid work as earned income and, 182.8 after allowing deductions for any unmet and necessary 182.9 educational expenses, shall count scholarships or grants awarded 182.10 to graduate students that do not require teaching or research as 182.11 unearned income; 182.12 (5) loans, regardless of purpose, from public or private 182.13 lending institutions, governmental lending institutions, or 182.14 governmental agencies; 182.15 (6) loans from private individuals, regardless of purpose, 182.16 provided an applicant or participant documents that the lender 182.17 expects repayment; 182.18 (7)(i) state income tax refunds; and 182.19 (ii) federal income tax refunds; 182.20 (8)(i) federal earned income credits; 182.21 (ii) Minnesota working family credits; 182.22 (iii) state homeowners and renters credits under chapter 182.23 290A; and 182.24 (iv) federal or state tax rebates; 182.25 (9) funds received for reimbursement, replacement, or 182.26 rebate of personal or real property when these payments are made 182.27 by public agencies, awarded by a court, solicited through public 182.28 appeal, or made as a grant by a federal agency, state or local 182.29 government, or disaster assistance organizations, subsequent to 182.30 a presidential declaration of disaster; 182.31 (10) the portion of an insurance settlement that is used to 182.32 pay medical, funeral, and burial expenses, or to repair or 182.33 replace insured property; 182.34 (11) reimbursements for medical expenses that cannot be 182.35 paid by medical assistance; 182.36 (12) payments by a vocational rehabilitation program 183.1 administered by the state under chapter 268A, except those 183.2 payments that are for current living expenses; 183.3 (13) in-kind income, including any payments directly made 183.4 by a third party to a provider of goods and services; 183.5 (14) assistance payments to correct underpayments, but only 183.6 for the month in which the payment is received; 183.7 (15) emergency assistance payments; 183.8 (16) funeral and cemetery payments as provided by section 183.9 256.935; 183.10 (17) nonrecurring cash gifts of $30 or less, not exceeding 183.11 $30 per participant in a calendar month; 183.12 (18) any form of energy assistance payment made through 183.13 Public Law Number 97-35, Low-Income Home Energy Assistance Act 183.14 of 1981, payments made directly to energy providers by other 183.15 public and private agencies, and any form of credit or rebate 183.16 payment issued by energy providers; 183.17 (19) Supplemental Security Income, including retroactive 183.18 payments; 183.19 (20) Minnesota supplemental aid, including retroactive 183.20 payments; 183.21 (21) proceeds from the sale of real or personal property; 183.22 (22) adoption assistance payments under section 259.67; 183.23 (23) state-funded family subsidy program payments made 183.24 under section 252.32 to help families care for children with 183.25 mental retardation or related conditions, consumer support grant 183.26 funds under section 256.476, and resources and services for a 183.27 disabled household member under one of the home and 183.28 community-based waiver services programs under chapter 256B; 183.29 (24) interest payments and dividends from property that is 183.30 not excluded from and that does not exceed the asset limit; 183.31 (25) rent rebates; 183.32 (26) income earned by a minor caregiver, minor child 183.33 through age 6, or a minor child who is at least a half-time 183.34 student in an approved elementary or secondary education 183.35 program; 183.36 (27) income earned by a caregiver under age 20 who is at 184.1 least a half-time student in an approved elementary or secondary 184.2 education program; 184.3 (28) MFIP child care payments under section 119B.05; 184.4 (29) all other payments made through MFIP to support a 184.5 caregiver's pursuit of greater self-support; 184.6 (30) income a participant receives related to shared living 184.7 expenses; 184.8 (31) reverse mortgages; 184.9 (32) benefits provided by the Child Nutrition Act of 1966, 184.10 United States Code, title 42, chapter 13A, sections 1771 to 184.11 1790; 184.12 (33) benefits provided by the women, infants, and children 184.13 (WIC) nutrition program, United States Code, title 42, chapter 184.14 13A, section 1786; 184.15 (34) benefits from the National School Lunch Act, United 184.16 States Code, title 42, chapter 13, sections 1751 to 1769e; 184.17 (35) relocation assistance for displaced persons under the 184.18 Uniform Relocation Assistance and Real Property Acquisition 184.19 Policies Act of 1970, United States Code, title 42, chapter 61, 184.20 subchapter II, section 4636, or the National Housing Act, United 184.21 States Code, title 12, chapter 13, sections 1701 to 1750jj; 184.22 (36) benefits from the Trade Act of 1974, United States 184.23 Code, title 19, chapter 12, part 2, sections 2271 to 2322; 184.24 (37) war reparations payments to Japanese Americans and 184.25 Aleuts under United States Code, title 50, sections 1989 to 184.26 1989d; 184.27 (38) payments to veterans or their dependents as a result 184.28 of legal settlements regarding Agent Orange or other chemical 184.29 exposure under Public Law Number 101-239, section 10405, 184.30 paragraph (a)(2)(E); 184.31 (39) income that is otherwise specifically excluded from 184.32 MFIP consideration in federal law, state law, or federal 184.33 regulation; 184.34 (40) security and utility deposit refunds; 184.35 (41) American Indian tribal land settlements excluded under 184.36 Public Law Numbers 98-123, 98-124, and 99-377 to the Mississippi 185.1 Band Chippewa Indians of White Earth, Leech Lake, and Mille Lacs 185.2 reservations and payments to members of the White Earth Band, 185.3 under United States Code, title 25, chapter 9, section 331, and 185.4 chapter 16, section 1407; 185.5 (42) all income of the minor parent's parents and 185.6 stepparents when determining the grant for the minor parent in 185.7 households that include a minor parent living with parents or 185.8 stepparents on MFIP with other children; and 185.9 (43) income of the minor parent's parents and stepparents 185.10 equal to 200 percent of the federal poverty guideline for a 185.11 family size not including the minor parent and the minor 185.12 parent's child in households that include a minor parent living 185.13 with parents or stepparents not on MFIP when determining the 185.14 grant for the minor parent. The remainder of income is deemed 185.15 as specified in section 256J.37, subdivision 1b; 185.16 (44) payments made to children eligible for relative 185.17 custody assistance under section 257.85; 185.18 (45) vendor payments for goods and services made on behalf 185.19 of a client unless the client has the option of receiving the 185.20 payment in cash; and 185.21 (46) the principal portion of a contract for deed payment. 185.22 Sec. 9. Minnesota Statutes 1998, section 256J.32, is 185.23 amended by adding a subdivision to read: 185.24 Subd. 7a. [REQUIREMENT TO REPORT TO IMMIGRATION AND 185.25 NATURALIZATION SERVICES.] Notwithstanding subdivision 7, 185.26 effective July 1, 2001, the commissioner shall report to the 185.27 Immigration and Naturalization Services all undocumented persons 185.28 who have been identified through application verification 185.29 procedures or by the self-admission of an applicant for 185.30 assistance. Reports made under this subdivision must comply 185.31 with the requirements of section 411A of the Social Security 185.32 Act, as amended, and United States Code, title 8, section 1644. 185.33 Sec. 10. Minnesota Statutes 1999 Supplement, section 185.34 256J.33, subdivision 4, is amended to read: 185.35 Subd. 4. [MONTHLY INCOME TEST.] A county agency must apply 185.36 the monthly income test retrospectively for each month of MFIP 186.1 eligibility. An assistance unit is not eligible when the 186.2 countable income equals or exceeds the MFIP standard of need or 186.3 the family wage level for the assistance unit. The income 186.4 applied against the monthly income test must include: 186.5 (1) gross earned income from employment, prior to mandatory 186.6 payroll deductions, voluntary payroll deductions, wage 186.7 authorizations, and after the disregards in section 256J.21, 186.8 subdivision 4, and the allocations in section 256J.36, unless 186.9 the employment income is specifically excluded under section 186.10 256J.21, subdivision 2; 186.11 (2) gross earned income from self-employment less 186.12 deductions for self-employment expenses in section 256J.37, 186.13 subdivision 5, but prior to any reductions for personal or 186.14 business state and federal income taxes, personal FICA, personal 186.15 health and life insurance, and after the disregards in section 186.16 256J.21, subdivision 4, and the allocations in section 256J.36; 186.17 (3) unearned income after deductions for allowable expenses 186.18 in section 256J.37, subdivision 9, and allocations in section 186.19 256J.36, unless the income has been specifically excluded in 186.20 section 256J.21, subdivision 2; 186.21 (4) gross earned income from employment as determined under 186.22 clause (1) which is received by a member of an assistance unit 186.23 who is a minor child or minor caregiver and less than a 186.24 half-time student; 186.25 (5) child support and spousal support received or186.26 anticipated to be receivedby an assistance unit; 186.27 (6) the income of a parent when that parent is not included 186.28 in the assistance unit; 186.29 (7) the income of an eligible relative and spouse who seek 186.30 to be included in the assistance unit; and 186.31 (8) the unearned income of a minor child included in the 186.32 assistance unit. 186.33 EFFECTIVE DATE: This section is effective January 1, 2001. 186.34 Sec. 11. Minnesota Statutes 1999 Supplement, section 186.35 256J.34, subdivision 1, is amended to read: 186.36 Subdivision 1. [PROSPECTIVE BUDGETING.] A county agency 187.1 must use prospective budgeting to calculate the assistance 187.2 payment amount for the first two months for an applicant who has 187.3 not received assistance in this state for at least one payment 187.4 month preceding the first month of payment under a current 187.5 application. Notwithstanding subdivision 3, paragraph (a), 187.6 clause (2), a county agency must use prospective budgeting for 187.7 the first two months for a person who applies to be added to an 187.8 assistance unit. Prospective budgeting is not subject to 187.9 overpayments or underpayments unless fraud is determined under 187.10 section 256.98. 187.11 (a) The county agency must apply the income received or 187.12 anticipated in the first month of MFIP eligibility against the 187.13 need of the first month. The county agency must apply the 187.14 income received or anticipated in the second month against the 187.15 need of the second month. 187.16 (b) When the assistance payment for any part of the first 187.17 two months is based on anticipated income, the county agency 187.18 must base the initial assistance payment amount on the 187.19 information available at the time the initial assistance payment 187.20 is made. 187.21 (c) The county agency must determine the assistance payment 187.22 amount for the first two months of MFIP eligibility by budgeting 187.23 both recurring and nonrecurring income for those two months. 187.24 (d) The county agency must budget the child support income187.25 received or anticipated to be received by an assistance unit to187.26 determine the assistance payment amount from the month of187.27 application through the date in which MFIP eligibility is187.28 determined and assistance is authorized. Child support income187.29 which has been budgeted to determine the assistance payment in187.30 the initial two months is considered nonrecurring income. An187.31 assistance unit must forward any payment of child support to the187.32 child support enforcement unit of the county agency following187.33 the date in which assistance is authorized.187.34 EFFECTIVE DATE: This section is effective January 1, 2001. 187.35 Sec. 12. Minnesota Statutes 1999 Supplement, section 187.36 256J.34, subdivision 4, is amended to read: 188.1 Subd. 4. [SIGNIFICANT CHANGE IN GROSS INCOME.] The county 188.2 agency must recalculate the assistance payment when an 188.3 assistance unit experiences a significant change, as defined in 188.4 section 256J.08, resulting in a reduction in the gross income 188.5 received in the payment month from the gross income received in 188.6 the budget month. The county agency must issue a supplemental 188.7 assistance payment based on the county agency's best estimate of 188.8 the assistance unit's income and circumstances for the payment 188.9 month. Supplemental assistance payments that result from 188.10 significant changes are limited to two in a 12-month period 188.11 regardless of the reason for the change. Notwithstanding any 188.12 other statute or rule of law, supplementary assistance payments 188.13 shall not be made when the significant change in income is the 188.14 result of receipt of a lump sum, receipt of an extra paycheck, 188.15 business fluctuation in self-employment income, or an assistance 188.16 unit member's participation in a strike or other labor 188.17 action. Supplementary assistance payments due to a significant188.18 change in the amount of direct support received must not be made188.19 after the date the assistance unit is required to forward188.20 support to the child support enforcement unit under subdivision188.21 1, paragraph (d).188.22 EFFECTIVE DATE: This section is effective January 1, 2001. 188.23 Sec. 13. Minnesota Statutes 1999 Supplement, section 188.24 256J.37, subdivision 9, is amended to read: 188.25 Subd. 9. [UNEARNED INCOME.] (a)The county agency must 188.26 apply unearned income to the MFIP standard of need. When 188.27 determining the amount of unearned income, the county agency 188.28 must deduct the costs necessary to secure payments of unearned 188.29 income. These costs include legal fees, medical fees, and 188.30 mandatory deductions such as federal and state income taxes. 188.31 (b) Effective JanuaryJuly 1, 2001, the county agency shall 188.32 count $100 of the value of public and assisted rental subsidies 188.33 provided through the Department of Housing and Urban Development 188.34 (HUD) as unearned income. The full amount of the subsidy must 188.35 be counted as unearned income when the subsidy is less than $100. 188.36 (c) The provisions of paragraph (b) shall not apply to MFIP 189.1 participants who are exempt from the employment and training 189.2 services component because they are: 189.3 (i) individuals who are age 60 or older; 189.4 (ii) individuals who are suffering from a professionally 189.5 certified permanent or temporary illness, injury, or incapacity 189.6 which is expected to continue for more than 30 days and which 189.7 prevents the person from obtaining or retaining employment; or 189.8 (iii) caregivers whose presence in the home is required 189.9 because of the professionally certified illness or incapacity of 189.10 another member in the assistance unit, a relative in the 189.11 household, or a foster child in the household. 189.12 (d) The provisions of paragraph (b) shall not apply to an 189.13 MFIP assistance unit where the parental caregiver receives 189.14 supplemental security income. 189.15 Sec. 14. Minnesota Statutes 1998, section 256J.45, 189.16 subdivision 3, is amended to read: 189.17 Subd. 3. [GOOD CAUSE EXEMPTIONS FOR NOT ATTENDING 189.18 ORIENTATION.] (a) The county agency shall not impose the 189.19 sanction under section 256J.46 if it determines that the 189.20 participant has good cause for failing to attend orientation. 189.21 Good cause exists when: 189.22 (1) appropriate child care is not available; 189.23 (2) the participant is ill or injured; 189.24 (3) a family member is ill and needs care by the 189.25 participant that prevents the participant from attending 189.26 orientation. For a caregiver with a child or adult in the 189.27 household who meets the disability or medical criteria for home 189.28 care services under section 256B.0627, subdivision 1, paragraph 189.29 (c) or a home and community-based waiver services program under 189.30 chapter 256B, or meets the criteria for severe emotional 189.31 disturbance under section 245.4871, subdivision 6, or for 189.32 serious and persistent mental illness under section 245.462, 189.33 subdivision 20, paragraph (c), good cause also exists when an 189.34 interruption in the provision of those services occurs which 189.35 prevents the participant from attending orientation; 189.36 (4) the caregiver is unable to secure necessary 190.1 transportation; 190.2 (5) the caregiver is in an emergency situation that 190.3 prevents orientation attendance; 190.4 (6) the orientation conflicts with the caregiver's work, 190.5 training, or school schedule; or 190.6 (7) the caregiver documents other verifiable impediments to 190.7 orientation attendance beyond the caregiver's control. 190.8 (b) Counties must work with clients to provide child care 190.9 and transportation necessary to ensure a caregiver has every 190.10 opportunity to attend orientation. 190.11 Sec. 15. Minnesota Statutes 1998, section 256J.47, 190.12 subdivision 1, is amended to read: 190.13 Subdivision 1. [ELIGIBILITY.] A family is eligible to 190.14 receive diversionary assistance once every 3612 months if: 190.15 (1) a family member has resided in this state for at least 190.16 30 days; 190.17 (2) the caregiver provides verification that the caregiver 190.18 has either experienced an unexpected occurrence that makes it 190.19 impossible to retain or obtain employment or the caregiver has a 190.20 temporary loss of income, which is not due to refusing to accept 190.21 or terminating suitable employment as defined in section 190.22 256J.49, without good cause under section 256J.57, resulting in 190.23 an emergency; 190.24 (3) the caregiver is at risk of MFIP-S eligibility if 190.25 diversionary assistance is not provided and household income is 190.26 below 140200 percent of the federal poverty guidelines; and 190.27 (4) the diversionary assistance will resolve the emergency 190.28 and divert the family from applying for MFIP-S. 190.29 For purposes of this section, diversionary assistance means 190.30 a one-time lump-sum payment to an individual or third-party 190.31 vendor to prevent long-term receipt of public assistance. 190.32 Sec. 16. Minnesota Statutes 1998, section 256J.49, 190.33 subdivision 13, is amended to read: 190.34 Subd. 13. [WORK ACTIVITY.] "Work activity" means any 190.35 activity in a participant's approved employment plan that is 190.36 tied to the participant's employment goal. For purposes of the 191.1 MFIP-SMFIP program, any activity that is included in a 191.2 participant's approved employment plan meets the definition of 191.3 work activity as counted under the federal participation 191.4 standards. Work activity includes, but is not limited to: 191.5 (1) unsubsidized employment; 191.6 (2) subsidized private sector or public sector employment, 191.7 including grant diversion as specified in section 256J.69; 191.8 (3) work experience, including CWEP as specified in section 191.9 256J.67, and including work associated with the refurbishing of 191.10 publicly assisted housing if sufficient private sector 191.11 employment is not available; 191.12 (4) on-the-job training as specified in section 256J.66; 191.13 (5) job search, either supervised or unsupervised; 191.14 (6) job readiness assistance; 191.15 (7) job clubs, including job search workshops; 191.16 (8) job placement; 191.17 (9) job development; 191.18 (10) job-related counseling; 191.19 (11) job coaching; 191.20 (12) job retention services; 191.21 (13) job-specific training or education; 191.22 (14) job skills training directly related to employment; 191.23 (15) the self-employment investment demonstration (SEID), 191.24 as specified in section 256J.65; 191.25 (16) preemployment activities, based on availability and 191.26 resources, such as volunteer work, literacy programs and related 191.27 activities, citizenship andclasses, English as a second 191.28 language (ESL) classes as limited by the provisions of section 191.29 256J.52, subdivisions 3, paragraph (d), and 5, paragraph (c), or 191.30 participation in dislocated worker services, chemical dependency 191.31 treatment, mental health services, peer group networks, 191.32 displaced homemaker programs, strength-based resiliency 191.33 training, parenting education, or other programs designed to 191.34 help families reach their employment goals and enhance their 191.35 ability to care for their children; 191.36 (17) community service programs; 192.1 (18) vocational educational training or educational 192.2 programs that can reasonably be expected to lead to employment, 192.3 as limited by the provisions of section 256J.53; 192.4 (19) apprenticeships; 192.5 (20) satisfactory attendance in general educational 192.6 development diploma classes or an adult diploma program; 192.7 (21) satisfactory attendance at secondary school, if the 192.8 participant has not received a high school diploma; 192.9 (22) adult basic education classes; 192.10 (23) internships; 192.11 (24) bilingual employment and training services; 192.12 (25) providing child care services to a participant who is 192.13 working in a community service program; and 192.14 (26) activities included in a safety plan that is developed 192.15 under section 256J.52, subdivision 6. 192.16 Sec. 17. Minnesota Statutes 1998, section 256J.50, 192.17 subdivision 5, is amended to read: 192.18 Subd. 5. [PARTICIPATION REQUIREMENTS FOR SINGLE-PARENT AND192.19 TWO-PARENTALL CASES.] (a) A county must establish a uniform192.20 schedule for requiring participation by single parents.192.21 Mandatory participation must be required within six months of192.22 eligibility for cash assistance.For two-parent cases, 192.23 participation is required concurrent with the receipt of MFIP-S192.24 MFIP cash assistance. 192.25 For single-parent cases, participation is required 192.26 concurrent with the receipt of MFIP cash assistance for all 192.27 counties except Blue Earth and Nicollet, effective July 1, 2000, 192.28 and is required for Blue Earth and Nicollet counties effective 192.29 January 1, 2001. For Blue Earth and Nicollet counties only, 192.30 from July 1, 2000 to December 31, 2000, mandatory participation 192.31 for single-parent cases must be required within six months of 192.32 eligibility for cash assistance. 192.33 (b) Beginning January 1, 1998, with the exception of 192.34 caregivers required to attend high school under the provisions 192.35 of section 256J.54, subdivision 5, MFIP caregivers, upon 192.36 completion of the secondary assessment, must develop an 193.1 employment plan and participate in work activities. 193.2 (c) Upon completion of the secondary assessment: 193.3 (1) In single-parent families with no children under six 193.4 years of age, the job counselor and the caregiver must develop 193.5 an employment plan that includes 20 to 35 hours per week of work 193.6 activities for the period January 1, 1998, to September 30, 193.7 1998; 25 to 35 hours of work activities per week in federal 193.8 fiscal year 1999; and 30 to 35 hours per week of work activities 193.9 in federal fiscal year 2000 and thereafter. 193.10 (2) In single-parent families with a child under six years 193.11 of age, the job counselor and the caregiver must develop an 193.12 employment plan that includes 20 to 35 hours per week of work 193.13 activities. 193.14 (3) In two-parent families, the job counselor and the 193.15 caregivers must develop employment plans which result in a 193.16 combined total of at least 55 hours per week of work activities. 193.17 Sec. 18. Minnesota Statutes 1998, section 256J.50, 193.18 subdivision 7, is amended to read: 193.19 Subd. 7. [LOCAL SERVICE UNIT PLAN.] (a) Each local or 193.20 county service unit shall prepare and submit a plan as specified 193.21 in section 268.88. 193.22 (b) The plan must include a description of how projects 193.23 funded under the local intervention grants for self-sufficiency 193.24 in section 256J.625, subdivisions 2 and 3, operate in the local 193.25 service unit, including: 193.26 (1) the target populations of hard-to-employ participants 193.27 and working participants in need of job retention and wage 193.28 advancement services, with a description of how individual 193.29 participant needs will be met; 193.30 (2) services that will be provided which may include paid 193.31 work experience, enhanced mental health services, outreach to 193.32 sanctioned families, child care for social services, child care 193.33 transition year set-aside, homeless and housing advocacy, and 193.34 transportation; 193.35 (3) projected expenditures by activity; 193.36 (4) anticipated program outcomes including the anticipated 194.1 impact the intervention efforts will have on performance 194.2 measures under section 256J.751 and on reducing the number of 194.3 MFIP participants expected to reach their 60-month time limit; 194.4 and 194.5 (5) a description of services that are provided or will be 194.6 provided to MFIP participants affected by chemical dependency, 194.7 mental health issues, learning disabilities, or family violence. 194.8 Each plan must demonstrate how the county or tribe is 194.9 working within its organization and with other organizations in 194.10 the community to serve hard-to-employ populations, including how 194.11 organizations in the community were engaged in planning for use 194.12 of these funds, services other entities will provide under the 194.13 plan, and whether multicounty or regional strategies are being 194.14 implemented as part of this plan. 194.15 (c) Activities and expenditures in the plan must enhance or 194.16 supplement MFIP activities without supplanting existing 194.17 activities and expenditures. However, this paragraph does not 194.18 require a county to maintain either: 194.19 (1) its current provision of child care assistance to MFIP 194.20 families through the expenditure of county resources under 194.21 chapter 256E for social services child care assistance if funds 194.22 are appropriated by another law for an MFIP social services 194.23 child care pool; 194.24 (2) its current provision of transition-year child care 194.25 assistance through the expenditure of county resources if funds 194.26 are appropriated by another law for this purpose; or 194.27 (3) its current provision of intensive ESL programs through 194.28 the expenditure of county resources if funds are appropriated by 194.29 another law for intensive ESL grants. 194.30 (d) The plan required under this subdivision must be 194.31 approved before the local or county service unit is eligible to 194.32 receive funds under section 256J.625, subdivisions 2 and 3. 194.33 Sec. 19. Minnesota Statutes 1999 Supplement, section 194.34 256J.52, subdivision 3, is amended to read: 194.35 Subd. 3. [JOB SEARCH; JOB SEARCH SUPPORT PLAN.] (a) If, 194.36 after the initial assessment, the job counselor determines that 195.1 the participant possesses sufficient skills that the participant 195.2 is likely to succeed in obtaining suitable employment, the 195.3 participant must conduct job search for a period of up to eight 195.4 weeks, for at least 30 hours per week. The participant must 195.5 accept any offer of suitable employment. Upon agreement by the 195.6 job counselor and the participant, a job search support plan may 195.7 limit a job search to jobs that are consistent with the 195.8 participant's employment goal. The job counselor and 195.9 participant must develop a job search support plan which 195.10 specifies, at a minimum: whether the job search is to be 195.11 supervised or unsupervised; support services that will be 195.12 provided while the participant conducts job search activities; 195.13 the courses necessary to obtain certification or licensure, if 195.14 applicable, and after obtaining the license or certificate, the 195.15 client must comply with subdivision 5; and how frequently the 195.16 participant must report to the job counselor on the status of 195.17 the participant's job search activities. The job search support 195.18 plan maymust also specify that the participant fulfill a195.19 specified portionno more than half of the required hours of job 195.20 search through attending adult basic education or English as a 195.21 second language classes, if one or both of those activities are 195.22 approved by the job counselor. 195.23 (b) During the eight-week job search period, either the job 195.24 counselor or the participant may request a review of the 195.25 participant's job search plan and progress towards obtaining 195.26 suitable employment. If a review is requested by the 195.27 participant, the job counselor must concur that the review is 195.28 appropriate for the participant at that time. If a review is 195.29 conducted, the job counselor may make a determination to conduct 195.30 a secondary assessment prior to the conclusion of the job search. 195.31 (c) Failure to conduct the required job search, to accept 195.32 any offer of suitable employment, to develop or comply with a 195.33 job search support plan, or voluntarily quitting suitable 195.34 employment without good cause results in the imposition of a 195.35 sanction under section 256J.46. If at the end of eight weeks 195.36 the participant has not obtained suitable employment, the job 196.1 counselor must conduct a secondary assessment of the participant 196.2 under subdivision 3. 196.3 (d) In order for an English as a second language (ESL) 196.4 class to be an approved work activity, a participant must be at 196.5 or below a spoken language proficiency level of SPL5 or its 196.6 equivalent, as measured by a nationally recognized test. A 196.7 participant may not be approved for more than a total of 24 196.8 months of ESL activities while participating in the employment 196.9 and training services component of MFIP. In approving ESL as a 196.10 work activity, the job counselor must give preference to 196.11 enrollment in an intensive ESL program, if one is available, 196.12 over a regular ESL program. If an intensive ESL program is 196.13 approved, the restriction in paragraph (a) that no more than 196.14 half of the required hours of job search is fulfilled through 196.15 attending ESL classes does not apply. 196.16 Sec. 20. Minnesota Statutes 1999 Supplement, section 196.17 256J.52, subdivision 5, is amended to read: 196.18 Subd. 5. [EMPLOYMENT PLAN; CONTENTS.] (a) Based on the 196.19 secondary assessment under subdivision 4, the job counselor and 196.20 the participant must develop an employment plan for the 196.21 participant that includes specific activities that are tied to 196.22 an employment goal and a plan for long-term self-sufficiency, 196.23 and that is designed to move the participant along the most 196.24 direct path to unsubsidized employment. The employment plan 196.25 must list the specific steps that will be taken to obtain 196.26 employment and a timetable for completion of each of the steps. 196.27 Upon agreement by the job counselor and the participant, the 196.28 employment plan may limit a job search to jobs that are 196.29 consistent with the participant's employment goal. 196.30 (b) As part of the development of the participant's 196.31 employment plan, the participant shall have the option of 196.32 selecting from among the vendors or resources that the job 196.33 counselor determines will be effective in supplying one or more 196.34 of the services necessary to meet the employment goals specified 196.35 in the participant's plan. In compiling the list of vendors and 196.36 resources that the job counselor determines would be effective 197.1 in meeting the participant's employment goals, the job counselor 197.2 must determine that adequate financial resources are available 197.3 for the vendors or resources ultimately selected by the 197.4 participant. 197.5 (c) In order for an English as a second language (ESL) 197.6 class to be an approved work activity, a participant must be at 197.7 or below a spoken language proficiency level of SPL5 or its 197.8 equivalent, as measured by a nationally recognized test. A 197.9 participant may not be approved for more than a total of 24 197.10 months of ESL activities while participating in the employment 197.11 and training services component of MFIP. In approving ESL as a 197.12 work activity, the job counselor must give preference to 197.13 enrollment in an intensive ESL program, if one is available, 197.14 over a regular ESL program. 197.15 (d) The job counselor and the participant must sign the 197.16 developed plan to indicate agreement between the job counselor 197.17 and the participant on the contents of the plan. 197.18 Sec. 21. Minnesota Statutes 1999 Supplement, section 197.19 256J.56, is amended to read: 197.20 256J.56 [EMPLOYMENT AND TRAINING SERVICES COMPONENT; 197.21 EXEMPTIONS.] 197.22 (a) An MFIP caregiver is exempt from the requirements of 197.23 sections 256J.52 to 256J.55 if the caregiver belongs to any of 197.24 the following groups: 197.25 (1) individuals who are age 60 or older; 197.26 (2) individuals who are suffering from a professionally 197.27 certified permanent or temporary illness, injury, or incapacity 197.28 which is expected to continue for more than 30 days and which 197.29 prevents the person from obtaining or retaining employment. 197.30 Persons in this category with a temporary illness, injury, or 197.31 incapacity must be reevaluated at least quarterly; 197.32 (3) caregivers whose presence in the home is required 197.33 because of the professionally certified illness or incapacity of 197.34 another member in the assistance unit, a relative in the 197.35 household, or a foster child in the household; 197.36 (4) women who are pregnant, if the pregnancy has resulted 198.1 in a professionally certified incapacity that prevents the woman 198.2 from obtaining or retaining employment; 198.3 (5) caregivers of a child under the age of one year who 198.4 personally provide full-time care for the child. This exemption 198.5 may be used for only 12 months in a lifetime. In two-parent 198.6 households, only one parent or other relative may qualify for 198.7 this exemption; 198.8 (6) individuals who are single parents, or one parent in a 198.9 two-parent family, employed at least 35 hours per week; 198.10 (7) individuals experiencing a personal or family crisis 198.11 that makes them incapable of participating in the program, as 198.12 determined by the county agency. If the participant does not 198.13 agree with the county agency's determination, the participant 198.14 may seek professional certification, as defined in section 198.15 256J.08, that the participant is incapable of participating in 198.16 the program. 198.17 Persons in this exemption category must be reevaluated 198.18 every 60 days; or198.19 (8) second parents in two-parent families employed for 20 198.20 or more hours per week, provided the first parent is employed at 198.21 least 35 hours per week; or 198.22 (9) caregivers with a child or an adult in the household 198.23 who meets the disability or medical criteria for home care 198.24 services under section 256B.0627, subdivision 1, paragraph (c), 198.25 or a home and community-based waiver services program under 198.26 chapter 256B, or meets the criteria for severe emotional 198.27 disturbance under section 245.4871, subdivision 6, or for 198.28 serious and persistent mental illness under section 245.462, 198.29 subdivision 20, paragraph (c). Caregivers in this exemption 198.30 category are presumed to be prevented from obtaining or 198.31 retaining employment. 198.32 A caregiver who is exempt under clause (5) must enroll in 198.33 and attend an early childhood and family education class, a 198.34 parenting class, or some similar activity, if available, during 198.35 the period of time the caregiver is exempt under this section. 198.36 Notwithstanding section 256J.46, failure to attend the required 199.1 activity shall not result in the imposition of a sanction. 199.2 (b) The county agency must provide employment and training 199.3 services to MFIP caregivers who are exempt under this section, 199.4 but who volunteer to participate. Exempt volunteers may request 199.5 approval for any work activity under section 256J.49, 199.6 subdivision 13. The hourly participation requirements for 199.7 nonexempt caregivers under section 256J.50, subdivision 5, do 199.8 not apply to exempt caregivers who volunteer to participate. 199.9 Sec. 22. [256J.625] [LOCAL INTERVENTION GRANTS FOR 199.10 SELF-SUFFICIENCY.] 199.11 Subdivision 1. [ESTABLISHMENT; GUARANTEED MINIMUM 199.12 ALLOCATION.] (a) The commissioner shall make grants under this 199.13 subdivision to assist county and tribal TANF programs to more 199.14 effectively serve hard-to-employ MFIP participants. Funds 199.15 appropriated for local intervention grants for self-sufficiency 199.16 must be allocated first in amounts equal to the guaranteed 199.17 minimum in paragraph (b), and second according to the provisions 199.18 of subdivision 2. Any remaining funds must be allocated 199.19 according to the formula in subdivision 3. Counties or tribes 199.20 must have an approved local service unit plan under section 199.21 256J.50, subdivision 7, paragraph (b), in order to receive and 199.22 expend funds under subdivisions 2 and 3. 199.23 (b) Each county or tribal program shall receive a 199.24 guaranteed minimum annual allocation of $25,000. 199.25 Subd. 2. [SET-ASIDE FUNDS.] (a) Of the funds appropriated 199.26 for grants under this section, after the allocation in 199.27 subdivision 1, paragraph (b), is made, 20 percent of the 199.28 remaining funds each year shall be retained by the commissioner 199.29 and awarded to counties or tribes whose approved plans 199.30 demonstrate additional need based on their identification of 199.31 hard-to-employ families and working participants in need of job 199.32 retention and wage advancement services, strong anticipated 199.33 outcomes for families and an effective plan for monitoring 199.34 performance, or, use of a multicounty, multi-entity or regional 199.35 approach to serve hard-to-employ families and working 199.36 participants in need of job retention and wage advancement 200.1 services who are identified as a target population to be served 200.2 in the plan submitted under section 256J.50, subdivision 7, 200.3 paragraph (b). In distributing funds under this paragraph, the 200.4 commissioner must achieve a geographic balance. The 200.5 commissioner may award funds under this paragraph to other 200.6 public, private, or nonprofit entities to deliver services in a 200.7 county or region where the entity or entities submit a plan that 200.8 demonstrates a strong capability to fulfill the terms of the 200.9 plan and where the plan shows an innovative or multi-entity 200.10 approach. 200.11 (b) For fiscal year 2001 only, of the funds available under 200.12 this subdivision the commissioner must allocate funding in the 200.13 amounts specified in article 1, section 2, subdivision 7, for an 200.14 intensive intervention transitional employment training project 200.15 and for nontraditional career assistance and training programs. 200.16 These allocations must occur before any set-aside funds are 200.17 allocated under paragraph (a). 200.18 Subd. 2a. [ALTERNATIVE DISTRIBUTION FORMULA.] (a) By 200.19 January 31, 2001, the commissioner of human services must 200.20 develop and present to the appropriate legislative committees a 200.21 distribution formula that is an alternative to the formula 200.22 allocation specified in subdivision 3. The proposed 200.23 distribution formula must target hard-to-employ MFIP 200.24 participants, and it must include an incentive-based component 200.25 that is designed to encourage county and tribal programs to 200.26 effectively serve hard-to-employ participants. The 200.27 commissioner's proposal must also be designed to be implemented 200.28 for fiscal years 2002 and 2003 in place of the formula 200.29 allocation specified in subdivision 3. 200.30 (b) Notwithstanding the provisions of subdivision 2, 200.31 paragraph (a), if the commissioner does not develop a proposed 200.32 formula as required in paragraph (a), the set-aside funds for 200.33 fiscal years 2002 and 2003 that the commissioner would otherwise 200.34 distribute under subdivision 2, paragraph (a), must not be 200.35 distributed under that provision. Funds available under 200.36 subdivision 2, paragraph (a), must instead be allocated in equal 201.1 amounts to each county and tribal program in fiscal years 2002 201.2 and 2003. 201.3 Subd. 3. [FORMULA ALLOCATION.] Funds remaining after the 201.4 allocations in subdivisions 1 and 2 must be allocated as follows: 201.5 (1) 85 percent shall be allocated in proportion to each 201.6 county's and tribal TANF program's one-parent MFIP cases that 201.7 have received MFIP assistance for at least 25 months, as sampled 201.8 on December 31 of the previous calendar year, excluding cases 201.9 where all caregivers are age 60 or over. 201.10 (2) 15 percent shall be allocated to each county's and 201.11 tribal TANF program's two-parent MFIP cases that have received 201.12 MFIP assistance for at least 25 months, as sampled on December 201.13 31 of the previous calendar year, excluding cases where all 201.14 caregivers are age 60 or over. 201.15 Subd. 4. [USE OF FUNDS.] (a) A county or tribal program 201.16 may use funds allocated under this subdivision to provide 201.17 services to MFIP participants who are hard-to-employ and their 201.18 families. Services provided must be intended to reduce the 201.19 number of MFIP participants who are expected to reach the 201.20 60-month time limit under section 256J.42. Counties, tribes, 201.21 and other entities receiving funds under subdivisions 2 or 3 201.22 must submit semiannual progress reports to the commissioner 201.23 which detail program outcomes. 201.24 (b) Funds allocated under this section may not be used to 201.25 provide benefits that are defined as "assistance" in Code of 201.26 Federal Regulations, title 45, section 260.31, to an assistance 201.27 unit that is only receiving the food portion of MFIP benefits. 201.28 (c) A county may use funds allocated under this section for 201.29 that part of the match for federal access to jobs transportation 201.30 funds that is TANF-eligible. A county may also use funds 201.31 allocated under this section to enhance transportation choices 201.32 for eligible recipients up to 150 percent of the federal poverty 201.33 guidelines. 201.34 Subd. 5. [SUNSET.] The grant program under this section 201.35 sunsets on June 30, 2003. 201.36 Sec. 23. [256J.655] [NONTRADITIONAL CAREER ASSISTANCE AND 202.1 TRAINING.] 202.2 With the approval of the job counselor, a participant may 202.3 enroll and participate in a nontraditional career assistance and 202.4 training (NCAT) program under section 256K.30. An MFIP 202.5 recipient participating in an NCAT program with the approval of 202.6 the job counselor is also eligible for employment and training 202.7 services, including child care and transportation. 202.8 Sec. 24. [256J.88] [CHILD ONLY TANF PROGRAM.] 202.9 Children who receive assistance under this chapter, in 202.10 which the assistance unit does not include a caregiver, but only 202.11 includes a minor child, shall become part of the program 202.12 established under this section. 202.13 Sec. 25. [256K.25] [SUPPORTIVE HOUSING AND MANAGED CARE 202.14 PILOT PROJECT.] 202.15 Subdivision 1. [ESTABLISHMENT AND PURPOSE.] (a) The 202.16 commissioner shall establish a supportive housing and managed 202.17 care pilot project in two counties, one within the seven-county 202.18 metropolitan area and one outside of that area, to determine 202.19 whether the integrated delivery of employment services, 202.20 supportive services, housing, and health care into a single, 202.21 flexible program will: 202.22 (1) reduce public expenditures on homeless families with 202.23 minor children, homeless noncustodial parents, and other 202.24 homeless individuals; 202.25 (2) increase the employment rates of these persons; and 202.26 (3) provide a new alternative to providing services to this 202.27 hard-to-serve population. 202.28 (b) The commissioner shall create a program for counties 202.29 for the purpose of providing integrated intensive and 202.30 individualized case management services, employment services, 202.31 health care services, rent subsidies or other short- or 202.32 medium-term housing assistance, and other supportive services to 202.33 eligible families and individuals. Minimum project and 202.34 application requirements shall be developed by the commissioner 202.35 in cooperation with counties and their nonprofit partners with 202.36 the goal to provide the maximum flexibility in program design. 203.1 (c) Services available under this project must be 203.2 coordinated with available health care services for an eligible 203.3 project participant. 203.4 Subd. 2. [DEFINITION.] For purposes of this section, 203.5 "homeless" means having no appropriate housing available and 203.6 lacking the resources necessary to access permanent housing, as 203.7 determined by the county requesting funding under subdivision 3, 203.8 and: 203.9 (1) living, or being at imminent risk of living, on the 203.10 street or in a shelter; or 203.11 (2) having been evicted from a dwelling or discharged from 203.12 a regional treatment center, state-operated community-based 203.13 program, community hospital, or residential treatment program. 203.14 Subd. 3. [COUNTY ELIGIBILITY.] A county may request 203.15 funding under this pilot project if the county: 203.16 (1) agrees to develop, in cooperation with nonprofit 203.17 partners, a supportive housing and managed care pilot project 203.18 that integrates the delivery of employment services, supportive 203.19 services, housing and health care for eligible families and 203.20 individuals, or agrees to contract with an existing integrated 203.21 program; 203.22 (2) for eligible participants who are also MFIP recipients, 203.23 agrees to develop, in cooperation with nonprofit partners, 203.24 procedures to ensure that the services provided under the pilot 203.25 project are closely coordinated with the services provided under 203.26 MFIP; and 203.27 (3) develops a method for evaluating the quality of the 203.28 integrated services provided and the amount of any resulting 203.29 cost savings to the county and state. 203.30 Subd. 4. [PARTICIPANT ELIGIBILITY.] (a) In order to be 203.31 eligible for the pilot project, the county must determine that a 203.32 participant is homeless or is at risk of homelessness; has a 203.33 mental illness, a history of substance abuse, or HIV; and is a 203.34 family that meets the criteria in paragraph (b) or is an 203.35 individual who meets the criteria in paragraph (c). 203.36 (b) An eligible family must include a minor child or a 204.1 pregnant woman, and: 204.2 (1) be receiving or be eligible for MFIP assistance under 204.3 chapter 256J; or 204.4 (2) include an adult caregiver who is employed or is 204.5 receiving employment and training services, and have household 204.6 income below the MFIP exit level in section 256J.24, subdivision 204.7 10. 204.8 (c) An eligible individual must: 204.9 (1) meet the eligibility requirements of the group 204.10 residential housing program under section 256I.04, subdivision 204.11 1; or 204.12 (2) be a noncustodial parent who is employed or is 204.13 receiving employment and training services, and have household 204.14 income below the MFIP exit level in section 256J.24, subdivision 204.15 10. 204.16 Subd. 5. [FUNDING.] A county may request funding from the 204.17 commissioner for a specified number of TANF-eligible project 204.18 participants. The commissioner shall review the request for 204.19 compliance with subdivisions 1 to 4 and may approve or 204.20 disapprove the request. If other funds are available, the 204.21 commissioner may allocate funding for project participants who 204.22 meet the eligibility requirements of subdivision 4, paragraph 204.23 (c). 204.24 Subd. 6. [REPORT.] Participating counties and the 204.25 commissioner shall collaborate to prepare and issue an annual 204.26 report, beginning December 1, 2001, to the chairs of the 204.27 appropriate legislative committees on the pilot project's use of 204.28 public resources, including other funds leveraged for this 204.29 initiative, the employment and housing status of the families 204.30 and individuals served in the project, and the 204.31 cost-effectiveness of the project. The annual report must also 204.32 evaluate the pilot project with respect to the following project 204.33 goals: that participants will lead more productive, healthier, 204.34 more stable and better quality lives; that the teams created 204.35 under the project to deliver services for each project 204.36 participant will be accountable for ensuring that services are 205.1 more appropriate, cost-effective and well-coordinated; and that 205.2 the system-wide costs of serving this population, and the 205.3 inappropriate use of emergency, crisis-oriented or institutional 205.4 services, will be materially reduced. The commissioner shall 205.5 provide data that may be needed to evaluate the project to 205.6 participating counties that request the data. 205.7 Subd. 7. [SUNSET.] The pilot project under this section 205.8 sunsets on June 30, 2006. 205.9 Sec. 26. [256K.30] [GRANTS FOR NONTRADITIONAL CAREER 205.10 ASSISTANCE AND TRAINING PROGRAMS.] 205.11 Subdivision 1. [ESTABLISHMENT AND PURPOSE.] The 205.12 commissioner shall establish a program of reimbursement-based 205.13 grants to nonprofit organizations to provide nontraditional 205.14 career assistance and training (NCAT) programs that encourage 205.15 and assist low-income women with minor children to enter 205.16 nontraditional careers in the trades and in manual and technical 205.17 operations. 205.18 Subd. 2. [REQUIREMENTS FOR GRANTEES.] To be eligible for a 205.19 grant under this section, an NCAT program must include the 205.20 career assistance component specified in subdivision 4. 205.21 Subd. 3. [OUTREACH COMPONENT.] An NCAT program may include 205.22 an outreach component that provides outreach to girls and women 205.23 through public and private elementary and secondary schools, 205.24 appropriate community organizations, or existing state and 205.25 county employment and training programs. The outreach must 205.26 consist of: general information concerning opportunities for 205.27 women in the trades, manual, and technical occupations, 205.28 including specific fields where worker shortages exist; and 205.29 specific information about training programs offered. The 205.30 outreach may include printed or recorded information, hands-on 205.31 experiences for women and girls, presentations to women and 205.32 girls, or ongoing contact with appropriate staff. 205.33 Federal TANF funds may not be used for the outreach 205.34 component of an NCAT program. 205.35 Subd. 4. [CAREER ASSISTANCE COMPONENT.] An NCAT program 205.36 may include a career assistance component that provides the 206.1 following assistance for low-income women to enter careers in 206.2 the trades and technical occupations: 206.3 (1) training designed to prepare women to succeed in 206.4 nontraditional occupations, conducted by an NCAT grantee or in 206.5 collaboration with another institution. The training must cover 206.6 the knowledge and skills required for the trade, information 206.7 about on-the-job realities for women in the particular trade, 206.8 physical strength and stamina training as needed, opportunities 206.9 for developing workplace problem-solving skills, and information 206.10 about the current and projected future job market and likely 206.11 career path for the trade; 206.12 (2) assistance with child care and transportation during 206.13 training, during job search, and for at least the first two 206.14 months of posttraining employment; 206.15 (3) job placement assistance during training, during job 206.16 search, and for at least two years after completion of the 206.17 training program; and 206.18 (4) job retention support may be in the form of mentorship 206.19 programs, support groups, or ongoing staff contact for at least 206.20 the first year of posttraining employment, including access to 206.21 job-related information, assistance with workplace issue 206.22 resolution, and access to advocacy services. 206.23 Subd. 5. [NCAT; ELIGIBLE PARTICIPANTS.] To be eligible to 206.24 enroll in an NCAT program under this section, a participant must 206.25 be a female caregiver receiving assistance under chapter 256J or 206.26 this chapter. 206.27 Subd. 6. [ACCESSIBILITY REQUIRED.] Approved NCAT programs 206.28 must be accessible to women who are MFIP participants. Factors 206.29 that contribute to a program's accessibility include: 206.30 (1) affordability of tuition and supplies; 206.31 (2) geographic proximity to low-income neighborhoods, child 206.32 care, and public transportation routes; and 206.33 (3) flexibility of the hours per week required by the 206.34 program and the duration of the program, in order to be 206.35 compatible with the program participants' family needs and the 206.36 need for participants to be employed during training. 207.1 Sec. 27. [256K.35] [AT-RISK YOUTH OUT-OF-WEDLOCK PREGNANCY 207.2 PREVENTION PROGRAM.] 207.3 Subdivision 1. [ESTABLISHMENT AND PURPOSE.] The 207.4 commissioner shall establish a statewide grant program to 207.5 prevent or reduce the incidence of out-of-wedlock pregnancies 207.6 among homeless, runaway, or thrown-away youth who are at risk of 207.7 being prostituted or currently being used in prostitution. The 207.8 goal of the out-of-wedlock pregnancy prevention program is to 207.9 significantly increase the number of existing short-term shelter 207.10 beds for these youth in the state. By providing street outreach 207.11 and supportive services for emergency shelter, transitional 207.12 housing, and services to reconnect the youth with their families 207.13 where appropriate, the number of youth at risk of being sexually 207.14 exploited or actually being sexually exploited, and thus at risk 207.15 of experiencing an out-of-wedlock pregnancy, will be reduced. 207.16 Subd. 2. [FUNDS AVAILABLE.] The commissioner shall make 207.17 funds for street outreach and supportive services for emergency 207.18 shelter and transitional housing for out-of-wedlock pregnancy 207.19 prevention available to eligible nonprofit corporations or 207.20 government agencies to provide supportive services for emergency 207.21 and transitional housing for at-risk youth. The commissioner 207.22 shall consider the need for emergency and transitional housing 207.23 supportive services throughout the state, and must give priority 207.24 to applicants who offer 24-hour emergency facilities. 207.25 Subd. 3. [APPLICATION; ELIGIBILITY.] (a) A nonprofit 207.26 corporation or government agency must submit an application to 207.27 the commissioner in the form and manner the commissioner 207.28 establishes. The application must describe how the applicant 207.29 meets the eligibility criteria under paragraph (b). The 207.30 commissioner may also require an applicant to provide additional 207.31 information. 207.32 (b) To be eligible for funding under this section, an 207.33 applicant must meet the following criteria: 207.34 (1) the applicant must have a commitment to helping the 207.35 community, children, and preventing juvenile prostitution. If 207.36 the applicant does not have any past experience with youth 208.1 involved in or at risk of being used in prostitution, the 208.2 applicant must demonstrate knowledge of best practices in this 208.3 area and develop a plan to follow those practices; 208.4 (2) the applicant must present a plan to communicate with 208.5 local law enforcement officials, social services, and the 208.6 commissioner consistent with state and federal law; and 208.7 (3) the applicant must present a plan to encourage 208.8 homeless, runaway, or thrown-away youth to either reconnect with 208.9 family or to transition into long-term housing. 208.10 Subd. 4. [USES OF FUNDS.] (a) Funds available under this 208.11 section must be used to create and maintain supportive services 208.12 for emergency shelter and transitional housing for homeless, 208.13 runaway, and thrown-away youth. Federal TANF funds must be used 208.14 to serve youth and their families with household income below 208.15 200 percent of the federal poverty guidelines. If other funds 208.16 are available, services may be provided to youth outside of 208.17 TANF-eligible families. 208.18 (b) Funds available under this section shall not be used to 208.19 conduct general education or awareness programs unrelated to the 208.20 operation of an emergency shelter or transitional housing. 208.21 Sec. 28. Laws 1997, chapter 203, article 9, section 21, as 208.22 amended by Laws 1998, chapter 407, article 6, section 111, is 208.23 amended to read: 208.24 Sec. 21. [INELIGIBILITY FOR STATE FUNDED PROGRAMS.] 208.25 (a) Beginning July 1, 2000Effective on the date specified, 208.26 the following persons will be ineligible for general assistance 208.27 and general assistance medical care under Minnesota Statutes, 208.28 chapter 256D, group residential housing under Minnesota 208.29 Statutes, chapter 256I, and MFIP-SMFIP assistance under 208.30 Minnesota Statutes, chapter 256J, funded with state money: 208.31 (1) Beginning July 1, 2002, persons who are terminated from 208.32 or denied Supplemental Security Income due to the 1996 changes 208.33 in the federal law making persons whose alcohol or drug 208.34 addiction is a material factor contributing to the person's 208.35 disability ineligible for Supplemental Security Income, and are 208.36 eligible for general assistance under Minnesota Statutes, 209.1 section 256D.05, subdivision 1, paragraph (a), clause (17)15, 209.2 general assistance medical care under Minnesota Statutes, 209.3 chapter 256D, or group residential housing under Minnesota 209.4 Statutes, chapter 256I; 209.5 (2) Beginning July 1, 2002, legal noncitizens who are 209.6 ineligible for Supplemental Security Income due to the 1996 209.7 changes in federal law making certain noncitizens ineligible for 209.8 these programs due to their noncitizen status; and 209.9 (3) Beginning July 1, 2001, legal noncitizens who are 209.10 eligible for MFIP-SMFIP assistance, either the cash assistance 209.11 portion or the food assistance portion, funded entirely with 209.12 state money. 209.13 (b) State money that remains unspent due to changes in 209.14 federal law enacted after May 12, 1997, that reduce state 209.15 spending for legal noncitizens or for persons whose alcohol or 209.16 drug addiction is a material factor contributing to the person's 209.17 disability, or enacted after February 1, 1998, that reduce state 209.18 spending for food benefits for legal noncitizens shall not 209.19 cancel and shall be deposited in the TANF reserve account. 209.20 Sec. 29. [PILOT PROJECTS FOR MFIP ELIGIBLE FAMILIES.] 209.21 The commissioner of human services shall authorize Dakota 209.22 county and four other counties to test alternative approaches to 209.23 improve compliance with MFIP work requirements or to encourage 209.24 rapid entrance into the workforce. The projects are intended to 209.25 improve employability and self-sufficiency outcomes for MFIP 209.26 eligible families. These county pilots may test different 209.27 approaches which include, but are not limited to, diversion of 209.28 MFIP eligible applicants and case suspension or closure for 209.29 participants unwilling to fulfill the conditions of the 209.30 employment or job search support plan. 209.31 For purposes of eligibility for child care assistance under 209.32 Minnesota Statutes, chapter 119B, all pilot program participants 209.33 shall be eligible for the same benefits as MFIP recipients. 209.34 The four counties, other than Dakota county, will be 209.35 selected as pilot sites through a request for proposals (RFP) 209.36 process. Dakota county's proposal shall meet the same criteria 210.1 required of those counties that respond to the RFP. County 210.2 proposals must define the nature and scope of the pilot and must 210.3 be cost neutral to the state. The commissioner must analyze 210.4 proposals for system impacts. The commissioner may authorize 210.5 counties to implement these pilots when the state agency 210.6 determines the county agency is prepared and any system changes 210.7 are complete. The commissioner will work with the counties in 210.8 developing policies and guidelines for operating the pilots. 210.9 The commissioner will provide technical assistance to county 210.10 agencies to evaluate the effectiveness of the pilots. The 210.11 commissioner and county agencies shall report the evaluation 210.12 findings to the chairs of the house health and human services 210.13 and senate health and family security policy and fiscal 210.14 committees by February 1, 2002. An interim status report must 210.15 be provided to the committee chairs by February 1, 2001. 210.16 Sec. 30. [REPORTS ON SAVE IMPLEMENTATION.] 210.17 On January 15, 2003, and January 15, 2004, the commissioner 210.18 shall report to the chairs of the house health and human 210.19 services policy committee and the senate health and family 210.20 security committee on the usage and costs of the SAVE program 210.21 over the previous year. These reports must include summary, 210.22 nonidentifying information on the number of inquiries per month 210.23 that were submitted to the SAVE system, the number of times 210.24 secondary verifications were pursued as a result of the 210.25 inquiries submitted to SAVE, and the number of times the county 210.26 determined, as a result of information provided through the SAVE 210.27 system, that an applicant to a program listed in section 256.01, 210.28 subdivision 18, was ineligible for benefits due to the 210.29 applicant's immigration status. 210.30 Sec. 31. [REPORT ON EFFECT OF ELIGIBILITY SUNSET DELAY.] 210.31 The health care division of the department of human 210.32 services shall conduct a study to identify the characteristics 210.33 of the GA, GAMC, and GRH recipients for whom program eligibility 210.34 has been extended past June 30, 2000, due to a change in state 210.35 law. Division staff must collect and report summary information 210.36 about the affected recipients that includes, but is not limited 211.1 to, information about the recipients': current employment 211.2 status and employment history; disabilities; past and present 211.3 involvement in chemical dependency treatment or related 211.4 services; criminal history, if any; and other barriers that 211.5 affect the recipients' ability to live independently. The 211.6 report must not include uniquely identifying information about 211.7 the affected recipients. The report must also include 211.8 information on the actual and projected costs of extending these 211.9 recipients' eligibility for the GA, GAMC, and GRH programs past 211.10 June 30, 2000. The report must be submitted to the chairs of 211.11 the house of representatives and senate policy and fiscal 211.12 committees with jurisdiction over these programs by January 15, 211.13 2001. 211.14 Sec. 32. [REPEALER.] 211.15 Laws 1999, chapter 245, article 5, section 24, is repealed. 211.16 ARTICLE 11 211.17 TECHNICAL CORRECTIONS 211.18 Section 1. Minnesota Statutes 1999 Supplement, section 211.19 62J.535, subdivision 2, is amended to read: 211.20 Subd. 2. [COMPLIANCE.] (a) Concurrent with the effective211.21 datesdate of required compliance established under United 211.22 States Code, title 42, sections 1320d to 1320d-8, as amended 211.23 from time to time, for uniform electronic billing standards, all 211.24 health care providers must conform to the uniform billing 211.25 standards developed under subdivision 1. 211.26 (b) Notwithstanding paragraph (a), the requirements for the 211.27 uniform remittance advice report shall be effective 12 months 211.28 after the date of the required compliance of the standards for 211.29 the electronic remittance advice transaction are effective under 211.30 United States Code, title 42, sections 1320d to 1320d-8, as 211.31 amended from time to time. 211.32 EFFECTIVE DATE: This section is effective the day 211.33 following final enactment. 211.34 Sec. 2. Minnesota Statutes 1998, section 125A.74, 211.35 subdivision 1, is amended to read: 211.36 Subdivision 1. [ELIGIBILITY.] A district may enroll as a 212.1 provider in the medical assistance program and receive medical 212.2 assistance payments for covered special education services 212.3 provided to persons eligible for medical assistance under 212.4 chapter 256B. To receive medical assistance payments, the 212.5 district must pay the nonfederal share of medical assistance 212.6 services provided according to section 256B.0625, subdivision 212.7 26, and comply with relevant provisions of state and federal 212.8 statutes and regulations governing the medical assistance 212.9 program. 212.10 Sec. 3. Minnesota Statutes 1998, section 125A.74, 212.11 subdivision 2, is amended to read: 212.12 Subd. 2. [FUNDING.] A district that provides a covered 212.13 service to an eligible person and complies with relevant 212.14 requirements of the medical assistance program is entitled to 212.15 receive payment for the service provided, including thatportion 212.16 of the paymentservices that will subsequently be reimbursed by 212.17 the federal government, in the same manner as other medical 212.18 assistance providers. The school district is not required to212.19 provide matching funds or pay part of the costs of the service,212.20 as long as the rate charged for the service does not exceed212.21 medical assistance limits that apply to all medical assistance212.22 providers.212.23 Sec. 4. Minnesota Statutes 1999 Supplement, section 212.24 144.395, is amended by adding a subdivision to read: 212.25 Subd. 3. [SUNSET.] The tobacco use prevention and local 212.26 public health endowment fund expires June 30, 2015. Upon 212.27 expiration, the commissioner of finance shall transfer the 212.28 principal and any remaining interest to the general fund. 212.29 EFFECTIVE DATE: This section is effective the day 212.30 following final enactment. 212.31 Sec. 5. Minnesota Statutes 1999 Supplement, section 212.32 144.396, subdivision 11, is amended to read: 212.33 Subd. 11. [AUDITS REQUIRED.] The legislative auditor shall 212.34 audit tobacco use prevention and local public health endowment 212.35 fund expenditures to ensure that the money is spent for tobacco 212.36 use prevention measures and public health initiatives. 213.1 EFFECTIVE DATE: This section is effective the day 213.2 following final enactment. 213.3 Sec. 6. Minnesota Statutes 1999 Supplement, section 213.4 144.396, subdivision 12, is amended to read: 213.5 Subd. 12. [ENDOWMENT FUND NOT TO SUPPLANT EXISTING 213.6 FUNDING.] Appropriations from the accounttobacco use prevention 213.7 and local public health endowment fund must not be used as a 213.8 substitute for traditional sources of funding tobacco use 213.9 prevention activities or public health initiatives. Any local 213.10 unit of government receiving money under this section must 213.11 ensure that existing local financial efforts remain in place. 213.12 EFFECTIVE DATE: This section is effective the day 213.13 following final enactment. 213.14 Sec. 7. Minnesota Statutes 1999 Supplement, section 213.15 256B.0916, subdivision 1, is amended to read: 213.16 Subdivision 1. [REDUCTION OF WAITING LIST.] (a) The 213.17 legislature recognizes that as of January 1, 1999, 3,300 persons 213.18 with mental retardation or related conditions have been screened 213.19 and determined eligible for the home and community-based waiver 213.20 services program for persons with mental retardation or related 213.21 conditions. Many wait for several years before receiving 213.22 service. 213.23 (b) The waiting list for this program shall be reduced or 213.24 eliminated by June 30, 2003. In order to reduce the number of 213.25 eligible persons waiting for identified services provided 213.26 through the home and community-based waiver for persons with 213.27 mental retardation or related conditions, during the period from 213.28 July 1, 1999, to June 30, 2003, funding shall be increased to 213.29 add 100 additional eligible persons each year beyond the 213.30 February 1999 medical assistance forecast. 213.31 (c) The commissioner shall allocate resources in such a 213.32 manner as to use all resources budgeted for the home and 213.33 community-based waiver for persons with mental retardation or 213.34 related conditions according to the priorities listed in 213.35 subdivision 2, paragraph (b), and then to serve other persons on 213.36 the waiting list. Resources allocated for a fiscal year to 214.1 serve persons affected by public and private sector ICF/MR 214.2 closures, but not expected to be expended for that purpose, must 214.3 be reallocated within that fiscal year to serve other persons on 214.4 the waiting list, and the number of waiver diversion slots shall 214.5 be adjusted accordingly. 214.6 (d) For fiscal year 2001, at least one-half of the increase 214.7 in funding over the previous year provided in the February 1999 214.8 medical assistance forecast for the home and community-based 214.9 waiver for persons with mental retardation and related 214.10 conditions, including changes made by the 1999 legislature, must 214.11 be used to serve persons who are not affected by public and 214.12 private sector ICF/MR closures. 214.13 EFFECTIVE DATE: This section is effective the day 214.14 following final enactment. 214.15 Sec. 8. Minnesota Statutes 1999 Supplement, section 214.16 256D.03, subdivision 4, is amended to read: 214.17 Subd. 4. [GENERAL ASSISTANCE MEDICAL CARE; SERVICES.] (a) 214.18 For a person who is eligible under subdivision 3, paragraph (a), 214.19 clause (3), general assistance medical care covers, except as 214.20 provided in paragraph (c): 214.21 (1) inpatient hospital services; 214.22 (2) outpatient hospital services; 214.23 (3) services provided by Medicare certified rehabilitation 214.24 agencies; 214.25 (4) prescription drugs and other products recommended 214.26 through the process established in section 256B.0625, 214.27 subdivision 13; 214.28 (5) equipment necessary to administer insulin and 214.29 diagnostic supplies and equipment for diabetics to monitor blood 214.30 sugar level; 214.31 (6) eyeglasses and eye examinations provided by a physician 214.32 or optometrist; 214.33 (7) hearing aids; 214.34 (8) prosthetic devices; 214.35 (9) laboratory and X-ray services; 214.36 (10) physician's services; 215.1 (11) medical transportation; 215.2 (12) chiropractic services as covered under the medical 215.3 assistance program; 215.4 (13) podiatric services; 215.5 (14) dental services; 215.6 (15) outpatient services provided by a mental health center 215.7 or clinic that is under contract with the county board and is 215.8 established under section 245.62; 215.9 (16) day treatment services for mental illness provided 215.10 under contract with the county board; 215.11 (17) prescribed medications for persons who have been 215.12 diagnosed as mentally ill as necessary to prevent more 215.13 restrictive institutionalization; 215.14 (18) psychological services, medical supplies and 215.15 equipment, and Medicare premiums, coinsurance and deductible 215.16 payments; 215.17 (19) medical equipment not specifically listed in this 215.18 paragraph when the use of the equipment will prevent the need 215.19 for costlier services that are reimbursable under this 215.20 subdivision; 215.21 (20) services performed by a certified pediatric nurse 215.22 practitioner, a certified family nurse practitioner, a certified 215.23 adult nurse practitioner, a certified obstetric/gynecological 215.24 nurse practitioner, a certified neonatal nurse practitioner, or 215.25 a certified geriatric nurse practitioner in independent 215.26 practice, if (1) the service is otherwise covered under this 215.27 chapter as a physician service, (2) athe service provided on an 215.28 inpatient basis is not included as part of the cost for 215.29 inpatient services included in the operating payment rate, and 215.30 (3) the service is within the scope of practice of the nurse 215.31 practitioner's license as a registered nurse, as defined in 215.32 section 148.171; 215.33 (21) services of a certified public health nurse or a 215.34 registered nurse practicing in a public health nursing clinic 215.35 that is a department of, or that operates under the direct 215.36 authority of, a unit of government, if the service is within the 216.1 scope of practice of the public health nurse's license as a 216.2 registered nurse, as defined in section 148.171; and 216.3 (22) telemedicine consultations, to the extent they are 216.4 covered under section 256B.0625, subdivision 3b. 216.5 (b) Except as provided in paragraph (c), for a recipient 216.6 who is eligible under subdivision 3, paragraph (a), clause (1) 216.7 or (2), general assistance medical care covers the services 216.8 listed in paragraph (a) with the exception of special 216.9 transportation services. 216.10 (c) Gender reassignment surgery and related services are 216.11 not covered services under this subdivision unless the 216.12 individual began receiving gender reassignment services prior to 216.13 July 1, 1995. 216.14 (d) In order to contain costs, the commissioner of human 216.15 services shall select vendors of medical care who can provide 216.16 the most economical care consistent with high medical standards 216.17 and shall where possible contract with organizations on a 216.18 prepaid capitation basis to provide these services. The 216.19 commissioner shall consider proposals by counties and vendors 216.20 for prepaid health plans, competitive bidding programs, block 216.21 grants, or other vendor payment mechanisms designed to provide 216.22 services in an economical manner or to control utilization, with 216.23 safeguards to ensure that necessary services are provided. 216.24 Before implementing prepaid programs in counties with a county 216.25 operated or affiliated public teaching hospital or a hospital or 216.26 clinic operated by the University of Minnesota, the commissioner 216.27 shall consider the risks the prepaid program creates for the 216.28 hospital and allow the county or hospital the opportunity to 216.29 participate in the program in a manner that reflects the risk of 216.30 adverse selection and the nature of the patients served by the 216.31 hospital, provided the terms of participation in the program are 216.32 competitive with the terms of other participants considering the 216.33 nature of the population served. Payment for services provided 216.34 pursuant to this subdivision shall be as provided to medical 216.35 assistance vendors of these services under sections 256B.02, 216.36 subdivision 8, and 256B.0625. For payments made during fiscal 217.1 year 1990 and later years, the commissioner shall consult with 217.2 an independent actuary in establishing prepayment rates, but 217.3 shall retain final control over the rate methodology. 217.4 Notwithstanding the provisions of subdivision 3, an individual 217.5 who becomes ineligible for general assistance medical care 217.6 because of failure to submit income reports or recertification 217.7 forms in a timely manner, shall remain enrolled in the prepaid 217.8 health plan and shall remain eligible for general assistance 217.9 medical care coverage through the last day of the month in which 217.10 the enrollee became ineligible for general assistance medical 217.11 care. 217.12 (e) The commissioner of human services may reduce payments217.13 provided under sections 256D.01 to 256D.21 and 261.23 in order217.14 to remain within the amount appropriated for general assistance217.15 medical care, within the following restrictions:217.16 (i) For the period July 1, 1985 to December 31, 1985,217.17 reductions below the cost per service unit allowable under217.18 section 256.966, are permitted only as follows: payments for217.19 inpatient and outpatient hospital care provided in response to a217.20 primary diagnosis of chemical dependency or mental illness may217.21 be reduced no more than 30 percent; payments for all other217.22 inpatient hospital care may be reduced no more than 20 percent.217.23 Reductions below the payments allowable under general assistance217.24 medical care for the remaining general assistance medical care217.25 services allowable under this subdivision may be reduced no more217.26 than ten percent.217.27 (ii) For the period January 1, 1986 to December 31, 1986,217.28 reductions below the cost per service unit allowable under217.29 section 256.966 are permitted only as follows: payments for217.30 inpatient and outpatient hospital care provided in response to a217.31 primary diagnosis of chemical dependency or mental illness may217.32 be reduced no more than 20 percent; payments for all other217.33 inpatient hospital care may be reduced no more than 15 percent.217.34 Reductions below the payments allowable under general assistance217.35 medical care for the remaining general assistance medical care217.36 services allowable under this subdivision may be reduced no more218.1 than five percent.218.2 (iii) For the period January 1, 1987 to June 30, 1987,218.3 reductions below the cost per service unit allowable under218.4 section 256.966 are permitted only as follows: payments for218.5 inpatient and outpatient hospital care provided in response to a218.6 primary diagnosis of chemical dependency or mental illness may218.7 be reduced no more than 15 percent; payments for all other218.8 inpatient hospital care may be reduced no more than ten218.9 percent. Reductions below the payments allowable under medical218.10 assistance for the remaining general assistance medical care218.11 services allowable under this subdivision may be reduced no more218.12 than five percent.218.13 (iv) For the period July 1, 1987 to June 30, 1988,218.14 reductions below the cost per service unit allowable under218.15 section 256.966 are permitted only as follows: payments for218.16 inpatient and outpatient hospital care provided in response to a218.17 primary diagnosis of chemical dependency or mental illness may218.18 be reduced no more than 15 percent; payments for all other218.19 inpatient hospital care may be reduced no more than five percent.218.20 Reductions below the payments allowable under medical assistance218.21 for the remaining general assistance medical care services218.22 allowable under this subdivision may be reduced no more than218.23 five percent.218.24 (v) For the period July 1, 1988 to June 30, 1989,218.25 reductions below the cost per service unit allowable under218.26 section 256.966 are permitted only as follows: payments for218.27 inpatient and outpatient hospital care provided in response to a218.28 primary diagnosis of chemical dependency or mental illness may218.29 be reduced no more than 15 percent; payments for all other218.30 inpatient hospital care may not be reduced. Reductions below218.31 the payments allowable under medical assistance for the218.32 remaining general assistance medical care services allowable218.33 under this subdivision may be reduced no more than five percent.218.34 (f)There shall be no copayment required of any recipient 218.35 of benefits for any services provided under this subdivision. A 218.36 hospital receiving a reduced payment as a result of this section 219.1 may apply the unpaid balance toward satisfaction of the 219.2 hospital's bad debts. 219.3 (g)(f) Any county may, from its own resources, provide 219.4 medical payments for which state payments are not made. 219.5 (h)(g) Chemical dependency services that are reimbursed 219.6 under chapter 254B must not be reimbursed under general 219.7 assistance medical care. 219.8 (i)(h) The maximum payment for new vendors enrolled in the 219.9 general assistance medical care program after the base year 219.10 shall be determined from the average usual and customary charge 219.11 of the same vendor type enrolled in the base year. 219.12 (j)(i) The conditions of payment for services under this 219.13 subdivision are the same as the conditions specified in rules 219.14 adopted under chapter 256B governing the medical assistance 219.15 program, unless otherwise provided by statute or rule. 219.16 EFFECTIVE DATE: This section is effective the day 219.17 following final enactment. 219.18 Sec. 9. Laws 1999, chapter 245, article 1, section 2, 219.19 subdivision 5, is amended to read: 219.20 Subd. 5. Basic Health Care Grants 219.21 Summary by Fund 219.22 General 867,174,000 916,234,000 219.23 Health Care 219.24 Access 116,490,000 145,469,000 219.25 The amounts that may be spent from this 219.26 appropriation for each purpose are as 219.27 follows: 219.28 (a) Minnesota Care Grants- 219.29 Health Care 219.30 Access 116,490,000 145,469,000 219.31 [HOSPITAL INPATIENT COPAYMENTS.] The 219.32 commissioner of human services may 219.33 require hospitals to refund hospital 219.34 inpatient copayments paid by enrollees 219.35 pursuant to Minnesota Statutes, section 219.36 256L.03, subdivision 5, between March 219.37 1, 1999, and December 31, 1999. If the 219.38 commissioner requires hospitals to 219.39 refund these copayments, the hospitals 219.40 shall collect the copayment directly 219.41 from the commissioner. 219.42 [MINNESOTACARE OUTREACH FEDERAL 219.43 MATCHING FUNDS.] Any federal matching 219.44 funds received as a result of the 219.45 MinnesotaCare outreach activities 220.1 authorized by Laws 1997, chapter 225, 220.2 article 7, section 2, subdivision 1, 220.3 shall be deposited in the health care 220.4 access fund and dedicated to the 220.5 commissioner to be used for those 220.6 outreach purposes. 220.7 [FEDERAL RECEIPTS FOR ADMINISTRATION.] 220.8 Receipts received as a result of 220.9 federal participation pertaining to 220.10 administrative costs of the Minnesota 220.11 health care reform waiver shall be 220.12 deposited as nondedicated revenue in 220.13 the health care access fund. Receipts 220.14 received as a result of federal 220.15 participation pertaining to grants 220.16 shall be deposited in the federal fund 220.17 and shall offset health care access 220.18 funds for payments to providers. 220.19 [HEALTH CARE ACCESS FUND.] The 220.20 commissioner may expend money 220.21 appropriated from the health care 220.22 access fund for MinnesotaCare in either 220.23 fiscal year of the biennium. 220.24 (b) MA Basic Health Care Grants- 220.25 Families and Children 220.26 General 307,053,000 320,112,000 220.27 [COMMUNITY DENTAL CLINICS.] Of this 220.28 appropriation, $600,000 in fiscal year 220.29 2000 is for the commissioner to provide 220.30 start-up grants to establish community 220.31 dental clinics under Minnesota 220.32 Statutes, section 256B.76, paragraph 220.33 (b), clause (5)(4). The commissioner 220.34 shall award grants and shall require 220.35 grant recipients to match the state 220.36 grant with nonstate funding on a 220.37 one-to-one basis. This is a one-time 220.38 appropriation and shall not become part 220.39 of base level funding for this activity 220.40 for the 2002-2003 biennium. 220.41 (c) MA Basic Health Care Grants- 220.42 Elderly & Disabled 220.43 General 404,814,000 451,928,000 220.44 [SURCHARGE COMPLIANCE.] In the event 220.45 that federal financial participation in 220.46 the Minnesota medical assistance 220.47 program is reduced as a result of a 220.48 determination that the surcharge and 220.49 intergovernmental transfers governed by 220.50 Minnesota Statutes, sections 256.9657 220.51 and 256B.19 are out of compliance with 220.52 United States Code, title 42, section 220.53 1396b(w), or its implementing 220.54 regulations or with any other federal 220.55 law designed to restrict provider tax 220.56 programs or intergovernmental 220.57 transfers, the commissioner shall 220.58 appeal the determination to the fullest 220.59 extent permitted by law and may ratably 220.60 reduce all medical assistance and 220.61 general assistance medical care 220.62 payments to providers other than the 220.63 state of Minnesota in order to 221.1 eliminate any shortfall resulting from 221.2 the reduced federal funding. Any 221.3 amount later recovered through the 221.4 appeals process shall be used to 221.5 reimburse providers for any ratable 221.6 reductions taken. 221.7 [BLOOD PRODUCTS LITIGATION.] To the 221.8 extent permitted by federal law, 221.9 Minnesota Statutes, section 256.015, 221.10 256B.042, and 256B.15, are waived as 221.11 necessary for the limited purpose of 221.12 resolving the state's claims in 221.13 connection with In re Factor VIII or IX 221.14 Concentrate Blood Products Litigation, 221.15 MDL-986, No. 93-C7452 (N.D.III.). 221.16 (d) General Assistance Medical Care 221.17 General 141,805,000 128,012,000 221.18 (e) Basic Health Care - Nonentitlement 221.19 General 13,502,000 16,182,000 221.20 [DENTAL ACCESS GRANT.] Of this 221.21 appropriation, $75,000 is from the 221.22 general fund to the commissioner in 221.23 fiscal year 2000 for a grant to a 221.24 nonprofit dental provider group 221.25 operating a dental clinic in Clay 221.26 county. The grant must be used to 221.27 increase access to dental services for 221.28 recipients of medical assistance, 221.29 general assistance medical care, and 221.30 the MinnesotaCare program in the 221.31 northwest area of the state. This 221.32 appropriation is available the day 221.33 following final enactment. 221.34 EFFECTIVE DATE: This section is effective the day 221.35 following final enactment. 221.36 Sec. 11. Laws 1999, chapter 245, article 1, section 2, 221.37 subdivision 8, is amended to read: 221.38 Subd. 8. Continuing Care and 221.39 Community Support Grants 221.40 General 1,174,195,000 1,259,767,000 221.41 Lottery Prize 1,158,000 1,158,000 221.42 The amounts that may be spent from this 221.43 appropriation for each purpose are as 221.44 follows: 221.45 (a) Community Social Services 221.46 Block Grants 221.47 42,597,000 43,498,000 221.48 [CSSA TRADITIONAL APPROPRIATION.] 221.49 Notwithstanding Minnesota Statutes, 221.50 section 256E.06, subdivisions 1 and 2, 221.51 the appropriations available under that 221.52 section in fiscal years 2000 and 2001 221.53 must be distributed to each county 221.54 proportionately to the aid received by 222.1 the county in calendar year 1998. The 222.2 commissioner, in consultation with 222.3 counties, shall study the formula 222.4 limitations in subdivision 2 of that 222.5 section, and report findings and any 222.6 recommendations for revision of the 222.7 CSSA formula and its formula limitation 222.8 provisions to the legislature by 222.9 January 15, 2000. 222.10 (b) Consumer Support Grants 222.11 1,123,000 1,123,000 222.12 (c) Aging Adult Service Grants 222.13 7,965,000 7,765,000 222.14 [LIVING-AT-HOME/BLOCK NURSE PROGRAM.] 222.15 Of the general fund appropriation, 222.16 $120,000 in fiscal year 2000 and 222.17 $120,000 in fiscal year 2001 is for the 222.18 commissioner to provide funding to six 222.19 additional living-at-home/block nurse 222.20 programs. This appropriation shall 222.21 become part of the base for the 222.22 2002-2003 biennium. 222.23 [MINNESOTA SENIOR SERVICE CORPS.] Of 222.24 this appropriation, $160,000 for the 222.25 biennium is from the general fund to 222.26 the commissioner for the following 222.27 purposes: 222.28 (a) $40,000 in fiscal year 2000 and 222.29 $40,000 in fiscal year 2001 is to 222.30 increase the hourly stipend by ten 222.31 cents per hour in the foster 222.32 grandparent program, the retired and 222.33 senior volunteer program, and the 222.34 senior companion program. 222.35 (b) $40,000 in fiscal year 2000 and 222.36 $40,000 in fiscal year 2001 is for a 222.37 grant to the tri-valley opportunity 222.38 council in Crookston to expand services 222.39 in the ten-county area of northwestern 222.40 Minnesota. 222.41 (c) This appropriation shall become 222.42 part of the base for the 2002-2003 222.43 biennium. 222.44 [HEALTH INSURANCE COUNSELING.] Of this 222.45 appropriation, $100,000 in fiscal year 222.46 2000 and $100,000 in fiscal year 2001 222.47 is from the general fund to the 222.48 commissioner to transfer to the board 222.49 on aging for the purpose of awarding 222.50 health insurance counseling and 222.51 assistance grants to the area agencies 222.52 on aging providing state-funded health 222.53 insurance counseling services. Access 222.54 to health insurance counseling programs 222.55 shall be provided by the senior linkage 222.56 line service of the board on aging and 222.57 the area agencies on aging. The board 222.58 on aging shall explore opportunities 222.59 for obtaining alternative funding from 222.60 nonstate sources, including 222.61 contributions from individuals seeking 223.1 health insurance counseling services. 223.2 This is a one-time appropriation and 223.3 shall not become part of base level 223.4 funding for this activity for the 223.5 2002-2003 biennium. 223.6 (d) Deaf and Hard-of-Hearing 223.7 Services Grants 223.8 1,859,000 1,760,000 223.9 [SERVICES TO DEAF PERSONS WITH MENTAL 223.10 ILLNESS.] Of this appropriation, 223.11 $100,000 each year is to the 223.12 commissioner for a grant to a nonprofit 223.13 agency that currently serves deaf and 223.14 hard-of-hearing adults with mental 223.15 illness through residential programs 223.16 and supported housing outreach. The 223.17 grant must be used to operate a 223.18 community support program for persons 223.19 with mental illness that is 223.20 communicatively accessible for persons 223.21 who are deaf or hard-of-hearing. This 223.22 is a one-time appropriation and shall 223.23 not become part of base level funding 223.24 for this activity for the 2002-2003 223.25 biennium. 223.26 [DEAF-BLIND ORIENTATION AND MOBILITY 223.27 SERVICES.] Of this appropriation, 223.28 $120,000 for the biennium is to the 223.29 commissioner for a grant to Deaf-Blind 223.30 Services Minnesota to hire an 223.31 orientation and mobility specialist to 223.32 work with deaf-blind people. The 223.33 specialist will provide services to 223.34 deaf-blind Minnesotans, and training to 223.35 teachers and rehabilitation counselors, 223.36 on a statewide basis. This is a 223.37 one-time appropriation and shall not 223.38 become part of base level funding for 223.39 this activity for the 2002-2003 223.40 biennium. 223.41 (e) Mental Health Grants 223.42 General 45,169,000 46,528,000 223.43 Lottery Prize 1,158,000 1,158,000 223.44 [CRISIS HOUSING.] Of the general fund 223.45 appropriation, $126,000 in fiscal year 223.46 2000 and $150,000 in fiscal year 2001 223.47 is to the commissioner for the adult 223.48 mental illness crisis housing 223.49 assistance program under Minnesota 223.50 Statutes, section 245.99. This 223.51 appropriation shall become part of the 223.52 base for the 2002-2003 biennium. 223.53 [ADOLESCENT COMPULSIVE GAMBLING GRANT.] 223.54 $150,000 in fiscal year 2000 and 223.55 $150,000 in fiscal year 2001 is 223.56 appropriated from the lottery prize 223.57 fund created under Minnesota Statutes, 223.58 section 349A.10, subdivision 2, to the 223.59 commissioner for the purposes of a 223.60 grant to a compulsive gambling council 223.61 located in St. Louis county for a 223.62 statewide compulsive gambling 224.1 prevention and education project for 224.2 adolescents. 224.3 (f) Developmental Disabilities 224.4 Community Support Grants 224.5 9,323,000 10,958,000 224.6 [CRISIS INTERVENTION PROJECT.] Of this 224.7 appropriation, $40,000 in fiscal year 224.8 2000 is to the commissioner for the 224.9 action, support, and prevention project 224.10 of southeastern Minnesota. 224.11 [SILS FUNDING.] Of this appropriation, 224.12 $1,000,000 each year is for 224.13 semi-independent living services under 224.14 Minnesota Statutes, section 252.275. 224.15 This appropriation must be added to the 224.16 base level funding for this activity 224.17 for the 2002-2003 biennium. Unexpended 224.18 funds for fiscal year 2000 do not 224.19 cancel but are available to the 224.20 commissioner for this purpose in fiscal 224.21 year 2001. 224.22 [FAMILY SUPPORT GRANTS.] Of this 224.23 appropriation, $1,000,000 in fiscal 224.24 year 2000 and $2,500,000 in fiscal year 224.25 2001 is to increase the availability of 224.26 family support grants under Minnesota 224.27 Statutes, section 252.32. This 224.28 appropriation must be added to the base 224.29 level funding for this activity for the 224.30 2002-2003 biennium. Unexpended funds 224.31 for fiscal year 2000 do not cancel but 224.32 are available to the commissioner for 224.33 this purpose in fiscal year 2001. 224.34 (g) Medical Assistance Long-Term 224.35 Care Waivers and Home Care 224.36 349,052,000 414,240,000 224.37 [PROVIDER RATE INCREASES.] (a) The 224.38 commissioner shall increase 224.39 reimbursement rates by four percent the 224.40 first year of the biennium and by three 224.41 percent the second year for the 224.42 providers listed in paragraph (b). The 224.43 increases shall be effective for 224.44 services rendered on or after July 1 of 224.45 each year. 224.46 (b) The rate increases described in 224.47 this section shall be provided to home 224.48 and community-based waivered services 224.49 for persons with mental retardation or 224.50 related conditions under Minnesota 224.51 Statutes, section 256B.501; home and 224.52 community-based waivered services for 224.53 the elderly under Minnesota Statutes, 224.54 section 256B.0915; waivered services 224.55 under community alternatives for 224.56 disabled individuals under Minnesota 224.57 Statutes, section 256B.49; community 224.58 alternative care waivered services 224.59 under Minnesota Statutes, section 224.60 256B.49; traumatic brain injury 224.61 waivered services under Minnesota 224.62 Statutes, section 256B.49; nursing 225.1 services and home health services under 225.2 Minnesota Statutes, section 256B.0625, 225.3 subdivision 6a; personal care services 225.4 and nursing supervision of personal 225.5 care services under Minnesota Statutes, 225.6 section 256B.0625, subdivision 19a; 225.7 private-duty nursing services under 225.8 Minnesota Statutes, section 256B.0625, 225.9 subdivision 7; day training and 225.10 habilitation services for adults with 225.11 mental retardation or related 225.12 conditions under Minnesota Statutes, 225.13 sections 252.40 to 252.46; alternative 225.14 care services under Minnesota Statutes, 225.15 section 256B.0913; adult residential 225.16 program grants under Minnesota Rules, 225.17 parts 9535.2000 to 9535.3000; adult and 225.18 family community support grants under 225.19 Minnesota Rules, parts 9535.1700 to 225.20 9535.1760; semi-independent living 225.21 services under Minnesota Statutes, 225.22 section 252.275, including SILS funding 225.23 under county social services grants 225.24 formerly funded under Minnesota 225.25 Statutes, chapter 256I; and community 225.26 support services for deaf and 225.27 hard-of-hearing adults with mental 225.28 illness who use or wish to use sign 225.29 language as their primary means of 225.30 communication. 225.31 (c) The commissioner shall increase 225.32 reimbursement rates by two percent for 225.33 the group residential housing 225.34 supplementary service rate under 225.35 Minnesota Statutes, section 256I.05, 225.36 subdivision 1a, for services rendered 225.37 on or after January 1, 2000. 225.38 (d) Providers that receive a rate 225.39 increase under this section shall use 225.40 at least 80 percent of the additional 225.41 revenue to increase the compensation 225.42 paid to employees other than the 225.43 administrator and central office staff. 225.44 (e) A copy of the provider's plan for 225.45 complying with paragraph (d) must be 225.46 made available to all employees. This 225.47 must be done by giving each employee a 225.48 copy or by posting it in an area of the 225.49 provider's operation to which all 225.50 employees have access. If an employee 225.51 does not receive the salary adjustment 225.52 described in the plan and is unable to 225.53 resolve the problem with the provider, 225.54 the employee may contact the employee's 225.55 union representative. If the employee 225.56 is not covered by a collective 225.57 bargaining agreement, the employee may 225.58 contact the commissioner at a phone 225.59 number provided by the commissioner and 225.60 included in the provider's plan. 225.61 (f) Section 13, sunset of uncodified 225.62 language, does not apply to this 225.63 provision. 225.64 [DEVELOPMENTAL DISABILITIES WAIVER 225.65 SLOTS.] Of this appropriation, 225.66 $1,746,000 in fiscal year 2000 and 226.1 $4,683,000 in fiscal year 2001 is to 226.2 increase the availability of home and 226.3 community-based waiver services for 226.4 persons with mental retardation or 226.5 related conditions. 226.6 (h) Medical Assistance Long-Term 226.7 Care Facilities 226.8 546,228,000 558,349,000 226.9 [MORATORIUM EXCEPTIONS.] Of this 226.10 appropriation, $250,000 in fiscal year 226.11 2000 and $250,000 in fiscal year 2001 226.12 is from the general fund to the 226.13 commissioner for the medical assistance 226.14 costs of moratorium exceptions approved 226.15 by the commissioner of health under 226.16 Minnesota Statutes, section 144A.073. 226.17 Unexpended money appropriated for 226.18 fiscal year 2000 shall not cancel but 226.19 shall be available for fiscal year 2001. 226.20 [NURSING FACILITY OPERATED BY THE RED 226.21 LAKE BAND OF CHIPPEWA INDIANS.] (1) The 226.22 medical assistance payment rates for 226.23 the 47-bed nursing facility operated by 226.24 the Red Lake Band of Chippewa Indians 226.25 must be calculated according to 226.26 allowable reimbursement costs under the 226.27 medical assistance program, as 226.28 specified in Minnesota Statutes, 226.29 section 246.50, and are subject to the 226.30 facility-specific Medicare upper limits. 226.31 (2) In addition, the commissioner shall 226.32 make available an operating payment 226.33 rate adjustment effective July 1, 1999, 226.34 and July 1, 2000, that is equal to the 226.35 adjustment provided under Minnesota 226.36 Statutes, section 256B.431, subdivision 226.37 28. The commissioner must use the 226.38 facility's final 1998 and 1999 Medicare 226.39 cost reports, respectively, to 226.40 calculate the adjustment. The 226.41 adjustment shall be available based on 226.42 a plan submitted and approved according 226.43 to Minnesota Statutes, section 226.44 256B.431, subdivision 28. Section 13, 226.45 sunset of uncodified language, does not 226.46 apply to this paragraph. 226.47 [COSTS RELATED TO FACILITY 226.48 CERTIFICATION.] Of this appropriation, 226.49 $168,000 is for the costs of providing 226.50 one-half the state share of medical 226.51 assistance reimbursement for 226.52 residential and day habilitation 226.53 services under article 3, section 3943. 226.54 This amount is available the day 226.55 following final enactment. 226.56 (i) Alternative Care Grants 226.57 General 60,873,000 59,981,000 226.58 [ALTERNATIVE CARE TRANSFER.] Any money 226.59 allocated to the alternative care 226.60 program that is not spent for the 226.61 purposes indicated does not cancel but 226.62 shall be transferred to the medical 227.1 assistance account. 227.2 [PREADMISSION SCREENING AMOUNT.] The 227.3 preadmission screening payment to all 227.4 counties shall continue at the payment 227.5 amount in effect for fiscal year 1999. 227.6 [ALTERNATIVE CARE APPROPRIATION.] The 227.7 commissioner may expend the money 227.8 appropriated for the alternative care 227.9 program for that purpose in either year 227.10 of the biennium. 227.11 (j) Group Residential Housing 227.12 General 66,477,000 70,390,000 227.13 [GROUP RESIDENTIAL FACILITY FOR WOMEN 227.14 IN RAMSEY COUNTY.] (a) Notwithstanding 227.15 Minnesota Statutes 1998, section 227.16 256I.05, subdivision 1d, the new 23-bed 227.17 group residential facility for women in 227.18 Ramsey county, with approval by the 227.19 county agency, may negotiate a 227.20 supplementary service rate in addition 227.21 to the board and lodging rate for 227.22 facilities licensed and registered by 227.23 the Minnesota department of health 227.24 under Minnesota Statutes, section 15.17227.25 157.17. The supplementary service rate 227.26 shall not exceed $564 per person per 227.27 month and the total rate may not exceed 227.28 $1,177 per person per month. 227.29 (b) Of the general fund appropriation, 227.30 $19,000 in fiscal year 2000 and $38,000 227.31 in fiscal year 2001 is to the 227.32 commissioner for the costs associated 227.33 with paragraph (a). This appropriation 227.34 shall become part of the base for the 227.35 2002-2003 biennium. 227.36 (k) Chemical Dependency 227.37 Entitlement Grants 227.38 General 36,751,000 38,847,000 227.39 (l) Chemical Dependency 227.40 Nonentitlement Grants 227.41 General 6,778,000 6,328,000 227.42 [CHEMICAL DEPENDENCY SERVICES.] Of this 227.43 appropriation, $450,000 in fiscal year 227.44 2000 is to the commissioner for 227.45 chemical dependency services to persons 227.46 who qualify under Minnesota Statutes, 227.47 section 254B.04, subdivision 1, 227.48 paragraph (b). 227.49 EFFECTIVE DATE: This section is effective the day 227.50 following final enactment. 227.51 Sec. 10. Laws 1999, chapter 245, article 4, section 121, 227.52 is amended to read: 227.53 Sec. 121. [EFFECTIVE DATE.] 227.54 (a) Sections 3, 4, 5, 45, 95, and 97, subdivision 3, 228.1 paragraph (d), are effective July 1, 2000. 228.2 (b) Section 56 is effective upon federal approval. 228.3 EFFECTIVE DATE: This section is effective the day 228.4 following final enactment. 228.5 Sec. 11. [REPEALER.] 228.6 (a) Minnesota Statutes 1999 Supplement, section 144.396, 228.7 subdivision 13, is repealed. 228.8 (b) Laws 1997, chapter 203, article 7, section 27, is 228.9 repealed. 228.10 EFFECTIVE DATE: This section is effective the day 228.11 following final enactment. 228.12 ARTICLE 12 228.13 STATE GOVERNMENT 228.14 APPROPRIATIONS 228.15 Section 1. [APPROPRIATIONS.] 228.16 The sums shown in the columns marked "APPROPRIATIONS" are 228.17 appropriated from the general fund, or any other fund named, to 228.18 the agencies and for the purposes specified in this article, to 228.19 be available for the fiscal years indicated for each purpose. 228.20 The figures "2000" and "2001" mean that the appropriation or 228.21 appropriations listed under them are available for the fiscal 228.22 year ending June 30, 2000, or June 30, 2001, respectively, and 228.23 if an earlier appropriation was made for that purpose for that 228.24 year, the appropriation in this article is added to it. Where a 228.25 dollar amount appears in parentheses, it means a reduction of an 228.26 earlier appropriation for that purpose for that year. 228.27 SUMMARY BY FUND 228.28 BIENNIAL 228.29 2000 2001 TOTAL 228.30 General $ 2,994,000 $ (524,000) $ 2,470,000 228.31 Special Revenue -0- 249,000 249,000 228.32 TOTAL $ 2,994,000 $ (275,000) $ 2,719,000 228.33 APPROPRIATIONS 228.34 Available for the Year 228.35 Ending June 30 228.36 2000 2001 228.37 $ $ 228.38 Sec. 2. SECRETARY OF STATE 4,000,000 -0- 229.1 To construct and maintain the Uniform 229.2 Commercial Code central filing system 229.3 required by Laws 2000, chapter 399, to 229.4 be available until June 30, 2001. 229.5 Sec. 3. OFFICE OF STRATEGIC AND 229.6 LONG-RANGE PLANNING 200,000 -0- 229.7 For grants of $50,000 each to regional 229.8 development commissions or, in regions 229.9 not served by regional development 229.10 commissions, to regional organizations 229.11 selected by the director, to support 229.12 planning work on behalf of local units 229.13 of government. A region that received 229.14 a grant from the appropriation in Laws 229.15 1999, chapter 250, article 1, section 229.16 11 or 14, for regional planning is not 229.17 eligible to receive a grant from this 229.18 appropriation. This appropriation is 229.19 available until June 30, 2001. The 229.20 planning work must include, but need 229.21 not be limited to: 229.22 (1) development of local zoning 229.23 ordinances; 229.24 (2) land use plans; 229.25 (3) community or economic development 229.26 plans; 229.27 (4) transportation and transit plans; 229.28 (5) solid waste management plans; 229.29 (6) wastewater management plans; 229.30 (7) workforce development plans; 229.31 (8) housing development plans or market 229.32 analysis; 229.33 (9) rural health service and senior 229.34 nutrition plans; or 229.35 (10) natural resources management plans. 229.36 Sec. 4. ADMINISTRATION 229.37 Subdivision 1. Office of 229.38 Technology Long-Range Plan 229.39 Notwithstanding Laws 1999, chapter 250, 229.40 article 1, section 12, subdivision 3, 229.41 the appropriation for the second year 229.42 is available for expenditure. 229.43 Subd. 2. Metropolitan 229.44 Radio Board -0- 249,000 229.45 This appropriation is from the special 229.46 revenue fund. 229.47 This appropriation is canceled if a law 229.48 is enacted authorizing a statewide 800 229.49 megahertz radio system. 229.50 Subd. 3. Year 2000 Contingency Surplus 229.51 Notwithstanding Laws 1999, chapter 250, 230.1 article 1, section 12, subdivision 4, 230.2 of the unexpended balance of the 230.3 appropriation to address year 2000 230.4 changes, $1,400,000 is reappropriated 230.5 to enable the electronic delivery of 230.6 government services and $600,000 is 230.7 added to the appropriation to the 230.8 commissioner of revenue for the income 230.9 tax reengineering initiative in Laws 230.10 1999, chapter 250, article 1, section 230.11 16, subdivision 2. These 230.12 appropriations are available until June 230.13 30, 2003. 230.14 Subd. 4. Data Practices Base Adjustment 230.15 If H.F. No. 3501 is enacted by the 2000 230.16 legislature, the commissioner of 230.17 finance shall not treat any costs 230.18 imposed by it as a base adjustment to 230.19 the budget of the department of 230.20 administration for fiscal year 2002 or 230.21 2003. 230.22 Subd. 5. Facilities Management -0- 1,268,000 230.23 To be added to the appropriation for 230.24 office space costs of the legislature 230.25 and veterans organizations, for 230.26 ceremonial space, and for statutorily 230.27 free space, in Laws 1999, chapter 250, 230.28 article 1, section 12, subdivision 5. 230.29 This is a one-time appropriation. 230.30 Sec. 5. CAMPAIGN FINANCE AND 230.31 DISCLOSURE BOARD 38,000 -0- 230.32 For legal costs for the board's defense 230.33 of a constitutionality challenge, to be 230.34 available until June 30, 2001. 230.35 Sec. 6. EMPLOYEE RELATIONS -0- 100,000 230.36 To pay the costs of conducting the 230.37 postretirement and active employee 230.38 health care study and preparing the 230.39 report required by 2000 S.F. No. 2796, 230.40 article 5, section 1. The retirement 230.41 funds participating in the study may 230.42 contribute a total of $100,000 230.43 additional money to help pay these 230.44 costs. 230.45 Sec. 7. GAMBLING CONTROL 230.46 BOARD 90,000 -0- 230.47 For workers' compensation claims. 230.48 Money not expended in the first year is 230.49 available for expenditure in the second 230.50 year. 230.51 Sec. 8. MINNEAPOLIS EMPLOYEES 230.52 RETIREMENT FUND (1,334,000) (1,892,000) 230.53 This is a reduction in payments made to 230.54 the Minneapolis employees retirement 230.55 fund under Minnesota Statutes, section 230.56 422A.101, subdivision 3. The reduction 230.57 for fiscal year 2002 is estimated to be 230.58 $1,892,000 and the reduction for fiscal 230.59 year 2003 is estimated to be $1,892,000. 231.1 Sec. 9. Minnesota Statutes 1999 Supplement, section 231.2 16A.103, subdivision 1, is amended to read: 231.3 Subdivision 1. [STATE REVENUE AND EXPENDITURES.] In 231.4 February and November each year, the commissioner shall prepare 231.5 a forecast of state revenue and expenditures. The November 231.6 forecast must be delivered to the legislature and governor no 231.7 later than the end of the first week of December. The February 231.8 forecast must be delivered to the legislature and governor by 231.9 the end of February. Forecasts must be delivered to the 231.10 legislature and governor on the same day. If requested by the 231.11 legislative commission on planning and fiscal policy, delivery 231.12 to the legislature must include a presentation to the commission. 231.13 Subd. 1a. [FORECAST PARAMETERS.] The forecast must assume 231.14 the continuation of current laws and reasonable estimates of 231.15 projected growth in the national and state economies and 231.16 affected populations. Revenue must be estimated for all sources 231.17 provided for in current law. Expenditures must be estimated for 231.18 all obligations imposed by law and those projected to occur as a 231.19 result of inflation and variables outside the control of the 231.20 legislature. 231.21 Subd. 1b. [FORECAST VARIABLE.] In determining the rate of 231.22 inflation, the application of inflation, the amount of state 231.23 bonding as it affects debt service, the calculation of 231.24 investment income, and the other variables to be included in the 231.25 expenditure part of the forecast, the commissioner must consult 231.26 with the chairchairs and lead minority members of the senate 231.27 state government finance committee ,and the chair of thehouse 231.28 committee onways and means committee, and house and231.29 senatelegislative fiscal staff. This consultation must occur 231.30 at least three weeks before the forecast is to be released. No 231.31 later than two weeks prior to the release of the forecast, the 231.32 commissioner must inform the chairs and lead minority members of 231.33 the senate state government finance committee and the house ways 231.34 and means committee, and legislative fiscal staff of any changes 231.35 in these variables from the previous forecast. 231.36 Subd. 1c. [EXPENDITURE DATA.] State agencies must submit 232.1 any revisions in expenditure data the commissioner determines 232.2 necessary for the forecast to the commissioner at least four 232.3 weeks prior to the release of the forecast. The information 232.4 submitted by state agencies and any modifications to that 232.5 information made by the commissioner must be made available to 232.6 legislative fiscal staff no later than three weeks prior to the 232.7 release of the forecast. 232.8 Subd. 1d. [REVENUE DATA.] On a monthly basis, the 232.9 commissioner must provide legislative fiscal staff with an 232.10 update of the previous month's state revenues no later than 12 232.11 days after the end of that month. 232.12 Subd. 1e. [ECONOMIC INFORMATION.] The commissioner must 232.13 review economic information including economic forecasts with 232.14 legislative fiscal staff no later than two weeks before the 232.15 forecast is released. The commissioner must invite the chairs 232.16 and lead minority members of the senate state government finance 232.17 committee and the house ways and means committee, and 232.18 legislative fiscal staff to attend any meetings held with 232.19 outside economic advisors. The commissioner must provide 232.20 legislative fiscal staff with monthly economic forecast 232.21 information received from outside sources. 232.22 Subd. 1f. [PERSONAL INCOME.] In addition, the commissioner 232.23 shall forecast Minnesota personal income for each of the years 232.24 covered by the forecast and include these estimates in the 232.25 forecast documents. 232.26 Subd. 1g. [PERIOD TO BE FORECAST.] A forecast prepared 232.27 during the first fiscal year of a biennium must cover that 232.28 biennium and the next biennium. A forecast prepared during the 232.29 second fiscal year of a biennium must cover that biennium and 232.30 the next two bienniums. 232.31 Sec. 10. Minnesota Statutes 1998, section 16A.11, 232.32 subdivision 3, is amended to read: 232.33 Subd. 3. [PART TWO: DETAILED BUDGET.] (a) Part two of the 232.34 budget, the detailed budget estimates both of expenditures and 232.35 revenues, must contain any statements on the financial plan 232.36 which the governor believes desirable or which may be required 233.1 by the legislature. The detailed estimates shall include the 233.2 governor's budget arranged in tabular form. 233.3 (b) The detailed estimates must include a separate line 233.4 listing the total number of professional or technical service 233.5 contracts and the total cost of those contracts for the prior 233.6 biennium and the projected number of professional or technical 233.7 service contracts and the projected costs of those contracts for 233.8 the current and upcoming biennium. They must also include a 233.9 summary of the personnel employed by the agency, reflected as 233.10 full-time equivalent positions, and the number of professional 233.11 or technical service consultants for the current biennium. 233.12 (c) The detailed estimates for internal service funds must 233.13 include the number of full-time equivalents by program; detail 233.14 on any loans from the general fund, including dollar amounts by 233.15 program; proposed investments in technology or equipment of 233.16 $100,000 or more; an explanation of any operating losses or 233.17 increases in retained earnings; and a history of the rates that 233.18 have been charged, with an explanation of any rate changes and 233.19 the impact of the rate changes on affected agencies. 233.20 Sec. 11. Minnesota Statutes 1998, section 16A.126, 233.21 subdivision 2, is amended to read: 233.22 Subd. 2. [IMMEDIATE NEEDS.] To reduce reserves for 233.23 unforeseen needs, and so reduce these rates, the commissioner 233.24 may transfer money from the general fund to a revolving fund. 233.25 Before doing so, the commissioner must decide there is not 233.26 enough money in the revolving fund for an immediate, necessary 233.27 expenditure. The amount necessary to make the transfer is 233.28 appropriated from the general fund to the commissioner of 233.29 finance. The commissioner shall report the amount and purpose 233.30 of the transfer to the chair of the committee or division in the 233.31 senate and house of representatives with primary jurisdiction 233.32 over the budget of the department of finance. 233.33 Sec. 12. Minnesota Statutes 1999 Supplement, section 233.34 16A.129, subdivision 3, is amended to read: 233.35 Subd. 3. [CASH ADVANCES.] When the operations of any 233.36 nongeneral fund account would be impeded by projected cash 234.1 deficiencies resulting from delays in the receipt of grants, 234.2 dedicated income, or other similar receivables, and when the 234.3 deficiencies would be corrected within the budget period 234.4 involved, the commissioner of finance may use general fund cash 234.5 reserves to meet cash demands. If funds are transferred from 234.6 the general fund to meet cash flow needs, the cash flow 234.7 transfers must be returned to the general fund as soon as 234.8 sufficient cash balances are available in the account to which 234.9 the transfer was made. The fund to which general fund cash was234.10 advanced must pay interest on the cash advance at a rate234.11 comparable to the rate earned by the state on invested234.12 treasurer's cash, as determined monthly by the commissioner. An234.13 amount necessary to pay the interest is appropriated from the234.14 nongeneral fund to which the cash advance was made.Any 234.15 interest earned on general fund cash flow transfers accrues to 234.16 the general fund and not to the accounts or funds to which the 234.17 transfer was made. The commissioner may advance general fund 234.18 cash reserves to nongeneral fund accounts where the receipts 234.19 from other governmental units cannot be collected within the 234.20 budget period. 234.21 Sec. 13. [16A.633] [CAPITAL FUNDING CONTINGENT ON 234.22 MAINTAINING DATA.] 234.23 Subdivision 1. [STATE AGENCIES.] Each state agency shall 234.24 provide to the commissioner of administration the data necessary 234.25 for the commissioner to maintain the department's database on 234.26 the location, description, and condition of state-owned 234.27 facilities. The data must be provided by September 1 each 234.28 year. The commissioner of administration must maintain both the 234.29 current inventory data and historical data. A state agency is 234.30 not eligible to receive capital funding unless the agency has 234.31 provided the data required. 234.32 Subd. 2. [MINNESOTA STATE COLLEGES AND UNIVERSITIES.] The 234.33 board of trustees of the Minnesota state colleges and 234.34 universities shall establish and maintain data on the location, 234.35 description, and condition of board-owned facilities that is 234.36 comparable with the database established by the department of 235.1 administration. The data must be updated annually and the board 235.2 must maintain both current inventory data and historical data. 235.3 The board is not eligible to receive capital funding unless the 235.4 board has established and maintains the data required. 235.5 Subd. 3. [UNIVERSITY OF MINNESOTA.] The board of regents 235.6 of the University of Minnesota is requested to establish and 235.7 maintain data on the location, description, and condition of 235.8 university-owned facilities that is comparable with the database 235.9 established by the department of administration. The university 235.10 is requested to update the data annually and maintain both 235.11 current inventory data and historical data. The board of 235.12 regents is not eligible to receive capital funding unless the 235.13 board has established and maintains the data required. 235.14 Sec. 14. Minnesota Statutes 1998, section 16B.052, is 235.15 amended to read: 235.16 16B.052 [AUTHORITY TO TRANSFER FUNDS.] 235.17 The commissioner may, with the approval of the commissioner 235.18 of finance, transfer from an internal service or enterprise fund 235.19 account to another internal service or enterprise fund account, 235.20 any contributed capital appropriated by the legislature. The 235.21 transfer may be made only to provide working capital or positive 235.22 cash flow in the account to which the money is transferred. The 235.23 commissioner shall report the amount and purpose of the transfer 235.24 to the chair of the committee or division in the senate and 235.25 house of representatives with primary jurisdiction over the 235.26 budget of the department of administration. The transfer must 235.27 be repaid within 18 months. 235.28 Sec. 15. Minnesota Statutes 1998, section 16B.48, 235.29 subdivision 4, is amended to read: 235.30 Subd. 4. [REIMBURSEMENTS.] Except as specifically provided 235.31 otherwise by law, each agency shall reimburse intertechnologies 235.32 and general services revolving funds for the cost of all 235.33 services, supplies, materials, labor, and depreciation of 235.34 equipment, including reasonable overhead costs, which the 235.35 commissioner is authorized and directed to furnish an agency. 235.36 The cost of all publications or other materials produced by the 236.1 commissioner and financed from the general services revolving 236.2 fund must include reasonable overhead costs. The commissioner 236.3 of administration shall report the rates to be charged for each 236.4 revolving fund no later than July 1 each year to the chair of 236.5 the committee or division in the senate and house of 236.6 representatives with primary jurisdiction over the budget of the 236.7 department of administration. The commissioner of finance shall 236.8 make appropriate transfers to the revolving funds described in 236.9 this section when requested by the commissioner of 236.10 administration. The commissioner of administration may make 236.11 allotments, encumbrances, and, with the approval of the 236.12 commissioner of finance, disbursements in anticipation of such 236.13 transfers. In addition, the commissioner of administration, 236.14 with the approval of the commissioner of finance, may require an 236.15 agency to make advance payments to the revolving funds in this 236.16 section sufficient to cover the agency's estimated obligation 236.17 for a period of at least 60 days. All reimbursements and other 236.18 money received by the commissioner of administration under this 236.19 section must be deposited in the appropriate revolving fund. 236.20 Any earnings remaining in the fund established to account for 236.21 the documents service prescribed by section 16B.51 at the end of 236.22 each fiscal year not otherwise needed for present or future 236.23 operations, as determined by the commissioners of administration 236.24 and finance, must be transferred to the general fund. 236.25 Sec. 16. Minnesota Statutes 1998, section 16B.485, is 236.26 amended to read: 236.27 16B.485 [INTERFUND LOANS.] 236.28 The commissioner may, with the approval of the commissioner 236.29 of finance, make loans from an internal service or enterprise 236.30 fund to another internal service or enterprise fund, and the 236.31 amount necessary is appropriated from the fund that makes the 236.32 loan. The commissioner shall report the amount and purpose of 236.33 the loan to the chair of the committee or division in the senate 236.34 and house of representatives with primary jurisdiction over the 236.35 budget of the department of administration. The term of a loan 236.36 made under this section must be not more than 24 months. 237.1 Sec. 17. Minnesota Statutes 1998, section 16E.04, is 237.2 amended by adding a subdivision to read: 237.3 Subd. 3. [RISK ASSESSMENT AND MITIGATION.] (a) A risk 237.4 assessment and risk mitigation plan are required for an 237.5 information systems development project estimated to cost more 237.6 than $1,000,000 that is undertaken by a state agency in the 237.7 executive or judicial branch or by a constitutional officer. 237.8 The commissioner of administration must contract with an entity 237.9 outside of state government to conduct the assessment and 237.10 prepare the mitigation plan for a project estimated to cost more 237.11 than $5,000,000. The outside entity conducting the risk 237.12 assessment and preparing the mitigation plan must not have any 237.13 other direct or indirect financial interest in the project. The 237.14 risk assessment and risk mitigation plan must provide for 237.15 periodic monitoring by the commissioner until the project is 237.16 completed. 237.17 (b) The risk assessment and risk mitigation plan must be 237.18 paid for with money appropriated for the information systems 237.19 development project. No more than ten percent of the amount 237.20 anticipated to be spent on the project, other than the money 237.21 spent on the risk assessment and risk mitigation plan, may be 237.22 spent until the risk assessment and mitigation plan are reported 237.23 to the commissioner of administration and the commissioner has 237.24 approved the risk mitigation plan. 237.25 Sec. 18. Minnesota Statutes 1998, section 422A.101, 237.26 subdivision 3, is amended to read: 237.27 Subd. 3. [STATE CONTRIBUTIONS.] (a) Subject to the 237.28 limitation set forth in paragraph (c), the state shall pay to 237.29 the Minneapolis employees retirement fund annually an amount 237.30 equal to the amount calculated under paragraph (b). 237.31 (b) The payment amount is an amount equal to the financial 237.32 requirements of the Minneapolis employees retirement fund 237.33 reported in the actuarial valuation of the fund prepared by the 237.34 commission-retained actuary pursuant to section 356.215 for the 237.35 most recent year but based on a target date for full 237.36 amortization of the unfunded actuarial accrued liabilities by 238.1 June 30, 2020, less the amount of employee contributions 238.2 required pursuant to section 422A.10, and the amount of employer 238.3 contributions required pursuant to subdivisions 1a, 2, and 2a. 238.4 Payments shall be made in four equal installments, occurring on238.5 March 15, July 15,September 15 , and November 15annually. 238.6 (c) The annual state contribution under this subdivision 238.7 may not exceed $10,455,000 through fiscal year 1998 and238.8 $9,000,000 beginning in fiscal year 1999, plus the cost of the 238.9 annual supplemental benefit determined under section 356.865. 238.10 (d) If the amount determined under paragraph (b) exceeds 238.11 $11,910,000, the excess must be allocated to and paid to the 238.12 fund by the employers identified in subdivisions 1a and 2, other 238.13 than units of metropolitan government. Each employer's share of 238.14 the excess is proportionate to the employer's share of the 238.15 fund's unfunded actuarial accrued liability as disclosed in the 238.16 annual actuarial valuation prepared by the actuary retained by 238.17 the legislative commission on pensions and retirement compared 238.18 to the total unfunded actuarial accrued liability attributed to 238.19 all employers identified in subdivisions 1a and 2, other than 238.20 units of metropolitan government. Payments must be made in 238.21 equal installments as set forth in paragraph (b). 238.22 Sec. 19. Laws 1999, chapter 250, article 1, section 11, is 238.23 amended to read: 238.24 Sec. 11. OFFICE OF STRATEGIC 238.25 AND LONG-RANGE PLANNING 6,891,000 4,417,000 238.26 $100,000 the first year is to integrate 238.27 the office's information technology and 238.28 is available until June 30, 2003. The 238.29 director shall report on the progress 238.30 of the unit to the chairs of the 238.31 legislative committees responsible for 238.32 this budget item by January 15, 2000, 238.33 2001, and 2002. 238.34 $1,600,000 the first year is for a 238.35 generic environmental impact statement 238.36 on animal agriculture. 238.37 $200,000 the first year is to perform 238.38 program evaluations of agencies in the 238.39 executive branch. 238.40 The program evaluation division will 238.41 report to the legislature by December 238.42 1, 2000, ways to reduce state 238.43 government expenditures by five to ten 238.44 percent. 239.1 $100,000 the first year is to provide 239.2 administrative support to 239.3 community-based planning efforts. 239.4 $150,000 the first year is for a grant 239.5 of $50,000 to the southwest regional 239.6 development commission for the 239.7 continuation of the pilot program and 239.8 two additional grants of $50,000 each 239.9 to regional development commissions or, 239.10 in regions not served by regional 239.11 development commissions, to regional 239.12 organizations selected by the director 239.13 of strategic and long-range planning, 239.14 to support planning work on behalf of 239.15 local units of government. The 239.16 planning work shall include, but need 239.17 not be limited to: 239.18 (1) development of local zoning 239.19 ordinances; 239.20 (2) land use plans; 239.21 (3) community or economic development 239.22 plans; 239.23 (4) transportation and transit plans; 239.24 (5) solid waste management plans; 239.25 (6) wastewater management plans; 239.26 (7) workforce development plans; 239.27 (8) housing development plans and/or 239.28 market analysis; 239.29 (9) rural health service plans; 239.30 (10) natural resources management 239.31 plans; or 239.32 (11) development of geographical 239.33 information systems database to serve a 239.34 region's needs, including hardware and 239.35 software purchases and related labor 239.36 costs. 239.37 $200,000 the first year is to prepare 239.38 the generic environmental impact 239.39 statement on urban development required 239.40 by section 108. Any unencumbered 239.41 balance remaining in the first year 239.42 does not cancel and is available for 239.43 the second year of the biennium. 239.44 $24,000 the first year is for the 239.45 southwest Minnesota wind monitoring 239.46 project. 239.47 $100,000 the first year is for a grant 239.48 to the city of Mankato to complete the 239.49 Mankato area growth management and 239.50 planning study, phase 2. The 239.51 appropriation is available until June 239.52 30, 2002. The appropriation must be 239.53 matched by an in-kind donation of 239.54 $100,000 in administrative, technical, 239.55 and higher educational internship 239.56 support and supervision. The value of 240.1 the in-kind donations must be 240.2 determined by the commissioner of 240.3 finance. 240.4 The city shall serve as fiscal agent to 240.5 complete the study under the 1997 240.6 regional planning joint powers 240.7 agreement among the cities of Mankato, 240.8 North Mankato, and Eagle Lake; the 240.9 counties of Nicollet and Blue Earth; 240.10 and the towns of Mankato, South Bend, 240.11 Lime, Decoria, and Belgrade, without 240.12 limitation on the rights of the parties 240.13 to that agreement to add or remove 240.14 members. The study is intended as an 240.15 alternative to community-based 240.16 planning. The study is intended to 240.17 develop information and analysis to 240.18 provide guidance on such issues as: 240.19 (1) the development of joint planning 240.20 agreements to implement a unified 240.21 growth management strategy; 240.22 (2) joint service ventures, such as 240.23 planning or zoning administration in 240.24 urban fringe areas; 240.25 (3) orderly growth and annexation 240.26 agreements between cities and 240.27 townships; 240.28 (4) feedlot regulations in urban fringe 240.29 areas and future growth corridors; 240.30 (5) service strategies for unsewered 240.31 subdivisions; 240.32 (6) other joint ventures for city, 240.33 county, and township service delivery 240.34 in fringe areas; 240.35 (7) feasibility of a rural township 240.36 taxing district; and 240.37 (8) alternatives to the current 240.38 community-based planning legislation 240.39 that would add flexibility and improve 240.40 the planning process. 240.41 The city of Mankato shall report the 240.42 results of the study to the legislature 240.43 by January 15, 2002. 240.44 Sec. 20. Laws 1999, chapter 250, article 1, section 12, 240.45 subdivision 8, is amended to read: 240.46 Subd. 8. Public Broadcasting 240.47 3,443,000 3,330,000 240.48 $1,450,000 the first year and 240.49 $1,450,000 the second year are for 240.50 matching grants for public television. 240.51 $600,000 the first year and $600,000 240.52 the second year are for public 240.53 television equipment needs. Equipment 240.54 grant allocations shall be made after 240.55 considering the recommendations of the 241.1 Minnesota public television association. 241.2 $441,000 the first year and $441,000 241.3 the second year are for grants and for 241.4 contracts with the senate and house of 241.5 representatives for public information241.6 television, Internet, intranet, and 241.7 other transmission of legislative 241.8 activities. At least one-half must go 241.9 for programming to be broadcast in241.10 transmitted to rural Minnesota. 241.11 $25,000 the first year and $25,000 the 241.12 second year are for grants to the Twin 241.13 Cities regional cable channel. 241.14 $320,000 the first year and $320,000 241.15 the second year are for community 241.16 service grants to public educational 241.17 radio stations, which must be allocated 241.18 after considering the recommendations 241.19 of the Association of Minnesota Public 241.20 Educational Radio Stations under 241.21 Minnesota Statutes, section 129D.14. 241.22 Of this appropriation, $30,000 the 241.23 first year and $30,000 the second year 241.24 are for station WTIP-FM in Grand 241.25 Marais, which need not meet the 241.26 requirements of Minnesota Statutes, 241.27 section 129D.14, until July 1, 2002. 241.28 $494,000 the first year and $494,000 241.29 the second year are for equipment 241.30 grants to public radio stations. These 241.31 grants must be allocated after 241.32 considering the recommendations of the 241.33 Association of Minnesota Public 241.34 Educational Radio Stations and 241.35 Minnesota Public Radio, Inc. 241.36 If an appropriation for either year for 241.37 grants to public television or radio 241.38 stations is not sufficient, the 241.39 appropriation for the other year is 241.40 available for it. 241.41 Sec. 21. Laws 1999, chapter 250, article 1, section 14, 241.42 subdivision 3, is amended to read: 241.43 Subd. 3. Information and 241.44 Management Services 241.45 16,643,000 9,932,000 241.46 $100,000 the first year is for a grant241.47 to the city of Mankato to complete the241.48 Mankato area growth management and241.49 planning study, phase 2. The241.50 appropriation is available until June241.51 30, 2002. The appropriation must be241.52 matched by an in-kind donation of241.53 $100,000 in administrative, technical,241.54 and higher educational internship241.55 support and supervision. The value of241.56 the in-kind donations must be241.57 determined by the commissioner of241.58 finance.241.59 The city shall serve as fiscal agent to241.60 complete the study under the 1997242.1 regional planning joint powers242.2 agreement among the cities of Mankato,242.3 North Mankato, and Eagle Lake; the242.4 counties of Nicollet and Blue Earth;242.5 and the towns of Mankato, South Bend,242.6 Lime, Decoria, and Belgrade, without242.7 limitation on the rights of the parties242.8 to that agreement to add or remove242.9 members. The study is intended as an242.10 alternative to community-based242.11 planning. The study is intended to242.12 develop information and analysis to242.13 provide guidance on such issues as:242.14 (1) the development of joint planning242.15 agreements to implement a unified242.16 growth management strategy;242.17 (2) joint service ventures, such as242.18 planning or zoning administration in242.19 urban fringe areas;242.20 (3) orderly growth and annexation242.21 agreements between cities and242.22 townships;242.23 (4) feedlot regulations in urban fringe242.24 areas and future growth corridors;242.25 (5) service strategies for unsewered242.26 subdivisions;242.27 (6) other joint ventures for city,242.28 county, and township service delivery242.29 in fringe areas;242.30 (7) feasibility of a rural township242.31 taxing district; and242.32 (8) alternatives to the current242.33 community-based planning legislation242.34 that would add flexibility and improve242.35 the planning process.242.36 The city of Mankato shall report the242.37 results of the study to the legislature242.38 by January 15, 2002.242.39 $6,839,000 the first year is a one-time 242.40 appropriation to upgrade the human 242.41 resources and payroll system and is 242.42 available until June 30, 2003. The 242.43 commissioner shall report on the 242.44 progress of this project to the chairs 242.45 of the legislative committees 242.46 responsible for this budget item by 242.47 January 15, 2000, 2001, and 2002. 242.48 The commissioner of finance shall work 242.49 with the commissioners of employee 242.50 relations and administration and shall 242.51 develop as part of the human resource 242.52 and payroll systems upgrade, and submit 242.53 to the chairs of the senate 242.54 governmental operations budget division 242.55 and the house state government finance 242.56 committee by January 15, 2000, a 242.57 long-range plan for the statewide 242.58 business systems: human resources, 242.59 payroll, accounting, and procurement. 242.60 The plan must detail each system's 243.1 original development costs, its 243.2 expected life cycle, the estimated cost 243.3 of upgrading software to newer versions 243.4 during its life cycle, its operating 243.5 costs to date, and the factors that are 243.6 expected to drive future operating 243.7 costs within the departments of 243.8 finance, administration, and employee 243.9 relations. The plan must also include 243.10 an evaluation of and recommendations on 243.11 whether, for the statewide business 243.12 systems, the state should use software 243.13 that is developed and maintained in 243.14 house; proprietary software, either 243.15 modified or unmodified; a private 243.16 vendor; or a particular combination of 243.17 these options. 243.18 The commissioner of finance, in 243.19 consultation with senate and house 243.20 fiscal staff and the commissioner of 243.21 administration, shall develop 243.22 recommendations for inclusion in the 243.23 governor's fiscal year 2002-2003 budget 243.24 document on the presentation of 243.25 internal service funds. The 243.26 commissioner of finance shall submit 243.27 the recommendations to the chairs of 243.28 the senate governmental operations 243.29 budget division and the house state 243.30 government finance committee by January 243.31 15, 2000. 243.32 The department shall prepare a separate 243.33 budget book for the biennium beginning 243.34 July 1, 2001, containing all of the 243.35 administration's technology 243.36 initiatives. The book must also 243.37 include a complete inventory of 243.38 state-owned and leased technology, 243.39 along with a projected replacement 243.40 schedule. The inventory must include 243.41 information on how the technology fits 243.42 into the state's master plan. 243.43 Sec. 22. Laws 1999, chapter 250, article 1, section 18, is 243.44 amended to read: 243.45 Sec. 18. VETERANS AFFAIRS 5,885,000 4,369,000 243.46 $1,544,000 the first year and 243.47 $1,544,000 the second year are for 243.48 emergency financial and medical needs 243.49 of veterans. If the appropriation for 243.50 either year is insufficient, the 243.51 appropriation for the other year is 243.52 available for it. 243.53 $12,000 the first year and $13,000 the 243.54 second year are one-time funding to 243.55 provide grants to local veterans' 243.56 organizations that provide 243.57 transportation services for veterans to 243.58 veterans administration medical 243.59 facilities. 243.60 The commissioner of veterans affairs, 243.61 in cooperation with the board of 243.62 directors of the Minnesota veterans 243.63 homes and the United States Veterans 244.1 Administration, shall study the 244.2 feasibility and desirability of 244.3 supplementing the missions of the 244.4 veterans homes and the Veterans 244.5 Administration hospitals in Minnesota 244.6 by entering into agreements with health 244.7 care providers throughout the state to 244.8 provide free or reduced-cost 244.9 comprehensive health care to veterans 244.10 close to their places of residence as a 244.11 supplement to private health 244.12 insurance. The commissioner shall 244.13 report the results of the study and any 244.14 recommendations to the legislature by 244.15 January 15, 2000. 244.16 With the approval of the commissioner 244.17 of finance, the commissioner of 244.18 veterans affairs may transfer the 244.19 unencumbered balance from the veterans 244.20 relief program to other department 244.21 programs during the fiscal year. 244.22 Before the transfer, the commissioner 244.23 of veterans affairs shall explain why 244.24 the unencumbered balance exists. The 244.25 amounts transferred must be identified 244.26 to the chairs of the senate 244.27 governmental operations budget 244.28 committee and the house state 244.29 government finance committee. 244.30 $275,000 the first year and $275,000 244.31 the second year are for a grant to the 244.32 Vinland National Center. 244.33 $1,485,000 the first year is to make 244.34 bonus payments authorized under 244.35 Minnesota Statutes, section 197.79. 244.36 The appropriation may not be used for 244.37 administrative purposes. The 244.38 appropriation does not expire until the 244.39 commissioner acts on all applications 244.40 submitted under Minnesota Statutes, 244.41 section 197.79. 244.42 $105,000 the first year is to 244.43 administer the bonus program 244.44 established under Minnesota Statutes, 244.45 section 197.79. The appropriation does 244.46 not expire until the commissioner acts 244.47 on all the applications submitted under 244.48 Minnesota Statutes, section 197.79. 244.49 $233,000 the first year and $235,000 244.50 the second year are for grants to 244.51 county veterans offices for training of244.52 county veterans service officersto 244.53 enhance their effectiveness. 244.54 Sec. 23. [CLARIFICATION; EFFECT ON REPEAL.] 244.55 Laws 1999, chapter 250, article 3, does not repeal rules or 244.56 fees in effect on the day before the effective date of Laws 244.57 1999, chapter 250, article 3. 244.58 Sec. 24. [BASE ADJUSTMENTS PROHIBITED.] 244.59 If a capital project authorized by the 2000 legislature 245.1 causes a change in operating costs for a state agency, the 245.2 commissioner of finance shall not treat that change as a base 245.3 adjustment in the agency's budget for fiscal years 2002 and 2003. 245.4 Sec. 25. [REPEALER.] 245.5 Laws 1999, chapter 250, article 1, section 15, subdivision 245.6 4, is repealed. 245.7 Sec. 26. [EFFECTIVE DATE.] 245.8 Except as otherwise provided in this article, this article 245.9 is effective the day following final enactment. Section 13 is 245.10 effective June 30, 2001. Section 17 is effective the day 245.11 following final enactment and applies to information systems 245.12 development projects that have not progressed beyond initial 245.13 planning and assessment before its effective date. 245.14 ARTICLE 13 245.15 MINNESOTA COMPREHENSIVE HEALTH ASSOCIATION 245.16 Section 1. [MINNESOTA WORKERS' COMPENSATION ASSIGNED RISK 245.17 PLAN SURPLUS UTILIZATION.] 245.18 On January 15, 2001, the commissioner of finance shall 245.19 transfer $15,000,000 in assets of the assigned risk plan to the 245.20 general fund and $15,000,000 is appropriated from the general 245.21 fund to the commissioner of commerce to be paid to the Minnesota 245.22 comprehensive health association for the exclusive purpose of 245.23 reducing the association's operating deficit assessment for 245.24 calendar year 2001.